[House Report 110-333]
[From the U.S. Government Publishing Office]



110th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    110-333

======================================================================

 
   PROVIDING FOR CONSIDERATION OF THE BILL (H.R. 2761) TO EXTEND THE 
TERRORISM INSURANCE PROGRAM OF THE DEPARTMENT OF THE TREASURY, AND FOR 
                             OTHER PURPOSES

                                _______
                                

 September 18, 2007.--Referred to the House Calendar and ordered to be 
                                printed

                                _______
                                

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

                              R E P O R T

                       [To accompany H. Res. 660]

    The Committee on Rules, having had under consideration 
House Resolution 660, by a record vote of 8 to 3, report the 
same to the House with the recommendation that the resolution 
be adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

    The resolution provides for consideration of H.R. 2761, the 
Terrorism Risk Insurance Revision and Extension Act of 2007, 
under a structured rule. The rule provides one hour of general 
debate equally divided and controlled by the chairman and 
ranking minority member of the Committee on Financial Services. 
The rule waives all points of order against consideration of 
the bill except clauses 9 and 10 of rule XXI. The rule provides 
that the amendment in the nature of a substitute recommended by 
the Committee on Financial Services now printed in the bill, 
modified by the amendment printed in Part A of this report, 
shall be considered as adopted. The bill as amended shall be 
considered as an original bill for the purpose of amendment and 
shall be considered as read. The rule waives all points of 
order against provisions in the bill as amended.
    The rule makes in order only those further amendments 
printed in Part B of this report. The further amendments made 
in order may be offered only in the order printed in this 
report, may be offered only by a Member designated in this 
report, shall be considered as read, shall be debatable for the 
time specified in this report equally divided and controlled by 
the proponent and an opponent, shall not be subject to 
amendment, and shall not be subject to a demand for a division 
of the question in the House or in the Committee of the Whole. 
All points of order against the further amendments except for 
clauses 9 and 10 of rule XXI are waived. The rule provides one 
motion to recommit with or without instructions. The rule 
provides that the Chair may postpone further consideration of 
the bill to a time designated by the Speaker.

                         EXPLANATION OF WAIVERS

    Although the rule waives all points of order against 
consideration of the bill (except for clauses 9 and 10 of rule 
XXI) and against the bill, as amended, the Committee is not 
aware of any points of order against consideration of the bill 
or against the bill as amended. The waivers of all points of 
order are prophylactic in nature.

                            COMMITTEE VOTES

    The results of each record vote on an amendment or motion 
to report, together with the names of those voting for and 
against, are printed below:

Rules Committee record vote No. 303

    Date: September 18, 2007.
    Measure: H.R. 2761.
    Motion by: Mr. Dreier.
    Summary of motion: To grant an open rule.
    Results: Defeated 2-9.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--
Nay; Sutton--Nay; Dreier--Yea; Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 304

    Date: September 18, 2007.
    Measure: H.R. 2761.
    Motion by: Mr. Dreier.
    Summary of motion: That in the matter proposed to be self-
executed by the rule relating to the expedited consideration in 
the House of a Joint Resolution, the waiver of all points of 
order against the Joint Resolution and against its 
consideration not include a waiver of clause 10 of House rule 
XXI, relating to ``pay as you go'' enforcement.
    Results: Defeated 3-8.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--Nay; Sutton--
Nay; Dreier--Yea; Diaz-Balart--Yea; Sessions--Yea; Slaughter--
Nay.

Rules Committee record vote No. 305

    Date: September 18, 2007.
    Measure: H.R. 2761.
    Motion by: Mr. Diaz-Balart.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Brown-Waite (FL) and Rep. 
Buchanan (FL), #4, to extend the Terrorism Risk Insurance Fund 
to cover insured losses resulting from natural disasters for 
states that have established a reinsurance fund. Natural 
disasters include earthquakes and perils resulting from 
earthquakes, such as tsunamis and fire; tropical cyclones 
having maximum sustained winds of at least 74 miles per hour, 
such as typhoons and hurricanes; tornados; volcanic eruptions; 
catastrophic windstorms; and any other naturally occurring 
catastrophe except flood.
    Results: Defeated 3-8.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--Nay; Sutton--
Nay; Dreier--Yea; Diaz-Balart--Yea; Sessions--Yea; Slaughter--
Nay.

