[Congressional Record (Bound Edition), Volume 151 (2005), Part 3]
[Senate]
[Pages 3474-3478]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 42. Mr. SCHUMER (for himself, Mr. Bingaman, Mr. Durbin, Mrs. 
Feinstein, and Mrs. Clinton) submitted an amendment intended to be 
proposed by him to the bill S. 256, to amend title 11 of the United 
States Code, and for other purposes; as follows:

        On page 205, between lines 16 and 17, insert the 
     following:

     SEC. 332. ASSET PROTECTION TRUSTS.

       Section 548 of title 11, United States Code, as amended by 
     this Act, is further amended by adding at the end the 
     following:
       ``(e) The trustee may avoid a transfer of an interest of 
     the debtor in property made by an individual debtor within 10 
     years before the date of the filing of the petition to an 
     asset protection trust if the amount of the transfer or the 
     aggregate amount of all transfers to the trust or to similar 
     trusts within such 10-year period exceeds $125,000, to the 
     extent that debtor has a beneficial interest in the trust and 
     the debtor's beneficial interest in the trust does not become 
     property of the estate by reason of section 541(c)(2). For 
     purposes of this subsection, a fund or account of the kind 
     specified in section 522(d)(12) is not an asset protection 
     trust.''.
                                 ______
                                 
  SA 43. Mrs. CLINTON (for herself and Mr. Corzine) submitted an 
amendment intended to be proposed by her to the bill S. 256, to amend 
title 11 of the United States Code, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. SELF-SETTLED TRUSTS.

       Section 541(c)(2) of title 11, United States Code, is 
     amended by striking the period at the end and inserting the 
     following:
       `` unless--
       ``(A) the settler of the trust is also a trust beneficiary;
       ``(B) the trust is a domestic self-settled trust; or
       ``(C) the trust is a foreign self-settled trust.''.
                                 ______
                                 
  SA 44. Mr. KENNEDY (for himself, Mrs. Clinton, Mr. Kerry, Ms. 
Mikulski, Mr. Feingold, and Mr. Dayton) proposed an amendment to the 
bill S. 256, to amend title 11 of the United States Code, and for other 
purposes; as follows:

        At the appropriate place, insert the following:

                     TITLE __--FEDERAL MINIMUM WAGE

     SEC. __01. SHORT TITLE.

       This Act may be cited as the ``Fair Minimum Wage Act of 
     2005''.

[[Page 3475]]



     SEC. __02. MINIMUM WAGE.

       (a) In General.--Section 6(a)(1) of the Fair Labor 
     Standards Act of 1938 (29 U.S.C. 206(a)(1)) is amended to 
     read as follows:
       ``(1) except as otherwise provided in this section, not 
     less than--
       ``(A) $5.85 an hour, beginning on the 60th day after the 
     date of enactment of the Fair Minimum Wage Act of 2005;
       ``(B) $6.55 an hour, beginning 12 months after that 60th 
     day; and
       ``(C) $7.25 an hour, beginning 24 months after that 60th 
     day;''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect 60 days after the date of enactment of this 
     Act.

     SEC. __03. APPLICABILITY OF MINIMUM WAGE TO THE COMMONWEALTH 
                   OF THE NORTHERN MARIANA ISLANDS.

       (a) In General.--Section 6 of the Fair Labor Standards Act 
     of 1938 (29 U.S.C. 206) shall apply to the Commonwealth of 
     the Northern Mariana Islands.
       (b) Transition.--Notwithstanding subsection (a), the 
     minimum wage applicable to the Commonwealth of the Northern 
     Mariana Islands under section 6(a)(1) of the Fair Labor 
     Stnadards Act of 1938 (29 U.S.C. 206(a)(1)) shall be--
       (1) $3.55 an hour, beginning on the 60th day after the date 
     of enactment of this Act; and
       (2) increased by $0.50 an hour (or such lesser amount as 
     may be necessary to equal the minimum wage under section 
     6(a)(1) of such Act), beginning 6 months after the date of 
     enactment of this Act and every 6 months thereafter until the 
     minimum wage applicable to the Commonwealth of the Northern 
     Mariana Islands under this subsection is equal to the minimum 
     wage set forth in such section.
                                 ______
                                 
  SA 45. Mr. DORGAN (for himself, Mr. Durbin, and Mr. Byrd) proposed an 
amendment to the bill S. 256, to amend title 11 of the United States 
Code, and for other purposes; as follows:

       Add at the end the following:

   TITLE XVI--SPECIAL COMMITTEE OF SENATE ON WAR AND RECONSTRUCTION 
                              CONTRACTING

     SEC. 1601. FINDINGS.

