E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 108 CONGRESS, SECOND SESSION

Vol. 150 WASHINGTON, FRIDAY, MARCH 12, 2004 No. 32 House of Representatives The House met at noon and was THE JOURNAL of the National Commission on Small called to order by the Speaker pro tem- The SPEAKER pro tempore. The Community Air Service: pore (Mr. THORNBERRY). Chair has examined the Journal of the Mayor Bob Corker of Chattanooga, last day’s proceedings and announces Tennessee. f to the House his approval thereof. f Pursuant to clause 1, rule I, the Jour- DESIGNATION OF THE SPEAKER APPOINTMENT OF HONORABLE nal stands approved. PRO TEMPORE MAC THORNBERRY TO ACT AS f The SPEAKER pro tempore laid be- SPEAKER PRO TEMPORE TO fore the House the following commu- PLEDGE OF ALLEGIANCE SIGN ENROLLED BILLS AND nication from the Speaker: JOINT RESOLUTIONS THROUGH The SPEAKER pro tempore. The MARCH 15, 2004 WASHINGTON, DC, Chair will lead the House in the Pledge March 12, 2004. of Allegiance. The SPEAKER pro tempore laid be- I hereby appoint the Honorable MAC The SPEAKER pro tempore led the fore the House the following commu- THORNBERRY to act as Speaker pro tempore Pledge of Allegiance as follows: nication from the Speaker of the on this day. House: J. DENNIS HASTERT, I pledge allegiance to the Flag of the Speaker of the House of Representatives. United States of America, and to the Repub- WASHINGTON, DC, lic for which it stands, one nation under God, March 12, 2004. I hereby appoint the Honorable MAC f indivisible, with liberty and justice for all. THORNBERRY to act as Speaker pro tempore f to sign enrolled bills and joint resolutions PRAYER MESSAGE FROM THE SENATE through March 15, 2004. The Chaplain, the Reverend Daniel P. J. DENNIS HASTERT, Coughlin, offered the following prayer: A message from the Senate by Mr. Speaker of the House of Representatives. Today, the United States, in soli- Monahan, one of its clerks, announced The SPEAKER pro tempore. Without darity with Spain, laments the many that the Senate has passed without objection, the appointment is ap- deaths and injuries inflicted upon inno- amendment a bill of the House of the proved. cent people by terrorists, and we pray following title: There was no objection. H.R. 3915. An act to provide for an addi- with them some lines from Psalm 10. f Lord, do not stand aloof. Why hide in tional temporary extension of programs times of distress? Proudly have wicked under the Small Business Act and the Small ENROLLED BILL SIGNED Business Investment Act of 1958 through people harassed Your afflicted ones. In April 2, 2004, and for other purposes. Mr. Trandahl, Clerk of the House, re- his pride the wicked say, ‘‘He will not The message also announced that the ported and found truly enrolled a bill punish. There is no God.’’ Such are his of the House of the following title, thoughts. Senate has passed with an amendment in which the concurrence of the House which were thereupon signed by the His mouth is full of cursing, guile, Speaker: and deceit; mischief and disaster lie is requested a bill of the House of the following title: H.R. 3915. An act to provide for an addi- under his tongue. He lurks in hiding to tional temporary extension of programs seize the passerby. His eyes spy upon H.R. 254. An act to authorize the President under the Small Business Act and the Small the unfortunate. He springs like a lion of the United States to agree to certain Business Investment Act of 1958 through amendments to the Agreement between the April 2, 2004, and for other purposes. and murders the innocent. Government of the United States of America Rise up, O Lord, lift up Your mighty and the Government of the United Mexican f arm. Forget not Your afflicted. You States concerning the establishment of a lovingly behold the misery and sorrow. Border Environment Cooperation Commis- ADJOURNMENT Take them into Your hands. sion and a North American Development The SPEAKER pro tempore. Without Break the strength of the wicked and Bank, and for other purposes. objection, the House stands adjourned all evildoers. Be a strong defense for The message also announced that until 12:30 p.m., Tuesday, March 16, Your faithful ones. And be Lord over pursuant to section 411(b)(1)(B) of Pub- 2004, for morning hour debates. all nations as their Savior King forever lic Law 108–16, the Chair, on behalf of There was no objection. and ever. the Majority Leader, appoints the fol- Accordingly (at 12 o’clock and 4 min- Amen. lowing individual to serve as a member utes p.m.), under its previous order, the

b This symbol represents the time of day during the House proceedings, e.g., b 1407 is 2:07 p.m. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

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VerDate jul 14 2003 00:13 Mar 13, 2004 Jkt 029060 PO 00000 Frm 00001 Fmt 4634 Sfmt 0634 E:\CR\FM\A12MR7.000 H12PT1 H1074 CONGRESSIONAL RECORD — HOUSE March 12, 2004 House adjourned until Tuesday, March quired by section 401(c) of the National final rule — Delegation of Authority--Prop- 16, 2004, at 12:30 p.m., for morning hour Emergencies Act, 50 U.S.C. 1641(c), and sec- erty Management Contractor (RIN: 2900- debates. tion 204(c) of the International Emergency AL85) received March 4, 2004, pursuant to 5 Economic Powers Act, 50 U.S.C. 1703(c), and U.S.C. 801(a)(1)(A); to the Committee on Vet- f pursuant to Executive Order 13313 of July 31, erans’ Affairs. EXECUTIVE COMMUNICATIONS, 2003, the final six-month periodic report on 7170. A letter from the Acting Chief, Publi- ETC. the national emergency blocking property of cations and Regulations Branch, Internal persons undermining democratic processes Revenue Service, transmitting the Service’s Under clause 8 of rule XII, executive or institutions in Zimbabwe that was de- final rule — Determination of Interest Rate communications were taken from the clared in Executive Order 13288 of March 6, (Rev. Rul. 2004-26) received March 5, 2004, Speaker’s table and referred as follows: 2003; to the Committee on International Re- pursuant to 5 U.S.C. 801(a)(1)(A); to the Com- 7151. A letter from the Deputy Chief of lations. mittee on Ways and Means. Naval Operations, Department of Defense, 7160. A letter from the Assistant Secretary transmitting notification of the decision to for Policy, Management and Budget; Chief f convert to contractor performance; to the Financial Officer, Department of the Inte- Committee on Armed Services. rior, transmitting the Department’s com- PUBLIC BILLS AND RESOLUTIONS 7152. A letter from the Assistant to the bined Annual Performance and Account- Board, Board of Governors of the Federal Re- ability Report (PAR) for Fiscal Year 2003, Under clause 2 of rule XII, public serve System, transmitting the Board’s final pursuant to the Government Performance bills and resolutions were introduced rule — Credit by Brokers and Dealers; List of and Results Act of 1993; to the Committee on and severally referred, as follows: Foreign Margin Stocks [Regulation T] re- Government Reform. By Mr. ROGERS of Alabama (for him- ceived March 4, 2004, pursuant to 5 U.S.C. 7161. A letter from the Acting Director, Of- self, Mr. COX, Mr. HUNTER, Mr. 801(a)(1)(A); to the Committee on Financial fice of Management, Budget and Evalution/ BOEHNER, Mr. PICKERING, Mr. WILSON Services. Acting Chief Financial Officer, Department of South Carolina, Mr. KENNEDY of 7153. A letter from the Deputy Associate of Energy, transmitting a report pursuant to Minnesota, Mr. CALVERT, Mr. KING of Administrator, Environmental Protection Pub. L. 105-270, ‘‘The Federal Activities In- Iowa, Mr. BARTLETT of Maryland, Mr. Agency, transmitting the Agency’s final rule ventory Reform Act of 1998’’; to the Com- SOUDER, Mr. CULBERSON, Mr. — Approval and Promulgation of Implemen- mittee on Government Reform. ENGLISH, Mr. AKIN, Mr. KOLBE, Mr. tation Plans and Designation of Areas for 7162. A letter from the Attorney Advisor, PEARCE, Mr. ROHRABACHER, Mr. Air Quality Planning Purposes; Alabama; Department of Transportation, transmitting TOOMEY, and Ms. HARRIS): Redesignation of Birmingham Ozone Non- a report pursuant to the Federal Vacancies H.R. 3966. A bill to amend title 10, United attainment Area to Attainment for Ozone Reform Act of 1998; to the Committee on States Code, and the Homeland Security Act [AL-63-200412; FRL-7634-9] received March 11, Government Reform. of 2002 to improve the ability of the Depart- 2004, pursuant to 5 U.S.C. 801(a)(1)(A); to the 7163. A letter from the Director, Office of ment of Defense to establish and maintain Committee on Energy and Commerce. Surface Mining, Department of the Interior, Senior Reserve Officer Training Corps units 7154. A letter from the Deputy Associate transmitting the Department’s final rule — at institutions of higher education, to im- Administrator, Environmental Protection Maryland Regulatory Program [MD-051-FOR] prove the ability of students to participate Agency, transmitting the Agency’s final rule received March 8, 2004, pursuant to 5 U.S.C. in Senior ROTC programs, and to ensure — Approval and Promulgation of Air Quality 801(a)(1)(A); to the Committee on Resources. that institutions of higher education provide 7164. A letter from the Assistant Secretary, Implementation Plans; Virginia; Revisions military recruiters entry to campuses and Land and Minerals Management, Depart- to Regulations for General Compliance Ac- access to students that is at least equal in ment of the Interior, transmitting the De- tivities and Source Surveillance [VA133- quality and scope to that provided to any partment’s ‘‘Major’’ final rule —Oil and Gas 5066a; FRL-7635-9] received March 11, 2004, other employer; to the Committee on Armed and Sulfur Operations in the Outer Conti- pursuant to 5 U.S.C. 801(a)(1)(A); to the Com- Services, and in addition to the Committee nental Shelf-Relief or Reduction in Royalty mittee on Energy and Commerce. on Education and the Workforce, for a period 7155. A letter from the Deputy Associate Rates — Deep Gas Provisions (RIN: 1010- to be subsequently determined by the Speak- Administrator, Environmental Protection AD01) received March 4, 2004, pursuant to 5 er, in each case for consideration of such pro- Agency, transmitting the Agency’s final rule U.S.C. 801(a)(1)(A); to the Committee on Re- visions as fall within the jurisdiction of the — Approval and Promulgation of State Plans sources. committee concerned. For Designated Facilities; Puerto Rico [Re- 7165. A letter from the Chief, Regulations By Mr. THOMAS: gion 2 Docket No. PR11-267c; FRL-7634-2] re- and Administrative Law, USCG, Department H.R. 3967. A bill to amend the Internal Rev- ceived March 11, 2004, pursuant to 5 U.S.C. of Homeland Security, transmitting the De- enue Code of 1986 to credit the Highway 801(a)(1)(A); to the Committee on Energy and partment’s final rule — Drawbridge Oper- Trust Fund with the full amount of fuel Commerce. ation Regulation; Sturgeon Bay Ship Canal, 7156. A letter from the Deputy Associate Sturgeon Bay, WI [CGD09-04-003] (RIN: 1625- taxes, to combat fuel tax evasion, and for Administrator, Environmental Protection AA09) received March 4, 2004, pursuant to 5 other purposes; to the Committee on Ways Agency, transmitting the Agency’s final rule U.S.C. 801(a)(1)(A); to the Committee on and Means. — Final Authorization of State Hazardous Transportation and Infrastructure. By Mr. HOLT (for himself, Mr. GEORGE Waste Management Program Revisions 7166. A letter from the Chief, Regulations MILLER of California, Mr. KILDEE, Ms. [FRL-7633-2] received March 11, 2004, pursu- and Administrative Law, USCG, Department WOOLSEY, Mr. HINOJOSA, Mr. PAYNE, ant to 5 U.S.C. 801(a)(1)(A); to the Committee of Homeland Security, transmitting the De- Mr. FROST, Mr. BOUCHER, Mr. THOMP- on Energy and Commerce. partment’s final rule — Drawbridge Oper- SON of Mississippi, Ms. MILLENDER- 7157. A letter from the Deputy Associate ation Regulations; Albemarle and Chesa- MCDONALD, Mr. DELAHUNT, Mr. Administrator, Environmental Protection peake Canal, AICW, Virginia [CGD05-04-041] MCNULTY, Ms. CARSON of Indiana, Mr. Agency, transmitting the Agency’s final rule (RIN: 1625-AA-09) received March 4, 2004, pur- MCDERMOTT, and Mr. BROWN of Ohio): — Massachusetts; Final Authorization of suant to 5 U.S.C. 801(a)(1)(A); to the Com- H.R. 3968. A bill to provide access and as- State Hazardous Waste Management Pro- mittee on Transportation and Infrastruc- sistance to increase college attendance and gram Revisions; State-Specific Modification ture. completion by part-time students; to the to Federal Hazardous Waste Regulations, 7167. A letter from the Chief, Regulations Committee on Education and the Workforce. pursuant to ECOS Program Proposal; Exten- and Administrative Law, USCG, Department By Mr. TAUZIN: sion of Site-Specific Regulations for New of Homeland Security, transmitting the De- H.R. 3969. A bill to amend the Communica- England Universities’ Laboratories XL partment’s final rule — Drawbridge Oper- tions Act of 1934 to strengthen the limita- Projects [FRL-7634-4] received March 11, 2004, ation Regulations; Ocean Springs, MS tions on the holding of any license, permit, pursuant to 5 U.S.C. 801(a)(1)(A); to the Com- [CGD08-04-011] received March 4, 2004, pursu- operating authority by a foreign government mittee on Energy and Commerce. ant to 5 U.S.C. 801(a)(1)(A); to the Committee or any entity controlled by a foreign govern- 7158. A letter from the Director, Inter- on Transportation and Infrastructure. ment; to the Committee on Energy and Com- national Cooperation, Department of De- 7168. A letter from the Deputy Associate merce. fense, transmitting a copy of Transmittal 01- Administrator, Environmental Protection 04 informing of an intent to sign the fifth Agency, transmitting the Agency’s final rule f supplement to the Memorandum of Under- — Final Authorization of State Hazardous standing concerning the Production and Sup- Waste Management Program Revision [FRL- ADDITIONAL SPONSORS port Phase of the Guided Multiple Launch 7634-3] received March 11, 2004, pursuant to 5 Under clause 7 of rule XII, sponsors U.S.C. 801(a)(1)(A); to the Committee on En- Rocket System Program between the United were added to public bills and resolu- States and the United Kingdom, pursuant to ergy and Commerce. 22 U.S.C. 2767(f); to the Committee on Inter- 7169. A letter from the Director, Regula- tions as follows: national Relations. tions Management, Office of Regulation, Pol- H.R. 1160: Mr. TIAHRT. 7159. A letter from the Secretary, Depart- icy, and Management, Department of Vet- H.R. 3676: Ms. MAJETTE. ment of the Treasury, transmitting as re- erans Affairs, transmitting the Department’s H.R. 3771: Ms. DELAURO.

VerDate jul 14 2003 23:52 Mar 12, 2004 Jkt 029060 PO 00000 Frm 00002 Fmt 4634 Sfmt 0634 E:\CR\FM\K12MR7.005 H12PT1 March 12, 2004 CONGRESSIONAL RECORD — HOUSE H1075 DISCHARGE PETITIONS Majette, Nick Lampson, Ron Kind, Maxine Carolyn C. Kilpatrick, Marcy Kaptur, Gary Under clause of rule XV, the fol- Waters, Thomas H. Allen, Ted Strickland, L. Ackerman, Brian Baird, Nick J. Rahall II, Jim Marshall, Martin T. Meehan, Charles A. Charles B. Rangel, Edward J. Markey, Betty lowing discharge petitions were filed: Gonzalez, Henry A. Waxman, Nancy Pelosi, McCollum, Raul M. Grijalva, Susan A. Davis, Petition 5. March 9, 2004, by Mr. BARON P. Diane E. Watson, Benjamin L. Cardin, Rob- John Lewis, Ellen O. Tauscher, Chris Van HILL on House Resolution 534, was signed by ert T. Matsui, James E. Clyburn, Janice D. Hollen, Rush D. Holt, Earl Blumenauer, Rick the following Members: Baron P. Hill, Lin- Schakowsky, Major R. Owens, Bobby L. Larsen, Chet Edwards, Fortney Pete Stark, coln Davis, Dennis A. Cardoza, Michael H. Rush, Brad Sherman, Jerrold Nadler, Adam Bart Stupak, Eddie Bernice Johnson, Lane Michaud, Charles W. Stenholm, Michael R. B. Schiff, Carolyn McCarthy, Sander M. Evans, Donald M. Payne, James P. McGov- McNulty, Steve Israel, Julia Carson, Tim- Levin, Steny H. Hoyer, Steven R. Rothman, ern, Gene Green, Nick Lampson, Denise L. othy H. Bishop, Bill Pascrell, Jr., Robert E. Carolyn B. Maloney, Mike Ross, Melvin L. Majette, Maxine Waters, James P. Moran, Andrews, Alcee L. Hastings, Albert Russell Watt, Jerry F. Costello, William O. Lipinski, Timothy H. Bishop, Michael F. Doyle, Wynn, Juanita Millender-McDonald, Artur Karen McCarthy, John Conyers, Jr., C. A. Charles A. Gonzalez, Henry A. Waxman, Davis, Frank W. Ballance, Jr., Rahm Eman- Dutch Ruppersberger, William J. Jefferson, Nancy Pelosi, Diane E. Watson, Robert T. uel, Rosa L. DeLauro, Dennis Moore, Hilda Linda T. Sanchez, Patrick J. Kennedy, Nita Matsui, James E. Clyburn, Janice D. L. Solis, Peter A. DeFazio, Barney Frank, M. Lowey, Jesse L. Jackson, Jr., Wm. Lacy Sanford D. Bishop, Jr., Joseph Crowley, Clay, John F. Tierney, Solomon P. Ortiz, Schakowsky, Major R. Owens, Bobby L. Shelley Berkley, Bob Filner, Ben Chandler, Darlene Hooley, Sherrod Brown, Robert A. Rush, Brad Sherman, Jerrold Nadler, Adam Jim Turner, Tammy Baldwin, Jim Brady, Ken Lucas, Tim Holden, Marion B. Schiff, Carolyn McCarthy, Steven R. McDermott, Louise McIntosh Slaughter, Joe Berry, Mike McIntyre, Jay Inslee, Silvestre Rothman, Carolyn B. Maloney, Mike Ross, Baca, Jane Harman, Loretta Sanchez, Grace Reyes, Tim Ryan, Michael F. Doyle, Vic Charles W. Stenholm, Jerry F. Costello, Wil- F. Napolitano, Brad Miller, Jim Cooper, Snyder, John W. Olver, William D. Delahunt, liam O. Lipinski, David E. Price, Alcee L. James R. Langevin, Leonard L. Boswell, Eliot L. Engel, Robert Wexler, Stephen F. Hastings, John Conyers, Jr., William J. Jef- Dale E. Kildee, Bob Etheridge, Tom Lantos, Lynch, Bennie G. Thompson, Robert C. ferson, Michael H. Michaud, C.A. Dutch Martin Frost, Lois Capps, Robert Menendez, Scott, John B. Larson, Joseph M. Hoeffel, Ruppersberger, Linda T. Sanchez, Patrick J. David Wu, Gregory W. Meeks, Barbara Lee, Rodney Alexander, Ruben Hinojosa, Jose E. Kennedy, Nita M. Lowey, Jesse L. Jackson, Ed Case, Lynn C. Woolsey, Carolyn C. Kil- Serrano, Ed Pastor, Richard A. Gephardt, Jr., Wm. Lacy Clay, John F. Tierney, patrick, Marcy Kaptur, Gary L. Ackerman, and Edward J. Markey. Sherrod Brown, Solomon P. Ortiz, Lloyd Brian Baird, Nick J. Rahall II, Charles B. Petition 6. March 10, 2004, by Mr. JIM Doggett, Nydia M. Velazquez, Robert A. Rangel, Richard E. Neal, Betty McCollum, TURNER on House Resolution 523, was Brady, Ken Lucas, Sam Farr, Tim Holden, Raul M. Grijalva, David E. Price, John M. signed by the following Members: Jim Turn- Julia Carson, Marion Berry, Rosa L. Spratt, Jr., Susan A. Davis, John Lewis, Ger- er, Tammy Baldwin, Jim McDermott, Ben DeLauro, Jay Inslee, Ted Strickland, Tim ald D. Kleczka, Ellen O. Tauscher, Chris Van Chandler, Frank W. Ballance, Jr., Joe Baca, Ryan, Mike McIntyre, Silvestre Reyes, Wil- Hollen, Rush D. Holt, Earl Blumenauer, Rick Jane Harman, Loretta Sanchez, Grace F. liam D. Delahunt, Eliot L. Engel, Stephen F. Larsen, Chet Edwards, Fortney Pete Stark, Napolitano, James R. Langevin, Leonard L. Lynch, Robert Wexler, David Scott, Bennie Bart Stupak, Eddie Bernice Johnson, Lane Boswell, Tom Lantos, Martin Frost, Lois G. Thompson, Robert C. Scott, John W. Evans, Donald M. Payne, James P. McGov- Capps, Robert Menendez, David Wu, Gregory Olver, John B. Larson, Bart Gordon, Ruben ern, Gene Green, John D. Dingell, Denise L. W. Meeks, Barbara Lee, Lynn C. Woolsey, Hinojosa, Jose E. Serrano, and Ed Pastor.

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Vol. 150 WASHINGTON, FRIDAY, MARCH 12, 2004 No. 32 Senate The Senate met at 10 a.m. and was U.S. SENATE, thank all of my colleagues for their called to order by the Honorable JOHN PRESIDENT PRO TEMPORE, willingness to stay very late last night E. SUNUNU, a Senator from the State of Washington, DC, March 12, 2004. and into the early hours of the morn- New Hampshire. To the Senate: ing in order to complete our business. Under the provisions of rule I, paragraph 3, Truthfully, it was a very busy week, PRAYER of the Standing Rules of the Senate, I hereby but the fact we were able to pass this appoint the Honorable JOHN E. SUNUNU, a The Chaplain, Dr. Barry C. Black, of- Senator from the State of New Hampshire, budget resolution with reconciliation, fered the following prayer: to perform the duties of the Chair. the fact we were able to do a couple Let us pray: TED STEVENS, judges early this morning and finish Merciful God, who surrendered Your President pro tempore. business on a number of nominations, I powers to serve humanity, thank You Mr. SUNUNU thereupon assumed the think should bring us all a great deal for Your model of sacrifice that re- Chair as Acting President pro tempore. of satisfaction. It is very important for us in these busy times to continue to minds us that it is better to give than f to receive. Forgive us when our pre- govern, and govern well. I think yester- occupation with selfish dreams keeps RESERVATION OF LEADER TIME day represented just that. us from surrendering to Your will. Help The ACTING PRESIDENT pro tem- As I look over yesterday, we com- us to live so that we give You our best pore. Leadership time is reserved. pleted 19 rollcall votes throughout the and keep us from those roads that lead day and evening. We had very few to ruin. We pray for those in our world f breaks. Chairman NICKLES and Rank- who must deal with the insanity of ter- MORNING BUSINESS ing Member CONRAD did a tremendous job in processing the amendments and rorism. Give them courage to meet The ACTING PRESIDENT pro tem- bringing the resolution to completion. these challenges. pore. Under the previous order, there I thank them for their efforts. Guide Your Senators today. Make will be a period for the transaction of As a reminder, the next rollcall vote nothing deter them from doing Your morning business with Senators per- will occur on Tuesday, March 23. I will will. Give them faith to meet each cri- mitted to speak for up to 10 minutes have more to say on the upcoming sis and wisdom for each decision. Help each. each of us to give ourselves completely schedule at the close of business today. to You, and give us peace through Him f Mr. President, I have several unani- who is the Prince of Peace. RECOGNITION OF THE MAJORITY mous consent requests. Would the Amen. LEADER Democratic leader like to comment? Mr. DASCHLE. No. The ACTING PRESIDENT pro tem- f f pore. The majority leader is recog- nized. AUTHORIZING THE PRESIDENT TO PLEDGE OF ALLEGIANCE AGREE WITH THE GOVERNMENT f The Honorable JOHN E. SUNUNU led OF MEXICO TO AMENDMENTS TO the Pledge of Allegiance, as follows: SCHEDULE THE AGREEMENT CONCERNING A I pledge allegiance to the Flag of the Mr. FRIST. Mr. President, today the BORDER ENVIRONMENT CO- United States of America, and to the Repub- Senate will be in a period of morning OPERATION COMMISSION AND lic for which it stands, one nation under God, business to allow the Senators to make NORTH AMERICAN DEVELOP- indivisible, with liberty and justice for all. statements and to introduce legisla- MENT BANK tion. Mr. FRIST. Mr. President, I ask f As I announced last night, or early unanimous consent that the Foreign this morning, there will be no rollcall Relations Committee be discharged APPOINTMENT OF ACTING votes over the course of today. I do not from further consideration of H.R. 254 PRESIDENT PRO TEMPORE anticipate a long session today. If Sen- and the Senate proceed to its imme- The PRESIDING OFFICER. The ators do wish to introduce legislation diate consideration. clerk will please read a communication or make statements, I encourage them The ACTING PRESIDENT pro tem- to the Senate from the President pro to do so this morning. pore. Without objection, it is so or- tempore (Mr. STEVENS). We were able to complete the budget dered. The clerk will state the bill by The legislative clerk read the fol- resolution about 9 hours ago, at 1 in title. lowing letter: the morning, or shortly after that. I The legislative clerk read as follows:

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor.

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VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00001 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2756 CONGRESSIONAL RECORD — SENATE March 12, 2004 A bill (H.R. 254) to authorize the President portantly, it will enable the agency to We must act today to ensure that the of the United States to agree to certain help small businesses continue creating SBA and its programs continue. The amendments to the Agreement between the new jobs for our economy. According to bill before us achieves that goal by ex- Government of the United States of America the SBA, reauthorizing the agency will tending the authorization for the 504 and the Government of the United Mexican result in an estimated 3.3 million jobs program through May 21, 2004, and for States concerning the establishment of a Border Environment Cooperation Commis- created or retained over the next 5 the agency and its other programs sion and a North American Development years. through April 2, 2004. That will provide Bank, and for other purposes. While the Small Business Adminis- time for the other body to pass its leg- There being no objection, the Senate tration 50th Anniversary Reauthoriza- islation, for us to reconcile the dif- tion Act provides for the continuation proceeded to consider the bill. ferences, and for the President to sign of these programs, the other body con- Mr. FRIST. Mr. President, I ask a long-term reauthorization bill for the tinues to be delayed in its consider- unanimous consent that the Hutchison SBA. ation of legislation to reauthorize the This legislation is absolutely nec- substitute be agreed to, the bill, as agency. The SBA’s programs that rely essary for America’s small businesses. I amended, be read the third time and on appropriations have continued since urge my colleagues to support this bill passed, the motions to reconsider be the Commerce, Justice, State and the and thereby ensure that the SBA, and laid upon the table en bloc, and that Judiciary appropriations legislation in particular the 504 loan program, will any statements relating to the bill be for fiscal year 2004 was enacted. How- continue to serve small businesses and printed in the RECORD. ever, several of the SBA’s programs enable small businesses to obtain the The ACTING PRESIDENT pro tem- and activities, such as the 504 loan pro- financing they need, as they contribute pore. Without objection, it is so or- gram, do not rely on appropriations. As so greatly to the revitalization of our dered. a result, they are in jeopardy of shut- national economy. The amendment (No. 2856) was agreed ting down without the bill before us (At the request of Mr. DASCHLE, the to, as follows: today, and that’s a result America’s following statement was ordered to be (The amendment is printed in today’s small businesses simply cannot afford. printed in the RECORD.) RECORD under ‘‘Text of Amendments.’’) I am confident that we can enact leg- ∑ Mr. KERRY. Mr. President, I want to The bill (H.R. 254), as amended, was islation to reauthorize the SBA once make a few comments about H.R. 3915 read the third time and passed. the other body has completed work on that will be considered by the Senate f its version of the bill. In the interim, today. This bill contains two tem- SMALL BUSINESS PROGRAMS we must ensure that the SBA can con- porary extensions of authority. One EXTENSION ACT tinue to offer the entire range of its that is general, keeping the Small programs to our Nation’s small busi- Business Administration and its pro- Mr. FRIST. Mr. President, I ask nesses, which are the driving force be- grams operating through April 2, 2004, unanimous consent that the Senate hind our current economic recovery. and another that is specific to the now proceed to the consideration of The 504 loan program, one of the SBA’s 504 Loan Guarantee Program, H.R. 3915, which is at the desk. agency’s flagship lending programs, al- keeping it operational through May 21, The ACTING PRESIDENT pro tem- lows small businesses to obtain long- 2004. pore. The clerk will state the bill by term, fixed-rate financing to purchase I support this bill, and am relieved title. land, buildings, or equipment. In the the 504 Loan Guarantee Program will The legislative clerk read as follows: past 4 fiscal years, the SBA has pro- not lose its authority to keep making A bill (H.R. 3915) to provide for an addi- vided guarantees for more than 20,000 loans to small businesses that are tional temporary extension of programs loans through the 504 loan program, for growing, creating jobs and helping our under the Small Business Act and the Small communities. However, there are other Business Investment Act of 1958 through a total of approximately $8.6 billion, April 2, 2004, and for other purposes. and these loans have allowed small serious problems concerning the SBA’s businesses to create or retain more 7(a) Loan Guarantee Program and There being no objection, the Senate than 445,000 jobs. Women’s Business Centers that are ur- proceeded to consider the bill. The 504 program relies on fees gent and should be addressed before the Ms. SNOWE. Mr. President, I rise charged to the program participants, Senate recesses tonight for a week. I today to speak to the approval of H.R. rather than on Federal appropriations introduced a bill earlier this week, S. 3915, a bill adopted by the House yes- charged to the taxpayers, to fund their 2186, the SBA Emergency Authoriza- terday to provide a short-term exten- operation. Because the program relies tion Extension Act of 2004, which sets sion of the Small Business Administra- on Federal funds, the SBA needs legis- forth workable solutions for those tion, SBA, and all of its programs. In lative authorization to collect the fees issues. At that time I urged my col- particular, it ensures the continuation that operate the programs and ensure leagues to take immediate action and of the SBA’s 504 loan program, a vital that they function at a zero subsidy consider it. Senator SNOWE also intro- program for small businesses. The bill rate. duced a bill this week, S. 2196, which extends the authorization for the 504 I am also extremely concerned about addressed the 7(a) Loan Guarantee Pro- loan program through May 21, 2004, and the SBA’s section 7(a) business loan gram funding shortfall, which I support extends the authorization for other program. I strongly believe that we and would have supported as an amend- SBA programs, such as the Preferred must act to ensure that the 7(a) pro- ment to this extension. Like the small Surety Bond Program, and Small Dis- gram remains a source of long-term business community, I am disappointed advantaged Business Program, and the capital for small businesses, including that the bigger solution for small busi- SBA’s cosponsorship authority, those small businesses that need large ness lending is being delayed another through April 2, 2004. loans. The 7(a) program is currently couple of weeks. On September 26, 2003, the Senate suffering from a funding shortfall, as Some people think a couple of weeks unanimously approved the Small Busi- demand for loans has exceeded the can do no harm. But in the 7(a) Loan ness Administration 50th Anniversary available appropriations this year, as it Guarantee Program, small businesses Reauthorization Act of 2003, S. 1375, has four times in the last 10 years. caught in the middle of the administra- which I introduced as the chair of the In that regard, yesterday I intro- tion’s funding schemes might not make Committee on Small Business. That duced the Small Business Loan Revi- it. And the funding problems will fester bill provides for the 3-year reauthoriza- talization Act, S. 2193. I was pleased to because it will operate at a more ex- tion of the SBA and its small business be joined in sponsoring that act by my pensive cost than if we enacted the programs, including the 504 loan pro- colleagues, Mr. BOND, Mr. ENZI, and temporary program changes that the gram. Mr. COLEMAN. With the improvements lending and small business commu- The reauthorization bill will con- contained in that act, I am confident nities support and are strongly urging tinue the SBA’s role in assisting Amer- that we can soon help the 7(a) program the Congress to adopt. Two weeks ican small businesses to thrive and to once again provide the financing could mean about half a billion in lend- grow, through the agency’s lending and that small businesses so desperately ing. I disagree with the administra- other programs and services. Most im- need. tion’s tactics and I hope that during

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00002 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2757 this next brief extension they will billion per year on the overall costs to The resolution, with its preamble, work with the Senate and House com- our economy and our citizens due to reads as follows: mittees to pass program changes that medical errors. S. RES. 320 resolve these issues fairly, effectively We can do better; indeed, we must do Whereas patient safety is an issue of sig- and expeditiously. Their plan does not better. We can strengthen our efforts nificant importance to the United States; work and the small business and lend- to apply proven safety techniques from Whereas 1 in every 5 citizens of the United ing communities are opposed to it. We other sectors and industries that have States has experienced a medical error or need a plan that does. developed a culture of safety, like the has a family member who has experienced a aviation industry. By focusing on sys- medical error; I look forward to working with my Whereas medical errors often have serious colleagues to resolve this as soon as tem changes, significant progress can and profound consequences; possible.∑ be achieved in making our health care Whereas it is estimated that injuries from Mr. FRIST. Mr. President, I ask system safer. preventable medical errors cost the United unanimous consent that the bill be As legislators, we have drafted a States economy between $17,000,000,000 and read the third time and passed, the mo- range of proposals to address and im- $29,000,000,000 each year; tion to reconsider be laid upon the prove the systems factors that lead to Whereas more people die annually from table, and that any statements relating medical errors. As we think about ways medical errors than from automobile acci- dents, breast cancer, and AIDS; to the bill be printed in the RECORD. to create a safer health care system, Whereas increased patient and provider The ACTING PRESIDENT pro tem- we must continue to work with education and collaboration can help avoid pore. Without objection, it is so or- healthcare professionals, patients and medical errors; dered. their families to ensure our healthcare Whereas the Institute of Medicine has stat- The bill (H.R. 3915) was read the third systems place an absolute premium on ed that a ‘‘critical component of a com- time and passed. the safety of its patients. In this re- prehensive strategy to improve patient safe- ty is to create an environment that encour- f gard, Senator SNOWE and I have intro- duced a bill to reduce medication er- ages organizations to identify errors, evalu- DESIGNATING THE WEEK OF ate causes and take appropriate actions to rors in hospitals and skilled nursing fa- MARCH 7 THROUGH MARCH 13, improve performance in the future,’’ and fur- cilities. Other cosponsors of this reso- 2004, AS ‘‘NATIONAL PATIENT ther, that ‘‘a more conducive environment is lution have supported legislation that SAFETY AWARENESS WEEK’’ needed to encourage health care profes- would create a voluntary reporting sys- sionals and organizations to identify, ana- Mr. FRIST. Mr. President, I ask tem. As we consider these pieces of leg- lyze, and report errors without threat of liti- unanimous consent that the Senate islation, it is important to remember gation and without compromising patients’ proceed to the immediate consider- that medical errors are a multifaceted legal rights’’; ation of S. Res. 320, submitted earlier Whereas better systems can be imple- problem to which there are multiple mented to reduce the factors that lead to today by Senators GRAHAM of Florida, solutions. medical errors; SNOWE, GREGG, and others. This resolution addresses another Whereas innovative educational and re- The ACTING PRESIDENT pro tem- key element in our quest to make our search programs are being conducted by the pore. The clerk will state the resolu- health care system safer: that being to National Patient Safety Foundation as well tion by title. fuel the ‘‘power of partnership’’ be- as by other public and private entities to de- The legislative clerk read as follows: tween patients, families and healthcare velop methods for avoiding preventable inju- A resolution (S. Res. 320) designating the professionals. The ‘‘power of partner- ries and to assess the effectiveness of new techniques to increase patient safety; and week of March 7 through 13, 2004, as ‘‘Na- ship’’ is the theme of this year’s Pa- tional Patient Safety Awareness Week.’’ Whereas education of the public on med- tient Safety Awareness Week, spon- ical errors and the factors that typically There being no objection, the Senate sored by the National Patient Safety lead to medical errors empowers patients to proceeded to consider the resolution. Foundation. Our recognition of Na- be more effective partners with health care Mr. GRAHAM of Florida. Mr. Presi- tional Patient Safety Awareness Week providers in the battle against preventable dent, I am very pleased to introduce a is an important addition to our efforts injuries from medical errors: Now, therefore, resolution to recognize the week of to create a safer health care system by be it March 7–March 14 as ‘‘National Patient Resolved, That the Senate— promoting increased patient education (1) designates the week of March 7 through Safety Awareness Week’’ with my col- and highlighting the importance of March 13, 2004, as ‘‘National Patient Safety leagues and friends Senator SNOWE, partnership between healthcare pro- Awareness Week’’; and Senator GREGG, Senator DODD and Sen- viders and patients. (2) requests that the President issue a ator JEFFORDS. ‘‘Patient Safety Awareness Week’’ proclamation calling upon the people of the We know that patient safety is a deserves the support of the United United States to observe the week with ap- paramount health care issue today: a States Congress, and I urge my col- propriate programs and activities. 1998 Institute of Medicine study leagues to support this Senate Resolu- f shocked us with the fact that nearly tion. While Patient Safety Awareness NATIONAL SAFE PLACE WEEK 100,000 Americans die each year from Week will not solve all the challenges Mr. FRIST. Mr. President, I ask medical errors in our clinical settings associated with medical errors, it does alone, which highlights both the grav- unanimous consent that the Judiciary launch us on a path of progress, and Committee be discharged from further ity and emotion associated with this brings us one step closer. complex challenge. consideration of S. Res. 309 and that Through a bipartisan partnership we the Senate proceed to its immediate Some of us have experienced the can highlight the importance of pa- tragedy of medical error, either di- consideration. tient safety and the role of the patient The ACTING PRESIDENT pro tem- rectly or through a family member or and their families in achieving a safer pore. Without objection, it is so or- friend. We are not unique; estimates health care system. dered. The clerk will report the resolu- show that about one in every 5 Ameri- Mr. FRIST. Mr. President, I ask tion by title. cans has experienced a medical error or unanimous consent that the resolution The legislative clerk read as follows: has a family member who has experi- and preamble be agreed to en bloc, the A resolution (S. Res. 309) designating the enced a medical error. motion to reconsider be laid upon the week beginning March 14, 2004, as ‘‘National In addition to the profound emo- table, and that any statements relating Safe Place Week’’. tional cost of these errors, the added thereto be printed in the RECORD as if There being no objection, the Senate burden placed on an already overbur- read, without intervening action or de- proceeded to consider the resolution. dened health care system is equally bate. Mr. FRIST. Mr. President, I ask profound. The cost of medical care pro- The ACTING PRESIDENT pro tem- unanimous consent that the resolution vided to correct an error, and the lost pore. Without objection, it is so or- be agreed to, the preamble be agreed wages for those whose recoveries are dered. to, the motions to reconsider be laid extended because of medical errors is The resolution (S. Res. 320) was upon the table en bloc, and that any significant. The Institute of Medicine agreed to. statements relating to the resolution put a price tag of between $17 and $29 The preamble was agreed to. be printed in the RECORD.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00003 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2758 CONGRESSIONAL RECORD — SENATE March 12, 2004 The ACTING PRESIDENT pro tem- vations I made based on a recent arti- common political tool—and the rich and pore. Without objection, it is so or- cle in the Boston Globe entitled ‘‘Cam- powerful seem above the law. dered. bodia’s Rights Movement Faces Peril.’’ The nation’s police, judiciary, and elec- The resolution (S. Res. 309) was tions institutions are controlled by the rul- I ask unanimous consent that the arti- ing party, led by Prime Minister Hun Sen, agreed to. cle be printed in the RECORD at the and many Cambodians and foreign aid work- The preamble was agreed to. conclusion of my remarks. ers have little confidence that justice can be The resolution, with its preamble, The ACTING PRESIDENT pro tem- served. reads as follows: pore. Without objection, it is so or- ‘‘I fear the killing fields in Cambodia are S. RES. 309 dered. still open,’’ said Kem Sokha, president of the Whereas today’s youth are vital to the (See exhibit 1.) Cambodia Center for Human Rights, refer- preservation of our country and will be the Mr. FRIST. Mr. President, this arti- ring to the place the genocidal Khmer Rouge future bearers of the bright torch of democ- cle describes ongoing political violence regime would kill its victims of torture from 1975 to 1979. racy; and intimidation in Cambodia against Whereas youth need a safe haven from var- Hun Sen, a former Khmer Rouge member ious negative influences such as child abuse, democracy and human rights advocates who deserted the regime and joined the re- substance abuse and crime, and they need to and the oppressive environment in sistance, has maintained his grip on power in have resources readily available to assist which these courageous individuals one form or another for nearly two decades them when faced with circumstances that work. Kem Sokha, Sam Rainsy, and all through collaboration with Vietnam, mili- compromise their safety; champions of freedom, have my respect tary coups, and elections deemed by inter- Whereas the United States needs increased and my support. national observers as lacking ‘‘free and fair’’ numbers of community volunteers acting as While I recognize their bravery and standards. positive influences on the Nation’s youth; The most recent elections, in July, saw the selflessness, I also hear their concerns ruling Cambodian People’s Party win a ma- Whereas the Safe Place Program is com- for their own safety. Tragically, the mitted to protecting our Nation’s most valu- jority of seats in Parliament, but not the able asset, our youth, by offering short term body count of peaceful advocates mur- two-thirds required to form a government. ‘‘safe places’’ at neighborhood locations dered in the line of duty continues to Since then, a tense political drama has heat- where trained volunteers are available to grow. Alliance of Democrats spokes- ed up between the CPP and the Democratic counsel and advise youth seeking assistance man Sam Ung Bung-Ang is right on the Alliance, made up of two opposition parties. and guidance; mark in saying: Although both sides talk of reaching a set- Whereas the Safe Place Program combines tlement soon, the stalemate persists. It’s not a bloody step forward when we go The government crisis has coincided with a the efforts of the private sector and non- from 1 million dead [under the Khmer Rouge profit organizations uniting to reach youth wave of high-profile murders the past few regime] to 200. Life is life, and one murder is months. in the early stages of crisis; too many. Whereas the Safe Place Program provides Chea Vichea, 36, who was affiliated with a direct way to assist programs in meeting Caretaker Prime Minister Hun Sen the opposition Sam Rainsy Party, was killed performance standards relative to outreach and the Cambodian People’s Party Jan. 22 in broad daylight in a driveby shoot- and community relations, as set forth in the have failed to uphold the rule of law or ing in Phnom Penh. A radio journalist, a fa- Federal Runaway and Homeless Youth Act to create conditions conducive to the mous actress, and her mother—all associated with the Democratic Alliance—were gunned guidelines; growth of democracy and prosperity. I Whereas the Safe Place placard displayed down in a similar fashion. add my voice to those calling for new Human rights workers and opposition lead- at businesses within communities stands as leadership in Cambodia. ers have seized on what they called a ques- a beacon of safety and refuge to at-risk Let me close by recognizing the work tionable investigation into Chea Vichea’s youth; killing, saying it shows the history of impu- Whereas more than 700 communities in 42 of the International Republican Insti- nity that has plagued Cambodia for decades States and more than 14,000 locations have tute in Cambodia. For over a decade, is still prevalent. Two suspects are being established Safe Place Programs; through grenade attacks, a coup d’etat, held; one accused police of beating him to Whereas more than 68,000 young people and several flawed elections, the insti- force a confession. have gone to Safe Place locations to get help tute has stood shoulder to shoulder Accusations have been leveled by the oppo- when faced with crisis situations; with those struggling for freedom. sition and democracy organizations that the Whereas through the efforts of Safe Place In such a hostile environment and killings were intended as a warning to oppo- coordinators across the country each year witness to countless injustices, the in- sition leaders to join the prime minister in a more than one-half million students learn stitute’s Cambodia director, Jackson government. that Safe Place is a resource if abusive or ne- A ruling-party spokesman, Khieu glectful situations exist; and Cox, is right to ask of the international community: Where’s the outrage? Kanharith, rejected any idea that the Whereas increased awareness of the pro- killings were ordered by members of his gram’s existence will encourage commu- It is past time the world’s democ- party, saying the allegations were political nities to establish Safe Places for the Na- racies stood up to champion liberty in ploys. ‘‘If we wanted to use violence, why tion’s youth throughout the country: Now, Cambodia. While Cambodia may seem wouldn’t we have hit someone higher up in therefore, be it small and unworthy of the world’s at- the party?’’ he said. Resolved, That the Senate— But outside of the government, the killings (1) proclaims the week of March 14 through tention, we should not forget terrorism thrives in lawless and chaotic condi- have raised alarms. March 20, 2004, as ‘‘National Safe Place ‘‘They certainly appear to be politically Week’’; and tions, the very kind we find in Cam- bodia today. It is a warning and a plea. motivated,’’ said Jackson Cox, the Cambodia (2) requests that the President issue a director of the International Republican In- proclamation calling upon the people of the I urge my colleagues to support reform stitute, an American organization that pro- United States and interested groups to pro- in this troubled land. motes democracy around the world. ‘‘The po- mote awareness of and volunteer involve- EXHIBIT 1 litical situation here is tense, and members ment in the Safe Place Programs, and to ob- [From the Boston Globe, Feb. 29, 2004] of the opposition, both high and low, are serve the week with appropriate ceremonies being murdered.’’ CAMBODIA’S RIGHTS MOVEMENT FACES PERIL; and activities. The recent killings have foreign relief RECENT SLAYINGS RENEW OLD FEARS f workers and many Cambodian wondering (By Rafael D. Frankel) STAR PRINT—REPORT 108–225 whether Cambodia’s development as a de- PHNOM PENH, CAMBODIA.—On a recent trip mocracy has foundered after making great Mr. FRIST. Mr. President, I ask to a village along the banks of the Mekong strides since the United Nations launched a unanimous consent that the Report River, Kem Sokha brought along not only $2 billion relief effort in 1992. 108–225 be star printed with the changes his trusted bodyguard but also a private The government points out that Cambodia at the desk. American security specialist. was rebuilding from total disaster. While The ACTING PRESIDENT pro tem- Kem Sokha is not a politician, a big busi- many problems remain, the political situa- pore. Without objection, it is so or- nessman, or a diplomat, but a leader in Cam- tion is much less violent than in the past, bodia’s fledgling human rights movement. Khieu Kanharith said. dered. And he believes his life is in danger. The opposition rejects such reasoning. f The recent brazen killings of a prominent ‘‘It’s not a bloody step forward when we go CAMBODIA labor organizer, Chea Vichea, and several from 1 million dead to 200,’’ said Sam Ung others affiliated with an opposition political Bung-Ang, a spokesman for the Democratic Mr. FRIST. Mr. President, I will group have heightened the sense of lawful- Alliance. ‘‘Life is life, and one murder is too close with a short statement on obser- ness in Cambodia, where murder is seen as a many.’’

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00004 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2759 Development statistics paint a picture of deaths, a heart attack where there is neath the breast bone and hooking slow progress. A 2003 UN report said Cam- blockage of blood flow to a part of a them on to the heart because of heart bodia is still ranked 130 of 173 countries on heart. That means more than one-quar- disease, that is strongly related to the Human Development Index. Other than ter of a million women in the United smoking. So if one stops smoking, it is Laos, Cambodia has the lowest life expect- ancy and literacy rates in the region, and States each year are struck down by less likely they will have that heart the highest mortality rates for mothers and this one disease. In fact, heart disease disease, and less likely that they will young children. is the No. 1 killer of women in this have the heart surgery. ‘‘With the economy now, state assets are country. Preventive screening: There are pre- war spoils, and what we call ‘corruption’ . . . Heart disease is at the top of the ventive screening tests, things such as is simply [the government] running the list—it is No. 1—and kills more women putting a blood pressure cup on the country like a family business,’’ said Sam than the next seven causes of death arm. In our recent Medicare bill that Rainsy, the main opposition party leader. ‘‘If combined. So we have the top eight we passed 2 months ago, for the first we continue like that, we will go down the causes of death, with heart disease as time in Medicare we have a routine drain.’’ physical exam so things such as hyper- Asked about the pace of Cambodia’s devel- the No. 1 diagnosis, and if we add up all opment and human rights record under the the other seven, we still do not have as tension can be detected. current government, the government spokes- many as those who die of heart disease. It is amazing in Medicare, the great man said more time and money were needed. As I speak right now, about 8 million program that we have today—but one (Cambodia receives about $500 million annu- women are living with some element of that needs to continue to be im- ally from foreign donors.) He also said Cam- heart disease, a potentially fatal condi- proved—that we did not have that bodia was being held to a higher standard of tion. In my home State of Tennessee, basic entry level physical exam, where democracy than its neighbors. nearly 200,000 women suffer with heart heart disease can be detected, until ‘‘We don’t have enough human resources,’’ under President Bush’s leadership we Khieu Kanharith said. ‘‘We’ve had a lot of as- disease which has proved that heart disease affects all age groups. Mr. passed this recent Medicare bill. sistance from donor countries. If you want to Sometimes heart disease strikes blame someone, blame them.’’ President, 73,000 women in Tennessee Many are now looking for the inter- are living with heart disease under the seemingly healthy women who may not national community to increase the pressure age of 64. So it is not just our elderly have ever had symptoms, who have no on the government. Although some U.S. sen- with heart disease. history of either being sick or in poor ators have criticized the government, reac- This is an area in medicine that can health in some way, who have those tion from most foreign governments and de- respond to education, to public infor- risk factors. It attacks people who velopment institutions, many of whom pro- mation, but there are few people today have not smoked as well. vide the funding for Cambodia to function, That is what happened to a Memphis who are aware of how widespread and has been muted. mother of three, Kathy Kastan, who at how devastating heart disease is among ‘‘Where is the outrage?’’ asked Cox, from the age of 42 suffered a heart attack. women. We know it is among men, and the International Republican Institute. She tells her story this way: Meanwhile, the political stalemate had de- we have seen the old images and the At 42 years old, I considered myself a layed the convening of the long-awaited warning signs of a clenched fist, cen- Khmer Rouge war-crimes tribunal. Govern- healthy, optimistic woman blessed with tralized pain as if an elephant is step- three healthy boys, a wonderful husband and ment and opposition politicians say the tri- ping on your chest, and if we look at bunal would go forward once a government devoted friends. I have always been less than was formed. the old pictures used in public edu- average weight, a nonsmoker and have exer- cation, health education, programs and cised my entire life. But then I noticed that Mr. FRIST. Mr. President, I suggest posters, almost always it is a man with during exertion like biking or running or the absence of a quorum. a clenched fist or grabbing both fists. swimming, that I would get strange symp- The ACTING PRESIDENT pro tem- That imagery is played over to the toms like nausea, turning pale, having short- pore. The clerk will call the roll. ness of breath. On occasion I would get a tin- point that most people do not realize gling down my left arm and left sided shoul- The assistant legislative clerk pro- how serious this disease is in women. It ceeded to call the roll. der pain. But never once did I consider that is imperative that we get the word out, I could have heart problems. And then one Mr. FRIST. Mr. President, I ask and I want to use this pulpit over the day, in a blink of an eye my life changed for- unanimous consent that the order for next 2 or 3 minutes to do just that. ever. the quorum call be rescinded. I encourage people to learn what the As it turned out, Kathy had a condi- The ACTING PRESIDENT pro tem- causes of heart disease are, what the tion known as vasospasm, or vessel pore. Without objection, it is so or- consequences of heart disease are, and spasm, which is exactly what it says, dered. what steps can be taken in order to where the vessels go into spasm and f lower the risk in terms of prevention they squeeze down; therefore, not as because we know what the risk factors much blood can get through that vessel WOMEN AND HEART DISEASE are. We know there are certain things because of a contraction of coronary Mr. FRIST. Mr. President, I rise to that can be done, and if they are done, arteries. Coronary arteries are the ves- talk about an issue that is very close it minimizes the risk either of being sels that feed the heart. The heart to my heart, having spent most of my debilitated by heart disease or dying of needs to get that blood, that nutrient, professional career fighting heart dis- heart disease. that oxygen because if there is obstruc- ease. I will start with a couple of facts The obvious things—again they need tion of the blood flow going to the people may or may not know, and then to be stressed because they are simple heart, the heart muscle does not work, make several points in terms of the im- to do, but you have to do them—are and that is what we call a heart at- portance of prevention. improving one’s diet, taking regular, tack. Fact No. 1, as I travel around the consistent, and moderate exercise. One Kathy went through five procedures country and talk, whether it is in the does not have to overdo it, but it is where stints were inserted in these ves- field of medicine or as a policymaker, regular, consistent, moderate exercise. sels. They are almost like a straw. If is that more women will die of heart The addiction of smoking has so you can imagine, like a straw the ves- disease this year than men. I say that many people locked in its grasp. Some sel is squished down, and the stint is and it is surprising to many people be- of our young people do start smoking, put in to keep the vessel open so it can- cause historically people thought be- and then if they do start smoking they not squeeze down even when it goes cause of the difference in gender and have to work very hard to break that into vasospasm. hormonal conditions women would be addiction. I say that again as a heart Then she underwent what is called a protected from heart disease. But, surgeon. coronary artery bypass operation again, more women will die of heart So many people I operate on—there which does require opening the chest disease than men. Indeed, each year are hundreds and hundreds of people I and taking a vein from the leg or an ar- 500,000 women—half a million people— speak to and educate who are not in tery called internal mammary artery die of heart disease in this country. the Senate, but being in the operating and hooking it on to the heart to by- Heart disease is a big spectrum, and room, opening up people’s chests, tak- pass those vessels which contract heart attack is about one-half of those ing veins out of the leg or from under- down.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00005 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2760 CONGRESSIONAL RECORD — SENATE March 12, 2004 For 8 months, Kathy says she simply Of course I am talking about a true The PRESIDING OFFICER (Mr. could not believe what was happening American patriot and hero, Michael CHAFFEE). Without objection, it is so to her. Remember, 42 years old, opti- O’Callaghan. While we all mourn Gov- ordered. mistic, healthy woman who had been ernor O’Callaghan’s passing, I am f struck by this disease. She was young, heartened that we here in this Cham- THE NOMINATION OF DR. MARK she was active at the time, and I quote: ber will continue to feel the impact of McCLELLAN AND THE RE- this great man through the service of When I had chest pain, I even began to IMPORTATION OF FDA-AP- doubt myself and thought that maybe I was his protege and former student, HARRY PROVED PRESCRIPTION DRUGS going insane. REID. Happily, Kathy is recovering and get- The essence of Governor Mr. DORGAN. Mr. President, we have ting her life back to normal, and she O’Callaghan’s contribution is perhaps finished our work on the budget resolu- credits her family, her close friends, best captured by an effort he under- tion early this morning, I guess at 1:30 her doctor, and the professionals at took in Nicaragua in 1996. He was in or so this morning. One of the last WomenHeart, which is a national orga- that war-torn country to observe the items of business that was conducted nization devoted to educating, advo- elections that would mark its first ever by the Senate this morning was the cating, and supporting women with peaceful transition of power between clearing of the nomination of Dr. Mark heart disease. It has been a tough road. democratically elected presidents. McClellan. I want to talk, just for a There were days she could not even At 66, Governor O’Callaghan could moment, about that issue. move from room to room in her own have asked to observe elections in the As you know, I had put a hold on his house without suffering these crushing, nation’s capital or its second city, but nomination. I want to explain the excruciating chest pains. She is getting he insisted on going north to the Hon- background of that hold and what hap- the treatment she needs and again, in duran border to observe elections pened last evening that allowed me to her words: among some of the most marginalized withdraw my hold on the nomination and allow his confirmation to occur. I am back to being a mother who can take people in a country of marginalized almost anything my kids dish out. people. He had to go there—in a bat- First of all, Dr. McClellan is the head tered truck over rained-out roads—be- of the Food and Drug Administration, Well, Kathy is one of millions of suf- and he has been nominated by the ferers and, like Kathy, before the heart cause, he said, these were his people whom he had gotten to know in the President to run the organization that attack many women do not even know administers the Medicare and Medicaid they have a heart problem. They only 1980s, and he wanted to be there with them as they celebrated the democracy Programs. It is a very important posi- find it out when it becomes severe. tion. It is an important position that As majority leader of the Senate, and they had earned. That determination and generosity of he held as head of the FDA, and the as a physician, as one who has spent spirit marked Governor O’Callaghan’s new position is also very important. his professional life studying that life. He was highly decorated, with the We had asked Dr. McClellan for some human heart and working in programs Purple Heart, the Bronze Star with a V months to come to the Senate Com- of prevention as well as treatment of for valor, and the Silver Star, in the merce Committee and testify. The rea- heart disease, I joined with the Presi- Korean war, during which he lost a leg. son we did that is we have a very sig- dent of the United States, President Aware of that bravery and personal nificant debate in this country, and es- Bush, and First Lady Laura Bush, and strength, Sargent Shriver reached out pecially in this Congress, about the other congressional leaders to launch to Michael O’Callaghan to make him a subject of the cost of prescription what is called the Heart Truth Cam- point man in President Kennedy’s and drugs. paign. It is vital that we raise aware- President Johnson’s fight against pov- We have had an abiding, lengthy de- ness so women get the treatment they erty. bate here in the Congress about the need and that they take the proper pre- Also aware of that bravery and prospect of importing prescription cautions so they never have to have strength of character, the people of Ne- drugs: Medicines from Canada, for ex- that later treatment. vada made him their Governor from ample, are the same prescription drugs I encourage my fellow Senators to 1971 to 1979. sold in this country—same pill, put in get the word out, to share information It was HARRY REID’s awareness of the same bottle, made by the same among themselves and among their O’Callaghan’s bravery and character company. The only difference is that own families, among their own commu- that led me, with great pride, to rec- they are sold for a substantial discount nities and among their constituents ommend him just last month to serve in Canada compared to the price U.S. back home to participate in educating on the Veterans Benefit Commission. consumers pay in this country. the public about this very serious Governor O’Callaghan died last Fri- The U.S. consumer pays the highest health issue. day morning doing what he did each prices in the world for prescription I suggest the absence of a quorum. and every morning of his life—attend- drugs, so many pharmacists and indi- The PRESIDING OFFICER. The ing daily mass before he went to work viduals have a desire to import that clerk will call the roll. at the Las Vegas Sun. He also fought identical drug for a lesser price from The assistant legislative clerk pro- for the poor and disenfranchised—from other countries. They do this in Europe ceeded to call the roll. Korea to Nicaragua to Nevada—each all the time. It is called parallel trad- Mr. DASCHLE. Mr. President, I ask and every day of his life. ing. If you are in Spain and want to unanimous consent the order for the While we are saddened by the loss of buy a prescription drug from Germany, quorum call be rescinded. Michael O’Callaghan, we can take com- you order it. If you are in Italy and The ACTING PRESIDING pro tem- fort in the knowledge that his gen- want to buy a prescription drug from pore. Without objection, it is so or- erosity of spirit, his strength of char- France, that is not a problem. So the dered. acter, and his devotion to his State and trade in prescription drugs between f country will not soon be forgotten, and countries in Europe occurs regularly. that his values and commitment to The Senate Commerce Committee has MIKE O’CALLAGHAN: A TRUE public service live on in our colleague heard testimony about it. There are no PATRIOT and his close friend, HARRY REID. safety issues. Mr. DASCHLE. Mr. President, last I yield the floor and suggest the ab- We have run into a problem because night just before we closed I noted the sence of a quorum. Dr. McClellan as head of the FDA de- absence of our distinguished assistant The ACTING PRESIDENT pro tem- cided to wage an aggressive campaign Democratic leader, Senator REID. He pore. The clerk will call the roll. to try to prevent the re-importation of was attending the funeral of one of his The assistant legislative clerk pro- prescription drugs and to prevent the closest personal friends. I come to the ceeded to call the roll. enactment of legislation in Congress floor this morning just to talk for a Mr. DORGAN. Mr. President, I ask that would allow for the re-importa- couple of minutes about this remark- unanimous consent that the order for tion of prescription drugs. We asked able individual. the quorum call be rescinded. Dr. McClellan to come to the Senate

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00006 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2761 Commerce Committee to discuss this that will develop proposals that will once again, to look at ways with which issue, and he was also asked repeatedly allow for the safe importation of ap- to address the issue. to testify in the House of Representa- proved prescription drugs. That is a I commend the Senator for his suc- tives. He repeatedly refused to do so. significant change and a significant cess and applaud him for keeping the As a result, I put a hold on his nomi- commitment. I appreciate the words Senate’s focus where it belongs: on nation. It was not acceptable to me to and the commitment of the majority bringing lower drug prices to seniors. move Dr. McClellan’s nomination un- leader. I also acknowledge his role in moving less he was willing to come and testify The minority leader, Senator the McClellan nomination forward. before the Congress on these issues. DASCHLE, has also worked on this issue This was a controversial nomination in Yesterday, Dr. McClellan did testify for some long while. Senator DASCHLE some ways. I have been working with before the Commerce Committee. I and is a supporter of re-importation done the majority leader over the last cou- others, including Senator MCCAIN, under conditions that would provide ple of days to consider the ramifica- asked him a substantial number of for safety and also for savings for tions of either holding up the nomina- questions about these issues. American consumers. tion or moving it forward. I will have I had a long telephone conversation Based on those two things—a com- more to say in a moment about an- with Dr. McClellan last evening. I also mitment from Dr. McClellan that when other very disturbing bit of news that had a conversation with the Secretary asked to testify, he will testify, and has just been released this morning. of Health and Human Services about also the commitment by Senator FRIST But I think because of the extraor- these same issues. A couple of things to move towards developing proposals dinary responsibilities that go to the happened as a result. that will allow for the re-importation office of CMS Administrator, filling No. 1, Dr. McClellan has given me a of FDA-approved drugs—I lifted my that position is something that is im- commitment that in his new position, hold and Dr. McClellan was approved. portant. I supported the effort to try to when he is asked to testify before the What we have accomplished in the move this nomination forward in spite Congress, he is going to testify. That is last few days—Senator MCCAIN, myself, of some of the misgivings I have, as de- an important principle for this Con- Senator SNOWE, Senator STABENOW, scribed so well by the distinguished gress. We ought not say to people: We and others—is a significant shift, and Senator from North Dakota. will promote you even though you stiff it will inevitably lead to a change in Let me say, though, that when we come back from the recess, I will come us. public policy that will allow for the to the floor to talk more specifically I use the term ‘‘stiff,’’ which is a safe reimportation of FDA-approved about nominations and the process term Senator MCCAIN used yesterday drugs that will allow the American that is currently being employed with at the hearing. That is exactly what people to get them at a lower price. regard to the consideration of other had happened. Dr. McClellan said he That is the goal. nominees from this administration. has learned from his confirmation ex- I yield the floor. perience and when asked to testify be- The PRESIDING OFFICER. The mi- Last night, I spoke with the distin- fore relevant committees of Congress nority leader. guished majority leader about some of in the future, he intends to do so. That Mr. DASCHLE. Mr. President, I con- the concerns I have. There are now is No. 1. That is an important step. gratulate the distinguished Senator over a dozen Democratic nominees, No. 2, when Dr. McClellan’s name was from North Dakota for his tireless ef- some of whom have been held for cleared last evening, Senator FRIST put forts and for the success he has now de- months by the administration. Their this statement in the Senate RECORD: scribed. Without his persistent leader- refusal to send the nominations to the Mr. President, I announce for the informa- ship, and the effort he has made over Senate has caused many of us to be tion of my colleagues that, in consultation the last couple of days, we would not concerned about the fairness with which this process has been imple- with the chairman of the Senate Committee be in the position we are today. I know mented. It will be very difficult for us on Health, Education, Labor, and Pensions, I speak for senior citizens and cer- Senator DORGAN, Senator STABENOW, Sen- to move forward on nominees in the fu- tainly for the members of our caucus ator MCCAIN, Senator COCHRAN, and other in- ture if this matter is not resolved. terested Senators, the Senate will begin a and many others who care deeply about I have indicated to the majority lead- process for developing proposals that would this issue. He has moved the process er that I will be providing him with the allow for the safe reimportation of FDA-ap- forward in quite a dramatic way in the names of those people who have not proved prescription drugs. last 48 hours. Were it not for his per- been given fair consideration and What is the import of that? The ma- sistence and the leverage he had with whose names have been withheld. And jority leader of the Senate, for the first regard to this nomination, we would whether it is in regard to judges or time, has made a commitment: He not be in the position we are. I am with regard to other executive appoint- wants to put together a group that will grateful to him for the work he has ments, there has to be a reciprocal develop proposals that will allow for done. treatment of nominees. the safe re-importation of prescription As he has just noted, this definitely If we are not able to move these drugs. That is a change. moves the ball forward. This is a sig- nominees in the future, I think it The question now is not whether we nificant development that will once would be very difficult for us to at have some mechanism by which we can again allow the Senate the opportunity least consider all of those who are import prescription drugs and, there- to consider the issue of drug reimporta- being given to us by the administration fore, have access to the reduced prices. tion in a meaningful way. with an expectation that they will be Instead, the question is how can we do I have absolutely no doubt there is voted upon until this matter is re- that. The majority leader used the growing support for the efforts of the solved. word ‘‘allow.’’ ‘‘Developing a process Senator from North Dakota and others We will have more to say about that that will allow for the safe reimporta- who have been advocating for drug re- when we return from the week recess. importation. In the last couple of days, tion of FDA-approved prescription f drugs.’’ That is a significant change the Senator from Mississippi, Mr. and a significant commitment. We will LOTT, announced his change of posi- THE MEDICARE DRUG BILL no longer fight about whether this tion, and for good reason. I talked with Mr. DASCHLE. Mr. President, I ought to happen. We will fight about, him last night about his desire to be wanted to call attention to another perhaps, the mechanics of how to make supportive of the effort. He, too, is matter that just came to our attention it happen. And that is OK with me. troubled by the pharmaceutical rip-off this morning. There was a story filed I appreciate Senator FRIST’s state- that is now going on and the deter- by the Knight Ridder news organiza- ment and his commitment. Senator mination among drug companies to tion in the Miami Herald, by Tony FRIST and I spoke four or five times hold senior citizens captive to high Pugh. The Miami Herald and other pa- last evening about this before he put prices for prescription drugs. On a bi- pers have had this story now on the his statement in the RECORD. partisan basis, Senator LOTT, and Re- Internet. I wanted to read a piece of it: Again, the majority leader has said publicans and Democrats alike, have The government’s top expert on Medicare that he commits to beginning a process joined Senator DORGAN. This allows us, costs was warned that he would be fired if he

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00007 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2762 CONGRESSIONAL RECORD — SENATE March 12, 2004 told key lawmakers about a series of Bush We will get to the bottom of this. But has died. I want to do this for a very administration cost estimates that could I think it calls into question how laws special reason. I think his passing have torpedoed congressional passage of the are made. It certainly calls into ques- needs to be noted by us. White House-backed Medicare prescription tion what efforts may now be made by Willie Nelson has a song called ‘‘My drug plan. the administration to keep information Heroes Have Always Been Cowboys.’’ The Senator from North Dakota was on other issues from Congress, before Out in my part of the country—I grew just addressing this issue. Obviously, we make critical decisions. up in western North Dakota—we under- the reimportation plan was part of the I think we ought to bring this bill stand Willie Nelson’s music and lyrics Medicare legislation, and had we been back for another vote. I think the and what his songs mean. Willie Nelson able to pass a meaningful reimporta- House and the Senate deserve to have a really gave voice, with ‘‘My Heroes tion provision, we could have brought vote based on all of the information, Have Always Been Cowboys’’ to a way down costs. not just part of it. If this and perhaps of life—about rodeos, ranch life, 10-gal- Again, quoting from a report copy- other information was withheld, Mem- lon hats, pickup trucks, sweet clover, righted by the Miami Herald: bers of Congress were called to vote wild horses, newborn calves, going to When the House of Representatives passed under false pretenses. They were called town on Saturday night, good neigh- the controversial benefit by five votes last to vote without having the truth. On bors, strong families, and living free. November, the White House was embracing an issue with these repercussions, we I grew up in a small area of western an estimate by the Congressional Budget Of- North Dakota. My dad was a good fice that it would cost $395 billion in the first have no other choice but to revote this 10 years. But for months the administra- issue. horseman. He raised horses. When I tion’s own analysts in the Centers for Medi- Already, the Congress has tried to was a young boy, we went to rodeos. care and Medicaid Services had concluded re- offer corrections to the bill. Bills have We did not have professional sports. We peatedly that the drug benefit could cost up- been offered and amendments sug- did not have Major League Baseball or ward of $100 billion more than that. gested to try to correct many of the the National Football League. We went Withholding the higher cost projections problems created by this bill. But now to rodeos. was important because the White House was we know, based on the information pro- I recall as a young boy going to the facing a revolt from 13 conservative House rodeos in all the small towns in North Republicans who had vowed to vote against vided in this article, that not only are the bill if it cost more than $400 billion. there significant policy questions, but Dakota, but also going to the National Representative Sue Myrick of North Caro- the very issues provided to Congress as Western Livestock Show in the coli- lina, one of the 13 Republicans, said she was fact before were, in fact, untruthful seum in Denver, CO. Cy Tallon was the ‘‘very upset’’ when she learned of the higher misrepresentations upon which Con- announcer, one of the great rodeo an- estimate. gress voted mistakenly. nouncers in our country. He would an- ‘‘I think a lot of people probably would So we are going to have to review the nounce, ‘‘Coming out of chute No. 2, have reconsidered [voting for the bill] be- available options that we have, with Jim Tescher from North Dakota.’’ cause we said that $400 billion was our top of regard to how this happened and what We had cowboys who were the best in the line,’’ Myrick said. the world—Jim Tescher, Tom Tescher, Five months before the November House ought to be done. I think an investiga- vote, the government’s chief Medicare actu- tion of some kind is certainly war- Alvin Nelson, Duane Howard, Dean ary had estimated that a similar plan the ranted. Whether this is criminal or not Armstrong—tops in the world. I re- Senate was considering would cost $551 bil- is a matter that we will certainly want member how proud I had been hearing lion over 10 years. Two months after Con- to clarify. But if not criminal, it is cer- these North Dakotans being introduced gress approved the new benefit, White House tainly unethical. at the National Western Livestock Budget Director Joshua Bolten disclosed I think we need to know the facts. Show—saddle-bronc riders, bareback that he expected it to cost $534 billion. How did this happen? Why did it hap- riders, and bull riders. They were the Richard Foster, the chief actuary for the Centers for Medicare and Medicaid Services, pen? Are there precedents for things best in the world—tough, good people which produced the $551 billion estimate, like this happening for which the situa- and champions. told colleagues last June that he would be tion called for another vote? As close Last month, one of them died. In a fired if he revealed numbers relating to the as that vote was, in the dead of night, cemetery in the Badlands of North Da- higher estimate to lawmakers. I think we owe it to the American peo- kota up on a hill, his casket sat to be ‘‘This whole episode, which has now gone ple, we owe it to seniors, to reconsider buried. His name was Jim Tescher. He on for 3 weeks, has been pretty night- these votes and question whether or came from a ranch in the Badlands of marish,’’ Foster wrote in an e-mail to some not we can put in place some absolute North Dakota. He rode in rodeos in of his colleagues June 26, just before the first Madison Square Garden, the Boston congressional vote on the drug bill. ‘‘I’m per- guarantee that this will never happen haps no longer in grave danger of being fired, again. Garden, and the Cow Palace. He won but there remains a strong likelihood that I I yield the floor. the saddle-bronc riding in the National will have to resign in protest of the with- The PRESIDING OFFICER. The Sen- Finals Rodeo twice. He was a real holding of important technical information ator from North Dakota is recognized. champion. He went for 2 years at one from key policymakers for political rea- Mr. DORGAN. Mr. President, fol- stretch as a professional RCA cowboy sons.’’ lowing the comments of my colleague, without being bucked off a saddle- Cybele Bjorklund, the Democratic staff di- this is a shameful thing to have had bronc horse. Think of that: 2 years rector for the House Ways and Means health without being bucked off a saddle subcommittee, which worked on the drug happen and to read about. It breaks the benefit, said Thomas Scully—then the direc- bonds of trust that exist in this town. bronc riding in rodeos. tor of the Medicare office—told her that he This is a political town, so we expect His first love was the ranch, the ordered Foster to withhold information and politics, but not in the context of infor- cows, and the horses, so he rodeoed that Foster would be fired for insubordina- mation given us by agencies that are when he could. He didn’t rodeo as much tion if he disobeyed. inherently nonpolitical and are sup- as some of the others, but when he did, The vote on this Medicare legislation posed to give us good information with he was a winner. After a long rodeo ca- was one of the most critical decisions which to make public judgments and reer, he returned to his ranch to live in Congress had made in 40 years on Medi- policy. I agree fully with my colleague. the Badlands. care. We are talking about a difference This not only breaks the bonds of Last summer, he was driving a little of more than $150 billion. What this ar- trust, but it is a shameful and dis- four-wheeler out in the Badlands to ticle states is that key members of the gusting thing to read in a paper this check on some cattle and it tipped, fell administration were told they would be morning. My hope is that it is fully in- down a cliff, and pinned him and para- fired if they told Congress the truth. I vestigated. lyzed him from the neck down. I went think this is one of the most reprehen- f to visit him at Thanksgiving time in sible actions that I have seen since the hospital in Mandan, ND. Jim was coming to Congress. TRIBUTE TO JIM TESCHER lying in his hospital room paralyzed. For the life of me, I cannot under- Mr. DORGAN. Mr. President, on an- He said to me that what he really stand how such irresponsible behavior other subject, I will now make some wanted to do was try to get back to the could be condoned, could be allowed. comments about a North Dakotan who ranch and the Badlands and look out

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00008 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2763 the picture window and see his cattle lius Caesar could tell you, the Ides of loyalty to our institution and to the once again. March is a good day to be far from the men and women who serve here. As a On December 23, they put Jim in a Senate Chamber, but this Ides of March result, he has won the trust of every wheelchair and wheeled him down to the Senate family has something to Senator and every staff person who has the front door of the hospital wrapped celebrate: the 25th anniversary of ever had the honor of working with in a blanket. Unbeknownst to him, his Marty Paone’s service to the Senate him. daughter had fetched his horse Bonner, Chamber. Thanks to his experience, every Sen- a horse just over 20 years old. Bonner The Senate is not the simplest of in- ator is better able to serve his or her had been with Jim all of his life. She stitutions. The rules and traditions constituents and the Senate is better brought his horse Bonner in from 180 that govern our work can seem baffling able to serve the needs of the American miles away. She hauled him in a horse even to the most experienced legis- people. We owe him an extraordinary trailer. lator. Marty has the most comprehen- debt of gratitude. There is no one I His daughter had Bonner standing be- sive understanding of the rules and know who has more respect and affec- hind a tree. They wheeled Jim out in a procedures of the Senate of anyone I tion for the Senate as an institution wheelchair and led Bonner out from be- have ever known. than Marty. On behalf of the entire hind the tree. This horse had not seen We may lose an issue because we do Democratic Caucus, I thank him for his his master for about 5, 6 months. Jim not have the votes, but in my time in service of 25 years. could not lift his hands, but he made the Senate we have never lost an issue I yield the floor, and I suggest the ab- that clicking sound with his mouth on procedural grounds. In fact, we have sence of a quorum. that cowboys make to their horse, and even won a few, and when we do, it is The PRESIDING OFFICER. The Bonner walked over and nuzzled him on thanks to Marty’s extraordinary clerk will call the roll. The legislative clerk proceeded to the nose. He still knew Jim after 6 knowledge and unerring counsel. He not only knows what the rules call the roll. months in the hospital. Jim had tears Mr. LEAHY. Madam President, I ask are, but how they serve the greater in his eyes that day. unanimous consent that the order for purpose of maintaining the Senate’s About 4 days later, Jim died, and on the quorum call be rescinded. January 3, a group gathered in the unique role within our democracy. This The PRESIDING OFFICER (Mrs. innate understanding has come as a re- cemetery in the Badlands to bury him. DOLE). Without objection, it is so or- This picture which was in the Cowboy sult of a quarter century of dedicated dered. Chronicle in North Dakota shows a service to the Senate and our Nation. f man named Brad Gjermundson, also a Marty was born in Everett, MA, and North Dakotan, a four-time world sad- is a graduate of Boston College. After A SQUANDERED OPPORTUNITY ON dle bronc champion rider. He rode to graduation, he made his way to Wash- LANDMINES that cemetery following the hearse ington to attend graduate school at Mr. LEAHY. Madam President, on leading Jim’s horse Bonner. As Jim Georgetown University. It was while February 27, I spoke on the floor about was to be buried that day in a coffin working on his master’s degree in Rus- the administration’s new policy on decorated with his well-worn cowboy sian studies that he first came to Cap- landmines. It is a policy that some in boots, some spurs, a rope, and some itol Hill. While attending school, he the administration had leaked to the cedar from the Badlands, the cowboys worked in the House post office and press the day before it was to be an- from North Dakota gathered around to later moved to the Senate parking of- nounced. And many believed it was pay their last respects. fice. In 1979, Marty joined the staff of being done to give it the most positive This picture shows a lonely horse the Senate Democratic cloakroom. A spin possible. watching his master being put away. few years later he joined the Senate The reason I want to take some time When I saw that picture in the Cowboy Democratic floor staff, and in 1991 be- to discuss it just prior to this recess is Chronicle, I knew I wanted to share came assistant secretary for the minor- some Senator may be asked about it. I with my colleagues the fact that this ity. In 1995, he was elected by the want them to know what the policy country has lost a really great cham- Democratic Caucus to the position he does and what it does not do. pion, a champion rodeo rider, but also holds today, secretary for the minor- The centerpiece of the policy is the a champion human being. ity. administration’s announcement that Teddy Roosevelt once lived in those Each of us knows that the Senate has they will eliminate, in 6 years, all per- Badlands, and Teddy Roosevelt once its own peculiar schedule that is unpre- sistent or ‘‘dumb’’ landmines that re- said: Cowboys don’t walk real well; dictable at best, but no one knows that main lethal indefinitely. that’s because they do most of their better than Marty. Twenty-one years First, let me say that any decision by work in the saddle. He could have said: ago, while planning his wedding, he and this or any other administration to Cowboys don’t talk much either; they his fiancee Ruby, who is also a member eliminate any type of landmine is a just love their country, they honor of the Senate family, pored over the positive step. I concur with the admin- family values, and they live free. And calendar looking for a date that they istration on this. These indiscriminate that describes Jim Tescher’s life. He, in could be certain the Senate would be weapons do not belong in the arsenal of my judgment, is one of those real out of session. They chose Veterans the world’s only superpower. Actually, American heroes, a North Dakota Day and made their plans. they do not belong in the arsenal of champion, and our State will miss him. Perhaps predictably, the Senate held any civilized nation. They do not dif- Mr. President, I yield the floor, and I a rare Veterans Day session that year, ferentiate between a child and a sol- suggest the absence of a quorum. and Marty did what he has seldom done dier. They are inhumane. They should The PRESIDING OFFICER. The in his 25 years, he actually missed a be banned. clerk will call the roll. day of work. Fortunately, the Senate I have traveled to many parts of the The legislative clerk proceeded to adjourned early enough for Marty’s world, sometimes in places where we call the roll. colleagues to share in his and Ruby’s use the Leahy War Victims Fund. I Mr. DASCHLE. Mr. President, I ask joy that day and make the wedding. have seen those who have been crippled unanimous consent that the order for Fitting one’s family life around the and disfigured by landmines. the quorum call be rescinded. peculiar schedule of the Senate is My wife is a nurse. Before she re- The PRESIDING OFFICER. Without never easy. It takes a lot of patience, a tired, she was on a medical surgical objection, it is so ordered. good sense of humor, qualities that unit. She has gone into some of the f Marty has in abundance. We are grate- surgery wards in these countries where ful to him, his family, his wife Ruby, a child had a limb blown off, and it had MARTY PAONE’S 25TH ANNIVER- and their children Alexander, Steph- to be reamputated to fit a prosthesis. SARY OF SERVICE IN SENATE anie, and T.J., for sharing their hus- It is terrible. And while there are mili- CHAMBER band and father with us. tary people on either side who are in- Mr. DASCHLE. Next Monday, March During his time in the Senate, Marty jured or killed, it is usually civilians. 15, the Senate will be in recess. As Ju- has shown unequaled dedication and The vast number are civilians.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00009 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2764 CONGRESSIONAL RECORD — SENATE March 12, 2004 So the fact that the administration The administration now defends its stepped back from it. And because of is pledging to get rid of these so-called decision to abandon the pledge to phase that, we made it easy for Russia and dumb mines, including anti-vehicle out these weapons on the grounds that China, other countries, to do so. dumb mines—albeit not until 2010— ‘‘after they are no longer needed on the In fact, I believe in our hemisphere that is constructive. It sets a good ex- battle field, [these mines] detonate or there are only two countries that don’t ample. turn themselves off, eliminating the ban land mines—the United States and But what was not said in the press re- threat to civilians.’’ They say ‘‘self-de- Cuba. Everybody else has. In fact, 150 lease, of course, is that the United structing landmines have been rigor- nations, including every member of States has not used this type of land- ously tested and have never failed to NATO except the United States, has mine for decades. We have not even destroy themselves or become inert joined the Ottawa Treaty banning anti- used them in Korea along the demili- within a set time.’’ personnel mines. tarized zone. Now, these self-destructing mines, It is arrogance for our country to We have stockpiles of these mines these mines with timers, do pose less of take such a unilateral attitude, for us around the world, but they are widely a danger to civilians. If the world only to say: We know it is for your own recognized by our military as posing used this type of mine, we would still good, get rid of land mines, but we not only an unacceptable danger to ci- have casualties of civilians, but there won’t. vilians, but also to our own troops. would be far fewer. Many times on this floor I have Once these mines are in the ground, But it is not that simple. For one talked about flying in a helicopter they impede the mobility of our own thing, the mines are also dumb. Once along the Honduras-Nicaragua border forces. I cannot imagine any combat activated, they cannot distinguish be- at the height of the contra war. I officer—certainly none trained by the tween an enemy soldier and a fleeing stopped at a hospital on the Honduras United States—who would support refugee or a child trying to get out of side, an area carved out of the jungle. using these indiscriminate weapons in harm’s way any better than any other It was a very rudimentary hospital, this day and age. dumb mine. with a small, separate unit for an oper- So the bottom line is that the admin- If they are touched, they will ex- ating room that was air-conditioned istration is saying: Since we do not use plode. You could be the farmer trying and sterile. The hospital part had a these mines, have not used these mines to get his animals out of harm’s way dirt floor, barracks, row after row of for decades, we will get rid of them, because a war is going on. These mines cots, in the corner, just some blankets. and we want the world to credit us for cannot distinguish between the farmer A young boy stayed there, 12 years that. and an enemy gunner. old or so. He had been living there for Well, that is sort of like saying we Secondly, we have only used this years since he lost his leg. He hobbled are going to stop using leaded gasoline type of mine once and that was in the around on a homemade crutch. He was in the United States to reduce air pol- first Gulf War. We used them there be- a peasant child who could not go to lution. Of course, we have not used cause we had assurances from the Pen- work in the jungle and help his family leaded gasoline for years, so it really is tagon that they had been well tested to get food because he was not up to it. not an issue. and they would self-destruct so we did He couldn’t climb the steep trails. He What the administration says is that not have to worry about them. had been out looking for food when he its new policy will ‘‘help reduce hu- Guess what. After that war, U.S. and stepped on a land mine. manitarian risk and save the lives of British deminers discovered thousands I asked him whether it was put there U.S. military personnel and civilians.’’ of these mines that had not self-de- by the Sandinistas or the contras. He But insofar as we do not use these structed as designed. They still needed didn’t know who they were. He didn’t mines, and have not used them for to be disarmed. In fact, I had one lead- even know there was another country years, the claim is meaningful only to er in combat in the first gulf war who just over the mountains called Nica- the extent that we can convince other said: We did use them. ragua. But he did know his life was nations to stop using them. I said: Did you trust them to self-de- changed. Unlike those of us who are Now, to do that, the administration struct? privileged to serve in this body where, says it will seek a worldwide ban on He said: Heck no. Neither I nor any- if we lost a leg we could continue to do the sale or export of dumb landmines. body under my command would dare our work, be paid the same, there That is a positive announcement. But send our troops across a field where we would be some inconveniences, but we is it realistic? have been told all these mines had self- would make it. Not he. If he didn’t We tried this back in 1994. We got no- destructed because we knew that a cer- have the floor of the hospital dor- where because other nations refused to tain number of them would not. mitory and if he didn’t have the medics even discuss giving up their mines if we Most importantly, Mr. President, by to give him some food, he had no place refused to give up ours. I have yet to insisting we will continue to use our to go. There are thousands of people— hear anybody say why they believe the more expensive self-destructing mines, thousands of children—like that. reaction of other nations, such as which the administration does, we give After that, we started the Leahy war China, Russia, Pakistan, and India, is other nations an excuse to continue to veterans fund, which to the credit of going to be any different this time. use their cheap dumb mines. I don’t our Nation, does use $12 million a year After 2 years of reviewing the land- know how many times I have talked to to buy artificial limbs, wheelchairs, mine policy, we say we are going to officials of other nations. I have said: and other assistance for war victims. eliminate the mines we no longer use. Why don’t you stop using land mines? We have passed a law to ban the export But what the administration glosses They have asked me: How can you, of land mines. over is that it has abandoned the key the most powerful nation history has But it is like trying to stop a flood. pledges the Pentagon made 6 years ago ever known, tell us we should give up As long as people continue to make to phase out all antipersonnel mines our land mines when you say you can’t them, continue to use them, they are outside of Korea by 2003, and in Korea give up yours? out there. We can’t bring more pres- by 2006. That would mean all the mines There is no answer to that. sure on China, one of the big makers would be gone now, outside of Korea; There was strong opposition in the and exporters of land mines, because and in Korea, the year after next. That Pentagon when we passed my amend- they say, rightly so, the U.S. still uses used to be U.S. policy, until February ment—finally, in the end, every single them. 27. Senator voted for it—which banned the It is so frustrating. I come from a That commitment included not only export of anti-personnel land mines. beautiful State, as does the Presiding dumb mines but also self-destructing Now the Pentagon and everybody else Officer. I have hundreds of acres of my mines. And the commitment to find brags about the step forward we took tree farm, wonderful fields and hills suitable alternatives to replace these in banning the export of land mines. It and mountain trails on which I can self-destructing mines was painstak- was a good step. But when we had a walk. My children and grandchildren ingly negotiated in 1998 between myself chance to join the Ottawa process to do. It is so much fun. All you worry and the White House and the Pentagon. ban these mines once and for all, we about is that you might trip and skin

