[Congressional Record (Bound Edition), Volume 161 (2015), Part 14]
[Senate]
[Pages 19500-19544]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2891. Mrs. SHAHEEN (for herself, Mr. Wyden, and Mrs. Murray) 
submitted an amendment intended to be proposed to amendment SA 2874 
proposed by Mr. McConnell to the bill H.R. 3762, to provide for 
reconciliation pursuant to section 2002 of the concurrent resolution on 
the budget for fiscal year 2016; which was ordered to lie on the table; 
as follows:

       At the appropriate place, insert the following:

     SEC. __. MENTAL HEALTH AND SUBSTANCE USE PREVENTION AND 
                   TREATMENT.

       (a) Applicability of Mental Health Parity and Addiction 
     Equity.--Section 1311(j) of the Patient Protection and 
     Affordable Care Act (42 U.S.C. 18031(j)) is amended to read 
     as follows:
       ``(j) Applicability of Mental Health Parity and Addiction 
     Equity.--
       ``(1) In general.--Section 2726 of the Public Health 
     Service Act shall apply to qualified health plans in the same 
     manner and to the same extent as such section applies to 
     health insurance issuers and group health plans.
       ``(2) Transparency of claims denial.--
       ``(A) In general.--The Secretary shall require an Exchange 
     to collect data on the percentage of health insurance claims 
     denied for mental health benefits and the percentage of such 
     claims denied for substance use disorder benefits. Such 
     Exchange shall maintain an Internet website for the 
     publication of claims denial rates for all qualified health 
     plans offering coverage on the exchange.
       ``(B) Grants to support transparency.--For purposes of 
     implementing this paragraph, there is authorized to be 
     appropriated, and there is appropriated, $5,000,000 to enable 
     the Secretary to award grants, contracts, or cooperative 
     agreements to appropriate entities or Exchanges.
       ``(3) Improving mental health and addiction equity 
     awareness.--
       ``(A) In general.--The Secretary shall award grants, 
     contracts, or cooperative agreements to appropriate entities 
     or Exchanges for the establishment of public education 
     programs to raise awareness about the availability of mental 
     health and substance use disorder benefits within qualified 
     health plans.
       ``(B) Grants to support public education.--For purposes of 
     implementing this paragraph, there is authorized to be 
     appropriated, and there is appropriated, $30,000,000 to 
     enable the Secretary to award grants, contracts, or 
     cooperative agreements to appropriate entities or Exchanges.
       ``(4) Access to medication assisted therapy.--
       ``(A) Requirement.--A qualified health plan shall provide 
     coverage for more than one Food and Drug Administration-
     approved drug that is used in the medication-assisted 
     treatment of addiction.
       ``(B) No lifetime limits.--A qualified health plan shall 
     not establish a lifetime limit on the coverage of Food and 
     Drug Administration-approved drugs used in the medication-
     assisted treatment of addiction.
       ``(C) Medical justification for treatment limitations.--
     Upon the request of an Exchange, a qualified health plan 
     shall provide the medical justification for any treatment 
     limitation on the coverage of drugs for medication-assisted 
     treatment of addiction. If a qualified health plan requires 
     prior authorization as a treatment limitation on the coverage 
     of drugs for medication-assisted treatment of addiction, such 
     plans shall utilize an automated, electronic means of 
     obtaining prior authorization.
       ``(D) Grants.--The Secretary shall award grants, contracts, 
     or cooperative agreements to support the establishment of a 
     standardized system for electronic prior authorization for 
     coverage of drugs for medication assisted treatment of 
     addiction. For purposes of implementing this subparagraph, 
     there is authorized to be appropriated, and there is

[[Page 19501]]

     appropriated, $5,000,000 to enable the Secretary to ward 
     grants, contracts, or cooperative agreements to appropriate 
     entities.''.
       (b) Full Repeal of IMD Exclusion in Medicaid Expansion 
     States.--
       (1) In general.--The first sentence of section 1905 of the 
     Social Security Act (42 U.S.C. 1396d) is amended--
       (A) in subsection (a)(29), by inserting ``and subsection 
     (ee)''; and
       (B) by adding at the end the following:
       ``(ee) Nonapplication of IMD Exclusion in Medicaid 
     Expansion States.--Beginning January 1, 2016, in the case of 
     a State that makes medical assistance available pursuant to 
     section 1902(a)(10)(A)(i)(VIII) to individuals described in 
     such section--
       ``(1) the payments exclusion in subsection (a)(29)(B) shall 
     not apply to the State; and
       ``(2) the following provisions shall be applied to the 
     State as if `65 years of age or older' and `65 years of age 
     or over' were struck from such provisions each place such 
     phrases appear:
       ``(A) Paragraphs (20) and (21) of section 1902(a).
       ``(B) Subsection(a)(14).
       ``(C) Section 1919(d)(7)(B)(i)(I).''.
       (c) Improving Access to Assertive Community Treatment 
     Programs for Medicaid Beneficiaries.--Effective January 1, 
     2016, section 1903(a)(3) of the Social Security Act (42 
     U.S.C. 1396a(a)(3)) is amended by inserting after 
     subparagraph (F) the following:
       ``(G)(i) 90 percent of so much of the sums expended during 
     such quarter as are attributable to payments made for items 
     and services provided to individuals who are eligible for 
     medical assistance under the State plan by Assertive 
     Community Treatment (ACT) programs that provide integrated, 
     evidence-based treatment, rehabilitation, case management, 
     and support services for individuals with serious mental 
     illness; and''.
       (d) Improving Access to Medication Assisted Treatment for 
     Medicaid Beneficiaries.--Effective January 1, 2016, section 
     1903(a)(3)(G) of the Social Security Act (42 U.S.C. 
     1396a(a)(3)(G)), as added by section 3, is amended by adding 
     at the end the following:
       ``(ii) 90 percent of so much of the sums expended during 
     such quarter as are attributable to payments made for items 
     and services provided to individuals who are eligible for 
     medical assistance under the State plan by person-centered 
     health homes that are focused on the treatment of substance 
     use disorders, offer access to evidence-based behavioral 
     health therapies and medication assistance treatment, and 
     offer screening and management of co-occurring physical 
     health issues and screening and management of co-occurring 
     mental health issues; and''.
       (e) Supporting State Sterile Syringe Exchange Programs.--
     Effective January 1, 2016, section 1903(a)(3)(G) of the 
     Social Security Act (42 U.S.C. 1396a(a)(3)(G)), as added by 
     section 3 and amended by section 4, is amended by adding at 
     the end the following:
       ``(iii) 90 percent of so much of the sums expended during 
     such quarter as are attributable to payments for sterile 
     syringe exchange programs (without regard to whether a 
     recipient of items and services under such a program is 
     eligible for medical assistance under the State plan or 
     otherwise has health insurance coverage); plus''.
       (f) Improving the Public Health Response to the Substance 
     Use Disorder Epidemic.--
       (1) Purpose.--It is the purpose of this subsection to 
     establish a new Substance Use and Mental Health Capacity 
     Expansion Fund (referred to in this subsection as the 
     ``Fund''), to be administered through the Department of 
     Health and Human Services, to provide for an expanded and 
     sustained national investment in the prevention and treatment 
     of individuals with substance use disorders and mental 
     illnesses.
       (2) Funding.--There is authorized to be appropriated, and 
     there is appropriated, to the Fund, out of any monies in the 
     Treasury not otherwise appropriated--
       (A) for fiscal year 2016, $500,000,000;
       (B) for fiscal year 2017, $750,000,000;
       (C) for fiscal year 2018, $1,000,000,000;
       (D) for fiscal year 2019, $1,250,000,000;
       (E) for fiscal year 2020, $1,500,000,000; and
       (F) for fiscal year 2021 and each fiscal year thereafter, 
     $2,500,000,000.
       (3) Use of fund.--The Secretary of Health and Human 
     Services shall transfer amounts in the Fund to accounts 
     serving the Block Grants for Prevention and Treatment of 
     Substance Abuse program under subpart II of part B of title 
     XIX of the Public Health Service Act (42 U.S.C. 300x-21 et 
     seq.) and the Block Grants for Community Mental Health 
     Services program under subpart I of part B of title XIX of 
     the Public Health Service Act (42 U.S.C. 300x et seq.). The 
     Fund shall be used to supplement, not supplant, funding that 
     is otherwise allocated to such programs.
       (4) Sterile syringe exchange programs.--With respect to 
     fiscal year 2016, and each subsequent fiscal year, in the 
     case of a State that operates a sterile syringe exchange 
     program, the Secretary shall use the funds appropriated in 
     this section to increase such State's allotment under subpart 
     II of part B of title XIX of the Public Health Service Act 
     for such fiscal year, by 5 percent.

     SEC. __. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the


[[Page 19502]]

      Internal Revenue Code of 1986 is amended by adding at the 
     end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. __. MODIFICATION OF LIMITATION ON EXCESSIVE 
                   REMUNERATION.

       (a) Repeal of Performance-based Compensation and Commission 
     Exceptions for Limitation on Excessive Remuneration.--
       (1) In general.--Paragraph (4) of section 162(m) of the 
     Internal Revenue Code of 1986 is amended by striking 
     subparagraphs (B) and (C) and by redesignating subparagraphs 
     (D) through (G) as subparagraphs (B) through (E), 
     respectively.
       (2) Conforming amendments.--
       (A) Section 162(m)(5) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (E) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (B) Section 162(m)(6) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (D) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (b) Expansion of Applicable Employer.--Paragraph (2) of 
     section 162(m) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(2) Publicly held corporation.--For purposes of this 
     subsection, the term `publicly held corporation' means any 
     corporation which is an issuer (as defined in section 3 of 
     the Securities Exchange Act of 1934 (15 U.S.C. 78c))--
       ``(A) the securities of which are registered under section 
     12 of such Act (15 U.S.C. 78l), or
       ``(B) that is required to file reports under section 15(d) 
     of such Act (15 U.S.C. 78o(d)).''.
       (c) Application to All Current and Former Officers, 
     Directors, and Employees.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986, as amended by subsection (a), is amended--
       (A) by striking ``covered employee'' each place it appears 
     in paragraphs (1) and (4) and inserting ``covered 
     individual'', and
       (B) by striking ``such employee'' each place it appears in 
     subparagraphs (A) and (E) of paragraph (4) and inserting 
     ``such individual''.
       (2) Covered individual.--Paragraph (3) of section 162(m) of 
     such Code is amended to read as follows:
       ``(3) Covered individual.--For purposes of this subsection, 
     the term `covered individual' means any individual who is an 
     officer, director, or employee of the taxpayer or a former 
     officer, director, or employee of the taxpayer.''.
       (3) Conforming amendments.--
       (A) Section 48D(b)(3)(A) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (B) Section 409A(b)(3)(D)(ii) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (d) Special Rule for Remuneration Paid to Beneficiaries, 
     etc.--Paragraph (4) of section 162(m), as amended by 
     subsection (a), is amended by adding at the end the following 
     new subparagraph:
       ``(F) Special rule for remuneration paid to beneficiaries, 
     etc.--Remuneration shall not fail to be applicable employee 
     remuneration merely because it is includible in the income 
     of, or paid to, a person other than the covered individual, 
     including after the death of the covered individual.''.
       (e) Regulatory Authority.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(7) Regulations.--The Secretary may prescribe such 
     guidance, rules, or regulations, including with respect to 
     reporting, as are necessary to carry out the purposes of this 
     subsection.''.
       (2) Conforming amendment.--Paragraph (6) of section 162(m) 
     of such Code is amended by striking subparagraph (H).
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. ___. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or
       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after May 8, 2014, the direct or 
     indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on May 8, 2014, 
     except that the Secretary may issue regulations increasing 
     the threshold percent in any of the tests under such 
     regulations for determining if business activities constitute 
     substantial business activities for purposes of this 
     paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before May 9, 2014,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after May 8, 2014.
                                 ______
                                 
  SA 2892. Mrs. SHAHEEN (for herself, Mr. Wyden, Mrs. Murray, and Ms. 
Stabenow) submitted an amendment intended to be proposed to amendment 
SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to provide for 
reconciliation pursuant to section 2002 of the concurrent resolution on 
the budget for fiscal year 2016; as follows:

       At the appropriate place, insert the following:

     SEC. __. MENTAL HEALTH AND SUBSTANCE USE PREVENTION AND 
                   TREATMENT.

       (a) Applicability of Mental Health Parity and Addiction 
     Equity.--Section 1311(j) of the Patient Protection and 
     Affordable Care Act (42 U.S.C. 18031(j)) is amended to read 
     as follows:
       ``(j) Applicability of Mental Health Parity and Addiction 
     Equity.--
       ``(1) In general.--Section 2726 of the Public Health 
     Service Act shall apply to qualified health plans in the same 
     manner and to the same extent as such section applies to 
     health insurance issuers and group health plans.
       ``(2) Transparency of claims denial.--
       ``(A) In general.--The Secretary shall require an Exchange 
     to collect data on the percentage of health insurance claims 
     denied for mental health benefits and the percentage of such 
     claims denied for substance use disorder benefits. Such 
     Exchange shall maintain an Internet website for the 
     publication of claims denial rates for all qualified health 
     plans offering coverage on the exchange.
       ``(B) Grants to support transparency.--For purposes of 
     implementing this paragraph, there is authorized to be 
     appropriated, and there is appropriated, $5,000,000 to enable 
     the Secretary to award grants, contracts, or cooperative 
     agreements to appropriate entities or Exchanges.
       ``(3) Improving mental health and addiction equity 
     awareness.--
       ``(A) In general.--The Secretary shall award grants, 
     contracts, or cooperative agreements to appropriate entities 
     or Exchanges for the establishment of public education 
     programs to raise awareness about the availability of mental 
     health and substance use disorder benefits within qualified 
     health plans.

[[Page 19503]]

       ``(B) Grants to support public education.--For purposes of 
     implementing this paragraph, there is authorized to be 
     appropriated, and there is appropriated, $30,000,000 to 
     enable the Secretary to award grants, contracts, or 
     cooperative agreements to appropriate entities or Exchanges.
       ``(4) Access to medication assisted therapy.--
       ``(A) Requirement.--A qualified health plan shall provide 
     coverage for more than one Food and Drug Administration-
     approved drug that is used in the medication-assisted 
     treatment of addiction.
       ``(B) No lifetime limits.--A qualified health plan shall 
     not establish a lifetime limit on the coverage of Food and 
     Drug Administration-approved drugs used in the medication-
     assisted treatment of addiction.
       ``(C) Medical justification for treatment limitations.--
     Upon the request of an Exchange, a qualified health plan 
     shall provide the medical justification for any treatment 
     limitation on the coverage of drugs for medication-assisted 
     treatment of addiction. If a qualified health plan requires 
     prior authorization as a treatment limitation on the coverage 
     of drugs for medication-assisted treatment of addiction, such 
     plans shall utilize an automated, electronic means of 
     obtaining prior authorization.
       ``(D) Grants.--The Secretary shall award grants, contracts, 
     or cooperative agreements to support the establishment of a 
     standardized system for electronic prior authorization for 
     coverage of drugs for medication assisted treatment of 
     addiction. For purposes of implementing this subparagraph, 
     there is authorized to be appropriated, and there is 
     appropriated, $5,000,000 to enable the Secretary to ward 
     grants, contracts, or cooperative agreements to appropriate 
     entities.''.
       (b) Full Repeal of IMD Exclusion in Medicaid Expansion 
     States.--
       (1) In general.--The first sentence of section 1905 of the 
     Social Security Act (42 U.S.C. 1396d) is amended--
       (A) in subsection (a)(29), by inserting ``and subsection 
     (ee)''; and
       (B) by adding at the end the following:
       ``(ee) Nonapplication of IMD Exclusion in Medicaid 
     Expansion States.--Beginning January 1, 2016, in the case of 
     a State that makes medical assistance available pursuant to 
     section 1902(a)(10)(A)(i)(VIII) to individuals described in 
     such section--
       ``(1) the payments exclusion in subsection (a)(29)(B) shall 
     not apply to the State; and
       ``(2) the following provisions shall be applied to the 
     State as if `65 years of age or older' and `65 years of age 
     or over' were struck from such provisions each place such 
     phrases appear:
       ``(A) Paragraphs (20) and (21) of section 1902(a).
       ``(B) Subsection(a)(14).
       ``(C) Section 1919(d)(7)(B)(i)(I).''.
       (c) Improving Access to Assertive Community Treatment 
     Programs for Medicaid Beneficiaries.--Effective January 1, 
     2016, section 1903(a)(3) of the Social Security Act (42 
     U.S.C. 1396a(a)(3)) is amended by inserting after 
     subparagraph (F) the following:
       ``(G)(i) 90 percent of so much of the sums expended during 
     such quarter as are attributable to payments made for items 
     and services provided to individuals who are eligible for 
     medical assistance under the State plan by Assertive 
     Community Treatment (ACT) programs that provide integrated, 
     evidence-based treatment, rehabilitation, case management, 
     and support services for individuals with serious mental 
     illness; and''.
       (d) Improving Access to Medication Assisted Treatment for 
     Medicaid Beneficiaries.--Effective January 1, 2016, section 
     1903(a)(3)(G) of the Social Security Act (42 U.S.C. 
     1396a(a)(3)(G)), as added by section 3, is amended by adding 
     at the end the following:
       ``(ii) 90 percent of so much of the sums expended during 
     such quarter as are attributable to payments made for items 
     and services provided to individuals who are eligible for 
     medical assistance under the State plan by person-centered 
     health homes that are focused on the treatment of substance 
     use disorders, offer access to evidence-based behavioral 
     health therapies and medication assistance treatment, and 
     offer screening and management of co-occurring physical 
     health issues and screening and management of co-occurring 
     mental health issues; and''.
       (e) Supporting State Sterile Syringe Exchange Programs.--
     Effective January 1, 2016, section 1903(a)(3)(G) of the 
     Social Security Act (42 U.S.C. 1396a(a)(3)(G)), as added by 
     section 3 and amended by section 4, is amended by adding at 
     the end the following:
       ``(iii) 90 percent of so much of the sums expended during 
     such quarter as are attributable to payments for sterile 
     syringe exchange programs (without regard to whether a 
     recipient of items and services under such a program is 
     eligible for medical assistance under the State plan or 
     otherwise has health insurance coverage); plus''.
       (f) Improving the Public Health Response to the Substance 
     Use Disorder Epidemic.--
       (1) Purpose.--It is the purpose of this subsection to 
     establish a new Substance Use and Mental Health Capacity 
     Expansion Fund (referred to in this subsection as the 
     ``Fund''), to be administered through the Department of 
     Health and Human Services, to provide for an expanded and 
     sustained national investment in the prevention and treatment 
     of individuals with substance use disorders and mental 
     illnesses.
       (2) Funding.--There is authorized to be appropriated, and 
     there is appropriated, to the Fund, out of any monies in the 
     Treasury not otherwise appropriated--
       (A) for fiscal year 2016, $500,000,000;
       (B) for fiscal year 2017, $750,000,000;
       (C) for fiscal year 2018, $1,000,000,000;
       (D) for fiscal year 2019, $1,250,000,000;
       (E) for fiscal year 2020, $1,500,000,000; and
       (F) for fiscal year 2021 and each fiscal year thereafter, 
     $2,500,000,000.
       (3) Use of fund.--The Secretary of Health and Human 
     Services shall transfer amounts in the Fund to accounts 
     serving the Block Grants for Prevention and Treatment of 
     Substance Abuse program under subpart II of part B of title 
     XIX of the Public Health Service Act (42 U.S.C. 300x-21 et 
     seq.) and the Block Grants for Community Mental Health 
     Services program under subpart I of part B of title XIX of 
     the Public Health Service Act (42 U.S.C. 300x et seq.). The 
     Fund shall be used to supplement, not supplant, funding that 
     is otherwise allocated to such programs.
       (4) Sterile syringe exchange programs.--With respect to 
     fiscal year 2016, and each subsequent fiscal year, in the 
     case of a State that operates a sterile syringe exchange 
     program, the Secretary shall use the funds appropriated in 
     this section to increase such State's allotment under subpart 
     II of part B of title XIX of the Public Health Service Act 
     for such fiscal year, by 5 percent.

     SEC. __. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar

[[Page 19504]]

     year in which the taxable year begins, determined by 
     substituting `calendar year 2015' for `calendar year 1992' in 
     subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. __. MODIFICATION OF LIMITATION ON EXCESSIVE 
                   REMUNERATION.

       (a) Repeal of Performance-based Compensation and Commission 
     Exceptions for Limitation on Excessive Remuneration.--
       (1) In general.--Paragraph (4) of section 162(m) of the 
     Internal Revenue Code of 1986 is amended by striking 
     subparagraphs (B) and (C) and by redesignating subparagraphs 
     (D) through (G) as subparagraphs (B) through (E), 
     respectively.
       (2) Conforming amendments.--
       (A) Section 162(m)(5) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (E) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (B) Section 162(m)(6) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (D) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (b) Expansion of Applicable Employer.--Paragraph (2) of 
     section 162(m) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(2) Publicly held corporation.--For purposes of this 
     subsection, the term `publicly held corporation' means any 
     corporation which is an issuer (as defined in section 3 of 
     the Securities Exchange Act of 1934 (15 U.S.C. 78c))--
       ``(A) the securities of which are registered under section 
     12 of such Act (15 U.S.C. 78l), or
       ``(B) that is required to file reports under section 15(d) 
     of such Act (15 U.S.C. 78o(d)).''.
       (c) Application to All Current and Former Officers, 
     Directors, and Employees.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986, as amended by subsection (a), is amended--
       (A) by striking ``covered employee'' each place it appears 
     in paragraphs (1) and (4) and inserting ``covered 
     individual'', and
       (B) by striking ``such employee'' each place it appears in 
     subparagraphs (A) and (E) of paragraph (4) and inserting 
     ``such individual''.
       (2) Covered individual.--Paragraph (3) of section 162(m) of 
     such Code is amended to read as follows:
       ``(3) Covered individual.--For purposes of this subsection, 
     the term `covered individual' means any individual who is an 
     officer, director, or employee of the taxpayer or a former 
     officer, director, or employee of the taxpayer.''.
       (3) Conforming amendments.--
       (A) Section 48D(b)(3)(A) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (B) Section 409A(b)(3)(D)(ii) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (d) Special Rule for Remuneration Paid to Beneficiaries, 
     etc.--Paragraph (4) of section 162(m), as amended by 
     subsection (a), is amended by adding at the end the following 
     new subparagraph:
       ``(F) Special rule for remuneration paid to beneficiaries, 
     etc.--Remuneration shall not fail to be applicable employee 
     remuneration merely because it is includible in the income 
     of, or paid to, a person other than the covered individual, 
     including after the death of the covered individual.''.
       (e) Regulatory Authority.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(7) Regulations.--The Secretary may prescribe such 
     guidance, rules, or regulations, including with respect to 
     reporting, as are necessary to carry out the purposes of this 
     subsection.''.
       (2) Conforming amendment.--Paragraph (6) of section 162(m) 
     of such Code is amended by striking subparagraph (H).
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. ___. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or
       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after Nov. 30, 2015, the direct 
     or indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on Nov. 30, 2015, 
     except that the Secretary may issue regulations increasing 
     the threshold percent in any of the tests under such 
     regulations for determining if business activities constitute 
     substantial business activities for purposes of this 
     paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before Dec. 1, 2015,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after Nov. 30, 2015.
                                 ______
                                 
  SA 2893. Mr. CASEY (for himself, Ms. Baldwin, Mrs. Murray, and Mr. 
Reed) proposed an amendment to amendment SA 2874 proposed by Mr. 
McConnell to the bill H.R. 3762, to provide for reconciliation pursuant 
to section 2002 of the concurrent resolution on the budget for fiscal 
year 2016; as follows:

       At the appropriate place, insert the following:

     SEC. ___. CREDIT FOR DUAL-EARNER FAMILIES.

       (a) In General.--Subpart A of part IV of subchapter A of 
     chapter 1 of the Internal Revenue Code of 1986 is amended by 
     inserting after section 25D the following new section:

[[Page 19505]]



     ``SEC. 25E. DUAL-EARNER FAMILIES.

       ``(a) Allowance of Credit.--In the case of an eligible 
     taxpayer, there shall be allowed as a credit against the tax 
     imposed by this chapter for the taxable year an amount equal 
     to 7 percent of the lesser of--
       ``(1) $10,000, or
       ``(2) the earned income of the spouse with the lower amount 
     of earned income for such taxable year.
       ``(b) Limitation.--The amount of the credit allowable under 
     subsection (a) shall be reduced (but not below zero) by an 
     amount which bears the same ratio to the amount determined 
     under subsection (a) (as determined without regard to this 
     subsection) as the amount of the taxpayer's excess adjusted 
     gross income bears to $20,000.
       ``(c) Definitions.--For purposes of this section--
       ``(1) Earned income.--The term `earned income' has the same 
     meaning given such term in section 32(c)(2).
       ``(2) Eligible taxpayer.--
       ``(A) In general.--The term `eligible taxpayer' means a 
     taxpayer who--
       ``(i) files a joint return for the taxable year under 
     section 6013, and
       ``(ii) has at least 1 qualifying child (as defined in 
     section 152(c)) who has not attained 12 years of age before 
     the close of the taxable year.
       ``(3) Excess adjusted gross income.--The term `excess 
     adjusted gross income' means so much of the eligible 
     taxpayer's adjusted gross income for the taxable year as 
     exceeds $110,000.
       ``(d) Inflation Adjustment.--
       ``(1) In general.--In the case of any taxable year 
     beginning after 2016, each of the dollar amounts in 
     subsections (a)(1) and (c)(3) shall be increased by an amount 
     equal to--
       ``(A) such dollar amount, multiplied by
       ``(B) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(2) Rounding.--If any dollar amount in subsection (a)(1) 
     or (c)(3), after being increased under paragraph (1), is not 
     a multiple of $1,000, such dollar amount shall be rounded to 
     the nearest multiple of $1,000.
       ``(e) Additional Eligibility Requirements.--
       ``(1) Individual claiming benefits under section 911.--No 
     credit shall be allowed under this section if an individual 
     (or the individual's spouse) claims the benefits of section 
     911 for the taxable year.
       ``(2) Non-resident aliens.--No credit shall be allowed 
     under this section if an individual (or the individual's 
     spouse) is a nonresident alien individual for any portion of 
     the taxable year unless such individual is treated for such 
     taxable year as a resident of the United States for purposes 
     of this chapter by reason of an election under subsection (g) 
     or (h) of section 6013.
       ``(3) Identification number requirement.--No credit shall 
     be allowed under this section if the eligible taxpayer does 
     not include on the joint return of tax for the taxable year--
       ``(A) the taxpayer identification number of the individual 
     and the individual's spouse, and
       ``(B) the name, age, and taxpayer identification number of 
     any qualifying children.
       ``(f) Taxable Year Must Be Full Taxable Year.--Except in 
     the case of a taxable year closed by reason of the death of 
     an individual, no credit shall be allowable under this 
     section in the case of a taxable year covering a period of 
     less than 12 months.''.
       (b) Conforming Amendment.--The table of sections for 
     subpart A of part IV of subchapter A of chapter 1 of the 
     Internal Revenue Code of 1986 is amended by inserting after 
     the item relating to section 25D the following:

``Sec. 25E. Dual-earner families.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. ___. ENHANCEMENT OF THE DEPENDENT CARE TAX CREDIT.

       (a) Increase in Dependent Care Tax Credit.--
       (1) Increase in incomes eligible for full credit.--
     Paragraph (2) of section 21(a) of the Internal Revenue Code 
     of 1986 is amended to read as follows:
       ``(2) Applicable percentage defined.--For purposes of 
     paragraph (1), the term `applicable percentage' means 35 
     percent reduced (but not below zero) by 1 percentage point 
     for each $5,000 (or fraction thereof) by which the taxpayer's 
     adjusted gross income for the taxable year exceeds 
     $110,000.''.
       (2) Increase in dollar limit on amount creditable.--
     Subsection (c) of section 21 of the Internal Revenue Code of 
     1986 is amended--
       (A) by striking ``$3,000'' in paragraph (1) and inserting 
     ``$8,000'', and
       (B) by striking ``$6,000'' in paragraph (2) and inserting 
     ``$16,000''.
       (3) Inflation adjustment.--Section 21 of the Internal 
     Revenue Code of 1986 is amended--
       (A) by redesignating subsection (f) as subsection (g), and
       (B) by inserting after subsection (e) the following new 
     subsection:
       ``(f) Inflation Adjustment.--
       ``(1) In general.--In the case of any taxable year 
     beginning after 2016, the $110,000 amount in subsection 
     (a)(2) and each of the dollar amounts in subsection (c) shall 
     each be increased by an amount equal to--
       ``(A) such dollar amount, multiplied by
       ``(B) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, by substituting `2015' for `1992' in 
     subparagraph (B) thereof.
       ``(2) Rounding.--The amount of any increase under paragraph 
     (1) shall be rounded--
       ``(A) for purposes of the dollar amount in subsection 
     (a)(2), the nearest multiple of $1,000, and
       ``(B) for purposes of the dollar amounts in subsection (c), 
     the nearest multiple of $100.''.
       (b) Dependent Care Tax Credit To Be Refundable.--
       (1) In general.--The Internal Revenue Code of 1986 is 
     amended--
       (A) by redesignating section 21, as amended by subsection 
     (a), as section 36C, and
       (B) by moving section 36C, as so redesignated, from subpart 
     A of part IV of subchapter A of chapter 1 to the location 
     immediately before section 37 in subpart C of part IV of 
     subchapter A of chapter 1.
       (2) Technical amendments.--
       (A) Paragraph (1) of section 23(f) of the Internal Revenue 
     Code of 1986 is amended by striking ``21(e)'' and inserting 
     ``36C(e)''.
       (B) Paragraph (6) of section 35(g) of such Code is amended 
     by striking ``21(e)'' and inserting ``36C(e)''.
       (C) Paragraph (1) of section 36C(a) of such Code (as 
     redesignated by paragraph (1)) is amended by striking ``this 
     chapter'' and inserting ``this subtitle''.
       (D) Subparagraph (C) of section 129(a)(2) of such Code is 
     amended by striking ``section 21(e)'' and inserting ``section 
     36C(e)''.
       (E) Paragraph (2) of section 129(b) of such Code is amended 
     by striking ``section 21(d)(2)'' and inserting ``section 
     36C(d)(2)''.
       (F) Paragraph (1) of section 129(e) of such Code is amended 
     by striking ``section 21(b)(2)'' and inserting ``section 
     36C(b)(2)''.
       (G) Subsection (e) of section 213 of such Code is amended 
     by striking ``section 21'' and inserting ``section 36C''.
       (H) Subparagraph (A) of section 6211(b)(4) of such Code is 
     amended by inserting ``36C,'' after ``36B,''.
       (I) Subparagraph (H) of section 6213(g)(2) of such Code is 
     amended by striking ``section 21'' and inserting ``section 
     36C''.
       (J) Subparagraph (L) of section 6213(g)(2) of such Code is 
     amended by striking ``section 21, 24, or 32,'' and inserting 
     ``section 24, 32, or 36C,''.
       (K) Paragraph (2) of section 1324(b) of title 31, United 
     States Code, is amended by inserting ``36C,'' after ``36B,''.
       (L) The table of sections for subpart C of part IV of 
     subchapter A of chapter 1 of the Internal Revenue Code of 
     1986 is amended by inserting after the item relating to 
     section 36B the following:

``Sec. 36C. Expenses for household and dependent care services 
              necessary for gainful employment.''.

       (M) The table of sections for subpart A of such part IV of 
     such Code is amended by striking the item relating to section 
     21.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. ___. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).

[[Page 19506]]

       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. ___. MODIFICATION OF LIMITATION ON EXCESSIVE 
                   REMUNERATION.

       (a) Repeal of Performance-based Compensation and Commission 
     Exceptions for Limitation on Excessive Remuneration.--
       (1) In general.--Paragraph (4) of section 162(m) of the 
     Internal Revenue Code of 1986 is amended by striking 
     subparagraphs (B) and (C) and by redesignating subparagraphs 
     (D) through (G) as subparagraphs (B) through (E), 
     respectively.
       (2) Conforming amendments.--
       (A) Section 162(m)(5) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (E) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (B) Section 162(m)(6) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (D) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (b) Expansion of Applicable Employer.--Paragraph (2) of 
     section 162(m) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(2) Publicly held corporation.--For purposes of this 
     subsection, the term `publicly held corporation' means any 
     corporation which is an issuer (as defined in section 3 of 
     the Securities Exchange Act of 1934 (15 U.S.C. 78c))--
       ``(A) the securities of which are registered under section 
     12 of such Act (15 U.S.C. 78l), or
       ``(B) that is required to file reports under section 15(d) 
     of such Act (15 U.S.C. 78o(d)).''.
       (c) Application to All Current and Former Officers, 
     Directors, and Employees.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986, as amended by subsection (a), is amended--
       (A) by striking ``covered employee'' each place it appears 
     in paragraphs (1) and (4) and inserting ``covered 
     individual'', and
       (B) by striking ``such employee'' each place it appears in 
     subparagraphs (A) and (E) of paragraph (4) and inserting 
     ``such individual''.
       (2) Covered individual.--Paragraph (3) of section 162(m) of 
     such Code is amended to read as follows:
       ``(3) Covered individual.--For purposes of this subsection, 
     the term `covered individual' means any individual who is an 
     officer, director, or employee of the taxpayer or a former 
     officer, director, or employee of the taxpayer.''.
       (3) Conforming amendments.--
       (A) Section 48D(b)(3)(A) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (B) Section 409A(b)(3)(D)(ii) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (d) Special Rule for Remuneration Paid to Beneficiaries, 
     etc.--Paragraph (4) of section 162(m), as amended by 
     subsection (a), is amended by adding at the end the following 
     new subparagraph:
       ``(F) Special rule for remuneration paid to beneficiaries, 
     etc.--Remuneration shall not fail to be applicable employee 
     remuneration merely because it is includible in the income 
     of, or paid to, a person other than the covered individual, 
     including after the death of the covered individual.''.
       (e) Regulatory Authority.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(7) Regulations.--The Secretary may prescribe such 
     guidance, rules, or regulations, including with respect to 
     reporting, as are necessary to carry out the purposes of this 
     subsection.''.
       (2) Conforming amendment.--Paragraph (6) of section 162(m) 
     of such Code is amended by striking subparagraph (H).
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. __. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or
       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after November 30, 2015, the 
     direct or indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on November 30, 
     2015, except that the Secretary may issue regulations 
     increasing the threshold

[[Page 19507]]

     percent in any of the tests under such regulations for 
     determining if business activities constitute substantial 
     business activities for purposes of this paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before December 1, 2015,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after November 30, 2015.
                                 ______
                                 
  SA 2894. Mr. LEE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ____. PAYMENTS IN LIEU OF TAXES.

       Section 6903 of title 31, United States Code, is amended--
       (1) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``A payment'' and inserting 
     ``Except as provided in subsection (e), a payment''; and
       (2) by adding at the end the following:
       ``(e) Alternate Payment.--
       ``(1) In general.--A unit of general local government may 
     opt out of the payment calculation that would otherwise apply 
     under subsection (b)(1), by notifying the Secretary of the 
     Interior, by the deadline established by the Secretary of the 
     Interior, of the election of the unit of general local 
     government to receive an alternate payment amount, as 
     calculated in accordance with the formula established under 
     paragraph (2).
       ``(2) Formula.--As soon as practicable after the date of 
     enactment of this subsection, the Secretary of the Interior 
     shall establish an alternate payment formula that is based on 
     the estimated forgone property taxes, using a fair market 
     valuation, due to the presence of Federal land within the 
     unit of general local government without raising new 
     revenue.''.
                                 ______
                                 
  SA 2895. Ms. AYOTTE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. SUPPORT FOR STATE RESPONSE TO SUBSTANCE ABUSE 
                   PUBLIC HEALTH CRISIS AND URGENT MENTAL HEALTH 
                   NEEDS.

       (a) In General.--There are authorized to be appropriated, 
     and are appropriated, out of monies in the Treasury not 
     otherwise obligated, $750,000,000 for each of fiscal years 
     2016 and 2017, to the Secretary of Health and Human Services 
     (referred to in this section as the ``Secretary'') to award 
     grants to States to address the substance abuse public health 
     crisis or to respond to urgent mental health needs within the 
     State. In awarding grants under this section, the Secretary 
     may give preference to States with an incidence or prevalence 
     of substance use disorders that is substantial relative to 
     other States or to States that identify mental health needs 
     within their communities that are urgent relative to such 
     needs of other States. Funds appropriated under this 
     subsection shall remain available until expended.
       (b) Use of Funds.--Grants awarded to a State under 
     subsection (a) shall be used for one or more of the following 
     public health-related activities:
       (1) Improving State prescription drug monitoring programs.
       (2) Implementing prevention activities, and evaluating such 
     activities to identify effective strategies to prevent 
     substance abuse.
       (3) Training for health care practitioners, such as best 
     practices for prescribing opioids, pain management, 
     recognizing potential cases of substance abuse, referral of 
     patients to treatment programs, and overdose prevention.
       (4) Supporting access to health care services provided by 
     federally certified opioid treatment programs or other 
     appropriate health care providers to treat substance use 
     disorders or mental health needs.
       (5) Supporting initiatives designed to help individuals 
     with a substance use disorder achieve and sustain recovery.
       (6) Other public health-related activities, as the State 
     determines appropriate, related to addressing the substance 
     abuse public health crisis or responding to urgent mental 
     health needs within the State.
                                 ______
                                 
  SA 2896. Mr. PAUL submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. LIMITATION ON REFUGEE ASSISTANCE.

       (a) In General.--Notwithstanding chapter 2 of title IV of 
     the Immigration and Nationality Act (8 U.S.C. 1521 et seq.), 
     refugees who have been nationals of any of the countries 
     listed in subsection (b) are not eligible to receive any 
     assistance under such chapter.
       (b) Countries.--The countries listed in this subsection 
     are--
       (1) Afghanistan;
       (2) Algeria;
       (3) Bahrain;
       (4) Bangladesh;
       (5) Egypt;
       (6) Eritrea;
       (7) Indonesia;
       (8) Iran;
       (9) Iraq;
       (10) Jordan;
       (11) Kazakhstan;
       (12) Kuwait;
       (13) Kyrgyzstan;
       (14) Lebanon;
       (15) Libya;
       (16) Mali;
       (17) Morocco;
       (18) Nigeria;
       (19) North Korea;
       (20) Oman;
       (21) Pakistan;
       (22) Palestinian Territories;
       (23) Qatar;
       (24) Russia;
       (25) Saudi Arabia;
       (26) Somalia;
       (27) Sudan;
       (28) Syria;
       (29) Tajikistan;
       (30) Tunisia;
       (31) Turkey;
       (32) United Arab Emirates;
       (33) Uzbekistan; and
       (34) Yemen.
                                 ______
                                 
  SA 2897. Mr. PAUL submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. REFUGEE ASSISTANCE.

       Chapter 2 of title IV of the Immigration and Nationality 
     Act (8 U.S.C. 1521 et seq.) is repealed.
                                 ______
                                 
  SA 2898. Mr. PAUL submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. GRANTS TO STATES.

       (a) TANF.--Section 403(a)(5)(v)(I) of the Social Security 
     Act, 42 U.S.C., is amended by inserting ``(excluding 
     individuals who were admitted to the United States as 
     refugees under section 207 of the Immigration and Nationality 
     Act (8 U.S.C. 1157))'' after ``individuals in the State''.
       (b) SSI.--Section 1611(a) of the Social Security Act, 42 
     U.S.C., is amended--
       (1) in paragraph (1), in the matter preceding subparagraph 
     (A), by inserting ``(excluding individuals who were admitted 
     to the United States as refugees under section 207 of the 
     Immigration and Nationality Act (8 U.S.C. 1157))'' after 
     ``disabled individual''; and
       (2) in paragraph (2), in the matter preceding subparagraph 
     (A), by inserting ``(excluding individuals who were admitted 
     to the United States as refugees under section 207 of the 
     Immigration and Nationality Act (8 U.S.C. 1157))'' after 
     ``disabled individual''.
                                 ______
                                 
  SA 2899. Mr. PAUL submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to

[[Page 19508]]

section 2002 of the concurrent resolution on the budget for fiscal year 
2016; as follows:

       At the end of the amendment, add the following:

                      TITLE III--HOMELAND SECURITY

     SEC. 301. SHORT TITLE.

       This title may be cited as the ``Stop Extremists Coming 
     Under Refugee Entry Act'' or the ``SECURE Act''.

     SEC. 302. ENHANCED REFUGEE SECURITY SCREENING.

