[Congressional Record (Bound Edition), Volume 152 (2006), Part 11]
[Senate]
[Pages 15033-15036]
[From the U.S. Government Publishing Office, www.gpo.gov]




          MILITARY PERSONNEL FINANCIAL SERVICES PROTECTION ACT

  Mr. McCONNELL. Mr. President, I ask unanimous consent that the Senate 
proceed to the immediate consideration of Calendar No. 518, S. 418.
  The PRESIDING OFFICER. The clerk will state the bill by title.
  The assistant legislative clerk read as follows:

       A bill (S. 418) to protect members of the Armed Forces from 
     unscrupulous practices regarding sales of insurance, 
     financial, and investment products.

  There being no objection, the Senate proceeded to consider the bill, 
which had been reported from the Committee on Banking, Housing, and 
Urban Affairs, with an amendment to strike all after the enacting 
clause and insert in lieu thereof the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Military 
     Personnel Financial Services Protection Act''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Congressional findings.
Sec. 3. Definitions.
Sec. 4. Prohibition on future sales of periodic payment plans.
Sec. 5. Required disclosures regarding offers or sales of securities on 
              military installations.

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Sec. 6. Method of maintaining broker and dealer registration, 
              disciplinary, and other data.
Sec. 7. Filing depositories for investment advisers.
Sec. 8. State insurance and securities jurisdiction on military 
              installations.
Sec. 9. Required development of military personnel protection standards 
              regarding insurance sales.
Sec. 10. Required disclosures regarding life insurance products.
Sec. 11. Improving life insurance product standards.
Sec. 12. Required reporting of disciplinary actions.
Sec. 13. Reporting barred persons selling insurance or securities.
Sec. 14. Study and reports by Inspector General of the Department of 
              Defense.

     SEC. 2. CONGRESSIONAL FINDINGS.

       Congress finds that--
       (1) members of the Armed Forces perform great sacrifices in 
     protecting our Nation in the War on Terror;
       (2) the brave men and women in uniform deserve to be 
     offered first-rate financial products in order to provide for 
     their families and to save and invest for retirement;
       (3) members of the Armed Forces are being offered high-cost 
     securities and life insurance products by some financial 
     services companies engaging in abusive and misleading sales 
     practices;
       (4) one securities product offered to service members, 
     known as the ``mutual fund contractual plan'', largely 
     disappeared from the civilian market in the 1980s, due to 
     excessive sales charges;
       (5) with respect to a mutual fund contractual plan, a 50 
     percent sales commission is assessed against the first year 
     of contributions, despite an average commission on other 
     securities products of less than 6 percent on each sale;
       (6) excessive sales charges allow abusive and misleading 
     sales practices in connection with mutual fund contractual 
     plan;
       (7) certain life insurance products being offered to 
     members of the Armed Forces are improperly marketed as 
     investment products, providing minimal death benefits in 
     exchange for excessive premiums that are front-loaded in the 
     first few years, making them entirely inappropriate for most 
     military personnel; and
       (8) the need for regulation of the marketing and sale of 
     securities and life insurance products on military bases 
     necessitates Congressional action.

     SEC. 3. DEFINITIONS.

       For purposes of this Act, the following definitions shall 
     apply:
       (1) Life insurance product.--
       (A) In general.--The term ``life insurance product'' means 
     any product, including individual and group life insurance, 
     funding agreements, and annuities, that provides insurance 
     for which the probabilities of the duration of human life or 
     the rate of mortality are an element or condition of 
     insurance.
       (B) Included insurance.--The term ``life insurance 
     product'' includes the granting of--
       (i) endowment benefits;
       (ii) additional benefits in the event of death by accident 
     or accidental means;
       (iii) disability income benefits;
       (iv) additional disability benefits that operate to 
     safeguard the contract from lapse or to provide a special 
     surrender value, or special benefit in the event of total and 
     permanent disability;
       (v) benefits that provide payment or reimbursement for 
     long-term home health care, or long-term care in a nursing 
     home or other related facility;
       (vi) burial insurance; and
       (vii) optional modes of settlement or proceeds of life 
     insurance.
       (C) Exclusions.--Such term does not include workers 
     compensation insurance, medical indemnity health insurance, 
     or property and casualty insurance.
       (2) NAIC.--The term ``NAIC'' means the National Association 
     of Insurance Commissioners (or any successor thereto).

