[Congressional Record (Bound Edition), Volume 153 (2007), Part 16]
[Senate]
[Pages 22698-22713]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2624. Mr. SALAZAR submitted an amendment intended to be proposed 
to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. DEMONSTRATION PROJECT TO PROVIDE NURSE HOME 
                   VISITATION SERVICES UNDER MEDICAID AND CHIP.

       (a) Findings and Purpose.--
       (1) Findings.--Congress makes the following findings:
       (A) Medicaid and CHIP have collectively provided health 
     insurance coverage to over 38,000,000 low-income pregnant 
     women and children.
       (B) Evidence-based nurse home visitation programs can 
     improve the health status of low-income pregnant women and 
     children enrolled in Medicaid and CHIP by promoting access to 
     prenatal and well-baby care, reducing pre-term births, 
     reducing high-risk pregnancies, increasing time intervals 
     between first and subsequent births, and improving child 
     cognitive, social, and behavioral skills, and development.
       (C) In addition to health benefits, evidence-based nurse 
     home visitation programs have been proven to increase 
     maternal employment and economic self-sufficiency and 
     significantly reduce child abuse and neglect, child arrests, 
     maternal arrests, and involvement in the criminal justice 
     system.
       (D) Evidence-based nurse home visitation programs are cost 
     effective, yielding a 5-to-1 return on investment for every 
     dollar spent on services, and producing a net benefit to 
     society of $34,000 per high risk family served.
       (2) Purpose.--The purpose of this section is to establish a 
     demonstration project to evaluate the cost-effectiveness and 
     impact on the health and well-being of low-income pregnant 
     mothers and children of providing evidence-based nurse home 
     visitation services for low-income pregnant mothers and 
     children under Medicaid and CHIP, particularly with respect 
     to the impact of such services on--
       (A) improving the prenatal health of children;
       (B) improving pregnancy outcomes;
       (C) improving child health and development;
       (D) improving child development and mental health related 
     to elementary school readiness;
       (E) improving family stability and economic self-
     sufficiency;
       (F) reducing the incidence of child abuse and neglect; and
       (G) increasing birth intervals between pregnancies.
       (b) Requirement To Conduct Demonstration Project.--
       (1) In general.--The Secretary shall establish a 
     demonstration project under which a State may apply under 
     section 1115 of the Social Security Act (42 U.S.C. 1315) to 
     provide, in accordance with the provisions of this section, 
     medical assistance under the State plan under title XIX of 
     the Social Security Act, child health assistance under the 
     State child health plan under title XXI of such Act, or both 
     for evidence-based nurse home visitation services to children 
     and pregnant women who are eligible for such assistance under 
     such plans.
       (2) Limitation on number of approved applications.--The 
     Secretary shall only approve as many State applications to 
     provide medical assistance or child health assistance in 
     accordance with this section as will not exceed the 
     limitation on aggregate payments under subsection (d)(2)(A).
       (3) Authority to waive restrictions on payments to 
     territories.--The Secretary shall waive the limitations on 
     payment under subsections (f) and (g) of section 1108 of the 
     Social Security Act (42 U.S.C. 1308) in the case of a State 
     that is subject to such limitations and submits an approved 
     application to provide medical assistance, child health 
     assistance, or both in accordance with this section.
       (c) Length of Period for Provision of Assistance.--A State 
     shall not be approved to provide medical assistance or child 
     health assistance for evidence-based nurse home visitation 
     services in accordance with the demonstration project 
     established under this section for a period of more than 5 
     consecutive years.
       (d) Limitations on Federal Funding.--
       (1) Appropriation.--
       (A) In general.--Out of any funds in the Treasury not 
     otherwise appropriated, there is appropriated to carry out 
     this section, $25,000,000 for the period of fiscal years 2008 
     through 2012.
       (B) Budget authority.--Subparagraph (A) constitutes budget 
     authority in advance of appropriations Acts and represents 
     the obligation of the Federal Government to provide for the 
     payment of the amounts appropriated under that subparagraph.
       (2) Limitation on payments.--In no case may--
       (A) the aggregate amount of payments made by the Secretary 
     to eligible States under this section exceed $25,000,000; or
       (B) payments be provided by the Secretary under this 
     section after September 30, 2012.
       (3) Funds allocated to states.--The Secretary shall 
     allocate funds to States with approved applications under 
     this section based on their applications and the availability 
     of funds.
       (4) Payments to states.--The Secretary shall pay to each 
     State, from its allocation under paragraph (3), an amount 
     each quarter equal to 100 percent of the expenditures in the 
     quarter for medical assistance or child health assistance (as 
     applicable) for evidence-based nurse home visitation services 
     provided to low-income pregnant mothers and children who are 
     eligible for such assistance under a State plan under title 
     XIX or XXI of such Act in accordance with the demonstration 
     project established under this section.
       (e) Evaluation and Report.--
       (1) Evaluation.--The Secretary shall conduct an evaluation 
     of the demonstration project established under this section. 
     Such evaluation shall include an analysis of the cost-
     effectiveness of the project and the impact of the programs 
     on Medicaid and CHIP. For purposes of conducting such 
     evaluation, the Secretary shall require a State that submits 
     an application to participate in the demonstration project 
     established under this section to agree, as a condition of 
     approval of such application, to maintain data related to, 
     and be subject to, periodic evaluations based on performance 
     outcomes regarding the following:
       (A) Substance abuse during pregnancy.
       (B) Prematurity.
       (C) Immunizations.
       (D) Developmental delay.
       (E) Language development.
       (F) Emergency room visits and hospitalizations for injury.
       (G) Interval between pregnancies.
       (H) Workforce participation.
       (I) Government assistance use.
       (2) Report to congress.--Not later than December 31, 2012, 
     the Secretary shall submit a report to Congress on the 
     results of the evaluation of the demonstration project 
     established under this section.
       (f) Definition.--In this section, the term ``evidence-based 
     nurse home visitation services'' means services (such as 
     services related to improving prenatal health, pregnancy 
     outcomes, child health and development, school readiness, 
     family stability and economic self-sufficiency, reducing 
     child abuse, neglect, and injury, reducing maternal and child 
     involvement in the criminal justice system, and increasing 
     birth intervals between pregnancies) on behalf of a targeted 
     low-income child who has not attained age 2 and is born to a 
     first-time pregnant mother, but only if such services are 
     provided in accordance with outcome standards

[[Page 22699]]

     that have been replicated in multiple, rigorous, randomized 
     controlled trials in multiple sites, with outcomes that 
     improve prenatal health of children, pregnancy outcomes, 
     child health and development, child development, and mental 
     health related to elementary school readiness, reduce child 
     abuse, neglect, and injury, increase birth intervals between 
     pregnancies, and improve maternal employment.
       (g) Rule of Construction.--Nothing in the demonstration 
     project established under this section shall be construed as 
     affecting the ability of a State under Medicaid or CHIP to 
     provide nurse home visitation services as part of medical 
     assistance, child health assistance, or an administrative 
     expense, for which any State received payment under section 
     1903(a) or 2105(a) of the Social Security Act (42 U.S.C. 
     1396b(a), 1397ee(a)) for the provision of such services 
     before, on, or after the date of enactment of this Act.
                                 ______
                                 
  SA 2625. Mr. BUNNING submitted an amendment intended to be proposed 
to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       Strike section 102 and insert the following:

     SEC. 102. ALLOTMENTS FOR THE 50 STATES AND THE DISTRICT OF 
                   COLUMBIA.

       (a) In General.--Section 2104 (42 U.S.C. 1397dd) is amended 
     by adding at the end the following new subsection:
       ``(i) Determination of Allotments for the 50 States and the 
     District of Columbia for Fiscal Years 2008 Through 2012.--
       ``(1) Computation of allotment.--
       ``(A) In general.--The Secretary shall for each of fiscal 
     years 2008 through 2012 allot to each subsection (b) State 
     from the available national allotment for such fiscal year an 
     amount which bears the same ratio to such available national 
     allotment as the sales of cigarettes in such State bears to 
     total sales of cigarettes in all subsection (b) States (based 
     on the most current data available to the Secretary from the 
     Centers for Disease Control).
       ``(B) Available national allotment.--For purposes of this 
     subsection, the term `available national allotment' means, 
     with respect to any fiscal year, the amount available for 
     allotment under subsection (a) for the fiscal year, reduced 
     by the amount of the allotments made for the fiscal year 
     under subsection (c). The available national allotment with 
     respect to the amount available under subsection (a)(15)(A) 
     for fiscal year 2012 shall be increased by the amount of the 
     appropriation for the period beginning on October 1 and 
     ending on March 31 of such fiscal year under section 103 of 
     the Children's Health Insurance Program Reauthorization Act 
     of 2007.
       ``(2) Subsection (b) state.--In this subsection, the term 
     `subsection (b) State' means 1 of the 50 States or the 
     District of Columbia.''.
       (b) Conforming Amendments.--Section 2104 (42 U.S.C. 1397dd) 
     is amended--
       (1) in subsection (a), by striking ``subsection (d)'' and 
     inserting ``subsections (d), (h), and (i)'';
       (2) in subsection (b)(1), by striking ``subsection (d)'' 
     and inserting ``subsections (d), (h), and (i)''; and
       (3) in subsection (c)(1), by striking ``subsection (d)'' 
     and inserting ``subsections (d), (h), and (i)''.
                                 ______
                                 
  SA 2626. Ms. SNOWE (for herself and Mr. Bingaman) submitted an 
amendment intended to be proposed to amendment SA 2530 proposed by Mr. 
Baucus (for himself, Mr. Grassley, Mr. Rockefeller, and Mr. Hatch) to 
the bill H.R. 976, to amend title XXI of the Social Security Act to 
reauthorize the State Children's Health Insurance Program, and for 
other purposes, which was ordered to lie on the table; as follows:

       Beginning on page 213, strike line 13 and all that follows 
     through page 216, line 6 and insert the following:

     SEC. 608. STATE OPTION TO PROVIDE DENTAL-ONLY SUPPLEMENTAL 
                   COVERAGE.

       (a) State Option to Provide Dental-Only Supplemental 
     Coverage.--
       (1) In general.----Section 2110(b) (42 U.S.C. 1397jj(b)) is 
     amended--
       (A) in paragraph (1)(C), by inserting ``, subject to 
     paragraph (5),'' after ``under title XIX or''; and
       (B) by adding at the end the following new paragraph:
       ``(5) State option to provide dental-only supplemental 
     coverage.--A State may waive the requirement of paragraph 
     (1)(C) that a targeted low-income child may not be covered 
     under a group health plan or under health insurance coverage, 
     if the State satisfies the conditions described in section 
     2105(c)(12), in order to provide--
       ``(A) dental services; or
       ``(B) cost-sharing protection for dental services 
     consistent with section 2103(e)(3)(B).

     In waiving such requirement, a State may limit the 
     application of the waiver to children whose family income 
     does not exceed a level specified by the State, so long as 
     the level so specified does not exceed the maximum income 
     level otherwise established for other children under the 
     State child health plan.''.
       (2) Conditions described.--Section 2105(c) (42 U.S.C. 
     1397ee(c)), as amended by section 602(a)(1), is amended by 
     adding at the end the following new paragraph:
       ``(12) Conditions for provision of wrap-around coverage.--
     For purposes of section 2110(b)(5), the conditions described 
     in this paragraph are the following:
       ``(A) Income eligibility.--The State child health plan 
     (whether implemented under title XIX or this title)--
       ``(i) has the highest income eligibility standard permitted 
     under this title as of January 1, 2007;
       ``(ii) does not limit the acceptance of applications for 
     children or impose any numerical limitation, waiting list, or 
     similar limitation on the eligibility of such children for 
     child health assistance under such State plan; and
       ``(iii) provides benefits to all children in the State who 
     apply for and meet eligibility standards.
       ``(B) No more favorable treatment.--The State child health 
     plan may not provide more favorable coverage of dental-only 
     supplemental coverage to the children covered under section 
     2110(b)(5) than to children otherwise covered under this 
     title.''.
       (3) State option to waive waiting period.--Section 
     2102(b)(1)(B) (42 U.S.C. 1397bb(b)(1)(B)), as amended by 
     section 107(b)(2), is amended--
       (A) in clause (ii), by striking ``and'' at the end;
       (B) in clause (iii), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following new clause:
       ``(iv) at State option, may not apply a waiting period in 
     the case of a child described in section 2110(b)(5), if the 
     State satisfies the requirements of section 2105(c)(12).''.
       (4) Application of enhanced match under medicaid.--Section 
     1905 (42 U.S.C. 1396d) is amended--
       (A) in subsection (b), in the fourth sentence, by striking 
     ``or (u)(4)'' and inserting ``(u)(4), or (u)(5)''; and
       (B) in subsection (u)--
       (i) by redesignating paragraph (5) as paragraph (6); and
       (ii) by inserting after paragraph (4) the following new 
     paragraph:
       ``(5) For purposes of subsection (b), the expenditures 
     described in this paragraph are expenditures for items and 
     services for children described in section 2110(b)(5), but 
     only in the case of a State that satisfies the requirements 
     of section 2105(c)(8).''.
       (b) Denial of Deduction for Punitive Damages.--
       (1) Disallowance of deduction.--
       (A) In general.--Section 162(g) (relating to treble damage 
     payments under the antitrust laws) is amended--
       (i) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively,
       (ii) by striking ``If'' and inserting:
       ``(1) Treble damages.--If'', and
       (iii) by adding at the end the following new paragraph:
       ``(2) Punitive damages.--No deduction shall be allowed 
     under this chapter for any amount paid or incurred for 
     punitive damages in connection with any judgment in, or 
     settlement of, any action. This paragraph shall not apply to 
     punitive damages described in section 104(c).''.
       (B) Conforming amendment.--The heading for section 162(g) 
     is amended by inserting ``Or Punitive Damages'' after 
     ``Laws''.
       (2) Inclusion in income of punitive damages paid by insurer 
     or otherwise.--
       (A) In general.--Part II of subchapter B of chapter 1 
     (relating to items specifically included in gross income) is 
     amended by adding at the end the following new section:

     ``SEC. 91. PUNITIVE DAMAGES COMPENSATED BY INSURANCE OR 
                   OTHERWISE.

       ``Gross income shall include any amount paid to or on 
     behalf of a taxpayer as insurance or otherwise by reason of 
     the taxpayer's liability (or agreement) to pay punitive 
     damages.''.
       (B) Reporting requirements.--Section 6041 (relating to 
     information at source) is amended by adding at the end the 
     following new subsection:
       ``(h) Section To Apply to Punitive Damages Compensation.--
     This section shall apply to payments by a person to or on 
     behalf of another person as insurance or otherwise by reason 
     of the other person's liability (or agreement) to pay 
     punitive damages.''.
       (C) Conforming amendment.--The table of sections for part 
     II of subchapter B of chapter 1 is amended by adding at the 
     end the following new item:

``Sec. 91. Punitive damages compensated by insurance or otherwise.''.
       (3) Effective date.--The amendments made by this subsection 
     shall apply to damages paid or incurred on or after the date 
     of the enactment of this Act.
       (c) Denial of Deduction for Certain Fines, Penalties, and 
     Other Amounts.--

[[Page 22700]]

       (1) In general.--Subsection (f) of section 162 (relating to 
     trade or business expenses) is amended to read as follows:
       ``(f) Fines, Penalties, and Other Amounts.--
       ``(1) In general.--Except as provided in paragraph (2), no 
     deduction otherwise allowable shall be allowed under this 
     chapter for any amount paid or incurred (whether by suit, 
     agreement, or otherwise) to, or at the direction of, a 
     government or entity described in paragraph (4) in relation 
     to the violation of any law or the investigation or inquiry 
     by such government or entity into the potential violation of 
     any law.
       ``(2) Exception for amounts constituting restitution or 
     paid to come into compliance with law.--Paragraph (1) shall 
     not apply to any amount which--
       ``(A) the taxpayer establishes--
       ``(i) constitutes restitution (including remediation of 
     property) for damage or harm caused by or which may be caused 
     by the violation of any law or the potential violation of any 
     law, or
       ``(ii) is paid to come into compliance with any law which 
     was violated or involved in the investigation or inquiry, and
       ``(B) is identified as restitution or as an amount paid to 
     come into compliance with the law, as the case may be, in the 
     court order or settlement agreement.
     A taxpayer shall not meet the requirements of subparagraph 
     (A) solely by reason an identification under subparagraph 
     (B). This paragraph shall not apply to any amount paid or 
     incurred as reimbursement to the government or entity for the 
     costs of any investigation or litigation.
       ``(3) Exception for amounts paid or incurred as the result 
     of certain court orders.--Paragraph (1) shall not apply to 
     any amount paid or incurred by order of a court in a suit in 
     which no government or entity described in paragraph (4) is a 
     party.
       ``(4) Certain nongovernmental regulatory entities.--An 
     entity is described in this paragraph if it is--
       ``(A) a nongovernmental entity which exercises self-
     regulatory powers (including imposing sanctions) in 
     connection with a qualified board or exchange (as defined in 
     section 1256(g)(7)), or
       ``(B) to the extent provided in regulations, a 
     nongovernmental entity which exercises self-regulatory powers 
     (including imposing sanctions) as part of performing an 
     essential governmental function.
       ``(5) Exception for taxes due.--Paragraph (1) shall not 
     apply to any amount paid or incurred as taxes due.''.
       (2) Reporting of deductible amounts.--
       (A) In general.--Subpart B of part III of subchapter A of 
     chapter 61 is amended by inserting after section 6050V the 
     following new section:

     ``SEC. 6050W. INFORMATION WITH RESPECT TO CERTAIN FINES, 
                   PENALTIES, AND OTHER AMOUNTS.