       Congress makes the following findings:
       (1) The wars in Iraq and Afghanistan have exerted very 
     large demands on the Treasury of the United States and 
     required tremendous sacrifice by the members of the Armed 
     Forces of the United States.
       (2) Congress has a constitutional responsibility to ensure 
     comprehensive oversight of the expenditure of United States 
     Government funds.
       (3) Waste and corporate abuse of United States Government 
     resources are particularly unacceptable and reprehensible 
     during times of war.
       (4) The magnitude of the funds involved in the 
     reconstruction of Afghanistan and Iraq and the war on 
     terrorism, together with the speed with which these funds 
     have been committed, presents a challenge to the effective 
     performance of the traditional oversight function of Congress 
     and the auditing functions of the executive branch.
       (5) The Senate Special Committee to Investigate the 
     National Defense Program, popularly know as the Truman 
     Committee, which was established during World War II, offers 
     a constructive precedent for bipartisan oversight of wartime 
     contracting that can also be extended to wartime and postwar 
     reconstruction activities.
       (6) The Truman Committee is credited with an extremely 
     successful investigative effort, performance of a significant 
     public education role, and achievement of fiscal savings 
     measured in the billions of dollars.
       (7) The public has a right to expect that taxpayer 
     resources will be carefully disbursed and honestly spent.

     SEC. 1602. SPECIAL COMMITTEE ON WAR AND RECONSTRUCTION 
                   CONTRACTING.

       There is established a special committee of the Senate to 
     be known as the Special Committee on War and Reconstruction 
     Contracting (hereafter in this title referred to as the 
     ``Special Committee'').

     SEC. 1603. PURPOSE AND DUTIES.

       (a) Purpose.--The purpose of the Special Committee is to 
     investigate the awarding and performance of contracts to 
     conduct military, security, and reconstruction activities in 
     Afghanistan and Iraq and to support the prosecution of the 
     war on terrorism.
       (b) Duties.--The Special Committee shall examine the 
     contracting actions described in subsection (a) and report on 
     such actions, in accordance with this section, regarding--
       (1) bidding, contracting, accounting, and auditing 
     standards for Federal Government contracts;
       (2) methods of contracting, including sole-source contracts 
     and limited competition or noncompetitive contracts;
       (3) subcontracting under large, comprehensive contracts;
       (4) oversight procedures;
       (5) consequences of cost-plus and fixed price contracting;
       (6) allegations of wasteful and fraudulent practices;
       (7) accountability of contractors and Government officials 
     involved in procurement and contracting;
       (8) penalties for violations of law and abuses in the 
     awarding and performance of Government contracts; and
       (9) lessons learned from the contracting process used in 
     Iraq and Afghanistan and in connection with the war on 
     terrorism with respect to the structure, coordination, 
     management policies, and procedures of the Federal 
     Government.
       (c) Investigation of Wasteful and Fraudulent Practices.--
     The investigation by the Special Committee of allegations of 
     wasteful and fraudulent practices under subsection (b)(6) 
     shall include investigation of allegations regarding any 
     contract or spending entered into, supervised by, or 
     otherwise involving the Coalition Provisional Authority, 
     regardless of whether or not such contract or spending 
     involved appropriated funds of the United States.
       (d) Evidence Considered.--In carrying out its duties, the 
     Special Committee shall ascertain and evaluate the evidence 
     developed by all relevant governmental agencies regarding the 
     facts and circumstances relevant to contracts described in 
     subsection (a) and any contract or spending covered by 
     subsection (c).

