[Congressional Record (Bound Edition), Volume 156 (2010), Part 12]
[Senate]
[Pages 17735-17743]
[From the U.S. Government Publishing Office, www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. KERRY (for himself, Mr. Dodd, Mr. Casey, and Mr. 
        Bingaman):
  S. 3950. A bill to amend title XVIII of the Social Security Act to 
provide for the application of a consistent Medicare part B premium for 
all Medicare beneficiaries for 2011; to the Committee on Finance.
  Mr. KERRY. Mr. President, the Centers for Medicare and Medicaid 
Services, CMS, recently announced that nearly three-quarters of 
Medicare enrollees will see no increase in their Medicare Part B 
premium in 2011.
  This group of beneficiaries is protected by a ``hold harmless'' 
provision in the law for years when there is no increase in Social 
Security checks. As a result, these beneficiaries will continue to pay 
the same monthly premium of $96.40 that they have paid since 2008.
  Unfortunately, 27 percent of Medicare beneficiaries do not receive 
this ``hold-harmless'' protection and will see their monthly premiums 
disproportionately increase to $115.40 to shoulder the full load for 
those beneficiaries who are held harmless. This represents an increase 
of nearly 19 percent over the past two years with no cost of living 
adjustment to their retirement pensions or annuities.
  This inequity in the law negatively affects new Medicare enrollees, 
low-income beneficiaries who receive Medicare and Medicaid, higher 
income enrollees who already pay higher premiums, and seniors who do 
not receive Social Security, such as federal, state, and local 
government retirees.
  I believe we have a responsibility to protect all Medicare 
beneficiaries from premium increase, especially during these tough 
economic times when every penny counts. A premium increase for many 
seniors would mean choosing between food and medicine and that's a 
choice they should not have to make.
  That is why today I am introducing the Medicare Premium Fairness Act. 
This legislation would restore fairness to our Medicare system and put 
money

[[Page 17736]]

in the pockets of 12 million seniors and individuals with disabilities 
who desperately need it. It would correct this inequity in the law by 
applying the ``hold harmless'' provision to all Medicare beneficiaries, 
so that no enrollee will pay a monthly premium more than $96.40 in 
2011.
  The Medicare Premium Fairness Act is cosponsored by Senator Dodd and 
Senator Casey, both of whom have been integral to the development of 
this legislation. Our legislation is supported by twenty four 
organizations that represent retirees and senior citizens across the 
country. I would like to thank all of the number of organizations who 
have endorsed our legislation today, including the American Federation 
of State, County and Municipal Employees, AFSCME, the National Active 
and Retired Federal Employees Association, NARFE, and the National 
Committee to Preserve Social Security and Medicare, NCPSSM.
  Now is the time to protect all Medicare beneficiaries from 
substantial and unfair Part B premium increases next year. I look 
forward to working with my colleagues in the Senate to pass the 
Medicare Premium Fairness Act before the end of the year.
                                 ______
                                 
      By Mr. AKAKA:
  S. 3953. A bill to amend title 38, United States Code, to provide 
benefits for children with spina bifida of veterans exposed to 
herbicides while serving in the Armed Forces during the Vietnam era 
outside Vietnam, and for other purposes; to the Committee on Veterans' 
Affairs.
  Mr. AKAKA. Mr. President, as chairman of the Senate Committee on 
Veterans' Affairs, today, I am introducing legislation that would 
expand an existing VA benefit program for certain children with spina 
bifida. These benefits are currently provided under chapter 18 of title 
38, United States Code, to the natural children of veterans who were 
exposed to herbicides such as Agent Orange, in Vietnam or near the 
Demilitarized Zone, DMZ, in Korea during the Vietnam era.
  Current law provides benefits for the natural children of veterans 
exposed to herbicides only if the veteran served in a specific 
location, during a specific time frame. VA reports that 1,222 childen 
currently receive these benefits and that only 10 of these receive them 
based on the service of a parent who served in outside of Vietnam.
  However, VA has conceded that certain veterans who worked on the 
perimeter of Air Force bases in Thailand outside of the locations 
provided in current law during the Vietnam era were exposed to 
herbicides. As a result, children of those veterans suffering from 
spina bifida are excluded from the benefits provided based solely on 
where the exposure occurred.
  The legislation I am introducing today would correct this inequity. 
Because only a very small number of children whose veteran parent 
served outside of Vietnam currently receive benefits, I expect only a 
small number of children would qualify for benefits under this bill. 
However, it is an inequity that should be remedied.
  I urge our colleagues to support this bill and provide the exact same 
benefit to all children who have spina bifida related to the veteran 
parent's exposure to herbicides regardless of the location of their 
parent's exposure.
                                 ______
                                 
      By Mr. BEGICH:
  S. 3955. A bill to amend title 10, United States Code, to authorize 
space-available travel on military aircraft for members of the reserve 
components, a member or former member of a reserve component who is 
eligible for retired pay but for age, widows and widowers of retired 
members, and dependents; to the Committee on Armed Services.
  Mr. BEGICH. Mr. President, today I am introducing the Space Available 
Equity Act.
  Members and retirees of the National Guard and Reserve, their 
families, and surviving military spouses make great sacrifices for our 
Nation. However, too often these individuals do not receive the 
benefits they have earned for their service.
  For instance, members of the reserve components and ``gray area'' 
retirees, National Guardsmen or Reservists eligible for retirement but 
under the age of 60, have limited space-available travel privileges on 
Department of Defense aircraft under current regulation. Their space-
available travel benefits are restricted to the continental United 
States and are not extended to their dependents, unlike active duty 
members and retirees.
  Surviving spouses of a military member eligible for retired pay 
retain no space-available travel privileges at all after the death of 
their spouse, despite having made a lifetime commitment to the military 
or in many cases, lost their loved one in war.
  To correct these inequities, I am introducing the National Guard, 
Reserve, Gray Area Retiree, and Surviving Spouse Space-available Travel 
Equity Act. This bill will give these deserving individuals 
comprehensive and equitable space-available travel privileges on 
Department of Defense aircraft. The bill is endorsed by the National 
Guard Association of the United States.
  I urge my colleagues to join me in giving parity to our reserve 
component members and surviving military spouses.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3955

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Guard, Reserve, 
     ``Gray Area'' Retiree, and Surviving Spouses Space-available 
     Travel Equity Act of 2010''.

     SEC. 2. ELIGIBILITY OF RESERVE MEMBERS, GRAY-AREA RETIREES, 
                   WIDOWS AND WIDOWERS OF RETIRED MEMBERS, AND 
                   DEPENDENTS FOR SPACE-AVAILABLE TRAVEL ON 
                   MILITARY AIRCRAFT.

       (a) Eligibility.--Chapter 157 of title 10, United States 
     Code, is amended by inserting after section 2651 the 
     following new section:

     ``Sec. 2652. Space-available travel on department of defense 
       aircraft: reserve members, reserve members eligible for 
       retired pay but for age; widows and widowers of retired 
       members and dependents