       ``(a) Requirement of Reporting.--
       ``(1) In general.--The appropriate official of any 
     government or entity which is described in section 162(f)(4) 
     which is involved in a suit or agreement described in 
     paragraph (2) shall make a return in such form as determined 
     by the Secretary setting forth--
       ``(A) the amount required to be paid as a result of the 
     suit or agreement to which paragraph (1) of section 162(f) 
     applies,
       ``(B) any amount required to be paid as a result of the 
     suit or agreement which constitutes restitution or 
     remediation of property, and
       ``(C) any amount required to be paid as a result of the 
     suit or agreement for the purpose of coming into compliance 
     with any law which was violated or involved in the 
     investigation or inquiry.
       ``(2) Suit or agreement described.--
       ``(A) In general.--A suit or agreement is described in this 
     paragraph if--
       ``(i) it is--

       ``(I) a suit with respect to a violation of any law over 
     which the government or entity has authority and with respect 
     to which there has been a court order, or
       ``(II) an agreement which is entered into with respect to a 
     violation of any law over which the government or entity has 
     authority, or with respect to an investigation or inquiry by 
     the government or entity into the potential violation of any 
     law over which such government or entity has authority, and

       ``(ii) the aggregate amount involved in all court orders 
     and agreements with respect to the violation, investigation, 
     or inquiry is $600 or more.
       ``(B) Adjustment of reporting threshold.--The Secretary may 
     adjust the $600 amount in subparagraph (A)(ii) as necessary 
     in order to ensure the efficient administration of the 
     internal revenue laws.
       ``(3) Time of filing.--The return required under this 
     subsection shall be filed not later than--
       ``(A) 30 days after the date on which a court order is 
     issued with respect to the suit or the date the agreement is 
     entered into, as the case may be, or
       ``(B) the date specified Secretary.
       ``(b) Statements To Be Furnished to Individuals Involved in 
     the Settlement.--Every person required to make a return under 
     subsection (a) shall furnish to each person who is a party to 
     the suit or agreement a written statement showing--
       ``(1) the name of the government or entity, and
       ``(2) the information supplied to the Secretary under 
     subsection (a)(1).

     The written statement required under the preceding sentence 
     shall be furnished to the person at the same time the 
     government or entity provides the Secretary with the 
     information required under subsection (a).
       ``(c) Appropriate Official Defined.--For purposes of this 
     section, the term `appropriate official' means the officer or 
     employee having control of the suit, investigation, or 
     inquiry or the person appropriately designated for purposes 
     of this section.''.
       (B) Conforming amendment.--The table of sections for 
     subpart B of part III of subchapter A of chapter 61 is 
     amended by inserting after the item relating to section 6050V 
     the following new item:

``Sec. 6050W. Information with respect to certain fines, penalties, and 
              other amounts.''.
       (3) Effective date.--The amendments made by this subsection 
     shall apply to amounts paid or incurred on or after the date 
     of the enactment of this Act, except that such amendments 
     shall not apply to amounts paid or incurred under any binding 
     order or agreement entered into before such date. Such 
     exception shall not apply to an order or agreement requiring 
     court approval unless the approval was obtained before such 
     date.
                                 ______
                                 
  SA 2627. Mr. COBURN (for himself, Mr. DeMint, and Mr. Vitter) 
submitted an amendment intended to be proposed to amendment SA 2530 
proposed by Mr. Baucus (for himself, Mr. Grassley, Mr. Rockefeller, and 
Mr. Hatch) to the bill H.R. 976 to amend title XXI of the Social 
Security Act to reauthorize the State Children's Health Insurance 
Program, and for other purposes; as follows:

       Beginning on page 133, strike line 4 and all that follows 
     through page 165, line 2, and insert the following:

     SEC. 401. PREMIUM ASSISTANCE FOR HIGHER INCOME CHILDREN AND 
                   PREGNANT WOMEN WITH ACCESS TO EMPLOYER-
                   SPONSORED COVERAGE.

       (a) In General.--Section 2105(c) (42 U.S.C. 1397ee(c)), as 
     amended by section 301(c) is amended by adding at the end the 
     following:
       ``(10) Premium assistance.--
       ``(A) In general.--Beginning with fiscal year 2008, a State 
     may only provide child health assistance for a targeted low-
     income child or a pregnant woman whose family income exceeds 
     200 percent of the poverty line and who has access to 
     qualified employer sponsored coverage (as defined in 
     subparagraph (B)) through the provision of a premium 
     assistance subsidy in accordance with the requirements of 
     this paragraph.
       ``(B) Qualified employer sponsored coverage.--
       ``(i) In general.--In this paragraph, the term `qualified 
     employer sponsored coverage' means a group health plan or 
     health insurance coverage offered through an employer that 
     is--

       ``(I) substantially equivalent to the benefits coverage in 
     a benchmark benefit package described in section 2103(b) or 
     benchmark-equivalent coverage that meets the requirements of 
     section 2103(a)(2);
       ``(II) for which the employer contribution toward any 
     premium for such coverage is at least 50 percent (75 percent, 
     in the case of an employer with more than 50 employees);
       ``(III) made similarly available to all of the employer's 
     employees and for which the employer makes a contribution to 
     the premium that is not less for employees receiving a 
     premium assistance subsidy under any option available under 
     the State child health plan under this title or the State 
     plan under title XIX to provide such assistance than the 
     employer contribution provided for all other employees; and
       ``(IV) cost-effective, as determined under clause (ii).

       ``(ii) Cost-effectiveness.--A group health plan or health 
     insurance coverage offered through an employer shall be 
     considered to be cost-effective if--

       ``(I) the marginal premium cost to purchase family coverage 
     through the employer is less than the State cost of providing 
     child health assistance through the State child health plan 
     for all the children in the family who are targeted low-
     income children; or
       ``(II) the marginal premium cost between individual 
     coverage and purchasing family coverage through the employer 
     is not greater than 175 percent of the cost to the State to 
     provide child health assistance through the State child 
     health plan for a targeted low-income child.

       ``(iii) High deductible health plans included.--The term 
     `qualified employer sponsored coverage' includes a high 
     deductible health plan (as defined in section 223(c)(2) of 
     the Internal Revenue Code of 1986) purchased through a health 
     savings account (as defined under section 223(d) of such 
     Code).
       ``(C) Premium assistance subsidy.--
       ``(i) In general.--In this paragraph, the term `premium 
     assistance subsidy' means, with respect to a targeted low-
     income child, the amount equal to the difference between

[[Page 22701]]

     the employee contribution required for enrollment only of the 
     employee under qualified employer sponsored coverage and the 
     employee contribution required for enrollment of the employee 
     and the child in such coverage, less any applicable premium 
     cost-sharing applied under the State child health plan, 
     subject to the annual aggregate cost-sharing limit applied 
     under section 2103(e)(3)(B).
       ``(ii) State payment option.--Subject to clause (iii), a 
     State may provide a premium assistance subsidy directly to an 
     employer or as reimbursement to an employee for out-of-pocket 
     expenditures.
       ``(iii) Requirement for direct payment to employee.--A 
     State shall not pay a premium assistance subsidy directly to 
     the employee, unless the State has established procedures to 
     ensure that the targeted low-income child on whose behalf 
     such payments are made are actually enrolled in the qualified 
     employer sponsored coverage.
       ``(iv) Treatment as child health assistance.--Expenditures 
     for the provision of premium assistance subsidies shall be 
     considered child health assistance described in paragraph 
     (1)(C) of subsection (a) for purposes of making payments 
     under that subsection.
       ``(v) State option to require acceptance of subsidy.--A 
     State may condition the provision of child health assistance 
     under the State child health plan for a targeted low-income 
     child on the receipt of a premium assistance subsidy for 
     enrollment in qualified employer sponsored coverage if the 
     State determines the provision of such a subsidy to be more 
     cost-effective in accordance with subparagraph (B)(ii).
       ``(vi) Not treated as income.--Notwithstanding any other 
     provision of law, a premium assistance subsidy provided in 
     accordance with this paragraph shall not be treated as income 
     to the child or the parent of the child for whom such subsidy 
     is provided.
       ``(D) No requirement to provide supplemental coverage for 
     benefits and additional cost-sharing protection provided 
     under the state child health plan.--
       ``(i) In general.--A State that elects the option to 
     provide a premium assistance subsidy under this paragraph 
     shall not be required to provide a targeted low-income child 
     enrolled in qualified employer sponsored coverage with 
     supplemental coverage for items or services that are not 
     covered, or are only partially covered, under the qualified 
     employer sponsored coverage or cost-sharing protection other 
     than the protection required under section 2103(e)(3)(B).
       ``(ii) Notice of cost-sharing requirements.--A State shall 
     provide a targeted low-income child or the parent of such a 
     child (as appropriate) who is provided with a premium 
     assistance subsidy in accordance with this paragraph with 
     notice of the cost-sharing requirements and limitations 
     imposed under the qualified employer sponsored coverage in 
     which the child is enrolled upon the enrollment of the child 
     in such coverage and annually thereafter.
       ``(iii) Record keeping requirements.--A State may require a 
     parent of a targeted low-income child that is enrolled in 
     qualified employer-sponsored coverage to bear the 
     responsibility for keeping track of out-of-pocket 
     expenditures incurred for cost-sharing imposed under such 
     coverage and to notify the State when the limit on such 
     expenditures imposed under section 2103(e)(3)(B) has been 
     reached for a year from the effective date of enrollment for 
     such year.
       ``(iv) State option for reimbursement.--A State may 
     retroactively reimburse a parent of a targeted low-income 
     child for out-of-pocket expenditures incurred after reaching 
     the 5 percent cost-sharing limitation imposed under section 
     2103(e)(3)(B) for a year.
       ``(E) 6-month waiting period required.--A State shall 
     impose at least a 6-month waiting period from the time an 
     individual is enrolled in private health insurance prior to 
     the provision of a premium assistance subsidy for a targeted 
     low-income child in accordance with this paragraph.
       ``(F) Non application of waiting period for enrollment in 
     the state medicaid plan or the state child health plan.--A 
     targeted low-income child provided a premium assistance 
     subsidy in accordance with this paragraph who loses 
     eligibility for such subsidy shall not be treated as having 
     been enrolled in private health insurance coverage for 
     purposes of applying any waiting period imposed under the 
     State child health plan or the State plan under title XIX for 
     the enrollment of the child under such plan.
       ``(G) Assurance of special enrollment period under group 
     health plans in case of eligibility for premium subsidy 
     assistance.--No payment shall be made under subsection (a) 
     for amounts expended for the provision of premium assistance 
     subsidies under this paragraph unless a State provides 
     assurances to the Secretary that the State has in effect laws 
     requiring a group health plan, a health insurance issuer 
     offering group health insurance coverage in connection with a 
     group health plan, and a self-funded health plan, to permit 
     an employee who is eligible, but not enrolled, for coverage 
     under the terms of the plan (or a child of such an employee 
     if the child is eligible, but not enrolled, for coverage 
     under such terms) to enroll for coverage under the terms of 
     the plan if the employee's child becomes eligible for a 
     premium assistance subsidy under this paragraph.
       ``(H) No effect on previously approved premium assistance 
     programs.--Nothing in this paragraph shall be construed as 
     limiting the authority of a State to offer premium assistance 
     under section 1906, a waiver described in paragraph (2)(B) or 
     (3), a waiver approved under section 1115, or other authority 
     in effect on June 28, 2007, for targeted low-income children 
     or pregnant women whose family income does not exceed 200 
     percent of the poverty line.
       ``(I) Notice of availability.--A State shall--
       ``(i) include on any application or enrollment form for 
     child health assistance a notice of the availability of 
     premium assistance subsidies for the enrollment of targeted 
     low-income children in qualified employer sponsored coverage 
     and the requirement to provide such subsidies to the 
     individuals described in subparagraph (A);
       ``(ii) provide, as part of the application and enrollment 
     process under the State child health plan, information 
     describing the availability of such subsidies and how to 
     elect to obtain such a subsidy, or if required, to obtain 
     such subsidies; and
       ``(iii) establish such other procedures as the State 
     determines necessary to ensure that parents are informed of 
     the availability of such subsidies under the State child 
     health plan.''.
       (b) Application to Medicaid.--Section 1906 (42 U.S.C. 
     1396e) is amended by inserting after subsection (c) the 
     following:
       ``(d) The provisions of section 2105(c)(10) shall apply to 
     a child who is eligible for medical assistance under the 
     State plan in the same manner as such provisions apply to a 
     targeted low-income child under a State child health plan 
     under title XXI. Section 1902(a)(34) shall not apply to a 
     child who is provided a premium assistance subsidy under the 
     State plan in accordance with the preceding sentence.''.
                                 ______
                                 
  SA 2628. Ms. SNOWE (for herself and Mr. Bingaman, Mr. Cardin, Ms. 
Collins, and Ms. Mikulski) submitted an amendment intended to be 
proposed to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. 
Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to 
amend title XXI of the Social Security Act to reauthorize the State 
Children's Health Insurance Program, and for other purposes; which was 
ordered to lie on the table; as follows:

       Beginning on page 213, strike line 13 and all that follows 
     through page 216, line 6 and insert the following:

     SEC. 608. STATE OPTION TO PROVIDE DENTAL-ONLY SUPPLEMENTAL 
                   COVERAGE.

       (a) State Option to Provide Dental-Only Supplemental 
     Coverage.--
       (1) In general.----Section 2110(b) (42 U.S.C. 1397jj(b)) is 
     amended--
       (A) in paragraph (1)(C), by inserting ``, subject to 
     paragraph (5),'' after ``under title XIX or''; and
       (B) by adding at the end the following new paragraph:
       ``(5) State option to provide dental-only supplemental 
     coverage.--A State may waive the requirement of paragraph 
     (1)(C) that a targeted low-income child may not be covered 
     under a group health plan or under health insurance coverage, 
     if the State satisfies the conditions described in section 
     2105(c)(12), in order to provide--
       ``(A) dental services; or
       ``(B) cost-sharing protection for dental services 
     consistent with section 2103(e)(3)(B).
     In waiving such requirement, a State may limit the 
     application of the waiver to children whose family income 
     does not exceed a level specified by the State, so long as 
     the level so specified does not exceed the maximum income 
     level otherwise established for other children under the 
     State child health plan.''.
       (2) Conditions described.--Section 2105(c) (42 U.S.C. 
     1397ee(c)), as amended by section 602(a)(1), is amended by 
     adding at the end the following new paragraph:
       ``(12) Conditions for provision of wrap-around coverage.--
     For purposes of section 2110(b)(5), the conditions described 
     in this paragraph are the following:
       ``(A) Income eligibility.--The State child health plan 
     (whether implemented under title XIX or this title)--
       ``(i) has the highest income eligibility standard permitted 
     under this title as of January 1, 2007;
       ``(ii) does not limit the acceptance of applications for 
     children or impose any numerical limitation, waiting list, or 
     similar limitation on the eligibility of such children for 
     child health assistance under such State plan; and
       ``(iii) provides benefits to all children in the State who 
     apply for and meet eligibility standards.
       ``(B) No more favorable treatment.--The State child health 
     plan may not provide more favorable coverage of dental-only 
     supplemental coverage to the children covered under section 
     2110(b)(5) than to children otherwise covered under this 
     title.''.
       (3) State option to waive waiting period.--Section 
     2102(b)(1)(B) (42 U.S.C.