       (a) Registration.--The Secretary of Homeland Security shall 
     notify each alien admitted as a refugee under section 207 of 
     the Immigration and Nationality Act (8 U.S.C. 1157) or 
     granted asylum under section 208 of such Act (8 U.S.C. 1158) 
     that the alien, not later than 30 days after the date of the 
     enactment of this Act--
       (1) shall register with the Department of Homeland Security 
     as part of the enhanced screening process described in 
     section 303; and
       (2) shall be interviewed and fingerprinted by an official 
     of the Department of Homeland Security.
       (b) Background Check.--The Secretary of Homeland Security 
     shall screen and perform a security review on all individuals 
     seeking asylum or refugee status under section 207 or 208 of 
     the Immigration and Nationality Act (8 U.S.C. 1157 and 1158) 
     to ensure that such individuals do not present a national 
     security risk to the United States.
       (c) Monitoring.--The Secretary of Homeland Security shall 
     monitor individuals granted asylum or admitted as refugees 
     for indications of terrorism.
       (d) Reports and Certifications.--
       (1) Annual screening effectiveness reports.--Not later than 
     25 days after the date of the enactment of this Act, and 
     annually thereafter, the Secretary of Homeland Security shall 
     submit a report to Congress that--
       (A) describes the effectiveness with which the Department 
     is screening applicants for asylum and refugee status;
       (B) identifies the number of aliens seeking asylum or 
     refugee status who were screened and registered during the 
     past fiscal year, broken down by country of origin;
       (C) identifies the number of unfinished or unresolved 
     security screenings for aliens described in subparagraph (B);
       (D) identifies the number of refugees admitted to the 
     United States under section 207 or 208 of the Immigration and 
     Nationality Act (8 U.S.C. 1157 and 1158) who--
       (i) have not yet participated in the enhanced screening 
     process required under section 303(a); or
       (ii) have not been notified by the Secretary pursuant to 
     subsection (a);
       (E) identifies the number of aliens seeking asylum or 
     refugee status who were deported as a result of information 
     gathered during interviews and background checks conducted 
     pursuant to subsections (a)(2) and (b), broken down by 
     country of origin; and
       (F) indicates whether the enhanced screening process has 
     been implemented in a manner that is overbroad or results in 
     the deportation of individuals who pose no reasonable 
     national security threat.
       (2) Certification and national security report.--Not later 
     than 30 days after the date of the enactment of this Act, the 
     Secretary of Homeland Security shall certify to Congress 
     that--
       (A) the requirements described in subsections (a) through 
     (c) have been completed;
       (B) the report required under paragraph (1) was timely 
     submitted; and
       (C) all necessary steps have been taken to improve the 
     refugee screening process to prevent terrorists from 
     threatening national security by gaining admission to the 
     United States by claiming refugee or asylee status and 
     refugee status.
       (e) Temporary Moratorium on Refugee Admission.--
       (1) In general.--The Secretary of State may not approve an 
     application for refugee status under section 207 of the 
     Immigration and Nationality Act (8 U.S.C. 1157) and the 
     Secretary of Homeland Security may not approve an application 
     for asylum under section 208 of such Act (8 U.S.C. 1158) to 
     any national of a high-risk country.
       (2) High-risk country.--In this subsection, the term 
     ``high-risk country'' means any of the following countries or 
     territories:
       (A) Afghanistan.
       (B) Algeria.
       (C) Bahrain.
       (D) Bangladesh.
       (E) Egypt.
       (F) Eritrea.
       (G) Indonesia.
       (H) Iran.
       (I) Iraq.
       (J) Jordan.
       (K) Kazakhstan.
       (L) Kuwait.
       (M) Kyrgyzstan.
       (N) Lebanon.
       (O) Libya.
       (P) Mali.
       (Q) Morocco.
       (R) Nigeria.
       (S) North Korea.
       (T) Oman.
       (U) Pakistan.
       (V) Qatar.
       (W) Russia.
       (X) Saudi Arabia.
       (Y) Somalia.
       (Z) Sudan.
       (AA) Syria.
       (BB) Tajikistan.
       (CC) Tunisia.
       (DD) Turkey.
       (EE) United Arab Emirates.
       (FF) Uzbekistan.
       (GG) Yemen.
       (HH) The Palestinian Territories.
       (f) Conditions for Resumption of Approvals.--The moratorium 
     under subsection (e) may be lifted after--
       (1) the Secretary of Homeland Security--
       (A) submits the reports required under subsection (d)(1);
       (B) makes the certifications required in subsection (d)(2); 
     and
       (C) certifies to Congress that any backlog in screening 
     existing cases from those aliens already approved, or pending 
     approval, has been eliminated; and
       (2) Congress enacts a law to reinstate, based upon the 
     information provided, the approval of applications for 
     refugee or asylee status.

     SEC. 303. ADDITIONAL WAITING PERIODS AND SECURITY SCREENINGS 
                   FOR NEW VISA APPLICANTS.

       (a) Enhanced Security Screenings.--The Secretary of 
     Homeland Security, in cooperation with the Secretary of 
     State, shall ensure that a new application for a visa to 
     enter the United States is not approved until--
       (1) at least 30 days after such application is submitted; 
     and
       (2) after the completion of an enhanced security screening 
     with respect to the applicant.
       (b) Visa Waiver Program Countries.--Unless otherwise 
     permitted under this title, the Secretary of Homeland 
     Security, in cooperation with the Secretary of State, shall 
     ensure that no alien enters the United States until after 30 
     days of security assessments have been conducted on such 
     alien, regardless of whether the alien's country of origin is 
     participating in the Visa Waiver Program established under 
     section 217 of the Immigration and Nationality Act (8 U.S.C. 
     1187).
       (c) Trusted Traveler Exception.--
       (1) In general.--Notwithstanding subsections (a) and (b) or 
     section 4(a), the Secretary of Homeland Security shall accept 
     applications, and may approve qualified applicants, for 
     enrollment in the Global Entry trusted traveler program 
     described in section 235.12 of title 8, Code of Federal 
     Regulations, regardless of the nationality or country of 
     habitual residence of the applicant.
       (2) Priority.--In review applications for enrollment in the 
     Global Entry trusted traveler program, the Secretary shall 
     assign priority status in the following order:
       (A) United States citizens.
       (B) United States legal permanent residents.
       (C) Citizens of any country that is designated as a Visa 
     Waiver Program country under section 217(c) of the 
     Immigration and Nationality Act (8 U.S.C. 1187(c)).
       (D) Aliens that have a documented frequent travel history 
     to and from the United States.
       (E) Applicants not described in subparagraphs (A) through 
     (D).
       (3) Use of fees.--Fees collected from applicants for the 
     Global Entry trusted traveler program shall be used to pay 
     for the cost of enhanced screening required under this title.
       (4) Rule of construction.--Nothing in this title may be 
     construed as requiring the Secretary of Homeland Security to 
     approve an unqualified or high-risk applicant for enrollment 
     in the Global Entry trusted traveler program.

     SEC. 304. ENHANCED SECURITY SCREENING FOR HIGHER-RISK VISA 
                   APPLICANTS.

       (a) Moratorium on High-risk Visas.--
       (1) In general.--Except as provided in paragraph (2), the 
     Secretary of Homeland Security may not approve any 
     application for entry to the United States from an alien who 
     is a national of, or who is applying from, a high-risk 
     country (as defined in section 302(e)) until after--
       (A) the completion of the congressional review process 
     described in subsection (b); and
       (B) the enactment of a law that authorizes the termination 
     of the visa moratorium under this subsection.
       (2) Exception.--The visa moratorium under paragraph (1) 
     shall not apply to individuals who are enrolled in the Global 
     Entry trusted traveler program.
       (b) Congressional Review of Screening Policies.--
       (1) Certification.--The Secretary of Homeland Security, the 
     Secretary of State, and the Director of National Intelligence 
     shall jointly submit a report to Congress certifying that--
       (A) a national security screening process has been 
     established and implemented that significantly improves the 
     Federal Government's ability to identify security risks posed 
     by aliens from high-risk countries who--
       (i) seek to travel to the United States; or
       (ii) have been approved for entry to the United States;
       (B) the process identified in subparagraph (A) requires a 
     30-day security assessment for each applicant from high-risk 
     countries;

[[Page 19509]]

       (C) the national security screening process for aliens from 
     high-risk countries will be used to assess the risk posed by 
     applicants from such countries, including a description of 
     such process;
       (D) the screening process identified in subparagraph (A) 
     will be used to assess national security risks posed by 
     aliens who are already in the United States or have been 
     approved to enter the United States;
       (E) the complete biometric entry-exit control system 
     required under section 110 of the Illegal Immigration Reform 
     and Immigrant Responsibility Act of 1996 (division C of 
     Public Law 104-208; 8 U.S.C. 1221 note) has been fully 
     implemented;
       (F) all necessary steps have been taken to prevent the 
     national security vulnerability of allowing individuals to 
     overstay a temporary legal status in the United States; and
       (G) a policy has been implemented to remove aliens that are 
     identified as having overstayed their period of lawful 
     presence in the United States.
       (2) Conditions for resumption of approvals.--After the 
     certifications required under paragraph (1) have been made, 
     Congress may enact a law, based on the information provided, 
     to lift the moratorium described in subsection (a).

     SEC. 305. ONE HUNDRED PERCENT EXIT TRACKING FOR ALL UNITED 
                   STATES VISITORS.

       (a) Recording Exits and Correlation to Entry Data.--The 
     Secretary of Homeland Security shall integrate the records 
     collected through the automated entry-exit control system 
     referred to in section 304(b)(1)(E) into an interoperable 
     data system and any other database necessary to correlate an 
     alien's entry and exit data.
       (b) Processing of Records.--Before the departure of 
     outbound aliens at each point of entry, the Secretary shall 
     provide for cross-reference capability between databases 
     designated by the Secretary under subsection (a) to determine 
     and record whether an outbound alien has been in the United 
     States without lawful immigration status.
       (c) Records Inclusion Requirements.--The Secretary shall 
     maintain readily accessible entry-exit data records for 
     immigration and other law enforcement and improve immigration 
     control and enforcement by including information necessary to 
     determine whether an outbound alien without lawful presence 
     in the United States entered the country through--
       (1) unauthorized entry between points of entry;
       (2) visa or other temporary authorized status;
       (3) fraudulent travel documents;
       (4) misrepresentation of identity; or
       (5) any other method of entry.
       (d) Prohibition on Collecting Exit Records for United 
     States Citizens at Land Points of Entry.--
       (1) Prohibition.--While documenting the departure of 
     outbound individuals at each land point of entry along the 
     Southern or Northern border, the Secretary may not--
       (A) process travel documents of United States citizens;
       (B) log, store, or transfer exit data for United States 
     citizens;
       (C) create, maintain, operate, access, or support any 
     database containing information collected through outbound 
     processing at a point of entry that contains records 
     identifiable to an individual United States citizen.
       (2) Exception.--The prohibition set forth in paragraph (1) 
     does not apply to the records of an individual if an officer 
     processing travel documentation in the outbound lanes at a 
     point of entry along the Southern or Northern border--
       (A) has a strong suspicion that the individual has engaged 
     in criminal or other prohibited activities; or
       (B) needs to verify an individual's identity because the 
     individual is attempting to exit the United States without 
     travel documentation.
       (3) Verification of travel documents.--Subject to the 
     prohibition set forth in paragraph (1), the Secretary may 
     provide for the confirmation of a United States citizen's 
     travel documentation validity in the outbound lanes at a 
     point of entry along the Southern border.
       (e) Report on Infrastructure Requirements to Carry Out 100 
     Percent Land Exit Tracking.--Not later than 60 days after the 
     date of the enactment of this Act, the Secretary shall submit 
     a report to the Committee on Homeland Security and 
     Governmental Affairs of the Senate and the Committee on 
     Homeland Security of the House of Representatives that 
     assesses the infrastructure needs for each point of entry 
     along the Southern border to fulfill the requirements under 
     this section, including--
       (1) a description of anticipated infrastructure needs 
     within each point of entry;
       (2) a description of anticipated infrastructure needs 
     adjacent to each point of entry;
       (3) an assessment of the availability of secondary 
     inspection areas at each point of entry;
       (4) an assessment of space available at or adjacent to a 
     point of entry to perform processing of outbound aliens;
       (5) an assessment of the infrastructure demands relative to 
     the volume of outbound crossings for each point of entry; and
       (6) anticipated wait times for outbound individuals during 
     processing of travel documents at each point of entry, 
     relative to possible improvements at the point of entry.
       (f) Limitations on Outbound Secondary Inspections.--The 
     Secretary may not designate an outbound United States citizen 
     for secondary inspection or collect biometric information 
     from a United States citizen under outbound inspection 
     procedures unless criminal or other prohibited activity has 
     been detected or is strongly suspected.
       (g) Outbound Processing of Persons in the United States 
     Without Lawful Presence.--
       (1) Process for recording unlawful presence.--If the 
     Secretary determines, at a point of entry along the Southern 
     border, that an outbound alien has been in the United States 
     without lawful presence, the Secretary shall--
       (A) collect and record biometric data from the individual;
       (B) combine data related to the individual's unlawful 
     presence with any other information related to the individual 
     in the interoperable database, in accordance with subsection 
     (b); and
       (C) except as provided in subparagraph (B), permit the 
     individual to exit the United States.
       (2) Exception.--An individual shall not be permitted to 
     leave the United States if, during outbound inspection, the 
     Secretary detects previous unresolved criminal activity by 
     the individual.
       (h) Rule of Construction.--Nothing in this title, or in the 
     amendments made by this title, may be construed as replacing 
     or repealing the requirements for biometric entry-exit 
     capture required under section 110 of the Illegal Immigration 
     Reform and Immigrant Responsibility Act of 1996 (division C 
     of Public Law 104-208; 8 U.S.C. 1221 note).

     SEC. 306. REQUIREMENTS TO ENSURE LEGAL VOTING.

       (a) Restrictions.--
       (1) Affidavit required.--Any individual in asylum status, 
     refugee status, legal permanent resident status, or any other 
     permanent or temporary visa status who intends to remain in 
     the United States in such status for longer than 6 months 
     shall submit to the Secretary, during the period specified by 
     the Secretary, a signed affidavit that states that the 
     alien--
       (A) has not cast a ballot in any Federal election in the 
     United States; and
       (B) will not register to vote, or cast a ballot, in any 
     Federal election in the United States while in such status.
       (2) Penalty.--If an alien described in paragraph (1) fails 
     to timely submit the affidavit described in paragraph (1) or 
     violates any term of such affidavit--
       (A) the Secretary shall immediately--
       (i) revoke the legal status of such alien; and
       (ii) deport the alien to the country from which he or she 
     originated; and
       (B) the alien will be permanently ineligible for United 
     States citizenship.
       (3) Bars to legal status.--Any individual in asylum status, 
     refugee status, legal permanent resident status, or any other 
     permanent or temporary visa status who illegally registers to 
     vote or who votes in any Federal election after receiving 
     such status or visa--
       (A) shall not be eligible to apply for permanent residence 
     or citizenship; and
       (B) if such individual has already been granted permanent 
     residence, shall lose such status and be subject to 
     deportation pursuant to section 237(a)(6) of the Immigration 
     and Nationality Act (8 U.S.C. 1227(a)(6)).
       (b) Responsibilities of the Secretary of Homeland 
     Security.--
       (1) Eligibility determination.--In determining whether an 
     individual described in subsection (a)(1) is eligible for 
     legal status, including naturalization, under the Immigration 
     and Nationality Act (8 U.S.C. 1101 et seq.), the Secretary of 
     Homeland Security shall verify that the alien has not 
     registered to vote, or cast a ballot, in a Federal election 
     in the United States.
       (2) Verification of citizenship.--The Secretary shall 
     provide the election director of each State, and such local 
     election officials as may be designated by such State 
     directors, with access to relevant databases containing 
     information about aliens who have been granted asylum, 
     refugee status, or any other permanent or temporary visa 
     status authorized under the Immigration and Nationality Act 
     or by executive action, for the sole purpose of verifying the 
     citizenship status of registered voters and all individuals 
     applying to register to vote.
       (3) Annual report.--The Secretary shall submit an annual 
     report to Congress that identifies all jurisdictions in the 
     United States that have registered individuals who are not 
     United States citizens to vote in a Federal election.
       (c) Responsibilities of States.--
       (1) Proof of citizenship.--Notwithstanding the Voting 
     Rights Act of 1965 (52 U.S.C. 10301 et seq.), the National 
     Voter Registration Act of 1993 (52 U.S.C. 20501 et seq.), and 
     any other Federal law, all States and local governments--
       (A) shall require individuals registering to vote in 
     Federal elections to provide adequate proof of citizenship;

[[Page 19510]]

       (B) may not accept an affirmation of citizenship as 
     adequate proof of citizenship for voter registration 
     purposes; and
       (C) may require identification information from all such 
     voter registration applicants.
       (2) Cooperation with department of homeland security.--All 
     States and local governments shall provide the Department of 
     Homeland Security with the registration and voting history of 
     any alien seeking registered provisional status, 
     naturalization, or any other immigration benefit, upon the 
     request of the Secretary.
       (3) Consequence of noncompliance.--
       (A) First year.--If any State is not in compliance with the 
     proof of citizenship requirements set forth in paragraph (1) 
     on or before the date that is 1 year after the date of the 
     enactment of this Act, the Secretary of Transportation shall 
     reduce the apportionment calculated under section 104(c) of 
     title 23, United States Code, for that State for the 
     following fiscal year by 10 percent.
       (B) Subsequent years.--For each subsequent year in which 
     any State is not in compliance with the proof of citizenship 
     requirements set forth in paragraph (1), the Secretary of 
     Transportation shall reduce the apportionment calculated 
     under section 104(c) of title 23, United States Code, for 
     that State for the following fiscal year by an additional 10 
     percent.

     SEC. 307. SECURE THE TREASURY.

       (a) No Welfare for Refugees or Asylees Beginning 1 Year 
     After Date of Admission.--Notwithstanding any other provision 
     of law, an alien admitted to the United States as a refugee 
     under section 207 of the Immigration and Nationality Act (8 
     U.S.C. 1157) or granted asylum under section 208 of such Act 
     (8 U.S.C. 1158), beginning 1 year after the date of such 
     admission--
       (1) is not be eligible for any assistance or benefits from 
     a Federal means-tested benefit program listed in subsection 
     (c); and
       (2) may not claim the earned income tax credit under 
     section 32 of the Internal Revenue Code of 1986.
       (b) No Citizenship for Aliens Who Apply for and Receive 
     Welfare.--Any alien granted refugee status or asylee 
     admission to the United States under a permanent or temporary 
     visa, and who is prohibited under subsection (a) from 
     applying for, or receiving, assistance or benefits described 
     in subsection (c) or from claiming the earned income tax 
     credit under section 32 of the Internal Revenue Code of 1986, 
     or any other credit allowed by subpart C of part IV of 
     subchapter A of chapter 1 of such Code shall be permanently 
     prohibited from becoming naturalized as a citizen of the 
     United States if the alien--
       (1) applies for and receives any such assistance or 
     benefits; or
       (2) claims and is allowed any such credit.
       (c) Federal Means-tested Benefit Programs.--The Federal 
     means-tested benefit programs listed in this subsection are--
       (1) the temporary assistance for needy families program 
     under part A of title IV of the Social Security Act (42 
     U.S.C. 601 et seq.)
       (2) the Medicaid program under title XIX of the Social 
     Security Act (42 U.S.C. 1396 et seq.);
       (3) the State children's health insurance program 
     authorized under title XXI of the Social Security Act (42 
     U.S.C. 1397aa et seq.);
       (4) the supplemental nutrition assistance program 
     established under the Food and Nutrition Act of 2008 (7 
     U.S.C. 2011 et seq.); and
       (5) the program of block grants to States for social 
     services under subtitle A of title XX of the Social Security 
     Act (42 U.S.C. 1397 et seq.).
       (d) Verification Procedures.--In order to comply with the 
     limitation under subsection (a)--
       (1) proof of citizenship shall be required as a condition 
     for receipt of assistance or benefits under the Federal 
     means-tested benefit programs listed in subsection (c);
       (2) proof of citizenship shall be verified as a condition 
     for receiving assistance or benefits under the Federal means-
     tested benefit programs listed in subsection (c), including 
     by using the Systematic Alien Verification for Entitlements 
     Program of the U.S. Citizenship and Immigration Services to 
     confirm that an individual who has presented proof of 
     citizenship as a condition for receipt of assistance or 
     benefits under any such program is not an alien; and
       (3) officers and employees of State agencies that 
     administer a Federal means-tested benefit program listed in 
     subsection (c) shall report to any suspicious or fraudulent 
     identity information provided by an individual applying for 
     assistance or benefits to the Secretary of Homeland Security.
       (e) Nonapplication of the Privacy Act.--Notwithstanding any 
     other provision of law, section 552a of title 5, United 
     States Code (commonly referred to as the ``Privacy Act'') may 
     not be construed as prohibiting an officer or employee of a 
     State from verifying a claim of citizenship for purposes of 
     eligibility for assistance or benefits under a Federal means-
     tested benefit program listed in subsection (c).
                                 ______
                                 
  SA 2900. Mr. SASSE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. RESTORATION OF THE MEDICARE COMPARATIVE COST 
                   ADJUSTMENT (CCA) PROGRAM.

       (a) In General.--Section 1102(f) of the Health Care and 
     Education Reconciliation Act of 2010 (Public Law 111-152), 
     including the amendment made by such section, is repealed.
       (b) Conforming Amendments.--Section 1860C-1 of the Social 
     Security Act (42 U.S.C. 1395w-29), as restored pursuant to 
     the repeal made by subsection (a), is amended--
       (1) by striking ``2010'' each place it appears and 
     inserting ``2017'';
       (2) in subsection (a)(2), by striking ``2015'' and 
     ``2023''; and
       (3) in subsection (d)(3), by striking ``2013'' and 
     ``2021''.
       (c) Effective Date.--The provisions of, and the amendments 
     made by, this section shall take effect on the date of the 
     enactment of this Act.
                                 ______
                                 
  SA 2901. Mr. SASSE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, add the following:

     SEC. __. REPEAL OF ESSENTIAL HEALTH BENEFITS REQUIREMENT.

       On January 1, 2016, section 1302 of the Patient Protection 
     and Affordable Care Act (42 U.S.C. 18022) shall cease to have 
     force or effect.
                                 ______
                                 
  SA 2902. Mr. SASSE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. REPEAL OF AGE RATING RESTRICTIONS.

       Section 2701(a)(1)(A)(iii) of the Public Health Service Act 
     (42 U.S.C. 300gg(a)(1)(A)(iii)) is amended by striking ``, 
     except that'' and all that follows through ``2707(c))''.
                                 ______
                                 
  SA 2903. Mr. SASSE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; which was ordered to lie 
on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. GAO ANALYSIS OF CO-OP PLANS.

       Not later than 12 months after the date of enactment of 
     this Act, the Comptroller General of the United States shall 
     conduct an analysis, and submit to Congress a report 
     concerning the results of such analysis, of the health 
     insurance issuers that participated in the Consumer Operated 
     and Oriented Plan program under section 1322 of the Patient 
     Protection and Affordable Care Act (42 U.S.C. 18042) and are 
     no longer offering such a Plan under such program.
                                 ______
                                 
  SA 2904. Mr. ROBERTS submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. REPEAL OF PATIENT-CENTERED OUTCOMES RESEARCH.

       (a) Repeal of Medicare Trust Funds Funding.--Section 
     1183(a)(2) of the Social Security Act (42 U.S.C. 1320e-
     2(a)(2)) is amended by striking ``2016, 2017, 2018, and 
     2019'' and inserting ``and 2016''.
       (b) Prevention of Limitation of Treatment Options.--Section 
     1182 of the Social Security Act (42 U.S.C. 1320e-1) is 
     amended--
       (1) by striking subsection (c)(2); and
       (2) by striking subsection (d)(2).
       (c) Repeal of Patient-Centered Outcomes Research Trust 
     Fund.--
       (1) Appropriation.--Section 9511(b)(1)(E) of the Internal 
     Revenue Code of 1986 is amended by striking ``2016, 2017, 
     2018, and 2019'' and inserting ``and 2016''.
       (2) Termination.--Section 9511(f) of the Internal Revenue 
     Code of 1986 is amended by

[[Page 19511]]

     striking ``September 30, 2019'' and inserting ``December 31, 
     2015''.
       (d) Repeal of Fees on Insured and Self-Insured Health 
     Plans.--
       (1) Insured.--Section 4375(e) of the Internal Revenue Code 
     of 1986 is amended by striking ``2019'' and inserting 
     ``2015''.
       (2) Self-insured.--Section 4376(e) of the Internal Revenue 
     Code of 1986 is amended by striking ``2019'' and inserting 
     ``2015''.
                                 ______
                                 
  SA 2905. Mr. ROBERTS submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. REPEAL OF DISQUALIFICATION OF EXPENSES FOR OVER-THE-
                   COUNTER DRUGS UNDER CERTAIN ACCOUNTS AND 
                   ARRANGEMENTS.

       (a) HSAs.--Section 223(d)(2)(A) of the Internal Revenue 
     Code of 1986 is amended by striking the last sentence.
       (b) Archer MSAs.--Section 220(d)(2)(A) of such Code is 
     amended by striking the last sentence.
       (c) Health Flexible Spending Arrangements and Health 
     Reimbursement Arrangements.--Section 106 of such Code is 
     amended by striking subsection (f).
       (d) Effective Date.--The amendments made by this section 
     shall apply to expenses incurred after December 31, 2015.
                                 ______
                                 
  SA 2906. Mr. SANDERS submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; which was 
ordered to lie on the table; as follows:

       Beginning on page 5, strike line 24 and all that follows 
     through page 6, line 3, and insert the following:

     SEC. 105A. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 105B. MODIFICATION OF LIMITATION ON EXCESSIVE 
                   REMUNERATION.

       (a) Repeal of Performance-based Compensation and Commission 
     Exceptions for Limitation on Excessive Remuneration.--
       (1) In general.--Paragraph (4) of section 162(m) of the 
     Internal Revenue Code of 1986 is amended by striking 
     subparagraphs (B) and (C) and by redesignating subparagraphs 
     (D) through (G) as subparagraphs (B) through (E), 
     respectively.
       (2) Conforming amendments.--
       (A) Section 162(m)(5) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (E) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (B) Section 162(m)(6) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (D) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (b) Expansion of Applicable Employer.--Paragraph (2) of 
     section 162(m) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(2) Publicly held corporation.--For purposes of this 
     subsection, the term `publicly held corporation' means any 
     corporation which is an issuer (as defined in section 3 of 
     the Securities Exchange Act of 1934 (15 U.S.C. 78c))--
       ``(A) the securities of which are registered under section 
     12 of such Act (15 U.S.C. 78l), or
       ``(B) that is required to file reports under section 15(d) 
     of such Act (15 U.S.C. 78o(d)).''.
       (c) Application to All Current and Former Officers, 
     Directors, and Employees.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986, as amended by subsection (a), is amended--
       (A) by striking ``covered employee'' each place it appears 
     in paragraphs (1) and (4) and inserting ``covered 
     individual'', and
       (B) by striking ``such employee'' each place it appears in 
     subparagraphs (A) and (E) of paragraph (4) and inserting 
     ``such individual''.
       (2) Covered individual.--Paragraph (3) of section 162(m) of 
     such Code is amended to read as follows:
       ``(3) Covered individual.--For purposes of this subsection, 
     the term `covered individual' means any individual who is an 
     officer, director, or employee of the taxpayer or a former 
     officer, director, or employee of the taxpayer.''.
       (3) Conforming amendments.--

[[Page 19512]]

       (A) Section 48D(b)(3)(A) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (B) Section 409A(b)(3)(D)(ii) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (d) Special Rule for Remuneration Paid to Beneficiaries, 
     etc.--Paragraph (4) of section 162(m), as amended by 
     subsection (a), is amended by adding at the end the following 
     new subparagraph:
       ``(F) Special rule for remuneration paid to beneficiaries, 
     etc.--Remuneration shall not fail to be applicable employee 
     remuneration merely because it is includible in the income 
     of, or paid to, a person other than the covered individual, 
     including after the death of the covered individual.''.
       (e) Regulatory Authority.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(7) Regulations.--The Secretary may prescribe such 
     guidance, rules, or regulations, including with respect to 
     reporting, as are necessary to carry out the purposes of this 
     subsection.''.
       (2) Conforming amendment.--Paragraph (6) of section 162(m) 
     of such Code is amended by striking subparagraph (H).
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 105C. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or
       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after May 8, 2014, the direct or 
     indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on May 8, 2014, 
     except that the Secretary may issue regulations increasing 
     the threshold percent in any of the tests under such 
     regulations for determining if business activities constitute 
     substantial business activities for purposes of this 
     paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before May 9, 2014,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after May 8, 2014.
                                 ______
                                 
  SA 2907. Mr. BENNET (for himself and Mr. Sanders) submitted an 
amendment intended to be proposed to amendment SA 2874 proposed by Mr. 
McConnell to the bill H.R. 3762, to provide for reconciliation pursuant 
to section 2002 of the concurrent resolution on the budget for fiscal 
year 2016; as follows:
       At the appropriate place, insert the following:

     SEC. ___. ADDITIONAL FUNDING TO INCREASE ACCESS OF VETERANS 
                   TO CARE AND IMPROVE PHYSICAL INFRASTRUCTURE OF 
                   DEPARTMENT OF VETERANS AFFAIRS.

       Notwithstanding any other provision of law, with respect to 
     any increase in revenues received in the Treasury as the 
     result of the enactment of section 59A of the Internal 
     Revenue Code of 1986--
       (1) $20,000,000,000 shall be made available, without 
     further appropriation, to carry out the purposes described in 
     section 801(b) of the Veterans Access, Choice, and 
     Accountability Act of 2014 (Public Law 113-146; 38 U.S.C. 
     1701 note); and
       (2) any remaining amounts shall be used for Federal budget 
     deficit reduction or, if there is no Federal budget deficit, 
     for reducing the Federal debt in such manner as the Secretary 
     of the Treasury considers appropriate.

     SEC. ___. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar

[[Page 19513]]

     year in which the taxable year begins, determined by 
     substituting `calendar year 2015' for `calendar year 1992' in 
     subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.
                                 ______
                                 
  SA 2908. Mr. MANCHIN (for himself, Mr. Toomey, and Mr. Kirk) 
submitted an amendment intended to be proposed to amendment SA 2874 
proposed by Mr. McConnell to the bill H.R. 3762, to provide for 
reconciliation pursuant to section 2002 of the concurrent resolution on 
the budget for fiscal year 2016; as follows:

       At the end, add the following:

   TITLE II--PUBLIC SAFETY AND SECOND AMENDMENT RIGHTS PROTECTION ACT

     SECTION 201. SHORT TITLE.

       This title may be cited as the ``Public Safety and Second 
     Amendment Rights Protection Act of 2015''.

     SEC. 202. FINDINGS.

       Congress finds the following:
       (1) Congress supports, respects, and defends the 
     fundamental, individual right to keep and bear arms 
     guaranteed by the Second Amendment to the Constitution of the 
     United States.
       (2) Congress supports and reaffirms the existing 
     prohibition on a national firearms registry.
       (3) Congress believes the Department of Justice should 
     prosecute violations of background check requirements to the 
     maximum extent of the law.
       (4) There are deficits in the background check system in 
     existence prior to the date of enactment of this Act and the 
     Department of Justice should make it a top priority to work 
     with States to swiftly input missing records, including 
     mental health records.
       (5) Congress and the citizens of the United States agree 
     that in order to promote safe and responsible gun ownership, 
     dangerous criminals and the seriously mentally ill should be 
     prohibited from possessing firearms; therefore, it should be 
     incumbent upon all citizens to ensure weapons are not being 
     transferred to such people.

     SEC. 203. RULE OF CONSTRUCTION.

       Nothing in this title, or any amendment made by this title, 
     shall be construed to--
       (1) expand in any way the enforcement authority or 
     jurisdiction of the Bureau of Alcohol, Tobacco, Firearms, and 
     Explosives; or
       (2) allow the establishment, directly or indirectly, of a 
     Federal firearms registry.

     SEC. 204. SEVERABILITY.

       If any provision of this title or an amendment made by this 
     title, or the application of a provision or amendment to any 
     person or circumstance, is held to be invalid for any reason 
     in any court of competent jurisdiction, the remainder of this 
     title and amendments made by this title, and the application 
     of the provisions and amendment to any other person or 
     circumstance, shall not be affected.

Subtitle A--Ensuring That All Individuals Who Should Be Prohibited From 
  Buying a Gun Are Listed in the National Instant Criminal Background 
                              Check System

     SEC. 211. REAUTHORIZATION OF THE NATIONAL CRIMINAL HISTORY 
                   RECORDS IMPROVEMENT PROGRAM.

       Section 106(b) of Public Law 103-159 (18 U.S.C. 922 note) 
     is amended--
       (1) in paragraph (1), in the matter preceding subparagraph 
     (A), by striking ``of this Act'' and inserting ``of the 
     Public Safety and Second Amendment Rights Protection Act of 
     2015''; and
       (2) by striking paragraph (2) and inserting the following:
       ``(2) Authorization of appropriations.--There are 
     authorized to be appropriated for grants under this 
     subsection $100,000,000 for each of fiscal years 2016 through 
     2019.''.

     SEC. 212. IMPROVEMENT OF METRICS AND INCENTIVES.

       Section 102(b) of the NICS Improvement Amendments Act of 
     2007 (18 U.S.C. 922 note) is amended to read as follows:
       ``(b) Implementation Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Public Safety and Second Amendment Rights 
     Protection Act of 2015, the Attorney General, in coordination 
     with the States, shall establish for each State or Indian 
     tribal government desiring a grant under section 103 a 4-year 
     implementation plan to ensure maximum coordination and 
     automation of the reporting of records or making records 
     available to the National Instant Criminal Background Check 
     System.
       ``(2) Benchmark requirements.--Each 4-year plan established 
     under paragraph (1) shall include annual benchmarks, 
     including both qualitative goals and quantitative measures, 
     to assess implementation of the 4-year plan.
       ``(3) Penalties for non-compliance.--
       ``(A) In general.--During the 4-year period covered by a 4-
     year plan established under paragraph (1), the Attorney 
     General shall withhold--
       ``(i) 10 percent of the amount that would otherwise be 
     allocated to a State under section 505 of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3755) if the 
     State does not meet the benchmark established under paragraph 
     (2) for the first year in the 4-year period;
       ``(ii) 11 percent of the amount that would otherwise be 
     allocated to a State under section 505 of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3755) if the 
     State does not meet the benchmark established under paragraph 
     (2) for the second year in the 4-year period;
       ``(iii) 13 percent of the amount that would otherwise be 
     allocated to a State under section 505 of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3755) if the 
     State does not meet the benchmark established under paragraph 
     (2) for the third year in the 4-year period; and
       ``(iv) 15 percent of the amount that would otherwise be 
     allocated to a State under section 505 of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3755) if the 
     State does not meet the benchmark established under paragraph 
     (2) for the fourth year in the 4-year period.
       ``(B) Failure to establish a plan.--A State that fails to 
     establish a plan under paragraph (1) shall be treated as 
     having not met any benchmark established under paragraph 
     (2).''.

     SEC. 213. GRANTS TO STATES FOR IMPROVEMENT OF COORDINATION 
                   AND AUTOMATION OF NICS RECORD REPORTING.

       (a) In General.--The NICS Improvement Amendments Act of 
     2007 (18 U.S.C. 922 note) is amended--
       (1) by striking section 103 and inserting the following:

     ``SEC. 103. GRANTS TO STATES FOR IMPROVEMENT OF COORDINATION 
                   AND AUTOMATION OF NICS RECORD REPORTING.

       ``(a) Authorization.--From amounts made available to carry 
     out this section, the Attorney General shall make grants to 
     States, Indian Tribal governments, and State court systems, 
     in a manner consistent with the National Criminal History 
     Improvement Program and consistent with State plans for 
     integration, automation, and accessibility of criminal 
     history records, for use by the State, or units of local 
     government of the State, Indian Tribal government, or State 
     court system to improve the automation and transmittal of 
     mental health records and criminal history dispositions, 
     records relevant to determining whether a person has been 
     convicted of a misdemeanor crime of domestic violence, court 
     orders, and mental health adjudications or commitments to 
     Federal and State record repositories in accordance with 
     section 102 and the National Criminal History Improvement 
     Program.
       ``(b) Use of Grant Amounts.--Grants awarded to States, 
     Indian Tribal governments, or State court systems under this 
     section may only be used to--
       ``(1) carry out, as necessary, assessments of the 
     capabilities of the courts of the State or Indian Tribal 
     government for the automation and transmission of arrest and 
     conviction records, court orders, and mental health 
     adjudications or commitments to Federal and State record 
     repositories;
       ``(2) implement policies, systems, and procedures for the 
     automation and transmission of arrest and conviction records, 
     court orders, and mental health adjudications or commitments 
     to Federal and State record repositories;
       ``(3) create electronic systems that provide accurate and 
     up-to-date information which is directly related to checks 
     under the National Instant Criminal Background Check System, 
     including court disposition and corrections records;
       ``(4) assist States or Indian Tribal governments in 
     establishing or enhancing their own capacities to perform 
     background checks using the National Instant Criminal 
     Background Check System; and

[[Page 19514]]

       ``(5) develop and maintain the relief from disabilities 
     program in accordance with section 105.
       ``(c) Eligibility.--
       ``(1) In general.--To be eligible for a grant under this 
     section, a State, Indian Tribal government, or State court 
     system shall certify, to the satisfaction of the Attorney 
     General, that the State, Indian Tribal government, or State 
     court system--
       ``(A) is not prohibited by State law or court order from 
     submitting mental health records to the National Instant 
     Criminal Background Check System; and
       ``(B) subject to paragraph (2), has implemented a relief 
     from disabilities program in accordance with section 105.
       ``(2) Relief from disabilities program.--For purposes of 
     obtaining a grant under this section, a State, Indian Tribal 
     government, or State court system shall not be required to 
     meet the eligibility requirement described in paragraph 
     (1)(B) until the date that is 2 years after the date of 
     enactment of the Public Safety and Second Amendment Rights 
     Protection Act of 2015.
       ``(d) Federal Share.--
       ``(1) Studies, assessments, non-material activities.--The 
     Federal share of a study, assessment, creation of a task 
     force, or other non-material activity, as determined by the 
     Attorney General, carried out with a grant under this section 
     shall be not more than 25 percent.
       ``(2) Infrastructure or system development.--The Federal 
     share of an activity involving infrastructure or system 
     development, including labor-related costs, for the purpose 
     of improving State or Indian Tribal government record 
     reporting to the National Instant Criminal Background Check 
     System carried out with a grant under this section may amount 
     to 100 percent of the cost of the activity.
       ``(e) Grants to Indian Tribes.--Up to 5 percent of the 
     grant funding available under this section may be reserved 
     for Indian tribal governments for use by Indian tribal 
     judicial systems.
       ``(f) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $100,000,000 for each of fiscal years 2016 through 2019.'';
       (2) by striking title III; and
       (3) in section 401(b), by inserting after ``of this Act'' 
     the following: ``and 18 months after the date of enactment of 
     the Public Safety and Second Amendment Rights Protection Act 
     of 2015''.
       (b) Technical and Conforming Amendment.--The table of 
     sections in section 1(b) of the NICS Improvement Amendments 
     Act of 2007 (18 U.S.C. 922 note) is amended by striking the 
     item relating to section 103 and inserting the following:

``Sec. 103. Grants to States for improvement of coordination and 
              automation of NICS record reporting.''.

     SEC. 214. RELIEF FROM DISABILITIES PROGRAM.

       Section 105 of the NICS Improvement Amendments Act of 2007 
     (18 U.S.C. 922 note) is amended by adding at the end the 
     following:
       ``(c) Penalties for Non-compliance.--
       ``(1) 10 percent reduction.--During the 1-year period 
     beginning 2 years after the date of enactment of the Public 
     Safety and Second Amendment Rights Protection Act of 2015, 
     the Attorney General shall withhold 10 percent of the amount 
     that would otherwise be allocated to a State under section 
     505 of the Omnibus Crime Control and Safe Streets Act of 1968 
     (42 U.S.C. 3755) if the State has not implemented a relief 
     from disabilities program in accordance with this section.
       ``(2) 11 percent reduction.--During the 1-year period after 
     the expiration of the period described in paragraph (1), the 
     Attorney General shall withhold 11 percent of the amount that 
     would otherwise be allocated to a State under section 505 of 
     the Omnibus Crime Control and Safe Streets Act of 1968 (42 
     U.S.C. 3755) if the State has not implemented a relief from 
     disabilities program in accordance with this section.
       ``(3) 13 percent reduction.--During the 1-year period after 
     the expiration of the period described in paragraph (2), the 
     Attorney General shall withhold 13 percent of the amount that 
     would otherwise be allocated to a State under section 505 of 
     the Omnibus Crime Control and Safe Streets Act of 1968 (42 
     U.S.C. 3755) if the State has not implemented a relief from 
     disabilities program in accordance with this section.
       ``(4) 15 percent reduction.--After the expiration of the 1-
     year period described in paragraph (3), the Attorney General 
     shall withhold 15 percent of the amount that would otherwise 
     be allocated to a State under section 505 of the Omnibus 
     Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3755) 
     if the State has not implemented a relief from disabilities 
     program in accordance with this section.''.

     SEC. 215. ADDITIONAL PROTECTIONS FOR OUR VETERANS.