       ``(a) Reserve Members.--A member of a reserve component 
     holding a valid Uniformed Services Identification and 
     Privilege Card shall be provided transportation on Department 
     of Defense aircraft, on a space-available basis, on the same 
     basis as active duty members of the uniformed services under 
     any other provision of law or Department of Defense 
     regulation.
       ``(b) Reserve Retirees Under Applicable Eligibility Age.--A 
     member or former member of a reserve component who, but for 
     being under the eligibility age applicable to the member 
     under section 12731 of this title, otherwise would be 
     eligible for retired pay under chapter 1223 of this title 
     shall be provided transportation on Department of Defense 
     aircraft, on a space-available basis, on the same basis as 
     members of the armed forces entitled to retired pay under any 
     other provision of law or Department of Defense regulation.
       ``(c) Widows and Widowers of Retired Members.--
       ``(1) In general.--An unremarried widow or widower of a 
     member of the armed forces described in paragraph (2) shall 
     be provided transportation on Department of Defense aircraft, 
     on a space-available basis, on the same basis as members of 
     the armed forces entitled to retired pay under any other 
     provision of law or Department of Defense regulation.
       ``(2) Members covered.--A member of the armed forces 
     referred to in paragraph (1) is a member who--
       ``(A) is entitled to retired pay;
       ``(B) dies in line of duty while on active duty and is not 
     eligible for retired pay; or
       ``(C) in the case of a member of a reserve component, dies 
     as a result of a line of duty condition and is not eligible 
     for retired pay.
       ``(d) Dependents.--A dependent of a member or former member 
     described in either subsections (a) or (b) or of a deceased 
     member entitled to retired pay holding a valid Uniformed 
     Services Identification and Privilege Card and a surviving 
     unremarried spouse and the surviving dependent of a deceased 
     member or former member described in subsection (b) holding a 
     valid Uniformed Services Identification and Privilege Card 
     shall be provided transportation on Department of Defense 
     aircraft, on a space-available basis, if the dependent is 
     accompanying the member or, in the case of a deceased member, 
     is the surviving unremarried spouse of the deceased member or 
     is a dependent accompanying the surviving unremarried spouse 
     of the deceased member.

[[Page 17737]]

       ``(e) Definition of Dependent.--In this section, the term 
     `dependent' has the meaning given that term in section 1072 
     of this title.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 2651 the following new item:

``2652. Space-available travel on department of defense aircraft: 
              reserve members, reserve members eligible for retired pay 
              but for age; widows and widowers of retired members and 
              dependents.''.
                                 ______
                                 
      By Mr. BEGICH:
  S. 3956. A bill to amend title 10, United States Code, to permit the 
use of commissary and exchange facilities by former members of the 
Armed Forces who were retired or separated for physical disability; to 
the Committee on Armed Services.
  Mr. BEGICH. Mr. President, I am introducing a bill to provide 
medically separated servicemembers and their family continued access to 
commissaries and exchanges. Unfortunately, these individuals lose many 
benefits upon their honorable discharge from the military for 
disabilities and injuries which prevent them continuing service.
  These servicemembers have served their country dutifully. They have 
earned the right to retain commissary and exchange privileges after 
being honorably discharged for disabilities that prevent further 
service and may preclude certain types of employment thus hindering 
their ability to provide for their families.
  My legislation will give commissary and exchange privileges to 
individuals medically separated from the military to ease economic 
hardships faced after their discharge. Additionally, by granting 
commissary and exchange privileges to these Soldiers, Sailors, Airmen, 
and Marines they will be able to stay connected to their military 
communities.
  This legislation is supported by the National Guard Association of 
the United States. I hope my colleagues will join me in this effort to 
honor and recognize the sacrifices of our disabled servicemembers.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3956

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. USE OF COMMISSARY AND EXCHANGE FACILITIES BY 
                   FORMER MEMBERS OF THE ARMED FORCES WHO WERE 
                   RETIRED OR SEPARATED FOR PHYSICAL DISABILITY.

       (a) In General.--Chapter 54 of title 10, United States 
     Code, is amended by inserting after section 1063 the 
     following new section:

     ``Sec. 1063a. Use of commissary stores and MWR retail 
       facilities: former members retired or separated for 
       physical disability

       ``(a) Eligibility of Former Members.--A former member of 
     the armed forces who was retired or separated from the armed 
     forces for physical disability under chapter 61 of this title 
     shall be permitted to use commissary stores and MWR retail 
     facilities on the same basis as members of the armed forces 
     on active duty.
       ``(b) MWR Retail Facility Defined.--In this section, the 
     term `MWR retail facility' has the meaning given that term in 
     section 1063(e) of this title.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 54 of such title is amended by inserting 
     after the item relating to section 1063 the following new 
     item:

``1063a. Use of commissary stores and MWR retail facilities: former 
              members retired or separated for physical disability.''.
                                 ______
                                 
      By Mr. REED (for himself and Mr. Whitehouse):
  S. 3957. A bill to establish a medical education trust fund, and for 
other purposes; to the Committee on Finance.
  Mr. REED. Mr. President, today I introduce the Graduate Medical 
Education Reform Act of 2010 along with my colleague Senator 
Whitehouse.
  During my tenure in Congress, I have worked to ensure that medical 
schools and teaching hospitals have adequate resources to train the 
next generation of doctors. I have championed legislation to improve 
the financing of GME payments to teaching hospitals and annually 
spearhead efforts to increase grant funding for health professions 
programs through the appropriations process. In addition, the new 
health insurance reform law contains an entire title of workforce 
provisions, many of which I helped to write. The consistent goal of 
these efforts has been to support our future health care workforce and 
improve the care that patients receive. The GME Reform Act is an 
extension of those efforts.
  The legislation challenges recent statements by some experts that 
Medicare overpays teaching hospitals to train medical residents by 
increasing federal oversight of medical residency programs. For most 
teaching hospitals, which incur higher costs than other hospitals, this 
funding is essential to support residency programs and provide high-
quality patient care. In addition, now is not the time to starve these 
important programs of the funding necessary to train our future health 
care workforce since 30 million more Americans will gain access to 
health insurance in 2014.
  First, the legislation would enhance GME payment transparency. New 
information about the amount of GME funding that teaching hospitals 
receive respective to the costs to remain operational would demonstrate 
that more could be done to support these important programs.
  The GME Reform Act would also ensure that teaching hospitals and 
residency programs spend GME funding to train residents in new models 
of care and updated technology. Some medical residents, including those 
in my state, are already trained in these areas, but that is not the 
case in programs throughout the country. This legislation would 
encourage reform in every program by linking three percent of indirect 
medical education payments to teaching hospitals to the performance of 
residency programs. Medical colleges, accrediting bodies, and other 
stakeholders that are most familiar with how to train residents would 
set the specific performance measures. This new oversight would help to 
break down the silos in medicine and ensure that physicians work 
together to provide patients with comprehensive health care.
  These are important and sensible reforms. As I said, many programs 
throughout the country have already acted in this manner. But, since it 
is often most effective to have a reasonable balance of oversight and 
incentives, this legislation would provide a bonus payment to programs 
that train at least one-third of all residents in primary care.
  In addition, this legislation would transform the way that children's 
hospitals receive payments for training the future health care 
workforce by taking those payments out of the discretionary 
appropriations process and providing mandatory, stable funding every 
year through a new trust fund.It would also extend residency training 
funds to children's psychiatric hospitals and women and infants 
hospitals. There are just a handful of hospitals around the country 
that fall in these two categories, including two in Rhode Island. 
Indeed, they should also have access to the resources necessary to 
support the training of residents.
  I am pleased that the GME Reform Act is supported by the only medical 
school in my state, the Warren Alpert Medical School of Brown 
University.
  My colleagues, Leader Reid, Senator Nelson of Florida, and Senator 
Schumer have also taken great interest in supporting our future health 
care workforce by championing legislation to increase the number of 
physicians trained each year. This effort is vitally important to 
ending the shortage of primary care providers in many areas, responding 
to the increased demand of a growing and aging population, and 
preparing for the implementation of the new health insurance reform 
law. I look forward to continuing to support their efforts and working 
with them on the GME Reform Act as well.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

[[Page 17738]]



                                S. 3957

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Graduate 
     Medical Education Reform Act of 2010''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Medicare indirect medical education performance adjustment and 
              primary care training bonus.
Sec. 3. Payments for graduate medical education to hospitals not 
              otherwise eligible for payments under the Medicare 
              program.
Sec. 4. Increasing graduate medical education transparency.
Sec. 5. Establishment of trust fund.
Sec. 6. Partial financing for trust fund from fees on insured and self-
              insured health plans.