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00010 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2765 your knee. You don’t have to worry minutes to recount this fascinating tunity to share experiences with oth- about a land mine. story. ers. It also shows Mr. Buffet was inter- Somebody said to me in one of these In the 2003 annual report of Berkshire ested in other people, the fact that he countries, when they were asking Hathaway Incorporated, a report that took this book and he actually read it. about land mines and why we didn’t do was released to shareholders on Satur- It was an autobiography of a fellow more in the United States to get rid of day, March 6, there was a fascinating businessman, indeed, a long way from them: How long would it take you in item that piqued my interest. Berk- his home. He was so impressed he the United States to ban them if your shire Hathaway is the $42 billion dollar turned around and ended up buying the children had to go to schools where firm led by someone who is considered company for $1.7 billion. they were told, you walk exactly be- to be the greatest stock market inves- The students took that opportunity— tween these two lines because, if you tor of all times, Warren E. Buffet. I call it is not always easy to go all the way step over it, you might have your legs the annual report to your attention be- from Tennessee out to Nebraska—to blown off? Or if you are like the teen- cause it contains an unusual story in- avail themselves of meeting the age girl in Bosnia whose family sent volving 40 students and a professor world’s renowned expert in the field. her away at the beginning of the war so from the University of Tennessee. They had the good fortune of getting she would be safe and finally got word For the last 5 years, Professor Auxier his advice. What they did not expect is to her that it is safe to come back and has led his finance class on a field trip to get that additional per person $3,100. she was running to her family and from Knoxville, TN to Nebraska to Now they are that much richer for the stepped on a mine. Her legs were blown meet that legendary oracle of Omaha, experience. off. I saw that young woman and as Mr. Buffet is known. The meetings That brings me to the second lesson talked with her in a hospital where the there would last as long as 2 hours as and then I will close, and that is what Doctors Without Borders and the students would have and took advan- I opened with. Make sure you always Leahy War Victims Fund were helping tage of that opportunity of peppering give a thoughtful thank-you present. It her and other mine victims. the investor with questions on every- is the right thing to do. You never, If this was happening in Washington thing, everything from finance to life ever know where it might lead. down on The Mall, if this was hap- lessons, to mentors, to instances or oc- f pening on the playgrounds of America, currences or events that shaped his CONFIRMATION OF DR. we would be rising up and saying: Get life. At the end of each meeting, the MCCLELLAN, MEDICARE AND rid of these things. group presents Mr. Buffet with a gift of DRUG REIMPORTATION I have talked about this so many appreciation, a gift of thank you for times that I am like a broken record. taking the time to share his thoughts Mr. FRIST. Mr. President, early this But I will keep talking about it as long with them. morning, in fact, a little over 12 hours as I am in the Senate. I will keep push- Professor Auxier tells my office his ago in the Senate, Dr. Mark McClellan ing and I will keep traveling around pupils always leave, as we might ex- became administrator for the Centers the world working with people who pect, exhilarated and inspired. At last for Medicare and Medicaid Services. I want to get rid of landmines. I will year’s meeting, the Tennessee group thank all of my colleagues for their co- keep raising money for landmine vic- presented Mr. Buffet with an autobiog- operation over the course of that whole tims, and I will keep trying to get rid raphy of Knoxville home builder Jim week, this past week, in order to facili- of landmines. Clayton. The book made sense. It was tate the confirmation of Dr. Mark I hope someday this wonderful coun- from their hometown of Knoxville, TN, McClellan. try of ours, which I love and every one where the University of Tennessee is I say that because the responsibil- of us loves so much, will stand up and located. They left this as a thank you. ities of the CMS—again, the Centers say: Enough. We will, by our own ex- This would not be particularly note- for Medicare and Medicaid Services— ample—not by unilateral arrogance worthy except for the fact Mr. Buffet are that of being the Government orga- saying you get rid of them, but we became so interested in Jim Clayton’s nization responsible for Medicare and won’t—use the moral suasion of our story and his successful venture—Jim Medicaid in this country. These respon- Nation and get rid of landmines. Maybe Clayton’s successful venture called sibilities are crucial. The adminis- then others will, too. Clayton Homes—that Mr. Buffet turned trator oversees the program that pro- Madam President, I suggest the ab- around and bought the Knoxville com- vides health care coverage for over 70 sence of a quorum. pany for $1.7 billion. He closed that million people, including seniors, as we The PRESIDING OFFICER. The deal last October. know, including individuals with dis- clerk will call the roll. Now the story gets even better. Mr. abilities, with low-income children, The legislative clerk proceeded to Buffet was so appreciative of the stu- with pregnant women—a huge respon- call the roll. dents who had come to visit him to sibility. Mr. FRIST. Mr. President, I ask share his thoughts with them, putting This becomes critically important unanimous consent that the order for him on to Clayton Homes investment because the challenges facing CMS the quorum call be rescinded. through this very simple gift, so this today are greater than at any time in The PRESIDING OFFICER (Mr. past October he presented each of them this agency’s history. I say that be- ALEXANDER). Without objection, it is so with a share of class B stock in his cause the head of that agency, now Dr. ordered. company. The shares are now worth McClellan, will be charged with imple- f roughly $3,100 each. He also gave the menting the Medicare Modernization professor a share of his class A stock Act and, in a very short period of time, BERKSHIRE HATHAWAY which was worth, as of yesterday, educating seniors about the benefits of Mr. FRIST. Mr. President, we will be $94,700. Professor Auxier tells my office the new law, about the advantages of wrapping up here in about 15 or 20 min- when Mr. Buffet unveiled these sur- the new law, and how they best can utes. prise gifts, everyone was simply, using take advantage of these new benefits. Seeing the Presiding Officer, who is his words, flabbergasted. It is going to take a strong and from Tennessee, I want to pull out All of this is recounted in Mr. Buf- steady hand to get the job done. I am something which I find remarkable. It fet’s annual report to his shareholders. confident, and I think my colleagues doesn’t have anything to do with Sen- Those shareholders now include those on both sides of the aisle have ex- ate business, but it does have some- 40 very lucky students and a tremen- pressed that strong confidence, in Dr. thing to do with the State which the dously appreciative professor from the McClellan. He has the skills, he has the Presiding Officer represents and which University of Tennessee. commitment, he has the temperament, I represent. In fact, it is a historic sort I believe there are two lessons to be he has the judgment, he has the leader- of message. The bottom line is very learned from this delightful story. The ship abilities, all of which have been simple. It has to do with saying ‘‘thank first is to be interested in other people. demonstrated in Government. He has you’’ and the thoughtfulness of saying We all, no matter how busy we are, served under both President Bush and ‘‘thank you.’’ I will take a very few should take advantage of that oppor- President Clinton in Government, and

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00011 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2766 CONGRESSIONAL RECORD — SENATE March 12, 2004 also in the private sector as a physi- McClellan yesterday, the whole issue of I also believe the Senate can best—or cian. President Bush nominated ex- prescription drug reimportation has should best—address this through the actly the right person for this point in arisen, has been discussed, has been committee of jurisdiction. As majority time. talked about. It is a very important leader, I have tried to focus on appro- I think the Medicare bill is a tremen- issue, an issue that, as majority leader, priate jurisdiction for the committees, dous bill. It has tremendous potential I can tell you we will address. It de- and the committee for that is the com- to modernize Medicare, on a voluntary serves to be addressed. mittee that the Presiding Officer has basis, where if people want to take ad- We addressed it in the past by saying taken such a leading role on; that is, vantage of this newer, more modern, reimportation, under certain prescrip- the HELP Committee, the Health, Edu- more up-to-date Medicare, they can or tions and limitations. Reimportation is cation, Labor, and Pensions Com- they can keep exactly what they have. fine, but it is fine only if we can dem- mittee, that is led by Chairman JUDD The legislation was bipartisan. It was onstrate and guarantee safety; that is, GREGG. signed by the President of the United we can tell a senior, yes, you can have Through that committee of jurisdic- States last year. If you just back away reimportation, say, from Canada, but tion, we will begin to examine what from it, it does—bottom line—what we you can say that and allow it to happen barriers do exist—and the safety bar- know we have needed to do for a long only if you can look that senior in the rier is one—to reimportation and deter- time; that is, to give seniors and indi- eye and say: You are going to be OK. mine, first, whether there are ways you viduals with disabilities better access The medicine you get will be exactly can reduce those barriers, but how you to the most powerful tool in American what is prescribed, with the same sort can reduce those barriers, how we medicine today: prescription drugs, at of safety certification, safety guaran- should address those in a legislative lower out-of-pocket costs. That is it. tees you get with medicines that are fashion, and then reduce those barriers And it is voluntary. manufactured in the United States. legislatively, if we need to. Beginning in a few months—this is, Some of it—in fact a lot of it—is I look forward to working with in part, a segue from Dr. McClellan— being driven by the fact we have these Chairman JUDD GREGG, chairman of seniors will be eligible for the savings skyrocketing costs in health care, the HELP Committee, and to reaching of 10 to 25 percent, and low-income sen- which we have to address, we should out broadly to all my colleagues—Sen- iors will receive an additional $600 in address, and it is our responsibility to ator DORGAN, who has taken a real lead value in additional assistance through address because they cannot be toler- on this; Senator MCCAIN; Senator STA- the Medicare-endorsed prescription ated long term—whether it is by an in- drug cards. BENOW; and Senator THAD COCHRAN, dividual who is taking care of them- who has been the author of the amend- I have had the opportunity to meet selves or their children or their family this week with a number of outside or- ment we have used and addressed on members or a business with sky- the Senate floor, has been a real leader ganizations, including the AARP, rocketing health care costs which are in this field—on both sides of the aisle where we have talked about the impor- driving the cost of doing business so to address this very important issue. tance of educating seniors appro- high they no longer are competitive priately so they can take advantage of against other businesses in this coun- f these new expanded benefits. try or businesses in other countries. S. CON. RES. 95 There is a whole range of other bene- In fact, it ties to other discussions we fits in this new, modernized Medicare Mr. LEAHY. Mr. President, earlier have about outsourcing and insourcing this morning, an amendment offered by Program—and we talked a lot about it and jobs going overseas, because if the on the floor—including disease man- the senior Senator from Ohio was ac- cost of doing business gets so high cepted by voice vote. At the time, I agement; chronic disease management; here, and it is not high in other coun- withheld from speaking on this amend- improving preventive care, so we can tries, you simply are not going to be ment in order to expedite consideration make the diagnosis of things such as able to grow businesses here and people of the budget resolution, but I would hypertension for people who come of will shift businesses overseas. So we now like to take a moment to give my Medicare age; improving the efficiency must address it. And we will address it. and safety of Medicare through elec- Many people believe part of the sky- full statement. This amendment addresses a serious tronic prescribing, to eliminate the po- rocketing costs can be addressed by ad- tential of so many errors that can be dressing the reimportation of drugs. In- shortfall in the President’s foreign af- made through so many steps that cur- deed, in the Medicare law I was just fairs budget: funding for international rently the prescription of medicines speaking to, we began to address this health programs. travel; significant regulatory relief. issue head on. We, in that bill—a lot of I commend Senator DEWINE for his You put those two together—with people do not realize it—asked the ad- leadership on these key humanitarian Mark McClellan as the person who will ministration to prepare a comprehen- issues. Compared to some of the other be responsible for implementation, sive report that would come back to us amendments offered today, it is not a with what is a complex system but one in the Congress to identify the myriad large amount of money. But, it means that takes action now—and I think we of critical issues that are raised by re- life and death to literally millions of will have a very effective laying out of importation, including, first and fore- people. the benefits so people can take advan- most, patient safety. This amendment provides $330 mil- tage of it. As a physician, I am going to keep lion for the Child Survival and Health Mark McClellan’s background as a coming back to the patient’s safety, Programs Fund. It is fully offset by re- physician, as a doctor, I think will be because unless we can look people in ducing the amount that the Federal enormously helpful in translating the eye and guarantee they are going Government spends on administrative these legislative reforms into lasting to be safe through obtaining drugs expenses by $330 million. improvements that will give our sen- from overseas, we cannot—we just This reduction will not be painful. iors better health care security. That, should not—proceed down that path. We do not micro-manage the process, again, is sort of the bottom line. You Well, in response to the Medicare leg- and leave it to the administration to want to be able to look seniors in the islation, the administration has al- determine where to make these cuts. eye and say: You will be more secure in ready set up a task force. That task But, I can think of some places that terms of your health care with this force has begun the process. We look the Administration might want to bill. We know that is the case, but now forward to receiving the findings from start. it has to be implemented. So I look for- that task force. For example, next year the adminis- ward to working with Dr. McClellan as Indeed, the public hearings will begin tration plans to spend $5.5 billion on he works to implement this new Medi- this coming week while we are in re- ‘‘transportation of things’’; $21.1 billion care law. We build on what truly was cess. I believe the first meetings are on ‘‘supplies and materials’’ for federal historic legislation to provide afford- with outside consumer groups that will agencies—not including the Depart- able, high-quality care to our seniors. come in and report to that task force. ment of Defense, Veterans Affairs, and On the floor earlier today, and last Then the task force will report back to Homeland Security; and about a billion night, and in some hearings with Dr. us. dollars on printing costs.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00012 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2767 If you want specifics on how to pay The President’s budget would cut population, plays a key role in pro- for this, one could come up with this programs for vulnerable children by 64 tecting this nation. At the core of this scenario. percent. These programs help provide country’s national defense is the ICBM The administration is planning to in- the basic necessities of life to orphans, program maintained by Malmstrom Air crease the amount spent on ‘‘supplies street children, and children whose Force Base. This program must be fully and materials’’ for the Departments of lives have been turned upside down by modernized and I support Malmstrom’s Agriculture, Commerce, Education, En- war. mission 100 percent. ergy, and Interior and the FDIC. Sim- Child survival and maternal health Montana also shoulders a unique re- ply maintaining the FY04 levels for programs are also cut. These are the sponsibility to protect this nation due these agencies yields $158 million. programs that provide lifesaving child to the 600-mile land border—the equiv- Freezing certain non-defense agencies’ immunizations. They also help to re- alent distance of Washington, DC, to budgets for printing costs at the FY04 duce needless pregnancy-related deaths Chicago—we share with Canada. This levels, which would otherwise be in- each year. Six hundred thousand border is porous and topographically creased, brings the total amount of off- women die from pregnancy related diverse and it constitutes the front line sets to $173 million. causes. Almost all of these deaths in the war on terrorism. We have to To get the remaining $157 million, could be prevented. make sure we not only have enough one can freeze a number of combina- We should be moving aggressively to agents at the border, but that we get tions of proposed FY04 increases for increase funding for these successful them the equipment and technology ‘‘other services’’ of non-defense agen- programs—not reduce funding. they need to secure Montana’s borders, cies. This includes, but is not limited This is not a partisan issue. Over the and to head off any threats directed to- to, increases to the Departments of past 6 years, Democrats and Repub- ward populations and infrastructure Commerce, Energy, the Judicial licans have worked side-by-side to in- anywhere else in the country. Branch, and the FDIC. The portions of crease funding for international health. the government that I just listed total Funding for AIDS is going up, but it is Though not every state has an inter- $365 million so this is more than going up at the expense of programs to national land border it must secure, enough. When added to the ones listed combat other diseases which also cause every state has the sacred duty to pro- above, this is $538 million in offsets. millions of deaths. Preventable deaths. tect the people who call it home. In the The use of Function 920 to pay for And curable diseases. This is unaccept- past 21⁄2 years, the states, with federal these offsets, which are spread over a able. assistance, have made strides in emer- range of different functions, is appro- We cannot save every life. Our inter- gency planning and terrorism prepared- priate in this case. This is the type of national health budget is less than the ness. We need to give our first respond- offset that Function 920 was estab- health budget of my own tiny State of ers the training, equipment, personnel lished to accommodate. Vermont. The President’s budget would and resources that they need. But we’re These are not my numbers they are cut it even more. Our amendment not there yet and we’ve got to stay the OMB’s. I encourage my colleagues to would at least protect these programs course. That’s why I joined 22 of my read the Object Class Analysis docu- from further cuts. colleagues in the Senate in urging the ments for further information. Less than 1 percent of the Federal Budget Committee to find a way to re- I could go on, but we get the point. budget is used to combat the condi- store $1 billion dollars to the State There is enough flexibility in this tions that cause poverty around the Homeland Security Grant program budget to do a tiny bit of belt tight- world. This is woefully inadequate. It that was cut from the fiscal year 2005 ening in order to save lives overseas, shortchanges America’s future. It in- budget. Montana’s first responders rely build goodwill towards the United vites insecurity. almost entirely on this assistance for States, and reduce the conditions—pov- One would have thought that if Sep- their terrorism preparedness efforts. erty, sickness, and despair—that help tember 11 taught us anything, it was But that’s not enough. We need to terrorists gather fresh recruits. that business as usual is no longer tol- make sure that our state and local law It may mean a few less paper clips or erable. As I have said before, the Presi- enforcement get the funding they need a few less glossy brochures, but the dent deserves credit for the Millennium if we expect them to protect our com- savings will be well worth it. Challenge Account and for increasing munities and prevent the threat of ter- The President’s national security funding for HIV/AIDS. rorism. How can we expect our commu- strategy recognizes the essential role But, I ask Senators to look behind nities to fight the war on terrorism if of foreign aid. But while we read about the curtain to see these are funded. we aren’t willing to fund it well enough the importance of foreign aid, we don’t Some is new money. Sadly, some is to win? see it throughout the President’s budg- from cuts to other essential humani- The same people who prepare for the et request. tarian programs. Most of us have praised the Presi- If we are going to lead, and especially unthinkable terrorist plot must also dent’s budget for significant increases if we are going to ask others to do plan for nature’s devastation, which for the Millennium Challenge Ac- more, we are going to have to stop our state knows all too well. These count—MCA—and to combat HIV/ playing shell games with the foreign brave people serve their communities AIDS. However, I have serious concerns aid budget. Leadership is good policy. and their nation without regard for the because a portion of these increases are Leadership means resources. risks they take. We ought to be thank- paid for by robbing other essential pro- I yield the floor. ing them. We ought to get them the grams, like health care and food aid. Mr. BAUCUS. Mr. President, securing personnel and resources they need and Our amendment would restore some of this nation’s borders and keeping I am committed to finding the way to these cuts. Americans safe from terrorist threats do that. The money needs to be there Putting AIDS aside, the President’s is of the utmost importance to this for coordinated communications for budget cuts essential international body. That is why I support the men state, local and federal agencies, for health programs by 11.4 percent. and women who serve this country. fire fighters and emergency managers, It would cut programs to combat Thousands of men and women are cur- so that they can save time and save other infectious diseases like measles, rently deployed in Iraq, Afghanistan lives in the event of any disaster we’d which kills 1 million children—not and other parts of the world. We count rather not imagine. 100,000 or 200,000—but 1 million children on so many of these brave men and Security in Montana is more than each year. Measles can be prevented women to protect our communities at knowing our borders and communities with a simple vaccine that costs pen- a moment’s notice and for that, too, we are protected. It is also knowing that nies. Yet in many poor countries they thank them. We want them to come our children are receiving the top cannot get it. home safe to their families, and to find notch education we have come to ex- The President’s budget would cut good jobs and good healthcare waiting pect. Montana schools have made do programs to combat measles and other for them. with too little for too long. It is access infectious diseases like SARS, ebola The State of Montana, known affec- to affordable health care. Unfortu- and malaria, by 24 percent. tionately for its ‘‘big sky’’ and small nately, access to health care remains a

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00013 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2768 CONGRESSIONAL RECORD — SENATE March 12, 2004 challenge for many, particularly Na- ment to more adequately and honestly amendment offered by Senator BAUCUS tive Americans and Veterans. It is crit- budget for our operations, and I very which stripped the reconciliation in- ical that the necessary resources are much hope that as it comes out of con- struction that would have severely lim- provided in Indian Health Services and ference, the final version of the budget ited consideration of the issues sur- Veterans Administration. resolution will adopt the approach I rounding the proposed significant re- Unfortunatley, it is commonplace for have advocated—forthright budgeting shaping of Medicaid. The President’s Native Americans seeking care from that pays for our operations instead of proposed changes to that program Indian Health Service to be denied es- shoving the cost onto future genera- would put thousands of Wisconsin’s sential services that most of us simply tions. most vulnerable residents at risk, and take for granted. This is a problem. I regret that this theme of ‘‘buy now the Baucus amendment will make it I believe we also owe it to our vet- pay later’’ pervades this budget, as it harder for Congress and the White erans to better attend to their medical has for the past 3 years. This resolution House to gut this essential safety net. needs. Surely the greatest nation in heads our budget in the wrong direc- I regret the body did not adopt the world should be able to keep their tion. As our distinguished Ranking amendments offered by the Senator promise to the veterans who have Member, Senator CONRAD, has noted, from Maryland, Mr. SARBANES, and by fought for and protected our nation. when compared with current policies as the Senator from North Dakota, Mr. There are many challenges that face represented in the CBO baseline and as DORGAN, that would have provided us now. By working together, we will adjusted by taking out last year’s sup- needed support for our first responders, make America stronger. plemental appropriation for our oper- who are on the front lines in our fight This week throughout the Senate’s ations in Iraq and Afghanistan. this against terrorism. The administration debate on the budget several very good budget resolution further worsens the did not include adequate support in its amendments, including several on budget bottom line. Budget deficits budget, nor did the resolution as it issues I just mentioned, were offered will be greater, and Government debt came out of committee, and the Senate that I, unfortunately, could not sup- will be larger under this budget. failed to correct that defect when it re- port. I do not believe that we need to That means that this budget further jected those amendments. This is an roll back tax relief that Congress en- adds to the burden our children and area of funding as critical to the secu- acted in 2001 to fund this amendment. I grandchildren already bear because of rity of our country as any other, and supported those 2001 tax cuts. Congress the fiscal recklessness of the past three while I was pleased to support another enacted them in a time of massive sur- years. amendment in this area, offered by the pluses. Returning some of those sur- In one important respect, this resolu- Senator from Maine, Ms. COLLINS, and pluses to the taxpayer was the right tion is a significant improvement over the Senator from Michigan, Mr. LEVIN, thing to do. the version reported out of committee, to provide a portion of the resources We can find other offsets to pay for because it restores some of the budget that are needed, I very much hope fur- the spending in this amendment. Off- enforcement we so desperately need as ther improvement can be made before sets like the closing of corporate tax we face massive budget deficits for Congress takes final action on the reso- shelters currently pending in the JOBS years to come. I was pleased that the lution. bill come readily to mind. Before we Senate approved my amendment to re- I was also disappointed that the Sen- start rolling back the tax relief that we instate the discipline of the PAYGO ate did not act to improve the measure enacted in 2001, we should ensure that rule which requires that all new man- by returning to the ‘‘polluter pays’’ we have taken all reasonable steps to datory spending and all new tax cuts be policy that served us so well for many obtain revenues through closing down offset or be subject to a point of order. years. I was pleased to join with the abusive tax shelters. As it came out of committee, this reso- Senator from New Jersey, Mr. LAUTEN- I shall look forward to working with lution maintained the far weaker rules BERG, in offering an amendment to do my colleagues to find other offsets for embedded in last year’s budget resolu- just that, and I regret that this sen- their amendments—offsets that as tion, inviting further damage to the sible policy was rejected. much as possible avoid rolling back the budget, and further debt to be heaped While the Senate failed to add that tax relief that we enacted in 2001. on the backs of future generations. provision, it did adopt an amendment I Mr. FEINGOLD. Mr. President, first, With the adoption of my amendment, strongly supported, to increase funding I want to offer my congratulations to the Senate has taken an important to support state compliance with Fed- our Budget Committee Chairman, Sen- step toward turning around the rapidly eral clean water standards. The goal of ator DON NICKLES, for his efforts to deteriorating budget position. that deficit neutral amendment is to craft a budget. He has announced that This resolution is also an improve- provide $3.2 billion for the Clean Water he will retire from this body at the end ment over the original mark offered by State Revolving Fund and $2.0 billion of his current term, and so this will be the chairman because of an amendment for the Safe Drinking Water Act Re- his last budget resolution, and his adopted in committee that facilitates volving Fund, both vitally important work on the Budget Committee and in the reimportation of FDA-approved programs that were not adequately this body deserve recognition. Though prescription medicines that I was funded by the President in his budget I oppose the budget resolution he pro- proud to join with Senator STABENOW submission. duced in committee, and that was ap- in offering. Our amendment will not As I noted earlier, this budget heads proved by this body, I have nothing but only save money for those who rely on us down the wrong fiscal path. If we the greatest respect for the author of those medicines, but it also will reduce are ever to climb out of the deficit that document. our budget deficits and save taxpayers ditch again, we need to start now. Un- Let me also note that the resolution billions of dollars. fortunately, this resolution, though an passed by the Senate is an improve- And I should note that this resolu- improvement on what the President ment on the disastrous budget the tion does not rely on revenues raised proposed, still leaves us worse off than President proposed, and I credit Chair- by drilling for oil in the Alaska Na- merely extending current policies. man NICKLES with a great deal of that tional Wildlife Reserve, and I want to We must do better than that if we are improvement. In particular, I want to express my thanks to the chairman for to avoid heaping even more debt onto commend him for including at least responding to the appeal a number of the already enormous burden our chil- some of the expected cost of our mili- us made with respect to this issue. I dren and grandchildren must bear. tary operations in Iraq and Afghani- was prepared to fight to remove such stan in his mark. Though it is still far language, and I think the chairman f short of what our best estimates tell us was wise not to rely on revenue as- will be needed, it is a great improve- sumptions that have always been ques- NOMINATION OF NEIL WAKE ment to the ‘‘head in the sand’’ ap- tionable, and that were at risk of being Mr. KYL. Mr. President, I support proach adopted in the President’s fiscal removed from the resolution. the nomination of Neil Wake to the year 2005 budget proposal. I regret the The resolution was also improved on Federal District Court for the District committee did not support my amend- the floor when the body adopted an of Arizona.

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Mr. Wake received day the Judiciary Committee met in the investigation of the lead of CIA op- a bachelor’s degree with honors from public session to discuss how best to erative Valerie Plame’s identity, would Arizona State University in 1971 and a proceed with the investigation into the be an ‘‘ideal candidate’’ and that his law degree, cum laude, from Harvard theft and dissemination of confidential mandate is a good model for that of the University, in 1974, where he was a Judiciary Committee computer files. prosecutor to whom is assigned respon- member of the Harvard Civil Liberties Over the last several weeks and months sibility for investigation of the matter of the Judiciary Committee computer Law Review. Democratic Senators have shown great patience with the process. files. His law practice has focused almost Last week, the chairman of our com- With respect to the Sergeant at entirely on civil litigation. He has han- mittee made the report of the Sergeant Arms’ report, I, again, thank him and dled a wide range of business litigation, at Arms into this matter publicly his staff for operating in a nonpartisan administrative and public law litiga- available. For days, Senators have been way and in the best tradition of the tion, and constitutional litigation consulting about the follow-up inves- Senate. The report shows, without under the federal and state constitu- tigation that is now needed. Over the question, that the secret surveillance tions. He has practiced extensively in last few weeks a number of Senators, and stealing of confidential computer both state and federal courts, in trial Republicans and Democrats, have ac- files was calculated, systematic and courts and appellate courts, including knowledged that these matters, now sweeping in its scope. After reading the the Supreme Court of the United documented in the report of the Senate report, there is a lot more that we do States. Sergeant at Arms, warrant further con- know: We know that more than 4,000 sideration by law enforcement offi- computer files were stolen. We know Mr. Wake has spoken often at con- cials. Along with other Senators, I that the stealing of Democratic com- tinuing legal education programs on have reached across the aisle to urge puter files occurred over an extended civil procedure, administrative law and all Senators to now join us in a request period of time, from at least 2001 into judicial review of government action, for a special counsel to conduct the in- 2003. We know that numerous staff appellate practice and procedure, and vestigation necessary to complete ac- members of Republican Senators and other subjects. He has published arti- tion and assure accountability for this Republican Senate leadership were cles in the fields of administrative law unprecedented partisan espionage with- aware of this activity. We know that and appellate procedure. in the Senate. Yesterday I renewed what was done was improper, unethical Mr. Wake has received high recogni- that invitation to join in our request and likely criminal. tion from his peers at the bar. Since for the appointment of a special coun- However, after reading the report, 1989 he has been listed in The Best sel of the highest integrity and inde- there is still a lot that we do not know. Lawyers in America for business and pendence to follow up on this matter. We do not know how the computer files appellate litigation upon recommenda- I had hoped that we could move for- and the information contained therein tion of other lawyers so listed. Less ward together, and yesterday we did were exploited. We do not know wheth- than 1 percent of attorneys are so rec- achieve a bipartisan majority of the er the stolen computer files or the in- ognized. Since 1993 he has been a Fel- Judiciary, which has now joined in re- formation in them were shared with questing a criminal investigation by an low of the American Academy of Appel- the Department of Justice directly or independent prosecutor. indirectly. We do not know whether late Lawyers, a professional society of On Wednesday, March 10, nine Sen- fewer than 300 members nationwide they were shared with the White House ators on the committee sent a letter to directly or indirectly. We do not know who are admitted by invitation only the Justice Department seeking the ap- and after careful investigation. The whether they were shared with any of pointment of special counsel in this the nominees. We do not know what American Bar Association’s standing matter. Thursday morning, March 11, committee on Federal Judiciary unani- stolen files or information contained nine Republican Senators wrote to therein was shared with partisan advo- mously gave Mr. Wake its highest eval- Chairman HATCH and noted: cacy groups on the right. Those are uation of well qualified for appoint- [W]e are now certain that only a deter- among the questions that a special ment as a Judge of the United States mination by a professional prosecutor as to counsel with the tools to conduct a District Court. whether any laws were violated will bring this matter to a just and timely resolution. criminal investigation and compel tes- He has given many years of service to timony and information may discern. Yesterday all members on the Judici- the bar, to the courts, and to the com- Indeed, the Sergeant-at-Arms report ary Committee endorsed having a pro- munity. He has served for nearly 20 acknowledges many of its limitations fessional prosecutor free from politics years on the Arizona State Bar’s Com- and those on the authority of that of- consider these matters without regard mittee on Civil Practice and Procedure fice to get all the facts. to partisanship. and for over 20 years on the State Bar’s Last night Republicans and Demo- I hope Senators who care about ac- Appellate Handbook Committee. He is crats joined in another letter to the countability and the rule of law, and a founding member of the State Bar’s Justice Department to request ‘‘ap- those interested in repairing the dam- Indian Law Section and its Appellate pointment of a prosecutor of the high- age by this unprecedented spying cam- Practice Section, of which he is now est integrity and independence to in- paign will support our request for the the Chairman. He has served five times vestigate and, if appropriate, prosecute prompt appointment of a special pros- as a judge pro tempore of the Arizona all potential crimes related to the ac- ecutor to conduct the criminal inves- Court of Appeals and is a Member of cess and dissemination of Judiciary tigation into the theft of our computer the National Board of Visitors of The Committee staff files’’ outlined in the files that is still needed. I hope the University of Arizona College of Law. report by the Senate Sergeant at Arms. Justice Department will move quickly, He and his wife Shari and other parents Someone who is removed from poli- properly assign this matter, and con- founded ICU Care Parents, a support tics is essential. As we outline in our duct an investigation to get to the bot- group for parents of critically ill March 10 letter, many of us are con- tom of the unprecedented wrongdoing newborns. cerned that it be special counsel and that we have suffered. that the Attorney General recuse him- I ask unanimous consent that copies Mr. Wake and his wife Shari are the self from the process for a number of of the letters of March 10, March 11 and parents of three sons, ages 21, 18, and reasons. In the March 12 letter from March 12 be printed in the RECORD. 10. Senators SCHUMER, GRAHAM, DURBIN, There being no objection, the mate- Neil Wake will be an outstanding ad- CHAMBLISS, KENNEDY and DEWINE, they rial was ordered to be printed in the dition to the bench. likewise note that the prosecutor han- RECORD, as follows:

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U.S. SENATE, Only a special counsel can investigate this tion of this matter as it affects the very in- COMMITTEE ON THE JUDICIARY, matter in a manner that will have credi- tegrity of our committee. Washington, DC, March 10, 2004. bility with the public. It is plainly in the Sincerely, Hon. JOHN D. ASHCROFT, public interest to appoint a special counsel. Jon Kyl, John Cornyn, Jeff Sessions, Attorney General, U.S. Department of Justice, Political appointees should not investigate Larry E. Craig, Mike DeWine, Arlen Washington, DC. this matter when the very purpose of the Specter, Lindsey O. Graham, Charles E. DEAR ATTORNEY GENERAL ASHCROFT: We wrongdoing was to assist with politically Grassley, Saxby Chambliss. write to request that the Department of Jus- sensitive judicial confirmations sought by tice open a criminal investigation into the this Administration and managed, in large U.S. SENATE, theft and use of Democratic computer files part, by the Department. We trust that you, COMMITTEE ON THE JUDICIARY, from the Senate Judiciary Committee com- or your designee, will agree that a special Washington, DC, March 12, 2004. puter server and appoint a special counsel to counsel with a reputation for integrity and Hon. JOHN D. ASHCROFT, conduct that investigation. impartial decisionmaking and with appro- Attorney General, U.S. Department of Justice, A criminal investigation into the theft and priate experience and resources should be ap- Washington, DC. use of these files is warranted. In addition to pointed to conduct such an inquiry. Among DEAR ATTORNEY GENERAL ASHCROFT: We press accounts since the middle of November those resources would be the expertise of the write to request that the Department of Jus- 2003 about the stolen computer files, there Computer Crimes and Intellectual Property tice appoint a prosecutor of the highest in- has been an investigation by Senator Hatch Section of the Criminal Division, which has tegrity and independence to investigate, and, of his staff and a Senate Sergeant-at-Arms assisted in the investigation and prosecution if appropriate, prosecute all potential crimes inquiry into this matter. Neither of these in- related to the access and dissemination of vestigations had the tools a federal pros- of similar federal crimes. We respectfully re- quest that a special counsel of the highest Judiciary Committee staff files outlined in ecutor has available to compel testimony or the attached Report from the Senate Ser- subpoena evidence in order to investigate integrity and independence be appointed and that the special counsel receive a broad and geant at Arms. We consider this breach of fully who stole or spied on Democratic com- Senators’ privacy to be a matter of the ut- clear mandate for independent action, in- puter files and how the stolen files were most seriousness. While we very much appre- cluding the discretionary ability to report to used. ciate the fine work of the Sergeant at Arms, Congress and to the public and protection Based on the recent report of the Sergeant- we note that the attached Report itself sug- against termination unless the appointing at-Arms, it appears that from some time in gests many avenues of additional inquiry official finds and certifies to extraordinary 2001 until at least the spring of 2003, and pos- that have not been—and indeed could not improprieties. sibly until November 2003, staff of Repub- have been—pursued by this preliminary Sen- lican Senators stole and used information Thank you for your prompt consideration ate investigation. from internal and confidential Democratic and action in response to this request. Because of the potential for perceived and office computer files, including memoranda Sincerely, actual conflicts of interest, the undersigned from counsel to Senators. Republican staff Patrick Leahy, U.S. Senator; Herb Kohl, members of the Judiciary Committee agree knowingly exceeded authorized access and U.S. Senator; Charles E. Schumer, U.S. that this matter must be handled by a pro- intentionally accessed materials on govern- Senator; Edward M. Kennedy, U.S. Sen- fessional prosecutor who is free from all con- ment computers which they knew, from the ator; Dianne Feinstein, U.S. Senator; flicts and appearances of conflict—or, if ap- directory and subdirectory titles, they were Richard J. Durbin, U.S. Senator; Jo- propriate, a special counsel—who has full in- not entitled to access, and thereby obtained seph R. Biden, Jr., U.S. Senator; Rus- vestigatory, charging and reporting author- information used for their advantage and sell D. Feingold, U.S. Senator; John ity; who will conduct a thorough investiga- possibly in violation of law. They read, Edwards, U.S. Senator. tion; and who will not be removable from download, printed, and used such files for this assignment except in case of extraor- their own personal and partisan purposes. dinary improprieties. Patrick Fitzgerald, the U.S. SENATE, Employees from Senator Hatch’s Judiciary U.S. Attorney for the Northern District of Il- Washington, DC, March 11, 2004. Committee staff and from Majority Leader linois, has been given such independence in Hon. ORRIN G. HATCH, Frist’s Republican Senate leadership staff the investigation of the leak of CIA opera- Chairman, have resigned in connection with these ac- tive Valerie Plame’s identity, and we believe Senate Committee on the Judiciary. tivities. We believe that the unauthorized that his mandate should be a model for the accessing, reading, downloading, printing, DEAR CHAIRMAN HATCH: A week has passed mandate of the prosecutor in this case. In- and use of these files constitute violations of since the public release of the Report on the deed, we agree that Mr. Fitzgerald himself multiple federal and local criminal laws and Investigation into Improper Access to the would be an ideal candidate for this inves- warrant criminal investigation. Senate Judiciary Committee’s Computer tigation as well. At a minimum, any special It would be in the public interest to ap- System (Mar. 4, 2004) prepared by the Ser- counsel or other prosecutor appointed in this point an outside special counsel to inves- geant at Arms of the United States Senate. matter should be of Mr. Fitzgerald’s integ- tigate these crimes because of the conflict of The Sergeant at Arms’ report sets forth in rity and have the same degree of independ- interest these cases present to the Depart- great detail factual findings regarding the ence. ment. We also respectfully suggest that it improper access of computer files belonging Sincerely, would be appropriate for you to recuse your- to Democratic staff members of the Senate CHARLES SCHUMER. self from the consideration of this request Committee on the Judiciary (the committee) RICHARD J. DURBIN. for a special counsel. Your direct involve- by two former Republican committee staff EDWARD M. KENNEDY. ment in this matter would present a conflict members. As explained in the Sergeant at ——— ——— of interest due to your recent service as a Arms’ report, this investigation was initi- SAXBY CHAMBLISS. United States Senator and your close per- ated in November of last year, shortly after MIKE DEWINE. sonal and political relationships with some the Wall Street Journal and Washington of the Senators whose offices are subjects of f Times printed articles in which they ac- the investigation and with other Members of knowledged receipt of Democratic staff CONFIRMATION OF JUDGE LOUIS the Judiciary Committee. In addition, sev- memoranda. GUIROLA eral former Republican Judiciary Committee staff members, including two with super- While it is not our place as members of the Mr. LOTT. Mr. President, I am de- visory responsibilities during the period in committee to decide whether any of the acts lighted that the Senate unanimously question, now serve in senior positions with- described in the Sergeant at Arms’ report confirmed Judge Louis Guirola by a in the Department of Justice and others constitute criminal violations of Federal vote of 92–0 to be a United States Dis- have in the recent past. law, we nevertheless are convinced that this trict Court Judge for the Southern Dis- Among the many outstanding questions is is a very serious matter that needs to be re- trict of Mississippi. Judge Guirola has whether the stolen computer files or infor- viewed and considered by the proper authori- mation derived therefrom was shared with ties at the earliest opportunity. As you been serving our country and the State the Department of Justice or White House know, our goal has always been to approach of Mississippi as U.S. magistrate judge directly or indirectly. You and your staff this investigation in the least politicized for the Southern District of Mis- were actively engaged in issues relating to manner possible. We had hoped that the com- sissippi. I have known Judge Guirola judicial nominations during the period when mittee would debate the proper course of ac- for well over 20 years and was pleased the activities at issue here were being car- tion and arrive at a bipartisan agreement on when the President nominated him to ried out. As you know, a number of Senators how to proceed with the information re- fill the U.S. District Court judgeship recently wrote to ask about your and the De- vealed in the Sergeant at Arms’ report. How- that is being vacated by Judge Walter partment’s knowledge of, or involvement in, ever, we are now certain that only a deter- the matter of the stolen computer files and mination by a prosecutor as to whether any J. Gex, who is taking senior status. I information derived therefrom. Any thor- laws were violated will bring this matter to am pleased that the Senate was able to ough investigation would have to address a just and timely resolution. We commend efficiently do its work of advising and these issues as well. your commitment to a thorough investiga- consenting on this nomination in order

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He has had a distin- should remember that the Republican and the basic problems in our national guished career in the law over the past Senate leadership in 1996 allowed only intelligence community that contrib- quarter of a century and has gained 17 judicial nominees of President Clin- uted to our vulnerability on 9/11 have broad experience from the various posi- ton to be confirmed all year. I remain not yet been seriously considered, tions he has held. He has served as an confident that with the cooperation of much less resolved. assistant district attorney, an attorney the administration, the Senate this These problems are not a mystery, in private practice, an attorney for the year will be able to match the total they are known weaknesses that sim- Jackson County Board of Supervisors, from that Presidential election year, ply have yet to be fixed. If we in the and an attorney for the Mississippi the last year of President Clinton’s Congress do not take action to remedy Highway Department. first term. We are well ahead of the these weaknesses, we will not be able Judge Guirola began his Federal pace Republicans achieved in 1996. The to avoid accountability for the next at- service as an assistant U.S. Attorney four judges confirmed so far this year tack. for the Eastern District of Texas in is four more than were confirmed on A series of independent commissions 1990, and he was named as a U.S. mag- this date in 1996. and the Joint Inquiry conducted by the istrate judge for the Western District The two nominees confirmed last House and Senate Intelligence Com- of Texas in 1993. He served in this posi- night had their hearings this year but mittees in 2002 have identified a vari- tion until 1996, when he returned to two others, J. Leon Holmes and Judge ety of issues that we must address. Mississippi to become a U.S. mag- Dora Irizarry, had hearings last year, They fall into four categories: istrate judge for the Southern District were reported by the Judiciary Com- One, setting priority targets for in- of Mississippi, the position he cur- mittee last year, and still have not telligence collection and analysis. rently holds. He clearly has an exten- been scheduled for a vote by the Repub- Director of Central Intelligence sive knowledge of the Federal court lican leadership. Democrats have been George Tenet declared war on al-Qaida system, and his experience will be a ready to debate and vote on these in 1998, but few in the CIA—and almost tremendous asset for the country. It is nominees for many months. They have no one in the other agencies that make no surprise that the ABA’s Standing generated some controversy and will up our Intelligence Community—re- Committee on the Federal Judiciary need to be debated before the vote, but sponded to his clarion call. has unanimously found Judge Guirola there is no Democratic ‘‘hold’’ on ei- Our national intelligence agencies to be ‘‘well qualified’’ to serve as a ther nomination of which I am aware continued to focus on states, such as Federal district court judge. and no Democratic objection to a full Russia, China, Iran and Iraq. Despite Judge Guirola has also demonstrated and fair debate on each as far as I Mr. Tenet’s call for action, Osama bin a commitment to education and in- know. Laden al-Qaida was not even near the struction. He has been an adjunct pro- f top of our intelligence priority list on fessor at William Carey College and the September 11, 2001. It was not until University of Southern Mississippi. He TERRORIST ATTACKS September 12 that they moved to the also has given lectures and conducted Mr. GRAHAM of Florida. Mr. Presi- top of the list. seminars for the U.S. Attorney Gen- dent, yesterday, March 11, 2004, was a Part of the problem was that our in- eral’s Advocacy Institute, the Federal solemn day. telligence community had no formal Bar Association, the Mississippi Bar Two and a half years ago to the day, process for regularly reviewing and up- Association, the Mississippi Law En- 19 terrorists hijacked four airliners and dating intelligence priorities to ensure forcement Officers Academy, the Texas crashed them into the World Trade that they accurately reflected the cur- Department of Public Safety, and the Center, the Pentagon, and a field in rent security environment. U.S. Probation Office. In addition, he rural Pennsylvania. Furthermore, it does not appear that has authored a number of legal articles It is fitting that we pause today to the heads of other intelligence agencies and scholarly pieces. remember the nearly 3,000 innocent looked to the Director of Central Intel- Judge Guirola is well-known and re- people who lost their lives that day. It ligence for leadership and priority-set- spected in his community, State and is also fitting that we take a moment ting. profession. His nomination has re- to remember the responsibilities that Even though George Tenet may have ceived widespread support in the State we undertook in the aftermath of those realized that non-state actors like al- of Mississippi because of his reputation horrible events. We in public office un- Qaida needed more attention, the im- for fairness and hard work. I know that dertook a particularly important obli- portance of these groups was not clear Judge Guirola will make an excellent gation, as we vowed to take action to to other members of the intelligence district court judge, and I congratulate prevent terrorist attacks of that mag- community. The head of the National him on his confirmation by the Senate. nitude from happening again. Security Agency, our Nation’s elec- f In his speech delivered before a joint tronic eavesdropping agency, was session of Congress on September 20, asked if he knew about Mr. Tenet’s JUDICIAL CONFIRMATIONS 2001, President Bush put it this way: declaration of war with al-Qaida. Mr. LEAHY. Mr. President, last night ‘‘Americans are asking, How will we The director of the NSA said that the Senate confirmed two more Fed- fight and win this war? We will direct yes, he was aware of Mr. Tenet’s state- eral judicial nominees of President every resource at our command—every ment, but he did not think it applied to Bush: Judge Louis Guirola to the means of diplomacy, every tool of in- him or his organization. Southern District of Mississippi and telligence, every instrument of law en- Two, providing strong new leadership Neil Wake to the District of Arizona. forcement, every financial influence, for the intelligence community. With these confirmations, the Senate and every necessary weapon of war—to Examples like this make it clear that has now confirmed 173 judicial nomi- the disruption and to the defeat of the we need to provide strong new leader- nees of this President. That is more global terror network. ship for the intelligence community. than during the entire four years of the Unfortunately, we have not met that 9/11 exposed historic tensions within first term of President Reagan, from commitment. the Intelligence Community, and be- 1981 through 1984, and just two fewer We now know that the terrorist at- tween intelligence agencies and law en- than were confirmed in all 4 years of tacks of September 11 were the result forcement. President Clinton’s second term in of- of a sophisticated plot that developed We need to empower a Cabinet-level fice from 1997 through 2000. We have re- over many months and required coordi- official with the authority to end bu- duced the number of vacancies in the nation among a number of individuals. reaucratic in-fighting and competition

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00017 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2772 CONGRESSIONAL RECORD — SENATE March 12, 2004 for resources, as well as ensuring the ligence Agency, for example, many If we do not know how much we are sharing of information among all of critical counterterrorism personnel spending on counterterrorism prior- those charged with protecting our were required to work long hours with- ities, it will obviously be very hard for homeland security—including first re- out relief. This obviously made these us to see if our investment is being sponders at the State and local level. personnel less effective, and had a very spent wisely. A cost-benefit analysis In many ways, our national intel- negative effect on their morale. from an independent agency would be ligence community has resembled, and Other intelligence agencies, such as very helpful in this regard, but so far still resembles, a collection of inde- the National Security Agency and the there have been no serious efforts to pendently operating actors, rather Federal Bureau of Investigation, faced undertake such an effort. than a unified team that works to- similar staffing problems. In par- Four, establishing a competent do- gether on counterterrorism and other ticular, these agencies lacked suffi- mestic counterterrorism capability. missions. cient numbers of analysts and language Finally, we must begin establishing a Before 9/11, there were a number of specialists to support agents working competent domestic counterterrorism barriers that prevented information in the field. capability. When agency directors tried to create from being shared among various agen- The FBI has looked at its intel- solutions to these personnel problems, cies, and while many formal barriers ligence-gathering role through the they were often unable to implement have been removed, many informal prism of a law-enforcement agency. If them. ones remain in place. asked how many suspected terrorists Our joint, bipartisan congressional The lack of clear counterterrorism priorities made it difficult for man- or terrorist sympathizers are estimated inquiry revealed that in the months be- to live in any given major American fore the September 11 attacks, our na- agers to reassign personnel from other areas. Moving money was almost as city, the FBI would respond with the tional intelligence agencies collected number of open investigative files its pieces of information that, taken as a difficult as moving people, since intel- ligence community managers have lim- field office had there. whole, could have been used to disrupt Americans have to decide what we al-Qaida’s hijacking plot. ited budget authority. Incredibly, these problems are still expect of our domestic intelligence- Unforunately, this information was gathering capability—and how much not shared with all of the right people, with us today. While all of our intel- ligence agencies have increased in hir- intrusion into our personal lives we are and helpful actions were not taken. willing to accept. The CIA was aware that two terror- ing and training of counterterrorism Then we must make a choice: Can we ists associated with al-Qaida had ob- personnel, many of them continue to accomplish our goal with an agency tained visas for travel to the United face resource and personnel problems. that has a mixed law-enforcement and States, but it did not share this infor- Even relatively small shifts of re- intelligence-gathering mission, or mation with border protection agen- sources still must go through a lengthy should we create a separate domestic cies, or with the FBI, which could have approval process, and it is not always intelligence-gathering unit such as kept an eye on these men once they possible to assign enough people to im- Great Britain’s MI5? were in the country. portant areas. Prior to 2001, many CIA officials For the immediate future, our na- The FBI was aware that a man ar- knew that more agents were needed in tional security interests are best rested in Minnesota might have been Afghanistan, but they were unable to served by acting to make the FBI as ef- planning a suicide hijacking, but it did move resources away from other prior- fective as it can be. However, we must not share this information with the ities. By giving our intelligence agen- also consider our other options and de- Federal Aviation Administration, cies more budget flexibility, we can cide if we can do better. which could have increased security empower them to address problems fur- The FBI continues to perform its in- precautions on domestic flights. ther in advance, and begin thinking Better information sharing between telligence mission in a commendable about solutions, instead of waiting for the FBI and CIA, as well as other intel- fashion, but detecting and disrupting a crisis to occur before taking any ac- ligence agencies, could have increased terrorist plots before they can be exe- tion. cuted requires a very different ap- the intelligence community’s overall Long term planning is also con- awareness of terrorist activities. And proach than apprehending perpetrators strained by the process we use for fund- of crimes that have already taken better information sharing between the ing our intelligence agencies. Instead intelligence community and all the place. of providing them with a sustained, If we look around the world, we can various agencies who contribute to our stable source of funding, we insist on homeland security could have helped see that there are many different mod- giving them relatively small budget al- els for domestic intelligence gathering, these agencies move to an appropriate locations, and then increasing this level of alertness. We have an obliga- and many different models for domes- through the use of supplemental appro- tic law enforcement. Here in America tion to make sure that better informa- priations bills. Counterterrorism pro- tion sharing takes place, and the con- we must decide what sort of institution grams have relied heavily on these sup- best fit our needs and circumstances, sequences of failure could be very high. plemental appropriations for several Three, setting priorities for limited and as these circumstances change, we years, and this continues today in spite should not be afraid to make our insti- resources. of repeated claims that we have in- tutions change as well. A Cabinet-level official with author- creased our focus on counterterrorism. ity over intelligence could also set pri- If we wish to get the most out of our This must first begin with a debate orities for limited intelligence re- investment in counterterrorism, we over the best possible structure for our sources. must make it possible for Intelligence domestic intelligence and law enforce- The Intelligence Community did not Community directors and managers to ment programs. I am sorry to say this adapt quickly enough after the end of engage in long term planning, rather debate has not yet taken place. the Cold War, during which we had than simply jumping from one crisis to The problems that I have discussed come to rely more on satellites than on the next. today need to be fixed as soon as pos- human assets—spies. There was no col- Of course, increased flexibility must sible. Ignoring them will not make lective sense of importance within the be accompanied by increased oversight. them go away. Old habits, differences Intelligence Community, including the As hard as it is for most Americans to in agency culture, and bureaucratic in- Department of Defense, and as a result, believe, the Intelligence Community ertia are not acceptable excuses for investments in research and develop- has only a vague idea of how much procrastination and delay. ment—which were once a priority—suf- money it spends on counterterrorism. If we do not address them quickly fered slippage. Most agencies do not regularly exam- and effectively, we will be blind to Nearly all intelligence agencies faced ine how much they spend on counter- emerging threats, and we will leave significant staff shortages prior to 9/11, terrorism, and those that do use incon- ourselves vulnerable to future attacks. and this had a serious impact on their sistent accounting methods—and often On the other hand, if we can repair effectiveness. At the Central Intel- base their data on rough estimates. these weaknesses then we can give the

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00018 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2773 hard-working men and women of our cline and consumers will benefit. At always felt that we were working to- Intelligence Community the tools they the same time, our cities and States ward the same goals of quality health need to help prevent such attacks from will gain from additional funds for care. At the FDA, he was committed to taking place. homeland security. modernizing the agency to assure that As we reflect on the horrific events The amendment directs the Depart- it brought the best scientific tools of that stunned our Nation two and a half ment of Energy—DOE—to cancel deliv- the new century of the life sciences, to years ago, and pay tribute to those who ery of 53 million barrels of crude oil regulating the drug development proc- lost their lives, we must recommit our- currently planned for deposit into the ess, and speeding safe and effective selves to our responsibility to do every- SPR and to sell this oil on the open products to market. He made a tough thing we can to prevent such events market. By selling oil on the open mar- call to protect the health of women in from happening again. ket, the Federal Government would his decision on silicone breast im- If there is another terrorist attack in generate over $1.7 billion in additional plants, and he has been aggressive in our country, the American people will revenues. The amendment would allo- his attempts to remove dangerous die- look to their elected leaders and ask us cate a portion of the $1.7 billion for def- tary supplements, most notably what we learned from September 11, icit reduction and place the remainder Ephedra, from the market. He has been and how that information was used to in a reserve fund to be used for more particularly generous with his time in protect them. homeland security funding for the meeting with the Massachusetts device We must be able to tell both those States. and biotechnology industries, so that who lived—and those who died—that I will continue to work within the he could understand their concerns and we did everything we could. Congress to persuade—or require, if that they could gain a deeper apprecia- f necessary—the Administration to sus- tion of the most productive way to pend shipments of oil to the SPR to work with the FDA. LOCAL LAW ENFORCEMENT ACT lower prices further. At CMS, Mark will have to imple- OF 2003 I ask unanimous consent that the at- ment the deeply flawed Medicare bill— Mr. SMITH. Mr. President, I rise tached article on the drop in oil prices a challenging task under the best of today to speak about the need for hate due to the Senate’s action last night be circumstances. I was encouraged by his crimes legislation. On May 1, 2003, Sen- printed in the RECORD. comments at his confirmation hearing ator KENNEDY and I introduced the There being no objection, the mate- indicating that, unlike others in the Local Law Enforcement Enhancement rial was ordered to be printed in the Bush administration, he understands Act, a bill that would add new cat- RECORD, as follows: the need to maintain Medicaid as an egories to current hate crimes law, [From Reuters News Service, Mar. 12, 2004] individuals entitlement guaranteeing sending a signal that violence of any NYMEX OIL FALLS OVER $1 ON POSSIBLE SPR health care for the poorest of the poor kind is unacceptable in our society. SHIPMENTS HALT and to end the pernicious policy of In Dix Hills, NY, in March 2000, a NEW YORK.—NYMEX crude oil futures fell overpaying Medicare HMOs because young man’s remains were found in a more than $1 Friday morning after a U.S. they enroll the healthiest senior citi- plastic container in a park in Queens. Senate vote seeking to bar more shipments zens. The teen’s social security number and of crude oil to the U.S. emergency crude In summary, I am pleased to support racial and anti-homosexual epithets stockpile. Dr. McClellan’s nomination. He is a su- were written on the skull with a mark- The move, which aims to reduce oil prices perb choice to head a critically impor- er. by keeping more supply in the market, coun- tant agency. tered, for the moment, fears that oil facili- I believe the Government’s first duty f is to defend its citizens, to defend them ties were once again at risk after Thursday’s terror bomb attacks in Madrid killed nearly against the harms that come out of PRESIDENT BUSH AND THE 200 people and injured more than 1,400 oth- ASSAULT WEAPONS BAN hate. The Law Enforcement Enhance- ers. ment Act is a symbol that can become NYMEX crude for April delivery fell as low Mr. LEVIN. Mr. President, last week, substance. I believe that by passing as $35.30 a barrel, down $1.48 on the day, be- the Senate passed a 10-year extension this legislation and changing current fore bouncing back a bit to $35.40. of the assault weapons ban. We passed law, we can change hearts and minds as f the assault weapons ban in 1994 because well. law enforcement agencies asked for it, NOMINATION OF DR. MARK and we extended it last week at their f MCCLELLAN TO BE ADMINIS- urging. LOWER OIL PRICES TRATOR OF CMS Studies have shown that the assault Mr. LEVIN. Mr. President, last night Mr. KENNEDY. I am pleased to sup- weapons ban works. According to Na- the Senate voted to accept the amend- port the nomination of Dr. Mark tional Institute of Justice statistics re- ment I offered with Senator COLLINS to McClellan to be the Administrator of ported by the Brady Campaign to Pre- the fiscal year 2005 budget resolution the Center for Medicare and Medicaid vent Gun Violence, gun trace requests to lower oil prices by placing over 50 Services. There is no more important for assault weapons declined 20 percent million barrels of oil on the open mar- agency in providing quality health care in the first calendar year after the ban ket rather than depositing it in the for the American people, and Dr. took effect, dropping from 4,077 in 1994 Strategic Petroleum Reserve—SPR—as McClellan is superbly qualified for this to 3,268 in 1995. This statistic indicates the administration had planned. I important post. that fewer of these weapons were mak- would like to note for the record that Dr. McClellan has served with dis- ing it onto the streets. this amendment already is accom- tinction in the Treasury Department As my colleagues know, the 1994 law plishing its objective of lowering oil during the Clinton administration and banned the production of certain semi- prices. At 11:30 a.m. this morning, just as a health policy advisor and commis- automatic assault weapons and high- hours after the news of this amend- sioner of FDA in the Bush administra- capacity ammunition magazines. The ment reached the markets, oil prices tion. He has immense intellectual 1994 law banned a list of 19 specific fell. According to Reuters, ‘‘NYMEX gifts, a distinguished background as an weapons as well as a number of other crude oil futures fell more than $1 Fri- economist and physician, and tremen- weapons incorporating certain design day morning after a U.S. Senate vote dous energy, commitment, and integ- characteristics such as pistol grips, seeking to bar more shipments of crude rity. I am particularly pleased that he folding stocks, bayonet mounts, and oil to the U.S. emergency stockpile.’’ is an adopted son of Massachusetts, flash suppressors. This law should not This amendment is a win-win for the having received his M.D. from the Har- be allowed to sunset on September 13, American people. Low supplies of oil in vard Medical School. 2004. This law does not need to sunset. private inventories are a main reason Mark and I have worked closely on a Our Nation’s law enforcement officers for high prices. With more oil on the number of issues during his tenure at support this legislation, the President open market, prices for gasoline, heat- the White House and the FDA. While even has expressed his support, and the ing oil, jet fuel and diesel fuel will de- we certainly don’t always agree, I have Senate passed an extension.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00019 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2774 CONGRESSIONAL RECORD — SENATE March 12, 2004 If the law is not reauthorized, the over agency costs. The Federal Pro- yet have a full-time team. I am pleased production of assault weapons can le- curement Data System, FPDS, reports that Wisconsin will now have its own gally resume. Restarting production of that the Federal Government spent ap- capability to quickly respond and pro- these weapons will increase their num- proximately $250 billion on Federal tect its citizens from possible terrorist ber and availability and inevitably lead contracts in 2002. The Senate passed threats. to a rise in gun crimes committed with FY04 Omnibus Appropriations Act I have worked for years now to as- assault weapons. The Senate has shown would have required a minimum of 10 sure that all states and territories have bipartisan majorities for renewing the percent cost-savings before Federal at least one of these teams and I want assault weapons ban. President Bush jobs are contracted out. Unfortunately, to thank my colleagues on both sides should demand that Congress act this this measure was stripped from the of the aisle for helping me in this en- year to extend the ban. FY04 Omnibus Appropriation Act. deavor. We have had great success. The f The GAO report reaffirms the need Bob Stump National Defense Author- for a minimum cost-savings in Federal ization Act for Fiscal Year 2003 made it GAO FEBRUARY COMPETITIVE procurement policies. By law, the De- law that all states and territories have SOURCING REPORT partment of Defense, DOD, is required at least one WMD–CST and Congress Mr. AKAKA. Mr. President, I have re- to achieve cost-savings before jobs are authorized and appropriated the funds peatedly voiced my opposition to the contracted out. DOD is the largest to establish 12 of the 23 teams during Administration’s aggressive outsourc- buyer of contracted services and ac- fiscal year 2004. Now we must make ing agenda which I believe comes at cording to recent FPDS data spent sure that the last 11 teams are funded too high a cost to Federal workers and over $164 billion in 2002. in fiscal year 2005. to Government accountability and We can also improve fairness in pub- f cost-effectiveness. My concerns are lic-private competitions. Before deci- confirmed by a February 2004 General sions are made to contract out Federal ADDITIONAL STATEMENTS Accounting Office, GAO, report enti- work, agencies need the personnel, tled, ‘‘Competitive Sourcing: Greater funding, and technology to ensure that SALUTING DELTA SIGMA THETA Emphasis Needed on Increasing Effi- the work is performed in a timely and SORORITY, INC. ciency and Improving Performance,’’ cost-effective manner. We cannot ex- GAO–04–367. I highly recommend this pect Federal employees to oversee bil- ∑ Mr. CORZINE. Mr. President, I rise report to my colleagues. lions of dollars of contracts without today to recognize the women of Delta The GAO reviewed the Federal out- these resources, which is why I was dis- Sigma Theta Sorority, Inc., a service sourcing agenda at seven agencies: the appointed to learn that GAO found that sorority dedicated to promoting sister- Departments of Defense, Health and six out of the seven agency offices ex- hood, scholarship and service, for their Human Services, Interior, Agriculture, amined had only one or two employees efforts in the battle against HIV/AIDS. Education, and Veteran’s Affairs. overseeing outsourcing activities. According to statistics from the U.S. These agencies contain 84 percent of Moreover, we should level the play- Department of Health and Human Federal jobs eligible for outsourcing. ing field so that Federal workers have Services, as of the end of 2002, an esti- The administration has identified the right to appeal the loss of a com- mated 42 million people worldwide— 304,800 Federal jobs for outsourcing at petition just as contractors do today. 38.6 million adults and 3.2 million chil- the Departments of Defense, Health Fair competition must ensure that af- dren younger than 15 years of age— and Human Services, and Interior fected employees have proper appeals were living with HIV/AIDS. Approxi- alone, which represent nearly 42 per- and protest rights. Unlike Federal em- mately 70 percent of these people, 29.4 cent of the total workforce of these ployees, Federal contractors have the million, live in Sub-Saharan Africa; agencies. right to protest OMB Circular A–76 de- another 17 percent, 7.2 million, live in GAO found that the examined Fed- cisions before the GAO. I am dis- Asia. Of the estimated 15,603 AIDS-re- eral agencies are focusing more on im- appointed that the FY04 Omnibus Ap- lated deaths in the United States in plementing Office of Management and propriation Act stripped a provision the year 2001, approximately 52 percent Budget, OMB, mandates on the number that would have provided Federal were among African Americans and of competitions at the expense of cost- workers the same appeal rights as con- Hispanics. Racial and ethnic minority efficiency. In 2001, the administration tractors. populations constitute more than 57 had established the goal of privatizing I look forward to continuing to work percent of the more than 800,000 cases up to 50 percent of federal jobs. How- with my colleagues to ensure that Fed- of AIDS reported in the United States ever on July 23, 2003, the OMB’s Admin- eral procurement policies offer the best since the epidemic was discovered in istrator for Procurement Policy, An- return on the dollar and are fair to 1981. Further, the Centers for Disease gela Styles, testified before the Gov- Federal workers. The results of this Control reports that as of December ernmental Affairs Committee that con- GAO review reaffirms that there is 2001, African Americans and Hispanics tracting quotas would be terminated more work to be done in this area. represented 52 percent of AIDS cases and replaced by agency-specific plans. f reported among males and 78 percent of This shift in policy came after re- those in females. Fifty-eight percent of peated criticisms from both sides of the WISCONSIN’S ACQUISITION OF A all women reported living with AIDS aisle in the Senate and the House of WEAPONS OF MASS DESTRUC- that year were African Americans and Representatives. For example, the TION CIVIL SUPPORT TEAM 20 percent were Hispanic. African FY03 Transportation, Treasury, and Mr. FEINGOLD. Mr. President, I was American children represented 58 per- General Government Appropriations very happy to learn this week that cent of all pediatric cases. Of the 175 Act severely restricted the use of con- Wisconsin will be one of 12 new States pediatric AIDS cases reported in 2001, tracting quotas as a result of strong bi- to receive funding for a full-time Weap- 139, 79 percent, were African Americans partisan opposition. on of Mass Destruction Civil Support and Hispanic. AIDS is one of the lead- There are important steps we can Team—WMD–CST—this year and I ing cause of death among African- take now to improve the cost-effective- want to congratulate the Wisconsin American men ages 24 to 44. Recog- ness and fairness of public-private com- National Guard for their efforts to se- nizing the urgency of the issue, Delta petitions. As ranking member of the cure a full-time team. These teams, Sigma Theta Sorority, Inc. has taken a Governmental Affairs Financial Man- made up of members of the National leadership role in educating the global agement Subcommittee and the Senate Guard, play a vital role in assisting community on how to decrease the Armed Services Readiness Sub- local first responders in investigating AIDS pandemic, thus promoting health committee, I am working to improve and combating the new threat we face and wellness. the financial transparency and cost- in the 21st century. During the 2002 Delta Sigma Theta’s effort focuses on savings of Federal outsourcing policies. Baseball All-Star Game in Milwaukee, an intense HIV/AIDS Education Cam- Federal contracts should be required to WI had to call in Minnesota’s civil sup- paign beginning with encouraging local generate at least 10 percent savings port team because Wisconsin did not Delta chapters to implement internal

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00020 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2775 education awareness workshops. This Hall where the chapters will host a worked with the Youth Department. enabled the sorority members to better rally and speakers who will discuss the She was also a 1999 graduate of the understand the drastic impact HIV/ impact of HIV/AIDS. Donations will be Spoken Word School of Ministry. AIDS is having on African American collected to benefit the Rainbow In 1995, Pamela founded the New Al- women of all ages. In addition, for the House, a nonprofit organization that ternatives Youth Service Center in past 3 years, chapters have partici- provides housing for children and Saginaw, Michigan. The Center’s pur- pated in the sorority’s International adults living with HIV/AIDS in the city pose is to educate young people and to Day of Service for HIV/AIDS, a public of Trenton. provide an alternative to drugs, gangs, awareness program in which a day is The membership of Delta Sigma and violence. Pamela was also a men- committed to providing HIV/AIDS edu- Theta Sorority, Inc. provides an exten- tor with the Family Youth Initiative, cation and prevention services to com- sive array of public service programs which is affiliated with the Bay Area munities around the world. and projects through the sorority’s Substance Abuse Coordinating Agency. On Saturday, March 13, 2004, the Five-Point Program Thrust: Economic, Pamela was also the founder of the more than 900 chapters of the sorority Development, Educational Develop- Saginaw Sister-2–Sister Spirit of Ex- located in 44 States, the District of Co- ment, International Awareness and In- cellence Pageant. Sister-2–Sister pro- lumbia, and in 6 countries abroad will volvement, Physical and Mental motes abstinence and works to de- conduct forums and seminars, provide Health, and Political Awareness and crease the rate of pregnancy among counseling and testing, raise funds for Involvement. The ‘‘International Day teenage girls in the Saginaw commu- research and services, and petition law- of Service’’ is an activity of the soror- nity. Pamela believed this program makers to enact legislation that effec- ity’s mental and physical health focus helps local teenagers better understand tively addresses HIV/AIDS issues. In ‘‘Summit V: Let It Continue—Heal and themselves, and provides them with my State of New Jersey alone, the Cen- Healing: Promoting Health and the appropriate information necessary tral Jersey Alumnae chapter will spon- Wellness on HIV/AIDS.’’ Summit V is a to make healthy life choices. sor a community forum entitled ‘‘Why means through which Deltas through- Pamela Lamar Jordan passed away Not Me? The Affect of HIV/AIDS on out the world assist in informing and at the age of 42 on March 7, 2004. She Our Families.’’ The event will include educating the public and families was a woman of great faith who was de- key sessions for citizens of diverse age about women’s health issues, develop voted to her family and to her commu- groups, helping participants to clarify community partnerships to help inform nity. Pamela is mourned by her family, perceptions/myths about HIV/AIDS and the public and provide access to serv- the members of her church, and many encouraging them to speak openly ices; provide leadership for supporting people across my home state of Michi- about the impact of the disease on policy development and promoting and gan. Pamela is survived by her husband their communities. There also will be enforcing legal requirements that pro- Cornelius Jordan and her four daugh- an open general session in which TEEN tect the health and safety of women; ters: Melony, Janey, Terri and PEP of Somerset County will perform and support research and political ef- Brianna. some powerful and thought-provoking forts to gain new insights and innovate This is, indeed, a great loss to all pieces. solutions to health problems impacting who knew her or for those who have The Montclair Alumnae chapter will women. benefitted from her work. I know my provide direct services to the Academy Delta Sigma Theta Sorority was colleagues will join me in paying trib- Street Firehouse After-School Project. founded on the campus of Howard Uni- ute to the life and work of Pamela As part of the AIDS Resource Founda- versity in 1913 by 22 visionary college Lamar Jordan. I hope her family takes tion for Children in Newark, the Acad- women. Notable members include our comfort in knowing that her legacy emy Street Firehouse addresses edu- colleague in the other Chamber. Con- will stand as an inspiration for genera- cational, vocational, social and med- gresswoman STEPHANIE TUBBS JONES of tions to come.∑ ical needs of children and teens who Ohio, civil rights pioneer and Congres- are dealing with the loss of a parent sional Gold Medal recipient Dr. Doro- f due to AIDS. Approximately 50 chil- thy I. Height, and former Labor Sec- STAFF SERGEANT RONALD W. dren between the ages of 7 and 17 will retary Alexis Herman. HOSKINS receive services. I invite my colleagues to join me in The North Jersey Alumnae chapter saluting the women of Delta Sigma ∑ Mr. TALENT. Mr. President, I com- will hold three seminars on topics re- Theta Sorority, Inc., for their global mend Staff Sergeant Ronald W. Hos- lated to the HIV/AIDS: (1) The Secret efforts in the battle against HIV/AIDS, kins of Fort Leonard Wood, MO, for Lives of AIDS; (2) The role of the and I urge fellow Americans to partici- over 20 years of service in the U.S. church in the fight against HIV/AIDS; pate in the Delta Sigma Theta Soror- Army. He began his service in March of and (3) How individuals can protect ity, Inc., ‘‘International Day of Serv- 1983, when he attended Military Police themselves. There will be free testing ice’’ projects in their communities on training and subsequently moved to and counseling. Speakers will include March 13, 2004.∑ Dugway Proving grounds, Utah to act as a military police desk sergeant. community activists and church lead- f ers. There also will be a dramatization In 1984 he was reassigned to Germany by the ‘‘POWER’’ group, a youth orga- IN REMEMBRANCE OF PAMELA where he graduated from Military Po- nization that teaches about HIV/AIDS LAMAR JORDAN lice Investigations School at the Com- and its affects. ∑ Mr. LEVIN. Mr. President, I take bined Arms Training Center. In 1987 he The Rancocas Valley Alumnae chap- this opportunity to pay tribute to was promoted to Sergeant. ter will partner with the Township of Pamela Lamar Jordan, a tireless advo- In late 1987 Sergeant Hoskins moved Willingboro to present workshops for cate for families and the plight of chil- back to the United States where he men, women and children on (1) HIV/ dren. She was committed to serving served in both Texas and Alabama, AIDS prevention; (2) Functioning as a the needs of her community and to im- until he was assigned to the 142nd Mili- person living with HIV/AIDS; (3) Caring proving the quality of life for young tary Police Company in Yongstan, for people with AIDS; and (4) Vol- people in Saginaw. Pamela received nu- Korea, in 1990. unteerism with HIV/AIDS organiza- merous community service awards In 1991 Sergeant Hoskins began work- tions. The day will be filled with a va- throughout her life. She will be missed ing as an investigator and evidence riety of activities such as panel discus- by those whose lives she has touched. custodian at Fort Bliss, Texas. He sions, videos, dramatic presentations, Pamela Lamar Jordan was born in served in this position until 1995 when praise dancers, and step teams. Saginaw, Michigan on June 24, 1961. he returned to Yongstan. The Trenton Alumnae chapter along She is a graduate of Arthur Hill High In 1996 He was assigned to the 978th with the Rho Epsilon and Tau Kappa School and was in pursuit of her BSW Military Police Company, and during collegiate chapters will host Trenton’s at Saginaw Valley State University. this tour was promoted to staff ser- 2nd Annual Aids Walk. The Walk will She was a member of the Word of Faith geant while he served as a military po- begin at a local school and end at City International Ministries, where she lice patrol supervisor.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00021 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2776 CONGRESSIONAL RECORD — SENATE March 12, 2004 Staff Sergeant Hoskins was next as- TECT Act of 2003, an Act to prevent was named a proud recipient of the 2004 signed to Stuttgart, Germany. He de- child abduction and the sexual exploi- Martin Luther King, Jr. Drum Major veloped an emergency vehicles opera- tation of children, which was signed Award from the Utah Human Rights tor’s course that was adapted through- into law by President Bush in April. Commission in recognition of their out the United States Army in Europe. This legislation included the AMBER steadfast devotion to diversity. Utah Over his long career Staff Sergeant Alert system program, which has prov- Girl Scouts have gotten a jump start Ronald Hoskins has received many en to be a valuable tool in the rescue of on their way to becoming happy, com- awards and decorations, including the abducted children. AMBER Alert sys- mitted, and resourceful citizens. meritorious Service Medal, Army Com- tems are critical to successful search Throughout its long history, Girl mendation Medal with four oak leaf and recovery efforts because they en- Scouts experienced many milestones clusters, Army Achievement Medal able law enforcement authorities to made possible by the strength and dedi- with four oak leaf clusters, Army Good galvanize entire communities to assist cation of countless farsighted individ- Conduct Medal, National Defense Serv- in the safe recovery of child victims. uals—mostly volunteers—who tire- ice Medal with Bronze Star. Non- Elizabeth’s disappearance raised lessly served girls and promoted Girl commissioned Officer Professional De- awareness of this type of crime nation- Scouting. We simply have no greater velopment Ribbon, Army Service Rib- wide. Our entire Nation rejoiced with resource than our children; they rep- bon with numeral two device, Overseas the Smart family after Elizabeth was resent our Nation’s future. I commend Service Ribbon with numeral four de- found alive and reunited with her loved the Girl Scouts of the USA for their vice and Drivers Badge. ones. Her discovery, facilitated by ev- tireless efforts on behalf of our chil- I congratulate Staff Sergeant Hos- eryday citizens who had followed this dren and families.∑ case, demonstrates the importance of kins on his lengthy and dedicated ca- f reer in the United States Army. I also getting information about these dis- want to recognize the efforts of his wife appearances out to the public quickly, MESSAGES FROM THE PRESIDENT Susan without whom none of these ac- and what accomplishments can be Messages from the President of the complishments would be possible. achieved when communities partner to- United States were communicated to Moreover, I extend to Staff Sergeant gether. the Senate by Ms. Evans, one of his Haskins my profound appreciation for Today, Girl Scouts of Utah will be secretaries. his service to the nation. I am honored celebrating the miracle of Elizabeth f to share his success with my colleagues Smart’s return to her family, and the and I wish him and his family all the Girl Scouts of the USA’s 92nd birthday, EXECUTIVE MESSAGES REFERRED best for the future.∑ by organizing a statewide safety aware- As in executive session the Presiding f ness campaign—Partners In safety. Ed Officer laid before the Senate messages and Lois Smart, Elizabeth’s parents, GIRL SCOUTS OF THE USA from the President of the United are the honorary chairs of this cam- States submitting sundry nominations, ∑ Mr. HATCH. Mr. President, I rise paign. Although today kicks off an on- treaties, and a withdrawal which were today to pay special tribute to an out- going focus on safety rather than just a referred to the appropriate commit- standing group of public servants—the one-day event, Utah communities are tees. Girl Scouts of the USA—who today cel- invited to open house events on that (The nominations received today are ebrate the 92nd birthday of their orga- date. Currently there are more than 25 printed at the end of the Senate pro- nization. open house locations in the state of ceedings.) Founded in 1912 by Juliette Gordon Utah; and a variety of organizations Low in Savannah, GA, Girl Scouts is state-wide have enlisted to participate f the world’s pre-eminent organization as community sponsors in company MESSAGE FROM THE HOUSE dedicated solely to girls—all girls— with law enforcement and local govern- where they can build character and ments. There will be a variety of safe- skills for success in the real world. ty-related activities at each site, and ENROLLED BILL SIGNED Partnered with committed adult volun- each participating agency will have a At 11:15 a.m., a message from the teers, Girl Scouts cultivate their full pledge poster so everyone in the com- House of Representatives, delivered by individual potential through learning munity can sign and pledge safety on one of its reading clerks, announced and experience. The qualities they de- behalf of those they love. that the speaker has signed the fol- velop in Girl Scouting—leadership, val- We all care about the safety of our lowing enrolled bill: ues, social conscience, and conviction youth. The goal of Partners In Safety H.R. 3915. An act to provide for an addi- about their own self-worth—serve and is to bring us all together to deliver tional temporary extension of programs benefit them all their lives. the message of safety. I encourage ev- under the Small Business Act and the Small Nationwide today there are more eryone dedicated to safety to pledge to Business Investment Act of 1958 through than 3.7 million Girl Scouts—2.8 mil- make a difference in your community April 2, 2004, and for other purposes. lion girl members and 942,000 adult by reaching the youth you know—talk The enrolled bill was signed subse- members. Through its membership in to your children, grandchildren, stu- quently by the President pro tempore the World Association of Girl Guides dents, teammates, troops, packs and (Mr. STEVENS). and Girl Scouts, Girl Scouts of the church groups. USA is part of a worldwide family of 8.5 Begun by Ogden volunteers, Girl f million girls and adults in 140 coun- Scouts of Utah has been in existence MEASURES READ THE FIRST TIME tries. since 1920 and has been committed to The following bill was read the first Today’s Girl Scouts receive inter- principles of pluralism, respect, and time: active training and experience in such community service since inception. S. 2207. A bill to improve women’s access areas as: leadership; math; science and Utah Girl Scouts have delivered hand- to health care services, and the access of all technology; diversity; financial lit- made quilts to hospitals around Utah, individuals to emergency and trauma care eracy; health, fitness and sports; envi- decorated Christmas trees for the Fes- services, by reducing the excessive burden ronmental education; the arts; global tival of Trees, organized and attended the liability system places on the delivery of awareness; and safety. Our children’s hundreds of community service such services. safety is a matter of great concern to projects, increased their knowledge of f me. You may remember a wave of child finance during the Girl Scout cookie abductions not too long ago, including sale, learned about themselves and oth- EXECUTIVE AND OTHER the kidnapping of Elizabeth Smart in ers, gained more respect for diversity, COMMUNICATIONS my own home State of Utah, which and participated in initiatives in The following communications were highlighted the need to enhance our science, sports, leadership, environ- laid before the Senate, together with ability to protect our Nation’s chil- mental education, and outdoor explo- accompanying papers, reports, and doc- dren. Last year, I introduced the PRO- ration. Recently, Girl Scouts of Utah uments, and were referred as indicated:

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00022 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2777 EC–6679. A communication from the Sec- the Interior, transmitting, pursuant to law, portunity Recruitment Program Report; to retary of the Treasury, transmitting, pursu- the report of a rule entitled ‘‘Endangered the Committee on Governmental Affairs. ant to law, a six-month periodic report on and Threatened Wildlife and Plants; Listing EC–6699. A communication from the Acting the national emergency blocking property of the San Miguel Island Fox, Santa Rosa Is- Director, Office of Management, Budget, and persons undermining democratic processes land Fox, Santa Cruz Island Fox, and Santa Evaluation, Department of Energy, trans- or institutions in Zimbabwe that was de- Catalina Island Fox as Endangered; Final mitting, pursuant to law, a report relative to clared in Executive Order 13288 or March 6, Rule’’ (RIN1018–AI28) received on March 3, the Department’s activities not inherently 2003; to the Committee on Banking, Housing, 2004; to the Committee on Energy and Nat- governmental in nature; to the Committee and Urban Affairs. ural Resources. on Governmental Affairs. EC–6680. A communication from the Gen- EC–6690. A communication from the Direc- EC–6700. A communication from the Sec- eral Counsel, National Credit Union Admin- tor, Office of Surface Mining, Department of retary, Mississippi River Commission, De- istration, transmitting, pursuant to law, the the Interior, transmitting, pursuant to law, partment of the Navy, transmitting, pursu- report of a rule entitled ‘‘12 C.F.R. Parts 703 the report of a rule entitled ‘‘Maryland Reg- ant to law, a report under the Government in and 704, Investment and Deposit Activities; ulatory Program’’ (MD–051–FOR) received on Sunshine Act for the Mississippi River Com- Corporate Credit Unions’’ received on March March 3, 2004; to the Committee on Energy mission; to the Committee on Governmental 8, 2004; to the Committee on Banking, Hous- and Natural Resources. Affairs. ing, and Urban Affairs. EC–6691. A communication from the Chair, EC–6701. A communication from the Direc- EC–6681. A communication from the Sec- Good Neighbor Environmental Board, trans- tor, Office of Personnel Management, trans- retary of Commerce, transmitting, the De- mitting, pursuant to law, a report relative to mitting, pursuant to law, the report of the partment of Commerce’s Performance and children’s environmental health in the U.S.- Office of Inspector General for the period Accountability Report for fiscal year 2003; to Mexico border region; to the Committee on ending March 31, 2002; to the Committee on the Committee on Commerce, Science, and Environment and Public Works. Governmental Affairs. Transportation. EC–6692. A communication from the Dep- EC–6702. A communication from the Sec- EC–6682. A communication from the Sec- uty Associate Administrator, Environmental retary of Homeland Security, transmitting, retary of Transportation, transmitting, pur- Protection Agency, transmitting, pursuant suant to law, the report of the Office of In- a draft of proposed legislation relative to fis- to law, the report of a rule entitled ‘‘Ap- cal year 2005 appropriations for the United spector General for the period ending Sep- proval and Promulgation of Implementation tember 30, 2001; to the Committee on Govern- States Coast Guard and for other purposes; Plans and Designation of Areas for Air Qual- to the Committee on Commerce, Science, mental Affairs. ity Planning Purposes; Alabama; Redesigna- EC–6703. A communication from the Chair- and Transportation. tion of Birmingham Ozone Nonattainment EC–6683. A communication from the Attor- man of the Council of the District of Colum- Area to Attainment for Ozone’’ (FRL#7634–9) ney Advisor, National Highway Traffic Safe- bia, transmitting, pursuant to law, the re- received on March 11, 2004; to the Committee ty Administration, Department of Transpor- port of D.C. Act 15–199, ‘‘Government Em- on Environment and Public Works. tation, transmitting, pursuant to law, the re- ployer-Assisted Housing Program Teacher, EC–6693. A communication from the Dep- Police Officer, Firefighter, and Emergency port of a rule entitled ‘‘FNVSS No. 213, Re- uty Associate Administrator, Environmental sponse to Campbell Petition’’ (RIN2127–AJ15) Medical Technician Incentive Amendment Protection Agency, transmitting, pursuant received on March 9, 2004; to the Committee Act of 2003’’; to the Committee on Govern- to law, the report of a rule entitled ‘‘Massa- on Commerce, Science, and Transportation. mental Affairs. EC–6684. A communication from the Attor- chusetts: Final Authorization of State Haz- EC–6704. A communication from the Chair- ney Advisor, National Highway Traffic Safe- ardous Waste Management Program; Revi- man of the Council of the District of Colum- ty Administration, Department of Transpor- sions; State-Specific Modification to Federal bia, transmitting, pursuant to law, the re- tation, transmitting, pursuant to law, the re- Hazardous Waste Regulations, pursuant to port of D.C. Act 15–369, ‘‘Emmaus Rehabilita- port of a rule entitled ‘‘Federal Motor Vehi- ECOS Program Proposal; Extension of Site- tion Project Real Property Exemption Act of cle Standards; Child Restraint Systems; In- Specific Regulations for New England Uni- 2004’’; to the Committee on Governmental terim Final Rule on Seat-Mounted Vests’’ versities’ Laboratories XL Project’’ Affairs. (RIN2127–AI88) received on March 9, 2004; to (FRL#7634–4) received on March 11, 2004; to EC–6705. A communication from the Assist- the Committee on Commerce, Science, and the Committee on Environment and Public ant Attorney General, Office of Legislative Transportation. Works. Affairs, Department of Justice, transmit- EC–6694. A communication from the Dep- EC–6685. A communication from the Regu- ting, pursuant to law, the Police Corps and uty Associate Administrator, Environmental latory Officer, Federal Motor Carrier Safety Law Enforcement Education Calendar Year Protection Agency, transmitting, pursuant Administration, Department of Transpor- 2002 Annual Report to Congress; to the Com- to law, the report of a rule entitled ‘‘Idaho: tation, transmitting, pursuant to law, the re- mittee on the Judiciary. Final Authorization of State Hazardous port of a rule entitled ‘‘Transportation of EC–6706. A communication from the Chief Waste Management Program Revisions’’ Household Goods; Consumer Protection Reg- Justice of the Supreme Court of the United (FRL#7634–3) received on March 11, 2004; to ulations; Interim Final Rule; Technical States, transmitting, a copy of the Report of the Committee on Environment and Public Amendments’’ (RIN2126–AA32) received on the Proceedings of the Judicial Conference of Works. March 9, 2004; to the Committee on Com- the United States for September/October EC–6695. A communication from the Dep- merce, Science, and Transportation. 2001; to the Committee on the Judiciary. uty Associate Administrator, Environmental EC–6686. A communication from the Chief, EC–6707. A communication from the Ad- Protection Agency, transmitting, pursuant Regulations and Administrative Law, Coast ministrator, Small Business Administration, to law, the report of a rule entitled ‘‘Ari- Guard, transmitting, pursuant to law, the re- transmitting, a report relative to minority zona: Final Authorization of State Haz- port of a rule entitled ‘‘Safety/Security Zone small business and capital ownership devel- ardous Waste Management Program Revi- Regulations: Three Mile Island Generating opment; to the Committee on Small Business sions’’ (FRL#7633–2) received on March 11, Station, Susquehanna River, Dauphin Coun- and Entrepreneurship. ty, Pennsylvania [COTP Philadelphia 03– 2004; to the Committee on Environment and 007]’’ (RIN1625–AA00) received on March 4, Public Works. f EC–6696. A communication from the Dep- 2004; to the Committee on Commerce, INTRODUCTION OF BILLS AND Science, and Transportation. uty Associate Administrator, Environmental EC–6687. A communication from the Chief, Protection Agency, transmitting, pursuant JOINT RESOLUTIONS Regulations and Administrative Law, Coast to law, the report of a rule entitled ‘‘Ap- The following bills and joint resolu- Guard, transmitting, pursuant to law, the re- proval and Promulgation of Air Quality Im- tions were introduced, read the first port of a rule entitled ‘‘Drawbridge Regula- plementation Plans; Virginia; Revisions to and second times by unanimous con- tions (Including 3 Regulations): [CGD09–04– Regulations for General Compliance Activi- 003], [CGD08–04–011], [CGD05–04–041]’’ ties and Source Surveillance’’ (FRL#7635–9) sent, and referred as indicated: (RIN1625–AA09) received on March 4, 2004; to received on March 11, 2004; to the Committee By Mr. GREGG (for himself and Mr. the Committee on Commerce, Science, and on Environment and Public Works. ENSIGN): Transportation. EC–6697. A communication from the Dep- S. 2207. A bill to improve women’s access EC–6688. A communication from the Chief, uty Associate Administrator, Environmental to health care services, and the access of all Regulations and Administrative Law, Coast Protection Agency, transmitting, pursuant individuals to emergency and trauma care Guard, transmitting, pursuant to law, the re- to law, the report of a rule entitled ‘‘Ap- services, by reducing the excessive burden port of a rule entitled ‘‘Drawbridge Regula- proval and Promulgation of State Plans for the liability system places on the delivery of tions: Commercial Boulevard Bridge (870), Designated Facilities; Puerto Rico’’ such services; read the first time. Atlantic Intracoastal Waterway, mile 1059.0, (FRL#7634–2) received on March 11, 2004; to By Mr. ROCKEFELLER (for himself, Lauderdale-by-the-Sea, Broward County, FL. the Committee on Environment and Public Mr. BOND, and Mr. BUNNING): [CGD07–02–17]’’ (RIN1625–AA09) received on Works. S. 2208. A bill to amend the Surface Mining March 4, 2004; to the Committee on Com- EC–6698. A communication from the Direc- Control and Reclamation Act of 1977 to re- merce, Science, and Transportation. tor, Office of Personnel Management, trans- duce the amounts of reclamation fees, to EC–6689. A communication from the Direc- mitting, pursuant to law, a report entitled modify requirements relating to transfers tor, Fish and Wildlife Service, Department of Fiscal Year 2003 Annual Federal Equal Op- from the Abandoned Mine Reclamation

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00023 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2778 CONGRESSIONAL RECORD — SENATE March 12, 2004 Fund, and for other purposes; to the Com- grams at the Department of Energy and the 2186, a bill to temporarily extend the mittee on Energy and Natural Resources. Los Alamos National Laboratory; to the programs under the Small Business Act By Mr. GRAHAM of Florida (for him- Committee on Energy and Natural Re- and the Small Business Investment Act sources. self and Mr. NELSON of Florida): of 1958, through May 15, 2004, and for S. 2209. A bill to authorize water resources f projects for Indian River Lagoon-South and other purposes. Southern Golden Gates Estates, Collier ADDITIONAL COSPONSORS S.J. RES. 28 County, in the State of Florida; to the Com- S. 1180 At the request of Mr. CAMPBELL, the mittee on Environment and Public Works. At the request of Mr. SANTORUM, the names of the Senator from Louisiana By Mr. LEVIN (for himself and Mr. name of the Senator from Indiana (Mr. (Ms. LANDRIEU) and the Senator from COLEMAN): LUGAR) was added as a cosponsor of S. Arkansas (Mr. PRYOR) were added as S. 2210. A bill to restrict the use of abusive tax shelters and offshore tax havens to inap- 1180, a bill to amend the Internal Rev- cosponsors of S.J. Res. 28, a joint reso- propriately avoid Federal taxation, and for enue Code of 1986 to modify the work lution recognizing the 60th anniversary other purposes; to the Committee on Fi- opportunity credit and the welfare-to- of the Allied landing at Normandy dur- nance. work credit. ing World War II. By Mr. ROCKEFELLER: S. 1703 S. CON. RES. 88 S. 2211. A bill to amend the Surface Mining At the request of Mr. SMITH, the At the request of Mr. SARBANES, the Control and Reclamation Act of 1977 to reau- name of the Senator from Maine (Ms. thorize and reform the Abandoned Mine Rec- name of the Senator from Vermont COLLINS) was added as a cosponsor of S. (Mr. JEFFORDS) was added as a cospon- lamation Program, and for other purposes; 1703, a bill to amend the Internal Rev- to the Committee on Energy and Natural Re- sor of S. Con. Res. 88, a concurrent res- sources. enue Code of 1986 to provide a credit olution expressing the sense of Con- By Ms. COLLINS (for herself, Mr. against income tax for expenditures for gress that there should continue to be BAYH, Mrs. DOLE, and Mr. GRAHAM of the maintenance of railroad tracks of parity between the adjustments in the South Carolina): Class II and Class III railroads. pay of members of the uniformed serv- S. 2212. A bill to amend title VII of the S. 1704 ices and the adjustments in the pay of Tariff Act of 1930 to provide that the provi- At the request of Ms. CANTWELL, her sions relating to countervailing duties apply civilian employees of the United name was added as a cosponsor of S. States. to nonmarket economy countries; to the 1704, a bill to amend the Public Health Committee on Finance. Service Act to establish a State family AMENDMENT NO. 2775 By Mr. ROCKEFELLER: support grant program to end the prac- At the request of Ms. LANDRIEU, the S. 2213. A bill to amend part A of title IV names of the Senator from South Da- of the Social Security Act to require the tice of parents giving legal custody of kota (Mr. DASCHLE), the Senator from Secretary of Health and Human Services to their seriously emotionally disturbed conduct research on indicators of child well- children to State agencies for the pur- Nevada (Mr. REID), the Senator from being; to the Committee on Finance. pose of obtaining mental health serv- Florida (Mr. NELSON), the Senator from By Mr. BURNS: ices for those children. Hawaii (Mr. INOUYE), the Senator from S. 2214. A bill to designate the facility of S. 1792 New York (Mrs. CLINTON), the Senator the United States Postal Service located at At the request of Mr. DOMENICI, the from Washington (Mrs. MURRAY), the 3150 Great Northern Avenue in Missoula, names of the Senator from Nevada (Mr. Senator from Maryland (Ms. MIKULSKI) Montana, as the ‘‘Mike Mansfield post of- and the Senator from South Dakota fice’’; to the Committee on Governmental REID), the Senator from Idaho (Mr. (Mr. JOHNSON) were added as cospon- Affairs. CRAPO) and the Senator from Georgia By Mr. REED (for himself, Mr. DEWINE, (Mr. MILLER) were added as cosponsors sors of amendment No. 2775 proposed to Mrs. CLINTON, and Mr. SMITH): of S. 1792, a bill to amend the Internal S. Con. Res. 95, an original concurrent S. 2215. A bill to amend the Higher Edu- Revenue Code of 1986 to provide the resolution setting forth the congres- cation Act of 1965 to provide funds for cam- same capital gains treatment for art sional budget for the United States pus mental and behavioral health service and collectibles as for other invest- Government for fiscal year 2005 and in- centers; to the Committee on Health, Edu- ment property and to provide that a cluding the appropriate budgetary lev- cation, Labor, and Pensions. deduction equal to fair market value els for fiscal years 2006 through 2009. By Mr. HOLLINGS (for himself, Ms. shall be allowed for charitable con- AMENDMENT NO. 2793 SNOWE, Mr. LAUTENBERG, Mr. CAR- PER, Mr. BIDEN, Mrs. BOXER, Mr. tributions of literary, musical, artistic, At the request of Mr. DORGAN, the SCHUMER, Mr. KENNEDY, and Mr. or scholarly compositions created by name of the Senator from Delaware BREAUX): the donor. (Mr. BIDEN) was added as a cosponsor of S. 2216. A bill to provide increased rail S. 1802 amendment No. 2793 proposed to S. transportation security; to the Committee At the request of Mr. ENZI, his name Con. Res. 95, an original concurrent on Commerce, Science, and Transportation. was added as a cosponsor of S. 1802, a resolution setting forth the congres- By Mr. FRIST: bill to amend the Native American sional budget for the United States S. 2217. A bill to improve the health of Housing Assistance and Self-Deter- health disparity populations; to the Com- Government for fiscal year 2005 and in- mittee on Finance. mination Act of 1996 and other Acts to cluding the appropriate budgetary lev- improve housing programs for Indians. els for fiscal years 2006 through 2009. f S. 1807 AMENDMENT NO. 2847 At the request of Mr. MCCAIN, the SUBMISSION OF CONCURRENT AND At the request of Mr. GRASSLEY, the name of the Senator from Illinois (Mr. SENATE RESOLUTIONS name of the Senator from Tennessee DURBIN) was added as a cosponsor of S. The following concurrent resolutions (Mr. ALEXANDER) was added as a co- 1807, a bill to require criminal back- and Senate resolutions were read, and sponsor of amendment No. 2847 pro- ground checks on all firearms trans- referred (or acted upon), as indicated: posed to S. Con. Res. 95, an original actions occurring at events that pro- concurrent resolution setting forth the By Mr. GRAHAM of Florida (for him- vide a venue for the sale, offer for sale, self, Ms. SNOWE, Mr. GREGG, Mr. transfer, or exchange of firearms, and congressional budget for the United DODD, Mr. JEFFORDS, Mr. BREAUX, for other purposes. States Government for fiscal year 2005 Mr. FRIST, and Mr. ENZI): and including the appropriate budg- S. 2011 S. Res. 320. A resolution designating the etary levels for fiscal years 2006 At the request of Mr. HAGEL, the week of March 7 through March 13, 2004, as through 2009. ‘‘National Patient Safety Awareness Week’’; name of the Senator from Missouri considered and agreed to. (Mr. TALENT) was added as a cosponsor f By Mr. BINGAMAN (for himself, Mr. of S. 2011, a bill to convert certain tem- DOMENICI, and Mrs. FEINSTEIN): porary Federal district judgeships to STATEMENTS ON INTRODUCED S. Res. 321. A resolution recognizing the permanent judgeships, and for other BILLS AND JOINT RESOLUTIONS loyal service and outstanding contributions of J. Robert Oppenheimer to the United purposes. By Mr. LEVIN (for himself and States and calling on the Secretary of En- S. 2186 Mr. COLEMAN); ergy to observe the 100th anniversary of Dr. At the request of Mr. DORGAN, his S. 2210. A bill to restrict the use of Oppenheimer’s birth with appropriate pro- name was added as a cosponsor of S. abusive tax shelters and offshore tax

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00024 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2779 havens to inappropriately avoid Fed- from the United States, described the following: Abusive tax shelters in eral taxation, and for other purposes; elaborate measures taken to avoid IRS which taxpayers use complex invest- to the Committee on Finance. detection of his clients’ money trans- ment schemes with no real business Mr. LEVIN. Mr. President, I would fers, and expressed confidence that the purpose other than to evade tax; cor- like to introduce today, with Senator Government would defend client se- porate inversions in which companies NORM COLEMAN, a comprehensive tax crecy in order to attract business to pretend to move their headquarters to reform bill called the Tax Shelter and the island. For the past few years, the an offshore tax haven just to avoid Tax Haven Reform Act. This bill is in- IRS has made detection of offshore their U.S. tax bill; foreign tax havens tended to respond to the ever increas- bank accounts used by individuals to in which taxpayers use bank accounts ing tax shelter and tax haven abuses conceal taxable income an enforcement and shell entities in foreign tax havens that are undermining the integrity of priority, estimating that as many as 1 to escape detection while dodging our tax system, robbing the Treasury to 2 million U.S. taxpayers are hiding taxes; and structured financial trans- of tens of billions of dollars each year, funds in offshore tax havens. actions in which companies use shell and shifting the tax burden from high Corporations are also using tax ha- entities in convoluted setups or im- income corporations and individuals vens to reduce their U.S. tax liability. proper transfer pricing schemes to onto the backs of the middle class. A subcommittee hearing held in 2003, avoid taxes. In most cases, these tax Abusive tax shelters and the misuse of on an Enron tax shelter known as dodges are designed, sold and imple- tax havens must be stopped. Slapshot, as well as Senate Finance mented by tax professionals who re- For more than a year, the Permanent Committee hearings on other Enron ceive lucrative fees to help their cli- Subcommittee on Investigations, on tax scams, show how corporations can ents avoid their tax obligations. To which I serve, has been conducting an utilize tax havens to avoid U.S. taxes. provide a better picture of some of investigation at my request into the A GAO report recently released by Sen- these abuses, here are a few recent ex- design, sale, and implementation of ator DORGAN and myself shows that amples. abusive tax shelters. I initiated this in- nearly two-thirds of the top 100 compa- Perhaps the best-known corporate in- vestigation back in 2002, but it has nies doing business with the United verter is Tyco International, which op- since been carried out in a bipartisan States now have one or more subsidi- erates out of New Hampshire and New fashion with the support of Senator aries in a tax haven. One company, Jersey, but claims a mailing address in COLEMAN, who is our current Sub- Tyco International, has 115 tax haven Bermuda to avoid U.S. taxes. This tax committee Chairman. subsidiaries. Data recently released by dodge is a slap in the face of U.S. tax- What the subcommittee investiga- the Commerce Department further payers, especially in light of the $300 tion has found is that many of the abu- demonstrates the extent of U.S. cor- million in Federal defense and home- sive tax shelters were not dreamed up porate use of tax havens, indicating land security contracts awarded to by the taxpayers who used them. In- that, as of 2001, almost half of all for- Tyco in FY 2002, as well as the months- stead, most were devised by tax profes- eign profits of U.S. corporations were long, taxpayer-financed prosecution of sionals, like accountants, lawyers, in tax havens. Tyco’s former officers for diverting $600 bankers, and investment advisors, who Over the years, subcommittee inves- million in corporate assets to their per- then sold the tax shelter to clients for tigations have uncovered numerous in- sonal use. Tyco, once a proud U.S. cor- a fee. In fact, as our investigation wid- stances of how U.S. tax enforcement ef- poration, has sunk to new lows in its ened, we found hordes of tax advisors forts examining transactions, bank ac- attempts to avoid paying its U.S. cooking up one complex scheme after counts, and other activities in tax ha- taxes. another, packaging them up as generic vens have been delayed or impeded by Corporate tax abuses aren’t confined ‘‘tax products’’ with boiler-plate legal tax haven secrecy laws and practices. to large U.S. companies. One example and tax opinions, and then undertaking This bill is intended to give the U.S. of an abusive tax shelter being used by elaborate marketing schemes to peddle Government new tools to stop unco- some small companies is called ‘‘SC2,’’ these products to literally thousands of operative tax havens from continuing which was one of the tax shelters fea- persons across the country. In return, to help corporations and individuals tured in our recent Subcommittee these tax shelter promoters were get- dodge their U.S. tax obligations. hearings and staff report. In this shel- ting hundreds of millions of dollars in Stop and think what is at stake here. ter, a closely-held corporation tempo- fees, while diverting billions of dollars Men and women in our military are rarily grants nonvoting stock to a tax- in tax revenues from the U.S. Treasury putting their lives on the line every exempt charity and then allocates—on each year. day for our Nation. They are in Iraq, paper—a significant portion of the In November 2003, our subcommittee Afghanistan, the Balkans, and now company’s profits to that charity. Be- held two days of hearings and released Haiti. To make sure we can provide forehand, the company takes steps to a report prepared by my staff which them with the resources they need, all limit or suspend any obligation to ac- pulled back the curtain and provided Americans need to contribute their fair tually distribute income allocated to an inside looks at how even some re- share in taxes. Unfortunately, there its shareholders. The charity pays no spected accounting firms, banks, in- are too many companies and individ- tax on the paper profits allocated to it. vestment advisors, and lawyers have uals that finagle ways to avoid paying When the original corporate owners become the engines pushing the design what they owe, despite the benefits eventually reclaim both the stock and and sale of abusive tax shelters to cor- they receive from this country. These undistributed profits, they claim that porations and individuals across this tax dodgers deprive our Nation of bil- capital gains taxes, rather than higher country. It was this investigative ef- lions of dollars in resources and add to ordinary income taxes, apply to the in- fort that inspired many of the provi- the tax burdens of the rest of us. come previously allocated to the char- sions in the bill to combat abusive tax Companies benefit from so much here ity. The charity gets paid for its com- shelters and the professionals who pro- in America: our stock market, tele- plicity, the corporate owners evade a mote them. communications infrastructure, patent lot of tax, and Uncle Sam is the loser. Another part of this bill results from protections, educated workforce, re- A third tax shelter example involves subcommittee investigations exam- search support, sophisticated financial a massive, $20 billion transfer pricing ining how tax havens around the globe systems, and basic law enforcement. tax scam recently disclosed in a report help taxpayers dodge their U.S. tax ob- Yet, too many companies run to use issued by the bankruptcy examiner for ligations, using corporate, bank, and tax avoidance schemes based on abu- Worldcom-MCI. The report states that tax secrecy laws to impede U.S. tax en- sive tax shelters and tax havens like a Worldcom avoided paying hundreds of forcement efforts. At one sub- car speeding through a tollbooth, leav- millions of dollars in state and Federal committee hearing in 2001, a former ing the rest of us to pitch in the re- taxes over a four-year period, from 1998 owner of an offshore bank in the Carib- quired fare and subsidize their free to 2001, by claiming questionable ex- bean testified that he believed 100% of ride. penses from related shell companies, his bank clients were engaged in tax Corporate and individual tax dodges including for a bogus intangible asset evasion. He said that almost all were today take many forms. They include called ‘‘management foresight.’’ The

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00025 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2780 CONGRESSIONAL RECORD — SENATE March 12, 2004 bankruptcy examiner, former Attorney rent effect at all. Tow examples dem- A second penalty provision in the bill General Richard Thornburgh, called on onstrate the problem: involves what our investigation found the company to sue its tax advisor and First, consider the penalty for pro- to be one of the biggest problems—the auditor, KPMG, for landing the com- moting an abusive tax shelter, as set knowing assistance of accounting pany in this tax disaster, but forth in section 6700 of the tax code. firms, law firms, banks, and others Worldcom-MCI has, instead brazenly Currently, the penalty is the lesser of helping taxpayers understate their decided to continue using the tax $1,000 or 100 percent of the promoter’s taxes. Right now, under Section 6701 of dodge. This is the same company, by gross income derived from the prohib- the tax code, persons who knowingly the way, that profits from billions of ited activity. That means in most aid and abet a taxpayer in understating dollars in Federal and State contracts cases, the maximum fine is $1,000. That their tax liability face a maximum paid for—that’s right—with taxpayer figure is laughable, when many abusive penalty of $1,000 for assisting indi- dollars. tax shelters are selling for $100,000 or vidual taxpayers and $10,000 for assist- The tax chiseling seems endless. $250,000 a piece. Our investigation un- ing corporate taxpayers. These paltry Some of the tax ploys are arguably covered some tax shelters that were amounts provide no deterrent at all. technically legal and require a change sold for $900,000 or even $2 million each, Worse yet, the penalty applies only to in law or regulation. Others appear bla- and instances in which the same cook- so-called ‘‘tax return preparers.’’ Cur- tantly illegal, yet elicit little or no ie-cutter tax opinion letter was sold to rent law imposes no penalty at all on penalty. Companies keep using them, 100 or even 200 clients. A $1,000 fine just those who knowingly design and carry and their competitors are put at a dis- doesn’t cut it. out the abusive tax shelter, so long as advantage unless they join in. If further proof were needed, one doc- those persons don’t actually prepare Too many respected accounting ument uncovered by our investigation the taxpayer’s return. firms, financial institutions, and law- contains the cold calculation by a sen- Section 102 of the bill would yers have joined in the sickening ior tax professional at KPMG com- strengthen this penalty significantly, games by peddling tax dodges and tak- paring possible tax shelter fees with subjecting aiders and abettors to a ing a cut of the billions of dollars di- possible tax shelter penalties if the maximum fine up to the greater of ei- verted from the U.S. Treasury. As IRS firm were caught promoting an illegal ther 150 percent of the aider and abet- tor’s gross income from the prohibited Commissioner Mark Everson has point- tax shelter. This senior tax profes- activity, or the amount assessed ed out, accountants and lawyers should sional wrote the following: ‘‘[O]ur aver- against the taxpayer for using the abu- be the pillars of our system of vol- age deal would result in KPMG fees of sive shelter. And this penalty would untary tax compliance, not the archi- $360,000 with a maximum penalty expo- apply to all aiders and abettors, not tects of its circumvention. sure of only $31,000.’’ He then rec- just tax return preparers. This tax chiseling hurts average tax- ommended the obvious—going forward These are just two of the penalties payers, not only by leaving them with with sales of the abusive tax shelter on strengthened by the Tax Shelter and the burden of making up the lost reve- a cost-benefit basis. Proposals to increase the penalty for Tax Haven Reform Act. Others include nues, but also by constricting re- stronger penalties for tax shelter pro- sources for essential government pro- promoting abusive tax shelters have al- ready passed the Senate three times moters who fail to register a new shel- grams. It is a lack of resources that re- ter with the IRS or fail to provide the sults in the new Medicare drug pre- and are included in the JOBS Act pend- ing in the Senate. But these proposals IRS with a client list when requested, scription plan having a huge gap in and stronger penalties for taxpayers coverage that denies elderly help with are not tough enough to do the job that needs to be done. In general, they in- who fail to disclose a tax shelter on their prescription drug bills when they their tax return or fail to disclose an crease the penalty for promoting abu- most need it. It’s why our schools are offshore bank account. sive tax shelters to a maximum of 50 burdened with unfunded mandates. It’s Title II also contains many provi- why we have a giant and deepening def- percent of the promoters’ gross income sions to combat abusive tax shelters, icit ditch threatening our children’s from the prohibited activity. Now, but first I want to mention Title III, economic well-being. The list of harm- think about that. Why should anyone which focuses on the economic sub- ful consequences of tax dodging is long who illegally pushes an abusive tax stance doctrine, and Title IV which ad- and disquieting. shelter be allowed—if they get dresses offshore tax havens. The Tax Shelter and Tax Haven Re- caught—to keep half of their profits? Title III of the bill would include in form Act we are introducing today con- What deterrent effect is created by a Federal tax statutes for the first time tains a number of measures to put an penalty that allows promoters to keep what is known as the economic sub- end to these tax dodges: half of their wages if caught, and all of stance doctrine. This anti-abuse doc- To curb abusive tax shelters, the bill them if they are not? trine was fashioned by Federal Courts strengthens the penalties on tax shel- Penalities for those who peddle abu- asked to evaluate transactions which ter promoters and codifies the eco- sive tax shelters need to be a lot tough- appeared to have little or no business nomic substance doctrine eliminating er. They should, first, make sure a tax purpose or economic substance apart tax benefits for transactions that have shelter promoter is deprived of every from tax avoidance. It has become a no real business purpose or real eco- penny of the profits earned from selling powerful analytical tool used by courts nomic impact apart from those tax or providing legal advice on the shel- to invalidate abusive tax shelters. At benefits. ter, and then pay a fine on top of that. the same time, because there is no To crack down on the misuse of tax Only that way is the promoter actually statute underlying this doctrine and havens, we authorize Treasury to issue penalized for misconduct. Secondly, the courts have developed and applied an annual list of ‘‘uncooperative tax tax shelter promoters ought to face a it differently in different judicial dis- havens’’ and suspend U.S. tax benefits penalty that is at least as harsh as the tricts, the existing case law has many for income attributed to those jurisdic- penalty imposed on the taxpayer who ambiguities and conflicting interpreta- tions. purchased their tax product, not only tions. We also require the Treasury Depart- because the promoter is usually as cul- Under the leadership of Senators ment to issue standards for tax shelter pable as the taxpayer, but also so pro- GRASSLEY and BAUCUS, the Chairman opinion letters, and give the IRS new moters think twice about pushing tax and Ranking Member of the Finance tools to take tough enforcement action schemes. Specifically, section 101 of Committee, the Senate has voted three against the accounts, lawyers, bankers the bill would increase the penalty on times to codify the economic substance and other financial professionals pro- tax shelter promoters to an amount up doctrine, but it has yet to be enacted moting or facilitating deceptive tax to the greater of either 150 percent of into law. Since no tax shelter legisla- schemes. the promoters’ gross income from the tion would be complete without ad- Let me be more specific. prohibited activity, or the amount as- dressing this issue, Title III of this Title I of the bill strengthens a host sessed against the taxpayer—including comprehensive bill proposes once more of tax shelter penalties, which are cur- backtaxes, interest and penalties—for to include the economic substance doc- rently so weak they provide no deter- using the abusive shelter. trine in the tax code.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00026 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2781 Sections 401 and 402 in the Tax Shel- the bill would, in part, direct the De- whether an accounting firm had im- ter and Tax Haven Reform Act also partment of the Treasury to issue as paired its independence by selling tax tackle the issue of tax havens by deter- part of Circular 230 new standards for shelters to its audit clients. ring use of tax havens that fail to co- tax practitioners issuing opinion let- These communication barriers be- operate with U.S. tax enforcement ef- ters on the tax implications of tax tween our key Federal civil enforce- forts. There are dozens of jurisdictions shelters. The public has traditionally ment agencies are outdated, ineffi- around the world that have enacted relied on tax opinion letters to obtain cient, and ill-suited to stopping the corporate, bank, and tax secrecy laws informed and trustworthy advice about torrent of tax shelter abuses now af- and then, in too many cases, used these whether a tax-motivated transaction fecting or being promoted by so many laws to justify a failure to provide meets the requirements of the law. The of our public companies, banks, and ac- timely information to U.S. law enforce- investigation conducted by the Perma- counting firms. To address this prob- ment about persons suspected of either nent Subcommittee on Investigations lem, section 203 of the bill would au- hiding funds in the jurisdiction’s off- found that, in too many cases, tax thorize the Treasury Secretary, with shore bank accounts or using offshore opinion letters no longer contain disin- appropriate privacy safeguards, to dis- corporations and deceptive trans- terested and reliable tax advice, even close to the SEC, Federal banking actions to disguise their income or cre- when issued by supposedly reputable agencies, and the PCAOB, upon re- ate phony losses to shelter their in- accounting or law firms. Instead, too quest, tax return information related come from taxation. many tax opinion letters have become to abusive tax shelters, inappropriate Section 401 of the bill would tackle marketing tools used by tax shelter tax avoidance, or tax evasion. The the problem by giving the Treasury promoters and their allies to sell cli- agencies could then use this informa- Secretary the discretion to designate ents on their latest tax products. In too tion only for law enforcement pur- offshore tax havens as ‘‘uncooperative’’ many of these cases, financial interests poses, such as preventing accounting and to publish an annual list of these and biases were concealed, unreason- firms or banks from promoting abusive uncooperative tax havens. The Treas- able factual assumptions were used to tax shelters or aiding or abetting tax ury Secretary is intended to develop justify dubious legal conclusions, and evasion, and detecting and punishing this list by evaluating the actual taxpayers were misled about the risks accounting fraud related to illegal tax record of cooperation experienced by that the proposed transaction would shelters employed by public companies. the United States in its dealings with later be designated an illegal tax shel- Improved information sharing for law specific jurisdictions around the world. ter. Reforms are essential to address enforcement purposes would greatly While many offshore tax havens have these abuses and restore the integrity aid our agencies in their enforcement recently signed treaties with the of tax opinion letters issued by rep- efforts. United States promising for the first utable firms. The bill would also provide for in- time to cooperate with U.S. civil and Treasury recently proposed standards creased disclosure to Congress. Section criminal tax enforcement, it is unde- that would address some of the ongoing 204 of the bill would make it clear, for termined what level of cooperation will abuses affecting tax shelter opinion example, that companies providing tax actually result. For example, after one letters; however, the proposed stand- return preparation services to tax- country signed a tax treaty with the ards do not take all the steps needed. payers cannot refuse to comply with a United States, the government that led Our bill would require Treasury to Congressional document subpoena by the effort was voted out of office by issue standards addressing a wider citing a consumer protection provision treaty opponents. Treasury needs a spectrum of tax shelter opinion letter in the tax code, section 7216, prohib- way to ensure that tax treaty obliga- problems, including: (1) the independ- iting tax return preparers from dis- tions are met and to send a message to ence of the opinion letter writer from closing taxpayer information to third jurisdictions that impede U.S. tax en- tax shelter promoters, (2) collaboration parties. Several accounting and law forcement. This bill will help Treasury among letter writers resulting in joint firms raised this claim in response to get the cooperation it needs. financial interest, (3) avoidance of con- document subpoenas issued by the Per- in addition to authorizing Treasury flicts of interest that would impair manent Subcommittee on Investiga- to publish an annual list of uncoopera- auditor independence, (4) review and tions, contending they were barred by tive tax havens, section 401 and 402 of approval procedures by a firm for opin- the nondisclosure provision in section the bill would deter use of uncoopera- ion letters issued in the name of the 721 from producing documents related tive tax havens by imposing two types firm, (5) reliance on reasonable factual to the sale of abusive tax shelters to of restrictions on taxpayers doing busi- representations, and (6) the appro- clients for a fee. The accounting and ness in the designated jurisdictions. priateness of fee charges. By addressing law firms maintained this position de- First, taxpayers would be required to each of these areas, Circular 230 could spite an analysis provided by the Sen- provide greater disclosure of their ac- help reduce the ongoing abusive prac- ate legal counsel showing that the non- tivities on their tax returns, including tices related to tax shelter opinion let- disclosure provision was never intended disclosing on their returns any pay- ters. to create a privilege or to override a ment above $10,000 to a person or ac- During the November tax shelter Senate subpoena, as demonstrated in count located in a designated tax hearings before the Permanent Sub- Federal regulations interpreting the haven. Second, the bill would disallow committee on Investigations, IRS provision. To clarify the law, the bill any tax benefits, such as foreign tax Commissioner Mark Everson testified would codify the existing regulations credits or deferral of taxation, for in- that his agency was barred by section interpreting section 7216 and make it come attributable to a designated tax 6103 of the tax code from commu- clear that congressional document sub- haven. These restrictions would pro- nicating information to other Federal poenas must be honored. vide the United States with powerful agencies that would assist those agen- Section 204 would also ensure Con- weapons to compel tax havens to begin cies in their law enforcement duties. gress has access to information about to cooperate with U.S. tax enforcement He indicated, for example, that the IRS decisions by Treasury related to an or- efforts. was barred from providing tax return ganization’s tax exempt status. A 2003 In addition to addressing the need to information to the SEC, Federal bank decision by the D.C. Circuit Court of increase tax shelter penalties, codify regulators, and the Public Company Appeals, Tax Analysts v. IRS, struck the economic substance doctrine and Accounting Oversight Board, or down certain IRS regulations and held deter use of uncooperative tax havens, PCAOB, even when that information that the IRS must disclose letters de- the bill includes a number of measures might assist a Federal agency in evalu- nying or revoking an organization’s in Title II that would address other as- ating whether an abusive tax shelter tax exempt status to the public. The pects of abusive tax shelters. I’d like to resulted in deceptive accounting in a IRS has been reluctant to disclose such discuss a few of these. public company’s financial statements, information, not only to the public, Title II of the bill includes a number whether a bank selling tax products to but also to Congress, including in re- of additional measures to crack down its clients had violated the law against sponse to requests by the Permanent on abusive tax dodges. Section 201 of promoting abusive tax shelters, or Subcommittee on Investigations. This

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00027 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2782 CONGRESSIONAL RECORD — SENATE March 12, 2004 section of the bill would make it clear tions on contingency fees by putting Expand tax shelter exception to tax practi- that, upon receipt of a request form a into place a single enforceable rule, ap- tioner privilege to cover all abusive tax shel- Congressional committee or sub- plicable nationwide, that would pro- ters; committee, the IRS must disclose doc- hibit tax practitioners from charging Authorize IRS to disclose certain tax shel- ter information to certain federal agencies uments, other than a tax return, re- fees which are ‘‘contingent upon the to strengthen civil law enforcement; lated to the agency’s determination to actual or projected achievement of Increase disclosure of certain tax shelter grant, deny, revoke or restore an orga- Federal tax savings or benefits, or of promoter information to Congress; nization’s exemption from taxation. losses which can be used to offset other Prohibit use of fees contingent on specified Still another finding of the sub- taxable income.’’ amount of tax avoidance; and committee investigation is that tax Section 206 of the bill would establish Sense of the Senate on IRS tax enforce- practitioners are circumventing cur- that it is the sense of the Senate that ment priorities, advocating more enforce- ment funds and more enforcement action to rent State and Federal constraints on additional funds should be appropriated charging tax service fees that are con- stop tax shelter promoters and combat use of for IRS enforcement, and that the IRS offshore bank accounts to conceal taxable tingent on actual or projected tax sav- should devote proportionately more of income. ings. Traditionally, accounting firms its enforcement funds to combat ramp- Title III—Require Economic Substance: charged flat fees or hourly fees for ant tax shelter and tax haven abuses. Clarify and codify the economic substance their tax services. In the 1990s, how- Specifically, the bill would direct in- doctrine; ever, they began charging ‘‘value creased funding toward enforcement ef- Strenghten penalty for tax transactions lacking economic substance; and added’’ fees based on, in the words of a forts combating the promotion of abu- one accounting firm’s manual, ‘‘the Eliminate tax deduction for interest on un- sive tax shelters for corporations and paid taxes attributable to transactions de- value of the services provided, as op- high net worth individuals and the aid- termined to be without economic substance. posed to the time required to perform ing and abetting of tax evasion; the in- Title IV—Deter Uncooperative Tax Havens: the services.’’ In addition, some firms volvement of accounting, law and fi- Require disclosure of payments to unco- began charging ‘‘contingent fees’’ that nancial firms in such promotion and operative tax havens; and were based on a client’s obtaining spec- aiding and abetting; and the use of off- Restrict tax benefits for income earned in uncooperative tax havens. ified results from the services offered, shore financial account to conceal tax- such as projected tax savings. In re- able income. TITLE I—STRENGTHENING TAX SHELTER PENALTIES sponse, many States prohibited ac- In a bipartisan letter that was re- counting firms from charging contin- cently sent to the Senate appropria- Sections 101–109 Strengthens the penalties for (see chart on gent fees for tax work to avoid creating tions committee by Senators COLEMAN, last page of this summary): promoting abu- incentives for these firms to devise COLLINS, LIEBERMAN and myself, we ways to shelter substantial sums. The sive tax shelters (§ 101); knowingly aiding or wrote that, ‘‘Tax enforcement is one abetting a taxpayer in understating tax li- SEC and the American Institute of Cer- area where a relatively small increase ability (§ 102); failing to register potentially tified Public Accountants also issued in spending can pay for itself many abusive tax shelters with the IRS or to pro- rules restricting contingent fees, al- times over.’’ Tens of billions in reve- vide required information about such shel- lowing them in only limited cir- nues that should support this country ters to the IRS (§ 103, § 106); failing to main- cumstances. would actually reach the Treasury if tain and disclose to the IRS upon request tax The subcommittee investigation we would hire adequate enforcement shelter client lists (§ 104); and failing to dis- found that tax shelter fees, which are close offshore bank accounts (§ 109). personnel, close the tax loopholes, and Extends statute of limitations for undis- typically substantial and sometimes put an end to tax dodges. exceed $1 million, are often linked to closed tax shelters (§ 107), and expands the It is past time to get serious about IRS’ ability to seek injunctions against tax the taxpayer’s projected tax savings or tax shelter abuses, uncooperative tax shelter promoters and material advisors paper losses to be used to shelter in- havens, and the tax dodgers who use (§ 108). Modeled after provisions in the Grass- come from taxation. For example, in them. This bill would send the message ley/Baucus legislation that has passed the three tax shelters examined by the to tax dodgers that their shenanigans Senate three times. Subcommittee, documents show that are unfair, unpatriotic, and unaccept- TITLE II—PREVENTING ABUSIVE TAX SHELTER the fees were equal to a percentage of able. We need to stop putting a dis- TRANSACTIONS the paper loss to be generated by the proportionate burden on the shoulders Section 201—Authorize censure, civil fines, and transaction. In one case, the fees were of the average American and make sure tax shelter opinion standards for tax practi- typically set at 7 percent of the trans- all taxpayers are paying their fair tioners action’s generated ‘‘tax loss’’ that cli- share. Authorizes Treasury to censure or impose ents could sue to shelter other taxable I ask unanimous consent that a sum- civil fines on tax practitioners (such as ac- countants and attorneys) who violate speci- income. In addition, other evidence in- mary of the bill and the text of the bill dicated that, in at least some in- fied standards of practice in Circular 230, for be printed in the RECORD. persons representing clients before the IRS. stances, a tax advisor was willing to There being no objection, the mate- Modeled after provision in the Grassley/Bau- deliberately manipulate the way it rial was ordered to be printed in the cus legislation that has passed the Senate handled certain tax products to cir- RECORD, as follows: three times. Directs Treasury to issue Circular 230 cumvent the contingent fee prohibi- SUMMARY OF SENATOR LEVIN’S TAX SHELTER standards for tax practitioners providing tions. One internal document at an ac- AND TAX HAVEN REFORM ACT ‘‘opinion letters’’ on specific tax shelter counting firm related to a specific tax (See attached, more detailed summary shelter, for example, identified the transactions. Requires standards to address: that reflects which parts of this bill are pat- (1) independence of letter writer from tax states that prohibited contingent fees. terned after or incorporated in the Grassley/ shelter promoters, (2) collaboration among Then, rather than prohibit the tax Baucus revenue raisers that have previously letter writers resulting in joint financial in- shelter transactions in those States or passed the Senate and are included in the up- terests, (3) avoidance of conflicts of interest require an alternative fee structure, coming JOBS Act.) that would impair auditor independence, (4) the memorandum directed the firm’s Title I—Strengthen Tax Shelter Penalties: review and approval by a firm of opinion let- Strengthen penalties for promoting abu- ters issued in the name of the firm, (5) rea- tax professionals to make sure the en- sive tax shelters, aiding or abetting tax eva- sonable reliance on factual representations, gagement letter was signed, the en- sion, failing to register or disclose poten- and (6) the appropriateness of fee charges. gagement was managed, and the bulk tially abusive tax shelters, failing to main- Expands upon standards recently proposed tain and disclose required tax shelter client of services was performed ‘‘in a juris- by Treasury. diction that does not prohibit contin- lists, and failing to disclose offshore bank accounts; Section 202—Expand tax shelter exception to tax gency fees.’’ practitioner privilege Right now, the prohibitions on con- Extend statute of limitations for undis- tingent fees are complex and must be closed tax shelters; and Expands existing tax shelter exception to Expand injunctive relief to stop certain the confidentiality privilege for communica- evaluated in the context of a patch- conduct related to abusive tax shelters. tions between a federally authorized tax work of Federal, State and professional Title II—Prevent Abusive Tax Shelters: practitioner and taxpayer, so that the excep- ethics rules. Section 205 of the bill Authorize censure, civil fines, and tax shel- tion applies to communications not only would simplify the existing prohibi- ter opinion standards for tax practitioners; about corporate tax shelters, but other tax

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00028 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2783 shelters as well. Modeled after provision in fee prohibitions in more than 20 states, purpose apart from tax avoidance or evasion. the Grassley/Baucus legislation that has AICPA rules applicable to accountants, and Also increases penalties for understatements passed the Senate three times. SEC regulations applicable to auditors of and eliminates deductibility of interest on Sections 203–204—Increase disclosure of certain publicly traded corporations. Based upon in- unpaid taxes when the penalties or interest tax shelter information vestigation by Permanent Subcommittee on are attributable to a transaction lacking in Authorizes Treasury to share certain tax Investigations showing tax practitioners are economic substance. Modeled after provi- return information with the SEC, federal circumventing current constraints. sions in the Grassley/Baucus legislation that bank regulators, or PCAOB, under certain Section 206—‘‘Sense of the Senate’’ on IRS En- has passed the Senate three times. Esti- circumstances, to enhance tax shelter en- forcement Priorities mated to raise $13.7 billion over ten years. forcement or combat financial accounting Establishes the Sense of the Senate that fraud. (§ 204) additional funds should be appropriated for TITLE IV—DETERRING UNCOOPERATIVE TAX Clarifies that Congress has the same sub- IRS enforcement, and that the IRS should HAVENS poena authority as federal, state, and local devote proportionately more of its enforce- Section 401–402—Deter Uncooperative Tax Ha- authorities to obtain information from tax ment funds to combat: (1) the promotion of vens return preparers. Expands Congress’ author- abusive tax shelters for corporations and ity to obtain certain tax information (but high net worth individuals and the aiding or Deters taxpayer use of uncooperative tax not a taxpayer return) from Treasury related abetting of tax evasion, (2) the involvement havens with corporate, bank or tax secrecy to an IRS decision to grant, deny, revoke, or of accounting, law and financial firms in laws, procedures, or practices that impede restore an organization’s tax exempt status. such promotion and aiding or abetting, and U.S. enforcement of its tax laws by: (1) re- (§ 205) (3) the use of offshore financial accounts to quiring disclosure on taxpayer returns of any Section 205—Prohibit tax service fees contingent conceal taxable income. payments above $10,000 to accounts or per- on specific tax savings TITLE III—REQUIRING ECONOMIC SUBSTANCE sons located in such tax havens (§ 401), and Prohibits charging a fee for tax services in Sections 301–303—Strengthen the Economic Sub- (2) ending tax benefits for any income earned an amount contingent upon the actual or stance Doctrine in such tax havens (§ 402). Gives Treasury projected achievement of a specified amount Stengthens and codifies the economic sub- Secretary discretion to designate a tax of tax savings or income loss to offset tax- stance doctrine to invalidate transactions haven as uncooperative and publish an an- able income. Builds on existing contingent that have no economic substance or business nual list of those jurisdictions. COMPARISON OF TITLE I PENALTY PROVISIONS—STRENGTHEN TAX SHELTER PENALTIES

Penalty Violation Current law Provisions in JOBS Act (S. 1637) Provisions in Tax Shelter and Tax Haven Reform Act

Promotion of abusive tax shelters. IRS §6700 ...... Lesser of $1,000 or 100% of the promoters’ gross in- 50% of the promoters’ gross income from the activity. Not to exceed the greater of: (i) 150% of the promoters’ come derived from the prohibited activity. (§ 415). gross income from the prohibited activity, or (ii) amount assessed against the taxpayer for using abu- sive shelter (including backtaxes, penalties and inter- est) (§ 101). Knowingly aiding and abetting understatement of tax li- Maximum of $1,000 ($10,000 for a corporation). Penalty No provision included ...... Not to exceed the greater of: (i) 150% of the aider/abet- ability. IRC § 6701. applies only to tax return preparer. tor’s gross income from the prohibited activity, or (ii) amount assessed against the taxpayer for the under- statement (including backtaxes, penalties and inter- est). Penalty applies to all aiders/abettors, not just preparers (§ 102). Failure to timely register with IRS a shelter or provision of Non-confidential shelter: Greater of $500 or 1% of the $50,000. No distinction between confidential and non- $50,000 to $100,000. No distinction between confidential false or incomplete information with respect to it. IRC amount invested. confidential. However, if relates to a tax shelter pre- and non-confidential. However, if relates to a tax § 6707(a). Confidential shelter: Greater of $10,000 or 50% of the viously identified by the IRS, no less than $200,000 shelter previously identified by the IRS, no less than promoters’ fees (75% if violation is intentional). but not greater than 50% of the promoter’s income $200,000 but not greater than 100% of the pro- from the shelter (75% if violation is intentional). Ma- moter’s income from the shelter (150% if violation is terial advisors must also register. (§ 408). intentional). Material advisors must also register (§ 103). Failure by taxpayer to include with return the required in- $250 per failure to include tax shelter ID number, (There Significantly broadens disclosure requirements. $50,000, Similiar disclosure requirements as JOBS Act. $50,000, formation regarding a potentially abusive shelter. IRC are additional penalties on the taxpayer that relate to but $100,000 if failure relates to a tax shelter pre- but $100,000 if failure relates to a tax shelter pre- § 6707(b)(2). understatement or underpayment.). viously identified by the IRS. Doubled amounts if the viously identified by the IRS. Doubled amounts if in- taxpayer is a large entity or high net worth individual. tentional (§ 105). (§ 402). Failure to maintain list of participants in potentially abu- $50 per name, with a maximum penalty per year of $10,000 per day after the person has failed for 20 days Same as JOBS Act, plus if an incomplete list is given to sive tax shelters. IRC § 6708. $100,000. to provide a list to the IRS after the agency requested the IRS, $100 per omitted investor per day (§ 104). it. (§ 409). Failure to report interests in foreign financial accounts. Maximum of $100,000, but failure must be willful for Maximum of $5,000, but if willful, up to $100,000. Maximum of $10,000, but if willful, minimum of $5,000 31 USC § 5321. any penalty to be assessed. (§ 412). and up to 50% of the funds in the account over which the taxpayer has control (§ 109).

S. 2210 Sec. 105. Penalty for failing to disclose po- Sec. 302. Accuracy-related penalty for listed Be it enacted by the Senate and House of Rep- tentially abusive tax shelter. transactions and other poten- resentatives of the United States of America in Sec. 106. Improved disclosure of potentially tially abusive tax shelters hav- Congress assembled, abusive tax shelters. ing a significant tax avoidance Sec. 107. Extension of statute of limitations purpose. SECTION 1. SHORT TITLE; ETC. for undisclosed tax shelter. Sec. 303. Penalty for understatements at- (a) SHORT TITLE.—This Act may be cited as Sec. 108. Expansion of injunctive relief to tributable to transactions lack- the ‘‘Tax Shelter and Tax Haven Reform stop certain conduct related to ing economic substance, etc. Act’’. tax shelter or understatement Sec. 304. Denial of deduction for interest on (b) AMENDMENT OF 1986 CODE.—Except as of tax liability. underpayments attributable to otherwise expressly provided, whenever in Sec. 109. Penalty for failing to report inter- noneconomic substance trans- this Act an amendment or repeal is ex- ests in foreign financial ac- actions. pressed in terms of an amendment to, or re- counts. peal of, a section or other provision, the ref- TITLE IV—DETERRING UNCOOPERATIVE TITLE II—PREVENTING ABUSIVE TAX erence shall be considered to be made to a TAX HAVENS SHELTERS section or other provision of the Internal Sec. 401. Disclosing payments to persons in Sec. 201. Censure, civil fines, and tax opinion Revenue Code of 1986. uncooperative tax havens. standards for tax practitioners. (c) TABLE OF CONTENTS.—The table of con- Sec. 402. Deterring uncooperative tax havens tents for this Act is as follows: Sec. 202. Expansion of tax shelter exception to tax practitioner privilege. by restricting allowable tax Sec. 1. Short title; etc. Sec. 203. Information sharing for enforce- benefits. TITLE I—STRENGTHENING TAX ment purposes. TITLE I—STRENGTHENING TAX SHELTER SHELTER PENALTIES Sec. 204. Disclosure of information to Con- PENALTIES Sec. 101. Penalty for promoting abusive tax gress. SEC. 101. PENALTY FOR PROMOTING ABUSIVE shelters. Sec. 205. Contingent fee prohibition. TAX SHELTERS. Sec. 206. Sense of the Senate on tax enforce- Sec. 102. Penalty for aiding and abetting the (a) PENALTY FOR PROMOTING ABUSIVE TAX ment priorities. understatement of tax liability. SHELTERS.—Section 6700 (relating to pro- Sec. 103. Penalty for failing to register tax TITLE III—REQUIRING ECONOMIC moting abusive tax shelters, etc.) is amend- shelter. SUBSTANCE ed— Sec. 104. Penalty for failing to maintain cli- Sec. 301. Clarification of economic substance (1) by redesignating subsections (b) and (c) ent list. doctrine. as subsections (d) and (e), respectively,

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00029 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2784 CONGRESSIONAL RECORD — SENATE March 12, 2004 (2) by striking ‘‘a penalty’’ and all that fol- respect to providing such aid, assistance, the due date for which is after the date of lows through the period in the first sentence procurement, or advice, all such persons the enactment of this Act. of subsection (a) and inserting ‘‘a penalty de- shall be jointly and severally liable for the SEC. 104. PENALTY FOR FAILING TO MAINTAIN termined under subsection (b)’’, and penalty under such subsection.’’. CLIENT LIST. (c) PENALTY NOT DEDUCTIBLE.—Section 6701 (3) by inserting after subsection (a) the fol- (a) IN GENERAL.—Subsection (a) of section lowing new subsections: is amended by adding at the end the fol- 6708 (relating to failure to maintain lists of ‘‘(b) AMOUNT OF PENALTY; CALCULATION OF lowing new subsection: investors in potentially abusive tax shelters) PENALTY; LIABILITY FOR PENALTY.— ‘‘(g) PENALTY NOT DEDUCTIBLE.—The pay- is amended to read as follows: ‘‘(1) AMOUNT OF PENALTY.—The amount of ment of any penalty imposed under this sec- the penalty imposed by subsection (a) shall tion or the payment of any amount to settle ‘‘(a) IMPOSITION OF PENALTY.— not exceed the greater of— or avoid the imposition of such penalty shall ‘‘(1) IN GENERAL.—If any person who is re- ‘‘(A) 150 percent of the gross income de- not be considered an ordinary and necessary quired to maintain a list under section rived (or to be derived) from such activity by expense in carrying on a trade or business 6112(a) fails to make such list available upon the person or persons subject to such pen- for purposes of this title and shall not be de- written request to the Secretary in accord- alty, and ductible by the person who is subject to such ance with section 6112(b)(1)(A) within 20 busi- ‘‘(B) if readily subject to calculation, the penalty or who makes such payment.’’. ness days after the date of the Secretary’s request, such person shall pay a penalty of total amount of underpayment by the tax- (d) EFFECTIVE DATE.—The amendments payer (including penalties, interest, and made by this section shall apply to activities $10,000 for each day of such failure after such taxes) in connection with such activity. after the date of the enactment of this Act. 20th day. If such person makes available an incomplete list upon such request, such per- ‘‘(2) CALCULATION OF PENALTY.—The pen- SEC. 103. PENALTY FOR FAILURE TO REGISTER alty amount determined under paragraph (1) TAX SHELTER. son shall pay a penalty of $100 per each omit- ted name for each day of such omission after shall be calculated with respect to each in- (a) IN GENERAL.—Section 6707 (relating to stance of an activity described in subsection failure to furnish information regarding tax such 20th day. (a), each instance in which income was de- shelters) is amended to read as follows: ‘‘(2) GOOD CAUSE EXCEPTION.—No penalty shall be imposed by paragraph (1) with re- rived by the person or persons subject to ‘‘SEC. 6707. FAILURE TO FURNISH INFORMATION such penalty, and each person who partici- ON POTENTIALLY ABUSIVE TAX spect to the failure on any day if, in the pated in such an activity. SHELTER OR LISTED TRANSACTION. judgment of the Secretary, such failure is due to good cause.’’. ‘‘(3) LIABILITY FOR PENALTY.—If more than ‘‘(a) IN GENERAL.—If a person who is re- 1 person is liable under subsection (a) with quired to file a return under section 6111 (b) PENALTY NOT DEDUCTIBLE.—Section respect to such activity, all such persons with respect to any potentially abusive tax 6708 is amended by adding at the end the fol- shall be jointly and severally liable for the shelter— lowing new subsection: penalty under such subsection. ‘‘(1) fails to file such return on or before ‘‘(c) PENALTY NOT DEDUCTIBLE.—The pay- ‘‘(c) PENALTY NOT DEDUCTIBLE.—The pay- the date prescribed therefor, or ment of any penalty imposed under this sec- ment of any penalty imposed under this sec- ‘‘(2) files false or incomplete information tion or the payment of any amount to settle tion or the payment of any amount to settle with the Secretary with respect to such shel- or avoid the imposition of such penalty shall or avoid the imposition of such penalty shall ter, not be considered an ordinary and necessary not be considered an ordinary and necessary such person shall pay a penalty with respect expense in carrying on a trade or business expense in carrying on a trade or business to such return in the amount determined for purposes of this title and shall not be de- for purposes of this title and shall not be de- under subsection (b). ductible by the person who is subject to such ductible by the person who is subject to such ‘‘(b) AMOUNT OF PENALTY.— penalty or who makes such payment.’’. penalty or who makes such payment.’’. ‘‘(1) IN GENERAL.—Except as provided in (c) EFFECTIVE DATE.—The amendments (b) EFFECTIVE DATE.—The amendments paragraph (2), the penalty imposed under made by this section shall apply to requests made by this section shall apply to activities subsection (a) with respect to any failure made by the Secretary of the Treasury after after the date of the enactment of this Act. shall be not less than $50,000 and not more the date of the enactment of this Act. than $100,000. SEC. 102. PENALTY FOR AIDING AND ABETTING SEC. 105. PENALTY FOR FAILING TO DISCLOSE THE UNDERSTATEMENT OF TAX LI- ‘‘(2) LISTED TRANSACTIONS.—The penalty POTENTIALLY ABUSIVE TAX SHEL- ABILITY. imposed under subsection (a) with respect to TER. (a) IN GENERAL.—Section 6701(a) (relating any listed transaction shall be an amount (a) IN GENERAL.—Part I of subchapter B of to imposition of penalty) is amended— equal to the greater of— chapter 68 (relating to assessable penalties) (1) by inserting ‘‘the tax liability or’’ after ‘‘(A) $200,000, or is amended by inserting after section 6707 ‘‘respect to,’’ in paragraph (1), ‘‘(B) 100 percent of the gross income de- the following new section: (2) by inserting ‘‘aid, assistance, procure- rived by such person for providing aid, as- ment, or advice with respect to such’’ before sistance, procurement, advice, or other serv- ‘‘SEC. 6707A. PENALTY FOR FAILURE TO INCLUDE ‘‘portion’’ both places it appears in para- ices with respect to the listed transaction POTENTIALLY ABUSIVE TAX SHEL- graphs (2) and (3), and TER INFORMATION WITH RETURN before the date the return including the OR STATEMENT. (3) by inserting ‘‘instance of aid, assist- transaction is filed under section 6111. ‘‘(a) IMPOSITION OF PENALTY.—Any person ance, procurement, or advice or each such’’ Subparagraph (B) shall be applied by sub- who fails to include on any return or state- before ‘‘document’’ in the matter following stituting ‘150 percent’ for ‘100 percent’ in the ment any information with respect to a po- paragraph (3). case of an intentional failure or act de- tentially abusive tax shelter which is re- (b) AMOUNT OF PENALTY.—Subsection (b) of scribed in subsection (a). quired under section 6011 to be included with section 6701 (relating to penalties for aiding ‘‘(c) CERTAIN RULES TO APPLY.—The provi- such return or statement shall pay a penalty and abetting understatement of tax liability) sions of section 6707A(d) allowing the Com- in the amount determined under subsection is amended to read as follows: missioner of Internal Revenue to rescind a (b). ‘‘(b) AMOUNT OF PENALTY; CALCULATION OF penalty under certain circumstances shall PENALTY; LIABILITY FOR PENALTY.— apply to any penalty imposed under this sec- ‘‘(b) AMOUNT OF PENALTY.— ‘‘(1) AMOUNT OF PENALTY.—The amount of tion. ‘‘(1) IN GENERAL.—Except as provided in the penalty imposed by subsection (a) shall ‘‘(d) POTENTIALLY ABUSIVE TAX SHELTERS paragraphs (2) and (3), the amount of the not exceed the greater of— AND LISTED TRANSACTIONS.—The terms ‘po- penalty under subsection (a) shall be $50,000. ‘‘(i) 150 percent of the gross income derived tentially abusive tax shelter’ and ‘listed ‘‘(2) LISTED TRANSACTION.—Except as pro- (or to be derived) from such aid, assistance, transaction’ have the respective meanings vided in paragraph 3, the amount of the pen- procurement, or advice provided by the per- given to such terms by section 6707A(c). alty under subsection (a) with respect to a son or persons subject to such penalty, and ‘‘(e) PENALTY NOT DEDUCTIBLE.—The pay- listed transaction shall be $100,000. ‘‘(ii) if readily subject to calculation, the ment of any penalty imposed under this sec- ‘‘(3) INCREASE IN PENALTY FOR INTENTIONAL total amount of underpayment by the tax- tion or the payment of any amount to settle NONDISCLOSURE.—In the case of an inten- payer (including penalties, interest, and or avoid the imposition of such penalty shall tional failure by any person under subsection taxes) in connection with the understate- not be considered an ordinary and necessary (a), the penalty under paragraph (1) shall be ment of the liability for tax. expense in carrying on a trade or business $100,000 and the penalty under paragraph (2) ‘‘(2) CALCULATION OF PENALTY.—The pen- for purposes of this title and shall not be de- shall be $200,000. alty amount determined under paragraph (1) ductible by the person who is subject to such ‘‘(c) DEFINITIONS.—For purposes of this sec- shall be calculated with respect to each in- penalty or who makes such payment.’’. tion— stance of aid, assistance, procurement, or ad- (b) CLERICAL AMENDMENT.—The item relat- ‘‘(1) POTENTIALLY ABUSIVE TAX SHELTER.— vice described in subsection (a), each in- ing to section 6707 in the table of sections for The term ‘potentially abusive tax shelter’ stance in which income was derived by the part I of subchapter B of chapter 68 is means any transaction with respect to which person or persons subject to such penalty, amended by striking ‘‘regarding tax shel- information is required to be included with a and each person who made such an under- ters’’ and inserting ‘‘on potentially abusive return or statement, because the Secretary statement of the liability for tax. tax shelter or listed transaction’’. has determined by regulation or otherwise ‘‘(3) LIABILITY FOR PENALTY.—If more than (c) EFFECTIVE DATE.—The amendments that such transaction has a potential for tax 1 person is liable under subsection (a) with made by this section shall apply to returns avoidance or evasion.

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‘‘(2) LISTED TRANSACTION.—Except as pro- ance with the preceding sentence shall be (1) The item relating to section 6111 in the vided in regulations, the term ‘listed trans- treated as a failure to which the penalty table of sections for subchapter B of chapter action’ means a potentially abusive tax shel- under subsection (b)(2) applies. 61 is amended to read as follows: ter which is the same as, or substantially ‘‘(f) PENALTY IN ADDITION TO OTHER PEN- ‘‘Sec. 6111. Disclosure of potentially abusive similar to, a transaction specifically identi- ALTIES.—The penalty imposed by this section tax shelters.’’. fied by the Secretary as a tax avoidance shall be in addition to any other penalty pro- transaction for purposes of section 6011. vided by law. (2)(A) So much of section 6112 as precedes ‘‘(d) AUTHORITY TO RESCIND PENALTY.— ‘‘(g) PENALTY NOT DEDUCTIBLE.—The pay- subsection (c) thereof is amended to read as ‘‘(1) IN GENERAL.—The Commissioner of In- ment of any penalty imposed under this sec- follows: ternal Revenue may rescind all or any por- tion or the payment of any amount to settle ‘‘SEC. 6112. MATERIAL ADVISORS OF POTEN- tion of a penalty imposed by this section or avoid the imposition of such penalty shall TIALLY ABUSIVE TAX SHELTERS with respect to any violation if— not be considered an ordinary and necessary MUST KEEP CLIENT LISTS. ‘‘(A) the violation is with respect to a po- expense in carrying on a trade or business ‘‘(a) IN GENERAL.—Each material advisor tentially abusive tax shelter other than a for purposes of this title and shall not be de- (as defined in section 6111) with respect to listed transaction, ductible by the person who is subject to such any potentially abusive tax shelter (as de- ‘‘(B) the person on whom the penalty is im- penalty or who makes such payment.’’. fined in section 6707A(c)) shall maintain, in posed has a history of complying with the re- (b) CONFORMING AMENDMENT.—The table of such manner as the Secretary may by regu- quirements of this title, sections for part I of subchapter B of chapter lations prescribe, a list— ‘‘(C) it is shown that the violation is due to 68 is amended by inserting after the item re- ‘‘(1) identifying each person with respect to an unintentional mistake of fact, lating to section 6707 the following: whom such advisor acted as such a material ‘‘(D) imposing the penalty would be ‘‘Sec. 6707A. Penalty for failure to include advisor with respect to such shelter, and against equity and good conscience, and potentially abusive tax shelter ‘‘(2) containing such other information as ‘‘(E) rescinding the penalty would promote the Secretary may by regulations require. compliance with the requirements of this information with return or statement.’’. This section shall apply without regard to title and effective tax administration. whether a material advisor is required to file ‘‘(2) DISCRETION.—The exercise of authority (c) EFFECTIVE DATE.—The amendments a return under section 6111 with respect to under paragraph (1) shall be at the sole dis- made by this section shall apply to returns such transaction.’’. cretion of the Commissioner and may be del- and statements the due date for which is (B) Section 6112 is amended by redesig- egated only to the head of the Office of Tax after the date of the enactment of this Act. nating subsection (c) as subsection (b). Shelter Analysis. The Commissioner, in the SEC. 106. IMPROVED DISCLOSURE OF POTEN- (C) Section 6112(b), as redesignated by sub- Commissioner’s sole discretion, may estab- TIALLY ABUSIVE TAX SHELTERS. paragraph (B), is amended— lish a procedure to determine if a penalty (a) IN GENERAL.—Section 6111 (relating to (i) by inserting ‘‘written’’ before ‘‘request’’ should be referred to the Commissioner or registration of tax shelters) is amended to in paragraph (1)(A), and the head of such Office for a determination read as follows: (ii) by striking ‘‘shall prescribe’’ in para- under paragraph (1). ‘‘SEC. 6111. DISCLOSURE OF POTENTIALLY ABU- graph (2) and inserting ‘‘may prescribe’’. ‘‘(3) NO APPEAL.—Notwithstanding any SIVE TAX SHELTERS. (D) The item relating to section 6112 in the other provision of law, any determination ‘‘(a) IN GENERAL.—Each material advisor table of sections for subchapter B of chapter under this subsection may not be reviewed in with respect to any potentially abusive tax 61 is amended to read as follows: any administrative or judicial proceeding. shelter shall make a return (in such form as ‘‘(4) RECORDS.—If a penalty is rescinded the Secretary may prescribe) setting forth— ‘‘Sec. 6112. Material advisors of potentially under paragraph (1), the Commissioner shall ‘‘(1) information identifying and describing abusive tax shelters must keep place in the file in the Office of the Commis- such shelter, client lists.’’. sioner the opinion of the Commissioner or ‘‘(2) information describing any potential (3)(A) The heading for section 6708 is the head of the Office of Tax Shelter Anal- tax benefits expected to result from the shel- amended to read as follows: ysis with respect to the determination, in- ter, and ‘‘SEC. 6708. FAILURE TO MAINTAIN CLIENT LISTS cluding— ‘‘(3) such other information as the Sec- WITH RESPECT TO POTENTIALLY ‘‘(A) the facts and circumstances of the retary may prescribe. ABUSIVE TAX SHELTERS.’’. transaction, Such return shall be filed not later than the (B) The item relating to section 6708 in the ‘‘(B) the reasons for the rescission, and date which is 30 days before the date on table of sections for part I of subchapter B of ‘‘(C) the amount of the penalty rescinded. which the first sale of such shelter occurs or chapter 68 is amended to read as follows: A copy of such opinion shall be provided on any other date specified by the Secretary. upon written request to the Committee on ‘‘(b) DEFINITIONS.—For purposes of this sec- ‘‘Sec. 6708. Failure to maintain client lists Ways and Means of the House of Representa- tion— with respect to potentially abu- tives, the Committee on Finance of the Sen- ‘‘(1) MATERIAL ADVISOR.— sive tax shelters.’’. ate, the Joint Committee on Taxation, or ‘‘(A) IN GENERAL.—The term ‘material ad- (c) REQUIRED DISCLOSURE NOT SUBJECT TO the General Accounting Office. visor’ means any person— CLAIM OF CONFIDENTIALITY.—Section ‘‘(5) REPORT.—The Commissioner shall ‘‘(i) who provides any material aid, assist- 6112(b)(1), as redesignated by subsection each year report to the Committee on Ways ance, or advice with respect to designing, or- (b)(2)(B), is amended by adding at the end the and Means of the House of Representatives ganizing, managing, promoting, selling, im- following new flush sentence: and the Committee on Finance of the Sen- plementing, or carrying out any potentially ‘‘For purposes of this section, the identity of ate— abusive tax shelter, and any person on such list shall not be privi- ‘‘(A) a summary of the total number and ‘‘(ii) who directly or indirectly derives leged.’’. aggregate amount of penalties imposed, and gross income in excess of the threshold (d) EFFECTIVE DATE.— rescinded, under this section, and amount for such aid, assistance, or advice. (1) IN GENERAL.—Except as provided in ‘‘(B) a description of each penalty re- ‘‘(B) THRESHOLD AMOUNT.—For purposes of paragraph (2), the amendments made by this scinded under this subsection and the rea- subparagraph (A), the threshold amount is— section shall apply to transactions with re- sons therefor. ‘‘(i) $50,000 in the case of a potentially abu- spect to which material aid, assistance, or ‘‘(e) PENALTY REPORTED TO SEC.—In the sive tax shelter substantially all of the tax advice referred to in section 6111(b)(1)(A)(i) case of a person— benefits from which are provided to natural of the Internal Revenue Code of 1986 (as ‘‘(1) which is required to file periodic re- persons, and added by this section) is provided after the ports under section 13 or 15(d) of the Securi- ‘‘(ii) $100,000 in any other case. date of the enactment of this Act. ties Exchange Act of 1934 or is required to be ‘‘(2) POTENTIALLY ABUSIVE TAX SHELTER.— (2) NO CLAIM OF CONFIDENTIALITY AGAINST consolidated with another person for pur- The term ‘potentially abusive tax shelter’ DISCLOSURE.—The amendment made by sub- poses of such reports, and has the meaning given to such term by sec- section (c) shall take effect as if included in ‘‘(2) which— tion 6707A(c). the amendments made by section 142 of the ‘‘(A) is required to pay a penalty under this ‘‘(c) REGULATIONS.—The Secretary may Deficit Reduction Act of 1984. section with respect to a listed transaction, prescribe regulations which provide— SEC. 107. EXTENSION OF STATUTE OF LIMITA- ‘‘(B) is required to pay a penalty under sec- ‘‘(1) that only 1 person shall be required to TIONS FOR UNDISCLOSED TAX SHEL- tion 6662A with respect to any potentially meet the requirements of subsection (a) in TER. abusive tax shelter at a rate prescribed cases in which 2 or more persons would oth- (a) IN GENERAL.—Section 6501(c) (relating under section 6662A(c), or erwise be required to meet such require- to exceptions) is amended by adding at the ‘‘(C) is required to pay a penalty under sec- ments, end the following new paragraph: tion 6662B with respect to any noneconomic ‘‘(2) exemptions from the requirements of ‘‘(10) POTENTIALLY ABUSIVE TAX SHEL- substance transaction, this section, and TERS.—If a taxpayer fails to include on any the requirement to pay such penalty shall be ‘‘(3) such rules as may be necessary or ap- return or statement for any taxable year any disclosed in such reports filed by such person propriate to carry out the purposes of this information with respect to a potentially for such periods as the Secretary shall speci- section.’’. abusive tax shelter (as defined in section fy. Failure to make a disclosure in accord- (b) CONFORMING AMENDMENTS.— 6707A(c)) which is required under section 6011

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to be included with such return or state- ‘‘(B) AMOUNT OF PENALTY.— ‘‘(3) Avoidance of conflicts of interest ment, the time for assessment of any tax im- ‘‘(i) IN GENERAL.—Except as provided in which would impair auditor independence. posed by this title with respect to such subparagraph (C), the amount of any civil ‘‘(4) For written advice issued by a firm, transaction shall not expire before the date penalty imposed under subparagraph (A) standards for reviewing the advice and en- which is 2 years after the earlier of— shall not exceed $10,000. suring the consensus support of the firm for ‘‘(A) the date on which the Secretary is ‘‘(ii) REASONABLE CAUSE EXCEPTION.—No positions taken. furnished the information so required; or penalty shall be imposed under subparagraph ‘‘(5) Reliance on reasonable factual rep- ‘‘(B) the date that a material advisor (as (A) with respect to any violation if— resentations by the taxpayer and other par- defined in section 6111) meets the require- ‘‘(I) such violation was due to reasonable ties. ments of section 6112 with respect to a re- cause, and ‘‘(6) Appropriateness of the fees charged by quest by the Secretary under section 6112(b) ‘‘(II) the amount of the transaction or the the practitioner for the written advice.’’. relating to such transaction with respect to balance in the account at the time of the SEC. 202. EXPANSION OF TAX SHELTER EXCEP- such taxpayer.’’. transaction was properly reported. TION TO TAX PRACTITIONER PRIVI- (b) EFFECTIVE DATE.—The amendment ‘‘(C) WILLFUL VIOLATIONS.—In the case of LEGE. made by this section shall apply to taxable any person willfully violating, or willfully (a) IN GENERAL.—Subsection (b) of section years with respect to which the period for as- causing any violation of, any provision of 7525 (relating to confidentiality privileges re- sessing a deficiency did not expire before the section 5314, the amount of the civil penalty lating to taxpayer communications) is date of the enactment of this Act. imposed under subparagraph (A) shall be— amended to read as follows: SEC. 108. EXPANSION OF INJUNCTIVE RELIEF TO ‘‘(i) not less than $5,000, ‘‘(b) NO PRIVILEGE FOR COMMUNICATIONS STOP CERTAIN CONDUCT RELATED ‘‘(ii) not more than 50 percent of the REGARDING TAX SHELTERS.—The privilege TO TAX SHELTER OR UNDERSTATE- amount determined under subparagraph (D), under subsection (a) shall not apply to any MENT OF TAX LIABILITY. and communication which is— (a) IN GENERAL.—Section 7408 (relating to ‘‘(iii) subparagraph (B)(ii) shall not apply. ‘‘(1) between a federally authorized tax action to enjoin promoters of abusive tax ‘‘(D) AMOUNT.—The amount determined practitioner and— shelters, etc.) is amended by redesignating under this subparagraph is— ‘‘(A) any person, subsection (c) as subsection (d) and by strik- ‘‘(i) in the case of a violation involving a ‘‘(B) any director, officer, employee, agent, ing subsections (a) and (b) and inserting the transaction, the amount of the transaction, or representative of the person, or following new subsections: or ‘‘(C) any other person holding a capital or ‘‘(a) AUTHORITY TO SEEK INJUNCTION.—A ‘‘(ii) in the case of a violation involving a profits interest in the person, and civil action in the name of the United States failure to report the existence of an account ‘‘(2) in connection with the promotion of to enjoin any person from further engaging or any identifying information required to be the direct or indirect participation of the in specified conduct may be commenced at provided with respect to an account, the bal- person in any tax shelter (as defined in sec- the request of the Secretary. Any action ance in the account at the time of the viola- tion 1274(b)(3)(C), 6662, or 6707A).’’. under this section shall be brought in the tion.’’. (b) EFFECTIVE DATE.—The amendment district court of the United States for the (b) EFFECTIVE DATE.—The amendment made by this section shall apply to commu- district in which such person resides, has his made by this section shall apply to viola- nications made on or after the date of the principal place of business, or has engaged in tions occurring after the date of the enact- enactment of this Act. specified conduct. The court may exercise its ment of this Act. jurisdiction over such action (as provided in SEC. 203. INFORMATION SHARING FOR ENFORCE- section 7402(a)) separate and apart from any TITLE II—PREVENTING ABUSIVE TAX MENT PURPOSES. other action brought by the United States SHELTERS (a) PROMOTION OF PROHIBITED TAX SHEL- against such person. SEC. 201. CENSURE, CIVIL FINES, AND TAX OPIN- TERS OR TAX AVOIDANCE SCHEMES.—Section ‘‘(b) ADJUDICATION AND DECREE.—In any ac- ION STANDARDS FOR TAX PRACTI- 6103(h) (relating to disclosure to certain Fed- tion under subsection (a), if the court finds— TIONERS. eral officers and employees for purposes of ‘‘(1) that the person has engaged in any (a) CENSURE; IMPOSITION OF MONETARY PEN- tax administration, etc.) is amended by add- specified conduct, and ALTY.— ing at the end the following new paragraph: ‘‘(2) that injunctive relief is appropriate to (1) IN GENERAL.—Section 330(b) of title 31, ‘‘(7) DISCLOSURE OF RETURNS AND RETURN prevent recurrence of such conduct, United States Code, is amended— INFORMATION RELATED TO PROMOTION OF PRO- the court may enjoin such person from en- (A) by inserting ‘‘, or censure,’’ after ‘‘De- HIBITED TAX SHELTERS OR TAX AVOIDANCE gaging in such conduct or in any other activ- partment’’, and SCHEMES.— ity subject to penalty under this title. (B) by adding at the end the following new ‘‘(A) WRITTEN REQUEST.—Upon receipt by ‘‘(c) SPECIFIED CONDUCT.—For purposes of flush sentence: the Secretary of a written request which this section, the term ‘specified conduct’ ‘‘The Secretary may impose a monetary pen- meets the requirements of subparagraph (B) means any action, or failure to take action, alty on any representative described in the from the head of the United States Securi- subject to penalty under section 6700, 6701, preceding sentence. If the representative was ties and Exchange Commission, an appro- 6707, 6707A, 6708, or 7206.’’. acting on behalf of an employer or any firm priate Federal banking agency as defined (b) CONFORMING AMENDMENTS.— or other entity in connection with the con- under section 1813(q) of title 12, United (1) The heading for section 7408 is amended duct giving rise to such penalty, the Sec- States Code, or the Public Company Ac- to read as follows: retary may impose a monetary penalty on counting Oversight Board, a return or return ‘‘SEC. 7408. ACTIONS TO ENJOIN SPECIFIED CON- such employer, firm, or entity if it knew, or information shall be disclosed to such re- DUCT RELATED TO TAX SHELTER OR reasonably should have known, of such con- questor’s officers and employees who are per- UNDERSTATEMENT OF TAX LIABIL- duct. Such penalty may be in addition to, or sonally and directly engaged in an investiga- ITY.’’. in lieu of, any suspension, disbarment, or tion, examination, or proceeding by such re- (2) The table of sections for subchapter A censure of the representative.’’. questor to evaluate, determine, penalize, or of chapter 67 is amended by striking the item (2) EFFECTIVE DATE.—The amendments deter conduct by a financial institution, relating to section 7408 and inserting the fol- made by this subsection shall apply to ac- issuer, or public accounting firm, or associ- lowing new item: tions taken after the date of the enactment ated person, in connection with a potential ‘‘Sec. 7408. Actions to enjoin specified of this Act. or actual violation of section 6700 (promotion conduct related to tax shelter (b) TAX OPINION STANDARDS.—Section 330 of abusive tax shelters), 6701 (aiding and or understatement of liabil- of such title 31 is amended by adding at the abetting understatement of tax liability), or ity.’’. end the following new subsection: activities related to promoting or facili- (c) EFFECTIVE DATE.—The amendment ‘‘(d) The Secretary of the Treasury shall tating inappropriate tax avoidance or tax made by this section shall take effect on the impose standards applicable to the rendering evasion. Such disclosure shall be solely for day after the date of the enactment of this of written advice with respect to any poten- use by such officers and employees in such Act. tially abusive tax shelter or any entity, plan, investigation, examination, or proceeding. SEC. 109. PENALTY FOR FAILING TO REPORT IN- arrangement, or transaction which has a po- ‘‘(B) REQUIREMENTS.—A request meets the TERESTS IN FOREIGN FINANCIAL tential for tax avoidance or evasion. Such requirements of this subparagraph if it sets ACCOUNTS. standards shall address, but not be limited forth— (a) IN GENERAL.—Section 5321(a)(5) of title to, the following issues: ‘‘(i) the nature of the investigation, exam- 31, United States Code, is amended to read as ‘‘(1) Independence of the practitioner ination, or proceeding, follows: issuing such written advice from persons ‘‘(ii) the statutory authority under which ‘‘(5) FOREIGN FINANCIAL AGENCY TRANS- promoting, marketing, or recommending the such investigation, examination, or pro- ACTION VIOLATION.— subject of the advice. ceeding is being conducted, ‘‘(A) PENALTY AUTHORIZED.—The Secretary ‘‘(2) Collaboration among practitioners, or ‘‘(iii) the name or names of the financial of the Treasury may impose a civil money between a practitioner and other party, institution, issuer, or public accounting firm penalty on any person who violates, or which could result in such collaborating par- to which such return information relates, causes any violation of, any provision of sec- ties having a joint financial interest in the ‘‘(iv) the taxable period or periods to which tion 5314. subject of the advice. such return information relates, and

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‘‘(v) the specific reason or reasons why ‘‘(I) any Federal agency, including Con- (b) EFFECTIVE DATE.—The amendments such disclosure is, or may be, relevant to gress or any committee or subcommittee made by this section shall apply to fee agree- such investigation, examination or pro- thereof, or ments, charges, and collections made after ceeding. ‘‘(II) any State agency, body, or commis- the date of the enactment of this Act. ‘‘(C) FINANCIAL INSTITUTION.—For the pur- sion charged under the laws of the State or SEC. 206. SENSE OF THE SENATE ON TAX EN- poses of this paragraph, the term ‘financial a political subdivision of the State with the FORCEMENT PRIORITIES. institution’ means a depository institution, licensing, registration, or regulation of tax It is the sense of the Senate that addi- foreign bank, insured institution, industrial return preparers.’’. tional funds should be appropriated for Inter- loan company, broker, dealer, investment (2) EFFECTIVE DATE.—The amendment nal Revenue Service enforcement efforts and company, investment advisor, or other enti- made by this subsection shall apply to dis- that the Internal Revenue Service should de- ty subject to regulation or oversight by the closures made after the date of the enact- vote proportionately more of its enforce- United States Securities and Exchange Com- ment of this Act pursuant to any document ment funds— mission or an appropriate Federal banking in effect on or after such date. (1) to combat the promotion of abusive tax agency.’’. (b) DISCLOSURE BY SECRETARY.—Paragraph shelters for corporations and high net worth (2) of section 6104(a) (relating to inspection individuals and the aiding and abetting of (b) FINANCIAL AND ACCOUNTING FRAUD IN- of applications for tax exemption or notice tax evasion, VESTIGATIONS.—Section 6103(i) (relating to of status) is amended to read as follows: disclosure to Federal officers or employees (2) to stop accounting, law, and financial ‘‘(2) INSPECTION BY CONGRESS.— for administration of Federal laws not relat- firms involved in such promotion and aiding ‘‘(A) IN GENERAL.—Upon receipt of a writ- and abetting, and ing to tax administration) is amended by ten request from a committee or sub- adding at the end the following new para- (3) to combat the use of offshore financial committee of Congress, copies of documents accounts to conceal taxable income. graph: related to a determination by the Secretary TITLE III—REQUIRING ECONOMIC ‘‘(9) DISCLOSURE OF RETURNS AND RETURN to grant, deny, revoke, or restore an organi- SUBSTANCE INFORMATION FOR USE IN FINANCIAL AND AC- zation’s exemption from taxation under sec- COUNTING FRAUD INVESTIGATIONS.— tion 501 or 527 shall be provided to such com- SEC. 301. CLARIFICATION OF ECONOMIC SUB- ‘‘(A) WRITTEN REQUEST.—Upon receipt by mittee or subcommittee, including any ap- STANCE DOCTRINE. (a) IN GENERAL.—Section 7701 (relating to the Secretary of a written request which plication, notice of status, or supporting in- definitions) is amended by redesignating sub- meets the requirements of subparagraph (B) formation provided by such organization to from the head of the United States Securi- the Internal Revenue Service; any letter, section (n) as subsection (o) and by inserting ties and Exchange Commission or the Public analysis or other document produced by or after subsection (m) the following new sub- Company Accounting Oversight Board, a re- for the Internal Revenue Service evaluating, section: ‘‘(n) CLARIFICATION OF ECONOMIC SUB- turn or return information shall be disclosed determining, explaining, or relating to the STANCE DOCTRINE; ETC.— to such requestor’s officers and employees tax exempt status of such organization ‘‘(1) GENERAL RULES.— who are personally and directly engaged in (other than returns, unless such returns are ‘‘(A) IN GENERAL.—In applying the eco- an investigation, examination, or proceeding available to the public under this section or nomic substance doctrine, the determination by such requester to evaluate the accuracy section 6103 or 6110); and any communication of a financial statement or report or to de- between the Internal Revenue Service and of whether a transaction satisfies such doc- termine, require a restatement, penalize, or any other party relating to the tax exempt trine shall be made as provided in this sub- deter conduct by an issuer, investment com- status of such organization. section. ‘‘(B) APPLICATION OF ECONOMIC SUBSTANCE pany, or public accounting firm, or associ- ‘‘(B) ADDITIONAL INFORMATION.—Section ated person, in connection with a potential 6103(f) shall apply with respect to— DOCTRINE.—For purposes of subparagraph or actual violation of auditing standards or ‘‘(i) the application for exemption of any (A)— prohibitions against false or misleading organization described in subsection (c) or ‘‘(i) IN GENERAL.—A transaction satisfies statements or omissions in financial state- (d) of section 501 which is exempt from tax- the economic substance doctrine only if— ments or reports. Such disclosure shall be ation under section 501(a) for any taxable ‘‘(I) the transaction changes in a meaning- solely for use by such officers and employees year or notice of status of any political orga- ful way, apart from Federal tax effects (and, in such investigation, examination or pro- nization which is exempt from taxation if there are any Federal tax effects, also ceeding. under section 527 for any taxable year, and apart from any foreign, State, or local tax ‘‘(B) REQUIREMENTS.—A request meets the any application referred to in subparagraph effects), the taxpayer’s economic position, requirements of this subparagraph if it sets (B) of subsection (a)(1) of this section, and and forth— ‘‘(ii) any other papers which are in the pos- ‘‘(II) the taxpayer has a substantial nontax ‘‘(i) the nature of the investigation, exam- session of the Secretary and which relate to purpose for entering into such transaction ination, or proceeding, such application, and the transaction is a reasonable means of ‘‘(ii) the statutory authority under which as if such papers constituted returns.’’. accomplishing such purpose. such investigation, examination, or pro- (c) EFFECTIVE DATE.—The amendments In applying subclause (II), a purpose of ceeding is being conducted, made by this section shall apply to disclo- achieving a financial accounting benefit ‘‘(iii) the name or names of the issuer, in- sures and to information and document re- shall not be taken into account in deter- vestment company, or public accounting quests made after the date of the enactment mining whether a transaction has a substan- firm to which such return information re- of this Act. tial nontax purpose if the origin of such fi- lates, SEC. 205. CONTINGENT FEE PROHIBITION. nancial accounting benefit is a reduction of ‘‘(iv) the taxable period or periods to which (a) IN GENERAL.—Section 6701, as amended income tax or achievement of a tax benefit. such return information relates, and by this Act, is amended— ‘‘(ii) SPECIAL RULE WHERE TAXPAYER RELIES ‘‘(v) the specific reason or reasons why (1) by redesignating subsections (f) and (g) ON PROFIT POTENTIAL.—A transaction shall such disclosure is, or may be, relevant to as subsections (g) and (h), respectively, not be treated as satisfying the economic such investigation, examination or pro- (2) by striking ‘‘subsection (a).’’ in para- substance doctrine by reason of having a po- ceeding.’’. graphs (2) and (3) of subsection (g) (as redes- tential for profit unless— ignated by paragraph (1)) and inserting ‘‘sub- (c) EFFECTIVE DATE.—The amendments ‘‘(I) the present value of the reasonably ex- section (a) or (f).’’, and made by this section shall apply to disclo- pected pre-tax profit from the transaction is (3) by inserting after subsection (e) the fol- sures and to information and document re- substantial in relation to the present value lowing new subsection: quests made after the date of the enactment of the expected net tax benefits that would ‘‘(f) CONTINGENT FEE PROHIBITION.— of this Act. be allowed if the transaction were respected, ‘‘(1) IN GENERAL.—Any person who makes and SEC. 204. DISCLOSURE OF INFORMATION TO CON- an agreement for, charges, or collects a fee ‘‘(II) the reasonably expected pre-tax profit GRESS. which is for services provided in connection from the transaction exceeds a risk-free rate (a) DISCLOSURE BY TAX RETURN PRE- with the internal revenue laws, and which is of return. PARER.— contingent upon the actual or projected ‘‘(C) TREATMENT OF FEES AND FOREIGN (1) IN GENERAL.—Subparagraph (B) of sec- achievement of— TAXES.—Fees and other transaction expenses tion 7216(b)(1) (relating to disclosures) is ‘‘(A) Federal tax savings or benefits, or and foreign taxes shall be taken into account amended to read as follows: ‘‘(B) losses which can be used to offset as expenses in determining pre-tax profit ‘‘(B) pursuant to any 1 of the following other taxable income, under subparagraph (B)(ii). documents, if clearly identified: shall pay a penalty with respect to each such ‘‘(2) SPECIAL RULES FOR TRANSACTIONS WITH ‘‘(i) The order of any Federal, State, or fee activity in the amount determined under TAX-INDIFFERENT PARTIES.— local court of record. subsection (b). ‘‘(A) SPECIAL RULES FOR FINANCING TRANS- ‘‘(ii) A subpoena issued by a Federal or ‘‘(2) REGULATIONS.—The Secretary may ACTIONS.—The form of a transaction which is State grand jury. issue rules to carry out the purposes of this in substance the borrowing of money or the ‘‘(iii) An administrative order, summons, subsection and may provide for exceptions acquisition of financial capital directly or or subpoena which is issued in the perform- for fee arrangements that are in the public indirectly from a tax-indifferent party shall ance of its duties by— interest.’’. not be respected if the present value of the

