Congressional Record United States Th of America PROCEEDINGS and DEBATES of the 108 CONGRESS, SECOND SESSION

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, WEDNESDAY, FEBRUARY 11, 2004 No. 17 Senate The Senate met at 9:30 a.m. and was morning business for up to 1 hour, with 5.6 percent. That is the fastest 7-month called to order by the President pro the first 30 minutes under the control decline in over a decade. In fact, unem- tempore (Mr. STEVENS). of the minority leader or his designee ployment is now lower than it was, on and the second 30 minutes under the average, during the 1970s, during the PRAYER control of the majority leader or his 1980s, or the 1990s. It is still too high The Chaplain, Dr. Barry C. Black, of- designee. and we will continue to work aggres- fered the following prayer: Following morning business, the Sen- sively to lower that unemployment Let us pray. ate will resume consideration of S. rate. However, with the fastest 7- Almighty God, who with Your grace 1072, the highway bill. It is my expecta- month decline in a decade, the trends can use misfortune or prosperity to tion that following the final remarks of are moving in the right direction. bless us, thank You for Your loving several Senators, Chairman INHOFE will The Council of Economic Advisers purposes that crown our years with move to table the Warner amendment has other good news. On Monday, the goodness. on seatbelts. Therefore, Senators Council released the latest economic Thank You, also, for disasters avert- should expect the first vote to occur report of the President. They antici- ed and advancements made. prior to noon today. pate the economy will create millions Help us to see, with faith’s eyes, each of new payroll jobs by the end of the blessing that comes disguised as adver- As a reminder, two cloture motions were filed yesterday in relation to the year. They also emphasize that Amer- sity and every temptation that hides ica is on a path to higher sustained beneath the mask of prosperity. highway bill. Those cloture votes are scheduled to occur tomorrow. I also re- output for years to come. Let Your love reach others through A survey released in January by the mind all Senators that under cloture us, as we seek to be Your ambassadors U.S. Institute for Supply Management rules, all first-degree amendments in a hurting world. found, for December, new orders must be filed by 1 p.m. today. Bless our Senators. May they grow to booked by industry increased at their fear, honor, love and serve You in all If cloture is invoked on the sub- best rate in 50 years. The bottom line ways. Be their protector and teach stitute to the highway bill on Thurs- is the economy is growing, America is them Your paths. May their plans pros- day, we will remain on that until dis- moving in the right direction. Contrary per as they stay within the circle of posed of. Members may have germane to its critics, President Bush’s tax cuts Your will. and timely filed amendments consid- are working. Help each of us to choose between ered but the Senate will act on this By passing the tax cuts, we were able faith and fear, courage and cynicism, measure this week. Members may use to reduce the unemployment rate by integrity and dishonesty, that we some postcloture debate. However, we nearly 1 extra percentage point. We would choose the better way. will remain and complete action on have increased the number of jobs We pray this in Your loving Name. this measure before the weekend. available by as much as 2 million. And Amen. f we have increased real GDP by as much f ECONOMIC GOOD NEWS as 3 percent. But there is still much to PLEDGE OF ALLEGIANCE be done. Mr. FRIST. Mr. President, I will take As we consider these positive num- The PRESIDENT pro tempore led the a moment to comment on the eco- bers, we must also work to enact poli- Pledge of Allegiance, as follows: nomic good news that does continue to cies that help every American who I pledge allegiance to the Flag of the roll in. After weeks of positive indica- needs a job to find a job. We must use United States of America, and to the Repub- tors, the latest economic reports show the tools at our disposal to create the lic for which it stands, one nation under God, that the economy is steadily expand- indivisible, with liberty and justice for all. conditions which lead to job growth. ing. Specifically, new jobs are coming That is one reason passing this high- f online and unemployment continues to way bill is so crucial. RECOGNITION OF THE MAJORITY fall. According to the latest payroll Every $1 billion we invest in trans- LEADER survey, 112,000 new jobs were created in portation infrastructure generates The PRESIDENT pro tempore. The January, the largest monthly increase more than $2 billion in economic activ- majority leader is recognized. since December of the year 2000. Fully ity. It also creates an additional 47,500 f 366,000 new jobs were added over the new jobs. Our roads, our ports, and our last 5 months. railroads are vital to America’s eco- SCHEDULE The national unemployment rate nomic success. Indeed, it is estimated Mr. FRIST. Mr. President, this morn- continues to decline. In general, the that the highway bill will add a whop- ing the Senate will conduct a period of unemployment rate reached a level of ping 2 million jobs to the economy.

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

S957

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00001 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S958 CONGRESSIONAL RECORD — SENATE February 11, 2004 That is 2 million reasons to pass this tion in Bellevue, WA. She was one of Bush administration tells us that ex- bill this week. about 20 software testers at porting American jobs is actually good Today and Thursday, Federal Re- Watchmark. for the economy. serve Chairman Alan Greenspan is One Friday last April, Myra came to Shipping good jobs overseas may scheduled to deliver his monetary re- work. She and other software testers boost the quarterly earnings of some port to the Congress. Chairman Green- were called into a meeting. They were companies. It may make some CEOs span has expressed confidence that the told that they were being replaced by look smart and make some quick profit economy will continue to grow and to workers in India, that their jobs would for some investors. But how can it be grow more jobs. While he does his im- be gone as they finished training their good for the economy to export Amer- portant work at the Fed, we must con- replacements, and that if they refused ica’s best jobs? How can it be good for tinue to do our work in this Chamber to train the new workers they would be the economy to offshore the jobs that to bolster the economy and help create ineligible for severance pay, unemploy- support middle-class families and sus- jobs. Lowering health costs, reducing ment insurance, or health insurance tain strong communities? How can ex- the downward drag of frivolous law- through COBRA. porting jobs create opportunities for suits, ensuring affordable energy, cut- Then they were told that the new Americans? ting redtape, and opening new markets, workers were flying in over the week- It is not just the jobs that get all of these progrowth policies will help end and would be there on Monday. outsourced. When American companies keep America moving forward. Most of her coworkers just had to train ship jobs offshore, they also send tax I yield the floor. one new person. Because Myra returns, medical records, credit card f Bronstein was working on the highest numbers, financial statements, and all priority projects, she actually had to kinds of other sensitive and confiden- RECOGNITION OF THE MINORITY train two replacements. The whole tial consumer information. LEADER while she was trying frantically to fig- America has lost 2.6 million jobs on The PRESIDENT pro tempore. The ure out where she was going to find a this administration’s watch. That is Democratic leader is recognized. new job in the midst of the ‘‘dot-com’’ more jobs than the last 11 administra- f bust and a jobless recovery. tions put together. Nine million Ameri- Myra Bronstein is not alone. Accord- EXPORTING U.S. JOBS cans are now out of work. Long-term ing to a new national survey that is unemployment is at a 20-year high. Mr. DASCHLE. Mr. President, 2 days just being released today, nearly one in Eighty-thousand workers are ex- ago President Bush sent to Congress four information technology workers hausting their unemployment benefits his annual report on the State of said his or her company has offshored every week because Republican leaders America’s economy. Contained in that jobs. Incredibly, almost one in five re- refuse to support extending the Federal report is a statement that was quite reported they themselves had lost a job emergency unemployment benefits. markable. After presiding over the loss after training a foreign worker. Nine- The Economic Policy Institute re- of 2.6 million jobs, after claiming for 3 ty-three percent—nearly all—expressed cently found that in 48 States jobs are years that stopping the job hemorrhage concerns about the impact of shifting from higher paying to lower was one of their top priorities, the offshoring jobs on the IT industry and paying industries. Bush administration now says that ex- how it would impact their commu- In his State of the Union Message, porting American jobs to China and nities, the economy, and this country. President Bush said he understood, fi- India and other low-wage nations is One-third of the workers surveyed said nally, that we have a jobs problem in good for the American economy. the trend toward outsourcing and America. He promised his administra- I read that, and I must have read it offshoring jobs is contributing to lay- tion would do more to help people find two or three times thinking there had offs. And more than half said it was and train for jobs of the future. to be a catch, thinking there had to be pushing down wages and benefits. A few days later, a professor from the some caveat, there had to be some con- When textile manufacturing jobs University of Texas wrote an op-ed in dition. But there is no condition. The started to move offshore in the 1980s, the Washington Post about what she statement from the report could not be workers in those industries were told said was a model job training program more clear. This administration be- that the change was good for America’s in Austin. Many of the students at the lieves that exporting jobs to China and economy. They were told that all they center do not have the advantages that India and other low-wage nations is had to do was to learn some new skills, Myra Bronstein and many other IT good for America’s economy. They train for some ‘‘new economy,’’ and workers have. They do not have grad- seem to want to turn a jobless recovery they could get better paying jobs in the uate degrees. What they do have is a into a hopeless recovery. technology and service industries. fierce desire to make a better life for The President’s report is proof that Workers held up their end of the deal. themselves and their children. Many of there are those in this administration They got the training. Many did get them have two jobs. They catch a bus who simply do not understand what is jobs in the computer and IT industries, to their classes, where they learn about happening to this economy and how in health care and financial services, computer programming and spread- deeply concerned people are about and other so-called new industries. sheets and other supposedly market- their economic future. Now these new jobs are being shipped able skills. People who think shipping American overseas. The professor wrote that one woman jobs overseas is good for the economy We are offshoring America’s future. who showed her proudly how she ‘‘uses need to talk to people such as Myra We are exporting some of our Nation’s MapQuest.com to get directions to the Bronstein. She is not a statistic. She is most promising research and develop- houses that she cleans on her hands not an abstract concept on computer ment jobs. These are the jobs that sup- and knees, 7 days a week, 12 hours a models. port middle-class families. They are day, for a pittance,’’ was just lucky to Sometimes we focus so much on cor- the jobs that enable people to own have a job at all. porate stock earnings or the Dow Jones their own homes and put their kids She wrote: Industrial Average, we lose sight of the through college. Before they learned these skills, the train- challenges that real Americans are ac- Sixty-eight percent of IT workers ees thought that it was their lack of com- tually facing. Myra Bronstein knows have a college degree or higher. Half puter skills that prevented them from get- all about outsourcing. She has a degree have annual salaries between $75,000 ting good information-age jobs. They in electronic engineering and 15 years and $125,000. Their jobs are being thought something was wrong with them. of experience in the information tech- offshored to people who will earn less Now they know something is wrong with our nology industry. than $10,000. job market. Four years ago, she left a good job This is not just happening in Seattle There is something wrong with the with AT&T in New Jersey to take a or Silicon Valley. It is happening in job market, and the Bush administra- new job with a software development Sioux Falls and St. Louis and cities tion’s cavalier endorsement of shipping company called Watchmark Corpora- and towns all across America. Now the American jobs overseas can only make

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00002 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S959 matters worse. The administration believes this is the right economic pol- He said for the first time in 30 years, owes the American people an expla- icy to move America forward out of their only goal this time is to hold on nation and an apology. More than that, this recession and into prosperity? to what they have so the company they owe this Nation a plan that will Mr. DASCHLE. Mr. President, I doesn’t take away benefits, the com- actually create jobs, not export them would simply say that if you judge how pany doesn’t take away wages. to China, to India, or other low-wage good an economy is by the number of He said: Those on the other side are countries but to create jobs here. jobs created, this policy has been a fail- arguing, we are going to take away I ask the President to renounce this ure. If you judge economic policy by some of your wages and some of your report from his economic advisers and the kind of fiscal position we now benefits because that is what is hap- assure all Americans that the Federal hold—we have a $600 billion deficit and pening with the competition. In order Government will not be taking steps to a $3.5 trillion debt; a $9 trillion swing to be competitive, we have to reduce export these jobs overseas. as a result of the tax cuts—this policy your wages and reduce your benefits. Mr. President, I ask unanimous con- is a failure. If you judge by how one I will not accept that for this coun- sent that my leader time not be taken pays and rewards work rather than try. We can’t possibly accept the fact from the morning business allocated to wealth, by this administration’s posi- we have to move backward. If we are a the Democratic side. tion on overtime, this position and pol- progressive society, we have to recog- The PRESIDENT pro tempore. With- icy is a failure. nize these families have to continue to I think as we debate the economic out objection, it is so ordered. move forward with regard to their ben- circumstances we face in this country efits and wages or, you are absolutely f these failures ought to be front and right, we will have a race to the bot- center because they are the focus of RESERVATION OF LEADER TIME tom, a disparity between those at the every American family today. The PRESIDENT pro tempore. Under Ms. STABENOW. Will the leader top, who get the tax cuts the Senator the previous order, the leadership time, yield for a question as well? from Illinois referenced, and those at so much as remains for the majority Mr. DASCHLE. I am happy to yield the bottom, who get not only no tax leader, will be reserved. to the Senator from Michigan. cuts but now are losing their jobs, ben- f Ms. STABENOW. Mr. President, on efits and wages, and their overtime. behalf of the men and women of Michi- What is that going to do to this coun- MORNING BUSINESS gan I thank the Democratic leader for try? We are going to have the biggest The PRESIDENT pro tempore. Under his comments this morning. We read chasm in all of our history soon be- the previous order, the Senate will pro- headlines every single day of jobs being tween those at the top and those at the ceed to a period for the transaction of lost to other countries, outsourcing, bottom. That is unacceptable. morning business for up to 60 minutes, plants that are leaving. It is clear to I thank the Senator for her question. with the first 30 minutes under the me we have an administration more fo- The PRESIDENT pro tempore. The control of the Democratic leader or his cused on wealth than valuing work, as Senator from Nevada. designee, and the final 30 minutes the distinguished Senator from Illinois Mr. REID. Would the Chair announce under the control of the majority lead- indicated, with a whole series of poli- how much time is left for morning er or his designee. cies that do not reward work. business on this side? The Democratic leader. I wonder if the leader might com- The PRESIDENT pro tempore. Twen- ment on the fact this is a race to the f ty-four minutes 37 seconds. bottom. What they are saying to Amer- Mr. REID. Mr. President, the distin- ORDER OF BUSINESS icans is they should work for $2.50 an guished majority leader announced Mr. DASCHLE. Mr. President, I hour or $1 an hour or instead of being today the tax cuts were working. My would be happy to yield to the Senator a computer programmer here, earning question to him and everyone within from Illinois for a question. $50,000 a year, if you earn $15,000 a year, the sound of my voice would be: Work- Mr. DURBIN. Mr. President, I would maybe we won’t outsource your job. ing for whom? As has been indicated, like to ask the leader a question under Isn’t this a way to eliminate the mid- we have staggering deficits. We have a leader time, not under morning busi- dle class? How do they, in fact, pur- staggering debt that was not there ness. chase the cars and the refrigerators when this man took the office of Presi- The PRESIDENT pro tempore. The and computers and have the quality of dent a little more than 3 years ago. leader’s time has expired. life they want, send their children to I have been reading a book the last Mr. DASCHLE. I inform the Senator college, be able to afford a quality of couple days, ‘‘The Price of Loyalty,’’ life as Americans, if this is a race to from Illinois, through the Chair, that by Ron Suskind and Paul O’Neill. In the bottom? we still have a half hour of morning that book, quite clearly, Paul O’Neill Would the leader agree this is now a was extremely concerned about the business time allocated. We can use race to the bottom and a threat to the deficits and brought it up at a Cabinet that time. I will take such time as may middle class and their way of life? be required to respond to the Senator’s Mr. DASCHLE. Mr. President, I re- meeting. He was cut off very quickly question. spond to the Senator from Michigan by by Vice President CHENEY, saying: Mr. DURBIN. I will make my ques- saying she has characterized this situa- President Reagan proved that tax cuts tion very brief. tion very accurately. It is a race to the are good and that deficits don’t matter. f bottom. I believe deficits do matter. I believe I had a conversation not long ago we have a situation developing that is ECONOMIC POLICY with a worker at a grocery store chain going to cause untold misery and Mr. DURBIN. I commend the leader who was commenting that they are harm, as indicated by the budget we for his statement this morning and ask currently in negotiations with this par- have been given today. We will talk him the following: If the Bush adminis- ticular chain. He noted over the last 30 about that during the next few weeks tration is now telling us that tax cuts years, as negotiations have been evolv- as the budget negotiations and debate for the wealthy are good for America, ing, at every juncture, all through the go forward. if they are now telling us that out- 30 years, the question was: How can we I am happy to yield 10 minutes to the sourcing jobs from the United States to make improvements; how can we im- Senator from Iowa. other countries is good for America, prove wages; how can we improve bene- The PRESIDENT pro tempore. The and they are now cutting overtime pay fits; how can we continue to stay Senator from Iowa is recognized for 10 for American workers and refusing to abreast of the current fiscal and finan- minutes. give unemployed workers in our coun- cial challenges every family faces? Mr. HARKIN. Mr. President, I thank try the benefits they need to keep their That was the goal, to advance the ben- the assistant majority leader for yield- families together, I would like to ask efits, the wages, to take into account ing me 10 minutes in morning business. the Senator from South Dakota and the dramatic changes in their own cir- I rise to follow up on what the Demo- our leader on the Democratic side if he cumstances. cratic leader was talking about in

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00003 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S960 CONGRESSIONAL RECORD — SENATE February 11, 2004 terms of the statement of the chairman of the Federal budget that goes to pay House says. So I say to my colleagues of the President’s economic advisers the interest on the debt. So every dol- it is up to us. saying: Outsourcing of jobs in this lar we spend on interest is a dollar we Quite frankly, if the Senate doesn’t country is a good thing. are not spending on education or con- step in and provide some adult super- I read the followup comments by struction or health care, rebuilding our vision in Washington, then nobody White House spokeswoman Claire economy. This is the hidden tax in Mr. will, and we will, in fact, march down Buchan, who said: The President’s view Bush’s budget. He says he wants tax this path of huge deficits, bigger and is that American workers are the best cuts, mostly for the wealthy. He wants bigger deficits, higher debt, more inter- workers in the world and he is com- to make them permanent. That will est payments on the debt, and the in- mitted to free and fair trade. He is cost us another $1 trillion. But what creasing outsourcing of our jobs to committed to a level playing field. about the hidden tax, the debt tax that other countries. It is time to stop this That all sounds very nice, but is it is going to be put upon our workers and downward spiral. I believe only we in level when you have a worker in China our children to pay the huge interest the Senate can do it. making 61 cents an hour and a worker charges on this national debt that is Mr. REID. Mr. President, I yield 10 in America making $12 or $13, $14 an running up? minutes to the Senator from Illinois, hour? What kind of a level playing field Right now interest payments are Mr. DURBIN. is that? As the leader said, this is a about $4,367 a year for a family of four. The PRESIDENT pro tempore. The race to the bottom. By 2010, because of these huge budget Senator from Illinois is recognized. You can always find someone some- deficits, this debt tax rises to more f place who is lower down on the totem than $8,000 for a family of four. That is PROTECTING THE TROOPS pole, who is more hungry, more des- just the interest every year. That titute, willing to work for less than means every family of four in America Mr. DURBIN. Mr. President, last you. If that is what we are looking for, will be paying about $8,000 a year in ad- night a group of Senators went out for we might as well go back to slavery. ditional taxes just to pay the interest dinner at Walter Reed Hospital with If you want to talk about efficiency, on the national debt. Again, this is a the soldiers who have returned from that is what they are saying: When a formula for utter disaster. Iraq and Afghanistan, many of whom good or service is produced more The baby boomers are on the verge of are undergoing important medical cheaply abroad, it makes more sense to retirement—1946 being the first year of treatment and rebuilding their lives import it than to provide it domesti- the baby boomers. They will retire ba- and strength to return to their fami- cally. That has to do with efficiency, sically at 65, so that brings us to the lies, and some to return to service to they said. year 2011. When they start retiring, we our country. These are our best. These Efficiency? Is that what we as human will be in the hole with huge budget men and women with whom we had the beings are now looked upon, as a ma- deficits. President Clinton set us on good fortune to eat dinner last night chine, how efficient a machine we are the right track to reach 2010 with zero are really some of the finest people you or is there more to life than that. national debt, in great fiscal shape to could ever meet. They have given more When I hear words like that, I say begin to finance the baby boomers’ re- to this country than any of us will ever people have some sterile view of eco- tirement and their health care. That give, and they have done it with a nomics that counts people as just so inheritance from President Clinton, sense of loyalty and a sense of patriot- many cogs in a wheel or so many units being on the right track and erasing ism that all of us admire. we can depreciate, use up and throw the total national debt, has been As I talked to these soldiers and out on the trash heap after a while. It squandered—squandered by tax cuts for asked them about their experience, I disturbs me greatly, the positions of the wealthy, squandered by the out- asked them about their injuries: What these people in making such state- sourcing of jobs to other countries, and happened when you were in Iraq? ments. destroying jobs in America. So we are The story that comes back more I recognize free trade or fair trade is going to reach 2010 with a crushing often than not is that these soldiers— good for everyone as long as it does not debt burden, higher interest rates, a many of them—were in Humvee vehi- lower people’s standard of living but weaker economy, and the baby cles, which is our modern jeep, trav- tends to raise people up to ours. That boomers just retiring. eling in Baghdad and other cities and is what we ought to be involved in—not We know we are mortgaging our fu- localities in Iraq, when their vehicle lowering our standard of living to oth- ture, stealing from the next genera- was struck by a rocket-propelled gre- ers but trying to help them raise tion. Why? So that the wealthiest can nade or a homemade bomb that was theirs. have a tax cut of $155,000 a year. This is detonated. Many of them were seri- Couple that with this dance of the not wise and it is not fair. The con- ously injured. One brave soldier from administration that outsourcing jobs, sequences are going to hit us right South Dakota lost his right arm. The shipping jobs overseas is good, some- now, not just in the year 2001. Just Army captain in the next Humvee was how good for our country, with the look at the budget. It shortchanges No killed, and he believes he was lucky to budget we have now in front of us and Child Left Behind by $7 billion. The escape alive. I asked him what Con- what it spells is a disaster for this budget cuts funding for local police by gress could do to help. country and especially for our young $1.7 billion. It cuts funding for fire- He said: We are getting good medical people. fighters by $800 million. treatment, and our families are being We have had the first recovery from There you have the essence of the treated fine. But can you do something a recession in modern time. There are Bush economic plan: huge tax cuts for about those Humvees? The Humvee still about 3 million jobs lost out there. the rich, skyrocketing deficits and doesn’t have armor plating on the This budget continues on that way. We debt, cuts in programs that serve chil- sides, armored doors to protect us and have tax cuts for the wealthy. It does dren and working Americans, and out- other soldiers. not create jobs. We have this proposal sourcing of our jobs to other countries, You think to yourself, of the billions to eliminate overtime pay Senator thus reducing the overall income of of dollars we have spent in Iraq, we DURBIN brought up. Now we are going middle-class Americans. don’t have armored doors on the to create jobs in India and China and It is time for the Senate to come to- Humvees so that these soldiers can places such as that by outsourcing all gether and demand a change of course, come home safely? of our jobs. demand fiscal sanity, fiscal integrity, I asked the Secretary of the Army: Then you look at the budget, and the and a change in our economic program. What is this problem? He came back to budget we have will continue deficits I believe this is the single biggest test me and reported that there are 8,400 as far as the eye can see. It will in- we face in the year ahead. Quite frank- Humvees in Iraq that don’t have ar- crease deficits. What that means is we ly, I believe President Bush is out of mored doors. The soldiers, last night, are now going to be paying a debt tax. control in demanding even more tax said they would improvise. They would As this administration increases the cuts. The House of Representatives ba- get sheets of steel and cut them and national debt, they increase the share sically will do whatever the White place them on the sides of the Humvees

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00004 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S961 so they are not vulnerable in these reads: ‘‘Bush report: Sending Jobs he has the dubious distinction at this areas. Overseas Helps U.S.’’ The Pittsburgh point in his Presidency of having lost We should do better. I said to the Post-Gazette: ‘‘Bush Economic Report more jobs as a President of the United Secretary of the Army: Isn’t this a pri- Praises ‘Outsourcing’ Jobs.’’ The Or- States than any President since Her- ority? He said: It is our highest pri- lando Sentinel: ‘‘Bush Says Sending bert Hoover in the Great Depression. ority to build the 8,400 doors for these Jobs Abroad Can Be Beneficial.’’ This President has watched these Humvees. He told me that many will be Yes, as we read the report, that is ex- jobs leave, and for a time you would made in my State at the Rock Island actly what was said. think it troubled him and for a time Arsenal. I visited the Rock Island Arse- Mr. N. Gregory Mankiw, chairman of you would think he was trying to bring nal and saw the first sets of doors come President Bush’s Council of Economic these jobs back to the United States or off for the Humvees, and the workers Advisers, said: protect the jobs we have. But the re- were so proud. They knew they had Outsourcing is just a new way of doing port to Congress this week says it is done something significant. international trade. More things are tradable part of a designed plan—a plan by the I said to the commander at the arse- than were tradable in the past. And that’s a Bush administration that happens to nal: How long will it take us now? We good thing. believe in their wrongheaded way that need 8,400 sets and we are also doing Is that a good thing, President Bush tax cuts for the wealthiest people in them at Anniston. He said: We are and Mr. Mankiw? Would you like to go America are good for our future; that going to get these doors built in one to Walter Reed Hospital and explain to happens to believe outsourcing jobs to year. the soldiers who have been victimized India and China somehow is positive One year? In World War II, we were by the loss of steel production in Amer- for America; and that happens to be- building bombers in 72 hours and ships ica that this is a good thing? It is not lieve Americans who are out of work in 30 and 60 days, and we need 1 year to a good thing. don’t deserve unemployment benefits make the armor-plated doors to pro- I am one who supports trade. I be- and those who are working shouldn’t tect the Humvees so that fewer of our lieve globalization is as inevitable as be paid for overtime. men and women in uniform will have gravity, but I also understand we need That is the economic policy of the to go to Walter Reed Hospital for pros- economic leadership from the top, from Bush administration, and that is why thetic devices and medical treatment. the White House and the President on we have elections in America. Amer- I said: Why is it taking one year? He down that says we will enforce trade ican families who have seen these jobs said: Because there is only one steel- agreements; we will build America’s go overseas are going to reject this fabricating plant left in America, and economic base; we will not surrender wrongheaded Bush economic policy. it is in Pennsylvania. It makes the American jobs willingly. The PRESIDING OFFICER (Mrs. steel that we can convert into the This report from the Bush adminis- DOLE). The Senator’s time has expired. Mr. DURBIN. Madam President, I armor plating for these doors. We are tration says that they not only sur- think we are going to find soon the using everything they produce as fast render these jobs willingly, they do it American people will respond in re- as they produce it. with applause. What a good thing it sounding terms to this report to Con- So when the issue comes up about must be that the President’s report gress. says to Congress that we have lost so loss of manufacturing jobs, and loss of I yield the floor. American jobs, and loss of our indus- many jobs overseas—jobs to China, jobs Mr. REID. Madam President, how trial base, it is more than a cold dis- to India, and it continues. much time is remaining? cussion of statistics; it is a discussion In technology, there was a time when The PRESIDING OFFICER. Four about the reality of our economy and we were king; Silicon Valley ruled, and minutes seventeen seconds. the reality we face. Whether you live in they should—all the ingenuity and cre- Mr. REID. Madam President, before North Carolina, where we have lost ativity that came up with these dra- my friend from Illinois leaves the floor, textile jobs, or you live in Illinois, matic advances in technology. What is I would like to propound a question to where we have lost steel jobs, the fact happening today? A large and growing him. I say to my friend from Illinois, is, as we lose these jobs, we lose our ca- number of computer-related jobs are the majority leader was on the floor pacity. When it comes to something as already leaving America. today, and I think the Senator from Il- basic as steel, that capacity plays out IBM, for example, announced in De- linois heard me remark earlier that he so that our soldiers in Iraq today are cember it is going to transfer 4,730 pro- said the tax cuts are working. I have more vulnerable to enemy attack be- gramming jobs from the United States thought about that since I spoke 20 cause we cannot produce the steel in to India, China, and other countries. minutes ago, and I think he is probably America. Insurance giant Aetna likewise decided right, they are working for the elite of So we asked the administration: early in the year to begin sending 20 this country, people who are in the What should we do about all these jobs percent of its application outsourcing upper income brackets. going overseas? What should we do work to India. Does the Senator from Illinois know about the loss of the industrial base? Is From the viewpoint of President of anyone else who is receiving a ben- this a challenge we need to face and Bush and his economic advisers, this is efit from the tax cuts? deal with? great news: IBM is sending jobs to Mr. DURBIN. Madam President, I say Our answer came back this week in a India and China; Aetna is going to to the Senator from Nevada, yes, I will report from the White House. This is a outsource 20 percent of its jobs to tell the Senator who will benefit from headline from the Los Angeles Times of India. From their point of view, from the tax cut: the countries that are yesterday: ‘‘Bush Supports Shift of the statement they sent to Congress, loaning money to America to finance Jobs Overseas.’’ we should applaud this: what a great the debt that these tax cuts have cre- It goes on to say: development, that all of the program- ated. Specifically Japan, which is loan- The loss of work to other countries, while mers and electrical engineers who work ing over $500 billion to the United painful in the short term, will enrich the for these companies will now be out of States to pay for our debt, and China. economy eventually, his report to Congress work and someone overseas will take China, in loaning money to the United says. their jobs for a fraction of the pay they States, is earning interest. So the Jap- Like many colleagues, I read this were receiving. anese and the Chinese benefit from the headline and I said: It cannot be true; That is not good news in my home. It President’s tax cuts and economic pol- clearly, this is a mistake. I cannot be- is not good news in Illinois. And I don’t icy because they are earning interest lieve the Bush administration would think it is good news for most working on this massive debt, a deficit larger say that shifting jobs overseas is good families across America. than any President has ever created in for America. The President yesterday appeared in the history of the United States of Then we looked at other newspapers a plant in Missouri and said: Our tax America. The winners, as I see it, around the country, not just the L.A. cuts for the wealthy are working; they would be the overseas investors, as well Times. In the Seattle Times, the same really turned this economy around. I as the wealthiest people in our coun- report was analyzed. Their headline am sorry to say to the President that try. They are the winners.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00005 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S962 CONGRESSIONAL RECORD — SENATE February 11, 2004 Mr. REID. Madam President, has my The PRESIDING OFFICER. Correct. rate and productivity growing at a 2.7 friend reviewed the text of the book, Mrs. HUTCHISON. Madam President, percent annual rate, well above the ‘‘The Price of Loyalty’’? I will ask the distinguished Senator long-run averages. Despite all of this, Mr. DURBIN. I read this book. from Colorado to allocate our time. inflation remains benign. It is not Mr. REID. The Senator does recall in There will be another speaker coming, growing, allowing the Federal Reserve that book where Vice President CHE- but I would like to yield to the Senator to maintain short-term interest rates NEY, when Paul O’Neill said we should from Colorado this 30 minutes 20 sec- at historical lows. Recent tax relief take a look at these deficits that are onds. continues to benefit consumers and building up, and does the Senator re- The PRESIDING OFFICER. The Sen- businesses. Forecasters see continued call—this is almost a direct quote— ator from Colorado. robust growth, low inflation, and accel- Vice President CHENEY interrupting Mr. ALLARD. I thank the Chair. erated job gains throughout this year. the meeting and saying: President f That is pretty good news. Reagan proved deficits don’t matter? The payroll employment increase of Can the Senator from Illinois com- THE ECONOMY 112,000 jobs in January was the largest ment on that statement, ‘‘deficits Mr. ALLARD. Madam President, I monthly gain since the year 2000. The don’t matter’’? wish to talk about the economy. We unemployment rate fell to 5.6 percent. Mr. DURBIN. I remember it. In addi- can sure tell this is an election year. I remember when I took economics in tion to some other comments in the The false rhetoric that is going on college in the 1960s. Five percent was book, it was the most graphic illustra- about the economy is amazing. The considered full employment. We were tion that this administration is insen- fact is, the economy is recovering and spoiled a little bit and it was definitely sitive to the deficits and debt they are our tax cuts have made a significant an aberration, as a lot of economists creating. difference in the fact our economy is described it, when we got down to 4 I also recall in that same book Paul recovering. percent, but 5 percent is still consid- O’Neill, then-Secretary of the Treas- I heard the previous speaker on the ered a full employment figure. The un- ury, was recommending to the Bush ad- floor talk about the jobs we are losing, employment rate fell to 5.6 percent in ministration to put triggers in the tax but this President and this Republican January, well below its recent peak of cuts so that if the surplus disappeared, Congress inherited an economy that 6.3 percent last June. Five straight then the tax cuts would not continue was going in the dumps when he went months of job gains have now added and drag us even deeper into debt. That into office. 366,000 jobs to U.S. payrolls. was rejected by Larry Lindsey, the It was headed downhill. The stock 5.6 percent is good news. The econ- former head of the Council of Eco- market had been down for 9 months omy grew at a robust 4 percent annual nomic Advisers, the predecessor to the and the recession was just beginning rate in the fourth quarter of 2003. Fore- man who came up with this delightful when he was taking his oath of office, casters see continued growth of around equation that says losing jobs overseas so one cannot blame this President for 4 percent throughout this year. Pro- is good for America. what has happened in the economy. We ductivity—this is output per hour of What we have had is a wonderful pa- need to look back at what happened labor—grew at a 2.7 percent pace in the fourth quarter, above historical aver- rade of economic extremists in the during the Clinton administration. We ages. I continue to believe the workers White House who advised this adminis- had one of the highest tax increases in in this country are the best educated, tration into the current mess with our the history of this country. Everybody the best motivated, and nowhere in the budget and with our economy. who follows the economy knows it world is their productivity exceeded. Mr. REID. Is that the same Larry takes a while for tax policy to take ef- They are the ultimate. I think we Lindsey who was fired because he said fect. What has happened under the should be proud of that and recognize the war in Iraq would cost more than Bush Presidency, with a Republican it is all that individual effort that $100 billion? Congress, is we put some tax cuts in Mr. DURBIN. That is right, he makes a difference and what keeps this place to get the economy recovered. It economic engine growing. misspoke and, as a result, he was re- has worked. Now it did not start work- turned to the private sector. Now we The Federal Reserve has kept short- ing immediately, but after a year or term interest rates unchanged at 1 per- see his predecessor, Mr. Mankiw, who two we began to see the results. We are now has misspoken, but we have his recent, which is good for individuals who seeing the results today. want to buy homes, for example. The port. President Bush sent his report to The Members of the Senate who come Congress and he said outsourcing administration worked with me to pass to this floor and say we ought to raise legislation called the American Dream American jobs is good for America. I taxes, that will do nothing more than am sure we are going to hear a correc- Down Payment Act to get people into destroy the economic recovery process homes. I see now they are reporting tion before the Sun goes down in Wash- we see taking place right now. ington today. that home ownership is at an historic I have a report from the Joint Eco- high. It has never been higher in the The PRESIDING OFFICER. The Sen- nomic Committee. The chairman of ator from Texas. history of this country than what we that committee happens to be Senator are seeing today as far as homeowner- f BENNETT. It is made up equally of ship. That legislation, working with ORDER OF BUSINESS Members of each party from the Sen- the administration, is the type of effort Mrs. HUTCHISON. Madam President, ate. There are five Republicans and that is making the difference. has the Democratic side used all their five Democrats on the Joint Economic The household survey, used to cal- time in morning business? Committee. They have published a culate the unemployment rate, showed The PRESIDING OFFICER. They rather promising report. It is time we employment gains of almost 500,000 in have 20 seconds remaining. take a look at what they say about the January. The gap between the house- Mr. REID. We will be happy to do- economy. There should not be any hold and the payroll measures of em- nate that to the Senator from Texas. doubt that the economy is recovering ployment continues to widen, con- Mrs. HUTCHISON. How generous. I and a lot of it has been done due to the firming initial labor market improve- thank the assistant Democratic leader tax cuts. We should not allow a tax in- ments and continuing jobless claims very much. crease to occur that would destroy this for unemployment insurance benefits Madam President, how much time do economic growth. are trending downward. we have? Was it 30 minutes on the They report the economy is strong I like to rely on the household survey other side, or did they have some other and there is sustainable growth going because I think the household survey time? on. The recovery continues at a strong tells us something the payroll survey The PRESIDING OFFICER. There pace. Payrolls increased by over 112,000 does not. What it tells me is a lot of are 30 minutes remaining on the major- jobs in January as activity in the man- our Americans are saying, look, now is ity side. ufacturing and services industries ac- the time for me to start my own busi- Mrs. HUTCHISON. Thirty minutes celerated. Last year closed with the ness. When they start their own busi- and twenty seconds, Madam President. economy growing at a 4 percent annual ness they start out small so that means

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00006 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S963 they start out of their home, they con- well above 60 indicate vigorous expan- turers were coming to me and com- tract to do their labor. Then as demand sion in manufacturing and service. plaining about their inability to com- grows for their service they begin to The economy is recovering and our pete in the international markets be- expand out from there. The household cutting taxes is making the difference. cause the value of the dollar was so survey reflects that. Consumer confidence and spending much higher than what it had been his- We have seen tremendous growth in grew. The University of Michigan’s torically. Those of you who are listen- the household survey. The payroll wage consumer sentiment index rose in Jan- ing understand, when the value of the survey misses that particular param- uary to its highest value since 2000. dollar is low, it means the cost of your eter. That has been good news for some The Confidence Board’s index rose to goods and services are much higher and time, and the Joint Economic Com- the highest in 18 months. it is harder for you to be competitive mittee has shown evidence this con- After tax income also continues to against the yen or euro, for example. tinues to grow. This is the small busi- grow, boosted by tax cuts. Most Ameri- Now that is changing. The value of the ness sector of this country. It is the cans, after filing their taxes, are going dollar has dropped down so this means small business sector where one sees to get more money back from the Gov- our manufactured goods are going to be economic growth happen because this ernment than they have in previous able to compete overseas against those is where new ideas develop. This is years. Improved sentiment and in- products that are already provided. where small companies have an oppor- comes have boosted consumer spend- I feel good about what we can look tunity to grow into larger companies ing, which grew at a 2.6-percent annual forward to. I am disappointed that we like we have seen many of our high- pace in the fourth quarter after hearty have to resort to all this negative rhet- tech companies do. spending in the third quarter. After tax oric because we are in a campaign. I Last night I had dinner with a num- incomes will improve further as tax- have shared with my colleagues here, ber of executives from high-tech com- payers receive higher refunds. and the American people, some real panies, and they are bullish on our What does it look like as far as the facts about what is happening in the economy. They think things are doing Fed? They are holding monetary policy economy. I don’t think anybody, when pretty well. They told us, well, maybe steady. It is unchanged. This means they look at these facts, can disagree there have been a few jobs that have they kept short-term interest rates at that our economy is in a state of recov- gone overseas, but nearly all of our the five-decade low of 1 percent but ery. Obviously, you can take the facts jobs are growing in America. This is changed their policy statement to set and pull them over two decades and where our job growth is happening. up flexibility to raise rates if they see you can distort them and try to make Again, this is a political year and a signs of inflation. So they are prepared the President look bad as far as the lot of this false negative rhetoric is not to act if we start to move into an infla- economy is concerned. telling the full story, and that is what tionary cycle. Many measures of infla- But the fact is, President Bush has I want to get across this morning. The tion are at their lowest since the 1960s, had a strong growth policy for the economy is recovering and that is due a key reason the Fed has accommo- economy, and it is working. It included to our tax cuts. Gross domestic product dated strong growth without raising cutting taxes and holding the growth and productivity have grown at a very rates. in interest rates down, working with strong and sustainable rate. Real gross I continue to point to the housing the Fed. Economic indicators have domestic product, often referred to as market where we had huge amounts of shown positive growth and the econ- the GDP, grew at a solid 4 percent an- growth in home ownership because in- omy is going to continue to do that. nual rate in the fourth quarter, fol- terest rates are low. All of a sudden, in- I cannot understand why the opposi- lowing the third quarter’s remarkable dividuals who could not make a down- tion party has decided they are going 8.2 percent rate. Amazing, the third payment on a home found that, by to make the economy their issue. It is quarter of last year had a 8.2 percent gosh, with the interest rates down, it is a losing issue because the economy is growth rate. easier for them to come up with the recovering. The American people are In the second half of 2003, the econ- payment. It means their monthly pay- beginning to realize that. My State, for omy grew at the fastest 6-month pace ment will be less because interest rates example, is a diverse State. We don’t in almost 20 years. Over 2003, as a are lower. Home ownership is good for like to put all our eggs in one basket, whole, gross domestic product grew at the economy. It creates jobs. so we have manufacturing, we have a robust average of 4.3 percent. By way The housing market remains robust. tourism, in the State of Colorado we of comparison, the economy grew at an Remarkably strong home sales have have agriculture, we have natural re- average of 3.7 percent during the ex- boosted the home ownership rate to a sources, high technology, tele- pansion of the 1990s. Even when we had new high, and that new high is 68.5 per- communications and research and de- unprecedented economic growth in the cent. Many signs point to more velopment. We realize things need to 1990s, it was only 3.7 percent. We saw a strength in housing in the near term. be done to encourage that, something much higher growth rate last year. Mortgage applications have increased we need to encourage throughout the Productivity also advanced, growing at again on a renewed dip in mortgage country, to make sure we stay com- a 2.7 percent annual rate in the fourth rates. petitive. And that is educations. The quarter, and in excess of 4 percent for Housing starts rose in December to company executives I met with last the second consecutive year, well above the highest rate in about 20 years and night said, yes, education is important. historical averages. permits for home construction were up We need to be sure that we have our Forecasters believe the gross domes- for the fourth quarter. This is all good workforce, our citizens, well educated. tic growth will be sustained at around news. The economy is recovering. It The President has pushed to improve 4 percent throughout this year. That is has been due to those tax cuts that we education. No Child Left Behind is cer- all good news. Our tax cuts are work- implemented earlier in the President’s tainly a sincere effort to try to im- ing. term. prove our educational system. I happen Let’s look at business activity. Busi- Ministers from major industrial to think it is going to work. ness activity continues to strengthen. countries met last weekend to discuss We are improving our educational Increases in average weekly hours of currency issues, including the dollar’s system. The economic figures are look- work and moderation of job losses in recent decline and China’s dollar peg. ing good. We should all be positive manufacturing indicate rising activity. The dollar fell 10 percent against Ja- about the outlook, as far as America is Confirming this trend, the Institute for pan’s yen and 17 percent against the concerned. Supply Management manufacturing euro last year, making U.S. exports I am proud to be American. I am index has risen since May to its highest less costly in world markets and im- proud of my small business roots. I had value since 1983. The ISM services ports more costly. Ministers again an opportunity to start a business from index has also been rising and, in Janu- called for flexible, ‘‘orderly’’ exchange scratch as a veterinarian and I worked ary, was the highest in its history. rates. hard to see that grow. It gave me an Index value over 50 means the relevant This is all good news. I recall at the opportunity to contribute to my com- sector is expanding. Current values of first of last year and in 2002 manufac- munity as a small businessman, and to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00007 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S964 CONGRESSIONAL RECORD — SENATE February 11, 2004 provide an opportunity for my children The bottom line is the consumers in sume consideration of S. 1072, which to get an education. They got their this country are going to be better the clerk will report. education. Now they are raising their served. The assistant legislative clerk read families. I want to see my grand- This President has done the right as follows: children have the same future that I thing for America. It is unfortunate A bill (S. 1072) to authorize funds for Fed- have enjoyed, and my children have en- that, in an election year such as this, eral-aid highways, highway safety programs joyed. the political rhetoric gets so negative and transit programs, and for other purposes. I think what the President is doing because it really does not reflect what Pending: to hold down taxes creates lots of op- has been going on. To repeat, unem- Inhofe amendment No. 2285, in the nature portunity for young people to get their ployment rates have dropped to 5.6 per- of a substitute. own business started. That is the cent. The gross domestic product is Warner modified amendment No. 2286 (to strength of America, our small busi- growing at phenomenal rates. Job amendment No. 2285), to provide a highway ness sector. That is where innovation growth is happening. It is occurring safety improvement program that includes starts and that is where growth begins. today. incentives to States to enact primary safety Madam President, I am curious to Other countries have looked at what belt laws. know how much time we have left on we have done in America to create The PRESIDING OFFICER. The Sen- this side. jobs, and they are updating. ator from Virginia. The PRESIDING OFFICER. The Sen- Competition is going to be tough in Mr. ALLEN. Madam President, I ator has 11 minutes 56 seconds. the international market, and we need commend the Senator from Colorado, Mr. ALLARD. I want to talk a little to be prepared to compete. Trade re- Mr. ALLARD, for his remarks on the bit more about the housing issue. As strictions is not the way to do it. We economy. I want to get into the pend- our economy was going through an un- historically have been able to compete ing amendment. At that point, I hope precedented decline, we saw housing throughout the international commu- the managers will allow me to continue stay up. That was the one part of our nity without trade restrictions. In fact, and talk about this seatbelt amend- economy that actually sustained us. the trade agreements we pass actually ment. It was a pleasure for me to be able to make it possible for the United States I commend my colleague from Colo- work with the President on the Amer- to cut down the trade tariffs that are rado, Senator ALLARD, for his com- ican Dream Downpayment Act, to applied against American products. ments. Tax cuts are working because allow for young people in all areas of One of the things that gets thrown individuals, families, and small busi- the country to begin to be able to out here is the trade deficit. The trade nesses have greater freedom. They are make that downpayment on that first deficit has been the worst in this coun- investing. More jobs are being created, home. try during the Depression and during and there is more economic activity In studying what was happening in the recession we had at the end of the which makes our country more com- the last several years, even though we Carter years in the 1970s. When our petitive. had dropped interest rates and it was economy goes down, trade deficits get Our tax laws and regulatory poli- easier to qualify for loans, there were a better. When our economy goes up, cies—and any policy we have in this trade deficits change because con- lot of people who should have but did country—needs to ensure that there is sumers are buying more goods. When not own their own homes. Historically more investment and more jobs in you have them buying more goods, it the barrier was that downpayment. So America. We ought not ruin opportuni- creates more jobs. I don’t see where the the American Dream Downpayment ties for businesses to provide their em- trade issue is one that really reflects Act provides a way for families who ployees with broad-based stock op- what is happening in the economy. tions. The People’s Republic of China run up to this barrier, where they look I shared these issues with you this at their rental rates they are paying has technology companies that pro- morning because that is really what is mote themselves because they have that are exactly the same as what their happening in the economy. Employ- mortgage payment would be, this pro- stock options for their employees. I ment is rising, unemployment rates hope in America we would not deny vides them an opportunity to get past continue to fall, gross domestic prod- this downpayment barrier in order to that opportunity. Internet taxes mat- uct and productivity continue to grow ter. We need not be imposing higher own a home. strong and at a sustainable rate, busi- It is working. It is going to work. As taxes on access to the Internet, par- ness activity continues to strengthen, it moves forward—it is just getting ticularly broadband. Energy is impor- consumer confidence and spending started—it is going to do even more to tant. We need to have energy suffi- grows, the Fed is holding interests create home ownership. ciency and reliance, domestic produc- rates at a steady 1 percent, and the I am proud of this President. I am tion of natural gas or clean coal or oil, housing market looks really good. It proud of his economic policies. I am as well as advancements in new tech- has been good for a while and continues proud to be able to work with him in a nology. And this highway bill is a part to look good. When you compare the partnership in cutting taxes and en- of that, it is also for infrastructure, dollar to the yen or to the euro, its couraging the economy to grow. jobs, and the movement of people to value is going down, which is good for As a small businessman, I know how and from work with less congestion. I exports. It is good for business. It that works. If anything affects a job, or hope we will get to it. means we will be able to move our growth, it is when taxes get too high In the midst of this, we have an products overseas. I think it looks and rules and regulations take over amendment. I have a tremendous good. your business. As a small businessman, amount of admiration and respect for I am proud of this President. He has I have had to suffer through down my colleague, the senior Senator from the right solution, and it is working. economies. I have had to lay people off I yield the floor. Virginia, Mr. WARNER. His service to because our small business was not Virginia and to our Nation makes him doing very well because of a down econ- f a true American hero, in my view, and omy. It is not fun. CONCLUSION OF MORNING a great patriot. It is an honor to serve But we always recovered and after we BUSINESS and partner with him. recovered we were more productive and The PRESIDING OFFICER. Under However, I am compelled to voice my we were more efficient and we gen- the previous order, morning business is opposition to an amendment that Sen- erally provided a better service. I think closed. ator HILLARY CLINTON and he have pro- that has happened in this country. I f posed to the underlying highway bill. think a lot of companies have taken The amendment that is before us, while the downturn and streamlined their op- SAFE, ACCOUNTABLE, FLEXIBLE, certainly well-intentioned, should not, erations, improved their services. AND EFFICIENT TRANSPOR- in my view, be the purview of this body The bottom line is that we are going TATION EQUITY ACT OF 2003 or the Federal Government. The pro- to have more jobs in this country. Our The PRESIDING OFFICER. Under ponents argue that it is a good idea to economy is going to continue to grow. the previous order, the Senate will re- wear seatbelts. In most cases, that is

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00008 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S965 true. But there is really no assertion police officer is bothering someone who Virginia, and I will discuss from time nor persuasive reason that has been is otherwise driving safely. to time. That is an issue. But, interest- proffered for Federal jurisdiction in This amendment clearly tramples on ingly, some other issues will come up. this case. This certainly is not inter- the rights, the prerogatives, and the ju- Last year in the debate in the Virginia state commerce. Without a Federal in- risdiction that have long been the pur- General Assembly and the House of terest, I think this cause or this claim view of the people in the States. I don’t Delegates, Delegate Ken Melvin of or this idea ought to be dismissed in believe mandates such as this initia- Portsmouth, VA, voiced his opposition the Senate and remanded to the place tive should come from any level of gov- to a primary seatbelt law, stating: I where this ought to be adjudicated; ernment. I was not for it as a State leg- know what happens when you are that is, in the State legislatures be- islator or a Governor of the Common- stopped by police, as a black man in cause this is clearly a State interest. wealth of Virginia. However, if govern- this country and in Virginia, in par- Beyond the lack of Federal jurisdic- ments are to be making a decision on ticular. He explained how his son was tion, I have long detested nannyism this, it ought to be the State govern- harassed and pulled over numerous that emanates from the Federal Gov- ments, not the U.S. Congress. times for no apparent reason. ernment. I believe legislating common The logical regression is that some- So we end up with concerns of driv- sense is an ill-fated course that will re- body could make an argument that ing and persecution of people on ac- sult in countless mandates and direc- people riding motorcycles are safer count of their race. That is something tives imposed upon the American peo- wearing helmets than not having hel- to be decided in a State legislature. I ple. mets. There are many States that do am not sure if every State has it. I am No one in this body or around the not have helmet laws. It is the right of sure most places in Virginia do not country will argue that wearing a seat- the people of South Dakota, or what- have this problem. Nevertheless, that belt is not a good idea. I wear them. I ever State it may be, to have such hel- is the discussion that was held on the make sure my kids are buckled up. Of met laws. The logic, of course, would floor of Mr. Jefferson’s capitol in the course, there are laws that have to do be that the Federal Government could Commonwealth of Virginia. with children, but we are dealing with say all motorcycle riders have to wear The Virginia Legislature and the leg- adults with this amendment. helmets. islatures of other States, from Alaska The point is whether or not the Fed- In my view, our State legislatures to Florida and South Carolina, can dis- eral Government or any government provide a much closer representation of cuss the impact of this on the people of ought to be legislating or coercing sen- the views, the beliefs, and the will of their States rather than have the Con- sible behavior. There will be all sorts of the people in their respective constitu- gress hold hostage desperately needed ideas where people will say: Gosh, it is encies, in their respective States all funds for highways to make them com- in government’s interest—not just across our country. I am a firm be- ply with the one-size-fits-all edict and seatbelts but, gosh, you should not be liever that the laws of a particular agenda. drinking hot coffee, you should not be State do reflect the principles and the Proponents will say this initiative talking on the cell phone, and you views of its constituents and how they provides States with supposed options. should not be changing the radio sta- want to be governed. The reality is, by withholding highway tion or trying to find your Alan Jack- I hope my colleagues realize that funding, it is a de facto mandate. I do son CD while driving. You should not many States do not have primary seat- not believe in blackmailing the people be eating a hamburger while driving. belt laws. In fact, 30 States do not. of the 30 States, or any State with pri- You ought not be looking at your While New York and New Jersey have mary seatbelt laws for funding that Blackberry and replying while driving. primary enforcement, as do Maryland, their citizens have paid into the Fed- If there are going to be laws in this Delaware, and California, there are 30 eral highway trust fund. area—which I do not advocate—it States, from Maine to Virginia, to ought to be at the State level. South Carolina, to Florida, to Mis- I have watched this debate very Any of these examples I cited, obvi- souri, to Nevada, Idaho, Arizona, and closely on the reauthorization. We ously, endanger not only the driver but Alaska, that do not. If such seatbelt have heard the vast majority of Sen- others. laws are desired, the citizens in these ators, thank goodness, laud the poten- I thank my colleague from Missouri, States will elect representatives and tial of this measure to create thou- Senator BOND, for his great leadership State legislators who share this belief sands of jobs in their States and obvi- on the highway bill, and also his sup- and who want to pass such a petty law. ously alleviating aggravating conges- port for the principles I will continue A minority of the States currently tion in metropolitan and suburban to espouse to my colleagues on this have the primary enforcement of seat- areas of our country. If that is the mandatory seatbelt dictate amend- belt laws. I am sure it has been consid- case, why should we, as a Federal Gov- ment. ered by State legislatures. It has been ernment, withhold any portion of this I don’t think this body wishes to dic- considered in Virginia for many years funding, given its great prospects for tate mandates on a lot of things be- and debated as to the benefits of pri- jobs and also its ability to improve the cause they make good sense. Let’s look mary seatbelt statutes. Never, though, quality of life? Our Commonwealth of at law enforcement. I am sure there are has it been agreed to be the law of the Virginia would lose tens of millions of some in law enforcement officers who Commonwealth of Virginia. In fact, dollars until enacting a primary seat- like this idea of primary enforcement just last week the Virginia House of belt law or convincing the federal gov- rather than secondary enforcement. In Delegates Transportation Committee ernment ninety percent of Virginians my view, law enforcement has a lot of tabled a measure that would have es- are wearing seatbelts. important things to do, especially on tablished a primary seatbelt law. Given the congestion in Hampton safety of the highways. Again, I am often puzzled by the Roads, northern Virginia, and the num- For example, there is a driver on the scant Federal nexus on this issue. Is it ber of Virginians seeking employment, road without his or her seatbelt on but that State roads go through other I cannot support a measure that would otherwise driving the speed limit in States? For the Federal Government to reduce the amount of benefits available their lane safely, not impaired by drugs usurp State authority on an issue that to Virginia. or alcohol; meanwhile, law enforce- does not concern the safety of the pub- I commend my friend and partner, ment stops them, pulls them over, and lic but only the individual in my view Senator WARNER, on what he has been it takes 20 to 30 minutes for them to is Federal meddling at its worst, espe- able to do over many years in getting cite someone who undoubtedly will be cially when coupled with repressive ex- Virginia’s share of Federal dollars up miffed by such pestering. At the same tortion. from 79 cents to 80 cents to 90 cents time, down the same stretch of high- When these issues are decided by and, in this measure, up to 95 cents. way there could be a drug-impaired or State legislatures, all sorts of inter- But Virginia is already paying in more alcohol-impaired driver weaving down esting things come up. There is natu- than we get back. In addition, pun- the road undetected because the sher- rally the libertarian streak, which my ishing the people of Virginia by with- iff’s deputy or the State trooper or the good friend, the senior Senator from holding until they are coerced in the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00009 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S966 CONGRESSIONAL RECORD — SENATE February 11, 2004 legislature into passing a primary en- reminded that when Ben Franklin crease in the use of seatbelts. The Sec- forcement of a seatbelt bill, to me, is emerged from the Constitutional Con- retary of Transportation, on behalf of wrong. vention, a reporter asked him: Well, the President, wrote this body a letter, I know what they will have to do; what have the delegates to the conven- addressed to the distinguished chair- they will have to pass it, just as they tion rendered America? He said: A re- man, Mr. INHOFE, which is in the had to pass in all the States raising the public, if you can keep it. And this is RECORD. It explicitly says the increase beer drinking age and the .08 blood al- the very essence of the Republic, if we in the use of seatbelts saves lives. I do cohol content maximum. The latter did can keep it, because here we are, two of not think throughout this debate—I not have an impact in Virginia because the best of friends, proud to represent have been here throughout this de- as Governor I advocated .08 and we en- the Commonwealth of Virginia, and 90 bate—not one single Member of the acted into law. percent of the time we are aligned. Yet Senate has taken the floor and ad- States need the funds for roads and our system allows the two of us to de- dressed this legislation that it does not transit. It is contrary to the best inter- bate opposite positions on a piece of save lives. That is a given. ests of Virginia to force primary seat- legislation I offered. I think that is So let’s go back to the .08 law. Is that belt mandates in exchange for funds. magnificent, not only for our State but not a direct precedent for this piece of We ought to be making the most fund- for the country. legislation? This legislation is drawn, ing available for highways rather than Mr. ALLEN. If I may, I would much sentence by sentence, comparable to returning less of Virginia gasoline rather be debating this issue with your the .08 law. That was my objective. taxes to them until they pass such an colleague on this, the junior Senator Mr. ALLEN. I say to my colleague, officious measure as this. from New York. It would be much more the senior Senator from Virginia, it is There are more effective ways to con- enjoyable than with someone who is similar in some respects. vince Americans to wear seatbelts such a great partner. I yield back. Let me make a few points. Talking when driving or traveling in an auto- Mr. WARNER. I believe there would about cost—local rescue squads, volun- mobile or pickup truck. But meddling be somewhat greater notoriety, but I teer fire departments, and so forth, into every aspect of our citizens’ lives, think some of the folks down in Vir- having to work accidents—well, it is usurping the authority of the people ginia would be rather amused that here not as if the State legislatures do not through their legislatures, holding hos- we are, the two elected Senators, hav- care about these costs because, after tage infrastructure funds that are so ing an honest and forthright debate, all, if it is State police or if it is local needed, to me, is not the appropriate and in a friendly spirit. supervisors or whoever it may be, they method to realize these salutary goals. But I picked up on one or two of your all care about that as well. And that is As I said, I have a great deal of re- words. I know you love that word, Con- the proper forum for this because I gress being the ‘‘nanny.’’ But, first, I spect for Senator WARNER. I know he think the people in the States do care cares passionately about this issue, but ask my junior Senator, have I ever just as much if not more and are much I don’t believe this is in the best inter- been a nanny toward you? more in tune with what they would Mr. ALLEN. Of course not. like to do in their laws than the Fed- ests of the Commonwealth of Virginia Mr. WARNER. Fine. or 49 other States. In my view, it con- Mr. ALLEN. I wouldn’t allow it, and eral Government. tinues a dangerous precedent that al- you wouldn’t either. The difference on .08—I did allude to lows the Federal Government to fur- Mr. WARNER. So be it. Let’s put it, and it is a good, probative ques- ther encroach on an issue traditionally that to one side. tion—the .08 blood-alcohol level for determined by the States by with- Mr. ALLEN. I would say for the drunk driving, or driving while under holding these infrastructure funds. record, Mr. President, no, the senior the influence of alcohol, is something This is simply not an issue for the Sen- Senator from Virginia has given me that I advocated when you were along- ate. It is not an issue for Congress to guidance but never in a sense of being side of me campaigning for Governor in decide. It is clearly properly reserved an officious nanny whatsoever. 1993. There was opposition to that. But to the people in the States. Mr. WARNER. Nor will I ever be- I thought, as well as you do, that at .08 I hope my colleagues will join me in cause I have tremendous respect for most people are going to be impaired opposing this amendment, tabling it, the Senator. We come to the Senate and, therefore, a danger, in that case to however it comes before the Senate. I with different career backgrounds: themselves, but what I cared most certainly do not want to play the role You, a very distinguished State legis- about was the danger to others. of ‘‘father knows best’’ or senatorial lator, then Governor, and now U.S. In the case of somebody’s lap, wheth- nanny to coerce or reverse the deci- Senator. How well I know that. I cam- er they are wearing a seatbelt or not, if sions clearly made by my State’s legis- paigned as a U.S. Senator when you it is a danger, it is only a slight in- lature or, for that matter, 29 other were a State legislator, when you were crease in danger to themselves. It is States. running for the governorship, and then not a danger to others on the road. Let there be no mistake. I strongly for the Senate. I am privileged and de- Whereas, for somebody who is a drunk support greater seatbelt usage. I be- lighted that the Senator is here. driver, clearly it is going to be a dan- lieve it can save lives on our roads and But you used one word I have to ask ger to themselves, but what might they highways. But I do not support that you to reconsider: This will establish a do to an innocent pedestrian, somebody usage coming as a result of a dictate dangerous precedent. I ask my good else driving on the road? So even .08, and blackmail from ‘‘Federales’’ here friend—Virginia has the .08 drinking while we had it—and so the dictate and in Washington, DC. law, which has been very effective. It the extortion, whatever term you want Let’s not meddle with the laps of has saved lives. That is the purpose of to use on .08, it did not matter to Vir- drivers driving safely down the road as this legislation, to save lives. To me, a ginia because we had already passed adults. Let’s trust free people to make little less concrete, a little less as- that law, imagine that, without the these decisions and their State legisla- phalt, and we may save a life, and we wisdom of Washington. We actually did tures as to what they think the laws may save thrusting expenses on the that. The point is, in this case, unlike and enforcement ought to be, whether local communities—whether it is the a drunk driver, not wearing a seatbelt it is helmet laws or whether it is seat- small community of Hopewell, VA, or is not a danger to others, while a drunk belt laws. Let’s also pass this otherwise the large community of Richmond. driver is. And that is a distinction I beneficial bill that will help reduce When an accident happens, they are would make. congestion and help create jobs in our the ones who bear the cost of sending But in either case, just personally— country. out the police, the rescue squads—for- this is just philosophical to me, and Mr. WARNER. Mr. President, will the tunately, Virginians volunteer in many maybe it is because of my experience distinguished Senator, my dear friend, instances—to attend to the wounded, serving in the State legislature and as yield for some questions? the sick, and, indeed, the dying as a Governor—I think the people in the Mr. ALLEN. I would be happy to. consequence of the accident. States are perfectly capable of making Mr. WARNER. I think as the two of That is costly, and it is clearly docu- these judgments themselves. And to re- us are here on the Senate floor, I am mented that we save lives with the in- strict or take away funds unless you

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00010 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S967 follow the dictates of the Federal Gov- other vehicle, or the pedestrian. For a If you go back, as I have done, and ernment in something that while desir- very few cubic yards of concrete and studied the .08 law, it was vigorously able is not really the proper jurisdic- asphalt, we may well save a life. resisted here on the floor of the Senate tion of the Federal Government, to me, Mr. INHOFE. Mr. President, may I repeatedly for the very same reasons is just wrong. make a parliamentary inquiry. you have given. But once it was passed Mr. WARNER. Mr. President, I say to The PRESIDING OFFICER (Mr. GRA- and it became mandatory, suddenly the the Senator, I full well know, having HAM of South Carolina). The Senator States joined up. There are now 49 had the privilege of working with you from Oklahoma. States that have the .08 law as a direct throughout much of our public service Mr. INHOFE. Which of the two dis- consequence of the Congress having careers, your strong feeling about tinguished Senators from Virginia has given the impetus for those additional States rights. And I have mine also. the floor? States that were hanging out, all of But I have to tell the Senator, the The PRESIDING OFFICER. The jun- which you just enumerated; in this in- facts do not bear out the assumption ior Senator. stance they joined. that that individual driving without Mr. WARNER. I can answer that, the Lastly, I think it is also important in the seatbelt is of minimal danger to an distinguished junior Senator has the the debate to mention your own per- innocent person, be it a pedestrian or floor. sonal experience of an individual who one in another car, for this reason: It is The PRESIDING OFFICER. The dis- was concerned that it would begin to very clear that if an accident occurs tinguished junior Senator. have cars pulled over by virtue of race. with an individual driving under the Mr. INHOFE. I thank the Chair. But one of the most interesting indi- restraint of a seatbelt, he or she has, in Mr. ALLEN. Mr. President, I imagine viduals who attended a press con- that split fraction of a second, better the manager of this measure, the chair- ference the day before yesterday was a control over the car than one who is man, Senator INHOFE, may want to black legislator from Arkansas who is totally jostled out of the driver’s posi- speak on this. I will just say I very chairman of the National Conference of tion and loses the ability to operate much enjoyed listening to the argu- Black State Legislators. He brought the controls of the car because of the ments of my esteemed senior colleague with him that organization’s endorse- absence of a restraint to keep that in- from Virginia, Senator WARNER. I was ment of this bill. So I do believe there dividual in the position of the driver. just thinking, this is the sort of argu- is some legitimate difference within Now, the record is replete with those ment that ought to be made in Mr. one minority with respect to the ques- facts. Secondly, yes, you think the peo- JEFFERSON’s capital. If you look at all tion of how this law will be felt. ple of Virginia—and we love them dear- the rest of the States, folks care about Five States had 21 minimum drink- ly and they will be on your side, not on kids. There are laws requiring children ing age, when President Reagan, your mine; they will be on your side—should under certain weights and ages to be in idol and mine, signed that into law. So make the decision. But, tragically, for car seats and they do have to be buck- I am just telling you, .08 is an example children, 6 out of 10 die who do not led up. of how Congress finally acted, and then have the seatbelt put on them. Here you have the States of Maine, all the States, save one—I won’t men- By the driver putting on his or her New Hampshire, Vermont, according to tion the one; somebody can do their seatbelt, there is more of an inclina- the Advocates for Highway and Auto homework; it is rather curious which tion, then, to do the same with the Safety, Massachusetts, Rhode Island, State it is—have accepted the .08 law. other passengers in the car. The death Pennsylvania, West Virginia, Virginia, I say to my good friend, we have had on our highways today cuts into the Ohio, Kentucky, Tennessee, South a marvelous debate. I have enjoyed it. young people, the younger generation Carolina, Florida, Mississippi, Arkan- My respect for him as a consequence of the debate has increased, my dear coming along behind us far more deep- sas, Missouri, Wisconsin, Minnesota friend. ly than our age group. The main cat- that don’t have primary enforcement of seatbelt laws, they probably have Mrs. CLINTON. Will the distin- egory of deaths in this country, on the guished Senator from Virginia yield for highways, is between the ages of about secondary enforcement laws like Vir- ginia. Additionally, North and South a question? 17 and 30. There is the preponderance of Mr. WARNER. Yes. deaths. Dakota, Nebraska, Kansas, Colorado, Mr. ALLEN. What is the question? How well you know and I know when Wyoming, Montana, Idaho, Nevada, The PRESIDING OFFICER. The Sen- we were that age, you know: The laws Utah, Arizona, and Alaska. ator from New York is asking the Sen- be damned; we can handle anything. Those folks, if they want to pass ator to yield for a question. That is the magnificence of youth, these laws, I guarantee, none of them Mr. ALLEN. I will yield, but before I the exuberance, to meet the challenges, have anyone as articulate and persua- do, I want to make a statement. After whatever they are, and ‘‘don’t tell me.’’ sive and passionate and caring about that I would be happy to answer a ques- I always admire that flag of New this issue and America than John War- tion. Hampshire that says: Don’t tread on ner. I am not suggesting the Senator This is the fundamental difference. me. But now and then we have to tread join a State legislature. But those On .08, as Governor, as a candidate, I ever so lightly upon our citizens to in- folks can come to these conclusions. thought it was a great idea. The reason duce them to take those fundamental They can look at their statistics. They all the States have the .08 but for one steps, not only to protect themselves also could make these decisions. is because you are withholding or the but to protect that innocent victim on In addition to that, to say States Federal Government is saying we are the streets or in another vehicle. that are sending Federal gas tax money going to withhold some of your high- This formula is drawn up, yes, that up to Washington are going to get less way funds for it. It is blackmail. It is some funds are withheld if the State back unless they comply with an issue extortion, raising the beer-drinking does not go ahead. We only lost by one that is their purview, I think is wrong. age in Virginia because of that. Ronald vote in the Virginia General Assembly It is an honest disagreement, a dif- Reagan is my hero. He is the one who on two occasions to get this very piece ference in philosophy. I very much re- motivated me to get into organized of legislation. You acknowledge that spect and appreciate Senator WARNER’s politics. I think he was wrong to do fact. true and sincere beliefs. I still respect that. I think for people who are 18, the Mr. ALLEN. It has failed for many him and always will. This will probably States can make these decisions. They years. be a close vote. It is just to me a place can enter into binding contracts. They Mr. WARNER. One vote. All I am we should not be dictating a course to can vote for President, vote for Mem- saying to you is, if you just require the the States in matters that are right- bers here, and they can also theoreti- State, all right, if you don’t do it, you fully their prerogative. cally be drafted to fight and poten- will have to give up a little asphalt, a Mr. WARNER. Will the Senator yield tially die for their country. I think the little more concrete, but in return we for one further point? people of the States can make those de- are saving lives, not only the lives of Mr. ALLEN. I surely will. cisions. the young people in that car but the in- Mr. WARNER. He enumerated a num- On this issue, in particular, the .08, I nocent victims, the passengers of an- ber of States that still do not have it. am with you, I am for it. I think that

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00011 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S968 CONGRESSIONAL RECORD — SENATE February 11, 2004 should be done at the State level. The as a selling point rather than a Govern- line. The L.A. Times wasn’t the only mandatory seatbelt law and primary ment dictate. But not wearing a seat- newspaper surprise. The Seattle Times enforcement is something that when I belt does not proximately cause death. headline read: ‘‘Bush Report: Sending held Mr. Jefferson’s seat in the House Mrs. CLINTON. Mr. President, I Jobs Overseas Helps U.S.’’ The Pitts- of Delegates I voted against. So if I clearly have a fundamental disagree- burgh Post-Gazette reported: ‘‘Bush have voted against it and was opposed ment with the views of the junior Sen- Economic Report Praises ‘Outsourcing’ to this nannyism when I was in the ator from Virginia. I hope our col- Jobs.’’ The Orlando Sentinel said: State legislature, I know the air is leagues will look at the facts. The facts ‘‘Bush Says Sending Jobs Abroad Can more rarified up here, but I still have are that failure to enforce seatbelt be Beneficial?’’ some of those senses. I certainly do not laws, to make it absolutely clear that Where did this come from? It came want to do something in the Senate I there are penalties associated with not right from the White House. According would not want to do as a legislator wearing seatbelts, causes deaths from to Gregory Mankiw, the President’s and, moreover, tell the folks in other accidents that would otherwise not chair of the Council of Economic Ad- States to do it. cause fatalities. visers: With that, I yield to the junior Sen- This amendment will help us encour- Outsourcing is just a new way of doing ator from New York. age States to adopt stricter seatbelt international trade. More things are tradable Mr. WARNER. If I could just make laws. We give them an option. I hope than were tradable in the past. And that’s a one reply to my colleague and then we our colleagues will join with us in vot- good thing. will yield the floor. This bill is care- ing for this very important safety I know the Presiding Officer shares fully crafted, that, yes, there is a with- measure. my concern about lost jobs. He sees it holding of those yards of concrete and I thank the Senator for yielding the in his State, as I see it in my State. I asphalt, but once the State complies, floor. don’t think losing American jobs is a what has been withheld by way of funds Mr. ALLEN. Mr. President, I do yield good thing. The folks at the other end comes back to them to go right into the floor. of Pennsylvania Avenue apparently do. Maybe that is because they have no the mainstream of their funding, not AMENDMENT NO. 2311 real strategy of creating jobs in Amer- unlike .08. (Purpose: To express the sense of the Senate Mr. ALLEN. Understood. I yield to concerning the outsourcing of American ica. Maybe that is why in this budget the Senator from New York. jobs) they have sent up they are gutting in- Mrs. CLINTON. With respect to this Mrs. CLINTON. Mr. President, I also vestments in workforce training and legislation that I am a proud cosponsor rise today to offer an amendment that dislocated worker help, and they are of, along with the key sponsor and ad- is a sense of the Senate on an issue I not pushing for stricter standards in vocate, the senior Senator from Vir- spoke briefly about on the floor yester- trade agreements on labor and the en- ginia, I ask unanimous consent that day. I know the majority leader and vironment. They are really coming forward with no plan to help control Senator CORZINE be added as a cospon- several others touched on it this morn- sor as well. ing. It is regarding the issue of jobs and health care costs or pension costs fac- The PRESIDING OFFICER. Without the administration’s economic policies. ing American companies. The only economic policy they have objection, it is so ordered. This sense-of-the-Senate amendment is to cut taxes, cut taxes, cut taxes. Mrs. CLINTON. With respect to the is on an issue that is of critical impor- The more, the merrier. Give those debate that has been occurring, I un- tance to New Yorkers and all Ameri- CEOs and wealthy folks at the top even derstand the concerns raised by the cans, the loss of jobs in our country. more money to take jobs and move Senator from Virginia, but under this We have lost 2.2 million jobs since the them out of our country. amendment States would have the op- beginning of this administration. This It is all starting to make sense. The tion of either enacting a primary seat- sense of the Senate is not about cut- administration thinks moving jobs belt law or bringing their seatbelt ting or raising taxes; it is about pro- overseas is a good thing. This is part usage rates up to 90 percent without tecting the jobs that Americans have and parcel of a set of economic policies such a law. Therefore, it is an option today, because these 2.2 million people that are out of touch with the needs of provided today. Would the Senator are not statistics; they are factory America’s working people. from Virginia agree that the lack of workers, office workers, laborers, engi- I now send this amendment to the seatbelt usage causes up to 30,000 peo- neers, radiologists—people holding desk. I hope this Congress will take up ple a year to die in automobile acci- down jobs in every sector of the econ- this issue as quickly as possible, be- dents that occur on our highways and omy throughout our Nation. cause we need to send a clear message byways in this country? Why are they losing jobs? Because to Americans of all political persua- Mr. ALLEN. Mr. President, I say to this administration has failed to pro- sions, in all regions of our country, the junior Senator from New York—her vide the leadership or put forth an eco- that we care about jobs. If the adminis- question was do I agree that not wear- nomic plan that inspires confidence in tration doesn’t have a strategy, then ing seatbelts causes 30,000 deaths? No. our markets and inspires investments this Congress will have a strategy. I Not wearing them doesn’t cause death; by our companies in the United States. ask for immediate consideration of this death is caused when somebody is So where are these dollars and in- amendment, and I ask that Senator drunk or impaired by drugs, not paying vestments going? They are going over- BINGAMAN be added as a cosponsor. attention, or speeding, or taking a turn seas, where companies don’t have the I yield the floor. too quickly. The sole fact of not wear- same environment and labor standards, The PRESIDING OFFICER. The ing a seatbelt is not the proximate and where they don’t have to pay the clerk will report. cause of the death. Whereas, if you wages that are necessary to support a The legislative clerk read as follows: look at the statistics, impaired driving middle-class lifestyle in America. The Senator from New York [Mrs. CLIN- is clearly the No. 1 cause of fatalities, Now, these lost jobs are a tremen- TON], for herself and Mr. BINGAMAN, proposes and not just of drivers but also those dous concern to those of us in this an amendment numbered 2311. who are not. Chamber. I hear about it everywhere I Mrs. CLINTON. Mr. President, I ask Having said that, I do think it is a travel in New York. You would think if unanimous consent that further read- good idea to wear seatbelts. I have no there could be a consensus on anything ing of the amendment be dispensed objection to it. I think airbags are a in this Nation, it would be on how we with. great invention. There were those in keep jobs in America, how we prevent The PRESIDING OFFICER. Without previous years wanting to dictate to jobs from being outsourced, sent over- objection, it is so ordered. the manufacturers to put airbags on seas. But apparently there is no con- The amendment is as follows: their cars. People realized that airbags sensus. That is what is troubling me. At the appropriate place, insert the fol- could save lives. Whether somebody is According to the Los Angeles Times lowing: SEC. ll. SENSE OF THE SENATE CONCERNING wearing a seatbelt or not, of course, yesterday, ‘‘Bush Supports Shift of THE OUTSOURCING OF AMERICAN the maximum safety is the airbag. Car Jobs Overseas.’’ I did a double take. I JOBS. manufacturers are using that accessory could not believe that was the head- (a) FINDINGS.—The Senate finds that—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00012 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S969 (1) the President’s Chairman of the Council This 90-percent belt use rate is not a are to achieve a 90 percent belt use rate of Economic Advisors recently described the number that I have invented. It is the by 2006—2 years from now—or have a outsourcing of American jobs overseas ‘‘as a figure recommended in the President’s primary seatbelt law enacted. good thing’’ and said, ‘‘outsourcing is just a highway reauthorization bill. If a State does not meet either of new way of doing international trade’’; Wearing seatbelts is a critical public (2) the President’s economic policies have these two provisions, 5 percent of one either failed to address or exacerbated the health and safety issue. For the first category of their construction funds loss of manufacturing jobs that our country time in a decade, highway deaths are are transferred to their highway safety has experienced over the last 3 years; on the rise. In 2002, nearly 43,000 per- programs. The purpose of this transfer (3) American families are facing an econ- sons were killed on our highways and is to provide States with additional omy with the fewest jobs created since the over half of these deaths involved peo- funding to dedicate to their own pro- Great Depression; ple who were not wearing their seat- grams to encourage drivers and pas- (4) 2,900,000 private sector jobs have been belt. sengers to wear their seatbelts. lost since January 2001, including 2,800,000 If for no other reason to support this manufacturing jobs; amendment, we must protect our Na- If by 2008—4 years from now—a State (5) on several occasions the Senate has sup- tion’s youth. Today, automobile crash- has not met the 90 percent belt use rate ported reforming our tax laws to eliminate or has not enacted a primary seatbelt policies that make it cheaper to move jobs es are the leading cause of death for Americans age 2 to 34. law, 2 percent of a portion of their con- overseas; and struction funds are withheld. For each (6) job creation is essential to the eco- These tragic statistics are reversible nomic stability of the United States and the if we take action today. of the following years, 4 percent of a Administration should pursue policies that That is why over 130 organizations portion of their funds are withheld. serve as an engine for economic growth, are endorsing this amendment. The States will receive any funding that higher wage jobs, and increased productivity. support includes major national orga- is withheld when they reach the 90 per- (b) SENSE OF THE SENATE.—It is the sense nizations such as the American Med- cent belt use rate, or enact a primary of the Senate that the Senate should— ical Association, law enforcement offi- safety belt law. This is the same provi- (1) oppose any efforts to encourage the outsourcing of American jobs overseas; and cials, major insurance companies, the sion that is law today for the .08 BAC (2) adopt legislation providing for a manu- Alliance of Automobile Manufacturers, drunk driving standard. Since it was facturing tax incentive to encourage job cre- Mothers Against Drunk Driving, and enacted in 2001, 47 States now comply. ation in the United States and oppose efforts the list goes on. There is a solution to the tragic to make it cheaper to send jobs overseas. These are the people who deal every deaths that are occurring on our high- Mr. BOND. Mr. President, I suggest day with the wasteful and avoidable ways every day. This amendment is the the absence of a quorum. deaths on our highways. They are on beginning. Let’s do what we know The PRESIDING OFFICER. The the front lines in responding to a crash. works to save lives on our highways. They are in our hospitals providing clerk will call the roll. Let’s not pass the buck by believing The legislative clerk proceeded to care to those who have sustained seri- that it is the responsibility of others to call the roll. ous injuries because a seatbelt was not take action. It is our responsibility. I Mr. INHOFE. Mr. President, I ask worn. They are the ones who see ever- urge my colleagues not to support the unanimous consent that the order for increasing insurance costs for all motion to table. the quorum call be rescinded. Americans because seatbelts are not The PRESIDING OFFICER. Without used. They are the ones who know that Mr. INHOFE. Mr. President, as al- objection, it is so ordered. safety devices in our cars—such as air ways, the Senator from Virginia was AMENDMENT NO. 2286 bags and enhanced bumpers—are less very courteous yesterday to modify his Mr. WARNER. Mr. President, yester- effective when seatbelts are not worn. amendment to give States more time day I had an opportunity to offer the My colleagues who do not support to comply with the requirements of his amendment which is now pending be- this amendment have read letters of amendment. I sincerely appreciate his fore the Senate and to engage in debate concern from State groups and others. willingness to do so. Unfortunately, my with my colleagues on the important That is no surprise. At every turn in underlying concern with imposing issue of increasing the use of seatbelts our Federal transportation policy for sanctions still requires that I oppose in this country. the past 15 years these same groups the amendment. At the request of my colleague, the have opposed every public safety ini- Two days ago, the U.S. Department manager of the bill, Chairman INHOFE, tiative. They opposed raising the min- of Transportation released a statement my amendment was modified last night imum drinking age to 21, they opposed on sanctions and withholding Federal to give States a full 2 years before it the zero tolerance for minors alcohol funds from States which do not have a takes effect. program, and they opposed the .08 BAC primary seatbelt law. The statement I wish to take a few moments to sum- drunk driving level. reads as follows, and I quote: My only interest is to ensure that marize this amendment and be sure The Bush Administration’s continuing ef- that my colleagues understand pre- this critically important legislation forts to increase local enforcement and edu- cisely what this amendment is and contains some meaningful protections cation have boosted safety belt use to the what it is not. for drivers and passengers. highest level in U.S. history. The Adminis- To the point, this amendment is not In TEA–21, there was a 40-percent in- tration opposes sanctions and withholding a mandatory seatbelt law. crease in construction funding, which I state funds, both of which would jeopardize This amendment sets as our national proudly supported, to make our roads important state-level safety programs and policy that States are to reach a 90- safer. Yet, traffic deaths are increas- infrastructure maintenance programs al- percent seatbelt use rate by 2006—a full ing. In SAFETEA, there is a $65 billion ready in place. 2 years from now. increase for highway construction, yet The Administration is working hard to States can meet this goal in two inadequate protections for our drivers. help pass primary safety belt laws through- ways. First, they can meet this goal by out the country, and we’re seeing results. No engineering features of our roads Twenty states and the District of Columbia any means or programs they devise. will protect against reckless driving already have primary laws. And many other They can implement new programs or behavior. That is what causes a major- states, including Florida, South Carolina, modify their existing occupant protec- ity of our accidents. Ohio, Arizona and Virginia are currently tion programs. Funding is also pro- Unbelted drivers, speed, and alcohol considering primary laws—with our help, not vided to assist States with imple- remain the three biggest safety prob- with mandates. menting or expanding their existing lems on our roads—not unsafe roads. The Administration calls on Senator War- programs. This language is identical to We are taking meaningful steps to get ner to join us in helping Virginia state legis- the provisions recommended in the ad- tough on those who irresponsibly use lators understand the need for a primary ministration’s bill, but it is not in- alcohol and drive. Now it is time to do safety belt use law. cluded in the bill before us. what we know works to address the As I said yesterday, I support the use States can also meet the require- other major problem—unbelted drivers. of seatbelts, and I would suggest that ments of the amendment by enacting a For the benefit of my colleagues, let instead of threatening the states with primary seatbelt law. me summarize the amendment. States a stick the better approach would be to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00013 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S970 CONGRESSIONAL RECORD — SENATE February 11, 2004 induce them to achieve better perform- [Rollcall Vote No. 9 Leg.] We have seen in a small number of ance in this area with some kind of in- YEAS—57 States liability being imposed on rent- centive. Title IV, Surface Transpor- Alexander Daschle Leahy al and leasing companies without fault. tation Safety, of the pending sub- Allard Domenici Lott It has cost car and truck renting and stitute, contains an incentive grant Allen Dorgan Lugar Baucus Ensign McConnell leasing companies more than $100 mil- program. As proposed by the Commerce Bennett Enzi Miller lion annually. The problem is these Committee, this $100 million per year Bond Feingold Murkowski costs don’t just come out of the pock- incentive grant provision would go a Brownback Graham (FL) Nelson (NE) ets of those in that State; they are paid long way to achieving the goals that I Bunning Graham (SC) Nickles Burns Grassley Reid nationally. believe my colleague from Virginia is Byrd Gregg Roberts When any of us go to rent or lease a trying to accomplish in his amend- Campbell Hagel Rockefeller car, we are paying far more than we ment. Chambliss Harkin Santorum Offering incentive grants to States Cochran Hatch Snowe otherwise would because they have had Coleman that pass a primary seatbelt law or in- Hutchison Specter to cover the costs of outrageously high Collins Inhofe Stevens judgments imposed by a few States crease their seatbelt use rate is a much Conrad Jeffords Sununu better approach to this problem than Cornyn Johnson Talent which allow this bicarious liability combination of mandates and pen- Craig Kohl Thomas language and bicarious notion to apply. Crapo Kyl Voinovich alties. History has also shown that so In other words, if you are in New far, no State has been able to achieve NAYS—41 York, for example, and you have leased the benchmark level of a 90 percent Akaka Dole Mikulski a car, if you go out and hit somebody, seatbelt use rate without enacting a Bayh Durbin Murray it doesn’t matter whether the leasing Biden Feinstein primary law. Ultimately we all know Nelson (FL) Bingaman Fitzgerald Pryor company is at fault. The leasing com- that the decision to pass a primary law Boxer Frist Reed pany is the one that is sued. If there is is up to each state individually. Al- Breaux Hollings Sarbanes $100 million judgment against that though neither a sanction, nor an in- Cantwell Inouye Schumer company, guess who pays for it. Not Carper Kennedy Sessions centive approach is guaranteed to prod Chafee Landrieu the people who lease the car in New Shelby every State to produce results, the in- Clinton Lautenberg Smith York but all of us as consumers who Corzine Levin centive method is the much better op- Stabenow may go out to lease a car in all of the tion. In a bill where money is tight, I Dayton Lieberman DeWine Lincoln Warner 50 States. am grateful that the Commerce Com- Wyden Dodd McCain Therefore, the amendment I am pro- mittee saw fit to apply some of those NOT VOTING—2 posing says provided there is no neg- limited funds to this purpose. With that in mind, I question what the ben- Edwards Kerry ligence or criminal wrongdoing on the efit would be of having both an incen- The motion was agreed to. part of the owner of a motor vehicle, tive and a penalty, where just an incen- The PRESIDING OFFICER. The Sen- no such owner engaged in the trade or tive would do. ator from Tennessee. business of renting or leasing motor ve- Currently, only 20 of the 50 States CHANGE OF VOTE hicles may be held liable under State meet the requirements laid out in the Mr. ALEXANDER. Mr. President, on law for harm caused by a person to mandate offered by the good senator rollcall vote 9, I voted nay. I intended himself or herself, another person, or from Virginia. I can’t get over the fact to vote yea. Therefore, I ask unani- to property which results or arises that 30 States would be immediately mous consent that I be permitted to from that person’s use, operation, or thrust into noncompliance and subject change my vote since it will not affect possession of a rented or leased motor to a possible cut in Federal funding the outcome. vehicle by reason of being the owner of under this plan. The PRESIDING OFFICER. Without such motor vehicle. As I have said before, my home State objection, it is so ordered. In other words, if the owner of the of Oklahoma is already in compliance (The foregoing tally has been vehicle hasn’t done anything wrong— with the requirements proposed in this changed to reflect the above order.) there has been no negligence, no crimi- Mr. BOND. Madam President, I move new sanction, but I fundamentally op- nal wrongdoing—but the person who pose any imposition of new sections. As to reconsider the vote. Mr. REID. I move to lay that motion leases that car goes out and has a hor- much as I personally agree with using rendous wreck, the person who has seatbelts, I have to recognize that the on the table. The motion to lay on the table was leased the car is the one who ought to only proper place for this decision to be be held responsible. made is in each State legislature, not agreed to. in Washington, DC. The PRESIDING OFFICER. (Ms. We should not have to finance jack- Mr. President, I move to table the MURKOWSKI). The Senator from Mis- pot judgments against leasing compa- Warner amendment No. 2286, as modi- souri. nies that pass those costs on to all of fied, and ask for the yeas and nays. Mr. BOND. Madam President, I rise us across the Nation whenever we go to The PRESIDING OFFICER. Is there a to discuss a second-degree amendment lease or rent a car or a van. Consumers sufficient second? that I intend to offer. It deals with a nationwide are being hurt by these There appears to be a sufficient sec- very important problem in the national higher rates—not just consumers in the ond. interest—assuring that rental and leas- bicarious liability States. ing car operations can be performed in The question is on agreeing to the These laws apply where the accident all 50 States. motion to table amendment No. 2286, occurs. It does not matter whether the Right now there are several States as modified. The clerk will call the car or truck was rented or leased. roll. which have something called unlimited bicarious liability. Under this, if a leas- Since companies cannot prevent their The legislative clerk called the roll. vehicles from being driven to a Mr. REID. I announce that the Sen- ing company leases a car or a vehicle to a person who appears to be a reason- bicarious liability State, they cannot ator from North Carolina (Mr. prevent their exposure to these laws, EDWARDS) and the Senator from Massa- able and responsible driver who meets all of the requirements, and that per- and they have to raise their rates for chusetts (Mr. KERRY) are necessarily all of us accordingly. absent. son goes out and has a horrendous acci- I further announce that, if present dent, in a few States the victims and In addition, we have also seen that and voting, the Senator from Massa- the personal injury lawyers are enabled these higher costs drive many small chusetts (Mr. KERRY) would vote to sue the leasing company which had companies out of business. Actually, a ‘‘nay.’’ no control over the car or truck or van small company trying to engage in the The PRESIDING OFFICER (Ms. MUR- and had no evidence of negligence or business of renting or leasing may find KOWSKI). Are there any other Senators shortcomings in their procedures in itself caught in one of these bicarious in the Chamber desiring to vote? leasing that vehicle. There have been liability States and wind up with a The result was announced—yeas 57, hundreds of millions of dollars of judg- judgment that puts them out of busi- nays 41, as follows: ments. ness. This is a death knell for small

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00014 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S971 businesses in the leasing and rental law in the State in which the vehicle is reg- ployment benefits and had no Federal business. That is why we have to do istered. program to pick them up. That is 1⁄2 something about it. ‘‘(c) APPLICABILITY AND EFFECTIVE DATE.— million people who have gone without Notwithstanding any other provision of law, Accident victims in bicarious liabil- this section shall apply with respect to any aid since the program stopped accept- ity States would not be left out in the action commenced on or after the date of ening new applicants. Put yourself in cold. They would be compensated ac- actment of this section without regard to that position and understand that if cording to the same standard used by whether the harm that is the subject of the unemployment benefits are not ex- the vast majority of States which do action or the conduct that caused the harm tended—and the economy grows at a not have bicarious liability laws. occurred before such date of enactment. very slow pace—by the end of the year, ‘‘(d) DEFINITIONS.—In this section: More importantly, accident victims ‘‘(1) MOTOR VEHICLE.—The term ‘motor ve- 2 million people will be cut off from in the same bicarious liability State hicle’ shall have the meaning given the term this program. For people without a would no longer be treated differently under section 13102(14) of this title. paycheck or an unemployment check, based solely on whether a vehicle in- ‘‘(2) OWNER.—The term ‘owner’ means a that means their families will continue volved was rented or leased instead of person who is— to be forced to make very tough deci- individually owned. In other words, if ‘‘(A) a record or beneficial owner, lessor, or sions. you are hit by a negligent driver in any lessee of a motor vehicle; A recent poll showed that over one- State, file suit against that driver and ‘‘(B) entitled to the use and possession of a half of the unemployed adults found motor vehicle subject to a security interest collect a judgment against that driver in another person; or they had to postpone medical treat- logically to be paid by the insurance ‘‘(C) a lessor, lessee, or bailee of a motor ment or cut back on food. One in four company of that driver, or if it is self- vehicle, in the trade or business of renting or has had to actually move out of their insured then that driver would have to leasing motor vehicles, having the use or house because of the cuts in unemploy- pay out of his pocket. possession of such motor vehicle, under a ment extension programs. More than That same standard still applies. lease, bailment, or otherwise. one-third have had trouble paying gas What we are saying is you can’t reach ‘‘(3) PERSON.—The term ‘person’ means any or electric bills. I am sure in my State out and bring in somebody who had individual, corporation, company, limited li- the number would be more than one- nothing to do with the accident and ability company, trust, association, firm, partnership, society, joint stock company, or third, given our high energy rates. My was not at fault. When we do that, we any other entity. amendment reinstates the Federal In- are going to provide relief for small ‘‘(4) STATE.—The term ‘State’ means each surance Unemployment Benefit Pro- businesses. We are going to provide re- of the several States, the District of Colum- gram and provides 13 additional weeks lief to the people who lease cars and bia, the Commonwealth of Puerto Rico, the of benefits to all States, carrying us rent cars and vans across the Nation. Virgin Islands, Guam, American Samoa, the through June. This provision would not allow a Northern Mariana Islands, any other terri- My colleagues ask, Why should we do company to escape liability if they tory or possession of the United States, or this? The economy is recovering. If we were at fault or negligent in an acci- any political subdivision of any such State, look at the facts and figures and com- commonwealth, territory, or possession.’’. dent in any way. (b) CLERICAL AMENDMENT.—The table of pared them to the last time we had a I ask that it be supported by my col- sections at the beginning of chapter 301 of recession, this point where we are in leagues. title 49, United States Code, is amended by our economy is still very dis- AMENDMENT NO. 2327 TO AMENDMENT NO. 2311 inserting after the item relating to section appointing. Last Friday, economists Mr. BOND. Madam President, I send 30105 the following: came out, for example, with a report on the amendment to the desk. ‘‘30106. Rented or leased motor vehicle safety our job growth and said it was ‘‘well The PRESIDING OFFICER. The and responsibility.’’. below market expectations,’’ and con- clerk will report. The PRESIDING OFFICER. The Sen- firmed that jobs in the markets in the The legislative clerk read as follows: ator from Washington. United States are still weak. While the Ms. CANTWELL. Madam President, I The Senator from Missouri [Mr. BOND] pro- economy created about 110,000 jobs last poses an amendment numbered 2327 to rise today to talk about the 2.4 million month—and that is a step in the right amendment No. 2311. jobs that have been lost in this coun- direction—it is a pretty small step in try. As we discuss investment in infra- Mr. BOND. Madam President, I ask the direction we need to go. structure, we need to keep in mind unanimous consent that reading of the My State of Washington, obviously, that investment in human infrastruc- has faced a lot of downturn because of amendment be dispensed with. ture is just as appropriate. There are The PRESIDING OFFICER. Without Boeing, because of high tech, and be- families out there who are continuing cause many workers throughout the objection, it is so ordered. to struggle to put food on the table, The amendment is as follows: State have been laid off as subsidiaries make sure they can take care of their to those large corporations and inter- (Purpose: To limit liability with respect to mortgage payment, and make sure ests. the owners of rented or leased motor vehi- they can take care of individual hos- cles) I hear colleagues on the other side of pital and insurance needs. I ask my In lieu of the language proposed to be in- the aisle saying once the economy colleagues to put themselves in the po- starts to recover, that is when we need serted, insert the following: sition of working men and women who to cut off unemployment benefits be- SEC. 1409. RENTED OR LEASED MOTOR VEHI- have lost their jobs and now have no CLES. cause people can still find jobs. The means to take care of their family (a) IN GENERAL.—Subchapter I of chapter point is during the 1990s, we had an ex- needs. 301 of title 49, United States Code, is amend- tension of unemployment benefits to ed by adding at the end the following: We have been before this body dozens of times now in the last several months take care of the downturn we were fac- ‘‘§ 30106. Rented or leased motor vehicle safe- ing in the economy, both started by ty and responsibility asking for an extension of unemployment benefits because the economy has the first Bush administration and then ‘‘(a) IN GENERAL.—Provided that there is by the Clinton administration, to help no negligence or criminal wrongdoing on the not truly recovered—certainly has not part of the owner of a motor vehicle, no such recovered from the 2.4 million jobs that take care of unemployment problems. owner engaged in the trade or business of have been lost. Yet dozens of times my During that time period in the early renting or leasing motor vehicles may be colleagues on the other side of the aisle 1990s recession, we were offering unem- held liable under State law for harm caused have objected. They have objected to ployment benefits for a 27-month pe- by a person to himself or herself, another this extension because they say we are riod of time. During that 27-month pe- person, or to property, which results or in fine economic shape. riod of time, we actually saw an in- arises from that person’s use, operation, or I will bet you that families trying to crease in 2.9 million jobs. The program possession of a rented or leased motor vehi- figure out how they meet those mort- worked well as the economy continued cle, by reason of being the owner of such to rebound and add more jobs. In the motor vehicle. gage payments would disagree with the ‘‘(b) CONSTRUCTION.—Subsection (a) shall kind of shape my colleagues think the 1990s, under two administrations, a Re- not apply if such owner does not maintain economy is in. publican and a Democrat, we said, let’s the required limits of financial responsi- In fact, in December, 90,000 people per extend unemployment benefits for 27 bility for such vehicle, as required by State week started exhausting their unem- months. The net result was 2.9 million

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00015 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S972 CONGRESSIONAL RECORD — SENATE February 11, 2004 jobs were created and we curtailed the curtailed and his inability to cover while the economy is just barely begin- benefit program. health insurance. ning to produce jobs, we expect you We have had this recession and down- Many people in my State ask what now to move out of your house, deal turn and we have only been going for 22 we are going to do about these unem- with not being able to cover health in- months of this program. We have only ployment benefits and whether we are surance, not being able to meet your been giving people who have been af- going to remember the working men family obligations, while we continue fected by this downturn in our econ- and women in our State who have con- to struggle to find jobs in this country. omy 22 months of unemployment ex- tinued to deal with this issue. I think it is irresponsible. I think my tension. During that same period we There are many constituents who colleagues should make sure we have a have actually seen a net loss of 2.4 mil- ask, what will it take to get the other vote on this amendment. We will con- lion jobs. side of the aisle to own up to the re- tinue, on this side of the aisle, to offer My colleagues on the other side of sponsibility that there are not jobs this amendment until we get a vote on the aisle say when the economy picks being created at a fast enough pace to it. up, we should curtail this program. put Americans back to work. Our past I yield the floor. What they should really ask is how bipartisan efforts by two administra- Mr. INHOFE. Madam President, I many jobs have we created during this tions, a Republican and a Democratic, suggest the absence of a quorum. time period, and are Americans finding did far better in addressing this issue The PRESIDING OFFICER. The jobs? If they are not finding jobs, how than we are doing today. clerk will call the roll. The assistant legislative clerk pro- can we cut them off from unemploy- I ask my colleagues to support a tem- ment benefits that are actually a stim- ceeded to call the roll. porary emergency employment com- Mr. KENNEDY. Madam President, I ulus to the economy in helping to pay pensation program through June. It is ask unanimous consent that the order the mortgage payments, covering the only responsible thing to do, to rec- for the quorum call be rescinded. health insurance, keeping families in ognize that men and women of this The PRESIDING OFFICER. Without their home, and not deterring us from country would rather have a job than objection, it is so ordered. economic growth? Every dollar spent an unemployment check. Without a Mr. KENNEDY. Madam President, on unemployment insurance generates check and without opportunities for most of us who had an opportunity to an additional $2 into local economies. jobs, we are doing neither them nor our get home to our own States and per- Let’s look at it a little differently economy any service. We need to do haps travel around the country re- during this time period of unemploy- the responsible thing and put them cently have found a number of con- ment benefits. The line on this chart back to work. That is why I am asking cerns of working families. It is pretty during 2002 continues to go down into my colleagues to do the fair thing and uniform. I certainly have found it so in the red. This is where we are thinking expand this program through June my travels in the State of New Hamp- about cutting off unemployment bene- with 13 weeks going to each State. shire and Iowa, out in the Southwest, fits. Yet we have had no job growth. Until then, we will not have the nec- Midwest, over recent weeks. Juxtaposed to what we did in the 1990s, essary tools to help Americans. Let’s One of the enduring issues, I find, we continued to increase the unem- help them with the unemployment ben- that is uniform across the country is ployment benefits as the economy grew efits and put them back to work. the state of our economy. It is re- and we did a better match of keeping I ask unanimous consent we lay aside flected in a variety of different ways. It Americans with some paycheck or un- the pending amendment and consider might be reflected in one family which employment check, thereby keeping this amendment. finds that increased college tuition is our economy at a more steady rate. The PRESIDING OFFICER. Is there putting an extreme burden on a family I say to my colleagues on the other objection to laying aside the pending budget. Maybe another family has the side of the aisle, it is time to stop de- amendment? high cost of prescription drugs that is nying working Americans who have Mr. INHOFE. Reserving the right to putting an extraordinary burden on lost their jobs, through no fault of object, could you repeat this unani- those under Medicare and Social Secu- their own, from some sort of help and mous consent request? rity and the savings of other members assistance when they can actually find Ms. CANTWELL. I move the pending of the family. It may be those who no jobs. amendment be set aside and that this have lost jobs and have gotten back in I will point out a few of my constitu- amendment be considered. the job market and actually found a ents who have written to me. One from Mr. INHOFE. I object. job, but they are concerned because Camano Island said he cashed out The PRESIDING OFFICER. The ob- their incomes are generally 23, 24, 25- every dime of his 401 saving plan, with jection is heard. percent less with the new job than the significant penalties, and does not Ms. CANTWELL. Madam President, old job. know how he will make his mortgage let me be clear to my colleagues what By and large, the state of our econ- payment, does not know what he is just happened in the Senate. That is, omy is an ongoing concern, and it going to do, as the benefits are expir- that for about the dozenth time now, doesn’t have to be this way. We have ing. Another constituent from Everett, the Senate is not going to consider un- seen when we have had strong Presi- WA, in the manufacturing area, applied employment benefit extensions. We are dential leadership—and the most re- for over 200 jobs and received 4 inter- not going to consider whether working cent case was with President Clinton views in the last year. They are trying men and women in this country who where we had extraordinary economic to find opportunities but they do not have been unemployed, through no growth, price stability, virtually free exist. Another technology worker from fault of their own, but a general down- from inflation, and we had the creation Seattle has 25 years’ experience and turn in the economy, many who have of 22 million jobs. I don’t think an ad- has been laid off since 2001 and is un- been impacted by September 11, many ministration can continuously say that able to find a job. Another worker from who have been impacted by the reces- jobs are going to be better, that we are Seattle was working at a print com- sion hit by many companies that have having a military conflict, we inher- pany and over 500 people were laid off been impacted by September 11, are not ited a recession, and there is nothing in 2 years as their company was sold going to get our help in the extension more we can do. I reject that, and I overseas to a multinational company. of this program, that if these same men think most economists do, and many In his individual situation he has tried and women happened to have been un- political leaders do as well. to cover both the health insurance for employed in the 1990s, their plight We have to look at what we can do in himself and his wife. Unfortunately, he would have been different. They would a very temporary way in the Senate. had some very severe health problems have gotten help from the administra- One of the mechanisms that we can and had to get a kidney from his wife tion. They would have gotten help from provide is to extend the unemployment and ended up with some severe health my colleagues on the other side of the compensation for men and women who problems and he does not know how he aisle. have paid into that fund over the will address those problems in the fu- So what we have done today is con- years, and now we are seeing that Re- ture because of these benefits being tinue to say to unemployed Americans, publicans are blocking having even a

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00016 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S973 temporary extension of unemployment they are going to be denied a helping this administration says is so great, compensation funds, even though the hand to deal with the cyclical factors look at this: The average job was pay- fund itself is in surplus of some $17 bil- that impacted our economy? ing $16.92 an hour, and the new jobs are lion. That is being rejected. Look at what this chart shows. This paying $15.65 an hour. The new jobs are As a matter of fact, we are seeing says: ‘‘Every year, job growth falls paying a good deal less. It says just parliamentary gymnastics being used short of the Bush promises.’’ This goes what the other chart says. on the floor of the Senate to even pro- back to the year 2001. The difference So not only are we not reaching the hibit a vote in the Senate to get ac- between what this administration job goals, they missed it by 5 million. countability by Members of the Senate promised in 2001 and where we are Even the jobs that are being created, on this issue. Those on the other side today is represented by 5.2 million jobs. the pay is 20, 25 percent less. say: No way; we are going to use the Do you understand that? The promise Let’s look at what has happened in parliamentary gymnastics so you will in 2002 was that we would have 5.2 mil- terms of the number of those who are not even get a vote, Senator CANTWELL, lion jobs more than we have today. We long-term unemployed. Look at this on your unemployment issue, and, no, missed the prediction by 5 million jobs. chart. Compared to what it was in Jan- Senator CLINTON, on one of the glaring Now, in 2003, the President makes a dif- uary 2000, when we had 680,000 people economic policy issues of this adminis- ferent judgment about where we are unemployed, it was 1.9 million people tration, and that is shipping jobs over- going to be in 2003. He is only off by 2.5 in January of 2004. These are the long- seas. Can you imagine that? The ad- million jobs for 2003. This line rep- term unemployed. These are the men ministration’s spokesperson said ship- resents what was predicted by the Bush and women who have been looking for ping jobs overseas is to the advantage administration in 2002. This line here is jobs, trying to get jobs. This doesn’t of the American economy. what they predicted in 2003, and this even measure the number of people Why don’t we debate that on the Sen- orange line is the reality. who have become so discouraged, they ate floor and find out who on the other Let’s look at it in another way. This are not even looking any longer. side wants to defend shipping jobs over- chart shows a purple line, what was ac- We have an enormous number of peo- seas? You cannot travel around this tually predicted by the Bush adminis- ple who are looking for jobs. This chart country and go to any community and tration for 2002 promise. These are the is probably more reflective of the prob- not hear workers’ fear about outsourc- number of new jobs predicted. We heard lem. From 1973 to 2003, the average ing and shipping jobs overseas. You the other day about the administration number of unemployed in January: cannot do it. Here, the Senator from predicting new jobs. All you have to do 151,000. That is through good times and New York wants to get a debate and is look at their predictions over time recessions. Today it is 375,000. These discussion about what we ought to do and you can see how much value we figures are from the Center for Budget about that. Members of this body have ought to give those predictions. Here it and Policy Priorities. It is 375,000, more ideas on what we ought to be doing and is: 2001 is the purple line, and 2002 is than double the average. That is why we are asking: Why can’t we reach out they want to express their views. But, the green line, 2003 is the blue line, all to these workers? These are hard-work- no, they are cut off. No. No, you cannot going up there. The actual jobs are rep- ing Americans who paid into the fund do it. We are going to use the rules of resented by the red line, showing that over a long period and are entitled to the Senate to prohibit that kind of dis- we have lost 2.5 million jobs. Those are those payments. cussion and debate and prohibit some the facts. The fund is $17 billion in surplus. The kind of resolution, some accountability As a result of the fact that we have proposal of Senator CANTWELL would lost those 2.5 million jobs, let’s just by Members. Maybe there are those cost $7 billion. We have 90,000 workers look at what has happened in terms of who want to do it. a week who are losing out on this I think the American people would the average wages for the jobs that we amount. Look at the contrast between have more respect for us if we vote up have retained in the United States. The this administration and the previous or down on that resolution. But, no, jobs gained do not pay as much as the administration on unemployment com- our Republican friends say, no, we jobs lost, this chart says. This is the pensation to workers. Let’s look at the don’t want to—I say this—embarrass average wage—the national average for difference. our Members by having to take a tough 2001, which was $44,570. Today, it is In the early 1990s, when we were fac- vote on it. I don’t blame them. But it $30,410. That is a reduction of 21 per- ing a recession, coming into 1990, 1991, is poor solace to those workers when cent for average wages for workers in and early 1992, we had an increase in they find out at last what the eco- this country. unemployment. The previous adminis- nomic policies of this administration Not only have we seen the loss of tration, the Clinton administration, are and they value sending the jobs jobs, but even for the jobs that have kept the extension on unemployment overseas. That is what we are going to been retained, we have seen the income compensation until we had grown 2.9 attempt. going down, headed south. Not only is million jobs. Then they terminated it, Madam President, I want to review this the reality of what is happening in as they should; we were in a period of what the job situation has been over the job market, but also our Repub- very significant expansion. the period of these recent years and lican friends want to eliminate any op- Look at where we are now. We have measure where we are with what was portunity for these families to gain ad- lost 2.4 million jobs, and we have ter- actually predicted by President Bush ditional funds with overtime. That is minated unemployment compensation. and the Bush administration. I think what is happening out there across this Do you see the contrast between the by looking at this at least we can begin country. two administrations and how they to understand why the Senator from Now we hear, well, we have had a re- reached out to working families? None- Washington, Ms. CANTWELL, wanted to cession, but we have come out of the theless, we are denied the opportunity have an extension of the unemploy- recession and everything is going to be to even consider an amendment that ment compensation. Ninety thousand OK. Everything is just going to be was going to be offered by the Senator workers a week are losing their unem- hunky-dory in terms of the labor mar- from Washington to permit some 6 ployment compensation. ket area and wages for American work- months and have the temporary work- I don’t know how they get by. You ers. ers. are going to see that real wages have Look at this chart. If you compare This is what is happening as a result: gone down. Most families are having a what happened in the 1990s, up through We have a decline in purchasing power tough time, and they live from pay- 1998, and to the year 2000, in the fourth for workers; we have an administration check to paycheck. They are paying quarter of each of the recessions that that is against overtime, an adminis- the mortgage, putting food on the took place during that period of time, tration that is against extending un- table, and clothing their children, per- you will find in the last quarter of the employment compensation, against haps putting something aside for high- recession during that period of 8 to 10 any kind of increase in the minimum er education. How are they going to years, the job was paying $18.30 an wage. deal with the fact that when they lose hour. The old jobs were paying $16.31 an There are 7 million Americans who jobs, through no fault of their own, hour. Now in this last recovery that would benefit from an increase in the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00017 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S974 CONGRESSIONAL RECORD — SENATE February 11, 2004 minimum wage, and this is what has at today’s recovery: 87 percent in prof- this panel. One of the most partisan happened: its, 13 percent in wages. people in all America is a man by the More than half of the unemployed I don’t know how many other indica- name of Judge Silberman. Judge Sil- adults have had to postpone medical tors we need to understand what is berman is a person who proudly wears treatment—that is 57 percent—or cut happening to workers in America. They the label of a partisan, even though he back on spending for food. That is hap- are hurting, and hurting badly. Many hides it as often as he can from the pening in America. They had to post- of them need the kind of help that un- public. pone important medical treatment or employment compensation provides. As I said, I was glad President Bush cut back on food. One in four has had At other times, with different admin- realized we needed a commission to in- to move to other housing. We are talk- istrations, with a Democratic adminis- vestigate what went wrong, although I ing about workers who have worked tration, we were prepared, particularly would have preferred that Congress ap- hard, played by the rules, struggled for when the fund was in surplus and par- point members to ensure its independ- their families, and this is our answer to ticularly when these workers have paid ence. If this commission is going to do them: Let’s do a parliamentary trick into the fund—we were willing to ex- its job, it must be free of political in- so you can’t have a vote on extending tend that unemployment compensa- fluence. It must be above even the ap- unemployment compensation. That is tion. There have been 11 times in the pearance of partisan bias. Throw those the answer of the other side. We are last few weeks that Members of this things out the window because there is not even going to give you a vote on body on this side of the aisle have re- not only the appearance of partisan the issue. quested we have an extension of unem- bias, there is political and partisan This is what is happening to fellow ployment compensation. The House of bias because the cochair of this com- Americans: 38 percent have lost tele- Representatives voted for it, including mission is a man by the name of Lau- phone service; 22 percent are worried 39 Republicans. But this Republican rence Silberman. they will lose their money; more than leadership says: No, no way; fill up the He is a long-time political operative a third have trouble paying gas or elec- tree; get all kinds of procedural blocks in the far right of the Republican tric bills. These are real problems. The to make sure we don’t even bring it up Party. He has served in a number of list goes on. and we don’t have a vote. different capacities over the years. He What is the impact? We have been American workers ought to under- has been involved in many partisan talking about dollars and cents, but we stand this point. That is against the matters over the years. To show how haven’t talked about the quality of life background of the leading economic well reasoned and thinking people feel of these workers and what they go advisers explaining to the President of about this man, I quote a professor of through: 77 percent of unemployed the United States that we are better law at American University by the Americans say the level of stress in off if we ship more jobs overseas. And name of Herman Schwartz: their family has increased. That is un- this institution, that should be debat- He [Laurence Silberman] is fiercely par- derstandable. We don’t think about it. ing national policy, is being shut down tisan, pugnacious and very political. He is an I don’t know how you put a dollar fig- by those who don’t want to hear the de- odd choice for a panel that is supposed to be ure on that. bate and don’t want accountability. above suspicion on a matter that is very im- Two-thirds of those with children That is a great mistake. It is a mis- portant and potentially very partisan. Pick- have cut back on spending on their take, most of all, for our workers and ing Silberman verges on the brazen. It is a children. This is an issue not only for their families, it is a mistake for our thumb in the eye to those who were looking for a real investigation. workers, it is an issue for their chil- economy, and it is a mistake for our dren as well. It is a children’s issue. It country. That is who we have as cochair of is a family issue. We heard a great deal I join with others who will say these this independent commission, a man on the other side about family issues, issues are not going away. You may be who is politically partisan and the ap- family values. We have one right here able to get a little block here and a lit- pointment is brazen. As I indicated, he on unemployment compensation. This tle block there, but we are going to is a long-time political operative, far is a children’s issue, a family issue. bring these issues up time and again. right of the Republican Party. He Twenty-six percent say another fam- We have that responsibility to these served in many capacities. He was an ily member had to start a job or in- workers and their families, and they aide in the Reagan-Bush campaign. One crease hours; 23 percent had to inter- should recognize that we are not going of his assignments then was to serve as rupt their education. That is nice, isn’t to retreat; we are not going to step liaison to the Islamic regime in Iran it? The children of these workers had back. We are going to do everything where Americans were being held hos- to drop out of school because a member that is necessary to make sure we are tage. There is some question as to of their family—their father or moth- going to get the economic justice these whether a deal was made that the cri- er—has been laid off and cannot get the workers deserve. sis would not end until after the elec- resources to go to school. I suggest the absence of a quorum. tion. One can read lots of information We hear a good deal from the other The PRESIDING OFFICER. The about that, but as soon as the election side: Senator KENNEDY, you don’t just clerk will call the roll. was over and the hostages were re- understand. We have a recovery. It is The assistant legislative clerk pro- leased, it is interesting to note that on the way. It is taking place today. ceeded to call the roll. Laurence Silberman was appointed by You just don’t understand it. These Mr. REID. Mr. President, I ask unan- the President to the Court of Appeals problems will all be resolved. Right? imous consent that the order for the in Washington, DC. Wrong. quorum call be rescinded. It speaks volumes to indicate that Look at this chart. The Bush econ- The PRESIDING OFFICER (Mr. TAL- one of his early decisions came in the omy corporate profits ballooned com- ENT). Without objection, it is so or- case of LTC Oliver North, a principal pared to workers’ wages. Look in the dered. figure in the Iran-contra affair, which early 1990s—this chart is 1993—when we INDEPENDENT COMMISSION TO INVESTIGATE involved the release of Iranian hos- were recovering. When we had the re- IRAQ INTELLIGENCE tages. There is the documentation of covery, workers’ wages represented 60 Mr. REID. Mr. President, I was re- many meetings of Silberman with the percent of the economic expansion dur- lieved that the President decided he people in the White House, including ing this time. The percent that went to was going to appoint an independent Colonel North, prior to this all taking corporate profits was 39.74 percent; 60 panel to review what took place in our place. Even though North and Admiral percent for wages, 39 percent for cor- going to Iraq, but after he made the de- Poindexter were convicted of lying to porate profits. cision to do that and appointed the Congress, their convictions were voided We all heard at the time of the Presi- panel, it was obvious it was just a in 1990 by Judge Silberman. dent’s State of the Union Address those hoax. This panel is laughable—if it It is also interesting to note that an- descriptions about how the economy were not so serious. All one needs to do other one of the appointees there on was doing so well, profits were up, ex- to understand how this panel is not se- that court, who joined with Silberman panding the American economy. Look rious is to look at who is the cochair of in overruling the North and Poindexter

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00018 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S975 convictions, Mr. Sentelle, who became went through books and articles he had time appointment and the canons of ju- a judge, was largely responsible for the written to proofread them to see if he dicial ethics mean nothing to him. He 1994 decision to remove Whitewater could be more hard-hitting than Brock is bold, he is brazen in what he does. He prosecutor Robert Fiske and replace was, this is the man who is going to be does not hide his partisanship. But, in him with the more partisan Kenneth the cochairman of the independent spite of that this administration, Starr as an independent investigator. commission. The term ‘‘independent knowing everything there is to know We know that investigation cost $60 commission,’’ used along with Lau- about this man, selects him to be the million or $80 million and accom- rence Silberman, is like many of the cochair of this independent commis- plished nothing. things in George Orwell’s book, ‘‘1984.’’ sion. Silberman worked as an attorney in Many of the things are just the oppo- Brock says, in his book: ‘‘Larry’’— the Justice Department. He took the site. Laurence Silberman cannot be that is Laurence Silberman—‘‘would No. 2 job under President Ford when independent. The commission cannot often preface his remarks to me with Rumsfeld and Cheney had top jobs in be independent as long as he is there. the wry demurrer that judges shouldn’t the White House of President Ford. I As Brock indicated, he wrote articles get involved in politics. ‘That would be repeat, in the fall of 1980 when Ronald about President Clinton, an article on improper,’ he’d say—and then he’d go Reagan was running to unseat Presi- Travelgate, which was charges by Ar- ahead . . .’’ and give this information dent Carter—and this is from the L.A. kansas State Troopers about the that was partisan and, even, according Times, a direct quote: former Governor Clinton and extra- to Silberman, would be improper. But . . . Silberman and two other Reagan advi- marital sex. Silberman was, and I he would just go ahead and do it any- sors met secretly with a man who claimed to quote, ‘‘his faithful advisor.’’ way. have ties to the government in Iran, which is ‘‘The judge,’’ according to the LA Most recently, to show his partisan- holding 52 American hostages. The brief Times, Brock said, ‘‘encouraged him to ship, after a lower court unanimously meeting later led to unproven allegations be aggressive, and even on one occa- ruled that Attorney General John that Reagan’s aides sought to delay the re- sion, suggested a specific tip involving Ashcroft had exceeded his authority in lease of the hostages until after the Novem- the President’s sex life to pursue.’’ assuming broad wiretap powers, Silber- ber election. When David Brock, at the direction man was the judge involved in the deci- Well, it is interesting to note that he of many in the right wing, wrote criti- sion that overturned it. By engaging in had not done enough, it appears. In cally about the late Senator Paul partisan activities while he was a sit- 1987, when Reagan was under investiga- Simon, he sent an advance copy to ting judge, Silberman has raised question by an independent counsel, Silber- Judge Silberman’s home. Brock wrote tions about his impartiality, and that man did away with the Independent that Silberman was ‘‘ecstatic about the is an understatement. Counsel Act, saying it was unconstitu- case he made against Simon. . . .’’ So I hope we continue to talk about tional. Of course that one was followed During this period of time, Brock the need for an independent, bipartisan up on by the Supreme Court, which said he was introduced to leading con- commission because as long as Lau- overwhelmingly reversed him just a servatives who met regularly in the rence Silberman is attached to this month later. But Silberman had the judge’s home even with him and his commission, it will be tainted. This last word. His opinion, joined by fellow wife. They were friends and close com- crucial investigation as to what went Reagan appointee David Sentelle, void- panions of Vice President CHENEY and wrong with our intelligence operations ed North’s conviction and also spared his wife. cannot be tainted with any hint of bias Reagan’s National Security Adviser, Mr. President, people have a right to or prejudice—and it is. It is not taint- John Poindexter. be as partisan as they choose but not if ed, it is smeared with partisan preju- During the Clinton years, Silberman you are a judge. Judges not only have dice because of this man. was one of President Clinton’s most ag- to do away with what is wrong, but There is already a distrust of the in- gressive tormentors. In 1998, he was with what appears to be wrong. Just telligence gathering surrounding weap- part of a Federal appellate panel that with the little bit I set forth here, ons of mass destruction. The Silberman rejected the administration’s claim of doesn’t it seem wrong that this man, appointment only makes matters executive privilege to block the Secret Laurence Silberman, is the cochairman worse. Service from testifying about Clinton’s of a bipartisan, independent commis- I call upon the President to replace Judge Silberman on this commission. relationship with former White House sion when it has been acknowledged by There are many respected Republicans worker Monica Lewinsky. Silberman’s most everyone that this is one of the in public service who have dem- opinion, to say the least, was very po- most partisan people in our commu- onstrated an ability to put their ideo- litical. He ripped the Attorney General nity? An American University law logical and partisan views aside when for acting in the personal interest of school professor says: it comes to what affects our Nation. President Clinton and questioned He is fiercely partisan, pugnacious and very political. . . . He is an odd choice for a Silberman cannot meet that. This is whether the President, by allowing panel that is supposed to be above suspicion such an issue and demands such a per- aides to criticize independent counsel on a matter that is very important and po- son. Laurence Silberman is not such a Kenneth Starr, was ‘‘declaring war on tentially very partisan. Picking Silberman person. the United States.’’ Not very judicious, verges on the brazen. To show how skeptical the country is I would think. I agree with that, the ‘‘brazen.’’ Let’s about our intelligence-gathering oper- There was a book that was a best see if that means what I think it ations, even Bill O’Reilly—even Bill seller called ‘‘Blinded by the Right,’’ means, ‘‘brazen.’’ I have a little dic- O’Reilly, reports Reuters News: written by David Brock. It is a very in- tionary here. Let’s see what it says. Conservative television news anchor Bill teresting book. It talks about how this Brazen: Boldness. O’Reilly said on Tuesday he was now skep- young man, who was a student at one Yes, he is pretty bold. tical about the Bush administration and of the universities of California, de- For the President to pick this man to apologized to viewers for supporting prewar cided to join with the far right, and he be cochairman of this commission is, claims that Iraq had weapons of mass de- made it through even working for the as Professor Schwartz says, ‘‘brazen.’’ I struction. Washington Times. In his book, he ex- The anchor of his own show on Fox News continue the quote. said— plains how that was an interesting ex- It’s a thumb in the eye to those who were This is Bill O’Reilly— perience and how unfair they were in looking for a real investigation. almost everything they wrote. But he was sorry he gave the U.S. government This is no real investigation. This is the benefit of the doubt that former Iraqi David Brock, during his tenure as a going to be Judge Silberman, in an ag- leader Saddam Hussein’s weapons program spokesperson for the right, and writing gressive way, making sure that noth- posed an imminent threat, the main reason all these very damaging, misleading ar- ing gets out of hand. He is there to pro- cited for going to war. ticles and even books, said in the book, tect the President, not to get fair in- Appearing on TV, O’Reilly said: ‘‘Blinded by the Right,’’ that his ad- formation. He is there to protect him. I was wrong. I am not pleased about it at viser, the person who directed him Sitting judges are not supposed to do all, and I think all Americans should be con- where to go, what to say, and even what Silberman does. But he has a life- cerned about this.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00019 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S976 CONGRESSIONAL RECORD — SENATE February 11, 2004 We have a committee, a commission also failed the Congress and the Amer- ploits are described at least in part in appointed by the President, in the ican people—we had better figure out this book. guise of being independent, in the guise what happened, what was wrong. There Incidentally, I think the question of being bipartisan. It simply is not needs to be a commission. But it needs should rest with the judicial system, true. As long as Laurence Silberman to be an independent commission. Why has this not been investigated? I has anything to do with this, it cannot Now what we have is the President know of no investigation in the judicial be a fair, independent, bipartisan com- announcing a commission to inves- system with respect to what is alleged mission. tigate the intelligence. But more than with respect to the activity of Mr. Sil- The scope of this so-called inde- that, the point the Senator from Ne- berman. pendent commission was determined by vada just made about the cochair, Mr. This country needs an impartial, the President through Executive order. Laurence Silberman, a judge—I read independent, aggressive investigation There was no discussion with the legis- this book from a while ago, ‘‘Blinded of what happened with respect to our lative branch of Government; it was By the Right.’’ I was aware when I read intelligence. just a fiat. Despite the fact that nu- this book by David Brock of Mr. Silber- As I indicated, our safety and secu- merous questions have been raised man’s activities in other venues as rity depend on intelligence getting it about the actions or statements of well. right with respect to protecting us both the intelligence and communica- I must tell you that having read this against the next terrorist attack. That tions community in the days before the book and seen that a sitting Federal is why this is so important. war, the President’s Executive order judge was involved in the sort of things I personally plan to support and ag- specifically rules out an examination Mr. Brock says he was involved in with gressively speak in favor of a truly of the administration’s actions. respect to a series of things that it independent commission. I am assum- Can you believe that? Instead, his seems to me would go well beyond ing one will be offered by perhaps Sen- Executive order makes clear the only what would be acceptable activities by ator CORZINE who has offered it on the issues the commission can address are a Federal judge, I think it is just Byz- floor of the Senate. We will have this related to the performance of the intel- antine that the President would ap- debate at some point. We need a com- ligence community, precisely the same point a cochair to this commission who mission. It needs to be independent. It issues, in many cases, that the Repub- doesn’t meet the test of objectivity or needs to be cochaired by people who do lican-controlled intelligence commit- the test of common sense at all. There not have a partisan agenda. That is tees in the House and Senate are al- can be nothing independent about a simply not the case with the inde- ready exploring. Unfortunately, this commission that is cochaired by a sit- pendent commission that has been an- will not be a real commission that can ting Federal judge whose discussions nounced now by the President. answer the main question we believe and activities in this book disclose I ask the Senator from Nevada: Is needs to be addressed; namely, the ad- that there is nothing at all impartial that not the case? ministration’s role in all of this. about this judge. Mr. REID. It is absolutely the case. On top of all this, they have ap- I will not read into the RECORD these I also ask the Senator from North pointed Laurence Silberman to co- passages. I assume perhaps the Senator Dakota, through the Chair, to respond chair. This is a gross mistake. I can’t from Nevada has. I know many of my to a statement by David Kay given to imagine how the President and his peo- colleagues are talking about the same me yesterday. He said there should be ple think he can get away with this. thing. an examination of how the intelligence Mr. DORGAN. Mr. President, I won- I ask the Senator from Nevada: Can was used by the administration—not der if the Senator from Nevada will there be a presumption of impartiality simply the failings of the intelligence yield? I wonder if he would yield for a by a cochair of this commission, ap- community. question? pointed by the President to investigate Will the Senator agree that David Mr. REID. I am happy to yield to my this issue of the executive branch—by Kay is right, there should be an exam- friend. He and I have had discussions. I the way, without subpoena power or ination of how the intelligence was would just preface it for this—— anything of the sort—when the Presi- used by the administration—not sim- The PRESIDING OFFICER. The Sen- dent has chosen a very strident, ag- ply the failings of the intelligence com- ator from North Dakota is not recog- gressive, partisan supporter as the co- munity? nized. The Senator from Nevada yields chair? Mr. DORGAN. Mr. President, if I for a question. Mr. REID. Mr. President, I do not un- might respond, there is no question Mr. REID. I would say through the derstand how the President and the that any evaluation of this should be Chair, the Senator and I have discussed people around him could do this. Do an evaluation of what kind of intel- this on many occasions off the Senate what? Have a commission with an out- ligence existed and how it was used. floor. line that is very weak and won’t con- That is not an attempt to put any one Both agree that this issue has to be tribute very much to find out what our person under a microscope; it is an at- talked about publicly. intelligence community did or did not tempt to evaluate what happened here. This is a disgrace to a determined, do. But maybe he could get by with it What on Earth happened? independent, bipartisan commission. It a little better by not having a person Again, I say there are some who want is just wrong. who has been proven to be one of the to say nothing happened. They want to I would be happy to yield to my most partisan people in all of America allege nothing has happened. Clearly, friend from North Dakota for a ques- as cochair of this commission. Here is something has happened. tion. a man who is violating the canons of The top weapons inspector came back Mr. DORGAN. Mr. President, I have judicial ethics and responsibilities that to this country and said our intel- visited the Senator from Nevada and judges have. Yet he is on this commis- ligence community has failed the others following the announcement of sion as cochair. I have trouble articu- President, and in fact the intelligence the cochairs of this commission. lating how irresponsible and unfair and community failed, and we now believe First of all, I believe there should be brazen this is. that to be the case. The Secretary of an independent commission. I believe Mr. DORGAN. Mr. President, again, State went to the United Nations and very strongly that the question of in- inquiring further of the Senator from he said: We know, we know, we know, telligence—both the gathering of and Nevada, aside from the fact that this is on point after point after point, slide use of intelligence—is critically impor- not an independent commission, it is after slide, intelligence pictures, sat- tant to this country because it, and not what is needed to be done at this ellite photos, we know this, we know only it, will provide protection for this point to evaluate and investigate the this, we know this. It turns out we country against the next terrorist at- ‘‘failures’’ Mr. Kay described in our in- didn’t know that. tacks. We have to get it right. telligence. This so-called commission This is important business. This When Mr. Kay comes before a com- cannot possibly be a commission held country needs to act on what we mittee and says it was all wrong, it was in much respect if the selection as the know—not what we think we know. If wrong and it failed the President—it cochair is a fierce partisan whose ex- our intelligence community failed us,

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00020 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S977 as Mr. Kay indicates it did, and he says Just this morning in the New York phrase it in the form of a question to failed the President—I say failed all of Times there is an article stating the the Senator from Nevada. There is no us—then the question is, Why? How did connection is there. This is the New question the world is better off because that happen? How was intelligence York Times, not a Republican oper- Saddam Hussein was found in a rat gathered? Where did that failure exist? ation. It says: ‘‘Found, Smoking Gun.’’ hole and no longer runs the country of And how was that intelligence used? I That is the name of this article. Iraq. The world would be better off if believe only an independent commis- We are enjoying this very much, but Kim Jong Il were not running the sion will get to that answer. I think it the political season is on us. I hope we country of Korea. That is not the issue. is urgent that we get there. will keep cool heads and do the best we An interesting point, but not the issue. As you know, in England they are can to improve our intelligence. The issue is, the top weapons inspec- now having such an investigation, with Right after September 11 we had the tor says that which we said we knew, an end date I believe of July. They un- bicameral commission look at this. We which we told the world we knew, was derstand the urgency. They are saying came a long way. I ask the assistant not the case. Why? Because he said our let us do it, and let us do it quickly but leader if that is not correct. intelligence system failed. thoroughly. The PRESIDING OFFICER. Before No one here should sleep quite as In this case, we have a so-called inde- the Senator from Nevada responds, the soundly as they used to sleep, under- pendent commission, cochaired by a Chair feels constrained to remind all standing that our intelligence system strident partisan, and at the same time Senators, Senators may yield for ques- failed. we are told it is fine to have that com- tions but not for speeches. We all ought to demand on an urgent mission report sometime after next The Senator from Nevada has the basis to understand what happened and year. I just do not think that is the floor. how it happened. That is the point the right thing. Mr. REID. Mr. President, I know the Senator from Nevada and I are making. Mr. INHOFE. Mr. President, par- Senator from Oklahoma says this is po- I hope the Senator from Oklahoma be- liamentary inquiry. litical season. We are in the Senate. lieves in the urgency of this, as well. The PRESIDING OFFICER. Will the Every day of our life is political sea- I ask the Senator from Nevada if it is Senator yield for a parliamentary in- son. That is what we do. That is what not the case that the question by the quiry? we do for the American people. That is Senator from Oklahoma about the Sep- Mr. REID. I am happy to yield for a what we do for the people of the State tember 11 commission moving in the parliamentary inquiry. of Nevada, the people of Oklahoma, the right direction, is it not the case that Mr. INHOFE. Will the Senator yield people of North Dakota, and the people yesterday we saw this headline: ‘‘9/11 for a question? of Missouri. Panel Threatens to Issue Subpoenas for Mr. REID. I have the floor. I will I agree with my friend’s statement, Bush’s Briefings’’? In fact, they have yield for a question. there is no showing of weapons of mass already had to issue subpoenas. This Mr. INHOFE. I think we are in a destruction. True. The point is, this is commission investigating the Sep- highly charged political season right serious business. This is not trying to tember 11 attacks had to issue sub- now. Everyone is talking about this, determine what happened at half time poenas against the FAA and others and and the subliminal picture that is try- at the Super Bowl. This is looking at is now threatening to issues subpoenas ing to be painted here is that somehow the situation involving the security of against the White House and said this this President may have not known this Nation and actually the security morning they had more cooperation. something he should have known or of this world. We should have an inde- Is it not the case that any adminis- knew something and he didn’t act ap- pendent commission, bipartisan in na- tration, Democrat or Republican, propriately. ture. Everyone agrees with that. ought to say to this commission and Let us remember what David Kay I personally do not like the param- any commission: Here are our records. said. He said, when he came in, we all eters of what the President set forth. It They are open. We want you to get to thought there were weapons of mass does not establish what needs to be the bottom of this. destruction. We acted accordingly. done. But the purpose of this discus- Mr. REID. I say through the floor to And, quite frankly, I contend there sion today with Senator DORGAN and my friend from North Dakota, the Sen- were weapons of mass destruction. I this Senator from Nevada is the com- ator makes the point. The other body asked him that question. I don’t think mission, as set up as an independent bi- which is doing the investigation, no either one of the two Senators in the partisan commission, is tainted. As I one raises any question about the Chamber—I am about to finish my indicated earlier, it is not only tainted, Members of that commission. They are question—were at that hearing. it is smeared. Why? Because the Presi- Democrats and they are Republicans. I asked him this question: I said, If in dent chose as the cochair of this com- Very conservative Congressman Tim January, 13 months ago, they found 11 mission a man who is one of the most Roemer is part of that. But no one chemical rockets with a capacity of a partisan zealots in the history of this questions what they are trying to do to warhead of 140 liters, and they had country. So this commission can never get to the facts of this matter. enough VX on hand to do that, and render anything of substance that will My point is, and the point of the Sen- that one chemical rocket with 140 li- be accepted in this country because of ator from North Carolina is, this so- ters of VX could kill a million people, this man being the cochair. I suggest, called bipartisan independent commis- and subsequent to that, 3 months later, get him off. If he had any care about sion can never render anything the they found 36 more—that is 47 weapons this country, he would resign. American public will accept because of of mass destruction that were found—I The Senator from North Dakota hit the person that is cochairing it. Lau- asked him: Aren’t they truly weapons the nail on the head: Where is our judi- rence Silberman is a partisan zealot. of mass destruction? He said: Well, yes, cial system? There could be hearings Now the New York Times article the if they put the chemicals in the war- and proof established, for example, Senator pointed out is a group of peo- heads. that David Brock went into this man’s ple, including Tim Roemer, and Gov- The other thing people keep talking home, time after time after time while ernor Kean of New Jersey. No one ques- about, What did they know or what did he was sitting on important cases. tions his integrity. He believes we they not know about a connection be- What was Brock doing—getting advice should move forward and get this done tween Saddam Hussein and Osama bin as to how he could berate, denigrate, as soon as possible. Laden. That should have been put to lie, cheat about the President of the I repeat, the independent commission rest about a month ago when there was United States? President Bush has appointed to look a leak to the Weekly Standard. They These are facts. at the failure of intelligence in our specifically drew that connection and Mr. DORGAN. Will the Senator country will never, ever be accepted for said, yes, in fact, there is a connection. yield? a number of reasons, not only the In fact, two of the passports of the pi- Mr. REID. I am happy to yield. breadth and scope of the investigation lots were gotten by Saddam Hussein Mr. DORGAN. Let me respond briefly but because of the cochair, Laurence and his people. to my friend from Oklahoma, and I will Silberman.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00021 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S978 CONGRESSIONAL RECORD — SENATE February 11, 2004 I yield the floor and suggest the ab- safety on our Nation’s highways. With commenting back when a little boy sence of a quorum. improved safety we can reduce injuries was born to my older son and his wife. The PRESIDING OFFICER. The and loss of life from highway accidents. My older son is James Mountain Inhofe clerk will call the roll. That’s obviously good for the American II. He kept having baby girls. The The assistant legislative clerk pro- people in a deeply personal sense. It is years went by and they kept cranking ceeded to call the roll. also good for the country as a whole the girls out. I always wanted to have Mr. JEFFORDS. Mr. President, I ask because it reduces the social costs as- a boy, selfishly, James Mountain unanimous consent that the order for sociated with injury and loss of life. Inhofe III. So we found out—and this the quorum call be rescinded. Our country needs this bill and it happened a couple years ago—that in The PRESIDING OFFICER. Without needs it now. I urge my colleagues to fact my daughter-in-law was unexpect- objection, it is so ordered. help pass this bill before the Senate edly pregnant—Jimmy’s wife. I respond Mr. JEFFORDS. Mr. President, let concludes its business this week. to the Senator that what we did is for me reiterate how important this bill is I yield the floor. 8 months we prayed every day it would to our country’s infrastructure and our Mr. REID. I suggest the absence of a be a boy. I figured if Abraham could do country’s economy. quorum. The PRESIDING OFFICER. Without it, I could do it. Sure enough, we were The PRESIDING OFFICER. The up in the waiting room and the nurse objection, it is so ordered. clerk will call the roll. Mr. JEFFORDS. This bill will pro- came in while I was doing a 30-minute The assistant legislative clerk provide desperately needed funds to re- talk show with Ollie North. Right in ceeded to call the roll. build decaying roads and bridges and to the middle of that, she came in and Mr. INHOFE. Mr. President, I ask said, ‘‘Senator, how did you know? You improve transit systems across the unanimous consent that the order for country. It will pump billions of dollars are the only one who knew it was going the quorum call be rescinded. to be a boy.’’ I said, ‘‘Ollie, James into real, lasting improvements in The PRESIDING OFFICER (Mr. physical infrastructure. Mountain Inhofe III has been born.’’ On ALEXANDER). Without objection, it is so In the process it will provide new, the way back it occurred to me they ordered. quality jobs for hundreds of thousands had not yet named that child, and I an- Mr. INHOFE. Mr. President, yester- of people. These are jobs that cannot be nounced the name on the radio. So I day when we were discussing the seat- outsourced. I repeat—these are jobs learned that lesson. belt law, quite frankly, I was opposed that cannot be outsourced. I yield the floor. to it. I am opposed to any kind of man- The President says that this bill is The PRESIDING OFFICER (Mr. date. I cannot find anyone in this body too expensive. He also apparently be- SUNUNU). The Senator from Missouri is who has either been a former Governor lieves that outsourcing American jobs recognized. or mayor of a major city that won’t op- is a good thing. He is wrong on both Mr. TALENT. Mr. President, I am pose mandates. Of course, that would counts. sure sons and daughters-in-law have If we can spend billions rebuilding have been a great one, with three pen- been forgiving proud grandparents of a Iraq’s physical infrastructure, surely alties. That is behind us now. lot worse things than that. I congratu- we can find the money to maintain During that time, the assistant mi- late the Senator from Oklahoma and America’s transportation infrastruc- nority leader had a suggestion that we the Senator from Nevada on the addi- ture. Without well-maintained roads, might want to consider what they have tions to their families. bridges, and transit systems, our econ- done in Nevada. They had this require- We are really talking about a subject omy will inevitably suffer. ment just for the babies and small chil- today that is important to all of our Let’s keep the big picture in view dren, which was interesting. I com- families. That is why we are here. That here. This bill spends money to pay mented that I am very familiar with is why those who have worked so hard Americans for work done in this coun- that, having 11 grandchildren. I know for transportation, including my friend try. This work translates directly into all about the seatbelts and all these lit- from Oklahoma, have done what they improved roads, bridges, and transit tle requirements they have and how ex- have done. I am here to rise in support systems. Better infrastructure reduces pensive they are. In an attempt to of the bill, and also in support of an transaction costs and makes the econ- outdo me, as sometimes happens on the amendment I am now offering at this omy more efficient. This is an eco- floor of the Senate, the Senator from time with my friend from Oregon, Mr. nomic fact. Nevada commented that, yes, you have WYDEN, and also on behalf of Mr. This bill also reduces congestion on 11 grandchildren, but I have 14. I got a CORZINE and Mr. COLEMAN. our Nation’s roadways by enhancing phone call after that and found out This is an amendment that has broad public transportation and promoting that I in fact have 12 now. So I want to support within the community of those intermodal solutions to regional trans- get the record straight that we are still who are particularly interested in portation problems. working on it and we are going to transportation, including the support As we all know, less congestion catch the Senator from Nevada. A new of the American Association of State means shorter commute times. Shorter Swan will be born; that happens to be Highway and Transportation Officials, commute times means more time for my daughter’s name. Associated General Contractors of productive activity. This too is an eco- Mr. REID. If the Senator will yield, I America, Chamber of Commerce, Na- nomic fact. say to my friend that under the rules tional Heavy and Highway Alliance, But this bill goes far beyond simply the distinguished Senator from Okla- which represents the labor unions, op- improving the infrastructure in this homa has established, he is counting erating engineers, carpenters union, country. It also enhances our ability to those children who are in gestation and iron workers union, cement masons, move goods across our borders in trade not having been born. If that is the the teamsters, and bricklayers, and with Canada and Mexico. By enhancing case, I can still up him one. I will have many others. We call it the Build freight capacity and improving bina- 15 because we have a new baby who will America Bond Act of 2003. tional transportation planning efforts, be born a month from now. So I am We think it is one of the most impor- the bill reduces the transactions costs still two ahead of him. tant things we can do on behalf of the associated with cross-border trade. Mr. INHOFE. Reclaiming my time, I Nation’s transportation infrastructure. That means that American con- observe we are both still working on I am here to explain the amendment sumers will pay lower prices for im- that, and when they are conceived they and the idea and argue on behalf of it. ports from Canada and Mexico. It also are babies. First, however, I want to say thank means that our exports will be less ex- Mr. TALENT. Will the Senator yield? you to my friend from Oklahoma, Sen- pensive for Canadian and Mexican con- I hope the Senator’s child and in-law ator BOND, Senator REID, and Senator sumers, and that’s good for American have already announced this expected JEFFORDS for their efforts on behalf of manufacturers. This too is an economic occasion and you have not revealed it the underlying bill. Those efforts have fact. to the Senate and the world. been heroic. They have done a great job Finally, as several of my colleagues Mr. INHOFE. I did get that permis- to get the level of spending in the bill have noted, this bill will also enhance sion. I made that mistake once. I was up to where they got it. I am going to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00022 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S979 make the point in a couple minutes nance costs are higher than they We are all familiar with the depart- that it needs to be a lot higher than should be because the roads are no ments of transportation saying: We are that. In making that point, I don’t good. Those are the overall statistics. going to do that; we are going to widen wish to be understood as criticizing And everybody has their own anecdotal that road; we are going to do the sys- them for their work. They have done stories about the shocks they had to tem maintenance; it is on the books for the best they can do with the tradi- replace because of the potholes, the 2020. Everybody in the communities tional methods of funding. time they lose getting to work in the knows what that means. It is never I would also like, before I begin dis- morning. going to be done. cussing the amendment, to thank my There are so many examples of poor If that isn’t enough—and it should be friend from Oregon, who may or may infrastructure that my friend Senator enough—in Missouri, we lost 1,028 peo- not make it to the floor this afternoon BOND and I could give. I called back to ple to highway fatalities in 2002 alone. to talk about this amendment. I know Missouri and asked for a picture of the The statistics show that one out of he wants to. We have had the pleasure bridge over the Missouri River leading three accidents are related to the fact of working together for almost a year into Hermann, MO. Don Kruse, who is that the roads are no good. now on the Build America Bond Act. the editor of the Advertiser-Courier in When you travel around Missouri, For me, it has been a personal as well Hermann, did me a favor and went out one of the things you notice—and I as professional pleasure to renew an ac- and took a picture of it. This is a wonder if they have this in other quaintance and working relationship bridge not over some small river or not States. I should ask some of my col- we had together in the House during over the Missouri River where the river leagues; I never have. But the highway our years when we were there together. begins where it is narrow. This is over department allows people, grieving I thank our friends who are handling the Missouri River in east central Mis- families to put little white crosses on this bill, especially my senior Senator, souri. This is the bridge you take to the side of the road where they lost a KIT BOND, for his great work on behalf get into Hermann, MO, which, by the loved one, and they will write the of the underlying bill. I am pleased way, is a great town. It is a bustling names of those loved ones on the they have gotten the measure to where town, a town with a future if we can crosses, sometimes the age. You might it is right now. Yet I have to tell the get the proper infrastructure. see ‘‘Jennifer, age 7’’ as you whiz by Senate the measure is not big enough. I don’t know if most Members of the and see that little white cross. I say that because it bothers me when Senate can see this picture or if the Every one of those people who died critics of this bill say it spends too people in the Galleries can see it that on one of those roads has a family who much. The truth is it does not invest well, but the rails are rusted. We can loved them. Tell those families that enough. It bothers me when critics of see how narrow the bridge is. That is a this highway bill is too big. Tell them the bill say spending on transportation Mack truck coming one way, and that we don’t need to spend more on trans- infrastructure is irresponsible, when is a car trying to go the other way. You portation infrastructure. Tell them actually the opposite is the truth. Not don’t have to be a transportation ex- that. spending enough on transportation in- pert, you don’t have to work for the What can we do about it? We can do frastructure is what is irresponsible, Department of Transportation to say: I something. We have a mechanism because we have a transportation def- don’t think that bridge is adequate. It available that is used in States and lo- icit in this country. It is growing every isn’t. calities all over this country, a mecha- You have to either laugh or cry over day we fail to take the necessary steps nism that will produce dollars imme- it. When I drive over it, I say: We ought in the Congress. diately to help us remedy this trans- to tell Hollywood if they ever want a The Department of Transportation portation deficit. We can do it respon- crumbling bridge or a poor bridge to studied the Nation’s highways, bridges, sibly. It has the support of groups in- use in a movie, they don’t have to build and transit systems, and reported back volved in transportation from all over one; come here and use this one outside to Congress. They filed a long report the country. It is bonding, and that is Hermann. why the Senator from Oregon and I in and concluded we needed a highway bill We have blood alleys all over Mis- that was about $375 billion. This is the souri. I have driven on them—roads the spring of last year sponsored the report of the expert agencies on behalf that are so dangerous people regularly Build America Bonds Act. We argue that it is the only way we of the Federal Government. It says $375 die because the roads are no good. We can address this issue quickly, in com- billion, not $311 billion. I am glad we also have interchanges in our growing bination, of course, with the tradi- got it to that point, but it will not take communities, such as Springfield, the tional methods of funding that we also $311 billion, not $300 billion, not $280 I–44 and I–64 interchange that are inad- billion, not $250 billion, but $375 bil- equate. support. This is a way to jump-start lion—or something close to it—if we There are many opportunities around this effort. This is a way to make up are going to begin paying back the Missouri for economic growth of which for this deficit in transportation, for transportation deficit we have. we cannot avail ourselves because the this work that we should have done in I don’t believe what I am saying transportation system isn’t what it the past and did not. about the status of our Nation’s trans- should be. Basically, the amendment, if and portation system is seriously contested North Missouri has been in economic when we get a chance to offer it, would by anybody. A lot of people don’t want trouble for a long time, long before the create a federally chartered nonprofit to remedy it and pay what we need to existing recession. It is not because of corporation that would raise $56 billion pay to do something about it, but they the people there. They are productive in tax credit bonds that could be imme- are not contesting that there is a seri- people with a vision. A big part of the diately invested in transportation in- ous problem. reason is the roads are not good frastructure. According to our amend- Thirty-two percent of the Nation’s enough. ment, $40 billion could go to highways, roads are poor or mediocre; 36 percent If we could turn Highway 36 in north $10 billion to public transit, and $6 bil- of our urban roads are poor; 37 percent Missouri into a four-lane road, it would lion to rail. It could be invested right of our bridges are obsolete. We lose $67 link up Hannibal to St. Joseph, which away, not even over the life of the bill, billion a year in wasted time and wast- links up Chicago to Kansas City, and the 6 years, but as fast as we can raise ed fuel costs because of congestion the jobs would follow that corridor. We it and get it out to the States, and the caused by inadequate roads. We lose 4.5 don’t have the money. work could be done in the course of the billion man-hours from people around There are too many first-tier, urgent next year or two. this country who are stuck in traffic. projects in the State of Missouri and in It is a great job creator. Every billion Those are hours they are not at the of- States all over this country that are dollars in transportation investment fice or the factory producing things. not being done, not because they creates about 47,000 jobs. Build Amer- Those are hours they are not at home shouldn’t have a priority, but because ica Bonds have the potential to create with their families. there isn’t enough money. So they get over 2 million jobs. It is one of the rea- We spend $49 billion a year on extra pushed further and further behind, and sons the trade unions are so strongly in vehicle repair costs because mainte- we are all familiar with that situation. support of it, because their members

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00023 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S980 CONGRESSIONAL RECORD — SENATE February 11, 2004 have to drive on these roads and use distinguished sponsor of this amend- did not get out quickly enough to this transportation system, too. Our ment, my partner, address that briefly? scrape it off when the snow and the ice amendment also has the potential to Mr. TALENT. I thank the Senator for started, which she and I had a little generate over $300 million in economic his question. He is absolutely correct. I discussion about. But she is noticing activity. have been to ribbon cuttings and cere- now that some of it is melting, that There is a feature to it that my monies in Missouri, and I bet the Sen- part of the driveway is beginning to friend from Oregon and I particularly ator has been to them in Oregon, where chip. She is upset about it, and so we like. The amendment would require localities have financed local bond are going to fix that and seal that that a percentage of the bonds be issues in order to do transportation in- driveway. What would happen if we issued in small denominations, $25, $50, frastructure, because there is not waited and we did not do that? The so that moms and dads and grandmas enough money coming from the State cracks in that driveway are not going and grandpas could go out and buy a and Federal Government. States also to get any better. They are going to Build America bond and give it to their do this. get worse. kids or their grandkids for their birth- The Senator and I are not talking This highway bill is a lot bigger than days and know that they were invest- about shifting over to bonding as a way the last highway bill—if we can get the ing their moneys in American roads of replacing other highway dollars, or number my friends from Oklahoma and and creating American jobs and pro- taking over the job of financing trans- Missouri have worked so hard to get. It tecting the future of their kids as they portation, because we do not want is a lot bigger. It is 30 percent higher grow up in this country. that. But bonding should be part of a than the last highway bill we passed. It The bill has the potential to save us package that will give us the ability to is a lot bigger because the problems up to $67 billion that we now spend or do the big projects, the one-time have gotten a lot worse. waste in traffic congestion and the $50 projects. We are not suggesting the One thing I will guarantee is, if we do billion spent in extra vehicle repair. States should build this into their reg- not do something decisively to fix this This kind of financing is done all ular maintenance budgets because this problem now, we are going to have a over this country. The funny thing is, money is going to come in and is going highway bill 6 years from now and it there is a certain irony to it. This Gov- to be invested. It is not a regular will be even bigger. It will be much big- ernment will borrow—and everybody stream. It is part of an overall financ- ger. The gap between the size of the here is going to vote for this highway ing package absolutely, and it is done bill and what we will need to do then to bill or has voted for one at one time or all over this country. Given the deficit fix the problem is going to be a lot big- another—hundreds of billions of dollars transportation situation we are in, the ger, too. We are trying to bail out a in long-term debt to pay for operating fact that we have this terrible problem boat and we do not have a big enough expenses. Nobody else in the country with transportation, I think it is fool- bucket. Bonding will fix that. We have does that. Yet unless this amendment ish of us not to consider it. a chance to do that in this Congress. passes, we will not borrow money for It is one of the reasons I have appre- We have strong bipartisan support. long-term capital expenses, which rou- ciated so much working with my This is one of the few things we may tinely happens all over the country in friend. I say to my friend, through the be able to do on a real bipartisan basis. public and private life. We will not bor- Chair, what is the most expensive way We have support from the transpor- row the money for the items we should of dealing with this? If we were looking tation community. We have support finance—investments in capital goods for the most expensive and risky way from the bonding community. There is that pay off over time. to pay for the transportation problem precedent for this all over the country. What is the cost? The way we have we have to fix the roads, rail, and tran- The cost is extremely small relative to set this mechanism up and given the sit that we need in this country, what the gain and relative to the risk of international bond markets and their would we do? We would wait. I submit doing nothing, because if we do not do sophistication, we estimate that under that is what we are proposing to do this now, we are going to pass the bill current market conditions, the total with this bill, as heroically as the for our poor transportation system on cost to the taxpayers would be $2.5 bil- sponsors have worked to get it up to to the next generation. Let’s not kid lion a year, for 30-year bonds. It would the level where they have gotten it up ourselves that we are doing them any be $2.5 billion a year. For that we get to. favors by not investing. We are passing about 2 million jobs. We actually get If one were a homeowner and had a it on to them and we are guaranteeing this bill up to the level which the De- hole in their roof, they would consider that their bill is going to be a lot big- partment of Transportation says we how to fix it. They might try to do it ger than it needs to be. The economic need to really begin remedying this out of their current income. They growth they are going to need to be transportation deficit. It is, quite sim- might take another job to fix it, which able to pay that bill when we give it to ply, the cheapest way of addressing the would raise their income. They might them is going to be undermined if we problem. decide that the best thing to do would do not act now. What is the most expensive way? be to take out a home equity loan and I yield the floor. Mr. WYDEN. Mr. President, will the pay for it that way. The PRESIDING OFFICER. The Sen- distinguished Senator from Missouri What they would not do is say: ator from Oregon. yield for a question? ‘‘Well, this is optional. I am going to Mr. WYDEN. Before my friend from Mr. TALENT. I will be happy to yield let this go because it would be irre- Missouri leaves, I again say how much to my friend. sponsible for me to spend on this. I I have enjoyed working with him on Mr. WYDEN. Mr. President, I so ap- would be mortgaging my kids’ future if this legislation. I think it is fair to say preciate the Senator’s leadership on I took out a home equity loan to fix that nothing important in the Senate this issue and opportunity to be a bi- the hole in the roof.’’ They would know gets done unless it is bipartisan. partisan partner in this effort. Isn’t it eventually they were going to have to What the Senator from Missouri has fair to say the Federal Government is fix this hole, because if they waited, done is lead the Senate in an area that now essentially the only entity on the what would happen? Was the problem I think is bold and innovative. In my planet that isn’t going with the kind of going to get better? No. Holes in roofs view, it is an opportunity to provide a approach that the Senator from Mis- do not get smaller if they are not fixed, real turboboost to our economy. I rep- souri has been advocating? It is being they get bigger, and if one waits long resent a State that consistently is suf- done at the State level, it is being done enough, the roof collapses, and then fering high unemployment, loads of at the local level, and it is being done they do have to spend some money, working-class families facing extraor- through various private initiatives. don’t they? dinary economic hurt, and as we have It seems to me what the Senator has My wife called me the other day talked about now for a good part of the identified is essentially a case for say- about this cold weather we have been day, there is no initiative before the ing the Federal Government ought to having in Missouri, as well as in Wash- Senate that will do more to create join the rest of the world in its ap- ington. We have had ice storms and the good-paying jobs than this particular proach to this logical way. Would the driveway has been under ice because I legislation.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00024 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S981 I think it is important for the Senate whip, Senator REID of Nevada, and oth- and me as we go forward in the Senate, to say on this bill, at this critical time, ers are in that final set of discussions as it is debated with the House, be- that we are not going to stand pat, with the House, this proposal is going cause I am absolutely convinced that that the status quo is not good enough. to look pretty darned good. It is going in the last hours of this discussion, Let’s not have a business-as-usual to look very attractive compared to a when the Senate and the House are transportation bill. I like the idea of tax increase, which certainly some looking for a way to meet this coun- getting our citizens excited, for exam- have debated. It is always a non- try’s transportation needs and looking ple, about buying a child or a grand- controversial topic to discuss tax infor a way to do it in a cost-effective child a Build America bond, something creases in the Senate. fashion, they will say the legislation where kids can save and families can But I think to go with an approach that Senator TALENT and I have put to- engage in an effort to strengthen our like this, the Build America Bonds Ini- gether is an opportunity to do a lot of country’s infrastructure, rebuild our tiative, where, as I learned in the good in a fashion that is fiscally re- critically neglected transportation sys- course of the discussion, and the Sen- sponsible. tems, as the Senator from Missouri has ator from Missouri has just confirmed, I yield the floor. noted, and particularly get the Amer- the Federal Government is the only en- The PRESIDING OFFICER. The Sen- ican people involved in the exercise. tity now that has not figured out how ator from Missouri. I have just come from a round of to do this, it seems to me we have an Mr. TALENT. Mr. President, I am town meetings at home across Oregon opportunity to address that deficiency not going to inflict myself much more and talked about Build America bonds. and to do it in a responsible way. on the subject, but my friend spoke so As we have said, this is to supplement The administration has indicated eloquently on it, and I wanted to add a the good work that has been done by they want to cut the Senate bill. That little bit to what he was saying, par- the Senator from Vermont and the has certainly generated concern in ticularly with regard to cost. Senator from Oklahoma and all of the many quarters. It seems to me, when The thing he and I emphasized that I believe is so important is that these Senators who have been part of our we can find hundreds of billions of dol- problems we have in transportation are leadership. This is not to supplant ex- lars for various kinds of international problems that are not going to go away isting funds; it is to supplement them, challenges and concerns around the if we don’t do anything. If the Federal and to supplement the transportation world, we can do some rebuilding here Government were a private company sector at a very critical time. at home. I think this bonding proposal and its capital infrastructure were in I have long believed we cannot have is a very innovative approach to, in ef- the condition that America’s capital big league economic progress with lit- fect, think outside the trust funds, infrastructure is in, you would have to tle league transportation systems. The think outside the box, and because of list that somehow on the books as af- pictures that have been shown today by the various opportunities for transpor- the Senator from Missouri could essen- fecting the valuation of the company. I tation services to be addressed, this am no expert on these things, but that tially be pictures that could come from legislation lets the country think out- any of our communities, the commu- inadequate capital infrastructure of side the gas tank. that company would be an ongoing ob- nities of Vermont or New Hampshire or As we have indicated, we call on this ligation of the company. It would be a any of our individual States. In my legislation for issuing federally backed debt that the company has to pay be- State, there are traffic jams and back- bonds to pay for new transportation cause everybody in the commonsense logs in communities where no one construction projects. A very broad co- world, if I can say that, understands could have even dreamed there would alition of groups has come together, be a traffic jam even a few years ago. that eventually you have to deal with groups representing business organiza- this issue. So it is for that reason that the Sen- tions, labor organizations, and all of It is also common knowledge, ator from Missouri and I come to offer them are united around the proposition uncontested, that in particular with re- a bipartisan and fresh approach involv- that at a time when workers and com- gard to transportation, when you ing a tax credit and an opportunity to munities are reeling from layoffs and delay, costs go up a lot because there address our country’s transportation getting pounded economically, we are so many inputs to transportation needs. ought to look for opportunities to re- costs: Material costs; wages, of course, I will say to my colleagues that we sponsibly get the dollars that are need- go up, one hopes, periodically; costs of are very much aware of the situation ed for the transportation sector. right-of-way can go up. There are a lot on the Senate floor with respect to this The Build America Bonds Program is of things affecting those costs. Every- topic and the administration’s views on a stimulus that will generate funding body knows it is dangerous to put off it. My own belief is that at the end of for our economy today. It is a chance projects because costs can escalate far the day, when the Senate and the for the Federal Government to hold up beyond the rate of inflation, far beyond House get together, led by the distin- its end of the bargain with our States. what you are earning on the money guished Senator from Vermont, Mr. I am hopeful Congress will finish the you are not spending because you JEFFORDS, and the distinguished chair- critical work on this legislation quick- didn’t want to pay for the transpor- man of the Environment and Public ly, but more than anything, let us pass tation. Works Committee, Senator INHOFE, a transportation bill that is not busi- Under current market conditions we when they are in that room at the end ness as usual. These are not standpat estimate this proposal of ours would of the day negotiating between the times. This is not a time, based on the cost about $2.5 billion a year, which is Senate and the House, I think they are meetings I just had in Oregon, where about, not 1 percent, but one-tenth of 1 going to be looking for opportunities to folks will say let’s just keep doing percent of the entire Federal budget. It do a lot of good in the transportation what we have been doing and we can is considerably less than other pro- area where the pricetag is pretty mod- stand pat because everything is hunky- posals which have been made for new est. When you use that as a definition dory. I think they are looking for bold- kinds of spending, and which I have in a conference committee, where you er and more creative ways to get our generally supported, but which were are trying to wring out the maximum citizens and our economy going where not paid for by any other new stream in terms of value for job creation in we need to go. of revenue. For example, the global meeting our country’s infrastructure The legislation Senator TALENT and I AIDS bill, which received wide support needs, if that is your measure, I think have sponsored will help America get in the Senate and which I certainly the legislation that Senator TALENT going in the right direction by pro- supported, costs more every year than has authored, with the help of myself viding additional funding to meet our this costs. and Senator CORZINE and Senator country’s transportation and economic This kind of spending empowers us. COLEMAN of Minnesota—we have been needs. This kind of spending gives us the op- very pleased on our side to be joined by I understand the situation with re- portunity to create jobs. The Senator Senator DURBIN and Senator DAYTON spect to the floor and the Senate from Oregon and I have not even talked and others—I think when the Senator today. I hope our colleagues will con- about the dynamic impact of transpor- from Vermont and the distinguished tinue to work with Senator TALENT tation investment. But if you Members

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00025 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S982 CONGRESSIONAL RECORD — SENATE February 11, 2004 don’t believe that investment in roads colonies that are great forefathers really hope you don’t get killed be- and highways and rail and transit has a started. That is the greatest genera- cause we want you to hurry back so we dynamic impact, go and talk to the tion. We sit around here, a few of us, can give you the bill. economic development people in your veterans from World War II being But, in any event, the second leg is State—in the urban areas, in the small- called the greatest generation. But the the military, unquestioned as the er towns. They are all for this. real heroes are not here. The real world’s superpower. We have the fine I remember when I was traveling greatest generation was Madison and soldiers we have deployed in both Af- around Missouri in support of Build Jefferson and Washington and Ham- ghanistan and Iraq and elsewhere in America Bonds and I went to Spring- ilton and Adams. That was the real those peacekeeping outfits. More par- field, one of our dynamic cities in Mis- great generation of our time. ticularly, the economic leg, that third souri. I had a meeting at the Chamber The colonies had just won their free- leg is what has been fractured. of Commerce. The head of the chamber dom when the mother country cor- Now how did we build it up? How do came rushing up to me and he said: responded back and proposed exactly you build an economy? Every country ‘‘You know, I like the tax cut. But what we hear today, economists run- in the world is engaged in this trade this,’’ he was waving the one page we ning around all over the land yelling war. You have to compete. You have to had for Build America Bonds, ‘‘is a jobs ‘‘comparative advantage.’’ Today, we protect your economic interests. After the forefathers came Abraham stimulus.’’ read in the Los Angeles Times article Lincoln, the father of the Republican He understands that. about the comparative advantage. But Party. When they came to President This is a proposal whose time has the doctrine started with David Ri- Lincoln and said: We are going to build more than come. I want to reiterate cardo, when the British suggested what the transcontinental railroad, and we what the Senator from Oregon said. I to do is trade back to the mother coun- are going to get steel, he said: We are know the problems the bill faces. We try what you produce best—your com- not going to get the steel from Britain. certainly do not want to imperil the parative advantage—and they will We are going to build our own steel underlying bill for this. I would not do trade back with you what they produce mills. When they were completed, they that. I don’t want to suggest that those best. Free trade, free trade, free trade. not only had a transcontinental rail- supporting this bill have not done Alexander Hamilton wrote a little road but a steel capacity under Abra- great work. I am looking forward to booklet, ‘‘Report On Manufacturers.’’ I ham Lincoln. supporting this highway bill. But at say to the Senator, there is one copy in In the darkest days of the Depres- some point in this process we need to the Library of Congress. I have been al- sion, Franklin Delano Roosevelt pro- be able to confront this because this is lowed to make a copy of it, but that is tected America’s agriculture. It is still not a problem that is going to get any the only original copy I know of. But, the envy the world around. But we put better if we don’t do anything about it. in any event, rather than wasting the in import quotas, subsidies for agri- I yield the floor. time of putting it in the RECORD here, culture, and they should be protected Mr. President, I suggest the absence in a line, Hamilton told the British: unless we want to lose that. They jump of a quorum. Bug off. We are not going to remain all over poor Trade Representative The PRESIDING OFFICER. The your colonies, shipping to you the rice, Zoellick. He finally got a free trade clerk will call the roll. the cotton, the indigo, the timber, the agreement with Australia. There were The legislative clerk proceeded to iron ore, and the natural produce of the exemptions—dairy exemptions, farm call the roll. land, and continue to import the manu- exemptions. You get what you can. We Mr. HOLLINGS. Mr. President, I ask facturing. don’t have just one agreement and that unanimous consent that the order for There was a law before we won our is the end of the world. If you cannot the quorum call be rescinded. freedom that you could not erect a get an agreement with Australia, our The PRESIDING OFFICER. Without manufacturing plant in the Colonies. It best ally—and their standard of living, objection, it is so ordered. was against the law to produce. Oh, they have labor rights, environmental JOBS MOVE OVERSEAS yes. rights galore in Australia—if we can- Mr. HOLLINGS. Mr. President, I will So how do you start a trade war? On not get a free trade agreement with address the most important subject we July 4, 1789, the second measure that that group, we are not going to get a have confronting us in this country. It passed the Congress in its history—the free trade agreement with anybody. So is brought about by a headline yester- first was the Seal of the United we got it. I would support that because day in the Los Angeles Times, ‘‘Bush States—but the second, on July 4, 1789, we have the same standard of living. Supports Shift of Jobs Overseas.’’ I was a tariff bill. It was protectionism. Not only President Roosevelt, but know the distinguished Presiding Offi- It was a 50-percent tariff on over 60 ar- Dwight David Eisenhower was a protec- cer, as well as this particular Senator, ticles. That is how we started to build tionist. He put on oil import quotas— was shocked to see that. But it is the up our economic strength. back in the mid-1950s. truth. It is unfortunate because of the Our economic strength, I say to the And John Fitzgerald Kennedy—he policy of this particular body, the Sen- Senator, is the vital leg in the three- had import quotas on textiles. He had a ate, we are as guilty as the President legged stool of a nation’s security. You seven-point program to protect tex- of the United States. have the one leg of a nation’s values. tiles. I helped write it. I can see me I hear my colleagues weeping and That was unquestioned until we start- down in the press room now with wailing, how could he say such a thing? ed preemptive wars. But we are known Pierre Salinger and Andy Hatcher, the Heavens above, how could you pass fast the world around—they do not hate us. assistant in the press room in the track? It’s just shipping jobs overseas They do not like this policy, but they White House. I will give you an origi- faster. There’s all this free trade, free do not hate Americans. I have traveled nal copy of the seven-point program. trade whining; all of this level the the world for the last 37 years, and I But we saved, with the multifiber ar- playing field, level the playing field can tell you they love America. They rangement, textile production in but we’re shipping jobs overseas. revere our stand for individual free- America until we started giving it What really happens is the distin- dom, democracy, and human rights. away willy-nilly in yarn. We gave away guished President—I don’t know what We have sacrificed the world around; $2 billion to Turkey in Desert Storm. his situation is with respect to being and we still are. We have, counting in We gave away $1 billion here and $1 bil- AWOL in the National Guard, but I Afghanistan and Iraq and Kuwait, 14 lion there. They continue with the Af- make a categorical statement—and peacekeeping forces around the world rican, the Caribbean agreements, and many others are AWOL from the trade right now. So we have sacrificed. everywhere else. war. Now let’s talk about the Afghani- But there is no sacrifice for this war President Reagan came down to stan war, the Iraq war, the terrorism in Iraq back home, and there is no sac- South Carolina, and he committed to war, but more than anything else, a rifice in this Congress. We need a tax protect textiles. We passed the textile trade war. cut so we can get reelected. So we tell bill through the House and the Senate Senator, let me tell you how to start the poor fellow in downtown Baghdad: just to enforce the multifiber agree- one. It was in the earliest States, the We hope you don’t get killed. And we ment. He vetoed it. We passed it under

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00026 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S983 ‘‘Papa’’ Bush through the House and Fisher) rose to his office in an Otis elevator Mr. REID. You are aware, of course— the Senate just to enforce the and worked all day with his Waterman pen that is why you are here—of ‘‘the loss multifiber agreement, and ‘‘Papa’’ under the efficient glare of Edison of work to other countries, while pain- lightbulbs. ‘‘It only remains,’’ one Fleet Bush, who had committed to textiles, Street wag suggested, ‘‘for [us] to take ful in the short term, will enrich the vetoed it. American coal to Newcastle.’’ Behind the economy, his report to Congress says.’’ They keep coming in to Greenville, joke lay real concerns. The United States This is the man who succeeded Law- SC, promising, promising anything was already supplying beer to Germany, pot- rence Lindsey, who had such a great during an election. I have to come up tery to Bohemia, and oranges to Valencia. career in the Federal Government. You here to Washington and watch them go Now we import all of it. And why? are familiar with Lawrence Lindsey, back on their promises. So don’t give Because at the end of World War II, in are you not? me any of this stuff about protec- order to prosper, we had to spread pros- Mr. HOLLINGS. I surely am. tionism. perity, the Marshall plan. We sent over Mr. REID. This is his successor. I Let me tell you, fair and square, we not just the money of the Marshall bil- think he will maybe fit in the same are in a trade war. That is how you lions, we sent over the expertise, the shoes as Lawrence Lindsey did. So the build up your economic strength. Be- equipment. And it worked. We industri- Senator doesn’t think this is such a fore you open your front door, I say to alized Europe and the Pacific rim and good philosophy, that we are shipping the Senator from Vermont, for ‘‘Jef- capitalism has defeated communism. all the jobs overseas? fords Manufacturing,’’ you will need to So it worked. But in that 50-year pe- Mr. HOLLINGS. I tell you, it has pay minimum wage, Social Security, riod, we more or less unilaterally dis- been ship, ship, ship. And who is fi- Medicare, Medicaid. You will need to armed. nancing this extravagance we have have clean air, clean water, plant clos- I can remember back as a young Gov- going? Let me bring you up to date. In ing notice, parental leave, safe working ernor in 1960, I testified before the old 2003, as of the end of November, the place, safe machinery—I can keep international tariff commission, and Chinese had borrowed, in the People’s going down the list. Tom Dewey was the lawyer for the Jap- Republic $143.8 billion and at Hong So what happens? You can go to anese. He was chasing me around, and Kong $55.5 billion. So they have fi- China and open a plant for 58 cents an I was attesting to the fact that if this nanced your and my extravagance to hour—and none of that, none of that. continued, with imports of textiles, 10 the tune of $199.7 billion—they are fi- Still, let’s talk ‘‘cents.’’ If your com- percent of the American consumption nancing our debt. petition goes, you have to go. If you in textiles would be represented in im- Treasury Secretary John Snow goes continue to work your own people, you ports. Over two-thirds of the clothing I to China and he says: How about float- go bankrupt. So, you see, they have am looking at now is imported, not 10 ing your yen here so we can do away given dignity to this dilemma with this percent. Over 86 percent of the shoes with that advantage you have? And the headline: Supports the Jobs Overseas. are imported. And so it goes with auto- fellows in Beijing say: Bug off, boy. Go We in the Congress are responsible for mobiles and steel and hand tools and on back home. We might start selling setting the trade policy. We are the everything else. your bonds rather than buying them, if guilty parties around here. We have to I have been watching Lou Dobbs. He you don’t think that will wreck your change the culture and say: Don’t has had a series on how the world is economy and get the Democrats elect- worry about this free trade and that sending us their architects; then they ed in November. That is what they told you might start a trade war. We are in are sending over medical personnel, Snow. And Snow put his tail between the war. and doctors in America are sending his legs and came home. This is what We started unilaterally disarming for mammograms to be read in India. And controls the trade policy. We don’t con- a wonderful purpose after World War II. then I find out that my utility in trol it because we abdicate. Just like Let me tell you where we were before South Carolina—SCANA—was admin- President Bush is AWOL in the trade World War II. This is the most inter- istering my light bills in downtown war, we have been AWOL in the trade esting thing because this is not a poli- Bangalore, India, and my Food Stamp war—we have, this Congress. tician speaking. This is none other Program at the State capital in my Article I, section 8, of the Constitu- than the famous author Edmund Mor- home State had moved to India. I said: tion reads that the Congress of the ris in ‘‘Theodore Rex.’’ I will just read Heavens above. United States shall regulate foreign The other night I turned on the se- you a few short paragraphs about commerce. What do we do? We bug out. ries, and now we are moving our law where we were at the turn of the cen- We want the money from the big guys work to lawyers abroad. Instead of hir- tury. I am quoting from ‘‘Theodore and the rich guys and the multi- ing paralegals for $75,000 to $80,000 a Rex’’: nationals, so we bug out and say, oh, year in New York to do the background no, you take it, Mr. President, we will The first year of the new century found her work on a brief or an appeal—they are worth twenty-five billion more than her give you fast track so we cannot even moving the work to lawyers overseas. nearest rival, Great Britain, with a gross na- amend trade agreements and you have They are going to move everything tional product more than twice that of Ger- the responsibility. With that responsi- overseas except politicians. We are al- many and Russia. The United States was al- bility, he goes AWOL. Here is the head- ready too cheap, I can tell you that. ready so rich in goods and services that she line. And we are AWOL. was more self-sustaining than any industrial They will be importing everything ex- You have the candidates running all power in history. cept us politicians. And we keep sitting over the land weeping and wailing Indeed, it could only consume a fraction of around whining and beating the desks about jobs. Let me tell you one thing, what it produced. The rest went overseas at and showing charts how we are leveling prices other exporters found hard to match. Mr. President. If you are going to try As Andrew Carnegie said, ‘‘the nation that the playing field. How do you think you level the play- to rebuild an economy, you have to do makes the cheapest steel has other nations one thing. I am going to give you our at its feet.’’ More than half of the world’s ing field? You raise a barrier against a barrier and then remove them both. jobs omnibus bill and we will draw it cotton, corn, copper, and oil flowed from the up and I will get the distinguished Sen- American cornucopia, and at least one third This proposition of the Golden Rule of all steel, iron, silver and gold. doesn’t work in business, I can tell you ator from Vermont to look at it and Even if the United States were not so that. see what he thinks of it. blessed with raw materials, the excellence of Mr. REID. Will the Senator yield for No. 1, what we have to do is imme- her manufactured products guaranteed her a question? diately quit financing the move of jobs dominance of the world markets. Current ad- Mr. HOLLINGS. Yes, sir. overseas. I will never forget, I called vertisements in the British magazines gave Mr. REID. I would like the Senator Walter Allen Drissi. In Lexington, SC, the impression that the typical Englishman to comment on the Los Angeles Times I helped him with the water and sewer woke to the ring of an Ingersoll alarm, lines. He went out and got himself or- shaved with a Gillette razor, combed his hair headline: ‘‘Bush Supports Shift to Jobs with Vaseline tonic, buttoned his Arrow Overseas.’’ ganized and started a high-tech com- shirt, hurried downstairs for Quaker Oats, Mr. HOLLINGS. Show that to the pany, Avenax. He got involved with California figs, Maxwell House coffee, com- viewing public, please. That is the Bill Gates and MCI. So 4 or 5 years ago, muted in a Westinghouse tram (body by theme here. when his stock was up, I called Walter

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00027 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S984 CONGRESSIONAL RECORD — SENATE February 11, 2004 out in California and I said: Now, when it has been left to the manufacturer We need specifically to fully fund the you expand, I want a plant somewhere and the private entity to enforce it. Manufacturing Extension Partnership in South Carolina. We were good to you I will never forget the final climax of and the Advanced Technology Pro- and you still have a home in Columbia. this so-called enforcement in customs gram. We need a list of the critical ma- He said: I will keep my home. I love laws occurred back when President terials in the Defense Department that South Carolina, but I don’t make any- Reagan was President. If you had a are necessary to our national security. thing in this country. He said: I got my problem, you had to go first before the We must make sure we aren’t running research and sales out here. He said: I International Trade Administration, a deficit in the balance of those critical go right to China for my product. I get prove a dumping violation, come before materials. a year-to-year contract. I don’t have to the International Trade Commission Do you know why we waited that build a plant. They have the plant and and prove an injury, and then go to the long to go into Desert Storm? We the workforce. I got a quality man and U.S. Supreme Court and prove the le- couldn’t get the flat panel displays for I am sitting here with the Internet. I gality; and then you have one final the lookdown, see-down, before we watch it every day. My good and trust- step, where the President of the United could go in and decimate Saddam. Now, ed man watches the quality. I make States, on national security provisions, for much of that defense materiel we two or three visits a year. At the end of can vitiate the whole thing. have to depend on allies whom this ad- the year, I have made a wonderful prof- In the Zenith case, they won it all. ministration has made generally unit. If I haven’t, I haven’t lost anything They won before the Trade Administra- friendly. really because I don’t have to renew tion and the International Trade Com- Come on, in this terror war, might the contract. If I have done better than mission. They won before the Supreme doesn’t make right; right makes might expected, I get another contract. It is a Court. Then the Cabinet was gathered in the war on terror. Don’t worry about sweetheart deal. around the table and they agreed a big old defense budget. Get me a big That is what is going on with Amer- unanimously to enforce the finding. In old State Department budget. Let’s ican business. Do you know who the walked President Reagan and he said: I start making friends. We can’t do this enemy within is? The enemy within is have talked to Prime Minister of Japan by ourselves. We are whistling ‘‘Dixie’’ our best organizations—the Business and we are going to have to reverse running around with an atom bomb and Roundtable, the Conference Board, the that. That was the end of it—three a bunch of GIs killing. National Association of Manufacturers, years, millions of dollars, all kinds of The question is: Was it really worth the U.S. Chamber of Commerce, Na- motions and pleadings and everything the invasion of Iraq to get rid of Sad- tional Federation of Independent Busi- else, and it didn’t get anywhere. dam with 530-some American dead, ness. They are running all over the So the real trial bar in trade cases over 3,000 injured, $160 billion in costs, has just about disappeared because it is floor saying: free trade, free trade, free and creating more terrorism rather not worth the billable hours to go trade. Are you for free trade? And we than less terrorism? We actually, this through the exercise. We need an As- jump like monkeys and say, yes, I am minute, have more terrorism rather sistant Attorney General on textile for free trade, but I want to level the than less terrorism. We hope—and we laws. We have an Assistant Attorney playing field. This is nauseating. I have want to support our effort in Iraq to General on antitrust. We need an As- been watching this for years. bring it to as quick a conclusion as sistant Attorney General on trade laws Even the newspapers are against it. possible—we hope we have democracy, and on dumping. They make a majority of their profits We ought to start enforcing our but right now, if you had to call the on retail advertising, and the retailers dumping or selling lost leaders below hand, it would be a loser because we buy all their products overseas. cost. That is against the law in the do- were misled into this war. I used to sit right where the Senator Saddam Hussein didn’t have any mestic economy and the capitalistic is standing, talking about how retail- society that we have, to have lost lead- weapons of mass destruction, but when ers have 100,000 articles at Christmas- ers and sell below cost. That is exactly the President—and I want to explain time, and when they run out of sup- what they are doing. that vote—when the President on Octo- plies and need another 10,000 dozen That Lexus that costs $32,000 in ber 7, 2002, said there is clear evidence quick they would get it from New Jer- America sells for $42,000 in Tokyo on of peril—those are his words, ‘‘clear sey. But now they make a way greater the main street there. They have been evidence of peril’’—we cannot wait profit on the imported article than on selling below cost here, financing with until the smoking gun is a mushroom the New Jersey production. So the re- the banking system to get market cloud. tailers make all their profits on the share. They don’t care about profits. Mr. INHOFE. Will the Senator yield? imported articles, and they advertise Market share is the competition. Mr. HOLLINGS. Wait a minute. That and they call up and they give the al- They say it is not WTO compatible. was on October 7. On October 11, we ready canned editorials to the news- Well, if it is not World Trade Organiza- voted. Once the Commander in Chief papers, so all the newspapers are hol- tion compatible, we have to change says there is clear evidence of peril, lering free trade, free trade, saying it that or get out of the World Trade Or- and 4 days later we have a vote, any- creates jobs. It loses jobs. ganization. After getting that, in addi- body reasonably sane and prudent I have lost 58,000 jobs since President tion to enforcing our laws, we have to would vote to support his Commander Bush has taken office. Come on. My make sure we have the customs agents. in Chief. We thought there was clear State is in trouble. That is why all the I got an office in the Customs house evidence of peril. There was not clear candidates were running around there in Charleston, SC. I used to go to them evidence of peril. making promises. They started a move- on textiles and they said: Senator, wait I will be delighted to yield. ment. But they have to understand a minute, we are shorthanded. Do you Mr. INHOFE. Mr. President, is the that we have to change the culture. want me to enforce drugs or textiles? Senator aware that 13 months ago they How do you change the culture? You I said: No, no, let’s be sure we get the found 11 chemical rockets with war- change the culture by, No. 1, quit fi- drugs. heads that would hold 140 liters of any nancing them, and letting them keep Now I go to them and they say: Wait kind of chemical? They found with that the profits they make overseas. They a minute. Do you want me to enforce VX gas enough to load these 11 rockets. don’t have to pay income tax. That has homeland security, or drugs, or tex- Subsequent to that they found 36 more. to stop. We have a bill in that takes tiles? That is 47. Each rocket, with 140 liters those benefits from overseas produc- I say homeland security and drugs, of VX gas, can kill a million people; is tion and gives it to the particular do- forget about the textiles. the Senator aware of that? Would the mestic manufacturer that continues to The Treasury Department and Cus- Senator call that a weapon of mass de- work his own people. toms testified that they got 5 billion in struction? No. 2, we have to start enforcing our transshipments—illegal transship- Mr. HOLLINGS. We ought to make laws. I have worked with the private ments of textiles into this country. We my colleague, Senator INHOFE, the in- community over the years in customs could save thousands of jobs if we could spector rather than David Kay, who law and enforcement of trade laws, and just get that law enforced. didn’t find any of what the Senator was

