[House Report 109-303]
[From the U.S. Government Publishing Office]



109th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    109-303

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PROVIDING FOR CONSIDERATION OF H.R. 4241, DEFICIT REDUCTION ACT OF 2005

                                _______
                                

  November 17 (legislative day, November 16), 2005.--Referred to the 
                House Calendar and ordered to be printed

                                _______
                                

    Mr. Putnam, from the Committee on Rules, submitted the following

                              R E P O R T

                       [To accompany H. Res. 560]

    The Committee on Rules, having had under consideration 
House Resolution 560, by a nonrecord vote, report the same to 
the House with the recommendation that the resolution be 
adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

    The resolution provides for the consideration of H.R. 4241, 
Deficit Reduction Act of 2005, under a closed rule. The rule 
provides two hours of debate in the House equally divided and 
controlled by the chairman and ranking minority member of the 
Committee on the Budget.
    The rule waives all points of order against consideration 
of the bill. The rule provides that the amendment printed in 
this report shall be considered as adopted. The rule waives all 
points of order against provisions in the bill, as amended. The 
rule provides one motion to recommit with or without 
instructions.
    Section 2 of the rule provides that, notwithstanding the 
operation of the previous question, the Chair may postpone 
further consideration of the bill to a time designated by the 
Speaker.
    Section 3 of the rule provides that after passage of H.R. 
4241, it shall be in order to take from the Speaker's table S. 
1932 and to consider the Senate bill in the House. The rule 
waives all points of order against S. 1932 and against its 
consideration. The rule provides for a motion to strike all 
after the enacting clause of S. 1932 and to insert in lieu 
thereof the provisions of H.R. 4241 as passed by the House. 
Finally, the rule waives all points of order against the motion 
to strike and insert.

                         EXPLANATION OF WAIVERS

    The waiver of all points of order against consideration of 
the bill includes a waiver of clause 4(a) of rule XIII 
(requiring a three-day availability of the committee report). 
The waiver is necessary because while the Committee on the 
Budget filed its report (H. Rept. 109-276) on November 7, 2005, 
the printed version of the report was not available until 
November 16, 2005.

            SUMMARY OF AMENDMENT TO BE CONSIDERED AS ADOPTED

    (Summary provided by the amendment sponsor.)
    Nussle: Agriculture Title: Grants an exception from the 7-
year residency requirement for food stamp eligibility B as 
written in the base bill B for persons with lawful permanent 
residence in the United States for at least 5 years upon 
enactment who are over 60, or who have pending applications for 
U.S. citizenship. Preserves categorical eligibility for school 
lunch programs for persons who receive non-cash TANF services. 
Energy and Commerce Title: Raises the home equity limit for 
determining Medicaid eligibility to $750,000 (from $500,000 in 
the reported bill). Maintains the current $3 co-payment rather 
than increasing it to $5 as prescribed in the bill. Allows the 
Secretary to delay the change in pharmacy reimbursement rates 
under Medicaid if a Government Accountability Office report 
finds the average prices paid by pharmacies are above the new 
reimbursable amounts. Expands the uses of Medicaid 
Transformation Grants provided by the Secretary to encourage 
the use of generic drugs and reduce Medicaid drug spending. 
Resources Title: Drops the provision allowing oil and natural 
gas leasing in a portion of the Arctic National Wildlife 
Refuge. Drops provisions allowing oil and natural gas leasing 
in the Outer Continental Shelf [OCS], including payments to 
State and local governments from OCS receipts.