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00033 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2788 CONGRESSIONAL RECORD — SENATE March 12, 2004 deductions to be claimed with respect to the ‘‘SEC. 6662A. IMPOSITION OF ACCURACY-RE- graph) shall be increased by the aggregate transaction is substantially in excess of the LATED PENALTY ON UNDERSTATE- amount of potentially abusive tax shelter present value of the anticipated economic re- MENTS WITH RESPECT TO POTEN- understatements and noneconomic substance TIALLY ABUSIVE TAX SHELTER. turns of the person lending the money or transaction understatements for purposes of ‘‘(a) IMPOSITION OF PENALTY.—If a taxpayer determining whether such understatement is providing the financial capital. A public of- has a potentially abusive tax shelter under- fering shall be treated as a borrowing, or an statement for any taxable year, there shall a substantial understatement under section acquisition of financial capital, from a tax- be added to the tax an amount equal to 20 6662(d)(1), and indifferent party if it is reasonably expected percent of the amount of such understate- ‘‘(B) the addition to tax under section that at least 50 percent of the offering will be ment. 6662(a) shall apply only to the excess of the placed with tax-indifferent parties. ‘‘(b) POTENTIALLY ABUSIVE TAX SHELTER amount of the substantial understatement ‘‘(B) ARTIFICIAL INCOME SHIFTING AND BASIS UNDERSTATEMENT.—For purposes of this sec- (if any) after the application of subparagraph ADJUSTMENTS.—The form of a transaction tion— (A) over the aggregate amount of potentially with a tax-indifferent party shall not be re- ‘‘(1) IN GENERAL.—The term ‘potentially abusive tax shelter understatements and spected if— abusive tax shelter understatement’ means noneconomic substance transaction under- ‘‘(i) it results in an allocation of income or the sum of— statements. gain to the tax-indifferent party in excess of ‘‘(A) the product of— ‘‘(2) COORDINATION WITH OTHER PENALTIES.— such party’s economic income or gain, or ‘‘(i) the amount of the increase (if any) in ‘‘(A) APPLICATION OF FRAUD PENALTY.—Ref- ‘‘(ii) it results in a basis adjustment or taxable income which results from a dif- erences to an underpayment in section 6663 shall be treated as including references to a shifting of basis on account of overstating ference between the proper tax treatment of potentially abusive tax shelter understate- the income or gain of the tax-indifferent an item to which this section applies and the ment and a noneconomic substance trans- party. taxpayer’s treatment of such item (as shown on the taxpayer’s return of tax), and action understatement. ‘‘(3) DEFINITIONS AND SPECIAL RULES.—For ‘‘(ii) the highest rate of tax imposed by ‘‘(B) NO DOUBLE PENALTY.—This section purposes of this subsection— section 1 (section 11 in the case of a taxpayer shall not apply to any portion of an under- ‘‘(A) ECONOMIC SUBSTANCE DOCTRINE.—The which is a corporation), and statement on which a penalty is imposed term ‘economic substance doctrine’ means ‘‘(B) the amount of the decrease (if any) in under section 6662B or 6663. the common law doctrine under which tax the aggregate amount of credits determined ‘‘(3) SPECIAL RULE FOR AMENDED RETURNS.— benefits under subtitle A with respect to a under subtitle A which results from a dif- Except as provided in regulations, in no transaction are not allowable if the trans- ference between the taxpayer’s treatment of event shall any tax treatment included with action does not have economic substance or an item to which this section applies (as an amendment or supplement to a return of lacks a business purpose. shown on the taxpayer’s return of tax) and tax be taken into account in determining the ‘‘(B) TAX-INDIFFERENT PARTY.—The term the proper tax treatment of such item. amount of any potentially abusive tax shel- ‘tax-indifferent party’ means any person or For purposes of subparagraph (A), any reduc- ter understatement or noneconomic sub- entity not subject to tax imposed by subtitle tion of the excess of deductions allowed for stance transaction understatement if the A. A person shall be treated as a tax-indif- the taxable year over gross income for such amendment or supplement is filed after the ferent party with respect to a transaction if year, and any reduction in the amount of earlier of the date the taxpayer is first con- the items taken into account with respect to capital losses which would (without regard tacted by the Secretary regarding the exam- the transaction have no substantial impact to section 1211) be allowed for such year, ination of the return or such other date as is on such person’s liability under subtitle A. shall be treated as an increase in taxable in- specified by the Secretary. ‘‘(C) EXCEPTION FOR PERSONAL TRANS- come. ‘‘(4) NONECONOMIC SUBSTANCE TRANSACTION ACTIONS OF INDIVIDUALS.—In the case of an ‘‘(2) ITEMS TO WHICH SECTION APPLIES.—This UNDERSTATEMENT.—For purposes of this sub- individual, this subsection shall apply only section shall apply to any item which is at- section, the term ‘noneconomic substance to transactions entered into in connection tributable to— transaction understatement’ has the mean- with a trade or business or an activity en- ‘‘(A) any listed transaction, and ing given such term by section 6662B(c). gaged in for the production of income. ‘‘(B) any potentially abusive tax shelter ‘‘(5) CROSS REFERENCE.— ‘‘(D) TREATMENT OF LESSORS.—In applying (other than a listed transaction) if a signifi- ‘‘For reporting of section 6662A(c) penalty subclause (I) of paragraph (1)(B)(ii) to the cant purpose of such transaction is the to the Securities and Exchange Commission, lessor of tangible property subject to a avoidance or evasion of Federal income tax. see section 6707A(e).’’. ‘‘(c) HIGHER PENALTY FOR NONDISCLOSED lease— (b) DETERMINATION OF OTHER UNDERSTATE- LISTED AND OTHER AVOIDANCE TRANS- ‘‘(i) the expected net tax benefits with re- MENTS.—Subparagraph (A) of section spect to the leased property shall not include ACTIONS.— ‘‘(1) IN GENERAL.—Subsection (a) shall be 6662(d)(2) is amended by adding at the end the benefits of— the following flush sentence: ‘‘(I) depreciation, applied by substituting ‘30 percent’ for ‘20 percent’ with respect to the portion of any ‘‘The excess under the preceding sentence ‘‘(II) any tax credit, or potentially abusive tax shelter understate- shall be determined without regard to items ‘‘(III) any other deduction as provided in ment with respect to which the requirement to which section 6662A applies and without guidance by the Secretary, and of section 6664(d)(2)(A) is not met. regard to items with respect to which a pen- ‘‘(ii) subclause (II) of paragraph (1)(B)(ii) ‘‘(2) RULES APPLICABLE TO ASSERTION AND alty is imposed by section 6662B.’’. shall be disregarded in determining whether COMPROMISE OF PENALTY.— (c) REASONABLE CAUSE EXCEPTION.— any of such benefits are allowable. ‘‘(A) IN GENERAL.—Only upon the approval (1) IN GENERAL.—Section 6664 is amended ‘‘(4) OTHER COMMON LAW DOCTRINES NOT AF- by the Chief Counsel for the Internal Rev- by adding at the end the following new sub- FECTED.—Except as specifically provided in enue Service or the Chief Counsel’s delegate section: this subsection, the provisions of this sub- at the national office of the Internal Rev- ‘‘(d) REASONABLE CAUSE EXCEPTION FOR PO- section shall not be construed as altering or enue Service may a penalty to which para- TENTIALLY ABUSIVE TAX SHELTER UNDER- supplanting any other rule of law, and the graph (1) applies be included in a 1st letter of STATEMENTS.— requirements of this subsection shall be con- proposed deficiency which allows the tax- ‘‘(1) IN GENERAL.—No penalty shall be im- strued as being in addition to any such other payer an opportunity for administrative re- posed under section 6662A with respect to rule of law. view in the Internal Revenue Service Office any portion of a potentially abusive tax shel- ‘‘(5) REGULATIONS.—The Secretary shall of Appeals. If such a letter is provided to the ter understatement if it is shown that there prescribe such regulations as may be nec- taxpayer, only the Commissioner of Internal was a reasonable cause for such portion and essary or appropriate to carry out the pur- Revenue may compromise all or any portion that the taxpayer acted in good faith with poses of this subsection. Such regulations of such penalty. respect to such portion. ‘‘(B) APPLICABLE RULES.—The rules of para- may include exemptions from the applica- ‘‘(2) SPECIAL RULES.—Paragraph (1) shall tion of this subsection.’’. graphs (2), (3), (4), and (5) of section 6707A(d) not apply to any potentially abusive tax shall apply for purposes of subparagraph (A). shelter understatement unless— (b) EFFECTIVE DATE.—The amendments ‘‘(d) DEFINITIONS OF POTENTIALLY ABUSIVE ‘‘(A) the relevant facts affecting the tax made by this section shall apply to trans- TAX SHELTER AND LISTED TRANSACTION.—For actions entered into after the date of the en- purposes of this section, the terms ‘poten- treatment of the item are adequately dis- closed in accordance with the regulations actment of this Act. tially abusive tax shelter’ and ‘listed trans- action’ have the respective meanings given prescribed under section 6011, SEC. 302. ACCURACY-RELATED PENALTY FOR to such terms by section 6707A(c). ‘‘(B) there is or was substantial authority LISTED TRANSACTIONS AND OTHER ‘‘(e) SPECIAL RULES.— for such treatment, and POTENTIALLY ABUSIVE TAX SHEL- ‘‘(1) COORDINATION WITH PENALTIES, ETC., ON ‘‘(C) the taxpayer reasonably believed that TERS HAVING A SIGNIFICANT TAX such treatment was more likely than not the AVOIDANCE PURPOSE. OTHER UNDERSTATEMENTS.—In the case of an understatement (as defined in section proper treatment. (a) IN GENERAL.—Subchapter A of chapter 6662(d)(2))— A taxpayer failing to adequately disclose in 68 is amended by inserting after section 6662 ‘‘(A) the amount of such understatement accordance with section 6011 shall be treated the following new section: (determined without regard to this para- as meeting the requirements of subparagraph

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00034 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2789 (A) if the penalty for such failure was re- (5) Subsection (b) of section 7525 is amend- the transaction giving rise to the claimed scinded under section 6707A(d). ed by striking ‘‘section 6662(d)(2)(C)(iii)’’ and benefit or the transaction was not respected ‘‘(3) RULES RELATING TO REASONABLE BE- inserting ‘‘section 1274(b)(3)(C)’’. under section 7701(n)(2), or LIEF.—For purposes of paragraph (2)(C)— (6)(A) The heading for section 6662 is ‘‘(B) the transaction fails to meet the re- ‘‘(A) IN GENERAL.—A taxpayer shall be amended to read as follows: quirements of any similar rule of law. treated as having a reasonable belief with re- ‘‘SEC. 6662. IMPOSITION OF ACCURACY-RELATED ‘‘(d) RULES APPLICABLE TO COMPROMISE OF spect to the tax treatment of an item only if PENALTY ON UNDERPAYMENTS.’’. PENALTY.— such belief— (B) The table of sections for part II of sub- ‘‘(1) IN GENERAL.—If the 1st letter of pro- ‘‘(i) is based on the facts and law that exist chapter A of chapter 68 is amended by strik- posed deficiency which allows the taxpayer at the time the return of tax which includes ing the item relating to section 6662 and in- an opportunity for administrative review in such tax treatment is filed, and serting the following new items: the Internal Revenue Service Office of Ap- ‘‘(ii) relates solely to the taxpayer’s peals has been sent with respect to a penalty chances of success on the merits of such ‘‘Sec. 6662. Imposition of accuracy-related to which this section applies, only the Com- treatment and does not take into account penalty on underpayments. missioner of Internal Revenue may com- the possibility that a return will not be au- ‘‘Sec. 6662A. Imposition of accuracy-related promise all or any portion of such penalty. dited, such treatment will not be raised on penalty on understatements ‘‘(2) DISCRETION.—The exercise of authority audit, or such treatment will be resolved with respect to potentially abu- under paragraph (1) shall be at the sole dis- through settlement if it is raised. sive tax shelter.’’. cretion of the Commissioner and may be del- ‘‘(B) CERTAIN OPINIONS MAY NOT BE RELIED egated only to the head of the Office of Tax (e) EFFECTIVE DATE.—The amendments UPON.— Shelter Analysis. The Commissioner, in the made by this section shall apply to taxable ‘‘(i) IN GENERAL.—An opinion of a tax advi- Commissioner’s sole discretion, may estab- years ending after the date of the enactment sor may not be relied upon to establish the lish a procedure to determine if a penalty of this Act. reasonable belief of a taxpayer if— should be referred to the Commissioner or ‘‘(I) the tax advisor is described in clause SEC. 303. PENALTY FOR UNDERSTATEMENTS AT- the head of such Office for a determination (ii), or TRIBUTABLE TO TRANSACTIONS under paragraph (1). LACKING ECONOMIC SUBSTANCE, ‘‘(3) NO APPEAL.—Notwithstanding any ‘‘(II) the opinion is described in clause (iii). ETC. ‘‘(ii) DISQUALIFIED TAX ADVISORS.—A tax other provision of law, any determination (a) IN GENERAL.—Subchapter A of chapter advisor is described in this clause if the tax under this subsection may not be reviewed in 68, as amended by section 302, is amended by advisor— any administrative or judicial proceeding. inserting after section 6662A the following ‘‘(I) is a material advisor (within the mean- ‘‘(4) RECORDS.—If a penalty is rescinded new section: ing of section 6111(b)(1)) who participates in under paragraph (1), the Commissioner shall the organization, management, promotion, ‘‘SEC. 6662B. PENALTY FOR UNDERSTATEMENTS place in the file in the Office of the Commis- or sale of the transaction or who is related ATTRIBUTABLE TO TRANSACTIONS sioner the opinion of the Commissioner or LACKING ECONOMIC SUBSTANCE, the head of the Office of Tax Shelter Anal- (within the meaning of section 267(b) or ETC. 707(b)(1)) to any person who so participates, ysis with respect to the determination, in- ‘‘(a) IMPOSITION OF PENALTY.—If a taxpayer cluding— ‘‘(II) is compensated directly or indirectly has a noneconomic substance transaction by a material advisor with respect to the ‘‘(A) the facts and circumstances of the understatement for any taxable year, there transaction, transaction, shall be added to the tax an amount equal to ‘‘(III) has a fee arrangement with respect ‘‘(B) the reasons for the rescission, and 40 percent of the amount of such understate- to the transaction which is contingent on all ‘‘(C) the amount of the penalty rescinded. ment. or part of the intended tax benefits from the ‘‘(5) REPORT.—The Commissioner shall ‘‘(b) REDUCTION OF PENALTY FOR DISCLOSED transaction being sustained, or each year report to the Committee on Ways TRANSACTIONS.—Subsection (a) shall be ap- ‘‘(IV) as determined under regulations pre- and Means of the House of Representatives plied by substituting ‘20 percent’ for ‘40 per- scribed by the Secretary, has a disqualifying and the Committee on Finance of the Sen- cent’ with respect to the portion of any non- financial interest with respect to the trans- ate— economic substance transaction understate- action. ‘‘(A) a summary of the total number and ment with respect to which the relevant in- ‘‘(iii) DISQUALIFIED OPINIONS.—For purposes aggregate amount of penalties imposed, and formation affecting the tax treatment of the of clause (i), an opinion is disqualified if the rescinded, under this section, and item is adequately disclosed in the return or opinion— ‘‘(B) a description of each penalty re- a statement attached to the return. ‘‘(I) is based on unreasonable factual or scinded under this subsection and the rea- ‘‘(c) NONECONOMIC SUBSTANCE TRANSACTION legal assumptions (including assumptions as sons therefor. UNDERSTATEMENT.—For purposes of this sec- to future events), ‘‘(e) PENALTY REPORTED TO SEC.—In the ‘‘(II) unreasonably relies on representa- tion— case of a person— tions, statements, findings, or agreements of ‘‘(1) IN GENERAL.—The term ‘noneconomic ‘‘(1) which is required to file periodic re- the taxpayer or any other person, substance transaction understatement’ ports under section 13 or 15(d) of the Securi- ‘‘(III) does not identify and consider all rel- means the sum of— ties Exchange Act of 1934 or is required to be evant facts, or ‘‘(A) the product of— consolidated with another person for pur- ‘‘(IV) fails to meet any other requirement ‘‘(i) the amount of the increase (if any) in poses of such reports, and as the Secretary may prescribe.’’. taxable income which results from a dif- ‘‘(2) which is required to pay a penalty (2) CONFORMING AMENDMENT.—The heading ference between the proper tax treatment of under this section with respect to any non- for subsection (c) of section 6664 is amended an item attributable to a noneconomic sub- economic substance transaction, stance transaction and the taxpayer’s treat- by inserting ‘‘FOR UNDERPAYMENTS’’ after the requirement to pay such penalty shall be ment of such item (as shown on the tax- ‘‘EXCEPTION’’. disclosed in such reports filed by such person payer’s return of tax), and (d) CONFORMING AMENDMENTS.— for such periods as the Secretary shall speci- (1) Subparagraph (C) of section 461(i)(3) is ‘‘(ii) the highest rate of tax imposed by fy. Failure to make a disclosure in accord- amended by striking ‘‘section section 1 (section 11 in the case of a taxpayer ance with the preceding sentence shall be 6662(d)(2)(C)(iii)’’ and inserting ‘‘section which is a corporation), and treated as a failure to which the penalty 1274(b)(3)(C)’’. ‘‘(B) the amount of the decrease (if any) in under subsection (b) applies. (2) Paragraph (3) of section 1274(b) is the aggregate amount of credits determined ‘‘(f) SPECIAL RULES.— amended— under subtitle A which results from a dif- ‘‘(1) COORDINATION WITH PENALTIES, ETC., ON (A) by striking ‘‘(as defined in section ference between the taxpayer’s treatment of OTHER UNDERSTATEMENTS.—In the case of an 6662(d)(2)(C)(iii))’’ in subparagraph (B)(i), and an item attributable to a noneconomic sub- understatement (as defined in section (B) by adding at the end the following new stance transaction (as shown on the tax- 6662(d)(2))— subparagraph: payer’s return of tax) and the proper tax ‘‘(A) the amount of such understatement ‘‘(C) TAX SHELTER.—For purposes of sub- treatment of such item. (determined without regard to this para- paragraph (B), the term ‘tax shelter’ means— For purposes of subparagraph (A), any reduc- graph) shall be increased by the aggregate ‘‘(i) a partnership or other entity, tion of the excess of deductions allowed for amount of noneconomic substance trans- ‘‘(ii) any investment plan or arrangement, the taxable year over gross income for such action understatements for purposes of de- or year, and any reduction in the amount of termining whether such understatement is a ‘‘(iii) any other plan or arrangement, capital losses which would (without regard substantial understatement under section if a significant purpose of such partnership, to section 1211) be allowed for such year, 6662(d)(1), and entity, plan, or arrangement is the avoid- shall be treated as an increase in taxable in- ‘‘(B) the addition to tax under section ance or evasion of Federal income tax.’’. come. 6662(a) shall apply only to the excess of the (3) Section 6662(d)(2) is amended by strik- ‘‘(2) NONECONOMIC SUBSTANCE TRANS- amount of the substantial understatement ing subparagraphs (C) and (D). ACTION.—The term ‘noneconomic substance (if any) after the application of subparagraph (4) Section 6664(c)(1) is amended by strik- transaction’ means any transaction if— (A) over the aggregate amount of non- ing ‘‘this part’’ and inserting ‘‘section 6662 or ‘‘(A) there is a lack of economic substance economic substance transaction understate- 6663’’. (within the meaning of section 7701(n)(1)) for ments.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00035 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2790 CONGRESSIONAL RECORD — SENATE March 12, 2004

‘‘(2) COORDINATION WITH OTHER PENALTIES.— $10,000. Related transfers shall be treated as ‘‘(6) an amount equal to the applicable ‘‘(A) IN GENERAL.—Except as otherwise pro- 1 transfer for purposes of this subsection. fraction (as defined in subsection (e)) of the vided in subparagraph (C), the penalty im- ‘‘(c) UNCOOPERATIVE TAX HAVEN.—For pur- income of such corporation other than in- posed by this section shall be in addition to poses of this section— come which— any other penalty imposed by this title. ‘‘(1) IN GENERAL.—The term ‘uncooperative ‘‘(A) is attributable to earnings and profits ‘‘(B) APPLICATION OF FRAUD PENALTY.—Ref- tax haven’ means any foreign jurisdiction of the foreign corporation included in the erences to an underpayment in section 6663 which is identified on a list maintained by gross income of a United States person under shall be treated as including references to a the Secretary under paragraph (2) as being a section 951 (other than by reason of this noneconomic substance transaction under- jurisdiction— paragraph or paragraph (3)(A)(i)), or statement. ‘‘(A) which imposes no or nominal taxation ‘‘(B) is described in subsection (b).’’. ‘‘(C) NO DOUBLE PENALTY.—This section either generally or on specified classes of in- (2) APPLICABLE FRACTION.—Section 952 is shall not apply to any portion of an under- come, and amended by adding at the end the following statement on which a penalty is imposed ‘‘(B) has corporate, business, bank, or tax new subsection: under section 6663. secrecy or confidentiality rules and prac- ‘‘(e) IDENTIFIED TAX HAVEN INCOME WHICH ‘‘(3) SPECIAL RULE FOR AMENDED RETURNS.— tices, or has ineffective information ex- IS SUBPART F INCOME.— Except as provided in regulations, in no change practices which, in the judgment of ‘‘(1) IN GENERAL.—For purposes of sub- event shall any tax treatment included with the Secretary, effectively limit or restrict section (a)(6), the term ‘applicable fraction’ an amendment or supplement to a return of the ability of the United States to obtain in- means the fraction— tax be taken into account in determining the formation relevant to the enforcement of ‘‘(A) the numerator of which is the aggre- amount of any noneconomic substance trans- this title. gate identified tax haven income for the tax- action understatement if the amendment or ‘‘(2) MAINTENANCE OF LIST.—Not later than able year, and supplement is filed after the earlier of the November 1 of each calendar year, the Sec- ‘‘(B) the denominator of which is the ag- date the taxpayer is first contacted by the retary shall issue a list of foreign jurisdic- gregate income for the taxable year which is Secretary regarding the examination of the tions which the Secretary determines qualify from sources outside the United States. return or such other date as is specified by as uncooperative tax havens under paragraph ‘‘(2) IDENTIFIED TAX HAVEN INCOME.—For the Secretary.’’. (1). purposes of paragraph (1), the term ‘identi- fied tax haven income’ means income for the (b) CLERICAL AMENDMENT.—The table of ‘‘(3) INEFFECTIVE INFORMATION EXCHANGE taxable year which is attributable to a for- sections for part II of subchapter A of chap- PRACTICES.—For purposes of paragraph (1), a eign jurisdiction for any period during which ter 68, as amended by section 302, is amended jurisdiction shall be deemed to have ineffec- such jurisdiction has been identified as an by inserting after the item relating to sec- tive information exchange practices if the uncooperative tax haven under section tion 6662 the following new item: Secretary determines that during any tax- 6038D(c). able year ending in the 12-month period pre- ‘‘Sec. 6662B. Penalty for understatements at- ‘‘(3) REGULATIONS.—The Secretary shall ceding the issuance of the list under para- tributable to transactions lack- prescribe regulations similar to the regula- graph (2)— ing economic substance, etc.’’. tions issued under section 999(c) to carry out ‘‘(A) the exchange of information between the purposes of this subsection.’’. (c) EFFECTIVE DATE.—The amendments the United States and such jurisdiction was (b) DENIAL OF FOREIGN TAX CREDIT.—Sec- made by this section shall apply to trans- inadequate to prevent evasion or avoidance tion 901 (relating to taxes of foreign coun- actions entered after the date of the enact- of United States income tax by United tries and of possessions of United States) is ment of this Act. States persons or to enable the United amended by redesignating subsection (l) as SEC. 304. DENIAL OF DEDUCTION FOR INTEREST States effectively to enforce this title, or subsection (m) and by inserting after sub- ON UNDERPAYMENTS ATTRIB- ‘‘(B) such jurisdiction was identified by an section (k) the following new subsection: UTABLE TO NONECONOMIC SUB- intergovernmental group or organization of ‘‘(l) REDUCTION OF FOREIGN TAX CREDIT, STANCE TRANSACTIONS. which the United States is a member as un- ETC., FOR IDENTIFIED TAX HAVEN INCOME.— (a) IN GENERAL.—Section 163 (relating to cooperative with international tax enforce- ‘‘(1) IN GENERAL.—Notwithstanding any deduction for interest) is amended by redes- ment or information exchange and the other provision of this part— ignating subsection (m) as subsection (n) and United States concurs in the determination. ‘‘(A) no credit shall be allowed under sub- by inserting after subsection (l) the fol- ‘‘(d) PENALTY FOR FAILURE TO FILE INFOR- section (a) for any income, war profits, or ex- lowing new subsection: MATION.—If a United States person fails to cess profits taxes paid or accrued (or deemed ‘‘(m) INTEREST ON UNPAID TAXES ATTRIB- furnish the information required by sub- paid under section 902 or 960) to any foreign UTABLE TO NONECONOMIC SUBSTANCE TRANS- section (a) with respect to any transfer with- jurisdiction if such taxes are with respect to ACTIONS.—No deduction shall be allowed in the time prescribed therefor (including ex- income attributable to a period during which under this chapter for any interest paid or tensions), such United States person shall such jurisdiction has been identified as an accrued under section 6601 on any under- pay (upon notice and demand by the Sec- uncooperative tax haven under section payment of tax which is attributable to any retary and in the same manner as tax) an 6038D(c), and noneconomic substance transaction under- amount equal to 20 percent of the amount of ‘‘(B) subsections (a), (b), (c), and (d) of sec- statement (as defined in section such transfer. tion 904 and sections 902 and 960 shall be ap- 6662A(c)(1)).’’. ‘‘(e) SIMPLIFIED REPORTING.—The Sec- plied separately with respect to all income of (b) EFFECTIVE DATE.—The amendments retary may by regulations provide for sim- a taxpayer attributable to periods described made by this section shall apply to trans- plified reporting under this section for in subparagraph (A) with respect to all such actions in taxable years beginning after the United States persons making large volumes jurisdictions. date of the enactment of this Act. of similar payments. ‘‘(2) TAXES ALLOWED AS A DEDUCTION, ETC.— TITLE IV—DETERRING UNCOOPERATIVE ‘‘(f) REGULATIONS.—The Secretary shall Sections 275 and 78 shall not apply to any tax TAX HAVENS prescribe such regulations as may be nec- which is not allowable as a credit under sub- essary or appropriate to carry out the pur- section (a) by reason of this subsection. SEC. 401. DISCLOSING PAYMENTS TO PERSONS IN UNCOOPERATIVE TAX HAVENS. poses of this section.’’. ‘‘(3) REGULATIONS.—The Secretary shall (b) CLERICAL AMENDMENT.—The table of prescribe such regulations as may be nec- (a) IN GENERAL.—Subpart A of part III of subchapter A of chapter 61 is amended by in- sections for such subpart A is amended by in- essary or appropriate to carry out the pur- poses of this subsection, including regula- serting after section 6038C the following new serting after the item relating to section tions which treat income paid through 1 or section: 6038C the following new item: more entities as derived from a foreign juris- ‘‘SEC. 6038D. DETERRING UNCOOPERATIVE TAX ‘‘Sec. 6038D. Deterring uncooperative tax havens through listing and re- diction to which this subsection applies if HAVENS THROUGH LISTING AND RE- such income was, without regard to such en- PORTING REQUIREMENTS. porting requirements.’’. tities, derived from such jurisdiction.’’. ‘‘(a) IN GENERAL.—Each United States per- (c) EFFECTIVE DATE.—The amendments (c) EFFECTIVE DATE.—The amendments son who transfers money or other property made by this section shall apply to transfers made by this section shall apply to taxable directly or indirectly to any uncooperative after the date which is 180 days after the years beginning after the date of the enact- tax haven, to any financial institution li- date of the enactment of this Act. ment of this Act. censed by or operating in any uncooperative SEC. 402. DETERRING UNCOOPERATIVE TAX HA- tax haven, or to any person who is a resident VENS BY RESTRICTING ALLOWABLE By Ms. COLLINS (for herself, Mr. of any uncooperative tax haven shall furnish TAX BENEFITS. BAYH, Mrs. DOLE, and Mr. GRA- to the Secretary, at such time and in such (a) LIMITATION ON DEFERRAL.— HAM of South Carolina): manner as the Secretary shall by regulation (1) IN GENERAL.—Subsection (a) of section S. 2212. A bill to amend title VII of prescribe, such information with respect to 952 (defining subpart F income) is amended such transfer as the Secretary may require. by striking ‘‘and’’ at the end of paragraph the Tariff Act of 1930 to provide that ‘‘(b) EXCEPTIONS.—Subsection (a) shall not (4), by striking the period at the end of para- the provisions relating to counter- apply to a transfer by a United States person graph (5) and inserting ‘‘, and’’, and by in- vailing duties apply to nonmarket if the amount of money (and the fair market serting after paragraph (5) the following new economy countries; to the Committee value of property) transferred is less than paragraph: on Finance.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00036 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2791 Ms. COLLINS. Mr. President, Our Na- The problem is not China’s economic makers about the well-being of chil- tion’s manufacturers can compete liberalization and modernization. The dren. My hope is that this legislation against the best in the world, but they problem is this: now that China has the could be incorporated into a welfare re- cannot compete against nations that capacity to be a key international eco- form reauthorization package. I believe provide huge subsidies and other unfair nomic player, the country has repeat- that the Senate should reauthorize our advantages to their producers. I hear edly refused to comply with standard welfare program, known as Temporary from manufacturers in my State time international trading rules and prac- Assistance to Needy Families (TANF), and time again whose efforts to com- tices. And these violations include the and we should do it soon. But when we pete successfully in the global econ- use of subsidies and other economic in- reauthorize TANF we must signifi- omy simply cannot overcome the prac- centives that are designed to give its cantly invest in child care which is es- tices of illegal pricing and subsidies of producers an unfair competitive advan- sential for parents to move from wel- nations such as China. The results of tage. fare to work, and to be successful on these unfair practices are lost jobs, The most glaringly obvious subsidy the job once they leave the official wel- shuttered factories, and decimated comes in the form of currency manipu- fare rolls. communities. lation. By keeping the Chinese yuan In 1996 this body took a bold step for- Our Nation’s trade remedy laws are pegged to the U.S. dollar at artificially intended to give American industries low levels, the Chinese undervalue the ward in reforming welfare. The driving and their employees relief from the ef- prices of their exports. Not only does force behind this reform was to pro- fects of illegal trade practices. Yet, this practice provide their producers mote work and self-sufficiency for fam- while U.S. anti-dumping laws can be with a price advantage, but also it vio- ilies and to provide flexibility to currently applied to non-market econo- lates the International Monetary Fund States to achieve these goals. mies, countervailing duty laws cannot. and WTO rules. The Chinese govern- States have used this flexibility to It is time that this was changed. design different programs that work This is why I am introducing the ment also reimburses many enterprises ‘‘Stopping Overseas Subsidies Act.’’ for their operating losses and provides better for families who rely on them. This bill revises current trade remedy loans to uncreditworthy companies. Because of vast variation among State laws to ensure that U.S. countervailing Currently, U.S. industries have no di- programs, there is an obvious need for duty laws apply to imports from non- rect recourse to combat these unfair research on child well-being for each market economies. It is simply not fair practices. They instead must rely upon State. We currently use the Survey of to prevent U.S. industries from seeking government-to-government negotia- Income and Program Participation redress from these unfair trade prac- tions or the dispute settlement proc- (SIPP) to evaluate the progress of wel- tices because our trade remedy laws esses of international organizations fare. It is an important national longi- are outdated. such as the WTO. While these channels tudinal study designed to provide rich, Over the past two decades, there have might eventually lead to relief, it usu- detailed data; the kinds of data most been significant economic changes in ally takes years to see results—and by useful to academic researchers. It does many of the countries classified as that time, that industry could already not, however, provide States with good, non-market economies. This is particu- be decimated. timely data to help them more effec- larly true in China, one of our largest Mr. President, unfair market condi- tively accomplish the goals set forth in trading partners and the country with tions cannot continue to cause our welfare reform. manufacturers to hemorrhage jobs. No which the United States currently runs This bill, the State Child Well Being its largest trade deficit. State understands this more than my home State of Maine. According to a Research Act of 2004, is intended to fill At the time our Nation’s counter- this information gap by collecting vailing duty laws were approved in study by the National Association of timely, State-specific data that can be 1979, it was impracticable to apply Manufacturers, on a percentage basis, used by policy-makers, researchers, these laws to China. In 1979, China’s Maine has lost more manufacturing and child advocates to assess the well economy was still centrally planned, jobs in the past three years than any being of children. It would require that and most of its economic output was other State. directed and controlled by the state, There are many reasons for manufac- a survey examine the physical and which set production goals, controlled turing job losses, including heavy tax emotional health of children, ade- prices, and allocated the country’s re- and regulatory burdens. This is why I quately represent the experiences of sources. When an entire economy is recently introduced a bill that would families in individual States, be con- controlled by the government, it is dif- provide a variety of tax incentives for sistent across States, be collected an- ficult, if not impossible, to determine our Nation’s manufacturers. However, nually, articulate results in easy to un- what defines a government subsidy without a level international playing derstand terms, and focus on low-in- that causes harm to U.S. industries. field, tax reductions will not be enough come children and families. But beginning in the early 1980’s and to stop the flight of U.S. manufac- The proposed legislation will provide continuing today, China has under- turing jobs. data for all States, including small taken major economic reforms. Today, Industries across Maine that produce rural States like West Virginia. Fur- China’s economy is a far cry from products ranging from paper to foot- ther, this bill avoids some of the other being completely state-controlled. wear to furniture are being harmed by problems that plague the current sys- Government price controls on a wide unfair trade practices, and it is time tem by making data files easier to use range of products have been elimi- that we put a stop to it. I ask you to and more readily available. As a result, nated. Many enterprises and even en- join me in supporting the SOS bill to the information will be more useful for tire industries have been allowed to op- ensure that all countries are held ac- policy-makers managing welfare re- erate and compete in an economic sys- countable for their trade practices. form and programs for children and tem that has elements of a free mar- families. When we reauthorize welfare By Mr. ROCKEFELLER: ket. Many coastal regions and coastal reform, it will be essential for us to S. 2213. A bill to amend part A of cities in China have been designated as make a modest investment in research so-called ‘‘open’’ cities and develop- title IV of the Social Security Act to for every State. ment zones, where there is a free mar- require the Secretary of Health and ket and tax and trade incentives are of- Human Services to conduct research on Several private charitable founda- fered to attract foreign investment. indicators of child well-being; to the tions, including the Annie E. Casey, And, of course, china has taken steps Committee on Finance. John D. and Catherine T. MacArthur, toward fully integrating into the glob- Mr. ROCKEFELLER. Mr. President, I and McKnight foundations have writ- al trading system by joining to the am pleased to introduce legislation ten Chairman GRASSLEY and Senator World Trade Organization and by work- today designed to enhance child well- BAUCUS in support of such research. ing toward the establishment of a mod- being in every State by collecting data These foundations have offered to form ern commercial, financial, legal, and on a State-by-State basis to provide in- a partnership to provide outreach and regulatory infrastructure. formation to advocates and policy support and to guarantee that the data

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00037 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2792 CONGRESSIONAL RECORD — SENATE March 12, 2004 collected would be broadly dissemi- Mr. Mansfield began his extraor- The rate of suicide has tripled from nated. This type of public-private part- dinary public service career in 1942 1952 to 1995. How many more of our nership helps to leverage additional re- when he was elected to the U.S. House children will be lost before we take ac- sources for children and families and of Representatives. He served four tion to prevent their untimely demise? increases the study’s impact. more terms before being elected to the When will we start to say to them that One of the most important ways that Senate in 1952. Within 4 years, he was there is an answer; that suicide is not Congress can demonstrate its commit- elected majority whip and in 1961 he the way out; that we can help them ment to welfare reform and attempt to was chosen as the Senate Majority feel better; that they can live happier help States reach the goals outlined in Leader. Mike would go on to hold this and healthier lives? 1996 is to incorporate a strong research position for 17 years, longer than any College is a time of great intellectual component in the welfare reform reau- other man in the history of this great development—and it is also a time of thorization bill. Since each State has body. exponential personal and interpersonal used its flexibility to creative innova- As Senate Majority Leader, Mr. growth and change. When children go tive welfare reform programs, and Mansfield is remembered as a truly off to college, we need to be sure that many are quite different, we need unique figure, a pragmatist whose sen- they are going to a place that will help State-by-State data on basic aspects of sibility, practicality, and unrelenting them reach their boundless potential. child well-being. I hope that my col- pursuit of results almost always tran- We also need to make sure that it will leagues will support this bill so that we scended ideological concerns. More also support them through the transi- can give States the information they Senate leader than Majority Leader, tion to adulthood and during their greatest hour of need. Additionally, need to monitor and improve child Mansfield preferred not to draw a met- many more adults are going to college, well-being. aphorical line in the sand. Instead, he and they too face challenges, particu- sought to guide the body as a whole to larly in balancing school, work, and By Mr. BURNS: a fair and agreeable determination. family responsibilities. We can and S. 2214. A bill to designate the facil- In 1977, upon his retirement from the should do more to address the signifi- ity of the United States Postal Service Senate, Mr. Mansfield was appointed cant lack in this area. located at 3150 Great Northern Avenue Ambassador to Japan by President Car- in Missoula, Montana, as the ‘‘Mike A Chronicle of Higher Education sur- ter; a post he held through 1989. This vey found that rates for depression in Mansfield Post Office’’; to the Com- position offered Mike a chance to uti- college freshmen have nearly doubled mittee on Governmental Affairs. lize his vast experience in Asian af- from 8.2 percent to 16.3 percent. With- Mr. BURNS. Mr. President, it is my fairs, in a region that he truly loved. In out treatment, the Chronicle reports honor to present this bill to designate the spirit of this admiration, the that ‘‘depressed adolescents are at risk the United States Postal Service facil- Maureen and Mike Mansfield Founda- for school failure, social isolation, ity at 3150 Great Northern Avenue in tion continues to encourage dialogue promiscuity, self-medication with Missoula, MT as the ‘‘Mike Mansfield and cooperation between the United drugs and alcohol, and suicide.’’ A 2003 Post Office.’’ States and Asia. Gallagher’s Survey of Counseling Cen- I rise today not just as a Republican Ladies and gentlemen of the Senate, ter Directors found that 85 percent of honoring a Democrat, but rather as a this dedication of a postal facility is college counseling centers are report- Montanan recognizing the most be- but a small token of gratitude for the ing an increase in the number of stu- loved political figure of our history. many years of exceptional service dents in need of services, 81 percent Mr. Mansfield holds a special place in given to this body, this Nation, and were concerned about increasing num- the hearts of all Montanans, a man Montana by this wonderful man. The bers of students with severe psycho- whose wisdom, humility, and decency ever modest and humble Mansfield logical problems, 67 percent reported a have been sorely missed. would have shied at such a tribute; we need for more psychiatric services, and Michael Joseph Mansfield was born might even expect him to offer the 6.3 percent reported problems with in New York City on March 16, 1903. names of people more deserving of the growing demand for services without Following the death of his mother at honor than he. In truth, I can think of an appropriate increase in resources. age 7, Mike was sent to Great Falls, no one more deserving of praise than Clearly, many students with serious MT to live with an aunt and uncle. Mike Mansfield, a true hero of the Sen- needs do not have access to psychiatric As World War I developed, the 14- ate. or other mental and behavioral health year-old Mansfield saw an opportunity services. to serve his country, and lied about his By Mr. REED (for himself, Mr. This is an issue that my office has age in order to join the U.S. Navy. He DEWINE, Mrs. CLINTON, and Mr. been working on with the American eventually enlisted in the Army and SMITH): Psychological Association since 2002. Marine Corps as well. During this serv- S. 2215. A bill to amend the Higher In light of the forthcoming debate on ice he was stationed in the Philippines Education Act of 1965 to provide funds the Higher Education Act Reauthoriza- and China, a time that marked the be- for campus mental and behavioral tion and the recent spate of college ginning of a lifelong love for the con- health service centers; to the Com- campus suicides, I am introducing the tinent, its people, and their culture. mittee on Health, Education, Labor, ‘‘Campus Care and Counseling Act.’’ After being honorably discharged and Pensions. This bill amends the Higher Education from the Marines, Mike Mansfield re- Mr. REED. Mr. President, I rise Act to authorize $10 million in peer-re- turned to Montana as a 19-year-old today to introduce the Campus Care viewed competitive grants to institu- lacking a high school education. He and Counseling Act along with my col- tions of higher education to increase found a job in the Butte mines, shov- league from Ohio, Senator DEWINE, my access and enhance mental and behav- eling rock as a ‘mucker.’ It was during colleague from Oregon, Senator SMITH ioral health services for our college his time in Butte that Mr. Mansfield and my colleague from New York, Sen- students. Grants may be used for the met his lifetime partner and com- ator CLINTON. The recent rash of sui- prevention, screening, early interven- panion, Maureen Hayes. It was cides on college campuses has high- tion, assessment, treatment, manage- Maureen who saw in Mike his enor- lighted a mental health crisis. Just ment, and education activities related mous potential and convinced him to this past week, Diana Chien, a 19 year to mental and behavioral health prob- go to college. With her financial sup- old student at New York University lems. Taking into consideration that port, Mansfield obtained his high ended her life by jumping off a build- education creates awareness, these school equivalency, B.A., and M.A. ing. Our own colleagues, the Senator funds may also be used to educate par- from the Montana State University, from Oregon, suffered a tragic loss ents, to hire staff, and to expand train- now the University of Montana. Mr. when his son, Garret, took his life last ing. To address the stigma of mental Mansfield taught Latin American and September. Suicides take the lives of illness, programs funded through this East Asian history for 8 years at the over 4,000 children and young adults grant will need to focus their efforts on University, retaining lifelong tenure as annually. It is now the third leading developing outreach strategies to reach Professor of History. cause of death among 10–24 year olds. those students most in need of services.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00038 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2793 My colleagues in the Senate, this is (7) The International Association of Coun- ‘‘(e) PEER REVIEW OF APPLICATIONS.— an important bipartisan measure which seling Services accreditation standards rec- ‘‘(1) PANEL.—The Secretary shall provide will help to ensure that our nation’s ommend 1 counselor per 1,000 to 1,500 stu- the applications submitted under this sec- college students will have access to dents. According to the 2003 Gallagher’s Sur- tion to a peer review panel for evaluation. vey of Counseling Center Directors, the ratio With respect to each application, the peer re- quality mental and behavioral health of counselors to students is as high as 1 view panel shall recommend the application care so that they receive the help need- counselor per 2,400 students at institutions for funding or for disapproval. ed to not only survive through their of higher education with more than 15,000 ‘‘(2) COMPOSITION OF PANEL.— difficult times in college, but also to students. ‘‘(A) IN GENERAL.—The peer review panel excel and accomplish all that is within SEC. 3. MENTAL AND BEHAVIORAL HEALTH shall be composed of— their reach. I want to also thank the SERVICES ON CAMPUS. ‘‘(i) experts who are competent, by virtue American Psychiatric Association and Part B of title I of the Higher Education of their training, expertise, or experience, to evaluate applications for grants under this other organizations for their assistance Act of 1965 (20 U.S.C. 1011 et seq.) is amended by inserting after section 120 the following: section; and in shaping this legislation. I urge my ‘‘(ii) mental and behavioral health profes- colleagues to join myself and Senators ‘‘SEC. 120A. MENTAL AND BEHAVIORAL HEALTH SERVICES ON CAMPUS. sionals and higher education professionals. E INE MITH ‘‘(B) NON-FEDERAL GOVERNMENT EMPLOY- D W and S in enacting this im- ‘‘(a) PURPOSE.—It is the purpose of this EES.—A majority of the members of the peer portant legislation. section to increase access to, and enhance review panel shall be individuals who are not Mr. President, I ask unanimous con- the range of, mental and behavioral health employees of the Federal Government. sent that the text of this legislation be services for students so as to ensure that col- ‘‘(3) EVALUATION AND PRIORITY.—The peer lege students have the support necessary to printed in the RECORD. review panel shall— successfully complete their studies. There being no objection, the bill was ‘‘(A) evaluate the applicant’s proposal to ‘‘(b) PROGRAM AUTHORIZED.—From funds ordered to be printed in the RECORD, as improve current and future mental and be- appropriated under subsection (j), the Sec- follows: havioral health at the institution of higher retary shall award competitive grants to in- S. 2215 education; and stitutions of higher education to create or Be it enacted by the Senate and House of Rep- ‘‘(B) give priority in recommending appli- expand mental and behavioral health serv- cations for funding to proposals that— resentatives of the United States of America in ices to students at such institutions, to pro- Congress assembled, ‘‘(i) provide direct service to students, as vide such services, and to develop best prac- described in subsection (f)(1); SECTION 1. SHORT TITLE. tices for the delivery of such services. Such ‘‘(ii) improve the mental and behavioral This Act may be cited as the ‘‘Campus grants shall, subject to the availability of health of students at institutions of higher Care and Counseling Act’’. such appropriations, be for a period of 3 education with a counselor to student ratio SEC. 2. FINDINGS. years. greater than 1 to 1,500; or Congress finds the following: ‘‘(c) ELIGIBLE GRANT RECIPIENTS.—Any in- ‘‘(iii) will best serve students based on the (1) In a recent report, a startling 85 percent stitution of higher education that seeks to projected impact of the proposal on mental of college counseling centers revealed an in- provide, or provides, mental and behavioral and behavioral health at the institution of crease in the number of students they see health services to students is eligible to higher education as well as the level of co- with psychological problems. Furthermore, apply, on behalf of such institution’s treat- ordination of other resources to aid in the the American College Health Association ment provider, for a grant under this sec- improvement of mental and behavioral found that 61 percent of college students re- tion. Treatment providers may include enti- health. ported feeling hopeless, 45 percent said they ties such as— ‘‘(f) USE OF FUNDS.—Funds provided by a felt so depressed they could barely function, ‘‘(1) college counseling centers; grant under this section may be used for 1 or and 9 percent felt suicidal. ‘‘(2) college and university psychological more of the following activities: (2) There is clear evidence of an increased service centers; ‘‘(1) Prevention, screening, early interven- incidence of depression among college stu- ‘‘(3) mental health centers; tion, assessment, treatment, management, dents. According to a survey described in the ‘‘(4) psychology training clinics; and education of mental and behavioral Chronicle of Higher Education (February 1, ‘‘(5) institution of higher education sup- health problems of students enrolled at the 2002), depression among freshmen has nearly ported, evidence-based, mental health and institution of higher education. doubled (from 8.2 percent to 16.3 percent). substance abuse screening programs; and ‘‘(2) Education of families to increase Without treatment, researchers recently ‘‘(6) any other entity that provides mental awareness of potential mental and behav- noted that ‘‘depressed adolescents are at risk and behavioral health services to students at ioral health issues of students enrolled at for school failure, social isolation, promis- an institution of higher education. the institution of higher education. cuity, self medication with drugs and alco- ‘‘(d) APPLICATIONS.—Each institution of ‘‘(3) Hiring appropriately trained staff, in- hol, and suicide—now the third leading cause higher education seeking to obtain a grant cluding administrative staff. of death among 10–24 year olds.’’. under this section shall submit an applica- ‘‘(4) Strengthening and expanding mental (3) Researchers who conducted the study tion to the Secretary. Each such application and behavioral health training opportunities ‘‘Changes in Counseling Center Client Prob- shall include— in internship and residency programs, such lems Across 13 Years’’ (1989–2001) at Kansas ‘‘(1) a description of identified mental and as psychology doctoral and post-doctoral State University stated that ‘‘students are behavioral health needs of students at the training. experiencing more stress, more anxiety, institution of higher education; ‘‘(5) Supporting the use of evidence-based more depression than they were a decade ‘‘(2) a description of currently available and emerging best practices. ago.’’ (The Chronicle of Higher Education, Federal, State, local, private, and institu- ‘‘(6) Evaluating and disseminating out- February 14, 2003). tional resources to address the needs de- comes of mental and behavioral health serv- (4) According to the 2001 National House- scribed in paragraph (1) at the institution of ices so as to provide information and train- hold Survey on Drug Abuse, 20 percent of higher education; ing to other mental and behavioral health full-time undergraduate college students use ‘‘(3) an outline of program objectives and entities around the Nation that serve stu- illicit drugs. anticipated program outcomes, including an dents enrolled in institutions of higher edu- (5) The 2001 National Household Survey on explanation of how the treatment provider cation. Drug Abuse also reported that 18.4 percent of at the institution of higher education will ‘‘(g) ADDITIONAL REQUIRED ELEMENTS.— adults aged 18 to 24 are dependent on or abus- coordinate activities under this section with Each institution of higher education that re- ing illicit drugs or alcohol. In addition, the existing programs and services; ceives a grant under this section shall— study found that ‘‘serious mental illness is ‘‘(4) the anticipated impact of funds pro- ‘‘(1) provide annual reports to the Sec- highly correlated with substance dependence vided under this section in improving the retary describing the use of funds, the pro- or abuse. Among adults with serious mental mental and behavioral health of students at- gram’s objectives, and how the objectives illness in 2001, 20.3 percent were dependent tending the institution of higher education; were met, including a description of program on or abused alcohol or illicit drugs, while ‘‘(5) outreach strategies, including ways in outcomes; the rate among adults without serious men- which the treatment provider at the institu- ‘‘(2) perform such additional evaluation as tal illness was only 6.3 percent.’’. tion of higher education proposes to reach the Secretary may require, which may in- (6) A 2003 Gallagher’s Survey of Counseling students, promote access to services, and ad- clude measures such as— Center Directors found that 81 percent were dress the range of needs of students; ‘‘(A) increase in range of services provided; concerned about the increasing number of ‘‘(6) a proposed plan for reaching those stu- ‘‘(B) increase in the quality of services pro- students with more serious psychological dents most in need of services; vided; problems, 67 percent reported a need for ‘‘(7) a plan to evaluate program outcomes ‘‘(C) increase in access to services; more psychiatric services, and 63 percent re- and assess the services provided with funds ‘‘(D) college continuation rates; ported problems with growing demand for under this section; and ‘‘(E) decrease in college dropout rates; and services without an appropriate increase in ‘‘(8) such additional information as is re- ‘‘(F) increase in college graduation rates; resources. quired by the Secretary. and

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00039 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2794 CONGRESSIONAL RECORD — SENATE March 12, 2004 ‘‘(3) coordinate such institution’s program troduce today does this by focusing on Sec. 402. Higher education technical amend- under this section with other related efforts these 5 key areas: expanding access to ments. on campus by entities concerned with the quality health care; strengthening na- Sec. 403. Model cultural competency cur- riculum development. mental, health, and behavioral health needs tional efforts and coordination; helping of students. Sec. 404. Internet cultural competency ‘‘(h) SUPPLEMENT NOT SUPPLANT.—Grant increase the diversity of health profes- clearinghouse. funds provided under this section shall be sionals; promoting more aggressive TITLE V—ENHANCED RESEARCH used to supplement, and not supplant, Fed- health professional education intended Sec. 501. Agency for Healthcare Research eral and non-Federal funds available for car- to reduce barriers to care; and enhanc- and Quality. rying out the activities described in this sec- ing research to identify sources of ra- Sec. 502. National Institutes of Health. tion. cial, ethnic, and geographic disparities TITLE VI—MISCELLANEOUS PROVISIONS ‘‘(i) LIMITATIONS.— Sec. 601. Definitions. ‘‘(1) PERCENTAGE LIMITATIONS.—Not more and assess promising intervention than— strategies. SEC. 2. FINDINGS. ‘‘(A) 5 percent of grant funds received However, the legislation I am intro- Congress makes the following findings: under this section shall be used for adminis- ducing today goes farther. This legisla- (1) The overall health of Americans has trative costs; and tion includes a provision based on dramatically improved over the last century, ‘‘(B) 20 percent of grant funds received and Americans are justifiably proud of the President Bush’s proposal to provide great strides that have been made in the under this section shall be used for training refundable health insurance tax credits health and medical sciences. costs. to lower income Americans. I believe (2) As medical science and technology have ‘‘(2) PROHIBITION ON USE FOR CONSTRUCTION advanced at a rapid pace, however, the OR RENOVATION.—Grant funds received under that the improved access to affordable health care delivery system has not been this section shall not be used for construc- medical care fostered by this tax credit able to provide consistently high quality tion or renovation of facilities or buildings. will be yet one more critical compo- care to all Americans. ‘‘(j) AUTHORIZATION OF APPROPRIATIONS.— nent to the overall effort to reduce dis- (3) In particular, people of lower socio- There are authorized to be appropriated for parities in health care for America’s grants under this section $10,000,000 for fiscal economic status, racial and ethnic minori- vulnerable populations. ties, and medically underserved populations year 2005 and such sums as may be necessary My intention is to continue to build for each of the 4 succeeding fiscal years.’’. have experienced poor health and challenges awareness of these health care dispari- in accessing high quality health care. By Mr. FRIST: ties and thereby provide the basis for (4) Recent studies have raised significant S. 2217. A bill to improve the health bipartisan efforts to fight and reduce questions regarding differences in clinical of health disparity populations; to the them. I think today’s bill introduction care provided to racial and ethnic minorities represents yet another key step in this and other health disparity populations. Committee on Finance. These differences are often grouped together Mr. FRIST: Mr. President, today I process. It is my hope that, working to- under the broad heading of ‘‘health dispari- am introducing additional legislation gether, members of this body can make ties’’. to address health disparities. substantial progress in reducing and (5) Studies indicate that a gap exists be- On February 12th I joined with Sen- eliminating disparities. tween ideal health care and the actual ator LANDRIEU, Senator COCHRAN, Sen- Iask unanimous consent that the health care that some Americans receive. ator DEWINE, Senator BOND and Sen- text of the bill be printed in the (6) Data collection, analysis, and reporting ator TALENT to introduce the ‘‘Closing RECORD. by race, ethnicity, and primary language the Health Care Gap Act of 2004.’’ There being no objection, the bill was across federally supported health programs are essential for identifying, understanding Today I am introducing similar legisla- ordered to be printed in the RECORD, as the causes of, monitoring, and eventually tion to that introduced several weeks follows: eliminating health disparities. ago with one significant addition. This S. 2217 (7) Current health related data collection additional provision directly addresses Be it enacted by the Senate and House of Rep- and reporting activities largely reflect the the problem of access to health insur- resentatives of the United States of America in efforts of the Department of Health and ance for low income Americans. Congress assembled, Human Services. Despite considerable efforts We know that millions of Americans SECTION 1. SHORT TITLE; TABLE OF CONTENTS. by the Department, data collection efforts still experience disparities in health (a) SHORT TITLE.—This Act may be cited as governing racial, ethnic, and health dis- outcomes as a result of ethnicity, race, the ‘‘Closing the Health Care Gap Act of parity populations remain inconsistent and 2004’’. inadequate. They often quantify disparities gender, or limited access to quality but shed little light on their causes. health care. For example, disparity (b) TABLE OF CONTENTS.—The table of con- tents of this Act is as follows: (8) Many Americans, and particularly ra- populations exhibit poorer health out- cial and ethnic minorities and other health Sec. 1. Short title; table of contents. comes and have higher rates of HIV/ disparity populations, miss opportunities for Sec. 2. Findings. AIDS, diabetes, infant mortality, can- preventive medical care. Similarly, manage- cer, heart disease, and other illnesses. TITLE I—IMPROVED HEALTH CARE ment of chronic illnesses in these popu- QUALITY AND EFFECTIVE DATA COL- lations presents unique challenges to the na- African Americans and Native Ameri- LECTION AND ANALYSIS cans die younger than any other racial tion’s health care system. Sec. 101. Standardized measures of quality (9) The largest numbers of the medically or ethnic group. African Americans and health care. underserved are white individuals, and many Native American babies die at signifi- Sec. 102. Data collection. of them have the same health care access cantly higher rates than the rest of the TITLE II—EXPANDED ACCESS TO problems as do members of minority groups. population. African Americans, His- QUALITY HEALTH CARE Nearly 22,000,000 white individuals live below panic Americans and Native Americans Subtitle A—Access, Awareness, and the poverty line with many living in non- are at least twice as likely to suffer Outreach metropolitan, rural areas such as Appa- from diabetes and experience serious lachia, where the high percentage of coun- Sec. 201. Access and awareness grants. tries designated as health professional short- complications from diabetes. Sec. 202. Innovative outreach programs. These gaps are simply unacceptable. age areas (47 percent) and the high rate of Subtitle B—Refundable Health Insurance poverty contribute to disparity outcomes. Every American deserves the best qual- Credit However, there is a higher proportion of ra- ity of health care possible, regardless Sec. 211. Refundable health insurance costs cial and ethnic minorities in the United of their race, ethnicity, gender, or credit. States represented among the medically un- where they live. Sec. 212. Advance payment of credit to derserved. There is a growing awareness on the issuers of qualified health in- (10) While much research examines the national level of the existence and im- surance. question of racial and ethnic differences in portance of the serious disparities in TITLE III—STRONG NATIONAL LEADER- health care, less is known about the mag- the quality of health care that many SHIP, COOPERATION, AND COORDINA- nitude and extent of differences in the qual- minority and underserved Americans TION ity of health care related to nonsocio- economic factors. Only recently have sci- Sec. 301. Office of Minority Health and receive. And this presents us with an entists and quality improvement experts Health Disparities. important opportunity to move for- begun to address the issue of how best to ward. TITLE IV—PROFESSIONAL EDUCATION, measure, track, and improve quality of The legislation we introduced on AWARENESS, AND TRAINING health care in diverse populations. Addi- February 12th and the legislation I in- Sec. 401. Workforce diversity and training. tional research in order to understand the

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00040 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2795 causes of disparities and develop effective section shall be construed as modifying the (6) support research on existing best prac- approaches to eliminate these gaps in health privacy standards under the Health Insur- tices for data collection. care quality will be necessary. ance Portability and Accountability Act of (b) GRANTS FOR DATA COLLECTION BY (11) There is a need to ensure appropriate 1996 (Public Law 104-191). HEALTH PLANS, HEALTH CENTERS, AND HOS- representation of racial and ethnic minori- (f) ONGOING EVALUATION OF USE.—The Sec- PITALS.— ties, and other health disparity populations, retary of Health and Human Services shall (1) IN GENERAL.—The Secretary, acting in the health care professions and in the ensure the ongoing evaluation of the use of through the Director of the Agency for fields of biomedical, clinical, behavioral, and the health care quality measures established Healthcare Research and Quality, may sup- health services research. under this section. port or conduct not to exceed 20 demonstra- (12) Preventable disparities in access to (g) EXISTING ACTIVITIES.—Notwithstanding tion programs to enhance the collection, and quality of health care are unacceptable. any other provision of law, the standardized analysis, and reporting of the data required Health care delivered in the United States measures and reporting activities described under this section. in this section shall replace, to the extent should be care that is as safe, effective, pa- (2) ELIGIBILITY.—To be eligible to receive a practicable and appropriate, any existing tient-centered, timely, efficient and equi- grant under this section an entity shall— measurement and reporting activities cur- table as possible. (A) be a health plan, federally qualified rently utilized by federally supported health TITLE I—IMPROVED HEALTH CARE QUAL- health center or health center network, or care delivery programs. hospital; and ITY AND EFFECTIVE DATA COLLECTION (h) EVALUATION.— (B) prepare and submit to the Secretary an AND ANALYSIS (1) INSTITUTE OF MEDICINE.— application at such time, in such manner, (A) IN GENERAL.—The Secretary of Health SEC. 101. STANDARDIZED MEASURES OF QUALITY and containing such as information as the HEALTH CARE. and Human Services shall request the Insti- Secretary may require. (a) IN GENERAL.— tute of Medicine to conduct an evaluation of (3) USE OF FUNDS.—A grantee shall use (1) COLLABORATION.—The Secretary of the collaborative efforts of the Secretaries amounts received under a grant under this Health and Human Services, the Secretary of to establish uniform, standardized health subsection to— Defense, the Secretary of Veterans Affairs, care quality measures and reporting require- (A) collect, analyze, and report data by the Director of the Indian Health Service, ments for federally supported health care de- race, ethnicity, or other health disparity and the Director of the Office of Personnel livery programs as required under this sec- category for patients served by the grantee, Management (referred to in this section as tion. including— the ‘‘Secretaries’’) shall work collabo- (B) REPORT.—Not later than 2 years after (i) in the case of a hospital, emergency ratively to establish uniform, standardized the date of enactment of this Act, the Insti- room patients and patients served on an in- health care quality measures across all Fed- tute of Medicine shall submit a report con- patient or outpatient basis; eral Government health programs. Such cerning the results of the evaluation under (ii) in the case of a health plan, data for measures shall be designed to assess quality subparagraph (A) to the Secretary. enrollees; and improvement efforts with regard to the safe- (2) REGULATIONS.— (iii) in the case of a federally qualified ty, timeliness, effectiveness, patient- (A) PROPOSED.—Not later than 18 months health center or health center network, pri- centeredness, and efficiency of health care after the date on which the report is sub- mary care, specialty care, and referrals; delivered across all federally supported mitted under paragraph (1)(B), the Secretary (B) provide analyses of racial, ethnic and health care delivery programs including shall publish proposed regulations regarding other disparities in health and health care, those in which health care services are deliv- the uniform, standardized health care qual- including specific disease conditions, diag- ered to health disparity populations. ity measures and reporting requirements de- nostic and therapeutic procedures, or out- (2) DEVELOPMENT OF MEASURES.—Relying scribed in this section. comes; on earlier work by the Secretary of Health (B) FINAL REGULATIONS.—Not later than 3 (C) improve health data collection and and Human Services or others (including years after the date on which the report is analysis for additional population groups be- work such as the Healthy People 2010 or the submitted under paragraph (1)(B), the Sec- yond the Office of Management and Budget IOM Quality Chasm reports) and with an em- retary shall publish final regulations regard- categories if such groups can be aggregated phasis on health conditions disproportion- ing the uniform, standardized health care into the minimum race and ethnicity cat- ately affecting health disparity populations quality measures and reporting requirements egories; and taking into account health literacy and described in this section. (D) develop mechanisms for sharing col- primary language and cultural factors, the SEC. 102. DATA COLLECTION. lected data, subject to applicable privacy Secretaries shall develop standardized sets of (a) IN GENERAL.—The Secretary of Health and confidentiality regulations; quality measures for— and Human Services (referred to in this sec- (E) develop educational programs to in- (A) 5 common health conditions by not tion as the ‘‘Secretary’’) shall— form health insurance issuers, health plans, later than January 1, 2006; and (1) ensure that data collected under the health providers, health-related agencies, pa- (B) an additional 10 common health condi- medicare program under title XVIII of the tients, enrollees, and the general public that tions by not later than January 1, 2007. Social Security Act (42 U.S.C. 1395 et seq.) data collection, analysis, and reporting by (3) PILOT TESTING.—Each federally admin- are accurate by race, ethnicity, and primary race, ethnicity, and preferred language are istered health care program may conduct a language and available for inclusion in the legal and essential for eliminating dispari- pilot test of the quality measures developed National Health Disparities Report; ties in health and health care; and under paragraph (2) that shall include a col- (2) enforce State data collection and re- (F) ensure the evaluation of activities con- lection of patient-level data and a public re- porting by race, ethnicity, and primary lan- ducted under this section. lease of comparative performance reports. guage for enrollees in the medicaid program (b) PUBLIC REPORTING REQUIREMENTS.—The under title XIX of the Social Security Act TITLE II—EXPANDED ACCESS TO QUALITY Secretaries shall work collaboratively to es- (42 U.S.C. 1396 et seq.) and the State Chil- HEALTH CARE tablish standardized public reporting re- dren’s Health Insurance Program under title Subtitle A—Access, Awareness, and Outreach quirements for clinicians, institutional pro- XXI of such Act (42 U.S.C. 1397aa et seq.) and SEC. 201. ACCESS AND AWARENESS GRANTS. viders, and health plans in each of the health ensure that such data are available for inclu- (a) DEMONSTRATION PROJECTS.—The Sec- programs described in subsection (a). sion in the National Health Disparities Re- retary of Health and Human Services (in this (c) FULL IMPLEMENTATION.—The Secre- port; section referred to as the ‘‘Secretary’’) may taries shall work collaboratively to prepare (3) ensure that ongoing and any new pro- award contracts or competitive grants to eli- for the full implementation of all standard- gram initiatives— gible entities to support demonstration ized sets of quality measures and reporting (A) collect and report data by race, eth- projects designed to improve the health and systems developed under subsections (a) and nicity, and primary language and provide health care of health disparity populations (b) by not later than January 1, 2009. technical assistance to promote compliance; through improved access to health care, (d) PROGRESS REPORT.—The Secretary of (B) address technological difficulties; health care navigation assistance, and Health and Human Services shall prepare an (C) ensure privacy and confidentiality of health literacy education. annual progress report that details the col- data collected; and (b) ELIGIBLE ENTITY DEFINED.—In this sec- laborative efforts carried out under sub- (D) implement effective educational strate- tion the term ‘‘eligible entity’’ means— section (a). gies; (1) a hospital; (e) COMPARATIVE QUALITY REPORTS.—Be- (4) expand educational programs to inform (2) an academic institution; ginning on January 1, 2008, in order to make insurers, providers, agencies and the public (3) a State health agency; comparative quality information available of the importance of data collection by race, (4) an Indian Health Service hospital or to health care consumers, including mem- ethnicity, and primary language to improv- clinic, Indian tribal health facility, or urban bers of health disparity populations, health ing health care access and quality; Indian facility; professionals, public health officials, re- (5) raise awareness that these data are crit- (5) a nonprofit organization including a searchers, and other appropriate individuals ical for achieving Healthy People 2010 goals faith-based organization or consortia, to the and entities, the Secretaries shall provide for and essential to the nondiscrimination re- extent that a grant awarded to such an enti- the pooling and analysis of quality measures quirements of title VI of the Civil Rights Act ty is consistent with the requirements of collected under this section. Nothing in this (42 U.S.C. 2000d et seq.); and section 1955 of the Public Health Service Act

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00041 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2796 CONGRESSIONAL RECORD — SENATE March 12, 2004 (42 U.S.C. 300x–65) relating to grant award to increase a patient’s knowledge of how to best tients with limited English speaking pro- nongovernmental entities; participate in such patient’s and such pa- ficiency; (6) a primary care practice-based research tient’s children’s treatment decisions. (C) promote preventive services; or network as defined by the Director of the (4) Enhancing preventive services and co- (D) enhance coordinated, multidisciplinary Agency for Healthcare Research and Quality; ordinated, multidisciplinary disease manage- disease management of chronic conditions, (7) a Federally qualified health center (as ment of chronic conditions, such as diabetes such as diabetes mellitus, HIV/AIDS, asth- defined in section 1905(l)(2)(B) of the Social mellitus, HIV/AIDS, asthma, cancer, cardio- ma, cancer, and obesity. Security Act (42 U.S.C. 1396d(l)(2)(B))); or vascular disease, and obesity. (2) APPLICATION.—An entity desiring a con- (9) any other entity determined to be ap- (f) REPORT.—Not later than 3 years after tract or grant under paragraph (1) shall sub- propriate by the Secretary. the date an entity receives a grant under mit an application to the Secretary of (c) APPLICATION.—An eligible entity seek- this section and annually thereafter, the en- Health and Human Services in such form and ing a grant under this section shall submit tity shall provide to the Secretary a report manner, and containing such information, as an application to the Secretary at such time, containing the results of any evaluation con- the Secretary may require. in such manner, and containing such infor- ducted pursuant to subsection (c)(5). (3) AUTHORIZATION OF APPROPRIATIONS.— mation as the Secretary may require, includ- (g) AUTHORIZATION OF APPROPRIATIONS.— There are authorized to be appropriated to ing assurances that the eligible entity will— There are authorized to be appropriated to carry out this subsection such sums as may (1) target patient populations that are carry out this section such sums as may be be necessary for each of fiscal years 2005 members of racial and ethnic minority necessary for each of fiscal years 2005 through 2009. through 2009. groups or health disparity populations Subtitle B—Refundable Health Insurance through specific outreach activities; SEC. 202. INNOVATIVE OUTREACH PROGRAMS. Credit (2) coordinate with appropriate community (a) GRANTS TO PROMOTE INNOVATIVE OUT- SEC. 211. REFUNDABLE HEALTH INSURANCE REACH AND ENROLLMENT UNDER MEDICAID AND organizations and include appropriate com- COSTS CREDIT. SCHIP.—Section 2104(e) of the Social Secu- munity participation in planning and imple- (a) ALLOWANCE OF CREDIT.— rity Act (42 U.S.C. 1397dd(e)) is amended— mentation of activities; (1) IN GENERAL.—Subpart C of part IV of (1) by striking ‘‘Amounts allotted’’ and in- (3) coordinate culturally competent and subchapter A of chapter 1 of the Internal serting the following: appropriate care; Revenue Code of 1986 (relating to refundable ‘‘(1) IN GENERAL.—Subject to paragraph (2), (4) include a plan to ensure that the entity personal credits) is amended by redesig- amounts allotted’’; and will become self-sustaining when funding nating section 36 as section 37 and by insert- (2) by adding at the end the following: under the grant terminates; and ing after section 35 the following new sec- ‘‘(2) GRANTS TO PROMOTE INNOVATIVE OUT- (5) include quality and outcomes perform- tion: REACH AND ENROLLMENT EFFORTS.— ance measures to evaluate the effectiveness ‘‘SEC. 36. HEALTH INSURANCE COSTS FOR UNIN- ‘‘(A) IN GENERAL.—Prior to September 30 of of activities funded under this section to en- SURED INDIVIDUALS. each fiscal year, beginning with fiscal year sure that the activities are meeting their ‘‘(a) ALLOWANCE OF CREDIT.—In the case of goals, and disseminate findings from such 2004, the Secretary shall reserve from any an individual, there shall be allowed as a evaluations. unexpended allotments made to States under credit against the tax imposed by this sub- (d) PRIORITIES.—In awarding contracts and subsection (b) or (c) (including any portion of title for the taxable year an amount equal to grants under this section, the Secretary such allotments that were redistributed the amount paid by the taxpayer during such shall give priority to applicants that intend under subsection (f) or (g)) for a fiscal year taxable year for qualified health insurance to use amounts received under this section that would revert to the Treasury on October for the taxpayer and the taxpayer’s spouse to carry out all programs specified under 1 of the succeeding fiscal year but for the ap- and dependents. subsection (e). plication of this paragraph, the lesser of ‘‘(b) LIMITATIONS.— (e) USE OF FUNDS.—An eligible entity shall $50,000,000 or the total amount of such unex- ‘‘(1) IN GENERAL.—The amount allowed as a use amounts received under this section to pended allotments for purposes of awarding credit under subsection (a) to the taxpayer carry out programs that involve at least 2 of grants under this paragraph for such suc- for the taxable year shall not exceed the the following: ceeding fiscal year to States or national, lesser of— (1) Providing resources and guidance to in- local, and community-based public or non- ‘‘(A) the sum of the monthly limitations dividuals regarding sources of health insur- profit private organizations to conduct inno- for coverage months during such taxable ance coverage, as well as information on how vative outreach and enrollment efforts that year for the individuals referred to in sub- to obtain health coverage in the private in- are designed to increase the enrollment and section (a) for whom the taxpayer paid dur- surance market, through Federal and State participation of eligible children under this ing the taxable year any amount for cov- programs, and through other available cov- title and title XIX. erage under qualified health insurance, or erage options. ‘‘(B) PRIORITY FOR GRANTS IN CERTAIN ‘‘(B) 90 percent of the sum of the amounts (2) Providing patient navigator services to AREAS.—In making grants under subpara- paid by the taxpayer for qualified health in- help individuals better utilize their health graph (A)(ii), the Secretary shall give pri- surance for each such individual for coverage coverage by working through the health sys- ority to grant applicants that propose to tar- months of the individual during the taxable tem to obtain appropriate quality care, in- get geographic areas— year. cluding programs in which— ‘‘(i) with high rates of eligible but ‘‘(2) MONTHLY LIMITATION.— (A) trained individuals (such as representa- unenrolled children, including such children ‘‘(A) IN GENERAL.—The monthly limitation tives from the community, nurses, social who reside in rural areas; for an individual for each coverage month of workers, physicians, or patient advocates) ‘‘(ii) with high rates of families for whom such individual during the taxable year is are assigned to act as contacts— English is not their primary language; or the amount equal to 1⁄12 of— (i) within the community; or ‘‘(iii) with high rates of racial and ethnic ‘‘(i) $1,000 if such individual is the tax- (ii) within the health care system, to fa- minorities and health disparity populations. payer, cilitate access to health care services; ‘‘(C) APPLICATION.—An organization that ‘‘(ii) $1,000 if— (B) partnerships are created with commu- desires to receive a grant under this para- ‘‘(I) such individual is the spouse of the nity organizations (which may include hos- graph shall submit an application to the Sec- taxpayer, pitals, federally qualified health centers or retary in such form and manner, and con- ‘‘(II) the taxpayer and such spouse are health center networks, faith-based organi- taining such information, as the Secretary married as of the first day of such month, zations, primary care providers, home care, may decide. Such application shall include and nonprofit organizations, health plans, or quality and outcomes performance measures ‘‘(III) the taxpayer files a joint return for other health providers determined appro- to evaluate the effectiveness of activities the taxable year, and priate by the Secretary) to help facilitate ac- funded by a grant under this paragraph to ‘‘(iii) $500 if such individual is an indi- cess or to improve the quality of care; ensure that the activities are meeting their vidual for whom a deduction under section (C) activities are conducted to coordinate goals, and disseminate findings from such 151(c) is allowable to the taxpayer for such care and preventive services and referrals; evaluations.’’. taxable year. (D) services are provided for translation, (b) DEMONSTRATIONS TO REDUCE HEALTH ‘‘(B) LIMITATION TO 2 DEPENDENTS.—Not interpretation, and other such linguistic DISPARITIES.— more than 2 individuals may be taken into services for patients with limited English (1) IN GENERAL.—The Secretary of Health account by the taxpayer under subparagraph proficiency; or and Human Services shall, through contracts (A)(iii). (E) an entity receiving a grant under this or grants to public and private entities, sup- ‘‘(C) SPECIAL RULE FOR MARRIED INDIVID- section negotiates on behalf of the patient port demonstration programs for the purpose UALS.—In the case of a taxpayer— with relevant entities, or provides referrals of conducting interventions among health ‘‘(i) who is married (within the meaning of and guides the patient through the medi- disparity populations to— section 7703) as of the close of the taxable ation or arbitration process, to resolve issues (A) target, identify, and reduce or prevent year but does not file a joint return for such that impede access to care. behavioral risk factors that contribute to year, and (3) Promoting broad health awareness and health disparities; ‘‘(ii) who does not live apart from such tax- prevention efforts, including patient edu- (B) promote translation, interpretation, payer’s spouse at all times during the tax- cation and health literacy programs to help and other such linguistic services for pa- able year,

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the dollar limitation imposed under subpara- ‘‘(A) is entitled to any benefits under part ‘‘(B) REQUIREMENTS.—Subparagraph (A) graph (A)(iii) shall be divided equally be- A of title XVIII of the Social Security Act or shall only apply to a State program if— tween the taxpayer and the taxpayer’s is enrolled under part B of such title, or ‘‘(i) the program uses private sector health spouse unless they agree on a different divi- ‘‘(B) is enrolled in the program under title care purchasing groups or health plans, and sion. XIX or XXI of such Act (other than under ‘‘(ii) the State maintains separate risk ‘‘(3) INCOME PHASEOUT OF CREDIT PERCENT- section 1928 of such Act). pools for participants under the State pro- AGE.— ‘‘(5) CERTAIN OTHER COVERAGE.—The term gram. ‘‘(A) PHASEOUT FOR SINGLE COVERAGE.—If a ‘coverage month’ shall not include any ‘‘(e) ARCHER MSA CONTRIBUTIONS; HSA taxpayer with self-only coverage has modi- month during a taxable year with respect to CONTRIBUTIONS.—If a deduction would be al- fied adjusted gross income in excess of $15,000 an individual if, at any time during such lowed under section 220 to the taxpayer for a for a taxable year, the 90 percent under para- year, any benefit is provided to such indi- payment for the taxable year to the Archer graph (1)(B) shall be reduced (but not below vidual under— MSA of an individual or under section 223 to the taxpayer for a payment for the taxable zero) by— ‘‘(A) chapter 89 of title 5, United States year to the Health Savings Account of such ‘‘(i) 2 percentage points for each $250 of Code, individual, subsection (a) shall not apply to such income in excess of $15,000 but not in ‘‘(B) chapter 55 of title 10, United States the taxpayer for any month during such tax- excess of $20,000, and Code, ‘‘(C) chapter 17 of title 38, United States able year for which the taxpayer, spouse, or ‘‘(ii) 1.25 percentage points for each $250 of dependent is an eligible individual for pur- such income in excess of $20,000. Code, or ‘‘(D) any medical care program under the poses of either such section. ‘‘(B) AMOUNT OF REDUCTION FOR FAMILY Indian Health Care Improvement Act. ‘‘(f) INFLATION ADJUSTMENT.— COVERAGE.—If a taxpayer with family cov- ‘‘(6) PRISONERS.—The term ‘coverage ‘‘(1) IN GENERAL.—In the case of any tax- erage has modified adjusted gross income in month’ shall not include any month with re- able year beginning after 2004, each dollar excess of $25,000 for a taxable year, the 90 spect to an individual if, as of the first day amount referred to in subsections (b)(2)(A) percent under paragraph (1)(B) shall be re- of such month, such individual is imprisoned and (d)(3) shall be increased by an amount duced (but not below zero) by— under Federal, State, or local authority. equal to— ‘‘(i) in the case of family coverage covering ‘‘(7) INSUFFICIENT PRESENCE IN UNITED ‘‘(A) such dollar amount, multiplied by only 1 adult, 1.5 percentage points for each STATES.—The term ‘coverage month’ shall ‘‘(B) the cost-of-living adjustment deter- $250 of such excess, and not include any month during a taxable year mined under section 213(d)(10)(B)(ii) for the ‘‘(ii) in the case of family coverage cov- with respect to an individual if such indi- calendar year in which the taxable year be- ering more than 1 adult, 0.643 percentage vidual is present in the United States on gins, except that ‘2003’ shall be substituted points for each $250 of such excess. fewer than 183 days during such year (deter- for ‘1996’ in subclause (II) thereof. Any percentage resulting from a reduction mined in accordance with section 7701(b)(7)). ‘‘(2) ROUNDING.—If any amount as adjusted under clause (ii) shall be rounded to the ‘‘(d) QUALIFIED HEALTH INSURANCE.—For under paragraph (1) is not a multiple of $10, nearest one-tenth of a percent. purposes of this section— such amount shall be rounded to the next lowest multiple of $10. ‘‘(C) MODIFIED ADJUSTED GROSS INCOME.— ‘‘(1) IN GENERAL.—The term ‘qualified ‘‘(g) SPECIAL RULES.— The term ‘modified adjusted gross income’ health insurance’ means health insurance ‘‘(1) COORDINATION WITH MEDICAL EXPENSE means adjusted gross income determined— coverage (as defined in section 9832(b)(1)) which— DEDUCTION.—The amount which would (but ‘‘(i) without regard to this section and sec- for this paragraph) be taken into account by tions 911, 931, and 933, and ‘‘(A) is coverage described in paragraph (2), and the taxpayer under section 213 for the tax- ‘‘(ii) after application of sections 86, 135, able year shall be reduced by the credit (if 137, 219, 221, and 469. ‘‘(B) meets the requirements of paragraph (3). any) allowed by this section to the taxpayer ‘‘(c) COVERAGE MONTH.—For purposes of ‘‘(2) ELIGIBLE COVERAGE.—Coverage de- for such year. this section— scribed in this paragraph is the following: ‘‘(2) COORDINATION WITH DEDUCTION FOR ‘‘(1) IN GENERAL.—The term ‘coverage ‘‘(A) Coverage under individual health in- HEALTH INSURANCE COSTS OF SELF-EMPLOYED month’ means, with respect to an individual, surance. INDIVIDUALS.—In the case of a taxpayer who any month if— ‘‘(B) Coverage under a group health plan is eligible to deduct any amount under sec- ‘‘(A) as of the first day of such month such (as defined in section 5000 without regard to tion 162(l) for the taxable year, this section individual is covered by qualified health in- subsection (d)). shall apply only if the taxpayer elects not to surance, and ‘‘(C) Coverage through a private sector claim any amount as a deduction under such ‘‘(B) the premium for coverage under such health care coverage purchasing pool. section for such year. insurance for such month is paid by the tax- ‘‘(D) Coverage under a State high risk pool ‘‘(3) DENIAL OF CREDIT TO DEPENDENTS.—No payer. described in subparagraph (C) of section credit shall be allowed under this section to ‘‘(2) EMPLOYER-SUBSIDIZED COVERAGE.— 35(e)(1). any individual with respect to whom a de- ‘‘(A) IN GENERAL.—The term ‘coverage ‘‘(E) Continuation coverage described in duction under section 151 is allowable to an- month’ shall not include any month for subparagraph (A) or (B) of section 35(a)(1). other taxpayer for a taxable year beginning which such individual is eligible to partici- ‘‘(F) Coverage under an eligible State in the calendar year in which such individ- pate in any subsidized health plan (within buyin program. ual’s taxable year begins. the meaning of section 162(l)(2)) maintained ‘‘(3) REQUIREMENTS.—The requirements of ‘‘(4) COORDINATION WITH ADVANCE PAY- by any employer of the taxpayer or of the this paragraph are as follows: MENT.—Rules similar to the rules of section spouse of the taxpayer. A subsidized health ‘‘(A) COST LIMITS.—Under the coverage, the 35(g)(1) shall apply to any credit to which plan shall not include a plan substantially sum of the annual deductible and the other this section applies. all of the coverage of which is of excepted annual out-of-pocket expenses required to be ‘‘(5) COORDINATION WITH SECTION 35.—If a benefits described in section 9832(c). paid (other than premiums) for covered bene- taxpayer is eligible for the credit allowed ‘‘(B) PREMIUMS TO NONSUBSIDIZED PLANS.— fits does not exceed— under this section and section 35 for any tax- If an employer of the taxpayer or the spouse ‘‘(i) $5,000 for self-only coverage, and able year, the taxpayer shall elect which of the taxpayer maintains a health plan ‘‘(ii) twice the dollar amount in clause (i) credit is to be allowed. which is not a subsidized health plan (as so for family coverage, or ‘‘(h) EXPENSES MUST BE SUBSTANTIATED.— A payment for insurance to which subsection defined) and which constitutes qualified ‘‘(B) MAXIMUM BENEFITS.—Under the cov- health insurance, employee contributions to erage, the annual and lifetime maximum (a) applies may be taken into account under this section only if the taxpayer substan- the plan shall be treated as amounts paid for benefits are not less than $700,000. tiates such payment in such form as the Sec- qualified health insurance. ‘‘(4) ELIGIBLE STATE BUYIN PROGRAM.—For retary may prescribe. ‘‘(3) CAFETERIA PLAN AND FLEXIBLE SPEND- purposes of paragraph (2)(F)— ‘‘(i) REGULATIONS.—The Secretary shall ING ACCOUNT BENEFICIARIES.—The term ‘cov- ‘‘(A) IN GENERAL.—The term ‘eligible State prescribe such regulations as may be nec- erage month’ shall not include any month buyin program’ means a State program essary to carry out the purposes of this sec- during a taxable year if any amount is not under which an individual not otherwise eli- tion.’’. includible in the gross income of the tax- gible for assistance under the State medicaid (b) INFORMATION REPORTING.— payer for such year under section 106 with re- program under title XIX of the Social Secu- (1) IN GENERAL.—Subpart B of part III of spect to— rity Act or the State children’s health insur- subchapter A of chapter 61 of the Internal ‘‘(A) a benefit chosen under a cafeteria ance program under title XXI of such Act is Revenue Code of 1986 (relating to informa- plan (as defined in section 125(d)), or able to buy health insurance coverage tion concerning transactions with other per- ‘‘(B) a benefit provided under a flexible through a purchasing arrangement entered sons) is amended by inserting after section spending or similar arrangement. into between the State and a private sector 6050T the following: ‘‘(4) MEDICARE, MEDICAID, AND SCHIP.—The health care purchasing group or health plan ‘‘SEC. 6050U. RETURNS RELATING TO PAYMENTS term ‘coverage month’ shall not include any for purposes of providing health insurance FOR QUALIFIED HEALTH INSUR- month with respect to an individual if, as of coverage to recipients of assistance under ANCE. the first day of such month, such indi- such program or for purposes of providing ‘‘(a) IN GENERAL.—Any person who, in con- vidual— such coverage to State employees. nection with a trade or business conducted

