[Federal Register Volume 62, Number 37 (Tuesday, February 25, 1997)]
[Notices]
[Pages 8487-8504]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-4565]


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UNITED STATES SENTENCING COMMISSION


Sentencing Guidelines for United States Courts

AGENCY: United States Sentencing Commission.

ACTION: Notice of: (1) Promulgation of a temporary, ``emergency'' 
guideline amendment generally increasing the offense levels for List I 
chemicals by two levels and a proposal to re-promulgate such amendment 
as a non-emergency amendment; (2) deferred action until the March 19, 
1997, meeting on previously proposed temporary, ``emergency'' guideline 
amendments increasing penalties for alien smuggling, fraudulent use of 
government-issued documents, and involuntary servitude, peonage, and 
slave trade offenses; (3) other proposed non-emergency amendments to 
sentencing guidelines and commentary; (4) proposed conforming 
amendments relating to proposed amendment 18, published in 62 FR 151 
(January 2, 1997); and (5) proposed conforming amendment relating to 
proposed amendment 12, published in 62 FR 151 (January 2, 1997). 
Request for comment.

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SUMMARY: The Sentencing Commission hereby gives notice of the following 
actions: (1) Pursuant to section 302 of the Comprehensive 
Methamphetamine Control Act of 1996, the Commission is promulgating a 
temporary, emergency amendment to Sec. 2D1.11 and accompanying 
commentary; pursuant to section 217(a) of the Comprehensive Crime 
Control Act of 1984 (28 U.S.C. 994(a) and (p)), the Commission further 
proposes to re-promulgate such amendment as a non-emergency amendment; 
(2) the Commission has deferred action on promulgating amendments to 
Secs. 2L1.1, 2L2.1, 2L2.2, and 2H4.1 relating to sections 203, 211, and 
218 of the Illegal Immigration Reform and Immigrant Responsibility Act 
of 1996 until the meeting on March 19, 1997; and (3) pursuant to 
section 217 (a) of the Comprehensive Crime Control Act of 1984 (28 
U.S.C. 994 (a) and (p)), the Commission is considering promulgating 
certain other non-emergency amendments to the sentencing guidelines and 
commentary. The Commission may submit the non-emergency amendments to 
the Congress not later than May 1, 1997.
    This notice sets forth the emergency and other proposed amendments 
and a synopsis of the issues addressed by the amendments, as well as 
additional issues for comment. The proposed amendments are presented in 
this notice in one of two formats. First, some of the

[[Page 8488]]

amendments are proposed as specific revisions to a guideline or 
commentary. Bracketed text within a proposed amendment indicates 
alternative proposals and that the Commission invites comment and 
suggestions for appropriate policy choices; for example, a proposed 
enhancement of [3-5] levels means a proposed enhancement of either 
three, four, or five levels. Similarly, a proposed enhancement of [4] 
levels indicates that the Commission is considering, and invites 
comment on, alternative policy choices. Second, the Commission has 
highlighted certain issues for comment and invites suggestions for 
specific amendment language.

DATES: (1) The Commission has specified an effective date of May 1, 
1997, for the emergency amendment increasing the penalties for offenses 
involving List I chemicals.
    (2) Comment on the non-emergency amendments and issues set forth in 
this notice should be received not later than March 28, 1997.
    (3) The Commission has re-scheduled the public hearing on non-
emergency amendments proposed for comment in the Federal Register of 
January 2, 1997, (62 FR 151) and in this notice for March 18, 1997, 
beginning at 9:30 a.m. in the Thurgood Marshall Federal Judiciary 
Building, One Columbus Circle, NE, Washington, DC 20002-8002.
    A person who desires to testify at the public hearing should notify 
Michael Courlander, Public Information Specialist, at (202) 273-4590 
not later than March 3, 1997. Written testimony for the hearing must be 
received by the Commission not later than March 10, 1997. Submission of 
written testimony is a requirement for testifying at the public 
hearing.

ADDRESSES: Public comment should be sent to: United States Sentencing 
Commission, One Columbus Circle, NE, Suite 2-500, Washington, DC 20002-
8002, Attention: Public Information.

FOR FURTHER INFORMATION CONTACT: Michael Courlander, Public Information 
Specialist, Telephone: (202) 273-4590.

    Authority: 28 U.S.C. 994 (a), (o), (p), (x).
Richard P. Conaboy,
Chairman.

Emergency Amendments

Section 2D1.11  Unlawfully Distributing, Importing, Exporting or 
Possessing a Listed Chemical; Attempt or Conspiracy

    1. Synopsis of Amendment: This amendment implements section 302 of 
the Comprehensive Methamphetamine Control Act of 1996. That section 
raises the statutory maximum penalties under 21 U.S.C. 841(d) and 
960(d) from ten to twenty years' imprisonment. The Act also instructs 
the Commission to increase by at least two levels the offense levels 
for offenses involving list I chemicals under 21 U.S.C. 841(d) (1) and 
(2) and 960(d) (1) and (3). These offenses involve the possession and 
importation of listed chemicals knowing, or having reasonable cause to 
believe, the chemicals will be used to unlawfully manufacture a 
controlled substance. The Act requires that the offense levels be 
calculated proportionately on the basis of the quantity of controlled 
substance that reasonably could be manufactured in a clandestine 
setting using the quantity of list I chemical possessed, distributed, 
imported, or exported.
    The amendment raises the penalties for list I chemicals by two 
levels. The top of the Chemical Quantity Table for list I chemicals 
will now be at level 30. The offense level for list II chemicals 
remains the same. With the new statutory maximum of 20 years, the 
guidelines will now be able to better take into account aggravating 
adjustments such as those for role in the offense. Additionally, the 
increased statutory maximum will allow for higher sentences for cases 
convicted under this statute that involve the actual manufacture of a 
controlled substance.
    The amendment also makes a clerical change to correct the spelling 
of ``Isosafrole''.
    Effective Date: The Commission has specified an effective date of 
May 1, 1997, for this emergency amendment.
    Notice of Proposed Re-Promulgation as Permanent Amendment: The 
Commission also proposes to re-promulgate this amendment as a non-
emergency amendment and submit it to Congress not later than May 1, 
1997.
    Amendment: Section 2D1.11(d) is amended by deleting subsections 
(d)(1)-(9) and inserting in lieu thereof the following:

------------------------------------------------------------------------
          Listed chemicals and quantity              Base offense level 
------------------------------------------------------------------------
(1) List I Chemicals.............................  Level 30.            
    17.8 KG or more of Benzaldehyde;                                    
    20 KG or more of Benzyl Cyanide;                                    
    20 KG or more of Ephedrine;                                         
    200 G or more of Ergonovine;                                        
    400 G or more of Ergotamine;                                        
    20 KG or more of Ethylamine;                                        
    44 KG or more of Hydriodic Acid;                                    
    320 KG or more of Isosafrole;                                       
    4 KG or more of Methylamine;                                        
    500 KG or more of N-Methylephedrine;                                
    500 KG or more of N-Methylpseudoephedrine;                          
    12.6 KG or more of Nitroethane;                                     
    200 KG or more of Norpseudoephedrine;                               
    20 KG or more of Phenylacetic Acid;                                 
    200 KG or more of Phenylpropanolamine;                              
    10 KG or more of Piperidine;                                        
    320 KG or more of Piperonal;                                        
    1.6 KG or more of Propionic Anhydride;                              
    20 KG or more of Pseudoephedrine;                                   
    320 KG or more of Safrole;                                          
    400 KG or more of 3, 4-Methylenedioxyphenyl-2-                      
     propanone;                                                         
(2) List I Chemicals.............................  Level 28.            

[[Page 8489]]

                                                                        
    At least 5.3 KG but less than 17.8 KG of                            
     Benzaldehyde;                                                      
    At least 6 KG but less than 20 KG of Benzyl                         
     Cyanide;                                                           
    At least 6 KG but less than 20 KG of                                
     Ephedrine;                                                         
    At least 60 G but less than 200 G of                                
     Ergonovine;                                                        
    At least 120 G but less than 400 G of                               
     Ergotamine;                                                        
    At least 6 KG but less than 20 KG of                                
     Ethylamine;                                                        
    At least 13.2 KG but less than 44 KG of                             
     Hydriodic Acid;                                                    
    At least 96 KG but less than 320 KG of                              
     Isosafrole;                                                        
    At least 1.2 KG but less than 4 KG of                               
     Methylamine;                                                       
    At least 150 KG but less than 500 KG of N-                          
     Methylephedrine;                                                   
    At least 150 KG but less than 500 KG of N-                          
     Methylpseudoephedrine;                                             
    At least 3.8 KG but less than 12.6 KG of                            
     Nitroethane;                                                       
    At least 60 KG but less than 200 KG of                              
     Norpseudoephedrine;                                                
    At least 6 KG but less than 20 KG of                                
     Phenylacetic Acid;                                                 
    At least 60 KG but less than 200 KG of                              
     Phenylpropanolamine;                                               
    At least 3 KG but less than 10 KG of                                
     Piperidine;                                                        
    At least 96 KG but less than 320 KG of                              
     Piperonal;                                                         
    At least 480 G but less than 1.6 KG of                              
     Propionic Anhydride;                                               
    At least 6 KG but less than 20 KG of                                
     Pseudoephedrine;                                                   
    At least 96 KG but less than 320 KG of                              
     Safrole;                                                           
    At least 120 KG but less than 400 KG of 3, 4-                       
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    11 KG or more of Acetic Anhydride;                                  
    1175 KG or more of Acetone;                                         
    20 KG or more of Benzyl Chloride;                                   
    1075 KG or more of Ethyl Ether;                                     
    1200 KG or more of Methyl Ethyl Ketone;                             
    10 KG or more of Potassium Permanganate;                            
    1300 KG or more of Toluene.                                         
(3) List I Chemicals.............................  Level 26.            
    At least 1.8 KG but less than 5.3 KG of                             
     Benzaldehyde;                                                      
    At least 2 KG but less than 6 KG of Benzyl                          
     Cyanide;                                                           
    At least 2 KG but less than 6 KG of                                 
     Ephedrine;                                                         
    At least 20 G but less than 60 G of                                 
     Ergonovine;                                                        
    At least 40 G but less than 120 G of                                
     Ergotamine;                                                        
    At least 2 KG but less than 6 KG of                                 
     Ethylamine;                                                        
    At least 4.4 KG but less than 13.2 KG of                            
     Hydriodic Acid;                                                    
    At least 32 KG but less than 96 KG of                               
     Isosafrole;                                                        
    At least 400 G but less than 1.2 KG of                              
     Methylamine;                                                       
    At least 50 KG but less than 150 KG of N-                           
     Methylephedrine;                                                   
    At least 50 KG but less than 150 KG of N-                           
     Methylpseudoephedrine;                                             
    At least 1.3 KG but less than 3.8 KG of                             
     Nitroethane;                                                       
    At least 20 KG but less than 60 KG of                               
     Norpseudoephedrine;                                                
    At least 2 KG but less than 6 KG of                                 
     Phenylacetic Acid;                                                 
    At least 20 KG but less than 60 KG of                               
     Phenylpropanolamine;                                               
    At least 1 KG but less than 3 KG of                                 
     Piperidine;                                                        
    At least 32 KG but less than 96 KG of                               
     Piperonal;                                                         
    At least 160 G but less than 480 G of                               
     Propionic Anhydride;                                               
    At least 2 KG but less than 6 KG of                                 
     Pseudoephedrine;                                                   
    At least 32 KG but less than 96 KG of                               
     Safrole;                                                           
    At least 40 KG but less than 120 KG of 3, 4-                        
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 3.3 KG but less than 11 KG of Acetic                       
     Anhydride;                                                         
    At least 352.5 KG but less than 1175 KG of                          
     Acetone;                                                           
    At least 6 KG but less than 20 KG of Benzyl                         
     Chloride;                                                          
    At least 322.5 KG but less than 1075 KG of                          
     Ethyl Ether;                                                       
    At least 360 KG but less than 1200 KG of                            
     Methyl Ethyl Ketone;                                               
    At least 3 KG but less than 10 KG of                                
     Potassium Permanganate;                                            
    At least 390 KG but less than 1300 KG of                            
     Toluene.                                                           
(4) List I Chemicals.............................  Level 24.            