       (a) In General.--Chapter 55 of title 38, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 5511. Conditions for treatment of certain persons as 
       adjudicated mentally incompetent for certain purposes

       ``(a) In General.--In any case arising out of the 
     administration by the Secretary of laws and benefits under 
     this title, a person who is determined by the Secretary to be 
     mentally incompetent shall not be considered adjudicated 
     pursuant to subsection (d)(4) or (g)(4) of section 922 of 
     title 18 until--
       ``(1) in the case in which the person does not request a 
     review as described in subsection (c)(1), the end of the 30-
     day period beginning on the date on which the person receives 
     notice submitted under subsection (b); or
       ``(2) in the case in which the person requests a review as 
     described in paragraph (1) of subsection (c), upon an 
     assessment by the board designated or established under 
     paragraph (2) of such subsection or court of competent 
     jurisdiction that a person cannot safely use, carry, possess, 
     or store a firearm due to mental incompetency.
       ``(b) Notice.--Notice submitted under this subsection to a 
     person described in subsection (a) is notice submitted by the 
     Secretary that notifies the person of the following:
       ``(1) The determination made by the Secretary.
       ``(2) A description of the implications of being considered 
     adjudicated as a mental defective under subsection (d)(4) or 
     (g)(4) of section 922 of title 18.
       ``(3) The person's right to request a review under 
     subsection (c)(1).
       ``(c) Administrative Review.--(1) Not later than 30 days 
     after the date on which a person described in subsection (a) 
     receives notice submitted under subsection (b), such person 
     may request a review by the board designed or established 
     under paragraph (2) or a court of competent jurisdiction to 
     assess whether a person cannot safely use, carry, possess, or 
     store a firearm due to mental incompetency. In such 
     assessment, the board may consider the person's honorable 
     discharge or decoration.
       ``(2) Not later than 180 days after the date of enactment 
     of the Public Safety and Second Amendment Rights Protection 
     Act of 2015, the Secretary shall designate or establish a 
     board that shall, upon request of a person under paragraph 
     (1), assess whether a person cannot safely use, carry, 
     possess, or store a firearm due to mental incompetency.
       ``(d) Judicial Review.--Not later than 30 days after the 
     date of an assessment of a person under subsection (c) by the 
     board designated or established under paragraph (2) of such 
     subsection, such person may file a petition for judicial 
     review of such assessment with a Federal court of competent 
     jurisdiction.
       ``(e) Protecting Rights of Veterans With Existing 
     Records.--Not later than 90 days after the date of enactment 
     of the Public Safety and Second Amendment Rights Protection 
     Act of 2015, the Secretary shall provide written notice of 
     the opportunity for administrative review and appeal under 
     subsection (c) to all persons who, on the date of enactment 
     of the Public Safety and Second Amendment Rights Protection 
     Act of 2015, are considered adjudicated pursuant to 
     subsection (d)(4) or (g)(4) of section 922 of title 18 as a 
     result of having been found by the Department of Veterans 
     Affairs to be mentally incompetent.
       ``(f) Future Determinations.--
       ``(1) In general.--Not later than 180 days after the 
     enactment of the Public Safety and Second Amendment Rights 
     Protection Act of 2015, the Secretary shall review the 
     policies and procedures by which individuals are determined 
     to be mentally incompetent, and shall revise such policies 
     and procedures as necessary to ensure that any individual who 
     is competent to manage his own financial affairs, including 
     his receipt of Federal benefits, but who voluntarily turns 
     over the management thereof to a fiduciary is not considered 
     adjudicated pursuant to subsection (d)(4) or (g)(4) of 
     section 922 of title 18.
       ``(2) Report.--Not later than 30 days after the Secretary 
     has made the review and changes required under paragraph (1), 
     the Secretary shall submit to Congress a report detailing the 
     results of the review and any resulting policy and procedural 
     changes.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 55 of such title is amended by adding at 
     the end the following new item:

``5511. Conditions for treatment of certain persons as adjudicated 
              mentally incompetent for certain purposes.''.
       (c) Applicability.--Section 5511 of title 38, United States 
     Code (as added by this section), shall apply only with 
     respect to persons who are determined by the Secretary of 
     Veterans Affairs, on or after the date of the enactment of 
     this Act, to be mentally incompetent, except that those 
     persons who are provided notice pursuant to section 5511(e) 
     shall be entitled to use the administrative review under 
     section 5511(c) and, as necessary, the subsequent judicial 
     review under section 5511(d).

     SEC. 216. CLARIFICATION THAT FEDERAL COURT INFORMATION IS TO 
                   BE MADE AVAILABLE TO THE NATIONAL INSTANT 
                   CRIMINAL BACKGROUND CHECK SYSTEM.

       Section 103(e)(1) of Public Law 103-159 (18 U.S.C. 922 
     note), is amended by adding at the end the following:
       ``(F) Application to federal courts.--In this subsection--
       ``(i) the terms `department or agency of the United States' 
     and `Federal department or agency' include a Federal court; 
     and

[[Page 19515]]

       ``(ii) for purposes of any request, submission, or 
     notification, the Director of the Administrative Office of 
     the United States Courts shall perform the functions of the 
     head of the department or agency.''.

     SEC. 217. CLARIFICATION THAT SUBMISSION OF MENTAL HEALTH 
                   RECORDS TO THE NATIONAL INSTANT CRIMINAL 
                   BACKGROUND CHECK SYSTEM IS NOT PROHIBITED BY 
                   THE HEALTH INSURANCE PORTABILITY AND 
                   ACCOUNTABILITY ACT.

       Information collected under section 102(c)(3) of the NICS 
     Improvement Amendments Act of 2007 (18 U.S.C. 922 note) to 
     assist the Attorney General in enforcing section 922(g)(4) of 
     title 18, United States Code, shall not be subject to the 
     regulations promulgated under section 264(c) of the Health 
     Insurance Portability and Accountability Act of 1996 (42 
     U.S.C. 1320d-2 note).

     SEC. 218. PUBLICATION OF NICS INDEX STATISTICS.

       Not later than 180 days after the date of enactment of this 
     Act, and biannually thereafter, the Attorney General shall 
     make the National Instant Criminal Background Check System 
     index statistics available on a publically accessible 
     Internet website.

     SEC. 219. EFFECTIVE DATE.

       The amendments made by this subtitle shall take effect 180 
     days after the date of enactment of this Act.

  Subtitle B--Providing a Responsible and Consistent Background Check 
                                Process

     SEC. 221. PURPOSE.

       The purpose of this subtitle is to enhance the current 
     background check process in the United States to ensure 
     criminals and the mentally ill are not able to purchase 
     firearms.

     SEC. 222. FIREARMS TRANSFERS.

       (a) In General.--Section 922 of title 18, United States 
     Code, is amended--
       (1) by repealing subsection (s);
       (2) by redesignating subsection (t) as subsection (s);
       (3) in subsection (s), as redesignated--
       (A) in paragraph (1)(B)--
       (i) in clause (i), by striking ``or'';
       (ii) in clause (ii), by striking ``and'' at the end; and
       (iii) by adding at the end the following:
       ``(iii) in the case of an instant background check 
     conducted at a gun show or event during the 4-year period 
     beginning on the effective date under section 230(a) of the 
     Public Safety and Second Amendment Rights Protection Act of 
     2015, 48 hours have elapsed since the licensee contacted the 
     system, and the system has not notified the licensee that the 
     receipt of a firearm by such other person would violate 
     subsection (g) or (n) of this section; or
       ``(iv) in the case of an instant background check conducted 
     at a gun show or event after the 4-year period described in 
     clause (iii), 24 hours have elapsed since the licensee 
     contacted the system, and the system has not notified the 
     licensee that the receipt of a firearm by such other person 
     would violate subsection (g) or (n) of this section; and'';
       (B) in paragraph (3)(C)(ii), by striking ``(as defined in 
     subsection (s)(8))''; and
       (C) by adding at the end the following:
       ``(7) In this subsection--
       ``(A) the term `chief law enforcement officer' means the 
     chief of police, the sheriff, or an equivalent officer or the 
     designee of any such individual; and
       ``(B) the term `gun show or event' has the meaning given 
     the term in subsection (t)(7).
       ``(8) The Federal Bureau of Investigation shall not charge 
     a user fee for a background check conducted pursuant to this 
     subsection.
       ``(9) Notwithstanding any other provision of this chapter, 
     upon receiving a request for an instant background check that 
     originates from a gun show or event, the system shall 
     complete the instant background check before completing any 
     pending instant background check that did not originate from 
     a gun show or event.''; and
       (4) by inserting after subsection (s), as redesignated, the 
     following:
       ``(t)(1) Beginning on the date that is 180 days after the 
     date of enactment of this subsection and except as provided 
     in paragraph (2), it shall be unlawful for any person other 
     than a licensed dealer, licensed manufacturer, or licensed 
     importer to complete the transfer of a firearm to any other 
     person who is not licensed under this chapter, if such 
     transfer occurs--
       ``(A) at a gun show or event, on the curtilage thereof; or
       ``(B) pursuant to an advertisement, posting, display or 
     other listing on the Internet or in a publication by the 
     transferor of his intent to transfer, or the transferee of 
     his intent to acquire, the firearm.
       ``(2) Paragraph (1) shall not apply if--
       ``(A) the transfer is made after a licensed importer, 
     licensed manufacturer, or licensed dealer has first taken 
     possession of the firearm for the purpose of complying with 
     subsection (s), and upon taking possession of the firearm, 
     the licensee--
       ``(i) complies with all requirements of this chapter as if 
     the licensee were transferring the firearm from the 
     licensee's business inventory to the unlicensed transferee, 
     except that when processing a transfer under this chapter the 
     licensee may accept in lieu of conducting a background check 
     a valid permit issued within the previous 5 years by a State, 
     or a political subdivision of a State, that allows the 
     transferee to possess, acquire, or carry a firearm, if the 
     law of the State, or political subdivision of a State, that 
     issued the permit requires that such permit is issued only 
     after an authorized government official has verified that the 
     information available to such official does not indicate that 
     possession of a firearm by the unlicensed transferee would be 
     in violation of Federal, State, or local law;
       ``(B) the transfer is made between an unlicensed transferor 
     and an unlicensed transferee residing in the same State, 
     which takes place in such State, if--
       ``(i) the Attorney General certifies that State in which 
     the transfer takes place has in effect requirements under law 
     that are generally equivalent to the requirements of this 
     section; and
       ``(ii) the transfer was conducted in compliance with the 
     laws of the State;
       ``(C) the transfer is made between spouses, between parents 
     or spouses of parents and their children or spouses of their 
     children, between siblings or spouses of siblings, or between 
     grandparents or spouses of grandparents and their 
     grandchildren or spouses of their grandchildren, or between 
     aunts or uncles or their spouses and their nieces or nephews 
     or their spouses, or between first cousins, if the transferor 
     does not know or have reasonable cause to believe that the 
     transferee is prohibited from receiving or possessing a 
     firearm under Federal, State, or local law; or
       ``(D) the Attorney General has approved the transfer under 
     section 5812 of the Internal Revenue Code of 1986.
       ``(3) A licensed importer, licensed manufacturer, or 
     licensed dealer who processes a transfer of a firearm 
     authorized under paragraph (2)(A) shall not be subject to a 
     license revocation or license denial based solely upon a 
     violation of those paragraphs, or a violation of the rules or 
     regulations promulgated under this paragraph, unless the 
     licensed importer, licensed manufacturer, or licensed 
     dealer--
       ``(A) knows or has reasonable cause to believe that the 
     information provided for purposes of identifying the 
     transferor, transferee, or the firearm is false;
       ``(B) knows or has reasonable cause to believe that the 
     transferee is prohibited from purchasing, receiving, or 
     possessing a firearm by Federal or State law, or published 
     ordinance; or
       ``(C) knowingly violates any other provision of this 
     chapter, or the rules or regulations promulgated thereunder.
       ``(4)(A) Notwithstanding any other provision of this 
     chapter, except for section 923(m), the Attorney General may 
     implement this subsection with regulations.
       ``(B) Regulations promulgated under this paragraph may not 
     include any provision requiring licensees to facilitate 
     transfers in accordance with paragraph (2)(A).
       ``(C) Regulations promulgated under this paragraph may not 
     include any provision requiring persons not licensed under 
     this chapter to keep records of background checks or firearms 
     transfers.
       ``(D) Regulations promulgated under this paragraph may not 
     include any provision placing a cap on the fee licensees may 
     charge to facilitate transfers in accordance with paragraph 
     (2)(A).
       ``(5)(A) A person other than a licensed importer, licensed 
     manufacturer, or licensed dealer, who makes a transfer of a 
     firearm in accordance with this section, or who is the 
     organizer of a gun show or event at which such transfer 
     occurs, shall be immune from a qualified civil liability 
     action relating to the transfer of the firearm as if the 
     person were a seller of a qualified product.
       ``(B) A provider of an interactive computer service shall 
     be immune from a qualified civil liability action relating to 
     the transfer of a firearm as if the provider of an 
     interactive computer service were a seller of a qualified 
     product.
       ``(C) In this paragraph--
       ``(i) the term `interactive computer service' shall have 
     the meaning given the term in section 230(f) of the 
     Communications Act of 1934 (47 U.S.C. 230(f)); and
       ``(ii) the terms `qualified civil liability action', 
     `qualified product', and `seller' shall have the meanings 
     given the terms in section 4 of the Protection of Lawful 
     Commerce in Arms Act (15 U.S.C. 7903).
       ``(D) Nothing in this paragraph shall be construed to 
     affect the immunity of a provider of an interactive computer 
     service under section 230 of the Communications Act of 1934 
     (47 U.S.C. 230).
       ``(6) In any civil liability action in any State or Federal 
     court arising from the criminal or unlawful use of a firearm 
     following a transfer of such firearm for which no background 
     check was required under this section, this section shall not 
     be construed--
       ``(A) as creating a cause of action for any civil 
     liability; or
       ``(B) as establishing any standard of care.
       ``(7) For purposes of this subsection, the term `gun show 
     or event'--
       ``(A) means any event at which 75 or more firearms are 
     offered or exhibited for sale, exchange, or transfer, if 1 or 
     more of the firearms has been shipped or transported in, or 
     otherwise affects, interstate or foreign commerce; and
       ``(B) does not include an offer or exhibit of firearms for 
     sale, exchange, or transfer by an

[[Page 19516]]

     individual from the personal collection of that individual, 
     at the private residence of that individual, if the 
     individual is not required to be licensed under section 
     923.''.
       (b) Prohibiting the Seizure of Records or Documents.--
     Section 923(g)(1)(D) is amended by striking, ``The inspection 
     and examination authorized by this paragraph shall not be 
     construed as authorizing the Attorney General to seize any 
     records or other documents other than those records or 
     documents constituting material evidence of a violation of 
     law,'' and inserting the following: ``The Attorney General 
     shall be prohibited from seizing any records or other 
     documents in the course of an inspection or examination 
     authorized by this paragraph other than those records or 
     documents constituting material evidence of a violation of 
     law.''.
       (c) Prohibition of National Gun Registry.--Section 923 of 
     title 18, United States Code, is amended by adding at the end 
     the following:
       ``(m) The Attorney General may not consolidate or 
     centralize the records of the--
       ``(1) acquisition or disposition of firearms, or any 
     portion thereof, maintained by--
       ``(A) a person with a valid, current license under this 
     chapter;
       ``(B) an unlicensed transferor under section 922(t); or
       ``(2) possession or ownership of a firearm, maintained by 
     any medical or health insurance entity.''.
       (d) Technical and Conforming Amendments.--
       (1) Section 922.--Section 922(y)(2) of title 18, United 
     States Code, is amended, in the matter preceding subparagraph 
     (A), by striking ``, (g)(5)(B), and (s)(3)(B)(v)(II)'' and 
     inserting ``and (g)(5)(B)''.
       (2) Consolidated and further continuing appropriations act, 
     2012.--Section 511 of title V of division B of the 
     Consolidated and Further Continuing Appropriations Act, 2012 
     (18 U.S.C. 922 note) is amended by striking ``subsection 
     922(t)'' and inserting ``subsection (s) or (t) of section 
     922'' each place it appears.

     SEC. 223. PENALTIES.

       Section 924 of title 18, United States Code, is amended--
       (1) in subsection (a), by adding at the end the following:
       ``(8) Whoever makes or attempts to make a transfer of a 
     firearm in violation of section 922(t) to a person not 
     licensed under this chapter who is prohibited from receiving 
     a firearm under subsection (g) or (n) of section 922 or State 
     law, to a law enforcement officer, or to a person acting at 
     the direction of, or with the approval of, a law enforcement 
     officer authorized to investigate or prosecute violations of 
     section 922(t), shall be fined under this title, imprisoned 
     not more than 5 years, or both.''; and
       (2) by adding at the end the following:
       ``(q) Improper Use of Storage of Records.--Any person who 
     knowingly violates section 923(m) shall be fined under this 
     title, imprisoned not more than 15 years, or both.''.

     SEC. 224. FIREARMS DISPOSITIONS.

       Section 922(b)(3) of title 18, United States Code, is 
     amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``located'' and inserting ``located or temporarily located''; 
     and
       (2) in subparagraph (A)--
       (A) by striking ``rifle or shotgun'' and inserting 
     ``firearm'';
       (B) by striking ``located'' and inserting ``located or 
     temporarily located''; and
       (C) by striking ``both such States'' and inserting ``the 
     State in which the transfer is conducted and the State of 
     residence of the transferee''.

     SEC. 225. FIREARM DEALER ACCESS TO LAW ENFORCEMENT 
                   INFORMATION.

       Section 103(b) of Public Law 103-159 (18 U.S.C. 922 note), 
     is amended--
       (1) by striking ``Not later than'' and inserting the 
     following:
       ``(1) In general.--Not later than''; and
       (2) by adding at the end the following:
       ``(2) Voluntary background checks.--Not later than 90 days 
     after the date of enactment of the Public Safety and Second 
     Amendment Rights Protection Act of 2015, the Attorney General 
     shall promulgate regulations allowing licensees to use the 
     National Instant Criminal Background Check System established 
     under this section for purposes of conducting voluntary 
     preemployment background checks on prospective employees.''.

     SEC. 226. DEALER LOCATION.

       Section 923 of title 18, United States Code, is amended--
       (1) in subsection (j)--
       (A) in the first sentence, by striking ``, and such 
     location is in the State which is specified on the license''; 
     and
       (B) in the last sentence--
       (i) by inserting ``transfer,'' after ``sell,''; and
       (ii) by striking ``Act,'' and all that follows and 
     inserting ``Act.''; and
       (2) by adding after subsection (m), as added by section 
     222(c), the following:
       ``(n) Nothing in this chapter shall be construed to 
     prohibit the sale, transfer, delivery, or other disposition 
     of a firearm or ammunition not otherwise prohibited under 
     this chapter--
       ``(1) by a person licensed under this chapter to another 
     person so licensed, at any location in any State; or
       ``(2) by a licensed importer, licensed manufacturer, or 
     licensed dealer to a person not licensed under this chapter, 
     at a temporary location described in subsection (j) in any 
     State.''.

     SEC. 227. RESIDENCE OF UNITED STATES OFFICERS.

       Section 921 of title 18, United States Code, is amended by 
     striking subsection (b) and inserting the following:
       ``(b) For purposes of this chapter:
       ``(1) A member of the Armed Forces on active duty, or a 
     spouse of such a member, is a resident of--
       ``(A) the State in which the member or spouse maintains 
     legal residence;
       ``(B) the State in which the permanent duty station of the 
     member is located; and
       ``(C) the State in which the member maintains a place of 
     abode from which the member commutes each day to the 
     permanent duty station of the member.
       ``(2) An officer or employee of the United States (other 
     than a member of the Armed Forces) who is stationed outside 
     the United States for a period of more than 1 year, and a 
     spouse of such an officer or employee, is a resident of the 
     State in which the person maintains legal residence.''.

     SEC. 228. INTERSTATE TRANSPORTATION OF FIREARMS OR 
                   AMMUNITION.

       (a) In General.--Section 926A of title 18, United States 
     Code, is amended to read as follows:

     ``Sec. 926A. Interstate transportation of firearms or 
       ammunition

       ``(a) Definition.--In this section, the term `transport'--
       ``(1) includes staying in temporary lodging overnight, 
     stopping for food, fuel, vehicle maintenance, an emergency, 
     medical treatment, and any other activity incidental to the 
     transport; and
       ``(2) does not include transportation--
       ``(A) with the intent to commit a crime punishable by 
     imprisonment for a term exceeding 1 year that involves a 
     firearm; or
       ``(B) with knowledge, or reasonable cause to believe, that 
     a crime described in subparagraph (A) is to be committed in 
     the course of, or arising from, the transportation.
       ``(b) Authorization.--Notwithstanding any provision of any 
     law (including a rule or regulation) of a State or any 
     political subdivision thereof, a person who is not prohibited 
     by this chapter from possessing, transporting, shipping, or 
     receiving a firearm or ammunition shall be entitled to--
       ``(1) transport a firearm for any lawful purpose from any 
     place where the person may lawfully possess, carry, or 
     transport the firearm to any other such place if, during the 
     transportation--
       ``(A) the firearm is unloaded; and
       ``(B)(i) if the transportation is by motor vehicle--
       ``(I) the firearm is not directly accessible from the 
     passenger compartment of the motor vehicle; or
       ``(II) if the motor vehicle is without a compartment 
     separate from the passenger compartment, the firearm is--

       ``(aa) in a locked container other than the glove 
     compartment or console; or
       ``(bb) secured by a secure gun storage or safety device; or

       ``(ii) if the transportation is by other means, the firearm 
     is in a locked container or secured by a secure gun storage 
     or safety device; and
       ``(2) transport ammunition for any lawful purpose from any 
     place where the person may lawfully possess, carry, or 
     transport the ammunition, to any other such place if, during 
     the transportation--
       ``(A) the ammunition is not loaded into a firearm; and
       ``(B)(i) if the transportation is by motor vehicle--
       ``(I) the ammunition is not directly accessible from the 
     passenger compartment of the motor vehicle; or
       ``(II) if the motor vehicle is without a compartment 
     separate from the passenger compartment, the ammunition is in 
     a locked container other than the glove compartment or 
     console; or
       ``(ii) if the transportation is by other means, the 
     ammunition is in a locked container.
       ``(c) Limitation on Arrest Authority.--A person who is 
     transporting a firearm or ammunition may not be--
       ``(1) arrested for violation of any law or any rule or 
     regulation of a State, or any political subdivision thereof, 
     relating to the possession, transportation, or carrying of 
     firearms or ammunition, unless there is probable cause that 
     the transportation is not in accordance with subsection (b); 
     or
       ``(2) detained for violation of any law or any rule or 
     regulation of a State, or any political subdivision thereof, 
     relating to the possession, transportation, or carrying of 
     firearms or ammunition, unless there is reasonable suspicion 
     that the transportation is not in accordance with subsection 
     (b).''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 44 of title 18, United States Code, is 
     amended by striking the item relating to section 926A and 
     inserting the following:


[[Page 19517]]


``926A. Interstate transportation of firearms or ammunition.''.

     SEC. 229. RULE OF CONSTRUCTION.

       Nothing in this subtitle, or an amendment made by this 
     subtitle, shall be construed--
       (1) to extend background check requirements to transfers 
     other than those made at gun shows or on the curtilage 
     thereof, or pursuant to an advertisement, posting, display, 
     or other listing on the Internet or in a publication by the 
     transferor of the intent of the transferor to transfer, or 
     the transferee of the intent of the transferee to acquire, 
     the firearm; or
       (2) to extend background check requirements to temporary 
     transfers for purposes including lawful hunting or sporting 
     or to temporary possession of a firearm for purposes of 
     examination or evaluation by a prospective transferee.

     SEC. 230. EFFECTIVE DATE.

       (a) In General.--Except as provided in subsection (b), this 
     subtitle and the amendments made by this subtitle shall take 
     effect 180 days after the date of enactment of this Act.
       (b) Firearm Dealer Access to Law Enforcement Information.--
     Section 225 and the amendments made by section 225 shall take 
     effect on the date of enactment of this Act.

            Subtitle C--National Commission on Mass Violence

     SEC. 241. SHORT TITLE.

       This subtitle may be cited as the ``National Commission on 
     Mass Violence Act of 2015''.

     SEC. 242. NATIONAL COMMISSION ON MASS VIOLENCE.

       (a) Establishment of Commission.--There is established a 
     commission to be known as the National Commission on Mass 
     Violence (in this subtitle referred to as the ``Commission'') 
     to study the availability and nature of firearms, including 
     the means of acquiring firearms, issues relating to mental 
     health, and all positive and negative impacts of the 
     availability and nature of firearms on incidents of mass 
     violence or in preventing mass violence.
       (b) Membership.--
       (1) Appointments.--The Commission shall be composed of 12 
     members, of whom--
       (A) 6 members of the Commission shall be appointed by the 
     Majority Leader of the Senate, in consultation with the 
     Democratic leadership of the House of Representatives, 1 of 
     whom shall serve as Chairman of the Commission; and
       (B) 6 members of the Commission shall be appointed by the 
     Speaker of the House of Representatives, in consultation with 
     the Republican leadership of the Senate, 1 of whom shall 
     serve as Vice Chairman of the Commission.
       (2) Persons eligible.--
       (A) In general.--The members appointed to the Commission 
     shall include--
       (i) well-known and respected individuals among their peers 
     in their respective fields of expertise; and
       (ii) not less than 1 non-elected individual from each of 
     the following categories, who has expertise in the category, 
     by both experience and training:

       (I) Firearms.
       (II) Mental health.
       (III) School safety.
       (IV) Mass media.

       (B) Experts.--In identifying the individuals to serve on 
     the Commission, the appointing authorities shall take special 
     care to identify experts in the fields described in section 
     243(a)(2).
       (C) Party affiliation.--Not more than 6 members of the 
     Commission shall be from the same political party.
       (3) Completion of appointments; vacancies.--Not later than 
     30 days after the date of enactment of this Act, the 
     appointing authorities under paragraph (1) shall each make 
     their respective appointments. Any vacancy that occurs during 
     the life of the Commission shall not affect the powers of the 
     Commission, and shall be filled in the same manner as the 
     original appointment not later than 30 days after the vacancy 
     occurs.
       (4) Operation of the commission.--
       (A) Meetings.--
       (i) In general.--The Commission shall meet at the call of 
     the Chairman.
       (ii) Initial meeting.--The initial meeting of the 
     Commission shall be conducted not later than 30 days after 
     the later of--

       (I) the date of the appointment of the last member of the 
     Commission; or
       (II) the date on which appropriated funds are available for 
     the Commission.

       (B) Quorum; vacancies; voting; rules.--A majority of the 
     members of the Commission shall constitute a quorum to 
     conduct business, but the Commission may establish a lesser 
     quorum for conducting hearings scheduled by the Commission. 
     Each member of the Commission shall have 1 vote, and the vote 
     of each member shall be accorded the same weight. The 
     Commission may establish by majority vote any other rules for 
     the conduct of the Commission's business, if such rules are 
     not inconsistent with this subtitle or other applicable law.

     SEC. 243. DUTIES OF THE COMMISSION.

       (a) Study.--
       (1) In general.--It shall be the duty of the Commission to 
     conduct a comprehensive factual study of incidents of mass 
     violence, including incidents of mass violence not involving 
     firearms, in the context of the many acts of senseless mass 
     violence that occur in the United States each year, in order 
     to determine the root causes of such mass violence.
       (2) Matters to be studied.--In determining the root causes 
     of these recurring and tragic acts of mass violence, the 
     Commission shall study any matter that the Commission 
     determines relevant to meeting the requirements of paragraph 
     (1), including at a minimum--
       (A) the role of schools, including the level of involvement 
     and awareness of teachers and school administrators in the 
     lives of their students and the availability of mental health 
     and other resources and strategies to help detect and counter 
     tendencies of students towards mass violence;
       (B) the effectiveness of and resources available for school 
     security strategies to prevent incidents of mass violence;
       (C) the role of families and the availability of mental 
     health and other resources and strategies to help families 
     detect and counter tendencies toward mass violence;
       (D) the effectiveness and use of, and resources available 
     to, the mental health system in understanding, detecting, and 
     countering tendencies toward mass violence, as well as the 
     effects of treatments and therapies;
       (E) whether medical doctors and other mental health 
     professionals have the ability, without negative legal or 
     professional consequences, to notify law enforcement 
     officials when a patient is a danger to himself or others;
       (F) the nature and impact of the alienation of the 
     perpetrators of such incidents of mass violence from their 
     schools, families, peer groups, and places of work;
       (G) the role that domestic violence plays in causing 
     incidents of mass violence;
       (H) the effect of depictions of mass violence in the media, 
     and any impact of such depictions on incidents of mass 
     violence;
       (I) the availability and nature of firearms, including the 
     means of acquiring such firearms, and all positive and 
     negative impacts of such availability and nature on incidents 
     of mass violence or in preventing mass violence;
       (J) the role of current prosecution rates in contributing 
     to the availability of weapons that are used in mass 
     violence;
       (K) the availability of information regarding the 
     construction of weapons, including explosive devices, and any 
     impact of such information on such incidents of mass 
     violence;
       (L) the views of law enforcement officials, religious 
     leaders, mental health experts, and other relevant officials 
     on the root causes and prevention of mass violence;
       (M) incidents in which firearms were used to stop mass 
     violence; and
       (N) any other area that the Commission determines 
     contributes to the causes of mass violence.
       (3) Testimony of victims and survivors.--In determining the 
     root causes of these recurring and tragic incidents of mass 
     violence, the Commission shall, in accordance with section 
     244(a), take the testimony of victims and survivors to learn 
     and memorialize their views and experiences regarding such 
     incidents of mass violence.
       (b) Recommendations.--Based on the findings of the study 
     required under subsection (a), the Commission shall make 
     recommendations to the President and Congress to address the 
     causes of these recurring and tragic incidents of mass 
     violence and to reduce such incidents of mass violence.
       (c) Reports.--
       (1) Interim report.--Not later than 3 months after the date 
     on which the Commission first meets, the Commission shall 
     submit to the President and Congress an interim report 
     describing any initial recommendations of the Commission.
       (2) Final report.--Not later than 6 months after the date 
     on which the Commission first meets, the Commission shall 
     submit to the President and Congress a comprehensive report 
     of the findings and conclusions of the Commission, together 
     with the recommendations of the Commission.
       (3) Summaries.--The report under paragraph (2) shall 
     include a summary of--
       (A) the reports submitted to the Commission by any entity 
     under contract for research under section 244(e); and
       (B) any other material relied on by the Commission in the 
     preparation of the report.

     SEC. 244. POWERS OF THE COMMISSION.

       (a) Hearings.--
       (1) In general.--The Commission may hold such hearings, sit 
     and act at such times and places, administer such oaths, take 
     such testimony, and receive such evidence as the Commission 
     considers advisable to carry out its duties under section 
     243.
       (2) Witness expenses.--Witnesses requested to appear before 
     the Commission shall be paid the same fees as are paid to 
     witnesses under section 1821 of title 28, United States Code.
       (b) Information From Federal Agencies.--The Commission may 
     secure directly from any Federal agency such information as 
     the Commission considers necessary to carry out its duties 
     under section 243. Upon

[[Page 19518]]

     the request of the Commission, the head of such agency may 
     furnish such information to the Commission.
       (c) Information to Be Kept Confidential.--
       (1) In general.--The Commission shall be considered an 
     agency of the Federal Government for purposes of section 1905 
     of title 18, United States Code, and any individual employed 
     by any individual or entity under contract with the 
     Commission under subsection (d) shall be considered an 
     employee of the Commission for the purposes of section 1905 
     of title 18, United States Code.
       (2) Disclosure.--Information obtained by the Commission or 
     the Attorney General under this subtitle and shared with the 
     Commission, other than information available to the public, 
     shall not be disclosed to any person in any manner, except--
       (A) to Commission employees or employees of any individual 
     or entity under contract to the Commission under subsection 
     (d) for the purpose of receiving, reviewing, or processing 
     such information;
       (B) upon court order; or
       (C) when publicly released by the Commission in an 
     aggregate or summary form that does not directly or 
     indirectly disclose--
       (i) the identity of any person or business entity; or
       (ii) any information which could not be released under 
     section 1905 of title 18, United States Code.
       (d) Contracting for Research.--The Commission may enter 
     into contracts with any entity for research necessary to 
     carry out the duties of the Commission under section 243.

     SEC. 245. COMMISSION PERSONNEL MATTERS.

       (a) Compensation of Members.--Each member of the Commission 
     who is not an officer or employee of the Federal Government 
     shall be compensated at a rate equal to the daily equivalent 
     of the annual rate of basic pay prescribed for level IV of 
     the Executive Schedule under section 5315 of title 5, United 
     States Code, for each day (including travel time) during 
     which such member is engaged in the performance of the duties 
     of the Commission. All members of the Commission who are 
     officers or employees of the United States shall serve 
     without compensation in addition to that received for their 
     services as officers or employees of the United States.
       (b) Travel Expenses.--The members of the Commission shall 
     be allowed travel expenses, including per diem in lieu of 
     subsistence, at rates authorized for employees of agencies 
     under subchapter I of chapter 57 of title 5, United States 
     Code, while away from their homes or regular places of 
     business in the performance of service for the Commission.
       (c) Staff.--
       (1) In general.--The Chairman of the Commission may, 
     without regard to the civil service laws and regulations, 
     appoint and terminate an executive director and such other 
     additional employees as may be necessary to enable the 
     Commission to perform its duties. The employment and 
     termination of an executive director shall be subject to 
     confirmation by a majority of the members of the Commission.
       (2) Compensation.--The executive director shall be 
     compensated at a rate not to exceed the rate payable for 
     level V of the Executive Schedule under section 5316 of title 
     5, United States Code. The Chairman may fix the compensation 
     of other employees 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, except that the rate of pay 
     for such employees may not exceed the rate payable for level 
     V of the Executive Schedule under section 5316 of such title.
       (3) Detail of government employees.--Any Federal Government 
     employee, with the approval of the head of the appropriate 
     Federal agency, may be detailed to the Commission without 
     reimbursement, and such detail shall be without interruption 
     or loss of civil service status, benefits, or privilege.
       (d) Procurement of Temporary and Intermittent Services.--
     The Chairman of the Commission may procure temporary and 
     intermittent services under section 3109(b) of title 5, 
     United States Code, at rates for individuals not to exceed 
     the daily equivalent of the annual rate of basic pay 
     prescribed for level V of the Executive Schedule under 
     section 5316 of such title.

     SEC. 246. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Commission 
     and any agency of the Federal Government assisting the 
     Commission in carrying out its duties under this subtitle 
     such sums as may be necessary to carry out the purposes of 
     this subtitle. Any sums appropriated shall remain available, 
     without fiscal year limitation, until expended.

     SEC. 247. TERMINATION OF THE COMMISSION.

       The Commission shall terminate 30 days after the Commission 
     submits the final report under section 243(c)(2).
                                 ______
                                 
  SA 2909. Mr. MARKEY (for himself and Mr. Murphy) submitted an 
amendment intended to be proposed to amendment SA 2874 proposed by Mr. 
McConnell to the bill H.R. 3762, to provide for reconciliation pursuant 
to section 2002 of the concurrent resolution on the budget for fiscal 
year 2016; which was ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. FUNDING FOR RESEARCH BY CDC ON FIREARMS SAFETY OR 
                   GUN VIOLENCE PREVENTION.

       Notwithstanding any other provision of law, there is 
     authorized to be appropriated to the Centers for Disease 
     Control and Prevention $10,000,000 for each of fiscal years 
     2016 through 2021 for the purpose of conducting or supporting 
     research on firearms safety or gun violence prevention under 
     the Public Health Service Act (42 U.S.C. 201 et seq.). The 
     amount authorized to be appropriated by the preceding 
     sentence is in addition to any other amounts authorized to be 
     appropriated for such purpose.
                                 ______
                                 
  SA 2910. Mrs. FEINSTEIN (for herself, Mr. Whitehouse, Mr. Reed, Mrs. 
Gillibrand, Mr. Schumer, Mr. Durbin, Mr. Murphy, Mr. Blumenthal, Mrs. 
Boxer, Mr. Menendez, Ms. Warren, Mr. Markey, Mr. Schatz, Ms. Hirono, 
Ms. Klobuchar, Mr. Franken, Mr. Warner, Mr. Kaine, Mr. King, Ms. 
Mikulski, Mrs. McCaskill, Mr. Brown, Mr. Casey, Mr. Sanders, Mrs. 
Murray, and Ms. Baldwin) submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; as follows:

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Denying Firearms and 
     Explosives to Dangerous Terrorists Act of 2015''.

     SEC. 2. GRANTING THE ATTORNEY GENERAL THE AUTHORITY TO DENY 
                   THE SALE, DELIVERY, OR TRANSFER OF A FIREARM OR 
                   THE ISSUANCE OF A FIREARMS OR EXPLOSIVES 
                   LICENSE OR PERMIT TO DANGEROUS TERRORISTS.

       (a) Standard for Exercising Attorney General Discretion 
     Regarding Transferring Firearms or Issuing Firearms Permits 
     to Dangerous Terrorists.--Chapter 44 of title 18, United 
     States Code, is amended--
       (1) by inserting after section 922 the following:

     ``Sec. 922A. Attorney General's discretion to deny transfer 
       of a firearm

       ``The Attorney General may deny the transfer of a firearm 
     under section 922(t)(1)(B)(ii) of this title if the Attorney 
     General--
       ``(1) determines that the transferee is known (or 
     appropriately suspected) to be or have been engaged in 
     conduct constituting, in preparation for, in aid of, or 
     related to terrorism, or providing material support or 
     resources for terrorism; and
       ``(2) has a reasonable belief that the prospective 
     transferee may use a firearm in connection with terrorism.

     ``Sec. 922B. Attorney General's discretion regarding 
       applicants for firearm permits which would qualify for the 
       exemption provided under section 922(t)(3)

       ``The Attorney General may determine that--
       ``(1) an applicant for a firearm permit which would qualify 
     for an exemption under section 922(t)(3) is known (or 
     appropriately suspected) to be or have been engaged in 
     conduct constituting, in preparation for, in aid of, or 
     related to terrorism, or providing material support or 
     resources for terrorism; and
       ``(2) the Attorney General has a reasonable belief that the 
     applicant may use a firearm in connection with terrorism.'';
       (2) in section 921(a), by adding at the end the following:
       ``(36) The term `terrorism' includes international 
     terrorism and domestic terrorism, as defined in section 2331 
     of this title.
       ``(37) The term `material support or resources' has the 
     meaning given the term in section 2339A of this title.
       ``(38) The term `responsible person' means an individual 
     who has the power, directly or indirectly, to direct or cause 
     the direction of the management and policies of the applicant 
     or licensee pertaining to firearms.''; and
       (3) in the table of sections, by inserting after the item 
     relating to section 922 the following:

``922A. Attorney General's discretion to deny transfer of a firearm.
``922B. Attorney General's discretion regarding applicants for firearm 
              permits which would qualify for the exemption provided 
              under section 922(t)(3).''.

       (b) Effect of Attorney General Discretionary Denial Through 
     the National Instant Criminal Background Check System (NICS) 
     on Firearms Permits.--Section 922(t) of title 18, United 
     States Code, is amended--
       (1) in paragraph (1)(B)(ii), by inserting ``or State law, 
     or that the Attorney General has determined to deny the 
     transfer of a firearm pursuant to section 922A of this 
     title'' before the semicolon;

[[Page 19519]]

       (2) in paragraph (2), in the matter preceding subparagraph 
     (A), by inserting ``, or if the Attorney General has not 
     determined to deny the transfer of a firearm pursuant to 
     section 922A of this title'' after ``or State law'';
       (3) in paragraph (3)--
       (A) in subparagraph (A)--
       (i) in clause (i)--

       (I) in subclause (I), by striking ``and'' at the end; and
       (II) by adding at the end the following:

       ``(III) was issued after a check of the system established 
     pursuant to paragraph (1);'';
       (ii) in clause (ii), by inserting ``and'' after the 
     semicolon; and
       (iii) by adding at the end the following:
       ``(iii) the State issuing the permit agrees to deny the 
     permit application if such other person is the subject of a 
     determination by the Attorney General pursuant to section 
     922B of this title;'';
       (4) in paragraph (4), by inserting ``, or if the Attorney 
     General has not determined to deny the transfer of a firearm 
     pursuant to section 922A of this title'' after ``or State 
     law''; and
       (5) in paragraph (5), by inserting ``, or if the Attorney 
     General has determined to deny the transfer of a firearm 
     pursuant to section 922A of this title'' after ``or State 
     law''.
       (c) Unlawful Sale or Disposition of Firearm Based Upon 
     Attorney General Discretionary Denial.--Section 922(d) of 
     title 18, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'' at the end;
       (2) in paragraph (9), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(10) has been the subject of a determination by the 
     Attorney General under section 922A, 922B, 923(d)(3), or 
     923(e) of this title.''.
       (d) Attorney General Discretionary Denial as Prohibitor.--
     Section 922(g) of title 18, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'' at the end;
       (2) in paragraph (9), by striking the comma at the end and 
     inserting ``; or''; and
       (3) by inserting after paragraph (9) the following:
       ``(10) who has received actual notice of the Attorney 
     General's determination made under section 922A, 922B, 
     923(d)(3) or 923(e) of this title,''.
       (e) Attorney General Discretionary Denial of Federal 
     Firearms Licenses.--Section 923(d) of title 18, United States 
     Code, is amended--
       (1) in paragraph (1), in the matter preceding subparagraph 
     (A), by striking ``Any'' and inserting ``Except as provided 
     in paragraph (3), any''; and
       (2) by adding at the end the following:
       ``(3) The Attorney General may deny a license application 
     if the Attorney General determines that the applicant 
     (including any responsible person) is known (or appropriately 
     suspected) to be or have been engaged in conduct 
     constituting, in preparation for, in aid of, or related to 
     terrorism, or providing material support or resources for 
     terrorism, and the Attorney General has a reasonable belief 
     that the applicant may use a firearm in connection with 
     terrorism.''.
       (f) Discretionary Revocation of Federal Firearms 
     Licenses.--Section 923(e) of title 18, United States Code, is 
     amended--
       (1) by inserting ``(1)'' after ``(e)'';
       (2) by striking ``revoke any license'' and inserting the 
     following: ``revoke--
       ``(A) any license'';
       (3) by striking ``. The Attorney General may, after notice 
     and opportunity for hearing, revoke the license'' and 
     inserting the following: ``;
       ``(B) the license''; and
       (4) by striking ``. The Secretary's action'' and inserting 
     the following: ``; or
       ``(C) any license issued under this section if the Attorney 
     General determines that the holder of such license (including 
     any responsible person) is known (or appropriately suspected) 
     to be or have been engaged in conduct constituting, in 
     preparation for, in aid of, or related to terrorism or 
     providing material support or resources for terrorism, and 
     the Attorney General has a reasonable belief that the 
     applicant may use a firearm in connection with terrorism.
       ``(2) The Attorney General's action''.
       (g) Attorney General's Ability To Withhold Information in 
     Firearms License Denial and Revocation Suit.--
       (1) In general.--Section 923(f)(1) of title 18, United 
     States Code, is amended by inserting after the first sentence 
     the following: ``However, if the denial or revocation is 
     pursuant to subsection (d)(3) or (e)(1)(C), any information 
     upon which the Attorney General relied for this determination 
     may be withheld from the petitioner, if the Attorney General 
     determines that disclosure of the information would likely 
     compromise national security.''.
       (2) Summaries.--Section 923(f)(3) of title 18, United 
     States Code, is amended by inserting after the third sentence 
     the following: ``With respect to any information withheld 
     from the aggrieved party under paragraph (1), the United 
     States may submit, and the court may rely upon, summaries or 
     redacted versions of documents containing information the 
     disclosure of which the Attorney General has determined would 
     likely compromise national security.''.
       (h) Attorney General's Ability To Withhold Information in 
     Relief From Disabilities Lawsuits.--Section 925(c) of title 
     18, United States Code, is amended by inserting after the 
     third sentence the following: ``If the person is subject to a 
     disability under section 922(g)(10) of this title, any 
     information which the Attorney General relied on for this 
     determination may be withheld from the applicant if the 
     Attorney General determines that disclosure of the 
     information would likely compromise national security. In 
     responding to the petition, the United States may submit, and 
     the court may rely upon, summaries or redacted versions of 
     documents containing information the disclosure of which the 
     Attorney General has determined would likely compromise 
     national security.''.
       (i) Penalties.--Section 924(k) of title 18, United States 
     Code, is amended--
       (1) in paragraph (2), by striking ``or'' at the end;
       (2) in paragraph (3), by striking the comma at the end and 
     inserting ``; or''; and
       (3) by inserting after paragraph (3) the following:
       ``(4) constitutes an act of terrorism, or providing 
     material support or resources for terrorism,''.
       (j) Remedy for Erroneous Denial of Firearm or Firearm 
     Permit Exemption.--
       (1) In general.--Section 925A of title 18, United States 
     Code, is amended--
       (A) in the section heading, by striking ``Remedy for 
     erroneous denial of firearm'' and inserting ``Remedies'';
       (B) by striking ``Any person denied a firearm pursuant to 
     subsection (s) or (t) of section 922'' and inserting the 
     following:
       ``(a) Except as provided in subsection (b), any person 
     denied a firearm pursuant to subsection (t) of section 922 or 
     a firearm permit pursuant to a determination made under 
     section 922B''; and
       (C) by adding at the end the following:
       ``(b) In any case in which the Attorney General has denied 
     the transfer of a firearm to a prospective transferee 
     pursuant to section 922A of this title or has made a 
     determination regarding a firearm permit applicant pursuant 
     to section 922B of this title, an action challenging the 
     determination may be brought against the United States. The 
     petition shall be filed not later than 60 days after the 
     petitioner has received actual notice of the Attorney 
     General's determination under section 922A or 922B of this 
     title. The court shall sustain the Attorney General's 
     determination upon a showing by the United States by a 
     preponderance of evidence that the Attorney General's 
     determination satisfied the requirements of section 922A or 
     922B, as the case may be. To make this showing, the United 
     States may submit, and the court may rely upon, summaries or 
     redacted versions of documents containing information the 
     disclosure of which the Attorney General has determined would 
     likely compromise national security. Upon request of the 
     petitioner or the court's own motion, the court may review 
     the full, undisclosed documents ex parte and in camera. The 
     court shall determine whether the summaries or redacted 
     versions, as the case may be, are fair and accurate 
     representations of the underlying documents. The court shall 
     not consider the full, undisclosed documents in deciding 
     whether the Attorney General's determination satisfies the 
     requirements of section 922A or 922B.''.
       (2) Technical and conforming amendment.--The table of 
     sections for chapter 44 of title 18, United States Code, is 
     amended by striking the item relating to section 925A and 
     inserting the following:

``925A. Remedies.''.