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00043 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2798 CONGRESSIONAL RECORD — SENATE March 12, 2004 by such person, receives payments during ‘‘Sec. 6050U. Returns relating to payments ‘‘(B) Amounts required to be deducted and any calendar year from any individual for for qualified health insur- withheld under section 3401 (relating to wage coverage of such individual or any other in- ance.’’. withholding). dividual under creditable health insurance, (c) CRIMINAL PENALTY FOR FRAUD.—Sub- ‘‘(C) Taxes imposed under section 3111(a) or shall make the return described in sub- chapter B of chapter 75 of the Internal Rev- 50 percent of taxes imposed under section section (b) (at such time as the Secretary enue Code of 1986 (relating to other offenses) 1401(a) (relating to FICA employer taxes). may by regulations prescribe) with respect is amended by adding at the end the fol- ‘‘(D) Amounts required to be deducted to each individual from whom such pay- lowing: under section 3102 with respect to taxes im- ments were received. ‘‘SEC. 7276. PENALTIES FOR OFFENSES RELATING posed under section 3101(a) or 50 percent of ‘‘(b) FORM AND MANNER OF RETURNS.—A re- TO HEALTH INSURANCE TAX CRED- taxes imposed under section 1401(a) (relating turn is described in this subsection if such IT. to FICA employee taxes). return— ‘‘Any person who knowingly misuses De- ‘‘(c) CERTIFIED INDIVIDUAL.—For purposes ‘‘(1) is in such form as the Secretary may partment of the Treasury names, symbols, of this section, the term ‘certified indi- prescribe, and titles, or initials to convey the false impres- vidual’ means any individual for whom a ‘‘(2) contains— sion of association with, or approval or en- qualified health insurance credit eligibility ‘‘(A) the name, address, and TIN of the in- dorsement by, the Department of the Treas- certificate is in effect. dividual from whom payments described in ury of any insurance products or group ‘‘(d) QUALIFIED HEALTH INSURANCE CREDIT subsection (a) were received, health coverage in connection with the cred- ELIGIBILITY CERTIFICATE.—For purposes of ‘‘(B) the name, address, and TIN of each in- it for health insurance costs under section 36 this section, a qualified health insurance dividual who was provided by such person shall on conviction thereof be fined not more credit eligibility certificate is a statement with coverage under creditable health insur- than $10,000, or imprisoned not more than 1 furnished by an individual to a provider of ance by reason of such payments and the pe- year, or both.’’. qualified health insurance which— (d) CONFORMING AMENDMENTS.— riod of such coverage, ‘‘(1) certifies that the individual will be eli- (1) Section 162(l) of the Internal Revenue ‘‘(C) the aggregate amount of payments de- gible to receive the credit provided by sec- Code of 1986 is amended by adding at the end scribed in subsection (a), and tion 36 for the taxable year, the following: ‘‘(D) such other information as the Sec- ‘‘(2) estimates the amount of such credit ‘‘(6) ELECTION TO HAVE SUBSECTION APPLY.— retary may reasonably prescribe. for such taxable year, and ‘‘(c) CREDITABLE HEALTH INSURANCE.—For No deduction shall be allowed under para- ‘‘(3) provides such other information as the purposes of this section, the term ‘creditable graph (1) for a taxable year unless the tax- Secretary may require for purposes of this health insurance’ means qualified health in- payer elects to have this subsection apply for section.’’ surance (as defined in section 36(d)). such year.’’. ‘‘(d) STATEMENTS TO BE FURNISHED TO INDI- (2) Paragraph (2) of section 1324(b) of title (b) CLERICAL AMENDMENT.—The table of VIDUALS WITH RESPECT TO WHOM INFORMA- 31, United States Code, is amended by insert- sections for chapter 77 of the Internal Rev- TION IS REQUIRED.—Every person required to ing before the period ‘‘, or from section 36 of enue Code of 1986 is amended by adding at make a return under subsection (a) shall fur- such Code’’. the end the following: nish to each individual whose name is re- (3) The table of sections for subpart C of ‘‘Sec. 7529. Advance payment of health insur- quired under subsection (b)(2)(A) to be set part IV of subchapter A of chapter 1 of the ance credit for purchasers of forth in such return a written statement Internal Revenue Code of 1986 is amended by qualified health insurance.’’ showing— striking the last item and inserting the fol- ‘‘(1) the name and address of the person re- lowing: (c) EFFECTIVE DATE.—The amendments quired to make such return and the phone made by this section shall take effect on ‘‘Sec. 36. Health insurance costs for unin- number of the information contact for such July 1, 2005, without regard to whether final sured individuals. person, regulations to carry out such amendments ‘‘(2) the aggregate amount of payments de- ‘‘Sec. 37. Overpayments of tax.’’ have been promulgated by such date. scribed in subsection (a) received by the per- (4) The table of sections for subchapter B TITLE III—STRONG NATIONAL LEADER- son required to make such return from the of chapter 75 of such Code is amended by add- SHIP, COOPERATION, AND COORDINA- individual to whom the statement is re- ing at the end the following: TION quired to be furnished, and ‘‘Sec. 7276. Penalties for offenses relating to SEC. 301. OFFICE OF MINORITY HEALTH AND ‘‘(3) the information required under sub- health insurance tax credit.’’ HEALTH DISPARITIES. section (b)(2)(B) with respect to such pay- (a) IN GENERAL.—Section 1707 of the Public ments. (e) EFFECTIVE DATES.— (1) IN GENERAL.—Except as provided in Health Service Act (42 U.S.C. 300u–6) is The written statement required under the paragraph (2), the amendments made by this amended— preceding sentence shall be furnished on or section shall apply to taxable years begin- (1) by striking the section heading and in- before January 31 of the year following the ning after December 31, 2003, without regard serting the following: calendar year for which the return under to whether final regulations to carry out ‘‘OFFICE OF MINORITY HEALTH AND HEALTH subsection (a) is required to be made. DISPARITIES’’; and ‘‘(e) RETURNS WHICH WOULD BE REQUIRED such amendments have been promulgated by TO BE MADE BY 2 OR MORE PERSONS.—Except such date. (2) in subsection (a)— to the extent provided in regulations pre- (2) PENALTIES.—The amendments made by (A) by striking ‘‘Office of Minority Health’’ scribed by the Secretary, in the case of any subsections (c) and (d)(4) shall take effect on each place that such appears and inserting amount received by any person on behalf of the date of the enactment of this Act. ‘‘Office of Minority Health and Health Dis- another person, only the person first receiv- SEC. 212. ADVANCE PAYMENT OF CREDIT TO parities’’; and ing such amount shall be required to make ISSUERS OF QUALIFIED HEALTH IN- (B) by striking ‘‘for Minority Health’’ and the return under subsection (a).’’. SURANCE. inserting ‘‘for Minority Health and Health (a) IN GENERAL.—Chapter 77 of the Internal (2) ASSESSABLE PENALTIES.— Disparities’’. Revenue Code of 1986 (relating to miscella- (A) Subparagraph (B) of section 6724(d)(1) (b) DUTIES.—Section 1707(b) of the Public neous provisions) is amended by adding at of such Code (relating to definitions) is Health Service Act (42 U.S.C. 300u–6(b)) is the end the following: amended by redesignating clauses (xii) amended— ‘‘SEC. 7529. ADVANCE PAYMENT OF CREDIT FOR through (xviii) as clauses (xiii) through (xix), HEALTH INSURANCE COSTS OF ELI- (1) in the matter preceding paragraph (1)— respectively, and by inserting after clause GIBLE INDIVIDUALS. (A) by inserting ‘‘and health disparity pop- (xi) the following: ‘‘(a) GENERAL RULE.—Not later than Janu- ulations’’ after ‘‘groups’’ and ‘‘(xii) section 6050U (relating to returns re- ary 1, 2005, the Secretary shall establish a (B) by striking ‘‘for Minority Health’’ and lating to payments for qualified health in- program for making payments on behalf of inserting ‘‘for Minority Health and Health surance),’’. certified individuals to providers of qualified Disparities’’; (B) Paragraph (2) of section 6724(d) of such health insurance (as defined in section 36(d)) (2) in paragraph (1)— Code is amended by striking ‘‘or’’ at the end for such individuals. (A) by striking ‘‘Establish’’ and all that of subparagraph (AA), by striking the period ‘‘(b) PROGRAM OPTIONS.—The program follows through ‘‘coordinate’’ and inserting at the end of the subparagraph (BB) and in- under subsection (a) may— ‘‘Coordinate’’; and serting ‘‘, or’’, and by adding at the end the ‘‘(1) provide that payments may be made (B) by striking ‘‘such individuals’’ and in- following: on the basis of modified adjusted gross in- serting ‘‘health disparities’’; ‘‘(CC) section 6050U(d) (relating to returns come of certified individuals for the pre- (4) in paragraph (1) relating to payments for qualified health in- ceding taxable year, and (3) in paragraph (5), by inserting ‘‘or health surance).’’. ‘‘(2) provide that, in lieu of payments to disparity populations’’ after ‘‘minority (3) CLERICAL AMENDMENT.—The table of providers, the following amounts may be off- groups’’; sections for subpart B of part III of sub- set: (4) in paragraph (6), by inserting ‘‘or health chapter A of chapter 61 of such Code is ‘‘(A) Amounts required to be deposited by disparity population’’ after ‘‘minority amended by inserting after the item relating the provider as estimated income tax under group’’; to section 6050T the following: section 6654 or 6655. (5) by striking paragraphs (7) and (9);

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00044 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2799 (6) by redesignating paragraphs (1), (2), (3), (A) by inserting ‘‘and health disparities’’ in health professions education for racial or (4), (5), (6), (8), and (10) as paragraphs (3), (4), after ‘‘minority health’’; and ethnic minority or health disparity popu- (6), (7), (9), (10), (11), and (12), respectively; (B) by inserting ‘‘and health disparity pop- lations.’’; (7) by inserting before paragraph (3) (as so ulations’’ after ‘‘minority groups’’. (2) in subsection (b)— redesignated) the following: (d) DUTY REQUIREMENTS.—Section 1707(d) of (A) in paragraph (2), by striking ‘‘under- ‘‘(1) Establish specific short- and long-term the Public Health Service Act (42 U.S.C. represented minority’’ and inserting ‘‘racial goals and objectives for analyzing the causes 300u–6(d)) is amended— or ethnic minority’’; of health disparities and addressing them, (1) in paragraph (1)(A), by striking ‘‘(b)(9)’’ (B) in paragraph (3), by striking ‘‘under- with a particular focus on the areas of health and inserting ‘‘(b)(14); represented minority’’ and inserting ‘‘racial promotion, disease prevention, chronic care (2) in paragraph (1)(B), by striking ‘‘(b)(10)’’ or ethnic minority’’; and research. and inserting ‘‘(b)(13); and (C) in paragraph (4), by striking ‘‘minority ‘‘(2) Work with agencies within the Depart- (3) in paragraph (3), insert ‘‘take into ac- health’’ and inserting ‘‘health disparity’’; ment of Health and Human Services and count the unique cultural or linguistic issues (D) in paragraph (5), by striking ‘‘under- with the Surgeon General to establish a stra- facing such populations and’’ after ‘‘sub- represented minority groups’’ and inserting tegic plan to analyze and address the causes section (b)’’. ‘‘racial or ethnic minorities and health dis- of health disparities. The plan shall include (e) REPORTS.—Section 1707(f) of the Public parity populations’’; recommendations to improve the collection, Health Service Act (42 U.S.C. 300u–6(f)) is (E) in paragraph (6)— analysis, and reporting of data at the Fed- amended— (i) in the matter preceding subparagraph eral, State, territorial, Tribal, and local lev- (1) in paragraph (1)— (A), by striking ‘‘under-represented minor- els, including how to— (A) by striking the subsection heading and ity’’ and inserting ‘‘individuals from racial ‘‘(A) implement data collection while mini- inserting ‘‘REPORT ON ACTIVITIES.—’’; or ethnic minorities or health disparity pop- mizing the cost and administrative burdens (B) by striking ‘‘1999’’ and inserting ‘‘2006’’; ulations’’; and of data collection and reporting; (C) by striking ‘‘Committee on Energy and (ii) by striking ‘‘and’’ at the end; ‘‘(B) expand awareness of the importance Commerce of the House of Representatives, (F) in paragraph (7), by striking the period of such data collection to improving health and to the Committee on Labor and Human and inserting ‘‘; and’’; and care quality; and Resources of the Senate’’ and inserting ‘‘ap- (G) by adding at the end the following: ‘‘(C) provide researchers with greater ac- propriate committees of Congress’’; and ‘‘(8) to conduct accountability and other cess to racial, ethnic, and other health dis- (D) by inserting ‘‘and health disparity pop- reporting activities, as required by the Sec- parity data.’’; ulations’’ after ‘‘racial and ethnic minority retary.’’; (8) by inserting after paragraph (4) (as so groups’’; (3) in subsection (c)— redesignated), the following: (2) in paragraph (2)— (A) in paragraph (1)(B)— ‘‘(5) Increase awareness of disparities in (A) by striking ‘‘1999’’ and inserting ‘‘2005’’; (i) in clause (i), by striking ‘‘under-rep- health care among health care providers, and resented minority’’ and inserting ‘‘individ- health plans, and the public.’’; (B) by inserting ‘‘and health disparity’’ uals from racial or ethnic minorities or (9) in paragraph (6) (as so redesignated)— after ‘‘minority health’’; health disparity populations’’; (A) by striking ‘‘Support’’ and inserting (3) by redesignating paragraph (1) and (2) (ii) in clause (ii), by striking ‘‘under-rep- ‘‘In cooperation with the appropriate agen- as paragraphs (2) and (3), respectively; and resented minority’’ and inserting ‘‘such’’; cies, support’’; (4) by inserting after the subsection head- (iii) in clause (iii)— (B) by inserting before the period the fol- ing, the following: (I) by striking ‘‘under-represented minor- lowing: ‘‘for— ity individuals’’ the first place that such ap- ‘‘(1) IN GENERAL.—Not later than 1 year ‘‘(A) expanding health care access; after the date of enactment of the Closing pears and inserting ‘‘such students’’; ‘‘(B) improving health care quality; and the Health Care Gap Act of 2004, the Sec- (II) by striking ‘‘such individuals’’ and in- serting ‘‘such students’’;and ‘‘(C) increasing health care educational op- retary shall submit to the appropriate com- (III) by striking ‘‘under-represented minor- portunity.’’; mittees of Congress, a report on the plan de- (10) by inserting after paragraph (7) (as so ity’’ the second place that such appears and veloped under subsection (b)(2).’’. redesignated), the following: inserting ‘‘such’’; and (f) AUTHORIZATION OF APPROPRIATIONS.— (iv) in clause (iv), by striking ‘‘under-rep- ‘‘(8) Consistent with section 102 of the Clos- Section 1707(h) of the Public Health Service resented minority individuals’’ and inserting ing the Health Care Gap Act of 2004, coordi- Act (42 U.S.C. 300u–6(h)) is amended— nate the classification and collection of ‘‘individuals from racial or ethnic minorities (1) by striking ‘‘FUNDING.—’’ and all that health care data to allow for the ongoing or health disparity populations’’; and follows through the paragraph designation in analysis of the causes of disparities and mon- (B) in paragraph (2)(B)— paragraph (1); and itoring of progress toward the elimination of (i) in clause (i), by striking ‘‘under-rep- (2) by striking ‘‘$30,000,000’’ and all that disparities.’’; and resented’’ and inserting ‘‘racial or’’; and follows through the period and inserting (11) by inserting after paragraph (12), as so (C) in paragraph (5)(B)— ‘‘$50,000,000 for fiscal year 2005, such sums as redesignated, the following: (i) by striking ‘‘under-represented’’ and in- may be necessary for each of fiscal years 2006 ‘‘(13) Work with Federal agencies and de- serting ‘‘racial or’’; and through 2009.’’. partments outside of the Department of (ii) by inserting ‘‘or a health disparity pop- Health and Human Services to maximize pro- TITLE IV—PROFESSIONAL EDUCATION, ulation’’ after ‘‘minorities’’; gram resources available to understand why AWARENESS, AND TRAINING (4) in subsection (d)(1), by striking ‘‘Under- disparities exist, and effective ways to re- SEC. 401. WORKFORCE DIVERSITY AND TRAIN- Represented Minority Health’’ and inserting duce and eliminate disparities. ING. ‘‘Minority Health and Health Disparity’’; ‘‘(14) Support a center for linguistic and (a) PURPOSE.—Part B of title VII of the (5) in subsection (h)— cultural competence to carry out the fol- Public Health Service Act (42 U.S.C. 293 et (A) in paragraph (1), by striking lowing: seq.) is amended by inserting before section ‘‘$26,000,000’’ and all that follows and insert- ‘‘(A) With respect to individuals who lack 736 the following: ing ‘‘$50,000,000 for fiscal year 2005, and such proficiency in speaking the English lan- ‘‘SEC. 736A. PURPOSE OF PROGRAM. sums as may be necessary for each of fiscal guage, enter into contracts with public and ‘‘It is the purpose of this part to improve years 2006 through 2009’’; and nonprofit private providers of primary health care quality and access in medically (B) in paragraph (2)— health services for the purpose of increasing underserved communities, to improve the (i) in subparagraph (C)— the access of such individuals to such serv- cultural competence of health care providers (I) in the matter preceding clause (i), by ices by developing and carrying out pro- by increasing minority representation in the striking ‘‘are $30,000,000 or more’’ and insert- grams to provide bilingual or interpretive health professions, and to strengthen the re- ing ‘‘exceed $30,000,000 but are less than services. search and education programs of designated $40,000,000’’; and ‘‘(B) Carry out programs to improve access health professions schools that dispropor- (II) in clause (iv), by striking ‘‘any remain- to health care services for individuals with tionately serve health disparity popu- ing funds’’ and inserting ‘‘any remaining ex- limited proficiency in speaking the English lations.’’. cess amount’’; and language. Activities under this subparagraph (b) CENTERS OF EXCELLENCE.—Section 736 (ii) by adding at the end the following: shall include developing and evaluating of the Public Health Service Act (42 U.S.C. ‘‘(D) FUNDING IN EXCESS OF $40,000,000.—If model projects.’’. 293) is amended— amounts appropriated under paragraph (1) (c) ADVISORY COMMITTEE.—Section 1707(c) (1) by striking subsection (a) and inserting for a fiscal year are $40,000,000 or more, the of the Public Health Service Act (42 U.S.C. the following: Secretary shall make available— 300u–6(c)) is amended— ‘‘(a) IN GENERAL.—The Secretary shall ‘‘(i) not less than $16,000,000 for grants (1) in paragraph (1), by inserting ‘‘and make grants to, and enter into contracts under subsection (a) to health professions Health Disparities’’ after ‘‘Minority Health’’; with, public and nonprofit private health or schools that meet the conditions described in (2) in paragraph (2), by inserting ‘‘and educational entities, including designated subsection (c)(2)(A); health disparity populations’’ after ‘‘minor- health professions schools described in sub- ‘‘(ii) not less than $16,000,000 for grants ity group’’; and section (c), for the purpose of assisting the under subsection (a) to health professions (3) in paragraph (4)(B)— schools in supporting programs of excellence schools that meet the conditions described in

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paragraph (3) or (4) of subsection (c) (includ- (2) PRIORITIES.—Section 333A(a) of the Pub- based organization and not less than 3 health ing meeting conditions pursuant to sub- lic Health Service Act (42 U.S.C. 254f-1(a)) is professions schools. section (e)); amended— ‘‘(ii) In the case of an eligible entity whose ‘‘(iii) not less than $8,000,000 for grants (A) by redesignating paragraphs (1) exclusive activity under the award will be under subsection (a) to health professions through (3) as paragraphs (2) through (4), re- carrying out 1 or more programs described in schools that meet the conditions described in spectively; and subsection (a)(5), the membership of the con- subsection (c)(5); and (B) by inserting before paragraph (2) (as so sortium includes not less than 1 nonprofit ‘‘(iv) after grants are made with funds redesignated), the following: private community-based organization and under clauses (i) through (iii), any remaining ‘‘(1) give preference to applications as de- not less than 1 health professions school. funds for grants under subsection (a) to scribed in section 333(a)(3);’’. ‘‘(D) The members of the consortium have health professions schools that meet the con- (e) AUTHORIZATION OF APPROPRIATIONS.— entered into an agreement specifying— ditions described in paragraph (2)(A), (3), (4), Section 740 of the Public Health Service Act ‘‘(i) that each of the members will comply or (5) of subsection (c).’’; and (42 U.S.C. 293d) is amended— with the conditions upon which the award is (6) by adding at the end the following: (1) in subsection (a), by striking ‘‘2002’’ and made; and ‘‘(i) EVALUATION.— inserting ‘‘2009’’; ‘‘(ii) whether and to what extent the award ‘‘(1) IN GENERAL.—Not later than 1 year (2) in subsection (b), by striking ‘‘2002’’ and will be allocated among the members. after the date of enactment of the Closing inserting ‘‘2009’’; ‘‘(2) REQUIREMENT OF COMPETITIVE the Health Care Gap Act of 2004, the Sec- (3) in subsection (c), by striking ‘‘2002’’ and AWARDS.—Awards under subsection (a) shall retary shall request that the Institute of inserting ‘‘2009’’; and be made on a competitive basis. Medicine evaluate the effectiveness of the (4) by striking subsection (d). ‘‘(c) REQUIREMENTS.—The Secretary may make an award under subsection (a) only if programs under this section in meeting the (f) GRANTS FOR HEALTH PROFESSIONS EDU- the Secretary determines that, in the case of purpose of this part. The Institute of Medi- CATION.—Section 741 of the Public Health activities carried out under the award that cine shall submit a report on the evaluation Service Act (42 U.S.C. 293e) is amended— prove to be effective toward achieving the to the Secretary. (1) in subsection (a)(2), in the first sentence purposes of the activities— ‘‘(2) WORKING GROUP.—Upon submission of by striking ‘‘Unless’’ and all that follows ‘‘(1) the members of the consortium in- the report under paragraph (1), the Secretary through ‘‘the Secretary’’ and inserting ‘‘The volved have or will have the financial capac- shall convene a working group composed of Secretary’’; and ity to continue the activities, regardless of stakeholders, including designated health (2) in subsection (b), by striking whether financial assistance under sub- professions schools described in subsection ‘‘$3,500,000’’ and all that follows through the section (a) continues to be available; and (c), to define quality performance measures period and inserting ‘‘such sums as may be ‘‘(2) the members of the consortium dem- and reporting requirements of grant recipi- necessary for each of fiscal years 2005 onstrate to the satisfaction of the Secretary ents that shall be tied to the purpose of this through 2009.’’. a commitment to continue such activities, part. (g) HEALTH CAREERS OPPORTUNITY PRO- regardless of whether such assistance con- ‘‘(3) REGULATIONS.—Not later than 18 GRAM.—Subpart 2 of part E of title VII of the tinues to be available. months after the date the Institute of Medi- Public Health Service Act (42 U.S.C. 295 et ‘‘(d) OBJECTIVES UNDER AWARDS.—Before cine submits the report under paragraph (1), seq.) is amended— making a first award to an eligible entity the Secretary shall publish proposed regula- (1) in section 770 by inserting ‘‘(other than under subsection (a), the Secretary shall es- tions regarding the quality performance section 771)’’ after ‘‘this subpart’’; tablish objectives regarding the activities to measures and reporting requirements de- (2) by redesignating section 770 as section be carried out under the award, which objec- scribed in paragraph (2). Not later than 3 771; tives are applicable until the next fiscal year years after the date the Institute of Medicine (3) by inserting after section 769 the fol- for which such award is made after a com- submits the report under paragraph (1), the lowing: petitive process of review. In making an Secretary shall publish final regulations re- ‘‘SEC. 770. HEALTH CAREERS OPPORTUNITY PRO- award after such a review, the Secretary garding the quality performance measures GRAM. shall establish additional objectives for the and reporting requirements described in ‘‘(a) IN GENERAL.—The Secretary may applicant. paragraph (2).’’. make grants and enter into cooperative ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— (c) SCHOLARSHIPS FOR DISADVANTAGED STU- agreements and contracts with eligible enti- For the purpose of carrying out this section, DENTS.—Section 737 of the Public Health ties for any of the following purposes: there are authorized to be appropriated, such Service Act (42 U.S.C. 293a) is amended— ‘‘(1) Identifying and recruiting students sums as may be necessary for each of fiscal (1) in subsection (c), by striking ‘‘under- who— years 2005 through 2009.’’. represented minority’’ and inserting ‘‘minor- ‘‘(A) are from disadvantaged backgrounds SEC. 402. HIGHER EDUCATION TECHNICAL ity and health disparity’’; and or health disparity populations; and AMENDMENTS. Section 326(c) of the Higher Education Act (2) in subsection (d)(1)(B), by inserting ‘‘or ‘‘(B) are interested in a career in the of 1965 (20 U.S.C. 1063b(c)) is amended— health disparity’’ after ‘‘minority’’. health professions. (1) in paragraph (2), by inserting before the (d) LOAN REPAYMENTS AND FELLOWSHIPS ‘‘(2) Providing counseling or other services semicolon, the following: ‘‘, and for the ac- REGARDING FACULTY POSITIONS.—Section designed to assist such individuals in enter- quisition and development of real property 738(b) of the Public Health Service Act (42 ing a health professions school and success- that is adjacent to the campus to improve U.S.C. 293b(b)) is amended— fully completing their education at such a the academic environment’’; (1) in paragraph (1), by striking ‘‘underrep- school. (2) in paragraph (6), by striking ‘‘and’’ at resented’’; ‘‘(3) Providing, for a period prior to the the end; (2) in paragraph (3)(A), by striking ‘‘under- entry of such individuals into the regular (3) in paragraph (7), by striking the period represented minority individuals’’ and in- course of education of such a school, prelimi- and inserting a semicolon; and serting ‘‘individuals from racial or ethnic nary education designed to assist the indi- (4) by adding at the end the following: minorities or health disparity populations’’; viduals in successfully completing such reg- ‘‘(8) Support of faculty exchanges, develop- and ular course of education at such a school, or ment, and fellowship to enable attainment of (3) by striking paragraph (5). referring such individuals to institutions advanced degrees in their field of instruc- (e) NATIONAL HEALTH SERVICE CORPS.— providing such preliminary education. tion; and (1) ASSIGNMENT.—Section 333(a)(3) of the ‘‘(b) RECEIPT OF AWARD.— ‘‘(9) Tutoring, counseling, and student Public Health Service Act (42 U.S.C. ‘‘(1) ELIGIBLE ENTITIES; REQUIREMENT OF service programs designed to improve aca- 254f(a)(3)) is amended— CONSORTIUM.—The Secretary may make an demic success.’’. (A) in the second sentence— award under subsection (a) only if an eligible (i) by striking ‘‘shall give preference’’ and entity meets the following conditions: SEC. 403. MODEL CULTURAL COMPETENCY CUR- RICULUM DEVELOPMENT. inserting the following: ‘‘shall— ‘‘(A) The eligible entity is a public or pri- (a) CURRICULA DEVELOPMENT AND MODEL ‘‘(A) give preference’’; and vate entity, and such entity has established CURRICULA.—The Secretary of Health and (ii) by striking the period and inserting ‘‘; a consortium consisting of private commu- Human Services (in this section referred to and’’; and nity-based organizations and health profes- as the ‘‘Secretary’’) may award grants to eli- (B) by adding at the end the following: sions schools. gible entities for curricula development for ‘‘(B) give preference to applications from ‘‘(B) The health professions schools in the the training of health care providers and entities described in subparagraph (A) that consortium are schools of medicine or osteo- health professions students regarding cul- serve individuals a majority of whom are pathic medicine, public health, nursing, den- tural competency, and for demonstration members of a racial or ethnic minority or tistry, optometry, pharmacy, allied health, projects to test new innovations for cultural other health disparity population with an- or podiatric medicine, or graduate programs competence education model curricula for nual incomes at or below twice those set in mental health practice (including pro- and identify additional barriers to culturally forth in the most recent poverty guidelines grams in clinical psychology). appropriate care. issued by the Secretary pursuant to section ‘‘(C)(i) Except as provided in clause (ii), the (b) APPLICATION.—Each eligible entity de- 402(2) of the Community Services Block membership of the consortium includes not siring a grant under subsection (a) shall sub- Grant Act.’’. less than 1 nonprofit private community- mit an application to the Secretary at such

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00046 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2801 time, in such manner, and containing such ceive a grant or contract under paragraph ‘‘(ii) the identification of measures for information as the Secretary may require. (1)) so that those participating in research which data currently being collected are in- (c) AUTHORIZATION OF APPROPRIATIONS.— can share findings and experience through- sufficient. There are authorized to be appropriated to out the duration of such research and to fa- ‘‘(2) REPORT.—Not later than 3 years after carry out this section such sums as may be cilitate interest in and prompt adoption of the date the demonstration project described necessary for each of fiscal years 2005 such findings and experience. in paragraph (1) receives funding, the Direc- through 2009. ‘‘(3) TECHNICAL ASSISTANCE.—The Director tor shall submit to the appropriate commit- SEC. 404. INTERNET CULTURAL COMPETENCY of the Agency for Healthcare Research and tees of Congress a report containing the find- CLEARINGHOUSE. Quality shall provide technical assistance to ings of the demonstration project together (a) DEVELOPMENT.—The Director of the Of- assist in the implementation of strategies of with any policy recommendations. fice of Minority Health and Health Dispari- evidence-based practices that will reduce ‘‘(d) ANALYSIS OF RACIAL, ETHNIC, AND ties, with assistance from the Administrator health care disparities. OTHER HEALTH DISPARITY DATA.—The Sec- of the Agency for Healthcare Research and ‘‘(4) ELIGIBLE ENTITIES.—In paragraph (1), retary, acting through the Director of the Quality, shall develop and maintain an Inter- the term ‘eligible entities’ means institu- Agency for Healthcare Research and Quality, net clearinghouse to improve health care tions with researchers who have experience and in coordination with the Administrator quality for individuals with specific cultural in conducting research relating to minority of the Centers for Medicare & Medicaid Serv- needs or with limited English proficiency or health and health disparity populations. ices and the Director of the Centers for Dis- low functional health literacy and to reduce ‘‘(5) PUBLIC HOSPITALS.—In this subsection, ease Control and Prevention, shall provide or eliminate the duplication of effort to the term ‘public hospitals’ means a hospital technical assistance to agencies of the De- translate materials. (as defined in section 1886(d)(1)(B) of the So- partment of Health and Human Services in (b) TEMPLATES.—In developing the clear- cial Security Act) that— meeting Federal standards for race, eth- inghouse under subsection (a), the Director ‘‘(A) is owned or operated by a unit of nicity, and other health disparity data col- of the Office of Minority Health and Health State or local government, is a public or pri- lection and analysis of racial, ethnic, and Disparities shall develop, test, and make vate non-profit corporation which is for- other disparities in health and health care in available templates for standard documents mally granted governmental powers by a Federally-administered programs by— that are necessary for patients and con- unit of State or local government, or is a pri- ‘‘(1) identifying appropriate quality assur- sumers to access and make educated deci- vate non-profit hospital that has a contract ance mechanisms to monitor for health dis- sions about their health care, including— with a State or local government to provide parities; (1) administrative and legal documents; health care services to low income individ- ‘‘(2) specifying the clinical, diagnostic, or (2) clinical information such as how to uals who are not entitled to benefits under therapeutic measures which should be mon- take medications, how to prevent trans- title XVIII of the Social Security Act or eli- itored; mission of a contagious disease, and other gible for assistance under the State plan ‘‘(3) developing new quality measures re- prevention and treatment instructions; and under title XIX of the Social Security Act; lating to racial, ethnic, or other health dis- (3) patient education and outreach mate- and parities; rials such as immunization notices, health ‘‘(B) for the most recent cost reporting pe- ‘‘(4) identifying the level at which data warnings, or screening notices. riod that ended before the calendar quarter analysis should be conducted; and (c) ONLINE LIBRARY OR DATABASE.—The Di- involved, had a disproportionate share ad- ‘‘(5) sharing data with external organiza- rector of the Office of Minority Health and justment percentage (as determined under tions for research and quality improvement Health Disparities shall develop a readily ac- section 1886(d)(5)(F) of the Social Security purposes.’’. cessible online library or database with Act) greater than 11.75 percent or was de- SEC. 502. NATIONAL INSTITUTES OF HEALTH. searchable clinically relevant cultural infor- scribed in section 1886(d)(5)F)(i)(II) of such The Director of the National Institutes of mation that is important for health care pro- Act. Health, in consultation with the Director of viders to have on hand in the direct provi- the National Center on Minority Health and sion of medical care to individuals from spe- ‘‘(b) REALIZING THE POTENTIAL OF DISEASE Health Disparities, shall expand and inten- cific minority, ethnic, or other health dis- MANAGEMENT.— sify research at the National Institutes of parity groups. ‘‘(1) PUBLIC-PRIVATE SECTOR PARTNERSHIP Health relating to the sources of health and TITLE V—ENHANCED RESEARCH TO ASSESS EFFECTIVENESS OF EXISTING DATA MANAGEMENT STRATEGIES.—The Director health care disparities, and increase efforts SEC. 501. AGENCY FOR HEALTHCARE RESEARCH shall establish a public-private partnership to recruit minority scientists and research AND QUALITY. to assess the effectiveness of disease man- professionals into the field of health dis- Part B of title IX of the Public Health agement strategies and identify effective parity research. Service Act (42 U.S.C. 299b) is amended by interventions and support strategies with re- adding at the end the following: TITLE VI—MISCELLANEOUS PROVISIONS spect to minority and health disparity popu- SEC. 601. DEFINITIONS. ‘‘SEC. 918. ENHANCED RESEARCH WITH RESPECT lations. TO HEALTH DISPARITIES. (a) IN GENERAL.—In this Act, including the ‘‘(2) EFFECTIVE MANAGEMENT OF PATIENTS ‘‘(a) ACCELERATING THE ELIMINATION OF amendments made by this Act: WITH MULTIPLE CHRONIC DISEASES.— DISPARITIES.— (1) CULTURALLY COMPETENT.— ‘‘(A) INITIATIVE FOR DISEASE MANAGEMENT ‘‘(1) IN GENERAL.—The Secretary, acting (A) IN GENERAL.—The term ‘‘culturally STRATEGIES.—The Director shall coordinate through the Director, may award grants or competent’’, with respect to the manner in an initiative to identify those chronic condi- contracts to eligible entities (as defined in which health-related services, education, and tions for which disease-specific disease man- paragraph (4)) for short-term research to training are provided, means providing the agement strategies pose conflicts in pre- analyze the causes of disparities and identify services, education, and training in the lan- ferred clinical interventions. or develop and evaluate effective strategies guage and cultural context that is most ap- ‘‘(B) RESEARCH.—The Director, with sup- in closing the health care gap between mi- propriate for the individuals for whom the port from other agencies within the Depart- nority and health disparity populations and services, education, and training are in- ment of Health and Human Services shall nonminority populations or non-health dis- tended, including as necessary the provision conduct a program of research based in com- parity populations. of bilingual services. munity and primary-care settings to test ‘‘(2) PROMPT USE OF RESEARCH.—To ensure (B) MODIFICATION.—The definition estab- and evaluate the implications for patient that research described in paragraph (1) is ef- lished in subparagraph (A) may be modified outcomes of alternative approaches for rec- fective and is disseminated and applied as needed at the discretion of the Secretary onciling conflicts from disease-specific dis- promptly, the Director shall— after providing a 30-day notice to Congress. ease management initiatives. ‘‘(A) expand practice-based research net- (2) MINORITY HEALTH CONDITIONS.—The works (primary care and larger delivery sys- ‘‘(c) DEVELOPMENT OF EFFECTIVE MEASURE- term ‘‘minority health conditions’’, with re- tems) to include networks of delivery sites MENT OF DISPARITIES.— spect to individuals who are members of mi- serving large numbers of minority and ‘‘(1) IN GENERAL.—The Director shall con- nority groups, means all diseases, disorders, health disparity populations including— duct a demonstration project to— and conditions (including with respect to ‘‘(i) public hospitals; ‘‘(A) assess alternative strategies for iden- mental health and substance abuse)— ‘‘(ii) health centers; and tifying population subgroups at highest risk (A) unique to, more serious, or more preva- ‘‘(iii) other sites as determined appropriate of poor quality and poor health; lent in such groups; by the Director; ‘‘(B) improve data collection for health (B) for which the factors of medical risk or ‘‘(B) work with health care providers to care priority populations (as described in types of medical intervention may be dif- identify and develop those interventions for section 901(c)(1)(B)); ferent for such groups, or for which it is un- minority and health disparity populations ‘‘(C) improve the ability to identify the known whether such factors or types are dif- for which effective implementation strate- causes of disparities; and ferent for such individuals; or gies are not clear; and ‘‘(D) track progress in reducing health care (C) with respect to which there has been ‘‘(C) develop a broad virtual network of disparities with a focus on— insufficient research involving such indi- continuous learning among health care pro- ‘‘(i) the minimum data set necessary to vidual members of such groups as subjects or viders (including institutions that did not re- track such progress; and insufficient data on such individuals.

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(3) MINORITY HEALTH DISPARITIES RE- Whereas, in addition to his service to the National Patient Safety Foundation as well SEARCH.—The term ‘‘minority health dispari- United States Government, Dr. Oppenheimer as by other public and private entities to de- ties research’’ means basic, clinical, behav- was the director of the Institute for Ad- velop methods for avoiding preventable inju- ioral and health services research on minor- vanced Study at Princeton University from ries and to assess the effectiveness of new ity health conditions (as defined in para- 1947 to 1965; techniques to increase patient safety; and graph (2)), including research to prevent, di- Whereas, in 1946, President Truman con- Whereas education of the public on med- agnose, and treat such conditions. ferred on Dr. Oppenheimer the Medal for ical errors and the factors that typically (4) MINORITY.—The terms ‘‘minority’’ and Merit ‘‘for exceptionally meritorious con- lead to medical errors empowers patients to ‘‘minorities’’ refer to individuals from a mi- duct in the performance of outstanding serv- be more effective partners with health care nority group. ice’’ as director of the Los Alamos Labora- providers in the battle against preventable (5) MINORITY GROUP.—The term ‘‘minority tory and for development of the atomic injuries from medical errors: Now, therefore, group’’ has the meaning given the term ‘‘ra- bomb; be it cial and ethnic minority group’’ in section Whereas, in 1963, President Lyndon John- Resolved, That the Senate— 1707 of the Public Health Service Act (42 son conferred on Dr. Oppenheimer the Enrico (1) designates the week of March 7 through U.S.C. 300u-6). Fermi Award ‘‘for contributions to theo- March 13, 2004, as ‘‘National Patient Safety (b) HEALTH DISPARITY POPULATIONS.—In retical physics as a teacher and originator of Awareness Week’’; and this Act, including the amendments made by ideas and for leadership of the Los Alamos (2) requests that the President issue a this Act: Laboratory and the atomic energy program proclamation calling upon the people of the (1) HEALTH DISPARITY POPULATION.—The during critical years’’; and United States to observe the week with ap- term ‘‘health disparity population’’ has the Whereas April 22, 2004, is the 100th anniver- propriate programs and activities. meaning given such term in section 903(d)(1) sary of Dr. Oppenheimer’s birth: Now, there- f of the Public Health Service Act (42 U.S.C. fore, be it 299a-1(d)(1)). Resolved, That the Senate— AMENDMENTS SUBMITTED AND (2) HEALTH DISPARITIES RESEARCH.—The (1) recognizes the loyal service of J. Robert PROPOSED term ‘‘health disparities research’’ shall in- Oppenheimer to the United States and the SA 2856. Mr. FRIST (for Mrs. HUTCHISON) clude basic, clinical, behavioral, and health outstanding contributions he made to theo- proposed an amendment to the bill H.R. 254, services research on health disparity popu- retical physics, the Los Alamos National to authorize the President of the United lations (including individual members and Laboratory, the development of nuclear en- States to agree to certain amendments to communities of such populations) that re- ergy, and the common defense and security the Agreement between the Government of lates to health disparities as defined under of the United States; and the United States of America and the Gov- paragraph (1), including the causes of such (2) calls on the Secretary of Energy to ob- ernment of the United Mexican States con- disparities and methods to prevent, diagnose, serve the 100th anniversary of the birth of J. cerning the establishment of a Border Envi- and treat such disparities. Robert Oppenheimer with appropriate cere- ronment Cooperation Commission and a monies, activities, or programs at the De- f North American Development Bank, and for partment of Energy and the Los Alamos Na- other purposes. SUBMITTED RESOLUTIONS tional Laboratory. SA 2857. Mr. FRIST (for Mr. EDWARDS (for himself and Mrs. DOLE)) proposed an amend- SENATE RESOLUTION 321—RECOG- SENATE RESOLUTION 320—DESIG- ment to the resolution S. Res. 307, honoring NIZING THE LOYAL SERVICE NATING THE WEEK OF MARCH 7 the county of Cumberland, North Carolina, AND OUTSTANDING CONTRIBU- THROUGH MARCH 13, 2004, AS its municipalities and community partners TIONS OF J. ROBERT ‘‘NATIONAL PATIENT SAFETY as they celebrate the 250th year of the exist- AWARENESS WEEK’’ ence of Cumberland County. OPPENHEIMER TO THE UNITED SA 2858. Mrs. FEINSTEIN submitted an STATES AND CALLING ON THE Mr. GRAHAM of Florida (for himself, amendment intended to be proposed by her SECRETARY OF ENERGY TO OB- Ms. SNOWE, Mr. GREGG, Mr. DODD, Mr. to the bill H.R. 1997, to amend title 18, SERVE THE 100TH ANNIVERSARY JEFFORDS, Mr. BREAUX, Mr. FRIST, and United States Code, and the Uniform Code of OF DR. OPPENHEIMER’S BIRTH Mr. ENZI) submitted the following reso- Military Justice to protect unborn children WITH APPROPRIATE PROGRAMS lution; which was considered and from assault and murder, and for other pur- AT THE DEPARTMENT OF EN- agreed to: poses; which was ordered to lie on the table. ERGY AND THE LOS ALAMOS NA- SA 2859. Mrs. MURRAY submitted an S. RES. 320 amendment intended to be proposed by her TIONAL LABORATORY Whereas patient safety is an issue of sig- to the bill H.R. 1997, supra; which was or- Mr. BINGAMAN (for himself, Mr. nificant importance to the United States; dered to lie on the table. Whereas 1 in every 5 citizens of the United DOMENICI, and Mrs. FEINSTEIN) sub- f mitted the following resolution; which States has experienced a medical error or was referred to the Committee on En- has a family member who has experienced a TEXT OF AMENDMENTS medical error; Mr. FRIST (for Mrs. ergy and Natural Resources: Whereas medical errors often have serious SA 2856. S. RES. 321 and profound consequences; HUTCHISON) proposed an amendment to Whereas, from March 1943 to October 1945, Whereas it is estimated that injuries from the bill H.R. 254, to authorize the J. Robert Oppenheimer was the first director preventable medical errors cost the United President of the United States to agree of the Los Alamos Laboratory, New Mexico, States economy between $17,000,000,000 and to certain amendment to the Agree- which was used to design and build the nu- $29,000,000,000 each year; ment between the Government of the clear weapons that ended the Second World Whereas more people die annually from United States of America and the Gov- War; medical errors than from automobile acci- ernment of the United Mexican States Whereas, following the end of the Second dents, breast cancer, and AIDS; concerning the establishment of a Bor- World War, Dr. Oppenheimer served as a Whereas increased patient and provider science adviser and consultant to each of the education and collaboration can help avoid der Environment Cooperation Commis- 3 principal committees planning for the post- medical errors; sion and a North American Develop- war control of nuclear energy, including the Whereas the Institute of Medicine has stat- ment Bank, and for other purposes; as Secretary of War’s Interim Committee on ed that a ‘‘critical component of a com- follows: Atomic Energy, the Secretary of State’s prehensive strategy to improve patient safe- Strike all after the enacting clause and in- Committee on Atomic Energy, and the ty is to create an environment that encour- sert the following: United Nations Atomic Energy Committee; ages organizations to identify errors, evalu- SECTION. 1. AUTHORITY TO AGREE TO CERTAIN Whereas, from 1947 to 1952, Dr. ate causes and take appropriate actions to AMENDMENTS TO THE BORDER EN- Oppenheimer was the first chairman of the improve performance in the future,’’ and fur- VIRONMENT COOPERATION AGREE- General Advisory Committee, which advised ther, that ‘‘a more conducive environment is MENT; GRANT AUTHORITY. the Atomic Energy Commission on scientific needed to encourage health care profes- (a) AMENDMENT AUTHORITY.—Part 2 of sub- and technical matters; sionals and organizations to identify, ana- title D of title V of Public Law 103–182 (22 Whereas, from 1947 to 1954, Dr. lyze, and report errors without threat of liti- U.S.C. 290m–290m-3) is amended by adding at Oppenheimer also served on defense policy gation and without compromising patients’ the end the following: committees, including the Committee on legal rights’’; ‘‘SEC. 545. AUTHORITY TO AGREE TO CERTAIN Atomic Energy of the Joint Research and Whereas better systems can be imple- AMENDMENTS TO THE BORDER EN- Development Board, the Science Advisory mented to reduce the factors that lead to VIRONMENT COOPERATION AGREE- Committee of the Office of Defense Mobiliza- medical errors; MENT. tion, and the Panel on Disarmament of the Whereas innovative educational and re- ‘‘The President may agree to amendments Department of State; search programs are being conducted by the to the Cooperation Agreement that—

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00048 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2803 ‘‘(1) enable the Bank to make grants and (4) The total of the paid-in capital, callable water management modeling, operational nonmarket rate loans out of its paid-in cap- capital, and retained earnings of the North and optimization studies to improve water ital resources with the approval of its Board; American Development Bank, and the uses conservation, and cross-border water ex- and of such amounts. changes consistent with treaties; and ‘‘(2) amend the definition of ‘border region’ (5) A description of any efforts and discus- (2) new water supply research and projects to include the area in the United States that sions between the United States and Mexican along the Mexico border in southern Cali- is within 100 kilometers of the international governments to expand the type of projects fornia and other eligible areas in the 4 boundary between the United States and which the North American Development United States border States to desalinate Mexico, and the area in Mexico that is with- Bank finances beyond environmental ocean seawater and brackish surface and in 300 kilometers of the international bound- projects. groundwater, and dispose of or manage the ary between the United States and Mexico.’’. (6) A description of any efforts and discus- brines resulting from desalination. (b) GRANT AUTHORITY.—Part 2 of subtitle D sions between the United States and Mexican SEC. 5. SENSE OF THE CONGRESS RELATING TO of title V of Public Law 103–182 (22 U.S.C. governments to improve the effectiveness of UNITED STATES SUPPORT FOR 290m–290m–3), as amended by subsection (a), the North American Development Bank. NADBANK PROJECTS FOR WHICH FI- is amended by adding at the end the fol- (7) The number and description of projects NANCE WATER CONSERVATION FOR lowing: IRRIGATORS AND AGRICULTURAL authorized under the Water Conservation In- PRODUCERS IN THE SOUTHWEST ‘‘SEC. 546. GRANTS OUT OF PAID-IN CAPITAL RE- vestment Fund of the North American Devel- UNITED STATES. SOURCES. opment Bank. (a) FINDINGS.—The Congress finds as fol- ‘‘(a) IN GENERAL.—The President shall in- SEC. 3. SENSE OF THE CONGRESS RELATING TO lows: struct the United States Federal Govern- UNITED STATES SUPPORT FOR (1) Irrigators and agricultural producers ment representatives on the Board of Direc- NADBANK PROJECTS WHICH FI- are suffering enormous hardships in the tors of the North American Development NANCE WATER CONSERVATION FOR southwest United States. The border States Bank to oppose any proposal where grants TEXAS IRRIGATORS AND AGRICUL- of California, Arizona, New Mexico, and out of the Bank’s paid-in capital resources, TURAL PRODUCERS IN THE LOWER Texas are suffering from one of the worst RIO GRANDE RIVER VALLEY. except for grants from paid-in capital au- droughts in history. In Arizona, this is the thorized for the community adjustment and (a) FINDINGS.—The Congress finds that— second driest period in recorded history and investment program under the Bank’s char- (1) Texas irrigators and agricultural pro- the worst since 1904. ter of 1993, would— ducers are suffering enormous hardships in (2) In spite of decades of water conserva- ‘‘(1) be made to a project that is not being the lower Rio Grande River valley because of tion in the southwest United States, irri- financed, in part, by loans; or Mexico’s failure to abide by the 1944 Water gated agriculture uses more than 60 percent ‘‘(2) account for more than 50 percent of Treaty entered into by the United States and of surface and ground water. the financing of any individual project. Mexico; (3) The most inadequate water supplies in ‘‘(b) EXCEPTION.— (2) over the last 10 years, Mexico has accu- the United States are in the Southwest, in- ‘‘(1) GENERAL RULE.—The requirements of mulated a 1,500,000-acre fee water debt to the cluding the lower Colorado River basin and subsection (a) shall not apply in cases United States which has resulted in a very the Great Plains River basins south of the where— minimal and inadequate irrigation water Platte River. In these areas, 70 percent of the ‘‘(A) the President determines there are ex- supply in Texas; water taken from the stream is not returned. ceptional economic circumstances for mak- (3) recent studies by Texas A&M Univer- (4) The amount of water being pumped out ing the grant and consults with the Com- sity show that water savings of 30 percent or of groundwater sources in many areas is mittee on Foreign Relations of the Senate more can be achieved by improvements in ir- greater than the amount being replenished, and the Committee on Financial Services of rigation system infrastructure such as canal thus depleting the groundwater supply. the House of Representatives; or lining and metering; (5) On August 20, 2002, the Board of the ‘‘(B)(i) the grant is being made for a (4) on August 20, 2002, the Board of the North American Development Bank agreed project that is so small that obtaining a loan North American Development Bank agreed to the creation in the bank of a Water Con- is impractical; and to the creation in the Bank of a Water Con- servation Investment Fund. ‘‘(ii) the grant does not exceed $250,000. servation Investment Fund, as required by (6) The Water Conservation Investment ‘‘(2) LIMITATION.—Not more than an aggre- Minute 308 to the 1944 Water Treaty, which Fund of the North American Development gate of $5,000,000 in grants may be made was an agreement signed by the United Bank stated that up to $80,000,000 would be under this subsection.’’. States and Mexico on June 28, 2002; and available for grant financing of water con- (c) CLERICAL AMENDMENT.—Section 1(b) of (5) the Water Conservation Investment servation projects, which grant funds would such public law is amended in the table of Fund of the North American Development be divided equally between the United States contents by inserting after the item relating Bank stated that up to $80,000,000 would be to section 544 the following: and Mexico. available for grant financing of water con- (b) SENSE OF THE CONGRESS.—It is the sense ‘‘Sec. 545. Authority to agree to certain servation projects, which grant funds would of the Congress that— amendments to the Border En- be divided equally between the United States (1) water conservation projects are eligible vironment Cooperation Agree- and Mexico. for funding from the North American Devel- ment. (b) SENSE OF THE CONGRESS.—It is the sense opment Bank under the Agreement Between ‘‘Sec. 546. Grants out of paid-in capital re- of the Congress that— the Government of the United States of sources.’’. (1) water conservation projects are eligible America and the Government of the United SEC. 2. ANNUAL REPORT. for funding from the North American Devel- Mexican States Concerning the Establish- The Secretary of the Treasury shall submit opment Bank under the Agreement Between ment of a Border Environment Cooperation annually to the Committee on Financial the Government of the United States of Commission and a North American Develop- Services of the House of Representatives and America and the Government of the United ment Bank; the Committee on Foreign Relations of the Mexican States Concerning the Establish- (2) the Board of the North American Devel- Senate a written report on the North Amer- ment of a Border Environment Cooperation opment Bank should support qualified water ican Development Bank, which addresses the Commission and a North American Develop- conservation projects that can assist following issues: ment Bank; and irrigators and agricultural producers; and (1) The number and description of the (2) the Board of the North American Devel- (3) the Board of the North American Devel- projects that the North American Develop- opment Bank should support qualified water opment Bank should take into consideration ment Bank has approved. The description conservation projects which can assist Texas the needs of all of the border states before shall include the level of market-rate loans, irrigators and agricultural producers in the approving funding for water projects, and non-market-rate loans, and grants used in an lower Rio Grande River Valley. strive to fund water conservation projects in approved project, and a description of wheth- SEC. 4. SENSE OF THE CONGRESS RELATING TO each of the border states. er an approved project is located within 100 UNITED STATES SUPPORT FOR SEC. 6. SENSE OF THE CONGRESS REGARDING FI- kilometers of the international boundary be- NADBANK PROJECTS WHICH FI- NANCING OF PROJECTS. tween the United States and Mexico or with- NANCE WATER CONSERVATION IN (a) IN GENERAL.—It is the sense of the Con- in 300 kilometers of the international bound- THE SOUTHERN CALIFORNIA AREA. gress that the Board of the North American ary between the United States and Mexico. It is the sense of the Congress that the Development Bank should support the fi- (2) The number and description of the ap- Board of the North American Development nancing of projects, on both sides of the proved projects in which money has been dis- Bank should support— international boundary between the United persed. (1) the development of qualified water con- States and Mexico, that address coastal (3) The number and description of the servation projects in southern California and issues and the problem of pollution in both projects which have been certified by the other eligible areas in the 4 United States countries having an environmental impact Border Environment Cooperation Commis- border States, including the conjunctive use along the Pacific Ocean and Gulf of Mexico sion, but yet not financed by the North and storage of surface and ground water, de- shores of the United States and Mexico. American Development Bank, and the rea- livery system conservation, the re-regula- (b) AIR POLLUTION.—It is the sense of the sons that the projects have not yet been fi- tion of reservoirs, improved irrigation prac- Congress that the Board of the North Amer- nanced. tices, wastewater reclamation, regional ican Development Bank should support the

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Mr. FRIST (for Mr. EDWARDS 1114, 1116, 1118, 1119, 1120, 1121, 1153(a), 1201(a), ‘‘(3) of any woman with respect to her (for himself and Mrs. DOLE)) proposed 1203, 1365(a), 1501, 1503, 1505, 1512, 1513, 1751, pregnancy.’’. an amendment to the resolution S. 1864, 1951, 1952(a)(1)(B), 1952(a)(2)(B), (b) CLERICAL AMENDMENT.—The table of Res. 307, honoring the county of Cum- 1952(a)(3)(B), 1958, 1959, 1992, 2113, 2114, 2116, sections at the beginning of subchapter X of berland, North Carolina, its munici- 2118, 2119, 2191, 2231, 2241(a), 2245, 2261, 2261A, chapter 47 of title 10, United States Code (the 2280, 2281, 2332, 2332a, 2332b, 2340A, and 2441 of Uniform Code of Military Justice), is amend- palities and community partners as this title. ed by inserting after the item relating to they celebrate the 250th year of the ex- ‘‘(2) Section 408(e) of the Controlled Sub- section 919 the following: istence of Cumberland County; as fol- stances Act of 1970 (21 U.S.C. 848(e)). ‘‘919a. Causing termination of pregnancy and lows: ‘‘(3) Section 202 of the Atomic Energy Act termination of normal course of Strike all after the resolved clause and in- of 1954 (42 U.S.C. 2283). pregnancy.’’. sert the following: ‘‘(c) Subsection (a) does not permit pros- That the Senate commemorates the 250th ecution— SA 2859. Mrs. MURRAY submitted an Anniversary Celebration of the county of ‘‘(1) for conduct relating to an abortion for amendment intended to be proposed by which the consent of the pregnant woman Cumberland, North Carolina, its municipali- her to the bill H.R. 1997, to amend title ties, and other community partners. has been obtained or for which such consent is implied by law in a medical emergency; 18, United States Code, and the Uni- SA 2858. Mrs. FEINSTEIN submitted ‘‘(2) for conduct relating to any medical form Code of Military Justice to pro- an amendment intended to be proposed treatment of the pregnant woman, or mat- tect unborn children from assault and by her to the bill H.R. 1997, to amend ters related to the pregnancy; or murder, and for other purposes; which title 18, United States Code, and the ‘‘(3) of any woman with respect to her was ordered to lie on the table; as fol- pregnancy.’’. lows: Uniform Code of Military Justice to (b) CLERICAL AMENDMENT.—The table of protect unborn children from assault chapters for part 1 of title 18, United States On page 7, strike line 8 and all that follows and murder, and for other purposes; Code, is amended by inserting after the item and insert the following: which was ordered to lie on the table; relating to chapter 90 the following: (b) CLERICAL AMENDMENT.—The table of sections at the beginning of subchapter X of ‘‘90A. Protection of pregnant women 1841’’. as follows: chapter 47 of title 10, United States Code (the SEC. 3. MILITARY JUSTICE SYSTEM. SECTION 1. SHORT TITLE. Uniform Code of Military Justice), is amend- (a) PROTECTION OF PREGNANT WOMEN.—Sub- This Act may be cited as the ‘‘Motherhood ed by inserting after the item relating to chapter X of chapter 47 of title 10, United Protection Act’’. section 919 the following: States Code (the Uniform Code of Military SEC. 2. PROTECTION OF PREGNANT WOMEN. Justice), is amended by inserting after sec- ‘‘919a. 119a. Causing death of or bodily injury (a) IN GENERAL.—Title 18, United States tion 919 (article 119) the following: to unborn child.’’. Code, is amended by inserting after chapter DIVISION II—DOMESTIC VIOLENCE 90 the following: ‘‘§ Sec. 919a. Art. 119a. Causing termination of pregnancy or interruption of normal PREVENTION ‘‘CHAPTER 90A—PROTECTION OF course of pregnancy SEC. 1. SHORT TITLE; TABLE OF CONTENTS. PREGNANT WOMEN ‘‘(a)(1) Any person subject to this chapter (a) SHORT TITLE.—This division may be ‘‘CHAPTER 90A—PROTECTION OF who engages in conduct that violates any of cited as the ‘‘Paul and Sheila Wellstone Do- PREGNANT WOMEN the provisions of law listed in subsection (b) mestic Violence Prevention Act’’. ‘‘Sec. and thereby causes the termination of a (b) TABLE OF CONTENTS.—The table of con- ‘‘1841. Causing termination of pregnancy or pregnancy or the interruption of the normal tents for this division is as follows: interruption of the normal course of pregnancy, including termination Sec. 1. Short title; table of contents. course of pregnancy. of the pregnancy other than by live birth, is TITLE I—VICTIMS’ ECONOMIC SECURITY guilty of a separate offense under this sec- ‘‘§ 1841. Causing termination of pregnancy or AND SAFETY interruption of the normal course of preg- tion. Sec. 101. Short title. nancy ‘‘(2)(A) Except as otherwise provided in this paragraph, the punishment for that sep- Sec. 102. Findings. ‘‘(a)(1) Any person who engages in conduct arate offense is the same as the punishment Sec. 103. Definitions. that violates any of the provisions of law for that conduct under this chapter had that Subtitle A—Entitlement to Emergency listed in subsection (b) and thereby causes injury or death occurred to the pregnant Leave for Addressing Domestic or Sexual the termination of a pregnancy or the inter- woman. Violence ruption of the normal course of pregnancy, ‘‘(B) An offense under this section does not Sec. 111. Purposes. including termination of the pregnancy require proof that— other than by live birth is guilty of a sepa- Sec. 112. Entitlement to emergency leave for ‘‘(i) the person engaging in the conduct had addressing domestic or sexual rate offense under this section. knowledge or should have had knowledge ‘‘(2)(A) Except as otherwise provided in violence. that the victim of the underlying offense was Sec. 113. Existing leave usable for address- this paragraph, the punishment for that sep- pregnant; or arate offense is the same as the punishment ing domestic or sexual violence. ‘‘(ii) the defendant intended to cause the Sec. 114. Emergency benefits. provided for that conduct under Federal law termination or interruption of the normal had that injury or death occurred to the Sec. 115. Effect on other laws and employ- course of pregnancy. ment benefits. pregnant woman. ‘‘(C) If the person engaging in the conduct ‘‘(B) An offense under this section does not Sec. 116. Conforming amendment. thereby intentionally causes or attempts to Sec. 117. Effective date. require proof that— cause the termination of or the interruption ‘‘(i) the person engaging in the conduct had of the pregnancy, that persons shall be pun- Subtitle B—Entitlement to Unemployment knowledge or should have had knowledge ished as provided under section 918, 919, or Compensation for Victims of Domestic Vi- that the victim of the underlying offense was 880 of this title (article 118, 119, or 80), as ap- olence, Dating Violence, Sexual Assault, or pregnant; or plicable, for intentionally causing the termi- Stalking ‘‘(ii) the defendant intended to cause the nation of or interruption of the pregnancy or Sec. 121. Purposes. termination or interruption of the normal attempting to do so, instead of the penalties Sec. 122. Unemployment compensation and course of pregnancy. that would otherwise apply under subpara- training provisions. ‘‘(C) If the person engaging in the conduct graph (A). Subtitle C—Victims’ Employment thereby intentionally causes or attempts to ‘‘(D) Notwithstanding any other provision Sustainability cause the termination of or the interruption of law, the death penalty shall not be im- Sec. 131. Short title. of the pregnancy, that person shall be pun- posed for an offense under this section. Sec. 132. Purposes. ished as provided under section 1111, 1112, or ‘‘(b) The provisions referred to in sub- Sec. 133. Prohibited discriminatory acts. 1113, as applicable, for intentionally termi- section (a) are sections 918, 919(a), 919(b)(2), Sec. 134. Enforcement. nating or interrupting the pregnancy or at- 920(a), 922, 924, 926, and 928 of this title (arti- Sec. 135. Attorney’s fees. tempting to do so, instead of the penalties cles 111, 118, 119(a), 119(b)(2), 120(a), 122, 124, that would otherwise apply under subpara- 126, and 128). Subtitle D—Victims of Abuse Insurance graph (A). ‘‘(c) Subsection (a) does not permit pros- Protection ‘‘(D) Notwithstanding any other provision ecution— Sec. 141. Short title. of law, the death penalty shall not be im- ‘‘(1) for conduct relating to an abortion for Sec. 142. Definitions. posed for an offense under this section. which the consent of the pregnant woman Sec. 143. Discriminatory acts prohibited.

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Sec. 144. Insurance protocols for subjects of (1) Domestic violence crimes account for (14) More than 1⁄2 of women receiving wel- abuse. approximately 15 percent of total crime fare have been victims of domestic violence Sec. 145. Reasons for adverse actions. costs in the United States each year. as adults and between 1⁄4 and 1⁄3 reported Sec. 146. Life insurance. (2) Violence against women has been re- being abused in the last year. Sec. 147. Subrogation without consent pro- ported to be the leading cause of physical in- (15) Sexual assault, whether occurring in hibited. jury to women. Such violence has a dev- or out of the workplace, can impair an em- Sec. 148. Enforcement. astating impact on women’s physical and ployee’s work performance, require time Sec. 149. Effective date. emotional health and financial security. away from work, and undermine the employ- Subtitle E—Workplace Safety Program Tax (3) According to recent government sur- ee’s ability to maintain a job. Almost 50 per- Credit veys, from 1993 through 1998 the average an- cent of sexual assault survivors lose their Sec. 151. Credit for costs to employers of im- nual number of violent victimizations com- jobs or are forced to quit in the aftermath of plementing workplace safety mitted by intimate partners was 1,082,110, 87 the assaults. percent of which were committed against programs. (16) More than 1⁄4 of stalking victims report Subtitle F—National Clearinghouse on Do- women. Female murder victims were sub- losing time from work due to the stalking mestic and Sexual Violence in the Work- stantially more likely than male murder vic- and 7 percent never return to work. place Grant tims to have been killed by an intimate part- (17)(A) According to the National Institute ner. About 1⁄3 of female murder victims, and Sec. 161. National clearinghouse on domes- of Justice, crime costs an estimated about 4 percent of male murder victims, were tic and sexual violence in the $450,000,000,000 annually in medical expenses, killed by an intimate partner. workplace grant. lost earnings, social service costs, pain, suf- (4) According to recent government esti- Subtitle G—Severability fering, and reduced quality of life for vic- mates, approximately 987,400 rapes occur an- tims, which harms the Nation’s productivity Sec. 171. Severability. nually in the United States, 89 percent of the and drains the Nation’s resources. rapes perpetrated against female victims. TITLE II—CHILDREN WHO WITNESS (B) Violent crime accounts for (5) Approximately 10,200,000 people have DOMESTIC VIOLENCE $426,000,000,000 per year of this amount. been stalked at some time in their lives. Sec. 201. Short title. (C) Rape exacts the highest costs per vic- Four out of every 5 stalking victims are Sec. 202. Findings. tim of any criminal offense, and accounts for women. Stalkers harass and terrorize their Sec. 203. Purpose. $127,000,000,000 per year of the amount de- victims by spying on the victims, standing Sec. 204. Definitions. scribed in subparagraph (A). Sec. 205. Services for children exposed to do- outside their places of work or homes, mak- ing unwanted phone calls, sending or leaving (18) Violent crime results in wage losses mestic violence. equivalent to 1 percent of all United States Sec. 206. Grants to combat the impact of ex- unwanted letters or items, or vandalizing earnings, and causes 3 percent of the Na- periencing or witnessing domes- property. tion’s medical spending and 14 percent of the tic violence on elementary and (6) Employees in the United States who Nation’s injury-related medical spending. secondary school children. have been victims of domestic violence, dat- (19) The Bureau of National Affairs has es- Sec. 207. Grants for training and collabora- ing violence, sexual assault, or stalking too tion among child welfare agen- often suffer adverse consequences in the timated that domestic violence costs United cies, domestic violence and sex- workplace as a result of their victimization. States employers between $3,000,000,000 and ual assault service providers, (7) Victims of domestic violence, dating vi- $5,000,000,000 annually in lost time and pro- the courts and law enforcement olence, sexual assault, and stalking are par- ductivity. Other reports have estimated that agencies. ticularly vulnerable to changes in employ- domestic violence costs United States em- Sec. 208. Multisystem interventions for chil- ment, pay, and benefits as a result of their ployers $13,000,000,000 annually. dren who have been exposed to victimizations, and are, therefore, in need of (20) United States medical costs for domes- domestic violence. legal protection. tic violence have been estimated to be Sec. 209. Crisis nursery demonstration (8) The prevalence of domestic violence, $31,000,000,000 per year. grants program. dating violence, sexual assault, stalking, and (21) Surveys of business executives and cor- Sec. 210. Research and data collection on the other violence against women at work is dra- porate security directors also underscore the impact of domestic violence on matic. Approximately 11 percent of all rapes heavy toll that workplace violence takes on children. occur in the workplace. About 50,500 individ- women, businesses, and interstate commerce TITLE III—DOMESTIC VIOLENCE uals, 83 percent of whom are women, were in the United States. SCREENING, TREATMENT, AND PRE- raped or sexually assaulted in the workplace (22) Ninety-four percent of corporate secu- VENTION each year from 1992 through 1996. Half of all rity and safety directors at companies na- female victims of violent workplace crimes Sec. 301. Short title. tionwide rank domestic violence as a high know their attackers. Nearly 1 out of 10 vio- Sec. 302. Findings. security concern. lent workplace incidents are committed by (23) Forty-nine percent of senior executives Subtitle A—Research on Health and Family partners or spouses. Women who work for recently surveyed said domestic violence has Violence State or local governments suffer a higher a harmful effect on their company’s produc- Sec. 311. Health research on family violence. incidence of workplace assaults, including tivity, 47 percent said domestic violence neg- Subtitle B—Health Professional Education rapes, than women who work in the private atively affects attendance, and 44 percent Programs sector. said domestic violence increases health care Sec. 321. Health professional education (9) Homicide is the leading cause of death costs. grants. for women on the job. Husbands, boyfriends, (24) Only 16 States have laws that explic- and ex-partners commit 15 percent of work- Subtitle C—Grants to Foster Public Health itly provide unemployment insurance to do- place homicides against women. mestic violence victims in certain cir- Responses to Domestic Violence (10) Studies indicate that between 35 and 56 cumstances, and none of the laws explicitly Sec. 331. Grants. percent of employed battered women sur- cover victims of sexual assault or stalking. veyed were harassed at work by their abu- Subtitle D—Provision of Services Under (25) Only 2 States provide domestic vio- sive partners. Federal Health Programs lence victims with leave from work to go to Sec. 341. Optional coverage of domestic vio- (11) According to a 1998 report of the Gen- 1 1 court, to the doctor, or to take other steps to lence identification and treat- eral Accounting Office, between ⁄4 and ⁄2 of domestic violence victims surveyed in 3 address the domestic violence in their lives, ment under the medicaid pro- and only Maine provides such leave to vic- gram. studies reported that the victims lost a job due, at least in part, to domestic violence. tims of sexual assault and stalking. Sec. 342. Federal Employees Health Benefits (26) No States prohibit employment dis- Program. (12) Women who have experienced domestic violence or dating violence are more likely crimination against victims of domestic vio- Sec. 343. Training grants under the Maternal lence, sexual assault, or stalking. New York and Child Health Services than other women to be unemployed, to suf- City is the only jurisdiction with a law pro- Block Grant. fer from health problems that can affect em- hibiting employment discrimination against Sec. 344. Domestic violence identification ployability and job performance, to report actual or perceived victims of domestic vio- and treatment services at com- lower personal income, and to rely on wel- lence. munity health centers. fare. (13) Abusers frequently seek to control (27) Employees, including individuals par- TITLE I—VICTIMS’ ECONOMIC SECURITY their partners by actively interfering with ticipating in welfare to work programs, may AND SAFETY their ability to work, including preventing need to take time during business hours to— SEC. 101. SHORT TITLE. their partners from going to work, harassing (A) obtain orders of protection; This title may be cited as the ‘‘Victims’ their partners at work, limiting the access of (B) seek medical or legal assistance, coun- Economic Security and Safety Act’’. their partners to cash or transportation, and seling, or other services; or SEC. 102. FINDINGS. sabotaging the child care arrangements of (C) look for housing in order to escape Congress makes the following findings: their partners. from domestic violence.