[[Page 8490]]

                                                                        
    At least 1.2 KG but less than 1.8 KG of                             
     Benzaldehyde;                                                      
    At least 1.4 KG but less than 2 KG of Benzyl                        
     Cyanide;                                                           
    At least 1.4 KG but less than 2 KG of                               
     Ephedrine;                                                         
    At least 14 G but less than 20 G of                                 
     Ergonovine;                                                        
    At least 28 G but less than 40 G of                                 
     Ergotamine;                                                        
    At least 1.4 KG but less than 2 KG of                               
     Ethylamine;                                                        
    At least 3.08 KG but less than 4.4 KG of                            
     Hydriodic Acid;                                                    
    At least 22.4 KG but less than 32 KG of                             
     Isosafrole;                                                        
    At least 280 G but less than 400 G of                               
     Methylamine;                                                       
    At least 35 KG but less than 50 KG of N-                            
     Methylephedrine;                                                   
    At least 35 KG but less than 50 KG of N-                            
     Methylpseudoephedrine;                                             
    At least 879 G but less than 1.3 KG of                              
     Nitroethane;                                                       
    At least 14 KG but less than 20 KG of                               
     Norpseudoephedrine;                                                
    At least 1.4 KG but less than 2 KG of                               
     Phenylacetic Acid;                                                 
    At least 14 KG but less than 20 KG of                               
     Phenylpropanolamine;                                               
    At least 700 G but less than 1 KG of                                
     Piperidine;                                                        
    At least 22.4 KG but less than 32 KG of                             
     Piperonal;                                                         
    At least 112 G but less than 160 G of                               
     Propionic Anhydride;                                               
    At least 1.4 KG but less than 2 KG of                               
     Pseudoephedrine;                                                   
    At least 22.4 KG but less than 32 KG of                             
     Safrole;                                                           
    At least 28 KG but less than 40 KG of 3, 4-                         
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 1.1 KG but less than 3.3 KG of                             
     Acetic Anhydride;                                                  
    At least 117.5 KG but less than 352.5 KG of                         
     Acetone;                                                           
    At least 2 KG but less than 6 KG of Benzyl                          
     Chloride;                                                          
    At least 107.5 KG but less than 322.5 KG of                         
     Ethyl Ether;                                                       
    At least 120 KG but less than 360 KG of                             
     Methyl Ethyl Ketone;                                               
    At least 1 KG but less than 3 KG of Potassium                       
     Permanganate;                                                      
    At least 130 KG but less than 390 KG of                             
     Toluene.                                                           
(5) List I Chemicals.............................  Level 22.            
    At least 712 G but less than 1.2 KG of                              
     Benzaldehyde;                                                      
    At least 800 G but less than 1.4 KG of Benzyl                       
     Cyanide;                                                           
    At least 800 G but less than 1.4 KG of                              
     Ephedrine;                                                         
    At least 8 G but less than 14 G of                                  
     Ergonovine;                                                        
    At least 16 G but less than 28 G of                                 
     Ergotamine;                                                        
    At least 800 G but less than 1.4 KG of                              
     Ethylamine;                                                        
    At least 1.76 KG but less than 3.08 KG of                           
     Hydriodic Acid;                                                    
    At least 12.8 KG but less than 22.4 KG of                           
     Isosafrole;                                                        
    At least 160 G but less than 280 G of                               
     Methylamine;                                                       
    At least 20 KG but less than 35 KG of N-                            
     Methylephedrine;                                                   
    At least 20 KG but less than 35 KG of N-                            
     Methylpseudoephedrine;                                             
    At least 503 G but less than 879 G of                               
     Nitroethane;                                                       
    At least 8 KG but less than 14 KG of                                
     Norpseudoephedrine;                                                
    At least 800 G but less than 1.4 KG of                              
     Phenylacetic Acid;                                                 
    At least 8 KG but less than 14 KG of                                
     Phenylpropanolamine;                                               
    At least 400 G but less than 700 G of                               
     Piperidine;                                                        
    At least 12.8 KG but less than 22.4 KG of                           
     Piperonal;                                                         
    At least 64 G but less than 112 G of                                
     Propionic Anhydride;                                               
    At least 800 G but less than 1.4 KG of                              
     Pseudoephedrine;                                                   
    At least 12.8 KG but less than 22.4 KG of                           
     Safrole;                                                           
    At least 16 KG but less than 28 KG of 3, 4-                         
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 726 G but less than 1.1 KG of Acetic                       
     Anhydride;                                                         
    At least 82.25 KG but less than 117.5 KG of                         
     Acetone;                                                           
    At least 1.4 KG but less than 2 KG of Benzyl                        
     Chloride;                                                          
    At least 75.25 KG but less than 107.5 KG of                         
     Ethyl Ether;                                                       
    At least 84 KG but less than 120 KG of Methyl                       
     Ethyl Ketone;                                                      
    At least 700 G but less than 1 KG of                                
     Potassium Permanganate;                                            
    At least 91 KG but less than 130 KG of                              
     Toluene.                                                           
(6) List I Chemicals.............................  Level 20.            

[[Page 8491]]

                                                                        
    At least 178 G but less than 712 G of                               
     Benzaldehyde;                                                      
    At least 200 G but less than 800 G of Benzyl                        
     Cyanide;                                                           
    At least 200 G but less than 800 G of                               
     Ephedrine;                                                         
    At least 2 G but less than 8 G of Ergonovine;                       
    At least 4 G but less than 16 G of                                  
     Ergotamine;                                                        
    At least 200 G but less than 800 G of                               
     Ethylamine;                                                        
    At least 440 G but less than 1.76 KG of                             
     Hydriodic Acid;                                                    
    At least 3.2 KG but less than 12.8 KG of                            
     Isosafrole;                                                        
    At least 40 G but less than 160 G of                                
     Methylamine;                                                       
    At least 5 KG but less than 20 KG of N-                             
     Methylephedrine;                                                   
    At least 5 KG but less than 20 KG of N-                             
     Methylpseudoephedrine;                                             
    At least 126 G but less than 503 G of                               
     Nitroethane;                                                       
    At least 2 KG but less than 8 KG of                                 
     Norpseudoephedrine;                                                
    At least 200 G but less than 800 G of                               
     Phenylacetic Acid;                                                 
    At least 2 KG but less than 8 KG of                                 
     Phenylpropanolamine;                                               
    At least 100 G but less than 400 G of                               
     Piperidine;                                                        
    At least 3.2 KG but less than 12.8 KG of                            
     Piperonal;                                                         
    At least 16 G but less than 64 G of Propionic                       
     Anhydride;                                                         
    At least 200 G but less than 800 G of                               
     Pseudoephedrine;                                                   
    At least 3.2 KG but less than 12.8 KG of                            
     Safrole;                                                           
    At least 4 KG but less than 16 KG of 3, 4-                          
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 440 G but less than 726 G of Acetic                        
     Anhydride;                                                         
    At least 47 KG but less than 82.25 KG of                            
     Acetone;                                                           
    At least 800 G but less than 1.4 KG of Benzyl                       
     Chloride;                                                          
    At least 43 KG but less than 75.25 KG of                            
     Ethyl Ether;                                                       
    At least 48 KG but less than 84 KG of Methyl                        
     Ethyl Ketone;                                                      
    At least 400 G but less than 700 G of                               
     Potassium Permanganate;                                            
    At least 52 KG but less than 91 KG of                               
     Toluene.                                                           
(7) List I Chemicals.............................  Level 18.            
    At least 142 G but less than 178 G of                               
     Benzaldehyde;                                                      
    At least 160 G but less than 200 G of Benzyl                        
     Cyanide;                                                           
    At least 160 G but less than 200 G of                               
     Ephedrine;                                                         
    At least 1.6 G but less than 2 G of                                 
     Ergonovine;                                                        
    At least 3.2 G but less than 4 G of                                 
     Ergotamine;                                                        
    At least 160 G but less than 200 G of                               
     Ethylamine;                                                        
    At least 352 G but less than 440 G of                               
     Hydriodic Acid;                                                    
    At least 2.56 KG but less than 3.2 KG of                            
     Isosafrole;                                                        
    At least 32 G but less than 40 G of                                 
     Methylamine;                                                       
    At least 4 KG but less than 5 KG of N-                              
     Methylephedrine;                                                   
    At least 4 KG but less than 5 KG of N-                              
     Methylpseudoephedrine;                                             
    At least 100 G but less than 126 G of                               
     Nitroethane;                                                       
    At least 1.6 KG but less than 2 KG of                               
     Norpseudoephedrine;                                                
    At least 160 G but less than 200 G of                               
     Phenylacetic Acid;                                                 
    At least 1.6 KG but less than 2 KG of                               
     Phenylpropanolamine;                                               
    At least 80 G but less than 100 G of                                
     Piperidine;                                                        
    At least 2.56 KG but less than 3.2 KG of                            
     Piperonal;                                                         
    At least 12.8 G but less than 16 G of                               
     Propionic Anhydride;                                               
    At least 160 G but less than 200 G of                               
     Pseudoephedrine;                                                   
    At least 2.56 KG but less than 3.2 KG of                            
     Safrole;                                                           
    At least 3.2 KG but less than 4 KG of 3, 4-                         
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 110 G but less than 440 G of Acetic                        
     Anhydride;                                                         
    At least 11.75 KG but less than 47 KG of                            
     Acetone;                                                           
    At least 200 G but less than 800 G of Benzyl                        
     Chloride;                                                          
    At least 10.75 KG but less than 43 KG of                            
     Ethyl Ether;                                                       
    At least 12 KG but less than 48 KG of Methyl                        
     Ethyl Ketone;                                                      
    At least 100 G but less than 400 G of                               
     Potassium Permanganate;                                            
    At least 13 KG but less than 52 KG of                               
     Toluene.                                                           
(8) List I Chemicals.............................  Level 16.            

[[Page 8492]]

                                                                        
    3.6 KG or more of Anthranilic Acid;                                 
    At least 107 G but less than 142 G of                               
     Benzaldehyde;                                                      
    At least 120 G but less than 160 G of Benzyl                        
     Cyanide;                                                           
    At least 120 G but less than 160 G of                               
     Ephedrine;                                                         
    At least 1.2 G but less than 1.6 G of                               
     Ergonovine;                                                        
    At least 2.4 G but less than 3.2 G of                               
     Ergotamine;                                                        
    At least 120 G but less than 160 G of                               
     Ethylamine;                                                        
    At least 264 G but less than 352 G of                               
     Hydriodic Acid;                                                    
    At least 1.92 KG but less than 2.56 KG of                           
     Isosafrole;                                                        
    At least 24 G but less than 32 G of                                 
     Methylamine;                                                       
    4.8 KG or more of N-Acetylanthranilic Acid;                         
    At least 3 KG but less than 4 KG of N-                              
     Methylephedrine;                                                   
    At least 3 KG but less than 4 KG of N-                              
     Methylpseudoephedrine;                                             
    At least 75 G but less than 100 G of                                
     Nitroethane;                                                       
    At least 1.2 KG but less than 1.6 KG of                             
     Norpseudoephedrine;                                                
    At least 120 G but less than 160 G of                               
     Phenylacetic Acid;                                                 
    At least 1.2 KG but less than 1.6 KG of                             
     Phenylpropanolamine;                                               
    At least 60 G but less than 80 G of                                 
     Piperidine;                                                        
    At least 1.92 KG but less than 2.56 KG of                           
     Piperonal;                                                         
    At least 9.6 G but less than 12.8 G of                              
     Propionic Anhydride;                                               
    At least 120 G but less than 160 G of                               
     Pseudoephedrine;                                                   
    At least 1.92 KG but less than 2.56 KG of                           
     Safrole;                                                           
    At least 2.4 KG but less than 3.2 KG of 3, 4-                       
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 88 G but less than 110 G of Acetic                         
     Anhydride;                                                         
    At least 9.4 KG but less than 11.75 KG of                           
     Acetone;                                                           
    At least 160 G but less than 200 G of Benzyl                        
     Chloride;                                                          
    At least 8.6 KG but less than 10.75 KG of                           
     Ethyl Ether;                                                       
    At least 9.6 KG but less than 12 KG of Methyl                       
     Ethyl Ketone;                                                      
    At least 80 G but less than 100 G of                                
     Potassium Permanganate;                                            
    At least 10.4 KG but less than 13 KG of                             
     Toluene.                                                           
(9) List I Chemicals.............................  Level 14.            
    At least 2.7 KG but less than 3.6 KG of                             
     Anthranilic Acid;                                                  
    At least 71.2 G but less than 107 G of                              
     Benzaldehyde;                                                      
    At least 80 G but less than 120 G of Benzyl                         
     Cyanide;                                                           
    At least 80 G but less than 120 G of                                
     Ephedrine;                                                         
    At least 800 MG but less than 1.2 G of                              
     Ergonovine;                                                        
    At least 1.6 G but less than 2.4 G of                               
     Ergotamine;                                                        
    At least 80 G but less than 120 G of                                
     Ethylamine;                                                        
    At least 176 G but less than 264 G of                               
     Hydriodic Acid;                                                    
    At least 1.44 G but less than 1.92 KG of                            
     Isosafrole;                                                        
    At least 16 G but less than 24 G of                                 
     Methylamine;                                                       
    At least 3.6 KG but less than 4.8 KG of N-                          
     Acetylanthranilic Acid;                                            
    At least 2.25 KG but less than 3 KG of N-                           
     Methylephedrine;                                                   
    At least 2.25 KG but less than 3 KG of N-                           
     Methylpseudoephedrine;                                             
    At least 56.25 G but less than 75 G of                              
     Nitroethane;                                                       
    At least 800 G but less than 1.2 KG of                              
     Norpseudoephedrine;                                                
    At least 80 G but less than 120 G of                                
     Phenylacetic Acid;                                                 
    At least 800 G but less than 1.2 KG of                              
     Phenylpropanolamine;                                               
    At least 40 G but less than 60 G of                                 
     Piperidine;                                                        
    At least 1.44 KG but less than 1.92 KG of                           
     Piperonal;                                                         
    At least 7.2 G but less than 9.6 G of                               
     Propionic Anhydride;                                               
    At least 80 G but less than 120 G of                                
     Pseudoephedrine;                                                   
    At least 1.44 G but less than 1.92 KG of                            
     Safrole;                                                           
    At least 1.8 KG but less than 2.4 KG of 3, 4-                       
     Methylenedioxyphenyl-2-propanone;                                  
List II Chemicals                                                       
    At least 66 G but less than 88 G of Acetic                          
     Anhydride;                                                         
    At least 7.05 KG but less than 9.4 KG of                            
     Acetone;                                                           
    At least 120 G but less than 160 G of Benzyl                        
     Chloride;                                                          
    At least 6.45 KG but less than 8.6 KG of                            
     Ethyl Ether;                                                       
    At least 7.2 KG but less than 9.6 KG of                             
     Methyl Ethyl Ketone;                                               
    At least 60 G but less than 80 G of Potassium                       
     Permanganate;                                                      
    At least 7.8 KG but less than 10.4 KG of                            
     Toluene.                                                           
(10) List I Chemicals............................  Level 12.            

