[Congressional Record (Bound Edition), Volume 150 (2004), Part 15]
[Senate]
[Pages 21021-21040]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 3975. Ms. COLLINS (for Mr. Hatch (for himself and Mr. Leahy)) 
proposed an amendment to the bill H.R. 1417, to amend title 17, United 
States Code, to replace copyright arbitration royalty panels with 
Copyright Royalty Judges; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Copyright Royalty and 
     Distribution Reform Act of 2004''.

     SEC. 2. REFERENCE.

       Except as otherwise expressly provided, whenever in this 
     Act an amendment or repeal is expressed in terms of an 
     amendment to, or repeal of, a section or other provision, the 
     reference shall be considered to be made to a section or 
     other provision of title 17, United States Code.

     SEC. 3. COPYRIGHT ROYALTY JUDGE AND STAFF.

       (a) In General.--Chapter 8 is amended to read as follows:

          ``CHAPTER 8--PROCEEDINGS BY COPYRIGHT ROYALTY JUDGES

``Sec.
``801. Copyright Royalty Judges; appointment and functions.
``802. Copyright Royalty Judgeships; staff.
``803. Proceedings of Copyright Royalty Judges.
``804. Institution of proceedings.
``805. General rule for voluntarily negotiated agreements.

     ``Sec. 801. Copyright Royalty Judges; appointment and 
       functions

       ``(a) Appointment.--The Librarian of Congress shall appoint 
     3 full-time Copyright Royalty Judges, and shall appoint 1 of 
     the 3 as the Chief Copyright Royalty Judge. The Librarian 
     shall make appointments to such positions after consultation 
     with the Register of Copyrights.
       ``(b) Functions.--Subject to the provisions of this 
     chapter, the functions of the Copyright Royalty Judges shall 
     be as follows:
       ``(1) To make determinations and adjustments of reasonable 
     terms and rates of royalty payments as provided in sections 
     112(e), 114, 115, 116, 118, 119 and 1004. The rates 
     applicable under sections 114(f)(1)(B), 115, and 116 shall be 
     calculated to achieve the following objectives:
       ``(A) To maximize the availability of creative works to the 
     public.
       ``(B) To afford the copyright owner a fair return for his 
     or her creative work and the copyright user a fair income 
     under existing economic conditions.
       ``(C) To reflect the relative roles of the copyright owner 
     and the copyright user in the product made available to the 
     public with respect to relative creative contribution, 
     technological contribution, capital investment, cost, risk, 
     and contribution to the opening of new markets for creative 
     expression and media for their communication.
       ``(D) To minimize any disruptive impact on the structure of 
     the industries involved and on generally prevailing industry 
     practices.
       ``(2) To make determinations concerning the adjustment of 
     the copyright royalty rates under section 111 solely in 
     accordance with the following provisions:
       ``(A) The rates established by section 111(d)(1)(B) may be 
     adjusted to reflect--
       ``(i) national monetary inflation or deflation; or
       ``(ii) changes in the average rates charged cable 
     subscribers for the basic service of providing secondary 
     transmissions to maintain the real constant dollar level of 
     the royalty fee per subscriber which existed as of the date 
     of October 19, 1976,

     except that--
       ``(I) if the average rates charged cable system subscribers 
     for the basic service of providing secondary transmissions 
     are changed so that the average rates exceed national 
     monetary inflation, no change in the rates established by 
     section 111(d)(1)(B) shall be permitted; and
       ``(II) no increase in the royalty fee shall be permitted 
     based on any reduction in the average number of distant 
     signal equivalents per subscriber.

     The Copyright Royalty Judges may consider all factors 
     relating to the maintenance of such level of payments, 
     including, as an extenuating factor, whether the industry has 
     been restrained by subscriber rate regulating authorities 
     from increasing the rates for the basic service of providing 
     secondary transmissions.
       ``(B) In the event that the rules and regulations of the 
     Federal Communications Commission are amended at any time 
     after April 15, 1976, to permit the carriage by cable systems 
     of additional television broadcast signals beyond the local 
     service area of the primary transmitters of such signals, the 
     royalty rates established by section 111(d)(1)(B) may be 
     adjusted to ensure that the rates for the additional distant 
     signal equivalents resulting from such carriage are 
     reasonable in the light of the changes effected by the 
     amendment to such rules and regulations. In determining the 
     reasonableness of rates proposed following an amendment of 
     Federal Communications Commission rules and regulations, the 
     Copyright Royalty Judges shall consider, among other factors, 
     the economic impact on copyright owners and users; except 
     that no adjustment in royalty rates shall be made under this 
     subparagraph with respect to any distant signal equivalent or 
     fraction thereof represented by--
       ``(i) carriage of any signal permitted under the rules and 
     regulations of the Federal Communications Commission in 
     effect on April 15, 1976, or the carriage of a signal of the 
     same type (that is, independent, network, or noncommercial 
     educational) substituted for such permitted signal; or
       ``(ii) a television broadcast signal first carried after 
     April 15, 1976, pursuant to an individual waiver of the rules 
     and regulations of the Federal Communications Commission, as 
     such rules and regulations were in effect on April 15, 1976.
       ``(C) In the event of any change in the rules and 
     regulations of the Federal Communications Commission with 
     respect to syndicated and sports program exclusivity after 
     April 15, 1976, the rates established by section 111(d)(1)(B) 
     may be adjusted to assure that such rates are reasonable in 
     light of the changes to such rules and regulations, but any 
     such adjustment shall apply only to the affected television 
     broadcast signals carried on those systems affected by the 
     change.
       ``(D) The gross receipts limitations established by section 
     111(d)(1) (C) and (D) shall be adjusted to reflect national 
     monetary inflation or deflation or changes in the average 
     rates charged cable system subscribers for the basic service 
     of providing secondary transmissions to maintain the real 
     constant dollar value of the exemption provided by such 
     section, and the royalty rate specified therein shall not be 
     subject to adjustment.
       ``(3)(A) To authorize the distribution, under sections 111, 
     119, and 1007, of those royalty fees collected under sections 
     111, 119, and 1005, as the case may be, to the extent that 
     the Copyright Royalty Judges have found that the distribution 
     of such fees is not subject to controversy.
       ``(B) In cases where the Copyright Royalty Judges determine 
     that controversy exists, the Copyright Royalty Judges shall 
     determine the distribution of such fees, including partial 
     distributions, in accordance with section 111, 119, or 1007, 
     as the case may be.
       ``(C) The Copyright Royalty Judges may make a partial 
     distribution of such fees during the pendency of the 
     proceeding under subparagraph (B) if all participants under 
     section 803(b)(2) in the proceeding that are entitled to 
     receive those fees that are to be partially distributed--
       ``(i) agree to such partial distribution;
       ``(ii) sign an agreement obligating them to return any 
     excess amounts to the extent necessary to comply with the 
     final determination on the distribution of the fees made 
     under subparagraph (B);
       ``(iii) file the agreement with the Copyright Royalty 
     Judges; and
       ``(iv) agree that such funds are available for 
     distribution.
       ``(D) The Copyright Royalty Judges and any other officer or 
     employee acting in good faith in distributing funds under 
     subparagraph (C) shall not be held liable for the payment of 
     any excess fees under subparagraph (C). The Copyright Royalty 
     Judges shall, at the time the final determination is made, 
     calculate any such excess amounts.
       ``(4) To accept or reject royalty claims filed under 
     sections 111, 119, and 1007, on the basis of timeliness or 
     the failure to establish the basis for a claim.
       ``(5) To accept or reject rate adjustment petitions as 
     provided in section 804 and petitions to participate as 
     provided in section 803(b) (1) and (2).
       ``(6) To determine the status of a digital audio recording 
     device or a digital audio interface device under sections 
     1002 and 1003, as provided in section 1010.
       ``(7)(A) To adopt as a basis for statutory terms and rates 
     or as a basis for the distribution of statutory royalty 
     payments, an agreement concerning such matters reached among 
     some or all of the participants in a proceeding at any time 
     during the proceeding, except that--
       ``(i) the Copyright Royalty Judges shall provide to those 
     that would be bound by the terms, rates, or other 
     determination set by any agreement in a proceeding to 
     determine royalty rates an opportunity to comment on the 
     agreement and shall provide to the other participants in the 
     proceeding under section 803(b)(2) that would be bound by the 
     terms, rates, or other determination set by the agreement an 
     opportunity to comment on the agreement and object to its 
     adoption as a basis for statutory terms and rates; and
       ``(ii) the Copyright Royalty Judges may decline to adopt 
     the agreement as a basis for statutory terms and rates for 
     participants that are not parties to the agreement, if any 
     other participant described in subparagraph (A) objects to 
     the agreement and the Copyright Royalty Judges conclude, 
     based on the record before them if one exists, that the

[[Page 21022]]

     agreement does not provide a reasonable basis for setting 
     statutory terms or rates.
       ``(B) License agreements voluntarily negotiated pursuant to 
     section 112(e)(5), 114(f)(3), 115(c)(3)(E)(i), 116(c), or 
     118(b) (2) or (3) that do not result in statutory terms and 
     rates shall not be subject to clauses (i) and (ii) of 
     subparagraph (A).
       ``(C) Interested parties may negotiate and agree to, and 
     the Copyright Royalty Judges may adopt, an agreement that 
     specifies as terms notice and recordkeeping requirements that 
     apply in lieu of those that would otherwise apply under 
     regulations.
       ``(8) To perform other duties, as assigned by the Register 
     of Copyrights within the Library of Congress, except as 
     provided in section 802(g) at times when Copyright Royalty 
     Judges are not engaged in performing the other duties set 
     forth in this section.
       ``(c) Rulings.--As provided in section 802(f)(1), the 
     Copyright Royalty Judges may make any necessary procedural or 
     evidentiary rulings in any proceeding under this chapter and 
     may, before commencing a proceeding under this chapter, make 
     any such rulings that would apply to the proceedings 
     conducted by the Copyright Royalty Judges.
       ``(d) Administrative Support.--The Librarian of Congress 
     shall provide the Copyright Royalty Judges with the necessary 
     administrative services related to proceedings under this 
     chapter.
       ``(e) Location in Library of Congress.--The offices of the 
     Copyright Royalty Judges and staff shall be in the Library of 
     Congress.

     ``Sec. 802. Copyright Royalty Judgeships; staff

       ``(a) Qualifications of Copyright Royalty Judges.--
       ``(1) In general.--Each Copyright Royalty Judge shall be an 
     attorney who has at least 7 years of legal experience. The 
     Chief Copyright Royalty Judge shall have at least 5 years of 
     experience in adjudications, arbitrations, or court trials. 
     Of the other two Copyright Royalty Judges, one shall have 
     significant knowledge of copyright law, and the other shall 
     have significant knowledge of economics. An individual may 
     serve as a Copyright Royalty Judge only if the individual is 
     free of any financial conflict of interest under subsection 
     (h).
       ``(2) Definition.--In this subsection, the term 
     `adjudication' has the meaning given that term in section 551 
     of title 5, but does not include mediation.
       ``(b) Staff.--The Chief Copyright Royalty Judge shall hire 
     3 full-time staff members to assist the Copyright Royalty 
     Judges in performing their functions.
       ``(c) Terms.--The individual first appointed the Chief 
     Copyright Royalty Judge shall be appointed to a term of 6 
     years, and of the remaining individuals first appointed 
     Copyright Royalty Judges, 1 shall be appointed to a term of 4 
     years, and the other shall be appointed to a term of 2 years. 
     Thereafter, the terms of succeeding Copyright Royalty Judges 
     shall each be 6 years. An individual serving as a Copyright 
     Royalty Judge may be reappointed to subsequent terms. The 
     term of a Copyright Royalty Judge shall begin when the term 
     of the predecessor of that Copyright Royalty Judge ends. When 
     the term of office of a Copyright Royalty Judge ends, the 
     individual serving that term may continue to serve until a 
     successor is selected.
       ``(d) Vacancies or Incapacity.--
       ``(1) Vacancies.--If a vacancy should occur in the position 
     of Copyright Royalty Judge, the Librarian of Congress shall 
     act expeditiously to fill the vacancy, and may appoint an 
     interim Copyright Royalty Judge to serve until another 
     Copyright Royalty Judge is appointed under this section. An 
     individual appointed to fill the vacancy occurring before the 
     expiration of the term for which the predecessor of that 
     individual was appointed shall be appointed for the remainder 
     of that term.
       ``(2) Incapacity.--In the case in which a Copyright Royalty 
     Judge is temporarily unable to perform his or her duties, the 
     Librarian of Congress may appoint an interim Copyright 
     Royalty Judge to perform such duties during the period of 
     such incapacity.
       ``(e) Compensation.--
       ``(1) Judges.--The Chief Copyright Royalty Judge shall 
     receive compensation at the rate of basic pay payable for 
     level AL-1 for administrative law judges pursuant to section 
     5372(b) of title 5, and each of the other two Copyright 
     Royalty Judges shall receive compensation at the rate of 
     basic pay payable for level AL-2 for administrative law 
     judges pursuant to such section. The compensation of the 
     Copyright Royalty Judges shall not be subject to any 
     regulations adopted by the Office of Personnel Management 
     pursuant to its authority under section 5376(b)(1) of title 
     5.
       ``(2) Staff members.--Of the staff members appointed under 
     subsection (b)--
       ``(A) the rate of pay of 1 staff member shall be not more 
     than the basic rate of pay payable for level 10 of GS-15 of 
     the General Schedule;
       ``(B) the rate of pay of 1 staff member shall be not less 
     than the basic rate of pay payable for GS-13 of the General 
     Schedule and not more than the basic rate of pay payable for 
     level 10 of GS-14 of such Schedule; and
       ``(C) the rate of pay for the third staff member shall be 
     not less than the basic rate of pay payable for GS-8 of the 
     General Schedule and not more than the basic rate of pay 
     payable for level 10 of GS-11 of such Schedule.
       ``(3) Locality pay.--All rates of pay referred to under 
     this subsection shall include locality pay.
       ``(f) Independence of Copyright Royalty Judge.--
       ``(1) In making determinations.--
       ``(A) In general.--(i) Subject to clause (ii) of this 
     subparagraph and subparagraph (B), the Copyright Royalty 
     Judges shall have full independence in making determinations 
     concerning adjustments and determinations of copyright 
     royalty rates and terms, the distribution of copyright 
     royalties, the acceptance or rejection of royalty claims, 
     rate adjustment petitions, and petitions to participate, and 
     in issuing other rulings under this title, except that the 
     Copyright Royalty Judges may consult with the Register of 
     Copyrights on any matter other than a question of fact.
       ``(ii) A Copyright Royalty Judge or Judges, or, by motion 
     to the Copyright Royalty Judge or Judges, any participant in 
     a proceeding may request an interpretation by the Register of 
     Copyrights concerning any material question of substantive 
     law (not including questions of procedure before the 
     Copyright Royalty Judges, the ultimate adjustments and 
     determinations of copyright royalty rates and terms, the 
     ultimate distribution of copyright royalties, or the 
     acceptance or rejection of royalty claims, rate adjustment 
     petitions, or petitions to participate) concerning an 
     interpretation or construction of those provisions of this 
     title that are the subject of the proceeding. Any such 
     request for a written interpretation by the Register of 
     Copyrights shall be on the record. Reasonable provision shall 
     be made for comment by the participants in the proceeding on 
     the material question of substantive law in such a way as to 
     minimize duplication and delay. Except as provided in 
     subparagraph (B), the Register of Copyrights shall deliver to 
     the Copyright Royalty Judges a response within 14 days of 
     receipt by the Register of Copyrights of all of the briefs or 
     comments of the participants. Such decision shall be in 
     writing and shall be included by the Copyright Royalty Judges 
     in the record that accompanies their final determination. If 
     such a decision is timely delivered to the Copyright Royalty 
     Judges, the Copyright Royalty Judges shall apply the legal 
     interpretation embodied in the response of the Register of 
     Copyrights in resolving material questions of substantive 
     law.
       ``(B) Novel questions.--(i) In any case in which a novel 
     material question of substantive law concerning an 
     interpretation of those provisions of this title that are the 
     subject of the proceeding is presented, the Copyright Royalty 
     Judges shall request a decision of the Register of 
     Copyrights, in writing, to resolve such novel question. 
     Reasonable provision shall be made for comment on such 
     request by the participants in the proceeding, in such a way 
     as to minimize duplication and delay. The Register shall 
     transmit his or her decision to the Copyright Royalty Judges 
     within 30 days of receipt by the Register of Copyrights of 
     all of the briefs or comments of the participants. Such 
     decision shall be in writing and included by the Copyright 
     Royalty Judges in the record that accompanies their final 
     determination. If such a decision is timely delivered, the 
     Copyright Royalty Judges shall apply the legal determinations 
     embodied in the decision of the Register of Copyrights in 
     resolving material questions of substantive law.
       ``(ii) In clause (i), a `novel question of law' is a 
     question of law that has not been determined in prior 
     decisions, determinations, and rulings described in section 
     803(a).
       ``(C) Consultation.--Notwithstanding the provisions of 
     subparagraph (A), the Copyright Royalty Judges shall consult 
     with the Register of Copyrights with respect to any 
     determination or ruling that would require that any act be 
     performed by the Copyright Office, and any such determination 
     or ruling shall not be binding upon the Register of 
     Copyrights.
       ``(D) Review of legal conclusions by the register of 
     copyrights.--The Register of Copyrights may review for legal 
     error the resolution by the Copyright Royalty Judges of a 
     material question of substantive law under this title that 
     underlies or is contained in a final determination of the 
     Copyright Royalty Judges. If the Register of Copyrights 
     concludes, after taking into consideration the views of the 
     participants in the proceeding, that any resolution reached 
     by the Copyright Royalty Judges was in material error, the 
     Register of Copyrights shall issue a written decision 
     correcting such legal error, which shall be made part of the 
     record of the proceeding. Additionally, the Register of 
     Copyrights shall cause to be published in the Federal 
     Register such written decision together with a specific 
     identification of the legal conclusion of the Copyright 
     Royalty Judges that is determined to be erroneous. As to 
     conclusions of substantive law involving an interpretation of 
     the statutory provisions of this title, the decision of the 
     Register of Copyrights shall be binding as precedent upon the 
     Copyright Royalty Judges in subsequent proceedings under this 
     chapter.

[[Page 21023]]

     When a decision has been rendered pursuant to section 
     802(f)(1)(D), the Register of Copyrights may, on the basis of 
     and in accordance with such decision, intervene as of right 
     in any appeal of a final determination of the Copyright 
     Royalty Judges pursuant to section 803(d) in the United 
     States Court of Appeals for the District of Columbia Circuit. 
     If, prior to intervening in such an appeal, the Register of 
     Copyrights gives notification and undertakes to consult with 
     the Attorney General with respect to such intervention, and 
     the Attorney General fails within reasonable period after 
     receipt of such notification to intervene in such appeal, the 
     Register of Copyrights may intervene in such appeal in his or 
     her own name by any attorney designated by the Register of 
     Copyrights for such purpose. Intervention by the Register of 
     Copyrights in his or her own name shall not preclude the 
     Attorney General from intervening on behalf of the United 
     States in such an appeal as may be otherwise provided or 
     required by law.
       ``(E) Effect on judicial review.--Nothing in this section 
     shall be interpreted to alter the standard applied by a court 
     in reviewing legal determinations involving an interpretation 
     or construction of the provisions of this title or to affect 
     the extent to which any construction or interpretation of the 
     provisions of this title shall be accorded deference by a 
     reviewing court.
       ``(2) Performance appraisals.--
       ``(A) In general.--Notwithstanding any other provision of 
     law or any regulation of the Library of Congress, and subject 
     to subparagraph (B), the Copyright Royalty Judges shall not 
     receive performance appraisals.
       ``(B) Relating to sanction or removal.--To the extent that 
     the Librarian of Congress adopts regulations under subsection 
     (h) relating to the sanction or removal of a Copyright 
     Royalty Judge and such regulations require documentation to 
     establish the cause of such sanction or removal, the 
     Copyright Royalty Judge may receive an appraisal related 
     specifically to the cause of the sanction or removal.
       ``(g) Inconsistent Duties Barred.--No Copyright Royalty 
     Judge may undertake duties that conflict with his or her 
     duties and responsibilities as a Copyright Royalty Judge.
       ``(h) Standards of Conduct.--The Librarian of Congress 
     shall adopt regulations regarding the standards of conduct, 
     including financial conflict of interest and restrictions 
     against ex parte communications, which shall govern the 
     Copyright Royalty Judges and the proceedings under this 
     chapter.
       ``(i) Removal or Sanction.--The Librarian of Congress may 
     sanction or remove a Copyright Royalty Judge for violation of 
     the standards of conduct adopted under subsection (h), 
     misconduct, neglect of duty, or any disqualifying physical or 
     mental disability. Any such sanction or removal may be made 
     only after notice and opportunity for a hearing, but the 
     Librarian of Congress may suspend the Copyright Royalty Judge 
     during the pendency of such hearing. The Librarian shall 
     appoint an interim Copyright Royalty Judge during the period 
     of any such suspension.