     SEC. 2. MEDICARE INDIRECT MEDICAL EDUCATION PERFORMANCE 
                   ADJUSTMENT AND PRIMARY CARE TRAINING BONUS.

       Section 1886(d)(5)(B) of the Social Security Act (42 U.S.C. 
     1395ww(d)(1)(B)) is amended--
       (1) by redesignating the clause (x) as added by section 
     5505(b) of the Patient Protection and Affordable Care Act as 
     clause (xi); and
       (2) by adding at the end the following new clauses:
       ``(xii) Adjustment for performance.--
       ``(I) In general.--The Secretary shall establish and 
     implement procedures under which the amount of payments that 
     a hospital would otherwise receive for indirect medical 
     education costs under this subparagraph for discharges 
     occurring during an applicable period is adjusted based on 
     the performance of the hospital on measures of health care 
     work force priorities specified by the Secretary.
       ``(II) Measures.--The measures of health care workforce 
     priorities specified by the Secretary under this clause shall 
     include the extent of training provided in--
       ``(aa) primary care (as defined in subclause (VII)), 
     excluding fellowships;
       ``(bb) a variety of settings and systems;
       ``(cc) the coordination of patient care across settings;
       ``(dd) the relevant cost and value of various diagnostic 
     and treatment options;
       ``(ee) interprofessional and multidisciplinary care teams;
       ``(ff) methods for identifying system errors and 
     implementing system solutions; and
       ``(gg) the use of health information technology.
       ``(III) Measure development procedures.--
       ``(aa) In general.--The measures of health care workforce 
     priorities specified by the Secretary under this clause shall 
     be measures that have been adopted or endorsed by a consensus 
     organization (such as the Accreditation Council for Graduate 
     Medical Education or the Commission on Osteopathic College 
     Accreditation), that include measures that have been 
     submitted by teaching hospitals and medical schools, and that 
     the Secretary identifies as having used a consensus-based 
     process for developing such measures.
       ``(bb) Proposed set of measures.--Not later than January 1, 
     2013, the Secretary shall publish in the Federal Register a 
     proposed set of measures for use under this clause. The 
     Secretary shall provide for a period of public comment on 
     such measures.
       ``(cc) Final set of measures.--Not later than June 30, 
     2013, the Secretary shall publish in the Federal Register the 
     set of measures to be specified by the Secretary for use 
     under this clause.
       ``(IV) Adjustment.--Subject to subclause (V), the Secretary 
     shall determine the amount of any adjustment under this 
     clause to payments to a hospital under this subparagraph in 
     an applicable period. Such adjustment may not exceed an 
     amount equal to 3 percent of the total amount that the 
     hospital would otherwise receive under this subparagraph in 
     such period.
       ``(V) Budget neutral.--In making adjustments under this 
     clause, the Secretary shall ensure that the total amount of 
     payments made to all hospitals under this subparagraph for an 
     applicable period is equal to the total amount of payments 
     that would have been made to such hospitals under this 
     subparagraph in such period if this clause and clause 
     (xii)(III) had not been enacted.
       ``(VI) Primary care defined.--In this clause, the term 
     `primary care' means family medicine, general internal 
     medicine, general pediatrics, preventive medicine, obstetrics 
     and gynecology, and psychiatry.
       ``(VII) Applicable period defined.--In this clause, the 
     term `applicable period' means the 12-month period beginning 
     on July 1 of each year (beginning with 2013).
       ``(xiii) Bonus payment for training in primary care.--
       ``(I) In general.--Subject to subclause (III), in the case 
     of discharges occurring during an applicable period, in 
     addition to the amount of payments that a hospital receives 
     for indirect medical education costs under this subparagraph 
     for such discharges (determined after any adjustment under 
     clause (xii)), there shall also be paid to the hospital an 
     amount equal to 1 percent of such payments if, during such 
     applicable period, at least 33 percent of full-time 
     equivelent residents (excluding fellowships) enrolled in the 
     hospital's medical residency training programs were enrolled 
     in medical residency training programs in primary care (as 
     defined in clause (xii)(VI)).
       ``(II) Payments from medical education trust fund.--
     Payments to hospitals under subclause (I) shall be made from 
     the Medical Education Trust Fund under section 9512 of the 
     Internal Revenue Code of 1986.
       ``(III) Limitation.--The total of the payments made to 
     eligible hospitals under subclause (I) with respect to an 
     applicable period shall not exceed an amount equal to the 
     funds appropriated to such Trust Fund under subsection (b)(1) 
     of such section 9512 for the fiscal year ending on September 
     30 of such applicable period.''.

     SEC. 3. PAYMENTS FOR GRADUATE MEDICAL EDUCATION TO HOSPITALS 
                   NOT OTHERWISE ELIGIBLE FOR PAYMENTS UNDER THE 
                   MEDICARE PROGRAM.

       Title XVIII of the Social Security Act (42 U.S.C. 1395 et 
     seq.) is amended by adding at the end the following new 
     section:


   ``graduate medical education payments for hospitals not otherwise 
                                eligible

       ``Sec. 1899B.  (a) Program.--
       ``(1) In general.--The Secretary shall establish a program 
     under which payments are made to eligible hospitals for each 
     applicable period for direct expenses and indirect expenses 
     associated with operating approved graduate medical residency 
     training programs.
       ``(2) Requirements.--Under the program under paragraph (1), 
     the provisions of section 340E of the Public Health Service 
     Act shall apply to payments to eligible hospitals in a 
     similar manner as such provisions apply to payments to 
     children's hospitals under such section 340E, except that--
       ``(A) payments to eligible hospitals under the program 
     shall be made from the Medical Education Trust Fund under 
     section 9512 of the Internal Revenue Code of 1986; and
       ``(B) the total of the payments made to eligible hospitals 
     under the program in an applicable period shall not exceed an 
     amount equal to--
       ``(i) the funds appropriated to such Trust Fund under 
     subsection (b)(1) of such section 9512 for the fiscal year 
     ending on September 30 of such applicable period; minus
       ``(ii) the total amount of payments made to hospitals under 
     section 1886(d)(5)(B)(xiii) in applicable period.
       ``(b) Eligible Hospital Defined.--In this section, the term 
     `eligible hospital' means the following hospitals:
       ``(1) A children's hospital (as defined in section 
     340E(g)(2) of the Public Health Service Act).
       ``(2) A freestanding psychiatric hospital that has--
       ``(A) 90 percent or more inpatients under the age of 18;
       ``(B) its own Medicare provider number as of December 6, 
     1999; and
       ``(C) an accredited residency program.
       ``(3) A hospital--
       ``(A) that annually has at least 3,000 births;
       ``(B) for which less than 4 percent of the total annual 
     discharges from the hospital are Medicare discharges of 
     individuals who, as of the time of the discharge--
       ``(i) were entitled to, or enrolled for, benefits under 
     part A; and
       ``(ii) were not enrolled in--

       ``(I) a Medicare Advantage plan under part C;
       ``(II) an eligible organization under section 1876; or
       ``(III) a PACE program under section 1894;

       ``(C) that has its own Medicare provider number; and
       ``(D) that has an accredited residency program.
       ``(c) Applicable Period Defined.--In this section, the term 
     `applicable period' has the meaning given that term in 
     section 1886(d)(5)(B)(xii)(VII).
       ``(d) Regulations.--The Secretary shall promulgate 
     regulations to carry out this section.''.

     SEC. 4. INCREASING GRADUATE MEDICAL EDUCATION TRANSPARENCY.

       (a) In General.--Not later than 2 years after the date of 
     the enactment of this Act, and annually thereafter, the 
     Secretary of Health and Human Services shall submit to 
     Congress and the National Health Care Workforce Commission 
     under section 5101 of the Patient Protection and Affordable 
     Care Act a report on the graduate medical education payments 
     that hospitals receive under the Medicare program. The report 
     shall include the following information with respect to each 
     hospital that receives such payments:
       (1) The direct graduate medical education payments made to 
     the hospital under section 1886(h) of the Social Security Act 
     (42 U.S.C. 1395ww(h)).
       (2) The indirect medical education payments made to the 
     hospital under section 1886(d)(5)(B) of such Act (42 U.S.C. 
     1395ww(d)(1)(B)).
       (3) The number of residents counted for purposes of making 
     the payments described in paragraph (1).