[[Page 22702]]

     1397bb(b)(1)(B)), as amended by section 107(b)(2), is 
     amended--
       (A) in clause (ii), by striking ``and'' at the end;
       (B) in clause (iii), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following new clause:
       ``(iv) at State option, may not apply a waiting period in 
     the case of a child described in section 2110(b)(5), if the 
     State satisfies the requirements of section 2105(c)(12).''.
       (4) Application of enhanced match under medicaid.--Section 
     1905 (42 U.S.C. 1396d) is amended--
       (A) in subsection (b), in the fourth sentence, by striking 
     ``or (u)(4)'' and inserting ``(u)(4), or (u)(5)''; and
       (B) in subsection (u)--
       (i) by redesignating paragraph (5) as paragraph (6); and
       (ii) by inserting after paragraph (4) the following new 
     paragraph:
       ``(5) For purposes of subsection (b), the expenditures 
     described in this paragraph are expenditures for items and 
     services for children described in section 2110(b)(5), but 
     only in the case of a State that satisfies the requirements 
     of section 2105(c)(8).''.
       (b) Denial of Deduction for Punitive Damages.--
       (1) Disallowance of deduction.--
       (A) In general.--Section 162(g) (relating to treble damage 
     payments under the antitrust laws) is amended--
       (i) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively,
       (ii) by striking ``If'' and inserting:
       ``(1) Treble damages.--If'', and
       (iii) by adding at the end the following new paragraph:
       ``(2) Punitive damages.--No deduction shall be allowed 
     under this chapter for any amount paid or incurred for 
     punitive damages in connection with any judgment in, or 
     settlement of, any action. This paragraph shall not apply to 
     punitive damages described in section 104(c).''.
       (B) Conforming amendment.--The heading for section 162(g) 
     is amended by inserting ``Or Punitive Damages'' after 
     ``Laws''.
       (2) Inclusion in income of punitive damages paid by insurer 
     or otherwise.--
       (A) In general.--Part II of subchapter B of chapter 1 
     (relating to items specifically included in gross income) is 
     amended by adding at the end the following new section:

     ``SEC. 91. PUNITIVE DAMAGES COMPENSATED BY INSURANCE OR 
                   OTHERWISE.

       ``Gross income shall include any amount paid to or on 
     behalf of a taxpayer as insurance or otherwise by reason of 
     the taxpayer's liability (or agreement) to pay punitive 
     damages.''.
       (B) Reporting requirements.--Section 6041 (relating to 
     information at source) is amended by adding at the end the 
     following new subsection:
       ``(h) Section To Apply to Punitive Damages Compensation.--
     This section shall apply to payments by a person to or on 
     behalf of another person as insurance or otherwise by reason 
     of the other person's liability (or agreement) to pay 
     punitive damages.''.
       (C) Conforming amendment.--The table of sections for part 
     II of subchapter B of chapter 1 is amended by adding at the 
     end the following new item:

``Sec. 91. Punitive damages compensated by insurance or otherwise.''.

       (3) Effective date.--The amendments made by this subsection 
     shall apply to damages paid or incurred on or after the date 
     of the enactment of this Act.
       (c) Denial of Deduction for Certain Fines, Penalties, and 
     Other Amounts.--
       (1) In general.--Subsection (f) of section 162 (relating to 
     trade or business expenses) is amended to read as follows:
       ``(f) Fines, Penalties, and Other Amounts.--
       ``(1) In general.--Except as provided in paragraph (2), no 
     deduction otherwise allowable shall be allowed under this 
     chapter for any amount paid or incurred (whether by suit, 
     agreement, or otherwise) to, or at the direction of, a 
     government or entity described in paragraph (4) in relation 
     to the violation of any law or the investigation or inquiry 
     by such government or entity into the potential violation of 
     any law.
       ``(2) Exception for amounts constituting restitution or 
     paid to come into compliance with law.--Paragraph (1) shall 
     not apply to any amount which--
       ``(A) the taxpayer establishes--
       ``(i) constitutes restitution (including remediation of 
     property) for damage or harm caused by or which may be caused 
     by the violation of any law or the potential violation of any 
     law, or
       ``(ii) is paid to come into compliance with any law which 
     was violated or involved in the investigation or inquiry, and
       ``(B) is identified as restitution or as an amount paid to 
     come into compliance with the law, as the case may be, in the 
     court order or settlement agreement.
     A taxpayer shall not meet the requirements of subparagraph 
     (A) solely by reason an identification under subparagraph 
     (B). This paragraph shall not apply to any amount paid or 
     incurred as reimbursement to the government or entity for the 
     costs of any investigation or litigation.
       ``(3) Exception for amounts paid or incurred as the result 
     of certain court orders.--Paragraph (1) shall not apply to 
     any amount paid or incurred by order of a court in a suit in 
     which no government or entity described in paragraph (4) is a 
     party.
       ``(4) Certain nongovernmental regulatory entities.--An 
     entity is described in this paragraph if it is--
       ``(A) a nongovernmental entity which exercises self-
     regulatory powers (including imposing sanctions) in 
     connection with a qualified board or exchange (as defined in 
     section 1256(g)(7)), or
       ``(B) to the extent provided in regulations, a 
     nongovernmental entity which exercises self-regulatory powers 
     (including imposing sanctions) as part of performing an 
     essential governmental function.
       ``(5) Exception for taxes due.--Paragraph (1) shall not 
     apply to any amount paid or incurred as taxes due.''.
       (2) Reporting of deductible amounts.--
       (A) In general.--Subpart B of part III of subchapter A of 
     chapter 61 is amended by inserting after section 6050V the 
     following new section:

     ``SEC. 6050W. INFORMATION WITH RESPECT TO CERTAIN FINES, 
                   PENALTIES, AND OTHER AMOUNTS.

       ``(a) Requirement of Reporting.--
       ``(1) In general.--The appropriate official of any 
     government or entity which is described in section 162(f)(4) 
     which is involved in a suit or agreement described in 
     paragraph (2) shall make a return in such form as determined 
     by the Secretary setting forth--
       ``(A) the amount required to be paid as a result of the 
     suit or agreement to which paragraph (1) of section 162(f) 
     applies,
       ``(B) any amount required to be paid as a result of the 
     suit or agreement which constitutes restitution or 
     remediation of property, and
       ``(C) any amount required to be paid as a result of the 
     suit or agreement for the purpose of coming into compliance 
     with any law which was violated or involved in the 
     investigation or inquiry.
       ``(2) Suit or agreement described.--
       ``(A) In general.--A suit or agreement is described in this 
     paragraph if--
       ``(i) it is--

       ``(I) a suit with respect to a violation of any law over 
     which the government or entity has authority and with respect 
     to which there has been a court order, or
       ``(II) an agreement which is entered into with respect to a 
     violation of any law over which the government or entity has 
     authority, or with respect to an investigation or inquiry by 
     the government or entity into the potential violation of any 
     law over which such government or entity has authority, and

       ``(ii) the aggregate amount involved in all court orders 
     and agreements with respect to the violation, investigation, 
     or inquiry is $600 or more.
       ``(B) Adjustment of reporting threshold.--The Secretary may 
     adjust the $600 amount in subparagraph (A)(ii) as necessary 
     in order to ensure the efficient administration of the 
     internal revenue laws.
       ``(3) Time of filing.--The return required under this 
     subsection shall be filed not later than--
       ``(A) 30 days after the date on which a court order is 
     issued with respect to the suit or the date the agreement is 
     entered into, as the case may be, or
       ``(B) the date specified Secretary.
       ``(b) Statements To Be Furnished to Individuals Involved in 
     the Settlement.--Every person required to make a return under 
     subsection (a) shall furnish to each person who is a party to 
     the suit or agreement a written statement showing--
       ``(1) the name of the government or entity, and
       ``(2) the information supplied to the Secretary under 
     subsection (a)(1).
     The written statement required under the preceding sentence 
     shall be furnished to the person at the same time the 
     government or entity provides the Secretary with the 
     information required under subsection (a).
       ``(c) Appropriate Official Defined.--For purposes of this 
     section, the term `appropriate official' means the officer or 
     employee having control of the suit, investigation, or 
     inquiry or the person appropriately designated for purposes 
     of this section.''.
       (B) Conforming amendment.--The table of sections for 
     subpart B of part III of subchapter A of chapter 61 is 
     amended by inserting after the item relating to section 6050V 
     the following new item:

``Sec. 6050W. Information with respect to certain fines, penalties, and 
              other amounts.''.

       (3) Effective date.--The amendments made by this subsection 
     shall apply to amounts paid or incurred on or after the date 
     of the enactment of this Act, except that such amendments 
     shall not apply to amounts paid or incurred under any binding 
     order or agreement entered into before such date. Such 
     exception shall not apply to an order or agreement requiring 
     court approval unless the approval was obtained before such 
     date.
                                 ______
                                 
  SA 2629. Mr. DOMENICI (for himself and Mr. Dorgan) submitted an 
amendment intended to be proposed by him

[[Page 22703]]

to the bill H.R. 976, to amend title XXI of the Social Security Act to 
reauthorize the State Children's Health Insurance Program, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. REAUTHORIZATION OF SPECIAL DIABETES PROGRAMS FOR 
                   TYPE I DIABETES AND INDIAN.

       (a) Special Diabetes Programs for Type I Diabetes.--Section 
     330B(b)(2) of the Public Health Service Act (42 U.S.C. 254c-
     2(b)(2)) is amended--
       (1) in subparagraph (B), by striking ``and'' at the end;
       (2) in subparagraph (C), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(D) $200,000,000 for each of fiscal years 2009 through 
     2013.''.
       (b) Special Diabetes Programs for Indians.--Section 
     330C(c)(2) of the Public Health Service Act (42 U.S.C. 254c-
     3(c)(2)) is amended--
       (1) in subparagraph (B), by striking ``and'' at the end;
       (2) in subparagraph (C), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(D) $200,000,000 for each of fiscal years 2009 through 
     2013.''.
                                 ______
                                 
  SA 2630. Ms. MURKOWSKI submitted an amendment intended to be proposed 
to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. MORATORIUM ON CERTAIN PAYMENT RESTRICTIONS.

       Notwithstanding any other provision of law, the Secretary 
     shall not, prior to the date that is 1 year after the date of 
     enactment of this Act, take any action (through promulgation 
     of regulation, issuance of regulatory guidance, use of 
     federal payment audit procedures, or other administrative 
     action, policy, or practice, including a Medical Assistance 
     Manual transmittal or letter to State Medicaid directors) to 
     restrict coverage or payment under title XIX of the Social 
     Security Act for rehabilitation services, or school-based 
     administration, transportation, or medical services if such 
     restrictions are more restrictive in any aspect than those 
     applied to such coverage or payment as of July 1, 2007.
                                 ______
                                 
  SA 2631. Mr. DODD (for himself, Mrs. Clinton, Mrs. Dole, Mr. Graham, 
Ms. Mikulski, Mr. Chambliss, Mr. Brown, Mr. Cardin, Mr. Menendez, Mr. 
Salazar, Mr. Kennedy, Mr. Reed, Mrs. Boxer, Mrs. Murray, Mr. Lieberman, 
and Mr. Roberts) proposed an amendment to amendment SA 2530 proposed by 
Mr. Baucus (for himself, Mr. Grassley, Mr. Rockefeller, and Mr. Hatch) 
to the bill H.R. 976, to amend title XXI of the Social Security Act to 
reauthorize the State Children's Health Insurance Program, and for 
other purposes; as follows:

       At the end of title VI, add the following:

     SEC. 610. SUPPORT FOR INJURED SERVICEMEMBERS.

       (a) Short Title.--This section may be cited as the 
     ``Support for Injured Servicemembers Act''.
       (b) Servicemember Family Leave.--
       (1) Definitions.--Section 101 of the Family and Medical 
     Leave Act of 1993 (29 U.S.C. 2611) is amended by adding at 
     the end the following:
       ``(14) Active duty.--The term `active duty' means duty 
     under a call or order to active duty under a provision of law 
     referred to in section 101(a)(13)(B) of title 10, United 
     States Code.
       ``(15) Covered servicemember.--The term `covered 
     servicemember' means a member of the Armed Forces, including 
     a member of the National Guard or a Reserve, who is 
     undergoing medical treatment, recuperation, or therapy, is 
     otherwise in medical hold or medical holdover status, or is 
     otherwise on the temporary disability retired list, for a 
     serious injury or illness.
       ``(16) Medical hold or medical holdover status.--The term 
     `medical hold or medical holdover status' means--
       ``(A) the status of a member of the Armed Forces, including 
     a member of the National Guard or a Reserve, assigned or 
     attached to a military hospital for medical care; and
       ``(B) the status of a member of a reserve component of the 
     Armed Forces who is separated, whether pre-deployment or 
     post-deployment, from the member's unit while in need of 
     health care based on a medical condition identified while the 
     member is on active duty in the Armed Forces.
       ``(17) Next of kin.--The term `next of kin', used with 
     respect to an individual, means the nearest blood relative of 
     that individual.
       ``(18) Serious injury or illness.--The term `serious injury 
     or illness', in the case of a member of the Armed Forces, 
     means an injury or illness incurred by the member in line of 
     duty on active duty in the Armed Forces that may render the 
     member medically unfit to perform the duties of the member's 
     office, grade, rank, or rating.''.
       (2) Entitlement to leave.--Section 102(a) of such Act (29 
     U.S.C. 2612(a)) is amended by adding at the end the 
     following:
       ``(3) Servicemember family leave.--Subject to section 103, 
     an eligible employee who is the spouse, son, daughter, 
     parent, or next of kin of a covered servicemember shall be 
     entitled to a total of 26 workweeks of leave during a 12-
     month period to care for the servicemember. The leave 
     described in this paragraph shall only be available during a 
     single 12-month period.
       ``(4) Combined leave total.--During the single 12-month 
     period described in paragraph (3), an eligible employee shall 
     be entitled to a combined total of 26 workweeks of leave 
     under paragraphs (1) and (3). Nothing in this paragraph shall 
     be construed to limit the availability of leave under 
     paragraph (1) during any other 12-month period.''.
       (3) Requirements relating to leave.--
       (A) Schedule.--Section 102(b) of such Act (29 U.S.C. 
     2612(b)) is amended--
       (i) in paragraph (1), in the second sentence--

       (I) by striking ``section 103(b)(5)'' and inserting 
     ``subsection (b)(5) or (f) (as appropriate) of section 103''; 
     and
       (II) by inserting ``or under subsection (a)(3)'' after 
     ``subsection (a)(1)''; and

       (ii) in paragraph (2), by inserting ``or under subsection 
     (a)(3)'' after ``subsection (a)(1)''.
       (B) Substitution of paid leave.--Section 102(d) of such Act 
     (29 U.S.C. 2612(d)) is amended--
       (i) in paragraph (1)--

       (I) by inserting ``(or 26 workweeks in the case of leave 
     provided under subsection (a)(3))'' after ``12 workweeks'' 
     the first place it appears; and
       (II) by inserting ``(or 26 workweeks, as appropriate)'' 
     after ``12 workweeks'' the second place it appears; and

       (ii) in paragraph (2)(B), by adding at the end the 
     following: ``An eligible employee may elect, or an employer 
     may require the employee, to substitute any of the accrued 
     paid vacation leave, personal leave, family leave, or medical 
     or sick leave of the employee for leave provided under 
     subsection (a)(3) for any part of the 26-week period of such 
     leave under such subsection.''.
       (C) Notice.--Section 102(e)(2) of such Act (29 U.S.C. 
     2612(e)(2)) is amended by inserting ``or under subsection 
     (a)(3)'' after ``subsection (a)(1)''.
       (D) Spouses employed by same employer.--Section 102(f) of 
     such Act (29 U.S.C. 2612(f)) is amended--
       (i) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), and aligning the margins of the 
     subparagraphs with the margins of section 102(e)(2)(A);
       (ii) by striking ``In any'' and inserting the following:
       ``(1) In general.--In any''; and
       (iii) by adding at the end the following:
       ``(2) Servicemember family leave.--
       ``(A) In general.--The aggregate number of workweeks of 
     leave to which both that husband and wife may be entitled 
     under subsection (a) may be limited to 26 workweeks during 
     the single 12-month period described in subsection (a)(3) if 
     the leave is--
       ``(i) leave under subsection (a)(3); or
       ``(ii) a combination of leave under subsection (a)(3) and 
     leave described in paragraph (1).
       ``(B) Both limitations applicable.--If the leave taken by 
     the husband and wife includes leave described in paragraph 
     (1), the limitation in paragraph (1) shall apply to the leave 
     described in paragraph (1).''.
       (E) Certification.--Section 103 of such Act (29 U.S.C. 
     2613) is amended by adding at the end the following:
       ``(f) Certification for Servicemember Family Leave.--An 
     employer may require that a request for leave under section 
     102(a)(3) be supported by a certification issued at such time 
     and in such manner as the Secretary may by regulation 
     prescribe.''.
       (F) Failure to return.--Section 104(c) of such Act (29 
     U.S.C. 2614(c)) is amended--
       (i) in paragraph (2)(B)(i), by inserting ``or under section 
     102(a)(3)'' before the semicolon; and
       (ii) in paragraph (3)(A)--