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00028 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S985 listing. In other words, I don’t think money, and we need the money to run. The PRESIDING OFFICER. The Sen- there is any more argument. There So we take the money and run and ator has that right. might have been a little bit here, a lit- avoid our responsibilities. THE FUTURE OF SCIENCE AND TECHNOLOGY IN tle bit there, but there was no immi- We have to change the whole culture. AMERICA nent threat. There was no clear evi- We are into a dynamic trade war. We dence of peril. You can find stuff that had a plus balance 10 years ago with Mr. BINGAMAN. Mr. President, for could have killed anybody. We could Europe. We have a negative balance the last 21⁄2 years the primary efforts of all get the chicken flu, but we are not now. NAFTA hasn’t worked. We had a the President and much of official trying to eliminate the State of Dela- $5 billion-plus balance before NAFTA. Washington have focused on: How do ware because they have a little chicken Now it is a negative $15 billion balance, we meet the threat of terrorism? Clear- flu there. Come on. and the average Mexican worker is not ly, that is a threat we need to meet as Mr. INHOFE. Will the Senator yield making less. What we really need is a a country, but there are other threats further? Marshall Plan for our neighbor, the and other challenges that demand our Mr. HOLLINGS. Yes. country of Mexico. That is what we attention as well. The first, most im- Mr. INHOFE. If they found 47 chem- ought to have rather than going back portant of those, in my view, is the ical rockets, rockets that would hold and forth. need to create high-wage jobs. Others 140 liters of chemicals, why would they We had last year a $500 billion trade have spoken about that. The Senator deficit, and about $500 billion in a have them if they didn’t intend on from South Carolina spoke about it. budget deficit. So we have infused—in- using them against somebody? Would Others in the Senate have spoken fused—$1 trillion in the last year into you inform the Senator? about it in the last few days. Mr. HOLLINGS. Why didn’t they use the economy, and we created no jobs. them? Excuse me, why didn’t they use That should worry everybody in the High-wage job creation requires, as a it? You found them, why didn’t they Congress. And what the President pro- precondition, that we adopt sound use them? Why didn’t you call Saddam posed for next year’s budget is not a monetary and fiscal policies. The mon- and say use them? $521 billion deficit. Look on page 392, etary policy we leave up to the Federal Mr. INHOFE. Why did they have and you will find it’s a $726 billion Reserve, but the responsibility for them if they weren’t wanting to use budget deficit that he proposes, and he maintaining sound fiscal policy rests them at some point? doesn’t include anything for Afghani- with the President and with the Con- Mr. HOLLINGS. What is the excuse? stan and Iraq and the cost of the alter- gress. Both this President and this You should have called him, you found native minimum tax, which is another Congress have failed miserably in car- them, and Saddam didn’t use them. $200 billion. rying out that responsibility. We are in real trouble. We have to sit The proof of the pudding is in the eat- Much has been said about that failing. You are running around on the down in a bipartisan way and quit running around with the signs saying the ure, and I am not going to repeat those floor of the Senate finding all kinds of arguments again today. But even if the things, but we had inspectors upon in- President is AWOL, because the Con- gress is AWOL. That is my beef. I President and the Congress come to spectors, and they have pretty well their senses and pursue a policy that is proved there was no clear evidence of fought these trade bills. I couldn’t get anybody’s attention, but now we have responsible with regard to fiscal af- peril. fairs, the problem of how we are going Mr. JEFFORDS. Will the Senator their attention. Baloney with that Business Roundtable, and profits, and to create high-wage jobs is still yield for a question? unaddressed. Mr. HOLLINGS. Yes. downsizing and moving overseas. Let’s Mr. JEFFORDS. I commend the Sen- make it profitable for manufacturers So the question is: What actions can ator for his accurate statement rel- to do business in the United States. we take to achieve that goal? Each of ative to the purported threats. There That is common sense. I say to the us can list at least some of the building was no way to deliver. I think 900 miles Senator from Vermont, doesn’t he blocks for a high-wage society, fair and was the furthest rockets could carry, want to do that? I am sure he does. I equitable tax structure, an educated and there was no threat really ever thank the distinguished Senator for his and skilled workforce, an efficient, ro- given anyway. I want to clear that up kind attention. These are the most im- bust transportation infrastructure, a from my perspective. portant issues we have ever had. There modern communications infrastruc- I thank the Senator from South isn’t any question about that. ture, and so on. The January 27th New York Times Carolina more so for the wonderful eco- reports that at a business meeting in I would argue that any discussion of nomic history of this Nation he has Davos, Zhu Min, an economic adviser high-wage job creation should start given us and how we came to the in- to the President of China, was met with what military strategists refer to credibly strong positions we were in with silence when he asked Americans as the point of the spear, the tip of the but now find ourselves dissipating all how their country planned to finance spear, and I firmly believe that in the those great triumphs we had in the its economy with both blue collar man- economic competition for high-wage past and watching them all march ufacturing and white collar service jobs job creation, this point of the spear is overseas. going elsewhere. science and technology. Just as in the I think what Senator HOLLINGS has The world has changed. Come on, case of our national security, our eco- given us today ought to be put in mar- wake up and start working out a good nomic future depends on our remaining ble so everybody can read and better jobs policy in this Congress and quit the world leader in science and tech- understand the situation of this Nation blaming each other. There is plenty of nology. If that leadership is lost, then at this time. I thank him for that won- blame to go around for all of us. But our capacity for high-wage job creation derful contribution to our history. when it gets so bad that the economic will soon atrophy. Mr. HOLLINGS. The Senator from adviser to the President of China, is Joseph Schumpeter, who taught all Vermont has been overgenerous to me, asking how you pay your bill with all but I think what we both agree we are of these jobs going over here, and the of us about the creative destruction at fault as much as the President in economic adviser to the President of that is inherent in our capitalist sys- shipping jobs overseas. We are the ones the United States says, ‘‘Right on, we tem, the competition that is brought under the Constitution, article I, sec- need more of them overseas, it is good on by new technologies and new mar- tion 8, the Congress, not the President, for the country,’’ we are in real trou- kets destroys companies, it destroys not the Supreme Court, the Congress ble. entire industries. Jobs that existed in shall regulate foreign commerce, but I thank the distinguished Senator. those industries are lost, only to be re- we have abdicated our responsibility, I yield the floor. placed by new jobs in other industries, and we have gladly done so. Why? Be- Mr. BINGAMAN. Mr. President, I ask in new companies that are nimble cause the Conference Board and the unanimous consent that I be allowed to enough to take advantage of the dy- Business Roundtable and the United speak for up to 30 minutes as in morn- namic change that is ongoing at all States Chamber of Commerce gives us ing business. times.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00029 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S986 CONGRESSIONAL RECORD — SENATE February 11, 2004 As Andy Grove of Intel has said, only tinued miniaturization and diffusion of mercial reality. This termination of the paranoid survive. If we want the data processing power; secondly, high- the Advanced Technology Program is United States to lead in the 21st cen- end super computing; third, tele- particularly egregious in light of the tury, we need to recognize that the communications technologies; fourth, circumstances we face. world of the future is being shaped by man-made materials, including mate- The rationale for the termination in new technologies and their rapid diffu- rials in which the structure has been the President’s own budget document sion. Entire industries may disappear designed and built at the atomic or the deserves to be enshrined as some sort in the process or be utterly trans- molecular level. of classic wrongheaded reasoning. Let formed, and there are many examples. This is, in essence, nanotechnology. me read this for anyone who is listen- One is the entire industry of recorded Another example is robotics. Another ing to understand what was said. This music that is being reshaped by the is biotechnology, which I have referred is word for word out of the President’s ease of downloading music from the to before. Also, technologies to in- budget document. The heading is ‘‘Ad- Internet. Sales of recorded CDs have crease energy supply such as renewable vanced Technology Program—ATP.’’ been dropping each year for the past energy technologies that are as inex- This is a description: few years. Today, blank CDs for mak- pensive as traditional fossil fuel The ATP endeavors to help accelerate the sources of energy and that use hydro- commercialization of high-risk, broad-ben- ing recordings at home substantially efit enabling technologies with significant outsell recorded CDs. When one walks gen as an energy carrier, and also tech- commercial potential. ATP is a merit-based, into Staples or Office Depot, one sees a nologies for increased energy conserva- rigorously competitive, cost-shared partner- big display of blank CDs for sale, and tion. We know that these technologies ship program that provides assistance to one can be certain that most of those are crucial to our future. U.S. businesses and joint R&D ventures to CDs are not destined to be used to The question is: Will America play a help them improve their competitive posi- store spreadsheets of data. Even the leading role in their continued develop- tion. The President’s 2005 Budget proposes to ment? The answer is not that self-evi- eliminate the program and, therefore, no small number of high-profile lawsuits funds are requested for FY 2005. against individuals who burn disks of dent. In the 60 years since World War II, other countries and other regions of So that is it. I did not add a single music without regard to the copyrights word. I did not subtract a single word the world have built science and tech- have not substantially altered this phe- from the President’s rationale. Lit- nology capabilities that rival ours nomenon. erally it says ATP is a great program; The music industry still is in search today and in many cases are destined it helps our competitiveness; it is effec- to rival ours in the future. The Govern- of a mechanism to adapt to this fun- tive. Therefore, we propose to kill it. damentally new business environment ments of China and India and Japan There is another aspect to President brought about by the diffusion of two and the European Union have all tar- Bush’s budget that makes the point new technologies; that is, the Internet geted advancements in their research that science and technology policy is a and, secondly, cheap CD-burning and innovation system as key elements low priority for this administration. drives. of their plans for future national and That is the underfunding of important Another example: The biotechnology regional economic prosperity. Even if R&D programs that Congress has re- industry. This is an industry that has we have a strong science and tech- cently authorized by overwhelming sprung up in a very short period of nology policy in this country, these margins and that the President has time. The basic patent for genetic engi- other countries and regions will give us signed into law. neering, the Cohen-Boyer patent on stiff competition. One example is cybersecurity re- making recombinant DNA, was issued Unfortunately, though, just as this search and development. Every Amer- 30 years ago. No one at that time could international challenge is becoming ican knows that computer viruses and have predicted we would one day have very clear, this administration appears worms can cause serious damage to the a biological industry rivaling the to be sticking its head in the sand. A economy. In November of 2002, Con- chemical processing industry that was look at the budget proposal for fiscal gress passed, and the President signed, already a century old at that point. year 2005 submitted by President Bush the Cyber Security Research and De- The United States has reaped enor- on February 2, shows the serious gaps velopment Act. That bill authorized a mous economic benefits from being the in support of the kind of basic science significant program of research and de- first country to lead in the develop- and engineering that will be the most velopment on computer and network ment of the Internet and the har- important to the development of tech- security in the National Science Foun- nessing of biotechnology, but these nologies and industries of the future. dation. For fiscal year 2005, those R&D revolutions are far from being the last Let me give some examples: authorizations amounted to just over technological revolutions we have seen The budget proposes $660 million in $122 million. or will see in the future. cuts for basic and applied research at After signing the bill, the President So the key questions at this point in the Department of Defense, the sort of had a complete budget cycle to develop time for us are: Which countries will research that has the greatest poten- a budget request incorporating the au- win the competition to develop these tial for dual use and effective spinoff to thorizations that he signed into law. new industries, these new jobs, based the civilian high-technology indus- There appears to be no proposed fund- on future technological changes? tries. ing in 2005 in the National Science Which countries will benefit overall There is a proposed $68 million cut Foundation to carry out the law. In es- from those changes? Which countries for the Department of Energy’s Office sence, the President’s signature on a will lose out? After the current wave of of Science, which is a major supporter law to increase R&D investment in cy- technological change has passed, which of basic physical sciences and engineer- bersecurity meant nothing when it countries will be best positioned for ing research. came time for the administration to the next inevitable wave of change? There is a $63 million proposed cut put together a proposed budget for 2005. We ignore these questions at our for energy conservation research and In fact, the budget element for the Na- peril. After reviewing the President’s development at the Department of En- tional Science Foundation budget that proposed 2005 budget for science and ergy. would fund this activity is proposed for technology, I am persuaded that this There is a proposed $183 million cut a decrease of $40 million. administration is ignoring these ques- for fiscal year 2005 for agricultural re- A similar situation has occurred in tions now. It is clear that we are, in search. the area of nanotechnology. Again, last fact, in the middle of a set of inter- There is a proposed $24 million cut year Congress passed, and the Presi- related technological revolutions that for transportation research. dent signed, a major research author- are both reshaping existing industries There is the proposed total elimi- ization bill for nanotechnology. The and leading in a number of cases to en- nation of the Advanced Technology contents of the bill were well known tirely new industries. Program in the Department of Com- during the bulk of the budget cycle. A short list of those ongoing revolu- merce. That is a loss of $171 million for For fiscal year 2005, the bill provide for tions would include the following: new technologies that would otherwise nanotechnology spending across five Microelectronics, particularly the con- have been enabled and brought to com- agencies adding up to over $800 million.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00030 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S987 The President chose to hold a formal given to science in the administra- qualified people in all of those posi- signing ceremony at the White House tion’s thinking about our Nation’s fu- tions. Under this administration, only on this bill, and this is unusual for a ture. two of those six positions have been bill dealing with research and develop- There are other policies as well that filled. No attempt was made to adjust ment legislation. The White House this administration has put forward re- that staffing strategy after the events press release for the signing ceremony lated to science and technology that of 9/11. noted that the President had pre- are also deleterious to our future, just Clearly, this is an issue that deserves viously requested a 10-percent increase as these cutbacks in funding are, to attention. The President’s Science Ad- in nanotechnology funding for the 2004 which I have referred. visor appears to have spent the bulk of budget. In the fiscal year 2005 budget One example is the visa and other im- his energy on terrorism-related issues request, after the signing ceremony, migration restrictions that have been since 9/11 with the result that the over- after the photo opportunity, the Presi- put in place over the past 2 years re- all health of our science and technical dent asked for a 3-percent increase for lated to science and engineering stu- foundations has not gotten the atten- the national nanotechnology initiative dents in this country. Foreign-born tion it otherwise could have received as calculated by the Office of Manage- students coming to this country have from a fully functioning OSTP. ment and Budget. for decades been an important asset to A second action item we could ad- Before we passed the legislation, he the United States. After completing dress in Congress is require the Presi- asked for a 10-percent increase. After their training, many have stayed here dent to actually prepare and make pub- we passed the legislation, he asked for to make significant contributions to lic a science and technology policy. We a 3-percent increase. When you com- both basic science and innovation. have a lot of speeches about how we pare the President’s nanotechnology They are a great source of strength in need a national energy policy in the request for fiscal year 2005 to the au- our innovation system and to our coun- country. Why don’t we need a national thorized levels that he signed into law, try. technology policy? Having such a docu- it turns out that he has requested $200 We have only to look at the current ment is not a panacea, but the dis- million less for nanotechnology R&D in Director of the National Institutes of cipline of having to sit down and write the budget that he sent us on the Feb- Health, Dr. Zerhouni, who was born in such a document will force the White ruary 2, compared to the authorization Algeria and came to the United States House to give some thought and exam- that was signed a few months earlier. in his early twenties to train in diag- ination to the technological opportuni- Finally, there is a total disconnect nostic radiology at Johns Hopkins Uni- ties and revolutions we face and on between science and the administra- versity in Baltimore. Today, in the which we are in danger of missing out. tion’s plans for the space program. At name of increasing our national secu- Previous Presidents have had explicit the same time that the President is rity, we are making it extremely dif- policies in this area. The value of such cutting and terminating or failing to ficult for the best and brightest foreign policies has only increased in recent fully fund R&D programs with dem- students to come to the United States years. onstrated effectiveness in creating jobs and be educated and to remain in this A third action we can take in pre- and wealth in the country, he is pro- country and become citizens as Dr. paring this new budget resolution is to posing a manned Moon-Mars initiative Zerhouni was able to do. insist that the entire Federal science at NASA. That is likely to yield some Instead, the effect of our policies and and technology budget get better and benefit to the Nation. There is a lot of the ham-handed way we are imple- more unified consideration. It would be debate about how much benefit. menting those policies is driving away valuable to have some joint hearings Most of the alleged technology spin- from the United States some of the sci- across the relevant committees in the offs of past space exploration activities entists and engineers who want to Senate on the overall shape of our have not been as great as was adver- come here to build a better life for science and technology spending. It tised. We did not invent Teflon or themselves and for our society. This is might be worth considering whether Velcro or even Tang, as part of the an issue we need to look at seriously, the functional structure of the budget space program, contrary to the belief and we need to begin to make rational itself should be revised to put the en- of many. decisions with regard to it. tire Federal S&T budget in one place so To pay for the new Moon-Mars initia- The end result of these policies that that there is more transparency as to tive, the President proposes to take have been implemented today is that what the real trends are in the na- funds from other parts of NASA during the brightest students from around the tional budget for science and tech- the next few years. Beyond that, future world will increasingly choose non-U.S. nology. Presidents will have to direct substan- educational institutions for their ad- A final action item I would mention tial funds to manned space fight in vanced education, and major scientific today is Congress needs to take a order to keep the program on schedule. meetings will increasingly take place strong role in resisting the cuts that We have already seen the first wrong- outside the United States. Our policies are being proposed by this President to headed move at NASA in the area of di- could have the effect of strengthening the research and development budget, verting resources and that is the pro- the innovation systems in other coun- particularly to programs such as the posed abandonment of the Hubbel space tries. As a result, we might well be en- Advanced Technology Program. Frank- telescope, which is one of the premier couraging high-wage job growth to ly, instead of terminating the ATP, we assets of NASA at this time. The take place overseas instead of the should be looking to duplicate its Hubbel telescope is still in its prime. It United States. strategies and successes in other Fed- is capable of continuing to make major What can we do about these issues? eral agencies. discoveries about our universe and its We in Congress can do several things. For example, both in the Department formation. The proposal to abandon Let me mention a few. of Energy and in the Environmental the Hubbel telescope to find money to First, Congress can put more pres- Protection Agency, we could benefit plan for a manned mission to Mars is a sure on the President to beef up the from having programs structured along clear example of the low value that White House Office of Science and the lines of the Advanced Technology seemingly is placed on real science by Technology Policy, or OSTP. One of Program as part of the overall mix of the administration. the basic reasons there seems to be so programs in each agency to spur the Because of the outcry from the sci- little leadership on science and tech- development of new technology. entific community and from some col- nology issues coming out of the White One thing I hope Congress does not leagues in the Congress, notably Sen- House may be that the Office of do is what the administration unfortu- ator MIKULSKI of Maryland, this pro- Science and Technology Policy appears nately has done; that is, to lose focus posal is now getting a second review, to be significantly and severely under- on where the real source of our future but it is too soon to say that it will, in staffed. The current Science Advisor is national wealth and high-wage job cre- fact, be withdrawn. The fact that this authorized under law to have six high- ation opportunities lie. Our future eco- termination was proposed in the first level deputies and most previous nomic security crucially depends on in- place illustrates the lack of priority Science Advisors were extremely well novation and genius as reflected in our

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00031 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S988 CONGRESSIONAL RECORD — SENATE February 11, 2004 scientists and engineers, particularly computational mathematics but the utilize it for the public good in a way universities and major laboratories advanced technology program—is doing that does not, in my opinion, sap our that are supported by the Federal Gov- is subsidizing product development for economic strength by trying to manip- ernment. Our long-term economic fu- private sector companies. That natu- ulate or micromanage these markets. ture depends upon us making well-rea- rally begs the question, What compa- There are many areas of the Federal soned choices about what our real pri- nies? What companies are benefiting Government where we might be pro- orities are, and science and technology from these subsidies? As I said, they viding support—through the National needs to be recognized as a priority are profitable. But these are companies Science Foundation, through the Na- that it in fact is for the country. that have competitors. That means tional Institutes of Health—the basic I yield the floor. someone in the Federal Government—a research in medicine or physics or The PRESIDING OFFICER (Mr. COR- man or woman somewhere in the Fed- chemistry or mathematics or some of NYN). The Senator from New Hamp- eral Government—is looking at a num- the other areas I mentioned which shire. ber of different firms in a given indus- might be very worthwhile, to expand Mr. SUNUNU. Mr. President, I want try and picking one or two to provide a our understanding in these areas of to take a few moments to respond to taxpayer-funded subsidy for the devel- basic science and mathematics. But the Senator from New Mexico and some opment of a new product that they are helping some company develop a new of the thoughts and ideas he has pre- going to sell in the marketplace and air conditioning system or new control sented. I appreciate his interest in this make money from. system or write a new software code topic and his interest in science and The Federal Government doesn’t get they can sell into the marketplace is technology. But I strongly disagree an equity position. We don’t get royal- not the way to do it. with some of the conclusions he draws. ties. We are not benefiting from the I yield the floor. I think the reason for some of those fruit of these subsidies, but we are cer- The PRESIDING OFFICER. The Sen- conclusions is that all too often when tainly taking the taxpayers’ money ator from New Mexico. Members of the House or the Senate from families who might be earning Mr. BINGAMAN. Mr. President, let talk about issues of science and tech- $30,000, $40,000, or $50,000 a year—middle me respond briefly to the comments of nology, we assume that all programs income or low income. We are taking my colleague. I respect his background having to do with science, technology, their tax money and giving it to some and knowledge in engineering and or research that carry that label in the private corporation to subsidize their science. He is, I believe, the only quali- Federal Government are all created new product development. That is sim- fied engineer we have serving in the equal; that they all have the same ply wrong. It does not matter if there Senate at this point. I certainly re- goals, motives, and effects in areas of is a merit review. It does not matter if spect that. science or research and the same effect the man or woman or the board evalu- I believe strongly the Advanced on our economy. They simply do not. I ating these programs is being very Technology Program which he has dis- think it is important that we draw a thoughtful about it and very judicious cussed is a very good use of taxpayer distinction between the various types in trying to be fair and balanced and dollars. It is not, as he describes it, of research and technology programs pick the right technology or the most subsidizing product development by in- that have been discussed. promising technology. dividual companies. It is, in fact, as- The Senator from New Mexico men- It is wrong to be subsidizing the sisting with generic, broad-based, high- tioned NASA’s program. He touched product development of a private com- risk, precompetitive technology devel- very briefly on National Science Foun- pany selling its goods into the market- opment. dation programs, many of which fund place, trying to make a profit. It is cer- I suggest to my colleague much of some of the nanotechnology initia- tainly not an efficient way to run an our ability to compete in world mar- tives. He mentioned the Advanced economy. It certainly is not fair to kets depends upon our remaining world Technology Program, and that in par- those competitors who are selling simi- leaders in the various generic tech- ticular is the one I wish to talk about. lar products who have to compete with nologies we are talking about. In If there is one program in the Federal the company getting the big govern- microelectronics, in nanotechnology, Government that ought not to be ex- ment subsidy or the small government in a whole range of areas, we need to panded, it is the Advanced Technology subsidy. It does not matter to me if have Government support for contin- Program. It is for the reasons that are they get $100,000 or $200,000 or $2 mil- ued development of generic tech- described or listed in the description lion. It certainly is not the role of the nologies so our companies can, in fact, read by the Senator from New Mexico. Federal Government to try to manipu- pick up on that and hopefully be com- He described a program that invests in late or micromanage markets for competitive in the world markets. That is or subsidizes commercial research for mercial products. That is not the role what has happened in biotechnology. private companies to develop new prod- of the Federal Government. Maybe the genome project is a ter- ucts to sell in the market. This isn’t I do not take issue with a lot of the rible use of taxpayer dollars, funding investing in research that subsidizes or concern and interest shown in encour- the development of the genome prod- supports basic physics or chemistry or aging our children to dedicate them- uct. There are a lot of commercial ben- computational mathematics. This is selves to areas of science or technology efits coming out of that and many new product development for private— or mathematics. I certainly enjoyed more in the future. But that was a gov- and in most cases profitable—compa- math and science as a student, and al- ernment-funded research effort, and nies. The description he read of their though I don’t know how well I per- that was an extremely good invest- commercial applications means that formed, I performed well enough to go ment. That is one of many examples. someone somewhere has to assess the to engineering school and work at least The Advance Technology Program— value of these new products. I think at one time in the real world helping to and I do not have all the examples with the description also mentioned the risk develop new products and helping to me today, but I will bring them to the involved. bring them to market. Maybe it is that Senate in the days ahead. But to say Those who have worked in manufac- personal experience, having worked at the rest of the world can do what it turing, engineering, and product devel- the very type of firm that may be ap- wants in the way of pursuing generic- opment understand there are risks in- plying to the Federal Government for enabling, precompetitive technologies, volved in developing new products. But these subsidies, that makes me so con- we are doing nothing in those areas, is there are also rewards to be gained. cerned this is not the right role for the shortsighted in the extreme. Essen- That is why many of these companies Federal Government. This is not the tially, that is what this administration are quite profitable. best way to spend taxpayers’ money. has done. We do not want an Advanced What this program in particular—not That is precisely the reason the ad- Technology Program in this country. all federally funded research, and cer- ministration has said we ought not to The Japanese can do what they want, tainly not the work of the National be spending $150 million in this way. the Europeans can do what they want, Science Foundation that provides sup- We can find a better use for this the Chinese can do what they want, port for physics and chemistry and money. We can find a better way to along with every other major country.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00032 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S989 I just returned 2 months ago from a in point as to why it is not a good idea gies to the Senator from Wyoming, Mr. trip to Taiwan. I urge my colleague to to take taxpayer money and try to sub- THOMAS, for allowing me to go before go to Taiwan—maybe he has been to sidize the product development—in this him. I will be as brief as possible. I Hsinchu Science Park near Taipei—and case, of cars—that is a product sold in wanted the discussion to be in keeping talk to them about how it is inappro- the marketplace, and in a competitive with what has been said by the Senator priate for government to be involved in marketplace at that. from New Mexico and the Senator from any way assisting in the development One final anecdote, and I think it is New Hampshire. of precompetitive technology that an important anecdote. The Senator I am not a scientist, but I am a histo- might benefit some of these companies. from New Mexico mentioned Taiwan. I rian. I understand history. I know, for They do not understand what language have been to Taiwan before; not to this example, in 1844 Congress was ap- you are talking in that kind of discus- particular office park. I do not believe proached by a man who said: I want to sion. in a national economic policy that revolutionize the communications sys- We are in a severe competition with says: Let’s do what the Japanese are tems in this country. He asked Con- the rest of the world to remain the doing. Let’s do what the Germans are gress to appropriate $40,000 for an ex- world leader in science and technology. doing. periment he did not have the where- The advanced technology program is In Germany right now they have over withal to do. He had been trying for an essential part of us maintaining 10 percent unemployment. In Japan many years to get the money to do that leadership. It is wrongheaded for right now they are still in the throes of this. this administration in this day and a deflationary spiral and a stock mar- The experiment was to build a tele- time to be coming to the Congress and ket collapse that began several years graph line between Washington, DC saying, let’s eliminate this program. ago. and Baltimore, MD. For $40,000 they Sure, we want high-wage jobs to be cre- I do not want to be Japan. I do not did it. The Federal Government did not ated, but the answer to that has been, want to be Germany. I want to be ever have to put another penny into Let’s cut taxes some more. America. I want the strongest, most that project. It revolutionized the way That is not an economic strategy competitive, most vibrant economy in we communicated in America—the that is going to get the job done. We the world. That is what we have today. telegraph system. The Federal Govern- need various elements of an economic I do not want to lose that, certainly. ment did the right thing by doing the strategy. One of those is to remain the But if we look back just a little bit, research and development on this world leader in generic precompetitive back to the late 1980s, industrial policy issue. Let’s fast forward now more than 100 technology development. That is what wonks within the Senate and the U.S. years from 1844 when two scientists the Advanced Technology Program is Government were insisting if we want- from MIT, by the name of Danby and intended to do. I strongly favor contin- ed to be a competitive economy, we Powell, were stuck in traffic in New ued and increased funding of it. had to subsidize the development of the We have a basic disagreement on this high-definition TV standard, and they York. They were both professors at MIT, scientists. They said: This is ri- issue. I wanted that on the record. did not talk about putting $100 million The PRESIDING OFFICER. The Sen- or $200 million or $150 million, as we diculous. We shouldn’t be stuck in traf- ator from New Hampshire. have in the Advanced Technology Pro- fic like this. We should figure some- Mr. SUNUNU. I appreciate the com- gram today, into subsidizing the devel- thing out that would stop this. They went back to the laboratories, ments of the Senator from New Mexico. opment of a TV standard. They were To reiterate what I hope I was clear talking about billions—$2 billion, $5 and they, within a short period of time, in saying before, I am not talking billion, $10 billion—to subsidize the de- invented magnetic levitation, which is about National Science Foundation velopment of a commercial applica- the ability of these huge trainlike vehicles to speed through the air, but the funding, which was the funding prin- tion. vehicle is less than a quarter of an inch cipally used to support the develop- Fortunately, the United States did off the guideway. It goes 300 miles an ment of the human genome project. I not do that. But Japan, the model cited by the Senator from New Mexico, did hour. have been quite supportive of the NSF The Federal Government, the United funding and the National Institutes of do it. They put roughly $20 billion of their federal taxpayer resources into States of America, for 5 years paid for Health funding research, which is the development of that commercial research and development for this new where the human genome funds came standard. As a result, they have a high- technology. There were cost-cutting from. definition TV standard that cannot issues that came forward and it was Talking about the Advanced Tech- eliminated. There was no more re- nology Program, I am not quite sure rival the standard that was developed by the private sector, the competitive search and development. But the Ger- what ‘‘precompetitive’’ means. I would marketplace here in the United States. mans and the Japanese picked up from like to use the definition that is just It is a small example. where we left off, and now they are in behind the Senator from New Mexico. We might be able to point to an ex- the process of finalizing their experi- It says ‘‘commercial potential.’’ That ample where a technology or venture mentation of magnetic levitation. means products that are commercially in ATP did result in a good commercial We are going to have magnetic levi- viable that will be sold in the market- product that enabled the owners of tation in this country, no question place, in a competitive marketplace, in that product to make a lot of money. about it. It is only a question of when. that description behind the Senator But, as I often point out to my con- The bill that is now before this body from New Mexico. stituents, if you let me spend $150 mil- will spend hundreds of millions of dol- It says the grantees of this program lion a year, I can certainly create a few lars on magnetic levitation. The bill are businesses—businesses and joint jobs with it; the question is, is it the before that did not spend that much. It R&D partnerships that are funded by, I role of the Federal Government. is going to happen, but we are going to assume, I hope, American businesses. Should we be micromanaging private have to import the equipment and the In fact, at one time some of the largest sector, profitable companies in the pri- technology from Germany and Japan. grantees of this program were those in vate marketplace? Should we be sub- I believe the Senator is right. I be- the automotive industry, automotive sidizing one company at the expense of lieve the Federal Government has to be manufacturing industry. We were using its competitors? Is it the right thing to very careful in picking and choosing these ATP funds for the partnership for do? I think in this case it simply is not. where we help with research and devel- the next generation vehicle. This was I yield the floor and very much ap- opment on a scientific project, but we an initiative driven originally by Vice preciate the Senator from New Mexico have an obligation, I believe, to the President Al Gore at the time to de- engaging in this discussion and dif- taxpayers of this country to develop velop a hybrid car, hybrid electric and ference of opinion. the telegraph or magnetic levitation. combustion engine. After spending The PRESIDING OFFICER. The mi- I underscore the need for this and ap- about $2 billion in all with the Ad- nority whip. plaud and congratulate the Senator vanced Technology Program, that ef- Mr. REID. Mr. President, I first of all from New Mexico for his usual far- fort was abandoned. It simply is a case extend my appreciation and my apolo- sightedness.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00033 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S990 CONGRESSIONAL RECORD — SENATE February 11, 2004 The PRESIDING OFFICER. The Sen- then, the transportation system has that people were using. Of course, it is ator from New Mexico. been operating under a 5-month exten- very expensive. So there are a lot of Mr. BINGAMAN. Mr. President, let sion, which expires at the end of this dollars involved in doing this. But we me just continue, if I can, for another month, by the way, and which doesn’t can’t allow these kinds of things to 2 minutes before yielding to my col- fund nearly to the present needs be- continue to deteriorate. league. I promise it will be very short. cause it is a CR from before. I just came from a meeting for an I thank the Senator from Nevada So the infrastructure is in great hour or so with the Director of the Na- very much for the examples he cited. I need. All of us recognize that. There is tional Park Service. I happen to be think there are many other examples, an increasing use of it, increasing num- chairman of the Park Service Sub- and in the coming days and weeks I bers of cars on the road, increasing committee. One of the issues important will try to bring some of those to the numbers of trucks. to the Park Service is maintenance of floor, as I am sure my colleague from Our whole economy depends on this highways in national parks. Of course, Nevada will. transportation infrastructure. The here again it is very expensive but ab- The truth is, we would not have an Interstate Highway system is almost 50 solutely necessary to have it done. Internet if it were not for Government- years old. Thirty-two percent of our There is a great deal of discussion funded technology development. The major roads are in poor or mediocre about what we ought to do. The ex- President himself has identified some condition. You can see that, particu- penses are high. We are all concerned areas where he believes we need to put larly when we have had the rain and about the budget and the deficit, of additional resources into research and the storms, you drive around and bump course. We want to work to change development—developing hydrogen-op- into the potholes. that. But we have had that in mind as erated vehicles, for example. But more importantly, we don’t have we have gone along on this whole pro- There are a great many areas where the kind of expansion to handle the in- gram. the Government does have a legitimate creased traffic. Twenty-nine percent of Of course, the basic source for funds role to play in underwriting generic, our bridges are structurally deficient, for highway funding is the tax on gaso- precompetitive technology our compa- functionally obsolete. Thirty-six per- line that each of us pays, 18.5 cents nies can then take to be competitive cent of the Nation’s urban rail vehicles each time we put in a gallon of gas. and remain competitive. That is what and maintenance facilities are in sub- That goes into this fund. It goes into the Advanced Technology Program has standard condition. Twenty-nine of the the fund for highways, partially for done. There are many examples we can Nation’s bus fleet and maintenance fa- mass transportation as well. The fund- point to over the years of successes cilities are substandard or in poor con- ing actually was done in the Finance they have had, and we will get those dition. We really have a challenge with Committee, and there has been a con- examples out for the Senate. one of the most important aspects of siderable amount of talk about the fact But it is shortsighted in the extreme our economy being in poorer shape, that there was some sort of trick being for us to be saying, in this day and certainly, than we would like to see it pulled in order to get money in there time, when we are worried about high- or even imagine that it is. that didn’t belong there. Quite frankly, wage job creation in this country, that I am very pleased that we are work- I followed it as closely as I could. I the way to start dealing with that is to ing on this bill. I happen to be a mem- keep hearing these incorrect allega- eliminate this kind of program, to ber of the EPW Committee as well as tions. eliminate our support for science and the Finance Committee. Those are the I encourage critics to read the Fi- technology development in the Depart- two main committees involved. I have nance Committee title. Under the comment of Commerce. That is a very been involved for some time—in fact, 6 mittee title, the highway trust fund shortsighted approach. I hope this Con- years ago I was involved in the pre- will maintain more of the excise taxes gress will not agree with this President vious program from the EPW Com- that were intended to go into that fund and go along with this kind of cut. mittee. I feel strongly about this issue, originally but have not been there. Mr. President, with that, I yield the very strongly about it in terms of the This accomplishes partial elimination floor. Again, I thank my colleague, infrastructure, very strongly about it for the ethanol blend of fuels. These Senator THOMAS, for his courtesy in al- in terms of the jobs that it creates. fuel users now pay the full excise tax, lowing us to continue this debate as Quite frankly, it creates more jobs and the trust fund under this plan will long as we have. more quickly than any other kind of receive the money. It has not in the The PRESIDING OFFICER. The Sen- activity we could undertake. past. The benefits will be taken as a ator from Wyoming. We are in the process of seeking to tax credit against the general fund as Mr. THOMAS. Mr. President, I en- get that resolved, of course. This legis- are all other energy production incen- joyed listening to the debate. lation would result in thousands of tives. I do rise to talk some more about the jobs. In my State of roughly half a mil- Likewise, the trust fund will retain issue that is before us, the issue we lion people, one of the smallest States excise taxes collected from certain have been talking about now for 10 in the country, 20,000-plus jobs mean a users such as State and local govern- days, and that hopefully we will be able lot. We would have those very quickly. ments using the highways and paying to complete within the next couple of In fact, for every $1 billion in highway into that fund. Currently, these users days, and that, of course, is the high- construction, we can expect 47,000 new get a refund. Under the committee way transportation infrastructure bill jobs to occur. This means creating op- amendment, the refund is not charged that is now before us. portunities for people to work. to the highway trust fund. What we I thank the chairman of the EPW In my State, again, we have nearly have done is made some changes in the Committee and the ranking member 20,000 people who are employed as funding that should have been going and the staff for continuing to move truckers and move more than 31 mil- into the trust fund but has not been forward with this important bill. lion tons of manufactured freight and going into the trust fund, and then Sometimes we take for granted what earn more than $674 million in wages. finding some others to replace these so is out there, whether it be electricity— So this is part of the economy that is that there is not a reduction in the we have been working on the electric impacted and affected. Without good, general fund but that the highway bill—whether it is energy. Because it is safe roads, of course, these people can’t trust fund has more body to it. there, we just sort of forget all that get their jobs done. The committee changes have been goes into making sure it is there. The highway system is almost 50 called gimmicks. We hear the allega- But our previous transportation in- years old. You don’t think about all tion that the Finance Committee used frastructure bill, the Transportation the things that are involved in that. It accounting gimmicks. This is unfair Equity Act for the 21st Century, ex- is terribly expensive to have roads and incorrect. What the Finance Com- pired on September 30 of the past year. fixed. Last year we had 20 or 30 miles of mittee did do was ensure that the trust Now we are nearly half a year beyond roads being fixed over the mountain fund keeps more of the excise tax, the bill expiring to take care of our in- into Yellowstone Park. This is a U.S. which is what it was designed to do in frastructure needs. For some time, road. This is an interstate highway the first place.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00034 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S991 Then, for instance, the Finance Com- Mr. THOMAS. The Senator is abso- ing there to pay enough money into mittee recognized that the trust fund lutely right. These are large projects. the trust fund to take care of the needs should earn interest on the balance. It They are contracts. They take a while. of that great big State. Not only is it is a huge amount of money, and the in- If you are going on a 1-year extension, large area-wise, but having spent some terest is a significant amount. It has our highway department, for example, time there myself in the cold winter, I not gone into the trust fund in the couldn’t put the contracts out on some know maintaining the roads in Wyo- past. It would do that. of the most important jobs because ming, compared to a place such as Ne- So there are a number of aspects that they wouldn’t be finished in that vada, is more expensive because of the have been changed here. We find a good length of time and they don’t have the tremendous variation in temperatures. deal of complaint on the floor that dough. It is that simple. That is a very My point is that this legislation is bi- these were gimmicks and criticisms of important aspect to continuing to re- partisan. It is legislation that is for the Finance Committee. Unfortu- solve this question now. every part of the country, as evidenced nately, interestingly enough, the Com- Mr. BOND. If the Senator would fur- on the floor. merce Committee is also a part of this. ther yield, I know the Senator is from I was speaking here, off the record, They have been able to spend $7 billion a Western State in the north, and the with the distinguished Senator from in their programs, but they don’t ever time during which significant highway Missouri. We are going to pass this leg- mention that. All they do is complain construction can go forward is limited islation now in a matter of hours. It is about what the Finance Committee is by the weather. imperfect, but it is a really good piece doing. What is the timeframe for summer of legislation to allow the director of I can’t emphasize enough the need to construction in your State? the Department of Highways in the move this bill and to move it now. This Mr. THOMAS. Well, of course, in State of Nevada to have some ability idea that we would have a CR for a order to have summer construction, it to look down the road, as they have a year simply doesn’t deal with the is necessary that now the Transpor- continuum for money, so we can com- issues we have, the problems we have, tation Department be able to know plete projects we have to do in Nevada. keeping up this infrastructure in the what their funds are going to be, what We are a big State area-wise. We have way it needs to be kept up. We have their ability to contract will be, so problems in the southern part of the solved these issues. What we need to do that they can do it very soon, so that State that are totally different from in is pass this bill this week and go into these contractors can get in place in the northern part of the State. It rare- conference committee. Get the House April and begin to work for a longer ly freezes in the southern part, but in summer. If they have not gotten the to do what they are going to do with it, the northern part, for instance, we contract until late in the summer, they go into the conference committee, have Wild Horse Reservoir that, on var- are all faced with a couple of months of work with the House and the White ious occasions, is the coldest place in work, and they go into winter, which House and with the Senate and come the country. So we have our own prob- they cannot do. Seasonal is very im- up with a bill that is appropriate for lems, as do Missouri, New Jersey, portant. We have a chance to take ad- everyone and will be accepted by oth- Vermont, and Wyoming. I am so happy vantage of the summer construction ers. That is the system we have. there has been this cooperation on this system now. Increasingly, if someone disagrees Mr. BOND. Mr. President, I ask that bill. I hope it sets a tone for the rest of with the system, instead of debating question because some people talked the year. It is a Presidential election and discussing their differences, they about a 3- or 4-month extension. I won- year and some Senate seats are up. just look for ways to hold up the bill. der if my colleague agrees that that For the first bill this year, I think Quite frankly, that is a high price to simply would miss an entire season, the distinguished majority leader and pay for all Americans to not have these even in Missouri, where our weather the distinguished Democratic leader jobs, to not have this infrastructure may not be quite as harsh but we would picked a good one to show that we can kept up, to not be able to do what is not be able to really undertake any work together on matters and set aside needed on one of the most important construction projects. Is that similar our partisan differences. We have done aspects of our economy. We have the to the condition in the Senator’s it on this bill. I appreciate the com- opportunity to do that. State? ments of the Senator from Wyoming. I am certainly hopeful that we can Mr. THOMAS. Absolutely. We have Mr. THOMAS. I thank the Senator. come to some agreement. No one in heard a great deal from our transpor- I yield the floor. this Senate is more concerned than I tation people before Christmas, want- Mr. BOND. Mr. President, very brief- am about the spending level. I think ing this. This was supposed to have ly, this is a difficult bill, as the distin- you have to take a look at what we are been done in September, when the fis- guished Senator from Nevada has said. seeking to do to balance the budget, to cal year began. They wanted to be in to There is a lot of work that goes into it. reduce the deficit, and to help increase make the contracts then so that these If anybody was completely 100 percent the economy. contractors could get ready. It is going happy with it, we would not have done These are the issues we have been to be quite close now. Still, if we can our job, because there are too many in- dealing with. Of course, in addition to move in February, it will give us a terests. The only way to accommodate that, as a cause of the deficit, we had pretty good shot. them is to work on a bipartisan basis. September 11. So it is not easy. But we Mr. BOND. Mr. President, I thank my I want to say this while the Senator can do it. I certainly hope we do and colleague. from Nevada is here. The Senator from that we move forward as quickly as Mr. REID. Will the Senator from Wy- Nevada and the Senator from Vermont possible to be able to do this. oming yield for a question? and, obviously, my good friend from I yield to my friend from Missouri. Mr. THOMAS. Certainly. Wyoming, on both sides of the aisle, Mr. BOND. Will the Senator yield? Mr. REID. Mr. President, I think the with Senator INHOFE as chairman of Mr. THOMAS. Absolutely. picture here says it all. We have on the the committee, have worked well to- Mr. BOND. Mr. President, the Sen- floor now two of the majority party gether, including the occupant of the ator made a very good point about the and two of the minority party, rep- chair. This is probably one of the most need to move this bill. He raised the resenting diverse areas of this country, important economic stimulus infra- question about a 1-year extension. Is it including Wyoming, Missouri, structure bills we are going to act on the understanding of my colleague that Vermont, and Nevada, and I also see this year, or maybe for quite a few the major projects that would generate my friend from New Jersey in the years. I hope we can get a solid vote to the kind of work that is needed to im- Chamber. Each State is so reliant and move forward tomorrow. There is a lot prove our Nation’s infrastructure, the dependent upon doing something about more work to be done, as I believe sev- major highway and bridge projects, this highway bill that all of us in the eral have already said. We are waiting cannot be undertaken on a 1-year ex- Chamber are doing everything we can for the House to act. When the House tension because these are multiyear to move this ball down the field. acts, we will take it and work with projects and they need a multiyear ex- The State of Wyoming is an example them and we will take into consider- tension? that doesn’t have a lot of people com- ation what the White House has said to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00035 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S992 CONGRESSIONAL RECORD — SENATE February 11, 2004 see if we can—and we must—craft a tegral part of this legislation and cer- really dangerous on the road. That is good bill that takes care of the crying tainly should be, and that subject is true, but anybody who is impaired needs of infrastructure. the result of drunk driving. while driving is a problem. I have said before on this floor so Drunk driving cost the lives of 17,419 A TEA–21 program that we put into many times that it is not just a ques- people in 2002. It is an increase for the place resulted in 36 States and the Dis- tion of convenience, of cutting down on third straight year in a row. This is un- trict of Columbia passing repeat of- idling time, it is a question of long- acceptable in our society by any meas- fender laws, but currently only 13 term economic growth as well as im- ure. This is evidence that we are not States have enhanced penalties based mediate jobs. In Missouri, it is a ques- doing enough to win the war on drunk on blood alcohol concentration levels tion of saving lives by having adequate driving. In 2000, I was proud to team up of .15 and above. Thirteen States and highways. When we have two-lane with Senator DEWINE to standardize our own District of Columbia still do highways carrying 15,000 or 20,000 cars our Nation’s drunk driving blood alco- not have laws mandating alcohol as- a day, that is too many. We should hol concentration level at .08. That is a sessment and treatment by a profes- have divided highways. The fact that critical step toward reducing drunk sional. Fourteen States do not have we don’t means that wherever you driving, but that measure alone will laws mandating that a drunk driver’s travel in Missouri on heavily traveled not end this crisis. vehicle be impounded. two-lane roads, you see little white During my career of public service, I We have to take action to keep these crosses where grieving families and promoted many legislative initiatives hardcore drunk drivers off our roads. friends have indicated the place where to help curb drunk driving in our coun- The costs we pay are too high. We can a loved one was lost. try. In addition to .08, I wrote the law save thousands of lives by passing this This bill isn’t going to solve all the that established a minimum legal bipartisan commonsense amendment problems in Missouri. If we pass this drinking age of 21. Most Americans that I would like to offer along with bill, many of the problems in Missouri have responded to these laws by drink- Senator DEWINE. and around the country will be solved. ing responsibly and reducing fatalities Victims rights groups, such as Moth- I urge my colleagues to work together and injuries on our highways. ers Against Drunk Driving, have and move forward on the bill. Our At one point it was estimated that brought to our attention the need to staffs are working now on a coopera- we saved 1,000 young people a year change our laws to make our roads tive basis with a very large number of from dying on the highways as a result safer. It is my great pleasure to work amendments that have been filed to see of that change in the age of drinking. with the dedicated, thorough, and car- how many we can accept, how we can The most feared category of drunk ing people of MADD. move it along. drivers who have failed to mend their This hardcore drunk driving amend- Tomorrow is going to be a very busy ways is also the most shameful: the ment takes advantage of research and day. We will try to accept as many hardcore drunk drivers. These are the policies that have been proven effective amendments as we can on a bipartisan problem drinkers. These are the ones to fix what is wrong with this current basis. If you want more money, please who ignore the dangers and have no repeat offender program. tell us where you are going to find it concern for the safety of those of us on First, it builds on the excellent work because we are strapped for money and the road, including our families and done by Senator INHOFE and Senator major new spending sources without our friends. JEFFORDS in the bill by allowing the revenue are going to be difficult to ac- It is estimated that hardcore drunk use of ignition interlocks, a popular commodate. drivers are responsible for as many as and effective tool. Forty-two States Within those parameters, I urge ev- 40 percent of all alcohol-related deaths have laws allowing for ignition inter- erybody to work together. The filing on the road, and that means about 6,000 locks to be used so that in case of hard- deadline for first-degree amendments is to 8,000 people a year die at the hands past. I know what we have in front of ships, a conditional license can be of a hardcore drunk driver. That is not us. I hope we can resolve as many as granted. an acceptable situation. Our amendment also fixes the loop- possible. I yield the floor. Many of us have terrible, tragic sto- hole that currently exists to allow Mr. JEFFORDS. Mr. President, I ries involving lost loved ones due to States to spend Federal funding des- thank the Senator for his statement. I drunk driving crashes. A young woman ignated for driver safety programs on want to reassure all of our Members on my staff recounted a moment in her construction projects. While road con- that we will be working together and life when she was a teenager, when five struction is certainly a worthy ambi- have been working together, and we of her close friends, all juniors in high tion, this loophole defeats the purpose will find a solution to many of those school from southern New Jersey were of the Federal program in the first amendments. We won’t unless they are hit by an SUV. Four were killed and place and must be addressed. filed. The sooner they are filed, the one was badly injured. This was in Our amendment cracks down on very sooner we may even have a chance to broad daylight at 3 o’clock in the after- high blood alcohol concentration driv- get home for the weekend. That might noon. A heavily intoxicated 29-year-old ers. Drivers with a .15 percent or great- be incentive for some. woman had plowed her SUV into the er blood alcohol concentration are al- I yield the floor. girl’s car. One police officer described most 400 times more likely to be in- The PRESIDING OFFICER. The Sen- the scene as ‘‘an explosion with glass volved in a fatal accident than a sober ator from New Jersey is recognized. everywhere.’’ driver. Mr. LAUTENBERG. Mr. President, I The driver of the SUV is what safety I believe the Federal Government rise to discuss an amendment that was experts term a ‘‘higher-risk’’ or ‘‘hard- needs to continue strong leadership in cosponsored by Senator DEWINE from core’’ drunk driver. In fact, her blood relation to reducing alcohol-impaired Ohio. We would like to have had this alcohol content was found to be .21 driving. Not all States have dealt with considered in this important transpor- nearly 5 hours after the crash, and usu- this safety crisis in a comprehensive tation bill. ally that diminishes significantly. This manner. Loopholes still exist, loop- I want to say this to those who are is almost three times the legal limit of holes so large that drunk drivers con- managing the bill and who have devel- .08. Perhaps the most disturbing part of tinue to drive right through them. oped it. We see a piece of legislation this story is the fact that this driver Now is the time to take the next step that has a lot of good aspects to it. My had two prior charges of driving while in getting these hardcore drunk drivers State of New Jersey is doing better in intoxicated in 1991 and 1996. off our roads. I look forward to work- this bill than it has on occasions in the Some States have adopted laws that ing with Senator DEWINE, Senator past, with some adjustments here and try to get hardcore drunk drivers off DORGAN, and Senator CORZINE, all of there that give us some more funding the road. It is something we heard a lot whom joined with me in trying to rein transit as well as highways. We ap- about when we put in place the .08 duce the 17,000 alcohol-related traffic preciate that. blood alcohol concentration standard. fatalities that occur each year. The subject we want to discuss is one They said you have to get to the hard- It is regretful that we cannot have an that deals with safety, which is an in- core people; they are the ones who are opportunity to offer our amendment. It

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00036 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S993 is relevant and germane to this bill, talking about, this will get done. This tle boy by a drunk driver who killed but not having the chance to offer the will be accomplished for a number of his parents. amendment, frankly, hurts our work reasons, not the least of which it is the So we have to continually do more to and our interests in keeping our high- right issue but, No. 2, because the Sen- keep these higher-risk drunk drivers ways safer, saving lives wherever we ator from New Jersey is the one who is off the road. They are a menace to soci- can. pushing this. ety. In my opinion, the only thing they This is something I hope we can work I want the Senator from New Jersey understand is force, power. They have out with the managers of the bill to see to know how much I—and I speak for to be put in jail. They have to be pre- if there isn’t something we can do to millions of Americans—recognize his vented from driving their cars. show that we are seriously interested great contributions to making our As the Senator knows, we are in a in getting drunk drivers off the road. lives healthier, better, and safer in parliamentary quagmire and maybe Remember, over 17,000 deaths a year on America. there is a short-lived victory for those our highways, 40 percent of which are Mr. LAUTENBERG. Mr. President, I who oppose what the Senator is trying due to the antics of the repeat drunk take this moment to respond to my to do but it will not last long. driver. good friend from Nevada. He has al- Mr. LAUTENBERG. I thank the Sen- The PRESIDING OFFICER. The as- ways been interested in the safety and ator. sistant Democratic leader. well-being of our people at the basic The PRESIDING OFFICER. The Sen- Mr. REID. Mr. President, before the level, where we can make a difference. ator from Arizona. distinguished Senator from New Jersey Senator REID from Nevada is always Mr. KYL. Mr. President, I rise to leaves the floor, I want to make this there, and I appreciate his support. I speak about the highway transpor- comment. I am sure we all wonder, like working with him. When he says tation bill which we are on right now. having served in legislative bodies, this is going to be done, my colleagues I will discuss basically two general what has been accomplished, what have can take it to the bank because we are points. The first has to do with the we been able to point to that we have going to keep on working on it. amount of funding in the bill and the done that changes the lives of people in If we ever forget what it is we are administration position on that mat- our country. Let me say to my friend talking about today, just continue to ter. Then secondly, I will talk a little from New Jersey, he need not worry read the papers, and there will be sto- bit about the funding formula in the about that because his legacy has al- ries about the intoxicated driver who bill. ready been established. went way over the limit and took a As everyone knows, we are talking I owe so much to the Senator from life. about a bill that would authorize and New Jersey, as does my whole family, I will never forget a young woman pay for the highway transportation and and I speak for most families—I should who came in from Maryland to talk to mass transit needs of the country over say the vast majority of families in us one day. She was waiting with her the next 6 years, financed historically America, many of whom don’t realize daughter for the schoolbus, child in by the gas tax. The 6-year bill that has what the Senator from New Jersey has hand. Someone driving a car at 8 in the been offered intends to be more gen- done to make their lives more pleas- morning jumped the curb and killed erous than that by taking in some ad- ant. this child whose hand she was holding. ditional revenues, providing a lot more When we used to travel back and Then there was the man in Hawaii funding, and extending the authoriza- forth from Las Vegas and Reno to who was driving with his wife behind a tion that currently exists for a period Washington with my family—they were car that his son and daughter had of 6 years. little children at the time—my daugh- rented. They were struck by a drunk I ask unanimous consent that at the ter and my boys, especially two of driver. It killed them both. conclusion of my remarks this State- them, could not stand cigarette smok- These things happen all the time, ment of Administration Policy be ing in an airplane. It really made them enough to kill over 17,000 people a year. printed in the RECORD. physically ill. We would pacify them That means that in less than 4 years, The PRESIDING OFFICER. Without and say, well, that is in a different sec- there will be as many people killed on objection it is so ordered. tion; do not worry about it. As we our highways as were killed in Viet- (See exhibit 1.) know, when one person smoked on an nam. So this is not a trivial thing, and Mr. KYL. I am quoting now from a airplane, we all smoked on an airplane. we are going to have to keep on work- February 11, 2004, Statement of Admin- The Senator from New Jersey is more ing on it. istration Policy from the executive of- responsible, by far, than any other one I am willing to do it, and I know the fice of the President, Office of Manage- person, or group of people, for being Senator from Nevada is willing to do ment and Budget. As my colleagues persistent and pushing that there it. We just have to hope that the oppor- know, these Statements of Administra- would be no smoking on airplanes. The tunity arises. tion Policy are issued with respect to Senator from New Jersey did that. The PRESIDING OFFICER (Ms. COL- important legislation and they set When he started out on this issue, LINS). The minority whip. forth the administration’s position on people thought he was tilting wind- Mr. REID. The Senator from New the legislation. mills. No one believed with the very Jersey was responsible for one of the After noting that the administration powerful interests that favored smok- most memorable debates that I ever supports enactment of the 6-year high- ing on airplanes, including the airplane was present for in the Senate, and I am way funding bill, the letter says the owners and, of course, the cigarette sure the Senator from New Jersey will following: manufacturers, that the Senator from remember it. It was a debate on drunk The administration’s proposal, as modified New Jersey could accomplish what he drivers. The very articulate Dale by the President’s FY 2005 budget, would pro- Bumpers, former Senator from Arkan- vide $256 billion over six years, an histori- did. But he did. cally high level of investment for highways In addition to that, we all owe a debt sas, gave many great speeches but none and transit. This proposal represents a $45 of gratitude to the Senator from New more memorable than when he spoke billion, or 21 percent, increase over the Jersey for pushing to make sure all about his being a law student at West- Transportation Equity Act for the 21st Cen- States had a .08 standard for blood al- ern University and he received a call tury (TEA–21), the six-year bill enacted in cohol. The Senator from New Jersey from his brother. He knew it was bad 1998. did this. news. He did not know how bad it was, The administration goes on in this The reason I mention these two but a drunk driver had killed his par- Statement of Administration Policy to things that are the legacy—and I have ents when he crossed over the line. say the following: only mentioned a couple of things be- The Senator will also remember the The administration believes that surface cause they stick out in my mind that distinguished former chairman of the transportation reauthorization legislation the Senator from New Jersey has done, Budget Committee, now the ranking should exhibit spending restraint and adhere that I know. With the tireless efforts of member of the Budget Committee, the to the following three principles. the Senator from New Jersey on the Senator from North Dakota, KENT CON- Now, let me digress before I state things that he believes in, that he is RAD, who was made an orphan as a lit- what those principles are. The reason

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00037 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S994 CONGRESSIONAL RECORD — SENATE February 11, 2004 the administration is talking about But the statement of administration that there has been a focus on a lot of spending restraint is because the bill policy notes that the bill before the the spending the Senate and House that is before us is far larger in its Senate is a full $62 billion above the have engaged in recently, and certainly amount of spending than what the ad- President’s request, and it concludes in the prescription drug and Medicare ministration’s proposal and the Presi- this part by noting that: funding bill is one of the largest. An- dent’s budget provide for, and it is far The administration, therefore, op- other we have had before us is the en- larger than is necessary. Frankly, in poses Senate bill S. 1072 because the ergy bill, which has a subsidy of about view of the status of our excess spend- ‘‘spending levels are too high’’ and be- $30 billion. The administration budget ing and our Federal budget deficit, it is cause ‘‘they violate the principles dis- request was $8 billion. That is another more than we can afford. cussed above.’’ bill that, were we to pass in excess of $8 Moreover, it is greatly in excess of And if we end up passing legislation billion in subsidies, would exceed the the funds we collect with the gas tax, such as this, then the President’s sen- administration’s request. which in the past has been the funding ior advisors will recommend he veto Here is a third example where the that has been used to pay for this high- the bill. Senate is poised to pass a bill way in way bill. So this is what the President I think the President is getting the excess of the President’s request. My and the administration is writing in same message the rest of us should be point is it is not the White House that this letter. getting from our constituents, the is doing the spending, it is the Con- The administration believes the leg- American people: Congress and the gress that is passing the bills that have islation should exhibit spending re- President have been spending too much the spending in them. The President is straint and adhere to the following money. sending us a signal that he is tired of three principles: One, transportation In defense of the President, he has this and his advisors are saying, to be infrastructure spending should not rely reached agreements in the past year precise about it, that they will recon an increase in the gas tax or other with the leaders of the House and the ommend a veto to the President if we Federal taxes. Two, transportation in- Senate over spending limits and has don’t get this bill more in line with frastructure spending should not be said he would not support any legisla- what the President’s budget is. He is funded through bonding or other mech- tion—and I presume he would have ve- sending us a message. anisms that conceal the true costs to toed legislation—above that level. We I urge my colleagues to read that the Federal taxpayers. And three, high- have sent him bills at those levels. So message, to listen to what the Presi- way spending should be financed from in that regard, it is not the President’s dent is saying. He means business. He the highway trust fund, not the general fault. is right. We are spending too much fund of the Treasury. But I take responsibility as a Mem- money. This bill is an over 40 percent It goes on: ber of this body, and all of my col- increase in highway spending. We all All spending for highways should be au- leagues should as well, that we as the know roads and bridges need to be thorized and appropriated from the Trust body that initiates the spending pro- built. We all understand some jobs are Fund and derived from taxes imposed on the posals and sends them to the President produced. That is fine. But do we, in highway use, thereby maintaining the link must act more responsibly in ensuring this era of budget deficits and excess between Trust Fund revenues and highway that we do not exceed revenues, that spending, have to increase spending in spending. we send the President bills that are fis- this one area by over 40 percent? Isn’t Madam President, how does the ad- cally restrained and that will not add a 21 percent increase over last year suf- ministration’s position and the articu- to our budget deficit. ficient? lation of the three principles under Alan Greenspan, the Chairman of the The President’s budget is almost flat. which it believes the bill should be Fed, has made the point many times in It has about a half a percent increase— funded compare with what we are con- recent months that the biggest threat except for homeland security and de- sidering on the floor here? I am going to our economic growth and to our fis- fense—for the discretionary part of our to go on and quote the administra- cal stability is profligate spending, and budget. We know it is going to be dif- tion’s characterization of the legisla- he has urged us to rein in our appetite ficult to live within that, but we tion on the floor. for spending. should try. But how can we in good However, the bill pending before the Sen- Some of my colleagues on the other conscience pass a budget that has vir- ate authorizes $262 billion on highway and side have expressed great dismay that tually no growth in it, except for highway safety, which is $50 billion above when the Office of Management and homeland security and defense, and the President’s request, and $56 billion on Budget was finally able to calculate then with regard to highways say that mass transit, which is $12 billion above the the cost of the Medicare prescription is an exception; we are going to in- President’s request. In total the Senate bill drug bill from last year, instead of $395 crease spending by 21 percent? The in- authorizes $318 billion in spending on high- billion of cost over 10 years, as cal- ways, highway safety, and mass transit over come of how many people in this coun- the next six years, a full $62 billion above the culated by the Congressional Budget try will grow 21 percent this year? Not President’s request for the same period. Office, the administration’s people very many. Not, certainly, for the av- The Administration’s proposed authoriza- found that it actually would be far erage working man and woman. tion level of $256 billion over six years is con- higher than that, over $500 billion. I daresay, at a 21 percent increase, we sistent with the three principles listed Some of our Democratic friends have can do just as well, in terms of building above. We support a responsible six-year bill said—I gather they seem to suggest our roads and highways, and then if we and support many of the provisions con- that therefore it is the President’s need to adjust it later on because we tained in this legislation. However, we op- fault. The President’s people are the are rolling in dough, we can do that. pose S. 1072 and the pending substitute because their spending levels are too high and folks who found out that the spending But for this year at this time with this they violate these principles discussed was more than the $400 billion and have kind of deficit, we should not do it. above. Accordingly, if legislation that vio- brought that forth and told us that. That is what the President’s advisors lates these three principles—such as this leg- What should we do? are saying in this letter. islation which authorizes $318 billion—were Later on I am going to give my col- What I would like to do is talk for a presented to the President, his senior advi- leagues an opportunity to bring the little bit about how the bill before us sors would recommend that he veto the bill. spending back in line with the $400 bil- violates those three principles. Let me There is more in the letter, but I lion of which they seem so enamored. I just cite a couple of examples. think you get the gist of it. The admin- think that is plenty. I think we can The first principle is that the trans- istration is trying to tell us it would live within that $400 billion limit. So portation infrastructure spending prefer a bill that, No. 1, adheres to the we will all have an opportunity to de- should not rely on an increase in the President’s budget, to spend no more cide whether we really mean it when gas tax or other Federal taxes. It than $256 billion, and, No. 2, does not we say the spending on that bill should doesn’t rely on an increase in the gas violate the three sensible funding prin- be limited to $400 billion over 10 years. tax, but it will rely upon Federal taxes ciples the President lays out in the My point in digressing from the dis- because we will be taking money from bill. cussion of the highway bill is to note the general fund. That gets us to the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00038 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S995 second and third points. Transpor- There is another part of this which What do we do about it? There are a tation infrastructure should not be they calculate at $9 billion that is at- couple of different options. One of the funded through bonding—we are not tributed to the highway trust fund. options is that we could simply modify going to do that—or other mechanisms What is this? The gas tax is 18.3 cents. the bill to take out that $62 billion, get that conceal the true cost to Federal But for ethanol users, we provide that it back down to the level of the Presi- taxpayers. I will show you in this bill they don’t have to pay 5.2 cents of that. dent’s budget, and support that. I have how that happened. And the third prin- There is an exemption for that of 5.2 an amendment that would do that. In ciple is highway spending should be fi- cents on each gallon. In this bill, we effect, it will say the President’s budg- nanced from the highway trust fund are going to pretend like they paid et of $256 billion—that represents a 21- and not from the general fund of the that to the trust fund. We are going to percent increase—ought to be enough, Treasury. actually collect their money. The rev- and, therefore, we would finance only No. 2 and No. 3 go together here. Let enue will actually be collected. But that amount of money. me give a couple of examples from the when people ask for a refund, we will I think we should vote on that and highway part of this; not mass transit send it right back to them. Assuming express our will in that regard, support but the highway part is funded from that most people will ask for a refund the President, and be willing to begin the gas tax. We are going to collect because they can get it, we are going to exercising some fiscal restraint. $196 billion in gas tax revenue. That is be sending the money right back to Some people say they do not want to how much we should spend on high- them. reduce the 6-year funding by that much ways. But, no, we are going to be As a result, we take with one hand money. They would actually be able to spending much more than that. How do and we give back with the other, and spend over 40 percent more than last we make up the difference? Obviously, the fund is no better off. There is no year and, therefore, maybe what we Members of Congress are pretty cre- real money in the fund except what should do instead is simply reauthorize ative in figuring out how to pay tax- was there before. We haven’t added to the existing law for 1 year, get past the payer dollars. So, a lot of new ways of the fund. We have collected the 5.2 election, and then do another 6-year deeming money to be in the trust fund cents and then we give it back when authorization bill that will spend 40 have been thought up here. Some of the people apply for the refund. percent more than last year, since, ob- Since Federal contractors actually them actually I suggest have some viously, that is going to cost more have to pay their people, buy asphalt, merit. money than we are taking in in gas tax and run their road graders, how are we Just to give one example: Interest in revenues, since there are objections to going to make up this $17 billion? the highway trust fund. The highway As I have indicated, in both cases taking it from the general fund because trust fund is a fund that has maybe $9 this is not real money. We are going to that creates a horrible precedent, and billion or $10 billion, give or take $1 get it from the general fund. We are therefore we will raise the gas tax. We don’t want to tell people that be- billion, in it at any given time. You going to just spend that money from cause, of course, in an election year we have to have some money in the bank. the general fund. It is like a bank account, to pay the How are we going to do that? It is not wouldn’t want anybody to really think checks when they come due. There is in the budget. The Finance Committee we intend to raise the gas tax. So let us always money coming in when people has come up with a variety of tax law be real quiet about this and not discuss buy gasoline and pay the tax, and one changes which will close certain cor- this alternative too much because it thing we could do is attribute to the porate loopholes and in other ways assumes that next year we will come in trust fund interest which is otherwise raise revenue that is not currently and provide this large amount of attributed to the general fund. That is raised. We had hoped and anticipated money and raise the gas tax. We could between $1 and $2 billion. I am per- that additional revenue would be ap- do that. It certainly is at least better fectly happy to have that attributed to plied to a reform which has to do with than what we have before us, because it the trust fund. corporate tax relief that will have to be simply reauthorizes at existing levels If you go through some exercises like passed this year because the WTO—the the highway authorization bill for 1 that, you can get up to $214 billion, World Trade Organization—has ruled year and we can decide to do it next more or less, in revenue you say is against the United States in a case in year at the time. Some of us would op- somewhat legitimately attributed to which we have been providing some tax pose the gas tax increase. gas tax revenues. relief to American manufacturers I suggest that either of those alter- Let me give you two examples of rev- abroad. We are going to have to take natives are better than the third alter- enues that are being attributed to the that tax relief away in order to make native, which is to pass the bill that is highway trust fund that really are not these companies whole. We will have to before us. revenues in any sense of the term, and, pass a different kind of tax relief. To do I want to make this clear. There are therefore, would violate both principle that, you have to have the ability to not very many people in this body for No. 2 and principle No. 3. pay for it. That is what this money was whom I have greater respect than the One of these concepts has to do with going to be used for. Instead of using it chairman of the EPW Committee, the the fact that counties, cities, towns, for that, we will use it to build bridges Senator from Oklahoma. I don’t mean churches, and schools are by and large and highways. We will take that to suggest in anything that I am say- exempt from paying a gas tax. What we money, put it in the general fund, and ing here that the effort of the com- are going to do in this bill is pretend send that over to the highway trust mittee and the chairman of the com- like they actually paid the tax. That is fund. mittee is anything other than an at- worth, I think, $8 billion. That is a nice We are violating the principles laid tempt in good faith to try to satisfy thing, if you can get away with it. But down by the administration that none the demands of our country’s infra- I don’t think it reflects reality. That is of this bill should be paid for by either structure and provide the best possible $8 billion. We are simply going to treat a mechanism that conceals the true highway transit funding program they this as if the trust fund had received cost to the taxpayers or financed from can. I will say they have been very un- all of the money from counties, cities, the general fund of the Treasury. fair about the way they treated my towns, and so on. This bill, both by being in violation State, but that is another matter that Is the general fund going to collect of at least some of the principles laid I will talk about in a minute. I want to that money from the schools, churches, down by the President and by being $62 make it clear that the chairman has a cities, and towns? No. There isn’t going billion in excess of what the President tough job. He has done his very best in to be any new revenue. Your school dis- said the bill should cost, is going to this regard. I want that to be very trict is not going to have to pay money create a situation in which the senior clear. for the gasoline that it buys for the advisers of the President are going to But the third alternative is to pass schoolbuses that are driven. They will recommend a veto. We should not be the bill before us. The argument made not have to pay the Federal gasoline passing a bill under those cir- is that we know it is way too much tax, but we will pretend like it does. cumstances or be passing this bill money but we will get into the con- That $8 billion is pretend money. under those circumstances. ference committee because the House

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00039 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S996 CONGRESSIONAL RECORD — SENATE February 11, 2004 will pass a bill and then you will have it cannot be done. So they will bring we are getting more money than we the House and the Senate bills. We will other States up to 95 percent, States got in the past, but we are not getting get together and figure out an appro- that already for the past 5 years have the same relative amount other States priate amount of money. We will get done very well, for the past 10 years are. We are not getting 95 cents on our the President’s people in there to nego- have done very well. For those States dollar contributed. We are still stuck tiate to make sure it won’t be too that have continually lagged behind, down here at this 90.5 cent level. That much so the President won’t veto the such as the ‘‘growth’’ States I men- is not fair. bill. tioned, since it is so darned expensive I want to be clear about this. My op- That is another way to do it. I can’t to catch them up, we just will not try position to this legislation is based support that because we would be sup- to do that for 5 years. upon the first two points I made. It is porting a bill out of this body that is So here is the result we get, dem- too much money and we are going to far too big in spending. onstrated on this chart. I note the dark fund it now out of general revenues The House bill presumably will be blue represents on the chairman’s rather than the highway trust fund, as above the President’s request. It is a chart a green color which he dem- a result of which there will be no log- little hard to figure out how we are onstrated the other day when we were ical constraint on how much we spend going to start with a bill that is $62 bil- discussing this, saying: Arizona actu- in the future. At least pegging it to lion over what the President wants, ally will increase its spending over this what we received in Federal gas reve- and the House bill is—I don’t know how period of time. Then in 2009—assuming nues in the past was a break-loss, a much but let us pick a number—say, the money is there—you will go back check and a balance, and it prevented $50 billion more than the President up to 95 cents like everyone else. us from going beyond that amount of wants. And somehow they are going to In 2004, the State of Arizona, which is money. But once you begin to dip into compromise at a number closer to what in the dark blue, would get a little bit the general treasury, there is no log- the President wants. That is ordinarily more—it gets 90.5 cents. That is what is ical end to how far you can dip. As I not the way things work around here. I guaranteed. In 2005, we get 90.5 cents. said, you could double the amount of think it will be close to $256 billion. In 2006, we get 90.5 cents, as well as in increase the administration has asked They are playing with fire and risk 2007. In 2008 it goes up a little bit but for, you could go to over 40 percent in- sending the bill to the President which is still under 91 cents. Then if there is crease and say, we are just going to he is going to veto. That will dem- enough money in 2009, hopefully we get make part of that up through general onstrate that we are not very respon- to go back up to where everyone else revenues. Why not 50 or 60 percent? sible. I think that would be the wrong is, guaranteed 95 cents. There is no logical end once you get thing to do. We just took a State perhaps roughly away from the highway trust fund. comparable to Arizona, and this State Let me address the other subject I That is why I oppose this bill. said I would address, and that is the happens to be Missouri, but I could The sponsors of the bill were not able fairness of this bill. pick any number of States that illus- to equalize the States, as hard as they I say to my colleague from Oklahoma trate the same idea. Missouri, on the tried, in terms of the funding formula, that he would be the very first to say other hand, is guaranteed 95 cents each and therefore there are some Members it is almost impossible to get a bill one of these years. from some States that obviously have Here is the point: During this 5-year that spends this amount of money and to point this out, have to demonstrate period of time—because there was not divvy it up among over 400 Members of the unfairness and inequality of it and enough money, some State had to sac- the House of Representatives and 100 ask the bill be amended to provide a rifice or be sacrificed and that happens Senators and have everybody think to be my State of Arizona. I don’t like more fair result. they have been treated fairly, espe- The amendment I spoke of that funds that, and I don’t think it is fair. I cially given the historic unfairness of the bill at $256 billion over 6 years does would have rather had, in this case, the way the formulas have worked. not address this problem. So I make it Missouri brought down to 93 and raise Again, he has a tough job. I make the clear, the amendment I have offered Arizona up to 93 rather than taking point right up front that I know he has that allows people to vote for an some all the way up to 95 and leaving tried his hardest to do this right. In amount in the highway spending that the rest of us down at 90. fact, one of his guiding principles was My colleague from Oklahoma says, is consistent with the President’s budg- to try to get all of the States up to a but you are getting a substantial per- et request does not fix this. I am will- level of funding equal to 95 cents out of centage increase and even a dollar in- ing to support that amendment. I am every dollar that they send to Wash- crease, because you are growing so willing to send the bill to conference ington for the highway gas tax. The fast. That is true. But in terms of the with that amount of money, but I am minimum level today is 90.5 cents. total amount of money Arizona would also hopeful my colleague from Texas There are a lot of us who represent lose during this period of time, it is will be offering an amendment tomor- donor States such as Arizona. We are over $160 million. So during this 5 row—has filed it and will offer tomor- donors. We send $1 and we only get 90.5 years, Arizona will lose out on over row—that will to some degree at least cents back in highway revenues. The $160 million it would have received if it fix this problem for those states such chairman wanted to try to do some- had been treated the same as the other as Texas and Arizona which are not thing about that to try to remove some States and gotten the base of 95 cents. guaranteed the same 95 cents everyone of that unfairness. I commend him for Remember, there are a lot of States else is guaranteed. that. For the most part, he has gotten that are way up here that are getting I am hopeful we will be able to vote States up to 95 cents out of every $1. over 100 cents, 110 cents; some are get- on that and support that tomorrow. A lot of States are donee States, and ting several dollars back. I will not There are other amendments which I they are way above a dollar. Obviously, name names. will speak to later, one that my col- the reason only some States get 95 The bottom line is some States are league Senator MCCAIN has offered that cents back is some States get more treated very well and States such as represents a good compromise in the than $1. But I commend the chairman my State of Arizona are not treated so way we fund highway revenue and re- for trying to get at least to 95 cents. well. I obviously cannot be expected to imburse the States. We will talk about The problem is, as has been explained support a bill that picks on a few that tomorrow. There may be an addi- to me, there are some fast-growth States such as mine and says, look, we tional amendment offered tomorrow we States, such as Florida, California, Col- just did not have enough to go around will want to support. orado, or Arizona. We have been at so you have to be the one that does not I am hoping I will have a chance to such a low level in the past in terms of get paid what everyone else gets paid. vote on these tomorrow. The way this the amount we were reimbursed, the We are sorry; be happy with the fact bill has procedurally come before the 90.5 cents, and we are growing so fast in you are getting more money than you Senate, we will vote on a cloture peti- order to keep up with our growth, it have ever gotten before. tion tomorrow at 9 o’clock. That is a would require so much money to catch My answer is, we are growing faster vote which presumably will pass. It us up to the 95-cent level that basically than anybody and therefore, of course, means we then have only 30 hours of

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00040 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S997 debate on the bill and opportunity to imposed on highway use, thereby maintain- to the transportation planning process, and offer amendments and have those ing the link between Trust Fund revenues integrate the transportation planning proc- amendments voted on. My under- and highway spending. ess with other environmental review proc- However, the bill pending before the Sen- esses to reduce redundancies. standing is there are over 400 amend- ate authorizes: $262 billion on highways and With respect to project review under the ments that have been filed. On a bill of highway safety, which is $50 billion above National Environmental Policy Act, the bill this importance and this magnitude, I the President’s request, and $56 billion on should clarify the authority of State and don’t think it is right we only have 30 mass transit, which is $12 billion above the local governments to be joint lead agencies, hours to dispose of 400 amendments. It President’s request. In total the Senate bill with the U.S. Department of Transportation, obviously cannot be done. authorizes $318 billion in spending on high- in preparing environmental documents. The Administration also notes that section 1511 I ask for my colleagues’ under- ways, highway safety, and mass transit over the next six years, a full $62 billion above the is inconsistent with the President’s proposal standing that when this debate begins President’s request for the same period. is SAFETEA, and encourages the Senate to after the cloture motion is approved The Administration’s proposed authoriza- adopt the President’s proposal. tomorrow—assuming it is—we will tion level of $256 billion over six years is con- The Administration also believes that the have an opportunity to offer these sistent with the three principles listed bill should clarify standards pertaining to amendments, have a brief period of above. We support a responsible six-year bill public park and recreational lands, wildlife and support many of the provisions con- and waterfowl refuges, and historic sites— time to discuss them, have a vote on commonly referred to as ‘‘Section 4(g).’’ A them, and go on to the next amend- tained in this legislation. However, we oppose S. 1072 and the pending substitute be- clarification of the Section 4(f) definition of ment. It is not my intention to try to cause their spending levels are too high and ‘‘prudent’’ is needed to forestall confusing garble up the works or slow things they violate these principles discussed standards applied unevenly by the Federal down. I hope we can speed things up to above. Accordingly, if legislation that vio- Courts of Appeals. In addition, the bill the point we can get these amendments lates these principles (such as this legisla- should address the overlap between Section considered within that period of time. tion, which authorizes $318 billion) were pre- 4(f) and Section 106 of the National Historic sented to the President, his senior advisors Preservation Act to decrease project delays If not, because there are actually two and uncertainty. different cloture motions here, we may would recommend that he veto the bill. In addition, the Administration opposes in- In addition, the Administration believes have to have a second cloture vote and clusion in a surface transportation bill of un- that the bill should not include a mandatory then have another 30 hours so we can related provisions regarding Amtrak. Any two percent set-aside from the Surface continue to try to get the amendments legislation regarding the future of Amtrak Transportation Program (STP) to support a adopted. That is something we are just should be considered separately and should highway stormwater discharge mitigation going to have to work through. I ask provide for meaningful reforms, such as program. Stormwater discharge mitigation those proposed by the Administration. If sur- costs are already eligible under STP. for my colleagues’ cooperation so that New Regulatory Mandates. The Adminis- face transportation legislation containing perhaps we can avoid that second 30 tration strongly opposes the numerous man- such provisions were presented to the Presi- hours. But if necessary, obviously, we dated rulemakings for NHTSA and the dent, his senior advisors would recommend FMCSA. These provisions predetermine will have to use that. that he veto the bill. The Administration timetables and outcomes without adequate Now, if there are questions or refuta- wants to work closely with Congress to grounding in science, engineering and proof tion of anything I have said, I am achieve an acceptable bill and recommends of net safety benefits. By prescribing specific happy to hear that and I can stay for a attention to the following areas. requirements and mandating priorities, few minutes to try to answer or re- Safety. The Administration appreciates the creation of a new Highway Safety Im- these provisions will delay or interfere with spond to questions. ongoing safety initiatives and may have the If my colleague from Oklahoma provement Program (HSIP) and a strong safety belt incentive program, but believes unintended consequence of redirecting agen- would like to speak, I yield the floor to the bill should also require States that have cy resources away from programs that will him. not enacted primary safety belt laws or do more overall good for safety. The Admin- istration also objects to the inclusion of: (1) EXHIBIT 1 achieved safety belt use rates of 90 percent to spend no less than 10 percent of core high- costly and burdensome provisions of the bill EXECUTIVE OFFICE OF THE PRESI- requiring FMCSA to issue medical certifi- DENT, OFFICE OF MANAGEMENT way safety construction HSIP funds on be- havioral safety projects eligible under the cates to 6.5 million commercial drivers while AND BUDGET, limiting the performance of medical exami- Washington, DC, February 11, 2004. Section 402 program. In addition, the Admin- istration opposes limiting a State’s flexi- nations to physicians alone; and (2) the bill’s STATEMENT OF ADMINISTRATION POLICY bility to use HSIP funds by requiring manda- expansion of hours-of-service safety exemp- S. 1072—SAFE, ACCOUNTABLE, FLEXIBLE, AND tory set-asides for rail-highway grade cross- tions. Financing and Freight Mobility. The Ad- EFFICIENT TRANSPORTATION EQUITY ACT ings or safe routes to schools. The Adminis- ministration appreciates the bill’s expansion The Administration supports enactment of tration believes that several programs of the of the Transportation Infrastructure Finance a six-year highway, highway safety, and National Highway Traffic Safety Adminis- and Innovation Act (TIFIA) loan program by transit authorization bill and procedural ef- tration (NHTSA) should be consolidated and lowering the project threshold and broad- forts that would limit consideration of extra- a portion of those funds should be used to re- ening the list of eligible projects to include neous amendments and bring the bill to an ward States that aggressively reduce fatali- freight projects. However, the Administra- up or down vote. Such a multi-year author- ties in the manner proposed by Section tion opposes removing the TIFIA program ization would provide States and localities 2001(a) of the Administration’s proposal. requirement that a borrower have a dedi- with predictable funding that enhances long- Also, language similar to that included in cated source of revenue for repaying its term transportation planning. The Adminis- the Administration’s proposal on providing TIFIA loan. Likewise, the Administration tration’s proposal, as modified by the Presi- for NHTSA-administered highway safety opposes allowing railroads to use Federal dent’s FY 2005 Budget, would provide $256 data grants should be added to help States grants to pay the credit risk premium or billion over six years, an historically high improve their data to reasonable standards. repay Railroad Rehabilitation and Improve- level of investment for highways and transit. Environmental Provisions. The Adminis- ment Financing loans. This proposal represents a $45 billion, or 21 tration opposes substantially broadening the The Administration supports amending the percent, increase over the Transportation list of eligible projects for Congestion Miti- bill to give States the ability to manage con- Equity Act for the 21st Century (TEA–21), gation and Air Quality (CMAQ) funding be- gestion and raise additional revenue by al- the six-year bill enacted in 1998. cause many of these new projects would have lowing drivers of single occupant vehicles to The Administration believes that surface minimal air quality benefits. Eligibility for use High Occupancy Vehicle lanes by paying transportation reauthorization legislation CMAQ funds should be limited to projects tolls. The Administration also supports should exhibit spending restraint and adhere that achieve air quality benefits, particu- amending the bill to provide States flexi- to the following three principles: (1) trans- larly because the number of Clean Air Act bility to implement variable tolls on inter- portation infrastructure spending should not nonattainment areas, which need this type states for congestion management or air rely on an increase in the gas tax or other of funding, will increase. The Administration quality improvement purposes. In addition, Federal taxes; (2) transportation infrastruc- believes that the bill should improve project the Administration supports amending the ture spending should not be funded through delivery while protecting our environment. bill to incorporate the Administration’s pro- bonding or other mechanisms that conceal The bill should include a 180-day statute of posal to amend the Internal Revenue Code to the true cost to Federal taxpayers; and (3) limitations for legal challenges following permit the issuance by State and local gov- highway spending should be financed from final agency approval of highway and transit ernments of ‘‘private activity bonds’’ for the Highway Trust Fund, not the General projects. This limit is necessary to reduce highways and surface freight transfer facili- Fund of the Treasury. All spending for high- litigation uncertainty that can impede ties. ways should be authorized and appropriated project development for years. The bill Public Transportation Programs. Aside from the Trust Fund and derived from taxes should also avoid adding new requirements from concerns about overall funding levels,

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00041 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S998 CONGRESSIONAL RECORD — SENATE February 11, 2004 the Administration is pleased that the bill nism to control the expansion of long-term I believe this meets that guideline. includes provisions to improve human serv- unfunded obligations. OMB’s cost estimate of (2) transportation infrastructure spending ice transportation coordination and expand this bill currently is under development. should not be funded through bonding or the ‘‘New Starts’’ program, but is dis- The PRESIDING OFFICER. The Sen- other mechanisms that conceal the true cost appointed by the omission of a performance ator from Oklahoma. to Federal taxpayers. . . . incentive program to reward transit agencies Mr. INHOFE. First of all, there is no I agree with that. In fact, I have been based on increases in transit ridership. one I have a higher regard for than the Accountability and Oversight. The Admin- the one who has rejected the sugges- istration is pleased that the bill includes man who was elected with me to the tion of any type of a bonding that stringent project management and financial other body in 1986, Senator KYL, the might just be deficit spending in dis- plan requirements which were requested by junior Senator from Arizona, and they guise, something we are going to pay the Administration. Improved account- elected him then to come over to this back in the future, some increased ability and focused oversight by the Federal body in 1984. We are both conserv- debt. Highway Administration will help maximize atives. This is the big one. This is the one the effective use of available funds. He has heard me say many times Funding Firewalls and Guarantees. The the Senator, with his vast knowledge, when I was first elected to the other has gone through and who is in a better Administration supports a separate category body, I got on the Transportation Com- or ‘‘firewalls’’ for determining the level of position to do that than I; and that is spending from the Highway Trust Fund, but mittee and the reason I did it was be- the criterion that says: only in the context of the Administration’s cause I always felt the conservatives [H]ighway spending should be financed proposal for annual statutory limits on dis- were pretty big spenders in two areas. from the Highway Trust Fund, not the Gen- cretionary spending. In addition, the Admin- One is national defense and the other is eral Fund of the Treasury. istration does not propose the creation of infrastructure. That is what we are Now, perhaps it is hard. There could ‘‘firewalls’’ for general fund spending on such sent here for. Apparently, the most re- be an honest disagreement here. If critical areas as defense and homeland secu- cent poll I saw shows the vast majority rity, and therefore opposes such treatment some money is going to the general of the people, 69 percent, are willing to fund and is being paid at the pumps by for general fund spending on mass transit spend more money if it will be spent on programs. people who are paying for the gas tax, Byrd Test Change. The Administration op- highways, roads, and bridges. I see that that should be going into the highway poses weakening the Byrd Test to compare as what we are here for. trust fund. It is user paid. We all agree I have to address the fact that there spending authority to current resources plus with that concept. are a lot of amendments that have for years, rater than two years, of estimated For those of us who feel strongly future revenue. The Byrd Test was estab- come up. I have stood here for 2 weeks about this, I can remember I was out- lished at the creation of the Highway Trust trying to get people to propose amend- raged back in the middle 1990s when Fund in 1956 to ensure that future revenues ments, to discuss their amendments. the previous administration came would be sufficient to cover outstanding We sit down here and we talk about ev- through and they wanted $8 billion so spending authority. The Byrd Test has been erything there is to talk about until successful in ensuring the Highway Trust they could do something other than now at last there is hysteria that we do Fund’s solvency for nearly 50 years, and roads, and it came out of the trust fund not have time to bring up our amend- modification could allow levels of spending and went into the general fund. Frank- ments. There has been plenty of time. that cannot be sustained by estimated reve- ly, this takes it back. This rectifies a nues to the Highway Trust Fund. I have to say, too, to my good friend, Park Roads. The Administration supports the junior Senator from Arizona, it is problem that should not have existed the funding level for park roads, but opposes because of the senior Senator from Ari- in the first place and keeps us honest the provisions of section 1806 of the bill that zona that we have not been able to with the American people. establish a park funding priority system bring up the amendments because they Look at the moral issue part of this. that would reduce the Administration’s abil- are objecting to any motions to bring The people drive up to the pump. There ity to implement the President’s Park Leg- them down to vote. That means the is not a Senator who does not have acy Program. Allocation of park road fund- constituents who drive up to the pump. ing should be consistent with the sound asset only thing we can vote on that does not require that particular permission is a They don’t mind paying that tax— management approach on which the Presi- some say they would go ahead and pay dent’s Park Legacy Program is based and tabling motion which we have done which is currently used by the National Park only once because no one else has had more taxes—and they assume that Service, in a manner that will best address anything else to table. money is going to go for the repair and the needs of all parks, not just a few. So that is the reason. construction of roads and infrastruc- Cross-Border Transportation. The Admin- I regret that we wasted a lot of time ture. In fact, that is not the case. istration opposes the bill’s provisions defin- when we were inviting people to come There have been raids on that for a ing foreign trucks and buses engaged in the long period of time. cross-border transportation of cargo and pas- down. Those who were opposed to this for any number of reasons—some le- I am not going to go over the list of sengers into the United States as ‘‘imports.’’ the Finance Committee. I talked to the Existing statutory provisions already ad- gitimate reasons, some not so legiti- dress cross-border transportation safety, and mate—were the ones who were stopping chairman and the ranking member of the revised definition would significantly us from moving forward with the bill. the Finance Committee back when we disrupt the almost $2 billion daily cross-bor- First, I think as far as the cloture were working on this bill well over a der movement of goods. motion, the Senator from Arizona is year ago. It said when we come up with MAGLEV. The Administration opposes the exactly right. In fact, I appreciate the what we believe is necessary to just continued authorization of funding for Mag- letter he was citing from the adminis- stay even—there is one report out that netic Levitation Transportation Technology tration that came down today. It says: says even with this spending level that Deployment (MAGLEV). The Administra- does not even keep us repairing what tion’s SAFETEA proposal did not seek fund- ‘‘The Administration supports enacting for MAGLEV and believes funds can be ment of a six-year highway [bill],’’ and we have today, but if this comes up, better spent investing in the Nation’s public so forth, and they are in support of the you guys in the Finance Committee are transportation systems. cloture motion. going to be the ones who have to come Budget estimates and enforcement So this is the administration that is up with this. This bill would affect direct spending and in support of the cloture motion. I I have never been on the Finance receipts. It is critical to exercise responsible think if you look at the letter—and I Committee. I have never attended one restraint over Federal spending in a manner will give you a different slant than my of their meetings. I don’t know how it that ensures deficit reduction and the Ad- friend from Arizona—they have three works. But I do know the chairman and ministration looks forward to working with criteria. There is nothing new about ranking member said: We have come up Congress to control the cost of this bill. The this. I saw this 2 months ago. I saw it with a way to come up with this Budget Enforcement Act’s pay-as-you-go re- on the 4th of this month when they money. Sure, a lot of it, as the Senator quirements and discretionary spending caps mentioned, is spending down the trust expired on September 30, 2002. The Presi- sent a letter from the administration. dent’s FY 2005 Budget includes a proposal to It says these three criteria are: fund. Yes, we can do that probably to extend the discretionary caps through 2009, a [T]ransportation infrastructure spending $6.5 billion without hurting ourselves. pay-as-you-go requirement that would be should not rely on an increase in the gas tax That is an assumption we make here. limited to direct spending, and a new mecha- or other Federal taxes. . . . The interest? Yes, it should go to the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00042 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S999 trust fund. There are some fixes in last in terms of the condition of said, we ought to swap, if we swapped, there in terms of ethanol that are all bridges—next, weighted nonattainment I would end up with $40 million more. I part of it. This going after people who and maintenance areas and, lastly, rate will stand here right now and swap avoided paying taxes is something we of return of donor States. with you, and it will not affect any of would all agree is something that We all know that the Senator from the rest of the formula. should happen. Arizona and I both know all about The formulas are not an easy thing The one area the Senator mentions, being a donor State. If we accelerated to deal with. frankly, I can’t address is having to do the point within those 6 years to raise Insofar as the State of Arizona is with the WTO. I am just going to trust that amount, then, obviously, there concerned, if you take an average of the Finance Committee that they have would not be enough money to ulti- the 6 years of TEA–21, $463 million, and come up with this and have done what mately get to the 95 percent we want then you watch as it goes up here to fi- I asked them to do a long period of to ultimately get to. So if you change nally reach $800 million, the total time ago. one thing in the formula, it changes ev- amount of increase is $1.11 billion in Oh, yes, in response to that, I was un- erything. You cannot do it in a vacu- the State of Arizona. For my State of derlining something. This came out in um. Oklahoma, the chart looks almost the the Finance Committee, I say to my There will be amendments, I am sure, same, but the difference is we end up at friend from Arizona. It said: In the tomorrow that are going to be address- $1.07 billion. So there is $40 million view of the Finance Committee, these ing this and wanting to change the for- more going to the State of Arizona. I tax policy benefits—we are talking mula. But if you do it, it is going to don’t like that. If I were to try to do about benefits deductions, whether change other States. something as chairman, I probably they are ethanol or maybe a car that is Now, if you will remember, the rea- could have. I could probably have fuel efficient—nonetheless, to encour- son I am proud of this formula is that looked at the first run and said, no, age them to do that, they are exempt we have tried to do it. We tried to do it Oklahoma needs to have more. But I from certain taxes. But those cars and in 1991 with ISTEA. We tried to do it in didn’t do it because we wanted the for- those trucks still drive on our roads, TEA–21 in 1998. We failed during that mulas to work. So the formulas are still cause damage to the roads, and be- time because right about at this point something that you can’t mess with because they want to have a tax policy in the process they said: Well, we can’t cause if you do, you get right back to that has nothing to do with infrastruc- do it. There are too many people who the minimum guarantee policy we have ture, has nothing to do with roads and don’t like the way the formula has had in the past. I don’t think that is highways, fine, if we all agree on that, come out. So instead of that, we need good for anyone. it should come out of the general fund, 60 votes. How do we get 60 votes? Since we have committed some time it should not come out of the highway So they had a minimum guarantee. to two other Members, including the trust fund. We are rectifying that and They said: All right. We are going to Senator from North Carolina, I yield getting it back to the highway trust offer 60 of these votes what they want the floor. fund. in terms of a percentage of the overall, The PRESIDING OFFICER. The Sen- Now, on formulas, this is the most and then, once we get to 60 votes, who ator from Arizona. complicated part of the bill. I say to cares? We have our 60 votes and we are Mr. KYL. Madam President, I ask the Senator, your senior Senator came going to pass it. unanimous consent to print in the down and said he would like to trade Well, I refused to do that back when RECORD the Statement of Administra- formulas with Oklahoma. I have to say, the temptation was great to do it tion Policy dated February 11, 2004, and as I have said several times down here about 3 months ago. So the formula is also, though I did not quote from it, an in the last 2 weeks, everyone has the going to be the first pure formula that editorial of the Wall Street Journal en- same formula. You have the same for- we have had. But are there frailties in titled ‘‘Road Kill,’’ and the date is Feb- mula. North Carolina has the same for- it? Yes, there are. There are correc- ruary 10, 2004. mula. Maine has the same formula; tions to be made because if you look in There being no objection, the mate- Oklahoma does. previous years at States where they rial was ordered to be printed in the Now, the results come out differently have had an undue political influence, RECORD, as follows: because in that formula we are taking they have gotten more than their EXECUTIVE OFFICE OF THE PRESI- care of problems that are real prob- share. DENT, OFFICE OF MANAGEMENT lems. Arizona is a fast-growing State, Let’s look at Pennsylvania. They had AND BUDGET, WASHINGTON, DC, the State of Texas, the State of Cali- a good friend of the Senator from Ari- FEBRUARY 11, 2004. fornia, the State of Florida. So in order zona and myself who served in the STATEMENT OF ADMINISTRATION POLICY to make all of this happen, there are other body, Bud Shuster, a Congress- S. 1072—SAFE, ACCOUNTABLE, FLEXIBLE, AND caps, there are ceilings. If you bump man from Pennsylvania. He, for a num- EFFICIENT TRANSPORTATION EQUITY ACT the ceiling, we are not going to go ber of years, was the chairman of the (Senator Inhofe (R) Oklahoma and 3 above that. You may not like it be- committee, and Pennsylvania did dis- cosponsors) cause you are a fast-growing State. But proportionately well. The Administration supports enactment of if you don’t, then that is going to be I would say the same thing of our be- a six-year highway, highway safety, and transit authorization bill and procedural ef- paid for in the formula with a change, loved Daniel Patrick Moynihan of the forts that would limit consideration of extra- maybe a change that is going to be State of New York; certainly John neous amendments and bring the bill to an coming in the form of an amendment Chafee, one we all loved, from Rhode up or down vote. Such a multi-year author- tomorrow, by getting into some of the Island. So the Northeast got kind of a ization would provide States and localities States such as Pennsylvania and New benefit to which they were not enti- with predictable funding that enhances long- York. tled. term transportation planning. The Adminis- So here is what we have in the for- In fact, to be specific, under TEA– tration’s proposal, as modified by the Presi- mula: No. 1, total lane miles on the 21—let’s keep in mind I was a senior dent’s FY 2005 Budget, would provide $256 billion over six years, an historically high interstate, on principal arterial routes; member of the Environment and Public level of investment for highways and transit. No. 2, VMT—that is, vehicle miles trav- Works Committee in 1998 when we put This proposal represents a $45 billion, or 21 eled—on the Interstate System, on this together. And so at that time, in percent, increase over the Transportation principal arterial routes, excluding the terms of a percentage of taxes paid in, Equity Act for the 21st Century (TEA–21), interstate, and on the Federal aid sys- New York got $1.25 back; Pennsylvania, the six-year bill enacted in 1998. tem; No. 3, annual contributions to the $1.20 back; Rhode Island, $2.16 back; The Administration believes that surface transportation reauthorization legislation highway trust fund attributed to com- Montana—Senator BAUCUS, who is a mercial vehicles; No. 4, diesel fuel used should exhibit spending restraint and adhere very hard worker for his State—$2.18 to the following three principles: (1) trans- on highways; No. 5, relative share of back; Oklahoma, 90.5 cents, the min- portation infrastructure spending should not total cost to repair or replace deficient imum, the bare minimum. rely on an increase in the gas tax or other highway bridges—I am very sensitive I am the guy who should be out here Federal taxes; (2) transportation infrastruc- to that; my State of Oklahoma is dead complaining. When your senior Senator ture spending should not be funded through

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00043 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1000 CONGRESSIONAL RECORD — SENATE February 11, 2004 bonding or other mechanisms that conceal delivery while protecting our environment. the Administration supports amending the the true cost to Federal taxpayers; and (3) The bill should include a 180-day statute of bill to incorporate the Administration’s pro- highway spending should be financed from limitations for legal challenges following posal to amend the Internal Revenue Code to the Highway Trust Fund, not the General final agency approval of highway and transit permit the issuance by State and local gov- Fund of the Treasury. All spending for high- projects. This limit is necessary to reduce ernments of ‘‘private activity bonds’’ for ways should be authorized and appropriated litigation uncertainty that can impede highways and surface freight transfer facili- from the Trust Fund and derived from taxes project development for years. The bill ties. imposed on highway use, thereby maintain- should also avoid adding new requirements Public Transportation Programs. Aside ing the link between Trust Fund revenues to the transportation planning process, and from concerns about overall funding levels, and highway spending. integrate the transportation planning proc- the Administration is pleased that the bill However, the bill pending before the Sen- ess with other environmental review proc- includes provisions to improve human serv- ate authorizes: $262 billion on highways and esses to reduce redundancies. ice transportation coordination and expand highway safety, which is $50 billion above With respect to project review under the the ‘‘New Starts’’ program, but is dis- the President’s request, and $56 billion on National Environmental Policy Act, the bill appointed by the omission of a performance mass transit, which is $12 billion above the should clarify the authority of State and incentive program to reward transit agencies President’s request. In total the Senate bill local governments to be joint lead agencies, based on increases in transit ridership. authorizes $318 billion in spending on high- with the U.S. Department of Transportation, Accountability and Oversight. The Admin- ways, highway safety, and mass transit over in preparing environmental documents. The istration is pleased that the bill includes the next six years, a full $62 billion above the Administration also notes that section 1511 stringent project management and financial President’s request for the same period. is inconsistent with the President’s proposal plan requirements which were requested by The Administration proposed authoriza- in SAFETEA, and encourages the Senate to the Administration. Improved account- tion of $256 billion over six years is con- adopt the President’s proposal. ability and focused oversight by the Federal sistent with the three principles listed The Administration also believes that the Highway Administration will help maximize above. We support a responsible six-year bill bill should clarify standards pertaining to the effective use of available funds. and support many of the provisions con- public park and recreation lands, wildlife Funding Firewalls and Guarantees. The tained in this legislation. However, we op- and waterfowl refuges, and historic sites— Administration supports a separate category pose S. 1072 and the pending substitute be- commonly referred to as ‘‘Section 4(f).’’ A or ‘‘firewalls’’ for determining the level of cause their spending levels are too high and clarification of the Section 4(f) definition of spending from the Highway Trust fund, but they violate these principles discussed ‘‘prudent’’ is needed to forestall confusing only in the context of the Administration’s above. Accordingly, if legislation that vio- standards applied unevenly by the Federal proposal for annual statutory limits on dis- lates these principles (such as this legisla- Courts of Appeals. In addition, the bill cretionary spending. In addition, the Admin- tion, which authorizes $318 billion) were pre- should address the overlap between Section istration does not propose the creating of sented to the President, his senior advisors 4(f) and Section 106 of the National Historic ‘‘firewalls’’ for general fund spending on such would recommend that he veto the bill. Preservation Act to decrease project delays critical areas as defense and homeland secu- In addition, the Administration opposes in- and uncertainty. rity, and therefore opposes such treatment clusion in a surface transportation bill of un- In addition, the Administration believes for general fund spending on mass transit related provisions regarding Amtrak. Any that the bill should not include a mandatory programs. legislation regarding the future of Amtrak two percent set-aside from the Surface Byrd Test Change. The Administration op- should be considered separately and should Transportation Program (STP) to support a poses weakening the Byrd Test to compare provide for meaningful reforms, such as highway stormwater discharge mitigation spending authority to current resources plus those proposed by the Administration. If sur- program. Stormwater discharge mitigation four years, rather than two years, of esti- face transportation legislation containing costs are already eligible under STP. mated future revenue. The Byrd Test was es- such provisions were presented to the Presi- New Regulatory Mandates. The Adminis- tablished at the creation of the Highway dent, his senior advisors would recommend tration strongly opposes the numerous man- Trust Fund in 1956 to ensure that future rev- that he veto the bill. dated rulemakings for NHTSA and the enues would be sufficient to cover out- The Administration wants to work closely FMCSA. These provisions predetermine standing spending authority. The Byrd Test with Congress to achieve an acceptable bill timetables and outcomes without adequate has been successful in ensuring the Highway and recommends attention to the following grounding in science, engineering and proof Trust Fund’s solvency for nearly 50 years, areas. of net safety benefits. By prescribing specific and modification could allow levels of spend- Safety. The Administration appreciates requirements and mandating priorities, ing that cannot be sustained by estimated the creation of a new Highway Safety Im- these provisions will delay or interfere with revenues to the Highway Trust fund. provement Program (HSIP) and a strong ongoing safety initiatives and may have the Park Roads. The Administration supports safety belt incentive program, but believes unintended consequence of redirecting agen- the funding level for park roads, but opposes the bill should also require States that have cy resources away from programs that will the provisions of section 1806 of the bill that not enacted primary safety belt laws or do more overall good for safety. The Admin- establish a park funding priority system achieved safety belt use rates of 90 percent istration also objects to the inclusion of: (1) that would reduce the Administration’s abil- to spend no less than 10 percent of core high- costly and burdensome provisions of the bill ity to implement the President’s Park Leg- way safety construction HSIP funds on be- requiring FMCSA to issue medical certifi- acy Program. Allocation of park road fund- havioral safety projects eligible under the cates to 6.5 million commercial drivers while ing should be consistent with the sound asset Section 402 program. In addition, the Admin- limiting the performance of medical exami- management approach on which the Presi- istration opposes limiting a State’s flexi- nations to physicians alone; and (2) the bill’s dent’s Park Legacy Program is based and bility to use HSIP funds by requiring manda- expansion of hours-of-service safety exemp- which is currently used by the National Park tory set-asides for rail-highway grade cross- tions. Service, in a manner that will best address ings or safe routes to schools. The Adminis- Financing and Freight Mobility. The Ad- the needs of all parks, not just a few. tration believes that several programs of the ministration appreciates the bill’s expansion Cross-Border Transportation. The Admin- National Highway Traffic Safety Adminis- of the Transportation Infrastructure Finance istration opposes the bill’s provisions defin- tration (NHTSA) should be consolidated and and Innovation Act (TIFIA) loan program by ing foreign trucks and buses engaged in the a portion of those funds should be used to re- lowering the project threshold and broad- cross-border transportation of cargo and pas- ward States that aggressively reduce fatali- ening the list of eligible projects to include sengers into the United States as ‘‘imports.’’ ties in the manner proposed by Section freight projects. However, the Administra- Existing statutory provisions already ad- 2001(a) of the Administration’s proposal. tion opposes removing the TIFIA program dress cross-border transportation safety, and Also, language similar to that included in requirement that a borrower have a dedi- the revised definition would significantly the Administration’s proposal on providing cated source of revenue for repaying its disrupt the almost $2 billion daily cross-bor- for NHTSA-administered highway safety TIFIA loan. Likewise, the Administration der movement of goods. data grants should be added to help States opposes allowing railroads to use Federal MAGLEV. The Administration opposes the improve their data to reasonable standards. grants to pay the credit risk premium or continued authorization of funding for Mag- Environmental Provisions. The Adminis- repay Railroad Rehabilitation and Improve- netic Levitation Transportation Technology tration opposes substantially broadening the ment Financing loans. Deployment (MAGLEV). The Administra- list of eligible projects for Congestion Miti- The Administration supports amending the tion’s SAFETEA proposal did not seek fund- gation and Air Quality (CMAQ) funding be- bill to give States the ability to manage con- ing for MAGLEV and believes funds can be cause many of these new projects would have gestion and raise additional revenue by al- better spent investing in the Nation’s public minimal air quality benefits. Eligibility for lowing drivers of single occupant vehicles to transportation systems. CMAQ funds should be limited to projects use High Occupancy Vehicle lanes by paying Budget Estimates and Enforcement. This that achieve air quality benefits, particu- tolls. The Administration also supports bill would affect direct spending and re- larly because the number of Clean Air Act amending the bill to provide States flexi- ceipts. It is critical to exercise responsible nonattainment areas, which need this type bility to implement variable tolls on inter- restraint over Federal spending in a manner of funding, will increase. The Administration states for congestion management or air that ensures deficit reduction and the Ad- believes that the bill should improve project quality improvement purposes. In addition, ministration looks forward to working with

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00044 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1001 congress to control the cost of this bill. The bill, Majority Leader Bill Frist refused after fuels. The tax benefit for ethanol, like nearly Budget Enforcement Act’s pay-as-you-go re- 75 Senators voted to start debate. all energy production incentives, is trans- quirements and discretionary spending caps Still, this is a fight worth having. Congress ferred to the general fund through a tax expired on September 30, 2002. The Presi- will keep spending freely until Mr. Bush credit. The same effect is applied to refunds dent’s FY 2005 Budget includes a proposal to shows he’s willing to spend political capital for special categories of users such as State extend the discretionary caps through 2009, a to say no. In a letter to Congress last week, and local governments. Finally, the Highway pay-as-you-go requirement that would be Administration officials warned that any bill trust Fund will earn interest on its balance, limited to direct spending, and a new mecha- that includes higher gas taxes, trickster ac- so that the highway and transit programs nism to control the expansion of long-term counting or a siphoning of general tax reve- are not prejudiced. This second category of unfunded obligations. OMB’s cost estimate of nues will face a veto. Presidents who make proposals closed the funding gap, but, with- this bill currently is under development. veto threats and don’t fulfill them quickly out revenue offsets, would have increased the become irrelevant. budget deficit by $21.7 billion. [From the Wall Street Journal, Feb. 10, 2004] Mr. INHOFE. Madam President, I ask Finance Committee members decided that ROAD KILL—CONGRESS’S SPENDING BINGE unanimous consent to print in the this second category of proposals should not MOVES TO THE PASSING LANE have a deficit impact. To this end, the Fi- RECORD the summary of the Finance nance Committee title includes a group of An old political adage has it that the most Committee’s highway trust fund pro- loophole closers previously approved by the dangerous place in Washington is between a posal. committee. Congressman and asphalt. That is exactly There being no objection, the mate- Ninety-five percent cost over $120 billion where taxpayers now find themselves as Con- . . . the cost forced us to construct a new gress conspires to pass another monster rial was ordered to be printed in the method. Equity Bonus keeps the cost of rec- highway bill. The only good news is that RECORD, as follows: tifying donor states affordable. President Bush is showing signs he may fight SUMMARY OF FINANCE COMMITTEE HIGHWAY this election-year porkfest. TRUST FUND PROPOSAL COMPARISON OF NH AND VT [BOTH LOW The Administration has its own highway Finance Committee jurisdiction extends to POPULATION STATES PER MCCAIN] proposal, which is hardly cheap. Mr. Bush is the highway use-related excise taxes, the Response: VT does very well under the for- asking for $256 billion over six years, which Highway Trust Fund, and the expenditure mulas for the core programs (not changed is 21% more than the past six years and fair- authority of the Highway Trust Fund. The from TEA–21 in this bill). Former NH Sen. ly close to Treasury estimates of revenue Finance Committee acted primarily on the Smith’s position on the EPW committee dur- from the current 18.4-cent-a-gallon federal cash flow into and out of the trust fund. Cash ing TEA–21 ensured that NH did well under gas tax that is earmarked for roads. flow into the trust fund is represented by the politically drafted 1104 table despite Ah, but this isn’t enough for the boys of trust fund excise tax receipts. Cash flow out their relative poor performance under the summer construction. The draft Senate bill of the trust fund is represented by trust fund formulas. demands $55 billion more than Mr. Bush and outlays. Matters involving contract author- CO IS GETTING A RAW DEAL is loaded with fiscal gimmicks that divert ity and obligation limits are not Finance Response: Colorado has the highest rate of money from general (non-gas-tax) revenues Committee subject matter and the com- growth . . . Senator Allard, a member of into road building. The House bill from mittee did not speak to them. EPW has been very supportive of the bill. Transportation Chairman Don Young is even According to the Congressional Budget Of- ADDITIONAL COMMENTS worse—an astonishing $375 billion with a fice (‘‘CBO’’), current law trust fund receipts Highway Trust Fund was raided during five-cent gas-tax increase. will total $227.8 billion over the six year pe- TEA–21 of $8 billion (Note: argument will be Notwithstanding lip service to the budget riod. CBO projects $196 billion in highway ac- made that the $8 billion was given up in deficit, the strategy for passing this is to count receipts and $31.8 billion in mass tran- order to get the ‘‘firewalls’’) offer so many goodies for individual Mem- sit account receipts. If we were to accelerate getting all states bers that they can’t resist. The American The authorizing committees’ actions to 95 percent sooner it would add to the cost Road & Transportation Builders Association, placed demands on the trust fund of $231 bil- of the bill and donee states like PA and NH aka the road graders lobby, recently adver- lion for highways and $36.6 billion for transit would have a lower rate of return tised how much more booty each Member for the six year authorization period. That On average, in SAFETEA, donee states lost could take home under the Young bill. means a total of $267.6 billion in demands on 4 cents from TEA–21 and donor states gained In the Senate, meanwhile, Minority Leader the trust fund. 4 cents from TEA–21 . . . I would call that a Tom Daschle is planning to attach his Prior to Finance Committee action, de- fair exchange. stalled ethanol-subsidy legislation (cost to mands on the trust fund exceeded receipts by drivers: $8.5 billion a year) to the bill in $39.8 billion over the six year period. To PLAYERS IN TEA–21 order to attract farm state votes—and grease make up this funding gap, the Finance Com- his own re-election this year. Republicans mittee developed two categories of pro- 2003 of 2009 of His- who go along with this self-serving gambit posals. The first category increased trust TEA–21 SAFETEA toric will be helping Mr. Daschle defeat GOP chal- fund receipts by tightening compliance. The New York (Moynihan) ...... 1.2488 0.9975 1.23 lenger John Thune in South Dakota this fall. second category included accounting Pennsylvania (Shuster) ...... 1.2084 0.9746 1.16 One of the more embarrassing arguments changes that raised trust fund receipts. Rhode Island (Chafee) ...... 2.1662 1.8234 2.22 from Congress’s highwaymen is that this is The compliance changes raised trust fund Montana (Baucus) ...... 2.1842 2.2015 2.35 somehow a ‘‘jobs bill.’’ So at least for this receipts by $5.6 billion over the authoriza- Oklahoma ...... 0.9050 0.9500 0.87 parochial matter, Republicans claim to be- tion period. These changes were also scored FORMULA FACTORS: lieve in the superiority of government over as revenue raisers by the Joint Committee private spending. Some Econ 101: Highway on Taxation. These proposals have no impact Total lane miles on the Interstate, on prin- spending rolls out slowly over many years on the budget deficient. cipal arterial routes (excluding the inter- but new taxes are immediately taken away The budget resolution assumes that 2.5 state), and on the Federal aid system from the more productive private economy. cents per gallon of gasohol receipts, cur- Vehicle Miles Traveled (VMT) on the Inter- It’s more accurate to say that Mr. Young’s rently held by the general fund, will be state system, on principal arterial routes bill would be a net job loser. transferred to the trust fund. That transfer (excluding the Interstate), and on the Fed- If Republicans really wanted to be true to raises trust fund receipts by $5 billion over eral aid system their principles, they’d scale back the fed- the authorization period. The Finance Com- Annual contributions to the highway trust eral highway fund and return road-financing mittee also assumed that trust fund balances fund attributed to commercial vehicles to the states. The federal government got would be spent down by $7.5 billion over the Diesel fuel used on highways Relative share of total cost to repair or re- into this game in the 1950s to build the Inter- authorization period. Adding all of these place deficient highway bridges state Highway System. That network is changes together with the compliance Weighted non-attainment and mainte- nearly complete, but Congress now views the changes, the Finance Committee closed the nance areas highway trust fund as a way to make all gap by $18.1 billion over the authorization Rate of return of donor states Americans pay for local road projects. States period. That left a funding gap of $21.7 bil- are much better placed to judge real needs, lion. Mr. KYL. Madam President, if I could and they’d have the flexibility to experiment The Finance Committee proposed to close ask my colleague from Oklahoma a with innovative proposals like tolls, express this gap with a group of trust fund account- question, I appreciate the relative dol- lanes and public-private partnerships. ing changes. These proposals raise trust fund lars received by States such as his and Such delusional hope aside, the ultimate receipts by shifting the burden of tax poli- mine. I would just ask one question: size of this bill will depend on Mr. Bush’s de- cies from the trust fund to the general fund. Does the State of Oklahoma, under this termination to enforce his budget request. In the view of Finance Committee, these tax History isn’t necessarily on his side; when policy benefits have nothing to do with high- policy, receive 95 cents in each of the Ronald Reagan vetoed a highway bill in 1987, way use and should not burden the trust next 5 years, and does the State of Ari- Congress overrode him. And despite calls last fund. Included in these proposals is a repeal zona receive 90.5 cents for every dollar week from fiscal conservatives to delay the of the partial exemption for ethanol-blended we send in?

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00045 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1002 CONGRESSIONAL RECORD — SENATE February 11, 2004 Mr. INHOFE. The State of Oklahoma improves worker productivity, combats often accidents occur on the small two- does not. It goes up to 95 cents. The stress, and gives employees more time lane secondary roads, in many cases first year, it is 90.5; next year, 91.75; with their families and less time strug- leaving death and destruction in their and it gradually goes up. Yours does gling with a long commute. wake. The money in this bill will make not because for the State of Arizona, it This legislation also addresses a those roads safer for our families and hits the ceiling. So you have 90.5 each problem that exists with the highway our children. of the first 4 years, then 90.84, then 95. trust fund. Right now, North Carolina There are also provisions for install- Mr. KYL. I thank the Senator. gets just 90.5 cents for every dollar we ing skid-resistant surfaces at intersec- Mr. INHOFE. I yield the floor. put into the trust fund. This legisla- tions, traffic signal upgrades, and im- The PRESIDING OFFICER. The Sen- tion guarantees that North Carolina’s provement in pedestrian and bicyclist ator from North Carolina. share will increase to 95 cents over the safety. All of these are sorely needed. Mrs. DOLE. Madam President, our next 5 years. That will mean an addi- Safety on our roads must continue to transportation infrastructure is one of tional $50 million a year for transpor- be a priority. this country’s most important invest- tation construction, and we all know Madam President, it is imperative we ments. It is literally the foundation of how much good can be done with those act now to pass this critical legisla- America. Each day our roads, bridges, dollars. tion. I urge my colleagues to support buses, and railways help countless The bill also expands the Small it. It is a win-win for all of our States, Americans travel to their jobs, visit a Starts program to include mass transit for businesses, and especially for the faraway relative, or take a day trip projects under $75 million. My State millions of Americans who rely on our with their kids. and local leaders’ biggest complaint is transportation infrastructure each and As a former Secretary of Transpor- the mounds of paperwork and regu- every day. tation, I am constantly in awe of this latory hurdles that must be completed, I yield the floor. vast reach of modern-day transpor- even for the smallest transportation Mr. INHOFE. Madam President, first, tation. I can still recall from my ten- project. It simply is not fair that these before the Senator from North Carolina ure at the Department the completion smaller projects must jump through leaves, I want to say we are very fortu- of the Interstate 40 corridor which runs the same large hoops as the biggest nate to have her expertise having from Wilmington, NC, to southern Cali- served as Secretary of Transportation fornia, an enormous stretch of highway projects in the United States. The and in other capacities where she pro- that literally links us from coast to Small Starts project will allow for sim- vided leadership. She has an under- coast. It is these kinds of investments pler, less costly review of these standing of transportation needs prob- that are vital to sustaining our com- projects, and that is good news for our munities and our economy. By ensur- States. ably greater than any other single per- Now let me touch on another area of ing that our roads, bridges, and infra- son in this Chamber. I thank her for structure are prepared for the future, the legislation that is near and dear to her contributions here. I yield the floor. we provide economic stability. For my my heart. Safety was at the forefront The PRESIDING OFFICER (Mr. home State, that is a crucial compo- during my 5 years as Secretary of ALEXANDER). The Senator from Min- nent of our economic recovery. Transportation. Our rule 208, as we As many of you know, North Caro- called it at Transportation, encouraged nesota is recognized. lina is going through painful economic the passage of State seatbelt laws and Mr. DAYTON. Mr. President, I want times as traditional textile, furniture, the inclusion of passive restraints in to discuss a couple of amendments I in- and other manufacturing jobs are di- new cars. tend to offer if the opportunity arises minishing. Improving our transpor- In 1984, there were only a handful of in the next couple of days. tation infrastructure is a vital part of airbag-equipped cars on the road. Not a I thank the bill’s managers, Senator getting North Carolina’s economy back single manufacturer was currently of- INHOFE and the ranking member, Sen- on track. fering airbags at that time. I remember ator JEFFORDS, for standing up against Let me give an example. Construc- a long search for a car with an airbag what I believe are very misguided at- tion is already underway for Inter- to use in a demonstration on the White tempts to take a meat cleaver to this states 73 and 74 in North Carolina, and House lawn. But today that number very important bill. It is terribly un- planning has begun for Interstate 20. stands at 40 million. And as we all now fortunate that immediately following The Department of Transportation es- know, airbags save lives and prevent the most recent budget projections, timates that the projects in this bill crippling, disabling injuries. At that which show enormous deficits for this would create 86,900 jobs in North Caro- time, in 1984, there was only a 14 per- year and for the years thereafter, the lina. cent usage rate for seatbelts, and there very first legislation that comes to the Further, these roads go through was not one single State seatbelt law floor is this one that provides transpor- areas that are among the hardest hit in the United States. tation funding for the next 6 years. by economic difficulties, creating jobs Our regulation 208 helped change all This is not, I urge my colleagues, the especially in rural parts of North Caro- of that. Today, 49 States and the Dis- place to economize. To do so in this bill lina, where mobility between towns trict of Columbia have seatbelt laws. would be penny wise and pound idiotic. and cities is essential for commerce. As of 1998, the national seatbelt use It would be kind of like a person who These routes of opportunity make our rate was 69 percent. Some States, such was told by his doctor he has to lose communities more attractive to busi- as my home State of North Carolina, weight and he decides to eliminate nesses and promote investment in our have a use rate of over 80 percent. It is fruits and vegetables. These are public neighborhoods. estimated that 11,900 fatalities and investments in our Nation’s highways, Additionally, there is an 89 percent 325,000 serious injuries are prevented bridges, rail lines, and mass transit increase in funding to address North each and every year due to usage. It is systems. They are critical to our social Carolina’s growing transit needs, with said that rule 208 literally changed the and economic vitality—moving prod- a special emphasis on our rural areas. climate of highway safety in America. ucts quickly to market; moving people This money can be used to provide It was also a privilege back then to swiftly, smoothly, and safely to jobs, more buses as our rural residents trav- work with my friend, Senator FRANK schools, and family activities, and then el from home to work each day. And LAUTENBERG, to champion legislation back home again. These are critical infor urban areas, such as Raleigh, encouraging States to raise their vestments in the future of our country. Greensboro, and Charlotte, I am proud drinking age to 21, thereby helping to They are termed capital investments, that the Banking Committee on which eliminate drunk driving and blood bor- which means they are projects which I serve has included much-needed dol- ders between our States. themselves generate future wealth. lars to relieve congestion by investing There are many safety provisions in- People say we ought to operate Gov- in buses, street cars and, in some cases, cluded within this bill. Funding is ernment more like a business, and I light rail. there to ensure that our secondary agree. They should recognize that suc- We all know that relieving conges- roads are safer, something that is vi- cessful businesses regularly go into tion creates a cleaner environment, tally important to rural areas. Too debt to finance their capital projects.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00046 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1003 Building new plants, expanding or mod- ago, which was $218 billion, to increase mittee, for his initiative in the legisla- ernizing existing facilities are good and that to $436 billion. That contrasts tion for correcting what is essentially necessary reasons to incur debt. with the Senate bill now of $311 billion a penalty to those States, such as Iowa Most State and local governments and the House bill of $375 billion, al- and Minnesota, that have been using also issue debt—public bonds to finance though I would not increase the ethanol as part of their fuel. their capital projects. They use current amount by increasing the gasoline tax In Minnesota, we have had for the receipts for ongoing operations or con- as is being proposed in the House. I last 8 years a requirement that 10 per- sumption. In the Federal Government, would fund mine through the general cent of every gallon of gasoline sold in we are doing the opposite. We are going fund, dedicate the revenues from the our State be comprised of ethanol. seriously into debt to pay for current highway trust fund into the purposes Right now, nationwide it is less than 2- programs and consumption and treat- they are being used for, but not use percent ethanol in proportion to gaso- ing our capital improvement budget, that as a ceiling for funding the nec- line. If you listen to some of my col- such as this transportation bill, as if it essary public infrastructure. That leagues, they would have you believe were the same program spending. It is would be a business such as Target Cor- the use of ethanol is going to drive not. poration deciding the number of new prices for gasoline or its substitute Bankers and brokers understand that stores it is going to build in the next through the roof when, in fact, the op- difference. Homeowners, farmers, and few years is going to be a function of posite is true. business owners understand that dif- some formula, such as the percentage I use in my car in Minnesota with a ference. State government officials un- or revenues from socks or shorts that slight engine modification made by the derstand that difference. Why can’t are being sold; and if somebody, for manufacturer, a Ford Explorer, a fuel this administration and Congress un- fashion reasons, decides they are going that consists of 85-percent ethanol and derstand that difference? to go sockless for a year, that number 15-percent gasoline. That is 20 cents a That understanding is important be- goes down and so does the investment gallon cheaper in southern Minnesota cause this is a bill where we need to in new stores go down. No sensible than regular unleaded. It runs just as think bigger, not smaller. Unless my business would make future invest- well. The vehicle performs just as well. colleagues’ States are in very different ment decisions based on this kind of If we want to reduce the $115 billion conditions, and their highways, formula and be dictated by that result. a year we send overseas to pay for the bridges, rail lines, mass transit sys- In this case, as well, we should be de- foreign oil we import, there is no more tems are in much better shape than my ciding as a body, with the House and readily available way to do that than State of Minnesota’s, then they have the administration, what level of pub- to increase the use of ethanol. I regret, the same critical shortage of funding lic investment we need to make in because of some of the opposition to as Minnesota. highways and mass transit systems that, that Senator FRIST’s and Senator In my State, the conditions and ca- over the next 6 years—make that deci- DASCHLE’s amendment to increase the pacities of our highways and other pub- sion based on the needs and then decide use of ethanol over the next decade in lic infrastructure have been declining how we are going to fund it. this country by a very modest amount over the last decade, and they are Again, we do these things backward is not going to be offered as an amend- going to continue to do so without this here and, as a result, we don’t make ment to this legislation. Hopefully, it additional infusion of Federal money. the commitment that will pay off for can be considered by the Senate and Our State and local governments sim- this Nation if we do it, and we will sac- passed as a separate measure in the ply do not have, and they are not going rifice the future of our highways and very near future. airports and rail lines if we don’t do it. The use of ethanol in the current for- to have in the future, the increasing While recognizing it is unlikely to be mula penalizes States for that con- amounts of funding necessary to keep adopted by this Senate, especially in sumption. Again, I thank Senator up with or catch up with growing popu- the face of the President’s insistence GRASSLEY and also the ranking mem- lations and increased usage. It is only that even the Senate number be re- ber of the Senate Finance Committee, here in the Federal Government that duced further—again, I salute Senator Senator BAUCUS, for their initiative. It we have the resources—at least we did INHOFE and Senator JEFFORDS for is going to be vital from my standpoint until a couple years ago, before the standing resolutely in favor of this and that the measure passing the Senate budget surpluses were turned into defi- being the fiscal conservatives they are. and the conference report include that cits. But even now, we still have the re- They recognize these are public invest- correction. sources, though not to do everything. ments that are vital, and to fail to I also will have two amendments I It comes down to what are our prior- make them would be—at least for Min- hope I will have the opportunity to ities. What and who do we consider nesota—virtually catastrophic. I thank offer. One is a rural roads safety most important? the Chairman and ranking member for amendment which I developed with the The President has made his priorities their steadfastness in supporting this support of the National Association of very clear. He has made making the and the level of commitment it makes. Counties. It will provide additional 2001 and 2003 tax rates permanent the I also am proud to be a cosponsor of funding. The amendment itself calls for centerpiece of his budget and his eco- the Build America Bonds Act, which is $1 billion a year over the 6-year life- nomic recovery strategy. If so, we are being sponsored by Senator TALENT of span of this bill. This would be addi- going to be waiting quite a while for Missouri and Senator WYDEN of Or- tional funding to provide for programs that recovery because the President’s egon, because if we are not going to use to improve the safety of our rural proposal won’t even take effect until public dollars directly for these roads across the country. the expiration dates for the change projects, then another way to finance More than 25,000 people die each year now already in place; and for the 2001 them would be for the Federal Govern- on our rural roads system. It is a fatal- tax bill items, that will be the year ment to issue bonds and provide tax ity rate that is 21⁄2 times greater than 2010. For the 2003 items, most of those credits to those who purchase the that for urban highways. In fact, it is won’t be extended until the years 2006, bonds. the highest rate of fatalities per vehi- 2007, and beyond. The proposal made by Senators TAL- cle mile for any type of transportation This bill before us today is the best ENT and WYDEN would issue another $50 in this country. economic stimulus bill and jobs cre- billion of Federal bonds that would be Despite this need on some 840,000 ation bill possible for right now—not then used throughout the States to ad- miles of rural two-lane roads, funding 2006 or 2010, but right now—in Min- vance these projects. If we are not directed from this bill in the past has nesota and across America, which is going to use general revenue dollars or provided very little direct assistance to why the funding level for this bill highway trust fund dollars sufficiently rural communities which, in my State ought to be increased, not decreased. to meet the needs, then we ought to in- at least, have the least capacity to un- I had an amendment I would like to corporate bonding in addition to what dertake these expensive projects. offer—although it flies in the face of is being funded elsewhere. This funding would provide for im- reality—to double the amount of Fed- I also thank Senator GRASSLEY, the proving roadway alignments, elimi- eral funding that was provided 6 years chairman of the Senate Finance Com- nating wheel way rutting, including

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00047 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1004 CONGRESSIONAL RECORD — SENATE February 11, 2004 skid resistance, widening lanes and what we think is right for the people of I really do not recognize tears shed shoulders, installing dedicated turn our respective States. I think we have by a State that is growing rapidly. The lanes—whatever the State and particu- done as well as we can do for the people State of Nevada beats all States. We larly the county and local units of gov- of this country. have grown more rapidly in the last 14 ernment decide are in their best inter- The Presiding Officer has been a Gov- years than any State in the Union. We est. ernor of 1 of our 50 sovereign States. I hold the record. We are the fastest It is also being introduced in the think he would—I have not spoken growing State in the Union. So when House by Representative BOB NEY who with him—have recognized during his someone says they are a rapidly grow- is the chairman of the House Adminis- tenure as Governor how very impor- ing State and should be treated dif- tration Committee. I hope it will re- tant the highway programs were in the ferently, we also understand what it ceive favorable consideration in the State of Tennessee. means to grow fast. We believe we have next few hours. In this legislation that is now before treated Arizona very fairly. The other amendment I would like to this body, the State of Tennessee is This is probably more difficult for offer is a mandate for the Federal vehi- going to do extremely well with this someone in the majority to say but it cle fleet to use either 10-percent eth- bill. The State of Tennessee, which has is not hard for me to say: I dare the anol-blended gasoline or biodiesel fuel, been a State that has given far more President to veto this bill. He is not 2 percent or more where it is available than it has taken in—that is, in the going to veto this bill. This letter we and where it is at a generally competi- State of Tennessee, for every dollar have, this statement of administration tive price. The amendment would apply paid into that fund, the people of Ten- policy, comes to us all kinds of times to some 650,000 Federal vehicles every- nessee have contributed 10 cents out of on various types of legislation. Presi- where except for the Department of De- every dollar to the rest of the country. dent Clinton sent us threats. President fense and the military, and it provides The people of Tennessee have not got- Bush sends us threats. That is what the opportunity for the Federal Gov- ten what some think is a fair shake in they are. The President will not veto ernment to take the leadership in en- this legislation. the biggest jobs bill during his entire 4 couraging the use of ethanol and bio- There was an effort to bring every years in office. He is not going to do it. diesel fuels by its own practices. State, including the State of Ten- I do not care if it is the number we These are, as I said earlier, fuels that nessee, to 95 cents in this bill. The have in this bill or the one Chairman will add to our rural economic recovery State of Tennessee, rather than getting YOUNG from the House wants. He wants to increase the prices of commodities, the 90 cents on the dollar previous to $270 billion. Ours is $255 billion. This such as corn and soybeans, in the mar- this bill being enacted, will get an av- bill will not be vetoed by President ketplace which raises profits for farm- erage of 94.25 cents for every year this Bush, and my colleagues can take that ers and lowers subsidy costs for tax- bill is in effect, and, in the final year, to the bank. payers. They are cleaner burning fuels it will get 95 percent. That is a tremen- My friend from Arizona also says he than oil-derived fuels, and they put dous boon to the State of Tennessee. is disturbed that because we got the money in the pockets of Americans We have done that for every State in money for this bill, he wants to make rather than foreigners. the Union that in the past was paying sure the World Trade Organization does This amendment, as well, I hope, will into the trust fund far more than they not punish us. I wish they would punish be considered favorably by this body. It were getting. us and kick us out of the World Trade is not going to increase costs. In fact, The State of Arizona also gets 95 Organization. I do not want to be part if anything, based on my experience cents on the dollar. My friend, the Sen- of the World Trade Organization. So with ethanol, it is going to lower costs, ator from the State of Arizona, is com- that does not sell too well with me. and it is going to provide a real boost plaining because we don’t do it fast So I repeat, States have been treated to the rural economy of America. enough. very fairly in this bill. We are going to In closing, I wish to say again that I want everyone to know how very be able to invoke cloture on this bill this legislation is crucial for Min- difficult it was to get a formula that because it is the right thing to do. nesota. It is crucial for our Nation. would bring every State up to 95 per- I understand the legislative process. That is why tomorrow I am going to cent at the end of this sixth year. It We are going to pass a bill; the House, vote in favor of the cloture motion to was extremely difficult. So I would rein their wisdom, will pass a bill; and it proceed to this measure and move to spectfully suggest to my friend from will go to conference. We will try to pass it in the Senate. Hopefully, the Arizona he should be complimenting us prevail in what we want. The House House will follow suit as well so we can rather than saying he does not like will try to prevail in what they want. get this bill passed and signed by the what we have. In years past, we would When they are invited, which I am sure President and into effect and get this not worry about the State of Arizona will be often, the administration will money to the States where it can be and the State of Tennessee. What we be expressing their views at the con- well used and be an economic stimulus would do was see if we had the votes ference. Then we will have a bill and it and provide jobs. and just roll over everybody. That was will be sent to the President’s desk. I hope during the course of that con- how we used to do this. This is my That is how the process works. sideration I will have an opportunity fourth bill. That was how we used to do It is way too early to be threatening to offer these amendments. things, but we are not doing that this a veto. This is done lots of times. I do I thank the Chair, and I yield the year. We are trying to be fair. not think anyone should be quaking in floor. Rather than being critical of what we their boots over a statement of admin- The PRESIDING OFFICER. The as- have done to bring everyone up to 95 istration policy. They probably have a sistant Democratic leader. percent by saying we did not do it soon stack of these statements of adminis- Mr. REID. Mr. President, I wish to enough, we should be complimented. tration policy left over from the Clin- take an opportunity to respond to Frankly, we could do this bill without ton Presidency that is that high. They some of the statements made by the the States of Arizona and Tennessee. just peel these out on probably two- distinguished junior Senator from Ari- We could do without those four votes. thirds of the bills we have. zona, my friend Mr. KYL. I have the But we decided to be fair and to do ev- I have been around for awhile. I am greatest respect for him. He is a neigh- erything we could to allow a minimum not impressed with this statement of bor of the State of Nevada. We have at the end of this year. administration policy because the ad- worked well together in many different So I repeat for the third time, rather ministration knows, everybody in this areas, but his statement regarding this than being castigated for not bringing body knows, that this is one step, but highway bill is simply off base. up the 95 percent sooner, I think the an extremely important step, in a very I respectfully suggest that maybe we people of the State of Arizona—I know long effort to get this bill to the Presi- should understand that there are three the people in the Department of Trans- dent’s desk. We will get it to the Presi- separate but equal branches of Govern- portation—are happy with what they dent’s desk. It will not be easy, but ment. We have a responsibility in the have. This is going to be a wonderful what has been accomplished has been legislative branch of Government to do thing for the State of Arizona. very important to the process.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00048 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1005 As I said earlier, this bill should be a lation we deal with this entire year have people saying outsourcing jobs is picture for the American people. We than this legislation. This is the most going to be the key to our economic are working in the Senate in a bipar- important thing we are going to deal success. We have others who say var- tisan fashion to produce a bill that is with, and I agree with the junior Sen- ious forms of tax policy. They, in my good for the American people. It is a ator from Mississippi, this is the most opinion, miss the point. We have to in- bill that I have said before is imper- important legislation we have to deal vest in those things that will make us fect. It is not perfect. It is difficult to with. more productive, and infrastructure is do. I compliment and applaud the chair- one of the keys to that progress. This is the bill. I can hardly lift it. I man of the committee, the ranking I think there are three factors by guess that shows how weak I am, but it member of the committee, my counter- which you evaluate the legislation that is still a pile of paper. This stack of it part, the chairman of the sub- is before us: is the highway portion of it. Another committee. We have worked well to- No. 1, increasing Federal investment stack of it is the transit portion of the gether. I think we have set an example in infrastructure to avoid a further de- bill, and then the finance portion. This for what the Senate should be, could cline in the highway network and to has been a year in the making. It has be, and I hope will be in the future. reduce congestion. been extremely difficult to do. I suggest the absence of a quorum. No. 2, assuring that users pay for the For someone to come to the floor and The PRESIDING OFFICER. The highway system to avoid additions to say what we need to do now is have a clerk will call the roll. America’s burgeoning deficit. 1-year extension—I do not think so. In The legislative clerk proceeded to No. 3, greater fairness among the the process, we would lose hundreds of call the roll. States. thousands of jobs by extending this a Mr. GRAHAM of Florida. Mr. Presi- I am concerned that SAFETEA will year. The Presiding Officer knows that dent, I ask unanimous consent that the shortchange the American people on the planning department and the de- order for the quorum call be rescinded. all three factors. partments of transportation for every The PRESIDING OFFICER. Without First, what should be the goal of State in the Union have to do objection, it is so ordered. transportation funding? From a num- multiyear planning. There cannot be a Mr. GRAHAM of Florida. Mr. Presi- ber of the speeches I have heard on the transportation system in a State on a dent, in response to the threat to end Senate floor and in committees, it ap- year-to-year basis. Some of these the debate on the Safe, Accountable, pears as if the debate is over numbers. projects take years to complete, and if Flexible, and Efficient Transportation The President said he will veto any bill we stall for another year, it is going to Equity Act of 2003—the acronym is that exceeds his proposal of $206 billion make the projects more expensive. SAFETEA—I rise in opposition to clo- for highways over the next 6 years. They will cost more money, not less ture on this legislation. I do so for sev- Senator INHOFE, chairman of the Envi- money. eral reasons. ronment and Public Works Committee, So I understand that my friend from First, I believe strongly that increas- said cutting funding below the $255 bil- Arizona comes here all the time as a ing investment in our Nation’s infra- lion level for highways would place the spokesperson for the administration. structure—our transportation system, allocation of funds among the States in He does it on lots of issues. I respect our water and sewer systems, our elec- jeopardy. Congressman DON YOUNG, his being someone who answers the tric grids, our crumbling schools—is chairman of the House Transportation beck and call of the administration. He critical to our Nation’s future well- and Infrastructure Committee, is advo- is here on so many different issues being. Today, we are debating one of cating a level of $300 billion over the spouting what the administration the keystones of that investment— next 6 years for highways. wants, but we are legislators and we transportation, highways, public tran- What I think is missing in all of will get to the White House, the admin- sit, and rail. these pronouncements is an evaluation istration, in due time to work this out. Transportation is an integral part of of what these numbers mean to the I repeat, we are a separate but equal everyone’s daily life. It is an integral condition of America’s highways over branch of Government and this is not part of America’s current and future the 6-year life of this legislation. the time for the President—rather, the economic well-being. Federal invest- When the Transportation Act for the President’s people; I should not use his ments in transportation infrastructure 21st Century—TEA–21—was approved in name—to be waving all of these increase our economic vitality and our 1998, I stood on this floor and predicted threats. international competitiveness. that when the bill expired in 2003, our My friend from Arizona talks about I believe the key question for the Nation’s transportation system would these deficits. Well, my colleagues foreseeable future of America is how be in worse physical condition and with have heard us on this side talk about we maintain America’s standard of liv- a higher level of congestion than on why we think the deficits are there, ing while at the same time competing the day we passed the bill. That pre- but in this legislation we have not in a global marketplace where lowest diction has, unfortunately, come to talked about all the bad things and all unit cost of production is the holy pass. the negative things that we believe the grail. That is going to be a significant According to the U.S. Department of majority party is doing and the major- challenge to our generation and to fu- Transportation’s Conditions and Per- ity has not talked about all the bad ture generations of Americans. formance Report, capital investment things they think we are doing. This I don’t think there is any easy an- by all levels of government between has been a bipartisan rush to score a swer, but I believe the answer begins 1997 and 2000 remained below the cost touchdown and take this bill to the with an investment in three things: to even maintain the system we cur- House and see what they do to respond. No. 1 is innovation. America must rently have. The result? Overall per- I hope they can do it quickly, and I continue to be the leading edge on formance of the system declined. am confident they will. They can usu- whatever the next wave of techno- Since the passage of TEA–21, the ally move things much more quickly logical progress will be in this world. highway system has degraded by 6 per- than we can and then we work out a No. 2, we must have the best edu- cent. Twenty-three percent of the high- process to work out the differences be- cated citizenry in the world so that ways in the Nation’s urban areas are tween the House and the Senate and they in turn can be the most efficient. now considered ‘‘unacceptable’’ by the move this thing to the White House. It No. 3, we must invest in our infra- standards of U.S. Department of Trans- can be done and it really has to be structure, not just because it contrib- portation. Twenty-nine percent of the done; we have no choice. This transpor- utes to our daily quality of life but be- Nation’s bridges are considered struc- tation bill is important for the Amer- cause it is a critical factor in our pro- turally deficient or in a deteriorating ican people. As the Senator from Mis- ductivity and ability to compete in the condition. sissippi, the distinguished former ma- world. Additionally, according to the annual jority leader and minority leader, Mr. We are having a big controversy now congestion study by the Texas Trans- LOTT, said on this floor this week, over what the elements of America’s portation Institute at Texas A&M Uni- there will not be more important legis- long-term economic future are. We versity, the agency to which the U.S.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00049 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1006 CONGRESSIONAL RECORD — SENATE February 11, 2004 Department of Transportation looks dent Eisenhower increased the Federal covered as a result of the Enron scan- for the evaluation of congestion, the motor fuels tax in order to be able to dal again. But, again, these were the average commute delay in urban areas finance the Interstate Highway Sys- provisions that have already been used has increased by 14.3 percent since 1998. tem, not leave it as a burden for our to fund other legislation. This means the commute that used to children and grandchildren and we, this The fiscal imprudence does not end take 25 minutes in 1998 will now add an generation of Americans, are the bene- with using offsets that have already extra 2 hours per month to the com- ficiary of that wise judgment. been previously used. The bill also em- mute of the average American. During the Finance Committee con- ploys a gimmick of requiring corpora- I will make the same prediction sideration of SAFETEA last week, I tions to pay their 2009 taxes in order to today that I made in 1998; that is, if the discussed the option of raising the Fed- make it appear in the year 2008 we have Senate adopts the funding levels cur- eral motor fuel user fees to fund the raised a sufficient amount of revenue rently in this bill, our Nation’s high- bill at the level needed to maintain over the 6-year period of the bill. Obvi- ways will be in worse physical condi- current conditions. Many of my col- ously, the consequences are we will tion, with increased congestion, by the leagues were not comfortable with the start the next 6 years in the hole be- end of this authorization in the year idea of increased fees, raising the Fed- cause we used money through an ac- 2009 than it is today, February 11, 2004. eral user fee just 3.7 cents per gallon. counting gimmick to make it appear as The failure to address these condi- That is what we would be required if it if it were revenue within this 6-year tions in the past has created the situa- were indexed for inflation to fully fund cycle. tion we must address in the future. By a Federal program of the $300 billion These overpaid corporate taxes will the U.S. Department of Transportation over the next 6 years, which is required ultimately be refunded, however, estimate, by the year 2009 we will face to at least maintain the status quo in meaning we do not really offset the an additional $400 billion in infrastruc- the quality of our highways. cost of the bill over the period that the ture backlog and congestion costs will Again, President Bush has made it highway spending occurs. This is shady balloon to over $90 billion. We are not very clear he will not support any bookkeeping, reminiscent of the proce- even able to maintain the current qual- highway bill that is financed by an in- dures that this body worked so hard in ity of our roads under the SAFETEA crease in user fees, by bonding, or by the recent past to reform in the private authorization level. funding from the general fund. I am sector. In order to maintain the highway sorry to hear the President neither Is it fair to offset the spending in this system in its current level of fiscal supports funding the Nation’s infra- bill with already used revenue raisers condition and without increasing con- structure at the levels recommended or accounting gimmicks? It is duplica- gestion, the American Association of by his own Department of Transpor- tive at least, irresponsible at worst. We State Highway and Transportation Of- tation, nor does he support the prin- must legitimately pay for this bill. ficials estimates that investment of $92 ciple that the users of the system Third, I have fought for many years billion a year by Federal, State, and should support the levels of investment to create a funding structure that is local governments, close to $300 billion needed to maintain and improve our based on equity, on providing States of that Federal, will be required over highways. that face the highest level of need with each of the next 6 years. In addition, If we are not willing to fund the their fair share of Federal funds. This our problem is compounded by the dis- SAFETEA bill at the appropriate level bill has a fatal flaw. It creates a for- tinguished majority leader’s statement to maintain their current condition mula for highway funding that has ab- yesterday that SAFETEA, already in- and reduce or maintain the current lev- solutely no solid basis in rationale pub- adequate, must be trimmed to avoid a els of congestion—to do as the first lic policy. Presidential veto. principle of a physician ‘‘do no harm,’’ In my State of Florida, traffic delays We are now at a point of decision. to the system—if we are unwilling to cost the average motorist in our eight Are we prepared to tell the American do that, maybe we should not be con- largest cities $485 per year in lost time people we are willing to accept a fur- sidering a 6-year bill at all. Instead, and fuel. By the year 2020, Florida will ther deterioration of our highways and the Senate should work on a 1-year ex- add about 6 million new residents, dou- bridges and increased congestion? If we tension of the current program with a bling its international trade, and wel- have the same experience over the next commitment to work on a more sub- come more than 100 million tourists 6 years that our highway system has stantial long-term bill next year after per year. This additional growth will experienced in the last 6 years, we will the Presidential elections. multiply congestion and delay tremen- see a degradation from 1998 to 2009 of We are not willing to raise fees on dously. approximately 12 percent and a com- those who use our highways but in- This is only a snapshot of the grow- mute delay will increase 30 percent. stead have approved ‘‘offsets’’ for the ing problems in my State and not an Is this an acceptable result for the spending in SAFETEA. But many ques- uncommon story for many States in safety, the quality of life, and the eco- tions about how the deficit will be af- the South and West. nomic expectations of the American fected as a result of these offsets re- Over the past 15 years, America’s people? In my judgment, the answer is main. Last week, the Finance Com- population has grown by 18 percent. clear. The answer is no. mittee equalized losses to the general Florida’s population has grown at The President supports an even more fund by using offsets from what al- twice that rate, 39 percent. Vehicle accelerated rate of decline in the con- ready had been used. For example, $22.3 miles traveled, a good measure of the ditions and congestions of our highway billion worth of already committed tax use of our highway system, has grown system than SAFETEA. He has insisted changes. One offset used is a crack- by 48 percent nationally but 90 percent that the highway portion of SAFETEA down on corporate tax shelters, a pol- in Florida. Lane miles, a measure of be funded at $206 billion, roughly 65 icy that I have long supported. How- the extent of the system, have grown percent of what is required just to ever, this offset has already been used less than 10 percent nationally over the maintain our highway systems at their in two other pieces of legislation ap- last decade, and only 11 percent in current levels. We must do more. We proved by the committee and awaiting Florida in the face of a 90-percent cannot continue to ignore the problem final action by the Congress—the char- growth in the use of our highway sys- and allow a critical component in our itable giving or CARE Act and the tem. quality of life and our economic future JOBS Act, which is our response to the High growth States all face similar to deteriorate. WTO abolition of our current means of circumstances. In 1982, just 10 of the 25 I have a second concern. As I stated, financing international transactions most congested areas pursuant to the a fundamental principle is users should and other tax provisions, such as end- Telecommunications Transportation pay for the use they get of our trans- ing the tax bills that come with incor- Institute study were located in high- portation system. That has been a porating in other countries to avoid growth areas such as Maryland, Colo- principle throughout our Nation’s his- paying taxes, eliminating tax benefits rado, Texas, Arizona, California, and tory, particularly when we launched for individuals who expatriate for tax Florida. Today, 15 of the most con- the Interstate Highway System. Presi- reasons, and closing tax loopholes un- gested areas in the Nation are in those

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00050 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1007 States. But the funding formula we are satisfied. For these reasons, I will op- eral benefits. Unemployment insurance considering has failed to catch up with pose cloture. benefits are excellent stimulus because this reality. Thank you, Mr. President. they aid people who are likely to spend Under SAFETEA, these growth AMENDMENT NO. 2311 additional resources immediately. States are continuing to receive the Mr. ROCKEFELLER. Mr. President, I Opponents to the extension cite a lowest level of return on contributions rise today in strong support of Sen- drop in the national unemployment to the highway fund, despite their obvi- ators CANTWELL and KENNEDY’s amend- rate, among other improvements in the ous and growing needs. ment to reinstate and extend the Fed- economy, to justify phasing out this This bill attempts to get these States eral unemployment insurance program. program that serves as the final safety to 95 percent by providing what is re- This measure would provide 6 addi- net for workers across the country. It ferred to as an equity bonus. But the tional months of financial assistance is true that the Nation’s unemploy- equity bonus, unfortunately, does not to thousands of West Virginians and ment rate has dropped, albeit mini- cover all the funds available for dis- millions of Americans who have ex- mally, over the past few months. But it tribution. And it will keep our State at hausted their regular state-funded ben- is clear that these numbers are mis- the TEA–21 level return of 90.5 cents efits. This support is desperately need- leading. A closer look at the numbers for every dollar sent to the Federal ed and deserves immediate attention. reveals that thousands of Americans motor fuels trust fund until the year The Temporary Extended Unemploy- are so frustrated they actually gave up 2009. ment Compensation, TEUC, program looking for work altogether and Most important, however, is this en- expired on December 31, 2003. In re- dropped out of the labor market. Near- tire concept assures that an unfair sponse to a slowdown in the American ly 15 million Americans are out of scheme will remain in place. All States economy, Congress created this pro- work and the number of long-term un- should be guaranteed equal treatment gram in March 2002 to provide feder- employed remains enormously high, at with a formula that incorporates a ally-funded unemployment benefits to almost 2 million. Constituents in my yearly increase in the rate of return or the long-term unemployed who want to home State of West Virginia have been the glidepath to get all States to a 95- work, and who are looking for work, particularly vocal about the serious- percent return on the amount of funds but are unable to find employment in ness of this situation. In January, they send to the motor fuel tax by 2009. the current economic climate. As all of nearly 1,200 West Virginians exhausted The bill we voted out of committee my colleagues are aware, Congress ex- their State-funded benefits. That num- was significantly different from the tended the program twice, in January ber will jump to nearly 7,000 over the bill we will vote on here on the Senate and May of 2003 respectively, because next 6 months. If we pass this amend- floor. The pending committee amend- jobs remained scarce and new ones ment, more than 8,000 of my constitu- ment exceeds 1,300 pages and includes were not being created. Now, with mil- ents would get the help they need and significant changes from the status of lions of our constituents still looking deserve. My offices are taking calls from West the bill as it left the committees. This for work and with 90,000 workers ex- Virginians who need such help. One ex- means the formulas which have been hausting their State-funded benefits ample is a woman who lost her job due circulated by the committees of juris- each week millions of Americans need to company layoffs. She decided to re- diction at the start of the debate no our help once again. turn to school so that she could learn longer reflect the state of the bill. Over the past two years our economy new skills and reenter the workforce For example, what effect will the Fi- has suffered through a difficult reces- better prepared for an uncertain fu- nance Committee’s actions have on sion. Recently, however, according to ture. My constituent was depending on State-by-State allocations? A provi- some economic indicators, it does ap- the TUEC benefit to help finance her sion approved by the Finance Com- pear to be turning the corner. At least education. Without extending these the data indicates we are poised to re- mittee to change the way gasohol is benefits, how will she make ends meet turn to better and improved economic taxed will change each State’s con- until she finishes her training? I be- output from years past. This is some tribution levels to the highway trust lieve that it’s a matter of this adminis- encouraging news, but it is long over- fund. tration’s priorities. And I very much due. Despite strong economic growth Will any of the amendments accepted worry we do not have our priorities over the last two quarters of 2003 and a by the managers of the bill affect the straight. equity bonus, diluting the rate of re- surge in the financial markets, jobs Lack of jobs is the primary culprit. turn to our States? continue to be hard to find. At this But what is equally troubling is that This seems to be part of a disturbing time, there is merely one job opening there is a clear shift of jobs from high- trend in this body. Whether it is the for every three out of work Americans. paying industries to lower-paying sec- energy bill, the prescription drug bill, This is totally unacceptable. We can- tors. This fundamental change in the or now it seems the transportation bill, not merely continue to muddle through job market was precipitated by a vari- there is a tendency to pass things now a ‘‘jobless recovery’’—we must get the ety of factors. But simply replacing a and ask the tough questions later. That unemployed the relief they need. good, secure, and well-paying position practice is unacceptable in the world’s Those who oppose extending emer- that includes health insurance and pen- greatest deliberative body. gency unemployment insurance have sion benefits with a minimum wage job Before the vote on cloture on also argued that recent improvements just doesn’t cut it. And sadly, it ap- SAFETEA, the Senate should be hon- in the economy and the labor market pears as if this administration is con- est about what SAFETEA will do. One, demonstrate that the program is no tent to tout the creation of new low- it will guarantee our roads, bridges, longer needed. How can the administra- paying jobs as stimulus, comparable to and transit systems will be in worse tion tout upward trends as a major eco- the 2.6 million manufacturing jobs that shape in 2009 than they are today. Is nomic turnaround when so many were lost since this President took of- that acceptable? It will increase the Americans are still struggling so hard fice. West Virginia alone has lost about size of the Federal deficit. Is that ac- just to make ends meet? The White 9,800 manufacturing jobs over the last ceptable? It will ensure that States House claims that jobs are one of the few years. will not receive their fair share of Fed- administration’s primary concerns. Congress must recognize the urgency eral highway funding. Is that accept- Yet, I am troubled that the White of this problem. We must move quickly able? The answer is no. House has been conspicuously silent to reinstate this program, not only to Are Members of the Senate com- about unemployment insurance, which assist the unemployed, but also be- fortable moving forward and approving has been proven to boost economic out- cause in doing so we will provide our a bill this week with open questions put. It has been reported that con- home states with additional resources about how the formulas work, at what tinuing the Temporary Emergency Un- that will immediately infuse econo- level the bill will be funded, and how employment Compensation, TEUC, pro- mies across the country with more any changes made here on the Senate gram would be the single best mecha- spending power. floor will affect the ‘‘delicate balance’’ nism to boost the economy, giving the We can afford to help our fellow as described by the chairman? I am not economy a $1.73 jolt for each $1 of Fed- Americans. Every worker contributes

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00051 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1008 CONGRESSIONAL RECORD — SENATE February 11, 2004 to the Unemployment Insurance Trust Senate version of the highway bill, also tation spending must reach at least $75 Funds so that in times of need benefits known as SAFETEA. billion annually by fiscal year 2009, ac- are available. Failure to act would send Few things that we in Congress do cording to a 2002 Department of Trans- a very negative message to the large this year will have as great of an importation’s, DOT, Conditions and Per- number of Americans struggling to pact on our fellow citizens as enacting formance report. The bill before us make their way in this difficult job cli- a 6-year successor to the 1998 Transpor- today provides $255 billion for high- mate. Not extending benefits is harsh tation Equity Act for the 21st Century, ways and $56.5 billion transit over six on the unemployed and their families. TEA–21. Simply put, enacting a high- years. To put those numbers into con- Mr. LIEBERMAN. Mr. President, for way bill this year will create jobs, re- text, they translate into an average an- working families in the State of Con- duce congestion and cut down on high- nual Federal investment of $51.8 billion necticut and across the country, these way fatalities in every city and town per year through 2009 under are hard economic times. Millions have across the country. SAFETEA—still far short of the fig- lost their jobs, and millions more fear Debate on this bill is long overdue, as ured cited by DOT needed to improve they might lose theirs soon. Outsourc- TEA–21 originally expired on Sep- our country’s transportation infra- ing American service jobs overseas, as tember 30, 2003, and thus it has been structure. the President’s economic advisors sug- necessary to extend these programs While the DOT’s 2002 report gives us gest, would only add to the unemploy- until the end of February. The primary an idea of the funding levels needed na- ment rolls and to growing anxieties. reason for this delay was that the Sen- tionwide to enhance our transportation What American needs is not a plan for ate was unable to come to an agree- system, I wanted to speak for a mo- creating jobs abroad, but a plan for cre- ment on how to raise the necessary ment on the funding needs of my home ating jobs here at home. revenue to provide the $311 billion in State of Maine. The Maine highway Nearly all sectors have been affected funding for highways and transit over 6 system is the most important facet of by the national economy’s sluggish years that 79 Senators—myself in- a transportation network that serves performance during the past 3 years, cluded—voted for as part of the fiscal the largest State in the northeastern with job losses across the board. The year 2004 budget resolution. United States, and totals 22,612 road manufacturing sectors has been hit As such, I was pleased to have been miles, which includes 367 miles of particularly hard. In the State of Con- able to support, as a member of the interstate highways. And as a State necticut, nearly 26,400 manufacturing Senate Finance Committee, a revenue with an abundance of islands, rivers, jobs have been cut in the past 38 package that I feel will break the log- lakes and streams, the State of Maine months, and 33,500 since January 2001. jam on this issue and allow us to move maintains an extraordinary number of Most of these jobs have gone overseas. forward on enacting a comprehensive, 6 bridges, including 3,564 highway In addition to manufacturing job year surface transportation bill this bridges with at least a 10-foot span. loss, services and high-tech jobs are year. The Finance Committee bill, Today, Maine’s highway system is also being sourced outside the United which was adopted on February 2 by a carrying an ever-growing volume of ve- States—to lower cost, lower wage vote of 17 to 4, generates the Senate 6- hicles. Highway use has increased from about 7.5 billion vehicle miles in 1980 to countries. The employment trends in year funding level without raising the more than 13 billion vehicle miles trav- this sector are harder to quantify, but Federal gasoline tax, resorting to tax- eled, VMT, in 2000. The Maine Depart- the impact is no less real. They threat- credit bonds or negatively impacting ment of Transportation’s, MDOT, en to put U.S. technological competi- the general fund. Twenty Year Transportation Plan tiveness and future economic growth at Like many of my colleagues, I would projects that VMT will grow by 18 per- risk. have serious concerns about any fi- cent, to about 16 billion VMT, by the The Bush administration has done nancing proposals that would raise year 2020. next to nothing to stop this hem- taxes on American consumers and Put simply, the most pressing issue small businesses, or that would require orrhaging—relying instead on factory facing this extensive transportation massive general fund transfers for photo-ops, toothless trade missions and system is its age. As MDOT’s Twenty transportation programs. I commend new organizational charts. The latest Year Plan puts it: comment from President Bush’s top Chairman GRASSLEY and Senator BAU- Our most dramatic challenge is that our economic advisers that the outsourcing CUS for navigating through these chal- infrastructure is aging. Roads, bridges . . . of U.S. service jobs to workers overseas lenges on highway financing and in- and other facilities that were built decades is good for the Nation’s economy only creasing the likelihood that Congress ago are now reaching, or have surpassed, underscores the administration’s lack will get the job done this year. their life expectancies. In many cases, this of understanding and leadership on this We have a big job to do in a small translates into the reality that repairs and issue. amount of time. It is critically impor- rehabilitation are no longer appropriate; the Instead of policies that shift jobs tant to our State Departments of time has come for many replacement and re- overseas, we need to create jobs in this Transportation that we enact a 6-year construction projects. This is especially true for a significant number of major bridges country. We need to strengthen en- bill as soon as possible. States are around the State, some of which offer the forcement of trade agreements; provide clamoring for a comprehensive high- only practical and cost-effective method for tax credits to keep manufacturing jobs way bill because, in addition to the crossing rivers and other bodies of water. in the United States; promote innova- funding they stand to get, a full reau- Given the challenges facing the State tion through Federal research and de- thorization allows them to plan for the in maintaining its transportation in- velopment policy; leverage Federal future. Without such a long-term bill, frastructure, and given that a good purchasing power; create tax incen- major projects—including many in my road system is absolutely critical to tives for investment in manufacturing home State—simply cannot go forward. economic development and job creation modernization and expansion; and It is regrettable that Congress did not in both rural and urban areas of Maine, strengthen manufacturing and service complete its work in 2003 by reauthor- I am pleased with the projected funding workers’ skills. izing these programs. Thus, we must for Maine in the formula section of S. Today I join my Senate colleagues in seize this opportunity and fulfill our 1072. Over the 6-year life of the Senate sponsoring a resolution that tells duty now—another 6-month delay is bill, Maine will receive $1.169 billion in President Bush—loudly and clearly— simply not acceptable. highway funding, an increase of $292 we will oppose efforts to encourage the As we debate the appropriate level of million, or 33.4 percent, from Maine’s outsourcing of American jobs overseas spending in this bill, let us not lose 1998 TEA–21 funding. This funding in- and instead provide a manufacturing sight of the fact that our country’s crease is particularly critical when tax incentive to encourage job creation transportation funding needs are sim- considering that during the last reau- in the United States. ply staggering. If we want to start im- thorization in 1998, when the average Ms. SNOWE. Mr. President, I rise proving—let alone maintaining—the State increase was 40 percent, Maine today in strong support for S. 1072, the current system of highways, bridges, received only a 17 percent increase. Safe, Accountable, Flexible and Effi- and transit infrastructure in this coun- I commend Chairmen INHOFE and cient Transportation Equity Act, the try, overall Federal surface transpor- BOND, and Senators JEFFORDS and REID

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00052 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1009 for their careful consideration and hard road construction costs, the economic considering today is because it is not work on these formulas. In doing so, benefit to the State and Maine citizens just a roads bill, or a transit bill, or a they have recognized that Maine, as would be between $1.6 million and $2.3 safety bill, it is also a jobs bill. The De- the largest State in New England in million annually. partment of Transportation estimates terms of landmass, but with a rel- The safety and economic benefits of that every $1 billion in new Federal in- atively low population density, simply getting heavy trucks off of Maine local vestment creates more than 47,500 jobs. needs all the help it can get from the roads and onto the interstate are enor- The funding in the Senate EPW com- Federal Government with the costs of mous. As such, I have filed an amend- prehensive 6-year bill of $255 billion maintaining the national highway sys- ment to the highway bill that would will create approximately 2 million tem simply direct the Secretary of Trans- new jobs nationwide, and will create or While I am certainly optimistic portation to establish a 3-year pilot sustain almost 57,000 highway-related about the funding Maine will receive program to improve commercial motor jobs in my home State of Maine. The under the EPW Committee’s proposed vehicle safety in the State of Maine. economic stimulus this bill will pro- formulas, I also intend to fight for Specifically, the measure would direct vide is reason alone to enact it as soon ‘‘high priority project’’ funding for sev- the Secretary, during this period, to as possible. eral Maine road and bridge projects waive Federal vehicle weight limita- I am pleased that the Senate is that are in dire need of Federal sup- tions on certain commercial vehicles poised to complete consideration of port. These important projects include weighing over 80,000 pounds using the this legislation. I look forward to the replacement of the 72-year-old interstate system within Maine, per- working my colleagues with a sense of Waldo-Hancock Bridge over the Penob- mitting the State to set the weight urgency over the next few days on en- scot River; the Aroostook North-South limit. In addition, it would provide for acting a comprehensive 6-year surface Highway project to connect the north- the waiver to become permanent unless transportation bill this year. the Secretary determines it has re- ern part of my State with the terminus BUDGET PROCESS REFORM of I–95 at Houlton; an East-West High- sulted in an adverse impact on highway Mr. CONRAD. Mr. President, this way running from Calais, ME, to the safety. I believe this is a measured, re- amendment contains provisions that New Hampshire border that will ad- sponsible approach to a very serious are within the jurisdiction of the Budg- dress the woeful state of east-west public safety issue. et Committee, on which I serve as I am aware that the current truck connectivity in Maine; and the Gorham ranking member. Specifically, it weight limit impacts different States bypass, a vital congestion mitigation amends the Budget Enforcement Act, in different ways, but for Maine, at the project in southern Maine. establishing spending levels for high- heart of the issue is a simple question: While first-class roads are important ways and mass transit for fiscal years Do we want heavy trucks on the high- for economic development, safe roads 2004 through 2009. It also expresses the way, where they belong, or on local are just as essential to the quality of roads running right through the heart sense of the Senate that comprehensive life of our citizens. As such, during the of our communities? I hope to work budget enforcement measures should reauthorization process I intend to with the chair and ranking member of be enacted this year, addressing discre- raise an issue of utmost importance to the EPW Committee to address this tionary spending, mandatory spending, Maine: that of keeping heavy trucks off issue as we consider the highway bill. revenues, and all areas of the Federal of our local roads. Safety must be the Another priority of mine during budget. No. 1 priority on our roads and high- TEA–21 reauthorization process, as a This bill is not the proper vehicle for ways, and I have long been concerned member of the Senate Committee on considering budget process reform. All that the existing interstate weight lim- Commerce, Science and Transpor- of the members of the Budget Com- its in my State have the perverse im- tation, is the issue of our country’s mittee—including those who will not pact of forcing trucks onto State and intercity passenger rail system. Until be conferees on the bill pending before local secondary roads that were never December 2001, Maine was one of only a us—deserve the opportunity to weigh designed to handle heavy commercial handful of States in the continental in on discretionary spending caps, pay- trucks safely. These State and local United States not served by passenger as-you-go, and other budget enforce- routes are narrow roads with narrow rail service. I am proud that after a ment. Those issues should not be pre- lanes, and rotaries, with frequent pe- decade of hard work and negotiations, sented to the Senate without having destrian crossings and school zones. Maine has become a member of the been considered by the Budget Com- Federal law attempts to provide uni- Amtrak family—with service from Bos- mittee. They therefore have no place form truck weight limits—80,000 ton to Portland, Maine. The State of on this bill. pounds—on the interstate system, but Maine is also working on plans to up- Mr. NICKLES. I agree that the pend- the fact is there are a myriad of exemp- grade the Boston-Portland line to a ing transportation bill is not the place tions and grandfathering provisions. high-speed rail service, and also may to consider budget enforcement provi- Furthermore, interstate highways have extend the line even further north in sions within the Budget Committee’s safety features specifically designed for the future. jurisdiction. Even though the budget heavy truck traffic, whereas the nar- In June 2003, the Commerce Com- enforcement provisions in this bill are row, winding State and local roads do mittee—with my support—voted to meaningless in the absence of other not. consider Amtrak reauthorization and process measures, I did not support Because of these long-standing safety TEA–21 reauthorization together. Since their inclusion. Enacting statutory concerns, MDOT has spent the last sev- then, I have been working with a bipar- budget enforcement this year will re- eral years studying the potential im- tisan coalition of Senators to make quire bipartisan cooperation, and the pacts of waiving the Federal weight that proposition a reality, including most appropriate way to ensure that is limits throughout the State. The pre- Senators HUTCHISON, HOLLINGS, and to consider these issues through the liminary results of their study clearly CARPER. Rail is a part of our surface regular order. I will work closely with show the wisdom of allowing heavy transportation system, and I will fight the Senator from North Dakota to trucks to travel on the interstate sys- to make sure that a rail title is in- make sure all Senate Budget Com- tem rather than local roads. Specifi- cluded in the final highway legislation mittee members have an opportunity cally, MDOT estimates that waiving sent to the President. Simply put, in- to provide input on these issues. Federal weight limits would result in cluding a passenger and freight rail Mr. FRIST. I concur with the chair- three fewer truck crashes in Maine title in this bill will build on the exist- man of the Budget Committee and every year. In addition to the safety ing foundation of passenger rail in agree with the sentiments expressed by benefits, waiving weight limits would Maine and further connect my State to the Committee’s Ranking Member. In- save MDOT between $1 million and the Nation’s transportation system—a deed the provisions in this legislation $1.65 million every year on pavement prospect about which I am very ex- establishing transportation spending costs, and approximately $300,000 per cited. categories are somewhat meaningless year on bridge rehabilitation costs. I conclude by saying that another unless we enact broader enforcement Overall, when considering safety and reason I support the legislation we are tools. Those broader enforcement tools

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00053 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1010 CONGRESSIONAL RECORD — SENATE February 11, 2004 should be addressed separate and apart service of Spec. Justin A. Scott of bers of the committee are aware, Dr. Kay has from this legislation. Bellevue, KY. His death while per- stepped down from this position and has been I suggest the absence of a quorum. forming his duty to this country is a succeeded by Mr. Charles A. Duelfer, a The PRESIDING OFFICER (Mr. former colleague and member of the U.N. great loss to us all. Special Commission with Dr. Kay, who has COLEMAN). The clerk will call the roll. On January 29, 2004, Justin and 11 been appointed by Director Tenet to con- The legislative clerk proceeded to other soldiers were investigating a tinue this important mission. call the roll. cache of weapons about a hundred I met with Mr. Duelfer the day before yes- Mr. FRIST. Mr. President, I ask miles short of Bagram Air Base in Af- terday and we just momentarily met with unanimous consent that the order for ghanistan. Suddenly, there was an ex- him in the Intel Committee room. the quorum call be rescinded. plosion and Justin and seven other sol- Dr. Kay volunteered—and I emphasize The PRESIDING OFFICER. Without that—volunteered to resume his public serv- diers were killed. I offer my sincerest ice, worked diligently for six months in Iraq objection, it is so ordered. condolences to Spec. Scott’s family under difficult and often dangerous condi- f and loved ones. tions, and just concluded his work last week MORNING BUSINESS His service with the 87th Infantry and reported to the director of Central Intel- Regiment of the 10th Mountain Divi- ligence. Mr. FRIST. Mr. President, I ask sion at Ft. Drum, NY, was exemplary I thank you and I thank your wife for public service. unanimous consent that the Senate and duly appreciated. As one of the now proceed to a period of morning Working with General Dayton and the Iraq U.S. Senators from Kentucky, I know Survey Group, ISG, your mission was to business with Senators permitted to that Spec. Scott served as a fine exam- search for all facts—repeat, all facts—rel- speak therein for up to 10 minutes ple of what it means to be a true pa- evant to the many issues about Iraq weapons each. triot and an American of the highest of mass destruction and related programs. The PRESIDING OFFICER. Without caliber. You initiated what was and continues—I em- objection, it is so ordered. We are humbled and honored by the phasize continues—to be a very difficult, complex mission that, in you own words, is f sacrifice Spec. Scott has made. His loss yet to be completed. HONORING OUR ARMED FORCES reminds us of the heavy cost exacted As you cautioned us when you took up this for our freedom. We must remember post in July, patience is required to ensure CORPORAL JUAN C. CABRALBANUELOS that the American way of life has been we complete a thorough assessment of this Mr. HATCH. Mr. President, these made possible by the bravery of men important issue. truly are ‘‘the times that try men’s and women like Spec. Scott. When In this hearing today we hope to receive souls’’ and challenge our resolve as a your assessment of what has been accom- freedom has been challenged many like plished to date—I repeat, to date—and what Nation. Today, it is with profound re- him have answered the call to arms. gret that I stand to pay tribute to a in your professional judgment remains to be We must never forget that. done by the ISG. It is far too early to reach true patriot of liberty who gave his life f any final judgments or conclusions. so that others may live in freedom. His In recent days, I mentioned, I met with name was Juan C. Cabralbanuelos and DAVID KAY’S SENATE TESTIMONY both General Dayton, I’ve met extensively he was a soldier in the U.S. Army. Mr. KYL. Mr. President, there has with your over the recess period, and Mr. Many have stood in this chamber to Duelfer, and received the assurance of Day- been a great deal of focus on the recent ton and Duelfer that they will be prepared to reflect on the loss that our Nation has Senate testimony of David Kay, the felt and the price that it has paid to represent to the Congress a second official in- former head of the Iraq Survey Group. terim report of the ISG group in the time main free. Today, I stand to remember Unfortunately, most media reports frame of late March. one who was a citizen of another na- have highlighted only those statements WARNER: It is crucial that the important tion, one who loved the United States by Dr. Kay that might be used to criti- work of the ISG group go on. Thus far the and freedom so much, he was willing to findings have been significant. cize the administration. They have Dr. Kay has stated that, although we have give his life to preserve an idea: free- largely ignored Dr. Kay’s assertions dom. He truly deserves the honor of not found evidence of large stockpiles of that Iraq was more dangerous than we WMD, or forward-deployed weapons, the ISG being called an American patriot. even realized prior to the war, that group have made the following evidence as a Coporal Cabralbanuelos leaves behind Saddam Hussein clearly intended to part of their record that will be forthcoming: a wife Anita and two sons ages seven continue developing weapons of mass first, evidence of Saddam Hussein’s intent to and one. To them, I know that nothing destruction, and other statements pursue WMD programs on a large scale; ac- that I say here will temper your grief. which contradict the false notion that tual ongoing chemical and biological re- But know this: your loss will not go search programs; an active program to use the administration ‘‘hyped’’ intel- the deadly chemical ricin as a weapon, a pro- unnoticed and unrecognized, your fel- ligence on Iraq. low Americans now and always will gram that was interrupted only by the start I thought it would be beneficial for of the war in March; and evidence of missile stand behind you and support you the American people to have a chance programs; and evidence that in all prob- through the trying times ahead. to read Dr. Kay’s entire testimony, inability they were going to build those weap- And so another name has been added cluding his edifying exchanges with ons to incorporate in the warheads, what we to Utah’s List of Honor: Corporal Juan members of the Senate Armed Services know not for sure, but certainly the possi- Carlos Cabralbanuelos. He joins an il- Committee. bility of weapons of mass destruction; evi- lustrious list that includes Specialist dence that Saddam Hussein was attempting I therefore ask unanimous consent to reconstitute his fledgling nuclear program David J. Goldberg, US Army Reserve; that his entire testimony be printed in Captain Nathan S. Dalley, West Point as late as 2001; and, most important, evi- the RECORD. dence that clearly indicates Saddam Hussein graduate and a member of the Army’s There being no objection, the mate- was conducting a wide range of activities in 1st Armored Division; staff Sergeant rial was ordered to be printed in the clear contravention of the United Nations James W. Cawley, United States Ma- RECORD, as follows: resolutions. rine Corps Reserve; Staff Sergeant As you recently stated, Dr. Kay—and I HEARING, SENATE ARMED SERVICES quote you—‘‘It was reasonable to conclude Nino D. Livaudais of the Army’s Rang- COMMITTEE, JANUARY 28, 2004 er Regiment; Randall S. Rehn, of the that Iraq posed an imminent threat. What (Joined in progress due to committee hear- we learned during the inspection made Iraq a Army’s 3rd Infantry Division; Sergeant ing room audio system). Mason D. Whetstone of the United more dangerous place potentially than, in WARNER: . . . a further report—and I fact, we thought it was even before the war,’’ States Army; and former Special stress a further report—from Dr. David Kay end quote. Forces soldier Brett Thorpe. on his efforts and the efforts of the team WARNER: Further, you said on NBC’s Their names and the service they which he was privileged to work with, known ‘‘Today Show’’ on Tuesday that it was, performed is something that I shall as ISG. He served as the special adviser to quote, ‘‘absolutely prudent for the U.S. to go never forget. I shall always honor them the director of Central Intelligence in deter- to war.’’ and their families. mining the status of weapons of mass de- Dr. Kay, I concur in those conclusions. I struction and related programs in Iraq. believe a real and growing threat has been SPECIALIST JUSTIN A. SCOTT After assuming this position last July, Dr. eliminated and a coalition of nations acted Mr. BUNNING. Mr. President, today I Kay made his initial interim official report prudently in the cause of freedom. I’d be in- will take the opportunity to honor the to this committee on October 3rd. As mem- terested if you concur in my conclusions.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00054 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1011 While some have asserted that the presi- We remain committed to providing the re- the eleventh time in the body’s 84-year dent and his senior advisers may have exag- sources that are necessary for the comple- history—to examine violations of trade gerated or manipulated prewar intelligence tion of the ISG work. union rights in Belarus. Meanwhile, on Iraq’s WMD programs, Dr. Kay reached Dr. Kay, I thank you for your public serv- the Parliamentary Assembly of the the following conclusion, which I think is ice once again. different. Council of Europe’s Committee on f As you stated recently, quote, ‘‘We have to Legal Affairs and Human Rights unani- remember that this view of Iraq (prewar as- BELARUSIAN AUTHORITIES mously ratified a report on political sessment of WMD capabilities) was held dur- CONTINUE TO STIFLE DEMOCRACY disappearances in Belarus. The just-re- ing the Clinton administration and did not leased report severely criticizes the change in the Bush administration. It is not Mr. CAMPBELL. Mr. President, as Belarusian authorities, stating that a political got-you issue. Often estimates are co-chairman of the Commission on Se- ‘‘steps were taken at the highest level different than reality. The important thing curity and Cooperation in Europe, I of the State actively to cover up the is when they differ to understand why,’’ end want to update colleagues on develop- quote. . . . disappearances’’ of several high- ments in the Republic of Belarus, a profile members of the opposition in That’s precisely why I called this meeting, country with the poorest human rights Dr. Kay, to continue the work of this com- 1999 to 2000 and that senior Belarusian mittee in developing a body of fact from record of any country in Europe today. officials may be involved. which reasonable people, at the conclusion of In the last year, Belarusian dictator Last year I introduced the Belarus that collection of facts, can reach their own Lukashenka’s assault on civil society Democracy Act of 2003, S. 700, which is objective thoughts and conclusions. It’s been has steadily intensified, with the liq- designed to help promote democratic a difficult process but the ISG work is not uidation of NGOs, violence against op- completed. development, human rights and rule of position activists, and repression of the law in the Republic of Belarus, as well Now, you have stated that you believe independent media and trade unions. there did not exist large stockpiles of bio- as encourage the consolidation and logical and chemical weapons. But I hope The situation in Belarus continues its strengthening of Belarus’ sovereignty that you will, in your testimony, indicate downward spiral with daily reports of and independence. that since work is not completed, since Iraq growing repression and new human While some might be tempted to dis- is as big as California and Baghdad approxi- rights violations. miss Belarus as an anomaly, the stakes mates the sprawling territory of Los Ange- Since the beginning of the still rel- are too high and the costs too great to les, that we could find caches and reserves of atively new year, NGOs such as the weapons of mass destruction, chemical or bi- ignore. It is important for us to stay Belarusian Language Society and the the course and support Belarus in be- ological or even further evidence about their Belarusian Helsinki Committee have nuclear program. coming a genuine European state, in WARNER: We also would hope that you’d stepped up harassment. The Minsk City which respect for human rights and de- address the question of whether or not Sad- Court has ordered the liquidation of mocracy is the norm and in which the dam Hussein had some kind of, quote, the Independent Association of Legal long-suffering Belarusian people are ‘‘breakout capability’’ for quickly producing Research. Leaders of the opposition able to overcome the legacy of dicta- chemical or biological weapons, and was this ‘‘Five Plus’’ bloc, who are in Wash- torship—past and present. The Belarus not a basis for constituting a conclusion that ington this week, were recently de- Democracy Act—which enjoys bipar- there was an imminent threat from Saddam tained and searched by customs offi- Hussein and his military? tisan support—is an important, con- Why were the Iraq WMD records system- cials at the Polish-Belarusian border. crete way to exhibit our support. I urge ically looted or destroyed? And why do sci- The officials were reportedly looking colleagues to support this measure and entists in custody today continue not to be for printed, audio or video materials look forward to timely consideration of forthcoming if there was nothing to hide or that could ‘‘damage the political and the Belarus Democracy Act. nothing substantial existed? economic interests of the country.’’ f The work of the Iraq Survey Group has Human rights activists or independent shown that Saddam Hussein had WMD inten- journalists such as Natalya Kolyada, AMERICAN HOSTAGES IN tions, had WMD programs that did survive, COLOMBIA and did outwit for 12 years the United Na- Nina Davydowskaya, Iryna tional Security Council and the resolutions— Makavetskaya, Aksana Novikava and Mr. DODD. Mr. President, it has been indeed, the inspections, in large measure. Aleksandr Silitsky continue to be sub- almost a year since three Americans— If ultimately, the findings of the Iraq Sur- jected to threats, detentions or heavy Marc Gonsalves, Keith Stansell, and vey Group do differ from the prewar assess- fines. Others, including activists of the Thomas Howes—were taken hostage by ments of our intelligence community, differ youth group ZUBR, have been arrested the Revolutionary Armed Forces of Co- from assessments of the United Nations, dif- for holding an unauthorized picket de- lombia, FARC. The presence of Amer- fer from assessments of intelligence services manding a thorough investigation of of many other nations, indeed that is cause ican hostages in Colombia is deeply for concern. But we are not there yet in the disappearances of three democratic troubling, and one can only imagine terms of the totality of fact on which to opposition members Yuri Zakharenka, the struggles and trials that these draw such serious conclusions. Victor Gonchar, Anatoly Krasovsky, three brave individuals have had to en- Today and tomorrow, our policy-makers and journalist Dmitri Zavadsky. dure since their plane crashed in the must be able to rely on the intelligence they Independent media outlets also con- Colombian jungle last year on Feb- are provided. The safety and security of the tinue to feel the wrath of the powers ruary 13. I rise today to again call at- men and women of the armed forces are de- that be, including libel proceedings pendent on intelligence and, indeed, the se- tention to their plight and urge the curity of our Nation. against Narodnaya Volya, Belarus’ Bush administration and Colombian So collectively, all of us—the Congress, the largest independent daily; the confisca- Government to do everything possible executive branch and other nations—we tion of Asambleya, a bulletin of the As- to gain their release. must vigorously continue to pursue the col- sembly of the Belarusian Democratic There is no higher priority than find- lection of the facts, as the ISC is doing, and NGOs; the refusal by the Belarusian ing a way to bring these three Ameri- upon that completion, then draw our conclu- Postal Service to distribute the inde- cans home safely, and I know that all sions and take such corrective measures as pendent newspaper Regionalniye of our prayers remain with them and may be necessary. WARNER: As we speak, over 1,400 individ- Novosti; the confiscation of copies, in their families during these difficult uals—military and civilian—are on the the town of Smorgon, of the inde- times. For the families of Marc, Keith, ground in Iraq seeking the facts about Iraq’s pendent newspaper, Mestnaya Gazeta; and Tom, this past year has been a WMD programs. I have confidence in the and the censoring of the independent heart wrenching experience. I have a commitment and the ability of General Day- newspaper Volnaya Hlybokaye in the special interest in the fate of Marc ton, Mr. Duelfer, your successor, and rep- Vitebsk region. Several Jewish ceme- Gonsalves, whose mother, Jo Rosano, is resentatives from our coalition partners to teries are being destroyed, Baptist con- a Connecticut resident. Marc’s father, complete this mission. They have some of gregations are being fined and Krishna the best and brightest of our military and George Gonsavales, is also a resident of our intelligence community to complete this followers detained. our State. task. And Congress has provided the nec- In an unusual step, the International At every opportunity, I have worked essary means, a very substantial appropria- Labor Organization, ILO, has estab- to bring about the release of these tion of recent. lished a commission of inquiry—only three Americans. Indeed, over the last

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00055 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1012 CONGRESSIONAL RECORD — SENATE February 11, 2004 8 months whenever I have met with Co- become substance. I believe that by trol at the South Carolina Department lombian President Uribe or other Co- passing this legislation and changing of Health and Environmental Control lombian officials, I have urged them to current law, we can change hearts and as he leaves after 33 years of service. make every effort to gain their release. minds as well. Lewis began his career with the de- President Uribe indicated to me that f partment as the district director for the Colombian military continues ADDITIONAL STATEMENTS the Wateree district office, and later every day to search for them and that served as chief of the Bureau of Water these efforts will not cease until they Supply. Lewis was promoted to deputy CELEBRATING THE are found. commissioner of environmental quality ‘‘SEUSSENTENNIAL’’ In addition, during a hearing last fall control in 1984 and has provided exem- of the Senate Foreign Relations Com- ∑ Mrs. BOXER. Mr. President, each plary leadership since that time. Under mittee, I urged the now-serving United year on March 2 thousands of schools Lewis’s leadership, the environmental States Ambassador to Colombia, Wil- and millions of children take part in quality control programs have grown liam Wood, to make their rescue his Read Across America, the National to keep pace with national and State highest priority. He pledged to do so Education Association’s annual cele- initiatives and are considered by the and has kept me informed of develop- bration of reading and literacy. The United States Environmental Protec- ments in this matter. I have also con- date is no accident: March 2 is the tion Agency to be among the best tinually urged the Bush administration birthday of Theodor Seuss Geisel, bet- State environmental programs in the to provide all means of assistance, inter known as Dr. Seuss. Nation. cluding technological assistance, to As much as anyone in the past cen- bring about the safe rescue of Marc, tury, Dr. Seuss helped children learn to Lewis has also been active in shaping Keith, and Tom. It is my under- love reading by making it fun and ex- national environmental policy over the standing that the administration con- citing. In my frequent visits to class- past two decades by serving on numer- tinues to work with Colombian au- rooms and afterschool programs, I ous national committees, often as thorities to locate them. often read to young children, and I chairman, which advise both the Envi- Certainly, their rescue will not be have found that Dr. Seuss is their fa- ronmental Protection Agency and the easy. However, I have to believe that vorite author. United States Congress. He has on sev- more can be done. This must be the His books are read and treasured ev- eral occasions presented testimony to highest of priorities. The airing last erywhere—particularly in California, both House and Senate committees re- year of the videotape showing them in where he spent most of his adult life. garding the impact of proposed Federal captivity only further highlights the In 1948, he bought an old observation environmental legislation on indi- importance of this effort. tower in La Jolla, CA. For the rest of vidual States. Lewis has earned the re- The families of Marc, Keith, and Tom his life, The Tower was his residence spect of his counterparts in other will find no rest until their sons, hus- and workshop. Every morning, Ted States and has served as president of bands, fathers, and brothers return Geisel would walk into his studio, lock their national association known as home safely. I will be meeting with Jo the door, and become Dr. Seuss. Draw- the Environmental Council of the Rosano tomorrow, when she, along ing on his extensive collection of States. Lewis is currently the longest with other family members of the hos- hats—inspired by ‘‘The 500 Hats of Bar- serving State environmental program tages, come to Washington, DC on the tholomew Cubbins’’—Dr. Seuss would director in the Nation. anniversary of this tragic incident to put on a ‘‘thinking cap’’ and get to A graduate of the University of urge United States policymakers not work. South Carolina with a degree in chem- to forget their family members in cap- The books that came out of The ical engineering, Lewis also earned a tivity. Tower—including ‘‘The Cat in the graduate degree in environmental engi- And I will tell her what I have said Hat,’’ ‘‘Green Eggs and Ham,’’ ‘‘If I Ran neering from Clemson University, and here today: that we must make every the Zoo,’’ ‘‘Horton Hears a Who,’’ ‘‘And is a registered professional engineer in effort and we must leave no stone to Think That I Saw It on Mulberry South Carolina. Lewis is married to unturned in our search. As Americans, Street,’’ ‘‘How the Grinch Stole Christ- the former Judy Brown and has two Marc, Keith, and Tom are also our mas,’’ and ‘‘Oh, the Places You’ll children, Jason Shaw and April Shaw sons—they are members of our ex- Go!’’—are among the best-known and McCaskill. tended American family. For my part, best-loved classics of children’s lit- I invite you to join me in thanking I pledge to continue to do everything erature. possible to ensure their speedy release R. Lewis Shaw for his service and dedi- Dr. Seuss inspired Read Across Amer- cation to the natural resources and the and safe return. I urge the Bush admin- ica because he opened the door to lit- istration and Colombian Government citizens of the State of South Caro- eracy for generations of children by en- lina.∑ to do the same. We must not rest until gaging them with gentle humor and they are all home safely. fantasy. f f The 2004 Read Across America is extra-special because it is the LOCAL LAW ENFORCEMENT ACT A LIVING LEGACY OF 2003 ‘‘Seussentennial’’—Dr. Seuss’s 100th birthday. The celebration has already ∑ Mr. SMITH. Mr. President, I rise Mr. SMITH. Mr. President, I rise begun in schools and community cen- today to honor one of Oregon’s unsung today to speak about the need for hate ters across America, where kids are crimes legislation. On May 1, 2003, Sen- heroes, Jim Willis. For many years, making giant birthday cards, col- Mr. Willis has dedicated his life to as- ator KENNEDY and I introduced the lecting hats, and, of course, reading Local Law Enforcement Enhancement sisting and enriching the lives of lots of good books. countless Oregonians. His story should Act, a bill that would add new cat- As we approach the ‘‘Seussenten- egories to current hate crimes law, serve as an inspiration to us all as we nial,’’ I invite children and grownups try to make our country a better place. sending a signal that violence of any everywhere to celebrate the joy of kind is unacceptable in our society. reading by honoring a great American He was raised in California and at- One such crime occurred in Honolulu, author and educator, Theodor Seuss tended the University of California at HI, in August 1998. A heterosexual man Geisel.∑ Santa Cruz. Upon graduation he was was found dead in a public shower. He accepted for graduate school of the f had been brutally killed by a group of prestigious University of California at teenagers because they thought he was HONORING R. LEWIS SHAW Berkeley, yet he never had the oppor- gay. ∑ Mr. GRAHAM of South Carolina. Mr. tunity to complete his degree when his I believe that Government’s first President, I wish to recognize the ac- father became ill. Willis returned to be duty is to defend its citizens, to defend complishments of one of my constitu- with his father in Bishop, CA, where he them against the harms that come out ents, R. Lewis Shaw and to commend worked as the Education Department of hate. The Local Law Enforcement him for his tenure as deputy commis- director for the Owens Valley Paiute Enhancement Act is a symbol that can sioner for environmental quality con- Tribes. The experience set the tone for