     SEC. 1604. COMPOSITION OF SPECIAL COMMITTEE.

       (a) Membership.--
       (1) In general.--The Special Committee shall consist of 7 
     members of the Senate of whom--
       (A) 4 members shall be appointed by the President pro 
     tempore of the Senate, in consultation with the majority 
     leader of the Senate; and
       (B) 3 members shall be appointed by the minority leader of 
     the Senate.
       (2) Date.--The appointments of the members of the Special 
     Committee shall be made not later than 90 days after the date 
     of the enactment of this Act.
       (b) Vacancies.--Any vacancy in the Special Committee shall 
     not affect its powers, but shall be filled in the same manner 
     as the original appointment.
       (c) Service.--Service of a Senator as a member, chairman, 
     or ranking member of the Special Committee shall not be taken 
     into account for the purposes of paragraph (4) of rule XXV of 
     the Standing Rules of the Senate.
       (d) Chairman and Ranking Member.--The chairman of the 
     Special Committee shall be designated by the majority leader 
     of the Senate, and the ranking member of the Special 
     Committee shall be designated by the minority leader of the 
     Senate.
       (e) Quorum.--
       (1) Reports and recommendations.--A majority of the members 
     of the Special Committee shall constitute a quorum for the 
     purpose of reporting a matter or recommendation to the 
     Senate.
       (2) Testimony.--One member of the Special Committee shall 
     constitute a quorum for the purpose of taking testimony.
       (3) Other business.--A majority of the members of the 
     Special Committee, or \1/3\ of the members of the Special 
     Committee if at least one member of the minority party is 
     present, shall constitute a quorum for the purpose of 
     conducting any other business of the Special Committee.

     SEC. 1605. RULES AND PROCEDURES.

       (a) Governance Under Standing Rules of Senate.--Except as 
     otherwise specifically provided in this resolution, the 
     investigation, study, and hearings conducted by the Special 
     Committee shall be governed by the Standing Rules of the 
     Senate.
       (b) Additional Rules and Procedures.--The Special Committee 
     may adopt additional rules or procedures if the chairman and 
     ranking member agree that such additional rules or procedures 
     are necessary to enable the Special Committee to conduct the 
     investigation, study, and hearings authorized by this 
     resolution. Any such additional rules and procedures--
       (1) shall not be inconsistent with this resolution or the 
     Standing Rules of the Senate; and
       (2) shall become effective upon publication in the 
     Congressional Record.

     SEC. 1606. AUTHORITY OF SPECIAL COMMITTEE.

       (a) In General.--The Special Committee may exercise all of 
     the powers and responsibilities of a committee under rule 
     XXVI of the Standing Rules of the Senate.
       (b) Hearings.--The Special Committee or, at its direction, 
     any subcommittee or member of the Special Committee, may, for 
     the purpose of carrying out this resolution--
       (1) hold such hearings, sit and act at such times and 
     places, take such testimony, receive such evidence, and 
     administer such oaths as the Special Committee or such 
     subcommittee or member considers advisable; and
       (2) require, by subpoena or otherwise, the attendance and 
     testimony of such witnesses and the production of such books, 
     records, correspondence, memoranda, papers, documents, tapes, 
     and materials as the Special Committee considers advisable.
       (c) Issuance and Enforcement of Subpoenas.--
       (1) Issuance.--Subpoenas issued under subsection (b) shall 
     bear the signature of the Chairman of the Special Committee 
     and shall be served by any person or class of persons 
     designated by the Chairman for that purpose.
       (2) Enforcement.--In the case of contumacy or failure to 
     obey a subpoena issued

[[Page 3476]]

     under subsection (a), the United States district court for 
     the judicial district in which the subpoenaed person resides, 
     is served, or may be found may issue an order requiring such 
     person to appear at any designated place to testify or to 
     produce documentary or other evidence. Any failure to obey 
     the order of the court may be punished by the court as a 
     contempt of that court.
       (d) Meetings.--The Special Committee may sit and act at any 
     time or place during sessions, recesses, and adjournment 
     periods of the Senate.