[[Page 8493]]

                                                                        
    Less than 2.7 KG of Anthranilic Acid;                               
    Less than 71.2 G of Benzaldehyde                                    
    Less than 80 G of Benzyl Cyanide;                                   
    Less than 80 G of Ephedrine;                                        
    Less than 800 MG of Ergonovine;                                     
    Less than 1.6 G of Ergotamine;                                      
    Less than 80 G of Ethylamine;                                       
    Less than 176 G of Hydriodic Acid;                                  
    Less than 1.44 G of Isosafrole;                                     
    Less than 16 G of Methylamine;                                      
    Less than 3.6 KG of N-Acetylanthranilic Acid;                       
    Less than 2.25 KG of N-Methylephedrine;                             
    Less than 2.25 KG of N-Methylpseudoephedrine;                       
    Less than 56.25 G of Nitroethane;                                   
    Less than 800 G of Norpseudoephedrine;                              
    Less than 80 G of Phenylacetic Acid;                                
    Less than 800 G of Phenylpropanolamine;                             
    Less than 40 G of Piperidine;                                       
    Less than 1.44 KG of Piperonal;                                     
    Less than 7.2 G of Propionic Anhydride;                             
    Less than 80 G of Pseudoephedrine;                                  
    Less than 1.44 G of Safrole;                                        
    Less than 1.8 KG of 3, 4-Methylenedioxyphenyl-                      
     2-propanone;                                                       
List II Chemicals                                                       
    Less than 66 G of Acetic Anhydride;                                 
    Less than 7.05 KG of Acetone;                                       
    Less than 120 G of Benzyl Chloride;                                 
    Less than 6.45 KG of Ethyl Ether;                                   
    Less than 7.2 KG of Methyl Ethyl Ketone;                            
    Less than 60 G of Potassium Permanganate;                           
    Less than 7.8 KG of Toluene.''.                                     
------------------------------------------------------------------------

    Section 2D1.11 is amended in Note ``E'' (List I Chemical 
Equivalency Table) of the guideline by deleting ``Isoafrole'' and 
inserting in lieu thereof ``Isosafrole''.
    The Commentary to Sec. 2D1.11 captioned ``Application Notes'' is 
amended in Note 4(a) by deleting ``three kilograms'' and inserting in 
lieu thereof ``300 grams''; by deleting ``24'' each time it appears and 
inserting in lieu thereof ``26''; and by deleting ``14'' and inserting 
in lieu thereof ``16''.

``Emergency'' Amendments on Alien Smuggling, Immigration Document 
Fraud, and Involuntary Servitude

    2. In its previous Notice of Proposed Amendments, see 62 FR 151 
(January 2, 1997), the Commission gave notice of an intent to 
promulgate as temporary, ``emergency'' amendments certain proposals 
relating to Alien Smuggling (Sec. 2L1.1), Immigration Document Fraud 
(Sec. 2L2.1 and 2L2.2), and Involuntary Servitude (Sec. 2H4.1). The 
Commission considered these amendments at its February 12, 1997, 
meeting but deferred action on them until its March 19, 1997 meeting. 
At that meeting, the Commission intends to further consider these 
proposals and may promulgate some version of them as temporary, 
``emergency'' amendments. If the Commission so acts, it may also 
propose to re-promulgate these proposals as non-emergency amendments to 
be submitted to Congress by May 1, 1997. These proposals should be 
considered in light of that likely course of action.

Non-Emergency Amendments

Immigration

    3. Synopsis of Proposed Amendment: The proposed amendment 
implements sections 321 and 334 of the Illegal Immigration and 
Immigrant Responsibility Act of 1996 (``the Act''). Section 321 of the 
Act amends the definition of ``aggravated felony'' in the Immigration 
and Nationality Act in several different ways including adding to the 
definition the crimes of rape and sexual abuse of a minor as well as 
any crime of violence for which the term of imprisonment is at least 
one year. This proposed amendment makes the definition of ``aggravated 
felony'' in the guidelines coextensive with the amended definition in 
the Immigration and Nationality Act.
    Section 334 directs the Sentencing Commission to promulgate 
amendments to the sentencing guidelines for offenses for the crimes of 
unlawfully remaining and illegally entering the United States 
corresponding to changes made in statutory penalties for these offenses 
in the Violent Crime Control and Law Enforcement Act of 1994. This 
proposed amendment provides for enhanced penalties for those who 
unlawfully enter or remain in the United States following conviction 
for an aggravated felony, any other felony, or three misdemeanor crimes 
of violence or controlled substance offenses. The proposed amendment 
also makes clarifying changes to the commentary.
    Proposed Amendment: Section 2L1.2 is amended by deleting subsection 
(b) and inserting in lieu thereof the following:
    ``(b) Specific Offense Characteristics:
    If the defendant previously was deported after a criminal 
conviction, or if the defendant unlawfully remained in the United 
States following a removal order issued after a criminal conviction, 
increase as follows (if more than one applies, use the greater):
    (1) If the conviction was for a crime of violence or controlled 
substance offense[, and such conviction was punishable by more than 
five years imprisonment], increase by 16 levels.
    (2) If the conviction was for any other aggravated felony, increase 
by [10, 12] levels.
    (3) If the conviction was for (A) any other felony, [other than a 
felony involving violation of the immigration laws], or (B) three or 
more misdemeanors that were either crimes of

[[Page 8494]]

violence or controlled substance offenses, increase by 4 levels.''.
    The Commentary to Sec. 2L1.2 captioned ``Application Notes'' is 
amended by deleting Notes 3 and 4 in their entirety; by renumbering 
Notes 1 and 2 as Notes 2 and 3 and by inserting the following as a new 
Note 1:
    ``1. For purposes of this guideline--`Deported after a conviction,' 
means that the deportation was subsequent to the conviction, whether or 
not the deportation was in response to such conviction. An alien has 
previously been `deported' if he or she has been removed or has 
departed the United States while an order of exclusion, deportation, or 
removal was outstanding. `Remains in the United States following a 
removal order issued after a conviction,' means that the removal order 
was subsequent to the conviction, whether or not the removal order was 
in response to such conviction. `Aggravated felony,' is defined at 8 
U.S.C. 1101(a)(43) [without regard to the date of conviction of the 
aggravated felony]. `Crime of violence,' and `controlled substance 
offense' are defined in Sec. 4B1.2. [`Punishable by more than five 
years imprisonment,' as used in subsection (b)(1) means that the 
aggravated felony offense of conviction had a maximum term of 
imprisonment exceeding five years.] For purposes of subsection (b)(3), 
`crime of violence' includes offenses punishable by imprisonment for a 
term of one year or less.''.
    The Commentary to Sec. 2L1.2 captioned ``Application Notes'' is 
amended in Note 5 by deleting ``(b)(1) or (b)(2)'' and inserting in 
lieu thereof ``(b)''; and by redesignating Note 5 as Note 4.''.
    The Commentary to Sec. 2L1.2 captioned ``Application Notes'' is 
amended by deleting Notes 6 and 7 in their entirety.
    4. Synopsis of Proposed Amendment: The proposed amendment 
implements sections 108 and 216 of the Illegal Immigration and 
Immigrant Responsibility Act of 1996 (``the Act''). Section 108 creates 
a new crime, at 18 U.S.C. 758, for fleeing or evading a law enforcement 
checkpoint at high speed. This proposed amendment changes Appendix A to 
reference the new offense to Sec. 2A2.4. Section 216 of the Act creates 
a new crime, at 18 U.S.C. 611, for voting by any alien in a federal 
election. This proposed amendment changes Appendix A to reference the 
new offense to Sec. 2H2.1.
    Appendix A is amended by inserting the following at the appropriate 
place by title and section:
    ``18 U.S.C. Sec. 611 2H2.1'',
    ``18 U.S.C. Sec. 758 2A2.4''.

Reckless Endangerment During Flight

    5. Synopsis of Proposed Amendment: The proposed amendment provides 
a minimum offense level of either 18, 19, or 20 for any offense where 
the defendant recklessly created a substantial risk of death or bodily 
injury to another person in the course of fleeing from a law 
enforcement officer. This proposed amendment was requested by the 
Department of Justice and is consistent with the approach taken by the 
Commission in the proposed amendment to the alien smuggling guideline, 
published in the Federal Register on January 2, 1997. That amendment 
provides minimum offense levels when a defendant creates a substantial 
risk of death or bodily injury in the course of an alien smuggling 
offense.
    Section 3C1.2 is amended by inserting after the ``2 levels'' the 
following:
    ``, but if the resulting offense level is less than level [18-20], 
increase to level [18-20]'' following ``2 levels''.
    6(A). Synopsis of Proposed Amendment: This amendment addresses 
several new offenses, including the offense of interstate stalking, 18 
U.S.C. 2261A, which was recently enacted in section 1069 of the Defense 
Authorization Act for Fiscal Year 1997. That offense makes it unlawful 
to travel across a State line or within Federal jurisdiction with the 
intent to injure or harass another person and, in the course of such 
travel, to place that person in reasonable fear of death or serious 
bodily injury to that person or that person's immediate family. The 
maximum term of imprisonment for violation of the statute is (A) 5 
years, (B) 10 years, if serious bodily injury occurred or a dangerous 
weapon was used, (C) 20 years, if permanent disfigurement or life 
threatening bodily injury occurred, or (D) any term of years or life, 
if the victim dies.
    Two options are presented. Option One references the new offense in 
the Statutory Index to various Chapter Two offense guidelines that the 
Commission has concluded will most likely cover the underlying conduct 
embodied in the federal stalking offense, including minor assault, 
aggravated assault, rape, and murder. This approach is consistent with 
the approach the Commission adopted two years ago with respect to the 
federal domestic violence offenses, 18 U.S.C. 2261-62.
    In addition, the minor assault guideline, Sec. 2A2.3, is amended in 
several respects by Option One to provide a more appropriate and 
sufficiently severe offense level for offenses sentenced under that 
guideline. First, the amendment proposes to increase the base offense 
level to [9], if bodily injury occurred or if a dangerous weapon was 
possessed and its use was threatened, or [6], otherwise. Second, the 
amendment provides an enhancement if the offense involved stalking. 
Third, the amendment adds a cross reference to the aggravated assault 
guideline, Sec. 2A2.2, if the conduct involved aggravated assault.
    In order to most efficiently provide the same increase in offense 
level for the minor assault guideline that deals with obstructing or 
impeding an officer, Sec. 2A2.4, Option One consolidates that guideline 
with the minor assault guideline, Sec. 2A2.3.
    Option One also incorporates repetitive stalking conduct and the 
violation of a court protection order into the threatening 
communications guideline, Sec. 2A6.1. It expressly provides for the 
grouping of multiple counts involving the same victim (in order to 
avoid double counting with the multiple act enhancement). A cross 
reference is provided in that guideline to apply the Chapter Two 
offense guideline most appropriate to the underlying conduct, if the 
resulting offense level is greater.
    Option Two refers the new offense only to the threatening 
communications guideline, Sec. 2A6.1, and reworks that guideline to 
better take into account the variety of offenses covered by the 
expanded guideline. Option Two provides an enhancement for the 
commission of repetitive acts of stalking and threatening communication 
and for the violation of a court protection order. It expressly 
provides for the grouping of multiple counts involving such conduct 
with respect to the same victim (in order to avoid double counting with 
the multiple act enhancement and to address a recurring case law and 
hotline issue). It also provides for a cross reference to other Chapter 
Two offense guidelines covering crimes against the person, if the 
resulting offense level is higher. The cross reference is provided to 
cover circumstances in which offenses covered by the guideline, 
particularly stalking, involve underlying crimes of violence.
    Option Two also adds an enhancement to the minor and aggravated 
assault guidelines if the offense involved the violation of a court 
protection order. This change is proposed in order to better ensure an 
adequate offense level for offenses, particularly domestic violence 
offenses under 18 U.S.C. 2261, 2262, in which such conduct is often a 
factor. In addition, Option Two references offenses under 18 U.S.C. 
2262 to the