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00056 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1013 a long career in tribal and educational nicate with members of the press or a isfaction of knowing Scott loved us, organizations. chamber of commerce as with elemen- and was loved in return. And that is Willis arrived to Roseburg, OR, in the tary school students. He would walk what makes life fulfilling. early 1980s, continuing his work at into a room and be able to get dis- I ask that two articles in tribute to Umpqua Community College in the parate people to work together—a tal- Scott from his hometown paper the Student Services department, and later ent few have and fewer still can mas- McCook Gazette be printed in their en- at Rogue Community College as a fi- ter. This ability made him an asset, tirety in the RECORD. nancial aid officer, helping hundreds of not just to my office—and I am grate- The documents follow: young adults explore their career op- ful he was a member of my team—but [From the McCook Daily Gazette, Feb. 10, portunities. After leaving his mark on to the entire State of Nebraska. Scott 2004] the education arena, he decided to always knew our primary concern is MONDAY BRINGS WORST FEARS, BEST serve local American Indian tribes in the welfare of Nebraska and he spent MEMORIES their quest of cultural restoration and his time working on behalf of Nebras- While the example of his life burns bright- economic self-sufficiency. ka’s interests. ly in our minds, we need to find fitting ways In 1982, Willis began working with Scott’s work on behalf of Nebraska to pay tribute to the memory of Scott Hoff- man. the Confederated Tribes of Siletz Indi- was well respected and only recently In some form—either through a monu- ans, ultimately becoming general man- did I learn that community officials ment, an award, a scholarship or another ap- ager of the Confederated Tribes of sought out Scott to lead the McCook propriate means—we need to come up with a Grand Ronde. His long and distin- Economic Development Corporation. lasting memorial to eulogize Scott and to guished career in Oregon tribal govern- Scott, in his typical fashion, told the create an inspiration for generations to ment was illustrious and renowned leaders that he was doing what he come. throughout the State. He is well re- wanted to do and wasn’t seeking a Because, in his 33 years of life, this dy- spected in tribal and State government change. That loyalty was a defining namic young man showed us the importance of getting involved, staying involved and re- circles. Willis was appointed to the Or- characteristic of Scott Hoffman and he maining faithful to your family, your egon State Board of Higher Education applied it to his job, his church, his church, your job and your community. in 1993, where he served an important family, his friends and his community. Scott Hoffman did all that . . . and much role until he stepped down in 2001. He His legacy can be measured in the more. As you have already heard on radio was pivotal in the rise in prominence of outpouring of support his family has and television and read on the front page of our State Universities. received in recent days. The commu- the newspaper, the search for Scott ended Currently, Willis is winning a hard- nity of McCook was there for Scott in tragically Monday afternoon when his body the hours after he was reported miss- was found by a diver in the Huck Finn Pond fought battle with cancer. I join with at Barnett Park. countless others in honoring his cour- ing. Over two hundred volunteers, in- With the discovery our worst fears were re- age as he fights to overcome this dev- cluding members of McCook Senior alized. While we mourn, we also give praise astating disease. We all look forward to High’s football and track teams, joined for the life Scott lived. the day that Jim Willis returns to help more than thirty first responders in To give illustrations of how highly he was improve our great State of Oregon.∑ the search for Scott. Although that held in esteem, we offer two recent examples. First, following a recent speech which f search ultimately came to a tragic end, the dedication of these rescuers under- Scott gave on Sen. Ben Nelson’s behalf, a member of the news media addressed Scott, IN MEMORY OF SCOTT HOFFMAN scores Scott’s connection to his com- ∑ ‘‘You are very well spoken and very focused Mr. BEN NELSON. Mr. President, munity. on the issues. Would you consider running today I would like to share with my And the community of McCook was for office yourself?’’ Then, late in 2003, Scott colleagues and the nation a tribute to there again for Scott’s family when was asked, privately, to consider entering a friend of mine from Nebraska. news spread that he had passed. The his name in application for the director’s po- On Sunday, February 8, 2004, Scott letters, phone calls and testaments to sition with the McCook Economic Develop- Hoffman of McCook, NE, passed away. Scott have poured in from Nebraskans ment Corp. His family lost a loving husband and across the State and as far away as Af- In both cases, politely and humbly, Scott father. I lost a friend and trusted mem- declined. ‘‘I’m where I want to be and I am rica. It is overwhelming, but com- doing what I want to do,’’ is the best way to ber of my staff. And the State of Ne- forting, because we know that al- summarize his answers. He appreciated the braska lost a proud native son and though Scott is gone, he will not be opportunities, but remained dedicated, de- someone who embodied the attributes forgotten. In his 33 years, he has left voted and satisfied with the course his life often used to describe our State— his mark in McCook and his friends was taking. strong, hard working, caring and deep- and neighbors will ensure that his We don’t find that kind of steadfast loy- ly invested in his community. memory lives on. alty nearly enough in these times. You could We are deeply saddened by the tragic Scott was a good friend to many in see the love and respect for Scott shine loss of our coworker and friend. Our the McCook area and across Nebraska, through Monday evening in radio and television interviews with his good friend, Kerry thoughts and prayers are with Scott’s including me, Diane and everyone on Ferguson; the Gazette editor, Bruce Crosby; wife Darcey, their sons Christian and my staff. He will be missed and remem- and Red Willow County Sheriff, Gene Mahon. Stephen, his daughter Danae, and the bered fondly by all who knew him, es- They were more than Scott’s co-workers entire Hoffman family. pecially those of us who had the pleas- and officials with whom he worked. They Scott was a devoted family man, a ure of working with him. Personally, I were Scott’s friends, as were so many others dedicated public servant and a true am going to miss his advice, his hard in this region, this State, and—increasingly friend. Scott seemed to always have his work on behalf of Nebraska, and most through his work with Sen. Nelson—this Na- tion. finger on the pulse of Southwest Ne- of all, the friendship I was so fortunate It is both important and appropriate that braska. There isn’t a community or a to share with him. He will be deeply we remember Scott Hoffman. He served us cause that isn’t familiar with Scott’s missed by all of us. and shared with us during his 33 years of life. work advocating for the entire region. A friend of Scott’s at the McCook Ga- In times to come, we need to cherish his Back when I was considering running zette wrote this week of Scott that he memory and be uplifted by his example in the 2000 Senate elections, I visited ‘‘spent his time well.’’ His activities on through a lasting memorial. the local paper, the McCook Gazette, his last day with us bear that out. He for an editorial board meeting. Scott took his sons Christian and Stephen [From the McCook Daily Gazette, Feb. 10, 2004] was a member of the newspaper staff at sledding. He went grocery shopping for A GUY WHO SPENT HIS TIME WELL the time. After the meeting he walked his family. He took his beloved dogs for me out to the car and asked if he could a walk. In some ways it seems that he (By Bruce Crosby) join my campaign staff. We hired him was called from this life at a moment Scott Hoffman took his two sons, Chris- tian, 9, and Stephen, 6, sledding Sunday and that was one of the best decisions of great peace, having fulfilled his du- afternoon. I made. ties to protect and provide for his fam- He went to the grocery store for his wife, Scott had a knack for working with ily. His loss leaves us with unanswered Darcey, and carried the food into the kitch- people. He could as easily commu- questions but also fills us with the sat- en.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00057 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1014 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘I guest I’ll take the dogs for a run,’’ he MEASURES PLACED ON THE of D.C. Act 15–336, ‘‘Documents Administra- said, heading out the door with their three CALENDAR tive Cost Assessment Temporary Amend- pets. ment Act of 2004’’; to the Committee on Gov- I’ve written before about my late step- The following bills were read the sec- ernmental Affairs. mother, Alyce, who always said, ‘‘I’d rather ond time, and placed on the calendar: EC–6263. A communication from the Chair- wear out, than rust out.’’ S. 2061. A bill to improve women’s health man of the Council of the District of Colum- She lived by that saying, spending her access to health care services and provide bia, transmitting, pursuant to law, a report time caring for her family—offering advice improved medical care by reducing the ex- of D.C. Act 15–335, ‘‘Prevention of Premature to her often bewildered stepson—volun- cessive burden the liability system places on Release of Mentally Incompetent Defendants teering for her church and community, al- the delivery of obstetrical and gynecological Temporary Amendment Act of 2004’’; to the most to the end, at the of 83. services. Committee on Governmental Affairs. I wish Scott would have had the same S. 2062. A bill to amend the procedures that EC–6264. A communication from the Chair- chance. As it was, he spent his last Sunday apply to consideration of interstate class ac- man of the Council of the District of Colum- the way he spent most of his spare time— tions to assure fairer outcomes for class bia, transmitting, pursuant to law, a report taking care of those he loved. members and defendants, and for other pur- of D.C. Act 15–294, ‘‘Board of Veterinary Ex- Scott deserved another 50 years, at least as poses. aminers Amendment Act of 2004’’; to the much as any of us do. He was just hitting his Committee on Governmental Affairs. f stride when he was called from this life Sun- EC–6265. A communication from the Chair- day afternoon, at the age of 33. EXECUTIVE AND OTHER man of the Council of the District of Colum- Maybe his memory will help us make the COMMUNICATIONS bia, transmitting, pursuant to law, a report right choices when it comes to how we spend of D.C. Act 15–296, ‘‘Health Care Privatiza- our precious days on earth.∑ The following communications were tion Rulemaking Amendment Act of 2004’’; laid before the Senate, together with to the Committee on Governmental Affairs. f accompanying papers, reports, and doc- EC–6266. A communication from the Chair- uments, and were referred as indicated: man of the Council of the District of Colum- bia, transmitting, pursuant to law, a report MESSAGES FROM THE PRESIDENT EC–6253. A communication from the Chair- of D.C. Act 15–295, ‘‘Traffic Adjudication Ap- man of the Council of the District of Colum- Messages from the President of the peal Fee Amendment Act of 2004’’; to the bia, transmitting, pursuant to law, a report United States were communicated to Committee on Governmental Affairs. of D.C. Act 15–311, ‘‘Distracted Driving Safe- the Senate by Ms. Evans, one of his EC–6267. A communication from the Chair- ty Act of 2004’’; to the Committee on Govern- man of the Council of the District of Colum- secretaries. mental Affairs. bia, transmitting, pursuant to law, a report EC–6254. A communication from the Chair- f of D.C. Act 15–297, ‘‘Closing of a Portion of man of the Council of the District of Colum- Jewett Street, NW., S.O. 98–272, Act of 2004’’; bia, transmitting, pursuant to law, a report EXECUTIVE MESSAGES REFERRED to the Committee on Governmental Affairs. of D.C. Act 15–312, ‘‘Police and Firemen’s EC–6268. A communication from the Chair- As in executive session the Presiding Service Longevity Amendment Act of 2004’’; man of the Council of the District of Colum- Officer laid before the Senate messages to the Committee on Governmental Affairs. bia, transmitting, pursuant to law, a report from the President of the United EC–6255. A communication from the Chair- of D.C. Act 15–298, ‘‘Closing of Portions of the States submitting sundry nominations man of the Council of the District of Colum- Alley System in Square 2868, S.O. 01–4094, bia, transmitting, pursuant to law, a report Act of 2004’’; to the Committee on Govern- which were referred to the appropriate of D.C. Act 15–313, ‘‘Henry Kennedy Memo- committees. mental Affairs. rial Tennis Courts Designation Act of 2004’’; EC–6269. A communication from the Chair- (The nominations received today are to the Committee on Governmental Affairs. man of the Council of the District of Colum- printed at the end of the Senate pro- EC–6256. A communication from the Chair- bia, transmitting, pursuant to law, a report ceedings.) man of the Council of the District of Colum- of D.C. Act 15–299, ‘‘Washington Convention bia, transmitting, pursuant to law, a report Center Authority Term Limit Amendment f of D.C. Act 15–315, ‘‘Closing of a Public Act of 2004’’; to the Committee on Govern- Square 2848 and of a Portion of Kenyon mental Affairs. MESSAGES FROM THE HOUSE Street, N.W., S.O. 03–411, Act of 2004’’; to the EC–6270. A communication from the Chair- Committee on Governmental Affairs. man of the Council of the District of Colum- At 1:23 p.m., a message from the EC–6257. A communication from the Chair- House of Representatives, delivered by bia, transmitting, pursuant to law, a report man of the Council of the District of Colum- of D.C. Act 15–300, ‘‘Electric Standard Offer Mr. Hays, one of its reading clerks, an- bia, transmitting, pursuant to law, a report Service Amendment Act of 2004’’; to the nounced that the House has agreed to of D.C. Act 15–314, ‘‘Extension of the Time Committee on Governmental Affairs. the following concurrent resolutions, Period for Disposition of a Property Located EC–6271. A communication from the Chair- in which it requests the concurrence of at 2341 4th Street, NE., Amendment Act of man of the Council of the District of Colum- the Senate: 2004’’; to the Committee on Governmental bia, transmitting, pursuant to law, a report Affairs. H. Con. Res. 264. Concurrent resolution au- of D.C. Act 15–301, ‘‘Closing of Public Alleys EC–6258. A communication from the Chair- in Square 2672, S.O. 03–757, Act of 2004’’; to thorizing and requesting the President to man of the Council of the District of Colum- issue a proclamation to commemorate the the Committee on Governmental Affairs. bia, transmitting, pursuant to law, a report EC–6272. A communication from the Chair- 200th anniversary of the birth of Constantino of D.C. Act 15–331, ‘‘Medical Support Estab- man of the Council of the District of Colum- Brumidi. lishment and Enforcement Amendment Act bia, transmitting, pursuant to law, a report H. Con. Res. 357. Concurrent resolution per- of 2004’’; to the Committee on Governmental of D.C. Act 15–302, ‘‘Office of Administrative mitting the use of the rotunda of the Capitol Affairs. Hearings Independence Preservation Tem- for a ceremony to award a Congressional EC–6259. A communication from the Chair- porary Amendment Act of 2004’’; to the Com- Gold Medal to Dr. Dorothy Height. man of the Council of the District of Colum- mittee on Governmental Affairs. H. Con. Res. 358. Concurrent resolution au- bia, transmitting, pursuant to law, a report EC–6273. A communication from the Chair- thorizing the printing of ‘‘History of the of D.C. Act 15–332, ‘‘Neighborhood Invest- man of the Council of the District of Colum- United States Capitol’’ as a House document. ment Act of 2004’’; to the Committee on Gov- bia, transmitting, pursuant to law, a report H. Con. Res. 359. Concurrent resolution per- ernmental Affairs. of D.C. Act 15–303, ‘‘Interim Disability As- mitting the use of the rotunda of the Capitol EC–6260. A communication from the Chair- sistance Temporary Amendment Act of for a ceremony as part of the commemora- man of the Council of the District of Colum- 2004’’; to the Committee on Governmental tion of the days of remembrance of victims bia, transmitting, pursuant to law, a report Affairs. of the Holocaust. of D.C. Act 15–333, ‘‘Water and Sewer Author- EC–6274. A communication from the Chair- At 7:02 p.m., a message from the ity Collections Clarification Amendment Act man of the Council of the District of Colum- House of Representatives, delivered by of 2004’’; to the Committee on Governmental bia, transmitting, pursuant to law, a report Mr. Hays, one of its reading clerks, an- Affairs. of D.C. Act 15–304, ‘‘Child and Youth, Safety nounced that the House has agreed to EC–6261. A communication from the Chair- and Health Omnibus Temporary Amendment the following concurrent resolution, in man of the Council of the District of Colum- Act of 2004’’; to the Committee on Govern- bia, transmitting, pursuant to law, a report mental Affairs. which it requests the concurrence of of D.C. Act 15–334, ‘‘Closing of a Public Alley EC–6275. A communication from the Chair- the Senate: in Square 316, S.O . 03–2973, Act of 2004’’; to man of the Council of the District of Colum- H. Con. Res. 361. Concurrent resolution the Committee on Governmental Affairs . bia, transmitting, pursuant to law, a report providing for a conditional adjournment of EC–6262. A communication from the Chair- of D.C. Act 15–305, ‘‘Bonus Depreciation De- the House of Representatives and a condi- man of the Council of the District of Colum- Coupling Temporary Act of 2004’’; to the tional recess or adjournment of the Senate. bia, transmitting, pursuant to law, a report Committee on Governmental Affairs.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00058 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1015 EC–6276. A communication from the Chair- Policy, Department of Defense, transmit- Model 767–200, 300, and 300F Series Airplanes man of the Council of the District of Colum- ting, pursuant to law, the Department’s Re- Doc. No. 2002–NM–152’’ (RIN2120–AA64) re- bia, transmitting, pursuant to law, a report port on Activities and Assistance under Co- ceived on February 10, 2004; to the Com- of D.C. Act 15–306, ‘‘Estate and Inheritance operative Threat Reduction Programs; to the mittee on Commerce, Science, and Transpor- Tax Clarification Temporary Act of 2004’’; to Committee on Armed Services. tation. the Committee on Governmental Affairs. EC–6289. A communication from the Direc- EC–6299. A communication from the Para- EC–6277. A communication from the Chair- tor, Defense Procurement and Acquisition legal Specialist, Federal Aviation Adminis- man of the Council of the District of Colum- Policy, Department of Defense, transmit- tration, Department of Transportation, bia, transmitting, pursuant to law, a report ting, pursuant to law, the report of a rule en- transmitting, pursuant to law, the report of of D.C. Act 15–308, ‘‘Crispus Attucks Develop- titled ‘‘Unique Item Identification and Valu- a rule entitled ‘‘Modification of Class W Air- ment Corporation Real Property Tax Exemp- ation’’ (DFARS Case 2003–D081) received on space: Anthony, KS Doc. No. 03–ACE–92’’ tion and Equitable Real Property Tax Relief January 20, 2004; to the Committee on Armed (RIN2120–AA66) received on February 10, 2004; Assistance Temporary Act of 2004’’; to the Services. to the Committee on Commerce, Science, Committee on Governmental Affairs. EC–6290. A communication from the Under and Transportation. EC–6278. A communication from the Chair- Secretary of Defense, Comptroller, Depart- EC–6300. A communication from the Para- man of the Council of the District of Colum- ment of Defense, transmitting, pursuant to legal Specialist, Federal Aviation Adminis- bia, transmitting, pursuant to law, a report law, the report of a multiyear procurement tration, Department of Transportation, of D.C. Act 15–307, ‘‘Help America Vote Tem- for E–2C aircraft for fiscal year 2004 through transmitting, pursuant to law, the report of porary Amendment Act of 2004’’; to the Com- 2007; to the Committee on Armed Services. a rule entitled ‘‘Modification of Class E Air- mittee on Governmental Affairs. EC–6291. A communication from the Acting space: Fort Scott, KS Doc. No. 03–ACE–98’’ EC–6279. A communication from the Chair- Chief Executive Officer, Corporation for Na- (RIN2120–AA66) received on February 10, 2004; man of the Council of the District of Colum- tional and Community Service, transmit- to the Committee on Commerce, Science, bia, transmitting, pursuant to law, a report ting, pursuant to law, the report of a viola- and Transportation. of D.C. Act 15–309, ‘‘Washington Convention tion of the Antideficiency Act that occurred EC–6301. A communication from the Para- Center Authority Advisory Committee Con- in Treasury Account 95X8267; to the Com- legal Specialist, Federal Aviation Adminis- tinuity Temporary Act of 2004’’; to the Com- mittee on Appropriations. tration, Department of Transportation, mittee on Governmental Affairs. EC–6292. A communication from the Pro- transmitting, pursuant to law, the report of EC–6280. A communication from the Chair- gram Analyst, Federal Aviation Administra- a rule entitled ‘‘Modification of Class E Air- man of the Council of the District of Colum- tion, Department of Transportation, trans- space: Benton, KS Doc. No. 03–ACE–94’’ bia, transmitting, pursuant to law, a report mitting, pursuant to law, the report of a rule (RIN2120–AA66) received on February 10, 2004; of D.C. Act 15–310, ‘‘Southeast Neighborhood entitled ‘‘Airworthiness Directives: Airbus to the Committee on Commerce, Science, House Real Property Tax Exemption and Eq- Model A319, A320, A321 Series Airplanes Doc. and Transportation. EC–6302. A communication from the Para- uitable Real Property Tax Relief Temporary No. 2001–NM–120’’ (RIN2120–AA64) received on legal Specialist, Federal Aviation Adminis- Act of 2004’’; to the Committee on Govern- February 10, 2004; to the Committee on Com- tration, Department of Transportation, mental Affairs. merce, Science, and Transportation. transmitting, pursuant to law, the report of EC–6281. A communication from the Gen- EC–6293. A communication from the Pro- a rule entitled ‘‘Modification of Class E Air- eral Counsel, Office of Management and gram Analyst, Federal Aviation Administra- space: Independence, IA Doc. No. 03–ACE–90’’ Budget, Executive Office of the President, tion, Department of Transportation, trans- (RIN2120–AA66) received on February 10, 2004; transmitting, pursuant to law, the report of mitting, pursuant to law, the report of a rule to the Committee on Commerce, Science, a nomination for the position of Adminis- entitled ‘‘Airworthiness Directives: Fokker and Transportation. trator, Office of Management and Budget, re- F28 Mark 0070 and 0100 Series Airplanes Doc. EC–6303. A communication from the Para- ceived on February 10, 2004; to the Com- No. 2002–NM–252’’ (RIN2120–AA64) received on legal Specialist, Federal Aviation Adminis- mittee on Governmental Affairs. February 10, 2004; to the Committee on Com- tration, Department of Transportation, EC–6282. A communication from the In- merce, Science, and Transportation. transmitting, pursuant to law, the report of EC–6294. A communication from the Pro- spector General, Railroad Retirement Board, a rule entitled ‘‘Modification of Class E Air- gram Analyst, Federal Aviation Administra- the budget justification for the Office of In- space: Iowa Falls Doc. No. 03–ACE–09’’ spector General, Railroad Retirement Board; tion, Department of Transportation, trans- (RIN2120–AA66) received on February 10, 2004; to the Committee on Governmental Affairs. mitting, pursuant to law, the report of a rule to the Committee on Commerce, Science, EC–6283. A communication from the Chair- entitled ‘‘Airworthiness Directives: Bom- and Transportation. man of the Council of the District of Colum- bardier Model CL600–2B19 Airplanes Doc. No. EC–6304. A communication from the Para- bia, transmitting, pursuant to law, the re- 2002–NM–112’’ (RIN2120–AA64) received on legal Specialist, Federal Aviation Adminis- port of D.C. Act 15–316, ‘‘Initiative Measure February 10, 2004; to the Committee on Com- tration, Department of Transportation, No. 62 Applicability and Fiscal Impact Tem- merce, Science, and Transportation. transmitting, pursuant to law, the report of porary Amendment Act of 2004’’; to the Com- EC–6295. A communication from the Pro- a rule entitled ‘‘Modification of Class E Air- mittee on Governmental Affairs. gram Analyst, Federal Aviation Administra- space: Marysville, KS Doc. No. 03–ACE–99’’ EC–6284. A communication from the Con- tion, Department of Transportation, trans- (RIN2120–AA66) received on February 10, 2004; gressional Review Coordinator, Animal and mitting, pursuant to law, the report of a rule to the Committee on Commerce, Science, Plant Health Inspection Service, Department entitled ‘‘Airworthiness Directives: Kidde and Transportation. of Agriculture, transmitting, pursuant to Aerospace Part Number 898052 Hand Held EC–6305. A communication from the Para- law, the report of a rule entitled ‘‘Cold Halon Fire Extinguishers; Doc. No. 2003–CE– legal Specialist, Federal Aviation Adminis- Treatment of Fruits’’ (Doc. No. 02–071–2) re- 19’’ (RIN2120–AA64) received on February 10, tration, Department of Transportation, ceived on February 10, 2004; to the Com- 2004; to the Committee on Commerce, transmitting, pursuant to law, the report of mittee on Agriculture, Nutrition, and For- Science, and Transportation. a rule entitled ‘‘Modification of Class E Air- estry. EC–6296. A communication from the Pro- space: Beloit, KS Doc. No. 03–ACE–93’’ EC–6285. A communication from the Dep- gram Analyst, Federal Aviation Administra- (RIN2120–AA66) received on February 10, 2004; uty Associate Administrator, Environmental tion, Department of Transportation, trans- to the Committee on Commerce, Science, Protection Agency, transmitting, pursuant mitting, pursuant to law, the report of a rule and Transportation. to law, the report of a rule entitled entitled ‘‘Airworthiness Directives: BAE EC–6306. A communication from the Para- ‘‘Befenazate; Pesticide Tolerances for Emer- Systems Limited Model BAE 146 and Avro legal Specialist, Federal Aviation Adminis- gency Exemptions’’ (FRL#7335–6) received on 146–RJ Series Airplanes Doc. No. 2002–NM– tration, Department of Transportation, February 4, 2004; to the Committee on Agri- 144’’ (RIN2120–AA64) received on February 10, transmitting, pursuant to law, the report of culture, Nutrition, and Forestry. 2004; to the Committee on Commerce, a rule entitled ‘‘Modification of Class E Air- EC–6286. A communication from the Prin- Science, and Transportation. space: Chanute, KS Doc. No. 03–ACE–95’’ cipal Deputy, Office of the Under Secretary EC–6297. A communication from the Pro- (RIN2120–AA66) received on February 10, 2004; of Defense for Personnel and Readiness, gram Analyst, Federal Aviation Administra- to the Committee on Commerce, Science, transmitting, pursuant to law, a report of tion, Department of Transportation, trans- and Transportation. the approval of the wearing of the insignia of mitting, pursuant to law, the report of a rule EC–6307. A communication from the Para- major general; to the Committee on Armed entitled ‘‘Airworthiness Directives: Pratt legal Specialist, Federal Aviation Adminis- Services. and Whitney JT9D–7R4 Series Turbofan En- tration, Department of Transportation, EC–6287. A communication from the Prin- gines Doc. No. 2003–NE–01’’ (RIN2120–AA64) transmitting, pursuant to law, the report of cipal Deputy, Office of the Under Secretary received on February 10, 2004; to the Com- a rule entitled ‘‘Modification of Class E Air- of Defense for Personnel and Readiness, mittee on Commerce, Science, and Transpor- space: Clay Center, KS Doc. No. 03–ACE–96’’ transmitting, pursuant to law, a report of tation. (RIN2120–AA66) received on February 10, 2004; the approval of the wearing of the insignia of EC–6298. A communication from the Pro- to the Committee on Commerce, Science, brigadier general for several officers; to the gram Analyst, Federal Aviation Administra- and Transportation. Committee on Armed Services. tion, Department of Transportation, trans- EC–6308. A communication from the Para- EC–6288. A communication from the Prin- mitting, pursuant to law, the report of a rule legal Specialist, Federal Aviation Adminis- cipal Deputy Under Secretary of Defense for entitled ‘‘Airworthiness Directives: Boeing tration, Department of Transportation,

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00059 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1016 CONGRESSIONAL RECORD — SENATE February 11, 2004 transmitting, pursuant to law, the report of SW–28’’ (RIN2120–AA66) received on February quisition Regulations; Conditional Payment a rule entitled ‘‘Modification of Class E Air- 10, 2004; to the Committee on Commerce, of Fee, Profit, and Other Incentives’’ space: Colby, KS Doc. No. 03–ACE–97’’ Science, and Transportation. (RIN1991–AB54) received on January 20, 2004; (RIN2120–AA66) received on February 10, 2004; EC–6318. A communication from the Pro- to the Committee on Energy and Natural Re- to the Committee on Commerce, Science, gram Analyst, Federal Aviation Administra- sources. and Transportation. tion, Department of Transportation, trans- EC–6328. A communication from the Dep- EC–6309. A communication from the Para- mitting, pursuant to law, the report of a rule uty Associate Administrator, Environmental legal Specialist, Federal Aviation Adminis- entitled ‘‘Airworthiness Directives: Bom- Protection Agency, transmitting, pursuant tration, Department of Transportation, bardier Model CL 600 JA11 (CL–600), CL–600 to law, the report of a rule entitled ‘‘Ap- transmitting, pursuant to law, the report of 2A12 (CL601), and CL–600 2B16 (CL601–3A, CL proval and Promulgation of Air Quality Im- a rule entitled ‘‘Establishment of Class E2 601–3R, and CL–604) Series Airplanes Doc. No. plementation Plans; Montana; Thompson Airspace; and Modification of Class E5 Air- 2001–NM–267’’ (RIN2120–AA66) received on Falls PM10 Nonattainment Area Control space; Hutchinson, KS Doc. No. 03–ACE–79’’ February 10, 2004; to the Committee on Com- Plan Final Rule’’ (FRL#7609–1) received on (RIN2120–AA66) received on February 10, 2004; merce, Science, and Transportation. February 4, 2004; to the Committee on Envi- to the Committee on Commerce, Science, EC–6319. A communication from the Pro- ronment and Public Works. and Transportation. gram Analyst, Federal Aviation Administra- EC–6329. A communication from the Dep- EC–6310. A communication from the Pro- tion, Department of Transportation, trans- uty Associate Administrator, Environmental gram Analyst, Federal Aviation Administra- mitting, pursuant to law, the report of a rule Protection Agency, transmitting, pursuant tion, Department of Transportation, trans- entitled ‘‘Airworthiness Directives: Dassault to law, the report of a rule entitled ‘‘Ap- mitting, pursuant to law, the report of a rule Model Falcon 2000 and 900 EX and Dassault proval and Promulgation of Air Quality Im- entitled ‘‘Airworthiness Directives: Model Mystere-Falcon 900 Series Airplanes plementation Plans; Pennsylvania; Revisions Eurocopter Deutschland Model MBB Bk 117 Doc. No. 2002–NM–231’’ (RIN2120–AA66) re- to Update the 1-Hour Ozone Maintenance A–1, A–3, A–4, B–1, B–2, and C–1 Helicopters’’ ceived on February 10, 2004; to the Com- Plan for the Reading Area (Berks County) (RIN2120–AA66) received on February 10, 2004; mittee on Commerce, Science, and Transpor- Final Rule’’ (FRL#7616–6) received on Feb- to the Committee on Commerce, Science, tation. ruary 4, 2004; to the Committee on Environ- and Transportation. EC–6320. A communication from the Pro- ment and Public Works. EC–6311. A communication from the Pro- gram Analyst, Federal Aviation Administra- EC–6330. A communication from the Dep- gram Analyst, Federal Aviation Administra- tion, Department of Transportation, trans- uty Associate Administrator, Environmental tion, Department of Transportation, transmitting, pursuant to law, the report of a rule Protection Agency, transmitting, pursuant mitting, pursuant to law, the report of a rule entitled ‘‘Airworthiness Directives: McDon- to law, the report of a rule entitled ‘‘Ap- entitled ‘‘Airworthiness Directives: nell Douglas Model 717–200 Airplanes; Doc. proval and Promulgation of Air Quality Im- Eurocopter France Model AS344E, F, F1, F2, No. 2003–NM–55’’ (RIN2120–AA66) received on plementation Plans; West Virginia; and N Helicopters; Doc. No. 2003–SW–24’’ February 10, 2004; to the Committee on Com- MOBILE6-Based Motor Vehicle Emission Budgets for Greenbrier County and the (RIN2120–AA66) received on February 10, 2004; merce, Science, and Transportation. to the Committee on Commerce, Science, EC–6321. A communication from the Pro- Charleston, Huntington, and Parkersburg 1- and Transportation. gram Analyst, Federal Aviation Administra- Hour Ozone Maintenance Areas Direct Final EC–6312. A communication from the Pro- tion, Department of Transportation, trans- Rule’’ (FRL#7612–9) received on February 4, gram Analyst, Federal Aviation Administra- mitting, pursuant to law, the report of a rule 2004; to the Committee on Environment and tion, Department of Transportation, trans- entitled ‘‘Airworthiness Directives: Empresa Public Works. EC–6331. A communication from the Dep- mitting, pursuant to law, the report of a rule Brasileira de Aeronautica Model EMB 120 Se- uty Associate Administrator, Environmental entitled ‘‘Standard Instrument Approach ries Airplanes Doc. No. 2002–NM–87’’ Protection Agency, transmitting, pursuant Procedures; Miscellaneous Amendments (3); (RIN2120–AA66) received on February 10, 2004; to law, the report of a rule entitled ‘‘Ap- Amdt. No. 3087’’ (RIN2120–AA65) received on to the Committee on Commerce, Science, proval and Promulgation of Implementation February 10, 2004; to the Committee on Com- and Transportation. Plans Tennessee: Knox County Maintenance merce, Science, and Transportation. EC–6322. A communication from the Direc- Plan Update Direct Final Rule’’ (FRL#7616– EC–6313. A communication from the Pro- tor, Fish and Wildlife Service, Department of 2) received on February 4, 2004; to the Com- gram Analyst, Federal Aviation Administra- the Interior, and the Assistant Adminis- mittee on Environment and Public Works. tion, Department of Transportation, trans- trator for Fisheries, National Oceanic and EC–6332. A communication from the Dep- mitting, pursuant to law, the report of a rule Atmospheric Administration, Department of uty Associate Administrator, Environmental entitled ‘‘Airworthiness Directives: Bom- Commerce, transmitting, pursuant to law, a Protection Agency, transmitting, pursuant bardier Model C1 600–2B19 Airplanes Doc. No. report relative to the Atlantic Striped Bass to law, the report of a rule entitled ‘‘Ap- 2003–NM–0262’’ (RIN2120–AA66) received on Conservation Act; to the Committee on Com- proval and Promulgation of Implementation February 10, 2004; to the Committee on Com- merce, Science, and Transportation. Plans; Connecticut; Motor Vehicle Emissions merce, Science, and Transportation. EC–6323. A communication from the Acting Budgets for 2005 and 2007 Using MOBILE6.2 EC–6314. A communication from the Pro- Chief, Publications and Regulations Branch, for the Connecticut Portion of the New gram Analyst, Federal Aviation Administra- Internal Revenue Service, transmitting, pur- York-Northern New Jersey-Long Island Non- tion, Department of Transportation, trans- suant to law, the report of a rule entitled attainment Area and for 2007 for the Greater mitting, pursuant to law, the report of a rule ‘‘Weighted Average Interest Rate Update No- Connecticut Nonattainment Area Final entitled ‘‘Airworthiness Directives: Empresa tice’’ (Notice 2004–14) received on February Rule’’ (FRL#7618–8) received on February 4, Brasileira de Aeronautica Model EMB135, 10, 2004; to the Committee on Commerce, 2004; to the Committee on Environment and and 145 Series Airplanes Doc. No. 2002–NM– Science, and Transportation. Public Works. 330’’ (RIN2120–AA66) received on February 10, EC–6324. A communication from the Sec- EC–6333. A communication from the Dep- 2004; to the Committee on Commerce, retary of Transportation, transmitting, pur- uty Associate Administrator, Environmental Science, and Transportation. suant to law, a report relative to a study on Protection Agency, transmitting, pursuant EC–6315. A communication from the Pro- the effects of Motor Carrier Safety Assist- to law, the report of a rule entitled ‘‘Ap- gram Analyst, Federal Aviation Administra- ance Program grant reductions; to the Com- proval and Promulgation of State Implemen- tion, Department of Transportation, trans- mittee on Commerce, Science, and Transpor- tation Plans; Michigan’’ (FRL#7617–7) re- mitting, pursuant to law, the report of a rule tation. ceived on February 4, 2004; to the Committee entitled ‘‘Airworthiness Directives: Gulf- EC–6325. A communication from the Assist- on Environment and Public Works. stream Model G–V Series Airplanes Doc. No. ant Secretary of the Interior, Bureau of EC–6334. A communication from the Dep- 2003–NM–275’’ (RIN2120–AA66) received on Land Management, Department of the Inte- uty Associate Administrator, Environmental February 10, 2004; to the Committee on Com- rior, transmitting, pursuant to law, the re- Protection Agency, transmitting, pursuant merce, Science, and Transportation. port of a rule entitled ‘‘Permits for Recre- to law, the report of a rule entitled ‘‘Redes- EC–6316. A communication from the Pro- ation on Public Lands’’ (RIN1004–AD45) re- ignation and Approval of Ohio Implementa- gram Analyst, Federal Aviation Administra- ceived on February 10, 2004; to the Com- tion Plan’’ (FRL#7616–4) received on Feb- tion, Department of Transportation, trans- mittee on Energy and Natural Resources. ruary 4, 2004; to the Committee on Environ- mitting, pursuant to law, the report of a rule EC–6326. A communication from the Ad- ment and Public Works. entitled ‘‘Airworthiness Directives: Dassault ministrator, Energy Information Adminis- EC–6335. A communication from the Chair, Model Falcon 900EX Series Airplanes Doc. tration, Department of Energy, transmit- Environmental Protection Agency, transmit- No. 2003–NM–276’’ (RIN2120–AA66) received on ting, a copy of the Administration’s report ting, pursuant to law, a report entitled February 10, 2004; to the Committee on Com- relative to greenhouse gas emissions; to the ‘‘Superfund Five Year Review Report to Con- merce, Science, and Transportation. Committee on Energy and Natural Re- gress’’; to the Committee on Environment EC–6317. A communication from the Pro- sources. and Public Works. gram Analyst, Federal Aviation Administra- EC–6327. A communication from the Assist- EC–6336. A communication from the Sec- tion, Department of Transportation, trans- ant General Counsel for Regulatory Law, Of- retary of the Interior, transmitting, pursu- mitting, pursuant to law, the report of a rule fice of Procurement and Assistance Policy, ant to law, a report relative to the Perkins entitled ‘‘Airworthiness Directives: Augusta Department of Energy, transmitting, pursu- County Rural Water System; to the Com- SpA Model A109E Helicopters; Doc. No. 2003– ant to law, the report of a rule entitled ‘‘Ac- mittee on Environment and Public Works.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00060 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1017 INTRODUCTION OF BILLS AND CHAMBLISS) was added as a cosponsor of road tracks of Class II and Class III JOINT RESOLUTIONS S. 846, a bill to amend the Internal railroads. The following bills and joint resolu- Revenue Code of 1986 to allow a deduc- S. 2016 tions were introduced, read the first tion for premiums on mortgage insur- At the request of Mrs. FEINSTEIN, the and second times by unanimous con- ance, and for other purposes. name of the Senator from Louisiana sent, and referred as indicated: S. 884 (Ms. LANDRIEU) was added as a cospon- By Mr. VOINOVICH: At the request of Ms. LANDRIEU, the sor of S. 2016, a bill to provide for in- S. 2064. A bill to increase the minimum and name of the Senator from Missouri fant crib safety, and for other purposes. maximum rates of basic pay payable to ad- (Mr. BOND) was added as a cosponsor of S. 2035 ministrative law judges, and for other pur- S. 884, a bill to amend the Consumer At the request of Mr. GRAHAM of poses; to the Committee on Governmental Credit Protection Act to assure mean- South Carolina, the name of the Sen- Affairs. ingful disclosures of the terms of rent- ator from Minnesota (Mr. COLEMAN) By Mr. JOHNSON (for himself and Mr. al-purchase agreements, including dis- was added as a cosponsor of S. 2035, a MCCAIN): closures of all costs to consumers S. 2065. A bill to restore health care cov- bill to amend title 10, United States erage to retired members of the uniformed under such agreements, to provide cer- Code, to revise the age and service re- services, and for other purposes; to the Com- tain substantive rights to consumers quirements for eligibility to receive re- mittee on Armed Services. under such agreements, and for other tired pay for non-regular service; to ex- By Ms. SNOWE: purposes. pand certain authorities to provide S. 2066. A bill to authorize appropriations S. 1010 health care benefits for Reserves and to the Secretary of Commerce for the Mag- At the request of Mr. HARKIN, the their families, and for other purposes. nuson-Stevens Fishery Conservation and names of the Senator from Washington Management Act for fiscal years 2004, 2005, S. 2056 (Mrs. MURRAY) and the Senator from 2006, 2007, and 2008, and for other purposes; to At the request of Mr. BROWNBACK, the the Committee on Commerce, Science, and Louisiana (Ms. LANDRIEU) were added names of the Senator from Alaska (Mr. as cosponsors of S. 1010, a bill to en- Transportation. STEVENS), the Senator from Mississippi hance and further research into paral- By Mrs. BOXER (for herself and Mrs. (Mr. LOTT), the Senator from Illinois FEINSTEIN): ysis and to improve rehabilitation and (Mr. FITZGERALD) and the Senator from S. 2067. A bill to withdraw the Los Padres the quality of life for persons living National Forest in California from location, Oklahoma (Mr. INHOFE) were added as with paralysis and other physical dis- cosponsors of S. 2056, a bill to increase entry, and patent under mining laws, and for abilities. other purposes; to the Committee on Energy the penalties for violations by tele- and Natural Resources. S. 1277 vision and radio broadcasters of the At the request of Mr. BIDEN, the f prohibitions against transmission of name of the Senator from New Jersey obscene, indecent, and profane lan- SUBMISSION OF CONCURRENT AND (Mr. CORZINE) was added as a cosponsor guage. of S. 1277, a bill to amend title I of the SENATE RESOLUTIONS S. CON. RES. 8 Omnibus Crime Control and Safe The following concurrent resolutions At the request of Ms. COLLINS, the Streets Act of 1968 to provide standards and Senate resolutions were read, and name of the Senator from Massachu- and procedures to guide both State and referred (or acted upon), as indicated: setts (Mr. KERRY) was added as a co- local law enforcement agencies and law sponsor of S. Con. Res. 8, a concurrent By Mr. CAMPBELL (for himself, Ms. enforcement officers during internal MURKOWSKI, Mrs. LINCOLN, Mrs. MUR- resolution designating the second week investigations, interrogation of law en- RAY, Ms. LANDRIEU, Mr. BIDEN, Mr. in May each year as ‘‘National Visiting forcement officers, and administrative BUNNING, Mr. DORGAN, Mr. JOHNSON, Nurse Association Week’’. and Mr. FITZGERALD): disciplinary hearings, to ensure ac- S. CON. RES. 81 S. Res. 298. A resolution designating May countability of law enforcement offi- 2004 as ‘‘National Cystic Fibrosis Awareness cers, to guarantee the due process At the request of Mrs. FEINSTEIN, the Month’’; to the Committee on the Judiciary. rights of law enforcement discipline, name of the Senator from South Da- By Mr. CAMPBELL (for himself, Mr. accountability, and due process laws. kota (Mr. JOHNSON) was added as a co- SPECTER, Mr. DEWINE, Ms. MUR- At the request of Mr. GRAHAM of sponsor of S. Con. Res. 81, a concurrent KOWSKI, Mr. AKAKA, Mr. INHOFE, Mr. South Carolina, the name of the Sen- resolution expressing the deep concern ALLEN, and Mr. DORGAN): ator from Georgia (Mr. CHAMBLISS) was of Congress regarding the failure of the S. Res. 299. A resolution recognizing, and Islamic Republic of Iran to adhere to supporting efforts to enhance the public added as a cosponsor of S. 1277, supra. its obligations under a safeguards awareness of, the social problem of child S. 1298 agreement with the International abuse and neglect; to the Committee on the At the request of Mr. AKAKA, the Judiciary. name of the Senator from California Atomic Energy Agency and the engagement by Iran in activities that appear By Mr. GRAHAM of Florida (for him- (Mrs. FEINSTEIN) was added as a co- self and Mr. MCCAIN): sponsor of S. 1298, a bill to amend the to be designed to develop nuclear weap- S. Res. 300. A resolution expressing the ons. sense of the Senate on project earmarking in Farm Security and Rural Investment S. RES. 294 surface transportation Acts; to the Com- Act of 2002 to ensure the humane mittee on Environment and Public Works. slaughter of non-ambulatory livestock, At the request of Mr. MCCAIN, the By Mr. SPECTER: and for other purposes. name of the Senator from Ohio (Mr. S. Res. 301. A resolution honoring the 30th S. 1630 DEWINE) was added as a cosponsor of S. anniversary of Congressman Murtha’s serv- At the request of Mrs. CLINTON, the Res. 294, a resolution designating Janu- ice; to the Committee on the Judiciary. names of the Senator from Connecticut ary 2004 as ‘‘ National Mentoring f (Mr. DODD) and the Senator from Month’’. AMENDMENT NO. 2286 ADDITIONAL COSPONSORS Michigan (Mr. LEVIN) were added as cosponsors of S. 1630, a bill to facilitate At the request of Mrs. CLINTON, the S. 596 nationwide availability of 2–1–1 tele- name of the Senator from New Jersey At the request of Mr. ENSIGN, the phone service for information and re- (Mr. CORZINE) was added as a cosponsor name of the Senator from Michigan ferral services, and for other purposes. of amendment No. 2286 proposed to S. (Ms. STABENOW) was added as a cospon- S. 1703 1072, a bill to authorize funds for Fed- sor of S. 596, a bill to amend the Inter- At the request of Mr. SMITH, the eral-aid highways, highway safety pro- nal Revenue Code of 1986 to encourage names of the Senator from Arkansas grams, and transit programs, and for the investment of foreign earnings (Mrs. LINCOLN) and the Senator from other purposes. within the United States for productive Indiana (Mr. BAYH) were added as co- AMENDMENT NO. 2296 business investments and job creation. sponsors of S. 1703, a bill to amend the At the request of Mr. FITZGERALD, S. 846 Internal Revenue Code of 1986 to pro- the name of the Senator from Hawaii At the request of Mr. SMITH, the vide a credit against income tax for ex- (Mr. AKAKA) was added as a cosponsor name of the Senator from Georgia (Mr. penditures for the maintenance of rail- of amendment No. 2296 intended to be

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00061 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1018 CONGRESSIONAL RECORD — SENATE February 11, 2004 proposed to S. 1072, a bill to authorize ending overfishing and rebuilding de- What we need is a federal fisheries funds for Federal-aid highways, high- pleted stocks. This goal, and the means policy that can be interpreted and ap- way safety programs, and transit pro- for achieving it, are as important plied in ways that recognize and re- grams, and for other purposes. today as they were in 1996. I supported spond to the unique conditions facing f the Act, because I saw in it great po- each individual fishery. Of the hun- tential for sustaining fishing commu- dreds of fisheries occurring around our STATEMENTS ON INTRODUCED nities and the stocks upon which they Nation’s coastline, no two are exactly BILLS AND JOINT RESOLUTIONS depend. alike. The conservation measures that By Ms. SNOWE: In the nearly 8 years since we last re- work in one fishery cannot always be S. 2066. A bill to authorize appropria- newed and reauthorized the Magnuson- transferred to another. The Magnuson- tions to the Secretary of Commerce for Stevens Act, however, we have wit- Stevens act must express enough flexi- the Magnuson-Stevens Fishery Con- nessed both prosperity and degradation bility to accommodate these vari- servation and Management Act for fis- in different fisheries affected by this ations, so that managers can craft cal years 2004, 2005, 2006, 2007, and 2008, law. According to the National Marine unique, innovative solutions based on and for other purposes; to the Com- Fisheries Service’s Annual Report in the conditions and needs of the fish mittee on Commerce, Science, and 2003, certain fisheries have thrived; for stocks and fishing communities in Transportation. example, sea scallops on Georges Bank question. Ms. SNOWE. Mr. President, I rise have increased 20-fold from 1994 to 2002, I first attempted to address these today to introduce the Fishery Con- silver hake in the Northeast was de- issues when I introduced S. 2832, the servation and Management Act Amend- clared fully rebuilt in 2002, and recov- Magnuson-Stevens Reauthorization ments of 2004. This bill would reauthor- ery of dozens of other stocks is well un- Act of 2000, as well as bills authorizing ize the Magnuson-Stevens Fisheries derway. The National Marine Fisheries national standards for fishing quota Conservation and Management Act, as Services’ most recent survey of young systems. During the last several years, amended by the 1996 Sustainable Fish- Georges Bank haddock indicates a pop- the need for these amendments—as eries Act, and update fisheries policy ulation boom with the potential to be well as new amendments to meet to better satisfy the ever-changing the largest ever recorded, putting that evolving fisheries needs—has only in- needs of our Nation’s fish stocks and fishery well on the road to its recovery tensified. It is this fact that underlies fishing communities. goal. Conversely, other fisheries have the bill I introduce today, the Fishery In 1976, the year in which the Magnu- not fared as well, as demonstrated by Conservation and Management Act son-Stevens Act was written, our com- the fact that overfishing commenced in Amendments of 2004. mercial fisheries were in grave danger 13 U.S. fisheries between 1997 and 2002. This bill contains several specific of being exploited beyond their ability As Chair of the Oceans, Fisheries, measures for enhancing management to recover. Passage of the Act has pro- and Coast Guard Subcommittee of the flexibility. First and foremost, this bill vided a more balanced approach in ful- Commerce Committee, I have sought would repeal the 10-year timeline for filling our economic needs by also pro- answers as to why the Magnuson-Ste- rebuilding fish stocks and the unneces- moting responsible conservation and vens Act has apparently worked well sarily-rigid measures that stem from stewardship of our resources. Even as for some fisheries, but not others. Rep- it. This provision of the Sustainable it sought to provide better manage- resenting a state with scores of fishing Fisheries Act is not based on fish popu- ment for the Nation’s resources as a communities and thousands of fisheries lation dynamics, but instead imposes a whole, this law recognized that our workers, I understand the great impor- stringent and arbitrary time-frame in- fisheries have vastly different regional tance of making sure that our federal appropriate for the diverse needs of problems. The result was the creation fisheries laws are working for all of our each individual fishery. This bill would of a regional management council in Nation’s fisheries. replace it with a system that allows a each of the country’s eight major ma- In seeking these answers, during the more adaptive approach for deter- rine fisheries. These councils, with sub- 106th Congress I traveled across the mining harvest rates. I am proposing stantial input from the local commu- country and held a series of hearings that fishing mortality rates simply be nity, are responsible for creating the on the Magnuson-Stevens Act. In limited to the maximum sustainable management plans by which their fish Washington, D.C. Maine, Louisiana, yield that a stock can produce in any stocks are regulated by the National Alaska, Washington, and Massachu- given year. This fishing rate would not Marine Fisheries Services. This struc- setts, I heard official testimony from permit overfishing; it would allow ture has been vital in allowing the ac- over 70 witnesses. Our subcommittee stocks to rebuild over time to a level tive stakeholders in each region to pro- received hundreds of comments, views, that achieves ecosystem balance. vide meaningful input to the manage- and recommendations from federal and Another new proposal in this bill ment process. state officials, regional council chair- would improve managers’ ability to Since the enactment of this legisla- men and members, other fisheries man- fairly distribute access to distant- tion, domestic offshore catches have agers, commercial and recreational water fish stocks. As is now occurring increased so dramatically that our fishermen, members of the conserva- in the New England groundfishery, fisheries now add billions of dollars to tion community, and many others in- fishermen from different states are un- the Nation’s economy every year, ac- terested in fisheries management. evenly impacted by management meas- cording to the National Marine Fish- What the subcommittee learned dur- ures that treat them as if they are all eries Service. Because of this increase ing these hearing—and which continues from the same state. Currently, fisher- in fishing harvests and the pressure to to be reinforced by more recent fish- men who live farther away from fish more than could be sustained, in eries events, comments, and rec- healthy fish stocks need to expend 1996 Congress passed the Sustainable ommendations—is that most of the their extremely limited number of per- Fisheries Act to amend and enhance shortcomings in our federal fisheries mitted days-at-sea simply steaming to the Magnuson-Stevens Act. The new policy are products of how the Magnu- and from these stocks, while those who amendments included new guidelines son-Stevens Act has been interpreted live closer to the stocks can spend for conservation of both targeted fish- and applied to real-life fisheries prob- more of their days-at-sea actually fisheries and bycatch, or incidentally- lems. While the underpinnings of the ing. I am proposing that regional fish- caught fish and other marine life. The Act are sound, it has become clear that ery management councils analyze Act required that overfished stocks be implementation of the Act has often these impacts and, if necessary, take rebuilt within a 10 year timeframe. In been inconsistent with Congressional action to eliminate such inequities. addition, the provisions added a re- intent. That is the primary challenge Other key features of this Magnuson- quirement for the protection of all es- before us today: to clarify how the Stevens Act reauthorization would ad- sential fish habitat for each fishery. goals of conservation and management dress essential fish habitat and areas of The overarching goal of the Sustain- can be achieved for our Nation’s fish- particular concern; authorizations for able Fisheries Act was to ensure pros- eries, and ensure effective implementa- cooperative research, capacity reduc- perity for all United States fisheries by tion of the Act. tion, and fishing quota systems; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00062 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1019 language to improve social and ecologi- Los Padres National Forest provides sis and actively participate in support of re- cal impact assessments, data and infor- a variety of recreational opportunities, search to control or cure cystic fibrosis, by mation management, public meeting such as fishing, hiking, hunting, and observing the month with appropriate cere- notices, and scientific peer reviews. In- backpacking. These activities would be monies and activities; and (3) supports the goals of— dividually and collectively, the provi- hindered by new oil and gas explo- (A) increasing the quality of life for indi- sions in this bill present a way forward ration and development, as streams viduals with cystic fibrosis by promoting in improving federal fisheries manage- and trails are contaminated by runoff public knowledge and understanding in a ment. This bill preserves the goal and and sedimentation and as air pollution manner that will result in earlier diagnoses; intent of the Magnuson-Stevens Act, is increased. (B) encouraging increased resources for re- yet it enhances the abilities of man- This legislation is a critical step to- search; and agers and fishermen to apply it in a ward protecting the irreplaceable nat- (C) increasing levels of support for people way that can better achieve the Act’s ural and cultural resources of the Los who have cystic fibrosis and their families. objectives and actually achieve sus- Padres National Forest. I encourage Mr. CAMPBELL. Mr. President, tainability in our fisheries. my colleagues to support this legisla- today I am submitting a resolution rec- Finally, I would like to thank all tion. ognizing the month of May, 2004, as Na- those fishermen, managers, scientists, f tional Cystic Fibrosis Awareness Month. I am pleased to be joined by and special interest groups that con- SUBMITTED RESOLUTIONS tributed ideas and information to the nine of my colleagues who are original long process of developing this reau- cosponsors of the resolution. We are thorization bill. Their countless con- SENATE RESOLUTION 298—DESIG- hopeful that greater awareness of cys- tributions serve as invaluable pieces to NATING MAY 2004 AS ‘‘NATIONAL tic fibrosis (CF) will lead to a cure. a very complex puzzle, and I am con- CYSTIC FIBROSIS AWARENESS The resolution is similar to one fident that our efforts will improve the MONTH’’ which I submitted last year, S. Res. 98, declaring a National Cystic Fibrosis state of federal fisheries management. Mr. CAMPBELL (for himself, Ms. Awareness Week, which was agreed to I look forward to receiving additional MURKOWSKI, Mrs. LINCOLN, Mrs. MUR- by unanimous consent on September fisheries policy comments and rec- RAY, Ms. LANDRIEU, Mr. BIDEN, Mr. 25, 2003. Since then, I have received ommendations in the weeks and BUNNING, Mr. DORGAN, Mr. JOHNSON, input from the National Cystic Fibro- months ahead, including those from and Mr. FITZGERALD) submitted the fol- sis Foundation ( CFF) and the National the U.S. Commission on Ocean Policy, lowing resolution; which was referred Cystic Fibrosis Awareness Committee and I encourage my colleagues to the Committee on the Judiciary: and have updated the information ac- throughout Congress to take action in S. RES. 298 cordingly. support of this Magnuson-Stevens re- Whereas cystic fibrosis, characterized by authorization effort. Through our col- Cystic fibrosis is one of the most chronic lung infections and digestive dis- common fatal genetic diseases in the lective efforts, sustainable fisheries in orders, is a fatal lung disease; the United States can and will become Whereas cystic fibrosis is 1 of the most United States and there is no known a reality. common genetic diseases in the United cure. It affects approximately 30,000 States and 1 for which there is no known children and adults in the United By Mrs. BOXER (for herself and cure; States. As recently as 25 years ago, Mrs. FEINSTEIN): Whereas more than 10,000,000 Americans most children born with cystic fibrosis S. 2067. A bill to withdraw the Los are unknowing carriers of the cystic fibrosis died in early childhood and few sur- Padres National Forest in California gene; vived to their teenage years. from location, entry, and patent under Whereas 1 of every 3,500 babies born in the Today, the average life expectancy of United States is born with cystic fibrosis; mining laws, and for other purposes; to Whereas newborn screening for cystic fi- an individual with cystic fibrosis is in the Committee on Energy and Natural brosis has been implemented by 11 States the early thirties, an improvement Resources. and facilitates early diagnosis and treatment from a life expectancy of 10 years in Mrs. BOXER. Mr. President, I am in- which improves health and longevity; the 1960s, but still unacceptably short. troducing legislation today that would Whereas approximately 30,000 people in the The difference stems from productive ban oil and gas drilling in the Los Pa- United States have cystic fibrosis, many of research which has led to an under- dres National Forest. Congresswoman them children; standing of the way cystic fibrosis Whereas the average life expectancy of an CAPPS is introducing this legislation in causes life-threatening damage and to individual with cystic fibrosis is in the early the House of Representatives. thirties, an improvement from a life expect- the development of preventive tech- Despite strong local opposition to ancy of 10 years in the 1960s, but still unac- niques and treatments. drilling in the forest, the Forest Serv- ceptably short; While there is no cure, early detec- ice released a Draft Environmental Im- Whereas prompt, aggressive treatment of tion and prompt treatment can signifi- pact Statement in October 2001 that the symptoms of cystic fibrosis can extend cantly improve and extend the lives of recommended opening up additional the lives of people who have the disease; those with CF. My home state of Colo- lands in the forest to oil and gas explo- Whereas recent advances in cystic fibrosis rado was one of the first States to re- ration. By failing to consider the irrep- research have produced promising leads in quire CF screening for newborns. Hap- gene, protein, and drug therapies beneficial arable harm these activities would to people who have the disease; pily, many more States are now per- cause to the forest’s resources and the Whereas this innovative research is pro- forming this simple test. recreational opportunities available to gressing faster and is being conducted more And, since the discovery of the defec- both nearby residents and tourists, the aggressively than ever before, due in part to tive CF gene in 1989, CF research has Forest Service’s proposal is short- the establishment of a model clinical trials greatly accelerated. I am proud that sighted and misguided. network by the Cystic Fibrosis Foundation; Colorado is home to the University of The opening of the spectacular, un- and Colorado Health Sciences Center, in- spoiled lands in Los Padres National Whereas education of the public on cystic cluding the Children’s Hospital, the Forest to oil and gas drilling threatens fibrosis, including the symptoms of the disease, increases knowledge and understanding National Jewish Medical and Research one of California’s most pristine of cystic fibrosis and promotes early diag- Center and the Anschutz Centers for places. Los Padres National Forest pro- nosis: Now, therefore, be it Advanced Medicine, all of which are ac- vides habitat for various threatened Resolved, That the Senate— tively involved in CF research and and endangered wildlife species, includ- (1) designates May 2004 as ‘‘National Cystic care. The Children’s Hospital is one of ing the endangered California condor. Fibrosis Awareness Month’’; a number of innovative Therapeutics Also within the Los Padres National (2) requests that the President issue a Development Centers nationwide per- Forest are unexplored archeological proclamation— forming cutting edge clinical research (A) designating the month of May 2004 as sites that contain Native American ‘‘National Cystic Fibrosis Awareness to develop new treatments for CF. historical artifacts. These could be Month’’; and Currently, the CF Foundation over- damaged or destroyed by oil and gas (B) calling on the people of the United sees potential CF products in its drug development. States to promote awareness of cystic fibro- development pipeline, including those

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00063 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1020 CONGRESSIONAL RECORD — SENATE February 11, 2004 in clinical trials. In addition, small (B) commends the individuals working on and local communities to set their own pri- pilot trials and large clinical studies behalf of abused and neglected children orities and address their own mobility prob- are carried out in the CF Foundation- throughout the United States. lems; accredited care centers across the Mr. CAMPBELL. Mr. President, Whereas the General Accounting Office has today I am submitting a resolution de- reported that demonstration projects re- United States. Organizations such as viewed were not considered by State and re- the Cystic Fibrosis Research, Inc. also claring Wednesday, April 7, 2004, as a National Day of Hope dedicated to regional transportation officials as critical to sponsor studies for treatment of the their transportation needs and that over half membering the victims of child abuse disease. Efforts such as these through- of the projects reviewed were not included in out the nation are providing a greater and neglect and recognizing Childhelp State and local transportation plans; quality of life for those who have CF. USA for initiating such a day. I am Whereas some earmarks have nothing to We applaud these efforts. pleased to be joined in this effort by do with transportation and may worsen con- While I am encouraged by the CF re- my colleagues Senators SPECTER, gestion by diverting scarce resources from higher priorities; search in Colorado and elsewhere, more DEWINE, MURKOWSKI, INHOFE, ALLEN, DORGAN, and AKAKA who are original Whereas the Surface Transportation As- needs to be done. I believe we can in- sistance Act of 1982 (96 Stat. 2097) contained crease the quality of life for individ- cosponsors of the resolution. This resolution is similar to one I 10 earmarks at a cost of $385,925,000; uals with Cystic Fibrosis by promoting Whereas the Surface Transportation and submitted last year, S. Res. 52, which public knowledge and understanding of Uniform Relocation Assistance Act of 1987 passed the Senate by unanimous con- the disease in a manner that will result (101 Stat. 132) contained 157 projects at a cost sent on March 26, 2004. It expresses the in earlier diagnoses, more fund raising of $1,416,000,000; sense of Congress that we must break efforts for research, and increased lev- Whereas the Intermodal Surface Transpor- the cycle of child abuse and neglect by tation Efficiency Act of 1991 (105 Stat. 1914) els of support for those who have CF mobilizing all our resources including contained 538 projects at a cost of and their families. the faith community, non-profit orga- $6,082,873,000; Therefore, I urge my colleagues to Whereas the Transportation Equity Act for act on this resolution so we can move nizations and volunteers. The resolution also recognizes the 21st Century (112 Stat. 107) contained another step closer to eradicating this 1,851 projects at a cost of $9,359,850,000; Childhelp USA, one of our oldest na- disease. Whereas annual transportation appropria- tional organizations dedicated to meet- tions acts show the same trend in increasing f ing the needs of abused and neglected earmarking of projects; SENATE RESOLUTION 299—RECOG- children. Childhelp and many other Whereas the funding earmarked for many NIZING, AND SUPPORTING EF- non-profits or faith-based organiza- projects does not cover the full cost of the FORTS TO ENHANCE THE PUBLIC tions nationwide are performing a vital project and requires State and local commu- AWARENESS OF, THE SOCIAL service to these children that they nities to cover the unfunded costs; and would not have otherwise, and they are Whereas funding of earmarked projects can PROBLEM OF CHILD ABUSE AND have a dramatic effect on the rate of return NEGLECT to be commended for their efforts. that a State receives on its contributions to Mr. CAMPBELL (for himself, Mr. More than 3 million children are re- the Federal Highway Trust Fund: Now, ported as suspected victims of child SPECTER, Mr. DEWINE, Ms. MURKOWSKI, therefore, be it abuse and neglect each year. That is 3 Resolved, That it is the sense of the Senate Mr. AKAKA, Mr. INHOFE, Mr. ALLEN, and million children too many. And, it is that— Mr. DORGAN) submitted the following estimated that more than 1,200 chil- (1) the Safe, Accountable, Flexible, and Ef- resolution; which was referred to the ficient Transportation Equity Act of 2004 Committee on the Judiciary: dren lose their lives as a direct result of abuse and neglect every year. That should not include project earmarks; S. RES. 299 (2) if earmarked projects are included, the is not acceptable. We must do some- projects should be included within the fund- Whereas each year in the United States ap- thing to change these disturbing statis- proximately 3,000,000 reports of suspected or ing that a State would otherwise receive so known child abuse and neglect, involving tics. as not to penalize other States; and 5,000,000 children, are made to child protec- I know first-hand the importance of (3) any earmarked projects should be in- tive service agencies; having help when it is needed. The Na- cluded in the funding equity provisions of Whereas 588,000 children are unable to live tional Day of Hope Resolution calls on the next surface transportation Act so that safely with their families and are placed in each of us to renew our duty and re- the projects do not adversely affect the rate foster homes and institutions; sponsibility to the vulnerable children of return that a State receives from its contributions to the Highway Trust Fund. Whereas it is estimated that every year in and families caught in the cycle of the United States more than 1,200 children, child abuse and neglect. f 85 percent of whom are under the age of 6 While we are encouraged by the ef- SEANTE RESOLUTION 301—HON- years, of whom 44 percent are under the age forts of many organizations nation- of 1 year, lose their lives as a direct result of ORING THE 30TH ANNIVERSARY abuse and neglect; wide, more needs to be done. That is OF CONGRESSMAN MURTHA’S Whereas this tragic social problem results why we urge our colleagues to act SERVICE in human and economic costs through crime quickly on this resolution so we can Mr. SPECTER submitted the fol- and delinquency, drug and alcohol abuse, do- move another step closer to erasing the lowing resolution; which was referred mestic violence, and welfare dependency; and horror of child abuse from our nation’s to the Committee on the Judiciary: Whereas Childhelp USA has initiated a Day history. of Hope to be observed on Wednesday, April S. RES. 301 7, 2004, during Child Abuse Prevention f Whereas John ‘‘Jack’’ Murtha, during 5 Month, to focus public awareness on child SENATE RESOLUTION 300—EX- decades of service to our Nation, has been an abuse and neglect: Now, therefore, be it PRESSING THE SENSE OF THE exemplar of dedication, drive, sacrifice, and Resolved, That— SENATE ON PROJECT EAR- patriotism; (1) it is the sense of the Senate that— MARKING IN SURFACE TRANS- Whereas John Murtha left Washington and (A) all Americans should keep the victims Jefferson College after only 1 year of study of child abuse and neglect in their thoughts PORTATION ACTS to join the Marine Corps during the Korean and prayers; Mr. GRAHAM of Florida (for himself War out of a sense of obligation to his coun- (B) all Americans should seek to break the and Mr. MCCAIN) submitted the fol- try; cycle of child abuse and neglect and to give lowing resolution; which was referred Whereas John Murtha ran a small business victimized children hope for the future; and to the Committee on Environment and in Johnstown, Pennsylvania while starting a (C) the faith community, nonprofit organi- family with his wife, Joyce, and attending zations, and volunteers across America Public Works: the University of Pittsburgh on the GI Bill; should recommit themselves and mobilize S. RES. 300 Whereas he volunteered in Vietnam in their resources to assist abused and ne- Whereas the House of Representatives 1966–67, already in his mid-30s; glected children; and adopted a rule in 1914 stating that it shall Whereas in 1974, he became the first com- (2) the Senate— not be in order for any bill providing general bat Vietnam veteran elected to Congress, (A) supports the goals and ideas of the Day legislation in relation to roads to contain representing the 12th Congressional District of Hope, which will be observed on April 7, any provision for any specific road; of Pennsylvania; 2004, as part of Child Abuse Prevention Whereas diverting funds to low-priority Whereas he continuously works to attract Month; and earmarks diminishes the ability of States and keep jobs in and around his District and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00064 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1021 to develop essential sewer, water, and trans- AMENDMENTS SUBMITTED AND amendment SA 2285 proposed by Mr. INHOFE portation infrastructure; PROPOSED to the bill S. 1072, supra; which was ordered Whereas in his position as a senior member to lie on the table. of the House Appropriations Committee, he SA 2297. Mr. SESSIONS submitted an SA 2313. Mr. ALLARD submitted an is a national leader on defense, health care, amendment intended to be proposed to amendment intended to be proposed by him and social issues and uses his position to amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered benefit Pennsylvania, the region, and the to the bill S. 1072, to authorize funds for Fed- to lie on the table. people; eral-aid highways, highway safety programs, SA 2314. Mr. CAMPBELL (for himself and Whereas he founded the House Steel Cau- and transit programs, and for other purposes; Mr. INOUYE) submitted an amendment in- cus and regularly defends our steel industry which was ordered to lie on the table. tended to be proposed to amendment SA 2285 SA 2298. Mr. BINGAMAN submitted an from unfair imports; and proposed by Mr. INHOFE to the bill S. 1072, amendment intended to be proposed to Whereas he has been 1 of the strongest ad- supra; which was ordered to lie on the table. amendment SA 2285 proposed by Mr. INHOFE vocates for children, seniors, and veterans: SA 2315. Mr. KYL submitted an amend- to the bill S. 1072, supra; which was ordered Now, therefore, be it ment intended to be proposed by him to the to lie on the table. bill S. 1072, supra; which was ordered to lie Resolved, SA 2299. Mr. BINGAMAN (for himself and on the table. SECTION 1. CONGRATULATION AND COMMENDA- Mr. CRAIG) submitted an amendment in- SA 2316. Mr. KYL submitted an amend- TION. tended to be proposed by him to the bill S. ment intended to be proposed by him to the The Senate— 1072, supra; which was ordered to lie on the bill S. 1072, supra; which was ordered to lie (1) honors the lifelong commitment of table. on the table. John Murtha to the ideals of our Nation; SA 2300. Mr. BINGAMAN (for himself, Mr. SA 2317. Mr. MCCAIN submitted an amend- (2) recognizes John Murtha’s exceptional ROBERTS, and Mr. DOMENICI) submitted an ment intended to be proposed to amendment dedication to his constituents, to the State amendment intended to be proposed by him SA 2285 proposed by Mr. INHOFE to the bill S. of Pennsylvania, and to the United States; to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the and to lie on the table. table. (3) congratulates John Murtha on 30 years SA 2301. Mrs. MURRAY (for herself, Ms. SA 2318. Mr. MCCAIN submitted an amend- OLLINS, Mrs. BOXER, Ms. CANTWELL, Mrs. of superior service in the United States Con- C ment intended to be proposed to amendment CLINTON, Mr. COCHRAN, Mr. CORZINE, Mr. gress. SA 2285 proposed by Mr. INHOFE to the bill S. EDWARDS, Mr. KENNEDY, Ms. MIKULSKI, Ms. 1072, supra; which was ordered to lie on the SEC. 2. TRANSMISSION OF ENROLLED RESOLU- MURKOWSKI, Mr. SCHUMER, Ms. SNOWE, and table. TION. Mr. STEVENS) submitted an amendment in- SA 2319. Mr. MCCAIN submitted an amend- The Secretary of the Senate shall transmit tended to be proposed to amendment SA 2285 ment intended to be proposed to amendment an enrolled copy of this resolution to Con- proposed by Mr. INHOFE to the bill S. 1072, SA 2285 proposed by Mr. INHOFE to the bill S. gressman John Murtha. supra; which was ordered to lie on the table. 1072, supra; which was ordered to lie on the SA 2302. Mr. BAYH (for himself, Mr. DUR- Mr. SPECTER. Mr. President, I rise table. BIN, Mr. LUGAR, Mr. KOHL, and Mr. FITZ- SA 2320. Mr. MCCAIN submitted an amend- to honor one of our most dedicated and GERALD) submitted an amendment intended ment intended to be proposed to amendment patriotic colleagues—and a fellow to be proposed by him to the bill S. 1072, SA 2285 proposed by Mr. INHOFE to the bill S. Pennsylvanian—Congressman JOHN supra; which was ordered to lie on the table. 1072, supra; which was ordered to lie on the MURTHA, on the 30th anniversary of his SA 2303. Mr. LAUTENBERG submitted an table. service in the United States House of amendment intended to be proposed to SA 2321. Mr. MCCAIN submitted an amend- Representatives. amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed to amendment to the bill S. 1072, supra; which was ordered SA 2285 proposed by Mr. INHOFE to the bill S. JACK MURTHA, during five decades of to lie on the table. 1072, supra; which was ordered to lie on the service to our Nation, has been an ex- SA 2304. Mr. LAUTENBERG submitted an table. emplar of dedication, drive, sacrifice amendment intended to be proposed to SA 2322. Mr. MCCAIN submitted an amend- and patriotism. He left Washington and amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed to amendment Jefferson College after only one year of to the bill S. 1072, supra; which was ordered SA 2285 proposed by Mr. INHOFE to the bill S. study to join the Marine Corps during to lie on the table. 1072, supra; which was ordered to lie on the SA 2305. Mr. LAUTENBERG (for himself, table. the Korean War. Returning home, he Mr. DEWINE, Mr. DORGAN, and Mr. CORZINE) SA 2323. Mr. MCCAIN submitted an amend- ran a small business in Johnstown submitted an amendment intended to be pro- ment intended to be proposed by him to the while starting a family with his wife, posed to amendment SA 2285 proposed by Mr. bill S. 1072, supra; which was ordered to lie Joyce, and attending the University of INHOFE to the bill S. 1072, supra; which was on the table. Pittsburgh on the GI Bill. But his ordered to lie on the table. SA 2324. Mr. MCCAIN submitted an amend- SA 2306. Mr. LAUTENBERG (for himself, country called again and JACK MURTHA ment intended to be proposed to amendment volunteered in Vietnam in 1966–67, al- Mr. DEWINE, and Mr. CORZINE) submitted an SA 2285 proposed by Mr. INHOFE to the bill S. amendment intended to be proposed to 1072, supra; which was ordered to lie on the ready in his mid-30s. amendment SA 2285 proposed by Mr. INHOFE table. In 1974, he became the first combat to the bill S. 1072, supra; which was ordered SA 2325. Mr. BINGAMAN submitted an Vietnam veteran elected to Congress, to lie on the table. amendment intended to be proposed to representing the 12th Congressional SA 2307. Ms. LANDRIEU submitted an amendment SA 2285 proposed by Mr. INHOFE District of Pennsylvania. amendment intended to be proposed to to the bill S. 1072, supra; which was ordered amendment SA 2285 proposed by Mr. INHOFE to lie on the table. JACK MURTHA has worked tirelessly to the bill S. 1072, supra; which was ordered SA 2326. Mr. BINGAMAN (for himself and to attract and keep jobs in and around to lie on the table. Mr. DOMENICI) submitted an amendment in- his District and to develop essential SA 2308. Mr. CORZINE submitted an tended to be proposed by him to the bill S. sewer, water and transportation infra- amendment intended to be proposed to 1072, supra; which was ordered to lie on the structure. As a senior member of the amendment SA 2285 proposed by Mr. INHOFE table. SA 2327. Mr. BOND proposed an amend- House Appropriations Committee, he to the bill S. 1072, supra; which was ordered to lie on the table. ment to amendment SA 2311 proposed by has established himself as a national SA 2309. Mr. CORZINE (for himself and Mr. Mrs. CLINTON (for herself, Mr. BINGAMAN, Mr. leader on defense, health-care and so- LAUTENBERG) submitted an amendment in- BYRD, Mr. DODD, Mr. SARBANES, Mr. CORZINE, cial issues. He founded the House Steel tended to be proposed to amendment SA 2285 Mr. LIEBERMAN, Mr. ROCKEFELLER, Mr. HAR- Caucus and regularly defends our steel proposed by Mr. INHOFE to the bill S. 1072, KIN, and Ms. STABENOW) to the bill S. 1072, industry from unfair imports, and has supra; which was ordered to lie on the table. supra. been one of the strongest advocates in SA 2310. Mr. CORZINE submitted an SA 2328. Mr. DEWINE submitted an amend- Congress for children, seniors and vet- amendment intended to be proposed to ment intended to be proposed to amendment amendment SA 2285 proposed by Mr. INHOFE SA 2285 proposed by Mr. INHOFE to the bill S. erans. to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the I hope my colleagues will join me in to lie on the table. table. honoring JACK MURTHA for his lifelong SA 2311. Mrs. CLINTON (for herself, Mr. SA 2329. Mrs. BOXER submitted an amend- commitment to the ideals of our Na- BINGAMAN, Mr. BYRD, Mr. DODD, Mr. SAR- ment intended to be proposed by her to the tion; for his exceptional dedication to BANES, Mr. CORZINE, Mr. LIEBERMAN, Mr. bill S. 1072, supra; which was ordered to lie his constituents, to the State of Penn- ROCKEFELLER, Mr. HARKIN, and Ms. STABE- on the table. NOW) proposed an amendment to the bill S. SA 2330. Mrs. BOXER submitted an amend- sylvania and to our country; and for 30 1072, supra. ment intended to be proposed by her to the years of superior service in the United SA 2312. Mr. CORZINE submitted an bill S. 1072, supra; which was ordered to lie States Congress. amendment intended to be proposed to on the table.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00065 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1022 CONGRESSIONAL RECORD — SENATE February 11, 2004 SA 2331. Mrs. BOXER submitted an amend- to the bill S. 1072, supra; which was ordered SA 2371. Ms. SNOWE (for herself and Ms. ment intended to be proposed by her to the to lie on the table. COLLINS) submitted an amendment intended bill S. 1072, supra; which was ordered to lie SA 2352. Mrs. CLINTON submitted an to be proposed to amendment SA 2285 pro- on the table. amendment intended to be proposed by her posed by Mr. INHOFE to the bill S. 1072, supra; SA 2332. Mr. HARKIN submitted an amend- to the bill S. 1072, supra; which was ordered which was ordered to lie on the table. ment intended to be proposed to amendment to lie on the table. SA 2372. Ms. SNOWE submitted an amend- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2353. Mrs. CLINTON submitted an ment intended to be proposed to amendment 1072, supra; which was ordered to lie on the amendment intended to be proposed by her SA 2285 proposed by Mr. INHOFE to the bill S. table. to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the SA 2333. Mr. HARKIN submitted an amend- to lie on the table. table. ment intended to be proposed to amendment SA 2354. Mrs. CLINTON submitted an SA 2373. Ms. SNOWE submitted an amend- SA 2285 proposed by Mr. INHOFE to the bill S. amendment intended to be proposed by her ment intended to be proposed to amendment 1072, supra; which was ordered to lie on the to the bill S. 1072, supra; which was ordered SA 2285 proposed by Mr. INHOFE to the bill S. table. to lie on the table. 1072, supra; which was ordered to lie on the SA 2334. Mrs. CLINTON submitted an SA 2355. Mrs. CLINTON submitted an table. amendment intended to be proposed to amendment intended to be proposed by her SA 2374. Ms. SNOWE (for herself, Mr. NEL- amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered SON, of Florida, Ms. COLLINS, Mr. GRAHAM, of to the bill S. 1072, supra; which was ordered to lie on the table. Florida, and Mr. JOHNSON) submitted an to lie on the table. SA 2356. Mr. CORNYN (for himself and Mrs. amendment intended to be proposed to SA 2335. Mrs. DOLE submitted an amend- HUTCHISON) submitted an amendment in- amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed by her to the tended to be proposed by him to the bill S. to the bill S. 1072, supra; which was ordered bill S. 1072, supra; which was ordered to lie 1072, supra; which was ordered to lie on the to lie on the table. on the table. table. SA 2375. Mr. MCCAIN submitted an amend- SA 2336. Mr. COLEMAN (for himself and SA 2357. Mr. CORNYN (for himself and Mrs. ment intended to be proposed to amendment Mr. DAYTON) submitted an amendment in- HUTCHISON) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. tended to be proposed by him to the bill S. tended to be proposed to amendment SA 2285 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the proposed by Mr. INHOFE to the bill S. 1072, table. table. supra; which was ordered to lie on the table. SA 2376. Mr. MCCAIN submitted an amend- SA 2337. Mr. COLEMAN (for himself and SA 2358. Mr. CORNYN (for himself and Mrs. ment intended to be proposed to amendment Mr. DAYTON) submitted an amendment in- HUTCHISON) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. tended to be proposed by him to the bill S. tended to be proposed to amendment SA 2285 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the proposed by Mr. INHOFE to the bill S. 1072, table. table. supra; which was ordered to lie on the table. SA 2377. Mr. MCCAIN submitted an amend- SA 2338. Mr. HATCH submitted an amend- SA 2359. Mr. CORNYN (for himself and Mrs. ment intended to be proposed by him to the ment intended to be proposed by him to the HUTCHISON) submitted an amendment in- bill S. 1072, supra; which was ordered to lie bill S. 1072, supra; which was ordered to lie tended to be proposed to amendment SA 2285 on the table. on the table. proposed by Mr. INHOFE to the bill S. 1072, SA 2378. Mr. MCCAIN submitted an amend- SA 2339. Mr. KYL submitted an amend- supra; which was ordered to lie on the table. ment intended to be proposed by him to the ment intended to be proposed by him to the SA 2360. Mr. CORNYN submitted an bill S. 1072, supra; which was ordered to lie bill S. 1072, supra; which was ordered to lie amendment intended to be proposed to on the table. on the table. amendment SA 2285 proposed by Mr. INHOFE SA 2379. Mr. MCCAIN (for himself and Mr. SA 2340. Mr. TALENT (for himself, Mr. to the bill S. 1072, supra; which was ordered HOLLINGS) submitted an amendment in- WYDEN, Mr. CORZINE, and Mr. COLEMAN) sub- to lie on the table. tended to be proposed to amendment SA 2285 mitted an amendment intended to be pro- SA 2361. Mr. CORNYN submitted an proposed by Mr. INHOFE to the bill S. 1072, posed by him to the bill S. 1072, supra; which amendment intended to be proposed to supra; which was ordered to lie on the table. was ordered to lie on the table. amendment SA 2285 proposed by Mr. INHOFE SA 2380. Mr. MCCAIN (for himself and Mr. SA 2341. Mr. TALENT (for himself and Mr. to the bill S. 1072, supra; which was ordered HOLLINGS) submitted an amendment in- WYDEN) submitted an amendment intended to lie on the table. tended to be proposed to amendment SA 2285 to be proposed by him to the bill S. 1072, SA 2362. Mr. CORNYN submitted an proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered to lie on the table. amendment intended to be proposed to supra; which was ordered to lie on the table. SA 2342. Mr. TALENT (for himself, Mr. amendment SA 2285 proposed by Mr. INHOFE SA 2381. Mr. MCCAIN (for himself and Mr. ALLEN, and Mr. BURNS) submitted an amend- to the bill S. 1072, supra; which was ordered HOLLINGS) submitted an amendment in- ment intended to be proposed by him to the to lie on the table. tended to be proposed to amendment SA 2285 bill S. 1072, supra; which was ordered to lie SA 2363. Ms. LANDRIEU submitted an proposed by Mr. INHOFE to the bill S. 1072, on the table. amendment intended to be proposed by her supra; which was ordered to lie on the table. SA 2343. Mr. FEINGOLD submitted an to the bill S. 1072, supra; which was ordered SA 2382. Mr. MCCAIN (for himself and Mr. amendment intended to be proposed by him to lie on the table. HOLLINGS) submitted an amendment in- to the bill S. 1072, supra; which was ordered SA 2364. Mr. SCHUMER submitted an tended to be proposed to amendment SA 2285 to lie on the table. amendment intended to be proposed to proposed by Mr. INHOFE to the bill S. 1072, SA 2344. Mr. DAYTON submitted an amendment SA 2285 proposed by Mr. INHOFE supra; which was ordered to lie on the table. amendment intended to be proposed by him to the bill S. 1072, supra; which was ordered SA 2383. Mr. MCCAIN submitted an amend- to the bill S. 1072, supra; which was ordered to lie on the table. ment intended to be proposed to amendment to lie on the table. SA 2365. Mr. DORGAN submitted an SA 2285 proposed by Mr. INHOFE to the bill S. SA 2345. Mr. DAYTON submitted an amendment intended to be proposed by him 1072, supra; which was ordered to lie on the amendment intended to be proposed by him to the bill S. 1072, supra; which was ordered table. to the bill S. 1072, supra; which was ordered to lie on the table. SA 2384. Mr. MCCAIN submitted an amend- to lie on the table. SA 2366. Mr. DORGAN submitted an ment intended to be proposed to amendment SA 2346. Mrs. CLINTON submitted an amendment intended to be proposed by him SA 2285 proposed by Mr. INHOFE to the bill S. amendment intended to be proposed by her to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the to the bill S. 1072, supra; which was ordered to lie on the table. table. to lie on the table. SA 2367. Mr. AKAKA submitted an amend- SA 2385. Mr. MCCAIN submitted an amend- SA 2347. Mrs. CLINTON submitted an ment intended to be proposed by him to the ment intended to be proposed by him to the amendment intended to be proposed by her bill S. 1072, supra; which was ordered to lie bill S. 1072, supra; which was ordered to lie to the bill S. 1072, supra; which was ordered on the table. on the table. to lie on the table. SA 2368. Mr. GRASSLEY (for himself and SA 2386. Mr. MCCAIN submitted an amend- SA 2348. Mrs. CLINTON submitted an Mr. BAUCUS) submitted an amendment in- ment intended to be proposed by him to the amendment intended to be proposed by her tended to be proposed by him to the bill S. bill S. 1072, supra; which was ordered to lie to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the on the table. to lie on the table. table. SA 2387. Mr. MCCAIN submitted an amend- SA 2349. Mrs. CLINTON submitted an SA 2369. Mr. GRASSLEY (for himself and ment intended to be proposed by him to the amendment intended to be proposed by her Mr. BAUCUS) submitted an amendment in- bill S. 1072, supra; which was ordered to lie to the bill S. 1072, supra; which was ordered tended to be proposed by him to the bill S. on the table. to lie on the table. 1072, supra; which was ordered to lie on the SA 2388. Mrs. HUTCHISON (for herself, Mr. SA 2350. Mrs. CLINTON submitted an table. KYL, Mr. LEVIN, Mr. GRAHAM, of Florida, Mr. amendment intended to be proposed by her SA 2370. Ms. SNOWE (for herself and Ms. MCCAIN, Ms. STABENOW, and Mrs. FEINSTEIN) to the bill S. 1072, supra; which was ordered COLLINS) submitted an amendment intended submitted an amendment intended to be pro- to lie on the table. to be proposed to amendment SA 2285 proposed to amendment SA 2285 proposed by Mr. SA 2351. Mrs. CLINTON submitted an posed by Mr. INHOFE to the bill S. 1072, supra; INHOFE to the bill S. 1072, supra; which was amendment intended to be proposed by her which was ordered to lie on the table. ordered to lie on the table.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00066 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1023 SA 2389. Mrs. HUTCHISON submitted an SA 2407. Mr. KYL submitted an amend- to the bill S. 1072, supra; which was ordered amendment intended to be proposed to ment intended to be proposed by him to the to lie on the table. amendment SA 2285 proposed by Mr. INHOFE bill S. 1072, supra; which was ordered to lie SA 2425. Mr. LOTT submitted an amend- to the bill S. 1072, supra; which was ordered on the table. ment intended to be proposed to amendment to lie on the table. SA 2408. Mr. FITZGERALD (for himself SA 2285 proposed by Mr. INHOFE to the bill S. SA 2390. Mrs. HUTCHISON submitted an and Mr. DURBIN) submitted an amendment 1072, supra; which was ordered to lie on the amendment intended to be proposed to intended to be proposed to amendment SA table. amendment SA 2285 proposed by Mr. INHOFE 2285 proposed by Mr. INHOFE to the bill S. SA 2426. Mr. DASCHLE submitted an to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the amendment intended to be proposed to to lie on the table. table. amendment SA 2285 proposed by Mr. INHOFE SA 2391. Mrs. HUTCHISON submitted an SA 2409. Mrs. BOXER (for herself, Mr. to the bill S. 1072, supra; which was ordered amendment intended to be proposed to DODD, and Mrs. FEINSTEIN) submitted an to lie on the table. amendment SA 2285 proposed by Mr. INHOFE amendment intended to be proposed to SA 2427. Mr. DASCHLE submitted an to the bill S. 1072, supra; which was ordered amendment SA 2285 proposed by Mr. INHOFE amendment intended to be proposed to to lie on the table. to the bill S. 1072, supra; which was ordered amendment SA 2285 proposed by Mr. INHOFE SA 2392. Mr. BURNS submitted an amend- to lie on the table. to the bill S. 1072, supra; which was ordered ment intended to be proposed by him to the SA 2410. Mr. DURBIN submitted an amend- to lie on the table. bill S. 1072, supra; which was ordered to lie ment intended to be proposed by him to the SA 2428. Mr. DASCHLE submitted an on the table. bill S. 1072, supra; which was ordered to lie amendment intended to be proposed to SA 2393. Mr. BURNS submitted an amend- on the table. amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed to amendment SA 2411. Mr. MCCAIN submitted an amend- to the bill S. 1072, supra; which was ordered SA 2285 proposed by Mr. INHOFE to the bill S. ment intended to be proposed to amendment to lie on the table. 1072, supra; which was ordered to lie on the SA 2285 proposed by Mr. INHOFE to the bill S. SA 2429. Mr. DASCHLE submitted an table. 1072, supra; which was ordered to lie on the amendment intended to be proposed to SA 2394. Mr. DAYTON submitted an table. amendment SA 2285 proposed by Mr. INHOFE amendment intended to be proposed by him SA 2412. Mr. INHOFE submitted an amend- to the bill S. 1072, supra; which was ordered to the bill S. 1072, supra; which was ordered ment intended to be proposed to amendment to lie on the table. to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. SA 2430. Mr. DORGAN submitted an SA 2395. Mr. MCCAIN (for himself and Mr. 1072, supra; which was ordered to lie on the amendment intended to be proposed to HOLLINGS) submitted an amendment in- table. amendment SA 2285 proposed by Mr. INHOFE tended to be proposed to amendment SA 2285 SA 2413. Mr. INHOFE submitted an amend- to the bill S. 1072, supra; which was ordered proposed by Mr. INHOFE to the bill S. 1072, ment intended to be proposed to amendment to lie on the table. SA 2431. Mr. GRAHAM, of Florida sub- supra; which was ordered to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. mitted an amendment intended to be pro- SA 2396. Mr. DEWINE submitted an amend- 1072, supra; which was ordered to lie on the ment intended to be proposed to amendment table. posed by him to the bill S. 1072, supra; which SA 2285 proposed by Mr. INHOFE to the bill S. SA 2414. Mr. NICKLES submitted an was ordered to lie on the table. SA 2432. Mr. GRAHAM, of Florida sub- 1072, supra; which was ordered to lie on the amendment intended to be proposed by him mitted an amendment intended to be pro- table. to the bill S. 1072, supra; which was ordered posed to amendment SA 2285 proposed by Mr. SA 2397. Mr. CAMPBELL (for himself and to lie on the table. INHOFE to the bill S. 1072, supra; which was Mr. INOUYE) submitted an amendment in- SA 2415. Mr. BURNS submitted an amend- tended to be proposed to amendment SA 2285 ment intended to be proposed to amendment ordered to lie on the table. SA 2433. Mr. GRAHAM, of Florida sub- proposed by Mr. INHOFE to the bill S. 1072, SA 2285 proposed by Mr. INHOFE to the bill S. mitted an amendment intended to be pro- supra; which was ordered to lie on the table. 1072, supra; which was ordered to lie on the posed to amendment SA 2285 proposed by Mr. SA 2398. Mr. CAMPBELL (for himself and table. INHOFE to the bill S. 1072, supra; which was Mr. INOUYE) submitted an amendment in- SA 2416. Mr. BAYH (for himself, Mr. ordered to lie on the table. tended to be proposed to amendment SA 2285 LUGAR, and Mrs. CLINTON) submitted an SA 2434. Mr. GRAHAM, of Florida sub- proposed by Mr. INHOFE to the bill S. 1072, amendment intended to be proposed to mitted an amendment intended to be pro- supra; which was ordered to lie on the table. amendment SA 2285 proposed by Mr. INHOFE posed to amendment SA 2285 proposed by Mr. SA 2399. Mr. GRASSLEY (for himself and to the bill S. 1072, supra; which was ordered INHOFE to the bill S. 1072, supra; which was Mr. BAUCUS) submitted an amendment in- to lie on the table. ordered to lie on the table. tended to be proposed by him to the bill S. SA 2417. Mr. HARKIN submitted an amend- SA 2435. Mr. GRAHAM, of Florida sub- 1072, supra; which was ordered to lie on the ment intended to be proposed to amendment mitted an amendment intended to be pro- table. SA 2285 proposed by Mr. INHOFE to the bill S. posed by him to the bill S. 1072, supra; which SA 2400. Mr. GRASSLEY (for himself and 1072, supra; which was ordered to lie on the was ordered to lie on the table. Mr. BAUCUS) submitted an amendment in- table. SA 2436. Mr. GRAHAM, of Florida sub- tended to be proposed by him to the bill S. SA 2418. Mr. CARPER submitted an amend- mitted an amendment intended to be pro- 1072, supra; which was ordered to lie on the ment intended to be proposed to amendment posed by him to the bill S. 1072, supra; which table. SA 2285 proposed by Mr. INHOFE to the bill S. was ordered to lie on the table. SA 2401. Mr. STEVENS (for himself and 1072, supra; which was ordered to lie on the SA 2437. Mr. GRAHAM, of Florida sub- Mr. INOUYE) submitted an amendment in- table. mitted an amendment intended to be pro- tended to be proposed to amendment SA 2285 SA 2419. Mr. CARPER submitted an amend- posed to amendment SA 2285 proposed by Mr. proposed by Mr. INHOFE to the bill S. 1072, ment intended to be proposed to amendment INHOFE to the bill S. 1072, supra; which was supra; which was ordered to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. ordered to lie on the table. SA 2402. Mr. THOMAS submitted an 1072, supra; which was ordered to lie on the SA 2438. Mr. GRAHAM, of Florida sub- amendment intended to be proposed to table. mitted an amendment intended to be pro- amendment SA 2285 proposed by Mr. INHOFE SA 2420. Mr. CARPER submitted an amend- posed to amendment SA 2285 proposed by Mr. to the bill S. 1072, supra; which was ordered ment intended to be proposed to amendment INHOFE to the bill S. 1072, supra; which was to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. ordered to lie on the table. SA 2403. Mr. HOLLINGS submitted an 1072, supra; which was ordered to lie on the SA 2439. Mr. GRAHAM, of Florida sub- amendment intended to be proposed to table. mitted an amendment intended to be pro- amendment SA 2285 proposed by Mr. INHOFE SA 2421. Mr. CARPER submitted an amend- posed to amendment SA 2285 proposed by Mr. to the bill S. 1072, supra; which was ordered ment intended to be proposed to amendment INHOFE to the bill S. 1072, supra; which was to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. ordered to lie on the table. SA 2404. Mr. HOLLINGS submitted an 1072, supra; which was ordered to lie on the SA 2440. Mr. GRAHAM, of Florida sub- amendment intended to be proposed to table. mitted an amendment intended to be pro- amendment SA 2285 proposed by Mr. INHOFE SA 2422. Mr. CARPER submitted an amend- posed to amendment SA 2285 proposed by Mr. to the bill S. 1072, supra; which was ordered ment intended to be proposed to amendment INHOFE to the bill S. 1072, supra; which was to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. ordered to lie on the table. SA 2405. Mr. HOLLINGS submitted an 1072, supra; which was ordered to lie on the SA 2441. Ms. STABENOW (for herself and amendment intended to be proposed to table. Mr. LEVIN) submitted an amendment in- amendment SA 2285 proposed by Mr. INHOFE SA 2423. Mr. CARPER submitted an amend- tended to be proposed to amendment SA 2285 to the bill S. 1072, supra; which was ordered ment intended to be proposed to amendment proposed by Mr. INHOFE to the bill S. 1072, to lie on the table. SA 2285 proposed by Mr. INHOFE to the bill S. supra; which was ordered to lie on the table. SA 2406. Mr. INHOFE submitted an amend- 1072, supra; which was ordered to lie on the SA 2442. Mr. SARBANES (for himself, Ms. ment intended to be proposed to amendment table. MIKULSKI, and Mr. ALLEN) submitted an SA 2285 proposed by Mr. INHOFE to the bill S. SA 2424. Mr. ROCKEFELLER submitted an amendment intended to be proposed by him 1072, supra; which was ordered to lie on the amendment intended to be proposed to to the bill S. 1072, supra; which was ordered table. amendment SA 2285 proposed by Mr. INHOFE to lie on the table.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00067 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1024 CONGRESSIONAL RECORD — SENATE February 11, 2004 SA 2443. Mr. DODD (for himself and Mr. SA 2461. Mr. BYRD submitted an amend- bill S. 1072, supra; which was ordered to lie LIEBERMAN) submitted an amendment in- ment intended to be proposed to amendment on the table. tended to be proposed to amendment SA 2285 SA 2285 proposed by Mr. INHOFE to the bill S. SA 2480. Mrs. LINCOLN (for herself and Mr. proposed by Mr. INHOFE to the bill S. 1072, 1072, supra; which was ordered to lie on the MILLER) submitted an amendment intended supra; which was ordered to lie on the table. table. to be proposed to amendment SA 2285 pro- SA 2444. Mr. DODD (for himself and Mr. SA 2462. Mr. BYRD submitted an amend- posed by Mr. INHOFE to the bill S. 1072, supra; LIEBERMAN) submitted an amendment in- ment intended to be proposed to amendment which was ordered to lie on the table. tended to be proposed by him to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. SA 2481. Mr. CARPER submitted an amend- 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the ment intended to be proposed by him to the table. table. bill S. 1072, supra; which was ordered to lie SA 2445. Mr. DODD (for himself and Mr. SA 2463. Mr. BYRD submitted an amend- on the table. LIEBERMAN) submitted an amendment in- ment intended to be proposed to amendment SA 2482. Mr. TALENT (for himself and Mr. tended to be proposed by him to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. WYDEN) submitted an amendment intended 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the to be proposed by him to the bill S. 1072, table. table. supra; which was ordered to lie on the table. SA 2446. Mr. STEVENS (for himself and SA 2464. Mr. BYRD submitted an amend- SA 2483. Mr. LIEBERMAN submitted an Mr. INOUYE) submitted an amendment in- ment intended to be proposed to amendment amendment intended to be proposed to tended to be proposed to amendment SA 2285 SA 2285 proposed by Mr. INHOFE to the bill S. amendment SA 2285 proposed by Mr. INHOFE proposed by Mr. INHOFE to the bill S. 1072, 1072, supra; which was ordered to lie on the to the bill S. 1072, supra; which was ordered supra; which was ordered to lie on the table. table. to lie on the table. SA 2447. Mr. BURNS submitted an amend- SA 2465. Mr. BYRD submitted an amend- SA 2484. Mr. LIEBERMAN (for himself and ment intended to be proposed to amendment ment intended to be proposed to amendment Mr. DODD) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. tended to be proposed to amendment SA 2285 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the proposed by Mr. INHOFE to the bill S. 1072, table. table. supra; which was ordered to lie on the table. SA 2448. Mr. BURNS submitted an amend- SA 2466. Mr. BYRD submitted an amend- SA 2485. Mr. HOLLINGS submitted an ment intended to be proposed to amendment ment intended to be proposed to amendment amendment intended to be proposed to amendment SA 2285 proposed by Mr. INHOFE SA 2285 proposed by Mr. INHOFE to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the to the bill S. 1072, supra; which was ordered table. table. to lie on the table. SA 2486. Mr. LIEBERMAN (for himself and SA 2449. Mr. BURNS submitted an amend- SA 2467. Mr. BYRD submitted an amend- Mr. DODD) submitted an amendment in- ment intended to be proposed to amendment ment intended to be proposed to amendment tended to be proposed to amendment SA 2285 SA 2285 proposed by Mr. INHOFE to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. proposed by Mr. INHOFE to the bill S. 1072, 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the supra; which was ordered to lie on the table. table. table. SA 2487. Mr. SPECTER submitted an SA 2450. Mr. BURNS submitted an amend- SA 2468. Mr. BYRD submitted an amend- amendment intended to be proposed to ment intended to be proposed to amendment ment intended to be proposed to amendment amendment SA 2285 proposed by Mr. INHOFE SA 2285 proposed by Mr. INHOFE to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the table. to lie on the table. table. SA 2488. Mr. SPECTER submitted an SA 2451. Mr. BURNS submitted an amend- SA 2469. Mr. BOND submitted an amend- amendment intended to be proposed to ment intended to be proposed to amendment ment intended to be proposed to amendment SA 2285 proposed by Mr. INHOFE to the bill S. amendment SA 2285 proposed by Mr. INHOFE SA 2285 proposed by Mr. INHOFE to the bill S. to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the to lie on the table. table. table. SA 2470. Mr. BYRD submitted an amend- SA 2489. Mr. WARNER submitted an SA 2452. Mr. CONRAD submitted an ment intended to be proposed by him to the amendment intended to be proposed to amendment intended to be proposed by him bill S. 1072, supra; which was ordered to lie amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered on the table. to the bill S. 1072, supra; which was ordered to lie on the table. SA 2471. Mr. BYRD submitted an amend- to lie on the table. SA 2453. Mr. LEVIN submitted an amendment intended to be proposed by him to the SA 2490. Mr. WARNER submitted an ment intended to be proposed by him to the bill S. 1072, supra; which was ordered to lie amendment intended to be proposed to bill S. 1072, supra; which was ordered to lie on the table. amendment SA 2285 proposed by Mr. INHOFE on the table. SA 2472. Mr. CHAFEE submitted an amend- to the bill S. 1072, supra; which was ordered SA 2454. Mr. LEVIN (for himself and Ms. ment intended to be proposed to amendment to lie on the table. STABENOW) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2491. Mrs. MURRAY (for herself, Ms. tended to be proposed by him to the bill S. 1072, supra; which was ordered to lie on the COLLINS, Mrs. BOXER, Ms. CANTWELL, Mrs. 1072, supra; which was ordered to lie on the table. CLINTON, Mr. COCHRAN, Mr. CORZINE, Mr. table. SA 2473. Mr. KYL submitted an amend- EDWARDS, Mrs. FEINSTEIN, Mr. KENNEDY, Mr. SA 2455. Mr. BYRD submitted an amendment intended to be proposed by him to the LAUTENBERG, Ms. MIKULSKI, Ms. MURKOWSKI, ment intended to be proposed to amendment bill S. 1072, supra; which was ordered to lie Mr. SCHUMER, Ms. SNOWE, and Mr. STEVENS) SA 2285 proposed by Mr. INHOFE to the bill S. on the table. submitted an amendment intended to be pro- 1072, supra; which was ordered to lie on the SA 2474. Mr. SESSIONS submitted an posed by her to the bill S. 1072, supra; which table. amendment intended to be proposed to was ordered to lie on the table. SA 2456. Mr. BYRD submitted an amend- amendment SA 2285 proposed by Mr. INHOFE SA 2492. Mrs. MURRAY (for herself, Ms. ment intended to be proposed to amendment to the bill S. 1072, supra; which was ordered COLLINS, Mrs. BOXER, Ms. CANTWELL, Mrs. SA 2285 proposed by Mr. INHOFE to the bill S. to lie on the table. CLINTON, Mr. COCHRAN, Mr. CORZINE, Mr. 1072, supra; which was ordered to lie on the SA 2475. Mr. SESSIONS submitted an EDWARDS, Mrs. FEINSTEIN, Mr. KENNEDY, Mr. table. amendment intended to be proposed to LAUTENBERG, Ms. MIKULSKI, Ms. MURKOWSKI, SA 2457. Mr. BYRD submitted an amend- amendment SA 2285 proposed by Mr. INHOFE Mr. SCHUMER, Ms. SNOWE, and Mr. STEVENS) ment intended to be proposed to amendment to the bill S. 1072, supra; which was ordered submitted an amendment intended to be pro- SA 2285 proposed by Mr. INHOFE to the bill S. to lie on the table. posed by her to the bill S. 1072, supra; which 1072, supra; which was ordered to lie on the SA 2476. Mr. SESSIONS submitted an was ordered to lie on the table. table. amendment intended to be proposed to SA 2493. Mr. CARPER submitted an amend- SA 2458. Mr. BYRD submitted an amend- amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed to amendment ment intended to be proposed to amendment to the bill S. 1072, supra; which was ordered SA 2285 proposed by Mr. INHOFE to the bill S. SA 2285 proposed by Mr. INHOFE to the bill S. to lie on the table. 1072, supra; which was ordered to lie on the 1072, supra; which was ordered to lie on the SA 2477. Mr. SESSIONS submitted an table. table. amendment intended to be proposed to SA 2494. Mr. REED submitted an amend- SA 2459. Mr. BYRD submitted an amend- amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed by him to the ment intended to be proposed to amendment to the bill S. 1072, supra; which was ordered bill S. 1072, supra; which was ordered to lie SA 2285 proposed by Mr. INHOFE to the bill S. to lie on the table. on the table. 1072, supra; which was ordered to lie on the SA 2478. Mr. BOND submitted an amend- SA 2495. Mr. LIEBERMAN submitted an table. ment intended to be proposed to amendment amendment intended to be proposed to SA 2460. Mr. BYRD submitted an amend- SA 2285 proposed by Mr. INHOFE to the bill S. amendment SA 2285 proposed by Mr. INHOFE ment intended to be proposed to amendment 1072, supra; which was ordered to lie on the to the bill S. 1072, supra; which was ordered SA 2285 proposed by Mr. INHOFE to the bill S. table. to lie on the table. 1072, supra; which was ordered to lie on the SA 2479. Mr. REED submitted an amend- SA 2496. Mr. LIEBERMAN submitted an table. ment intended to be proposed by him to the amendment intended to be proposed to

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amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered SA 2534. Mr. SHELBY submitted an amend- to the bill S. 1072, supra; which was ordered to lie on the table. ment intended to be proposed by him to the to lie on the table. SA 2516. Mr. MILLER submitted an amend- bill S. 1072, supra; which was ordered to lie SA 2497. Mr. LIEBERMAN (for himself and ment intended to be proposed to amendment on the table. Mr. DODD) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2535. Ms. CANTWELL submitted an tended to be proposed to amendment SA 2285 1072, supra; which was ordered to lie on the amendment intended to be proposed to proposed by Mr. INHOFE to the bill S. 1072, table. amendment SA 2285 proposed by Mr. INHOFE supra; which was ordered to lie on the table. SA 2517. Mr. MILLER submitted an amend- to the bill S. 1072, supra; which was ordered SA 2498. Ms. MURKOWSKI (for herself and ment intended to be proposed to amendment to lie on the table. Mr. STEVENS) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2536. Ms. CANTWELL submitted an tended to be proposed to amendment SA 2285 1072, supra; which was ordered to lie on the amendment intended to be proposed to proposed by Mr. INHOFE to the bill S. 1072, table. amendment SA 2285 proposed by Mr. INHOFE supra; which was ordered to lie on the table. SA 2518. Mr. MILLER submitted an amend- to the bill S. 1072, supra; which was ordered SA 2499. Ms. MURKOWSKI (for herself and ment intended to be proposed to amendment to lie on the table. Mr. STEVENS) submitted an amendment in- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2537. Ms. CANTWELL submitted an tended to be proposed to amendment SA 2285 1072, supra; which was ordered to lie on the amendment intended to be proposed to proposed by Mr. INHOFE to the bill S. 1072, table. amendment SA 2285 proposed by Mr. INHOFE supra; which was ordered to lie on the table. SA 2519. Mr. MILLER submitted an amend- to the bill S. 1072, supra; which was ordered SA 2500. Ms. MURKOWSKI (for herself, Mr. ment intended to be proposed to amendment to lie on the table. INHOFE, Mr. STEVENS, and Mr. CAMPBELL) SA 2285 proposed by Mr. INHOFE to the bill S. SA 2538. Ms. CANTWELL submitted an submitted an amendment intended to be pro- 1072, supra; which was ordered to lie on the amendment intended to be proposed to posed to amendment SA 2285 proposed by Mr. table. amendment SA 2285 proposed by Mr. INHOFE INHOFE to the bill S. 1072, supra; which was SA 2520. Mr. MILLER submitted an amend- to the bill S. 1072, supra; which was ordered ordered to lie on the table. ment intended to be proposed to amendment to lie on the table. SA 2501. Mr. SPECTER submitted an SA 2285 proposed by Mr. INHOFE to the bill S. SA 2539. Ms. CANTWELL submitted an amendment intended to be proposed to 1072, supra; which was ordered to lie on the amendment intended to be proposed to amendment SA 2285 proposed by Mr. INHOFE table. amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered SA 2521. Mr. MILLER submitted an amend- to the bill S. 1072, supra; which was ordered to lie on the table. ment intended to be proposed by him to the to lie on the table. SA 2502. Mr. BOND submitted an amend- bill S. 1072, supra; which was ordered to lie SA 2540. Ms. CANTWELL submitted an ment intended to be proposed by him to the on the table. amendment intended to be proposed to bill S. 1072, supra; which was ordered to lie SA 2522. Mr. KOHL submitted an amend- amendment SA 2285 proposed by Mr. INHOFE on the table. ment intended to be proposed to amendment to the bill S. 1072, supra; which was ordered SA 2503. Mr. BROWNBACK submitted an SA 2285 proposed by Mr. INHOFE to the bill S. to lie on the table. amendment intended to be proposed by him 1072, supra; which was ordered to lie on the SA 2541. Mr. SMITH submitted an amend- to the bill S. 1072, supra; which was ordered table. ment intended to be proposed to amendment to lie on the table. SA 2523. Mr. LEAHY submitted an amend- SA 2285 proposed by Mr. INHOFE to the bill S. SA 2504. Ms. MURKOWSKI submitted an ment intended to be proposed to amendment 1072, supra; which was ordered to lie on the amendment intended to be proposed by her SA 2285 proposed by Mr. INHOFE to the bill S. table. to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the SA 2542. Mr. BAUCUS submitted an amend- to lie on the table. table. ment intended to be proposed by him to the SA 2505. Mr. BUNNING submitted an SA 2524. Mr. LEAHY submitted an amend- bill S. 1072, supra; which was ordered to lie amendment intended to be proposed to ment intended to be proposed to amendment on the table. amendment SA 2285 proposed by Mr. INHOFE SA 2285 proposed by Mr. INHOFE to the bill S. SA 2543. Mr. BAUCUS submitted an amend- to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the ment intended to be proposed by him to the to lie on the table. table. bill S. 1072, supra; which was ordered to lie SA 2506. Mr. BUNNING submitted an SA 2525. Mr. LEAHY submitted an amend- on the table. amendment intended to be proposed to ment intended to be proposed to amendment SA 2544. Mr. BAUCUS submitted an amend- amendment SA 2285 proposed by Mr. INHOFE SA 2285 proposed by Mr. INHOFE to the bill S. ment intended to be proposed by him to the to the bill S. 1072, supra; which was ordered 1072, supra; which was ordered to lie on the bill S. 1072, supra; which was ordered to lie to lie on the table. table. on the table. SA 2507. Mr. PRYOR (for himself and Mrs. SA 2526. Mr. JOHNSON submitted an SA 2545. Mr. BAUCUS submitted an amend- LINCOLN) submitted an amendment intended amendment intended to be proposed to ment intended to be proposed by him to the to be proposed to amendment SA 2285 pro- amendment SA 2285 proposed by Mr. INHOFE bill S. 1072, supra; which was ordered to lie posed by Mr. INHOFE to the bill S. 1072, supra; to the bill S. 1072, supra; which was ordered on the table. which was ordered to lie on the table. to lie on the table. SA 2546. Mr. BAUCUS submitted an amend- SA 2508. Mr. SMITH submitted an amend- SA 2527. Mr. HOLLINGS submitted an ment intended to be proposed by him to the ment intended to be proposed by him to the amendment intended to be proposed to bill S. 1072, supra; which was ordered to lie bill S. 1072, supra; which was ordered to lie amendment SA 2285 proposed by Mr. INHOFE on the table. on the table. to the bill S. 1072, supra; which was ordered SA 2547. Mr. BAUCUS submitted an amend- SA 2509. Mr. SMITH submitted an amend- to lie on the table. ment intended to be proposed by him to the ment intended to be proposed by him to the SA 2528. Mr. HOLLINGS submitted an bill S. 1072, supra; which was ordered to lie bill S. 1072, supra; which was ordered to lie amendment intended to be proposed to on the table. on the table. amendment SA 2285 proposed by Mr. INHOFE SA 2548. Mr. BAUCUS submitted an amend- SA 2510. Mr. GRAHAM, of Florida (for him- to the bill S. 1072, supra; which was ordered ment intended to be proposed by him to the self and Mr. NELSON, of Florida) submitted to lie on the table. bill S. 1072, supra; which was ordered to lie an amendment intended to be proposed by SA 2529. Mr. HOLLINGS submitted an on the table. him to the bill S. 1072, supra; which was or- amendment intended to be proposed to SA 2549. Mr. GRASSLEY (for himself and dered to lie on the table. amendment SA 2285 proposed by Mr. INHOFE Mr. BAUCUS) submitted an amendment in- SA 2511. Mr. DASCHLE submitted an to the bill S. 1072, supra; which was ordered tended to be proposed by him to the bill S. amendment intended to be proposed to to lie on the table. 1072, supra; which was ordered to lie on the amendment SA 2285 proposed by Mr. INHOFE SA 2530. Mr. HOLLINGS submitted an table. to the bill S. 1072, supra; which was ordered amendment intended to be proposed by him SA 2550. Mr. THOMAS submitted an to lie on the table. to the bill S. 1072, supra; which was ordered amendment intended to be proposed to SA 2512. Mr. FEINGOLD submitted an to lie on the table. amendment SA 2285 proposed by Mr. INHOFE amendment intended to be proposed by him SA 2531. Mr. CRAPO (for himself, Mr. to the bill S. 1072, supra; which was ordered to the bill S. 1072, supra; which was ordered THOMAS, and Mr. ENZI) submitted an amend- to lie on the table. to lie on the table. ment intended to be proposed to amendment SA 2551. Mr. SESSIONS submitted an SA 2513. Mr. BROWNBACK submitted an SA 2285 proposed by Mr. INHOFE to the bill S. amendment intended to be proposed to amendment intended to be proposed by him 1072, supra; which was ordered to lie on the amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, supra; which was ordered table. to the bill S. 1072, supra; which was ordered to lie on the table. SA 2532. Mr. SHELBY submitted an amend- to lie on the table. SA 2514. Mr. GRASSLEY (for himself and ment intended to be proposed by him to the SA 2552. Mr. WYDEN (for himself and Mr. Mr. BAUCUS) submitted an amendment in- bill S. 1072, supra; which was ordered to lie TALENT) submitted an amendment intended tended to be proposed by him to the bill S. on the table. to be proposed to amendment SA 2341 sub- 1072, supra; which was ordered to lie on the SA 2533. Mr. SHELBY submitted an amend- mitted by Mr. TALENT (for himself and Mr. table. ment intended to be proposed by him to the WYDEN) and intended to be proposed to the SA 2515. Mr. KENNEDY submitted an bill S. 1072, supra; which was ordered to lie bill S. 1072, supra; which was ordered to lie amendment intended to be proposed by him on the table. on the table.

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SA 2553. Mr. WYDEN (for himself and Mr. ‘‘(xviii) if the State in which the lanes are ‘‘(1) IN GENERAL.—The Secretary shall TALENT) submitted an amendment intended located certifies to the Secretary that the carry out a program for construction of ferry to be proposed to amendment SA 2340 sub- upgrading of the lanes will provide a safety boats and ferry terminal and maintenance mitted by Mr. TALENT (for himself, Mr. benefit, upgrading to 4 lanes portions of facilities in accordance with section 129(c). WYDEN, Mr. CORZINE , and Mr. COLEMAN) and rural, 2-lane highways that have high acci- ‘‘(2) FEDERAL SHARE.—The Federal share of intended to be proposed to the bill S. 1072, dent rates and that are on— the cost of construction of ferry boats and supra; which was ordered to lie on the table. ‘‘(I) the National Highway System; or ferry terminals and maintenance facilities SA 2554. Mrs. BOXER submitted an amend- ‘‘(II) a high priority corridor identified under this subsection shall be 80 percent. ment intended to be proposed by her to the under section 1105(c) of the Intermodal Sur- ‘‘(3) ALLOCATION OF FUNDS.—The Secretary bill S. 1072, supra; which was ordered to lie face Transportation Efficiency Act of 1991 shall give priority in the allocation of funds on the table. (105 Stat. 2032). under this subsection to those ferry systems, SA 2555. Mrs. BOXER submitted an amend- and public entities responsible for developing ment intended to be proposed by her to the SA 2297. Mr. BINGAMAN (for him- ferries, that— bill S. 1072, supra; which was ordered to lie self, Mr. ROBERTS, and Mr. DOMENICI) ‘‘(A) carry the greatest number of pas- on the table. submitted an amendment intended to sengers and vehicles; SA 2556. Mr. KOHL submitted an amend- ‘‘(B) carry the greatest number of pas- ment intended to be proposed to amendment be proposed by him to the bill S. 1072, to authorize funds for Federal-aid high- sengers in passenger-only service; or SA 2302 submitted by Mr. BAYH (for himself, ‘‘(C) provide critical access to areas that Mr. DURBIN, Mr. LUGAR, Mr. KOHL, and Mr. ways, highway safety programs, and are not well-served by other modes of surface FITZGERALD) and intended to be proposed to transit programs, and for other pur- transportation. the bill S. 1072, supra; which was ordered to poses; which was ordered to lie on the ‘‘(c) FERRY JOINT PROGRAM OFFICE.— lie on the table. table; as follows: ‘‘(1) ESTABLISHMENT.—The Secretary shall SA 2557. Ms. STABENOW (for herself and At the appropriate place, insert the fol- establish an office, to be known as the ‘Ferry EVIN) submitted an amendment in- Mr. L Joint Program Office’— tended to be proposed to amendment SA 2441 lowing: ‘‘(A) to coordinate Federal programs af- submitted by Ms. STABENOW (for herself and SEC. ll. SOUTHWEST PASSAGE INITIATIVE FOR REGIONAL AND INTERSTATE TRANS- fecting ferry boat and ferry facility con- Mr. LEVIN) and intended to be proposed to PORTATION. struction, maintenance, and operations; and the amendment SA 2285 proposed by Mr. Section 1105(c) of the Intermodal Surface ‘‘(B) to promote ferry service as a compo- INHOFE to the bill S. 1072, supra; which was Transportation Efficiency Act of 1991 (105 nent of the transportation system of the ordered to lie on the table. Stat. 2032) is amended by adding at the end United States. f the following: ‘‘(2) RESPONSIBILITIES.—The Office shall— TEXT OF AMENDMENTS ‘‘(45) The corridor extending from the point ‘‘(A) coordinate ferry and ferry-related pro- on the border between the United States and grams (including policy)— SA 2297. Mr. SESSIONS submitted an Mexico in the State of Texas at which United ‘‘(i) within the Department of Transpor- amendment intended to be proposed to States Route 54 begins, along United States tation (including the Federal Highway Ad- amendment SA 2285 proposed by Mr. Route 54 through the States of Texas, New ministration, the Federal Transit Adminis- INHOFE to the bill S. 1072, to authorize Mexico, Oklahoma, and Kansas, and ending tration, the Maritime Administration, and funds for Federal-aid highways, high- in Wichita, Kansas, to be known as the the Bureau of Transportation Statistics); way safety programs, and transit pro- ‘Southwest Passage Initiative for Regional and ‘‘(ii) with the Department of Homeland Se- grams, and for other purposes; which and Interstate Transportation Corridor’ or ‘SPIRIT Corridor’.’’. curity and other Federal and State agencies, was ordered to lie on the table; as fol- as appropriate; and lows: SA 2301. Mrs. MURRAY (for herself ‘‘(B) with respect to the administration of At the appropriate place, insert the fol- and Ms. COLLINS, Mrs. BOXER, Ms. ferry and ferry-related programs— lowing: CANTWELL, Mrs. CLINTON, Mr. COCHRAN, ‘‘(i) ensure resource accountability; SEC. ll. LIMITATION ON THE APPLICATION OF ‘‘(ii) provide strategic leadership for ferry Mr. CORZINE, Mr. EDWARDS, Mr. KEN- THE DAVIS-BACON ACT. research, development, testing, and deploy- The provisions of subchapter IV of chapter NEDY, Ms. MIKULSKI, Ms. MURKOWSKI, ment; and 31 of title 40, United States Code (40 U.S.C. Mr. SCHUMER, Ms. SNOWE, and Mr. STE- ‘‘(iii) promote ferry transportation as a 3141 et seq.), commonly known as the Davis- VENS) submitted an amendment in- means to reduce social, economic, and envi- Bacon Act, shall not apply to projects that tended to be proposed to amendment ronmental costs associated with traffic con- receive funding under this Act (or an amend- SA 2285 proposed by Mr. INHOFE to the gestion. ment made by this Act). bill S. 1072, to authorize funds for Fed- ‘‘(d) NATIONAL FERRY DATABASE.— ‘‘(1) IN GENERAL.—Using the results of the SA 2298. Mr. BINGAMAN submitted eral-aid highways, highway safety programs, and transit programs, and for study under section 1207(c) of the Transpor- an amendment intended to be proposed tation Equity Act for the 21st Century (23 to amendment SA 2285 proposed by Mr. other purposes; which was ordered to U.S.C. 129 note; 112 Stat. 185), the Secretary lie on the table; as follows: INHOFE to the bill S. 1072, to authorize shall— funds for Federal-aid highways, high- On page 39, line 1, strike ‘‘$2,000,000,000’’ ‘‘(A) maintain a national ferry database, way safety programs, and transit pro- and insert ‘‘$1,328,000,000’’. which shall contain current information re- On page 39, line 6, strike ‘‘$38,000,000’’ and grams, and for other purposes; which garding— insert ‘‘$150,000,000’’. ‘‘(i) ferry systems, routes, and vessels; was ordered to lie on the table; as fol- Beginning on page 80, strike line 7 and all ‘‘(ii) passengers and vehicles carried; lows: that follows through page 81, line 3, and in- ‘‘(iii) funding sources; and In the blank in the appropriate clause in sert the following: ‘‘(iv) such other matters as the Secretary section 510(a)(4)(B) of title 23, United States SEC. 1204. CONSTRUCTION OF FERRY BOATS AND determines to be appropriate; and Code (as added by section 2101(a)), insert FERRY TERMINAL AND MAINTE- ‘‘(B) in accordance with paragraph (2), up- ‘‘the Southwest Bridge Research Center, NANCE FACILITIES; COORDINATION date the database and results of the study, as comprising New Mexico State University and OF FERRY CONSTRUCTION, MAINTE- appropriate. NANCE, AND OPERATION. the Oklahoma Transportation Center’’. ‘‘(2) UPDATED DATABASE.—The Secretary (a) IN GENERAL.—Section 147 of title 23, shall update the national ferry database— SA 2299. Mr. BINGAMAN (for himself United States Code, is amended to read as ‘‘(A) with respect to the initial updated and Mr. CRAIG) submitted an amend- follows: version, not later than 1 year after the date ment intended to be proposed by him ‘‘§ 147. Construction of ferry boats and ferry of enactment of the Safe, Accountable, to the bill S. 1072, to authorize funds terminal and maintenance facilities; coordi- Flexible, and Efficient Transportation Eq- for Federal-aid highways, highway nation of ferry construction, maintenance, uity Act of 2003; and safety programs, and transit programs, and operation ‘‘(B) with respect to subsequent updated and for other purposes; which was or- ‘‘(a) DEFINITIONS.—In this section: versions, every 2 years thereafter. ‘‘(1) INSTITUTE.—The term ‘Institute’ ‘‘(3) PUBLIC ACCESSIBILITY.—The Secretary dered to lie on the table; as follows: means the National Ferry Transportation In- shall ensure that the national ferry database On page 733, strike lines 6 through 10 and stitute established under subsection (d). is easily accessible to the public. insert the following: ‘‘(2) OFFICE.—The term ‘Office’ means the ‘‘(e) NATIONAL FERRY TRANSPORTATION IN- wildlife; Ferry Joint Program Office established STITUTE.— ‘‘(xvii) installation and maintenance of under subsection (c). ‘‘(1) ESTABLISHMENT.—Not later than 1 year signs (including fluorescent, yellow-green ‘‘(b) CONSTRUCTION OF FERRY BOATS AND after the date of enactment of the Safe, Ac- signs) at pedestrian-bicycle crossings and in FERRY TERMINAL AND MAINTENANCE FACILI- countable, Flexible, and Efficient Transpor- school zones; or TIES.— tation Equity Act of 2003, the Secretary shall

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Construction of ferry boats and ferry agency acting, permitting, or approving develop and administer the Institute in co- terminal and maintenance fa- under, or otherwise applying, Federal law operation with— cilities.’’. with respect to a project shall adopt the determination of purpose and need for the ‘‘(A) the Department of Transportation; (3) Section 1064 of the Intermodal Surface project made by the lead agency. ‘‘(B) State transportation departments and Transportation Efficiency Act of 1991 (105 ‘‘(B) CONFLICT.— State agencies; Stat. 2005) is repealed. ‘‘(C) public ferry transportation authori- ‘‘(i) IN GENERAL.—In the case of a conflict ties; SA 2302. Mr. BAYH (for himself, Mr. described in clause (ii), the Governor of a ‘‘(D) private ferry operators; State, the lead agency, the project sponsor, DURBIN, Mr. LUGAR, Mr. KOHL, and Mr. ‘‘(E) ferry boat builders; or the cooperating agency shall promptly ‘‘(F) ferry employees; FITZGERALD) submitted an amendment convene a meeting with representatives of ‘‘(G) other institutions of higher edu- intended to be proposed by him to the the relevant cooperating agencies, the lead cation; and bill S. 1072, to authorize funds for Fed- agency, the project sponsor, and the Gov- ‘‘(H) research institutes. eral-aid highways, highway safety pro- ernor to resolve the conflict. ‘‘(3) FUNCTIONS.—The Institute shall— grams, and transit programs, and for ‘‘(ii) CONFLICT SITUATIONS.—A conflict in ‘‘(A) conduct research and recommend de- other purposes; which was ordered to clause (i) is a situation in which— ‘‘(I) after the cooperating agency has com- velopment activities on methods of improv- lie on the table; as follows: ing ferry transportation programs in the mented, a conflict arises between a cooper- At the appropriate place, insert the fol- United States, including methods of reducing ating agency and the lead agency regarding lowing: wake and providing alternative propulsion; the objectives in the statement of purpose of, ‘‘(B) develop and conduct training pro- SEC. ll. ADJUSTMENT OF EQUITY BONUS PRO- and need for, a project; and GRAM TO REFLECT TAX PAYMENTS ‘‘(II) the cooperating agency demonstrates grams for ferry system employees, Federal RELATING TO ETHANOL. employees, and other individuals, as appro- that the ability of the cooperating agency to (a) IN GENERAL.—Subsection (d) of section enforce a law (including a regulation) would priate, on recent developments, techniques, 105 of title 23, United States Code, (as and procedures pertaining to the construc- be impaired if the objectives were not modi- amended by section 1104) is amended to read fied. tion and operation of ferries; as follows: ‘‘(C) encourage and assist collaborative ef- ‘‘(5) SAVINGS.—Nothing in this subsection ‘‘(d) LIMITATION ON ADJUSTMENTS.— preempts or interferes with any power, juris- forts by public and private entities to pre- ‘‘(1) IN GENERAL.—Except as provided in serve, improve, and expand the use of ferries diction, responsibility, or authority of an paragraphs (2) and (3) of subsection (c), no agency under applicable law (including regu- as a mode of transportation; and State shall receive, for any fiscal year, addi- ‘‘(D) preserve, use, and display historical lations) with respect to a project. tional amounts under subsection (a)(1) if— ‘‘(6) CONTENTS.— information about the use of ferries in the ‘‘(A) the total apportionments of the State ‘‘(A) IN GENERAL.—The statement of pur- United States and in foreign countries. for the fiscal year for the programs specified pose and need shall include a clear statement ‘‘(4) LOCATION.—In selecting the location in subsection (a)(2); exceeds of the objectives that the proposed project is for the Institute, the Secretary shall con- ‘‘(B) the sum of— intended to achieve. sider, with respect to the region in which the ‘‘(i) the percentage of the average, for the ‘‘(B) EFFECT ON EXISTING STANDARDS.— Institute is to be located— period of fiscal years 1998 through 2003, of the Nothing in this subsection shall alter exist- ‘‘(A) the importance of public and private annual apportionments of the State for all ing standards for defining the purpose and ferries to the transportation system of the programs specified in subsection (b)(2), as need of a project. region, including both regional travel and specified in paragraph (2); and ‘‘(7) FACTORS TO CONSIDER.—The lead agen- long-range travel and service to isolated ‘‘(ii) an amount which is equivalent to— cy shall ensure that the following factors communities; ‘‘(I) the amount equal to the number of and documents are considered in deter- ‘‘(B) the historical importance of ferry gallons of gasohol sold within the State dur- mining the purpose of, and need for, a transportation to the region; ing fiscal years 1996 through 2001 multiplied project: ‘‘(C) the history and diversity of the mari- by the excess of the tax rate applicable for a ‘‘(A) Transportation plans and related time community of the region, including gallon of gasoline over the tax rate applica- planning documents developed through the ferry construction and repair and other ship- ble for a gallon of gasohol for such years; statewide and metropolitan transportation building activities; plus planning process under sections 134 and 135. ‘‘(D) the anticipated growth of ferry serv- ‘‘(II) an amount equal to the number of ‘‘(B) Land use plans adopted by units of ice and ferry boat building in the region; gallons of gasohol sold within the State dur- State, local, or tribal government (or, in the ‘‘(E) the availability of public-private col- ing fiscal years 1996 through 2001 multiplied case of Federal land, by the applicable Fed- laboration in the region; and by the amount of the tax rate applicable to eral land management agencies). ‘‘(F) the presence of nationally recognized a gallon of gasohol which is not deposited ‘‘(C) Economic development plans adopted research colleges and universities in the re- into the Highway Trust Fund with respect to by— gion. each such year. ‘‘(i) units of State, local, or tribal govern- ‘‘(5) REPORT.—Not later than 1 year after ‘‘(2) PERCENTAGES.—The percentages re- ment; or the date of enactment of the Safe, Account- ferred to in paragraph (1)(B)(i) are— ‘‘(ii) established economic development able, Flexible, and Efficient Transportation ‘‘(A) for fiscal year 2004, 120 percent; planning organizations or authorities. Equity Act of 2003, and annually thereafter, ‘‘(B) for fiscal year 2005, 130 percent; ‘‘(D) Environmental protection plans, in- the Secretary shall submit to Congress a re- ‘‘(C) for fiscal year 2006, 134 percent; cluding plans for the protection or treatment port that describes the activities of the In- ‘‘(D) for fiscal year 2007, 137 percent; of— stitute under, and the progress in carrying ‘‘(E) for fiscal year 2008, 145 percent; and ‘‘(i) air quality; out, this section. ‘‘(F) for fiscal year 2009, 250 percent.’’. ‘‘(ii) water quality and runoff; ‘‘(6) FUNDING.—The Secretary may author- (b) EFFECTIVE DATE.—The amendment ‘‘(iii) habitat needs of plants and animals; ize the acceptance and expenditure of fund- made by this section shall apply as if made ‘‘(iv) threatened and endangered species; ing provided to the Institute by public and by section 1104 of this Act. ‘‘(v) invasive species; private entities. ‘‘(vi) historic properties; and ‘‘(f) SET-ASIDE.—Of the amounts made SA 2303. Mr. LAUTENBERG sub- ‘‘(vii) other environmental resources. available under section 1101(a)(14) of the mitted an amendment intended to be ‘‘(E) Any publicly available plans or poli- Safe, Accountable, Flexible, and Efficient proposed to amendment SA 2285 pro- cies relating to the national defense, na- Transportation Equity Act of 2003, posed by Mr. INHOFE to the bill S. 1072, tional security, or foreign policy of the $112,000,000 for each of fiscal years 2004 to authorize funds for Federal-aid high- United States. through 2009 shall be made available to carry ways, highway safety programs, and ‘‘(g) DEVELOPMENT OF PROJECT ALTER- out this section.’’. NATIVES.— transit programs, and for other pur- (b) CONFORMING AMENDMENTS.— ‘‘(1) IN GENERAL.—With respect to the envi- (1) Section 129(c) of title 23, United States poses; which was ordered to lie on the ronmental review process for a project, the Code, is amended— table; as follows: alternatives shall be determined in accord- (A) in the matter preceding paragraph (1), Beginning on page 175, strike line 18 and ance with this subsection. by inserting ‘‘and maintenance’’ after ‘‘ter- all that follows through page 179, line 13, and ‘‘(2) AUTHORITY.—The lead agency shall de- minal’’; and insert the following: termine the alternatives to be considered for (B) in paragraph (3), by inserting ‘‘or main- ‘‘(4) EFFECT ON OTHER REVIEWS.— a project. tenance’’ after ‘‘terminal’’ each place it ap- ‘‘(A) IN GENERAL.—For the purpose of com- ‘‘(3) INVOLVEMENT OF COOPERATING AGEN- pears. pliance with the National Environmental CIES AND THE PUBLIC.—

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‘‘(A) IN GENERAL.—Before determining the nance costs of intelligent transportation sys- ‘‘(ii) is convicted of driving while intoxi- alternatives for a project, the lead agency tem (ITS) projects, in the New Jersey/New cated or driving under the influence with a shall solicit for 30 days and consider any rel- York/Connecticut metropolitan region. blood alcohol concentration of 0.15 percent evant comments on the proposed alter- These ITS projects shall also assist the pub- or greater; or natives received from the public and cooper- lic safety community by providing com- ‘‘(iii) is convicted of a driving-while-sus- ating agencies. prehensive transportation for responding to pended offense if the suspension was the re- ‘‘(B) ALTERNATIVES.—The lead agency shall major regional incidents and by supporting sult of a conviction for driving under the in- consider— evacuation planning for natural and man- fluence.’’; ‘‘(i) alternatives that meet the objectives made emergencies. (2) by adding at the end of subsection (a) in the purpose and need statement for the the following: project; SA 2305. Mr. LAUTENBERG (for him- ‘‘(6) SPECIAL DUI/DWI FACILITY.—The term ‘special DUI/DWI facility’ means a facility ‘‘(ii) alternatives that satisfy most of the self, Mr. DEWINE, Mr. DORGAN, and Mr. that houses and treats offenders arrested for objectives in the purpose and need statement CORZINE) submitted an amendment infor the project but that are more protective driving while impaired and allows such of- tended to be proposed to amendment fenders to work or attend school. of public health and the environment than SA 2285 proposed by Mr. INHOFE to the ‘‘(7) VICTIM IMPACT PANEL.—The term ‘vic- other alternatives; and bill S. 1072, to authorize funds for Fed- tim impact panel’ means a group of impaired ‘‘(iii) the alternative of no action. driving victims who speak to offenders about ‘‘(C) EFFECT ON EXISTING STANDARDS.— eral-aid highways, highway safety programs, and transit programs, and for impaired driving for the purpose of trying to Nothing in this subsection shall alter the exchange attitudes and behaviors in order to isting standards for determining the range of other purposes; which was ordered to deter impaired driving recidivism,’’; and alternatives. lie on the table; as follows: (3) by striking subsection (b) and inserting ‘‘(4) EFFECT ON OTHER REVIEWS.— On page 137, strike line 10 and insert the the following: ‘‘(A) IN GENERAL.—Any other agency acting following: ‘‘(b) IMPOSITION OF HIGHER-RISK IMPAIRED under or applying Federal law with respect SEC. 1403. HIGHER-RISK IMPAIRED DRIVERS. DRIVING LAW REQUIREMENT.— to a project shall consider only the alter- ‘‘(1) IN GENERAL.—Notwithstanding any On page 137, line 11, insert ‘‘(a) LICENSE natives determined by the lead agency. provision of section 104 to the contrary, as a SUSPENSION DEFINITION.—’’ before ‘‘Section’’. ‘‘(B) CONFLICT.— On page 138, between lines 2 and 3, insert condition of receiving the full amount of ‘‘(i) IN GENERAL.—In the case of a conflict the following: funds apportioned to a State under para- described in clause (ii), the Governor of a graphs (1), (3), and (4) of section 104(b), a (b) OTHER DEFINITIONS.—Section 164 of title State, the lead agency, the project sponsor, 23, United States Code, is further amended— State shall enact and enforce a higher-risk or the cooperating agency shall promptly (1) by striking subsection (a)(5) and insert- impaired driver law. convene a meeting with representatives of ‘‘(2) ENFORCEMENT BY WITHHOLDING ing the following: the relevant cooperating agencies, the lead FUNDS.—On October 1st of the following fis- ‘‘(5) HIGHER-RISK IMPAIRED DRIVER LAW.— agency, the project sponsor, and the Gov- cal years, the Secretary shall withhold the ‘‘(A) IN GENERAL.—The term ‘higher-risk ernor to resolve the conflict. impaired driver law’ means a State law that applicable percentage of the amount re- ‘‘(ii) CONFLICT SITUATIONS.—A conflict in provides, as a minimum penalty, that an in- quired to be apportioned for Federal-aid clause (i) is a situation in which— dividual described in subparagraph (B) highways to a State on that date under each ‘‘(I) after the cooperating agency has com- shall— of paragraphs (1), (3), and (4) of section 104(b) mented, a conflict arises between a cooper- ‘‘(i) receive a driver’s license suspension if the State has not enacted or is not enforc- ating agency and the lead agency regarding for not less than 1 year; ing a higher-risk impaired driver law: ‘‘(A) For fiscal year 2008, the applicable the objectives in the statement of purpose of, ‘‘(ii) have the motor vehicle driven at the percentage is 2 percent. and need for, a project; and time of arrest impounded or immobilized for ‘‘(II) the cooperating agency demonstrates ‘‘(B) For fiscal year 2009, the applicable not less than 90 days and for the remainder percentage is 4 percent. that the ability of the cooperating agency to of the license suspension period require the enforce a law (including a regulation) would ‘‘(C) For fiscal year 2010, the applicable installation of a certified alcohol ignition percentage is 6 percent. be impaired if the objectives were not modi- interlock device on the vehicle; fied. ‘‘(D) For fiscal year 2011, the applicable ‘‘(iii) be subject to an assessment by a cer- percentage is 8 percent.’’. ‘‘(5) SAVINGS.—Nothing in this subsection tified substance abuse official of the State preempts or interferes with any power, juris- that assesses the individual’s degree of abuse SA 2306. Mr. LAUTENBERG (for him- diction, responsibility, or authority of an of alcohol and assigned to a treatment pro- self, Mr. DEWINE, and Mr. CORZINE) agency under applicable law (including regu- gram or impaired driving education program lations) with respect to a project. submitted an amendment intended to as determined by the assessment; be proposed to amendment SA 2285 pro- ‘‘(6) FACTORS TO CONSIDER.—The lead agen- ‘‘(iv) be imprisoned for not less than 10 cy shall ensure that the following factors days, have an electronic monitoring device posed by Mr. INHOFE to the bill S. 1072, and documents are considered in deter- for not less than 100 days, or be assigned to to authorize funds for Federal-aid high- mining the purpose of, and need for, a a DUI/DWI specialty facility for not less ways, highway safety programs, and project: than 30 days; transit programs, and for other pur- ‘‘(v) be fined a minimum of $1,000, with the poses; which was ordered to lie on the SA 2304. Mr. LAUTENBERG sub- proceeds of such funds to be used by the table; as follows: mitted an amendment intended to be State or local jurisdiction for impaired driv- proposed to amendment SA 2285 pro- At the appropriate place, insert the fol- ing related prevention, enforcement, and lowing: posed by Mr. INHOFE to the bill S. 1072, prosecution programs, or for the develop- SEC. ll. TERMINATION OF DETERMINATIONS to authorize funds for Federal-aid high- ment or maintenance of a tracking system of OF GRANDFATHER RIGHTS. ways, highway safety programs, and offenders driving while impaired; (a) IN GENERAL.—Section 127 of title 23, transit programs, and for other pur- ‘‘(vi) if the arrest resulted from involve- United States Code, is amended by adding at poses; which was ordered to lie on the ment in a crash, pay court-mandated restitu- the end the following: tion to the victims of the crash; table; as follows: ‘‘(h) GRANDFATHER RIGHTS.— ‘‘(vii) be placed on probation by the court ‘‘(1) GENERAL RULE.—After the 270th day At the appropriate place, insert the fol- for a period of not less than 2 years; following the date of enactment of this sub- lowing new section: ‘‘(viii) if diagnosed with a substance abuse section, a State may not allow, on a segment SEC. . MULTI-STATE INTELLIGENT TRANSPOR- problem, during the first year of the proba- of the Interstate System, the operation of a TATION SYSTEM OPERATIONS. tion period referred to in clause (vii), attend vehicle or combination (other than a longer (a) IN GENERAL.—The Secretary shall en- a treatment program for a period of 12 con- combination vehicle) exceeding an Interstate courage regional operating organizations, in secutive months sponsored by a State cer- weight limit unless the operation is specified multi-state, metropolitan areas having mul- tified substance abuse treatment agency and on the list published under paragraph (2). tiple metropolitan planning organizations, meet with a case manager at least once each ‘‘(2) LIST OF VEHICLES AND COMBINATIONS.— to promote regional coordination and co- month; and ‘‘(A) PROCEEDING.—Not later than 60 days operation in the efficient, safe, and secure ‘‘(ix) be required by the court to attend a after the date of enactment of this sub- operation of regional transportation sys- victim impact panel, if such a panel is avail- section, the Secretary shall initiate a pro- tems; and, to implement these regional pro- able. ceeding to determine and publish a list of ve- grams in a manner consistent with the needs ‘‘(B) INDIVIDUALS TO WHOM PENALTIES hicles and combinations (other than longer of the public safety community. APPLY.—An individual is described in this combination vehicles), otherwise exceeding (b) TRANSCOM’S INTELLIGENT TRANSPOR- subparagraph if that individual— an Interstate weight limit, that the Depart- TATION SYSTEM PROJECTS.—The Secretary ‘‘(i) is convicted of a second or subsequent ment of Transportation, any other Federal shall make annual grants of $9 million to offense for driving while intoxicated or driv- agency, or a State has determined on or be- TRANSCOM for funding the capital costs as ing under the influence within a minimum of fore June 1, 2003, could be lawfully operated well as the annual operations and mainte- 10 consecutive years; within such State—

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‘‘(i) on July 1, 1956; lations setting forth the determination of ‘‘(b) LISTING OF VEHICLES AND COMBINA- ‘‘(ii) in the case of the overall gross weight the Secretary made under paragraph (1). The TIONS.— of any group of 2 or more consecutive axles, Secretary shall update the regulations as ‘‘(1) IN GENERAL.—The Secretary shall ini- on the date of enactment of the Federal-Aid necessary. tiate a proceeding to determine and publish Highway Amendments of 1974; or ‘‘(4) APPLICABILITY.—Regulations issued a list of vehicles and combinations (other ‘‘(iii) under a special rule applicable to a under paragraph (2) shall apply to all vehi- than longer combination vehicles), otherwise State under subsection (a). cles and loads operating on the National exceeding an Interstate weight limit, that ‘‘(B) LIMITATIONS.— Highway System. could be lawfully operated on a non-Inter- ‘‘(i) ACTUAL AND LAWFUL OPERATIONS RE- ‘‘(5) STATE REQUIREMENTS.—A State may state segment of the National Highway Sys- QUIRED.—An operation of a vehicle or com- establish any requirement that is not incon- tem on June 1, 2003. bination may be included on the list pub- sistent with regulations issued under para- ‘‘(2) REQUIREMENTS.—In publishing a list of lished under subparagraph (A) only if the ve- graph (2). vehicles and combinations under paragraph (1), the Secretary shall identify— hicle or combination was in actual and law- ‘‘(6) STATEMENT OF POLICY.—The purpose of ‘‘(A) the gross vehicle weight limitations ful operation in the State on a regular or this subsection is to promote conformity with Interstate weight limits to preserve and axle loading limitations in each State periodic basis on or before June 1, 2003. applicable, on June 1, 2003, to vehicles and ‘‘(ii) STATE AUTHORITY NOT SUFFICIENT.—An publicly funded infrastructure and protect motorists by limiting maximum vehicle combinations (other than longer combina- operation of a vehicle or combination may tion vehicles) on non-Interstate segments of not be included on the list published under weight on key portions of the Federal-aid highway system.’’. the National Highway System; and subparagraph (A) on the basis that a State ‘‘(B) operations of vehicles and combina- law or regulation could have authorized the SEC. ll. WAIVERS OF WEIGHT LIMITATIONS tions (other than longer combination vehi- DURING PERIODS OF NATIONAL operation of the vehicle or combination at cles), exceeding State gross vehicle weight some prior date by permit or otherwise. EMERGENCY. Section 127 of title 23, United States Code, limitations and axle loading limitations ‘‘(C) PUBLICATION OF FINAL LIST.—Not later is further amended by adding at the end the identified under subparagraph (A), which than 270 days after the date of enactment of were in actual and lawful operation on a reg- following: this subsection, the Secretary shall publish a ular or periodic basis (including seasonal op- ‘‘(j) WAIVERS DURING PERIODS OF NATIONAL final list of vehicles and combinations de- erations) on June 1, 2003. EMERGENCY.— scribed in subparagraph (A). ‘‘(3) LIMITATION.—An operation of a vehicle ‘‘(1) IN GENERAL.—Notwithstanding any or combination may not be included on the ‘‘(3) LIMITATION ON STATUTORY CONSTRUC- other provision of this section or section 126, list published under paragraph (1) on the TION.—This subsection does not prevent a the Secretary, in consultation with the Sec- basis that a State law or regulation could State from reducing the gross vehicle weight retary of Defense, may waive or limit the ap- have authorized such operation at some prior limitation, the single and tandem axle plication of any vehicle weight limit estab- date by permit or otherwise. weight limitations, or the overall maximum lished under this section or section 126 with gross weight on a group of 2 or more con- ‘‘(4) PUBLICATION OF FINAL LIST.—Not later respect to a highway route during a period of than 270 days after the date of enactment of secutive axles applicable to portions of the national emergency in order to respond to Interstate System in the State for oper- this section, the Secretary shall publish a the effects of the national emergency. final list of vehicles and combinations de- ations on the list published under paragraph ‘‘(2) APPLICABILITY.—Emergency limits es- (2)(C) but in no event may any such reduc- scribed in paragraph (1). tablished under paragraph (1) shall preempt ‘‘(5) UPDATES.—The Secretary shall update tion result in a limitation that is less than any inconsistent State vehicle weight lim- an Interstate weight limit. the list published under paragraph (1) as nec- its.’’. essary to reflect new designations made to ‘‘(4) APPLICABILITY OF EXISTING REQUIRE- SEC. ll. VEHICLE WEIGHT LIMITATIONS—NA- the National Highway System. MENTS.—All vehicles and combinations in- TIONAL HIGHWAY SYSTEM. ‘‘(c) APPLICABILITY OF LIMITATIONS.—The cluded on the list published under paragraph (a) IN GENERAL.—Title 23, United States limitations established by subsection (a) (2) shall be subject to all routing-specific, Code, is amended by inserting after section shall apply to any new designation made to commodity-specific, and weight-specific des- 125 the following: the National Highway System and remain in ignations in force in a State on June 1, 2003. ‘‘§ 126. Vehicle weight limitations—National effect on those non-Interstate highways that ‘‘(5) INTERSTATE WEIGHT LIMIT DEFINED.—In Highway System cease to be designated as part of the Na- this subsection, the term ‘Interstate weight tional Highway System. limit’ means the 80,000 pound gross vehicle ‘‘(a) NON-INTERSTATE HIGHWAYS ON NHS.— ‘‘(1) IN GENERAL.—After the 270th day fol- ‘‘(d) LIMITATIONS ON STATUTORY CONSTRUC- weight limitation, the 20,000 pound single lowing the date of enactment of this section, TION.— axle weight limitation (including enforce- any Interstate weight limit that applies to ‘‘(1) STATE ENFORCEMENT OF MORE RESTRIC- ment tolerances), the 34,000 pound tandem vehicles and combinations (other than longer TIVE WEIGHT LIMITS.—This section does not axle weight limitation (including enforce- combination vehicles) operating on the prevent a State from maintaining or impos- ment tolerances), and the overall maximum Interstate System in a State under section ing a weight limitation that is more restric- gross weight (including enforcement toler- tive than the Interstate weight limit on ve- 127 shall also apply to vehicles and combina- ances) on a group of 2 or more consecutive hicles or combinations (other than longer tions (other than longer combination vehi- axles produced by application of the formula combination vehicles) operating on a non- cles) operating on non-Interstate segments in subsection (a).’’. Interstate segment of the National Highway of the National Highway System in such (b) CONFORMING AMENDMENT.—The fourth System. State, unless such segments are subject to sentence of section 127(a) of title 23, United ‘‘(2) STATE ACTIONS TO REDUCE WEIGHT LIM- lower State weight limits as provided for in States Code, is amended by striking ‘‘the ITS.—This section does not prevent a State subsection (d). State determines’’. from reducing the State’s gross vehicle ‘‘(2) EXISTING HIGHWAYS.— weight limitation, single or tandem axle SEC.ll. NONDIVISIBLE LOAD PROCEEDING. ‘‘(A) IN GENERAL.—Notwithstanding para- weight limitations, or the overall maximum Section 127 of title 23, United States Code, graph (1), in the case of a non-Interstate seg- gross weight on 2 or more consecutive axles is further amended by adding at the end the ment of the National Highway System that on any non-Interstate segment of the Na- following: is open to traffic on June 1, 2003, a State may tional Highway System. ‘‘(i) NONDIVISIBLE LOADS.— allow the operation of any vehicle or com- ‘‘(e) LONGER COMBINATION VEHICLES.— ‘‘(1) PROCEEDING.—Not later than 60 days bination (other than a longer combination ‘‘(1) PROHIBITION.— after the date of enactment of this sub- vehicle) on such segment that the Secretary ‘‘(A) IN GENERAL.—After the 270th day fol- section, the Secretary shall initiate a pro- determines under subsection (b) could be lowing the date of enactment of this section, ceeding to define the term ‘vehicles and lawfully operated on such segment on June a longer combination vehicle may continue loads which cannot be easily dismantled or 1, 2003. to operate on a non-Interstate segment of divided’ as used in subsection (a) and section ‘‘(B) APPLICABILITY OF STATE LAWS AND the National Highway System only if the op- 31112 of title 49. REGULATIONS.—All operations described in eration of the longer combination vehicle ‘‘(2) LIST OF COMMODITIES.— subparagraph (A) shall continue to be sub- configuration type was authorized by State ‘‘(A) IN GENERAL.—The definition developed ject to all State statutes, regulations, limi- officials pursuant to State statute or regula- under paragraph (1) shall include a list of tations and conditions, including routing- tion on June 1, 2003, and in actual and lawful commodities (or classes or types of commod- specific, commodity-specific, and configura- operation on a regular or periodic basis (in- ities) that do not qualify as nondivisible tion-specific designations and all other re- cluding seasonal operations) on or before loads. strictions, in force on June 1, 2003. June 1, 2003. ‘‘(B) LIMITATION.—The list of commodities ‘‘(3) NEW HIGHWAYS.—Subject to subsection ‘‘(B) APPLICABILITY OF STATE LAWS AND developed under paragraph (1) shall not be (d)(1), the gross vehicle weight limitations REGULATIONS.—All operations described in interpreted to be a comprehensive list of and axle loading limitations applicable to all subparagraph (A) shall continue to be sub- commodities that do not qualify as nondivis- vehicles and combinations (other than longer ject to all State statutes, regulations, limi- ible loads. combination vehicles) on a non-Interstate tations and conditions, including routing- ‘‘(3) REGULATIONS.—Not later than 270 days segment of the National Highway System specific, commodity-specific, and configura- after the date of enactment of this sub- that is not open to traffic on June 1, 2003, tion-specific designations and all other re- section, the Secretary shall issue final regu- shall be the Interstate weight limit. strictions, in force on June 1, 2003.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00073 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1030 CONGRESSIONAL RECORD — SENATE February 11, 2004

‘‘(2) LISTING OF VEHICLES AND COMBINA- (1) IN GENERAL.—Not later than February 1, power and manufactured primarily for use on TIONS.— 2005, and annually thereafter, the President public highways, but does not include a vehi- ‘‘(A) IN GENERAL.—Not later than 60 days shall submit to Congress a report, based on cle operated only on a rail. after the date of enactment of this section, the most recent edition of the Annual En- ‘‘(b) WITHHOLDING OF APPORTIONMENTS FOR the Secretary shall initiate a proceeding to ergy Outlook published by the Energy Infor- NONCOMPLIANCE.— determine and publish a list of longer com- mation Administration, assessing the ‘‘(1) FISCAL YEAR 2005.—The Secretary shall bination vehicles that could be lawfully op- progress made by the United States toward withhold 5 percent of the amount required to erated on non-Interstate segments of the Na- the goal of reducing dependence on imported be apportioned to any State under each of tional Highway System on June 1, 2003. petroleum sources by 2014. paragraphs (1), (3), and (4) of section 104(b) on ‘‘(B) LIMITATION.—A longer combination (2) CONTENTS.—The report under subsection October 1, 2004, if the State does not meet vehicle may not be included on the list pub- (a) shall— the requirements of paragraph (3) on that lished under subparagraph (A) on the basis (A) include a description of the implemen- date. that a State law or regulation could have au- tation, during the previous fiscal year, of ‘‘(2) SUBSEQUENT FISCAL YEARS.—The Sec- thorized the operation of such vehicle at provisions under existing law relating to do- retary shall withhold 10 percent of the some prior date by permit or otherwise. mestic crude petroleum production; amount required to be apportioned to any ‘‘(C) PUBLICATION OF FINAL LIST.—Not later State under each of paragraphs (1), (3), and than 270 days after the date of enactment of (B) assess the effectiveness of those provisions in meeting the goal described in para- (4) of section 104(b) on October 1, 2005, and on this section, the Secretary shall publish a October 1 of each fiscal year thereafter, if final list of longer combination vehicles de- graph (1); and (C) describe the progress in developing and the State does not meet the requirements of scribed in subparagraph (A). paragraph (3) on that date. ‘‘(D) UPDATES.—The Secretary shall update implementing measures under subsection (b). EQUIREMENTS (b) MEASURES TO REDUCE IMPORT DEPEND- ‘‘(3) R .—A State meets the re- the list published under subparagraph (A) as quirements of this paragraph if the State has necessary to reflect new designations made ENCE THROUGH INCREASED DOMESTIC PETRO- enacted and is enforcing a law that is sub- to the National Highway System. LEUM CONSERVATION.— stantially provides for each of the following: ‘‘(3) LIMITATION ON STATUTORY CONSTRUC- (1) IN GENERAL.—Not later than 1 year after ‘‘(A) If a person has been arrested for pub- TION.—This subsection does not prevent a the date of enactment of this Act, the Presi- State from further restricting in any manner dent shall develop and implement measures lic intoxication, the arresting law enforce- or prohibiting the operation of a longer com- to conserve petroleum in end-uses through- ment agency shall impound the vehicle that the person was operating at the time of ar- bination vehicle; except that such restric- out the economy of the United States suffi- rest. tions or prohibitions shall be consistent with cient to reduce total demand for petroleum ‘‘(B) A vehicle impounded pursuant to this the requirements of section 127 of this title in the United States by 1,000,000 barrels per subparagraph shall be impounded for a pe- and sections 31112 through 31114 of title 49, day from the amount projected for calendar riod of 12 hours after the time of arrest or United States Code. year 2014 in the reference case contained in until such later time as the arrestee claim- ‘‘(f) MODEL SCHEDULE OF FINES.— the report of the Energy Information Admin- ing the vehicle meets the conditions for re- ‘‘(1) IN GENERAL.—The Secretary, in con- istration entitled ‘‘Annual Energy Outlook lease under subparagraph (D). sultation with the States, shall establish a 2004’’. model schedule of fines to be assessed for ‘‘(C) A vehicle impounded pursuant to this ONTENTS.—The measures under para- (2) C subparagraph may be released to a person violations of this section. graph (1) shall be designed to ensure contin- ‘‘(2) PURPOSE.—The purpose of the schedule other than the arrestee prior to the end of of fines shall be to ensure that fines are suf- ued reliable and affordable energy for con- the impoundment period only if— ficient to deter violations of the require- sumers. ‘‘(i) the vehicle is not owned or leased by ments of this section and to permit States to (3) IMPLEMENTATION.—The measures under the person under arrest and the person who recover costs associated with damages paragraph (1) shall be implemented under ex- owns or leases the vehicle claims the vehicle caused to the National Highway System by isting authorities of appropriate Federal ex- and meets the conditions for release under the operation of such vehicles. ecutive agencies identified by the President. subparagraph (D); or ‘‘(3) ADOPTION BY STATES.—The Secretary ‘‘(ii) the vehicle is owned or leased by the shall encourage but not require States to SA 2308. Mr. CORZINE submitted an arrestee, the arrestee gives permission to an- adopt the schedule of fines. amendment intended to be proposed to other person, who has acknowledged in writ- ‘‘(g) DEFINITIONS.—In this section, the fol- amendment SA 2285 proposed by Mr. ing receipt of the statement to operate the lowing definitions apply: INHOFE to the bill S. 1072, to authorize vehicle and the conditions for release under ‘‘(1) INTERSTATE WEIGHT LIMIT.—The term subparagraph (D). ‘Interstate weight limit’ has the meaning funds for Federal-aid highways, high- ‘‘(D) A vehicle impounded pursuant to this given such term in section 127(h). way safety programs, and transit pro- subparagraph shall not be released unless the ‘‘(2) LONGER COMBINATION VEHICLE.—The grams, and for other purposes; which term ‘longer combination vehicle’ has the was ordered to lie on the table; as fol- person claiming the vehicle— ‘‘(i) presents a valid operator’s license, meaning given such term in section 127(d).’’. lows: (b) ENFORCEMENT OF REQUIREMENTS.—Sec- proof of ownership or lawful authority to option 141(a) of title 23, United States Code, is On page 762, between lines 12 and 13 insert erate the vehicle, and proof of valid motor amended— the following new paragraph: vehicle insurance for that vehicle; (1) by striking ‘‘the Federal-aid primary ‘‘(6) The costs of operating programs that ‘‘(ii) is able to operate the vehicle in a safe system, the Federal-aid urban system, and impound the vehicle of an individual ar- manner and would not be in violation driving the Federal-aid secondary system, including rested as an impaired operator of a motor ve- while intoxicated laws; and the Interstate System’’ and inserting ‘‘the hicle for not less than 12 hours after the op- ‘‘(iii) meets any other conditions for re- National Highway System, including the erator is arrested. lease established by the law enforcement Interstate System,’’; and agency. (2) by striking ‘‘section 127’’ and inserting SA 2309. Mr. CORZINE (for himself ‘‘(E) A law enforcement agency impound- ‘‘sections 126 and 127’’. and Mr. LAUTENBERG) submitted an ing a vehicle pursuant to this subparagraph (c) CONFORMING AMENDMENT.—The analysis amendment intended to be proposed to is authorized to charge a reasonable fee for for title 23, United States Code, is amended amendment SA 2285 proposed by Mr. towing and storage of the vehicle. The law by inserting after the item relating to sec- enforcement agency is further authorized to tion 125 the following: INHOFE to the bill S. 1072, to authorize funds for Federal-aid highways, high- retain custody of the vehicle until that fee is ‘‘126. Vehicle weight limitations—National paid. Highway System.’’. way safety programs, and transit pro- ‘‘(c) PERIOD OF AVAILABILITY; EFFECT OF grams, and for other purposes; which COMPLIANCE AND NONCOMPLIANCE.— SA 2307. Ms. LANDRIEU submitted was ordered to lie on the table; as fol- ‘‘(1) PERIOD OF AVAILABILITY OF WITHHELD an amendment intended to be proposed lows: FUNDS.—Any funds withheld under sub- to amendment SA 2285 proposed by Mr. On page 389, between lines 15 and 16, insert section (b) from apportionment to any State INHOFE to the bill S. 1072, to authorize the following: shall remain available until the end of the funds for Federal-aid highways, high- fourth fiscal year following the fiscal year SEC. 18ll. IMPOUNDING VEHICLES OF INTOXI- for which the funds are authorized to be ap- way safety programs, and transit pro- CATED ARRESTEES. propriated. grams, and for other purposes; which (a) IN GENERAL.—Subchapter I of chapter 1 ‘‘(2) APPORTIONMENT OF WITHHELD FUNDS was ordered to lie on the table; as fol- of title 23, United States Code (as amended AFTER COMPLIANCE.—If, before the last day of by section 1814(a)), is amended by adding at lows: the period for which funds withheld under the end the following: At the end, add the following: subsection (b) from apportionment are to re- TITLE VII—MEASURES TO CONSERVE ‘‘§ 176. Impounding vehicles of intoxicated main available for apportionment to a State PETROLEUM arrestees under paragraph (1), the State meets the re- SEC. 7001. REDUCTION OF DEPENDENCE ON IM- ‘‘(a) DEFINITION OF MOTOR VEHICLE.—In quirements of subsection (a)(3), the Sec- PORTED PETROLEUM. this section, the term ‘motor vehicle’ means retary shall, on the first day on which the (a) REPORT.— a vehicle driven or drawn by mechanical State meets the requirements, apportion to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00074 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1031 the State the funds withheld under sub- individual operating a motor vehicle to use a (5) on several occasions the Senate has sup- section (b) that remain available for appor- mobile telephone with a device that permits ported reforming our tax laws to eliminate tionment to the State. hands-free operation of the telephone if the policies that make it cheaper to move jobs ‘‘(3) PERIOD OF AVAILABILITY OF SUBSE- State determines that such use does not pose overseas; and QUENTLY APPORTIONED FUNDS.— a threat to public safety. (6) job creation is essential to the eco- ‘‘(A) IN GENERAL.—Any funds apportioned ‘‘(c) PERIOD OF AVAILABILITY; EFFECT OF nomic stability of the United States and the under paragraph (2) shall remain available COMPLIANCE AND NONCOMPLIANCE.— Administration should pursue policies that for expenditure until the end of the third fis- ‘‘(1) PERIOD OF AVAILABILITY OF WITHHELD serve as an engine for economic growth, cal year following the fiscal year in which FUNDS.—Any funds withheld under sub- higher wage jobs, and increased productivity. the funds are so apportioned. section (b) from apportionment to any State (b) SENSE OF THE SENATE.—It is the sense ‘‘(B) TREATMENT OF CERTAIN FUNDS.—Any shall remain available until the end of the of the Senate that the Senate should— funds apportioned under paragraph (2) that fourth fiscal year following the fiscal year (1) oppose any efforts to encourage the out- are not obligated at the end of the period re- for which the funds are authorized to be ap- sourcing of American jobs overseas; and ferred to in subparagraph (A) shall be allo- propriated. (2) adopt legislation providing for a manu- cated equally among the States that meet ‘‘(2) APPORTIONMENT OF WITHHELD FUNDS facturing tax incentive to encourage job cre- the requirements of subsection (a)(3). AFTER COMPLIANCE.—If, before the last day of ation in the United States and oppose efforts ‘‘(4) EFFECT OF NONCOMPLIANCE.—If, at the the period for which funds withheld under to make it cheaper to send jobs overseas. end of the period for which funds withheld subsection (b) from apportionment are to re- under subsection (b) from apportionment are main available for apportionment to a State SA 2312. Mr. CORZINE submitted an available for apportionment to a State under under paragraph (1), the State meets the re- amendment intended to be proposed to paragraph (1), the State does not meet the quirements of subsection (a)(3), the Sec- amendment SA 2285 proposed by Mr. retary shall, on the first day on which the requirements of subsection (a)(3), the funds INHOFE to the bill S. 1072, to authorize State meets the requirements, apportion to shall be allocated equally among the States funds for Federal-aid highways, high- that meet the requirements of subsection the State the funds withheld under sub- (a)(3).’’. section (b) that remain available for appor- way safety programs, and transit pro- (b) CONFORMING AMENDMENT.—The analysis tionment to the State. grams, and for other purposes; which for subchapter I of chapter 1 of title 23, ‘‘(3) PERIOD OF AVAILABILITY OF SUBSE- was ordered to lie on the table; as fol- United States Code (as amended by section QUENTLY APPORTIONED FUNDS.— lows: 1814(c)), is amended by adding at the end the ‘‘(A) IN GENERAL.—Any funds apportioned On page 724, strike line 19 and all that fol- following: under paragraph (2) shall remain available lows through page 725, line 2, and insert the ‘‘176. Impounding vehicles of impounded for expenditure until the end of the third fis- following: arrestees.’’. cal year following the fiscal year in which (A) by redesignating clause (6) as clause the funds are so apportioned. (8); SA 2310. Mr. CORZINE submitted an ‘‘(B) TREATMENT OF CERTAIN FUNDS.—Any (B) by inserting after ‘‘involving school amendment intended to be proposed to funds apportioned under paragraph (2) that buses,’’ at the end of clause (5) the following: amendment SA 2285 proposed by Mr. are not obligated at the end of the period re- ‘‘(6) to reduce aggressive driving and to edu- INHOFE to the bill S. 1072, to authorize ferred to in subparagraph (A) shall be allocate drivers about defensive driving, (7) to funds for Federal-aid highways, high- cated equally among the States that meet reduce accidents resulting from fatigued and way safety programs, and transit pro- the requirements of subsection (a)(3). distracted drivers, including distractions grams, and for other purposes; which ‘‘(4) EFFECT OF NONCOMPLIANCE.—If, at the arising from the use of electronic devices in end of the period for which funds withheld vehicles,’’; and was ordered to lie on the table; as fol- under subsection (b) from apportionment are lows: (C) by inserting ‘‘aggressive driving, dis- available for apportionment to a State under tracted driving,’’ after ‘‘school bus acci- On page 389, between lines 15 and 16, insert paragraph (1), the State does not meet the dents,’’. the following: requirements of subsection (a)(3), the funds On page 731, between lines 12 and 13, insert SEC. 18ll. MOBILE TELEPHONE USE WHILE OP- shall be allocated equally among the States the following: ERATING MOTOR VEHICLES. that meet the requirements of subsection ‘‘(5) RESEARCH ON DISTRACTED, INATTEN- (a) IN GENERAL.—Subchapter I of chapter 1 (a)(3).’’. TIVE, AND FATIGUED DRIVERS.—In conducting of title 23, United States Code (as amended (b) CONFORMING AMENDMENT.—The analysis research under subsection (a)(3), the Sec- by section 1814(a)), is amended by adding at for subchapter I of chapter 1 of title 23, the end the following: retary shall carry out not less than 10 dem- United States Code (as amended by section onstration projects to evaluate new and in- ‘‘§ 176. Mobile telephone use while operating 1814(c)), is amended by adding at the end the novative means of combatting traffic system motor vehicles following: problems caused by distracted, inattentive, ‘‘(a) DEFINITION OF MOTOR VEHICLE.—In ‘‘176. Mobile telephone use while operating or fatigued drivers. The demonstration this section, the term ‘motor vehicle’ means motor vehicles.’’. projects shall be in addition to any other re- a vehicle driven or drawn by mechanical search carried out under this subsection. power and manufactured primarily for use on SA 2311. Mrs. CLINTON (for herself, On page 770, between lines 7 and 8, insert public highways, but does not include a vehi- Mr. BINGAMAN, Mr. BYRD, Mr. DODD, the following: cle operated only on a rail. Mr. SARBANES, Mr. CORZINE, Mr. LIE- ‘‘(2) DATA ON USE OF ELECTRONIC DEVICES.— ‘‘(b) WITHHOLDING OF APPORTIONMENTS FOR BERMAN, Mr. ROCKEFELLER, Mr. HAR- The model data elements required under NONCOMPLIANCE.— KIN, and Ms. STABENOW) proposed an paragraph (1) shall include data elements, as ‘‘(1) FISCAL YEAR 2005.—The Secretary shall determined appropriate by the Secretary in withhold 5 percent of the amount required to amendment to the bill S. 1072, to au- consultation with the States and with appro- be apportioned to any State under each of thorize funds for Federal-aid highways, priate elements of the law enforcement com- paragraphs (1), (3), and (4) of section 104(b) on highway safety programs, and transit munity, on the impact on traffic safety of October 1, 2004, if the State does not meet programs, and for other purposes; as the use of electronic devices while driving. the requirements of paragraph (3) on that follows: On page 770, line 8, strike ‘‘(2)’’ and insert date. At the appropriate place, insert the fol- ‘‘(3)’’. ‘‘(2) SUBSEQUENT FISCAL YEARS.—The Sec- lowing: On page 770, line 19, strike ‘‘(3)’’ and insert retary shall withhold 10 percent of the SEC. ll. SENSE OF THE SENATE CONCERNING ‘‘(4)’’. amount required to be apportioned to any THE OUTSOURCING OF AMERICAN On page 770, line 23, strike ‘‘(4)’’ and insert State under each of paragraphs (1), (3), and JOBS. ‘‘(5)’’. (4) of section 104(b) on October 1, 2005, and on (a) FINDINGS.—The Senate finds that— October 1 of each fiscal year thereafter, if (1) the President’s Chairman of the Council SA 2313. Mr. ALLARD submitted an the State does not meet the requirements of of Economic Advisors recently described the amendment intended to be proposed by paragraph (3) on that date. outsourcing of American jobs overseas ‘‘as a him to the bill S. 1072, to authorize ‘‘(3) REQUIREMENTS.— good thing’’ and said, ‘‘outsourcing is just a funds for Federal-aid highways, high- ‘‘(A) IN GENERAL.—A State meets the renew way of doing international trade’’; quirements of this paragraph if the State has (2) the President’s economic policies have way safety programs, and transit pro- enacted and is enforcing a law that prohibits either failed to address or exacerbated the grams, and for other purposes; which an individual from using a mobile telephone loss of manufacturing jobs that our country was ordered to lie on the table; as fol- (other than a mobile telephone used as de- has experienced over the last 3 years; lows: scribed in subparagraph (B)) while operating (3) American families are facing an econ- In lieu of section 3032 insert the following: a motor vehicle, except in the case of an omy with the fewest jobs created since the SEC. 3032. EMPLOYEE PROTECTIVE ARRANGE- emergency or other exceptional cir- Great Depression; MENTS. cumstance (as determined by the State). (4) 2,900,000 private sector jobs have been Section 5333 is amended— ‘‘(B) HANDS-FREE DEVICES.—A State law de- lost since January 2001, including 2,800,000 (1) in subsection (a), by striking ‘‘(a) PRE- scribed in subparagraph (A) may permit an manufacturing jobs; VAILING WAGES REQUIREMENT.—’’; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00075 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1032 CONGRESSIONAL RECORD — SENATE February 11, 2004 (2) by striking subsection (b). ‘‘(II) shall not be available to the Bureau of ‘‘(B) for each of fiscal years 2004 through Indian Affairs to pay administrative costs.’’; 2009, any amount of obligation authority SA 2314. Mr. CAMPBELL (for himself and made available for Indian reservation road bridges under section 202(d)(4), and for Indian and Mr. INOUYE) submitted an amend- (5) by adding at the end the following: reservation roads under section 204, of title ment intended to be proposed to ‘‘(f) ADMINISTRATION OF INDIAN RESERVA- TION ROADS.— 23, United States Code.’’. amendment SA 2285 proposed by Mr. ‘‘(1) CONTRACT AUTHORITY.— (c) TRIBAL CONTRACTING DEMONSTRATION INHOFE to the bill S. 1072, to authorize ‘‘(A) IN GENERAL.—Notwithstanding any PROJECT.— funds for Federal-aid highways, high- other provision of law, for any fiscal year, (1) IN GENERAL.—Section 202(d)(3) of title way safety programs, and transit pro- not more than 6 percent of the contract au- 23, United States Code, is amended by adding grams, and for other purposes; which thority amounts made available from the at the end the following: was ordered to lie on the table; as fol- Highway Trust Fund to the Bureau of Indian ‘‘(C) FEDERAL LANDS HIGHWAY PROGRAM DEMONSTRATION PROJECT.— lows: Affairs under this title shall be used to pay the administrative expenses of the Bureau ‘‘(i) IN GENERAL.—The Secretary shall es- On page 20, between lines 6 and 7, insert for the Indian reservation roads program (in- tablish a demonstration project under which the following: cluding the administrative expenses relating all funds made available under this chapter ‘‘(ll) INDIAN LAND.—The term ‘Indian to individual projects that are associated for Indian reservation roads and for highway land’ means— with the program). bridges located on Indian reservation roads ‘‘(A) any land located within the bound- ‘‘(B) AVAILABILITY.—Amounts made avail- as provided for in subparagraph (A) shall be aries of an Indian reservation, pueblo, or able to pay administrative expenses under made available, on the request of an affected rancheria; subparagraph (A) shall be made available to Indian tribal government, to the Indian trib- ‘‘(B) any land not located within the an Indian tribal government, on the request al government for use in carrying out, in ac- boundaries of an Indian reservation, pueblo, of the government, to be used for the associ- cordance with the Indian Self-Determination or rancheria, the title to which is held— ated administrative functions assumed by and Education Assistance Act (25 U.S.C. 450b ‘‘(i) in trust by the United States for the the Indian tribe under contracts and agree- et seq.), contracts and agreements for the benefit of an Indian tribe; ments entered into under the Indian Self-De- planning, research, engineering, and construction described in that subparagraph. ‘‘(ii) by an Indian tribe, subject to restric- termination and Education Assistance Act ‘‘(ii) EXCLUSION OF AGENCY PARTICIPA- tion by the United States against alienation; (25 U.S.C. 450b et seq.). TION.—In accordance with subparagraph (B), or ‘‘(2) HEALTH AND SAFETY ASSURANCES.— all funds for Indian reservation roads and for ‘‘(iii) by a dependent Indian community; Notwithstanding any other provision of law, highway bridges located on Indian reserva- and an Indian tribe or tribal organization may tion roads to which clause (i) applies shall be ‘‘(C) land conveyed as part of an original commence road and bridge construction paid without regard to the organizational conveyance to a Native Corporation in ac- under the Transportation Equity Act for the level at which the Federal lands highway cordance with the Alaska Native Claims Set- 21st Century (Public Law 105–178) or its suc- program has previously carried out the pro- tlement Act (43 U.S.C. 1601 et seq.). cessor Act of Congress that is funded ‘‘(ll) INDIAN RESERVATION.—The term ‘In- grams, functions, services, or activities in- through a contract or agreement under the volved. dian reservation’ includes— Indian Self-Determination and Education ‘‘(iii) SELECTION OF PARTICIPATING TRIBES.— ‘‘(A) an Indian reservation in existence as Assistance Act (25 U.S.C. 450b et seq.) if the ‘‘(I) PARTICIPANTS.— of the date of enactment of the Indian Tribal Indian tribe or tribal organization— ‘‘(aa) IN GENERAL.—In addition to those In- Surface Transportation Improvement Act of ‘‘(A) provides assurances in the contract or 2003; dian tribes or tribal organizations already agreement that the construction will meet contracting or compacting for any Indian ‘‘(B) a public domain Indian allotment; or exceed applicable health and safety stand- ‘‘(C) a former reservation in the State of reservation road function or program, for ards; each fiscal year, the Secretary may select up Oklahoma; ‘‘(B) obtains the advance review of the ‘‘(D) a parcel of land conveyed as part of an to 15 Indian tribes from the applicant pool plans and specifications from a licensed pro- described in subclause (II) to participate in original conveyance to a Native Corporation fessional that has certified that the plans in accordance with the Alaska Native Claims the demonstration project carried out under and specifications meet or exceed the appli- clause (i). Settlement Act (43 U.S.C. 1601 et seq.); and cable health and safety standards; and ‘‘(E) a dependent Indian community lo- ‘‘(bb) CONSORTIA.—Two or more Indian ‘‘(C) provides a copy of the certification tribes that are otherwise eligible to partici- cated within the borders of the United under subparagraph (B) to the Assistant Sec- pate in a program or activity to which this States, regardless of whether the community retary for Indian Affairs.’’. title applies may form a consortium to be is located— On page 389, between lines 15 and 16, insert considered as a single Indian tribe for the ‘‘(i) on original or acquired territory of the the following: purpose of becoming part of the applicant community; or SEC. 18ll. INDIAN TRIBAL SURFACE TRANSPOR- pool under subclause (II). ‘‘(ii) within or outside the boundaries of TATION. ‘‘(cc) FUNDING.—An Indian tribe partici- any particular State. (a) FUNDING FOR INDIAN RESERVATION pating in the pilot program under this sub- On page 20, after line 25, add the following: ROADS PROGRAM.—Section 1101(a)(8) of the paragraph shall receive funding in an ‘‘(ll) INDIAN TRIBE.—The term ‘Indian Transportation Equity Act for the 21st Cen- amount equal to the sum of the funding that tribe’ has the meaning given the term in sec- tury (112 Stat. 112) is amended by striking the Indian tribe would otherwise receive in tion 4 of the Indian Self-Determination and subparagraph (A) and inserting the fol- accordance with the funding formula estab- Education Assistance Act (25 U.S.C. 450b). lowing: lished under the other provisions of this sub- On page 31, between lines 15 and 16, insert ‘‘(A) INDIAN RESERVATION ROADS.— section, and an additional percentage of that the following: ‘‘(i) IN GENERAL.—Subject to clause (ii), for amount equal to the percentage of funds ‘‘(ll) TRIBAL TRANSPORTATION FACILITY.— Indian reservation roads under section 204 of withheld during the applicable fiscal year for The term ‘tribal transportation facility’ that title— the road program management costs of the means any transportation-related project, ‘‘(I) $330,000,000 for each of fiscal years 2004 Bureau of Indian Affairs under subsection facility, or physical infrastructure for an In- through 2005; (f)(1). dian tribe that is funded under this title. ‘‘(II) $425,000,000 for each of fiscal years 2006 ‘‘(II) APPLICANT POOL.—The applicant pool Beginning on page 321, strike line 14 and through 2007; and described in this subclause shall consist of all that follows through page 323, line 10, and ‘‘(III) $550,000,000 for each of fiscal years each Indian tribe (or consortium) that— insert the following: 2008 through 2009. ‘‘(aa) has successfully completed the plan- ‘‘(B) FUNDING.— ‘‘(ii) MAINTENANCE.—Of the amounts made ning phase described in subclause (IV); ‘‘(i) RESERVATION OF FUNDS.—Notwith- available for each fiscal year under clause ‘‘(bb) has requested participation in the standing any other provision of law, there is (i), not less than $50,000,000 shall be used— demonstration project under this subpara- authorized to be appropriated from the High- ‘‘(I) to maintain roads on Indian land; and graph through the adoption of a resolution way Trust Fund (other than the Mass Tran- ‘‘(II) to maintain tribal transportation fa- or other official action by the tribal gov- sit Account) $15,000,000 for each of fiscal cilities serving Indian communities.’’. erning body; and years 2004 through 2009 to carry out plan- (b) OBLIGATION CEILING.—Section 1102(c)(1) ‘‘(cc) has demonstrated financial stability ning, design, engineering, preconstruction, of the Transportation Equity Act for the 21st and financial management capability in ac- construction, and inspection of projects to Century (23 U.S.C. 104 note; 112 Stat. 116) is cordance with subclause (III) during the 3- replace,’’; and amended— fiscal-year period immediately preceding the (B) by adding at the end the following: (1) by striking ‘‘distribute obligation’’ and fiscal year for which participation under this ‘‘(ii) AVAILABILITY.—Funds made available inserting the following: ‘‘distribute— subparagraph is being requested. to carry out this subparagraph— ‘‘(A) obligation’’; ‘‘(III) CRITERIA FOR DETERMINING FINANCIAL ‘‘(I) shall be available for obligation in the (2) by inserting ‘‘and’’ after the semicolon STABILITY AND FINANCIAL MANAGEMENT CAPAC- same manner as if the funds were appor- at the end; and ITY.—For the purpose of subclause (II), evi- tioned under chapter 1; and (3) by adding at the end of the following: dence that, during the 3-year period referred

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00076 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1033 to in subclause (II)(cc), an Indian tribe had section 3 of the Alaska Native Claims Settle- ‘‘(ii) the relative costs of construction in no uncorrected significant and material ment Act (43 U.S.C. 1602). each region; and audit exceptions in the required annual audit ‘‘(E) PROGRAM.—The term ‘program’ means ‘‘(iii) the extent to which transportation of the Indian tribe’s self-determination con- the Alaska Native village transportation projects for each region are ready to proceed tracts or self-governance funding agreements program established under paragraph (2). to design and construction. with any Federal agency shall be conclusive ‘‘(F) REGION.—The term ‘region’ means a ‘‘(6) TRIBAL CONTRACTING.—Funds allocated evidence of the required stability and capa- region in the State specified in section among regions under this subsection may be bility. 11(b)(1) of the Alaska Native Claims Settle- contracted or compacted in accordance with ‘‘(IV) PLANNING PHASE.— ment Act (43 U.S.C 1610(b)(1)). the Indian Self Determination and Education ‘‘(aa) IN GENERAL.—An Indian tribe (or con- ‘‘(G) REGIONAL CORPORATION.—The term Assistance Act (25 U.S.C. 450b et seq.). sortium) requesting participation in the ‘Regional Corporation’ has the meaning ‘‘(7) MATCHING FUNDS.—Notwithstanding demonstration project under this subpara- given the term in section 2 of the Alaska Na- any other provision of law, funds made avail- graph shall complete a planning phase that tive Claims Settlement Act (43 U.S.C. 1602). able under this subsection may be used to shall include legal and budgetary research ‘‘(H) STATE.—The term ‘State’ means the pay a matching share required for receipt of and internal tribal government and organiza- State of Alaska. any other Federal funds that would further a tion preparation. ‘‘(2) ESTABLISHMENT.—The Secretary shall purpose for which allocations under this sec- ‘‘(bb) ELIGIBILITY.—A tribe (or consortium) establish an Alaska Native village transpor- tion are made. described in item (aa) shall be eligible to re- tation program to pay the costs of planning, ‘‘(8) MAINTENANCE.— ceive a grant under this subclause to plan design, construction, and maintenance of ‘‘(A) IN GENERAL.—At the request of a Na- and negotiate participation in a project de- road and other surface transportation facili- tive authority or Native village, the Sec- scribed in that item. ties identified in accordance with this secretary may increase an amount of funds pro- ‘‘(V) REPORT TO CONGRESS.—Not later than tion. vided under this subsection for a construc- September 30, 2006, the Secretary shall pre- ‘‘(3) ALASKA NATIVE REGIONAL TRANSPOR- tion project by an additional amount equal pare and submit to Congress a report de- TATION AUTHORITIES.— to 100 percent of the total cost of construc- scribing the implementation of the dem- ‘‘(A) DESIGNATION.—The Secretary shall tion of the project, as determined by the Sec- onstration project and any recommendations designate a Native authority for each region. retary. for improving the project.’’. ‘‘(B) RESPONSIBILITIES.—A Native author- ‘‘(B) USE OF RETAINED FUNDS.—An increase (2) CONFORMING AMENDMENTS.— ity shall, with respect to each Native village in funds provided under subparagraph (A) for (A) Section 4 of the Indian Self-Determina- or region, as appropriate, covered by the Na- a construction project shall be retained, and tion andEducation Assistance Act (25 U.S.C. tive authority— used only, for future maintenance of the con- 450b(i)) is amended by striking subsection (i) ‘‘(i) prepare— struction project.’’. (f) INDIAN RESERVATION ROAD SAFETY PRO- and inserting the following: ‘‘(I) a regional transportation plan for the Native village; and GRAM.— ‘‘(i) SECRETARY.—Except as otherwise pro- (1) IN GENERAL.—Chapter 4 of title 23, vided, the term ‘Secretary’ means any 1 or ‘‘(II) a comprehensive transportation plan United States Code, is amended by adding at more of the following, as appropriate: for the region; the end the following: ‘‘(1) The Secretary of Health and Human ‘‘(ii) prioritize and select projects to be funded with amounts made available under ‘‘SEC. 412. INDIAN RESERVATION ROAD SAFETY Services. this section for the region; PROGRAM. ‘‘(2) The Secretary of the Interior. ‘‘(iii) coordinate transportation planning ‘‘(a) PROGRAM.— ‘‘(3) The Secretary of Transportation.’’ with other regions, the State, and other gov- ‘‘(1) IN GENERAL.—The Secretary shall (B) Section 401 of the Indian Self-Deter- ernmental entities; and carry out a program to provide to eligible In- mination and Education Assistance Act (25 ‘‘(iv) ensure that transportation projects dian tribes (as determined by the Secretary) U.S.C. 458aa) is amended— under this section are constructed and im- competitive grants for use in establishing (i) by striking ‘‘The Secretary’’ and insert- plemented. tribal transportation safety programs on— ing ‘‘(a) IN GENERAL.—The Secretary’’; and ‘‘(4) ALASKA NATIVE TRANSPORTATION COM- ‘‘(A) Indian reservations; and (ii) by adding at the end the following: MISSION.— ‘‘(B) other land under the jurisdiction of an ECRETARY OF RANSPORTATION ‘‘(b) S T .—Not- ‘‘(A) ESTABLISHMENT.—As soon as prac- Indian tribe. withstanding any other provision of law, the ticable after the date of enactment of this ‘‘(2) USE OF FUNDS.—Funds from a grant Secretary of Transportation may enter into subsection, the Secretary shall establish a provided under paragraph (1) may be used to self-governance compacts and annual fund- commission, to be known as the ‘Statewide carry out a project or activity— ing agreements with Indian tribes and tribal Alaska Native Transportation Commission’, ‘‘(A) to prevent the operation of motor ve- organizations to carry out tribal transpor- consisting of 1 representative selected from hicles by intoxicated individuals; tation programs (including transit programs) each Native authority designated by the Sec- ‘‘(B) to promote increased seat belt use authorized under title 23 or 49, United States retary under paragraph (3)(A). rates; Code, in accordance with the terms, condi- ‘‘(B) DUTIES.—The Commission shall— ‘‘(C) to eliminate hazardous locations and tions, and procedures of this Act (including ‘‘(i) allocate funds made available under conditions on, or hazardous sections or ele- regulations promulgated under this Act (part this section among regions in accordance ments of— 1000 of title 25 Code of Federal Regula- with paragraph (5); ‘‘(i) a public road; tions)).’’. ‘‘(ii) coordinate transportation planning ‘‘(ii) a public surface transportation facil- (d) INDIAN RESERVATION ROAD PLANNING.— among the regions, the State, and other gov- ity; Section 204(j) of title 23, United States Code, ernmental entities; and ‘‘(iii) a publicly-owned bicycle or pedes- is amended in the first sentence by striking ‘‘(iii) facilitate transportation projects in- trian pathway or trail; or ‘‘2 percent’’ and inserting ‘‘5 percent’’. volving 2 or more regions. ‘‘(iv) a traffic calming measure; (e) ALASKA NATIVE VILLAGE TRANSPOR- ‘‘(5) ALLOCATION OF FUNDING.— ‘‘(D) to eliminate hazards relating to rail- TATION PROGRAM.—Section 204 of title 23, ‘‘(A) FISCAL YEAR 2004.—Funds made avail- way-highway crossings; or United States Code (as amended by section able for the program for fiscal year 2004 shall ‘‘(E) to increase transportation safety by 1816), is amended by adding at the end the be allocated to each region by the Secretary any other means, as determined by the Sec- following: as follows: retary. ‘‘(p) ALASKA NATIVE VILLAGE TRANSPOR- ‘‘(i) 50 percent of the funds shall be allo- ‘‘(b) FEDERAL SHARE.—The Federal share of TATION PROGRAM.— cated based on the proportion that— the cost of carrying out the program under ‘‘(1) DEFINITIONS.—In this subsection: ‘‘(I) the Native population of Native vil- this section shall be 100 percent. ‘‘(A) COMMISSION.—The term ‘Commission’ lages in the region; bears to ‘‘(c) FUNDING.—Notwithstanding any other means the Alaska Native Transportation ‘‘(II) the Native population of all Native provision of law, there are authorized to be Commission established under paragraph villages in the State. appropriated from the Highway Trust Fund (4)(A). ‘‘(ii) 50 percent of the funds shall be allo- (other than the Mass Transit Account) to ‘‘(B) NATIVE.—The term ‘Native’ has the cated as equally as practicable among all carry out this section— meaning given the term in section 3 of the Native villages in the region. ‘‘(1) $6,000,000 for each of fiscal years 2004 Alaska Native Claims Settlement Act (43 ‘‘(B) FISCAL YEAR 2005 AND SUBSEQUENT FIS- and 2005; and U.S.C. 1602). CAL YEARS.—Funds made available for the ‘‘(2) $9,000,000 for each of fiscal years 2006 ‘‘(C) NATIVE AUTHORITY.—The term ‘Native program for fiscal year 2005 and each fiscal through 2009.’’. authority’ means a governing board of a Re- year thereafter shall be allocated among re- (2) CONFORMING AMENDMENT.—The analysis gional Corporation, a regional Native non- gions by the Commission, in accordance with for chapter 4 of title 23, United States Code, profit entity, a tribal government, or an al- a formula to be developed by the Commis- is amended by inserting after the item relat- ternative regional entity that is designated sion after taking into consideration— ing to section 411 the following: by the Secretary as a Native regional trans- ‘‘(i) the health, safety, and economic needs ‘‘412. Indian reservation road safety pro- portation authority under paragraph (3)(A). of each region for transportation infrastruc- gram.’’. ‘‘(D) NATIVE VILLAGE.—The term ‘Native ture, as identified through the regional plan- (g) INDIAN RESERVATION RURAL TRANSIT village’ has the meaning given the term in ning process; PROGRAM.—Section 5311 of title 49, United

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States Code, is amended by adding at the end (b) AMENDMENT OF 1986 CODE.—Except as date of the enactment of this Act and ending the following: otherwise expressly provided, whenever in on February 28, 2005, for purposes of making ‘‘(k) INDIAN RESERVATION RURAL TRANSIT this title an amendment or repeal is ex- any estimate under section 9503(d) of the In- PROGRAM.— pressed in terms of an amendment to, or re- ternal Revenue Code of 1986 of receipts of the ‘‘(1) IN GENERAL.—The Secretary shall es- peal of, a section or other provision, the ref- Highway Trust Fund, the Secretary of the tablish and carry out a program to provide erence shall be considered to be made to a Treasury shall treat— competitive grants to Indian tribes to estab- section or other provision of the Internal (1) each expiring provision of paragraphs lish rural transit programs on reservations Revenue Code of 1986. (1) through (4) of section 9503(b) of such Code or other land under the jurisdiction of the Subtitle A—Trust Fund Reauthorization which is related to appropriations or trans- Indian tribes. fers to such Fund to have been extended SEC. 5101. EXTENSION OF AUTHORIZATION FOR ‘‘(2) AMOUNT OF GRANTS.—The amount of a USE OF TRUST FUNDS FOR OBLIGA- through the end of the 24-month period re- grant provided to an Indian tribe under sub- TIONS UNDER TEA-21. ferred to in section 9503(d)(1)(B) of such Code, paragraph (A) shall be based on the need of (a) HIGHWAY TRUST FUND.— and the Indian tribe, as determined by the Sec- (1) IN GENERAL.—Paragraph (1) of section (2) with respect to each tax imposed under retary of Transportation. 9503(c) is amended— the sections referred to in section 9503(b)(1) ‘‘(3) AUTHORIZATION OF FUNDING.—For each (A) in the matter before subparagraph (A), of such Code, the rate of such tax during the of fiscal years 2004 through 2009, of the by striking ‘‘2004’’ and inserting ‘‘2005’’, 24-month period referred to in section amount made available under section 5338, (B) by striking ‘‘or’’ at the end of subpara- 9503(d)(1)(B) of such Code to be the same as $15,000,000 shall be made available to carry graph (E), the rate of such tax as in effect on the date out this subsection.’’. (C) by striking the period at the end of sub- of the enactment of this Act. (h) COMMERCIAL VEHICLE DRIVING TRAINING paragraph (F) and inserting ‘‘, or’’, SEC. 5102. TRANSFER OF CERTAIN ETHANOL PROGRAM.— (D) by inserting after subparagraph (F), TAXES INTO THE HIGHWAY TRUST (1) DEFINITIONS.—In this section: the following new subparagraph: FUND. (a) IN GENERAL.—Section 9503(b)(4) is (A) COMMERCIAL VEHICLE DRIVING.—The ‘‘(G) authorized to be paid out of the High- amended— term ‘‘commercial vehicle driving’’ means way Trust Fund under the Safe, Account- (1) by adding ‘‘or’’ at the end of subpara- the driving of— able, Flexible, and Efficient Transportation graph (C), (i) a vehicle that is a tractor-trailer truck; Equity Act of 2004.’’, and (2) by striking the comma at the end of or (E) in the matter after subparagraph (G), subparagraph (D)(iii) and inserting a period, (ii) any other vehicle (such as a bus or a as added by subparagraph (D), by striking and vehicle used for the purpose of construction) ‘‘Surface Transportation Extension Act of (3) by striking subparagraphs (E) and (F). the driving of which requires a commercial 2003’’ and inserting ‘‘Safe, Accountable, (b) EFFECTIVE DATE.—The amendments license. Flexible, and Efficient Transportation Eq- made by this section shall apply to fuel sold (B) SECRETARY.—The term ‘‘Secretary’’ uity Act of 2004’’. means the Secretary of Labor. or used after September 30, 2003. (2) MASS TRANSIT ACCOUNT.—Paragraph (3) (2) GRANTS.—The Secretary shall provide of section 9503(e) is amended— SEC. 5103. DEDICATION OF GAS GUZZLER TAX TO HIGHWAY TRUST FUND. grants, on a competitive basis, to entities de- (A) in the matter before subparagraph (A), (a) IN GENERAL.—Section 9503(b)(1) (relat- scribed in paragraph (3)(A) to support pro- by striking ‘‘2004’’ and inserting ‘‘2005’’, ing to transfer to Highway Trust Fund of grams providing training and certificates (B) by striking ‘‘or’’ at the end of subpara- amounts equivalent to certain taxes) is leading to the licensing of Native Americans graph (C), amended by redesignating subparagraphs (C), with respect to commercial vehicle driving. (C) by striking the period at the end of sub- (D), and (E) as subparagraphs (D), (E), and (3) ELIGIBILITY.—To be eligible to receive a paragraph (D) and inserting ‘‘, or’’, (F), respectively, and by inserting after subgrant under paragraph (1), an entity shall— (D) by inserting after subparagraph (D), paragraph (B) the following new subpara- (A) be a tribal college or university (as de- the following new subparagraph: graph: fined in section 316(b)(3) of the Higher Edu- ‘‘(E) the Safe, Accountable, Flexible, and ‘‘(C) section 4064 (relating to gas guzzler cation Act (20 U.S.C. 1059(b)(3)); and Efficient Transportation Equity Act of tax),’’. (B) prepare and submit to the Secretary an 2004,’’, and application at such time, in such manner, (b) UNIFORM APPLICATION OF TAX.—Sub- (E) in the matter after subparagraph (E), paragraph (A) of section 4064(b)(1) (defining and containing such information as the Sec- as added by subparagraph (D), by striking retary may require. automobile) is amended by striking the sec- ‘‘Surface Transportation Extension Act of ond sentence. (4) PRIORITY.—In providing grants under 2003’’ and inserting ‘‘Safe, Accountable, paragraph (1), the Secretary shall give pri- (c) EFFECTIVE DATE.—The amendments Flexible, and Efficient Transportation Eq- made by this section shall take effect on the ority to grant applications that— uity Act of 2004’’. (A) propose training that exceeds proposed date of the enactment of this Act. (3) EXCEPTION TO LIMITATION ON TRANS- minimum standards for training tractor- SEC. 5104. INTEREST ON UNEXPENDED BAL- FERS.—Subparagraph (B) of section 9503(b)(5) trailer drivers of the Department of Trans- ANCES CREDITED TO TRUST FUND. is amended by striking ‘‘2004’’ and inserting (a) IN GENERAL.—Section 9503 (relating to portation; ‘‘2005’’. (B) propose training that exceeds the entry the Highway Trust Fund) is amended by (b) AQUATIC RESOURCES TRUST FUND.— level truck driver certification standards set striking subsection (f). (1) SPORT FISH RESTORATION ACCOUNT.— (b) EFFECTIVE DATE.—The amendment by the Professional Truck Driver Institute; Paragraph (2) of section 9504(b) (relating to and made by this section shall take effect on the Sport Fish Restoration Account) is amended date of the enactment of this Act. (C) propose an education partnership with by striking ‘‘Surface Transportation Exten- Subtitle B—Fuel Fraud Prevention a private trucking firm, trucking associa- sion Act of 2003’’ each place it appears and tion, or similar entity in order to ensure the inserting ‘‘Safe, Accountable, Flexible, and SEC. 5200. SHORT TITLE. effectiveness of the grant program under this Efficient Transportation Equity Act of 2004’’. This subtitle may be cited as the ‘‘Fuel section. (2) BOAT SAFETY ACCOUNT.—Section 9504(c) Fraud Prevention Act of 2004’’. (5) AUTHORIZATION OF APPROPRIATIONS.— (relating to expenditures from Boat Safety PART I—AVIATION JET FUEL There is authorized to be appropriated to Account) is amended— SEC. 5211. TAXATION OF AVIATION-GRADE KER- carry out this subsection $5,000,000 for the (A) by striking ‘‘2004’’ and inserting ‘‘2005’’, OSENE. period of fiscal years 2004 through 2009. and (a) RATE OF TAX.— (B) by striking ‘‘Surface Transportation (1) IN GENERAL.—Subparagraph (A) of sec- SA 2315. Mr. KYL submitted an Extension Act of 2003’’ and inserting ‘‘Safe, tion 4081(a)(2) is amended by striking ‘‘and’’ amendment intended to be proposed by Accountable, Flexible, and Efficient Trans- at the end of clause (ii), by striking the pe- him to the bill S. 1072, to authorize portation Equity Act of 2004’’. riod at the end of clause (iii) and inserting ‘‘, funds for Federal-aid highways, high- (3) EXCEPTION TO LIMITATION ON TRANS- and’’, and by adding at the end the following way safety programs, and transit pro- FERS.—Paragraph (2) of section 9504(d) (relat- new clause: grams, and for other purposes; which ing to limitation on transfers to Aquatic Re- ‘‘(iv) in the case of aviation-grade ker- was ordered to lie on the table; as fol- sources Trust Fund) is amended by striking osene, 21.8 cents per gallon.’’. lows: ‘‘2004’’ and inserting ‘‘2005’’. (2) COMMERCIAL AVIATION.—Paragraph (2) of (4) TECHNICAL CORRECTION.—The last sen- section 4081(a) is amended by adding at the Strike title V and insert the following: tence of paragraph (2) of section 9504(b) is end the following new subparagraph: TITLE V—HIGHWAY REAUTHORIZATION amended by striking ‘‘subparagraph (B)’’, ‘‘(C) TAXES IMPOSED ON FUEL USED IN COM- AND EXCISE TAX SIMPLIFICATION and inserting ‘‘subparagraph (C)’’. MERCIAL AVIATION.—In the case of aviation- SEC. 5000. SHORT TITLE; AMENDMENT OF 1986 (c) EFFECTIVE DATE.—The amendments grade kerosene which is removed from any CODE. made by this section shall take effect on the refinery or terminal directly into the fuel (a) SHORT TITLE.—This title may be cited date of the enactment of this Act. tank of an aircraft for use in commercial as the ‘‘Highway Reauthorization and Excise (d) TEMPORARY RULE REGARDING ADJUST- aviation, the rate of tax under subparagraph Tax Simplification Act of 2004’’. MENTS.—During the period beginning on the (A)(iv) shall be 4.3 cents per gallon.’’.