       (I) in clause (i), by striking ``or'' at the end;
       (II) in clause (ii), by striking the period and inserting 
     ``; or''; and
       (III) by adding at the end the following:

       ``(iii) a certification issued by the health care provider 
     of the servicemember being cared for by the employee, in the 
     case of an employee unable to return to work because of a 
     condition specified in section 102(a)(3).''.
       (G) Enforcement.--Section 107 of such Act (29 U.S.C. 2617) 
     is amended, in subsection (a)(1)(A)(i)(II), by inserting 
     ``(or 26 weeks, in a case involving leave under section 
     102(a)(3))'' after ``12 weeks''.
       (H) Instructional employees.--Section 108 of such Act (29 
     U.S.C. 2618) is amended, in

[[Page 22704]]

     subsections (c)(1), (d)(2), and (d)(3), by inserting ``or 
     under section 102(a)(3)'' after ``section 102(a)(1)''.
       (c) Servicemember Family Leave for Civil Service 
     Employees.--
       (1) Definitions.--Section 6381 of title 5, United States 
     Code, is amended--
       (A) in paragraph (5), by striking ``and'' at the end;
       (B) in paragraph (6), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(7) the term `active duty' means duty under a call or 
     order to active duty under a provision of law referred to in 
     section 101(a)(13)(B) of title 10, United States Code;
       ``(8) the term `covered servicemember' means a member of 
     the Armed Forces, including a member of the National Guard or 
     a Reserve, who is undergoing medical treatment, recuperation, 
     or therapy, is otherwise in medical hold or medical holdover 
     status, or is otherwise on the temporary disability retired 
     list, for a serious injury or illness;
       ``(9) the term `medical hold or medical holdover status' 
     means--
       ``(A) the status of a member of the Armed Forces, including 
     a member of the National Guard or a Reserve, assigned or 
     attached to a military hospital for medical care; and
       ``(B) the status of a member of a reserve component of the 
     Armed Forces who is separated, whether pre-deployment or 
     post-deployment, from the member's unit while in need of 
     health care based on a medical condition identified while the 
     member is on active duty in the Armed Forces;
       ``(10) the term `next of kin', used with respect to an 
     individual, means the nearest blood relative of that 
     individual; and
       ``(11) the term `serious injury or illness', in the case of 
     a member of the Armed Forces, means an injury or illness 
     incurred by the member in line of duty on active duty in the 
     Armed Forces that may render the member medically unfit to 
     perform the duties of the member's office, grade, rank, or 
     rating.''.
       (2) Entitlement to leave.--Section 6382(a) of such title is 
     amended by adding at the end the following:
       ``(3) Subject to section 6383, an employee who is the 
     spouse, son, daughter, parent, or next of kin of a covered 
     servicemember shall be entitled to a total of 26 
     administrative workweeks of leave during a 12-month period to 
     care for the servicemember. The leave described in this 
     paragraph shall only be available during a single 12-month 
     period.
       ``(4) During the single 12-month period described in 
     paragraph (3), an employee shall be entitled to a combined 
     total of 26 administrative workweeks of leave under 
     paragraphs (1) and (3). Nothing in this paragraph shall be 
     construed to limit the availability of leave under paragraph 
     (1) during any other 12-month period.''.
       (3) Requirements relating to leave.--
       (A) Schedule.--Section 6382(b) of such title is amended--
       (i) in paragraph (1), in the second sentence--

       (I) by striking ``section 6383(b)(5)'' and inserting 
     ``subsection (b)(5) or (f) (as appropriate) of section 
     6383''; and
       (II) by inserting ``or under subsection (a)(3)'' after 
     ``subsection (a)(1)''; and

       (ii) in paragraph (2), by inserting ``or under subsection 
     (a)(3)'' after ``subsection (a)(1)''.
       (B) Substitution of paid leave.--Section 6382(d) of such 
     title is amended by adding at the end the following: ``An 
     employee may elect to substitute for leave under subsection 
     (a)(3) any of the employee's accrued or accumulated annual or 
     sick leave under subchapter I for any part of the 26-week 
     period of leave under such subsection.''.
       (C) Notice.--Section 6382(e) of such title is amended by 
     inserting ``or under subsection (a)(3)'' after ``subsection 
     (a)(1)''.
       (D) Certification.--Section 6383 of such title is amended 
     by adding at the end the following:
       ``(f) An employing agency may require that a request for 
     leave under section 6382(a)(3) be supported by a 
     certification issued at such time and in such manner as the 
     Office of Personnel Management may by regulation 
     prescribe.''.
                                 ______
                                 
  SA 2632. Mrs. CLINTON (for herself, Mr. Bingaman, Mr. Kerry, Mr. 
Menendez, Mrs. Boxer, Mr. Dodd, Mr. Durbin, Mr. Whitehouse, Mrs. 
Feinstein, Mr. Levin, Mr. Kennedy, Mrs. Murray, Mr. Nelson of Florida, 
Mr. Reid, Mr. Lautenberg, and Mr. Brown) submitted an amendment 
intended to be proposed to amendment SA 2530 proposed by Mr. Baucus 
(for himself, Mr. Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill 
H.R. 976, to amend title XXI of the Social Security Act to reauthorize 
the State Children's Health Insurance Program, and for other purposes; 
which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. OPTIONAL COVERAGE OF LEGAL IMMIGRANTS UNDER MEDICAID 
                   AND CHIP.

       (a) Medicaid Program.--Section 1903(v) (42 U.S.C. 1396b(v)) 
     is amended--
       (1) in paragraph (1), by striking ``paragraph (2)'' and 
     inserting ``paragraphs (2) and (4)''; and
       (2) by adding at the end the following new paragraph:
       ``(4)(A) A State may elect (in a plan amendment under this 
     title) to provide medical assistance under this title, 
     notwithstanding sections 401(a), 402(b), 403, and 421 of the 
     Personal Responsibility and Work Opportunity Reconciliation 
     Act of 1996, for aliens who are lawfully residing in the 
     United States (including battered aliens described in section 
     431(c) of such Act) and who are otherwise eligible for such 
     assistance, within either or both of the following 
     eligibility categories:
       ``(i) Pregnant women.--Women during pregnancy (and during 
     the 60-day period beginning on the last day of the 
     pregnancy).
       ``(ii) Children.--Individuals under 21 years of age, 
     including optional targeted low-income children described in 
     section 1905(u)(2)(B).
       ``(B) In the case of a State that has elected to provide 
     medical assistance to a category of aliens under subparagraph 
     (A), no debt shall accrue under an affidavit of support 
     against any sponsor of such an alien on the basis of 
     provision of assistance to such category and the cost of such 
     assistance shall not be considered as an unreimbursed 
     cost.''.
       (b) SCHIP.--Section 2107(e)(1) (42 U.S.C. 1397gg(e)(1)), as 
     amended by section 609, is amended by inserting after 
     subparagraph (B) the following new subparagraph (and 
     redesignating the succeeding subparagraphs accordingly):
       ``(C) Section 1903(v)(4) (relating to optional coverage of 
     categories of lawfully residing immigrant children), but only 
     if the State has elected to apply such section to the 
     category of children under title XIX.''.
                                 ______
                                 
  SA 2633. Mr. CARDIN submitted an amendment intended to be proposed to 
amendment SA 2567 submitted by Mr. Cardin and intended to be proposed 
to the amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. 
Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to 
amend title XXI of the Social Security Act to reauthorize the State 
Children's Health Insurance Program, and for other purposes; which was 
ordered to lie on the table; as follows:

       In lieu of the matter proposed to be inserted, insert the 
     following:

     SEC. ____. TO MAKE DENTAL PROVIDER INFORMATION MORE 
                   ACCESSIBLE TO ENROLLEES UNDER MEDICAID AND 
                   CHIP.

       (a) In General.--The Secretary shall work with States, 
     pediatric dentists, and other dental providers to include on 
     the Insure Kids Now website (http://www.insurekidsnow.gov/) 
     and hotline (1-877-KIDS-NOW) a current and accurate list of 
     all dentists and other dental providers within each State 
     that provide dental services to children enrolled in a State 
     plan under Medicaid or a State child health plan under CHIP.
       (b) Timeframe and Updated List.--The Secretary shall ensure 
     that--
       (1) the list described in subsection (a) is available on 
     such website and hotline by not later than 1 year after the 
     date of enactment of this Act;
       (2) such list is updated quarterly; and
       (3) such website and hotline use the most up-to-date list.
                                 ______
                                 
  SA 2634. Mr. CARDIN submitted an amendment intended to be proposed to 
amendment SA 2567 submitted by Mr. Cardin and intended to be proposed 
to the amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. 
Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to 
amend title XXI of the Social Security Act to reauthorize the State 
Children's Health Insurance Program, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the end of title II, add the following:

     SEC. ____. TO MAKE DENTAL PROVIDER INFORMATION MORE 
                   ACCESSIBLE TO ENROLLEES UNDER MEDICAID AND 
                   CHIP.

       (a) In General.--The Secretary shall work with States, 
     pediatric dentists, and other dental providers to include on 
     the Insure Kids Now website (http://www.insurekidsnow.gov/) 
     and hotline (1-877-KIDS-NOW) a current and accurate list of 
     all dentists and other dental providers within each State 
     that provide dental services to children enrolled in a State 
     plan under Medicaid or a State child health plan under CHIP.
       (b) Timeframe and Updated List.--The Secretary shall ensure 
     that--
       (1) the list described in subsection (a) is available on 
     such website and hotline by not later than 1 year after the 
     date of enactment of this Act;
       (2) such list is updated quarterly; and
       (3) such website and hotline use the most up-to-date list.

                                 ______
                                 
  SA 2635. Mr. CARDIN (for himself, Mr. Bingaman, Ms. Collins, and Ms.

[[Page 22705]]

Mikulski) submitted an amendment intended to be proposed to amendment 
SA 2530, proposed by Mr. Baucus (for himself, Mr. Grassley, Mr. 
Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title XXI of 
the Social Security Act to reauthorize the State Children's Health 
Insurance Program, and for other purposes; which was ordered to lie on 
the table; as follows:

       On page 192, between lines 12 and 13, insert the following:
       ``(j) Demonstration Projects to Increase Access to 
     Pediatric Dental Services in Undeserved Areas.--
       ``(1) In general.--During the period of fiscal years 2008 
     through 2012, the Secretary shall award not more than 10 
     grants to States and school-based health centers to conduct 
     demonstration projects to evaluate promising ideas for 
     improving access to quality dental health services for 
     children in undeserved areas under title XIX or XXI.''.
                                 ______
                                 
  SA 2636. Ms. LANDRIEU submitted an amendment intended to be proposed 
to amendment SA 2530, proposed by Mr. Baucus (for himself, Mr. 
Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to 
amend title XXI of the Social Security Act to reauthorize the State 
Children's Health Insurance Program, and for other purposes; which was 
ordered to lie on the table; as follows:

       On page 217, after line 25, add the following:

     SEC. __. GAO REPORT REGARDING THE FINANCIAL IMPACT OF 
                   HURRICANE KATRINA AND HURRICANE RITA ON 
                   LOUISIANA HEALTH CARE FACILITIES.

       (a) Report.--Not later than 6 months after enactment of 
     this Act, the Comptroller General of the United States shall 
     submit to Congress a report on the financial impact of 
     Hurricane Katrina and Hurricane Rita on health care 
     facilities located in Louisiana.
       (b) Elements.--The report required by subsection (a) shall 
     include the following:
       (1) Assessment.--An assessment of the continued financial 
     impact on health care facilities located in Louisiana as a 
     direct or indirect result of Hurricane Katrina and Hurricane 
     Rita, including financial losses.
       (2) Potential role of congress.--Recommendations regarding 
     the potential role of Congress and the Louisiana State 
     government in mitigating the losses determined under 
     paragraph (1).
                                 ______
                                 
  SA 2637. Ms. LANDRIEU submitted an amendment intended to be proposed 
to amendment SA 2530, proposed by Mr. Baucus (for himself, Mr. 
Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to 
amend title XXI of the Social Security Act to reauthorize the State 
Children's Health Insurance Program, and for other purposes; which was 
ordered to lie on the table; as follows:

       On page 124, line 9, add at the end the following: 
     ``Notwithstanding the preceding sentence, the Secretary may 
     waive the requirements of section 1902(a)(46)(B) of such Act 
     for any State affected by Hurricane Katrina or Hurricane Rita 
     in order to allow the State to conditionally enroll 
     individuals who are working in good faith to secure 
     satisfactory documentation.''.
                                 ______
                                 
  SA 2638. Ms. LANDRIEU (for herself and Mr. Coleman) submitted an 
amendment intended to be proposed to amendment SA 2530, proposed by Mr. 
Baucus (for himself, Mr. Grassley, Mr. Rockefeller, and Mr. Hatch) to 
the bill H.R. 976, to amend title XXI of the Social Security Act to 
reauthorize the State Children's Health Insurance Program, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 217, after line 25, insert the following:

     SEC. __. COVERAGE OF MINOR CHILD'S CONGENITAL OR 
                   DEVELOPMENTAL DEFORMITY OR DISORDER UNDER GROUP 
                   AND INDIVIDUAL HEALTH INSURANCE COVERAGE AND 
                   GROUP HEALTH PLANS .

       (a) Group Health Plans.--
       (1) Public health service act amendments.--
       (A) In general.--Subpart 2 of part A of title XXVII of the 
     Public Health Service Act (42 U.S.C. 300gg-4 et seq.) is 
     amended by adding at the end the following:

     ``SEC. 2707. STANDARDS RELATING TO BENEFITS FOR MINOR CHILD'S 
                   CONGENITAL OR DEVELOPMENTAL DEFORMITY OR 
                   DISORDER.

       ``(a) Requirements for Reconstructive Surgery.--
       ``(1) In general.--A group health plan, and a health 
     insurance issuer offering group health insurance coverage, 
     that provides coverage for surgical benefits shall provide 
     coverage for outpatient and inpatient diagnosis and treatment 
     of a minor child's congenital or developmental deformity, 
     disease, or injury. A minor child shall include any 
     individual through 21 years of age.
       ``(2) Requirements.--Any coverage provided under paragraph 
     (1) shall be subject to pre-authorization or pre-
     certification as required by the plan or issuer, and such 
     coverage shall include any surgical treatment which, in the 
     opinion of the treating physician, is medically necessary to 
     approximate a normal appearance.
       ``(3) Treatment defined.--
       ``(A) In general.--In this section, the term `treatment' 
     includes reconstructive surgical procedures (procedures that 
     are generally performed to improve function, but may also be 
     performed to approximate a normal appearance) that are 
     performed on abnormal structures of the body caused by 
     congenital defects, developmental abnormalities, trauma, 
     infection, tumors, or disease, including--
       ``(i) procedures that do not materially affect the function 
     of the body part being treated; and
       ``(ii) procedures for secondary conditions and follow-up 
     treatment.
       ``(B) Exception.--Such term does not include cosmetic 
     surgery performed to reshape normal structures of the body to 
     improve appearance or self-esteem.
       ``(b) Notice.--A group health plan under this part shall 
     comply with the notice requirement under section 714(b) of 
     the Employee Retirement Income Security Act of 1974 with 
     respect to the requirements of this section as if such 
     section applied to such plan.''.
       (B) Conforming amendment.--Section 2723(c) of the Public 
     Health Service Act (42 U.S.C. 300gg-23(c)) is amended by 
     striking ``section 2704'' and inserting ``sections 2704 and 
     2707''.
       (2) ERISA amendments.--
       (A) In general.--Subpart B of part 7 of subtitle B of title 
     I of the Employee Retirement Income Security Act of 1974 (29 
     U.S.C. 1185 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 714. STANDARDS RELATING TO BENEFITS FOR MINOR CHILD'S 
                   CONGENITAL OR DEVELOPMENTAL DEFORMITY OR 
                   DISORDER.