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(28) Domestic and sexual violence victims (10) EMPLOYER.—The term ‘‘employer’’— household member has been a victim of do- have been subjected to discrimination by pri- (A) means any person engaged in com- mestic or sexual violence. vate and State employers, including dis- merce or in any industry or activity affect- (23) VICTIM SERVICES ORGANIZATION.—The crimination motivated by sex and ing commerce who employs 15 or more indi- term ‘‘victim services organization’’ means a stereotypical notions about women. viduals; and nonprofit, nongovernmental organization (29) Existing Federal law does not explic- (B) includes any person acting directly or that provides assistance to victims of domes- itly— indirectly in the interest of an employer in tic or sexual violence or to advocates for (A) authorize victims of domestic violence, relation to an employee, and includes a pub- such victims, including a rape crisis center, dating violence, sexual assault, or stalking lic agency, but does not include any labor or- an organization carrying out a domestic vio- to take leave from work to seek legal assist- ganization (other than when acting as an lence program, an organization operating a ance and redress, counseling, or assistance employer) or anyone acting in the capacity shelter or providing counseling services, or with safety planning activities; of officer or agent of such labor organization. an organization providing assistance through (B) address the eligibility of victims of do- (11) EMPLOYMENT BENEFITS.—The term the legal process. mestic violence, dating violence, sexual as- ‘‘employment benefits’’ means all benefits Subtitle A—Entitlement to Emergency Leave sault, or stalking for unemployment com- provided or made available to employees by for Addressing Domestic or Sexual Violence pensation; or an employer, including group life insurance, (C) prohibit employment discrimination SEC. 111. PURPOSES. health insurance, disability insurance, sick The purposes of this subtitle are, pursuant against actual or perceived victims of do- leave, annual leave, educational benefits, mestic violence, dating violence, sexual as- to the affirmative power of Congress to enact and pensions, regardless of whether such sault, or stalking. legislation under the portions of section 8 of benefits are provided by a practice or written article I of the Constitution relating to pro- SEC. 103. DEFINITIONS. policy of an employer or through an ‘‘em- viding for the general welfare and to regula- In this title, except as otherwise expressly ployee benefit plan’’, as defined in section provided: tion of commerce among the several States, 3(3) of the Employee Retirement Income Se- and under section 5 of the 14th amendment (1) COMMERCE.—The terms ‘‘commerce’’ curity Act of 1974 (29 U.S.C. 1002(3)). and ‘‘industry or activity affecting com- to the Constitution— (12) PARENT; SON OR DAUGHTER.—The terms merce’’ have the meanings given the terms (1) to promote the national interest in re- ‘‘parent’’ and ‘‘son or daughter’’ have the in section 101 of the Family and Medical ducing domestic violence, dating violence, meanings given the terms in section 101 of Leave Act of 1993 (29 U.S.C. 2611). sexual assault, and stalking by enabling vic- the Family and Medical Leave Act of 1993 (29 (2) COURSE OF CONDUCT.—The term ‘‘course tims of domestic or sexual violence to main- U.S.C. 2611). of conduct’’ means a course of repeatedly tain the financial independence necessary to ERSON.—The term ‘‘person’’ has the maintaining a visual or physical proximity (13) P leave abusive situations, achieve safety, and to a person or conveying verbal or written meaning given the term in section 3 of the minimize the physical and emotional inju- threats, including threats conveyed through Fair Labor Standards Act of 1938 (29 U.S.C. ries from domestic or sexual violence, and to electronic communications, or threats im- 203). reduce the devastating economic con- plied by conduct. (14) PUBLIC AGENCY.—The term ‘‘public sequences of domestic or sexual violence to agency’’ has the meaning given the term in (3) DATING VIOLENCE.—The term ‘‘dating vi- employers and employees; olence’’ has the meaning given the term in section 3 of the Fair Labor Standards Act of (2) to promote the national interest in en- section 826 of the Higher Education Amend- 1938 (29 U.S.C. 203). suring that victims of domestic or sexual vi- ments of 1998 (20 U.S.C. 1152). (15) PUBLIC ASSISTANCE.—The term ‘‘public olence can recover from and cope with the ef- (4) DOMESTIC OR SEXUAL VIOLENCE.—The assistance’’ includes cash, food stamps, med- fects of such violence, and participate in term ‘‘domestic or sexual violence’’ means ical assistance, housing assistance, and other criminal and civil justice processes, without domestic violence, dating violence, sexual benefits provided on the basis of income by a fear of adverse economic consequences from assault, or stalking. public agency. their employers; (5) DOMESTIC VIOLENCE.—The term ‘‘domes- (16) REDUCED LEAVE SCHEDULE.—The term (3) to ensure that victims of domestic or tic violence’’ has the meaning given the term ‘‘reduced leave schedule’’ means a leave sexual violence can recover from and cope in section 826 of the Higher Education schedule that reduces the usual number of with the effects of such violence, and partici- Amendments of 1998 (20 U.S.C. 1152). hours per workweek, or hours per workday, pate in criminal and civil justice processes, (6) DOMESTIC VIOLENCE COALITION.—The of an employee. without fear of adverse economic con- term ‘‘domestic violence coalition’’ means a (17) REPEATEDLY.—The term ‘‘repeatedly’’ sequences with respect to public benefits; nonprofit, nongovernmental membership or- means on 2 or more occasions. (4) to promote the purposes of the 14th ganization that— (18) SECRETARY.—The term ‘‘Secretary’’ amendment by preventing sex-based dis- (A) consists of the entities carrying out a means the Secretary of Labor. crimination and discrimination against vic- majority of the domestic violence programs (19) SEXUAL ASSAULT.—The term ‘‘sexual tims of domestic and sexual violence in em- carried out within a State; assault’’ has the meaning given the term in ployment leave, by addressing the failure of (B) collaborates and coordinates activities section 826 of the Higher Education Amend- existing laws to protect the employment with Federal, State, and local entities to fur- ments of 1998 (20 U.S.C. 1152). rights of victims of domestic or sexual vio- ther the purposes of domestic violence inter- (20) SEXUAL ASSAULT COALITION.—The term lence, by protecting their civil and economic vention and prevention; and ‘‘sexual assault coalition’’ means a non- rights, and by furthering the equal oppor- (C) among other activities, provides train- profit, nongovernmental membership organi- tunity of women for economic self-suffi- ing and technical assistance to entities car- zation that— ciency and employment free from discrimi- rying out domestic violence programs within (A) consists of the entities carrying out a nation; a State, territory, political subdivision, or majority of the sexual assault programs car- (5) to minimize the negative impact on area under Federal authority. ried out within a State; interstate commerce from dislocations of (7) ELECTRONIC COMMUNICATIONS.—The term (B) collaborates and coordinates activities employees and harmful effects on produc- ‘‘electronic communications’’ includes com- with Federal, State, and local entities to fur- tivity, employment, health care costs, and munications via telephone, mobile phone, ther the purposes of sexual assault interven- employer costs, caused by domestic or sexual computer, e-mail, video recorder, fax ma- tion and prevention; and violence, including intentional efforts to chine, telex, or pager. (C) among other activities, provides train- frustrate women’s ability to participate in (8) EMPLOY; STATE.—The terms ‘‘employ’’ ing and technical assistance to entities car- employment and interstate commerce; and and ‘‘State’’ have the meanings given the rying out sexual assault programs within a (6) to accomplish the purposes described in terms in section 3 of the Fair Labor Stand- State, territory, political subdivision, or paragraphs (1) through (5) by— ards Act of 1938 (29 U.S.C. 203). area under Federal authority. (A) entitling employed victims of domestic (9) EMPLOYEE.— (21) STALKING.—The term ‘‘stalking’’ or sexual violence to take leave to seek med- (A) IN GENERAL.—The term ‘‘employee’’ means engaging in a course of conduct di- ical help, legal assistance, counseling, safety means any person employed by an employer. rected at a specific person that would cause planning, and other assistance without pen- In the case of an individual employed by a a reasonable person to suffer substantial alty from their employers; and public agency, such term means an indi- emotional distress or to fear bodily injury, (B) prohibiting employers from discrimi- vidual employed as described in section 3(e) sexual assault, or death to the person, or the nating against actual or perceived victims of of the Fair Labor Standards Act of 1938 (29 person’s spouse, parent, or son or daughter, domestic or sexual violence, in a manner U.S.C. 203(e)). or any other person who regularly resides in that accommodates the legitimate interests (B) BASIS.—The term includes a person em- the person’s household, if the conduct causes of employers and protects the safety of all ployed as described in subparagraph (A) on a the specific person to have such distress or persons in the workplace. full- or part-time basis, for a fixed time pe- fear. SEC. 112. ENTITLEMENT TO EMERGENCY LEAVE riod, on a temporary basis, pursuant to a de- (22) VICTIM OF DOMESTIC OR SEXUAL VIO- FOR ADDRESSING DOMESTIC OR tail, as an independent contractor, or as a LENCE.—The term ‘‘victim of domestic or SEXUAL VIOLENCE. participant in a work assignment as a condi- sexual violence’’ includes an individual who (a) LEAVE REQUIREMENT.— tion of receipt of Federal or State income- has been a victim of domestic or sexual vio- (1) BASIS.—An employee who is a victim of based public assistance. lence and an individual whose family or domestic or sexual violence may take leave

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from work to address domestic or sexual vio- (C) LIMITATIONS.—Nothing in this sub- addressing domestic or sexual violence and lence, by— section shall be construed to entitle any re- the effects of that violence; (A) seeking medical attention for, or re- stored employee to— (III) a police or court record; or covering from, physical or psychological in- (i) the accrual of any seniority or employ- (IV) other corroborating evidence. juries caused by domestic or sexual violence; ment benefits during any period of leave; or (D) CONFIDENTIALITY.—All information pro- (B) obtaining services from a victim serv- (ii) any right, benefit, or position of em- vided to the employer pursuant to subpara- ices organization; ployment other than any right, benefit, or graph (C), including a statement of the em- (C) obtaining psychological or other coun- position to which the employee would have ployee or any other documentation, record, seling for the employee or the employee’s been entitled had the employee not taken or corroborating evidence, and the fact that parent or son or daughter; the leave. the employee is not returning to work be- (D) participating in safety planning, tem- (D) CONSTRUCTION.—Nothing in this para- cause of a reason described in subclause (I) porarily or permanently relocating, or tak- graph shall be construed to prohibit an em- or (II) of subparagraph (B)(ii) shall be re- ing other actions to increase the safety of ployer from requiring an employee on leave tained in the strictest confidence by the em- the employee or the employee’s parent or under this section to report periodically to ployer, except to the extent that disclosure son or daughter from future domestic or sex- the employer on the status and intention of is— ual violence or ensure economic security; or the employee to return to work. (i) requested or consented to by the em- (E) seeking legal assistance or remedies to (2) EXEMPTION CONCERNING CERTAIN HIGHLY ployee; or ensure the health and safety of the employee COMPENSATED EMPLOYEES.— (ii) otherwise required by applicable Fed- or the employee’s parent or son or daughter, (A) DENIAL OF RESTORATION.—An employer eral or State law. including preparing for or participating in may deny restoration under paragraph (1) to (f) PROHIBITED ACTS.— any civil or criminal legal proceeding related any employee described in subparagraph (B) (1) INTERFERENCE WITH RIGHTS.— to or derived from domestic or sexual vio- if— (A) EXERCISE OF RIGHTS.—It shall be unlaw- lence. (i) such denial is necessary to prevent sub- ful for any employer to interfere with, re- (2) PERIOD.—An employee may take not stantial and grievous economic injury to the strain, or deny the exercise of or the attempt more than 30 days of leave, as described in operations of the employer; to exercise, any right provided under this paragraph (1), in any 12-month period. (ii) the employer notifies the employee of section. MPLOYER DISCRIMINATION (3) SCHEDULE.—Leave described in para- the intent of the employer to deny restora- (B) E .—It shall be graph (1) may be taken intermittently or on tion on such basis at the time the employer unlawful for any employer to discharge or a reduced leave schedule. determines that such injury would occur; harass any individual, or otherwise discrimi- (b) NOTICE.—The employee shall provide and nate against any individual with respect to the employer with reasonable notice of the (iii) in any case in which the leave has compensation, terms, conditions, or privi- employee’s intention to take the leave, un- commenced, the employee elects not to re- leges of employment of the individual (in- less providing such notice is not practicable. turn to employment after receiving such no- cluding retaliation in any form or manner) (c) CERTIFICATION.— tice. because the individual— (1) IN GENERAL.—The employer may require (B) AFFECTED EMPLOYEES.—An employee (i) exercised any right provided under this the employee to provide certification to the referred to in subparagraph (A) is a salaried section; or employer, within a reasonable period after employee who is among the highest paid 10 (ii) opposed any practice made unlawful by the employer requires the certification, percent of the employees employed by the this section. that— employer within 75 miles of the facility at (C) PUBLIC AGENCY SANCTIONS.—It shall be (A) the employee is a victim of domestic or which the employee is employed. unlawful for any public agency to deny, re- sexual violence; and (3) MAINTENANCE OF HEALTH BENEFITS.— duce, or terminate the benefits of, otherwise (B) the leave is for 1 of the purposes enu- (A) COVERAGE.—Except as provided in sub- sanction, or harass any individual, or other- merated in subsection (a)(1). paragraph (B), during any period that an em- wise discriminate against any individual (2) CONTENTS.—An employee may satisfy ployee takes leave under this section, the with respect to the amount, terms, or condi- the certification requirement of paragraph employer shall maintain coverage under any tions of public assistance of the individual (1) by providing to the employer— group health plan (as defined in section (including retaliation in any form or man- (A) a sworn statement of the employee; 5000(b)(1) of the Internal Revenue Code of ner) because the individual— (B) documentation from an employee, 1986) for the duration of such leave at the (i) exercised any right provided under this agent, or volunteer of a victim services orga- level and under the conditions coverage section; or nization, an attorney, a member of the cler- would have been provided if the employee (ii) opposed any practice made unlawful by gy, or a medical or other professional, from had continued in employment continuously this section. whom the employee has sought assistance in for the duration of such leave. (2) INTERFERENCE WITH PROCEEDINGS OR IN- addressing domestic or sexual violence and (B) FAILURE TO RETURN FROM LEAVE.—The QUIRIES.—It shall be unlawful for any person the effects of the violence; employer may recover the premium that the to discharge or in any other manner dis- (C) a police or court record; or employer paid for maintaining coverage for criminate (as described in subparagraph (B) (D) other corroborating evidence. the employee under such group health plan or (C) of paragraph (1)) against any indi- (d) CONFIDENTIALITY.—All information pro- during any period of leave under this section vidual because such individual— vided to the employer pursuant to subsection if— (A) has filed any charge, or has instituted (b) or (c), including a statement of the em- (i) the employee fails to return from leave or caused to be instituted any proceeding, ployee or any other documentation, record, under this section after the period of leave to under or related to this section; or corroborating evidence, and the fact that which the employee is entitled has expired; (B) has given, or is about to give, any in- the employee has requested or obtained and formation in connection with any inquiry or leave pursuant to this section, shall be re- (ii) the employee fails to return to work proceeding relating to any right provided tained in the strictest confidence by the em- for a reason other than— under this section; or ployer, except to the extent that disclosure (I) the continuation, recurrence, or onset (C) has testified, or is about to testify, in is— of domestic or sexual violence, that entitles any inquiry or proceeding relating to any (1) requested or consented to by the em- the employee to leave pursuant to this sec- right provided under this section. ployee; or tion; or (g) ENFORCEMENT.— (2) otherwise required by applicable Fed- (II) other circumstances beyond the con- (1) CIVIL ACTION BY AFFECTED INDIVID- eral or State law. trol of the employee. UALS.— (e) EMPLOYMENT AND BENEFITS.— (C) CERTIFICATION.— (A) LIABILITY.—Any employer or public (1) RESTORATION TO POSITION.— (i) ISSUANCE.—An employer may require an agency that violates subsection (f) shall be (A) IN GENERAL.—Except as provided in employee who claims that the employee is liable to any individual affected— paragraph (2), any employee who takes leave unable to return to work because of a reason (i) for damages equal to— under this section for the intended purpose described in subclause (I) or (II) of subpara- (I) the amount of— of the leave shall be entitled, on return from graph (B)(ii) to provide, within a reasonable (aa) any wages, salary, employment bene- such leave— period after making the claim, certification fits, public assistance, or other compensa- (i) to be restored by the employer to the to the employer that the employee is unable tion denied or lost to such individual by rea- position of employment held by the em- to return to work because of that reason. son of the violation; or ployee when the leave commenced; or (ii) CONTENTS.—An employee may satisfy (bb) in a case in which wages, salary, em- (ii) to be restored to an equivalent position the certification requirement of clause (i) by ployment benefits, public assistance, or with equivalent employment benefits, pay, providing to the employer— other compensation has not been denied or and other terms and conditions of employ- (I) a sworn statement of the employee; lost to the individual, any actual monetary ment. (II) documentation from an employee, losses sustained by the individual as a direct (B) LOSS OF BENEFITS.—The taking of leave agent, or volunteer of a victim services orga- result of the violation; under this section shall not result in the loss nization, an attorney, a member of the cler- (II) the interest on the amount described in of any employment benefit accrued prior to gy, or a medical or other professional, from subclause (I) calculated at the prevailing the date on which the leave commenced. whom the employee has sought assistance in rate; and

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00053 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2808 CONGRESSIONAL RECORD — SENATE March 12, 2004 (III) an additional amount as liquidated subsection (f), such action may be brought title shall be construed to supersede any pro- damages equal to the sum of the amount de- within 3 years after the date of the last event vision of any Federal, State, or local law, scribed in subclause (I) and the interest de- constituting the alleged violation for which collective bargaining agreement, or employ- scribed in subclause (II), except that if an such action is brought. ment benefits program or plan that pro- employer or public agency that has violated (C) COMMENCEMENT.—In determining when vides— subsection (f) proves to the satisfaction of an action is commenced by the Secretary (1) greater leave benefits for victims of do- the court that the act or omission that vio- under this subsection for the purposes of this mestic or sexual violence than the rights es- lated subsection (f) was in good faith and paragraph, it shall be considered to be com- tablished under this subtitle; or that the employer or public agency had rea- menced on the date when the complaint is (2) leave benefits for a larger population of sonable grounds for believing that the act or filed. victims of domestic or sexual violence (as de- omission was not a violation of subsection (4) ACTION FOR INJUNCTION BY SECRETARY.— fined in such law, agreement, program, or (f), such court may, in the discretion of the The district courts of the United States shall plan) than the victims of domestic or sexual court, reduce the amount of the liability to have jurisdiction, for cause shown, in an ac- violence covered under this subtitle. the amount and interest determined under tion brought by the Secretary— (b) LESS PROTECTIVE LAWS, AGREEMENTS, subclauses (I) and (II), respectively; and (A) to restrain violations of subsection (f), PROGRAMS, AND PLANS.—The rights estab- (ii) for such equitable relief as may be ap- including the restraint of any withholding of lished for victims of domestic or sexual vio- propriate, including employment, reinstate- payment of wages, salary, employment bene- lence under this subtitle shall not be dimin- ment, and promotion. fits, public assistance, or other compensa- ished by any State or local law, collective (B) RIGHT OF ACTION.—An action to recover tion, plus interest, found by the court to be bargaining agreement, or employment bene- the damages or equitable relief prescribed in due to affected individuals; or fits program or plan. subparagraph (A) may be maintained against (B) to award such other equitable relief as SEC. 116. CONFORMING AMENDMENT. any employer or public agency in any Fed- may be appropriate, including employment, Section 1003(a)(1) of the Rehabilitation Act eral or State court of competent jurisdiction reinstatement, and promotion. Amendments of 1986 (42 U.S.C. 2000d–7(a)(1)) by any 1 or more affected individuals for and (5) SOLICITOR OF LABOR.—The Solicitor of is amended by inserting ‘‘subtitle A or C of on behalf of— Labor may appear for and represent the Sec- the Victims’ Economic Security and Safety (i) the individuals; or retary on any litigation brought under this Act,’’ before ‘‘or the provisions’’. (ii) the individuals and other individuals subsection. SEC. 117. EFFECTIVE DATE. similarly situated. (6) EMPLOYER LIABILITY UNDER OTHER This subtitle and the amendment made by (C) FEES AND COSTS.—The court in such an LAWS.—Nothing in this section shall be con- this subtitle take effect 180 days after the action shall, in addition to any judgment strued to limit the liability of an employer date of enactment of this Act. awarded to the plaintiff, allow a reasonable or public agency to an individual, for harm Subtitle B—Entitlement to Unemployment attorney’s fee, reasonable expert witness suffered relating to the individual’s experi- Compensation for Victims of Domestic Vio- fees, and other costs of the action to be paid ence of domestic or sexual violence, pursuant lence, Dating Violence, Sexual Assault, or by the defendant. to any other Federal or State law, including Stalking (D) LIMITATIONS.—The right provided by a law providing for a legal remedy. SEC. 121. PURPOSES. subparagraph (B) to bring an action by or on SEC. 113. EXISTING LEAVE USABLE FOR AD- The purposes of this subtitle are, pursuant behalf of any affected individual shall termi- DRESSING DOMESTIC OR SEXUAL VI- to the affirmative power of Congress to enact nate— OLENCE. legislation under the portions of section 8 of (i) on the filing of a complaint by the Sec- An employee who is entitled to take paid article I of the Constitution relating to lay- retary in an action under paragraph (4) in or unpaid leave (including family, medical, ing and collecting taxes, providing for the which restraint is sought of any further sick, annual, personal, or similar leave) from general welfare, and regulation of commerce delay in the payment of the amount de- employment, pursuant to State or local law, among the several States and under section scribed in subparagraph (A)(i) to such indi- a collective bargaining agreement, or an em- 5 of the 14th amendment to the Constitu- vidual by an employer or public agency re- ployment benefits program or plan, may tion— sponsible under subparagraph (A) for the elect to substitute any period of such leave (1) to promote the national interest in re- payment; or for an equivalent period of leave provided ducing domestic violence, dating violence, (ii) on the filing of a complaint by the Sec- under section 112. sexual assault, and stalking by enabling vic- retary in an action under paragraph (2) in SEC. 114. EMERGENCY BENEFITS. tims of domestic or sexual violence to main- which a recovery is sought of the damages (a) IN GENERAL.—A State may use funds tain the financial independence necessary to described in subparagraph (A)(i) owing to an provided to the State under part A of title IV leave abusive situations, achieve safety, and affected individual by an employer or public of the Social Security Act (42 U.S.C. 601 et minimize the physical and emotional inju- agency liable under subparagraph (A), seq.) to provide nonrecurrent short-term ries from domestic or sexual violence, and to unless the action described in clause (i) or emergency benefits to an individual for any reduce the devastating economic con- (ii) is dismissed without prejudice on motion period of leave the individual takes pursuant sequences of domestic or sexual violence to of the Secretary. to section 112. employers and employees; (2) ACTION BY THE SECRETARY.— (b) ELIGIBILITY.—In calculating the eligi- (2) to promote the national interest in en- (A) ADMINISTRATIVE ACTION.—The Sec- bility of an individual for such emergency suring that victims of domestic or sexual vi- retary shall receive, investigate, and at- benefits, the State shall count only the cash olence can recover from and cope with the ef- tempt to resolve complaints of violations of available or accessible to the individual. fects of such victimization and participate in subsection (f) in the same manner as the Sec- (c) TIMING.— the criminal and civil justice processes with- retary receives, investigates, and attempts (1) APPLICATIONS.—An individual seeking out fear of adverse economic consequences; to resolve complaints of violations of sec- emergency benefits under subsection (a) (3) to minimize the negative impact on tions 6 and 7 of the Fair Labor Standards Act from a State shall submit an application to interstate commerce from dislocations of of 1938 (29 U.S.C. 206 and 207). the State. employees and harmful effects on produc- (B) CIVIL ACTION.—The Secretary may (2) BENEFITS.—The State shall provide ben- tivity, loss of employment, health care costs, bring an action in any court of competent ju- efits to an eligible applicant under para- and employer costs, caused by domestic or risdiction to recover the damages described graph (1) on an expedited basis, and not later sexual violence including intentional efforts in paragraph (1)(A)(i). than 7 days after the applicant submits an to frustrate the ability of women to partici- (C) SUMS RECOVERED.—Any sums recovered application under paragraph (1). pate in employment and interstate com- by the Secretary pursuant to subparagraph (d) CONFORMING AMENDMENT.—Section 404 merce; and (B) shall be held in a special deposit account of the Social Security Act (42 U.S.C. 604) is (4) to accomplish the purposes described in and shall be paid, on order of the Secretary, amended by adding at the end the following: paragraphs (1), (2), and (3) by providing un- directly to each individual affected. Any ‘‘(l) AUTHORITY TO PROVIDE EMERGENCY employment insurance to those who are sep- such sums not paid to such an individual be- BENEFITS.—A State that receives a grant arated from their employment as a result of cause of inability to do so within a period of under section 403 may use the grant to pro- domestic or sexual violence, in a manner 3 years shall be deposited into the Treasury vide nonrecurrent short-term emergency that accommodates the legitimate interests of the United States as miscellaneous re- benefits, in accordance with section 114 of of employers and protects the safety of all ceipts. the Victims’ Economic Security and Safety persons in the workplace. (3) LIMITATION.— Act, to individuals who take leave pursuant SEC. 122. UNEMPLOYMENT COMPENSATION AND (A) IN GENERAL.—Except as provided in to section 112 of that Act, without regard to TRAINING PROVISIONS. subparagraph (B), an action may be brought whether the individuals receive assistance (a) UNEMPLOYMENT COMPENSATION.—Sec- under this subsection not later than 2 years under the State program funded under this tion 3304 of the Internal Revenue Code of 1986 after the date of the last event constituting part.’’. (relating to approval of State unemployment the alleged violation for which the action is SEC. 115. EFFECT ON OTHER LAWS AND EMPLOY- compensation laws) is amended— brought. MENT BENEFITS. (1) in subsection (a)— (B) WILLFUL VIOLATION.—In the case of (a) MORE PROTECTIVE LAWS, AGREEMENTS, (A) in paragraph (18), by striking ‘‘and’’ at such action brought for a willful violation of PROGRAMS, AND PLANS.—Nothing in this sub- the end;

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00054 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2809 (B) by redesignating paragraph (19) as ment as a condition for receiving unemploy- ‘‘(I) requests for unemployment compensa- paragraph (20); and ment compensation— tion based on separations stemming from (C) by inserting after paragraph (18) the ‘‘(A) such requirement shall be treated as such violence are reliably screened, identi- following new paragraph: met where the individual registers for work fied, and adjudicated; and ‘‘(19) compensation shall not be denied (the individual is not otherwise required to ‘‘(II) full confidentiality is provided for the where an individual is separated from em- seek employment on a weekly basis); and individual’s claim and submitted evidence; ployment due to circumstances resulting ‘‘(B) such law may not categorize an em- and’’. from the individual’s experience of domestic ployment opportunity as suitable work for (c) TANF PERSONNEL TRAINING.—Section or sexual violence; and’’; and the individual unless such employment op- 402(a) of the Social Security Act (42 U.S.C. (2) by adding at the end the following new portunity reasonably accommodates the in- 602(a)) is amended by adding at the end the subsection: dividual’s need to address the physical, psy- following new paragraph: chological, legal, and other effects of domes- ‘‘(g) CONSTRUCTION.— ‘‘(8) CERTIFICATION THAT THE STATE WILL tic or sexual violence. ‘‘(1) IN GENERAL.—For purposes of sub- PROVIDE INFORMATION TO VICTIMS OF DOMESTIC section (a)(19), an individual’s separation ‘‘(4) PROVISION OF INFORMATION TO MEET AND SEXUAL VIOLENCE.—A certification by from employment shall be treated as due to CERTAIN REQUIREMENTS.— the chief officer of the State that the State ‘‘(A) IN GENERAL.—In determining if an in- circumstances resulting from the individ- has established and is enforcing standards dividual meets the requirements of para- ual’s experience of domestic or sexual vio- and procedures to— graphs (1), (2), and (3), the unemployment lence if the separation resulted from— ‘‘(A) ensure that applicants for assistance agency of the State in which an individual is ‘‘(A) the individual’s reasonable fear of fu- under the program and individuals inquiring requesting unemployment compensation by ture domestic or sexual violence at or en about such assistance are adequately noti- reason of subsection (a)(19) may require the route to or from the individual’s place of em- fied of— individual to provide certification that the ployment; ‘‘(i) the provisions of subsections (a)(19) separation from employment was due to cir- ‘‘(B) the individual’s wish to relocate in and (g) of section 3304 of the Internal Rev- cumstances resulting from the individual’s order to avoid future domestic or sexual vio- enue Code of 1986 (relating to the availability experience of domestic or sexual violence. lence against the individual or the individ- of unemployment compensation for victims ‘‘(B) SATISFACTION OF CERTIFICATION RE- ual’s parent, son, or daughter (as such terms of domestic or sexual violence); and QUIREMENT.—An individual may satisfy the ‘‘(ii) assistance made available by the are defined in section 103 of the Victims’ certification requirement of subparagraph State to victims of domestic or sexual vio- Economic Security and Safety Act); (A) by providing to the unemployment agen- lence; ‘‘(C) the individual’s need to obtain treat- cy— ‘‘(B) ensure that case workers and other ment to address the physical or psycho- ‘‘(i) a sworn statement of the individual; agency personnel responsible for admin- logical effects of domestic or sexual violence; ‘‘(ii) documentation from an employee, istering the State program funded under this ‘‘(D) the employer’s denial of the individ- agent, or volunteer of a victim services orga- part are adequately trained in— ual’s request for leave from employment to nization (as defined in section 103 of the Vic- ‘‘(i) the nature and dynamics of domestic address domestic or sexual violence and its tims’ Economic Security and Safety Act), an effects on the individual or the individual’s attorney, a member of the clergy, or a med- or sexual violence (as defined in section parent, son, or daughter (as such terms are ical or other professional, from whom the in- 3306(v) of the Internal Revenue Code of 1986); so defined), including leave authorized by dividual has sought assistance in addressing ‘‘(ii) State standards and procedures relat- section 102 of the Family and Medical Leave domestic or sexual violence and the effects ing to the prevention of, and assistance for Act of 1993 or by subtitle A of the Victims’ of that violence; individuals who experience, domestic or sex- Economic Security and Safety Act; ‘‘(iii) a police or court record; or ual violence (as so defined); and ‘‘(E) the employer’s termination of the in- ‘‘(iv) other corroborating evidence. ‘‘(iii) methods of ascertaining and keeping dividual’s employment due to actions, in- ‘‘(C) CONFIDENTIALITY.—All information confidential information about possible ex- cluding absences, taken by the individual provided to the unemployment agency pursu- periences of domestic or sexual violence (as that were necessary to protect the individual ant to this paragraph, including a statement so defined); or the individual’s family from domestic or of an individual or any other documentation, ‘‘(C) if a State has elected to establish and sexual violence; record, or corroborating evidence, and the enforce standards and procedures regarding ‘‘(F) the employer’s termination of the in- fact that an individual has applied for, in- the screening for and identification of do- dividual due to circumstances resulting from quired about, or obtained unemployment mestic violence pursuant to paragraph (7), the individual’s being, or being perceived to compensation available by reason of sub- ensure that— be, a victim of domestic or sexual violence; section (a)(19) shall be retained in the strict- ‘‘(i) applicants for assistance under the or est confidence by the individual’s former or program and individuals inquiring about ‘‘(G) any other circumstance in which do- current employer and the unemployment such assistance are adequately notified of mestic or sexual violence causes the indi- agency, except to the extent that disclosure options available under such standards and vidual to reasonably believe that separation is— procedures; and from employment is necessary for the future ‘‘(i) requested or consented to by the indi- ‘‘(ii) case workers and other agency per- safety of the individual or the individual’s vidual; or sonnel responsible for administering the family. ‘‘(ii) otherwise required by applicable Fed- State program funded under this part are ‘‘(2) REASONABLE EFFORTS TO RETAIN EM- eral or State law.’’. provided with adequate training regarding PLOYMENT.—For purposes of subsection (b) UNEMPLOYMENT COMPENSATION PER- such standards and procedures and options (a)(19), if State law requires the individual to SONNEL TRAINING.—Section 303(a) of the So- available under such standards and proce- have made reasonable efforts to retain em- cial Security Act (42 U.S.C. 503(a)) is amend- dures; and ployment as a condition for receiving unem- ed— ‘‘(D) ensure that the training required ployment compensation, such requirement (1) by redesignating paragraphs (4) through under subparagraphs (B) and, if applicable, shall be met if the individual— (10) as paragraphs (5) through (11), respec- (C)(ii) is provided through a training pro- ‘‘(A) sought protection from, or assistance tively; and gram operated by an eligible entity (as de- in responding to, domestic or sexual vio- (2) by inserting after paragraph (3) the fol- fined in section 122(d)(2) of the Victims’ Eco- lence, including calling the police, obtaining lowing new paragraph: nomic Security and Safety Act).’’. services from a victim services organization ‘‘(4) Such methods of administration as (d) DOMESTIC AND SEXUAL VIOLENCE TRAIN- (as defined in section 103 of the Victims’ Eco- will ensure that— ING GRANT PROGRAM.— nomic Security and Safety Act), or seeking ‘‘(A) applicants for unemployment com- (1) GRANTS AUTHORIZED.—The Secretary of legal, social work, medical, clerical, or other pensation and individuals inquiring about Health and Human Services (in this sub- assistance; such compensation are adequately notified section referred to as the ‘‘Secretary’’) is au- ‘‘(B) sought safety, including refuge in a of the provisions of subsections (a)(19) and thorized to award— shelter or temporary or permanent reloca- (g) of section 3304 of the Internal Revenue (A) a grant to a national victim services tion, whether or not the individual actually Code of 1986 (relating to the availability of organization in order for such organization obtained such refuge or accomplished such unemployment compensation for victims of to— relocation; or domestic or sexual violence); and (i) develop and disseminate a model train- ‘‘(C) reasonably believed that options such ‘‘(B) claims reviewers and hearing per- ing program (and related materials) for the as taking a leave of absence, transferring sonnel are adequately trained in— training required under section 303(a)(4)(B) jobs, or receiving an alternative work sched- ‘‘(i) the nature and dynamics of domestic of the Social Security Act (42 U.S.C. ule would not be sufficient to guarantee the or sexual violence (as defined in section 503(a)(4)(B)), as added by subsection (b), and safety of the individual or the individual’s 3306(v) of the Internal Revenue Code of 1986); under subparagraphs (B) and, if applicable, family. and (C)(ii) of section 402(a)(8) of the such Act (42 ‘‘(3) ACTIVE SEARCH FOR EMPLOYMENT.—For ‘‘(ii) methods of ascertaining and keeping U.S.C. 602(a)(8)), as added by subsection (c); purposes of subsection (a)(19), if State law re- confidential information about possible ex- and quires the individual to actively search for periences of domestic or sexual violence (as (ii) provide technical assistance with re- employment after separation from employ- so defined) to ensure that— spect to such model training program; and

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00055 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2810 CONGRESSIONAL RECORD — SENATE March 12, 2004 (B) grants to State, tribal, or local agen- or sexual violence’ means domestic violence, reduce the devastating economic con- cies in order for such agencies to contract dating violence, sexual assault, or stalking, sequences of domestic or sexual violence to with eligible entities to provide State, trib- as those terms are defined in section 103 of employers and employees; al, or local case workers and other State, the Victims’ Economic Security and Safety (2) to promote the national interest in en- tribal, or local agency personnel responsible Act.’’. suring that victims of domestic or sexual vi- for administering the temporary assistance (f) EFFECTIVE DATE.— olence can recover from and cope with the ef- to needy families program established under (1) UNEMPLOYMENT AMENDMENTS.— fects of such violence, and participate in part A of title IV of the Social Security Act (A) IN GENERAL.—Except as provided in criminal and civil justice processes, without in a State or Indian reservation with the subparagraph (B) and paragraph (2), the fear of adverse economic consequences from training required under subparagraphs (B) amendments made by this section shall their employers; and, if applicable, (C)(ii) of such section apply in the case of compensation paid for (3) to ensure that victims of domestic or 402(a)(8). weeks beginning on or after the expiration of sexual violence can recover from and cope (2) ELIGIBLE ENTITY DEFINED.—For purposes 180 days from the date of enactment of this with the effects of such violence, and partici- of paragraph (1)(B), the term ‘‘eligible enti- Act. pate in criminal and civil justice processes, ty’’ means an entity— (B) EXTENSION OF EFFECTIVE DATE FOR without fear of adverse economic con- (A) that is— STATE LAW AMENDMENT.— sequences with respect to public benefits; (i) a State or tribal domestic violence coa- (i) IN GENERAL.—If the Secretary of Labor (4) to promote the purposes of the 14th lition or sexual assault coalition; identifies a State as requiring a change to its amendment by addressing the failure of ex- (ii) a State or local victim services organi- statutes or regulations in order to comply isting laws to protect the employment rights zation with recognized expertise in the dy- with the amendments made by this section of victims of domestic or sexual violence, by namics of domestic or sexual violence whose (excluding the amendment made by sub- protecting the civil and economic rights of primary mission is to provide services to vic- section (c)), such amendments shall apply in victims of domestic or sexual violence, and tims of domestic or sexual violence, such as the case of compensation paid for weeks be- by furthering the equal opportunity of a rape crisis center or domestic violence pro- ginning after the earlier of— women for economic self-sufficiency and em- gram; or (I) the date the State changes its statutes ployment free from discrimination; (iii) an organization with demonstrated ex- or regulations in order to comply with such (5) to minimize the negative impact on pertise in State or county welfare laws and amendments; or interstate commerce from dislocations of implementation of such laws and experience (II) the end of the first session of the State employees and harmful effects on produc- with disseminating information on such laws legislature which begins after the date of en- tivity, employment, health care costs, and and implementation, but only if such organi- actment of this Act or which began prior to employer costs, caused by domestic or sexual zation will provide the required training in such date and remained in session for at violence, including intentional efforts to partnership with an entity described in least 25 calendar days after such date; frustrate women’s ability to participate in clause (i) or (ii); and except that in no case shall such amend- employment and interstate commerce; and (B) that— ments apply before the date that is 180 days (6) to accomplish the purposes described in (i) has demonstrated expertise in both do- after the date of enactment of this Act. paragraphs (1) through (5) by prohibiting em- mestic and sexual assault, such as a joint do- (ii) SESSION DEFINED.—In this subpara- ployers from discriminating against actual mestic violence and sexual assault coalition; graph, the term ‘‘session’’ means a regular, or perceived victims of domestic or sexual or special, budget, or other session of a State violence, in a manner that accommodates (ii) will provide the required training in legislature. the legitimate interests of employers and partnership with an entity described in (2) TANF AMENDMENT.— protects the safety of all persons in the clause (i) or (ii) of subparagraph (A) in order (A) IN GENERAL.—Except as provided in workplace. to comply with the dual domestic violence subparagraph (B), the amendment made by and sexual assault expertise requirement SEC. 133. PROHIBITED DISCRIMINATORY ACTS. subsection (c) shall take effect on the date of under clause (i). (a) IN GENERAL.—An employer shall not enactment of this Act. (3) APPLICATION.—An entity seeking a fail to hire, refuse to hire, discharge, or har- (B) EXTENSION OF EFFECTIVE DATE FOR grant under this subsection shall submit an ass any individual, or otherwise discriminate STATE LAW AMENDMENT.—In the case of a application to the Secretary at such time, in against any individual with respect to the State plan under part A of title IV of the So- such form and manner, and containing such compensation, terms, conditions, or privi- cial Security Act which the Secretary of information as the Secretary specifies. leges of employment of the individual (in- Health and Human Services determines re- (4) REPORTS.— cluding retaliation in any form or manner), quires State legislation in order for the plan (A) REPORTS TO CONGRESS.—The Secretary and a public agency shall not deny, reduce, to meet the additional requirements imposed shall annually submit a report to Congress or terminate the benefits of, otherwise sanc- by the amendment made by subsection (c), on the grant program established under this tion, or harass any individual, or otherwise the State plan shall not be regarded as fail- subsection. discriminate against any individual with re- ing to comply with the requirements of such (B) REPORTS AVAILABLE TO PUBLIC.—The spect to the amount, terms, or conditions of amendment on the basis of its failure to Secretary shall establish procedures for the public assistance of the individual (including meet these additional requirements before dissemination to the public of each report retaliation in any form or manner), be- the first day of the first calendar quarter be- submitted under subparagraph (A). Such pro- cause— ginning after the close of the first regular cedures shall include the use of the Internet (1) the individual involved— session of the State legislature that begins to disseminate such reports. (A) is or is perceived to be a victim of do- after the date of enactment of this Act. For (5) AUTHORIZATION OF APPROPRIATIONS.— mestic or sexual violence; purposes of the previous sentence, in the (A) AUTHORIZATION.—There are authorized (B) attended, participated in, prepared for, case of a State that has a 2-year legislative to be appropriated— or requested leave to attend, participate in, session, each year of the session is consid- (i) $1,000,000 for fiscal year 2004 to carry out or prepare for, a criminal or civil court pro- ered to be a separate regular session of the the provisions of paragraph (1)(A); and ceeding relating to an incident of domestic State legislature. (ii) $12,000,000 for each of fiscal years 2004 or sexual violence of which the individual, or through 2006 to carry out the provisions of Subtitle C—Victims’ Employment the son or daughter or parent of the indi- paragraph (1)(B). Sustainability vidual, was a victim; or (B) THREE-YEAR AVAILABILITY OF GRANT SEC. 131. SHORT TITLE. (C) requested an adjustment to a job struc- FUNDS.—Each recipient of a grant under this This subtitle may be cited as the ‘‘Victims’ ture, workplace facility, or work require- subsection shall return to the Secretary of Employment Sustainability Act’’. ment, including a transfer, reassignment, or Health and Human Services any unused por- SEC. 132. PURPOSES. modified schedule, leave, a changed tele- tion of such grant not later than 3 years The purposes of this subtitle are, pursuant phone number or seating assignment, instal- after the date the grant was awarded, to- to the affirmative power of Congress to enact lation of a lock, or implementation of a safe- gether with any earnings on such unused legislation under the portions of section 8 of ty procedure, in response to actual or threat- portion. article I of the Constitution relating to pro- ened domestic or sexual violence, regardless (C) AMOUNTS RETURNED.—Any amounts re- viding for the general welfare and to regula- of whether the request was granted; or turned pursuant to subparagraph (B) shall be tion of commerce among the several States, (2) the workplace is disrupted or threat- available without further appropriation to and under section 5 of the 14th amendment ened by the action of a person whom the in- the Secretary of Health and Human Services to the Constitution— dividual states has committed or threatened for the purpose of carrying out the provi- (1) to promote the national interest in re- to commit domestic or sexual violence sions of paragraph (1)(B). ducing domestic violence, dating violence, against the individual, or the individual’s (e) DEFINITION OF DOMESTIC OR SEXUAL VIO- sexual assault, and stalking by enabling vic- son or daughter or parent. LENCE.—Section 3306 of the Internal Revenue tims of domestic or sexual violence to main- (b) DEFINITIONS.—In this section: Code of 1986 (relating to definitions) is tain the financial independence necessary to (1) DISCRIMINATE.—The term ‘‘discrimi- amended by adding at the end the following: leave abusive situations, achieve safety, and nate’’, used with respect to the terms, condi- ‘‘(v) DOMESTIC OR SEXUAL VIOLENCE.—For minimize the physical and emotional inju- tions, or privileges of employment or with purposes of this chapter, the term ‘domestic ries from domestic or sexual violence, and to respect to the terms or conditions of public

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00056 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2811 assistance, includes not making a reasonable (B) compensatory damages, including dam- tors. The term also includes health carriers, accommodation to the known limitations of ages for future pecuniary losses, emotional health benefit plans, and life, disability, and an otherwise qualified individual— pain, suffering, inconvenience, mental an- property and casualty insurers. (A) who is a victim of domestic or sexual guish, loss of enjoyment or life, and other (5) POLICY.—The term ‘‘policy’’ means a violence; nonpecuniary losses; contract of insurance, certificate, indem- (B) who is— (C) such punitive damages, up to 3 times nity, suretyship, or annuity issued, proposed (i) an applicant or employee of the em- the amount of actual damages sustained, as for issuance or intended for issuance by an ployer (including a public agency); or the court described in paragraph (2) shall de- insurer, including endorsements or riders to (ii) an applicant for or recipient of public termine to be appropriate; and an insurance policy or contract. assistance from the public agency; and (D) such equitable relief as may be appro- (6) SUBJECT OF ABUSE.—The term ‘‘subject (C) whose limitations resulted from cir- priate, including employment, reinstate- of abuse’’ means— cumstances relating to being a victim of do- ment, and promotion. (A) a person against whom an act of abuse mestic or sexual violence; (2) RIGHT OF ACTION.—An action to recover has been directed; unless the employer or public agency can the damages or equitable relief prescribed in (B) a person who has prior or current inju- demonstrate that the accommodation would paragraph (1) may be maintained against any ries, illnesses, or disorders that resulted impose an undue hardship on the operation employer or public agency in any Federal or from abuse; or of the employer or public agency. State court of competent jurisdiction by any (C) a person who seeks, may have sought, (2) QUALIFIED INDIVIDUAL.—The term 1 or more individuals described in section or had reason to seek medical or psycho- ‘‘qualified individual’’ means— 133. logical treatment for abuse, protection, (A) in the case of an applicant or employee (b) ACTION BY DEPARTMENT OF JUSTICE.— court-ordered protection, or shelter from described in paragraph (1)(B)(i), an indi- The Attorney General may bring a civil ac- abuse. vidual who, with or without reasonable ac- tion in any Federal or State court of com- SEC. 143. DISCRIMINATORY ACTS PROHIBITED. petent jurisdiction to recover the damages or commodation, can perform the essential (a) IN GENERAL.—No insurer may, directly functions of the employment position that equitable relief described in subsection (a)(1). or indirectly, engage in any of the following such individual holds or desires; or SEC. 135. ATTORNEY’S FEES. acts or practices on the basis that the appli- (B) in the case of an applicant or recipient Section 722(b) of the Revised Statutes (42 cant or insured, or any person employed by described in paragraph (1)(B)(ii), an indi- U.S.C. 1988(b)) is amended by inserting ‘‘the the applicant or insured or with whom the vidual who, with or without reasonable ac- Victims’ Employment Sustainability Act,’’ applicant or insured is known to have a rela- commodation, can satisfy the essential re- after ‘‘title VI of the Civil Rights Act of tionship or association, is, has been, or may quirements of the program providing the 1964,’’. be the subject of abuse or has incurred or public assistance that the individual receives Subtitle D—Victims of Abuse Insurance may incur abuse-related claims: or desires. Protection (1) Denying, refusing to issue, renew or re- (3) REASONABLE ACCOMMODATION.—The SEC. 141. SHORT TITLE. issue, or canceling or otherwise terminating term ‘‘reasonable accommodation’’ may in- This subtitle may be cited as the ‘‘Victims an insurance policy or health benefit plan. clude an adjustment to a job structure, of Abuse Insurance Protection Act’’. (2) Restricting, excluding, or limiting in- workplace facility, or work requirement, in- SEC. 142. DEFINITIONS. surance coverage for losses or denying a cluding a transfer, reassignment, or modified In this subtitle: claim, except as otherwise permitted or re- schedule, leave, a changed telephone number (1) ABUSE.—The term ‘‘abuse’’ means the quired by State laws relating to life insur- or seating assignment, installation of a lock, occurrence of 1 or more of the following acts ance beneficiaries. or implementation of a safety procedure, in by a current or former household or family (3) Adding a premium differential to any response to actual or threatened domestic or member, intimate partner, or caretaker: insurance policy or health benefit plan. sexual violence. (A) Attempting to cause or causing an- (b) PROHIBITION ON LIMITATION OF CLAIMS.— (4) UNDUE HARDSHIP.— other person bodily injury, physical harm, No insurer may, directly or indirectly, deny (A) IN GENERAL.—The term ‘‘undue hard- substantial emotional distress, psychological or limit payment of a claim incurred by an ship’’ means an action requiring significant difficulty or expense, when considered in trauma, rape, sexual assault, or involuntary innocent insured as a result of abuse. light of the factors set forth in subparagraph sexual intercourse. (c) PROHIBITION ON TERMINATION.— (B). (B) Engaging in a course of conduct or re- (1) IN GENERAL.—No insurer or health car- peatedly committing acts toward another rier may terminate health coverage for a (B) FACTORS TO BE CONSIDERED.—In deter- mining whether a reasonable accommoda- person, including following the person with- subject of abuse because coverage was origi- tion would impose an undue hardship on the out proper authority and under cir- nally issued in the name of the abuser and operation of an employer or public agency, cumstances that place the person in reason- the abuser has divorced, separated from, or factors to be considered include— able fear of bodily injury or physical harm. lost custody of the subject of abuse or the (i) the nature and cost of the reasonable (C) Subjecting another person to false im- abuser’s coverage has terminated voluntarily accommodation needed under this section; prisonment or kidnapping. or involuntarily and the subject of abuse (ii) the overall financial resources of the (D) Attempting to cause or causing damage does not qualify for an extension of coverage facility involved in the provision of the rea- to property so as to intimidate or attempt to under part 6 of subtitle B of title I of the sonable accommodation, the number of per- control the behavior of another person. Employee Retirement Income Security Act sons employed at such facility, the effect on (2) HEALTH CARRIER.—The term ‘‘health of 1974 (29 U.S.C. 1161 et seq.) or section 4980B expenses and resources, or the impact other- carrier’’ means a person that contracts or of- of the Internal Revenue Code of 1986. wise of such accommodation on the oper- fers to contract on a risk-assuming basis to (2) PAYMENT OF PREMIUMS.—Nothing in ation of the facility; provide, deliver, arrange for, pay for, or re- paragraph (1) shall be construed to prohibit (iii) the overall financial resources of the imburse any of the cost of health care serv- the insurer from requiring that the subject employer or public agency, the overall size ices, including a sickness and accident insur- of abuse pay the full premium for the sub- of the business of an employer or public ance company, a health maintenance organi- ject’s coverage under the health plan if the agency with respect to the number of em- zation, a nonprofit hospital and health serv- requirements are applied to all insured of the ployees of the employer or public agency, ice corporation or any other entity providing health carrier. and the number, type, and location of the fa- a plan of health insurance, health benefits or (3) EXCEPTION.—An insurer may terminate cilities of an employer or public agency; and health services. group coverage to which this subsection ap- (iv) the type of operation of the employer (3) INSURED.—The term ‘‘insured’’ means a plies after the continuation coverage period or public agency, including the composition, party named on a policy, certificate, or required by this subsection has been in force structure, and functions of the workforce of health benefit plan, including an individual, for 18 months if it offers conversion to an the employer or public agency, the geo- corporation, partnership, association, unin- equivalent individual plan. graphic separateness of the facility from the corporated organization, or any similar enti- (4) CONTINUATION COVERAGE.—The continu- employer or public agency, and the adminis- ty, as the person with legal rights to the ben- ation of health coverage required by this trative or fiscal relationship of the facility efits provided by the policy, certificate, or subsection shall be satisfied by any exten- to the employer or public agency. health benefit plan. For group insurance, sion of coverage under part 6 of subtitle B of SEC. 134. ENFORCEMENT. such term includes a person who is a bene- title I of the Employee Retirement Income (a) CIVIL ACTION BY INDIVIDUALS.— ficiary covered by a group policy, certificate, Security Act of 1974 (29 U.S.C. 1161 et seq.) or (1) LIABILITY.—Any employer or public or health benefit plan. For life insurance, the section 4980B of the Internal Revenue Code of agency that violates section 133 shall be lia- term refers to the person whose life is cov- 1986 provided to a subject of abuse and is not ble to any individual affected for— ered under an insurance policy. intended to be in addition to any extension (A) damages equal to the amount of wages, (4) INSURER.—The term ‘‘insurer’’ means of coverage otherwise provided for under salary, employment benefits, public assist- any person, reciprocal exchange, inter in- such part 6 or section 4980B. ance, or other compensation denied or lost to surer, Lloyds insurer, fraternal benefit soci- (d) USE OF INFORMATION.— such individual by reason of the violation, ety, or other legal entity engaged in the (1) LIMITATION.— and the interest on that amount calculated business of insurance, including agents, bro- (A) IN GENERAL.—In order to protect the at the prevailing rate; kers, adjusters, and third-party administra- safety and privacy of subjects of abuse, no

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00057 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2812 CONGRESSIONAL RECORD — SENATE March 12, 2004 person employed by or contracting with an practice prohibited by this subtitle, the ‘‘(i) the hiring of new security personnel in insurer or health benefit plan may— Commission may take action against such order to address domestic or sexual violence, (i) use, disclose, or transfer information re- insurer by the issuance of a cease and desist ‘‘(ii) the creation of buddy systems or es- lating to abuse status, acts of abuse, abuse- order as if the insurer was in violation of cort systems for walking employees to park- related medical conditions or the applicant’s section 5 of the Federal Trade Commission ing lots, parked cars, subway stations, or bus or insured’s status as a family member, em- Act. Such cease and desist order may include stops, in order to address domestic or sexual ployer, associate, or person in a relationship any individual relief warranted under the violence, with a subject of abuse for any purpose unre- circumstances, including temporary, pre- ‘‘(iii) the purchase or installation of new lated to the direct provision of health care liminary, and permanent injunctive and security equipment, including surveillance services unless such use, disclosure, or trans- compensatory relief. equipment, lighting fixtures, cardkey access fer is required by an order of an entity with (b) PRIVATE CAUSE OF ACTION.— systems, and identification systems, in order authority to regulate insurance or an order (1) IN GENERAL.—An applicant or insured to address domestic or sexual violence, of a court of competent jurisdiction; or who believes that the applicant or insured ‘‘(iv) the establishment of an employee as- (ii) disclose or transfer information relat- has been adversely affected by an act or sistance line or other employee assistance ing to an applicant’s or insured’s mailing ad- practice of an insurer in violation of this services, in order to address domestic or sex- dress or telephone number or the mailing ad- subtitle may maintain an action against the ual violence, for the use of individual em- dress and telephone number of a shelter for insurer in a Federal or State court of origi- ployees, including counseling or referral subjects of abuse, unless such disclosure or nal jurisdiction. services undertaken in consultation and co- transfer— (2) RELIEF.—Upon proof of such conduct by ordination with national, State, or local do- (I) is required in order to provide insurance a preponderance of the evidence in an action mestic violence coalitions, sexual assault coverage; and described in paragraph (1), the court may coalitions, domestic violence programs, or (II) does not have the potential to endan- award appropriate relief, including tem- sexual assault programs, ger the safety of a subject of abuse. porary, preliminary, and permanent injunc- ‘‘(v) the retention of an attorney to pro- (B) RULE OF CONSTRUCTION.—Nothing in tive relief and compensatory and punitive vide legal services to employees seeking re- this paragraph may be construed to limit or damages, as well as the costs of suit and rea- straining orders or other legal recourse from preclude a subject of abuse from obtaining sonable fees for the aggrieved individual’s domestic or sexual violence, the subject’s own insurance records from an attorneys and expert witnesses. ‘‘(vi) the establishment of medical services insurer. (3) STATUTORY DAMAGES.—With respect to addressing the medical needs of employees (2) AUTHORITY OF SUBJECT OF ABUSE.—A compensatory damages in an action de- who are victims of domestic or sexual vio- subject of abuse, at the absolute discretion scribed in paragraph (1), the aggrieved indi- lence, of the subject of abuse, may provide evidence vidual may elect, at any time prior to the ‘‘(vii) the retention of a financial expert or of abuse to an insurer for the limited purpose rendering of final judgment, to recover in an accountant to provide financial coun- of facilitating treatment of an abuse-related lieu of actual damages, an award of statu- seling to employees seeking to escape from condition or demonstrating that a condition tory damages in the amount of $5,000 for domestic or sexual violence, is abuse-related. Nothing in this paragraph each violation. ‘‘(viii) the establishment of an education program for employees, consisting of semi- shall be construed as authorizing an insurer SEC. 149. EFFECTIVE DATE. nars or training sessions about domestic or or health carrier to disregard such provided This subtitle shall apply with respect to sexual violence undertaken in consultation evidence. any action taken on or after the date of en- and coordination with national, State, or actment of this Act. SEC. 144. INSURANCE PROTOCOLS FOR SUB- local domestic violence coalitions, sexual as- JECTS OF ABUSE. Subtitle E—Workplace Safety Program Tax sault coalitions, domestic violence pro- Insurers shall develop and adhere to writ- Credit grams, or sexual assault programs, ten policies specifying procedures to be fol- SEC. 151. CREDIT FOR COSTS TO EMPLOYERS OF ‘‘(ix) studies of the cost, impact, or extent lowed by employees, contractors, producers, IMPLEMENTING WORKPLACE SAFE- of domestic or sexual violence at the em- agents, and brokers for the purpose of pro- TY PROGRAMS. ployer’s place of business, if such studies are tecting the safety and privacy of a subject of (a) IN GENERAL.—Subpart D of part IV of made available to the public and protect the abuse and otherwise implementing this sub- subchapter A of chapter 1 of the Internal identity of employees included in the study, title when taking an application, inves- Revenue Code of 1986 (relating to business re- ‘‘(x) the publication of a regularly dissemi- tigating a claim, or taking any other action lated credits) is amended by adding at the nated newsletter or other regularly dissemi- relating to a policy or claim involving a sub- end the following: nated educational materials about domestic ject of abuse. ‘‘SEC. 45G. WORKPLACE SAFETY PROGRAM CRED- or sexual violence, SEC. 145. REASONS FOR ADVERSE ACTIONS. IT. ‘‘(xi) the implementation of leave policies An insurer that takes an action that ad- ‘‘(a) IN GENERAL.—For purposes of section for the purpose of allowing or accommo- versely affects a subject of abuse, shall ad- 38, the workplace safety program credit de- dating the needs of victims of domestic or vise the subject of abuse applicant or insured termined under this section for the taxable sexual violence to pursue counseling, legal of the specific reasons for the action in writ- year is, for any employer, an amount equal assistance, or safety planning, including ing. For purposes of this section, reference to to 40 percent of the domestic and sexual vio- leave from work to attend meetings with at- general underwriting practices or guidelines lence safety and education costs paid or in- torneys, to give evidentiary statements or shall not constitute a specific reason. curred by such employer during the taxable depositions, and to attend hearings or trials SEC. 146. LIFE INSURANCE. year. in court, Nothing in this subtitle shall be construed ‘‘(b) DEFINITIONS.—For purposes of this sec- ‘‘(xii) the implementation of flexible work to prohibit a life insurer from declining to tion— policies for the purpose of allowing or ac- issue a life insurance policy if the applicant ‘‘(1) DOMESTIC AND SEXUAL VIOLENCE SAFE- commodating the needs of employees who or prospective owner of the policy is or TY AND EDUCATION COST.— are victims of domestic or sexual violence, would be designated as a beneficiary of the ‘‘(A) IN GENERAL.—The term ‘domestic and or employees at risk with respect to such policy, and if— sexual violence safety and education cost’ crimes, to avoid assailants, (1) the applicant or prospective owner of means any cost certified by the Secretary of ‘‘(xiii) the implementation of transfer poli- the policy lacks an insurable interest in the Labor to the Secretary as being for the pur- cies for the purpose of allowing or accommo- insured; or pose of— dating the needs of employees subjected to (2) the applicant or prospective owner of ‘‘(i) ensuring the safety of employees from domestic or sexual violence to change office the policy is known, on the basis of police or domestic or sexual violence, locations within the company in order to court records, to have committed an act of ‘‘(ii) providing assistance to employees and avoid assailants or to allow the transfer of abuse against the proposed insured. the spouses and dependents of employees an employee who has perpetrated domestic SEC. 147. SUBROGATION WITHOUT CONSENT with respect to domestic or sexual violence, or sexual violence in order to protect the vic- PROHIBITED. ‘‘(iii) providing legal or medical services to tim, including payment of costs for the Subrogation of claims resulting from abuse employees and the spouses and dependents of transfer and relocation of an employee to an- is prohibited without the informed consent employees subjected to, or at risk from, do- other city, county, State, or country for the of the subject of abuse. mestic or sexual violence, purpose of maintaining an employee’s safety SEC. 148. ENFORCEMENT. ‘‘(iv) educating employees about the issue from domestic or sexual violence, or (a) FEDERAL TRADE COMMISSION.— of domestic or sexual violence, or ‘‘(xiv) the provision of any of the services (1) IN GENERAL.—The Federal Trade Com- ‘‘(v) implementing human resource or per- described in clauses (iv) through (viii) to the mission shall have the power to examine and sonnel policies initiated to protect employ- spouses or dependents of employees. investigate any insurer to determine wheth- ees from domestic or sexual violence or to ‘‘(C) NOTIFICATION OF POSSIBLE TAX CON- er such insurer has been or is engaged in any support employees who have been victims of SEQUENCES.—In no event shall any cost for act or practice prohibited by this subtitle. domestic or sexual violence. goods or services which may be included in (2) CEASE AND DESIST ORDERS.—If the Fed- ‘‘(B) TYPES OF COSTS.—Such term includes the income of any employee receiving or eral Trade Commission determines an in- costs certified by the Secretary of Labor to benefiting from such goods or services be surer has been or is engaged in any act or the Secretary as being for the purpose of— treated as a domestic and sexual violence

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00058 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2813 safety and education cost unless the em- Subtitle F—National Clearinghouse on Do- 1,500,000 women are raped or physically as- ployer notifies the employee in writing of mestic and Sexual Violence in the Work- saulted by an intimate partner annually in the possibility of such inclusion. place Grant the United States, and 1 in 4 women in the ‘‘(2) DOMESTIC OR SEXUAL VIOLENCE.—The SEC. 161. NATIONAL CLEARINGHOUSE ON DO- United States will experience domestic vio- term ‘domestic or sexual violence’ means do- MESTIC AND SEXUAL VIOLENCE IN lence or sexual assault in her lifetime. mestic violence, dating violence, sexual as- THE WORKPLACE GRANT. (2) At least 3,300,000 children in the United sault, or stalking, as those terms are defined (a) AUTHORITY.—The Attorney General States are exposed to parental violence in section 103 of the Victims’ Economic Se- may award a grant in accordance with this every year. curity and Safety Act. section to a private, nonprofit entity or trib- (3) Child abuse and domestic violence often occur within the same families. Because of ‘‘(3) DOMESTIC VIOLENCE COALITION; SEXUAL al organization that meets the requirements this overlap, cross-training for child welfare ASSAULT COALITION.—The terms ‘domestic vi- of subsection (b), in order to provide for the workers, courts, law enforcement, prosecu- olence coalition’ and ‘sexual assault coali- establishment and operation of a national tors, and domestic violence and sexual as- tion’ have the meanings given the terms in clearinghouse and resource center to provide information and assistance to employers, sault victim service providers is essential. section 103 of the Victims’ Economic Secu- (4) Forty to 60 percent of men who abuse rity and Safety Act. labor organizations, and advocates on behalf of victims of domestic or sexual violence, in women also abuse children. ‘‘(4) EMPLOYEE.—The term ‘employee’ their efforts to develop and implement ap- (5) In 43 percent of households where inti- means a person who is an employee, as de- propriate responses to assist those victims. mate violence occurs, at least 1 child under fined in section 103(9) of the Victims’ Eco- (b) GRANTEES.—Each applicant for a grant the age of 12 lives in the home. Domestic vio- nomic Security and Safety Act, except that under this section shall submit to the Attor- lence has been shown to occur disproportion- the person may be employed by any em- ney General an application, which shall— ately in homes with children under age 5. ployer described in paragraph (5). (1) demonstrate that the applicant— (6) In most States, more than 50 percent of ‘‘(5) EMPLOYER.—The term ‘employer’ (A) has a nationally recognized expertise in the residents in battered women’s shelters means a person who is an employer, as de- the area of domestic violence, dating vio- are children. fined in section 103(10) of such Act, deter- lence, sexual assault, and stalking, and a (7) As many as 500,000 children may be en- mined without regard to the number of indi- record of commitment and quality responses countered by police during domestic violence viduals employed. to reduce domestic violence, dating violence, arrests each year. (8) Children who live in homes where do- ‘‘(c) COORDINATION WITH OTHER PROVI- sexual assault, and stalking; and mestic violence occurs are at a higher risk of SIONS.—No credit or deduction shall be al- (B) will provide matching funds from non- Federal sources in an amount equal to not anxiety and depression, and exhibit more ag- lowed under any other provision of this title gressive, antisocial, inhibited, and fearful be- for any amount for which a credit is allowed less than 10 percent of the total amount of the grant awarded under this section; and haviors than other children. under this section.’’. (2) include a plan to maximize, to the ex- (9) Children’s experiences vary widely as the result of their exposure to domestic vio- (b) TREATMENT AS GENERAL BUSINESS tent practicable, outreach to employers (in- lence depending on their family situations, CREDIT.— cluding private companies, as well as public community environment, and the child’s (1) IN GENERAL.—Subsection (b) of section entities such as universities, and State and own personality. Children need comprehen- 38 of the Internal Revenue Code of 1986 (re- local governments) in developing and imple- sive services that serve the continuum of menting appropriate responses to assist em- lating to general business credit) is amended their individual needs. ployees who are victims of domestic or sex- by striking ‘‘plus’’ at the end of paragraph (10) Adolescents who have grown up in vio- ual violence. (14), by striking the period at the end of lent homes are at risk for recreating the (c) USE OF GRANT AMOUNT.—A grant under paragraph (15) and inserting ‘‘, plus’’, and by abusive relationships they have observed. this section may be used for staff salaries, adding at the end the following: Forty percent of violent juvenile offenders travel expenses, equipment, printing, and ‘‘(16) the workplace safety program credit come from homes where there is domestic vi- other reasonable expenses necessary to as- determined under section 45G.’’. olence, and 50 percent of children who come semble, maintain, and disseminate to em- (2) TRANSITIONAL RULE FOR CARRYBACKS.— before delinquency court have been exposed ployers, labor organizations, and advocates Subsection (d) of section 39 of such Code (re- to violence in the home. described in subsection (a), information on lating to transitional rules) is amended by (11) Men who as children witnessed their adding at the end the following: and appropriate responses to domestic vio- parent’s domestic violence are twice as like- lence, dating violence, sexual assault, and ‘‘(11) NO CARRYBACK OF SECTION 45G CREDIT ly to abuse their own wives as are sons of stalking, including— BEFORE EFFECTIVE DATE.—No portion of the nonviolent parents. One-third of women who (1) training to promote a better under- unused business credit for any taxable year are physically abused by a husband or boy- standing of appropriate assistance to em- which is attributable to the workplace safety friend grew up in a household where their ployee victims; program credit determined under section 45G mother was also abused. (2) conferences and other educational op- may be carried back to a taxable year begin- (12) The most successful strategies for portunities; ning before January 1, 2004.’’. dealing with the overlap between domestic (3) development of protocols and model violence and child abuse are those that pro- (3) DEDUCTION FOR UNUSED CREDITS.—Sub- workplace policies; section (c) of section 196 of such Code (relat- vide for the safety of both the children and (4) employer- and union-sponsored victim the nonabusing parent. ing to deduction for certain unused business services and outreach counseling; and credits) is amended by striking ‘‘and’’ at the (13) Recent studies show that battered (5) assessments of the workplace costs of women parent effectively and attend to their end of paragraph (9), by striking the period domestic violence, dating violence, sexual at the end of paragraph (10) and inserting ‘‘, children’s needs. assault, and stalking. (14) In a major metropolitan area, 80 per- and’’, and by adding at the end the following: (d) AUTHORIZATION OF APPROPRIATIONS.— cent of surveyed battered women with chil- ‘‘(11) the workplace safety program credit There are authorized to be appropriated to dren reported that they and their children determined under section 45G.’’. carry out this section $500,000 for each of fis- were safe and together as a family after re- (c) CREDIT NOT A DEFENSE IN LEGAL AC- cal years 2004 through 2008. ceiving domestic violence advocacy services. TIONS.—The allowance of a credit under sec- Subtitle G—Severability In contrast, the rate of substantiated cases tion 45G of the Internal Revenue Code of 1986 SEC. 171. SEVERABILITY. of sexual abuse in foster care is more than 4 (as added by this section) shall not absolve If any provision of this title, any amend- times higher than the rate in the general employers of their responsibilities under any ment made by this title, or the application population. other law and shall not be construed as a de- of such provision or amendment to any per- SEC. 203. PURPOSE. The purpose of this title is to— fense to any legal action (other than legal son or circumstance is held to be unconstitu- (1) reduce the impact of domestic violence, action by the Secretary of the Treasury tional, the remainder of the provisions of this title, the amendments made by this sexual assault, and stalking in the lives of under such Code). title, and the application of such provisions youth and children; (d) CLERICAL AMENDMENT.—The table of or amendments to any person or cir- (2) provide appropriate services for chil- sections for subpart D of part IV of sub- cumstance shall not be affected. dren and youth experiencing or exposed to domestic violence, sexual assault, and stalk- chapter A of chapter 1 of the Internal Rev- TITLE II—CHILDREN WHO WITNESS ing; enue Code of 1986 is amended by adding at DOMESTIC VIOLENCE (3) develop and implement education pro- the end the following: SEC. 201. SHORT TITLE. grams to prevent children and youth from ‘‘Sec. 45G. Workplace safety program cred- This title may be cited as the ‘‘Children becoming victims or perpetrators of domes- it.’’. Who Witness Domestic Violence Act’’. tic violence, sexual assault, or stalking; SEC. 202. FINDINGS. (4) encourage cross training and collabora- (e) EFFECTIVE DATE.—The amendments Congress makes the following findings: tion among child welfare agencies, domestic made by this section shall apply to taxable (1) Domestic violence and sexual assault violence and sexual assault service pro- years beginning after December 31, 2003. occur frequently in the United States. viders, courts, law enforcement entities,

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00059 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2814 CONGRESSIONAL RECORD — SENATE March 12, 2004 health care professionals, crisis nurseries, SEC. 205. SERVICES FOR CHILDREN EXPOSED TO tribution to State, local, and tribal programs and other social services to recognize and re- DOMESTIC VIOLENCE. working in throughout the United States in sponsibly address domestic violence and sex- The Family Violence Prevention and Serv- rural, urban, and suburban areas. ual assault and the effects of domestic vio- ices Act (42 U.S.C. 10401 et seq.) is amended ‘‘(h) UNDERSERVED POPULATIONS.—In lence on children and youth; by adding at the end the following: awarding grants under subsection (a), the (5) promote the safety of children and ‘‘SEC. 321. SERVICES FOR CHILDREN EXPOSED TO Secretary shall— youth by increasing the safety, autonomy, DOMESTIC VIOLENCE. ‘‘(1) consider the needs of underserved pop- capacity, and financial security of the non- ‘‘(a) GRANTS AUTHORIZED.—The Secretary ulations as defined by section 2003(7) of part abusing parents who are also victims of do- may award competitive grants to eligible en- T of title I of the Omnibus Crime Control mestic violence and sexual assault so that tities to enable such entities to conduct pro- and Safe Streets Act of 1968 (42 U.S.C. 3796gg– they may remain safely together, thereby grams to serve children who have been ex- 2); and preventing the unnecessary and harmful re- posed to domestic violence. ‘‘(2) from the amounts made available ‘‘(b) ELIGIBLE GRANTEES.—To be eligible to moval of the child or youth from the non- under subsection (j), award not less than 10 receive a grant under this section, an entity abusing parent; and percent of such amounts for the funding of shall— (6) ensure the effective handling of cases tribal programs as defined in section ‘‘(1) meet the requirements of section where domestic violence or sexual assault 303(b)(1). 303(a)(2)(A) or section 303(b)(1); and and child abuse and neglect intersect in such ‘‘(i) ANNUAL REPORTS.—An entity receiving ‘‘(2) have in place, and describe in its appli- a way that— a grant under this section shall annually cation, policies and procedures that— (A) holds the adult perpetrator of violence submit to the Secretary a report that de- ‘‘(A) enhance or ensure the safety and se- scribes, at a minimum— accountable; curity of a battered parent or caregiver, and (B) assures the safety and well-being of ‘‘(1) how the funds under the grant were as a result, the child of the parent; and used; both the child and the child’s nonabusing ‘‘(B) ensure that all services are provided parent; and ‘‘(2) the extent to which underserved popu- in a developmentally appropriate and cul- lations were reached; (C) prevents the unnecessary and harmful turally competent manner. removal of the child from the nonabusing ‘‘(3) the adequacy of staff training and ‘‘(c) USE OF FUNDS.— agency services to ensure that children’s parent thereby increasing the child’s chance ‘‘(1) IN GENERAL.—An entity that receives a to heal. needs are addressed properly; grant under this section shall use amounts ‘‘(4) the adequacy of the physical arrange- SEC. 204. DEFINITIONS. provided under the grant to design or rep- ments for meeting children’s needs; and licate, and implement, programs and serv- ‘‘(5) the existence of continuing barriers Section 320 of the Family Violence Preven- ices using domestic violence intervention the entity faces to more fully addressing tion and Services Act (42 U.S.C. 10408) is models to respond to the needs of children children’s needs. amended by adding at the end the following: who are exposed to domestic violence and ‘‘(j) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(7) The term ‘dating violence’ means vio- whose parent or caregiver is a victim of do- ‘‘(1) IN GENERAL.—There is authorized to be lence committed by a person— mestic violence and who is receiving services appropriated to carry out this section, ‘‘(A) who is or has been in a social relation- from such entity. Such a program— $15,000,000 for each of fiscal years 2004 ship of a romantic or intimate nature with ‘‘(A) shall be a new program or service, or through 2008. the victim; and new component of an existing program or ‘‘(2) AVAILABILITY.—Funds appropriated ‘‘(B) where the existence of such a relation- service not currently offered by the entity; under paragraph (1) shall remain available ship shall be determined based on a consider- ‘‘(B) shall provide direct counseling and ad- until expended.’’. vocacy for children who have been exposed to ation of— SEC. 206. GRANTS TO COMBAT THE IMPACT OF ‘‘(i) the length of the relationship; domestic violence; EXPERIENCING OR WITNESSING DO- ‘‘(ii) the type of relationship; and ‘‘(C) may include early childhood and men- MESTIC VIOLENCE ON ELEMENTARY ‘‘(iii) the frequency of interaction between tal health services; AND SECONDARY SCHOOL CHIL- the persons involved in the relationship. ‘‘(D) may assist in legal advocacy efforts DREN. ‘‘(8) The term ‘domestic violence’ includes on behalf of children with respect to issues Subpart 2 of part A of title IV of the Ele- acts or threats of violence, not including related directly to services the children are mentary and Secondary Act of 1965 (20 U.S.C. acts of self-defense, committed by a current receiving from the program; 7131 et seq.) is amended by adding at the end or former spouse of the victim, by a person ‘‘(E) may include respite care, supervised the following: with whom the victim shares a child in com- visitation, and specialized services for chil- ‘‘SEC. 4125. GRANTS TO COMBAT THE IMPACT OF mon, by a person who is cohabiting with or dren; and EXPERIENCING OR WITNESSING DO- has cohabited with the victim, by a person ‘‘(F) may use not more than 25 percent of MESTIC VIOLENCE ON ELEMENTARY the grant funds to contract with others to AND SECONDARY SCHOOL CHIL- who is or has been in a continuing social re- DREN. lationship of a romantic or intimate nature provide additional services and resources for ‘‘(a) GRANTS AUTHORIZED.— with the victim, by a person similarly situ- children including child care, transpor- ‘‘(1) AUTHORITY.—The Secretary is author- ated to a spouse of the victim under the do- tation, educational support, respite care, su- pervised visitation, and access to specialized ized to award grants and contracts to ele- mestic or family violence laws of the juris- mentary schools and secondary schools that diction, or by any other person against a vic- services for children. ‘‘(2) CONFIDENTIALITY.—Programs devel- work with experts to enable the elementary tim who is protected from that person’s acts schools and secondary schools— under the domestic or family violence laws oped and implemented under paragraph (1) shall ensure the safety and confidentiality of ‘‘(A) to provide training to school adminis- of the jurisdiction. trators, faculty, and staff, with respect to ‘‘(9) The term ‘sexual assault’ means any child and adult victims in a manner that is consistent with applicable Federal and State issues concerning children experiencing do- conduct proscribed by chapter 109A of title mestic violence in dating relationships and 18, United States Code, whether or not the laws. ‘‘(d) APPLICATION.—To be eligible to re- witnessing domestic violence, and the im- conduct occurs in the special maritime and ceive a grant under subsection (a), an entity pact of the violence described in this sub- territorial jurisdiction of the United States shall prepare and submit to the Secretary an paragraph on children; or in a Federal prison and includes both as- application at such time, in such manner, ‘‘(B) to provide educational programming saults committed by offenders who are and containing such information as the Sec- to students regarding domestic violence and strangers to the victim and assaults com- retary may require. the impact of experiencing or witnessing do- mitted by offenders who are known to the ‘‘(e) TERM AND AMOUNT.— mestic violence on children; victim or related by blood or marriage to the ‘‘(1) TERM.—The Secretary shall make the ‘‘(C) to provide support services for stu- victim. grants under this section for a period of not dents and school personnel for the purpose of ‘‘(10) The term ‘stalking’ means engaging more than 3 fiscal years. developing and strengthening effective pre- in a course of conduct directed at a specific ‘‘(2) AMOUNT.—Each grant awarded under vention and intervention strategies with re- person that would cause a reasonable person this section shall be in an amount of not less spect to issues concerning children experi- to fear death, sexual assault, or bodily injury than $50,000 per year and not more than encing domestic violence in dating relation- to such person or a member of such person’s $300,000 per year. ships and witnessing domestic violence, and immediate family, when the person engaging ‘‘(f) EVALUATION, MONITORING, ADMINISTRA- the impact of the violence described in this in such conduct has knowledge or should TION, AND TECHNICAL ASSISTANCE.—Of the subparagraph on children; and have knowledge that the specific person will amount appropriated under subsection (j) for ‘‘(D) to develop and implement school sys- be placed in reasonable fear of death, sexual each fiscal year, not more than 4 percent tem policies regarding appropriate, safe re- assault, or bodily injury to such person or a shall be used by the Secretary for evalua- sponses identification and referral proce- member of such person’s immediate family tion, monitoring, administrative, and tech- dures for students who are experiencing or and when the conduct induces fear in the nical assistance costs under this section. witnessing domestic violence. specific person of death, sexual assault, or ‘‘(g) EQUITABLE DISTRIBUTION.—In awarding ‘‘(2) AWARD BASIS.—The Secretary shall bodily injury to such person or a member of grants under subsection (a), the Secretary award grants and contracts under this sec- such person’s immediate family.’’. shall ensure an equitable geographic dis- tion—

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00060 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2815 ‘‘(A) on a competitive basis; and SEC. 207. GRANTS FOR TRAINING AND COLLABO- ‘‘(D) in the case of training for court per- ‘‘(B) in a manner that ensures that such RATION AMONG CHILD WELFARE sonnel and law enforcement, holding adult grants and contracts are equitably distrib- AGENCIES, DOMESTIC VIOLENCE perpetrators of domestic violence, sexual as- AND SEXUAL ASSAULT SERVICE uted throughout a State among elementary PROVIDERS, THE COURTS AND LAW sault, and child abuse and neglect, not the schools and secondary schools located in ENFORCEMENT AGENCIES. child and adult victims of domestic violence, rural, urban, and suburban areas in the The Family Violence Prevention and Serv- sexual assault, and child abuse and neglect, State. ices Act (42 U.S.C. 10401 et seq.), as amended accountable for stopping abusive behaviors; ‘‘(3) POLICY DISSEMINATION.—The Secretary by section 205, is further amended by adding and shall disseminate to elementary schools and at the end the following: ‘‘(3) increase cooperation and enhance secondary schools any Department of Edu- ‘‘SEC. 322. GRANTS FOR TRAINING AND COLLABO- linkages between child welfare agencies, do- cation policy guidance regarding the preven- RATION AMONG CHILD WELFARE mestic violence and sexual assault service tion of domestic violence and the impact of AGENCIES, DOMESTIC VIOLENCE providers, juvenile, family or other trial AND SEXUAL ASSAULT SERVICE experiencing or witnessing domestic violence courts with jurisdiction over child maltreat- PROVIDERS, THE COURTS, AND LAW ment and domestic violence cases, and law on children. ENFORCEMENT AGENCIES. enforcement agencies to protect and more ‘‘(a) PURPOSE.—It is the purpose of this ‘‘(b) USES OF FUNDS.—Funds provided comprehensively and effectively serve both section to— under this section may be used for the fol- child and adult victims of domestic violence ‘‘(1) encourage cross training and collabo- lowing purposes: and sexual assault, and to engage where nec- ration between child welfare agencies and ‘‘(1) To provide training for elementary domestic violence and sexual assault service essary other entities addressing the safety, school and secondary school administrators, providers and, where applicable, the courts health, mental health, social service, hous- faculty, and staff that addresses issues con- and law enforcement agencies to identify, as- ing and economic needs of child and adult cerning elementary school and secondary sess, and respond appropriately to domestic victims of domestic violence and sexual as- school students who experience domestic vi- violence or sexual assault in homes where sault, including community-based supports olence in dating relationships or witness do- children are present and may be exposed to such as schools, local health centers, com- mestic violence, and the impact of such vio- the violence, to domestic violence or sexual munity action groups, and neighborhood coa- lence on the students. assault in child protection cases, and to the litions. ‘‘(2) To provide education programs for ele- needs of both child and adult victims of do- ‘‘(b) GRANT AUTHORITY.— mentary school and secondary school stu- mestic violence and sexual assault; ‘‘(1) IN GENERAL.—The Secretary shall dents that are developmentally appropriate ‘‘(2) establish and implement policies, pro- make grants to eligible entities to enable for the students’ grade levels and are de- cedures, and practices in child welfare agen- the entities to jointly carry out cross train- signed to meet any unique cultural and lan- cies, domestic violence or sexual assault ing and other initiatives to promote collabo- guage needs of the particular student popu- service programs and, where applicable, ju- ration that seeks to carry out the purposes lations. venile, family or other trial courts with ju- of this section. ‘‘(3) To develop and implement elementary risdiction over child maltreatment and do- ‘‘(2) GRANT PERIODS.—Grants shall be school and secondary school system policies mestic violence cases (referred to in this sec- awarded under paragraph (1) for a period of 3 regarding appropriate, safe responses identi- tion as the ‘courts’), and law enforcement years. fication and referral procedures for students agencies that are consistent with the prin- ‘‘(3) ELIGIBLE ENTITIES.—To be eligible to who are experiencing or witnessing domestic ciples of— receive a grant under this section, a grant violence. ‘‘(A) protecting children; applicant shall establish a partnership that— ‘‘(4) To provide the necessary human re- ‘‘(B) increasing the safety and well-being of ‘‘(A) shall include— sources to respond to the needs of elemen- children, by— ‘‘(i) a State child welfare agency, an Indian tary school and secondary school students ‘‘(i) tending to their immediate and longer tribal organization that serves as a child and personnel who are faced with the issue of term needs for treatment and support; welfare agency, or a local child welfare agen- domestic violence, such as a resource person ‘‘(ii) increasing the safety of parents of cy; and who is either on-site or on-call, and who is children who are not the perpetrators of do- ‘‘(ii) a domestic violence or sexual assault an expert. mestic violence and sexual assault (referred service provider, such as— ‘‘(5) To provide media center materials and to in this section as the ‘nonabusing par- ‘‘(I) a State, local, or tribal domestic vio- educational materials to elementary schools ent’); lence or sexual assault coalition; or and secondary schools that address issues ‘‘(iii) supporting the autonomy, capacity, ‘‘(II) another private non-profit organiza- concerning children who experience domestic and financial security of the nonabusing par- tion such as a community-based domestic vi- violence in dating relationships and witness ents of children who are also the victims of olence or sexual assault program that is con- domestic violence, and the impact of the vio- domestic violence or sexual assault (referred cerned with domestic violence or sexual as- lence described in this paragraph on the chil- to in this section as ‘adult victims’); sault and has a documented history of effec- dren. ‘‘(iv) protecting the safety, security and tive work concerning domestic violence or ‘‘(6) To conduct evaluations to assess the well being of the child by preventing the un- sexual assault and the impact domestic vio- impact of programs and policies assisted necessary removal of the child from the non- lence or sexual assault has on children; and under this section in order to enhance the abusing parent; and ‘‘(B) may include— development of the programs. ‘‘(v) in cases where removal of the child is ‘‘(i) a State or local juvenile, family, or necessary to protect the child’s safety, tak- other trial court with jurisdiction over child ‘‘(c) CONFIDENTIALITY.—Policies, programs, ing the necessary steps to provide appro- maltreatment and domestic violence cases; training materials, and evaluations devel- priate services to the child and the non- or oped and implemented under subsection (b) abusing parent to promote the safe and ap- ‘‘(ii) a State or local law enforcement shall address issues of safety and confiden- propriately prompt reunification of the child agency with responsibility for responding to tiality for the victim and the victim’s family with the nonabusing parent; reports of domestic violence or sexual as- in a manner consistent with applicable Fed- ‘‘(C) recognizing— sault or child abuse and neglect. ‘‘(i) the relationship between child abuse eral and State laws. ‘‘(c) USES OF FUNDS.—An entity that re- and neglect, including child sexual abuse, ‘‘(d) APPLICATION.— and domestic violence and sexual assault in ceives a grant under this section shall use ‘‘(1) IN GENERAL.—To be eligible to be families; the funds made available through the grant awarded a grant or contract under this sec- ‘‘(ii) the impact of the perpetrator’s behav- for cross-training and collaborative efforts, tion for any fiscal year, an elementary ior on child and adult victims of domestic vi- consistent with the principles described in school or secondary school, in consultation olence and sexual assault; subsection (a)(2), including— with an expert, shall submit an application ‘‘(iii) the dangers posed to both child and ‘‘(1) to educate the staff of child welfare to the Secretary at such time and in such adult victims of domestic violence and sex- agencies and domestic violence and sexual manner as the Secretary shall prescribe. ual assault; assault service providers, and, as applicable, ‘‘(2) CONTENTS.—Each application sub- ‘‘(iv) the physical, emotional, and develop- the staff of courts and law enforcement agen- mitted under paragraph (1) shall— mental impact of domestic violence and sex- cies to responsibly address domestic violence ‘‘(A) describe the need for funds provided ual assault on child and adult victims; and sexual assault (recognizing it as a seri- under the grant or contract and the plan for ‘‘(v) the physical, emotional, and financial ous problem that threatens both its child implementation of any of the activities de- needs of adult victims of domestic violence and adult victims), and to understand— scribed in subsection (b); and sexual assault; and ‘‘(A) domestic violence and sexual assault ‘‘(B) describe how the experts shall work in ‘‘(vi) the need to hold adult perpetrators of and their effects on children and adults; consultation and collaboration with the ele- domestic violence and sexual assault ac- ‘‘(B) child abuse and neglect and its effects mentary school or secondary school; and countable for their abusive behaviors to pro- on children; and ‘‘(C) provide measurable goals for and ex- vide appropriate services to reduce risks to ‘‘(C) child welfare policies that affect child pected results from the use of the funds pro- child and adult victims of domestic violence and adult victims of domestic violence and vided under the grant or contract. or sexual assault; sexual assault;

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00061 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2816 CONGRESSIONAL RECORD — SENATE March 12, 2004 ‘‘(2) to ensure the effective handling of ‘‘(VI) Intervention and treatment for adult vent the unnecessary removal of children cases where domestic violence or sexual as- perpetrators of domestic violence or sexual from the nonabusing parent, and to promote sault and child abuse and neglect intersect assault whose children are the subjects of prompt reunification if removal becomes so as to— child protection cases to promote the safety necessary of both types of victims and give ‘‘(A) assure the safety and well-being of and well-being of the children, and appro- appropriate consideration to preserving the both the child and the nonabusing parent; priate coordination of such treatment with safety of family members not responsible for ‘‘(B) prevent the unnecessary removal of the juvenile, family, and criminal courts, the child abuse or neglect; the child from the nonabusing parent, and, and law enforcement agencies with which ‘‘(v) appropriate interventions for adult when removal is necessary to protect the the perpetrators are involved. perpetrators of domestic violence to reduce child’s safety; ‘‘(VII) Health, mental health, and other the risk of further violence toward child and ‘‘(C) promote the delivery of appropriate necessary supportive services. adult victims of domestic violence and sex- services to the child and to the nonabusing ‘‘(VIII) Assistance to obtain housing and ual assault which emphasize perpetrator ac- parent; and necessary economic supports. countability; ‘‘(D) facilitate the safe and appropriately ‘‘(d) APPLICATION.—To be eligible to re- ‘‘(vi) appropriate supervision of child wel- ceive a grant under this section, the entities prompt reunification of the child with the fare staff working with families in which that are members of the applicant partner- nonabusing parent through the development there has been domestic violence and sexual ship described in subsection (b)(3), shall and implementation of policies, procedures, assault, including supervision relating to jointly submit an application to the Sec- issues involving the safety of the child and and programs that are consistent with the retary at such time, in such manner, and purposes of this section; adult victims and of the staff; containing such information as the Sec- ‘‘(vii) the confidentiality needs of the child ‘‘(3) to identify and assess, and respond ap- retary may require. The application shall— propriately to, domestic violence or sexual and adult victims, consistent with laws re- ‘‘(1) outline the specific training and other quiring mandatory reporting of child abuse assault in child protection cases and the activities that will be undertaken under the needs of child victims of abuse and neglect in and neglect; and grant to promote collaboration; ‘‘(viii) develop child protection case plans domestic violence or sexual assault cases; ‘‘(2) describe how the training and other ‘‘(4) to ensure that child welfare agencies that recognize the need to protect the safety activities described in subsection (c) will of the child and of the adult victim and to and domestic violence and sexual assault help achieve the purposes of this section; service providers will not be required to hold adult perpetrators, not victims, respon- ‘‘(3) identify the agencies and providers sible for stopping domestic violence and sex- share confidential information with one an- that will be responsible for carrying out the other about families receiving services ex- ual assault. initiatives for which the entities seek the ‘‘(f) PRIORITY.—In awarding grants under cept as required by law or with the informed, grant; this section, the Secretary shall give pri- written consent of the adult victim being ‘‘(4) include documentation from child wel- ority to entities that have submitted appli- served; fare agencies and domestic violence and sex- cations in partnership with State or local ju- ‘‘(5) to provide appropriate resources in ual assault victims service providers, and venile, family, or other trial courts with ju- child abuse and neglect cases to respond to where applicable, State or local juvenile, risdiction over child maltreatment and do- domestic violence and sexual assault, includ- family, or other trial courts with jurisdic- mestic violence cases, and law enforcement ing developing a service plan and providing tion over child maltreatment and domestic agencies. other appropriate services and interventions violence cases, and law enforcement agencies ‘‘(g) REPORTING, AND DISSEMINATION OF IN- that ensure the safety of both the child and that have been involved in the development FORMATION.— adult victims of the domestic violence and of the application; ‘‘(1) REPORTS.—Each of the entities that sexual assault; ‘‘(5) describe the ongoing involvement of are members of the applicant partnership de- ‘‘(6) to establish and enhance linkages and child welfare and domestic violence and sex- scribed in subsection (b)(3), that receive a collaboration between child welfare agen- ual assault victims service providers (includ- grant under this section shall jointly annu- cies, domestic violence or sexual assault ing a description of their roles as sub- ally prepare and submit to the Secretary a service providers and, where applicable, contractors, and documentation of appro- report detailing the activities that the enti- State or local juvenile, family, or other trial priate compensation, if relevant) and, where ties have undertaken under the grant and courts with jurisdiction over child maltreat- applicable, courts and law enforcement agen- such additional information as the Secretary ment and domestic violence cases, law en- cies, in the development of the training poli- shall require. At a minimum, such report forcement agencies, and other entities ad- cies, procedures, programs, and practices de- shall address the nature of the cross-training dressing the safety, health, mental health, scribed in subsection (c)(1); and and other activities to promote collabora- social service, housing, and economic needs ‘‘(6) provide assurances that activities de- tion among child welfare agencies, domestic of child and adult victims of domestic vio- scribed in subsection (c) will— violence or sexual assault service providers, lence and sexual assault, including commu- ‘‘(A) be provided to child welfare staff, in- and where applicable, State or local juvenile, nity-based supports such as schools, local cluding line staff, supervisors, and adminis- family, or other trial courts with jurisdic- health centers, community action groups, trators, and be provided first to staff respon- tion over child maltreatment and domestic and neighborhood coalitions to— sible for investigation, follow-up, screening, violence cases and law enforcement agencies ‘‘(i) respond effectively and comprehen- intake, assessment, and provision of serv- that were undertaken with such grants and sively to the varying needs of child and adult ices; and examples of enhanced collaboration that has victims of domestic violence and sexual as- ‘‘(B) be conducted jointly with child wel- occurred to better protect both child and sault to prevent child and adult victims from fare agency staff, staff from community- adult victims of child abuse and domestic vi- having to turn to child welfare agencies for based domestic violence programs and sexual olence or sexual assault. assistance; assault crisis centers and where applicable, ‘‘(2) DISSEMINATION OF INFORMATION.—Not ‘‘(ii) include linguistically and culturally courts and law enforcement agencies; later then 9 months after the end of the appropriate services and linkages to existing ‘‘(C) comply with the principles described grant period under this section, the Sec- services; and in subsection (a)(2); and retary shall distribute to all State child wel- ‘‘(iii) include at least the following serv- ‘‘(D) address— fare agencies, domestic violence or sexual as- ices where appropriate: ‘‘(i) the dynamics and lethality of domestic sault victim service providers, and where ap- ‘‘(I) Appropriate referrals to community- violence and sexual assault, the impact of plicable, State or local juvenile, family, or based domestic violence programs and sexual domestic violence and sexual assault on chil- other trial courts with jurisdiction over assault victim service providers with the ca- dren exposed to domestic violence and sexual child maltreatment and domestic violence pacities to support adult victims of domestic assault, the impact of domestic violence and cases, law enforcement agencies, and Con- violence or sexual assault who are parents of sexual assault on adult victims, and the rela- gress summaries that contain information children who have been abused or neglected tionship of domestic violence and sexual as- on— or are at risk of being abused or neglected. sault to child abuse and neglect; ‘‘(A) the activities implemented by the re- ‘‘(II) Emergency shelter and transitional ‘‘(ii) screening for domestic violence and cipients of the grants; and housing for adult victims of domestic vio- sexual assault and assessing danger to the ‘‘(B) related initiatives undertaken by the lence or sexual assault and their children. child and adult victims of domestic violence Secretary to promote attention by the staff ‘‘(III) Legal assistance and advocacy for and sexual assault; of child welfare agencies, domestic violence victims of domestic violence or sexual as- ‘‘(iii) applicable Federal, State, and local or sexual assault service providers and where sault including, when appropriate, assistance laws pertaining to child abuse and neglect applicable, courts and law enforcement agen- in obtaining and entering orders of protec- and domestic violence and sexual assault; cies to domestic violence and sexual assault tion. ‘‘(iv) the safety needs of child and adult and their impact on both child and adult vic- ‘‘(IV) Support and training to assist par- victims of child abuse and neglect or domes- tims. ents to help their children cope with the im- tic violence, or sexual assault and appro- ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— pact of domestic violence or sexual assault. priate interventions for the child and adult There are authorized to be appropriated to ‘‘(V) Programs to help children who have victims that protect their the safety, includ- carry out this section, $15,000,000 in each of been exposed to domestic violence or sexual ing appropriate services and treatment for fiscal years 2004 through 2006, and $25,000,000 assault. children and the nonabusing parent to pre- in each of fiscal years 2007 and 2008.’’.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00062 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2817 SEC. 208. MULTISYSTEM INTERVENTIONS FOR safety and security of a battered parent, and violence on children, appropriate procedures CHILDREN WHO HAVE BEEN EX- as a result, the child of the parent; for maintaining the safety and security of POSED TO DOMESTIC VIOLENCE. ‘‘(5) provide direct counseling and advo- victims of domestic violence and their chil- The Family Violence Prevention and Serv- cacy for adult victims of domestic violence dren, and appropriate procedures for main- ices Act (42 U.S.C. 10401 et seq.), as amended and their children who have been exposed to taining the confidentiality of both child and by section 206, is further amended by adding domestic violence; adult victims of domestic violence utilizing at the end the following: ‘‘(6) establish or implement policies and the services of crisis nurseries. ‘‘SEC. 323. MULTISYSTEM INTERVENTIONS FOR protocols for maintaining the confidentiality ‘‘(2) TRAINING REQUIREMENT.—Training re- CHILDREN WHO HAVE BEEN EX- of the battered parent and child; quired under paragraph (1) shall be con- POSED TO DOMESTIC VIOLENCE. ‘‘(7) provide community outreach and ducted in consultation with State, local, or ‘‘(a) GRANTS AUTHORIZED.—The Secretary training to enhance the capacity of profes- tribal domestic violence coalitions or other may award grants to eligible entities to en- sionals who work with children to appro- private nonprofit organizations such as a able such entities to conduct programs to en- priately identify and respond to the needs of community-based domestic violence program courage the development and use of multi- children who have been exposed to domestic that has a documented history of serving system intervention models that respond to violence; both child and adult victims of domestic vio- the needs of children who have been exposed ‘‘(8) establish procedures for documenting lence. to domestic violence. ‘‘(c) COORDINATION.—An applicant for a ‘‘(b) ELIGIBLE ENTITIES.—To be eligible to interventions used for each child and family; receive a grant under this section, an entity ‘‘(9) establish plans to perform a system- grant under this section shall demonstrate shall— atic outcome evaluation to evaluate the ef- how activities funded under this section will ‘‘(1) be a nonprofit private organization; fectiveness of the interventions; be coordinated with other crisis nursery ac- ‘‘(2)(A) demonstrate recognized expertise ‘‘(10) ensure that all services are provided tivities funded under section 201 of the Child in the area of domestic violence and the im- in a culturally competent manner; and Abuse Prevention and Treatment Act. ‘‘(d) REPORTING.—A recipient of a grant pact of domestic violence on children; or ‘‘(11) provide remuneration to local domes- under this section shall annually report on ‘‘(B) have entered into a memorandum of tic violence services organizations who are the crisis nursery activities funded under understanding regarding the intervention asked to join collaborations. this grant. At a minimum, such a report program to be established under the grant ‘‘(d) APPLICATION.—To be eligible to re- shall describe— and the role of the entity in the program ceive a grant under this section, an entity ‘‘(1) the number of children and families with— shall prepare and submit to the Secretary an served through crisis nursery activities es- ‘‘(i) the appropriate State or tribal domes- application at such time, in such manner, tablished under the grant; tic violence coalition; and and containing such information as the Sec- ‘‘(2) the nature and extent of the crisis ‘‘(ii) entities carrying out domestic vio- retary may require. nursery activities; lence programs that provide shelter or re- ‘‘(e) TERM AND AMOUNT.—A grant awarded ‘‘(3) the percentage of children served by lated assistance in the locality in which the under this section shall be awarded for a the crisis nursery activities established intervention program will be operated and term of 3 years and in an amount of not more under the grant who are from families expe- that have an understanding of its effects on than $500,000 for each such year. riencing domestic violence; children; ‘‘(f) TECHNICAL ASSISTANCE.—Not later ‘‘(4) the type of domestic violence training ‘‘(3)(A) demonstrate a recognized expertise than 90 days after the date of enactment of provided to crisis nursery staff and the na- in child mental health services; or this section, the Secretary shall identify suc- ture and extent of training coordination ‘‘(B) have entered into a memorandum of cessful programs that provide multisystem with local domestic violence service pro- understanding regarding the intervention and mental health interventions to address viders; program to be established under the grant the needs of children who have been exposed ‘‘(5) the nature and extent of other Federal with providers that have expertise in child to domestic violence. Not later than 60 days and State funding sources used to support mental health to ensure that children of all before the Secretary solicits applications for the services of the crisis nursery; ages have access to appropriate mental grants under this section, the Secretary ‘‘(6) the gaps between the service needs of health services; and shall enter into an agreement with 1 or more the crisis nursery and the current capacity ‘‘(4) demonstrate a history of providing ad- entities carrying out the identified programs of crisis nurseries to serve children and fami- vocacy, health care, mental health, or other to provide technical assistance to applicants lies; and crisis-related services to children. and recipients of such grants. The Secretary ‘‘(7) outcome evaluation data on the effec- ‘‘(c) USE OF FUNDS.—An entity that re- may use not more than 5 percent of the ceives a grant under this section shall use amount appropriated for a fiscal year under tiveness of crisis nursery activities, if avail- amounts provided under the grant to design subsection (g) to provide such technical as- able. ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— or replicate, and implement, multisystem sistance. There is authorized to be appropriated to intervention models to respond to the needs ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.— carry out this section, $15,000,000 for each of of children exposed to domestic violence. ‘‘(1) IN GENERAL.—There is authorized to be fiscal years 2004 through 2008.’’. Such activities shall— appropriated to carry out this section, ‘‘(1)(A) involve collaborative partnerships $15,000,000 for each of fiscal years 2004 SEC. 210. RESEARCH AND DATA COLLECTION ON through 2008. THE IMPACT OF DOMESTIC VIO- with— LENCE ON CHILDREN. ‘‘(2) AVAILABILITY.—Amounts appropriated ‘‘(i) local entities carrying out domestic vi- The Family Violence Prevention and Serv- under paragraph (1) shall remain available olence programs that provide shelter or re- ices Act (42 U.S.C. 10401 et seq.), as amended until expended.’’. lated assistance or have expertise in the field by section 209, is further amended by adding of providing services to victims of domestic SEC. 209. CRISIS NURSERY DEMONSTRATION at the end the following: GRANTS PROGRAM. violence and an understanding of its effects ‘‘SEC. 325. RESEARCH AND DATA COLLECTION ON on children; and The Family Violence Prevention and Serv- THE IMPACT OF DOMESTIC VIO- ‘‘(ii) other partners including courts, ices Act (42 U.S.C. 10401 et seq.), as amended LENCE ON CHILDREN. schools, social service providers, health care by section 208, is further amended by adding ‘‘(a) GRANTS.—The Secretary may award providers, police, early childhood agencies, at the end the following: competitive grants to eligible entities to en- entities carrying out Head Start programs ‘‘SEC. 324. CRISIS NURSERY DEMONSTRATION able such entities to conduct research and under the Head Start Act (42 U.S.C. 9831 et GRANT PROGRAMS. data collection activities concerning the im- seq.), or entities carrying out child protec- ‘‘(a) AUTHORITY TO ESTABLISH DEMONSTRA- pact of domestic violence on children. tion, welfare, job training, housing, battered TION GRANT PROGRAMS.—The Secretary may ‘‘(b) ELIGIBLE ENTITIES.—To be eligible to women’s service, or children’s mental health establish demonstration programs under receive a grant under this section, an entity programs; and which grants are awarded to States to assist shall be an institution of higher education or ‘‘(B) be carried out to design and imple- private nonprofit and public agencies and or- another nonprofit organization (such as a re- ment protocols and systems to identify, and ganizations in providing crisis nurseries for search entity, hospital, or mental health in- appropriately respond to the needs of chil- children who are abused and neglected, are stitution), with documented experience with dren who have been exposed to domestic vio- at risk of abuse and neglect, are in families research or data collection concerning the lence and who participate in programs ad- experiencing domestic violence, or are in impact of domestic violence on children. ministered by the partners; families receiving child protective services. ‘‘(c) USE OF FUNDS.—An entity that re- ‘‘(2) establish or implement guidelines to ‘‘(b) ASSURANCES FOR TRAINING IN DOMESTIC ceives a grant under this section shall use evaluate the needs of a child and make ap- VIOLENCE.— amounts provided under the grant to con- propriate intervention recommendations; ‘‘(1) IN GENERAL.—Private nonprofit and duct new or expand current research or data ‘‘(3) include the development or replication public agencies and organizations who re- collection— of a mental health treatment model to meet ceive funds under this section shall provide ‘‘(1) on the prevalence of childhood expo- the needs of children for whom such treat- assurances to the Secretary that personnel sure to domestic violence and the effects of ment has been identified as appropriate; working with children and families in crisis the exposure in child and adult victims; ‘‘(4) establish or implement institutional- nurseries receive or have received training in ‘‘(2) on the co-occurrence of domestic vio- ized procedures to enhance or ensure the domestic violence, the impact of domestic lence, and child abuse or neglect;