Rules Committee record vote No. 306

    Date: September 18, 2007.
    Measure: H.R. 2761.
    Motion by: Mr. Sessions.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Price, Tom (GA) #1, to require 
that any provision of TRIA that results in costs to the federal 
government must be offset by decreases in spending.
    Results: Defeated 3-8.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--Nay; Sutton--
Nay; Dreier--Yea; Diaz-Balart--Yea; Sessions--Yea; Slaughter--
Nay.

Rules Committee record vote No. 307

    Date: September 18, 2007.
    Measure: H.R. 2761.
    Motion by: Mr. Sessions.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Hensarling (TX), #5, to 
require companies to pay an annual, non-refundable premium, 
determined by the Treasury Secretary based on a percentage of a 
company's direct earned premiums, to be eligible for TRIA 
participation for that year. Premiums would be kept in a 
reserve fund for future use to cover the costs of a certified 
TRIA incident exceeding the industry retention level or for any 
subsequent federal program enacted to provide financial 
assistance for the health care related costs of victims of 
certified TRIA incident.
    Results: Defeated 3-8.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--Nay; Sutton--
Nay; Dreier--Yea; Diaz-Balart--Yea; Sessions--Yea; Slaughter--
Nay.

Rules Committee record vote No. 308

    Date: September 18, 2007.
    Measure: H.R. 2761.
    Motion by: Mr. McGovern.
    Summary of motion: To report the rule.
    Results: Adopted 8-3.
    Vote by Members: McGovern--Yea; Hastings (FL)--Yea; 
Cardoza--Yea; Welch--Yea; Castor--Yea; Arcuri--Yea; Sutton--
Yea; Dreier--Nay; Diaz-Balart--Nay; Sessions--Nay; Slaughter--
Yea.

               SUMMARY OF AMENDMENT CONSIDERED AS ADOPTED

    The amendment would ensure that the bill complies with the 
new PAYGO requirements. It would require the enactment of a 
joint resolution to permit Federal compensation under the 
Terrorism Risk Insurance Act of 2002. The joint resolution, 
approving a certification by the Secretary of Treasury (in 
concurrence with the Secretaries of State and Homeland 
Security, and the Attorney General) that there has been an act 
of terrorism, would be considered by Congress under fast-track 
procedures.

           SUMMARY OF AMENDMENTS MADE IN ORDER UNDER THE RULE

    1. Frank (MA): Manager's Amendment. The manager's amendment 
clarifies the certification process for acts of NBCR (nuclear, 
biological, chemical, or radiological) terrorism, applies the 
reset mechanism to the NBCR deductible, and provides that the 
Consumer Price Index will be used to adjust for inflation the 
dollar amounts used in TRIA. The amendment also makes technical 
and conforming changes. (10 minutes)
    2. Pearce (NM): The amendment raises the deductible set at 
5% above $1,000,000,000 by 1% each program year, rather than by 
.5% as the bill is written. (10 minutes)