       ``(a) Requirements for Reconstructive Surgery.--
       ``(1) In general.--A group health plan, and a health 
     insurance issuer offering group health insurance coverage, 
     that provides coverage for surgical benefits shall provide 
     coverage for outpatient and inpatient diagnosis and treatment 
     of a minor child's congenital or developmental deformity, 
     disease, or injury. A minor child shall include any 
     individual through 21 years of age.
       ``(2) Requirements.--Any coverage provided under paragraph 
     (1) shall be subject to pre-authorization or pre-
     certification as required by the plan or issuer, and such 
     coverage shall include any surgical treatment which, in the 
     opinion of the treating physician, is medically necessary to 
     approximate a normal appearance.
       ``(3) Treatment defined.--
       ``(A) In general.--In this section, the term `treatment' 
     includes reconstructive surgical procedures (procedures that 
     are generally performed to improve function, but may also be 
     performed to approximate a normal appearance) that are 
     performed on abnormal structures of the body caused by 
     congenital defects, developmental abnormalities, trauma, 
     infection, tumors, or disease, including--
       ``(i) procedures that do not materially affect the function 
     of the body part being treated; and
       ``(ii) procedures for secondary conditions and follow-up 
     treatment.
       ``(B) Exception.--Such term does not include cosmetic 
     surgery performed to reshape normal structures of the body to 
     improve appearance or self-esteem.
       ``(b) Notice Under Group Health Plan.--The imposition of 
     the requirements of this section shall be treated as a 
     material modification in the terms of the plan described in 
     section 102(a)(1), for purposes of assuring notice of such 
     requirements under the plan; except that the summary 
     description required to be provided under the last sentence 
     of section 104(b)(1) with respect to such modification shall 
     be provided by not later than 60 days after the first day of 
     the first plan year in which such requirements apply.''.
       (B) Conforming amendments.--
       (i) Section 731(c) of the Employee Retirement Income 
     Security Act of 1974 (29 U.S.C. 1191(c)) is amended by 
     striking ``section 711'' and inserting ``sections 711 and 
     714''.
       (ii) Section 732(a) of the Employee Retirement Income 
     Security Act of 1974 (29 U.S.C. 1191a(a)) is amended by 
     striking ``section 711'' and inserting ``sections 711 and 
     714''.
       (iii) The table of contents in section 1 of the Employee 
     Retirement Income Security Act of 1974 is amended by 
     inserting after the item relating to section 713 the 
     following:

``Sec. 714. Standards relating to benefits for minor child's congenital 
              or developmental deformity or disorder.''.
       (3) Internal revenue code amendments.--Subchapter B of 
     chapter 100 of the Internal Revenue Code of 1986 is amended--
       (A) in the table of sections, by inserting after the item 
     relating to section 9812 the following:

``Sec. 9813. Standards relating to benefits for minor child's 
              congenital or developmental deformity or disorder.'';

[[Page 22706]]

     and
       (B) by inserting after section 9812 the following:

     ``SEC. 9813. STANDARDS RELATING TO BENEFITS FOR MINOR CHILD'S 
                   CONGENITAL OR DEVELOPMENTAL DEFORMITY OR 
                   DISORDER.

       ``(a) Requirements for Reconstructive Surgery.--
       ``(1) In general.--A group health plan, and a health 
     insurance issuer offering group health insurance coverage, 
     that provides coverage for surgical benefits shall provide 
     coverage for outpatient and inpatient diagnosis and treatment 
     of a minor child's congenital or developmental deformity, 
     disease, or injury. A minor child shall include any 
     individual through 21 years of age.
       ``(2) Requirements.--Any coverage provided under paragraph 
     (1) shall be subject to pre-authorization or pre-
     certification as required by the plan or issuer, and such 
     coverage shall include any surgical treatment which, in the 
     opinion of the treating physician, is medically necessary to 
     approximate a normal appearance.
       ``(3) Treatment defined.--
       ``(A) In general.--In this section, the term `treatment' 
     includes reconstructive surgical procedures (procedures that 
     are generally performed to improve function, but may also be 
     performed to approximate a normal appearance) that are 
     performed on abnormal structures of the body caused by 
     congenital defects, developmental abnormalities, trauma, 
     infection, tumors, or disease, including--
       ``(i) procedures that do not materially affect the function 
     of the body part being treated; and
       ``(ii) procedures for secondary conditions and follow-up 
     treatment.
       ``(B) Exception.--Such term does not include cosmetic 
     surgery performed to reshape normal structures of the body to 
     improve appearance or self-esteem.''.
       (b) Individual Health Insurance.--
       (1) In general.--Part B of title XXVII of the Public Health 
     Service Act is amended by inserting after section 2752 the 
     following:

     ``SEC. 2753. STANDARDS RELATING TO BENEFITS FOR MINOR CHILD'S 
                   CONGENITAL OR DEVELOPMENTAL DEFORMITY OR 
                   DISORDER.

       ``(a) Requirements for Reconstructive Surgery.--
       ``(1) In general.--A group health plan, and a health 
     insurance issuer offering group health insurance coverage, 
     that provides coverage for surgical benefits shall provide 
     coverage for outpatient and inpatient diagnosis and treatment 
     of a minor child's congenital or developmental deformity, 
     disease, or injury. A minor child shall include any 
     individual through 21 years of age.
       ``(2) Requirements.--Any coverage provided under paragraph 
     (1) shall be subject to pre-authorization or pre-
     certification as required by the plan or issuer, and such 
     coverage shall include any surgical treatment which, in the 
     opinion of the treating physician, is medically necessary to 
     approximate a normal appearance.
       ``(3) Treatment defined.--
       ``(A) In general.--In this section, the term `treatment' 
     includes reconstructive surgical procedures (procedures that 
     are generally performed to improve function, but may also be 
     performed to approximate a normal appearance) that are 
     performed on abnormal structures of the body caused by 
     congenital defects, developmental abnormalities, trauma, 
     infection, tumors, or disease, including--
       ``(i) procedures that do not materially affect the function 
     of the body part being treated; and
       ``(ii) procedures for secondary conditions and follow-up 
     treatment.
       ``(B) Exception.--Such term does not include cosmetic 
     surgery performed to reshape normal structures of the body to 
     improve appearance or self-esteem.
       ``(b) Notice.--A health insurance issuer under this part 
     shall comply with the notice requirement under section 714(b) 
     of the Employee Retirement Income Security Act of 1974 with 
     respect to the requirements referred to in subsection (a) as 
     if such section applied to such issuer and such issuer were a 
     group health plan.''.
       (2) Conforming amendment.--Section 2762(b)(2) of the Public 
     Health Service Act (42 U.S.C. 300gg-62(b)(2)) is amended by 
     striking ``section 2751'' and inserting ``sections 2751 and 
     2753''.
       (c) Effective Dates.--
       (1) Group health coverage.--The amendments made by 
     subsection (a) shall apply with respect to group health plans 
     for plan years beginning on or after January 1, 2008.
       (2) Individual health coverage.--The amendment made by 
     subsection (b) shall apply with respect to health insurance 
     coverage offered, sold, issued, renewed, in effect, or 
     operated in the individual market on or after such date.
       (d) Coordinated Regulations.--Section 104(1) of Health 
     Insurance Portability and Accountability Act of 1996 (42 
     U.S.C. 300gg-92 note) is amended by striking ``this subtitle 
     (and the amendments made by this subtitle and section 401)'' 
     and inserting ``the provisions of part 7 of subtitle B of 
     title I of the Employee Retirement Income Security Act of 
     1974, the provisions of parts A and C of title XXVII of the 
     Public Health Service Act, and chapter 100 of the Internal 
     Revenue Code of 1986''.
                                 ______
                                 
  SA 2639. Ms. LANDRIEU submitted an amendment intended to be proposed 
to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       On page 38, line 3, insert ``(or, in the case of Louisiana, 
     the average monthly enrollment of low-income children 
     enrolled in the such plan for the second quarter of fiscal 
     year 2007, as determined over a 3-month period on such 
     basis)''after ``(MSIS)''.
                                 ______
                                 
  SA 2640. Ms. LANDRIEU submitted an amendment intended to be proposed 
to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. SENSE OF THE SENATE CONCERNING THE HEALTH CARE OF 
                   CHILDREN DISPLACED DURING A CATASTROPHIC 
                   DISASTER.

       (a) Findings.--The Senate makes the following findings:
       (1) Hurricanes Katrina and Rita of 2005 displaced more that 
     1,300,000 Louisianans, of those 372,000 were children 
     displaced from schools.
       (2) Before the Hurricanes, 48 percent of Louisiana children 
     belonged to low income families.
       (3) In New Orleans alone, 28 percent of children lived 
     below the poverty line.
       (4) In August of 2006, there were more than 251,000 
     evacuees still living in Texas, according to a study by the 
     Texas Department of Health and Human Services. The study 
     found that 54 percent of the evacuee households received 
     Federal housing subsidies, 39 percent received food stamps, 
     32 percent received unemployment benefits, and about half of 
     the households included children covered by Medicaid or the 
     Children's Health Insurance Program. Thirty-nine percent of 
     the evacuees in Texas are children, and 60 percent of the 
     adult evacuees are women.
       (5) Disasters of the magnitude of Hurricanes Katrina and 
     Rita will occur again in the future.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that the conferees for this bill should review issues 
     concerning the health care of displaced children during a 
     manmade or natural disaster of a catastrophic nature and 
     should consider solutions to the following concerns to 
     prevent future evacuated children from being denied health 
     insurance coverage:
       (1) Lack of transferability of health insurance for 
     children who are evacuated from one State to another.
       (2) Length of eligibility review processes.
       (3) Burdensome eligibility and enrollment requirements.
       (4) Sources of funding for services provided by host States 
     that receive evacuees.
                                 ______
                                 
  SA 2641. Mr. KENNEDY submitted an amendment intended to be proposed 
to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       At the end of subtitle E of title X, add the following:

     SEC. 1070. UNIFORM STANDARDS FOR INTERROGATION TECHNIQUES 
                   APPLICABLE TO INDIVIDUALS UNDER CONTROL OR 
                   CUSTODY OF THE UNITED STATES GOVERNMENT.

       (a) In General.--No individual in the custody or under the 
     effective control of the United States Government or any 
     agency or instrumentality thereof, regardless of nationality 
     or physical location, shall be subject to any treatment or 
     technique of interrogation not authorized by sections 5-50 
     through 5-99 of the United States Army Field Manual on Human 
     Intelligence Collector Operations.
       (b) Prohibited Actions.--The treatment or techniques of 
     interrogation prohibited under subsection (a) include, but 
     are not limited to, the following:
       (1) Forcing an individual to be naked, perform sexual acts, 
     or pose in a sexual manner.
       (2) Placing a hood or sack over the head of an individual, 
     or using or placing duct tape over the eyes of an individual.
       (3) Applying a beating, electric shock, burns, or other 
     forms of physical pain to an individual.
       (4) Subjecting an individual to the procedure known as 
     ``waterboarding''.

[[Page 22707]]

       (5) Subjecting an individual to threats or attack from a 
     military working dog.
       (6) Inducing hypothermia or heat injury in an individual.
       (7) Conducting a mock execution of an individual.
       (8) Depriving an individual of necessary food, water, or 
     medical care.
       (c) Applicability.--Subsection (a) shall not apply with 
     respect to any individual in the custody or under the 
     effective control of the United States Government pursuant to 
     a criminal law or immigration law of the United States.
       (d) Construction.--Nothing in this section shall be 
     construed to affect the rights under the United States 
     Constitution of any individual in the custody or under the 
     effective control of the United States Government.
                                 ______
                                 
  SA 2642. Mr. BINGAMAN (for himself, Ms. Collins, Mr. Cardin, and Ms. 
Mikulski) submitted an amendment intended to be proposed to amendment 
SA 2604 submitted by Mrs. Hutchison and intended to be proposed to the 
amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. Grassley, 
Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to amend title 
XXI of the Social Security Act to reauthorize the State Children's 
Health Insurance Program, and for other purposes; which was ordered to 
lie on the table; as follows:

       On page 2 of the amendment, between lines 8 and 9, insert 
     the following:
       ``(ii) limiting the authority a State described in clause 
     (i), or any other State that provides premium assistance 
     under the authority of this paragraph or otherwise, to 
     provide dental coverage to children who would be targeted 
     low-income children but for the application of paragraph 
     (1)(C) of section 2110(b) and who do not otherwise have 
     dental coverage; or''.
                                 ______
                                 
  SA 2643. Mr. KENNEDY (for himself, Mrs. McCaskill, Mr. Lieberman, Ms. 
Mikulski, Mr. Akaka, and Mr. Brown) submitted an amendment intended to 
be proposed by him to the bill H.R. 1585, to authorize appropriations 
for fiscal year 2008 for military activities of the Department of 
Defense, for military construction, and for defense activities of the 
Department of Energy, to prescribe military personnel strengths for 
such fiscal year, and for other purposes; which was ordered to lie on 
the table; as follows:

       At the end of title III, add the following:

     SEC. 358. MODIFICATION TO PUBLIC-PRIVATE COMPETITION 
                   REQUIREMENTS BEFORE CONVERSION TO CONTRACTOR 
                   PERFORMANCE.

       (a) Comparison of Retirement System Costs.--Section 
     2461(a)(1) of title 10, United States Code, is amended--
       (1) in subparagraph (F), by striking ``and'' at the end;
       (2) by redesignating subparagraph (G) as subparagraph (H); 
     and
       (3) by inserting after subparagraph (F) the following new 
     subparagraph (G):
       ``(G) requires that the contractor shall not receive an 
     advantage for a proposal that would reduce costs for the 
     Department of Defense by--
       ``(i) not making an employer-sponsored health insurance 
     plan (or payment that could be used in lieu of such a plan), 
     health savings account, or medical savings account, available 
     to the workers who are to be employed to perform the function 
     under the contract;
       ``(ii) offering to such workers an employer-sponsored 
     health benefits plan that requires the employer to contribute 
     less towards the premium or subscription share than the 
     amount that is paid by the Department of Defense for health 
     benefits for civilian employees of the Department under 
     chapter 89 of title 5; or
       ``(iii) offering to such workers a retirement benefit that, 
     in any year, costs less than the annual retirement cost 
     factor applicable to civilian employees of the Department of 
     Defense under chapter 84 of title 5; and''.
       (b) Conforming Amendments.--Such title is further amended--
       (1) by striking section 2467; and
       (2) in section 2461--
       (A) by redesignating subsections (b) through (d) as 
     subsections (c) through (e); and
       (B) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Requirement to Consult DOD Employees.--(1) Each 
     officer or employee of the Department of Defense responsible 
     for determining under Office of Management and Budget 
     Circular A-76 whether to convert to contractor performance 
     any function of the Department of Defense--
       ``(A) shall, at least monthly during the development and 
     preparation of the performance work statement and the 
     management efficiency study used in making that 
     determination, consult with civilian employees who will be 
     affected by that determination and consider the views of such 
     employees on the development and preparation of that 
     statement and that study; and
       ``(B) may consult with such employees on other matters 
     relating to that determination.
       ``(2)(A) In the case of employees represented by a labor 
     organization accorded exclusive recognition under section 
     7111 of title 5, consultation with representatives of that 
     labor organization shall satisfy the consultation requirement 
     in paragraph (1).
       ``(B) In the case of employees other than employees 
     referred to in subparagraph (A), consultation with 
     appropriate representatives of those employees shall satisfy 
     the consultation requirement in paragraph (1).
       ``(C) The Secretary of Defense shall prescribe regulations 
     to carry out this subsection. The regulations shall include 
     provisions for the selection or designation of appropriate 
     representatives of employees referred to in subparagraph (B) 
     for purposes of consultation required by paragraph (1).''.
       (c) Technical Amendments.--Section 2461 of such title, as 
     amended by subsection (a), is further amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (B), by inserting after ``2003'' the 
     following: ``, or any successor circular''; and
       (B) in subparagraph (D), by striking ``and reliability'' 
     and inserting ``, reliability, and timeliness''; and
       (2) in subsection (c)(2), as redesignated under subsection 
     (b)(2), by inserting ``of'' after ``examination''.

     SEC. 359. BID PROTESTS BY FEDERAL EMPLOYEES IN ACTIONS UNDER 
                   OFFICE OF MANAGEMENT BUDGET CIRCULAR A-76.

       (a) Eligibility to Protest Public-Private Competitions.--
     Section 3551(2) of title 31, United States Code, is amended 
     to read as follows:
       ``(2) The term `interested party'--
       ``(A) with respect to a contract or a solicitation or other 
     request for offers described in paragraph (1), means an 
     actual or prospective bidder or offeror whose direct economic 
     interest would be affected by the award of the contract or by 
     failure to award the contract; and
       ``(B) with respect to a public-private competition 
     conducted under Office of Management and Budget Circular A-76 
     with respect to the performance of an activity or function of 
     a Federal agency, or a decision to convert a function 
     performed by Federal employees to private sector performance 
     without a competition under Office of Management and Budget 
     Circular A-76, includes--
       ``(i) any official who submitted the agency tender in such 
     competition; and
       ``(ii) any one individual who, for the purpose of 
     representing the Federal employees engaged in the performance 
     of the activity or function for which the public-private 
     competition is conducted in a protest under this subchapter 
     that relates to such public-private competition, has been 
     designated as the agent of the Federal employees by a 
     majority of such employees.''.
       (b) Expedited Action.--
       (1) In general.--Subchapter V of chapter 35 of such title 
     is amended by adding at the end the following new section:

     ``SEC. 3557. EXPEDITED ACTION IN PROTESTS OF PUBLIC-PRIVATE 
                   COMPETITIONS.