       (k) Provision of Grounds Underlying Ineligibility 
     Determination by the National Instant Criminal Background 
     Check System.--Section 103 of the Brady Handgun Violence 
     Prevention Act (18 U.S.C. 922 note) is amended--
       (1) in subsection (f)--
       (A) by inserting ``or the Attorney General has made a 
     determination regarding an applicant for a firearm permit 
     pursuant to section 922B of title 18, United States Code,'' 
     after ``is ineligible to receive a firearm''; and
       (B) by inserting ``except any information for which the 
     Attorney General has determined that disclosure would likely 
     compromise national security,'' after ``reasons to the 
     individual,''; and
       (2) in subsection (g)--
       (A) the first sentence--
       (i) by inserting ``or if the Attorney General has made a 
     determination pursuant to section 922A or 922B of title 18, 
     United States Code,'' after ``or State law,''; and
       (ii) by inserting ``, except any information for which the 
     Attorney General has determined that disclosure would likely 
     compromise national security'' before the period at the end; 
     and
       (B) by adding at the end the following: ``Any petition for 
     review of information withheld by the Attorney General under 
     this subsection shall be made in accordance with section 925A 
     of title 18, United States Code.''.
       (l) Unlawful Distribution of Explosives Based Upon Attorney 
     General Discretionary Denial.--Section 842(d) of title 18, 
     United States Code, is amended--

[[Page 19520]]

       (1) in paragraph (9), by striking the period and inserting 
     ``; or''; and
       (2) by adding at the end the following:
       ``(10) has received actual notice of the Attorney General's 
     determination made pursuant to subsection (j) or (d)(1)(B) of 
     section 843 of this title.''.
       (m) Attorney General Discretionary Denial as Prohibitor.--
     Section 842(i) of title 18, United States Code, is amended--
       (1) in paragraph (7), by inserting ``; or'' at the end; and
       (2) by inserting after paragraph (7) the following:
       ``(8) who has received actual notice of the Attorney 
     General's determination made pursuant to subsection (j) or 
     (d)(1)(B) of section 843 of this title,''.
       (n) Attorney General Discretionary Denial of Federal 
     Explosives Licenses and Permits.--Section 843 of title 18, 
     United States Code, is amended--
       (1) in subsection (b), by striking ``Upon'' and inserting 
     ``Except as provided in subsection (j), upon''; and
       (2) by adding at the end the following:
       ``(j) The Attorney General may deny the issuance of a 
     permit or license to an applicant if the Attorney General 
     determines that the applicant or a responsible person or 
     employee possessor thereof is known (or appropriately 
     suspected) to be or have been engaged in conduct 
     constituting, in preparation of, in aid of, or related to 
     terrorism, or providing material support or resources for 
     terrorism, and the Attorney General has a reasonable belief 
     that the person may use explosives in connection with 
     terrorism.''.
       (o) Attorney General Discretionary Revocation of Federal 
     Explosives Licenses and Permits.--Section 843(d) of title 18, 
     United States Code, is amended--
       (1) by inserting ``(1)'' after ``(d)'';
       (2) by striking ``if in the opinion'' and inserting the 
     following: ``if--
       ``(A) in the opinion''; and
       (3) by striking ``. The Secretary's action'' and inserting 
     the following: ``; or
       ``(B) the Attorney General determines that the licensee or 
     holder (or any responsible person or employee possessor 
     thereof) is known (or appropriately suspected) to be or have 
     been engaged in conduct constituting, in preparation for, in 
     aid of, or related to terrorism, or providing material 
     support or resources for terrorism, and that the Attorney 
     General has a reasonable belief that the person may use 
     explosives in connection with terrorism.
       ``(2) The Attorney General's action''.
       (p) Attorney General's Ability To Withhold Information in 
     Explosives License and Permit Denial and Revocation Suits.--
     Section 843(e) of title 18, United States Code, is amended--
       (1) in paragraph (1), by inserting after the first sentence 
     the following: ``However, if the denial or revocation is 
     based upon an Attorney General determination under subsection 
     (j) or (d)(1)(B), any information which the Attorney General 
     relied on for this determination may be withheld from the 
     petitioner if the Attorney General determines that disclosure 
     of the information would likely compromise national 
     security.''; and
       (2) in paragraph (2), by adding at the end the following: 
     ``In responding to any petition for review of a denial or 
     revocation based upon an Attorney General determination under 
     subsection (j) or (d)(1)(B), the United States may submit, 
     and the court may rely upon, summaries or redacted versions 
     of documents containing information the disclosure of which 
     the Attorney General has determined would likely compromise 
     national security.''.
       (q) Ability To Withhold Information in Communications to 
     Employers.--Section 843(h)(2) of title 18, United States 
     Code, is amended--
       (1) in subparagraph (A), by inserting ``or in subsection 
     (j) of this section (on grounds of terrorism)'' after 
     ``section 842(i)''; and
       (2) in subparagraph (B)--
       (A) in the matter preceding clause (i), by inserting ``or 
     in subsection (j) of this section,'' after ``section 
     842(i),''; and
       (B) in clause (ii), by inserting ``, except that any 
     information that the Attorney General relied on for a 
     determination pursuant to subsection (j) may be withheld if 
     the Attorney General concludes that disclosure of the 
     information would likely compromise national security'' after 
     ``determination''.
       (r) Conforming Amendment to Immigration and Nationality 
     Act.--Section 101(a)(43)(E)(ii) of the Immigration and 
     Nationality Act (8 U.S.C. 1101(a)(43)(E)(ii)) is amended by 
     striking ``or (5)'' and inserting ``(5), or (10)''.
       (s) Guidelines.--
       (1) In general.--The Attorney General shall issue 
     guidelines describing the circumstances under which the 
     Attorney General will exercise the authority and make 
     determinations under subsections (d)(1)(B) and (j) of section 
     843 and sections 922A and 922B of title 18, United States 
     Code, as amended by this title.
       (2) Contents.--The guidelines issued under paragraph (1) 
     shall--
       (A) provide accountability and a basis for monitoring to 
     ensure that the intended goals for, and expected results of, 
     the grant of authority under subsections (d)(1)(B) and (j) of 
     section 843 and sections 922A and 922B of title 18, United 
     States Code, as amended by this title, are being achieved; 
     and
       (B) ensure that terrorist watch list records are used in a 
     manner that safeguards privacy and civil liberties 
     protections, in accordance with requirements outlines in 
     Homeland Security Presidential Directive 11 (dated August 27, 
     2004).
                                 ______
                                 
  SA 2911. Mr. COONS (for himself, Ms. Hirono, Mrs. Murray, Mr. 
Merkley, and Mr. King) submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. EXPANSION AND MODIFICATION OF CREDIT FOR EMPLOYEE 
                   HEALTH INSURANCE EXPENSES OF SMALL EMPLOYERS.

       (a) Expansion of Definition of Eligible Small Employer.--
     Subparagraph (A) of section 45R(d)(1) of the Internal Revenue 
     Code of 1986 is amended by striking ``25'' and inserting 
     ``50''.
       (b) Amendment to Phaseout Determination.--Subsection (c) of 
     section 45R of the Internal Revenue Code of 1986 is amended 
     to read as follows:
       ``(c) Phaseout of Credit Amount Based on Number of 
     Employees and Average Wages.--The amount of the credit 
     determined under subsection (b) (without regard to this 
     subsection) shall be adjusted (but not below zero) by 
     multiplying such amount by the product of--
       ``(1) the lesser of--
       ``(A) a fraction the numerator of which is the excess (if 
     any) of 50 over the total number of full-time equivalent 
     employees of the employer and the denominator of which is 30, 
     and
       ``(B) 1, and
       ``(2) the lesser of--
       ``(A) a fraction--
       ``(i) the numerator of which is the excess (if any) of--

       ``(I) the dollar amount in effect under subsection 
     (d)(3)(B) for the taxable year, multiplied by 3, over
       ``(II) the average annual wages of the employer for such 
     taxable year, and

       ``(ii) the denominator of which is the dollar amount so in 
     effect under subsection (d)(3)(B), multiplied by 2, and
       ``(B) 1.''.
       (c) Extension of Credit Period.--Paragraph (2) of section 
     45R(e) of the Internal Revenue Code of 1986 is amended by 
     striking ``2-consecutive-taxable year period'' and all that 
     follows and inserting ``3-consecutive-taxable year period 
     beginning with the 1st taxable year beginning after 2014 in 
     which--
       ``(A) the employer (or any predecessor) offers 1 or more 
     qualified health plans to its employees through an Exchange, 
     and
       ``(B) the employer (or any predecessor) claims the credit 
     under this section.''.
       (d) Average Annual Wage Limitation.--Subparagraph (B) of 
     section 45R(d)(3) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(B) Dollar amount.--For purposes of paragraph (1)(B) and 
     subsection (c)(2), the dollar amount in effect under this 
     paragraph is the amount equal to 110 percent of the poverty 
     line (within the meaning of section 36B(d)(3)) for a family 
     of 4.''.
       (e) Elimination of Uniform Percentage Contribution 
     Requirement.--Paragraph (4) of section 45R(d) of the Internal 
     Revenue Code of 1986 is amended by striking ``a uniform 
     percentage (not less than 50 percent)'' and inserting ``at 
     least 50 percent''.
       (f) Elimination of Cap Relating to Average Local 
     Premiums.--Subsection (b) of section 45R of the Internal 
     Revenue Code of 1986 is amended by striking ``the lesser of'' 
     and all that follows and inserting ``the aggregate amount of 
     nonelective contributions the employer made on behalf of its 
     employees during the taxable year under the arrangement 
     described in subsection (d)(4) for premiums for qualified 
     health plans offered by the employer to its employees through 
     an Exchange.''.
       (g) Amendment Relating to Annual Wage Limitation.--
     Subparagraph (B) of section 45R(d)(1) of the Internal Revenue 
     Code of 1986 is amended by striking ``twice'' and inserting 
     ``three times''.
       (h) Effective Date.--The amendments made by this section 
     shall apply to amounts paid or incurred in taxable years 
     beginning after December 31, 2014.

     SEC. ___. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or

[[Page 19521]]

       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after November 30, 2015, the 
     direct or indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on November 30, 
     2015, except that the Secretary may issue regulations 
     increasing the threshold percent in any of the tests under 
     such regulations for determining if business activities 
     constitute substantial business activities for purposes of 
     this paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before December 1, 2015,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after November 30, 2015.
                                 ______
                                 
  SA 2912. Mr. CORNYN submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; as follows:

       At the appropriate place, insert the following:

                 TITLE __--PROTECT AMERICA ACT OF 2015

     SECTION _01. SHORT TITLE.

       This title may be cited as the ``Protect America Act of 
     2015''.

     SEC. _02. GRANTING THE ATTORNEY GENERAL THE AUTHORITY TO DENY 
                   THE SALE, DELIVERY, OR TRANSFER OF FIREARMS TO 
                   DANGEROUS TERRORISTS; REQUIRING INFORMATION 
                   SHARING REGARDING ATTEMPTED FIREARMS PURCHASES 
                   BY SUSPECTED TERRORISTS; AUTHORIZING THE 
                   INVESTIGATION AND ARREST OF TERRORISTS WHO 
                   ATTEMPT TO PURCHASE FIREARMS.

       (a) Short Title.--This section may be cited as the 
     ``Preventing Terrorists From Obtaining Firearms Act of 
     2015''.
       (b) Amendments.--Section 922(t) of title 18, United States 
     Code, is amended by adding at the end the following:
       ``(7)(A) If the Attorney General is notified of a request 
     to transfer a firearm to a person who is a known or suspected 
     terrorist, the Attorney General shall--
       ``(i) as appropriate, take further steps to confirm the 
     identity of the prospective transferee and confirm or rule 
     out the suspected nexus to terrorism of the prospective 
     transferee;
       ``(ii) as appropriate, notify relevant Federal, State, or 
     local law enforcement agencies or intelligence agencies 
     concerning the identity of the prospective transferee; and
       ``(iii) determine whether the prospective transferee is 
     already the subject of an ongoing terrorism investigation 
     and, as appropriate, initiate such an investigation.
       ``(B) Upon being notified of a prospective transfer under 
     subparagraph (A), the Attorney General or the United States 
     attorney for the district in which the licensee is located 
     may--
       ``(i) delay the transfer of the firearm for a period not to 
     exceed 72 hours; and
       ``(ii) file an emergency petition in a court of competent 
     jurisdiction to prohibit the transfer of the firearm.
       ``(C)(i) An emergency petition filed under subparagraph 
     (B)(ii) shall be granted upon a showing of probable cause to 
     believe that the transferee has committed or will commit an 
     act of terrorism.
       ``(ii) In the case of an emergency petition filed under 
     subparagraph (B)(ii) to prohibit the transfer of a firearm, 
     the petition may only be granted after a hearing--
       ``(I) of which the transferee receives actual notice; and
       ``(II) at which the transferee has an opportunity to 
     participate with counsel.
       ``(D) The Attorney General may arrest and detain any 
     transferee with respect to whom an emergency petition is 
     granted under subparagraph (C).
       ``(E) For purposes of this paragraph--
       ``(i) the term `known or suspected terrorist' means a 
     person determined by the Attorney General to be known (or 
     appropriately suspected) to be or have been engaged in 
     conduct constituting, in preparation for, in aid of, or 
     related to terrorism, or providing material support or 
     resources for terrorism;
       ``(ii) the term `material support or resources' has the 
     meaning given the term in section 2339A; and
       ``(iii) the term `terrorism' includes international 
     terrorism and domestic terrorism, as defined in section 
     2331.''.

     SEC. _03. STOP SANCTUARY POLICIES AND PROTECT AMERICANS.

       (a) Short Title.--This section may be cited as the ``Stop 
     Sanctuary Policies and Protect Americans Act''.
       (b) Sanctuary Jurisdiction Defined.--In this section, the 
     term ``sanctuary jurisdiction'' means any State or political 
     subdivision of a State, including any law enforcement entity 
     of a State or of a political subdivision of a State, that--
       (1) has in effect a statute, ordinance, policy, or practice 
     that is in violation of subsection (a) or (b) of section 642 
     of the Illegal Immigration Reform and Immigrant 
     Responsibility Act of 1996 (8 U.S.C. 1373); or
       (2) has in effect a statute, ordinance, policy, or practice 
     that prohibits any government entity or official from 
     complying with a detainer that has been lawfully issued or a 
     request to notify about the release of an alien that has been 
     made by the Department of Homeland Security in accordance 
     with section 236 and 287 of the Immigration and Nationality 
     Act (8 U.S.C. 1226 and 1357) and section 287.7 of title 8, 
     Code of Federal Regulations.
       (c) Limitation on Grants to Sanctuary Jurisdictions.--
       (1) Ineligibility for grants.--
       (A) Law enforcement grants.--
       (i) SCAAP grants.--A sanctuary jurisdiction shall not be 
     eligible to receive funds pursuant to the State Criminal 
     Alien Assistance Program under section 241(i) of the 
     Immigration and Nationality Act (8 U.S.C. 1231(i)).
       (ii) Cops grants.--No law enforcement entity of a State or 
     of a political subdivision of a State that has a departmental 
     policy or practice that renders it a sanctuary jurisdiction, 
     and such a policy or practice is not required by statute, 
     ordinance, or other codified law, or by order of a chief 
     executive officer of the jurisdiction, or the executive or 
     legislative board of the jurisdiction, shall be eligible to 
     receive funds directly or indirectly under the `Cops on the 
     Beat' program under part Q of title I of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3796dd et 
     seq.).
       (iii) Enforcement.--The Attorney General, in consultation 
     with the Secretary of Homeland Security, shall terminate the 
     funding described in subparagraphs (A) and (B) to a State or 
     political subdivision of a State on the date that is 30 days 
     after the date on which a notification described in 
     subsection (d)(2) is made to the State or subdivision, unless 
     the Secretary of Homeland Security, in consultation with the 
     Attorney General, determines the State or subdivision is no 
     longer a sanctuary jurisdiction.
       (B) Community development block grants.--
       (i) In general.--Title I of the Housing and Community 
     Development Act of 1974 (42 U.S.C. 5301 et seq.) is amended--

       (I) in section 102 (42 U.S.C. 5302), by adding at the end 
     the following:

       ``(25) The term `sanctuary jurisdiction' means any State or 
     unit of general local government that--
       ``(A) has in effect a statute, ordinance, policy, or 
     practice that is in violation of subsection (a) or (b) of 
     section 642 of the Illegal Immigration Reform and Immigrant 
     Responsibility Act of 1996 (8 U.S.C. 1373); or
       ``(B) has in effect a statute, ordinance, policy, or 
     practice that prohibits any government entity or official 
     from complying with a detainer that has been lawfully issued 
     or a request to notify about the release of an alien that has 
     been made by the Department of Homeland Security in 
     accordance with

[[Page 19522]]

     section 236 and 287 of the Immigration and Nationality Act (8 
     U.S.C. 1226 and 1357) and section 287.7 of title 8, Code of 
     Federal Regulations.''; and

       (II) in section 104 (42 U.S.C. 5304)--

       (aa) in subsection (b)--
       (AA) in paragraph (5), by striking ``and'' at the end;
       (BB) by redesignating paragraph (6) as paragraph (7); and
       (CC) by inserting after paragraph (5) the following:
       ``(6) the grantee is not a sanctuary jurisdiction and will 
     not become a sanctuary jurisdiction during the period for 
     which the grantee receives a grant under this title; and''; 
     and
       (bb) by adding at the end the following:
       ``(n) Protection of Individuals Against Criminal Aliens.--
       ``(1) In general.--No funds authorized to be appropriated 
     to carry out this title may be obligated or expended to any 
     State or unit of general local government that is a sanctuary 
     jurisdiction.
       ``(2) Returned amounts.--
       ``(A) State.--If a State is a sanctuary jurisdiction during 
     the period for which the State receives amounts under this 
     title, the Secretary--
       ``(i) shall direct the State to immediately return to the 
     Secretary any such amounts that have not been obligated by 
     the State as of the date on which the State became a 
     sanctuary jurisdiction; and
       ``(ii) may use any returned amounts under clause (i) to 
     make grants to other States that are not sanctuary 
     jurisdictions in accordance with this title.
       ``(B) Unit of general local government.--If a unit of 
     general local government is a sanctuary jurisdiction during 
     the period for which the unit of general local government 
     receives amounts under this title, any such amounts that have 
     not been obligated by the unit of general local government as 
     of the date on which the unit of general local government 
     became a sanctuary jurisdiction--
       ``(i) in the case of a unit of general local government 
     that is not in a nonentitlement area, shall be returned to 
     the Secretary to make grants to States and other units of 
     general local government that are not sanctuary jurisdictions 
     in accordance with this title; and
       ``(ii) in the case of a unit of general local government 
     that is in a nonentitlement area, shall be returned to the 
     Governor of the State to make grants to other units of 
     general local government that are not sanctuary jurisdictions 
     in accordance with this title.
       ``(o) Enforcement Against Funding for Sanctuary 
     Jurisdictions.--
       ``(1) In general.--The Secretary shall verify, on a 
     quarterly basis, the determination of the Secretary of 
     Homeland Security and the Attorney General as to whether a 
     State or unit of general local government is a sanctuary 
     jurisdiction and therefore ineligible to receive a grant 
     under this title for purposes of subsections (b)(6) and (n).
       ``(2) Notification.--If the Secretary verifies that a State 
     or unit of general local government is determined to be a 
     sanctuary jurisdiction under paragraph (1), the Secretary 
     shall notify the State or unit of general local government 
     that it is ineligible to receive a grant under this title.''.
       (ii) Effective date.--The amendments made by clause (i) 
     shall only apply with respect to community development block 
     grants made under title I of the Housing and Community 
     Development Act (42 U.S.C. 5301 et seq.) after the date of 
     the enactment of this Act.
       (2) Allocation.--Any funds that are not allocated to a 
     State or political subdivision of a State pursuant to 
     paragraph (1) and the amendments made by paragraph (1) shall 
     be allocated to States and political subdivisions of States 
     that are not sanctuary jurisdictions.
       (3) Notification of congress.--Not later than 5 days after 
     a determination is made pursuant to paragraph (1) to 
     terminate a grant or to refuse to award a grant, the 
     Secretary of Homeland Security shall submit to the Committee 
     on Appropriations and the Committee on the Judiciary of the 
     Senate and the Committee on Appropriations and the Committee 
     on the Judiciary of the House of Representatives a report 
     that fully describes the circumstances and basis for the 
     termination or refusal.
       (4) Transparency and accountability.--Not later than 60 
     days after the date of the enactment of this Act, and 
     quarterly thereafter, the Secretary of Homeland Security and 
     the Attorney General shall--
       (A) determine the States and political subdivisions of 
     States that are sanctuary jurisdictions;
       (B) notify each such State or subdivision that it is 
     determined to be a sanctuary jurisdiction; and
       (C) publish on the website of the Department of Homeland 
     Security and of the Department of Justice--
       (i) a list of each sanctuary jurisdiction;
       (ii) the total number of detainers and requests for 
     notification of the release of any alien that has been issued 
     or made to each State or political subdivision of a State; 
     and
       (iii) the number of such detainers and requests for 
     notification that have been ignored or otherwise not honored, 
     including the name of the jurisdiction in which each such 
     detainer or request for notification was issued or made.
       (5) Construction.--Nothing in this subsection may be 
     construed to require law enforcement officials of a State or 
     a political subdivision of a State to provide the Secretary 
     of Homeland Security with information related to a victim or 
     a witness to a criminal offense.
       (d) State and Local Government and Individual Compliance 
     With Detainers.--
       (1) Authority to carry out detainers.--A State, a political 
     subdivision of a State, or an officer, employee, or agent of 
     such State or political subdivision that complies with a 
     detainer issued by the Department of Homeland Security under 
     section 236 or 287 of the Immigration and Nationality Act (8 
     U.S.C. 1226 and 1357)--
       (A) shall be deemed to be acting as an agent of the 
     Department of Homeland Security; and
       (B) shall have the authority available to employees of the 
     Department of Homeland Security with regard to actions taken 
     to comply with the detainer.
       (2) Liability.--In any legal proceeding brought against a 
     State, a political subdivision of State, or an officer, 
     employee, or agent of such State or political subdivision, 
     which challenges the legality of the seizure or detention of 
     an individual pursuant to a detainer issued by the Department 
     of Homeland Security under section 236 or 287 of the 
     Immigration and Nationality Act (8 U.S.C. 1226 and 1357)--
       (A) no liability shall lie against the State or political 
     subdivision for actions taken in compliance with the 
     detainer;
       (B) if the actions of the officer, employee, or agent of 
     the State or political subdivision were taken in compliance 
     with the detainer--
       (i) the officer, employee, or agent shall be deemed to be 
     an employee of the Federal Government and an investigative or 
     law enforcement officer and to have been acting within the 
     scope of his or her employment under section 1346(b) and 
     chapter 171 of title 28, United States Code;
       (ii) section 1346(b) of title 28, United States Code, shall 
     provide the exclusive remedy for the plaintiff; and
       (iii) the United States shall be substituted as defendant 
     in the proceeding.
       (3) Construction.--Nothing in this section may be 
     construed--
       (A) to provide immunity to any person who knowingly 
     violates the civil or constitutional rights of an individual; 
     or
       (B) to limit the application of the doctrine of official 
     immunity or of qualified immunity in a civil action brought 
     against a law enforcement officer acting pursuant to a 
     detainer issued by the Department of Homeland Security under 
     section 236 or 287 of the Immigration and Nationality Act (8 
     U.S.C. 1226 and 1357).
       (e) Increased Penalties for Reentry of Removed Alien.--
     Section 276 of the Immigration and Nationality Act (8 U.S.C. 
     1326) is amended--
       (1) by redesignating subsections (c) and (d) as subsections 
     (d) and (e), respectively;
       (2) by striking subsections (a) and (b) and inserting the 
     following:
       ``(a) In General.--Subject to subsections (b) and (c), any 
     alien who--
       ``(1) has been denied admission, excluded, deported, or 
     removed or has departed the United States while an order of 
     exclusion, deportation, or removal is outstanding; and
       ``(2) thereafter enters, attempts to enter, or is at any 
     time found in, the United States, unless--
       ``(A) prior to the alien's reembarkation at a place outside 
     the United States or the alien's application for admission 
     from foreign contiguous territory, the Secretary of Homeland 
     Security has expressly consented to such alien's reapplying 
     for admission; or
       ``(B) with respect to an alien previously denied admission 
     and removed, such alien shall establish that the alien was 
     not required to obtain such advance consent under this Act or 
     any prior Act;
     shall be fined under title 18, United States Code, or 
     imprisoned not more than five years, or both.
       ``(b) Criminal Penalties for Reentry of Certain Removed 
     Aliens.--
       ``(1) In general.--Notwithstanding the penalty provided in 
     subsection (a), and except as provided in subsection (c), an 
     alien described in subsection (a)--
       ``(A) who was convicted before such removal or departure of 
     three or more misdemeanors involving drugs, crimes against 
     the person, or both, or a felony (other than an aggravated 
     felony), shall be fined under title 18, United States Code, 
     imprisoned not more than 10 years, or both;
       ``(B) who has been excluded from the United States pursuant 
     to section 235(c) because the alien was excludable under 
     section 212(a)(3)(B) or who has been removed from the United 
     States pursuant to the provisions of title V, and who 
     thereafter, without the permission of the Secretary of 
     Homeland Security, enters the United States, or attempts to 
     do so, shall be fined under title 18, United States Code, and 
     imprisoned for a period of 10 years, which sentence shall not 
     run concurrently with any other sentence;

[[Page 19523]]

       ``(C) who was removed from the United States pursuant to 
     section 241(a)(4)(B) who thereafter, without the permission 
     of the Secretary of Homeland Security, enters, attempts to 
     enter, or is at any time found in, the United States (unless 
     the Secretary of Homeland Security has expressly consented to 
     such alien's reentry) shall be fined under title 18, United 
     States Code, imprisoned for not more than 10 years, or both; 
     and
       ``(D) who has been denied admission, excluded, deported, or 
     removed 3 or more times and thereafter enters, attempts to 
     enter, crosses the border to, attempts to cross the border 
     to, or is at any time found in the United States, shall be 
     fined under title 18, United States Code, imprisoned not more 
     than 10 years, or both.
       ``(2) Removal defined.--In this subsection and subsection 
     (c), the term `removal' includes any agreement in which an 
     alien stipulates to removal during (or not during) a criminal 
     trial under either Federal or State law.
       ``(c) Mandatory Minimum Criminal Penalty for Reentry of 
     Certain Removed Aliens.--Notwithstanding the penalties 
     provided in subsections (a) and (b), an alien described in 
     subsection (a)--
       ``(1) who was convicted before such removal or departure of 
     an aggravated felony; or
       ``(2) who was convicted at least two times before such 
     removal or departure of illegal reentry under this section;
     shall be imprisoned not less than five years and not more 
     than 20 years, and may, in addition, be fined under title 18, 
     United States Code.''; and
       (3) in subsection (d), as redesignated by paragraph (1)--
       (A) by striking ``section 242(h)(2)'' and inserting 
     ``section 241(a)(4)''; and
       (B) by striking ``Attorney General'' and inserting 
     ``Secretary of Homeland Security''.
       (f) Severability.--If any provision of this section or the 
     application of such provision to any person or circumstance 
     is held invalid for any reason, the remainder of this 
     section, and the application of such provision to other 
     persons not similarly situated or to other circumstances, 
     shall not be affected by such invalidation.
                                 ______
                                 
  SA 2913. Mr. CARDIN submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; as follows:

       At the appropriate place, insert the following:

     SEC. ___. EXTENSION OF SPECIAL RULE FOR SENIORS RELATING TO 
                   INCOME LEVEL FOR DEDUCTION OF MEDICAL CARE 
                   EXPENSES.

       Subsection (f) of section 213 of the Internal Revenue Code 
     of 1986 is amended to read as follows:
       ``(f) Special Rule.--In the case of any taxable year 
     beginning after December 31, 2012, and ending before January 
     1, 2024, subsection (a) shall be applied with respect to a 
     taxpayer by substituting `7.5 percent' for `10 percent' if 
     such taxpayer or such taxpayer's spouse has attained age 65 
     before the close of such taxable year.''.

     SEC. ___. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.
                                 ______
                                 
  SA 2914. Mr. GRASSLEY submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; as follows:
       At the appropriate place, insert the following:

 DIVISION B--PROTECTING COMMUNITIES AND PRESERVING THE SECOND AMENDMENT

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This division may be cited as the 
     ``Protecting Communities and Preserving the Second Amendment 
     Act of 2015''.
       (b) Table of Contents.--The table of contents for this 
     division is as follows:

 DIVISION B--PROTECTING COMMUNITIES AND PRESERVING THE SECOND AMENDMENT

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

     TITLE I--COMBATING GUN CRIME, NICS REAUTHORIZATION, AND NICS 
                              IMPROVEMENT

Sec. 101. Reauthorization and improvements to NICS.
Sec. 102. Availability of records to NICS.
Sec. 103. Definitions relating to mental health.
Sec. 104. Clarification that Federal court information is to be made 
              available to the national instant criminal background 
              check system.

[[Page 19524]]

Sec. 105. Reports and certifications to Congress.
Sec. 106. Increasing Federal prosecution of gun violence.
Sec. 107. Prosecution of felons and fugitives who attempt to illegally 
              purchase firearms.
Sec. 108. Limitation on operations by the Department of Justice.
Sec. 109. Straw purchasing of firearms.
Sec. 110. Increased penalties for lying and buying.
Sec. 111. Amendments to section 924(a).
Sec. 112. Amendments to section 924(h).
Sec. 113. Amendments to section 924(k).
Sec. 114. Multiple sales reports for rifles and shotguns.
Sec. 115. Study by the National Institutes of Justice and National 
              Academy of Sciences on the causes of mass shootings.
Sec. 116. Reports to Congress regarding ammunition purchases by Federal 
              agencies.
Sec. 117. Incentives for State compliance with NICS mental health 
              record requirements.
Sec. 118. Firearm commerce modernization.
Sec. 119. Firearm dealer access to law enforcement information.
Sec. 120. Interstate transportation of firearms or ammunition.

                        TITLE II--MENTAL HEALTH

Sec. 201. Reauthorization and additional amendments to the Mentally Ill 
              Offender Treatment and Crime Reduction Act.
Sec. 202. Additional purposes for Federal grants.
Sec. 203. Protecting the second amendment rights of veterans.
Sec. 204. Applicability of amendments.

                        TITLE III--SCHOOL SAFETY

Sec. 301. Short title.
Sec. 302. Grant program for school security.
Sec. 303. Applications.
Sec. 304. Authorization of appropriations.
Sec. 305. Accountability.
Sec. 306. Preventing duplicative grants.

                       TITLE IV--SANCTUARY CITIES

Sec. 401. Stop Sanctuary Policies and Protect Americans.

     SEC. 2. DEFINITIONS.

       In this division--
       (1) the term ``agency'' has the meaning given the term in 
     section 551 of title 5, United States Code;
       (2) the term ``NICS'' means the National Instant Criminal 
     Background Check System; and
       (3) the term ``relevant Federal records'' means any record 
     demonstrating that a person is prohibited from possessing or 
     receiving a firearm under subsection (g) or (n) of section 
     922 of title 18, United States Code.

     TITLE I--COMBATING GUN CRIME, NICS REAUTHORIZATION, AND NICS 
                              IMPROVEMENT

     SEC. 101. REAUTHORIZATION AND IMPROVEMENTS TO NICS.

       (a) In General.--Section 103 of the NICS Improvement 
     Amendments Act of 2007 (18 U.S.C. 922 note) is amended--
       (1) by redesignating subsection (e) as subsection (f) and 
     amending such subsection to read as follows:
       ``(f) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $20,000,000 for each of fiscal years 2013 through 2017.''; 
     and
       (2) by inserting after subsection (d) the following:
       ``(e) Accountability.--All grants awarded by the Attorney 
     General under this section shall be subject to the following 
     accountability provisions:
       ``(1) Definition.--In this subsection, the term `unresolved 
     audit finding' means a finding in the final audit report of 
     the Inspector General of the Department of Justice that the 
     audited grantee has utilized grant funds for an unauthorized 
     expenditure or otherwise unallowable cost that is not closed 
     or resolved within 12 months from the date when the final 
     audit report is issued.
       ``(2) Audits.--Beginning in the first fiscal year beginning 
     after the date of enactment of this subsection, and in each 
     fiscal year thereafter, the Inspector General of the 
     Department of Justice shall conduct audits of recipients of 
     grants under this section to prevent waste, fraud, and abuse 
     of funds by grantees. The Inspector General shall determine 
     the appropriate number of grantees to be audited each year.
       ``(3) Priority.--In awarding grants under this section, the 
     Attorney General shall give priority to eligible applicants 
     that did not have an unresolved audit finding during the 3 
     fiscal years before submitting an application for a grant 
     under this section.''.
       (b) Modification of Eligibility Requirements.--The NICS 
     Improvement Amendments Act of 2007 (18 U.S.C. 922 note) is 
     amended--
       (1) in section 102(b)(1)--
       (A) in subparagraph (A), by striking ``subparagraph (C)'' 
     and inserting ``subparagraph (B)'';
       (B) by striking subparagraph (B); and
       (C) by redesignating subparagraph (C) as subparagraph (B);
       (2) in section 103(a)(1), by striking ``and subject to 
     section 102(b)(1)(B)''; and
       (3) in section 104(d), by striking ``section 102(b)(1)(C)'' 
     and inserting ``section 102(b)(1)(B)''.

     SEC. 102. AVAILABILITY OF RECORDS TO NICS.

       (a) Guidance.--Not later than 45 days after the date of 
     enactment of this Act, the Attorney General shall issue 
     guidance regarding--
       (1) the identification and sharing of relevant Federal 
     records; and
       (2) submission of the relevant Federal records to NICS.
       (b) Prioritization of Records.--Each agency that possesses 
     relevant Federal records shall prioritize providing the 
     relevant information contained in the relevant Federal 
     records to NICS on a regular and ongoing basis in accordance 
     with the guidance issued by the Attorney General under 
     subsection (a).
       (c) Reports.--Not later than 60 days after the Attorney 
     General issues guidance under subsection (a), the head of 
     each agency shall submit a report to the Attorney General 
     that--
       (1) advises whether the agency possesses relevant Federal 
     records; and
       (2) describes the implementation plan of the agency for 
     making the relevant information contained in relevant Federal 
     records available to NICS in a manner consistent with 
     applicable law.
       (d) Determination of Relevance.--The Attorney General shall 
     resolve any dispute regarding whether--
       (1) agency records are relevant Federal records; and
       (2) the relevant Federal records of an agency should be 
     made available to NICS.

     SEC. 103. DEFINITIONS RELATING TO MENTAL HEALTH.

       (a) Title 18 Definitions.--Chapter 44 of title 18, United 
     States Code, is amended--
       (1) in section 921(a), by adding at the end the following:
       ``(36)(A) Subject to subparagraph (B), the term `has been 
     adjudicated mentally incompetent or has been committed to a 
     psychiatric hospital', with respect to a person--
       ``(i) means the person is the subject of an order or 
     finding by a judicial officer, court, board, commission, or 
     other adjudicative body--

       ``(I) that was issued after--

       ``(aa) a hearing--
       ``(AA) of which the person received actual notice; and
       ``(BB) at which the person had an opportunity to 
     participate with counsel; or
       ``(bb) the person knowingly and intelligently waived the 
     opportunity for a hearing--
       ``(AA) of which the person received actual notice; and
       ``(BB) at which the person would have had an opportunity to 
     participate with counsel; and

       ``(II) that found that the person, as a result of marked 
     subnormal intelligence, mental impairment, mental illness, 
     incompetency, condition, or disease--

       ``(aa) was a danger to himself or herself or to others;
       ``(bb) was guilty but mentally ill in a criminal case, in a 
     jurisdiction that provides for such a verdict;
       ``(cc) was not guilty in a criminal case by reason of 
     insanity or mental disease or defect;
       ``(dd) was incompetent to stand trial in a criminal case;
       ``(ee) was not guilty by reason of lack of mental 
     responsibility under section 850a of title 10 (article 50a of 
     the Uniform Code of Military Justice);
       ``(ff) required involuntary inpatient treatment by a 
     psychiatric hospital for any reason, including substance 
     abuse; or
       ``(gg) required involuntary outpatient treatment by a 
     psychiatric hospital based on a finding that the person is a 
     danger to himself or herself or to others; and
       ``(ii) does not include--

       ``(I) an admission to a psychiatric hospital for 
     observation; or
       ``(II) a voluntary admission to a psychiatric hospital.

       ``(B) In this paragraph, the term `order or finding' does 
     not include--
       ``(i) an order or finding that has expired, has been set 
     aside, has been expunged, or is otherwise no longer 
     applicable because a judicial officer, court, board, 
     commission, adjudicative body, or appropriate official has 
     found that the person who is the subject of the order or 
     finding--

       ``(I) does not present a danger to himself or herself or to 
     others;
       ``(II) has been restored to sanity or cured of mental 
     disease or defect;
       ``(III) has been restored to competency; or
       ``(IV) no longer requires involuntary inpatient or 
     outpatient treatment by a psychiatric hospital, and the 
     person is not a danger to himself, herself, or others; or

       ``(ii) an order or finding with respect to which the person 
     who is subject to the order or finding has been granted 
     relief from disabilities under section 925(c), under a 
     program described in section 101(c)(2)(A) or 105 of the NICS 
     Improvement Amendments Act of 2007 (18 U.S.C. 922 note), or 
     under any other State-authorized relief from disabilities 
     program of the State in which the original commitment or 
     adjudication occurred.
       ``(37) The term `psychiatric hospital' includes a mental 
     health facility, a mental

[[Page 19525]]

     hospital, a sanitarium, a psychiatric facility, and any other 
     facility that provides diagnoses or treatment by licensed 
     professionals of mental retardation or mental illness, 
     including a psychiatric ward in a general hospital.''; and
       (2) in section 922--
       (A) in subsection (d)(4)--
       (i) by striking ``as a mental defective'' and inserting 
     ``mentally incompetent''; and
       (ii) by striking ``any mental institution'' and inserting 
     ``a psychiatric hospital''; and
       (B) in subsection (g)(4)--
       (i) by striking ``as a mental defective or who has'' and 
     inserting ``mentally incompetent or has''; and
       (ii) by striking ``mental institution'' and inserting 
     ``psychiatric hospital''.
       (b) Technical and Conforming Amendment.--The NICS 
     Improvement Amendments Act of 2007 (18 U.S.C. 922 note) is 
     amended--
       (1) by striking ``as a mental defective'' each place that 
     term appears and inserting ``mentally incompetent'';
       (2) by striking ``mental institution'' each place that term 
     appears and inserting ``psychiatric hospital'';
       (3) in section 101(c)--
       (A) in paragraph (1), in the matter preceding subparagraph 
     (A), by striking ``to the mental health of a person'' and 
     inserting ``to whether a person is mentally incompetent''; 
     and
       (B) in paragraph (2)--
       (i) in subparagraph (A)(i), by striking ``to the mental 
     health of a person'' and inserting ``to whether a person is 
     mentally incompetent''; and
       (ii) in subparagraph (B), by striking ``to the mental 
     health of a person'' and inserting ``to whether a person is 
     mentally incompetent''; and
       (4) in section 102(c)(3)--
       (A) in the paragraph heading, by striking ``as a mental 
     defective or committed to a mental institution'' and 
     inserting ``mentally incompetent or committed to a 
     psychiatric hospital''; and
       (B) by striking ``mental institutions'' and inserting 
     ``psychiatric hospitals''.