         PART A--TEXT OF AMENDMENT TO BE CONSIDERED AS ADOPTED

  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, at the end of section 102(1), 
add the following new subparagraph:
                  ``(F) Compensation subject to further 
                congressional action.--Notwithstanding any 
                certification of an act under this paragraph as 
                an act of terrorism or an act of NBCR 
                terrorism, Federal compensation under the 
                Program shall be subject to the provisions of 
                section 103(h).
                  ``(G) Submission of certification under this 
                paragraph.--Upon any certification under 
                subparagraph (A), the Secretary shall submit 
                such certification to the Congress.''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in section 103(a)(2), before 
``shall pay'' insert ``, subject only to subsection (h)(1),''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in section 103(b), redesignate 
paragraphs (1) through (4) as paragraphs (2) through (5), 
respectively.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in section 103(b), after 
``unless--'' insert the following new paragraph:
          ``(1) there is enacted a joint resolution for payment 
        of Federal compensation with respect to the act of 
        terrorism that resulted in the insured loss;''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in the matter in section 
103(e)(1)(A) that precedes clause (i), after ``paid by the 
Secretary'' insert ``, subject to subsection (h)(1),''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in the matter in section 
103(e)(1)(B)(i) that precedes subclause (II), after ``paid by 
the Secretary'' insert ``, subject to subsection (h)(1),''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in section 103(e)(1)(C), after 
``paid'' insert ``, pursuant to subsection (h)(1),''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in section 103(e)(1)(D), after 
``paid'' insert ``, pursuant to subsection (h)(1),''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, strike subparagraph (A) of 
section 103(e)(3) and insert the following:
                  ``(A) Limitation.--Notwithstanding any other 
                provision of Federal or State law, including 
                any State workers' compensation or other 
                compulsory insurance law, an insurer's 
                financial responsibility for insured losses 
                from acts of terrorism shall be limited as 
                follows:
                          ``(i) Federal compensation not 
                        provided.--In any case of an act of 
                        terrorism with respect to which there 
                        has not been enacted a joint resolution 
                        for payment of Federal compensation 
                        described in subsection (h)(2), an 
                        insurer's financial responsibility for 
                        insured losses from such act of 
                        terrorism shall be limited to its 
                        applicable insurer deductible.
                          ``(ii) Federal compensation 
                        provided.--In any case of an act of 
                        terrorism with respect to which there 
                        has been enacted a joint resolution for 
                        payment of Federal compensation 
                        described in subsection (h)(2), an 
                        insurer's financial responsibility for 
                        insured losses from such act of 
                        terrorism shall be limited to--
                                  ``(I) its applicable insurer 
                                deductible; and
                                  ``(II) its applicable share 
                                of insured losses that exceed 
                                its applicable insurer 
                                deductible, subject to the 
                                requirements of paragraph 
                                (2).''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in section 103(e)(3)(B), strike 
``Notwithstanding'' and insert ``In the case of any act of 
terrorism with respect to which there has been enacted a joint 
resolution for payment of Federal compensation described in 
subsection (h)(2) and notwithstanding''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, at the end of section 103(e)(3) 
add the following new subparagraph:
                  ``(E) Federal court jurisdiction and venue in 
                cases of no federal compensation.--In the case 
                of any act of terrorism with respect to which 
                there has not been enacted a joint resolution 
                for payment of Federal compensation described 
                in subsection (h)(2)--
                          ``(i) all claims relating to or 
                        arising out of an insurer's financial 
                        responsibility for insured losses from 
                        such act of terrorism shall be within 
                        the original and exclusive jurisdiction 
                        of the district courts of the United 
                        States, in accordance with the 
                        procedures established in clause (iii);
                          ``(ii) all pending State court 
                        actions that relate to or arise out of 
                        an insurer's financial responsibility 
                        for insured losses from such act of 
                        terrorism shall be removed to a 
                        district court of the United States in 
                        accordance with clause (iii); and
                          ``(iii) not later than 90 days after 
                        the Secretary's certification of such 
                        act of terrorism, the Judicial Panel on 
                        Multidistrict Litigation shall 
                        designate one district court or, if 
                        necessary, multiple district courts of 
                        the United States that shall have 
                        original and exclusive jurisdiction 
                        over all actions for any claim relating 
                        to or arising out of an insurer's 
                        financial responsibility for insured 
                        losses from such act of terrorism.''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, in the first sentence of 
section 103(e)(4)(F), after ``to the effect that'' insert the 
following: ``, in the case of any act of terrorism with respect 
to which there has been enacted a joint resolution for payment 
of Federal compensation described in subsection (h)(2),''.
  In the matter proposed to be inserted by the amendment made 
by section 3(a)(1) of the bill, after the period at the end of 
section 103(e)(4)(F) insert the following: ``All policies for 
property and casualty insurance and group life insurance shall 
be deemed to contain, and insurers shall be permitted to 
include in their policies, a provision to the effect that, in 
the case of insured losses resulting from any act of terrorism 