     ``Sec. 803. Proceedings of Copyright Royalty Judges

       ``(a) Proceedings.--
       ``(1) In general.--The Copyright Royalty Judges shall act 
     in accordance with regulations issued by the Copyright 
     Royalty Judges and the Librarian of Congress, and on the 
     basis of a written record, prior determinations and 
     interpretations of the Copyright Royalty Tribunal, Librarian 
     of Congress, copyright arbitration royalty panels, the 
     Register of Copyrights, and the Copyright Royalty Judges (to 
     the extent those determinations are not inconsistent with a 
     decision of the Register of Copyrights that was timely 
     delivered to the Copyright Royalty Judges pursuant to section 
     802(f)(1) (A) or (B), or with a decision of the Register of 
     Copyrights pursuant to section 802(f)(1)(D)), under this 
     chapter, and decisions of the court of appeals under this 
     chapter before, on, or after the effective date of the 
     Copyright Royalty and Distribution Reform Act of 2004.
       ``(2) Judges acting as panel and individually.--The 
     Copyright Royalty Judges shall preside over hearings in 
     proceedings under this chapter en banc. The Chief Copyright 
     Royalty Judge may designate a Copyright Royalty Judge to 
     preside individually over such collateral and administrative 
     proceedings, and over such proceedings under paragraphs (1) 
     through (5) of subsection (b), as the Chief Judge considers 
     appropriate.
       ``(3) Determinations.--Final determinations of the 
     Copyright Royalty Judges in proceedings under this chapter 
     shall be made by majority vote. A Copyright Royalty Judge 
     dissenting from the majority on any determination under this 
     chapter may issue his or her dissenting opinion, which shall 
     be included with the determination.
       ``(b) Procedures.--
       ``(1) Initiation.--
       ``(A) Call for petitions to participate.--(i) Promptly upon 
     a determination made under section 804(a), or no later than 
     January 5 of a year specified in section 804(b) (2) or (3), 
     or as provided under section 804(b)(8), or by no later than 
     January 5 of a year specified in section 804 for the 
     commencement of a proceeding if a petition has not been filed 
     by that date, the Copyright Royalty Judges shall cause to be 
     published in the Federal Register notice of commencement of 
     proceedings under this chapter calling for the filing of 
     petitions to participate in a proceeding under this chapter 
     for the purpose of making the relevant determination under 
     section 111, 112, 114, 115, 116, 118, 119, 1004, or 1007, as 
     the case may be.
       ``(ii) Petitions to participate shall be filed by no later 
     than 30 days after publication of notice of commencement of a 
     proceeding, under clause (i), except that the Copyright 
     Royalty Judges may, for substantial good cause shown and if 
     there is no prejudice to the participants that have already 
     filed petitions, accept late petitions to participate at any 
     time up to the date that is 90 days before the date on which 
     participants in the proceeding are to file their written 
     direct statements. Notwithstanding the preceding sentence, 
     petitioners whose petitions are filed more than 30 days after 
     publication of notice of commencement of a proceeding are not 
     eligible to object to a settlement reached during the 
     voluntary negotiation period under section 803(b)(3), and any 
     objection filed by such a petitioner shall not be taken into 
     account by the Copyright Royalty Judges.
       ``(B) Petitions to participate.--Each petition to 
     participate in a proceeding shall describe the petitioner's 
     interest in the subject matter of the proceeding. Parties 
     with similar interests may file a single petition to 
     participate.
       ``(2) Participation in general.--Subject to paragraph (4), 
     a person may participate in a proceeding under this chapter, 
     including through the submission of briefs or other 
     information, only if--
       ``(A) that person has filed a petition to participate in 
     accordance with paragraph (1) (either individually or as a 
     group under paragraph (1)(B)), together with a filing fee of 
     $150;
       ``(B) the Copyright Royalty Judges have not determined that 
     the petition to participate is facially invalid; and
       ``(C) the Copyright Royalty Judges have not determined, sua 
     sponte or on the motion of another participant in the 
     proceeding, that the person lacks a significant interest in 
     the proceeding.
       ``(3) Voluntary negotiation period.--
       ``(A) In general.--Promptly after the date for filing of 
     petitions to participate in a proceeding, the Copyright 
     Royalty Judges shall make available to all participants in 
     the proceeding a list of such participants and shall initiate 
     a voluntary negotiation period among the participants.
       ``(B) Length of proceedings.--The voluntary negotiation 
     period initiated under subparagraph (A) shall be 3 months.
       ``(C) Determination of subsequent proceedings.--At the 
     close of the voluntary negotiation proceedings, the Copyright 
     Royalty Judges shall, if further proceedings under this 
     chapter are necessary, determine whether and to what extent 
     paragraphs (4) and (5) will apply to the parties.
       ``(4) Small claims procedure in distribution proceedings.--
       ``(A) In general.--If, in a proceeding under this chapter 
     to determine the distribution of royalties, a participant in 
     the proceeding asserts a claim in the amount of $10,000 or 
     less, the Copyright Royalty Judges shall decide the 
     controversy on the basis of the filing of the written direct 
     statement by the participant, the response by any opposing 
     participant, and 1 additional response by each such party. 
     The participant asserting the claim shall not be required to 
     pay the filing fee under paragraph (2).
       ``(B) Bad faith inflation of claim.--If the Copyright 
     Royalty Judges determine that a participant asserts in bad 
     faith an amount in controversy in excess of $10,000 for the 
     purpose of avoiding a determination under the procedure set 
     forth in subparagraph (A), the Copyright Royalty Judges shall 
     impose a fine on that participant in an amount not to exceed 
     the difference between the actual amount distributed and the 
     amount asserted by the participant.
       ``(5) Paper proceedings.--The Copyright Royalty Judges in 
     proceedings under this chapter may decide, sua sponte or upon 
     motion of a participant, to determine issues on the basis of 
     the filing of the written direct statement by the 
     participant, the response by any opposing participant, and 
     one additional response by each such participant. Prior to 
     making such decision to proceed on such a paper record only, 
     the Copyright Royalty Judges shall offer to all parties to 
     the proceeding the opportunity to comment on the decision. 
     The procedure under this paragraph--
       ``(A) shall be applied in cases in which there is no 
     genuine issue of material fact, there is no need for 
     evidentiary hearings, and all participants in the proceeding 
     agree in writing to the procedure; and
       ``(B) may be applied under such other circumstances as the 
     Copyright Royalty Judges consider appropriate.
       ``(6) Regulations.--
       ``(A) In general.--The Copyright Royalty Judges may issue 
     regulations to carry out their functions under this title. 
     All regulations issued by the Copyright Royalty Judges are 
     subject to the approval of the Librarian of Congress. Not 
     later than 120 days after Copyright Royalty Judges or interim

[[Page 21024]]

     Copyright Royalty Judges, as the case may be, are first 
     appointed after the enactment of the Copyright Royalty and 
     Distribution Reform Act of 2004, such judges shall issue 
     regulations to govern proceedings under this chapter.
       ``(B) Interim regulations.--Until regulations are adopted 
     under subparagraph (A), the Copyright Royalty Judges shall 
     apply the regulations in effect under this chapter on the day 
     before the effective date of the Copyright Royalty and 
     Distribution Reform Act of 2004, to the extent such 
     regulations are not inconsistent with this chapter, except 
     that functions carried out under such regulations by the 
     Librarian of Congress, the Register of Copyrights, or 
     copyright arbitration royalty panels that, as of such date of 
     enactment, are to be carried out by the Copyright Royalty 
     Judges under this chapter, shall be carried out by the 
     Copyright Royalty Judges under such regulations.
       ``(C) Requirements.--Regulations issued under subparagraph 
     (A) shall include the following:
       ``(i) The written direct statements of all participants in 
     a proceeding under paragraph (2) shall be filed by a date 
     specified by the Copyright Royalty Judges, which may be not 
     earlier than 4 months, and not later than 5 months, after the 
     end of the voluntary negotiation period under paragraph (3). 
     Notwithstanding the preceding sentence, the Copyright Royalty 
     Judges may allow a participant in a proceeding to file an 
     amended written direct statement based on new information 
     received during the discovery process, within 15 days after 
     the end of the discovery period specified in clause (iii).
       ``(ii)(I) Following the submission to the Copyright Royalty 
     Judges of written direct statements by the participants in a 
     proceeding under paragraph (2), the judges shall meet with 
     the participants for the purpose of setting a schedule for 
     conducting and completing discovery. Such schedule shall be 
     determined by the Copyright Royalty Judges.
       ``(II) In this chapter, the term `written direct 
     statements' means witness statements, testimony, and exhibits 
     to be presented in the proceedings, and such other 
     information that is necessary to establish terms and rates, 
     or the distribution of royalty payments, as the case may be, 
     as set forth in regulations issued by the Copyright Royalty 
     Judges.
       ``(iii) Hearsay may be admitted in proceedings under this 
     chapter to the extent deemed appropriate by the Copyright 
     Royalty Judges.
       ``(iv) Discovery in such proceedings shall be permitted for 
     a period of 60 days, except for discovery ordered by the 
     Copyright Royalty Judges in connection with the resolution of 
     motions, orders and disputes pending at the end of such 
     period.
       ``(v) Any participant under paragraph (2) in a proceeding 
     under this chapter to determine royalty rates may request of 
     an opposing participant nonprivileged documents directly 
     related to the written direct statement or written rebuttal 
     statement of that participant. Any objection to such a 
     request shall be resolved by a motion or request to compel 
     production made to the Copyright Royalty Judges according to 
     regulations adopted by the Copyright Royalty Judges. Each 
     motion or request to compel discovery shall be determined by 
     the Copyright Royalty Judges, or by a Copyright Royalty Judge 
     when permitted under subsection (a)(2). Upon such motion, the 
     Copyright Royalty Judges may order discovery pursuant to 
     regulations established under this paragraph.
       ``(vi)(I) Any participant under paragraph (2) in a 
     proceeding under this chapter to determine royalty rates may, 
     by means of written motion or on the record, request of an 
     opposing participant or witness other relevant information 
     and materials if absent the discovery sought the Copyright 
     Royalty Judges' resolution of the proceeding would be 
     substantially impaired. In determining whether discovery will 
     be granted under this clause, the Copyright Royalty Judges 
     may consider--

       ``(aa) whether the burden or expense of producing the 
     requested information or materials outweighs the likely 
     benefit, taking into account the needs and resources of the 
     participants, the importance of the issues at stake, and the 
     probative value of the requested information or materials in 
     resolving such issues;
       ``(bb) whether the requested information or materials would 
     be unreasonably cumulative or duplicative, or are obtainable 
     from another source that is more convenient, less burdensome, 
     or less expensive; and
       ``(cc) whether the participant seeking discovery has had 
     ample opportunity by discovery in the proceeding or by other 
     means to obtain the information sought.

       ``(II) This clause shall not apply to any proceeding 
     scheduled to commence after December 31, 2010.
       ``(vii) In a proceeding under this chapter to determine 
     royalty rates, the participants entitled to receive royalties 
     shall collectively be permitted to take no more than 10 
     depositions and secure responses to no more than 25 
     interrogatories and the participants obligated to pay 
     royalties shall collectively be permitted to take no more 
     than 10 depositions and secure responses to no more than 25 
     interrogatories. The Copyright Royalty Judges shall resolve 
     any disputes among similarly aligned participants to allocate 
     the number of depositions or interrogatories permitted under 
     this clause.
       ``(viii) The rules and practices in effect on the day 
     before the effective date of the Copyright Royalty and 
     Distribution Reform Act of 2004, relating to discovery in 
     proceedings under this chapter to determine the distribution 
     of royalty fees, shall continue to apply to such proceedings 
     on and after such effective date.
       ``(ix) In proceedings to determine royalty rates, the 
     Copyright Royalty Judges may issue a subpoena commanding a 
     participant or witness to appear and give testimony or to 
     produce and permit inspection of documents or tangible things 
     if the Copyright Royalty Judges' resolution of the proceeding 
     would be substantially impaired by the absence of such 
     testimony or production of documents or tangible things. Such 
     subpoena shall specify with reasonable particularity the 
     materials to be produced or the scope and nature of the 
     required testimony. Nothing in this subparagraph shall 
     preclude the Copyright Royalty Judges from requesting the 
     production by a nonparticipant of information or materials 
     relevant to the resolution by the Copyright Royalty Judges of 
     a material issue of fact.
       ``(x) The Copyright Royalty Judges shall order a settlement 
     conference among the participants in the proceeding to 
     facilitate the presentation of offers of settlement among the 
     participants. The settlement conference shall be held during 
     a 21-day period following the end of the discovery period and 
     shall take place outside the presence of the Copyright 
     Royalty Judges.
       ``(xi) No evidence, including exhibits, may be submitted in 
     the written direct statement or written rebuttal statement of 
     a participant without a sponsoring witness, except where the 
     Copyright Royalty Judges have taken official notice, or in 
     the case of incorporation by reference of past records, or 
     for good cause shown.
       ``(c) Determination of Copyright Royalty Judges.--
       ``(1) Timing.--The Copyright Royalty Judges shall issue 
     their determination in a proceeding not later than 11 months 
     after the conclusion of the 21-day settlement conference 
     period under subsection (b)(3)(C)(x), but, in the case of a 
     proceeding to determine successors to rates or terms that 
     expire on a specified date, in no event later than 15 days 
     before the expiration of the then current statutory rates and 
     terms.
       ``(2) Rehearings.--
       ``(A) In general.--The Copyright Royalty Judges may, in 
     exceptional cases, upon motion of a participant under 
     subsection (b)(2), order a rehearing, after the determination 
     in a proceeding is issued under paragraph (1), on such 
     matters as the Copyright Royalty Judges determine to be 
     appropriate.
       ``(B) Timing for filing motion.--Any motion for a rehearing 
     under subparagraph (A) may only be filed within 15 days after 
     the date on which the Copyright Royalty Judges deliver their 
     initial determination concerning rates and terms to the 
     participants in the proceeding.
       ``(C) Participation by opposing party not required.--In any 
     case in which a rehearing is ordered, any opposing party 
     shall not be required to participate in the rehearing, except 
     as provided under subsection (d)(1).
       ``(D) No negative inference.--No negative inference shall 
     be drawn from lack of participation in a rehearing.
       ``(E) Continuity of rates and terms.--(i) If the decision 
     of the Copyright Royalty Judges on any motion for a rehearing 
     is not rendered before the expiration of the statutory rates 
     and terms that were previously in effect, in the case of a 
     proceeding to determine successors to rates and terms that 
     expire on a specified date, then--
       ``(I) the initial determination of the Copyright Royalty 
     Judges that is the subject of the rehearing motion shall be 
     effective as of the day following the date on which the rates 
     and terms that were previously in effect expire; and
       ``(II) in the case of a proceeding under section 
     114(f)(1)(C) or 114(f)(2)(C), royalty rates and terms shall, 
     for purposes of section 114(f)(4)(B), be deemed to have been 
     set at those rates and terms contained in the initial 
     determination of the Copyright Royalty Judges that is the 
     subject of the rehearing motion, as of the date of that 
     determination.
       ``(ii) The pendency of a motion for a rehearing under this 
     paragraph shall not relieve persons obligated to make royalty 
     payments who would be affected by the determination on that 
     motion from providing the statements of account and any 
     reports of use, to the extent required, and paying the 
     royalties required under the relevant determination or 
     regulations.
       ``(iii) Notwithstanding clause (ii), whenever royalties 
     described in clause (ii) are paid to a person other than the 
     Copyright Office, the entity designated by the Copyright 
     Royalty Judges to which such royalties are paid by the 
     copyright user (and any successor thereto) shall, within 60 
     days after the motion for rehearing is resolved or, if the 
     motion is granted, within 60 days after the rehearing is 
     concluded, return any excess

[[Page 21025]]

     amounts previously paid to the extent necessary to comply 
     with the final determination of royalty rates by the 
     Copyright Royalty Judges. Any underpayment of royalties 
     resulting from a rehearing shall be paid within the same 
     period.
       ``(3) Contents of determination.--A determination of the 
     Copyright Royalty Judges shall be supported by the written 
     record and shall set forth the findings of fact relied on by 
     the Copyright Royalty Judges. Among other terms adopted in a 
     determination, the Copyright Royalty Judges may specify 
     notice and recordkeeping requirements of users of the 
     copyrights at issue that apply in lieu of those that would 
     otherwise apply under regulations.
       ``(4) Continuing jurisdiction.--The Copyright Royalty 
     Judges may, with the approval of the Register of Copyrights, 
     issue an amendment to a written determination to correct any 
     technical or clerical errors in the determination or to 
     modify the terms, but not the rates, of royalty payments in 
     response to unforeseen circumstances that would frustrate the 
     proper implementation of such determination. Such amendment 
     shall be set forth in a written addendum to the determination 
     that shall be distributed to the participants of the 
     proceeding and shall be published in the Federal Register.
       ``(5) Protective order.--The Copyright Royalty Judges may 
     issue such orders as may be appropriate to protect 
     confidential information, including orders excluding 
     confidential information from the record of the determination 
     that is published or made available to the public, except 
     that any terms or rates of royalty payments or distributions 
     may not be excluded.
       ``(6) Publication of determination.--Following review of 
     the determination by the Register of Copyrights under section 
     802(f)(1)(D), the Librarian of Congress shall cause the 
     determination, and any corrections thereto, to be published 
     in the Federal Register. The Librarian of Congress shall also 
     publicize the determination and corrections in such other 
     manner as the Librarian considers appropriate, including, but 
     not limited to, publication on the Internet. The Librarian of 
     Congress shall also make the determination, corrections, and 
     the accompanying record available for public inspection and 
     copying.
       ``(7) Late payment.--A determination of Copyright Royalty 
     Judges may include terms with respect to late payment, but in 
     no way shall such terms prevent the copyright holder from 
     asserting other rights or remedies provided under this title.
       ``(d) Judicial Review.--
       ``(1) Appeal.--Any determination of the Copyright Royalty 
     Judges under subsection (c) may, within 30 days after the 
     publication of the determination in the Federal Register, be 
     appealed, to the United States Court of Appeals for the 
     District of Columbia Circuit, by any aggrieved participant in 
     the proceeding under subsection (b)(2) who fully participated 
     in the proceeding and who would be bound by the 
     determination. Any participant that did not participate in a 
     rehearing may not raise any issue that was the subject of 
     that rehearing at any stage of judicial review of the hearing 
     determination. If no appeal is brought within that 30-day 
     period, the determination of the Copyright Royalty Judges 
     shall be final, and the royalty fee or determination with 
     respect to the distribution of fees, as the case may be, 
     shall take effect as set forth in paragraph (2).
       ``(2) Effect of rates.--
       ``(A) Expiration on specified date.--When this title 
     provides that the royalty rates and terms that were 
     previously in effect are to expire on a specified date, any 
     adjustment or determination by the Copyright Royalty Judges 
     of successor rates and terms for an ensuing statutory license 
     period shall be effective as of the day following the date of 
     expiration of the rates and terms that were previously in 
     effect, even if the determination of the Copyright Royalty 
     Judges is rendered on a later date. A transmission service 
     shall be obligated to continue making payments under the 
     rates and terms previously in effect until such time as rates 
     and terms for the successor period are established. Whenever 
     royalties pursuant to this section are paid to a person other 
     than the Copyright Office, the entity designated by the 
     Copyright Royalty Judges to which such royalties are paid by 
     the copyright user (and any successor thereto) shall, within 
     60 days after the final determination of the Copyright 
     Royalty Judges establishing rates and terms for a successor 
     period or the exhaustion of all rehearings or appeals of such 
     determination, if any, return any excess amounts previously 
     paid to the extent necessary to comply with the final 
     determination of royalty rates. Any underpayment of royalties 
     by a copyright user shall be paid to the entity designated by 
     the Copyright Royalty Judges within the same period.
       ``(B) Other cases.--In cases where rates and terms have 
     not, prior to the inception of an activity, been established 
     for that particular activity under the relevant license, such 
     rates and terms shall be retroactive to the inception of 
     activity under the relevant license covered by such rates and 
     terms. In other cases where rates and terms do not expire on 
     a specified date, successor rates and terms shall take effect 
     on the first day of the second month that begins after the 
     publication of the determination of the Copyright Royalty 
     Judges in the Federal Register, except as otherwise provided 
     in this title, or by the Copyright Royalty Judges, or as 
     agreed by the participants in a proceeding that would be 
     bound by the rates and terms. Except as otherwise provided in 
     this title, the rates and terms, to the extent applicable, 
     shall remain in effect until such successor rates and terms 
     become effective.
       ``(C) Obligation to make payments.--
       ``(i) The pendency of an appeal under this subsection shall 
     not relieve persons obligated to make royalty payments under 
     section 111, 112, 114, 115, 116, 118, 119, or 1003, who would 
     be affected by the determination on appeal, from--

       ``(I) providing the statements of account and any report of 
     use; and
       ``(II) paying the royalties required under the relevant 
     determination or regulations.