     SEC. 104. CLARIFICATION THAT FEDERAL COURT INFORMATION IS TO 
                   BE MADE AVAILABLE TO THE NATIONAL INSTANT 
                   CRIMINAL BACKGROUND CHECK SYSTEM.

       Section 103(e)(1) of the Brady Handgun Violence Prevention 
     Act (18 U.S.C. 922 note) is amended by adding at the end the 
     following:
       ``(F) Application to federal courts.--In this paragraph--
       ``(i) the terms `department or agency of the United States' 
     and `Federal department or agency' include a Federal court; 
     and
       ``(ii) for purposes of any request, submission, or 
     notification, the Director of the Administrative Office of 
     the United States Courts shall perform the functions of the 
     head of the department or agency.''.

     SEC. 105. REPORTS AND CERTIFICATIONS TO CONGRESS.

       (a) NICS Reports.--Not later than October 1, 2013, and 
     every year thereafter, the head of each agency that possesses 
     relevant Federal records shall submit a report to Congress 
     that includes--
       (1) a description of the relevant Federal records possessed 
     by the agency that can be shared with NICS in a manner 
     consistent with applicable law;
       (2) the number of relevant Federal records the agency 
     submitted to NICS during the reporting period;
       (3) efforts made to increase the percentage of relevant 
     Federal records possessed by the agency that are submitted to 
     NICS;
       (4) any obstacles to increasing the percentage of relevant 
     Federal records possessed by the agency that are submitted to 
     NICS;
       (5) measures put in place to provide notice and programs 
     for relief from disabilities as required under the NICS 
     Improvement Amendments Act of 2007 (18 U.S.C. 922 note) if 
     the agency makes qualifying adjudications relating to the 
     mental health of an individual;
       (6) measures put in place to correct, modify, or remove 
     records available to NICS when the basis on which the records 
     were made available no longer applies; and
       (7) additional steps that will be taken during the 1-year 
     period after the submission of the report to improve the 
     processes by which relevant Federal records are--
       (A) identified;
       (B) made available to NICS; and
       (C) corrected, modified, or removed from NICS.
       (b) Certifications.--
       (1) In general.--The annual report requirement in 
     subsection (a) shall not apply to an agency that, as part of 
     a report required to be submitted under subsection (a), 
     provides certification that the agency has--
       (A) made available to NICS relevant Federal records that 
     can be shared in a manner consistent with applicable law;
       (B) a plan to make any relevant Federal records available 
     to NICS and a description of that plan; and
       (C) a plan to update, modify, or remove records 
     electronically from NICS not less than quarterly as required 
     by the NICS Improvement Amendments Act of 2007 (18 U.S.C. 922 
     note) and a description of that plan.
       (2) Frequency.--Each agency that is not required to submit 
     annual reports under paragraph (1) shall submit an annual 
     certification to Congress attesting that the agency continues 
     to submit relevant Federal records to NICS and has corrected, 
     modified, or removed records available to NICS when the basis 
     on which the records were made available no longer applies.
       (c) Reports to Congress on Firearms Prosecutions.--
       (1) Report to congress.--Beginning February 1, 2014, and on 
     February 1 of each year thereafter through 2023, the Attorney 
     General shall submit to the Committees on the Judiciary and 
     Committees on Appropriations of the Senate and the House of 
     Representatives a report of information gathered under this 
     subsection during the fiscal year that ended on September 30 
     of the preceding year.
       (2) Subject of annual report.--Not later than 90 days after 
     the date of enactment of this Act, the Attorney General shall 
     require each component of the Department of Justice, 
     including each United States Attorney's Office, to furnish 
     for the purposes of the report described in paragraph (1), 
     information relating to any case presented to the Department 
     of Justice for review or prosecution, in which the objective 
     facts of the case provide probable cause to believe that 
     there has been a violation of sections 922 and 924, United 
     States Code, and section 5861 of the Internal Revenue Code of 
     1986.
       (3) Elements of annual report.--With respect to each case 
     described in paragraph (2), the report submitted under 
     paragraph (1) shall include information indicating--
       (A) whether in any such case, a decision has been made not 
     to charge an individual with a violation of sections 922 and 
     924, United States Code, and section 5861 of the Internal 
     Revenue Code of 1986, or any other violation of Federal 
     criminal law;
       (B) in any case described in subparagraph (A), a 
     description of why no charge was filed under sections 922 and 
     924, United States Code, and section 5861 of the Internal 
     Revenue Code of 1986;
       (C) whether in any case described in paragraph (2), an 
     indictment, information, or other charge has been brought 
     against any person, or the matter is pending;
       (D) whether, in the case of an indictment, information, or 
     other charge described in subparagraph (C), the charging 
     document contains a count or counts alleging a violation of 
     sections 922 and 924, United States Code, and section 5861 of 
     the Internal Revenue Code of 1986;
       (E) in any case described in subparagraph (D) in which the 
     charging document contains a count or counts alleging a 
     violation of sections 922 and 924, United States Code, and 
     section 5861 of the Internal Revenue Code of 1986, whether a 
     plea agreement of any kind has been entered into with such 
     charged individual;
       (F) whether any plea agreement described in subparagraph 
     (E) required that the individual plead guilty, to enter a 
     plea of nolo contendere, or otherwise caused a court to enter 
     a conviction against that individual for a violation of 
     sections 922 and 924, United States Code, and section 5861 of 
     the Internal Revenue Code of 1986;
       (G) in any case described in subparagraph (F) in which the 
     plea agreement did not require that the individual plead 
     guilty, enter a plea of nolo contendere, or otherwise cause a 
     court to enter a conviction against that individual for a 
     violation of sections 922 and 924, United States Code, and 
     section 5861 of the Internal Revenue Code of 1986, 
     identification of the charges to which that individual did 
     plead guilty;
       (H) in the case of an indictment, information, or other 
     charge described in subparagraph (C), in which the charging 
     document contains a count or counts alleging a violation of 
     sections 922 and 924, United States Code, and section 5861 of 
     the Internal Revenue Code of 1986, the result of any trial of 
     such charges (guilty, not guilty, mistrial);
       (I) in the case of an indictment, information, or other 
     charge described in subparagraph (C), in which the charging 
     document did not contain a count or counts alleging a 
     violation of sections 922 and 924, United States Code, and 
     section 5861 of the Internal Revenue Code of 1986, the nature 
     of the other charges brought and the result of any trial of 
     such other charges as have been brought (guilty, not guilty, 
     mistrial);
       (J) the number of persons who attempted to purchase a 
     firearm but were denied because of a background check 
     conducted in accordance with section 922(t) of title 18, 
     United States Code; and
       (K) the number of prosecutions conducted in relation to 
     persons described in subparagraph (J).

     SEC. 106. INCREASING FEDERAL PROSECUTION OF GUN VIOLENCE.

       (a) In General.--Not later than 90 days after the date of 
     enactment of this Act, the Attorney General shall establish 
     in jurisdictions specified in subsection (c) a program that 
     meets the requirements of subsection (b), to be known as the 
     ``Nationwide Project Exile Expansion''.
       (b) Program Elements.--Each program established under 
     subsection (a) shall, for the jurisdiction concerned--
       (1) provide for coordination with State and local law 
     enforcement officials in the identification of violations of 
     Federal firearms laws;

[[Page 19526]]

       (2) provide for the establishment of agreements with State 
     and local law enforcement officials for the referral to the 
     Bureau of Alcohol, Tobacco, Firearms, and Explosives and the 
     United States Attorney for prosecution of persons arrested 
     for violations of section 922 or section 924 of title 18, 
     United States Code, or section 5861 of the Internal Revenue 
     Code of 1986, relating to firearms;
       (3) provide for the establishment of multi-jurisdictional 
     task forces, coordinated by the Executive Office of the 
     United States attorneys to investigate and prosecute illegal 
     straw purchasing rings that purchase firearms in one 
     jurisdiction and transfer them to another;
       (4) require that the United States attorney designate not 
     less than 1 assistant United States attorney to prosecute 
     violations of Federal firearms laws;
       (5) provide for the hiring of agents for the Bureau of 
     Alcohol, Tobacco, Firearms, and Explosives to investigate 
     violations of the provisions referred to in paragraph (2), 
     United States Code, relating to firearms; and
       (6) ensure that each person referred to the United States 
     attorney under paragraph (2) be charged with a violation of 
     the most serious Federal firearm offense consistent with the 
     act committed.
       (c) Covered Jurisdictions.--
       (1) In general.--Subject to paragraph (2), the 
     jurisdictions specified in this subsection are--
       (A) the 10 jurisdictions with a population equal to or 
     greater than 100,000 persons that had the highest total 
     number of homicides according to the uniform crime report of 
     the Federal Bureau of Investigation for the most recent year 
     available;
       (B) the 5 jurisdictions with such a population, other than 
     the jurisdictions covered by paragraph (1), with the highest 
     per capita rate of homicide according to the uniform crime 
     report of the Federal Bureau of Investigation for the most 
     recent year available; and
       (C) the 3 tribal jurisdictions that have the highest 
     homicide crime rates, as determined by the Attorney General.
       (2) Limitation.--The 15 jurisdictions described in 
     subparagraphs (A) and (B) shall not include any jurisdiction 
     other than those within the 50 States.
       (d) Annual Reports.--Not later than 1 year after the date 
     of enactment of this Act, an annually thereafter, the 
     Attorney General shall submit to the Committee on the 
     Judiciary of the Senate and the Committee on the Judiciary of 
     the House of Representatives a report containing the 
     following information:
       (1) The number of individuals indicted for such violations 
     of Federal firearms laws during that year by reason of the 
     program.
       (2) The increase or decrease in the number of individuals 
     indicted for such violations of Federal firearms laws during 
     that year by reason of the program when compared with the 
     year preceding that year.
       (3) The number of individuals held without bond in 
     anticipation of prosecution by reason of the program.
       (4) To the extent the information is available, the average 
     length of prison sentence of the individuals convicted of 
     violations of Federal firearms laws by reason of the program.
       (5) The number of multi-jurisdiction task forces 
     established and the number of individuals arrested, indicted, 
     convicted or acquitted of charges for violations of the 
     specific crimes listed in subsection (b)(2).
       (e) Authorization of Appropriations.--
       (1) In general.--There are authorized to be appropriated to 
     carry out the program under this section $15,000,000 for each 
     of fiscal years 2014, 2015, and 2016, which shall be used for 
     salaries and expenses of assistant United States attorneys 
     and Bureau of Alcohol, Tobacco, Firearms, and Explosives 
     agents.
       (2) Use of funds.--
       (A) Assistant united states attorneys.--The assistant 
     United States attorneys hired using amounts authorized to be 
     appropriated under paragraph (1) shall prosecute violations 
     of Federal firearms laws in accordance with subsection 
     (b)(2).
       (B) ATF agents.--The Bureau of Alcohol, Tobacco, Firearms, 
     and Explosives agents hired using amounts authorized to be 
     appropriated under paragraph (1) shall, to the maximum extent 
     practicable, concentrate their investigations on violations 
     of Federal firearms laws in accordance with subsection 
     (b)(2).

     SEC. 107. PROSECUTION OF FELONS AND FUGITIVES WHO ATTEMPT TO 
                   ILLEGALLY PURCHASE FIREARMS.

       (a) Taskforce.--
       (1) Establishment.--There is established a task force 
     within the Department of Justice, which shall be known as the 
     Felon and Fugitive Firearm Task Force (referred to in this 
     section as the ``Task Force''), to strengthen the efforts of 
     the Department of Justice to investigate and prosecute cases 
     of convicted felons and fugitives from justice who illegally 
     attempt to purchase a firearm.
       (2) Membership.--The members of the Task Force shall be--
       (A) the Deputy Attorney General, who shall serve as the 
     Chairperson of the Task Force;
       (B) the Assistant Attorney General for the Criminal 
     Division;
       (C) the Director of the Bureau of Alcohol, Tobacco, 
     Firearms, and Explosives;
       (D) the Director of the Federal Bureau of Investigation; 
     and
       (E) such other officers or employees of the Department of 
     Justice as the Attorney General may designate.
       (3) Duties.--The Task Force shall--
       (A) provide direction for the investigation and prosecution 
     of cases of convicted felons and fugitives from justice 
     attempting to illegally purchase a firearm; and
       (B) provide recommendations to the Attorney General 
     relating to--
       (i) the allocation and reallocation of resources of the 
     Department of Justice for investigation and prosecution of 
     cases of convicted felons and fugitives from justice 
     attempting to illegally purchase a firearm;
       (ii) enhancing cooperation among agencies and entities of 
     the Federal Government in the investigation and prosecution 
     of cases of convicted felons and fugitives from justice 
     attempting to illegally purchase a firearm;
       (iii) enhancing cooperation among Federal, State, and local 
     authorities responsible for the investigation and prosecution 
     of cases of convicted felons and fugitives from justice 
     attempting to illegally purchase a firearm; and
       (iv) changes in rules, regulations, or policy to improve 
     the effective investigation and prosecution of cases of 
     convicted felons and fugitives from justice attempting to 
     illegally purchase a firearm.
       (4) Meetings.--The Task Force shall meet not less than once 
     a year.
       (5) Termination.--The Task Force shall terminate on the 
     date that is 5 years after the date of enactment of this Act.
       (b) Authorization for Use of Funds.--Section 524(c)(1) of 
     title 28, United States Code, is amended--
       (1) in subparagraph (H), by striking ``and'' at the end;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting ``; and''; and
       (3) by inserting after subparagraph (I) the following:
       ``(J) the investigation and prosecution of cases of 
     convicted felons and fugitives from justice who illegally 
     attempt to purchase a firearm, in accordance with section 107 
     of the Protecting Communities and Preserving the Second 
     Amendment Act of 2015, provided that--
       ``(i) not more than $10,000,000 shall be available to the 
     Attorney General for each of fiscal years 2014 through 2018 
     under this subparagraph; and
       ``(ii) not more than 5 percent of the amounts made 
     available under this subparagraph may be used for the 
     administrative costs of the task force established under 
     section 107 of the Protecting Communities and Preserving the 
     Second Amendment Act of 2015.''.

     SEC. 108. LIMITATION ON OPERATIONS BY THE DEPARTMENT OF 
                   JUSTICE.

       The Department of Justice, and any of its law enforcement 
     coordinate agencies, shall not conduct any operation where a 
     Federal firearms licensee is directed, instructed, enticed, 
     or otherwise encouraged by the Department of Justice to sell 
     a firearm to an individual if the Department of Justice, or a 
     coordinate agency, knows or has reasonable cause to believe 
     that such an individual is purchasing on behalf of another 
     for an illegal purpose unless the Attorney General, the 
     Deputy Attorney General, or the Assistant Attorney General 
     for the Criminal Division personally reviews and approves the 
     operation, in writing, and determines that the agency has 
     prepared an operational plan that includes sufficient 
     safeguards to prevent firearms from being transferred to 
     third parties without law enforcement taking reasonable steps 
     to lawfully interdict those firearms.

     SEC. 109. STRAW PURCHASING OF FIREARMS.

       (a) In General.--Chapter 44 of title 18, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 932. Straw purchasing of firearms

       ``(a) Definitions.--For purposes of this section--
       ``(1) the term `crime of violence' has the meaning given 
     that term in section 924(c)(3);
       ``(2) the term `drug trafficking crime' has the meaning 
     given that term in section 924(c)(2); and
       ``(3) the term `Federal crime of terrorism' has the meaning 
     given that term in section 2332b(g).
       ``(b) Offense.--It shall be unlawful for any person to--
       ``(1) purchase or otherwise obtain a firearm, which has 
     been shipped, transported, or received in interstate or 
     foreign commerce, for or on behalf of any other person who 
     the person purchasing or otherwise obtaining the firearm 
     knows--
       ``(A) is prohibited from possessing or receiving a firearm 
     under subsection (g) or (n) of section 922;
       ``(B) intends to use, carry, possess, or sell or otherwise 
     dispose of the firearm in furtherance of a crime of violence, 
     a drug trafficking crime, or a Federal crime of terrorism;
       ``(C) intends to engage in conduct that would constitute a 
     crime of violence, a drug trafficking crime, or a Federal 
     crime of terrorism if the conduct had occurred within the 
     United States; or

[[Page 19527]]

       ``(D) is not a resident of any State and is not a citizen 
     or lawful permanent resident of the United States; or
       ``(2) willfully procure another to engage in conduct 
     described in paragraph (1).
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be fined under this title, imprisoned not more than 15 
     years, or both.

     ``Sec. 933. Trafficking in firearms

       ``(a) Definitions.--For purposes of this section--
       ``(1) the term `crime of violence' has the meaning given 
     that term in section 924(c)(3);
       ``(2) the term `drug trafficking crime' has the meaning 
     given that term in section 924(c)(2); and
       ``(3) the term `Federal crime of terrorism' has the meaning 
     given that term in section 2332b(g).
       ``(b) Offense.--It shall be unlawful for any person to--
       ``(1) ship, transport, transfer, or otherwise dispose of 2 
     or more firearms to another person in or otherwise affecting 
     interstate or foreign commerce, if the transferor knows that 
     the use, carrying, or possession of a firearm by the 
     transferee would violate subsection (g) or (n) of section 
     922, or constitute a crime of violence, a drug trafficking 
     crime, or a Federal crime of terrorism;
       ``(2) receive from another person 2 or more firearms in or 
     otherwise affecting interstate or foreign commerce, if the 
     recipient--
       ``(A) knows that such receipt would violate subsection (g) 
     or (n) of section 922; or
       ``(B) intends to use the firearm in furtherance of a crime 
     of violence, a drug trafficking crime, or a Federal crime of 
     terrorism; or
       ``(3) attempt or conspire to commit the conduct described 
     in paragraph (1) or (2).
       ``(c) Penalties.--
       ``(1) In general.--Any person who violates subsection (b) 
     shall be fined under this title, imprisoned not more than 15 
     years, or both.
       ``(2) Organizer.--If a violation of subsection (b) is 
     committed by a person acting in concert with other persons as 
     an organizer, leader, supervisor, or manager, the person 
     shall be fined under this title, imprisoned not more than 20 
     years, or both.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 44 of title 18, United States Code, is 
     amended by inserting after the item relating to section 931 
     the following:

``932. Straw purchasing of firearms.
``933. Trafficking in firearms.''.

       (c) Directive to the Sentencing Commission.--Pursuant to 
     its authority under section 994 of title 28, United States 
     Code, and in accordance with this section, the United States 
     Sentencing Commission shall review and amend its guidelines 
     and policy statements to ensure that persons convicted of an 
     offense under section 932 or 933 of title 18, United States 
     Code, and other offenses applicable to the straw purchases 
     and firearms trafficking of firearms are subject to increased 
     penalties in comparison to those currently provided by the 
     guidelines and policy statements for such straw purchasing 
     and firearms trafficking offenses. In its review, the 
     Commission shall consider, in particular, an appropriate 
     amendment to reflect the intent of Congress that straw 
     purchasers without significant criminal histories receive 
     sentences that are sufficient to deter participation in such 
     activities. The Commission shall also review and amend its 
     guidelines and policy statements to reflect the intent of 
     Congress that a person convicted of an offense under section 
     932 or 933 of title 18, United States Code, who is affiliated 
     with a gang, cartel, organized crime ring, or other such 
     enterprise should be subject to higher penalties than an 
     otherwise unaffiliated individual.

     SEC. 110. INCREASED PENALTIES FOR LYING AND BUYING.

       Section 924(a)(1) of title 18, United States Code, is 
     amended in the undesignated matter following subparagraph (D) 
     by striking ``five years'' and inserting the following: ``5 
     years (or, in the case of a violation under subparagraph (A), 
     not more than 10 years)''.

     SEC. 111. AMENDMENTS TO SECTION 924(A).

       Section 924(a) of title 18, United States Code, is 
     amended--
       (1) in paragraph (2), by striking ``(d), (g),''; and
       (2) by adding at the end the following:
       ``(8) Whoever knowingly violates subsection (d), (g), or 
     (n) of section 922 shall be fined under this title, 
     imprisoned not more than 15 years, or both.''.

     SEC. 112. AMENDMENTS TO SECTION 924(H).

       Section 924 of title 18, United States Code, is amended by 
     striking subsection (h) and inserting the following:
       ``(h) Whoever knowingly receives or transfers a firearm or 
     ammunition, or attempts or conspires to do so, knowing that 
     such firearm or ammunition will be used to commit a crime of 
     violence (as defined in subsection (c)(3)), a drug 
     trafficking crime (as defined in subsection (c)(2)), a 
     Federal crime of terrorism (as defined in section 2332b(g)), 
     or a crime under the Arms Export Control Act (22 U.S.C. 2751 
     et seq.), the International Emergency Economic Powers Act (50 
     U.S.C. 1701 et seq.), or the Foreign Narcotics Kingpin 
     Designation Act (21 U.S.C. 1901 et seq.), shall be imprisoned 
     not more than 15 years, fined in accordance with this title, 
     or both.''.

     SEC. 113. AMENDMENTS TO SECTION 924(K).

       Section 924 of title 18, United States Code, is amended by 
     striking subsection (k) and inserting the following:
       ``(k)(1) A person who, with intent to engage in or promote 
     conduct that--
       ``(A) is punishable under the Controlled Substances Act (21 
     U.S.C. 801 et seq.), the Controlled Substances Import and 
     Export Act (21 U.S.C. 951 et seq.), or chapter 705 of title 
     46;
       ``(B) violates any law of a State relating to any 
     controlled substance (as defined in section 102 of the 
     Controlled Substances Act, 21 U.S.C. 802);
       ``(C) constitutes a crime of violence (as defined in 
     subsection (c)(3)); or
       ``(D) constitutes a Federal crime of terrorism (as defined 
     in section 2332b(g)),
     smuggles or knowingly brings into the United States, a 
     firearm or ammunition, or attempts or conspires to do so, 
     shall be imprisoned not more than 15 years, fined under this 
     title, or both.
       ``(2) A person who, with intent to engage in or to promote 
     conduct that--
       ``(A) would be punishable under the Controlled Substances 
     Act (21 U.S.C. 801 et seq.), the Controlled Substances Import 
     and Export Act (21 U.S.C. 951 et seq.), or chapter 705 of 
     title 46, if the conduct had occurred within the United 
     States; or
       ``(B) would constitute a crime of violence (as defined in 
     subsection (c)(3)) or a Federal crime of terrorism (as 
     defined in section 2332b(g)) for which the person may be 
     prosecuted in a court of the United States, if the conduct 
     had occurred within the United States,
     smuggles or knowingly takes out of the United States, a 
     firearm or ammunition, or attempts or conspires to do so, 
     shall be imprisoned not more than 15 years, fined under this 
     title, or both.''.

     SEC. 114. MULTIPLE SALES REPORTS FOR RIFLES AND SHOTGUNS.

       Section 923(g)(5) of title 18, United States Code, is 
     amended by adding at the end the following:
       ``(C) The Attorney General may not require a licensee to 
     submit ongoing or periodic reporting of the sale or other 
     disposition of 2 or more rifles or shotguns during a 
     specified period of time.''.

     SEC. 115. STUDY BY THE NATIONAL INSTITUTES OF JUSTICE AND 
                   NATIONAL ACADEMY OF SCIENCES ON THE CAUSES OF 
                   MASS SHOOTINGS.

       (a) In General.--
       (1) Study.--Not later than 90 days after the date of 
     enactment of this Act, the Attorney General shall instruct 
     the Director of the National Institutes of Justice, to 
     conduct a peer-reviewed study to examine various sources and 
     causes of mass shootings including psychological factors, the 
     impact of violent video games, and other factors. The 
     Director shall enter into a contract with the National 
     Academy of Sciences to conduct this study jointly with an 
     independent panel of 5 experts appointed by the Academy.
       (2) Report.--Not later than 1 year after the date on which 
     the study required under paragraph (1) begins, the Directors 
     shall submit to Congress a report detailing the findings of 
     the study.
       (b) Issues Examined.--The study conducted under subsection 
     (a)(1) shall examine--
       (1) mental illness;
       (2) the availability of mental health and other resources 
     and strategies to help families detect and counter tendencies 
     toward violence;
       (3) the availability of mental health and other resources 
     at schools to help detect and counter tendencies of students 
     towards violence;
       (4) the extent to which perpetrators of mass shootings, 
     either alleged, convicted, deceased, or otherwise, played 
     violent or adult-themed video games and whether the 
     perpetrators of mass shootings discussed, planned, or used 
     violent or adult-themed video games in preparation of or to 
     assist in carrying out their violent actions;
       (5) familial relationships, including the level of 
     involvement and awareness of parents;
       (6) exposure to bullying; and
       (7) the extent to which perpetrators of mass shootings were 
     acting in a ``copycat'' manner based upon previous violent 
     events.

     SEC. 116. REPORTS TO CONGRESS REGARDING AMMUNITION PURCHASES 
                   BY FEDERAL AGENCIES.

       Not later than 1 year after the date of enactment of this 
     Act, the Director of the Office of Management and Budget, 
     shall report to the Speaker of the House of Representatives, 
     the President Pro Tempore of the Senate, and the Chairmen and 
     Ranking Members of the House and Senate Committee on 
     Appropriations and the Committee on the Judiciary, the House 
     Committee on Homeland Security, the Senate Committee on 
     Homeland Security and Government Affairs, and the House 
     Committee on Government Reform and Oversight, a report 
     including--
       (1) details of all purchases of ammunition by each Federal 
     agency;
       (2) a summary of all purchases, solicitations, and 
     expenditures on ammunition by each Federal agency;
       (3) a summary of all the rounds of ammunition expended by 
     each Federal agency and a

[[Page 19528]]

     current listing of stockpiled ammunition for each Federal 
     agency; and
       (4) an estimate of future ammunition needs and purchases 
     for each Federal agency for the next fiscal year.

     SEC. 117. INCENTIVES FOR STATE COMPLIANCE WITH NICS MENTAL 
                   HEALTH RECORD REQUIREMENTS.

       Section 104(b) of the NICS Improvement Amendments Act of 
     2007 (18 U.S.C. 922 note) is amended--
       (1) by striking paragraphs (1) and (2);
       (2) by redesignating paragraph (3) as paragraph (2);
       (3) in paragraph (2), as redesignated, by striking ``of 
     paragraph (2)'' and inserting ``of paragraph (1)''; and
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) Incentives for providing mental health records and 
     fixing the background check system.--
       ``(A) Definition of compliant state.--In this paragraph, 
     the term `compliant State' means a State that has--
       ``(i) provided not less than 90 percent of the records 
     required to be provided under sections 102 and 103; or
       ``(ii) in effect a statute that--

       ``(I) requires the State to provide the records required to 
     be provided under sections 102 and 103; and
       ``(II) implements a relief from disabilities program in 
     accordance with section 105.

       ``(B) Incentives for compliance.--During the period 
     beginning on the date that is 18 months after the enactment 
     of the Protecting Communities and Preserving the Second 
     Amendment Act of 2015 and ending on the date that is 5 years 
     after the date of enactment of such Act, the Attorney 
     General--
       ``(i) shall use funds appropriated to carry out section 103 
     of this Act, the excess unobligated balances of the 
     Department of Justice and funds withheld under clause (ii), 
     or any combination thereof, to increase the amounts available 
     under section 505 of title I of the Omnibus Crime Control and 
     Safe Streets Act of 1968 (42 U.S.C. 3755) for each compliant 
     State in an amount that is not less than 2 percent nor more 
     than 5 percent of the amount that was allocated to such State 
     under such section 505 in the previous fiscal year; and
       ``(ii) may withhold an amount not to exceed the amount 
     described in clause (i) that would otherwise be allocated to 
     a State under any section of the Omnibus Crime Control and 
     Safe Streets Act of 1968 (42 U.S.C. 3711 et seq.) if the 
     State--

       ``(I) is not a compliant State; and
       ``(II) does not submit an assurance to the Attorney General 
     that--

       ``(aa) an amount that is not less than the amount described 
     in clause (i) will be used solely for the purpose of enabling 
     the State to become a compliant State; or
       ``(bb) the State will hold in abeyance an amount that is 
     not less than the amount described in clause (i) until such 
     State has become a compliant State.
       ``(C) Regulations.--Not later than 180 days after the 
     enactment of the Protecting Communities and Preserving the 
     Second Amendment Act of 2015, the Attorney General shall 
     issue regulations implementing this paragraph.''.

     SEC. 118. FIREARM COMMERCE MODERNIZATION.

       (a) Firearms Dispositions.--Section 922(b)(3) of title 18, 
     United States Code, is amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``located'' and inserting ``located or temporarily located''; 
     and
       (2) in subparagraph (A)--
       (A) by striking ``rifle or shotgun'' and inserting 
     ``firearm'';
       (B) by striking ``located'' and inserting ``located or 
     temporarily located''; and
       (C) by striking ``both such States'' and inserting ``the 
     State in which the transfer is conducted and the State of 
     residence of the transferee''.
       (b) Dealer Location.--Section 923 of title 18, United 
     States Code, is amended--
       (1) in subsection (j)--
       (A) in the first sentence, by striking ``, and such 
     location is in the State which is specified on the license''; 
     and
       (B) in the last sentence--
       (i) by inserting ``transfer,'' after ``sell,''; and
       (ii) by striking ``Act,'' and all that follows and 
     inserting ``Act.''; and
       (2) by adding at the end the following:
       ``(m) Nothing in this chapter shall be construed to 
     prohibit the sale, transfer, delivery, or other disposition 
     of a firearm or ammunition--
       ``(1) by a person licensed under this chapter to another 
     person so licensed, at any location in any State; or
       ``(2) by a licensed importer, licensed manufacturer, or 
     licensed dealer to a person not licensed under this chapter, 
     at a temporary location described in subsection (j) in any 
     State.''.
       (c) Residence of United States Officers.--Section 921 of 
     title 18, United States Code, is amended by striking 
     subsection (b) and inserting the following:
       ``(b) For purposes of this chapter:
       ``(1) A member of the Armed Forces on active duty, or a 
     spouse of such a member, is a resident of--
       ``(A) the State in which the member or spouse maintains 
     legal residence;
       ``(B) the State in which the permanent duty station of the 
     member is located; and
       ``(C) the State in which the member maintains a place of 
     abode from which the member commutes each day to the 
     permanent duty station of the member.
       ``(2) An officer or employee of the United States (other 
     than a member of the Armed Forces) who is stationed outside 
     the United States for a period of more than 1 year, and a 
     spouse of such an officer or employee, is a resident of the 
     State in which the person maintains legal residence.''.

     SEC. 119. FIREARM DEALER ACCESS TO LAW ENFORCEMENT 
                   INFORMATION.

       (a) In General.--Section 103(b) of the Brady Handgun 
     Violence Prevention Act (18 U.S.C. 922 note), is amended--
       (1) by striking ``Not later than'' and inserting the 
     following:
       ``(1) In general.--Not later than''; and
       (2) by adding at the end the following:
       ``(2) Voluntary background checks.--
       ``(A) In general.--Not later than 90 days after the date of 
     enactment of the Protecting Communities and Preserving the 
     Second Amendment Act of 2015, the Attorney General shall 
     promulgate regulations allowing licensees to use the national 
     instant criminal background check system established under 
     this section for purposes of conducting voluntary, no fee 
     employment background checks on current or prospective 
     employees.
       ``(B) Notice.--Before conducting an employment background 
     check relating to an individual under subparagraph (A), a 
     licensee shall--
       ``(i) provide written notice to the individual that the 
     licensee intends to conduct the background check; and
       ``(ii) obtain consent to conduct the background check from 
     the individual in writing.
       ``(C) Exemption.--An employment background check conducted 
     by a licensee under subparagraph (A) shall not governed by 
     the Fair Credit Reporting Act (15 U.S.C. 1681 et seq.).
       ``(D) Appeal.--Any individual who is the subject of an 
     employment background check conducted by a licensee under 
     subparagraph (A) the result of which indicates that the 
     individual is a prohibited from possessing a firearm or 
     ammunition pursuant to subsection (g) or (n) of section 922 
     of title 18, United States Code, may appeal the results of 
     the background check in the same manner and to the same 
     extent as if the individual had been the subject of a 
     background check relating to the transfer of a firearm.''.
       (b) Acquisition, Preservation, and Exchange of 
     Identification Records and Information.--Section 534 of title 
     28, United States Code, is amended--
       (1) in subsection (a)--
       (A) in paragraph (3), by striking ``and'' at the end;
       (B) in paragraph (4), by striking the period at the end and 
     inserting ``; and''; and
       (C) by inserting after paragraph (4) the following:
       ``(5) provide a person licensed as an importer, 
     manufacturer, or dealer of firearms under chapter 44 of title 
     18 with information necessary to verify whether firearms 
     offered for sale to such licensees have been stolen.''; and
       (2) in subsection (b), by inserting ``, except for 
     dissemination authorized under subsection (a)(5) of this 
     section'' before the period.
       (c) Regulations.--Not later than 90 days after the date of 
     enactment of this Act, and without regard to chapter 5 of 
     title 5, United States Code, the Attorney General shall 
     promulgate regulations allowing a person licensed as an 
     importer, manufacturer, or dealer of firearms under chapter 
     44 of title 18, United States Code, to receive access to 
     records of stolen firearms maintained by the National Crime 
     Information Center operated by the Federal Bureau of 
     Investigation, solely for the purpose of voluntarily 
     verifying whether firearms offered for sale to such licensees 
     have been stolen.
       (d) Statutory Construction; Evidence.--
       (1) Statutory construction.--Nothing in this section or the 
     amendments made by this section shall be construed--
       (A) to create a cause of action against any person licensed 
     as an importer, manufacturer, or dealer of firearms under 
     chapter 44 of title 18, United States Code or any other 
     person for any civil liability; or
       (B) to establish any standard of care.
       (2) Evidence.--Notwithstanding any other provision of law, 
     evidence regarding the use or non-use by a person licensed as 
     an importer, manufacturer, or dealer of firearms under 
     chapter 44 of title 18, United States Code of the systems, 
     information, or records made available under this section or 
     the amendments made by this section shall not be admissible 
     as evidence in any proceeding of any court, agency, board, or 
     other entity.

     SEC. 120. INTERSTATE TRANSPORTATION OF FIREARMS OR 
                   AMMUNITION.

       (a) In General.--Section 926A of title 18, United States 
     Code, is amended to read as follows:

     ``Sec. 926A. Interstate transportation of firearms or 
       ammunition

       ``(a) Definition.--In this section, the term `transport' 
     includes staying in temporary lodging overnight, stopping for 
     food, fuel, vehicle maintenance, an emergency, medical 
     treatment, and any other activity incidental to the 
     transport.

[[Page 19529]]

       ``(b) Authorization.--Notwithstanding any provision of any 
     law (including a rule or regulation) of a State or any 
     political subdivision thereof, a person who is not prohibited 
     by this chapter from possessing, transporting, shipping, or 
     receiving a firearm or ammunition shall be entitled to--
       ``(1) transport a firearm for any lawful purpose from any 
     place where the person may lawfully possess, carry, or 
     transport the firearm to any other such place if, during the 
     transportation--
       ``(A) the firearm is unloaded; and
       ``(B)(i) if the transportation is by motor vehicle--
       ``(I) the firearm is not directly accessible from the 
     passenger compartment of the motor vehicle; or
       ``(II) if the motor vehicle is without a compartment 
     separate from the passenger compartment, the firearm is--

       ``(aa) in a locked container other than the glove 
     compartment or console; or
       ``(bb) secured by a secure gun storage or safety device; or

       ``(ii) if the transportation is by other means, the firearm 
     is in a locked container or secured by a secure gun storage 
     or safety device; and
       ``(2) transport ammunition for any lawful purpose from any 
     place where the person may lawfully possess, carry, or 
     transport the ammunition, to any other such place if, during 
     the transportation--
       ``(A) the ammunition is not loaded into a firearm; and
       ``(B)(i) if the transportation is by motor vehicle--
       ``(I) the ammunition is not directly accessible from the 
     passenger compartment of the motor vehicle; or
       ``(II) if the motor vehicle is without a compartment 
     separate from the passenger compartment, the ammunition is in 
     a locked container other than the glove compartment or 
     console; or
       ``(ii) if the transportation is by other means, the 
     ammunition is in a locked container.
       ``(c) State Law.--
       ``(1) Arrest authority.--A person who is transporting a 
     firearm or ammunition may not be--
       ``(A) arrested for violation of any law or any rule or 
     regulation of a State, or any political subdivision thereof, 
     relating to the possession, transportation, or carrying of 
     firearms or ammunition, unless there is probable cause to 
     believe that the transportation is not in accordance with 
     subsection (b); or
       ``(B) detained for violation of any law or any rule or 
     regulation of a State, or any political subdivision thereof, 
     relating to the possession, transportation, or carrying of 
     firearms or ammunition, unless there is reasonable suspicion 
     that the transportation is not in accordance with subsection 
     (b).
       ``(2) Prosecution.--
       ``(A) Burden of proof.--If a person asserts this section as 
     a defense in a criminal proceeding, the government shall bear 
     the burden of proving, beyond a reasonable doubt, that the 
     conduct of the person was not in accordance with subsection 
     (b).
       ``(B) Prevailing defendant.--If a person successfully 
     asserts this section as a defense in a criminal proceeding, 
     the court shall award the prevailing defendant reasonable 
     attorney's fees.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 44 of title 18, United States Code, is 
     amended by striking the item relating to section 926A and 
     inserting the following:

``926A. Interstate transportation of firearms or ammunition.''.

                        TITLE II--MENTAL HEALTH

     SEC. 201. REAUTHORIZATION AND ADDITIONAL AMENDMENTS TO THE 
                   MENTALLY ILL OFFENDER TREATMENT AND CRIME 
                   REDUCTION ACT.

       (a) Safe Communities.--
       (1) In general.--Section 2991(a) of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3797aa(a)) is 
     amended--
       (A) in paragraph (7)--
       (i) in the heading, by striking ``Mental illness'' and 
     inserting ``Mental illness; mental health disorder''; and
       (ii) by striking ``term `mental illness' means'' and 
     inserting ``terms `mental illness' and `mental health 
     disorder' mean''; and
       (B) by striking paragraph (9) and inserting the following:
       ``(9) Preliminarily qualified offender.--
       ``(A) In general.--The term `preliminarily qualified 
     offender' means an adult or juvenile accused of an offense 
     who--
       ``(i)(I) previously or currently has been diagnosed by a 
     qualified mental health professional as having a mental 
     illness or co-occurring mental illness and substance abuse 
     disorders;
       ``(II) manifests obvious signs of mental illness or co-
     occurring mental illness and substance abuse disorders during 
     arrest or confinement or before any court; or
       ``(III) in the case of a veterans treatment court provided 
     under subsection (i), has been diagnosed with, or manifests 
     obvious signs of, mental illness or a substance abuse 
     disorder or co-occurring mental illness and substance abuse 
     disorder; and
       ``(ii) has been unanimously approved for participation in a 
     program funded under this section by, when appropriate, the 
     relevant--

       ``(I) prosecuting attorney;
       ``(II) defense attorney;
       ``(III) probation or corrections official;
       ``(IV) judge; and
       ``(V) a representative from the relevant mental health 
     agency described in subsection (b)(5)(B)(i).