[[Page 17739]]

       (4) The number of residents counted for purposes of making 
     the payments described in paragraph (2).
       (5) The number of residents, if any, that are not counted 
     for purposes of making payments described in paragraph (1).
       (6) The number of residents, if any, that are not counted 
     for purposes of making payments described in paragraph (2).
       (7) The percent that the payments described in paragraphs 
     (1) and (2) that are made to the hospital make up of the 
     total costs that the hospital incurs in providing graduate 
     medical education, including salaries, benefits, operational 
     expenses, and all other patient care costs.

     SEC. 5. ESTABLISHMENT OF TRUST FUND.

       (a) In General.--Subchapter A of chapter 98 of the Internal 
     Revenue Code of 1986 (relating to establishment of trust 
     funds) is amended by adding at the end the following new 
     section:

     ``SEC. 9512. MEDICAL EDUCATION TRUST FUND.

       ``(a) Creation of Trust Fund.--There is established in the 
     Treasury of the United States a trust fund to be known as the 
     `Medical Education Trust Fund' (hereafter in this section 
     referred to as the `Trust Fund'), consisting of such amounts 
     as may be appropriated or credited to such Trust Fund as 
     provided in this section and section 9602(b).
       ``(b) Transfers to Fund.--
       ``(1) Appropriations.--There are hereby appropriated to the 
     Trust Fund in each fiscal year (beginning with fiscal year 
     2013) the sum of an amount equivalent to one-half (or, in the 
     case of fiscal year 2013, two-thirds) of the net revenues 
     received in the Treasury from the fees imposed under 
     subchapter B of chapter 34 (relating to fees on health 
     insurance and self-insured plans).
       ``(2) Limitation on transfers.--No amount may be 
     appropriated or transferred to the Trust Fund on and after 
     the date of any expenditure from the Trust Fund which is not 
     an expenditure permitted under this section. The 
     determination of whether an expenditure is so permitted shall 
     be made without regard to--
       ``(A) any provision of law which is not contained or 
     referenced in this chapter or in a revenue Act; and
       ``(B) whether such provision of law is a subsequently 
     enacted provision or directly or indirectly seeks to waive 
     the application of this paragraph.
       ``(c) Trustee.--The Secretary of Health and Human Services 
     shall be a trustee of the Trust Fund.
       ``(d) Expenditures From Trust Fund.--Amounts in the Trust 
     Fund are available, without further appropriation, to the 
     Secretary of Health and Human Services for making payments 
     under sections 1886(d)(5)(B)(xiii) and 1899B of the Social 
     Security Act.
       ``(e) Net Revenues.--For purposes of this section, the term 
     `net revenues' means the amount estimated by the Secretary of 
     the Treasury based on the excess of--
       ``(1) the fees received in the Treasury under subchapter B 
     of chapter 34, over
       ``(2) the decrease in the tax imposed by chapter 1 
     resulting from the fees imposed by such subchapter.''.
       (b) Clerical Amendment.--The table of sections for 
     subchapter A of chapter 98 of the Internal Revenue Code of 
     1986 is amended by adding at the end the following new item:

``Sec. 9512. Medical Education Trust Fund.''.

     SEC. 6. PARTIAL FINANCING FOR TRUST FUND FROM FEES ON INSURED 
                   AND SELF-INSURED HEALTH PLANS.

       (a) Imposition of Fee.--Section 4375(a) of the Internal 
     Revenue Code of 1986 is amended--
       (1) by striking ``$2'' and inserting ``$4''; and
       (2) by striking ``$1'' and inserting ``$3''.
       (b) Conforming Amendment to the Patient-Centered Outcomes 
     Research Trust Fund.--Section 9511(b)(1)(E) of the Internal 
     Revenue Code of 1986 is amended by inserting ``one-half (or, 
     in the case of fiscal year 2013, one-third) of'' after 
     ``equivalent to''.
                                 ______
                                 
      By Mr. DURBIN (for himself, Mr. Leahy, and Mr. Lugar):
  S. 3962. A bill to authorize the cancellation of removal and 
adjustment of status of certain alien students who are long-term United 
States residents and who entered the United States as children and for 
other purposes; read the first time.
  Mr. DURBIN. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3962

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Development, Relief, and 
     Education for Alien Minors Act of 2010'' or the ``DREAM Act 
     of 2010''.

     SEC. 2. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.
Sec. 4. Cancellation of removal and adjustment of status of certain 
              long-term residents who entered the United States as 
              children.
Sec. 5. Conditional permanent resident status.
Sec. 6. Retroactive benefits under this Act.
Sec. 7. Exclusive jurisdiction.
Sec. 8. Penalties for false statements in application.
Sec. 9. Confidentiality of information.
Sec. 10. Higher Education assistance.
Sec. 11. GAO report.

     SEC. 3. DEFINITIONS.

       In this Act:
       (1) Institution of higher education.--The term 
     ``institution of higher education'' has the meaning given 
     that term in section 101 of the Higher Education Act of 1965 
     (20 U.S.C. 1001).
       (2) Uniformed services.--The term ``uniformed services'' 
     has the meaning given that term in section 101(a) of title 
     10, United States Code.

     SEC. 4. CANCELLATION OF REMOVAL AND ADJUSTMENT OF STATUS OF 
                   CERTAIN LONG-TERM RESIDENTS WHO ENTERED THE 
                   UNITED STATES AS CHILDREN.

       (a) Special Rule for Certain Long-term Residents Who 
     Entered the United States as Children.--
       (1) In general.--Notwithstanding any other provision of law 
     and except as otherwise provided in this Act, the Secretary 
     of Homeland Security may cancel removal of, and adjust to the 
     status of an alien lawfully admitted for permanent residence, 
     subject to the conditional basis described in section 5, an 
     alien who is inadmissible or deportable from the United 
     States, if the alien demonstrates that--
       (A) the alien has been physically present in the United 
     States for a continuous period of not less than 5 years 
     immediately preceding the date of enactment of this Act and 
     was younger than 16 years of age on the date the alien 
     initially entered the United States;
       (B) the alien has been a person of good moral character 
     since the date of the enactment of this Act;
       (C) the alien--
       (i) is not inadmissible under paragraph (2), (3), (6)(E), 
     (10)(A), or (10)(C) of section 212(a) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)); and
       (ii) is not deportable under paragraph (1)(E), (2), or (4) 
     of section 237(a) of the Immigration and Nationality Act (8 
     U.S.C. 1227(a));
       (D) the alien--
       (i) has been admitted to an institution of higher education 
     in the United States; or
       (ii) has earned a high school diploma or obtained a general 
     education development certificate in the United States;
       (E) the alien has never been under a final administrative 
     or judicial order of exclusion, deportation, or removal, 
     unless the alien--
       (i) has remained in the United States under color of law 
     after such order was issued; or
       (ii) received the order before attaining the age of 16 
     years; and
       (F) the alien was younger than 35 years of age on the date 
     of the enactment of this Act.
       (2) Waiver.--Notwithstanding paragraph (1), the Secretary 
     of Homeland Security may waive the ground of ineligibility 
     under section 212(a)(6)(E) of the Immigration and Nationality 
     Act and the ground of deportability under paragraph (1)(E) of 
     section 237(a) of that Act for humanitarian purposes or 
     family unity or when it is otherwise in the public interest.
       (3) Procedures.--The Secretary of Homeland Security shall 
     provide a procedure by regulation allowing eligible 
     individuals to apply affirmatively for the relief available 
     under this subsection without being placed in removal 
     proceedings.
       (4) Deadline for submission of application.--An alien shall 
     submit an application for cancellation of removal or 
     adjustment of status under this subsection no later than the 
     date that is one year after the date the alien--
       (A) was admitted to an institution of higher education in 
     the United States; or
       (B) earned a high school diploma or obtained a general 
     education development certificate in the United States.
       (b) Termination of Continuous Period.--For purposes of this 
     section, any period of continuous residence or continuous 
     physical presence in the United States of an alien who 
     applies for cancellation of removal under this section shall 
     not terminate when the alien is served a notice to appear 
     under section 239(a) of the Immigration and Nationality Act 
     (8 U.S.C. 1229(a)).
       (c) Treatment of Certain Breaks in Presence.--
       (1) In general.--An alien shall be considered to have 
     failed to maintain continuous physical presence in the United 
     States under subsection (a) if the alien has departed from 
     the United States for any period in excess of 90 days or for 
     any periods in the aggregate exceeding 180 days.
       (2) Extensions for exceptional circumstances.--The 
     Secretary of Homeland