       ``For any protest of a public-private competition conducted 
     under Office of Management and Budget Circular A-76 with 
     respect to the performance of an activity or function of a 
     Federal agency, the Comptroller General shall administer the 
     provisions of this subchapter in the manner best suited for 
     expediting the final resolution of the protest and the final 
     action in the public-private competition.''.
       (2) Clerical amendment.--The chapter analysis at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 3556 the following new item:

``3557. Expedited action in protests of public-private competitions.''.
       (c) Right to Intervene in Civil Action.--Section 1491(b) of 
     title 28, United States Code, is amended by adding at the end 
     the following new paragraph:
       ``(5) If an interested party who is a member of the private 
     sector commences an action described in paragraph (1) with 
     respect to a public-private competition conducted under 
     Office of Management and Budget Circular A-76 regarding the 
     performance of an activity or function of a Federal agency, 
     or a decision to convert a function performed by Federal 
     employees to private sector performance without a competition 
     under Office of Management and Budget Circular A-76, then an 
     interested party described in section 3551(2)(B) of title 31 
     shall be entitled to intervene in that action.''.
       (d) Applicability.--Subparagraph (B) of section 3551(2) of 
     title 31, United States Code (as added by subsection (a)), 
     and paragraph (5) of section 1491(b) of title 28, United 
     States Code (as added by subsection (c)), shall apply to--
       (1) a protest or civil action that challenges final 
     selection of the source of performance of an activity or 
     function of a Federal agency that is made pursuant to a study 
     initiated under Office of Management and Budget Circular A-76 
     on or after January 1, 2004; and
       (2) any other protest or civil action that relates to a 
     public-private competition initiated under Office of 
     Management and Budget Circular A-76, or to a decision to 
     convert a

[[Page 22708]]

     function performed by Federal employees to private sector 
     performance without a competition under Office of Management 
     and Budget Circular A-76, on or after the date of the 
     enactment of this Act.

     SEC. 360. PUBLIC-PRIVATE COMPETITION REQUIRED BEFORE 
                   CONVERSION TO CONTRACTOR PERFORMANCE.

       (a) In General.--The Office of Federal Procurement Policy 
     Act (41 U.S.C. 403 et seq.) is amended by adding at the end 
     the following new section:

     ``SEC. 43. PUBLIC-PRIVATE COMPETITION REQUIRED BEFORE 
                   CONVERSION TO CONTRACTOR PERFORMANCE.

       ``(a) Public-Private Competition.--(1) A function of an 
     executive agency performed by 10 or more agency civilian 
     employees may not be converted, in whole or in part, to 
     performance by a contractor unless the conversion is based on 
     the results of a public-private competition that--
       ``(A) formally compares the cost of performance of the 
     function by agency civilian employees with the cost of 
     performance by a contractor;
       ``(B) creates an agency tender, including a most efficient 
     organization plan, in accordance with Office of Management 
     and Budget Circular A-76, as implemented on May 29, 2003, or 
     any successor circular;
       ``(C) includes the issuance of a solicitation;
       ``(D) determines whether the submitted offers meet the 
     needs of the executive agency with respect to factors other 
     than cost, including quality, reliability, and timeliness;
       ``(E) examines the cost of performance of the function by 
     agency civilian employees and the cost of performance of the 
     function by one or more contractors to demonstrate whether 
     converting to performance by a contractor will result in 
     savings to the Government over the life of the contract, 
     including--
       ``(i) the estimated cost to the Government (based on offers 
     received) for performance of the function by a contractor;
       ``(ii) the estimated cost to the Government for performance 
     of the function by agency civilian employees; and
       ``(iii) an estimate of all other costs and expenditures 
     that the Government would incur because of the award of such 
     a contract;
       ``(F) requires continued performance of the function by 
     agency civilian employees unless the difference in the cost 
     of performance of the function by a contractor compared to 
     the cost of performance of the function by agency civilian 
     employees would, over all performance periods required by the 
     solicitation, be equal to or exceed the lesser of--
       ``(i) 10 percent of the personnel-related costs for 
     performance of that function in the agency tender; or
       ``(ii) $10,000,000; and
       ``(G) examines the effect of performance of the function by 
     a contractor on the agency mission associated with the 
     performance of the function.
       ``(2) A function that is performed by the executive agency 
     and is reengineered, reorganized, modernized, upgraded, 
     expanded, or changed to become more efficient, but still 
     essentially provides the same service, shall not be 
     considered a new requirement.
       ``(3) In no case may a function being performed by 
     executive agency personnel be--
       ``(A) modified, reorganized, divided, or in any way changed 
     for the purpose of exempting the conversion of the function 
     from the requirements of this section; or
       ``(B) converted to performance by a contractor to 
     circumvent a civilian personnel ceiling.
       ``(b) Requirement to Consult Employees.--(1) Each civilian 
     employee of an executive agency responsible for determining 
     under Office of Management and Budget Circular A-76 whether 
     to convert to contractor performance any function of the 
     executive agency--
       ``(A) shall, at least monthly during the development and 
     preparation of the performance work statement and the 
     management efficiency study used in making that 
     determination, consult with civilian employees who will be 
     affected by that determination and consider the views of such 
     employees on the development and preparation of that 
     statement and that study; and
       ``(B) may consult with such employees on other matters 
     relating to that determination.
       ``(2)(A) In the case of employees represented by a labor 
     organization accorded exclusive recognition under section 
     7111 of title 5, consultation with representatives of that 
     labor organization shall satisfy the consultation requirement 
     in paragraph (1).
       ``(B) In the case of employees other than employees 
     referred to in subparagraph (A), consultation with 
     appropriate representatives of those employees shall satisfy 
     the consultation requirement in paragraph (1).
       ``(C) The head of each executive agency shall prescribe 
     regulations to carry out this subsection. The regulations 
     shall include provisions for the selection or designation of 
     appropriate representatives of employees referred to in 
     paragraph (2)(B) for purposes of consultation required by 
     paragraph (1).
       ``(c) Congressional Notification.--(1) Before commencing a 
     public-private competition under subsection (a), the head of 
     an executive agency shall submit to Congress a report 
     containing the following:
       ``(A) The function for which such public-private 
     competition is to be conducted.
       ``(B) The location at which the function is performed by 
     agency civilian employees.
       ``(C) The number of agency civilian employee positions 
     potentially affected.
       ``(D) The anticipated length and cost of the public-private 
     competition, and a specific identification of the budgetary 
     line item from which funds will be used to cover the cost of 
     the public-private competition.
       ``(E) A certification that a proposed performance of the 
     function by a contractor is not a result of a decision by an 
     official of an executive agency to impose predetermined 
     constraints or limitations on such employees in terms of man 
     years, end strengths, full-time equivalent positions, or 
     maximum number of employees.
       ``(2) The report required under paragraph (1) shall include 
     an examination of the potential economic effect of 
     performance of the function by a contractor on--
       ``(A) agency civilian employees who would be affected by 
     such a conversion in performance; and
       ``(B) the local community and the Government, if more than 
     50 agency civilian employees perform the function.
       ``(3)(A) A representative individual or entity at a 
     facility where a public-private competition is conducted may 
     submit to the head of the executive agency an objection to 
     the public private competition on the grounds that the report 
     required by paragraph (1) has not been submitted or that the 
     certification required by paragraph (1)(E) is not included in 
     the report submitted as a condition for the public private 
     competition. The objection shall be in writing and shall be 
     submitted within 90 days after the following date:
       ``(i) In the case of a failure to submit the report when 
     required, the date on which the representative individual or 
     an official of the representative entity authorized to pose 
     the objection first knew or should have known of that 
     failure.
       ``(ii) In the case of a failure to include the 
     certification in a submitted report, the date on which the 
     report was submitted to Congress.
       ``(B) If the head of the executive agency determines that 
     the report required by paragraph (1) was not submitted or 
     that the required certification was not included in the 
     submitted report, the function for which the public-private 
     competition was conducted for which the objection was 
     submitted may not be the subject of a solicitation of offers 
     for, or award of, a contract until, respectively, the report 
     is submitted or a report containing the certification in full 
     compliance with the certification requirement is submitted.
       ``(d) Exemption for the Purchase of Products and Services 
     of the Blind and Other Severely Handicapped Persons.--This 
     section shall not apply to a commercial or industrial type 
     function of an executive agency that--
       ``(1) is included on the procurement list established 
     pursuant to section 2 of the Javits-Wagner-O'Day Act (41 
     U.S.C. 47); or
       ``(2) is planned to be changed to performance by a 
     qualified nonprofit agency for the blind or by a qualified 
     nonprofit agency for other severely handicapped persons in 
     accordance with that Act.
       ``(e) Inapplicability During War or Emergency.--The 
     provisions of this section shall not apply during war or 
     during a period of national emergency declared by the 
     President or Congress.''.
       (b) Clerical Amendment.--The table of sections in section 
     1(b) of such Act is amended by adding at the end the 
     following new item:

``Sec. 43. Public-private competition required before conversion to 
              contractor performance.''.

     SEC. 361. PERFORMANCE OF CERTAIN WORK BY FEDERAL GOVERNMENT 
                   EMPLOYEES.

       (a) Guidelines.--
       (1) In general.--The Under Secretary of Defense for 
     Personnel and Readiness shall prescribe guidelines and 
     procedures for ensuring that consideration is given to using 
     Federal Government employees on a regular basis for new work 
     and work that is performed under Department of Defense 
     contracts and could be performed by Federal Government 
     employees.
       (2) Criteria.--The guidelines and procedures prescribed 
     under paragraph (1) shall provide for special consideration 
     to be given to contracts that--
       (A) have been performed by Federal Government employees at 
     any time on or after October 1, 1980;
       (B) are associated with the performance of inherently 
     governmental functions;
       (C) have been performed by a contractor pursuant to a 
     contract that was awarded on a noncompetitive basis, either a 
     contract for a function once performed by Federal employees 
     that was awarded without the conduct of a public-private 
     competition or a contract that was last awarded without the 
     conduct of an actual competition between contractors; or
       (D) have been performed poorly by a contractor because of 
     excessive costs or inferior quality, as determined by a 
     contracting officer within the last five years .

[[Page 22709]]

       (3) Deadline for issuance of guidelines.--The Secretary of 
     Defense shall implement the guidelines required under 
     paragraph (1) by not later than 60 days after the date of the 
     enactment of this Act.
       (4) Establishment of contractor inventory.--The Secretary 
     of Defense shall establish an inventory of Department of 
     Defense contracts to determine which contracts meet the 
     criteria set forth in paragraph (2).
       (b) New Requirements.--
       (1) Limitation on requiring public-private competition.--No 
     public-private competition may be required under Office of 
     Management and Budget Circular A-76 or any other provision of 
     law or regulation before the performance of a new requirement 
     by Federal Government employees commences, the performance by 
     Federal Government employees of work pursuant to 
     subparagraphs (B) through (D) of subsection (a)(2) commences, 
     or the scope of an existing activity performed by Federal 
     Government employees is expanded. Office of Management and 
     Budget Circular A-76 shall be revised to ensure that the 
     heads of all Federal agencies give fair consideration to the 
     performance of new requirements by Federal Government 
     employees.
       (2) Consideration of federal government employees.--The 
     Secretary of Defense shall, to the maximum extent 
     practicable, ensure that Federal Government employees are 
     fairly considered for the performance of new requirements, 
     with special consideration given to new requirements that 
     include functions that--
       (A) are similar to functions that have been performed by 
     Federal Government employees at any time on or after October 
     1, 1980; or
       (B) are associated with the performance of inherently 
     governmental functions.
       (c) Use of Flexible Hiring Authority.--The Secretary may 
     use the flexible hiring authority available to the Secretary 
     under the National Security Personnel System, as established 
     pursuant to section 9902 of title 5, United States Code, to 
     facilitate the performance by civilian employees of the 
     Department of Defense of functions described in subsection 
     (b).
       (d) Inspector General Report.--Not later than 180 days 
     after the enactment of this Act, the Inspector General of the 
     Department of Defense shall submit to the Committees on Armed 
     Services of the Senate and the House of Representatives a 
     report on the compliance of the Secretary of Defense with the 
     requirements of this section.
       (e) Definitions.--In this section:
       (1) The term ``National Security Personnel System'' means 
     the human resources management system established under the 
     authority of section 9902 of title 5, United States Code.
       (2) The term ``inherently governmental function'' has the 
     meaning given that term in section 5 of the Federal 
     Activities Inventory Reform Act of 1998 (Public Law 105-270; 
     112 Stat. 2384; 31 U.S.C. 501 note).
       (f) Conforming Repeal.--The National Defense Authorization 
     Act for Fiscal Year 2006 (Public Law 109-163) is amended by 
     striking section 343.

     SEC. 362. RESTRICTION ON OFFICE OF MANAGEMENT AND BUDGET 
                   INFLUENCE OVER DEPARTMENT OF DEFENSE PUBLIC-
                   PRIVATE COMPETITIONS.

       (a) Restriction on Office of Management and Budget.--The 
     Office of Management and Budget may not direct or require the 
     Secretary of Defense or the Secretary of a military 
     department to prepare for, undertake, continue, or complete a 
     public-private competition or direct conversion of a 
     Department of Defense function to performance by a contractor 
     under Office of Management and Budget Circular A-76, or any 
     other successor regulation, directive, or policy.
       (b) Restriction on Secretary of Defense.--The Secretary of 
     Defense or the Secretary of a military department may not 
     prepare for, undertake, continue, or complete a public-
     private competition or direct conversion of a Department of 
     Defense function to performance by a contractor under Office 
     of Management and Budget Circular A-76, or any other 
     successor regulation, directive, or policy by reason of any 
     direction or requirement provided by the Office of Management 
     and Budget.

     SEC. 363. PUBLIC-PRIVATE COMPETITION AT END OF PERIOD 
                   SPECIFIED IN PERFORMANCE AGREEMENT NOT 
                   REQUIRED.

       Section 2461(a) of title 10, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(4) A military department or defense agency may not be 
     required to conduct a public-private competition under Office 
     of Management and Budget Circular A-76 or any other provision 
     of law at the end of the period specified in the performance 
     agreement entered into in accordance with this section for 
     any function of the Department of Defense performed by 
     Department of Defense civilian employees.''.
                                 ______
                                 
  SA 2644. Mr. LAUTENBERG submitted an amendment intended to be 
proposed to amendment SA 2530 proposed by Mr. Baucus (for himself, Mr. 
Grassley, Mr. Rockefeller, and Mr. Hatch) to the bill H.R. 976, to 
amend title XXI of the Social Security Act to reauthorize the State 
Children's Health Insurance Program, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the end of title VI, insert the following:

     SEC. __. EXPRESSING THE SENSE OF THE SENATE REGARDING THE 
                   MEDICARE NATIONAL COVERAGE DETERMINATION ON THE 
                   TREATMENT OF ANEMIA IN CANCER PATIENTS.