       ``(B) Determination.--In determining whether to designate a 
     defendant as a preliminarily qualified offender, the relevant 
     prosecuting attorney, defense attorney, probation or 
     corrections official, judge, and mental health or substance 
     abuse agency representative shall take into account--
       ``(i) whether the participation of the defendant in the 
     program would pose a substantial risk of violence to the 
     community;
       ``(ii) the criminal history of the defendant and the nature 
     and severity of the offense for which the defendant is 
     charged;
       ``(iii) the views of any relevant victims to the offense;
       ``(iv) the extent to which the defendant would benefit from 
     participation in the program;
       ``(v) the extent to which the community would realize cost 
     savings because of the defendant's participation in the 
     program; and
       ``(vi) whether the defendant satisfies the eligibility 
     criteria for program participation unanimously established by 
     the relevant prosecuting attorney, defense attorney, 
     probation or corrections official, judge and mental health or 
     substance abuse agency representative.''.
       (2) Technical and conforming amendment.--Section 2927(2) of 
     the Omnibus Crime Control and Safe Streets Act of 1968 (42 
     U.S.C. 3797s-6(2)) is amended by striking ``has the meaning 
     given that term in section 2991(a).'' and inserting ``means 
     an offense that--
       ``(A) does not have as an element the use, attempted use, 
     or threatened use of physical force against the person or 
     property of another; or
       ``(B) is not a felony that by its nature involves a 
     substantial risk that physical force against the person or 
     property of another may be used in the course of committing 
     the offense.''.
       (b) Evidence Based Practices.--Section 2991(c) of title I 
     of the Omnibus Crime Control and Safe Streets Act of 1968 (42 
     U.S.C. 3797aa(c)) is amended--
       (1) in paragraph (3), by striking ``or'' at the end;
       (2) by redesignating paragraph (4) as paragraph (6); and
       (3) by inserting after paragraph (3) the following:
       ``(4) propose interventions that have been shown by 
     empirical evidence to reduce recidivism;
       ``(5) when appropriate, use validated assessment tools to 
     target preliminarily qualified offenders with a moderate or 
     high risk of recidivism and a need for treatment and 
     services; or''.
       (c) Academy Training.--Section 2991(h) of title I of the 
     Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 
     3797aa(h)) is amended--
       (1) in paragraph (1), by adding at the end the following:
       ``(F) Academy training.--To provide support for academy 
     curricula, law enforcement officer orientation programs, 
     continuing education training, and other programs that teach 
     law enforcement personnel how to identify and respond to 
     incidents involving persons with mental health disorders or 
     co-occurring mental health and substance abuse disorders.''; 
     and
       (2) by adding at the end the following:
       ``(4) Priority consideration.--The Attorney General, in 
     awarding grants under this subsection, shall give priority to 
     programs that law enforcement personnel and members of the 
     mental health and substance abuse professions develop and 
     administer cooperatively.''.
       (d) Assisting Veterans.--
       Section 2991 of the Omnibus Crime Control and Safe Streets 
     Act of 1968 (42 U.S.C. 3797aa) is amended--
       (A) by redesignating subsection (i) as subsection (n); and
       (B) by inserting after subsection (h) the following:
       ``(i) Assisting Veterans.--
       ``(1) Definitions.--In this subsection:
       ``(A) Peer to peer services or programs.--The term `peer to 
     peer services or programs' means services or programs that 
     connect qualified veterans with other veterans for the 
     purpose of providing support and mentorship to assist 
     qualified veterans in obtaining treatment, recovery, 
     stabilization, or rehabilitation.
       ``(B) Qualified veteran.--The term `qualified veteran' 
     means a preliminarily qualified offender who--
       ``(i) has served on active duty in any branch of the Armed 
     Forces, including the National Guard and reserve components; 
     and
       ``(ii) was discharged or released from such service under 
     conditions other than dishonorable.
       ``(C) Veterans treatment court program.--The term `veterans 
     treatment court program' means a court program involving 
     collaboration among criminal justice, veterans, and mental 
     health and substance abuse agencies that provides qualified 
     veterans with--

[[Page 19530]]

       ``(i) intensive judicial supervision and case management, 
     which may include random and frequent drug testing where 
     appropriate;
       ``(ii) a full continuum of treatment services, including 
     mental health services, substance abuse services, medical 
     services, and services to address trauma;
       ``(iii) alternatives to incarceration; and
       ``(iv) other appropriate services, including housing, 
     transportation, mentoring, employment, job training, 
     education, and assistance in applying for and obtaining 
     available benefits.
       ``(2) Veterans assistance program.--
       ``(A) In general.--The Attorney General, in consultation 
     with the Secretary of Veterans Affairs, may award grants 
     under this subsection to applicants to establish or expand--
       ``(i) veterans treatment court programs;
       ``(ii) peer to peer services or programs for qualified 
     veterans;
       ``(iii) practices that identify and provide treatment, 
     rehabilitation, legal, transitional, and other appropriate 
     services to qualified veterans who have been incarcerated; 
     and
       ``(iv) training programs to teach criminal justice, law 
     enforcement, corrections, mental health, and substance abuse 
     personnel how to identify and appropriately respond to 
     incidents involving qualified veterans.
       ``(B) Priority.--In awarding grants under this subsection, 
     the Attorney General shall give priority to applications 
     that--
       ``(i) demonstrate collaboration between and joint 
     investments by criminal justice, mental health, substance 
     abuse, and veterans service agencies;
       ``(ii) promote effective strategies to identify and reduce 
     the risk of harm to qualified veterans and public safety; and
       ``(iii) propose interventions with empirical support to 
     improve outcomes for qualified veterans.''.
       (e) Correctional Facilities; High Utilizers.--Section 2991 
     of the Omnibus Crime Control and Safe Streets Act of 1968 (42 
     U.S.C. 3797aa) is amended by inserting after subsection (i), 
     as so added by subsection (d), the following:
       ``(j) Correctional Facilities.--
       ``(1) Definitions.--
       ``(A) Correctional facility.--The term `correctional 
     facility' means a jail, prison, or other detention facility 
     used to house people who have been arrested, detained, held, 
     or convicted by a criminal justice agency or a court.
       ``(B) Eligible inmate.--The term `eligible inmate' means an 
     individual who--
       ``(i) is being held, detained, or incarcerated in a 
     correctional facility; and
       ``(ii) manifests obvious signs of a mental illness or has 
     been diagnosed by a qualified mental health professional as 
     having a mental illness.
       ``(2) Correctional facility grants.--The Attorney General 
     may award grants to applicants to enhance the capabilities of 
     a correctional facility--
       ``(A) to identify and screen for eligible inmates;
       ``(B) to plan and provide--
       ``(i) initial and periodic assessments of the clinical, 
     medical, and social needs of inmates; and
       ``(ii) appropriate treatment and services that address the 
     mental health and substance abuse needs of inmates;
       ``(C) to develop, implement, and enhance--
       ``(i) post-release transition plans for eligible inmates 
     that, in a comprehensive manner, coordinate health, housing, 
     medical, employment, and other appropriate services and 
     public benefits;
       ``(ii) the availability of mental health care services and 
     substance abuse treatment services; and
       ``(iii) alternatives to solitary confinement and segregated 
     housing and mental health screening and treatment for inmates 
     placed in solitary confinement or segregated housing; and
       ``(D) to train each employee of the correctional facility 
     to identify and appropriately respond to incidents involving 
     inmates with mental health or co-occurring mental health and 
     substance abuse disorders.
       ``(k) Demonstration Grants Responding to High Utilizers.--
       ``(1) Definition.--In this subsection, the term `high 
     utilizer' means an individual who--
       ``(A) manifests obvious signs of mental illness or has been 
     diagnosed by a qualified mental health professional as having 
     a mental illness; and
       ``(B) consumes a significantly disproportionate quantity of 
     public resources, such as emergency, housing, judicial, 
     corrections, and law enforcement services.
       ``(2) Demonstration grants responding to high utilizers.--
       ``(A) In general.--The Attorney General may award not more 
     than 6 grants per year under this subsection to applicants 
     for the purpose of reducing the use of public services by 
     high utilizers.
       ``(B) Use of grants.--A recipient of a grant awarded under 
     this subsection may use the grant--
       ``(i) to develop or support multidisciplinary teams that 
     coordinate, implement, and administer community-based crisis 
     responses and long-term plans for high utilizers;
       ``(ii) to provide training on how to respond appropriately 
     to the unique issues involving high utilizers for public 
     service personnel, including criminal justice, mental health, 
     substance abuse, emergency room, healthcare, law enforcement, 
     corrections, and housing personnel;
       ``(iii) to develop or support alternatives to hospital and 
     jail admissions for high utilizers that provide treatment, 
     stabilization, and other appropriate supports in the least 
     restrictive, yet appropriate, environment; or
       ``(iv) to develop protocols and systems among law 
     enforcement, mental health, substance abuse, housing, 
     corrections, and emergency medical service operations to 
     provide coordinated assistance to high utilizers.
       ``(C) Report.--Not later than the last day of the first 
     year following the fiscal year in which a grant is awarded 
     under this subsection, the recipient of the grant shall 
     submit to the Attorney General a report that--
       ``(i) measures the performance of the grant recipient in 
     reducing the use of public services by high utilizers; and
       ``(ii) provides a model set of practices, systems, or 
     procedures that other jurisdictions can adopt to reduce the 
     use of public services by high utilizers.''.
       (f) Grant Accountability.--Section 2991 of the Omnibus 
     Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3797aa) 
     is amended by inserting after subsection (i), as so added by 
     subsection (e), the following:
       ``(l) Accountability.--All grants awarded by the Attorney 
     General under this section shall be subject to the following 
     accountability provisions:
       ``(1) Audit requirement.--
       ``(A) Definition.--In this paragraph, the term `unresolved 
     audit finding' means a finding in the final audit report of 
     the Inspector General of the Department of Justice that the 
     audited grantee has utilized grant funds for an unauthorized 
     expenditure or otherwise unallowable cost that is not closed 
     or resolved within 12 months from the date when the final 
     audit report is issued.
       ``(B) Audits.--Beginning in the first fiscal year beginning 
     after the date of enactment of this subsection, and in each 
     fiscal year thereafter, the Inspector General of the 
     Department of Justice shall conduct audits of recipients of 
     grants under this section to prevent waste, fraud, and abuse 
     of funds by grantees. The Inspector General shall determine 
     the appropriate number of grantees to be audited each year.
       ``(C) Mandatory exclusion.--A recipient of grant funds 
     under this section that is found to have an unresolved audit 
     finding shall not be eligible to receive grant funds under 
     this section during the first 2 fiscal years beginning after 
     the end of the 12-month period described in subparagraph (A).
       ``(D) Priority.--In awarding grants under this section, the 
     Attorney General shall give priority to eligible applicants 
     that did not have an unresolved audit finding during the 3 
     fiscal years before submitting an application for a grant 
     under this section.
       ``(E) Reimbursement.--If an entity is awarded grant funds 
     under this section during the 2-fiscal-year period during 
     which the entity is barred from receiving grants under 
     subparagraph (C), the Attorney General shall--
       ``(i) deposit an amount equal to the amount of the grant 
     funds that were improperly awarded to the grantee into the 
     General Fund of the Treasury; and
       ``(ii) seek to recoup the costs of the repayment to the 
     fund from the grant recipient that was erroneously awarded 
     grant funds.
       ``(2) Nonprofit organization requirements.--
       ``(A) Definition.--For purposes of this paragraph and the 
     grant programs under this part, the term `nonprofit 
     organization' means an organization that is described in 
     section 501(c)(3) of the Internal Revenue Code of 1986 and is 
     exempt from taxation under section 501(a) of such Code.
       ``(B) Prohibition.--The Attorney General may not award a 
     grant under this part to a section organization that holds 
     money in offshore accounts for the purpose of avoiding paying 
     the tax described in section 511(a) of the Internal Revenue 
     Code of 1986.
       ``(C) Disclosure.--Each nonprofit organization that is 
     awarded a grant under this section and uses the procedures 
     prescribed in regulations to create a rebuttable presumption 
     of reasonableness for the compensation of its officers, 
     directors, trustees and key employees, shall disclose to the 
     Attorney General, in the application for the grant, the 
     process for determining such compensation, including the 
     independent persons involved in reviewing and approving such 
     compensation, the comparability data used, and 
     contemporaneous substantiation of the deliberation and 
     decision. Upon request, the Attorney General shall make the 
     information disclosed under this subparagraph available for 
     public inspection.
       ``(3) Conference expenditures.--
       ``(A) Limitation.--No amounts authorized to be appropriated 
     to the Department of Justice under this section may be used 
     by the Attorney General, or by any individual or entity 
     awarded discretionary funds through a cooperative agreement 
     under this section, to host or support any expenditure for 
     conferences that uses more than $20,000 in funds

[[Page 19531]]

     made available by the Department of Justice, unless the 
     Deputy Attorney General or such Assistant Attorney Generals, 
     Directors, or principal deputies as the Deputy Attorney 
     General may designate, provides prior written authorization 
     that the funds may be expended to host the conference.
       ``(B) Written approval.--Written approval under 
     subparagraph (A) shall include a written estimate of all 
     costs associated with the conference, including the cost of 
     all food, beverages, audio-visual equipment, honoraria for 
     speakers, and entertainment.
       ``(C) Report.--The Deputy Attorney General shall submit an 
     annual report to the Committee on the Judiciary of the Senate 
     and the Committee on the Judiciary of the House of 
     Representatives on all conference expenditures approved under 
     this paragraph.
       ``(4) Annual certification.--Beginning in the first fiscal 
     year beginning after the date of enactment of this 
     subsection, the Attorney General shall submit, to the 
     Committee on the Judiciary and the Committee on 
     Appropriations of the Senate and the Committee on the 
     Judiciary and the Committee on Appropriations of the House of 
     Representatives, an annual certification--
       ``(A) indicating whether--
       ``(i) all audits issued by the Office of the Inspector 
     General under paragraph (1) have been completed and reviewed 
     by the appropriate Assistant Attorney General or Director;
       ``(ii) all mandatory exclusions required under paragraph 
     (1)(C) have been issued; and
       ``(iii) all reimbursements required under paragraph (1)(E) 
     have been made; and
       ``(B) that includes a list of any grant recipients excluded 
     under paragraph (1) from the previous year.''.
       ``(m) Preventing Duplicative Grants.--
       ``(1) In general.--Before the Attorney General awards a 
     grant to an applicant under this section, the Attorney 
     General shall compare potential grant awards with other 
     grants awarded under this Act to determine if duplicate grant 
     awards are awarded for the same purpose.
       ``(2) Report.--If the Attorney General awards duplicate 
     grants to the same applicant for the same purpose the 
     Attorney General shall submit to the Committee on the 
     Judiciary of the Senate and the Committee on the Judiciary of 
     the House of Representatives a report that includes--
       ``(A) a list of all duplicate grants awarded, including the 
     total dollar amount of any duplicate grants awarded; and
       ``(B) the reason the Attorney General awarded the duplicate 
     grants.''.
       (g) Reauthorization of Appropriations.--Section 2991(n) of 
     title I of the Omnibus Crime Control and Safe Streets Act of 
     1968, as redesignated in subsection (d), is amended--
       (1) in paragraph (1);
       (A) in subparagraph (B), by striking ``and'' at the end;
       (B) in subparagraph (C), by striking the period and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(D) $40,000,000 for each of fiscal years 2015 through 
     2019.''; and
       (2) by adding at the end the following:
       ``(3) Limitation.--Not more than 20 percent of the funds 
     authorized to be appropriated under this section may be used 
     for purposes described in subsection (i) (relating to 
     veterans).''.

     SEC. 202. ADDITIONAL PURPOSES FOR FEDERAL GRANTS.

       (a) Modifications to the Edward Byrne Memorial Justice 
     Assistance Grant Program.--Section 501(a)(1) of title I of 
     the Omnibus Crime Control and Safe Streets Act of 1968 (42 
     U.S.C. 3751(a)(1)) is amended by adding at the end the 
     following:
       ``(H) Mental health programs and operations by law 
     enforcement or corrections.''.
       (b) Modifications to the Community Oriented Policing 
     Services Program.--Section 1701(b) of title I of the Omnibus 
     Crime Control and Safe Streets Act of 1968 (42 U.S.C. 
     3796dd(b)) is amended--
       (1) in paragraph (16), by striking ``and'' at the end;
       (2) by redesignating paragraph (17) as paragraph (19);
       (3) by inserting after paragraph (16) the following:
       ``(17) to provide specialized training to law enforcement 
     officers (including village public safety officers (as 
     defined in section 247 of the Indian Arts and Crafts 
     Amendments Act of 2010 (42 U.S.C. 3796dd note))) to recognize 
     individuals who have mental illness and how to properly 
     intervene with individuals with mental illness and to 
     establish programs that enhance the ability of law 
     enforcement agencies to address the mental health, 
     behavioral, and substance abuse problems of individuals 
     encountered in the line of duty;
       ``(18) to provide specialized training to corrections 
     officers to recognize individuals who have mental illness and 
     to enhance the ability of corrections officers to address the 
     mental health or individuals under the care and custody of 
     jails and prisons; and''; and
       (4) in paragraph (19), as redesignated, by striking 
     ``through (16)'' and inserting ``through (18)''.

     SEC. 203. PROTECTING THE SECOND AMENDMENT RIGHTS OF VETERANS.

       (a) In General.--Chapter 55 of title 38, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 5511. Conditions for treatment of certain persons as 
       adjudicated mentally incompetent for certain purposes

       ``(a) Protecting Rights of Veterans With Existing 
     Records.--Not later than 90 days after the date of enactment 
     of the Protecting Communities and Preserving the Second 
     Amendment Act of 2015, the Secretary shall provide written 
     notice in accordance with subsection (b) of the opportunity 
     for administrative review under subsection (c) to all persons 
     who, on the date of enactment of the Protecting Communities 
     and Preserving the Second Amendment Act of 2015, are 
     considered to have been adjudicated mentally incompetent or 
     committed to a psychiatric hospital under subsection (d)(4) 
     or (g)(4) of section 922 of title 18 as a result of having 
     been found by the Department to be mentally incompetent.
       ``(b) Notice.--The Secretary shall provide notice under 
     this section to a person described in subsection (a) that 
     notifies the person of--
       ``(1) the determination made by the Secretary;
       ``(2) a description of the implications of being considered 
     to have been adjudicated mentally incompetent or committed to 
     a psychiatric hospital under subsection (d)(4) or (g)(4) of 
     section 922 of title 18; and
       ``(3) the right of the person to request a review under 
     subsection (c)(1).
       ``(c) Administrative Review.--
       ``(1) Request.--Not later than 30 days after the date on 
     which a person described in subsection (a) receives notice in 
     accordance with subsection (b), such person may request a 
     review by the board designed or established under paragraph 
     (2) or by a court of competent jurisdiction to assess whether 
     the person is a danger to himself or herself or to others. In 
     such assessment, the board may consider the person's 
     honorable discharge or decorations.
       ``(2) Board.--Not later than 180 days after the date of 
     enactment of the Protecting Communities and Preserving the 
     Second Amendment Act of 2015, the Secretary shall designate 
     or establish a board that shall, upon request of a person 
     under paragraph (1), assess whether the person is a danger to 
     himself or herself or to others.
       ``(d) Judicial Review.--A person may file a petition with a 
     Federal court of competent jurisdiction for judicial review 
     of an assessment of the person under subsection (c) by the 
     board designated or established under subsection (c)(2).''.
       (b) Clerical Amendment.--The table of sections for chapter 
     55 of title 38, United States Code, is amended by adding at 
     the end the following:

``5511. Conditions for treatment of certain persons as adjudicated 
              mentally incompetent for certain purposes.''.

     SEC. 204. APPLICABILITY OF AMENDMENTS.

       With respect to any record of a person prohibited from 
     possessing or receiving a firearm under subsection (d)(4) or 
     (g)(4) of section 922 of title 18, United States Code, before 
     the date of enactment of this Act, the Attorney General shall 
     remove such a record from the National Instant Criminal 
     Background Check System--
       (1) upon being made aware that the person is no longer 
     considered as adjudicated mentally incompetent or committed 
     to a psychiatric hospital according to the criteria under 
     paragraph (36)(A)(i)(II) of section 921(a) of title 18, 
     United States Code (as added by this title), and is therefore 
     no longer prohibited from possessing or receiving a firearm;
       (2) upon being made aware that any order or finding that 
     the record is based on is an order or finding described in 
     paragraph (36)(B) of section 921(a) of title 18, United State 
     Code (as added by this title); or
       (3) upon being made aware that the person has been found 
     competent to possess a firearm after an administrative or 
     judicial review under subsection (c) or (d) of section 5511 
     of title 38, United States Code (as added by this title).

                        TITLE III--SCHOOL SAFETY

     SEC. 301. SHORT TITLE.

       This title may be cited as the ``School Safety Enhancements 
     Act of 2015''.

     SEC. 302. GRANT PROGRAM FOR SCHOOL SECURITY.

       Section 2701 of title I of the Omnibus Crime Control and 
     Safe Streets Act of 1968 (42 U.S.C. 3797a) is amended--
       (1) in subsection (b)--
       (A) in paragraph (1)--
       (i) by striking ``Placement'' and inserting 
     ``Installation''; and
       (ii) by inserting ``surveillance equipment,'' after 
     ``detectors,'';
       (B) by redesignating paragraph (5) as paragraph (6); and
       (C) by inserting after paragraph (4) the following:
       ``(5) Establishment of hotlines or tiplines for the 
     reporting of potentially dangerous students and 
     situations.''; and
       (2) by adding at the end the following:
       ``(g) Interagency Task Force.--
       ``(1) Establishment.--Not later than 60 days after the date 
     of enactment of the School Safety Enhancements Act of 2015, 
     the Director and the Secretary of Education, or the designee 
     of the Secretary, shall establish

[[Page 19532]]

     an interagency task force to develop and promulgate a set of 
     advisory school safety guidelines.
       ``(2) Publication of guidelines.--Not later than 1 year 
     after the date of enactment of the School Safety Enhancements 
     Act of 2015, the advisory school safety guidelines 
     promulgated by the interagency task force shall be published 
     in the Federal Register.
       ``(3) Required consultation.--In developing the final 
     advisory school safety guidelines under this subsection, the 
     interagency task force shall consult with stakeholders and 
     interested parties, including parents, teachers, and 
     agencies.''.

     SEC. 303. APPLICATIONS.

       Section 2702(a)(2) of title I of the Omnibus Crime Control 
     and Safe Streets Act of 1968 (42 U.S.C. 3797b(a)(2)) is 
     amended to read as follows:
       ``(2) be accompanied by a report--
       ``(A) signed by the heads of each law enforcement agency 
     and school district with jurisdiction over the schools where 
     the safety improvements will be implemented; and
       ``(B) demonstrating that each proposed use of the grant 
     funds will be--
       ``(i) an effective means for improving the safety of 1 or 
     more schools;
       ``(ii) consistent with a comprehensive approach to 
     preventing school violence; and
       ``(iii) individualized to the needs of each school at which 
     those improvements are to be made.''.

     SEC. 304. AUTHORIZATION OF APPROPRIATIONS.

       Section 2705 of title I of the Omnibus Crime Control and 
     Safe Streets Act of 1968 (42 U.S.C. 3797e) is amended by 
     striking ``2001 through 2009'' and inserting ``2014 through 
     2023''.

     SEC. 305. ACCOUNTABILITY.

       Section 2701 of title I of the Omnibus Crime Control and 
     Safe Streets Act of 1968 (42 U.S.C. 3797a), as amended by 
     section 202 of this title, is amended by adding at the end 
     the following:
       ``(h) Accountability.--All grants awarded by the Attorney 
     General under this part shall be subject to the following 
     accountability provisions:
       ``(1) Audit requirement.--
       ``(A) Definition.--In this paragraph, the term `unresolved 
     audit finding' means a finding in the final audit report of 
     the Inspector General of the Department of Justice that the 
     audited grantee has utilized grant funds for an unauthorized 
     expenditure or otherwise unallowable cost that is not closed 
     or resolved within 12 months from the date when the final 
     audit report is issued.
       ``(B) Audits.--Beginning in the first fiscal year beginning 
     after the date of enactment of this subsection, and in each 
     fiscal year thereafter, the Inspector General of the 
     Department of Justice shall conduct audits of recipients of 
     grants under this part to prevent waste, fraud, and abuse of 
     funds by grantees. The Inspector General shall determine the 
     appropriate number of grantees to be audited each year.
       ``(C) Mandatory exclusion.--A recipient of grant funds 
     under this part that is found to have an unresolved audit 
     finding shall not be eligible to receive grant funds under 
     this part during the first 2 fiscal years beginning after the 
     end of the 12-month period described in subparagraph (A).
       ``(D) Priority.--In awarding grants under this part, the 
     Attorney General shall give priority to eligible applicants 
     that did not have an unresolved audit finding during the 3 
     fiscal years before submitting an application for a grant 
     under this part.
       ``(E) Reimbursement.--If an entity is awarded grant funds 
     under this part during the 2-fiscal-year period during which 
     the entity is barred from receiving grants under subparagraph 
     (C), the Attorney General shall--
       ``(i) deposit an amount equal to the amount of the grant 
     funds that were improperly awarded to the grantee into the 
     General Fund of the Treasury; and
       ``(ii) seek to recoup the costs of the repayment to the 
     fund from the grant recipient that was erroneously awarded 
     grant funds.
       ``(2) Nonprofit organization requirements.--
       ``(A) Definition.--For purposes of this paragraph and the 
     grant programs under this part, the term `nonprofit 
     organization' means an organization that is described in 
     section 501(c)(3) of the Internal Revenue Code of 1986 and is 
     exempt from taxation under section 501(a) of such Code.
       ``(B) Prohibition.--The Attorney General may not award a 
     grant under this part to a nonprofit organization that holds 
     money in offshore accounts for the purpose of avoiding paying 
     the tax described in section 511(a) of the Internal Revenue 
     Code of 1986.
       ``(C) Disclosure.--Each nonprofit organization that is 
     awarded a grant under this part and uses the procedures 
     prescribed in regulations to create a rebuttable presumption 
     of reasonableness for the compensation of its officers, 
     directors, trustees and key employees, shall disclose to the 
     Attorney General, in the application for the grant, the 
     process for determining such compensation, including the 
     independent persons involved in reviewing and approving such 
     compensation, the comparability data used, and 
     contemporaneous substantiation of the deliberation and 
     decision. Upon request, the Attorney General shall make the 
     information disclosed under this subparagraph available for 
     public inspection.
       ``(3) Conference expenditures.--
       ``(A) Limitation.--No amounts authorized to be appropriated 
     to the Department of Justice under this part may be used by 
     the Attorney General, or by any individual or entity awarded 
     discretionary funds through a cooperative agreement under 
     this part, to host or support any expenditure for conferences 
     that uses more than $20,000 in funds made available by the 
     Department of Justice, unless the Deputy Attorney General or 
     such Assistant Attorney Generals, Directors, or principal 
     deputies as the Deputy Attorney General may designate, 
     provides prior written authorization that the funds may be 
     expended to host the conference.
       ``(B) Written approval.--Written approval under 
     subparagraph (A) shall include a written estimate of all 
     costs associated with the conference, including the cost of 
     all food, beverages, audio-visual equipment, honoraria for 
     speakers, and entertainment.
       ``(C) Report.--The Deputy Attorney General shall submit an 
     annual report to the Committee on the Judiciary of the Senate 
     and the Committee on the Judiciary of the House of 
     Representatives on all conference expenditures approved under 
     this paragraph.
       ``(4) Annual certification.--Beginning in the first fiscal 
     year beginning after the date of enactment of this 
     subsection, the Attorney General shall submit, to the 
     Committee on the Judiciary and the Committee on 
     Appropriations of the Senate and the Committee on the 
     Judiciary and the Committee on Appropriations of the House of 
     Representatives, an annual certification--
       ``(A) indicating whether--
       ``(i) all audits issued by the Office of the Inspector 
     General under paragraph (1) have been completed and reviewed 
     by the appropriate Assistant Attorney General or Director;
       ``(ii) all mandatory exclusions required under paragraph 
     (1)(C) have been issued; and
       ``(iii) all reimbursements required under paragraph (1)(E) 
     have been made; and
       ``(B) that includes a list of any grant recipients excluded 
     under paragraph (1) from the previous year.''.

     SEC. 306. PREVENTING DUPLICATIVE GRANTS.

       Section 1701 of title I of the Omnibus Crime Control and 
     Safe Streets Act of 1968 (42 U.S.C. 3796dd) is amended by 
     adding at the end the following:
       ``(l) Preventing Duplicative Grants.--
       ``(1) In general.--Before the Attorney General awards a 
     grant to an applicant under this part, the Attorney General 
     shall compare potential grant awards with grants awarded 
     under parts A or T to determine if duplicate grant awards are 
     awarded for the same purpose.
       ``(2) Report.--If the Attorney General awards duplicate 
     grants to the same applicant for the same purpose the 
     Attorney General shall submit to the Committee on the 
     Judiciary of the Senate and the Committee on the Judiciary of 
     the House of Representatives a report that includes--
       ``(A) a list of all duplicate grants awarded, including the 
     total dollar amount of any duplicate grants awarded; and
       ``(B) the reason the Attorney General awarded the duplicate 
     grants.''.

                       TITLE IV--SANCTUARY CITIES

     SEC. 401. STOP SANCTUARY POLICIES AND PROTECT AMERICANS.

       (a) Short Title.--This section may be cited as the ``Stop 
     Sanctuary Policies and Protect Americans Act''.
       (b) Sanctuary Jurisdiction Defined.--In this section, the 
     term ``sanctuary jurisdiction'' means any State or political 
     subdivision of a State, including any law enforcement entity 
     of a State or of a political subdivision of a State, that--
       (1) has in effect a statute, ordinance, policy, or practice 
     that is in violation of subsection (a) or (b) of section 642 
     of the Illegal Immigration Reform and Immigrant 
     Responsibility Act of 1996 (8 U.S.C. 1373); or
       (2) has in effect a statute, ordinance, policy, or practice 
     that prohibits any government entity or official from 
     complying with a detainer that has been lawfully issued or a 
     request to notify about the release of an alien that has been 
     made by the Department of Homeland Security in accordance 
     with section 236 and 287 of the Immigration and Nationality 
     Act (8 U.S.C. 1226 and 1357) and section 287.7 of title 8, 
     Code of Federal Regulations.
       (c) Limitation on Grants to Sanctuary Jurisdictions.--
       (1) Ineligibility for grants.--
       (A) Law enforcement grants.--
       (i) SCAAP grants.--A sanctuary jurisdiction shall not be 
     eligible to receive funds pursuant to the State Criminal 
     Alien Assistance Program under section 241(i) of the 
     Immigration and Nationality Act (8 U.S.C. 1231(i)).
       (ii) Cops grants.--No law enforcement entity of a State or 
     of a political subdivision of a State that has a departmental 
     policy or practice that renders it a sanctuary jurisdiction, 
     and such a policy or practice is not required by statute, 
     ordinance, or other codified law, or by order of a chief 
     executive officer of the jurisdiction, or the executive or 
     legislative board of the jurisdiction, shall be eligible to 
     receive funds directly or indirectly under the `Cops on the 
     Beat' program under part Q of title I of the Omnibus Crime

[[Page 19533]]

     Control and Safe Streets Act of 1968 (42 U.S.C. 3796dd et 
     seq.).
       (iii) Enforcement.--The Attorney General, in consultation 
     with the Secretary of Homeland Security, shall terminate the 
     funding described in subparagraphs (A) and (B) to a State or 
     political subdivision of a State on the date that is 30 days 
     after the date on which a notification described in 
     subsection (d)(2) is made to the State or subdivision, unless 
     the Secretary of Homeland Security, in consultation with the 
     Attorney General, determines the State or subdivision is no 
     longer a sanctuary jurisdiction.
       (B) Community development block grants.--
       (i) In general.--Title I of the Housing and Community 
     Development Act of 1974 (42 U.S.C. 5301 et seq.) is amended--

       (I) in section 102 (42 U.S.C. 5302), by adding at the end 
     the following:

       ``(25) The term `sanctuary jurisdiction' means any State or 
     unit of general local government that--
       ``(A) has in effect a statute, ordinance, policy, or 
     practice that is in violation of subsection (a) or (b) of 
     section 642 of the Illegal Immigration Reform and Immigrant 
     Responsibility Act of 1996 (8 U.S.C. 1373); or
       ``(B) has in effect a statute, ordinance, policy, or 
     practice that prohibits any government entity or official 
     from complying with a detainer that has been lawfully issued 
     or a request to notify about the release of an alien that has 
     been made by the Department of Homeland Security in 
     accordance with section 236 and 287 of the Immigration and 
     Nationality Act (8 U.S.C. 1226 and 1357) and section 287.7 of 
     title 8, Code of Federal Regulations.''; and

       (II) in section 104 (42 U.S.C. 5304)--

       (aa) in subsection (b)--
       (AA) in paragraph (5), by striking ``and'' at the end;
       (BB) by redesignating paragraph (6) as paragraph (7); and
       (CC) by inserting after paragraph (5) the following:
       ``(6) the grantee is not a sanctuary jurisdiction and will 
     not become a sanctuary jurisdiction during the period for 
     which the grantee receives a grant under this title; and''; 
     and
       (bb) by adding at the end the following:
       ``(n) Protection of Individuals Against Criminal Aliens.--
       ``(1) In general.--No funds authorized to be appropriated 
     to carry out this title may be obligated or expended to any 
     State or unit of general local government that is a sanctuary 
     jurisdiction.
       ``(2) Returned amounts.--
       ``(A) State.--If a State is a sanctuary jurisdiction during 
     the period for which the State receives amounts under this 
     title, the Secretary--
       ``(i) shall direct the State to immediately return to the 
     Secretary any such amounts that have not been obligated by 
     the State as of the date on which the State became a 
     sanctuary jurisdiction; and
       ``(ii) may use any returned amounts under clause (i) to 
     make grants to other States that are not sanctuary 
     jurisdictions in accordance with this title.
       ``(B) Unit of general local government.--If a unit of 
     general local government is a sanctuary jurisdiction during 
     the period for which the unit of general local government 
     receives amounts under this title, any such amounts that have 
     not been obligated by the unit of general local government as 
     of the date on which the unit of general local government 
     became a sanctuary jurisdiction--
       ``(i) in the case of a unit of general local government 
     that is not in a nonentitlement area, shall be returned to 
     the Secretary to make grants to States and other units of 
     general local government that are not sanctuary jurisdictions 
     in accordance with this title; and
       ``(ii) in the case of a unit of general local government 
     that is in a nonentitlement area, shall be returned to the 
     Governor of the State to make grants to other units of 
     general local government that are not sanctuary jurisdictions 
     in accordance with this title.
       ``(o) Enforcement Against Funding for Sanctuary 
     Jurisdictions.--
       ``(1) In general.--The Secretary shall verify, on a 
     quarterly basis, the determination of the Secretary of 
     Homeland Security and the Attorney General as to whether a 
     State or unit of general local government is a sanctuary 
     jurisdiction and therefore ineligible to receive a grant 
     under this title for purposes of subsections (b)(6) and (n).
       ``(2) Notification.--If the Secretary verifies that a State 
     or unit of general local government is determined to be a 
     sanctuary jurisdiction under paragraph (1), the Secretary 
     shall notify the State or unit of general local government 
     that it is ineligible to receive a grant under this title.''.
       (ii) Effective date.--The amendments made by clause (i) 
     shall only apply with respect to community development block 
     grants made under title I of the Housing and Community 
     Development Act (42 U.S.C. 5301 et seq.) after the date of 
     the enactment of this Act.
       (2) Allocation.--Any funds that are not allocated to a 
     State or political subdivision of a State pursuant to 
     paragraph (1) and the amendments made by paragraph (1) shall 
     be allocated to States and political subdivisions of States 
     that are not sanctuary jurisdictions.
       (3) Notification of congress.--Not later than 5 days after 
     a determination is made pursuant to paragraph (1) to 
     terminate a grant or to refuse to award a grant, the 
     Secretary of Homeland Security shall submit to the Committee 
     on Appropriations and the Committee on the Judiciary of the 
     Senate and the Committee on Appropriations and the Committee 
     on the Judiciary of the House of Representatives a report 
     that fully describes the circumstances and basis for the 
     termination or refusal.
       (4) Transparency and accountability.--Not later than 60 
     days after the date of the enactment of this Act, and 
     quarterly thereafter, the Secretary of Homeland Security and 
     the Attorney General shall--
       (A) determine the States and political subdivisions of 
     States that are sanctuary jurisdictions;
       (B) notify each such State or subdivision that it is 
     determined to be a sanctuary jurisdiction; and
       (C) publish on the website of the Department of Homeland 
     Security and of the Department of Justice--
       (i) a list of each sanctuary jurisdiction;
       (ii) the total number of detainers and requests for 
     notification of the release of any alien that has been issued 
     or made to each State or political subdivision of a State; 
     and
       (iii) the number of such detainers and requests for 
     notification that have been ignored or otherwise not honored, 
     including the name of the jurisdiction in which each such 
     detainer or request for notification was issued or made.
       (5) Construction.--Nothing in this subsection may be 
     construed to require law enforcement officials of a State or 
     a political subdivision of a State to provide the Secretary 
     of Homeland Security with information related to a victim or 
     a witness to a criminal offense.
       (d) State and Local Government and Individual Compliance 
     With Detainers.--
       (1) Authority to carry out detainers.--A State, a political 
     subdivision of a State, or an officer, employee, or agent of 
     such State or political subdivision that complies with a 
     detainer issued by the Department of Homeland Security under 
     section 236 or 287 of the Immigration and Nationality Act (8 
     U.S.C. 1226 and 1357)--
       (A) shall be deemed to be acting as an agent of the 
     Department of Homeland Security; and
       (B) shall have the authority available to employees of the 
     Department of Homeland Security with regard to actions taken 
     to comply with the detainer.
       (2) Liability.--In any legal proceeding brought against a 
     State, a political subdivision of State, or an officer, 
     employee, or agent of such State or political subdivision, 
     which challenges the legality of the seizure or detention of 
     an individual pursuant to a detainer issued by the Department 
     of Homeland Security under section 236 or 287 of the 
     Immigration and Nationality Act (8 U.S.C. 1226 and 1357)--
       (A) no liability shall lie against the State or political 
     subdivision for actions taken in compliance with the 
     detainer;
       (B) if the actions of the officer, employee, or agent of 
     the State or political subdivision were taken in compliance 
     with the detainer--
       (i) the officer, employee, or agent shall be deemed to be 
     an employee of the Federal Government and an investigative or 
     law enforcement officer and to have been acting within the 
     scope of his or her employment under section 1346(b) and 
     chapter 171 of title 28, United States Code;
       (ii) section 1346(b) of title 28, United States Code, shall 
     provide the exclusive remedy for the plaintiff; and
       (iii) the United States shall be substituted as defendant 
     in the proceeding.
       (3) Construction.--Nothing in this section may be 
     construed--
       (A) to provide immunity to any person who knowingly 
     violates the civil or constitutional rights of an individual; 
     or
       (B) to limit the application of the doctrine of official 
     immunity or of qualified immunity in a civil action brought 
     against a law enforcement officer acting pursuant to a 
     detainer issued by the Department of Homeland Security under 
     section 236 or 287 of the Immigration and Nationality Act (8 
     U.S.C. 1226 and 1357).
       (e) Increased Penalties for Reentry of Removed Alien.--
     Section 276 of the Immigration and Nationality Act (8 U.S.C. 
     1326) is amended--
       (1) by redesignating subsections (c) and (d) as subsections 
     (d) and (e), respectively;
       (2) by striking subsections (a) and (b) and inserting the 
     following:
       ``(a) In General.--Subject to subsections (b) and (c), any 
     alien who--
       ``(1) has been denied admission, excluded, deported, or 
     removed or has departed the United States while an order of 
     exclusion, deportation, or removal is outstanding; and
       ``(2) thereafter enters, attempts to enter, or is at any 
     time found in, the United States, unless--
       ``(A) prior to the alien's reembarkation at a place outside 
     the United States or the alien's application for admission 
     from foreign contiguous territory, the Secretary of

[[Page 19534]]

     Homeland Security has expressly consented to such alien's 
     reapplying for admission; or
       ``(B) with respect to an alien previously denied admission 
     and removed, such alien shall establish that the alien was 
     not required to obtain such advance consent under this Act or 
     any prior Act;

     shall be fined under title 18, United States Code, or 
     imprisoned not more than five years, or both.
       ``(b) Criminal Penalties for Reentry of Certain Removed 
     Aliens.--
       ``(1) In general.--Notwithstanding the penalty provided in 
     subsection (a), and except as provided in subsection (c), an 
     alien described in subsection (a)--
       ``(A) who was convicted before such removal or departure of 
     three or more misdemeanors involving drugs, crimes against 
     the person, or both, or a felony (other than an aggravated 
     felony), shall be fined under title 18, United States Code, 
     imprisoned not more than 10 years, or both;
       ``(B) who has been excluded from the United States pursuant 
     to section 235(c) because the alien was excludable under 
     section 212(a)(3)(B) or who has been removed from the United 
     States pursuant to the provisions of title V, and who 
     thereafter, without the permission of the Secretary of 
     Homeland Security, enters the United States, or attempts to 
     do so, shall be fined under title 18, United States Code, and 
     imprisoned for a period of 10 years, which sentence shall not 
     run concurrently with any other sentence;
       ``(C) who was removed from the United States pursuant to 
     section 241(a)(4)(B) who thereafter, without the permission 
     of the Secretary of Homeland Security, enters, attempts to 
     enter, or is at any time found in, the United States (unless 
     the Secretary of Homeland Security has expressly consented to 
     such alien's reentry) shall be fined under title 18, United 
     States Code, imprisoned for not more than 10 years, or both; 
     and
       ``(D) who has been denied admission, excluded, deported, or 
     removed 3 or more times and thereafter enters, attempts to 
     enter, crosses the border to, attempts to cross the border 
     to, or is at any time found in the United States, shall be 
     fined under title 18, United States Code, imprisoned not more 
     than 10 years, or both.
       ``(2) Removal defined.--In this subsection and subsection 
     (c), the term `removal' includes any agreement in which an 
     alien stipulates to removal during (or not during) a criminal 
     trial under either Federal or State law.
       ``(c) Mandatory Minimum Criminal Penalty for Reentry of 
     Certain Removed Aliens.--Notwithstanding the penalties 
     provided in subsections (a) and (b), an alien described in 
     subsection (a)--
       ``(1) who was convicted before such removal or departure of 
     an aggravated felony; or
       ``(2) who was convicted at least two times before such 
     removal or departure of illegal reentry under this section;
     shall be imprisoned not less than five years and not more 
     than 20 years, and may, in addition, be fined under title 18, 
     United States Code.''; and
       (3) in subsection (d), as redesignated by paragraph (1)--
       (A) by striking ``section 242(h)(2)'' and inserting 
     ``section 241(a)(4)''; and
       (B) by striking ``Attorney General'' and inserting 
     ``Secretary of Homeland Security''.
       (f) Severability.--If any provision of this section or the 
     application of such provision to any person or circumstance 
     is held invalid for any reason, the remainder of this 
     section, and the application of such provision to other 
     persons not similarly situated or to other circumstances, 
     shall not be affected by such invalidation.
                                 ______
                                 
  SA 2915. Mr. PAUL submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, to 
provide for reconciliation pursuant to section 2002 of the concurrent 
resolution on the budget for fiscal year 2016; as follows:

       At the appropriate place, insert the following:

                   TITLE III--DEFEND OUR CAPITAL ACT

     SEC. 301. SHORT TITLE.