       ``(ii) Notwithstanding clause (i), whenever royalties 
     described in clause (i) are paid to a person other than the 
     Copyright Office, the entity designated by the Copyright 
     Royalty Judges to which such royalties are paid by the 
     copyright user (and any successor thereto) shall, within 60 
     days after the final resolution of the appeal, return any 
     excess amounts previously paid (and interest thereon, if 
     ordered pursuant to paragraph (3)) to the extent necessary to 
     comply with the final determination of royalty rates on 
     appeal. Any underpayment of royalties resulting from an 
     appeal (and interest thereon, if ordered pursuant to 
     paragraph (3)) shall be paid within the same period.
       ``(3) Jurisdiction of court.--If the court, pursuant to 
     section 706 of title 5, modifies or vacates a determination 
     of the Copyright Royalty Judges, the court may enter its own 
     determination with respect to the amount or distribution of 
     royalty fees and costs, and order the repayment of any excess 
     fees, the payment of any underpaid fees, and the payment of 
     interest pertaining respectively thereto, in accordance with 
     its final judgment. The court may also vacate the 
     determination of the Copyright Royalty Judges and remand the 
     case to the Copyright Royalty Judges for further proceedings 
     in accordance with subsection (a).
       ``(e) Administrative Matters.--
       ``(1) Deduction of costs of library of congress and 
     copyright office from filing fees.--
       ``(A) Deduction from filing fees.--The Librarian of 
     Congress may, to the extent not otherwise provided under this 
     title, deduct from the filing fees collected under subsection 
     (b) for a particular proceeding under this chapter the 
     reasonable costs incurred by the Librarian of Congress, the 
     Copyright Office, and the Copyright Royalty Judges in 
     conducting that proceeding, other than the salaries of the 
     Copyright Royalty Judges and the 3 staff members appointed 
     under section 802(b).
       ``(B) Authorization of appropriations.--There are 
     authorized to be appropriated such sums as may be necessary 
     to pay the costs incurred under this chapter not covered by 
     the filing fees collected under subsection (b). All funds 
     made available pursuant to this subparagraph shall remain 
     available until expended.
       ``(2) Positions required for administration of compulsory 
     licensing.--Section 307 of the Legislative Branch 
     Appropriations Act, 1994, shall not apply to employee 
     positions in the Library of Congress that are required to be 
     filled in order to carry out section 111, 112, 114, 115, 116, 
     118, or 119 or chapter 10.

     ``Sec. 804. Institution of proceedings

       ``(a) Filing of Petition.--With respect to proceedings 
     referred to in paragraphs (1) and (2) of section 801(b) 
     concerning the determination or adjustment of royalty rates 
     as provided in sections 111, 112, 114, 115, 116, 118, 119, 
     and 1004, during the calendar years specified in the schedule 
     set forth in subsection (b), any owner or user of a 
     copyrighted work whose royalty rates are specified by this 
     title, or are established under this chapter before or after 
     the enactment of the Copyright Royalty and Distribution 
     Reform Act of 2004, may file a petition with the Copyright 
     Royalty Judges declaring that the petitioner requests a 
     determination or adjustment of the rate. The Copyright 
     Royalty Judges shall make a determination as to whether the 
     petitioner has such a significant interest in the royalty 
     rate in which a determination or adjustment is requested. If 
     the Copyright Royalty Judges determine that the petitioner 
     has such a significant interest, the Copyright Royalty Judges 
     shall cause notice of this determination, with the reasons 
     for such determination, to be published in the Federal 
     Register, together with the notice of commencement of 
     proceedings under this chapter. With respect to proceedings 
     under paragraph (1) of section 801(b) concerning the 
     determination or adjustment of royalty rates as provided in 
     sections 112 and 114, during the calendar years specified in 
     the schedule set forth in subsection (b), the Copyright 
     Royalty Judges shall cause notice of commencement of 
     proceedings under this chapter to be published in the Federal 
     Register as provided in section 803(b)(1)(A).
       ``(b) Timing of Proceedings.--
       ``(1) Section 111 proceedings.--(A) A petition described in 
     subsection (a) to initiate

[[Page 21026]]

     proceedings under section 801(b)(2) concerning the adjustment 
     of royalty rates under section 111 to which subparagraph (A) 
     or (D) of section 801(b)(2) applies may be filed during the 
     year 2005 and in each subsequent fifth calendar year.
       ``(B) In order to initiate proceedings under section 
     801(b)(2) concerning the adjustment of royalty rates under 
     section 111 to which subparagraph (B) or (C) of section 
     801(b)(2) applies, within 12 months after an event described 
     in either of those subsections, any owner or user of a 
     copyrighted work whose royalty rates are specified by section 
     111, or by a rate established under this chapter before or 
     after the enactment of the Copyright Royalty and Distribution 
     Reform Act of 2004, may file a petition with the Copyright 
     Royalty Judges declaring that the petitioner requests an 
     adjustment of the rate. The Copyright Royalty Judges shall 
     then proceed as set forth in subsection (a) of this section. 
     Any change in royalty rates made under this chapter pursuant 
     to this subparagraph may be reconsidered in the year 2005, 
     and each fifth calendar year thereafter, in accordance with 
     the provisions in section 801(b)(3) (B) or (C), as the case 
     may be. A petition for adjustment of rates established by 
     section 111(d)(1)(B) as a result of a change is the rules and 
     regulations of the Federal Communications Commission shall 
     set forth the change on which the petition is based.
       ``(C) Any adjustment of royalty rates under section 111 
     shall take effect as of the first accounting period 
     commencing after the publication of the determination of the 
     Copyright Royalty Judges in the Federal Register, or on such 
     other date as is specified in that determination.
       ``(2) Certain section 112 proceedings.--Proceedings under 
     this chapter shall be commenced in the year 2007 to determine 
     reasonable terms and rates of royalty payments for the 
     activities described in section 112(e)(1) relating to the 
     limitation on exclusive rights specified by section 
     114(d)(1)(C)(iv), to become effective on January 1, 2009. 
     Such proceedings shall be repeated in each subsequent fifth 
     calendar year.
       ``(3) Section 114 and corresponding 112 proceedings.--
       ``(A) For eligible nonsubscription services and new 
     subscription services.--Proceedings under this chapter shall 
     be commenced as soon as practicable after the effective date 
     of the Copyright Royalty and Distribution Reform Act of 2004 
     to determine reasonable terms and rates of royalty payments 
     under sections 114 and 112 for the activities of eligible 
     nonsubscription transmission services and new subscription 
     services, to be effective for the period beginning on January 
     1, 2006, and ending on December 31, 2010. Such proceedings 
     shall next be commenced in January 2009 to determine 
     reasonable terms and rates of royalty payments, to become 
     effective on January 1, 2011. Thereafter, such proceedings 
     shall be repeated in each subsequent fifth calendar year.
       ``(B) For preexisting subscription and satellite digital 
     audio radio services.--Proceedings under this chapter shall 
     be commenced in January 2006 to determine reasonable terms 
     and rates of royalty payments under sections 114 and 112 for 
     the activities of preexisting subscription services, to be 
     effective during the period beginning on January 1, 2008, and 
     ending on December 31, 2012, and preexisting satellite 
     digital audio radio services, to be effective during the 
     period beginning on January 1, 2007, and ending on December 
     31, 2012. Such proceedings shall next be commenced in 2011 to 
     determine reasonable terms and rates of royalty payments, to 
     become effective on January 1, 2013. Thereafter, such 
     proceedings shall be repeated in each subsequent fifth 
     calendar year.
       ``(C)(i) Notwithstanding any other provision of this 
     chapter, this subparagraph shall govern proceedings commenced 
     pursuant to section 114(f)(1)(C) and 114(f)(2)(C) concerning 
     new types of services.
       ``(ii) Not later than 30 days after a petition to determine 
     rates and terms for a new type of service that is filed by 
     any copyright owner of sound recordings, or such new type of 
     service, indicating that such new type of service is or is 
     about to become operational, the Copyright Royalty Judges 
     shall issue a notice for a proceeding to determine rates and 
     terms for such service.
       ``(iii) The proceeding shall follow the schedule set forth 
     in such subsections (b), (c), and (d) of section 803, except 
     that--
       ``(I) the determination shall be issued by not later than 
     24 months after the publication of the notice under clause 
     (ii); and
       ``(II) the decision shall take effect as provided in 
     subsections (c)(2) and (d)(2) of section 803 and section 
     114(f)(4)(B)(ii) and (C).
       ``(iv) The rates and terms shall remain in effect for the 
     period set forth in section 114(f)(1)(C) or 114(f)(2)(C), as 
     the case may be.
       ``(4) Section 115 proceedings.--A petition described in 
     subsection (a) to initiate proceedings under section 
     801(b)(1) concerning the adjustment or determination of 
     royalty rates as provided in section 115 may be filed in the 
     year 2006 and in each subsequent fifth calendar year, or at 
     such other times as the parties have agreed under section 
     115(c)(3) (B) and (C).
       ``(5) Section 116 proceedings.--(A) A petition described in 
     subsection (a) to initiate proceedings under section 801(b) 
     concerning the determination of royalty rates and terms as 
     provided in section 116 may be filed at any time within 1 
     year after negotiated licenses authorized by section 116 are 
     terminated or expire and are not replaced by subsequent 
     agreements.
       ``(B) If a negotiated license authorized by section 116 is 
     terminated or expires and is not replaced by another such 
     license agreement which provides permission to use a quantity 
     of musical works not substantially smaller than the quantity 
     of such works performed on coin-operated phonorecord players 
     during the 1-year period ending March 1, 1989, the Copyright 
     Royalty Judges shall, upon petition filed under paragraph (1) 
     within 1 year after such termination or expiration, commence 
     a proceeding to promptly establish an interim royalty rate or 
     rates for the public performance by means of a coin-operated 
     phonorecord player of nondramatic musical works embodied in 
     phonorecords which had been subject to the terminated or 
     expired negotiated license agreement. Such rate or rates 
     shall be the same as the last such rate or rates and shall 
     remain in force until the conclusion of proceedings by the 
     Copyright Royalty Judges, in accordance with section 803, to 
     adjust the royalty rates applicable to such works, or until 
     superseded by a new negotiated license agreement, as provided 
     in section 116(b).
       ``(6) Section 118 proceedings.--A petition described in 
     subsection (a) to initiate proceedings under section 
     801(b)(1) concerning the determination of reasonable terms 
     and rates of royalty payments as provided in section 118 may 
     be filed in the year 2006 and in each subsequent fifth 
     calendar year.
       ``(7) Section 1004 proceedings.--A petition described in 
     subsection (a) to initiate proceedings under section 
     801(b)(1) concerning the adjustment of reasonable royalty 
     rates under section 1004 may be filed as provided in section 
     1004(a)(3).
       ``(8) Proceedings concerning distribution of royalty 
     fees.--With respect to proceedings under section 801(b)(3) 
     concerning the distribution of royalty fees in certain 
     circumstances under section 111, 119, or 1007, the Copyright 
     Royalty Judges shall, upon a determination that a controversy 
     exists concerning such distribution, cause to be published in 
     the Federal Register notice of commencement of proceedings 
     under this chapter.

     ``Sec. 805. General rule for voluntarily negotiated 
       agreements

       ``Any rates or terms under this title that--
       ``(1) are agreed to by participants to a proceeding under 
     section 803(b)(3),
       ``(2) are adopted by the Copyright Royalty Judges as part 
     of a determination under this chapter, and
       ``(3) are in effect for a period shorter than would 
     otherwise apply under a determination pursuant to this 
     chapter,

     shall remain in effect for such period of time as would 
     otherwise apply under such determination, except that the 
     Copyright Royalty Judges shall adjust the rates pursuant to 
     the voluntary negotiations to reflect national monetary 
     inflation during the additional period the rates remain in 
     effect.''.
       (b) Conforming Amendment.--The table of chapters for title 
     17, United States Code, is amended by striking the item 
     relating to chapter 8 and inserting the following:

``8. Proceedings by Copyright Royalty Judges.................801''.....

     SEC. 4. DEFINITION.

       Section 101 is amended by inserting after the definition of 
     ``copies'' the following:
       ``A `Copyright Royalty Judge' is a Copyright Royalty Judge 
     appointed under section 802 of this title, and includes any 
     individual serving as an interim Copyright Royalty Judge 
     under such section.''.

     SEC. 5. TECHNICAL AMENDMENTS.

       (a) Cable Rates.--Section 111(d) is amended--
       (1) in paragraph (2), in the second sentence, by striking 
     ``a copyright arbitration royalty panel'' and inserting ``the 
     Copyright Royalty Judges.''; and
       (2) in paragraph (4)--
       (A) in subparagraph (A), by striking ``Librarian of 
     Congress'' each place it appears and inserting ``Copyright 
     Royalty Judges'';
       (B) in subparagraph (B)--
       (i) in the first sentence, by striking ``Librarian of 
     Congress shall, upon the recommendation of the Register of 
     Copyrights,'' and inserting ``Copyright Royalty Judges 
     shall'';
       (ii) in the second sentence, by striking ``Librarian 
     determines'' and inserting ``Copyright Royalty Judges 
     determine''; and
       (iii) in the third sentence--

       (I) by striking ``Librarian'' each place it appears and 
     inserting ``Copyright Royalty Judges''; and
       (II) by striking ``convene a copyright arbitration royalty 
     panel'' and inserting ``conduct a proceeding''; and

       (C) in subparagraph (C), by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''.
       (b) Ephemeral Recordings.--Section 112(e) is amended--
       (1) in paragraph (3)--
       (A) by amending the first sentence to read as follows: 
     ``Proceedings under chapter 8 shall determine reasonable 
     rates and terms

[[Page 21027]]

     of royalty payments for the activities specified by paragraph 
     (1) during the 5-year periods beginning on January 1 of the 
     second year following the year in which the proceedings are 
     to be commenced, or such other periods as the parties may 
     agree.''; and
       (B) by striking the second sentence;
       (C) in the third sentence, by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''; and
       (D) in the fourth sentence, by striking ``negotiation'';
       (2) in paragraph (4)--
       (A) by amending the first sentence to read as follows: 
     ``The schedule of reasonable rates and terms determined by 
     the Copyright Royalty Judges shall, subject to paragraph (5), 
     be binding on all copyright owners of sound recordings and 
     transmitting organizations entitled to a statutory license 
     under this subsection during the 5-year period specified in 
     paragraph (3), or such other period as the parties may 
     agree.'';
       (B) by striking ``copyright arbitration royalty panel'' 
     each subsequent place it appears and inserting ``Copyright 
     Royalty Judges'';
       (C) in the fourth sentence, by striking ``its decision'' 
     and inserting ``their decision'';
       (D) in the fifth sentence, by striking ``negotiated as 
     provided'' and inserting ``described''; and
       (E) in the last sentence, by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges'';
       (3) in paragraph (5), by striking ``or decision by the 
     Librarian of Congress'' and inserting ``, decision by the 
     Librarian of Congress, or determination by the Copyright 
     Royalty Judges'';
       (4) by striking paragraph (6) and redesignating paragraphs 
     (7), (8), and (9), as paragraphs (6), (7), and (8), 
     respectively; and
       (5) in paragraph (6)(A), as so redesignated, by striking 
     ``Librarian of Congress'' and inserting ``Copyright Royalty 
     Judges''.
       (c) Scope of Exclusive Rights in Sound Recordings.--Section 
     114(f) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (A)--
       (i) by amending the first sentence to read as follows: 
     ``Proceedings under chapter 8 shall determine reasonable 
     rates and terms of royalty payments for subscription 
     transmissions by preexisting subscription services and 
     transmissions by preexisting satellite digital audio radio 
     services specified by subsection (d)(2) during 5-year periods 
     beginning on January 1 of the second year following the year 
     in which the proceedings are to be commenced, except where 
     different transitional periods are provided in section 
     804(b), or such periods as the parties may agree.'';
       (ii) in the third sentence, by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''; and
       (iii) in the fourth sentence, by striking ``negotiation'';
       (B) in subparagraph (B)--
       (i) by amending the first sentence to read as follows: 
     ``The schedule of reasonable rates and terms determined by 
     the Copyright Royalty Judges shall, subject to paragraph (3), 
     be binding on all copyright owners of sound recordings and 
     entities performing sound recordings affected by this 
     paragraph during the 5-year period specified in subparagraph 
     (A), a transitional period provided in section 804(b), or 
     such other period as the parties may agree.'';
       (ii) in the second sentence, by striking ``copyright 
     arbitration royalty panel'' and inserting ``Copyright Royalty 
     Judges''; and
       (iii) in the second sentence, by striking ``negotiated as 
     provided'' and inserting ``described''; and
       (C) by amending subparagraph (C) to read as follows:
       ``(C) The procedures under subparagraphs (A) and (B) also 
     shall be initiated pursuant to a petition filed by any 
     copyright owners of sound recordings, any preexisting 
     subscription services, or any preexisting satellite digital 
     audio radio services indicating that a new type of 
     subscription digital audio transmission service on which 
     sound recordings are performed is or is about to become 
     operational, for the purpose of determining reasonable terms 
     and rates of royalty payments with respect to such new type 
     of transmission service for the period beginning with the 
     inception of such new type of service and ending on the date 
     on which the royalty rates and terms for subscription digital 
     audio transmission services most recently determined under 
     subparagraph (A) or (B) and chapter 8 expire, or such other 
     period as the parties may agree.'';
       (2) in paragraph (2)--
       (A) in subparagraph (A)--
       (i) by amending the first paragraph to read as follows: 
     ``Proceedings under chapter 8 shall determine reasonable 
     rates and terms of royalty payments for subscription 
     transmissions by eligible nonsubscription transmission 
     services and transmissions by new subscription services 
     specified by subsection (d)(2) during 5-year periods 
     beginning on January 1 of the second year following the year 
     in which the proceedings are to be commenced, except where 
     different transitional periods are provided in section 
     804(b), or such periods as the parties may agree.'';
       (ii) in the third sentence, by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''; and
       (iii) in the fourth sentence, by striking ``negotiation'';
       (B) in subparagraph (B)--
       (i) by amending the first sentence to read as follows: 
     ``The schedule of reasonable rates and terms determined by 
     the Copyright Royalty Judges shall, subject to paragraph (3), 
     be binding on all copyright owners of sound recordings and 
     entities performing sound recordings affected by this 
     paragraph during the 5-year period specified in subparagraph 
     (A), a transitional period provided in section 804(b), or 
     such other period as the parties may agree.'';
       (ii) by striking ``copyright arbitration royalty panel'' 
     each subsequent place it appears and inserting ``Copyright 
     Royalty Judges''; and
       (iii) in the last sentence by striking ``negotiated as 
     provided'' and inserting ``described in''; and
       (C) by amending subparagraph (C) to read as follows:
       ``(C) The procedures under subparagraphs (A) and (B) shall 
     also be initiated pursuant to a petition filed by any 
     copyright owners of sound recordings or any eligible 
     nonsubscription service or new subscription service 
     indicating that a new type of eligible nonsubscription 
     service or new subscription service on which sound recordings 
     are performed is or is about to become operational, for the 
     purpose of determining reasonable terms and rates of royalty 
     payments with respect to such new type of service for the 
     period beginning with the inception of such new type of 
     service and ending on the date on which the royalty rates and 
     terms for preexisting subscription digital audio transmission 
     services or preexisting satellite digital radio audio 
     services, as the case may be, most recently determined under 
     subparagraph (A) or (B) and chapter 8 expire, or such other 
     period as the parties may agree.'';
       (3) in paragraph (3), by striking ``or decision by the 
     Librarian of Congress'' and inserting ``, decision by the 
     Librarian of Congress, or determination by the Copyright 
     Royalty Judges''; and
       (4) in paragraph (4)--
       (A) by striking ``Librarian of Congress'' each place it 
     appears and inserting ``Copyright Royalty Judges''; and
       (B) by adding after the first sentence ``The notice and 
     recordkeeping rules in effect on the day before the effective 
     date of the Copyright Royalty and Distribution Reform Act of 
     2004 shall remain in effect unless and until new regulations 
     are promulgated by the Copyright Royalty Judges. If new 
     regulations are promulgated under this subparagraph, the 
     Copyright Royalty Judges shall take into account the 
     substance and effect of the rules in effect on the day before 
     the effective date of the Copyright Royalty and Distribution 
     Reform Act of 2004 and shall, to the extent practicable, 
     avoid significant disruption of the functions of any 
     designated agent authorized to collect and distribute royalty 
     fees.''.
       (d) Phonorecords of Nondramatic Musical Works.--Section 
     115(c)(3) is amended--
       (1) in subparagraph (A)(ii), by striking ``(F)'' and 
     inserting ``(E)'';
       (2) in subparagraph (B)--
       (A) by striking ``under this paragraph'' and inserting 
     ``under this section'';
       (B) by inserting ``on a nonexclusive basis'' after ``common 
     agents''; and
       (C) by striking ``subparagraphs (C) through (F)'' and 
     inserting ``this subparagraph and subparagraphs (C) through 
     (E)''; and
       (3) in subparagraph (C)--
       (A) by amending the first sentence to read as follows: 
     ``Proceedings under chapter 8 shall determine reasonable 
     rates and terms of royalty payments for the activities 
     specified by this section during periods beginning with the 
     effective date of such rates and terms, but not earlier than 
     January 1 of the second year following the year in which the 
     petition requesting the proceeding is filed, and ending on 
     the effective date of successor rates and terms, or such 
     other period as the parties may agree.'';
       (B) in the third sentence, by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''; and
       (C) in the fourth sentence, by striking ``negotiation'';
       (4) in subparagraph (D)--
       (A) by amending the first sentence to read as follows: 
     ``The schedule of reasonable rates and terms determined by 
     the Copyright Royalty Judges shall, subject to subparagraph 
     (E), be binding on all copyright owners of nondramatic 
     musical works and persons entitled to obtain a compulsory 
     license under subsection (a)(1) during the period specified 
     in subparagraph (C), such other period as may be determined 
     pursuant to subparagraphs (B) and (C), or such other period 
     as the parties may agree.'';
       (B) in the third sentence, by striking ``copyright 
     arbitration royalty panel'' and inserting ``Copyright Royalty 
     Judges''; and
       (C) in the third sentence, by striking ``negotiated as 
     provided in subparagraphs (B) and (C)'' and inserting 
     ``described'';
       (5) in subparagraph (E)--
       (A) in clause (i)--
       (i) in the first sentence, by striking ``Librarian of 
     Congress'' and inserting ``Librarian of Congress, Copyright 
     Royalty Judges, or a copyright arbitration royalty panel to 
     the extent those determinations were accepted by the 
     Librarian of Congress''; and