     SEC. 1607. REPORTS.

       (a) Initial Report.--The Special Committee shall submit to 
     the Senate a report on the investigation conducted pursuant 
     to section 1603 not later than 270 days after the appointment 
     of the Special Committee members.
       (b) Updated Report.--The Special Committee shall submit an 
     updated report on such investigation not later than 180 days 
     after the submission of the report under subsection (a).
       (c) Additional Reports.--The Special Committee may submit 
     any additional report or reports that the Special Committee 
     considers appropriate.
       (d) Findings and Recommendations.--The reports under this 
     section shall include findings and recommendations of the 
     Special Committee regarding the matters considered under 
     section 1603.
       (e) Disposition of Reports.--Any report made by the Special 
     Committee when the Senate is not in session shall be 
     submitted to the Clerk of the Senate. Any report made by the 
     Special Committee shall be referred to the committee or 
     committees that have jurisdiction over the subject matter of 
     the report.

     SEC. 1608. ADMINISTRATIVE PROVISIONS.

       (a) Staff.--
       (1) In general.--The Special Committee may employ in 
     accordance with paragraph (2) a staff composed of such 
     clerical, investigatory, legal, technical, and other 
     personnel as the Special Committee, or the chairman or the 
     ranking member, considers necessary or appropriate.
       (2) Appointment of staff.--
       (A) In general.--The Special Committee shall appoint a 
     staff for the majority, a staff for the minority, and a 
     nondesignated staff.
       (B) Majority staff.--The majority staff shall be appointed, 
     and may be removed, by the chairman and shall work under the 
     general supervision and direction of the chairman.
       (C) Minority staff.--The minority staff shall be appointed, 
     and may be removed, by the ranking member of the Special 
     Committee, and shall work under the general supervision and 
     direction of such member.
       (D) Nondesignated staff.--Nondesignated staff shall be 
     appointed, and may be removed, jointly by the chairman and 
     the ranking member, and shall work under the joint general 
     supervision and direction of the chairman and ranking member.
       (b) Compensation.--
       (1) Majority staff.--The chairman shall fix the 
     compensation of all personnel of the majority staff of the 
     Special Committee.
       (2) Minority staff.--The ranking member shall fix the 
     compensation of all personnel of the minority staff of the 
     Special Committee.
       (3) Nondesignated staff.--The chairman and ranking member 
     shall jointly fix the compensation of all nondesignated staff 
     of the Special Committee, within the budget approved for such 
     purposes for the Special Committee.
       (c) Reimbursement of Expenses.--The Special Committee may 
     reimburse the members of its staff for travel, subsistence, 
     and other necessary expenses incurred by such staff members 
     in the performance of their functions for the Special 
     Committee.
       (d) Payment of Expenses.--There shall be paid out of the 
     applicable accounts of the Senate such sums as may be 
     necessary for the expenses of the Special Committee. Such 
     payments shall be made on vouchers signed by the chairman of 
     the Special Committee and approved in the manner directed by 
     the Committee on Rules and Administration of the Senate. 
     Amounts made available under this subsection shall be 
     expended in accordance with regulations prescribed by the 
     Committee on Rules and Administration of the Senate.

     SEC. 1609. TERMINATION.

       The Special Committee shall terminate on February 28, 2007.

     SEC. 1610. SENSE OF SENATE ON CERTAIN CLAIMS REGARDING THE 
                   COALITION PROVISIONAL AUTHORITY.

       It is the sense of the Senate that any claim of fraud, 
     waste, or abuse under the False Claims Act that involves any 
     contract or spending by the Coalition Provisional Authority 
     should be considered a claim against the United States 
     Government.
                                 ______
                                 
  SA 46. Mr. NELSON of Nebraska submitted an amendment intended to be 
proposed by him to the bill S. 256, to amend title 11 of the United 
States Code, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 244, after line 22, add the following:

     SEC. 448. COMPENSATION OF BANKRUPTCY TRUSTEES.