[[Page 17740]]

     Security may extend the time periods described in paragraph 
     (1) if the alien demonstrates that the failure to timely 
     return to the United States was due to exceptional 
     circumstances. The exceptional circumstances determined 
     sufficient to justify an extension should be no less 
     compelling than serious illness of the alien, or death or 
     serious illness of a parent, grandparent, sibling, or child.
       (d) Exemption From Numerical Limitations.--Nothing in this 
     section may be construed to apply a numerical limitation on 
     the number of aliens who may be eligible for cancellation of 
     removal or adjustment of status under this section.
       (e) Regulations.--
       (1) Proposed regulations.--Not later than 180 days after 
     the date of enactment of this Act, the Secretary of Homeland 
     Security shall publish proposed regulations implementing this 
     section. Such regulations shall be effective immediately on 
     an interim basis, but are subject to change and revision 
     after public notice and opportunity for a period for public 
     comment.
       (2) Interim, final regulations.--Within a reasonable time 
     after publication of the interim regulations in accordance 
     with paragraph (1), the Secretary of Homeland Security shall 
     publish final regulations implementing this section.
       (f) Removal of Alien.--The Secretary of Homeland Security 
     may not remove any alien who has a pending application for 
     conditional status under this Act.

     SEC. 5. CONDITIONAL PERMANENT RESIDENT STATUS.

       (a) In General.--
       (1) Conditional basis for status.--Notwithstanding any 
     other provision of law, and except as provided in section 6, 
     an alien whose status has been adjusted under section 4 to 
     that of an alien lawfully admitted for permanent residence 
     shall be considered to have obtained such status on a 
     conditional basis subject to the provisions of this section. 
     Such conditional permanent resident status shall be valid for 
     a period of 6 years, subject to termination under subsection 
     (b).
       (2) Notice of requirements.--
       (A) At time of obtaining permanent residence.--At the time 
     an alien obtains permanent resident status on a conditional 
     basis under paragraph (1), the Secretary of Homeland Security 
     shall provide for notice to the alien regarding the 
     provisions of this section and the requirements of subsection 
     (c) to have the conditional basis of such status removed.
       (B) Effect of failure to provide notice.--The failure of 
     the Secretary of Homeland Security to provide a notice under 
     this paragraph--
       (i) shall not affect the enforcement of the provisions of 
     this Act with respect to the alien; and
       (ii) shall not give rise to any private right of action by 
     the alien.
       (b) Termination of Status.--
       (1) In general.--The Secretary of Homeland Security shall 
     terminate the conditional permanent resident status of any 
     alien who obtained such status under this Act, if the 
     Secretary determines that the alien--
       (A) ceases to meet the requirements of subparagraph (B) or 
     (C) of section 4(a)(1);
       (B) has become a public charge; or
       (C) has received a dishonorable or other than honorable 
     discharge from the uniformed services.
       (2) Return to previous immigration status.--Any alien whose 
     conditional permanent resident status is terminated under 
     paragraph (1) shall return to the immigration status the 
     alien had immediately prior to receiving conditional 
     permanent resident status under this Act.
       (c) Requirements of Timely Petition for Removal of 
     Condition.--
       (1) In general.--In order for the conditional basis of 
     permanent resident status obtained by an alien under 
     subsection (a) to be removed, the alien must file with the 
     Secretary of Homeland Security, in accordance with paragraph 
     (3), a petition which requests the removal of such 
     conditional basis and which provides, under penalty of 
     perjury, the facts and information so that the Secretary may 
     make the determination described in paragraph (2)(A).
       (2) Adjudication of petition to remove condition.--
       (A) In general.--If a petition is filed in accordance with 
     paragraph (1) for an alien, the Secretary of Homeland 
     Security shall make a determination as to whether the alien 
     meets the requirements set out in subparagraphs (A) through 
     (E) of subsection (d)(1).
       (B) Removal of conditional basis if favorable 
     determination.--If the Secretary determines that the alien 
     meets such requirements, the Secretary shall notify the alien 
     of such determination and immediately remove the conditional 
     basis of the status of the alien.
       (C) Termination if adverse determination.--If the Secretary 
     determines that the alien does not meet such requirements, 
     the Secretary shall notify the alien of such determination 
     and terminate the conditional permanent resident status of 
     the alien as of the date of the determination.
       (3) Time to file petition.--An alien may petition to remove 
     the conditional basis to lawful resident status during the 
     period beginning 180 days before and ending 2 years after 
     either the date that is 6 years after the date of the 
     granting of conditional permanent resident status or any 
     other expiration date of the conditional permanent resident 
     status as extended by the Secretary of Homeland Security in 
     accordance with this Act. The alien shall be deemed in 
     conditional permanent resident status in the United States 
     during the period in which the petition is pending.
       (d) Details of Petition.--
       (1) Contents of petition.--Each petition for an alien under 
     subsection (c)(1) shall contain information to permit the 
     Secretary of Homeland Security to determine whether each of 
     the following requirements is met:
       (A) The alien has demonstrated good moral character during 
     the entire period the alien has been a conditional permanent 
     resident.
       (B) The alien is in compliance with section 4(a)(1)(C).
       (C) The alien has not abandoned the alien's residence in 
     the United States. The Secretary shall presume that the alien 
     has abandoned such residence if the alien is absent from the 
     United States for more than 365 days, in the aggregate, 
     during the period of conditional residence, unless the alien 
     demonstrates that the alien has not abandoned the alien's 
     residence. An alien who is absent from the United States due 
     to active service in the uniformed services has not abandoned 
     the alien's residence in the United States during the period 
     of such service.
       (D) The alien has completed at least 1 of the following:
       (i) The alien has acquired a degree from an institution of 
     higher education in the United States or has completed at 
     least 2 years, in good standing, in a program for a 
     bachelor's degree or higher degree in the United States.
       (ii) The alien has served in the uniformed services for at 
     least 2 years and, if discharged, has received an honorable 
     discharge.
       (E) The alien has provided a list of each secondary school 
     (as that term is defined in section 9101 of the Elementary 
     and Secondary Education Act of 1965 (20 U.S.C. 7801)) that 
     the alien attended in the United States.
       (2) Hardship exception.--
       (A) In general.--The Secretary of Homeland Security may, in 
     the Secretary's discretion, remove the conditional status of 
     an alien if the alien--
       (i) satisfies the requirements of subparagraphs (A), (B), 
     and (C) of paragraph (1);
       (ii) demonstrates compelling circumstances for the 
     inability to complete the requirements described in paragraph 
     (1)(D); and
       (iii) demonstrates that the alien's removal from the United 
     States would result in exceptional and extremely unusual 
     hardship to the alien or the alien's spouse, parent, or child 
     who is a citizen or a lawful permanent resident of the United 
     States.
       (B) Extension.--Upon a showing of good cause, the Secretary 
     of Homeland Security may extend the period of conditional 
     resident status for the purpose of completing the 
     requirements described in paragraph (1)(D).
       (e) Treatment of Period for Purposes of Naturalization.--
     For purposes of title III of the Immigration and Nationality 
     Act (8 U.S.C. 1401 et seq.), in the case of an alien who is 
     in the United States as a lawful permanent resident on a 
     conditional basis under this section, the alien shall be 
     considered to have been admitted as an alien lawfully 
     admitted for permanent residence and to be in the United 
     States as an alien lawfully admitted to the United States for 
     permanent residence. However, the conditional basis must be 
     removed before the alien may apply for naturalization.