[[Page 21028]]

       (ii) in the second sentence, by striking ``(C), (D) or (F) 
     shall be given effect'' and inserting ``(C) or (D) shall be 
     given effect as to digital phonorecord deliveries''; and
       (B) in clause (ii)(I), by striking ``(C), (D) or (F)'' each 
     place it appears and inserting ``(C) or (D)''; and
       (6) by striking subparagraph (F) and redesignating 
     subparagraphs (G) through (L) as subparagraphs (F) through 
     (K), respectively.
       (e) Coin-Operated Phonorecord Players.--Section 116 is 
     amended--
       (1) in subsection (b), by amending paragraph (2) to read as 
     follows:
       ``(2) Chapter 8 proceeding.--Parties not subject to such a 
     negotiation may have the terms and rates and the division of 
     fees described in paragraph (1) determined in a proceeding in 
     accordance with the provisions of chapter 8.''; and
       (2) in subsection (c)--
       (A) in the subsection heading, by striking ``Copyright 
     Arbitration Royalty Panel Determinations'' and inserting 
     ``Determinations by Copyright Royalty Judges''; and
       (B) by striking ``a copyright arbitration royalty panel'' 
     and inserting ``the Copyright Royalty Judges''.
       (f) Use of Certain Works in Connection With Noncommercial 
     Broadcasting.--Section 118 is amended--
       (1) in subsection (b)--
       (A) in paragraph (1)--
       (i) in the first sentence, by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''; and
       (ii) by striking the second and third sentences;
       (B) in paragraph (2), by striking ``Librarian of 
     Congress:'' and all that follows through the end of the 
     sentence and inserting ``Librarian of Congress, a copyright 
     arbitration royalty panel, or the Copyright Royalty Judges, 
     to the extent that they were accepted by the Librarian of 
     Congress, if copies of such agreements are filed with the 
     Copyright Royalty Judges within 30 days of execution in 
     accordance with regulations that the Copyright Royalty Judges 
     shall issue.''; and
       (C) in paragraph (3)--
       (i) in the second sentence--

       (I) by striking ``copyright arbitration royalty panel'' and 
     inserting ``Copyright Royalty Judges''; and

       (II) by striking ``paragraph (2).'' and inserting 
     ``paragraph (2) or (3).'';

       (ii) in the last sentence, by striking ```Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges''; and
       (iii) by striking ``(3) In'' and all that follows through 
     the end of the first sentence and inserting the following:
       ``(3) Voluntary negotiation proceedings initiated pursuant 
     to a petition filed under section 804(a) for the purpose of 
     determining a schedule of terms and rates of royalty payments 
     by public broadcasting entities to copyright owners in works 
     specified by this subsection and the proportionate division 
     of fees paid among various copyright owners shall cover the 
     5-year period beginning on January 1 of the second year 
     following the year in which the petition is filed. The 
     parties to each negotiation proceeding shall bear their own 
     costs.
       ``(4) In the absence of license agreements negotiated under 
     paragraph (2) or (3), the Copyright Royalty Judges shall, 
     pursuant to chapter 8, conduct a proceeding to determine and 
     publish in the Federal Register a schedule of rates and terms 
     which, subject to paragraph (2), shall be binding on all 
     owners of copyright in works specified by this subsection and 
     public broadcasting entities, regardless of whether such 
     copyright owners have submitted proposals to the Copyright 
     Royalty Judges.'';
       (2) by striking subsection (c) and redesignating 
     subsections (d) through (g) as subsections (c) through (f), 
     respectively;
       (3) in subsection (c), as so redesignated, in the matter 
     preceding paragraph (1)--
       (A) by striking ``(b)(2)'' and inserting ``(b)(2) or (3)'';
       (B) by striking ``(b)(3)'' and inserting ``(b)(4)''; and
       (C) by striking ``a copyright arbitration royalty panel 
     under subsection (b)(3)'' and inserting ``the Copyright 
     Royalty Judges under subsection (b)(3), to the extent that 
     they were accepted by the Librarian of Congress'';
       (4) in subsection (d), as so redesignated--
       (A) by striking ``in the Copyright Office'' and inserting 
     ``with the Copyright Royalty Judges''; and
       (B) by striking ``Register of Copyrights shall prescribe'' 
     and inserting ``Copyright Royalty Judges shall prescribe as 
     provided in section 803(b)(6)''; and
       (5) in subsection (f), as so redesignated, by striking 
     ``(d)'' and inserting ``(c)''.
       (g) Secondary Transmissions by Satellite Carriers.--Section 
     119(b) is amended--
       (1) in paragraph (3), by striking ``Librarian of Congress'' 
     and inserting ``Copyright Royalty Judges''; and
       (2) in paragraph (4)--
       (A) in subparagraph (A), by striking ``Librarian of 
     Congress'' each place it appears and inserting ``Copyright 
     Royalty Judges''; and
       (B) by amending subparagraphs (B) and (C) to read as 
     follows:
       ``(B) Determination of controversy; distributions.--After 
     the first day of August of each year, the Copyright Royalty 
     Judges shall determine whether there exists a controversy 
     concerning the distribution of royalty fees. If the Copyright 
     Royalty Judges determine that no such controversy exists, the 
     Librarian of Congress shall, after deducting reasonable 
     administrative costs under this paragraph, distribute such 
     fees to the copyright owners entitled to receive them, or to 
     their designated agents. If the Copyright Royalty Judges find 
     the existence of a controversy, the Copyright Royalty Judges 
     shall, pursuant to chapter 8 of this title, conduct a 
     proceeding to determine the distribution of royalty fees.
       ``(C) Withholding of fees during controversy.--During the 
     pendency of any proceeding under this subsection, the 
     Copyright Royalty Judges shall withhold from distribution an 
     amount sufficient to satisfy all claims with respect to which 
     a controversy exists, but shall have the discretion to 
     proceed to distribute any amounts that are not in 
     controversy.''.
       (h) Digital Audio Recording Devices.--
       (1) Royalty payments.--Section 1004(a)(3) is amended by 
     striking ``Librarian of Congress'' each place it appears and 
     inserting ``Copyright Royalty Judges''.
       (2) Entitlement to royalty payments.--Section 1006(c) is 
     amended by striking ``Librarian of Congress shall convene a 
     copyright arbitration royalty panel which'' and inserting 
     ``Copyright Royalty Judges''.
       (3) Procedures for distributing royalty payments.--Section 
     1007 is amended--
       (A) in subsection (a), by amending paragraph (1) to read as 
     follows:
       ``(1) Filing of claims.--During the first 2 months of each 
     calendar year, every interested copyright party seeking to 
     receive royalty payments to which such party is entitled 
     under section 1006 shall file with the Copyright Royalty 
     Judges a claim for payments collected during the preceding 
     year in such form and manner as the Copyright Royalty Judges 
     shall prescribe by regulation.''; and
       (B) by amending subsections (b) and (c) to read as follows:
       ``(b) Distribution of Payments in the Absence of a 
     Dispute.--After the period established for the filing of 
     claims under subsection (a), in each year, the Copyright 
     Royalty Judges shall determine whether there exists a 
     controversy concerning the distribution of royalty payments 
     under section 1006(c). If the Copyright Royalty Judges 
     determine that no such controversy exists, the Librarian of 
     Congress shall, within 30 days after such determination, 
     authorize the distribution of the royalty payments as set 
     forth in the agreements regarding the distribution of royalty 
     payments entered into pursuant to subsection (a). The 
     Librarian of Congress shall, before such royalty payments are 
     distributed, deduct the reasonable administrative costs 
     incurred by the Librarian under this section.
       ``(c) Resolution of Disputes.--If the Copyright Royalty 
     Judges find the existence of a controversy, the Copyright 
     Royalty Judges shall, pursuant to chapter 8 of this title, 
     conduct a proceeding to determine the distribution of royalty 
     payments. During the pendency of such a proceeding, the 
     Copyright Royalty Judges shall withhold from distribution an 
     amount sufficient to satisfy all claims with respect to which 
     a controversy exists, but shall, to the extent feasible, 
     authorize the distribution of any amounts that are not in 
     controversy. The Librarian of Congress shall, before such 
     royalty payments are distributed, deduct the reasonable 
     administrative costs incurred by the Librarian under this 
     section.''.
       (4) Determination of certain disputes.--(A) Section 1010 is 
     amended to read as follows:

     ``Sec. 1010. Determination of certain disputes

       ``(a) Scope of Determination.--Before the date of first 
     distribution in the United States of a digital audio 
     recording device or a digital audio interface device, any 
     party manufacturing, importing, or distributing such device, 
     and any interested copyright party may mutually agree to 
     petition the Copyright Royalty Judges to determine whether 
     such device is subject to section 1002, or the basis on which 
     royalty payments for such device are to be made under section 
     1003.
       ``(b) Initiation of Proceedings.--The parties under 
     subsection (a) shall file the petition with the Copyright 
     Royalty Judges requesting the commencement of a proceeding. 
     Within 2 weeks after receiving such a petition, the Chief 
     Copyright Royalty Judge shall cause notice to be published in 
     the Federal Register of the initiation of the proceeding.
       ``(c) Stay of Judicial Proceedings.--Any civil action 
     brought under section 1009 against a party to a proceeding 
     under this section shall, on application of one of the 
     parties to the proceeding, be stayed until completion of the 
     proceeding.
       ``(d) Proceeding.--The Copyright Royalty Judges shall 
     conduct a proceeding with respect to the matter concerned, in 
     accordance with such procedures as the Copyright Royalty 
     Judges may adopt. The Copyright Royalty Judges shall act on 
     the basis of a fully documented written record. Any party to 
     the

[[Page 21029]]

     proceeding may submit relevant information and proposals to 
     the Copyright Royalty Judges. The parties to the proceeding 
     shall each bear their respective costs of participation.
       ``(e) Judicial Review.--Any determination of the Copyright 
     Royalty Judges under subsection (d) may be appealed, by a 
     party to the proceeding, in accordance with section 803(d) of 
     this title. The pendency of an appeal under this subsection 
     shall not stay the determination of the Copyright Royalty 
     Judges. If the court modifies the determination of the 
     Copyright Royalty Judges, the court shall have jurisdiction 
     to enter its own decision in accordance with its final 
     judgment. The court may further vacate the determination of 
     the Copyright Royalty Judges and remand the case for 
     proceedings as provided in this section.''.
       (B) The item relating to section 1010 in the table of 
     sections for chapter 10 is amended to read as follows:

``1010. Determination of certain disputes.''.

     SEC. 6. EFFECTIVE DATE AND TRANSITION PROVISIONS.

       (a) Effective Date.--This Act and the amendments made by 
     this Act shall take effect 6 months after the date of 
     enactment of this Act, except that the Librarian of Congress 
     shall appoint 1 or more interim Copyright Royalty Judges 
     under section 802(d) of title 17, United States Code, as 
     amended by this Act, within 90 days after such date of 
     enactment to carry out the functions of the Copyright Royalty 
     Judges under title 17, United States Code, to the extent that 
     Copyright Royalty Judges provided for in section 801(a) of 
     title 17, United States Code, as amended by this Act, have 
     not been appointed before the end of that 90-day period.
       (b) Transition Provisions.--
       (1) In general.--Subject to paragraphs (2) and (3), the 
     amendments made by this Act shall not affect any proceedings 
     commenced, petitions filed, or voluntary agreements entered 
     into before the date of enactment of this Act under the 
     provisions of title 17, United States Code, as amended by 
     this Act, and pending on such date of enactment. Such 
     proceedings shall continue, determinations made in such 
     proceedings, and appeals taken therefrom, as if this Act had 
     not been enacted, and shall continue in effect until modified 
     under title 17, United States Code, as amended by this Act. 
     Such petitions filed and voluntary agreements entered into 
     shall remain in effect as if this Act had not been enacted. 
     For purposes of this paragraph, the Librarian of Congress may 
     determine whether a proceeding has commenced. The Librarian 
     of Congress may terminate any proceeding commenced before the 
     date of enactment of this Act pursuant to chapter 8 of title 
     17, United States Code, and any proceeding so terminated 
     shall become null and void. In such cases, the Copyright 
     Royalty Judges may initiate a new proceeding in accordance 
     with regulations adopted pursuant to section 803(b)(6) of 
     title 17, United States Code.
       (2) Certain royalty rates proceedings.--Notwithstanding any 
     other provision of law, proceedings to determine royalty 
     rates pursuant to section 119(c) of title 17, United States 
     Code, shall be conducted pursuant to the provisions of title 
     17, United States Code, and the rules and practices in effect 
     under that chapter on the day before any provision of this 
     Act takes effect.
       (3) Pending proceedings.--Notwithstanding paragraph (1), 
     any proceedings to establish or adjust rates and terms for 
     the statutory licenses under section 114(f)(2) or 112(e) of 
     title 17, United States Code, for a statutory period 
     commencing on or after January 1, 2005, shall be terminated 
     upon the date of enactment of this Act and shall be null and 
     void. The rates and terms in effect under section 114(f)(2) 
     or 112(e) of title 17, United States Code, on December 31, 
     2004, for new subscription services, eligible nonsubscription 
     services, and services exempt under section 114(d)(1)(C)(iv) 
     of such title, and the rates and terms published in the 
     Federal Register under the authority of the Small Webcaster 
     Settlement Act of 2002 (17 U.S.C. 114 note; Public Law 107-
     321) (including the amendments made by that Act) for the 
     years 2003 through 2004, as well as any notice and 
     recordkeeping provisions adopted pursuant thereto, shall 
     remain in effect until the later of the first applicable 
     effective date for successor terms and rates specified in 
     section 804(b) (2) or (3)(A) of title 17, United States Code, 
     or such later date as the parties may agree or the Copyright 
     Royalty Judges may establish. For the period commencing 
     January 1, 2005, an eligible small webcaster or a 
     noncommercial webcaster, as defined in the regulations 
     published by the Register of Copyrights pursuant to the Small 
     Webcaster Settlement Act of 2002 (17 U.S.C. 114 note; Public 
     Law 107-321) (including the amendments made by that Act), may 
     elect to be subject to the rates and terms published in those 
     regulations by complying with the procedures governing the 
     election process set forth in those regulations not later 
     than the first date on which the webcaster would be obligated 
     to make a royalty payment for such period. Until successor 
     terms and rates have been established for the period 
     commencing January 1, 2006, licensees shall continue to make 
     royalty payments at the rates and on the terms previously in 
     effect, subject to retroactive adjustment when successor 
     rates and terms for such services are established.
       (4) Interim proceedings.--Notwithstanding subsection (a), 
     as soon as practicable after the date of enactment of this 
     Act, the Copyright Royalty Judges or interim Copyright 
     Royalty Judges shall publish the notice described in section 
     803(b)(1)(A) of title 17, United States Code, as amended by 
     this Act, to initiate a proceeding to establish or adjust 
     rates and terms for the statutory licenses under section 
     114(f)(2) or 112(e) of title 17, United States Code, for new 
     subscription services and eligible nonsubscription services 
     for the period commencing January 1, 2006. The Copyright 
     Royalty Judges or Interim Copyright Royalty Judges are 
     authorized to cause that proceeding to take place as provided 
     in subsection (b) of section 803 of that title within the 
     time periods set forth in that subsection. Notwithstanding 
     section 803(c)(1) of that title, the Copyright Royalty Judges 
     shall not be required to issue their determination in that 
     proceeding before the expiration of the statutory rates and 
     terms in effect on December 31, 2004.
       (c) Existing Appropriations.--Any funds made available in 
     an appropriations Act to carry out chapter 8 of title 17, 
     United States Code, shall be available to the extent 
     necessary to carry out this section.
                                 ______
                                 
  SA 3976. Ms. COLLINS (for Mr. Inhofe (for himself, Mr. Jeffords, Mr. 
Bond, and Mr. Reid)) proposed an amendment to the bill S. 1134, to 
reauthorize and improve the programs authorized by the Public Works and 
Economic Development Act of 1965; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Economic 
     Development Administration Reauthorization Act of 2004''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.

                      TITLE I--GENERAL PROVISIONS

Sec. 101. Findings and declarations.
Sec. 102. Definitions.
Sec. 103. Establishment of Economic Development partnerships.
Sec. 104. Coordination.

       TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

Sec. 201. Grants for planning.
Sec. 202. Cost sharing.
Sec. 203. Supplementary grants.
Sec. 204. Regulations on relative needs and allocations.
Sec. 205. Grants for training, research, and technical assistance.
Sec. 206. Prevention of unfair competition.
Sec. 207. Grants for economic adjustment.
Sec. 208. Use of funds in projects constructed under projected cost.
Sec. 209. Special impact areas.
Sec. 210. Performance awards.
Sec. 211. Planning performance awards.
Sec. 212. Direct expenditure or redistribution by recipient.
Sec. 213. Brightfields demonstration program.

        TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

Sec. 301. Eligibility of areas.
Sec. 302. Comprehensive Economic Development strategies.

                TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

Sec. 401. Incentives.
Sec. 402. Provision of comprehensive Economic Development strategies to 
              Regional Commissions.

                        TITLE V--ADMINISTRATION

Sec. 501. Economic Development information clearinghouse.
Sec. 502. Businesses desiring Federal contracts.
Sec. 503. Performance evaluations of grant recipients.
Sec. 504. Conforming amendments.

                        TITLE VI--MISCELLANEOUS

Sec. 601. Annual report to Congress.
Sec. 602. Relationship to assistance under other law.
Sec. 603. Brownfields redevelopment report.
Sec. 604. Savings clause
Sec. 605. Sense of Congress regarding Economic Development 
              Representatives.

                           TITLE VII--FUNDING

Sec. 701. Authorization of appropriations.
Sec. 702. Funding for grants for planning and grants for administrative 
              expenses.

                      TITLE I--GENERAL PROVISIONS

     SEC. 101. FINDINGS AND DECLARATIONS.

       Section 2 of the Public Works and Economic Development Act 
     of 1965 (42 U.S.C. 3121) is amended to read as follows:

     ``SEC. 2. FINDINGS AND DECLARATIONS.

       ``(a) Findings.--Congress finds that--
       ``(1) there continue to be areas of the United States 
     experiencing chronic high unemployment, underemployment, 
     outmigration, and low per capita incomes, as well as areas 
     facing sudden and severe economic dislocations because of 
     structural economic

[[Page 21030]]

     changes, changing trade patterns, certain Federal actions 
     (including environmental requirements that result in the 
     removal of economic activities from a locality), and natural 
     disasters;
       ``(2) economic growth in the States, cities, and rural 
     areas of the United States is produced by expanding economic 
     opportunities, expanding free enterprise through trade, 
     developing and strengthening public infrastructure, and 
     creating a climate for job creation and business development;
       ``(3) the goal of Federal economic development programs is 
     to raise the standard of living for all citizens and increase 
     the wealth and overall rate of growth of the economy by 
     encouraging communities to develop a more competitive and 
     diversified economic base by--
       ``(A) creating an environment that promotes economic 
     activity by improving and expanding public infrastructure;
       ``(B) promoting job creation through increased innovation, 
     productivity, and entrepreneurship; and
       ``(C) empowering local and regional communities 
     experiencing chronic high unemployment and low per capita 
     income to develop private sector business and attract 
     increased private sector capital investment;
       ``(4) while economic development is an inherently local 
     process, the Federal Government should work in partnership 
     with public and private State, regional, tribal, and local 
     organizations to maximize the impact of existing resources 
     and enable regions, communities, and citizens to participate 
     more fully in the American dream and national prosperity;
       ``(5) in order to avoid duplication of effort and achieve 
     meaningful, long-lasting results, Federal, State, tribal, and 
     local economic development activities should have a clear 
     focus, improved coordination, a comprehensive approach, and 
     simplified and consistent requirements; and
       ``(6) Federal economic development efforts will be more 
     effective if the efforts are coordinated with, and build 
     upon, the trade, workforce investment, transportation, and 
     technology programs of the United States.
       ``(b) Declarations.--In order to promote a strong and 
     growing economy throughout the United States, Congress 
     declares that--
       ``(1) assistance under this Act should be made available to 
     both rural- and urban-distressed communities;
       ``(2) local communities should work in partnership with 
     neighboring communities, the States, Indian tribes, and the 
     Federal Government to increase the capacity of the local 
     communities to develop and implement comprehensive economic 
     development strategies to alleviate economic distress and 
     enhance competitiveness in the global economy;
       ``(3) whether suffering from long-term distress or a sudden 
     dislocation, distressed communities should be encouraged to 
     support entrepreneurship to take advantage of the development 
     opportunities afforded by technological innovation and 
     expanding newly opened global markets; and
       ``(4) assistance under this Act should be made available to 
     promote the productive reuse of abandoned industrial 
     facilities and the redevelopment of brownfields.''.