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(3) NONTAXABLE USES.— (3) CONFORMING AMENDMENT.—Subpara- refund paid to the ultimate vendor under (A) IN GENERAL.—Section 4082 is amended graph (B) of section 6427(l)(2) is amended to paragraph (4)(B).’’. by redesignating subsections (e) and (f) as read as follows: (ii) Paragraph (5)(B) of section 6427(l) is subsections (f) and (g), respectively, and by ‘‘(B) in the case of aviation-grade ker- amended by striking ‘‘Paragraph (1)(A) shall inserting after subsection (d) the following osene— not apply to kerosene’’ and inserting ‘‘Para- new subsection: ‘‘(i) any use which is exempt from the tax graph (1) shall not apply to kerosene (other imposed by section 4041(c) other than by rea- than aviation-grade kerosene)’’. ‘‘(e) AVIATION-GRADE KEROSENE.—In the case of aviation-grade kerosene which is ex- son of a prior imposition of tax, or (L) Subparagraph (B) of section 6724(d)(1) is empt from the tax imposed by section 4041(c) ‘‘(ii) any use in commercial aviation (with- amended by striking clause (xv) and by re- (other than by reason of a prior imposition in the meaning of section 4083(b)).’’. designating the succeeding clauses accord- (d) REPEAL OF PRIOR TAXATION OF AVIATION of tax) and which is removed from any refin- ingly. FUEL.— (M) Paragraph (2) of section 6724(d) is ery or terminal directly into the fuel tank of (1) IN GENERAL.—Part III of subchapter A of amended by striking subparagraph (W) and an aircraft, the rate of tax under section chapter 32 is amended by striking subpart B by redesignating the succeeding subpara- 4081(a)(2)(A)(iv) shall be zero.’’. and by redesignating subpart C as subpart B. graphs accordingly. (B) CONFORMING AMENDMENTS.— (2) CONFORMING AMENDMENTS.— (N) Paragraph (1) of section 9502(b) is (i) Subsection (b) of section 4082 is amend- (A) Section 4041(c) is amended to read as amended by adding ‘‘and’’ at the end of sub- ed by adding at the end the following new follows: paragraph (B) and by striking subparagraphs flush sentence: ‘‘The term ‘nontaxable use’ ‘‘(c) AVIATION-GRADE KEROSENE.— (C) and (D) and inserting the following new does not include the use of aviation-grade ‘‘(1) IN GENERAL.—There is hereby imposed subparagraph: kerosene in an aircraft.’’. a tax upon aviation-grade kerosene— ‘‘(C) section 4081 with respect to aviation (ii) Section 4082(d) is amended by striking ‘‘(A) sold by any person to an owner, les- gasoline and aviation-grade kerosene, and’’. paragraph (1) and by redesignating para- see, or other operator of an aircraft for use (O) The last sentence of section 9502(b) is graphs (2) and (3) as paragraphs (1) and (2), in such aircraft, or amended to read as follows: respectively. ‘‘(B) used by any person in an aircraft un- ‘‘There shall not be taken into account (4) NONAIRCRAFT USE OF AVIATION-GRADE less there was a taxable sale of such fuel under paragraph (1) so much of the taxes im- KEROSENE.— under subparagraph (A). posed by section 4081 as are determined at (A) IN GENERAL.—Subparagraph (B) of sec- ‘‘(2) EXEMPTION FOR PREVIOUSLY TAXED the rate specified in section 4081(a)(2)(B).’’. tion 4041(a)(1) is amended by adding at the FUEL.—No tax shall be imposed by this sub- (P) Subsection (b) of section 9508 is amend- end the following new sentence: ‘‘This subsection on the sale or use of any aviation- ed by striking paragraph (3) and by redesig- paragraph shall not apply to aviation-grade grade kerosene if tax was imposed on such nating paragraphs (4) and (5) as paragraphs kerosene.’’. liquid under section 4081 and the tax thereon (3) and (4), respectively. (B) CONFORMING AMENDMENT.—The heading was not credited or refunded. (Q) Section 9508(c)(2)(A) is amended by for paragraph (1) of section 4041(a) is amend- ‘‘(3) RATE OF TAX.—The rate of tax imposed striking ‘‘sections 4081 and 4091’’ and inserted by inserting ‘‘AND KEROSENE’’ after ‘‘DIE- by this subsection shall be the rate of tax ing ‘‘section 4081’’. SEL FUEL’’. specified in section 4081(a)(2)(A)(iv) which is (R) The table of subparts for part III of (b) COMMERCIAL AVIATION.—Section 4083 is in effect at the time of such sale or use.’’. subchapter A of chapter 32 is amended to amended redesignating subsections (b) and (B) Section 4041(d)(2) is amended by strik- read as follows: (c) as subsections (c) and (d), respectively, ing ‘‘section 4091’’ and inserting ‘‘section ‘‘Subpart A. Motor and aviation fuels. and by inserting after subsection (a) the fol- 4081’’. lowing new subsection: (C) Section 4041 is amended by striking ‘‘Subpart B. Special provisions applicable to subsection (e). fuels tax.’’ ‘‘(b) COMMERCIAL AVIATION.—For purposes (D) Section 4041 is amended by striking (S) The heading for subpart A of part III of of this subpart, the term ‘commercial avia- subsection (i). tion’ means any use of an aircraft in a busi- subchapter A of chapter 32 is amended to (E) Section 4041(m)(1) is amended to read read as follows: ness of transporting persons or property for as follows: ‘‘Subpart A—Motor and Aviation Fuels’’. compensation or hire by air, unless properly ‘‘(1) IN GENERAL.—In the case of the sale or allocable to any transportation exempt from use of any partially exempt methanol or eth- (T) The heading for subpart B of part III of the taxes imposed by section 4261 and 4271 by anol fuel, the rate of the tax imposed by sub- subchapter A of chapter 32 is amended to reason of section 4281 or 4282 or by reason of section (a)(2) shall be— read as follows: section 4261(h).’’. ‘‘(A) after September 30, 1997, and before ‘‘Subpart B—Special Provisions Applicable to (c) REFUNDS.— September 30, 2009— Fuels Tax’’. (1) IN GENERAL.—Paragraph (4) of section ‘‘(i) in the case of fuel none of the alcohol (g) OTHER AMENDMENTS.— 6427(l) is amended to read as follows: in which consists of ethanol, 9.15 cents per (1) Section 4081(c) is amended by adding at ‘‘(4) REFUNDS FOR AVIATION-GRADE KER- gallon, and the end the following new flush sentence: OSENE.— ‘‘(ii) in any other case, 11.3 cents per gal- ‘‘In the case of any taxable fuel which is ‘‘(A) NO REFUND OF CERTAIN TAXES ON FUEL lon, and aviation-grade kerosene, this subsection USED IN COMMERCIAL AVIATION.—In the case of ‘‘(B) after September 30, 2009— shall not apply and the rules of section aviation-grade kerosene used in commercial ‘‘(i) in the case of fuel none of the alcohol 4091(c) (as in effect on the day before the aviation (as defined in section 4083(b)) (other in which consists of ethanol, 2.15 cents per date of the enactment of the Fuel Fraud Pre- than supplies for vessels or aircraft within gallon, and vention Act of 2004) shall apply.’’. the meaning of section 4221(d)(3)), paragraph ‘‘(ii) in any other case, 4.3 cents per gal- (2) For purposes of the Internal Revenue (1) shall not apply to so much of the tax im- lon.’’. Code of 1986, any reference to section 4091(c) posed by section 4081 as is attributable to— (F) Sections 4101(a), 4103, 4221(a), and 6206 shall be treated as a reference to the rules of ‘‘(i) the Leaking Underground Storage are each amended by striking ‘‘, 4081, or such section as in effect on the date before Tank Trust Fund financing rate imposed by 4091’’ and inserting ‘‘or 4081’’. the date of the enactment of this Act. such section, and (G) Section 6416(b)(2) is amended by strik- (f) EFFECTIVE DATE.—The amendments ‘‘(ii) so much of the rate of tax specified in ing ‘‘4091 or’’. made by this section shall apply to aviation- section 4081(a)(2)(A)(iv) as does not exceed 4.3 (H) Section 6416(b)(3) is amended by strik- grade kerosene removed, entered, or sold cents per gallon. ing ‘‘or 4091’’ each place it appears. after September 30, 2004. ‘‘(B) PAYMENT TO ULTIMATE, REGISTERED (I) Section 6416(d) is amended by striking (g) FLOOR STOCKS TAX.— VENDOR.—With respect to aviation-grade ker- ‘‘or to the tax imposed by section 4091 in the (1) IN GENERAL.—There is hereby imposed osene, if the ultimate purchaser of such ker- case of refunds described in section 4091(d)’’. on aviation-grade kerosene held on October osene waives (at such time and in such form (J) Section 6427(j)(1) is amended by strik- 1, 2004, by any person a tax equal to— and manner as the Secretary shall prescribe) ing ‘‘, 4081, and 4091’’ and inserting ‘‘and (A) the tax which would have been imposed the right to payment under paragraph (1) 4081’’. before such date on such kerosene had the and assigns such right to the ultimate ven- (K)(i) Section 6427(l)(1) is amended to read amendments made by this section been in ef- dor, then the Secretary shall pay the amount as follows: fect at all times before such date, reduced by which would be paid under paragraph (1) to ‘‘(1) IN GENERAL.—Except as otherwise pro- (B) the tax imposed before such date under such ultimate vendor, but only if such ulti- vided in this subsection and in subsection section 4091 of the Internal Revenue Code of mate vendor— (k), if any diesel fuel or kerosene on which 1986, as in effect on the day before the date ‘‘(i) is registered under section 4101, and tax has been imposed by section 4041 or 4081 of the enactment of this Act. ‘‘(ii) meets the requirements of subpara- is used by any person in a nontaxable use, (2) LIABILITY FOR TAX AND METHOD OF PAY- graph (A), (B), or (D) of section 6416(a)(1).’’. the Secretary shall pay (without interest) to MENT.— (2) TIME FOR FILING CLAIMS.—Paragraph (4) the ultimate purchaser of such fuel an (A) LIABILITY FOR TAX.—The person holding of section 6427(i) is amended by striking amount equal to the aggregate amount of the kerosene on October 1, 2004, to which the ‘‘subsection (l)(5)’’ and inserting ‘‘paragraph tax imposed on such fuel under section 4041 tax imposed by paragraph (1) applies shall be (4)(B) or (5) of subsection (l)’’. or 4081, as the case may be, reduced by any liable for such tax.

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(B) METHOD AND TIME FOR PAYMENT.—The (c) PENALTY FOR TAMPERING WITH OR FAIL- (b) EFFECTIVE DATE.—The amendment tax imposed by paragraph (1) shall be paid at ING TO MAINTAIN SECURITY REQUIREMENTS made by this section shall apply to penalties such time and in such manner as the Sec- FOR MECHANICAL DYE INJECTION SYSTEMS.— assessed after the date of the enactment of retary of the Treasury shall prescribe, in- (1) IN GENERAL.—Part I of subchapter B of this Act. cluding the nonapplication of such tax on de chapter 68 (relating to assessable penalties) SEC. 5223. PENALTY ON UNTAXED CHEMICALLY minimis amounts of kerosene. is amended by adding after section 6715 the ALTERED DYED FUEL MIXTURES. (3) TRANSFER OF FLOOR STOCK TAX REVE- following new section: (a) IN GENERAL.—Section 6715(a) (relating NUES TO TRUST FUNDS.—For purposes of de- ‘‘SEC. 6715A. TAMPERING WITH OR FAILING TO to dyed fuel sold for use or used in taxable termining the amount transferred to any MAINTAIN SECURITY REQUIRE- use, etc.) is amended by striking ‘‘or’’ in trust fund, the tax imposed by this sub- MENTS FOR MECHANICAL DYE IN- paragraph (2), by inserting ‘‘or’’ at the end of section shall be treated as imposed by sec- JECTION SYSTEMS. paragraph (3), and by inserting after para- tion 4081 of the Internal Revenue Code of ‘‘(a) IMPOSITION OF PENALTY— graph (3) the following new paragraph: 1986— ‘‘(1) TAMPERING.—If any person tampers ‘‘(4) any person who has knowledge that a (A) at the Leaking Underground Storage with a mechanical dye injection system used dyed fuel which has been altered as described Tank Trust Fund financing rate under such to indelibly dye fuel for purposes of section in paragraph (3) sells or holds for sale such section to the extent of 0.1 cents per gallon, 4082, then such person shall pay a penalty in fuel for any use which the person knows or and addition to the tax (if any). has reason to know is not a nontaxable use (B) at the rate under section ‘‘(2) FAILURE TO MAINTAIN SECURITY RE- of such fuel,’’. QUIREMENTS.—If any operator of a mechan- 4081(a)(2)(A)(iv) to the extent of the remain- (b) CONFORMING AMENDMENT.—Section ical dye injection system used to indelibly der. 6715(a)(3) is amended by striking ‘‘alters, or dye fuel for purposes of section 4082 fails to (4) HELD BY A PERSON.—For purposes of this attempts to alter,’’ and inserting ‘‘alters, maintain the security standards for such section, kerosene shall be considered as held chemically or otherwise, or attempts to so system as established by the Secretary, then by a person if title thereto has passed to alter,’’. such operator shall pay a penalty. such person (whether or not delivery to the (c) EFFECTIVE DATE.—The amendments ‘‘(b) AMOUNT OF PENALTY.—The amount of person has been made). made by this section shall take effect on the the penalty under subsection (a) shall be— (5) OTHER LAWS APPLICABLE.—All provi- date of the enactment of this Act. sions of law, including penalties, applicable ‘‘(1) for each violation described in paragraph (1), the greater of— SEC. 5224. TERMINATION OF DYED DIESEL USE with respect to the tax imposed by section BY INTERCITY BUSES. 4081 of such Code shall, insofar as applicable ‘‘(A) $25,000, or (a) IN GENERAL.—Paragraph (3) of section and not inconsistent with the provisions of ‘‘(B) $10 for each gallon of fuel involved, and 4082(b) (relating to nontaxable use) is amend- this subsection, apply with respect to the ed to read as follows: floor stock tax imposed by paragraph (1) to ‘‘(2) for each— ‘‘(A) failure to maintain security standards ‘‘(3) any use described in section the same extent as if such tax were imposed 4041(a)(1)(C)(iii)(II).’’. by such section. described in paragraph (2), $1,000, and ‘‘(B) failure to correct a violation de- (b) ULTIMATE VENDOR REFUND.—Subsection SEC. 5212. TRANSFER OF CERTAIN AMOUNTS (b) of section 6427 is amended by adding at FROM THE AIRPORT AND AIRWAY scribed in paragraph (2), $1,000 per day for TRUST FUND TO THE HIGHWAY each day after which such violation was dis- the end the following new paragraph: TRUST FUND TO REFLECT HIGHWAY covered or such person should have reason- ‘‘(4) REFUNDS FOR USE OF DIESEL FUEL IN USE OF JET FUEL. ably known of such violation. CERTAIN INTERCITY BUSES.— (a) IN GENERAL.—Section 9502(d) is amend- ‘‘(c) JOINT AND SEVERAL LIABILITY.— ‘‘(A) IN GENERAL.—With respect to any fuel ed by adding at the end the following new ‘‘(1) IN GENERAL.—If a penalty is imposed to which paragraph (2)(A) applies, if the ulti- paragraph: under this section on any business entity, mate purchaser of such fuel waives (at such ‘‘(7) TRANSFERS FROM THE TRUST FUND TO each officer, employee, or agent of such enti- time and in such form and manner as the THE HIGHWAY TRUST FUND TO REFLECT HIGH- ty or other contracting party who willfully Secretary shall prescribe) the right to pay- WAY USE OF JET FUEL.— participated in any act giving rise to such ment under paragraph (1) and assigns such ‘‘(A) IN GENERAL.—The Secretary shall pay penalty shall be jointly and severally liable right to the ultimate vendor, then the Sec- from the Airport and Airway Trust Fund with such entity for such penalty. retary shall pay the amount which would be into the Highway Trust Fund— ‘‘(2) AFFILIATED GROUPS.—If a business en- paid under paragraph (1) to such ultimate ‘‘(i) $395,000,000 in fiscal year 2005, tity described in paragraph (1) is part of an vendor, but only if such ultimate vendor— ‘‘(ii) $425,000,000 in fiscal year 2006, affiliated group (as defined in section ‘‘(i) is registered under section 4101, and ‘‘(iii) $429,000,000 in fiscal year 2007, 1504(a)), the parent corporation of such enti- ‘‘(ii) meets the requirements of subpara- ‘‘(iv) $432,000,000 in fiscal year 2008, and ty shall be jointly and severally liable with graph (A), (B), or (D) of section 6416(a)(1). ‘‘(v) $435,000,000 in fiscal year 2009. such entity for the penalty imposed under ‘‘(B) CREDIT CARDS.—For purposes of this ‘‘(B) AMOUNTS TRANSFERRED TO MASS TRAN- this section.’’. paragraph, if the sale of such fuel is made by SIT ACCOUNT.—The Secretary shall transfer 11 (2) CLERICAL AMENDMENT.—The table of means of a credit card, the person extending percent of the amounts paid into the High- sections for part I of subchapter B of chapter credit to the ultimate purchaser shall be way Trust Fund under subparagraph (A) to 68 is amended by adding after the item redeemed to be the ultimate vendor.’’. the Mass Transit Account established under lated to section 6715 the following new item: (c) PAYMENT OF REFUNDS.—Subparagraph section 9503(e).’’. (A) of section 6427(i)(4), as amended by sec- (b) CONFORMING AMENDMENTS.— ‘‘Sec. 6715A. Tampering with or failing to tion 5211 of this Act, is amended by inserting (1) Subsection (a) of section 9503 is amend- maintain security requirements ‘‘subsections (b)(4) and’’ after ‘‘filed under’’. for mechanical dye injection ed— (d) EFFECTIVE DATE.—The amendments (A) by striking ‘‘appropriated or credited’’ systems.’’. made by this section shall apply to fuel sold and inserting ‘‘paid, appropriated, or cred- (d) EFFECTIVE DATE.—The amendments after September 30, 2004. ited’’, and made by subsections (a) and (c) shall take ef- PART III—MODIFICATION OF INSPECTION (B) by striking ‘‘or section 9602(b)’’ and in- fect 180 days after the date on which the Sec- OF RECORDS PROVISIONS serting ‘‘, section 9502(d)(7), or section retary issues the regulations described in 9602(b)’’. subsection (b). SEC. 5231. AUTHORITY TO INSPECT ON-SITE RECORDS. (2) Subsection (e)(1) of section 9503 is SEC. 5222. ELIMINATION OF ADMINISTRATIVE RE- amended by striking ‘‘or section 9602(b)’’ and VIEW FOR TAXABLE USE OF DYED (a) IN GENERAL.—Section 4083(d)(1)(A) (re- inserting ‘‘, section 9502(d)(7), or section FUEL. lating to administrative authority), as 9602(b)’’. (a) IN GENERAL.—Section 6715 is amended amended by section 5211 of this Act, is (c) EFFECTIVE DATE.—The amendments by inserting at the end the following new amended by striking ‘‘and’’ at the end of made by this section shall take effect on Oc- subsection: clause (i) and by inserting after clause (ii) tober 1, 2004. ‘‘(e) NO ADMINISTRATIVE APPEAL FOR THIRD the following new clause: PART II—DYED FUEL AND SUBSEQUENT VIOLATIONS.—In the case of ‘‘(iii) inspecting any books and records and any person who is found to be subject to the any shipping papers pertaining to such fuel, SEC. 5221. DYE INJECTION EQUIPMENT. and’’. (a) IN GENERAL.—Section 4082(a)(2) (relat- penalty under this section after a chemical (b) EFFECTIVE DATE.—The amendments ing to exemptions for diesel fuel and ker- analysis of such fuel and who has been penal- made by this section shall take effect on the osene) is amended by inserting ‘‘by mechan- ized under this section at least twice after ical injection’’ after ‘‘indelibly dyed’’. the date of the enactment of this subsection, date of the enactment of this Act. (b) DYE INJECTOR SECURITY.—Not later no administrative appeal or review shall be SEC. 5232. ASSESSABLE PENALTY FOR REFUSAL than June 30, 2004, the Secretary of the allowed with respect to such finding except OF ENTRY. Treasury shall issue regulations regarding in the case of a claim regarding— (a) IN GENERAL.—Part I of subchapter B of mechanical dye injection systems described ‘‘(1) fraud or mistake in the chemical anal- chapter 68 (relating to assessable penalties), in the amendment made by subsection (a), ysis, or as amended by section 5221 of this Act, is and such regulations shall include standards ‘‘(2) mathematical calculation of the amended by adding at the end the following for making such systems tamper resistant. amount of the penalty.’’. new section:

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‘‘SEC. 6717. REFUSAL OF ENTRY. product of such amount and the number of (c) EFFECTIVE DATE.—The amendments ‘‘(a) IN GENERAL.—In addition to any other prior penalties (if any) imposed by this sec- made by this section shall take effect on Oc- penalty provided by law, any person who re- tion on such person (or a related person or tober 1, 2004. fuses to admit entry or refuses to permit any any predecessor of such person or related other action by the Secretary authorized by SEC. 5243. REGISTRATION OF PERSONS WITHIN person). FOREIGN TRADE ZONES, ETC.. section 4083(d)(1) shall pay a penalty of $1,000 ‘‘(c) JOINT AND SEVERAL LIABILITY.— for such refusal. ‘‘(1) IN GENERAL.—If a penalty is imposed (a) IN GENERAL.—Section 4101(a), as amend- ‘‘(b) JOINT AND SEVERAL LIABILITY.— under this section on any business entity, ed by section 5242 of this Act, is amended by ‘‘(1) IN GENERAL.—If a penalty is imposed each officer, employee, or agent of such enti- redesignating paragraph (2) as paragraph (3), under this section on any business entity, ty or other contracting party who willfully and by inserting after paragraph (1) the fol- each officer, employee, or agent of such enti- participated in any act giving rise to such lowing new paragraph: ty or other contracting party who willfully penalty shall be jointly and severally liable ‘‘(2) REGISTRATION OF PERSONS WITHIN FOR- participated in any act giving rise to such with such entity for such penalty. EIGN TRADE ZONES, ETC..—The Secretary shall penalty shall be jointly and severally liable ‘‘(2) AFFILIATED GROUPS.—If a business en- require registration by any person which— with such entity for such penalty. tity described in paragraph (1) is part of an ‘‘(A) operates a terminal or refinery within ‘‘(2) AFFILIATED GROUPS.—If a business en- affiliated group (as defined in section a foreign trade zone or within a customs tity described in paragraph (1) is part of an 1504(a)), the parent corporation of such enti- bonded storage facility, or affiliated group (as defined in section ty shall be jointly and severally liable with ‘‘(B) holds an inventory position with re- 1504(a)), the parent corporation of such enti- such entity for the penalty imposed under spect to a taxable fuel in such a terminal.’’. ty shall be jointly and severally liable with this section. (b) EFFECTIVE DATE.—The amendments such entity for the penalty imposed under ‘‘(d) REASONABLE CAUSE EXCEPTION.—No made by this section shall take effect on Oc- this section. penalty shall be imposed under this section tober 1, 2004. ‘‘(c) REASONABLE CAUSE EXCEPTION.—No with respect to any failure if it is shown that penalty shall be imposed under this section such failure is due to reasonable cause.’’. SEC. 5244. PENALTIES FOR FAILURE TO REG- ISTER AND FAILURE TO REPORT. with respect to any failure if it is shown that (2) CLERICAL AMENDMENT.—The table of such failure is due to reasonable cause.’’. sections for part I of subchapter B of chapter (a) INCREASED PENALTY.—Subsection (a) of (b) CONFORMING AMENDMENTS.— 68, as amended by section 5232 of this Act, is section 7272 (relating to penalty for failure (1) Section 4083(d)(3), as amended by sec- amended by adding at the end the following to register) is amended by inserting ‘‘($10,000 tion 5211 of this Act, is amended— new item: in the case of a failure to register under sec- (A) by striking ‘‘ENTRY.—The penalty’’ and ‘‘Sec. 6718. Carrying taxable fuels by nonreg- tion 4101)’’ after ‘‘$50’’. inserting: ‘‘ENTRY.— istered pipelines or vessels.’’. (b) INCREASED CRIMINAL PENALTY.—Section ‘‘(A) FORFEITURE.—The penalty’’, and 7232 (relating to failure to register under sec- (B) by adding at the end the following new (c) PUBLICATION OF REGISTERED PERSONS.— Not later than June 30, 2004, the Secretary of tion 4101, false representations of registra- subparagraph: the Treasury shall publish a list of persons tion status, etc.) is amended by striking ‘‘(B) ASSESSABLE PENALTY.—For additional required to be registered under section 4101 ‘‘$5,000’’ and inserting ‘‘$10,000’’. assessable penalty for the refusal to admit of the Internal Revenue Code of 1986. (c) ASSESSABLE PENALTY FOR FAILURE TO entry or other refusal to permit an action by (d) EFFECTIVE DATE.—The amendments REGISTER.— the Secretary authorized by paragraph (1), made by subsections (a) and (b) shall take ef- (1) IN GENERAL.—Part I of subchapter B of see section 6717.’’. fect on October 1, 2004. chapter 68 (relating to assessable penalties), (2) The table of sections for part I of sub- SEC. 5242. DISPLAY OF REGISTRATION. as amended by section 5242 of this Act, is chapter B of chapter 68, as amended by sec- (a) IN GENERAL.—Subsection (a) of section amended by adding at the end the following tion 5221 of this Act, is amended by adding at 4101 (relating to registration) is amended— new section: the end the following new item: (1) by striking ‘‘Every’’ and inserting the ‘‘SEC. 6720. FAILURE TO REGISTER. ‘‘Sec. 6717. Refusal of entry.’’. following: ‘‘(1) IN GENERAL.—Every’’, and ‘‘(a) FAILURE TO REGISTER.—Every person (c) EFFECTIVE DATE.—The amendments (2) by adding at the end the following new who is required to register under section 4101 made by this section shall take effect on Oc- paragraph: tober 1, 2004. and fails to do so shall pay a penalty in addi- ‘‘(2) DISPLAY OF REGISTRATION.—Every option to the tax (if any). PART IV—REGISTRATION AND erator of a vessel required by the Secretary ‘‘(b) AMOUNT OF PENALTY.—The amount of REPORTING REQUIREMENTS to register under this section shall display the penalty under subsection (a) shall be— SEC. 5241. REGISTRATION OF PIPELINE OR VES- proof of registration through an electronic ‘‘(1) $10,000 for each initial failure to reg- SEL OPERATORS REQUIRED FOR EX- identification device prescribed by the Sec- ister, and EMPTION OF BULK TRANSFERS TO retary on each vessel used by such operator ‘‘(2) $1,000 for each day thereafter such per- REGISTERED TERMINALS OR REFIN- to transport any taxable fuel.’’. ERIES. (b) CIVIL PENALTY FOR FAILURE TO DISPLAY son fails to register. (a) IN GENERAL.—Section 4081(a)(1)(B) (re- REGISTRATION.— ‘‘(c) REASONABLE CAUSE EXCEPTION.—No lating to exemption for bulk transfers to reg- (1) IN GENERAL.—Part I of subchapter B of penalty shall be imposed under this section istered terminals or refineries) is amended— chapter 68 (relating to assessable penalties), with respect to any failure if it is shown that (1) by inserting ‘‘by pipeline or vessel’’ as amended by section 5241 of this Act, is such failure is due to reasonable cause.’’. after ‘‘transferred in bulk’’, and amended by adding at the end the following (2) CLERICAL AMENDMENT.—The table of (2) by inserting ‘‘, the operator of such new section: sections for part I of subchapter B of chapter pipeline or vessel,’’ after ‘‘the taxable fuel’’. ‘‘SEC. 6719. FAILURE TO DISPLAY REGISTRATION 68, as amended by section 5242 of this Act, is (b) CIVIL PENALTY FOR CARRYING TAXABLE OF VESSEL. amended by adding at the end the following FUELS BY NONREGISTERED PIPELINES OR VES- ‘‘(a) FAILURE TO DISPLAY REGISTRATION.— new item: SELS.— Every operator of a vessel who fails to dis- (1) IN GENERAL.—Part I of subchapter B of play proof of registration pursuant to sec- ‘‘Sec. 6720. Failure to register.’’. chapter 68 (relating to assessable penalties), tion 4101(a)(2) shall pay a penalty of $500 for as amended by section 5232 of this Act, is each such failure. With respect to any vessel, (d) ASSESSABLE PENALTY FOR FAILURE TO amended by adding at the end the following only one penalty shall be imposed by this REPORT.— new section: section during any calendar month. (1) IN GENERAL.—Part II of subchapter B of ‘‘SEC. 6718. CARRYING TAXABLE FUELS BY NON- ‘‘(b) MULTIPLE VIOLATIONS.—In deter- chapter 68 (relating to assessable penalties) REGISTERED PIPELINES OR VES- mining the penalty under subsection (a) on is amended by adding at the end the fol- SELS. any person, subsection (a) shall be applied by lowing new section: ‘‘(a) IMPOSITION OF PENALTY.—If any person increasing the amount in subsection (a) by the product of such amount and the number ‘‘SEC. 6725. FAILURE TO REPORT INFORMATION knowingly transfers any taxable fuel (as de- UNDER SECTION 4101. fined in section 4083(a)(1)) in bulk pursuant of prior penalties (if any) imposed by this to section 4081(a)(1)(B) to an unregistered, section on such person (or a related person ‘‘(a) IN GENERAL.—In the case of each fail- such person shall pay a penalty in addition or any predecessor of such person or related ure described in subsection (b) by any person to the tax (if any). person). with respect to a vessel or facility, such per- ‘‘(b) AMOUNT OF PENALTY.— ‘‘(c) REASONABLE CAUSE EXCEPTION.—No son shall pay a penalty of $10,000 in addition ‘‘(1) IN GENERAL.—Except as provided in penalty shall be imposed under this section to the tax (if any). paragraph (2), the amount of the penalty with respect to any failure if it is shown that ‘‘(b) FAILURES SUBJECT TO PENALTY.—For under subsection (a) on each act shall be an such failure is due to reasonable cause.’’. purposes of subsection (a), the failures de- amount equal to the greater of— (2) CLERICAL AMENDMENT.—The table of scribed in this subsection are— ‘‘(A) $10,000, or sections for part I of subchapter B of chapter ‘‘(1) any failure to make a report under ‘‘(B) $1 per gallon. 68, as amended by section 5241 of this Act, is section 4101(d) on or before the date pre- ‘‘(2) MULTIPLE VIOLATIONS.—In determining amended by adding at the end the following scribed therefor, and the penalty under subsection (a) on any per- new item: ‘‘(2) any failure to include all of the infor- son, paragraph (1) shall be applied by in- ‘‘Sec. 6719. Failure to display registration of mation required to be shown on such report creasing the amount in paragraph (1) by the vessel.’’. or the inclusion of incorrect information.

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‘‘(c) REASONABLE CAUSE EXCEPTION.—No chapter A of chapter 31 of the Internal Rev- (2) FILING OF CLAIMS.—Section 6427(i) is penalty shall be imposed under this section enue Code of 1986, as amended by section 5245 amended by inserting at the end the fol- with respect to any failure if it is shown that of this Act, is amended by adding after the lowing new paragraph: such failure is due to reasonable cause.’’. last item the following new item: ‘‘(5) SPECIAL RULE FOR VENDOR REFUNDS WITH RESPECT TO FARMERS.— (2) CLERICAL AMENDMENT.—The table of ‘‘Sec. 4105. Tax at entry where importer not ‘‘(A) IN GENERAL.—A claim may be filed sections for part II of subchapter B of chap- registered.’’. ter 68 is amended by adding at the end the under subsection (l)(6) by any person with re- following new item: (b) DENIAL OF ENTRY WHERE TAX NOT spect to fuel sold by such person for any pe- PAID.—The Secretary of Homeland Security riod— ‘‘Sec. 6725. Failure to report information is authorized to deny entry into the United ‘‘(i) for which $200 or more ($100 or more in under section 4101.’’. States of any shipment of a fuel which is the case of kerosene) is payable under sub- (e) EFFECTIVE DATE.—The amendments taxable under section 4081 of the Internal section (l)(6), made by this section shall apply to failures Revenue Code of 1986 if the person entering ‘‘(ii) which is not less than 1 week, and pending or occurring after September 30, such shipment fails to pay the tax imposed ‘‘(iii) which is for not more than 500 gal- 2004. under such section or post a bond in accord- lons for each farmer for which there is a SEC. 5245. INFORMATION REPORTING FOR PER- ance with the provisions of section 4105 of claim. SONS CLAIMING CERTAIN TAX BENE- such Code. Notwithstanding subsection (l)(1), paragraph FITS. (c) EFFECTIVE DATE.—The amendments (3)(B) shall apply to claims filed under the (a) IN GENERAL.—Subpart C of part III of made by this section shall take effect on the preceding sentence. subchapter A of chapter 32 is amended by date of the enactment of this Act. ‘‘(B) TIME FOR FILING CLAIM.—No claim adding at the end the following new section: SEC. 5252. RECONCILIATION OF ON-LOADED filed under this paragraph shall be allowed ‘‘SEC. 4104. INFORMATION REPORTING FOR PER- CARGO TO ENTERED CARGO. unless filed on or before the last day of the SONS CLAIMING CERTAIN TAX BENE- (a) IN GENERAL.—Subsection (a) of section first quarter following the earliest quarter FITS. 343 of the Trade Act of 2002 is amended by in- included in the claim.’’. ‘‘(a) IN GENERAL.—The Secretary shall re- serting at the end the following new para- (3) CONFORMING AMENDMENTS.— quire any person claiming tax benefits— graph: ‘‘(1) under the provisions of section 34, 40, (A) Section 6427(l)(5)(A) is amended to read ‘‘(4) IN GENERAL.—Subject to paragraphs as follows: and 40A to file a return at the time such per- (2) and (3), not later than 1 year after the en- son claims such benefits (in such manner as ‘‘(A) IN GENERAL.—Paragraph (1) shall not actment of this paragraph, the Secretary of apply to diesel fuel or kerosene used by a the Secretary may prescribe), and Homeland Security, together with the Sec- ‘‘(2) under the provisions of section State or local government.’’. retary of the Treasury, shall promulgate reg- (B) The heading for section 6427(l)(5) is 4041(b)(2), 6426, or 6427(e) to file a monthly re- ulations providing for the transmission to turn (in such manner as the Secretary may amended by striking ‘‘FARMERS AND’’. the Internal Revenue Service, through an (b) Section 6427(i)(3) is amended— prescribe). electronic data interchange system, of infor- (1) by adding at the end of subparagraph ‘‘(b) CONTENTS OF RETURN.—Any return mation pertaining to cargo of taxable fuels (A) the following new flush sentence: filed under this section shall provide such in- (as defined in section 4083 of the Internal formation relating to such benefits and the ‘‘In the case of an electronic claim, this sub- Revenue Code of 1986) destined for importa- paragraph shall be applied without regard to coordination of such benefits as the Sec- tion into the United States prior to such im- retary may require to ensure the proper ad- clause (i).’’, and portation.’’. (2) by striking ‘‘20 days of the date of the ministration and use of such benefits. (b) EFFECTIVE DATE.—The amendment ‘‘(c) ENFORCEMENT.—With respect to any filing of such claim’’ in subparagraph (B) and made by this section shall take effect on the inserting ‘‘45 days of the date of the filing of person described in subsection (a) and sub- date of the enactment of this Act. ject to registration requirements under this such claim (20 days in the case of an elec- title, rules similar to rules of section 4222(c) PART VI—MISCELLANEOUS PROVISIONS tronic claim)’’, and shall apply with respect to any requirement SEC. 5261. TAX ON SALE OF DIESEL FUEL WHETH- (c) EFFECTIVE DATE.—The amendment made by this section shall apply to fuels sold under this section.’’. ER SUITABLE FOR USE OR NOT IN A DIESEL-POWERED VEHICLE OR for nontaxable use after the date of the en- (b) CONFORMING AMENDMENT.—The table of TRAIN. sections for subpart C of part III of sub- actment of this Act. (a) IN GENERAL.—Section 4083(a)(3) is chapter A of chapter 32 is amended by adding SEC. 5263. TAXABLE FUEL REFUNDS FOR CER- amended— at the end the following new item: TAIN ULTIMATE VENDORS. (1) by striking ‘‘The term’’ and inserting (a) IN GENERAL.—Paragraph (4) of section ‘‘Sec. 4104. Information reporting for per- the following: 6416(a) (relating to abatements, credits, and sons claiming certain tax bene- ‘‘(A) IN GENERAL.—The term’’, and refunds) is amended to read as follows: fits.’’. (2) by inserting at the end the following ‘‘(4) REGISTERED ULTIMATE VENDOR TO AD- (c) EFFECTIVE DATE.—The amendments new subparagraph: MINISTER CREDITS AND REFUNDS OF GASOLINE made by this section shall take effect on Oc- ‘‘(B) LIQUID SOLD AS DIESEL FUEL.—The TAX.— tober 1, 2004. term ‘diesel fuel’ includes any liquid which ‘‘(A) IN GENERAL.—For purposes of this sub- PART V—IMPORTS is sold as or offered for sale as a fuel in a die- section, if an ultimate vendor purchases any SEC. 5251. TAX AT POINT OF ENTRY WHERE IM- sel-powered highway vehicle or a diesel-pow- gasoline on which tax imposed by section PORTER NOT REGISTERED. ered train.’’. 4081 has been paid and sells such gasoline to (a) TAX AT POINT OF ENTRY WHERE IM- (b) EFFECTIVE DATE.—The amendments an ultimate purchaser described in subpara- PORTER NOT REGISTERED.— made by this section shall take effect on the graph (C) or (D) of subsection (b)(2) (and such (1) IN GENERAL.—Subpart C of part III of date of the enactment of this Act. gasoline is for a use described in such sub- subchapter A of chapter 31, as amended by SEC. 5262. MODIFICATION OF ULTIMATE VENDOR paragraph), such ultimate vendor shall be section 5245 of this Act, is amended by add- REFUND CLAIMS WITH RESPECT TO treated as the person (and the only person) ing at the end the following new section: FARMING. who paid such tax, but only if such ultimate N ENERAL ‘‘SEC. 4105. TAX AT ENTRY WHERE IMPORTER (a) I G .— vendor is registered under section 4101. For NOT REGISTERED. (1) REFUNDS.—Section 6427(l) is amended by purposes of this subparagraph, if the sale of ‘‘(a) IN GENERAL.—Any tax imposed under adding at the end the following new para- gasoline is made by means of a credit card, this part on any person not registered under graph: the person extending the credit to the ulti- section 4101 for the entry of a fuel into the ‘‘(6) REGISTERED VENDORS PERMITTED TO AD- mate purchaser shall be deemed to be the ul- United States shall be imposed at the time MINISTER CERTAIN CLAIMS FOR REFUND OF DIE- timate vendor. and point of entry. SEL FUEL AND KEROSENE SOLD TO FARMERS.— ‘‘(B) TIMING OF CLAIMS.—The procedure and ‘‘(b) ENFORCEMENT OF ASSESSMENT.—If any ‘‘(A) IN GENERAL.—In the case of diesel fuel timing of any claim under subparagraph (A) person liable for any tax described under or kerosene used on a farm for farming pur- shall be the same as for claims under section subsection (a) has not paid the tax or posted poses (within the meaning of section 6420(c)), 6427(i)(4), except that the rules of section a bond, the Secretary may— paragraph (1) shall not apply to the aggre- 6427(i)(3)(B) regarding electronic claims shall ‘‘(1) seize the fuel on which the tax is due, gate amount of such diesel fuel or kerosene not apply unless the ultimate vendor has or if such amount does not exceed 500 gallons certified to the Secretary for the most re- ‘‘(2) detain any vehicle transporting such (as determined under subsection cent quarter of the taxable year that all ulti- fuel, (i)(5)(A)(iii)). mate purchasers of the vendor are certified until such tax is paid or such bond is filed. ‘‘(B) PAYMENT TO ULTIMATE VENDOR.—The and entitled to a refund under subparagraph ‘‘(c) LEVY OF FUEL.—If no tax has been paid amount which would (but for subparagraph (C) or (D) of subsection (b)(2).’’. or no bond has been filed within 5 days from (A)) have been paid under paragraph (1) with (b) CREDIT CARD PURCHASES OF DIESEL the date the Secretary seized fuel pursuant respect to any fuel shall be paid to the ulti- FUEL OR KEROSENE BY STATE AND LOCAL GOV- to subsection (b), the Secretary may sell mate vendor of such fuel, if such vendor— ERNMENTS.—Section 6427(l)(5)(C) (relating to such fuel as provided under section 6336.’’. ‘‘(i) is registered under section 4101, and nontaxable uses of diesel fuel, kerosene, and (2) CONFORMING AMENDMENT.—The table of ‘‘(ii) meets the requirements of subpara- aviation fuel), as amended by section 5252 of sections for subpart C of part III of sub- graph (A), (B), or (D) of section 6416(a)(1).’’. this Act, is amended by adding at the end

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the following new sentence: ‘‘For purposes of ‘‘(2) DISPLAY OF TAX CERTIFICATE.—Every (1) IN GENERAL.—Section 4081(a), as amend- this subparagraph, if the sale of diesel fuel or taxpayer which pays the tax imposed under ed by this Act, is amended— kerosene is made by means of a credit card, this section with respect to a highway motor (A) by inserting ‘‘or reportable liquid’’ the person extending the credit to the ulti- vehicle shall, not later than 1 month after after ‘‘taxable fuel’’ each place it appears, mate purchaser shall be deemed to be the ul- the due date of the return of tax with respect and timate vendor.’’. to each taxable period, receive and display (B) by inserting ‘‘such liquid’’ after ‘‘such (c) EFFECTIVE DATE.—The amendments on such vehicle an electronic identification fuel’’ in paragraph (1)(A)(iv). made by this section shall take effect on Oc- device prescribed by the Secretary.’’. (2) RATE OF TAX.—Subparagraph (A) of sec- tober 1, 2004. (c) ELECTRONIC FILING.—Section 4481 is tion 4081(a)(2), as amended by section 5211 of SEC. 5264. TWO-PARTY EXCHANGES. amended by redesignating subsection (e) as this Act, is amended by striking ‘‘and’’ at (a) IN GENERAL.—Subpart C of part III of subsection (f) and by inserting after sub- the end of clause (iii), by striking the period subchapter A of chapter 32, as amended by section (d) the following new subsection: at the end of clause (iv) and inserting ‘‘, section 5251 of this Act, is amended by add- ‘‘(e) ELECTRONIC FILING.—Any taxpayer and’’, and by adding at the end the following ing at the end the following new section: who files a return under this section with renew clause: ‘‘SEC. 4106. TWO-PARTY EXCHANGES. spect to 25 or more vehicles for any taxable ‘‘(v) in the case of reportable liquids, the ‘‘(a) IN GENERAL.—In a two-party ex- period shall file such return electronically.’’. rate determined under section 4083(c)(2).’’. change, the delivering person shall not be (d) REPEAL OF REDUCTION IN TAX FOR CER- (3) EXEMPTION.—Section 4081(a)(1) is liable for the tax imposed under of section TAIN TRUCKS.—Section 4483 of the Internal amended by adding at the end the following 4081(a)(1)(A)(ii). Revenue Code of 1986 is amended by striking new subparagraph: ‘‘(b) TWO-PARTY EXCHANGE.—The term subsection (f). ‘‘(C) EXEMPTION FOR REGISTERED TRANSFERS ‘two-party exchange’ means a transaction, (e) EFFECTIVE DATES.— OF REPORTABLE LIQUIDS.—The tax imposed by other than a sale, in which taxable fuel is (1) IN GENERAL.—Except as provided in this paragraph shall not apply to any re- transferred from a delivering person reg- paragraph (2), the amendments made by this moval, entry, or sale of a reportable liquid istered under section 4101 as a taxable fuel section shall apply to taxable periods begin- if— registrant to a receiving person who is so ning after the date of the enactment of this ‘‘(i) such removal, entry, or sale is to a reg- registered where all of the following occur: Act. istered person who certifies that such liquid ‘‘(1) The transaction includes a transfer (2) SUBSECTION (b).—The amendment made will not be used as a fuel or in the produc- from the delivering person, who holds the in- by subsection (b) shall take effect on October tion of a fuel, or ventory position for taxable fuel in the ter- 1, 2005. ‘‘(ii) the sale is to the ultimate purchaser minal as reflected in the records of the ter- SEC. 5266. DEDICATION OF REVENUES FROM of such liquid.’’. minal operator. CERTAIN PENALTIES TO THE HIGH- (4) REPORTABLE LIQUIDS.—Section 4083, as ‘‘(2) The exchange transaction occurs be- WAY TRUST FUND. amended by this Act, is amended by redesig- fore or contemporaneous with completion of (a) IN GENERAL.—Subsection (b) of section nating subsections (c) and (d) (as redesig- removal across the rack from the terminal 9503 (relating to transfer to Highway Trust nated by section 5211 of this Act) as sub- by the receiving person. Fund of amounts equivalent to certain sections (d) and (e), respectively, and by in- ‘‘(3) The terminal operator in its books and taxes), as amended by section 5101 of this serting after subsection (b) the following new records treats the receiving person as the Act, is amended by redesignating paragraph section: (5) as paragraph (6) and inserting after para- person that removes the product across the ‘‘(c) REPORTABLE LIQUID.—For purposes of terminal rack for purposes of reporting the graph (4) the following new paragraph: this subpart— ‘‘(5) CERTAIN PENALTIES.—There are hereby transaction to the Secretary. ‘‘(1) IN GENERAL.—The term ‘reportable liq- ‘‘(4) The transaction is the subject of a appropriated to the Highway Trust Fund uid’ means any petroleum-based liquid other written contract.’’. amounts equivalent to the penalties assessed than a taxable fuel. (b) CONFORMING AMENDMENT.—The table of under sections 6715, 6715A, 6717, 6718, 6719, ‘‘(2) TAXATION.— sections for subpart C of part III of sub- 6720, 6725, 7232, and 7272 (but only with regard ‘‘(A) GASOLINE BLEND STOCKS AND ADDI- chapter A of chapter 32, as amended by sec- to penalties under such section related to TIVES.—Gasoline blend stocks and additives tion 5251 of this Act, is amended by adding failure to register under section 4101).’’. which are reportable liquids (as defined in after the last item the following new item: (b) CONFORMING AMENDMENTS.— paragraph (1)) shall be subject to the rate of ‘‘Sec. 4106. Two-party exchanges.’’. (1) The heading of subsection (b) of section tax under clause (i) of section 4081(a)(2)(A). 9503 is amended by inserting ‘‘AND PEN- (c) EFFECTIVE DATE.—The amendment ‘‘(B) OTHER REPORTABLE LIQUIDS.—Any re- ALTIES’’ after ‘‘TAXES’’. portable liquid (as defined in paragraph (1)) made by this section shall take effect on the (2) The heading of paragraph (1) of section date of the enactment of this Act. not described in subparagraph (A) shall be 9503(b) is amended by striking ‘‘IN GENERAL’’ subject to the rate of tax under clause (iii) of SEC. 5265. MODIFICATIONS OF TAX ON USE OF and inserting ‘‘CERTAIN TAXES’’. CERTAIN VEHICLES. section 4081(a)(2)(A).’’. (c) EFFECTIVE DATE.—The amendments (a) NO PRORATION OF TAX UNLESS VEHICLE (5) CONFORMING AMENDMENTS.— made by this section shall apply to penalties (A) Section 4081(e) is amended by inserting IS DESTROYED OR STOLEN.— assessed after October 1, 2004. (1) IN GENERAL.—Section 4481(c) (relating ‘‘or reportable liquid’’ after ‘‘taxable fuel’’. to proration of tax) is amended to read as SEC. 5267. NONAPPLICATION OF EXPORT EXEMP- (B) Section 4083(d) (relating to certain use TION TO DELIVERY OF FUEL TO defined as removal), as redesignated by para- follows: MOTOR VEHICLES REMOVED FROM ‘‘(c) PRORATION OF TAX WHERE VEHICLE UNITED STATES. graph (4), is amended by inserting ‘‘or reportable liquid’’ after ‘‘taxable fuel’’. SOLD, DESTROYED, OR STOLEN.— (a) IN GENERAL.—Section 4221(d)(2) (defin- ‘‘(1) IN GENERAL.—If in any taxable period a ing export) is amended by adding at the end (C) Section 4083(e)(1) (relating to adminis- highway motor vehicle is sold, destroyed, or the following new sentence: ‘‘Such term does trative authority), as redesignated by para- stolen before the first day of the last month not include the delivery of a taxable fuel (as graph (4), is amended— in such period and not subsequently used defined in section 4083(a)(1)) into a fuel tank (i) in subparagraph (A)— during such taxable period, the tax shall be of a motor vehicle which is shipped or driven (I) by inserting ‘‘or reportable liquid’’ after reckoned proportionately from the first day out of the United States.’’. ‘‘taxable fuel’’, and (II) by inserting ‘‘or such liquid’’ after of the month in such period in which the (b) CONFORMING AMENDMENTS.— first use of such highway motor vehicle oc- (1) Section 4041(g) (relating to other ex- ‘‘such fuel’’ each place it appears, and curs to and including the last day of the emptions) is amended by adding at the end (ii) in subparagraph (B), by inserting ‘‘or month in which such highway motor vehicle the following new sentence: ‘‘Paragraph (3) any reportable liquid’’ after ‘‘any taxable was sold, destroyed, or stolen. shall not apply to the sale for delivery of a fuel’’. ‘‘(2) DESTROYED.—For purposes of para- liquid into a fuel tank of a motor vehicle (D) Section 4101(a)(2), as added by section graph (1), a highway motor vehicle is de- which is shipped or driven out of the United 5243 of this Act, is amended by inserting ‘‘or stroyed if such vehicle is damaged by reason States.’’. a reportable liquid’’ after ‘‘taxable fuel’’. of an accident or other casualty to such an (2) Clause (iv) of section 4081(a)(1)(A) (re- (E) Section 4101(a)(3), as added by section extent that it is not economic to rebuild.’’. lating to tax on removal, entry, or sale) is 5242 of this Act and redesignated by section (2) CONFORMING AMENDMENTS.— amended by inserting ‘‘or at a duty-free sales 5243 of this Act, is amended by inserting ‘‘or (A) Section 6156 (relating to installment enterprise (as defined in section 555(b)(8) of any reportable liquid’’ before the period at payment of tax on use of highway motor ve- the Tariff Act of 1930)’’ after ‘‘section 4101’’. the end. (F) Section 4102 is amended by inserting hicles) is repealed. (c) EFFECTIVE DATE.—The amendments (B) The table of sections for subchapter A made by this section shall apply to sales or ‘‘or any reportable liquid’’ before the period of chapter 62 is amended by striking the item deliveries made after the date of the enact- at the end. relating to section 6156. ment of this Act. (G)(i) Section 6718, as added by section 5241 (b) DISPLAY OF TAX CERTIFICATE.—Para- of this Act, is amended— graph (2) of section 4481(d) (relating to one PART VII—TOTAL ACCOUNTABILITY (I) in subsection (a), by inserting ‘‘or any tax liability for period) is amended to read as SEC. 5271. TOTAL ACCOUNTABILITY. reportable liquid (as defined in section follows: (a) TAXATION OF REPORTABLE LIQUIDS.— 4083(c)(1))’’ after ‘‘ section 4083(a)(1))’’, and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00083 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1040 CONGRESSIONAL RECORD — SENATE February 11, 2004 (II) in the heading, by inserting ‘‘or report- fuels removed, entered, or transferred from Sec. 5244. Penalties for failure to register able liquids’’ after ‘‘taxable fuel’’. any refinery, pipeline, or vessel which is reg- and failure to report. (ii) The item relating to section 6718 in istered under this section.’’. Sec. 5245. Information reporting for persons table of sections for part I of subchapter B of (b) EFFECTIVE DATE.—The amendment claiming certain tax benefits. chapter 68, as added by section 5241 of this made by this section shall apply on October PART V—IMPORTS Act, is amended by inserting ‘‘or reportable 1, 2004. Sec. 5251. Tax at point of entry where im- liquids’’ after ‘‘taxable fuels’’. Mr. KYL submitted an porter not registered. (H) Section 6427(h) is amended to read as SA 2316. Sec. 5252. Reconciliation of on-loaded cargo follows: amendment intended to be proposed by to entered cargo. ‘‘(h) GASOLINE BLEND STOCKS OR ADDITIVES him to the bill S. 1072, to authorize PART VI—MISCELLANEOUS PROVISIONS AND REPORTABLE LIQUIDS.—Except as pro- funds for Federal-aid highways, high- Sec. 5261. Tax on sale of diesel fuel whether vided in subsection (k)— way safety programs, and transit pro- ‘‘(1) if any gasoline blend stock or additive suitable for use or not in a die- (within the meaning of section 4083(a)(2)) is grams, and for other purposes; which sel-powered vehicle or train. not used by any person to produce gasoline was ordered to lie on the table; as fol- Sec. 5262. Modification of ultimate vendor and such person establishes that the ulti- lows: refund claims with respect to mate use of such gasoline blend stock or ad- Strike title V and insert the following: farming. Sec. 5263. Taxable fuel refunds for certain ditive is not to produce gasoline, or TITLE V—HIGHWAY REAUTHORIZATION ultimate vendors. ‘‘(2) if any reportable liquid (within the AND EXCISE TAX SIMPLIFICATION meaning of section 4083(c)(1)) is not used by Sec. 5264. Two-party exchanges. any person to produce a taxable fuel and SEC. 5000. SHORT TITLE; AMENDMENT OF 1986 Sec. 5265. Modifications of tax on use of cer- CODE; TABLE OF CONTENTS. such person establishes that the ultimate tain vehicles. (a) SHORT TITLE.—This title may be cited use of such reportable liquid is not to Sec. 5266. Dedication of revenues from cer- as the ‘‘Highway Reauthorization and Excise produce a taxable fuel, tain penalties to the Highway then the Secretary shall pay (without inter- Tax Simplification Act of 2004’’. Trust Fund. est) to such person an amount equal to the (b) AMENDMENT OF 1986 CODE.—Except as Sec. 5267. Nonapplication of export exemp- aggregate amount of the tax imposed on otherwise expressly provided, whenever in tion to delivery of fuel to motor such person with respect to such gasoline this title an amendment or repeal is ex- vehicles removed from United blend stock or additive or such reportable pressed in terms of an amendment to, or re- States. peal of, a section or other provision, the ref- fuel.’’. PART VII—TOTAL ACCOUNTABILITY (I) Section 7232, as amended by this Act, is erence shall be considered to be made to a section or other provision of the Internal Sec. 5271. Total accountability. amended by inserting ‘‘or reportable liquid Sec. 5272. Excise tax reporting. (within the meaning of section 4083(c)(1))’’ Revenue Code of 1986. (c) TABLE OF CONTENTS.—The table of con- Sec. 5273. Information reporting. after ‘‘section 4083)’’. tents for this title is as follows: (J) Section 343 of the Trade Act of 2002, as Subtitle D—Definition of Highway Vehicle amended by section 5252 of this Act, is TITLE V—HIGHWAY REAUTHORIZATION Sec. 5301. Exemption from certain excise amended by inserting ‘‘and reportable liquids AND EXCISE TAX SIMPLIFICATION taxes for mobile machinery. (as defined in section 4083(c)(1) of such Sec. 5000. Short title; amendment of 1986 Sec. 5302. Modification of definition of off- Code)’’ after ‘‘Internal Revenue Code of code; table of contents. highway vehicle. 1986)’’. Subtitle A—Trust Fund Reauthorization Subtitle E—Excise Tax Reform and (b) DYED DIESEL.—Section 4082(a) is Simplification amended by striking ‘‘and’’ at the end of Sec. 5001. Extension of Highway Trust Fund PART I—HIGHWAY EXCISE TAXES paragraph (2), by striking the period at the and Aquatic Resources Trust end of paragraph (3) and inserting ‘‘and’’, and Fund expenditure authority and Sec. 5401. Dedication of gas guzzler tax to by inserting after paragraph (3) the following related taxes. Highway Trust Fund. new paragraph: Sec. 5002. Full accounting of funds received Sec. 5402. Repeal certain excise taxes on rail ‘‘(4) which is removed, entered, or sold by by the Highway Trust Fund. diesel fuel and inland waterway a person registered under section 4101.’’. Sec. 5003. Modification of adjustments of ap- barge fuels. (c) EFFECTIVE DATE.—The amendments portionments. PART II—AQUATIC EXCISE TAXES made by this section shall apply to report- Subtitle B—Biodiesel Income Tax Credit Sec. 5411. Elimination of Aquatic Resources able liquids (as defined in section 4083(c) of Sec. 5101. Biodiesel income tax credit. Trust Fund and transformation the Internal Revenue Code) and fuel sold or Subtitle C—Fuel Fraud Prevention of Sport Fish Restoration Ac- used after September 30, 2004. count. Sec. 5200. Short title. SEC. 5272. EXCISE TAX REPORTING. Sec. 5412. Exemption of LED devices from (a) IN GENERAL.—Part II of subchapter A of PART I—AVIATION JET FUEL sonar devices suitable for find- chapter 61 is amended by adding at the end Sec. 5211. Taxation of aviation-grade ker- ing fish. the following new subpart: osene. Sec. 5413. Repeal of harbor maintenance tax ‘‘SUBPART E—EXCISE TAX REPORTING Sec. 5212. Transfer of certain amounts from on exports. the Airport and Airway Trust Sec. 5414. Cap on excise tax on certain fish- ‘‘SEC. 6025. RETURNS RELATING TO FUEL TAXES. Fund to the Highway Trust ing equipment. ‘‘(a) IN GENERAL.—The Secretary shall re- Fund to reflect highway use of Sec. 5415. Reduction in rate of tax on port- quire any person liable for the tax imposed jet fuel. able aerated bait containers. under Part III of subchapter A of chapter 32 to file a return of such tax on a monthly PART II—DYED FUEL PART III—AERIAL EXCISE TAXES basis. Sec. 5221. Dye injection equipment. Sec. 5421. Clarification of excise tax exemp- ‘‘(b) INFORMATION INCLUDED WITH RETURN.— Sec. 5222. Elimination of administrative re- tions for agricultural aerial ap- The Secretary shall require any person filing view for taxable use of dyed plicators and exemption for a return under subsection (a) to provide in- fuel. fixed-wing aircraft engaged in formation regarding any refined product Sec. 5223. Penalty on untaxed chemically al- forestry operations. (whether or not such product is taxable tered dyed fuel mixtures. Sec. 5422. Modification of rural airport defi- under this title) removed from a terminal Sec. 5224. Termination of dyed diesel use by nition. during the period for which such return ap- intercity buses. Sec. 5423. Exemption from ticket taxes for plies.’’. PART III—MODIFICATION OF INSPECTION OF transportation provided by sea- (b) CONFORMING AMENDMENT.—The table of RECORDS PROVISIONS planes. parts for subchapter A of chapter 61 is Sec. 5424. Certain sightseeing flights exempt Sec. 5231. Authority to inspect on-site amended by adding at the end the following from taxes on air transpor- records. new item: tation. Sec. 5232. Assessable penalty for refusal of ‘‘Subpart E—Excise Tax Reporting’’. entry. PART IV—ALCOHOLIC BEVERAGE EXCISE TAXES (c) EFFECTIVE DATE.—The amendments PART IV—REGISTRATION AND REPORTING made by this section shall apply to fuel sold REQUIREMENTS Sec. 5431. Repeal of special occupational taxes on producers and market- or used after September 30, 2004. Sec. 5241. Registration of pipeline or vessel ers of alcoholic beverages. SEC. 5273. INFORMATION REPORTING. operators required for exemp- Sec. 5432. Suspension of limitation on rate (a) IN GENERAL.—Section 4101(d) is amend- tion of bulk transfers to reg- of rum excise tax cover over to ed by adding at the end the following new istered terminals or refineries. Puerto Rico and Virgin Islands. flush sentence: Sec. 5242. Display of registration. ‘‘The Secretary shall require reporting under Sec. 5243. Registration of persons within for- PART V—SPORT EXCISE TAXES the previous sentence with respect to taxable eign trade zones. Sec. 5441. Custom gunsmiths.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00084 Fmt 4624 Sfmt 0655 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1041 Sec. 5442. Modified taxation of imported (A) in the matter before subparagraph (A), (1) Section 4221(a) (relating to certain tax- archery products. by striking ‘‘March 1, 2004’’ and inserting free sales). Sec. 5443. Treatment of tribal governments ‘‘October 1, 2009’’, (2) Section 4483(g) (relating to termination for purposes of Federal wager- (B) by striking ‘‘or’’ at the end of subpara- of exemptions for highway use tax). ing excise and occupational graph (C), (e) EXTENSION OF DEPOSITS INTO, AND CER- taxes. (C) by striking the period at the end of sub- TAIN TRANSFERS FROM, TRUST FUND.— PART VI—OTHER PROVISIONS paragraph (D) and inserting ‘‘, or’’, (1) IN GENERAL.—Subsections (b), (c)(2), Sec. 5451. Income tax credit for distilled (D) by inserting after subparagraph (D), (c)(3), (c)(4)(A)(i), and (c)(5)(A) of section 9503 spirits wholesalers and for dis- the following new subparagraph: (relating to the Highway Trust Fund) are tilled spirits in control State ‘‘(E) the Safe, Accountable, Flexible, and amended— bailment warehouses for costs Efficient Transportation Equity Act of (A) by striking ‘‘2005’’ each place it appears and inserting ‘‘2009’’, and of carrying Federal excise taxes 2004,’’, and (B) by striking ‘‘2006’’ each place it appears on bottled distilled spirits. (E) in the matter after subparagraph (E), Sec. 5452. Credit for taxpayers owning com- as added by subparagraph (D), by striking and inserting ‘‘2010’’. mercial power takeoff vehicles. ‘‘Surface Transportation Extension Act of (2) CONFORMING AMENDMENTS TO LAND AND Sec. 5453. Credit for auxiliary power units 2003’’ and inserting ‘‘Safe, Accountable, WATER CONSERVATION FUND.—Section 201(b) of installed on diesel-powered Flexible, and Efficient Transportation Eq- the Land and Water Conservation Fund Act trucks. uity Act of 2004’’. of 1965 (16 U.S.C. 460l–11(b)) is amended— (A) by striking ‘‘2003’’ and inserting ‘‘2007’’, Subtitle F—Miscellaneous Provisions (3) EXCEPTION TO LIMITATION ON TRANS- and Sec. 5501. Motor Fuel Tax Enforcement Ad- FERS.—Subparagraph (B) of section 9503(b)(5) (relating to limitation on transfers to High- (B) by striking ‘‘2004’’ each place it appears visory Commission. and inserting ‘‘2008’’. Sec. 5502. National Surface Transportation way Trust Fund) is amended by striking (f) EXTENSION OF TAX BENEFITS FOR QUALI- Infrastructure Financing Com- ‘‘March 1, 2004’’ and inserting ‘‘October 1, 2009’’. FIED METHANOL AND ETHANOL FUEL PRO- mission. DUCED FROM COAL.—Section 4041(b)(2) (relat- Sec. 5503. Treasury study of fuel tax compli- (b) AQUATIC RESOURCES TRUST FUND EX- ing to qualified methanol and ethanol fuel) ance and interagency coopera- PENDITURE AUTHORITY.— is amended— tion. (1) SPORT FISH RESTORATION ACCOUNT.— (1) by striking ‘‘2007’’ in subparagraph Sec. 5504. Expansion of Highway Trust Fund Paragraph (2) of section 9504(b) (relating to (C)(ii) and inserting ‘‘2010’’, and expenditure purposes to include Sport Fish Restoration Account) is amended (2) by striking ‘‘October 1, 2007’’ in sub- funding for studies of supple- by striking ‘‘Surface Transportation Exten- paragraph (D) and inserting ‘‘January 1, mental or alternative financing sion Act of 2003’’ each place it appears and 2011’’. for the Highway Trust Fund. inserting ‘‘Safe, Accountable, Flexible, and (g) PROHIBITION ON USE OF HIGHWAY AC- Sec. 5505. Treasury study of highway fuels Efficient Transportation Equity Act of 2004’’. COUNT FOR RAIL PROJECTS.—Section 9503(c) used by trucks for non-trans- (2) BOAT SAFETY ACCOUNT.—Section 9504(c) (relating to transfers from Highway Trust portation purposes. (relating to expenditures from Boat Safety Fund for certain repayments and credits) is Sec. 5506. Delta regional transportation Account) is amended— amended by adding at the end the following plan. (A) by striking ‘‘March 1, 2004’’ and insert- new paragraph: Sec. 5507. Treatment of employer-provided ing ‘‘October 1, 2009’’, and transit and van pooling bene- ‘‘(6) PROHIBITION ON USE OF HIGHWAY AC- (B) by striking ‘‘Surface Transportation COUNT FOR RAIL PROJECTS.—With respect to fits. Extension Act of 2003’’ and inserting ‘‘Safe, Sec. 5508. Study of incentives for production projects beginning after the date of the en- Accountable, Flexible, and Efficient Trans- of biodiesel. actment of this paragraph, no amount shall Sec. 5509. Reduction of expenditures from portation Equity Act of 2004’’. be available from the Highway Account (as the Highway Trust Fund. (3) EXCEPTION TO LIMITATION ON TRANS- defined in subsection (e)(5)(B)) for any rail FERS.—Paragraph (2) of section 9504(d) (relat- Subtitle G—Revenue Offsets project.’’. ing to limitation on transfers to Aquatic Re- (h) HIGHWAY TRUST FUND EXPENDITURES PART I—LIMITATION ON EXPENSING CERTAIN sources Trust Fund) is amended by striking FOR HIGHWAY USE TAX EVASION PROJECTS.— PASSENGERS AUTOMOBILES ‘‘March 1, 2004’’ and inserting ‘‘October 1, From amounts available in the Highway Sec. 5601. Expansion of limitation on depre- 2009’’. Trust Fund, there is authorized to be ex- ciation of certain passenger (4) TECHNICAL CORRECTION.—The last sen- pended such sums as are necessary for high- automobiles. tence of paragraph (2) of section 9504(b) is way use tax evasion projects. PART II—PROVISION TO REPLENISH THE amended by striking ‘‘subparagraph (B)’’, (i) EFFECTIVE DATE.—The amendments GENERAL FUND and inserting ‘‘subparagraph (C)’’. made by and provisions of this section shall Sec. 5611. Modification to corporate esti- (c) EXTENSION OF TAXES.— take effect on the date of the enactment of mated tax requirements. (1) IN GENERAL.—The following provisions this Act. SEC. 5002. FULL ACCOUNTING OF FUNDS RE- Subtitle A—Trust Fund Reauthorization are each amended by striking ‘‘2005’’ each place it appears and inserting ‘‘2009’’: CEIVED BY THE HIGHWAY TRUST SEC. 5001. EXTENSION OF HIGHWAY TRUST FUND FUND. (A) Section 4041(a)(1)(C)(iii)(I) (relating to AND AQUATIC RESOURCES TRUST (a) IN GENERAL.—Section 9503(c) (relating rate of tax on certain buses). FUND EXPENDITURE AUTHORITY to transfers from Highway Trust Fund for (B) Section 4041(a)(2)(B) (relating to rate of AND RELATED TAXES. certain repayments and credits), as amended (a) HIGHWAY TRUST FUND EXPENDITURE AU- tax on special motor fuels). by section 5001 of this Act, is amended by THORITY.— (C) Section 4041(m)(1)(A) (relating to cer- striking paragraph (2) and redesignating (1) HIGHWAY ACCOUNT.—Paragraph (1) of tain alcohol fuels produced from natural paragraphs (3), (4), (5), and (6) as paragraphs section 9503(c) (relating to transfers from gas). (2), (3), (4), and (5), respectively. Highway Trust Fund for certain repayments (D) Section 4051(c) (relating to termination (b) INTEREST ON UNEXPENDED BALANCES and credits) is amended— of tax on heavy trucks and trailers). CREDITED TO TRUST FUND.—Section 9503 (re- (A) in the matter before subparagraph (A), (E) Section 4071(d) (relating to termination lating to the Highway Trust Fund) is amend- by striking ‘‘March 1, 2004’’ and inserting of tax on tires). ed by striking subsection (f). ‘‘October 1, 2009’’, (F) Section 4081(d)(1) (relating to termi- (c) CONFORMING AMENDMENTS.— (B) by striking ‘‘or’’ at the end of subpara- nation of tax on gasoline, diesel fuel, and (1) Section 9503(b)(4)(D) is amended by graph (E), kerosene). striking ‘‘paragraph (4)(D) or (5)(B)’’ and in- (C) by striking the period at the end of sub- (G) Section 4481(e) (relating to period tax serting ‘‘paragraph (3)(D) or (4)(B)’’. paragraph (F) and inserting ‘‘, or’’, in effect). (2) Paragraph (2) of section 9503(c) (as re- (D) by inserting after subparagraph (F), (H) Section 4482(c)(4) (relating to taxable designated by subsection (a)) is amended by the following new subparagraph: period). adding at the end the following new sen- ‘‘(G) authorized to be paid out of the High- (I) Section 4482(d) (relating to special rule tence: ‘‘The amounts payable from the High- way Trust Fund under the Safe, Account- for taxable period in which termination date way Trust Fund under this paragraph shall able, Flexible, and Efficient Transportation occurs). be determined by taking into account only Equity Act of 2004.’’, and (2) FLOOR STOCKS REFUNDS.—Section the portion of the taxes which are deposited (E) in the matter after subparagraph (G), 6412(a)(1) (relating to floor stocks refunds) is into the Highway Trust Fund.’’. as added by subparagraph (D), by striking amended— (3) Section 9504(a)(2) is amended by strik- ‘‘Surface Transportation Extension Act of (A) by striking ‘‘2005’’ each place it appears ing ‘‘section 9503(c)(4), section 9503(c)(5)’’ and 2003’’ and inserting ‘‘Safe, Accountable, and inserting ‘‘2009’’, and inserting ‘‘section 9503(c)(3), section Flexible, and Efficient Transportation Eq- (B) by striking ‘‘2006’’ each place it appears 9503(c)(4)’’. uity Act of 2004’’. and inserting ‘‘2010’’. (4) Paragraph (2) of section 9504(b), as (2) MASS TRANSIT ACCOUNT.—Paragraph (3) (d) EXTENSION OF CERTAIN EXEMPTIONS.— amended by section 5001 of this Act, is of section 9503(e) (relating to establishment The following provisions are each amended amended by striking ‘‘section 9503(c)(5)’’ and of Mass Transit Account) is amended— by striking ‘‘2005’’ and inserting ‘‘2009’’: inserting ‘‘section 9503(c)(4)’’.

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(5) Section 9504(e) is amended by striking ‘‘(D) CASUAL OFF-FARM PRODUCTION NOT ELI- plicable and not inconsistent with this sec- ‘‘section 9503(c)(4)’’ and inserting ‘‘section GIBLE.—No credit shall be allowed under this tion, apply in respect of any tax imposed 9503(c)(3)’’. section with respect to any casual off-farm under subparagraph (A) or (B) as if such tax (d) EFFECTIVE DATES.— production of a qualified biodiesel mixture. were imposed by section 4081 and not by this (1) IN GENERAL.—Except as provided in ‘‘(2) BIODIESEL CREDIT.— chapter. paragraph (2), the amendments made by this ‘‘(A) IN GENERAL.—The biodiesel credit of ‘‘(4) PASS-THRU IN THE CASE OF ESTATES AND section shall apply to amounts paid for any taxpayer for any taxable year is 50 cents TRUSTS.—Under regulations prescribed by which no transfer from the Highway Trust for each gallon of biodiesel which is not in a the Secretary, rules similar to the rules of Fund has been made before April 1, 2004. mixture with diesel fuel and which during subsection (d) of section 52 shall apply. (2) INTEREST CREDITED.—The amendment the taxable year— ‘‘(e) TERMINATION.—This section shall not made by subsection (b) shall take effect on ‘‘(i) is used by the taxpayer as a fuel in a apply to any sale or use after December 31, the date of the enactment of this Act. trade or business, or 2006.’’. SEC. 5003. MODIFICATION OF ADJUSTMENTS OF ‘‘(ii) is sold by the taxpayer at retail to a (b) CREDIT TREATED AS PART OF GENERAL APPORTIONMENTS. person and placed in the fuel tank of such BUSINESS CREDIT.—Section 38(b) (relating to (a) IN GENERAL.—Section 9503(d) (relating person’s vehicle. current year business credit) is amended by to adjustments for apportionments) is ‘‘(B) USER CREDIT NOT TO APPLY TO BIO- striking ‘‘plus’’ at the end of paragraph (14), amended— DIESEL SOLD AT RETAIL.—No credit shall be by striking the period at the end of para- (1) by striking ‘‘24-month’’ in paragraph allowed under subparagraph (A)(i) with re- graph (15) and inserting ‘‘, plus’’, and by add- (1)(B) and inserting ‘‘48-month’’, and spect to any biodiesel which was sold in a re- ing at the end the following new paragraph: (2) by striking ‘‘2 YEARS’’’ in the heading tail sale described in subparagraph (A)(ii). ‘‘(16) the biodiesel fuels credit determined for paragraph (3) and inserting ‘‘4 YEARS’’’. ‘‘(3) CREDIT FOR AGRI-BIODIESEL.—In the under section 40A(a).’’. (b) MEASUREMENT OF NET HIGHWAY RE- case of any biodiesel which is agri-biodiesel, (c) CONFORMING AMENDMENTS.— CEIPTS.—Section 9503(d) is amended by redes- paragraphs (1)(A) and (2)(A) shall be applied (1) Section 39(d) is amended by adding at ignating paragraph (6) as paragraph (7) and by substituting ‘$1.00’ for ‘50 cents’. the end the following new paragraph: by inserting after paragraph (5) the following ‘‘(4) CERTIFICATION FOR BIODIESEL.—No ‘‘(11) NO CARRYBACK OF BIODIESEL FUELS new paragraph: credit shall be allowed under this section un- CREDIT BEFORE EFFECTIVE DATE.—No portion ‘‘(6) MEASUREMENT OF NET HIGHWAY RE- less the taxpayer obtains a certification (in of the unused business credit for any taxable CEIPTS.—For purposes of making any esti- such form and manner as prescribed by the year which is attributable to the biodiesel mate under paragraph (1) of net highway re- Secretary) from the producer or importer of fuels credit determined under section 40A ceipts for periods ending after the date speci- the biodiesel which identifies the product may be carried back to a taxable year ending fied in subsection (b)(1), the Secretary shall produced and the percentage of biodiesel and on or before September 30, 2004.’’. treat— agri-biodiesel in the product. (2)(A) Section 87 is amended to read as fol- ‘‘(A) each expiring provision of subsection ‘‘(c) COORDINATION WITH CREDIT AGAINST lows: EXCISE TAX.—The amount of the credit de- (b) which is related to appropriations or ‘‘SEC. 87. ALCOHOL AND BIODIESEL FUELS CRED- transfers to the Highway Trust Fund to have termined under this section with respect to ITS. been extended through the end of the 48- any biodiesel shall be properly reduced to ‘‘Gross income includes— take into account any benefit provided with month period referred to in paragraph (1)(B), ‘‘(1) the amount of the alcohol fuels credit respect to such biodiesel solely by reason of and determined with respect to the taxpayer for the application of section 6426 or 6427(e). ‘‘(B) with respect to each tax imposed the taxable year under section 40(a), and ‘‘(d) DEFINITIONS AND SPECIAL RULES.—For under the sections referred to in subsection purposes of this section— ‘‘(2) the biodiesel fuels credit determined (b)(1), the rate of such tax during the 48- with respect to the taxpayer for the taxable ‘‘(1) BIODIESEL.—The term ‘biodiesel’ month period referred to in paragraph (1)(B) means the monoalkyl esters of long chain year under section 40A(a).’’. to be the same as the rate of such tax as in fatty acids derived from plant or animal (B) The item relating to section 87 in the effect on the date of such estimate.’’. matter which meet— table of sections for part II of subchapter B (c) EFFECTIVE DATE.—The amendments ‘‘(A) the registration requirements for of chapter 1 is amended by striking ‘‘fuel made by this section shall take effect on the fuels and fuel additives established by the credit’’ and inserting ‘‘and biodiesel fuels date of the enactment of this Act. Environmental Protection Agency under sec- credits’’. Subtitle B—Biodiesel Income Tax Credit tion 211 of the Clean Air Act (42 U.S.C. 7545), (3) Section 196(c) is amended by striking SEC. 5101. BIODIESEL INCOME TAX CREDIT. and ‘‘and’’ at the end of paragraph (9), by strik- (a) IN GENERAL.—Subpart D of part IV of ‘‘(B) the requirements of the American So- ing the period at the end of paragraph (10) subchapter A of chapter 1 (relating to busi- ciety of Testing and Materials D6751. and inserting ‘‘, and’’, and by adding at the end the following new paragraph: ness related credits) is amended by inserting ‘‘(2) AGRI-BIODIESEL.—The term ‘agri-bio- after section 40 the following new section: diesel’ means biodiesel derived solely from ‘‘(11) the biodiesel fuels credit determined under section 40A(a).’’. ‘‘SEC. 40A. BIODIESEL USED AS FUEL. virgin oils, including esters derived from vir- (4) The table of sections for subpart D of ‘‘(a) GENERAL RULE.—For purposes of sec- gin vegetable oils from corn, soybeans, sun- tion 38, the biodiesel fuels credit determined flower seeds, cottonseeds, canola, crambe, part IV of subchapter A of chapter 1 is under this section for the taxable year is an rapeseeds, safflowers, flaxseeds, rice bran, amended by adding after the item relating to amount equal to the sum of— and mustard seeds, and from animal fats. section 40 the following new item: ‘‘(1) the biodiesel mixture credit, plus ‘‘(3) MIXTURE OR BIODIESEL NOT USED AS A ‘‘Sec. 40A. Biodiesel used as fuel.’’. ‘‘(2) the biodiesel credit. FUEL, ETC.— (d) EFFECTIVE DATE.—The amendments ‘‘(b) DEFINITION OF BIODIESEL MIXTURE ‘‘(A) MIXTURES.—If— made by this section shall apply to fuel pro- CREDIT AND BIODIESEL CREDIT.—For purposes ‘‘(i) any credit was determined under this duced, and sold or used, after September 30, of this section— section with respect to biodiesel used in the 2004, in taxable years ending after such date. ‘‘(1) BIODIESEL MIXTURE CREDIT.— production of any qualified biodiesel mix- Subtitle C—Fuel Fraud Prevention ‘‘(A) IN GENERAL.—The biodiesel mixture ture, and credit of any taxpayer for any taxable year ‘‘(ii) any person— SEC. 5200. SHORT TITLE. is 50 cents for each gallon of biodiesel used ‘‘(I) separates the biodiesel from the mix- This subtitle may be cited as the ‘‘Fuel by the taxpayer in the production of a quali- ture, or Fraud Prevention Act of 2004’’. fied biodiesel mixture. ‘‘(II) without separation, uses the mixture PART I—AVIATION JET FUEL ‘‘(B) QUALIFIED BIODIESEL MIXTURE.—The other than as a fuel, SEC. 5211. TAXATION OF AVIATION-GRADE KER- term ‘qualified biodiesel mixture’ means a then there is hereby imposed on such person OSENE. mixture of biodiesel and diesel fuel (as de- a tax equal to the product of the rate appli- (a) RATE OF TAX.— fined in section 4083(a)(3)), determined with- cable under subsection (b)(1)(A) and the (1) IN GENERAL.—Subparagraph (A) of sec- out regard to any use of kerosene, which— number of gallons of such biodiesel in such tion 4081(a)(2) is amended by striking ‘‘and’’ ‘‘(i) is sold by the taxpayer producing such mixture. at the end of clause (ii), by striking the pe- mixture to any person for use as a fuel, or ‘‘(B) BIODIESEL.—If— riod at the end of clause (iii) and inserting ‘‘, ‘‘(ii) is used as a fuel by the taxpayer pro- ‘‘(i) any credit was determined under this and’’, and by adding at the end the following ducing such mixture. section with respect to the retail sale of any new clause: ‘‘(C) SALE OR USE MUST BE IN TRADE OR biodiesel, and ‘‘(iv) in the case of aviation-grade ker- BUSINESS, ETC.—Biodiesel used in the produc- ‘‘(ii) any person mixes such biodiesel or osene, 21.8 cents per gallon.’’. tion of a qualified biodiesel mixture shall be uses such biodiesel other than as a fuel, (2) COMMERCIAL AVIATION.—Paragraph (2) of taken into account— then there is hereby imposed on such person section 4081(a) is amended by adding at the ‘‘(i) only if the sale or use described in sub- a tax equal to the product of the rate appli- end the following new subparagraph: paragraph (B) is in a trade or business of the cable under subsection (b)(2)(A) and the ‘‘(C) TAXES IMPOSED ON FUEL USED IN COM- taxpayer, and number of gallons of such biodiesel. MERCIAL AVIATION.—In the case of aviation- ‘‘(ii) for the taxable year in which such ‘‘(C) APPLICABLE LAWS.—All provisions of grade kerosene which is removed from any sale or use occurs. law, including penalties, shall, insofar as ap- refinery or terminal directly into the fuel

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00086 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1043 tank of an aircraft for use in commercial ‘‘subsection (l)(5)’’ and inserting ‘‘paragraph tax imposed on such fuel under section 4041 aviation, the rate of tax under subparagraph (4)(B) or (5) of subsection (l)’’. or 4081, as the case may be, reduced by any (A)(iv) shall be 4.3 cents per gallon.’’. (3) CONFORMING AMENDMENT.—Subpara- refund paid to the ultimate vendor under (3) NONTAXABLE USES.— graph (B) of section 6427(l)(2) is amended to paragraph (4)(B).’’. (A) IN GENERAL.—Section 4082 is amended read as follows: (ii) Paragraph (5)(B) of section 6427(l) is by redesignating subsections (e) and (f) as ‘‘(B) in the case of aviation-grade ker- amended by striking ‘‘Paragraph (1)(A) shall subsections (f) and (g), respectively, and by osene— not apply to kerosene’’ and inserting ‘‘Para- inserting after subsection (d) the following ‘‘(i) any use which is exempt from the tax graph (1) shall not apply to kerosene (other new subsection: imposed by section 4041(c) other than by rea- than aviation-grade kerosene)’’. ‘‘(e) AVIATION-GRADE KEROSENE.—In the son of a prior imposition of tax, or (L) Subparagraph (B) of section 6724(d)(1) is case of aviation-grade kerosene which is ex- ‘‘(ii) any use in commercial aviation (with- amended by striking clause (xv) and by re- empt from the tax imposed by section 4041(c) in the meaning of section 4083(b)).’’. designating the succeeding clauses accord- (other than by reason of a prior imposition (d) REPEAL OF PRIOR TAXATION OF AVIATION ingly. of tax) and which is removed from any refin- FUEL.— (M) Paragraph (2) of section 6724(d) is ery or terminal directly into the fuel tank of (1) IN GENERAL.—Part III of subchapter A of amended by striking subparagraph (W) and an aircraft, the rate of tax under section chapter 32 is amended by striking subpart B by redesignating the succeeding subpara- 4081(a)(2)(A)(iv) shall be zero.’’. and by redesignating subpart C as subpart B. graphs accordingly. (2) CONFORMING AMENDMENTS.— (B) CONFORMING AMENDMENTS.— (N) Paragraph (1) of section 9502(b) is (i) Subsection (b) of section 4082 is amend- (A) Section 4041(c) is amended to read as amended by adding ‘‘and’’ at the end of sub- ed by adding at the end the following new follows: paragraph (B) and by striking subparagraphs ‘‘(c) AVIATION-GRADE KEROSENE.— flush sentence: ‘‘The term ‘nontaxable use’ (C) and (D) and inserting the following new ‘‘(1) IN GENERAL.—There is hereby imposed does not include the use of aviation-grade subparagraph: a tax upon aviation-grade kerosene— kerosene in an aircraft.’’. ‘‘(C) section 4081 with respect to aviation ‘‘(A) sold by any person to an owner, les- (ii) Section 4082(d) is amended by striking gasoline and aviation-grade kerosene, and’’. see, or other operator of an aircraft for use (O) The last sentence of section 9502(b) is paragraph (1) and by redesignating para- in such aircraft, or amended to read as follows: graphs (2) and (3) as paragraphs (1) and (2), ‘‘(B) used by any person in an aircraft un- ‘‘There shall not be taken into account respectively. less there was a taxable sale of such fuel under paragraph (1) so much of the taxes im- (4) NONAIRCRAFT USE OF AVIATION-GRADE under subparagraph (A). KEROSENE.— posed by section 4081 as are determined at ‘‘(2) EXEMPTION FOR PREVIOUSLY TAXED (A) IN GENERAL.—Subparagraph (B) of sec- the rate specified in section 4081(a)(2)(B).’’. FUEL.—No tax shall be imposed by this sub- (P) Subsection (b) of section 9508 is amend- tion 4041(a)(1) is amended by adding at the section on the sale or use of any aviation- ed by striking paragraph (3) and by redesig- end the following new sentence: ‘‘This sub- grade kerosene if tax was imposed on such nating paragraphs (4) and (5) as paragraphs paragraph shall not apply to aviation-grade liquid under section 4081 and the tax thereon (3) and (4), respectively. kerosene.’’. was not credited or refunded. (Q) Section 9508(c)(2)(A) is amended by (B) CONFORMING AMENDMENT.—The heading ‘‘(3) RATE OF TAX.—The rate of tax imposed for paragraph (1) of section 4041(a) is amend- by this subsection shall be the rate of tax striking ‘‘sections 4081 and 4091’’ and inserted by inserting ‘‘AND KEROSENE’’ after ‘‘DIE- specified in section 4081(a)(2)(A)(iv) which is ing ‘‘section 4081’’. SEL FUEL’’. in effect at the time of such sale or use.’’. (R) The table of subparts for part III of (b) COMMERCIAL AVIATION.—Section 4083 is (B) Section 4041(d)(2) is amended by strik- subchapter A of chapter 32 is amended to amended redesignating subsections (b) and ing ‘‘section 4091’’ and inserting ‘‘section read as follows: (c) as subsections (c) and (d), respectively, 4081’’. ‘‘Subpart A. Motor and aviation fuels. and by inserting after subsection (a) the fol- (C) Section 4041 is amended by striking ‘‘Subpart B. Special provisions applicable to lowing new subsection: subsection (e). fuels tax.’’. ‘‘(b) COMMERCIAL AVIATION.—For purposes (D) Section 4041 is amended by striking (S) The heading for subpart A of part III of of this subpart, the term ‘commercial avia- subsection (i). subchapter A of chapter 32 is amended to tion’ means any use of an aircraft in a busi- (E) Section 4041(m)(1) is amended to read read as follows: ness of transporting persons or property for as follows: ‘‘Subpart A—Motor and Aviation Fuels’’. compensation or hire by air, unless properly ‘‘(1) IN GENERAL.—In the case of the sale or allocable to any transportation exempt from use of any partially exempt methanol or eth- (T) The heading for subpart B of part III of the taxes imposed by section 4261 and 4271 by anol fuel, the rate of the tax imposed by sub- subchapter A of chapter 32 is amended to reason of section 4281 or 4282 or by reason of section (a)(2) shall be— read as follows: section 4261(h).’’. ‘‘(A) after September 30, 1997, and before ‘‘Subpart B—Special Provisions Applicable to (c) REFUNDS.— September 30, 2009— Fuels Tax’’. (1) IN GENERAL.—Paragraph (4) of section ‘‘(i) in the case of fuel none of the alcohol (g) OTHER AMENDMENTS.— 6427(l) is amended to read as follows: in which consists of ethanol, 9.15 cents per (1) Section 4081(c) is amended by adding at ‘‘(4) REFUNDS FOR AVIATION-GRADE KER- gallon, and the end the following new flush sentence: OSENE.— ‘‘(ii) in any other case, 11.3 cents per gal- ‘‘In the case of any taxable fuel which is ‘‘(A) NO REFUND OF CERTAIN TAXES ON FUEL lon, and aviation-grade keorsene, this subsection USED IN COMMERCIAL AVIATION.—In the case of ‘‘(B) after September 30, 2009— shall not apply and the rules of section aviation-grade kerosene used in commercial ‘‘(i) in the case of fuel none of the alcohol 4091(c) (as in effect on the day before the aviation (as defined in section 4083(b)) (other in which consists of ethanol, 2.15 cents per date of the enactment of the Fuel Fraud Pre- than supplies for vessels or aircraft within gallon, and vention Act of 2004) shall apply.’’. the meaning of section 4221(d)(3)), paragraph ‘‘(ii) in any other case, 4.3 cents per gal- (2) For purposes of the Internal Revenue (1) shall not apply to so much of the tax im- lon.’’. Code of 1986, any reference to section 4091(c) posed by section 4081 as is attributable to— (F) Sections 4101(a), 4103, 4221(a), and 6206 shall be treated as a reference to the rules of ‘‘(i) the Leaking Underground Storage are each amended by striking ‘‘, 4081, or such section as in effect on the date before Tank Trust Fund financing rate imposed by 4091’’ and inserting ‘‘or 4081’’. the date of the enactment of this Act. such section, and (G) Section 6416(b)(2) is amended by strik- (f) EFFECTIVE DATE.—The amendments ‘‘(ii) so much of the rate of tax specified in ing ‘‘4091 or’’. made by this section shall apply to aviation- section 4081(a)(2)(A)(iv) as does not exceed 4.3 (H) Section 6416(b)(3) is amended by strik- grade kerosene removed, entered, or sold cents per gallon. ing ‘‘or 4091’’ each place it appears. after September 30, 2004. ‘‘(B) PAYMENT TO ULTIMATE, REGISTERED (I) Section 6416(d) is amended by striking (g) FLOOR STOCKS TAX.— VENDOR.—With respect to aviation-grade ker- ‘‘or to the tax imposed by section 4091 in the (1) IN GENERAL.—There is hereby imposed osene, if the ultimate purchaser of such ker- case of refunds described in section 4091(d)’’. on aviation-grade kerosene held on October osene waives (at such time and in such form (J) Section 6427(j)(1) is amended by strik- 1, 2004, by any person a tax equal to— and manner as the Secretary shall prescribe) ing ‘‘, 4081, and 4091’’ and inserting ‘‘and (A) the tax which would have been imposed the right to payment under paragraph (1) 4081’’. before such date on such kerosene had the and assigns such right to the ultimate ven- (K)(i) Section 6427(l)(1) is amended to read amendments made by this section been in ef- dor, then the Secretary shall pay the amount as follows: fect at all times before such date, reduced by which would be paid under paragraph (1) to ‘‘(1) IN GENERAL.—Except as otherwise pro- (B) the tax imposed before such date under such ultimate vendor, but only if such ulti- vided in this subsection and in subsection section 4091 of the Internal Revenue Code of mate vendor— (k), if any diesel fuel or kerosene on which 1986, as in effect on the day before the date ‘‘(i) is registered under section 4101, and tax has been imposed by section 4041 or 4081 of the enactment of this Act. ‘‘(ii) meets the requirements of subpara- is used by any person in a nontaxable use, (2) LIABILITY FOR TAX AND METHOD OF PAY- graph (A), (B), or (D) of section 6416(a)(1).’’. the Secretary shall pay (without interest) to MENT.— (2) TIME FOR FILING CLAIMS.—Paragraph (4) the ultimate purchaser of such fuel an (A) LIABILITY FOR TAX.—The person holding of section 6427(i) is amended by striking amount equal to the aggregate amount of the kerosene on October 1, 2004, to which the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00087 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1044 CONGRESSIONAL RECORD — SENATE February 11, 2004 tax imposed by paragraph (1) applies shall be in the amendment made by subsection (a), ‘‘(2) mathematical calculation of the liable for such tax. and such regulations shall include standards amount of the penalty.’’. (B) METHOD AND TIME FOR PAYMENT.—The for making such systems tamper resistant. (b) EFFECTIVE DATE.—The amendment tax imposed by paragraph (1) shall be paid at (c) PENALTY FOR TAMPERING WITH OR FAIL- made by this section shall apply to penalties such time and in such manner as the Sec- ING TO MAINTAIN SECURITY REQUIREMENTS assessed after the date of the enactment of retary of the Treasury shall prescribe, in- FOR MECHANICAL DYE INJECTION SYSTEMS.— this Act. cluding the nonapplication of such tax on de (1) IN GENERAL.—Part I of subchapter B of SEC. 5223. PENALTY ON UNTAXED CHEMICALLY minimis amounts of kerosene. chapter 68 (relating to assessable penalties) ALTERED DYED FUEL MIXTURES. (3) TRANSFER OF FLOOR STOCK TAX REVE- is amended by adding after section 6715 the (a) IN GENERAL.—Section 6715(a) (relating NUES TO TRUST FUNDS.—For purposes of de- following new section: to dyed fuel sold for use or used in taxable termining the amount transferred to any ‘‘SEC. 6715A. TAMPERING WITH OR FAILING TO use, etc.) is amended by striking ‘‘or’’ in trust fund, the tax imposed by this sub- MAINTAIN SECURITY REQUIRE- paragraph (2), by inserting ‘‘or’’ at the end of section shall be treated as imposed by sec- MENTS FOR MECHANICAL DYE IN- paragraph (3), and by inserting after para- tion 4081 of the Internal Revenue Code of JECTION SYSTEMS. graph (3) the following new paragraph: ‘‘(a) IMPOSITION OF PENALTY— 1986— ‘‘(4) any person who has knowledge that a ‘‘(1) TAMPERING.—If any person tampers (A) at the Leaking Underground Storage dyed fuel which has been altered as described with a mechanical dye injection system used Tank Trust Fund financing rate under such in paragraph (3) sells or holds for sale such to indelibly dye fuel for purposes of section section to the extent of 0.1 cents per gallon, fuel for any use which the person knows or 4082, then such person shall pay a penalty in and has reason to know is not a nontaxable use addition to the tax (if any). (B) at the rate under section of such fuel,’’. ‘‘(2) FAILURE TO MAINTAIN SECURITY RE- 4081(a)(2)(A)(iv) to the extent of the remain- (b) CONFORMING AMENDMENT.—Section QUIREMENTS.—If any operator of a mechan- der. 6715(a)(3) is amended by striking ‘‘alters, or ical dye injection system used to indelibly (4) HELD BY A PERSON.—For purposes of this attempts to alter,’’ and inserting ‘‘alters, dye fuel for purposes of section 4082 fails to section, kerosene shall be considered as held chemically or otherwise, or attempts to so maintain the security standards for such by a person if title thereto has passed to alter,’’. system as established by the Secretary, then such person (whether or not delivery to the (c) EFFECTIVE DATE.—The amendments such operator shall pay a penalty. person has been made). made by this section shall take effect on the ‘‘(b) AMOUNT OF PENALTY.—The amount of date of the enactment of this Act. (5) OTHER LAWS APPLICABLE.—All provi- the penalty under subsection (a) shall be— SEC. 5224. TERMINATION OF DYED DIESEL USE sions of law, including penalties, applicable ‘‘(1) for each violation described in para- with respect to the tax imposed by section BY INTERCITY BUSES. graph (1), the greater of— (a) IN GENERAL.—Paragraph (3) of section 4081 of such Code shall, insofar as applicable ‘‘(A) $25,000, or 4082(b) (relating to nontaxable use) is amend- and not inconsistent with the provisions of ‘‘(B) $10 for each gallon of fuel involved, ed to read as follows: this subsection, apply with respect to the and ‘‘(3) any use described in section floor stock tax imposed by paragraph (1) to ‘‘(2) for each— 4041(a)(1)(C)(iii)(II).’’. the same extent as if such tax were imposed ‘‘(A) failure to maintain security standards (b) ULTIMATE VENDOR REFUND.—Subsection by such section. described in paragraph (2), $1,000, and (b) of section 6427 is amended by adding at SEC. 5212. TRANSFER OF CERTAIN AMOUNTS ‘‘(B) failure to correct a violation de- the end the following new paragraph: FROM THE AIRPORT AND AIRWAY scribed in paragraph (2), $1,000 per day for ‘‘(4) REFUNDS FOR USE OF DIESEL FUEL IN TRUST FUND TO THE HIGHWAY TRUST FUND TO REFLECT HIGHWAY each day after which such violation was dis- CERTAIN INTERCITY BUSES.— USE OF JET FUEL. covered or such person should have reason- ‘‘(A) IN GENERAL.—With respect to any fuel (a) IN GENERAL.—Section 9502(d) is amend- ably known of such violation. to which paragraph (2)(A) applies, if the ulti- ed by adding at the end the following new ‘‘(c) JOINT AND SEVERAL LIABILITY.— mate purchaser of such fuel waives (at such paragraph: ‘‘(1) IN GENERAL.—If a penalty is imposed time and in such form and manner as the under this section on any business entity, ‘‘(7) TRANSFERS FROM THE TRUST FUND TO Secretary shall prescribe) the right to pay- each officer, employee, or agent of such enti- THE HIGHWAY TRUST FUND TO REFLECT HIGH- ment under paragraph (1) and assigns such ty or other contracting party who willfully WAY USE OF JET FUEL.— right to the ultimate vendor, then the Sec- participated in any act giving rise to such ‘‘(A) IN GENERAL.—The Secretary shall pay retary shall pay the amount which would be from the Airport and Airway Trust Fund penalty shall be jointly and severally liable paid under paragraph (1) to such ultimate into the Highway Trust Fund— with such entity for such penalty. vendor, but only if such ultimate vendor— ‘‘(i) $395,000,000 in fiscal year 2005, ‘‘(2) AFFILIATED GROUPS.—If a business en- ‘‘(i) is registered under section 4101, and ‘‘(ii) $425,000,000 in fiscal year 2006, tity described in paragraph (1) is part of an ‘‘(ii) meets the requirements of subpara- ‘‘(iii) $429,000,000 in fiscal year 2007, affiliated group (as defined in section graph (A), (B), or (D) of section 6416(a)(1). ‘‘(iv) $432,000,000 in fiscal year 2008, and 1504(a)), the parent corporation of such enti- ‘‘(B) CREDIT CARDS.—For purposes of this ‘‘(v) $435,000,000 in fiscal year 2009. ty shall be jointly and severally liable with paragraph, if the sale of such fuel is made by such entity for the penalty imposed under ‘‘(B) AMOUNTS TRANSFERRED TO MASS TRAN- means of a credit card, the person extending this section.’’. SIT ACCOUNT.—The Secretary shall transfer 11 credit to the ultimate purchaser shall be percent of the amounts paid into the High- (2) CLERICAL AMENDMENT.—The table of deemed to be the ultimate vendor.’’. way Trust Fund under subparagraph (A) to sections for part I of subchapter B of chapter (c) PAYMENT OF REFUNDS.—Subparagraph the Mass Transit Account established under 68 is amended by adding after the item re- (A) of section 6427(i)(4), as amended by sec- section 9503(e).’’. lated to section 6715 the following new item: tion 5211 of this Act, is amended by inserting ‘‘subsections (b)(4) and’’ after ‘‘filed under’’. (b) CONFORMING AMENDMENTS.— ‘‘Sec. 6715A. Tampering with or failing to (b) EFFECTIVE DATE.—The amendments (1) Subsection (a) of section 9503 is amend- maintain security requirements made by this section shall apply to fuel sold ed— for mechanical dye injection after September 30, 2004. (A) by striking ‘‘appropriated or credited’’ systems.’’. and inserting ‘‘paid, appropriated, or cred- (d) EFFECTIVE DATE.—The amendments PART III—MODIFICATION OF INSPECTION ited’’, and made by subsections (a) and (c) shall take ef- OF RECORDS PROVISIONS (B) by striking ‘‘or section 9602(b)’’ and in- fect 180 days after the date on which the Sec- SEC. 5231. AUTHORITY TO INSPECT ON-SITE serting ‘‘, section 9502(d)(7), or section retary issues the regulations described in RECORDS. 9602(b)’’. subsection (b). (a) IN GENERAL.—Section 4083(d)(1)(A) (re- (2) Subsection (e)(1) of section 9503 is SEC. 5222. ELIMINATION OF ADMINISTRATIVE RE- lating to administrative authority), as amended by striking ‘‘or section 9602(b)’’ and VIEW FOR TAXABLE USE OF DYED amended by section 5211 of this Act, is inserting ‘‘, section 9502(d)(7), or section FUEL. amended by striking ‘‘and’’ at the end of 9602(b)’’. (a) IN GENERAL.—Section 6715 is amended clause (i) and by inserting after clause (ii) (c) EFFECTIVE DATE.—The amendments by inserting at the end the following new the following new clause: made by this section shall take effect on Oc- subsection: ‘‘(iii) inspecting any books and records and tober 1, 2004. ‘‘(e) NO ADMINISTRATIVE APPEAL FOR THIRD any shipping papers pertaining to such fuel, AND SUBSEQUENT VIOLATIONS.—In the case of and’’. PART II—DYED FUEL any person who is found to be subject to the (b) EFFECTIVE DATE.—The amendments SEC. 5221. DYE INJECTION EQUIPMENT. penalty under this section after a chemical made by this section shall take effect on the (a) IN GENERAL.—Section 4082(a)(2) (relat- analysis of such fuel and who has been penal- date of the enactment of this Act. ing to exemptions for diesel fuel and ker- ized under this section at least twice after SEC. 5232. ASSESSABLE PENALTY FOR REFUSAL osene) is amended by inserting ‘‘by mechan- the date of the enactment of this subsection, OF ENTRY. ical injection’’ after ‘‘indelibly dyed’’. no administrative appeal or review shall be (a) IN GENERAL.—Part I of subchapter B of (b) DYE INJECTOR SECURITY.—Not later allowed with respect to such finding except chapter 68 (relating to assessable penalties), than June 30, 2004, the Secretary of the in the case of a claim regarding— as amended by section 5221 of this Act, is Treasury shall issue regulations regarding ‘‘(1) fraud or mistake in the chemical anal- amended by adding at the end the following mechanical dye injection systems described ysis, or new section:

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00088 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1045 ‘‘SEC. 6717. REFUSAL OF ENTRY. son, paragraph (1) shall be applied by in- 68, as amended by section 5241 of this Act, is ‘‘(a) IN GENERAL.—In addition to any other creasing the amount in paragraph (1) by the amended by adding at the end the following penalty provided by law, any person who re- product of such amount and the number of new item: fuses to admit entry or refuses to permit any prior penalties (if any) imposed by this sec- ‘‘Sec. 6719. Failure to display registration of other action by the Secretary authorized by tion on such person (or a related person or vessel.’’. section 4083(d)(1) shall pay a penalty of $1,000 any predecessor of such person or related (c) EFFECTIVE DATE.—The amendments for such refusal. person). made by this section shall take effect on Oc- OINT AND SEVERAL LIABILITY.— ‘‘(b) J ‘‘(c) JOINT AND SEVERAL LIABILITY.— tober 1, 2004. ‘‘(1) IN GENERAL.—If a penalty is imposed ‘‘(1) IN GENERAL.—If a penalty is imposed SEC. 5243. REGISTRATION OF PERSONS WITHIN under this section on any business entity, under this section on any business entity, FOREIGN TRADE ZONES, ETC.. each officer, employee, or agent of such enti- each officer, employee, or agent of such enti- (a) IN GENERAL.—Section 4101(a), as amend- ty or other contracting party who willfully ty or other contracting party who willfully ed by section 5242 of this Act, is amended by participated in any act giving rise to such participated in any act giving rise to such redesignating paragraph (2) as paragraph (3), penalty shall be jointly and severally liable penalty shall be jointly and severally liable and by inserting after paragraph (1) the fol- with such entity for such penalty. with such entity for such penalty. lowing new paragraph: ‘‘(2) AFFILIATED GROUPS.—If a business en- ‘‘(2) AFFILIATED GROUPS.—If a business en- ‘‘(2) REGISTRATION OF PERSONS WITHIN FOR- tity described in paragraph (1) is part of an tity described in paragraph (1) is part of an EIGN TRADE ZONES, ETC..—The Secretary shall affiliated group (as defined in section affiliated group (as defined in section require registration by any person which— 1504(a)), the parent corporation of such enti- 1504(a)), the parent corporation of such enti- ‘‘(A) operates a terminal or refinery within ty shall be jointly and severally liable with ty shall be jointly and severally liable with a foreign trade zone or within a customs such entity for the penalty imposed under such entity for the penalty imposed under bonded storage facility, or this section. this section. ‘‘(B) holds an inventory position with re- ‘‘(c) REASONABLE CAUSE EXCEPTION.—No ‘‘(d) REASONABLE CAUSE EXCEPTION.—No spect to a taxable fuel in such a terminal.’’. penalty shall be imposed under this section penalty shall be imposed under this section (b) EFFECTIVE DATE.—The amendments with respect to any failure if it is shown that with respect to any failure if it is shown that made by this section shall take effect on Oc- such failure is due to reasonable cause.’’. such failure is due to reasonable cause.’’. tober 1, 2004. (b) CONFORMING AMENDMENTS.— (2) CLERICAL AMENDMENT.—The table of SEC. 5244. PENALTIES FOR FAILURE TO REG- (1) Section 4083(d)(3), as amended by sec- sections for part I of subchapter B of chapter ISTER AND FAILURE TO REPORT. tion 5211 of this Act, is amended— 68, as amended by section 5232 of this Act, is (a) INCREASED PENALTY.—Subsection (a) of (A) by striking ‘‘ENTRY.—The penalty’’ and amended by adding at the end the following section 7272 (relating to penalty for failure inserting: ‘‘ENTRY.— new item: to register) is amended by inserting ‘‘($10,000 ‘‘(A) FORFEITURE.—The penalty’’, and in the case of a failure to register under sec- ‘‘Sec. 6718. Carrying taxable fuels by nonreg- (B) by adding at the end the following new tion 4101)’’ after ‘‘$50’’. istered pipelines or vessels.’’. subparagraph: (b) INCREASED CRIMINAL PENALTY.—Section (c) PUBLICATION OF REGISTERED PERSONS.— ‘‘(B) ASSESSABLE PENALTY.—For additional 7232 (relating to failure to register under sec- Not later than June 30, 2004, the Secretary of assessable penalty for the refusal to admit tion 4101, false representations of registra- the Treasury shall publish a list of persons entry or other refusal to permit an action by tion status, etc.) is amended by striking required to be registered under section 4101 the Secretary authorized by paragraph (1), ‘‘$5,000’’ and inserting ‘‘$10,000’’. of the Internal Revenue Code of 1986. see section 6717.’’. (c) ASSESSABLE PENALTY FOR FAILURE TO (d) EFFECTIVE DATE.—The amendments (2) The table of sections for part I of sub- REGISTER.— made by subsections (a) and (b) shall take ef- chapter B of chapter 68, as amended by sec- (1) IN GENERAL.—Part I of subchapter B of fect on October 1, 2004. tion 5221 of this Act, is amended by adding at chapter 68 (relating to assessable penalties), the end the following new item: SEC. 5242. DISPLAY OF REGISTRATION. as amended by section 5242 of this Act, is (a) IN GENERAL.—Subsection (a) of section amended by adding at the end the following ‘‘Sec. 6717. Refusal of entry.’’. 4101 (relating to registration) is amended— new section: (c) EFFECTIVE DATE.—The amendments (1) by striking ‘‘Every’’ and inserting the ‘‘SEC. 6720. FAILURE TO REGISTER. made by this section shall take effect on Oc- following: ‘‘(a) FAILURE TO REGISTER.—Every person tober 1, 2004. ‘‘(1) IN GENERAL.—Every’’, and who is required to register under section 4101 PART IV—REGISTRATION AND (2) by adding at the end the following new and fails to do so shall pay a penalty in addi- REPORTING REQUIREMENTS paragraph: tion to the tax (if any). ‘‘(2) DISPLAY OF REGISTRATION.—Every op- ‘‘(b) AMOUNT OF PENALTY.—The amount of SEC. 5241. REGISTRATION OF PIPELINE OR VES- SEL OPERATORS REQUIRED FOR EX- erator of a vessel required by the Secretary the penalty under subsection (a) shall be— EMPTION OF BULK TRANSFERS TO to register under this section shall display ‘‘(1) $10,000 for each initial failure to reg- REGISTERED TERMINALS OR REFIN- proof of registration through an electronic ister, and ERIES. identification device prescribed by the Sec- ‘‘(2) $1,000 for each day thereafter such per- (a) IN GENERAL.—Section 4081(a)(1)(B) (re- retary on each vessel used by such operator son fails to register. lating to exemption for bulk transfers to reg- to transport any taxable fuel.’’. ‘‘(c) REASONABLE CAUSE EXCEPTION.—No istered terminals or refineries) is amended— (b) CIVIL PENALTY FOR FAILURE TO DISPLAY penalty shall be imposed under this section (1) by inserting ‘‘by pipeline or vessel’’ REGISTRATION.— with respect to any failure if it is shown that after ‘‘transferred in bulk’’, and (1) IN GENERAL.—Part I of subchapter B of such failure is due to reasonable cause.’’. (2) by inserting ‘‘, the operator of such chapter 68 (relating to assessable penalties), (2) CLERICAL AMENDMENT.—The table of pipeline or vessel,’’ after ‘‘the taxable fuel’’. as amended by section 5241 of this Act, is sections for part I of subchapter B of chapter (b) CIVIL PENALTY FOR CARRYING TAXABLE amended by adding at the end the following 68, as amended by section 5242 of this Act, is FUELS BY NONREGISTERED PIPELINES OR VES- new section: amended by adding at the end the following SELS.— ‘‘SEC. 6719. FAILURE TO DISPLAY REGISTRATION new item: (1) IN GENERAL.—Part I of subchapter B of OF VESSEL. ‘‘Sec. 6720. Failure to register.’’. chapter 68 (relating to assessable penalties), ‘‘(a) FAILURE TO DISPLAY REGISTRATION.— (d) ASSESSABLE PENALTY FOR FAILURE TO as amended by section 5232 of this Act, is Every operator of a vessel who fails to dis- REPORT.— amended by adding at the end the following play proof of registration pursuant to sec- (1) IN GENERAL.—Part II of subchapter B of new section: tion 4101(a)(2) shall pay a penalty of $500 for chapter 68 (relating to assessable penalties) ‘‘SEC. 6718. CARRYING TAXABLE FUELS BY NON- each such failure. With respect to any vessel, is amended by adding at the end the fol- REGISTERED PIPELINES OR VES- only one penalty shall be imposed by this lowing new section: SELS. section during any calendar month. ‘‘SEC. 6725. FAILURE TO REPORT INFORMATION ‘‘(a) IMPOSITION OF PENALTY.—If any person ‘‘(b) MULTIPLE VIOLATIONS.—In deter- UNDER SECTION 4101. knowingly transfers any taxable fuel (as de- mining the penalty under subsection (a) on ‘‘(a) IN GENERAL.—In the case of each fail- fined in section 4083(a)(1)) in bulk pursuant any person, subsection (a) shall be applied by ure described in subsection (b) by any person to section 4081(a)(1)(B) to an unregistered, increasing the amount in subsection (a) by with respect to a vessel or facility, such per- such person shall pay a penalty in addition the product of such amount and the number son shall pay a penalty of $10,000 in addition to the tax (if any). of prior penalties (if any) imposed by this to the tax (if any). ‘‘(b) AMOUNT OF PENALTY.— section on such person (or a related person ‘‘(b) FAILURES SUBJECT TO PENALTY.—For ‘‘(1) IN GENERAL.—Except as provided in or any predecessor of such person or related purposes of subsection (a), the failures de- paragraph (2), the amount of the penalty person). scribed in this subsection are— under subsection (a) on each act shall be an ‘‘(c) REASONABLE CAUSE EXCEPTION.—No ‘‘(1) any failure to make a report under amount equal to the greater of— penalty shall be imposed under this section section 4101(d) on or before the date pre- ‘‘(A) $10,000, or with respect to any failure if it is shown that scribed therefor, and ‘‘(B) $1 per gallon. such failure is due to reasonable cause.’’. ‘‘(2) any failure to include all of the infor- ‘‘(2) MULTIPLE VIOLATIONS.—In determining (2) CLERICAL AMENDMENT.—The table of mation required to be shown on such report the penalty under subsection (a) on any per- sections for part I of subchapter B of chapter or the inclusion of incorrect information.

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‘‘(c) REASONABLE CAUSE EXCEPTION.—No chapter A of chapter 31 of the Internal Rev- (2) FILING OF CLAIMS.—Section 6427(i) is penalty shall be imposed under this section enue Code of 1986, as amended by section 5245 amended by inserting at the end the fol- with respect to any failure if it is shown that of this Act, is amended by adding after the lowing new paragraph: such failure is due to reasonable cause.’’. last item the following new item: ‘‘(5) SPECIAL RULE FOR VENDOR REFUNDS (2) CLERICAL AMENDMENT.—The table of WITH RESPECT TO FARMERS.— ‘‘Sec. 4105. Tax at entry where importer not sections for part II of subchapter B of chap- ‘‘(A) IN GENERAL.—A claim may be filed registered.’’. ter 68 is amended by adding at the end the under subsection (l)(6) by any person with re- (b) DENIAL OF ENTRY WHERE TAX NOT following new item: spect to fuel sold by such person for any pe- PAID.—The Secretary of Homeland Security riod— ‘‘Sec. 6725. Failure to report information is authorized to deny entry into the United ‘‘(i) for which $200 or more ($100 or more in under section 4101.’’. States of any shipment of a fuel which is the case of kerosene) is payable under sub- (e) EFFECTIVE DATE.—The amendments taxable under section 4081 of the Internal section (l)(6), made by this section shall apply to failures Revenue Code of 1986 if the person entering ‘‘(ii) which is not less than 1 week, and pending or occurring after September 30, such shipment fails to pay the tax imposed ‘‘(iii) which is for not more than 500 gal- 2004. under such section or post a bond in accord- lons for each farmer for which there is a SEC. 5245. INFORMATION REPORTING FOR PER- ance with the provisions of section 4105 of claim. SONS CLAIMING CERTAIN TAX BENE- such Code. Notwithstanding subsection (l)(1), paragraph FITS. (c) EFFECTIVE DATE.—The amendments (3)(B) shall apply to claims filed under the (a) IN GENERAL.—Subpart C of part III of made by this section shall take effect on the preceding sentence. subchapter A of chapter 32 is amended by date of the enactment of this Act. ‘‘(B) TIME FOR FILING CLAIM.—No claim adding at the end the following new section: SEC. 5252. RECONCILIATION OF ON-LOADED filed under this paragraph shall be allowed ‘‘SEC. 4104. INFORMATION REPORTING FOR PER- CARGO TO ENTERED CARGO. unless filed on or before the last day of the SONS CLAIMING CERTAIN TAX BENE- (a) IN GENERAL.—Subsection (a) of section FITS. first quarter following the earliest quarter 343 of the Trade Act of 2002 is amended by in- included in the claim.’’. ‘‘(a) IN GENERAL.—The Secretary shall re- serting at the end the following new para- quire any person claiming tax benefits— (3) CONFORMING AMENDMENTS.— graph: (A) Section 6427(l)(5)(A) is amended to read ‘‘(1) under the provisions of section 34, 40, N GENERAL.—Subject to paragraphs ‘‘(4) I as follows: and 40A to file a return at the time such per- (2) and (3), not later than 1 year after the en- son claims such benefits (in such manner as ‘‘(A) IN GENERAL.—Paragraph (1) shall not actment of this paragraph, the Secretary of apply to diesel fuel or kerosene used by a the Secretary may prescribe), and Homeland Security, together with the Sec- ‘‘(2) under the provisions of section State or local government.’’. retary of the Treasury, shall promulgate reg- (B) The heading for section 6427(l)(5) is 4041(b)(2), 6426, or 6427(e) to file a monthly re- ulations providing for the transmission to turn (in such manner as the Secretary may amended by striking ‘‘FARMERS AND’’. the Internal Revenue Service, through an (b) Section 6427(i)(3) is amended— prescribe). electronic data interchange system, of infor- ‘‘(b) CONTENTS OF RETURN.—Any return (1) by adding at the end of subparagraph mation pertaining to cargo of taxable fuels (A) the following new flush sentence: filed under this section shall provide such in- (as defined in section 4083 of the Internal formation relating to such benefits and the ‘‘In the case of an electronic claim, this sub- Revenue Code of 1986) destined for importa- paragraph shall be applied without regard to coordination of such benefits as the Sec- tion into the United States prior to such im- retary may require to ensure the proper ad- clause (i).’’, and portation.’’. (2) by striking ‘‘20 days of the date of the ministration and use of such benefits. (b) EFFECTIVE DATE.—The amendment ‘‘(c) ENFORCEMENT.—With respect to any filing of such claim’’ in subparagraph (B) and made by this section shall take effect on the inserting ‘‘45 days of the date of the filing of person described in subsection (a) and sub- date of the enactment of this Act. ject to registration requirements under this such claim (20 days in the case of an elec- PART VI—MISCELLANEOUS PROVISIONS title, rules similar to rules of section 4222(c) tronic claim)’’, and shall apply with respect to any requirement SEC. 5261. TAX ON SALE OF DIESEL FUEL WHETH- (c) EFFECTIVE DATE.—The amendment under this section.’’. ER SUITABLE FOR USE OR NOT IN A made by this section shall apply to fuels sold DIESEL-POWERED VEHICLE OR for nontaxable use after the date of the en- (b) CONFORMING AMENDMENT.—The table of TRAIN. sections for subpart C of part III of sub- actment of this Act. (a) IN GENERAL.—Section 4083(a)(3) is SEC. 5263. TAXABLE FUEL REFUNDS FOR CER- chapter A of chapter 32 is amended by adding amended— at the end the following new item: TAIN ULTIMATE VENDORS. (1) by striking ‘‘The term’’ and inserting (a) IN GENERAL.—Paragraph (4) of section ‘‘Sec. 4104. Information reporting for per- the following: 6416(a) (relating to abatements, credits, and sons claiming certain tax bene- ‘‘(A) IN GENERAL.—The term’’, and refunds) is amended to read as follows: fits.’’. (2) by inserting at the end the following ‘‘(4) REGISTERED ULTIMATE VENDOR TO AD- (c) EFFECTIVE DATE.—The amendments new subparagraph: MINISTER CREDITS AND REFUNDS OF GASOLINE made by this section shall take effect on Oc- ‘‘(B) LIQUID SOLD AS DIESEL FUEL.—The TAX.— tober 1, 2004. term ‘diesel fuel’ includes any liquid which ‘‘(A) IN GENERAL.—For purposes of this sub- PART V—IMPORTS is sold as or offered for sale as a fuel in a die- section, if an ultimate vendor purchases any SEC. 5251. TAX AT POINT OF ENTRY WHERE IM- sel-powered highway vehicle or a diesel-pow- gasoline on which tax imposed by section PORTER NOT REGISTERED. ered train.’’. 4081 has been paid and sells such gasoline to (a) TAX AT POINT OF ENTRY WHERE IM- (b) EFFECTIVE DATE.—The amendments an ultimate purchaser described in subpara- PORTER NOT REGISTERED.— made by this section shall take effect on the graph (C) or (D) of subsection (b)(2) (and such (1) IN GENERAL.—Subpart C of part III of date of the enactment of this Act. gasoline is for a use described in such sub- subchapter A of chapter 31, as amended by SEC. 5262. MODIFICATION OF ULTIMATE VENDOR paragraph), such ultimate vendor shall be section 5245 of this Act, is amended by add- REFUND CLAIMS WITH RESPECT TO treated as the person (and the only person) ing at the end the following new section: FARMING. who paid such tax, but only if such ultimate ‘‘SEC. 4105. TAX AT ENTRY WHERE IMPORTER (a) IN GENERAL.— vendor is registered under section 4101. For NOT REGISTERED. (1) REFUNDS.—Section 6427(l) is amended by purposes of this subparagraph, if the sale of ‘‘(a) IN GENERAL.—Any tax imposed under adding at the end the following new para- gasoline is made by means of a credit card, this part on any person not registered under graph: the person extending the credit to the ulti- section 4101 for the entry of a fuel into the ‘‘(6) REGISTERED VENDORS PERMITTED TO AD- mate purchaser shall be deemed to be the ul- United States shall be imposed at the time MINISTER CERTAIN CLAIMS FOR REFUND OF DIE- timate vendor. and point of entry. SEL FUEL AND KEROSENE SOLD TO FARMERS.— ‘‘(B) TIMING OF CLAIMS.—The procedure and ‘‘(b) ENFORCEMENT OF ASSESSMENT.—If any ‘‘(A) IN GENERAL.—In the case of diesel fuel timing of any claim under subparagraph (A) person liable for any tax described under or kerosene used on a farm for farming pur- shall be the same as for claims under section subsection (a) has not paid the tax or posted poses (within the meaning of section 6420(c)), 6427(i)(4), except that the rules of section a bond, the Secretary may— paragraph (1) shall not apply to the aggre- 6427(i)(3)(B) regarding electronic claims shall ‘‘(1) seize the fuel on which the tax is due, gate amount of such diesel fuel or kerosene not apply unless the ultimate vendor has or if such amount does not exceed 500 gallons certified to the Secretary for the most re- ‘‘(2) detain any vehicle transporting such (as determined under subsection cent quarter of the taxable year that all ulti- fuel, (i)(5)(A)(iii)). mate purchasers of the vendor are certified until such tax is paid or such bond is filed. ‘‘(B) PAYMENT TO ULTIMATE VENDOR.—The and entitled to a refund under subparagraph ‘‘(c) LEVY OF FUEL.—If no tax has been paid amount which would (but for subparagraph (C) or (D) of subsection (b)(2).’’. or no bond has been filed within 5 days from (A)) have been paid under paragraph (1) with (b) CREDIT CARD PURCHASES OF DIESEL the date the Secretary seized fuel pursuant respect to any fuel shall be paid to the ulti- FUEL OR KEROSENE BY STATE AND LOCAL GOV- to subsection (b), the Secretary may sell mate vendor of such fuel, if such vendor— ERNMENTS.—Section 6427(l)(5)(C) (relating to such fuel as provided under section 6336.’’. ‘‘(i) is registered under section 4101, and nontaxable uses of diesel fuel, kerosene, and (2) CONFORMING AMENDMENT.—The table of ‘‘(ii) meets the requirements of subpara- aviation fuel), as amended by section 5252 of sections for subpart C of part III of sub- graph (A), (B), or (D) of section 6416(a)(1).’’. this Act, is amended by adding at the end

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the following new sentence: ‘‘For purposes of ‘‘(2) DISPLAY OF TAX CERTIFICATE.—Every (1) IN GENERAL.—Section 4081(a), as amend- this subparagraph, if the sale of diesel fuel or taxpayer which pays the tax imposed under ed by this Act, is amended— kerosene is made by means of a credit card, this section with respect to a highway motor (A) by inserting ‘‘or reportable liquid’’ the person extending the credit to the ulti- vehicle shall, not later than 1 month after after ‘‘taxable fuel’’ each place it appears, mate purchaser shall be deemed to be the ul- the due date of the return of tax with respect and timate vendor.’’. to each taxable period, receive and display (B) by inserting ‘‘such liquid’’ after ‘‘such (c) EFFECTIVE DATE.—The amendments on such vehicle an electronic identification fuel’’ in paragraph (1)(A)(iv). made by this section shall take effect on Oc- device prescribed by the Secretary.’’. (2) RATE OF TAX.—Subparagraph (A) of sec- tober 1, 2004. (c) ELECTRONIC FILING.—Section 4481, as tion 4081(a)(2), as amended by section 5211 of SEC. 5264. TWO-PARTY EXCHANGES. amended by section 5001 of this Act, is this Act, is amended by striking ‘‘and’’ at (a) IN GENERAL.—Subpart C of part III of amended by redesignating subsection (e) as the end of clause (iii), by striking the period subchapter A of chapter 32, as amended by subsection (f) and by inserting after sub- at the end of clause (iv) and inserting ‘‘, section 5251 of this Act, is amended by add- section (d) the following new subsection: and’’, and by adding at the end the following ing at the end the following new section: ‘‘(e) ELECTRONIC FILING.—Any taxpayer new clause: ‘‘SEC. 4106. TWO-PARTY EXCHANGES. who files a return under this section with re- ‘‘(v) in the case of reportable liquids, the ‘‘(a) IN GENERAL.—In a two-party ex- spect to 25 or more vehicles for any taxable rate determined under section 4083(c)(2).’’. change, the delivering person shall not be period shall file such return electronically.’’. (3) EXEMPTION.—Section 4081(a)(1) is liable for the tax imposed under of section (d) REPEAL OF REDUCTION IN TAX FOR CER- amended by adding at the end the following 4081(a)(1)(A)(ii). TAIN TRUCKS.—Section 4483 of the Internal new subparagraph: ‘‘(b) TWO-PARTY EXCHANGE.—The term Revenue Code of 1986 is amended by striking ‘‘(C) EXEMPTION FOR REGISTERED TRANSFERS ‘two-party exchange’ means a transaction, subsection (f). OF REPORTABLE LIQUIDS.—The tax imposed by other than a sale, in which taxable fuel is (e) EFFECTIVE DATES.— this paragraph shall not apply to any re- transferred from a delivering person reg- (1) IN GENERAL.—Except as provided in moval, entry, or sale of a reportable liquid istered under section 4101 as a taxable fuel paragraph (2), the amendments made by this if— registrant to a receiving person who is so section shall apply to taxable periods begin- ‘‘(i) such removal, entry, or sale is to a reg- registered where all of the following occur: ning after the date of the enactment of this istered person who certifies that such liquid ‘‘(1) The transaction includes a transfer Act. will not be used as a fuel or in the produc- from the delivering person, who holds the in- (2) SUBSECTION (b).—The amendment made tion of a fuel, or ventory position for taxable fuel in the ter- by subsection (b) shall take effect on October ‘‘(ii) the sale is to the ultimate purchaser minal as reflected in the records of the ter- 1, 2005. of such liquid.’’. minal operator. SEC. 5266. DEDICATION OF REVENUES FROM (4) REPORTABLE LIQUIDS.—Section 4083, as ‘‘(2) The exchange transaction occurs be- CERTAIN PENALTIES TO THE HIGH- amended by this Act, is amended by redesig- WAY TRUST FUND. fore or contemporaneous with completion of nating subsections (c) and (d) (as redesig- (a) IN GENERAL.—Subsection (b) of section removal across the rack from the terminal nated by section 5211 of this Act) as sub- 9503 (relating to transfer to Highway Trust by the receiving person. sections (d) and (e), respectively, and by in- Fund of amounts equivalent to certain ‘‘(3) The terminal operator in its books and serting after subsection (b) the following new taxes), as amended by section 5001 of this records treats the receiving person as the section: Act, is amended by redesignating paragraph person that removes the product across the (5) as paragraph (6) and inserting after para- ‘‘(c) REPORTABLE LIQUID.—For purposes of terminal rack for purposes of reporting the graph (4) the following new paragraph: this subpart— transaction to the Secretary. ‘‘(5) CERTAIN PENALTIES.—There are hereby ‘‘(1) IN GENERAL.—The term ‘reportable liq- ‘‘(4) The transaction is the subject of a appropriated to the Highway Trust Fund uid’ means any petroleum-based liquid other written contract.’’. amounts equivalent to the penalties assessed than a taxable fuel. (b) CONFORMING AMENDMENT.—The table of under sections 6715, 6715A, 6717, 6718, 6719, ‘‘(2) TAXATION.— sections for subpart C of part III of sub- 6720, 6725, 7232, and 7272 (but only with regard ‘‘(A) GASOLINE BLEND STOCKS AND ADDI- chapter A of chapter 32, as amended by sec- to penalties under such section related to TIVES.—Gasoline blend stocks and additives tion 5251 of this Act, is amended by adding failure to register under section 4101).’’. which are reportable liquids (as defined in after the last item the following new item: (b) CONFORMING AMENDMENTS.— paragraph (1)) shall be subject to the rate of ‘‘Sec. 4106. Two-party exchanges.’’. (1) The heading of subsection (b) of section tax under clause (i) of section 4081(a)(2)(A). (c) EFFECTIVE DATE.—The amendment 9503 is amended by inserting ‘‘AND PEN- ‘‘(B) OTHER REPORTABLE LIQUIDS.—Any re- made by this section shall take effect on the ALTIES’’ after ‘‘TAXES’’. portable liquid (as defined in paragraph (1)) date of the enactment of this Act. (2) The heading of paragraph (1) of section not described in subparagraph (A) shall be SEC. 5265. MODIFICATIONS OF TAX ON USE OF 9503(b) is amended by striking ‘‘IN GENERAL’’ subject to the rate of tax under clause (iii) of CERTAIN VEHICLES. and inserting ‘‘CERTAIN TAXES’’. section 4081(a)(2)(A).’’. (a) NO PRORATION OF TAX UNLESS VEHICLE (c) EFFECTIVE DATE.—The amendments (5) CONFORMING AMENDMENTS.— IS DESTROYED OR STOLEN.— made by this section shall apply to penalties (A) Section 4081(e) is amended by inserting (1) IN GENERAL.—Section 4481(c) (relating assessed after October 1, 2004. ‘‘or reportable liquid’’ after ‘‘taxable fuel’’. to proration of tax) is amended to read as SEC. 5267. NONAPPLICATION OF EXPORT EXEMP- (B) Section 4083(d) (relating to certain use follows: TION TO DELIVERY OF FUEL TO defined as removal), as redesignated by para- ‘‘(c) PRORATION OF TAX WHERE VEHICLE MOTOR VEHICLES REMOVED FROM graph (4), is amended by inserting ‘‘or re- SOLD, DESTROYED, OR STOLEN.— UNITED STATES. portable liquid’’ after ‘‘taxable fuel’’. ‘‘(1) IN GENERAL.—If in any taxable period a (a) IN GENERAL.—Section 4221(d)(2) (defin- (C) Section 4083(e)(1) (relating to adminis- highway motor vehicle is sold, destroyed, or ing export) is amended by adding at the end trative authority), as redesignated by para- stolen before the first day of the last month the following new sentence: ‘‘Such term does graph (4), is amended— in such period and not subsequently used not include the delivery of a taxable fuel (as (i) in subparagraph (A)— during such taxable period, the tax shall be defined in section 4083(a)(1)) into a fuel tank (I) by inserting ‘‘or reportable liquid’’ after reckoned proportionately from the first day of a motor vehicle which is shipped or driven ‘‘taxable fuel’’, and of the month in such period in which the out of the United States.’’. (II) by inserting ‘‘or such liquid’’ after first use of such highway motor vehicle oc- (b) CONFORMING AMENDMENTS.— ‘‘such fuel’’ each place it appears, and curs to and including the last day of the (1) Section 4041(g) (relating to other ex- (ii) in subparagraph (B), by inserting ‘‘or month in which such highway motor vehicle emptions) is amended by adding at the end any reportable liquid’’ after ‘‘any taxable was sold, destroyed, or stolen. the following new sentence: ‘‘Paragraph (3) fuel’’. shall not apply to the sale for delivery of a ‘‘(2) DESTROYED.—For purposes of para- (D) Section 4101(a)(2), as added by section graph (1), a highway motor vehicle is de- liquid into a fuel tank of a motor vehicle 5243 of this Act, is amended by inserting ‘‘or stroyed if such vehicle is damaged by reason which is shipped or driven out of the United a reportable liquid’’ after ‘‘taxable fuel’’. of an accident or other casualty to such an States.’’. (E) Section 4101(a)(3), as added by section extent that it is not economic to rebuild.’’. (2) Clause (iv) of section 4081(a)(1)(A) (re- 5242 of this Act and redesignated by section lating to tax on removal, entry, or sale) is (2) CONFORMING AMENDMENTS.— 5243 of this Act, is amended by inserting ‘‘or (A) Section 6156 (relating to installment amended by inserting ‘‘or at a duty-free sales any reportable liquid’’ before the period at payment of tax on use of highway motor ve- enterprise (as defined in section 555(b)(8) of the end. hicles) is repealed. the Tariff Act of 1930)’’ after ‘‘section 4101’’. (F) Section 4102 is amended by inserting (c) EFFECTIVE DATE.—The amendments (B) The table of sections for subchapter A ‘‘or any reportable liquid’’ before the period made by this section shall apply to sales or of chapter 62 is amended by striking the item at the end. deliveries made after the date of the enact- relating to section 6156. (G)(i) Section 6718, as added by section 5241 ment of this Act. (b) DISPLAY OF TAX CERTIFICATE.—Para- of this Act, is amended— graph (2) of section 4481(d) (relating to one PART VII—TOTAL ACCOUNTABILITY (I) in subsection (a), by inserting ‘‘or any tax liability for period) is amended to read as SEC. 5271. TOTAL ACCOUNTABILITY. reportable liquid (as defined in section follows: (a) TAXATION OF REPORTABLE LIQUIDS.— 4083(c)(1))’’ after ‘‘ section 4083(a)(1))’’, and

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Subtitle D—Definition of Highway Vehicle tural modification, be used as a component (H) Section 6427(h) is amended to read as of a vehicle designed to perform a function of SEC. 5301. EXEMPTION FROM CERTAIN EXCISE follows: TAXES FOR MOBILE MACHINERY. transporting any load other than that par- ‘‘(h) GASOLINE BLEND STOCKS OR ADDITIVES (a) EXEMPTION FROM TAX ON HEAVY TRUCKS ticular machinery or equipment or similar AND REPORTABLE LIQUIDS.—Except as pro- AND TRAILERS SOLD AT RETAIL.— machinery or equipment requiring such a vided in subsection (k)— (1) IN GENERAL.—Section 4053 (relating to specially designed chassis. ‘‘(1) if any gasoline blend stock or additive exemptions) is amended by adding at the end ‘‘(iv) USE-BASED TEST.—For purposes of (within the meaning of section 4083(a)(2)) is the following new paragraph: clause (ii)(II), the use-based test is met if the not used by any person to produce gasoline ‘‘(8) MOBILE MACHINERY.—Any vehicle use of the vehicle on public highways was and such person establishes that the ulti- which consists of a chassis— less than 5,000 miles during the taxpayer’s mate use of such gasoline blend stock or ad- ‘‘(A) to which there has been permanently taxable year. ditive is not to produce gasoline, or mounted (by welding, bolting, riveting, or ‘‘(v) SPECIAL RULE FOR USE BY CERTAIN TAX- ‘‘(2) if any reportable liquid (within the other means) machinery or equipment to EXEMPT ORGANIZATIONS.—In the case of any meaning of section 4083(c)(1)) is not used by perform a construction, manufacturing, use in a vehicle by an organization which is any person to produce a taxable fuel and processing, farming, mining, drilling, tim- described in section 501(c) and exempt from such person establishes that the ultimate bering, or similar operation if the operation tax under section 501(a), clause (ii) shall be use of such reportable liquid is not to of the machinery or equipment is unrelated applied without regard to subclause (II) produce a taxable fuel, to transportation on or off the public high- thereof.’’. then the Secretary shall pay (without inter- ways, (2) ANNUAL REFUND OF TAX PAID.—Section est) to such person an amount equal to the ‘‘(B) which has been specially designed to 6427(i)(2) (relating to exceptions) is amended aggregate amount of the tax imposed on serve only as a mobile carriage and mount by adding at the end the following new sub- such person with respect to such gasoline (and a power source, where applicable) for paragraph: blend stock or additive or such reportable the particular machinery or equipment in- ‘‘(C) NONAPPLICATION OF PARAGRAPH.—This fuel.’’. volved, whether or not such machinery or paragraph shall not apply to any fuel used in (I) Section 7232, as amended by this Act, is equipment is in operation, and any off-highway business use described in amended by inserting ‘‘or reportable liquid ‘‘(C) which, by reason of such special de- section 6421(e)(2)(C).’’. (within the meaning of section 4083(c)(1))’’ sign, could not, without substantial struc- (3) EFFECTIVE DATE.—The amendments after ‘‘section 4083)’’. tural modification, be used as a component made by this subsection shall apply to tax- (J) Section 343 of the Trade Act of 2002, as of a vehicle designed to perform a function of able years beginning after the date of the en- amended by section 5252 of this Act, is transporting any load other than that par- actment of this Act. amended by inserting ‘‘and reportable liquids ticular machinery or equipment or similar SEC. 5302. MODIFICATION OF DEFINITION OF (as defined in section 4083(c)(1) of such machinery or equipment requiring such a OFF-HIGHWAY VEHICLE. Code)’’ after ‘‘Internal Revenue Code of specially designed chassis.’’. (a) IN GENERAL.—Section 7701(a) (relating 1986)’’. (2) EFFECTIVE DATE.—The amendment to definitions) is amended by adding at the (b) DYED DIESEL.—Section 4082(a) is made by this subsection shall take effect on end the following new paragraph: amended by striking ‘‘and’’ at the end of the day after the date of the enactment of ‘‘(48) OFF-HIGHWAY VEHICLES.— paragraph (2), by striking the period at the this Act. ‘‘(A) OFF-HIGHWAY TRANSPORTATION VEHI- end of paragraph (3) and inserting ‘‘and’’, and (b) EXEMPTION FROM TAX ON USE OF CER- CLES.— by inserting after paragraph (3) the following TAIN VEHICLES.— ‘‘(i) IN GENERAL.—A vehicle shall not be new paragraph: (1) IN GENERAL.—Section 4483 (relating to treated as a highway vehicle if such vehicle ‘‘(4) which is removed, entered, or sold by exemptions) is amended by redesignating is specially designed for the primary func- a person registered under section 4101.’’. subsection (g) as subsection (h) and by in- tion of transporting a particular type of load (c) EFFECTIVE DATE.—The amendments serting after subsection (f) the following new other than over the public highway and be- made by this section shall apply to report- subsection: cause of this special design such vehicle’s ca- able liquids (as defined in section 4083(c) of ‘‘(g) EXEMPTION FOR MOBILE MACHINERY.— pability to transport a load over the public the Internal Revenue Code) and fuel sold or No tax shall be imposed by section 4481 on highway is substantially limited or im- used after September 30, 2004. the use of any vehicle described in section paired. SEC. 5272. EXCISE TAX REPORTING. 4053(8).’’. ‘‘(ii) DETERMINATION OF VEHICLE’S DESIGN.— (a) IN GENERAL.—Part II of subchapter A of (2) EFFECTIVE DATE.—The amendments For purposes of clause (i), a vehicle’s design chapter 61 is amended by adding at the end made by this subsection shall take effect on is determined solely on the basis of its phys- the following new subpart: the day after the date of the enactment of ical characteristics. ‘‘SUBPART E—EXCISE TAX REPORTING this Act. ‘‘(iii) DETERMINATION OF SUBSTANTIAL LIMI- ‘‘SEC. 6025. RETURNS RELATING TO FUEL TAXES. (d) EXEMPTION FROM FUEL TAXES.— TATION OR IMPAIRMENT.—For purposes of ‘‘(a) IN GENERAL.—The Secretary shall re- (1) IN GENERAL.—Section 6421(e)(2) (defining clause (i), in determining whether substan- quire any person liable for the tax imposed off-highway business use) is amended by add- tial limitation or impairment exists, ac- under Part III of subchapter A of chapter 32 ing at the end the following new subpara- count may be taken of factors such as the to file a return of such tax on a monthly graph: size of the vehicle, whether such vehicle is basis. ‘‘(C) USES IN MOBILE MACHINERY.— subject to the licensing, safety, and other re- ‘‘(b) INFORMATION INCLUDED WITH RETURN.— ‘‘(i) IN GENERAL.—The term ‘off-highway quirements applicable to highway vehicles, The Secretary shall require any person filing business use’ shall include any use in a vehi- and whether such vehicle can transport a a return under subsection (a) to provide in- cle which meets the requirements described load at a sustained speed of at least 25 miles formation regarding any refined product in clause (ii). per hour. It is immaterial that a vehicle can (whether or not such product is taxable ‘‘(ii) REQUIREMENTS FOR MOBILE MACHIN- transport a greater load off the public high- under this title) removed from a terminal ERY.—The requirements described in this way than such vehicle is permitted to trans- during the period for which such return ap- clause are— port over the public highway. plies.’’. ‘‘(I) the design-based test, and ‘‘(B) NONTRANSPORTATION TRAILERS AND (b) CONFORMING AMENDMENT.—The table of ‘‘(II) the use-based test. SEMITRAILERS.—A trailer or semitrailer shall parts for subchapter A of chapter 61 is ‘‘(iii) DESIGN-BASED TEST.—For purposes of not be treated as a highway vehicle if it is amended by adding at the end the following clause (ii)(I), the design-based test is met if specially designed to function only as an en- new item: the vehicle consists of a chassis— closed stationary shelter for the carrying on ‘‘(I) to which there has been permanently of an off-highway function at an off-highway ‘‘Subpart E—Excise Tax Reporting’’. mounted (by welding, bolting, riveting, or site.’’. (c) EFFECTIVE DATE.—The amendments other means) machinery or equipment to (c) EFFECTIVE DATES.— made by this section shall apply to fuel sold perform a construction, manufacturing, (1) IN GENERAL.—Except as provided in or used after September 30, 2004. processing, farming, mining, drilling, tim- paragraph (2), the amendment made by this SEC. 5273. INFORMATION REPORTING. bering, or similar operation if the operation section shall take effect on the date of the (a) IN GENERAL.—Section 4101(d) is amend- of the machinery or equipment is unrelated enactment of this Act. ed by adding at the end the following new to transportation on or off the public high- (2) FUEL TAXES.—With respect to taxes im- flush sentence: ways, posed under subchapter B of chapter 31 and ‘‘The Secretary shall require reporting under ‘‘(II) which has been specially designed to part III of subchapter A of chapter 32, the the previous sentence with respect to taxable serve only as a mobile carriage and mount amendment made by this section shall apply

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00092 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1049 to taxable periods beginning after the date of end of subparagraph (A), by striking ‘‘, and’’ (C) Subsection (e) of section 9504, as the enactment of this Act. at the end of subparagraph (B) and inserting amended by section 5002 of this Act, is Subtitle E—Excise Tax Reform and a period, and by striking subparagraph (C). amended by striking ‘‘Boat Safety Account Simplification (2) CONFORMING AMENDMENT.—Paragraph and Sport Fish Restoration Account’’ and in- PART I—HIGHWAY EXCISE TAXES (2) of section 4042(b) is amended by striking serting ‘‘Sport Fish Restoration Trust subparagraph (C). Fund’’. SEC. 5401. DEDICATION OF GAS GUZZLER TAX TO HIGHWAY TRUST FUND. (c) EFFECTIVE DATE.—The amendments (D) Section 9504 is amended by striking (a) IN GENERAL.—Section 9503(b)(1) (relat- made by this section shall take effect on Oc- ‘‘AQUATIC RESOURCES’’ in the heading and ing to transfer to Highway Trust Fund of tober 1, 2004. inserting ‘‘SPORT FISH RESTORATION’’. amounts equivalent to certain taxes) is PART II—AQUATIC EXCISE TAXES (E) The item relating to section 9504 in the amended by redesignating subparagraphs (C), table of sections for subchapter A of chapter SEC. 5411. ELIMINATION OF AQUATIC RE- 98 is amended by striking ‘‘aquatic re- (D), and (E) as subparagraphs (D), (E), and SOURCES TRUST FUND AND TRANS- (F), respectively, and by inserting after sub- FORMATION OF SPORT FISH RES- sources’’ and inserting ‘‘sport fish restora- paragraph (B) the following new subpara- TORATION ACCOUNT. tion’’. graph: (a) SIMPLIFICATION OF FUNDING FOR BOAT (c) PHASEOUT OF BOAT SAFETY ACCOUNT.— ‘‘(C) section 4064 (relating to gas guzzler SAFETY ACCOUNT.— Subsection (c) of section 9504 is amended to tax),’’. (1) IN GENERAL.—Section 9503(c)(3) (relating read as follows: (b) UNIFORM APPLICATION OF TAX.—Sub- to transfers from Trust Fund for motorboat ‘‘(c) EXPENDITURES FROM BOAT SAFETY AC- paragraph (A) of section 4064(b)(1) (defining fuel taxes), as redesignated by section 5002 of COUNT.—Amounts remaining in the Boat automobile) is amended by striking the sec- this Act, is amended— Safety Account on October 1, 2004, and ond sentence. (A) by striking ‘‘Fund—’’ and all that fol- amounts thereafter credited to the Account (c) EFFECTIVE DATE.—The amendments lows through ‘‘shall be transferred’’ in sub- under section 9602(b), shall be available, as made by this section shall take effect on the paragraph (B) and inserting ‘‘Fund which is provided by appropriation Acts, for making date of the enactment of this Act. attributable to motorboat fuel taxes shall be expenditures before October 1, 2009, to carry SEC. 5402. REPEAL CERTAIN EXCISE TAXES ON transferred’’, and out the purposes of section 13106 of title 46, RAIL DIESEL FUEL AND INLAND WA- United States Code (as in effect on the date TERWAY BARGE FUELS. (B) by striking subparagraph (A), and (C) by redesignating subparagraphs (B) of the enactment of the Safe, Accountable, (a) TAXES ON TRAINS.— Flexible, and Efficient Transportation Eq- (1) IN GENERAL.—Subparagraph (A) of sec- through (E) as subparagraphs (A) through uity Act of 2004).’’. tion 4041(a)(1) is amended by striking ‘‘or a (D), respectively. (d) EFFECTIVE DATE.—The amendments diesel-powered train’’ each place it appears (2) CONFORMING AMENDMENTS.— made by this section shall take effect on Oc- and by striking ‘‘or train’’. (A) Section 9503(b)(4) is amended by strik- tober 1, 2004. (2) CONFORMING AMENDMENTS.— ing subparagraph (D). (A) Subparagraph (C) of section 4041(a)(1), (B) Subparagraph (B) of section 9503(c)(3), SEC. 5412. EXEMPTION OF LED DEVICES FROM as amended by section 5001 of this Act, is as redesignated by section 5002 of this Act SONAR DEVICES SUITABLE FOR FINDING FISH. amended by striking clause (ii) and by redes- and subsection (a)(3), is amended— (a) IN GENERAL.—Section 4162(b) (defining ignating clause (iii) as clause (ii). (i) by striking ‘‘ACCOUNT’’ in the heading sonar device suitable for finding fish) is (B) Subparagraph (C) of section 4041(b)(1) is and inserting ‘‘TRUST FUND’’, amended by striking all that follows ‘‘sec- (ii) by striking ‘‘or (B)’’ in clause (ii), and amended by striking ‘‘or’’ at the end of para- tion 6421(e)(2)’’ and inserting a period. (iii) by striking ‘‘Account in the Aquatic graph (3), by striking the period at the end of (C) Subsection (d) of section 4041 is amend- Resources’’. paragraph (4) and inserting ‘‘, or’’, and by ed by redesignating paragraph (3) as para- (C) Subparagraph (C) of section 9503(c)(3), adding at the end the following new paragraph (4) and by inserting after paragraph (2) as redesignated by section 5002 of this Act graph: the following new paragraph: and subsection (a)(3), is amended by striking ‘‘(5) an LED display.’’. ‘‘(3) DIESEL FUEL USED IN TRAINS.—There is ‘‘, but only to the extent such taxes are de- (b) EFFECTIVE DATE.—The amendments hereby imposed a tax of 0.1 cent per gallon posited into the Highway Trust Fund’’. made by this section shall apply to articles on any liquid other than gasoline (as defined (D) Paragraph (4) of section 9503(c), as re- sold by the manufacturer, producer, or im- in section 4083)— designated by section 5002 of this Act, is porter after September 30, 2004. ‘‘(A) sold by any person to an owner, les- amended— SEC. 5413. REPEAL OF HARBOR MAINTENANCE see, or other operator of a diesel-powered (i) by striking ‘‘Account in the Aquatic Re- TAX ON EXPORTS. train for use as a fuel in such train, or sources’’ in subparagraph (A), and (a) IN GENERAL.—Subsection (d) of section ‘‘(B) used by any person as a fuel in a die- (ii) by striking ‘‘, but only to the extent 4462 (relating to definitions and special rules) sel-powered train unless there was a taxable such taxes are deposited into the Highway is amended to read as follows: sale of such fuel under subparagraph (A). Trust Fund’’ in subparagraph (B). ‘‘(d) NONAPPLICABILITY OF TAX TO EX- No tax shall be imposed by this paragraph on (b) MERGING OF ACCOUNTS.— PORTS.—The tax imposed by section 4461(a) the sale or use of any liquid if tax was im- (1) IN GENERAL.—Subsection (a) of section shall not apply to any port use with respect posed on such liquid under section 4081.’’. 9504 is amended to read as follows: to any commercial cargo to be exported from (D) Subsection (f) of section 4082 is amend- ‘‘(a) CREATION OF TRUST FUND.—There is the United States.’’. ed by striking ‘‘section 4041(a)(1)’’ and insert- hereby established in the Treasury of the (b) CONFORMING AMENDMENTS.— ing ‘‘subsections (d)(3) and (a)(1) of section United States a trust fund to be known as (1) Section 4461(c)(1) is amended by adding 4041, respectively’’. the ‘Sport Fish Restoration Trust Fund’. ‘‘or’’ at the end of subparagraph (A), by (E) Subparagraphs (A) and (B) of section Such Trust Fund shall consist of such striking subparagraph (B), and by redesig- 4083(a)(3), as amended by section 5261 of this amounts as may be appropriated, credited, or nating subparagraph (C) as subparagraph (B). Act, are amended by striking ‘‘or a diesel- paid to it as provided in this section, section (2) Section 4461(c)(2) is amended by strik- powered train’’. 9503(c)(3), section 9503(c)(4), or section ing ‘‘imposed—’’ and all that follows through (F) Paragraph (3) of section 6421(f) is 9602(b).’’. ‘‘in any other case,’’ and inserting ‘‘im- amended to read as follows: (2) CONFORMING AMENDMENTS.— posed’’. ‘‘(3) GASOLINE USED IN TRAINS.—In the case (A) Subsection (b) of section 9504 is amend- (c) EFFECTIVE DATE.—The amendments of gasoline used as a fuel in a train, this sec- ed— made by this section shall take effect before, tion shall not apply with respect to the (i) by striking ‘‘ACCOUNT’’ in the heading on, and after the date of the enactment of Leaking Underground Storage Tank Trust and inserting ‘‘TRUST FUND’’, this Act. Fund financing rate under section 4081.’’. (ii) by striking ‘‘Account’’ both places it SEC. 5414. CAP ON EXCISE TAX ON CERTAIN FISH- (G) Paragraph (3) of section 6427(l) is appears in paragraphs (1) and (2) and insert- ING EQUIPMENT. amended to read as follows: ing ‘‘Trust Fund’’, and (a) IN GENERAL.—Paragraph (1) of section ‘‘(3) REFUND OF CERTAIN TAXES ON FUEL (iii) by striking ‘‘ACCOUNT’’ both places it 4161(a) (relating to sport fishing equipment) USED IN DIESEL-POWERED TRAINS.—For pur- appears in the headings for paragraphs (1) is amended to read as follows: poses of this subsection, the term ‘non- and (2) and inserting ‘‘TRUST FUND’’. ‘‘(1) IMPOSITION OF TAX.— taxable use’ includes fuel used in a diesel- (B) Subsection (d) of section 9504, as ‘‘(A) IN GENERAL.—There is hereby imposed powered train. The preceding sentence shall amended by section 5001 of this Act, is on the sale of any article of sport fishing not apply to the tax imposed by section amended— equipment by the manufacturer, producer, or 4041(d) and the Leaking Underground Stor- (i) by striking ‘‘AQUATIC RESOURCES’’ in importer a tax equal to 10 percent of the age Tank Trust Fund financing rate under the heading, price for which so sold. section 4081 except with respect to fuel sold (ii) by striking ‘‘any Account in the Aquat- ‘‘(B) LIMITATION ON TAX IMPOSED ON FISHING for exclusive use by a State or any political ic Resources’’ in paragraph (1) and inserting RODS AND POLES.—The tax imposed by sub- subdivision thereof.’’. ‘‘the Sports Fish Restoration’’, and paragraph (A) on any fishing rod or pole (b) FUEL USED ON INLAND WATERWAYS.— (iii) by striking ‘‘any such Account’’ in shall not exceed $10.’’. (1) IN GENERAL.—Paragraph (1) of section paragraph (1) and inserting ‘‘such Trust (b) CONFORMING AMENDMENTS.—Section 4042(b) is amended by adding ‘‘and’’ at the Fund’’. 4161(a)(2) is amended by striking ‘‘paragraph

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00093 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1050 CONGRESSIONAL RECORD — SENATE February 11, 2004 (1)’’ both places it appears and inserting SEC. 5422. MODIFICATION OF RURAL AIRPORT ‘‘Subpart C. Recordkeeping by dealers. ‘‘paragraph (1)(A)’’. DEFINITION. ‘‘Subpart D. Other provisions.’’. (a) IN GENERAL.—Section 4261(e)(1)(B) (de- (c) EFFECTIVE DATE.—The amendments (B) The table of parts for such subchapter fining rural airport) is amended— made by this section shall apply to articles A is amended by striking the item relating (1) by inserting ‘‘(in the case of any airport sold by the manufacturer, producer, or im- to part II and inserting the following new described in clause (ii)(III), on flight seg- porter after September 30, 2004. item: ments of at least 100 miles)’’ after ‘‘by air’’ SEC. 5415. REDUCTION IN RATE OF TAX ON PORT- in clause (i), and ‘‘Part II. Miscellaneous provisions.’’. ABLE AERATED BAIT CONTAINERS. (2) by striking the period at the end of sub- (2) Subpart C of part II of such subchapter (a) IN GENERAL.—Section 4161(a)(2)(A) (re- clause (II) of clause (ii) and inserting ‘‘, or’’, (relating to manufacturers of stills) is redes- lating to 3 percent rate of tax for electric and by adding at the end of clause (ii) the ignated as subpart A. outboard motors and sonar devices suitable following new subclause: (3)(A) Subpart F of such part II (relating to for finding fish) is amended by inserting ‘‘or ‘‘(III) is not connected by paved roads to nonbeverage domestic drawback claimants) a portable aerated bait container’’ after another airport.’’. is redesignated as subpart B and sections ‘‘fish’’. (b) EFFECTIVE DATE.—The amendments 5131 through 5134 are redesignated as sec- (b) CONFORMING AMENDMENT.—The heading made by this section shall take effect on tions 5111 through 5114, respectively. of section 4161(a)(2) is amended by striking April 1, 2004. (B) The table of sections for such subpart ‘‘ELECTRIC OUTBOARD MOTORS AND SONAR DE- SEC. 5423. EXEMPTION FROM TICKET TAXES FOR B, as so redesignated, is amended— VICES SUITABLE FOR FINDING FISH’’ and insert- TRANSPORTATION PROVIDED BY (i) by redesignating the items relating to ing ‘‘CERTAIN SPORT FISHING EQUIPMENT’’. SEAPLANES. sections 5131 through 5134 as relating to sec- (c) EFFECTIVE DATE.—The amendments (a) IN GENERAL.—Section 4261 (relating to tions 5111 through 5114, respectively, and made by this section shall apply to articles imposition of tax) is amended by redesig- (ii) by striking ‘‘and rate of tax’’ in the sold by the manufacturer, producer, or im- nating subsection (i) as subsection (j) and by item relating to section 5111, as so redesig- porter after September 30, 2004. inserting after subsection (h) the following nated. new subsection: PART III—AERIAL EXCISE TAXES (C) Section 5111, as redesignated by sub- ‘‘(i) EXEMPTION FOR SEAPLANES.—No tax paragraph (A), is amended— SEC. 5421. CLARIFICATION OF EXCISE TAX EX- shall be imposed by this section or section (i) by striking ‘‘and rate of tax’’ in the sec- EMPTIONS FOR AGRICULTURAL 4271 on any air transportation by a seaplane tion heading, AERIAL APPLICATORS AND EXEMP- with respect to any segment consisting of a TION FOR FIXED-WING AIRCRAFT (ii) by striking the subsection heading for takeoff from, and a landing on, water, but subsection (a), and ENGAGED IN FORESTRY OPER- only if the places at which such takeoff and ATIONS. (iii) by striking subsection (b). landing occur have not received and are not (4) Part II of subchapter A of chapter 51 is (a) NO WAIVER BY FARM OWNER, TENANT, OR receiving financial assistance from the Air- OPERATOR NECESSARY.—Subparagraph (B) of amended by adding after subpart B, as redes- port and Airways Trust Fund.’’. ignated by paragraph (3), the following new section 6420(c)(4) (relating to certain farming (b) EFFECTIVE DATE.—The amendments subpart: use other than by owner, etc.) is amended to made by this section shall apply to transpor- read as follows: tation beginning after March 31, 2004. ‘‘Subpart C—Recordkeeping by Dealers ‘‘(B) if the person so using the gasoline is SEC. 5424. CERTAIN SIGHTSEEING FLIGHTS EX- ‘‘Sec. 5121. Recordkeeping by wholesale deal- an aerial or other applicator of fertilizers or EMPT FROM TAXES ON AIR TRANS- ers. other substances and is the ultimate pur- PORTATION. ‘‘Sec. 5122. Recordkeeping by retail dealers. chaser of the gasoline, then subparagraph (A) (a) IN GENERAL.—Section 4281 (relating to ‘‘Sec. 5123. Preservation and inspection of of this paragraph shall not apply and the small aircraft on nonestablished lines) is records, and entry of premises aerial or other applicator shall be treated as amended by adding at the end the following for inspection.’’. having used such gasoline on a farm for new sentence: ‘‘For purposes of this section, (5)(A) Section 5114 (relating to records) is farming purposes.’’. an aircraft shall not be considered as oper- moved to subpart C of such part II and in- (b) EXEMPTION INCLUDES FUEL USED BE- ated on an established line if such aircraft is serted after the table of sections for such TWEEN AIRFIELD AND FARM.—Section operated on a flight the sole purpose of subpart. 6420(c)(4), as amended by subsection (a), is which is sightseeing.’’. (B) Section 5114 is amended— amended by adding at the end the following (b) EFFECTIVE DATE.—The amendment (i) by striking the section heading and in- new flush sentence: made by this section shall apply with respect serting the following new heading: ‘‘For purposes of this paragraph, in the case to transportation beginning on or after the date of the enactment of this Act, but shall ‘‘SEC. 5121. RECORDKEEPING BY WHOLESALE of an aerial applicator, gasoline shall be DEALERS.’’, treated as used on a farm for farming pur- not apply to any amount paid before such and poses if the gasoline is used for the direct date for such transportation. (ii) by redesignating subsection (c) as sub- flight between the airfield and 1 or more PART IV—ALCOHOLIC BEVERAGE EXCISE section (d) and by inserting after subsection farms.’’. TAXES (b) the following new subsection: (c) EXEMPTION FROM TAX ON AIR TRANSPOR- SEC. 5431. REPEAL OF SPECIAL OCCUPATIONAL ‘‘(c) WHOLESALE DEALERS.—For purposes of TATION OF PERSONS FOR FORESTRY PURPOSES TAXES ON PRODUCERS AND MAR- this part— EXTENDED TO FIXED-WING AIRCRAFT.—Sub- KETERS OF ALCOHOLIC BEVERAGES. ‘‘(1) WHOLESALE DEALER IN LIQUORS.—The section (f) of section 4261 (relating to tax on (a) REPEAL OF OCCUPATIONAL TAXES.— term ‘wholesale dealer in liquors’ means any air transportation of persons) is amended to (1) IN GENERAL.—The following provisions dealer (other than a wholesale dealer in beer) read as follows: of part II of subchapter A of chapter 51 (re- who sells, or offers for sale, distilled spirits, ‘‘(f) EXEMPTION FOR CERTAIN USES.—No tax lating to occupational taxes) are hereby re- wines, or beer, to another dealer. shall be imposed under subsection (a) or (b) pealed: ‘‘(2) WHOLESALE DEALER IN BEER.—The term on air transportation— (A) Subpart A (relating to proprietors of ‘wholesale dealer in beer’ means any dealer ‘‘(1) by helicopter for the purpose of trans- distilled spirits plants, bonded wine cellars, who sells, or offers for sale, beer, but not dis- porting individuals, equipment, or supplies etc.). tilled spirits or wines, to another dealer. in the exploration for, or the development or (B) Subpart B (relating to brewer). ‘‘(3) DEALER.—The term ‘dealer’ means any removal of, hard minerals, oil, or gas, or (C) Subpart D (relating to wholesale deal- person who sells, or offers for sale, any dis- ‘‘(2) by helicopter or by fixed-wing aircraft ers) (other than sections 5114 and 5116). tilled spirits, wines, or beer. for the purpose of the planting, cultivation, (D) Subpart E (relating to retail dealers) ‘‘(4) PRESUMPTION IN CASE OF SALE OF 20 cutting, or transportation of, or caring for, (other than section 5124). WINE GALLONS OR MORE.—The sale, or offer trees (including logging operations), (E) Subpart G (relating to general provi- for sale, of distilled spirits, wines, or beer, in but only if the helicopter or fixed-wing air- sions) (other than sections 5142, 5143, 5145, quantities of 20 wine gallons or more to the craft does not take off from, or land at, a fa- and 5146). same person at the same time, shall be pre- cility eligible for assistance under the Air- (2) NONBEVERAGE DOMESTIC DRAWBACK.— sumptive evidence that the person making port and Airway Development Act of 1970, or Section 5131 is amended by striking ‘‘, on such sale, or offer for sale, is engaged in or otherwise use services provided pursuant to payment of a special tax per annum,’’. carrying on the business of a wholesale deal- section 44509 or 44913(b) or subchapter I of (3) INDUSTRIAL USE OF DISTILLED SPIRITS.— er in liquors or a wholesale dealer in beer, as chapter 471 of title 49, United States Code, Section 5276 is hereby repealed. the case may be. Such presumption may be (b) CONFORMING AMENDMENTS.— during such use. In the case of helicopter overcome by evidence satisfactorily showing (1)(A) The heading for part II of subchapter transportation described in paragraph (1), that such sale, or offer for sale, was made to A of chapter 51 and the table of subparts for this subsection shall be applied by treating a person other than a dealer.’’. such part are amended to read as follows: each flight segment as a distinct flight.’’. (C) Paragraph (3) of section 5121(d), as so (d) EFFECTIVE DATE.—The amendments ‘‘PART II—MISCELLANEOUS PROVISIONS redesignated, is amended by striking ‘‘sec- made by this section shall apply to fuel use ‘‘Subpart A. Manufacturers of stills. tion 5146’’ and inserting ‘‘section 5123’’. or air transportation after the date of the ‘‘Subpart B. Nonbeverage domestic drawback (6)(A) Section 5124 (relating to records) is enactment of this Act. claimants. moved to subpart C of part II of subchapter

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A of chapter 51 and inserted after section (12) Subparagraph (A) of section 5010(c)(2) (B) CONSERVATION TRUST FUND TRANSFER.— 5121. is amended by striking ‘‘section 5134’’ and in- (i) IN GENERAL.—For purposes of this para- (B) Section 5124 is amended— serting ‘‘section 5114’’. graph, the term ‘‘Conservation Trust Fund (i) by striking the section heading and in- (13) Subsection (d) of section 5052 is amend- transfer’’ means a transfer to the Puerto serting the following new heading: ed to read as follows: Rico Conservation Trust Fund of an amount ‘‘SEC. 5122. RECORDKEEPING BY RETAIL DEAL- ‘‘(d) BREWER.—For purposes of this chap- equal to 50 cents per proof gallon of the taxes ERS.’’, ter, the term ‘brewer’ means any person who imposed under section 5001 or section 7652 of (ii) by striking ‘‘section 5146’’ in subsection brews beer or produces beer for sale. Such such Code on distilled spirits that are cov- (c) and inserting ‘‘section 5123’’, and term shall not include any person who pro- ered over to the treasury of Puerto Rico (iii) by redesignating subsection (c) as sub- duces only beer exempt from tax under sec- under section 7652(e) of such Code. section (d) and inserting after subsection (b) tion 5053(e).’’. (ii) TREATMENT OF TRANSFER.—Each Con- the following new subsection: (14) The text of section 5182 is amended to servation Trust Fund transfer shall be treat- ‘‘(c) RETAIL DEALERS.—For purposes of this read as follows: ed as principal for an endowment, the in- section— ‘‘For provisions requiring recordkeeping by come from which to be available for use by ‘‘(1) RETAIL DEALER IN LIQUORS.—The term wholesale liquor dealers, see section 5121, the Puerto Rico Conservation Trust Fund for ‘retail dealer in liquors’ means any dealer and by retail liquor dealers, see section the purposes for which the Trust Fund was (other than a retail dealer in beer or a lim- 5122.’’. established. ited retail dealer) who sells, or offers for (15) Subsection (b) of section 5402 is amend- (iii) RESULT OF NONTRANSFER.— ed by striking ‘‘section 5092’’ and inserting sale, distilled spirits, wines, or beer, to any (I) IN GENERAL.—Upon notification by the person other than a dealer. ‘‘section 5052(d)’’. Secretary of the Interior that a Conservation ‘‘(2) RETAIL DEALER IN BEER.—The term ‘re- (16) Section 5671 is amended by striking Trust Fund transfer has not been made by tail dealer in beer’ means any dealer (other ‘‘or 5091’’. the treasury of Puerto Rico, the Secretary of than a limited retail dealer) who sells, or of- (17)(A) Part V of subchapter J of chapter 51 the Treasury shall, except as provided in fers for sale, beer, but not distilled spirits or is hereby repealed. subclause (II), deduct and withhold from the (B) The table of parts for such subchapter wines, to any person other than a dealer. next cover over payment to be made to the J is amended by striking the item relating to ‘‘(3) LIMITED RETAIL DEALER.—The term treasury of Puerto Rico under section 7652(e) part V. ‘limited retail dealer’ means any fraternal, of such Code an amount equal to the appro- (18)(A) Sections 5142, 5143, and 5145 are civic, church, labor, charitable, benevolent, priate Conservation Trust Fund transfer and moved to subchapter D of chapter 52, in- or ex-servicemen’s organization making interest thereon at the underpayment rate serted after section 5731, redesignated as sec- sales of distilled spirits, wine or beer on the established under section 6621 of such Code tions 5732, 5733, and 5734, respectively, and occasion of any kind of entertainment, as of the due date of such transfer. The Sec- amended by striking ‘‘this part’’ each place dance, picnic, bazaar, or festival held by it, retary of the Treasury shall transfer such it appears and inserting ‘‘this subchapter’’. or any person making sales of distilled spir- amount deducted and withheld, and the in- its, wine or beer to the members, guests, or (B) Section 5732, as redesignated by subparagraph (A), is amended by striking ‘‘(ex- terest thereon, directly to the Puerto Rico patrons of bona fide fairs, reunions, picnics, Conservation Trust Fund. carnivals, or other similar outings, if such cept the tax imposed by section 5131)’’ each place it appears. (II) GOOD CAUSE EXCEPTION.—If the Sec- organization or person is not otherwise en- retary of the Interior finds, after consulta- gaged in business as a dealer. (C) Paragraph (2) of section 5733(c), as redesignated by subparagraph (A), is amended tion with the Governor of Puerto Rico, that ‘‘(4) DEALER.—The term ‘dealer’ has the the failure by the treasury of Puerto Rico to meaning given such term by section by striking ‘‘liquors’’ both places it appears and inserting ‘‘tobacco products and ciga- make a required transfer was for good cause, 5121(c)(3).’’. and notifies the Secretary of the Treasury of (7) Section 5146 is moved to subpart C of rette papers and tubes’’. (D) The table of sections for subchapter D the finding of such good cause before the due part II of subchapter A of chapter 51, in- of chapter 52 is amended by adding at the date of the next cover over payment fol- serted after section 5122, and redesignated as end thereof the following: lowing the notification of nontransfer, then section 5123. the Secretary of the Treasury shall not de- (8) Part II of subchapter A of chapter 51 is ‘‘Sec. 5732. Payment of tax. duct the amount of such nontransfer from amended by inserting after subpart C the fol- ‘‘Sec. 5733. Provisions relating to liability for any cover over payment. lowing new subpart: occupational taxes. (C) PUERTO RICO CONSERVATION TRUST ‘‘Subpart D—Other Provisions ‘‘Sec. 5734. Application of State laws.’’. FUND.—For purposes of this paragraph, the ‘‘Sec. 5131. Packaging distilled spirits for in- (E) Section 5731 is amended by striking term ‘‘Puerto Rico Conservation Trust dustrial uses. subsection (c) and by redesignating sub- Fund’’ means the fund established pursuant ‘‘Sec. 5132. Prohibited purchases by deal- section (d) as subsection (c). to a Memorandum of Understanding between ers.’’. (19) Subsection (c) of section 6071 is amend- the United States Department of the Interior (9) Section 5116 is moved to subpart D of ed by striking ‘‘section 5142’’ and inserting and the Commonwealth of Puerto Rico, part II of subchapter A of chapter 51, in- ‘‘section 5732’’. dated December 24, 1968. serted after the table of sections, redesig- (20) Paragraph (1) of section 7652(g) is PART V—SPORT EXCISE TAXES nated as section 5131, and amended by insert- amended— SEC. 5441. CUSTOM GUNSMITHS. (A) by striking ‘‘subpart F’’ and inserting ing ‘‘(as defined in section 5121(c))’’ after (a) SMALL MANUFACTURERS EXEMPT FROM ‘‘subpart B’’, and ‘‘dealer’’ in subsection (a). FIREARMS EXCISE TAX.—Section 4182 (relat- (10) Subpart D of part II of subchapter A of (B) by striking ‘‘section 5131(a)’’ and in- ing to exemptions) is amended by redesig- chapter 51 is amended by adding at the end serting ‘‘section 5111’’. nating subsection (c) as subsection (d) and by (c) EFFECTIVE DATE.—The amendments thereof the following new section: inserting after subsection (b) the following made by this section shall take effect on ‘‘SEC. 5132. PROHIBITED PURCHASES BY DEAL- new subsection: July 1, 2004, but shall not apply to taxes im- ERS. ‘‘(c) SMALL MANUFACTURERS, ETC.— posed for periods before such date. ‘‘(a) IN GENERAL.—Except as provided in ‘‘(1) IN GENERAL.—The tax imposed by sec- regulations prescribed by the Secretary, it SEC. 5432. SUSPENSION OF LIMITATION ON RATE tion 4181 shall not apply to any article de- shall be unlawful for a dealer to purchase OF RUM EXCISE TAX COVER OVER TO PUERTO RICO AND VIRGIN IS- scribed in such section if manufactured, pro- distilled spirits for resale from any person LANDS. duced, or imported by a person who manufac- other than a wholesale dealer in liquors who (a) IN GENERAL.—Section 7652(f)(1) (relat- tures, produces, and imports less than 50 of is required to keep the records prescribed by ing to limitation on cover over of tax on dis- such articles during the calendar year. section 5121. tilled spirits) is amended by striking ‘‘Janu- ‘‘(2) CONTROLLED GROUPS.—All persons ‘‘(b) LIMITED RETAIL DEALERS.—A limited ary 1, 2004’’ and inserting ‘‘October 1, 2004, treated as a single employer for purposes of retail dealer may lawfully purchase distilled and $13.50 in the case of distilled spirits subsection (a) or (b) of section 52 shall be spirits for resale from a retail dealer in liq- brought into the United States after Sep- treated as one person for purposes of para- uors. tember 30, 2004, and before January 1, 2006’’. graph (1).’’. ‘‘(c) PENALTY AND FORFEITURE.— (b) EFFECTIVE DATE.— (b) EFFECTIVE DATE.— ‘‘For penalty and forfeiture provisions ap- (1) IN GENERAL.—The amendment made by (1) IN GENERAL.—The amendments made by plicable to violations of subsection (a), see subsection (a) shall apply to articles con- this section shall apply to articles sold by sections 5687 and 7302.’’. taining distilled spirits brought into the the manufacturer, producer, or importer on (11) Subsection (b) of section 5002 is amend- United States after December 31, 2003. or after the date which is the first day of the ed— (2) SPECIAL RULE.— month beginning at least 2 weeks after the (A) by striking ‘‘section 5112(a)’’ and in- (A) IN GENERAL.—After September 30, 2004, date of the enactment of this Act. serting ‘‘section 5121(c)(3)’’, the treasury of Puerto Rico shall make a (2) NO INFERENCE.—Nothing in the amend- (B) by striking ‘‘section 5112’’ and inserting Conservation Trust Fund transfer within 30 ments made by this section shall be con- ‘‘section 5121(c)’’, days from the date of each cover over pay- strued to create any inference with respect (C) by striking ‘‘section 5122’’ and inserting ment to such treasury under section 7652(e) to the proper tax treatment of any sales be- ‘‘section 5122(c)’’. of the Internal Revenue Code of 1986. fore the effective date of such amendments.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00095 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1052 CONGRESSIONAL RECORD — SENATE February 11, 2004 SEC. 5442. MODIFIED TAXATION OF IMPORTED PART VI—OTHER PROVISIONS unused business credit for any taxable year ARCHERY PRODUCTS. SEC. 5451. INCOME TAX CREDIT FOR DISTILLED which is attributable to the credit deter- (a) BOWS.—Paragraph (1) of section 4161(b) SPIRITS WHOLESALERS AND FOR mined under section 5011(a) may be carried (relating to bows) is amended to read as fol- DISTILLED SPIRITS IN CONTROL back to a taxable year beginning before the STATE BAILMENT WAREHOUSES FOR date of the enactment of section 5011.’’. lows: COSTS OF CARRYING FEDERAL EX- (2) The table of sections for subpart A of ‘‘(1) BOWS.— CISE TAXES ON BOTTLED DISTILLED part I of subchapter A of chapter 51 is SPIRITS. ‘‘(A) IN GENERAL.—There is hereby imposed amended by adding at the end the following (a) IN GENERAL.—Subpart A of part I of on the sale by the manufacturer, producer, new item: or importer of any bow which has a peak subchapter A of chapter 51 (relating to draw weight of 30 pounds or more, a tax gallonage and occupational taxes) is amend- ‘‘Sec. 5011. Income tax credit for average cost equal to 11 percent of the price for which so ed by adding at the end the following new of carrying excise tax.’’. (d) EFFECTIVE DATE.—The amendments sold. section: made by this section shall apply to taxable ‘‘(B) ARCHERY EQUIPMENT.—There is hereby ‘‘SEC. 5011. INCOME TAX CREDIT FOR AVERAGE COST OF CARRYING EXCISE TAX. years beginning after the date of the enact- imposed on the sale by the manufacturer, ‘‘(a) IN GENERAL.—For purposes of section ment of this Act. producer, or importer— 38, the amount of the distilled spirits credit SEC. 5452. CREDIT FOR TAXPAYERS OWNING ‘‘(i) of any part or accessory suitable for for any taxable year is the amount equal to COMMERCIAL POWER TAKEOFF VE- inclusion in or attachment to a bow de- the product of— HICLES. scribed in subparagraph (A), and ‘‘(1) in the case of— (a) IN GENERAL.—Subpart D of part IV of ‘‘(ii) of any quiver or broadhead suitable ‘‘(A) any eligible wholesaler— subchapter A of chapter 1 (relating to busi- for use with an arrow described in paragraph ‘‘(i) the number of cases of bottled distilled ness-related credits) is amended by adding at (2), spirits— the end the following new section: a tax equal to 11 percent of the price for ‘‘(I) which were bottled in the United ‘‘SEC. 45G. COMMERCIAL POWER TAKEOFF VEHI- which so sold.’’. States, and CLES CREDIT. ‘‘(a) GENERAL RULE.—For purposes of sec- ‘‘(II) which are purchased by such whole- (b) ARROWS.—Subsection (b) of section 4161 tion 38, the amount of the commercial power saler during the taxable year directly from (relating to bows and arrows, etc.) is amend- takeoff vehicles credit determined under this the bottler of such spirits, or ed by redesignating paragraph (3) as para- section for the taxable year is $250 for each ‘‘(B) any person which is subject to section qualified commercial power takeoff vehicle graph (4) and inserting after paragraph (2) 5005 and which is not an eligible wholesaler, owned by the taxpayer as of the close of the the following: the number of cases of bottled distilled spir- ‘‘(3) ARROWS.— calendar year in which or with which the its which are stored in a warehouse operated taxable year of the taxpayer ends. ‘‘(A) IN GENERAL.—There is hereby imposed by, or on behalf of, a State, or agency or po- ‘‘(b) DEFINITIONS.—For purposes of this sec- on the sale by the manufacturer, producer, litical subdivision thereof, on which title has tion— or importer of any arrow, a tax equal to 12 not passed on an unconditional sale basis, ‘‘(1) QUALIFIED COMMERCIAL POWER TAKEOFF percent of the price for which so sold. and VEHICLE.—The term ‘qualified commercial ‘‘(B) EXCEPTION.—In the case of any arrow ‘‘(2) the average tax-financing cost per case power takeoff vehicle’ means any highway of which the shaft or any other component for the most recent calendar year ending be- vehicle described in paragraph (2) which is has been previously taxed under paragraph fore the beginning of such taxable year. propelled by any fuel subject to tax under (1) or (2)— ‘‘(b) ELIGIBLE WHOLESALER.—For purposes section 4041 or 4081 if such vehicle is used in ‘‘(i) section 6416(b)(3) shall not apply, and of this section, the term ‘eligible wholesaler’ a trade or business or for the production of ‘‘(ii) the tax imposed by subparagraph (A) means any person which holds a permit income (and is licensed and insured for such shall be an amount equal to the excess (if under the Federal Alcohol Administration use). Act as a wholesaler of distilled spirits which any) of— ‘‘(2) HIGHWAY VEHICLE DESCRIBED.—A high- is not a State, or agency or political subdivi- ‘‘(I) the amount of tax imposed by this way vehicle is described in this paragraph if sion thereof. paragraph (determined without regard to such vehicle is— ‘‘(c) AVERAGE TAX-FINANCING COST.— this subparagraph), over ‘‘(A) designed to engage in the daily collec- ‘‘(1) IN GENERAL.—For purposes of this sec- ‘‘(II) the amount of tax paid with respect tion of refuse or recyclables from homes or tion, the average tax-financing cost per case businesses and is equipped with a mechanism to the tax imposed under paragraph (1) or (2) for any calendar year is the amount of inter- on such shaft or component. under which the vehicle’s propulsion engine est which would accrue at the deemed fi- provides the power to operate a load com- ‘‘(C) ARROW.—For purposes of this para- nancing rate during a 60-day period on an pactor, or graph, the term ‘arrow’ means any shaft de- amount equal to the deemed Federal excise ‘‘(B) designed to deliver ready mixed con- scribed in paragraph (2) to which additional tax per case. crete on a daily basis and is equipped with a components are attached.’’. ‘‘(2) DEEMED FINANCING RATE.—For pur- mechanism under which the vehicle’s propul- poses of paragraph (1), the deemed financing (c) CONFORMING AMENDMENTS.—Section sion engine provides the power to operate a rate for any calendar year is the average of 4161(b)(2) is amended— mixer drum to agitate and mix the product the corporate overpayment rates under para- (1) by inserting ‘‘(other than broadheads)’’ en route to the delivery site. graph (1) of section 6621(a) (determined with- ‘‘(c) EXCEPTION FOR VEHICLES USED BY GOV- after ‘‘point’’, and out regard to the last sentence of such para- (2) by striking ‘‘ARROWS.—’’ in the heading ERNMENTS, ETC.—No credit shall be allowed graph) for calendar quarters of such year. under this section for any vehicle owned by and inserting ‘‘ARROW COMPONENTS.—’’. ‘‘(3) DEEMED FEDERAL EXCISE TAX PER any person at the close of a calendar year if (d) EFFECTIVE DATE.—The amendments CASE.—For purposes of paragraph (1), the such vehicle is used at any time during such made by this section shall apply to articles deemed Federal excise tax per case is $25.68. year by— sold by the manufacturer, producer, or im- ‘‘(d) OTHER DEFINITIONS AND SPECIAL ‘‘(1) the United States or an agency or in- porter after the date of the enactment of this RULES.—For purposes of this section— strumentality thereof, a State, a political ‘‘(1) CASE.—The term ‘case’ means 12 80- Act. subdivision of a State, or an agency or in- proof 750 milliliter bottles. strumentality of one or more States or polit- SEC. 5443. TREATMENT OF TRIBAL GOVERN- ‘‘(2) NUMBER OF CASES IN LOT.—The number ical subdivisions, or MENTS FOR PURPOSES OF FEDERAL of cases in any lot of distilled spirits shall be ‘‘(2) an organization exempt from tax WAGERING EXCISE AND OCCUPA- determined by dividing the number of liters under section 501(a). TIONAL TAXES. in such lot by 9.’’. ‘‘(d) TERMINATION.—This section shall not (b) CREDIT TREATED AS PART OF GENERAL (a) IN GENERAL.—Subsection (a) of section apply with respect to any calendar year after BUSINESS CREDIT.—Section 38(b) (relating to 7871 (relating to Indian tribal governments 2006.’’. current year business credit), as amended by (b) CREDIT TREATED AS PART OF GENERAL treated as States for certain purposes) is section 5101 of this Act, is amended by strik- BUSINESS CREDIT.—Section 38(b) (relating to amended by striking ‘‘and’’ at the end of ing ‘‘plus’’ at the end of paragraph (15), by current year business credit), as amended by paragraph (6), by striking the period at the striking the period at the end of paragraph section 5451 of this Act, is amended by strik- end of paragraph (7) and inserting ‘‘; and’’, (16) and inserting ‘‘, plus’’, and by adding at ing ‘‘plus’’ at the end of paragraph (16), by and by adding at the end the following new the end the following new paragraph: striking the period at the end of paragraph paragraph: ‘‘(17) the distilled spirits credit determined (17) and inserting ‘‘, plus’’, and by adding at ‘‘(8) for purposes of chapter 35 (relating to under section 5011(a).’’. the end the following new paragraph: taxes on wagering).’’. (c) CONFORMING AMENDMENTS.— ‘‘(18) the commercial power takeoff vehi- (1) Section 39(d), as amended by section cles credit under section 45G(a).’’. (b) EFFECTIVE DATE.—The amendments 5101 of this Act, is amended by adding at the (c) CONFORMING AMENDMENTS.— made by this section shall take effect on end the following new paragraph: (1) Section 39(d), as amended by section July 1, 2004, but shall not apply to taxes im- ‘‘(12) NO CARRYBACK OF SECTION 5011 CREDIT 5451 of this Act, is amended by adding at the posed for periods before such date. BEFORE EFFECTIVE DATE.—No portion of the end the following new paragraph:

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‘‘(13) NO CARRYBACK OF SECTION 45G CREDIT (d) EFFECTIVE DATE.—The amendments (f) OBTAINING DATA.—The Commission may BEFORE EFFECTIVE DATE.—No portion of the made by this section shall apply to auxiliary secure directly from any department or unused business credit for any taxable year power units purchased and installed for tax- agency of the United States, information which is attributable to the credit deter- able years beginning after the date of the en- (other than information required by any law mined under section 45G(a) may be carried actment of this Act. to be kept confidential by such department back to a taxable year beginning on or before Subtitle F—Miscellaneous Provisions or agency) necessary for the Commission to the date of the enactment of section 45G.’’. SEC. 5501. MOTOR FUEL TAX ENFORCEMENT AD- carry out its duties under this section. Upon (2) The table of sections for subpart D of VISORY COMMISSION. request of the Commission, the head of that part IV of subchapter A of chapter 1 is (a) ESTABLISHMENT.—There is established a department or agency shall furnish such amended by adding at the end the following Motor Fuel Tax Enforcement Advisory Com- nonconfidential information to the Commis- new item: mission (in this section referred to as the sion. The Commission shall also gather evi- ‘‘Sec. 45G. Commercial power takeoff vehi- ‘‘Commission’’). dence through such means as it may deem (b) FUNCTION.—The Commission shall— cles credit.’’. appropriate, including through holding hear- (1) review motor fuel revenue collections, ings and soliciting comments by means of (d) EFFECTIVE DATE.—The amendments historical and current; made by this section shall apply to taxable Federal Register notices. (2) review the progress of investigations; years beginning after the date of the enact- (g) TERMINATION.—The Commission shall (3) develop and review legislative proposals ment of this Act. terminate after September 30, 2009. with respect to motor fuel taxes; SEC. 5502. NATIONAL SURFACE TRANSPOR- SEC. 5453. CREDIT FOR AUXILIARY POWER UNITS (4) monitor the progress of administrative INSTALLED ON DIESEL-POWERED TATION INFRASTRUCTURE FINANC- TRUCKS. regulation projects relating to motor fuel ING COMMISSION. taxes; (a) IN GENERAL.—Subpart D of part IV of (a) ESTABLISHMENT.—There is established a subchapter A of chapter 1 (relating to busi- (5) review the results of Federal and State National Surface Transportation Infrastruc- ness-related credits), as amended by section agency cooperative efforts regarding motor ture Financing Commission (in this section 5452 of this Act, is amended by adding at the fuel taxes; referred to as the ‘‘Commission’’). The Com- end the following new section: (6) review the results of Federal inter- mission shall hold its first meeting within 90 agency cooperative efforts regarding motor days of the appointment of the eighth indi- ‘‘SEC. 45H. AUXILIARY POWER UNIT CREDIT. fuel taxes; and ‘‘(a) GENERAL RULE.—For purposes of sec- vidual to be named to the Commission. (7) evaluate and make recommendations tion 38, the amount of the auxiliary power (b) FUNCTION.— regarding— unit credit determined under this section for (1) IN GENERAL.—The Commission shall— (A) the effectiveness of existing Federal the taxable year is $250 for each qualified (A) make a thorough investigation and enforcement programs regarding motor fuel auxiliary power unit— study of revenues flowing into the Highway taxes, ‘‘(1) purchased by the taxpayer, and Trust Fund under current law, including the (B) enforcement personnel allocation, and ‘‘(2) installed or caused to be installed by individual components of the overall flow of (C) proposals for regulatory projects, legis- the taxpayer on a qualified heavy-duty high- such revenues; lation, and funding. way vehicle during such taxable year. (B) consider whether the amount of such (c) MEMBERSHIP.— ‘‘(b) DEFINITIONS.—For purposes of this sec- revenues is likely to increase, decline, or re- (1) APPOINTMENT.—The Commission shall tion— be composed of the following representatives main unchanged, absent changes in the law, ‘‘(1) QUALIFIED AUXILIARY POWER UNIT.—The appointed by the Chairmen and the Ranking particularly by taking into account the im- term ‘qualified auxiliary power unit’ means Members of the Committee on Finance of the pact of possible changes in public vehicular any integrated system which— Senate and the Committee on Ways and choice, fuel use, or travel alternatives that ‘‘(A) provides heat, air conditioning, en- Means of the House of Representatives: could be expected to reduce or increase reve- gine warming, and electricity to the factory (A) At least 1 representative from each of nues into the Highway Trust Fund; installed components on a qualified heavy- the following Federal entities: the Depart- (C) consider alternative approaches to gen- duty highway vehicle as if the main drive en- ment of Homeland Security, the Department erating revenues for the Highway Trust gine of such vehicle was in operation, of Transportation - Office of Inspector Gen- Fund, and the level of revenues that such al- ‘‘(B) is employed to reduce long-term eral, the Federal Highway Administration, ternatives would yield; idling of the diesel engine on such a vehicle, the Department of Defense, and the Depart- (D) consider highway and transit needs and and ment of Justice. whether additional revenues into the High- ‘‘(C) is certified by the Environmental Pro- (B) At least 1 representative from the Fed- way Trust Fund, or other Federal revenues tection Agency as meeting emission stand- eration of State Tax Administrators. dedicated to highway and transit infrastruc- ards in regulations in effect on the date of (C) At least 1 representative from any ture, would be required in order to meet such the enactment of this section. State department of transportation. needs; and ‘‘(2) QUALIFIED HEAVY-DUTY HIGHWAY VEHI- (D) 2 representatives from the highway (E) study such other matters closely re- CLE.—The term ‘qualified heavy-duty high- construction industry. lated to the subjects described in the pre- way vehicle’ means any highway vehicle (E) 5 representatives from industries relat- ceding subparagraphs as it may deem appro- weighing more than 12,500 pounds and pow- ing to fuel distribution — refiners (2 rep- priate. ered by a diesel engine. resentatives), distributors (1 representative), (2) TIME FRAME OF INVESTIGATION AND ‘‘(c) TERMINATION.—This section shall not pipelines (1 representative), and terminal op- STUDY.—The time frame to be considered by apply with respect to any installation occur- the Commission shall extend through the ring after December 31, 2006.’’. erators (2 representatives). (F) 1 representative from the retail fuel in- year 2015. (b) CREDIT TREATED AS PART OF GENERAL (3) PREPARATION OF REPORT.—Based on BUSINESS CREDIT.—Section 38(b) (relating to dustry. (G) 2 representatives from the staff of the such investigation and study, the Commis- current year business credit), as amended by sion shall develop a final report, with rec- section 5452 of this Act, is amended by strik- Committee on Finance of the Senate and 2 representatives from the staff of the Com- ommendations and the bases for those rec- ing ‘‘plus’’ at the end of paragraph (17), by ommendations, indicating policies that striking the period at the end of paragraph mittee on Ways and Means of the House of Representatives. should be adopted, or not adopted, to achieve (18) and inserting ‘‘, plus’’, and by adding at various levels of annual revenue for the the end the following new paragraph: (2) TERMS.—Members shall be appointed for the life of the Commission. Highway Trust Fund and to enable the High- ‘‘(19) the auxiliary power unit credit under way Trust Fund to receive revenues suffi- (3) VACANCIES.—A vacancy in the Commis- section 45H(a).’’. cient to meet highway and transit needs. (c) CONFORMING AMENDMENTS.— sion shall be filled in the manner in which the original appointment was made. Such recommendations shall address, among (1) Section 39(d), as amended by section other matters as the Commission may deem (4) TRAVEL EXPENSES.—Members shall 5452 of this Act, is amended by adding at the appropriate— end the following new paragraph: serve without pay but shall receive travel expenses, including per diem in lieu of subsist- (A) what levels of revenue are required by ‘‘(14) NO CARRYBACK OF SECTION 45H CREDIT the Federal Highway Trust Fund in order for BEFORE EFFECTIVE DATE.—No portion of the ence, in accordance with sections 5702 and 5703 of title 5, United States Code. it to meet needs to— unused business credit for any taxable year (i) maintain, and which is attributable to the credit deter- (5) CHAIRMAN.—The Chairman of the Com- mission shall be elected by the members. (ii) improve the condition and performance mined under section 45H(a) may be carried of the Nation’s highway and transit systems; back to a taxable year beginning on or before (d) FUNDING.—Such sums as are necessary shall be available from the Highway Trust (B) what levels of revenue are required by the date of the enactment of section 45H.’’. the Federal Highway Trust Fund in order to (2) The table of sections for subpart D of fund for the expenses of the Commission. (e) CONSULTATION.—Upon request of the ensure that Federal levels of investment in part IV of subchapter A of chapter 1, as Commission, representatives of the Depart- highways and transit do not decline in real amended by section 5452 of this Act, is ment of the Treasury and the Internal Rev- terms; and amended by adding at the end the following enue Service shall be available for consulta- (C) the extent, if any, to which the High- new item: tion to assist the Commission in carrying way Trust Fund should be augmented by ‘‘Sec. 45H. Auxiliary power unit credit.’’. out its duties under this section. other mechanisms or funds as a Federal

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means of financing highway and transit in- ate, and the Committee on Banking, Hous- (b) STUDY OF FUNDING MECHANISMS.—Not frastructure investments. ing, and Urban Affairs of the Senate. later than December 31, 2006, the Western (c) MEMBERSHIP.— (i) TERMINATION.—The Commission shall Transportation Institute of the College of (1) APPOINTMENT.—The Commission shall terminate on the 180th day following the Engineering at Montana State University be composed of 15 members, appointed as fol- date of transmittal of the report under sub- shall report to the Secretary of the Treasury lows: section (h). All records and papers of the and the Secretary of Transportation on a (A) 7 members appointed by the Secretary Commission shall thereupon be delivered to study of highway funding mechanisms of of Transportation, in consultation with the the Administrator of General Services for de- other industrialized nations, an examination Secretary of the Treasury. posit in the National Archives. of the viability of alternative funding pro- (B) 2 members appointed by the Chairman SEC. 5503. TREASURY STUDY OF FUEL TAX COM- posals, including congestion pricing, greater of the Committee on Ways and Means of the PLIANCE AND INTERAGENCY CO- reliance on tolls, privatization of facilities, House of Representatives. OPERATION. and bonding for construction of added capac- (C) 2 members appointed by the Ranking (a) IN GENERAL.—Not later than January ity, and an examination of increasing the Minority Member of the Committee on Ways 31, 2006, the Secretary of the Treasury shall rates of motor fuels taxes in effect on the and Means of the House of Representatives. submit to the Committee on Finance of the date of the enactment of this Act, including (D) 2 members appointed by the Chairman Senate and the Committee on Ways and the indexation of such rates. of the Committee on Finance of the Senate. Means of the House of Representatives a re- (c) STUDY ON FIELD TEST OF ON-BOARD (E) 2 members appointed by the Ranking port regarding fuel tax enforcement which COMPUTER ASSESSMENT OF HIGHWAY USE Minority Member of the Committee on Fi- shall include the information and analysis TAXES.—Not later than December 31, 2011, nance of the Senate. specified in subsections (b) and (c) and any the Public Policy Center of the University of (2) QUALIFICATIONS.—Members appointed other information and recommendations the Iowa shall direct, analyze, and report to the pursuant to paragraph (1) shall be appointed Secretary of the Treasury may deem appro- Secretary of the Treasury and the Secretary from among individuals knowledgeable in priate. of Transportation on a long-term field test of the fields of public transportation finance or (b) AUDITS.—With respect to audits con- an approach to assessing highway use taxes highway and transit programs, policy, and ducted by the Internal Revenue Service, the based upon actual mileage driven by a spe- needs, and may include representatives of in- report required under subsection (a) shall in- cific vehicle on specific types of highways by terested parties, such as State and local gov- clude— use of an on-board computer— ernments or other public transportation au- (1) the number and geographic distribution (1) which is linked to satellites to cal- thorities or agencies, representatives of the of audits conducted annually, by fiscal year, culate highway mileage traversed, transportation construction industry (in- between October 1, 2001, and September 30, (2) which computes the appropriate high- cluding suppliers of technology, machinery 2005; way use tax for each of the Federal, State, and materials), transportation labor (includ- (2) the total volume involved for each of and local governments as the vehicle makes ing construction and providers), transpor- the taxable fuels covered by such audits and use of the highways, and tation providers, the financial community, a comparison to the annual production of (3) the data from which is periodically and users of highway and transit systems. such fuels; downloaded by the vehicle owner to a collec- (3) TERMS.—Members shall be appointed for (3) the staff hours and number of personnel tion center for an assessment of highway use the life of the Commission. devoted to the audits per year; and taxes due in each jurisdiction traversed.The (4) VACANCIES.—A vacancy in the Commis- (4) the results of such audits by year, in- components of the field test shall include 2 sion shall be filled in the manner in which cluding total tax collected, total penalties years for preparation, including selection of the original appointment was made. collected, and number of referrals for crimi- vendors and test participants, and 3-year (5) TRAVEL EXPENSES.—Members shall nal prosecution. testing period. serve without pay but shall receive travel ex- (c) ENFORCEMENT ACTIVITIES.—With respect SEC. 5505. TREASURY STUDY OF HIGHWAY FUELS penses, including per diem in lieu of subsist- to enforcement activities, the report re- USED BY TRUCKS FOR NON-TRANS- PORTATION PURPOSES. ence, in accordance with sections 5702 and quired under subsection (a) shall include— (a) STUDY.—The Secretary of the Treasury 5703 of title 5, United States Code. (1) the number and geographic distribution shall conduct a study regarding the use of (6) CHAIRMAN.—The Chairman of the Com- of criminal investigations and prosecutions highway motor fuel by trucks that is not mission shall be elected by the members. annually, by fiscal year, between October 1, used for the propulsion of the vehicle. As (d) STAFF.—The Commission may appoint 2001, and September 30, 2005, and the results and fix the pay of such personnel as it con- of such investigations and prosecutions; part of such study— siders appropriate. (2) to the extent such investigations and (1) in the case of vehicles carrying equip- (e) FUNDING.—Funding for the Commission prosecutions involved other agencies, State ment that is unrelated to the transportation shall be provided by the Secretary of the or Federal, a breakdown by agency of the function of the vehicle— Treasury and by the Secretary of Transpor- number of joint investigations involved; (A) the Secretary of the Treasury, in con- tation, out of funds available to those agen- (3) an assessment of the effectiveness of sultation with the Secretary of Transpor- cies for administrative and policy functions. joint action and cooperation between the De- tation, and with public notice and comment, (f) STAFF OF FEDERAL AGENCIES.—Upon re- partment of the Treasury and other Federal shall determine the average annual amount quest of the Commission, the head of any de- and State agencies, including a discussion of of tax paid fuel consumed per vehicle, by partment or agency of the United States the ability and need to share information type of vehicle, used by the propulsion en- may detail any of the personnel of that de- across agencies for both civil and criminal gine to provide the power to operate the partment or agency to the Commission to as- Federal tax enforcement and enforcement of equipment attached to the highway vehicle, sist in carrying out its duties under this sec- State or Federal laws relating to fuels; and tion. (4) the staff hours and number of personnel (B) the Secretary of the Treasury shall re- (g) OBTAINING DATA.—The Commission may devoted to criminal investigations and pros- view the technical and administrative feasi- secure directly from any department or ecutions per year; bility of exempting such nonpropulsive use agency of the United States, information (5) the staff hours and number of personnel of highway fuels for the highway motor fuels (other than information required by any law devoted to administrative collection of fuel excise taxes, to be kept confidential by such department taxes; and (2) in the case where non-transportation or agency) necessary for the Commission to (6) the results of administrative collection equipment is run by a separate motor— carry out its duties under this section. Upon efforts annually, by fiscal year, between Oc- (A) the Secretary of the Treasury shall de- request of the Commission, the head of that tober 1, 2001, and September 30, 2005. termine the annual average amount of fuel department or agency shall furnish such exempted from tax in the use of such equip- SEC. 5504. EXPANSION OF HIGHWAY TRUST FUND nonconfidential information to the Commis- EXPENDITURE PURPOSES TO IN- ment by equipment type, and sion. The Commission shall also gather evi- CLUDE FUNDING FOR STUDIES OF (B) the Secretary of the Treasury shall re- dence through such means as it may deem SUPPLEMENTAL OR ALTERNATIVE view issues of administration and compli- appropriate, including through holding hear- FINANCING FOR THE HIGHWAY ance related to the present-law exemption ings and soliciting comments by means of TRUST FUND. provided for such fuel use, and Federal Register notices. (a) IN GENERAL.—From amounts available (3) the Secretary of the Treasury shall— (h) REPORT.—Not later than 2 years after in the Highway Trust Fund, there is author- (A) estimate the amount of taxable fuel the date of its first meeting, the Commission ized to be expended for 2 comprehensive stud- consumed by trucks and the emissions of shall transmit its final report, including rec- ies of supplemental or alternative funding various pollutants due to the long-term ommendations, to the Secretary of Transpor- sources for the Highway Trust Fund— idling of diesel engines, and tation, the Secretary of the Treasury, and (1) $1,000,000 to the Western Transportation (B) determine the cost of reducing such the Committee on Ways and Means of the Institute of the College of Engineering at long-term idling through the use of plug-ins House of Representatives, the Committee on Montana State University for the study and at truck stops, auxiliary power units, or Finance of the Senate, the Committee on report described in subsection (b), and other technologies. Transportation and Infrastructure of the (2) $16,500,000 to the Public Policy Center of (b) REPORT.—Not later than January 1, House of Representatives, the Committee on the University of Iowa for the study and re- 2006, the Secretary of the Treasury shall re- Environment and Public Works of the Sen- port described in subsection (c). port the findings of the study required under

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00098 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1055 subsection (a) to the Committee on Finance Committee on Ways and Means of the House sive reform and restructuring of Amtrak (as of the Senate and the Committee on Ways of Representatives. determined by the Secretary of Transpor- and Means of the House of Representatives. SEC. 5509. REDUCTION OF EXPENDITURES FROM tation).’’. SEC. 5506. DELTA REGIONAL TRANSPORTATION THE HIGHWAY TRUST FUND. PLAN. The amount made available under titles I, SA 2318. Mr. MCCAIN submitted an (a) STUDY.—The Delta Regional Authority II, III, and IV of this Act shall be reduced on amendment intended to be proposed to shall conduct a study of the transportation a pro rata basis, so that the total of such re- amendment SA 2285 proposed by Mr. assets and needs in the States of Alabama, ductions equals $214,000,000,000. INHOFE to the bill S. 1072, to authorize Arkansas, Illinois, Kentucky, Louisiana, Subtitle G—Revenue Offsets funds for Federal-aid highways, high- Mississippi, Missouri, and Tennessee which PART I—LIMITATION ON EXPENSING way safety programs, and transit pro- comprise the Delta region. CERTAIN PASSENGER AUTOMOBILES grams, and for other purposes; which (b) REGIONAL STRATEGIC TRANSPORTATION SEC. 5601. EXPANSION OF LIMITATION ON DE- PLAN.—Upon completion of the study re- was ordered to lie on the table; as fol- PRECIATION OF CERTAIN PAS- lows: quired under subsection (a), the Delta Re- SENGER AUTOMOBILES. gional Authority shall establish a regional On page 1005, line 18, strike ‘‘There’’ and (a) IN GENERAL.—Section 179(b) (relating to strategic transportation plan to achieve effi- limitations) is amended by adding at the end insert ‘‘Upon the enactment of a law pro- cient transportation systems in the Delta re- the following new paragraph: viding for comprehensive reform and restruc- gion. In developing the regional strategic turing of Amtrak (as determined by the Sec- ‘‘(6) LIMITATION ON COST TAKEN INTO AC- transportation plan, the Delta Regional Au- retary of Transportation), there’’. COUNT FOR CERTAIN PASSENGER VEHICLES.— thority shall consult with local planning and ‘‘(A) IN GENERAL.—The cost of any sport development districts, local and regional utility vehicle for any taxable year which SA 2319. Mr. MCCAIN submitted an governments, metropolitan planning organi- may be taken into account under this sec- amendment intended to be proposed to zations, State transportation entities, and tion shall not exceed $25,000. amendment SA 2285 proposed by Mr. Federal transportation agencies. ‘‘(B) SPORT UTILITY VEHICLE.—For purposes INHOFE to the bill S. 1072, to authorize (c) ELEMENTS OF STUDY AND PLAN.—The of subparagraph (A)— funds for Federal-aid highways, high- study and plan under this section shall in- ‘‘(i) IN GENERAL.—The term ‘sport utility way safety programs, and transit pro- clude the following transportation modes vehicle’ means any 4-wheeled vehicle and systems: transit, rail, highway, inter- grams, and for other purposes; which which— was ordered to lie on the table; as fol- state, bridges, air, airports, waterways and ‘‘(I) is manufactured primarily for use on ports. public streets, roads, and highways, lows: (d) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(II) is not subject to section 280F, and On page 1005, line 21, after ‘‘expenses.’’ in- There is authorized to be appropriated to the ‘‘(III) is rated at not more than 14,000 sert ‘‘Notwithstanding the preceding sen- Delta Regional Authority $1,000,000 to carry pounds gross vehicle weight. tence, no amounts in excess of the amounts out the purposes of this section, to remain ‘‘(ii) CERTAIN VEHICLES EXCLUDED.—Such appropriated for Amtrak for fiscal year 2004 available until expended. term does not include any vehicle which— are authorized to be appropriated for any fis- SEC. 5507. TREATMENT OF EMPLOYER-PROVIDED ‘‘(I) does not have the primary load car- cal year until the enactment of a law pro- TRANSIT AND VAN POOLING BENE- rying device or container attached, viding for comprehensive reform and restruc- FITS. ‘‘(II) has a seating capacity of more than 12 turing of Amtrak (as determined by the Sec- (a) IN GENERAL.—Subparagraph (A) of sec- individuals, retary of Transportation),’’. tion 132(f)(2) (relating to limitation on exclu- ‘‘(III) is designed for more than 9 individ- sion) is amended by striking ‘‘$100’’ and in- uals in seating rearward of the driver’s seat, SA 2320. Mr. MCCAIN submitted an serting ‘‘$120’’. ‘‘(IV) is equipped with an open cargo area, amendment intended to be proposed to (b) INFLATION ADJUSTMENT CONFORMING or a covered box not readily accessible from amendment SA 2285 proposed by Mr. AMENDMENTS.—The last sentence of section the passenger compartment, of at least 72.0 132(f)(6)(A) (relating to inflation adjustment) INHOFE to the bill S. 1072, to authorize inches in interior length, or funds for Federal-aid highways, high- is amended— ‘‘(V) has an integral enclosure, fully en- (1) by striking ‘‘2002’’ and inserting ‘‘2005’’, way safety programs, and transit pro- closing the driver compartment and load grams, and for other purposes; which and carrying device, does not have seating rear- (2) by striking ‘‘2001’’ and inserting ‘‘2004’’. ward of the driver’s seat, and has no body was ordered to lie on the table; as fol- (c) EFFECTIVE DATE.—The amendments section protruding more than 30 inches lows: made by this section shall apply to taxable ahead of the leading edge of the wind- In section 105 of title 23, United States years beginning after December 31, 2004. shield.’’. Code, as added by section 1201 of the amend- SEC. 5508. STUDY OF INCENTIVES FOR PRODUC- (c) EFFECTIVE DATE.—The amendments ment, strike subsection (c). TION OF BIODIESEL. made by this section shall apply to property (a) STUDY.—The General Comptroller of placed in service after February 2, 2004. SA 2321. Mr. MCCAIN submitted an the United States shall conduct a study re- PART II—PROVISION TO REPLENISH THE amendment intended to be proposed to lated to biodiesel fuels and the tax credit for GENERAL FUND amendment SA 2285 proposed by Mr. biodiesel fuels established under this Act. Such study shall include— SEC. 5611. MODIFICATION TO CORPORATE ESTI- INHOFE to the bill S. 1072, to authorize (1) an assessment on whether such credit MATED TAX REQUIREMENTS. funds for Federal-aid highways, high- provides sufficient assistance to the pro- The amount of any required installment of way safety programs, and transit producers of biodiesel fuel to establish the fuel corporate estimated income tax which is grams, and for other purposes; which as a viable energy alternative in the current otherwise due under section 6655 of the Inter- was ordered to lie on the table; as fol- nal Revenue Code of 1986 after June 30, 2009, market place, lows: (2) an assessment on how long such credit and before October 1, 2009, shall be 119 per- In section 105 of title 23, United States or similar subsidy would have to remain in cent of such amount. Code, as added by section 1201 of the amend- effect before biodiesel fuel can compete in ment, strike subsection (b)(1)(B). the market place without such assistance, SA 2317. Mr. MCCAIN submitted an (3) a cost-benefit analysis of such credit, amendment intended to be proposed to SA 2322. Mr. MCCAIN submitted an comparing the cost of the credit in forgone amendment SA 2285 proposed by Mr. revenue to the benefits of lower fuel costs for INHOFE to the bill S. 1072, to authorize amendment intended to be proposed to consumers, increased profitability for the funds for Federal-aid highways, high- amendment SA 2285 proposed by Mr. biodiesel industry, increased farm income, way safety programs, and transit pro- INHOFE to the bill S. 1072, to authorize reduced program outlays from the Depart- grams, and for other purposes; which funds for Federal-aid highways, high- ment of Agriculture, and the improved envi- was ordered to lie on the table; as fol- way safety programs, and transit pro- ronmental conditions through the use of bio- lows: grams, and for other purposes; which diesel fuel, and was ordered to lie on the table; as fol- On page 1006, between lines 7 and 8, insert (4) an assessment on whether such credit lows: results in any unintended consequences for the following: unrelated industries, including the impact, if SEC. 4603. SENSE OF THE SENATE In section 105 of title 23, United States any, on the glycerin market. It is the sense of the Senate that, notwith- Code, as added by section 1201 of the amend- (b) REPORT.—Not later than 2 years after standing amendment to section 24104 of title ment, strike subsection (d). the date of the enactment of this Act, the 49, United States Code, by section 4601, no Comptroller General of the United States amounts in excess of the amounts appro- SA 2323. Mr. MCCAIN submitted an shall report the findings of the study re- priated for Amtrak for fiscal year 2004 should amendment intended to be proposed to quired under subsection (a) to the Com- be appropriated for any fiscal year before the amendment SA 2285 proposed by Mr. mittee on Finance of the Senate and the enactment of a law providing for comprehen- INHOFE to the bill S. 1072, to authorize

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00099 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1056 CONGRESSIONAL RECORD — SENATE February 11, 2004 funds for Federal-aid highways, high- SUBTITLE B—RAIL DEVELOPMENT fair and open competition be permitted for way safety programs, and transit pro- See. 651. Capital assistance for intercity pas- the provision of such services to ensure that grams, and for other purposes; which senger rail service. service is provided in the most efficient man- was ordered to lie on the table; as fol- Sce. 652. Final regulations on applications ner, without jeopardizing the safety of such operations. lows: by States for development grants. ‘‘(10) A greater degree of cooperation is Redesignate subsection (g) of section 105 of Sec. 653. Authority for interstate compacts necessary among intercity passenger service title 23, United States Code, as it would be for corridor development. operators, freight railroads, State, regional, amended by section 1104 of the amendment, and local governments, the private sector, SUBTITLE C—REFORMS as subsection (h) and insert after subsection labor organizations, and suppliers of services (f) the following: Sec. 671. Management of secured debt. and equipment to achieve the performance ‘‘(g) FURTHER ADJUSTMENT.—The Secretary Sec. 672. Employee transition assistance. sufficient to justify the expenditure of addi- shall reduce any funds apportioned to a Sec. 673. Termination of authority for GSA tional public money on intercity rail pas- State under this section by an amount equal to provide services to Amtrak. senger service. to any discretionary allocation directed in Sec. 674. Amtrak reform board of directors. ‘‘(11) Transportation services provided by See. 675. Limitations on availability of an annual Appropriations Act, or its accom- the private freight railroads are vital to the grants. panying explanatory material, made from a economy and national defense and should Sec. 676. Repeal of obsolete and executed program funded from the Highway Trust not be disadvantaged by the operation of provisions of law. Fund (other than the mass transit account) intercity passenger rail service over their Sec. 677. Establishment of financial ac- or any other direct appropriation from the rights-of-way. counting system for the Amer- Highway Trust Fund (other than the mass ‘‘(12) The Northeast Corridor is a valuable ican Passenger Railway Cor- transit account) received by such State, or resource of the United States used by inter- poration by independent audi- any other entity in such State, in the prior city and commuter rail passenger transpor- tor. fiscal year. tation and freight transportation and should See. 678. Restructuring of long-term debt be restored to a state of good repair. and capital leases. SA 2324. Mr. MCCAIN submitted an ‘‘(b) PURPOSE.—The purpose of this chapter Sec. 679. Authorization of appropriations. is to assist in the preservation and develop- amendment intended to be proposed to (b) AMENDMENT OF TITLE 49.—Except as ment of conventional and high-speed inter- amendment SA 2285 proposed by Mr. otherwise expressly provided, whenever in city rail passenger services where such serv- INHOFE to the bill S. 1072, to authorize this Act an amendment or repeal is ex- ices can play an important role in facili- funds for Federal-aid highways, high- pressed in terms of an amendment to, or a tating passenger mobility in the United repeal of, a section or other provision, the way safety programs, and transit pro- States. reference shall be considered to be made to a grams, and for other purposes; which ‘‘(e) GOALS.—The goals of this chapter section or other provision of title 49, United was ordered to lie on the table; as fol- are— States Code. lows: ‘‘(1) to move toward a national network of SUBTITLE A—NETWORK RESTRUCTURING AND On page 1005, beginning with line 15, strike interconnected short-distance passenger rail COST-SHARING through line 7 on page 1006 and insert the fol- corridor services, lowing: PART 1—RESTRUCTURING ‘‘(2) to return the Northeast Corridor to a state of good repair; TITLE VI—RAIL TRANSPORTATION SEC. 611. STATEMENT OF PURPOSE OF COR- PORATE RESTRUCTURING. ‘‘(3) to establish a framework for the devel- SEC. 601. SHORT TITLE. Section 24101 is amended to read as follows: opment of new conventional and high-speed This title may be cited as the ‘‘Rail Pas- rail services; § 24101. Findings, purpose, and goals senger Service Restructuring, Reauthoriza- ‘‘(4) to allow for train services to be oper- tion, and Development Act’’. ‘‘(a) FINDINGS.— ated under contract to a State or group of ‘‘(1) It is in the public interest of the SEC. 602. TABLE OF CONTENTS; AMENDMENT OF States, with the operator of the service se- TITLE 49, UNITED STATES CODE. United States to encourage and promote the lected by the State or group of States; (a) TABLE OF CONTENTS.—The table of con- development of various modes of transpor- ‘‘(5) to establish equitable cost-sharing for tents for this Act is as follows: tation and transportation infrastructure to capital expenses and operating losses with Sec. 601. Short title. efficiently maximize the mobility of pas- the States; and Sec. 602. Table of contents; amendment of sengers and goods. ‘‘(6) to encourage greater participation in title 49, United States Code. ‘‘(2) Despite Federal subsidies of nearly $27 the provision of intercity rail passenger serv- billion over the past 34 years, intercity rail ices by the private sector.’’. SUBTITLE A—NETWORK RESTRUCTURING AND passenger service still accounts for less than COST-SHARING SEC. 612. PASSENGER RAIL SERVICE RESTRUC- 1 percent of all intercity travel. TURING. PART 1—RESTRUCTURING ‘‘(3) Intercity rail passenger service can be (a) IN GENERAL.—Chapter 243 is amended Sec. 611. Statement of purposes. competitive with other modes of transpor- by inserting before section 24301 the fol- See. 612. Passenger rail service restruc- tation and achieve a significant share of the lowing: turing. travel market in short-distance corridors Sec. 613. Definitions. connecting metropolitan areas. ‘‘§ 24300. Restructuring mandate Sec. 614. Operating grants for corridor ‘‘(4) Rail passenger transportation can help ‘‘(a) IN GENERAL.—Within 6 months after routes. alleviate overcrowding of airways and air- the date of enactment of the Rail Passenger Sec. 615. Operating grants for long distance ports, and can provide needed intermodal Service Restructuring, Reauthorization, and routes connections to airports, bus terminals, and Development Act, the Amtrak Reform Board Sec. 616. Long distance route restructuring mass transit services. shall restructure Amtrak as 2 independent commission. ‘‘(5) Short-distance corridor trains account entities, as follows: Sec. 617. Criteria for restructuring. for approximately 85 percent of Amtrak’s ‘‘(1) THE NATIONAL RAILROAD PASSENGER Sec. 618. Implementation of restructuring ridership but only one-third of Amtrak’s op- CORPORATION.—One entity shall be the Na- plan. erating losses, excluding depreciation. tional Railroad Passenger Corporation, oth- PART 2—NORTHEAST CORRIDOR ‘‘(6) A number of Amtrak’s long-distance erwise known as Amtrak, that shall provide routes may be more efficiently operated and overall supervision of the restructuring of Sec. 621. Redemption of common stock. attract higher ridership as connected cor- the intercity passenger rail program. Sec. 622. Retirement of preferred stock; ridors. ‘‘(2) THE AMERICAN PASSENGER RAILWAY transfer of assets. ‘‘(7) Service over long-distance routes that CORPORATION.—The other entity shall be a See. 623. Real estate and asset sales; other. cannot be restructured as connected cor- for profit corporation, to be known as the See. 624. Interstate compact for the North- ridors, do not receive State financial sup- American Passenger Railway Corporation, east Corridor. port, or are not an essential link to the rest that shall be responsible for conducting the Sec. 625. Shut-down of commuter or freight of the intercity passenger rail network, passenger operations, infrastructure mainte- operations. should be consolidated or discontinued. nance, and related services, including oper- Sec. 626. Capital grants for the Northeast ‘‘(8) Some States with short-distance cor- ation of reservation centers and ownership Corridor. ridor services provide significant financial and management of rolling stock, that were PART 3—RELATED MATTERS support for such services, while other States conducted by Amtrak before the restruc- Sec. 631. Fair and open competition. with short-distance routes and all states turing required by this subsection. Sec. 632. Access to other railroads. with long-distance routes contribute nothing ‘‘(b) ARTICLES OF INCORPORATION AND Sec. 633. Limitations on rail passenger for such services. More equitable cost-shar- OTHER DOCUMENTATION.—The Amtrak Re- transportation liability. ing is needed to justify Federal investment form Board shall— Sec. 634. Train operations insurance pool. in intercity rail passenger service. ‘‘(1) file appropriate articles of incorpora- Sec. 635. Collective bargaining arrange- ‘‘(9) The need to invest taxpayer dollars in tion under State law for the American Pas- ments. intercity rail passenger service demands that senger Railway Corporation; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00100 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1057 ‘‘(2) amend the articles of incorporation of the United States may serve as a member trak,’ and may, at its option, license or oth- and bylaws of the National Railroad Pas- of the board. erwise make the name ‘Amtrak’ commer- senger Corporation to reflect its changed ‘‘(2) TERM OF OFFICE.—Each member shall cially available in connection with intercity functions and responsibilities. serve for a term of 5 years. An individual passenger rail and related services. ‘‘(c) ROLES AND RESPONSIBILITIES OF THE may not serve for more than 2 terms. ‘‘(B) USE BY AMERICAN PASSENGER RAILWAY AMERICAN PASSENGER RAILWAY CORPORA- ‘‘(3) QUORUM.—A majority of the board CORPORATION.—Amtrak shall by contract, TION.— members who have been lawfully appointed permit the American Passenger Railway Cor- ‘‘(1) RAILROAD ACTIVITIES.—Consistent with and qualified at any moment shall constitute poration to market its services under the the business corporation law of the State of a quorum for the conduct of business. Amtrak name. incorporation of the American Passenger ‘‘(b) BYLAWS.—The board of directors shall ‘‘(4) AMTRAK PERSONNEL.—All Amtrak em- Railway Corporation, the Corporation shall adopt bylaws governing the corporation con- ployees shall become American Passenger be qualified to undertake railroad activities sistent with the provisions of this section Railway Corporation employees unless re- of an operational or infrastructure nature. arid its articles of incorporation, and may tained by the National Railroad Passenger ‘‘(2) RAIL OPERATIONS AND RELATED FUNC- amend, repeal, and otherwise modify the by- Corporation. The American Passenger Rail- TIONS.—The American Passenger Railway laws from time to time as necessary or ap- way Corporation shall succeed to the collec- Corporation— propriate. tive bargaining agreements in effect between ‘‘(A) shall have the exclusive right, until ‘‘(c) TRANSITION BOARD MEMBERS.—Individ- Amtrak and labor organizations that are in October 1, 2005, to continue to provide the uals who are serving as members of the Am- effect on the day before the date on which intercity passenger service provided by Am- trak Reform Board on the day before the that Corporation is established. An employee trak on the date of enactment of the Rail date on which the American Passenger Rail- who elects employment with National Rail- Passenger Service Restructuring, Reauthor- way Corporation is established, with the ex- road Passenger Corporation shall become an ization, and Development Act; ception of the Secretary of Transportation, employee of that Corporation, with only ‘‘(B) shall, beginning October 1, 2005, oper- shall serve as members of the board of direc- such rights regarding pay and benefits as ate intercity passenger service only on a tors of the American Passenger Railway Cor- that Corporation shall determine. contractual basis under negotiated terms poration until 4 members of that board have ‘‘(5) FREIGHT AND COMMUTER OPERATIONS.— an(1 conditions; been appointed and qualified. The National Railroad Passenger Corpora- ‘‘(C) shall operate a national reservations ‘‘§ 24300B. National Railroad Passenger Cor- tion shall ensure that the implementation of system; and poration board after restructuring the restructuring required by section 24300 ‘‘(D) subject to fulfillment of its contrac- ‘‘(a) IN GENERAL.—After the American Pas- gives due consideration to the needs of tual obligations, shall have the exclusive senger Railway Corporation is established, freight and commuter operations that, as of right, until management of the mainline of the Reform Board established under section the date of enactment of the Rail Passenger the Northeast Corridor between Boston, Mas- 24302(a) shall be dissolved, and Amtrak shall Service Restructuring, Reauthorization, and sachusetts, and Washington, District of Co- be governed by a board of directors con- Development Act, operate on the Northeast lumbia, is transferred to the interstate com- sisting of— Corridor using Amtrak rights-of-way. pact created under section 624 or to another ‘‘(1) the Secretary of Transportation; ‘‘(6) ROLLING STOCK.—The National Rail- entity, to continue to provide the train oper- ‘‘(2) the Federal Railroad Administrator or road Passenger Corporation shall set the ations, dispatching, maintenance, and infra- another officer of the United States within terms under which the American Passenger structure services that are being provided by the Department of Transportation com- Railway Corporation must make available to Amtrak on the date of enactment of the Rail pensated under the Executive Schedule any replacement operator the legacy equip- Passenger Service Restructuring, Reauthor- under title 5, United States Code, who is des- ment associated with any intercity pas- ization, and Development Act, but may pro- ignated by the Secretary; and senger rail service provided as of the date of vide such services beginning October 1, 2005, ‘‘(3) the Federal Transit Administrator or enactment of that Act.’’. only on a contractual basis with the Na- another officer of the United States within (b) SPINNING-OFF OF RESERVATIONS SYS- tional Railroad Passenger Corporation under the Department of Transportation com- TEM.—Not later than 2 years after the date of negotiated terms and conditions. pensated under the Executive Schedule enactment of the Rail Passenger Service Re- ‘‘(4) STATUS OF CORPORATION.— under title 5, who is designated by the Sec- structuring, Reauthorization, and Develop- ‘‘(A) The American Passenger Railway Cor- retary. ment Act, the American Passenger Railway poration— ‘‘(b) ROLES AND RESPONSIBILITIES.— Corporation shall provide to the Secretary of ‘‘(1) is a railroad carrier under section ‘‘(1) SUPERVISION AND MANAGEMENT.—After Transportation, the Senate Committee on 20102(2) and chapters 261 and 281 of this title; the board of directors described in subsection Commerce, Science, and Transportation, and ‘‘(ii) shall be operated and managed as a (a) takes office, the National Railroad Pas- the House of Representatives Committee on for-profit corporation; and senger Corporation shall— Transportation and Infrastructure rec- ‘‘(iii) is not a department, agency, or in- ‘‘(A) provide overall supervision of the re- ommendations on the feasibility, advan- strumentality of the United States Govern- structuring of the intercity passenger rail tages, and disadvantages of spinning off the ment nor a Government corporation (as de- program; reservation system as a private for-profit en- fined in section 103 of title 5). ‘‘(B) provide management of residual re- tity. ‘‘(B) Chapter 105 of this title does not apply sponsibilities; and (c) CONFORMING AMENDMENT.—The chapter to the Corporation, except that laws and reg- ‘‘(C) retain and manage Amtrak’s legal analysis for chapter 243 is amended by in- ulations governing safety, employee rep- rights, including it’s legal right of access to serting the following after the item relating resentation for collective bargaining pur- other railroads, and ownership of Amtrak’s to section 24309: poses, the handling of disputes between car- real property, until that property is trans- ‘‘24300. Restructuring mandate riers and employees, employee retirement, ferred to the Secretary of Transportation ‘‘24300A. American Passenger Railway Cor- annuity, and unemployment systems, and under section 622. poration board of directors ‘‘(2) CONTRACTS FOR SERVICE.—The Na- other dealings with employees that apply to ‘‘24300B. Amtrak board after restructuring’’. tional Railroad Passenger Corporation shall, a rail carrier providing transportation sub- SEC. 613. DEFINITIONS. by contract, permit an operator to provide ject to chapter 105 apply to the Corporation. Section 24102 is amended— ‘‘(C) Subsections (c) through (1) of section intercity passenger rail service over routes (1) by striking paragraph (2) and redesig- 24301 of this title shall apply to the Corpora- operated by Amtrak on the date prior to the nating paragraphs (3) through (9) as para- tion. date the restructuring required by this Act graphs (2) through (8), respectively; becomes effective, at the frequencies in ef- ‘‘(5) CHIEF EXECUTIVE OFFICER.—Subject to (2) by redesignating paragraphs (3) through further action by the board of directors of fect on that date, on its behalf and to use its (8), as redesignated, as paragraphs (4) the American Passenger Railway Corpora- right of access to any segment of rail line through (9), respectively, and inserting after tion, the president of Amtrak on the date of owned by another rail carrier and needed for paragraph (2) the following: enactment of the Rail Passenger Service Re- the operation of that train. The operator ‘‘(3) ‘corridor train’ means— structuring, Reauthorization, and Develop- may be the American Passenger Railway ‘‘(A) a train route operated by Amtrak as ment Act shall be offered the position of Corporation or another operator designated of January 1, 2004, with a route length of 750 chief executive officer of the American Pas- by the Secretary, but there shall be no more miles or less; or senger Railway Corporation.’’. than 1 intercity passenger rail operator at a ‘‘(B) a new conventional or high-speed time over any segment of rail line owned by route eligible for funding under chapter 244 § 24300A. American Passenger Railway Cor- another rail carrier, except in terminal areas of this title.’’; poration board of directors as determined by the Secretary or as may (3) by redesignating paragraphs (6) through ‘(a) IN GENERAL.— otherwise be provided by agreement among (9), as redesignated, as paragraphs (7) ‘‘(1) MEMBERSHIP.—The American Pas- the National Railroad Passenger Corpora- through (10), respectively, and inserting senger Railway Corporation shall be gov- tion, the operators, and the owner of the rail after paragraph (5) the following: erned by a board of directors consisting of 7 line. ‘‘(6) ‘long distance train’ means a train members appointed by the President, by and ‘‘(3) USE OF AMTRAK NAME.— route operated by Amtrak as of January 1, with the advice and consent of the Senate. ‘‘(A) IN GENERAL.—Amtrak shall retain all 2004, with a route length greater than 750 No individual who is an officer or employee legal rights pertaining to the name ‘Am- miles.’’.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00101 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1058 CONGRESSIONAL RECORD — SENATE February 11, 2004 SEC. 614. OPERATING GRANTS FOR CORRIDOR the additional cost-sharing requirements of tion 614 of this Act, is amended by adding at ROUTES. this section shall become effective on Octo- the end the following: (a) IN GENERAL.—Chapter 243 is amended ber 1, 2006. ‘‘24317. Operating grants for long distance by adding at the end the following: ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— routes There are authorized to be appropriated to ‘‘§ 24316. Operating grants for corridor routes SEC. 616. LONG DISTANCE ROUTE RESTRUC- ‘‘(a) IN GENERAL.— the Secretary to carry out this section— TURING COMMISSION. ‘‘(1) $125,000,000 for fiscal year 2006; ‘‘(1) OPERATING GRANT AUTHORITY.—Begin- (a) ESTABLISHMENT.—There is established ning on October 1, 2005, the Secretary of ‘‘(2) $100,000,000 for fiscal year 2007; an independent commission to be known as Transportation may make grants to States ‘‘(3) $90,000,000 for fiscal year 2008; the Long Distance Route Restructuring ‘‘(4) $75,000,000 for fiscal year 2009; and for operating assistance under the authority Commission. ‘‘(5) $50,000,000 for fiscal year 2010.’’. of this section, and not under any other pro- (b) DUTY.— (b) CONFORMING AMENDMENT.—The chapter vision of law, to reimburse operators of cor- (1) IN GENERAL.—The Commission shall analysis for chapter 243 is amended by add- ridor routes over which intercity passenger submit a plan to Congress for restructuring ing at the end the following: service was provided on the date of enact- long distance intercity passenger rail routes ment of the Rail Passenger Service Restruc- ‘‘24316. Operating grants for corridor routes’’. on a timely basis by— turing, Reauthorization, and Development SEC. 615. OPERATING GRANTS FOR LONG DIS- (A) retaining routes that provide a unique Act for the operating expenses incurred in TANCE ROUTES. service that can be contracted out by the Na- operating those routes or those frequencies (a) IN GENERAL.—Chapter 243, as amended tional Railroad Passenger Corporation on a to provide intercity passenger rail transpor- by section 614, is amended by adding at the for-profit basis; tation. end the following: (B) restructuring other routes as linked ‘‘(2) CONDITIONS.—A grant under this sec- ‘‘§ 24317. Operating grants for long distance corridor routes between major metropolitan tion shall be subject to the terms, condi- routes areas; and tions, requirements, and provisions the Sec- ‘‘(a) IN GENERAL.— (C) consolidating or discontinuing service retary decides are necessary or appropriate ‘‘(1) OPERATING GRANT AUTHORITY.—Begin- over remaining routes. for the purposes of this section, including ning on October 1, 2005, the Secretary of (2) PRESERVATION OF NATIONAL NETWORK.— limitations on what operating expenses are Transportation may make grants to the The restructuring plan submitted by the eligible for reimbursement. American Passenger Railway Corporation or Commission shall ensure that no corridor ‘‘(b) FEDERAL SHARE OF OPERATING to a State for operating assistance under the train is completely isolated from the rest of LOSSES.— authority of this section, and not under any the intercity passenger rail network. ‘‘(1) REIMBURSABLE AMOUNT.—A grant to a other provision of law, to reimburse opera- (3) EXCEPTIONS.— State under this section for any fiscal year tors of long distance routes over which inter- (A) IN GENERAL.—A route will be excluded may not exceed an amount equal to the city passenger service was provided on the from consideration for restructuring, con- lower of— date of enactment of the Rail Passenger solidation, or closure if a State or group of ‘‘(A) the applicable percentage of the Fed- Service Restructuring, Reauthorization, and States commits, by contractual arrangement eral operating subsidy for that fiscal year; or Development Act, for operating subsidies re- with the American Passenger Railway Cor- ‘‘(B) the percentage of the operating sub- quired in operating those routes or those fre- poration or another operator selected sidy for a route not borne by a State during quencies to provide intercity passenger rail through a competitive process, to provide fi- the last fiscal year ending before the date of transportation. nancial operating support at a level suffi- enactment of the Rail Passenger Service Re- ‘‘(2) CONDITIONS.— cient to offset at least structuring, Reauthorization, and Develop- ‘‘(A) A grant under this section shall be (i) 30 percent of the operating subsidy for ment Act. subject to the terms, conditions, require- fiscal year 2007; ‘‘(2) APPLICABLE PERCENTAGE.—For pur- ments, and provisions the Secretary decides (ii) 40 percent of the operating subsidy for poses of paragraph (1), the applicable per- are necessary or appropriate for the purposes fiscal year 2008; and centage of the operating subsidy for a fiscal of this section, including limitations on (iii) 50 percent of the operating subsidy year is— what operating expenses are eligible for re- thereafter. ‘‘(A) 70 percent for fiscal year 2006; imbursement. (B) FAILURE OF SUPPORT.—If a State or ‘‘(B) 60 percent for fiscal year 2007; ‘‘(B) The Secretary shall require the Amer- group of States fails to provide the support ‘‘(C) 50 percent for fiscal year 2008; ican Passenger Railway Corporation, as a to which it committed under this paragraph, ‘‘(D) 40 percent for fiscal year 2009; and condition of a grant under this section, to then service over the route shall be discon- ‘‘(E) 30 percent for fiscal year 2010. systematically reduce its fiscal year 2003 tinued. ‘‘(c) DETERMINATION OF EXPENSES ELIGIBLE route and system-wide overhead expenses by (4) CONSULTATION REQUIRED.—In carrying FOR REIMBURSEMENT.— a minimum of 5 percent annually through out its duties, the Commission shall consult ‘‘(1) ANNUAL DETERMINATION OF SUBSIDY.— fiscal year 2010. A contract between the Na- with the American Passenger Railway Cor- On an annual basis, the Inspector General for tional Railroad Passenger Corporation and poration, State and local officials, freight the Department of Transportation shall ana- the American Passenger Railway Corpora- railroads, companies with expertise in inter- lyze and advise the Secretary of Transpor- tion for the operation of a long distance city passenger transportation, and other per- tation as to the operating subsidy required route or routes must provide for reimburse- sons with an interest in the restructuring of on corridor routes operated by the American ment of operating losses to be reduced to re- the long distance train routes. Passenger Railway Corporation under con- flect such cost reductions and productivity (c) APPOINTMENT.— tract with a State without competitive bid. enhancements. (1) The Commission shall be composed of 7 The operating loss on such routes shall— ‘‘(3) ANNUAL DETERMINATION OF SUBSIDY.— members appointed by the President within 6 ‘‘(A) reflect the fully allocated costs of op- On an annual basis, the Inspector General for months after the date of enactment of this erating the route, including an appropriate the Department of Transportation shall ana- Act. share of overhead expenses, including gen- lyze and advise the Secretary of Transpor- (2) The Commission members shall elect 1 eral and administrative expenses; and tation as to the operating subsidy required member to serve as Chairman. ‘‘(B) exclude depreciation and interest ex- on long distance routes operated by the (d) TERMINATION.—The Commission shall pense on long-term debt. American Passenger Railway Corporation. terminate 90 days after the Commission’s ‘‘(2) AGGREGATION OF NORTHEAST CORRIDOR ‘‘(b) FEDERAL SHARE OF OPERATING recommendations for consolidation and clo- LOSSES.—Operating losses on corridor trains LOSSES.—Pending completion of the restruc- sure are submitted to Congress. operated exclusively on the mainline of the turing of long distance intercity passenger (e) VACANCIES.—A vacancy on the Commis- Northeast Corridor extending from Wash- rail routes required by sections 615 through sion shall be filled in the same manner as the ington, D.C. to Boston, MA may be aggre- 617 of the Rail Passenger Service Restruc- original appointment. gated for purposes of determining the oper- turing, Reauthorization, and Development (f) DETAILEES.—Upon the request of the ating subsidy required on the routes. Act, the Federal share for an operating grant Chairman of the Commission, the head of ‘‘(3) DETERMINATION WITH COMPETITIVE BID- may be 100 percent of the qualifying oper- any Federal department or agency may de- DING.—Expenses eligible for Federal support ating subsidy for the route. tail personnel of that department or agency pursuant to paragraph (b)(2) for reimburse- ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— to the Commission to assist the Commission ment for a corridor route that has been com- There are authorized to be appropriated to in carrying out its duties. petitively bid shall consist of the operating the Secretary of Transportation to carry out (g) COMPENSATION; REIMBURSEMENT.—Mem- subsidy agreed upon by the State, group of this section— bers of the Commission shall serve without States, or other entity and the operator. ‘‘(1) $550,000,000 for fiscal year 2006; pay, but shall receive travel expenses, in- ‘‘(d) EXCEPTION TO DATE COST-SHARING RE- ‘‘(2) $400,000,000 for fiscal year 2007; cluding per diem in lieu of subsistence, in ac- QUIRED.—For any State whose legislature has ‘‘(3) $350,000,000 for fiscal year 2008; cordance with section 5702 and 5703 of title 5, not convened in regular session after the ‘‘(4) $325,000,000 for fiscal year 2009; and United States Code. date of enactment of the Rail Passenger ‘‘(5) $300,000,000 for fiscal year 2010.’’. (h) OTHER AUTHORITY.— Service Restructuring, Reauthorization, and (b) CONFORMING AMENDMENT.—The chapter (1) The Commission may procure by con- Development Act and before October 1, 2005, analysis for chapter 243, as amended by sec- tract, to the extent funds are available, the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00102 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1059 temporary or intermittent services of ex- (4) available capacity on the rights-of-way the fair market value of such stock, based on perts or consultants pursuant to section 3109 of the host railroad or railroads; and the valuation performed under subsection of title 5, United States Code. (5) interest from the private sector in oper- (a). (2) The Commission may lease space and ating the route or portion thereof on a sub- (2) No provision of this Act, or amend- acquire personal property to the extent sidized basis. ments made by this Act, provide to the own- funds are available. (d) COOPERATION OF AMERICAN PASSENGER ers of the common stock a priority over (i) AUTHORIZATION OF APPROPRIATIONS.— RAILWAY CORPORATION.— holders of indebtedness or other stock of There are authorized to be appropriated for (1) The American Passenger Railway Cor- Amtrak. the use of the Commission in carrying out poration shall cooperate and comply, subject (c) ACQUISITION THROUGH EMINENT DO- its responsibilities under this section for to the agreement of the Commission to pro- MAIN.—In the event that the National Rail- each of fiscal years 2005 and 2006, $4,000,000, tect the confidentiality of proprietary infor- road Passenger Corporation and the owners such sums to remain available until ex- mation, with all requests for financial, mar- of the Amtrak common stock have not com- pended. keting, and other information affecting the pleted the redemption of such stock within 3 months after the completion of the valuation SEC. 617. CRITERIA FOR RESTRUCTURING. routes under consideration by the Commis- under subsection (a), the National Railroad (a) RESTRUCTURING AS LINKED CORRIDORS.— sion. (2) The Secretary of Transportation may Passenger Corporation shall exercise its (1) PREREQUISITE FOR RESTRUCTURING.—A withhold all or part of an operating or cap- right of eminent domain under section 24311 long distance route or portion thereof may of title 49, United States Code, to acquire be recommended for restructuring as a ital grant to the Corporation if the Sec- retary determines the American Passenger that stock. The value assigned to the com- linked corridor if— mon stock under subsection (a) shall be (A) the origin-to-destination travel time of Railway Corporation is not cooperating with the Commission as required by this Act. deemed to constitute just compensation ex- each corridor link in the new route, at concept to the extent that the owners of the ventional train speeds, including all station (e) REPORT.—The Commission shall submit its recommendations for consolidation and common stock demonstrate that the valu- stops, will be competitive with other modes ation is less than the constitutional min- of transportation; closure to the Senate Committee on Com- merce, Science, and Transportation and the imum value of the stock. (B) each corridor link in the new route (d) AMENDMENT OF SECTION 24311.—Section connects at least 2 major metropolitan areas House of Representatives Committee on Transportation and Infrastructure within 18 24311 (a) (1) is amended— or provides a link between 2 or more existing (1) by striking ‘‘or’’ at the end of subpara- corridor trains; months after the date of enactment of this Act. The report shall include a description graph (A); (C) the restructured train can be reason- (2) by striking ‘‘Amtrak.’’ in subparagraph of— ably expected to attract at least 10 percent (B) and inserting ‘‘Amtrak; or’’; and of the combined common carrier market in (1) the analysis performed by the Commis- (3) by adding at the end the following: the markets served; sion to reach its conclusions; ‘‘(C) necessary to redeem Amtrak’s com- (2) options considered in the development (D) the projected cash operating loss of mon stock from any, holder thereof, includ- of a restructuring plan; each of the restructured links does not ex- ing a rail carrier.’’. (3) the impact of the restructuring on em- ceed 11 cents per passenger-mile on a fully (e) CONVERSION OF PREFERRED STOCK TO ployees of the American Passenger Railway allocated cost basis; and COMMON.— Corporation for any long distance route re- (E) the Federal operating subsidy will not (1) Subsequent to the redemption of the structured under this section; and be more than 50 percent of the operating sub- common stock in the corporation issued (4) the costs and benefits of implementing sidy for the route for fiscal year 2003. prior to the date of enactment of this Act, the plan. (2) HOURS OF OPERATION.—In addition to the Secretary of Transportation shall con- the eligibility criteria in paragraph (1), any SEC. 618. IMPLEMENTATION OF RESTRUCTURING vert the one share of the preferred stock of PLAN. long distance routes recommended for re- Amtrak retained under section 622 of this structuring as linked corridors shall be de- (a) IN GENERAL.—Subject to subsection (b), Act for 10 shares of common stock in the Na- signed to operate between the hours of 6:00 the Secretary of Transportation shall imple- tional Railroad Passenger Corporation. a.m. and 11:00 p.m. ment the restructuring plan submitted by (2) The National Railroad Passenger Cor- the Long Distance Route Restructuring poration may not issue any other common (3) MODIFICATION OF ROUTES.—With the concurrence of the affected States, existing Commission in its report to Congress pursu- stock, and may not issue preferred stock, routes may be modified to improve ridership ant to section 617 unless a joint resolution is without the express written consent of the and financial performance. enacted by the Congress disapproving such Secretary. recommendations of the Commission before (f) TERMINATION OF SECTION 24907 NOTE AND (4) NEW CAPITAL PLANS.—As part of the re- MORTGAGE AUTHORITY.—Section 24907 is structuring plan for reconfigured routes, the the earlier of— (A) the end of the 45-day period beginning amended by adding at the end the following: Commission shall develop a capital plan, if on the date the Commission submits its re- ‘‘(d) TERMINATION OF AUTHORITY.—The au- additional capital is needed to reconfigure port to Congress; or thority of the Secretary to obtain a note of the route as linked corridors. (B) the adjournment of Congress sine die indebtedness from, and make a mortgage (b) CONTRACTING-OUT OF PROFITABLE LONG for the session during which such report is agreement with, the American Passenger DISTANCE ROUTES AND SERVICES.—The Com- submitted. Railway Corporation under subsection (a) is mission shall determine which long distance (2) For purposes of paragraph (1) of this terminated as of the date of the transfer of routes or services on such routes, including subsection, the days on which either House assets under section 622 of the Rail Pas- auto-ferry transportation, food service, and of Congress is not in session because of an senger Service Restructuring, Reauthoriza- sleeping accommodations, could be con- adjournment of more than 3 days to a day tion, and Development Act.’’. tracted to a private operator on a for-profit certain shall be excluded in the computation SEC. 622. RETIREMENT OF PREFERRED STOCK; basis. In making these determinations, the of a period. TRANSFER OF ASSETS. Commission shall solicit expressions of in- (a) TRANSFER.—Not later than 30 days after PART 2—NORTHEAST CORRIDOR terest from the private sector in operating the redemption or acquisition of stock under long distance routes or services, including SEC. 621. REDEMPTION OF COMMON STOCK. section 621 of this Act, the National Railroad the conditions under which private compa- (a) VALUATION.—The Secretary of Trans- Passenger Corporation shall, in return for nies may be interested in operating such portation shall arrange, at the National the consideration specified in subsection (c), services. Railroad Passenger Corporation’s expense, transfer to the Secretary of Transportation (e) CONSOLIDATION AND CLOSURE.—The for a valuation of all Amtrak assets and li- title to— Commission shall make recommendations to abilities with an estimated value in excess of (1) the portions of the Northeast Corridor Congress for consolidating and closing long $1,000,000 as of the date of enactment of this currently owned or leased by the Corpora- distance train routes or portions of routes Act by the Secretary of the Treasury, or by tion as well as any improvements made to that cannot be restructured under subsection a contractor selected by the Secretary of the these assets, including the rail right-of-way, (a) or contracted out under subsection (b), to Treasury. The valuation shall be conducted stations, track, signal equipment, electric reduce the Federal operating subsidy rein accordance with the Uniform Standards of traction facilities, bridges, tunnels, repair quired by at least 50 percent compared to the Professional Appraisal Practice of the Ap- facilities, and all other improvements owned operating subsidy required in fiscal year praisal Foundation’s Appraisal Standards by the Corporation between Boston, Massa- 2003, taking into consideration— Board and shall be completed within 1 year chusetts, and Washington, District of Colum- (1) the operating loss on a fully allocated after the date of enactment of this Act. bia (including the route through Springfield, cost basis, including capital costs, of the (b) REDEMPTION.— Massachusetts, and the routes to Harrisburg, route or portion thereof; (1) Prior to the transfer of assets to the Pennsylvania, and Albany, New York, from (2) the extent to which train service is the Secretary directed by section 622 of this Act, the Northeast Corridor mainline); only available public transportation to the and within 3 months after the completion of (2) Chicago Union Station and rail-related cities and towns along the route or portion; the valuation under subsection (a), the Na- assets in the Chicago Metropolitan area; and (3) whether an alternate route could sig- tional Railroad Passenger Corporation shall (3) all other track and right-of-way, sta- nificantly reduce operating losses or in- redeem all common stock in Amtrak issued tions, repair facilities, and other real prop- crease ridership; prior to the date of enactment of this Act at erty owned or leased by the Corporation.

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(b) EXISTING ENCUMBRANCES.— any proceeds from the transfer of assets the Northeast Corridor, subject to the provi- (1) ASSUMPTION BY FEDERAL GOVERNMENT.— under this section shall be credited as off- sions of a lease from the Department of Any outstanding debt on the mainline of the setting collections to the account that fi- Transportation, including— Northeast Corridor (other than debt associ- nances debt and interest payments to the (i) responsibility for Corridor maintenance ated with rolling stock) shall become a debt American Passenger Railway Corporation. and improvement; obligation of the United States as of the date Funds available for corridor development (ii) operation of intercity passenger rail of transfer of title under subsection (a)(1). under chapter 244 of title 49, United States service; (2) RESTRUCTURING.—Except as provided in Code, shall be increased by an amount equal (iii) arrangements for operation of freight paragraph (1), the obligation of the American to the amounts credited under the preceding railroad operations and commuter oper- Passenger Railway Corporation or its succes- sentence. ations; sors or assigns to repay in full any indebted- SEC. 624. INTERSTATE COMPACT FOR THE (iv) authority to make use of the Corridor ness to the United States incurred since Jan- NORTHEAST CORRIDOR. for non-rail purposes; and uary, 1990, is not affected by this Act or an (a) CONSENT TO COMPACT.— (v) assumption of financial responsibility amendment made by this Act. (1) IN GENERAL.—The States and the Dis- for Northeast Corridor functions; (c) CONSIDERATION.—In consideration for trict of Columbia that constitute the North- (B) execution of a lease of the Northeast the assets transferred to the United States east Corridor, as defined in section 24102 of Corridor from the Department of Transpor- under subsection (a), the Secretary shall— title 49, United States Code, may enter into tation, for a period of 99 years, subject to ap- (1) deliver to the National Passenger Rail- a multistate compact, not in conflict with propriate provisions protecting the lessor’s road Corporation all but one share of the interests, including reversion of all lease in- preferred stock of Amtrak field by the Sec- any other law of the United States, to be known as the Northeast Corridor Compact, terests to the lessor in the event the lessee retary and forgive Amtrak’s legal obligation fails to meet its financial obligations or oth- to pay any dividends, including accrued but to manage railroad operations and rail service and conduct related activities on the erwise assume financial responsibility for unpaid dividends as of the date of transfer, Northeast Corridor functions; and evidenced by the preferred stock certificates; Northeast Corridor mainline between Bos- ton, Massachusetts, and Washington, Dis- (C) participation by the Department of and Transportation, as the non-voting represent- (2) release Amtrak from all mortgages and trict of Columbia. ative of the United States. liens held by the Secretary that were in ex- (2) CONGRESSIONAL APPROVAL REQUIRED.— (2) The compact terms shall, at a min- istence on January 1, 1990. The Northeast Corridor Compact shall be imum, conform to the requirements of sub- (d) AGREEMENT.—Prior to accepting title to submitted to Congress for its consent. It is the assets transferred under this section, the the sense of the Congress that rapid consent sections (e) through (i) of this section. INAL COMPACT PROPOSAL.— Secretary shall enter into a contract with to the Compact is a priority matter for the (d) F (1) The Commission shall submit a final American Passenger Railway Corporation Congress. compact proposal to participating States, under which American Passenger Railway (b) COMPACT COMMISSION.— the District of Columbia, and the Federal Corporation w111 exercise care, custody, (1) IN GENERAL.—There is hereby estab- maintenance, and operational control of the lished a commission to be known as the Government not later than 18 months after assets to be transferred. The term of the con- Northeast Corridor Compact Commission. the date of enactment of this Act. (2) The Commission shall terminate on the tract shall be for 1 year, which shall be re- The Commission shall be composed of— newed annually without action on the part (A) 2 members (or their designees), to be 180th day following the date of transmittal of either party unless canceled by either selected by the Secretary of Transportation; of the final compact proposal under this sub- party with 90 days notice. (B) 2 members (or their designees), to be section. (e) FURTHER TRANSFERS.— selected by agreement of— (e) GOVERNANCE AND FUNDING REQUIRE- (1) The Secretary may, for appropriate con- (i) the governors of Maryland, Delaware, MENTS FOR COMPACT.— sideration, transfer title to all or part of Chi- Pennsylvania, New Jersey, New York, Con- (1) The governance provisions of the com- cago Union Station and rail-related assets in necticut, Rhode Island, and Massachusetts pact shall provide a mechanism to ensure the Chicago metropolitan area acquired (hereinafter referred to as the ‘‘participating voting representation for the participating under this section to a regional public trans- States’’); and States and the District of Columbia and for portation agency that has significant oper- (ii) the mayor of the District of Colombia; non-voting representation for the Secretary ations in Chicago Union Station on the date and of Transportation and a freight railroad that of enactment of this Act. (C) 1 member to be selected by the 4 mem- conducts operations on the Northeast Cor- (2) The Secretary may, for appropriate con- bers selected under subparagraphs (A) and ridor as ex officio members participating in sideration, transfer to the underlying States (B). all Compact affairs. title to real estate properties owned by the (2) ADMINISTRATIVE PROVISIONS.— (2) The provisions of the compact shall es- Corporation between Boston, Massachusetts, (A) Members of the Commission shall be tablish the financial obligations of each and Washington, District of Columbia, that appointed for the life of the Commission. compact member and shall provide for its constitute the route through Springfield, (B) A vacancy in the Commission shall be management of rail services in the Northeast Massachusetts, and the routes to Harrisburg, filled in the manner in which the original ap- Corridor. Pennsylvania, and Albany, New York, from pointment was made. (f) FEDERAL INTEREST REQUIREMENTS FOR the Northeast Corridor mainline. (C) Members shall serve without pay but COMPACT.—The provisions of the Compact (3) The Secretary may, for appropriate con- shall receive travel expenses, including per shall hold the United States Government sideration, transfer title to all or part of the diem in lieu of subsistence, in accordance harmless as to the actions of the Compact assets acquired under subsection (a)(3) to a with sections 5702 and 5703 of title 5, United under the lease of rights to the Northeast State, a public agency, a railroad, or other States Code. Corridor by the United States Government. entity deemed appropriate by the Secretary. (D) The Chairman of the Commission shall (g) COMPACT BORROWING AUTHORITY.— (f) USE OF PROCEEDS.—Notwithstanding be elected by the members. (1) The borrowing authority provisions of section 3302 of title 31, United States Code, (E) The Commission may appoint and fix the Compact may authorize it to issue bonds any proceeds from the transfer of the assets the pay of such personnel as it considers ap- or other debt instruments from time to time described in subsection (e) shall be credited propriate. at its discretion for purposes that include as off-setting collection to the account that (F) Upon the request of the Commission, paying any part of the cost of rail service finances debt and interest payments to the the head of any department or agency of the improvements, construction, and rehabilita- American Passenger Railway Corporation. United States may detail, on a reimbursable tion and the acquisition of real and personal Funds available for corridor development basis, any of the personnel of that depart- property, including operating equipment, ex- under chapter 244 of title 49, United States ment or agency to the Commission to assist cept that debt issued by the Compact may be Code, shall be increased by an amount equal it in carrying out its duties under this sec- secured only by revenues to the Compact and to the amounts credited under the preceding tion. may not be a debt of a participating State, sentence. (G) Upon the request of the Commission, the District of Columbia, or the Federal Gov- SEC. 623. REAL ESTATE AND ASSET SALES; the Administrator of General Services shall ernment. OTHER. provide to the Commission, on a reimburs- (2) The debt authorized by this subsection (a) IN GENERAL.—Within 3 years after the able basis, the administrative support serv- shall under no circumstances be backed by date of enactment of this Act, the Secretary ices necessary for the Commission to carry the full faith and credit of the United States, of Transportation shall transfer all stations, out its responsibilities under this section. and a grant made under the authority of this track, and other fixed facilities outside the (c) FUNCTIONS.— Act or under the authority of part C of sub- Northeast Corridor mainline to which the (1) The Commission shall prepare for the title V of title 49, United States Code, shall Secretary has assumed title under section consideration of and adoption by partici- include an express acknowledgement by the 622 of this title, other than equipment repair pating States, the District of Columbia, and grantee that the debt does not constitute an facilities, to States, municipalities, rail- the Secretary of Transportation an inter- obligation of the United States. roads, or other entities for maximum consid- state compact that provides for— (h) ADOPTION OF COMPACT; TURNOVER.— eration. (A) full authority for 99 years to succeed to (1) IN GENERAL.—The participating States (b) USE OF PROCEEDS.—Notwithstanding the responsibilities of the American Pas- and the District of Columbia shall adopt a section 3302 of title 31, United States Code, senger Railway Corporation as operator of final compact agreement within 5 years after

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00104 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1061 the date of enactment of this Act, and the ‘‘§ 24318. Capital authorizations for the railroads under subparagraph (A) that en- Compact shall thereafter assume responsi- Northeast Corridor courages on-time performance. bility for the Northeast Corridor operations ‘‘(a) IN GENERAL.—The Secretary of Trans- (3) CONDITIONS FOR NEW ROUTES AND TRAIN on a date that is not later than 6 months portation, in consultation with State and re- FREQUENCIES.— after adoption of the Compact. gional transportation officials, shall develop (A) IN GENERAL.—The terms and conditions (2) OPERATIONS.—Upon leasing the North- and implement a capital program to restore for the operation of a new intercity pas- east Corridor to the Compact, the Secretary the rail infrastructure on the mainline senger rail route or frequency added after shall assign to the Compact and the Compact Northeast Corridor between Boston, Massa- the date of enactment of this Act shall be de- shall assume the then-current contract for chusetts, and Washington, District of Colum- termined by negotiation and mutual agree- operation of the Northeast Corridor. Upon bia, to a state of good repair. ment between the host railroad and the oper- the termination of that contract, the Com- ator or sponsor of the route or frequency to ‘‘(b) AUTHORIZATION OF APPROPRIATIONS pact may make such arrangements for oper- be added, with no preferential right of ac- FOR CAPITAL PROJECTS ON THE NORTHEAST ation of the Northeast Corridor as it sees fit cess. CORRIDOR.—There are authorized to be ap- consistent with its lease and this Act. If the (B) STANDARD OF COMPENSATION.—The propriated to the Secretary of Transpor- Compact chooses to use a contractor to oper- standard of compensation for the rental tation to make capital grants under this sec- ate the Northeast Corridor, the contract change shall be fully allocated costs, exclud- tion $200,000,000 for fiscal year 2005 and shall be awarded competitively. ing capital investments associated with an $300,000,000 for each of fiscal years 2006 (3) MAINTENANCE.—Upon leasing the North- added route or frequency. through 2010. east Corridor to the Compact, the Secretary (C) FAILURE OF NEGOTIATION.—If the parties CHIEVEMENT OF STATE-OF-GOOD-RE- shall assign to the Compact and the Compact ‘‘(c) A cannot agree on the terms and conditions of PAIR ON NORTHEAST CORRIDOR.— shall assume the then-current contract for the rental charge, either party may seek a ‘‘(1) USE OF FUNDS.—Sums authorized for maintenance of the Northeast Corridor. prescription of appropriate terms and condi- the Northeast Corridor under subsection (b) Upon the termination of that contract, the tions under section 24308 of title 49, United may be used solely for the purpose of funding Compact may make such arrangements for States Code. maintenance of the Northeast Corridor as it deferred maintenance and safety projects, in- (b) FITNESS QUALIFICATIONS FOR PASSENGER sees fit consistent with its lease and this cluding the negotiated Federal share for life- RAIL.— Act. If the Compact chooses to use a con- safety improvements in the New York Penn (1) IN GENERAL.—No person may operate tractor to maintain the Northeast Corridor, Station tunnels. intercity passenger rail service over freight the contract shall be awarded competitively. ‘‘(2) STATE OF GOOD REPAIR.—The Northeast railroad property unless that person dem- (4) NON-COMPACT ALTERNATIVE.—In the Corridor shall be considered to be in a state onstrates to the satisfaction of the Secretary event that the participating States and the of good repair upon the completion of the of Transportation that— District of Columbia do not adopt the final capital program developed under subsection ‘‘(A) its intercity passenger rail operations compact agreement and make it operational (a).’’. will meet all applicable Federal safety rules under the schedule set forth in this section, (b) CONFORMING AMENDMENT.—The chapter and regulations; the Secretary of Transportation, through a analysis for chapter 243, as amended by sec- ‘‘(B) it will operate the service on a sound competitive bidding process, may contract tion 615, is amended by adding at the end financial basis; and with another public or private entity to thereof the following: ‘‘(C) it has the technical expertise to oper- manage the Northeast Corridor, with a goal ‘‘24318. Capital authorizations for the North- ate intercity passenger rail service.’’. of maximizing the return to the Federal gov- east Corridor’’. (2) MINIMUM STANDARDS.—Within 6 months ernment from such operations. after the date of enactment of this Act, the PART 3—RELATED MATTERS (i) AUTHORIZATION OF APPROPRIATIONS.— Secretary of Transportation shall by regula- There are authorized to be appropriated to SEC. 631. FAIR AND OPEN COMPETITION. tion establish minimum safety and financial the Secretary of Transportation to carry out (a) IN GENERAL.—The Secretary of Trans- qualifications for operators of intercity pas- this section— portation shall consult with States that senger rail service. (1) $3,000,000 for fiscal year 2005, and competitively bid intercity passenger rail SEC. 633. LIMITATIONS ON RAIL PASSENGER (2) $2,000,000 for fiscal year 2006, services to ensure that their bidding proc- TRANSPORTATION LIABILITY. such sums to remain available until ex- esses provide for fair and open competition Section 28103 is amended by striking ‘‘Am- pended. for all bidders, including the American Pas- trak shall maintain a total’’ in subsection (c) SEC. 625. SHUT-DOWN OF COMMUTER OR senger Railway Corporation. and inserting ‘‘each operator of intercity FREIGHT OPERATIONS. (b) USE OF FEDERAL OR STATE FUNDS.—The passenger rail service shall maintain’’. (a) IN GENERAL.—Section 11123 is amended Secretary shall ensure that the American SEC. 634. TRAIN OPERATIONS INSURANCE POOL. by striking ‘‘National Railroad Passenger Passenger Railway Corporation may not use (a) IN GENERAL.—Chapter 281 is amended by Corporation’’ each place it appears and in- Federal or State financial support for a pas- adding at the end the following: serting ‘‘American Passenger Railway Cor- senger rail route to subsidize a competitive ‘‘§ 28104. Train operations insurance pool poration’’. bid to operate intercity passenger rail serv- ‘‘(a) IN GENERAL.—The Secretary of Trans- (b) AUTHORIZATION OF APPROPRIATIONS.— ice on another route. portation is authorized to encourage and From the funds made available for the Amer- SEC. 632. ACCESS TO OTHER RAILROADS. ican Passenger Railway Corporation for fis- otherwise assist insurance companies and (a) TERMS AND CONDITIONS FOR ACCESS TO cal years 2005 through 2010, the Secretary of other insurers that meet the requirements OTHER RAILROADS.— Transportation shall in each fiscal year hold prescribed under subsection (b) of this sec- (1) EXISTING ROUTES AND FREQUENCIES.— in reserve such sums as may be necessary to tion to form, associate, or otherwise join to- (A) IN GENERAL.—The National Railroad carry out directed service orders issued gether in a pool— Passenger Corporation shall be responsible under section 1123 of title 49, United States ‘‘(1) to provide the insurance coverage re- for negotiating the terms and conditions Code, to respond to the shut-down of com- quired by section 28103; and muter rail operations or freight operations under which the American Passenger Rail- ‘‘(2) for the purpose of assuming, on such due to a shut-down of operations by the way Corporation, a State, or other entity terms and conditions as may be agreed upon, American Passenger Railway Corporation. may access the property of any freight rail- such financial responsibility as will enable The Secretary shall make the reserved funds road to provide intercity passenger rail serv- such companies and other insurers to assume available through an appropriate grant in- ice over routes operated by Amtrak on the a reasonable proportion of responsibility for strument during the fourth quarter of each day before the date, determined by the Sec- the adjustment and payment of claims under fiscal year to the extent that no grant orders retary of Transportation, on which the re- section 28103. have been issued by the Surface Transpor- structuring required by sections 24300, ‘‘(b) REGULATIONS TO ESTABLISH INSURER tation Board during that fiscal year prior to 24300A, and 24300B of title 49, United States QUALIFICATION REQUIREMENTS.—In order to the date of transfer of the reserved funds or Code, is completed at the frequencies in ef- promote the effective administration of the there is a balance of reserved funds not need- fect on that clay. intercity rail passenger program, and to as- ed by the Board to pay for any directed serv- (B) PRESERVATION OF RAILROAD BENEFITS.— sure that the objectives of this chapter are ice order in that fiscal year. The access and liability terms and condi- furthered, the Secretary is authorized to pre- (c) EFFECTIVE DATE FOR SUBSECTION (a).— tions of the contracts between the National scribe requirements for insurance companies The amendment made by subsection (a) shall Railroad Passenger Corporation and rail- and other insurers participating in an insur- take effect on the date, determined by the roads following that restructuring shall be ance pool under subsection (a), including Secretary of Transportation, on which the no less favorable to the host railroads than minimum requirements for capital or sur- restructuring required by sections 24300, the access and liability terms and conditions plus or assets. 24300A, and 24300B of title 49, United States under contracts in effect on the day before (c) AUTHORITY TO COLLECT AND PAY PRE- Code, is completed. the date, as so determined by the Secretary, MIUMS AND OTHER COSTS.—In order to provide SEC. 626. CAPITAL GRANTS FOR NORTHEAST on which the restructuring is completed. adequate insurance coverage at affordable CORRIDOR. (C) INCENTIVE PAYMENTS; PENALTIES.—The cost to operators of intercity passenger rail (a) IN GENERAL.—Chapter 243, as amended Secretary shall retain a system of incentive service at no cost to the United States, the by section 615, is amended by adding at the payments and performance penalties in ne- Secretary is authorized to divide the insur- end the following: gotiating compensation payments to freight ance premiums and all other costs of forming

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00105 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1062 CONGRESSIONAL RECORD — SENATE February 11, 2004 and operating the insurance pool created ity, and other matters as the Secretary finds heading and inserting ‘‘LAW ENFORCE- pursuant to this section, including the costs pertinent. MENT; LIABILITY; INSURANCE’’. of any contractors or consultants the Sec- ‘‘(e) BOND; LIABILITY OF CERTIFYING OFFI- (2) The part analysis of subtitle V is retary may hire, among all the operators of CERS AND DISBURSING OFFICERS.— amended by striking the item relating to intercity passenger rail service and collect ‘‘(1) SURETY BOND.—Any contract entered chapter 281 and inserting, the following: from each operator of intercity passenger into under subsection (a) of this section may ‘‘281. Law enforcement; liability; in- rail service the insurance premiums and require the pool, company, or organization surance ...... 28101’’. other costs the Secretary has allocated to it. or any of its officers or employees certifying (3) The table of contents of the title is Notwithstanding any other provisions of law, payments or disbursing funds pursuant to amended by striking the item relating to the Secretary may receive funds collected the contract, or otherwise participating in chapter 281 and inserting the following: under this section directly from each oper- carrying out the contract, to give surety ator of intercity passenger rail service, cred- bond to the United States in such amount as ‘‘281. Law enforcement; liability; in- it the appropriation charged for the insur- the Secretary may deem appropriate. surance ...... 28101’’. ance premiums and other costs of forming ‘‘(2) PERSONAL LIABILITY FOR CERTIFI- (4) The chapter analysis for chapter 281 is and operating the insurance pool, and use CATION.—No individual designated pursuant amended by adding at the end the following: those funds to pay insurance premiums and to a contract under this section to certify ‘‘28104. Train operations insurance pool other costs of forming and operating the in- payments shall, in the absence of gross neg- ‘‘28105. Use of insurance pool, companies, or surance pool, including the costs of any con- ligence or intent to defraud the United other private organizations for tractors or consultants the Secretary may States, be liable with respect to any pay- certain payments hire. The Secretary may advance such sums ment certified by that individual under this ‘‘28106. Reinsurance coverage’’. as may be necessary to pay insurance pre- section. SEC. 635. COLLECTIVE BARGAINING ARRANGE- miums and other costs of forming and oper- ‘‘(3) PERSONAL LIABILITY FOR PAYMENT.—No MENTS. ating the insurance pool from unobligated officer disbursing funds shall in the absence (a) STATUS AS EMPLOYER OR CARRIER.— balances available to the Federal Railroad of gross negligence or intent to defraud the (1) IN GENERAL.—Any entity providing Administration for intercity passenger rail United States, be liable with respect to any intercity passenger railroad transportation service, to be reimbursed from payments repayment by that officer under this section if (within the meaning of section 20102 of title ceived from operators of intercity passenger it was based upon a voucher signed by an in- 49, United States Code) that begins oper- rail service. Where the Secretary is making dividual designated to certify such pay- ations after the date of enactment of this a grant of operating funds for a route, the ments. Act shall be considered an employer for pur- Secretary may collect the insurance pre- ‘‘(f) TERM OF CONTRACT; RENEWALS; TERMI- poses of the Railroad Retirement Act of 1974 miums and other costs the Secretary has al- NATION.—Any contract entered into under (45 U.S.C. 231 et seq.) and considered a car- located to it by withholding those funds this section shall be for a term of 1 year, and rier for purposes of the Railway Labor Act from the grant and crediting them to the ap- may be made automatically renewable from (45 U.S.C. 151 et seq.). term to term in the absence of notice by ei- propriation charged for the insurance pre- (2) COLLECTIVE BARGAINING AGREEMENT.— miums and other costs of forming and oper- ther party of an intention to terminate at Any entity providing intercity passenger ating the insurance pool. the end of the current term; except that the railroad transportation (within the meaning ‘‘§ 28105. Use of insurance pool, companies, or Secretary may terminate any such contract of section 20102 of title 49, United States other private organizations for certain pay- at any time (after reasonable notice to the Code) that begins operations after the date ments pool, company, or organization involved) if of enactment of this Act and replaces inter- the Secretary finds that the pool, company, ‘‘(a) AUTHORIZATION TO ENTER INTO CON- city rail passenger service that was provided or organization has failed substantially to TRACTS FOR CERTAIN REQUIREMENTS.—In by another entity as of the date of enact- carry out the contract, or is carrying out the order to provide for maximum efficiency in ment of this Act, shall enter into an agree- contract in a manner inconsistent with the the administration of the intercity rail pas- ment with the authorized bargaining agent efficient and effective administration of the senger program, the Secretary of ’Transpor- or agents for employees of the predecessor intercity rail passenger program. tation may enter into contracts with the provider that— pool formed or otherwise created under sec- ‘‘§ 28106. Reinsurance coverage (A) gives each employee of the predecessor tion 28104, or any insurance company or ‘‘(a) AVAILABILITY FOR EXCESS LOSSES.— provider priority in hiring according to the other private organizations, for the purpose The Secretary of Transportation is author- employee’s seniority on the predecessor proof securing performance by such pool, com- ized to take such action as may be necessary vider for each position with the replacing en- pany, or organization of any or all of the fol- in order to make available, to the pool tity that is in the employee’s craft or class lowing responsibilities: formed or otherwise created under section and is available within three years after the ‘‘(1) Estimating and later determining any 28104, reinsurance for losses which are in ex- termination of the service being replaced; amounts of payments to be made. cess of losses assumed by such pool in ac- (B) establishes a procedure for notifying ‘‘(2) Receiving from the Secretary, dis- cordance with the excess loss agreement en- such an employee of such positions; bursing, and accounting for payments of in- tered into under subsection (c) of this sec- (C) establishes a procedure for such an em- surance premiums. tion. ployee to apply for such positions; and ‘‘(3) Making such audits of the records of ‘‘(b) AVAILABILITY PURSUANT TO CONTRACT, (D) establishes rates of pay, rules, and any insurance company or other insurer, in- AGREEMENT, OR OTHER ARRANGEMENT; PAY- working conditions. surance agent or broker, or insurance adjust- MENT OF PREMIUM, FEE, OR OTHER CHARGE.— (3) REPLACEMENT OF EXISTING RAIL PAS- ment organization as may be necessary to Reinsurance shall be made available pursu- SENGER SERVICE.— assure that proper payments are made. ant to contract, agreement, or any other ar- (A) NEGOTIATIONS.—An entity providing re- ‘‘(4) Otherwise assisting in such manner as rangement, in consideration of such payment placement intercity rail passenger service the contract may provide to further the pur- of a premium, fee, or other charge as the under paragraph (2) shall give written notice poses of this chapter. Secretary finds necessary to cover antici- of its plan to replace existing rail passenger ‘‘(b) TERMS AND CONDITIONS OF CONTRACT.— pated losses and other costs of providing service to the authorized collective bar- Any contract with the pool or an insurance such reinsurance. gaining agent or agents for the employees of company or other private organization under ‘‘(c) EXCESS LOSS AGREEMENT; NEGOTIA- the predecessor provider at least 90 days this section may contain such terms and TION.—The Secretary is authorized to nego- prior to the date it plans to commence serv- conditions as the Secretary finds necessary tiate an excess loss agreement, from time to ice. Within 5 days after the date of receipt of or appropriate for carrying out responsibil- time, under which the amount of insurance such written notice, negotiations between ities under subsection (a) of this section, and retained by the pool, after ceding reinsur- the replacing entity and the collective bar- may provide for payment of any costs which ance, shall be adequate to further the pur- gaining agent or agents for the employees of the Secretary determines are incidental to poses of this chapter, consistent with the ob- the predecessor provider shall commence for carrying out such responsibilities which are jective of maintaining appropriate financial the purpose of reaching agreement with recovered by the contract. participation and risk sharing to the max- spect to all matters set forth in subpara- ‘‘(e) COMPETITIVE BIDDING.—Any contract imum extent practicable on the part of par- graphs (A) through (D) of paragraph (2). The entered into under subsection (a) of this sec- ticipating insurance companies and other in- negotiations shall continue for 30 days or tion may be entered into without regard to surers. until an agreement is reached, whichever is section 5 of title 41 or any other provision of ‘‘(d) SUBMISSION OF EXCESS LOSSES ON sooner. If at the end of 30 days the parties law requiring competitive bidding. PORTFOLIO BASIS.—All reinsurance claims for have not entered into an agreement with re- ‘‘(d) FINDINGS OF SECRETARY.—No contract losses in excess of losses assumed by the pool spect to all such matters, the unresolved may be entered into under this section un- shall be submitted on a portfolio basis by issues shall be submitted for arbitration in less the Secretary finds that the pool, com- such pool in accordance with terms and con- accordance with the procedure set forth in pany, or organization will perform its obliga- ditions established by the Secretary.’’. subparagraph (B). tions under the contract efficiently and ef- (b) CONFORMING AMENDMENTS.— (B) ARBITRATION.—If an agreement has not fectively, and will meet such requirements (1) Chapter 281 is amended by striking been entered into with respect to all matters as to financial responsibility, legal author- ‘‘LAW ENFORCEMENT’’ in the chapter set forth in subparagraphs (A) through (D) of

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00106 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1063 paragraph (2) as provided in subparagraph ‘‘(C) leasing equipment or a facility for use which the intercity passenger rail service (A) of this paragraph, the parties shall select in intercity passenger rail service, subject to will operate concur with the applicant’s op- an arbitrator. If the parties are unable to regulations (to be prescribed by the Sec- erating plans and infrastructure improve- agree upon the selection of such arbitrator retary of Transportation) limiting such leas- ment requirements. within 5 days, either or both parties shall no- ing arrangements to arrangements that are ‘‘(c) CRITERIA FOR GRANTS FOR INTERCITY tify the National Mediation Board, which more cost-effective than purchase or con- CORRIDOR PASSENGER RAIL PROJECTS.— shall provide a list of 7 arbitrators with ex- struction; ‘‘(1) IN GENERAL.—The Secretary may ap- perience in arbitrating rail labor protection ‘‘(D) modernizing existing intercity pas- prove a grant under this section for a capital disputes. Within 5 days after such notifica- senger rail service facilities and information project only if the Secretary determines that tion, the parties shall alternately strike systems; the proposed project is— names from the list until only one name re- ‘‘(E) the introduction of new technology, ‘‘(A) based on the results of an alternatives analysis and preliminary engineering; mains, and that person shall serve as the through innovative and improved products, ‘‘(B) justified based on a comprehensive re- other than magnetic levitation; or neutral arbitrator. Within 45 days after se- view of its mobility improvements, environ- ‘‘(F) defraying, with respect to new service lection of the arbitrator, the arbitrator shall mental benefits, cost effectiveness, and oper- established under section 24402, the cost of conduct a hearing on the dispute and shall ating efficiencies; and render a decision with respect to the unre- rental charges to freight railroads. ‘‘(C) supported by an acceptable degree of solved issues set forth in subparagraphs (A) ‘‘(3) INTERCITY CORRIDOR PASSENGER RAIL State and local financial commitment, in- through (D) of paragraph (2). This decision SERVICE.—The term ‘intercity corridor pas- cluding evidence of stable and dependable fi- shall be final, binding, and conclusive upon senger rail service’ means the transportation nancing sources to construct, maintain, and the parties. The salary and expenses of the of passengers between major metropolitan operate the system or extension. arbitrator shall be borne equally by the par- areas by rail, including high-speed rail (as ‘‘(2) ALTERNATIVES ANALYSIS AND PRELIMI- ties, but all other expenses shall be paid by defined in section 26105(2) of this title), in NARY ENGINEERING.—In evaluating a project the party incurring them. corridors of 300 miles or less in length with under paragraph (1)(A), the Secretary shall (C) SERVICE COMMENCEMENT.—An entity trip times of 4 hours or less, and multiple analyze and consider the results of the alter- providing replacement intercity rail pas- frequencies daily. natives analysis and preliminary engineering senger service under paragraph (2) shall com- ‘‘(4) NET PROJECT COST.—The term ‘net for the project. mence service only after an agreement is en- project cost’ means that portion of the cost ‘‘(3) PROJECT JUSTIFICATION.—In evaluating tered into with respect to the matters set of a project than cannot be financed from a project under paragraph (1)(B), the Sec- forth in subparagraphs (A) through (D) of revenues reasonably expected to be gen- retary shall— paragraph (2) or the decision of the arbi- erated by the project. ‘‘(A) consider the direct and indirect costs trator has been rendered. ‘‘§ 24402. Capital investment grants to sup- of relevant alternatives; ‘‘(B) consider the ability of the service to (b) REGULATIONS.—Not later than 6 months port new intercity passenger rail service after the date of the enactment of this Act, compete with other modes of transportation; ‘‘(a) GENERAL AUTHORITY.— the Secretary of Transportation shall issue ‘‘(C) consider the extent to which the ‘‘(1) GRANTS.—The Secretary of Transpor- regulations for carrying out this section. project fills an unmet transportation need; tation may make grants under this section ‘‘(D) consider the ability of the service to SUBTITLE B—RAIL DEVELOPMENT to an applicant to assist in financing capital fund its operating expenses from fare reve- SEC. 651. CAPITAL ASSISTANCE FOR INTERCITY investments for new high-speed intercity nues; PASSENGER RAIL SERVICE. passenger rail service, the establishment of ‘‘(E) consider population density in the (a) IN GENERAL.—Part C of subtitle V is new, conventional services, or the expansion corridor; amended by inserting after chapter 243 the of existing high-speed or conventional serv- ‘‘(F) consider the technical capability of following: ice by adding additional frequencies. the grant recipient to construct the project; ‘‘CHAPTER 244—INTERCITY PASSENGER ‘‘(2) TERMS AND CONDITIONS.—The Sec- ‘‘(G) consider factors such as congestion RAIL SERVICE CORRIDOR CAPITAL AS- retary shall require that a grant under this relief, improved mobility, air pollution, SISTANCE section be subject to the terms, conditions, noise pollution, energy consumption, and all associated ancillary and mitigating cost in- ‘‘Sec. requirements, and pro visions the Secretary ‘‘24401. Definitions decides are necessary or appropriate for the creases necessary to carry out each alter- ‘‘24402. Capital investment grants to support purposes of this section, including require- native analyzed; ‘‘(H) consider the level of private sector fi- intercity passenger rail service ments for the disposition of net increases in ‘‘24403. Project management oversight value of real property resulting from the nancial participation and risk sharing in the project; ‘‘24404. Operating expenses project assisted under this section. ‘‘(I) adjust the project justification to re- ‘‘24405. Local share and maintenance of effort ‘‘(3) APPLICATION WITH CHAPTER 53.—A flect differences in local land, construction, ‘‘24406. Grants for maintenance and mod- grant under this section may not be made for ernization and operating costs; and a project or program of projects that quali- ‘‘(J) consider other factors that the Sec- ‘‘§ 24401. Definitions fies for financial assistance under chapter 53 retary determines appropriate to carry out ‘‘In this chapter: of this title. this chapter. ‘‘(1) APPLICANT.—The term ‘applicant’ ‘‘(b) PROJECT AS PART OF APPROVED PRO- ‘‘(4) LOCAL FINANCIAL COMMITMENT.— means a State, a group of States, including GRAM.— ‘‘(A) EVALUATION OF PROJECT.—In evalu- an Interstate Compact formed under section ‘‘(1) IN GENERAL.—The Secretary may not ating a project under paragraph (1)(C), the 410 of the Amtrak Reform and Account- approve a grant for a project under this sec- Secretary shall require that— ability Act of 1997 (49 U.S.C. 24101 note), or a tion unless the Secretary finds that the ‘‘(i) the proposed project plan provides for public corporation, board, commission, or project is part of an approved corridor plan the availability of contingency amounts that agency established by one or more States and program developed under section 135 of the Secretary determines to be reasonable to designated as the lead agency of a State for title 23 and that the applicant or recipient cover unanticipated cost increases; providing intercity passenger rail service. has or will have the legal, financial, and ‘‘(ii) each proposed State or local source of ‘‘(2) CAPITAL PROJECT.—The term ‘capital technical capacity to carry out the project capital and operating financing is stable, re- project’ means a project for— (including safety and security aspects of the liable, and available within the proposed ‘‘(A) acquiring or constructing equipment project), satisfactory continuing control project timetable; and or a facility for use in intercity passenger over the use of the equipment or facilities, ‘‘(iii) State or local resources are available rail service, expenses incidental to the acqui- and the capability and willingness to main- to operate the proposed service. sition or construction (including designing, tain the equipment or facilities. ‘‘(B) CONSIDERATIONS.—In assessing the stability, reliability, and availability of pro- inspecting, supervising, engineering, loca- ‘‘(2) ELIGIBILITY INFORMATION.—An appli- tion surveying, mapping, environmental cant shall provide sufficient information posed sources of local financing under subparagraph (A), the Secretary shall consider— studies, and acquiring rights-of-way), alter- upon which the Secretary can make the find- ‘‘(i) existing grant commitments; natives analysis related to the development ings required by this subsection. ‘‘(ii) the degree to which financing sources of such train services, capacity improve- ‘‘(3) PROPOSED OPERATOR JUSTIFICATION.—If are dedicated to the purposes proposed; ments on the property over which the service an applicant has not selected the proposed ‘‘(iii) any debt obligation that exists or is will be conducted, passenger rail-related in- operator of its service competitively, the ap- proposed by the applicant for the proposed telligent transportation systems, highway- plicant shall provide written justification to project or other intercity passenger rail rail grade crossing improvements or closures the Secretary showing why the proposed op- service purpose; and on routes used for intercity passenger rail erator is the best, taking into account price ‘‘(iv) the extent to which the project has a service, relocation assistance, acquiring re- and other factors, and that use of the pro- local financial commitment that exceeds the placement housing sites, and acquiring, con- posed operator will not increase the capital required non-Federal share of the cost of the structing, relocating, and rehabilitating re- cost of the project. project. placement housing; ‘‘(4) RAIL AGREEMENT.—The Secretary of ‘‘(5) REGULATIONS.—Not later than 120 days ‘‘(B) rehabilitating or remanufacturing rail Transportation may not approve a grant after the date of enactment of the Rail Pas- rolling stock and associated facilities used under this section unless the applicant dem- senger Service Restructuring, Reauthoriza- primarily in intercity passenger rail service; onstrates that the railroad or railroads over tion, and Development Act, the Secretary

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shall issue regulations on the manner in ‘‘(B) An agreement under this paragraph ‘‘(e) FEDERAL SHARE OF NET PROJECT which the Secretary will evaluate and rate obligates an amount of available budget au- COST.— the projects based on the results of alter- thority specified in law and may include a ‘‘(1) IN GENERAL.— natives analysis, project justification, and commitment, contingent on amounts to be ‘‘(A) Based on engineering studies, studies the degree of local financial commitment, as specified in law in advance for commitments of economic feasibility, and information on required under this subsection. under this paragraph, to obligate an addi- the expected use of equipment or facilities, ‘‘(6) PROJECT EVALUATION AND RATING.—A tional amount from future available budget the Secretary shall estimate the net project proposed project may advance from alter- authority specified in law. The agreement cost. natives analysis to preliminary engineering, shall state that the contingent commitment ‘‘(B) A grant for the project may be for up and may advance from preliminary engineer- is not an obligation of the Government and to 50 percent of the net project cost. The re- ing to final design and construction, only if is subject to the availability of appropria- mainder shall be provided in cash from non- the Secretary finds that the project meets tions made by Federal law and to Federal Federal sources. the requirements of this section and there is laws in force on or enacted after the date of ‘‘(f) UNDERTAKING PROJECTS IN ADVANCE.— a reasonable likelihood that the project will the contingent commitment. Interest and ‘‘(1) IN GENERAL.—The Secretary may pay continue to meet such requirements. In mak- other financing costs of efficiently carrying the Federal share of the net capital project ing such findings, the Secretary shall evalu- out a part of the project within a reasonable cost to an applicant that carries out any ate and rate the project as ‘highly rec- time are a cost of carrying out the project part of a project described in this section ac- ommended’, ‘recommended’, or ‘not rec- under a full funding grant agreement, except cording to all applicable procedures and re- ommended’, based on the results of alter- that eligible costs may not be more than the quirements if— natives analysis, the project justification cost of the most favorable financing terms ‘‘(A) the applicant applies for the payment, criteria, and the degree of local financial reasonably available for the project at the ‘‘(B) the Secretary approves the payment; commitment, as required under this sub- time of borrowing. The applicant shall cer- and section. In rating the projects, the Secretary tify, in a way satisfactory to the Secretary, ‘‘(C) before carrying out a part of the shall provide, in addition to the overall that the applicant has shown reasonable dili- project, the Secretary approves the plans project rating, individual ratings for each of gence in seeking the most favorable financ- and specifications for the part in the same the criteria established under the regula- ing terms. way as other projects under this section. tions issued under paragraph (5). ‘‘(3) EARLY SYSTEMS WORK AGREEMENT.— ‘‘(2) INTEREST COSTS.—The cost of carrying ‘‘(7) PULL FUNDING GRANT AGREEMENT.—A ‘‘(A) The Secretary may make an early out part of a project includes the amount of project financed under this subsection shall systems work agreement with an applicant if interest earned and payable on bonds issued be carried out through a full funding grant a record of decision under the National Envi- by the applicant to the extent proceeds of agreement. The Secretary shall enter into a ronmental Policy Act of 1969 (42 U.S.C. 4321 the bonds are expended in carrying out the full funding grant agreement based on the et seq.) has been issued on the project and part. The amount of interest includable as evaluations and ratings required under this the Secretary finds there is reason to be- cost under this paragraph may not be more subsection. The Secretary shall not enter lieve— than the most favorable interest terms rea- into a full funding grant agreement for a ‘‘(i) a full funding grant agreement for the sonably available for the project at the time project unless that project is authorized for project will be made; and of borrowing. The applicant shall certify, in ‘‘(ii) the terms of the work agreement will final design and construction. a manner satisfactory to the Secretary, that promote ultimate completion of the project ‘‘(d) LETTERS OF INTENT, FULL FUNDING the applicant has shown reasonable diligence more rapidly and at less cost. GRANT AGREEMENTS, AND EARLY SYSTEMS in seeking the most favorable financial ‘‘(B) A work agreement under this para- WORK AGREEMENTS.— terms. graph obligates an amount of available budg- ‘‘(1) LETTER OF INTENT.— ‘‘(3) USE OF COST INDICES.—The Secretary et authority specified in law and shall pro- ‘‘(A) The Secretary may issue a letter of shall consider changes in capital project cost vide for reimbursement of preliminary costs intent to an applicant announcing an inten- indices when determining the estimated cost of carrying out the project, including land tion to obligate, for a project under this sec- under paragraph (2) of this subsection. acquisition, timely procurement of system tion, an amount from future available budg- ‘‘(g) FUNDING.— elements for which specifications are de- et authority specified in law that is not more ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— cided, and other activities the Secretary de- than the amount stipulated as the financial There are authorized to be appropriated to cides are appropriate to make efficient, long- participation of the Secretary in the project. the Secretary of Transportation for purposes term project management easier. A work ‘‘(B) At least 60 days before issuing a letter of this section— agreement shall cover the period of time the under subparagraph (A) of this paragraph or ‘‘(A) $525,000,000 for fiscal year 2006, Secretary considers appropriate. The period entering into a full funding grant agreement, ‘‘(B) $550,000,000 for fiscal year 2007, may extend beyond the period of current au- the Secretary shall notify in writing the ‘‘(C) $675,000,000 for fiscal year 2008, thorization. Interest and other financing Senate Committee on Commerce, Science, ‘‘(D) $750,000,000 for fiscal year 2009, and and Transportation and the House of Rep- costs of efficiently carrying out the work ‘‘(E) $800,000,000 for fiscal year 2010, such resentatives Committee on Transportation agreement within a reasonable time are a sums to remain available until expended. cost of carrying out the agreement, except and Infrastructure, and the House of Rep- ‘‘§ 24403. Project management oversight resentatives and Senate Committees on Ap- that eligible costs may not be more than the propriations of the proposed letter or agree- cost of the most favorable financing terms ‘‘(a) PROJECT MANAGEMENT PLAN REQUIRE- ment. The Secretary shall include with the reasonably available for the project at the MENTS.—To receive Federal financial assist- notification a copy of the proposed letter or time of borrowing. The applicant shall cer- ance for a major capital project under this agreement as well as the evaluations and tify, in a way satisfactory to the Secretary, chapter, an applicant shall prepare and carry ratings for the project. that the applicant has shown reasonable dili- out a project management plan approved by ‘‘(C) The issuance of a letter is deemed not gence in seeking the most favorable financ- the Secretary of Transportation. The plan to be an obligation under sections 1108(c) and ing terms. If an applicant does not carry out shall provide for— (d), 1501, and 1502(a) of title 31, or an admin- the project for reasons within the control of ‘‘(1) adequate recipient staff organization istrative commitment. the applicant, the applicant shall repay all with well-defined reporting relationships, ‘‘(D) An obligation or administrative com- Government payments made under the work statements of functional responsibilities, job mitment may be made only when amounts agreement plus reasonable interest and pen- descriptions, and job qualifications; are appropriated. alty charges the Secretary establishes in the ‘‘(2) a budget covering the project manage- ‘‘(2) FULL FUNDING AGREEMENT.— agreement. ment organization, appropriate consultants, ‘‘(A) The Secretary may make a full fund- ‘‘(4) LIMIT ON TOTAL OBLIGATIONS AND COM- property acquisition, utility relocation, sys- ing grant agreement with an applicant. The MITMENTS.—The total estimated amount of tems demonstration staff, audits, and mis- agreement shall— future obligations of the Government and cellaneous payments the recipient may be ‘‘(i) establish the terms of participation by contingent commitments to incur obliga- prepared to justify; the United States Government in a project tions covered by all outstanding letters of ‘‘(3) a construction schedule for the under this section; intent, full funding grant agreements, and project; ‘‘(ii) establish the maximum amount of early systems work agreements under this ‘‘(4) a document control procedure and rec- Government financial assistance for the section, when combined with obligations ordkeeping system; project, which, with respect to a high-speed under section 5309 of this title, may be not ‘‘(5) a change order procedure that includes rail project, shall be sufficient to complete more than the amount authorized under sec- a documented, systematic approach to han- at least an operable segment; tion 5338(b) of this title, less an amount the dling the construction change orders; ‘‘(iii) cover the period of time for com- Secretary reasonably estimates is necessary ‘‘(6) organizational structures, manage- pleting the project, including a period ex- for grants under this section not covered by ment skills, and staffing levels required tending beyond the period of an authoriza- a letter. The total amount covered by new throughout the construction phase; tion; and letters and contingent commitments in- ‘‘(7) quality control and quality assurance ‘‘(iv) make timely and efficient manage- cluded in full funding grant agreements and functions, procedures, and responsibilities ment of the project easier according to the early systems work agreements may be not for construction, system installation, and in- law of the United States. more than a limitation specified in law. tegration of system components;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00108 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1065 ‘‘(8) material testing policies and proce- ‘‘§ 24405. Local share and maintenance of ef- portation shall issue final regulations set- dures; fort ting forth procedures for application and ‘‘(9) internal plan implementation and re- ‘‘(a) IN GENERAL.—Notwithstanding any minimum requirements for the award of porting requirements, other provision of law, a recipient of assist- grants under chapter 244 of title 49, United ‘‘(10) criteria and procedures to be used for ance under this title may use, as part of the States Code. testing the operational system or its major local matching funds for a capital project, SEC. 653. AUTHORITY FOR INTERSTATE COM- components; the proceeds from the issuance of revenue PACTS FOR CORRIDOR DEVELOP- ‘‘(11) periodic updates of the plan, espe- bonds. MENT. cially related to project budget and project ‘‘(b) MAINTENANCE OF EFFORT.—The Sec- (a) CONSENT TO COMPACTS.— schedule, financing, and ridership estimates; retary of Transportation shall approve the (1) 2 or more States with an interest in a and use of proceeds from the issuance of revenue specific form, route, or corridor of intercity ‘‘(12) the recipient’s commitment to sub- bonds for the non-Federal share of the net passenger rail service (including high speed mit a project budget and project schedule to project cost only if the aggregate amount of rail service) may enter into interstate com- the Secretary each month. financial support for intercity passenger rail pacts to implement the service, including— ‘‘(b) PLAN APPROVAL.— service from the State is not less than the (A) retaining an existing service or com- ‘‘(1) 60-day decision.—The Secretary shall average annual amount provided by the mencing a new service; approve or disapprove a plan not later than State during the preceding 3 years. (B) assembling rights-of-way; and 60 days after it is submitted. If the approval (C) performing capital improvements, in- ‘‘§ 24406. Grants for maintenance and mod- process cannot be completed within 60 days, cluding— ernization the Secretary shall notify the recipient, ex- (i) the construction and rehabilitation of plain the reasons for the delay, and estimate ‘‘(a) IN GENERAL.—The Secretary of Trans- maintenance facilities; the additional time that will be required. portation may make capital grants for main- (ii) the purchase of rolling stock; and ‘‘(2) EXPLANATION OF DISAPPROVAL.—If the tenance and modernization of intercity pas- (iii) operational improvements, including Secretary disapproves a plan, the Secretary senger rail services to— communications, signals, and other systems. shall inform the applicant of the reasons for ‘‘(1) the American Passenger Railway Cor- (2) A compact entered into under the au- disapproval of the plan. poration for services it operates under con- thority of this section shall be submitted to ‘‘(c) SECRETARIAL OVERSIGHT.— tract with the Secretary of Transportation; Congress for its consent. It is the sense of ‘‘(1) IN GENERAL.—The Secretary may use or Congress that rapid consent to the Compact no more than 0.5 percent of amounts made ‘‘(2) to States for intercity passenger rail is a priority for the Congress. available in a fiscal year for capital projects services operated under a contract with a (b) FINANCING.— under this chapter to enter into contracts to State or group of States. (1) An interstate compact established by oversee the construction of such projects. ‘‘(b) USE OF FUNDS.—Grants under this sec- States under subsection (a) may provide tion may be used— ‘‘(2) USE OF FUNDS.—The Secretary may use that, in order to carry out the compact, the amounts available under paragraph (1) of ‘‘(1) to purchase, lease, rehabilitate, or re- States may— this subsection to make contracts for safety, manufacture rolling stock and associated fa- (A) accept contributions from a unit of procurement, management, and financial cilities used primarily in intercity passenger State or local government or a person; compliance reviews and audits of a recipient rail service; (B) use any Federal or State funds made of amounts under paragraph (1). ‘‘(2) to modernize existing intercity pas- available for intercity passenger rail service senger rail service facilities and information ‘‘(3) FEDERAL SHARE.—The Federal Govern- (except funds made available for Amtrak); ment shall pay the entire cost of carrying systems; or (C) on such terms and conditions as the out a contract under this subsection. ‘‘(3) to defray the cost of rental charges to States consider advisable— freight railroads for the addition of train fre- ‘‘(d) ACCESS TO SITES AND RECORDS.—Each (i) borrow money on a short-term basis and recipient of assistance under this chapter quencies. issue notes for the borrowing; and ‘‘(c) FEDERAL SHARE.—The Federal share shall provide the Secretary and a contractor (ii) issue bonds; and for a capital grant under this section may be the Secretary chooses under subsection (b) of (D) obtain financing by other means per- 100 percent, except that the Federal share for this section with access to the construction mitted under Federal or State law. a grant made under subsection (b)(3) may not sites and records of the recipient when rea- (2) Bonds and other indebtedness incurred exceed 50 percent. sonably necessary. under the authority of this subsection shall ‘‘(d) ALLOCATION FORMULA.—Funds made ‘‘(e) REGULATIONS.—The Secretary shall under no circumstances be backed by the full available by this section shall be allocated prescribe regulations necessary to carry out faith and credit of the United States. equitably among the States based on a for- this section. The regulations shall include— SUBTITLE C—AMTRAK REFORMS mula to be determined by the Secretary. ‘‘(1) a definition of ‘major capital project’ ‘‘(e) SLEEPING AND DINING CARS.—Pending SEC. 671. MANAGEMENT OF SECURED DEBT. for this section; the restructuring of long distance routes Except as approved by the Secretary of ‘‘(2) a requirement that oversight begin under sections 615 through 617 of the Rail Transportation to refinance existing secured during the preliminary engineering stage of Passenger Service Restructuring, Reauthor- debt, Amtrak (until the American Passenger a project, unless the Secretary finds it more ization, and Development Act, grants may be Railway Corporation is established) and the appropriate to begin oversight during an- made to the American Passenger Railway American Passenger Railway Corporation other stage of a project, to maximize the Corporation for sleeping and dining cars only thereafter, may not enter into any obliga- transportation benefits and cost savings as- to the extent necessary to maintain the tion secured by assets of the Corporation sociated with project management oversight; equipment in good working order and not for after the date of enactment of this Act. This and the purpose of refurbishing, rebuilding, or re- section does not prohibit unsecured lines of ‘‘(3) a formula based on infrastructure own- newing such equipment to extend the equip- credit used for working capital purposes. ership, boardings, and passenger-miles trav- ment’s useful life. SEC. 672. EMPLOYEE ASSISTANCE. eled in the prior fiscal year by which the ‘‘(f) LONG DISTANCE RESTRUCTURING (a) TRANSITION FINANCIAL INCENTIVES.— funds authorized for modernization of exist- PLAN.—Unless the restructuring plan sub- (1) IN GENERAL.—To reduce operating ex- ing services will be allocated among the mitted by the Long Distance Route Restruc- penses in preparation for competition from States; and turing Commission under section 617 of the other rail carriers, the American Passenger ‘‘(4) a requirement that, if a State does not Rail Passenger Service Restructuring, Reau- Railway Corporation may institute a pro- apply for its share of formula grant funds thorization, and Development Act is dis- gram under which it may, at its discretion, under paragraph (3) of this subsection in a approved by Congress, from the sums author- provide financial incentives to employees timely manner, those funds will be made ized for capital projects outside of the North- who voluntarily terminate their employ- available to other States. east Corridor, the Secretary may reserve up ment with the Corporation and relinquish ‘‘(f) FINANCIAL PLAN.—A recipient of finan- to $20,000,000 in each of fiscal years 2007 any legal rights to receive termination-re- cial assistance for a project under this sec- through 2010 to assist in the restructuring of lated payments under any contractual agree- tion with an estimated total cost of long distance routes as linked corridors, and ment with the Corporation. $100,000,000, or more shall submit to the Sec- the Federal share of such assistance shall be (2) CONDITIONS FOR FINANCIAL INCENTIVES.— retary an annual financial plan for the 100 percent. As a condition for receiving financial assist- project. The plan shall be based on detailed ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.— ance grants under this section, the American annual estimates of the cost to complete the There are authorized to be appropriated to Passenger Railway Corporation shall certify remaining elements of the project and on the Secretary of Transportation $200,000,000 to the Secretary of Transportation that— reasonable assumptions, as determined by for each of fiscal years 2005 through 2010 to (A) the financial assistance results in a net the Secretary, of future increases in the cost carry out this section.’’. reduction in the total number of employees to complete the project. SEC. 652. FINAL REGULATIONS ON APPLICATIONS equal to the number receiving financial in- ‘‘§ 24404. Operating expenses BY STATES FOR DEVELOPMENT centives; ‘‘The Secretary of Transportation may not GRANTS. (B) the financial assistance results in a net make grants under this chapter for operating Not later than 1 year after the date of en- reduction in total employment expenses expenses. actment of this Act, the Secretary of Trans- equivalent to the total employment expenses

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00109 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1066 CONGRESSIONAL RECORD — SENATE February 11, 2004 associated with the employees receiving fi- ‘‘(1) The Secretary of Transportation may ‘‘(10) With respect to any route on which nancial incentives; and approve funding to cover operating losses or intercity passenger rail service is provided (C) the total number of employees eligible operating expenses (including advance pur- on the day before the date on which the re- for termination-related payments will not be chase orders) only after receiving and ap- structuring required by sections 24300, increased without the express written con- proving a grant request for each specific 24300A, and 24300B is completed (as deter- sent of the Secretary. train route to which the grant relates. mined by the Secretary), the American Pas- (3) AMOUNT OF FINANCIAL INCENTIVES.—The ‘‘(2) Each such grant request shall be ac- senger Railway Corporation shall make financial incentives authorized under this companied by a detailed financial analysis, available to any replacement operator the section may not exceed 1 year’s base pay. revenue projection, and capital expenditure legacy equipment that is associated with the (4) AUTHORIZATION OF APPROPRIATIONS.— program justifying the Federal support to service on the route. There are authorized to be appropriated to the Secretary’s satisfaction. (11) The American Passenger Railway Cor- the Secretary of Transportation $25,000,000 ‘‘(3) Not later than December 31st prior to poration shall provide interline reservations for each of fiscal years 2005, 2006, and 2007 to each fiscal year in which grants are made to services to any other provider of intercity make grants to the American Passenger the American Passenger Railway Corpora- passenger rail transportation on the same Railway Corporation to fund financial incen- tion, the Corporation shall transmit to the basis and at the same rates as those services tive payments to employees under this sub- Secretary of Transportation, the Committee are provided to the operating entities that section. on Commerce, Science, and Transportation provide passenger rail service within Amtrak (b) LABOR PROTECTION FOR EMPLOYEES OF of the Senate, the Committee on Transpor- as of the date of enactment of the Rail Pas- THE AMERICAN PASSENGER RAILWAY CORPORA- tation and Infrastructure of the House of senger Service Restructuring, Reauthoriza- TION.— Representatives, and the House of Represent- tion, and Development Act’’. (1) IN GENERAL.—The American Passenger atives and Senate Committees on Appropria- (b) INTERIM APPLICATION OF SECTION Railway Corporation, or other operator of tions a business plan for operating and cap- 24319.—Until the restructuring required by intercity passenger rail transportation serv- ital improvements to be funded in the fiscal sections 24300, 24300A, and 24300B of title 49, ice, shall be responsible for obligations im- year under section 24104(a) of this title. United States Code, is completed (as deter- posed by law or collective bargaining agree- ‘‘(4) The business plan shall include— mined by the Secretary of Transportation), ‘‘(A) targets, as applicable, for ridership, ment for compensation and benefits payable section 24319 of title 49, United States Code, revenues, and capital and operating ex- to employees terminated in connection with as added by subsection (a), shall be applied the restructuring of passenger rail service penses; ‘‘(B) a separate accounting for such tar- by substituting ‘‘Amtrak’’ for ‘‘American under this title and the amendments made Passenger Railway Corporation’’ or ‘‘the by this title. The responsibility of the Cor- gets— ‘‘(i) on the Northeast Corridor; Corporation’’ each place it appears. poration and such other operator under the ‘‘(ii) each intercity train route; (c) CONFORMING AMENDMENT.—The chapter preceding sentence, and the obligations for ‘‘(iii) as a group for long distance trains analysis for chapter 243 is amended by in- which it is responsible under that sentence, and corridor services; and serting after the item relating to section may not be transferred to any other entity ‘‘(iv) commercial activities, including con- 24318 the following: in connection with such restructuring by tract operations and mail and express; and ‘‘24319. Limitations on availability of contract or otherwise. ‘‘(C) a description of the work to be funded, grants’’. (2) AUTHORIZATION OF APPROPRIATIONS.— along with cost estimates and an estimated SEC. 676. REPEAL OF OBSOLETE AND EXECUTED There are authorized to be appropriated to timetable for completion of the projects cov- PROVISIONS OF LAW. the Secretary of Transportation for the use ered by the business plan. (a) IN GENERAL.—The following sections of the American Passenger Railway Corpora- ‘‘(5) Each month of each fiscal year in are repealed: tion in meeting its responsibility under para- which grants are made to the American Pas- (1) Section 24701. graph (1) $75,000,000 for each of fiscal years senger Railway Corporation, the Corporation (2) Section 24706. 2007 through 2010. shall submit to the Secretary of Transpor- (3) Section 24901. SEC. 673. TERMINATION OF AUTHORITY FOR GSA tation, the Committee on Commerce, (4) Section 24902. TO PROVIDE SERVICES TO AMTRAK. Science, and Transportation of the Senate, (5) Section 24904. Section 1110 of division A of H.R. 5666 (114 the Committee on Transportation and Infra- (6) Section 24906. Stat. 2763A–202), as enacted by section 1(a)(4) structure of the House of Representatives, (7) Section 24909. (b) AMENDMENT OF SECTION 24305.—Section of the Consolidated Appropriations Act, 2001, and the House of Representatives and Senate 24305 is amended— is repealed. Committees on Appropriations a supple- (1) by striking paragraph (2) of subsection SEC. 674. AMTRAK REFORM BOARD OF DIREC- mental report in electronic format regarding (a) and redesignating paragraph (3) as para- TORS. the business plan, which shall describe the Section 24302 is amended by adding at the graph (2); and work completed to date, any changes to the (2) by inserting ‘‘With regard to items ac- end the following: business plan, and the reasons for such quired with funds provided by the Federal ‘‘(d) ASSET TRANSITION COMMITTEE.— changes. Government,’’ before ‘‘Amtrak’’ in sub- ‘‘(1) IN GENERAL.—The Reform Board shall ‘‘(6) None of the funds authorized by this section (f)(2). form an asset transition committee com- subtitle or the Rail Passenger Service Re- (c) CONFORMING AMENDMENTS.—The chap- prised of the Secretary or the Secretary’s structuring, Reauthorization, and Develop- designee, and 2 other members, or 1 other ter analyses for chapters 243, 247, and 249 are ment Act may be disbursed to the American amended, as appropriate, by striking the member if 2 other members are not lawfully Passenger Railway Corporation for operating appointed. items relating to sections 24307, 24701, 24706, expenses, including advance purchase orders 24901, 24902, 24904, 24906, 24908, and 24909. ‘‘(2) POWERS AND DUTIES.—In addition to and capital projects not approved by the Sec- SEC. 677. ESTABLISHMENT OF FINANCIAL AC- other powers and duties assigned by the retary nor in the American Passenger Rail- board, the Asset Transition Committee has COUNTING SYSTEM FOR THE AMER- way Corporation’s business plan. ICAN PASSENGER RAILWAY COR- the duty to ensure that the public interest is ‘‘(7) The American Passenger Railway Cor- PORATION BY INDEPENDENT AUDI- served in board decisions and Amtrak man- poration shall display the business plan and TOR. agement actions that change the use of or all subsequent supplemental plans on its (a) IN GENERAL.—The Inspector General of status of— website within a reasonable time after they the Department of Transportation shall em- ‘‘(A) the contractual right of access of Am- are submitted to the Secretary and the Con- ploy an independent financial consultant— trak to rail lines of other railroads; gress under this section. (1) to assess Amtrak’s financial accounting ‘‘(B) Amtrak’s secured debt; ‘‘(8) The Secretary may not make any and reporting system and practices as of the ‘‘(C) Northeast Corridor real property and grant to the American Passenger Railway date of enactment of this Act, assets; and Corporation until Amtrak agrees to continue (2) to design and assist the American Pas- ‘‘(D) rolling stock. abiding by the provisions of paragraphs (1), senger Railway Corporation in implementing ‘‘(3) APPROVAL REQUIRED.—The board may (2), (5), (9), and (11) of the summary of condi- a modern financial accounting and reporting not take an action with regard to the assets tions on the direct loan agreement of June system, on the basis of the assessment, that or secured debt specified in paragraph (2), or 28, 2002, until the loan is repaid. will produce accurate and timely financial permit Amtrak management action with re- ‘‘(9) No grant authorized by this title shall information in sufficient detail— gard to those assets, that is not approved by be made to the American Passenger Railway (A) to enable the American Passenger Rail- the asset transition committee.’’. Corporation unless, within 6 months after way Corporation to assign revenues and ex- SEC. 675. LIMITATIONS ON AVAILABILITY OF the date of enactment of the Rail Passenger penses appropriately to each of its lines of GRANTS. Service Restructuring, Reauthorization, and business and to each major activity within (a) IN GENERAL.—Chapter 243, as amended Development Act, the Corporation prepares a each line of business activity, including by section 627 of this Act is amended by in- capital spending plan that addresses capital train operations, equipment maintenance, serting after section 24318 the following: needs, consistent with the funding levels au- ticketing, and reservations; ‘‘§ 24319. Limitations on availability of grants thorized to bring the Northeast Corridor cap- (B) to aggregate expenses and revenues re- ‘‘Grants under this title to the American ital assets to a state of good repair, as de- lated to infrastructure and distinguish them Passenger Railway Corporation are subject fined by the Secretary, and transmits that from expenses and revenues related to rail to the following conditions: plan to the Secretary. operations; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00110 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1067 (C) to provide ticketing and reservation in- of the Treasury restructure or redeem the tions, especially smaller metropolitan plan- formation on a real-time basis. debt, there are authorized to be appropriated ning organizations, in the implementation of (b) VERIFICATION OF SYSTEM; REPORT.—The to the Secretary of Transportation for the TRANSIMS by providing training and tech- Inspector General of the Department of use of Amtrak (before the date, determined nical assistance; Transportation shall review the accounting by the Secretary of Transportation, on ‘‘(b) ELIGIBLE ACTIVITIES.—The Secretary system designed and implemented under sub- which the restructuring required by sections shall use funds made available to carry out section (a) to ensure that it accomplishes the 24300, 24300A, and 24300B of title 49, United this section to— purposes for which it is intended. The Inspec- States Code, is completed) and the American ‘‘(1) further develop TRANSIMS for addi- tor General shall report his findings and con- Passenger Railway Corporation (after that tional applications, including congestion clusions, together with any recommenda- date) for the payment of interest on loans for analyses, major investment studies, eco- tions, to the Senate Committee on Com- capital equipment, or capital leases, the fol- nomic impact analyses, alternative analyses, merce, Science, and Transportation and the lowing amounts: freight movement studies, emergency evacu- House of Representatives Committee on (A) For fiscal year 2005, $155,000,000. ation studies, port studies, and airport ac- Transportation and Infrastructure. (B) For fiscal year 2006, $150,000,000. cess studies; (C) SEPARATE FINANCIAL STATEMENTS FOR (C) For fiscal year 2007, $140,000,000. ‘‘(2) provide training and technical assist- NORTHEAST CORRIDOR INFRASTRUCTURE.—Be- (D) For fiscal year 2008, $130,000,000. ance with respect to the implementation and ginning with fiscal year 2006, the American (E) For fiscal year 2009, $125,000,000. (F) For fiscal year 2010, $115,000,000. application of TRANSIMS to States, local Passenger Railway Corporation shall issue governments, and metropolitan planning or- separate financial statements for activities (3) REDUCTIONS IN AUTHORIZATION LEV- ELS.—Whenever action taken by the Sec- ganizations with responsibility for travel related to the infrastructure of the North- modeling; east Corridor. retary of the Treasury under subsection (c) results in reductions in amounts of principle ‘‘(3) develop methods to simulate the na- (d) AUTHORIZATION OF APPROPRIATIONS.— tional transportation infrastructure as a sin- There are authorized to be appropriated to and interest that Amtrak must service on existing debt, Amtrak shall submit to the gle, integrated system of the movement of the Secretary of Transportation $2,500,000 for people and goods; and fiscal year 2005 to carry out subsection (a), Senate Committee on Commerce, Science and Transportation, the House of Represent- ‘‘(4) provide funding to state transpor- such sums to remain available until ex- tation departments and metropolitan plan- pended. atives Committee on Transportation and In- frastructure, the Senate Committee on Ap- ning organizations for implementation of SEC. 678. RESTRUCTURING OF LONG-TERM DEBT TRANSIMS. AND CAPITAL LEASES. propriations, and House of Representatives ‘‘(c) ALLOCATION OF FUNDS.—Of the funds (a) IN GENERAL.—The Secretary of the Committee on Appropriations revised re- made available to carry out this section for Treasury, in consultation with the Secretary quests for amounts authorized by paragraphs each fiscal year, not less than 15 percent of of Transportation and Amtrak, shall restruc- (1) and (2) that reflect the such reductions. the funds shall be allocated to activities in ture Amtrak’s indebtedness as of the date of (g) LEGAL EFFECT OF PAYMENTS UNDER subsection (b)(3). enactment of this Act. THIS SECTION.—The payment of principal and UNDING (b) DEBT REDEMPTION.—The Secretary of interest secured debt with the proceeds of ‘‘(d) F .—Of the amounts made avail- Transportation, in consultation with the grants under subsection (f) shall not— able under section 2001(a) of the Safe, Ac- Secretary of the Treasury, shall enter into (1) modify the extent or nature of any in- countable, Flexible and Efficient Transpor- negotiations with the holders of Amtrak debtedness of the National Railroad Pas- tation Act of 2003 for each of fiscal years 2004 debt, including leases, that is outstanding on senger Corporation to the United States in through 2009, the Secretary shall use the date of enactment of this Act for the existence of the date of enactment of this $6,000,000 to carry out this section. purpose of redeeming or restructuring that Act; ‘‘(e) AVAILABILITY OF FUNDS.—Funds made debt. The Secretary, in consultation with (2) change the private nature of Amtrak’s available under this section shall be avail- the Secretary of the Treasury, shall secure or its successors’ liabilities; or able to the Secretary through the Transpor- agreements for repayment on such terms as (3) imply any Federal guarantee or com- tation Planning, Research, and Development the Secretary deems favorable to the inter- mitment to amortize Amtrak’s outstanding Account of the Office of the Secretary of ests of the Government. Payments for such indebtedness. Transportation.’’. redemption may be made after October 1, SEC. 679. AUTHORIZATION OF APPROPRIATIONS. 2005, in either a single payment or a series of There are authorized to be appropriated to SA 2326. Mr. BINGAMAN (for himself payments, but in no case shall the repay- the Secretary of Transportation for the ben- and Mr. DOMENICI) submitted an ment period extend beyond September 30, efit of Amtrak for fiscal year 2005 $750,000,000 amendment intended to be proposed by 2009. for operating expenses. him to the bill S. 1072, to authorize (c) CRITERIA.—In redeeming or restruc- SA 2325. Mr. BINGAMAN submitted funds for Federal-aid highways, high- turing Amtrak’s indebtedness, the Secre- way safety programs, and transit pro- taries and Amtrak— an amendment intended to be proposed (1) shall ensure that the restructuring im- to amendment SA 2285 proposed by Mr. grams, and for other purposes; which poses the least practicable burden on tax- INHOFE to the bill S. 1072, to authorize was ordered to lie on the table; as fol- payers; and funds for Federal-aid highways, high- lows: (2) take into consideration repayment way safety programs, and transit pro- On page 389, between lines 15 and 16, insert costs, the term of any loan or loans, and the following: market conditions. grams, and for other purposes; which SEC. 18ll. AUTHORIZATION OF CONTRACT AU- (d) AUTHORIZATION OF APPROPRIATIONS.— was ordered to lie on the table; as fol- THORITY FOR STATES WITH INDIAN There are authorized to be appropriated to lows: RESERVATIONS. the Secretary such sums as may be nec- On page 476, line 18, strike the period and Section 1214(d) of the Transportation Eq- essary for fiscal years 2005 through 2009 to re- the closing quotation marks and insert the uity Act for the 21st Century (23 U.S.C. 202 structure or redeem Amtrak’s secured debt. following: note; 112 Stat. 206) is amended— (e) AMTRAK PRINCIPAL AND INTEREST PAY- ‘‘§ 512. Transportation Analysis Simulation (1) in paragraph (1), by inserting ‘‘(except MENTS.— System Arizona)’’ after ‘‘each State’’; and (1) PRINCIPAL ON DEBT SERVICE.—Unless the Secretary of Transportation and the Sec- ‘‘(a) CONTINUATION OF TRANSIMS DEVEL- (2) in paragraph (5)(A), by striking retary of the Treasury restructure or redeem OPMENT.— ‘‘$1,500,000 for each of fiscal years 1998 the debt, there are authorized to be appro- ‘‘(1) The Secretary shall continue the de- through 2003’’ and inserting ‘‘$1,800,000 for priated to the Secretary of Transportation velopment and deployment of the advanced each of fiscal years 2004 through 2009’’. for the use of Amtrak (before the date, deter- transportation model known as the ‘Trans- mined by the Secretary of Transportation, portation Analysis Simulation System’ (re- SA 2327. Mr. BOND proposed an on which the restructuring required by sec- ferred to in this section as ‘TRANSIMS’ ’’ de- amendment to amendment SA 2311 pro- tions 24300, 24300A, and 24300B of title 49, veloped by the Los Alamos National Labora- posed by Mrs. CLINTON (for herself, Mr. tory. United States Code, is completed) and the BINGAMAN, Mr. BYRD, Mr. DODD, Mr. ‘‘(2) REQUIREMENTS AND CONSIDERATIONS.— American Passenger Railway Corporation In carrying out paragraph (1), the Secretary SARBANES, Mr. CORZINE, Mr. LIEBER- (after that date) for retirement of principal shall— MAN, Mr. ROCKEFELLER, Mr. HARKIN, on loans for capital equipment, or capital ‘‘(A) further improve TRANSIMS to reduce and Ms. STABENOW) to the bill S. 1072, leases, not more than the following amounts: (A) For fiscal year 2005, $110,000,000. the cost and complexity of using the model; to authorize funds for Federal-aid high- (B) For fiscal year 2006, $115,000,000. ‘‘(B) continue development of TRANSIMS ways, highway safety programs, and (C) For fiscal year 2007, $205,000,000. for applications to transportation planning, transit programs, and for other pur- (D) For fiscal year 2008, $165,000,000. regulatory compliance, and response to nat- poses; which was ordered to lie on the (E) For fiscal year 2009, $155,000,000. ural disasters and other transportation dis- (F) For fiscal year 2010, $150,000,000. ruptions; and table; as follows: (2) INTEREST ON DEBT.—Unless the Sec- ‘‘(C) assist State departments of transpor- In lieu of the language proposed to be in- retary of Transportation and the Secretary tation and metropolitan planning organiza- serted, insert the following:

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SEC. 1409. RENTED OR LEASED MOTOR VEHI- United States Code, is amended by adding at (A) IN GENERAL.—Chapter 4 of title 23, CLES. the end the following new subsection: United States Code, is amended by adding at (a) IN GENERAL.—Subchapter I of chapter ‘‘(f)(1) There is a National Office of Driver the end the following new section: 301 of title 49, United States Code, is amend- Licensing and Education in the National ‘‘SEC. 412. DRIVER EDUCATION AND LICENSING. ed by adding at the end the following: Highway Traffic Safety Administration. ‘‘(a) AUTHORITY.— ‘‘§ 30106. Rented or leased motor vehicle safe- ‘‘(2) The head of the National Office of ‘‘(1) IN GENERAL.—The Secretary shall ty and responsibility Driver Licensing and Education is the Direc- carry out a program to provide States, by ‘‘(a) IN GENERAL.—Provided that there is tor. grant, with financial assistance to support no negligence or criminal wrongdoing on the ‘‘(3) The functions of the National Office of the improvement of motor vehicle driver part of the owner of a motor vehicle, no such Driver Licensing and Education are as fol- education programs and the establishment owner engaged in the trade or business of lows: and improved administration of graduated li- renting or leasing motor vehicles may be ‘‘(A) To provide States with services for co- censing systems, including systems de- held liable under State law for harm caused ordinating the motor vehicle driver training scribed in section 410(c)(4) of this title. by a person to himself or herself, another and licensing programs of the States. ‘‘(2) ADMINISTRATIVE OFFICE.—The Sec- person, or to property, which results or ‘‘(B) To develop and make available to the retary shall administer the program under arises from that person’s use, operation, or States a recommended comprehensive model this section through the Director of the Na- possession of a rented or leased motor vehi- for motor vehicle driver education and grad- tional Office of Driver Licensing and Edu- cle, by reason of being the owner of such uated licensing that incorporates the best cation. practices in driver education and graduated motor vehicle. ‘‘(b) ELIGIBILITY REQUIREMENTS.— licensing, including best practices with re- ‘‘(b) CONSTRUCTION.—Subsection (a) shall ‘‘(1) REGULATIONS.—The Secretary shall not apply if such owner does not maintain spect to— prescribe in regulations the eligibility re- the required limits of financial responsi- ‘‘(i) vehicle handling and crash avoidance; quirements, application and approval proce- bility for such vehicle, as required by State ‘‘(ii) driver behavior and risk reduction; dures and standards, and authorized uses of law in the State in which the vehicle is reg- ‘‘(iii) roadway features and associated safe- grant proceeds for the grant program under istered. ty implications; this section. The regulations shall, at a min- ‘‘(c) APPLICABILITY AND EFFECTIVE DATE.— ‘‘(iv) roadway interactions involving all imum, authorize use of grant proceeds for Notwithstanding any other provision of law, types of vehicles and road users, such as car- the following activities: this section shall apply with respect to any truck and pedestrian-car interactions; ‘‘(A) Quality assurance testing, including action commenced on or after the date of en- ‘‘(v) parent education; and follow-up testing to monitor the effective- actment of this section without regard to ‘‘(vi) other issues identified by the Direc- ness of— whether the harm that is the subject of the tor. ‘‘(i) driver licensing and education pro- action or the conduct that caused the harm ‘‘(C) To carry out such research (pursuant grams; occurred before such date of enactment. to cooperative agreements or otherwise) and ‘‘(ii) instructor certification testing; and ‘‘(d) DEFINITIONS.—In this section: undertake such other activities as the Direc- ‘‘(iii) other statistical research designed to ‘‘(1) MOTOR VEHICLE.—The term ‘motor ve- tor determines appropriate to develop and, evaluate the performance of driver education hicle’ shall have the meaning given the term on an ongoing basis, improve the rec- and licensing programs. under section 13102(14) of this title. ommended comprehensive model. ‘‘(B) Improvement of motor vehicle driver ‘‘(2) OWNER.—The term ‘owner’ means a ‘‘(D) To provide States with technical as- education curricula. person who is— sistance for the implementation and deploy- ‘‘(C) Training of instructors for motor ve- ‘‘(A) a record or beneficial owner, lessor, or ment of the motor vehicle driver education hicle driver education programs. lessee of a motor vehicle; and licensing comprehensive model rec- ‘‘(D) Testing and evaluation of motor vehi- ‘‘(B) entitled to the use and possession of a ommended under subparagraph (B). cle driver performance. motor vehicle subject to a security interest ‘‘(E) To develop and recommend to the ‘‘(E) Public education and outreach regard- in another person; or States methods for harmonizing the presen- ing motor vehicle driver education and li- ‘‘(C) a lessor, lessee, or bailee of a motor tation of motor vehicle driver education and censing. vehicle, in the trade or business of renting or licensing with the requirements of multi- ‘‘(F) Improvements with respect to State leasing motor vehicles, having the use or stage graduated licensing systems, including graduated licensing programs, as well as re- possession of such motor vehicle, under a systems described in section 410(c)(4) of title lated enforcement activities. 23, and to demonstrate and evaluate the ef- lease, bailment, or otherwise. ‘‘(2) CONSULTATION REQUIREMENT.—In pre- ‘‘(3) PERSON.—The term ‘person’ means any fectiveness of those methods in selected scribing the regulations, the Secretary shall individual, corporation, company, limited li- States. consult with the following: ability company, trust, association, firm, ‘‘(F) To assist States with the development ‘‘(A) The Administrator of the National partnership, society, joint stock company, or and implementation of programs to certify Highway Traffic Safety Administration. any other entity. driver education instructors, including the ‘‘(B) The heads of such other departments ‘‘(4) STATE.—The term ‘State’ means each development and implementation of pro- and agencies of the United States as the Sec- of the several States, the District of Colum- posed uniform certification standards. retary considers appropriate on the basis of bia, the Commonwealth of Puerto Rico, the ‘‘(G) To provide States with financial as- relevant interests or expertise. Virgin Islands, Guam, American Samoa, the sistance under section 412 of title 23 for— ‘‘(C) Appropriate officials of the govern- Northern Mariana Islands, any other terri- ‘‘(i) the implementation of the motor vehi- ments of States and political subdivisions of tory or possession of the United States, or cle driver education and licensing com- States. any political subdivision of any such State, prehensive model recommended under sub- ‘‘(D) Other relevant experts. commonwealth, territory, or possession.’’. paragraph (B); ‘‘(c) MAXIMUM AMOUNT OF GRANT.—The (b) CLERICAL AMENDMENT.—The table of ‘‘(ii) the establishment or improved admin- maximum amount of a grant of financial as- sections at the beginning of chapter 301 of istration of multistage graduated licensing sistance for a program, project, or activity title 49, United States Code, is amended by systems; and under this section may not exceed 75 percent inserting after the item relating to section ‘‘(iii) the support of other improvements in of the total cost of such program, project, or 30105 the following: motor vehicle driver education and licensing activity.’’. programs. ‘‘30106. Rented or leased motor vehicle safety (B) CLERICAL AMENDMENT.—The table of ‘‘(H) To evaluate the effectiveness of the and responsibility.’’. sections at the beginning of such chapter is comprehensive model recommended under amended by adding at the end the following subparagraph (B). SA 2328. Mr. DEWINE submitted an new item: ‘‘(I) To examine different options for deliv- amendment intended to be proposed to ‘‘412. Driver education and licensing.’’. amendment SA 2285 proposed by Mr. ering driver education in the States. ‘‘(J) To perform such other functions relat- (2) TIME FOR PROMULGATION OF REGULA- INHOFE to the bill S. 1072, to authorize ing to motor vehicle driver education or li- TIONS.—The Secretary of Transportation funds for Federal-aid highways, high- censing as the Secretary may require. shall promulgate the regulations under sec- way safety programs, and transit pro- ‘‘(4) Not later than 42 months after the tion 412(b) of title 23, United States Code (as grams, and for other purposes; which date of the enactment of the Safe, Account- added by paragraph (1)), not later than Octo- was ordered to lie on the table; as fol- able, Flexible, and Efficient Transportation ber 1, 2005. lows: Equity Act of 2004, the Director shall submit (3) AUTHORIZATION OF APPROPRIATIONS.—Of to Congress a report on the progress made by On page 792, between lines 15 and 16, insert the amounts available to carry out section the National Office of Driver Licensing and the following: 403 of title 23, United States Code, for each of Education with respect to the functions the fiscal years 2005 through 2010, $5,000,000 PART 3—MISCELLANEOUS PROVISIONS under paragraph (3).’’. may be made available for each such fiscal SEC. 4171. DRIVER LICENSING AND EDUCATION. (b) GRANT PROGRAM FOR IMPROVEMENT OF year to carry out section 412 of title 23, (a) NATIONAL OFFICE OF DRIVER LICENSING DRIVER EDUCATION AND LICENSING.— United States Code (as added by paragraph AND EDUCATION.—Section 105 of title 49, (1) AUTHORITY.— (1)).

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(c) GRANT PROGRAM FOR PUBLIC AWARENESS published or released by the National High- Secretary of Transportation shall publish a OF ORGAN DONATION THROUGH DRIVER LICENS- way Traffic Safety Administration under the report regarding the implementation of this ING PROGRAMS.— New Car Assessment Program, information section. (1) AUTHORITY.— about safety ratings that— (b) CHILD SAFETY IN ROLLOVER CRASHES.— (A) IN GENERAL.—Chapter 4 of title 23, ‘‘(1) includes a graphic depiction of the (1) CONSUMER INFORMATION PROGRAM.—Not United States Code (as amended by sub- number of stars that corresponds to each later than 2 years after the date of the enact- section (b)), is further amended by adding at such assigned safety rating displayed in a ment of this Act, the Secretary of Transpor- the end the following new section: clearly differentiated fashion from stars in- tation shall implement a consumer informa- ‘‘SEC. 413. ORGAN DONATION THROUGH DRIVER dicating the unattained safety rating; tion program relating to child safety in roll- LICENSING. ‘‘(2) refers to frontal impact crash tests, over crashes. The Secretary shall make in- ‘‘(a) AUTHORITY.— side impact crash tests, and rollover resist- formation related to the program available ‘‘(1) IN GENERAL.—The Secretary shall ance tests (whether or not such automobile to the public following completion of the carry out a program to provide eligible re- has been assigned a safety rating for such program. cipients, by grant, with financial assistance tests), including statements that— (2) CHILD DUMMY DEVELOPMENT.— to carry out campaigns to increase public ‘‘(A) frontal impact crash test ratings are (A) IN GENERAL.—The Administrator of the awareness of, and training on, authority and based on risk of head and chest injury; National Highway Traffic Safety Adminis- procedures under State law to provide for ‘‘(B) side impact crash test ratings are tration shall initiate the development of a the donation of organs through a declaration based on risk of chest injury; and biofidelic child crash test dummy capable of recorded on a motor vehicle driver license. ‘‘(C) rollover resistance ratings are based measuring injury forces in a simulated roll- ‘‘(2) ADMINISTRATIVE OFFICE.—The Sec- on risk of rollover in the event of a single over crash. retary shall administer the program under automobile crash; (B) REPORTS.—The Secretary shall submit this section through the Director of the Na- ‘‘(3) is presented in a legible, visible, and to Congress a report on progress related to tional Office of Driver Licensing and Edu- prominent fashion and covers at least— such development— cation. ‘‘(A) 8 percent of the total area of the (i) not later than 1 year after the date of ‘‘(b) ELIGIBILITY REQUIREMENTS.— label; or the enactment of this Act; and ‘‘(1) REGULATIONS.—The Secretary shall ‘‘(B) an area with a minimum length of 4 1⁄2 (ii) not later than 3 years after the date of prescribe in regulations the eligibility re- inches and a minimum height of 3 1⁄2 inches; the enactment of this Act. quirements, application and approval proce- and dures and standards, and authorized uses of (c) REPORT ON ENHANCED VEHICLE SAFETY ‘‘(4) contains a heading titled ‘Government grant proceeds for the grant program under TECHNOLOGIES.—Not later than 2 years after Safety Information’ and a disclaimer includ- this section. the date of the enactment of this Act, the ing the following text: ‘Star ratings for fron- ‘‘(2) CONSULTATION REQUIREMENT.—In pre- Secretary of Transportation shall submit to tal impact crash tests can only be compared scribing the regulations, the Secretary shall Congress a report that describes, evaluates, to other vehicles in the same weight class consult with the following: and determines the relative effectiveness and those plus or minus 250 pounds. Side im- ‘‘(A) The Administrator of the National of— pact and rollover ratings can be compared Highway Traffic Safety Administration. (1) currently available and emerging tech- across all vehicle weights and classes. For ‘‘(B) The heads of such other departments nologies, including auto-reverse functions more information on safety and testing, and agencies of the United States as the Sec- and child-safe window switches, that are de- retary considers appropriate on the basis of please visit http://www.nhtsa.dot.gov’; and signed to prevent and reduce the number of ‘‘(h) if an automobile has not been tested relevant interests or expertise. injuries and deaths to children left unat- by the National Highway Traffic Safety Ad- ‘‘(C) Appropriate officials of the govern- tended inside parked motor vehicles, includ- ministration under the New Car Assessment ments of States and political subdivisions of ing injuries and deaths that result from Program, or safety ratings for such auto- hyperthermia or are related to power win- States. mobile have not been assigned in one or ‘‘(D) Representatives of private sector or- dows or power sunroofs; and more rating categories, a statement to that (2) currently available and emerging tech- ganizations recognized for relevant exper- effect.’’. nologies that are designed to improve the tise.’’. (b) REGULATIONS.—Not later than January (B) CLERICAL AMENDMENT.—The table of 1, 2005, the Secretary of Transportation shall performance of safety belts with respect to sections at the beginning of such chapter is prescribe regulations to implement the la- the safety of occupants aged between 4 and 8 amended by adding at the end the following beling requirements added pursuant to sub- years old. new item: section (a). (d) COMPLETION OF RULEMAKING REGARDING ‘‘413. Organ donation through driver licens- (c) CONFORMING AND TECHNICAL AMEND- POWER WINDOWS.—Not later than 180 days ing.’’. MENTS.—Section 3 of such Act is further after the date of the enactment of this Act, the Secretary of Transportation shall— (2) TIME FOR PROMULGATION OF REGULA- amended— (1) complete the rulemaking initiated by TIONS.—The Secretary of Transportation (1) in subsection (e), by striking ‘‘and’’ the National Highway Traffic Safety Admin- shall promulgate the regulations under sec- after the semicolon; and istration that is ongoing on the date of the tion 413(b) of title 23, United States Code (as (2) in subsection (f)— enactment of this Act and relates to a re- added by paragraph (1)), not later than Octo- (A) by adding ‘‘and’’ at the end of para- quirement that window switches be designed ber 1, 2005. graph (3); and to reduce the accidental closing by children (3) AUTHORIZATION OF EXPENDITURES.—Of (B) by striking the period at the end and of power windows; and the amounts available under Section inserting a semicolon. (2) issue performance-based regulations to 412(c)(3), as amended, no more than $1,000,000 (d) EFFECTIVE DATE.—The amendments take effect not later than September 1, 2006, may be utilized for this program annually. made by subsection (a) and subsection (c) (d) STUDY OF NATIONAL DRIVER EDUCATION shall take effect on a production year basis requiring that window switches or related STANDARDS.— not earlier than one year after the regula- technologies be designed to prevent the acci- (1) REQUIREMENT FOR STUDY.—The Sec- tions are prescribed, and no later than Sept. dental closing by children of power windows. retary of Transportation shall carry out a 1, 2006. (e) DATABASE ON INJURIES AND DEATHS IN study to determine whether the establish- SEC. 4173. CHILD SAFETY. NONTRAFFIC, NONCRASH EVENTS.— ment and imposition of nationwide min- (a) INCORPORATION OF CHILD DUMMIES IN (1) IN GENERAL.—The Secretary of Trans- imum standards of motor vehicle driver edu- SAFETY TESTS.— portation shall establish a new database of, cation would improve national highway traf- (1) RULEMAKING REQUIRED.—Not later than and collect data regarding, injuries and fic safety or the performance and legal com- 2 years after the date of the enactment of deaths in nontraffic, noncrash events involv- pliance of novice drivers. this Act, the Administrator of the National ing motor vehicles. The database shall in- (2) TIME FOR COMPLETION OF STUDY.—The Highway Traffic Safety Administration shall clude information regarding— Secretary shall complete the study not later conduct a rulemaking to increase utilization (A) the number, types, and proximate than 2 years after the date of the enactment of child dummies, including Hybrid-III child causes of injuries and deaths resulting from of this Act. dummies, in motor vehicle safety tests, in- such events; (3) REPORT.—The Secretary shall publish a cluding crash tests, conducted by the Admin- (B) the characteristics of motor vehicles report on the results of the study under this istration. involved in such events; section not later than 2 years after the study (2) CRITERIA.—In conducting the rule- (C) the characteristics of the motor vehicle is completed. making under subsection (a), the Adminis- operators and victims involved in such SEC. 4172. AMENDMENT OF AUTOMOBILE INFOR- trator shall select motor vehicle safety tests events; and MATION DISCLOSURE ACT. in which the inclusion of child dummies will (D) the presence or absence in motor vehi- (a) SAFETY LABELING REQUIREMENT.—Sec- lead to— cles involved in such events of advanced tion 3 of the Automobile Information Disclo- (A) increased understanding of crash dy- technologies designed to prevent such inju- sure Act (15 U.S.C. 1232) is amended by add- namics with respect to children; and ries and deaths. ing at the end the following: (B) measurably improved child safety. (2) RULEMAKING.—The Secretary shall con- ‘‘(g) if one or more safety ratings for such (3) REPORT.—Not later than one year after duct a rulemaking regarding how to struc- automobile have been assigned and formally the date of the enactment of this Act, the ture and compile the database.

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(3) AVAILABILITY.—The Secretary shall At the end, add the following: (ii) increase staffing under the SENTRI make the database available to the public. program for actual inspections and necessary TITLE VII—BORDER SECURITY administrative tasks; and SEC. 4174. SAFE INTERSECTIONS. PROVISIONS (a) IN GENERAL.—Chapter 2 of title 18, (iii) allocate greater resources to the pro- United States Code, is amended by adding at SEC. 7101. SECURE AND FAST ENTRY AT THE gram to facilitate and expedite the proc- the end the following: BORDER. essing of applications for SENTRI; and ‘‘§ 39. Traffic signal preemption transmitters (a) SHORT TITLE.—This section may be (D) the Secretary of Homeland Security ‘‘(a) OFFENSES.— cited as the ‘‘Secure and Fast Entry at the should create a pre-inspection low-risk trav- ‘‘(1) SALE.—A person who provides for sale Border Act of 2004’’ or the ‘‘SAFE Border Act eler dedicated commuter lane for pedestrian to unauthorized users a traffic signal pre- of 2004’’ . land border crossers. (b) PORTPASS PROGRAM.— emption transmitter in or affecting inter- Mrs. BOXER submitted an state or foreign commerce shall be fined not (1) FINDINGS.—Congress finds the following: SA 2331. more than $10,000, imprisoned not more than (A) Port Passenger Accelerated Service amendment intended to be proposed by 1 year, or both. System (PortPASS) is a group of pre-inspec- her to the bill S. 1072, to authorize ‘‘(2) POSSESSION.—A person who is an unau- tion technology programs used at ports of funds for Federal-aid highways, high- thorized user in possession of a traffic signal entry to facilitate the speedy passage of low- way safety programs, and transit pro- preemption transmitter in or affecting inter- risk travelers. grams, and for other purposes; which state or foreign commerce shall be fined not (B) Ports of entry constitute vital links in was ordered to lie on the table; as fol- more than $10,000, imprisoned not more than our Nation’s economic and social life. lows: (C) Southern and northern land border in- 6 months, or both. Beginning on page 460, strike line 18 and ‘‘(b) DEFINITIONS.—In this section, the fol- spections combined comprise over 80 percent all that follows through page 462, line 24, and lowing definitions apply: of the total number of inspections performed insert the following: ‘‘(1) TRAFFIC SIGNAL PREEMPTION TRANS- at all ports of entry. ‘‘(2) IDENTIFICATION OF CENTERS.—The uni- MITTER.—The term ‘traffic signal preemption (D) PortPASS programs strengthen our versity transportation centers established transmitter’ means any device or mechanism borders without impeding legitimate traffic under this section shall— that can change a traffic signal’s phase. needed for our Nation’s economic health. ‘‘(A) comply with applicable requirements ‘‘(2) UNAUTHORIZED USER.—The term ‘unau- (E) Secure Electronic Network for Trav- under subsection (c); and thorized user’ means a user of a traffic signal elers Rapid Inspection (SENTRI), a ‘‘(B) be located at the institutions of high- preemption transmitter who is not a govern- PortPASS program, incorporates an exten- er learning specified in paragraph (3). ment approved user.’’. sive screening process to move pre-screened, ‘‘(3) IDENTIFICATION OF GROUPS.—For the (b) CHAPTER ANALYSIS.—The chapter anal- low-risk travelers quickly and safely purpose of making grants under this sub- ysis for chapter 2 of title 18, United States through the inspection process while pre- section, the following grants are identified: Code, is amended by adding at the end the serving border security. There are currently ‘‘(A) GROUP A.—Group A shall consist of following: over 45,000 SENTRI participants. the 10 regional centers selected under sub- ‘‘39. Traffic signal preemption transmit- (F) PortPASS programs must expand their section (b). ters.’’. existing infrastructure to meet border man- ‘‘(B) GROUP B.—Group B shall consist of the agement issues. The success and effective- SEC. 4175. STUDY ON INCREASED SPEED LIMITS. following: (a) STUDY.— ness of the programs demonstrate they are ‘‘(i) ølllllllll¿. (1) IN GENERAL.—Not later than 2 years deserving of increased resource allocation to ‘‘(ii) ølllllllll¿. after the date of enactment of this Act, the meet growth and security challenges. ‘‘(iii) ølllllllll¿. Secretary shall conduct a study to examine (2) AMENDMENT TO IMMIGRATION AND NA- ‘‘(iv) ølllllllll¿. the effects of increased speed limits enacted TIONALITY ACT.—Section 286(q)(1)(A) of the ‘‘(v) ølllllllll¿. by States after 1995. Immigration and Nationality Act (8 U.S.C. ‘‘(vi) ølllllllll¿. (2) REQUIREMENTS.—The study shall collect 1356(q)(1)(A)) is amended adding at the end ‘‘(vii) ølllllllll¿. empirical data regarding— the following: ‘‘(viii) ølllllllll¿ (A) increases or decreases in driving speeds ‘‘(iv) The Port Passenger Accelerated Serv- ‘‘(ix) ølllllllll¿. on Interstate highways since 1995; ice System (PortPASS) is authorized as a ‘‘(x) ølllllllll¿. (B) correlations between changes in driving permanent land border inspection project ‘‘(xi) ølllllllll¿. speeds and accident, injury, and fatality under this subparagraph.’’. ‘‘(C) GROUP C.—Group C shall consist of the rates; (3) SENTRI PARTICIPATION APPROVALS.— following: (C) correlations between posted speed lim- (A) EXTENSION OF VALIDITY OF SENTRI AP- ‘‘(i) ølllllllll¿. its and observed driving speeds; PROVALS FOR PARTICIPATION.—Notwith- ‘‘(ii) ølllllllll¿. (D) the overall impact on motor vehicle standing any other provision of law, and be- ‘‘(iii) ølllllllll¿. safety resulting from the repeal of the na- ginning not later than 30 days after the date ‘‘(iv) ølllllllll¿. tional maximum speed limit in 1995; and of enactment of this Act, approval shall be ‘‘(v) ølllllllll¿. (E) such other matters as the Secretary de- issued for participation in the Secure Elec- ‘‘(vi) ølllllllll¿. termines to be appropriate. tronic Network for Travelers Rapid Inspec- ‘‘(vii) ølllllllll¿. (b) REPORT.—Not later than 1 year after tion (SENTRI), carried out by the Bureau of ‘‘(viii) ølllllllll¿. the date of completion of the study under Citizenship and Immigration Services within ø ¿ subsection (a), the Secretary shall submit to ‘‘(ix) lllllllll . the Department of Homeland Security, for ø ¿ Congress a report that describes the results ‘‘(x) lllllllll . non-commercial vehicle border crossers. ‘‘(xi) ølllllllll¿. of the study. Such approval shall be valid for not less than ‘‘(D) GROUP D.—Group D shall consist of 2 years. Mrs. BOXER submitted an the following: SA 2329. (B) PRECLUSION OF CERTAIN PERSONS.—Any amendment intended to be proposed by ‘‘(i) ølllllllll¿. person convicted of a felony or under active ‘‘(ii) ølllllllll¿. her to the bill S. 1072, to authorize criminal investigation shall be prohibited ø ¿ funds for Federal-aid highways, high- ‘‘(iii) lllllllll . from participating in the Secure Electronic ‘‘(iv) ølllllllll¿. way safety programs, and transit pro- Network for Travelers Rapid Inspection ‘‘(v) ølllllllll¿. grams, and for other purposes; which (SENTRI) program. ‘‘(vi) ølllllllll¿. was ordered to lie on the table; as fol- (4) SENSE OF CONGRESS.—It is the sense of ‘‘(vii) ølllllllll¿. lows: the Congress that— ‘‘(viii) ølllllllll¿. (A) the Department of Homeland Security On page 338, after line 13, insert the fol- must ensure the permanence of the Port Pas- lowing: SA 2332. Mr. HARKIN submitted an ‘‘(iii) $50,000,000 to the State of California senger Accelerated Service System amendment intended to be proposed to to be used for the seismic retrofit and home- (PortPASS) in the transition of PortPASS amendment SA 2285 proposed by Mr. from the Department of Justice to the De- land security protection of the Golden Gate INHOFE to the bill S. 1072, to authorize Bridge, San Francisco, California. partment of Homeland Security; (B) all land PortPASS programs should funds for Federal-aid highways, highway safety programs, and transit pro- SA 2330. Mrs. BOXER submitted an utilize interoperable technology to offer programs, and for other purposes; which amendment intended to be proposed by gram enrollees increased access at all par- was ordered to lie on the table; as fol- her to the bill S. 1072, to authorize ticipating dedicated commuter lanes; (C) the Secretary of Homeland Security lows: funds for Federal-aid highways, high- should— way safety programs, and transit pro- On page 145, strike lines 13 through 23 and (i) appoint dedicated staff with appropriate insert the following: grams, and for other purposes; which training and instruction to the Secure Elec- (a) IN GENERAL.—Not later than 1 year was ordered to lie on the table; as fol- tronic Network for Travelers Rapid Inspec- after the date of enactment of this Act, the lows: tion (SENTRI) program; Secretary shall promulgate regulations—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00114 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1071 (1) to decrease the probability of worker mitigation and air quality program to ensure penses incurred by such member for one injury; the deployment of the emission reduction round trip by such member between two lo- (2) to maintain the free flow of vehicular strategies described in clause (i). cations within the United States in connec- traffic by requiring workers whose duties tion with leave taken under the Central place the workers on, or in close proximity SA 2335. Mrs. DOLE submitted an Command Rest and Recuperation Leave Pro- to, a Federal-aid highway (as defined in sec- amendment intended to be proposed by gram during the period beginning on Sep- tion 101 of title 23, United States Code) to her to the bill S. 1072, to authorize tember 25, 2003, and ending on December 18, 2003. wear high-visibility clothing; and funds for Federal-aid highways, high- (3) to require such other worker-safety way safety programs, and transit pro- measures for workers described in paragraph SA 2337. Mr. COLEMAN (for himself (2) as the Secretary determines appropriate. grams, and for other purposes; which and Mr. DAYTON) submitted an amend- (b) VEGETATION CONTROL.—To lower oper- was ordered to lie on the table; as fol- ment intended to be proposed by him ating expenses and improve safety during lows: to the bill S. 1072, to authorize funds road construction, rehabilitation, and main- SECTION 1. TAX TREATMENT OF STATE ACQUISI- for Federal-aid highways, highway tenance, the Secretary shall strongly en- TION OF RAILROAD REAL ESTATE safety programs, and transit programs, courage State departments of transportation INVESTMENT TRUST. and for other purposes; which was or- and local transportation authorities to use (a) IN GENERAL.—If a State acquires all of dered to lie on the table; as follows: devices that have been approved by the Fed- the outstanding stock of a real estate invest- At the end, add the following new title: eral Highway Administration to control ment trust which is a non-operating class III vegetation near structures in the rights-of- railroad and substantially all of the activi- TITLE V—MISCELLANEOUS PROVISIONS way of highways. ties of which consist of the ownership, leas- SEC. 5001. REIMBURSEMENT OF CERTAIN TRANS- ing, and operation by such trust of facilities, PORTATION COSTS INCURRED BY SA 2333. Mr. HARKIN submitted an MEMBERS OF THE UNITED STATES equipment, and other property used by the ARMED FORCES ON REST AND RECU- amendment intended to be proposed to trust or other persons in railroad transpor- PERATION LEAVE. amendment SA 2285 proposed by Mr. tation, then, for purposes of section 115 of The Secretary of Defense shall reimburse a INHOFE to the bill S. 1072, to authorize the Internal Revenue Code of 1986— member of the United States Armed Forces funds for Federal-aid highways, high- (1) such activities shall be treated as the (out of funds available for the Armed Forces way safety programs, and transit pro- exercise of an essential governmental func- for operation and maintenance for the rel- tion, and grams, and for other purposes; which evant fiscal year) for transportation ex- (2) income derived from such activities penses incurred by such member for one was ordered to lie on the table; as fol- shall be treated as accruing to the State. round trip by such member between two lo- lows: (b) GAIN OR LOSS NOT RECOGNIZED ON CON- cations within the United States in connec- On page 389, between lines 15 and 16, insert VERSION.—Notwithstanding section 337(d) of tion with leave taken under the Central the following: the Internal Revenue Code of 1986, no gain or Command Rest and Recuperation Leave Pro- SEC. 18ll. PRIORITY FOR PEDESTRIAN AND BI- less shall be recognized under section 336 or gram during the period beginning on Sep- CYCLE FACILITY ENHANCEMENT 337 of such Code because of the change of sta- tember 25, 2003, and ending on December 18, PROJECTS. tus of the real estate investment trust to a 2003. Section 133(e)(5) of title 23, United States tax-exempt entity by reason of the applica- Code, is amended by adding at the end the tion of subsection (a). SA 2338. Mr. HATCH submitted an following: (c) TAX-EXEMPT FINANCING.—Any obliga- amendment intended to be proposed by ‘‘(D) PRIORITY FOR PEDESTRIAN AND BICYCLE tion issued by the entity described in sub- him to the bill S. 1072, to authorize FACILITY ENHANCEMENT PROJECTS.—The Sec- section (a) shall be treated as an obligation funds for Federal-aid highways, high- retary shall encourage States to give pri- of the State for purposes of applying section way safety programs, and transit pro- ority to pedestrian and bicycle facility en- 103 and part IV of subchapter B of chapter 1 grams, and for other purposes; which hancement projects that include a coordi- of the Internal Revenue Code of 1986. was ordered to lie on the table; as fol- nated physical activity or healthy lifestyles (d) DEFINITIONS.—For purposes of this sec- lows: program.’’. tion— (1) REAL ESTATE INVESTMENT TRUST.—The At the appropriate place, add the fol- SA 2334. Mrs. CLINTON submitted an term ‘‘real estate investment trust’’ has the lowing: amendment intended to be proposed to meaning given such term by section 856(a) of SEC. 201. ALTERNATIVE MOTOR VEHICLE CRED- the Internal Revenue Code of 1986. IT. amendment SA 2285 proposed by Mr. (a) IN GENERAL.—Subpart B of part IV of (2) NON-OPERATING CLASS III RAILROAD.— INHOFE to the bill S. 1072, to authorize subchapter A of chapter 1 (relating to foreign The term ‘‘non-operating class III railroad’’ funds for Federal-aid highways, high- tax credit, etc.) is amended by adding at the has the meaning given such term by part A end the following new section: way safety programs, and transit proof subtitle IV of title 49, United States Code grams, and for other purposes; which (49 U.S.C. 10101 et seq.) and the regulations ‘‘SEC. 30B. ALTERNATIVE MOTOR VEHICLE CRED- IT. was ordered to lie on the table; as fol- thereunder. ‘‘(a) ALLOWANCE OF CREDIT.—There shall be lows: (3) STATE.—The term ‘‘State’’ includes— allowed as a credit against the tax imposed On page 893, between lines 23 and 24, insert (A) the District of Columbia and any pos- by this chapter for the taxable year an the following: session of the United States, and amount equal to the sum of— ‘‘(C) RESPONSIBILITY OF STATES.— (B) any authority, agency, or public cor- ‘‘(1) the new qualified fuel cell motor vehi- ‘‘(i) IN GENERAL.—Each State shall be re- poration of a State. cle credit determined under subsection (b), sponsible for ensuring that subrecipients of (e) APPLICABILITY.—This section shall ‘‘(2) the new qualified hybrid motor vehicle Federal funds with the State under this sec- apply on and after the date of any acquisi- credit determined under subsection (c), and tion have emission reduction strategies for tion described in subsection (a). ‘‘(3) the new qualified alternative fuel fleets of vehicles that are— motor vehicle credit determined under sub- ‘‘(I) used in construction projects located SA 2336. Mr. COLEMAN (for himself section (d). in nonattainment and maintenance areas; and Mr. DAYTON) submitted an amend- ‘‘(b) NEW QUALIFIED FUEL CELL MOTOR VE- and ment intended to be proposed by him HICLE CREDIT.— ‘‘(II) funded under this title. to the bill S. 1072, to authorize funds ‘‘(1) IN GENERAL.—For purposes of sub- ‘‘(ii) REQUIREMENTS FOR STRATEGIES.—The for Federal-aid highways, highway section (a), the new qualified fuel cell motor emission reduction strategies referred to in safety programs, and transit programs, vehicle credit determined under this subclause (i) shall be consistent with guidance and for other purposes; which was or- section with respect to a new qualified fuel developed by the Administrator of the Envi- cell motor vehicle placed in service by the ronmental Protection Agency, in consulta- dered to lie on the table; as follows: taxpayer during the taxable year is— tion with the Secretary, including guidance At the end, add the following new title: ‘‘(A) $4,000, if such vehicle has a gross vehi- on— TITLE V—MISCELLANEOUS PROVISIONS cle weight rating of not more than 8,500 ‘‘(I) contract preferences; pounds, SEC. 5001. REIMBURSEMENT OF CERTAIN TRANS- ‘‘(II) requirements for the use of anti-idling PORTATION COSTS INCURRED BY ‘‘(B) $10,000, if such vehicle has a gross ve- equipment; MEMBERS OF THE UNITED STATES hicle weight rating of more than 8,500 pounds ‘‘(III) diesel retrofits; and ARMED FORCES ON REST AND RECU- but not more than 14,000 pounds, ‘‘(IV) such other matters as the Adminis- PERATION LEAVE. ‘‘(C) $20,000, if such vehicle has a gross ve- trator of the Environmental Protection The Secretary of Defense shall reimburse a hicle weight rating of more than 14,000 Agency, in consultation with the Secretary, member of the United States Armed Forces pounds but not more than 26,000 pounds, and determine to be appropriate. (out of funds available for the Armed Forces ‘‘(D) $40,000, if such vehicle has a gross ve- ‘‘(iii) USE OF CMAQ FUNDS.—A State may for operation and maintenance for the rel- hicle weight rating of more than 26,000 use funds made available for the congestion evant fiscal year) for transportation ex- pounds.