     SEC. 6. RETROACTIVE BENEFITS UNDER THIS ACT.

       If, on the date of enactment of this Act, an alien has 
     satisfied all the requirements of subparagraphs (A) through 
     (E) of section 4(a)(1) and section 5(d)(1)(D), the Secretary 
     of Homeland Security may adjust the status of the alien to 
     that of a conditional resident in accordance with section 4. 
     The alien may petition for removal of such condition at the 
     end of the conditional residence period in accordance with 
     section 5(c) if the alien has met the requirements of 
     subparagraphs (A), (B), and (C) of section 5(d)(1) during the 
     entire period of conditional residence.

     SEC. 7. EXCLUSIVE JURISDICTION.

       (a) In General.--The Secretary of Homeland Security shall 
     have exclusive jurisdiction to determine eligibility for 
     relief under this Act, except where the alien has been placed 
     into deportation, exclusion, or removal proceedings either 
     prior to or after filing an application for relief under this 
     Act, in which case the Attorney General shall have exclusive 
     jurisdiction and shall assume all the powers and duties of 
     the Secretary until proceedings are terminated, or if a final 
     order of deportation, exclusion, or removal is entered the 
     Secretary shall resume all powers and duties delegated to the 
     Secretary under this Act.
       (b) Stay of Removal of Certain Aliens Enrolled in Primary 
     or Secondary School.--The Attorney General shall stay the 
     removal proceedings of any alien who--
       (1) meets all the requirements of subparagraphs (A), (B), 
     (C), and (E) of section 4(a)(1);
       (2) is at least 12 years of age; and
       (3) is enrolled full time in a primary or secondary school.

[[Page 17741]]

       (c) Employment.--An alien whose removal is stayed pursuant 
     to subsection (b) may be engaged in employment in the United 
     States consistent with the Fair Labor Standards Act (29 
     U.S.C. 201 et seq.) and State and local laws governing 
     minimum age for employment.
       (d) Lift of Stay.--The Attorney General shall lift the stay 
     granted pursuant to subsection (b) if the alien--
       (1) is no longer enrolled in a primary or secondary school; 
     or
       (2) ceases to meet the requirements of subsection (b)(1).

     SEC. 8. PENALTIES FOR FALSE STATEMENTS IN APPLICATION.

       Whoever files an application for relief under this Act and 
     willfully and knowingly falsifies, misrepresents, or conceals 
     a material fact or makes any false or fraudulent statement or 
     representation, or makes or uses any false writing or 
     document knowing the same to contain any false or fraudulent 
     statement or entry, shall be fined in accordance with title 
     18, United States Code, or imprisoned not more than 5 years, 
     or both.

     SEC. 9. CONFIDENTIALITY OF INFORMATION.

       (a) Prohibition.--Except as provided in subsection (b), no 
     officer or employee of the United States may--
       (1) use the information furnished by the applicant pursuant 
     to an application filed under this Act to initiate removal 
     proceedings against any persons identified in the 
     application;
       (2) make any publication whereby the information furnished 
     by any particular individual pursuant to an application under 
     this Act can be identified; or
       (3) permit anyone other than an officer or employee of the 
     United States Government or, in the case of applications 
     filed under this Act with a designated entity, that 
     designated entity, to examine applications filed under this 
     Act.
       (b) Required Disclosure.--The Attorney General or the 
     Secretary of Homeland Security shall provide the information 
     furnished under this section, and any other information 
     derived from such furnished information, to--
       (1) a duly recognized law enforcement entity in connection 
     with an investigation or prosecution of an offense described 
     in paragraph (2) or (3) of section 212(a) of the Immigration 
     and Nationality Act (8 U.S.C. 1182(a)), when such information 
     is requested in writing by such entity; or
       (2) an official coroner for purposes of affirmatively 
     identifying a deceased individual (whether or not such 
     individual is deceased as a result of a crime).
       (c) Penalty.--Whoever knowingly uses, publishes, or permits 
     information to be examined in violation of this section shall 
     be fined not more than $10,000.

     SEC. 10. HIGHER EDUCATION ASSISTANCE.

       Notwithstanding any provision of the Higher Education Act 
     of 1965 (20 U.S.C. 1001 et seq.), with respect to assistance 
     provided under title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1070 et seq.), an alien who adjusts status to that 
     of a lawful permanent resident under this Act shall be 
     eligible only for the following assistance under such title:
       (1) Student loans under parts B, D, and E of such title IV 
     (20 U.S.C. 1071 et seq., 1087a et seq., 1087aa et seq.), 
     subject to the requirements of such parts.
       (2) Federal work-study programs under part C of such title 
     IV (42 U.S.C. 2751 et seq.), subject to the requirements of 
     such part.
       (3) Services under such title IV (20 U.S.C. 1070 et seq.), 
     subject to the requirements for such services.

     SEC. 11. GAO REPORT.

       Not later than seven years after the date of enactment of 
     this Act, the Comptroller General of the United States shall 
     submit to the Committee on the Judiciary of the Senate and 
     the Committee on the Judiciary of the House of 
     Representatives a report setting forth--
       (1) the number of aliens who were eligible for cancellation 
     of removal and adjustment of status under section 4(a);
       (2) the number of aliens who applied for adjustment of 
     status under section 4(a);
       (3) the number of aliens who were granted adjustment of 
     status under section 4(a); and
       (4) the number of aliens whose conditional permanent 
     resident status was removed under section 5.
                                 ______
                                 
      By Mr. DURBIN (for himself, Mr. Leahy, and Mr. Lugar):
  S. 3963. A bill to authorize the cancellation of removal and 
adjustment of status of certain alien students who are long-term United 
States residents and who entered the United States as children and for 
other purposes; read the first time.
  Mr. DURBIN. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3963

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Development, Relief, and 
     Education for Alien Minors Act of 2010'' or the ``DREAM Act 
     of 2010''.

     SEC. 2. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.
Sec. 4. Cancellation of removal and adjustment of status of certain 
              long-term residents who entered the United States as 
              children.
Sec. 5. Conditional permanent resident status.
Sec. 6. Retroactive benefits under this Act.
Sec. 7. Exclusive jurisdiction.
Sec. 8. Penalties for false statements in application.
Sec. 9. Confidentiality of information.
Sec. 10. Higher Education assistance.
Sec. 11. GAO report.

     SEC. 3. DEFINITIONS.

       In this Act:
       (1) Institution of higher education.--The term 
     ``institution of higher education'' has the meaning given 
     that term in section 101 of the Higher Education Act of 1965 
     (20 U.S.C. 1001).
       (2) Uniformed services.--The term ``uniformed services'' 
     has the meaning given that term in section 101(a) of title 
     10, United States Code.

     SEC. 4. CANCELLATION OF REMOVAL AND ADJUSTMENT OF STATUS OF 
                   CERTAIN LONG-TERM RESIDENTS WHO ENTERED THE 
                   UNITED STATES AS CHILDREN.