[[Page 8495]]

threatening communications guideline (to cover cases involving 
repetitive harassment in violation of a protection order) and 
incorporates the definition of ``bodily injury'' statutorily applicable 
to such cases.
    Both options also address several new harassing telecommunications 
offenses, 47 U.S.C. 223(a)(1)(C)-(E), which were enacted in section 502 
of the Telecommunications Act of 1996. The new offenses, which carry a 
maximum term of imprisonment of two years, make it unlawful to:
    (C) Make a telephone call or utilize a telecommunications device, 
whether or not conversation or communication ensues, without disclosing 
one's identity and with intent to annoy, abuse, threaten, or harass any 
person at the called number or who receives the communication;
    (D) Make or cause the telephone of another repeatedly or 
continuously to ring, with intent to harass any person at the called 
number; or
    (E) Make repeated telephone calls or repeatedly initiate 
communication with a telecommunications device, during which 
conversation or communication ensues, solely to harass any person at 
the called number or who receives the communication.
    Both options reference the new telecommunications offenses to the 
threatening communications guideline and amend that guideline to 
provide a lower offense level if the offense involved only harassment 
unaccompanied by a threat or stalking.
    Both options also address a circuit conflict regarding the 
enhancement in the threatening communication guideline that provides 
for a 6-level increase if the offense involved any conduct evidencing 
an intent to carry out a threat. Specifically, the conflict is whether 
or not conduct which occurred prior to the making of a threat can 
evidence an intent to carry out the threat. Compare United States v. 
Hornick, 942 F.2d 105 (2d Cir. 1991) (``a person cannot take action 
that will constitute proof of his intent to carry out a threat until 
after the threat has been made'') with United States v. Gary, 18 F.3d 
1123 (4th Cir. 1994) (``any acts that evidence an intent to carry out 
the threats on which a conviction is predicated, whether committed 
prior to or following such threats, may form the basis of the 
Sec. 2A6.1(b)(1) adjustment''); United States v. Sullivan, 75 F.3d 297 
(7th Cir. 1996); United States v. Hines, 26 F.3d 1469 (9th Cir. 1994); 
United States v. Taylor, 88 F.3d 938 (11th Cir. 1996) (``the essential 
inquiry for Sec. 2A6.1(b)(1) is whether the facts of the case, taken as 
a whole, establish a sufficiently direct connection between the 
defendant's pre-threat conduct and his threat''). Both options 
essentially adopt the Eleventh Circuit's view by adding an application 
note to provide that conduct other than the offense of conviction and 
relevant conduct under Sec. 1B1.3 may be considered in determining the 
application of the guideline's enhancements if there is a sufficient, 
direct connection between that other conduct and the offense of 
conviction.
    Proposed Amendment: Option One: Section 2A2.3 is amended in the 
title by inserting ``; Obstructing or Impeding Officers'' after ``Minor 
Assault''.
    Section 2A2.3(a)(1) is amended by deleting ``6'' and inserting in 
lieu thereof ``[9]''; and by deleting ``physical contact'' and 
inserting in lieu thereof ``bodily injury''.
    Section 2A2.3(a)(2) is amended by deleting ``3'' and inserting in 
lieu thereof ``[6]''.
    Section 2A2.3(b) is amended by deleting ``Characteristic'' and 
inserting in lieu thereof ``Characteristics''; and by adding at the end 
the following:
    ``(2) If the offense involved (A) [two or more] instances of 
stalking, or (B) violation of a court protection order, increase by 
[2,3] levels.
    (3) If the offense involved obstructing or impeding a governmental 
officer in the performance of his duties, increase by 3 levels.
    (c) Cross Reference.
    (1) If the offense involved aggravated assault, apply Sec. 2A2.2 
(Aggravated Assault).''.
    The Commentary to Sec. 2A2.3 captioned ``Application Notes'' is 
amended in Note 1 by inserting ``For purposes of this guideline--'' 
before `` `Minor Assault' ''.
    The Commentary to Sec. 2A2.3 captioned ``Application Notes'' is 
amended in Note 2 by deleting ``2.''.
    The Commentary to Sec. 2A2.3 captioned ``Application Notes'' is 
amended in Note 3 by adding at the end the following new paragraph:
    `` `Stalking' means traveling with the intent to injure or harass 
another person and, in the course of, or as a result, of such travel, 
placing the person in reasonable fear of death or serious bodily injury 
to the person or the person's immediate family. See 18 U.S.C. 2261A. 
`Immediate family' has the meaning set forth in 18 U.S.C. 115(c)(2).''.
    The Commentary to Sec. 2A2.3 captioned ``Application Notes'' is 
amended in Note 3 by deleting ``3.''; by deleting `` 'bodily'' and 
inserting in lieu thereof ``bodily''; and by deleting ``faculty.' '' 
and inserting in lieu thereof ``faculty. See''.
    The Commentary to Sec. 2A2.3 captioned ``Application Notes'' is 
amended by adding at the end the following new notes:
    ``3. Subsection (b)(3) reflects the fact that the victim was a 
governmental officer performing official duties. If subsection (b)(3) 
applies, do not apply Sec. 3A1.2 (Official Victim) unless the offense 
level is determined by use of the cross reference in subsection (c).
    4. The offense level under this guideline does not assume any 
significant disruption of governmental functions. In situations 
involving such disruption, an upward departure may be warranted. See 
Sec. 5K2.7 (Disruption of Governmental Functions).''.
    Chapter Two, Part A, Subpart 6 is amended in the title by inserting 
``or Harassing'' after ``Threatening''.
    Section 2A6.1 is deleted in its entirety and the following inserted 
in lieu thereof:
    ``Sec. 2A6.1. Threatening or Harassing Communications.
    (a) Base Offense Level: [12].
    (b) Specific Offense Characteristics.
    (1) If the offense involved any conduct evidencing an intent to 
cause bodily injury or to carry out a threat, increase by [6] levels.
    (2) If the defendant[, or another person for whose conduct the 
defendant is accountable under Sec. 1B1.3 (Relevant Conduct),] 
committed [two or more] instances of stalking, or making a threatening 
communication to, the same victim, (or a combination of [two or more] 
instances of stalking, and making a threatening communication to, the 
same victim), increase by [2] levels.
    (3) If the defendant[, or another person for whose conduct the 
defendant is accountable under Sec. 1B1.3 (Relevant Conduct),] violated 
a court protection order, increase by [2] levels.
    (4) If subdivisions (1), (2), and (3) do not apply, and the offense 
involved (A) a single instance evidencing little or no deliberation, or 
(B) harassing communication that did not involve a threat or stalking, 
decrease by [4] levels.
    (c) Cross Reference.
    (1) If the offense involved conduct covered by another offense 
guideline from Chapter Two, Part A (Offenses Against the Person), apply 
that offense guideline, if the resulting offense level is greater than 
that determined above.
Commentary
    Statutory Provisions: 18 U.S.C. 871, 876, 877, 878(a), 879; 47 
U.S.C. 223(a)(1)(C)-(E). For additional statutory provision(s), see 
Appendix A (Statutory Index).

[[Page 8496]]

    Application Notes:
    1. For purposes of this guideline--
    ``Stalking'' means traveling with the intent to injure or harass 
another person and, in the course of, or as a result of, such travel, 
placing the person in reasonable fear of death or serious bodily injury 
to the person or the person's immediate family. ``Immediate family'' 
has the meaning set forth in 18 U.S.C. 115(c)(2).
    2. In determining whether subsections (b)(1), (b)(2), and (b)(3) 
apply, the court shall consider any conduct that occurred prior to or 
during the offense; however, conduct that occurred prior to the offense 
must be sufficiently, directly connected to the offense, under the 
facts of the case taken as a whole. For example, if a defendant engaged 
in several acts of mailing threatening letters to the same victim over 
a period of years, then for purposes of determining whether or not 
subsections (b)(1), (b)(2), and (b)(3) apply, the court shall consider 
each prior act of mailing threatening letters to the victim, and the 
conduct surrounding that act, but only if there is a sufficient, direct 
connection between the prior act and the offense.
    For purposes of Chapter Three, Part D (Multiple Counts), multiple 
counts involving making a threatening or harassing communication to the 
same victim are grouped together under Sec. 3D1.2 (Groups of Closely 
Related Counts). Multiple counts involving different victims are not to 
be grouped under Sec. 3D1.2.
    If the defendant was convicted of (A) [numerous][more than two] 
counts of making a threatening or harassing communication to the same 
victim, or (B) only one such count but the court determines that the 
offense involved [numerous][more than two] acts of making a threatening 
or harassing communication to the same victim, an upward departure may 
be warranted.
    3. Prior convictions resulting in an enhancement under subsection 
(b)(2) or (b)(3) are also counted for purposes of determining criminal 
history points pursuant to Chapter Four, Part A (Criminal History).
    4. The Commission recognizes that this offense includes a 
particularly wide range of conduct and that it is not possible to 
include all of the potentially relevant circumstances in the offense 
level. Factors not incorporated in the guideline may be considered by 
the court in determining whether a departure from the guidelines is 
warranted. See Chapter Five, Part K (Departures).
    Background: ``These statutes cover a wide range of conduct, 
including harassing but nonthreatening phone calls and threats to a 
government official. Because of the wide range of conduct covered by 
these statutes, the appropriate offense level under this guideline 
largely depends upon the defendant's intent, the likelihood that the 
defendant would carry out a threat or injure the victim, and whether or 
not stalking or the violation of a court protection order was involved. 
The specific offense characteristics are intended to distinguish such 
cases.''.
    Appendix A (Statutory Index) is amended by inserting the following 
at the appropriate place by title and section:
    ``18 U.S.C. Sec. 2261A  2A1.1, 2A1.2, 2A1.3, 2A1.4, 2A2.1, 2A2.2, 
2A2.3, 2A4.1, 2B1.3, 2B3.2, 2K1.4.''.
    Option Two: Section 2A2.2(b) is amended by adding at the end the 
following:
    ``(5) If the offense involved the violation of a court protection 
order, increase by [2] levels.''.
    Section 2A2.3(b) is amended by deleting ``Characteristic'' and 
inserting in lieu thereof ``Characteristics''; and by adding at the end 
the following:
    ``(2) If the offense involved the violation of a court protection 
order, increase by [2] levels.''.
    Chapter Two, Part A, Subpart 6 is amended in the title by deleting 
``Threatening Communications'' and inserting in lieu thereof 
``Threatening or Harassing Communications and Stalking''.
    Section 2A6.1 is deleted in its entirety and the following inserted 
in lieu thereof:
    ``Sec. 2A6.1. Threatening or Harassing Communications; Stalking.
    (a) Base Offense Level: [12].
    (b) Specific Offense Characteristics.
    (1) If the defendant[, or another person for whose conduct the 
defendant is accountable under Sec. 1B1.3 (Relevant Conduct),] 
committed [two or more] instances of stalking, or making a threatening 
communication to, the same victim, (or a combination of [two or more] 
instances of stalking, and making a threatening communication to, the 
same victim), increase by [2] levels.
    (2) If the defendant[, or another person for whose conduct the 
defendant is accountable under Sec. 1B1.3 (Relevant Conduct),] violated 
a court protection order, increase by [2] levels.
    (3) If the defendant[, or another person for whose conduct the 
defendant is accountable under Sec. 1B1.3 (Relevant Conduct),] engaged 
in any conduct evidencing an intent to carry out the threat made in a 
threatening communication or to cause bodily injury, increase by [6] 
levels.
    (4) If subdivisions (1), (2), and (3) do not apply, and the offense 
involved (A) a single instance evidencing little or no deliberation, or 
(B) only harassing communication that did not involve a threatening 
communication or stalking, decrease by [4-8] levels.
    (c) Cross Reference.
    (1) If the offense involved conduct covered by another offense 
guideline from Chapter Two, Part A (Offenses Against the Person), apply 
that offense guideline, if the resulting offense level is greater than 
that determined above.
Commentary
    Statutory Provisions: 18 U.S.C. 871, 876, 877, 878(a), 879, 2261A; 
47 U.S.C. 223(a)(1)(C)-(E). For additional statutory provision(s), see 
Appendix A (Statutory Index).
    Application Notes:
    1. For purposes of this guideline--
    ``Bodily injury'' means any act, except one done in self defense, 
that results in physical injury or sexual abuse. See 18 U.S.C. 2266.
    ``Stalking'' means traveling with the intent to injure or harass 
another person and, in the course of, or as a result of, such travel, 
placing the person in reasonable fear of death or serious bodily injury 
to the person or the person's immediate family. See 18 U.S.C. 2261A. 
``Immediate family'' has the meaning set forth in 18 U.S.C. 115(c)(2).
    2. In determining whether subsections (b)(1), (b)(2), and (b)(3) 
apply, the court shall consider any conduct that occurred prior to or 
during the offense; however, conduct that occurred prior to the offense 
must be sufficiently, directly connected to the offense, under the 
facts of the case taken as a whole. For example, if a defendant engaged 
in several acts of stalking the same victim over a period of years, 
then for purposes of determining whether or not subsections (b)(1), 
(b)(2) and (b)(3) apply, the court shall consider each prior act of 
stalking the victim, and the conduct surrounding that act, but only if 
there is a sufficient, direct connection between the prior act and the 
offense.
    For purposes of Chapter Three, Part D (Multiple Counts), multiple 
counts involving stalking of, or threatening or harassing communication 
to, the same victim are grouped together under Sec. 3D1.2 (Groups of 
Closely Related Counts). Multiple counts involving different victims 
are not to be grouped under Sec. 3D1.2.
    If the defendant was convicted of (A) [numerous][more than two] 
counts of stalking or of threatening or harassing communications, or 
(B) only one such count but the court determines that the