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‘‘(2) INCREASE FOR FUEL EFFICIENCY.— ical energy directly into electricity by com- ‘‘If percentage of the The credit amount is: ‘‘(A) IN GENERAL.—The amount determined bining oxygen with hydrogen fuel which is maximum available under paragraph (1)(A) with respect to a new stored on board the vehicle in any form and power is: qualified fuel cell motor vehicle which is a may or may not require reformation prior to At least 40 percent but less than 50 $5,000 passenger automobile or light truck shall be use, percent. increased by— ‘‘(B) which, in the case of a passenger auto- At least 50 percent but less than 60 $5,500 ‘‘(i) $1,000, if such vehicle achieves at least mobile or light truck— percent. 150 percent but less than 175 percent of the ‘‘(i) for 2002 and later model vehicles, has At least 60 percent ...... $6,000. 2002 model year city fuel economy, received a certificate of conformity under ‘‘(III) If such vehicle has a gross vehicle ‘‘(ii) $1,500, if such vehicle achieves at least the Clean Air Act and meets or exceeds the weight rating of more than 26,000 pounds: 175 percent but less than 200 percent of the equivalent qualifying California low emis- ‘‘If percentage of the The credit amount is: 2002 model year city fuel economy, sion vehicle standard under section 243(e)(2) maximum available ‘‘(iii) $2,000, if such vehicle achieves at of the Clean Air Act for that make and power is: least 200 percent but less than 225 percent of model year, and At least 20 percent but less than 30 $6,000 the 2002 model year city fuel economy, ‘‘(ii) for 2004 and later model vehicles, has percent. ‘‘(iv) $2,500, if such vehicle achieves at received a certificate that such vehicle At least 30 percent but less than 40 $7,000 least 225 percent but less than 250 percent of meets or exceeds the Bin 5 Tier II emission percent. the 2002 model year city fuel economy, level established in regulations prescribed by At least 40 percent but less than 50 $8,000 ‘‘(v) $3,000, if such vehicle achieves at least the Administrator of the Environmental percent. 250 percent but less than 275 percent of the Protection Agency under section 202(i) of the At least 50 percent but less than 60 $9,000 2002 model year city fuel economy, Clean Air Act for that make and model year percent. ‘‘(vi) $3,500, if such vehicle achieves at vehicle, At least 60 percent ...... $10,000. least 275 percent but less than 300 percent of ‘‘(C) the original use of which commences ‘‘(B) INCREASE FOR FUEL EFFICIENCY.— the 2002 model year city fuel economy, and with the taxpayer, ‘‘(i) AMOUNT.—The amount determined ‘‘(vii) $4,000, if such vehicle achieves at ‘‘(D) which is acquired for use or lease by under subparagraph (A)(i) with respect to a least 300 percent of the 2002 model year city the taxpayer and not for resale, and new qualified hybrid motor vehicle which is fuel economy. ‘‘(E) which is made by a manufacturer. a passenger automobile or light truck shall ‘‘(B) 2002 MODEL YEAR CITY FUEL ECONOMY.— ‘‘(c) NEW QUALIFIED HYBRID MOTOR VEHICLE be increased by— For purposes of subparagraph (A), the 2002 CREDIT.— ‘‘(I) $500, if such vehicle achieves at least model year city fuel economy with respect to ‘‘(1) IN GENERAL.—For purposes of sub- 125 percent but less than 150 percent of the a vehicle shall be determined in accordance section (a), the new qualified hybrid motor 2002 model year city fuel economy, with the following tables: vehicle credit determined under this sub- ‘‘(II) $1,000, if such vehicle achieves at least ‘‘(i) In the case of a passenger automobile: section with respect to a new qualified hy- 150 percent but less than 175 percent of the brid motor vehicle placed in service by the ‘‘If vehicle inertia The 2002 model year 2002 model year city fuel economy, taxpayer during the taxable year is the cred- weight class is: city fuel economy ‘‘(III) $1,500, if such vehicle achieves at it amount determined under paragraph (2). is: least 175 percent but less than 200 percent of ‘‘(2) CREDIT AMOUNT.— 1,500 or 1,750 lbs ...... 45.2 mpg the 2002 model year city fuel economy, ‘‘(A) IN GENERAL.—The credit amount de- 2,000 lbs ...... 39.6 mpg ‘‘(IV) $2,000, if such vehicle achieves at termined under this paragraph shall be de- 2,250 lbs ...... 35.2 mpg least 200 percent but less than 225 percent of termined in accordance with the following the 2002 model year city fuel economy, 2,500 lbs ...... 31.7 mpg tables: ‘‘(V) $2,500, if such vehicle achieves at least 2,750 lbs ...... 28.8 mpg ‘‘(i) In the case of a new qualified hybrid 225 percent but less than 250 percent of the 3,000 lbs ...... 26.4 mpg motor vehicle which is a passenger auto- 2002 model year city fuel economy, and 3,500 lbs ...... 22.6 mpg mobile or light truck and which provides the ‘‘(VI) $3,000, if such vehicle achieves at 4,000 lbs ...... 19.8 mpg following percentage of the maximum avail- least 250 percent of the 2002 model year city 4,500 lbs ...... 17.6 mpg able power: fuel economy. 5,000 lbs ...... 15.9 mpg ‘‘If percentage of the The credit amount is: ‘‘(ii) 2002 MODEL YEAR CITY FUEL ECONOMY.— 5,500 lbs ...... 14.4 mpg maximum available For purposes of clause (i), the 2002 model 6,000 lbs ...... 13.2 mpg power is: year city fuel economy with respect to a ve- 6,500 lbs ...... 12.2 mpg At least 4 percent but less than 10 $250 hicle shall be determined using the tables 7,000 to 8,500 lbs ...... 11.3 mpg. percent. provided in subsection (b)(2)(B) with respect ‘‘(ii) In the case of a light truck: At least 10 percent but less than 20 $500 to such vehicle. percent. The 2002 model year ‘‘(C) INCREASE FOR ACCELERATED EMISSIONS At least 20 percent but less than 30 $750 city PERFORMANCE.—The amount determined percent. under subparagraph (A)(ii) with respect to an ‘‘If vehicle inertia fuel economy is: At least 30 percent ...... $1,000. weight class is: applicable heavy duty hybrid motor vehicle 1,500 or 1,750 lbs ...... 39.4 mpg ‘‘(ii) In the case of a new qualified hybrid shall be increased by the increased credit motor vehicle which is a heavy duty hybrid 2,000 lbs ...... 35.2 mpg amount determined in accordance with the motor vehicle and which provides the fol- following tables: 2,250 lbs ...... 31.8 mpg lowing percentage of the maximum available ‘‘(i) In the case of a vehicle which has a 2,500 lbs ...... 29.0 mpg power: gross vehicle weight rating of not more than 2,750 lbs ...... 26.8 mpg ‘‘(I) If such vehicle has a gross vehicle 14,000 pounds: 3,000 lbs ...... 24.9 mpg weight rating of not more than 14,000 pounds: ‘‘If the model year is: The increased credit 3,500 lbs ...... 21.8 mpg ‘‘If percentage of the The credit amount is: amount is: 4,000 lbs ...... 19.4 mpg maximum available 2003 ...... $3,000 4,500 lbs ...... 17.6 mpg power is: 2004 ...... $2,500 5,000 lbs ...... 16.1 mpg At least 20 percent but less than 30 $1,000 2005 ...... $2,000 5,500 lbs ...... 14.8 mpg percent. 2006 ...... $1,500. 6,000 lbs ...... 13.7 mpg At least 30 percent but less than 40 $1,750 ‘‘(ii) In the case of a vehicle which has a percent. 6,500 lbs ...... 12.8 mpg gross vehicle weight rating of more than At least 40 percent but less than 50 $2,000 7,000 to 8,500 lbs ...... 12.1 mpg. 14,000 pounds but not more than 26,000 percent. ‘‘(C) VEHICLE INERTIA WEIGHT CLASS.—For pounds: At least 50 percent but less than 60 $2,250 purposes of subparagraph (B), the term ‘vehi- percent. ‘‘If the model year is: The increased credit cle inertia weight class’ has the same mean- At least 60 percent ...... $2,500. amount is: ing as when defined in regulations prescribed 2003 ...... $7,750 by the Administrator of the Environmental ‘‘(II) If such vehicle has a gross vehicle weight rating of more than 14,000 but not 2004 ...... $6,500 Protection Agency for purposes of the ad- 2005 ...... $5,250 ministration of title II of the Clean Air Act more than 26,000 pounds: 2006 ...... $4,000. (42 U.S.C. 7521 et seq.). ‘‘If percentage of the The credit amount is: ‘‘(3) NEW QUALIFIED FUEL CELL MOTOR VEHI- maximum available ‘‘(iii) In the case of a vehicle which has a CLE.—For purposes of this subsection, the power is: gross vehicle weight rating of more than term ‘new qualified fuel cell motor vehicle’ At least 20 percent but less than 30 $4,000 26,000 pounds: means a motor vehicle— percent. ‘‘If the model year is: The increased credit ‘‘(A) which is propelled by power derived At least 30 percent but less than 40 $4,500 amount is: from one or more cells which convert chem- percent. 2003 ...... $12,000

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00116 Fmt 4624 Sfmt 0655 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1073 ‘‘If the model year is: The increased credit ‘‘(C) the original use of which commences ‘‘(ii) in the case of a 90/10 mixed-fuel vehi- amount is: with the taxpayer, cle, 90 percent of the credit which would 2004 ...... $10,000 ‘‘(D) which is acquired for use or lease by have been allowed under this subsection if 2005 ...... $8,000 the taxpayer and not for resale, and such vehicle was a qualified alternative fuel 2006 ...... $6,000. ‘‘(E) which is made by a manufacturer. motor vehicle. ‘‘(D) DEFINITIONS.— ‘‘(B) MIXED-FUEL VEHICLE.—For purposes of ‘‘(i) APPLICABLE HEAVY DUTY HYBRID MOTOR ‘‘(d) NEW QUALIFIED ALTERNATIVE FUEL MOTOR VEHICLE CREDIT.— this subsection, the term ‘mixed-fuel vehicle’ VEHICLE.—For purposes of subparagraph (C), means any motor vehicle described in sub- the term ‘applicable heavy duty hybrid ‘‘(1) ALLOWANCE OF CREDIT.—Except as provided in paragraph (5), the new qualified al- paragraph (C) or (D) of paragraph (3), motor vehicle’ means a heavy duty hybrid which— motor vehicle which is powered by an inter- ternative fuel motor vehicle credit determined under this subsection is an amount ‘‘(i) is certified by the manufacturer as nal combustion or heat engine which is cer- being able to perform efficiently in normal tified as meeting the emission standards set equal to the applicable percentage of the incremental cost of any new qualified alter- operation on a combination of an alternative in the regulations prescribed by the Admin- fuel and a petroleum-based fuel, istrator of the Environmental Protection native fuel motor vehicle placed in service by the taxpayer during the taxable year. ‘‘(ii) either— Agency for 2007 and later model year diesel ‘‘(I) has received a certificate of con- ‘‘(2) APPLICABLE PERCENTAGE.—For pur- heavy duty engines, or for 2008 and later formity under the Clean Air Act, or poses of paragraph (1), the applicable per- model year ottocycle heavy duty engines, as ‘‘(II) has received an order certifying the centage with respect to any new qualified al- applicable. vehicle as meeting the same requirements as ternative fuel motor vehicle is— ‘‘(ii) HEAVY DUTY HYBRID MOTOR VEHICLE.— vehicles which may be sold or leased in Cali- ‘‘(A) 40 percent, plus For purposes of this paragraph, the term fornia and meets or exceeds the low emission ‘‘(B) 30 percent, if such vehicle— ‘heavy duty hybrid motor vehicle’ means a vehicle standard under section 88.105-94 of ‘‘(i) has received a certificate of con- new qualified hybrid motor vehicle which title 40, Code of Federal Regulations, for formity under the Clean Air Act and meets has a gross vehicle weight rating of more that make and model year vehicle, or exceeds the most stringent standard avail- than 10,000 pounds and draws propulsion en- ‘‘(iii) the original use of which commences able for certification under the Clean Air Act ergy from both of the following onboard with the taxpayer, sources of stored energy: for that make and model year vehicle (other ‘‘(iv) which is acquired by the taxpayer for ‘‘(I) An internal combustion or heat engine than a zero emission standard), or use or lease, but not for resale, and using consumable fuel which, for 2002 and ‘‘(ii) has received an order certifying the ‘‘(v) which is made by a manufacturer. later model vehicles, has received a certifi- vehicle as meeting the same requirements as ‘‘(C) 75/25 MIXED-FUEL VEHICLE.—For pur- cate of conformity under the Clean Air Act vehicles which may be sold or leased in Cali- poses of this subsection, the term ‘75/25 and meets or exceeds a level of not greater fornia and meets or exceeds the most strin- mixed-fuel vehicle’ means a mixed-fuel vehi- than 3.0 grams per brake horsepower–hour of gent standard available for certification cle which operates using at least 75 percent oxides of nitrogen and 0.01 per brake horse- under the State laws of California (enacted alternative fuel and not more than 25 per- power–hour of particulate matter. in accordance with a waiver granted under cent petroleum-based fuel. ‘‘(II) A rechargeable energy storage sys- section 209(b) of the Clean Air Act) for that ‘‘(D) 90/10 MIXED-FUEL VEHICLE.—For pur- tem. make and model year vehicle (other than a poses of this subsection, the term ‘90/10 ‘‘(iii) MAXIMUM AVAILABLE POWER.— zero emission standard). mixed-fuel vehicle’ means a mixed-fuel vehi- ‘‘(I) PASSENGER AUTOMOBILE OR LIGHT ‘‘(3) INCREMENTAL COST.—For purposes of cle which operates using at least 90 percent TRUCK.—For purposes of subparagraph (A)(i), this subsection, the incremental cost of any alternative fuel and not more than 10 per- the term ‘maximum available power’ means new qualified alternative fuel motor vehicle cent petroleum-based fuel. the maximum power available from the re- is equal to the amount of the excess of the ‘‘(e) APPLICATION WITH OTHER CREDITS.— chargeable energy storage system, during a manufacturer’s suggested retail price for The credit allowed under subsection (a) for standard 10 second pulse power or equivalent such vehicle over such price for a gasoline or any taxable year shall not exceed the excess test, divided by such maximum power and diesel fuel motor vehicle of the same model, (if any) of— the SAE net power of the heat engine. to the extent such amount does not exceed— ‘‘(1) the regular tax for the taxable year re- ‘‘(II) HEAVY DUTY HYBRID MOTOR VEHICLE.— ‘‘(A) $5,000, if such vehicle has a gross vehi- duced by the sum of the credits allowable For purposes of subparagraph (A)(ii), the cle weight rating of not more than 8,500 under subpart A and sections 27, 29, and 30, term ‘maximum available power’ means the pounds, over maximum power available from the re- ‘‘(B) $10,000, if such vehicle has a gross ve- ‘‘(2) the tentative minimum tax for the chargeable energy storage system, during a hicle weight rating of more than 8,500 pounds taxable year. standard 10 second pulse power or equivalent but not more than 14,000 pounds, ‘‘(f) OTHER DEFINITIONS AND SPECIAL test, divided by the vehicle’s total traction ‘‘(C) $25,000, if such vehicle has a gross ve- RULES.—For purposes of this section— power. The term ‘total traction power’ hicle weight rating of more than 14,000 ‘‘(1) CONSUMABLE FUEL.—The term means the sum of the peak power from the pounds but not more than 26,000 pounds, and ‘consumable fuel’ means any solid, liquid, or rechargeable energy storage system and the ‘‘(D) $40,000, if such vehicle has a gross ve- gaseous matter which releases energy when heat engine peak power of the vehicle, ex- hicle weight rating of more than 26,000 consumed by an auxiliary power unit. cept that if such storage system is the sole pounds. ‘‘(2) MOTOR VEHICLE.—The term ‘motor ve- means by which the vehicle can be driven, ‘‘(4)NEW QUALIFIED ALTERNATIVE FUEL hicle’ has the meaning given such term by the total traction power is the peak power of MOTOR VEHICLE.—For purposes of this subsection 30(c)(2). such storage system. section— ‘‘(3) CITY FUEL ECONOMY.—The city fuel ‘‘(3) NEW QUALIFIED HYBRID MOTOR VEHI- ‘‘(A) IN GENERAL.—The term ‘new qualified economy with respect to any vehicle shall be CLE.—For purposes of this subsection, the alternative fuel motor vehicle’ means any measured in a manner which is substantially term ‘new qualified hybrid motor vehicle’ motor vehicle— similar to the manner city fuel economy is means a motor vehicle— ‘‘(i) which is only capable of operating on measured in accordance with procedures ‘‘(A) which draws propulsion energy from an alternative fuel, under part 600 of subchapter Q of chapter I of onboard sources of stored energy which are ‘‘(ii) the original use of which commences title 40, Code of Federal Regulations, as in both— with the taxpayer, effect on the date of the enactment of this ‘‘(i) an internal combustion or heat engine ‘‘(iii) which is acquired by the taxpayer for section. using combustible fuel, and use or lease, but not for resale, and ‘‘(4) OTHER TERMS.—The terms ‘auto- ‘‘(ii) a rechargeable energy storage system, ‘‘(iv) which is made by a manufacturer. mobile’, ‘passenger automobile’, ‘light ‘‘(B) which, in the case of a passenger auto- ‘‘(B) ALTERNATIVE FUEL.—The term ‘alter- truck’, and ‘manufacturer’ have the mean- mobile or light truck— native fuel’ means compressed natural gas, ings given such terms in regulations pre- ‘‘(i) for 2002 and later model vehicles, has liquefied natural gas, liquefied petroleum scribed by the Administrator of the Environ- received a certificate of conformity under gas, hydrogen, and any liquid at least 85 per- mental Protection Agency for purposes of the Clean Air Act and meets or exceeds the cent of the volume of which consists of the administration of title II of the Clean equivalent qualifying California low emis- methanol. Air Act (42 U.S.C. 7521 et seq.). sion vehicle standard under section 243(e)(2) ‘‘(5) CREDIT FOR MIXED-FUEL VEHICLES.— ‘‘(5) REDUCTION IN BASIS.—For purposes of of the Clean Air Act for that make and ‘‘(A) IN GENERAL.—In the case of a mixed- this subtitle, the basis of any property for model year, and fuel vehicle placed in service by the taxpayer which a credit is allowable under subsection ‘‘(ii) for 2004 and later model vehicles, has during the taxable year, the credit deter- (a) shall be reduced by the amount of such received a certificate that such vehicle mined under this subsection is an amount credit so allowed (determined without regard meets or exceeds the Bin 5 Tier II emission equal to— to subsection (e)). level established in regulations prescribed by ‘‘(i) in the case of a 75/25 mixed-fuel vehi- ‘‘(6) NO DOUBLE BENEFIT.—The amount of the Administrator of the Environmental cle, 70 percent of the credit which would any deduction or other credit allowable Protection Agency under section 202(i) of the have been allowed under this subsection if under this chapter— Clean Air Act for that make and model year such vehicle was a qualified alternative fuel ‘‘(A) for any incremental cost taken into vehicle, motor vehicle, and account in computing the amount of the

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credit determined under subsection (d) shall ‘‘(h) TERMINATION.—This section shall not (1) IN GENERAL.—Section 30(c)(1)(A) (defin- be reduced by the amount of such credit at- apply to any property purchased after— ing qualified electric vehicle) is amended to tributable to such cost, and ‘‘(1) in the case of a new qualified fuel cell read as follows: ‘‘(B) with respect to a vehicle described motor vehicle (as described in subsection ‘‘(A) which is— under subsection (b) or (c), shall be reduced (b)), December 31, 2011, and ‘‘(i) operated solely by use of a battery or by the amount of credit allowed under sub- ‘‘(2) in the case of any other property, De- battery pack, or section (a) for such vehicle for the taxable cember 31, 2006.’’. ‘‘(ii) powered primarily through the use of year. (b) CONFORMING AMENDMENTS.— an electric battery or battery pack using a ‘‘(7) PROPERTY USED BY TAX-EXEMPT ENTI- (1) Section 1016(a) is amended by striking flywheel or capacitor which stores energy TIES.—In the case of a credit amount which ‘‘and’’ at the end of paragraph (27), by strik- produced by an electric motor through re- is allowable with respect to a motor vehicle ing the period at the end of paragraph (28) generative braking to assist in vehicle oper- which is acquired by an entity exempt from and inserting ‘‘, and’’, and by adding at the ation,’’. tax under this chapter, the person which end the following new paragraph: (2) LEASED VEHICLES.—Section 30(c)(1)(C) is sells or leases such vehicle to the entity ‘‘(29) to the extent provided in section amended by inserting ‘‘or lease’’ after ‘‘use’’. shall be treated as the taxpayer with respect 30B(f)(5).’’. (3) CONFORMING AMENDMENTS.— to the vehicle for purposes of this section (2) Section 55(c)(2) is amended by inserting (A) Subsections (a), (b)(2), and (c) of sec- and the credit shall be allowed to such per- ‘‘30B(e),’’ after ‘‘30(b)(3)’’. tion 30 are each amended by inserting ‘‘bat- son, but only if the person clearly discloses (3) Section 6501(m) is amended by inserting tery’’ after ‘‘qualified’’ each place it appears. to the entity at the time of any sale or lease ‘‘30B(f)(10),’’ after ‘‘30(d)(4),’’. (B) The heading of subsection (c) of section the specific amount of any credit otherwise (4) The table of sections for subpart B of 30 is amended by inserting ‘‘BATTERY’’ after allowable to the entity under this section. part IV of subchapter A of chapter 1 is ‘‘QUALIFIED’’. ‘‘(8) RECAPTURE.—The Secretary shall, by amended by inserting after the item relating (C) The heading of section 30 is amended by regulations, provide for recapturing the ben- to section 30A the following new item: inserting ‘‘battery’’ after ‘‘qualified’’. efit of any credit allowable under subsection ‘‘Sec. 30B. Alternative motor vehicle (D) The item relating to section 30 in the (a) with respect to any property which ceases credit.’’. table of sections for subpart B of part IV of to be property eligible for such credit (in- (c) EFFECTIVE DATE.—The amendments subchapter A of chapter 1 is amended by including recapture in the case of a lease pe- made by this section shall apply to property serting ‘‘battery’’ after ‘‘qualified’’. riod of less than the economic life of a vehi- placed in service after the date of the enact- (E) Section 179A(c)(3) is amended by insert- cle). ment of this Act, in taxable years ending ing ‘‘battery’’ before ‘‘electric’’. ‘‘(9) PROPERTY USED OUTSIDE UNITED after such date. (F) The heading of paragraph (3) of section STATES, ETC., NOT QUALIFIED.—No credit shall SEC. 202. MODIFICATION OF CREDIT FOR QUALI- 179A(c) is amended by inserting ‘‘BATTERY’’ be allowed under subsection (a) with respect FIED ELECTRIC VEHICLES. before ‘‘ELECTRIC’’. to any property referred to in section 50(b) or (a) AMOUNT OF CREDIT.— (c) ADDITIONAL SPECIAL RULES.—Section with respect to the portion of the cost of any (1) IN GENERAL.—Section 30(a) (relating to property taken into account under section allowance of credit) is amended by striking 30(d) (relating to special rules) is amended by 179. ‘‘10 percent of’’. adding at the end the following new paragraphs: ‘‘(10) ELECTION TO NOT TAKE CREDIT.—No (2) LIMITATION OF CREDIT ACCORDING TO ‘‘(5) NO DOUBLE BENEFIT.—The amount of credit shall be allowed under subsection (a) TYPE OF VEHICLE.—Section 30(b) (relating to for any vehicle if the taxpayer elects to not limitations) is amended— any deduction or other credit allowable have this section apply to such vehicle. (A) by striking paragraphs (1) and (2) and under this chapter for any cost taken into ‘‘(11) CARRYBACK AND CARRYFORWARD AL- inserting the following new paragraph: account in computing the amount of the LOWED.— ‘‘(1) LIMITATION ACCORDING TO TYPE OF VE- credit determined under subsection (a) shall ‘‘(A) IN GENERAL.—If the credit amount al- HICLE.—The amount of the credit allowed be reduced by the amount of such credit at- lowable under subsection (a) for a taxable under subsection (a) for any vehicle shall not tributable to such cost. year exceeds the amount of the limitation exceed the greatest of the following amounts ‘‘(6) PROPERTY USED BY TAX-EXEMPT ENTI- under subsection (e) for such taxable year (in applicable to such vehicle: TIES.—In the case of a credit amount which this paragraph referred to as the ‘unused ‘‘(A) In the case of a vehicle which con- is allowable with respect to a vehicle which credit year’), such excess shall be allowed as forms to the Motor Vehicle Safety Standard is acquired by an entity exempt from tax a credit carryback for each of the 3 taxable 500 prescribed by the Secretary of Transpor- under this chapter, the person which sells or years beginning after the date of the enact- tation, as in effect on the date of the enact- leases such vehicle to the entity shall be ment of this paragraph, which precede the ment of the Energy Tax Incentives Act of treated as the taxpayer with respect to the unused credit year and a credit carryforward 2003, the lesser of— vehicle for purposes of this section and the for each of the 20 taxable years which suc- ‘‘(i) 10 percent of the manufacturer’s sug- credit shall be allowed to such person, but ceed the unused credit year. gested retail price of the vehicle, or only if the person clearly discloses to the en- ‘‘(B) RULES.—Rules similar to the rules of ‘‘(ii) $1,500. tity at the time of any sale or lease the spe- section 39 shall apply with respect to the ‘‘(B) In the case of a vehicle not described cific amount of any credit otherwise allow- credit carryback and credit carryforward in subparagraph (A) with a gross vehicle able to the entity under this section. under subparagraph (A). weight rating not exceeding 8,500 pounds— ‘‘(7) CARRYBACK AND CARRYFORWARD AL- ‘‘(12) INTERACTION WITH AIR QUALITY AND ‘‘(i) $3,500, or LOWED.— MOTOR VEHICLE SAFETY STANDARDS.—Unless ‘‘(ii) $6,000, if such vehicle is— ‘‘(A) IN GENERAL.—If the credit amount al- otherwise provided in this section, a motor ‘‘(I) capable of a driving range of at least lowable under subsection (a) for a taxable vehicle shall not be considered eligible for a 100 miles on a single charge of the vehicle’s year exceeds the amount of the limitation credit under this section unless such vehicle rechargeable batteries as measured pursuant under subsection (b)(2) for such taxable year is in compliance with— to the urban dynamometer schedules under (in this paragraph referred to as the ‘unused ‘‘(A) the applicable provisions of the Clean appendix I to part 86 of title 40, Code of Fed- credit year’), such excess shall be allowed as Air Act for the applicable make and model eral Regulations, or a credit carryback for each of the 3 taxable year of the vehicle (or applicable air quality ‘‘(II) capable of a payload capacity of at years beginning after the date of the enact- provisions of State law in the case of a State least 1,000 pounds. ment of this paragraph, which precede the which has adopted such provision under a ‘‘(C) In the case of a vehicle with a gross unused credit year and a credit carryforward waiver under section 209(b) of the Clean Air vehicle weight rating exceeding 8,500 but not for each of the 20 taxable years which suc- Act), and exceeding 14,000 pounds, $10,000. ceed the unused credit year. ‘‘(B) the motor vehicle safety provisions of ‘‘(D) In the case of a vehicle with a gross ‘‘(B) RULES.—Rules similar to the rules of sections 30101 through 30169 of title 49, vehicle weight rating exceeding 14,000 but section 39 shall apply with respect to the United States Code. not exceeding 26,000 pounds, $20,000. credit carryback and credit carryforward ‘‘(g) REGULATIONS.— ‘‘(E) In the case of a vehicle with a gross under subparagraph (A).’’. ‘‘(1) IN GENERAL.—Except as provided in vehicle weight rating exceeding 26,000 (d) EFFECTIVE DATE.—The amendments paragraph (2), the Secretary shall promul- pounds, $40,000.’’, and made by this section shall apply to property gate such regulations as necessary to carry (B) by redesignating paragraph (3) as para- placed in service after the date of the enact- out the provisions of this section. graph (2). ment of this Act, in taxable years ending ‘‘(2) COORDINATION IN PRESCRIPTION OF CER- (3) CONFORMING AMENDMENTS.— after such date. TAIN REGULATIONS.—The Secretary of the (A) Section 53(d)(1)(B)(iii) is amended by Treasury, in coordination with the Secretary striking ‘‘section 30(b)(3)(B)’’ and inserting SEC. 203. CREDIT FOR INSTALLATION OF ALTER- NATIVE FUELING STATIONS. of Transportation and the Administrator of ‘‘section 30(b)(2)(B)’’. the Environmental Protection Agency, shall (3) Section 55(c)(2), as amended by this Act, (a) IN GENERAL.—Subpart B of part IV of prescribe such regulations as necessary to is amended by striking ‘‘30(b)(3)’’ and insert- subchapter A of chapter 1 (relating to foreign determine whether a motor vehicle meets ing ‘‘30(b)(2)’’. tax credit, etc.), as amended by this Act, is the requirements to be eligible for a credit (b) QUALIFIED BATTERY ELECTRIC VEHI- amended by adding at the end the following under this section. CLE.— new section:

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‘‘SEC. 30C. CLEAN-FUEL VEHICLE REFUELING ‘‘(2) RULES.—Rules similar to the rules of it for any taxable year is the applicable PROPERTY CREDIT. section 39 shall apply with respect to the amount for each gasoline gallon equivalent ‘‘(a) CREDIT ALLOWED.—There shall be al- credit carryforward under paragraph (1). of alternative fuel sold at retail by the tax- lowed as a credit against the tax imposed by ‘‘(j) SPECIAL RULES.—Rules similar to the payer during such year as a fuel to propel this chapter for the taxable year an amount rules of paragraphs (4) and (5) of section any qualified motor vehicle. equal to 50 percent of the amount paid or in- 179A(e) shall apply. ‘‘(b) DEFINITIONS.—For purposes of this sec- curred by the taxpayer during the taxable ‘‘(k) REGULATIONS.—The Secretary shall tion— year for the installation of qualified clean- prescribe such regulations as necessary to ‘‘(1) APPLICABLE AMOUNT.—The term ‘appli- fuel vehicle refueling property. carry out the provisions of this section. cable amount’ means the amount determined ‘‘(l) TERMINATION.—This section shall not ‘‘(b) LIMITATION.—The credit allowed under in accordance with the following table: subsection (a)— apply to any property placed in service— ‘‘(1) with respect to any retail clean-fuel ‘‘(1) in the case of property relating to hy- ‘‘In the case of any The applicable vehicle refueling property, shall not exceed drogen, after December 31, 2011, and taxable year ending amount is— $30,000, and ‘‘(2) in the case of any other property, after in— ‘‘(2) with respect to any residential clean- December 31, 2007.’’. 2003 ...... 30 cents fuel vehicle refueling property, shall not ex- (b) MODIFICATIONS TO EXTENSION OF DEDUC- ceed $1,000. TION FOR CERTAIN REFUELING PROPERTY.— 2004 ...... 40 cents ‘‘(c) YEAR CREDIT ALLOWED.—The credit al- (1) IN GENERAL.—Subsection (f) of section 2005 and 2006 ...... 50 cents. 179A is amended to read as follows: lowed under subsection (a) shall be allowed ‘‘(2) ALTERNATIVE FUEL.—The term ‘alter- ‘‘(f) TERMINATION.—This section shall not in the taxable year in which the qualified native fuel’ means compressed natural gas, apply to any property placed in service— clean-fuel vehicle refueling property is liquefied natural gas, liquefied petroleum ‘‘(1) in the case of property relating to hy- placed in service by the taxpayer. gas, hydrogen, and any liquid at least 85 per- drogen, after December 31, 2011, and ‘‘(d) DEFINITIONS.—For purposes of this sec- cent of the volume of which consists of ‘‘(2) in the case of any other property, after tion— methanol or ethanol. December 31, 2007.’’. ‘‘(1) QUALIFIED CLEAN-FUEL VEHICLE RE- ‘‘(3) GASOLINE GALLON EQUIVALENT.—The XTENSION OF PHASEOUT.—Section FUELING PROPERTY.—The term ‘qualified (2) E term ‘gasoline gallon equivalent’ means, 179A(b)(1)(B), as amended by section 606(a) of clean-fuel vehicle refueling property’ has the with respect to any alternative fuel, the the Job Creation and Worker Assistance Act same meaning given such term by section amount (determined by the Secretary) of of 2002, is amended— 179A(d). such fuel having a Btu content of 114,000. (A) by striking ‘‘calendar year 2004’’ in ‘‘(2) RESIDENTIAL CLEAN-FUEL VEHICLE RE- ‘‘(4) QUALIFIED MOTOR VEHICLE.—The term FUELING PROPERTY.—The term ‘residential clause (i) and inserting ‘‘calendar years 2004 ‘qualified motor vehicle’ means any motor clean-fuel vehicle refueling property’ means and 2005 (calendar years 2004 through 2009 in vehicle (as defined in section 30(c)(2)) which qualified clean-fuel vehicle refueling prop- the case of property relating to hydrogen) ’’, meets any applicable Federal or State emis- erty which is installed on property which is (B) by striking ‘‘2005’’ in clause (ii) and in- sions standards with respect to each fuel by used as the principal residence (within the serting ‘‘2006 (calendar year 2010 in the case which such vehicle is designed to be pro- meaning of section 121) of the taxpayer. of property relating to hydrogen)’’, and pelled. (C) by striking ‘‘2006’’ in clause (iii) and in- ‘‘(3) RETAIL CLEAN-FUEL VEHICLE REFUELING ‘‘(5) SOLD AT RETAIL.— serting ‘‘2007 (calendar year 2011 in the case PROPERTY.—The term ‘retail clean-fuel vehi- ‘‘(A) IN GENERAL.—The term ‘sold at retail’ cle refueling property’ means qualified of property relating to hydrogen)’’. means the sale, for a purpose other than re- (c) INCENTIVE FOR PRODUCTION OF HYDRO- clean-fuel vehicle refueling property which is sale, after manufacture, production, or im- GEN AT QUALIFIED CLEAN-FUEL VEHICLE RE- installed on property (other than property portation. FUELING PROPERTY.—Section 179A(d) (defin- described in paragraph (2)) used in a trade or ‘‘(B) USE TREATED AS SALE.—If any person ing qualified clean-fuel vehicle refueling business of the taxpayer. uses alternative fuel (including any use after property) is amended by adding at the end ‘‘(e) APPLICATION WITH OTHER CREDITS.— importation) as a fuel to propel any qualified the following new flush sentence: The credit allowed under subsection (a) for alternative fuel motor vehicle (as defined in any taxable year shall not exceed the excess ‘‘In the case of clean-burning fuel which is section 30B(d)(4)) before such fuel is sold at (if any) of— hydrogen produced from another clean-burn- retail, then such use shall be treated in the ‘‘(1) the regular tax for the taxable year re- ing fuel, paragraph (3)(A) shall be applied by same manner as if such fuel were sold at reduced by the sum of the credits allowable substituting ‘production, storage, or dis- tail as a fuel to propel such a vehicle by such under subpart A and sections 27, 29, 30, and pensing’ for ‘storage or dispensing’ both person. 30B, over places it appears.’’. ‘‘(c) NO DOUBLE BENEFIT.—The amount of ‘‘(2) the tentative minimum tax for the (d) CONFORMING AMENDMENTS.—(1) Section any deduction or other credit allowable taxable year. 1016(a), as amended by this Act, is amended under this chapter for any fuel taken into ‘‘(f) BASIS REDUCTION.—For purposes of this by striking ‘‘and’’ at the end of paragraph account in computing the amount of the title, the basis of any property shall be re- (28), by striking the period at the end of credit determined under subsection (a) shall duced by the portion of the cost of such prop- paragraph (29) and inserting ‘‘, and’’, and by be reduced by the amount of such credit at- erty taken into account under subsection (a). adding at the end the following new para- tributable to such fuel. ‘‘(g) NO DOUBLE BENEFIT.—No deduction graph: shall be allowed under section 179A with re- ‘‘(30) to the extent provided in section ‘‘(d) PASS-THRU IN THE CASE OF ESTATES spect to any property with respect to which 30C(f).’’. AND TRUSTS.—Under regulations prescribed a credit is allowed under subsection (a). (2) Section 55(c)(2), as amended by this Act, by the Secretary, rules similar to the rules ‘‘(h) REFUELING PROPERTY INSTALLED FOR is amended by inserting ‘‘30C(e),’’ after of subsection (d) of section 52 shall apply. ‘‘30B(e)’’. TAX-EXEMPT ENTITIES.—In the case of quali- ‘‘(e) TERMINATION.—This section shall not (3) The table of sections for subpart B of fied clean-fuel vehicle refueling property in- apply to any fuel sold at retail after Decem- part IV of subchapter A of chapter 1, as stalled on property owned or used by an enti- ber 31, 2006.’’. ty exempt from tax under this chapter, the amended by this Act, is amended by insert- person which installs such refueling property ing after the item relating to section 30B the (b) CREDIT TREATED AS BUSINESS CREDIT.— for the entity shall be treated as the tax- following new item: Section 38(b) (relating to current year busi- payer with respect to the refueling property ‘‘Sec. 30C. Clean-fuel vehicle refueling ness credit) is amended by striking ‘‘plus’’ at for purposes of this section (and such refuel- property credit.’’. the end of paragraph (14), by striking the period at the end of paragraph (15) and inserting property shall be treated as retail clean- (e) EFFECTIVE DATE.—The amendments ing ‘‘, plus’’, and by adding at the end the fuel vehicle refueling property) and the cred- made by this section shall apply to property following new paragraph: it shall be allowed to such person, but only placed in service after the date of the enact- ‘‘(16) the alternative fuel retail sales credit if the person clearly discloses to the entity ment of this Act, in taxable years ending determined under section 40A(a).’’. in any installation contract the specific after such date. amount of the credit allowable under this SEC. 204. CREDIT FOR RETAIL SALE OF ALTER- (c) TRANSITIONAL RULE.—Section 39(d) (re- section. NATIVE FUELS AS MOTOR VEHICLE lating to transitional rules) is amended by ‘‘(i) CARRYFORWARD ALLOWED.— FUEL. adding at the end the following new para- ‘‘(1) IN GENERAL.—If the credit amount al- (a) IN GENERAL.—Subpart D of part IV of graph: lowable under subsection (a) for a taxable subchapter A of chapter 1 (relating to busi- ‘‘(11) NO CARRYBACK OF SECTION 40A CREDIT year exceeds the amount of the limitation ness related credits) is amended by inserting BEFORE EFFECTIVE DATE.—No portion of the under subsection (e) for such taxable year after section 40 the following new section: unused business credit for any taxable year (referred to as the ‘unused credit year’ in ‘‘SEC. 40A. CREDIT FOR RETAIL SALE OF ALTER- which is attributable to the alternative fuel this subsection), such excess shall be allowed NATIVE FUELS AS MOTOR VEHICLE retail sales credit determined under section as a credit carryforward for each of the 20 FUEL. 40A(a) may be carried back to a taxable year taxable years following the unused credit ‘‘(a) GENERAL RULE.—For purposes of sec- ending on or before the date of the enact- year. tion 38, the alternative fuel retail sales cred- ment of such section.’’.

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(d) CLERICAL AMENDMENT.—The table of $5.70 in economic benefits because of reduced ‘‘(1) IN GENERAL.—The credit allowed under sections for subpart D of part IV of sub- delays, improved safety, and reduced vehicle subsection (a) for any taxable year shall not chapter A of chapter 1 is amended by insert- operating costs. exceed the excess of— ing after the item relating to section 40 the (9) The proposed increases to the Transpor- ‘‘(A) the sum of the regular tax liability following new item: tation Equity Act for the 21st Century (TEA– (as defined in section 26(b)) plus the tax im- ‘‘Sec. 40A. Credit for retail sale of alter- 21) will not be sufficient to compensate for posed by section 55, over native fuels as motor vehicle the Nation’s transportation infrastructure ‘‘(B) the sum of the credits allowable under fuel.’’. deficit. this part (other than this subpart and sub- (b) PURPOSE.—The purpose of this subtitle part C). (e) EFFECTIVE DATE.—The amendments is to provide financing for long-term infra- ‘‘(2) CARRYOVER OF UNUSED CREDIT.—If the made by this section shall apply to fuel sold structure capital investments that are not credit allowable under subsection (a) exceeds at retail after the date of the enactment of currently being met by existing transpor- the limitation imposed by paragraph (1) for this Act, in taxable years ending after such tation and infrastructure investment pro- such taxable year, such excess shall be car- date. grams, including mega-projects, projects of ried to the succeeding taxable year and Mr. KYL submitted an national significance and high priority added to the credit allowable under sub- SA 2339. section (a) for such taxable year. amendment intended to be proposed by projects, multi-State transportation corridors, intermodal transportation facilities, ‘‘(d) CREDIT INCLUDED IN GROSS INCOME.— him to the bill S. 1072, to authorize replacement and reconstruction of deficient Gross income includes the amount of the funds for Federal-aid highways, high- and obsolete bridges, interstate highways, credit allowed to the taxpayer under this way safety programs, and transit pro- public transportation systems, and rail sys- section (determined without regard to sub- grams, and for other purposes; which tems. section (c)) and the amount so included shall be treated as interest income. SEC. 5673. CREDIT TO HOLDERS OF BUILD AMER- was ordered to lie on the table; as fol- ‘‘(e) BUILD AMERICA BOND.—For purposes of ICA BONDS. lows: this part, the term ‘Build America bond’ (a) IN GENERAL.—Part IV of subchapter A Strike section 5442. means any bond issued as part of an issue of chapter 1 (relating to credits against tax) if— is amended by adding at the end the fol- SA 2342. Mr. TALENT (for himself, ‘‘(1) the net spendable proceeds from the lowing new subpart: Mr. WYDEN, Mr. CORZINE, and Mr. COLE- sale of such issue are to be used— ‘‘Subpart H—Nonrefundable Credit for MAN) submitted an amendment in- ‘‘(A) for expenditures incurred after the Holders of Build America Bonds tended to be proposed by him to the date of the enactment of this section for any ‘‘Sec. 54. Credit to holders of Build America bill S. 1072, to authorize funds for Fed- qualified project, or bonds. ‘‘(B) for deposit in the Build America Trust eral-aid highways, highway safety pro- ‘‘SEC. 54. CREDIT TO HOLDERS OF BUILD AMER- Account for repayment of Build America grams, and transit programs, and for ICA BONDS. bonds at maturity, other purposes; which was ordered to ‘‘(a) ALLOWANCE OF CREDIT.—In the case of ‘‘(2) the bond is issued by the Transpor- lie on the table; as follows: a taxpayer who holds a Build America bond tation Finance Corporation, is in registered On page 1298, after line 24, add the fol- on a credit allowance date of such bond form, and meets the Build America bond lim- lowing: which occurs during the taxable year, there itation requirements under subsection (g), shall be allowed as a credit against the tax ‘‘(3) the Transportation Finance Corpora- Subtitle H—Build America Bonds imposed by this chapter for such taxable tion certifies that it meets the State con- SEC. 5671. SHORT TITLE; ETC. year an amount equal to the sum of the cred- tribution requirement of subsection (k) with (a) SHORT TITLE.—This subtitle may be its determined under subsection (b) with re- respect to such project, as in effect on the cited as the ‘‘Build America Bonds Act of spect to credit allowance dates during such date of issuance, 2004’’. year on which the taxpayer holds such bond. ‘‘(4) the Transportation Finance Corpora- (b) REFERENCES TO INTERNAL REVENUE ‘‘(b) AMOUNT OF CREDIT.— tion certifies that the State in which an ap- CODE OF 1986.—Except as otherwise expressly ‘‘(1) IN GENERAL.—The amount of the credit proved qualified project is located meets the provided, whenever in this subtitle an determined under this subsection with re- requirement described in subsection (l), amendment or repeal is expressed in terms of spect to any credit allowance date for a ‘‘(5) except for bonds issued in accordance an amendment to, or repeal of, a section or Build America bond is 25 percent of the an- with subsection (g)(6), the term of each bond other provision, the reference shall be con- nual credit determined with respect to such which is part of such issue does not exceed 30 sidered to be made to a section or other pro- bond. years, vision of the Internal Revenue Code of 1986. ‘‘(2) ANNUAL CREDIT.—The annual credit de- ‘‘(6) the payment of principal with respect SEC. 5672. FINDINGS AND PURPOSE. termined with respect to any Build America to such bond is the obligation of the Trans- (a) FINDINGS.—Congress finds the fol- bond is the product of— portation Finance Corporation, and lowing: ‘‘(A) the applicable credit rate, multiplied ‘‘(7) with respect to bonds described in (1) Our Nation’s highways, public transpor- by paragraph (1)(A), the issue meets the require- tation systems, and rail systems drive our ‘‘(B) the outstanding face amount of the ments of subsection (h) (relating to arbi- economy, enabling all industries to achieve bond. trage). growth and productivity that makes Amer- ‘‘(3) APPLICABLE CREDIT RATE.—For pur- ‘‘(f) QUALIFIED PROJECT.—For purposes of ica strong and prosperous. poses of paragraph (2), the applicable credit this section— (2) The establishment, maintenance, and rate with respect to an issue is the rate ‘‘(1) IN GENERAL.—The term ‘qualified improvement of the national transportation equal to an average market yield (as of the project’ means any— network is a national priority, for economic, day before the date of sale of the issue) on ‘‘(A) qualified highway project, environmental, energy, security, and other outstanding long-term corporate debt obliga- ‘‘(B) qualified public transportation reasons. tions (determined in such manner as the Sec- project, and (3) The ability to move people and goods is retary prescribes). ‘‘(C) congestion relief project, critical to maintaining State, metropolitan, ‘‘(4) CREDIT ALLOWANCE DATE.—For pur- proposed by 1 or more States and approved rural, and local economies. poses of this section, the term ‘credit allow- by the Transportation Finance Corporation. (4) The construction of infrastructure re- ance date’ means— ‘‘(2) QUALIFIED HIGHWAY PROJECT.—The quires the skills of numerous occupations, ‘‘(A) March 15, term ‘qualified highway project’ means a including those in the contracting, engineer- ‘‘(B) June 15, project for highway facilities or other facili- ing, planning and design, materials supply, ‘‘(C) September 15, and ties which are eligible for assistance under manufacturing, distribution, and safety in- ‘‘(D) December 15. title 23, United States Code. dustries. Such term includes the last day on which the ‘‘(3) QUALIFIED PUBLIC TRANSPORTATION (5) Investing in transportation infrastruc- bond is outstanding. PROJECT.—The term ‘qualified public trans- ture creates long-term capital assets for the ‘‘(5) SPECIAL RULE FOR ISSUANCE AND RE- portation project’ means a project for public Nation that will help the United States ad- DEMPTION.—In the case of a bond which is transportation facilities or other facilities dress its enormous infrastructure needs and issued during the 3-month period ending on a which are eligible for assistance under chap- improve its economic productivity. credit allowance date, the amount of the ter 53 of title 49, United States Code. (6) Investment in transportation infra- credit determined under this subsection with ‘‘(4) CONGESTION RELIEF PROJECT.—The structure creates jobs and spurs economic respect to such credit allowance date shall term ‘congestion relief project’ means an activity to put people back to work and be a ratable portion of the credit otherwise intermodal freight transfer facility, freight stimulate the economy. determined based on the portion of the 3- rail facility, freight movement corridor, (7) Every billion dollars in transportation month period during which the bond is out- intercity passenger rail or facility, intercity investment has the potential to create up to standing. A similar rule shall apply when the bus vehicle or facility, border crossing facil- 47,500 jobs. bond is redeemed. ity, or other public or private facility ap- (8) Every dollar invested in the Nation’s ‘‘(c) LIMITATION BASED ON AMOUNT OF proved as a congestion relief project by the transportation infrastructure yields at least TAX.— Secretary of Transportation. In making such

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approvals, the Secretary of Transportation ‘‘(5) CARRYOVER OF UNUSED ISSUANCE LIMI- ‘‘(2) FAILURE TO PAY.—If the Transpor- shall— TATION.—If for any calendar year the limita- tation Finance Corporation fails to timely ‘‘(A) consider the economic, environ- tion amount imposed by paragraph (1) ex- pay the amount required by paragraph (1) mental, mobility, and national security im- ceeds the amount of Build America bonds with respect to such bond, the tax imposed provements to be realized through the issued during such year, such excess shall be by this chapter on each holder of any such project, and carried forward to one or more succeeding bond which is part of such issue shall be in- ‘‘(B) give preference to projects with na- calendar years as an addition to the limita- creased (for the taxable year of the holder in tional or regional significance, including any tion imposed by paragraph (1) and until used which such cessation occurs) by the aggre- projects sponsored by a coalition of States or by issuance of Build America bonds. gate decrease in the credits allowed under a combination of States and private sector ‘‘(6) ISSUANCE OF SMALL DENOMINATION this section to such holder for taxable years entities, in terms of generating economic BONDS.—From the Build America bond limi- beginning in such 3 calendar years which benefits, supporting international com- tation for each year, the Transportation Fi- would have resulted solely from denying any merce, or otherwise enhancing the national nance Corporation shall issue a limited credit under this section with respect to transportation system. quantity of Build America bonds in small de- such issue for such taxable years. ‘‘(g) LIMITATION ON AMOUNT OF BONDS DES- nominations suitable for purchase as gifts by ‘‘(3) SPECIAL RULES.— IGNATED; ALLOCATION OF BOND PROCEEDS.— individual investors wishing to show their ‘‘(A) TAX BENEFIT RULE.—The tax for the ‘‘(1) NATIONAL LIMITATION.—There is a support for investing in America’s infra- taxable year shall be increased under para- Build America bond limitation for each cal- structure. graph (2) only with respect to credits allowed endar year. Such limitation is— ‘‘(h) SPECIAL RULES RELATING TO ARBI- by reason of this section which were used to ‘‘(A) with respect to bonds described in TRAGE.— reduce tax liability. In the case of credits subsection (e)(1)(A), ‘‘(1) IN GENERAL.—Subject to paragraph (2), not so used to reduce tax liability, the ‘‘(i) $11,000,000,000 for 2004, an issue shall be treated as meeting the re- carryforwards and carrybacks under section ‘‘(ii) $16,000,000,000 for 2005, quirements of this subsection if as of the 39 shall be appropriately adjusted. ‘‘(iii) $16,000,000,000 for 2006, date of issuance, the Transportation Finance ‘‘(B) NO CREDITS AGAINST TAX.—Any in- ‘‘(iv) $6,000,000,000 for 2007, Corporation reasonably expects— crease in tax under paragraph (2) shall not be ‘‘(v) $3,500,000,000 for 2008, ‘‘(A) to spend at least 85 percent of the net treated as a tax imposed by this chapter for ‘‘(vi) $3,500,000,000 for 2009, and spendable proceeds from the sale of the issue purposes of determining— ‘‘(vii) except as provided in paragraph (5), for 1 or more qualified projects within the 5- ‘‘(i) the amount of any credit allowable zero thereafter, plus year period beginning on such date, under this part, or ‘‘(B) with respect to bonds described in ‘‘(B) to incur a binding commitment with a ‘‘(ii) the amount of the tax imposed by sec- subsection (e)(1)(B), such amount each cal- third party to spend at least 10 percent of the tion 55. endar year as determined necessary by the net spendable proceeds from the sale of the ‘‘(j) BUILD AMERICA TRUST ACCOUNT.— Transportation Finance Corporation to pro- issue, or to commence construction, with re- ‘‘(1) IN GENERAL.—The following amounts vide funds in the Build America Trust Ac- spect to such projects within the 12-month shall be held in a Build America Trust Ac- count for the repayment of Build America period beginning on such date, and count by the Transportation Finance Cor- bonds at maturity. ‘‘(C) to proceed with due diligence to com- poration: ‘‘(2) CONGESTION RELIEF PROJECTS.—From plete such projects and to spend the net ‘‘(A) The proceeds from the sale of all Build America bonds issued under the annual spendable proceeds from the sale of the issue. bonds issued under this section. limitation in paragraph (1)(A), $1,000,000,000 ‘‘(2) SPENT PROCEEDS.—Net spendable pro- ‘‘(B) The amount of any matching con- of net spendable proceeds shall be reserved ceeds are considered spent by the Transpor- tributions with respect to such bonds. for each of the calendar years 2004, 2005, 2006, tation Finance Corporation when a sponsor ‘‘(C) The investment earnings on proceeds 2007, 2008, and 2009 for allocation to conges- of a qualified project obtains a reimburse- from the sale of such bonds. tion relief projects. ment from the Transportation Finance Cor- ‘‘(D) Any earnings on any amounts de- ‘‘(3) ALLOCATION OF BONDS FOR HIGHWAY AND poration for eligible project costs. scribed in subparagraph (A), (B), or (C). PUBLIC TRANSPORTATION PURPOSES.—Except ‘‘(3) RULES REGARDING CONTINUING COMPLI- ‘‘(2) USE OF FUNDS.—Amounts in the Build with respect to qualified projects described ANCE AFTER 5-YEAR DETERMINATION.—If at America Trust Account may be used only to in subsection (j)(3), and subject to para- least 85 percent of the net spendable proceeds pay costs of qualified projects, redeem Build graphs (2) and (4)— from the sale of the issue is not expended for America bonds, and fund the operations of ‘‘(A) QUALIFIED HIGHWAY PROJECTS.—From 1 or more qualified projects within the 5-year the Transportation Finance Corporation, ex- Build America bonds issued under the annual period beginning on the date of issuance, but cept that amounts withdrawn from the Build limitation in paragraph (1)(A), the Transpor- the requirements of paragraph (1) are other- America Trust Account to pay costs of quali- tation Finance Corporation shall allocate 80 wise met, an issue shall be treated as con- fied projects may not exceed the aggregate percent of the net spendable proceeds to the tinuing to meet the requirements of this sub- proceeds from the sale of Build America States for qualified highway projects in the section if the Transportation Finance Cor- bonds described in subsection (e)(1)(A). following manner: poration uses all unspent net spendable pro- ‘‘(3) USE OF REMAINING FUNDS IN BUILD ‘‘(i) 50 percent of such allocation shall be ceeds from the sale of the issue to redeem AMERICA TRUST ACCOUNT.—Upon the redemp- in accordance with the formulas for appor- bonds of the issue within 90 days after the tion of all Build America bonds issued under tioning funds under sections 104(b) and 144 of end of such 5-year period. this section, any remaining amounts in the title 23, United States Code. ‘‘(4) REALLOCATION.—In the event the re- Build America Trust Account shall be avail- ‘‘(ii) 50 percent of such allocation shall be cipient of an allocation under subsection (g) able to the Transportation Finance Corpora- for projects, including projects of national fails to demonstrate to the satisfaction of tion to pay the costs of any qualified project. significance and high priority projects, des- the Transportation Finance Corporation ‘‘(4) COSTS OF QUALIFIED PROJECTS.—For ignated by law. that its actions will allow the Transpor- purposes of this section, the costs of quali- ‘‘(B) QUALIFIED PUBLIC TRANSPORTATION tation Finance Corporation to meet the re- fied projects which may be funded by PROJECTS.—From Build America bonds quirements under this subsection, the Trans- amounts in the Build America Trust Ac- issued under the annual limitation in para- portation Finance Corporation may redis- count may only relate to capital invest- graph (1)(A), the Transportation Finance tribute the allocation meant for such recipi- ments in depreciable assets and may not in- Corporation shall allocate 20 percent of the ent to other recipients. clude any costs relating to operations, main- net spendable proceeds to the States for ‘‘(i) RECAPTURE OF PORTION OF CREDIT tenance, or rolling stock. qualified public transportation projects in WHERE CESSATION OF COMPLIANCE.— ‘‘(5) APPLICABILITY OF FEDERAL LAW.—The the following manner: ‘‘(1) IN GENERAL.—If any bond which when requirements of any Federal law, including ‘‘(i) 50 percent of such allocation shall be issued purported to be a Build America bond titles 23, 40, and 49 of the United States Code, in accordance with the distribution of public ceases to be such a qualified bond, the Trans- which would otherwise apply to projects to transportation formula grants under sec- portation Finance Corporation shall pay to which the United States is a party or to tions 5307, 5308, 5310, 5311, and 5327 of title 49, the United States (at the time required by funds made available under such law and United States Code. the Secretary) an amount equal to the sum projects assisted with those funds shall apply ‘‘(ii) 50 percent of such allocation shall be of— to— for projects, including projects of national ‘‘(A) the aggregate of the credits allowable ‘‘(A) funds made available under the Build significance and high priority projects, des- under this section with respect to such bond America Trust Account for similar qualified ignated by law. (determined without regard to subsection projects, including contributions required ‘‘(4) MINIMUM ALLOCATIONS TO STATES.—In (c)) for taxable years ending during the cal- under subsection (k), and making allocations for each calendar year endar year in which such cessation occurs ‘‘(B) similar qualified projects assisted by under paragraph (3), the Transportation Fi- and the 2 preceding calendar years, and the Transportation Finance Corporation nance Corporation shall ensure that the ‘‘(B) interest at the underpayment rate through the use of such funds. amount allocated for qualified projects lo- under section 6621 on the amount determined ‘‘(6) INVESTMENT.—It shall be the duty of cated in each State for such calendar year is under subparagraph (A) for each calendar the Transportation Finance Corporation to not less than 1 percent of the total amount year for the period beginning on the first day invest in investment grade obligations such allocated for such year. of such calendar year. portion of the Build America Trust Account

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(A), the rules of section 1286 shall apply to (a) ESTABLISHMENT AND STATUS.—There is ‘‘(k) STATE CONTRIBUTION REQUIREMENTS.— the Build America bond as if it were a established a body corporate to be known as ‘‘(1) IN GENERAL.—For purposes of sub- stripped bond and to the credit under this the ‘‘Transportation Finance Corporation’’ section (e)(3), the State contribution require- section as if it were a stripped coupon. (hereafter in this section referred to as the ment of this subsection is met with respect ‘‘(9) CREDITS MAY BE TRANSFERRED.—Noth- ‘‘Corporation’’). The Corporation is not a de- to any qualified project if the Transpor- ing in any law or rule of law shall be con- partment, agency, or instrumentality of the tation Finance Corporation has received strued to limit the transferability of the United States Government, and shall not be from 1 or more States, not later than the credit or bond allowed by this section subject to title 31, United States Code. date of issuance of the bond, written com- through sale and repurchase agreements. (b) PRINCIPAL OFFICE; APPLICATION OF LAWS.—The principal office and place of mitments for matching contributions of not ‘‘(10) REPORTING.—The Transportation Fi- less than 20 percent of the cost of the quali- nance Corporation shall submit reports simi- business of the Corporation shall be in the District of Columbia, and, to the extent con- fied project. lar to the reports required under section sistent with this section, the District of Co- ‘‘(2) STATE MATCHING CONTRIBUTIONS MAY 149(e). lumbia Business Corporation Act (D.C. Code NOT INCLUDE FEDERAL FUNDS.—For purposes ‘‘(11) PROHIBITION ON USE OF HIGHWAY 29–301 et seq.) shall apply. of this subsection, State matching contribu- TRUST FUND.—Notwithstanding any other tions shall not be derived, directly or indi- (c) FUNCTIONS OF CORPORATION.—The Cor- provision of law, no funds derived from the poration shall— rectly, from Federal funds, including any Highway Trust Fund established under sec- transfers from the Highway Trust Fund (1) issue Build America bonds for the fi- tion 9503 shall be used to pay costs associ- nancing of qualified projects as required under section 9503. ated with the Build America bonds issued ‘‘(l) UTILIZATION OF UPDATED CONSTRUCTION under section 54 of the Internal Revenue under this section.’’. Code of 1986, TECHNOLOGY FOR QUALIFIED PROJECTS.—For (b) AMENDMENTS TO OTHER CODE SEC- (2) establish and operate the Build America purposes of subsection (e)(4), the require- TIONS.— Trust Account as required under section 54(j) ment of this subsection is met if the appro- (1) REPORTING.—Subsection (d) of section of such Code, priate State agency relating to the qualified 6049 (relating to returns regarding payments (3) act as a centralized entity to provide fi- project has updated its accepted construc- of interest) is amended by adding at the end nancing for qualified projects, tion technologies to match a list prescribed the following new paragraph: by the Secretary of Transportation and in ef- (4) leverage resources and stimulate public ‘‘(8) REPORTING OF CREDIT ON BUILD AMERICA fect on the date of the approval of the and private investment in transportation in- BONDS.— project as a qualified project. frastructure, ‘‘(A) IN GENERAL.—For purposes of sub- ‘‘(m) OTHER DEFINITIONS AND SPECIAL (5) encourage States to create additional section (a), the term ‘interest’ includes RULES.—For purposes of this section— opportunities for the financing of transpor- amounts includible in gross income under ‘‘(1) ADMINISTRATIVE COSTS.—The term ‘ad- tation infrastructure and to provide tech- section 54(d) and such amounts shall be ministrative costs’ shall only include costs nical assistance to States, if needed, treated as paid on the credit allowance date of issuance of Build America bonds and oper- (6) perform any other function the sole (as defined in section 54(b)(4)). ation costs of the Transportation Corpora- purpose of which is to carry out the financ- ‘‘(B) REPORTING TO CORPORATIONS, ETC.— tion. ing of qualified projects through Build Amer- Except as otherwise provided in regulations, ‘‘(2) BOND.—The term ‘bond’ includes any ica bonds, and in the case of any interest described in sub- obligation. (7) not later than February 15 of each year paragraph (A), subsection (b)(4) shall be ap- ‘‘(3) NET SPENDABLE PROCEEDS.—The term submit a report to Congress— plied without regard to subparagraphs (A), ‘net spendable proceeds’ means the proceeds (A) describing the activities of the Cor- (H), (I), (J), (K), and (L)(i) of such subsection. from the sale of any Build America bond poration for the preceding year, and ‘‘(C) REGULATORY AUTHORITY.—The Sec- issued under this section reduced by not (B) specifying whether the amounts depos- retary may prescribe such regulations as are more than 5 percent of such proceeds for ad- ited and expected to be deposited in the necessary or appropriate to carry out the ministrative costs. Build America Trust Account are sufficient purposes of this paragraph, including regula- ‘‘(4) STATE.—The term ‘State’ shall have to fully repay at maturity the principal of tions which require more frequent or more the meaning given such term by section 101 any outstanding Build America bonds issued detailed reporting.’’. of title 23, United States Code. pursuant to such section 54. (2) TREATMENT FOR ESTIMATED TAX PUR- ‘‘(5) TREATMENT OF CHANGES IN USE.—For (d) POWERS OF CORPORATION.—The Corpora- purposes of subsection (e)(1)(A), the net POSES.— tion— spendable proceeds from the sale of an issue (A) INDIVIDUAL.—Section 6654 (relating to (1) may sue and be sued, complain and de- shall not be treated as used for a qualified failure by individual to pay estimated in- fend, in its corporate name, in any court of project to the extent that the Transpor- come tax) is amended by redesignating sub- competent jurisdiction, tation Finance Corporation takes any action section (m) as subsection (n) and by insert- (2) may adopt, alter, and use a seal, which within its control which causes such pro- ing after subsection (l) the following new shall be judicially noticed, ceeds not to be used for a qualified project. subsection: (3) may prescribe, amend, and repeal such ‘‘(m) SPECIAL RULE FOR HOLDERS OF BUILD The Secretary shall specify remedial actions rules and regulations as may be necessary AMERICA BONDS.—For purposes of this sec- which may be taken (including conditions to for carrying out the functions of the Cor- tion, the credit allowed by section 54 to a taking such remedial actions) to prevent an poration, taxpayer by reason of holding a Build Amer- action described in the preceding sentence (4) may make and perform such contracts ica bond on a credit allowance date shall be from causing a bond to fail to be a Build and other agreements with any individual, treated as if it were a payment of estimated America bond. tax made by the taxpayer on such date.’’. corporation, or other private or public entity ‘‘(6) PARTNERSHIP; S CORPORATION; AND however designated and wherever situated, (B) CORPORATE.—Subsection (g) of section OTHER PASS-THRU ENTITIES.—In the case of a 6655 (relating to failure by corporation to as may be necessary for carrying out the partnership, trust, S corporation, or other pay estimated income tax) is amended by functions of the Corporation, pass-thru entity, rules similar to the rules of adding at the end the following new para- (5) may determine and prescribe the man- section 41(g) shall apply with respect to the graph: ner in which its obligations shall be incurred credit allowable under subsection (a). and its expenses allowed and paid, ‘‘(5) SPECIAL RULE FOR HOLDERS OF BUILD ‘‘(7) BONDS HELD BY REGULATED INVESTMENT (6) may, as necessary for carrying out the AMERICA BONDS.—For purposes of this sec- COMPANIES.—If any Build America bond is tion, the credit allowed by section 54 to a functions of the Corporation, employ and fix held by a regulated investment company, the taxpayer by reason of holding a Build Amer- the compensation of employees and officers, credit determined under subsection (a) shall ica bond on a credit allowance date shall be (7) may lease, purchase, or otherwise ac- be allowed to shareholders of such company treated as if it were a payment of estimated quire, own, hold, improve, use, or otherwise under procedures prescribed by the Sec- tax made by the taxpayer on such date.’’. deal in and with such property (real, per- retary. (c) CLERICAL AMENDMENTS.— sonal, or mixed) or any interest therein, ‘‘(8) CREDITS MAY BE STRIPPED.—Under reg- (1) The table of subparts for part IV of sub- wherever situated, as may be necessary for ulations prescribed by the Secretary— chapter A of chapter 1 is amended by adding carrying out the functions of the Corpora- ‘‘(A) IN GENERAL.—There may be a separa- at the end the following new item: tion, tion (including at issuance) of the ownership (8) may accept gifts or donations of serv- of a Build America bond and the entitlement ‘‘Subpart H. Nonrefundable Credit for Hold- ices or of property (real, personal, or mixed), to the credit under this section with respect ers of Build America Bonds.’’. tangible or intangible, in furtherance of the to such bond. In case of any such separation, (2) Section 6401(b)(1) is amended by strik- purposes of this Act, and the credit under this section shall be allowed ing ‘‘and G’’ and inserting ‘‘G, and H’’. (9) shall have such other powers as may be to the person who on the credit allowance (d) EFFECTIVE DATE.—The amendments necessary and incident to carrying out this date holds the instrument evidencing the en- made by this section shall apply to obliga- Act.

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(e) NONPROFIT ENTITY; RESTRICTION ON USE same extent according to its value as other term, the member shall continue to serve OF MONEYS; CONFLICT OF INTERESTS; AU- real property is taxed. until a successor is appointed and is quali- DITS.— (2) FINANCIAL OBLIGATIONS.—Build America fied. (1) NONPROFIT ENTITY.—The Corporation bonds or other obligations issued by the Cor- (2) COMPENSATION, ACTUAL, NECESSARY, AND shall be a nonprofit corporation and shall poration and the interest on or tax credits TRANSPORTATION EXPENSES.—Members of the have no capital stock. with respect to its bonds or other obligations Board shall serve without additional com- (2) RESTRICTION.—No part of the Corpora- shall not be subject to taxation by any pensation, but may be reimbursed for actual tion’s revenue, earnings, or other income or State, county, municipality, or local taxing and necessary expenses not exceeding $100 property shall inure to the benefit of any of authority. per day, and for transportation expenses, its directors, officers, or employees, and such (g) ASSISTANCE FOR TRANSPORTATION PUR- while engaged in their duties on behalf of the revenue, earnings, or other income or prop- POSES.— Corporation. erty shall only be used for carrying out the (1) IN GENERAL.—In order to carry out the (3) QUORUM.—A majority of the Board shall purposes of this Act. corporate functions described in subsection constitute a quorum. (3) CONFLICT OF INTERESTS.—No director, (c), the Corporation shall be eligible to re- (4) PRESIDENT OF CORPORATION.—The Board officer, or employee of the Corporation shall ceive discretionary grants, contracts, gifts, of Directors shall appoint a president of the in any manner, directly or indirectly partici- contributions, or technical assistance from Corporation on such terms as the Board may pate in the deliberation upon or the deter- any Federal department or agency, to the ex- determine. mination of any question affecting his or her tent permitted by law. personal interests or the interests of any (2) AGREEMENT.—In order to receive any as- SA 2341. Mr. TALENT (for himself, sistance described in this subsection, the corporation, partnership, or organization in and Mr. WYDEN) submitted an amend- Corporation shall enter into an agreement which he or she is directly or indirectly in- ment intended to be proposed by him terested. with the Federal department or agency providing such assistance, under which the Cor- to the bill S. 1072, to authorize funds (4) AUDITS.— poration agrees— for Federal-aid highways, highway (A) AUDITS BY INDEPENDENT CERTIFIED PUB- (A) to use such assistance to provide fund- LIC ACCOUNTANTS.— safety programs, and transit programs, ing and technical assistance only for activi- (i) IN GENERAL.—The Corporation’s finan- and for other purposes; which was or- cial statements shall be audited annually in ties which the Board of Directors of the Cor- dered to lie on the table; as follows: poration determines are consistent with the accordance with generally accepted auditing Beginning on page 1005, line 22, strike all corporate functions described in subsection standards by independent certified public ac- through page 1020, line 9, and insert the fol- (c), and countants that are certified by a regulatory (B) to review the activities of State trans- lowing: authority of a State or other political sub- portation agencies and other entities receiv- SEC. 4602. ESTABLISHMENT OF BUILD AMERICA division of the United States. The audits ing assistance from the Corporation to as- CORPORATION. shall be conducted at the place or places sure that the corporate functions described There is established a nonprofit corpora- where the accounts of the Corporation are in subsection (c) are carried out. tion, to be known as the ‘‘Build America normally kept. All books, accounts, finan- (3) CONSTRUCTION.—Nothing in this section Corporation’’. The Build America Corpora- cial records, reports, files, and all other pa- shall be construed to establish the Corpora- tion is not an agency or establishment of the pers, things, or property belonging to or in tion as a department, agency, or instrumen- United States Government. The purpose of use by the Corporation and necessary to fatality of the United States Government, or the Corporation is to support qualified cilitate the audit shall be made available to to establish the members of the Board of Di- projects described in section 4603(c)(2) the person or persons conducting the audits, rectors of the Corporation, or the officers through the issuance of Build America and full facilities for verifying transactions and employees of the Corporation, as officers bonds. The Corporation shall be subject, to with the balances or securities held by de- or employees of the United States Govern- the extent consistent with this section, to positories, fiscal agents, and custodians shall ment. the laws of the State of Delaware applicable be afforded to such person or persons. (h) MANAGEMENT OF CORPORATION.— to corporations not for profit. (ii) REPORTING REQUIREMENTS.—The report (1) BOARD OF DIRECTORS; MEMBERSHIP; DES- SEC. 4603. FEDERAL BONDS FOR TRANSPOR- of each annual audit described in clause (i) IGNATION OF CHAIRPERSON AND VICE CHAIR- TATION INFRASTRUCTURE. shall be included in the annual report re- PERSON; APPOINTMENT CONSIDERATIONS; TERM; (a) USE OF BOND PROCEEDS.—The proceeds quired by subsection (c)(8). VACANCIES.— from the sale of— (B) RECORD KEEPING REQUIREMENTS.—The (A) BOARD OF DIRECTORS.—The manage- (1) any bonds authorized, issued, or guaran- Corporation shall ensure that each recipient ment of the Corporation shall be vested in a teed by the Federal Government that are of assistance from the Corporation keeps— board of directors composed of 15 members available to fund passenger rail projects pur- (i) separate accounts with respect to such appointed by the President, by and with the suant to any Federal law (enacted before, on, assistance, advice and consent of the Senate. or after the date of the enactment of this (ii) such records as may be reasonably nec- (B) CHAIRPERSON AND VICE CHAIRPERSON.— Act), and essary to fully disclose— The President shall designate 1 member of (2) any Build America bonds issued by the (I) the amount and the disposition by such the Board to serve as Chairperson of the Build America Corporation as authorized by recipient of the proceeds of such assistance, Board and 1 member to serve as Vice Chair- section 4602, (II) the total cost of the project or under- person of the Board. may be used to fund a qualified project if the taking in connection with which such assist- (C) INDIVIDUALS FROM PRIVATE LIFE.—Elev- Secretary of Transportation determines that ance is given or used, and the extent to en members of the Board shall be appointed the qualified project is a more cost-effective which such costs are for a qualified project, from private life. alternative for efficiently maximizing mobil- and (D) FEDERAL OFFICERS AND EMPLOYEES.— ity of individuals and goods than a passenger (III) the amount and nature of that portion Four members of the Board shall be ap- rail project. of the cost of the project or undertaking sup- pointed from among officers and employees (b) COMPLIANCE OF BENEFICIARIES WITH plied by other sources, and of agencies of the United States concerned CERTAIN STANDARDS.—A recipient of pro- (iii) such other records as will facilitate an with infrastructure development. ceeds of a grant, loan, Federal tax-credit effective audit. (E) APPOINTMENT CONSIDERATIONS.—All bonds, or any other form of financial assist- (C) AUDIT AND EXAMINATION OF BOOKS.—The members of the Board shall be appointed on ance provided under this title shall comply Corporation shall ensure that the Corpora- the basis of their understanding of and sensi- with the standards described in section 24312 tion, or any of the Corporation’s duly au- tivity to infrastructure development proc- of title 49, United States Code, as in effect on thorized representatives, shall have access esses. Members of the Board shall be ap- June 25, 2003, with respect to any qualified for the purpose of audit and examination to pointed so that not more than 8 members of project described in subsection (c)(1) in the any books, documents, papers, and records of the Board are members of any 1 political same manner that the National Passenger any recipient of assistance from the Corpora- party. Railroad Corporation is required to comply tion that are pertinent to such assistance. (F) TERMS.—Members of the Board shall be with such standards for construction work (f) EXEMPTION FROM TAXES.— appointed for terms of 3 years, except that of financed under an agreement entered into (1) IN GENERAL.—The Corporation, includ- the members first appointed, as designated under section 24308(a) of such title. ing its franchise, capital, reserves, surplus, by the President at the time of their ap- (c) QUALIFIED PROJECT DEFINED.—In this sinking funds, mortgages or other security pointment, 5 shall be appointed for terms of section— holdings, and income, shall be exempt from 1 year and 5 shall be appointed for terms of (1) IN GENERAL.—Except as provided in all taxation now or hereafter imposed by the 2 years. paragraph (2), the term ‘‘qualified project’’ United States, by any territory, dependency, (G) VACANCIES.—A member of the Board means any transportation infrastructure or possession thereof, or by any State, coun- appointed to fill a vacancy occurring before project of any governmental unit or other ty, municipality, or local taxing authority, the expiration of the term for which that person that is proposed by a State, including except that any real property of the Corpora- member’s predecessor was appointed shall be a highway project, a transit system project, tion shall be subject to State, territorial, appointed only for the remainder of that a railroad project, an airport project, a port county, municipal, or local taxation to the term. Upon the expiration of a member’s project, and an inland waterways project.

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(2) BUILD AMERICA CORPORATION PROJECTS.— ‘‘CHAPTER 223—CAPITAL GRANTS FOR of such title. Grants made under this sub- (A) IN GENERAL.—With respect to any Build RAILROAD TRACK section may be used, in whole or in part, for America bonds issued by the Build America ‘‘Sec. paying credit risk premiums, lowering rates Corporation as authorized by section 4602, ‘‘22301. Capital grants for railroad track. of interest, or providing for a holiday on the term ‘‘qualified project’’ means any— ‘‘§ 22301. Capital grants for railroad track principal payments. (i) qualified highway project, ‘‘(f) EMPLOYEE PROTECTION.—The Secretary ‘‘(a) ESTABLISHMENT OF PROGRAM.— (ii) qualified public transportation project, shall require as a condition of any grant ‘‘(1) ESTABLISHMENT.—The Secretary of and made under this section that the recipient Transportation shall establish a program of (iii) congestion relief project, railroad provide a fair arrangement at least capital grants for the rehabilitation, preser- proposed by 1 or more States and approved as protective of the interests of employees vation, or improvement of railroad track (in- by the Build America Corporation, which who are affected by the project to be funded cluding roadbed, bridges, and related track meets the requirements under clauses (i), with the grant as the terms imposed under structures) of class II and class III railroads. (ii), and (iii) of subparagraph (D). section 11326(a), as in effect on the date of Such grants shall be for rehabilitating, pre- (B) QUALIFIED HIGHWAY PROJECT.—The term the enactment of the Railroad Track Mod- serving, or improving track used primarily ‘‘qualified highway project’’ means a project ernization Act of 2001. for freight transportation to a standard en- for highway facilities or other facilities ‘‘(g) LABOR STANDARDS.— suring that the track can be operated safely which are eligible for assistance under title ‘‘(1) PREVAILING WAGES.—The Secretary 23, United States Code. and efficiently, including grants for rehabili- shall ensure that laborers and mechanics em- (C) QUALIFIED PUBLIC TRANSPORTATION tating, preserving, or improving track to ployed by contractors and subcontractors in PROJECT.—The term ‘‘qualified public trans- handle 286,000 pound rail cars. Grants may be construction work financed by a grant made portation project’’ means a project for public provided under this chapter— under this section will be paid wages not less transportation facilities or other facilities ‘‘(A) directly to the class II or class III than those prevailing on similar construc- which are eligible for assistance under chap- railroad; or tion in the locality, as determined by the ter 53 of title 49, United States Code. ‘‘(B) with the concurrence of the class II or Secretary of Labor under the Act of March 3, (D) CONGESTION RELIEF PROJECT.—The term class III railroad, to a State or local govern- 1931 (known as the Davis-Bacon Act; 40 ‘‘congestion relief project’’ means an inter- ment. U.S.C. 276a et seq.). The Secretary shall modal freight transfer facility, freight rail ‘‘(2) STATE COOPERATION.—Class II and class make a grant under this section only after facility, freight movement corridor, inter- III railroad applicants for a grant under this being assured that required labor standards city passenger rail or facility, intercity bus chapter are encouraged to utilize the exper- will be maintained on the construction work. tise and assistance of State transportation vehicle or facility, border crossing facility, ‘‘(2) WAGE RATES.—Wage rates in a collec- or other public or private facility approved agencies in applying for and administering tive bargaining agreement negotiated under as a congestion relief project by the Sec- such grants. State transportation agencies the Railway Labor Act (45 U.S.C. 151 et seq.) retary of Transportation. In making such ap- are encouraged to provide such expertise and are deemed for purposes of this subsection to provals, the Secretary of Transportation assistance to such railroads. comply with the Act of March 3, 1931 (known shall— ‘‘(3) REGULATIONS.— as the Davis-Bacon Act; 40 U.S.C. 276a et (i) consider the economic, environmental, ‘‘(A) IN GENERAL.—The Secretary shall pre- seq.).’’. mobility, and national security improve- scribe regulations to carry out the program (b) CONFORMING AMENDMENT.—The item re- ments to be realized through the project, and under this section. lating to chapter 223 in the table of chapters (ii) give preference to projects with na- ‘‘(B) CRITERIA.—In developing the regula- of subtitle V of title 49, United States Code, tional or regional significance, including any tions, the Secretary shall establish criteria is amended to read as follows: projects sponsored by a coalition of States or that— ‘‘223. CAPITAL GRANTS FOR RAIL- a combination of States and private sector ‘‘(i) condition the award of a grant to a ROAD TRACK ...... 22301’’. entities, in terms of generating economic railroad on reasonable assurances by the benefits, supporting international com- railroad that the facilities to be rehabili- SEC. 4633. REGULATIONS. merce, or otherwise enhancing the national tated and improved will be economically and (a) REGULATIONS.—The Secretary of transportation system. efficiently utilized; Transporation shall prescribe under sub- (D) ADDITIONAL REQUIREMENTS FOR QUALI- ‘‘(ii) ensure that the award of a grant is section (a)(3) of section 22301 of title 49, FIED PROJECTS.—For purposes of subpara- justified by present and probable future de- United States Code (as added by section graph (A)— mand for rail services by the railroad to 4601), interim and final regulations for the (i) COSTS OF QUALIFIED PROJECTS.—The re- which the grant is to be awarded; administration of the grant program under quirement of this clause is met if the costs of ‘‘(iii) ensure that consideration is given to such section as follows: the qualified project funded by Build Amer- projects that are part of a State-sponsored (1) INTERIM REGULATIONS.—The Secretary ica bonds only relate to capital investments rail plan; and shall prescribe the interim regulations to in depreciable assets and do not include any ‘‘(iv) ensure that all such grants are award- implement the program not later than De- costs relating to operations, maintenance, or ed on a competitive basis. cember 31, 2003. rolling stock. ‘‘(b) MAXIMUM FEDERAL SHARE.—The max- (2) FINAL REGULATIONS.—The Secretary (ii) APPLICABILITY OF FEDERAL LAW.—The imum Federal share for carrying out a shall prescribe the final regulations not later requirement of this clause is met if the re- project under this section shall be 80 percent than October 1, 2004. quirements of any Federal law, including ti- of the project cost. The non-Federal share (b) INAPPLICABILITY OF RULEMAKING PROCE- tles 23, 40, and 49 of the United States Code, may be provided by any non-Federal source DURE TO INTERIM REGULATIONS.—Subchapter which would otherwise apply to projects to in cash, equipment, or supplies. Other in- II of chapter 5 of title 5, United States Code, which the United States is a party or to kind contributions may be approved by the shall not apply to the issuance of an interim funds made available under such law and Secretary on a case by case basis consistent regulation or to any amendment of such an projects assisted with those funds are applied with this chapter. interim regulation. to— ‘‘(c) PROJECT ELIGIBILITY.—For a project to (c) CRITERIA.—The requirement for the es- (I) funds made available under Build Amer- be eligible for assistance under this section tablishment of criteria under subparagraph ica bonds for similar qualified projects, and the track must have been operated or owned (B) of section 22301(a)(3) of title 49, United (II) similar qualified projects assisted by by a class II or class III railroad as of the States Code, applies to the interim regula- the Build America Corporation through the date of the enactment of the Railroad Track tions as well as to the final regulations. use of such funds. Modernization Act of 2004. SEC. 4634. STUDY OF GRANT-FUNDED PROJECTS. (iii) UTILIZATION OF UPDATED CONSTRUCTION ‘‘(d) USE OF FUNDS.—Grants provided under (a) REQUIREMENT FOR STUDY.—The Sec- TECHNOLOGY FOR QUALIFIED PROJECTS.—The this section shall be used to implement track retary of Transportation shall conduct a requirement of this clause is met if the ap- capital projects as soon as possible. In no study of the projects carried out with grant propriate State agency relating to the quali- event shall grant funds be contractually ob- assistance under section 22301 of title 49, fied project has updated its accepted con- ligated for a project later than the end of the United States Code (as added by section struction technologies to match a list pre- third Federal fiscal year following the year 4601), to determine the public interest bene- scribed by the Secretary of Transportation in which the grant was awarded. Any funds fits associated with the light density rail- and in effect on the date of the approval of not so obligated by the end of such fiscal road networks in the States and their con- the project as a qualified project. year shall be returned to the Secretary for tribution to a multimodal transportation PART 2—RAILROAD TRACK MODERNIZATION reallocation. system. SEC. 4631. SHORT TITLE. ‘‘(e) ADDITIONAL PURPOSE.—In addition to (b) REPORT.—Not later than March 31, 2004, This part may be cited as the ‘‘Railroad making grants for projects as provided in the Secretary shall submit to Congress a re- Track Modernization Act of 2004’’. subsection (a), the Secretary may also make port on the results of the study under sub- SEC. 4632. CAPITAL GRANTS FOR RAILROAD grants to supplement direct loans or loan section (a). The report shall include any rec- TRACK. guarantees made under title V of the Rail- ommendations that the Secretary considers (a) AUTHORITY.—Chapter 223 of title 49, road Revitalization and Regulatory Reform appropriate regarding the eligibility of light United States Code, is amended to read as Act of 1976 (45 U.S.C. 822(d)), for projects de- density rail networks for Federal infrastruc- follows: scribed in the last sentence of section 502(d) ture financing.

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SEC. 4635. AUTHORIZATION OF APPROPRIATIONS. ‘‘(1) PERCENTAGE.—A State shall pay 10 of title 5, United States Code, shall not apply There are authorized to be appropriated to percent of the shared costs of a project that to the issuance of a temporary regulation the Secretary of Transportation $350,000,000 is funded in part by a grant awarded under under this subsection or of any amendment for each of fiscal years 2004, 2005, and 2006 for this section. of such a temporary regulation. carrying out section 22301 of title 49, United ‘‘(2) FORMS OF CONTRIBUTIONS.—The share (2) FINAL REGULATIONS.—Not later than States Code (as added by section 4601). required by paragraph (1) may be paid in April 1, 2004, the Secretary shall issue final PART 3—OTHER RAIL TRANSPORTATION- cash or in kind. regulations implementing the program. RELATED PROVISIONS ‘‘(3) IN-KIND CONTRIBUTIONS.—The in-kind SEC. 4661. CAPITAL GRANTS FOR RAIL LINE RE- contributions that are permitted to be SA 2342. Mr. TALENT (for himself, LOCATION PROJECTS. counted under paragraph (2) for a project for Mr. ALLEN, and Mr. BURNS) submitted (a) ESTABLISHMENT OF PROGRAM.— a State are as follows: an amendment intended to be proposed (1) PROGRAM REQUIREMENTS.—Chapter 201 ‘‘(A) A contribution of real property or by him to the bill S. 1072, to authorize of title 49, United States Code, is amended by tangible personal property (whether provided funds for Federal-aid highways, high- by the State or a person for the State). adding at the end of subchapter II the fol- way safety programs, and transit pro- lowing: ‘‘(B) A contribution of the services of employees of the State, calculated on the basis grams, and for other purposes; which ‘‘§ 20154. Capital grants for rail line reloca- of costs incurred by the State for the pay was ordered to lie on the table; as fol- tion projects and benefits of the employees, but excluding lows: ‘‘(a) ESTABLISHMENT OF PROGRAM.—The overhead and general administrative costs. On page 908, after line 23, add the fol- Secretary of Transportation shall carry out ‘‘(C) A payment of any costs that were in- a grant program to provide financial assist- lowing: curred for the project before the filing of an SEC. 4304A. DEFINITION OF INDIVIDUAL SHIP- ance for local rail line relocation projects. application for a grant for the project under ‘‘(b) ELIGIBILITY.—A State is eligible for a PER. this section, and any in-kind contributions grant under this section for any project for Section 13102 is amended— that were made for the project before the fil- the improvement of the route or structure of (1) by redesignating paragraphs (12) ing of the application, if and to the extent a rail line passing through a municipality of through (24) as paragraphs (13) through (25), that the costs were incurred or in-kind con- the State that— respectively; and tributions were made, as the case may be, to ‘‘(1) is carried out for the purpose of miti- (2) by inserting after paragraph (11) the fol- comply with a provision of a statute required gating the adverse effects of rail traffic on lowing new paragraph (12): to be satisfied in order to carry out the safety, motor vehicle traffic flow, or eco- ‘‘(12) INDIVIDUAL SHIPPER.—The term ‘indi- project. nomic development in the municipality; vidual shipper’ means any person who is the ‘‘(4) COSTS NOT SHARED.— ‘‘(2) involves a lateral or vertical reloca- shipper consignor or consignee of a house- ‘‘(A) IN GENERAL.—For the purposes of sub- tion of any portion of the rail line within the hold goods shipment, that is identified as ei- section (f) and this subsection, the shared ther the shipper, consignor, or consignee on municipality to avoid a closing of a grade costs of a project in a municipality do not crossing or the construction of a road under- the face of the bill of lading, who owns the include any cost that is defrayed with any goods being or to be transported, and who pass or overpass; and funds or in-kind contribution that a source ‘‘(3) meets the costs-benefits requirement pays his or her own tariff transportation other than the municipality makes available charges. The term applies only to Cash-On- set forth in subsection (c). for the use of the municipality without im- ‘‘(c) COSTS-BENEFITS REQUIREMENT.—A Deliver shippers of household goods.’’. posing at least 1 of the following conditions: grant may be awarded under this section for On page 910, strike lines 3 through 13 and ‘‘(i) The condition that the municipality a project for the relocation of a rail line only insert the following: use the funds or contribution only for the if the benefits of the project for the period ‘‘(C) ADDITIONAL TRANSPORTATION SERV- project. equal to the estimated economic life of the ICES.— ‘‘(ii) The condition that the availability of relocated rail line exceed the costs of the ‘‘(i) IN GENERAL.—Clauses (i) and (ii) of sub- the funds or contribution to the munici- project for that period, as determined by the paragraph (A) shall not apply to tariff trans- pality is contingent on the execution of the Secretary considering the following factors: portation charges for transportation services project. ‘‘(1) The effects of the rail line and the rail made necessary by impracticable operations, ‘‘(B) DETERMINATIONS OF THE SECRETARY.— traffic on motor vehicle and pedestrian traf- as defined in the applicable carrier tariff, or The Secretary shall determine the amount of fic, safety, and area commerce if the rail line for additional services requested by the ship- the costs, if any, that are not shared costs were not so relocated. per that are not included in the estimate. under this paragraph and the total amount ‘‘(2) The effects of the rail line, relocated ‘‘(ii) RESPONSIBILITY FOR PAYMENT.—A of the shared costs. A determination of the as proposed, on motor vehicle and pedestrian shipper shall be responsible to pay a carrier Secretary shall be final. traffic, safety, and area commerce. for charges described in clause (i), in full ei- ‘‘(h) MULTISTATE AGREEMENTS TO COMBINE ‘‘(3) The effects of the rail line, relocated ther by cash or certified funds, before the AMOUNTS.—Two or more States (not includ- as proposed, on the freight and passenger rail carrier shall be required to relinquish posses- ing political subdivisions of States) may, operations on the rail line. sion of the household goods shipment. pursuant to an agreement entered into by ‘‘(d) CONSIDERATIONS FOR APPROVAL OF ‘‘(iii) PAYMENT BY CREDIT CARD.—Notwith- the States, combine any part of the amounts GRANT APPLICATIONS.—In addition to consid- standing clause (ii) or any payment arrange- ering the relationship of benefits to costs in provided through grants for a project under ment between a shipper and a carrier before determining whether to award a grant to an this section if— the date of the delivery of a household goods eligible State under this section, the Sec- ‘‘(1) the project will benefit each of the shipment, a shipper shall, upon pre-approval retary shall consider the following factors: States entering into the agreement; and from a recognized credit institution, be al- ‘‘(1) The capability of the State to fund the ‘‘(2) the agreement is not a violation of a lowed to pay by credit card for tariff trans- rail line relocation project without Federal law of any such State. portation charges described in clause (i). ‘‘(i) REGULATIONS.—The Secretary shall grant funding. ‘‘(D) FAILURE TO MAKE PAYMENT.— prescribe regulations for carrying out this ‘‘(2) The requirement and limitation relat- ‘‘(i) IN GENERAL.—If a shipper is not able to section. ing to allocation of grant funds provided in pay tariff transportation charges described ‘‘(j) STATE DEFINED.—In this section, the subsection (e). in subparagraph (C)(i) in full before the car- term ‘State’ includes, except as otherwise ‘‘(3) Equitable treatment of the various re- rier shall be required to relinquish posses- specifically provided, a political subdivision gions of the United States. sion of the household goods shipment, the of a State. ‘‘(e) ALLOCATION REQUIREMENTS.— carrier may relinquish possession of the ‘‘(k) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(1) GRANTS NOT GREATER THAN household goods shipment for payment of an There are authorized to be appropriated to $20,000,000.—At least 50 percent of all grant amount equal to 100 percent of the binding the Secretary for use in carrying out this funds awarded under this section out of estimated charges or 110 percent of the non- section $350,000,000 for each of the fiscal funds appropriated for a fiscal year shall be binding estimated charges. years 2004 through 2008.’’. provided as grant awards of not more than ‘‘(ii) CONTINUING REFUSAL.—If a shipper re- (2) CLERICAL AMENDMENT.—The chapter $20,000,000 each. fuses to pay the balance of the tariff trans- analysis for such chapter is amended by add- ‘‘(2) LIMITATION PER PROJECT.—Not more portation charges described in subparagraph ing at the end the following: than 25 percent of the total amount available (C)(i), or the additional charges that exceed for carrying out this section for a fiscal year ‘‘20154. Capital grants for rail line relocation the estimated charges provided for under may be provided for any 1 project in that fis- projects.’’. clauses (i) and (ii) of subparagraph (A), under cal year. (b) REGULATIONS.— this subparagraph within 30 days of the date ‘‘(f) FEDERAL SHARE.—The total amount of (1) INTERIM REGULATIONS.—Not later than of delivery of the household goods shipment, a grant awarded under this section for a rail October 1, 2003, the Secretary of Transpor- the carrier is required to institute litigation line relocation project shall be 90 percent of tation shall issue temporary regulations to to collect such charges, and the carrier is the shared costs of the project, as deter- implement the grant program under section successful in such litigation, the shipper mined under subsection (g)(4). 20154 of title 49, United States Code, as added shall be liable to the carrier for its reason- ‘‘(g) STATE SHARE.— by subsection (a). Subchapter II of chapter 5 able attorney fees in such litigation. If the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00125 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1082 CONGRESSIONAL RECORD — SENATE February 11, 2004 carrier is not successful in such litigation, On page 923, beginning on line 23, strike materials, or supplies are not needed on an the carrier shall be responsible for the rea- ‘‘and Federal and local law enforcement offi- urgent basis or if they are acquired on a reg- sonable attorney fees of the shipper in such cials’’ and insert ‘‘Federal and local law en- ular basis. litigation.’’. forcement officials, and industries involved ‘‘(B) COST ANALYSIS.—In any case where On page 911, beginning on line 16, strike ‘‘. in the transportation of household goods’’. the articles, materials, or supplies are to be Before the execution’’ and all that follows On page 924, strike lines 7 through 9 and in- acquired for use outside the United States through ‘‘provide the shipper’’ and insert sert ‘‘the working group shall consult with and are not needed on an urgent basis, before ‘‘and’’. the public and other interested parties.’’. entering into a contract an analysis shall be On page 912, line 1, strike ‘‘The written’’ On page 925, strike line 18 and all that fol- made of the difference in the cost for acquir- and insert ‘‘Unless waived in writing by the lows through page 927, line 20, and insert the ing the articles, materials, or supplies from shipper, the written’’. following: a company manufacturing the articles, ma- On page 912, beginning on line 4, strike ‘‘of ‘‘The Secretary shall— terials, or supplies in the United States (in- the location’’ and all that follows through ‘‘(1) establish a system to file and log com- cluding the cost of shipping) and the cost for ‘‘preparing the estimate.’’ and insert ‘‘, or plaints made by shippers that relate to acquiring the articles, materials, or supplies within a one-hour driving radius, whichever motor carrier transportation of household from a company manufacturing the articles, is less, of the location of the carrier’s dis- goods; materials, or supplies outside the United closed household goods agent preparing the ‘‘(2) establish a database of such com- States (including the cost of shipping). estimate.’’. plaints; and ‘‘(4) DOMESTIC AVAILABILITY.—The head of a On page 912, line 11, strike ‘‘(e)’’ and insert ‘‘(3) develop procedures— Federal agency may not make a determina- ‘‘(d)’’. ‘‘(A) to forward such a complaint to the tion under subsection (a) that an article, ma- On page 912, strike line 14 and all that fol- motor carrier named in such complaint; terial, or supply is not mined, produced, or lows through page 913, line 3. ‘‘(B) to permit motor carriers to challenge manufactured, as the case may be, in the On page 913, line 4, strike ‘‘(d)’’ and insert information in the database; and United States in sufficient and reasonably ‘‘(c)’’. ‘‘(C) to provide, for each motor carrier available commercial quantities and of satis- On page 915, strike lines 5 through 9 and in- named in complaints in the database, the factory quality, unless the head of the agen- sert the following: percentage of such complaints disputed by cy has conducted a study and, on the basis of (2) by striking ‘‘shippers of household such motor carrier.’’. such study, determined that— goods concerning damage or loss to the On page 928, line 15, insert ‘‘and’’ after the ‘‘(A) domestic production cannot be initi- household goods transported.’’ and inserting semicolon. ated to meet the procurement needs; and ‘‘individual shippers of household goods con- On page 928, strike lines 19 through 21 and ‘‘(B) a comparable article, material, or cerning damage or loss to the household insert the following: supply is not available from a company in goods transported, concerning disputes over goods. the United States. tariff transportation charges, or concerning ‘‘(c) REPORTS.— Mr. FEINGOLD submitted the delay of delivery of the household goods SA 2343. ‘‘(1) IN GENERAL.—Not later than 60 days transported.’’; and an amendment intended to be proposed after the end of each fiscal year, the head of On page 915, strike line 21 and all that fol- by him to the bill S. 1072, to authorize each Federal agency shall submit to Con- lows through page 916, line 21. funds for Federal-aid highways, high- gress a report on the acquisitions that were On page 916, line 22, strike ‘‘(c)’’ and insert way safety programs, and transit pro- made of articles, materials, or supplies by ‘‘(b)’’. grams, and for other purposes; which the agency in that fiscal year from entities On page 917, line 20, strike ‘‘(d)’’ and insert that manufacture the articles, materials, or ‘‘(c)’’. was ordered to lie on the table; as follows: supplies outside the United States. On page 920, strike line 3 and all that fol- ‘‘(2) CONTENT OF REPORT.—The report for a lows through page 923, in the matter fol- On page 1310, after line 4, insert the fol- fiscal year under paragraph (1) shall sepa- lowing line 14, and insert the following: lowing: rately indicate the following information: ‘‘§ 14710. Enforcement of Federal regulations TITLE VII—BUY AMERICAN ACT ‘‘(A) The dollar value of any articles, mate- by State attorneys general IMPROVEMENTS rials, or supplies that were manufactured ‘‘(a) IN GENERAL.—A State, as parens SEC. 7001. SHORT TITLE. outside the United States. patriae, may bring a civil action on behalf of This title may be cited as the ‘‘Buy Amer- ‘‘(B) An itemized list of all waivers granted its residents in an appropriate district court ican Improvement Act of 2003’’. with respect to such articles, materials, or of the United States— SEC. 7002. REQUIREMENTS FOR WAIVERS. supplies under this Act. ‘‘(1) to enforce a regulation or order of the (a) IN GENERAL.—Section 2 of the Buy ‘‘(C) A summary of— Secretary or Board protecting an individual American Act (41 U.S.C. 10a) is amended— ‘‘(i) the total procurement funds expended shipper of household goods, but only if such (1) by striking ‘‘Notwithstanding’’ and in- on articles, materials, and supplies manufac- regulation or order governs the delivery of serting the following: tured inside the United States; and such household goods; or ‘‘(a) IN GENERAL.—Notwithstanding’’; and ‘‘(ii) the total procurement funds expended ‘‘(2) to impose civil penalties authorized by (2) by adding at the end the following: on articles, materials, and supplies manufac- section 14915 of this title whenever the attor- ‘‘(b) SPECIAL RULES.—The following rules tured outside the United States. ney general of the State has reason to be- shall apply in carrying out the provisions of ‘‘(3) PUBLIC AVAILABILITY.—The head of lieve that the interests of its residents have subsection (a): each Federal agency submitting a report been or are being threatened or adversely af- ‘‘(1) PUBLIC INTEREST WAIVER.—A deter- under paragraph (1) shall make the report fected by— mination that it is not in the public interest publicly available by posting on an Internet ‘‘(A) a carrier or broker providing trans- to enter into a contract in accordance with website.’’. portation of household goods subject to ju- this Act may not be made after a notice of (b) DEFINITIONS.—Section 1 of the Buy risdiction under subchapter I or III of chap- solicitation of offers for the contract is pub- American Act (41 U.S.C. 10c) is amended by ter 135 of this title by a pattern of violations lished in accordance with section 18 of the striking subsection (c) and inserting the fol- of section 14915 of this title; or Office of Federal Procurement Policy Act (41 lowing: ‘‘(B) a foreign motor carrier providing U.S.C. 416) and section 8(e) of the Small Busi- ‘‘(c) FEDERAL AGENCY.—The term ‘Federal transportation registered under section 13902 ness Act (15 U.S.C. 637(e)). agency’ means any executive agency (as de- of this title that is engaged in household ‘‘(2) DOMESTIC BIDDER.—A Federal agency fined in section 4(1) of the Federal Procure- goods transportation on behalf of individuals entering into a contract shall give pref- ment Policy Act (41 U.S.C. 403(1))) or any es- by a pattern of violations of section 14915 of erence to a company submitting an offer on tablishment in the legislative or judicial this title. the contract that manufactures in the branch of the Government.’’. ‘‘(b) EXCEPTION.—A State, as parens United States the article, material, or sup- (c) CONFORMING AMENDMENTS.— patriae, may not initiate a class civil action ply for which the offer is solicited, if— (1) Section 2 of the Buy American Act (41 on behalf of its residents to enforce a regula- ‘‘(A) that company’s offer is substantially U.S.C. 10a) is amended by striking ‘‘depart- tion or order of the Secretary or the Board. the same as an offer made by a company that ment or independent establishment’’ and in- ‘‘(c) ENFORCEMENT OF STATE LAW.—Noth- does not manufacture the article, material, serting ‘‘Federal agency’’. ing in this section shall prohibit an author- or supply in the United States; or (2) Section 3 of such Act (41 U.S.C. 10b) is ized State official from proceeding in State ‘‘(B) that company is the only company amended— court to enforce a criminal statute of such that manufactures in the United States the (A) by striking ‘‘department or inde- State.’’. article, material, or supply for which the pendent establishment’’ in subsection (a), (2) CONFORMING AMENDMENT.—The analysis offer is solicited. and inserting ‘‘Federal agency’’; and for chapter 147 is amended by inserting after ‘‘(3) USE OUTSIDE THE UNITED STATES.— (B) by striking ‘‘department, bureau, agen- the item relating to section 14709 the fol- ‘‘(A) IN GENERAL.—Subsection (a) shall cy, or independent establishment’’ in sub- lowing new item: apply without regard to whether the articles, section (b) and inserting ‘‘Federal agency’’. ‘‘14710. Enforcement of Federal regulations materials, or supplies to be acquired are for (3) Section 633 of the National Military Es- by State attorneys general.’’. use outside the United States if the articles, tablishment Appropriations Act, 1950 (41

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U.S.C. 10d) is amended by striking ‘‘depart- ‘‘(d) LOCATION OF PROJECTS.—Funds au- garding the progress of the States in implement or independent establishment’’ and in- thorized to carry out this section shall be menting the rural road safety program. The serting ‘‘Federal agency’’. available for expenditure only for activities report shall— SEC. 7003. GAO REPORT AND RECOMMENDA- described in subsection (g). ‘‘(A) include the number of projects under- TIONS. ‘‘(e) OBLIGATION OF FUNDS.—Funds author- taken, their distribution by cost range, road (a) REQUIREMENT FOR REPORT.— ized to be appropriated to carry out this sec- system, means and methods used, the pre- (1) IN GENERAL.—Not later than 6 months tion shall be available for obligation in the vious and subsequent accident experience at after the date of enactment of this Act, the same manner and the same extent as if such improved locations and a cost-benefit anal- Comptroller General of the United States funds were apportioned under section 104(b) ysis; and shall report to Congress recommendations of title 23, United States Code, except that ‘‘(B) analyze and evaluate each State’s pro- for determining, for purposes of applying the the Secretary is authorized to waive provi- gram, identify any State found not to be in waiver provision of section 2(a) of the Buy sions that the Secretary considers incon- compliance with the schedule of improve- American Act— sistent with the purposes of this section. ments required by subsection (a), and include ‘‘(f) COST SHARING.—The Federal share of a (A) unreasonable cost; and recommendations for future implementation project under this section shall be 80 percent (B) inconsistent with the public interest. of the rural road safety program. (2) REPORT TO INCLUDE RECOMMENDED DEFI- of the total cost for such project. ‘‘(g) TRANSFERABILITY.—Notwithstanding ‘‘(l) DEFINITION OF RURAL ROAD.—In this NITIONS.—The report shall include rec- any other provision of law no portion of a section, the term ‘‘rural road’’ means all ommendations for a statutory definition of State’s apportionment allocated for the roads in rural areas. unreasonable cost and standards for deter- rural road safety program may be trans- mining inconsistency with the public inter- ‘‘(m) AUTHORIZATION OF APPROPRIATIONS ferred to any other apportionment of the est. RURAL ROAD SAFETY PROGRAM.—To carry (b) WAIVER PROCEDURES.—The report de- State for such fiscal year. out the rural road safety program under this ‘‘(h) USE OF FUNDS.—A State that receives scribed in subsection (a) shall also include section there are authorized to be appro- an apportionment under this section may recommendations for establishing proce- priated $1,000,000,000 for each of fiscal years use funds— dures for applying the waiver provisions of 2004 through 2009.’’. ‘‘(1) to improve horizontal and vertical the Buy American Act that can be consist- alignment; (b) CONFORMING AMENDMENT.—The analysis ently applied. ‘‘(2) to eliminate wheel lane rutting, infor subchapter I of chapter I of title 23, SEC. 7004. DUAL-USE TECHNOLOGIES. United States Code (as amended by section The head of a Federal agency (as defined in crease skid resistance, and smooth roadways; ‘‘(3) to improve sight distances; 1814(c)), is amended by adding at the end the section 1(c) of the Buy American Act (as following: amended by section 7002)) may not enter into ‘‘(4) to widen lanes and shoulders; a contract, nor permit a subcontract under a ‘‘(5) to install dedicated turn lanes; ‘‘176. Rural road safety program.’’. contract of the Federal agency, with a for- ‘‘(6) to install and upgrade guardrails, traffic barriers, crash cushions, protective de- eign entity that involves giving the foreign Mr. DAYTON submitted an entity plans, manuals, or other information vices, and rumblestrips; SA 2345. that would facilitate the manufacture of a ‘‘(7) to install traffic and safety lights, im- amendment intended to be proposed by dual-use item on the Commerce Control List prove signage and pavement markings; and him to the bill S. 1072, to authorize unless approval for providing such plans, ‘‘(8) to implement other safety activities funds for Federal-aid highways, high- manuals, or information has been obtained designated by the Secretary. way safety programs, and transit pro- ROGRAM.—Not later than 180 days in accordance with the provisions of the Ex- ‘‘(i) P after the date of enactment of this Act, each grams, and for other purposes; which port Administration Act of 1979 (50 U.S.C. State that receives an apportionment under was ordered to lie on the table; as fol- App. 2401 et seq.) and the Export Administra- this section shall conduct and systemati- lows: tion Regulations (15 C.F.R. part 730 et seq.). cally maintain an engineering survey of all At the appropriate place, insert the fol- SA 2344. Mr. DAYTON submitted an two-lane rural roads classified as minor and lowing: amendment intended to be proposed by major collectors and minor arterials— ‘‘(1) to identify dangerous locations, sec- SEC. 16ll. FEDERAL AGENCY ETHANOL-BLEND- him to the bill S. 1072, to authorize ED GASOLINE AND BIODIESEL PUR- funds for Federal-aid highways, high- tions, and elements, including roadside obstacles and unmarked or poorly marked CHASING REQUIREMENT. way safety programs, and transit pro- roads, which may constitute a danger to mo- Title III of the Energy Policy Act of 1992 is grams, and for other purposes; which torists, bicyclists, pedestrians, impaired, and amended by striking section 306 (42 U.S.C. was ordered to lie on the table; as fol- ‘‘older’’ drivers; 13215) and inserting the following: lows: ‘‘(2) to assign priorities for the correction ‘‘SEC. 306. FEDERAL AGENCY ETHANOL-BLENDED At the appropriate place, insert the fol- of such locations, sections, and elements; GASOLINE AND BIODIESEL PUR- lowing: and CHASING REQUIREMENT. SEC. 1815. RURAL ROAD SAFETY PROGRAM. ‘‘(3) establish and implement a schedule of ‘‘(a) ETHANOL-BLENDED GASOLINE.—The (a) IN GENERAL.—Subchapter I of chapter 1 projects for improvement of such roads. head of each Federal agency shall ensure of title 23, United States Code (as amended ‘‘(j) EVALUATION.— that, in areas in which ethanol-blended gaso- by section 1814(a)), is amended by adding at ‘‘(1) IN GENERAL.—Each State shall estab- line is readily available at a generally com- the end the following: lish an evaluation process approved by the Secretary to analyze and assess results petitive price, the Federal agency purchases ‘‘§ 176. Rural road safety program ethanol-blended gasoline containing at least ‘‘(a) FINDINGS.—Congress finds that it is in achieved by safety improvement projects carried out in accordance with the proce- 10 percent ethanol rather than nonethanol- the vital interest of the Nation that a rural blended gasoline, for use in vehicles used by dures and criteria established by this sec- road safety program be established to ensure the agency. that the safety of the traveling public is en- tion. hanced on rural two-lane highways. ‘‘(2) PRIORITIES.—Such evaluation process ‘‘(b) BIODIESEL.— ‘‘(b) ESTABLISHMENT.—The Secretary shall shall develop cost-benefit data for various ‘‘(1) DEFINITION OF BIODIESEL.—In this sub- establish and implement a rural road safety types of corrections and treatments, which section, the term ‘biodiesel’ has the meaning program in accordance with this section. shall be used in setting priorities for safety given the term in section 312(f). ‘‘(c) APPORTIONMENTS.— improvement projects. ‘‘(2) REQUIREMENT.—The head of each Fed- ‘‘(1) IN GENERAL.—On October 1 of each fis- ‘‘(k) REPORTING.— eral agency shall ensure that the Federal cal year, the Secretary shall apportion to ‘‘(1) IN GENERAL.—Each State shall report agency purchases, for use in fueling fleet ve- each State to carry out this section an to the Secretary not later than December 30 hicles that use diesel fuel used by the Fed- amount in the ratio of the percentage of the of each year, regarding the progress of imple- eral agency at the location at which fleet ve- centerline mileage of two-lane roads in rural menting safety improvement projects for hicles of the Federal agency are centrally areas functionally classified as minor and danger elimination and the effectiveness of fueled, in areas in which the biodiesel-blend- major collectors and arterials in each State such improvements. ed diesel fuel described in subparagraphs (A) bears to the total centerline mileage of two- ‘‘(2) STATE ASSESSMENT.—Each State re- and (B) is available at a generally competi- lane roads in rural areas functionally classi- port shall contain an assessment of the cost tive price— fied as minor and major collectors and arte- of, and safety benefits derived from, the var- ‘‘(A) as of the date that is 5 years after the rials in all the States. ious means and methods used to mitigate or date of enactment of this section, biodiesel- ‘‘(2) ALLOCATION OF APPORTIONED FUNDS.— eliminate dangers and the previous and sub- blended diesel fuel that contains at least 2 Within each State, funds for the rural road sequent accident experience at dangerous lo- percent biodiesel, rather than nonbiodiesel- safety program for each fiscal year shall be cations. blended diesel fuel; and allocated among State, county, city, and ‘‘(3) SECRETARY’S REPORT.—The Secretary ‘‘(B) as of the date that is 10 years after the other levels of government commensurate shall submit a report to the Committee on date of enactment of this section, biodiesel- with each entity’s ownership ratio of eligible Environment and Public Works of the Senate blended diesel fuel that contains at least 20 two-lane road mileage of two-lane roads in and the Committee on Transportation and percent biodiesel, rather than nonbiodiesel- rural areas functionally classified as minor Infrastructure of the House of Representa- blended diesel fuel, for use in vehicles used and major collectors and arterials. tives not later than April 1 of each year re- by the agency.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00127 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1084 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(3) REQUIREMENT OF FEDERAL LAW.—This way safety programs, and transit pro- way safety programs, and transit pro- subsection does not constitute a requirement grams, and for other purposes; which grams, and for other purposes; which of Federal law for the purposes of section 312. was ordered to lie on the table; as fol- was ordered to lie on the table; as fol- ‘‘(c) EXEMPTION.—This section does not lows: lows: apply to fuel used in vehicles described in subparagraphs (A) through (H) of section Beginning on page 841, strike line 19 and On page 693, between lines 16 and 17, insert 301(9).’’. all that follows through page 849, line 19, and the following: insert the following: (J) the impacts of transportation invest- SA 2346. Mrs. CLINTON submitted an (a) REPEAL.—Section 1216(b) of the Trans- ments on low-income communities; amendment intended to be proposed by portation Equity Act for the 21st Century (23 On page 693, line 17, strike ‘‘(J)’’ and insert U.S.C. 129 note; 112 Stat. 212) is repealed. ‘‘(K)’’. her to the bill S. 1072, to authorize (b) LIMITATIONS ON TOLLING.— On page 2–10, line 22, strike ‘‘(K)’’ and in- funds for Federal-aid highways, high- (1) IN GENERAL.—Chapter 3 of title 23 is sert ‘‘(L)’’. way safety programs, and transit pro- amended by striking section 301 and insert- grams, and for other purposes; which ing the following: SA 2350. Mrs. CLINTON submitted an was ordered to lie on the table; as fol- ‘‘§ 301. Limitations on tolling amendment intended to be proposed by lows: ‘‘(a) IN GENERAL.—Except as provided in her to the bill S. 1072, to authorize On page 1–7, between lines 17 and 18, insert subsection (b), there shall be no limitations funds for Federal-aid highways, high- the following: on the imposition and collection of tolls with way safety programs, and transit pro- (17) WEATHER-RELATED REPAIR PROGRAM.— respect to highways constructed under this grams, and for other purposes; which For the weather-related repair program es- title. was ordered to lie on the table; as fol- tablished under section 1204— ‘‘(b) EXCEPTIONS.—Notwithstanding sub- lows: (A) $1,000,000,000 for each of fiscal years section (a)— On page 765, line 19, strike ‘‘and’’ at the 2004 through 2005; and ‘‘(1) the Secretary— (B) $1,500,000,000 for each of fiscal years 2006 ‘‘(A) shall approve or disapprove any pro- end. On page 765, strike line 22 and insert the through 2009. posal to toll National Highway System roads following: ‘‘means, such as the World Wide On page 2–19, after the matter following that are not currently subject to a toll; and Web; and line 13, insert the following: ‘‘(B) in deciding whether to approve such a ‘‘(iv) develop a publicly available plan for SEC. 1204. WEATHER-RELATED REPAIR PRO- proposal, shall consider whether— ‘‘(i) the proposed toll could negatively im- involving economically disadvantaged popu- GRAM. lations.’’. (a) DEFINITIONS.—In this section: pact interstate commerce; and (1) COLD STATE.—The term ‘‘cold State’’ ‘‘(ii) the proposed toll is likely to reduce congestion; SA 2351. Mrs. CLINTON submitted an means any State in which the average tem- amendment intended to be proposed by perature in the preceding year was below the ‘‘(2) any toll program must attempt to average temperature for all States in the mitigate congestion; and her to the bill S. 1072, to authorize preceding year. ‘‘(3) any revenues from tolling shall be funds for Federal-aid highways, high- (2) WARM STATE.—The term ‘‘warm State’’ used to improve, maintain, or construct sur- way safety programs, and transit pro- means any State in which the average tem- face transportation.’’. grams, and for other purposes; which perature in the preceding year was above the (2) CONFORMING AMENDMENT.—The analysis was ordered to lie on the table; as fol- for chapter 3 of title 23, United States Code, average temperature for all States in the lows: preceding year. is amended by striking the matter relating On page 971, line 13, strike ‘‘Code—’’ and (b) ESTABLISHMENT.—The Secretary shall to section 301 and inserting the following: insert ‘‘Code, and section 2105 of this Act—’’. ‘‘301. Limitations on tolling.’’. establish a weather-related repair program. On page 1061, after line 15, add the fol- (c) ELIGIBLE PROJECTS.—A State may obli- lowing: gate funds apportioned to the State under SA 2348. Mrs. CLINTON submitted an subsection (d) only for repair projects for the SEC. 2104. TRANSPORTATION EQUITY COOPERA- amendment intended to be proposed by TIVE RESEARCH PROGRAM. National Highway System that will— her to the bill S. 1072, to authorize (a) IN GENERAL.—The Secretary shall carry (1) repair damage to pavement, bridges, or funds for Federal-aid highways, high- out a transportation equity cooperative re- drainage systems that would not have been way safety programs, and transit pro- search program. damaged but for weather conditions; and (b) ELIGIBILITY.—To be eligible to receive a (2) construct replacement facilities— grams, and for other purposes; which grant under the program, a person shall be (A) to replace facilities that would other- was ordered to lie on the table as fol- engaged in collaborative research efforts wise have been subject to continuous repair lows: with community-based organizations, which because of weather conditions; and On page 690, between lines 9 and 10, insert may be based anywhere in the United States. (B) that would be less costly to maintain the following: (c) RESEARCH ACTIVITIES.—The program than the facilities being replaced because of ‘‘(J) a vital part of determining the future shall include research designed to— the protection from inclement weather proof the surface transportation system in the (1) improve analysis of the distribution of vided by the replacement facilities. United States is determining the future fi- transportation funding in the statewide and (c) APPORTIONMENT.—Of the amounts made nancing of the system.’’ metropolitan transportation planning proc- available to carry out this section— On page 694, on line 1, insert the following: ess and the impact of funding decisions on (1) at least 0.5 percent shall be set aside for (L) the future of financing the surface low-income communities (including tribal warm States; and transportation system in the United States and Alaska Native communities), with a par- (2) with respect to cold States— and the Highway Trust Fund over at least ticular emphasis on health and economic im- (A) 50 percent shall be allocated based on the next 30 years, including assessment of— pacts; the ratio that— (i) the advantages and disadvantages of al- (2) improve the analysis of the distribution (i) the vehicle miles traveled on National ternative revenue sources to meet antici- of transportation funding in the statewide Highway System routes in the State; bears pated Federal surface transportation finan- and metropolitan transportation planning to cial requirements; process and the impact of funding decisions (ii) the vehicle miles traveled on National (ii) practicable recommendations for the on transit-dependent populations in urban, Highway System routes in all cold States; most promising revenues to support long- suburban, and rural communities; (B) 25 percent shall be allocated based on term Federal surface transportation financ- (3) better understand effective mechanisms the ratio that— ing; for public involvement, engagement, and (i) the amount of precipitation in the cold (iii) the impact of other Federal policies on control in the statewide, metropolitan, and State; bears to the funds available for surface transpor- local transportation planning and project de- (ii) the precipitation in all cold States; and tation; livery process; (C) 25 percent shall be allocated based on (iv) the barriers to transportation invest- (4) develop indicators of economic, social, the ratio that— ment created by the modal structure of and environmental performance of transpor- (i) the difference between the average tem- transportation financing existing as of the tation systems, with an emphasis on the perature in the cold State and the average date of enactment of this Act; and needs of low-income communities (including temperature for all cold States; bears to (v) coordination of the Federal transpor- tribal and Alaska Native communities) and (ii) the average temperature for all cold tation program with other Federal programs on the needs of transit-dependent popu- States. to maximize the use of all revenue sources. lations in urban and rural areas, to facilitate the analysis of potential alternatives; and SA 2347. Mrs. CLINTON submitted an SA 2349. Mrs. CLINTON submitted an (5) meet additional priorities as deter- amendment intended to be proposed by amendment intended to be proposed by mined by the advisory board established her to the bill S. 1072, to authorize her to the bill S. 1072, to authorize under subsection (d). funds for Federal-aid highways, high- funds for Federal-aid highways, high- (d) ADVISORY BOARD.—

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(1) ESTABLISHMENT.—In consultation with networks architectures, and available stand- Fund under section 1101(17) of the Safe, Ac- the Secretary of Health and Human Services, ards; and countable, Flexible, and Efficient Transpor- the Administrator of the Environmental ‘‘(ii) promote interoperability and effi- tation Equity Act of 2003. Protection Agency, and the heads of other ciency to the extent practicable; ‘‘(B) GRANTS.— appropriate Federal agencies, the Secretary ‘‘(C) agree to execute interoperability tests ‘‘(i) IN GENERAL.—The Secretary may use shall establish an advisory board to— developed by the Federal Motor Carrier Safe- amounts in the Fund to make competitive (A) recommend research under this section ty Administration to verify that the systems grants to States that implement a variable relating to surface transportation and com- in the State conform with the national intel- pricing program under this subsection. munity impacts; and ligent transportation systems architecture, ‘‘(ii) APPLICATION.—States shall submit to (B) advise, monitor, and coordinate re- protocols for commercial vehicle informa- the Secretary applications for grants under search efforts undertaken by recipients of tion systems and networks, and applicable clause (i). grants under the program under subsection standards; and ‘‘(iii) SELECTION.—From among applica- (a). ‘‘(D) limit the use of funds provided under tions submitted under clause (ii), the Sec- (2) MEMBERSHIP.—The advisory board shall this section to core deployment until the retary shall provide grants to applicants include— date on which all elements of core deploy- based on— (A) representatives of environmental, jus- ment are completed. ‘‘(I) the size of the measurable reduction in tice, civil rights, and community-based orga- ‘‘(3) AMOUNT OF GRANTS.— congestion as a result of the variable pricing nizations; ‘‘(A) IN GENERAL.—Subject to subparagraph program; (B) researchers in the field of transpor- (B), for each fiscal year, the Secretary shall ‘‘(II) the percentage reduction in conges- tation equity and environmental justice; and distribute available funds equally among eli- tion as a result of the variable pricing pro- (C) representatives of State transportation gible States. gram; agencies, metropolitan planning organiza- ‘‘(B) LIMIT.—For each fiscal year, no State ‘‘(III) the innovativeness of the variable tions, transit operating agencies, and local shall receive an amount greater than pricing program; government. $3,650,000.’’. ‘‘(IV) whether the variable pricing program (e) NUMBER AND AMOUNT OF GRANTS.—For addressed concerns relating to the social eq- each of fiscal years 2004, 2005, 2006, 2007, 2008 SA 2353. Mrs. CLINTON submitted an uity of the program; and and 2009, the Secretary shall make grants amendment intended to be proposed by ‘‘(V) any other criteria that demonstrably under the program of not more than $750,000 her to the bill S. 1072, to authorize improve the surface transportation system. to each of 4 research centers. ‘‘(iv) USE OF FUNDS.—Any amounts pro- funds for Federal-aid highways, high- vided in the form of grants under this sub- SA 2352. Mrs. CLINTON submitted an way safety programs, and transit pro- paragraph may be used for any transpor- amendment intended to be proposed by grams, and for other purposes; which tation projects that the grant recipients de- her to the bill S. 1072, to authorize was ordered to lie on the table; as fol- termine to be appropriate. funds for Federal-aid highways, high- lows: ‘‘(v) NUMBER OF GRANTS.—The number of grants the Secretary provides under this sub- way safety programs, and transit pro- On page 931, line 9, strike ‘‘Multistate’’ and insert ‘‘High priority’’. paragraph shall be determined by the Sec- grams, and for other purposes; which retary, but the Secretary shall distribute all was ordered to lie on the table; as fol- On page 931, between lines 11 and 12, insert the following: amounts available for grants to applicants lows: ‘‘(1) plan, develop, and construct high pri- selected under clause (iii). On page 976, strike lines 7 through 12 and ority corridors identified in section 1105 (c) ‘‘(vi) REDISTRIBUTION.—If no State imple- insert the following: of the Intermodal Surface Transportation ments a variable pricing program, any amounts in the congestion reduction reward (6) COMMERCIAL VEHICLE INTELLIGENT TRANS- Act of 1991 (105 Stat. 2032);’’. fund shall be distributed in accordance with PORTATION SYSTEM INFRASTRUCTURE PRO- On page 931, line 12, strike ‘‘(1)’’ and insert section 133.’’. GRAM.—Of the amounts made available ‘‘(2)’’. under subsection (a)(4), not less than On page 931, line 14, strike ‘‘(2)’’ and insert $40,000,000 for each of fiscal years 2004 and ‘‘(3)’’. SA 2355. Mrs. CLINTON submitted an 2005, $45,000,000 for each of fiscal years 2006 On page 931, strike lines 20 through 22 and amendment intended to be proposed by and 2007, and $50,000,000 for each of fiscal insert the following: her to the bill S. 1072, to authorize years 2008 and 2009 shall be available to ‘‘(c) ELIGIBLE ACTIVITIES.—The Secretary funds for Federal-aid highways, high- carry out section 527 of title 23, United shall make allocations under this program way safety programs, and transit pro- States Code. for coordinated planning, design, and con- grams, and for other purposes; which On page 1079, line 18, insert ‘‘permits’’ after struction of— was ordered to lie on the table; as fol- ‘‘information’’. ‘‘(1) high priority corridors identified in lows: section 1105 (c) of the Intermodal Surface On page 1079, lines 25 and 26, insert ‘‘, in- Beginning on page 934, strike line 6 and all cluding the exchange among the States of Transportation Act of 1991 (105 Stat. 2032); and that follows through page 942, line 5, and in- data that are not protected by taxpayer pol- sert the following: icy and the interoperability of systems ‘‘(2) multistate corridors.’’. among the States’’ after ‘‘development’’. On page 932, line 4, insert ‘‘for multistate SEC. 1812. COORDINATED BORDER INFRASTRUC- TURE PROGRAM. On page 1081, line 22, strike ‘‘intrastate,’’. corridors,’’ after ‘‘program’’. (a) IN GENERAL.—Subchapter I of chapter 1 On page 1081, line 23, strike ‘‘require- of title 23, United States Code (as amended ments’’ and insert ‘‘permits’’. SA 2354. Mrs. CLINTON submitted an by section 1811(a)), is amended by adding at On page 1081, line 24, insert ‘‘, including amendment intended to be proposed by the end the following: intrastate activities’’ after ‘‘materials’’. her to the bill S. 1072, to authorize Beginning on page 1083, strike line 15 and funds for Federal-aid highways, high- ‘‘§ 172 Coordinated border infrastructure pro- all that follows through page 1086, line 13, way safety programs, and transit program and insert the following: grams, and for other purposes; which ‘‘(a) DEFINITIONS.—In this section: ‘‘(d) APPORTIONMENTS.— ‘‘(1) BORDER REGION.—The term ‘‘border re- was ordered to lie on the table; as fol- ‘‘(1) IN GENERAL.—The Secretary shall gion’’ means the portion of a border State make funds available to all States for devel- lows: that is located within 100 kilometers of a opment, deployment, and operations and On page 678, between lines 5 and 6, insert land border crossing with Canada or Mexico. maintenance of commercial vehicle informa- the following: ‘‘(2) BORDER STATE.—The term ‘‘border tion systems and networks. (16) CONGESTION REDUCTION REWARD FUND.— State’’ means any State that has a boundary ‘‘(2) ELIGIBILITY.—To be eligible to receive For the congestion reduction reward fund es- in common with Canada or Mexico. funds under this section, a State shall— tablished under section 129 of title 23, United ‘‘(3) COMMERCIAL VEHICLE.—The term ‘‘(A) have a commercial vehicle informa- States Code, $1,000,000,000 for the period of ‘‘commercial vehicle’’ means a vehicle that tion systems and networks program plan and fiscal years 2004 through 2009. has the primary purpose of transporting a top-level system design approved by the On page 6–39, line 5, strike the closing cargo in international or interstate commer- Secretary; quotation marks and the following period. cial trade. ‘‘(B) certify to the Secretary that the com- On page 6–39, between lines 5 and 6, insert ‘‘(4) PASSENGER VEHICLE.—The term ‘‘pas- mercial vehicle information systems and the following: senger vehicle’’ means a vehicle that has the networks deployment activities of the State, ‘‘(5) CONGESTION REDUCTION REWARD FUND.— primary purpose of transporting individuals. including hardware procurement, software ‘‘(A) ESTABLISHMENT OF FUND.—There is es- ‘‘(b) PROGRAM.—The Secretary shall estab- and system development, and infrastructure tablished in the Treasury of the United lish and implement a coordinated border in- modifications— States a congestion reduction reward fund frastructure program under which the Sec- ‘‘(i) are consistent with the national intel- (referred to in this paragraph as the ‘Fund’) retary shall make allocations to border ligent transportation systems architecture, to carry out subparagraph (B), consisting of States for projects within a border region to commercial vehicle information systems and such amounts as are appropriated to the improve the safe movement of people and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00129 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1086 CONGRESSIONAL RECORD — SENATE February 11, 2004 goods at or across the border between the the international borders with Canada and SEC. 1813. PUERTO RICO HIGHWAY PROGRAM. United States and Canada and the border be- Mexico. tween the United States and Mexico. ‘‘(iv) 25 percent shall be allocated in the SA 2356. Mr. CORNYN (for himself ‘‘(c) ELIGIBLE USES.—A State may use an ratio, as determined by the Secretary using and Mrs. HUTCHISON) submitted an allocations under this section in a border re- data collected by the Bureau of Transpor- amendment intended to be proposed by gion only for— tation Statistics Transborder Surface ‘‘(1) improvements to transportation and Freight Dataset and based on an average of him to the bill S. 1072, to authorize supporting infrastructure that facilitate the 3 most recent years for which data are funds for Federal-aid highways, high- cross-border vehicle and cargo movements; available, that— way safety programs, and transit pro- ‘‘(2) construction of highways and related ‘‘(I) the number of passenger vehicles an- grams, and for other purposes; which safety and safety enforcement facilities that nually entering the border State across the was ordered to lie on the table; as fol- facilitate vehicle and cargo movements re- international border with Canada or Mexico; lows: lating to international trade; bears to ‘‘(3) operational improvements, including ‘‘(II) the number of all passenger vehicles On page 82, between lines 21 and 22, insert improvements relating to electronic data annually entering all border States across the following: interchange and use of telecommunications, the international borders with Canada and SEC. 12ll. MULTIMODAL TRANSPORTATION to expedite cross-border vehicle and cargo Mexico. PROJECT DEMONSTRATION PRO- GRAM. movement; ‘‘(C) MINIMUM ALLOCATION.—Notwith- (a) DEFINITION OF MULTIMODAL TRANSPOR- ‘‘(4) international coordination of plan- standing subparagraph (B), for each fiscal TATION PROJECT.—In this section, the term ning, programming, and border operation year, each border State shall receive at least ‘‘multimodal transportation project’’ means with Canada and Mexico relating to expe- half of 1 percent of the funds made available a project under chapter 1 of title 23, United diting cross-border vehicle and cargo move- for allocation under this paragraph for the States Code, that— ments; fiscal year. (1) is located in the State of Texas; ‘‘(5) projects in Canada or Mexico proposed ‘‘(2) OTHER FACTORS.— (2) is within a network of interconnected by 1 or more border States that directly and ‘‘(A) IN GENERAL.—In addition to funds al- predominantly facilitate cross-border vehicle located under paragraph (1), the Secretary corridors; and commercial cargo movements at the shall make allocations to border States (3) is privately financed, in whole or in international gateways or ports of entry into under this paragraph based on the factors depart; and a border region; and scribed in subparagraph (B). (4) contains multiple surface transpor- ‘‘(6) planning and environmental studies ‘‘(B) FACTORS.—The factors in subpara- tation modes, including highway and rail relating to projects eligible under this sec- graph (A) are, with respect to a project car- and utility corridors. tion. ried out under this section in a border (b) ESTABLISHMENT OF PROGRAM.— (1) IN GENERAL.—The Secretary shall estab- ‘‘(d) MANDATORY AND DISCRETIONARY PRO- State— lish and implement in the State of Texas a GRAMS.— ‘‘(i) any expected reduction in commercial ‘‘(1) MANDATORY PROGRAM.— and other motor vehicle travel time through demonstration program under which the Sec- ‘‘(A) IN GENERAL.—For each fiscal year, the an international border crossing as a result retary, notwithstanding any other provision Secretary shall allocate among border of the project; of law, may permit the State transportation States, in accordance with the formula de- ‘‘(ii) strategies to increase the use of department or a local transportation agency scribed in subparagraph (B), funds to be used underused border crossing facilities and ap- in the State of Texas to authorize a consult- in accordance with subsection (c). proaches; ant under a contract for a multimodal trans- ‘‘(B) FORMULA.—Subject to subparagraph ‘‘(iii) leveraging of Federal funds provided portation project to prepare an environ- (C), the Secretary shall allocate funds to a under this section, including— mental impact assessment or analysis (in- border State under this paragraph as follows: ‘‘(I) the use of innovative financing; cluding an environmental impact statement) ‘‘(i) 25 percent shall be allocated in the ‘‘(II) the combination of Federal funds pro- relating to a segment of the project of less ratio, as determined by the Secretary using vided under this section with funding pro- than independent utility and without logical data collected by the Bureau of Transpor- vided for other provisions of this title; and termini. tation Statistics Transborder Surface ‘‘(III) the combination of Federal funds (2) CONTRACT TERMS.—A contract for a Freight Dataset and based on an average of provided under this section with funds from multimodal transportation project under the 3 most recent years for which data are other Federal, State, local, or private this subsection may provide for the simulta- available, that— sources; neous— ‘‘(I) the weight in short tons of all cargo ‘‘(iv)(I) the degree of multinational in- (A) design and construction of a segment of entering the border State by commercial ve- volvement in the project; and the project for which the environmental as- hicle across the international border with ‘‘(II) demonstrated coordination with other sessment or analysis has been completed; Canada or Mexico; bears to Federal agencies responsible for the inspec- and ‘‘(II) the weight in short tons of all cargo tion of vehicles, cargo, and persons crossing (B) environmental assessment or analysis entering the all border States by commercial international borders and counterpart agen- of an adjoining segment of the project. vehicle across the international borders with cies in Canada and Mexico; (c) LIMITATION ON WORK TO BE PERFORMED Canada and Mexico. ‘‘(v) the degree of demonstrated coordina- BY CONSULTANT.— ‘‘(ii) 25 percent shall be allocated in the tion with Federal inspection agencies; (1) IN GENERAL.—The work of the consult- ratio, as determined by the Secretary using ‘‘(vi) the extent to which the innovative ant under subsection (b) shall be performed data collected by the Bureau of Transpor- and problem-solving techniques of the pro- under the direction of, and subject to over- tation Statistics Transborder Surface posed project would be applicable to other sight by, the State transportation depart- Freight Dataset and based on an average of border stations or ports of entry; ment or local transportation agency. the 3 most recent years for which data are ‘‘(vii) demonstrated local commitment to (2) REVIEW.—The State transportation de- available, that— implement and sustain continuing compartment or local transportation agency ‘‘(I) the trade value of all cargo entering prehensive border or affected port of entry shall conduct a review that assesses the ob- the border State by commercial vehicle and planning processes and improvement pro- jectivity of the environmental assessment, all cargo exiting the border State by com- grams; and environmental analysis, or environmental mercial vehicle across the international bor- ‘‘(viii) such other factors as the Secretary impact statement prepared under subsection der with Canada or Mexico; bears to determines to be appropriate to promote bor- (b) before its submission to the Secretary. ‘‘(II) the trade value of all cargo entering der transportation efficiency and safety. (d) FUNDING.—Notwithstanding any other all border States by commercial vehicle and ‘‘(3) EQUITY BONUS.—Each of the mandatory provision of law— all cargo exiting the border States by com- programs under paragraph (1) and the discre- (1) funds made available to the State of mercial vehicle across the international bor- tionary program under paragraph (2) shall be Texas under title 23, United States Code, to ders with Canada and Mexico. included in the calculation of the minimum carry out the demonstration program au- ‘‘(iii) 25 percent shall be allocated in the guarantee and equity bonus under section thorized under this section may be used by ratio, as determined by the Secretary using 105. the State of Texas to pay the costs of an eli- data collected by the Bureau of Transpor- ‘‘(e) COST SHARING.—The Federal share of gible project under this section, without re- tation Statistics Transborder Surface the cost of a project carried out using funds quirement for non-Federal funds; and Freight Dataset and based on an average of allocated under this section shall not exceed (2) an eligible project under this section the 3 most recent years for which data are 80 percent.’’. shall be eligible for other forms of financial available, that— (b) CONFORMING AMENDMENT.—The analysis assistance available under that title, includ- ‘‘(I) the number of commercial vehicles an- for subchapter I of chapter 1 of title 23, ing loans, loan guarantees, and lines of cred- nually entering the border State across the United States Code (as amended by section it. international border with Canada or Mexico; 1811(b)), is amended by adding at the end the (e) REGULATIONS.—The Secretary shall pro- bears to following: mulgate regulations that— ‘‘(II) the number of all commercial vehicles ‘‘172. Coordinated border infrastructure pro- (1) provide guidelines regarding procedures annually entering all border States across gram.’’. to be followed by the State transportation

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00130 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1087 department or a coal transportation agency under the Transportation Infrastructure Fi- be expanded or made a part of the Federal- in the State of Texas in their direction of nance and Innovation Act of 1998 (23 U.S.C. aid highway program. and oversight over any environmental im- 181 et seq.), and permit the State of Texas to pact assessments or analyses for a administer the State infrastructure bank es- SA 2358. Mr. CORNYN (for himself multimodal transportation project which are tablished by the State of Texas, under the and Mrs. HUTCHISON) submitted an to be prepared by the contractor or its affili- conditions and using the procedures author- amendment intended to be proposed to ates; and ized under this section. amendment SA 2285 proposed by Mr. (2) establish criteria for approving devi- (b) APPLICABILITY OF FEDERAL REQUIRE- INHOFE to the bill S. 1072, to authorize ations from procedures established in regula- MENTS.— tions issued by the Secretary of Transpor- (1) ELIGIBLE PROJECT COSTS.—Compliance funds for Federal-aid highways, high- tation implementing the National Environ- with Federal-aid procurement requirements way safety programs, and transit pro- mental Policy Act of 1969 (42 U.S.C. 4321 et shall not be a condition to eligibility of grams, and for other purposes; which seq.). project costs and eligibility to receive finan- was ordered to lie on the table; as fol- (f) IMPLEMENTATION BY OTHER FEDERAL cial assistance under subchapter II of chap- lows: AGENCIES.—Each Federal agency that— ter 1 of title 23, United States Code (23 U.S.C. 181 et seq.), provided that if a procurement On page 389, between line 15 and line 16, in- (1) has jurisdiction by law over environ- sert the following: ment-related issues that may be affected by does not involve adequate price competition, as determined by the Secretary, eligibility of SEC. 18ll. INNOVATIVE CONTRACTING PRAC- a project described in this section and the TICES DEMONSTRATION PROGRAM. analysis of which would be part of any envi- costs under the contract resulting from such (a) ESTABLISHMENT AND IMPLEMENTATION.— ronmental document required by the Na- procurement shall be determined based on a price reasonableness analysis or cost anal- The Secretary shall establish and implement tional Environmental Policy Act of 1969 (42 in the State of Texas an innovative con- U.S.C. 4321 et seq.); or ysis, as appropriate. (2) APPLICABILITY OF FEDERAL LAW TO RE- tracting practices demonstration program (2) may be required by Federal law to inde- under which the Secretary, notwithstanding pendently— PAYMENTS.—The requirements of titles 23 and 49, United States Code, shall not apply any provision of title 23, United States Code, (A) conduct an environment-related review to repayments from non-Federal sources to may permit the State transportation depart- or analysis for a project described in this the State infrastructure bank established by ment or a local transportation agency in the section; the State of Texas from projects assisted by State of Texas to use a design-build contract (B) determine whether to issue a permit, li- the infrastructure bank. Such a repayment for the development of projects under chap- cense, or approval for the project; or shall not be considered to be Federal funds. ter 1 of title 23, United States Code, that is (C) render an opinion or recommendation (c) INVESTMENT-GRADE RATING REQUIRE- awarded using any procurement process per- on the environmental impact of the project; MENT.—The requirement that a project’s sen- mitted by applicable State and local law. shall promulgate regulations providing for ior obligations receive an investment-grade (b) LIMITATION ON WORK TO BE PERFORMED the expedited processing of, and approval of rating in order to receive financial assist- UNDER DESIGN-BUILD CONTRACTS.—Construc- deviations from, the project by the agency. ance under sections 183 and 184 of title 23, tion of permanent improvements shall not EPORTS AND SECRETARIAL REVIEW.— (g) R United States Code, shall not apply to obli- commence under a design-build contract de- (1) STATE OF TEXAS REPORT.— gations issued to a project contractor as pay- scribed in subsection (a) before compliance (A) IN GENERAL.—Not later than 3 years ment for its work. with section 102 of the National Environ- after the date of enactment of this section, (d) NONSUBORDINATION OF LOANS.—The pro- mental Policy Act of 1969 (42 U.S.C. 4332). the State of Texas shall submit to the Sec- hibition against subordinating loans made The scope of the contractor’s work may in- retary a report summarizing the use of the under sections 183 and 184 of title 23, United clude assistance in the environmental review procedures authorized under this section. States Code, to the claims of any holder of process for the project, including preparation (B) CONTENTS.—The report shall— project obligations shall only apply in the of environmental impact assessments and (i) describe the time and cost savings re- event of bankruptcy, insolvency, or liquida- analyses, provided that such work is per- sulting from the use of those procedures as tion of the obligor that results in the aban- formed under the direction of, and subject to compared to the construction of surface donment, liquidation, or dissolution of the oversight by, the State transportation de- transportation projects using the existing project. partment or local transportation agency, procedures authorized under the Federal-aid (e) REGULATIONS.—The regulations issued and the State transportation department or highway program and Federal law; and by the Secretary under section 187 of title 23, local transportation agency conducts a re- (ii) recommend revisions necessary to fur- United States Code shall— view that assesses the objectivity of the en- ther streamline and accelerate the construc- (1) prescribe criteria for determining if the vironmental assessment, environmental tion of surface transportation projects. procurement relating to a project receiving analysis, or environmental impact state- (2) REPORT TO CONGRESS.—Not later than financial assistance under subchapter II of ment prior to its submission to the Sec- 180 days after the date of receipt of the re- chapter 1 of title 23, United States Code (23 retary of Transportation. port under paragraph (1), the Secretary shall U.S.C. 181 et seq.), involves adequate price competition; and (c) PROJECT APPROVAL.—If a design-build submit to Congress a report that— contract is to be awarded prior to compli- (A) evaluates the demonstration program (2) provide guidelines regarding procedures to be followed in performing a price reason- ance with section 102 of the National Envi- conducted under this section and the ability ronmental Policy Act of 1969, upon request of the program to streamline and accelerate ableness analysis or cost analysis of proposals submitted under such a procurement. by the State transportation department or the construction of surface transportation local transportation agency, the Secretary projects; and (f) REPORTS.— (1) REPORT TO SECRETARY.— shall concur in issuance of the procurement (B) contains recommendations of the Sec- documents and any amendments thereto and retary concerning whether the program (A) IN GENERAL.—Not later than 3 years after the date of enactment of this section, in award of the contract and any amend- should be expanded or made a part of the ments thereto. Such concurrence shall be Federal-aid highway program. the Governor of the State of Texas shall submit to the Secretary a report summarizing considered a preliminary action that does not affect the environment. Project approval SA 2357. Mr. CORNYN (for himself the use of the innovative finance procedures authorized under this section. shall be provided only after compliance with and Mrs. HUTCHISON) submitted an (B) REQUIREMENTS.—The report submitted section 102 of the National Environmental amendment intended to be proposed to under subparagraph (A) shall describe the Policy Act of 1969. amendment SA 2285 proposed by Mr. time and cost savings resulting from the use (d) DESIGN-BUILD CONTRACT DEFINED.—In INHOFE to the bill S. 1072, to authorize of those procedures as compared to the con- this section, the term ‘‘design-build con- funds for Federal-aid highways, high- struction of surface transportation projects tract’’ means an agreement that provides for way safety programs, and transit pro- using the existing procedures authorized design and construction of a project by a grams, and for other purposes; which under the Federal-aid highway program, and contractor, regardless of whether the agree- shall recommend revisions necessary to fur- ment is in the form of a design-build con- was ordered to lie on the table; as fol- ther streamline and accelerate the construc- tract, a franchise agreement, or any other lows: tion of surface transportation projects. form of contract approved by the Secretary. On page 389, between lines 15 and 16, insert (2) REPORT TO CONGRESS.—Not later than 6 (e) FUNDING.— the following: months after receipt of the report submitted (1) USE.—Notwithstanding any other provi- SEC. 18ll. INNOVATIVE FINANCE DEMONSTRA- under paragraph (1), the Secretary shall sub- sion of law, funds made available to the TION PROGRAM. mit to Congress a report— State of Texas under title 23, United States (a) IN GENERAL.—The Secretary shall es- (A) evaluating the demonstration program Code, to carry out the demonstration pro- tablish and implement in the State of Texas conducted under this section and the ability gram authorized under this section may be an innovative finance demonstration proof such program to streamline and accelerate used by the State of Texas to pay the costs gram under which the Secretary, notwith- the construction of surface transportation of an eligible project under this section, standing any provision of title 23, United projects; and without requirement for non-Federal funds. States Code, may permit entities in the (B) containing recommendations of the (2) AVAILABILITY OF OTHER FUNDING.—Not- State of Texas to obtain credit assistance Secretary as to whether the program should withstanding any other provision of law, an

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00131 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1088 CONGRESSIONAL RECORD — SENATE February 11, 2004 eligible project under this section shall be el- was ordered to lie on the table; as fol- SEC. 18ll. TOLLING PILOT PROGRAM. igible for other forms of financial assistance lows: (a) ESTABLISHMENT AND IMPLEMENTATION.— The Secretary shall establish and implement available under title 23, United States Code, On page 389, between lines 15 and 16, insert in the State of Texas a tolling pilot program including loans, loan guarantees, and lines of the following: credit. under which the Secretary, notwithstanding SEC. 18ll. LA ENTRADA AL PACIFICO COR- (f) REGULATIONS.—The regulations author- any provision of title 23, United States Code, RIDOR. may permit— ized by section 1307(c) of Transportation Eq- Section 1105(c) of the Intermodal Surface (1) the State of Texas to collect tolls on a uity Act for the 21st Century (23 U.S.C. 112 Transportation Efficiency Act of 1991 (Public highway, bridge, or tunnel on the Interstate note) shall apply in the following manner: Law 102-240; 105 Stat 2032) is amended by add- system; and (1) Such regulations shall allow the State ing at the end the following: (2) the State transportation department or transportation department or a local trans- ‘‘(45) In the State of Texas, the La Entrada a local transportation agency in the State of portation agency in the State of Texas to use al Pacifico Corridor consisting of any por- Texas to use toll revenues received from the any procurement process permitted by appli- tion of a highway in a corridor on 2 miles of operation of a toll facility authorized under cable State and local law in awarding design- either side of the center line of the highway this section or under section 129 of title 23, build contracts, including allowing unsolic- and— United States Code, for any transportation ited proposals, negotiated procurements and ‘‘(A) State Route 349 from Lamesa to the related purpose permitted by applicable multiple requests for final proposals. The point on that highway that is closest to 32 State and local law. Secretary may require reasonable justifica- degrees, 7 minutes, north latitude, by 102 de- (b) REPAYMENT OF FEDERAL SHARE.— tion to be provided for any sole source pro- grees, 6 minutes, west longitude; (1) IN GENERAL.—Notwithstanding any procurement. The preceding sentences shall not ‘‘(B) the segment or any roadway extend- vision of title 23, United States Code, the preclude the Secretary from providing ‘‘best ing from the point described in subparagraph total amount of funds paid from the Highway practices’’ guidelines in the regulations. (A) to the point on Farm-to-Market Road Account of the Highway Trust Fund to the (2) Such regulations shall not preclude the 1788 closest to 32 degrees, 0 minutes, north State of Texas for construction of a highway, State transportation department and local latitude, by 102 degrees, 16 minutes, west bridge, or tunnel within the boundaries of transportation agencies in the State of longitude; the State of Texas may be repaid to the Sec- Texas from allowing proposers to include al- ‘‘(C) Farm-to-Market Road 1788 from the retary. ternative technical concepts in their ‘‘base’’ point described by subparagraph (B) to its (2) DEPOSIT OF CREDIT.—The Secretary of proposals. intersection with Interstate Route 20; Transportation shall deposit amounts repaid (3) Such regulations shall not preclude the ‘‘(D) Interstate Route 20 from its intersec- by the State of Texas pursuant to paragraph State transportation department and local tion with Farm-to-Market Road 1788 to its (1) into the Highway Account and credit such transportation agencies in the State of intersection with United States Route 385; amount to the unobligated balance of Fed- Texas from issuing a Request for Proposals ‘‘(E) United States Route 385 from Odessa eral-aid highway funds available to the State document, proceeding with award of a de- to Fort Stockton, including those portions of Texas for the same class of funds last ap- sign-build contract, or issuing a notice to that parallel United States Route 67 and proceed with preliminary design work under Interstate Route 10; and portioned or allocated to the State of Texas such a contract, prior to compliance with ‘‘(F) United States Route 67 from Fort for construction of the highway, bridge, or section 102 of the National Environmental Stockton to Presidio, including the portions tunnel. The amount so credited shall be in Policy Act of 1969 (42 U.S.C. 4332), provided that parallel Interstate Route 10 and United addition to all other funds then apportioned that the design-build contractor may not States Route 90.’’. or allocated to the State of Texas during the proceed with construction of permanent im- fiscal year for which the credit is received provements prior to such compliance. SA 2360. Mr. CORNYN submitted an and shall be available for expenditure by the (4) Such regulations shall provide guide- amendment intended to be proposed to State of Texas in accordance with the provi- lines regarding procedures to be followed by amendment SA 2285 proposed by Mr. sions of title 23, United States Code. (3) DEREGULATION.—Upon the repayment the State transportation department or a INHOFE to the bill S. 1072, to authorize under this subsection of all Federal-aid high- local transportation agency in the State of funds for Federal-aid highways, high- Texas in their direction of and oversight way funds received by the State of Texas for way safety programs, and transit pro- construction of a highway, bridge, or tunnel, over any environmental impact assessments grams, and for other purposes; which or analyses for the project which are to be the highway, bridge, or tunnel— prepared by the contractor or its affiliates. was ordered to lie on the table; as fol- (A) shall be removed by the Secretary from (g) REPORTS.— lows: all Federal-aid highway programs; (1) STATE OF TEXAS REPORT.—Not later On page 255, between lines 17 and 18, insert (B) shall not be subject to any other provi- than 3 years after the date of enactment of the following: sion of title 23, United States Code, including this section, the State of Texas shall submit (c) TOLL CREDIT FOR NON-FEDERAL any regulation issued to carry out that title; to the Secretary a report summarizing the SHARE.— and use of the innovative contracting procedures (1) ELIGIBILITY.—Section 120(j)(1) of title (C) may be operated and maintained by a authorized under this section. The report 23, United States Code, is amended by strik- public authority having jurisdiction over the shall describe the time and cost savings re- ing the last sentence and inserting the fol- highway, bridge, or tunnel under applicable sulting from the use of those procedures as lowing: ‘‘The amount of the credit that is at- State or local law. compared to the construction of surface tributable to expenditures by such public, (c) FUNDING.— transportation projects using the existing quasi-public, or private agencies to build, (1) USE.—Notwithstanding any other provi- procedures authorized under the Federal-aid improve, or maintain facilities in which a sion of law, funds made available to the highway program, and shall recommend revi- portion of the costs are paid for with Federal State of Texas under title 23, United States sions necessary to further streamline and ac- funds shall be limited to the amount of non- Code to carry out the pilot program author- celerate the construction of surface trans- Federal funds that are used to pay the costs ized under this section may be used by the portation projects. of such facilities, except that such amount of State of Texas to pay the costs of an eligible (2) REPORT BY SECRETARY.—Not later than the credit shall be increased to include the project under this section, the same class of 6 months after receipt of the report sub- amount of Federal loans or other financial funds last apportioned or allocated to the mitted under paragraph (1), the Secretary assistance that will be repaid by such public, State of Texas without requirement for non- shall submit to Congress a report— quasi-public, or private agencies.’’. Federal funds. (A) evaluating the demonstration program (2) MAINTENANCE OF EFFORT CALCULA- (2) AVAILABILITY OF OTHER FUNDING.—Not- conducted under this section and the ability TION.—Section 120(j) of title 23, United States withstanding any other provision of law, an of such program to streamline and accelerate Code, is amended— eligible project under this section shall be el- the construction of surface transportation (A) by striking paragraph (2); and igible for other forms of financial assistance projects; and (C) by redesignating paragraph (3) as para- available under title 23, United States Code, (B) containing recommendations of the graph (2). including loans, loan guarantees, and lines of Secretary as to whether the program should credit. (d) REPORTS.— be expanded or made a part of the Federal- SA 2361. Mr. CORNYN submitted an (1) STATE OF TEXAS REPORT.—Not later aid highway program. amendment intended to be proposed to amendment SA 2285 proposed by Mr. than 3 years after the date of enactment of SA 2359. Mr. CORNYN (for himself INHOFE to the bill S. 1072, to authorize this section, the State of Texas shall submit to the Secretary a report summarizing the and Mrs. HUTCHISON) submitted an funds for Federal-aid highways, high- amendment intended to be proposed to construction, maintenance, and operation of way safety programs, and transit pro- projects and the use of toll revenue under amendment SA 2285 proposed by Mr. grams, and for other purposes; which this section. The report shall describe the INHOFE to the bill S. 1072, to authorize was ordered to lie on the table; as fol- time and cost savings resulting from the use funds for Federal-aid highways, high- lows: of procedures authorized in this section as way safety programs, and transit pro- On page 389, between line 15 and line 16, in- compared to the construction of surface grams, and for other purposes; which sert the following: transportation projects using the existing

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00132 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1089 procedures authorized under the Federal-aid the proportion that, as determined by the was ordered to lie on the table; as fol- highway program, and shall recommend revi- applicable State and approved by the Sec- lows: sions necessary to further streamline and ac- retary— At the appropriate place, insert: celerate the construction of surface trans- ‘‘(1) the estimated amount that may be ob- SEC. ll. TAX TREATMENT OF CONTROLLED portation projects. ligated in the fiscal year for the completion FOREIGN CORPORATIONS ESTAB- (2) REPORT BY SECRETARY.—Not later than of the eligible projects described in sub- LISHED IN TAX HAVENS. 6 months after receipt of the report subsection (b) in the State; bears to (a) IN GENERAL.—Subchapter C of chapter mitted under paragraph (1), the Secretary of ‘‘(2) the total estimated amount that may 80 (relating to provisions affecting more than Transportation shall submit to Congress a be obligated in the fiscal year for the com- one subtitle), as amended by this Act, is report— pletion of eligible projects described in sub- amended by adding at the end the following (A) evaluating the demonstration program section (b) in all States. new section: ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— conducted under this section and the ability ‘‘SEC. ll. 7875. CONTROLLED FOREIGN COR- of such program to streamline and accelerate For each of fiscal years 2004 through 2009, PORATIONS IN TAX HAVENS TREAT- the construction of surface transportation there is authorized to be appropriated from ED AS DOMESTIC CORPORATIONS. projects; and the Highway Trust Fund (other than the ‘‘(a) GENERAL RULE.—If a controlled for- (B) containing recommendations of the Mass Transit Account) to carry out this sec- eign corporation is a tax-haven CFC, then, Secretary of Transportation as to whether tion an amount equal to 6.4 percent of the notwithstanding section 7701(a)(4), such cor- the program should be expanded or made a amounts received in the Highway Trust poration shall be treated for purposes of this part of the Federal-aid highway program. Fund (other than the Mass Transit Account) title as a domestic corporation. for the fiscal year under section 9503(b) of ‘‘(b) TAX-HAVEN CFC.—For purposes of this SA 2362. Mr. CORNYN submitted an the Internal Revenue Code of 1986.’’. section— amendment intended to be proposed to (b) CONFORMING AMENDMENT.—The analysis ‘‘(1) IN GENERAL.—The term ‘tax-haven amendment SA 2285 proposed by Mr. for subchapter I of chapter 1 of title 23, CFC’ means, with respect to any taxable United States Code (as amended by section INHOFE to the bill S. 1072, to authorize year, a foreign corporation which— 1815(b)), is amended by adding at the end the ‘‘(A) was created or organized under the funds for Federal-aid highways, high- following: way safety programs, and transit pro- laws of a tax-haven country, and ‘‘178. FINISH program.’’. ‘‘(B) is a controlled foreign corporation grams, and for other purposes; which (determined without regard to this section) was ordered to lie on the table; as fol- SA 2364. Mr. SCHUMER submitted an for an uninterrupted period of 30 days or lows: amendment intended to be proposed to more during the taxable year. On page 461, line 13, strike the period and amendment SA 2285 proposed by Mr. ‘‘(2) EXCEPTION.—The term ‘tax-haven CFC’ insert the following: ‘‘of which the current INHOFE to the bill S. 1072, to authorize does not include a foreign corporation for Southwest Regional Transportation Center funds for Federal-aid highways, high- any taxable year if substantially all of its in- (Texas A&M, the University of Texas at Aus- way safety programs, and transit pro- come for the taxable year is derived from the active conduct of trades or businesses within tin, and Texas Southern University) shall be grams, and for other purposes; which one.’’ the country under the laws of which the cor- was ordered to lie on the table; as fol- poration was created or organized. SA 2363. Ms. LANDRIEU submitted lows: ‘‘(c) TAX-HAVEN COUNTRY.—For purposes of an amendment intended to be proposed Strike section 5507 and insert the fol- this section— by her to the bill S. 1072, to authorize lowing: ‘‘(1) IN GENERAL.—The term ‘tax-haven country’ means any of the following: funds for Federal-aid highways, high- SEC. 5507. UNIFORM DOLLAR LIMITATION FOR ALL TYPES OF TRANSPORTATION Andorra Gibraltar Netherlands way safety programs, and transit pro- FRINGE BENEFITS; CLARIFICATION Antilles grams, and for other purposes; which OF FEDERAL EMPLOYEE BENEFITS. Anguilla Grenada Niue was ordered to lie on the table; as fol- (a) UNIFORM DOLLAR LIMITATION FOR ALL Antigua and Barbuda Guernsey Panama lows: TYPES OF TRANSPORTATION FRINGE BENE- Aruba Isle of Man Samoa FITS.— Commonwealth of the Jersey San Marino On page 39, between lines 22 and 23, insert Bahamas (1) IN GENERAL.—Section 132(f)(2) of the In- the following: Bahrain Liberia Federation of ternal Revenue Code of 1986 (relating to limi- (17) FINISH PROGRAM.—For the FINISH Saint Christopher tation on exclusion) is amended— program under section 178 of that title, for and Nevis (A) by striking ‘‘$100’’ in subparagraph (A) each of fiscal years 2004 through 2009, an Barbados Principality of Saint Lucia and inserting ‘‘$190’’, and Liechtenstein amount equal to 6.4 percent of the amounts (B) by striking ‘‘$175’’ in subparagraph (B) Belize Republic of the Saint Vincent received in the Highway Trust Fund (other and inserting ‘‘$190’’. Maldives and the Grena- than the Mass Transit Account) for the fiscal dines (2) INFLATION ADJUSTMENT CONFORMING year under section 9503(b) of the Internal Bermuda Malta Republic of the AMENDMENTS.—Subparagraph (A) of section Revenue Code of 1986. Seychelles 132(f)(6) of the Internal Revenue Code of 1986 British Virgin Islands Republic of the Tonga On page 389, between lines 15 and 16, insert (relating to inflation adjustment) is amend- Marshall Islands the following: ed— Cayman Islands Mauritius Turks and Ca˜icos SEC. 18ll. FINISH PROGRAM. (A) by striking the last sentence, Cook Islands Principality of Monaco Republic of (a) IN GENERAL.—Subtitle I of chapter 1 of (B) by striking ‘‘1999’’ and inserting ‘‘2003’’, Vanuatu title 23, United States Code (as amended by and Cyprus Montserrat Commonwealth of the Republic of Nauru section 1815(a)), is amended by adding at the (C) by striking ‘‘1998’’ and inserting ‘‘2002’’. Dominica end the following: (3) EFFECTIVE DATE.—The amendments ‘‘(2) SECRETARIAL AUTHORITY.—The Sec- ‘‘§ 178. FINISH program made by this subsection shall apply to taxable years beginning after December 31, 2003. retary may remove or add a foreign jurisdic- ‘‘(a) IN GENERAL.—The Secretary shall es- (b) CLARIFICATION OF FEDERAL EMPLOYEE tion from the list of tax-haven countries tablish and carry out a program, to be BENEFITS.—Section 7905 of title 5, United under paragraph (1) if the Secretary deter- known as the ‘FINISH program’, under which States Code, is amended— mines such removal or addition is consistent the Secretary shall apportion funds to States (1) in subsection (a)— with the purposes of this section.’’ for use in the acceleration and completion of (A) in paragraph (2)(C) by inserting ‘‘and’’ (b) CONFORMING AMENDMENT.—The table of coordinated planning, design, and construc- after the semicolon; sections for subchapter C of chapter 80 is tion of internationally significant highway (B) in paragraph (3) by striking ‘‘; and’’ and amended by adding at the end the following projects, as determined by the Secretary. inserting a period; and new item: ‘‘(b) ELIGIBLE PROJECTS.—The Secretary (C) by striking paragraph (4); and ‘‘Sec 7875. Controlled foreign corporations in shall apportion funds under this section for (2) in subsection (b)(2)(A) by amending sub- tax havens treated as domestic highway projects described in subsection (a) paragraph (A) to read as follows: corporations.’’. that are located on any of the high priority ‘‘(A) a qualified transportation fringe as (c) EFFECTIVE DATE.—The amendments corridors described in paragraphs (1) and (37), defined in section 132(f)(1) of the Internal made by this section shall apply to taxable (18) and (20), (23), (26), (38), or (44) of section Revenue Code of 1986;’’. years beginning after December 31, 2005. 1105(c) of the Intermodal Surface Transpor- tation Efficiency Act of 1991 (105 Stat. 2032), SA 2365. Mr. DORGAN submitted an SA 2366. Mr. DORGAN submitted an as determined by the applicable State and amendment intended to be proposed by amendment intended to be proposed by approved by the Secretary. ‘‘(c) APPORTIONMENT.—For each of fiscal him to the bill S. 1072, to authorize him to the bill S. 1072, to authorize years 2004 through 2009, the Secretary shall funds for Federal-aid highways, high- funds for Federal-aid highways, high- apportion funds made available under this way safety programs, and transit pro- way safety programs, and transit pro- section for the fiscal year to each State in grams, and for other purposes; which grams, and for other purposes; which

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00133 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1090 CONGRESSIONAL RECORD — SENATE February 11, 2004 was ordered to lie on the table; as fol- nating subsection (d) as subsection (e) and by ‘‘(6) LANDFILL GAS FACILITIES.—In the case lows: inserting after subsection (c) the following of a facility producing electricity from gas At the appropriate place insert the fol- new subsection: derived from the biodegradation of munic- lowing: ‘‘(d) QUALIFIED FACILITIES.—For purposes ipal solid waste, the term ‘qualified facility’ means any facility owned by the taxpayer SEC. ll. EXTENSION AND EXPANSION OF CRED- of this section— IT FOR ELECTRICITY PRODUCED ‘‘(1) WIND FACILITY.—In the case of a facil- which is originally placed in service after FROM CERTAIN RENEWABLE RE- ity using wind to produce electricity, the December 31, 2003, and before January 1, 2007. SOURCES. term ‘qualified facility’ means any facility ‘‘(7) TRASH COMBUSTION FACILITIES.—In the (a) EXPANSION OF QUALIFIED ENERGY RE- owned by the taxpayer which is originally case of a facility which burns municipal SOURCES.—Subsection (c) of section 45 of the placed in service after December 31, 1993, and solid waste to produce electricity, the term Internal Revenue Code of 1986 (relating to before January 1, 2007. ‘qualified facility’ means any facility owned electricity produced from certain renewable ‘‘(2) CLOSED-LOOP BIOMASS FACILITY.— by the taxpayer which is originally placed in resources) is amended to read as follows: ‘‘(A) IN GENERAL.—In the case of a facility service after December 31, 2003, and before ‘‘(c) QUALIFIED ENERGY RESOURCES.—For using closed-loop biomass to produce elec- January 1, 2007.’’. purposes of this section— tricity, the term ‘qualified facility’ means (2) CONFORMING AMENDMENT.—Section 45(e) ‘‘(1) IN GENERAL.—The term ‘qualified en- any facility— of such Code, as so redesignated, is amended ergy resources’ means— ‘‘(i) owned by the taxpayer which is origi- by striking ‘‘subsection (c)(3)(A)’’ in para- ‘‘(A) wind, nally placed in service after December 31, graph (7)(A)(i) and inserting ‘‘subsection ‘‘(B) closed-loop biomass, 1992, and before January 1, 2007, or (d)(1)’’. ‘‘(C) open-loop biomass, (c) SPECIAL CREDIT RATE AND PERIOD FOR ‘‘(D) geothermal energy, ‘‘(ii) owned by the taxpayer which before ELECTRICITY PRODUCED AND SOLD AFTER EN- ‘‘(E) solar energy, January 1, 2007, is originally placed in service and modified to use closed-loop biomass ACTMENT DATE.—Section 45(b) of the Internal ‘‘(F) small irrigation power, and Revenue Code of 1986 is amended by adding ‘‘(G) municipal solid waste. to co-fire with coal, with other biomass, or with both, but only if the modification is ap- at the end the following new paragraph: ‘‘(2) CLOSED-LOOP BIOMASS.—The term ‘‘(4) CREDIT RATE AND PERIOD FOR ELEC- ‘closed-loop biomass’ means any organic ma- proved under the Biomass Power for Rural TRICITY PRODUCED AND SOLD FROM CERTAIN terial from a plant which is planted exclu- Development Programs or is part of a pilot FACILITIES.— sively for purposes of being used at a quali- project of the Commodity Credit Corporation ‘‘(A) CREDIT RATE.—In the case of elec- fied facility to produce electricity. as described in 65 Fed. Reg. 63052. tricity produced and sold after the date of ‘‘(3) OPEN-LOOP BIOMASS.— ‘‘(B) SPECIAL RULES.—In the case of a the enactment of this paragraph at any ‘‘(A) IN GENERAL.—The term ‘open-loop bio- qualified facility described in subparagraph qualified facility described in paragraph (3), mass’ means— (A)(ii)— (5), (6), or (7) of subsection (d), the amount in ‘‘(i) any agricultural livestock waste nutri- ‘‘(i) the 10-year period referred to in sub- effect under subsection (a)(1) for any cal- ents, or section (a) shall be treated as beginning no endar year beginning with the calendar year ‘‘(ii) any solid, nonhazardous, cellulosic earlier than January 1, 2004, waste material which is segregated from ‘‘(ii) the amount of the credit determined in which such date occurs (determined before other waste materials and which is derived under subsection (a) with respect to the fa- the application of the last sentence of para- from— cility shall be an amount equal to the graph (2) of this subsection) shall be reduced ‘‘(I) any of the following forest-related re- amount determined without regard to this by one-third. sources: mill and harvesting residues, clause multiplied by the ratio of the thermal ‘‘(B) CREDIT PERIOD.— precommercial thinnings, slash, and brush, content of the closed-loop biomass used in ‘‘(i) IN GENERAL.—Except as provided in ‘‘(II) solid wood waste materials, including such facility to the thermal content of all clause (ii), in the case of any facility de- waste pallets, crates, dunnage, manufac- fuels used in such facility, and scribed in paragraph (3), (4), (5), (6), or (7) of turing and construction wood wastes (other ‘‘(iii) if the owner of such facility is not subsection (d), the 5-year period beginning than pressure-treated, chemically-treated, or the producer of the electricity, the person el- on the date the facility was originally placed painted wood wastes), and landscape or igible for the credit allowable under sub- in service shall be substituted for the 10-year right-of-way tree trimmings, but not includ- section (a) shall be the lessee or the operator period in subsection (a)(2)(A)(ii). ing municipal solid waste, gas derived from of such facility. ‘‘(ii) CERTAIN OPEN-LOOP BIOMASS FACILI- the biodegradation of solid waste, or paper ‘‘(3) OPEN-LOOP BIOMASS FACILITIES.— TIES.—In the case of any facility described in which is commonly recycled, or ‘‘(A) IN GENERAL.—In the case of a facility subsection (d)(3)(A)(ii) placed in service be- ‘‘(III) agriculture sources, including or- using open-loop biomass to produce elec- fore January 1, 2004, the 5-year period begin- chard tree crops, vineyard, grain, legumes, tricity, the term ‘qualified facility’ means ning on January 1, 2004, shall be substituted sugar, and other crop by-products or resi- any facility owned by the taxpayer which— for the 10-year period in subsection dues. ‘‘(i) in the case of a facility using agricul- (a)(2)(A)(ii).’’. Such term shall not include closed-loop bio- tural livestock waste nutrients— (d) COORDINATION WITH SECTION 48.—Sec- mass. ‘‘(I) is originally placed in service after De- tion 48(a)(3) of the Internal Revenue Code of ‘‘(B) AGRICULTURAL LIVESTOCK WASTE NU- cember 31, 2003, and before January 1, 2007, 1986 (defining energy property) is amended TRIENTS.— and by adding at the end the following new sen- ‘‘(i) IN GENERAL.—The term ‘agricultural ‘‘(II) the nameplate capacity rating of tence: ‘‘Such term shall not include any livestock waste nutrients’ means agricul- which is not less than 150 kilowatts, and property which is part of a facility the pro- tural livestock manure and litter, including ‘‘(ii) in the case of any other facility, is duction from which is allowed as a credit wood shavings, straw, rice hulls, and other originally placed in service before January 1, under section 45 for the taxable year or any bedding material for the disposition of ma- 2007. prior taxable year.’’. nure. ‘‘(B) CREDIT ELIGIBILITY.—In the case of (e) ELIMINATION OF CERTAIN CREDIT REDUC- ‘‘(ii) AGRICULTURAL LIVESTOCK.—The term any facility described in subparagraph (A), if TIONS.—Section 45(b)(3) of the Internal Rev- ‘agricultural livestock’ includes bovine, the owner of such facility is not the producer enue Code of 1986 (relating to credit reduced swine, poultry, and sheep. of the electricity, the person eligible for the for grants, tax-exempt bonds, subsidized en- ‘‘(4) GEOTHERMAL ENERGY.—The term ‘geo- credit allowable under subsection (a) shall be ergy financing, and other credits) is amend- thermal energy’ means energy derived from the lessee or the operator of such facility. ed— a geothermal deposit (within the meaning of ‘‘(4) GEOTHERMAL OR SOLAR ENERGY FACIL- (1) by inserting ‘‘the lesser of 1⁄2 or’’ before section 613(e)(2)). ITY.—In the case of a facility using geo- ‘‘a fraction’’ in the matter preceding sub- ‘‘(5) SMALL IRRIGATION POWER.—The term thermal or solar energy to produce elec- paragraph (A), and ‘small irrigation power’ means power— tricity, the term ‘qualified facility’ means (2) by adding at the end the following new ‘‘(A) generated without any dam or im- any facility owned by the taxpayer which is sentence: ‘‘This paragraph shall not apply poundment of water through an irrigation originally placed in service after December with respect to any facility described in sub- system canal or ditch, and 31, 2003, and before January 1, 2007. Such section (d)(2)(A)(ii).’’. ‘‘(B) the nameplate capacity rating of term shall not include any property de- (f) CREDIT ALLOWED AGAINST REGULAR AND which is not less than 150 kilowatts but is scribed in section 48(a)(3) the basis of which MINIMUM TAX.— less than 5 megawatts. is taken into account by the taxpayer for (1) IN GENERAL.—Subsection (c) of section ‘‘(6) MUNICIPAL SOLID WASTE.—The term purposes of determining the energy credit 38 of the Internal Revenue Code of 1986 (re- ‘municipal solid waste’ has the meaning under section 48. lating to limitation based on amount of tax) given the term ‘solid waste’ under section ‘‘(5) SMALL IRRIGATION POWER FACILITY.—In is amended by redesignating paragraph (4) as 2(27) of the Solid Waste Disposal Act (42 the case of a facility using small irrigation paragraph (5) and by inserting after para- U.S.C. 6903).’’. power to produce electricity, the term graph (3) the following new paragraph: (b) EXTENSION AND EXPANSION OF QUALIFIED ‘qualified facility’ means any facility owned ‘‘(4) SPECIAL RULES FOR WIND ENERGY CRED- FACILITIES.— by the taxpayer which is originally placed in IT.— (1) IN GENERAL.—Section 45 of the Internal service after December 31, 2003, and before ‘‘(A) IN GENERAL.—In the case of any wind Revenue Code of 1986 is amended by redesig- January 1, 2007. energy credit—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00134 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1091 ‘‘(i) this section and section 39 shall be ap- (i) EXTENSION OF CUSTOMS USER FEES.— SA 2369. Mr. GRASSLEY (for himself plied separately with respect to such credit, Section 13031(j)(3) of the Consolidated Omni- and Mr. BAUCUS) submitted an amend- and bus Budget Reconciliation Act of 1985 (19 ment intended to be proposed by him ‘‘(ii) in applying paragraph (1) to such cred- U.S.C. 58c(j)(3)) is amended by striking to the bill S. 1072, to authorize funds it— ‘‘March 31, 2004’’ and inserting ‘‘December 31, ‘‘(I) the tentative minimum tax shall be 2013’’. for Federal-aid highways, highway treated as being zero, and safety programs, and transit programs, ‘‘(II) the limitation under paragraph (1) (as SA 2367. Mr. AKAKA submitted an and for other purposes; which was or- modified by subclause (I)) shall be reduced amendment intended to be proposed by dered to lie on the table; as follows: by the credit allowed under subsection (a) for him to the bill S. 1072, to authorize Beginning on page 110, line 15, strike all the taxable year (other than the wind energy funds for Federal-aid highways, high- through page 115, line 9. credit). way safety programs, and transit pro- ‘‘(B) WIND ENERGY CREDIT.—For purposes of grams, and for other purposes; which SA 2370. Ms. SNOWE (for herself and this subsection, the term ‘wind energy cred- was ordered to lie on the table; as fol- Ms. COLLINS) submitted an amendment it’ means the credit determined under sec- intended to be proposed to amendment tion 45 to the extent that such credit is at- lows: SA 2285 proposed by Mr. INHOFE to the tributable to electricity produced— On page 715, strike line 1 and insert the fol- ‘‘(i) at a facility which is originally placed lowing: bill S. 1072, to authorize funds for Fed- in service after the date of the enactment of SEC. 3044. MEDICAL TRANSPORTATION DEM- eral-aid highways, highway safety pro- this paragraph, and ONSTRATION GRANTS. grams, and transit programs, and for ‘‘(ii) during the 4-year period beginning on (a) IN GENERAL.—Chapter 53 is amended by other purposes; which was ordered to the date that such facility was originally adding at the end the following: lie on the table; as follows: placed in service.’’. ‘‘§ 5341. Medical transportation demonstra- At the end of part 2 of subtitle A of title (2) CONFORMING AMENDMENTS.— tion grants IV, add the following: (A) Paragraph (2)(A)(ii)(II) of section 38(c) ‘‘(a) GRANTS AUTHORIZED.— SEC. 4163. COMMERCIAL TRUCK HIGHWAY SAFE- of such Code is amended by striking ‘‘or’’ ‘‘(1) IN GENERAL.—The Secretary may TY DEMONSTRATION PROGRAM. and inserting a comma and by inserting ‘‘, award demonstration grants to eligible enti- (a) SHORT TITLE.—This section may be and the wind energy credit’’ after ‘‘employee ties to provide transportation services to in- cited as the ‘‘Commercial Truck Highway credit’’. dividuals to access dialysis treatments and Safety Demonstration Program Act of 2004’’. (B) Paragraph (3)(A)(ii)(II) of section 38(c) other medical treatments for diabetes or (b) FINDINGS.—Congress makes the fol- of such Code is amended by inserting ‘‘and renal disease. lowing findings: the wind energy credit’’ after ‘‘employee ‘‘(2) ELIGIBLE ENTITIES.—An entity shall be (1) Public safety on the highways of the credit’’. eligible to receive a grant under this section United States is a paramount concern of all (g) EFFECTIVE DATES.— if the entity— who use the highways and all who prescribe (1) IN GENERAL.—Except as otherwise pro- ‘‘(A) meets the conditions described in sec- public policy for the use of those highways, vided in this subsection, the amendments tion 501(c)(3) of the Internal Revenue Code of including public policy on the operation of made by this section shall apply to elec- 1986; or heavy commercial trucks on highways. tricity produced and sold after December 31, ‘‘(B) is an agency of a State or unit of local (2) Federal highway funding law effectively 2003, in taxable years ending after such date. government. imposes a limit of 80,000 pounds on the (2) CERTAIN BIOMASS FACILITIES.—With re- ‘‘(b) USE OF FUNDS.—Grant funds received weight of vehicles permitted to use Inter- spect to any facility described in section under this section may be used to provide state System highways. 45(d)(3)(A)(ii) of the Internal Revenue Code of transportation services to individuals to ac- (3) The administration of this law in Maine 1986, as added by subsection (b)(1), which is cess dialysis treatments and other medical has forced heavy tractor-trailer and tractor- placed in service before January 1, 2004, the treatments for diabetes or renal disease. semitrailer combination vehicles traveling amendments made by this section shall ‘‘(c) APPLICATION.— into Maine from neighboring States and Can- apply to electricity produced and sold after ‘‘(1) IN GENERAL.—Each eligible entity de- ada to divert onto small State and local December 31, 2003, in taxable years ending siring a grant under this section shall sub- roads where higher vehicle weight limits after such date. mit an application to the Secretary at such apply under Maine law. (3) CREDIT RATE AND PERIOD FOR NEW FA- time, at such place, and containing such in- (4) The diversion of those vehicles onto CILITIES.—The amendments made by sub- formation as the Secretary may reasonably such roads causes significant economic hard- section (c) shall apply to electricity pro- require. ships and safety challenges for small com- duced and sold after the date of the enact- ‘‘(2) SELECTION OF GRANTEES.—In awarding munities located along those roads. ment of this Act, in taxable years ending grants under this section, the Secretary (5) Permitting heavy commercial vehicles, after such date. shall give preference to eligible entities from including tanker trucks carrying hazardous (4) NONAPPLICATION OF AMENDMENTS TO communities with— material and fuel oil, to travel on Interstate PREEFFECTIVE DATE POULTRY WASTE FACILI- ‘‘(A) high incidence of diabetes; System highways in Maine— TIES.—The amendments made by this section ‘‘(B) high incidence of renal disease; and (A) would enhance public safety by reduc- shall not apply with respect to any poultry ‘‘(C) limited access to dialysis facilities. ing— waste facility (within the meaning of section ‘‘(d) RULEMAKING.—The Secretary shall (i) the number of heavy vehicles that use 45(c)(3)(C), as in effect on the day before the issue regulations to implement and admin- town and city streets in Maine; and date of the enactment of this Act) placed in ister the grant program established under (ii) as a result, the number of dangerous service before January 1, 2004. this section. interactions between those heavy vehicles (5) WIND CREDIT ALLOWED AGAINST REGULAR ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— and such other vehicles as school buses and AND MINIMUM TAX.—The amendments made There are authorized to be appropriated such private vehicles; and by subsection (f) shall apply to taxable years sums as may be necessary for each of fiscal (B) would reduce the net highway mainte- ending after the date of the enactment of year 2005 through 2009 to carry out this sec- nance costs in Maine because the Interstate this Act. tion, which shall remain available until ex- System highways, unlike the secondary pended.’’. (h) GAO STUDY.—The Comptroller General roads of Maine, are built to accommodate (b) CONFORMING AMENDMENT.—The table of of the United States shall conduct a study on heavy vehicles and are, therefore, more dura- sections for chapter 53 is amended by adding the market viability of producing electricity ble. at the end the following: from resources with respect to which credit (c) DEFINITIONS.—In this section: is allowed under section 45 of the Internal ‘‘5341. Medical transportation demonstration (1) COVERED INTERSTATE SYSTEM HIGHWAY.— Revenue Code of 1986 but without such cred- grants.’’. (A) IN GENERAL.—The term ‘‘covered Inter- it. In the case of open-loop biomass and mu- ‘‘SEC. 3045. INTERMODAL PASSENGER FACILI- state System highway’’ means a highway nicipal solid waste resources, the study TIES. within the State of Maine that is designated should take into account savings associated as a route on the Interstate System, except with not having to dispose of such resources. SA 2368. Mr. GRASSLEY (for himself as provided in subparagraph (B). In conducting such study, the Comptroller and Mr. BAUCUS) submitted an amend- (B) EXCEPTION.—The term does not include shall estimate the dollar value of the envi- ment intended to be proposed by him any portion of highway that, as of the date ronmental impact of producing electricity to the bill S. 1072, to authorize funds of the enactment of this section, is exempted from such resources relative to producing for Federal-aid highways, highway from the requirements of subsection (a) of electricity from fossil fuels using the latest section 127 of title 23, United States Code, by generation of technology. Not later than safety programs, and transit programs, the last sentence of such subsection. June 30, 2006, the Comptroller shall report on and for other purposes; which was or- (2) INTERSTATE SYSTEM.—The term ‘‘Inter- such study to the Committee on Ways and dered to lie on the table; as follows: state System’’ has the meaning given that Means of the House of Representatives and Beginning on page 110, line 15, strike all term in section 101(a) of title 23, United the Committee on Finance of the Senate. through page 115, line 9. States Code.