     SEC. 102. DEFINITIONS.

       (a) Eligible Recipient.--Section 3(4)(A) of the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 
     3122(4)(A)) is amended--
       (1) by striking clause (i) and redesignating clauses (ii) 
     through (vii) as clauses (i) through (vi), respectively; and
       (2) in clause (iv) (as redesignated by paragraph (1)) by 
     inserting ``, including a special purpose unit of a State or 
     local government engaged in economic or infrastructure 
     development activities,'' after ``State''.
       (b) Regional Commissions; University Center.--Section 3 of 
     the Public Works and Economic Development Act of 1965 (42 
     U.S.C. 3122) is amended--
       (1) by redesignating paragraphs (8), (9), and (10) as 
     paragraphs (9), (10), and (11), respectively;
       (2) by inserting after paragraph (7) the following:
       ``(8) Regional commissions.--The term `Regional 
     Commissions' means--
       ``(A) the Appalachian Regional Commission established under 
     chapter 143 of title 40, United States Code;
       ``(B) the Delta Regional Authority established under 
     subtitle F of the Consolidated Farm and Rural Development Act 
     (7 U.S.C. 2009aa et seq.);
       ``(C) the Denali Commission established under the Denali 
     Commission Act of 1998 (42 U.S.C. 3121 note; 112 Stat. 2681-
     637 et seq.); and
       ``(D) the Northern Great Plains Regional Authority 
     established under subtitle G of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 2009bb et seq.).''; and
       (3) by adding at the end the following:
       ``(12) University center.--The term `university center' 
     means an institution of higher education or a consortium of 
     institutions of higher education established as a University 
     Center for Economic Development under section 
     207(a)(2)(D).''.

     SEC. 103. ESTABLISHMENT OF ECONOMIC DEVELOPMENT PARTNERSHIPS.

       Section 101 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3131) is amended--
       (1) in subsection (b), by striking ``and multi-State 
     regional organizations'' and inserting ``multi-State regional 
     organizations, and nonprofit organizations''; and
       (2) in subsection (d)(1), by striking ``adjoining'' each 
     place it appears.

     SEC. 104. COORDINATION.

       Section 103 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3132) is amended--
       (1) by inserting ``(a) In General.--'' before ``The 
     Secretary'';
       (2) in subsection (a) (as designated by paragraph (1)), by 
     inserting ``Indian tribes,'' after ``districts,''; and
       (3) by adding at the end the following:
       ``(b) Meetings.--To carry out subsection (a), or for any 
     other purpose relating to economic development activities, 
     the Secretary may convene meetings with Federal agencies, 
     State and local governments, economic development districts, 
     Indian tribes, and other appropriate planning and development 
     organizations.''.

       TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

     SEC. 201. GRANTS FOR PLANNING.

       Section 203(d) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3143(d)) is amended--
       (1) in paragraph (1), by inserting ``, to the maximum 
     extent practicable,'' after ``developed'' the second place it 
     appears;
       (2) by striking paragraph (3) and inserting the following:
       ``(3) Coordination.--Before providing assistance for a 
     State plan under this section, the Secretary shall consider 
     the extent to which the State will consider local and 
     economic development district plans.''; and
       (3) in paragraph (4)--
       (A) by striking ``and'' at the end of subparagraph (C);
       (B) by redesignating subparagraph (D) as subparagraph (F); 
     and
       (C) by adding after subparagraph (C) the following:
       ``(D) assist in carrying out the workforce investment 
     strategy of a State;
       ``(E) promote the use of technology in economic 
     development, including access to high-speed 
     telecommunications; and''.

     SEC. 202. COST SHARING.

       (a) Federal Share.--Section 204 of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3144) is amended 
     by striking subsection (a) and inserting the following:
       ``(a) Federal Share.--Except as provided in subsection (c), 
     the Federal share of the cost of any project carried out 
     under this title shall not exceed--
       ``(1) 50 percent; plus
       ``(2) an additional percent that--
       ``(A) shall not exceed 30 percent; and
       ``(B) is based on the relative needs of the area in which 
     the project will be located, as determined in accordance with 
     regulations promulgated by the Secretary.''.
       (b) Non-Federal Share.--Section 204(b) of the Public Works 
     and Economic Development Act of 1965 (42 U.S.C. 3144(b)) is 
     amended by inserting ``assumptions of debt,'' after 
     ``equipment,''.
       (c) Increase in Federal Share.--Section 204 of the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 3144) 
     is amended by adding at the end the following:
       ``(c) Increase in Federal Share.--
       ``(1) Indian tribes.--In the case of a grant to an Indian 
     tribe for a project under this title, the Secretary may 
     increase the Federal share above the percentage specified in 
     subsection (a) up to 100 percent of the cost of the project.
       ``(2) Certain states, political subdivisions, and nonprofit 
     organizations.--In the case of a grant to a State, or a 
     political subdivision of a State, that the Secretary 
     determines has exhausted the effective taxing and borrowing 
     capacity of the State or political subdivision, or in the 
     case of a grant to a nonprofit organization that the 
     Secretary determines has exhausted the effective borrowing 
     capacity of the nonprofit organization, the Secretary may 
     increase the Federal share above the percentage specified in 
     subsection (a) up to 100 percent of the cost of the project.
       ``(3) Training, research, and technical assistance.--In the 
     case of a grant provided under section 207, the Secretary may 
     increase the Federal share above the percentage specified in 
     subsection (a) up to 100 percent of the cost of the project 
     if the Secretary determines that the project funded by the 
     grant merits, and is not feasible without, such an 
     increase.''.

     SEC. 203. SUPPLEMENTARY GRANTS.

       (a) In General.--Section 205 of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3145) is amended 
     by striking subsection (b) and inserting the following:
       ``(b) Supplementary Grants.--Subject to subsection (c), in 
     order to assist eligible recipients in taking advantage of 
     designated Federal grant programs, on the application of an 
     eligible recipient, the Secretary may make a supplementary 
     grant for a project for which the recipient is eligible but 
     for which the recipient cannot provide the required non-
     Federal share because of the economic situation of the 
     recipient.''.

[[Page 21031]]

       (b) Requirements Applicable to Supplementary Grants.--
     Section 205(c) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3145(c)) is amended--
       (1) by striking paragraphs (1) and (2) and inserting the 
     following:
       ``(1) Amount of supplementary grants.--The share of the 
     project cost supported by a supplementary grant under this 
     section may not exceed the applicable Federal share under 
     section 204.
       ``(2) Form of supplementary grants.--The Secretary shall 
     make supplementary grants by--
       ``(A) the payment of funds made available under this Act to 
     the heads of the Federal agencies responsible for carrying 
     out the applicable Federal programs; or
       ``(B) the award of funds under this Act, which will be 
     combined with funds transferred from other Federal agencies 
     in projects administered by the Secretary.''; and
       (2) by striking paragraph (4).

     SEC. 204. REGULATIONS ON RELATIVE NEEDS AND ALLOCATIONS.

       Section 206 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3146) is amended--
       (1) in paragraph (1)(C), by striking ``and'' at the end;
       (2) in paragraph (2), by striking the period at the end and 
     inserting a semicolon; and
       (3) by adding at the end the following:
       ``(3)(A) rural and urban economically distressed areas are 
     not harmed by the establishment or implementation by the 
     Secretary of a private sector leveraging goal for a project 
     under this title;
       ``(B) any private sector leveraging goal established by the 
     Secretary does not prohibit or discourage grant applicants 
     under this title from public works in, or economic 
     development of, rural or urban economically distressed areas; 
     and
       ``(C) the relevant Committees of Congress are notified 
     prior to making any changes to any private sector leveraging 
     goal; and
       ``(4) grants made under this title promote job creation and 
     will have a high probability of meeting or exceeding 
     applicable performance requirements established in connection 
     with the grants.''.

     SEC. 205. GRANTS FOR TRAINING, RESEARCH, AND TECHNICAL 
                   ASSISTANCE.

       (a) In General.--Section 207(a)(2) of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3147(a)(2)) is 
     amended--
       (1) by striking ``and'' at the end of subparagraph (F);
       (2) by redesignating subparagraph (G) as subparagraph (I); 
     and
       (3) by inserting after subparagraph (F) the following:
       ``(G) studies that evaluate the effectiveness of 
     coordinating projects funded under this Act with projects 
     funded under other Acts;
       ``(H) assessment, marketing, and establishment of business 
     clusters; and''.
       (b) Cooperation Requirement.--Section 207(a) of the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 
     3147(a)) is amended by striking paragraph (3) and inserting 
     the following:
       ``(3) Cooperation requirement.--In the case of a project 
     assisted under this section that is national or regional in 
     scope, the Secretary may waive the provision in section 
     3(4)(A)(vi) requiring a nonprofit organization or association 
     to act in cooperation with officials of a political 
     subdivision of a State.''.

     SEC. 206. PREVENTION OF UNFAIR COMPETITION.

       (a) In General.--Section 208 of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3148) is 
     repealed.
       (b) Conforming Amendment.--The table of contents in section 
     1(b) of the Public Works and Economic Development Act of 1965 
     (42 U.S.C. 3121 note) is amended by striking the item 
     relating to section 208.

     SEC. 207. GRANTS FOR ECONOMIC ADJUSTMENT.

       (a) Assistance to Manufacturing Communities.--Section 
     209(c) of the Public Works and Economic Development Act of 
     1965 (42 U.S.C. 3149(c)) is amended--
       (1) in paragraph (3), by striking ``or'';
       (2) in paragraph (4), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(5) the loss of manufacturing jobs, for reinvesting in 
     and diversifying the economies of the communities.''.
       (b) Direct Expenditure or Redistribution by Recipient; 
     Special Provisions Relating to Revolving Loan Fund Grants.--
     Section 209 of the Public Works and Economic Development Act 
     of 1965 (42 U.S.C. 3149) is amended by striking subsection 
     (d) and inserting the following:
       ``(d) Special Provisions Relating to Revolving Loan Fund 
     Grants.--
       ``(1) In general.--The Secretary shall promulgate 
     regulations to maintain the proper operation and financial 
     integrity of revolving loan funds established by recipients 
     with assistance under this section.
       ``(2) Efficient administration.--The Secretary may--
       ``(A) at the request of a grantee, amend and consolidate 
     grant agreements governing revolving loan funds to provide 
     flexibility with respect to lending areas and borrower 
     criteria;
       ``(B) assign or transfer assets of a revolving loan fund to 
     third party for the purpose of liquidation, and the third 
     party may retain assets of the fund to defray costs related 
     to liquidation; and
       ``(C) take such actions as are appropriate to enable 
     revolving loan fund operators to sell or securitize loans 
     (except that the actions may not include issuance of a 
     Federal guaranty by the Secretary).
       ``(3) Treatment of actions.--An action taken by the 
     Secretary under this subsection with respect to a revolving 
     loan fund shall not constitute a new obligation if all grant 
     funds associated with the original grant award have been 
     disbursed to the recipient.
       ``(4) Preservation of securities laws.--
       ``(A) Not treated as exempted securities.--No securities 
     issued pursuant to paragraph (2)(C) shall be treated as 
     exempted securities for purposes of the Securities Act of 
     1933 (15 U.S.C. 77a et seq.) or the Securities Exchange Act 
     of 1934 (15 U.S.C. 78a et seq.), unless exempted by rule or 
     regulation of the Securities and Exchange Commission.
       ``(B) Preservation.--Except as provided in subparagraph 
     (A), no provision of this subsection or any regulation 
     promulgated by the Secretary under this subsection supersedes 
     or otherwise affects the application of the securities laws 
     (as the term is defined in section 3(a) of the Securities 
     Exchange Act of 1934 (15 U.S.C. 78c(a))) or the rules, 
     regulations, or orders of the Securities and Exchange 
     Commission or a self-regulatory organization under that 
     Commission.''.

     SEC. 208. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER 
                   PROJECTED COST.

       Section 211 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3151) is amended to read as follows:

     ``SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER 
                   PROJECTED COST.

       ``(a) In General.--In the case of a grant to a recipient 
     for a construction project under section 201 or 209, if the 
     Secretary determines, before closeout of the project, that 
     the cost of the project, based on the designs and 
     specifications that were the basis of the grant, has 
     decreased because of decreases in costs, the Secretary may 
     approve, without further appropriation, the use of the excess 
     funds (or a portion of the excess funds) by the recipient--
       ``(1) to increase the Federal share of the cost of a 
     project under this title to the maximum percentage allowable 
     under section 204; or
       ``(2) to improve the project.
       ``(b) Other Uses of Excess Funds.--Any amount of excess 
     funds remaining after application of subsection (a) may be 
     used by the Secretary for providing assistance under this 
     Act.
       ``(c) Transferred Funds.--In the case of excess funds 
     described in subsection (a) in projects using funds 
     transferred from other Federal agencies pursuant to section 
     604, the Secretary shall--
       ``(1) use the funds in accordance with subsection (a), with 
     the approval of the originating agency; or
       ``(2) return the funds to the originating agency.
       ``(d) Review by Comptroller General.--
       ``(1) Review.--The Comptroller General of the United States 
     shall regularly review the implementation of this section.
       ``(2) Report.--Not later than 1 year after the date of 
     enactment of this subsection, the Comptroller General shall 
     submit to the Committee on Environment and Public Works of 
     the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives a report on 
     the findings of the Comptroller General on implementation of 
     this subsection.''.

     SEC. 209. SPECIAL IMPACT AREAS.

       (a) In General.--Title II of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141 et seq.) is amended 
     by adding at the end the following:

     ``SEC. 214. SPECIAL IMPACT AREAS.

       ``(a) In General.--On the application of an eligible 
     recipient that is determined by the Secretary to be unable to 
     comply with the requirements of section 302, the Secretary 
     may waive, in whole or in part, the requirements of section 
     302 and designate the area represented by the recipient as a 
     special impact area.
       ``(b) Conditions.--The Secretary may make a designation 
     under subsection (a) only after determining that--
       ``(1) the project will fulfill a pressing need of the area; 
     and
       ``(2) the project will--
       ``(A) be useful in alleviating or preventing conditions of 
     excessive unemployment or underemployment; or
       ``(B) assist in providing useful employment opportunities 
     for the unemployed or underemployed residents in the area.
       ``(c) Notification.--At the time of the designation under 
     subsection (a), the Secretary shall submit to the Committee 
     on Environment and Public Works of the Senate and the 
     Committee on Transportation and Infrastructure of the House 
     of Representatives a written notice of the designation, 
     including a justification for the designation.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 213 the following:

``Sec. 214. Special impact areas.''.

[[Page 21032]]



     SEC. 210. PERFORMANCE AWARDS.

       (a) In General.--Title II of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended 
     by section 209) is amended by adding at the end the 
     following:

     ``SEC. 215. PERFORMANCE AWARDS.

       ``(a) In General.--The Secretary may make a performance 
     award in connection with a grant made, on or after the date 
     of enactment of this section, to an eligible recipient for a 
     project under section 201 or 209.
       ``(b) Performance Measures.--
       ``(1) Regulations.--The Secretary shall promulgate 
     regulations to establish performance measures for making 
     performance awards under subsection (a).
       ``(2) Considerations.--In promulgating regulations under 
     paragraph (1), the Secretary shall consider the inclusion of 
     performance measures that assess--
       ``(A) whether the recipient meets or exceeds scheduling 
     goals;
       ``(B) whether the recipient meets or exceeds job creation 
     goals;
       ``(C) amounts of private sector capital investments 
     leveraged; and
       ``(D) such other factors as the Secretary determines to be 
     appropriate.
       ``(c) Amount of Awards.--
       ``(1) In general.--The Secretary shall base the amount of a 
     performance award made under subsection (a) in connection 
     with a grant on the extent to which a recipient meets or 
     exceeds performance measures established in connection with 
     the grant.
       ``(2) Maximum amount.--The amount of a performance award 
     may not exceed 10 percent of the amount of the grant.
       ``(d) Use of Awards.--A recipient of a performance award 
     under subsection (a) may use the award for any eligible 
     purpose under this Act, in accordance with section 602 and 
     such regulations as the Secretary may promulgate.
       ``(e) Federal Share.--Notwithstanding section 204, the 
     funds of a performance award may be used to pay up to 100 
     percent of the cost of an eligible project or activity.
       ``(f) Treatment in Meeting Non-Federal Share 
     Requirements.--For the purposes of meeting the non-Federal 
     share requirements under this, or any other, Act the funds of 
     a performance award shall be treated as funds from a non-
     Federal source.
       ``(g) Terms and Conditions.--In making performance awards 
     under subsection (a), the Secretary shall establish such 
     terms and conditions as the Secretary considers to be 
     appropriate.
       ``(h) Funding.--The Secretary shall use any amounts made 
     available for economic development assistance programs to 
     carry out this section.
       ``(i) Reporting Requirement.--The Secretary shall include 
     information regarding performance awards made under this 
     section in the annual report required under section 603.
       ``(j) Review by Comptroller General.--
       ``(1) Review.--The Comptroller General shall regularly 
     review the implementation of this section.
       ``(2) Report.--Not later than 1 year after the date of 
     enactment of this section, the Comptroller General shall 
     submit to the Committee on Environment and Public Works of 
     the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives a report on 
     the findings of the Comptroller on implementation of this 
     subsection.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 214 the following:

``Sec. 215. Performance awards.''.

     SEC. 211. PLANNING PERFORMANCE AWARDS.

       (a) In General.--Title II of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended 
     by section 210) is amended by adding at the end the 
     following:

     ``SEC. 216. PLANNING PERFORMANCE AWARDS.

       ``(a) In General.--The Secretary may make a planning 
     performance award in connection with a grant made, on or 
     after the date of enactment of this section, to an eligible 
     recipient for a project under this title located in an 
     economic development district.
       ``(b) Eligibility.--The Secretary may make a planning 
     performance award to an eligible recipient under subsection 
     (a) in connection with a grant for a project if the Secretary 
     determines before closeout of the project that--
       ``(1) the recipient actively participated in the economic 
     development activities of the economic development district 
     in which the project is located;
       ``(2) the project is consistent with the comprehensive 
     economic development strategy of the district;
       ``(3) the recipient worked with Federal, State, and local 
     economic development entities throughout the development of 
     the project; and
       ``(4) the project was completed in accordance with the 
     comprehensive economic development strategy of the district.
       ``(c) Maximum Amount.--The amount of a planning performance 
     award made under subsection (a) in connection with a grant 
     may not exceed 5 percent of the amount of the grant.
       ``(d) Use of Awards.--A recipient of a planning performance 
     award under subsection (a) shall use the award to increase 
     the Federal share of the cost of a project under this title.
       ``(e) Federal Share.--Notwithstanding section 204, the 
     funds of a planning performance award may be used to pay up 
     to 100 percent of the cost of a project under this title.
       ``(f) Funding.--The Secretary shall use any amounts made 
     available for economic development assistance programs to 
     carry out this section.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 215 the following:

``Sec. 216. Planning performance awards.''.

     SEC. 212. DIRECT EXPENDITURE OR REDISTRIBUTION BY RECIPIENT.

       (a) In General.--Title II of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended 
     by section 211) is amended by adding at the end the 
     following:

     ``SEC. 217. DIRECT EXPENDITURE OR REDISTRIBUTION BY 
                   RECIPIENT.

       ``(a) In General.--Subject to subsection (b), a recipient 
     of a grant under section 201, 203, or 207 may directly expend 
     the grant funds or may redistribute the funds in the form of 
     a subgrant to other eligible recipients to fund required 
     components of the scope of work approved for the project.
       ``(b) Limitation.--A recipient may not redistribute grant 
     funds received under section 201 or 203 to a for-profit 
     entity.
       ``(c) Economic Adjustment.--Subject to subsection (d), a 
     recipient of a grant under section 209 may directly expend 
     the grant funds or may redistribute the funds to public and 
     private entities in the form of a grant, loan, loan 
     guarantee, payment to reduce interest on a loan guarantee, or 
     other appropriate assistance.
       ``(d) Limitation.--Under subsection (c), a recipient may 
     not provide any grant to a private for-profit entity.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 216 the following:

``Sec. 217. Direct expenditure or redistribution by recipient.''.

     SEC. 213. BRIGHTFIELDS DEMONSTRATION PROGRAM.