[[Page 8497]]

offense involved [numerous][more than two] acts of stalking or 
threatening or harassing communications, an upward departure may be 
warranted.
    3. Prior convictions resulting in an enhancement under subsection 
(b)(1) or (b)(2) are also counted for purposes of determining criminal 
history points pursuant to Chapter Four, Part A (Criminal History).
    4. The Commission recognizes that this offense includes a 
particularly wide range of conduct and that it is not possible to 
include all of the potentially relevant circumstances in the offense 
level. Factors not incorporated in the guideline may be considered by 
the court in determining whether a departure from the guidelines is 
warranted. See Chapter Five, Part K (Departures).
    Background: These statutes cover a wide range of conduct, including 
harassing but nonthreatening phone calls, threats to a government 
official, and repeated acts of stalking with intent to injure the 
victim. Because of the wide range of conduct covered by these statutes, 
the appropriate offense level under this guideline largely depends upon 
the defendant's intent, the likelihood that the defendant would carry 
out a threat or injure the victim, and whether or not the conduct is 
repetitive. The specific offense characteristics are intended to 
distinguish such cases.''.
    Appendix A (Statutory Index) is amended in the item referenced to 
18 U.S.C. 2262 by inserting ``2A6.1,'' after ``2A4.1,''; and by 
inserting the following at the appropriate place by title and section:
    ``18 U.S.C. 2261A  2A6.1
    47 U.S.C. 223(a)(1)(C)-(E)   2A6.1''.
    (B). Issues for Comment: The Commission requests comment on 
alternative ways to address the new federal stalking offense at 18 
U.S.C. 2261A. For example, instead of incorporating the stalking 
offense into the threatening communications guideline (Sec. 2A6.1), as 
proposed above, should the Commission reference the stalking offense to 
the assault guidelines? If so, what changes, if any, are appropriate to 
make to the assault guidelines to adequately cover the stalking 
offense?
    Currently, counts of conviction of offenses covered by Sec. 2A6.1 
are excluded from the application of Sec. 3D1.2(d) but may be groupable 
under Sec. 3D1.2(b). The Second and Eleventh Circuits, however, have 
held that such counts of conviction are not groupable under 
Sec. 3D1.2(b) because the conduct covered by such counts inflicts 
distinct psychological harms upon the victim. See United States v. 
Miller, 993 F.2d 16 (2d Cir. 1993); United States v. Bonner, 85 F.3d 
522 (11th Cir. 1996). The amendment proposed above adds an enhancement 
in subsection (b) for multiple incidents and expressly provides for 
grouping under Sec. 3D1.2. The Commission requests comment on how 
multiple instances of stalking, threatening, or harassing the same 
victim should be treated under the guidelines.
    The Commission also requests comment on whether, in determining the 
offense level under this guideline, the court should be able to take 
into account certain prior conduct ordinarily not considered to be part 
of the offense. Currently, there is a circuit conflict on whether or 
not conduct which occurred prior to the making of a threat can evidence 
an intent to carry out the threat for purposes of this guideline. 
Compare United States v. Hornick, 942 F.2d 105 (2d Cir. 1991) (``a 
person cannot take action that will constitute proof of his intent to 
carry out a threat until after the threat has been made'') with United 
States v. Gary, 18 F.3d 1123 (4th Cir. 1994) (``any acts that evidence 
an intent to carry out the threats on which a conviction is predicated, 
whether committed prior to or following such threats, may form the 
basis of the Sec. 2A6.1(b) (1) adjustment''); United States v. 
Sullivan, 75 F.3d 297 (7th Cir. 1996); United States v. Hines, 26 F.3d 
1469 (9th Cir. 1994); United States v. Taylor, 88 F.3d 938 (11th Cir. 
1996) (``the essential inquiry for Sec. 2A6.1(b)(1) is whether the 
facts of the case, taken as a whole, establish a sufficiently direct 
connection between the defendant's pre-threat conduct and his 
threat''). The amendment proposed above adds an application note to 
provide that conduct occurring prior to the offense is to be considered 
in determining the application of the guideline's enhancements if there 
is a sufficient, direct connection between that prior conduct and the 
offense.
    The Commission further requests comment on whether the definition 
of aggravated assault in the commentary to Sec. 2A2.2 should be amended 
to eliminate the requirement that intent to do bodily injury be present 
in an assault involving a dangerous weapon in order for that assault to 
be considered ``aggravated'', rather than ``minor'', under the 
guidelines.

Chapter Two, Parts B and F

    7. Synopsis of Proposed Amendment: This amendment adds Commentary 
to Secs. 2B1.1 (Larceny, Embezzlement, and Other Forms of Theft; 
Receiving, Transporting, Transferring, Transmitting, or Possessing 
Stolen Property); 2B1.3 (Property Damage or Destruction); 2B2.3 
(Trespass); 2B3.2 (Extortion by Force or Threat of Injury or Serious 
Damage); and 2F1.1 (Fraud and Deceit; Forgery; Offenses Involving 
Altered or Counterfeit Instruments Other than Counterfeit Bearer 
Obligations of the United States). Specific offense characteristics are 
added to Secs. 2B1.1 and 2B2.3. Also, special instructions are added to 
Secs. 2B1.3 and 2F1.1.
    This amendment also addresses several new statutes including: 18 
U.S.C. 1030(a)(7), which prohibits extortion by threats to damage or 
impair a non-public government computer or a computer of a financial 
institution (18 U.S.C. 1030(e)(2) (A) or (B)); 18 U.S.C. 1831, which 
prohibits ``economic espionage''; and 18 U.S.C. 1832, which prohibits 
theft of ``trade secrets'' as broadly defined at 18 U.S.C. 1839. 
Offenses under 18 U.S.C. 1030(a)(7) are referenced to the extortion 
guideline 2B3.2; offenses under 18 U.S.C. 1031 and 1832 are referenced 
to Sec. 2B1.1 (Larceny, Embezzlement, and Other Forms of Theft).
    A specific offense characteristic has been added to Sec. 2B1.1 to 
increase offense levels for those defendants who misappropriate a trade 
secret with the knowledge that the information will benefit a foreign 
government. This behavior is ``economic espionage'' as proscribed by 18 
U.S.C. 1831. Congress set a maximum sentence of 15 years for those 
convicted of ``economic espionage''. A maximum sentence of ten years 
was set forth for those convicted of ``theft of trade secrets''. The 
proposed 2-level increase for ``economic espionage'' is in recognition 
of Congress'' assessment that providing a victim's trade secrets to 
foreign interests is a more serious offense than providing that 
victim's trade secrets to a domestic competitor.
    A specific offense characteristic has been added to Sec. 2B2.3 
which will increase the offense levels for those who trespass in a non-
public database to the extent that the trespass creates financial loss 
as measured by the table in Sec. 2B1.1.
    Special instructions have been added to Secs. 2B1.3 and 2F1.1 to 
the effect that the minimum guideline sentence for those convicted 
under 18 U.S.C. 1030(a) (4) and (5) is six months'' imprisonment. This 
has been done pursuant to Congress'' direction in the Antiterrorism and 
Effective Death Penalty Act of 1996.
    Salient among the commentary changes is an addition to Sec. 2B1.1, 
Application Note 2, which expands the definition of ``loss'' for 
unlawfully

[[Page 8498]]

accessing, or exceeding authorized access to, a ``protected computer'' 
as defined in 18 U.S.C. 1030(e)(2) (A) or (B). ``Loss'' in that context 
will now include ``the reasonable cost to the victim of conducting a 
damage assessment, restoring the system and data to their condition 
prior to the offense, and any lost revenue or costs incurred due to 
interruption of service.'' Upward departures are invited in Sec. 2B1.1, 
Application Notes 15 and 16, where unauthorized access to a computer 
invades a substantial privacy interest or is in furtherance of a 
``broader criminal purpose''.
    Finally, this amendment changes the Statutory Index reference for 
computer crimes under 18 U.S.C. 1030(a)(2)(3) and (5) from the fraud 
guideline, Sec. 2F1.1, to more appropriate subsections of Part B--
Offenses Involving Property. These new references accommodate changes 
made to 18 U.S.C. 1030 by the National Information Infrastructure 
Protection Act of 1996.
    Proposed Amendment: Section 2B1.1(b) is amended by inserting at the 
end the following new subdivision:
    ``(7) If the offense involved misappropriation of a trade secret 
and the defendant knew or intended that the offense would benefit any 
foreign government, foreign instrumentality, or foreign agent, increase 
by [2] levels.''.
    The Commentary to Sec. 2B1.1 captioned ``Application Notes'' is 
amended in Note 1 by inserting as the second and third sentences the 
following:
    ```Trade secret' is defined in 18 U.S.C. 1839(3). ``Foreign 
instrumentality'' and ``foreign agent'' are defined in 18 U.S.C. 
Sec. 1839 (1) and (2), respectively.''.
    The Commentary to Sec. 2B1.1 captioned ``Application Notes'' is 
amended in Note 2 by inserting after the fourth paragraph the following 
new paragraph:
    ``In an offense involving unlawfully accessing, or exceeding 
authorized access to, a `protected computer' as defined in 18 U.S.C. 
1030(e)(2) (A) or (B), ``loss'' includes the reasonable cost to the 
victim of conducting a damage assessment, restoring the system and data 
to their condition prior to the offense, and any lost revenue due to 
interruption of service.''.
    The Commentary to Sec. 2B1.1 captioned ``Application Notes'' is 
amended by inserting at the end the following new notes:
    ``15. In cases where the loss determined under subsection (b)(1) 
does not fully capture the harmfulness of the conduct, an upward 
departure may be warranted. For example, the theft of personal 
information or writings (e.g., medical records, educational records, a 
diary) may involve a substantial invasion of a privacy interest that 
would not be addressed by the monetary loss provisions of subsection 
(b)(1).
    16. In cases involving theft of information from a ``protected 
computer'', an upward departure may be warranted where the defendant 
sought the stolen information to further a broader criminal purpose.''.
    Section 2B1.3 is amended by inserting after subsection (c) the 
following new subsection:
    ``(d) Special Instruction
    ``(1) If the defendant is convicted under 18 U.S.C. 1030(a)(5), the 
minimum guideline sentence, notwithstanding any other adjustment, shall 
be six months' imprisonment.''.
    The Commentary to Sec. 2B1.3 is amended by inserting at the end the 
following:
    ``Background: Subsection (d) implements the instruction to the 
Commission in section 805(c) of Public Law 104-132.''.
    Section 2B2.3(b) is amended by inserting after subdivision (2) the 
following new subdivision:
    ``(3) If the offense involved invasion of a protected computer 
resulting in a loss exceeding [$2000], increase by the corresponding 
number of levels from the table in Sec. 2F1.1.''.
    The Commentary to Sec. 2B2.3 captioned ``Application Note'' is 
amended in Note 1 by inserting ``For purposes of this guideline--'' 
before ```Firearm'''; and by inserting as the second paragraph the 
following:
    ```Protected computer' means a computer described in 18 U.S.C. 
1030(e)(2)(A) or (B).''.
    The Commentary to Sec. 2B2.3 captioned ``Application Note'' is 
amended by inserting the following additional note:
    ``2. Valuation of loss is discussed in the Commentary to Sec. 2B1.1 
(Larceny, Embezzlement, and Other Forms of Theft).''.
    The Commentary to Sec. 2B2.3 captioned ``Application Note'' is 
amended by deleting ``Note'' and inserting in lieu thereof ``Notes''.
    The Commentary to Sec. 2B3.2 captioned ``Background'' is amended by 
inserting the following sentence at the end:
    ``This guideline also applies to offenses under 18 U.S.C. 
1030(a)(7) involving a threat to impair the operation of a `protected 
computer.'''.
    Section 2F1.1 is amended by inserting the following new subsection:
    ``(c) Special Instruction
    (1) If the defendant is convicted under 18 U.S.C. 1030(a)(4), the 
minimum guideline sentence, notwithstanding any other adjustment, shall 
be six months' imprisonment.''.
    The Commentary to Sec. 2F1.1 captioned ``Background'' is amended by 
inserting as the last paragraph the following:
    ``    Subsection (c) implements the instruction to the Commission 
in section 805 (c) of Public Law 104-132.''.
    Appendix A (Statutory Index) is amended by inserting, in the 
appropriate place by title and section, the following:
    ``18 U.S.C. 1831  2B1.1'';
    ``18 U.S.C. 1832  2B1.1'';
    ``18 U.S.C. 1030(a)(7)  2B3.2'';
    In the line referenced to ``18 U.S.C. 1030(a)(2)'' by deleting 
``2F1.1'' and inserting in lieu thereof ``2B1.1'';
    In the line referenced to ``18 U.S.C. 1030(a)(3)'' by deleting 
``2F1.1'' and inserting in lieu thereof ``2B2.3'';
    In the line referenced to ``18 U.S.C. 1030(a)(5)'' by deleting 
``2F1.1'' and inserting in lieu thereof ``2B1.3''.
    8(A). Synopsis of Proposed Amendment: The Drug-Induced Rape 
Prevention Act of 1996 raises the penalty for offenses involving 
trafficking in flunitrazepam, a Schedule IV controlled substance, from 
a maximum of three years' imprisonment for any amount of the drug to 20 
years' imprisonment for one gram of flunitrazepam and to not more than 
five years' imprisonment for 30 milligrams of flunitrazepam. The 
maximum sentence for importing and exporting offenses involving 
flunitrazepam is raised to twenty years' imprisonment regardless of 
weight.
    The Act also instructs the Sentencing Commission to ``review and 
amend as appropriate the sentencing guidelines for offenses involving 
flunitrazepam'' and to ensure the guidelines reflect the serious nature 
of offenses involving flunitrazepam.
    Under the revised statute, trafficking in precisely one gram of 
flunitrazepam will have a maximum penalty of 20 years' imprisonment and 
trafficking in precisely 30 milligrams of flunitrazepam will have a 
maximum of five years' imprisonment. Trafficking in any amount other 
than those specified will be governed by 21 U.S.C. 841(b)(1)(C)(2), 
which provides a maximum penalty for Schedule IV controlled substances 
of not more than three years' imprisonment.
    The following proposed amendment assumes Congress meant to treat 
flunitrazepam in the trafficking statute as it did in the export/import 
statute (i.e., raise the maximum penalty from three to twenty years' 
imprisonment). Accordingly, this amendment treats flunitrazepam as a 
Schedule I and II depressant because Schedule I and II depressants also 
carry a maximum penalty of twenty years' imprisonment.