       (a) Special Rule for Certain Long-term Residents Who 
     Entered the United States as Children.--
       (1) In general.--Notwithstanding any other provision of law 
     and except as otherwise provided in this Act, the Secretary 
     of Homeland Security may cancel removal of, and adjust to the 
     status of an alien lawfully admitted for permanent residence, 
     subject to the conditional basis described in section 5, an 
     alien who is inadmissible or deportable from the United 
     States, if the alien demonstrates that--
       (A) the alien has been physically present in the United 
     States for a continuous period of not less than 5 years 
     immediately preceding the date of enactment of this Act and 
     was younger than 16 years of age on the date the alien 
     initially entered the United States;
       (B) the alien has been a person of good moral character 
     since the date of the enactment of this Act;
       (C) the alien--
       (i) is not inadmissible under paragraph (2), (3), (6)(E), 
     (10)(A), or (10)(C) of section 212(a) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)); and
       (ii) is not deportable under paragraph (1)(E), (2), or (4) 
     of section 237(a) of the Immigration and Nationality Act (8 
     U.S.C. 1227(a));
       (D) the alien--
       (i) has been admitted to an institution of higher education 
     in the United States; or
       (ii) has earned a high school diploma or obtained a general 
     education development certificate in the United States;
       (E) the alien has never been under a final administrative 
     or judicial order of exclusion, deportation, or removal, 
     unless the alien--
       (i) has remained in the United States under color of law 
     after such order was issued; or
       (ii) received the order before attaining the age of 16 
     years; and
       (F) the alien was younger than 30 years of age on the date 
     of the enactment of this Act.
       (2) Waiver.--Notwithstanding paragraph (1), the Secretary 
     of Homeland Security may waive the ground of ineligibility 
     under section 212(a)(6)(E) of the Immigration and Nationality 
     Act and the ground of deportability under paragraph (1)(E) of 
     section 237(a) of that Act for humanitarian purposes or 
     family unity or when it is otherwise in the public interest.
       (3) Procedures.--The Secretary of Homeland Security shall 
     provide a procedure by regulation allowing eligible 
     individuals to apply affirmatively for the relief available 
     under this subsection without being placed in removal 
     proceedings.
       (4) Deadline for submission of application.--An alien shall 
     submit an application for cancellation of removal or 
     adjustment of status under this subsection no later than the 
     date that is one year after the date the alien--
       (A) was admitted to an institution of higher education in 
     the United States; or
       (B) earned a high school diploma or obtained a general 
     education development certificate in the United States.
       (b) Termination of Continuous Period.--For purposes of this 
     section, any period of continuous residence or continuous 
     physical presence in the United States of an alien who 
     applies for cancellation of removal under this section shall 
     not terminate when the alien is served a notice to appear 
     under section 239(a) of the Immigration and Nationality Act 
     (8 U.S.C. 1229(a)).
       (c) Treatment of Certain Breaks in Presence.--
       (1) In general.--An alien shall be considered to have 
     failed to maintain continuous physical presence in the United 
     States under subsection (a) if the alien has departed from 
     the United States for any period in excess of 90 days or for 
     any periods in the aggregate exceeding 180 days.

[[Page 17742]]

       (2) Extensions for exceptional circumstances.--The 
     Secretary of Homeland Security may extend the time periods 
     described in paragraph (1) if the alien demonstrates that the 
     failure to timely return to the United States was due to 
     exceptional circumstances. The exceptional circumstances 
     determined sufficient to justify an extension should be no 
     less compelling than serious illness of the alien, or death 
     or serious illness of a parent, grandparent, sibling, or 
     child.
       (d) Exemption From Numerical Limitations.--Nothing in this 
     section may be construed to apply a numerical limitation on 
     the number of aliens who may be eligible for cancellation of 
     removal or adjustment of status under this section.
       (e) Regulations.--
       (1) Proposed regulations.--Not later than 180 days after 
     the date of enactment of this Act, the Secretary of Homeland 
     Security shall publish proposed regulations implementing this 
     section. Such regulations shall be effective immediately on 
     an interim basis, but are subject to change and revision 
     after public notice and opportunity for a period for public 
     comment.
       (2) Interim, final regulations.--Within a reasonable time 
     after publication of the interim regulations in accordance 
     with paragraph (1), the Secretary of Homeland Security shall 
     publish final regulations implementing this section.
       (f) Removal of Alien.--The Secretary of Homeland Security 
     may not remove any alien who has a pending application for 
     conditional status under this Act.

     SEC. 5. CONDITIONAL PERMANENT RESIDENT STATUS.

       (a) In General.--
       (1) Conditional basis for status.--Notwithstanding any 
     other provision of law, and except as provided in section 6, 
     an alien whose status has been adjusted under section 4 to 
     that of an alien lawfully admitted for permanent residence 
     shall be considered to have obtained such status on a 
     conditional basis subject to the provisions of this section. 
     Such conditional permanent resident status shall be valid for 
     a period of 6 years, subject to termination under subsection 
     (b).
       (2) Notice of requirements.--
       (A) At time of obtaining permanent residence.--At the time 
     an alien obtains permanent resident status on a conditional 
     basis under paragraph (1), the Secretary of Homeland Security 
     shall provide for notice to the alien regarding the 
     provisions of this section and the requirements of subsection 
     (c) to have the conditional basis of such status removed.
       (B) Effect of failure to provide notice.--The failure of 
     the Secretary of Homeland Security to provide a notice under 
     this paragraph--
       (i) shall not affect the enforcement of the provisions of 
     this Act with respect to the alien; and
       (ii) shall not give rise to any private right of action by 
     the alien.
       (b) Termination of Status.--
       (1) In general.--The Secretary of Homeland Security shall 
     terminate the conditional permanent resident status of any 
     alien who obtained such status under this Act, if the 
     Secretary determines that the alien--
       (A) ceases to meet the requirements of subparagraph (B) or 
     (C) of section 4(a)(1);
       (B) has become a public charge; or
       (C) has received a dishonorable or other than honorable 
     discharge from the uniformed services.
       (2) Return to previous immigration status.--Any alien whose 
     conditional permanent resident status is terminated under 
     paragraph (1) shall return to the immigration status the 
     alien had immediately prior to receiving conditional 
     permanent resident status under this Act.
       (c) Requirements of Timely Petition for Removal of 
     Condition.--
       (1) In general.--In order for the conditional basis of 
     permanent resident status obtained by an alien under 
     subsection (a) to be removed, the alien must file with the 
     Secretary of Homeland Security, in accordance with paragraph 
     (3), a petition which requests the removal of such 
     conditional basis and which provides, under penalty of 
     perjury, the facts and information so that the Secretary may 
     make the determination described in paragraph (2)(A).
       (2) Adjudication of petition to remove condition.--
       (A) In general.--If a petition is filed in accordance with 
     paragraph (1) for an alien, the Secretary of Homeland 
     Security shall make a determination as to whether the alien 
     meets the requirements set out in subparagraphs (A) through 
     (E) of subsection (d)(1).
       (B) Removal of conditional basis if favorable 
     determination.--If the Secretary determines that the alien 
     meets such requirements, the Secretary shall notify the alien 
     of such determination and immediately remove the conditional 
     basis of the status of the alien.
       (C) Termination if adverse determination.--If the Secretary 
     determines that the alien does not meet such requirements, 
     the Secretary shall notify the alien of such determination 
     and terminate the conditional permanent resident status of 
     the alien as of the date of the determination.
       (3) Time to file petition.--An alien may petition to remove 
     the conditional basis to lawful resident status during the 
     period beginning 180 days before and ending 2 years after 
     either the date that is 6 years after the date of the 
     granting of conditional permanent resident status or any 
     other expiration date of the conditional permanent resident 
     status as extended by the Secretary of Homeland Security in 
     accordance with this Act. The alien shall be deemed in 
     conditional permanent resident status in the United States 
     during the period in which the petition is pending.
       (d) Details of Petition.--
       (1) Contents of petition.--Each petition for an alien under 
     subsection (c)(1) shall contain information to permit the 
     Secretary of Homeland Security to determine whether each of 
     the following requirements is met:
       (A) The alien has demonstrated good moral character during 
     the entire period the alien has been a conditional permanent 
     resident.
       (B) The alien is in compliance with section 4(a)(1)(C).
       (C) The alien has not abandoned the alien's residence in 
     the United States. The Secretary shall presume that the alien 
     has abandoned such residence if the alien is absent from the 
     United States for more than 365 days, in the aggregate, 
     during the period of conditional residence, unless the alien 
     demonstrates that the alien has not abandoned the alien's 
     residence. An alien who is absent from the United States due 
     to active service in the uniformed services has not abandoned 
     the alien's residence in the United States during the period 
     of such service.
       (D) The alien has completed at least 1 of the following:
       (i) The alien has acquired a degree from an institution of 
     higher education in the United States or has completed at 
     least 2 years, in good standing, in a program for a 
     bachelor's degree or higher degree in the United States.
       (ii) The alien has served in the uniformed services for at 
     least 2 years and, if discharged, has received an honorable 
     discharge.
       (E) The alien has provided a list of each secondary school 
     (as that term is defined in section 9101 of the Elementary 
     and Secondary Education Act of 1965 (20 U.S.C. 7801)) that 
     the alien attended in the United States.
       (2) Hardship exception.--
       (A) In general.--The Secretary of Homeland Security may, in 
     the Secretary's discretion, remove the conditional status of 
     an alien if the alien--
       (i) satisfies the requirements of subparagraphs (A), (B), 
     and (C) of paragraph (1);
       (ii) demonstrates compelling circumstances for the 
     inability to complete the requirements described in paragraph 
     (1)(D); and
       (iii) demonstrates that the alien's removal from the United 
     States would result in exceptional and extremely unusual 
     hardship to the alien or the alien's spouse, parent, or child 
     who is a citizen or a lawful permanent resident of the United 
     States.
       (B) Extension.--Upon a showing of good cause, the Secretary 
     of Homeland Security may extend the period of conditional 
     resident status for the purpose of completing the 
     requirements described in paragraph (1)(D).
       (e) Treatment of Period for Purposes of Naturalization.--
     For purposes of title III of the Immigration and Nationality 
     Act (8 U.S.C. 1401 et seq.), in the case of an alien who is 
     in the United States as a lawful permanent resident on a 
     conditional basis under this section, the alien shall be 
     considered to have been admitted as an alien lawfully 
     admitted for permanent residence and to be in the United 
     States as an alien lawfully admitted to the United States for 
     permanent residence. However, the conditional basis must be 
     removed before the alien may apply for naturalization.