       (a) In General.--Title II of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended 
     by section 212) is amended by adding at the end the 
     following:

     ``SEC. 218. BRIGHTFIELDS DEMONSTRATION PROGRAM.

       ``(a) Definition of Brightfield Site.--In this section, the 
     term `brightfield site' means a brownfield site that is 
     redeveloped through the incorporation of 1 or more solar 
     energy technologies.
       ``(b) Demonstration Program.--On the application of an 
     eligible recipient, the Secretary may make a grant for a 
     project for the development of a brightfield site if the 
     Secretary determines that the project will--
       ``(1) use 1 or more solar energy technologies to develop 
     abandoned or contaminated sites for commercial use; and
       ``(2) improve the commercial and economic opportunities in 
     the area in which the project is located.
       ``(c) Savings Clause.--To the extent that any portion of a 
     grant awarded under subsection (b) involves remediation, the 
     remediation shall be subject to section 612.
       ``(d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $5,000,000 for 
     each of fiscal years 2004 through 2008, to remain available 
     until expended.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 217 (as added by section 
     212(b)) the following:

``Sec. 218. Brightfields demonstration program.''.

        TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

     SEC. 301. ELIGIBILITY OF AREAS.

       Section 301(c)(1) of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3161(c)(1)) is amended by 
     inserting after ``most recent Federal data available'' the 
     following: ``(including data available from the Bureau of 
     Economic Analysis, the Bureau of Labor Statistics, the Census 
     Bureau, the Bureau of Indian Affairs, or any other Federal 
     source determined by the Secretary to be appropriate)''.

     SEC. 302. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES.

       (a) In General.--Section 302(a)(3)(A) of the Public Works 
     and Economic Development Act of 1965 (42 U.S.C. 
     3162(a)(3)(A)) is amended by inserting ``maximizes effective 
     development and use of the workforce consistent with any 
     applicable State or local workforce

[[Page 21033]]

     investment strategy, promotes the use of technology in 
     economic development (including access to high-speed 
     telecommunications),'' after ``access,''.
       (b) Approval of Other Plan.--Section 302(c) of the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 
     3162(c)) is amended--
       (1) by striking ``The Secretary'' and inserting the 
     following:
       ``(1) In general.--The Secretary''; and
       (2) by adding at the end the following:
       ``(2) Existing strategy.--To the maximum extent 
     practicable, a plan submitted under this paragraph shall be 
     consistent and coordinated with any existing comprehensive 
     economic development strategy for the area.''.

                TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

     SEC. 401. INCENTIVES.

       (a) In General.--Section 403 of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3173) is 
     repealed.
       (b) Conforming Amendment.--The table of contents in section 
     1(b) of the Public Works and Economic Development Act of 1965 
     (42 U.S.C. 3121 note) is amended by striking the item 
     relating to section 403.

     SEC. 402. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT 
                   STRATEGIES TO REGIONAL COMMISSIONS.

       (a) In General.--Section 404 of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3174) is amended 
     to read as follows:

     ``SEC. 404. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT 
                   STRATEGIES TO REGIONAL COMMISSIONS.

       ``If any part of an economic development district is in a 
     region covered by 1 or more of the Regional Commissions, the 
     economic development district shall ensure that a copy of the 
     comprehensive economic development strategy of the district 
     is provided to the affected Regional Commission.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by striking the 
     item relating to section 404 and inserting the following:

``Sec. 404. Provision of comprehensive economic development strategies 
              to Regional Commissions.''.

                        TITLE V--ADMINISTRATION

     SEC. 501. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE.

       Section 502 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3192) is amended--
       (1) by striking paragraph (1) and inserting the following:
       ``(1) maintain a central information clearinghouse on the 
     Internet with--
       ``(A) information on economic development, economic 
     adjustment, disaster recovery, defense conversion, and trade 
     adjustment programs and activities of the Federal Government;
       ``(B) links to State economic development organizations; 
     and
       ``(C) links to other appropriate economic development 
     resources;'';
       (2) by striking paragraph (2) and inserting the following:
       ``(2) assist potential and actual applicants for economic 
     development, economic adjustment, disaster recovery, defense 
     conversion, and trade adjustment assistance under Federal and 
     State laws in locating and applying for the assistance;'';
       (3) by striking the period at the end of paragraph (3) and 
     inserting ``; and''; and
       (4) by adding at the end the following:
       ``(4) obtain appropriate information from other Federal 
     agencies needed to carry out the duties under this Act.''.

     SEC. 502. BUSINESSES DESIRING FEDERAL CONTRACTS.

       (a) In General.--Section 505 of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3195) is 
     repealed.
       (b) Conforming Amendment.--The table of contents in section 
     1(b) of the Public Works and Economic Development Act of 1965 
     (42 U.S.C. 3121 note) is amended by striking the item 
     relating to section 505.

     SEC. 503. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS.

       (a) In General.--Section 506(c) of the Public Works and 
     Economic Development Act of 1965 (42 U.S.C. 3196(c)) is 
     amended by striking ``after the effective date of the 
     Economic Development Administration Reform Act of 1998''.
       (b) Evaluation Criteria.--Section 506(d)(2) of the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 
     3196(d)(2)) is amended by inserting ``program performance,'' 
     after ``applied research,''.

     SEC. 504. CONFORMING AMENDMENTS.

       Section 602 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3212) is amended--
       (1) in the first sentence, by striking ``in accordance 
     with'' and all that follows before the period at the end and 
     inserting ``in accordance with subchapter IV of chapter 31 of 
     title 40, United States Code''; and
       (2) in the third sentence, by striking ``section 2 of the 
     Act of June 13, 1934, as amended (40 U.S.C. 276c)'' and 
     inserting ``section 3145 of title 40, United States Code''.

                        TITLE VI--MISCELLANEOUS

     SEC. 601. ANNUAL REPORT TO CONGRESS.

       Section 603 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3213) is amended--
       (1) by striking ``Not later'' and inserting the following:
       ``(a) In General.--Not later''; and
       (2) by adding at the end the following:
       ``(b) Inclusions.--Each report required under subsection 
     (a) shall--
       ``(1) include a list of all grant recipients by State, 
     including the projected private sector dollar to Federal 
     dollar investment ratio for each grant recipient;
       ``(2) include a discussion of any private sector leveraging 
     goal with respect to grants awarded to--
       ``(A) rural and urban economically distressed areas; and
       ``(B) highly distressed areas; and
       ``(3) after the completion of a project, include the 
     realized private sector dollar to Federal dollar investment 
     ratio for the project.''.

     SEC. 602. RELATIONSHIP TO ASSISTANCE UNDER OTHER LAW.

       Section 609 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3219) is amended--
       (1) by striking subsection (a); and
       (2) by striking ``(b) Assistance Under Other Acts.--''.

     SEC. 603. BROWNFIELDS REDEVELOPMENT REPORT.

       (a) In General.--Title VI of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3171 et seq.) is amended 
     by adding at the end the following:

     ``SEC. 611. BROWNFIELDS REDEVELOPMENT REPORT.

       ``(a) Definition of Brownfield Site.--In this section, the 
     term `brownfield site' has the meaning given the term in 
     section 101(39) of the Comprehensive Environmental Response, 
     Compensation, and Liability Act of 1980 (42 U.S.C. 9601(39)).
       ``(b) Report.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of this section, the Comptroller General shall 
     prepare a report that evaluates the grants made by the 
     Economic Development Administration for the economic 
     development of brownfield sites.
       ``(2) Contents.--The report shall--
       ``(A) identify each project conducted during the previous 
     10-year period in which grant funds have been used for 
     brownfield sites redevelopment activities; and
       ``(B) include for each project a description of --
       ``(i) the type of economic development activities 
     conducted;
       ``(ii) if remediation activities were conducted--

       ``(I) the type of remediation activities; and
       ``(II) the amount of grant money used for those activities 
     in dollars and as a percentage of the total grant award;

       ``(iii) the economic development and environmental 
     standards applied, if applicable;
       ``(iv) the economic development impact of the project;
       ``(v) the role of Federal, State, or local environmental 
     agencies, if any; and
       ``(vi) public participation in the project.
       ``(3) Submission of report.--The Comptroller General shall 
     submit to the Committee on Environment and Public Works of 
     the Senate and the Committee on Transportation and 
     Infrastructure of the House of Representatives a copy of the 
     report.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 610 the following:

``Sec. 611. Brownfields redevelopment report.''.

     SEC. 604. SAVINGS CLAUSE.

       (a) In General.--Title VI of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3171 et seq.) (as amended 
     by section 603(a)) is amended by adding at the end the 
     following:

     ``SEC. 612. SAVINGS CLAUSE.

       ``To the extent that any portion of grants made under this 
     Act are used for an economic development project that 
     involves remediation, the remediation shall be conducted in 
     compliance with all applicable Federal, State, and local laws 
     and standards.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 611 (as added by section 
     603(b)) the following:

``Sec. 612. Savings clause.''.

     SEC. 605. SENSE OF CONGRESS REGARDING ECONOMIC DEVELOPMENT 
                   REPRESENTATIVES.

       (a) Findings.--Congress finds that--
       (1) planning and coordination among Federal agencies, State 
     and local governments, Indian tribes, and economic 
     development districts is vital to the success of an economic 
     development program;
       (2) economic development representatives of the Economic 
     Development Administration provide distressed communities 
     with the technical assistance necessary to foster this 
     planning and coordination; and

[[Page 21034]]

       (3) in the 5 years preceding the date of enactment of this 
     Act, the number of economic development representatives has 
     declined by almost 25 percent.
       (b) Sense of Congress.--It is the sense of Congress that 
     the Secretary should maintain a sufficient number of economic 
     development representatives to ensure that the Economic 
     Development Administration is able to provide effective 
     assistance to distressed communities and foster economic 
     growth and development among the States.

                           TITLE VII--FUNDING

     SEC. 701. AUTHORIZATION OF APPROPRIATIONS.

       Section 701 of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3231) is amended to read as follows:

     ``SEC. 701. GENERAL AUTHORIZATION OF APPROPRIATIONS.

       ``(a) Economic Development Assistance Programs.--There are 
     authorized to be appropriated for economic development 
     assistance programs to carry out this Act, to remain 
     available until expended--
       ``(1) $400,000,000 for fiscal year 2004;
       ``(2) $425,000,000 for fiscal year 2005;
       ``(3) $450,000,000 for fiscal year 2006;
       ``(4) $475,000,000 for fiscal year 2007; and
       ``(5) $500,000,000 for fiscal year 2008.''
       ``(b) Salaries and Expenses.--There are authorized to be 
     appropriated for salaries and expenses of administering this 
     Act, to remain available until expended--
       ``(1) $33,377,000 for fiscal year 2004; and
       ``(2) such sums as are necessary for each fiscal year 
     thereafter.''.

     SEC. 702. FUNDING FOR GRANTS FOR PLANNING AND GRANTS FOR 
                   ADMINISTRATIVE EXPENSES.

       (a) In General.--Title VII of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3231 et seq.) is amended 
     by adding at the end the following:

     ``SEC. 704. FUNDING FOR GRANTS FOR PLANNING AND GRANTS FOR 
                   ADMINISTRATIVE EXPENSES.

       ``Of the amounts made available under section 701 for each 
     fiscal year, not less than $27,000,000 shall be made 
     available for grants provided under section 203.''.
       (b) Conforming Amendment.--The table of contents contained 
     in section 1(b) of the Public Works and Economic Development 
     Act of 1965 (42 U.S.C. 3121 note) is amended by inserting 
     after the item relating to section 703 the following:

``Sec. 704. Funding for grants for planning and grants for 
              administrative expenses''.
                                 ______
                                 
  SA 3977. Ms. COLLINS (for herself and Mr. Lieberman) proposed an 
amendment to the bill S. 2845, to reform the intelligence community and 
the intelligence and intelligence-related activities of the United 
States Government, and for other purposes; as follows:

       On page 4, beginning on line 10, strike ``information 
     gathered, and activities'' and inserting ``foreign 
     intelligence gathered, and information gathering and other 
     activities''.
       On page 4, line 16, insert before the period the following: 
     ``, but does not include personnel, physical, document, or 
     communications security programs''.
       On page 23, line 8, strike the period and insert ``as it 
     pertains to those programs, projects, and activities within 
     the National Intelligence Program''.
       On page 24, line 10, insert ``transactional deposit'' after 
     ``establish''.
       On page 181, line 9, insert ``or involving intelligence 
     acquired through clandestine means'' before the period.
                                 ______
                                 
  SA 3978. Ms. COLLINS (for Mr. Ensign) proposed an amendment to the 
bill S. 2845, to reform the intelligence community and the intelligence 
and intelligence-related activities of the United States Government, 
and for other purposes; as follows:

       At the end, add the following:

                        TITLE IV--OTHER MATTERS

     SEC. 401. RESPONSIBILITIES AND FUNCTIONS OF CONSULAR 
                   OFFICERS.

       (a) Increased Number of Consular Officers.--The Secretary 
     of State, in each of fiscal years 2006 through 2009, may 
     increase by 150 the number of positions for consular officers 
     above the number of such positions for which funds were 
     allotted for the preceding fiscal year.
       (b) Limitation on Use of Foreign Nationals for Visa 
     Screening.--
       (1) Immigrant visas.--Subsection (b) of section 222 of the 
     Immigration and Nationality Act (8 U.S.C. 1202) is amended by 
     adding at the end the following: ``All immigrant visa 
     applications shall be reviewed and adjudicated by a consular 
     officer.''.
       (2) Nonimmigrant visas.--Subsection (d) of such section is 
     amended by adding at the end the following: ``All 
     nonimmigrant visa applications shall be reviewed and 
     adjudicated by a consular officer.''.
       (c) Training for Consular Officers in Detection of 
     Fraudulent Documents.--Section 305(a) of the Enhanced Border 
     Security and Visa Entry Reform Act of 2002 (8 U.S.C. 1734(a)) 
     is amended by adding at the end the following: ``As part of 
     the consular training provided to such officers by the 
     Secretary of State, such officers shall also receive training 
     in detecting fraudulent documents and general document 
     forensics and shall be required as part of such training to 
     work with immigration officers conducting inspections of 
     applicants for admission into the United States at ports of 
     entry.''.
       (d) Assignment of Anti-Fraud Specialists.--
       (1) Survey regarding document fraud.--The Secretary of 
     State, in coordination with the Secretary of Homeland 
     Security, shall conduct a survey of each diplomatic and 
     consular post at which visas are issued to assess the extent 
     to which fraudulent documents are presented by visa 
     applicants to consular officers at such posts.
       (2) Requirement for specialist.--
       (A) In general.--Not later than July 31, 2005, the 
     Secretary of State shall, in coordination with the Secretary 
     of Homeland Security, identify the diplomatic and consular 
     posts at which visas are issued that experience the greatest 
     frequency of presentation of fraudulent documents by visa 
     applicants. The Secretary of State shall assign or designate 
     at each such post at least one full-time anti-fraud 
     specialist employed by the Department of State to assist the 
     consular officers at each such post in the detection of such 
     fraud.
       (B) Exceptions.--The Secretary of State is not required to 
     assign or designate a specialist as described in subparagraph 
     (A) at a diplomatic and consular post if an employee of the 
     Department of Homeland Security is assigned on a full-time 
     basis to such post under the authority in section 428 of the 
     Homeland Security Act of 2002 (6 U.S.C. 236).

     SEC. 402. INCREASE IN FULL-TIME BORDER PATROL AGENTS.

       In each of fiscal years 2006 through 2010, the Secretary of 
     Homeland Security shall, subject to the availability of 
     appropriations for such purpose, increase by not less than 
     1,000 the number of positions for full-time active duty 
     border patrol agents within the Department of Homeland 
     Security above the number of such positions for which funds 
     were made available during the preceding fiscal year. Of the 
     additional border patrol agents, in each fiscal year not less 
     than 20 percent of such agents shall be assigned to duty 
     stations along the northern border of the United States.

     SEC. 403. INCREASE IN FULL-TIME IMMIGRATION AND CUSTOMS 
                   ENFORCEMENT INVESTIGATORS.

       In each of fiscal years 2006 through 2010, the Secretary of 
     Homeland Security shall, subject to the availability of 
     appropriations for such purpose, increase by not less than 
     800 the number of positions for full-time active duty 
     investigators within the Department of Homeland Security 
     investigating violations of immigration laws (as defined in 
     section 101(a)(17) of the Immigration and Nationality Act (8 
     U.S.C. 1101(a)(17)) above the number of such positions for 
     which funds were made available during the preceding fiscal 
     year.
                                 ______
                                 
  SA 3979. Ms. COLLINS (for Mr. Kyl) proposed an amendment to the bill 
S. 2845, to reform the intelligence community and the intelligence and 
intelligence-related activities of the United States Government, and 
for other purposes; as follows:

       At the end, add the following new title:

                      TITLE IV--VISA REQUIREMENTS

     SEC. 401. IN PERSON INTERVIEWS OF VISA APPLICANTS.

       (a) Requirement for Interviews.--Section 222 of the 
     Immigration and Nationality Act (8 U.S.C. 1202) is amended by 
     adding at the end the following new subsection:
       ``(h) Notwithstanding any other provision of this Act, the 
     Secretary of State shall require every alien applying for a 
     nonimmigrant visa--
       ``(1) who is at least 12 years of age and not more than 65 
     years of age to submit to an in person interview with a 
     consular officer unless the requirement for such interview is 
     waived--
       ``(A) by a consular official and such alien is within that 
     class of nonimmigrants enumerated in section 101(a)(15)(A) or 
     101(a)(15)(G) or is granted a diplomatic visa on a diplomatic 
     passport or on the equivalent thereof;
       ``(B) by a consular official and such alien is applying for 
     a visa--
       ``(i) not more than 12 months after the date on which the 
     alien's prior visa expired;
       ``(ii) for the classification under section 101(a)(15) for 
     which such prior visa was issued;
       ``(iii) from the consular post located in the country in 
     which the alien is a national; and
       ``(iv) the consular officer has no indication that the 
     alien has not complied with the immigration laws and 
     regulations of the United States; or
       ``(C) by the Secretary of State if the Secretary determines 
     that such waiver is--
       ``(i) in the national interest of the United States; or
       ``(ii) necessary as a result of unusual circumstances; and
       ``(2) notwithstanding paragraph (1), to submit to an in 
     person interview with a consular officer if such alien--

[[Page 21035]]

       ``(A) is not a national of the country in which the alien 
     is applying for a visa;
       ``(B) was previously refused a visa, unless such refusal 
     was overcome or a waiver of ineligibility has been obtained;
       ``(C) is listed in the Consular Lookout and Support System 
     (or successor system at the Department of State);
       ``(D) may not obtain a visa until a security advisory 
     opinion or other Department of State clearance is issued 
     unless such alien is--
       ``(i) within that class of nonimmigrants enumerated in 
     section 101(a)(15)(A) or 101(a)(15)(G); and
       ``(ii) not a national of a country that is officially 
     designated by the Secretary of State as a state sponsor of 
     terrorism; or
       ``(E) is identified as a member of a group or sector that 
     the Secretary of State determines--
       ``(i) poses a substantial risk of submitting inaccurate 
     information in order to obtain a visa;
       ``(ii) has historically had visa applications denied at a 
     rate that is higher than the average rate of such denials; or
       ``(iii) poses a security threat to the United States.''.

     SEC. 402. VISA APPLICATION REQUIREMENTS.

       Section 222(c) of the Immigration and Nationality Act (8 
     U.S.C. 1202(c)) is amended by inserting ``The alien shall 
     provide complete and accurate information in response to any 
     request for information contained in the application.'' after 
     the second sentence.

     SEC. 403. EFFECTIVE DATE.

       Notwithstanding section 341 or any other provision of this 
     Act, this title shall take effect 90 days after date of the 
     enactment of this Act.
                                 ______
                                 
  SA 3980. Mr. LIEBERMAN (for Mr. Schumer) proposed an amendment to the 
bill S. 2845, to reform the intelligence community and the intelligence 
and intelligence-related activities of the United States Government, 
and for other purposes; as follows:

       At the appropriate place, insert the following:

     SEC. __. REGIONAL MODEL STRATEGIC PLAN PILOT PROJECTS.