             TEXT OF AMENDMENT TO BE CONSIDERED AS ADOPTED

  Page 13, after line 24, insert the following:
  (c) Certification for School Lunch Program.--Section 9 of the 
Richard B. Russell National School Lunch Act (42 U.S.C. 1758) 
is amended--
          (1) in subsection (b)(12)--
                  (A) in subparagraph (A)--
                          (i) in clause (v), by striking ``; 
                        or'' and inserting a semicolon;
                          (ii) in clause (vi), by striking the 
                        period and inserting ``; or''; and
                          (iii) by adding at the end the 
                        following new clause:
                          ``(vii) a member of a household in 
                        which each member receives or is 
                        eligible to receive non-cash or in-kind 
                        benefits under a State program funded 
                        under part A of title IV of the Social 
                        Security Act (42 U.S.C. 601 et seq.), 
                        and requires participants to have a 
                        gross monthly income at or below 200 
                        percent of the Federal poverty 
                        level.''; and
                  (B) in subparagraph (B), by striking ``or 
                assistance'' and inserting ``, benefits, or 
                assistance''; and
          (2) in subsection (d)(2)--
                  (A) in subparagraph (D), by striking ``; or'' 
                and inserting a semicolon;
                  (B) in subparagraph (E), by striking the 
                period and inserting ``; or''; and
                  (C) by adding at the end the following:
                  ``(F) documentation has been provided to the 
                local educational agency showing that the 
                household is one in which each member receives 
                or is eligible to receive non-cash or in-kind 
                benefits under a State program funded under 
                part A of title IV of the Social Security Act 
                (42 U.S.C. 601 et seq.), and requires 
                participants to have a gross monthly income at 
                or below 200 percent of the Federal poverty 
                level.''.
  Page 14, strike lines 19 through 25, and insert the 
following:

SEC. 1603. RESIDENCY REQUIREMENT.

  Section 402(a)(2)(L) of the Personal Responsibility and Work 
Opportunity Reconciliation Act of 1996 (8 U.S.C. 1612(a)(2)(L)) 
is amended by striking ``for a period of 5 years or more 
beginning'' and inserting the following:
``for a period--
          ``(1) effective until September 30, 2010--
                  ``(A) for an alien--
                          ``(i)(I) who is 60 years of age or 
                        older; or
                          ``(II) with respect to whom--
                                  ``(aa) an application for 
                                naturalization under the 
                                Immigration and Nationality Act 
                                is approved; or
                                  ``(bb) such application is 
                                pending under such Act and no 
                                previous application for 
                                naturalization has been 
                                rejected under such Act; and
                          ``(ii) who is a member of a household 
                        that receives food stamp benefits;
                as of the date of the enactment of the 
                Agricultural Reconciliation Act of 2005, of 5 
                years or more; and
                  ``(B) for an alien with respect to whom 
                subparagraph (A) does not apply, of 7 years or 
                more; and
          ``(2) effective beginning on October 1, 2010, of 5 
        years or more;
beginning''.
  Page 237, line 17, insert ``, Estimated Payment Amounts, and 
Pharmacy Acquisition Costs'' after ``Dispensing Fees''.
  Page 237, line 21, insert ``, and on whether the estimated 
average payment amounts to pharmacies for covered outpatient 
drugs under the medicaid program after implementation of the 
amendments made by this section are below the average prices 
paid by pharmacies for acquiring such drugs'' after 
``pharmacies''.
  Page 237, after line 24, insert the following new subsection 
(and redesignate the succeeding subsection accordingly:
  (e) Secretarial Authority to Delay Implementation.--The 
Secretary of Health and Human Services may delay the 
implementation of the amendments made by subsections (a) and 
(b)(3)(C) for a period of not more than 1 year, if the 
Comptroller General finds, in the study conducted under 
subsection (d), that the estimated average payment amounts to 
pharmacies for covered outpatient drugs under the medicaid 
program after implementation of such amendments are below the 
average prices paid by pharmacies for acquiring such drugs. If 
the Secretary delays the implementation of such amendments 
under this subsection, the Secretary shall transmit to 
Congress, prior to the termination of the period of delay, a 
report containing specific recommendations for legislation to 
establish a more equitable payment system.
   Page 256, line 14, strike ``$500,000'' and insert 
``$750,000''.
  Page 265, strike line 7 and all that follows through page 
266, line 2, and insert the following:
          ``(4) Indexing nominal amounts.--In applying section 
        1916 under paragraph (1) with respect to cost sharing 
        that is `nominal' in amount, the Secretary shall 
        increase such `nominal' amounts for each year 
        (beginning with 2006) by the annual percentage increase 
        in the medical care component of the consumer price 
        index for all urban consumers (U.S. city average) as 
        rounded up in an appropriate manner.''.
  Page 329, after line 22, insert the following:
                  ``(E) Methods in reducing, in clinically 
                appropriate ways, expenditures under this title 
                for covered outpatient drugs, particularly in 
                the categories of greatest drug utilization, by 
                increasing the utilization of generic drugs 
                through the use of education programs and other 
                incentives to promote greater use of generic 
                drugs.''.
  Strike subtitle A of title VI (beginning at page 527, line 
1), and make appropriate conforming changes.
  Strike subtitle E of title VI (beginning at page 591, line 
1), and make appropriate conforming changes.

                                  
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