       Section 330(b)(2) of title 11, United States Code, is 
     amended--
       (1) by striking ``$15'' the first place it appears and 
     inserting ``$55''; and
       (2) by striking ``rendered.'' and all that follows through 
     ``$15'' and inserting ``rendered, which''.
                                 ______
                                 
  SA 47. Mr. SCHUMER (for himself, Mr. Reid, Mr. Leahy, and Mrs. 
Murray) submitted an amendment intended to be proposed by him to the 
bill S. 256, to amend title 11 of the United States Code, and for other 
purposes; which was ordered to lie on the table; as follows:

       On page 205, between lines 16 and 17, insert the following:

     SEC. 332. NONDISCHARGEABILITY OF DEBTS INCURRED THROUGH 
                   VIOLATIONS OF LAWS RELATING TO THE PROVISION OF 
                   LAWFUL GOODS AND SERVICES.

       Section 523(a) of title 11, United States Code, as amended 
     by this Act, is further amended--
       (1) in paragraph (18), by striking ``or'' at the end;
       (2) in paragraph (19), by striking the period at the end 
     and inserting ``; or''; and
       (3) by inserting after paragraph (19) the following:
       ``(20) that results from any judgment, order, consent 
     order, or decree entered in any Federal or State court, or 
     contained in any settlement agreement entered into by the 
     debtor, including any court ordered damages, fine, penalty, 
     citation, or attorney fee or cost owed by the debtor, arising 
     from--
       ``(A) an action alleging the violation of any Federal, 
     State, or local statute, including but not limited to a 
     violation of section 247 or 248 of title 18, that results 
     from the debtor's--
       ``(i) harassment of, intimidation of, interference with, 
     obstruction of, injury to, threat to, or violence against, 
     any person--

       ``(I) because that person provides, or has provided, lawful 
     goods or services;
       ``(II) because that person is, or has been, obtaining 
     lawful goods or services; or
       ``(III) to deter that person, any other person, or a class 
     of persons, from obtaining or providing lawful goods or 
     services; or

       ``(ii) damage to, or destruction of, property of a facility 
     providing lawful goods or services; or
       ``(B) a violation of a court order or injunction that 
     protects access to--
       ``(i) a facility that provides lawful goods or services; or
       ``(ii) the provision of lawful goods or services.

     Nothing in paragraph (20) shall be construed to affect any 
     expressive conduct (including peaceful picketing or other 
     peaceful demonstration) protected from legal prohibition by 
     the first amendment to the Constitution of the United 
     States.''.
                                 ______
                                 
  SA 48. Mr. SPECTER proposed an amendment to the bill S. 256, to amend 
title 11 of the United States Code, and for other purposes; as follows:

       On page 194, strike line 13 and all that follows through 
     page 195, line 22, and insert the following:

     SEC. 325. UNITED STATES TRUSTEE PROGRAM FILING FEE INCREASE.

       (a) Actions Under Chapter 7, 11, or 13 of Title 11, United 
     States Code.--Section 1930(a) of title 28, United States 
     Code, is amended--
       (1) by striking paragraph (1) and inserting the following:
       ``(1) For a case commenced under--
       ``(A) chapter 7 of title 11, $200; and
       ``(B) chapter 13 of title 11, $150.''; and
       (2) in paragraph (3), by striking ``$800'' and inserting 
     ``$1000''.
       (b) United States Trustee System Fund.--Section 589a(b) of 
     title 28, United States Code, is amended--
       (1) by striking paragraph (1) and inserting the following:
       ``(1)(A) 40.63 percent of the fees collected under section 
     1930(a)(1)(A) of this title; and
       ``(B) 70.00 percent of the fees collected under section 
     1930(a)(1)(B);'';
       (2) in paragraph (2), by striking ``one-half'' and 
     inserting ``75 percent''; and
       (3) in paragraph (4), by striking ``one-half'' and 
     inserting ``100 percent''.
       (c) Collection and Deposit of Miscellaneous Bankruptcy 
     Fees.--Section 406(b) of the Judiciary Appropriations Act, 
     1990 (28 U.S.C. 1931 note) is amended by striking ``pursuant 
     to 28 U.S.C. section 1930(b)'' and all that follows through 
     ``28 U.S.C. section 1931'' and inserting ``under section 
     1930(b) of title 28, United States Code, 31.25 of the fees 
     collected under section 1930(a)(1)(A) of that title, 30.00 
     percent of the fees collected under section 1930(a)(1)(B) of 
     that title, and 25 percent of the fees collected under 
     section 1930(a)(3) of that title shall be deposited as 
     offsetting receipts to the fund established under section 
     1931 of that title''.
       (d) Sunset Date.--The amendments made by subsections (b) 
     and (c) shall be effective during the 2-year period beginning 
     on the date of enactment of this Act.
       (e) Use of Increased Receipts.--
       (1) Judges' salaries and benefits.--The amount of fees 
     collected under paragraphs (1)