     SEC. 6. RETROACTIVE BENEFITS UNDER THIS ACT.

       If, on the date of enactment of this Act, an alien has 
     satisfied all the requirements of subparagraphs (A) through 
     (E) of section 4(a)(1) and section 5(d)(1)(D), the Secretary 
     of Homeland Security may adjust the status of the alien to 
     that of a conditional resident in accordance with section 4. 
     The alien may petition for removal of such condition at the 
     end of the conditional residence period in accordance with 
     section 5(c) if the alien has met the requirements of 
     subparagraphs (A), (B), and (C) of section 5(d)(1) during the 
     entire period of conditional residence.

     SEC. 7. EXCLUSIVE JURISDICTION.

       (a) In General.--The Secretary of Homeland Security shall 
     have exclusive jurisdiction to determine eligibility for 
     relief under this Act, except where the alien has been placed 
     into deportation, exclusion, or removal proceedings either 
     prior to or after filing an application for relief under this 
     Act, in which case the Attorney General shall have exclusive 
     jurisdiction and shall assume all the powers and duties of 
     the Secretary until proceedings are terminated, or if a final 
     order of deportation, exclusion, or removal is entered the 
     Secretary shall resume all powers and duties delegated to the 
     Secretary under this Act.
       (b) Stay of Removal of Certain Aliens Enrolled in Primary 
     or Secondary School.--The Attorney General shall stay the 
     removal proceedings of any alien who--
       (1) meets all the requirements of subparagraphs (A), (B), 
     (C), and (E) of section 4(a)(1);
       (2) is at least 12 years of age; and
       (3) is enrolled full time in a primary or secondary school.

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       (c) Employment.--An alien whose removal is stayed pursuant 
     to subsection (b) may be engaged in employment in the United 
     States consistent with the Fair Labor Standards Act (29 
     U.S.C. 201 et seq.) and State and local laws governing 
     minimum age for employment.
       (d) Lift of Stay.--The Attorney General shall lift the stay 
     granted pursuant to subsection (b) if the alien--
       (1) is no longer enrolled in a primary or secondary school; 
     or
       (2) ceases to meet the requirements of subsection (b)(1).

     SEC. 8. PENALTIES FOR FALSE STATEMENTS IN APPLICATION.

       Whoever files an application for relief under this Act and 
     willfully and knowingly falsifies, misrepresents, or conceals 
     a material fact or makes any false or fraudulent statement or 
     representation, or makes or uses any false writing or 
     document knowing the same to contain any false or fraudulent 
     statement or entry, shall be fined in accordance with title 
     18, United States Code, or imprisoned not more than 5 years, 
     or both.

     SEC. 9. CONFIDENTIALITY OF INFORMATION.

       (a) Prohibition.--Except as provided in subsection (b), no 
     officer or employee of the United States may--
       (1) use the information furnished by the applicant pursuant 
     to an application filed under this Act to initiate removal 
     proceedings against any persons identified in the 
     application;
       (2) make any publication whereby the information furnished 
     by any particular individual pursuant to an application under 
     this Act can be identified; or
       (3) permit anyone other than an officer or employee of the 
     United States Government or, in the case of applications 
     filed under this Act with a designated entity, that 
     designated entity, to examine applications filed under this 
     Act.
       (b) Required Disclosure.--The Attorney General or the 
     Secretary of Homeland Security shall provide the information 
     furnished under this section, and any other information 
     derived from such furnished information, to--
       (1) a duly recognized law enforcement entity in connection 
     with an investigation or prosecution of an offense described 
     in paragraph (2) or (3) of section 212(a) of the Immigration 
     and Nationality Act (8 U.S.C. 1182(a)), when such information 
     is requested in writing by such entity; or
       (2) an official coroner for purposes of affirmatively 
     identifying a deceased individual (whether or not such 
     individual is deceased as a result of a crime).
       (c) Penalty.--Whoever knowingly uses, publishes, or permits 
     information to be examined in violation of this section shall 
     be fined not more than $10,000.

     SEC. 10. HIGHER EDUCATION ASSISTANCE.

       Notwithstanding any provision of the Higher Education Act 
     of 1965 (20 U.S.C. 1001 et seq.), with respect to assistance 
     provided under title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1070 et seq.), an alien who adjusts status to that 
     of a lawful permanent resident under this Act shall be 
     eligible only for the following assistance under such title:
       (1) Student loans under parts B, D, and E of such title IV 
     (20 U.S.C. 1071 et seq., 1087a et seq., 1087aa et seq.), 
     subject to the requirements of such parts.
       (2) Federal work-study programs under part C of such title 
     IV (42 U.S.C. 2751 et seq.), subject to the requirements of 
     such part.
       (3) Services under such title IV (20 U.S.C. 1070 et seq.), 
     subject to the requirements for such services.

     SEC. 11. GAO REPORT.

       Not later than seven years after the date of enactment of 
     this Act, the Comptroller General of the United States shall 
     submit to the Committee on the Judiciary of the Senate and 
     the Committee on the Judiciary of the House of 
     Representatives a report setting forth--
       (1) the number of aliens who were eligible for cancellation 
     of removal and adjustment of status under section 4(a);
       (2) the number of aliens who applied for adjustment of 
     status under section 4(a);
       (3) the number of aliens who were granted adjustment of 
     status under section 4(a); and
       (4) the number of aliens whose conditional permanent 
     resident status was removed under section 5.

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