with respect to which there has not been enacted a joint 
resolution for payment of Federal compensation described in 
subsection (h)(2), no insurer shall be obligated to pay for any 
portion of any such insured losses that exceeds its applicable 
insurer deductible.''.
  Page 56, line 5, strike the closing quotation mark and the 
semicolon at the end.
  Page 56, after line 5, insert the following new subsection:
  ``(h) Privileged Procedure for Joint Resolution for Payment 
of Federal Compensation.--
          ``(1) In general.--The Secretary shall pay the 
        Federal share of compensation under the Program for 
        insured losses resulting from an act of terrorism only 
        if there is enacted a joint resolution for payment of 
        Federal compensation with respect to such act of 
        terrorism.
          ``(2) Joint resolution.--For purposes of this 
        subsection, the term `joint resolution for payment of 
        Federal compensation' means a joint resolution that--
                  ``(A) does not have a preamble;
                  ``(B) the matter after the resolving clause 
                of which is as follows: `That the Congress 
                approves of the certification by the Secretary 
                of the Treasury under section 102(1)(A) of the 
                Terrorism Risk Insurance Act of 2002.'; and
                  ``(C) the title of which is as follows: `To 
                permit Federal compensation under the Terrorism 
                Risk Insurance Act of 2002'.
          ``(3) Introduction and referral.--Upon receipt of a 
        submission under section 102(1)(G), the joint 
        resolution described in this subsection shall be 
        introduced by the majority leader of each House or his 
        designee (by request). In the case in which a House is 
        not in session, such joint resolution shall be so 
        introduced upon convening the first day of session 
        after the date of receipt of the certification. Upon 
        introduction, the joint resolution shall be referred to 
        the appropriate calendar in each House.
          ``(4) Consideration in the house of 
        representatives.--
                  ``(A) Proceeding to consideration.--Upon 
                referral to the appropriate calendar, it shall 
                be in order to move to proceed to consider the 
                joint resolution in the House. Such a motion 
                shall be in order only at a time designated by 
                the Speaker in the legislative schedule within 
                two legislative days. The previous question 
                shall be considered as ordered on the motion to 
                its adoption without intervening motion. A 
                motion to reconsider the vote by which the 
                motion is disposed of shall not be in order.
                  ``(B) Consideration.--The joint resolution 
                shall be considered as read. All points of 
                order against the joint resolution and against 
                its consideration are waived. The previous 
                question shall be considered as ordered on the 
                joint resolution to its passage without 
                intervening motion except one hour of debate 
                equally divided and controlled by a proponent 
                and an opponent and one motion to limit debate 
                on the joint resolution. A motion to reconsider 
                the vote on passage of the joint resolution 
                shall not be in order.
          ``(5) Consideration in the senate.--
                  ``(A) Proceeding.--Upon introduction, the 
                joint resolution shall be placed on the 
                Calendar of Business, General Orders. A motion 
                to proceed to the consideration of the joint 
                resolution shall be in order at any time. The 
                motion is privileged and not debatable. A 
                motion to proceed to consideration of the joint 
                resolution may be made even though a previous 
                motion to the same effect has been disagreed 
                to. An amendment to the motion shall not be in 
                order, nor shall it be in order to move to 
                reconsider the vote by which the motion is 
                agreed to.
                  ``(B) Debate.--Debate on the joint 
                resolution, and all debatable motions and 
                appeals in connection therewith, shall be 
                limited to not more than ten hours. The time 
                shall be equally divided between and controlled 
                by, the majority leader and the minority leader 
                or their designees.
                  ``(C) Debatable motions and appeals.--Debate 
                on any debatable motion or appeal in relation 
                to the joint resolution shall be limited to not 
                more than one hour from the time allotted for 
                debate, equally divided and controlled by the 
                majority leader and the minority leader or 
                their designees.
                  ``(D) Motion to limit debate.--A motion to 
                further limit debate is not debatable.
                  ``(E) Motion to recommit.--Any motion to 
                commit or recommit the joint resolution shall 
                not be in order.
                  ``(F) Final passage.--The Chair shall put the 
                question on final passage of the joint 
                resolution no later than 72 hours from the time 
                the measure is introduced.
          ``(6) Amendments prohibited.--No amendment to, or 
        motion to strike a provision from, a joint resolution 
        considered under this subsection shall be in order in 
        either the Senate or the House of Representatives.
          ``(7) Consideration by the other house.--In the case 
        of a joint resolution described in this subsection, if 
        before passage by one House of a joint resolution of 
        that House, that House receives such joint resolution 
        from the other House, then--
                  ``(A) the procedure in that House shall be 
                the same as if no joint resolution had been 
                received from the other House; but
                  ``(B) the vote on final passage shall be on 
                the joint resolution of the other House.
          ``(8) House and senate rulemaking.--This subsection 
        is enacted by the Congress as an exercise of the 
        rulemaking power of the House of Representatives and 
        Senate, respectively, and as such is deemed a part of 
        the rules of each House, respectively, and such 
        procedures supersede other rules only to the extent 
        that they are inconsistent with such rules; and with 
        full recognition of the constitutional right of either 
        House to change the rules (so far as relating to the 
        procedures of that House) at any time, in the same 
        manner, and to the same extent as any other rule of 
        that House.'';
  In the matter proposed to be inserted by the amendment made 
by section 4(1) of the bill, in section 106A(b)(1), strike 
``section 106(b)(2)'' and insert section ``106(b)(3)''.