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00063 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2818 CONGRESSIONAL RECORD — SENATE March 12, 2004 ‘‘(3) on linkages between children’s expo- child abuse and neglect fatalities in this ‘‘(3) research on effective interventions for sure to domestic violence and violent behav- country. adults and children exposed to family vio- ior in youth and adults; (10) Currently, about 10 percent of primary lence; ‘‘(4) that evaluates new or existing treat- care physicians routinely screen for intimate ‘‘(4) research concerning the development, ments aimed at children exposed to domestic partner abuse during new patient visits and implementation, evaluation, and dissemina- violence; nine percent routinely screen during periodic tion of appropriate curricula for health pro- ‘‘(5) on the prevalence of childhood expo- checkups. fessional training in the area of family vio- sure to domestic violence for Native Amer- (11) Recent clinical studies have proven the lence; ican children; effectiveness of a 2-minute screening for ‘‘(5) research concerning the effectiveness ‘‘(6) on the effects and benefits of keeping early detection of abuse of pregnant women. of different educational methodologies that children with their nonabusive parent and Additional longitudinal studies have tested a are used to present the curricula described in providing coordinated services to both; 10-minute intervention that was proven paragraph (4); ‘‘(7) on the role of children’s resilience and highly effective in increasing the safety of ‘‘(6) research concerning the effects of other factors that help mitigate the effects pregnant abused women. Comparable re- mandatory domestic violence reporting re- of exposure to domestic violence; and search does not yet exist to support the ef- quirements, including the effects of such re- ‘‘(8) on related matters, if the research or fectiveness of screening men. quirements on— data collection directly addresses the impact (12) 70 to 81 percent of the patients studied ‘‘(A) the prevalence and incidence of fam- of domestic violence on children. reported that they would like their ily violence; ‘‘(d) TERM AND AMOUNT.—The Secretary healthcare providers to ask them privately ‘‘(B) victim and dependent safety and self- shall award grants under this section for about intimate partner violence. efficacy; ‘‘(C) referral and treatment patterns; and terms of 3 years and in amount of not more Subtitle A—Research on Health and Family ‘‘(D) access to health care, legal, and advo- than $500,000 for each such year. Violence ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— cacy services; and There are authorized to be appropriated to SEC. 311. HEALTH RESEARCH ON FAMILY VIO- ‘‘(7) research and testing of best messages carry out this section, $2,000,000 for each of LENCE. and strategies to mobilize public action con- fiscal years 2004 through 2006, and $5,000,000 Title III of the Public Health Service Act cerning the prevention of family violence. for each of fiscal years 2007 and 2008.’’. (42 U.S.C. 241 et seq.) is amended by adding ‘‘(d) GRANTS AND CONTRACTS.— at the end the following part: ‘‘(1) IN GENERAL.—In carrying out sub- TITLE III—DOMESTIC VIOLENCE SCREEN- section (a), the Secretary may make grants ING, TREATMENT, AND PREVENTION ‘‘PART R—HEALTH RESEARCH ON FAMILY to and enter into contracts with public and SEC. 301. SHORT TITLE. VIOLENCE; HEALTH PROFESSIONALS EDUCATION nonprofit private entities capable of con- This title may be cited as the ‘‘Domestic ducting the research funded under this sec- Violence Screening, Treatment, and Preven- ‘‘SEC. 399AA. DEFINITION. tion. ‘‘In this part the term ‘family violence’ tion Act of 2003’’. ‘‘(2) APPLICATION FOR AWARD.—The Sec- SEC. 302. FINDINGS. means any act or threatened act of violence, retary may make an award of a grant or con- Congress makes the following findings: including any forceful detention of an indi- tract under paragraph (1) only if an applica- (1) Nearly one-third of American women (31 vidual, that— tion for the award is submitted to the Sec- percent) report being physically or sexually ‘‘(1) results or threatens to result in phys- retary and the application is in such form, is abused by a husband or boyfriend at some ical injury and/or sexual assault; and made in such manner, and contains such point in their lives, and about 1200 women ‘‘(2) is committed by a person against an- agreements, assurances, and information as are murdered every year by their intimate other individual (including an elderly indi- the Secretary determines to be necessary to partner, nearly 3 each day. vidual or a child)— carry out the purposes for which the award is (2) 85 percent of violent victimizations are ‘‘(A) to whom such person is or was related to be made. experienced by women. by blood or marriage or is otherwise legally ‘‘(e) ADVISORY BOARD.— (3) 37 percent of all women who sought care related; ‘‘(1) IN GENERAL.—The Secretary shall es- in hospital emergency rooms for violence-re- ‘‘(B) with whom such person is or was law- tablish an advisory board to make rec- lated injuries were injured by a current or fully residing; or ommendations concerning the research agen- former spouse, boyfriend, or girlfriend. ‘‘(C) with whom such person is or has been da carried out by the research centers under (4) In addition to injuries sustained during in a social relationship of a romantic or inti- this section. violent episodes, physical and psychological mate nature. ‘‘(2) COMPOSITION.— abuse are linked to a number of adverse ‘‘SEC. 399AA–1. FAMILY VIOLENCE RESEARCH ‘‘(A) APPOINTED MEMBERS.—The advisory physical and mental health effects. Women CENTERS. board shall be composed of 19 members to be who have been abused are much more likely ‘‘(a) ESTABLISHMENT.—The Secretary shall appointed by the Secretary as follows: to suffer from chronic pain, gastrointestinal provide for the establishment of family vio- ‘‘(i) Twelve members shall be appointed disorders, diabetes, depression, unintended lence research and education centers to con- from among individuals who are scientific or pregnancies, substance abuse and sexually duct research and disseminate information, health care experts in the areas of elder transmitted infections, including HIV/AIDS. including professional and public education, abuse, domestic violence, child abuse, men- (5) Medical services for abused women cost concerning family violence. tal health, epidemiology, social work, or an estimated $857,300,000 every year and ‘‘(b) LINKAGES.—In establishing centers health education. health plans spend an average of $1,775 more under subsection (a), the Secretary shall en- ‘‘(ii) Seven members shall be appointed a year on abused women than on general en- sure that at least— from among nationally recognized experts in rollees. ‘‘(1) one center is affiliated with the Na- domestic violence, child abuse, and elder (6) Each year, at least six percent of all tional Institutes of Health; abuse who have a documented history of ef- pregnant women, about 240,000 pregnant ‘‘(2) one center is affiliated with the Agen- fective and respected work in their respec- women, in this country are battered by the cy for Health Care Research and Quality; and tive field, of which— men in their lives. This battering leads to ‘‘(3) each center is linked to national, ‘‘(I) at least one member shall be an expert complications of pregnancy, including low State, and local community resources, in- in domestic violence and dating violence; weight gain, anemia, infections, and first cluding domestic violence state coalitions ‘‘(II) at least one member shall be an ex- and second trimester bleeding. and local shelter-based domestic violence pert in child abuse; (7) Pregnant and recently pregnant women programs, community health centers, health ‘‘(III) at least one member shall be an ex- are more likely to be victims of homicide care delivery systems, and domestic and sex- pert in elder abuse; than to die of any other cause, and evidence ual assault hotlines, through which informa- ‘‘(IV) at least one member shall be an ex- exists that a significant proportion of all fe- tion may be distributed. pert in the impact of family violence on chil- male homicide victims are killed by their in- ‘‘(c) GENERAL DUTIES.—Each center estab- dren and youth; and timate partners. lished under subsection (a) may provide for ‘‘(V) at least one member shall be an ex- (8) Children who witness domestic violence the conduct of family violence research, in- pert in domestic violence against older or are more likely to exhibit behavioral and cluding— disabled women. physical health problems including depres- ‘‘(1) research concerning the prevalence ‘‘(B) EX OFFICIO MEMBERS.—The following sion, anxiety, and violence towards peers. and characteristics of different forms of fam- shall be ex-officio members of the advisory They are also more likely to attempt sui- ily violence, including child abuse, domestic board: cide, abuse drugs and alcohol, run away from violence, and elder abuse; ‘‘(i) The Assistant Secretary for Health. home, engage in teenage prostitution, and ‘‘(2) research concerning the effects that ‘‘(ii) The Director of the National Insti- commit sexual assault crimes. family violence and childhood exposure to tutes of Health. (9) Fifty percent of men who frequently as- family violence have on health behaviors, ‘‘(iii) The Director of the Centers for Dis- sault their wives frequently assault their health conditions and the health status of ease Control and Prevention. children. The U.S. Advisory Board on Child individuals, families, and populations, and ‘‘(iv) The Assistant Secretary for Children Abuse and Neglect suggests that domestic vi- the health care utilization and costs attrib- and Families. olence may be the single major precursor to utable to family violence; ‘‘(v) The Assistant Secretary for Aging.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00064 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2819 ‘‘(vi) The Administrator of the Health Re- tem response to family violence may receive statewide strategies to improve the response sources and Services Administration. priority in funding. of the health care system to domestic vio- ‘‘(vii) The Assistant Attorney General for ‘‘(c) USE OF FUNDS.—An entity shall use lence in clinical and public health care set- the Office of Justice Programs. amounts received under a grant under this tings and to promote education and aware- ‘‘(viii) The Director of the Agency for section to— ness about domestic violence at a statewide Healthcare Research and Quality. ‘‘(1) conduct evaluations of existing family level. Such strategies shall be in accordance ‘‘(C) CHAIRPERSON.—The members of the violence identification and treatment train- with the following: advisory board appointed under subpara- ing programs; and ‘‘(A) Such strategies shall include the fol- graph (A) shall elect a chairperson from ‘‘(2) develop (or adapt) and implement in- lowing: among such members. novative training models or programs to ‘‘(i) Collaboration with State departments ‘‘(3) MEETINGS.—The advisory board shall identify and appropriately treat and refer (or other divisions) of health to integrate re- meet at the call of the chairperson or upon victims of family violence in health profes- sponses to domestic violence into existing the request of the Secretary, but not less sional schools and for practicing, health, be- policy, practice, and education efforts. often than 2 times each year. havioral health and public health providers. ‘‘(ii) Promotion of policies and funding ‘‘(4) DUTIES.—In order to ensure the most ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— sources that advance domestic violence iden- effective use and organization of Federal re- There are authorized to be appropriated to tification, training, and protocol develop- sources concerning family violence, the advi- carry out this section $5,000,000 for fiscal ment and that protect the confidentiality of sory board shall provide advice and make year 2004, and such sums as may be necessary patients and prohibit insurance discrimina- recommendations to Congress and the Sec- for each of the fiscal years 2005 through tion. retary with respect to the implementation 2008.’’. ‘‘(iii) Promotion of policies and funding and revision of the research agenda of the re- Subtitle C—Grants to Foster Public Health sources that advance on-site access to serv- search centers established under this sec- Responses to Domestic Violence ices to address the safety, medical, mental tion. SEC. 331. GRANTS. health, and economic needs of patients in ‘‘(5) SUBCOMMITTEES.—In carrying out its Part P of title III of the Public Health multiple settings either by increasing the functions under this subsection, the advisory Service Act (42 U.S.C. 280g et seq.) is amend- capacity of existing health care professionals board may establish subcommittees, convene ed by adding at the end the following: and behavioral and public health staff to ad- workshops and conferences, and collect data. dress domestic violence issues or by con- Such subcommittees may be composed of ad- ‘‘SEC. 3990. GRANTS TO FOSTER PUBLIC HEALTH RESPONSES TO DOMESTIC VIO- tracting with or hiring domestic violence ad- visory board members and nonmember con- LENCE. vocates to provide the services, or by mod- sultants with expertise in the particular area ‘‘(a) AUTHORITY TO AWARD GRANTS.— eling other services appropriate to the geo- addressed by such subcommittees. ‘‘(1) IN GENERAL.—The Secretary shall graphic and cultural needs of a site. ‘‘(6) REPORTS.—The advisory board shall award grants under this section to eligible ‘‘(iv) Training and follow-up technical as- annually report to the appropriate author- State entities and eligible local entities in sistance to health care professionals and be- izing and appropriations committees of Con- order to strengthen the response of State havioral and public health staff to screen for gress concerning the research agenda for the and local health care systems to domestic vi- domestic violence, and then to appropriately centers established under this section and olence. assess, treat, and refer patients who are vic- the progress made in fulfilling that research ‘‘(2) DEFINITIONS OF ELIGIBLE ENTITIES.—In tims of domestic violence to domestic vio- agenda. this section: lence services. ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(A) ELIGIBLE STATE ENTITY.—The term eli- ‘‘(B) Such strategies may also include the There are authorized to be appropriated to gible State entity’ means a State depart- following: carry out this section $15,000,000 for fiscal ment (or other division) of health, a State ‘‘(i) Dissemination, implementation, and year 2004, and such sums as may be necessary domestic violence coalition or service-based evaluation of practice guidelines on domes- for each of the fiscal years 2005 through program, or any other nonprofit, tribal, or tic violence that guide the response of health 2008.’’. State entity with a history of effective work care professionals and behavioral and public Subtitle B—Health Professional Education in the field of domestic violence and health health staff to domestic violence. Programs care, that demonstrates that the applicant is ‘‘(ii) Where appropriate, development of SEC. 321. HEALTH PROFESSIONAL EDUCATION representing a team of organizations and training modules and policies that address GRANTS. agencies working collaboratively to the overlap of child abuse, domestic violence Part R of title III of the Public Health strengthen the response of the health care and elder abuse as well as childhood exposure Service Act, as added by section 311, is system to domestic violence and that such to domestic violence. amended by adding at the end the following: team includes domestic violence and health ‘‘(iii) Creation and implementation of pub- ‘‘SEC. 399AA–2. HEALTH PROFESSIONAL EDU- care organizations. lic education campaigns for patients and CATION GRANTS. ‘‘(B) ELIGIBLE LOCAL ENTITY.—The term eli- health care professionals and behavioral and ‘‘(a) IN GENERAL.—The Secretary shall gible local entity’ means a nonprofit domes- public health staff about domestic violence award grants to eligible entities to enable tic violence service based program, a local prevention. such entities to develop, implement, evalu- department (or other division) of health, a ‘‘(iv) Development and dissemination of ate, and disseminate family violence edu- local health clinic, hospital, or health sys- education materials to patients and health cation and training curricula, programs, and tem, or any other nonprofit, tribal, or local care professionals and behavioral and public strategies. entity with a history of effective work in the health staff. ‘‘(b) ELIGIBILITY.— field of domestic violence and health. ‘‘(v) Promotion of the inclusion of domes- ‘‘(1) IN GENERAL.—To be eligible to receive ‘‘(b) NUMBER AND DURATION OF PROGRAMS; tic violence into medical and nursing school a grant under subsection (a), an entity-shall MAXIMUM AMOUNT OF GRANTS.— curriculum and integration of domestic vio- have a history of effective work in the field ‘‘(1) NUMBER OF PROGRAMS.—Not more lence into health care accreditation and pro- of family violence and health care and— than— fessional licensing examinations, such as ‘‘(A) be a health care entity eligible for re- ‘‘(A) 10 programs shall be conducted by eli- medical boards. imbursement under title XVIII of the Social gible State entities under a grant made ‘‘(vi) Evaluation of the practice and insti- Security Act or a local non-profit entity under this section; or tutionalization of identification, interven- with expertise in family violence, a State co- ‘‘(B) 10 programs shall be conducted by eli- tion, and documentation of domestic vio- alition for domestic violence, a State coali- gible local entities under a grant made under lence and promotion of the use of quality im- tion for sexual assault, or a State public this section. provement measurements. health agency; ‘‘(2) DURATION.—A program conducted ‘‘(2) ELIGIBLE LOCAL ENTITIES.—An eligible ‘‘(B) demonstrate an ability to maintain under a grant made under this section by an local entity awarded a grant under this sec- the training systems established with eligible State entity or an eligible local enti- tion shall use funds provided under the grant amounts received under the grant after the ty shall not exceed 4 years. to design and implement comprehensive expiration of the grant funding and provide ‘‘(3) MAXIMUM AMOUNT OF GRANTS.—A grant local strategies to improve the response of an assurance that such systems will be main- awarded under this section shall not ex- the health care system to domestic violence tained if determined to be effective; and ceed— in hospitals, clinics, managed care settings, ‘‘(C) prepare and submit to the Secretary ‘‘(A) $350,000 per year, in the case of a pro- emergency medical services, and other at such time, in such manner, and con- gram conducted by an eligible State entity; health care settings. Such strategies shall taining such agreements, assurances, and in- or include the following: formation as the Secretary determines to be ‘‘(B) $150,000 per year, in the case of a pro- ‘‘(A) Implementation, dissemination, and necessary to carry out the purposes for gram conducted by an eligible local entity. evaluation of policies and procedures to which the grant is to be made. ‘‘(c) USE OF FUNDS.— guide health care professionals and behav- ‘‘(2) PRIORITY.—Applicants that can dem- ‘‘(1) ELIGIBLE STATE ENTITIES.—An eligible ioral and public health staff responding to onstrate that they represent a team of orga- State entity awarded a grant under this sec- domestic violence including identification, nizations and agencies working collabo- tion shall use funds provided under the grant treatment, and documentation of domestic ratively to strengthen the health care sys- to design and implement comprehensive violence and strategies to ensure that health

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00065 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2820 CONGRESSIONAL RECORD — SENATE March 12, 2004 information is held in a manner that pro- ment of a plan of care, individual or group of funds under this title) of the funds pro- tects the patient’s privacy and safety. counseling (as needed), and follow-up assess- vided for domestic violence identification ‘‘(B) Training and follow-up technical as- ment, treatment, or intervention. and treatment services (as defined in section sistance to health care professionals and be- ‘‘(D) Documentation of screening, assess- 1902(x)).’’. havioral and public health staff to identify ment, treatment, referrals, injuries, and ill- (c) REPORTING DATA.—Section 506(a)(2) of domestic violence, and then to appropriately nesses related to domestic violence and who the Social Security Act (42 U.S.C. 706(a)(2)) is assess, treat, and refer patients who are vic- perpetrated the abuse using appropriate di- amended by inserting after subparagraph (E) tims of domestic violence to domestic vio- agnostic codes and confidentiality (except as the following new subparagraph: lence services. required by applicable State law). ‘‘(F) Information on how funds provided ‘‘(C) Development of on-site access to serv- ‘‘(4) Referral and case coordination for ad- under this title are used to identify and treat ices to address the safety, medical, mental ditional services, including services from do- domestic violence.’’. health, and economic needs of patients ei- mestic violence programs, community agen- (d) SEPARATE PROGRAM FOR DOMESTIC VIO- ther by increasing the capacity of existing cies, and judicial and other systems.’’. LENCE IDENTIFICATION AND TREATMENT.— health care professionals and behavioral and (b) EFFECTIVE DATE.—The amendments Title V of the Social Security Act is amend- public health staff to address domestic vio- made by this section shall take effect on the ed by adding at the end the following new lence issues, by contracting with or hiring date of the enactment of this Act and shall section: domestic violence advocates to provide the apply to services furnished on or after such ‘‘SEPARATE PROGRAM FOR DOMESTIC VIOLENCE services, or to model other services appro- date. SCREENING AND TREATMENT priate to the geographic and cultural needs SEC. 342. FEDERAL EMPLOYEES HEALTH BENE- ‘‘SEC. 511. (a) For the purpose described in of a site. FITS PROGRAM. subsection (b), the Secretary shall, for fiscal ‘‘(D) Development or adaptation and dis- (a) IN GENERAL.—Section 8902 of title 5, year 2004 and each subsequent fiscal year, semination of education materials for pa- United States Code, is amended by adding at allot to each State which has transmitted an tients and health care professionals and be- the end the following: application for the fiscal year under section havioral and public health staff. ‘‘(p)(1) A contract may not be made or a 505(a) an amount equal to the product of— ‘‘(E) Evaluation of practice and the insti- plan approved which does not include cov- ‘‘(1) the amount appropriated in subsection tutionalization of identification, interven- erage for domestic violence identification (d) for the fiscal year; and tion, and documentation including quality and treatment services. ‘‘(2) the percentage determined for the ‘‘(2) For purposes of this subsection, the improvement measurements such as patient State under section 502(c)(1)(B)(ii). satisfaction surveys, patient record reviews, term ‘domestic violence identification and ‘‘(b) The purpose of an allotment under case consultation, or other methods used to treatment services’ has the meaning given subsection (a) to a State is to enable the evaluate and enhance staff compliance with such term in section 1905(x) of the Social Se- State to provide for domestic violence iden- protocols. curity Act.’’. tification and treatment, including the pro- (b) EFFECTIVE DATE.—The amendment ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— vision of domestic violence identification made by subsection (a) shall apply to con- There is authorized to be appropriated for and treatment services (as defined in section tracts made, and plans approved, after the the purpose of awarding grants under this 1905(x)), increasing the number of persons end of the 6-month period beginning on the section $5,000,000 for each of the fiscal years identified, assessed, treated, and referred and 2004 through 2008.’’. date of the enactment of this Act. including training of health care profes- Subtitle D—Provision of Services Under SEC. 343. TRAINING GRANTS UNDER THE MATER- sionals, and behavioral and public health Federal Health Programs NAL AND CHILD HEATH SERVICES BLOCK GRANT. staff, on how to identify and respond to vic- SEC. 341. OPTIONAL COVERAGE OF DOMESTIC VI- tims of domestic violence. (a) PREFERENCE IN CERTAIN FUNDING.—Sec- OLENCE IDENTIFICATION AND ‘‘(c)(1) Sections 503, 507, and 508 apply to al- tion 502(b)(2) of the Social Security Act (42 TREATMENT UNDER THE MEDICAID lotments under subsection (a) to the same U.S.C. 702(b)(2)) is amended by adding at the PROGRAM. extent and in the same manner as such sec- end the following new subparagraph: (a) IN GENERAL.—Section 1905 of the Social tions apply to allotments under section Security Act (42 U.S.C. 1396d) is amended— ‘‘(C) Of the amounts retained for projects described in subparagraphs (A) through (F) 502(c). (1) in subsection (a)(26), by striking ‘‘and’’ ‘‘(2) Sections 505 and 506 apply to allot- of section 501(a)(3), the Secretary shall pro- at the end; ments under subsection (a) to the extent de- vide preference to qualified applicants which (2) by redesignating paragraph (27) of sub- termined by the Secretary to be appropriate. demonstrate that the activities to be carried section (a) as paragraph (28); and ‘‘(d) For the purpose of allotments under out with such amounts include training of (3) by inserting after paragraph (26) of sub- subsection (a), there are authorized to be ap- service providers in how to identify and treat section (a) the following new paragraph: propriated for each fiscal year, beginning the effects of family violence, including chil- ‘‘(27) domestic violence identification and with fiscal year 2004, such sums as may be dren who have been exposed to family vio- treatment services (as defined in subsection necessary.’’. (x));’’; and lence. This training should include— (e) EFFECTIVE DATE.—The amendments (4) by adding at the end the following new ‘‘(i) identifying victims of family violence; made by subsections (a) and (b) shall apply subsection: ‘‘(ii) assessing the immediate and short- to fiscal years beginning after the date of the ‘‘(x) The term ‘domestic violence identi- term safety of the victim, the impact of the enactment of this Act and the amendment fication and treatment services’ means the abuse on his or her health and assisting the made by subsection (c) shall apply to annual following services (as specified under the victim in developing a plan to promote his or reports submitted for such fiscal years. State plan) furnished by an attending health her safety; SEC. 344. DOMESTIC VIOLENCE IDENTIFICATION care provider (or, in the case of services de- ‘‘(iii) examining and treating such victims AND TREATMENT SERVICES AT COM- scribed in paragraph (3), under arrangements within the scope of the health professional’s MUNITY HEALTH CENTERS. between the provider and domestic violence discipline, training, and practice (including Part P of title III of the Public Health experts) to the patient: providing medical advice regarding the dy- Service Act (42 U.S.C. 280g et seq.), as ‘‘(1) Routine verbal inquiries of women namics and nature of family violence); amended by section 331, is amended by add- aged 18 years or older for domestic violence ‘‘(iv) maintaining complete medical ing at the end the following: by a provider if the provider has not pre- records that include documentation of the ‘‘SEC. 399P. DOMESTIC VIOLENCE PREVENTION, viously screened the patient or if the patient examination, treatment given, and referrals IDENTIFICATION, AND TREATMENT has been screened but the patient indicates made, and recording the location and nature AND PREVENTION GRANTS. that he or she is in a new relationship re- of the victim’s injuries, and establishing ‘‘(a) GRANTS AUTHORIZED.—The Secretary gardless of whether there are any clinical in- mechanisms to promote the privacy and con- is authorized to award grants to eligible en- dicators or suspicion of abuse. fidentiality of those medical records; and tities to improve the identification and ‘‘(2) Danger assessment for persons who ‘‘(v) referring the victim to public and pri- treatment of domestic violence. positively identify for domestic violence, in- vate nonprofit entities that provide services ‘‘(b) USE OF FUNDS.—Grants awarded pur- cluding an immediate safety assessment, an for such victims.’’. suant to subsection (a) may be used for ac- initial risk assessment, and follow-up risk (b) REQUIREMENT FOR PORTION OF EXPENDI- tivities such as— assessments during subsequent visits. TURES ON DOMESTIC VIOLENCE IDENTIFICATION ‘‘(1) the implementation, dissemination, ‘‘(3) Treatment relating to domestic vio- AND TREATMENT.—Section 505(a)(5) of the So- and evaluation of policies and procedures to lence, including the following: cial Security Act (42 U.S.C. 705(a)(5)) is guide health care and behavioral health care ‘‘(A) Safety education to assist the patient amended— professionals and other staff responding to in developing a plan to promote her safety (1) by striking ‘‘and’’ at the end of subpara- domestic violence; and well-being, and appropriate follow up. graph (E); ‘‘(2) the provision of training and follow-up ‘‘(B) Health education which provides writ- (2) by striking the period at the end of sub- technical assistance to health care profes- ten and verbal information about domestic paragraph (F) and inserting ‘‘; and’’; and sionals and staff to identify domestic vio- violence, its impact on health, options for (3) by inserting after subparagraph (F) the lence, and then to appropriately assess, services, and any necessary follow up. following new subparagraph: treat, and refer patients who are victims of ‘‘(C) Psycho-social and counseling services ‘‘(G) the State will set aside a reasonable domestic violence to domestic violence serv- that include an initial assessment, develop- portion (based upon the State’s previous use ice providers; and

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00066 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2821 ‘‘(3) the development of on-site access to The PRESIDING OFFICER. The (II) in clause (iv), by striking ‘‘clause (i),’’ services to address the safety, medical, men- clerk will report. and all that follows and inserting ‘‘clause (i).’’; tal health, and economic needs of patients The legislative clerk read as follows: and either by increasing the capacity of existing (III) in clause (vii), by striking ‘‘clause (i),’’ health care professionals and staff to address A bill (S. 2207) to improve women’s access and all that follows and inserting ‘‘clause (i), these issues or by contracting with or hiring to health care services, and the access of all subject to any adjustment under subsection domestic violence advocates to provide the individuals to emergency and trauma care (e)(2)(C)(ii).’’; and services, or by developing other models ap- services, by reducing the excessive burden (ii) in subparagraph (D), in each of clauses (i) propriate to the geographic and cultural the liability system places on the delivery of and (ii), by striking ‘‘application’’ and inserting needs of a site. such services. ‘‘application, report,’’; ‘‘(c) ELIGIBLE ENTITY.—In this section, the Mr. FRIST. I now ask for its second (B) in subsection (d)(2)(B), beginning in the term ‘eligible entity’ shall mean a federally reading in order to place the bill on the second sentence, by striking ‘‘firms. which qualified health center as defined in section Calendar under provisions of rule XIV show’’ and inserting ‘‘firms, which show’’; 1861(aa)(4) of the Social Security Act (42 and object to my own request. (C) in subsection (e)— U.S.C. 1395x(aa)(4)). (i) in paragraph (1), by striking ‘‘Where’’ and ‘‘(d) APPLICATIONS.—Each eligible entity The PRESIDING OFFICER. The bill inserting ‘‘For fiscal year 2004 and each subse- desiring a grant under this section shall sub- will be read the second time on the quent fiscal year, where’’; and mit an application to the Secretary at such next legislative day. (ii) in paragraph (2)— time, in such manner, and accompanied by f (I) in subparagraph (B), beginning in the sec- such information as the Secretary may re- ond sentence, by striking ‘‘firms. which show’’ quire. MEDICAL DEVICES TECHNICAL and inserting ‘‘firms, which show’’; and ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— CORRECTIONS ACT (II) in subparagraph (C)(i), by striking There is authorized to be appropriated to ‘‘Where’’ and inserting ‘‘For fiscal year 2004 carry out this section $5,000,000 for each of Mr. FRIST. Mr. President, I ask unanimous consent that the Chair lay and each subsequent fiscal year, where’’; the fiscal years 2004 through 2007.’’. (D) in subsection (f), by striking ‘‘for filing’’; Mr. FRIST. Mr. President, I would before the Senate a message from the and like to turn to several unanimous con- House of Representatives on (S. 1881) to (E) in subsection (h)(2)(B)— sent requests. amend the Federal Food, Drug, and (i) in clause (ii), by redesignating subclauses f Cosmetic Act to make technical cor- (I) and (II) as items (aa) and (bb), respectively; rections relating to the amendments (ii) by redesignating clauses (i) and (ii) as UNANIMOUS CONSENT by the Medical Device User Fee and subclauses (I) and (II), respectively; AGREEMENT—H.R. 1997 Modernization Act of 2002, and for (iii) by striking ‘‘The Secretary’’ and inserting Mr. FRIST. Mr. President, I ask the following: other purposes. ‘‘(i) IN GENERAL.—The Secretary’’; and unanimous consent that, at a time to The PRESIDING OFFICER laid be- (iv) by adding at the end the following: be determined by the majority leader, fore the Senate the following message ‘‘(ii) MORE THAN 5 PERCENT.—To the extent in consultation with the minority lead- from the House of Representatives: such costs are more than 5 percent below the er, the Senate proceed to consideration Resolved, That the bill from the Senate (S. specified level in subparagraph (A)(ii), fees may of H.R. 1997, a bill to protect unborn 1881) entitled ‘‘An Act to amend the Federal not be collected under this section for that fiscal victims of violence, and that the bill be Food, Drug, and Cosmetic Act to make tech- year.’’. considered under the following limita- nical corrections relating to the amend- (b) TITLE II; AMENDMENTS REGARDING REGU- tions: that the following amendments ments made by the Medical Device User Fee LATION OF MEDICAL DEVICES.— (1) INSPECTIONS BY ACCREDITED PERSONS.— be the only first-degree amendments in and Modernization Act of 2002, and for other purposes’’, do pass with the following amend- Section 704(g) of the Federal Food, Drug, and order, with the specified time limita- Cosmetic Act (21 U.S.C. 374(g)), as added by sec- tions: Feinstein, Motherhood Protec- ment: Strike out all after the enacting clause and tion 201 of Public Law 107–250 (116 Stat. 1602), tion Act, which is at the desk, 4 hours insert: is amended— (A) in paragraph (1), in the first sentence, by equally divided; Murray, domestic vio- SECTION 1. SHORT TITLE. lence prevention, which is at the desk, striking ‘‘conducting inspections’’ and all that This Act may be cited as the ‘‘Medical Devices follows and inserting ‘‘conducting inspections of 2 hours equally divided; and that there Technical Corrections Act’’. be an additional 30 minutes of debate establishments that manufacture, prepare, prop- SEC. 2. TECHNICAL CORRECTIONS REGARDING agate, compound, or process class II or class III equally divided on the underlying bill. PUBLIC LAW 107–250. devices, which inspections are required under I further ask consent that no second- (a) TITLE I; FEES RELATING TO MEDICAL DE- section 510(h) or are inspections of such estab- degree amendments be in order to the VICES.—Part 3 of subchapter C of chapter VII of lishments required to register under section Feinstein and Murray amendments; the Federal Food, Drug, and Cosmetic Act (21 510(i).’’; and that upon disposition of all amend- U.S.C. 379i et seq.), as added by section 102 of (B) in paragraph (5)(B), in the first sentence, ments, the bill, as amended, if amend- Public Law 107–250 (116 Stat. 1589), is amend- by striking ‘‘or poses’’ and all that follows ed— through the period and inserting ‘‘poses a ed, be read a third time, and the Senate (1) in section 737— proceed to a vote on passage, without threat to public health, fails to act in a manner (A) in paragraph (4)(B), by striking ‘‘and for that is consistent with the purposes of this sub- any intervening action or debate. which clinical data are generally necessary to section, or where the Secretary determines that The PRESIDING OFFICER. Is there provide a reasonable assurance of safety and ef- there is a financial conflict of interest in the re- objection? fectiveness’’ and inserting ‘‘and for which sub- lationship between the accredited person and Without objection, it is so ordered. stantial clinical data are necessary to provide a the owner or operator of a device establishment f reasonable assurance of safety and effective- that the accredited person has inspected under ness’’; this subsection.’’; AUTHORITY FOR COMMITTEES TO (B) in paragraph (4)(D), by striking ‘‘manu- (C) in paragraph (6)(A)— REPORT LEGISLATIVE AND EX- facturing,’’; (i) in clause (i), by striking ‘‘of the establish- ECUTIVE MATTERS (C) in paragraph (5)(J), by striking ‘‘a pre- ment pursuant to subsection (h) or (i) of section Mr. FRIST. Mr. President, I ask market application’’ and all that follows and in- 510’’ and inserting ‘‘described in paragraph serting ‘‘a premarket application or premarket unanimous consent that notwith- (1)’’; report under section 515 or a premarket applica- (ii) in clause (ii)— standing the Senate’s adjournment, tion under section 351 of the Public Health Serv- (I) in the matter preceding subclause (I)— committees be authorized to report ice Act.’’; and (aa) by striking ‘‘each inspection’’ and insert- legislative and executive matters on (D) in paragraph (8), by striking ‘‘The term ing ‘‘inspections’’; and Thursday, March 18, from 10 a.m. to 12 ‘affiliate’ means a business entity that has a re- (bb) by inserting ‘‘during a 2-year period’’ noon. lationship with a second business entity’’ and after ‘‘person’’; and The PRESIDING OFFICER. Without inserting ‘‘The term ‘affiliate’ means a business (II) in subclause (I), by striking ‘‘such a per- objection, it is so ordered. entity that has a relationship with a second son’’ and inserting ‘‘an accredited person’’; business entity (whether domestic or inter- (iii) in clause (iii)— f national)’’; and (I) in the matter preceding subclause (I), by MEASURE READ THE FIRST (2) in section 738— striking ‘‘and the following additional condi- TIME—S. 2207 (A) in subsection (a)(1)— tions are met:’’ and inserting ‘‘and 1 or both of (i) in subparagraph (A)— the following additional conditions are met:’’; Mr. FRIST. Mr. President, I under- (I) in the matter preceding clause (i) by strik- (II) in subclause (I), by striking ‘‘accredited’’ stand that S. 2207 is at the desk, and I ing ‘‘subsection (d),’’ and inserting ‘‘subsections and all that follows through the period and in- ask for its first reading. (d) and (e),’’; serting ‘‘(accredited under paragraph (2) and

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00067 Fmt 4624 Sfmt 6333 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2822 CONGRESSIONAL RECORD — SENATE March 12, 2004 identified under clause (ii)(II)) as a person au- (i) by inserting ‘‘or by a health care profes- Stat. 1600) is amended, in the matter preceding thorized to conduct such inspections of device sional and required labeling for in vitro diag- subparagraph (A), by striking ‘‘section establishments.’’; and nostic devices intended for use by health care 738(a)(1)(A)(ii)’’ and inserting ‘‘section (III) in subclause (II), by inserting ‘‘or by a professionals or in blood establishments’’ after 738(a)(2)(A)(ii)’’. person accredited under paragraph (2)’’ after ‘‘in health care facilities’’; (3) PUBLIC LAW 107–250.—Public Law 107–250 is ‘‘by the Secretary’’; (ii) by inserting a comma after ‘‘means’’; amended— (iv) in clause (iv)(I)— (iii) by striking ‘‘requirements of law and, (A) in section 102(a) (116 Stat. 1589), by strik- (I) in the first sentence— that’’ and inserting ‘‘requirements of law, and ing ‘‘(21 U.S.C. 379F et seq.)’’ and inserting ‘‘(21 (aa) by striking ‘‘the two immediately pre- that’’; U.S.C. 379f et seq.)’’; ceding inspections of the establishment’’ and in- (iv) by striking ‘‘the manufacturer affords (B) in section 102(b) (116 Stat. 1600)— serting ‘‘inspections of the establishment during health care facilities the opportunity’’ and in- (i) by striking paragraph (2); the previous 4 years’’; and serting ‘‘the manufacturer affords such users (ii) in paragraph (1), by redesignating sub- (bb) by inserting ‘‘section’’ after ‘‘pursuant the opportunity’’; and paragraphs (A) and (B) as paragraphs (1) and to’’; (v) by striking ‘‘the health care facility’’. (2), respectively; and (II) in the third sentence— (c) TITLE III; ADDITIONAL AMENDMENTS.— (iii) by striking: (aa) by striking ‘‘the petition states a commer- (1) EFFECTIVE DATE.—Section 301(b) of Public ‘‘(b) FEE EXEMPTION FOR CERTAIN ENTITIES cial reason for the waiver;’’; and Law 107–250 (116 Stat. 1616), is amended by SUBMITTING PREMARKET REPORTS.— (bb) by inserting ‘‘not’’ after ‘‘the Secretary striking ‘‘18 months’’ and inserting ‘‘36 ‘‘(1) IN GENERAL.—A person submitting a pre- has not determined that the public health months’’. market report’’and inserting: would’’; and (2) PREMARKET NOTIFICATION.—Section 510(o) ‘‘(b) FEE EXEMPTION FOR CERTAIN ENTITIES (III) in the fourth sentence, by striking of the Federal Food, Drug, and Cosmetic Act (21 SUBMITTING PREMARKET REPORTS.—A person ‘‘granted until’’ and inserting ‘‘granted or U.S.C. 360(o)), as added by section 302(b) of submitting a premarket report’’; and deemed to be granted until’’; and Public Law 107–250 (116 Stat. 1616), is amend- (C) in section 212(b)(2) (116 Stat. 1614), by (v) in clause (iv)(II)— ed— striking ‘‘, such as phase IV trials,’’. (I) by inserting ‘‘of a device establishment re- (A) in paragraph (1)(B), by striking ‘‘, adul- SEC. 3. REPORT ON BARRIERS TO AVAILABILITY quired to register’’ after ‘‘to be conducted’’; and terated’’ and inserting ‘‘or adulterated’’; and OF DEVICES INTENDED FOR CHIL- (II) by inserting ‘‘section’’ after ‘‘pursuant (B) in paragraph (2)— DREN. to’’; (i) in subparagraph (B), by striking ‘‘, adul- Not later than 180 days after the date of en- (D) in paragraph (6)(B)(iii)— terated’’ and inserting ‘‘or adulterated’’; and actment of this Act, the Secretary of Health and (i) in the first sentence, by striking ‘‘, and (ii) in subparagraph (E), by striking Human Services shall submit to the Committee data otherwise describing whether the establish- ‘‘semicritical’’ and inserting ‘‘semi-critical’’. on Health, Education, Labor, and Pensions of ment has consistently been in compliance with (d) MISCELLANEOUS CORRECTIONS.— the Senate and the Committee on Energy and sections 501 and 502 and other’’ and inserting (1) CERTAIN AMENDMENTS TO SECTION 515.— Commerce of the House of Representatives a re- ‘‘and with other’’; and (A) IN GENERAL.— port on the barriers to the availability of devices (ii) in the second sentence— (i) TECHNICAL CORRECTION.—Section 515(c) of intended for the treatment or diagnosis of dis- (I) by striking ‘‘inspections’’ and inserting the Federal Food, Drug, and Cosmetic Act (21 eases and conditions that affect children. The ‘‘inspectional findings’’; and U.S.C. 360e(c)), as amended by sections 209 and report shall include any recommendations of the (II) by inserting ‘‘relevant’’ after ‘‘together 302(c)(2)(A) of Public Law 107–250 (116 Stat. Secretary of Health and Human Services for with all other’’; 1613, 1618), is amended by redesignating para- changes to existing statutory authority, regula- (E) in paragraph (6)(B)(iv)— graph (3) (as added by section 209 of such Pub- tions, or agency policy or practice to encourage (i) by inserting ‘‘(I)’’ after ‘‘(iv)’’; and lic Law) as paragraph (4). the invention and development of such devices. (ii) by adding at the end the following: (ii) MODULAR REVIEW.—Section 515(c)(4)(B) of Mr. FRIST. I ask unanimous consent ‘‘(II) If, during the two-year period following the Federal Food, Drug, and Cosmetic Act (21 clearance under subparagraph (A), the Sec- that the Senate concur in the House U.S.C. 360e(c)(4)(B)) is amended by striking amendment, the motion to reconsider retary determines that the device establishment ‘‘unless an issue of safety’’ and inserting ‘‘un- is substantially not in compliance with this Act, less a significant issue of safety’’. be laid upon the table, and any state- the Secretary may, after notice and a written re- (B) CONFORMING AMENDMENT.—Section 210 of ments relating to the bill be printed in sponse, notify the establishment that the eligi- Public Law 107–250 (116 Stat. 1614) is amended the RECORD. bility of the establishment for the inspections by by striking ‘‘, as amended’’ and all that follows The PRESIDING OFFICER. Without accredited persons has been suspended.’’; through ‘‘by adding’’ and inserting ‘‘is amended objection, it is so ordered. (F) in paragraph (6)(C)(ii), by striking ‘‘in ac- in paragraph (3), as redesignated by section f cordance with section 510(h), or has not during 302(c)(2)(A) of this Act, by adding’’. such period been inspected pursuant to section (2) CERTAIN AMENDMENTS TO SECTION 738.— WILKIE D. FERGUSON, JR. UNITED 510(i), as applicable’’; (A) IN GENERAL.—Section 738(a) of the Federal STATES COURTHOUSE (G) in paragraph (10)(B)(iii), by striking ‘‘a Food, Drug, and Cosmetic Act (21 U.S.C. reporting’’ and inserting ‘‘a report’’; and 379j(a)), as amended by subsection (a), is Mr. FRIST. Mr. President, I ask (H) in paragraph (12)— amended— unanimous consent that the Senate (i) by striking subparagraph (A) and inserting (i) in the matter preceding paragraph (1)— proceed to the immediate consider- the following: (I) by striking ‘‘(a) TYPES OF FEES.—Begin- ation of S. 1904. ‘‘(A) the number of inspections conducted by ning on’’ and inserting the following: The PRESIDING OFFICER. The accredited persons pursuant to this subsection ‘‘(a) TYPES OF FEES.— and the number of inspections conducted by clerk will report the bill by title. ‘‘(1) IN GENERAL.—Beginning on’’; and The legislative clerk read as follows: Federal employees pursuant to section 510(h) (II) by striking ‘‘this section as follows:’’ and and of device establishments required to register inserting ‘‘this section.’’; and A bill (S. 1904) to designate the United under section 510(i);’’; and (ii) by striking ‘‘(1) PREMARKET APPLICA- States courthouse located at 400 North (ii) in subparagraph (E), by striking ‘‘ob- TION,’’ and inserting the following: ‘‘(2) PRE- Miami Avenue in Miami, Florida as the tained by the Secretary’’ and all that follows MARKET APPLICATION,’’. ‘‘Wilkie D. Ferguson, Jr. United States and inserting ‘‘obtained by the Secretary pursu- (B) CONFORMING AMENDMENTS.—Section 738 of Courthouse’’. ant to inspections conducted by Federal employ- the Federal Food, Drug, and Cosmetic Act (21 There being no objection, the Senate ees;’’. U.S.C. 379j), as amended by subparagraph (A), proceeded to consider the bill. (2) OTHER CORRECTIONS.— is amended— Mr. FRIST. Mr. President, I ask (A) PROHIBITED ACTS.—Section 301(gg) of the (i) in subsection (d)(1), in the last sentence, by Federal Food, Drug, and Cosmetic Act (21 unanimous consent that the bill be striking ‘‘subsection (a)(1)(A)’’ and inserting read a third time and passed, the mo- U.S.C. 331(gg)), as amended by section 201(d) of ‘‘subsection (a)(2)(A)’’; Public Law 107–250 (116 Stat. 1609), is amended (ii) in subsection (e)(1), by striking ‘‘sub- tion to reconsider be laid upon the to read as follows: section (a)(1)(A)(vii)’’ and inserting ‘‘subsection table, and any statements relating to ‘‘(gg) The knowing failure to comply with (a)(2)(A)(vii)’’; the bill be printed in the RECORD. paragraph (7)(E) of section 704(g); the knowing (iii) in subsection (e)(2)(C)— The PRESIDING OFFICER. Without inclusion by a person accredited under para- (I) in each of clauses (i) and (ii), by striking objection, it is so ordered. graph (2) of such section of false information in ‘‘subsection (a)(1)(A)(vii)’’ and inserting ‘‘sub- The bill (S. 1904) was read the third an inspection report under paragraph (7)(A) of section (a)(2)(A)(vii)’’; and time and passed, as follows: such section; or the knowing failure of such a (II) in clause (ii), by striking ‘‘subsection person to include material facts in such a re- (a)(1)(A)(i)’’ and inserting ‘‘subsection S. 1904 port.’’. (a)(2)(A)(i)’’; and Be it enacted by the Senate and House of Rep- (B) ELECTRONIC LABELING.—Section 502(f) of (iv) in subsection (j), by striking ‘‘subsection resentatives of the United States of America in the Federal Food, Drug, and Cosmetic Act (21 (a)(1)(D),’’ and inserting ‘‘subsection Congress assembled, U.S.C. 352(f)), as amended by section 206 of (a)(2)(D),’’. SECTION 1. DESIGNATION. Public Law 107–250 (116 Stat. 1613), is amended, (C) ADDITIONAL CONFORMING AMENDMENT.— The United States courthouse located at in the last sentence— Section 102(b)(1) of Public Law 107–250 (116 400 North Miami Avenue in Miami, Florida,

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00068 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2823 shall be known and designated as the on his tradition. We will find many S. 2043 ‘‘Wilkie D. Ferguson, Jr. United States ways, great and small, to honor him. Be it enacted by the Senate and House of Rep- Courthouse’’. Today, the Senate will pass com- resentatives of the United States of America in SEC. 2. REFERENCES. panion legislation to a bill Congress- Congress assembled, Any reference in a law, map, regulation, man JERRY COSTELLO has introduced in SECTION 1. RONALD REAGAN FEDERAL BUILD- document, paper, or other record of the the House. This legislation would des- ING. United States to the United States court- (a) DESIGNATION.—The Federal building lo- house referred to in section 1 shall be deemed ignate the federal building at 250 West cated at 228 Walnut Street, Harrisburg, to be a reference to the ‘‘Wilkie D. Ferguson, Cherry Street in Carbondale, Illinois as Pennsylvania, shall be known and designated Jr. United States Courthouse’’. the ‘‘Senator Paul Simon Federal as the ‘‘Ronald Reagan Federal Building’’. f Building.’’ I am happy to have Senator (b) REFERENCES.—Any reference in a law, FITZGERALD as a cosponsor of this leg- map, regulation, document, paper, or other SENATOR PAUL SIMON FEDERAL islation. I thank Senators INHOFE and record of the United States to the building BUILDING JEFFORDS for their timely consider- referred to in subsection (a) shall be deemed Mr. FRIST. Mr. President, I ask ation of this legislation in the Senate to be a reference to the Ronald Reagan Fed- eral Building. unanimous consent that the Senate Environment and Public Works Com- proceed to the immediate consider- mittee. f ation of S. 2022. Paul Simon moved to Carbondale in HONORING THE COUNTY OF CUM- The PRESIDING OFFICER. The 1974, where he was elected to serve in BERLAND, NC, FOR ITS 250TH AN- clerk will state the bill by title. the U.S. House of Representatives. He NIVERSARY The legislative clerk read as follows: continued to call the Carbondale area Mr. FRIST. Mr. President, I ask A bill (S. 2022) to designate the Federal his home until his death. Naming this unanimous consent that the Judiciary building located at 250 West Cherry Street in building in Carbondale after him will Carbondale, IL, as the ‘‘Senator Paul Simon Committee be discharged from further help present and future generations re- consideration of S. Res. 307, and the Federal Building.’’ member and honor Paul Simon, a great There being no objection, the Senate Senate proceed to its immediate con- man who lived in and worked for the sideration. proceeded to consider the bill. people of Carbondale, Illinois and our Mr. DURBIN. Mr. President, on De- The PRESIDING OFFICER. Without Nation with the greatest integrity. objection, it is so ordered. The clerk cember 9, 2003, we lost our colleague, Mr. FRIST. Mr. President, I ask U.S. Senator Paul Simon, a great pub- will state the resolution by title. unanimous consent that the bill be The legislative clerk read as follows: lic servant and a great friend. read the third time and passed, the mo- A resolution (S. Res. 307) honoring the At the age of 19, Paul Simon became tion to reconsider be laid upon the the nation’s youngest editor-publisher county of Cumberland, North Carolina, its table, and that any statements related municipalities and community partners as when he accepted a Lion’s Club chal- thereto be printed in the RECORD. they celebrate the 250th year of the existence lenge to save the Troy Tribune in Troy, The PRESIDING OFFICER. Without of Cumberland County. IL. From that start, he built a chain of objection, it is so ordered. There being no objection, the Senate 13 newspapers in southern and central The bill (S. 2022) was read the third proceeded to consider the resolution. Illinois. He also used his post in the time and passed, as follows: newspaper world to expose criminal ac- AMENDMENT NO. 2857 S. 2022 Mr. FRIST. Mr. President, I under- tivities and in 1951, at age 22, he was Be it enacted by the Senate and House of Rep- called as a key witness to testify before stand that Senator EDWARDS has an resentatives of the United States of America in amendment at the desk. I ask unani- the U.S. Senate’s Crime Investigating Congress assembled, Committee. mous consent that it be considered SECTION 1. DESIGNATION OF FEDERAL BUILD- agreed to, the resolution, as amended, Paul Simon served the state of Illi- ING. nois and the United States for decades. The Federal building located at 250 West be agreed to, the preamble be agreed He is the only individual to have served Cherry Street in Carbondale, Illinois shall be to, the motion to reconsider be laid in both the Illinois House of Represent- known and designated as the ‘‘Senator Paul upon the table, and that any state- atives and the Illinois Senate, and the Simon Federal Building’’. ments relating thereto be printed in U.S. House of Representatives and U.S. SEC. 2. REFERENCE. the RECORD as if read, without inter- Senate. He served in the state legisla- Any reference in a law, map, regulation, vening action or debate. document, paper or other record of the ture for 14 years, and won the Inde- The PRESIDING OFFICER. Without United States to the Federal building re- objection, it is so ordered. pendent Voters of Illinois’ ‘‘Best Legis- ferred to in section 1 shall be deemed to be lator Award’’ every session. He also The amendment (No. 2857) was agreed a reference to the Senator Paul Simon Fed- to, as follows: served as Lieutenant Governor for Illi- eral Building. Strike all after the resolved clause and in- nois from 1968 to 1972. In addition, he f served in the U.S. Army from 1951 to sert the following: RONALD REAGAN FEDERAL That the Senate commemorates the 250th 1953. BUILDING Anniversary Celebration of the county of Paul Simon highly valued education Cumberland, North Carolina, its municipali- and the youth of our nation. In addi- Mr. FRIST. Mr. President, I ask ties, and other community partners. tion to his work in Congress to unanimous consent that the Senate The resolution (S. Res. 307), as strengthen public education in Amer- proceed to the immediate consider- amended, was agreed to. ica, he started the public affairs report- ation of S. 2043. The preamble was agreed to. ing program at Sangamon State Uni- The PRESIDING OFFICER. The The resolution, as amended, with its versity, now the University of Illinois clerk will state the bill by title. preamble, reads as follows: at Springfield. He later became the A bill (S. 2043) to designate a Federal build- S. RES. 307 founder and director of the Public Pol- ing in Harrisburg, Pennsylvania, as the ‘‘Ronald Reagan Federal Building.’’ Whereas for thousands of years before the icy Institute at Southern Illinois Uni- European settlers arrived, Cumberland Coun- versity in Carbondale, IL, and taught There being no objection, the Senate ty’s streams and forests were home to native there for more than 6 years. In addi- proceeded to consider the bill. peoples who lived in the area, hunted, tion, Paul Simon wrote 22 books and Mr. FRIST. Mr. President, I ask farmed, and buried their dead; earned over 55 honorary degrees. unanimous consent that the bill be Whereas Cumberland County, located at From journalism to government to read the third time and passed, the mo- the head of navigation on the Cape Fear education, Paul Simon set the standard tion to reconsider be laid upon the River, quickly became a strong area of trade for honesty and caring in public life. table, and that any statements relating between the port city of Wilmington and the lower Cape Fear River to the southeast and He was an unapologetic champion of thereto be printed in the RECORD. the Carolina back country to the west; the less fortunate. He was genuine in The PRESIDING OFFICER. Without Whereas the upper Cape Fear Valley in his politics, life and values. objection, it is so ordered. present Cumberland County experienced an Now those of us who loved and re- The bill (S. 2043) was read the third early migration of Highland Scots beginning spected him will do our best to carry time and passed, as follows: in 1739, many of whom settled in the area

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00069 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2824 CONGRESSIONAL RECORD — SENATE March 12, 2004 known as ‘‘The Bluff’’ alongside the Cape became Fayetteville State University (FSU), The PRESIDING OFFICER. Without Fear River 4 miles south of the Lower Little which now offers 41 undergraduate programs, objection, it is so ordered. The clerk River; 22 graduate programs, and 1 doctoral pro- will report the bill by title. Whereas in 1754, the area known as Cum- gram; FSU has 18 Central Intercollegiate The legislative clerk read as follows: berland County was formed from lands Athletic Association (CIAA) and 2 National carved from Bladen County and was named Collegiate Athletic Association (NCAA) A bill (H.R. 3724) to amend section 220 of in honor of William Augustus, Duke of Cum- championships; the National Housing Act to make a tech- berland, third son of George II, King of Eng- Whereas in 1914, Babe Ruth, the New York nical correction to restore allowable in- land, an area which reflected a mixture of Yankee great, hit his first homerun as a pro- creases in the maximum mortgage limits for ethnic and national backgrounds; fessional at the old ballpark on Gillespie FHA-insured mortgages for multifamily Whereas each municipality was individ- Street in Cumberland County, and in doing housing projects to cover increased costs of ually chartered: Falcon in 1913; Fayetteville so, the 19-year-old ‘‘babe’’ so amazed the installing a solar energy system or residen- in 1762; Godwin in 1905; Hope Mills in 1891; crowd, that George Herman Ruth was forever tial energy conservation measures. Linden in 1913; Spring Lake in 1951; Stedman known by the nickname, ‘‘Babe’’, bestowed There being no objection, the Senate in 1913; and Wade in 1913; upon him while playing in Cumberland Coun- proceeded to consider the bill. Whereas on June 20, 1775, 13 months before ty; the Declaration of Independence, a group of Mr. FRIST. Mr. President, I ask Whereas in 1918, Camp Bragg was estab- unanimous consent that the bill be Cumberland County’s active patriots signed lished from lands ceded from Cumberland ‘‘The Association’’ later called the ‘‘Liberty County; it is now known as Fort Bragg, read a third time and passed, the mo- Point Resolves’’, a document that vowed to home of the 18th Airborne Corps, the 82d Air- tion to reconsider be laid upon the ‘‘Go forth and be ready to sacrifice our lives borne Division, and the United States Army table, and any statements relating to and fortunes to secure her freedom and safe- Special Operations Command; the bill be printed in the RECORD. ty’’; a marker at the point lists the signers Whereas Fort Bragg was named for North The PRESIDING OFFICER. Without of ‘‘The Association’’; Carolina native Lt. General Braxton Bragg; objection, it is so ordered. Whereas the period of the American Revo- Fort Bragg soldiers and their families con- lution was a time of divided loyalties in The bill (H.R. 3724) was read the third tinue to be an integral part of the history time and passed. Cumberland County, and a considerable por- and heritage of Cumberland County; tion of the population, especially Highland Whereas in 1919, Pope Army Airfield was f Scots, were staunchly loyal to the British established and remained part of the Army SENATE BUSINESS Crown, among them was the famous Scottish Air Corps until 1947 when the United States heroine Flora McDonald; Air Force was established; it was home to Mr. FRIST. Mr. President, this week Whereas African-American people, both the 43d Airlift Wing and the 18th Air Support the Senate completed action on S. Con. slaves and free citizens, were represented in Operations Group; Pope airmen and their the early population of Cumberland County, Res. 95, the fiscal year 2005 budget reso- families continue to be an integral part of lution, under the tremendous leader- and during the American Revolution several the history and heritage of Cumberland of the county’s free African-Americans ship of Chairman NICKLES. As we look County; fought for the patriot cause; among the Whereas on November 1, 1956, Methodist over the last 4 days, we have had a very notables was the midwife Aunt Hannah Mal- College was chartered as a senior coeduca- busy course with debating and dis- let (1755–1857) who died at the age of 102; she tional liberal arts college; it has grown to posing of 64 amendments to the budget delivered hundreds of babies in her lifetime, more than 2,100 students who hail from 48 resolution. There were 25 rollcall votes and she typified the courage and vital role of States and 30 countries, graduated 8,145 stu- the early 19th-century African-American in relation to the amendments, includ- dents, and awarded associate’s, bachelor’s, or community; ing passage. master’s degrees in 57 majors and concentra- Whereas in 1783, the towns of Campbellton We had a long day of voting yester- tions; Methodist College NCAA Division III and Cross Creek merged to become Fayette- day until the early hours of this morn- athletic teams have earned 24 national ville, the first town in the United States ing with 19 votes, and Senator NICKLES named in honor of the Revolutionary War championship titles; Whereas in 1961, Fayetteville Technical guided the budget resolution to passage hero, Marquis de Lafayette; early this morning by a vote of 51 to 45. Whereas in November 1789, the North Caro- Community College (FTCC) was founded as lina General Assembly voted to adopt and the Fayetteville Area Industrial Education In addition to that business, we were ratify the United States Constitution at the Center, with a faculty and staff of 9 people able to clear executive nominations. Market House in Fayetteville, then known serving 50 students, and has since evolved The Senate confirmed 17 nominations. as the State House; into a comprehensive institution serving ap- Two of the nominations confirmed Whereas in 1789, the University of North proximately 40,000 students annually, offer- were district judges from Arizona and Carolina, the first State university chartered ing more than 121 programs; Whereas Cumberland County’s 6th court- Mississippi. I am pleased we were able in the United States, was chartered by the to clear these judicial nominations, North Carolina General Assembly in Fay- house, circa 1924, which is listed on the Na- etteville, it being the first State university; tional Register of Historic Places, is being and I look forward to continuing this Whereas in 1793, the Fayetteville Inde- established and dedicated, pursuant to the process for the remaining nominations pendent Light Infantry Company was orga- county’s 250th anniversary, as a gallery of that are on the calendar. nized in Cumberland County; it has the dis- early prominent members of the local bar Indeed, there are approximately 22 tinction of being the oldest military unit in and elected county officials; and judges on the calendar, of which I be- the South in continuous existence; Whereas Cumberland County and the mu- lieve 15 or so should move expedi- Whereas in 1816, the Fayetteville Observer nicipalities of Falcon, Fayetteville, Godwin, Hope Mills, Linden, Spring Lake, Stedman, tiously. I will continue to work with was founded as a weekly newspaper; it is now the Democratic leader in scheduling published daily and is North Carolina’s old- and Wade, along with civic groups, private est newspaper still in publication; businesses and military partners, are joining these when we return from the recess. Whereas in 1825, the Marquis de Lafayette together to celebrate 250 years of history, I understand the Democratic leader visited the city named for him and stayed in culture, and diversity; the celebration will mentioned additional nominations, and the McRae family home that once stood on take place March 26–28, 2004: Now, therefore, I will be consulting with him on those the site of the Historic Courthouse on Gil- be it as well. He mentioned them earlier lespie Street in Fayetteville; Resolved, That the Senate commemorates today and last night, and we will be Whereas in 1831, the Great Fire destroyed the 250th Anniversary Celebration of the county of Cumberland, North Carolina, its consulting on those nominations. the State House (the Market House) and Late last night, as I mentioned ear- many other buildings and caused more dam- municipalities, and other community part- age than the 1871 Chicago fire or the 1906 San ners. lier, the Senate confirmed the nomina- Francisco earthquake; tion of Mark McClellan to be Adminis- Whereas in 1865, General William T. Sher- f trator of the Centers for Medicare and man brought the Union Army to Cumberland Medicaid Services. County, destroying the Confederate arsenal NATIONAL HOUSING ACT Yesterday, the Senate also spoke and effectively bringing the county back AMENDMENT with one voice with regard to a trag- into the Union; Mr. FRIST. Mr. President, I ask edy, the deadly attack yesterday Whereas in 1867, 7 visionary African-Amer- unanimous consent that the Banking against the people of Spain. Our condo- ican citizens of Cumberland County paid about $136 for 2 lots on Gillespie Street and Committee be discharged from further lences were expressed. We had a mo- formed the self-perpetuating Board of Trust- consideration of H.R. 3724 and the Sen- ment of silence yesterday to honor the ees of the Howard School for the education ate proceed to its immediate consider- people of Spain. In addition, we spon- of African-American youth; this school later ation. sored a resolution that condemned this

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00070 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2825 cowardly act. Our prayers continue to The PRESIDING OFFICER. Without To the Senate of the United States: go out to the leaders and the people of objection, it is so ordered. With a view to receiving the advice Spain over what we know is a very dif- The messages of the President are as and consent of the Senate to ratifica- ficult time. follows: tion, I transmit herewith the Addi- In addition, we consider other mat- To the Senate of the United States: tional Protocol Between the United ters that people do not see very much, With a view to receiving the advice States of America and the Czech Re- and I won’t go through all of them, but and consent of the Senate to ratifica- public to the Treaty Between the we passed S. 741, the animal drug bill tion, I transmit herewith the Protocol United States of America and the that Senator SESSIONS sponsored that Between the Government of the United Czech and Slovak Federal Republic provides for new drugs on what are States of America and the Government Concerning the Reciprocal Encourage- called minor animals. of the Republic of Estonia to the Trea- ment and Protection of Investment of We passed H.R. 3195 just this morn- ty for the Encouragement and Recip- October 22, 1991, signed at Brussels on ing, a bill that extends Small Business rocal Protection of Investment of April December 10, 2003. I transmit also, for Administration programs. That is Sen- 19, 1994, signed at Brussels on October the information of the Senate, the re- ator SNOWE’s bill. 24, 2003. I transmit also, for the infor- port of the Department of State with We passed H.R. 254, which are amend- mation of the Senate, the report of the respect to this Protocol. ments to the U.S.-Mexico Agreement Department of State with respect to I have already forwarded to the Sen- on the Border Environment Coopera- this Protocol. ate similar Protocols for Romania and tion Commission and the North Amer- I have already forwarded to the Sen- Bulgaria and now forward simulta- ican Development Bank. Senator ate similar Protocols for Romania and neously to the Senate Protocols for the Bulgaria and now forward simulta- HUTCHISON was instrumental in clear- Czech Republic, Estonia, Latvia, Lith- neously to the Senate Protocols for the ing this bill. uania, Poland, and the Slovak Repub- Czech Republic, Estonia, Latvia, Lith- The list goes on. I did want to reflect lic. Each of these Protocols is the re- uania, Poland, and the Slovak Repub- the amount of work we were able to sult of an understanding the United lic. Each of these Protocols is the re- pull through over the course of the States reached with the European sult of an understanding the United week. Commission and these six countries States reached with the European In addition, we were able to ratify that will join the European Union (EU) Commission and these six countries the United States-Japan Tax Treaty on May 1, 2004, as well as with Bulgaria that will join the European Union (EU) reported by Chairman LUGAR and the and Romania, which are expected to on May 1, 2004, as well as with Bulgaria Foreign Relations Committee. This is a join the EU in 2007. and Romania, which are expected to very important treaty. The understanding is designed to pre- join the EU in 2007. serve U.S. bilateral investment treaties We just passed Senator ALEXANDER’s The understanding is designed to pre- (BITs) with each of these countries S. 1881, the Medical Devices and Tech- serve U.S. bilateral investment treaties after their accession to the EU by es- nical Correction Act. (BITs) with each of these countries tablishing a framework acceptable to Senator SPECTER secured passage of after their accession to the EU by es- the European Commission for avoiding S. 2043, which designates a Federal tablishing a framework acceptable to or remedying present and possible fu- building in Harrisburg, PA, as the the European Commission for avoiding ture incompatibilities between their ‘‘Ronald Reagan Federal Building.’’ or remedying present and possible fu- Senator SHELBY assisted in passage ture incompatibilities between their BIT obligations and their future obli- of H.R. 3724. BIT obligations and their future obli- gations of EU membership. It expresses So we had a very productive week by gations of EU membership. It expresses the U.S. intent to amend the U.S. BITs, anyone’s measure. I wanted to notice the U.S. intent to amend the U.S. including the BIT with the Czech Re- the hard work and efforts of all of my BITS, including the BIT with Estonia, public, in order to eliminate incom- colleagues with respect to these legis- in order to eliminate incompatibilities patibilities between certain BIT obliga- lative and executive accomplishments. between certain BIT obligations and tions and EU law. It also establishes a f EU law. It also establishes a frame- framework for addressing any future work for addressing any future incom- incompatibilities that may arise as EU REMOVAL OF INJUNCTION OF authority in the area of investment ex- SECRECY patibilities that may arise as EU au- thority in the area of investment ex- pands in the future, and endorses the Mr. FRIST. Mr. President, as in exec- pands in the future, and endorses the principle of protecting existing U.S. in- utive session, I ask unanimous consent principle of protecting existing U.S. in- vestments from any future EU meas- that the injunction of secrecy be re- vestments from any future EU meas- ures that may restrict foreign invest- moved from the following treaties, ures that may restrict foreign invest- ment in the EU. which I will send to the desk, and that ment in the EU. The United States has long cham- were transmitted to the Senate on The United States has long cham- pioned the benefits of an open invest- March 12, 2004, by the President of the pioned the benefits of an open invest- ment climate, both at home and United States. I further ask unanimous ment climate, both at home and abroad. It is the policy of the United consent that the treaties be considered abroad. It is the policy of the United States to welcome market-driven for- as having been read the first time; that States to welcome market-driven for- eign investment and to permit capital they be referred with accompanying eign investment and to permit capital to flow freely to seek its highest re- papers to the Committee on Foreign to flow freely to seek its highest re- turn. This Protocol preserves the U.S. Relations and ordered to be printed; turn. This Protocol preserves the U.S. BIT with the Czech Republic, with and that the President’s messages be BIT with Estonia, with which the which the United States has an expand- printed in the RECORD. I now send that United States has an expanding rela- ing relationship, and the protections it list to the desk. tionship, and the protections it affords affords U.S. investors even after the The list is as follows: U.S. investors even after Estonia joins Czech Republic joins the EU. Without Investment Protocol with Estonia (Treaty the EU. Without it, the European Com- it, the European Commission would Doc. 108–17); mission would likely require Estonia to likely require the Czech Republic to Additional Investment Protocol with the terminate its U.S. BIT upon accession terminate its U.S. BIT upon accession Czech Republic (Treaty Doc. 108–18); because of existing and possible future because of existing and possible future Additional Investment Protocol with the incompatibilities between our current incompatibilities between our current Slovak Republic (Treaty Doc. 108–19); BIT and EU law. BIT and EU law. Additional Investment Protocol with the I recommend that the Senate con- I recommend that the Senate con- Latvia (Treaty Doc. 108–20); Additional Investment Protocol with Lith- sider this Protocol as soon as possible, sider this Protocol as soon as possible, uania (Treaty Doc. 108–21); and and give its advice and consent to rati- and give its advice and consent to rati- Additional Protocol Concerning Business fication at an early date. fication at an early date. and Economic Relations with Poland (Treaty GEORGE W. BUSH. GEORGE W. BUSH. Doc. 108–22). THE WHITE HOUSE, March 12, 2004. THE WHITE HOUSE, March 12, 2004.