     SEC. 4. PROHIBITION ON FUTURE SALES OF PERIODIC PAYMENT 
                   PLANS.

       (a) Amendment.--Section 27 of the Investment Company Act of 
     1940 (15 U.S.C. 80a-27) is amended by adding at the end the 
     following new subsection:
       ``(j) Termination of Sales.--
       ``(1) Termination.--Effective 30 days after the date of 
     enactment of the Military Personnel Financial Services 
     Protection Act, it shall be unlawful, subject to subsection 
     (i)--
       ``(A) for any registered investment company to issue any 
     periodic payment plan certificate; or
       ``(B) for such company, or any depositor of or underwriter 
     for any such company, or any other person, to sell such a 
     certificate.
       ``(2) No invalidation of existing certificates.--Paragraph 
     (1) shall not be construed to alter, invalidate, or otherwise 
     affect any rights or obligations, including rights of 
     redemption, under any periodic payment plan certificate 
     issued and sold before 30 days after such date of 
     enactment.''.
       (b) Technical Amendment.--Section 27(i)(2)(B) of the 
     Investment Company Act of 1940 (15 U.S.C. 80a-27(i)(2)(B)) is 
     amended by striking ``section 26(e)'' each place that term 
     appears and inserting ``section 26(f)''.
       (c) Report on Refunds, Sales Practices, and Revenues From 
     Periodic Payment Plans.--Not later than 6 months after the 
     date of enactment of this Act, the Securities and Exchange 
     Commission shall submit to the Committee on Financial 
     Services of the House of Representatives and the Committee on 
     Banking, Housing, and Urban Affairs of the Senate, a report 
     describing--
       (1) any measures taken by a broker or dealer registered 
     with the Securities and Exchange Commission pursuant to 
     section 15(b) of the Securities Exchange Act of 1934 (15 
     U.S.C. 78o(b)) to voluntarily refund payments made by 
     military service members on any periodic payment plan 
     certificate, and the amounts of such refunds;
       (2) after such consultation with the Secretary of Defense, 
     as the Commission considers appropriate, the sales practices 
     of such brokers or dealers on military installations over the 
     5 years preceding the date of submission of the report and 
     any legislative or regulatory recommendations to improve such 
     practices; and
       (3) the revenues generated by such brokers or dealers in 
     the sales of periodic payment plan certificates over the 5 
     years preceding the date of submission of the report, and the 
     products marketed by such brokers or dealers to replace the 
     revenue generated from the sales of periodic payment plan 
     certificates prohibited under subsection (a).

     SEC. 5. REQUIRED DISCLOSURES REGARDING OFFERS OR SALES OF 
                   SECURITIES ON MILITARY INSTALLATIONS.

       Section 15A(b) of the Securities Exchange Act of 1934 (15 
     U.S.C. 78o-3(b)) is amended by inserting immediately after 
     paragraph (13) the following:
       ``(14) The rules of the association include provisions 
     governing the sales, or offers of sales, of securities on the 
     premises of any military installation to any member of the 
     Armed Forces or a dependant thereof, which rules require--
       ``(A) the broker or dealer performing brokerage services to 
     clearly and conspicuously disclose to potential investors--
       ``(i) that the securities offered are not being offered or 
     provided by the broker or dealer on behalf of the Federal 
     Government, and that its offer is not sanctioned, 
     recommended, or encouraged by the Federal Government; and
       ``(ii) the identity of the registered broker-dealer 
     offering the securities;
       ``(B) such broker or dealer to perform an appropriate 
     suitability determination, including consideration of costs 
     and knowledge about securities, prior to making a 
     recommendation of a security to a member of the Armed Forces 
     or a dependant thereof; and
       ``(C) that no person receive any referral fee or incentive 
     compensation in connection with a sale or offer of sale of 
     securities, unless such person is an associated person of a 
     registered broker or dealer and is qualified pursuant to the 
     rules of a self-regulatory organization.''.

     SEC. 6. METHOD OF MAINTAINING BROKER AND DEALER REGISTRATION, 
                   DISCIPLINARY, AND OTHER DATA.