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(d) MAINE TRUCK SAFETY DEMONSTRATION (2) establishes and chairs a highway safety (3) by inserting after paragraph (1) the fol- PROGRAM.—The Secretary of Transportation committee that— lowing new paragraph (2): shall carry out a program, in the administra- (A) the Commissioner uses to review the ‘‘(2) the enforcement of the prohibition tion of this section, to demonstrate the ef- data collected pursuant to paragraph (3); and under section 30112(a)(2) of this title; and’’. fects on the safety of the overall highway (B) consists of representatives of— (c) LIMITATION ON APPLICATION.—The prohi- network in the State of Maine that would re- (i) agencies of the State of Maine that have bition under section 30112(a)(2) of title 49, sult from permitting vehicles described in responsibilities related to highway safety; United States Code, as added by subsection subsection (e)(2) to be operated on the Inter- (ii) municipalities of the State of Maine; (a), shall not apply to any purchase, rental, state System highways within the State. (iii) organizations that have evaluation or lease, or use of a motor vehicle required (e) WAIVER OF HIGHWAY FUNDING REDUC- promotion of highway safety among their under a contract that was entered into be- TION RELATING TO WEIGHT OF VEHICLES USING principal purposes; and fore the date of enactment of this Act. INTERSTATE SYSTEM HIGHWAYS.— (iv) the commercial trucking industry; and (d) AUTHORIZATION OF APPROPRIATIONS.— (1) PROHIBITION RELATING TO CERTAIN VEHI- (3) collects data on the net effects that the There are authorized to be appropriated such CLES.—Notwithstanding section 127(a) of operation of vehicles described in subsection sums as may be necessary to carry out the title 23, United States Code, the total (e)(2) on covered Interstate System highways prohibition under section 30112(a)(2) of title amount of funds apportioned to the State of have on the safety of the overall highway 49, United States Code, as added by sub- Maine under section 104(b)(1) of such title for network in Maine, including the net effects section (a). any period may not be reduced under such on single-vehicle and multiple-vehicle colli- SEC. 4172. FEDERAL OUTREACH EFFORTS. section 127(a) on the basis that the State of sion rates for such vehicles. Between the date of enactment of this Act Maine permits a vehicle described in para- and October 1, 2008, the Secretary of Trans- graph (2) to use a covered Interstate System SA 2371. Ms. SNOWE (for herself and portation, in consultation with the Adminis- highway. Ms. COLLINS) submitted an amendment trator of the National Highway Traffic Safe- (2) COMBINATION VEHICLES IN EXCESS OF intended to be proposed to amendment ty Administration and the Administrator of 80,000 POUNDS.—A vehicle referred to in para- SA 2285 proposed by Mr. INHOFE to the the Federal Motor Carrier Safety Adminis- graph (1) is a vehicle having a weight in ex- bill S. 1072, to authorize funds for Fed- tration, shall conduct an aggressive outreach campaign regarding the use of motor vehi- cess of 80,000 pounds that— eral-aid highways, highway safety pro- (A) consists of a 3-axle tractor unit hauling cles designed or used to transport 9 to 15 pas- a single trailer or semitrailer; and grams, and transit programs, and for sengers as school buses. The outreach cam- (B) does not exceed any vehicle weight lim- other purposes; which was ordered to paign shall be designed to ensure the broad- itation that is applicable under the laws of lie on the table; as follows: est practicable dissemination of outreach the State of Maine to the operation of such On page 1020, between lines 9 and 10, insert campaign information to— vehicle on highways in Maine not in the the following: (1) State departments of transportation; Interstate System, as such laws are in effect SEC. 4663. USE OF CONGESTION MITIGATION AND (2) State departments of education; on the date of the enactment of this section. AIR QUALITY IMPROVEMENT FUNDS (3) local school districts; (3) EFFECTIVE DATE AND TERMINATION.— FOR BOSTON TO PORTLAND PAS- (4) public and private school principals and (A) EFFECTIVE DATE.— SENGER RAIL SERVICE. administrators; and (i) DATE OF SATISFACTION OF ADMINISTRA- Notwithstanding any other provision of (5) public and private child care providers. TIVE CONDITIONS BY MAINE.—The prohibition law, funds authorized to be appropriated SEC. 4173. PENALTY. in paragraph (1) shall take effect on the date under section 1101(5) that are made available Section 30165(a)(1) of title 49, United States on which the Secretary of Transportation to the State of Maine may be used to sup- Code, is amended— notifies the Commissioner of Transportation port, through September 30, 2009, the oper- (1) by striking ‘‘A’’ before ‘‘person’’ and in- of the State of Maine in writing that— ation of passenger rail service between Bos- serting ‘‘(A) Except as provided in subpara- (I) the Secretary has received the plan de- ton, Massachusetts, and Portland, Maine, in- graph (B) of this paragraph, a’’; and scribed in subsection (f)(1); and cluding any extension of such service. (2) by adding at the end the following: (II) the Commissioner has established a ‘‘(B) The maximum amount of a civil pen- highway safety committee as described in SA 2372. Ms. SNOWE submitted an alty under this paragraph shall be $25,000, in subsection (f)(2) and has promulgated rules amendment intended to be proposed to the case of— and procedures for the collection of highway amendment SA 2285 proposed by Mr. ‘‘(i) the manufacture, sale, offer for sale, safety data as described in subsection (f)(3). INHOFE to the bill S. 1072, to authorize introduction or delivery for introduction (ii) PERMANENT EFFECT.—After taking ef- funds for Federal-aid highways, high- into interstate commerce, or importation of fect, the prohibition in paragraph (1) shall way safety programs, and transit pro- a schoolbus or schoolbus equipment (as those remain in effect unless terminated under terms are defined in section 30125(a) of this subparagraph (B). grams, and for other purposes; which title) in violation of section 30112(a)(1) of (B) CONTINGENT TERMINATION.—The prohi- was ordered to lie on the table; as fol- this title; or bition in paragraph (1) shall terminate 3 lows: ‘‘(ii) a violation of section 30112(a)(2) of years after the effective date applicable At the end of subtitle A of title IV, add the this title. under subparagraph (A) if, before the end of following: ‘‘(C) Subparagraph (B) shall not affect the such 3-year period, the Secretary of Trans- PART 3—MISCELLANEOUS SAFETY PROVISIONS maximum penalty that may be imposed portation— under subparagraph (A) for a related series of SEC. 4171. PROHIBITION ON PURCHASE, RENTAL, (i) determines that— LEASE, OR USE OF NONCOMPLYING violations. (I) operation of vehicles described in para- 15-PASSENGER VANS FOR USE AS ‘‘(D) Notwithstanding section 3302(b) of graph (2) on covered Interstate System high- SCHOOL BUSES. title 31, penalties collected under subpara- ways in Maine has adversely affected safety (a) PROHIBITION.—Section 30112(a) of title graph (B)— on the overall highway network in Maine; or 49, United States Code, is amended— ‘‘(i) shall be credited as offsetting collec- (II) the Commissioner of Transportation of (1) by inserting ‘‘(1)’’ before ‘‘Except as tions to the account that funds the enforce- the State of Maine has failed faithfully to provided in this section’’; and ment of subparagraph (B); use the highway safety committee as de- (2) by adding at the end the following: ‘‘(ii) shall be available for expenditure only scribed in subsection (f)(2)(A) or to collect ‘‘(2) Except as provided in this section, sec- to pay the costs of such enforcement; and data as described in subsection (f)(3); and tions 30113 and 30114 of this title, and sub- ‘‘(iii) shall remain available until ex- (ii) publishes the determination, together chapter III of this chapter, a person may not, pended.’’. with the date of the termination of the pro- after September 30, 2008, purchase, rent, hibition, in the Federal Register. lease, or use any motor vehicle designed or SA 2373. Ms. SNOWE submitted an (4) CONSULTATION REGARDING TERMINATION used to transport 9 to 15 passengers that the amendment intended to be proposed to FOR SAFETY.—In making a determination person knows or reasonably should know will amendment SA 2285 proposed by Mr. under paragraph (3)(B)(i)(I), the Secretary of be used to a significant extent to transport INHOFE to the bill S. 1072, to authorize Transportation shall consult with the high- preschool, primary, and secondary school funds for Federal-aid highways, highway safety committee established by the students to or from school or an event re- Commissioner in accordance with subsection way safety programs, and transit pro- lated to school, unless the motor vehicle grams, and for other purposes; which (f). complies with the motor vehicle standards (f) RESPONSIBILITIES OF THE STATE OF prescribed for school buses under section was ordered to lie on the table; as fol- MAINE.—For the purposes of subsection (e), 30125 of this title.’’. lows: the State of Maine satisfies the conditions of (b) ENFORCEMENT.—Section 113(f) of title At the end of title III add the following this subsection if the Commissioner of 49, United States Code, is amended— new section: Transportation of the State of Maine— (1) in paragraph (1), by striking ‘‘and’’ at SEC. 3045. FUNDS FOR CAPITAL INVESTMENT (1) submits to the Secretary of Transpor- the end; FOR PUBLIC TRANSPORTATION. tation a plan for satisfying the conditions (2) by redesignating paragraph (2) as para- (a) REPEAL OF AUTHORITY TO MAKE set forth in paragraphs (2) and (3); graph (3); and LOANS.—Section 5309(a) is amended—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00136 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1093 (1) in paragraph (1), by striking ‘‘and INHOFE to the bill S. 1072, to authorize amounts authorized by that section, there loans’’; and funds for Federal-aid highways, high- are authorized to be appropriated out of the (2) in paragraph (2), by striking ‘‘and way safety programs, and transit pro- Highway Trust Fund (other than the Mass loans’’. grams, and for other purposes; which Transit Account) for carrying out the infra- (b) GRANTS FOR FERRYBOAT PROJECTS.— structure performance and maintenance pro- Paragraph (1)(F) of such section is amended was ordered to lie on the table; as fol- gram under this section— to read as follows: lows: ‘‘(A) $2,000,000,000 for each of fiscal years ‘‘(F) capital projects to replace, rehabili- On page 115, between lines 9 and 10, insert 2004 and 2005; and tate, and purchase buses, ferryboats, and re- the following: ‘‘(B) $1,750,000,000 for each of fiscal years 2006, 2007, and 2008. lated equipment and to construct bus-related SEC. 1309. USE OF PROCEEDS FROM CERTAIN and ferryboat-related facilities;’’. REAL PROPERTY SALES. SA 2378. Mr. McCAIN submitted an (c) REPEAL OF AUTHORITY TO MAKE LOANS Subsection (c) of section 156 of title 23, FOR REAL PROPERTY INTERESTS.—Section United States, is amended to read as follows: amendment intended to be proposed by 5309(b) is repealed. ‘‘(c) USE OF FEDERAL SHARE OF INCOME.— him to the bill S. 1072, to authorize The Federal share of net proceeds obtained funds for Federal-aid highways, high- SA 2374. Ms. SNOWE (for herself, Mr. by a State under subsection (a) shall be way safety programs, and transit pro- NELSON of Florida, Ms. COLLINS, Mr. treated as Federal funds and applied by the grams, and for other purposes; which GRAHAM of Florida, and Mr. JOHNSON) State to meet the Federal share for projects was ordered to lie on the table; as fol- submitted an amendment intended to eligible to receive funding under this title.’’. lows: be proposed to amendment SA 2285 pro- In section 139 of title 23, United States posed by Mr. INHOFE to the bill S. 1072, SA 2377. Mr. MCCAIN submitted an Code, as added by section 1201 of the amend- to authorize funds for Federal-aid high- amendment intended to be proposed by ment— ways, highway safety programs, and him to the bill S. 1072, to authorize (1) strike ‘‘SET-ASIDE.—’’ in subsection transit programs, and for other pur- funds for Federal-aid highways, high- (b)(2) and insert ‘‘FUNDING.—’’; (2) strike ‘‘of the amounts made available’’ poses; which was ordered to lie on the way safety programs, and transit programs, and for other purposes; which in subsection (b)(2) and insert ‘‘the amounts table; as follows: made available’’; At the end of part 1 of subtitle B of title was ordered to lie on the table; as fol- (3) strike ‘‘$439,000,000’’ in subsection (b)(2); IV, add the following: lows: (4) strike ‘‘allocated’’ in subsection SEC. 4251. INCREASED MCSAP PARTICIPATION In section 139 of title 23, United States (c)(1)(A) and insert ‘‘apportioned’’; IMPACT STUDY. Code, as added by section 1201 of the amend- (5) strike ‘‘subsection (d).’’ in subsection (a) IN GENERAL.—If a State that did not re- ment— (c)(1)(B) and insert ‘‘subsection (e).’’; (6) redesignate subsections (d) and (e) as ceive its full allocation of funding under the (1) strike ‘‘SET-ASIDE.—’’ in subsection subsections (e) and (f), respectively, and in- Motor Carrier Safety Assistance Program (b)(2) and insert ‘‘FUNDING.—’’; sert the following after subsection (c): during fiscal year 2003 agrees to enter into a (2) strike ‘‘of the amounts made available’’ (d) DISTRIBUTION OF FUNDS.—On October 1 cooperative agreement with the Secretary of in subsection (b)(2) and insert ‘‘the amounts of each fiscal year, the Secretary shall ap- Transportation to evaluate the safety im- made available’’; portion the funds available for allocation pact, costs, and benefits of allowing such (3) strike ‘‘$439,000,000’’ in subsection (b)(2); under this section among the several States State to continue to participate fully in the (4) strike ‘‘allocated’’ in subsection according to the ratio that— Motor Carrier Safety Assistance Program, (c)(1)(A) and insert ‘‘apportioned’’; ‘‘(1) the percentage of tax payments attrib- then the Secretary of Transportation shall (5) strike ‘‘subsection (d).’’ in subsection utable to highway users in each State paid allocate to that State the full amount of (c)(1)(B) and insert ‘‘subsection (e).’’; into the Highway Trust Fund (other than the funds to which it would otherwise be entitled (6) redesignate subsections (d) and (e) as Mass Transit Account), bears to for fiscal years 2004, 2005, 2006, 2007, 2008, and subsections (e) and (f), respectively, and in- ‘‘(2) the 100 percent of tax payments attrib- 2009. The Secretary of Transportation may sert the following after subsection (c): utable to highway users in all States paid not add conditions to the cooperative agree- ‘‘(d) DISTRIBUTION OF FUNDS.—On October 1 into the Highway Trust Fund (other than the ment other than those directly relating to of each fiscal year, the Secretary shall ap- Mass Transit Account).’’; and the accurate and timely collection of inspec- portion the funds available for allocation (7) strike subsection (e), as redesignated, tion and crash data sufficient to ascertain under this section among the several States and insert the following: the safety and effectiveness of such State’s according to the ratio that— ‘‘(e) REDISTRIBUTION OF ALLOCATED FUNDS program. ‘‘(1) the total funds apportioned to each AND OBLIGATION AUTHORITY.—On the date (b) REQUIREMENTS.— State under the Federal-aid Highway Pro- that is 180 days after the date of apportion- (1) REPORT.—The State shall annually sub- gram, bears to ment, or as soon thereafter as practicable, mit to the Secretary of Transportation, the ‘‘(2) the total funds apportioned to all for each fiscal year, the Secretary shall— results of the safety evaluations described in States under the Federal-aid Highway Pro- ‘‘(1) withdraw— subsection (a). gram.’’; and ‘‘(A) any funds allocated to a State under (2) TERMINATION BY SECRETARY.—If the Sec- (7) strike subsection (e), as redesignated, this section that remain unobligated; and retary of Transportation finds that a cooper- and insert the following: ‘‘(B) an equal amount of obligation authority provided for the use of the funds in ac- ative agreement entered into under this sec- ‘‘(e) REDISTRIBUTION OF ALLOCATED FUNDS cordance with section 1101(a)(14) of the Safe, tion is not in the public interest based on the AND OBLIGATION AUTHORITY.—On the date results of the annual evaluations after 2 that is 180 days after the date of apportion- Accountable, Flexible, and Efficient Trans- years of full participation by the State, the ment, or as soon thereafter as practicable, portation Equity Act of 2003; and ‘‘(2) reallocate the funds and redistribute Secretary of Transportation may terminate for each fiscal year, the Secretary shall— the obligation authority to those States the cooperative agreement. ‘‘(1) withdraw— that— (c) PROHIBITION OF ADOPTION OF LESSER ‘‘(A) any funds allocated to a State under STANDARDS.—No State may enact or imple- ‘‘(A) have fully obligated all amounts, allo- this section that remain unobligated; and cated under this section for the fiscal year; ment motor carrier safety regulations that ‘‘(B) an equal amount of obligation author- are determined by the Secretary of Trans- and ity provided for the use of the funds in ac- ‘‘(B) demonstrate that the State is able to portation to be less strict than those in ef- cordance with section 1101(a)(14) of the Safe, obligate additional amounts for projects eli- fect as of September 30, 2003. Accountable, Flexible, and Efficient Trans- gible under this section before the end of the portation Equity Act of 2003; and SA 2375. Mr. MCCAIN submitted an fiscal year. ‘‘(2) reallocate the funds and redistribute ‘‘(f) APPLICATION WITH SECTION 105.—Not- amendment intended to be proposed to the obligation authority to those States withstanding section 105(a)(2)(H) of this title, amendment SA 2285 proposed by Mr. that— section 105(a) shall not apply to funds appor- INHOFE to the bill S. 1072, to authorize ‘‘(A) have fully obligated all amounts allo- tioned under this section.’’. funds for Federal-aid highways, high- cated under this section for the fiscal year; ‘‘(g) DISTRIBUTION OF FUNDS.— way safety programs, and transit pro- and ‘‘(1) INFRASTRUCTURE PERFORMANCE AND grams, and for other purposes; which ‘‘(B) demonstrate that the State is able to MAINTENANCE PROGRAM DISTRIBUTION.—Not- was ordered to lie on the table; as fol- obligate additional amounts for projects eli- withstanding section 1101(13) of the Safe, Ac- gible under this section before the end of the countable, Flexible, and Efficient Transpor- lows: fiscal year.’’. tation Equity Act of 2004, and in lieu of the On page 1062, beginning with line 11, strike ‘‘(f) DISTRIBUTION OF FUNDS.— amounts authorized by that section, there through line 2 on page 1064. ‘‘(1) INFRASTRUCTURE PERFORMANCE AND are authorized to be appropriated out of the MAINTENANCE PROGRAM DISTRIBUTION.—Not- Highway Trust Fund (other than the Mass SA 2376. Mr. MCCAIN submitted an withstanding section 1101(13) of the Safe, Ac- Transit Account) for carrying out the infra- amendment intended to be proposed to countable, Flexible, and Efficient Transpor- structure performance and maintenance pro- amendment SA 2285 proposed by Mr. tation Equity Act of 2004, and in lieu of the gram under this section—

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‘‘(A) $2,000,000,000 for each of fiscal years SUBTITLE F—AMTRAK REAUTHORIZATION (2) strike ‘‘of the amounts made available’’ 2004 and 2005; and SEC. 4601. AUTHORIZATION OF APPROPRIATIONS. in subsection (b)(2) and insert ‘‘the amounts ‘‘(B) $1,750,000,000 for each of fiscal years The text of section 24104 of title 49, United made available’’; 2006, 2007, and 2008. States Code, is amended to read as follows: (3) strike ‘‘$439,000,000’’ in subsection (b)(2); ‘‘There are authorized to be appropriated (4) strike ‘‘allocated’’ in subsection SA 2379. Mr. MCCAIN (for himself and to the Secretary of Transportation (c)(1)(A) and insert ‘‘apportioned’’; Mr. HOLLINGS) submitted an amend- $2,000,000,000 for each of fiscal years 2004, (5) strike ‘‘subsection (d).’’ in subsection ment intended to be proposed to 2005, 2006, 2007, 2008, and 2009 for the benefit (c)(1)(B) and insert ‘‘subsection (e).’’; (6) redesignate subsections (d) and (e) as amendment SA 2285 proposed by Mr. of intercity rail passenger service for oper- subsections (e) and (f), respectively, and in- ating and capital expenses.’’. INHOFE to the bill S. 1072, to authorize sert the following after subsection (c): funds for Federal-aid highways, high- ‘‘(d) DISTRIBUTION OF FUNDS.—On October 1 SA 2385. Mr. MCCAIN submitted an way safety programs, and transit proof each fiscal year, the Secretary shall ap- grams, and for other purposes; which amendment intended to be proposed by portion the funds available for allocation was ordered to lie on the table; as fol- him to the bill S. 1072, to authorize under this section among the several States lows: funds for Federal-aid highways, high- according to the ratio that— way safety programs, and transit pro- ‘‘(1) the percentage of tax payments attrib- On page 299, strike lines 2 through 8. grams, and for other purposes; which utable to highway users in each State paid into the Highway Trust Fund (other than the SA 2380. Mr. MCCAIN (for himself and was ordered to lie on the table; as follows: Mass Transit Account), bears to Mr. HOLLINGS) submitted an amend- ‘‘(2) the 100 percent of tax payments attrib- ment intended to be proposed to In section 139 of title 23, United States utable to highway users in all States paid amendment SA 2285 proposed by Mr. Code, as added by section 1201 of the amend- into the Highway Trust Fund (other than the ment— INHOFE to the bill S. 1072, to authorize Mass Transit Account).’’; and (1) strike ‘‘SET-ASIDE.—’’ in subsection (7) strike subsection (e), as redesignated, funds for Federal-aid highways, high- (b)(2) and insert ‘‘Funding.—’’; way safety programs, and transit pro- and insert the following: (2) strike ‘‘of the amounts made available’’ ‘‘(e) REDISTRIBUTION OF ALLOCATED FUNDS grams, and for other purposes; which in subsection (b)(2) and insert ‘‘the amounts AND OBLIGATION AUTHORITY.—On the date was ordered to lie on the table; as fol- made available’’; that is 180 days after the date of apportion- lows: (3) strike ‘‘$439,000,000’’ in subsection (b)(2); ment, or as soon thereafter as practicable, (4) strike ‘‘allocated’’ in subsection On page 508, beginning with line 1, strike for each fiscal year, the Secretary shall— (c)(1)(A) and insert ‘‘apportioned’’; through line 25 on page 515. ‘‘(1) withdraw— (5) strike ‘‘subsection (d).’’ in subsection ‘‘(A) any funds allocated to a State under (c)(1)(B) and insert ‘‘subsection (e).’’; SA 2381. Mr. MCCAIN (for himself and this section that remain unobligated; and (6) redesignate subsections (d) and (e) as ‘‘(B) an equal amount of obligation author- Mr. HOLLINGS) submitted an amend- subsections (e) and (f), respectively, and in- ment intended to be proposed to ity provided for the use of the funds in ac- sert the following after subsection (c): cordance with section 1101(a)(14) of the Safe, amendment SA 2285 proposed by Mr. ‘‘(d) DISTRIBUTION OF FUNDS.—On October 1 Accountable, Flexible, and Efficient Trans- INHOFE to the bill S. 1072, to authorize of each fiscal year, the Secretary shall ap- portation Equity Act of 2003; and funds for Federal-aid highways, high- portion the funds available for allocation ‘‘(2) reallocate the funds and redistribute ways safety programs, and transit pro- under this section among the several States the obligation authority to those States grams, and for other purposes; which according to the ratio that— that— ‘‘(1) the total funds apportioned to each ‘‘(A) have fully obligated all amounts allo- was ordered to lie on the table; as fol- State under the Federal-aid Highway Pro- lows: cated under this section for the fiscal year; gram, bears to and On page 287, beginning with line 12, strike ‘‘(2) the total funds apportioned to all ‘‘(B) demonstrate that the State is able to through line 2 on page 288. States under the Federal-aid Highway Pro- obligate additional amounts for projects eli- gram.’’; and gible under this section before the end of the SA 2382. Mr. MCCAIN (for himself and (7) strike subsection (e), as redesignated, fiscal year. Mr. HOLLINGS) submitted an amend- and insert the following: ‘‘(f) APPLICATION WITH SECTION 105.—Not- ment intended to be proposed to ‘‘(e) REDISTRIBUTION OF ALLOCATED FUNDS withstanding section 105(a)(2)(H) of this title, amendment SA 2285 proposed by Mr. AND OBLIGATION AUTHORITY.—On the date section 105(a) shall not apply to funds appor- that is 180 days after the date of apportion- tioned under this section.’’. INHOFE to the bill S. 1072, to authorize ment, or as soon thereafter as practicable, funds for Federal-aid highways, high- for each fiscal year, the Secretary shall— Mr. MCCAIN submitted an ways safety programs, and transit pro- SA 2387. ‘‘(1) withdraw— amendment intended to be proposed by grams, and for other purposes; which ‘‘(A) any funds allocated to a State under him to the bill S. 1072, to authorize was ordered to lie on the table; as fol- this section that remain unobligated; and funds for Federal-aid highways, high- lows: ‘‘(B) an equal amount of obligation authority provided for the use of the funds in ac- ways safety programs, and transit pro- On page 79, beginning with line 11, strike cordance with section 1101(a)(14) of the Safe, grams, and for other purposes; which through line 3 on page 80. Accountable, Flexible, and Efficient Trans- was ordered to lie on the table; as fol- portation Equity Act of 2003; and lows: SA 2383. Mr. MCCAIN submitted an ‘‘(2) reallocate the funds and redistribute amendment intended to be proposed to the obligation authority to those States SEC. 1104. EQUITY PROVISION. amendment SA 2285 proposed by Mr. that— (a) IN GENERAL.—Section 105 of title 23, INHOFE to the bill S. 1072, to authorize ‘‘(A) have fully obligated all amounts allo- United States Code, is amended to read as funds for Federal-aid highways, high- cated under this section for the fiscal year; follows: ways safety programs, and transit pro- and ‘‘§ 105. Equity provision grams, and for other purposes; which ‘‘(B) demonstrate that the State is able to ‘‘(a) GENERAL RULE.—For each of fiscal was ordered to lie on the table; as fol- obligate additional amounts for projects eli- years 2004 through 2009, the Secretary shall gible under this section before the end of the lows: ensure that the percentage of apportion- fiscal year.’’. ments of each State is sufficient to ensure Strike section 4601. that, based on the percentage of tax pay- SA 2386. Mr. MCCAIN submitted an ments attributable to highway users in each SA 2384. Mr. MCCAIN submitted an amendment intended to be proposed by State paid into the Highway Trust Fund amendment intended to be proposed to him to the bill S. 1072, to authorize (other than the Mass Transit Account) in the amendment SA 2285 proposed by Mr. funds for Federal-aid highways, high- latest fiscal year for which data are avail- INHOFE to the bill S. 1072, to authorize way safety programs and transit pro- able, no State’s percentage return from the funds for Federal-aid highways, high- grams, and for other purposes; which Highway Trust Fund is less than 100 percent. ‘‘(b) APPORTIONMENTS.—In making an ap- ways safety programs, and transit pro- was ordered to lie on the table; as fol- grams, and for other purposes; which portionment described in subsection (a) for a lows: fiscal year, the Secretary shall ensure that was ordered to lie on the table; as fol- In section 139 of title 23, United States the rate of return of each State from the lows: Code, as added by section 1201 of the amend- Highway Trust Fund includes the total ap- On page 1005, beginning with line 13, strike ment— portionments made for the fiscal year for— through line 9 on page 1020 and insert the fol- (1) strike ‘‘SET-ASIDE.—’’ in subsection ‘‘(1) the Interstate maintenance program lowing: (b)(2) and insert ‘‘FUNDING.—’’; under section 119;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00138 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1095 ‘‘(2) the National Highway System under (C) by striking paragraph (3)(A) and insert- ‘‘(A) for fiscal year 2005, 91 percent; section 103; ing the following: ‘‘(B) for fiscal year 2006, 92 percent; ‘‘(3) the bridge program under section 144; ‘‘(A) IN GENERAL.—For the surface trans- ‘‘(C) for fiscal year 2007, 93 percent; ‘‘(4) the surface transportation program portation program, in the ratio that— ‘‘(D) for fiscal year 2008, 94 percent; under section 133; ‘‘(i) the estimated tax payments attrib- ‘‘(E) for fiscal year 2009, 95 percent. ‘‘(5) the congestion mitigation and air utable to highway users in each State paid ‘‘(3) REMAINDER DISTRIBUTION.—On October into the Highway Trust fund (other than the quality improvement program under section 1 of each fiscal year, the Secretary shall ap- Mass Transit Account) in the latest fiscal 149; portion the funds available for allocation year for which data are available, bears to ‘‘(6) the highway safety improvement pro- under this section among the several States, gram under section 148; ‘‘(ii) the estimated tax payments attributable to highway users in all States paid after the application of paragraph (1), ac- ‘‘(7) the Appalachian development highway cording to the ratio that— system program under section 170; into the Highway Trust fund (other than the ‘‘(1) the percentage of tax payments attrib- ‘‘(8) the recreational trails program under Mass Transit Account) in the latest fiscal utable to highway users in each State paid section 206; year for which data are available.’’; into the Highway Trust Fund (other than the ‘‘(9) the metropolitan planning program (D) by striking ‘‘For’’ in paragraph (4) and Mass Transit Account), bears to under section 104(f); inserting ‘‘Fifty percent of the funds for’’; ‘‘(10) the safe routes to school program and ‘‘(2) 100 percent of tax payments attrib- under section 150; and (E) by adding at the end of paragraph (4) utable to highway users in all States paid ‘‘(11) the railway-highway crossings under the following: into the Highway Trust Fund (other than the section 130. ‘‘(The remaining 50 percent of such funds Mass Transit Account).’’; and ‘‘(c) ADJUSTMENTS.— shall be apportioned in the ratio described in (7) strike subsection (e), as redesignated, ‘‘(1) IN GENERAL.—If in any of fiscal years paragraph (3)(A).’’. and insert the following: 2004 through 2009, the total of the amounts (2) The chapter analysis for chapter 1 of ‘‘(e) REDISTRIBUTION OF ALLOCATED FUNDS authorized under (a) and (b) is more than the title 23, United States Code, is amended by AND OBLIGATION AUTHORITY.—On the date amounts listed in paragraph (2), then the striking the item relating to section 105 and that is 180 days after the date of apportion- Secretary shall proportionally reduce the inserting the following: ment, or as soon thereafter as practicable, amounts apportioned under paragraphs (1) ‘‘105. Equity provision’’. for each fiscal year, the Secretary shall— through (6) so that the total equals the Strike paragraph (13) of section 1101 of the ‘‘(1) withdraw— amount listed under paragraph (2). In mak- amendment and redesignate paragraphs (14) ‘‘(A) any funds allocated to a State under ing such reductions, the Secretary shall en- and (15) as paragraphs (13) and (14), respec- this section that remain unobligated; and sure that no State’s percentage return from tively. ‘‘(B) an equal amount of obligation author- the Highway Trust Fund (other than the ity provided for the use of the funds in ac- Mass Transit Account) is less than 100 per- SA 2388. Mrs. HUTCHISON (for her- cordance with section 1101(a)(13) of the Safe, cent. self, Mr. KYL, Mr. LEVIN, Mr. GRAHAM Accountable, Flexible, and Efficient Trans- ‘‘(2) AMOUNTS.—The amount listed in this of Florida, Mr. MCCAIN, Ms. STABENOW, portation Equity Act of 2003; and paragraph is as follows: and Mrs. FEINSTEIN) submitted an ‘‘(2) reallocate the funds and redistribute ‘‘(A) the amount for 2004 is $35,419,162,743. amendment intended to be proposed to the obligation authority to those States ‘‘(B) the amount for 2005 is $38,142,851,998. amendment SA 2285 proposed by Mr. that— ‘‘(C) the amount for 2006 is $39,323,247,546. ‘‘(A) have fully obligated all amounts allo- INHOFE to the bill S. 1072, to authorize ‘‘(D) the amount for 2007 is $39,084,010,054. cated under this section for the fiscal year; ‘‘(E) the amount for 2008 is $39,386,404,896. funds for Federal-aid highways, high- and ‘‘(F) the amount for 2009 is $44,789,782,206. way safety programs, and transit pro- ‘‘(B) demonstrate that the State is able to ‘‘(3) NEGATIVE AMOUNTS.—If the reduction grams, and for other purposes; which obligate additional amounts for projects eli- required by paragraph (1) for any fiscal year was ordered to lie on the table; as fol- gible under this section before the end of the would result in zero or a negative number, lows: fiscal year. then the Secretary shall apportion the ‘‘(f) APPLICATION WITH SECTION 105.—Not- amount for that fiscal year set forth in para- In section 139 of title 23, United States withstanding section 105(a)(2)(H) of this title, graph (2) among the several States using the Code, as added by section 1201 of the amend- section 105(a) shall not apply to funds appor- formula in subsection (a). ment— (1) strike ‘‘SET-ASIDE.—’’ in subsection tioned under this section.’’. ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— (b)(2) and insert ‘‘FUNDING.—’’ There are authorized to be appropriated out (2) strike ‘‘of the amounts made available’’ of the Highway Trust Fund (other than the SA 2389. Mrs. HUTCHISON submitted in subsection (b)(2) and insert ‘‘the amounts Mass Transit Account) such sums as may be an amendment intended to be proposed made available’’; necessary to carry out this section for each (3) strike ‘‘$439,000,000’’ in subsection (b)(2); to amendment SA 2285 proposed by Mr. of fiscal years 2004 through 2009. (4) strike ‘‘allocated’’ in subsection INHOFE to the bill S. 1072, to authorize ‘‘(e) PROGRAMMATIC DISTRIBUTION OF (c)(1)(A) and insert ‘‘apportioned’’; funds for Federal-aid highways, high- FUNDS.— (5) strike ‘‘subsection (d).’’ in subsection way safety programs, and transit pro- ‘‘(1) INITIAL DISTRIBUTION.—The Secretary (c)(1)(B) and insert ‘‘subsection (e).’’; grams, and for other purposes; which shall apportion $2,500,000,000 of the amounts (6) redesignate subsections (d) and (e) as was ordered to lie on the table; as fol- made available under this section to each subsections (e) and (f), respectively, and in- State in accordance with section 119. sert the following after subsection (c): lows: ‘‘(2) REMAINDER DISTRIBUTION.—The Sec- ‘‘(d) DISTRIBUTION OF FUNDS.— At the end of title IV, add the following: retary shall apportion the remainder of the ‘‘(1) INFRASTRUCTURE PERFORMANCE AND SEC. 4663. AMTRAK CAPITAL EXPENDITURES amounts made available under this section MAINTENANCE PROGRAM DISTRIBUTION.— NORTHEAST CORRIDOR LIMIT. so that the amount apportioned to each Nothwithstanding subsection 1101(13) of the Notwithstanding any other provision of State for each program referred to in para- Safe, Accountable, Flexible, and Efficient law, Amtrak may not expend more than 50 graphs (1) through (6) of subsection (b) is Transportation Equity Act of 2004, and in percent of its total expenditures for capital equal to the amount determined by multi- lieu of the amounts authorized by that sec- projects in any fiscal year for such projects plying the amount to be apportioned under tion, there are authorized to be appropriated on any one Corridor. this paragraph by the ratio that— out of the Highway Trust Fund (other than (A) the amount of funds apportioned to the Mass Transit Account) for carrying out SA 2390. Mrs. HUTCHISON submitted each State for each program referred to in the infrastructure performance and mainte- an amendment intended to be proposed those paragraphs for a fiscal year, bears to nance program under this section— (B) the total amount of funds apportioned ‘‘(A) $2,000,000,000 for each of fiscal years to amendment SA 2285 proposed by Mr. to each State for such program for that fis- 2004 and 2005; and INHOFE to the bill S. 1072, to authorize cal year.’’. ‘‘(B) $1,750,000,000 for each of fiscal years funds for Federal-aid highways, high- (b) CONFORMING AMENDMENTS.— 2006, 2007, and 2008. way safety programs, and transit pro- (1) Section 104(b) of title 23, United States ‘‘(2) EQUITY DISTRIBUTION.—On October 1 of grams, and for other purposes; which Code, is amended— each fiscal year, the Secretary shall reserve was ordered to lie on the table; as fol- (A) by inserting ‘‘50 percent of’’ after a sufficient amount of the funding available ‘‘Highway, and’’ in paragraph (1)(A); to carry out this section to provide a final lows: (B) by redesignating subparagraph (B) of equity adjustment, after making the appor- At the appropriate place, insert the fol- paragraph (1) as subparagraph (C) and insert- tionment under section 105 of this title, for lowing: ing the following after subparagraph (A): each State to increase the percentage return SEC. ———. SECTION 49(f) POLICY ON LANDS, ‘‘(B) The remaining 50 percent of the funds of all highway apportionments, as compared WILDLIFE AND WATERFOWL REF- apportioned under subparagraph (A) shall be to the tax payments attributable to the UGES, AND HISTORIC SITES. apportioned in the ratio described in para- States paid into the Highway Trust Fund (a) IN GENERAL.—Section 138 of title 23, graph (3)(A).’’; (other than the Mass Transit Account), to— United States Code, and section 303 of title

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00139 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1096 CONGRESSIONAL RECORD — SENATE February 11, 2004 49, United States Code, are each amended by pilot projects to demonstrate emergency ‘‘(A) any activity that was an eligible use adding at the end the following matter with communications systems that provide wide- of grants under this section for fiscal year appropriate subsection designation: band, two-way information transfer capabili- 2003; ‘‘( ) TREATMENT OF HISTORIC SITES.—The ties utilizing the public safety spectrum ‘‘(B) any activity otherwise eligible under requirements of this section are deemed to made available by the Federal Communica- this section; and be satisfied where the treatment of an his- tions Commission in the 700 MHz radio fre- ‘‘(C) any other activity undertaken by the toric site (other than a National Historic quency band and that are compliant with the State for the purpose of reducing impaired Landmark) has been agreed upon in accord- public safety wideband data standard TIA– driving unless disapproved by the Secretary ance with section 106 of the National His- 902 as recommended as the wideband data on the basis that it bears no relation to that toric Preservation Act (16 U.S.C. 470f). The interoperability standard by the Public Safe- objective.’’ Secretary, in consultation with the Advisory ty National Coordinating Committee to the Council on Historic Preservation, shall de- Federal Communications Commission. SA 2394. Mr. DAYTON submitted an velop administrative procedures to review (b) LOCATIONS.—Not later than 90 days amendment intended to be proposed by the implementation of this subsection to en- after the date of enactment of this Act, the him to the bill S. 1072, to authorize sure that the objectives of the National His- Secretary shall establish locations for pilot toric Preservation Act are being met.’’. funds for Federal-aid highways, high- projects under this section. In determining way safety programs, and transit pro- (b) ADMINISTRATION.— pilot project locations, the Secretary shall (1) APPROVAL OF STATE REQUESTS FOR certify that pilot project locations awarded grams, and for other purposes; which FUNDS.—The Secretary of Transportation grants have spectrum available for public was ordered to lie on the table; as fol- may approve a request by a State to provide safety purposes and are in the 700 MHz band lows: funds made available under chapter 1 of title pursuant to the Federal Communications 23, United States Code, to a State historic At the appropriate place, add the fol- Commission’s rules. preservation office, Tribal historic preserva- lowing: (c) LIMIT ON TIME.—Grants under this section office, or to the Advisory Council on SEC. 1106. ADDITIONAL FUNDING. tion shall be awarded not later than 12 Historic Preservation to provide the re- (a) IN GENERAL.—In addition to the funds months after the date of enactment of this sources necessary to expedite the historic made available for each surface transpor- Act. preservation review and consultation process tation program by this Act and amendments (d) FUNDING.—Of amounts made available under section 138 of title 23, section 303 of made by this Act, there shall be available for title 49, and under section 470f of title 16, under section 2001(a)(4), $40,000,000 shall be each such program for the period beginning United States Code. available to carry out this section. on the date of enactment of this Act and (2) STATE FUNDING.—The Secretary shall ending September 30, 2009, from the general encourage States to provide such funding to SA 2393. Mr. BURNS submitted an fund of the Treasury, an amount equal to the State historic preservation officers, Tribal amendment intended to be proposed to difference between— historic preservation officers or the Advisory amendment SA 2285 proposed by Mr. (1) the amount of funds made available for Council on Historic Preservation where the INHOFE to the bill S. 1072, to authorize the program under this Act (other than this investment of such funds will accelerate funds for Federal-aid highways, high- section) and amendments made by this Act; completion of a project or classes of projects way safety programs, and transit pro- and or programs by reducing delays in historic grams, and for other purposes; which (2) the amount of funds made available for preservation review and consultation. the program under the Transportation Eq- (3) ADDITIONAL AMOUNTS.—The Secretary was ordered to lie on the table; as fol- uity Act for the 21st Century (Public Law may approve requests under paragraph (1) lows: 105–178) and amendments made by that Act. only— On page 764, between lines 4 and 5, insert (b) ADMINISTRATIVE ACTION.— (A) for the additional amounts that the the following new subsection: (1) IN GENERAL.—Not later than 2 business Secretary determines are necessary for a ‘‘(i) MINIMUM APPORTIONMENT AND CRI- days after the date of enactment of this Act, State historic preservation office, Tribal his- TERIA.— the Secretary of the Treasury shall transfer toric preservation office, or the Advisory ‘‘(1) MINIMUM APPORTIONMENT.—Notwith- to the Secretary the total amount made Council on Historic Preservation to expedite standing any other provision of this section, available for Federal-aid highway programs the review and consultation process; and the Secretary shall grant to any State that by subsection (a). (B) only where the Secretary determines qualifies under paragraph (2) and has not re- (2) RECEIPT, ACCEPTANCE, AND TREATMENT that such additional amounts will permit ceived, as a result of other provisions of this OF FUNDS.—The Secretary shall— completion of the historic preservation proc- section, at least 1⁄2 of 1 percent of the total (A) be entitled to receive, and shall accept, ess in less than the time customarily refunds authorized for a fiscal year for grants the funds transferred under paragraph (1), quired for such process. under this section, such additional funds as without further appropriation; and SA 2391. Mrs. HUTCHISON submitted are necessary to result in such State receiv- (B) apportion, allocate, deduct, or set 1 an amendment intended to be proposed ing ⁄2 of 1 percent of the total funds author- aside, as the case may be, in accordance with ized for grants under this section for that fis- to amendment SA 2285 proposed by Mr. title 23, United States Code (as in effect on cal year. Funds for grants under this sub- the day before the date of enactment of this INHOFE to the bill S. 1072, to authorize section shall be derived from pro-rata reduc- Act), the funds transferred under paragraph funds for Federal-aid highways, high- tion of grant amounts that otherwise would (1). way safety programs, and transit pro- be awarded pursuant to other subsections of (c) OBLIGATION AUTHORITY.—Funds made grams, and for other purposes; which this section. available by this section shall be available was ordered to lie on the table; as fol- ‘‘(2) CRITERIA.—To qualify for a grant for obligation in the same manner as if the lows: under this subsection, a State— funds were apportioned under chapter 1 of At the end of title IV, add the following: ‘‘(A) shall meet the requirements of subtitle 23, United States Code. section (a)(2) of this section; and SEC. 4663. AMTRAK EXPENDITURES NORTHEAST CORRIDOR LIMIT. ‘‘(B) shall— SA 2395. Mr. MCCAIN (for himself and Notwithstanding any other provision of ‘‘(i) meet 4 of the 7 criteria for qualifying Mr. HOLLINGS) submitted an amend- law, Amtrak may not expend more than 50 for grants under subsection (b)(1) of this sec- ment intended to be proposed to percent of its total expenditures for capital tion (as that subsection was as in effect for amendment SA 2285 proposed by Mr. projects and operations in any fiscal year for fiscal year 2003 funding); ‘‘(ii) for the most recent year for which INHOFE to the bill S. 1072, to authorize such projects and operations on any one Cor- funds for Federal-aid highways, high- ridor. data is available, have an alcohol-related fatality rate per 100 million vehicle miles trav- way safety programs, and transit pro- SA 2392. Mr. BURNS submitted an eled that is either lower than the national grams, and for other purposes; which amendment intended to be proposed by average for that year or lower than the rate was ordered to lie on the table; as fol- him to the bill S. 1072, to authorize in that State in the second most recent year lows: funds for Federal-aid highways, high- for which data is available; or On page 1020, between lines 9 and 10, insert ‘‘(iii) for the most recent 3 years for which the following: way safety programs, and transit pro- data is available, have an average alcohol-re- grams, and for other purposes; which lated fatality rate per 100 million vehicle SUBTITLE C—INTERMODAL EQUIPMENT SAFETY was ordered to lie on the table; as fol- miles traveled that is either lower than the SEC. 181. FINDINGS. lows: average of the national rate for those 3 years The Congress finds the following: On page 487, after line 23, insert the fol- or lower than the average of such rate in (1) Promoting the safety of our Nation’s lowing: that State for the fourth, fifth, and sixth highways is a national priority. The Depart- SEC. 2105. WIDEBAND MULTI-BAND MOBILE most recent years for which data is avail- ment of Transportation has promulgated the PILOT PROJECTS. able. Federal Motor Carrier Safety Regulations to (a) IN GENERAL.—The Secretary shall make ‘‘(3) USES OF FUNDS.—Grants under this further this purpose. The systematic mainte- grants for wideband multi-media mobile subsection may be used for— nance, repair, and inspection of equipment

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00140 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1097 traveling in interstate and foreign commerce that leases intermodal equipment from an petition the Federal Motor Carrier Safety are an integral part of the safety regime. intermodal equipment provider shall be re- Administration to undertake an investiga- (2) Motor carriers and their drivers that responsible for the systematic maintenance, tion of noncompliant intermodal equipment ceive intermodal chassis and trailers from repair, and inspection of such equipment for provider; others, generally do not have an opportunity the duration of the lease. (7) a process by which an equipment pro- to perform the systematic maintenance of ‘‘(3) NEGLIGENCE; WILLFUL MISCONDUCT.— vider or its agent may confidentially peti- such equipment. Notwithstanding paragraph (2), an inter- tion the Federal Motor Carrier Safety Ad- (3) Available evidence indicates that intermodal equipment provider shall not be re- ministration to undertake an investigation modal chassis and trailers operated on the sponsible for noncompliance with the Fed- of noncompliant motor carriers; highways in interstate and foreign commerce eral Motor Carrier Safety Regulations (8) a process by which drivers or motor car- are sometimes out of compliance with the caused by the negligence or willful mis- riers would be required to report any damage Federal Motor Carrier Safety Regulations, conduct of a motor carrier or its agent to or defect in intermodal equipment at the but no party is clearly held responsible for which intermodal equipment has been inter- time the equipment is returned to the equip- the systematic maintenance of the interchanged. ment provider; and modal chassis and trailers prior to operation ‘‘(h) PROHIBITION ON RETALIATION.—An (9) an inspection and audit program of on the highways. intermodal equipment provider may not intermodal equipment providers. (4) Responsibility for compliance with the take any action to threaten, coerce, dis- (b) TIME FOR ISSUING REGULATIONS.—The Federal Motor Carrier Safety Regulations cipline, discriminate, or otherwise retaliate regulations required under subsection (a) must be shared between the owners or others against a driver or motor carrier in response shall be developed pursuant to a rulemaking that make intermodal chassis and trailers to a report or complaint made by a driver or proceeding initiated not later than 120 days available for transport and the motor car- motor carrier that the maintenance or repair after the date of enactment of this Act and riers that transport such equipment. of intermodal equipment intended for inter- shall be issued not later than 1 year after SEC. 182. DEFINITIONS. change, or actually interchanged, failed to such date of enactment. Section 31132 of title 49, United States comply with the applicable Federal Motor SEC. 186. AUTHORIZATION OF APPROPRIATIONS. Code, is amended by adding at the end the Carrier Safety Regulations. It shall not be a following: violation of this subsection for an inter- There are authorized to be appropriated to ‘‘(11) ‘Intermodal equipment’ means equip- modal equipment provider to refuse to inter- the Federal Motor Carrier Safety Adminis- ment that is commonly used in the interchange intermodal equipment to a driver or tration $1,500,000 for the establishment and modal transportation of freight over public motor carrier for legitimate business rea- implementation of the inspection program highways as an instrumentality of interstate sons, as determine by the Secretary, includ- described in section 185(a)(7) of this subtitle. or foreign commerce, including trailers, ing a driver’s or motor carrier’s failure to chassis, and any similar devices. pay debts owed to an intermodal equipment SA 2396. Mr. DEWINE submitted an ‘‘(12) ‘Intermodal equipment interchange provider.’’. amendment intended to be proposed to agreement’ means a written document exe- SEC. 184. PREEMPTION OF STATE LAWS. amendment SA 2285 proposed by Mr. cuted by an intermodal equipment provider (a) COMPATIBILITY.— INHOFE to the bill S. 1072, to authorize or its agent and a motor carrier or its agent, (1) The first sentence of section 31141(c)(1) funds for Federal-aid highways, high- whose primary purpose it is to which estab- of title 49, United States Code, is amended to way safety programs, and transit pro- lish the responsibilities and liabilities of read as follows: ‘‘Except as provided by sub- both parties with respect to the interchange section (h) of this section, the Secretary grams, and for other purposes; which of the intermodal equipment. shall review State laws and regulations on was ordered to lie on the table; as fol- ‘‘(13) ‘Intermodal equipment provider’ commercial motor vehicle safety.’’. lows: means any party with any legal right, title, (2) Section 31141 of title 49, United States On page 792, between lines 15 and 16, insert interest, or contractual obligation in inter- Code, is amended by adding at the end the the following: modal equipment that interchanges such following: PART 3—MISCELLANEOUS PROVISIONS equipment to a motor carrier and registers ‘‘(h) PREEMPTION GENERALLY.—Except as such equipment with the United States De- otherwise authorized by Federal law, a law, SEC. 4171. DRIVER LICENSING AND EDUCATION. partment of Transportation pursuant to this regulation, order or other requirement of a (a) NATIONAL OFFICE OF DRIVER LICENSING subtitle. State, a political subdivision of a State, or a AND EDUCATION.—Section 105 of title 49, ‘‘(14) ‘Interchange’ means the act of pro- tribal organization, is preempted if compli- United States Code, is amended by adding at viding intermodal equipment to a motor car- ance with such law, regulation, order, or the end the following new subsection: rier for the purpose of transporting the other requirement would exceed or otherwise ‘‘(f)(1) There is a National Office of Driver equipment for loading or unloading by any be inconsistent with a requirement imposed Licensing and Education in the National party or repositioning the equipment for the under or pursuant to this chapter.’’. Highway Traffic Safety Administration. benefit of the equipment provider. Such term SEC. 185. IMPLEMENTING REGULATIONS. ‘‘(2) The head of the National Office of does not mean the leasing of equipment to a (a) REGULATIONS.—the Secretary of Trans- Driver Licensing and Education is the Direc- motor carrier for use in the motor carrier’s portation, after notice and opportunity for tor. over-the-road freight hauling operations.’’. comment, shall issue regulations imple- ‘‘(3) The functions of the National Office of SEC. 183. JURISDICTION OVER EQUIPMENT PRO- menting the provisions of section 31136(g) of Driver Licensing and Education are as fol- VIDERS; PROHIBITION ON RETALIA- title 49, United States Code. The regulations lows: TION. shall be issued as part of the Federal Motor ‘‘(A) To provide States with services for co- Section 31136 of title 49, United States Carrier Safety Regulations of the Depart- ordinating the motor vehicle driver training Code, is amended by adding at the end the ment of Transportation and shall include— and licensing programs of the States. following: (1) a requirement to identify providers of ‘‘(B) To develop and make available to the ‘‘(g) INSPECTION, REPAIR, AND MAINTENANCE intermodal equipment that is interchanged States a recommended comprehensive model OF INTERMODAL EQUIPMENT.— or intended for interchange to motor carriers for motor vehicle driver education and grad- ‘‘(1) AUTHORITY TO REGULATE.—The term in intermodal transportation; uated licensing that incorporates the best ‘commercial motor vehicle’ as defined in sec- (2) a requirement to match such intermodal equipment readily to the intermodal practices in driver education and graduated tion 31132(1) of this title includes intermodal licensing, including best practices with re- equipment commonly used in the road trans- equipment provider through a unique identi- spect to— portation of intermodal freight, including fying number; ‘‘(i) vehicle handling and crash avoidance; trailers, chassis and associated devices. The (3) a requirement to ensure that each ‘‘(ii) driver behavior and risk reduction; Secretary, or an employee designated by the intermodal equipment provider maintains a ‘‘(iii) roadway features and associated safe- Secretary, may on demand and display of system of maintenance and repair records for ty implications; proper credentials to inspect intermodal such equipment; (4) a requirement to evaluate the compli- ‘‘(iv) roadway interactions involving all equipment and inspect and copy related ance of intermodal equipment providers with types of vehicles and road users, such as car- maintenance and repair records. the applicable Federal Motor Carrier Safety ‘‘(2) RESPONSIBILITY FOR MAINTENANCE, RE- truck and pedestrian-car interactions; Regulations; PAIR, AND INSPECTION.— ‘‘(v) parent education; and (5) a provision that— ‘‘(vi) other issues identified by the Direc- ‘‘(A) IN GENERAL.—Except as provided in (A) establishes a civil penalty structure tor. subparagraph (B), notwithstanding any pro- consistent with section 521(b) of title 49, ‘‘(C) To carry out such research (pursuant vision in an intermodal equipment inter- United States Code, for intermodal equip- to cooperative agreements or otherwise) and change agreement to the contrary, an inter- ment providers that fail to attain satisfac- undertake such other activities as the Direc- modal equipment provider shall be respon- tory compliance with applicable Federal sible for the systematic inspection, mainte- Motor Carrier Safety Regulations; and tor determines appropriate to develop and, nance, and repair of intermodal equipment (B) prohibits intermodal equipment pro- on an ongoing basis, improve the rec- interchanged, or intended for interchange, to viders from placing intermodal equipment on ommended comprehensive model. ensure that such equipment complies with the public highways if such providers are ‘‘(D) To provide States with technical as- all applicable Federal Motor Carrier Safety found to be unfit under section 31144 of this sistance for the implementation and deploy- Regulations. title; ment of the motor vehicle driver education ‘‘(B) MOTOR CARRIER LEASES.—Notwith- (6) a process by which motor carriers and and licensing comprehensive model rec- standing subparagraph (A), a motor carrier agents of motor carriers may confidentially ommended under subparagraph (B).

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‘‘(E) To develop and recommend to the ‘‘(E) Public education and outreach regard- (2) TIME FOR PROMULGATION OF REGULA- States methods for harmonizing the presen- ing motor vehicle driver education and li- TIONS.—The Secretary of Transportation tation of motor vehicle driver education and censing. shall promulgate the regulations under sec- licensing with the requirements of multi- ‘‘(F) Improvements with respect to State tion 413(b) of title 23, United States Code (as stage graduated licensing systems, including graduated licensing programs, as well as re- added by paragraph (1)), not later than Octo- systems described in section 410(c)(4) of title lated enforcement activities. ber 1, 2005. 23, and to demonstrate and evaluate the ef- ‘‘(2) CONSULTATION REQUIREMENT.—In pre- (d) STUDY OF NATIONAL DRIVER EDUCATION fectiveness of those methods in selected scribing the regulations, the Secretary shall STANDARDS.— States. consult with the following: (1) REQUIREMENT FOR STUDY.—The Sec- ‘‘(F) To assist States with the development ‘‘(A) The Administrator of the National retary of Transportation shall carry out a and implementation of programs to certify Highway Traffic Safety Administration. study to determine whether the establish- driver education instructors, including the ‘‘(B) The heads of such other departments ment and imposition of nationwide min- development and implementation of pro- and agencies of the United States as the Sec- imum standards of motor vehicle driver edu- posed uniform certification standards. retary considers appropriate on the basis of cation would improve national highway traf- ‘‘(G) To provide States with financial as- relevant interests or expertise. fic safety or the performance and legal com- sistance under section 412 of title 23 for— ‘‘(C) Appropriate officials of the govern- pliance of novice drivers. ‘‘(i) the implementation of the motor vehi- ments of States and political subdivisions of (2) TIME FOR COMPLETION OF STUDY.—The cle driver education and licensing com- States. Secretary shall complete the study not later prehensive model recommended under sub- ‘‘(D) Other relevant experts. than 2 years after the date of the enactment paragraph (B); ‘‘(c) MAXIMUM AMOUNT OF GRANT.—The of this Act. ‘‘(ii) the establishment or improved admin- maximum amount of a grant of financial as- (3) REPORT.—The Secretary shall publish a istration of multistage graduated licensing sistance for a program, project, or activity report on the results of the study under this systems; and under this section may not exceed 75 percent section not later than 2 years after the study ‘‘(iii) the support of other improvements in of the total cost of such program, project, or is completed. activity.’’. (e) AUTHORIZATION OF APPROPRIATIONS.—Of motor vehicle driver education and licensing (B) CLERICAL AMENDMENT.—The table of the amounts available to carry out section programs. sections at the beginning of such chapter is 403 of title 23, United States Code, for each of ‘‘(H) To evaluate the effectiveness of the amended by adding at the end the following the fiscal years 2005 through 2010, $5,000,000 comprehensive model recommended under new item: may be made available for each such fiscal subparagraph (B). ‘‘412. Driver education and licensing.’’. year to carry out sections 412 and 413 of title ‘‘(I) To examine different options for deliv- 23, United States Code (as added by sub- (2) TIME FOR PROMULGATION OF REGULA- ering driver education in the States. sections (b) and (c), respectively). ‘‘(J) To perform such other functions relat- TIONS.—The Secretary of Transportation shall promulgate the regulations under sec- SEC. 4172. AMENDMENT OF AUTOMOBILE INFOR- ing to motor vehicle driver education or li- MATION DISCLOSURE ACT. tion 412(b) of title 23, United States Code (as censing as the Secretary may require. (a) SAFETY LABELING REQUIREMENT.—Sec- ‘‘(4) Not later than 42 months after the added by paragraph (1)), not later than Octo- tion 3 of the Automobile Information Disclo- date of the enactment of the Safe, Account- ber 1, 2005. sure Act (15 U.S.C. 1232) is amended by add- (c) GRANT PROGRAM FOR PUBLIC AWARENESS able, Flexible, and Efficient Transportation ing at the end the following: Equity Act of 2004, the Director shall submit OF ORGAN DONATION THROUGH DRIVER LICENS- ‘‘(g) if one or more safety ratings for such to Congress a report on the progress made by ING PROGRAMS.— automobile have been assigned and formally the National Office of Driver Licensing and (1) AUTHORITY.— published or released by the National High- Education with respect to the functions (A) IN GENERAL.—Chapter 4 of title 23, way Traffic Safety Administration under the under paragraph (3).’’. United States Code (as amended by sub- New Car Assessment Program, information section (b)), is further amended by adding at (b) GRANT PROGRAM FOR IMPROVEMENT OF about safety ratings that— the end the following new section: DRIVER EDUCATION AND LICENSING.— ‘‘(1) includes a graphic depiction of the (1) AUTHORITY.— ‘‘SEC. 413. ORGAN DONATION THROUGH DRIVER number of stars that corresponds to each LICENSING. (A) IN GENERAL.—Chapter 4 of title 23, such assigned safety rating displayed in a ‘‘(a) AUTHORITY.— United States Code, is amended by adding at clearly differentiated fashion from stars in- ‘‘(1) IN GENERAL.—The Secretary shall the end the following new section: dicating the unattained safety rating; carry out a program to provide eligible re- ‘‘SEC. 412. DRIVER EDUCATION AND LICENSING. ‘‘(2) refers to frontal impact crash tests, cipients, by grant, with financial assistance side impact crash tests, and rollover resist- ‘‘(a) AUTHORITY.— to carry out campaigns to increase public ance tests (whether or not such automobile ‘‘(1) IN GENERAL.—The Secretary shall awareness of, and training on, authority and carry out a program to provide States, by has been assigned a safety rating for such procedures under State law to provide for tests), including statements that— grant, with financial assistance to support the donation of organs through a declaration the improvement of motor vehicle driver ‘‘(A) frontal impact crash test ratings are recorded on a motor vehicle driver license. based on risk of head and chest injury; education programs and the establishment ‘‘(2) ADMINISTRATIVE OFFICE.—The Sec- ‘‘(B) side impact crash test ratings are and improved administration of graduated li- retary shall administer the program under based on risk of chest injury; and censing systems, including systems de- this section through the Director of the Na- ‘‘(C) rollover resistance ratings are based scribed in section 410(c)(4) of this title. tional Office of Driver Licensing and Edu- on risk of rollover in the event of a single ‘‘(2) ADMINISTRATIVE OFFICE.—The Sec- cation. automobile crash; retary shall administer the program under ‘‘(b) ELIGIBILITY REQUIREMENTS.— ‘‘(3) is presented in a legible, visible, and this section through the Director of the Na- ‘‘(1) REGULATIONS.—The Secretary shall prominent fashion and covers at least— tional Office of Driver Licensing and Edu- prescribe in regulations the eligibility re- ‘‘(A) 8 percent of the total area of the cation. quirements, application and approval proce- label; or ‘‘(b) ELIGIBILITY REQUIREMENTS.— dures and standards, and authorized uses of ‘‘(B) an area with a minimum length of 4 1⁄2 ‘‘(1) REGULATIONS.—The Secretary shall grant proceeds for the grant program under inches and a minimum height of 3 1⁄2 inches; this section. prescribe in regulations the eligibility re- and ‘‘(2) CONSULTATION REQUIREMENT.—In pre- quirements, application and approval proce- ‘‘(4) contains a heading titled ‘Government scribing the regulations, the Secretary shall dures and standards, and authorized uses of Safety Information’ and a disclaimer includ- consult with the following: grant proceeds for the grant program under ing the following text: ‘Star ratings for fron- ‘‘(A) The Administrator of the National this section. The regulations shall, at a min- tal impact crash tests can only be compared Highway Traffic Safety Administration. imum, authorize use of grant proceeds for to other vehicles in the same weight class the following activities: ‘‘(B) The heads of such other departments and agencies of the United States as the Sec- and those plus or minus 250 pounds. Side im- ‘‘(A) Quality assurance testing, including pact and rollover ratings can be compared follow-up testing to monitor the effective- retary considers appropriate on the basis of relevant interests or expertise. across all vehicle weights and classes. For ness of— more information on safety and testing, ‘‘(i) driver licensing and education pro- ‘‘(C) Appropriate officials of the governments of States and political subdivisions of please visit http://www.nhtsa.dot.gov’; and grams; ‘‘(h) if an automobile has not been tested States. ‘‘(ii) instructor certification testing; and by the National Highway Traffic Safety Ad- ‘‘(iii) other statistical research designed to ‘‘(D) Representatives of private sector or- ministration under the New Car Assessment evaluate the performance of driver education ganizations recognized for relevant exper- Program, or safety ratings for such auto- and licensing programs. tise.’’. mobile have not been assigned in one or ‘‘(B) Improvement of motor vehicle driver (B) CLERICAL AMENDMENT.—The table of more rating categories, a statement to that education curricula. sections at the beginning of such chapter is effect.’’. ‘‘(C) Training of instructors for motor ve- amended by adding at the end the following (b) REGULATIONS.—Not later than January hicle driver education programs. new item: 1, 2005, the Secretary of Transportation shall ‘‘(D) Testing and evaluation of motor vehi- ‘‘413. Organ donation through driver licens- prescribe regulations to implement the la- cle driver performance. ing.’’. beling requirements under subsections (g)

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00142 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1099 and (h) of section 3 of such Act (as added by hyperthermia or are related to power win- Secretary shall conduct a study to examine subsection (a)). dows or power sunroofs; and the effects of increased speed limits enacted (c) CONFORMING AND TECHNICAL AMEND- (2) currently available and emerging tech- by States after 1995. MENTS.—Section 3 of such Act is further nologies that are designed to improve the (2) REQUIREMENTS.—The study shall collect amended— performance of safety belts with respect to empirical data regarding— (1) in subsection (e), by striking ‘‘and’’ the safety of occupants aged between 4 and 8 (A) increases or decreases in driving speeds after the semicolon; and years old. on Interstate highways since 1995; (2) in subsection (f)— (d) COMPLETION OF RULEMAKING REGARDING (B) correlations between changes in driving (A) by adding ‘‘and’’ at the end of para- POWER WINDOWS.—Not later than 180 days speeds and accident, injury, and fatality graph (3); and after the date of the enactment of this Act, rates; (B) by striking the period at the end and the Secretary of Transportation shall— (C) correlations between posted speed lim- inserting a semicolon. (1) complete the rulemaking initiated by its and observed driving speeds; (d) APPLICABILITY.—The labeling require- the National Highway Traffic Safety Admin- (D) the overall impact on motor vehicle ments under subsections (g) and (h) of sec- istration that is ongoing on the date of the safety resulting from the repeal of the nation 3 of such Act (as added by subsection enactment of this Act and relates to a re- tional maximum speed limit in 1995; and (a)), and the regulations prescribed under quirement that window switches be designed (E) such other matters as the Secretary de- subsection (b), shall apply to new auto- to reduce the accidental closing by children termines to be appropriate. mobiles delivered on or after— of power windows; and (b) REPORT.—Not later than 1 year after (1) September 1, 2005, if the regulations (2) issue performance-based regulations to the date of completion of the study under under subsection (b) are prescribed not later take effect not later than September 1, 2006, subsection (a), the Secretary shall submit to than August 31, 2004; or requiring that window switches or related Congress a report that describes the results (2) September 1, 2006, if the regulations technologies be designed to prevent the acci- of the study. under subsection (b) are prescribed after Au- dental closing by children of power windows. gust 31, 2004. (e) DATABASE ON INJURIES AND DEATHS IN SA 2397. Mr. CAMPBELL (for himself SEC. 4173. CHILD SAFETY. NONTRAFFIC, NONCRASH EVENTS.— and Mr. INOUYE) submitted an amend- (a) INCORPORATION OF CHILD DUMMIES IN (1) IN GENERAL.—The Secretary of Trans- ment intended to be proposed to SAFETY TESTS.— portation shall establish a new database of, amendment SA 2285 proposed by Mr. and collect data regarding, injuries and (1) RULEMAKING REQUIRED.—Not later than INHOFE to the bill S. 1072, to authorize 2 years after the date of the enactment of deaths in nontraffic, noncrash events involv- funds for Federal-aid highways, high- this Act, the Administrator of the National ing motor vehicles. The database shall include information regarding— way safety programs, and transit pro- Highway Traffic Safety Administration shall grams, and for other purposes; which conduct a rulemaking to increase utilization (A) the number, types, and proximate of child dummies, including Hybrid-III child causes of injuries and deaths resulting from was ordered to lie on the table; as fol- dummies, in motor vehicle safety tests, in- such events; lows: cluding crash tests, conducted by the Admin- (B) the characteristics of motor vehicles Beginning on page 20, strike line 7 and all istration. involved in such events; that follows through page 31, line 15, and in- (2) CRITERIA.—In conducting the rule- (C) the characteristics of the motor vehicle sert the following: making under subsection (a), the Adminis- operators and victims involved in such ‘‘(13) INDIAN LAND.—The term ‘Indian land’ trator shall select motor vehicle safety tests events; and means— in which the inclusion of child dummies will (D) the presence or absence in motor vehi- ‘‘(A) any land located within the bound- lead to— cles involved in such events of advanced aries of an Indian reservation, pueblo, or (A) increased understanding of crash dy- technologies designed to prevent such inju- rancheria; namics with respect to children; and ries and deaths. ‘‘(B) any land not located within the (B) measurably improved child safety. (2) RULEMAKING.—The Secretary shall con- boundaries of an Indian reservation, pueblo, (3) REPORT.—Not later than one year after duct a rulemaking regarding how to struc- or rancheria, the title to which is held— the date of the enactment of this Act, the ture and compile the database. ‘‘(i) in trust by the United States for the Secretary of Transportation shall publish a (3) AVAILABILITY.—The Secretary shall benefit of an Indian tribe; report regarding the implementation of this make the database available to the public. ‘‘(ii) by an Indian tribe, subject to restric- section. SEC. 4174. SAFE INTERSECTIONS. tion by the United States against alienation; (b) CHILD SAFETY IN ROLLOVER CRASHES.— (a) IN GENERAL.—Chapter 2 of title 18, or (1) CONSUMER INFORMATION PROGRAM.—Not United States Code, is amended by adding at ‘‘(iii) by a dependent Indian community; later than 2 years after the date of the enact- the end the following: and ment of this Act, the Secretary of Transpor- ‘‘§ 39. Traffic signal preemption transmitters ‘‘(C) land conveyed as part of an original tation shall implement a consumer informa- conveyance to a Native Corporation in ac- ‘‘(a) OFFENSES.— tion program relating to child safety in roll- cordance with the Alaska Native Claims Set- ‘‘(1) SALE.—A person who provides for sale over crashes. The Secretary shall make in- tlement Act (43 U.S.C. 1601 et seq.). to unauthorized users a traffic signal pre- formation related to the program available ‘‘(14) INDIAN RESERVATION.—The term ‘In- emption transmitter in or affecting inter- to the public following completion of the dian reservation’ includes— state or foreign commerce shall be fined not program. ‘‘(A) an Indian reservation in existence as more than $10,000, imprisoned not more than (2) CHILD DUMMY DEVELOPMENT.— of the date of enactment of the Indian Tribal 1 year, or both. (A) IN GENERAL.—The Administrator of the Surface Transportation Improvement Act of ‘‘(2) POSSESSION.—A person who is an unau- National Highway Traffic Safety Adminis- 2003; thorized user in possession of a traffic signal tration shall initiate the development of a ‘‘(B) a public domain Indian allotment; preemption transmitter in or affecting inter- biofidelic child crash test dummy capable of ‘‘(C) a former reservation in the State of state or foreign commerce shall be fined not measuring injury forces in a simulated roll- Oklahoma; more than $10,000, imprisoned not more than over crash. ‘‘(D) a parcel of land conveyed as part of an 6 months, or both. (B) REPORTS.—The Secretary shall submit original conveyance to a Native Corporation ‘‘(b) DEFINITIONS.—In this section, the fol- to Congress a report on progress related to in accordance with the Alaska Native Claims lowing definitions apply: such development— Settlement Act (43 U.S.C. 1601 et seq.); and ‘‘(1) TRAFFIC SIGNAL PREEMPTION TRANS- (i) not later than 1 year after the date of ‘‘(E) a dependent Indian community lo- MITTER.—The term ‘traffic signal preemption the enactment of this Act; and cated within the borders of the United transmitter’ means any device or mechanism (ii) not later than 3 years after the date of States, regardless of whether the community that can change a traffic signal’s phase. the enactment of this Act. is located— ‘‘(2) UNAUTHORIZED USER.—The term ‘unau- (c) REPORT ON ENHANCED VEHICLE SAFETY ‘‘(i) on original or acquired territory of the thorized user’ means a user of a traffic signal TECHNOLOGIES.—Not later than 2 years after community; or preemption transmitter who is not a govern- the date of the enactment of this Act, the ‘‘(ii) within or outside the boundaries of ment approved user.’’. Secretary of Transportation shall submit to any particular State. (b) CHAPTER ANALYSIS.—The chapter anal- Congress a report that describes, evaluates, ‘‘(15) INDIAN RESERVATION ROAD.— ysis for chapter 2 of title 18, United States and determines the relative effectiveness ‘‘(A) IN GENERAL.—The term ‘Indian res- Code, is amended by adding at the end the of— ervation road’ means a public road that is lo- following: (1) currently available and emerging tech- cated within or provides access to an area nologies, including auto-reverse functions ‘‘39. Traffic signal preemption transmit- described in subparagraph (B) on which or in and child-safe window switches, that are de- ters.’’. which reside Indians or Alaskan Natives signed to prevent and reduce the number of SEC. 4175. STUDY ON INCREASED SPEED LIMITS. that, as determined by the Secretary of the injuries and deaths to children left unat- (a) STUDY.— Interior, are eligible for services generally tended inside parked motor vehicles, includ- (1) IN GENERAL.—Not later than 2 years available to Indians under Federal laws spe- ing injuries and deaths that result from after the date of enactment of this Act, the cifically applicable to Indians.

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‘‘(B) AREAS.—The areas referred to in sub- ‘‘(iii) construction of a new facility on a ‘‘(36) SECRETARY.—The term ‘Secretary’ paragraph (A) are— new location. means the Secretary of Transportation. ‘‘(i) an Indian reservation; ‘‘(24) PARK ROAD.—The term ‘park road’ ‘‘(37) STATE.—The term ‘State’ means— ‘‘(ii) Indian trust land or restricted Indian means a public road (including a bridge built ‘‘(A) a State; land that is not subject to fee title alien- primarily for pedestrian use, but with capac- ‘‘(B) the District of Columbia; and ation without the approval of the Federal ity for use by emergency vehicles) that is lo- ‘‘(C) the Commonwealth of Puerto Rico. Government; and cated within, or provides access to, an area ‘‘(38) STATE FUNDS.—The term ‘State funds’ ‘‘(16) INDIAN TRIBE.—The term ‘Indian in the National Park System with title and includes funds that are— tribe’ has the meaning given the term in sec- maintenance responsibilities vested in the ‘‘(A) raised under the authority of the tion 4 of the Indian Self-Determination and United States. State (or any political or other subdivision Education Assistance Act (25 U.S.C. 450b). ‘‘(25) PARKWAY.—The term ‘parkway’ of a State); and ‘‘(17) INTERSTATE SYSTEM.—The term means a parkway authorized by an Act of ‘‘(B) made available for expenditure under ‘Interstate System’ means the Dwight D. Ei- Congress on land to which title is vested in the direct control of the State transpor- senhower National System of Interstate and the United States. tation department. Defense Highways described in section 103(c). ‘‘(26) PROJECT.—The term ‘project’ means— ‘‘(39) STATE TRANSPORTATION DEPART- ‘‘(18) MAINTENANCE.— ‘‘(A)(i) an undertaking to construct a par- MENT.—The term ‘State transportation de- ‘‘(A) IN GENERAL.—The term ‘maintenance’ ticular portion of a highway; or partment’ means the department, agency, means the preservation of a highway. ‘‘(ii) if the context so implies, a particular commission, board, or official of any State ‘‘(B) INCLUSIONS.—The term ‘maintenance’ portion of a highway so constructed; and charged by the laws of the State with the re- includes the preservation of— ‘‘(B) any other undertaking eligible for as- sponsibility for highway construction. ‘‘(i) the surface, shoulders, roadsides, and sistance under this title. ‘‘(40) TERRITORIAL HIGHWAY SYSTEM.—The structures of a highway; and ‘‘(27) PROJECT AGREEMENT.—The term term ‘territorial highway system’ means the ‘‘(ii) such traffic-control devices as are ‘project agreement’ means the formal instru- system of arterial highways, collector roads, necessary for safe, secure, and efficient use ment to be executed by the Secretary and re- and necessary interisland connectors in of a highway. cipient of funds under this title. American Samoa, the Commonwealth of the ‘‘(19) MAINTENANCE AREA.—The term ‘main- ‘‘(28) PUBLIC AUTHORITY.—The term ‘public Northern Mariana Islands, Guam, and the tenance area’ means an area that was des- authority’ means a Federal, State, county, United States Virgin Islands that have been ignated as a nonattainment area, but was town, or township, Indian tribe, municipal or designated by the appropriate Governor or later redesignated by the Administrator of other local government or instrumentality chief executive officer of a territory, and ap- the Environmental Protection Agency as an with authority to finance, build, operate, or proved by the Secretary, in accordance with attainment area, under section 107(d) of the maintain toll or toll-free facilities. section 215. Clean Air Act (42 U.S.C. 7407(d)). ‘‘(29) PUBLIC FOREST SERVICE ROAD.—The ‘‘(41) TRANSPORTATION ENHANCEMENT ACTIV- ‘‘(20) NATIONAL FOREST SYSTEM ROAD OR term ‘public Forest Service road’ means a ITY.—The term ‘transportation enhancement TRAIL.—The term ‘National Forest System classified forest road— activity’ means, with respect to any project road or trail’ means a forest road or trail ‘‘(A) that is open to public travel; or the area to be served by the project, any that is under the jurisdiction of the Forest ‘‘(B) for which title and maintenance re- of the following activities as the activities Service. sponsibility is vested in the Federal Govern- relate to surface transportation: ‘‘(21) NATIONAL HIGHWAY SYSTEM.—The ment; and ‘‘(A) Provision of facilities for pedestrians term ‘National Highway System’ means the ‘‘(C) that has been designated a public road and bicycles. Federal-aid highway system described in sec- by the Forest Service. ‘‘(B) Provision of safety and educational tion 103(b). ‘‘(30) PUBLIC LANDS DEVELOPMENT ROADS activities for pedestrians and bicyclists. ‘‘(22) OPERATING COSTS FOR TRAFFIC MONI- AND TRAILS.—The term ‘public lands develop- ‘‘(C) Acquisition of scenic easements and TORING, MANAGEMENT, AND CONTROL.—The ment roads and trails’ means roads and scenic or historic sites (including historic term ‘operating costs for traffic monitoring, trails that the Secretary of the Interior de- battlefields). management, and control’ includes— termines are of primary importance for the ‘‘(D) Scenic or historic highway programs ‘‘(A) labor costs; development, protection, administration, (including the provision of tourist and wel- ‘‘(B) administrative costs; and use of public lands and resources under come center facilities). ‘‘(C) costs of utilities and rent; the control of the Secretary of the Interior. ‘‘(E) Landscaping and other scenic beau- ‘‘(D) costs incurred by transportation ‘‘(31) PUBLIC LANDS HIGHWAY.—The term tification. agencies for technology to monitor critical ‘public lands highway’ means— ‘‘(F) Historic preservation. transportation infrastructure for security ‘‘(A) a forest road that is— ‘‘(G) Rehabilitation and operation of his- purposes; and ‘‘(i) under the jurisdiction of, and main- ‘‘(E) other costs associated with transpor- tained by, a public authority; and toric transportation buildings, structures, or tation systems management and operations ‘‘(ii) open to public travel; and facilities (including historic railroad facili- and the continuous operation of traffic con- ‘‘(B) any highway through unappropriated ties and canals). trol, such as— or unreserved public land, nontaxable Indian ‘‘(H) Preservation of abandoned railway ‘‘(i) an integrated traffic control system; land, or any other Federal reservation (in- corridors (including the conversion and use ‘‘(ii) an incident management program; cluding a main highway through such land of the corridors for pedestrian or bicycle and or reservation that is on the Federal-aid sys- trails). ‘‘(iii) a traffic control center. tem) that is— ‘‘(I) Control and removal of outdoor adver- ‘‘(23) OPERATIONAL IMPROVEMENT.— ‘‘(i) under the jurisdiction of, and main- tising. ‘‘(A) IN GENERAL.—The term ‘operational tained by, a public authority; and ‘‘(J) Archaeological planning and research. improvement’ means— ‘‘(ii) open to public travel. ‘‘(K) Environmental mitigation— ‘‘(i) a capital improvement for installation ‘‘(32) PUBLIC ROAD.—The term ‘public road’ ‘‘(i) to address water pollution due to high- or implementation of— means any road or street that is— way runoff; or ‘‘(I) a transportation system management ‘‘(A) under the jurisdiction of, and main- ‘‘(ii) reduce vehicle-caused wildlife mor- and operations program; tained by, a public authority; and tality while maintaining habitat ‘‘(II) traffic and transportation security ‘‘(B) open to public travel. connectivity. surveillance and control equipment; ‘‘(33) RECREATIONAL ROAD.—The term ‘rec- ‘‘(L) Establishment of transportation mu- ‘‘(III) a computerized signal system; reational road’ means a public road— seums. ‘‘(IV) a motorist information system; ‘‘(A) that provides access to a museum, ‘‘(42) TRANSPORTATION SYSTEMS MANAGE- ‘‘(V) an integrated traffic control system; lake, reservoir, visitors center, gateway to a MENT AND OPERATIONS.— ‘‘(VI) an incident management program; major wilderness area, public use area, or ‘‘(A) IN GENERAL.—The term ‘transpor- ‘‘(VII) equipment and programs for trans- recreational or historic site; and tation systems management and operations’ portation response to manmade and natural ‘‘(B) for which title is vested in the Federal means an integrated program to optimize disasters; or Government. the performance of existing infrastructure ‘‘(VIII) a transportation demand manage- ‘‘(34) REFUGE ROAD.—The term ‘refuge road’ through the implementation of multimodal ment facility, strategy, or program; and means a public road— and intermodal, cross-jurisdictional systems, ‘‘(ii) such other capital improvements to a ‘‘(A) that provides access to or within a services, and projects designed to preserve public road as the Secretary may designate unit of the National Wildlife Refuge System capacity and improve security, safety, and by regulation. or a national fish hatchery; and reliability of the transportation system. ‘‘(B) EXCLUSIONS.—The term ‘operational ‘‘(B) for which title and maintenance re- ‘‘(B) INCLUSIONS.—The term ‘transpor- improvement’ does not include— sponsibility is vested in the United States tation systems management and operations’ ‘‘(i) a resurfacing, restorative, or rehabili- Government. includes— tative improvement; ‘‘(35) RURAL AREA.—The term ‘rural area’ ‘‘(i) regional operations collaboration and ‘‘(ii) construction of an additional lane, means an area of a State that is not included coordination activities between transpor- interchange, or grade separation; or in an urban area. tation and public safety agencies; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00144 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1101 ‘‘(ii) improvements to the transportation ‘‘(A) provides assurances in the contract or ter 53 of title 49 that provides access to or system such as traffic detection and surveil- agreement that the construction will meet within a wildlife refuge; and lance, arterial management, freeway man- or exceed applicable health and safety stand- ‘‘(F) maintenance and improvement of rec- agement, demand management, work zone ards; reational trails (except that expenditures on management, emergency management, elec- ‘‘(B) obtains the advance review of the trails under this subparagraph shall not ex- tronic toll collection, automated enforce- plans and specifications from a licensed proceed 5 percent of available funds for each fis- ment, traffic incident management, roadway fessional that has certified that the plans cal year).’’. weather management, traveler information and specifications meet or exceed the appli- (e) SAFETY.— services, commercial vehicle operations, cable health and safety standards; and (1) ALLOCATIONS.—Section 202 of title 23, traffic control, freight management, and co- ‘‘(C) provides a copy of the certification United States Code (as amended by subordination of highway, rail, transit, bicycle, under subparagraph (B) to the Assistant Sec- section (c)(5)), is amended by adding at the and pedestrian operations. retary for Indian Affairs.’’. end the following: ‘‘(g) SAFETY.—Subject to paragraph (2), on ‘‘(43) TRIBAL TRANSPORTATION FACILITY.— (d) PLANNING AND AGENCY COORDINATION.— October 1 of each fiscal year, the Secretary The term ‘tribal transportation facility’ Section 204 of title 23, United States Code, is shall allocate the sums authorized to be ap- means any transportation-related project, amended— propriated for the fiscal year for safety as facility, or physical infrastructure for an In- (1) in subsection (a)(1), by inserting ‘‘refuge dian tribe that is funded under this title. follows: roads, recreation roads,’’ after ‘‘parkways,’’; ‘‘(1) 12 percent to the Bureau of Reclama- Mr. CAMPBELL (for himself (2) by striking subsection (b) and inserting tion. SA 2398. the following: and Mr. INOUYE) submitted an amend- ‘‘(2) 18 percent to the Bureau of Indian Af- ‘‘(b) USE OF FUNDS.— ment intended to be proposed to fairs. ‘‘(1) IN GENERAL.—Funds available for pub- amendment SA 2285 proposed by Mr. ‘‘(3) 17 percent to the Bureau of Land Man- lic lands highways, recreation roads, park agement. INHOFE to the bill S. 1072, to authorize roads and parkways, forest highways, and In- ‘‘(4) 17 percent to the Forest Service. funds for Federal-aid highways, high- dian reservation roads shall be used by the ‘‘(5) 7 percent to the United States Fish way safety programs, and transit pro- Secretary and the Secretary of the appro- and Wildlife Service. grams, and for other purposes; which priate Federal land management agency to ‘‘(6) 17 percent to the National Park Serv- was ordered to lie on the table; as fol- pay the cost of transportation planning, re- ice. lows: search, engineering, operation and mainte- ‘‘(7) 12 percent to the Corps of Engineers.’’. nance of transit facilities, and construction (2) AVAILABILITY OF FUNDS.—Section 203 of of the highways, roads, parkways, forest Beginning on page 321, strike line 14 and title 23, United States Code, is amended by highways, and transit facilities located on inserting ‘‘safety projects or activities,’’ all that follows through page 334, line 14, and public land, national parks, and Indian res- insert the following: after ‘‘refuge roads,’’ each place it appears. ervations. ‘‘(B) FUNDING.— (3) USE OF FUNDING.—Section 204 of title 23, ‘‘(2) CONTRACT.—In connection with an ac- ‘‘(i) RESERVATION OF FUNDS.—Notwith- United States Code, is amended by adding at tivity described in paragraph (1), the Sec- standing any other provision of law, there is the end the following: retary and the Secretary of the appropriate authorized to be appropriated from the High- ‘‘(l) SAFETY ACTIVITIES.— Federal land management agency may enter way Trust Fund (other than the Mass Tran- ‘‘(1) IN GENERAL.—Notwithstanding any into a construction contract or other appro- sit Account) $15,000,000 for each of fiscal other provision of this title, funds made priate agreement with— years 2004 through 2009 to carry out plan- available for safety under this title shall be ‘‘(A) a State (including a political subdivi- ning, design, engineering, preconstruction, used by the Secretary and the head of the ap- construction, and inspection of projects to sion of a State); or propriate Federal land management agency replace,’’; and ‘‘(B) an Indian tribe. only to pay the costs of carrying out— (B) by adding at the end the following: ‘‘(3) INDIAN RESERVATION ROADS.—In the ‘‘(A) transportation safety improvement case of an Indian reservation road— ‘‘(ii) AVAILABILITY.—Funds made available activities; to carry out this subparagraph— ‘‘(A) Indian labor may be used, in accord- ‘‘(B) activities to eliminate high-accident ‘‘(I) shall be available for obligation in the ance with such rules and regulations as may locations; same manner as if the funds were appor- be promulgated by the Secretary of the Inte- ‘‘(C) projects to implement protective tioned under chapter 1; and rior, to carry out any construction or other measures at, or eliminate, at-grade railway- ‘‘(II) shall not be available to the Bureau of activity described in paragraph (1); and highway crossings; Indian Affairs to pay administrative costs.’’; ‘‘(B) funds made available to carry out this ‘‘(D) collection of safety information; and section may be used to pay bridge ‘‘(E) transportation planning projects or (5) by adding at the end the following: preconstruction costs (including planning, activities; ‘‘(f) ADMINISTRATION OF INDIAN RESERVA- design, and engineering). ‘‘(F) bridge inspection; TION ROADS.— ‘‘(4) FEDERAL EMPLOYMENT.—No maximum ‘‘(G) development and operation of safety ‘‘(1) CONTRACT AUTHORITY.— on Federal employment shall be applicable management systems; ‘‘(A) IN GENERAL.—Notwithstanding any to construction or improvement of Indian ‘‘(H) highway safety education programs; other provision of law, for any fiscal year, reservation roads. and not more than 6 percent of the contract au- ‘‘(5) AVAILABILITY OF FUNDS.—Funds avail- ‘‘(I) other eligible safety projects and ac- thority amounts made available from the able under this section for each class of Fed- tivities authorized under chapter 4. Highway Trust Fund to the Bureau of Indian eral lands highway shall be available for any ‘‘(2) CONTRACTS.—In carrying out para- Affairs under this title shall be used to pay kind of transportation project eligible for as- graph (1), the Secretary and the Secretary of the administrative expenses of the Bureau sistance under this title that is within or ad- the appropriate Federal land management for the Indian reservation roads program (in- jacent to, or that provides access to, the agency may enter into contracts or agree- cluding the administrative expenses relating areas served by the particular class of Fed- ments with— to individual projects that are associated eral lands highway. ‘‘(A) a State; with the program). ‘‘(6) RESERVATION OF FUNDS.—The Sec- ‘‘(B) a political subdivision of a State; or ‘‘(B) AVAILABILITY.—Amounts made avail- retary of the Interior may reserve funds ‘‘(C) an Indian tribe. able to pay administrative expenses under from administrative funds of the Bureau of ‘‘(3) EXCEPTION.—The cost sharing require- subparagraph (A) shall be made available to Indian Affairs that are associated with the ments under the Federal Water Project an Indian tribal government, on the request Indian reservation road program to finance Recreation Act (16 U.S.C. 460l–12 et seq.) of the government, to be used for the associ- the Indian technical centers authorized shall not apply to funds made available to ated administrative functions assumed by under section 504(b).’’; and the Bureau of Reclamation under this sub- the Indian tribe under contracts and agree- (3) in subsection (k)(1)— section.’’. ments entered into under the Indian Self-De- (A) in subparagraph (B)— (f) RECREATION ROADS.— termination and Education Assistance Act (i) by striking ‘‘(2), (5),’’ and inserting ‘‘(2), (1) AUTHORIZATIONS.—Section 201 of title (25 U.S.C. 450b et seq.). (3), (5),’’; and 23, United States Code, is amended in the ‘‘(2) HEALTH AND SAFETY ASSURANCES.— (ii) by striking ‘‘and’’ after the semicolon; first sentence by inserting ‘‘recreation Notwithstanding any other provision of law, (B) in subparagraph (C), by striking the pe- roads,’’ after ‘‘public lands highways,’’. an Indian tribe or tribal organization may riod at the end and inserting a semicolon; (2) ALLOCATIONS.—Section 202 of title 23, commence road and bridge construction and United States Code (as amended by sub- under the Transportation Equity Act for the (C) by adding at the end the following: section (e)(1)), is amended by adding at the 21st Century (Public Law 105–178) or its suc- ‘‘(D) maintenance of public roads in na- end the following: cessor Act of Congress that is funded tional fish hatcheries under the jurisdiction ‘‘(h) RECREATION ROADS.— through a contract or agreement under the of the United States Fish and Wildlife Serv- ‘‘(1) IN GENERAL.—Subject to paragraphs (2) Indian Self-Determination and Education ice; and (3), on October 1 of each fiscal year, the Assistance Act (25 U.S.C. 450b et seq.) if the ‘‘(E) the non-Federal share of the cost of Secretary, after completing the transfer Indian tribe or tribal organization— any project funded under this title or chap- under subsection 204(i), shall allocate the

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sums authorized to be appropriated for the the Bureau of Reclamation under this sub- (c) TRIBAL CONTRACTING DEMONSTRATION fiscal year for recreation roads as follows: section.’’. PROJECT.— ‘‘(A) 8 percent to the Bureau of Reclama- (g) CONFORMING AMENDMENTS.— (1) IN GENERAL.—Section 202(d)(3) of title tion. (1) Sections 120(e) and 125(e) of title 23, 23, United States Code, is amended by adding ‘‘(B) 9 percent to the Corps of Engineers. United States Code, are amended by striking at the end the following: ‘‘(C) 13 percent to the Bureau of Land Man- ‘‘public lands highways,’’ each place it ap- ‘‘(C) FEDERAL LANDS HIGHWAY PROGRAM agement. pears and inserting ‘‘public lands highways, DEMONSTRATION PROJECT.— ‘‘(D) 70 percent to the Forest Service. recreation roads,’’. ‘‘(i) IN GENERAL.—The Secretary shall es- ‘‘(2) ALLOCATION WITHIN AGENCIES.—Recre- (2) Sections 120(e), 125(e), 201, 202(a), and 203 tablish a demonstration project under which ation road funds allocated to a Federal agen- of title 23, United States Code, are amended all funds made available under this chapter cy under paragraph (1) shall be allocated for by striking ‘‘forest development roads’’ each for Indian reservation roads and for highway projects and activities of the Federal agency place it appears and inserting ‘‘National For- bridges located on Indian reservation roads according to the relative needs of each area est System roads’’. as provided for in subparagraph (A) shall be served by recreation roads under the juris- (3) Section 202(e) of title 23, United States made available, on the request of an affected diction of the Federal agency, as indicated in Code, is amended by striking ‘‘Refuge Sys- Indian tribal government, to the Indian trib- the approved transportation improvement tem,’’ and inserting ‘‘Refuge System and the al government for use in carrying out, in ac- program for each Federal agency.’’. various national fish hatcheries,’’. cordance with the Indian Self-Determination (3) AVAILABILITY OF FUNDS.—Section 203 of (4) Section 204 of title 23, United States and Education Assistance Act (25 U.S.C. 450b title 23, United States Code, is amended— Code, is amended— et seq.), contracts and agreements for the (A) in the first sentence, by inserting (A) in subsection (a)(1), by striking ‘‘public planning, research, engineering, and con- ‘‘recreation roads,’’ after ‘‘Indian reservation lands highways,’’ and inserting ‘‘public lands struction described in that subparagraph. roads,’’; and highways, recreation roads, forest high- ‘‘(ii) EXCLUSION OF AGENCY PARTICIPA- (B) in the fourth sentence, by inserting ‘‘, ways,’’; and TION.—In accordance with subparagraph (B), recreation roads,’’ after ‘‘Indian roads’’. (B) in subsection (i), by striking ‘‘public all funds for Indian reservation roads and for (4) USE OF FUNDING.—Section 204 of title 23, lands highways’’ each place it appears and highway bridges located on Indian reserva- United States Code (as amended by sub- inserting ‘‘public lands highways, recreation tion roads to which clause (i) applies shall be section (e)(3)), is amended by adding at the roads, and forest highways’’. paid without regard to the organizational end the following: (5) Section 205 of title 23, United States level at which the Federal lands highway ‘‘(m) RECREATION ROADS.— Code, is amended— program has previously carried out the pro- ‘‘(1) IN GENERAL.—Notwithstanding any (A) by striking the section heading and in- grams, functions, services, or activities in- other provision of this title, funds made serting the following: volved. available for recreation roads under this ‘‘§ 205. National Forest System roads and ‘‘(iii) SELECTION OF PARTICIPATING TRIBES.— title shall be used by the Secretary and the trails’’; ‘‘(I) PARTICIPANTS.— Secretary of the appropriate Federal land ‘‘(aa) IN GENERAL.—In addition to those In- management agency only to pay the cost and dian tribes or tribal organizations already of— (B) in subsections (a) and (d), by striking contracting or compacting for any Indian ‘‘(A) maintenance or improvements of ex- ‘‘forest development roads’’ each place it ap- reservation road function or program, for isting recreation roads; pears and inserting ‘‘National Forest System each fiscal year, the Secretary may select up ‘‘(B) maintenance and improvements of eli- roads’’. to 15 Indian tribes from the applicant pool gible projects described in paragraph (1), (2), (6) The analysis for chapter 2 of title 23, described in subclause (II) to participate in (3), (5), or (6) of subsection (h) that are lo- United States Code, is amended by striking the demonstration project carried out under cated in or adjacent to Federal land under the item relating to section 205 and inserting clause (i). the jurisdiction of— the following: ‘‘(bb) CONSORTIA.—Two or more Indian ‘‘(i) the Department of Agriculture; or ‘‘205. National Forest System roads and tribes that are otherwise eligible to partici- ‘‘(ii) the Department of the Interior; trails.’’. pate in a program or activity to which this ‘‘(C) transportation planning and adminis- (7) Section 217(c) of title 23, United States title applies may form a consortium to be trative activities associated with those Code, is amended by inserting ‘‘refuge considered as a single Indian tribe for the maintenance and improvements; and roads,’’ after ‘‘Indian reservation roads,’’. purpose of becoming part of the applicant ‘‘(D) the non-Federal share of the cost of SEC. 18ll. INDIAN TRIBAL SURFACE TRANSPOR- pool under subclause (II). any project funded under this title or chap- TATION. ‘‘(cc) FUNDING.—An Indian tribe partici- ter 53 of title 49 that provides access to or (a) FUNDING FOR INDIAN RESERVATION pating in the pilot program under this sub- within Federal land described in subpara- ROADS PROGRAM.—Section 1101(a)(8) of the paragraph shall receive funding in an graph (B). Transportation Equity Act for the 21st Cen- amount equal to the sum of the funding that ‘‘(2) CONTRACTS.—In carrying out para- tury (112 Stat. 112) is amended by striking the Indian tribe would otherwise receive in graph (1), the Secretary and the Secretary of subparagraph (A) and inserting the fol- accordance with the funding formula estab- the appropriate Federal land management lowing: lished under the other provisions of this sub- agency may enter into contracts or agree- ‘‘(A) INDIAN RESERVATION ROADS.— section, and an additional percentage of that ments with— ‘‘(i) IN GENERAL.—Subject to clause (ii), for amount equal to the percentage of funds ‘‘(A) a State; Indian reservation roads under section 204 of withheld during the applicable fiscal year for ‘‘(B) a political subdivision of a State; or that title— the road program management costs of the ‘‘(C) an Indian tribe. ‘‘(I) $330,000,000 for each of fiscal years 2004 Bureau of Indian Affairs under subsection ‘‘(3) NEW ROADS.—No funds made available through 2005; (f)(1). under this section shall be used to pay the ‘‘(II) $425,000,000 for each of fiscal years 2006 ‘‘(II) APPLICANT POOL.—The applicant pool cost of the design or construction of new through 2007; and described in this subclause shall consist of recreation roads. ‘‘(III) $550,000,000 for each of fiscal years each Indian tribe (or consortium) that— ‘‘(4) COMPLIANCE WITH OTHER ENVIRON- 2008 through 2009. ‘‘(aa) has successfully completed the plan- MENTAL LAWS.—A maintenance or improve- ‘‘(ii) MAINTENANCE.—Of the amounts made ning phase described in subclause (IV); ment project that is funded under this sub- available for each fiscal year under clause ‘‘(bb) has requested participation in the section, and that is consistent with or has (i), not less than $50,000,000 shall be used— demonstration project under this subpara- been identified in a land use plan for an area ‘‘(I) to maintain roads on Indian land; and graph through the adoption of a resolution under the jurisdiction of a Federal agency, ‘‘(II) to maintain tribal transportation fa- or other official action by the tribal gov- shall not require any additional environ- cilities serving Indian communities.’’. erning body; and mental reviews or assessments under the Na- (b) OBLIGATION CEILING.—Section 1102(c)(1) ‘‘(cc) has demonstrated financial stability tional Environmental Policy Act of 1969 (42 of the Transportation Equity Act for the 21st and financial management capability in ac- U.S.C. 4321 et seq.) if— Century (23 U.S.C. 104 note; 112 Stat. 116) is cordance with subclause (III) during the 3- ‘‘(A) the Federal agency that promulgated amended— fiscal-year period immediately preceding the the land use plan analyzed the specific pro- (1) by striking ‘‘distribute obligation’’ and fiscal year for which participation under this posal for the maintenance or improvement inserting the following: ‘‘distribute— subparagraph is being requested. project under that Act; and ‘‘(A) obligation’’; ‘‘(III) CRITERIA FOR DETERMINING FINANCIAL ‘‘(B) as of the date on which the funds are (2) by inserting ‘‘and’’ after the semicolon STABILITY AND FINANCIAL MANAGEMENT CAPAC- to be expended, there are— at the end; and ITY.—For the purpose of subclause (II), evi- ‘‘(i) no significant changes to the proposal (3) by adding at the end of the following: dence that, during the 3-year period referred bearing on environmental concerns; and ‘‘(B) for each of fiscal years 2004 through to in subclause (II)(cc), an Indian tribe had ‘‘(ii) no significant new information. 2009, any amount of obligation authority no uncorrected significant and material ‘‘(5) EXCEPTION.—The cost sharing require- made available for Indian reservation road audit exceptions in the required annual audit ments under the Federal Water Project bridges under section 202(d)(4), and for Indian of the Indian tribe’s self-determination con- Recreation Act (16 U.S.C. 460l–12 et seq.) reservation roads under section 204, of title tracts or self-governance funding agreements shall not apply to funds made available to 23, United States Code.’’. with any Federal agency shall be conclusive

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00146 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1103 evidence of the required stability and capa- 11(b)(1) of the Alaska Native Claims Settle- contracted or compacted in accordance with bility. ment Act (43 U.S.C 1610(b)(1)). the Indian Self Determination and Education ‘‘(IV) PLANNING PHASE.— ‘‘(G) REGIONAL CORPORATION.—The term Assistance Act (25 U.S.C. 450b et seq.). ‘‘(aa) IN GENERAL.—An Indian tribe (or con- ‘Regional Corporation’ has the meaning ‘‘(7) MATCHING FUNDS.—Notwithstanding sortium) requesting participation in the given the term in section 2 of the Alaska Na- any other provision of law, funds made avail- demonstration project under this subpara- tive Claims Settlement Act (43 U.S.C. 1602). able under this subsection may be used to graph shall complete a planning phase that ‘‘(H) STATE.—The term ‘State’ means the pay a matching share required for receipt of shall include legal and budgetary research State of Alaska. any other Federal funds that would further a and internal tribal government and organiza- ‘‘(2) ESTABLISHMENT.—The Secretary shall purpose for which allocations under this section preparation. establish an Alaska Native village transpor- tion are made. ‘‘(bb) ELIGIBILITY.—A tribe (or consortium) tation program to pay the costs of planning, ‘‘(8) MAINTENANCE.— described in item (aa) shall be eligible to re- design, construction, and maintenance of ‘‘(A) IN GENERAL.—At the request of a Na- ceive a grant under this subclause to plan road and other surface transportation facili- tive authority or Native village, the Sec- and negotiate participation in a project de- ties identified in accordance with this secretary may increase an amount of funds pro- scribed in that item. tion. vided under this subsection for a construc- ‘‘(V) REPORT TO CONGRESS.—Not later than ‘‘(3) ALASKA NATIVE REGIONAL TRANSPOR- tion project by an additional amount equal September 30, 2006, the Secretary shall pre- TATION AUTHORITIES.— to 100 percent of the total cost of construc- pare and submit to Congress a report de- ‘‘(A) DESIGNATION.—The Secretary shall tion of the project, as determined by the Sec- scribing the implementation of the dem- designate a Native authority for each region. retary. onstration project and any recommendations ‘‘(B) RESPONSIBILITIES.—A Native author- ‘‘(B) USE OF RETAINED FUNDS.—An increase for improving the project.’’. ity shall, with respect to each Native village in funds provided under subparagraph (A) for (2) CONFORMING AMENDMENTS.— or region, as appropriate, covered by the Na- a construction project shall be retained, and (A) Section 4 of the Indian Self-Determina- tive authority— used only, for future maintenance of the con- tion andEducation Assistance Act (25 U.S.C. ‘‘(i) prepare— struction project.’’. 450b(i)) is amended by striking subsection (i) ‘‘(I) a regional transportation plan for the (f) INDIAN RESERVATION ROAD SAFETY PRO- and inserting the following: Native village; and GRAM.— ‘‘(i) SECRETARY.—Except as otherwise pro- ‘‘(II) a comprehensive transportation plan (1) IN GENERAL.—Chapter 4 of title 23, vided, the term ‘Secretary’ means any 1 or for the region; United States Code, is amended by adding at more of the following, as appropriate: ‘‘(ii) prioritize and select projects to be the end the following: funded with amounts made available under ‘‘(1) The Secretary of Health and Human ‘‘SEC. 412. INDIAN RESERVATION ROAD SAFETY Services. this section for the region; PROGRAM. ‘‘(iii) coordinate transportation planning ‘‘(2) The Secretary of the Interior. ‘‘(a) PROGRAM.— with other regions, the State, and other gov- ‘‘(3) The Secretary of Transportation.’’ ‘‘(1) IN GENERAL.—The Secretary shall (B) Section 401 of the Indian Self-Deter- ernmental entities; and carry out a program to provide to eligible In- mination and Education Assistance Act (25 ‘‘(iv) ensure that transportation projects dian tribes (as determined by the Secretary) U.S.C. 458aa) is amended— under this section are constructed and im- competitive grants for use in establishing plemented. (i) by striking ‘‘The Secretary’’ and insert- tribal transportation safety programs on— ‘‘(4) ALASKA NATIVE TRANSPORTATION COM- ing ‘‘(a) IN GENERAL.—The Secretary’’; and ‘‘(A) Indian reservations; and MISSION.— (ii) by adding at the end the following: ‘‘(B) other land under the jurisdiction of an ‘‘(A) ESTABLISHMENT.—As soon as prac- ‘‘(b) SECRETARY OF TRANSPORTATION.—Not- Indian tribe. ticable after the date of enactment of this withstanding any other provision of law, the ‘‘(2) USE OF FUNDS.—Funds from a grant subsection, the Secretary shall establish a Secretary of Transportation may enter into provided under paragraph (1) may be used to commission, to be known as the ‘Statewide self-governance compacts and annual fund- carry out a project or activity— Alaska Native Transportation Commission’, ing agreements with Indian tribes and tribal ‘‘(A) to prevent the operation of motor ve- consisting of 1 representative selected from organizations to carry out tribal transpor- hicles by intoxicated individuals; each Native authority designated by the Sec- tation programs (including transit programs) ‘‘(B) to promote increased seat belt use retary under paragraph (3)(A). authorized under title 23 or 49, United States rates; Code, in accordance with the terms, condi- ‘‘(B) DUTIES.—The Commission shall— ‘‘(i) allocate funds made available under ‘‘(C) to eliminate hazardous locations and tions, and procedures of this Act (including conditions on, or hazardous sections or ele- regulations promulgated under this Act (part this section among regions in accordance with paragraph (5); ments of— 1000 of title 25 Code of Federal Regula- ‘‘(i) a public road; tions)).’’. ‘‘(ii) coordinate transportation planning among the regions, the State, and other gov- ‘‘(ii) a public surface transportation facil- (d) INDIAN RESERVATION ROAD PLANNING.— ity; Section 204(j) of title 23, United States Code, ernmental entities; and ‘‘(iii) a publicly-owned bicycle or pedes- is amended in the first sentence by striking ‘‘(iii) facilitate transportation projects in- trian pathway or trail; or ‘‘2 percent’’ and inserting ‘‘5 percent’’. volving 2 or more regions. ‘‘(iv) a traffic calming measure; (e) ALASKA NATIVE VILLAGE TRANSPOR- ‘‘(5) ALLOCATION OF FUNDING.— ‘‘(D) to eliminate hazards relating to rail- TATION PROGRAM.—Section 204 of title 23, ‘‘(A) FISCAL YEAR 2004.—Funds made avail- United States Code (as amended by section able for the program for fiscal year 2004 shall way-highway crossings; or 1816), is amended by adding at the end the be allocated to each region by the Secretary ‘‘(E) to increase transportation safety by following: as follows: any other means, as determined by the Sec- ‘‘(p) ALASKA NATIVE VILLAGE TRANSPOR- ‘‘(i) 50 percent of the funds shall be allo- retary. TATION PROGRAM.— cated based on the proportion that— ‘‘(b) FEDERAL SHARE.—The Federal share of ‘‘(1) DEFINITIONS.—In this subsection: ‘‘(I) the Native population of Native vil- the cost of carrying out the program under ‘‘(A) COMMISSION.—The term ‘Commission’ lages in the region; bears to this section shall be 100 percent. means the Alaska Native Transportation ‘‘(II) the Native population of all Native ‘‘(c) FUNDING.—Notwithstanding any other Commission established under paragraph villages in the State. provision of law, there are authorized to be (4)(A). ‘‘(ii) 50 percent of the funds shall be allo- appropriated from the Highway Trust Fund (other than the Mass Transit Account) to ‘‘(B) NATIVE.—The term ‘Native’ has the cated as equally as practicable among all meaning given the term in section 3 of the Native villages in the region. carry out this section— ‘‘(1) $6,000,000 for each of fiscal years 2004 Alaska Native Claims Settlement Act (43 ‘‘(B) FISCAL YEAR 2005 AND SUBSEQUENT FIS- and 2005; and U.S.C. 1602). CAL YEARS.—Funds made available for the ‘‘(2) $9,000,000 for each of fiscal years 2006 ‘‘(C) NATIVE AUTHORITY.—The term ‘Native program for fiscal year 2005 and each fiscal authority’ means a governing board of a Re- year thereafter shall be allocated among re- through 2009.’’. gional Corporation, a regional Native non- gions by the Commission, in accordance with (2) CONFORMING AMENDMENT.—The analysis profit entity, a tribal government, or an al- a formula to be developed by the Commis- for chapter 4 of title 23, United States Code, ternative regional entity that is designated sion after taking into consideration— is amended by inserting after the item relat- by the Secretary as a Native regional trans- ‘‘(i) the health, safety, and economic needs ing to section 411 the following: portation authority under paragraph (3)(A). of each region for transportation infrastruc- ‘‘412. Indian reservation road safety pro- ‘‘(D) NATIVE VILLAGE.—The term ‘Native ture, as identified through the regional plan- gram.’’. village’ has the meaning given the term in ning process; (g) INDIAN RESERVATION RURAL TRANSIT section 3 of the Alaska Native Claims Settle- ‘‘(ii) the relative costs of construction in PROGRAM.—Section 5311 of title 49, United ment Act (43 U.S.C. 1602). each region; and States Code, is amended by adding at the end ‘‘(E) PROGRAM.—The term ‘program’ means ‘‘(iii) the extent to which transportation the following: the Alaska Native village transportation projects for each region are ready to proceed ‘‘(k) INDIAN RESERVATION RURAL TRANSIT program established under paragraph (2). to design and construction. PROGRAM.— ‘‘(F) REGION.—The term ‘region’ means a ‘‘(6) TRIBAL CONTRACTING.—Funds allocated ‘‘(1) IN GENERAL.—The Secretary shall es- region in the State specified in section among regions under this subsection may be tablish and carry out a program to provide

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00147 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1104 CONGRESSIONAL RECORD — SENATE February 11, 2004 competitive grants to Indian tribes to estab- amounts received in the Airport and Airway SA 2403. Mr. HOLLINGS submitted lish rural transit programs on reservations Trust Fund which are attributable to fuel an amendment intended to be proposed or other land under the jurisdiction of the that is used primarily for highway transpor- to amendment SA 2285 proposed by Mr. Indian tribes. tation purposes. INHOFE to the bill S. 1072, to authorize ‘‘(2) AMOUNT OF GRANTS.—The amount of a ‘‘(B) AMOUNTS TRANSFERRED TO MASS TRAN- grant provided to an Indian tribe under sub- SIT ACCOUNT.—The Secretary shall transfer 11 funds for Federal-aid highways, high- paragraph (A) shall be based on the need of percent of the amounts paid into the High- way safety programs, and transit pro- the Indian tribe, as determined by the Sec- way Trust Fund under subparagraph (A) to grams, and for other purposes; which retary of Transportation. the Mass Transit Account established under was ordered to lie on the table; as fol- ‘‘(3) AUTHORIZATION OF FUNDING.—For each section 9503(e).’’. lows: (b) CONFORMING AMENDMENTS.— of fiscal years 2004 through 2009, of the On page 539, line 12 strike ‘‘airport oper- (1) Subsection (a) of section 9503 is amend- amount made available under section 5338, ations’’. $15,000,000 shall be made available to carry ed— (A) by striking ‘‘appropriated or credited’’ out this subsection.’’. SA 2404. Mr. HOLLINGS submitted (h) COMMERCIAL VEHICLE DRIVING TRAINING and inserting ‘‘paid, appropriated, or cred- PROGRAM.— ited’’, and an amendment intended to be proposed (1) DEFINITIONS.—In this section: (B) by striking ‘‘or section 9602(b)’’ and in- to amendment SA 2285 proposed by Mr. (A) COMMERCIAL VEHICLE DRIVING.—The serting ‘‘, section 9502(d)(7), or section INHOFE to the bill S. 1072, to authorize term ‘‘commercial vehicle driving’’ means 9602(b)’’. funds for Federal-aid highways, high- the driving of— (2) Subsection (e)(1) of section 9503 is way safety programs, and transit pro- (i) a vehicle that is a tractor-trailer truck; amended by striking ‘‘or section 9602(b)’’ and grams, and for other purposes; which or inserting ‘‘, section 9502(d)(7), or section was ordered to lie on the table; as fol- (ii) any other vehicle (such as a bus or a 9602(b)’’. lows: vehicle used for the purpose of construction) (c) EFFECTIVE DATE.—The amendments the driving of which requires a commercial made by this section shall take effect on Oc- On page 818, beginning in line 11, strike license. tober 1, 2004. ‘‘Federal Railroad Administration, Federal (B) SECRETARY.—The term ‘‘Secretary’’ Motor Carrier Safety Administration, or the means the Secretary of Labor. SA 2400. Mr. GRASSLEY (for himself Federal Aviation Administration’’ and insert (2) GRANTS.—The Secretary shall provide and Mr. BAUCUS) submitted an amend- the following, ‘‘Federal Railroad Adminis- grants, on a competitive basis, to entities de- ment intended to be proposed by him tration or the Motor Carrier Safety Adminis- scribed in paragraph (3)(A) to support pro- to the bill S. 1072, to authorize funds tration’’. grams providing training and certificates for Federal-aid highways, highway leading to the licensing of Native Americans safety programs, and transit programs, SA 2405. Mr. HOLLINGS submitted with respect to commercial vehicle driving. and for other purposes; which was or- an amendment intended to be proposed (3) ELIGIBILITY.—To be eligible to receive a dered to lie on the table; as follows: to amendment SA 2285 proposed by Mr. grant under paragraph (1), an entity shall— Part IV of subtitle C of title V is amended INHOFE to the bill S. 1072, to authorize (A) be a tribal college or university (as de- by inserting at the end the following new funds for Federal-aid highways, high- fined in section 316(b)(3) of the Higher Edu- section: way safety programs, and transit pro- cation Act (20 U.S.C. 1059(b)(3)); and (B) prepare and submit to the Secretary an SEC. 5246. ELECTRONIC REPORTING. grams, and for other purposes; which (a) IN GENERAL.—Section 4101(d), as amend- application at such time, in such manner, was ordered to lie on the table; as fol- ed by section 5273 of this Act, is amended by and containing such information as the Sec- lows: adding at the end the following new sen- retary may require. tence: ‘‘Any person who is required to report On page 819, beginning in line 1, strike (4) PRIORITY.—In providing grants under under this subsection and who has 25 or more ‘‘Federal Railroad Administration, the Fed- paragraph (1), the Secretary shall give pri- reportable transactions in a month shall file eral Motor Carrier Safety Administration, ority to grant applications that— such report in electronic format.’’. and the Federal Aviation Administration’’ (A) propose training that exceeds proposed (b) EFFECTIVE DATE.—The amendments and insert the following: ‘‘Federal Railroad minimum standards for training tractor- made by this section shall apply on October Administration and the Motor Carrier Safety trailer drivers of the Department of Trans- 1, 2004. Administration.’’. portation; (B) propose training that exceeds the entry SA 2401. Mr. STEVENS (for himself SA 2406. Mr. INHOFE submitted an level truck driver certification standards set and Mr. INOUYE) submitted an amend- amendment intended to be proposed to by the Professional Truck Driver Institute; ment intended to be proposed to amendment SA 2285 proposed by Mr. and amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, to authorize (C) propose an education partnership with INHOFE to the bill S. 1072, to authorize a private trucking firm, trucking associa- funds for Federal-aid highways, high- tion, or similar entity in order to ensure the funds for Federal-aid highways, highway safety programs, and transit pro- effectiveness of the grant program under this way safety programs, and transit programs, and for other purposes; which section. grams, and for other purposes; which was ordered to lie on the table; as fol- (5) AUTHORIZATION OF APPROPRIATIONS.— was ordered to lie on the table; as follows: There is authorized to be appropriated to lows: Beginning on page 321, strike line 7 and all carry out this subsection $5,000,000 for the On page 717, line 10, strike ‘‘transpor- that follows through page 326, line 12 and in- period of fiscal years 2004 through 2009. tation,’’ and insert ‘‘transportation (and, in sert the following: Alaska and Hawaii, includes regularly sched- SA 2399. Mr. GRASSLEY (for himself Secretary.’’; uled intrastate bus service for the general (C) in paragraph (3)— and Mr. BAUCUS) submitted an amend- public),’’. (i) in subparagraph (A), by striking ‘‘under ment intended to be proposed by him this title’’ and inserting ‘‘under this chapter to the bill S. 1072, to authorize funds SA 2402. Mr. THOMAS submitted an and section 125(e)’’; and for Federal-aid highways, highway amendment intended to be proposed to (ii) by adding at the end the following: safety programs, and transit programs, amendment SA 2285 proposed by Mr. ‘‘(C) FEDERAL LANDS HIGHWAY PROGRAM and for other purposes; which was or- INHOFE to the bill S. 1072, to authorize DEMONSTRATION PROJECT.— dered to lie on the table; as follows: funds for Federal-aid highways, high- ‘‘(i) IN GENERAL.—The Secretary shall establish a demonstration project under which Section 5212 is amended to read as follows: way safety programs, and transit pro- all funds made available under this chapter SEC. 5212. TRANSFER OF CERTAIN AMOUNTS grams, and for other purposes; which FROM THE AIRPORT AND AIRWAY was ordered to lie on the table; as fol- for Indian reservation roads and for highway TRUST FUND TO THE HIGHWAY lows: bridges located on Indian reservation roads as provided for in subparagraph (A) shall be TRUST FUND TO REFLECT HIGHWAY On page 321, line 7, strike ‘‘and’’ and all USE OF JET FUEL. made available, on the request of an affected that follows through line 13, and insert the (a) IN GENERAL.—Section 9502(d) is amend- Indian tribal government, to the Indian trib- following: ed by adding at the end the following new (C) in paragraph (3)(A), by striking ‘‘under al government for use in carrying out, in ac- paragraph: this title’’ and inserting ‘‘under this chapter cordance with the Indian Self-Determination ‘‘(7) TRANSFERS FROM THE TRUST FUND TO and section 125(e)’’; and and Education Assistance Act (25 U.S.C. 450b THE HIGHWAY TRUST FUND.— (D) in paragraph (4)— et seq.), contracts and agreements for the ‘‘(A) IN GENERAL.—The Secretary shall pay (i) in subparagraph (B)— planning, research, engineering, and con- annually from the Airport and Airway Trust (I) by striking ‘‘(B) RESERVATION.—Of the struction described in that subparagraph. Fund into the Highway Trust Fund an amounts’’ and all that follows through ‘‘to ‘‘(ii) EXCLUSION OF AGENCY PARTICIPA- amount (as determined by him) equivalent to replace,’’ and inserting the following: TION.—In accordance with subparagraph (B),

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00148 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1105 all funds for Indian reservation roads and for (i) in subparagraph (B)— pay the cost of transportation planning, re- highway bridges located on Indian reserva- (I) by striking ‘‘(B) RESERVATION.—Of the search, engineering, operation and mainte- tion roads to which clause (i) applies shall be amounts’’ and all that follows through ‘‘to nance of transit facilities, and construction paid without regard to the organizational replace,’’ and inserting the following: of the highways, roads, parkways, forest level at which the Federal lands highway ‘‘(B) FUNDING.— highways, and transit facilities located on program has previously carried out the pro- ‘‘(i) RESERVATION OF FUNDS.—Of the public land, national parks, and Indian res- grams, functions, services, or activities in- amounts authorized to be appropriated for ervations. volved. Indian reservation roads for each fiscal year, ‘‘(2) CONTRACT.—In connection with an ac- ‘‘(iii) SELECTION OF PARTICIPATING TRIBES.— the Secretary, in cooperation with the Sec- tivity described in paragraph (1), the Sec- ‘‘(I) PARTICIPANTS.— retary of the Interior, shall reserve not less retary and the Secretary of the appropriate ‘‘(aa) IN GENERAL.—In addition to Indian than $15,000,000 for each of fiscal years 2004 Federal land management agency may enter tribes or tribal organizations that, as of the through 2009 to carry out planning, design, into a construction contract or other appro- date of enactment of this subparagraph, are engineering, preconstruction, construction, priate agreement with— contracting or compacting for any Indian and inspection of projects to replace,’’; and ‘‘(A) a State (including a political subdivi- reservation road function or program, for (II) by adding at the end the following: sion of a State); or each fiscal year, the Secretary may select up ‘‘(ii) AVAILABILITY.—Funds made available ‘‘(B) an Indian tribe. to 15 Indian tribes from the applicant pool to carry out this subparagraph shall be ‘‘(3) INDIAN RESERVATION ROADS.—In the described in subclause (II) to participate in available for obligation in the same manner case of an Indian reservation road— the demonstration project carried out under as if the funds were apportioned under chap- ‘‘(A) Indian labor may be used, in accord- clause (i). ter 1.’’; and ance with such rules and regulations as may ‘‘(bb) CONSORTIA.—Two or more Indian (ii) by striking subparagraph (D) and in- be promulgated by the Secretary of the Inte- tribes that are otherwise eligible to partici- serting the following: rior, to carry out any construction or other pate in a program or activity to which this ‘‘(D) APPROVAL REQUIREMENT.— activity described in paragraph (1); and title applies may form a consortium to be ‘‘(i) IN GENERAL.—Subject to clause (ii), on ‘‘(B) funds made available to carry out this considered as a single Indian tribe for the request by an Indian tribe or the Secretary section may be used to pay bridge purpose of becoming part of the applicant of the Interior, the Secretary may make preconstruction costs (including planning, pool under subclause (II). funds available under this subsection for pre- design, and engineering). ‘‘(cc) FUNDING.—An Indian tribe partici- liminary engineering for Indian reservation ‘‘(4) FEDERAL EMPLOYMENT.—No maximum pating in the pilot program under this sub- road bridge projects. on Federal employment shall be applicable paragraph shall receive funding in an ‘‘(ii) CONSTRUCTION AND CONSTRUCTION ENGI- to construction or improvement of Indian amount equal to the sum of the funding that NEERING.—The Secretary may make funds reservation roads. the Indian tribe would otherwise receive in available under clause (i) for construction ‘‘(5) AVAILABILITY OF FUNDS.—Funds avail- accordance with the funding formula estab- and construction engineering only after ap- able under this section for each class of Fed- lished under the other provisions of this sub- proval by the Secretary of applicable plans, eral lands highway shall be available for any section, and an additional percentage of that specifications, and estimates.’’; and kind of transportation project eligible for as- amount equal to the percentage of funds (5) by adding at the end the following: sistance under this title that is within or ad- withheld during the applicable fiscal year for ‘‘(f) ADMINISTRATION OF INDIAN RESERVA- jacent to, or that provides access to, the the road program management costs of the TION ROADS.— areas served by the particular class of Fed- Bureau of Indian Affairs under subsection ‘‘(1) CONTRACT AUTHORITY.—Notwith- eral lands highway. (f)(1). standing any other provision of law, for any ‘‘(6) RESERVATION OF FUNDS.—The Sec- ‘‘(II) APPLICANT POOL.—The applicant pool fiscal year, not more than 6 percent of the retary of the Interior may reserve funds described in this subclause shall consist of contract authority amounts made available from administrative funds of the Bureau of each Indian tribe (or consortium) that— from the Highway Trust Fund to the Bureau Indian Affairs that are associated with the ‘‘(aa) has successfully completed the plan- of Indian Affairs under this title shall be Indian reservation road program to finance ning phase described in subclause (IV); used to pay the expenses incurred by the Bu- the Indian technical centers authorized ‘‘(bb) has requested participation in the reau in administering the Indian reservation under section 504(b).’’; and demonstration project under this subpara- roads program (including the administrative (3) in subsection (k)(1)— graph through the adoption of a resolution expenses relating to individual projects asso- (A) in subparagraph (B)— or other official action by the tribal gov- ciated with the Indian reservation roads pro- (i) by striking ‘‘(2), (5),’’ and inserting ‘‘(2), erning body; and gram). (3), (5),’’; and ‘‘(cc) has demonstrated financial stability ‘‘(2) HEALTH AND SAFETY ASSURANCES.— (ii) by striking ‘‘and’’ after the semicolon; and financial management capability in ac- Notwithstanding any other provision of law, (B) in subparagraph (C), by striking the pe- cordance with subclause (III) during the 3- an Indian tribe or tribal organization may riod at the end and inserting a semicolon; fiscal-year period immediately preceding the commence road and bridge construction and fiscal year for which participation under this under the Transportation Equity Act for the (C) by adding at the end the following: subparagraph is being requested. 21st Century (Public Law 105-178) or the Safe, ‘‘(D) maintenance of public roads in na- ‘‘(III) CRITERIA FOR DETERMINING FINANCIAL Accountable, Flexible, and Efficient Trans- tional fish hatcheries under the jurisdiction STABILITY AND FINANCIAL MANAGEMENT CAPAC- portation Equity Act of 2004 that is funded of the United States Fish and Wildlife Serv- ITY.—For the purpose of subclause (II), evi- through a contract or agreement under the ice; dence that, during the 3-year period referred Indian Self-Determination and Education ‘‘(E) the non-Federal share of the cost of to in subclause (II)(cc), an Indian tribe had Assistance Act (25 U.S.C. 450b et seq.) if the any project funded under this title or chap- no uncorrected significant and material Indian tribe or tribal organization— ter 53 of title 49 that provides access to or audit exceptions in the required annual audit ‘‘(A) provides assurances in the contract or within a wildlife refuge; and of the Indian tribe’s self-determination con- agreement that the construction will meet ‘‘(F) maintenance and improvement of rec- tracts or self-governance funding agreements or exceed applicable health and safety stand- reational trails (except that expenditures on with any Federal agency shall be conclusive ards; trails under this subparagraph shall not ex- evidence of the required stability and capa- ‘‘(B) obtains the advance review of the ceed 5 percent of available funds for each fis- bility. plans and specifications from a licensed pro- cal year).’’. ‘‘(IV) PLANNING PHASE.— fessional that has certified that the plans ‘‘(aa) IN GENERAL.—An Indian tribe (or con- and specifications meet or exceed the appli- (e) MAINTENANCE OF INDIAN RESERVATION sortium) requesting participation in the cable health and safety standards; and ROADS.—Section 204(c) of title 23, United demonstration project under this subpara- ‘‘(C) provides a copy of the certification States Code, is amended by striking the sec- graph shall complete a planning phase that under subparagraph (B) to the Assistant Sec- ond and third sentences and inserting the shall include legal and budgetary research retary for Indian Affairs.’’. following: ‘‘Notwithstanding any other pro- and internal tribal government and organiza- (d) PLANNING AND AGENCY COORDINATION.— vision of this title, of the amount of funds tion preparation. Section 204 of title 23, United States Code, is apportioned for Indian reservation roads ‘‘(bb) ELIGIBILITY.—An Indian tribe (or con- amended— from the Highway Trust Fund, an Indian sortium) described in item (aa) shall be eligi- (1) in subsection (a)(1), by inserting ‘‘refuge tribe may expend for the purpose of mainte- ble to receive a grant under this subclause to roads, recreation roads,’’ after ‘‘parkways,’’; nance not more than the greater of $250,000 plan and negotiate participation in a project (2) by striking subsection (b) and inserting or 25 percent of the apportioned amount. The described in that item. the following: Bureau of Indian Affairs shall continue to re- ‘‘(V) REPORT TO CONGRESS.—Not later than ‘‘(b) USE OF FUNDS.— tain primary responsibility, including an- September 30, 2006, the Secretary shall sub- ‘‘(1) IN GENERAL.—Funds available for pub- nual funding request responsibility, for road mit to Congress a report describing the im- lic lands highways, recreation roads, park maintenance programs on Indian reserva- plementation of the demonstration project roads and parkways, forest highways, and In- tions. The Secretary shall ensure that fund- and any recommendations for improving the dian reservation roads shall be used by the ing made available under this subsection for project.’’; and Secretary and the Secretary of the appro- maintenance of Indian reservation roads for (D) in paragraph (4)— priate Federal land management agency to each fiscal year is supplementary to and not

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00149 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1106 CONGRESSIONAL RECORD — SENATE February 11, 2004 in lieu of any obligation of funds by the Bu- and ending not later than with fiscal year (I) except with respect to core highway reau of Indian Affairs for road maintenance 2009. programs described in subparagraphs (G), programs on Indian reservations.’’. (4) FUTURE INVESTMENT ACCOUNT.—The (H), and (I) of section ll2(1), the funding (f) AUTHORIZATION OF CONTRACT AUTHORITY term ‘‘Future Investment Account’’ means level for such program for such year under FOR STATES WITH INDIAN RESERVATIONS.— the Future Investment Account established clause (ii) in lieu of the funding level for Section 1214(d)(5)(A) of the Transportation under section 9503(f) of the Internal Revenue such program for such year under any other Equity Act for the 21st Century (23 U.S.C. 202 Code of 1986. provision of law, and note; 112 Stat. 206) is amended by striking (5) HIGHWAY ACCOUNT.—The term ‘‘Highway (II) the annual obligation limitation for ‘‘$1,500,000 for each of fiscal years 1998 Account’’ means the portion of the Highway such program for such year imposed under through 2003’’ and inserting ‘‘$1,800,000 for Trust Fund established under section 9503 of any provision of law. each of fiscal years 2004 through 2009’’. the Internal Revenue Code of 1986 which is (ii) SPECIAL FUNDING LEVELS.—For purposes (g) INDIAN RESERVATION RURAL TRANSIT not the Mass Transit Account or the Future of clause (i), the funding levels for core high- PROGRAM.—Section 5311 of title 49, United Investment Account. way programs are as follows: States Code, is amended by adding at the end (6) MASS TRANSIT ACCOUNT.—The term (I) For the Interstate maintenance pro- the following: ‘‘Mass Transit Account’’ means the Mass gram, $5,500,000,000 for fiscal year 2004, ‘‘(k) INDIAN RESERVATION RURAL TRANSIT Transit Account established under section $6,300,000,000 for fiscal year 2005, $6,550,000,000 PROGRAM.— 9503(e) of the Internal Revenue Code of 1986. for fiscal year 2006, $6,650,000,000 for fiscal ‘‘(1) IN GENERAL.—The Secretary shall es- (7) SURFACE TRANSPORTATION.—The term year 2007, $7,650,000,000 for fiscal year 2008, tablish and carry out a program to provide ‘‘surface transportation’’ includes mass tran- and $7,950,000,000 for fiscal year 2009. competitive grants to Indian tribes to estab- sit and rail. (II) For highway bridge replacement and lish rural transit programs on reservations (8) TIER I CORE PROGRAM STATE.—The term rehabilitation, $4,650,754,076 for fiscal year or other land under the jurisdiction of the ‘‘tier I core program State’’ means a core 2004, $5,507,287,150 for fiscal year 2005, Indian tribes. program State that is eligible for a core $5,713,860,644 for fiscal year 2006, $5,730,266,418 ‘‘(2) AMOUNT OF GRANTS.—The amount of a highway programs payment and a non-core for fiscal year 2007, $6,016,042,650 for fiscal grant provided to an Indian tribe under sub- highway programs block grant under section year 2008, and $6,103,714,622 for fiscal year paragraph (A) shall be based on the need of ll3. 2009. the Indian tribe, as determined by the Sec- (9) TIER II CORE PROGRAM STATE.—The term (III)(aa) For Indian reservation roads, retary of Transportation. ‘‘tier II core program State’’ means a core $300,000,000 for fiscal year 2004, $325,000,000 for ‘‘(3) AUTHORIZATION OF FUNDING.—For each program State that is eligible for a core fiscal year 2005, $350,000,000 for fiscal year of fiscal years 2004 through 2009, of the highway programs payment under section 2006, $375,000,000 for fiscal year 2007, amount made available under section 5338, ll3 and that elects under section ll3(e) to $400,000,000 for fiscal year 2008, and $15,000,000 shall be made available to carry reduce its Federal fuel tax rate with a cor- $425,000,000 for fiscal year 2009. out this subsection.’’. responding reduction in its non-core highway (bb) For public lands highways, $300,000,000 programs block grant. each of fiscal years 2004 through 2009. SA 2407. Mr. KYL submitted an (10) TIER I MASS TRANSIT STATE.—The term (cc) For parkways and park roads, amendment intended to be proposed by ‘‘tier I mass transit State’’ means a State $300,000,000 for fiscal year 2004, $310,000,000 for him to the bill S. 1072, to authorize that is eligible for a mass transit block grant fiscal year 2005, and $320,000,000 for each of funds for Federal-aid highways, high- under section ll4. fiscal years 2006 through 2009. (11) TIER II MASS TRANSIT STATE.—The term (IV) For highway safety programs, way safety programs, and transit pro- $171,000,000 for each of fiscal years 1998 grams, and for other purposes; which ‘‘tier II mass transit State’’ means a State that elects under section ll4(c) to elimi- through 2003. was ordered to lie on the table; as fol- nate its mass transit fuel tax rate with a cor- (V) For highway safety research and devel- lows: responding elimination of its mass transit opment, $44,000,000 for each of fiscal years At the appropriate place insert the fol- block grant. 1998 through 2003. (VI) For motor carrier safety grants, not lowing: SEC. ll3. FUNDING OF HIGHWAY PROGRAMS IN more than $90,000,000 for each of fiscal years TITLE llSURFACE TRANSPORTATION CORE PROGRAM STATES. 1998 through 2003. AND TRANSIT EMPOWERMENT (a) ELECTION TO BECOME A CORE PROGRAM (2) USE OF PAYMENT.— SEC. ll1. SHORT TITLE. STATE.—Each State which makes an election described in subsection (b) shall be eligible (A) IN GENERAL.—The core highway pro- This title may be cited as the ‘‘Surface grams payment for any core program State Transportation and Transit Empowerment with respect to each fiscal year during the State’s election period for— shall be available, as provided by appropria- Act’’. (1) a core highway programs payment; and tion Acts, to the State for any core highway SEC. ll2. DEFINITIONS. (2) a non-core highway programs block program purpose in such State. In this title, the following definitions grant, (B) TRANSFERABILITY OF FUNDS.—To the ex- apply: in lieu of any other payment from the High- tent that a core program State determines (1) CORE HIGHWAY PROGRAMS.—The term way Account and the Future Highway In- that funds made available under this sub- ‘‘core highway programs’’ means the fol- vestment Sub Account of the Future Invest- section to the State for a purpose are in ex- lowing programs: ment Account. cess of the needs of the State for that pur- (A) The Interstate maintenance program (b) REQUIREMENTS FOR ELECTION.—An elec- pose, the State may transfer the excess funds under section 119 of title 23, United States tion is described in this subsection if— to, and use the excess funds for, any surface Code. (1) such election is made by a State at transportation purpose in the State. (B) Highway bridge replacement and reha- least 180 days before the first fiscal year with (d) DETERMINATION AND USE OF NON-CORE bilitation (excluding off-System bridges) respect to which the election applies; HIGHWAY PROGRAMS BLOCK GRANT.— under section 144 of that title. (2) such election is made by a State that (1) DETERMINATION OF AMOUNT OF BLOCK (C)(i) Indian reservation roads under sec- certifies that such State has a metropolitan GRANT.—Subject to subsection (e), the tion 204 of that title. planning organization established under sec- amount of the non-core highway programs (ii) Public lands highways under section tion 134 of title 23, United States Code, and block grant for any tier I core program State 204 of that title. that such organization will maintain a sys- for any fiscal year is equal to the excess of— (iii) Parkways and park roads under sec- tem for processing funds received by the (A) the amount of taxes transferred to the tion 204 of that title. State under this Act throughout the election Highway Account and the Future Highway (D) Highway safety programs under section period; and Investment Sub Account of the Future In- 402 of that title. (3) such election is submitted to the Sec- vestment Account for such fiscal year which (E) Highway safety research and develop- retary in such form and manner as the Sec- is attributable to highway users in that ment under section 403 of that title. retary prescribes. State as determined by the Secretary of the (F) Motor carrier safety grants under sec- (c) DETERMINATION AND USE OF CORE HIGH- Treasury (taking into account proper reduction 31104 of title 49, United States Code. WAY PROGRAMS PAYMENT.— tions for uses of such taxes for purposes (G) Metropolitan planning under section (1) DETERMINATION OF AMOUNT OF PAY- other than the Federal-aid highway pro- 104(f) of title 23, United States Code. MENT.— gram); over (H) National defense highways under sec- (A) IN GENERAL.—Subject to subparagraph (B) the core highway programs payment to tion 311 of that title. (B), the Secretary shall determine for each such State for such fiscal year, as deter- (I) Emergency relief under section 125 of fiscal year the payment necessary to meet mined under subsection (c). that title. the commitments of core highway programs (2) USE OF BLOCK GRANT.—The non-core (2) CORE PROGRAM STATE.—The term ‘‘core for each core program State. highway programs block grant for any tier I program State’’ means a State which makes (B) LIMITATIONS.— core program State shall be available, as an election under section ll3. (i) GENERAL RULE.—Any payment under provided by appropriation Acts, to the State (3) ELECTION PERIOD.—The term ‘‘election subparagraph (A) for any fiscal year for any for any surface transportation purpose in period’’ means the period beginning with the particular core highway program for a core such State. Any project carrying out such a fiscal year determined under section ll3(b) program State shall be subject to— purpose shall be exempt from any Federal

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00150 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1107

regulation other than with respect to health which the Secretary of the Treasury submits (A) IN GENERAL.—Upon notification by the and safety standards and practices. the report required under subparagraph (B), Secretary of an election by a State under (e) ELECTION TO REDUCE FEDERAL FUEL such committee shall be, at the end of such paragraph (1), the Secretary of the Treasury TAX RATE WITH CORRESPONDING REDUCTION IN period, discharged from further consider- shall, not later than August 1, submit to the BLOCK GRANT.— ation of such resolution, and such resolution Committee on Ways and Means of the House (1) IN GENERAL.—With respect to fiscal shall be placed on the appropriate calendar of Representatives and the Committee on Fi- years beginning after the satisfaction year of the House involved. nance of the Senate, a report that notifies and ending with the termination of the elec- (iv) CONSIDERATION.—Within 30 days after the committees of such an election. tion period, a core program State may notify the date on which the committee to which a (B) CONGRESSIONAL APPROVAL REQUIRED.— the Secretary (in the same manner as the resolution described in clause (i) has re- The Secretary of the Treasury shall not im- election described in subsection (b)) of an ported, or has been discharged from further plement the election included in the report election to become a tier II core program consideration of such resolution, such reso- submitted under paragraph (1) unless a joint State and to have imposed on highway users lution shall be considered in the same man- resolution is enacted, in accordance with in the State the State’s core highway pro- ner as a resolution is considered under subparagraph (3), approving such election before grams financing rate with respect to the sections (d), (e), and (f) of section 2908 of the the following October 1. taxes transferred to the Highway Account Defense Base Closure and Realignment Act (3) CONGRESSIONAL CONSIDERATION.— and the Future Highway Investment Sub Ac- of 1990 (10 U.S.C. 2687 note). (A) TERMS OF THE RESOLUTION.—For pur- count of the Future Investment Account (3) SATISFACTION YEAR.—For purposes of poses of paragraph (2), the term ‘‘joint reso- which are attributable to such highway users paragraph (1), the term ‘‘satisfaction year’’ lution’’ means only a joint resolution that is in lieu of the tax rates otherwise established means the fiscal year during which all Fed- introduced before October 1 and— in the Internal Revenue Code of 1986 for such eral non-core highway program obligations (i) that does not have a preamble; fiscal years. of a core program State payable from the (ii) the matter after the resolving clause of (2) DETERMINATION OF CORE HIGHWAY PRO- Highway Account and the Future Highway which is as follows: ‘‘That Congress approves GRAMS FINANCING RATE.— Investment Sub Account of the Future In- the elimination of the mass transit fuel tax (A) IN GENERAL.—Upon notification by the vestment Account existing on the date of the rate for the State of ll submitted on ll’’, Secretary of an election by a State under election by such State described in sub- the blank spaces being filled in with the ap- paragraph (1), the Secretary of the Treasury section (a) are paid. propriate State and date, respectively; and shall determine for each subsequent fiscal (iii) the title of which is as follows: ‘‘Joint year such State’s core highway programs fi- SEC. ll4. FUNDING OF TRANSIT PROGRAMS IN resolution approving the elimination of the nancing rate, taking into account— MASS TRANSIT BLOCK GRANT STATES. mass transit fuel tax rate.’’. (i) the amount of taxes necessary to fund (B) CONSIDERATION.—A resolution described that State’s core highway programs payment (a) ELECTION TO BECOME A MASS TRANSIT in subparagraph (A) shall be considered in for such fiscal year; BLOCK GRANT STATE.—A core program State the same manner as a resolution is consid- (ii) the uses of the taxes described in para- or any other State may notify the Secretary ered under clauses (ii), (iii), and (iv) of sec- graph (1) for purposes other than the Fed- (in the same manner as the election de- tion 3(e)(2)(D). eral-aid highway program for such fiscal scribed in section ll3(b)) of an election to ll (4) SATISFACTION YEAR.—For purposes of year; receive with respect to each fiscal year dur- (iii) any adjustments necessary as a result ing the State’s election period a mass transit this section, the term ‘‘satisfaction year’’ of a determination under this paragraph for block grant, in lieu of any other payment means the fiscal year during which all Fed- a preceding fiscal year; and from the Mass Transit Account and the Fu- eral transit program obligations of a State (iv) the rates with respect to such taxes ture Transit Investment Sub Account of the payable from the Mass Transit Account and otherwise imposed under the Internal Rev- Future Investment Account. An election the Future Transit Investment Sub Account enue Code of 1986 for such fiscal year. under this subsection shall not affect a of the Future Investment Account existing (B) REPORT.—Not later than August 1, the State’s continued eligibility for revenues on the date of the election by such State de- Secretary of the Treasury shall submit to provided through the general fund of the scribed in subsection (a) are paid. the Committee on Ways and Means of the Treasury for transit programs. SEC. ll5. ENFORCEMENT. House of Representatives and the Committee (b) DETERMINATION AND USE OF MASS TRAN- If the Secretary determines that a core on Finance of the Senate, a report that de- SIT BLOCK GRANT.— program State (or any other State under sec- scribes the determination required under (1) DETERMINATION OF AMOUNT OF BLOCK tion ll4(b)(2)) has used funds under this subparagraph (A). GRANT.—Subject to subsection (c), the Act for a purpose that is not a surface trans- (C) CONGRESSIONAL APPROVAL REQUIRED.— amount of the mass transit block grant for portation purpose, the amount of the im- The Secretary of the Treasury shall not im- any tier I mass transit State for any fiscal properly used funds shall be deducted from plement the determination required to be in- year is equal to the amount of taxes trans- any amount the State would otherwise re- cluded in the report submitted under sub- ferred to the Mass Transit Account and the ceive from the Highway Account for the fis- paragraph (B) unless a joint resolution is en- Future Transit Investment Sub Account of cal year that begins after the date of the de- acted, in accordance with subparagraph (D), the Future Investment Account for such fis- termination. approving such determination before the fol- cal year which is attributable to highway SEC. ll6. REPORTS. lowing October 1. users in that State as determined by the Sec- (a) ANNUAL STATE ASSESSMENT.—A core (D) CONGRESSIONAL CONSIDERATION.— retary of the Treasury. program State shall— (i) TERMS OF THE RESOLUTION.—For pur- (2) USE OF BLOCK GRANT.—The mass transit (1) assess the operation of the State sur- poses of subparagraph (C), the term ‘‘joint block grant for any tier I mass transit State face transportation program funded under resolution’’ means only a joint resolution shall be available, as provided by appropria- this Act in each fiscal year, including the that is introduced before October 1 and— tion Acts, to the State for any surface trans- status of the core highway programs in the (I) that does not have a preamble; portation purpose in such State. Any project State; and (II) the matter after the resolving clause of carrying out such a purpose shall be exempt (2) report to the Secretary, by January 1 which is as follows: ‘‘That Congress approves from any Federal regulation other than with following the end of the fiscal year, on the the determination of the Secretary of the respect to health and safety standards and result of the assessment. Treasury regarding the imposition of the practices. (b) REPORT OF THE SECRETARY.—The Sec- core highway programs rate for the State of (c) ELECTION TO ELIMINATE MASS TRANSIT retary shall submit to the appropriate com- ll submitted on ll’’, the blank spaces FUEL TAX RATE WITH CORRESPONDING ELIMI- mittees of Congress an annual report and being filled in with the appropriate State NATION OF BLOCK GRANT.— evaluation of the State surface transpor- and date, respectively; and (1) IN GENERAL.—With respect to fiscal tation programs funded under this Act based (III) the title of which is as follows: ‘‘Joint years beginning after the satisfaction year on the State assessments and reports sub- resolution approving the determination of and ending with the termination of the elec- mitted under subsection (a). Such report the Secretary of the Treasury regarding the tion period, a State which has made an elec- shall include any conclusions and rec- imposition of a core highway programs tion under subsection (a) may notify the Sec- ommendations that the Secretary considers rate.’’. retary (in the same manner as such an elec- appropriate. (ii) REFERRAL.—A resolution described in tion) of an election to become a tier II mass SEC. ll7. INTERSTATE SURFACE TRANSPOR- clause (i) that is introduced— transit State and to eliminate the financing TATION COMPACTS. (I) in the House of Representatives, shall rate with respect to the taxes transferred to (a) DEFINITIONS.—In this section, the fol- be referred to the Committee on Ways and the Mass Transit Account and the Future lowing definitions apply: Means; and Transit Investment Sub Account of the Fu- (1) INFRASTRUCTURE BANK.—The term ‘‘in- (II) in the Senate, shall be referred to the ture Investment Account which are attrib- frastructure bank’’ means a surface trans- Committee on Finance. utable to the highway users of the State in portation infrastructure bank established (iii) DISCHARGE.—If a committee to which a lieu of the mass transit block grant for such under an interstate compact under sub- resolution described in clause (i) is referred fiscal years. section (b)(5) and described in subsection (d). has not reported such resolution by the end (2) ELIMINATION OF MASS TRANSIT FUEL TAX (2) PARTICIPATING STATES.—The term ‘‘par- of the 30-day period beginning on the date on RATE.— ticipating States’’ means the States that are

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00151 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1108 CONGRESSIONAL RECORD — SENATE February 11, 2004 parties to an interstate compact entered into (v) subsidization of interest rates; Federal funds to have obtained the original under subsection (b). (vi) letters of credit; Federal funds), so long as needed for those (3) SURFACE TRANSPORTATION PROJECT.— (vii) any credit instrument; objectives; and The term ‘‘surface transportation project’’ (viii) bond or debt financing instrument se- (2) the private party purchasing or leasing means a surface transportation project, pro- curity; and the transportation infrastructure asset gram, or activity described in subsection (b). (ix) any other form of debt financing that agrees to comply with all applicable condi- (b) CONSENT OF CONGRESS.—In order to in- relates to the qualifying surface transpor- tions of the original Federal program. crease public investment, attract needed pri- tation project. (d) LACK OF OBLIGATION TO REPAY FEDERAL vate investment, and promote an intermodal (3) NO OBLIGATION OF UNITED STATES.— FUNDS.—A State or local government shall transportation network, Congress grants (A) IN GENERAL.—The establishment under have no obligation to repay to any agency of consent to States to enter into interstate this section of an infrastructure bank does the Federal Government any Federal funds compacts to— not constitute a commitment, guarantee, or received by the State or local government in (1) promote the continuity, quality, and obligation on the part of the United States connection with a transportation infrastruc- safety of the Interstate System (as defined in to any third party with respect to any secu- ture asset that is privatized under this sec- section 101 of title 23, United States Code); rity or debt financing instrument issued by tion. (2) develop programs to promote and fund the bank. No third party shall have any right (e) USE OF PROCEEDS.— surface transportation safety initiatives and against the United States for payment solely (1) IN GENERAL.—Subject to paragraph (2), a establish surface transportation safety by reason of the establishment. State or local government may use proceeds standards for the participating States; (B) STATEMENT ON INSTRUMENT.—Any secu- from the privatization of a transportation (3) conduct long-term planning for surface rity or debt financing instrument issued by infrastructure asset to the extent permitted transportation infrastructure in the partici- an infrastructure bank shall expressly state under applicable conditions of the original pating States; that the security or instrument does not Federal program. (4) develop design and construction stand- constitute a commitment, guarantee, or ob- (2) RECOVERY OF CERTAIN COSTS.—Notwith- ards for infrastructure described in para- ligation of the United States. standing any other provision of law, the graph (3) to be used by the participating SEC. ll8. FEDERAL-AID FACILITY PRIVATIZA- State or local government shall be permitted States; and TION. to recover from the privatization of a trans- (5) establish surface transportation infra- (a) DEFINITIONS.—In this section, the fol- portation infrastructure asset— structure banks to promote regional or other lowing definitions apply: (A) the capital investment in the transpor- multistate investment in infrastructure de- (1) EXECUTIVE AGENCY.—The term ‘‘Execu- tation infrastructure asset made by the scribed in paragraph (3). tive agency’’ has the meaning provided in State or local government; (c) FINANCING.—An interstate compact es- section 105 of title 5, United States Code. (B) an amount equal to the unreimbursed tablished by participating States under sub- (2) PRIVATIZATION.—The term ‘‘privatiza- operating expenses in the transportation in- section (b) to carry out a surface transpor- tion’’ means the disposition or transfer of a frastructure asset paid by the State or local tation project may provide that, in order to transportation infrastructure asset, whether government; and carry out the compact, the participating by sale, lease, or similar arrangement, from (C) a reasonable rate of return on the in- States may— a State or local government to a private vestment made under subparagraph (A) and (1) accept contributions from a unit of party. expenses paid under subparagraph (B). State or local government or a person; (3) STATE OR LOCAL GOVERNMENT.—The SEC. ll9. ESTABLISHMENT OF FUTURE INVEST- (2) use any Federal or State funds made term ‘‘State or local government’’ means the MENT ACCOUNT. available for that type of surface transpor- government of— Section 9503 of the Internal Revenue Code tation project; (A) any State; of 1986 (relating to Highway Trust Fund), as (3) on such terms and conditions as the (B) the District of Columbia; amended by this Act, is amended by adding participating States consider advisable— (C) any commonwealth, territory, or pos- at the end the following: (A) borrow money on a short-term basis session of the United States; ‘‘(f) ESTABLISHMENT OF FUTURE INVEST- and issue notes for the borrowing; and (D) any county, municipality, city, town, MENT ACCOUNT.— (B) issue bonds; and township, local public authority, school dis- ‘‘(1) CREATION OF ACCOUNT.—There is estab- (4) obtain financing by other means per- trict, special district, intrastate district, re- lished in the Highway Trust Fund a separate mitted under Federal or State law, including gional or interstate government entity, account to be known as the ‘Future Invest- surface transportation infrastructure banks council of governments, or agency or instrument Account’, consisting of such amounts under subsection (d). mentality of a local government; or as may be transferred or credited to the Fu- (d) INFRASTRUCTURE BANKS.— (E) any federally recognized Indian tribe. ture Highway Investment Sub Account and (1) IN GENERAL.—An infrastructure bank (4) TRANSPORTATION INFRASTRUCTURE the Future Transit Investment Sub Account may— ASSET.— of the Future Investment Account as pro- (A) make loans; (A) IN GENERAL.—The term ‘‘transportation vided in this subsection or section 9602(b). (B) under the joint or separate authority of infrastructure asset’’ means any surface- ‘‘(2) TRANSFERS TO FUTURE INVESTMENT AC- the participating States with respect to the transportation-related asset financed in COUNT.— infrastructure bank, issue such debt as the whole or in part by the Federal Government, ‘‘(A) IN GENERAL.—The Secretary of the infrastructure bank and the participating including a road, tunnel, bridge, or mass- Treasury shall transfer to the Future High- States determine appropriate; and transit-related or rail-related asset. way Investment Sub Account the future (C) provide other assistance to public or (B) EXCLUSION.—The term does not include highway investment portion and to the Fu- private entities constructing, or proposing to any transportation-related asset on the ture Transit Investment Sub Account the fu- construct or initiate, surface transportation Interstate System (as defined in section 101 ture transit investment portion of the projects. of title 23, United States Code). amounts appropriated to the Highway Trust (2) FORMS OF ASSISTANCE.— (b) PRIVATIZATION INITIATIVES BY STATE AND Fund under subsection (b) which are attrib- (A) IN GENERAL.—An infrastructure bank LOCAL GOVERNMENTS.—The head of each Ex- utable to taxes under sections 4041 and 4081 may make a loan or provide other assistance ecutive agency shall— imposed after September 30, ø1997¿. described in subparagraph (C) to a public or (1) assist State and local governments in ‘‘(B) FUTURE INVESTMENT PORTIONS.—For private entity in an amount equal to all or efforts to privatize the transportation infra- purposes of subparagraph (A)— part of the construction cost, capital cost, or structure assets of the State and local gov- ‘‘(i) the term ‘future highway investment initiation cost of a surface transportation ernments; and portion’ means an amount determined at the project. (2) subject to subsection (c), approve re- rate of 3.44 cents for each gallon with respect (B) SUBORDINATION OF ASSISTANCE.—The quests from State and local governments to to which tax was imposed under section 4041 amount of any loan or other assistance de- privatize transportation infrastructure as- or 4081, and scribed in subparagraph (C) that is received sets and waive or modify any condition re- ‘‘(ii) the term ‘future transit investment for a surface transportation project under lating to the original Federal program that portion’ means an amount determined at the this section may be subordinated to any funded the asset. rate of .86 cent for each gallon with respect other debt financing for the surface trans- (c) CRITERIA.—The head of an Executive to which tax was so imposed. portation project. agency shall approve a request described in ‘‘(3) EXPENDITURES FROM ACCOUNT.— (C) OTHER ASSISTANCE.—Other assistance subsection (b)(2) if— Amounts in the Future Investment Account referred to in subparagraphs (A) and (B) in- (1) the State or local government dem- shall be available, as provided by appropria- cludes any use of funds for the purpose of— onstrates that a market mechanism, legally tion Acts, in a Federal budget neutral man- (i) credit enhancement; enforceable agreement, or regulatory mecha- ner, for making expenditures after October 1, (ii) a capital reserve for bond or debt in- nism will ensure that the transportation in- 2003— strument financing; frastructure asset will continue to be used ‘‘(A) in the case of the Future Highway In- (iii) bond or debt instrument financing for the general objectives of the original vestment Sub Account, in accordance with issuance costs; Federal program that funded the asset elections made under section ll3(a) of the (iv) bond or debt issuance financing insur- (which shall not be considered to include Surface Transportation and Transit Em- ance; every condition required for the recipient of powerment Act, and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00152 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1109 ‘‘(B) in the case of the Future Transit In- SA 2408. Mr. FITZGERALD (for him- ‘‘(A) IN GENERAL.—In the case of any tax- vestment Sub Account, in accordance with self and Mr. DURBIN) submitted an able year beginning after 2005, each dollar elections made under section ll4(a) of the amendment intended to be proposed to amount referred to in paragraph (1) shall be Surface Transportation and Transit Em- amendment SA 2285 proposed by Mr. increased by an amount equal to— powerment Act.’’. ‘‘(i) such dollar amount, multiplied by NHOFE SEC. ll10. EFFECTIVE DATE CONTINGENT UPON I to the bill S. 1072, to authorize ‘‘(ii) the cost-of-living adjustment deter- CERTIFICATION OF DEFICIT NEU- funds for Federal-aid highways, high- mined under section (1)(f)(3) for the calendar TRALITY. way safety programs, and transit pro- year in which the taxable year begins, by (a) PURPOSE.—The purpose of this section grams, and for other purposes; which substituting ‘2004’ for ‘1992’. is to ensure that— was ordered to lie on the table; as fol- ‘‘(B) ROUNDING.—If any amount as adjusted (1) this Act will become effective only if lows: under subparagraph (A) is not a multiple of the Director of the Office of Management $100, such amount shall be rounded to the On page 738, strike lines 5 through 12 and and Budget (referred to in this section as the next lowest multiple of $50.’’. ‘‘Director’’) certifies that this Act is deficit insert the following: (b) EXPANSION OF DEFINITION OF AUTO- neutral; motor vehicles that became effective by De- MOBILE.— (2) discretionary spending limits are re- cember 31, 2002. (1) INCREASE IN WEIGHT.—Section duced to capture the savings realized in de- ‘‘(ii) For each of fiscal years 2004 through 4064(b)(1)(A)(ii) (defining automobile) is volving transportation functions to the 2009, the Secretary shall, after making amended by striking ‘‘6,000 pounds’’ and in- State level pursuant to this Act; and grants under clause (i) of this subparagraph, serting ‘‘12,000 pounds’’. (3) the tax reduction made by this Act is make a one-time grant to each State that ei- (2) INCLUSION OF CERTAIN VEHICLES.—Sub- not scored under pay-as-you-go and does not ther enacts for the first time after December paragraph (B) of section 4064(b)(1) is amended inadvertently trigger a sequestration. 31, 2002, and has in effect (b) EFFECTIVE DATE CONTINGENCY.—Not- to read as follows: ‘‘(B) INCLUSION OF CERTAIN VEHICLES.—The withstanding any other provision of this Act, SA 2409. Mrs. BOXER (for herself, Mr. this Act shall take effect only if— term ‘automobile’ includes any sport utility DODD, and Mrs. FEINSTEIN) submitted (1) the Director submits the report as re- vehicle. For purposes of the preceding sen- quired in subsection (c); and an amendment intended to be proposed tence, the term ‘sport utility vehicle’ does (2) the report contains a certification by to amendment SA 2285 proposed by Mr. not include— the Director that, based on the required esti- INHOFE to the bill S. 1072, to authorize ‘‘(i) a vehicle which does not have a pri- mates, the reduction in discretionary out- funds for Federal-aid highways, high- mary load carrying device or container at- lays resulting from the reduction in contract way safety programs, and transit pro- tached or which is an incomplete truck (as authority is at least as great as the reduc- grams, and for other purposes; which defined in 40 C.F.R. 86.1803–01), ‘‘(ii) a vehicle which has a seating capacity tion in revenues for each fiscal year through was ordered to lie on the table; as fol- fiscal year 2009. of more than 12 persons, (c) OMB ESTIMATES AND REPORT.— lows: ‘‘(iii) a vehicle which has a seating capac- (1) REQUIREMENTS.—Not later than 5 cal- Beginning on page 267, line 2, strike all ity of more than 9 persons behind the driv- endar days after the date of notification by through page 268, line 6. er’s seat, or the Secretary of any election described in ‘‘(iv) a vehicle which is equipped with a section ll3(b), the Director shall— SA 2410. Mr. DURBIN submitted an cargo area of at least 6 feet in interior length (A) estimate the net change in revenues re- amendment intended to be proposed by which is an open area or is designed for use sulting from this Act for each fiscal year him to the bill S. 1072, to authorize as an open area but is enclosed by a cap and through fiscal year 2009; funds for Federal-aid highways, high- is not readily accessible directly from the (B) estimate the net change in discre- way safety programs, and transit pro- passenger compartment.’’. tionary outlays resulting from the reduction grams, and for other purposes; which (c) ADDITIONAL DEFINITIONS.—Section in contract authority under this Act for each 4064(b) (relating to definitions) is amended fiscal year through fiscal year 2009; was ordered to lie on the table; as fol- by adding at the end the following new para- (C) determine, based on those estimates, lows: graphs: whether the reduction in discretionary out- On page 1109, after line 22, add the fol- ‘‘(8) APPLICABLE FUEL ECONOMY STAND- lays is at least as great as the reduction in lowing: ARD.—The term ‘applicable fuel economy revenues for each fiscal year through fiscal SEC. ll. MODIFICATIONS TO GAS GUZZLERS TAX standard’ means, with respect to any model year 2009; and TO ENCOURAGE GREATER AUTO year— (D) submit to the Congress a report setting FUEL EFFICIENCY. ‘‘(A) in the case of automobiles not exceed- forth the estimates and determination. (a) INCREASE IN TAX RATE.—Subsection (a) ing 6,000 pounds in unloaded gross vehicle (2) APPLICABLE ASSUMPTIONS AND GUIDE- of section 4064 (relating to gas guzzlers tax) weight, the average fuel economy standard LINES.— is amended to read as follows: as defined in section 32902 of title 49, United (A) REVENUE ESTIMATES.—The revenue esti- ‘‘(a) IMPOSITION OF TAX.— States Code, for passenger automobiles for mates required under paragraph (1)(B) shall ‘‘(1) IN GENERAL.—There is hereby imposed such model year, and be predicated on the same economic and on the sale by the manufacturer of each ‘‘(B) in the case of automobiles exceeding technical assumptions and scorekeeping automobile a tax determined in accordance 6,000 pounds in unloaded gross vehicle guidelines that would be used for estimates with the following table: weight, such automobiles shall be considered made pursuant to section 252(d) of the Bal- If the fuel economy The tax is: to be 8,400 pounds in unloaded gross vehicle anced Budget and Emergency Deficit Control weight for the purposes of determining the Act of 1985 (2 U.S.C. 902(d)). for the model year of the model type in average fuel economy standard as defined in (B) OUTLAY ESTIMATES.—The outlay esti- such section 32902, for such model year. mates required under paragraph (1)(B) shall which the auto- ‘‘(9) MPG.—The term ‘mpg’ means miles per be determined by comparing the level of dis- mobile falls is: Less than 5 mpg below the applica- gallon.’’. cretionary outlays resulting from this Act ble fuel economy standard ...... $0 (d) EFFECTIVE DATE.—The amendments with the corresponding level of discretionary At least 5 but less than 6 mpg below made by this section shall apply to sales outlays projected in the baseline under sec- such standard ...... 1,000 after October 31, 2005. tion 257 of the Balanced Budget and Emer- At least 6 but less than 7 mpg below gency Deficit Control Act of 1985 (2 U.S.C. SEC. ll. HIGHLY FUEL-EFFICIENT AUTOMOBILE such standard ...... 1,500 907). CREDIT. At least 7 but less than 8 mpg below (d) CONFORMING ADJUSTMENT TO DISCRE- (a) IN GENERAL.—Subpart C of part IV of such standard ...... 2,000 TIONARY SPENDING LIMITS.—Upon compliance subchapter A of chapter 1 of the Internal with the requirements specified in sub- At least 8 but less than 9 mpg below Revenue Code of 1986 (relating to refundable section (b), the Director shall adjust the ad- such standard ...... 2,500 credits) is amended by redesignating section justed discretionary spending limits for each At least 9 but less than 10 mpg 36 as section 37 and by inserting after section fiscal year through fiscal year 2009 under sec- below such standard ...... 3,100 35 the following new section: tion 601(a)(2) of the Congressional Budget At least 10 but less than 11 mpg below such standard ...... 3,800 ‘‘SEC. 36. HIGHLY FUEL-EFFICIENT AUTOMOBILE Act of 1974 (2 U.S.C. 665(a)(2)) by the esti- CREDIT. mated reductions in discretionary outlays At least 11 but less than 12 mpg under subsection (a)(2). below such standard ...... 4,600 ‘‘(a) ALLOWANCE OF CREDIT.—There shall be (e) PAYGO INTERACTION.—Upon compliance At least 12 but less than 13 mpg allowed as a credit against the tax imposed with the requirements specified in sub- below such standard ...... 5,500 by this subtitle for the taxable year an section (b), no changes in revenues estimated At least 13 but less than 14 mpg amount equal to the new highly fuel-effi- to result from the enactment of this Act below such standard ...... 6,500 cient automobile credit determined under shall be counted for the purposes of section At least 14 mpg below such stand- subsection (b). 252(d) of the Balanced Budget and Emergency ard ...... 7,700. ‘‘(b) NEW HIGHLY FUEL-EFFICIENT AUTO- Deficit Control Act of 1985 (2 U.S.C. 902(d)). ‘‘(2) INFLATION ADJUSTMENT.— MOBILE CREDIT.—For purposes of subsection

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00153 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1110 CONGRESSIONAL RECORD — SENATE February 11, 2004 (a), the new highly fuel-efficient automobile ‘‘(ii) a vehicle which has a seating capacity Treasury, in coordination with the Secretary credit with respect to any new automobile of more than 12 persons, of Transportation and the Administrator of placed in service by the taxpayer during the ‘‘(iii) a vehicle which has a seating capac- the Environmental Protection Agency, shall taxable year is determined in accordance ity of more than 9 persons behind the driv- prescribe such regulations as necessary to with the following tables: er’s seat, or determine whether an automobile meets the If the fuel economy The credit is: ‘‘(iv) a vehicle which is equipped with a requirements to be eligible for a credit under for the model year cargo area of at least 6 feet in interior length this section.’’. of the model type in which does not extend beyond the frame of (b) CONFORMING AMENDMENTS.— which the pas- the vehicle and which is an open area or is (1) Section 1016(a) is amended by striking senger automobile designed for use as an open area but is en- ‘‘and’’ at the end of paragraph (27), by strik- falls is: closed by a cap and is not readily accessible ing the period at the end of paragraph (28) Less than 5 mpg above the applica- directly from the passenger compartment. and inserting ‘‘, and’’, and by adding at the ble fuel economy standard ...... $0 ‘‘(e) OTHER DEFINITIONS.—Except as pro- end the following new paragraph: At least 5 but less than 6 mpg above vided in subsection (d), for purposes of this ‘‘(29) to the extent provided in section such standard ...... 200 section, any term used in this section and 36(f)(1).’’. At least 6 but less than 7 mpg above also in section 4064 shall have the meaning (2) Section 6501(m) is amended by inserting such standard ...... 250 given such term by section 4064. ‘‘36(f)(6),’’ after ‘‘30(d)(4),’’. At least 7 but less than 8 mpg above ‘‘(f) SPECIAL RULES.—For purposes of this (3) Paragraph (2) of section 1324(b) of title such standard ...... 300 section— 31, United States Code, is amended by insert- At least 8 but less than 9 mpg above ‘‘(1) REDUCTION IN BASIS.—For purposes of ing before the period ‘‘, or from section 36 of this subtitle, the basis of any property for such standard ...... 350 such Code’’. which a credit is allowable under subsection At least 9 but less than 10 mpg (4) The table of sections for subpart C of (a) shall be reduced by the amount of such above such standard ...... 500 part IV of chapter 1 is amended by striking credit so allowed. At least 10 but less than 11 mpg the last item and inserting the following new ‘‘(2) NO DOUBLE BENEFIT.—The amount of above such standard ...... 1,000 items: At least 11 but less than 12 mpg any deduction or other credit allowable above such standard ...... 1,500 under this chapter with respect to an auto- ‘‘Sec. 36. Highly fuel-efficient automobile At least 12 but less than 13 mpg mobile described under subsection (b), shall credit. above such standard ...... 2,000 be reduced by the amount of credit allowed ‘‘Sec. 37. Overpayments of tax.’’. At least 13 but less than 14 mpg under subsection (a) for such automobile for (c) EFFECTIVE DATE.—The amendments above such standard ...... 2,500 the taxable year. made by this section shall apply to property At least 14 mpg above such stand- ‘‘(3) PROPERTY USED BY TAX-EXEMPT ENTI- placed in service after October 31, 2005, in ard ...... 3,000. TIES.—In the case of a credit amount which taxable years ending after such date. If the fuel economy The credit is: is allowable with respect to an automobile for the model year which is acquired by an entity exempt from SA 2411. Mr. McCAIN submitted an of the model type in tax under this chapter, the person which amendment intended to be proposed to which the non-pas- sells or leases such automobile to the entity amendment SA 2285 proposed by Mr. senger automobile shall be treated as the taxpayer with respect falls is: to the automobile for purposes of this sec- INHOFE to the bill S. 1072, to authorize Less than 5 mpg above the application and the credit shall be allowed to such funds for Federal-aid highways, high- ble fuel economy standard ...... $0 person, but only if the person clearly dis- way safety programs, and transit pro- At least 5 but less than 6 mpg above closes to the entity at the time of any sale grams, and for other purposes; which such standard ...... 200 or lease the specific amount of any credit was ordered to lie on the table; as fol- At least 6 but less than 7 mpg above otherwise allowable to the entity under this lows: such standard ...... 250 section. In section 139 of title 23, United States At least 7 but less than 8 mpg above ‘‘(4) RECAPTURE.—The Secretary shall, by Code, as added by section 1201 of the amend- such standard ...... 300 regulations, provide for recapturing the ben- ment— At least 8 but less than 9 mpg above efit of any credit allowable under subsection (1) strike ‘‘SET-ASIDE.—’’ in subsection such standard ...... 350 (a) with respect to any property which ceases At least 9 but less than 10 mpg (b)(2) and insert ‘‘FUNDING.—’’; to be property eligible for such credit (in- above such standard ...... 500 (2) strike ‘‘of the amounts made available’’ At least 10 but less than 11 mpg cluding recapture in the case of a lease pe- in subsection (b)(2) and insert ‘‘the amounts above such standard ...... 1,000 riod of less than the economic life of an made available’’; At least 11 but less than 12 mpg automobile). (3) strike ‘‘$439,000,000’’ in subsection (b)(2); above such standard ...... 1,500 ‘‘(5) PROPERTY USED OUTSIDE UNITED (4) strike ‘‘allocated’’ in subsection At least 12 but less than 13 mpg STATES, ETC., NOT QUALIFIED.—No credit shall (c)(1)(A) and insert ‘‘apportioned’’; above such standard ...... 2,000 be allowed under subsection (a) with respect (5) strike ‘‘subsection (d),’’ in subsection At least 13 but less than 14 mpg to any property referred to in section 50(b) or (c)(1)(B) and insert ‘‘subsection (e).’’; above such standard ...... 2,500 with respect to the portion of the cost of any (6) redesignate subsections (d) and (e) as At least 14 mpg above such stand- property taken into account under section subsections (e) and (f), respectively, and in- ard ...... 3,000. 179. sert the following after subsection (c): ‘‘(c) NEW AUTOMOBILE.—For purposes of ‘‘(6) ELECTION TO NOT TAKE CREDIT.—No ‘‘(d) DISTRIBUTION OF FUNDS.— this section, the term ‘new automobile’ credit shall be allowed under subsection (a) ‘‘(1) INFRASTRUCTURE PERFORMANCE AND means a passenger automobile or non-pas- for any automobile if the taxpayer elects to MAINTENANCE PROGRAM DISTRIBUTION.—Not- senger automobile— not have this section apply to such auto- withstanding section 1101(13) of the Safe, Ac- ‘‘(1) the original use of which commences mobile. countable, Flexible, and Efficient Transpor- with the taxpayer, ‘‘(7) INTERACTION WITH AIR QUALITY AND tation Equity Act of 2004, and in lieu of the ‘‘(2) which is acquired for use or lease by MOTOR VEHICLE SAFETY STANDARDS.—Unless amounts authorized by that section, there the taxpayer and not for resale, and otherwise provided in this section, an auto- are authorized to be appropriated out of the ‘‘(3) which is made by a manufacturer. mobile shall not be considered eligible for a Highway Trust Fund (other than the Mass ‘‘(d) PASSENGER AUTOMOBILE; NON-PAS- credit under this section unless such auto- Transit Account) for carrying out the infra- SENGER AUTOMOBILE.—For purposes of this mobile is in compliance with— structure performance and maintenance pro- section— ‘‘(A) the applicable provisions of the Clean gram under this section— ‘‘(1) PASSENGER AUTOMOBILE.—The term Air Act for the applicable make and model ‘‘(A) $2,000,000,000 for each of fiscal years ‘passenger automobile’ has the meaning year of the automobile (or applicable air 2004 and 2005; and given the term ‘automobile’ by section quality provisions of State law in the case of ‘‘(B) $1,750,000,000 for each of fiscal years 4064(b)(1). a State which has adopted such provision 2006, 2007, and 2008. ‘‘(2) NON-PASSENGER AUTOMOBILE.— under a waiver under section 209(b) of the ‘‘(2) EQUITY DISTRIBUTION.—On October 1 of ‘‘(A) IN GENERAL.—The term ‘non-passenger Clean Air Act), and each fiscal year, the Secretary shall reserve automobile’ means any automobile (as de- ‘‘(B) the motor vehicle safety provisions of a sufficient amount of the funding available fined in section 4064(b)(1)(A)), but only if sections 30101 through 30169 of title 49, to carry out this section to provide a final such automobile is described in subpara- United States Code. equity adjustment, after making the appor- graph (B). ‘‘(g) REGULATIONS.— tionment under section 105 of this title, for ‘‘(B) NON-PASSENGER AUTOMOBILES DE- ‘‘(1) IN GENERAL.—Except as provided in each State to increase the percentage return SCRIBED.—An automobile is described in this paragraph (2), the Secretary shall promul- of all highway apportionments, as compared subparagraph if such automobile is— gate such regulations as necessary to carry to the tax payments attributable to the ‘‘(i) a vehicle which does not have a pri- out the provisions of this section. States paid into the Highway Trust Fund mary load carrying device or container at- ‘‘(2) COORDINATION IN PRESCRIPTION OF CER- (other than the Mass Transit Account), to— tached, TAIN REGULATIONS.—The Secretary of the ‘‘(A) for fiscal year 2005, 91 percent;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00154 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1111 ‘‘(B) for fiscal year 2006, 92 percent; SA 2413. Mr. INHOFE submitted an cal years 2004 through 2009, the Secretary ‘‘(C) for fiscal year 2007, 93 percent; amendment intended to be proposed to shall make funds available to the Internal ‘‘(D) for fiscal year 2008, 94 percent; and amendment SA 2285 proposed by Mr. Revenue Service to complete, operate, and ‘‘(E) for fiscal year 2009, 95 percent. maintain the excise summary terminal ac- ‘‘(3) REMAINDER DISTRIBUTION.—On October INHOFE to the bill S. 1072, to authorize tivity reporting system in accordance with 1 of each fiscal year, the Secretary shall ap- funds for Federal-aid highways, high- this subsection.’’. portion the funds available for allocation way safety programs, and transit pro- (c) REGISTRATION SYSTEM AND ELECTRONIC under this section among the several States, grams, and for other purposes; which DATABASE.—Section 143 of title 23, United after the application of paragraph (1), ac- was ordered to lie on the table; as fol- States Code, is amended by adding at the end cording to the ratio that— lows: the following: ‘‘(1) the percentage of tax payments attrib- ‘‘(d) PIPELINE, VESSEL, AND BARGE REG- utable to highway users in each State paid On page 115, between lines 9 and 10, insert ISTRATION SYSTEM.— into the Highway Trust Fund (other than the the following: ‘‘(1) IN GENERAL.—Not later than 90 days Mass Transit Account), bears to SEC. 13ll. HIGHWAY USE TAX EVASION after the date of enactment of the Safe, Ac- ‘‘(2) 100 percent of tax payments attrib- PROJECTS. countable, Flexible, and Efficient Transpor- utable to highway users in all States paid (a) PROJECTS.—Section 143(b) of title 23, tation Equity Act of 2004, the Secretary shall into the Highway Trust Fund (other than the United States Code, is amended— enter into a memorandum of understanding Mass Transit Account).’’; and (1) in paragraph (2), by inserting before the with the Commissioner of the Internal Rev- (7) strike subsection (e), as redesignated, period at the end the following: ‘‘, except enue Service for the purposes of the develop- and insert the following: that, for each of fiscal years 2004 through ment, operation, and maintenance of a reg- ‘‘(e) REDISTRIBUTION OF ALLOCATED FUNDS 2009, $2,000,000 shall be available only to istration system for pipelines, vessels, and AND OBLIGATION AUTHORITY.—On the date carry out intergovernmental enforcement ef- barges, and operators of the pipelines, ves- that is 180 days after the date of apportion- forts, including research and training’’; sels, and barges, that make bulk transfers of ment, or as soon thereafter as practicable, (2) in paragraph (3), by inserting before the taxable fuel. for each fiscal year, the Secretary shall— period at the end the following: ‘‘, except as ‘‘(2) ELEMENTS OF MEMORANDUM OF UNDER- otherwise provided in this section’’; STANDING.—The memorandum of under- ‘‘(1) withdraw— (3) in paragraph (4)— standing shall provide that— ‘‘(A) any funds allocated to a State under (A) in subparagraph (F), by striking ‘‘and’’ ‘‘(A) the Internal Revenue Service shall de- this section that remain unobligated; and at the end; ‘‘(B) an equal amount of obligation author- velop, operate, and maintain the registration (B) in subparagraph (G), by striking the pe- system through contracts; ity provided for the use of the funds in ac- riod at the end and inserting a semicolon; ‘‘(B) the Commissioner of the Internal Rev- cordance with section 1101(a)(13) of the Safe, and enue Service shall submit to the Secretary, Accountable, Flexible, and Efficient Trans- (C) by adding at the end the following: and the Secretary shall approve, a budget portation Equity Act of 2003; and ‘‘(2) reallocate the funds and redistribute ‘‘(H) to support efforts between States and and project plan for development, operation, the obligation authority to those States Indian tribes to address issues relating to and maintenance of the registration system; that— State motor fuel taxes; and ‘‘(C) the registration system shall be under ‘‘(A) have fully obligated all amounts allo- ‘‘(I) to analyze and implement programs to the control of the Internal Revenue Service; cated under this section for the fiscal year; reduce tax evasion associated with foreign and and imported fuel.’’; and ‘‘(D) the registration system shall be made ‘‘(B) demonstrate that the State is able to (4) by adding at the end the following: available for use by appropriate State and obligate additional amounts for projects eli- ‘‘(9) REPORTS.— Federal revenue, tax, and law enforcement gible under this section before the end of the ‘‘(A) IN GENERAL.—The Commissioner of authorities, subject to section 6103 of the In- fiscal year. the Internal Revenue Service and partici- ternal Revenue Code of 1986. ‘‘(f) APPLICATION WITH SECTION 105.— pating States shall submit to the Secretary ‘‘(3) FUNDING.—Of the amounts made avail- Nothwithstanding section 105(a)(2)(H) of this annual reports that describe the projects, ex- able to carry out this section for each of fis- title, section 105(a) shall not apply to funds aminations, and criminal investigations cal years 2004 through 2009, the Secretary apportioned under this section.’’. funded by and carried out under this section. shall make funds available to the Internal (e) FUNDING CAP FROM HIGHWAY TRUST ‘‘(B) YIELD.—The reports shall specify the Revenue Service to complete, operate, and FUND.—Prior to making any apportionments annual yield estimated for each project fund- maintain in accordance with this subsection or allocations under Chapter 1 of USC 23 for ed under this section.’’. the registration system described in para- fiscal year 2009, the Secretary shall compare (b) EXCISE SUMMARY TERMINAL ACTIVITY graph (1). the sum of all apportionments and alloca- REPORTING SYSTEM.—Section 143(c) of title ‘‘(e) HEAVY VEHICLE USE TAX PAYMENT tions for fiscal years 2004 through 2008 plus 23, United States Code, is amended— DATABASE.— the projected apportionments and alloca- (1) in paragraph (1)— ‘‘(1) IN GENERAL.—Not later than 90 days tions for fiscal year 2009 to the funding cap (A) by striking ‘‘Not later than August 1, after the date of enactment of Safe, Account- of $255,000,000,000. If the total sum of such ap- 1998,’’ and inserting ‘‘Not later than 90 days able, Flexible, and Efficient Transportation portionments and allocations exceeds the after the date of enactment of the Safe, Ac- Equity Act of 2004, the Secretary shall enter funding cap of $255,000,000,000, the Secretary countable, Flexible, and Efficient Transpor- into a memorandum of understanding with shall proportionally reduce all apportion- tation Equity Act of 2004,’’; the Commissioner of the Internal Revenue ments and allocations for fiscal year 2009 so (B) by striking ‘‘development’’ and insert- Service for the purposes of the development, the total sum equals $255,000,000,000. ing ‘‘completion, operation,’’; operation, and maintenance of an electronic (C) by striking ‘‘an excise fuel reporting database for heavy vehicle highway use tax SA 2412. Mr. INHOFE submitted an system’’ and inserting ‘‘the excise summary payments. amendment intended to be proposed to terminal activity reporting system’’; and ‘‘(2) ELEMENTS OF MEMORANDUM OF UNDER- amendment SA 2285 proposed by Mr. (D) by striking ‘‘(in this subsection re- STANDING.—The memorandum of under- INHOFE to the bill S. 1072, to authorize ferred to as the ‘system’)’’; standing shall provide that— funds for Federal-aid highways, high- (2) in paragraph (2)— ‘‘(A) the Internal Revenue Service shall de- (A) by striking ‘‘the system’’ each place it velop, operate, and maintain the electronic way safety programs, and transit pro- appears and inserting ‘‘the excise summary database through contracts; grams, and for other purposes; which terminal activity reporting system’’; ‘‘(B) the Commissioner of the Internal Rev- was ordered to lie on the table; as fol- (B) in subparagraph (A), by striking ‘‘de- enue Service shall submit and the Secretary lows: velop’’ and inserting ‘‘complete, operate,’’; shall approve a budget and project plan for At the end of section 4522, insert the fol- (C) in subparagraph (B), by striking ‘‘and’’ establishment, operation, and maintenance lowing: at the end; of the electronic database; (b) CONFORMING AMENDMENTS.— (D) in subparagraph (C), by striking the pe- ‘‘(C) the electronic database shall be under (1) IN GENERAL.—Section 3 of the Dingell- riod at the end and inserting ‘‘; and’’; and the control of the Internal Revenue Service; Johnson Sport Fish Restoration Act (16 (E) by adding at the end the following: and U.S.C. 777b) is amended— ‘‘(D) the Commissioner of the Internal Rev- ‘‘(D) the electronic database shall be made (A) by striking ‘‘Sport Fish Restoration enue Service shall submit to the Secretary, available for use by appropriate State and Account’’ and inserting ‘‘Sport Fish Restora- and the Secretary shall approve, a budget Federal revenue, tax, and law enforcement tion Trust Fund’’; and and project plan for the completion, oper- authorities, subject to section 6103 of the In- (B) by striking ‘‘that Account’’ and insert- ation, and maintenance of the excise sum- ternal Revenue Code of 1986. ing ‘‘that Trust Fund, except as provided in mary terminal activity reporting system.’’; ‘‘(3) FUNDING.—Of the amounts made avail- section 9504(c) of the Internal Revenue Code and able to carry out this section for each of fis- of 1986’’. (3) by striking paragraph (3) and inserting cal years 2004 through 2009, the Secretary (2) EFFECTIVE DATE.—The amendments the following: shall make funds available to the Internal made by paragraph (1) take effect on October ‘‘(3) FUNDING.—Of the amounts made avail- Revenue Service to establish, operate, and 1, 2004. able to carry out this section for each of fis- maintain in accordance with this subsection

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00155 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1112 CONGRESSIONAL RECORD — SENATE February 11, 2004 the electronic database described in para- section shall be derived from pro-rata reduc- operated solely on ultra-low sulfur diesel graph (1). tion of grant amounts that otherwise would fuel. ‘‘(f) REPORTS.—Not later than March 30 and be awarded pursuant to other subsections of SEC. 1912. PROGRAM FOR REPLACEMENT OF September 30 of each year, the Internal Rev- this section. CERTAIN SCHOOL BUSES WITH enue Service shall submit to the Secretary ‘‘(2) CRITERIA.—To qualify for a grant CLEAN SCHOOL BUSES. reports on the status of the Internal Revenue under this subsection, a State— (a) ESTABLISHMENT.—The Administrator, Service projects funded under this section ‘‘(A) shall meet the requirements of sub- in consultation with the Secretary and other relating to— section (a)(2) of this section; and appropriate Federal departments and agen- ‘‘(1) the excise summary terminal activity ‘‘(B) shall— cies, shall establish a program for awarding reporting system under subsection (c); ‘‘(i) meet 3 of the 6 criteria for qualifying grants on a competitive basis to eligible en- ‘‘(2) the pipeline, vessel, and barge reg- for grants under this section (as this section tities for the replacement of existing school istration system under subsection (d); and was in effect for fiscal year 2003 funding); or buses manufactured before model year 1991 ‘‘(3) the heavy vehicle use tax electronic ‘‘(ii) for the most recent year for which with alternative fuel school buses and ultra- database under subsection (e).’’. data is available, have a seat belt utilization low sulfur diesel fuel school buses. (b) REQUIREMENTS.— (d) ALLOCATIONS.—Of the amounts made rate that is either higher than the national (1) IN GENERAL.—Not later than 90 days available under section 104(a)(1) of title 23, average for that year or higher than the uti- after the date of enactment of this Act, the United States Code, there shall made avail- lization rate in that State in the second Administrator shall establish and publish in able for highway use tax evasion projects the most recent year for which data is available. the Federal Register grant requirements on following amounts: ‘‘(3) USES OF FUNDS.—Grants under this (1) For each of fiscal years 2004 through subsection may be used for— eligibility for assistance, and on implemen- 2009, $4,500,000 shall be allocated to the ‘‘(A) any activity that was an eligible use tation of the program established under sub- States. of grants under this section for fiscal year section (a), including instructions for the (2) For fiscal year 2004, $20,050,000 shall be 2003; submission of grant applications and certifi- allocated to the Internal Revenue Service, of ‘‘(B) any activity otherwise eligible under cation requirements to ensure compliance which $10,500,000 shall be used for the excise this section, other than activities that are with this subtitle. PPLICATION DEADLINES.—The require- summary terminal activity reporting sys- made eligible only for those States that (2) A tem. meet the criteria set forth in subparagraph ments established under paragraph (1) shall (3) For each of fiscal years 2005 and 2006, (b)(2)(A) of this section; and require submission of grant applications not $48,000,000 shall be allocated to the Internal ‘‘(C) any other activity undertaken by the later than— Revenue Service, of which $4,500,000 shall be State for the purpose of increasing seat belt (A) in the case of the first year of program used for the excise summary terminal activ- utilization unless disapproved by the Sec- implementation, the date that is 180 days ity reporting system. retary on the basis that it bears no relation after the publication of the requirements in (4) For fiscal year 2007, $38,000,000 shall be to that objective.’’. the Federal Register; and allocated to the Internal Revenue Service, of (B) in the case of each subsequent year, which $4,500,000 shall be used for the excise SA 2416. Mr. BAYH (for himself, Mr. June 1 of the year. (c) ELIGIBLE RECIPIENTS.—A grant shall be summary terminal activity reporting sys- LUGAR, and Mrs. CLINTON) submitted an tem. awarded under this section only— amendment intended to be proposed to (1) to 1 or more local or State govern- (5) For each of fiscal years 2008 and 2009, amendment SA 2285 proposed by Mr. $4,500,000 shall be allocated to the Internal mental entities responsible for providing INHOFE to the bill S. 1072, to authorize school bus service to 1 or more public school Revenue Service, which shall be used for the funds for Federal-aid highways, high- excise summary terminal activity reporting systems or responsible for the purchase of system. way safety programs, and transit pro- school buses; grams, and for other purposes; which (2) to 1 or more contracting entities that SA 2414. Mr. NICKLES submitted an was ordered to lie on the table; as fol- provide school bus service to 1 or more pub- amendment intended to be proposed by lows: lic school systems, if the grant application is submitted jointly with the 1 or more school On page 393, after line 19, add the fol- him to the bill S. 1072, to authorize systems to be served by the buses, except lowing: funds for Federal-aid highways, high- that the application may provide that buses way safety programs, and transit pro- Subtitle J—Clean School Buses purchased using funds awarded shall be grams, and for other purposes; which SEC. 1911. DEFINITIONS. owned, operated, and maintained exclusively was ordered to lie on the table; as fol- In this subtitle: by the 1 or more contracting entities; or lows: (1) ADMINISTRATOR.—The term ‘‘Adminis- (3) to a nonprofit school transportation as- trator’’ means the Administrator of the En- sociation representing private contracting On page 1298, strike lines 16 through 24, and vironmental Protection Agency. insert: entities, if the association has notified and (2) ALTERNATIVE FUEL.—The term ‘‘alter- received approval from the 1 or more school PART IV—SENSE OF SENATE native fuel’’ means liquefied natural gas, systems to be served by the buses. It is the sense of the Senate that highway compressed natural gas, liquefied petroleum (d) AWARD DEADLINES.— spending should not be funded using a shift gas, hydrogen, propane, or methanol or eth- (1) IN GENERAL.—Subject to paragraph (2), in corporate estimated tax receipts. anol at no less than 85 percent by volume. the Administrator shall award a grant made (3) ALTERNATIVE FUEL SCHOOL BUS.—The to a qualified applicant for a fiscal year— SA 2415. Mr. BURNS submitted an term ‘‘alternative fuel school bus’’ means a (A) in the case of the first fiscal year of amendment intended to be proposed to school bus that meets all of the require- program implementation, not later than the amendment SA 2285 proposed by Mr. ments of this subtitle and is operated solely date that is 90 days after the application INHOFE to the bill S. 1072, to authorize on an alternative fuel. deadline established under subsection (b)(2); funds for Federal-aid highways, high- (4) EMISSIONS CONTROL RETROFIT TECH- and way safety programs, and transit pro- NOLOGY.—The term ‘‘emissions control ret- (B) in the case of each subsequent fiscal rofit technology’’ means a particulate filter grams, and for other purposes; which year, not later than August 1 of the fiscal or other emissions control equipment that is year. was ordered to lie on the table; as fol- verified or certified by the Administrator or (2) INSUFFICIENT NUMBER OF QUALIFIED lows: the California Air Resources Board as an ef- GRANT APPLICATIONS.—If the Administrator On page 737, between lines 17 and 18, insert fective emission reduction technology when does not receive a sufficient number of quali- the following new paragraph: installed on an existing school bus. fied grant applications to meet the require- (4) by inserting after subsection (e), as re- (5) IDLING.—The term ‘‘idling’’ means oper- ments of subsection (i)(1) for a fiscal year, designated, the following: ating an engine while remaining stationary the Administrator shall award a grant made ‘‘(f) MINIMUM APPORTIONMENT AND CRI- for more than approximately 15 minutes, ex- to a qualified applicant under subsection TERIA.— cept that the term does not apply to routine (i)(2) not later than September 30 of the fis- ‘‘(1) MINIMUM APPORTIONMENT.—Notwith- stoppages associated with traffic movement cal year. standing any other provision of this section, or congestion. (e) TYPES OF GRANTS.— the Secretary shall grant to any State that (6) SECRETARY.—The term ‘‘Secretary’’ (1) IN GENERAL.—A grant under this section qualifies under paragraph (2) and has not re- means the Secretary of Energy. shall be used for the replacement of school ceived, as a result of other provisions of this (7) ULTRA-LOW SULFUR DIESEL FUEL.—The buses manufactured before model year 1991 section, at least 1⁄2 of 1 percent of the total term ‘‘ultra-low sulfur diesel fuel’’ means with alternative fuel school buses and ultra- funds authorized for a fiscal year for grants diesel fuel that contains sulfur at not more low sulfur diesel fuel school buses. under this section, such additional funds as than 15 parts per million. (2) NO ECONOMIC BENEFIT.—Other than the are necessary to result in such State receiv- (8) ULTRA-LOW SULFUR DIESEL FUEL SCHOOL receipt of the grant, a recipient of a grant ing 1⁄2 of 1 percent of the total funds author- BUS.—The term ‘‘ultra-low sulfur diesel fuel under this section may not receive any eco- ized for grants under this section for that fis- school bus’’ means a school bus that meets nomic benefit in connection with the receipt cal year. Funds for grants under this sub- all of the requirements of this subtitle and is of the grant.