       (a) Pilot Projects.--Consistent with sections 302 and 430 
     of the Homeland Security Act of 2002 (6 U.S.C. 182, 238), not 
     later than 90 days after the date of enactment of this Act, 
     the Secretary of Homeland Security, in coordination with the 
     Executive Director of the Office of State and Local 
     Government Coordination and Preparedness and the 
     Undersecretary for Science and Technology, shall establish 
     not fewer than 2 pilot projects in high threat urban areas or 
     regions that are likely to implement a national model 
     strategic plan.
       (b) Purposes.--The purposes of the pilot projects required 
     by this section shall be to develop a regional strategic plan 
     to foster interagency communication in the area in which it 
     is established and coordinate the gathering of all Federal, 
     State, and local first responders in that area, consistent 
     with the national strategic plan developed by the Department 
     of Homeland Security.
       (c) Selection Criteria.--In selecting urban areas for the 
     location of pilot projects under this section, the Secretary 
     shall consider--
       (1) the level of threat risk to the area, as determined by 
     the Department of Homeland Security;
       (2) the number of Federal, State, and local law enforcement 
     agencies located in the area;
       (3) the number of potential victims from a large scale 
     terrorist attack in the area; and
       (4) such other criteria reflecting a community's risk and 
     vulnerability as the Secretary determines is appropriate.
       (d) Interagency Assistance.--The Secretary of Defense shall 
     provide assistance to the Secretary of Homeland Security, as 
     necessary for the development of the pilot projects required 
     by this section, including examining relevant standards, 
     equipment, and protocols in order to improve interagency 
     communication among first responders.
       (e) Reports to Congress.--The Secretary of Homeland 
     Security shall submit to Congress--
       (1) an interim report regarding the progress of the 
     interagency communications pilot projects required by this 
     section 6 months after the date of enactment of this Act; and
       (2) a final report 18 months after that date of enactment.
       (f) Funding.--There are authorized to be made available to 
     the Secretary of Homeland Security, such sums as may be 
     necessary to carry out this section.
                                 ______
                                 
  SA 3981. Mr. McCONNELL (for himself, Mr. Reid, Mr. Frist, and Mr. 
Daschle) proposed an amendment to the resolution S. Res. 445, to 
eliminate certain restrictions on service of a Senator on the Senate 
Select Committee on Intelligence; as follows:

       Strike all after the resolving clause and insert the 
     following:

     SEC. 100. PURPOSE.

       It is the purpose of titles I through V of this resolution 
     to improve the effectiveness of the Senate Select Committee 
     on Intelligence, especially with regard to its oversight of 
     the Intelligence Community of the United States Government, 
     and to improve the Senate's oversight of homeland security.

              TITLE I--HOMELAND SECURITY OVERSIGHT REFORM

     SEC. 101. HOMELAND SECURITY.

       (a) Committee on Homeland Security and Government 
     Affairs.--The Committee on Governmental Affairs is renamed as 
     the Committee on Homeland Security and Governmental Affairs.
       (b) Jurisdiction.--There shall be referred to the committee 
     all proposed legislation, messages, petitions, memorials, and 
     other matters relating primarily to the following subjects:
       (1) Department of Homeland Security, except matters 
     relating to the Coast Guard, the Transportation Security 
     Administration, the Federal Law Enforcement Training Center, 
     and the revenue functions of the Customs Service.
       (2) Archives of the United States.
       (3) Budget and accounting measures, other than 
     appropriations, except as provided in the Congressional 
     Budget Act of 1974.
       (4) Census and collection of statistics, including economic 
     and social statistics.
       (5) Congressional organization, except for any part of the 
     matter that amends the rules or orders of the Senate.
       (6) Federal Civil Service.
       (7) Government information.
       (8) Intergovernmental relations.
       (9) Municipal affairs of the District of Columbia, except 
     appropriations therefor.
       (10) Organization and management of United States nuclear 
     export policy.
       (11) Organization and reorganization of the executive 
     branch of the Government.
       (12) Postal Service.
       (13) Status of officers and employees of the United States, 
     including their classification, compensation, and benefits.
       (c) Additional Duties.--The committee shall have the duty 
     of--
       (1) receiving and examining reports of the Comptroller 
     General of the United States and of submitting such 
     recommendations to the Senate as it deems necessary or 
     desirable in connection with the subject matter of such 
     reports;
       (2) studying the efficiency, economy, and effectiveness of 
     all agencies and departments of the Government;
       (3) evaluating the effects of laws enacted to reorganize 
     the legislative and executive branches of the Government; and
       (4) studying the intergovernmental relationships between 
     the United States and the States and municipalities, and 
     between the United States and international organizations of 
     which the United States is a member.
       (d) Jurisdiction of Senate Committees.--The jurisdiction of 
     the Committee on Homeland Security and Governmental Affairs 
     provided in subsection (b) shall supersede the jurisdiction 
     of any other committee of the Senate provided in the rules of 
     the Senate.

                TITLE II--INTELLIGENCE OVERSIGHT REFORM

     SEC. 201. INTELLIGENCE OVERSIGHT.

       (a) Committee on Armed Services Membership.--Section 
     2(a)(3) of Senate Resolution 400, agreed to May 19, 1976 
     (94th Congress) (referred to in this section as ``S. Res. 
     400'') is amended by--
       (1) inserting ``(A)'' after ``(3)''; and
       (2) inserting at the end the following:
       ``(B) The Chairman and Ranking Member of the Committee on 
     Armed Services (if not already a member of the select 
     Committee) shall be ex officio members of the select 
     Committee but shall have no vote in the Committee and shall 
     not be counted for purposes of determining a quorum.''.
       (b) Number of Members.--Section 2(a) of S. Res. 400 is 
     amended--
       (1) in paragraph (1), by inserting ``not to exceed'' before 
     ``fifteen members'';
       (2) in paragraph (1)(E), by inserting ``not to exceed'' 
     before ``seven''; and
       (3) in paragraph (2), by striking the second sentence and 
     inserting ``Of any members appointed under paragraph (1)(E), 
     the majority leader shall appoint the majority members and 
     the minority leader shall appoint the minority members, with 
     the majority having a one vote margin.''.
       (c) Elimination of Term Limits.--Section 2 of Senate 
     Resolution 400, 94th Congress, agreed to May 19, 1976, is 
     amended by striking subsection (b) and by redesignating 
     subsection (c) as subsection (b).
       (d) Appointment of Chairman and Ranking Member.--Section 
     2(b) of S. Res. 400, as redesignated by subsection (c) of 
     this section, is amended by striking the first sentence and 
     inserting the following: ``At the beginning of each Congress, 
     the Majority Leader of the Senate shall select a chairman of 
     the select Committee and the Minority Leader shall select a 
     vice chairman for the select Committee.''.
       (e) Subcommittees.--Section 2 of S. Res. 400, as amended by 
     subsections (a) through (d), is amended by adding at the end 
     the following:
       ``(c) The select Committee may be organized into 
     subcommittees. Each subcommittee shall have a chairman and a 
     vice

[[Page 21036]]

     chairman who are selected by the Chairman and Vice Chairman 
     of the select Committee, respectively.''.
       (f) Reports.--Section 4(a) of S. Res. 400 is amended by 
     inserting ``, but not less than quarterly,'' after 
     ``periodic''.
       (g) Staff.--Section 15 of S. Res. 400 is amended to read as 
     follows:
       ``Sec. 15. (a) The select Committee shall hire or appoint 
     one employee for each member of the select Committee to serve 
     as such Member's designated representative on the select 
     Committee. The select Committee shall only hire or appoint an 
     employee chosen by the respective Member of the select 
     Committee for whom the employee will serve as the designated 
     representative on the select Committee.
       ``(b) The select Committee shall be afforded a supplement 
     to its budget, to be determined by the Committee on Rules and 
     Administration, to allow for the hire of each employee who 
     fills the position of designated representative to the select 
     Committee. The designated representative shall have office 
     space and appropriate office equipment in the select 
     Committee spaces, and shall have full access to select 
     Committee staff, information, records, and databases.
       ``(c) The designated employee shall meet all the 
     requirements of relevant statutes, Senate rules, and 
     committee clearance requirements for employment by the select 
     Committee.''.
       (h) Nominees.--S. Res. 400 is amended by adding at the end 
     the following:
       ``Sec. 17. (a) The select Committee shall have final 
     responsibility for reviewing, holding hearings, and voting on 
     civilian persons nominated by the President to fill a 
     position within the intelligence community that requires the 
     advice and consent of the Senate.
       ``(b) Other committees with jurisdiction over the nominees' 
     executive branch department may hold hearings and interviews 
     with that person.''.

                      TITLE III--COMMITTEE STATUS

     SEC. 301. COMMITTEE STATUS.

       (a) Homeland Security.--The Committee on Homeland Security 
     and Governmental Affairs shall be treated as the Committee on 
     Governmental Affairs listed under paragraph 2 of rule XXV of 
     the Standing Rules of the Senate for purposes of the Standing 
     Rules of the Senate.
       (b) Intelligence.--The Select Committee on Intelligence 
     shall be treated as a committee listed under paragraph 2 of 
     rule XXV of the Standing Rules of the Senate for purposes of 
     the Standing Rules of the Senate.

              TITLE IV--INTELLIGENCE-RELATED SUBCOMMITTEES

     SEC. 401. SUBCOMMITTEE RELATED TO INTELLIGENCE OVERSIGHT.

       (a) Establishment.--There is established in the Select 
     Committee on Intelligence a Subcommittee on Oversight which 
     shall be in addition to any other subcommittee established by 
     the select Committee.
       (b) Responsibility.--The Subcommittee on Oversight shall be 
     responsible for ongoing oversight of intelligence activities.

     SEC. 402. SUBCOMMITTEE RELATED TO INTELLIGENCE 
                   APPROPRIATIONS.

       (a) Establishment.--There is established in the Committee 
     on Appropriations a Subcommittee on Intelligence. The 
     Subcommittee on Military Construction shall be combined with 
     the Subcommittee on Defense into 1 subcommittee.
       (b) Jurisdiction.--The Subcommittee on Intelligence of the 
     Committee on Appropriations shall have jurisdiction over 
     funding for intelligence matters.

                        TITLE V--EFFECTIVE DATE

     SEC. 501. EFFECTIVE DATE.

       This resolution shall take effect on the convening of the 
     109th Congress.
                                 ______
                                 
  SA 3982. Mr. FRIST (for Mr. Hatch (for himself and Mr. Biden)) 
proposed an amendment to the bill S. 2195, to amend the Controlled 
Substances Act to clarify the definition of anabolic steroids and to 
provide for research and education activities relating to steroids and 
steroid precursors; as follows:

       In section 4(c) in the matter proposed to be inserted, 
     strike ``primarily''.
                                 ______
                                 
  SA 3983. Mr. McCONNELL (for Mr. McCain (for himself and Mr. Nelson of 
Florida)) proposed an amendment to the bill H.R. 2608, to reauthorize 
the National Earthquake Hazards Reduction Program, and for other 
purposes; as follows:

       Strike out all after the enacting clause and insert the 
     following:

     SECTION 1. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

                  Title I--Earthquake Hazard Reduction

Sec. 101. Short title.
Sec. 102. Definitions.
Sec. 103. National earthquake hazards reduction program.
Sec. 104. Authorization of appropriations.

                  Title II--Windstorm Impact Reduction

Sec. 201. Short title.
Sec. 202. Findings.
Sec. 203. Definitions.
Sec. 204. National windstorm impact reduction program.
Sec. 205. National advisory committee on windstorm impact reduction.
Sec. 206. Savings clause.
Sec. 207. Authorization of appropriations.
Sec. 208. Biennial report.
Sec. 209. Coordination.

               Title III--Commercial Space Transportation

Sec. 301. Authorization of appropriations.

                  TITLE I--EARTHQUAKE HAZARD REDUCTION

     SEC. 101. SHORT TITLE.

       This title may be cited as the ``National Earthquake 
     Hazards Reduction Program Reauthorization Act of 2004''.

     SEC. 102. DEFINITIONS.

       Section 4 of the Earthquake Hazards Reduction Act of 1977 
     (42 U.S.C. 7701 et seq.) is amended by adding at the end the 
     following new paragraphs:
       ``(8) The term `Interagency Coordinating Committee' means 
     the Interagency Coordinating Committee on Earthquake Hazards 
     Reduction established under section 5(a).
       ``(9) The term `Advisory Committee' means the Advisory 
     Committee established under section 5(a)(5).''.

     SEC. 103. NATIONAL EARTHQUAKE HAZARDS REDUCTION PROGRAM.

       Section 5 of the Earthquake Hazards Reduction Act of 1977 
     (42 U.S.C. 7704(b)) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Establishment.--
       ``(1) In general.--There is established the National 
     Earthquake Hazards Reduction Program.
       ``(2) Program activities.--The activities of the Program 
     shall be designed to--
       ``(A) develop effective measures for earthquake hazards 
     reduction;
       ``(B) promote the adoption of earthquake hazards reduction 
     measures by Federal, State, and local governments, national 
     standards and model code organizations, architects and 
     engineers, building owners, and others with a role in 
     planning and constructing buildings, structures, and 
     lifelines through--
       ``(i) grants, contracts, cooperative agreements, and 
     technical assistance;
       ``(ii) development of standards, guidelines, and voluntary 
     consensus codes for earthquake hazards reduction for 
     buildings, structures, and lifelines;
       ``(iii) development and maintenance of a repository of 
     information, including technical data, on seismic risk and 
     hazards reduction; and
       ``(C) improve the understanding of earthquakes and their 
     effects on communities, buildings, structures, and lifelines, 
     through interdisciplinary research that involves engineering, 
     natural sciences, and social, economic, and decisions 
     sciences; and
       ``(D) develop, operate, and maintain an Advanced National 
     Seismic Research and Monitoring System established under 
     section 13 of the Earthquake Hazards Reduction Act of 1977 
     (42 U.S.C. 7707), the George E. Brown, Jr. Network for 
     Earthquake Engineering Simulation established under section 
     14 of that Act (42 U.S.C. 7708), and the Global Seismographic 
     Network.
       ``(3) Interagency coordinating committee on earthquake 
     hazards reduction.--
       ``(A) In general.--There is established an Interagency 
     Coordinating Committee on Earthquake Hazards Reduction 
     chaired by the Director of the National Institute of 
     Standards and Technology (referred to in this subsection as 
     the `Director').
       ``(B) Membership.--The committee shall be composed of the 
     directors of--
       ``(i) the Federal Emergency Management Agency;
       ``(ii) the United States Geological Survey;
       ``(iii) the National Science Foundation;
       ``(iv) the Office of Science and Technology Policy; and
       ``(v) the Office of Management and Budget.
       ``(C) Meetings.--The Committee shall meet not less than 3 
     times a year at the call of the Director.
       ``(D) Purpose and duties.--The Interagency Coordinating 
     Committee shall oversee the planning, management, and 
     coordination of the Program. The Interagency Coordinating 
     Committee shall--
       ``(i) develop, not later than 6 months after the date of 
     enactment of the National Earthquake Hazards Reduction 
     Program Reauthorization Act of 2004 and update periodically--

       ``(I) a strategic plan that establishes goals and 
     priorities for the Program activities described under 
     subsection (a)(2); and
       ``(II) a detailed management plan to implement such 
     strategic plan; and

       ``(ii) develop a coordinated interagency budget for the 
     Program that will ensure appropriate balance among the 
     Program activities described under subsection (a)(2), and, in 
     accordance with the plans developed under clause (i), submit 
     such budget to the Director of the Office of Management and 
     Budget at the time designated by that office for agencies to 
     submit annual budgets.
       ``(4) Annual report.--The Interagency Coordinating 
     Committee shall transmit, at the time of the President's 
     budget request to

[[Page 21037]]

     Congress, an annual report to the Committee on Science and 
     the Committee on Resources of the House of Representatives, 
     and the Committee on Commerce, Science, and Transportation of 
     the Senate. Such report shall include--
       ``(A) the Program budget for the current fiscal year for 
     each agency that participates in the Program, and for each 
     major goal established for the Program activities under 
     subparagraph (3)(A);
       ``(B) the proposed Program budget for the next fiscal year 
     for each agency that participates in the Program, and for 
     each major goal established for the Program activities under 
     subparagraph (3)(A);
       ``(C) a description of the activities and results of the 
     Program during the previous year, including an assessment of 
     the effectiveness of the Program in furthering the goals 
     established in the strategic plan under (3)(A);
       ``(D) a description of the extent to which the Program has 
     incorporated the recommendations of the Advisory Committee;
       ``(E) a description of activities, including budgets for 
     the current fiscal year and proposed budgets for the next 
     fiscal year, that are carried out by Program agencies and 
     contribute to the Program, but are not included in the 
     Program; and
       ``(F) a description of the activities, including budgets 
     for the current fiscal year and proposed budgets for the 
     following fiscal year, related to the grant program carried 
     out under subsection (b)(2)(A)(i).
       ``(5) Advisory committee.--
       ``(A) In general.--The Director shall establish an Advisory 
     Committee on Earthquake Hazards Reduction of at least 11 
     members, none of whom may be an employee (as defined in 
     subparagraphs (A) through (F) of section 7342(a)(1) of title 
     5, United States Code, including representatives of research 
     and academic institutions, industry standards development 
     organizations, State and local government, and financial 
     communities who are qualified to provide advice on earthquake 
     hazards reduction and represent all related scientific, 
     architectural, and engineering disciplines. The 
     recommendations of the Advisory Committee shall be considered 
     by Federal agencies in implementing the Program.
       ``(B) Assessment.--The Advisory Committee shall assess--
       ``(i) trends and developments in the science and 
     engineering of earthquake hazards reduction;
       ``(ii) effectiveness of the Program in carrying out the 
     activities under (a)(2);
       ``(iii) the need to revise the Program; and
       ``(iv) the management, coordination, implementation, and 
     activities of the Program.
       ``(C) Report.--Not later than 1 year after the date of 
     enactment of the National Earthquake Hazards Reduction 
     Program Reauthorization Act of 2004 and at least once every 2 
     years thereafter, the Advisory Committee shall report to the 
     Director on its findings of the assessment carried out under 
     subparagraph (B) and its recommendations for ways to improve 
     the Program. In developing recommendations, the Committee 
     shall consider the recommendations of the United States 
     Geological Survey Scientific Earthquake Studies Advisory 
     Committee.
       ``(D) Federal advisory committee act application.--Section 
     14 of the Federal Advisory Committee Act (5 App. U.S.C. 14) 
     shall not apply to the Advisory Committee.'';
       (2) in subsection (b)--
       (A) in paragraph (1)--
       (i) by striking ``Federal Emergency Management Agency'' and 
     all that follows through ``of the Agency'' and inserting 
     ``National Institute of Standards and Technology shall have 
     the primary responsibility for planning and coordinating the 
     Program. In carrying out this paragraph, the Director of the 
     Institute'';
       (ii) by striking subparagraphs (B) and (C) and 
     redesignating subparagraphs (D) and (E) as subparagraphs (C) 
     and (D), respectively;
       (iii) by inserting after subparagraph (A) the following:
       ``(B) support the development of performance-based seismic 
     engineering tools, and work with appropriate groups to 
     promote the commercial application of such tools, through 
     earthquake-related building codes, standards, and 
     construction practices;'';
       (iv) by striking ``The principal official carrying out the 
     responsibilities described in this paragraph shall be at a 
     level no lower than that of Associate Director.''; and
       (v) in subparagraph (D), as redesignated by clause (ii), by 
     striking ``National Science Foundation, the National 
     Institutes of Standards and Technology'' and inserting 
     ``Federal Emergency Management Agency, the National Science 
     Foundation'';
       (B) by striking so much of paragraph (2) as precedes 
     subparagraph (B) and inserting the following:
       ``(2) Department of homeland security; federal emergency 
     management agency.--
       ``(A) Program responsibilities.--The Under Secretary of 
     Homeland Security for Emergency Preparedness and Response 
     (the Director of the Federal Emergency Management Agency)--
       ``(i) shall work closely with national standards and model 
     building code organizations, in conjunction with the National 
     Institute of Standards and Technology, to promote the 
     implementation of research results;
       ``(ii) shall promote better building practices within the 
     building design and construction industry including 
     architects, engineers, contractors, builders, and inspectors;
       ``(iii) shall operate a program of grants and assistance to 
     enable States to develop mitigation, preparedness, and 
     response plans, prepare inventories and conduct seismic 
     safety inspections of critical structures and lifelines, 
     update building and zoning codes and ordinances to enhance 
     seismic safety, increase earthquake awareness and education, 
     and encourage the development of multi-State groups for such 
     purposes;
       ``(iv) shall support the implementation of a comprehensive 
     earthquake education and public awareness program, including 
     development of materials and their wide dissemination to all 
     appropriate audiences and support public access to locality-
     specific information that may assist the public in preparing 
     for, mitigating against, responding to and recovering from 
     earthquakes and related disasters;
       ``(v) shall assist the National Institute of Standards and 
     Technology, other Federal agencies, and private sector 
     groups, in the preparation, maintenance, and wide 
     dissemination of seismic resistant design guidance and 
     related information on building codes, standards, and 
     practices for new and existing buildings, structures, and 
     lifelines, and aid in the development of performance-based 
     design guidelines and methodologies supporting model codes 
     for buildings, structures, and lifelines that are cost 
     effective and affordable;
       ``(vi) shall develop, coordinate, and execute the National 
     Response Plan when required following an earthquake, and 
     support the development of specific State and local plans for 
     each high risk area to ensure the availability of adequate 
     emergency medical resources, search and rescue personnel and 
     equipment, and emergency broadcast capability;
       ``(vii) shall develop approaches to combine measures for 
     earthquake hazards reduction with measures for reduction of 
     other natural and technological hazards including 
     performance-based design approaches;
       ``(viii) shall provide preparedness, response, and 
     mitigation recommendations to communities after an earthquake 
     prediction has been made under paragraph (3)(D); and
       ``(ix) may enter into cooperative agreements or contracts 
     with States and local jurisdictions and other Federal 
     agencies to establish demonstration projects on earthquake 
     hazard mitigation, to link earthquake research and mitigation 
     efforts with emergency management programs, or to prepare 
     educational materials for national distribution.'';
       (C) in paragraph (3)--
       (i) by inserting ``and other activities'' after ``shall 
     conduct research'';
       (ii) in subparagraph (C), by striking ``the Agency'' and 
     inserting ``the Director of the Federal Emergency Management 
     Agency and the Director of the National Institute of 
     Standards and Technology'';
       (iii) in subparagraph (D), by striking ``the Director of 
     the Agency'' and inserting ``the Director of the Federal 
     Emergency Management Agency and the Director of the National 
     Institute of Standards and Technology'';
       (iv) in subparagraph (E), by striking ``establish, using 
     existing facilities, a Center for the International Exchange 
     of Earthquake Information'' and inserting ``operate, using 
     the National Earthquake Information Center, a forum for the 
     international exchange of earthquake information'';
       (v) in subparagraph (F), by striking ``Network'' and 
     inserting ``System''; and
       (vi) by inserting after subparagraph (H) the following new 
     subparagraphs:
       ``(I) work with other Program agencies to coordinate 
     Program activities with similar earthquake hazards reduction 
     efforts in other countries, to ensure that the Program 
     benefits from relevant information and advances in those 
     countries; and
       ``(J) maintain suitable seismic hazard maps in support of 
     building codes for structures and lifelines, including 
     additional maps needed for performance-based design 
     approaches.'';
       (D) in paragraph (4)--
       (i) by redesignating subparagraphs (D), (E), and (F) as 
     subparagraphs (E), (F), and (H), respectively;
       (ii) by inserting after subparagraph (C) the following:
       ``(D) support research that improves the safety and 
     performance of buildings, structures, and lifeline systems 
     using large-scale experimental and computational facilities 
     of the George E. Brown Jr. Network for Earthquake Engineering 
     Simulation and other institutions engaged in research and the 
     implementation of the National Earthquake Hazards Reduction 
     Program;'';
       (iii) in subparagraph (F) (as so redesignated), by striking 
     ``; and'' and inserting a semicolon; and
       (iv) by inserting after subparagraph (F) (as so 
     redesignated) the following:
       ``(G) include to the maximum extent practicable diverse 
     institutions, including Historically Black Colleges and 
     Universities and those serving large proportions of 
     Hispanics, Native Americans, Asian-Pacific Americans,

[[Page 21038]]

     and other underrepresented populations; and'';
       (E) in paragraph (5), by striking ``The National'' and 
     inserting ``In addition to the lead agency responsibilities 
     described under paragraph (1), the National''; and
       (F) in paragraph (5)--
       (i) by striking ``and'' after the semicolon in subparagraph 
     (C);
       (ii) by redesignating subparagraph (D) as subparagraph (E); 
     and
       (iii) by inserting after subparagraph (C) the following:
       ``(D) support the development and commercial application of 
     cost effective and affordable performance-based seismic 
     engineering by providing technical support for seismic 
     engineering practices and related building code, standards, 
     and practices development; and''; and
       (3) in subsection (c)(1), by striking ``Agency'' and 
     inserting ``Interagency Coordinating Committee''.