       Section 15A(i) of the Securities Exchange Act of 1934 (15 
     U.S.C. 78o-3(i)) is amended to read as follows:
       ``(i) Obligation to Maintain Registration, Disciplinary, 
     and Other Data.--
       ``(1) Maintenance of system to respond to inquiries.--A 
     registered securities association shall--
       ``(A) establish and maintain a system for collecting and 
     retaining registration information;
       ``(B) establish and maintain a toll-free telephone listing, 
     and a readily accessible electronic or other process, to 
     receive and promptly respond to inquiries regarding--
       ``(i) registration information on its members and their 
     associated persons; and
       ``(ii) registration information on the members and their 
     associated persons of any registered national securities 
     exchange that uses the system described in subparagraph (A) 
     for the registration of its members and their associated 
     persons; and
       ``(C) adopt rules governing the process for making 
     inquiries and the type, scope, and presentation of 
     information to be provided in response to such inquiries in 
     consultation with any registered national securities exchange 
     providing information pursuant to subparagraph (B)(ii).
       ``(2) Recovery of costs.--A registered securities 
     association may charge persons making inquiries described in 
     paragraph (1)(B), other than individual investors, reasonable 
     fees for responses to such inquiries.
       ``(3) Process for disputed information.--Each registered 
     securities association shall adopt rules establishing an 
     administrative process for disputing the accuracy of 
     information provided in response to inquiries under this 
     subsection in consultation with any registered national 
     securities exchange providing information pursuant to 
     paragraph (1)(B)(ii).
       ``(4) Limitation on liability.--A registered securities 
     association, or an exchange reporting information to such an 
     association, shall not have any liability to any person for 
     any actions taken or omitted in good faith under this 
     subsection.
       ``(5) Definition.--For purposes of this subsection, the 
     term `registration information' means the information 
     reported in connection with the registration or licensing of 
     brokers and dealers and their associated persons, including 
     disciplinary actions, regulatory, judicial, and arbitration 
     proceedings, and other information required by law, or 
     exchange or association rule, and the source and status of 
     such information.''.

     SEC. 7. FILING DEPOSITORIES FOR INVESTMENT ADVISERS.

       (a) Investment Advisers.--Section 204 of the Investment 
     Advisers Act of 1940 (15 U.S.C. 80b-4) is amended--

[[Page 15035]]

       (1) by striking ``Every investment'' and inserting the 
     following:
       ``(a) In General.--Every investment''; and
       (2) by adding at the end the following:
       ``(b) Filing Depositories.--The Commission may, by rule, 
     require an investment adviser--
       ``(1) to file with the Commission any fee, application, 
     report, or notice required to be filed by this title or the 
     rules issued under this title through any entity designated 
     by the Commission for that purpose; and
       ``(2) to pay the reasonable costs associated with such 
     filing and the establishment and maintenance of the systems 
     required by subsection (c).
       ``(c) Access to Disciplinary and Other Information.--
       ``(1) Maintenance of system to respond to inquiries.--
       ``(A) In general.--The Commission shall require the entity 
     designated by the Commission under subsection (b)(1) to 
     establish and maintain a toll-free telephone listing, or a 
     readily accessible electronic or other process, to receive 
     and promptly respond to inquiries regarding registration 
     information (including disciplinary actions, regulatory, 
     judicial, and arbitration proceedings, and other information 
     required by law or rule to be reported) involving investment 
     advisers and persons associated with investment advisers.
       ``(B) Applicability.--This subsection shall apply to any 
     investment adviser (and the persons associated with that 
     adviser), whether the investment adviser is registered with 
     the Commission under section 203 or regulated solely by a 
     State, as described in section 203A.
       ``(2) Recovery of costs.--An entity designated by the 
     Commission under subsection (b)(1) may charge persons making 
     inquiries, other than individual investors, reasonable fees 
     for responses to inquiries described in paragraph (1).
       ``(3) Limitation on liability.--An entity designated by the 
     Commission under subsection (b)(1) shall not have any 
     liability to any person for any actions taken or omitted in 
     good faith under this subsection.''.
       (b) Conforming Amendments.--
       (1) Investment advisers act of 1940.--Section 203A of the 
     Investment Advisers Act of 1940 (15 U.S.C. 80b-3a) is 
     amended--
       (A) by striking subsection (d); and
       (B) by redesignating subsection (e) as subsection (d).
       (2) National securities markets improvement act of 1996.--
     Section 306 of the National Securities Markets Improvement 
     Act of 1996 (15 U.S.C. 80b-10, note) is repealed.