        PART B--TEXT OF AMENDMENTS MADE IN ORDER UNDER THE RULE


1. An Amendment To Be Offered by Representative Frank of Massachusetts, 
               or His Designee, Debatable for 10 Minutes

  Strike section 102(1)(C) of the Terrorism Risk Insurance Act 
of 2002, as proposed to be amended by section 3(a)(1) of the 
bill, and insert the following:
                  ``(C) Certification of act of nbcr 
                terrorism.--Where a certified act of terrorism 
                is carried out by means of a nuclear, 
                biological, chemical, or radiological weapon or 
                similar instrumentality, the Secretary shall 
                further certify such act of terrorism as an act 
                of NBCR terrorism. If a certified act of 
                terrorism involves any other weapon or 
                instrumentality, the Secretary, in concurrence 
                with the Secretary of State, the Secretary of 
                Homeland Security, and the Attorney General of 
                the United States, shall determine whether the 
                act of terrorism meets the definition of NBCR 
                terrorism in this section. If such 
                determination is that the act does meet such 
                definition, the Secretary shall further certify 
                that such act as an act of NBCR terrorism. 
                Nothing in this subparagraph shall prohibit the 
                Secretary from determining that a single act of 
                terrorism resulted in both NBCR and non-NBCR 
                insured losses.''.
  In section 102(11)(I)(ii)(II) of the Terrorism Risk Insurance 
Act of 2002, as proposed to be amended by section 3(a)(1) of 
the bill, strike ``and'' at the end.
  In section 102(11)(J)(i) of the Terrorism Risk Insurance Act 
of 2002, as proposed to be amended by section 3(a)(1) of the 
bill, add ``and'' at the end.
  In section 102(11)(J) of the Terrorism Risk Insurance Act of 
2002, as proposed to be amended by section 3(a)(1) of the bill, 
strike the period at the end and insert ``; and''.
  At the end of section 102(11) of the Terrorism Risk Insurance 
Act of 2002, as proposed to be amended by section 3(a)(1) of 
the bill, add the following:
                  ``(K) for the fifth additional Program Year 
                and any Additional Program year thereafter, 
                notwithstanding subparagraph (I)(i), if 
                aggregate industry insured losses resulting 
                from a certified act of NBCR terrorism exceed 
                $1,000,000,000, for any insurer that sustains 
                insured losses resulting from such act of NBCR 
                terrorism, the value of such insurer's direct 
                earned premiums over the calendar year 
                immediately preceding the Program Year, 
                multiplied by a percentage, which--
                          ``(i) for the fifth additional 
                        Program Year shall be 5 percent; and
                          ``(ii) for each additional Program 
                        Year thereafter, shall be 50 basis 
                        points greater than the percentage 
                        applicable to the preceding additional 
                        Program Year, except that if an act of 
                        NBCR terrorism occurs during the fifth 
                        additional Program Year or any 
                        additional Program Year thereafter that 
                        results in aggregate industry insured 
                        losses exceeding $1,000,000,000, the 
                        percentage for the succeeding 
                        additional Program Year shall be 5 
                        percent and the increase under this 
                        clause shall apply to additional 
                        Program Years thereafter;
                except that for purposes of determining under 
                this subparagraph whether aggregate industry 
                insured losses exceed $1,000,000,000, the 
                Secretary may combine insured losses resulting 
                from two or more certified acts of NBCR 