       This title may be cited as the ``Defend Our Capital Act of 
     2015''.
  


     SEC. 302. RECOGNIZING THE RIGHT OF LAW-ABIDING INDIVIDUALS TO 
                   CARRY AND TRANSPORT FIREARMS FOR LEGITIMATE 
                   PURPOSES.

       (a) Licenses to Carry Firearms.--Section 6 of the Act of 
     July 8, 1932 (47 Stat. 650, chapter 465; sec. 22-4506, D.C. 
     Official Code), is amended to read as follows:

     ``SEC. 6. ISSUE OF LICENSES TO CARRY FIREARMS.

       ``(a) Issuance and Scope of License.--
       ``(1) In general.--The Chief shall issue a license, valid 
     for not less than 5 years, to carry a firearm concealed on or 
     about the person to any individual who--
       ``(A) is not disqualified under subsection (d); and
       ``(B) completes the application process specified in 
     subsection (f).
       ``(2) Requirements for license.--A license to carry a 
     firearm issued under this section shall meet the requirements 
     specified in subsection (c).
       ``(3) Protection from other conditions, limitations, and 
     requirements.--The Chief may not impose conditions, 
     limitations, or requirements that are not expressly provided 
     for in this section on the issuance, scope, effect, or 
     content of a license.
       ``(4) School zones.--For purposes of section 
     922(q)(2)(B)(ii) of title 18, United States Code, an 
     individual who possesses a firearm in a school zone in the 
     District of Columbia and who is licensed under this section 
     or is an out-of-state licensee shall be considered licensed 
     by the District of Columbia.
       ``(b) Carrying a Firearm; Possession and Display of License 
     Document or Authorization.--
       ``(1) Carrying a firearm.--A licensee or an out-of-state 
     licensee may carry a firearm anywhere in the District of 
     Columbia except as otherwise prohibited by law or by a 
     limitation or prohibition established pursuant to section 11 
     of this Act (sec. 22-4511, D.C. Official Code).
       ``(2) Possession and display of license document or 
     authorization.--A licensee shall carry his or her license 
     document and government-issued photographic identification 
     card and an out-of-state licensee shall carry his or her out-
     of-state license and government-issued photographic 
     identification card at all times during which he or she is 
     carrying a firearm in any location other than on or in real 
     property owned or leased by the licensee or out-of-state 
     licensee.
       ``(c) License Document; Content of License.--
       ``(1) Design of license document.--Subject to paragraphs 
     (2) and (3), the Chief shall--
       ``(A) design a single license document for licenses issued 
     and renewed under this section; and
       ``(B) complete the design of the license document not later 
     than 60 days after the date of enactment of the Defend Our 
     Capital Act of 2015.
       ``(2) Required content of license.--A license document for 
     a license issued under this section shall contain all of the 
     following on one side:
       ``(A) The full name, date of birth, and residence address 
     of the licensee.
       ``(B) A physical description of the licensee, including 
     sex, height, and eye color.
       ``(C) The date on which the license was issued.
       ``(D) The date on which the license expires.
       ``(E) The words `District of Columbia'.
       ``(F) A unique identification number for the licensee.
       ``(3) Prohibited content of license.--A license document 
     for a license issued under this section may not contain the 
     licensee's social security number.
       ``(d) Restrictions on Issuing a License.--The Chief shall 
     issue a license under this section to an individual who 
     submits an application under subsection (f) unless the 
     individual--
       ``(1) is less than 21 years of age; or
       ``(2) is prohibited under Federal law or court order from 
     possessing or receiving a firearm.
       ``(e) Application and Renewal Forms.--
       ``(1) Design.--The Chief shall design an application form 
     for use by individuals who apply for a license under this 
     section and a renewal form for use by individuals applying 
     for renewal of a license under subsection (n).
       ``(2) Deadlines.--The Chief shall complete the design of--
       ``(A) the application form not later than 60 days after the 
     date of enactment of the Defend Our Capital Act of 2015; and
       ``(B) the renewal form not later than 4 years from the date 
     of enactment of the Defend Our Capital Act of 2015.
       ``(3) Contents.--The forms described in this subsection 
     shall--
       ``(A) require the applicant to provide only his or her 
     name, address, date of birth, state identification card 
     number, race, sex, height, eye color, and, if the applicant 
     is not a United States citizen, his or her alien or admission 
     number; and
       ``(B) include--
       ``(i) a statement that the applicant is ineligible for a 
     license if subsection (d) applies to the applicant;
       ``(ii) a statement explaining the laws of self-defense and 
     defense of others in the District of Columbia, with a place 
     for the applicant to sign his or her name to indicate that he 
     or she has read and understands the statement;
       ``(iii) a statement, with a place for the applicant to sign 
     his or her name, to indicate that the applicant has read and 
     understands the requirements of this section;
       ``(iv) a statement that the applicant may be prosecuted if 
     he or she intentionally gives a false answer to any question 
     on the application or intentionally submits a falsified 
     document with the application;
       ``(v) a statement of the penalties for intentionally giving 
     a false answer to any question on the application or 
     intentionally submitting a falsified document with the 
     application; and
       ``(vi) a statement describing the places in which a person 
     may be prohibited from carrying a firearm even with a 
     license, with a place for the applicant to sign his or her 
     name to indicate that he or she has read and understands the 
     statement.

[[Page 19535]]

       ``(4) Availability of forms.--The Chief shall make the 
     forms described in this subsection available on the Internet 
     and, upon request, by mail.
       ``(f) Submission of Application.--An individual may apply 
     to the Chief for a license under this section by submitting 
     to the Chief, by mail or other means made available by the 
     Chief--
       ``(1) a completed application in the form prescribed under 
     subsection (e);
       ``(2) a statement that states that the information that the 
     individual is providing in the application submitted under 
     paragraph (1) and any document submitted with the application 
     is true and complete to the best of his or her knowledge;
       ``(3) a license fee in an amount that is equal to the 
     lesser of--
       ``(A) the cost of issuing the license; or
       ``(B) $50; and
       ``(4) a fee for a background check under subsection (h) 
     that is not greater than $25.
       ``(g) Processing of Application.--
       ``(1) Background check.--If a person submits a complete 
     application under subsection (f) and is not prohibited from 
     obtaining a license under paragraph (1) or (3) of subsection 
     (d), the Chief shall conduct a background check in accordance 
     with subsection (h) upon receiving the application.
       ``(2) Deadline.--Not later than 14 days after the date on 
     which the Chief receives a complete application submitted 
     under subsection (f), the Chief shall--
       ``(A) except as provided in subparagraph (B), issue the 
     license and promptly send the licensee his or her license 
     document by first-class mail; or
       ``(B) if subsection (d) applies to the applicant, deny the 
     application in accordance with paragraph (3).
       ``(3) Denial.--If the Chief denies an application submitted 
     under subsection (f), the Chief shall inform the applicant of 
     the denial in writing, stating the reason and factual basis 
     for the denial and the availability of an appeal under 
     subsections (l) and (m).
       ``(h) Background Checks.--
       ``(1) In general.--The Chief shall conduct a background 
     check on an applicant by contacting the National Instant 
     Criminal Background Check System to determine whether 
     subsection (d)(2) applies to the applicant.
       ``(2) Confirmation number.--The Chief shall create a 
     confirmation number associated with each applicant.
       ``(3) Result.--As soon as practicable after conducting a 
     background check under paragraph (1), the Chief shall--
       ``(A) if the background check indicates that subsection 
     (d)(2) applies to the applicant, create a unique nonapproval 
     number for the applicant; or
       ``(B) if the background check does not indicate that 
     subsection (d)(2) applies to the applicant, create a unique 
     approval number for the applicant.
       ``(4) Record.--The Chief shall maintain--
       ``(A) a record of all complete application forms submitted 
     under subsection (f); and
       ``(B) a record of all approval or nonapproval numbers 
     regarding background checks conducted under this subsection.
       ``(i) Maintenance, Use, and Publication of Records by the 
     Chief.--
       ``(1) Maintenance of record.--
       ``(A) In general.--The Chief shall maintain a computerized 
     record listing the name and application information of each 
     individual who has been issued a license under this section.
       ``(B) Restriction.--Subject to paragraph (3), the Chief may 
     not store, maintain, format, sort, or access the information 
     described in paragraph (1) in any manner other than by--
       ``(i) the names, dates of birth, or sex of licensees; or
       ``(ii) the identification numbers assigned to licensees 
     under subsection (h).
       ``(2) Use by law enforcement.--A law enforcement officer 
     may not request or be provided information maintained in the 
     record under paragraph (1) concerning a specific individual 
     except for 1 of the following purposes:
       ``(A) To confirm that a license produced by an individual 
     is valid.
       ``(B) If an individual is carrying a firearm and claims to 
     hold a valid license issued under this section, but does not 
     have his or her license document, to confirm that the 
     individual holds a valid license.
       ``(C) To investigate whether an individual submitted an 
     intentionally false statement.
       ``(D) To investigate whether an individual complied with a 
     requirement to surrender his or her license in accordance 
     with this section.
       ``(3) Freedom of information.--Notwithstanding the Freedom 
     of Information Act of 1976 (sec. 2-531 et seq., D.C. Official 
     Code), information obtained under this section may not be 
     made available to the public except--
       ``(A) in the context of a prosecution for an offense in 
     which a person's status as a licensee is relevant; or
       ``(B) through a report created by the Chief that shows the 
     number of licenses issued, revoked, or suspended, but 
     excludes any identifying information about individual 
     licensees.
       ``(j) Lost or Destroyed License.--
       ``(1) In general.--If a license document is lost, a 
     licensee no longer has possession of his or her license 
     document, or a license document is destroyed, unreadable, or 
     unusable, a licensee who wishes to obtain a replacement 
     license document shall submit to the Chief--
       ``(A) a statement requesting a replacement license 
     document;
       ``(B) the license document or any portions of the license 
     document that remain; and
       ``(C) a $10 replacement fee.
       ``(2) Issuance.--Not later than 7 days after the date on 
     which the Chief receives a statement, license document or 
     portions thereof (if any), and fee submitted by a licensee 
     under paragraph (1), the Chief shall issue a replacement 
     license document to the licensee.
       ``(3) Absence of original license document.--If a licensee 
     does not submit the original license document to the Chief 
     under paragraph (1), the Chief shall terminate the unique 
     approval number of the original request and issue a new 
     unique approval number for the replacement license document.
       ``(k) License Revocation and Suspension.--
       ``(1) Revocation.--The Chief shall revoke a license issued 
     under this section if the Chief determines that subsection 
     (d) applies to the licensee.
       ``(2) Suspension.--
       ``(A) In general.--The Chief shall suspend a license issued 
     under this section if a court prohibits the licensee from 
     possessing a firearm.
       ``(B) Restoration.--The Chief shall restore a suspended 
     license not later than 5 business days after the date on 
     which the Chief is notified that the licensee is no longer 
     subject to the prohibition described in subparagraph (A) if--
       ``(i) subsection (d) does not apply to the individual; and
       ``(ii) the suspended license has not expired under 
     subsection (n).
       ``(3) Procedures.--
       ``(A) Notice.--If the Chief suspends or revokes a license 
     under this subsection, the Chief shall send by mail to the 
     individual whose license has been suspended or revoked notice 
     of the suspension or revocation not later than 1 day after 
     the suspension or revocation.
       ``(B) Effective date.--If the Chief suspends or revokes a 
     license under this subsection, the suspension or revocation 
     shall take effect on the date on which the individual whose 
     license has been suspended or revoked receives the notice 
     under subparagraph (A).
       ``(C) Delivery of license document to chief.--Not later 
     than 7 days after the date on which an individual whose 
     license has been suspended or revoked receives the notice 
     under subparagraph (A), the individual shall--
       ``(i) deliver the license document personally or by 
     certified mail to the Chief; or
       ``(ii) mail a signed statement to the Chief stating--

       ``(I) that the individual no longer has possession of his 
     or her license document; and
       ``(II) the reasons why the individual no longer has 
     possession of the license document.

       ``(l) Departmental Review.--The Chief shall promulgate 
     rules providing for the review of any action by the Chief 
     denying an application for, or suspending or revoking, a 
     license under this section.
       ``(m) Appeals to the Superior Court.--
       ``(1) Right to appeal.--An individual aggrieved by any 
     action by the Chief denying an application for, or suspending 
     or revoking, a license under this section, may appeal 
     directly to the Superior Court of the District of Columbia 
     without regard to whether the individual has sought review 
     under the process established under subsection (l).
       ``(2) Commencement of appeal.--
       ``(A) In general.--To begin an appeal under this 
     subsection, the aggrieved individual shall file a petition 
     for review with the clerk of the Superior Court of the 
     District of Columbia not later than 30 days after the date on 
     which the individual receives notice of denial of an 
     application for a license or of suspension or revocation of a 
     license.
       ``(B) Contents; supporting documents.--A petition filed 
     under subparagraph (A)--
       ``(i) shall state the substance of the Chief's action from 
     which the individual is appealing and the grounds upon which 
     the individual believes the Chief's action to be improper; 
     and
       ``(ii) may include a copy of any records or documents that 
     are relevant to the grounds upon which the individual 
     believes the Chief's action to be improper.
       ``(3) Service upon chief.--A copy of a petition filed under 
     paragraph (2) shall be served upon the Chief either 
     personally or by registered or certified mail not later than 
     5 days after the date on which the individual files the 
     petition.
       ``(4) Answer.--
       ``(A) In general.--The Chief shall file an answer to a 
     petition filed under paragraph (2) not later than 15 days 
     after the date on which the Chief is served with the petition 
     under paragraph (3).
       ``(B) Contents; supporting documents.--An answer filed 
     under subparagraph (A) shall include--
       ``(i) a brief statement of the actions taken by the Chief; 
     and
       ``(ii) a copy of any documents or records on which the 
     Chief based his or her action.

[[Page 19536]]

       ``(5) Review by court.--
       ``(A) In general.--The court shall review the petition, the 
     answer, and any records or documents submitted with the 
     petition or the answer.
       ``(B) Conduct of review.--The court shall conduct the 
     review under this paragraph without a jury but may schedule a 
     hearing and take testimony.
       ``(6) Reversal.--The court shall reverse the Chief's action 
     if the court finds--
       ``(A) that the Chief failed to follow any procedure, or 
     take any action, prescribed under this section;
       ``(B) that the Chief erroneously interpreted a provision of 
     law and a correct interpretation compels a different action;
       ``(C) that the Chief's action depends on a finding of fact 
     that is not supported by substantial evidence in the record;
       ``(D) if the appeal is regarding a denial, that the denial 
     was based on factors other than the factors under subsection 
     (d); or
       ``(E) if the appeal is regarding a suspension or 
     revocation, that the suspension or revocation was based on 
     criteria other than the criteria under subsection (k).
       ``(7) Relief.--
       ``(A) In general.--The court shall provide whatever relief 
     is appropriate regardless of the original form of the 
     petition.
       ``(B) Costs and fees.--If the court reverses the Chief's 
     action, the court shall order the Chief to pay the aggrieved 
     individual all court costs and reasonable attorney fees.
       ``(n) License Expiration and Renewal.--
       ``(1) Period of validity.--A license issued under this 
     section shall be valid for the 5-year period beginning on the 
     date on which the license is issued unless the license is 
     suspended or revoked under subsection (k).
       ``(2) Notice of expiration.--
       ``(A) Form.--The Chief shall design a notice of expiration 
     form.
       ``(B) Mailing of notice.--Not later than 90 days before the 
     expiration date of a license issued under this section, the 
     Chief shall mail to the licensee--
       ``(i) the notice of expiration form; and
       ``(ii) a form for renewing the license.
       ``(3) Renewal.--
       ``(A) In general.--The Chief shall renew the license of a 
     licensee if--
       ``(i) not later than 90 days after the expiration date of 
     the license, the licensee submits the renewal application, 
     statement, and fees required under subparagraph (B); and
       ``(ii) the background check required under subparagraph (C) 
     indicates that subsection (d) does not apply to the licensee.
       ``(B) Renewal application; statement; fees.--A licensee 
     seeking to renew his or her license shall submit to the 
     Chief--
       ``(i) a renewal application on the form provided by the 
     Chief;
       ``(ii) a statement reporting that--

       ``(I) the information provided under clause (i) is true and 
     complete to the best of the licensee's knowledge; and
       ``(II) the licensee is not disqualified under subsection 
     (d); and

       ``(iii) payment of--

       ``(I) a renewal fee in an amount that is equal to the 
     lesser of--

       ``(aa) the cost of renewing the license; or
       ``(bb) $25; and

       ``(II) a fee for a background check that does not exceed 
     $25.

       ``(C) Background check.--The chief shall conduct a 
     background check of a licensee as provided under subsection 
     (h) before renewing the licensee's license.
       ``(D) Issuance of renewal license.--Unless a renewal 
     applicant is ineligible under subsection (d), not later than 
     10 days after the date on which the Chief receives a renewal 
     application, statement, and fees from the applicant under 
     subparagraph (B), the Chief shall issue a renewal license and 
     send it to the applicant by first-class mail.
       ``(E) Members of the armed forces.--Notwithstanding 
     paragraph (1), the license of a member of the Armed Forces of 
     the United States, including the National Guard and reserve 
     components, who is deployed overseas while on active duty 
     shall not expire before the date that is 90 days after the 
     end of the licensee's overseas deployment unless the license 
     is suspended or revoked under subsection (k).
       ``(o) Reciprocity Agreements.--The Chief shall enter into 
     reciprocity agreements with each other state that requires 
     such an agreement to grant recognition to a license to carry 
     a concealed firearm issued by another state.
       ``(p) Immunity.--
       ``(1) In general.--The Chief and any designee or employee 
     who carries out the provisions of this section shall be 
     immune from liability arising from any act or omission under 
     this section, if the act or omission is in good faith.
       ``(2) Providers of training courses.--A person providing a 
     firearms training course in good faith shall be immune from 
     liability arising from any act or omission related to the 
     course.''.
       (b) Authority To Carry Firearm in Certain Places and for 
     Certain Purposes; Lawful Transportation of Firearms.--The Act 
     of July 8, 1932 (sec. 22-4501 et seq., D.C. Official Code), 
     is amended by inserting after section 4 the following:
  


     ``SEC. 4A. AUTHORITY TO CARRY FIREARM IN CERTAIN PLACES AND 
                   FOR CERTAIN PURPOSES.

       ``Notwithstanding any other law, a person not otherwise 
     prohibited by law from shipping, transporting, possessing, or 
     receiving a firearm may carry such firearm, whether loaded or 
     unloaded--
       ``(1) in the person's dwelling house or place of business 
     or on land owned or lawfully possessed by the person;
       ``(2) on land owned or lawfully possessed by another person 
     unless the other person has notified the person by posting or 
     individual notice that firearms are not permitted on the 
     premises;
       ``(3) while it is being used for lawful recreational, 
     sporting, educational, or training purposes; or
       ``(4) while it is being transported for a lawful purpose as 
     expressly authorized by District or Federal law and in 
     accordance with the requirements of that law.

     ``SEC. 4B. LAWFUL TRANSPORTATION OF FIREARMS.

       ``(a) Any person who is not otherwise prohibited by law 
     from shipping, transporting, possessing, or receiving a 
     firearm shall be permitted to transport a firearm for any 
     lawful purpose from any place where he may lawfully possess 
     the firearm to any other place where he may lawfully possess 
     the firearm if the firearm is transported in accordance with 
     this section.
       ``(b)(1) If the transportation of the firearm is by a 
     vehicle, the firearm shall be unloaded, and neither the 
     firearm nor any ammunition being transported shall be readily 
     accessible or directly accessible from the passenger 
     compartment of the transporting vehicle.
       ``(2) If the transporting vehicle does not have a 
     compartment separate from the driver's compartment, the 
     firearm or ammunition shall be contained in a locked 
     container other than the glove compartment or console, and 
     the firearm shall be unloaded.
       ``(c) If the transportation of the firearm is in a manner 
     other than in a vehicle, the firearm shall be--
       ``(1) unloaded;
       ``(2) inside a locked container; and
       ``(3) separate from any ammunition.''.
       (c) Exceptions to Restrictions on Carrying Concealed 
     Weapons.--Section 5(a) of the Act of July 8, 1932 (47 Stat. 
     650, chapter 465; sec. 22-4505(a), D.C. Official Code), is 
     amended--
       (1) by striking ``pistol unloaded and in a secure wrapper 
     from'' and inserting ``firearm, transported in accordance 
     with section 4B, from'';
       (2) by striking ``pistol'' each place it appears and 
     inserting ``firearm''; and
       (3) by adding at the end the following:
       ``(7) Any person carrying a firearm who holds--
       ``(A) a valid license issued under section 6; or
       ``(B) any out-of-state license, as defined in section 1.''.

     SEC. 303. RECIPROCITY FOR THE CARRYING OF CERTAIN CONCEALED 
                   FIREARMS.

       (a) In General.--Chapter 44 of title 18, United States 
     Code, is amended by inserting after section 926C the 
     following:

     ``Sec. 926D. Reciprocity for the carrying of certain 
       concealed firearms

       ``(a) In General.--Notwithstanding any provision of the law 
     of any State or political subdivision thereof to the 
     contrary--
       ``(1) an individual who is not prohibited by Federal law 
     from possessing, transporting, shipping, or receiving a 
     firearm, and who is carrying a government-issued photographic 
     identification document and a valid license or permit which 
     is issued pursuant to the law of a State and which permits 
     the individual to carry a concealed firearm, may possess or 
     carry a concealed handgun (other than a machinegun or 
     destructive device) that has been shipped or transported in 
     interstate or foreign commerce in any State other than the 
     State of residence of the individual that--
       ``(A) has a statute that allows residents of the State to 
     obtain licenses or permits to carry concealed firearms; or
       ``(B) does not prohibit the carrying of concealed firearms 
     by residents of the State for lawful purposes; and
       ``(2) an individual who is not prohibited by Federal law 
     from possessing, transporting, shipping, or receiving a 
     firearm, and who is carrying a government-issued photographic 
     identification document and is entitled and not prohibited 
     from carrying a concealed firearm in the State in which the 
     individual resides otherwise than as described in paragraph 
     (1), may possess or carry a concealed handgun (other than a 
     machinegun or destructive device) that has been shipped or 
     transported in interstate or foreign commerce in any State 
     other than the State of residence of the individual that--
       ``(A) has a statute that allows residents of the State to 
     obtain licenses or permits to carry concealed firearms; or
       ``(B) does not prohibit the carrying of concealed firearms 
     by residents of the State for lawful purposes.
       ``(b) Conditions and Limitations.--The possession or 
     carrying of a concealed handgun in a State under this section 
     shall be subject to the same conditions and limitations, 
     except as to eligibility to possess or carry, imposed by or 
     under Federal or State law or the law of a political 
     subdivision of a

[[Page 19537]]

     State, that apply to the possession or carrying of a 
     concealed handgun by residents of the State or political 
     subdivision who are licensed by the State or political 
     subdivision to do so, or not prohibited by the State from 
     doing so.
       ``(c) Unrestricted License or Permit.--In a State that 
     allows the issuing authority for licenses or permits to carry 
     concealed firearms to impose restrictions on the carrying of 
     firearms by individual holders of such licenses or permits, 
     an individual carrying a concealed handgun under this section 
     shall be permitted to carry a concealed handgun according to 
     the same terms authorized by an unrestricted license of or 
     permit issued to a resident of the State.
       ``(d) Rule of Construction.--Nothing in this section shall 
     be construed to preempt any provision of State law with 
     respect to the issuance of licenses or permits to carry 
     concealed firearms.''.
       (b) Clerical Amendment.--The table of sections for chapter 
     44 of title 18, United States Code, is amended by inserting 
     after the item relating to section 926C the following:

``Sec. 926D. Reciprocity for the carrying of certain concealed 
              firearms.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect 90 days after the date of enactment of this 
     Act.

     SEC. 304. FIREARMS PERMITTED ON DEPARTMENT OF DEFENSE 
                   PROPERTY.

       Section 930(g)(1) of title 18, United States Code, is 
     amended--
       (1) by striking ``The term `Federal facility' means'' and 
     inserting the following: ``The term `Federal facility'--
       ``(A) means'';
       (2) by striking the period at the end and inserting ``; 
     and''; and
       (3) by adding at the end the following:
       ``(B) with respect to a qualified member of the Armed 
     Forces, as defined in section 926E(a), does not include any 
     land, a building, or any part thereof owned or leased by the 
     Department of Defense.''.

     SEC. 305. LAWFUL POSSESSION OF FIREARMS ON MILITARY 
                   INSTALLATIONS BY MEMBERS OF THE ARMED FORCES.

       (a) Modification of General Article.--Section 934 of title 
     10, United States Code (article 134 of the Uniform Code of 
     Military Justice), is amended--
       (1) by inserting ``(a) In General.--'' before ``Though not 
     specifically mentioned''; and
       (2) by adding at the end the following new subsection:
       ``(b) Possession of a Firearm.--The possession of a 
     concealed or open carry firearm by a member of the armed 
     forces subject to this chapter on a military installation, if 
     lawful under the laws of the State in which the installation 
     is located, is not an offense under this section.''.
       (b) Modification of Regulations.--Not later than 30 days 
     after the date of the enactment of this Act, the Secretary of 
     Defense shall amend Department of Defense Directive number 
     5210.56 to provide that members of the Armed Forces may 
     possess firearms for defensive purposes on facilities and 
     installations of the Department of Defense in a manner 
     consistent with the laws of the State in which the facility 
     or installation concerned is located.

     SEC. 306. CARRYING OF CONCEALED FIREARMS BY QUALIFIED MEMBERS 
                   OF THE ARMED FORCES.

       (a) In General.--Chapter 44 of title 18, United States 
     Code, as amended by this title, is amended by inserting after 
     section 926D the following:

     ``Sec. 926E. Carrying of concealed firearms by qualified 
       members of the Armed Forces

       ``(a) Definitions.--As used in this section--
       ``(1) the term `firearm'--
       ``(A) except as provided in this paragraph, has the same 
     meaning as in section 921;
       ``(B) includes ammunition not expressly prohibited by 
     Federal law or subject to the provisions of the National 
     Firearms Act; and
       ``(C) does not include--
       ``(i) any machinegun (as defined in section 5845 of the 
     National Firearms Act);
       ``(ii) any firearm silencer; or
       ``(iii) any destructive device; and
       ``(2) the term `qualified member of the Armed Forces' means 
     an individual who--
       ``(A) is a member of the Armed Forces on active duty 
     status, as defined in section 101(d)(1) of title 10;
       ``(B) is not the subject of disciplinary action under the 
     Uniform Code of Military Justice;
       ``(C) is not under the influence of alcohol or another 
     intoxicating or hallucinatory drug or substance; and
       ``(D) is not prohibited by Federal law from receiving a 
     firearm.
       ``(b) Authorization.--Notwithstanding any provision of the 
     law of any State or any political subdivision thereof, an 
     individual who is a qualified member of the Armed Forces and 
     who is carry identification required by subsection (d) may 
     carry a concealed firearm that has been shipped or 
     transported in interstate or foreign commerce, subject to 
     subsection (c).
       ``(c) Limitations.--This section shall not be construed to 
     superseded or limit the laws of any State that--
       ``(1) permit private persons or entities to prohibit or 
     restrict the possession of concealed firearms on their 
     property; or
       ``(2) prohibit or restrict the possession of firearms on 
     any State or local government property, installation, 
     building, base, or park.
       ``(d) Identification.--The identification required by this 
     subsection is the photographic identification issued by the 
     Department of Defense for the qualified member of the Armed 
     Forces.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 44 of title 18, United States Code, as 
     amended by this title, is amended by inserting after the item 
     relating to section 926D the following:

``926E. Carrying of concealed firearms by qualified members of the 
              Armed Forces.''.

     SEC. 307. REFORMING D.C. COUNCIL'S AUTHORITY TO RESTRICT 
                   FIREARMS.

       Section 4 of the Act entitled ``An Act to prohibit the 
     killing of wild birds and wild animals in the District of 
     Columbia'', approved June 30, 1906 (34 Stat. 809; sec. 1-
     303.43, D.C. Official Code), is amended by adding at the end 
     the following: ``Nothing in this section or any other 
     provision of law shall authorize, or shall be construed to 
     permit, the Council, the Mayor, or any governmental or 
     regulatory authority of the District of Columbia to prohibit, 
     constructively prohibit, or unduly burden the ability of 
     persons not prohibited from possessing firearms under Federal 
     law from acquiring, possessing in their homes or businesses, 
     carrying, transporting, or using for sporting, self-
     protection, or other lawful purposes, any firearm neither 
     prohibited by Federal law nor subject to chapter 53 of the 
     Internal Revenue Code of 1986 (commonly referred to as the 
     `National Firearms Act'). The District of Columbia shall not 
     have authority to enact laws or regulations that discourage 
     or eliminate the private ownership or use of firearms for 
     legitimate purposes.''.

     SEC. _308. REPEAL OF D.C. SEMIAUTOMATIC BAN.

       Section 101(10) of the Firearms Control Regulations Act of 
     1975 (sec. 7-2501.01(10), D.C. Official Code) is amended to 
     read as follows:
       ``(10) `Machine gun' means any firearm which shoots, is 
     designed to shoot, or can be readily restored to shoot, 
     automatically more than one shot, without manual reloading, 
     by a single function of the trigger. The term `machine gun' 
     shall also include the frame or receiver of any such firearm, 
     any part designed and intended solely and exclusively, or 
     combination of parts designed and intended, for use in 
     converting a firearm into a machine gun, and any combination 
     of parts from which a machine gun can be assembled if such 
     parts are in the possession or under the control of a 
     person.''.

     SEC. 309. REPEAL OF REGISTRATION REQUIREMENT AND 
                   AUTHORIZATION OF AMMUNITION SALES.

       (a) Repeal of Requirement.--
       (1) In general.--Section 201(a) of the Firearms Control 
     Regulations Act of 1975 (sec. 7-2502.01(a), D.C. Official 
     Code) is amended by striking ``any firearm, unless'' and all 
     that follows through paragraph (3) and inserting the 
     following: ``any firearm described in subsection (c).''.
       (2) Description of firearms remaining illegal.--Section 201 
     of the Firearms Control Regulations Act of 1975 (sec. 7-
     2502.01, D.C. Official Code) is amended by adding at the end 
     the following:
       ``(c) A firearm described in this subsection is any of the 
     following:
       ``(1) A sawed-off shotgun.
       ``(2) A machine gun.
       ``(3) A short-barreled rifle.''.
       (3) Conforming amendment.--The heading of section 201 of 
     the Firearms Control Regulations Act of 1975 (sec. 7-2502.01, 
     D.C. Official Code) is amended by striking ``registration 
     requirements'' and inserting ``firearm possession''.
       (b) Conforming Amendments to Firearms Control Regulations 
     Act.--The Firearms Control Regulations Act of 1975 is 
     amended--
       (1) in section 101 (sec. 7-2501.01, D.C. Official Code), by 
     striking paragraph (13); and
       (2) by repealing sections 202 through 211 (secs. 7-2502.02 
     through 7-2502.11, D.C. Official Code).

     SEC. 310. REPEAL OF REDUNDANT DEALER LICENSING REQUIREMENT 
                   AND PROVISION FOR THE LAWFUL SALE OF FIREARMS 
                   BY FEDERALLY LICENSED DEALERS.

       (a) Repeal of Requirement.--
       (1) In general.--Section 401 of the Firearms Control 
     Regulations Act of 1975 (sec. 7-2504.01, D.C. Official Code) 
     is amended by striking ``(a) No person'' and all that follows 
     and inserting the following:
       ``(a) No person or organization shall engage in the 
     business of dealing, importing, or manufacturing firearms 
     without complying with the requirements of Federal law.
       ``(b) Any dealer who is in compliance with Federal law may 
     sell or otherwise transfer a firearm to any person or 
     organization not otherwise prohibited from possessing or 
     receiving such firearm under Federal law. In the case of a 
     sale or transfer of a handgun to a resident of the District 
     of Columbia, a federally licensed importer, manufacturer, or 
     dealer of firearms in Maryland or Virginia shall be treated 
     as a dealer licensed under the provisions of this Act for 
     purposes of the previous sentence, notwithstanding section 
     922(b)(3) of title 18, United States Code, if the

[[Page 19538]]

     transferee meets in person with the transferor to accomplish 
     the transfer, and the sale, delivery, and receipt fully 
     comply with the legal conditions of sale in both the District 
     of Columbia and the jurisdiction in which the transfer 
     occurs.''.
       (2) Providing for the lawful sale of firearms.--Section 501 
     of the Firearms Control Regulations Act of 1975 (sec. 7-
     2505.01, D.C. Official Code) is amended by striking ``, 
     destructive device or ammunition'' and all that follows and 
     inserting the following: ``or ammunition to any person if the 
     seller or transferor knows or has reasonable cause to believe 
     that such person is prohibited by Federal law from possessing 
     or receiving a firearm.''.
       (b) Conforming Amendments to Firearms Control Regulations 
     Act.--The Firearms Control Regulations Act of 1975 is 
     amended--
       (1) by repealing sections 402 through 409 (secs. 7-2504.02 
     through 7-2504.09, D.C. Official Code);
       (2) by repealing section 502 (sec. 7-2505.02, D.C. Official 
     Code);
       (3) in section 701 (sec. 7-2507.01, D.C. Official Code)--
       (A) in subsection (a), by striking ``firearm, destructive 
     device, or ammunition'' and inserting ``destructive device''; 
     and
       (B) in subsection (b), by striking ``, any firearm, 
     destructive device, or ammunition.'' and inserting ``any 
     destructive device.''; and
       (4) by repealing section 704 (sec. 7-2507.04, D.C. Official 
     Code).
       (c) Other Conforming Amendments.--The Act of July 8, 1932 
     (47 Stat. 650, chapter 465; sec. 22-4501 et seq., D.C. 
     Official Code), is amended--
       (1) in section 3 (sec. 22-4503, D.C. Official Code)--
       (A) in subsection (a), by striking ``if the person'' and 
     all that follows and inserting ``if the person is prohibited 
     from possessing a firearm under Federal law.'';
       (B) in subsection (b)(1), by striking ``subsection (a)(1)'' 
     and inserting ``subsection (a)''; and
       (C) by repealing subsections (c) and (d); and
       (2) by repealing sections 7 through 10 (secs. 22-4507 
     through 22-4510, D.C. Official Code).

     SEC. 311. HARMONIZATION OF D.C. LAW AND FEDERAL LAW REGARDING 
                   THE POSSESSION OF AMMUNITION AND AMMUNITION 
                   FEEDING DEVICES.

       Section 601 of the Firearms Control Regulations Act of 1975 
     (sec. 7-2506.01, D.C. Official Code) is amended by striking 
     ``(a) No person'' and all that follows and inserting the 
     following: ``No person who is prohibited by Federal law from 
     possessing a firearm shall possess ammunition in the District 
     of Columbia.''.

     SEC. 312. RESTORATION OF RIGHT OF SELF DEFENSE IN THE HOME.

       Section 702 of the Firearms Control Regulations Act of 1975 
     (sec. 7-2507.02, D.C. Official Code) is repealed.

     SEC. _313. REMOVAL OF CRIMINAL PENALTIES FOR POSSESSION OF 
                   UNREGISTERED FIREARMS AND CERTAIN AMMUNITION.

       (a) In General.--Section 706 of the Firearms Control 
     Regulations Act of 1975 (sec. 7-2507.06, D.C. Official Code) 
     is amended--
       (1) by striking ``except that'' and all that follows 
     through ``A person who knowingly'' and inserting the 
     following: ``except that a person who knowingly''; and
       (2) by striking paragraphs (2) and (3).
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply with respect to any violation that occurs after 
     the date that is 60 days after the date of enactment of this 
     Act.

     SEC. 314. REGULATING INOPERABLE PISTOLS AND HARMONIZING 
                   DEFINITIONS FOR CERTAIN TYPES OF FIREARMS.

       Section 1 of the Act of July 8, 1932 (47 Stat. 650, chapter 
     465; sec. 22-4501, D.C. Official Code), is amended--
       (1) by redesignating paragraph (1) as paragraph (1)(A);
       (2) by inserting before paragraph (1)(A), as redesignated, 
     the following:
       ``(1) `Chief' shall have the same meaning as provided in 
     section 101(4) of the Firearms Control Regulations Act of 
     1975 (sec. 7-2501.01(4), D.C. Official Code).'';
       (3) by inserting after paragraph (2) the following:
       ``(2A) `Firearm'--
       ``(A) means any weapon, regardless of operability, which 
     will, or is designed or redesigned, made or remade, readily 
     converted, restored, or repaired, or is intended to, expel a 
     projectile or projectiles by the action of an explosive; and
       ``(B) does not include--
       ``(i) a destructive device, as defined in section 101(7) of 
     the Firearms Control Regulations Act of 1975 (sec. 7-
     2501.01(7), D.C. Official Code);
       ``(ii) a device used exclusively for line throwing, 
     signaling, or safety, and required or recommended by the 
     Coast Guard or Interstate Commerce Commission; or
       ``(iii) a device used exclusively for firing explosive 
     rivets, stud cartridges, or similar industrial ammunition and 
     incapable for use as a weapon.'';
       (4) by inserting after paragraph (3) the following:
       ``(3A) `Licensee' means an individual holding a valid 
     license issued under the provisions of section 6 of the Act 
     of July 8, 1932 (sec. 22-4506, D.C. Official Code).'';
       (5) by striking paragraph (4) and inserting the following:
       ``(4) `Machine gun' shall have the same meaning as provided 
     in section 101(10) of the Firearms Control Regulations Act of 
     1975 (sec. 7-2501.01(10), D.C. Official Code).'';
       (6) by inserting after paragraph (4) the following:
       ``(4A) `Motor vehicle' shall have the meaning provided in 
     section 101(4) of the Department of Motor Vehicles Reform 
     Amendment Act of 2004 (sec. 50-1331.01(4), D.C. Official 
     Code).
       ``(4B) `Out-of-state license' means a valid permit, 
     license, approval, or other authorization issued by a state 
     or territory of the United States that authorizes the 
     licensee to carry a firearm concealed on or about the person.
       ``(4C) `Out-of-state licensee' means an individual who is 
     21 years of age or over, who is not a District resident, and 
     who has been issued an out-of-state license.'';
       (7) by striking paragraph (6) and inserting the following:
       ``(6) `Pistol' shall have the same meaning as provided in 
     section 101(12) of the Firearms Control Regulations Act of 
     1975 (sec. 7-2501.01(12), D.C. Official Code).'';
       (8) by inserting after paragraph (6) the following:
       ``(6A) `Place of business' shall have the same meaning as 
     provided in section 101(12A) of the Firearms Control 
     Regulations Act of 1975 (sec. 7-2501.01(12A), D.C. Official 
     Code).'';
       (9) by striking paragraph (8) and inserting the following:
       ``(8) `Sawed-off shotgun' shall have the same meaning as 
     provided in section 101(15) of the Firearms Control 
     Regulations Act of 1975 (sec. 7-2501.01(15), D.C. Official 
     Code).''; and
       (10) by inserting after paragraph (9) the following:
       ``(9A) `Shotgun' shall have the same meaning as provided in 
     section 101(16) of the Firearms Control Regulations Act of 
     1975 (sec. 7-2501.01(16), D.C. Official Code).''.

     SEC. 315. PROHIBITIONS OF FIREARMS FROM PRIVATE AND SENSITIVE 
                   PUBLIC PROPERTY.

       The Act of July 8, 1932 (47 Stat. 650, chapter 465; sec. 
     22-4501 et seq., D.C. Official Code), is amended by inserting 
     after section 3 the following:

     ``SEC. 3A. PROHIBITIONS OF FIREARMS FROM PRIVATE AND 
                   SENSITIVE PUBLIC PROPERTY.

       ``(a) Private persons or entities owning property in the 
     District of Columbia may prohibit or restrict the possession 
     of firearms on their property by any persons, other than law 
     enforcement personnel when lawfully authorized to enter onto 
     the property or lessees occupying residential or business 
     premises.
       ``(b) The District of Columbia may prohibit or restrict the 
     possession of firearms within any building or structure under 
     its control, or in any area of such building or structure, 
     that has implemented security measures (including guard 
     posts, metal detection devices, x-ray or other scanning 
     devices, or card-based or biometric access devices) to 
     identify and exclude unauthorized or hazardous persons or 
     articles, except that no such prohibition or restriction may 
     apply to lessees occupying residential or business 
     premises.''.

     SEC. 316. INCLUDING TOY AND ANTIQUE PISTOLS IN PROHIBITION 
                   AGAINST USING AN IMITATION FIREARM TO COMMIT A 
                   VIOLENT OR DANGEROUS CRIME.

       Section 13 of the Act of July 8, 1932 (sec. 22-4513, D.C. 
     Official Code), is amended by striking ``section 2 and 
     section 14(b)'' and inserting ``sections 2, 4(b), and 
     14(b)''.

     SEC. 317. REPEAL OF GUN OFFENDER REGISTRY.

       Title VIII of the Firearms Control Regulations Act of 1975 
     (sec. 7-2508.01 et seq., D.C. Official Code), as added by 
     section 205 of the Omnibus Public Safety and Justice 
     Amendment Act of 2009 (D.C. Law 18-88), is repealed.

     SEC. 318. REPEALS OF DISTRICT OF COLUMBIA ACTS.