     SEC. 8. STATE INSURANCE AND SECURITIES JURISDICTION ON 
                   MILITARY INSTALLATIONS.

       (a) Clarification of Jurisdiction.--Any provision of law, 
     regulation, or order of a State with respect to regulating 
     the business of insurance or securities shall apply to 
     insurance or securities activities conducted on Federal land 
     or facilities in the United States and abroad, including 
     military installations, except to the extent that such law, 
     regulation, or order--
       (1) directly conflicts with any applicable Federal law, 
     regulation, or authorized directive; or
       (2) would not apply if such activity were conducted on 
     State land.
       (b) Primary State Jurisdiction.--To the extent that 
     multiple State laws would otherwise apply pursuant to 
     subsection (a) to an insurance or securities activity of an 
     individual or entity on Federal land or facilities, the State 
     having the primary duty to regulate such activity and the 
     laws of which shall apply to such activity in the case of a 
     conflict shall be--
       (1) the State within which the Federal land or facility is 
     located; or
       (2) if the Federal land or facility is located outside of 
     the United States, the State in which--
       (A) in the case of an individual engaged in the business of 
     insurance, such individual has been issued a resident 
     license;
       (B) in the case of an entity engaged in the business of 
     insurance, such entity is domiciled;
       (C) in the case of an individual engaged in the offer or 
     sale (or both) of securities, such individual is registered 
     or required to be registered to do business or the person 
     solicited by such individual resides; or
       (D) in the case of an entity engaged in the offer or sale 
     (or both) of securities, such entity is registered or is 
     required to be registered to do business or the person 
     solicited by such entity resides.

     SEC. 9. REQUIRED DEVELOPMENT OF MILITARY PERSONNEL PROTECTION 
                   STANDARDS REGARDING INSURANCE SALES; 
                   ADMINISTRATIVE COORDINATION.

       (a) State Standards.--Congress intends that--
       (1) the States collectively work with the Secretary of 
     Defense to ensure implementation of appropriate standards to 
     protect members of the Armed Forces from dishonest and 
     predatory insurance sales practices while on a military 
     installation of the United States (including installations 
     located outside of the United States); and
       (2) each State identify its role in promoting the standards 
     described in paragraph (1) in a uniform manner, not later 
     than 12 months after the date of enactment of this Act.
       (b) State Report.--It is the sense of Congress that the 
     NAIC should, after consultation with the Secretary of Defense 
     and, not later than 12 months after the date of enactment of 
     this Act, conduct a study to determine the extent to which 
     the States have met the requirement of subsection (a), and 
     report the results of such study to the Committee on 
     Financial Services of the House of Representatives and the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate.
       (c) Administrative Coordination; Sense of Congress.--It is 
     the sense of the Congress that senior representatives of the 
     Secretary of Defense, the Securities and Exchange Commission, 
     and the NAIC should meet not less frequently than twice a 
     year to coordinate their activities to implement this Act and 
     monitor the enforcement of relevant regulations relating to 
     the sale of financial products on military installations of 
     the United States.

     SEC. 10. REQUIRED DISCLOSURES REGARDING LIFE INSURANCE 
                   PRODUCTS.