                terrorism occurring during such Program Year in 
                the same geographic area (with such area 
                determined by the Secretary), in which case 
                such insurer shall be permitted to combine 
                insured losses resulting from such acts of NBCR 
                terrorism for purposes of satisfying its 
                insurer deductible under this subparagraph; and 
                except that the insurer deductible under this 
                subparagraph shall apply only with respect to 
                compensation of insured losses resulting from 
                such certified act, or combined certified acts, 
                and that for purposes of compensation of any 
                other insured losses occurring in the same 
                Program Year, the insurer deductible determined 
                under subparagraph (I)(i) shall apply.''.
  In section 102(13) of the Terrorism Risk Insurance Act of 
2002, as proposed to be amended by section 3(a)(1) of the bill, 
strike ``involves nuclear, biological'' and all that follows 
and insert ``involves or triggers nuclear, biological, 
chemical, or radiological reactions, releases, or 
contaminations, but only if any aggregate industry insured 
losses that result from such reactions, releases, or 
contaminations exceed the amount set forth in paragraph 
(1)(B)(ii).''.
  In section 103(c)(4)(A)(iii)(II)(aa) of the Terrorism Risk 
Insurance Act of 2002, as proposed to be amended by section 
3(a)(1) of the bill, strike ``unlawful'' and insert 
``fraudulent''.
  In section 103(c)(4)(A)(iii)(II)(bb) of the Terrorism Risk 
Insurance Act of 2002, as proposed to be amended by section 
3(a)(1) of the bill, after ``insured person is'' insert 
``substantially''.
  In section 103(e)(1)(B)(ii) of the Terrorism Risk Insurance 
Act of 2002, as proposed to be amended by section 3(a)(1) of 
the bill, insert ``result from any such reactions, releases, or 
contaminations and that'' after ``such insured losses that'' .
  In section 103(e)(1)(B)(ii)(I) of the Terrorism Risk 
Insurance Act of 2002, as proposed to be amended by section 
3(a)(1) of the bill, strike ``exceeds'' and insert ``exceed''.
  In section 103(h)(1) of the Terrorism Risk Insurance Act of 
2002, in the matter preceding subparagraph (A), as proposed to 
be amended by section 3(a)(1) of the bill, strike ``an 
appropriate index'' and all that follows through the colon and 
insert ``the Consumer Price Index for All Urban Consumers (CPI-
U), as published by the Bureau of Labor Statistics of the 
Department of Labor, during the 12-month period preceding such 
program year, each of the dollar amounts set forth in this 
title (as such amount may have been previously adjusted), 
including the following amounts:''.
  Strike subparagraph (B) of section 103(h)(1) of the Terrorism 
Risk Insurance Act of 2002, as proposed to be amended by 
section 3(a)(1) of the bill, and insert the following:
                  ``(B) The dollar amounts in subparagraphs (J) 
                and (K) of section 102(11) (relating to an 
                insurer deductible threshold based on the 
                amount of aggregate industry insured 
                losses).''.
  In section 3 of the bill, redesignate subsection (c) as 
subsection (d).
  In section 3 of the bill, after subsection (b) insert the 
following new subsection:
  (c) Regulations on Certification of an Act of NBCR 
Terrorism.--The Secretary of the Treasury shall issue the 
regulations to carry out subparagraph (C) of section 102(1) of 
the Terrorism Risk Insurance Act of 2002, as amended by 
subsection (a)(1) of this section, not later than the 
expiration of the 180-day period beginning upon the date of the 
enactment of this Act.
                              ----------                              


 2. An Amendment To Be Offered by Representative Pearce of New Mexico, 
               or His Designee, Debatable for 10 Minutes

  In the matter proposed to be added by the amendment made by 
section 3(a)(1) of the bill, in section 102(11)(J)(ii), strike 
``50 basis points'' and insert ``100 basis points''.

                                  
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