[[Page 3477]]

     and (3) of section 1930(a) of title 28, United States Code, 
     during the 5-year period beginning on the date of enactment 
     of this Act, that is greater than the amount that would have 
     been collected if the amendments made by subsection (a) had 
     not taken effect shall be used, to the extent necessary, to 
     pay the salaries and benefits of the judges appointed 
     pursuant to section 1223 of this Act.
       (2) Remainder.--Any amount described in paragraph (1), 
     which is not used for the purpose described in paragraph (1), 
     shall be deposited into the Treasury of the United States to 
     the extent necessary to offset the decrease in governmental 
     receipts resulting from the amendments made by subsections 
     (b) and (c).
                                 ______
                                 
  SA 49. Mr. DURBIN (for himself, Mr. Kennedy, and Mr. Dayton) proposed 
an amendment to the bill S. 256, to amend title 11 of the United States 
Code, and for other purposes; as follows:

       On page 499, strike line 3 and all that follows through 
     page 500, line 2, and insert the following:

     SEC. 1402. FRAUDULENT TRANSFERS AND OBLIGATIONS.

       (a) Federal Fraudulent Transfer Amendments.--Section 548 of 
     title 11, United States Code, is amended--
       (1) in subsection (a)(1)--
       (A) by striking ``one year'' and inserting ``4 years'';
       (B) in subparagraph (A), by striking ``or'' at the end;
       (C) in subparagraph (B), by striking the period at the end 
     and inserting ``; or''; and
       (D) by adding at the end the following:
       ``(C) made an excess benefit transfer or incurred an excess 
     benefit obligation to an insider, if the debtor--
       ``(i) was insolvent on the date on which the transfer was 
     made or the obligation was incurred; or
       ``(ii) became insolvent as a result of the transfer or 
     obligation.'';
       (2) in subsection (b), by striking ``one year'' and 
     inserting ``4 years''; and
       (3) in subsection (d)(2)--
       (A) in subparagraph (C), by striking ``and'' at the end;
       (B) in subparagraph (D), by striking the period at the end 
     and inserting ``; and''; and
       (C) by adding at the end the following:
       ``(E) the terms `excess benefit transfer' and `excess 
     benefit obligation' mean--
       ``(i) a transfer or obligation, as applicable, to an 
     insider, general partner, or other affiliated person of the 
     debtor in an amount that is not less than 10 times the amount 
     of the mean transfer or obligation of a similar kind given to 
     nonmanagement employees during the calendar year in which the 
     transfer is made or the obligation is incurred; or
       ``(ii) if no such similar transfers were made to, or 
     obligations incurred for the benefit of, such nonmanagement 
     employees during such calendar year, a transfer or obligation 
     that is in an amount that is not less than 25 percent more 
     than the amount of any similar transfer or obligation made to 
     or incurred for the benefit of such insider, partner, or 
     other affiliated person of the debtor during the calendar 
     year before the year in which such transfer is made or 
     obligation is incurred.''.
       (b) Fair Treatment of Employee Benefits.--
       (1) Definition of claim.--Section 101(5) of title 11, 
     United States Code, is amended--
       (A) in subparagraph (A), by striking ``or'' at the end;
       (B) in subparagraph (B), by inserting ``or'' after the 
     semicolon; and