[[Page 8499]]

    The offense levels are bracketed to indicate the possibility that 
the offense levels ultimately adopted for flunitrazepam may be higher 
than those indicated in this amendment.
    The Act also raises the maximum sentence for simple possession of 
flunitrazepam from one year's imprisonment to three years. The new 
statute treats the simple possession of flunitrazepam as more serious 
than the simple possession of personal amounts of any other controlled 
substance, in that it establishes a three-year maximum sentence of 
imprisonment as compared to one year for all other controlled 
substances (except 5 or more grams of crack).
    There are two options for addressing the increase in the maximum 
sentence for simple possession of flunitrazepam. Currently, 
flunitrazepam has a base offense level of 4. The first option is to 
treat flunitrazepam the same as the simple possession of other Schedule 
I and II depressants (as it is in the proposed trafficking guideline). 
This option would effect no change in the current guideline. The second 
option, as shown in the amendment below, is to change the base offense 
level for flunitrazepam from level 4 to level 8. This option raises the 
base offense level to the same base offense level as heroin, other 
Schedule I and II opiates, and cocaine base.
    Proposed Amendment: Section 2D1.1(c) (10)-(17) is amended by 
inserting ``, Flunitrazepam'' immediately following ``II Depressants'' 
wherever it appears.
    Section 2D1.1(c)(14)-(17) is amended by inserting ``(except 
Flunitrazepam)'' immediately following ``Schedule IV substances'' 
wherever it appears.
    Section 2D1.1(c) is amended in the section titled ``*Notes to the 
Drug Quantity Table'' in Note (F) by inserting ``or flunitrazepam'' 
following ``II Depressants'', and by inserting ``(except 
flunitrazepam)'' following ``IV substances''.
    The Commentary to Sec. 2D1.1 captioned ``Application Notes'' is 
amended in Note 10 in the Drug Equivalency Tables in the subsection 
captioned ``Schedule I or II Depressants**'' by inserting ``or 
Flunitrazepam'' immediately following ``or II Depressants''; by 
inserting ``or Flunitrazepam'' immediately following ``II Depressant''; 
by inserting ``, flunitrazepam'' immediately following ``or II 
depressants''; and by inserting ``(except flunitrazepam)'' immediately 
following ``IV substances''.
    The Commentary to Sec. 2D1.1 captioned ``Application Notes'' is 
amended in Note 10 in the Drug Equivalency Tables in the subsection 
captioned ``Schedule IV Substances**''; by inserting ``(except 
Flunitrazepam)'' immediately following ``IV Substances''; by inserting 
``(except Flunitrazepam)'' immediately following ``IV Substance''; and 
by inserting ``(except flunitrazepam)'' immediately following 
``Schedule IV''.
    Section 2D2.1(a)(1) is amended by deleting ``or'' before 
``cocaine'' and by inserting ``, or flunitrazepam'' following ``base''.
    (B). Issue for Comment: The Drug-Induced Rape Prevention and 
Punishment Act of 1996 included a section concerning ``date rape'' and 
related crimes. This section amends 21 U.S.C. 841(b) by adding:
    Whoever, with intent to commit a crime of violence, as defined in 
section 16 of title 18, United States Code (including rape), against an 
individual, violates subsection (a) by distributing a controlled 
substance to that individual without that individual's knowledge, shall 
be imprisoned not more than 20 years and fined in accordance with title 
18, United States Code.
    ``Without the individual's knowledge'' is defined by the statute as 
meaning ``that the individual is unaware that a substance with an 
ability to alter that individual's ability to appraise conduct or to 
decline participation in or communicate unwillingness to participate in 
conduct is administered to the individual.''.
    Currently, the guidelines cover the commission of violent offenses 
as well as attempts to commit these offenses; they do not have a 
general mechanism covering offenses committed with intent to commit 
another crime. Section 2A3.1 (Criminal Sexual Abuse) does not currently 
include intent but does have an enhancement for the use of controlled 
substances to commit criminal sexual abuse. Specifically, this 
guideline contains a 4-level enhancement above the base offense level 
of 27 for offenses committed by means listed in 18 U.S.C. 2241 (a) or 
(b), which includes the use of drugs or intoxicants to commit the 
offense.
    The Commission solicits comment as to how offenses committed under 
this section of the Drug Induced Rape Prevention Act of 1996 should be 
included in the guidelines. Should the Commission treat these offenses 
as an attempt and reference them to the underlying crimes of violence? 
If these crimes are seen as something less than an attempt, how should 
the guidelines cover the offenses?

Chapter Two, Part D--Offenses Involving Drugs

    9(A). Synopsis of Proposed Amendment: Section 101 of the 
Comprehensive Methamphetamine Control Act of 1996 adds listed chemicals 
to 21 U.S.C. 959. Section 959(a) makes it unlawful to manufacture or 
distribute a schedule I or II controlled substance intending or knowing 
that such substance will be unlawfully imported into the United States. 
Section 959(b) makes it unlawful for a United States citizen, or any 
person aboard an aircraft owned by a United States citizen or an 
aircraft registered in the United States, to manufacture, distribute, 
or possess with intent to distribute a controlled substance. The 
penalty for such an offense involving a listed chemical is a fine in 
accordance with title 18, United States Code, not more than ten years' 
imprisonment, or both. This amendment references these statutes in the 
Statutory Index to Sec. 2D1.11 (Unlawfully Distributing, Importing, 
Exporting or Possessing a Listed Chemical).
    Section 201 of the Act makes an addition to Title 21, United States 
Code (simple possession), which states:
    It shall be unlawful for any person knowingly or intentionally to 
possess any list I chemical obtained pursuant to or under authority of 
a registration issued to that person . . . if that registration has 
been revoked or suspended, if that registration has expired, or if the 
registrant has ceased to do business in the manner contemplated by his 
registration.
    This amendment adds list I chemicals to Sec. 2D2.1 (Unlawful 
Possession: Attempt or Conspiracy). This guideline contains a base 
offense level of eight for Schedule I and II opiates, their analogues, 
and cocaine base; a base offense level of 6 for cocaine PCP, and LSD; 
and a base offense level of 4 for all other controlled substances. This 
amendment includes list I chemicals with other controlled substances, 
thereby having a base offense level of four.
    Section 209 of the Act makes several technical changes to 21 U.S.C. 
802 by correcting the spelling for several precursors. The only 
correction for the guidelines is to correct the spelling of isosafrole, 
a list I chemical.
    Proposed Amendment: Section 2D2.1(a)(3) is amended by inserting 
``or a list I chemical'' after ``other controlled substance''.
    Appendix A (Statutory Index) in the line referenced to ``21 U.S.C. 
959'' is amended by inserting ``, 2D1.11'' following ``2D1.1''.
    Appendix A (Statutory Index) is amended by inserting at the 
appropriate place by line and title the following:
    ``21 U.S.C. 960(d)(7)  2D1.11''.

[[Page 8500]]

    (B). Issue for Comment: Section 203 amends 21 U.S.C. 843(d) to 
state that anyone who violates 21 U.S.C. 843(a) (6) or (7) (possession, 
manufacture or distribution of certain laboratory equipment) with the 
intent to manufacture or facilitate the manufacture of methamphetamine 
is subject to a term of imprisonment of up to ten years. The statute 
gives instructions to the Commission to amend the sentencing guidelines 
to ensure that violations of this section are treated as a significant 
violation.
    Violations of 21 U.S.C. 843(a) (6) or (7) currently carry a maximum 
sentence of imprisonment of four years and cover knowing, intending, or 
having reasonable cause to believe the equipment will be used to 
manufacture a controlled substance. The guidelines provide a base 
offense level of 12 if the defendant intended to manufacture a 
controlled substance and 9 if the defendant had reasonable cause to 
believe the equipment would be used to manufacture a controlled 
substance. The level 12 was used to correspond to the lowest offense 
level for methamphetamine in the Drug Quantity Table and the lowest 
level of the Chemical Quantity Table. Additionally, the guideline 
contains a cross reference to Sec. 2D1.1 if the offense involved the 
actual manufacture of a controlled substance.
    The Commission requests comment on the proper offense level for 
possession of equipment (i.e., a round-bottomed three-necked flask, 
tableting machine, gelatin capsule, or any equipment, chemical, 
product, or material used to manufacture a controlled substance) to 
manufacture methamphetamine. Should there be an enhancement if the 
equipment is used to manufacture methamphetamine and, if so, how many 
levels?
    10(A). Synopsis of Proposed Amendment: This multi-part amendment 
implements sections 301 and 303 of the Comprehensive Methamphetamine 
Control Act of 1996. Among other things, the Act generally instructs 
the Commission to increase the penalties for unlawful manufacturing, 
importing, exporting and trafficking of methamphetamine. This amendment 
is in four parts, followed by a fifth part requesting comment.
    Part A of this amendment directly increases the penalties for 
methamphetamine by reducing by one-half the quantity at each offense 
level found in the Drug Quantity Table at Sec. 2D1.1(c). This proposal 
has the same effect on methamphetamine guideline penalties that would 
have occurred if Congress had passed legislation to reduce by half the 
quantities to trigger the mandatory minimum penalties under 21 U.S.C. 
841.
    For example, offense level 26, which is equivalent to the five-year 
mandatory minimum sentence, is currently applied when the amount of 
methamphetamine (actual) falls between 10 and 40 grams, or the amount 
of methamphetamine mixture is between 100 and 400 grams. The amendment 
reduces the amounts in question by one-half, to 5 to 20 grams for 
methamphetamine (actual) and 50 to 200 grams for methamphetamine 
mixture. A corresponding change is made at level 32, which is 
equivalent to the ten-year mandatory minimum sentence. Other offense 
levels have been changed to conform with these changes.
    In addition, a conforming change is made to the drug equivalency 
tables, doubling the amount of marijuana to be used in multi-drug 
crimes involving methamphetamine, methamphetamine (actual), and 
``ice.''
    Finally, Note ``(B)'' following the Drug Quantity Table is 
rewritten to emphasize that the offense level for methamphetamine (or 
PCP) mixtures is to be determined by the quantity (weight) of the 
actual controlled substance in the mixture whenever the purity can be 
determined and exceeds 10 percent.
    Part B of this amendment proposes, either as an alternative or an 
addition to Part A, changes in the guidelines directed to the 
importation of methamphetamine and precursor chemicals. These changes 
would add a new specific offense characteristic for the unlawful 
importation of methamphetamine or its precursor drugs. Multiple options 
regarding the formulation of this enhancement are presented. 
Accompanying commentary would indicate that this new adjustment is not 
to be applied in addition to the enhancement available under 
Sec. 2D1.1(b)(2), which also relates to importation. A third option 
proposes an alternative approach of an invited upward departure if the 
offense involved importation of methamphetamine or listed chemicals.
    Part C of this amendment proposes, either as an alternative or an 
addition to Part A, changes in the guidelines to address environmental 
damage associated with the manufacture of methamphetamine. This 
proposed amendment adds environmental damage as a ground for either a 
specific offense characteristic enhancement (Option 1) or an invited 
upward departure (Option 2) to Secs. 2D1.1, 2D1.11, 2D1.12, and 2D1.13.
    Congress specifically asked the Commission to address the adequacy 
of penalties for violations of environmental laws which are covered by 
guidelines Secs. 2D1.11, 2D1.12, and 2D1.13. Although the drug 
trafficking guideline was not specifically addressed in this directive, 
it is reasonable for the Commission to consider similar means of 
addressing adverse environmental impact in guideline Sec. 2D1.1. As a 
result, these changes would also affect sentencing under that 
guideline.
    Part D of this amendment proposes, either as an alternative or an 
addition to Part A, changes to the guidelines which would add 
provisions relating to the use of a special skill in the manufacture of 
controlled substances. The amendments would add language to Sec. 2D1.1 
(comment. n. 8) indicating that persons involved in the illegal 
manufacture of controlled substances may be subject to an enhancement 
under Sec. 3B1.3 (Abuse of Position of Trust or Use of a Special 
Skill). It also offers, as an option, eliminating language in existing 
guideline Sec. 3B1.3 that currently prohibits the Special Skill 
enhancement from being applied cumulatively with an enhancement for 
Aggravating Role. This change is not limited to methamphetamine cases, 
but would apply to all affected cases.
    Part E is a section requesting comment on specific issues. First, 
the section requests comment on other aggravating factors which 
distinguish methamphetamine offenses and which should be included in 
the guidelines. Second, the section requests comment on how the 
proposed aggravating factors (Parts B through D) might be coupled with 
lesser penalty increases in Part A. Third, comment is requested on 
whether changes in methamphetamine penalties as proposed in Part A 
should lead to further changes in the Chemical Quantity Table in 
Sec. 2D1.11 (Unlawfully Distributing, Importing, Exporting or 
Possessing a Listed Chemical; Attempt or Conspiracy). (In this regard, 
it should be noted that the Commission has promulgated, effective May 
1, 1997, an emergency amendment that generally increases the offense 
levels in the Chemical Quantity Table by two levels. This amendment 
responds to the congressional directive in section 302 of the 
Comprehensive Methamphetamine Control Act of 1996).