       (a) Requirement.--Except as provided in subsection (e), no 
     person may sell, or offer for sale, any life insurance 
     product to any member of the Armed Forces or a dependant 
     thereof on a military installation of the United States, 
     unless a disclosure in accordance with this section is 
     provided to such member or dependent at the time of the sale 
     or offer.
       (b) Disclosure.--A disclosure in accordance with this 
     section is a written disclosure that--
       (1) states that subsidized life insurance is available to 
     the member of the Armed Forces from the Federal Government 
     under the Servicemembers' Group Life Insurance program (also 
     referred to as ``SGLI''), under subchapter III of chapter 19 
     of title 38, United States Code;
       (2) states the amount of insurance coverage available under 
     the SGLI program, together with the costs to the member of 
     the Armed Forces for such coverage;
       (3) states that the life insurance product that is the 
     subject of the disclosure is not offered or provided by the 
     Federal Government, and that the Federal Government has in no 
     way sanctioned, recommended, or encouraged the sale of the 
     life insurance product being offered;
       (4) fully discloses any terms and circumstances under which 
     amounts accumulated in a savings fund or savings feature 
     under the life insurance product that is the subject of the 
     disclosure may be diverted to pay, or reduced to offset, 
     premiums due for continuation of coverage under such product;
       (5) states that no person has received any referral fee or 
     incentive compensation in connection with the offer or sale 
     of the life insurance product, unless such person is a 
     licensed agent of the person engaged in the business of 
     insurance that is issuing such product;
       (6) is made in plain and readily understandable language 
     and in a type font at least as large as the font used for the 
     majority of the solicitation material used with respect to or 
     relating to the life insurance product; and
       (7) with respect to a sale or solicitation on Federal land 
     or facilities located outside of the United States, lists the 
     address and phone number at which consumer complaints are 
     received by the State insurance commissioner for the State 
     having the primary jurisdiction and duty to regulate the sale 
     of such life insurance products pursuant to section 8.
       (c) Voidability.--The sale of a life insurance product in 
     violation of this section shall be voidable from its 
     inception, at the sole option of the member of the Armed 
     Forces, or dependent thereof, as applicable, to whom the 
     product was sold.
       (d) Enforcement.--If it is determined by a Federal or State 
     agency, or in a final court proceeding, that any person has 
     intentionally violated, or willfully disregarded the 
     provisions of, this section, in addition to any other penalty 
     under applicable Federal or State law, such person shall be 
     prohibited from further engaging in the business of insurance 
     with respect to employees of the Federal Government on 
     Federal land, except--
       (1) with respect to existing policies; and
       (2) to the extent required by the Federal Government 
     pursuant to previous commitments.
       (e) Exceptions.--This section shall not apply to any life 
     insurance product specifically contracted by or through the 
     Federal Government.

     SEC. 11. IMPROVING LIFE INSURANCE PRODUCT STANDARDS.

       (a) In General.--It is the sense of Congress that the NAIC 
     should, after consultation with the Secretary of Defense, and 
     not later than 6 months after the date of enactment of this 
     Act, conduct a study and submit a report to the Committee on 
     Banking, Housing, and Urban Affairs of the Senate and the 
     Committee on Financial Services of the House of 
     Representatives on--
       (1) ways of improving the quality of and sale of life 
     insurance products sold on military installations of the 
     United States, which may include--
       (A) limiting such sales authority to persons that are 
     certified as meeting appropriate best practices procedures; 
     and
       (B) creating standards for products specifically designed 
     to meet the particular needs of members of the Armed Forces, 
     regardless of the sales location; and
       (2) the extent to which life insurance products marketed to 
     members of the Armed Forces comply with otherwise applicable 
     provisions of State law.
       (b) Conditional GAO Report.--If the NAIC does not submit 
     the report as described in subsection (a), the Comptroller 
     General of the United States shall--
       (1) study any proposals that have been made to improve the 
     quality of and sale of life insurance products sold on 
     military installations of the United States; and
       (2) not later than 6 months after the expiration of the 
     period referred to in subsection (a), submit a report on such 
     proposals to the Committee on Banking, Housing, and Urban 
     Affairs

[[Page 15036]]

     of the Senate and the Committee on Financial Services of the 
     House of Representatives.

     SEC. 12. REQUIRED REPORTING OF DISCIPLINARY ACTIONS.

       (a) Reporting by Insurers.--Beginning 1 year after the date 
     of enactment of this Act, no insurer may enter into or renew 
     a contractual relationship with any other person that sells 
     or solicits the sale of any life insurance product on any 
     military installation of the United States, unless the 
     insurer has implemented a system to report to the State 
     insurance commissioner of the State of domicile of the 
     insurer and the State of residence of that other person--
       (1) any disciplinary action taken by any Federal or State 
     government entity with respect to sales or solicitations of 
     life insurance products on a military installation that the 
     insurer knows, or in the exercise of due diligence should 
     have known, to have been taken; and
       (2) any significant disciplinary action taken by the 
     insurer with respect to sales or solicitations of life 
     insurance products on a military installation of the United 
     States.
       (b) Reporting by States.--It is the sense of Congress that, 
     not later than 1 year after the date of enactment of this 
     Act, the States should collectively implement a system to--
       (1) receive reports of disciplinary actions taken against 
     persons that sell or solicit the sale of any life insurance 
     product on any military installation of the United States by 
     insurers or Federal or State government entities with respect 
     to such sales or solicitations; and
       (2) disseminate such information to all other States and to 
     the Secretary of Defense.
       (c) Definition.--As used in this section, the term 
     ``insurer'' means a person engaged in the business of 
     insurance.