       (C) by adding at the end the following:
       ``(C) right or interest in equity securities of the debtor, 
     or an affiliate of the debtor, held in a pension plan (within 
     the meaning of section 3(2) of the Employee Retirement Income 
     Security Act of 1974 (29 U.S.C. 1002(2))), including an 
     employee stock ownership plan, for the benefit of an 
     individual who is not an insider, officer, or director of the 
     debtor, if such securities were attributable to--
       ``(i) employer contributions by the debtor or an affiliate 
     of the debtor other than elective deferrals (within the 
     meaning of section 402(g) of the Internal Revenue Code of 
     1986), and any earnings thereon; and
       ``(ii) elective deferrals (and any earnings thereon) that 
     are required to be invested in such securities under the 
     terms of the plan or at the direction of a person other than 
     the individual or any beneficiary, except that this 
     subparagraph shall not apply to any such securities during 
     any period during which the individual or any beneficiary has 
     the right to direct the plan to divest such securities and to 
     reinvest an equivalent amount in other investment options of 
     the plan;''.
       (2) Priorities.--Section 507(a) of title 11, United States 
     Code, is amended--
       (A) by redesignating paragraphs (8) and (9) as paragraphs 
     (9) and (10), respectively;
       (B) by redesignating paragraphs (6) and (7), as 
     redesignated by section 212, as paragraphs (7) and (8), 
     respectively;
       (C) in paragraph (7), as so redesignated, by striking 
     ``Sixth'' and inserting ``Seventh'';
       (D) in paragraph (8), as so redesignated, by striking 
     ``Seventh'' and inserting ``Eighth'';
       (E) in paragraph (9), as so redesignated, by striking 
     ``Eighth'' and inserting ``Ninth'';
       (F) in paragraph (10), as so redesignated, by striking 
     ``Ninth'' and inserting ``Tenth''; and
       (G) by striking paragraph (5), as redesignated by section 
     212, and inserting the following:
       ``(5) Fifth, allowed unsecured claims for contributions to 
     an employee benefit plan--
       ``(A) arising from services rendered before the date of the 
     filing of the petition or the date of the cessation of the 
     debtor's business, whichever occurs first; but only
       ``(B) for each such plan, to the extent of--
       ``(i) the number of employees covered by each such plan 
     multiplied by $15,000; less
       ``(ii) the aggregate amount paid to such employees under 
     paragraph (4), plus the aggregate amount paid by the estate 
     on behalf of such employees to any other employee benefit 
     plan.
       ``(6) Sixth, allowed claims with respect to rights or 
     interests in equity securities of the debtor, or an affiliate 
     of the debtor, that are held in a pension plan (within the 
     meaning of section 3(2) of the Employee Retirement Income 
     Security Act of 1974 (29 U.S.C. 1002(2)) and section 
     101(5)(C) of this title), without regard to when services 
     were rendered, and measured by the market value of the stock 
     at the time the stock was contributed to, or purchased by, 
     the plan.''.
                                 ______
                                 
  SA 50. Mr. REID (for Mr. Baucus) proposed an amendment to the bill S. 
256, to amend title 11 of the United States Code, and for other 
purposes; as follows:

       On page 47, strike lines 12 through 14, and insert the 
     following:

     SEC. 202. EFFECT OF DISCHARGE.