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00071 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2826 CONGRESSIONAL RECORD — SENATE March 12, 2004 To the Senate of the United States: To the Senate of the United States: transmit herewith the Additional Pro- With a view to receiving the advice With a view to receiving the advice tocol Between the Government of the and consent of the Senate to ratifica- and consent of the Senate to ratifica- United States of America and the Gov- tion, I transmit herewith the Addi- tion, I transmit herewith the Addi- ernment of the Republic of Lithuania tional Protocol Between the United tional Protocol Between the Govern- to the Treaty for the Encouragement States of America and the Slovak Re- ment of the United States of America and Reciprocal Protection of Invest- public to the Treaty Between the and the Government of the Republic of ment of January 14, 1998, signed at United States of America and the Latvia to the Treaty for the Encour- Brussels on September 22, 2003. I trans- Czech and Slovak Federal Republic agement and Reciprocal Protection of mit also, for the information of the Concerning the Reciprocal Encourage- Investment of January 13, 1995, signed Senate, the report of the Department ment and Protection of Investment of at Brussels on September 22, 2003. I of State with respect to this Protocol. October 22, 1991, signed at Brussels on transmit also, for the information of I have already forwarded to the Sen- September 22, 2003. I transmit also, for the Senate, the report of the Depart- ate similar Protocols for Romania and the information of the Senate, the re- ment of State with respect to this Pro- Bulgaria and now forward simulta- port of the Department of State with tocol. neously to the Senate Protocols for the respect to this Protocol. I have already forwarded to the Sen- Czech Republic, Estonia, Latvia, Lith- I have already forwarded to the Sen- ate similar Protocols for Romania and uania, Poland, and the Slovak Repub- ate similar Protocols for Romania and Bulgaria and now forward simulta- lic. Each of these Protocols is the re- Bulgaria and now forward simulta- neously to the Senate Protocols for the sult of an understanding the United neously to the Senate Protocols for the Czech Republic, Estonia, Latvia, Lith- States reached with the European Czech Republic, Estonia, Latvia, Lith- uania, Poland, and the Slovak Repub- Commission and these six countries uania, Poland, and the Slovak Repub- lic. Each of these Protocols is the re- that will join the European Union (EU) lic. Each of these Protocols is the re- sult of an understanding the United on May 1, 2004, as well as with Bulgaria sult of an understanding the United States reached with the European and Romania, which are expected to States reached with the European Commission and these six countries join the EU in 2007. Commission and these six countries that will join the European Union (EU) The understanding is designed to pre- that will join the European Union (EU) on May 1, 2004, as well as with Bulgaria serve U.S. bilateral investment treaties on May 1, 2004, as well as with Bulgaria and Romania, which are expected to (BITs) with each of these countries and Romania, which are expected to join the EU in 2007. after their accession to the EU by es- The understanding is designed to pre- join the EU in 2007. tablishing a framework acceptable to serve U.S. bilateral investment treaties The understanding is designed to pre- the European Commission for avoiding (BITs) with each of these countries serve U.S. bilateral investment treaties or remedying present and possible fu- after their accession to the EU by es- (BITs) with each of these countries ture incompatibilities between their tablishing a framework acceptable to after their accession to the EU by es- BIT obligations and their future obli- tablishing a framework acceptable to the European Commission for avoiding or remedying present and possible fu- gations of EU membership. It expresses the European Commission for avoiding the U.S. intent to amend the U.S. BITs, or remedying present and possible fu- ture incompatibilities between their BIT obligations and their future obli- including the BIT with Lithuania, in ture incompatibilities between their gations of EU membership. It expresses order to eliminate incompatibilities BIT obligations and their future obli- the U.S. intent to amend the U.S. BITs, between certain BIT obligations and gations of EU membership. It expresses including the BIT with Latvia, in order EU law. It also establishes a frame- the U.S. intent to amend the U.S. BITs, to eliminate incompatibilities between work for addressing any future incom- including the BIT with the Slovak Re- certain BIT obligations and EU law. It patibilities that may arise as EU au- public, in order to eliminate incom- also establishes a framework for ad- thority in the area of investment ex- patibilities between certain BIT obliga- dressing any future incompatibilities pands in the future, and endorses the tions and EU law. It also establishes a that may arise as EU authority in the principle of protecting existing U. S. framework for addressing any future area of investment expands in the fu- investments from any future EU meas- incompatibilities that may arise as EU ture, and endorses the principle of pro- ures that may restrict foreign invest- authority in the area of investment ex- tecting existing U.S. investments from ment in the EU. pands in the future, and endorses the any future EU measures that may re- The United States has long cham- principle of protecting existing U.S. in- strict foreign investment in the EU. pioned the benefits of an open invest- vestments from any future EU meas- The United States has long cham- ment climate, both at home and ures that may restrict foreign invest- pioned the benefits of an open invest- abroad. It is the policy of the United ment in the EU. ment climate, both at home and States to welcome market-driven for- The United States has long cham- abroad. It is the policy of the United eign investment and to permit capital pioned the benefits of an open invest- States to welcome market-driven for- to flow freely to seek its highest re- ment climate, both at home and eign investment and to permit capital turn. This Protocol preserves the U.S. abroad. It is the policy of the United to flow freely to seek its highest re- BIT with Lithuania, with which the States to welcome market-driven for- turn. This Protocol preserves the U.S. United States has an expanding rela- eign investment and to permit capital BIT with Latvia, with which the tionship, and the protections it affords to flow freely to seek its highest re- United States has an expanding rela- U.S. investors even after Lithuania turn. This Protocol preserves the U.S. tionship, and the protections it affords joins the EU. Without it, the European BIT with the Slovak Republic, with U.S. investors even after Latvia joins Commission would likely require Lith- which the United States has an expand- the EU. Without it, the European Com- uania to terminate its U.S. BIT upon ing relationship, and the protections it mission would likely require Latvia to accession because of existing and pos- affords U.S. investors even after the terminate its U.S. BIT upon accession sible future incompatibilities between Slovak Republic joins the EU. Without because of existing and possible future our current BIT and EU law. it, the European Commission would incompatibilities between our current I recommend that the Senate con- likely require the Slovak Republic to BIT and EU law. sider this Protocol as soon as possible, terminate its U.S. BIT upon accession I recommend that the Senate con- and give its advice and consent to rati- because of existing and possible future sider this Protocol as soon as possible, fication at an early date. incompatibilities between our current and give its advice and consent to rati- GEORGE W. BUSH. BIT and EU law. fication at an early date. THE WHITE HOUSE, March 12, 2004. I recommend that the Senate con- GEORGE W. BUSH. sider this Protocol as soon as possible, THE WHITE HOUSE, March 12, 2004. To the Senate of the United States: and give its advice and consent to rati- With a view to receiving the advice fication at an early date. To the Senate of the United States: and consent of the Senate to ratifica- GEORGE W. BUSH. With a view to receiving the advice tion, I transmit herewith the Addi- THE WHITE HOUSE, March 12, 2004. and consent of Senate to ratification, I tional Protocol Between the United

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00072 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — SENATE S2827 States of America and the Republic of 22. I further ask that following the ports support 232,000 jobs in Tennessee, Poland to the Treaty Between the prayer and the pledge, the morning and that is about 10 percent of our United States of America and the Re- hour be deemed expired, the Journal of overall workforce in Tennessee. public of Poland Concerning Business proceedings be approved to date, the Some people have suggested we close and Economic Relations of March 21, time for the two leaders be reserved for our borders to trade. To me, and I 1990, signed at Brussels on January 12, their use later in the day, and the Sen- think to most people, that is a declara- 2004. I transmit also, for the informa- ate then begin a period for morning tion of defeat. We are the most cre- tion of the Senate, the report of the business until 2 p.m. with Senators per- ative society in the world. We are the Department of State with respect to mitted to speak for up to 10 minutes most innovative society in the world this Protocol. each. today. Workers in the United States I have already forwarded to the Sen- The PRESIDING OFFICER. Without lead productivity when compared to all ate similar Protocols for Romania and objection, it is so ordered. other workers in the world. If we are Bulgaria and now forward simulta- f allowed to compete on a level playing neously to the Senate Protocols for the field, U.S. manufacturers can and will PROGRAM Czech Republic, Estonia, Latvia, Lith- compete anywhere in the world, but uania, Poland, and the Slovak Repub- Mr. FRIST. Mr. President, the Sen- U.S. manufacturers currently have this lic. Each of these Protocols is the re- ate will next convene on Monday, additional burden of unnecessary cost. sult of an understanding the United March 22. No rollcall votes will occur The WTO also approved the European States reached with the European that day. However, the Senate will re- Union sanctions against the United Commission and these six countries sume consideration of the Jumpstart States. As I mentioned, that began on that will join the European Union (EU) JOBS bill, also known as FSC/ETI. We March 1. That is a 5-percent tariff, a 5- on May 1, 2004, as well as with Bulgaria have made some progress on the bill. percent tax, a 5-percent sanction on a and Romania, which are expected to We interrupted the bill when we took whole variety of U.S. goods. Again, join the EU in 2007. up the budget bill this week. that makes us less competitive. Thus, The understanding is designed to pre- Given the March 1 deadline on the we need to act and we need to act now. serve U.S. bilateral investment treaties FSC/ETI bill, which we have passed, We do not need a lot of nongermane, (BITs) with each of these countries and the implementation of sanctions, extraneous amendments applied to this after their accession to the EU by es- because that deadline has passed, I am bill. Let’s stay focused on this bill tablishing a framework acceptable to concerned about our ability to pass itself. the European Commission for avoiding this bill in a timely way. We must ad- It has gone up 5 percent. These tariffs or remedying present and possible fu- dress this and it will be the first order will increase by 1 percent a month to a ture incompatibilities between their of business when we return. high of 17 percent next year if we do BIT obligations and their future obli- It is clear that extraneous amend- not act and repeal these export sub- gations of EU membership. It expresses ments may be offered and that will fur- sidies. That, again, is another cost to the U.S. intent to amend the U.S. BITs, ther complicate our ability to finish U.S. manufacturing. including the BIT with Poland, in order this bill in a timely and orderly way. There are pending amendments, and to eliminate incompatibilities between We have already spent several days on others may be offered that day, and certain BIT obligations and EU law. It the bill. I encourage my colleagues to therefore Members are expected to also establishes a framework for ad- stay focused. Let’s address the bill in come to the floor for debate through- dressing any future incompatibilities an appropriate way to complete action. out the day. The next vote will occur that may arise as EU authority in the Chairman GRASSLEY and Ranking on Tuesday. As always, we will notify area of investment expands in the fu- Member BAUCUS are still hoping to pur- Members when we lock in a time cer- ture, and endorses the principle of pro- sue an agreement to finish the bill, al- tain for that rollcall vote. tecting existing U.S. investments from though I must put everyone on notice I do thank everyone one last time for any future EU measures that may re- that it may be necessary to file cloture their hard work and their long hours strict foreign investment in the EU. to bring this important legislation to a this week. I thank the pages. They The United States has long cham- close. have done a tremendous job for us, pioned the benefits of an open invest- I should comment on the bill itself from early in the morning until late at ment climate, both at home and because people say, why the focus? night; to the police, to all the clerks, abroad. It is the policy of the United Why the urgency? I mentioned the again from hours before we start until States to welcome market-driven for- March 1 deadline—we are past the well after we complete our business on eign investment and to permit capital March 1 deadline—the renewed sanc- the floor; and to all those who are be- to flow freely to seek its highest re- tions that are impacting trade right hind the scenes and keep this wonder- turn. This Protocol preserves the U.S. now. ful building and institution func- BIT with Poland, with which the The bill brings our trade laws and tioning. We do not have the oppor- United States has an expanding rela- our trade into compliance with our tunity to thank them very much, and I tionship, and the protections it affords trade agreements. Right now they are hope in telling that story of the impor- U.S. investors even after Poland joins out of compliance. People agree they tance of thank-yous, I do say thank- the EU. Without it, the European Com- are out of compliance. you to all the people who provide the mission would likely require Poland to In addition, the bill provides badly infrastructure that allows us to carry terminate its U.S. BIT upon accession needed reforms to further stimulate out real democracy at its best. manufacturing growth. It is a manufac- because of existing and possible future f incompatibilities between our current turing bill. On this floor every day we ORDER FOR ADJOURNMENT BIT and EU law. are talking jobs, manufacturing jobs I recommend that the Senate con- and loss of jobs, and this bill hits di- Mr. FRIST. If there is no further sider this Protocol as soon as possible, rectly at the heart of improving the en- business to come before the Senate, I and give its advice and consent to rati- vironment for manufacturing in this ask that the Senate stand in adjourn- fication at an early date. country. ment under the provisions of S. Con. GEORGE W. BUSH. We all know the recession hit the Res. 98, following the remarks of Sen- THE WHITE HOUSE, March 12, 2004. manufacturing sector hard, probably ator NELSON for up to 10 minutes. f the hardest of any other sector. Manu- The PRESIDING OFFICER. The Sen- facturing costs in the U.S. have been ator from Florida. ORDERS FOR MONDAY, MARCH 22, going up. They are getting higher and f 2004 higher, where they have not gone up Mr. FRIST. Mr. President, I ask elsewhere in the world. NASA FUNDING unanimous consent that when the Sen- We compete in a global economy. In Mr. NELSON of Florida. Mr. Presi- ate completes its business today, it ad- my home State of Tennessee, exports dent, my compliments to the majority journ until 12 noon on Monday, March have risen 26 percent since 1997, and ex- leader on the way in which he offered

VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00073 Fmt 4624 Sfmt 0634 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S2828 CONGRESSIONAL RECORD — SENATE March 12, 2004 leadership for the Senate on a rather is no greater supporter in the Senate taking because of the expansion of our rigorous and very lengthy discussion of for America’s space program than this knowledge and the fulfilling of our de- the budget over the last several days. Senator from Florida, who has had the sire in our inner souls to be explorers My thanks to him for the hospitality great privilege of being a part of the and adventurers, a characteristic of the he provided in the course of a very long space program. There is no greater American people. evening. And my compliments and con- need than the need at this particular I felt compelled to share these gratulations to the chairman of the time for the full funding of the Presi- thoughts as one of the biggest boosters Budget Committee, Senator NICKLES, dent’s request, with all that NASA has of the U.S. space program—indeed, the and to Senator CONRAD, the ranking on its plate. It has, not only the new world’s space program. For we are in member, for the extraordinarily bipar- initiative announced by the President an international venture with other tisan fashion, as the hours of the back in January of going back to the nations of this world on the inter- evening wore on and as nerves began to Moon and then eventually to Mars—of national space station, sharing various fray, of keeping a calm and cool delib- course, no funding really being pro- citizens of the world on different ave- eration in the midst of 300 amendments vided for that, the major funding being nues, namely, American rockets that had been filed. Those 300 amend- provided in the President’s announce- through the space shuttle and Euro- ments would have kept us here all day ment in the outyears—but all the other pean and Russian rockets on other today, all day Saturday, all day Sun- things on NASA’s plate. space ventures. day, and well into Monday. Yet with We had a major space disaster, the It is important the White House back that leadership, the chairman and the second one that occurred within the their request vigorously. I hope and I ranking member were able to get rea- span of 17 years. Now, as a result of an expect they will do so, and then we will sonable minds to come together and excellent report brought forth by Ad- continue to have an excellent space find consensus and therefore withdraw miral Geman’s commission, we under- program. many amendments. That was a testi- stand what specific things need to be Thank you, Mr. President. I yield the mony and showed the Senate working done to fix the problem and to get back floor. into flight. Of course, it is going to its will. f I asked for this time because I want cost a lot of money to make those to comment on one part of the budget fixes, and indeed the downtime is cost- ADJOURNMENT UNTIL MONDAY, that was passed last night. In the wee ing NASA all kinds of turmoil and un- MARCH 22, 2004 hours of the morning, an amendment certainty. The PRESIDING OFFICER. Under was passed by unanimous consent, For us not to have the White House the previous order, the Senate stands sponsored by Senator SESSIONS, Sen- step forward and say with vigor that adjourned until noon on Monday, ator SHELBY, this Senator from Flor- they support their budget request for March 22. ida, and Senator GRAHAM of Florida. It NASA caused us to just narrowly, by Thereupon, the Senate, at 2:18 p.m., was an amendment to bring the level of the skin of our teeth, avert a disaster adjourned until Monday, March 22, funding for NASA provided in the budg- of almost passing a budget resolution 2004, at 12 noon. et resolution up to the level requested last night that was $631 million under by the President. This was no small the President’s request. There is too f amount of money, for what had come much riding on our exploring the heav- NOMINATIONS out of the Budget Committee, over my ens for this extremely prestigious and Executive nominations received by objection, was a cut to America’s space very productive program of the United the Senate March 12, 2004: program, as evidenced in the NASA States called America’s space program. budget, of $631 million. As we explore the heavens, we continue THE JUDICIARY My pleas in the course of our delib- to push out the frontiers of our knowl- WILLIAM H. PRYOR, OF ALABAMA, TO BE UNITED STATES CIRCUIT JUDGE FOR THE ELEVENTH CIRCUIT, erations in the Budget Committee to edge, and as we develop the technology VICE EMMETT RIPLEY COX, RETIRED, TO WHICH POSI- get the White House to step forward to do that, that then translates into TION HE WAS APPOINTED DURING THE LAST RECESS. and to support its request for its full magnificent enhancement in the qual- DEPARTMENT OF VETERANS AFFAIRS funding at a level of $16.2 billion, went ity of our lives as the technology from MARY J. SCHOELEN, OF THE DISTRICT OF COLUMBIA, unheeded. Indeed, those pleas went the space program is applied to our TO BE A JUDGE OF THE UNITED STATES COURT OF AP- PEALS FOR VETERANS CLAIMS FOR THE TERM OF FIF- unheeded for the White House to sup- normal, everyday lives. TEEN YEARS, VICE JOHN J. FARLEY, III, TERM EXPIRING. port its own budget on NASA all the I call on the White House. I call on DEPARTMENT OF STATE the leadership of NASA. We cannot way up through the end of the delibera- JACK DYER CROUCH II, OF MISSOURI, TO BE AMBAS- tions this entire week until around 1 take for granted just because the Presi- SADOR EXTRAORDINARY AND PLENIPOTENTIARY OF o’clock this morning. dent has announced a major new initia- THE UNITED STATES OF AMERICA TO ROMANIA. It was only when Senator SESSIONS tive that it is going to get funded. In- FEDERAL MARITIME COMMISSION and Senator SHELBY each put their foot deed, we are swimming upstream. The JOSEPH E. BRENNAN, OF MAINE, TO BE A FEDERAL MARITIME COMMISSIONER FOR THE TERM EXPIRING down to let the chairman of the Budget immediate reaction of the American JUNE 30, 2008. (REAPPOINTMENT) Committee know that their votes on people to the President’s initiative was IN THE COAST GUARD final passage were questionable unless they didn’t support it. There is only THE FOLLOWING NAMED OFFICER OF THE UNITED that was brought up to the level of the one person who can lead the space pro- STATES COAST GUARD TO BE A MEMBER OF THE PERMA- President’s request did we successfully gram. That is the President or the Vice NENT COMMISSIONED TEACHING STAFF OF THE COAST GUARD ACADEMY IN THE GRADE INDICATED UNDER get inserted into the budget an amend- President. A Senator can’t lead it. The TITLE 14, U.S.C., SECTION 188: ment that would bring NASA up to the administrator of NASA can’t lead it, THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT TO THE GRADE INDICATED IN THE UNITED STATES $16.2 billion. particularly on bold new initiatives. It COAST GUARD UNDER TITLE 14, U.S.C., SECTION 211: Where was the White House and why has to be the White House that leads it. To be captain did it take—and I give great credit to I implore the White House and NASA GEORGE W MOLESSA, 0000 Senator SHELBY—that long, with my to step forward and support your re- encouragement and that of others, to port. Otherwise, we are going to get To be lieutenant commander get the budget resolution amended so into a situation where mistakes of KIMBERLY A CROKE, 0000 PATRICK FLYNN, 0000 when this budget resolution is ulti- omission are going to occur like al- LAURIE J MOSIER, 0000 mately passed after conference with most occurred last night. Suddenly we JAMES E SCHEYE, 0000 PAUL D THORNE, 0000 the House of Representatives there will are going to find ourselves with a final To be lieutenant not be such a financial straitjacket on budget product that is going to strait- CARISSA C APRIL, 0000 NASA so the appropriations commit- jacket NASA with less funds than the GLENN A BRUNNER, 0000 tees could not give the adequate fund- President requested. KENNETH R BRYAN, 0000 Now more than ever NASA needs DAVID A BUTIERRIES, 0000 ing to NASA? Yet that is what we were DONALD D DEIBLER, 0000 faced with at 1 o’clock this morning. those funds to return to flight as safely STEVEN R DOYLE, 0000 Where is the White House? That is as possible. I say that because space DOUGLAS E EGGLESTON, 0000 PAUL M GILL, 0000 the subject of my commentary. There flight is risky. But it is a risk worth MICHAEL P GULDIN, 0000

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JONATHAN N HAMMOND, 0000 WALTER R HOPPE, 0000 IN THE AIR FORCE LEONARD J HERSL, 0000 DEAN E HORTON, 0000 KAREN JONES, 0000 SEAN P HUGHES, 0000 THE FOLLOWING NAMED OFFICER FOR APPOINTMENT JEFFERY A KNYBEL, 0000 JASON D INGRAM, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR BRANDON W LECHTHALER, 0000 JUSTIN W JACOBS, 0000 FORCE UNDER TITLE 10, U.S.C., SECTION 624: THOMAS C LINKE, 0000 ROYCE W JAMES, 0000 To be lieutenant colonel GLENN A MARTINEAU, 0000 STEVEN F JENSEN, 0000 GREGORY A MASON, 0000 ERIC D JOHNSON, 0000 DAVID W. PUVOGEL, 0000 MARIO L MERCADO, 0000 KAREN S JONES, 0000 PAUL K MUCHA, 0000 KAREN L JORDAN, 0000 THE FOLLOWING NAMED OFFICER FOR APPOINTMENT JAMES E NOE, 0000 MICHAEL P KAHLE, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR JAMES A NOVOTNY, 0000 MAEVE K KEOGH, 0000 FORCE UNDER TITLE 10, U.S.C., SECTION 624: RICHARD J PACIORKA, 0000 LANCE C KERR, 0000 FELICIA K RAYBON, 0000 To be lieutenant colonel TERRI J KINDNESS, 0000 DAVID W SAUNDERS, 0000 MATTHEW D KING, 0000 TERRANCE J. WOHLFIEL, 0000 KEVIN J SHEEHAN, 0000 ROBERT J KINSEY, 0000 WILLIAM J SIEBEN, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT DAVID A KROENING, 0000 DAVID V SMITH, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR JERRY J KRYWANCZYK, 0000 JOHN P SWIDRAK, 0000 FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED BRUCE M TWEED, 0000 RUSSELL M LANGHAM, 0000 BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS TODD D VANCE, 0000 EDDIE LESANE, 0000 624 AND 531: PAUL T WASHLESKY, 0000 DEBORAH S LINDQUIST, 0000 DAVID S WILHELM, 0000 WILLIAM S LONG, 0000 To be major RYAN E MACLEOD, 0000 HARRY L WILSON, 0000 LORENA A. * BAILEY, 0000 ANTHONY J MAFFIA, 0000 CHARLES A YATES, 0000 JEFFREY C. * BALL, 0000 WILLIAM L MAGNESS, 0000 ALAN L YELVINGTON, 0000 SARA K. * BERNDTSON, 0000 DAVID J MARRAMA, 0000 JAMES R YOUNG, 0000 PAUL R. BREZINSKI, 0000 ZACHARY S MATHEWS, 0000 DANIEL L YOUNGBERG, 0000 DAVID A. CAIN, 0000 ERIC J MATTHIES, 0000 CHRISTOPHER H ZORMAN, 0000 RICHARD A. CRESPO, 0000 ROBERT E MCCASKEY, 0000 To be lieutenant junior grade TERENCE T. * CUNNINGHAM IV, 0000 STEVEN J MCCULLOUGH, 0000 JACKIE L. DAY, 0000 MARCUS E ALDEN, 0000 LATARSHA S MCQUEEN, 0000 ANGELINA T. * DUNBAR, 0000 JOHN G ALLEN, 0000 MICHAEL D MCWILLIAMS, 0000 RICHARD K. * ELMORE, 0000 NEAL E AMARAL, 0000 WILLIAM L MEES, 0000 LEIGHANN ERDMAN, 0000 KIMBERLY B ANDERSEN, 0000 ADAM C MERRILL, 0000 ALFRED K. * FLOWERS JR., 0000 MATTHEW R ANDERSON, 0000 DAVID P MERRIMAN, 0000 MICHAEL D. FOUTCH, 0000 LAHCEN I ARMSTRONG, 0000 TAMMY L MICHELLI, 0000 PAMELA WHITE * FRANKLIN, 0000 NICOLETTE A ARROYO, 0000 BARRY J MILES, 0000 MARY A. * GARBOWSKI, 0000 JOHN H AXTELL, 0000 KIMBERLY C MILLIGAN, 0000 KYLE W. * GIBSON, 0000 RENE BAEZ, 0000 KEVIN T MORGAN, 0000 RASHON E. * GILBERTSTEELE, 0000 FLAVIO B BALTAZAR, 0000 MARK E MORIARTY, 0000 LOUIS P. * GOLER SR., 0000 TAB A BEACH, 0000 KENNETH R MORTON, 0000 ANGEL M. * GONZALEZ, 0000 DAVID S BENNETT, 0000 ANDREW J A MOTTER, 0000 SHARON A. * GOODWIN, 0000 KENNETH E BETHEA, 0000 PATRICK D MOUNSEY, 0000 CHRIS A. * GRIPPO, 0000 BRIAN R BETZ, 0000 CHARLOTTE MUNDY, 0000 MARGUERITE M. * GUILLORY, 0000 JAMES R BIGBIE, 0000 SCOTT A MURPHY, 0000 EVYN J. * HELBER, 0000 IAN G BIRD, 0000 CRAIG E MURRAY, 0000 RODNEY L. HOLMES, 0000 TODD X BLOCH, 0000 DAVID NEGRONALICEA, 0000 MIN YEN * JUNG, 0000 MICHAEL A BLOCK, 0000 MARK C NELSON, 0000 SANDRA E. * KEESEE, 0000 STEVEN M BONN, 0000 MONTY NIJJAR, 0000 EDWARD J. * LAGROU, 0000 CHRISTOPHER L BONNER, 0000 LOAN T OBRIEN, 0000 CURTIS A. * LAMSON, 0000 MATTHEW T BOURASSA, 0000 CRAIG T OLESNEVICH, 0000 WILLIAM R. * LINDQUIST, 0000 DANIEL L BREHM, 0000 THELMA ORTIZCABANTAC, 0000 HOWARD WAINE * LONG, 0000 SHANE D BRIDGES, 0000 HEATHER M OSBURN, 0000 GAVIN W. * MASON, 0000 JOHN W BRIGGS, 0000 RONALD A OWENS, 0000 RUBEN A. * MATOS, 0000 DARKEIM L BROWN, 0000 PHILBERT C PABELLON, 0000 JOHN W. * MCKENNA, 0000 STEPHANIE E BURNS, 0000 ANTHONY I PAOPAO, 0000 DERRICK J. * MCKERCHER, 0000 ROBERT S BUTTS, 0000 ERIC G PARA, 0000 DEEANN M. * MEJIA, 0000 JEFFREY P CABELL, 0000 BRANDY N PARKER, 0000 JOHN J. * METCALF JR., 0000 GREGORY A CALLAGHAN, 0000 JARED A PARROTT, 0000 THOMAS L. * MOORE, 0000 JAMES C CAMPBELL, 0000 GREGORY L PARSONS, 0000 DOROTHY L. * OAKES, 0000 ERIC M CARRERO, 0000 BRIAN A POTTER, 0000 TIMOTHY R. * OHRENBERGER, 0000 JONATHAN A CARTER, 0000 LAWRENCE G QUEDADO, 0000 ERIC L. * PEIPELMAN, 0000 MARIE M CASTILLOBLETSO, 0000 ANTHONY J QUIRINO, 0000 TYLER W. * SANDERS, 0000 ANTHONY B CAUDLE, 0000 SCOTT A RAE, 0000 DAVID A. * SCHLEVENSKY, 0000 SHERRI L CHAMBERLIN, 0000 EARNEST RAWLES, 0000 KEVIN P. * SEELEY, 0000 JEFFERY W CHAPMAN, 0000 JASON D RIMINGTON, 0000 SAM L. * SILVERTHORNE JR., 0000 HAROLD W CHRISTENSEN, 0000 DUANE B RIPLEY, 0000 BRANDON S. * SMITH, 0000 JOHN J CHRISTENSEN, 0000 NELSON Y RIVERA, 0000 MICHELLE A. * STEPHENS, 0000 BILLY J CLARK, 0000 LEN M ROBINSON, 0000 THOMAS A. * STEWART, 0000 JONI L CLIFTON, 0000 NICOLE D RODRIGUEZ, 0000 PAUL J. * TOTH JR., 0000 ADAM E COCHRAN, 0000 SCOTT P ROOKE, 0000 THOMAS S. * VANDERHOOF, 0000 THOMAS J COMBS, 0000 BLANCA ROSAS, 0000 JACOB A. * VANSANT, 0000 CHARLES I COOK, 0000 FRANCIS C SAGER, 0000 DAVID R. * WATSON, 0000 JOHN M CORBETT, 0000 MATTHEW G SANFORD, 0000 DAVID R. * WELLS, 0000 NATHAN E COWALL, 0000 NELSON R SANTIAGO, 0000 REGINA LEE * WOODARD, 0000 MICHAEL A CRIDER, 0000 MARK C SAWYER, 0000 BRYAN E. * WOOLLEY, 0000 EDGARDO CRUZ, 0000 SHADRACK L SCHEIRMAN, 0000 BRENDA L. * YI, 0000 CHRISTOPHER H DAILEY, 0000 STEVEN A SCHULTZ, 0000 JASON P. * ZIMMERER, 0000 STEPHEN DAPONTE, 0000 MARC R SENNICK, 0000 JOHN G DAUGHTRY, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT THOMAS A SHULER, 0000 JAY E DAVIS, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR MARTIN C SIMPSON, 0000 WILLIAM L DAVIS, 0000 FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED STEVEN A SKAGGS, 0000 CHRISTOPHER J DELAMERE, 0000 BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS JAMES C SMITH, 0000 ETIENNE DELARIVA, 0000 624 AND 531: BRYSON T SPANGLER, 0000 JOSHUA M DELEON, 0000 WILLIAM R SPORTSMAN, 0000 To be major PATRICK C DILL, 0000 HANS P STAFFELBACH, 0000 DAVID D DIXON, 0000 TRAVIS R. * ADAMS, 0000 JONATHAN K STEHN, 0000 ELIZABETH L DOMINY, 0000 MATTHEW D. ALBRIGHT, 0000 JAMES B STELLFLUG, 0000 ROBERT J DONNELL, 0000 JAMES C. * ALLEN IV, 0000 KENNETH W ELLER, 0000 WILLIAM E STRICKLAND, 0000 SUSAN E. * ANSPACH, 0000 CHAD A FAIT, 0000 BRANDON J SULLIVAN, 0000 LISA M. * BADER, 0000 BRIAN M FARMER, 0000 TIMOTHY F SUTTON, 0000 JOHN A. * BARNETT, 0000 MICHAEL R FRANKLIN, 0000 CHRISTOPHER W SWEENEY, 0000 KENNETH J. * BARON, 0000 JAMIE C FREDERICK, 0000 KRIS J SZCZECHOWICZ, 0000 WILLIAM B. * BELSER, 0000 WILLIAM A FRIDAY, 0000 STEVEN M TALICK, 0000 JULIE A. * BEST, 0000 MATTHEW S FURLONG, 0000 RONALD S TEAGUE, 0000 BRETT L. * BISHOP, 0000 JAMES S GARLAND, 0000 KELLY A THORKILSON, 0000 LISA R. * BLACKMAN, 0000 MICHAEL P GARVEY, 0000 LEE D TITUS, 0000 BRIAN G. * BLALOCK, 0000 MARCUS G GHERARDI, 0000 KEVIN L TROWBRIDGE, 0000 SAMANTHA E. * BLANCHARD, 0000 NICHOLAS E GILMORE, 0000 ROBERT C TUCKER, 0000 KIMBERLY C. * BOEHM, 0000 CARY G GODWIN, 0000 MARC E TUNSTALL, 0000 NATALIE K. * BONETTI, 0000 HAYDEN J GOLDMAN, 0000 JEFFREY M VAJDA, 0000 JAMES E. * BONSON JR., 0000 JASON M GRAD, 0000 ANDREW J VANSKIKE, 0000 BRADLEY G. * BOWERS, 0000 AARON L GROSS, 0000 CHRISTOPHER D VARGO, 0000 JOHN C. * BOWERS JR., 0000 KENT D HALEY, 0000 OMAR VAZQUEZ, 0000 LEE A. * BOXBERGER, 0000 STEVEN J HALPIN, 0000 XAIMARA VICENCIOROLDAN, 0000 MICHAEL D. * BUSBY, 0000 JASON K HAMBY, 0000 JERAMY J WAHRMUND, 0000 LAURA L. * BUTLER, 0000 LUSHAN A HANNAH, 0000 LISA D WALL, 0000 ROBERT K. * CAMPBELL, 0000 HEATHER E HANNING, 0000 WILLIAM C WALSH, 0000 COLETTE M. * CANDY, 0000 MICHAEL J HEGEDUS, 0000 MARC D WARREN, 0000 ROSE M. * CANTU, 0000 DERRICK F HENDRICKSON, 0000 ROBERT D WEBB, 0000 MICHAEL T. * CARTWRIGHT, 0000 THOMAS G HICKEY, 0000 HOLLY A WENDELIN, 0000 JAMES S. * CAVANAUGH, 0000 DAVID S HILL, 0000 RYAN H WILKINSON, 0000 CLARA F. * CHAMBERS, 0000 JESSE C HOLSTON, 0000 WINSTON D WOOD, 0000 LORI J. * CHUPP, 0000 CHRISTOPHER M HOOPER, 0000 YAMASHEKA Z YOUNG, 0000 MICHAEL L. * CLARK, 0000

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ELITA L. * CONALLY, 0000 DAVID E. * AMATO, 0000 MICHAEL * REBARCHAK, 0000 VICTORIA H. * COOMES, 0000 CARMEN * ARGUELLES, 0000 RUSSELL D. * RHOADES, 0000 CHRISTOPHER M. * CUTLER, 0000 LAURA B. * ARMS, 0000 RICARDO * RODRIGUEZ, 0000 BRYAN M. * DAVIDSON, 0000 EDWARD J. * ARNOLD, 0000 LISANDRA * ROJASKNOTTS, 0000 JASON A. * DEESE, 0000 JOHN F. * BAER, 0000 GORDON K. * ROSS, 0000 WADE R. * DEMORDAUNT, 0000 JOSEPH D. * BALL, 0000 CHARLES T. * RUSSELL, 0000 DOMEEKA A. * DIXON, 0000 KATIE A. BARTLETT, 0000 ELENA R. * SCHLENKER, 0000 ANNE C. * DOBMEYER, 0000 EARL J. * BARTOLOMEO, 0000 MAGGIE H. * SCHUMACHER, 0000 SAMUEL S. * DUTTON, 0000 CAROLYN E. * BECKER, 0000 BRADLEY D. * SCHWITTERS, 0000 ROBERT M. ENINGER, 0000 SUSAN K. * BLOCK, 0000 ANTOINETTE M. * SHINN, 0000 ROY R. * ESTRADA, 0000 ANNETTE A. BOWER, 0000 CLYNISE D. * SIMPSON, 0000 TONYA R. * EVERLETH, 0000 MARY L. * BROOKINS, 0000 YVONNETTE C. * SMITH, 0000 VINCENT D. * FALLS, 0000 RUBY M. * BROWSKOWSKILOVEDAY, 0000 ROBERT M. * SOUTHER, 0000 DIANE R. * FINCH, 0000 RONNA K. * BRUCE, 0000 JERRY D. * SPARLING, 0000 PATRICIA J. * FINKENBERG, 0000 MARYJO * BURLEIGH, 0000 IVETTE * STERLING, 0000 BRIAN M. FITZGERALD, 0000 THAD V. * BURLEY, 0000 HEIDI M. * STEWART, 0000 BRIAN K. * FOUTCH, 0000 MICHELLE K. * BUTLER, 0000 PATRICK W. * STILLEY, 0000 TOLANI I. * FRANCISCO, 0000 BARBARA A. * CAIN, 0000 DONNA A. * STORY, 0000 BRENDA L. * FRYE, 0000 MEGELA E. * CAMPBELL, 0000 CHRISTOPHER E. * STRANE, 0000 CELENE A. * FYFFE, 0000 SHELLEY A. * CAMPBELL, 0000 LARRY A. * TODD, 0000 TIMOTHY P. * GACIOCH, 0000 DANNY R. * CANLAS, 0000 JENNIFER L. * TRINKLE, 0000 TIMOTHY A. * GAMEROS, 0000 TONDA J. * CANOTE, 0000 STEPHANIE M. * TURNER, 0000 JOHN * GRAVGAARD, 0000 RUSSELL D. * CARTER, 0000 MICHELLE M. * VAUGHAN, 0000 PATRICK L. * GRAY, 0000 LESLIE A. * CHRISTOPHER, 0000 RENEE G. * VINCENT, 0000 JULIE V. * GUILL, 0000 LISA M. * CIESKO, 0000 KIMBERLY A. * VOLLMER, 0000 ALLISON C. * HANAUER, 0000 ADRIENNE M. * CLARK, 0000 SHEELAH Z. * WALKER, 0000 VIRGINIA L. * HAYS, 0000 ROBIN A. * CODY, 0000 RICHARD E. * WALLEN, 0000 NICOLE R. HENKELMAN, 0000 WILLIAM P. * COFFEY, 0000 NANCY A. WALTER, 0000 ARIANNE J. * HENRYKROLL, 0000 SUSAN K. * COLCLASURE, 0000 JENNIFER M. * WALTERS, 0000 STEVEN P. * HIGGINS, 0000 SCOTT A. * CRISS, 0000 MICHAEL D. * WASCHER, 0000 MICHAEL R. * HOBSON, 0000 ROBERT P. * CUNNINGHAM, 0000 JOHN J. * WEATHERWAX, 0000 WILLIAM E. * HUBBARD JR., 0000 PAMELA E. DARBYSHIRE, 0000 SHERI A. * WEBB, 0000 ANGELA M. * HUDSON, 0000 JACQUELINE A. * DAVIS, 0000 MARLIN G. * WEICHEL, 0000 ROBERT P. * IKERD, 0000 JEFFREY M. * DAXE, 0000 CYNTHIA J. * WEIDMAN, 0000 SHELDON L. * JACKSON, 0000 KEITH A. * DEARDORFF, 0000 DEBRA I. * WILLETT, 0000 BRIDGET M. * JACKSONOAKLEY, 0000 JULIET T. * DEGUZMAN, 0000 HAZEL E. * WRIGHT, 0000 ANTHONY J. * JARECKE, 0000 MARIANN LOUISE * DOWD, 0000 PAULO D. * YARBROUGH, 0000 MIA J. * JENNINGS, 0000 PAUL M. * EFFERTZ, 0000 DONNA E. * YOUNG, 0000 ROBIN J. * JOHNSON, 0000 MARK L. * EVANS, 0000 SUSAN E. * YOUNG, 0000 JACQUELINE A. * JONES, 0000 BENJAMIN * FELICIANO, 0000 RODNEY M. * JORSTAD, 0000 JANICE P. * FITTEN, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT WAIKWONG * KAN, 0000 MICHAEL W. * FRANK, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR TAMMY C. * KARAMARINOV, 0000 JEANETTE L. * FRANTAL, 0000 FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED GLENN L. * LAIRD, 0000 RUSSEL L. * FRANTZ JR., 0000 BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS JAMES L. * LAMUNYON, 0000 LAURIE L. * FRAZIER, 0000 624 AND 531: MARK W. * LEHMAN, 0000 CHERRON R. * GALLUZZO, 0000 CHRISTINA F. * LITTLE, 0000 TRICIA ROCHELLE * GARCIA, 0000 To be major BRIAN E. * LOGUE, 0000 JON B. * GENO, 0000 STEPHEN M. * ALLEN, 0000 MICHELLE R. * LOPER, 0000 ERWIN N. * GINES, 0000 DAVID LEWIS * BUTTRICK, 0000 DANIEL J. * LOVELESS, 0000 FLORDELIZA D. GOLETA, 0000 ALAN * CHOUEST, 0000 JENNIFER J. * MASINO, 0000 COLLEEN P. * GONZALEZ, 0000 JANIS A. B. * DASHNER, 0000 SHANNON S. MCDONALD, 0000 LORRAINE S. * GRAVLEY, 0000 CALVIN D. * DIXON, 0000 TROY E. * MCGILL, 0000 CAROLYN D. * GREEN, 0000 RIVES M. * DUNCAN, 0000 ROBIN E. * MITCHELL, 0000 WILLIAM J. * GRESS, 0000 CLYDE * DYSON, 0000 JOSE L. * MONTANEZ, 0000 DALE L. * GRIFFIS, 0000 RANDALL W. * ERWIN, 0000 CURTIS W. * MORROW, 0000 ROBERT A. * GROVES, 0000 RICHARD * FITZGERALD, 0000 SANDY * MOY, 0000 TAMMY L. * HADFIELD, 0000 MICHAEL E. * GOECKER, 0000 SOHRAB M. * NEJAD, 0000 ABDOL M. * HAJIAGHAMOSENI, 0000 BRYAN S. * HOCHHALTER, 0000 HEATHER A. * NELSON, 0000 ANNIE L. * HALL, 0000 JOHN P. * KENYON, 0000 PAMELA L. * NOVY, 0000 JOSEPH P. * HALLOCK, 0000 MAX B. T. * OMANA, 0000 MICHAEL H. * OSTERHOUDT, 0000 GEORGE * HARITOS, 0000 BOYD C. * SHORT JR., 0000 ROBERT K. * OSULLIVAN, 0000 MICHELLE M. * HARMON, 0000 JOHN F. * TILLERY, 0000 DEANNA S. * PEKAREK, 0000 KENNY L. * HARRYMAN, 0000 SHELIA M. WILSON, 0000 TREVOR S. * PETROU, 0000 MARY J. * HARVEY, 0000 THEADORE L. * WILSON, 0000 STEVEN C. * PIEKARCZYK, 0000 DAVID D. * HEITZMAN, 0000 ROBERT K. * POHL JR., 0000 LORIROSE * HINDMAN, 0000 IN THE ARMY MARK A. * POMERINKE, 0000 CYNTHIA M. * HINTZ, 0000 DAVID L. * PUGH, 0000 LEIGH I. * HOLT, 0000 THE FOLLOWING NAMED ARMY NATIONAL GUARD OF MARIA L. * PUGIA, 0000 BARRY R. * HOLTE, 0000 THE UNITED STATES OFFICER FOR APPOINTMENT TO GERARDO * RAMOS, 0000 SANDRA A. * HOULIHAN, 0000 THE GRADE INDICATED IN THE RESERVE OF THE ARMY DAVID J. * REYNOLDS, 0000 BRIAN S. * HUBBARD, 0000 UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12211: MICHAEL B. * ROPER, 0000 JAMES M. * HURST, 0000 To be colonel RICHARD I. * SAYLOR, 0000 GACQUETTE R. * JENNINGS, 0000 BRADLEY J. * SCHULTE, 0000 MICHELLE L. * JOHNSON, 0000 CAROL A. CULLINAN, 0000 JERILYN M. * SCHWEAR, 0000 DEBORAH K. * JONES, 0000 STANLEY M. * SEARCY, 0000 ELIZABETH C. * KATT, 0000 THE FOLLOWING NAMED OFFICER FOR APPOINTMENT MATTHEW J. * SHIM, 0000 CATHERINE J. * KEPHART, 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY JOHN R. * SHIRLEY, 0000 KAREN A. * KIRK, 0000 MEDICAL CORPS UNDER TITLE 10, U.S.C., SECTIONS 624 JEANA L. * SKORA, 0000 CHRISTINE A. * KRESS, 0000 AND 3064: MICHAEL B. * SMITH, 0000 PAUL J. * LANGEVIN, 0000 To be major DEREK J. * SPETEN, 0000 MICHELE M. * LEADBETER, 0000 JESSICA R. * SPITLER, 0000 CARLA M. * LEESEBERG, 0000 CHRISTOPHER B. SOLTIS, 0000 BERNADETTE M. * STEELE, 0000 KATRINA L. * LISTER, 0000 JULIE M. STOREY, 0000 APOLONIO O. * LUNOD JR., 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT NISARA * SUTHUN, 0000 LIONEL M. * LYDE, 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY JAMES A. * SUTPHEN, 0000 KIMBERLY M. * MACPHERSONEVANS, 0000 UNDER TITLE 10, U.S.C., SECTION 624: PHILIP E. * TOBIN, 0000 EMMA J. * MCCLAIN, 0000 To be lieutenant colonel NHUT M. * TRAN, 0000 ROBERT D. * MCCURRY, 0000 PETER T. * TRANG, 0000 JEFFERY W. * MCKAMEY, 0000 JEFFREY A. TONG, 0000 ROBERT J. * VANECEK, 0000 ROBERT P. * METCALF, 0000 TIMOTHY M. WARD, 0000 JORGE G. * VARELA, 0000 JEFFREY S. MILLER, 0000 JOSEPH M. * VINCH JR., 0000 SHAWNA L. * MILLS, 0000 THE FOLLOWING NAMED ARMY NATIONAL GUARD OF MELODY H. * VINSON, 0000 CHERYL J. * MINCEY, 0000 THE UNITED STATES OFFICERS FOR APPOINTMENT TO THOMAS W. * WATERS, 0000 JOANN V. * MITCHELL, 0000 THE GRADE INDICATED IN THE RESERVE OF THE ARMY DAVID G. WATSON, 0000 EBONY * MOOREFIELD, 0000 UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12211: CLAUDINE C. N. * WEGA, 0000 DEBORAH S. * MORTON, 0000 To be colonel CHANTAY P. * WHITE, 0000 MELISSA L. * MOUCHETTE, 0000 LISA C. * WHITNEY, 0000 SARA O. * MYERS, 0000 JAMES M. GAUDIO, 0000 DELORIA R. * WILSON, 0000 KELLY C. * NADER, 0000 BEVERLY A. HERARD, 0000 KEITH R. * WILSON, 0000 ANN R. * NEAL, 0000 MICHELLE D. * WINE, 0000 DEBRA S. * NICHOLS, 0000 THE FOLLOWING NAMED ARMY NATIONAL GUARD OF ILAINA M. * WINGLER, 0000 KELLI A. * NIEDZWIECKI, 0000 THE UNITED STATES OFFICERS FOR APPOINTMENT TO STEPHEN P. * WOLF, 0000 CHRISTINE S. * NOVAK, 0000 THE GRADE INDICATED IN THE RESERVE OF THE ARMY GARY C. * WRIGHT, 0000 BRIAN T. * OCONNOR, 0000 UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12211: WENDY J. * WYSE, 0000 CHRISTOPHER T. * PAIGE, 0000 To be colonel TERESA G. * PARIS, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT BRIAN S. * PARKER, 0000 MICHAEL J. HARRIS, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR CONRAD A. * PATRAO, 0000 ROBERT L. LEGG, 0000 FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED JO ANN * PATTERSON, 0000 BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS DAVID L. * PERKINS, 0000 THE FOLLOWING NAMED ARMY NATIONAL GUARD OF 624 AND 531: NICHOLAS R. * PETRONE, 0000 THE UNITED STATES OFFICERS FOR APPOINTMENT TO To be major JULIE A. * PIERCE, 0000 THE GRADE INDICATED IN THE RESERVE OF THE ARMY TAMMY D. * POKORNEY, 0000 UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12211: LAUREN F. * AASE, 0000 TINA M. * PORTER, 0000 To be colonel MICHELLE D. * AASTROM, 0000 MICHAEL A. * PRICE, 0000 LORI A. * ADAMS, 0000 APRIL A. * QUILLIN, 0000 DAVID N. AYCOCK, 0000 MAURICIA P. * ALO, 0000 AMY S. * QUIRKE, 0000 DAVID E. LINDBERG, 0000

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THE FOLLOWING NAMED OFFICER FOR APPOINTMENT KATHI J. *HILL, 0000 LEONARD A. *CROMER JR., 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY CHRISTOPHER L. *HOLMAN, 0000 NOEL A. *CUFF, 0000 UNDER TITLE 10, U.S.C., SECTION 624: SUSAN G. HOPKINSON, 0000 CHRISTOPHER J. *DAVID, 0000 To be major CRYSTAL L. HOUSE, 0000 AVERY E. DAVIS, 0000 LISA M. JOHNSON, 0000 GAYLE E. *DAVIS, 0000 MICHAEL T. LAWHORN, 0000 MARJORIE A. *JOHNSON, 0000 WILLIE E. DAVIS, 0000 REBECCA L. *KIBLER, 0000 JAMES C. DEAK, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT SARAH J. KRAJNIK, 0000 FRED L. *DELACRUZ, 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY ROBERT E. KUTSCHMAN, 0000 JASON B. *DELEEUW, 0000 VETERINARY CORPS AND FOR REGULAR APPOINTMENT ERIC J. LEWIS, 0000 LEONARDO *DENARO, 0000 UNDER TITLE 10, U.S.C., SECTIONS 624, 531, AND 3064: KELLY J. *LONGENECKER, 0000 SCOT A. *DOBOSZENSKI, 0000 To be major MARK A. *MACDOUGALL, 0000 PATRICK A. DONAHUE, 0000 ELIZABETH A. *MANN, 0000 CURTIS W. *DOUGLASS, 0000 LEROY *MARKLUND, 0000 DERRON A. ALVES, 0000 CHRISTOPHER F. *DRUM, 0000 KRISTI A. MASTERSON, 0000 JENNIFER L. CHAPMAN, 0000 ERIC C. *DRYNAN, 0000 PATRICIA L. *MCCORKLE, 0000 NICOLE A. CHEVALIER, 0000 MARJORIE Y. *DUFF, 0000 LORIANN R. MCKEEVER, 0000 KARI J. CHILDS, 0000 RAQUEL D. *ERNEST, 0000 KRISTAL C. *MELVIN, 0000 CHRISTOPHER S. GAMBLE, 0000 MARLA J. *FERGUSON, 0000 JAMES T. GILES, 0000 JOHN F. *MEYER JR., 0000 LISA E. *MILLER, 0000 DONALD E. *FINE JR., 0000 MADONNA M. HIGGINS, 0000 JAMES T. *FLANAGAN JR., 0000 SHELLEY P. HONNOLD, 0000 CAROLYN R. *MITCHELL, 0000 RICHARD G. *FORNILI, 0000 KIMBERLY LAWLER, 0000 PAUL B. MITTELSTEADT, 0000 FRANCIS M. *FOTA, 0000 MICKEY G. MOPPIN, 0000 ANNE M. *MITZAK, 0000 ADRIAN GAMEZ, 0000 DOUGLAS S. OWENS, 0000 STEPHEN L. *MOTEN, 0000 PATRICK A. *GARLAND, 0000 MICHELLE R. PEACOCK, 0000 MICHAEL S. *MURPHY, 0000 TOBIAS J. *GLISTER, 0000 PATRICIA RASMUSSEN, 0000 ANN M. *NAYBACK, 0000 RONALD T. *GODING, 0000 CYLE R. RICHARD, 0000 ERIC R. *NELSON, 0000 DOUGLAS D. RILEY, 0000 MICHELLE A. NEYSMITH, 0000 FRANK T. *GORING, 0000 AMY L. SANDERS, 0000 LINDA I. NOBACH, 0000 MARK D. *GRAY, 0000 CARL I. SHAIA, 0000 BENJAMIN O. *ONWUDIACHI, 0000 ALYSON M. *HAGAN, 0000 DEIDRA J. SHUCKLEE, 0000 JANA J. ORTIZ, 0000 JORDAN V. HENDERSON, 0000 MATT S. TAKARA, 0000 VICTORIA J. *OWENS, 0000 MICHAEL S. HOGAN, 0000 ALISA R. WILMA, 0000 JOHN D. *PATTERSON, 0000 MICHAEL S. *HUGHES, 0000 PAULINE A. *PECHNIK, 0000 JENNIFER M. *HUMPHRIES, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT WENDY M. PERRY, 0000 THOMAS L. HUNDLEY, 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY DOUGLAS A. PHILLIPS, 0000 MICHAEL F. *INGRAM, 0000 MEDICAL SPECIALIST CORPS AND FOR REGULAR AP- SHARI D. *PLEASANT, 0000 ROBERT E. *JACKSON, 0000 POINTMENT UNDER TITLE 10, U.S.C., SECTIONS 624, 531, KATHARINE O. *POLLITT, 0000 CRAIG M. *JENKINS, 0000 AND 3064: MARTHIA L. *POSEY, 0000 GREGORY A. *JOHNSON, 0000 To be major ANDREW A. POWELL, 0000 THOMAS A. *JONES, 0000 EVELYN J. QUAINE, 0000 TATHETRA M. *JOSEPH, 0000 JOEL R. BACHMAN, 0000 NANCY L. RABAGO, 0000 STEPHEN R. KECK, 0000 GARRY D. BERNDT, 0000 LESA B. *RATHJEN, 0000 DENNIS L. KELLEN, 0000 KURT BROWER, 0000 KATHY *REYNOLDS, 0000 SAMUEL W. *KOONCE, 0000 KEITH A. BUTLER, 0000 BRENDA A. RICHARDS, 0000 DIRK D. *LAFLEUR, 0000 WILLIAM L. CRAWFORD, 0000 JOAN K. *RIORDAN, 0000 JAMES E. LEE, 0000 KATHY L. DAIGLE, 0000 VINA D. RIVERA, 0000 ROBERT *LENZA, 0000 DAVID L. DUNDORE, 0000 MICHAEL SALMI, 0000 PAUL J. LYONS, 0000 DAVID A. FREEL, 0000 KENNETH D. *SANDERS, 0000 LYNN E. MARM, 0000 LISA M. GIESE, 0000 THOMAS R. *SAWYER, 0000 DAVID A. *MARQUEZ, 0000 NORMAN W. GILL III, 0000 JENNIFER M. *SCHMALTZ, 0000 TERRY M. *MARTINEZ, 0000 TOMMY J. HARRISON, 0000 TOD W. SCHNETZLER, 0000 ERIC M. *MCCLUNG, 0000 ROBERT D. HAYS, 0000 MELAINA E. *SHARPE, 0000 DEBORAH R. *MCCOY, 0000 CYNTHIA A. JONES, 0000 SHIRLENE Y. SHEARS, 0000 JENNIFER J. *MCDANNALD, 0000 MICHELE R. KENNEDY, 0000 ANGELA M. *SIMMONS, 0000 DENNIS MCGURK, 0000 MARTY R. LITCHFIELD, 0000 JAMES E. SIMMONS, 0000 DEBRA J. *MCNAMARA, 0000 CLIFTON D. LOYD, 0000 W B. SIMS, 0000 JEFFREY A. *MCNEIL, 0000 MICHELLE A. MARDOCK, 0000 MICHELLE L. SNYDER, 0000 CARZELL *MIDDLETON, 0000 LEONARD S. MCNEIL, 0000 ROBERT J. STAGGS, 0000 CHERYL G. *MOORE, 0000 JAMES T. MILLS III, 0000 KIMBERLIE A. *STATLER, 0000 ROBERT C. MOORE, 0000 ROMAN B. REYES, 0000 ANGELA L. STONE, 0000 TODD J. *MOULTRIE, 0000 DENIS L. ROBERT, 0000 ASTRID D. *STURM, 0000 SCOTT A. MOWER, 0000 THOMAS M. RUEDIGER, 0000 KYLEE V. SUTHERLIN, 0000 JOHANNES H. *NAUDE, 0000 DALE J. RUSH, 0000 JOHN E. *TAYLOR, 0000 SCOTT H. *NEWKIRK, 0000 SHANE F. SPEARS, 0000 MAI T. *TRAN, 0000 ERIC J. *NEWLAND, 0000 MICHAEL E. THOMPSON, 0000 BRIAN K. TRAWICK, 0000 KIMTHOA T. *NGUYEN, 0000 JOHN VONDRUSKA, 0000 MELISSA A. WALLACE, 0000 SCOTT M. * NOWICKI, 0000 SHERRY L. WOMACK, 0000 BRETT L. *WELDEN, 0000 MATTHEW J. * OTTING, 0000 CARLA M. *WHITE, 0000 JOHN S. * PEARSON JR., 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT HEIDI I. WHITESCARVER, 0000 ERIC E. * POULSEN, 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY GRACE F. WIETING, 0000 ROBERT D. * PRINS, 0000 NURSE CORPS AND FOR REGULAR APPOINTMENT (IDEN- MORRIS E. *WILDER, 0000 ASIM A. * RAJA, 0000 TIFIED BY AN ASTERISK(*)) UNDER TITLE 10, U.S.C., SEC- CORY M. *WILLIAMS, 0000 MURRAY M. * REEFER JR., 0000 TIONS 624, 531, AND 3064: RONALD V. WILSON JR., 0000 JAMES L. REYNOLDS, 0000 PAMELA M. *WULF, 0000 To be major SCOTT W. * RIDDELL, 0000 CURTIS J. *ABERLE, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT JOHN C. * ROCKWELL, 0000 ROY *ADDINGTON, 0000 TO THE GRADE INDICATED IN THE UNITED STATES ARMY JONATHAN C. RUWE, 0000 ILSE K. *ALUMBAUGH, 0000 MEDICAL SERVICE CORPS AND FOR REGULAR APPOINT- MICHAEL * SALVITTI, 0000 CATHERINE Y. ANDERSON, 0000 MENT (IDENTIFIED BY AN ASTERISK(*)) UNDER TITLE 10, THERESA E. SAVILLE, 0000 CRISTINA R. BAGAYMETCALF, 0000 U.S.C., SECTIONS 624, 531, AND 3064: LISA W. * SCARBOROUGH, 0000 TAKAKO L. *BARRELL, 0000 To be major DAVID W. SEED, 0000 SIMONA A. *BLACK, 0000 AATIF M. * SHEIKH, 0000 BRIDGETT R. BRANDT, 0000 GINA M. *AGRON, 0000 STEPHEN C. * SHERIDAN, 0000 CHERYL L. *BROOKS, 0000 RONALD M. *ATKINSON SR., 0000 BRADLEY T. SHIELDS, 0000 KRISTIN A. *BROWN, 0000 JAMES R. *AUVIL, 0000 STEVEN E. * SHIPLEY, 0000 JACQUELINE L. *CARLIN, 0000 BARBARA J. *BACHMAN, 0000 TANYA A. SILLER, 0000 GLEN E. *CARLSSON, 0000 KEVIN R. *BASS, 0000 DAVID L. * SLONIKER, 0000 PAMELA J. CARTER, 0000 SHANNON D. *BECKETT, 0000 COREY L. SMALLS, 0000 DAVID M. CASSELLA, 0000 JOSEPH M. *BECKMAN, 0000 JOHN P. * STALEY, 0000 AMAL *CHATILA, 0000 JOHN D. *BELEW, 0000 MARK A. * STEVENS, 0000 MICHAEL B. *CLINE, 0000 SHARON L. *BENSON, 0000 GEORGE E. * STOPPLECAMP, 0000 LASHANDA C. *COBBS, 0000 ENRICO Z. BERMUDEZ, 0000 AUDRA L. TAYLOR, 0000 DEWEY R. *COLLIER II, 0000 AMY H. *BLACK, 0000 JOSEPH E. THEMANN, 0000 WAYNE E. DARSOW, 0000 LOLITA M. *BURRELL, 0000 KELLY M. * THOMSON, 0000 HARRIET D. *DAVIS, 0000 JONATHAN B. *BUTLER, 0000 CHRISTOPHER M. * TODD, 0000 JOHNNY L. *DENNIS SR., 0000 JENNIFER J. *CAMP, 0000 CHARLES L. * UNRUH, 0000 JOEL M. *EHLER, 0000 JOSE E. *CAPOAPONTE, 0000 KEVIN W. * WATTS, 0000 DARYL L. *ELDER, 0000 ROBERTO *CARDENAS, 0000 JOSEPH K. WEAVER, 0000 AMANDA R. FORRISTAL, 0000 CASEY P. *CARVER, 0000 JONATHAN R. * WEBB, 0000 MICHAEL K. *FRIZELLE, 0000 BEVERLY S. CASIANO, 0000 JOHN E. * WHITE, 0000 CYNTHIA H. *GAIA, 0000 STACEY L. *CAUSEY, 0000 JASON F. * WILD, 0000 CAROLYN B. GALES, 0000 CYNTHIA Y. CHILDRESS, 0000 RICHARD A. * WILSON, 0000 BETTY K. GARNER, 0000 WILLIAM D. *CLYDE, 0000 SETH J. * WINTROUB, 0000 RACHEL *GEORGE, 0000 ANGEL F. *COLON, 0000 SCOTT C. * WOODARD, 0000 JOHN J. *GODESA, 0000 MICHAEL S. *COULTHARD, 0000 DEREK O. * ZITKO, 0000 CLYDE L. HILL JR., 0000 JEFFERY S. *CROLEY, 0000 JEFFREY V. ZOTTOLA, 0000

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VerDate Mar 15 2010 22:08 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00078 Fmt 4624 Sfmt 9801 E:\2004SENATE\S12MR4.REC S12MR4 mmaher on DSKCGSP4G1 with SOCIALSECURITY March 12, 2004 CONGRESSIONAL RECORD — Extensions of Remarks E365 EXTENSIONS OF REMARKS

CELEBRATING 56 YEARS OF INDE- casion: the 75th wedding anniversary of CONGRATULATING EAST BRUNS- PENDENCE FOR THE DODECA- James and Velma Clements. This event will WICK HIGH SCHOOL’S WE THE NESE ISLANDS take place on March 30, 2004, but the PEOPLE TEAM Clements family is celebrating the event on HON. CAROLYN B. MALONEY March 20, 2004. HON. RUSH D. HOLT OF NEW YORK James Allen Clements was born in 1906 in OF NEW JERSEY IN THE HOUSE OF REPRESENTATIVES Oneota, Alabama. He served in the Navy dur- IN THE HOUSE OF REPRESENTATIVES ing World War II and worked at Fort McClel- Friday, March 12, 2004 Friday, March 12, 2004 lan, Alabama, as a carpenter. Velma Harris Mrs. MALONEY. Mr. Speaker, I rise today Clements was born on March 27, 1910, in Mr. HOLT. Mr. Speaker, starting on May to recognize the Federation of Dodecanese Cleburne County, Alabama, and worked at the 1st, 2004, students from across the United Societies of America and Canada, which is Linen Thread Company in Blue Mountain, Ala- States will arrive in Washington, D.C. in order celebrating 56 years of independence for the bama. Mr. and Mrs. Clements were married to participate in the national finals of We the Dodecanese Islands, which are located in the on March 30, 1929. They have three daugh- People: The Citizen and the Constitution, southeastern part of the Aegean Sea. After ters and sons-in-law, 11 grandchildren, 23 which is an extraordinary civic education pro- five centuries of foreign rule, the Hellenic peo- great grandchildren, and three great great gram developed to educate American youth ple of the islands not only survived occupa- grandchildren. about the U.S. Constitution and Bill of Rights. tion, but retained their heritage, ethnicity and James and Velma Clements joined Edge- By act of Congress, We the People is funded religion, as well. wood C.M. Church of Anniston, Alabama, on by the U.S. Department of Education, and ad- The Federation is a link between the many July 10, 1934. On March 20, 2004, a reception ministered by the Center for Civic Education. Dodecanese societies in North America and will be held there in honor of their 75th wed- It is with great pleasure that I announce that current residents of the Dodecanese Islands of ding anniversary. I salute this lovely couple on the class from East Brunswick High School Greece. More than 40,000 people of Dodeca- the 75th year of their life together and join will represent the State of New Jersey in this nesian descent live in the New York City area their family in honoring them on this special prestigious national event. These bright and and contribute significantly to our community occasion. dedicated students, through their extensive and economy. knowledge of the U.S. Constitution and superb reasoning and speaking skills, won their state- The Dodecanese Federation was formed in f New York in the 1920s and played a major wide competition and earned the chance to role in the struggle for the liberation of the Is- RULES COMMITTEE ANNOUNCE- come to our Nation’s capital and compete at lands. They joined in the celebration when, on MENT BY CHAIRMAN DAVID the national level. I congratulate them, and I February 10, 1947, the Paris Peace Treaty DREIER ON THE AMENDMENT am confident that the students of East Bruns- was signed, reuniting the Dodecanese Islands PROCESS FOR CONSIDERATION wick High School will do a fine job of showing with the Greek mainland. The text of the Trea- OF H.R. 1375—FINANCIAL SERV- the Nation the very best that New Jersey has ty states in part, ‘‘Italy hereby cedes to Greece ICES REGULATORY RELIEF ACT to offer. in full sovereignty the Dodecanese Islands in- OF 2003 Mr. Speaker, over a 3-day period, the We dicated thereafter, namely Stampalia, Rhodes, the People national Final Competition will test Calki, Scarpanto, Casos, Piscopis, Misiros, the abilities of the students in hearings, which Calimnos, Leros, Patmos, Lipsos, Simi, Cos, HON. DAVID DREIER are modeled after those actually held in the and Castelorizo, as well as the adjacent is- OF CALIFORNIA U.S. Congress. Through the We the People lets.’’ Greece ratified the Paris Treaty on Octo- IN THE HOUSE OF REPRESENTATIVES program, students are given an opportunity to ber 22, 1947; formal reunification occurred on demonstrate their knowledge before a panel of March 7, 1948. Friday, March 12, 2004 constitutional scholars, judges, lawyers, and Today, the Federation is devoted to sup- Mr. DREIER. Mr. Speaker, I ask unanimous journalists, while they evaluate, and defend porting Hellenic-American relations and culture consent to address the House for 1 minute for positions on relevant historical and contem- with a broad range of programs. Additionally, the purpose of making an announcement. porary issues. Testimony will be followed by many of the Federation’s member organiza- questions designed to examine the students’ The Rules Committee may meet the week tions have educational, cultural, and festival knowledge and implementation of constitu- of March 15 to grant a rule which could limit activities that promote and enrich the Hellenic tional concepts, as well as their ability to apply the amendment process for floor consideration community in the United States. that knowledge. This is an opportunity of a of H.R. 1375, the Financial Services Regu- Mr. Speaker, as the founder and co-chair- lifetime for these students to receive proper latory Relief Act of 2003. The Committee on person of the Congressional Caucus on Hel- recognition for their hard work. Financial Services filed its report with the lenic Issues, I ask that my distinguished col- We the People has been shown to be a House on June 12, 2003, and the Committee leagues join me in paying tribute to the heroes very effective measure in combating the im- on the Judiciary filed its report with the House of the long struggle for Dodecanesian inde- portant problems of apathy and cynicism in on July 14, 2003. pendence. The Federation of Dodecanese So- our Nation’s youth. I can think of no better cieties of America and Canada deserve our Any Member wishing to offer an amendment way of stimulating interest in government than continuing respect, admiration and support. should submit 55 copies of the amendment total immersion in it. Nowhere else can these Zeto E Eleftheria! (Long Live Freedom!) and one copy of a brief explanation of the students learn more about their government amendment to the Rules Committee in room f than here in our Nation’s capital. Many inde- H–312 of the Capitol by 10 a.m. on Wednes- pendent evaluations have validated the effec- IN RECOGNITION OF JAMES AND day, March 17. Members should draft their tiveness of the program’s ability to impress a VELMA CLEMENTS amendments to the text of the bill as reported positive attitude upon students about civic on July 14, 2003. matters. HON. MIKE ROGERS Members should use the Office of Legisla- I ask my colleagues to join me in sending OF ALABAMA tive Counsel to ensure that their amendments best wishes to all the participants at the We IN THE HOUSE OF REPRESENTATIVES are drafted in the most appropriate format. the People national finals, as well as in all Members are also advised to check with the their future endeavors, and applaud their Friday, March 12, 2004 Office of the Parliamentarian to be certain achievement. Programs like We the People Mr. ROGERS of Alabama. Mr. Speaker, I their amendments comply with the rules of the keep the thirst for knowledge alive in our rise today to pay tribute to a very special oc- House. youth. Our democracy is only as effective as

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

VerDate jul 14 2003 00:29 Mar 13, 2004 Jkt 029060 PO 00000 Frm 00001 Fmt 0626 Sfmt 9920 E:\CR\FM\A12MR8.001 E12PT1 E366 CONGRESSIONAL RECORD — Extensions of Remarks March 12, 2004 those who choose to take part in it, and We phone companies, with its headquarters in distinguished leader, Dr. Alan Friedman. On the People will ensure that generations to Paris. Some of Eutelsat’s government owners March 18, 2004, the Hall will celebrate Dr. come will make that choice. Our Nation should have been some of our closest allies for dec- Friedman’s twenty years of outstanding serv- be proud that they are dedicated to learning ades, yet when it came to Iraq, we parted ice to the New York community. Dr. Friedman ways. It seems to me that it is not prudent pol- and advocating the fundamental ideals and is largely responsible for the development of principles that define us as Americans and icy to allow our lines of communications to be the New York Hall of Science as a destination bind us together as a Nation. controlled by even our closest friends, be- for visitors and a world class center for the f cause even the closest friends may, at times, have differing opinions and interests. Further- training of science teachers. PROTECTING AMERICA’S more, the satellite market is in tough shape Dr. Friedman turned—quite literally—an NATIONAL SECURITY right now. I find it difficult to understand why empty shell of a building into one of the we support a corporation that is controlled by world’s most enjoyable centers for science a foreign government to the detriment of U.S. HON. W.J. (BILLY) TAUZIN education. Under Dr. Friedman’s leadership, OF LOUISIANA providers. For several years, I have expressed serious the Hall has received national recognition for IN THE HOUSE OF REPRESENTATIVES reservations about the Federal Communica- its efforts to encourage new technologies, to Friday, March 12, 2004 tions Commission’s enforcement of foreign evaluate the effectiveness of informal science Mr. TAUZIN. Mr. Speaker, today, I introduce government ownership restrictions under Sec- teaching and to develop new strategies for legislation to protect America’s national secu- tion 310 of the Communications Act. I repeat- training science teachers. This fall, the Hall of rity. My bill prohibits foreign governments from edly pointed out that companies controlled by Science will open an expansion of its facilities, controlling or owning U.S. communications foreign governments are too often controlled which will double its exhibition space and by considerations other than those of the com- networks. This is not a new concept. It has allow for increased enrollment in its edu- petitive marketplace. Notwithstanding my con- been the law for more than fifty years, but the cational programs. Federal Communications Commission has cerns, the Commission has repeatedly ap- failed to enforce it in recent years. proved foreign government acquisitions of Dr. Friedman’s efforts to make science edu- Let me be clear from the onset—this bill U.S. licenses. cation fun and interactive have been highly in- In view of the clear differences between the places ownership and control restrictions on fluential in the academic community, and have Congress and members of the Commission enriched the lives of a great many young peo- foreign governments, not on companies, which about the meaning and application of Section ple. At a time when many feel that America’s simply happen to be foreign. This distinction is 310, I requested that the Commission conduct important, and we must recognize the realities a ‘‘vigorous review’’ of the proposed acquisi- commitment to science education has faltered, of the world we live in. Foreign government in- tion of GE Americom by SES-Astra. In the Dr. Friedman has been a pioneer in furthering terests are not always our own, just as our in- end, the acquisition was treated as such a our children’s understanding of both the his- terests will, at times, vary from theirs. If we do routine matter that it was approved at the staff tory of science and recent breakthroughs in not protect our interests, no one else will ei- level. We have laws on our books which re- scientific research. ther—which leaves a massive security vulner- strict such acquisitions, yet a merger involving Indeed, the New York Times editorial page ability when it comes to communications. a foreign government is more easily approved, celebrated Dr. Friedman’s contributions, say- For example, most people are not aware and with fewer conditions, than most U.S. that nearly half of the U.S. video distribution mergers. After approving the application, the ing: runs over a satellite network controlled by a Commission staff subsequently ‘‘found’’ SES- New Yorkers of a certain age will recall the foreign government, Luxembourg. That same Astra had not divulged the full extent of for- Museum of Science and Industry in the Daily government opposed the U.S. led coalition in eign control in the company. Even then, the News Building and later in Rockefeller Center. Iraq and was one of the few nations which Commission still allowed the staff approval to It folded. Boomers will recall the New York wanted to throw NATO out of Europe. So I stand. Hall of Science at the 1964 World’s Fair. That ask, is it really a good idea to put those sat- Accordingly, I am introducing this legislation one was shuttered in 1979. Its building lan- ellite links under foreign government control, to make clear, in no uncertain terms, that for- especially when those very links are used to eign governments, directly or indirectly, are guished until 1984, when the city hired the distribute our nation’s news? Whether it is the specifically prohibited from owning or control- physicist Alan Friedman and pumped in funds recent blackout or 9–11, we all know the panic ling U.S. communications networks. This legis- to bring it back to life. That he has done, with created when we are cut off—no information lation does not break new ground. It simply innovative educational programs and strong coming in, and no information going out. We preserves and clarifies current law, stating that links both to city schoolchildren and their are an information-based society, and when we will never place our lines of communica- teachers. tions in a position where they can be com- access to information is compromised, our se- Dr. Friedman is the recipient of the Amer- promised by foreign governments. curity is compromised. ican Association for the Advancement of Another concern is the vast amount of U.S. I urge my colleagues to support this meas- Science’s AAAS Award for Public Under- military communications in the Gulf region, ure. which rely upon satellite networks controlled f standing of Science and Technology. He is a by foreign government. The Wall Street Jour- Fellow of the AAAS, the New York Academy IN RECOGNITION OF DR. ALAN J. of Sciences and the Association of Science- nal reported on September 9, 2003, that FRIEDMAN’S TWENTY YEARS OF Technology Centers. Eutelsat, and I quote, ‘‘snared much of the SERVICE TO THE NEW YORK extra business to help U.S. forces conduct HALL OF SCIENCE Alan Friedman truly exemplifies the tradition surveillance and battlefield operations in Iraq.’’ of civic involvement that makes America the The article went on to say ‘‘Some company of- greatest nation in the world. Dr. Friedman and ficials say the deal is a big reason Eutelsat’s HON. CAROLYN B. MALONEY OF NEW YORK the New York Hall of Science deserve our re- financial results have been stronger than IN THE HOUSE OF REPRESENTATIVES spect, admiration and support. those of its competitors, accounting for nearly 10 percent of total revenues.’’ Friday, March 12, 2004 Mr. Speaker, I request that my colleagues For those not familiar with Eutelsat, it is a Mrs. MALONEY. Mr. Speaker, I rise to join me in paying tribute to this wonderful or- conglomeration of multiple government-owned honor the New York Hall of Science and its ganization and its director, Dr. Alan Friedman.

VerDate jul 14 2003 00:29 Mar 13, 2004 Jkt 029060 PO 00000 Frm 00002 Fmt 0626 Sfmt 9920 E:\CR\FM\K12MR8.003 E12PT1 Friday, March 12, 2004 Daily Digest Senate cated at 250 West Cherry Street in Carbondale, Illi- Chamber Action nois the ‘‘Senator Paul Simon Federal Building’’. Routine Proceedings, pages S2755–S2832 Page S2823 Measures Introduced: Eleven bills and two resolu- Ronald Reagan Federal Building: Senate passed tions were introduced, as follows: S. 2207–2217, and S. 2043, to designate a Federal building in Harris- S. Res. 320–321. Pages S2777–78 burg, Pennsylvania, as the ‘‘Ronald Reagan Federal Measures Passed: Building’’. Page S2823 Presidential Authorization: Committee on For- Honoring Cumberland County’s 250th Anniver- eign Relations was discharged from further consider- sary: Committee on the Judiciary was discharged ation of H.R. 254, to authorize the President of the from further consideration of S. Res. 307, honoring United States to agree to certain amendments to the the county of Cumberland, North Carolina, its mu- nicipalities and community partners as they celebrate Agreement between the Government of the United the 250th year of the existence of Cumberland States of America and the Government of the United County, and the resolution was then agreed to, after Mexican States concerning the establishment of a agreeing to the following amendment proposed Border Environment Cooperation Commission and a thereto: Pages S2823–24 North American Development Bank, and the bill Frist (for Edwards) Amendment No. 2857, in the was then passed, after agreeing to the following nature of a substitute. Page S2823 amendment proposed thereto: Pages S2755–56 Frist (for Hutchison) Amendment No. 2856, in Energy Efficient Housing Technical Correction Act: Committee on Banking, Housing and Urban the nature of a substitute. Page S2756 Affairs was discharged from further consideration of Small Business Program Extensions: Senate H.R. 3724, to amend section 220 of the National passed H.R. 3915, to provide for an additional tem- Housing Act to make a technical correction to re- porary extension of programs under the Small Busi- store allowable increases in the maximum mortgage ness Act and the Small Business Investment Act of limits for FHA-insured mortgages for multifamily 1958 through April 2, 2004, clearing the measure housing projects to cover increased costs of installing for the President. Pages S2756–57 a solar energy system or residential energy conserva- National Patient Safety Awareness Week: Sen- tion measures, and the bill was then passed, clearing ate agreed to S. Res. 320, designating the week of the measure for the President. Page S2824 March 7 through March 13, 2004, as ‘‘National Pa- Unborn Victims of Violence Act—Agreement: A tient Safety Awareness Week’’. Page S2757 unanimous-consent-time agreement was reached pro- National Safe Place Week: Committee on the Ju- viding that at a time to be determined by the Ma- diciary was discharged from further consideration of jority Leader, in consultation with the Democratic S. Res. 309, designating the week beginning March Leader, Senate proceed to consideration of H.R. 14, 2004, as ‘‘National Safe Place Week’’, and the 1997, to amend title 18, United States Code, and the Uniform Code of Military Justice to protect un- resolution was then agreed to. Pages S2757–58 born children from assault and murder, with certain Wilkie D. Ferguson, Jr. United States Court- amendments to be proposed thereto. Page S2821 house: Senate passed S. 1904, to designate the Authority for Committees—Agreement: A unani- United States courthouse located at 400 North mous-consent agreement was reached providing that Miami Avenue in Miami, Florida, as the ‘‘Wilkie D. notwithstanding the adjournment of the Senate, all Ferguson, Jr. United States Courthouse’’. committees were authorized to file legislative and Pages S2822–23 executive reports during the adjournment of the Sen- Senator Paul Simon Federal Building: Senate ate on Thursday, March 18, 2004, from 10 a.m. passed S. 2022, to designate the Federal building lo- until 12 noon. Page S2821 D231

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Medical Devices Technical Corrections Act: Sen- Commissioned Teaching Staff of the Coast Guard ate concurred in the amendment of the House to S. Academy in the grade indicated under title 14, 1881, to amend the Federal Food, Drug, and Cos- U.S.C., section 188: metic Act to make technical corrections relating to Routine lists in the Air Force, Army, Coast the amendments by the Medical Device User Fee Guard, Navy. Pages S2828–31 and Modernization Act of 2002, clearing the meas- Nominations Withdrawn: Senate received notifica- ure for the President. Pages S2821–22 tion of withdrawal of the following nominations: Removal of Injunction of Secrecy: The injunction A routine list in the Coast Guard. Page S2832 of secrecy was removed from the following treaties: Messages From the House: Page S2776 Investment Protocol with Estonia (Treaty Doc. 108–17); Measures Read First Time: Page S2776 Additional Investment Protocol with the Czech Executive Communications: Pages S2776–77 Republic (Treaty Doc. 108–18); Additional Cosponsors: Page S2778 Additional Investment Protocol with the Slovak Republic (Treaty Doc. 108–19); Statements on Introduced Bills/Resolutions: Additional Investment Protocol with Latvia (Trea- Pages S2778–S2802 ty Doc. 108–20); Additional Statements: Pages S2774–76 Additional Investment Protocol with Lithuania (Treaty Doc. 108–21); and Amendments Submitted: Pages S2802–21 Additional Protocol Concerning Business and Eco- Adjournment: Senate convened at 10 a.m., and ad- nomic Relations with Poland (Treaty Doc. 108–22). journed at 2:18 p.m., until 12 noon, on Monday, The treaties were transmitted to the Senate today, March 22, 2004. (For Senate’s program, see the re- considered as having been read for the first time, and marks of the Majority Leader in today’s Record on referred, with accompanying papers, to the Com- page S2827.) mittee on Foreign Relations and ordered to be print- ed. Pages S2825–27 Nominations Received: Senate received the fol- Committee Meetings lowing nominations: (Committees not listed did not meet) William H. Pryor, of Alabama, to be United States Circuit Judge for the Eleventh Circuit. Mary J. Schoelen, of the District of Columbia, to NOMINATIONS be a Judge of the United States Court of Appeals for Committee on Banking, Housing, and Urban Affairs: On Veterans Claims for the term of fifteen years. Thursday, March 11, Committee ordered favorably Jack Dyer Crouch IIse II, of Missouri, to be Am- reported the nominations of Linda Mysliwy Conlin, bassador to Romania. of New Jersey, to be a Member of the Board of Di- Joseph E. Brennan, of Maine, to be a Federal Mar- rectors of the Export-Import Bank of the United itime Commissioner for the term expiring June 30, States, and Rhonda Keenum, of Mississippi, to be 2008. (Reappointment) Assistant Secretary of Commerce and Director Gen- The following named officer of the United States eral of the United States and Foreign Commercial Coast Guard to be a member of the Permanent Services. h House of Representatives Speaker Pro Tempore for today and as Speaker Pro Chamber Action Tempore to sign enrolled bills and joint resolutions Measures Introduced: 4 public bills, H.R. through March 15. Page H1073 3966–3969, were introduced. Page H1074 Senate Message: Message from the Senate today ap- Additional Cosponsors: Pages H1074–75 pears on page H1073. Reports Filed: No reports were filed today. Quorum Calls—Votes: There were no votes or Speaker: Read a letter from the Speaker wherein he quorum calls. appointed Representative Thornberry to act as

VerDate jul 14 2003 03:39 Mar 13, 2004 Jkt 029060 PO 00000 Frm 00002 Fmt 0627 Sfmt 0627 E:\CR\FM\D12MR4.REC D12MR4 March 12, 2004 CONGRESSIONAL RECORD — DAILY DIGEST D233 Adjournment: The House met at 12 noon and ad- March 18, Subcommittee on Commerce, Justice, State, journed at 12:04 p.m. Judiciary and Related Agencies, on Patent and Trademark Office, 10 a.m., and on State and Local Law Enforcement Assistance, 2 p.m., H–309 Capitol. Committee Meetings March 18, Subcommittee on Foreign Operations, Ex- No committee meetings were held. port Financing and Related Programs, on International f HIV/AIDS Assistance Request, 2359 Rayburn. March 18, Subcommittee on Homeland Security, on CONGRESSIONAL PROGRAM AHEAD Office of Domestic Preparedness, 10 a.m., 2358 Rayburn. Week of March 15 through March 20, 2004 March 18, Subcommittee on Interior, on Oversight: Presidio Trust, 10 a.m., B–308 Rayburn. Senate Chamber March 18, Subcommittee on Labor, Health and Human Services, Education and Related Agencies, on Department The Senate is not in session. of Education, 10 a.m., 2358 Rayburn. Senate Committees March 18, Subcommittee on Military Construction, on Air Force Budget Request, 9:30 a.m., B–300 Rayburn. No meetings/hearings scheduled. Committee on Armed Services, March 17, hearing on Com- House Chamber bating the Proliferation of Weapons of Mass Destruction, 10 a.m., 2118 Rayburn. Progam to be announced. March 17, Subcommittee on Projection Forces, hearing House Committees on the Fiscal Year 2005 National Defense Authorization budget request—the U.S. Transportation Command’s Committee on Appropriations, March 16, Subcommittee (USTRANSCOM) Airlift and Sealift Programs, 4 p.m., on Labor, Health and Human Services, Education and Re- 2212 Rayburn. lated Agencies, on School Leadership, 10:15 a.m., 2358 March 17, Subcommittee on Tactical Air and Land Rayburn. Forces, hearing on the Fiscal Year 2005 National Defense March 17, Subcommittee on Agriculture, Rural Devel- Authorization budget request—Department of Defense opment, Food and Drug Administration and Related Unmanned Combat Air Vehicle (UCAV) and Unmanned Agencies, on Farm and Foreign Agricultural Services, Aerial Vehicle (UAV) Programs, 2 p.m., 2118 Rayburn. 9:30 a.m., 2362 Rayburn. March 18, full Committee, hearing on H.R. 1741, to March 17, Subcommittee on Commerce, Justice, State, redesignate the position of the Secretary of the Navy as Judiciary and Related Agencies, on Supreme Court, 10 the Secretary of the Navy and the Marine Corps, 8 a.m., a.m., H–309 Capitol, and on FBI, 1 p.m., 2359 Rayburn. March 17, Subcommittee on Defense, on Navy/Marine 2118 Rayburn. Corps Budget Overview, 10 a.m., 2212 Rayburn, and ex- March 18, Subcommittee on Readiness and the Sub- ecutive, on Navy/Marine Corps Acquisition, 1:30 p.m., committee on Terrorism, Unconventional Threats and Ca- H–140 Capitol. pabilities, joint hearing on the Fiscal Year 2005 National March 17, Subcommittee on Energy and Water Devel- Defense Authorization budget request—Training Trans- opment, on Science, Nuclear Energy and Renewable En- formation—Examination of the Joint National Training ergy, 10 a.m., 2362B Rayburn. Capability, 1 p.m., 2118 Rayburn. March 17, Subcommittee on Homeland Security, on March 18, Subcommittee on Strategic Forces, hearing Bureau of Immigration and Customs Enforcement, 10 on the Department of Energy’s Atomic Energy Defense a.m., 2358 Rayburn. Activities Budget, 10 a.m., 2216 Rayburn. March 17, Subcommittee on Interior, on U.S. Geologi- March 18, Subcommittee on Total Force, hearing on cal Survey, 10 a.m., B–308 Rayburn. the Fiscal Year 2005 National Defense Authorization March 17, Subcommittee on Labor, Health and Human Budget Request on Defense Health Programs—Current Services, Education and Related Agencies, on Older and Future Issues, 9 a.m., 2212 Rayburn. American Programs Panel, 10:15 a.m., and on Secretary Committee on Education and the Workforce, March 17, of Education, 2 p.m., 2358 Rayburn. hearing entitled ‘‘Fiscal Responsibility and Federal Con- March 17, Subcommittee on Transportation, Treasury, solidation Loans: Examining Cost Implications for Tax- and Independent Agencies, on FAA, 2 p.m., 2358 Ray- payers, Students, and Borrowers,’’ 10:30 a.m., 2175 Ray- burn. burn. March 17, Subcommittee on VA, HUD and Inde- March 18, Subcommittee on Employer-Employee Rela- pendent Agencies, on U.S. Court of Appeals for Veterans tions, hearing entitled ‘‘Reforming and Strengthening Claims, 10 a.m., and on Community Development Finan- Defined Benefit Plans: Examining the Health of the Mul- cial Institutions, 11 a.m., and on U.S. Interagency Coun- tiemployer Pension System,’’ 10:30 a.m., 2175 Rayburn. cil on Homelessness, 1 p.m., H–143 Capitol. Committee on Energy and Commerce, March 18, Sub- March 18, Subcommittee on Agriculture, Rural Devel- committee on Commerce, Trade and Consumer Protec- opment, Food and Drug Agency and Related Agencies, tion, hearing entitled ‘‘Reauthorization of the National on Food Safety and Inspection Service, 9:30 a.m., 2362A Highway Traffic Safety Administration,’’ 10 a.m., 2322 Rayburn. Rayburn.

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March 18, Subcommittee on Health, hearing entitled Down Payment on Homeland Security, 10 a.m., 2141 ‘‘Inter-governmental Transfers: Violations of the Federal- Rayburn. State Medicaid Partnership or Legitimate State Budget Committee on Resources, March 17, Subcommittee on Na- Tool?’’ 9:30 a.m., 2123 Rayburn. tional Parks, Recreation and Public Lands, hearing to ex- Committee on Financial Services, March 17, to consider amine how the Department of Interior’s new Appraisal the following measures: H.R. 27, Small Public Housing Officer is functioning and how land exchanges are being Authority Act; H.R. 1914, Jamestown 400th Anniversary evaluated, 10 a.m., 1334 Longworth. Commemorative Coin Act of 2003; H.R. 2131, to award March 18, Subcommittee on Fisheries Conservation, a congressional gold medal to President Jose Maria Aznar Wildlife and Oceans, hearing on H.R. 3883, to reauthor- of Spain; H.R. 2768, John Marshall Commemorative ize the Atlantic Striped Bass Conservation Act, 2 p.m., Coin Act; and H.R. 3277, Marine Corps 230th Anniver- 1334 Longworth. sary Commemorative Coin Act, 10 a.m., 2128 Rayburn. March 18, Subcommittee on Forests and Forest Health, March 18, Subcommittee on Housing and Community hearing on H.R. 3846, Tribal Forest Protection Act of Opportunity, hearing entitled ‘‘Successful Homeowner- 2004, 10 a.m., 1334 Longworth. ship and Renting through Housing Counseling,’’ 10 a.m., March 18, Subcommittee on Water and Power, hearing 1310 Longworth. on H.R. 3747, Wallowa Lake Dam Rehabilitation and March 18, Subcommittee on Oversight and Investiga- Water Management Act of 2004, 10 a.m., 1324 Long- tions, hearing entitled ‘‘The Hunt for Saddam’s Money: worth. U.S. and Foreign Efforts to Recover Iraq’s Stolen Money,’’ Committee on Rules, March 16, to consider H. Res. 557, 10 a.m., 2128 Rayburn. relating to the liberation of the Iraqi people and the val- Committee on Government Reform, March 16, Sub- iant service of the United States Armed Forces and Coali- committee on National Security, Emerging Threats and tion forces, 5:30 p.m., H–313 Capitol. International Relations, hearing on Homeland Security Committee on Science, March 17, hearing on the Green Advisory System: Threat Codes and Public Responses, 10 Chemistry Research and Development Act of 2004, 10 a.m., 2154 Rayburn. a.m., 2318 Rayburn. March 16, Subcommittee on Technology, Information March 18, hearing on The Presidential Awardees for Policy, Intergovernmental Relations and the Census, over- Excellence in Math and Science Teaching: A Lesson Plan sight hearing entitled ‘‘Information Security in the Fed- for Success, 10 a.m., 2318 Rayburn. eral Government: One Year Into the Federal Information March 18, Subcommittee on Space and Aeronautics, Security Management Act,’’ 1 p.m., 2247 Rayburn. hearing on NASA-Department of Defense Cooperation in March 17, Subcommittee on Civil Service and Agency Organization, to consider the following bills: H.R. 3737, Space Transportation, 1 p.m., 2318 Rayburn. Administrative Law Judges Pay Reform Act of 2004; and Committee on Small Business, March 18, Subcommittee H.R. 3751, to require that the Office of Personnel Man- on Workforce, Empowerment and Government Programs, agement study and present options under which dental hearing entitled ‘‘The Benefits of Health Savings Ac- and vision benefits could be made available to Federal counts,’’ 10:30 a.m., 311 Cannon. employees and retirees and other appropriate classes of in- Committee on Transportation and Infrastructure, March 17, dividuals, 2 p.m., 2203 Rayburn. Subcommittee on Aviation, oversight hearing on the Sta- March 17, Subcommittee on National Security, Emerg- tus of the Computer-Assisted Passenger Prescreening Sys- ing Threats and International Relations, hearing on U.S. tem (CAPPS II), 10 a.m., 2167 Rayburn. Preparation for the World Radio Conferences: Too little, March 18, Subcommittee on Economic Development, too late? 10 a.m., 2154 Rayburn. Public Buildings and Emergency Management, hearing March 18, full Committee, hearing on A Prescription on the Fiscal Year 2005 Budget Request for the Depart- for Safety: The need for H.R. 3880, Internet Pharmacy ment of Homeland Security’s Emergency Preparedness Consumer Protection Act, 10 a.m., 2154 Rayburn. and Response Directorate, the Office of Domestic Pre- Committee on International Relations, March 17, Sub- paredness, and First Responder Funding, 1 p.m., 2167 committee on Asia and the Pacific, hearing on the United Rayburn. States and Asia: Continuity, Instability, and Transition, Committee on Veterans’ Affairs, March 17, Subcommittee 10:30 a.m., 2172 Rayburn. on Oversight and Investigations, to continue hearings to March 17, Subcommittee on Europe, hearing on the examine the Department of Veterans Affairs Information Current Situation in Serbia, 1:30 p.m., 2200 Rayburn. Technology program, 10 a.m., 334 Cannon. March 18, full Committee, hearing on U.S.-Russia Re- Committee on Ways and Means, March 18, Subcommittee lations in Putin’s Second Term, 10:30 a.m., 2172 Ray- on Health, hearing on Health Quality Initiatives, 10 burn. a.m., 1100 Longworth. Committee on the Judiciary, March 16, Subcommittee on March 18, Subcommittee on Social Security, hearing on Crime, Terrorism, and Homeland Security, hearing on the SSA’s Management of the Ticket to Work Program, H.R. 3866, Anabolic Steroids Control Act of 2004, 2 10 a.m., B–318 Rayburn. p.m., 2141 Rayburn. Permanent Select Committee on Intelligence, March 16, exec- March 18, Subcommittee on Immigration, Border Se- utive, hearing on Consolidated Cryptologic Budget, 2 curity and Claims, oversight hearing on US VISIT: A p.m., H–405 Capitol.

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March 17, executive, business meeting, 1:30 p.m., and, entitled ‘‘The Department of Homeland Security’s Border executive, to hold a hearing on National Geo-spatial and Transportation Security (BTS) Budget Proposal,’’ Agency Program Budget, 2 p.m., H–405 Capitol. 10:30 a.m., room to be announced. Select Committee on Homeland Security, March 17, Sub- committee on Infrastructure and Border Security, hearing

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Next Meeting of the SENATE Next Meeting of the HOUSE OF REPRESENTATIVES 12 noon, Monday, March 22 12:30 p.m., Tuesday, March 16

Senate Chamber House Chamber Program for Monday: After the transaction of any Program for Tuesday: To be announced. morning business (not to extend beyond 2 p.m.), Senate will resume consideration of S. 1637, Jumpstart Our Business Strength (JOBS) Act.

Extensions of Remarks, as inserted in this issue

HOUSE

Dreier, David, Calif., E365 Holt, Rush D., N.J., E365 Maloney, Carolyn B., N.Y., E365, E366 Rogers, Mike, Ala., E365 Tauzin, W.J. (Billy), La., E366

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