     SEC. 13. REPORTING BARRED PERSONS SELLING INSURANCE OR 
                   SECURITIES.

       (a) Establishment.--The Secretary of Defense shall maintain 
     a list of the name, address, and other appropriate 
     information relating to persons engaged in the business of 
     securities or insurance that have been barred or otherwise 
     limited in any manner that is not generally applicable to all 
     such type of persons, from any or all military installations 
     of the United States, or that have engaged in any transaction 
     that is prohibited by this Act.
       (b) Notice and Access.--The Secretary of Defense shall 
     ensure that--
       (1) the appropriate Federal and State agencies responsible 
     for securities and insurance regulation are promptly notified 
     upon the inclusion in or removal from the list required by 
     subsection (a) of a person under the jurisdiction of one or 
     more of such agencies; and
       (2) the list is kept current and easily accessible--
       (A) for use by such agencies; and
       (B) for purposes of enforcing or considering any such bar 
     or limitation by the appropriate Federal personnel, including 
     commanders of military installations.
       (c) Regulations.--
       (1) In general.--The Secretary of Defense shall issue 
     regulations in accordance with this subsection to provide for 
     the establishment and maintenance of the list required by 
     this section, including appropriate due process 
     considerations.
       (2) Timing.--
       (A) Proposed regulations.--Not later than the expiration of 
     the 60-day period beginning on the date of enactment of this 
     Act, the Secretary of Defense shall prepare and submit to the 
     appropriate Committees of Congress a copy of the regulations 
     required by this subsection that are proposed to be published 
     for comment. The Secretary may not publish such regulations 
     for comment in the Federal Register until the expiration of 
     the 15-day period beginning on the date of such submission to 
     the appropriate Committees of Congress.
       (B) Final regulations.--Not later than 90 days after the 
     date of enactment of this Act, the Secretary of Defense shall 
     submit to the appropriate Committees of Congress a copy of 
     the regulations under this section to be published in final 
     form.
       (C) Effective date.--Final regulations under this paragraph 
     shall become effective 30 days after the date of their 
     submission to the appropriate Committees of Congress under 
     subparagraph (B).
       (d) Definition.--For purposes of this section, the term 
     ``appropriate Committees of Congress'' means--
       (1) the Committee on Financial Services and the Committee 
     on Armed Services of the House of Representatives; and
       (2) the Committee on Banking, Housing, and Urban Affairs 
     and the Committee on Armed Services of the Senate.

     SEC. 14. STUDY AND REPORTS BY INSPECTOR GENERAL OF THE 
                   DEPARTMENT OF DEFENSE.

       (a) Study.--The Inspector General of the Department of 
     Defense shall conduct a study on the impact of Department of 
     Defense Instruction 1344.07 (as in effect on the date of 
     enactment of this Act) and the reforms included in this Act 
     on the quality and suitability of sales of securities and 
     insurance products marketed or otherwise offered to members 
     of the Armed Forces.
       (b) Reports.--Not later than 12 months after the date of 
     enactment of this Act, the Inspector General of the 
     Department of Defense shall submit an initial report on the 
     results of the study conducted under subsection (a) to the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate and the Committee on Financial Services of the House 
     of Representatives, and shall submit followup reports to 
     those committees on December 31, 2008 and December 31, 2010.

  Mr. McCONNELL. Mr. President, I ask unanimous consent that the 
committee-reported amendment be agreed to, the bill as amended be read 
the third time and passed, the motion to reconsider be laid upon the 
table, and that any statements relating to the bill be printed in the 
Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The committee amendment in the nature of a substitute was agreed to.
  The bill (S. 418), as amended, was ordered to be engrossed for a 
third reading, was read the third time, and passed.

                          ____________________