       Section 524 of title 11, United States Code, is amended--
       (1) in subsection (g)(1), by adding at the end the 
     following:
       ``(C)(i) Congress finds that--
       ``(I) the vermiculite ore mined and milled in Libby, 
     Montana, was contaminated by high levels of asbestos, 
     particularly tremolite asbestos;
       ``(II) the vermiculite mining and milling processes 
     released thousands of pounds of asbestos-contaminated dust 
     into the air around Libby, Montana, every day, exposing mine 
     workers and Libby residents to high levels of asbestos over a 
     prolonged period of time;
       ``(III) the responsible party has known for over 50 years 
     that there are severe health risks associated with prolonged 
     exposure to asbestos, including higher incidences of asbestos 
     related disease such as asbestosis, lung cancer, and 
     mesothelioma;
       ``(IV) the responsible party was aware of accumulating 
     asbestos pollution in Libby, Montana, but failed to take any 
     corrective action for decades, and once corrective action was 
     taken, it was inadequate to protect workers and residents and 
     asbestos-contaminated vermiculite dust continued to be 
     released into the air in and around Libby, Montana, until the 
     early 1990s when the vermiculite mining and milling process 
     was finally halted;
       ``(V) current and former residents of Libby, Montana, and 
     former vermiculite mine workers from the Libby mine suffer 
     from asbestos related diseases at a rate 40 to 60 times the 
     national average, and they suffer from the rare and deadly 
     asbestos-caused cancer, mesothelioma, at a rate 100 times the 
     national average;
       ``(VI) the State of Montana and the town of Libby, Montana, 
     face an immediate and severe health care crisis because--
       ``(aa) many sick current and former residents and workers 
     who have been diagnosed with asbestos-related exposure or 
     disease cannot access private health insurance;
       ``(bb) the costs to the community and State government 
     related to providing health coverage for uninsured sick 
     residents and former mine workers are creating significant 
     pressures on the State's medicaid program and threaten the 
     viability of other community businesses;
       ``(cc) asbestos-related disease can have a long latency 
     period; and
       ``(dd) the only significant responsible party available to 
     compensate sick residents and workers has filed for 
     bankruptcy protection; and
       ``(VII) the responsible party should recognize that it has 
     a responsibility to work in partnership with the State of 
     Montana, the town of Libby, Montana, and appropriate health 
     care organizations to address escalating health care costs 
     caused by decades of asbestos pollution in Libby, Montana.
       ``(ii) In this subparagraph--
       ``(I) the term `asbestos related disease or illness' means 
     a malignant or non-malignant respiratory disease or illness 
     related to tremolite asbestos exposure;
       ``(II) the term `eligible medical expense' means an expense 
     related to services for the diagnosis or treatment of an 
     asbestos-related disease or illness, including expenses 
     incurred for hospitalization, prescription drugs, outpatient 
     services, home oxygen, respiratory therapy, nursing visits, 
     or diagnostic evaluations;
       ``(III) the term `responsible party' means a corporation--
       ``(aa) that has engaged in mining vermiculite that was 
     contaminated by tremolite asbestos;

[[Page 3478]]

       ``(bb) whose officers or directors have been indicted for 
     knowingly releasing into the ambient air a hazardous air 
     pollutant, namely asbestos, and knowingly endangering the 
     residents of Libby, Montana and the surrounding communities; 
     and
       ``(cc) for which the Department of Justice has intervened 
     in a bankruptcy proceeding; and
       ``(IV) the term `Trust Fund' means the health care trust 
     fund established pursuant to clause (iii).
       ``(iii) A court may not enter an order confirming a plan of 
     reorganization under chapter 11 involving a responsible party 
     or issue an injunction in connection with such order unless 
     the responsible party--
       ``(I) has established a health care trust fund for the 
     benefit of individuals suffering from an asbestos related 
     disease or illness; and
       ``(II) has deposited not less than $250,000,000 into the 
     Trust Fund.
       ``(iv) Notwithstanding any other provision of law, any 
     payment received by the United States for recovery of costs 
     associated with the actions to address asbestos contamination 
     in Libby, Montana, as authorized by the Comprehensive 
     Environmental Response, Compensation, and Liability Act of 
     1980 (42 U.S.C. 9601 et seq.), shall be deposited into the 
     Trust Fund.
       ``(v) An individual shall be eligible for medical benefit 
     payments, from the Trust Fund if the individual--
       ``(I) has an asbestos related disease or illness;
       ``(II) has an eligible medical expense; and
       ``(III)(aa) was a worker at the vermiculite mining and 
     milling facility in Libby, Montana; or
       ``(bb) lived, worked, or played in Libby, Montana for at 
     least 6 consecutive months before December 31, 2004.''; and
       (2) by adding at the end the following:

                          ____________________