Part A

    Proposed Amendment: Section 2D1.1(c)(1) is amended by deleting:
    ``30 KG or more of Methamphetamine, or 3 KG or more of 
Methamphetamine (actual), or 3 KG or more of `Ice' '',
    and inserting in lieu thereof:

[[Page 8501]]

    ``15 KG or more of Methamphetamine, or 1.5 KG or more of 
Methamphetamine (actual), or 1.5 KG or more of `Ice' ''.
    Section 2D1.1(c)(2) is amended by deleting:
    ``At least 10 KG but less than 30 KG of Methamphetamine, or at 
least 1 KG but less than 3 KG of Methamphetamine (actual), or at least 
1 KG but less than 3 KG of `Ice' '',
    and inserting in lieu thereof:
    ``At least 5 KG but less than 15 KG of Methamphetamine, or at least 
.5 KG but less than 1.5 KG of Methamphetamine (actual), or at least .5 
KG but less than 1.5 KG of `Ice' ''.
    Section 2D1.1(c)(3) is amended by deleting:
    ``At least 3 KG but less than 10 KG of Methamphetamine, or at least 
300 G but less than 1 KG of Methamphetamine (actual), or at least 300 G 
but less than 1 KG of `Ice' '',
    and inserting in lieu thereof:
    ``At least 1.5 KG but less than 5 KG of Methamphetamine, or at 
least 150 G but less than 500 G of Methamphetamine (actual), or at 
least 150 G but less than 500 G of `Ice' ''.
    Section 2D1.1(c)(4) is amended by deleting:
    ``At least 1 KG but less than 3 KG of Methamphetamine, or at least 
100 G but less than 300 G of Methamphetamine (actual), or at least 100 
G but less than 300 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 500 G but less than 1.5 KG of Methamphetamine, or at 
least 50 G but less than 150 G of Methamphetamine (actual), or at least 
50 G but less than 150 G of `Ice' ''.
    Section 2D1.1(c)(5) is amended by deleting:
    ``At least 700 G but less than 1 KG of Methamphetamine, or at least 
70 G but less than 100 G of Methamphetamine (actual), or at least 70 G 
but less than 100 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 350 G but less than 500 G of Methamphetamine, or at 
least 35 G but less than 50 G of Methamphetamine (actual), or at least 
35 G but less than 50 G of `Ice' ''.
    Section 2D1.1(c)(6) is amended by deleting:
    ``At least 400 G but less than 700 G of Methamphetamine, or at 
least 40 G but less than 70 G of Methamphetamine (actual), or at least 
40 G but less than 70 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 200 G but less than 350 G or Methamphetamine, or at 
least 20 G but less than 35 G of Methamphetamine (actual), or at least 
20 G but less than 35 G of `Ice' ''.
    Section 2D1.1(c)(7) is amended by deleting:
    ``At least 100 G but less than 400 G of Methamphetamine, or at 
least 10 G but less than 40 G of Methamphetamine (actual), or at least 
10 G but less than 40 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 50 G but less than 200 G of Methamphetamine, or at least 
5 G but less than 20 G of Methamphetamine (actual), or at least 5 G but 
less than 20 G of `Ice' ''.
    Section 2D1.1(c)(8) is amended by deleting:
    ``At least 80 G but less than 100 G of Methamphetamine, or at least 
8 G but less than 10 G of Methamphetamine (actual), or at least 8 G but 
less than 10 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 40 G but less than 50 G of Methamphetamine, or at least 
4 G but less than 5 G of Methamphetamine (actual), or at least 4 G but 
less than 5 G of `Ice' ''.
    Section 2D1.1(c)(9) is amended by deleting:
    ``At least 60 G but less than 80 G of Methamphetamine, or at least 
6 G but less than 8 G of Methamphetamine (actual), or at least 6 G but 
less than 8 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 30 G but less than 40 G of Methamphetamine, or at least 
3 G but less than 4 G of Methamphetamine (actual), or at least 3 G but 
less than 4 G of `Ice' ''.
    Section 2D1.1(c)(10) is amended by deleting:
    ``At least 40 G but less than 60 G of Methamphetamine, or at least 
4 G but less than 6 G of Methamphetamine (actual), or at least 4 G but 
less than 6 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 20 G but less than 30 G of Methamphetamine, or at least 
2 G but less than 3 G of Methamphetamine (actual), or at least 2 G but 
less than 3 G of `Ice' ''.
    Section 2D1.1(c)(11) is amended by deleting:
    ``At least 20 G but less than 40 G of Methamphetamine, or at least 
2 G but less than 4 G of Methamphetamine (actual), or at least 2 G but 
less than 4 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 10 G but less than 20 G of Methamphetamine, or at least 
1 G but less than 2 G of Methamphetamine (actual), or at least 1 G but 
less than 2 G of `Ice' ''.
    Section 2D1.1(c)(12) is amended by deleting:
    ``At least 10 G but less than 20 G of Methamphetamine, or at least 
1 G but less than 2 G of Methamphetamine (actual), or at least 1 G but 
less than 2 G of `Ice' '',
    and inserting in lieu thereof:
    ``At least 5 G but less than 10 G Methamphetamine, or at least 500 
MG but less than 1 G of Methamphetamine (actual), or at least 500 MG 
but less than 1 G of `Ice' ''.
    Section 2D1.1(c)(13) is amended by deleting:
    ``At least 5 G but less than 10 G of Methamphetamine, or at least 
500 MG but less than 1 G of Methamphetamine (actual), or at least 500 
MG but less than 1 G of `Ice' '',
    and inserting in lieu thereof:
    ``Less than 5 G of Methamphetamine, or less than 500 MG 
Methamphetamine (actual), or less than 500 MG of `Ice' ''.
    Section 2D1.1(c)(14) is amended by deleting:
    ``Less than 5 G of Methamphetamine, or less than 500 MG of 
Methamphetamine (actual), or less than 500 MG of `Ice' ''.
    Section 2D1.1(c) is amended in the notes following the Drug 
Quantity Table by deleting the last sentence in Note B and inserting in 
lieu thereof the following:
    ``In the case of a mixture or substance containing PCP or 
methamphetamine, if the purity of the mixture or substance can be 
determined and exceeds 10 percent, then the weight of the actual 
controlled substance in the mixture shall be used to determine the 
offense level. In any other case involving a mixture or substance 
containing PCP or methamphetamine, use the weight of the mixture 
containing PCP or methamphetamine to determine the offense level.''.
    The Commentary to Sec. 2D1.1 captioned ``Application Notes'' is 
amended in Note 10(d) in the Drug Equivalency Tables in the subdivision 
captioned ``Cocaine and Other Schedules I and II Stimulants (and their 
immediate precursors)'' by deleting:

``1 gm of Methamphetamine =             1 kg of marihuana               
1 gm of Methamphetamine (Actual) =      10 kg of marihuana              
1 gm of `Ice' =.......................  10 kg of marihuana'',           
                                                                        
and inserting in lieu thereof:                                          
                                                                        
``1 gm of Methamphetamine =             2 kg of marihuana               
1 gm of Methamphetamine (actual) =      20 kg of marihuana              
1 gm of `Ice' =.......................  20 kg of marihuana''.           
                                                                        

Part B

    Section 2D1.1(b) is amended by renumbering subdivision (4) as 
subdivision (5); and by inserting after subdivision (3) the following 
new subdivision (4):

[[Page 8502]]

    [Option 1: ``(4) If the offense involved the importation of 
methamphetamine, or the manufacture of methamphetamine from listed 
chemicals that the defendant knew were imported unlawfully, increase by 
[2] levels.''].
    [Option 2: ``(4) If (A) the offense involved the importation of 
methamphetamine [or the manufacture of methamphetamine from listed 
chemicals that the defendant knew were imported unlawfully,] and (B) 
the defendant [is subject to an adjustment under Sec. 3B1.1 
(Aggravating Role)][is not subjected to an adjustment under Sec. 3B1.2 
(Mitigating Role)], increase by 2 levels.]''.
    [Both Options: The Commentary to Sec. 2D1.1 captioned ``Application 
Notes'' is amended by inserting the following additional note:
    ``19. If the offense involved importation of methamphetamine, and 
an adjustment from subsection (b)(2) applies, do not apply subsection 
(b)(4).''].
    [Option 3: The Commentary to Sec. 2D1.1 captioned ``Application 
Notes'' is amended by inserting the following additional note:
    ``19. If the offense involved the unlawful importation of 
methamphetamine, or the manufacture of methamphetamine from listed 
chemicals that the defendant knew were imported unlawfully, an upward 
departure may be warranted [, particularly if the defendant had an 
aggravating role in the offense under Sec. 3B1.1 (Aggravating 
Role)].''].

Part C

    [Option 1: Section 2D1.1(b) is amended renumbering subsection (4) 
as subsection (5) and by inserting the following as the new subsection 
(4):
    ``(4) If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, increase by [2-6] levels.''.]
    [Option 2: The Commentary to Sec. 2D1.1 captioned ``Application 
Notes'' is amended by inserting the following additional note:
    ``19. If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, an upward departure may be warranted.''].
    [Option 1: Section 2D1.11(b) is amended by adding the following new 
subdivision:
    ``(3) If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, increase by [2-6] levels.''].
    [Option 2: The Commentary to Sec. 2D1.11 captioned ``Application 
Notes'' is amended by inserting the following new note:
    ``8. If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, an upward departure may be warranted.''].
    [Option 1: Section 2D1.12 is amended by renumbering subsection (b) 
as (c) and by inserting the following new subsection:
    ``(b) Specific Offense Characteristic
    (1) If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, increase by [2-6] levels.''].
    The Commentary to Sec. 2D1.12 captioned ``Application Notes'' is 
amended by inserting the following new note:
    ``3. If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, an upward departure may be warranted.''].
    [Option 1: Section 2D1.13 is amended by inserting the following new 
subsection:
    ``(b) Specific Offense Characteristic
    (1) If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, increase by [2-6] levels.''].
    [Option 2: The Commentary to Sec. 2D1.13 captioned ``Application 
Note'' is amended by deleting ``Note'' and inserting in lieu thereof 
``Notes'' and by inserting the following new note:
    ``2. If the offense involved a discharge or emission into the 
environment of a hazardous or toxic substance or created a substantial 
risk of environmental harm, an upward departure may be warranted.''].

Part D

    The Commentary to Sec. 2D1.1 captioned ``Application Notes'' is 
amended in the second sentence of Note 8 by inserting ``and other 
persons with highly developed skills'' immediately following 
``professionals'' and by inserting ``manufacturing and'' immediately 
following ``drug''; in the third sentence by deleting ``professionals'' 
and inserting in lieu thereof ``persons'' and by inserting `` `cooks' 
(depending on the level of skill and sophistication),'' immediately 
before ``accountants''.
    Section 3B1.3 is amended by deleting the third sentence.
    The Commentary to 3B1.3 captioned ``Application Notes'' is amended 
in Note 2 by inserting the following as the last sentence:
    ``Depending on their level of skill and sophistication, persons 
involved in the manufacture of methamphetamine or other controlled 
substances, including individuals described as ``cooks,'' may be 
subject to this enhancement.''.