       (a) Findings.--The Senate finds the following:
       (1) The Centers for Medicare & Medicaid Services issued a 
     final Medicare National Coverage Determination on the Use of 
     Erythropoiesis Stimulating Agents in Cancer and Related 
     Neoplastic Conditions (CAG-000383N) on July 30, 2007.
       (2) Fifty-two United States Senators and 235 Members of the 
     House of Representatives, representing bipartisan majorities 
     in both chambers, have written to the Centers for Medicare & 
     Medicaid Services expressing significant concerns with the 
     proposed National Coverage Determination on the Use of 
     Erythropoiesis Stimulating Agents in Cancer and Related 
     Neoplastic Conditions, issued on May 14, 2007, regarding the 
     use of erythropoiesis stimulating agent therapy for Medicare 
     cancer patients.
       (3) Although some improvements have been incorporated into 
     such final National Coverage Determination, the policy 
     continues to raise significant concerns among physicians and 
     patients about the potential impact on the treatment of 
     cancer patients in the United States.
       (4) The American Society of Clinical Oncology, the national 
     organization representing physicians who treat patients with 
     cancer, is specifically concerned about a provision in such 
     final National Coverage Determination that restricts coverage 
     whenever a patient's hemoglobin goes above 10 g/dL.
       (5) The American Society of Clinical Oncology has written 
     to the Centers for Medicare & Medicaid Services--
       (A) to note that such a ``restriction is inconsistent with 
     both the FDA-approved labeling and national guidelines'';
       (B) to express deep concerns about such final National 
     Coverage Determination; and
       (C) to urge that the Centers for Medicare & Medicaid 
     Services reconsider such restriction.
       (6) Such restriction could increase blood transfusions and 
     severely compromise the high quality of cancer care delivered 
     by physicians in United States.
       (7) The Centers for Medicare & Medicaid Services has noted 
     that the agency did not address the impact on the blood 
     supply in such final National Coverage Determination and has 
     specifically stated, ``[t]he concern about the adequacy of 
     the nation's blood supply is not a relevant factor for 
     consideration in this national coverage determination''.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that--
       (1) the Centers for Medicare & Medicaid Services should 
     begin an immediate reconsideration of the final National 
     Coverage Determination on the Use of Erythropoiesis 
     Stimulating Agents in Cancer and Related Neoplastic 
     Conditions (CAG-000383N);
       (2) the Centers for Medicare & Medicaid Services should 
     consult with members of the clinical oncology community to 
     determine appropriate revisions to such final National 
     Coverage Determination; and
       (3) the Centers for Medicare & Medicaid Services should 
     implement appropriate revisions to such final National 
     Coverage Determination as soon as feasible and provide a 
     briefing to Congress in advance of announcing such changes.
                                 ______
                                 
  SA 2645. Mr. BAUCUS proposed an amendment to amendment SA 2530 
proposed by Mr. Baucus (for himself, Mr. Grassley, Mr. Rockefeller, and 
Mr. Hatch) to the bill H.R. 976, to amend title XXI of the Social 
Security Act to reauthorize the State Children's Health Insurance 
Program, and for other purposes; as follows:

       On page 22, lines 3 and 4, strike ``paragraph'' and insert 
     ``subsection''.
       Beginning on page 53, strike line 15 and all that follows 
     through page 54, line 4 and insert the following:
       ``(iv) Amount of federal matching payment in 2011 or 
     2012.--For purposes of clause (ii), the applicable percentage 
     for any quarter of fiscal year 2011 or 2012 is equal to--

       ``(I) the REMAP percentage if--

       ``(aa) the applicable percentage for the State under clause 
     (iii) was the enhanced FMAP for fiscal year 2009; and
       ``(bb) the State met either of the coverage benchmarks 
     described in subparagraph (B) or (C) of paragraph (3) for the 
     preceding fiscal year; or

       ``(II) the Federal medical assistance percentage (as so 
     determined) in the case of any State to which subclause (I) 
     does not apply.

       On page 56, line 5, insert ``clause (ii) or (iii) of'' 
     after ``under''.
       On page 74, lines 15 and 16, strike ``13-consecutive week 
     period'' and insert ``3-month period''.
       On page 118, strike lines 17 through 21.
       Page 120, line 5, strike ``section 1902(a)(46)(B)(ii)'' and 
     insert ``subsection (a)(46)(B)(ii)''.

[[Page 22710]]

       Beginning on page 120, strike line 22 and all that follows 
     through page 121, line 4, and insert the following:
       (ii) provides the individual with a period of 90 days from 
     the date on which the notice required under clause (i) is 
     received by the individual to either present satisfactory 
     documentary evidence of citizenship or nationality (as 
     defined in section 1903(x)(3)) or cure the invalid 
     determination with the Commissioner of Social Security; and
       On page 130, strike lines 9 and 10, and insert the 
     following:
       (1) In general.--
       (A) In general.--Except as provided in subparagraph (B), 
     the amendments made by this section shall take effect on 
     October 1, 2008.
       (B) Technical amendments.--The amendments made by--
       (i) paragraphs (1), (2), and (3) of subsection (b) shall 
     take effect as if included in the enactment of section 6036 
     of the Deficit Reduction Act of 2005 (Public Law 109-171; 120 
     Stat. 80); and
       (ii) paragraph (4) of subsection (b) shall take effect as 
     if included in the enactment of section 405 of division B of 
     the Tax Relief and Health Care Act of 2006 (Public Law 109-
     432; 120 Stat. 2996).
       On page 142, lines 14 and 15, strike ``previously approved 
     premium assistance'' and insert ``premium assistance 
     waiver''.
       On page 150, beginning on line 3, strike ``issued'' and all 
     that follows through line 9 and insert ``developed in 
     accordance with section 701(f)(3)(B)(i)(II) of the Employee 
     Retirement Income Security Act of 1974 (29 U.S.C. 
     1181(f)(3)(B)(i)(II)).''.
       On page 151, line 14, strike ``411(b)(2)(C)'' and insert 
     ``411(b)(1)(C)''.
       On page 157, line 1, strike ``411(b)(2)(C)'' and insert 
     ``411(b)(1)(C)''.
       On page 161, between lines 14 and 15, insert the following:

       (VII) health insurance issuers;

       On page 165, between lines 2 and 3, insert the following:
       (2) Amendments to public health service act.--Section 
     2701(f) of the Public Health Service Act (42 U.S.C. 300gg(f)) 
     is amended by adding at the end the following new paragraph:
       ``(3) Special rules for application in case of medicaid and 
     chip.--
       ``(A) In general.--A group health plan, and a health 
     insurance issuer offering group health insurance coverage in 
     connection with a group health plan, shall permit an employee 
     who is eligible, but not enrolled, for coverage under the 
     terms of the plan (or a dependent of such an employee if the 
     dependent is eligible, but not enrolled, for coverage under 
     such terms) to enroll for coverage under the terms of the 
     plan if either of the following conditions is met:
       ``(i) Termination of medicaid or chip coverage.--The 
     employee or dependent is covered under a Medicaid plan under 
     title XIX of the Social Security Act or under a State child 
     health plan under title XXI of such Act and coverage of the 
     employee or dependent under such a plan is terminated as a 
     result of loss of eligibility for such coverage and the 
     employee requests coverage under the group health plan (or 
     health insurance coverage) not later than 60 days after the 
     date of termination of such coverage.
       ``(ii) Eligibility for employment assistance under medicaid 
     or chip.--The employee or dependent becomes eligible for 
     assistance, with respect to coverage under the group health 
     plan or health insurance coverage, under such Medicaid plan 
     or State child health plan (including under any waiver or 
     demonstration project conducted under or in relation to such 
     a plan), if the employee requests coverage under the group 
     health plan or health insurance coverage not later than 60 
     days after the date the employee or dependent is determined 
     to be eligible for such assistance.
       ``(B) Coordination with medicaid and chip.--
       ``(i) Outreach to employees regarding availability of 
     medicaid and chip coverage.--

       ``(I) In general.--Each employer that maintains a group 
     health plan in a State that provides medical assistance under 
     a State Medicaid plan under title XIX of the Social Security 
     Act, or child health assistance under a State child health 
     plan under title XXI of such Act, in the form of premium 
     assistance for the purchase of coverage under a group health 
     plan, shall provide to each employee a written notice 
     informing the employee of potential opportunities then 
     currently available in the State in which the employee 
     resides for premium assistance under such plans for health 
     coverage of the employee or the employee's dependents. For 
     purposes of compliance with this subclause, the employer may 
     use any State-specific model notice developed in accordance 
     with section 701(f)(3)(B)(i)(II) of the Employee Retirement 
     Income Security Act of 1974 (29 U.S.C. 1181(f)(3)(B)(i)(II)).
       ``(II) Option to provide concurrent with provision of 
     summary plan description.--An employer may provide the model 
     notice applicable to the State in which an employee resides 
     concurrent with the furnishing of the summary plan 
     description as provided in section 104(b) of the Employee 
     Retirement Income Security Act of 1974.

       ``(ii) Disclosure about group health plan benefits to 
     states for medicaid and chip eligible individuals.--In the 
     case of an enrollee in a group health plan who is covered 
     under a Medicaid plan of a State under title XIX of the 
     Social Security Act or under a State child health plan under 
     title XXI of such Act, the plan administrator of the group 
     health plan shall disclose to the State, upon request, 
     information about the benefits available under the group 
     health plan in sufficient specificity, as determined under 
     regulations of the Secretary of Health and Human Services in 
     consultation with the Secretary that require use of the model 
     coverage coordination disclosure form developed under section 
     411(b)(1)(C) of the Children's Health Insurance 
     Reauthorization Act of 2007, so as to permit the State to 
     make a determination (under paragraph (2)(B), (3), or (10) of 
     section 2105(c) of the Social Security Act or otherwise) 
     concerning the cost-effectiveness of the State providing 
     medical or child health assistance through premium assistance 
     for the purchase of coverage under such group health plan and 
     in order for the State to provide supplemental benefits 
     required under paragraph (10)(E) of such section or other 
     authority.''.
       On page 205, line 11, strike ``2112(b)(2)(A)(i)'' and 
     insert ``2111(b)(2)(B)(i)''.
                                 ______
                                 
  SA 2646. Mr. BAUCUS (for himself and Mr. Grassley) proposed an 
amendment to the bill H.R. 976, to amend title XXI of the Social 
Security Act to reauthorize the State Children's Health Insurance 
Program, and for other purposes; as follows:

       Amend the title to read:
       A bill to amend title XXI of the Social Security Act to 
     reauthorize the State Children's Health Insurance Program, 
     and for other purposes.
                                 ______
                                 
  SA 2647. Mr. DODD (for himself, Mrs. Clinton, Mr. Nelson of Nebraska, 
Mrs. Dole, Mr. Graham, Mr. Chambliss, Mr. Lieberman, Mr. Salazar, Mr. 
Menendez, Mr. Reed, Mrs. Murray, and Mr. Brown) submitted an amendment 
intended to be proposed by him to the bill H.R. 1585, to authorize 
appropriations for fiscal year 2008 for military activities of the 
Department of Defense, for military construction, and for defense 
activities of the Department of Energy, to prescribe military personnel 
strengths for such fiscal year, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. SUPPORT FOR INJURED SERVICEMEMBERS.

       (a) Short Title.--This section may be cited as the 
     ``Support for Injured Servicemembers Act''.
       (b) Servicemember Family Leave.--
       (1) Definitions.--Section 101 of the Family and Medical 
     Leave Act of 1993 (29 U.S.C. 2611) is amended by adding at 
     the end the following:
       ``(14) Active duty.--The term `active duty' means duty 
     under a call or order to active duty under a provision of law 
     referred to in section 101(a)(13)(B) of title 10, United 
     States Code.
       ``(15) Covered servicemember.--The term `covered 
     servicemember' means a member of the Armed Forces, including 
     a member of the National Guard or a Reserve, who is 
     undergoing medical treatment, recuperation, or therapy, is 
     otherwise in medical hold or medical holdover status, or is 
     otherwise on the temporary disability retired list, for a 
     serious injury or illness.
       ``(16) Medical hold or medical holdover status.--The term 
     `medical hold or medical holdover status' means--
       ``(A) the status of a member of the Armed Forces, including 
     a member of the National Guard or a Reserve, assigned or 
     attached to a military hospital for medical care; and
       ``(B) the status of a member of a reserve component of the 
     Armed Forces who is separated, whether pre-deployment or 
     post-deployment, from the member's unit while in need of 
     health care based on a medical condition identified while the 
     member is on active duty in the Armed Forces.
       ``(17) Next of kin.--The term `next of kin', used with 
     respect to an individual, means the nearest blood relative of 
     that individual.
       ``(18) Serious injury or illness.--The term `serious injury 
     or illness', in the case of a member of the Armed Forces, 
     means an injury or illness incurred by the member in line of 
     duty on active duty in the Armed Forces that may render the 
     member medically unfit to perform the duties of the member's 
     office, grade, rank, or rating.''.
       (2) Entitlement to leave.--Section 102(a) of such Act (29 
     U.S.C. 2612(a)) is amended by adding at the end the 
     following:
       ``(3) Servicemember family leave.--Subject to section 103, 
     an eligible employee who is the spouse, son, daughter, 
     parent, or next of kin of a covered servicemember shall be 
     entitled to a total of 26 workweeks of leave during a 12-
     month period to care for the servicemember. The leave 
     described in this paragraph shall only be available during a 
     single 12-month period.

[[Page 22711]]

       ``(4) Combined leave total.--During the single 12-month 
     period described in paragraph (3), an eligible employee shall 
     be entitled to a combined total of 26 workweeks of leave 
     under paragraphs (1) and (3). Nothing in this paragraph shall 
     be construed to limit the availability of leave under 
     paragraph (1) during any other 12-month period.''.
       (3) Requirements relating to leave.--
       (A) Schedule.--Section 102(b) of such Act (29 U.S.C. 
     2612(b)) is amended--
       (i) in paragraph (1), in the second sentence--

       (I) by striking ``section 103(b)(5)'' and inserting 
     ``subsection (b)(5) or (f) (as appropriate) of section 103''; 
     and
       (II) by inserting ``or under subsection (a)(3)'' after 
     ``subsection (a)(1)''; and

       (ii) in paragraph (2), by inserting ``or under subsection 
     (a)(3)'' after ``subsection (a)(1)''.
       (B) Substitution of paid leave.--Section 102(d) of such Act 
     (29 U.S.C. 2612(d)) is amended--
       (i) in paragraph (1)--

       (I) by inserting ``(or 26 workweeks in the case of leave 
     provided under subsection (a)(3))'' after ``12 workweeks'' 
     the first place it appears; and
       (II) by inserting ``(or 26 workweeks, as appropriate)'' 
     after ``12 workweeks'' the second place it appears; and

       (ii) in paragraph (2)(B), by adding at the end the 
     following: ``An eligible employee may elect, or an employer 
     may require the employee, to substitute any of the accrued 
     paid vacation leave, personal leave, family leave, or medical 
     or sick leave of the employee for leave provided under 
     subsection (a)(3) for any part of the 26-week period of such 
     leave under such subsection.''.
       (C) Notice.--Section 102(e)(2) of such Act (29 U.S.C. 
     2612(e)(2)) is amended by inserting ``or under subsection 
     (a)(3)'' after ``subsection (a)(1)''.
       (D) Spouses employed by same employer.--Section 102(f) of 
     such Act (29 U.S.C. 2612(f)) is amended--
       (i) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), and aligning the margins of the 
     subparagraphs with the margins of section 102(e)(2)(A);
       (ii) by striking ``In any'' and inserting the following:
       ``(1) In general.--In any''; and
       (iii) by adding at the end the following:
       ``(2) Servicemember family leave.--
       ``(A) In general.--The aggregate number of workweeks of 
     leave to which both that husband and wife may be entitled 
     under subsection (a) may be limited to 26 workweeks during 
     the single 12-month period described in subsection (a)(3) if 
     the leave is--
       ``(i) leave under subsection (a)(3); or
       ``(ii) a combination of leave under subsection (a)(3) and 
     leave described in paragraph (1).
       ``(B) Both limitations applicable.--If the leave taken by 
     the husband and wife includes leave described in paragraph 
     (1), the limitation in paragraph (1) shall apply to the leave 
     described in paragraph (1).''.
       (E) Certification.--Section 103 of such Act (29 U.S.C. 
     2613) is amended by adding at the end the following:
       ``(f) Certification for Servicemember Family Leave.--An 
     employer may require that a request for leave under section 
     102(a)(3) be supported by a certification issued at such time 
     and in such manner as the Secretary may by regulation 
     prescribe.''.
       (F) Failure to return.--Section 104(c) of such Act (29 
     U.S.C. 2614(c)) is amended--
       (i) in paragraph (2)(B)(i), by inserting ``or under section 
     102(a)(3)'' before the semicolon; and
       (ii) in paragraph (3)(A)--

       (I) in clause (i), by striking ``or'' at the end;
       (II) in clause (ii), by striking the period and inserting 
     ``; or''; and
       (III) by adding at the end the following:

       ``(iii) a certification issued by the health care provider 
     of the servicemember being cared for by the employee, in the 
     case of an employee unable to return to work because of a 
     condition specified in section 102(a)(3).''.
       (G) Enforcement.--Section 107 of such Act (29 U.S.C. 2617) 
     is amended, in subsection (a)(1)(A)(i)(II), by inserting 
     ``(or 26 weeks, in a case involving leave under section 
     102(a)(3))'' after ``12 weeks''.
       (H) Instructional employees.--Section 108 of such Act (29 
     U.S.C. 2618) is amended, in subsections (c)(1), (d)(2), and 
     (d)(3), by inserting ``or under section 102(a)(3)'' after 
     ``section 102(a)(1)''.
       (c) Servicemember Family Leave for Civil Service 
     Employees.--
       (1) Definitions.--Section 6381 of title 5, United States 
     Code, is amended--
       (A) in paragraph (5), by striking ``and'' at the end;
       (B) in paragraph (6), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(7) the term `active duty' means duty under a call or 
     order to active duty under a provision of law referred to in 
     section 101(a)(13)(B) of title 10, United States Code;
       ``(8) the term `covered servicemember' means a member of 
     the Armed Forces, including a member of the National Guard or 
     a Reserve, who is undergoing medical treatment, recuperation, 
     or therapy, is otherwise in medical hold or medical holdover 
     status, or is otherwise on the temporary disability retired 
     list, for a serious injury or illness;
       ``(9) the term `medical hold or medical holdover status' 
     means--
       ``(A) the status of a member of the Armed Forces, including 
     a member of the National Guard or a Reserve, assigned or 
     attached to a military hospital for medical care; and
       ``(B) the status of a member of a reserve component of the 
     Armed Forces who is separated, whether pre-deployment or 
     post-deployment, from the member's unit while in need of 
     health care based on a medical condition identified while the 
     member is on active duty in the Armed Forces;
       ``(10) the term `next of kin', used with respect to an 
     individual, means the nearest blood relative of that 
     individual; and
       ``(11) the term `serious injury or illness', in the case of 
     a member of the Armed Forces, means an injury or illness 
     incurred by the member in line of duty on active duty in the 
     Armed Forces that may render the member medically unfit to 
     perform the duties of the member's office, grade, rank, or 
     rating.''.
       (2) Entitlement to leave.--Section 6382(a) of such title is 
     amended by adding at the end the following:
       ``(3) Subject to section 6383, an employee who is the 
     spouse, son, daughter, parent, or next of kin of a covered 
     servicemember shall be entitled to a total of 26 
     administrative workweeks of leave during a 12-month period to 
     care for the servicemember. The leave described in this 
     paragraph shall only be available during a single 12-month 
     period.
       ``(4) During the single 12-month period described in 
     paragraph (3), an employee shall be entitled to a combined 
     total of 26 administrative workweeks of leave under 
     paragraphs (1) and (3). Nothing in this paragraph shall be 
     construed to limit the availability of leave under paragraph 
     (1) during any other 12-month period.''.
       (3) Requirements relating to leave.--
       (A) Schedule.--Section 6382(b) of such title is amended--
       (i) in paragraph (1), in the second sentence--

       (I) by striking ``section 6383(b)(5)'' and inserting 
     ``subsection (b)(5) or (f) (as appropriate) of section 
     6383''; and
       (II) by inserting ``or under subsection (a)(3)'' after 
     ``subsection (a)(1)''; and

       (ii) in paragraph (2), by inserting ``or under subsection 
     (a)(3)'' after ``subsection (a)(1)''.
       (B) Substitution of paid leave.--Section 6382(d) of such 
     title is amended by adding at the end the following: ``An 
     employee may elect to substitute for leave under subsection 
     (a)(3) any of the employee's accrued or accumulated annual or 
     sick leave under subchapter I for any part of the 26-week 
     period of leave under such subsection.''.
       (C) Notice.--Section 6382(e) of such title is amended by 
     inserting ``or under subsection (a)(3)'' after ``subsection 
     (a)(1)''.
       (D) Certification.--Section 6383 of such title is amended 
     by adding at the end the following:
       ``(f) An employing agency may require that a request for 
     leave under section 6382(a)(3) be supported by a 
     certification issued at such time and in such manner as the 
     Office of Personnel Management may by regulation 
     prescribe.''.
                                 ______
                                 
  SA 2648. Mr. PRYOR (for Mrs. Boxer) proposed an amendment to the bill 
S. 775, to establish a National Commission on the Infrastructure of the 
United States; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Infrastructure 
     Improvement Act of 2007''.

     SEC. 2. DEFINITIONS.

       In this Act:
       (1) Acquisition.--The term ``acquisition'' includes any 
     necessary activities for siting a facility, equipment, 
     structures, or rolling stock by purchase, lease-purchase, 
     trade, or donation.
       (2) Commission.--The term ``Commission'' means the National 
     Commission on the Infrastructure of the United States 
     established by section 3(a).
       (3) Construction.--The term ``construction'' means--
       (A) the design, planning, and erection of new 
     infrastructure;
       (B) the expansion of existing infrastructure;
       (C) the reconstruction of an infrastructure project at an 
     existing site; and
       (D) the installation of initial or replacement 
     infrastructure equipment.
       (4) Infrastructure.--
       (A) In general.--The term ``infrastructure'' means a 
     nonmilitary structure or facility, and any equipment and any 
     nonstructural elements associated with such a structure or 
     facility.
       (B) Inclusions.--The term ``infrastructure'' includes--
       (i) a surface transportation facility (such as a road, 
     bridge, highway, public transportation facility, and freight 
     and passenger rail), as the Commission, in consultation with 
     the National Surface Transportation Policy and Revenue Study 
     Commission established by section 1909(b)(1) of the Safe, 
     Accountable, Flexible, Efficient Transportation Equity Act: A 
     Legacy for Users (Public Law 109-59; 119 Stat. 1471), 
     determines to be appropriate;

[[Page 22712]]

       (ii) a mass transit facility;
       (iii) an airport or airway facility;
       (iv) a resource recovery facility;
       (v) a water supply and distribution system;
       (vi) a wastewater collection, conveyance, or treatment 
     system, and related facilities;
       (vii) a stormwater treatment system to manage, reduce, 
     treat, or reuse municipal stormwater;
       (viii) waterways, locks, dams, and associated facilities;
       (ix) a levee and any related flood damage reduction 
     facility;
       (x) a dock or port; and
       (xi) a solid waste disposal facility.
       (5) Nonstructural elements.--The term ``nonstructural 
     elements'' includes --
       (A) any feature that preserves and restores a natural 
     process, a landform (including a floodplain), a natural 
     vegetated stream side buffer, wetland, or any other 
     topographical feature that can slow, filter, and naturally 
     store storm water runoff and flood waters;
       (B) any natural design technique that percolates, filters, 
     stores, evaporates, and detains water close to the source of 
     the water; and
       (C) any feature that minimizes or disconnects impervious 
     surfaces to slow runoff or allow precipitation to percolate.
       (6) Maintenance.--The term ``maintenance'' means any 
     regularly scheduled activity, such as a routine repair, 
     intended to ensure that infrastructure continues to operate 
     efficiently and as intended.
       (7) Rehabilitation.--The term ``rehabilitation'' means an 
     action to extend the useful life or improve the effectiveness 
     of existing infrastructure, including--
       (A) the correction of a deficiency;
       (B) the modernization or replacement of equipment;
       (C) the modernization of, or replacement of parts for, 
     rolling stock relating to infrastructure;
       (D) the use of nonstructural elements; and
       (E) the removal of infrastructure that is deteriorated or 
     no longer useful.

     SEC. 3. ESTABLISHMENT OF COMMISSION.

       (a) Establishment.--There is established a commission to be 
     known as the ``National Commission on the Infrastructure of 
     the United States'' to ensure that the infrastructure of the 
     United States--
       (1) meets current and future demand;
       (2) facilitates economic growth;
       (3) is maintained in a manner that ensures public safety; 
     and
       (4) is developed or modified in a sustainable manner.
       (b) Membership.--
       (1) Composition.--The Commission shall be composed of 8 
     members, of whom--
       (A) 2 members shall be appointed by the President;
       (B) 2 members shall be appointed by the Speaker of the 
     House of Representatives;
       (C) 1 member shall be appointed by the minority leader of 
     the House of Representatives;
       (D) 2 members shall be appointed by the majority leader of 
     the Senate; and
       (E) 1 member shall be appointed by the minority leader of 
     the Senate.
       (2) Qualifications.--Each member of the Commission shall--
       (A) have experience in 1 or more of the fields of 
     economics, public administration, civil engineering, public 
     works, construction, and related design professions, 
     planning, public investment financing, environmental 
     engineering, or water resources engineering; and
       (B) represent a cross-section of geographical regions of 
     the United States.
       (3) Date of appointments.--The members of the Commission 
     shall be appointed under paragraph (1) not later than 90 days 
     after the enactment of this Act.
       (c) Term; Vacancies.--
       (1) Term.--A member shall be appointed for the life of the 
     Commission.
       (2) Vacancies.--A vacancy in the Commission--
       (A) shall not affect the powers of the Commission; and
       (B) shall be filled, not later than 30 days after the date 
     on which the vacancy occurs, in the same manner as the 
     original appointment was made.
       (d) Initial Meeting.--Not later than 30 days after the date 
     on which all members of the Commission have been appointed, 
     the Commission shall hold the initial meeting of the 
     Commission.
       (e) Meetings.--The Commission shall meet at the call of the 
     Chairperson or the request of the majority of the Commission 
     members.
       (f) Quorum.--A majority of the members of the Commission 
     shall constitute a quorum, but a lesser number of members may 
     hold hearings.
       (g) Chairperson and Vice Chairperson.--The Commission shall 
     select a Chairperson and Vice Chairperson from among the 
     members of the Commission.

     SEC. 4. DUTIES.

       (a) Study.--
       (1) In general.--Not later than February 15, 2009, the 
     Commission shall complete a study of all matters relating to 
     the state of the infrastructure of the United States.
       (2) Matters to be studied.--In carrying out paragraph (1), 
     the Commission shall study matters such as--
       (A) the capacity of infrastructure to sustain current and 
     anticipated economic development and competitiveness, 
     including long-term economic growth, including the potential 
     return to the United States economy on investments in new 
     infrastructure as opposed to investments in existing 
     infrastructure;
       (B) the age and condition of public infrastructure 
     (including congestion and changes in the condition of that 
     infrastructure as compared with preceding years);
       (C) the methods used to finance the construction, 
     acquisition, rehabilitation, and maintenance of 
     infrastructure (including general obligation bonds, tax-
     credit bonds, revenue bonds, user fees, excise taxes, direct 
     governmental assistance, and private investment);
       (D) any trends or innovations in methods used to finance 
     the construction, acquisition, rehabilitation, and 
     maintenance of infrastructure;
       (E) investment requirements, by type of infrastructure, 
     that are necessary to maintain the current condition and 
     performance of the infrastructure and the investment needed 
     (adjusted for inflation and expressed in real dollars) to 
     improve infrastructure in the future;
       (F) based on the current level of expenditure (calculated 
     as a percentage of total expenditure and in constant dollars) 
     by Federal, State, and local governments--
       (i) the projected amount of need the expenditures will meet 
     5, 15, 30, and 50 years after the date of enactment of this 
     Act; and
       (ii) the levels of investment requirements, as identified 
     under subparagraph (E);
       (G) any trends or innovations in infrastructure procurement 
     methods;
       (H) any trends or innovations in construction methods or 
     materials for infrastructure;
       (I) the impact of local development patterns on demand for 
     Federal funding of infrastructure;
       (J) the impact of deferred maintenance; and
       (K) the collateral impact of deteriorated infrastructure.
       (b) Recommendations.--The Commission shall develop 
     recommendations--
       (1) on a Federal infrastructure plan that will detail 
     national infrastructure program priorities, including 
     alternative methods of meeting national infrastructure 
     investment needs to effectuate balanced economic development;
       (2) on infrastructure improvements and methods of 
     delivering and providing for infrastructure facilities;
       (3) for analysis or criteria and procedures that may be 
     used by Federal agencies and State and local governments in--
       (A) inventorying existing and needed infrastructure 
     improvements;
       (B) assessing the condition of infrastructure improvements;
       (C) developing uniform criteria and procedures for use in 
     conducting the inventories and assessments; and
       (D) maintaining publicly accessible data; and
       (4) for proposed guidelines for the uniform reporting, by 
     Federal agencies, of construction, acquisition, 
     rehabilitation, and maintenance data with respect to 
     infrastructure improvements.
       (c) Statement and Recommendations.--Not later than February 
     15, 2010, the Commission shall submit to Congress--
       (1) a detailed statement of the findings and conclusions of 
     the Commission; and
       (2) the recommendations of the Commission under subsection 
     (b), including recommendations for such legislation and 
     administrative actions for 5-, 15-, 30-, and 50-year time 
     periods as the Commission considers to be appropriate.

     SEC. 5. POWERS OF THE COMMISSION.

       (a) Hearings.--The Commission shall hold such hearings, 
     meet and act at such times and places, take such testimony, 
     administer such oaths, and receive such evidence as the 
     Commission considers advisable to carry out this Act.
       (b) Information From Federal Agencies.--
       (1) In general.--The Commission may secure directly from a 
     Federal agency such information as the Commission considers 
     necessary to carry out this Act.
       (2) Provision of information.--On request of the 
     Chairperson of the Commission, the head of the Federal agency 
     shall provide the information to the Commission.
       (c) Gifts.--The Commission may accept, use, and dispose of 
     gifts or donations of services or property.
       (d) Contracts.--The Commission may enter into contracts 
     with other entities, including contracts under which 1 or 
     more entities, with the guidance of the Commission, conduct 
     the study required under section 4(a).
       (e) Postal Services.--The Commission may use the United 
     States mails in the same manner and under the same conditions 
     as other agencies of the Federal Government.

     SEC. 6. COMMISSION PERSONNEL MATTERS.

       (a) Compensation of Members.--A member of the Commission 
     shall serve without pay, but shall be allowed a per diem 
     allowance for travel expenses, at rates authorized for an 
     employee of an agency under subchapter I of chapter 57 of 
     title 5, United States Code, while away from the home or 
     regular place

[[Page 22713]]

     of business of the member in the performance of the duties of 
     the Commission.
       (b) Staff.--
       (1) In general.--The Chairperson of the Commission may, 
     without regard to the civil service laws, including 
     regulations, appoint and terminate an executive director and 
     such other additional personnel as are necessary to enable 
     the Commission to perform the duties of the Commission.
       (2) Confirmation of executive director.--The employment of 
     an executive director shall be subject to confirmation by a 
     majority of the members of the Commission.
       (3) Compensation.--
       (A) In general.--Except as provided in subparagraph (B), 
     the Chairperson of the Commission may fix the compensation of 
     the executive director and other personnel without regard to 
     the provisions of chapter 51 and subchapter III of chapter 53 
     of title 5, United States Code, relating to classification of 
     positions and General Schedule pay rates.
       (B) Maximum rate of pay.--In no event shall any employee of 
     the Commission (other than the executive director) receive as 
     compensation an amount in excess of the maximum rate of pay 
     for Executive Level IV under section 5315 of title 5, United 
     States Code.
       (c) Detail of Federal Government Employees.--
       (1) In general.--An employee of the Federal Government may 
     be detailed to the Commission without reimbursement.
       (2) Civil service status.--The detail of a Federal employee 
     shall be without interruption or loss of civil service status 
     or privilege.
       (d) Procurement of Temporary and Intermittent Services.--On 
     request of the Commission, the Secretary of the Army, acting 
     through the Chief of Engineers, shall provide, on a 
     reimbursable basis, such office space, supplies, equipment, 
     and other support services to the Commission and staff of the 
     Commission as are necessary for the Commission to carry out 
     the duties of the Commission under this Act.

     SEC. 7. REPORTS.

       (a) Interim Reports.--Not later than 1 year after the date 
     of the initial meeting of the Commission, the Commission 
     shall submit an interim report containing a detailed summary 
     of the progress of the Commission, including meetings and 
     hearings conducted during the interim period, to--
       (1) the President;
       (2) the Committees on Transportation and Infrastructure and 
     Natural Resources of the House of Representatives; and
       (3) the Committees on Environment and Public Works, Energy 
     and Natural Resources, and Commerce, Science, and 
     Transportation of the Senate.
       (b) Final Report.--On termination of the Commission under 
     section 9, the Commission shall submit a final report 
     containing a detailed statement of the findings and 
     conclusions of the Commission and recommendations for 
     legislation and other policies to implement those findings 
     and conclusions, to--
       (1) the President;
       (2) the Committees on Transportation and Infrastructure and 
     Natural Resources of the House of Representatives; and
       (3) the Committees on Environment and Public Works, Energy 
     and Natural Resources, and Commerce, Science, and 
     Transportation of the Senate.
       (c) Transparency.--A report submitted under subsection (a) 
     or (b) shall be made available to the public electronically, 
     in a user-friendly format, including on the Internet.

     SEC. 8. FUNDING.

       For each of fiscal years 2008 through 2010, upon request by 
     the Commission--
       (1) using amounts made available to the Secretary of 
     Transportation from any source or account other than the 
     Highway Trust Fund, the Secretary of Transportation shall 
     transfer to the Commission $750,000 for use in carrying out 
     this Act;
       (2) using amounts from the General Expenses account of the 
     Corps of Engineers (other than amounts in that account made 
     available through the Department of Defense), the Secretary 
     of the Army, acting through the Chief of Engineers, shall 
     transfer to the Commission $250,000 for use in carrying out 
     this Act; and
       (3) the Administrator of the Environmental Protection 
     Agency shall transfer to the Commission $250,000 for use in 
     carrying out this Act.

     SEC. 9. TERMINATION OF COMMISSION.

       The Commission shall terminate on September 30, 2010.

                          ____________________