       Effective on the day before the date of the enactment of 
     this Act, each of the following Acts is repealed, and any 
     provision of law amended or repealed by any of such Acts is 
     restored or revived as if such Act had not been enacted into 
     law:
       (1) The Assault Weapon Manufacturing Strict Liability Act 
     of 1990 (D.C. Law 8-263).
       (2) The Illegal Firearm Sale and Distribution Strict 
     Liability Act of 1992 (D.C. Law 9-115).
       (3) The Firearms Registration Amendment Act of 2008 (D.C. 
     Law 17-372).
       (4) The Inoperable Pistol Amendment Act of 2008 (D.C. Law 
     17-388).
       (5) The Firearms Amendment Act of 2012 (D.C. Law 19-170).
       (6) The Administrative Disposition for Weapons Offenses 
     Amendment Act of 2012 (D.C. Law 19-295).
       (7) The License to Carry a Pistol Second Emergency 
     Amendment Act of 2014 (D.C. Act A20-0564).
       (8) The License to Carry a Pistol Temporary Amendment Act 
     of 2014 (D.C. Law 20-169).
       (9) The License to Carry a Pistol Amendment Act of 2014 
     (D.C. Act A20-0621).

     SEC. 319. REPEAL OF FEDERAL INTERSTATE HANDGUN TRANSFER BAN.

       (a) In General.--Section 922 of title 18, United States 
     Code, is amended--

[[Page 19539]]

       (1) in subsection (a)--
       (A) in paragraph (2)(A), by striking ``and subsection 
     (b)(3)'';
       (B) by striking paragraphs (3) and (5);
       (C) by redesignating paragraph (4) as paragraph (3);
       (D) by redesignating paragraphs (6) through (9) as 
     paragraphs (4) through (7), respectively; and
       (E) in paragraph (6), as redesignated, by adding ``and'' at 
     the end; and
       (2) in subsection (b)--
       (A) by striking paragraph (3);
       (B) by redesignating paragraphs (4) and (5) as paragraphs 
     (3) and (4); and
       (C) in the flush text following paragraph (4), as 
     redesignated--
       (i) by striking ``(3), and (4)'' and inserting ``and (3)''; 
     and
       (ii) by striking ``(4)'' and inserting ``(3)''.
       (b) Conforming Amendments.--
       (1) Title 18, United States Code, is amended--
       (A) in section 924--
       (i) in subsection (a)--

       (I) in paragraph (1)(B), by striking ``(a)(4)'' and 
     inserting ``(a)(3)''; and
       (II) in paragraph (2), by striking ``(a)(6)'' and inserting 
     ``(a)(4)''; and

       (ii) in subsection (d)--

       (I) in paragraph (1), by striking ``(a)(4), (a)(6)'' and 
     inserting ``(a)(3), (a)(4)''; and
       (II) in paragraph (3)(C), by striking ``section 922(a)(1), 
     922(a)(3), 922(a)(5), or 922(b)(3)'' each place that term 
     appears and inserting ``section 922(a)(1)''; and

       (B) in section 1028A(c)(3), by striking ``section 
     922(a)(6)'' and inserting ``section 922(a)(4)''.
       (2) Section 4182(d) of the Internal Revenue Code of 1986 is 
     amended by striking ``922(b)(5)'' and inserting 
     ``922(b)(4)''.
       (3) Section 40733 of title 36, United States Code, is 
     amended by striking ``Section 922(a)(1)-(3) and (5) of title 
     18 does not'' and inserting ``Paragraphs (1), (2), and (4) of 
     section 922(a) of title 18 shall not''.
       (4) Section 161A(b) of the Atomic Energy Act of 1954 (42 
     U.S.C. 2201a(b)) is amended by striking ``subsections (a)(4), 
     (a)(5), (b)(2), (b)(4), and (o) of section 922'' and 
     inserting ``subsections (a)(3), (b)(2), (b)(3), and (o) of 
     section 922''.

     SEC. 320. FIREARMS PERMITTED ON FEDERAL PROPERTY.

       Section 930 of title 18, United States Code, is amended--
       (1) in subsection (d)--
       (A) in paragraph (2), by striking ``or'' at the end;
       (B) in paragraph (3), by striking the period at the end and 
     inserting ``; or''; and
       (C) by adding at the end the following:
       ``(4) the lawful storage or possession of a firearm or 
     other dangerous weapon within a publically accessible, non-
     sensitive area of real property owned or leased by the 
     Federal Government.''; and
       (2) in subsection (g), by adding at the end the following:
       ``(4) The term `publically accessible, non-sensitive area' 
     means an area in which the Federal Government has not 
     implemented security measures, including metal detection 
     devices, x-ray or other scanning devices, or card-based or 
     biometric access devices, at a point of entry.''.

     SEC. 321. SEVERABILITY.

       Notwithstanding any other provision of this title, if any 
     provision of this title, or any amendment made by this title, 
     or the application of such provision or amendment to any 
     person or circumstance is held to be unconstitutional, the 
     other provisions of this title and any other amendments made 
     by this title, and the application of such provision or 
     amendment to other persons or circumstances, shall not be 
     affected thereby.
                                 ______
                                 
  SA 2916. Mr. McCONNELL submitted an amendment intended to be proposed 
to amendment SA 2874 proposed by Mr. McConnell to the bill H.R. 3762, 
to provide for reconciliation pursuant to section 2002 of the 
concurrent resolution on the budget for fiscal year 2016; as follows:

       Strike all after the first word and insert the following:

               I--HEALTH, EDUCATION, LABOR, AND PENSIONS

     SEC. 101. THE PREVENTION AND PUBLIC HEALTH FUND.

       (a) In General.--Subsection (b) of section 4002 of the 
     Patient Protection and Affordable Care Act (42 U.S.C. 300u-
     11) is amended--
       (1) in paragraph (2), by striking ``2017'' and inserting 
     ``2015''; and
       (2) by striking paragraphs (3) through (5).
       (b) Rescission of Unobligated Funds.--Of the funds made 
     available by such section 4002, the unobligated balance is 
     rescinded.

     SEC. 102. COMMUNITY HEALTH CENTER PROGRAM.

       Effective as if included in the enactment of the Medicare 
     Access and CHIP Reauthorization Act of 2015 (Public Law 114-
     10, 129 Stat. 87), paragraph (1) of section 221(a) of such 
     Act is amended by inserting after ``Section 10503(b)(1)(E) of 
     the Patient Protection and Affordable Care Act (42 U.S.C. 
     254b-2(b)(1)(E)) is amended'' the following: ``by striking 
     `$3,600,000,000' and inserting `$3,835,000,000' and''.

     SEC. 104. TERRITORIES.

       Section 1323(c) of the Patient Protection and Affordable 
     Care Act (42 U.S.C. 18043(c)) is amended by adding at the end 
     the following:
       ``(3) No force and effect.--Effective January 1, 2018, this 
     subsection shall have no force or effect.''.

     SEC. 105. REINSURANCE, RISK CORRIDOR, AND RISK ADJUSTMENT 
                   PROGRAMS.

       (a) Transitional Reinsurance Program for Individual 
     Market.--Section 1341 of the Patient Protection and 
     Affordable Care Act (42 U.S.C. 18061) is amended by adding at 
     the end the following:
       ``(e) No Force and Effect.--Effective January 1, 2016, the 
     Secretary shall not collect fees and shall not make payments 
     under this section.''.
       (b) Risk Corridors for Plans in Individual and Small Group 
     Markets.--Section 1342 of the Patient Protection and 
     Affordable Care Act (42 U.S.C. 18062) is amended by adding at 
     the end the following:
       ``(d) No Force and Effect.--Effective January 1, 2016, this 
     section shall have no force or effect.''.
  


     SEC. 106. SUPPORT FOR STATE RESPONSE TO SUBSTANCE ABUSE 
                   PUBLIC HEALTH CRISIS AND URGENT MENTAL HEALTH 
                   NEEDS.

       (a) In General.--There are authorized to be appropriated, 
     and are appropriated, out of monies in the Treasury not 
     otherwise obligated, $750,000,000 for each of fiscal years 
     2016 and 2017, to the Secretary of Health and Human Services 
     (referred to in this section as the ``Secretary'') to award 
     grants to States to address the substance abuse public health 
     crisis or to respond to urgent mental health needs within the 
     State. In awarding grants under this section, the Secretary 
     may give preference to States with an incidence or prevalence 
     of substance use disorders that is substantial relative to 
     other States or to States that identify mental health needs 
     within their communities that are urgent relative to such 
     needs of other States. Funds appropriated under this 
     subsection shall remain available until expended.
       (b) Use of Funds.--Grants awarded to a State under 
     subsection (a) shall be used for one or more of the following 
     public health-related activities:
       (1) Improving State prescription drug monitoring programs.
       (2) Implementing prevention activities, and evaluating such 
     activities to identify effective strategies to prevent 
     substance abuse.
       (3) Training for health care practitioners, such as best 
     practices for prescribing opioids, pain management, 
     recognizing potential cases of substance abuse, referral of 
     patients to treatment programs, and overdose prevention.
       (4) Supporting access to health care services provided by 
     federally certified opioid treatment programs or other 
     appropriate health care providers to treat substance use 
     disorders or mental health needs.
       (5) Other public health-related activities, as the State 
     determines appropriate, related to addressing the substance 
     abuse public health crisis or responding to urgent mental 
     health needs within the State.

                           TITLE II--FINANCE

     SEC. 201. RECAPTURE EXCESS ADVANCE PAYMENTS OF PREMIUM TAX 
                   CREDITS.

       Subparagraph (B) of section 36B(f)(2) of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new clause:
       ``(iii) Nonapplicability of limitation.--This subparagraph 
     shall not apply to taxable years ending after December 31, 
     2015, and before January 1, 2018.''.

     SEC. 202. PREMIUM TAX CREDIT AND COST-SHARING SUBSIDIES.

       (a) Repeal of Premium Tax Credit.--Subpart C of part IV of 
     subchapter A of chapter 1 of the Internal Revenue Code of 
     1986 is amended by striking section 36B.
       (b) Repeal of Cost-sharing Subsidy.--Section 1402 of the 
     Patient Protection and Affordable Care Act is repealed.
       (c) Repeal of Eligibility Determinations.--The following 
     sections of the Patient Protection and Affordable Care Act 
     are repealed:
       (1) Section 1411 (other than subsection (i), the last 
     sentence of subsection (e)(4)(A)(ii), and such provisions of 
     such section solely to the extent related to the application 
     of the last sentence of subsection (e)(4)(A)(ii)).
       (2) Section 1412.
       (d) Protecting Americans by Repeal of Disclosure Authority 
     to Carry Out Eligibility Requirements for Certain Programs.--
       (1) In general.--Paragraph (21) of section 6103(l) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new subparagraph:
       ``(D) Termination.--No disclosure may be made under this 
     paragraph after December 31, 2017.''.
       (e) Effective Dates.--
       (1) Premium tax credit.--The amendment made by subsection 
     (a) shall apply to taxable years beginning after December 31, 
     2017.
       (2) Cost sharing-subsidies and eligibility 
     determinations.--The repeals in subsection (b) and (c) shall 
     take effect on December 31, 2017.
       (3) Protecting americans by rescinding disclosure 
     authority.--The amendments made by subsection (d) shall take 
     effect on December 31, 2017.

[[Page 19540]]



     SEC. 203. SMALL BUSINESS TAX CREDIT.

       (a) In General.--Section 45R of the Internal Revenue Code 
     of 1986 is amended by adding at the end the following new 
     subsection:
       ``(j) Shall Not Apply.--This section shall not apply with 
     respect to amounts paid or incurred in taxable years 
     beginning after December 31, 2017.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to amounts paid or incurred in taxable years 
     beginning after December 31, 2017.

     SEC. 204. INDIVIDUAL MANDATE.

       (a) In General.--Section 5000A(c) of the Internal Revenue 
     Code of 1986 is amended--
       (1) in paragraph (2)(B) by striking clauses (ii) and (iii) 
     and inserting the following:
       ``(ii) Zero percent for taxable years beginning after 
     2014.'', and
       (2) in paragraph (3)--
       (A) by striking ``$695'' in subparagraph (A) and inserting 
     ``$0'',
       (B) by striking ``and $325 for 2015'' in subparagraph (B), 
     and
       (C) by striking subparagraph (D).
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2014.

     SEC. 205. EMPLOYER MANDATE.

       (a) In General.--
       (1) Paragraph (1) of section 4980H(c) of the Internal 
     Revenue Code of 1986 is amended by inserting ``($0 in the 
     case of months beginning after December 31, 2014)'' after 
     ``$2,000''.
       (2) Paragraph (1) of section 4980H(b) of the Internal 
     Revenue Code of 1986 is amended by inserting ``($0 in the 
     case of months beginning after December 31, 2014)'' after 
     ``$3,000''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2014.

     SEC. 206. FEDERAL PAYMENTS TO STATES.

       (a) In General.--Notwithstanding section 504(a), 
     1902(a)(23), 1903(a), 2002, 2005(a)(4), 2102(a)(7), or 
     2105(a)(1) of the Social Security Act (42 U.S.C. 704(a), 
     1396a(a)(23), 1396b(a), 1397a, 1397d(a)(4), 1397bb(a)(7), 
     1397ee(a)(1)), or the terms of any Medicaid waiver in effect 
     on the date of enactment of this Act that is approved under 
     section 1115 or 1915 of the Social Security Act (42 U.S.C. 
     1315, 1396n), for the 1-year period beginning on the date of 
     enactment of this Act, no Federal funds provided from a 
     program referred to in this subsection that is considered 
     direct spending for any year may be made available to a State 
     for payments to a prohibited entity, whether made directly to 
     the prohibited entity or through a managed care organization 
     under contract with the State.
       (b) Definitions.--In this section:
       (1) Prohibited entity.--The term ``prohibited entity'' 
     means an entity, including its affiliates, subsidiaries, 
     successors, and clinics--
       (A) that, as of the date of enactment of this Act--
       (i) is an organization described in section 501(c)(3) of 
     the Internal Revenue Code of 1986 and exempt from tax under 
     section 501(a) of such Code;
       (ii) is an essential community provider described in 
     section 156.235 of title 45, Code of Federal Regulations (as 
     in effect on the date of enactment of this Act), that is 
     primarily engaged in family planning services, reproductive 
     health, and related medical care; and
       (iii) provides for abortions, other than an abortion--

       (I) if the pregnancy is the result of an act of rape or 
     incest; or
       (II) in the case where a woman suffers from a physical 
     disorder, physical injury, or physical illness that would, as 
     certified by a physician, place the woman in danger of death 
     unless an abortion is performed, including a life-endangering 
     physical condition caused by or arising from the pregnancy 
     itself; and

       (B) for which the total amount of Federal and State 
     expenditures under the Medicaid program under title XIX of 
     the Social Security Act in fiscal year 2014 made directly to 
     the entity and to any affiliates, subsidiaries, successors, 
     or clinics of the entity, or made to the entity and to any 
     affiliates, subsidiaries, successors, or clinics of the 
     entity as part of a nationwide health care provider network, 
     exceeded $350,000,000.
       (2) Direct spending.--The term ``direct spending'' has the 
     meaning given that term under section 250(c) of the Balanced 
     Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 
     900(c)).

     SEC. 207. MEDICAID.

       The Social Security Act (42 U.S.C. 301 et seq.) is 
     amended--
       (1) in section 1108(g)(5), by striking ``2019'' and 
     inserting ``2017'';
       (2) in section 1902--
       (A) in subsection (a)(10)(A), in each of clauses (i)(VIII) 
     and (ii)(XX), by inserting ``and ending December 31, 2017,'' 
     after ``January 1, 2014,'';
       (B) in subsection (a)(47)(B), by inserting ``and provided 
     that any such election shall cease to be effective on January 
     1, 2018, and no such election shall be made after that date'' 
     before the semicolon at the end; and
       (C) in subsection (l)(2)(C), by inserting ``and ending 
     December 31, 2017,'' after ``January 1, 2014,'';
       (3) in each of sections 1902(gg)(2) and 2105(d)(3)(A), by 
     striking ``September 30, 2019'' and inserting ``September 30, 
     2017'';
       (4) in section 1905--
       (A) in the first sentence of subsection (b), by inserting 
     ``(50 percent on or after January 1, 2018)'' after ``55 
     percent'';
       (B) in subsection (y)(1), by striking the semicolon at the 
     end of subparagraph (B) and all that follows through 
     ``thereafter''; and
       (C) in subsection (z)(2)--
       (i) in subparagraph (A), by striking ``each year 
     thereafter'' and inserting ``through 2017''; and
       (ii) in subparagraph (B)(ii), by striking the semicolon at 
     the end of subclause (IV) and all that follows through ``100 
     percent'';
       (5) in section 1915(k)(2), by striking ``during the period 
     described in paragraph (1)'' and inserting ``on or after the 
     date referred to in paragraph (1) and before January 1, 
     2018'';
       (6) in section 1920(e), by adding at the end the following: 
     ``This subsection shall not apply after December 31, 2017.'';
       (7) in section 1937(b)(5), by adding at the end the 
     following: ``This paragraph shall not apply after December 
     31, 2017.''; and
       (8) in section 1943(a), by inserting ``and before January 
     1, 2018,'' after ``January 1, 2014,''.

     SEC. 208. REPEAL OF DSH ALLOTMENT REDUCTIONS.

       Section 1923(f) of the Social Security Act (42 U.S.C. 
     1396r-4(f)) is amended by striking paragraphs (7) and (8).

     SEC. 209. REPEAL OF THE TAX ON EMPLOYEE HEALTH INSURANCE 
                   PREMIUMS AND HEALTH PLAN BENEFITS.

       (a) In General.--Chapter 43 of the Internal Revenue Code of 
     1986 is amended by striking section 4980I.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to taxable years beginning after December 31, 
     2017.
       (c) Subsequent Effective Date.--The amendment made by 
     subsection (a) shall not apply to taxable years beginning 
     after December 31, 2024, and chapter 43 of the Internal 
     Revenue Code of 1986 is amended to read as such chapter would 
     read if such subsection had never been enacted.

     SEC. 210. REPEAL OF TAX ON OVER-THE-COUNTER MEDICATIONS.

       (a) HSAs.--Subparagraph (A) of section 223(d)(2) of the 
     Internal Revenue Code of 1986 is amended by striking ``Such 
     term'' and all that follows through the period.
       (b) Archer MSAs.--Subparagraph (A) of section 220(d)(2) of 
     the Internal Revenue Code of 1986 is amended by striking 
     ``Such term'' and all that follows through the period.
       (c) Health Flexible Spending Arrangements and Health 
     Reimbursement Arrangements.--Section 106 of the Internal 
     Revenue Code of 1986 is amended by striking subsection (f).
       (d) Effective Dates.--
       (1) Distributions from savings accounts.--The amendments 
     made by subsections (a) and (b) shall apply to amounts paid 
     with respect to taxable years beginning after December 31, 
     2015.
       (2) Reimbursements.--The amendment made by subsection (c) 
     shall apply to expenses incurred with respect to taxable 
     years beginning after December 31, 2015.

     SEC. 211. REPEAL OF TAX ON HEALTH SAVINGS ACCOUNTS.

       (a) HSAs.--Section 223(f)(4)(A) of the Internal Revenue 
     Code of 1986 is amended by striking ``20 percent'' and 
     inserting ``10 percent''.
       (b) Archer MSAs.--Section 220(f)(4)(A) of the Internal 
     Revenue Code of 1986 is amended by striking ``20 percent'' 
     and inserting ``15 percent''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to distributions made after December 31, 2015.

     SEC. 212. REPEAL OF LIMITATIONS ON CONTRIBUTIONS TO FLEXIBLE 
                   SPENDING ACCOUNTS.

       (a) In General.--Section 125 of the Internal Revenue Code 
     of 1986 is amended by striking subsection (i).
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 213. REPEAL OF TAX ON PRESCRIPTION MEDICATIONS.

       Subsection (j) of section 9008 of the Patient Protection 
     and Affordable Care Act is amended to read as follows:
       ``(j) Repeal.--This section shall apply to calendar years 
     beginning after December 31, 2010, and ending before January 
     1, 2016.''.

     SEC. 214. REPEAL OF MEDICAL DEVICE EXCISE TAX.

       (a) In General.--Chapter 32 of the Internal Revenue Code of 
     1986 is amended by striking subchapter E.
       (b) Effective Date.--The amendment made by this section 
     shall apply to sales in calendar quarters beginning after 
     December 31, 2015.

     SEC. 215. REPEAL OF HEALTH INSURANCE TAX.

       Subsection (j) of section 9010 of the Patient Protection 
     and Affordable Care Act is amended to read as follows:
       ``(j) Repeal.--This section shall apply to calendar years 
     beginning after December 31, 2013, and ending before January 
     1, 2016.''.

     SEC. 216. REPEAL OF ELIMINATION OF DEDUCTION FOR EXPENSES 
                   ALLOCABLE TO MEDICARE PART D SUBSIDY.

       (a) In General.--Section 139A of the Internal Revenue Code 
     of 1986 is amended by adding at the end the following new 
     sentence: ``This section shall not be taken into account for 
     purposes of determining whether

[[Page 19541]]

     any deduction is allowable with respect to any cost taken 
     into account in determining such payment.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 217. REPEAL OF CHRONIC CARE TAX.

       (a) In General.--Subsection (a) of section 213 of the 
     Internal Revenue Code of 1986 is amended by striking ``10 
     percent'' and inserting ``7.5 percent''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 218. REPEAL OF MEDICARE TAX INCREASE.

       (a) In General.--Subsection (b) of section 3101 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Hospital Insurance.--In addition to the tax imposed 
     by the preceding subsection, there is hereby imposed on the 
     income of every individual a tax equal to 1.45 percent of the 
     wages (as defined in section 3121(a)) received by such 
     individual with respect to employment (as defined in section 
     3121(b).''.
       (b) SECA.--Subsection (b) of section 1401 of the Internal 
     Revenue Code of 1986 is amended to read as follows:
       ``(b) Hospital Insurance.--In addition to the tax imposed 
     by the preceding subsection, there shall be imposed for each 
     taxable year, on the self-employment income of every 
     individual, a tax equal to 2.9 percent of the amount of the 
     self-employment income for such taxable year.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to remuneration received after, and 
     taxable years beginning after, December 31, 2015.

     SEC. 219. REPEAL OF TANNING TAX.

       (a) In General.--The Internal Revenue Code of 1986 is 
     amended by striking chapter 49.
       (b) Effective Date.--The amendment made by this section 
     shall apply to services performed on or after December 31, 
     2015.

     SEC. 220. REPEAL OF NET INVESTMENT TAX.

       (a) In General.--Subtitle A of the Internal Revenue Code of 
     1986 is amended by striking chapter 2A.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 221. REMUNERATION.

       Paragraph (6) of section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new subparagraph:
       ``(I) Termination.--This paragraph shall not apply to 
     taxable years beginning after December 31, 2015.''.

     SEC. 222. ECONOMIC SUBSTANCE DOCTRINE.

       (a) In General.--Subsection (o) of section 7701 of the 
     Internal Revenue Code of 1986 is repealed.
       (b) Penalty for Underpayments.--Paragraph (6) of section 
     6662(b) of the Internal Revenue Code of 1986 is repealed.
       (c) Increased Penalty for Nondisclosed Transactions.--
     Subsection (i) of section 6662 of the Internal Revenue Code 
     of 1986 is repealed.
       (d) Reasonable Cause Exception for Underpayments.--
     Paragraph (2) of section 6664(c) of the Internal Revenue Code 
     of 1986 is repealed.
       (e) Reasonable Cause Exception for Nondisclosed 
     Transactions.--Paragraph (2) of section 6664(d) of the 
     Internal Revenue Code of 1986 is repealed.
       (f) Erroneous Claim for Refund or Credit.--Subsection (c) 
     of section 6676 of the Internal Revenue Code of 1986 is 
     repealed.
       (g) Effective Date.--The repeals made by this section shall 
     apply to transactions entered into, and to underpayments, 
     understatements, or refunds and credits attributable to 
     transactions entered into, after December 31, 2015.

     SEC. 223. BUDGETARY SAVINGS FOR EXTENDING MEDICARE SOLVENCY.

       As a result of policies contained in this Act, the 
     Secretary of the Treasury shall transfer to the Federal 
     Hospital Insurance Trust Fund under section 1817 of the 
     Social Security Act (42 U.S.C. 1395i) $379,300,000,000 (which 
     represents the full amount of on-budget savings during the 
     period of fiscal years 2016 through 2025) for extending 
     Medicare solvency, to remain available until expended.
                                 ______
                                 
  SA 2917. Mr. REID submitted an amendment intended to be proposed to 
amendment SA 2916 submitted by Mr. McConnell to the amendment SA 2874 
proposed by Mr. McConnell to the bill H.R. 3762, to provide for 
reconciliation pursuant to section 2002 of the concurrent resolution on 
the budget for fiscal year 2016; as follows:

       In section 209, strike subsection (c).
                                 ______
                                 
  SA 2918. Mr. MURPHY (for himself and Ms. Stabenow) submitted an 
amendment intended to be proposed to amendment SA 2916 submitted by Mr. 
McConnell to the amendment SA 2874 proposed by Mr. McConnell to the 
bill H.R. 3762, to provide for reconciliation pursuant to section 2002 
of the concurrent resolution on the budget for fiscal year 2016; as 
follows:

       At the end of section 202, add the following:
       (f) Nonapplication.--
       (1) In general.--The amendments made by this section shall 
     not take effect if such amendments would result in an 
     increase of Federal tax liability of any individual described 
     in paragraph (2).
       (2) Individuals described.--The individuals described in 
     this paragraph are the following:
       (A) Individuals who are victims of violent crime, including 
     domestic violence.
       (B) Individuals who are victims of cancer, heart disease, 
     Alzheimer's disease, hepatitis C, HIV/AIDS , or other deadly 
     diseases.
       (C) Individuals who are veterans, including disabled 
     veterans.
       (D) Individuals who lost their health insurance when they 
     lost their jobs, including those who lost their job because 
     their employer moved their job overseas.
       (E) Individuals who are survivors of cancer, strokes, or 
     other chronic diseases.
       (F) Pregnant women.

     SEC. 202A. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.

[[Page 19542]]

       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 202B. MODIFICATION OF LIMITATION ON EXCESSIVE 
                   REMUNERATION.

       (a) Repeal of Performance-based Compensation and Commission 
     Exceptions for Limitation on Excessive Remuneration.--
       (1) In general.--Paragraph (4) of section 162(m) of the 
     Internal Revenue Code of 1986 is amended by striking 
     subparagraphs (B) and (C) and by redesignating subparagraphs 
     (D) through (G) as subparagraphs (B) through (E), 
     respectively.
       (2) Conforming amendments.--
       (A) Section 162(m)(5) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (E) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (B) Section 162(m)(6) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (D) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (b) Expansion of Applicable Employer.--Paragraph (2) of 
     section 162(m) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(2) Publicly held corporation.--For purposes of this 
     subsection, the term `publicly held corporation' means any 
     corporation which is an issuer (as defined in section 3 of 
     the Securities Exchange Act of 1934 (15 U.S.C. 78c))--
       ``(A) the securities of which are registered under section 
     12 of such Act (15 U.S.C. 78l), or
       ``(B) that is required to file reports under section 15(d) 
     of such Act (15 U.S.C. 78o(d)).''.
       (c) Application to All Current and Former Officers, 
     Directors, and Employees.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986, as amended by subsection (a), is amended--
       (A) by striking ``covered employee'' each place it appears 
     in paragraphs (1) and (4) and inserting ``covered 
     individual'', and
       (B) by striking ``such employee'' each place it appears in 
     subparagraphs (A) and (E) of paragraph (4) and inserting 
     ``such individual''.
       (2) Covered individual.--Paragraph (3) of section 162(m) of 
     such Code is amended to read as follows:
       ``(3) Covered individual.--For purposes of this subsection, 
     the term `covered individual' means any individual who is an 
     officer, director, or employee of the taxpayer or a former 
     officer, director, or employee of the taxpayer.''.
       (3) Conforming amendments.--
       (A) Section 48D(b)(3)(A) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (B) Section 409A(b)(3)(D)(ii) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (d) Special Rule for Remuneration Paid to Beneficiaries, 
     etc.--Paragraph (4) of section 162(m), as amended by 
     subsection (a), is amended by adding at the end the following 
     new subparagraph:
       ``(F) Special rule for remuneration paid to beneficiaries, 
     etc.--Remuneration shall not fail to be applicable employee 
     remuneration merely because it is includible in the income 
     of, or paid to, a person other than the covered individual, 
     including after the death of the covered individual.''.
       (e) Regulatory Authority.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(7) Regulations.--The Secretary may prescribe such 
     guidance, rules, or regulations, including with respect to 
     reporting, as are necessary to carry out the purposes of this 
     subsection.''.
       (2) Conforming amendment.--Paragraph (6) of section 162(m) 
     of such Code is amended by striking subparagraph (H).
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. 202C. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or
       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after November 30, 2015, the 
     direct or indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on November 30, 
     2015, except that the Secretary may issue regulations 
     increasing the threshold percent in any of the tests under 
     such regulations for determining if business activities 
     constitute substantial business activities for purposes of 
     this paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before December 1, 2015,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after November 30, 2015.
                                 ______
                                 
  SA 2919. Ms. BALDWIN submitted an amendment intended to be proposed 
to amendment SA 2916 submitted by Mr. McConnell to the amendment SA 
2874 proposed by Mr. McConnell to the bill H.R. 3762, to provide for 
reconciliation pursuant to section 2002 of the concurrent resolution on 
the budget for fiscal year 2016; as follows:

       At the end of title II, add the following:

     SEC. _. FREEDOM TO KEEP HEALTH INSURANCE COVERAGE.

       (a) Advance Premium Tax Credits.--
       (1) In general.--The amendments and repeals made by section 
     202 shall not apply to any individual who--
       (A) receives an advanced payment under section 1412 of the 
     Patient Protection and Affordable Care Act of the premium tax 
     credit under section 36B of the Internal Revenue of 1986 for 
     the month of December 2017, and
       (B) makes an election under this subsection at such time 
     and in such manner as determined by the Secretary of Health 
     and

[[Page 19543]]

     Human Services, in consultation with the Secretary of the 
     Treasury.
       (2) Limitation.--Paragraph (1) shall not apply to an 
     individual for any month after which it is determined that 
     such individual is not eligible to receive such an advanced 
     payment (determined after the application of paragraph (1)).
       (b) Medicaid.--Any State that chooses to make medical 
     assistance available under section 1902(a)(10)(A)(i)(VIII) of 
     the Social Security Act (42 U.S.C. 1396a(a)(10)(A)(i)(VIII)) 
     to individuals described in that section may elect on or 
     before December 31, 2017, to have the amendments made by 
     section 207 not apply to the State and for the State to 
     continue to make medical assistance available under its State 
     Medicaid plan to all individuals as if such amendments had 
     not taken effect.

     SEC. _. FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS.

       (a) In General.--Subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new part:

          ``PART VII--FAIR SHARE TAX ON HIGH-INCOME TAXPAYERS

``Sec. 59A. Fair share tax.

     ``SEC. 59A. FAIR SHARE TAX.

       ``(a) General Rule.--
       ``(1) Impositition of tax.--In the case of any high-income 
     taxpayer, there is hereby imposed for a taxable year (in 
     addition to any other tax imposed by this subtitle) a tax 
     equal to the product of--
       ``(A) the amount determined under paragraph (2), and
       ``(B) a fraction (not to exceed 1)--
       ``(i) the numerator of which is the excess of--

       ``(I) the taxpayer's adjusted gross income, over
       ``(II) the dollar amount in effect under subsection (c)(1), 
     and

       ``(ii) the denominator of which is the dollar amount in 
     effect under subsection (c)(1).
       ``(2) Amount of tax.--The amount of tax determined under 
     this paragraph is an amount equal to the excess (if any) of--
       ``(A) the tentative fair share tax for the taxable year, 
     over
       ``(B) the excess of--
       ``(i) the sum of--

       ``(I) the regular tax liability (as defined in section 
     26(b)) for the taxable year, determined without regard to any 
     tax liability determined under this section,
       ``(II) the tax imposed by section 55 for the taxable year, 
     plus
       ``(III) the payroll tax for the taxable year, over

       ``(ii) the credits allowable under part IV of subchapter A 
     (other than sections 27(a), 31, and 34).
       ``(b) Tentative Fair Share Tax.--For purposes of this 
     section--
       ``(1) In general.--The tentative fair share tax for the 
     taxable year is 30 percent of the excess of--
       ``(A) the adjusted gross income of the taxpayer, over
       ``(B) the modified charitable contribution deduction for 
     the taxable year.
       ``(2) Modified charitable contribution deduction.--For 
     purposes of paragraph (1)--
       ``(A) In general.--The modified charitable contribution 
     deduction for any taxable year is an amount equal to the 
     amount which bears the same ratio to the deduction allowable 
     under section 170 (section 642(c) in the case of a trust or 
     estate) for such taxable year as--
       ``(i) the amount of itemized deductions allowable under the 
     regular tax (as defined in section 55) for such taxable year, 
     determined after the application of section 68, bears to
       ``(ii) such amount, determined before the application of 
     section 68.
       ``(B) Taxpayer must itemize.--In the case of any individual 
     who does not elect to itemize deductions for the taxable 
     year, the modified charitable contribution deduction shall be 
     zero.
       ``(c) High-Income Taxpayer.--For purposes of this section--
       ``(1) In general.--The term `high-income taxpayer' means, 
     with respect to any taxable year, any taxpayer (other than a 
     corporation) with an adjusted gross income for such taxable 
     year in excess of $1,000,000 (50 percent of such amount in 
     the case of a married individual who files a separate 
     return).
       ``(2) Inflation adjustment.--
       ``(A) In general.--In the case of a taxable year beginning 
     after 2016, the $1,000,000 amount under paragraph (1) shall 
     be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, determined by substituting `calendar year 2015' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(B) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $10,000, such amount 
     shall be rounded to the next lowest multiple of $10,000.
       ``(d) Payroll Tax.--For purposes of this section, the 
     payroll tax for any taxable year is an amount equal to the 
     excess of--
       ``(1) the taxes imposed on the taxpayer under sections 
     1401, 1411, 3101, 3201, and 3211(a) (to the extent such tax 
     is attributable to the rate of tax in effect under section 
     3101) with respect to such taxable year or wages or 
     compensation received during such taxable year, over
       ``(2) the deduction allowable under section 164(f) for such 
     taxable year.
       ``(e) Special Rule for Estates and Trusts.--For purposes of 
     this section, in the case of an estate or trust, adjusted 
     gross income shall be computed in the manner described in 
     section 67(e).
       ``(f) Not Treated as Tax Imposed by This Chapter for 
     Certain Purposes.--The tax imposed under this section shall 
     not be treated as tax imposed by this chapter for purposes of 
     determining the amount of any credit under this chapter 
     (other than the credit allowed under section 27(a)) or for 
     purposes of section 55.''.
       (b) Clerical Amendment.--The table of parts for subchapter 
     A of chapter 1 of the Internal Revenue Code of 1986 is 
     amended by adding at the end the following new item:

         ``Part VII--Fair Share Tax on High-Income Taxpayers''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

     SEC. _. MODIFICATION OF LIMITATION ON EXCESSIVE REMUNERATION.

       (a) Repeal of Performance-based Compensation and Commission 
     Exceptions for Limitation on Excessive Remuneration.--
       (1) In general.--Paragraph (4) of section 162(m) of the 
     Internal Revenue Code of 1986 is amended by striking 
     subparagraphs (B) and (C) and by redesignating subparagraphs 
     (D) through (G) as subparagraphs (B) through (E), 
     respectively.
       (2) Conforming amendments.--
       (A) Section 162(m)(5) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (E) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (B) Section 162(m)(6) of such Code is amended--
       (i) by striking ``subparagraphs (B), (C), and (D) thereof'' 
     in subparagraph (D) and inserting ``subparagraph (B) 
     thereof'', and
       (ii) by striking ``subparagraphs (F) and (G)'' in 
     subparagraph (G) and inserting ``subparagraphs (D) and (E)''.
       (b) Expansion of Applicable Employer.--Paragraph (2) of 
     section 162(m) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(2) Publicly held corporation.--For purposes of this 
     subsection, the term `publicly held corporation' means any 
     corporation which is an issuer (as defined in section 3 of 
     the Securities Exchange Act of 1934 (15 U.S.C. 78c))--
       ``(A) the securities of which are registered under section 
     12 of such Act (15 U.S.C. 78l), or
       ``(B) that is required to file reports under section 15(d) 
     of such Act (15 U.S.C. 78o(d)).''.
       (c) Application to All Current and Former Officers, 
     Directors, and Employees.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986, as amended by subsection (a), is amended--
       (A) by striking ``covered employee'' each place it appears 
     in paragraphs (1) and (4) and inserting ``covered 
     individual'', and
       (B) by striking ``such employee'' each place it appears in 
     subparagraphs (A) and (E) of paragraph (4) and inserting 
     ``such individual''.
       (2) Covered individual.--Paragraph (3) of section 162(m) of 
     such Code is amended to read as follows:
       ``(3) Covered individual.--For purposes of this subsection, 
     the term `covered individual' means any individual who is an 
     officer, director, or employee of the taxpayer or a former 
     officer, director, or employee of the taxpayer.''.
       (3) Conforming amendments.--
       (A) Section 48D(b)(3)(A) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (B) Section 409A(b)(3)(D)(ii) of such Code is amended by 
     inserting ``(as in effect for taxable years beginning before 
     January 1, 2016)'' after ``section 162(m)(3)''.
       (d) Special Rule for Remuneration Paid to Beneficiaries, 
     etc.--Paragraph (4) of section 162(m), as amended by 
     subsection (a), is amended by adding at the end the following 
     new subparagraph:
       ``(F) Special rule for remuneration paid to beneficiaries, 
     etc.--Remuneration shall not fail to be applicable employee 
     remuneration merely because it is includible in the income 
     of, or paid to, a person other than the covered individual, 
     including after the death of the covered individual.''.
       (e) Regulatory Authority.--
       (1) In general.--Section 162(m) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(7) Regulations.--The Secretary may prescribe such 
     guidance, rules, or regulations, including with respect to 
     reporting, as are necessary to carry out the purposes of this 
     subsection.''.
       (2) Conforming amendment.--Paragraph (6) of section 162(m) 
     of such Code is amended by striking subparagraph (H).
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2015.

[[Page 19544]]



     SEC. __. MODIFICATIONS TO RULES RELATING TO INVERTED 
                   CORPORATIONS.

       (a) In General.--Subsection (b) of section 7874 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(b) Inverted Corporations Treated as Domestic 
     Corporations.--
       ``(1) In general.--Notwithstanding section 7701(a)(4), a 
     foreign corporation shall be treated for purposes of this 
     title as a domestic corporation if--
       ``(A) such corporation would be a surrogate foreign 
     corporation if subsection (a)(2) were applied by substituting 
     `80 percent' for `60 percent', or
       ``(B) such corporation is an inverted domestic corporation.
       ``(2) Inverted domestic corporation.--For purposes of this 
     subsection, a foreign corporation shall be treated as an 
     inverted domestic corporation if, pursuant to a plan (or a 
     series of related transactions)--
       ``(A) the entity completes after November 30, 2015, the 
     direct or indirect acquisition of--
       ``(i) substantially all of the properties held directly or 
     indirectly by a domestic corporation, or
       ``(ii) substantially all of the assets of, or substantially 
     all of the properties constituting a trade or business of, a 
     domestic partnership, and
       ``(B) after the acquisition, more than 50 percent of the 
     stock (by vote or value) of the entity is held--
       ``(i) in the case of an acquisition with respect to a 
     domestic corporation, by former shareholders of the domestic 
     corporation by reason of holding stock in the domestic 
     corporation, or
       ``(ii) in the case of an acquisition with respect to a 
     domestic partnership, by former partners of the domestic 
     partnership by reason of holding a capital or profits 
     interest in the domestic partnership.
       ``(3) Exception for corporations with substantial business 
     activities in foreign country of organization.--A foreign 
     corporation described in paragraph (2) shall not be treated 
     as an inverted domestic corporation if after the acquisition 
     the expanded affiliated group which includes the entity has 
     substantial business activities in the foreign country in 
     which or under the law of which the entity is created or 
     organized when compared to the total business activities of 
     such expanded affiliated group. For purposes of subsection 
     (a)(2)(B)(iii) and the preceding sentence, the term 
     `substantial business activities' shall have the meaning 
     given such term under regulations in effect on November 30, 
     2015, except that the Secretary may issue regulations 
     increasing the threshold percent in any of the tests under 
     such regulations for determining if business activities 
     constitute substantial business activities for purposes of 
     this paragraph.''.
       (b) Conforming Amendments.--
       (1) Clause (i) of section 7874(a)(2)(B) of such Code is 
     amended by striking ``after March 4, 2003,'' and inserting 
     ``after March 4, 2003, and before December 1, 2015,''.
       (2) Subsection (c) of section 7874 of such Code is 
     amended--
       (A) in paragraph (2)--
       (i) by striking ``subsection (a)(2)(B)(ii)'' and inserting 
     ``subsections (a)(2)(B)(ii) and (b)(2)(B)'', and
       (ii) by inserting ``or (b)(2)(A)'' after ``(a)(2)(B)(i)'' 
     in subparagraph (B),
       (B) in paragraph (3), by inserting ``or (b)(2)(B), as the 
     case may be,'' after ``(a)(2)(B)(ii)'',
       (C) in paragraph (5), by striking ``subsection 
     (a)(2)(B)(ii)'' and inserting ``subsections (a)(2)(B)(ii) and 
     (b)(2)(B)'', and
       (D) in paragraph (6), by inserting ``or inverted domestic 
     corporation, as the case may be,'' after ``surrogate foreign 
     corporation''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after November 30, 2015.

                          ____________________