     SEC. 104. AUTHORIZATION OF APPROPRIATIONS.

       (a) In General.--Section 12 of the Earthquake Hazards 
     Reduction Act of 1977 (42 U.S.C. 7706) is amended--
       (1) by adding at the end of subsection (a) the following:
       ``(8) There are authorized to be appropriated to the 
     Federal Emergency Management Agency for carrying out this 
     title--
       ``(A) $21,000,000 for fiscal year 2005,
       ``(B) $21,630,000 for fiscal year 2006,
       ``(C) $22,280,000 for fiscal year 2007,
       ``(D) $22,950,000 for fiscal year 2008, and
       ``(E) $23,640,000 for fiscal year 2009,
     of which not less than 10 percent of available program funds 
     actually appropriated shall be made available each such 
     fiscal year for supporting the development of performance-
     based, cost-effective, and affordable design guidelines and 
     methodologies in codes for buildings, structures, and 
     lifelines.'';
       (2) by inserting ``(1)'' before ``There'' in subsection 
     (b);
       (3) by striking ``subsection'' in the last sentence and 
     inserting ``paragraph'';
       (4) by redesignating paragraphs (1) through (5) of 
     subsection (b) as subparagraphs (A) through (E), 
     respectively;
       (5) by adding at the end of subsection (b) the following:
       ``(2) There are authorized to be appropriated to the United 
     States Geological Survey for carrying out this title--
       ``(A) $77,000,000 for fiscal year 2005, of which not less 
     than $30,000,000 shall be made available for completion of 
     the Advanced National Seismic Research and Monitoring System 
     established under section 13;
       ``(B) $84,410,000 for fiscal year 2006, of which not less 
     than $36,000,000 shall be made available for completion of 
     the Advanced National Seismic Research and Monitoring System 
     established under section 13;
       ``(C) $85,860,000 for fiscal year 2007, of which not less 
     than $36,000,000 shall be made available for completion of 
     the Advanced National Seismic Research and Monitoring System 
     established under section 13;
       ``(D) $87,360,000 for fiscal year 2008, of which not less 
     than $36,000,000 shall be made available for completion of 
     the Advanced National Seismic Research and Monitoring System 
     established under section 13; and
       ``(E) $88,900,000 for fiscal year 2009, of which not less 
     than $36,000,000 shall be made available for completion of 
     the Advanced National Seismic Research and Monitoring System 
     established under section 13.'';
       (6) by inserting ``(1)'' before ``To'' in subsection (c);
       (7) by adding at the end of subsection (c) the following:
       ``(2) There are authorized to be appropriated to the 
     National Science Foundation for carrying out this title--
       ``(A) $38,000,000 for fiscal year 2005;
       ``(B) $39,140,000 for fiscal year 2006;
       ``(C) $40,310,000 for fiscal year 2007;
       ``(D) $41,520,000 for fiscal year 2008; and
       ``(E) $42,770,000 for fiscal year 2009.'';
       (8) by inserting ``(1)'' before ``To'' in subsection (d); 
     and
       (9) by adding at the end of subsection (d) the following:
       ``(2) There are authorized to be appropriated to the 
     National Institute of Standards and Technology for carrying 
     out this title--
       ``(A) $10,000,000 for fiscal year 2005,
       ``(B) $11,000,000 for fiscal year 2006,
       ``(C) $12,100,000 for fiscal year 2007,
       ``(D) $13,310,000 for fiscal year 2008, and
       ``(E) $14,640,000 for fiscal year 2009,
     of which $2,000,000 shall be made available each such fiscal 
     year for supporting the development of performance-based, 
     cost-effective, and affordable codes for buildings, 
     structures, and lifelines.''.
       (b) Separate Authorization for the Advanced national 
     Seismic Research and Monitoring System.--Section 13 of the 
     Earthquake Hazards Reduction Act of 1977 (42 U.S.C. 7707) is 
     amended by striking subsection (c).
       (c) Separate Authorization for the Network for Earthquake 
     Engineering Simulation.--Section 14(b) of the Earthquake 
     Hazards Reduction Act of 1977 (42 U.S.C. 7708(b)) is 
     amended--
       (1) by striking ``and'' after the semicolon in paragraph 
     (3);
       (2) by striking ``2004.'' in paragraph (4) and inserting 
     ``2004;'';
       (3) by adding at the end the following:
       ``(5) $20,000,000 for fiscal year 2005, all of which shall 
     be available for operations and maintenance;
       ``(6) $20,400,000 for fiscal year 2006, all of which shall 
     be available for operations and maintenance;
       ``(7) $20,870,000 for fiscal year 2007, all of which shall 
     be available for operations and maintenance;
       ``(8) $21,390,000 for fiscal year 2008, all of which shall 
     be available for operations and maintenance; and
       ``(9) $21,930,000 for fiscal year 2009, all of which shall 
     be available for operations and maintenance.''.

                  TITLE II--WINDSTORM IMPACT REDUCTION

     SEC. 201. SHORT TITLE.

       This Act may be cited as the ``National Windstorm Impact 
     Reduction Act of 2004''.

     SEC. 202. FINDINGS.

       The Congress finds the following:
       (1) Hurricanes, tropical storms, tornadoes, and 
     thunderstorms can cause significant loss of life, injury, 
     destruction of property, and economic and social disruption. 
     All States and regions are vulnerable to these hazards.
       (2) The United States currently sustains several billion 
     dollars in economic damages each year due to these 
     windstorms. In recent decades, rapid development and 
     population growth in high-risk areas has greatly increased 
     overall vulnerability to windstorms.
       (3) Improved windstorm impact reduction measures have the 
     potential to reduce these losses through--
       (A) cost-effective and affordable design and construction 
     methods and practices;
       (B) effective mitigation programs at the local, State, and 
     national level;
       (C) improved data collection and analysis and impact 
     prediction methodologies;
       (D) engineering research on improving new structures and 
     retrofitting existing ones to better withstand windstorms, 
     atmospheric-related research to better understand the 
     behavior and impact of windstorms on the built environment, 
     and subsequent application of those research results; and
       (E) public education and outreach.
       (4) There is an appropriate role for the Federal Government 
     in supporting windstorm impact reduction. An effective 
     Federal program in windstorm impact reduction will require 
     interagency coordination, and input from individuals, 
     academia, the private sector, and other interested non-
     Federal entities.

     SEC. 203. DEFINITIONS.

       In this title:
       (1) Director.--The term ``Director'' means the Director of 
     the Office of Science and Technology Policy.
       (2) Program.--The term ``Program'' means the National 
     Windstorm Impact Reduction Program established by section 
     204(a).
       (3) State.--The term ``State'' means each of the States of 
     the United States, the District of Columbia, the Commonwealth 
     of Puerto Rico, the United States Virgin Islands, Guam, 
     American Samoa, the Commonwealth of the Northern Mariana 
     Islands, and any other territory or possession of the United 
     States.
       (4) Windstorm.--The term ``windstorm'' means any storm with 
     a damaging or destructive wind component, such as a 
     hurricane, tropical storm, tornado, or thunderstorm.

     SEC. 204. NATIONAL WINDSTORM IMPACT REDUCTION PROGRAM.

       (a) Establishment.--There is established the National 
     Windstorm Impact Reduction Program.
       (b) Objective.--The objective of the Program is the 
     achievement of major measurable reductions in losses of life 
     and property from windstorms. The objective is to be achieved 
     through a coordinated Federal effort, in cooperation with 
     other levels of government, academia, and the private sector, 
     aimed at improving the understanding of windstorms and their 
     impacts and developing and encouraging implementation of 
     cost-effective mitigation measures to reduce those impacts.
       (c) Interagency Working Group.--Not later than 90 days 
     after the date of enactment of this Act, the Director shall 
     establish an Interagency Working Group consisting of 
     representatives of the National Science Foundation, the 
     National Oceanic and Atmospheric Administration, the National 
     Institute of Standards and Technology, the Federal Emergency 
     Management Agency, and other Federal agencies as appropriate. 
     The Director shall designate an agency to serve as Chair of 
     the Working Group and be responsible for the planning, 
     management, and coordination of the Program, including budget 
     coordination. Specific agency roles and responsibilities 
     under the Program shall be defined in the implementation plan 
     required under subsection (e). General agency 
     responsibilities shall include the following:
       (1) The National Institute of Standards and Technology 
     shall support research and development to improve building 
     codes and standards and practices for design and construction 
     of buildings, structures, and lifelines.
       (2) The National Science Foundation shall support research 
     in engineering and the atmospheric sciences to improve the 
     understanding of the behavior of windstorms and their impact 
     on buildings, structures, and lifelines.

[[Page 21039]]

       (3) The National Oceanic and Atmospheric Administration 
     shall support atmospheric sciences research to improve the 
     understanding of the behavior of windstorms and their impact 
     on buildings, structures, and lifelines.
       (4) The Federal Emergency Management Agency shall support 
     the development of risk assessment tools and effective 
     mitigation techniques, windstorm-related data collection and 
     analysis, public outreach, information dissemination, and 
     implementation of mitigation measures consistent with the 
     Agency's all-hazards approach.
       (d) Program Components.--
       (1) In general.--The Program shall consist of three primary 
     mitigation components: improved understanding of windstorms, 
     windstorm impact assessment, and windstorm impact reduction. 
     The components shall be implemented through activities such 
     as data collection and analysis, risk assessment, outreach, 
     technology transfer, and research and development. To the 
     extent practicable, research activities authorized under this 
     title shall be peer-reviewed, and the components shall be 
     designed to be complementary to, and avoid duplication of, 
     other public and private hazard reduction efforts.
       (2) Understanding of windstorms.--Activities to enhance the 
     understanding of windstorms shall include research to improve 
     knowledge of and data collection on the impact of severe wind 
     on buildings, structures, and infrastructure.
       (3) Windstorm impact assessment.--Activities to improve 
     windstorm impact assessment shall include--
       (A) development of mechanisms for collecting and 
     inventorying information on the performance of buildings, 
     structures, and infrastructure in windstorms and improved 
     collection of pertinent information from sources, including 
     the design and construction industry, insurance companies, 
     and building officials;
       (B) research, development, and technology transfer to 
     improve loss estimation and risk assessment systems; and
       (C) research, development, and technology transfer to 
     improve simulation and computational modeling of windstorm 
     impacts.
       (4) Windstorm impact reduction.--Activities to reduce 
     windstorm impacts shall include--
       (A) development of improved outreach and implementation 
     mechanisms to translate existing information and research 
     findings into cost-effective and affordable practices for 
     design and construction professionals, and State and local 
     officials;
       (B) development of cost-effective and affordable windstorm-
     resistant systems, structures, and materials for use in new 
     construction and retrofit of existing construction; and
       (C) outreach and information dissemination related to cost-
     effective and affordable construction techniques, loss 
     estimation and risk assessment methodologies, and other 
     pertinent information regarding windstorm phenomena to 
     Federal, State, and local officials, the construction 
     industry, and the general public.
       (e) Implementation Plan.--Not later than 1 year after date 
     of enactment of this title, the Interagency Working Group 
     shall develop and transmit to the Congress an implementation 
     plan for achieving the objectives of the Program. The plan 
     shall include--
       (1) an assessment of past and current public and private 
     efforts to reduce windstorm impacts, including a 
     comprehensive review and analysis of windstorm mitigation 
     activities supported by the Federal Government;
       (2) a description of plans for technology transfer and 
     coordination with natural hazard mitigation activities 
     supported by the Federal Government;
       (3) a statement of strategic goals and priorities for each 
     Program component area;
       (4) a description of how the Program will achieve such 
     goals, including detailed responsibilities for each agency; 
     and
       (5) a description of plans for cooperation and coordination 
     with interested public and private sector entities in each 
     program component area.
       (f) Biennial Report.--The Interagency Working Group shall, 
     on a biennial basis, and not later than 180 days after the 
     end of the preceding 2 fiscal years, transmit a report to the 
     Congress describing the status of the windstorm impact 
     reduction program, including progress achieved during the 
     preceding two fiscal years. Each such report shall include 
     any recommendations for legislative and other action the 
     Interagency Working Group considers necessary and 
     appropriate. In developing the biennial report, the 
     Interagency Working Group shall consider the recommendations 
     of the Advisory Committee established under section 205.

     SEC. 205. NATIONAL ADVISORY COMMITTEE ON WINDSTORM IMPACT 
                   REDUCTION.

       (a) Establishment.--The Director shall establish a National 
     Advisory Committee on Windstorm Impact Reduction, consisting 
     of not less than 11 and not more than 15 non-Federal members 
     representing a broad cross section of interests such as the 
     research, technology transfer, design and construction, and 
     financial communities; materials and systems suppliers; 
     State, county, and local governments; the insurance industry; 
     and other representatives as designated by the Director.
       (b) Assessment.--The Advisory Committee shall assess--
       (1) trends and developments in the science and engineering 
     of windstorm impact reduction;
       (2) the effectiveness of the Program in carrying out the 
     activities under section 204(d);
       (3) the need to revise the Program; and
       (4) the management, coordination, implementation, and 
     activities of the Program.
       (c) Biennial Report.--At least once every two years, the 
     Advisory Committee shall report to Congress and the 
     Interagency Working Group on the assessment carried out under 
     subsection (b).
       (d) Sunset Exemption.--Section 14 of the Federal Advisory 
     Committee Act shall not apply to the Advisory Committee 
     established under this section.

     SEC. 206. SAVINGS CLAUSE.

       Nothing in this title supersedes any provision of the 
     National Manufactured Housing Construction and Safety 
     Standards Act of 1974. No design, construction method, 
     practice, technology, material, mitigation methodology, or 
     hazard reduction measure of any kind developed under this 
     title shall be required for a home certified under section 
     616 of the National Manufactured Housing Construction and 
     Safety Standards Act of 1974 (42 U.S.C. 5415), pursuant to 
     standards issued under such Act, without being subject to the 
     consensus development process and rulemaking procedures of 
     that Act.

     SEC. 207. AUTHORIZATION OF APPROPRIATIONS.

       (a) Federal Emergency Management Agency.--There are 
     authorized to be appropriated to the Federal Emergency 
     Management Agency for carrying out this title--
       (1) $8,700,000 for fiscal year 2006;
       (2) $9,400,000 for fiscal year 2007; and
       (3) $9,400,000 for fiscal year 2008.
       (b) National Science Foundation.--There are authorized to 
     be appropriated to the National Science Foundation for 
     carrying out this title--
       (1) $8,700,000 for fiscal year 2006;
       (2) $9,400,000 for fiscal year 2007; and
       (3) $9,400,000 for fiscal year 2008.
       (c) National Institute of Standards and Technology.--There 
     are authorized to be appropriated to the National Institute 
     of Standards and Technology for carrying out this title--
       (1) $3,000,000 for fiscal year 2006;
       (2) $4,000,000 for fiscal year 2007; and
       (3) $4,000,000 for fiscal year 2008.
       (d) National Oceanic and Atmospheric Administration.--There 
     are authorized to be appropriated to the National Oceanic and 
     Atmospheric Administration for carrying out this title--
       (1) $2,100,000 for fiscal year 2006;
       (2) $2,200,000 for fiscal year 2007; and
       (3) $2,200,000 for fiscal year 2008.

     SEC. 208. BIENNIAL REPORT.

       Section 37(a) of the Science and Engineering Equal 
     Opportunities Act (42 U.S.C. 1885d(a)) is amended by striking 
     ``By January 30, 1982, and biennially thereafter'' and 
     inserting ``By January 30 of each odd-numbered year''.

     SEC. 209. COORDINATION.

       The Secretary of Commerce, the Director of the National 
     Institute of Standards and Technology, the Director of the 
     Office of Science and Technology Policy and the heads of 
     other Federal departments and agencies carrying out 
     activities under this title and the statutes amended by this 
     title shall work together to ensure that research, 
     technologies, and response techniques are shared among the 
     programs authorized in this title in order to coordinate the 
     Nation's efforts to reduce vulnerability to the hazards 
     described in this title.

               TITLE III--COMMERCIAL SPACE TRANSPORTATION

     SEC. 301. AUTHORIZATION OF APPROPRIATIONS.

       Section 70119 of title 49, United States Code, is amended 
     by striking paragraphs (1) and (2) and inserting the 
     following:
       ``(1) $11,941,000 for fiscal year 2005;
       ``(2) $12,299,000 for fiscal year 2006;
       ``(3) $12,668,000 for fiscal year 2007;
       ``(4) $13,048,000 for fiscal year 2008; and
       ``(5) $13,440,000 for fiscal year 2009.''.
                                 ______
                                 
  SA 3984. Mr. BAYH (for himself, Mr. Roberts, Mr. Wyden, and Mrs. 
Feinstein) submitted an amendment intended to be proposed to amendment 
SA 3981 proposed by Mr. McConnell (for himself, Mr. Reid, Mr. Frist, 
and Mr. Daschle) to the resolution S. Res. 445, to eliminate certain 
restrictions on service of a Senator on the Senate Select Committee on 
Intelligence; which was ordered to lie on the table; as follows:

       Section 201 is amended by adding at the end the following:
       (i) Referral.--Section 3 of S. Res. 400 is amended by--
       (1) striking subsection (b); and
       (2) redesignating subsections (c) and (d) as subsections 
     (b) and (c), respectively.
                                 ______
                                 
  SA 3985. Mr. CHAMBLISS (for himself and Mr. Kennedy) submitted an 
amendment intended to be proposed to amendment SA 3981 proposed by Mr. 
McConnell (for himself, Mr. Reid, Mr.

[[Page 21040]]

Frist, Mr. Daschle) to the resolution S. Res. 445, to eliminate certain 
restrictions on service of a Senator on the Senate Select Committee on 
Intelligence; which was ordered to lie on the table; as follows:

       At the end of section 101(b)(1) insert the following:
     ``and except matters relating to the U.S. Citizenship and 
     Immigration Service, the U.S. Customs and Border Protection, 
     and the U.S. Immigration and Customs Enforcement, other than 
     predominantly and substantially anti-terrorism matters; and 
     except matters relating to the immigration functions of the 
     Directorate of Border and Transportation Security.''.

                          ____________________