Part E

    Issue for Comment: The Sentencing Commission requests comment on 
the following issues related to the above amendments:
    (a) The existence of other aggravating factors which distinguish 
methamphetamine offenses and should be recognized as such under the 
guidelines; and
    (b) Whether and how the proposed aggravating factors listed in 
Parts B through D, and any other factors that meaningfully distinguish 
methamphetamine cases, might be combined with quantity-related 
increases in punishment of lesser magnitude than those proposed in Part 
A.
    (c) If the changes in Part A are made, conforming changes to 2D1.11 
may be necessary. The Commission invites comment on how the offense 
levels in the chemical Quantity Table should be changed to reflect the 
changes in the Drug Quantity Table.
    11. Synopsis of Proposed Amendment: This amendment makes Appendix A 
(Statutory Index) more comprehensive based on newly enacted legislation 
described below.
    (A) Health Insurance Portability and Accountability Act of 1996
    1. Section 242 creates a new crime at 18 U.S.C. 1347, with a 
maximum penalty of 10 years imprisonment, for schemes to defraud or to 
obtain funds by false pretenses from any health care benefit program. 
Penalties increase to 20 years or life imprisonment, respectively, if 
``serious bodily injury'' or death results from the violation. Because 
this new offense involves fraud, it is recommended that 18 U.S.C.1347 
be referenced to Sec. 2F1.1 (Fraud and Deceit).
    2. Section 243 creates a new crime at 18 U.S.C. 669 for the theft, 
embezzlement, or intentional misapplication of the funds, property, or 
assets of a health care benefit program. The maximum penalty is 10 
years imprisonment, but the statutory maximum drops to 1 year if the 
value of the property involved is less than $100. Because this new 
offense involves fraud, it is recommended that 18 U.S.C.

[[Page 8503]]

669 be referenced to Sec. 2F1.1 (Fraud and Deceit).
    3. Section 244 creates a new crime at 18 U.S.C. 1035 for false 
statements relating to health care matters, with a maximum penalty of 5 
years' imprisonment. Because this new offense involves fraud, it is 
recommended that 18 U.S.C. 1035 be referenced to Sec. 2F1.1.
    4. Section 245 creates a new crime at 18 U.S.C. 1518 for 
obstruction of a criminal investigation of a health care offense, with 
a maximum penalty of 5 years' imprisonment. Because this new offense 
involves obstruction of justice, it is recommended that 18 U.S.C. 1518 
be referenced to Sec. 2J1.2 (Obstruction of Justice).
    (B) Omnibus Consolidated Appropriations for Fiscal Year 1997
    1. Section 648 reclassifies as Class B felonies the counterfeit 
offenses at 18 U.S.C. 474 (Plates or stones for counterfeiting 
obligations or securities) and 474A (Deterrents to counterfeiting of 
obligations and securities) (previously Class C felonies), which 
effectively increases the statutory maximum penalties for these 
offenses from 12 years to 25 years. The effective date is the date of 
enactment. The legislation does not contain any directions to the 
Commission regarding the drafting of sentencing guidelines. Appendix A 
references violations of Sec. 474 to Sec. 2B5.1 (Offenses Involving 
Counterfeit Bearer Obligations of the United States) and Sec. 2F1.1 
(Fraud); Appendix A does not currently reference violations of 
Sec. 474A. It is recommended that 18 U.S.C. 474A be referenced to 
Sec. 2B5.1.
    2. Section 648 creates a new crime at 18 U.S.C. 514 for offenses 
involving fictitious obligations. This new provision, classified as a 
Class B felony, prohibits the production and transfer, with the intent 
to defraud, of any false or fictitious instrument, document or other 
item representing through scheme or artifice, to be an actual security 
or other financial instrument issued under the authority of the United 
States, a foreign government, a State or other political subdivision of 
the United States, or an organization. Section 514 also prohibits the 
use of the mails, wire, radio or other electronic communication to move 
the false instruments through interstate or foreign commerce. Section 
514 covers attempts and imposes the same penalties on attempts as the 
completed substantive offense. The effective date is the date of 
enactment. The legislation does not contain any directions to the 
Commission regarding the drafting of sentencing guidelines.
    The Financial Crimes Unit of the U.S. Secret Service explained that 
this legislation stems from the criminal activity of groups like the 
Freeman of Montana; these groups manufacture ``bogus'' financial 
instruments that are transferred as if the instruments were real. As 
opposed to a ``counterfeit'' item, which purports to be genuine but is 
not because it has been falsely made or manufactured in its entirety, a 
``fictitious obligation'' is an instrument that cannot be genuine 
because the instrument is entirely ``made-up'' or ``invented''. The 
counterfeiting statutes do not cover manufacturing of fictitious 
instruments because such conduct does not involve the counterfeiting of 
any existing financial obligation or instrument.
    The amendment below references 18 U.S.C. 514 to Sec. 2F1.1 (Fraud 
and Deceit). The conduct involved seems more like fraud than 
counterfeiting because (1) the manufactured obligation is an entirely 
phony instrument and not a copy of a legitimate type of financial 
instrument; and (2) this conduct does not seem to raise the public 
policy interest in protecting the integrity of government obligations 
that counterfeiting offenses raise because the United States has no 
obligation to pay on a ``bogus'' type of financial instrument. Further, 
Sec. 514 includes conduct comprising mail and wire fraud. The 
Commission can monitor the types of financial instruments involved in 
Sec. 514 offenses to determine whether a reference to the 
counterfeiting guideline (Sec. 2B5.1) is also necessary.
    Proposed Amendment: Appendix A (Statutory Index) is amended by 
inserting the following at the appropriate place by title and section:
    ``18 U.S.C. 474A  2B5.1'';
    ``18 U.S.C. 514  2F1.1'';
    ``18 U.S.C. 669  2F1.1'';
    ``18 U.S.C. 1035  2F1.1'';
    ``18 U.S.C. 1347  2F1.1'';
    ``18 U.S.C. 1518  2J1.2''.

Fraud, Theft, and Tax Offenses--Chapter Two, Parts B, C, and Q 
(Addendum to Proposed Amendment #18 in the Guideline Amendments for 
Public Comment--Part I, 62 FR 151, Dated January 2, 1997)

    12. Synopsis of Proposed Amendment: (A) Generally conforms the loss 
enhancements to those proposed in Amendment #18, and (B) proposes a one 
level increase in the base offense level of each of these guidelines. 
These latter changes are designed to avoid any unintended decreases in 
offense level of the cases sentenced under these guidelines that may 
result from the adoption of Amendment #18.
    Each of the guidelines affected by this amendment has a specific 
offense characteristic that references the loss table in Sec. 2F1.1. 
For example, Sec. 2B3.3 (Blackmail and Similar Forms of Extortion) has 
a specific offense characteristic that provides that ``If the greater 
of the amount obtained or demanded exceeded $2,000,'' the offense level 
should be increased ``by the corresponding number of levels from the 
table in Sec. 2F1.1.'' Among other provisions, options one and three of 
Amendment #18 would increase the amount of loss required to trigger the 
first increase for loss from $2,000 to $5,000. Consequently, options 
one and three, if adopted, would produce a one-level reduction compared 
to the current guideline for those cases sentenced under each of the 
guidelines listed in this amendment if the loss amount was between 
$2,000 and $5,000. Because of the nature of the loss table proposed in 
option two (the first trigger of an increase for loss remains at 
$2,000), if that option is adopted the conforming changes in this 
amendment would be unnecessary.
    It should be noted that, because these guidelines listed in this 
amendment do not have an enhancement for more-than-minimal planning so 
they would be affected in a more complex way by Amendment #18 than 
guidelines that currently have that enhancement. The package of 
proposals in Amendment #18 would eliminate the two-level enhancement 
for more-than-minimal planning from guidelines where it currently 
exists, build that two-level increase into the loss table, and add a 
new enhancement for ``sophisticated means.'' Amendment #18 also 
proposes significant increases for loss amounts near the top of the 
table. Because the guidelines listed in this amendment reference the 
loss table, the changes to the loss tables proposed by Amendment #18 
would cause increases to offense levels for cases sentenced under these 
guidelines (under options one and three, for loss amounts over $5,000; 
under option two, loss over $2,000). Moreover, any resulting increases 
in offense levels for cases sentenced under the guidelines will not be 
offset--even partially--by the elimination of the enhancement for more-
than-minimal planning.
    Proposed Amendment: Section 2B3.3(a) is amended by deleting ``9'' 
and inserting in lieu thereof ``10''.
    Section 2B3.3(b)(1) is amended by deleting ``$2,000'' and inserting 
in lieu thereof ``$5,000''.
    Section 2B4.1(a) is amended by deleting ``8'' and inserting in lieu 
thereof ``9''.
    Section 2B4.1(b)(1) is amended by deleting ``$2,000'' and inserting 
in lieu thereof ``$5,000''.

[[Page 8504]]

    Section 2B5.1(a) is amended by deleting ``9'' and inserting in lieu 
thereof ``10''.
    Section 2B5.1(b)(1) is amended by deleting ``$2,000'' and inserting 
in lieu thereof ``$5,000''.
    Section 2B5.3(a) is amended by deleting ``6'' and inserting in lieu 
thereof ``7''.
    Section 2B5.3(b)(1) is amended by deleting ``$2,000'' and inserting 
in lieu thereof ``$5,000''.
    Section 2B6.1(a) is amended by deleting ``8'' and inserting in lieu 
thereof ``9''.
    Section 2B6.1(b)(1) is amended by deleting ``$2,000'' and inserting 
in lieu thereof ``$5,000''.
    Section 2C1.1(a) is amended by deleting ``10'' and inserting in 
lieu thereof ``11''.
    Section 2C1.1(b)(2)(A) is amended by deleting ``$2,000'' and 
inserting in lieu thereof ``$5,000''.
    Section 2C1.2(a) is amended by deleting ``7'' and inserting in lieu 
thereof ``8''.
    Section 2C1.2(b)(2)(A) is amended by deleting ``$2,000'' and 
inserting in lieu thereof ``$5,000''.
    Section 2C1.6(a) is amended by deleting ``7'' and inserting in lieu 
thereof ``8''.
    Section 2C1.6(b)(1) is amended by deleting ``$2,000'' and inserting 
in lieu thereof ``$5,000''.
    Section 2C1.7(a) is amended by deleting ``10'' and inserting in 
lieu thereof ``11''.
    Section 2C1.7(b)(1)(A) is amended by deleting ``$2,000'' and 
inserting in lieu thereof ``$5,000''.
    Section 2Q2.1(a) is amended by deleting ``6'' and inserting in lieu 
thereof ``7''.
    Section 2Q2.1(b)(3)(A) is amended by deleting ``$2,000'' and 
inserting in lieu thereof ``$5,000''.

Section 2B4.1 (Bribery in Procurement of Bank Loan and Other Commercial 
Bribery)(Addendum to Proposed Amendment #12 in the Guideline Amendments 
for Public Comment--Part I, 62 FR 151, Dated January 2, 1997)

    13. Synopsis of Proposed Amendment: In the January 2, 1997 Federal 
Register notice, the Commission published an amendment to 
Sec. 2B1.1(b)(6)(B) and Sec. 2F1.1(b)(6)(B). That amendment (amendment 
12) addresses the difficulty in interpreting the meaning of ``affected 
a financial institution and the defendant derived more than $1,000,000 
in gross receipts from the offense.'' This amendment makes conforming 
changes to Sec. 2B4.1 (Bribery in Procurement of Bank Loan and Other 
Commercial Bribery), which also contains an enhancement to cover 
instances when the defendant's conduct ``affected a financial 
institution and the defendant derived more than $1,000,000 in gross 
receipts from the offense.''
    Section 2B4.1 is amended in subsection (b)(2) by deleting ``--'' 
immediately following ``offense''; by deleting ``(A)''; by deleting ``; 
or'' immediately following ``institution''and inserting in lieu thereof 
``,''; by deleting subsection (b)(2)(B) in its entirety; and by 
inserting the following additional subsection:
    ``(3) If (A) obtaining or retaining the gross receipts of one or 
more financial institutions was an object of the offense, (B) the 
defendant derived more than $1,000,000 in gross receipts from such 
institutions, and (C) the offense level as determined above is less 
than level 24, increase to level 24.''.
    The Commentary to Sec. 2B4.1 captioned ``Application Notes'' is 
amended in the first sentence of Note 5 by deleting ``from the 
offense'' immediately following ``receipts''; by deleting ``(2)(B)'' 
and inserting in lieu thereof ``(3)''; by deleting ``generally''; by 
deleting the second sentence in its entirety; and by deleting ``See 18 
U.S.C. 982(a)(4).''; and by inserting the following as the first 
sentence:
    ``For purposes of subsection (b)(3), `gross receipts' means any 
moneys, funds, credits, assets, securities, or other real or personal 
property, whether tangible or intangible, owned by, or under the 
custody or control of, a financial institution, that are obtained 
directly or indirectly as a result of such offense. See 18 U.S.C. 
982(a)(4), 1344.''.
    The Commentary to Sec. 2B4.1 captioned ``Background'' is amended in 
the seventh paragraph by deleting ``Subsection'' and inserting in lieu 
thereof ``Subsections''; by deleting ``(A)'' and inserting in lieu 
thereof ``and (b)(3)''; by deleting ``implements'' and inserting in 
lieu thereof ``implement''; by deleting ``instruction'' and inserting 
in lieu thereof ``instructions''; and by inserting ``and section 2507 
of Public Law 101-647, respectively'' immediately following ``101-73''.
    The Commentary to Sec. 2B4.1 captioned ``Background'' is amended by 
deleting the last paragraph in its entirety.

[FR Doc. 97-4565 Filed 2-24-97; 8:45 am]
BILLING CODE 2210-40-P