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(3) PRIORITY OF GRANT APPLICATIONS.—The methane hydrocarbons, oxides of nitrogen, or SEC. 1913. DIESEL RETROFIT PROGRAM. Administrator shall give priority to appli- particulate matter at a rate greater than the (a) ESTABLISHMENT.—The Administrator, cants that propose to replace school buses best performing technology of the same class in consultation with the Secretary, shall es- manufactured before model year 1977. of ultra-low sulfur diesel fuel school buses tablish a program for awarding grants on a (f) CONDITIONS OF GRANT.—A grant pro- commercially available at the time the competitive basis to entities for the installa- vided under this section shall include the fol- grant is made. tion of retrofit technologies for diesel school lowing conditions: (h) DEPLOYMENT AND DISTRIBUTION.—The buses. (1) SCHOOL BUS FLEET.—All buses acquired Administrator shall— (b) ELIGIBLE RECIPIENTS.—A grant shall be with funds provided under the grant shall be (1) seek, to the maximum extent prac- awarded under this section only— operated as part of the school bus fleet for ticable, to achieve nationwide deployment of (1) to a local or State governmental entity which the grant was made for a minimum of alternative fuel school buses and ultra-low responsible for providing school bus service 5 years. sulfur diesel fuel school buses through the to 1 or more public school systems; (2) USE OF FUNDS.—Funds provided under program under this section; and (2) to 1 or more contracting entities that the grant may only be used— (2) ensure a broad geographic distribution provide school bus service to 1 or more pub- (A) to pay the cost, except as provided in of grant awards, with a goal of no State re- lic school systems, if the grant application is paragraph (3), of new alternative fuel school ceiving more than 10 percent of the grant submitted jointly with the 1 or more school buses or ultra-low sulfur diesel fuel school funding made available under this section systems that the buses will serve, except buses, including State taxes and contract that the application may provide that buses fees associated with the acquisition of such for a fiscal year. purchased using funds awarded shall be buses; and (i) ALLOCATION OF FUNDS.— owned, operated, and maintained exclusively (B) to provide— (1) IN GENERAL.—Subject to paragraph (2), by the 1 or more contracting entities; or (i) up to 20 percent of the price of the alter- of the amount of grant funding made avail- (3) to a nonprofit school transportation as- native fuel school buses acquired, for nec- able to carry out this section for any fiscal sociation representing private contracting essary alternative fuel infrastructure if the year, the Administrator shall use— entities, if the association has notified and infrastructure will only be available to the (A) 70 percent for the acquisition of alter- received approval from the 1 or more school grant recipient; and native fuel school buses or supporting infra- systems to be served by the buses. (ii) up to 25 percent of the price of the al- structure; and ternative fuel school buses acquired, for nec- (B) 30 percent for the acquisition of ultra- (c) AWARDS.— essary alternative fuel infrastructure if the low sulfur diesel fuel school buses. (1) IN GENERAL.—The Administrator shall seek, to the maximum extent practicable, to infrastructure will be available to the grant (2) INSUFFICIENT NUMBER OF QUALIFIED recipient and to other bus fleets. GRANT APPLICATIONS.—After the first fiscal ensure a broad geographic distribution of (3) GRANT RECIPIENT FUNDS.—The grant re- year in which this program is in effect, if the grants under this section. cipient shall be required to provide at least— Administrator does not receive a sufficient (2) PREFERENCES.—In making awards of (A) in the case of a grant recipient de- number of qualified grant applications to grants under this section, the Administrator scribed in paragraph (1) or (3) of subsection meet the requirements of subparagraph (A) shall give preference to proposals that— (c), the lesser of— or (B) of paragraph (1) for a fiscal year, effec- (A) will achieve the greatest reductions in (i) an amount equal to 15 percent of the tive beginning on August 1 of the fiscal year, emissions of nonmethane hydrocarbons, ox- total cost of each bus received; or the Administrator shall make the remaining ides of nitrogen, or particulate matter per (ii) $15,000 per bus; and funds available to other qualified grant ap- proposal or per bus; or (B) in the case of a grant recipient de- plicants under this section. (B) involve the use of emissions control retrofit technology on diesel school buses scribed in subsection (c)(2), the lesser of— (j) REDUCTION OF SCHOOL BUS IDLING.—Each (i) an amount equal to 20 percent of the that operate solely on ultra-low sulfur diesel local educational agency (as defined in sec- fuel. total cost of each bus received; or tion 9101 of the Elementary and Secondary (ii) $20,000 per bus. (d) CONDITIONS OF GRANT.—A grant shall be Education Act of 1965 (20 U.S.C. 7801)) that provided under this section on the conditions (4) ULTRA-LOW SULFUR DIESEL FUEL.—In the receives Federal funds under the Elementary case of a grant recipient receiving a grant that— and Secondary Education Act of 1965 (20 (1) buses on which retrofit emissions-con- for ultra-low sulfur diesel fuel school buses, U.S.C. 6301 et seq.) is encouraged to develop the grant recipient shall be required to pro- trol technology are to be demonstrated— a policy, consistent with the health, safety, (A) will operate on ultra-low sulfur diesel vide documentation to the satisfaction of the and welfare of students and the proper oper- Administrator that diesel fuel containing fuel where such fuel is reasonably available ation and maintenance of school buses, to re- or required for sale by State or local law or sulfur at not more than 15 parts per million duce the incidence of unnecessary school bus is available for carrying out the purposes of regulation; idling at schools when picking up and un- (B) were manufactured in model year 1991 the grant, and a commitment by the appli- loading students. cant to use such fuel in carrying out the pur- or later; and poses of the grant. (k) ANNUAL REPORT.— (C) will be used for the transportation of (5) TIMING.—All alternative fuel school (1) IN GENERAL.—Not later than January 31 school children to and from school for a min- buses, ultra-low sulfur diesel fuel school of each year, the Administrator shall trans- imum of 5 years; buses, or alternative fuel infrastructure ac- mit to Congress a report evaluating imple- (2) grant funds will be used for the pur- quired under a grant awarded under this sec- mentation of the programs under this sec- chase of emission control retrofit tech- tion shall be purchased and placed in service tion and section 1913. nology, including State taxes and contract as soon as practicable. (2) COMPONENTS.—The reports shall include fees; and (g) BUSES.— a description of— (3) grant recipients will provide at least 15 (1) IN GENERAL.—Except as provided in (A) the total number of grant applications percent of the total cost of the retrofit, in- paragraph (2), funding under a grant made received; cluding the purchase of emission control ret- under this section for the acquisition of new (B) the number and types of alternative rofit technology and all necessary labor for alternative fuel school buses or ultra-low fuel school buses, ultra-low sulfur diesel fuel installation of the retrofit. sulfur diesel fuel school buses shall only be school buses, and retrofitted buses requested (e) VERIFICATION.—Not later than 90 days used to acquire school buses— in grant applications; after the date of enactment of this Act, the (A) with a gross vehicle weight of greater (C) grants awarded and the criteria used to Administrator shall publish in the Federal than 14,000 pounds; select the grant recipients; Register procedures to verify— (B) that are powered by a heavy duty en- (D) certified engine emission levels of all (1) the retrofit emissions-control tech- gine; buses purchased or retrofitted under the pro- nology to be demonstrated; (C) in the case of alternative fuel school grams under this section and section 1913; (2) that buses powered by ultra-low sulfur buses manufactured in model years 2004 (E) an evaluation of the in-use emission diesel fuel on which retrofit emissions-con- through 2006, that emit not more than 1.8 level of buses purchased or retrofitted under trol technology are to be demonstrated will grams per brake horsepower-hour of non- the programs under this section and section operate on diesel fuel containing not more methane hydrocarbons and oxides of nitro- 1913; and than 15 parts per million of sulfur; and gen and .01 grams per brake horsepower-hour (F) any other information the Adminis- (3) that grants are administered in accord- of particulate matter; and trator considers appropriate. ance with this section. (D) in the case of ultra-low sulfur diesel (l) AUTHORIZATION OF APPROPRIATIONS.— (f) AUTHORIZATION OF APPROPRIATIONS.— fuel school buses manufactured in model There are authorized to be appropriated to There are authorized to be appropriated to years 2004 through 2006, that emit not more the Administrator to carry out this section, the Administrator to carry out this section, than 2.5 grams per brake horsepower-hour of to remain available until expended— to remain available until expended— nonmethane hydrocarbons and oxides of ni- (1) $45,000,000 for fiscal year 2005; (1) $20,000,000 for fiscal year 2005; trogen and .01 grams per brake horsepower- (2) $65,000,000 for fiscal year 2006; (2) $35,000,000 for fiscal year 2006; hour of particulate matter. (3) $90,000,000 for fiscal year 2007; and (3) $45,000,000 for fiscal year 2007; and (2) LIMITATIONS.—A bus shall not be ac- (4) such sums as are necessary for each of (4) such sums as are necessary for each of quired under this section that emits non- fiscal years 2008 and 2009. fiscal years 2008 and 2009.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00157 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1114 CONGRESSIONAL RECORD — SENATE February 11, 2004 SA 2417. Mr. HARKIN submitted an amendment SA 2285 proposed by Mr. (2) EFFECTIVE DATE OF REQUIREMENTS.—Any amendment intended to be proposed to INHOFE to the bill S. 1072, to authorize requirement imposed under the final rule amendment SA 2285 proposed by Mr. funds for Federal-aid highways, high- issued under paragraph (1) shall become fully effective no later than December 31, 2008. INHOFE to the bill S. 1072, to authorize way safety programs, and transit pro- (c) AUTHORIZATION OF APPROPRIATIONS.— funds for Federal-aid highways, high- grams, and for other purposes; which There are authorized to be appropriated to way safety programs, and transit pro- was ordered to lie on the table; as fol- the Secretary of Transportation $500,000 for grams, and for other purposes; which lows: each of fiscal years 2004 and 2005 to promul- was ordered to lie on the table; as fol- On page 594, strike lines 15 through 17, and gate rules under section 30128 of title 49, lows: insert the following: United States Code. On page 730, strike line 18 and insert the ‘‘(E) reductions in local infrastructure (d) CONFORMING AMENDMENT.—The chapter following: costs achieved through compact land use de- analysis for chapter 301 is amended by inserting after the item relating to section ‘‘(4) USE OF SIMULATION TECHNOLOGY.—The velopment and positive impacts on the ca- Secretary shall use simulation studies to pacity, utilization, or longevity of other sur- 30127 the following: better understand the human factors in- face transportation assets and facilities; ‘‘30128. Vehicle accident ejection protec- volved in the research areas described in tion.’’. paragraph (1) and to find possible accident SA 2423. Mr. CARPER submitted an reducing methods where practical. amendment intended to be proposed to SA 2425. Mr. LOTT submitted an ‘‘(5) REPORTS.— amendment SA 2285 proposed by Mr. amendment intended to be proposed to On page 734, line 8, insert ‘‘, including sim- INHOFE to the bill S. 1072, to authorize amendment SA 2285 proposed by Mr. ulation studies,’’ after ‘‘activities’’. funds for Federal-aid highways, high- INHOFE to the bill S. 1072, to authorize way safety programs, and transit pro- funds for Federal-aid highways, high- SA 2418. Mr. CARPER submitted an grams, and for other purposes; which way safety programs, and transit pro- amendment intended to be proposed to was ordered to lie on the table; as fol- grams, and for other purposes; which amendment SA 2285 proposed by Mr. lows: was ordered to lie on the table; as fol- INHOFE to the bill S. 1072, to authorize Beginning on page 542, strike line 24 and lows: funds for Federal-aid highways, high- all that follows through page 543, line 6, and On page 389, between lines 15 and 16, insert way safety programs, and transit pro- insert the following: the following: grams, and for other purposes; which ‘‘(A) an identification of transportation fa- SEC. 18ll. MULTISTATE INTERNATIONAL COR- was ordered to lie on the table; as fol- cilities, including major roadways, transit, RIDOR DEVELOPMENT PROGRAM. lows: multimodal and intermodal facilities, inter- (a) ESTABLISHMENT.—The Secretary shall On page 527, line 1, strike ‘‘intercity pas- modal connectors, and other relevant facili- establish a program to develop international senger rail,’’. ties identified by the metropolitan planning trade corridors to facilitate the movement of organization, which should function as an in- freight from international ports of entry SA 2419. Mr. CARPER submitted an tegrated metropolitan transportation sys- through and to the interior of the United amendment intended to be proposed to tem, emphasizing those facilities that serve States. important national and regional transpor- amendment SA 2285 proposed by Mr. (b) ELIGIBLE RECIPIENTS.—State transportation functions; tation departments and metropolitan plan- INHOFE to the bill S. 1072, to authorize ning organizations shall be eligible to refunds for Federal-aid highways, high- SA 2424. Mr. ROCKEFELLER sub- ceive and administer funds provided under way safety programs, and transit pro- mitted an amendment intended to be the program. grams, and for other purposes; which proposed to amendment SA 2285 pro- (c) ELIGIBLE ACTIVITIES.—The Secretary was ordered to lie on the table; as fol- posed by Mr. INHOFE to the bill S. 1072, shall make allocations under this program lows: to authorize funds for Federal-aid high- for any activity eligible for funding under On page 524, line 16, insert ‘‘and intercity ways, highway safety programs, and title 23, United States Code, including rail’’ after ‘‘intercity bus’’. transit programs, and for other pur- multistate highway and multistate poses; which was ordered to lie on the multimodal planning and project construction. SA 2420. Mr. CARPER submitted an table; as follows: amendment intended to be proposed to (d) OTHER PROVISIONS REGARDING ELIGI- Strike section 4152 and insert the fol- BILITY.—All activities funded under this pro- amendment SA 2285 proposed by Mr. lowing: gram shall be consistent with the con- INHOFE to the bill S. 1072, to authorize SEC. 4152. VEHICLE CRASH EJECTION PREVEN- tinuing, cooperative, and comprehensive funds for Federal-aid highways, high- TION. planning processes required by sections 134 way safety programs, and transit pro- (a) IN GENERAL.—Subchapter II of chapter and 135 of title 23, United States Code. grams, and for other purposes; which 301 is amended by adding at the end the fol- (e) SELECTION CRITERIA.—The Secretary was ordered to lie on the table; as following: shall only select projects for corridors— lows: ‘‘§ 30128. Vehicle accident ejection protection (1) that have significant levels or increases ‘‘(a) IN GENERAL.—The Secretary shall in truck and traffic volume relating to inter- On page 522, line 21, insert ‘‘, which are co- issue a safety standard to reduce complete national freight movement; ordinated with other modes of transpor- and partial ejection from passenger motor (2) connect to at least 1 international ter- tation,’’ after ‘‘systems’’. vehicles with a gross vehicle weight rating of minus; (3) traverse at least 3 States; and Mr. CARPER submitted an up to 10,000 pounds that are involved in acci- SA 2421. dents that present a risk of occupant ejec- (4) are identified by section 115(c) of the amendment intended to be proposed to tion. The reduction in such ejections shall be Intermodal Transportation Efficiency Act of amendment SA 2285 proposed by Mr. based on the combined ejection-mitigation 1991 (Public Law 102–240; 105 Stat. 2032). INHOFE to the bill S. 1072, to authorize capabilities of safety technologies, such as (f) PROGRAM PRIORITIES.—In administering funds for Federal-aid highways, high- advanced side glazing, side curtains, and side the program, the Secretary shall— way safety programs, and transit pro- impact air bags. (1) encourage and enable States and other grams, and for other purposes; which ‘‘(b) DOOR LOCK AND RETENTION STAND- jurisdictions to work together to develop plans for multimodal and multijurisdictional was ordered to lie on the table; as fol- ARD.—The Secretary shall issue a rule to require manufacturers of new passenger motor transportation decisionmaking; and lows: vehicles distributed in commerce for sale in (2) give priority to studies that emphasize On page 590, strike line 9, and insert the the United States to make such modifica- multimodal planning, including planning for following: tions to door locks, door latches, and reten- operational improvements that increase mo- subrecipient of assistance under section 5310. tion components of doors in such vehicles as bility, freight productivity, access to marine ‘‘(D) STATEWIDE TRANSIT PROVIDER GRANT- the Secretary determines to be necessary to ports, safety, and security while enhancing EES.—A statewide transit provider that re- prevent occupant ejection in vehicle acci- the environment. ceives a grant under this section shall be dents.’’. (g) FEDERAL SHARE.—The Federal share re- subject to the terms, conditions, require- (b) RULEMAKING DEADLINES.— quired for any study carried out under this ments, and provisions of this section or sec- (1) RULEMAKING.—The Secretary of Trans- section shall be available for obligation in tion 5311, consistent with the scope and pur- portation shall issue— the same manner as if the funds were appor- pose of the grant and the location of the (A) a notice of a proposed rulemaking tioned under chapter I of title 23, United project.’’; under section 30128 of title 49, United States States Code. Code, not later than June 30, 2005; and SA 2422. Mr. CARPER submitted an (B) a final rule under that section not later SA 2426. Mr. DASCHLE submitted an amendment intended to be proposed to than June 30, 2006. amendment intended to be proposed to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00158 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1115 amendment SA 2285 proposed by Mr. INHOFE to the bill S. 1072, to authorize forcing a provision described in subsection INHOFE to the bill S. 1072, to authorize funds for Federal-aid highways, high- (b), the apportionment of the State shall be funds for Federal-aid highways, highway safety programs, and transit pro- increased by an amount equal to the amount way safety programs, and transit programs, and for other purposes; which of the reduction made during the 4-year pe- grams, and for other purposes; which was ordered to lie on the table; as fol- riod.’’. was ordered to lie on the table; as follows: lows: On page 36, strikes lines 11 through 20 and SA 2431. Mr. GRAHAM of Florida At the appropriate place, insert the fol- insert the following: submitted an amendment intended to lowing: (i) $325,000,000 for fiscal year 2004; be proposed by him to the bill S. 1072, (ii) $350,000,000 for fiscal year 2005; SEC. llll. SENIOR TRANSPORTATION DEM- to authorize funds for Federal-aid high- ONSTRATION PROJECT GRANTS. (iii) $375,000,000 for fiscal year 2006; (a) DEFINITIONS.—As used in this section, (iv) $400,000,000 for fiscal year 2007; ways, highway safety programs, and the following definitions shall apply: (v) $425,000,000 for fiscal year 2008; and transit programs, and for other pur- (1) ELIGIBLE ENTITY.—The term ‘‘eligible (vi) $425,000,000 for fiscal year 2009. poses; which was ordered to lie on the entity’’ includes— table; as follows: (A) States; SA 2428. Mr. DASCHLE submitted an (B) units of local government; amendment intended to be proposed to Beginning on page 56, strike line 16 and all (C) local transportation organizations; amendment SA 2285 proposed by Mr. that follows through page 57, line 2, and in- (D) nonprofit organizations; INHOFE to the bill S. 1072, to authorize sert the following: (E) Indian tribes; and funds for Federal-aid highways, high- ‘‘(3) MINIMUM SHARE OF TAX PAYMENTS.— (F) institutions of higher learning. way safety programs, and transit pro- ‘‘(A) IN GENERAL.—Notwithstanding sub- (2) SENIOR CITIZEN.—The term ‘‘senior cit- grams, and for other purposes; which section (d), for each fiscal year, the Sec- izen’’ means any individual who has reached retary shall allocate among the States 65 years of age. was ordered to lie on the table; as follows: amounts sufficient to ensure that no State (b) GRANTS AUTHORIZED.—The Secretary of receives a percentage of apportionments for On page 48, between lines 16 and 17, insert Transportation shall award demonstration the fiscal year for the programs specified in project grants to 10 eligible entities to estab- the following: (k) AMOUNT OF OBLIGATION LIMITATION FOR subsection (a)(2) that is less than the appli- lish mass transportation assistance pilot cable percentage under subparagraph (B) of programs to plan and provide adequate and INDIAN RESERVATION ROADS.—The amount of estimated tax payments attributable to appropriate transportation for senior citi- any obligation limitation for the Indian res- highway users in the State paid into the zens. ervation roads program shall be equal to the Highway Trust Fund (other than the Mass (c) USE OF FUNDS.—Grant funds received total amount of contract authority made under this section may be used to— available for the Indian reservation roads Transit Account) in the most recent fiscal (1) evaluate the state of transportation program for fiscal years 2004 through 2009. year for which data are available. services for senior citizens; ‘‘(B) MINIMUM PERCENTAGES.—The percent- (2) recognize barriers to mobility that sen- SA 2429. Mr. DASCHLE submitted an age referred to in subparagraph (A) shall be— ior citizens encounter in their communities; amendment intended to be proposed to ‘‘(i) for fiscal year 2004, 90.5 percent; (3) establish partnerships and promote co- amendment SA 2285 proposed by Mr. ‘‘(ii) for fiscal year 2005, 91 percent; ordination among community stakeholders, INHOFE to the bill S. 1072, to authorize ‘‘(iii) for fiscal year 2006, 92 percent; including public, not-for-profit, and for-prof- funds for Federal-aid highways, high- ‘‘(iv) for fiscal year 2007, 93 percent; it providers of transportation services for way safety programs, and transit pro- ‘‘(v) for fiscal year 2008, 94 percent; and ‘‘(vi) for fiscal year 2009, 95 percent. senior citizens; grams, and for other purposes; which (4) identify future transportation needs of ‘‘(C) ADJUSTMENT.—Funding for the pro- was ordered to lie on the table; as fol- grams under subsection (a)(2) shall be ad- senior citizens within local communities; lows: (5) establish strategies to meet the unique justed proportionately so that the total needs of healthy and frail senior citizens; On page 398 at the appropriate place insert funding proportioned complies with the obli- and the following: gation limitations under section 1102 of the (6) facilitate funding for operating ex- (H) $2,000,000 for fiscal year 2005 shall re- Safe, Accountable, Flexible, and Efficient penses under section 5310 of title 49, United main available until expended for asphalt Equity Act of 2003. States Code. and asphalt-related reclamation research at the South Dakota School of Mines. (d) APPLICATION.— SA 2432. Mr. GRAHAM of Florida (1) IN GENERAL.—Each eligible entity desir- Mr. DORGAN submitted an ing a grant under this section shall submit SA 2430. submitted an amendment intended to an application to the Secretary at such time, amendment intended to be proposed to be proposed to amendment SA 2285 pro- at such place, and containing such informa- amendment SA 2285 proposed by Mr. posed by Mr. INHOFE, to the bill S. 1072, tion as the Secretary may reasonably re- INHOFE to the bill S. 1072, to authorize to authorize funds for Federal-aid high- funds for Federal-aid highways, high- quire. ways, highway safety programs, and (2) SELECTION OF GRANTEES.— way safety programs, and transit pro- (A) IN GENERAL.—The Secretary shall es- grams, and for other purposes; which transit programs, and for other pur- tablish a committee, comprised of transpor- was ordered to lie on the table; as fol- poses; which was ordered to lie on the tation providers, transportation planners, lows: table; as follows: academicians, and consumers, who are inter- On page 147, after the item following line ested in and knowledgeable of senior trans- Beginning on page 52, strike line 1 and all 24, add the following: portation issues, to select the eligible enti- that follows through page 58, line 21, and in- ties that will receive planning and direct SEC. 1409. OPEN CONTAINER REQUIREMENTS. sert the following: Section 154 of title 23, United States Code, service transportation demonstration ‘‘(1) IN GENERAL.—Subject to subsections is amended by striking subsection (c) and in- project grants under this section. (c) and (e), for each of fiscal years 2004 serting the following: through 2009, the Secretary shall allocate (B) GEOGRAPHICAL REPRESENTATION.—Ex- ‘‘(c) TRANSFER OF FUNDS.— among the States amounts sufficient to en- cept as provided under subparagraph (C), the ‘‘(1) IN GENERAL.—The Secretary shall committee described in subparagraph (A) withhold the applicable percentage for the sure that no State receives a percentage of shall base its selection of grantees based on fiscal year of the amount required to be ap- the total apportionments for the fiscal year a fair representation of various geographical portioned for Federal-aid highways to any for the programs specified in paragraph (2) locations throughout the United States. State under each of paragraphs (1), (3), and that is less than the percentage calculated (C) PILOT PROGRAM STATES.—Not less than (4) of section 104(b), if a State has not en- under subsection (b). 1 grant shall be awarded to eligible entities acted or is not enforcing a provision de- ‘‘(2) SPECIFIC PROGRAMS.—The programs re- within each of the following States: scribed in subsection (b), as follows: ferred to in subsection (a) are— (i) Connecticut. ‘‘(A) the Interstate maintenance program ‘‘For: The applicable (ii) South Dakota. under section 119; percentage is: (iii) Alabama. Fiscal year 2008 ...... 2 percent. ‘‘(B) the national highway system program (e) AUTHORIZATION OF APPROPRIATIONS.— Fiscal year 2009 ...... 2 percent. under section 103; There are authorized to be appropriated Fiscal year 2010 ...... 2 percent. ‘‘(C) the bridge program under section 144; $10,000,000 for fiscal year 2005 to carry out Fiscal year 2011 and each subse- ‘‘(D) the surface transportation program this section, which shall remain available quent fiscal year ...... 2 percent. under section 133; until expended. ‘‘(2) RESTORATION.—If (during the 4-year ‘‘(E) the highway safety improvement pro- period beginning on the date the apportion- gram under section 148; SA 2427. Mr. DASCHLE submitted an ment for any State is reduced in accordance ‘‘(F) the congestion mitigation and air amendment intended to be proposed to with this subsection) the Secretary deter- quality improvement program under section amendment SA 2285 proposed by Mr. mines that the State has enacted and is en- 149;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00159 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1116 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(G) metropolitan planning programs ment shall be made under subsection (a)(1) to Beginning on page 63, strike line 23 and all under section 104(f) (other than planning pro- the apportionment of any State. that follows through page 64, line 2, and in- grams funded by amounts provided under the ‘‘(3) MINIMUM SHARE OF TAX PAYMENTS.— sert the following: equity bonus program under this section); Notwithstanding subsection (e), for each fis- ‘‘(2) EQUITY BONUS.—A sufficient amount of ‘‘(H) the infrastructure performance and cal year, the Secretary shall allocate among funding available to carry out this section maintenance program under section 139; the States amounts sufficient to ensure that shall be reserved to provide a final equity ad- ‘‘(I) the equity bonus program under this no State receives a percentage of apportion- justment for each State to increase the per- section; ments for the fiscal year for the programs centage return of all highway apportion- ‘‘(J) the Appalachian development highway specified in subsection (a)(2) that is less than ments and allocations, as compared to the system program under subtitle IV of title 40; 90.5 percent of the percentage share of the tax payments attributable to the State paid ‘‘(K) the recreational trails program under State of estimated tax payments attrib- into the Highway Trust Fund (other than the section 206; utable to highway users in the State paid Mass Transit Account), to— ‘‘(L) the safe routes to schools program into the Highway Trust Fund (other than the ‘‘(A) for fiscal year 2005, 91 percent; under section 150; and Mass Transit Account) in the most recent ‘‘(B) for fiscal year 2006, 92 percent; ‘‘(M) the rail-highway grade crossing pro- fiscal year for which data are available. ‘‘(C) for fiscal year 2007, 93 percent; gram under section 130. ‘‘(d) FINAL EQUITY BONUS.—A final equity ‘‘(D) for fiscal year 2008, 94 percent; and ‘‘(b) STATE PERCENTAGE.— adjustment shall be made for all States to ‘‘(E) for fiscal year 2009, 95 percent. ‘‘(1) IN GENERAL.—The percentage referred raise the percentage return of all highway to in subsection (a) for each State shall be— apportionments and allocations, as com- SA 2435. Mr. GRAHAM of Florida ‘‘(A) 95 percent of the quotient obtained by pared with the tax payments attributable to submitted an amendment intended to dividing— that State paid into the Highway Trust Fund be proposed to amendment SA 2285 pro- ‘‘(i) the estimated tax payments attrib- (other than the Mass Transit Account), to posed by Mr. INHOFE, to the bill S. 1072, utable to highway users in the State paid the following percentages: into the Highway Trust Fund (other than the to authorize funds for Federal-aid high- ‘‘(1) Fiscal year 2005, 91 percent. ways, highway safety programs, and Mass Transit Account) in the most recent ‘‘(2) Fiscal year 2006, 92 percent. fiscal year for which data are available; by transit programs, and for other pur- ‘‘(3) Fiscal year 2007, 93 percent. ‘‘(ii) the estimated tax payments attrib- ‘‘(4) Fiscal year 2008, 94 percent. poses; which was ordered to lie on the utable to highway users in all States paid ‘‘(5) Fiscal year 2009, 95 percent. table; as follows: into the Highway Trust Fund (other than the ‘‘(e) LIMITATION ON ADJUSTMENTS.— On page 57, strike line 6 and all that fol- Mass Transit Account) for the fiscal year; or ‘‘(1) IN GENERAL.—Except as provided in lows through line 23 and insert the following: ‘‘(B) for a State with a total population paragraphs (2) and (3) of subsection (c), no receive, for any of fiscal years 2004 through density of less than 20 persons per square State shall receive, for any fiscal year, addi- 2008, additional amounts under subsection mile, as reported in the decennial census tional amounts under subsection (a)(1) if— (a)(1) if— conducted by the Federal Government in ‘‘(A) the total apportionments of the State 2000, a total population of less than 1,000,000, ‘‘(A) the total apportionments of the State for the fiscal year for the programs specified for the fiscal year for the programs specified as reported in that decennial census, or a in subsection (a)(2); exceed median household income of less than in subsection (a)(2); exceed ‘‘(B) the percentage of the average, for the ‘‘(B) the percentage of the average, for the $35,000, as reported in that decennial census, period of fiscal years 1998 through 2003, of the the greater of— period of fiscal years 1998 through 2003, of the annual apportionments of the State for all annual apportionments of the State for all ‘‘(i) the percentage under paragraph (1); or programs specified in subsection (b)(2), as ‘‘(ii) the average percentage of the State’s programs specified in subsection (b)(2), as specified in paragraph (2). specified in paragraph (2). share of total apportionments for the period ‘‘(2) PERCENTAGES.—The percentages re- of fiscal years 1998 through 2003 for the pro- ‘‘(2) PERCENTAGES.—The percentages referred to in paragraph (1)(B) are— ferred to in paragraph (1)(B) are— grams specified in paragraph (2). ‘‘(A) for fiscal year 2004, 120 percent; ‘‘(2) SPECIFIC PROGRAMS.—The programs re- ‘‘(A) for fiscal year 2004, 120 percent; ‘‘(B) for fiscal year 2005, 130 percent; ‘‘(B) for fiscal year 2005, 130 percent; ferred to in paragraph (1)(B)(ii) are (as in ef- ‘‘(C) for fiscal year 2006, 134 percent; fect on the day before the date of enactment ‘‘(C) for fiscal year 2006, 134 percent; ‘‘(D) for fiscal year 2007, 137 percent; ‘‘(D) for fiscal year 2007, 137 percent; and of the Safe, Accountable, Flexible, and Effi- ‘‘(E) for fiscal year 2008, 145 percent. cient Transportation Equity Act of 2004)— ‘‘(E) for fiscal year 2008, 145 percent; and ‘‘(F) for fiscal year 2009, 250 percent. ‘‘(A) the Interstate maintenance program SA 2431. Mr. GRAHAM of Florida ‘‘(f) PROGRAMMATIC DISTRIBUTION OF under section 119; submitted an amendment intended to FUNDS.—The Secretary shall apportion the ‘‘(B) the national highway system program be proposed by him to the bill S. 1072, under section 103; amounts made available under this section ‘‘(C) the bridge program under section 144; so that the amount apportioned to each to authorize funds for Federal-aid high- ‘‘(D) the surface transportation program State under this section for each program re- ways, highway safety programs, and under section 133; ferred to in subparagraphs (A) through (G) of transit programs, and for other pur- ‘‘(E) the recreational trails program under subsection (a)(2) is equal to the amount de- poses; which was ordered to lie on the section 206; termined by multiplying the amount to be table; as follows: ‘‘(F) the high priority projects program apportioned under this section by the pro- On page 1030, after line 21, add the fol- under section 117; portion that— lowing: ‘‘(1) the amount of funds apportioned to ‘‘(G) the minimum guarantee provided SEC. 5004. INCREASE IN HIGHWAY FUELS TAX under this section; each State for each program referred to in RATE. ‘‘(H) revenue aligned budget authority subparagraphs (A) through (G) of subsection (a) IN GENERAL.—Section 4081(a)(2)(A) (re- amounts provided under section 110; (a)(2) for a fiscal year; bears to lating to rates of tax) is amended— ‘‘(I) the congestion mitigation and air ‘‘(2) the total amount of funds apportioned (1) by striking ‘‘18.3 cents’’ in clause (i) and quality improvement program under section to each State for all such programs for the inserting ‘‘23.1 cents’’, and 149; fiscal year. (2) by striking ‘‘24.3 cents’’ in clause (ii) ‘‘(J) the Appalachian development highway ‘‘(g) METRO PLANNING SET ASIDE.—Not- and inserting ‘‘30.7 cents’’. system program under subtitle IV of title 40; withstanding section 104(f), no set aside pro- (b) SECRETARIAL ADJUSTMENT.—Notwith- and vided for under that section shall apply to standing any provision of the Internal Rev- ‘‘(K) metropolitan planning programs funds allocated under this section. enue Code of 1986 to the contrary, not later under section 104(f). ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— than 30 days before the tax increase date (as ‘‘(c) SPECIAL RULES.— There are authorized to be appropriated from defined in subsection (d)(3)(F)), the Sec- ‘‘(1) MINIMUM COMBINED ALLOCATION.—For the Highway Trust Fund (other than the retary of the Treasury shall determine and each fiscal year, before making the alloca- Mass Transit Account) such sums as are nec- provide for the proper rate, exemption, and tions under subsection (a)(1), the Secretary essary to carry out this section for each of credit adjustments necessary to maintain a shall allocate among the States amounts suf- fiscal years 2004 through 2009.’’. comparable rate reduction to the rate im- ficient to ensure that no State receives a posed such date on gasoline, diesel fuel, or combined total of amounts allocated under SA 2433. Mr. GRAHAM of Florida kerosene under section 4081 of the Internal subsection (a)(1), apportionments for the pro- submitted an amendment intended to Revenue Code of 1986 for any fuel, fuel mix- grams specified in subsection (a)(2), and be proposed to amendment SA 2285 pro- ture, or fuel use with respect to which such amounts allocated under this subsection, posed by Mr. INHOFE, to the bill S. 1072, a reduction is in effect on such date. that is less than 110 percent of the average to authorize funds for Federal-aid high- (c) FLOOR STOCKS TAX.— for fiscal years 1998 through 2003 of the an- (1) IN GENERAL.—There is hereby imposed nual apportionments for the State for all ways, highway safety programs, and on highway fuel held on a tax increase date, programs specified in subsection (b)(2). transit programs, and for other pur- by any person a tax equal to— ‘‘(2) NO NEGATIVE ADJUSTMENT.—Notwith- poses; which was ordered to lie on the (A) the tax which would have been imposed standing subsection (e), no negative adjust- table; as follows: on the day before such date on such fuel had

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the amendments made by this section been ‘‘(3) INFLATION ADJUSTMENT OF HIGHWAY of such Code shall, insofar as applicable and in effect at all times before such date, re- MOTOR FUELS EXCISE TAX RATES.—In the case not inconsistent with the provisions of this duced by of any calendar year beginning after 2004, subsection, apply with respect to the floor (B) the tax imposed before such date under each of the rates of tax specified in clauses stock taxes imposed by paragraph (1) to the section 4081 of the Internal Revenue Code of (i) and (ii) of paragraph (2)(A) shall be in- same extent as if such taxes were imposed by 1986, as in effect on the day before such tax creased by an amount equal to— such section 4081. increase date. ‘‘(1) such rate of tax, multiplied by (e) EFFECTIVE DATE.—The amendments (2) LIABILITY FOR TAX AND METHOD OF PAY- ‘‘(2) the cost-of-living adjustment deter- made by this section shall take effect on MENT.— mined under section 1(f)(3) for such calendar July 1, 2004. (A) LIABILITY FOR TAX.—A person holding year, by substituting ‘calendar year 2003’ for gasoline, diesel fuel, or kerosene on a tax in- ‘calendar year 1992’ in subparagraph (B) SA 2437. Mr. GRAHAM of Florida crease date, to which the tax imposed by thereof.’’. submitted an amendment intended to paragraph (1) applies shall be liable for such (c) SECRETARIAL ADJUSTMENT.—Notwith- be proposed to amendment SA 2285 pro- tax. standing any provision of the Internal Rev- enue Code of 1986 to the contrary, not later posed by Mr. INHOFE to the bill S. 1072, (B) METHOD OF PAYMENT.—The tax imposed to authorize funds for Federal-aid high- by paragraph (1) shall be paid in such man- than 30 days before any tax increase date (as ner as the Secretary shall prescribe. defined in subsection (d)(3)(F)), the Sec- ways, highway safety programs, and (C) TIME FOR PAYMENT.—The tax imposed retary of the Treasury shall determine and transit programs, and for other pur- by paragraph (1) shall be paid on or before provide for the proper rate, exemption, and poses; which was ordered to lie on the the date which is 3 months after the tax in- credit adjustments necessary to maintain a table; as follows: comparable rate reduction to the rate im- crease date. posed such date on gasoline, diesel fuel, or On page 346, line 13, strike ‘‘and Wash- (3) DEFINITIONS.—For purposes of this sub- kerosene under section 4081 of the Internal ington’’ and insert ‘‘Washington, and any section— Revenue Code of 1986 for any fuel, fuel mix- State with a seaport affected by increased (A) HELD BY A PERSON.—Highway fuel shall ture, or fuel use with respect to which such trade volume due to the North American be considered as ‘‘held by a person’’ if title a reduction is in effect on such date. Free Trade Agreement’’. thereto has passed to such person (whether (d) FLOOR STOCKS TAX.— or not delivery to the person has been made). (1) IN GENERAL.—There is hereby imposed SA 2438. Mr. GRAHAM of Florida (B) HIGHWAY FUEL.—The term ‘‘highway on highway fuel held on a tax increase date, submitted an amendment intended to fuel’’ means gasoline, diesel fuel, and ker- by any person a tax equal to— be proposed to amendment SA 2285 pro- osene. (A) the tax which would have been imposed (C) GASOLINE.—The term ‘‘gasoline’’ has posed by Mr. INHOFE to the bill S. 1072, on the day before such date on such fuel had to authorize funds for Federal-aid high- the meaning given such term by section the amendments made by this section been 4083(a)(2) of such Code. in effect at all times before such date, re- ways, highway safety programs, and (D) DIESEL FUEL.—The term ‘‘diesel fuel’’ duced by transit programs, and for other pur- has the meaning given such term by section (B) the tax imposed before such date under poses; which was ordered to lie on the 4083(a)(3) of such Code. section 4081 of the Internal Revenue Code of table; as follows: (E) SECRETARY.—The term ‘‘Secretary’’ 1986, as in effect on the day before such tax On page 288, strike line 16 and all that fol- means the Secretary of the Treasury or the increase date. lows through page 289, line 18. Secretary’s delegate. (2) LIABILITY FOR TAX AND METHOD OF PAY- On page 293, after the matter following line (F) TAX INCREASE DATE.—The term ‘‘tax in- MENT.— 22, add the following: crease date’’ means July 1, 2004. (A) LIABILITY FOR TAX.—A person holding (d) TRAFFIC INCIDENT MANAGEMENT PRO- (4) EXCEPTION FOR EXEMPT USES.—The tax gasoline, diesel fuel, or kerosene on a tax in- GRAM.— imposed by paragraph (1) shall not apply to crease date, to which the tax imposed by (1) IN GENERAL.—Subchapter I of chapter 1 highway fuel held by any person exclusively paragraph (1) applies shall be liable for such of title 23, United States Code, as amended for any use to the extent a credit or refund tax. by this Act, is further amended by adding at of the tax imposed by section 4081 of such (B) METHOD OF PAYMENT.—The tax imposed the end the following new section: Code, as the case may be, is allowable for by paragraph (1) shall be paid in such man- such use. ner as the Secretary shall prescribe. ‘‘§ 168a. Traffic incident management pro- (5) EXCEPTION FOR FUEL HELD IN VEHICLE (C) TIME FOR PAYMENT.—The tax imposed gram TANK.—No tax shall be imposed by paragraph by paragraph (1) shall be paid on or before ‘‘(a) IN GENERAL.—The Secretary shall es- (1) on highway fuel held in the tank of a the date which is 3 months after the tax in- tablish and implement a traffic incident motor vehicle, motorboat, train, or aircraft. crease date. management program in accordance with (6) OTHER LAW APPLICABLE.—All provisions (3) DEFINITIONS.—For purposes of this sub- this section to assist States and localities of law, including penalties, applicable with section— in— respect to the taxes imposed by section 4081 (A) HELD BY A PERSON.—Highway fuel shall ‘‘(1) regional traffic incident management of such Code shall, insofar as applicable and be considered as ‘‘held by a person’’ if title program planning; and not inconsistent with the provisions of this thereto has passed to such person (whether ‘‘(2) carrying out projects to mitigate the subsection, apply with respect to the floor or not delivery to the person has been made). effects of traffic delays due to accidents, stock taxes imposed by paragraph (1) to the (B) HIGHWAY FUEL.—The term ‘‘highway breakdowns, and other non-recurring inci- same extent as if such taxes were imposed by fuel’’ means gasoline, diesel fuel, and ker- dents on highways. such section 4081. osene. ‘‘(b) USE OF FUNDS.—Funds apportioned to (d) EFFECTIVE DATE.—The amendments (C) GASOLINE.—The term ‘‘gasoline’’ has a State under this section may be used for— made by this section shall take effect on the meaning given such term by section ‘‘(1) regional collaboration and coordina- July 1, 2004. 4083(a)(2) of such Code. tion activities that lead to regional traffic (D) DIESEL FUEL.—The term ‘‘diesel fuel’’ incident management policies, programs, SA 2436. Mr. GRAHAM of Florida has the meaning given such term by section plans, procedures, and agreements; submitted an amendment intended to 4083(a)(3) of such Code. ‘‘(2) purchase or lease of telecommuni- be proposed by him to the bill S. 1072, (E) SECRETARY.—The term ‘‘Secretary’’ cations equipment for first responders as to authorize funds for Federal-aid high- means the Secretary of the Treasury or the part of the development of a regional traffic ways, highway safety programs, and Secretary’s delegate. incident management program; transit programs, and for other pur- (F) TAX INCREASE DATE.—The term ‘‘tax in- ‘‘(3) purchase or lease of equipment to sup- poses; which was ordered to lie on the crease date’’ means July 1, 2004, and January port the clearance of traffic incidents; 1 of each calendar year beginning after 2004. ‘‘(4) payments to contractors for towing table; as follows: (4) EXCEPTION FOR EXEMPT USES.—The tax and recovery services as part of a regional On page 1030, after line 21, add the fol- imposed by paragraph (1) shall not apply to traffic incident management program; lowing: highway fuel held by any person exclusively ‘‘(5) rental of vehicle storage or staging SEC. 5004. INCREASE IN HIGHWAY FUELS TAX for any use to the extent a credit or refund areas immediately adjacent to roadways as RATE. of the tax imposed by section 4081 of such part of a regional traffic incident manage- (a) IN GENERAL.—Section 4081(a)(2)(A) (re- Code, as the case may be, is allowable for ment program; lating to rates of tax) is amended— such use. ‘‘(6) traffic service patrols as part of a re- (1) by striking ‘‘18.3 cents’’ in clause (i) and (5) EXCEPTION FOR FUEL HELD IN VEHICLE gional traffic incident management program; inserting ‘‘22 cents’’, and TANK.—No tax shall be imposed by paragraph ‘‘(7) enhanced hazardous materials incident (2) by striking ‘‘24.3 cents’’ in clause (ii) (1) on highway fuel held in the tank of a response; and inserting ‘‘29.2 cents’’. motor vehicle, motorboat, train, or aircraft. ‘‘(8) traffic management systems in sup- (b) INFLATION ADJUSTMENT.—Section (6) OTHER LAW APPLICABLE.—All provisions port of traffic incident management; 4081(a) is amended by adding at the end the of law, including penalties, applicable with ‘‘(9) traffic incident management training; following new paragraph: respect to the taxes imposed by section 4081 ‘‘(10) crash investigation equipment;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00161 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1118 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(11) other activities under a regional traf- (A) in subparagraph (L), by striking ‘‘and’’ ‘‘(i) the remaining amounts made available fic incident management plan; and at the end; under section 5338(b)(4) shall be allocated for ‘‘(12) Statewide incident reporting systems (B) in subparagraph (M), by striking the capital projects for buses and bus-related as described in section 169. period at the end and inserting ‘‘; and’’; and equipment and facilities. ‘‘(c) REGIONAL TRAFFIC INCIDENT MANAGE- (C) by adding at the end the following new ‘‘(3) FIXED GUIDEWAY MODERNIZATION.—The MENT PLAN.— subparagraph: amounts made available for fixed guideway ‘‘(1) IN GENERAL.—Funds apportioned under ‘‘(N) the traffic incident management pro- modernization under section 5338(b)(2)(K) for this section may not be obligated for an ur- gram under section 168a.’’. fiscal year 2005 and each fiscal year there- banized area with a population greater than (4) OFFSET.—The amount available for the after shall be allocated in accordance with 200,000 until a regional traffic incident man- infrastructure performance and maintenance section 5337. agement plan is developed for such urbanized plan required by section 139 of title 23, ‘‘(4) PRELIMINARY ENGINEERING.—Not more area. United States Code, as added by section 1201, that 8 percent of the allocation described in ‘‘(2) PLAN DEVELOPMENT.— is hereby reduced by $3,000,000,000 in order to paragraphs (1)(A) and (2)(A) may be expended ‘‘(A) COLLABORATION.—Any urbanized area provide an offset for the costs of the traffic on preliminary engineering. described in paragraph (1) that receives funds incident management program required by ‘‘(5) FUNDING FOR FERRY BOATS.—Of the apportioned under this section shall engage section 168a of title 23, United States Code, amounts described in paragraphs (1)(A) and in regional collaboration and coordination as added by paragraph (1). (2)(A), $10,400,000 shall be available in each of activities to develop the regional traffic inci- On page 295, beginning on line 4, strike the fiscal years 2004 through 2009 for capital dent management plan required for such ‘‘section 1701(c)(1))’’ and insert ‘‘section projects in Alaska and Hawaii for new fixed area under that paragraph. 1701(d)(1))’’. guideway systems and extension projects ‘‘(B) PLAN ELEMENTS.—The regional traffic utilizing ferry boats, ferry boat terminals, or incident management plan for an urbanized SA 2439. Mr. GRAHAM of Florida approaches to ferry boat terminals. area under paragraph (1) shall include— submitted an amendment intended to ‘‘(6) BUS AND BUS FACILITY GRANTS.— ‘‘(i) a strategy, adopted by transportation, be proposed to amendment SA 2285 pro- ‘‘(A) CONSIDERATIONS.—In making grants public safety, and appropriate private sector under paragraphs (1)(C) and (2)(B), the Sec- participants, for funding, implementing, posed by Mr. INHOFE to the bill S. 1072, to authorize funds for Federal-aid high- retary shall consider the age and condition managing, operating, and evaluating the of buses, bus fleets, related equipment, and traffic incident management program initia- ways, highway safety programs, and bus-related facilities. tives and activities for the urbanized area in transit programs, and for other pur- ‘‘(B) PROJECTS NOT IN URBANIZED AREAS.— manner that ensures regional coordination poses; which was ordered to lie on the Of the amounts made available under para- of such initiatives and activities; table; as follows: graphs (1)(C) and (2)(B), not less than 5.5 per- ‘‘(ii) an estimate of the impact of the plan cent shall be available in each fiscal year for on traffic delays; and On page 460, strike lines 18 through 23. projects that are not in urbanized areas. ‘‘(iii) a description of the means by which Mr. GRAHAM of Florida ‘‘(C) INTERMODAL TERMINALS.—Of the traffic incident management information SA 2440. amounts made available under paragraphs will be shared among operators, service pro- submitted an amendment intended to (1)(C) and (2)(B), not less than $75,000,000 viders, public safety officials, and the gen- be proposed to amendment SA 2285 pro- shall be available in each fiscal year for eral public. posed by Mr. INHOFE to the bill S. 1072, intermodal terminal projects, including the ‘‘(C) AVAILABILITY OF FUNDS.—The develop- to authorize funds for Federal-aid high- intercity bus portion of such projects. ment of a regional traffic incident manage- ways, highway safety programs, and ment plan shall constitute regional collabo- ‘‘(7) BUS TRANSIT EQUITY SUBACCOUNT.— transit programs, and for other pur- ‘‘(A) ESTABLISHMENT.—There is established ration and coordination activities for purposes; which was ordered to lie on the poses of subsection (b)(1) for which funds ap- a Bus Transit Equity Subaccount within the portioned under this section may be obli- table; as follows: Mass Transit Account of the Highway Trust gated. On page 186, between lines 7 and 8, insert Fund. ‘‘(d) FUNDING.— the following: ‘‘(B) ELIGIBILITY.—Any of the 50 States ‘‘(1) IN GENERAL.—There is hereby made (c) SAVINGS PROVISION.— shall be eligible for funding under the Bus available from the Highway Trust Fund (1) NO EFFECT ON EXISTING ENVIRONMENTAL Transit Equity Subaccount if the State— (other than the Mass Transit Account) for REVIEW PROCESSES.—Nothing in this sec- ‘‘(i) is otherwise scheduled to receive under obligation without further appropriation, tion— sections 5307, 5309, 5310, and 5311, for fiscal $500,000,000 for each of fiscal years 2004 (A) affects any environmental review proc- years 2004 through 2009, an amount that is through 2009 to carry out this section. ess developed and approved under section less than 175 percent of the amount the State ‘‘(2) APPORTIONMENT AMONG STATES.— 1309 of the Transportation Equity Act for the received under sections 5307, 5309, 5310, and Funds made available under paragraph (1) 21st Century (112 Stat. 232), as in effect on 5311, for fiscal years 1998 through 2003; and shall be apportioned among the States ac- the day before the date of enactment of this ‘‘(ii) received less than 1.25 percent of the cording to the ratio by which the aggregate Act; or total amount allocated to the 50 States in population of each State, or part thereof, in (B) prevents the Secretary, with the con- fiscal year 2002 for fixed guideways mod- urbanized areas with a population greater currence of any cooperating agencies, from ernization and new starts. than 200,000 bears to the total population of developing environmental review processes ‘‘(C) ALLOCATION.—Each eligible State all States, or parts thereof, in such urban- that are consistent with the provisions of under subparagraph (B) shall be allocated ized areas. that section. from the Bus Transit Equity Subaccount, for ‘‘(3) DISTRIBUTION WITHIN STATES.—Funds (2) ELIGIBILITY FOR ASSISTANCE.—Agencies each of the fiscal years 2005 through 2009, an apportioned to a State under paragraph (2) that participated in an environmental review amount that is equal to 20 percent of the dif- shall be made available to carry out projects process under section 1309 of the Transpor- ference between the amount the State is oth- and activities under regional traffic incident tation Equity Act for the 21st Century that erwise scheduled to receive under sections managements plans in each urbanized area is continued under section 326 of title 23, 5307, 5309, 5310, and 5311, for fiscal years 2004 in the State with a population greater than United States Code, shall be eligible for as- through 2009, and the amount which is equal 200,000 according to the ratio by which the sistance under subsection (j) of the latter to 175 percent of the amount the State re- population of such urbanized area, or part section. ceived under sections 5307, 5309, 5310, and 5311 thereof, in the State bears to the total popu- for fiscal years 1998 through 2003.’’. lation of all such urbanized areas in the SA 2441. Ms. STABENOW (for herself State. and Mr. LEVIN) submitted an amend- SA 2442. Mr. SARBANES (for him- ‘‘(e) DETERMINATION OF POPULATIONS.—For ment intended to be proposed to self, Ms. MIKULSKI, and Mr. ALLEN) sub- purposes of determining populations of areas amendment SA 2285 proposed by Mr. mitted an amendment intended to be under this section, the Secretary shall use proposed by him to the bill S. 1072, to information from the most current decennial INHOFE to the bill S. 1072, to authorize census, as supplied by the Secretary of Com- funds for Federal-aid highways, high- authorize funds for Federal-aid high- merce.’’. way safety programs, and transit pro- ways, highway safety programs, and (2) CONFORMING AMENDMENT.—The analysis grams, and for other purposes; which transit programs, and for other pur- for chapter 1 of title 23, United States Code, was ordered to lie on the table; as fol- poses; which was ordered to lie on the as amended by this Act, is further amended lows: table; as follows: by inserting after the item relating to sec- On page 611, strike line 21 and all that fol- On page 1168, insert between lines 16 and 17 tion 168 the following new item: lows through page 613, line 9, and insert the the following: ‘‘168a. Traffic incident management pro- following: SEC. 5507a. FEDERAL EMPLOYEE COMMUTER gram.’’. ‘‘(B)(i) $101,800,000 of the amounts made BENEFITS. (3) EQUITY BONUS.—Section 105(a)(2) of title available under section 5338(b)(4) shall be al- (a) SHORT TITLE.—This section may be 23, United States Code, as amended by sec- located for the Bus Transit Equity Sub- cited as the ‘‘Federal Employee Commuter tion 1104 of this Act, is further amended— account, established under paragraph (7); and Benefits Act of 2004’’.

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(b) TRANSIT PASS TRANSPORTATION FRINGE tation services in a manner that does not re- adjusted as a result of the allocation of funds BENEFITS.— sult in additional gross income for Federal under this subsection. (1) IN GENERAL.—Effective as of the first income tax purposes; and ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— day of the next fiscal year beginning after ‘‘(C) coordinate with other Federal agen- There the date of the enactment of this Act, each cies to share, and otherwise avoid duplica- covered agency shall implement a program tion of, transportation services provided SA 2444. Mr. DODD (for himself and under which all qualified Federal employees under this subsection. Mr. LIEBERMAN) submitted an amend- serving in or under such agency shall be of- ‘‘(4) For purposes of any determination ment intended to be proposed by him fered transit pass transportation fringe bene- under chapter 81 of title 5, an individual to the bill S. 1072, to authorize funds fits, as described in paragraph (2). shall not be considered to be in the ‘perform- for Federal-aid highways, highway (2) BENEFITS DESCRIBED.—The benefits de- ance of duty’ by virtue of the fact that such safety programs, and transit programs, scribed in this paragraph are, as of any given individual is receiving transportation serv- date, the transit pass transportation fringe ices under this subsection. and for other purposes; which was or- benefits which, under section 2 of Executive ‘‘(5)(A) The Administrator of General Serv- dered to lie on the table; as follows: Order 13150, are then currently required to be ices, after consultation with the National At the end of section 105 of title 23, United offered by Federal agencies in the National Capital Planning Commission and other ap- States Code (as amended by section 1104), Capital Region. propriate agencies, shall prescribe any regu- add the following: (3) DEFINITIONS.—In this subsection— lations necessary to carry out this sub- ‘‘(l) SPECIAL RULES.—For each fiscal year, (A) the term ‘‘covered agency’’ means any section. before making the allocations under sub- agency, to the extent of its facilities in the ‘‘(B) Transportation services under this section (a)(1), the Secretary shall allocate National Capital Region; subsection shall be subject neither to the among the States amounts sufficient to en- (B) the term ‘‘agency’’ means any agency last sentence of subsection (d)(3) nor to any sure that no State receives a combined total (as defined by 7905(a)(2) of title 5, United regulations under the last sentence of sub- of amounts allocated under subsection (a)(1), States Code) not otherwise covered by sec- section (e)(1). apportionments for the programs specified in tion 2 of Executive Order 13150, the United ‘‘(6) In this subsection, the term ‘passenger subsection (a)(2), and amounts allocated States Postal Service, the Postal Rate Com- carrier’ means a passenger motor vehicle, under this subsection, that is less than 125 mission, and the Smithsonian Institution; aircraft, boat, ship, or other similar means percent of the average for fiscal years 1998 (C) the term ‘‘National Capital Region’’ in- of transportation that is owned or leased by through 2003 of the annual apportionments cludes the District of Columbia and every the United States Government or the gov- for the State for all programs specified in county or other geographic area covered by ernment of the District of Columbia.’’. subsection (b)(2).’’. section 2 of Executive Order 13150; (2) FUNDS FOR MAINTENANCE, REPAIR, ETC.— (D) the term ‘‘Executive Order 13150’’ refers Subsection (a) of section 1344 of title 31, SA 2445. Mr. DODD (for himself and to Executive Order 13150 (5 U.S.C. 7905 note); United States Code, is amended by adding at Mr. LIEBERMAN) submitted an amend- (E) the term ‘‘Federal agency’’ is used in the end the following: ment intended to be proposed by him the same way as under section 2 of Executive ‘‘(3) For purposes of paragraph (1), the to the bill S. 1072, to authorize funds Order 13150; and transportation of an individual between such for Federal-aid highways, highway individual’s place of employment and a mass (F) any determination as to whether or not safety programs, and transit programs, one is a ‘‘qualified Federal employee’’ shall transit facility pursuant to subsection (g) is be made applying the same criteria as would transportation for an official purpose.’’. and for other purposes; which was or- apply under section 2 of Executive Order (3) COORDINATION.—The authority to pro- dered to lie on the table; as follows: 13150. vide transportation services under section Beginning on page 61, strike line 2 and all (4) RULE OF CONSTRUCTION.—Nothing in this 1344(g) of title 31, United States Code (as that follows through the matter following subsection shall be considered to require amended by paragraph (1)) shall be in addi- line 8 on page 64, and insert the following: that a covered agency— tion to any authority otherwise available to SEC. 1201. HIGH TRAFFIC DENSITY EQUITY AD- (A) terminate any program or benefits in the agency involved. JUSTMENT PROGRAM. existence on the date of the enactment of (a) IN GENERAL.—Subchapter I of chapter 1 this Act, or postpone any plans to implement SA 2443. Mr. DODD (for himself and of title 23, United States Code, is amended by (before the effective date referred to in para- Mr. LIEBERMAN) submitted an amend- inserting after section 138 the following: graph (1)) any program or benefits permitted ment intended to be proposed to ‘‘§ 139. High traffic density equity adjustment or required under any other provision of law; amendment SA 2285 proposed by Mr. program or INHOFE to the bill S. 1072, to authorize ‘‘(a) ESTABLISHMENT OF PROGRAM.—The (B) discontinue (on or after the effective funds for Federal-aid highways, high- Secretary shall establish and implement a date referred to in paragraph (1)) any pro- high traffic density equity adjustment program or benefits referred to in subparagraph way safety programs, and transit programs, and for other purposes; which gram in accordance with this section. (A), so long as such program or benefits sat- ‘‘(b) ELIGIBLE PROJECTS.— isfy the requirements of paragraphs (1) was ordered to lie on the table; as fol- ‘‘(1) IN GENERAL.—A State may obligate through (3). lows: funds allocated to the State under this sec- (c) AUTHORITY TO USE GOVERNMENT VEHI- On page 58, strike line 17 and insert the fol- tion only for projects eligible under the CLES TO TRANSPORT FEDERAL EMPLOYEES BE- lowing: Interstate maintenance program under sec- TWEEN THEIR PLACE OF EMPLOYMENT AND ‘‘(g) HIGH POPULATION DENSITY EQUITY AD- tion 119, the National Highway System pro- MASS TRANSIT FACILITIES.— JUSTMENT.— gram under section 103, the surface transpor- (1) IN GENERAL.—Section 1344 of title 31, ‘‘(1) IN GENERAL.—In addition to other tation program under section 133, the high- United States Code, is amended— amounts received under this section and sec- way safety improvement program under sec- (A) by redesignating subsections (g) and (h) tion 1101 of the Safe, Accountable, Flexible, tion 148, the highway bridge replacement and as subsections (h) and (i), respectively; and and Efficient Transportation Equity Act of rehabilitation program under section 144, (B) by inserting after subsection (f) the fol- 2004, the Secretary shall allocate to each and the congestion mitigation and air qual- lowing: State (other than the District of Columbia) ity improvement program under section 149 ‘‘(g)(1) A passenger carrier may be used to transport an officer or employee of a Federal with a population density of greater than 250 that will— agency between the officer’s or employee’s individuals per square mile, as determined ‘‘(A) preserve, maintain, or otherwise ex- place of employment and a mass transit fa- by the 2000 decennial census, a high density tend, in a cost-effective manner, the useful cility (whether or not publicly owned) in ac- State bonus in the proportion that— life of existing highway infrastructure ele- cordance with succeeding provisions of this ‘‘(A) the average population density of the ments; or subsection. State; bears to ‘‘(B) provide operational improvements (in- ‘‘(2) Notwithstanding section 1343, a Fed- ‘‘(B) the average population density all cluding traffic management and intelligent eral agency that provides transportation such States. transportation system strategies and limited services under this subsection (including by ‘‘(2) FUNDING.— capacity enhancements) at points of recur- passenger carrier) shall absorb the costs of ‘‘(A) IN GENERAL.—There shall be made ring highway congestion. such services using any funds available to available to the Secretary to carry out this ‘‘(2) SET-ASIDE.—Notwithstanding any such agency, whether by appropriation or subsection, from amounts made available to other provision of law, of the amounts made otherwise. carry out section 139, $500,000,000 for each of available under section 1101(a)(14) of the ‘‘(3) In carrying out this subsection, a Fed- fiscal years 2004 through 2009. Safe, Accountable, Flexible, and Efficient eral agency shall— ‘‘(B) APPORTIONMENT.—Funds made avail- Transportation Equity Act of 2003, ‘‘(A) to the maximum extent practicable, able to carry out this subsection shall be ap- $439,000,000 shall be available for obligation use alternative fuel vehicles to provide portioned in accordance with section 104(b). to carry out this section without further ap- transportation services; ‘‘(3) NO EFFECT ON EQUITY BONUS.—The cal- propriation. ‘‘(B) to the extent consistent with the pur- culation and distribution of funds under ‘‘(3) HIGH TRAFFIC DENSITY EQUITY ADJUST- poses of this subsection, provide transpor- other provisions of this section shall not be MENT PROGRAM.—

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‘‘(A) IN GENERAL.—The Secretary shall al- SEC. 1203. FREIGHT TRANSPORTATION GATE- for strategic investments that need to be locate the amounts made available under WAYS; FREIGHT INTERMODAL CON- made for transportation projects of national paragraph (2) in the ratio that— NECTIONS. significance; ‘‘(i) the ratio of annual vehicle miles trav- (a) FREIGHT TRANSPORTATION GATEWAYS.— ‘‘(D) to create a gateways of national sig- eled to lane miles of each State greater than Chapter 3 of title 23, United States Code, is nificance program by restructuring the TEA– the ratio of total vehicle miles traveled to amended by adding at the end the following: 21 corridors and borders program to dis- total lane miles of all States; bears to ‘‘§ 325. Freight transportation gateways tribute funds where cohesive regional plan- ‘‘(ii) the ratio of total vehicle miles trav- ‘‘(a) IN GENERAL.— ning groups are already in place with plans eled to total lane miles of all States. ‘‘(1) ESTABLISHMENT.—The Secretary shall to address infrastructure transportation in- ‘‘(B) DETERMINATION OF ANNUAL VEHICLE establish a freight transportation gateways frastructure choke points; MILES TRAVEL.—In determining annual vehi- program to improve productivity, security, ‘‘(E) to improve productivity of freight ter- cle miles per lane mile for purposes of this and safety of freight transportation gate- minals by connecting those terminals to the paragraph, the Secretary shall use the latest ways, while mitigating congestion and com- nation’s transportation infrastructure and available annual estimates prepared by the munity impacts in the area of the gateways. dedicating resources to the efficiencies of these connectors; Secretary of Transportation. ‘‘(2) PURPOSES.—The purposes of the ‘‘(F) to enhance productivity and effi- ‘‘(c) PERIOD OF AVAILABILITY.— freight transportation gateways program ciency of the United States economy ‘‘(1) OBLIGATION WITHIN 180 DAYS.— shall be— through infrastructure improvements that ‘‘(A) IN GENERAL.—Funds allocated to a ‘‘(A) to facilitate and support multimodal facilitate just-in-time delivery and eliminate State under this section shall be obligated freight transportation initiatives at the surface transportation congestion; by the State not later than 180 days after the State and local levels in order to improve date of apportionment. ‘‘(G) to improve air quality and transpor- freight transportation gateways and miti- tation safety; and ‘‘(B) UNOBLIGATED FUNDS.—Any amounts gate the impact of congestion on the envi- ‘‘(H) to enhance freight movement secu- that remain unobligated at the end of that ronment in the area, of the gateways; rity. period shall be allocated in accordance with ‘‘(B) to provide capital funding to address ‘‘(2) DUTIES.—The Maritime Administra- subsection (d). infrastructure and freight operational needs tion shall prepare and maintain a national ‘‘(2) OBLIGATION BY END OF FISCAL YEAR.— at freight transportation gateways; maritime transportation system and shall— ‘‘(A) IN GENERAL.—All funds allocated or ‘‘(C) to encourage adoption of new financ- ‘‘(1) recognize designated State marine reallocated under this section shall remain ing strategies to leverage State, local, and transportation system coordinators to foster available for obligation until the last day of private investment in freight transportation public and private collaboration and coordi- the fiscal year for which the funds are appor- gateways; nate regional solutions to freight transpor- tioned. ‘‘(D) to facilitate access to intermodal tation and gateway issues, and require ‘‘(B) UNOBLIGATED FUNDS.—Any amounts freight transfer facilities; and States with port facilities, marine terminals, allocated that remain unobligated at the end ‘‘(E) to increase economic efficiency by fa- and viable commercial inland waterway sys- of the fiscal year shall lapse. cilitating the movement of goods. tems to ensure that the coordinators duties ‘‘(d) REDISTRIBUTION OF ALLOCATED FUNDS ‘‘(b) STATE RESPONSIBILITIES.— include the consideration of comprehensive AND OBLIGATION AUTHORITY.— ‘‘(1) PROJECT DEVELOPMENT PROCESS.— intermodal transportation needs in the plan- ‘‘(1) IN GENERAL.—On the date that is 180 Each State, in coordination with metropoli- ning process and coordinate with adjacent days after the date of allocation, or as soon tan planning organizations, shall ensure that states to ensure intermodal solutions that thereafter as practicable, for each fiscal intermodal freight transportation, trade fa- maximize water transportation options in year, the Secretary shall - cilitation, and economic development needs the movement of freight; ‘‘(A) withdraw— are adequately considered and fully inte- ‘‘(2) review and comment on each State ‘‘(i) any funds allocated to a State under grated into the project development process, marine transportation system submitted to this section that remain unobligated; and including transportation planning through the Secretary under this section; ‘‘(ii) an equal amount of obligation author- final design and construction of freight-re- ‘‘(3) compile all State plans and incor- ity provided for the use of the funds in ac- lated transportation projects. porate them into the national marine trans- cordance with section 1101(a)(14) of the Safe, ‘‘(2) FREIGHT TRANSPORTATION COORDI- portation system plan; Accountable, Flexible, and Efficient Trans- NATOR.— ‘‘(4) evaluate, every 2 years, marine transportation Equity Act of 2003; and ‘‘(A) IN GENERAL.—Each State shall des- portation system enhancements to address ‘‘(B) reallocate the funds and redistribute ignate a freight transportation coordinator freight movement congestion, security, and the obligation authority to States that— and, where appropriate, a maritime transpor- safety through the increased use of water ‘‘(i) have fully obligated all amounts allo- tation system coordinator. transportation alternatives; cated under this section for the fiscal year; ‘‘(B) DUTIES.—Each coordinator shall— ‘‘(5) prioritize short sea shipping projects and ‘‘(i) foster public and private sector col- and programs in accordance with a national (ii) demonstrate that the State is able to laboration needed to implement complex so- evaluation study and analysis of infrastruc- obligate additional amounts for projects eli- lutions to freight transportation and the fa- ture needs and forecasted increases in trade gible under this section before the end of the cilitation of transportation throughout the demand; fiscal year. maritime transportation system, including— ‘‘(6) integrate short sea shipping services ‘‘(2) EQUITY BONUS.—The calculation and ‘‘(I) coordination of metropolitan and with existing surface transportation distribution of funds under section 105 shall statewide transportation activities with projects; not be adjusted as a result of the allocation trade and economics interests; ‘‘(7) foster the utilization of container-on- of funds under this subsection. ‘‘(II) coordination with other States, agen- barge as a means of alleviating congestion in and around congested metropolitan areas; ‘‘(e) FEDERAL SHARE PAYABLE.—The Fed- cies, and organizations to find regional solu- ‘‘(8) foster brownfield development for the eral share payable for a project funded under tions to freight transportation problems; and expansion of marine transportation system this section shall be determined in accord- ‘‘(III) coordination with local officials of capacity to augment the limited amount of ance with section 120. the Department of Defense and the Depart- sustainable land available for competing (b) CONFORMING AMENDMENT.—The chapter ment of Homeland Security, and with other transportation related uses; organizations, to develop regional solutions analysis for chapter 1 of title 23, United ‘‘(9) support improvements to landside in- to military and homeland security transpor- States Code, is amended by adding after the frastructure that connects highways and tation needs; and item relating to section 138 the following: railways to the marine transportation sys- ‘‘(ii) promote programs that build profes- ‘‘139. High traffic density equity adjustment tem; program.’’. sional capacity to better plan, coordinate, ‘‘(10) promote accident prevention and pro- integrate, and understand freight transpor- tection of the environment as top marine tation needs for the State. SA 2446. Mr. STEVENS (for himself transportation system priorities; ‘‘(c) MARAD RESPONSIBILITIES.— ‘‘(11) develop methods of streamlining and Mr. INOUYE) submitted an amend- ‘‘(1) PURPOSES.—The purposes of the mari- ment intended to be proposed to project-planning processes to eliminate time transportation system enhancements delays in marine transportation system im- amendment SA 2285 proposed by Mr. implemented under this section are— provements; INHOFE to the bill S. 1072, to authorize ‘‘(A) to develop a clearly defined freight ‘‘(12) develop a coherent environmental funds for Federal-aid highways, high- program to implement a comprehensive pro- regulatory process to streamline permitting; way safety programs, and transit program of intermodal solutions to freight and grams, and for other purposes; which needs; ‘‘(13) promote the increased use of on-dock ‘‘(B) to promote efficiencies in the trans- was ordered to lie on the table; as fol- and near-dock rail usage. portation of intermodal freight by increasing ‘‘(d) INNOVATIVE FINANCE STRATEGIES.— lows: the awareness of the economic importance of ‘‘(1) IN GENERAL.—States and localities are Beginning with line 21 on page 71, strike freight; encouraged to adopt innovative financing through the matter between lines 6 and 7 on ‘‘(C) to create a national intermodal plan- strategies for freight transportation gateway page 80 and insert the following: ning and development initiative to provide improvements, including—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00164 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1121 ‘‘(A) new user fees; ‘‘(C) EXEMPTION FROM SET-ASIDE.—For any SA 2449. Mr. BURNS submitted an ‘‘(B) modifications to existing user fees, in- fiscal year, a State may obligate the funds amendment intended to be proposed to cluding trade facilitation charges; otherwise set aside by this paragraph for any amendment SA 2285 proposed by Mr. ‘‘(C) revenue options that incorporate pri- project that is eligible under paragraph (6) INHOFE to the bill S. 1072, to authorize vate sector investment; and and is located in the State on a segment of ‘‘(D) a blending of Federal-aid and innova- the National Highway System specified in funds for Federal-aid highways, high- tive finance programs. paragraph (2), if the State certifies and the way safety programs, and transit pro- ‘‘(2) TECHNICAL ASSISTANCE.—The Secretary Secretary concurs that— grams, and for other purposes; which shall provide technical assistance to States ‘‘(1) the designated National Highway Sys- was ordered to lie on the table; as fol- and localities with respect to the strategies. tem intermodal connectors described in sub- lows: ‘‘(e) INTERMODAL FREIGHT TRANSPORTATION paragraph (A) are in good condition and pro- On page 118, line 3, before ‘‘equipment’’ in- PROJECTS.— vide an adequate level of service for military sert ‘‘intergrated, interoperable emergency ‘‘(1) USE OF SURFACE TRANSPORTATION PRO- vehicle and civilian commercial vehicle use; communications,’’. GRAM FUNDS.—A State may obligate funds and apportioned to the State under section ‘‘(ii) significant needs on the designated SA 2450. Mr. BURNS submitted an 104(b)(3) for publicly-owned intermodal National Highway System intermodal con- freight transportation projects that provide amendment intended to be proposed to nectors are being met or do not exist. amendment SA 2285 proposed by Mr. community and highway benefits by address- ‘‘(D) FLEXIBILITY.—-Port projects eligible ing economic, congestion, system reliability, for funding under this section may be trans- INHOFE to the bill S. 1072, to authorize security, safety, or environmental issues as- ferred and administered by the Adminis- funds for Federal-aid highways, high- sociated with freight transportation gate- trator of the Maritime Administration under way safety programs, and transit pro- ways. the terms and conditions provided in section grams, and for other purposes; which ‘‘(2) ELIGIBLE PROJECTS.—A project eligible 626 of the Consolidated Appropriations Reso- was ordered to lie on the table; as fol- for funding under this section— lution, 2003.’’. lows: ‘‘(A) may include publicly-owned inter- (d) FEDERAL SHARE PAYABLE.—Section 120 On page 404, line 7, before ‘‘communica- modal freight transfer facilities, access to of title 23, United States Code, is amended by tion’’ insert ‘‘integrated, interoperable emer- the facilities, and operational improvements adding at the end the following: gency’’. for the facilities (including capital invest- ‘‘(m) INCREASED FEDERAL SHARE FOR CON- ment for intelligent transportation systems), NECTORS.—In the case of a project to support SA 2451. Mr. BURNS submitted an except that projects located within the a National Highway System intermodal boundaries of port terminals shall only in- freight connection or strategic highway net- amendment intended to be proposed to clude the transportation infrastructure work connector to a strategic military de- amendment SA 2285 proposed by Mr. modifications necessary to facilitate direct ployment port described in section 103(b)(7), INHOFE to the bill S. 1072, to authorize intermodal interchange, transfer, and access the Federal share of the total cost of the funds for Federal-aid highways, high- into and out of the port; and project shall be 90 percent.’’. way safety programs, and transit pro- ‘‘(B) may involve the combining of private (e) LENGTH LIMITATIONS.—Section 31111(e) grams, and for other purposes; which andd public funds.’’. of title 49, United States Code, is amended— was ordered to lie on the table; as fol- (b) ELIGIBILITY FOR SURFACE TRANSPOR- (1) by striking ‘‘The’’ and inserting the follows: TATION PROGRAM FUNDS.—Section 133(b) of lowing: title 23, United States Code, is amended by ‘‘(1) IN GENERAL.—The’’; and On page 260, after line 9, insert the fol- inserting after paragraph (11) the following: (2) by adding at the end the following: lowing: ‘‘(12) Intermodal freight transportation ‘‘(2) LENGTH LIMITATIONS.—In the interests ‘‘(7) if the project or program involves the projects in accordance with section of economic competitiveness, security, and purchase of integrated, interoperable emer- 325(e)(2).’. intermodal connectivity, not later than 3 gency communications equipment.’’. (c) FREIGHT INTERMODAL CONNECTIONS TO years after the date of enactment of this NHS.—Section 103(b) of title 23, United paragraph, States shall update the list of SA 2452. Mr. CONRAD submitted an States Code, is amended by adding at the end Federal-aid system highways to include— amendment intended to be proposed by the following: ‘‘(A) strategic highway network connectors him to the bill S. 1072, to authorize ‘‘(7) FREIGHT INTERMODAL CONNECTIONS TO to strategic military deployment ports; and funds for Federal-aid highways, high- THE NHS.— ‘‘(B) National Highway System intermodal way safety programs, and transit pro- ‘‘(A) FUNDING SET-ASIDE.—Of the funds ap- freight connections serving military and grams, and for other purposes; which portioned to a State for each fiscal year commercial truck traffic going to major under section 104(b)(1), an amount deter- was ordered to lie on the table; as fol- intermodal terminals as described in section lows: mined in accordance with subparagraph (B) 103(b)(7)(A)(i).’’. shall only be available to the State to be ob- (f) CONFORMING AMENDMENT.—The analysis On page 923, strike lines 8 through 10 and ligated for projects on— of chapter 3 of title 23, United States Code, insert the following: ‘‘(1) National Highway System routes con- is amended by adding at the end the fol- (a) FUNDING.—Section 125(c)(1) of title 23, necting to intermodal freight terminals lowing: United States Code, is amended by striking identified according to criteria specified in ‘‘325. Freight transportation gateways.’’. ‘‘$100,000,000’’ and inserting ‘‘$300,000,000’’. the report to Congress entitled ‘Pulling To- (b) ROADS IN CLOSED BASINS.—Section 125 gether: The National Highway System and SA 2447. Mr. BURNS submitted an of title 23, United States Code, is amended by adding at the end the following: its Connections to Major Intermodal Termi- amendment intended to be proposed to nals’ dated May 24, 1996, referred to in para- ‘‘(g) ROADS IN CLOSED BASINS.— graph (1), and any modifications to the con- amendment SA 2285 proposed by Mr. ‘‘(1) DEFINITION OF CONSTRUCTION.—In this nections that are consistent with paragraph INHOFE to the bill S. 1072, to authorize subsection, the term ‘construction’ in- (4); funds for Federal-aid highways, high- cludes— ‘‘(ii) strategic. highway network connec- way safety programs, and transit pro- ‘‘(A) monitoring, studies, evaluations, de- tors to strategic military deployment ports; grams, and for other purposes; which sign, or preliminary engineering relating to ‘‘(iii) projects to eliminate railroad cross- was ordered to lie on the table; as fol- construction; and ings or make railroad crossing improve- lows: ‘‘(B) monitoring and evaluations relating ments; and to proposed construction. ‘‘(iv) any intermodal project in the State On page 420, line 23, strike ‘‘enhanced’’ and ‘‘(2) FUNDING.—Subject to paragraph (3), of Alaska, or Hawaii that, the State deter- insert ‘‘integrated, interoperable emer- the Secretary shall use amounts made avail- mines to be vital to State transportation gency’’. able to carry out this section, through ad- needs. vancement or reimbursement, without fur- ‘‘(B) DETERMINATION OF AMOUNT.—The SA 2448. Mr. BURNS submitted an ther emergency declaration, for construc- amount of funds for each State for a fiscal amendment intended to be proposed to tion— year that shall be set aside under subpara- amendment SA 2285 proposed by Mr. ‘‘(A) necessary for the continuation of graph (A) shall be equal to the greater of— INHOFE to the bill S. 1072, to authorize roadway services and the impoundment of ‘‘(i) the product obtained by multiplying— funds for Federal-aid highways, high- water, as the Secretary determines to be ap- ‘‘(I) the total amount of funds apportioned way safety programs, and transit pro- propriate, in accordance with— to the State under section 104(b)(1); by grams, and for other purposes; which ‘‘(i) options and needs identified in the re- ‘‘(II) the percentage of miles that routes port of the Devils Lake Surface Transpor- specified in subparagraph (A) constitute of was ordered to lie on the table; as fol- tation Task Force, Federal Highway Admin- the total miles on the National Highway lows: istration, entitled ‘Roadways Serving as System in the State; or On page 120, line 18, after ‘‘elements’’ in- Water Barriers’ and dated May 4, 2000 (re- ‘‘(ii) 2 percent of the annual apportionment sert ‘‘, including integrated, interoperable ferred to in this subsection as the ‘report’); to the State of funds under 104(b)(1). emergency communications,’’. and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00165 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1122 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(ii) any needs identified after publication (1) by inserting ‘‘the tax liability or’’ after ‘‘(A) $200,000, or of the report; or ‘‘respect to,’’ in paragraph (1), ‘‘(B) 100 percent of the gross income de- ‘‘(B) for a grade raise to permanently re- (2) by inserting ‘‘aid, assistance, procure- rived by such person for providing aid, as- store a roadway identified in the report the ment, or advice with respect to such’’ before sistance, procurement, advice, or other serv- use of which is lost or reduced, or could be ‘‘portion’’ both places it appears in para- ices with respect to the listed transaction lost or reduced, as a result of an actual or graphs (2) and (3), and before the date the return including the predicted water level that is within 3 feet of (3) by inserting ‘‘instance of aid, assist- transaction is filed under section 6111. causing inundation of the roadway. ance, procurement, or advice or each such’’ Subparagraph (B) shall be applied by sub- ‘‘(3) REQUIREMENT.—To be eligible for fund- before ‘‘document’’ in the matter following stituting ‘150 percent’ for ‘100 percent’ in the ing under paragraph (1), construction or a paragraph (3). case of an intentional failure or act de- grade raise shall be carried out in an area (b) AMOUNT OF PENALTY.—Subsection (b) of scribed in subsection (a). that has been the subject of an emergency section 6701 (relating to penalties for aiding ‘‘(c) CERTAIN RULES TO APPLY.—The provi- declaration issued during or after 1993.’’. and abetting understatement of tax liability) sions of section 6707A(d) allowing the Com- is amended to read as follows: missioner of Internal Revenue to rescind a SA 2453. Mr. LEVIN submitted an ‘‘(b) AMOUNT OF PENALTY; CALCULATION OF penalty under certain circumstances shall amendment intended to be proposed by PENALTY; LIABILITY FOR PENALTY.— apply to any penalty imposed under this sec- him to the bill S. 1072, to authorize ‘‘(1) AMOUNT OF PENALTY.—The amount of tion. funds for Federal-aid highways, high- the penalty imposed by subsection (a) shall ‘‘(d) POTENTIALLY ABUSIVE TAX SHELTERS way safety programs, and transit pro- not exceed the greater of— AND LISTED TRANSACTIONS.—The terms ‘po- ‘‘(i) 150 percent of the gross income derived tentially abusive tax shelter’ and ‘listed grams, and for other purposes; which (or to be derived) from such aid, assistance, was ordered to lie on the table; as fol- transaction’ have the respective meanings procurement, or advice provided by the per- given to such terms by section 6707A(c). lows: son or persons subject to such penalty, and ‘‘(e) PENALTY NOT DEDUCTIBLE.—The pay- On page 1298, after line 24, add the fol- ‘‘(ii) if readily subject to calculation, the ment of any penalty imposed under this sec- lowing: total amount of underpayment by the tax- tion or the payment of any amount to settle PART VI—TAX SHELTER AND TAX HAVEN payer (including penalties, interest, and or avoid the imposition of such penalty shall REFORMS taxes) in connection with the understate- not be considered an ordinary and necessary SEC. 5671. PENALTY FOR PROMOTING ABUSIVE ment of the liability for tax. expense in carrying on a trade or business TAX SHELTERS. ‘‘(2) CALCULATION OF PENALTY.—The pen- for purposes of this title and shall not be de- (a) PENALTY FOR PROMOTING ABUSIVE TAX alty amount determined under paragraph (1) ductible by the person who is subject to such SHELTERS.—Section 6700 (relating to pro- shall be calculated with respect to each in- penalty or who makes such payment.’’. moting abusive tax shelters, etc.) is amend- stance of aid, assistance, procurement, or ad- (b) CLERICAL AMENDMENT.—The item related— vice described in subsection (a), each in- ing to section 6707 in the table of sections for (1) by redesignating subsections (b) and (c) stance in which income was derived by the part I of subchapter B of chapter 68 is as subsections (d) and (e), respectively, person or persons subject to such penalty, amended by striking ‘‘regarding tax shel- (2) by striking ‘‘a penalty’’ and all that fol- and each person who made such an under- ters’’ and inserting ‘‘on potentially abusive lows through the period in the first sentence statement of the liability for tax. tax shelter or listed transaction’’. of subsection (a) and inserting ‘‘a penalty de- ‘‘(3) LIABILITY FOR PENALTY.—If more than (c) EFFECTIVE DATE.—The amendments termined under subsection (b)’’, and 1 person is liable under subsection (a) with made by this section shall apply to returns (3) by inserting after subsection (a) the fol- respect to providing such aid, assistance, the due date for which is after the date of lowing new subsections: procurement, or advice, all such persons the enactment of this Act. ‘‘(b) AMOUNT OF PENALTY; CALCULATION OF shall be jointly and severally liable for the (d) PRIOR SECTION TO HAVE NO EFFECT.— PENALTY; LIABILITY FOR PENALTY.— penalty under such subsection.’’. Notwithstanding section 5618(c) of this Act, ‘‘(1) AMOUNT OF PENALTY.—The amount of (c) PENALTY NOT DEDUCTIBLE.—Section 6701 such section, and the amendments made by the penalty imposed by subsection (a) shall is amended by adding at the end the fol- such section, shall not take effect. not exceed the greater of— lowing new subsection: SEC. 5674. PENALTY FOR FAILING TO MAINTAIN ‘‘(A) 150 percent of the gross income de- ‘‘(g) PENALTY NOT DEDUCTIBLE.—The pay- CLIENT LIST. rived (or to be derived) from such activity by ment of any penalty imposed under this sec- (a) IN GENERAL.—Subsection (a) of section the person or persons subject to such pen- tion or the payment of any amount to settle 6708 (relating to failure to maintain lists of alty, and or avoid the imposition of such penalty shall investors in potentially abusive tax shelters) ‘‘(B) if readily subject to calculation, the not be considered an ordinary and necessary is amended to read as follows: total amount of underpayment by the tax- expense in carrying on a trade or business ‘‘(a) IMPOSITION OF PENALTY.— payer (including penalties, interest, and for purposes of this title and shall not be de- ‘‘(1) IN GENERAL.—If any person who is re- taxes) in connection with such activity. ductible by the person who is subject to such quired to maintain a list under section ‘‘(2) CALCULATION OF PENALTY.—The pen- penalty or who makes such payment.’’. 6112(a) fails to make such list available upon alty amount determined under paragraph (1) (d) EFFECTIVE DATE.—The amendments written request to the Secretary in accord- shall be calculated with respect to each in- made by this section shall apply to activities ance with section 6112(b)(1)(A) within 20 busi- stance of an activity described in subsection after the date of the enactment of this Act. ness days after the date of the Secretary’s (a), each instance in which income was de- SEC. 5673. PENALTY FOR FAILURE TO REGISTER request, such person shall pay a penalty of rived by the person or persons subject to TAX SHELTER. $10,000 for each day of such failure after such such penalty, and each person who partici- (a) IN GENERAL.—Section 6707 (relating to 20th day. If such person makes available an pated in such an activity. failure to furnish information regarding tax incomplete list upon such request, such per- shelters) is amended to read as follows: ‘‘(3) LIABILITY FOR PENALTY.—If more than son shall pay a penalty of $100 per each omit- 1 person is liable under subsection (a) with ‘‘SEC. 6707. FAILURE TO FURNISH INFORMATION ted name for each day of such omission after ON POTENTIALLY ABUSIVE TAX such 20th day. respect to such activity, all such persons SHELTER OR LISTED TRANSACTION. shall be jointly and severally liable for the ‘‘(2) GOOD CAUSE EXCEPTION.—No penalty ‘‘(a) IN GENERAL.—If a person who is re- shall be imposed by paragraph (1) with re- penalty under such subsection. quired to file a return under section 6111 ‘‘(c) PENALTY NOT DEDUCTIBLE.—The pay- spect to the failure on any day if, in the with respect to any potentially abusive tax ment of any penalty imposed under this sec- judgment of the Secretary, such failure is shelter— tion or the payment of any amount to settle due to good cause.’’. ‘‘(1) fails to file such return on or before or avoid the imposition of such penalty shall (b) PENALTY NOT DEDUCTIBLE.—Section the date prescribed therefor, or not be considered an ordinary and necessary 6708 is amended by adding at the end the fol- ‘‘(2) files false or incomplete information expense in carrying on a trade or business lowing new subsection: with the Secretary with respect to such shel- for purposes of this title and shall not be de- ‘‘(c) PENALTY NOT DEDUCTIBLE.—The pay- ter, ductible by the person who is subject to such ment of any penalty imposed under this sec- penalty or who makes such payment.’’. such person shall pay a penalty with respect tion or the payment of any amount to settle (b) EFFECTIVE DATE.—The amendments to such return in the amount determined or avoid the imposition of such penalty shall made by this section shall apply to activities under subsection (b). not be considered an ordinary and necessary after the date of the enactment of this Act. ‘‘(b) AMOUNT OF PENALTY.— expense in carrying on a trade or business (c) PRIOR SECTION TO HAVE NO EFFECT.— ‘‘(1) IN GENERAL.—Except as provided in for purposes of this title and shall not be de- Notwithstanding section 5626 of this Act, paragraph (2), the penalty imposed under ductible by the person who is subject to such such section, and the amendments made by subsection (a) with respect to any failure penalty or who makes such payment.’’. such section, shall not take effect. shall be not less than $50,000 and not more (c) EFFECTIVE DATE.—The amendments SEC. 5672. PENALTY FOR AIDING AND ABETTING than $100,000. made by this section shall apply to requests THE UNDERSTATEMENT OF TAX LI- ‘‘(2) LISTED TRANSACTIONS.—The penalty made by the Secretary of the Treasury after ABILITY. imposed under subsection (a) with respect to the date of the enactment of this Act. (a) IN GENERAL.—Section 6701(a) (relating any listed transaction shall be an amount (d) PRIOR SECTION TO HAVE NO EFFECT.— to imposition of penalty) is amended— equal to the greater of— Notwithstanding section 5619(b) of this Act,

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00166 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1123 such section, and the amendments made by the head of the Office of Tax Shelter Anal- shelter shall make a return (in such form as such section, shall not take effect. ysis with respect to the determination, in- the Secretary may prescribe) setting forth— SEC. 5675. PENALTY FOR FAILING TO DISCLOSE cluding— ‘‘(1) information identifying and describing POTENTIALLY ABUSIVE TAX SHEL- ‘‘(A) the facts and circumstances of the such shelter, TER. transaction, ‘‘(2) information describing any potential (a) IN GENERAL.—Part I of subchapter B of ‘‘(B) the reasons for the rescission, and tax benefits expected to result from the shel- chapter 68 (relating to assessable penalties) ‘‘(C) the amount of the penalty rescinded. ter, and is amended by inserting after section 6707 A copy of such opinion shall be provided ‘‘(3) such other information as the Sec- the following new section: upon written request to the Committee on retary may prescribe. ‘‘SEC. 6707A. PENALTY FOR FAILURE TO INCLUDE Ways and Means of the House of Representa- Such return shall be filed not later than the POTENTIALLY ABUSIVE TAX SHEL- tives, the Committee on Finance of the Sen- date which is 30 days before the date on TER INFORMATION WITH RETURN ate, the Joint Committee on Taxation, or which the first sale of such shelter occurs or OR STATEMENT. the General Accounting Office. on any other date specified by the Secretary. ‘‘(a) IMPOSITION OF PENALTY.—Any person ‘‘(5) REPORT.—The Commissioner shall ‘‘(b) DEFINITIONS.—For purposes of this sec- who fails to include on any return or state- each year report to the Committee on Ways tion— ment any information with respect to a po- and Means of the House of Representatives ‘‘(1) MATERIAL ADVISOR.— tentially abusive tax shelter which is re- and the Committee on Finance of the Sen- ‘‘(A) IN GENERAL.—The term ‘material ad- quired under section 6011 to be included with ate— visor’ means any person— such return or statement shall pay a penalty ‘‘(A) a summary of the total number and ‘‘(i) who provides any material aid, assist- in the amount determined under subsection aggregate amount of penalties imposed, and ance, or advice with respect to designing, or- (b). rescinded, under this section, and ganizing, managing, promoting, selling, im- ‘‘(b) AMOUNT OF PENALTY.— ‘‘(B) a description of each penalty re- plementing, or carrying out any potentially ‘‘(1) IN GENERAL.—Except as provided in abusive tax shelter, and paragraphs (2) and (3), the amount of the scinded under this subsection and the rea- ‘‘(ii) who directly or indirectly derives penalty under subsection (a) shall be $50,000. sons therefor. ‘‘(e) PENALTY REPORTED TO SEC.—In the gross income in excess of the threshold ‘‘(2) LISTED TRANSACTION.—Except as pro- amount for such aid, assistance, or advice. vided in paragraph 3, the amount of the pen- case of a person— ‘‘(B) THRESHOLD AMOUNT.—For purposes of alty under subsection (a) with respect to a ‘‘(1) which is required to file periodic re- subparagraph (A), the threshold amount is— listed transaction shall be $100,000. ports under section 13 or 15(d) of the Securi- ties Exchange Act of 1934 or is required to be ‘‘(i) $50,000 in the case of a potentially abu- ‘‘(3) INCREASE IN PENALTY FOR INTENTIONAL consolidated with another person for pur- sive tax shelter substantially all of the tax NONDISCLOSURE.—In the case of an inten- benefits from which are provided to natural tional failure by any person under subsection poses of such reports, and persons, and (a), the penalty under paragraph (1) shall be ‘‘(2) which— ‘‘(ii) $100,000 in any other case. $100,000 and the penalty under paragraph (2) ‘‘(A) is required to pay a penalty under this ‘‘(2) POTENTIALLY ABUSIVE TAX SHELTER.— shall be $200,000. section with respect to a listed transaction, The term ‘potentially abusive tax shelter’ ‘‘(c) DEFINITIONS.—For purposes of this sec- ‘‘(B) is required to pay a penalty under section— tion 6662A with respect to any potentially has the meaning given to such term by section 6707A(c). ‘‘(1) POTENTIALLY ABUSIVE TAX SHELTER.— abusive tax shelter at a rate prescribed ‘‘(c) REGULATIONS.—The Secretary may The term ‘potentially abusive tax shelter’ under section 6662A(c), or prescribe regulations which provide— means any transaction with respect to which ‘‘(C) is required to pay a penalty under sec- ‘‘(1) that only 1 person shall be required to information is required to be included with a tion 6662B with respect to any noneconomic meet the requirements of subsection (a) in return or statement, because the Secretary substance transaction, cases in which 2 or more persons would oth- has determined by regulation or otherwise the requirement to pay such penalty shall be erwise be required to meet such require- that such transaction has a potential for tax disclosed in such reports filed by such person ments, avoidance or evasion. for such periods as the Secretary shall speci- ‘‘(2) exemptions from the requirements of ‘‘(2) LISTED TRANSACTION.—Except as pro- fy. Failure to make a disclosure in accord- this section, and vided in regulations, the term ‘listed trans- ance with the preceding sentence shall be ‘‘(3) such rules as may be necessary or ap- action’ means a potentially abusive tax shel- treated as a failure to which the penalty propriate to carry out the purposes of this ter which is the same as, or substantially under subsection (b)(2) applies. section.’’. ‘‘(f) PENALTY IN ADDITION TO OTHER PEN- similar to, a transaction specifically identi- (b) CONFORMING AMENDMENTS.— ALTIES.—The penalty imposed by this section fied by the Secretary as a tax avoidance (1) The item relating to section 6111 in the shall be in addition to any other penalty pro- transaction for purposes of section 6011. table of sections for subchapter B of chapter ‘‘(d) AUTHORITY TO RESCIND PENALTY.— vided by law. 61 is amended to read as follows: ‘‘(1) IN GENERAL.—The Commissioner of In- ‘‘(g) PENALTY NOT DEDUCTIBLE.—The pay- ternal Revenue may rescind all or any por- ment of any penalty imposed under this sec- ‘‘Sec. 6111. Disclosure of potentially abusive tion of a penalty imposed by this section tion or the payment of any amount to settle tax shelters.’’. with respect to any violation if— or avoid the imposition of such penalty shall (2)(A) So much of section 6112 as precedes ‘‘(A) the violation is with respect to a po- not be considered an ordinary and necessary subsection (c) thereof is amended to read as tentially abusive tax shelter other than a expense in carrying on a trade or business follows: listed transaction, for purposes of this title and shall not be de- ‘‘SEC. 6112. MATERIAL ADVISORS OF POTEN- ‘‘(B) the person on whom the penalty is im- ductible by the person who is subject to such TIALLY ABUSIVE TAX SHELTERS posed has a history of complying with the re- penalty or who makes such payment.’’. MUST KEEP CLIENT LISTS. quirements of this title, (b) CONFORMING AMENDMENT.—The table of ‘‘(a) IN GENERAL.—Each material advisor ‘‘(C) it is shown that the violation is due to sections for part I of subchapter B of chapter (as defined in section 6111) with respect to an unintentional mistake of fact, 68 is amended by inserting after the item re- any potentially abusive tax shelter (as de- ‘‘(D) imposing the penalty would be lating to section 6707 the following: fined in section 6707A(c)) shall maintain, in such manner as the Secretary may by regu- against equity and good conscience, and ‘‘Sec. 6707A. Penalty for failure to include lations prescribe, a list— ‘‘(E) rescinding the penalty would promote potentially abusive tax shelter ‘‘(1) identifying each person with respect to compliance with the requirements of this information with return or whom such advisor acted as such a material title and effective tax administration. statement.’’. ‘‘(2) DISCRETION.—The exercise of authority advisor with respect to such shelter, and under paragraph (1) shall be at the sole dis- (c) EFFECTIVE DATE.—The amendments ‘‘(2) containing such other information as cretion of the Commissioner and may be del- made by this section shall apply to returns the Secretary may by regulations require. egated only to the head of the Office of Tax and statements the due date for which is This section shall apply without regard to Shelter Analysis. The Commissioner, in the after the date of the enactment of this Act. whether a material advisor is required to file Commissioner’s sole discretion, may estab- (d) PRIOR SECTION TO HAVE NO EFFECT.— a return under section 6111 with respect to lish a procedure to determine if a penalty Notwithstanding section 5612(c) of this Act, such transaction.’’. should be referred to the Commissioner or such section, and the amendments made by (B) Section 6112 is amended by redesig- the head of such Office for a determination such section, shall not take effect. nating subsection (c) as subsection (b). under paragraph (1). SEC. 5676. IMPROVED DISCLOSURE OF POTEN- (C) Section 6112(b), as redesignated by sub- ‘‘(3) NO APPEAL.—Notwithstanding any TIALLY ABUSIVE TAX SHELTERS. paragraph (B), is amended— other provision of law, any determination (a) IN GENERAL.—Section 6111 (relating to (i) by inserting ‘‘written’’ before ‘‘request’’ under this subsection may not be reviewed in registration of tax shelters) is amended to in paragraph (1)(A), and any administrative or judicial proceeding. read as follows: (ii) by striking ‘‘shall prescribe’’ in para- ‘‘(4) RECORDS.—If a penalty is rescinded ‘‘SEC. 6111. DISCLOSURE OF POTENTIALLY ABU- graph (2) and inserting ‘‘may prescribe’’. under paragraph (1), the Commissioner shall SIVE TAX SHELTERS. (D) The item relating to section 6112 in the place in the file in the Office of the Commis- ‘‘(a) IN GENERAL.—Each material advisor table of sections for subchapter B of chapter sioner the opinion of the Commissioner or with respect to any potentially abusive tax 61 is amended to read as follows:

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‘‘Sec. 6112. Material advisors of potentially ‘‘(B) AMOUNT OF PENALTY.— ties having a joint financial interest in the abusive tax shelters must keep ‘‘(i) IN GENERAL.—Except as provided in subject of the advice. client lists.’’. subparagraph (C), the amount of any civil ‘‘(3) Avoidance of conflicts of interest (3)(A) The heading for section 6708 is penalty imposed under subparagraph (A) which would impair auditor independence. amended to read as follows: shall not exceed $10,000. ‘‘(4) For written advice issued by a firm, ‘‘(ii) REASONABLE CAUSE EXCEPTION.—No standards for reviewing the advice and en- ‘‘SEC. 6708. FAILURE TO MAINTAIN CLIENT LISTS WITH RESPECT TO POTENTIALLY penalty shall be imposed under subparagraph suring the consensus support of the firm for ABUSIVE TAX SHELTERS.’’. (A) with respect to any violation if— positions taken. (B) The item relating to section 6708 in the ‘‘(I) such violation was due to reasonable ‘‘(5) Reliance on reasonable factual rep- table of sections for part I of subchapter B of cause, and resentations by the taxpayer and other par- chapter 68 is amended to read as follows: ‘‘(II) the amount of the transaction or the ties. balance in the account at the time of the ‘‘(6) Appropriateness of the fees charged by ‘‘Sec. 6708. Failure to maintain client lists transaction was properly reported. the practitioner for the written advice.’’. with respect to potentially abu- ‘‘(C) WILLFUL VIOLATIONS.—In the case of (c) PRIOR SECTION TO HAVE NO EFFECT.— sive tax shelters.’’. any person willfully violating, or willfully Notwithstanding section 5624(a)(2) of this (c) REQUIRED DISCLOSURE NOT SUBJECT TO causing any violation of, any provision of Act, such section, and the amendments made CLAIM OF CONFIDENTIALITY.—Section section 5314, the amount of the civil penalty by such section, shall not take effect. 6112(b)(1), as redesignated by subsection imposed under subparagraph (A) shall be— SEC. 5680. PREVENTING CORPORATE EXPATRIA- (b)(2)(B), is amended by adding at the end the ‘‘(i) not less than $5,000, TION TO AVOID UNITED STATES IN- COME TAX. following new flush sentence: ‘‘(ii) not more than 50 percent of the (a) IN GENERAL.—Paragraph (4) of section ‘‘For purposes of this section, the identity of amount determined under subparagraph (D), 7701(a) (defining domestic) is amended to any person on such list shall not be privi- and read as follows: ‘‘(iii) subparagraph (B)(ii) shall not apply. leged.’’. ‘‘(4) DOMESTIC.— ‘‘(D) AMOUNT.—The amount determined (d) EFFECTIVE DATE.— ‘‘(A) IN GENERAL.—Except as provided in (1) IN GENERAL.—Except as provided in under this subparagraph is— subparagraph (B), the term ‘domestic’ when paragraph (2), the amendments made by this ‘‘(i) in the case of a violation involving a applied to a corporation or partnership section shall apply to transactions with re- transaction, the amount of the transaction, means created or organized in the United spect to which material aid, assistance, or or States or under the law of the United States advice referred to in section 6111(b)(1)(A)(i) ‘‘(ii) in the case of a violation involving a or of any State unless, in the case of a part- of the Internal Revenue Code of 1986 (as failure to report the existence of an account nership, the Secretary provides otherwise by added by this section) is provided after the or any identifying information required to be regulations. date of the enactment of this Act. provided with respect to an account, the bal- ‘‘(B) CERTAIN CORPORATIONS TREATED AS DO- (2) NO CLAIM OF CONFIDENTIALITY AGAINST ance in the account at the time of the viola- MESTIC.— DISCLOSURE.—The amendment made by sub- tion.’’. ‘‘(i) IN GENERAL.—The acquiring corpora- section (c) shall take effect as if included in (b) EFFECTIVE DATE.—The amendment tion in a corporate expatriation transaction the amendments made by section 142 of the made by this section shall apply to viola- shall be treated as a domestic corporation. Deficit Reduction Act of 1984. tions occurring after the date of the enact- ‘‘(ii) CORPORATE EXPATRIATION TRANS- (e) PRIOR SECTION TO HAVE NO EFFECT.— ment of this Act. ACTION.—For purposes of this subparagraph, Notwithstanding section 5617(d) of this Act, (c) PRIOR SECTION TO HAVE NO EFFECT.— the term ‘corporate expatriation trans- such section, and the amendments made by Notwithstanding section 5622(b) of this Act, action’ means any transaction if— such section, shall not take effect. such section, and the amendments made by ‘‘(I) a nominally foreign corporation (re- SEC. 5677. EXTENSION OF STATUTE OF LIMITA- such section, shall not take effect. ferred to in this subparagraph as the ‘acquir- TIONS FOR UNDISCLOSED TAX SHEL- SEC. 5679. CENSURE, CIVIL FINES, AND TAX OPIN- ing corporation’) acquires, as a result of such TER. ION STANDARDS FOR TAX PRACTI- transaction, directly or indirectly substan- (a) IN GENERAL.—Section 6501(c) (relating TIONERS. tially all of the properties held directly or to exceptions) is amended by adding at the (a) CENSURE; IMPOSITION OF MONETARY PEN- end the following new paragraph: indirectly by a domestic corporation, and ALTY.— ‘‘(II) immediately after the transaction, ‘‘(10) POTENTIALLY ABUSIVE TAX SHEL- (1) IN GENERAL.—Section 330(b) of title 31, more than 80 percent of the stock (by vote or TERS.—If a taxpayer fails to include on any United States Code, is amended— value) of the acquiring corporation is held by return or statement for any taxable year any (A) by inserting ‘‘, or censure,’’ after ‘‘De- information with respect to a potentially former shareholders of the domestic corpora- partment’’, and tion by reason of holding stock in the domes- abusive tax shelter (as defined in section (B) by adding at the end the following new 6707A(c)) which is required under section 6011 tic corporation. flush sentence: OWER STOCK OWNERSHIP REQUIRE- to be included with such return or state- ‘‘(iii) L ‘‘The Secretary may impose a monetary pen- MENT IN CERTAIN CASES.—Subclause (II) of ment, the time for assessment of any tax im- alty on any representative described in the clause (ii) shall be applied by substituting ‘50 posed by this title with respect to such preceding sentence. If the representative was percent’ for ‘80 percent’ with respect to any transaction shall not expire before the date acting on behalf of an employer or any firm nominally foreign corporation if— which is 2 years after the earlier of— or other entity in connection with the con- ‘‘(I) such corporation does not have sub- ‘‘(A) the date on which the Secretary is duct giving rise to such penalty, the Sec- stantial business activities (when compared furnished the information so required; or retary may impose a monetary penalty on to the total business activities of the ex- ‘‘(B) the date that a material advisor (as such employer, firm, or entity if it knew, or panded affiliated group) in the foreign coun- defined in section 6111) meets the require- reasonably should have known, of such con- try in which or under the law of which the ments of section 6112 with respect to a re- duct. Such penalty may be in addition to, or corporation is created or organized, and quest by the Secretary under section 6112(b) in lieu of, any suspension, disbarment, or ‘‘(II) the stock of the corporation is pub- relating to such transaction with respect to censure of the representative.’’. licly traded and the principal market for the such taxpayer.’’. (b) EFFECTIVE DATE.—The amendment (2) EFFECTIVE DATE.—The amendments public trading of such stock is in the United made by this section shall apply to taxable made by this subsection shall apply to ac- States. years with respect to which the period for as- tions taken after the date of the enactment ‘‘(iv) PARTNERSHIP TRANSACTIONS.—The sessing a deficiency did not expire before the of this Act. term ‘corporate expatriation transaction’ in- date of the enactment of this Act. (b) TAX OPINION STANDARDS.—Section 330 cludes any transaction if— (c) PRIOR SECTION TO HAVE NO EFFECT.— of such title 31 is amended by adding at the ‘‘(I) a nominally foreign corporation (re- Notwithstanding section 5626(b) of this Act, end the following new subsection: ferred to in this subparagraph as the ‘acquir- such section, and the amendments made by ‘‘(d) The Secretary of the Treasury shall ing corporation’) acquires, as a result of such such section, shall not take effect. impose standards applicable to the rendering transaction, directly or indirectly properties SEC. 5678. PENALTY FOR FAILING TO REPORT IN- of written advice with respect to any poten- constituting a trade or business of a domes- TERESTS IN FOREIGN FINANCIAL tially abusive tax shelter or any entity, plan, tic partnership, ACCOUNTS. arrangement, or transaction which has a po- ‘‘(II) immediately after the transaction, (a) IN GENERAL.—Section 5321(a)(5) of title tential for tax avoidance or evasion. Such more than 80 percent of the stock (by vote or 31, United States Code, is amended to read as standards shall address, but not be limited value) of the acquiring corporation is held by follows: to, the following issues: former partners of the domestic partnership ‘‘(5) FOREIGN FINANCIAL AGENCY TRANS- ‘‘(1) Independence of the practitioner or related foreign partnerships (determined ACTION VIOLATION.— issuing such written advice from persons without regard to stock of the acquiring cor- ‘‘(A) PENALTY AUTHORIZED.—The Secretary promoting, marketing, or recommending the poration which is sold in a public offering re- of the Treasury may impose a civil money subject of the advice. lated to the transaction), and penalty on any person who violates, or ‘‘(2) Collaboration among practitioners, or ‘‘(III) the acquiring corporation meets the causes any violation of, any provision of sec- between a practitioner and other party, requirements of subclauses (I) and (II) of tion 5314. which could result in such collaborating par- clause (iii).

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‘‘(v) SPECIAL RULES.—For purposes of this ‘‘(2) INCREASE FOR FUEL EFFICIENCY.— ‘‘(B) which, in the case of a passenger auto- subparagraph— ‘‘(A) IN GENERAL.—The amount determined mobile or light truck for 2004 and later ‘‘(I) a series of related transactions shall be under paragraph (1)(A) with respect to a new model vehicles, has received a certificate treated as 1 transaction, and qualified fuel cell motor vehicle which is a that such vehicle meets or exceeds the Bin 5 ‘‘(II) stock held by members of the ex- passenger automobile or light truck shall be Tier II emission level established in regula- panded affiliated group which includes the increased by— tions prescribed by the Administrator of the acquiring corporation shall not be taken into ‘‘(i) $1,000, if such vehicle achieves at least Environmental Protection Agency under sec- account in determining ownership. 150 percent but less than 175 percent of the tion 202(i) of the Clean Air Act for that make ‘‘(vi) OTHER DEFINITIONS.—For purposes of 2002 model year city fuel economy, and model year vehicle, this subparagraph— ‘‘(ii) $1,500, if such vehicle achieves at least ‘‘(C) the original use of which commences ‘‘(I) NOMINALLY FOREIGN CORPORATION.— 175 percent but less than 200 percent of the with the taxpayer, The term ‘nominally foreign corporation’ 2002 model year city fuel economy, ‘‘(D) which is acquired for use or lease by means any corporation which would (but for ‘‘(iii) $2,000, if such vehicle achieves at the taxpayer and not for resale, and this subparagraph) be treated as a foreign least 200 percent but less than 225 percent of ‘‘(E) which is made by a manufacturer. corporation. the 2002 model year city fuel economy, EW QUALIFIED HYBRID MOTOR VEHICLE ‘‘(II) EXPANDED AFFILIATED GROUP.—The ‘‘(iv) $2,500, if such vehicle achieves at ‘‘(c) N term ‘expanded affiliated group’ means an least 225 percent but less than 250 percent of CREDIT.— affiliated group (as defined in section 1504(a) the 2002 model year city fuel economy, ‘‘(1) IN GENERAL.—For purposes of sub- without regard to section 1504(b)). ‘‘(v) $3,000, if such vehicle achieves at least section (a), the new qualified hybrid motor ‘‘(III) RELATED FOREIGN PARTNERSHIP.—A 250 percent but less than 275 percent of the vehicle credit determined under this sub- foreign partnership is related to a domestic 2002 model year city fuel economy, section with respect to a new qualified hy- partnership if they are under common con- ‘‘(vi) $3,500, if such vehicle achieves at brid motor vehicle placed in service by the trol (within the meaning of section 482), or least 275 percent but less than 300 percent of taxpayer during the taxable year is the cred- they shared the same trademark or the 2002 model year city fuel economy, and it amount determined under paragraph (2). tradename.’’ ‘‘(vii) $4,000, if such vehicle achieves at ‘‘(2) CREDIT AMOUNT.— (b) EFFECTIVE DATES.— least 300 percent of the 2002 model year city ‘‘(A) IN GENERAL.—The credit amount de- (1) IN GENERAL.—The amendment made by fuel economy. termined under this paragraph shall be de- this section shall apply to corporate expa- ‘‘(B) 2002 MODEL YEAR CITY FUEL ECONOMY.— termined in accordance with the following triation transactions completed after Sep- For purposes of subparagraph (A), the 2002 table: tember 11, 2001. model year city fuel economy with respect to ‘‘In the case of a new qualified hybrid (2) SPECIAL RULE.—The amendment made a vehicle shall be determined in accordance motor vehicle which is a passenger auto- by this section shall also apply to corporate with the following tables: mobile, medium duty passenger vehicle, or expatriation transactions completed on or ‘‘(i) In the case of a passenger automobile: light truck and which provides the following before September 11, 2001, but only with re- ‘‘If vehicle inertia The 2002 model year percentage of the maximum available power: spect to taxable years of the acquiring cor- weight class is: city fuel economy poration beginning after December 31, 2003. ‘‘If percentage of the The credit amount is: is: maximum available (c) PRIOR SECTION TO HAVE NO EFFECT.— 1,500 or 1,750 lbs ...... 45.2 mpg power is: Section 5651(a)(2) of this Act, and the amend- 2,000 lbs ...... 39.6 mpg ments made by such section, shall not take 2,250 lbs ...... 35.2 mpg At least 4 percent but less than 10 $350 effect. 2,500 lbs ...... 31.7 mpg percent. SA 2454. Mr. LEVIN (for himself and 2,750 lbs ...... 28.8 mpg At least 10 percent but less than 20 $600 3,000 lbs ...... 26.4 mpg Ms. STABENOW) submitted an amend- percent. 3,500 lbs ...... 22.6 mpg ment intended to be proposed by him 4,000 lbs ...... 19.8 mpg At least 20 percent but less than 30 $850 to the bill S. 1072, to authorize funds 4,500 lbs ...... 17.6 mpg percent. for Federal-aid highways, highway 5,000 lbs ...... 15.9 mpg At least 30 percent ...... $1,100. safety programs, and transit programs, 5,500 lbs ...... 14.4 mpg ‘‘(B) INCREASE FOR FUEL EFFICIENCY.— and for other purposes; which was or- 6,000 lbs ...... 13.2 mpg ‘‘(i) AMOUNT.—The amount determined dered to lie on the table; as follows: 6,500 lbs ...... 12.2 mpg under subparagraph (A) with respect to a On page 1298, after line 24, add the fol- 7,000 to 8,500 lbs ...... 11.3 mpg. new qualified hybrid motor vehicle which is lowing: ‘‘(ii) In the case of a light truck: a passenger automobile or light truck shall Subtitle H—Incentives for Alternative Motor ‘‘If vehicle inertia The 2002 model year be increased by— Vehicles weight class is: city fuel economy ‘‘(I) $600, if such vehicle achieves at least PART I—INCENTIVES is: 125 percent but less than 150 percent of the 1,500 or 1,750 lbs ...... 39.4 mpg 2002 model year city fuel economy, SEC. 5671. ALTERNATIVE MOTOR VEHICLE CRED- IT. 2,000 lbs ...... 35.2 mpg ‘‘(II) $1,100, if such vehicle achieves at least (a) IN GENERAL.—Subpart B of part IV of 2,250 lbs ...... 31.8 mpg 150 percent but less than 175 percent of the subchapter A of chapter 1 (relating to foreign 2,500 lbs ...... 29.0 mpg 2002 model year city fuel economy, tax credit, etc.) is amended by adding at the 2,750 lbs ...... 26.8 mpg ‘‘(III) $1,600, if such vehicle achieves at end the following new section: 3,000 lbs ...... 24.9 mpg least 175 percent but less than 200 percent of ‘‘SEC. 30B. ALTERNATIVE MOTOR VEHICLE CRED- 3,500 lbs ...... 21.8 mpg the 2002 model year city fuel economy, IT. 4,000 lbs ...... 19.4 mpg ‘‘(IV) $2,100, if such vehicle achieves at ‘‘(a) ALLOWANCE OF CREDIT.—There shall be 4,500 lbs ...... 17.6 mpg least 200 percent but less than 225 percent of allowed as a credit against the tax imposed 5,000 lbs ...... 16.1 mpg the 2002 model year city fuel economy, by this chapter for the taxable year an 5,500 lbs ...... 14.8 mpg ‘‘(V) $2,600, if such vehicle achieves at least amount equal to the sum of— 6,000 lbs ...... 13.7 mpg 225 percent but less than 250 percent of the ‘‘(1) the new qualified fuel cell motor vehi- 6,500 lbs ...... 12.8 mpg 2002 model year city fuel economy, and cle credit determined under subsection (b), 7,000 to 8,500 lbs ...... 12.1 mpg. ‘‘(VI) $3,100, if such vehicle achieves at ‘‘(2) the new qualified hybrid motor vehicle ‘‘(C) VEHICLE INERTIA WEIGHT CLASS.—For least 250 percent of the 2002 model year city credit determined under subsection (c), and purposes of subparagraph (B), the term ‘vehi- fuel economy. ‘‘(3) the new qualified advanced lean burn cle inertia weight class’ has the same mean- ‘‘(ii) 2002 MODEL YEAR CITY FUEL ECONOMY.— technology motor vehicle credit determined ing as when defined in regulations prescribed For purposes of clause (i), the 2002 model under subsection (f). by the Administrator of the Environmental year city fuel economy with respect to a ve- ‘‘(b) NEW QUALIFIED FUEL CELL MOTOR VE- Protection Agency for purposes of the ad- hicle shall be determined on a gasoline gal- HICLE CREDIT.— ministration of title II of the Clean Air Act lon equivalent basis as determined by the ‘‘(1) IN GENERAL.—For purposes of sub- (42 U.S.C. 7521 et seq.). Administrator of the Environmental Protec- section (a), the new qualified fuel cell motor ‘‘(3) NEW QUALIFIED FUEL CELL MOTOR VEHI- tion Agency using the tables provided in sub- vehicle credit determined under this sub- CLE.—For purposes of this subsection, the section (b)(2)(B) with respect to such vehicle. section with respect to a new qualified fuel term ‘new qualified fuel cell motor vehicle’ ‘‘(iii) OPTION TO USE LIKE VEHICLE.—For cell motor vehicle placed in service by the means a motor vehicle— purposes of clause (i), at the option of the ve- taxpayer during the taxable year is— ‘‘(A) which is propelled by power derived hicle manufacturer, the increase for fuel effi- ‘‘(A) $4,000, if such vehicle has a gross vehi- from 1 or more cells which convert chemical ciency may be calculated by comparing the cle weight rating of not more than 8,500 energy directly into electricity by com- new qualified hybrid motor vehicle to a ‘like pounds, and bining oxygen with hydrogen fuel which is vehicle’. ‘‘(B) $10,000, if such vehicle has a gross ve- stored on board the vehicle in any form and ‘‘(C) CONSERVATION CREDIT.— hicle weight rating of more than 8,500 pounds may or may not require reformation prior to ‘‘(i) AMOUNT.—The amount determined but not more than 14,000 pounds. use, under subparagraph (A) with respect to a

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passenger automobile, medium duty pas- ‘‘(B) CONSUMABLE FUEL.—For purposes of ‘‘(vii) which is made by a manufacturer. senger vehicle, or light truck shall be in- subparagraph (A)(i)(I), the term ‘consumable ‘‘(B) LIKE VEHICLE.—The term ‘like vehicle’ creased by— fuel’ means any solid, liquid, or gaseous mat- for a new qualified advanced lean burn tech- ‘‘(I) $350, if such vehicle achieves a lifetime ter which releases energy when consumed by nology motor vehicle derived from a conven- fuel savings of at least 1,200 but less than an auxiliary power unit. tional production vehicle produced in the 1,800 gallons of gasoline, ‘‘(d) NEW QUALIFIED ADVANCED LEAN BURN same model year means a model that is ‘‘(II) $600, if such vehicle achieves a life- TECHNOLOGY MOTOR VEHICLE CREDIT.— equivalent in the following areas: time fuel savings of at least 1,800 but less ‘‘(1) IN GENERAL.—For purposes of sub- ‘‘(i) Body style (2-door or 4-door), than 2,400 gallons of gasoline, section (a), the new qualified advanced lean ‘‘(ii) Transmission (automatic or manual), ‘‘(III) $850, if such vehicle achieves a life- burn technology motor vehicle credit deter- ‘‘(iii) Acceleration performance (± 0.05 sec- time fuel savings of at least 2,400 but less mined under this subsection with respect to onds). than 3,000 gallons of gasoline, and a new qualified advanced lean burn tech- ‘‘(iv) Drivetrain (2-wheel drive or 4-wheel ‘‘(IV) $1,100, if such vehicle achieves a life- nology motor vehicle placed in service by drive). time fuel savings of at least 3,000 gallons of the taxpayer during the taxable year is the ‘‘(v) Certification by the Administrator of credit amount determined under paragraph gasoline. the Environmental Protection Agency. (2). ‘‘(C) LIFETIME FUEL SAVINGS.—The term ‘‘(ii) LIFETIME FUEL SAVINGS FOR LIKE VEHI- ‘‘(2) CREDIT AMOUNT.— ‘lifetime fuel savings’ shall be calculated by CLE.—For purposes of clause (i), at the op- ‘‘(A) INCREASE FOR FUEL EFFICIENCY.—The tion of the vehicle manufacturer, the life- dividing 120,000 by the difference between the credit amount determined under this para- 2002 model year city fuel economy for the ve- time fuel savings fuel may be calculated by graph shall be— hicle inertia weight class (as defined in sub- comparing the new qualified hybrid motor ‘‘(i) $350, if such vehicle achieves at least section (b)(2)(C)) and the city fuel economy vehicle to a ‘like vehicle’. 125 percent but less than 150 percent of the for the new qualified hybrid motor vehicle. ‘‘(D) DEFINITIONS RELATING TO CREDIT 2002 model year city fuel economy, ‘‘(e) APPLICATION WITH OTHER CREDITS.— AMOUNT.— ‘‘(ii) $600, if such vehicle achieves at least The credit allowed under subsection (a) for ‘‘(i) MAXIMUM AVAILABLE POWER.—For pur- 150 percent but less than 175 percent of the any taxable year shall not exceed the excess poses of subparagraph (A), the term ‘max- 2002 model year city fuel economy, (if any) of— imum available power’ means the maximum ‘‘(iii) $850, if such vehicle achieves at least ‘‘(1) the regular tax for the taxable year re- power available from the rechargeable en- 175 percent but less than 200 percent of the duced by the sum of the credits allowable ergy storage system, during a standard 10 2002 model year city fuel economy, and under subpart A and sections 27, 29, and 30, second pulse power or equivalent test, di- ‘‘(iv) $1,100, if such vehicle achieves at over vided by such maximum power and the SAE least 200 percent of the 2002 model year city ‘‘(2) the tentative minimum tax for the net power of the heat engine. fuel economy. taxable year. ‘‘(ii) LIKE VEHICLE.—For purposes of sub- For purposes of clause (i), the 2002 model ‘‘(f) LIMITATION ON NUMBER OF NEW QUALI- paragraph (B)(iii), the term ‘like vehicle’ for year city fuel economy with respect to a ve- FIED HYBRID AND ADVANCED LEAN-BURN a new qualified hybrid motor vehicle derived hicle shall be determined using the tables TECHNOLOGY VEHICLES ELIGIBLE FOR CRED- from a conventional production vehicle pro- provided in subsection (b)(2)(B) with respect IT.— duced in the same model year means a model to such vehicle. ‘‘(1) IN GENERAL.—In the case of a qualified that is equivalent in the following areas: ‘‘(B) CONSERVATION CREDIT.—The amount vehicle sold during the phaseout period, only ‘‘(I) Body style (2-door or 4-door). determined under subparagraph (A) with re- the applicable percentage of the credit other- ‘‘(II) Transmission (automatic or manual). spect to a new qualified advanced lean burn wise allowable under subsection (c) or (d) ± ‘‘(III) Acceleration performance ( 0.05 sec- technology motor vehicle shall be increased shall be allowed. onds). by— ‘‘(2) PHASEOUT PERIOD.—For purposes of ‘‘(IV) Drivetrain (2-wheel drive or 4-wheel ‘‘(i) $350, if such vehicle achieves a lifetime this subsection, the phaseout period is the drive). fuel savings of at least 1,200 but less than period beginning with the second calendar ‘‘(V) Certification by the Administrator of 1,800 gallons of gasoline, quarter following the calendar quarter which the Environmental Protection Agency. ‘‘(ii) $600, if such vehicle achieves a life- includes the first date on which the number ‘‘(iii) LIFETIME FUEL SAVINGS.—For pur- time fuel savings of at least 1,800 but less of qualified vehicles manufactured by the poses of subparagraph (C), the term ‘lifetime than 2,400 gallons of gasoline, manufacturer of the vehicle referred to in fuel savings’ shall be calculated by dividing ‘‘(iii) $850, if such vehicle achieves a life- paragraph (1) sold for use in the United 120,000 by the difference between the 2002 time fuel savings of at least 2,400 but less States after the date of the enactment of model year city fuel economy for the vehicle than 3,000 gallons of gasoline, and this section is at least 80,000. inertia weight class (as defined in subsection ‘‘(iv) $1,100, if such vehicle achieves a life- ‘‘(3) APPLICABLE PERCENTAGE.—For pur- (b)(2)(C)) and the city fuel economy for the time fuel savings of at least 3,000 gallons of poses of paragraph (1), the applicable per- new qualified hybrid motor vehicle. gasoline. centage is— ‘‘(3) NEW QUALIFIED HYBRID MOTOR VEHI- ‘‘(C) OPTION TO USE LIKE VEHICLE.—At the ‘‘(A) 50 percent for the first 2 calendar CLE.—For purposes of this subsection— option of the vehicle manufacturer, the in- quarters of the phaseout period, ‘‘(A) IN GENERAL.—The term ‘new qualified crease for fuel efficiency and conservation ‘‘(B) 25 percent for the 3d and 4th calendar hybrid motor vehicle’ means a motor vehi- credit may be calculated by comparing the quarters of the phaseout period, and cle— new qualified advanced lean burn technology ‘‘(C) 0 percent for each calendar quarter ‘‘(i) which draws propulsion energy from motor vehicle to a like vehicle. thereafter. onboard sources of stored energy which are ‘‘(3) DEFINITIONS.—For purposes of this sub- ‘‘(4) CONTROLLED GROUPS.— both— section— ‘‘(A) IN GENERAL.—For purposes of this sub- ‘‘(I) an internal combustion or heat engine ‘‘(A) NEW QUALIFIED ADVANCED LEAN BURN section, all persons treated as a single em- using consumable fuel, and TECHNOLOGY MOTOR VEHICLE.—The term ‘new ployer under subsection (a) or (b) of section ‘‘(II) a rechargeable energy storage system, qualified advanced lean burn technology 52 or subsection (m) or (o) of section 414 shall ‘‘(ii) which, in the case of a passenger auto- motor vehicle’ means a motor vehicle with be treated as a single manufacturer. mobile, medium duty passenger vehicle, or an internal combustion engine— ‘‘(B) INCLUSION OF FOREIGN CORPORATIONS.— light truck— ‘‘(i) which is designed to operate primarily For purposes of subparagraph (A), in apply- ‘‘(I) for 2002 and later model vehicles, has using more air than is necessary for coming subsections (a) and (b) of section 52 to received a certificate of conformity under plete combustion of the fuel, this section, section 1563 shall be applied the Clean Air Act and meets or exceeds the ‘‘(ii) which incorporates direct injection, without regard to subsection (b)(2)(C) there- equivalent qualifying California low emis- ‘‘(iii) which achieves at least 125 percent of of. sion vehicle standard under section 243(e)(2) the 2002 model year city fuel economy, ‘‘(5) QUALIFIED VEHICLE.—For purposes of of the Clean Air Act for that make and ‘‘(iv) which, for 2005 and later model vehi- this subsection, the term ‘qualified vehicle’ model year, and cles, has received a certificate that such ve- means any new qualified hybrid motor vehi- ‘‘(II) for 2004 and later model vehicles, has hicle meets or exceeds the Bin 5 Tier II emis- cle and any new advanced lean burn tech- received a certificate that such vehicle sion levels for passenger vehicles established nology motor vehicle. meets or exceeds the Bin 5 Tier II emission in regulations prescribed by the Adminis- ‘‘(g) OTHER DEFINITIONS AND SPECIAL level established in regulations prescribed by trator of the Environmental Protection RULES.—For purposes of this section— the Administrator of the Environmental Agency under section 202(i) of the Clean Air ‘‘(1) MOTOR VEHICLE.—The term ‘motor ve- Protection Agency under section 202(i) of the Act for that make and model year vehicle, hicle’ has the meaning given such term by Clean Air Act for that make and model year except any manufacturer may provide not to section 30(c)(2). vehicle, exceed 5,000 passenger vehicles per year ‘‘(2) CITY FUEL ECONOMY.—The city fuel ‘‘(iii) the original use of which commences which are Tier II compliant, economy with respect to any vehicle shall be with the taxpayer, ‘‘(v) the original use of which commences measured in a manner which is substantially ‘‘(iv) which is acquired for use or lease by with the taxpayer, similar to the manner city fuel economy is the taxpayer and not for resale, and ‘‘(vi) which is acquired for use or lease by measured in accordance with procedures ‘‘(v) which is made by a manufacturer. the taxpayer and not for resale, and under part 600 of subchapter Q of chapter I of

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title 40, Code of Federal Regulations, as in waiver under section 209(b) of the Clean Air ‘‘(1) QUALIFIED CLEAN-FUEL VEHICLE RE- effect on the date of the enactment of this Act), and FUELING PROPERTY.—The term ‘qualified section. ‘‘(B) the motor vehicle safety provisions of clean-fuel vehicle refueling property’ has the ‘‘(3) OTHER TERMS.—The terms ‘auto- sections 30101 through 30169 of title 49, same meaning given such term by section mobile’, ‘passenger automobile’, ‘medium United States Code. 179A(d). duty passenger vehicle’, ‘light truck’, and ‘‘(h) REGULATIONS.— ‘‘(2) RESIDENTIAL CLEAN-FUEL VEHICLE RE- ‘manufacturer’ have the meanings given ‘‘(1) IN GENERAL.—Except as provided in FUELING PROPERTY.—The term ‘residential such terms in regulations prescribed by the paragraph (2), the Secretary shall promul- clean-fuel vehicle refueling property’ means Administrator of the Environmental Protec- gate such regulations as necessary to carry qualified clean-fuel vehicle refueling prop- tion Agency for purposes of the administra- out the provisions of this section. erty which is installed on property which is tion of title II of the Clean Air Act (42 U.S.C. ‘‘(2) COORDINATION IN PRESCRIPTION OF CER- used as the principal residence (within the 7521 et seq.). TAIN REGULATIONS.—The Secretary of the meaning of section 121) of the taxpayer. ‘‘(4) REDUCTION IN BASIS.—For purposes of Treasury, in coordination with the Secretary ‘‘(3) RETAIL CLEAN-FUEL VEHICLE REFUELING this subtitle, the basis of any property for of Transportation and the Administrator of PROPERTY.—The term ‘retail clean-fuel vehi- which a credit is allowable under subsection the Environmental Protection Agency, shall cle refueling property’ means qualified (a) shall be reduced by the amount of such prescribe such regulations as necessary to clean-fuel vehicle refueling property which is credit so allowed (determined without regard determine whether a motor vehicle meets installed on property (other than property to subsection (e)). the requirements to be eligible for a credit described in paragraph (2)) used in a trade or business of the taxpayer. ‘‘(5) NO DOUBLE BENEFIT.—The amount of under this section. ‘‘(e) APPLICATION WITH OTHER CREDITS.— any deduction or other credit allowable ‘‘(i) APPLICATION OF SECTION.—This section shall apply to—— The credit allowed under subsection (a) for under this chapter with respect to a vehicle any taxable year shall not exceed the excess described under subsection (b) or (c), shall be ‘‘(1) any new qualified fuel cell motor vehicle (as described in subsection (b)) placed in (if any) of— reduced by the amount of credit allowed ‘‘(1) the regular tax for the taxable year re- under subsection (a) for such vehicle for the service after December 31, 2004, and purchased before January 1, 2015, and duced by the sum of the credits allowable taxable year. under subpart A and sections 27, 29, 30, and ‘‘(6) PROPERTY USED BY TAX-EXEMPT ENTI- ‘‘(2) any new qualified hybrid motor vehicle (as described in subsection (c)) or new 30B, over TIES.—In the case of a credit amount which ‘‘(2) the tentative minimum tax for the is allowable with respect to a motor vehicle qualified advanced lean burn technology motor vehicle (as described in subsection (d)) taxable year. which is acquired by an entity exempt from ‘‘(f) BASIS REDUCTION.—For purposes of this tax under this chapter, the person which placed in service after December 31, 2004, and purchased before January 1, 2010.’’. title, the basis of any property shall be re- sells or leases such vehicle to the entity duced by the portion of the cost of such prop- (b) CONFORMING AMENDMENTS.— shall be treated as the taxpayer with respect erty taken into account under subsection (a). (1) Section 1016(a) is amended by striking to the vehicle for purposes of this section ‘‘(g) NO DOUBLE BENEFIT.— ‘‘and’’ at the end of paragraph (27), by strik- and the credit shall be allowed to such per- ‘‘(1) COORDINATION WITH OTHER DEDUCTIONS ing the period at the end of paragraph (28) son, but only if the person clearly discloses AND CREDITS.—Except as provided in para- and inserting ‘‘, and’’, and by adding at the to the entity at the time of any sale or lease graph (2), the amount of any deduction or end the following new paragraph: the specific amount of any credit otherwise other credit allowable under this chapter for ‘‘(29) to the extent provided in section allowable to the entity under this section. any cost taken into account in computing 30B(g)(4).’’. ‘‘(7) RECAPTURE.—The Secretary shall, by the amount of the credit determined under (2) Section 55(c)(2) is amended by inserting regulations, provide for recapturing the ben- subsection (a) shall be reduced by the ‘‘30B(e),’’ after ‘‘30(b)(3),’’. efit of any credit allowable under subsection amount of such credit attributable to such (3) Section 6501(m) is amended by inserting (a) with respect to any property which ceases cost. ‘‘30B(g)(9),’’ after ‘‘30(d)(4),’’. to be property eligible for such credit (in- ‘‘(2) NO DEDUCTION ALLOWED UNDER SECTION (4) The table of sections for subpart B of cluding recapture in the case of a lease pe- 179A.—No deduction shall be allowed under part IV of subchapter A of chapter 1 is riod of less than the economic life of a vehi- section 179A with respect to any property amended by inserting after the item relating cle). with respect to which a credit is allowed to section 30A the following new item: ‘‘(8) PROPERTY USED OUTSIDE UNITED under subsection (a). STATES, ETC., NOT QUALIFIED.—No credit shall ‘‘Sec. 30B. Alternative motor vehicle ‘‘(h) REFUELING PROPERTY INSTALLED FOR be allowed under subsection (a) with respect credit.’’. TAX-EXEMPT ENTITIES.—In the case of quali- to any property referred to in section 50(b) or (c) EFFECTIVE DATE.—The amendments fied clean-fuel vehicle refueling property in- with respect to the portion of the cost of any made by this section shall apply to property stalled on property owned or used by an enti- property taken into account under section placed in service after the date of the enact- ty exempt from tax under this chapter, the 179. ment of this Act, in taxable years ending person which installs such refueling property ‘‘(9) ELECTION TO NOT TAKE CREDIT.—No after such date. for the entity shall be treated as the tax- credit shall be allowed under subsection (a) SEC. 5672. CREDIT FOR INSTALLATION OF ALTER- payer with respect to the refueling property for any vehicle if the taxpayer elects to not NATIVE FUELING STATIONS. for purposes of this section (and such refuel- have this section apply to such vehicle. (a) IN GENERAL.—Subpart B of part IV of ing property shall be treated as retail clean- ‘‘(10) CARRYBACK AND CARRYFORWARD AL- subchapter A of chapter 1 (relating to foreign fuel vehicle refueling property) and the cred- LOWED.— tax credit, etc.), as amended by this Act, is it shall be allowed to such person, but only ‘‘(A) IN GENERAL.—If the credit allowable amended by adding at the end the following if the person clearly discloses to the entity under subsection (a) for a taxable year ex- new section: in any installation contract the specific amount of the credit allowable under this ceeds the amount of the limitation under ‘‘SEC. 30C. CLEAN-FUEL VEHICLE REFUELING subsection (e) for such taxable year (in this PROPERTY CREDIT. section. ‘‘(i) CARRYFORWARD ALLOWED.— paragraph referred to as the ‘unused credit ‘‘(a) CREDIT ALLOWED.—There shall be al- ‘‘(1) IN GENERAL.—If the credit allowable year’), such excess shall be a credit lowed as a credit against the tax imposed by under subsection (a) for a taxable year ex- carryback to each of the 3 taxable years pre- this chapter for the taxable year an amount ceeds the amount of the limitation under ceding the unused credit year and a credit equal to 50 percent of the amount paid or in- subsection (e) for such taxable year, such ex- carryforward to each of the 20 taxable years curred by the taxpayer during the taxable cess shall be a credit carryforward to each of following the unused credit year, except that year for the installation of qualified clean- the 20 taxable years following such taxable no excess may be carried to a taxable year fuel vehicle refueling property. year. beginning before the date of the enactment ‘‘(b) LIMITATION.—The credit allowed under ‘‘(2) RULES.—Rules similar to the rules of of this paragraph. subsection (a)— section 39 shall apply with respect to the ‘‘(B) RULES.—Rules similar to the rules of ‘‘(1) with respect to any retail clean-fuel credit carryforward under paragraph (1). section 39 shall apply with respect to the vehicle refueling property, shall not exceed ‘‘(j) SPECIAL RULES.—Rules similar to the credit carryback and credit carryforward $30,000, and rules of paragraphs (4) and (5) of section under subparagraph (A). ‘‘(2) with respect to any residential clean- 179A(e) shall apply. ‘‘(11) INTERACTION WITH AIR QUALITY AND fuel vehicle refueling property, shall not ex- ‘‘(k) REGULATIONS.—The Secretary shall MOTOR VEHICLE SAFETY STANDARDS.—Unless ceed $1,000. prescribe such regulations as necessary to otherwise provided in this section, a motor ‘‘(c) YEAR CREDIT ALLOWED.—Notwith- carry out the provisions of this section. vehicle shall not be considered eligible for a standing subsection (a), no credit shall be al- ‘‘(l) TERMINATION.—This section shall not credit under this section unless such vehicle lowed under subsection (a) with respect to apply to any property placed in service— is in compliance with— any qualified clean-fuel vehicle refueling ‘‘(1) in the case of property relating to hy- ‘‘(A) the applicable provisions of the Clean property before the taxable year in which drogen, after December 31, 2011, and Air Act for the applicable make and model the property is placed in service by the tax- ‘‘(2) in the case of any other property, after year of the vehicle (or applicable air quality payer. December 31, 2007.’’. provisions of State law in the case of a State ‘‘(d) DEFINITIONS.—For purposes of this sec- (b) MODIFICATIONS TO EXTENSION OF DEDUC- which has adopted such provision under a tion— TION FOR CERTAIN REFUELING PROPERTY.—

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(1) INCREASE IN DEDUCTION FOR HYDROGEN ‘‘(1) AMOUNT OF PENALTY.—The amount of (c) PENALTY NOT DEDUCTIBLE.—Section 6701 INFRASTRUCTURE.—Section 179A(b)(2)(A)(i) is the penalty imposed by subsection (a) shall is amended by adding at the end the fol- amended by inserting ‘‘($200,000 in the case of not exceed the greater of— lowing new subsection: property relating to hydrogen)’’ after ‘‘(A) 150 percent of the gross income de- ‘‘(g) PENALTY NOT DEDUCTIBLE.—The pay- ‘‘$100,000’’. rived (or to be derived) from such activity by ment of any penalty imposed under this sec- (2) EXTENSION OF DEDUCTION.—Subsection the person or persons subject to such pen- tion or the payment of any amount to settle (f) of section 179A is amended to read as fol- alty, and or avoid the imposition of such penalty shall lows: ‘‘(B) if readily subject to calculation, the not be considered an ordinary and necessary ‘‘(f) TERMINATION.—This section shall not total amount of underpayment by the tax- expense in carrying on a trade or business apply to any property placed in service— payer (including penalties, interest, and for purposes of this title and shall not be de- ‘‘(1) in the case of property relating to hy- taxes) in connection with such activity. ductible by the person who is subject to such drogen, after December 31, 2011, and ‘‘(2) CALCULATION OF PENALTY.—The pen- penalty or who makes such payment.’’. ‘‘(2) in the case of any other property, after alty amount determined under paragraph (1) (d) EFFECTIVE DATE.—The amendments December 31, 2007.’’. shall be calculated with respect to each in- made by this section shall apply to activities (3) EXTENSION OF PHASEOUT.—Section stance of an activity described in subsection after the date of the enactment of this Act. 179A(b)(1)(B) is amended— (a), each instance in which income was de- SEC. 5677. PENALTY FOR FAILURE TO REGISTER (A) by striking ‘‘calendar year 2004’’ in rived by the person or persons subject to TAX SHELTER. clause (i) and inserting ‘‘calendar years 2004 such penalty, and each person who partici- (a) IN GENERAL.—Section 6707 (relating to and 2005 (calendar years 2004 through 2009 in pated in such an activity. failure to furnish information regarding tax the case of property relating to hydrogen)’’, ‘‘(3) LIABILITY FOR PENALTY.—If more than shelters) is amended to read as follows: (B) by striking ‘‘2005’’ in clause (ii) and in- 1 person is liable under subsection (a) with ‘‘SEC. 6707. FAILURE TO FURNISH INFORMATION serting ‘‘2006 (calendar year 2010 in the case respect to such activity, all such persons ON POTENTIALLY ABUSIVE TAX of property relating to hydrogen)’’, and shall be jointly and severally liable for the SHELTER OR LISTED TRANSACTION. (C) by striking ‘‘2006’’ in clause (iii) and in- penalty under such subsection. ‘‘(a) IN GENERAL.—If a person who is re- serting ‘‘2007 (calendar year 2011 in the case ‘‘(c) PENALTY NOT DEDUCTIBLE.—The pay- quired to file a return under section 6111 of property relating to hydrogen)’’. ment of any penalty imposed under this sec- with respect to any potentially abusive tax shelter— (c) INCENTIVE FOR PRODUCTION OF HYDRO- tion or the payment of any amount to settle ‘‘(1) fails to file such return on or before GEN AT QUALIFIED CLEAN-FUEL VEHICLE RE- or avoid the imposition of such penalty shall the date prescribed therefor, or FUELING PROPERTY.—Section 179A(d) (defin- not be considered an ordinary and necessary ing qualified clean-fuel vehicle refueling expense in carrying on a trade or business ‘‘(2) files false or incomplete information property) is amended by adding at the end for purposes of this title and shall not be de- with the Secretary with respect to such shel- the following new flush sentence: ductible by the person who is subject to such ter, such person shall pay a penalty with respect ‘‘In the case of clean-burning fuel which is penalty or who makes such payment.’’. (b) EFFECTIVE DATE.—The amendments to such return in the amount determined hydrogen produced from another clean-burn- made by this section shall apply to activities under subsection (b). ing fuel, paragraph (3)(A) shall be applied by after the date of the enactment of this Act. ‘‘(b) AMOUNT OF PENALTY.— substituting ‘production, storage, or dis- (c) PRIOR SECTION TO HAVE NO EFFECT.— ‘‘(1) IN GENERAL.—Except as provided in pensing’ for ‘storage or dispensing’ both Notwithstanding section 5625 of this Act, paragraph (2), the penalty imposed under places it appears.’’. such section, and the amendments made by subsection (a) with respect to any failure (d) CONFORMING AMENDMENTS.— such section, shall not take effect. shall be not less than $50,000 and not more (1) Section 1016(a), as amended by this Act, SEC. 5676. PENALTY FOR AIDING AND ABETTING than $100,000. is amended by striking ‘‘and’’ at the end of THE UNDERSTATEMENT OF TAX LI- ‘‘(2) LISTED TRANSACTIONS.—The penalty paragraph (28), by striking the period at the ABILITY. imposed under subsection (a) with respect to end of paragraph (29) and inserting ‘‘, and’’, (a) IN GENERAL.—Section 6701(a) (relating any listed transaction shall be an amount and by adding at the end the following new to imposition of penalty) is amended— equal to the greater of— paragraph: (1) by inserting ‘‘the tax liability or’’ after ‘‘(A) $200,000, or ‘‘(30) to the extent provided in section ‘‘respect to,’’ in paragraph (1), ‘‘(B) 100 percent of the gross income de- 30C(f).’’. (2) by inserting ‘‘aid, assistance, procure- rived by such person for providing aid, as- (2) Section 55(c)(2), as amended by this Act, ment, or advice with respect to such’’ before sistance, procurement, advice, or other serv- is amended by inserting ‘‘30C(e),’’ after ‘‘portion’’ both places it appears in para- ices with respect to the listed transaction ‘‘30B(e),’’. graphs (2) and (3), and before the date the return including the (3) The table of sections for subpart B of (3) by inserting ‘‘instance of aid, assist- transaction is filed under section 6111. part IV of subchapter A of chapter 1, as ance, procurement, or advice or each such’’ Subparagraph (B) shall be applied by sub- amended by this Act, is amended by insert- before ‘‘document’’ in the matter following stituting ‘150 percent’ for ‘100 percent’ in the ing after the item relating to section 30B the paragraph (3). case of an intentional failure or act de- following new item: (b) AMOUNT OF PENALTY.—Subsection (b) of scribed in subsection (a). ‘‘Sec. 30C. Clean-fuel vehicle refueling section 6701 (relating to penalties for aiding ‘‘(c) CERTAIN RULES TO APPLY.—The provi- property credit.’’. and abetting understatement of tax liability) sions of section 6707A(d) allowing the Com- (e) EFFECTIVE DATE.—The amendments is amended to read as follows: missioner of Internal Revenue to rescind a made by this section shall apply to property ‘‘(b) AMOUNT OF PENALTY; CALCULATION OF penalty under certain circumstances shall placed in service after the date of the enact- PENALTY; LIABILITY FOR PENALTY.— apply to any penalty imposed under this sec- ment of this Act, in taxable years ending ‘‘(1) AMOUNT OF PENALTY.—The amount of tion. after such date. the penalty imposed by subsection (a) shall ‘‘(d) POTENTIALLY ABUSIVE TAX SHELTERS not exceed the greater of— SEC. 5673. BIODIESEL CREDIT EXPANSION. AND LISTED TRANSACTIONS.—The terms ‘po- ‘‘(i) 150 percent of the gross income derived Section 312(b) of the Energy Policy Act of tentially abusive tax shelter’ and ‘listed (or to be derived) from such aid, assistance, 1992 (42 U.S.C. 13220(b)) is amended— transaction’ have the respective meanings procurement, or advice provided by the per- (1) by striking ‘‘CREDITS.—’’ and all that given to such terms by section 6707A(c). son or persons subject to such penalty, and follows through ‘‘At the request’’ and insert- ‘‘(e) PENALTY NOT DEDUCTIBLE.—The pay- ‘‘(ii) if readily subject to calculation, the ing ‘‘CREDITS.—At the request’’; and ment of any penalty imposed under this sec- total amount of underpayment by the tax- (2) by striking paragraph (2). tion or the payment of any amount to settle payer (including penalties, interest, and or avoid the imposition of such penalty shall PART II—REVENUE PROVISIONS taxes) in connection with the understate- not be considered an ordinary and necessary SEC. 5675. PENALTY FOR PROMOTING ABUSIVE ment of the liability for tax. expense in carrying on a trade or business TAX SHELTERS. ‘‘(2) CALCULATION OF PENALTY.—The pen- for purposes of this title and shall not be de- (a) PENALTY FOR PROMOTING ABUSIVE TAX alty amount determined under paragraph (1) ductible by the person who is subject to such SHELTERS.—Section 6700 (relating to pro- shall be calculated with respect to each in- penalty or who makes such payment.’’. moting abusive tax shelters, etc.) is amend- stance of aid, assistance, procurement, or ad- (b) CLERICAL AMENDMENT.—The item related— vice described in subsection (a), each in- ing to section 6707 in the table of sections for (1) by redesignating subsections (b) and (c) stance in which income was derived by the part I of subchapter B of chapter 68 is as subsections (d) and (e), respectively, person or persons subject to such penalty, amended by striking ‘‘regarding tax shel- (2) by striking ‘‘a penalty’’ and all that fol- and each person who made such an under- ters’’ and inserting ‘‘on potentially abusive lows through the period in the first sentence statement of the liability for tax. tax shelter or listed transaction’’. of subsection (a) and inserting ‘‘a penalty de- ‘‘(3) LIABILITY FOR PENALTY.—If more than (c) EFFECTIVE DATE.—The amendments termined under subsection (b)’’, and 1 person is liable under subsection (a) with made by this section shall apply to returns (3) by inserting after subsection (a) the fol- respect to providing such aid, assistance, the due date for which is after the date of lowing new subsections: procurement, or advice, all such persons the enactment of this Act. ‘‘(b) AMOUNT OF PENALTY; CALCULATION OF shall be jointly and severally liable for the (d) PRIOR SECTION TO HAVE NO EFFECT.— PENALTY; LIABILITY FOR PENALTY.— penalty under such subsection.’’. Notwithstanding section 5618(c) of this Act,

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00172 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1129 such section, and the amendments made by that such transaction has a potential for tax for such periods as the Secretary shall speci- such section, shall not take effect. avoidance or evasion. fy. Failure to make a disclosure in accord- SEC. 5678. PENALTY FOR FAILING TO MAINTAIN ‘‘(2) LISTED TRANSACTION.—Except as pro- ance with the preceding sentence shall be CLIENT LIST. vided in regulations, the term ‘listed trans- treated as a failure to which the penalty (a) IN GENERAL.—Subsection (a) of section action’ means a potentially abusive tax shel- under subsection (b)(2) applies. 6708 (relating to failure to maintain lists of ter which is the same as, or substantially ‘‘(f) PENALTY IN ADDITION TO OTHER PEN- investors in potentially abusive tax shelters) similar to, a transaction specifically identi- ALTIES.—The penalty imposed by this section is amended to read as follows: fied by the Secretary as a tax avoidance shall be in addition to any other penalty pro- ‘‘(a) IMPOSITION OF PENALTY.— transaction for purposes of section 6011. vided by law. ‘‘(1) IN GENERAL.—If any person who is re- ‘‘(d) AUTHORITY TO RESCIND PENALTY.— ‘‘(g) PENALTY NOT DEDUCTIBLE.—The pay- quired to maintain a list under section ‘‘(1) IN GENERAL.—The Commissioner of In- ment of any penalty imposed under this sec- 6112(a) fails to make such list available upon ternal Revenue may rescind all or any portion or the payment of any amount to settle written request to the Secretary in accord- tion of a penalty imposed by this section or avoid the imposition of such penalty shall ance with section 6112(b)(1)(A) within 20 busi- with respect to any violation if— not be considered an ordinary and necessary ness days after the date of the Secretary’s ‘‘(A) the violation is with respect to a po- expense in carrying on a trade or business request, such person shall pay a penalty of tentially abusive tax shelter other than a for purposes of this title and shall not be de- $10,000 for each day of such failure after such listed transaction, ductible by the person who is subject to such 20th day. If such person makes available an ‘‘(B) the person on whom the penalty is im- penalty or who makes such payment.’’. incomplete list upon such request, such per- posed has a history of complying with the re- (b) CONFORMING AMENDMENT.—The table of son shall pay a penalty of $100 per each omit- quirements of this title, sections for part I of subchapter B of chapter ted name for each day of such omission after ‘‘(C) it is shown that the violation is due to 68 is amended by inserting after the item re- such 20th day. an unintentional mistake of fact, lating to section 6707 the following: ‘‘(2) GOOD CAUSE EXCEPTION.—No penalty ‘‘(D) imposing the penalty would be against equity and good conscience, and ‘‘Sec. 6707A. Penalty for failure to include shall be imposed by paragraph (1) with re- potentially abusive tax shelter spect to the failure on any day if, in the ‘‘(E) rescinding the penalty would promote compliance with the requirements of this information with return or judgment of the Secretary, such failure is statement.’’. due to good cause.’’. title and effective tax administration. ‘‘(2) DISCRETION.—The exercise of authority (c) EFFECTIVE DATE.—The amendments (b) PENALTY NOT DEDUCTIBLE.—Section made by this section shall apply to returns 6708 is amended by adding at the end the fol- under paragraph (1) shall be at the sole discretion of the Commissioner and may be del- and statements the due date for which is lowing new subsection: after the date of the enactment of this Act. ‘‘(c) PENALTY NOT DEDUCTIBLE.—The pay- egated only to the head of the Office of Tax Shelter Analysis. The Commissioner, in the (d) PRIOR SECTION TO HAVE NO EFFECT.— ment of any penalty imposed under this sec- Notwithstanding section 5612(c) of this Act, tion or the payment of any amount to settle Commissioner’s sole discretion, may establish a procedure to determine if a penalty such section, and the amendments made by or avoid the imposition of such penalty shall such section, shall not take effect. not be considered an ordinary and necessary should be referred to the Commissioner or the head of such Office for a determination SEC. 5680. IMPROVED DISCLOSURE OF POTEN- expense in carrying on a trade or business TIALLY ABUSIVE TAX SHELTERS. for purposes of this title and shall not be de- under paragraph (1). (a) IN GENERAL.—Section 6111 (relating to ductible by the person who is subject to such ‘‘(3) NO APPEAL.—Notwithstanding any other provision of law, any determination registration of tax shelters) is amended to penalty or who makes such payment.’’. read as follows: (c) EFFECTIVE DATE.—The amendments under this subsection may not be reviewed in made by this section shall apply to requests any administrative or judicial proceeding. ‘‘SEC. 6111. DISCLOSURE OF POTENTIALLY ABU- SIVE TAX SHELTERS. made by the Secretary of the Treasury after ‘‘(4) RECORDS.—If a penalty is rescinded under paragraph (1), the Commissioner shall ‘‘(a) IN GENERAL.—Each material advisor the date of the enactment of this Act. with respect to any potentially abusive tax (d) PRIOR SECTION TO HAVE NO EFFECT.— place in the file in the Office of the Commis- shelter shall make a return (in such form as Notwithstanding section 5619(b) of this Act, sioner the opinion of the Commissioner or the Secretary may prescribe) setting forth— such section, and the amendments made by the head of the Office of Tax Shelter Anal- ‘‘(1) information identifying and describing such section, shall not take effect. ysis with respect to the determination, including— such shelter, SEC. 5679. PENALTY FOR FAILING TO DISCLOSE ‘‘(2) information describing any potential POTENTIALLY ABUSIVE TAX SHEL- ‘‘(A) the facts and circumstances of the TER. transaction, tax benefits expected to result from the shelter, and (a) IN GENERAL.—Part I of subchapter B of ‘‘(B) the reasons for the rescission, and chapter 68 (relating to assessable penalties) ‘‘(C) the amount of the penalty rescinded. ‘‘(3) such other information as the Sec- is amended by inserting after section 6707 A copy of such opinion shall be provided retary may prescribe. the following new section: upon written request to the Committee on Such return shall be filed not later than the ‘‘SEC. 6707A. PENALTY FOR FAILURE TO INCLUDE Ways and Means of the House of Representa- date which is 30 days before the date on POTENTIALLY ABUSIVE TAX SHEL- tives, the Committee on Finance of the Sen- which the first sale of such shelter occurs or TER INFORMATION WITH RETURN ate, the Joint Committee on Taxation, or on any other date specified by the Secretary. OR STATEMENT. the General Accounting Office. ‘‘(b) DEFINITIONS.—For purposes of this sec- ‘‘(a) IMPOSITION OF PENALTY.—Any person ‘‘(5) REPORT.—The Commissioner shall tion— who fails to include on any return or state- each year report to the Committee on Ways ‘‘(1) MATERIAL ADVISOR.— ment any information with respect to a po- and Means of the House of Representatives ‘‘(A) IN GENERAL.—The term ‘material ad- tentially abusive tax shelter which is re- and the Committee on Finance of the Sen- visor’ means any person— quired under section 6011 to be included with ate— ‘‘(i) who provides any material aid, assist- such return or statement shall pay a penalty ‘‘(A) a summary of the total number and ance, or advice with respect to designing, or- in the amount determined under subsection aggregate amount of penalties imposed, and ganizing, managing, promoting, selling, im- (b). rescinded, under this section, and plementing, or carrying out any potentially ‘‘(b) AMOUNT OF PENALTY.— ‘‘(B) a description of each penalty re- abusive tax shelter, and ‘‘(1) IN GENERAL.—Except as provided in scinded under this subsection and the rea- ‘‘(ii) who directly or indirectly derives paragraphs (2) and (3), the amount of the sons therefor. gross income in excess of the threshold penalty under subsection (a) shall be $50,000. ‘‘(e) PENALTY REPORTED TO SEC.—In the amount for such aid, assistance, or advice. ‘‘(2) LISTED TRANSACTION.—Except as pro- case of a person— ‘‘(B) THRESHOLD AMOUNT.—For purposes of vided in paragraph 3, the amount of the pen- ‘‘(1) which is required to file periodic re- subparagraph (A), the threshold amount is— alty under subsection (a) with respect to a ports under section 13 or 15(d) of the Securi- ‘‘(i) $50,000 in the case of a potentially abu- listed transaction shall be $100,000. ties Exchange Act of 1934 or is required to be sive tax shelter substantially all of the tax ‘‘(3) INCREASE IN PENALTY FOR INTENTIONAL consolidated with another person for pur- benefits from which are provided to natural NONDISCLOSURE.—In the case of an inten- poses of such reports, and persons, and tional failure by any person under subsection ‘‘(2) which— ‘‘(ii) $100,000 in any other case. (a), the penalty under paragraph (1) shall be ‘‘(A) is required to pay a penalty under this ‘‘(2) POTENTIALLY ABUSIVE TAX SHELTER.— $100,000 and the penalty under paragraph (2) section with respect to a listed transaction, The term ‘potentially abusive tax shelter’ shall be $200,000. ‘‘(B) is required to pay a penalty under sec- has the meaning given to such term by sec- ‘‘(c) DEFINITIONS.—For purposes of this section 6662A with respect to any potentially tion 6707A(c). tion— abusive tax shelter at a rate prescribed ‘‘(c) REGULATIONS.—The Secretary may ‘‘(1) POTENTIALLY ABUSIVE TAX SHELTER.— under section 6662A(c), or prescribe regulations which provide— The term ‘potentially abusive tax shelter’ ‘‘(C) is required to pay a penalty under sec- ‘‘(1) that only 1 person shall be required to means any transaction with respect to which tion 6662B with respect to any noneconomic meet the requirements of subsection (a) in information is required to be included with a substance transaction, cases in which 2 or more persons would oth- return or statement, because the Secretary the requirement to pay such penalty shall be erwise be required to meet such require- has determined by regulation or otherwise disclosed in such reports filed by such person ments,

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00173 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1130 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(2) exemptions from the requirements of SEC. 5681. EXTENSION OF STATUTE OF LIMITA- SEC. 5683. CENSURE, CIVIL FINES, AND TAX OPIN- this section, and TIONS FOR UNDISCLOSED TAX SHEL- ION STANDARDS FOR TAX PRACTI- ‘‘(3) such rules as may be necessary or ap- TER. TIONERS. propriate to carry out the purposes of this (a) IN GENERAL.—Section 6501(c) (relating (a) CENSURE; IMPOSITION OF MONETARY PEN- section.’’. to exceptions) is amended by adding at the ALTY.— end the following new paragraph: (1) IN GENERAL.—Section 330(b) of title 31, (b) CONFORMING AMENDMENTS.— ‘‘(10) POTENTIALLY ABUSIVE TAX SHEL- United States Code, is amended— (1) The item relating to section 6111 in the TERS.—If a taxpayer fails to include on any (A) by inserting ‘‘, or censure,’’ after ‘‘De- table of sections for subchapter B of chapter return or statement for any taxable year any partment’’, and 61 is amended to read as follows: information with respect to a potentially (B) by adding at the end the following new ‘‘Sec. 6111. Disclosure of potentially abusive abusive tax shelter (as defined in section flush sentence: tax shelters.’’. 6707A(c)) which is required under section 6011 ‘‘The Secretary may impose a monetary pen- to be included with such return or state- (2)(A) So much of section 6112 as precedes alty on any representative described in the ment, the time for assessment of any tax im- subsection (c) thereof is amended to read as preceding sentence. If the representative was posed by this title with respect to such follows: acting on behalf of an employer or any firm transaction shall not expire before the date or other entity in connection with the con- ‘‘SEC. 6112. MATERIAL ADVISORS OF POTEN- which is 2 years after the earlier of— duct giving rise to such penalty, the Sec- TIALLY ABUSIVE TAX SHELTERS ‘‘(A) the date on which the Secretary is retary may impose a monetary penalty on MUST KEEP CLIENT LISTS. furnished the information so required; or such employer, firm, or entity if it knew, or ‘‘(a) IN GENERAL.—Each material advisor ‘‘(B) the date that a material advisor (as reasonably should have known, of such con- (as defined in section 6111) with respect to defined in section 6111) meets the require- duct. Such penalty may be in addition to, or any potentially abusive tax shelter (as de- ments of section 6112 with respect to a rein lieu of, any suspension, disbarment, or fined in section 6707A(c)) shall maintain, in quest by the Secretary under section 6112(b) censure of the representative.’’. such manner as the Secretary may by regu- relating to such transaction with respect to (2) EFFECTIVE DATE.—The amendments lations prescribe, a list— such taxpayer.’’. made by this subsection shall apply to ac- ‘‘(1) identifying each person with respect to (b) EFFECTIVE DATE.—The amendment tions taken after the date of the enactment whom such advisor acted as such a material made by this section shall apply to taxable of this Act. advisor with respect to such shelter, and years with respect to which the period for as- (b) TAX OPINION STANDARDS.—Section 330 ‘‘(2) containing such other information as sessing a deficiency did not expire before the of such title 31 is amended by adding at the the Secretary may by regulations require. date of the enactment of this Act. end the following new subsection: (c) PRIOR SECTION TO HAVE NO EFFECT.— ‘‘(d) The Secretary of the Treasury shall This section shall apply without regard to Notwithstanding section 5626(b) of this Act, impose standards applicable to the rendering whether a material advisor is required to file such section, and the amendments made by of written advice with respect to any poten- a return under section 6111 with respect to such section, shall not take effect. tially abusive tax shelter or any entity, plan, such transaction.’’. SEC. 5682. PENALTY FOR FAILING TO REPORT IN- arrangement, or transaction which has a po- (B) Section 6112 is amended by redesig- TERESTS IN FOREIGN FINANCIAL tential for tax avoidance or evasion. Such nating subsection (c) as subsection (b). ACCOUNTS. standards shall address, but not be limited (C) Section 6112(b), as redesignated by sub- (a) IN GENERAL.—Section 5321(a)(5) of title to, the following issues: paragraph (B), is amended— 31, United States Code, is amended to read as ‘‘(1) Independence of the practitioner (i) by inserting ‘‘written’’ before ‘‘request’’ follows: issuing such written advice from persons in paragraph (1)(A), and ‘‘(5) FOREIGN FINANCIAL AGENCY TRANS- promoting, marketing, or recommending the (ii) by striking ‘‘shall prescribe’’ in para- ACTION VIOLATION.— subject of the advice. graph (2) and inserting ‘‘may prescribe’’. ‘‘(A) PENALTY AUTHORIZED.—The Secretary ‘‘(2) Collaboration among practitioners, or (D) The item relating to section 6112 in the of the Treasury may impose a civil money between a practitioner and other party, table of sections for subchapter B of chapter penalty on any person who violates, or which could result in such collaborating par- 61 is amended to read as follows: causes any violation of, any provision of sec- ties having a joint financial interest in the tion 5314. subject of the advice. ‘‘Sec. 6112. Material advisors of potentially ‘‘(B) AMOUNT OF PENALTY.— ‘‘(3) Avoidance of conflicts of interest abusive tax shelters must keep ‘‘(i) IN GENERAL.—Except as provided in which would impair auditor independence. client lists.’’. subparagraph (C), the amount of any civil ‘‘(4) For written advice issued by a firm, (3)(A) The heading for section 6708 is penalty imposed under subparagraph (A) standards for reviewing the advice and en- amended to read as follows: shall not exceed $10,000. suring the consensus support of the firm for ‘‘SEC. 6708. FAILURE TO MAINTAIN CLIENT LISTS ‘‘(ii) REASONABLE CAUSE EXCEPTION.—No positions taken. WITH RESPECT TO POTENTIALLY penalty shall be imposed under subparagraph ‘‘(5) Reliance on reasonable factual rep- ABUSIVE TAX SHELTERS.’’. (A) with respect to any violation if— resentations by the taxpayer and other par- (B) The item relating to section 6708 in the ‘‘(I) such violation was due to reasonable ties. table of sections for part I of subchapter B of cause, and ‘‘(6) Appropriateness of the fees charged by chapter 68 is amended to read as follows: ‘‘(II) the amount of the transaction or the the practitioner for the written advice.’’. balance in the account at the time of the (c) PRIOR SECTION TO HAVE NO EFFECT.— ‘‘Sec. 6708. Failure to maintain client lists transaction was properly reported. Notwithstanding section 5624(a)(2) of this with respect to potentially abu- ‘‘(C) WILLFUL VIOLATIONS.—In the case of Act, such section, and the amendments made sive tax shelters.’’. any person willfully violating, or willfully by such section, shall not take effect. (c) REQUIRED DISCLOSURE NOT SUBJECT TO causing any violation of, any provision of SEC. 5684. PREVENTING CORPORATE EXPATRIA- CLAIM OF CONFIDENTIALITY.—Section section 5314, the amount of the civil penalty TION TO AVOID UNITED STATES IN- 6112(b)(1), as redesignated by subsection imposed under subparagraph (A) shall be— COME TAX. (b)(2)(B), is amended by adding at the end the ‘‘(i) not less than $5,000, (a) IN GENERAL.—Paragraph (4) of section following new flush sentence: ‘‘(ii) not more than 50 percent of the 7701(a) (defining domestic) is amended to read as follows: ‘‘For purposes of this section, the identity of amount determined under subparagraph (D), and ‘‘(4) DOMESTIC.— any person on such list shall not be privi- ‘‘(A) IN GENERAL.—Except as provided in leged.’’. ‘‘(iii) subparagraph (B)(ii) shall not apply. ‘‘(D) AMOUNT.—The amount determined subparagraph (B), the term ‘domestic’ when (d) EFFECTIVE DATE.— under this subparagraph is— applied to a corporation or partnership (1) IN GENERAL.—Except as provided in ‘‘(i) in the case of a violation involving a means created or organized in the United paragraph (2), the amendments made by this transaction, the amount of the transaction, States or under the law of the United States section shall apply to transactions with re- or or of any State unless, in the case of a part- spect to which material aid, assistance, or ‘‘(ii) in the case of a violation involving a nership, the Secretary provides otherwise by advice referred to in section 6111(b)(1)(A)(i) failure to report the existence of an account regulations. of the Internal Revenue Code of 1986 (as or any identifying information required to be ‘‘(B) CERTAIN CORPORATIONS TREATED AS DO- added by this section) is provided after the provided with respect to an account, the bal- MESTIC.— date of the enactment of this Act. ance in the account at the time of the viola- ‘‘(i) IN GENERAL.—The acquiring corpora- (2) NO CLAIM OF CONFIDENTIALITY AGAINST tion.’’. tion in a corporate expatriation transaction DISCLOSURE.—The amendment made by sub- (b) EFFECTIVE DATE.—The amendment shall be treated as a domestic corporation. section (c) shall take effect as if included in made by this section shall apply to viola- ‘‘(ii) CORPORATE EXPATRIATION TRANS- the amendments made by section 142 of the tions occurring after the date of the enact- ACTION.—For purposes of this subparagraph, Deficit Reduction Act of 1984. ment of this Act. the term ‘corporate expatriation trans- (e) PRIOR SECTION TO HAVE NO EFFECT.— (c) PRIOR SECTION TO HAVE NO EFFECT.— action’ means any transaction if— Notwithstanding section 5617(d) of this Act, Notwithstanding section 5622(b) of this Act, ‘‘(I) a nominally foreign corporation (re- such section, and the amendments made by such section, and the amendments made by ferred to in this subparagraph as the ‘acquir- such section, shall not take effect. such section, shall not take effect. ing corporation’) acquires, as a result of such

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00174 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1131 transaction, directly or indirectly substan- INHOFE to the bill S. 1072, to authorize SA 2456. Mr. BYRD submitted an tially all of the properties held directly or funds for Federal-aid highways, high- amendment intended to be proposed to indirectly by a domestic corporation, and way safety programs, and transit pro- amendment SA 2285 proposed by Mr. ‘‘(II) immediately after the transaction, more than 80 percent of the stock (by vote or grams, and for other purposes; which INHOFE to the bill S. 1072, to authorize value) of the acquiring corporation is held by was ordered to lie on the table; as fol- funds for Federal-aid highways, high- former shareholders of the domestic corpora- lows: way safety programs, and transit pro- tion by reason of holding stock in the domes- On page 376, between the matter following grams, and for other purposes; which tic corporation. line 6 and line 7, insert the following: was ordered to lie on the table; as fol- ‘‘(iii) LOWER STOCK OWNERSHIP REQUIRE- SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- lows: MENT IN CERTAIN CASES.—Subclause (II) of WAY SYSTEM COMPLETION PRO- On page 376, between the matter following clause (ii) shall be applied by substituting ‘50 GRAM. line 6 and line 7, insert the following: percent’ for ‘80 percent’ with respect to any (a) IN GENERAL.—Subchapter I of chapter 1 nominally foreign corporation if— of title 23, United States Code (as amended SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- ‘‘(I) such corporation does not have sub- by section 1815(a)), is amended by adding at WAY SYSTEM COMPLETION PRO- GRAM. stantial business activities (when compared the end the following: (a) IN GENERAL.—Subchapter I of chapter 1 to the total business activities of the ex- ‘‘§ 178. Appalachian development highway of title 23, United States Code (as amended panded affiliated group) in the foreign coun- system completion program by section 1815(a)), is amended by adding at try in which or under the law of which the ‘‘(a) IN GENERAL.—The Secretary shall corporation is created or organized, and the end the following: carry out a program, to be known as the ‘Ap- ‘‘(II) the stock of the corporation is pub- ‘‘§ 178. Appalachian development highway palachian development highway system com- licly traded and the principal market for the system completion program pletion program’ (referred to in this section public trading of such stock is in the United ‘‘(a) IN GENERAL.—The Secretary shall as the ‘program’), to allocate capital funding States. carry out a program, to be known as the ‘Ap- to expedite the completion of ‘ready-to-go’ ‘‘(iv) PARTNERSHIP TRANSACTIONS.—The palachian development highway system com- segments of the Appalachian development term ‘corporate expatriation transaction’ in- pletion program’ (referred to in this section highway system. cludes any transaction if— as the ‘program’), to allocate capital funding ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- ‘‘(I) a nominally foreign corporation (re- to expedite the completion of ‘ready-to-go’ ferred to in this subparagraph as the ‘acquir- ceives an allocation of funds under this section shall use the funds to construct high- segments of the Appalachian development ing corporation’) acquires, as a result of such highway system. transaction, directly or indirectly properties ways and access roads in accordance with chapter 145 of title 40. ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- constituting a trade or business of a domes- ceives an allocation of funds under this sec- ‘‘(c) ALLOCATION OF FUNDS.—The Secretary tic partnership, tion shall use the funds to construct high- ‘‘(II) immediately after the transaction, shall allocate funds under the program to each State all counties of which are located, ways and access roads in accordance with more than 80 percent of the stock (by vote or chapter 145 of title 40. value) of the acquiring corporation is held by as of the date of enactment of this section, within the established 13-State Appalachian ‘‘(c) ALLOCATION OF FUNDS.—The Secretary former partners of the domestic partnership shall allocate funds under the program to or related foreign partnerships (determined region, as determined by the Appalachian Regional Commission. each State all counties of which are located, without regard to stock of the acquiring cor- as of the date of enactment of this section, poration which is sold in a public offering re- ‘‘(d) FEDERAL SHARE.—The Federal share of the cost of carrying out any project or activ- within the established 13-State Appalachian lated to the transaction), and region, as determined by the Appalachian ‘‘(III) the acquiring corporation meets the ity using funds allocated under the program shall be 80 percent. Regional Commission. requirements of subclauses (I) and (II) of ‘‘(d) FEDERAL SHARE.—The Federal share of clause (iii). ‘‘(e) FUNDING.— N GENERAL the cost of carrying out any project or activ- ‘‘(v) SPECIAL RULES.—For purposes of this ‘‘(1) I .—There shall be available to the Secretary to carry out this section, ity using funds allocated under the program subparagraph— shall be 80 percent. ‘‘(I) a series of related transactions shall be from the Highway Trust Fund (other than the Mass Transit Account), $270,000,000 for ‘‘(e) FUNDING.— treated as 1 transaction, and ‘‘(1) IN GENERAL.—There shall be available ‘‘(II) stock held by members of the ex- the period of fiscal years 2004 through 2009, of which— to the Secretary to carry out this section, panded affiliated group which includes the from the Highway Trust Fund (other than acquiring corporation shall not be taken into ‘‘(A) $45,000,000 shall be for fiscal year 2004; ‘‘(B) $45,000,000 shall be for fiscal year 2005; the Mass Transit Account), $270,000,000 for account in determining ownership. the period of fiscal year 2004. ‘‘(vi) OTHER DEFINITIONS.—For purposes of ‘‘(C) $45,000,000 shall be for fiscal year 2006; ‘‘(D) $45,000,000 shall be for fiscal year 2007; ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- this subparagraph— ABILITY.—Funds authorized to be appro- ‘‘(I) NOMINALLY FOREIGN CORPORATION.— ‘‘(E) $45,000,000 shall be for fiscal year 2008; and priated under section 1101(16) of the Safe, Ac- The term ‘nominally foreign corporation’ countable, Flexible, and Efficient Transpor- means any corporation which would (but for ‘‘(F) $45,000,000 shall be for fiscal year 2009. ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- tation Equity Act of 2004 and made available this subparagraph) be treated as a foreign under paragraph (1) to carry out this sec- corporation. ABILITY.—Funds authorized to be appropriated under section 1101(16) of the Safe, Ac- tion— ‘‘(II) EXPANDED AFFILIATED GROUP.—The ‘‘(A) shall be available for obligation by term ‘expanded affiliated group’ means an countable, Flexible, and Efficient Transpor- tation Equity Act of 2004 and made available the Secretary in the same manner as if the affiliated group (as defined in section 1504(a) funds were apportioned under this chapter; without regard to section 1504(b)). under paragraph (1) to carry out this section— ‘‘(B) shall not be considered in determining ‘‘(III) RELATED FOREIGN PARTNERSHIP.—A the eligibility of any State to receive funds foreign partnership is related to a domestic ‘‘(A) shall be available for obligation by the Secretary in the same manner as if the under section 105; and partnership if they are under common con- ‘‘(C) shall remain available until ex- trol (within the meaning of section 482), or funds were apportioned under this chapter; ‘‘(B) shall not be considered in determining pended.’’. they shared the same trademark or (b) CONFORMING AMENDMENT.—The analysis tradename.’’ the eligibility of any State to receive funds under section 105; and for subchapter I of chapter 1 of title 23, (b) EFFECTIVE DATES.— United States Code (as amended by section (1) IN GENERAL.—The amendment made by ‘‘(C) shall remain available until expended.’’. 1815(b)), is amended by adding at the end the this section shall apply to corporate expa- following: triation transactions completed after Sep- (b) CONFORMING AMENDMENT.—The analysis tember 11, 2001. for subchapter I of chapter 1 of title 23, ‘‘178. Appalachian development highway system completion program.’’. (2) SPECIAL RULE.—The amendment made United States Code (as amended by section by this section shall also apply to corporate 1815(b)), is amended by adding at the end the (c) INFRASTRUCTURE PERFORMANCE AND expatriation transactions completed on or following: MAINTENANCE PROGRAM.—Notwithstanding before September 11, 2001, but only with re- ‘‘178. Appalachian development highway section 1101(13), the amount authorized to be spect to taxable years of the acquiring cor- system completion program.’’. appropriated out of the Highway Trust Fund poration beginning after December 31, 2003. (c) TRANSPORTATION INFRASTRUCTURE FI- (other than the Mass Transit Account) for (c) PRIOR SECTION TO HAVE NO EFFECT.— NANCE AND INNOVATION ACT.—Notwith- the infrastructure performance and mainte- Section 5651(a)(2) of this Act, and the amend- standing section 188(a) of title 23, United nance program under section 139 of title 23, ments made by such section, shall not take States Code, the amount authorized to be ap- United States Code, shall be reduced by effect. propriated out of the Highway Trust Fund $270,000,000 for fiscal year 2004. (other than the Mass Transit Account) to SA 2455. Mr. BYRD submitted an carry out subchapter II of chapter I of that SA 2457. Mr. BYRD submitted an amendment intended to be proposed to title shall be $85,000,000 for each of fiscal amendment intended to be proposed to amendment SA 2285 proposed by Mr. years 2004 through 2009. amendment SA 2285 proposed by Mr.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00175 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1132 CONGRESSIONAL RECORD — SENATE February 11, 2004 INHOFE to the bill S. 1072, to authorize amendment SA 2285 proposed by Mr. SA 2459. Mr. BYRD submitted an funds for Federal-aid highways, high- INHOFE to the bill S. 1072, to authorize amendment intended to be proposed to way safety programs, and transit pro- funds for Federal-aid highways, high- amendment SA 2285 proposed by Mr. grams, and for other purposes; which way safety programs, and transit pro- INHOFE to the bill S. 1072, to authorize was ordered to lie on the table; as fol- grams, and for other purposes; which funds for Federal-aid highways, high- lows: was ordered to lie on the table; as fol- way safety programs, and transit pro- On page 376, between the matter following lows: grams, and for other purposes; which line 6 and line 7, insert the following: On page 376, between the matter following was ordered to lie on the table; as fol- SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- line 6 and line 7, insert the following: lows: WAY SYSTEM COMPLETION PRO- SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- On page 376, between the matter following GRAM. WAY SYSTEM COMPLETION PRO- line 6 and line 7, insert the following: (a) IN GENERAL.—Subchapter I of chapter 1 GRAM. SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- of title 23, United States Code (as amended (a) IN GENERAL.—Subchapter I of chapter 1 WAY SYSTEM COMPLETION PRO- by section 1815(a)), is amended by adding at of title 23, United States Code (as amended GRAM. the end the following: by section 1815(a)), is amended by adding at (a) IN GENERAL.—Subchapter I of chapter 1 ‘‘§ 178. Appalachian development highway the end the following: of title 23, United States Code (as amended system completion program ‘‘§ 178. Appalachian development highway by section 1815(a)), is amended by adding at ‘‘(a) IN GENERAL.—The Secretary shall system completion program the end the following: carry out a program, to be known as the ‘Ap- ‘‘(a) IN GENERAL.—The Secretary shall ‘‘§ 178. Appalachian development highway palachian development highway system com- carry out a program, to be known as the ‘Ap- system completion program pletion program’ (referred to in this section palachian development highway system com- ‘‘(a) IN GENERAL.—The Secretary shall as the ‘program’), to allocate capital funding pletion program’ (referred to in this section carry out a program, to be known as the ‘Ap- to expedite the completion of ‘ready-to-go’ as the ‘program’), to allocate capital funding palachian development highway system com- segments of the Appalachian development to expedite the completion of ‘ready-to-go’ pletion program’ (referred to in this section highway system. segments of the Appalachian development as the ‘program’), to allocate capital funding ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- highway system. to expedite the completion of ‘ready-to-go’ ceives an allocation of funds under this sec- ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- segments of the Appalachian development tion shall use the funds to construct high- ceives an allocation of funds under this sec- highway system. ways and access roads in accordance with tion shall use the funds to construct high- ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- chapter 145 of title 40. ways and access roads in accordance with ceives an allocation of funds under this sec- ‘‘(c) ALLOCATION OF FUNDS.—The Secretary chapter 145 of title 40. tion shall use the funds to construct high- shall allocate funds under the program to ‘‘(c) ALLOCATION OF FUNDS.—The Secretary ways and access roads in accordance with each State all counties of which are located, shall allocate funds under the program to chapter 145 of title 40. as of the date of enactment of this section, each State all counties of which are located, ‘‘(c) ALLOCATION OF FUNDS.—The Secretary within the established 13-State Appalachian as of the date of enactment of this section, shall allocate funds under the program to region, as determined by the Appalachian within the established 13-State Appalachian each State all counties of which are located, Regional Commission. region, as determined by the Appalachian as of the date of enactment of this section, ‘‘(d) FEDERAL SHARE.—The Federal share of Regional Commission. within the established 13-State Appalachian the cost of carrying out any project or activ- ‘‘(d) FEDERAL SHARE.—The Federal share of region, as determined by the Appalachian ity using funds allocated under the program the cost of carrying out any project or activ- Regional Commission. shall be 80 percent. ity using funds allocated under the program ‘‘(d) FEDERAL SHARE.—The Federal share of ‘‘(e) FUNDING.— shall be 80 percent. the cost of carrying out any project or activ- ‘‘(1) IN GENERAL.—There shall be available ‘‘(e) FUNDING.— ity using funds allocated under the program to the Secretary to carry out this section, ‘‘(1) IN GENERAL.—There shall be available shall be 80 percent. from the Highway Trust Fund (other than to the Secretary to carry out this section, ‘‘(e) FUNDING.— the Mass Transit Account), $270,000,000 for from the Highway Trust Fund (other than ‘‘(1) IN GENERAL.—There shall be available the period of fiscal years 2004 through 2009, of the Mass Transit Account), $270,000,000 for to the Secretary to carry out this section, which— the period of fiscal years 2004 through 2009, of from the Highway Trust Fund (other than ‘‘(A) $45,000,000 shall be for fiscal year 2004; which— the Mass Transit Account), $270,000,000 for ‘‘(B) $45,000,000 shall be for fiscal year 2005; ‘‘(A) $45,000,000 shall be for fiscal year 2004; the period of fiscal years 2004 through 2009, of ‘‘(C) $45,000,000 shall be for fiscal year 2006; ‘‘(B) $45,000,000 shall be for fiscal year 2005; which— ‘‘(D) $45,000,000 shall be for fiscal year 2007; ‘‘(C) $45,000,000 shall be for fiscal year 2006; ‘‘(A) $45,000,000 shall be for fiscal year 2004; ‘‘(E) $45,000,000 shall be for fiscal year 2008; ‘‘(D) $45,000,000 shall be for fiscal year 2007; ‘‘(B) $45,000,000 shall be for fiscal year 2005; and ‘‘(E) $45,000,000 shall be for fiscal year 2008; ‘‘(C) $45,000,000 shall be for fiscal year 2006; ‘‘(F) $45,000,000 shall be for fiscal year 2009. and ‘‘(D) $45,000,000 shall be for fiscal year 2007; ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- ‘‘(F) $45,000,000 shall be for fiscal year 2009. ‘‘(E) $45,000,000 shall be for fiscal year 2008; ABILITY.—Funds authorized to be appro- ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- and priated under section 1101(16) of the Safe, Ac- ABILITY.—Funds authorized to be appro- ‘‘(F) $45,000,000 shall be for fiscal year 2009. countable, Flexible, and Efficient Transpor- priated under section 1101(16) of the Safe, Ac- ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- tation Equity Act of 2004 and made available countable, Flexible, and Efficient Transpor- ABILITY.—Funds authorized to be appro- under paragraph (1) to carry out this sec- tation Equity Act of 2004 and made available priated under section 1101(16) of the Safe, Ac- tion— under paragraph (1) to carry out this sec- countable, Flexible, and Efficient Transpor- ‘‘(A) shall be available for obligation by tion— tation Equity Act of 2004 and made available the Secretary in the same manner as if the ‘‘(A) shall be available for obligation by under paragraph (1) to carry out this sec- funds were apportioned under this chapter; the Secretary in the same manner as if the tion— ‘‘(B) shall not be considered in determining funds were apportioned under this chapter; ‘‘(A) shall be available for obligation by the eligibility of any State to receive funds ‘‘(B) shall not be considered in determining the Secretary in the same manner as if the under section 105; and the eligibility of any State to receive funds funds were apportioned under this chapter; ‘‘(C) shall remain available until ex- under section 105; and ‘‘(B) shall not be considered in determining pended.’’. ‘‘(C) shall remain available until ex- the eligibility of any State to receive funds (b) CONFORMING AMENDMENT.—The analysis pended.’’. under section 105; and for subchapter I of chapter 1 of title 23, (b) CONFORMING AMENDMENT.—The analysis ‘‘(C) shall remain available until ex- United States Code (as amended by section for subchapter I of chapter 1 of title 23, pended.’’. 1815(b)), is amended by adding at the end the United States Code (as amended by section (b) CONFORMING AMENDMENT.—The analysis following: 1815(b)), is amended by adding at the end the for subchapter I of chapter 1 of title 23, ‘‘178. Appalachian development highway following: United States Code (as amended by section system completion program.’’. ‘‘178. Appalachian development highway 1815(b)), is amended by adding at the end the (c) EMERGENCY RELIEF.—Notwithstanding system completion program.’’. following: an other provision of this Act, Section (c) TRANSPORTATION RESEARCH.—Notwith- ‘‘178. Appalachian development highway 125(c)(1) of title 23, United States Code (as standing any other provision of this Act, system completion program.’’. amended by section 1822), is amended by each of the amounts authorized to be appro- (c) EMERGENCY RELIEF.—Notwithstanding striking ‘‘$300,000,000’’ and inserting priated out of the Highway Trust Fund any other provision of this Act, Section ‘‘$255,000,000’’. (other than the Mass Transit Account) under 125(c)(1) of title 23, United States Code (as section 2001, and each of the amounts lim- amended by section 1822), is amended by SA 2458. Mr. BYRD submitted an iting obligations under section 2002, shall be striking ‘‘$300,000,000’’ and inserting amendment intended to be proposed to reduced by 10.1 percent. ‘‘$277,000,000’’.

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(d) TRANSPORTATION RESEARCH.—Notwith- ‘‘(B) shall not be considered in determining ‘‘(B) shall not be considered in determining standing any other provision of this Act, the eligibility of any State to receive funds the eligibility of any State to receive funds each of the amounts authorized to be appro- under section 105; and under section 105; and priated out of the Highway Trust Fund ‘‘(C) shall remain available until ex- ‘‘(C) shall remain available until ex- (other than the Mass Transit Account) under pended.’’. pended.’’. section 2001, and each of the amounts lim- (b) CONFORMING AMENDMENT.—The analysis (b) CONFORMING AMENDMENT.—The analysis iting obligations under section 2002, shall be for subchapter I of chapter 1 of title 23, for subchapter I of chapter 1 of title 23, reduced by 5 percent. United States Code (as amended by section United States Code (as amended by section 1815(b)), is amended by adding at the end the 1815(b)), is amended by adding at the end the SA 2460. Mr. BYRD submitted an following: following: amendment intended to be proposed to ‘‘178. Appalachian development highway ‘‘178. Appalachian development highway amendment SA 2285 proposed by Mr. system completion program.’’. system completion program.’’. INHOFE to the bill S. 1072, to authorize (c) EMERGENCY RELIEF.—Notwithstanding (c) INFRASTRUCTURE PERFORMANCE AND funds for Federal-aid highways, high- any other provision of this Act, Section MAINTENANCE PROGRAM.—Notwithstanding way safety programs, and transit pro- 125(c)(1) of title 23, United States Code (as section 1101(13), the amount authorized to be grams, and for other purposes; which amended by section 1822), is amended by appropriated out of the Highway Trust Fund striking ‘‘$300,000,000’’ and inserting (other than the Mass Transit Account) for was ordered to lie on the table; as fol- ‘‘$170,000,000’’. the infrastructure performance and mainte- lows: nance program under section 139 of title 23, On page 376, between the matter following SA 2461. Mr. BYRD submitted an United States Code, is hereby reduced by line 6 and line 7, insert the following: amendment intended to be proposed to $780,000,000 for fiscal year 2004. SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- amendment SA 2285 proposed by Mr. WAY SYSTEM COMPLETION PRO- INHOFE to the bill S. 1072, to authorize SA 2462. Mr. BYRD submitted an GRAM. funds for Federal-aid highways, high- amendment intended to be proposed to (a) IN GENERAL.—Subchapter I of chapter 1 amendment SA 2285 proposed by Mr. of title 23, United States Code (as amended way safety programs, and transit pro- INHOFE to the bill S. 1072, to authorize by section 1815(a)), is amended by adding at grams, and for other purposes; which the end the following: was ordered to lie on the table; as fol- funds for Federal-aid highways, highway safety programs, and transit pro- ‘‘§ 178. Appalachian development highway lows: system completion program On page 376, between the matter following grams, and for other purposes; which was ordered to lie on the table; as fol- ‘‘(a) IN GENERAL.—The Secretary shall line 6 and line 7, insert the following: carry out a program, to be known as the ‘Ap- SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- lows: palachian development highway system com- WAY SYSTEM COMPLETION PRO- On page 376, between the matter following pletion program’ (referred to in this section GRAM. line 6 and line 7, insert the following: as the ‘program’), to allocate capital funding (a) IN GENERAL.—Subchapter I of chapter 1 SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- to expedite the completion of ‘ready-to-go’ of title 23, United States Code (as amended WAY SYSTEM COMPLETION PRO- segments of the Appalachian development by section 1815(a)), is amended by adding at GRAM. highway system. the end the following: (a) IN GENERAL.—Subchapter I of chapter 1 ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- ‘‘§ 178. Appalachian development highway of title 23, United States Code (as amended ceives an allocation of funds under this sec- system completion program by section 1815(a)), is amended by adding at tion shall use the funds to construct high- ‘‘(a) IN GENERAL.—The Secretary shall the end the following: ways and access roads in accordance with carry out a program, to be known as the ‘Ap- ‘‘§ 178. Appalachian development highway chapter 145 of title 40. palachian development highway system com- system completion program ‘‘(c) ALLOCATION OF FUNDS.—The Secretary pletion program’ (referred to in this section ‘‘(a) IN GENERAL.—The Secretary shall shall allocate funds under the program to as the ‘program’), to allocate capital funding carry out a program, to be known as the ‘Ap- each State based on the proportion that, to expedite the completion of ‘ready-to-go’ palachian development highway system com- under the most recent published report of segments of the Appalachian development pletion program’ (referred to in this section the Appalachian Regional Commission under highway system. as the ‘program’), to allocate capital funding section 14501 of title 40— ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- to expedite the completion of ‘ready-to-go’ ‘‘(1) the cost of construction of highways ceives an allocation of funds under this sec- segments of the Appalachian development and access roads that are in ‘final design station shall use the funds to construct high- highway system. tus’ for the Appalachian development highways and access roads in accordance with ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- way system program in the State; bears to chapter 145 of title 40. ceives an allocation of funds under this sec- ‘‘(2) the cost of construction of highways ‘‘(c) ALLOCATION OF FUNDS.—The Secretary tion shall use the funds to construct high- and access roads that are in ‘final design sta- shall allocate funds under the program to ways and access roads in accordance with tus’ for the Appalachian development high- each State based on the proportion that, chapter 145 of title 40. way system program in all States. under the most recent published report of ‘‘(c) ALLOCATION OF FUNDS.—The Secretary ‘‘(d) FEDERAL SHARE.—The Federal share of the Appalachian Regional Commission under shall allocate funds under the program to the cost of carrying out any project or activ- section 14501 of title 40— each State based on the proportion that, ity using funds allocated under the program ‘‘(1) the cost of construction of highways under the most recent published report of shall be 80 percent. and access roads that are in ‘final design sta- the Appalachian Regional Commission under ‘‘(e) FUNDING.— tus’ for the Appalachian development high- section 14501 of title 40— ‘‘(1) IN GENERAL.—There shall be available way system program in the State; bears to ‘‘(1) the cost of construction of highways to the Secretary to carry out this section, ‘‘(2) the cost of construction of highways and access roads that are in ‘final design sta- from the Highway Trust Fund (other than and access roads that are in ‘final design status’ for the Appalachian development high- the Mass Transit Account), $780,000,000 for tus’ for the Appalachian development highway system program in the State; bears to the period of fiscal years 2004 through 2009, of way system program in all States. ‘‘(2) the cost of construction of highways which— ‘‘(d) FEDERAL SHARE.—The Federal share of and access roads that are in ‘final design sta- ‘‘(A) $130,000,000 shall be for fiscal year the cost of carrying out any project or activ- tus’ for the Appalachian development high- 2004; ity using funds allocated under the program way system program in all States. ‘‘(B) $130,000,000 shall be for fiscal year 2005; shall be 80 percent. ‘‘(d) FEDERAL SHARE.—The Federal share of ‘‘(C) $130,000,000 shall be for fiscal year 2006; ‘‘(e) FUNDING.— the cost of carrying out any project or activ- ‘‘(D) $130,000,000 shall be for fiscal year ‘‘(1) IN GENERAL.—There shall be available ity using funds allocated under the program 2007; to the Secretary to carry out this section, shall be 80 percent. ‘‘(E) $130,000,000 shall be for fiscal year 2008; from the Highway Trust Fund (other than ‘‘(e) FUNDING.— and the Mass Transit Account), $780,000,000 for ‘‘(1) IN GENERAL.—There shall be available ‘‘(F) $130,000,000 shall be for fiscal year 2009. the period of fiscal year 2004. to the Secretary to carry out this section, ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- from the Highway Trust Fund (other than ABILITY.—Funds authorized to be appro- ABILITY.—Funds authorized to be appro- the Mass Transit Account), $780,000,000 for priated under section 1101(16) of the Safe, Ac- priated under section 1101(16) of the Safe, Ac- the period of fiscal years 2004 through 2009, of countable, Flexible, and Efficient Transpor- countable, Flexible, and Efficient Transpor- which— tation Equity Act of 2004 and made available tation Equity Act of 2004 and made available ‘‘(A) $130,000,000 shall be for fiscal year under paragraph (1) to carry out this sec- under paragraph (1) to carry out this sec- 2004; tion— tion— ‘‘(B) $130,000,000 shall be for fiscal year 2005; ‘‘(A) shall be available for obligation by ‘‘(A) shall be available for obligation by ‘‘(C) $130,000,000 shall be for fiscal year 2006; the Secretary in the same manner as if the the Secretary in the same manner as if the ‘‘(D) $130,000,000 shall be for fiscal year funds were apportioned under this chapter; funds were apportioned under this chapter; 2007;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00177 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1134 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(E) $130,000,000 shall be for fiscal year 2008; tus’ for the Appalachian development high- ‘‘§ 178. Appalachian development highway and way system program in all States. system completion program ‘‘(F) $130,000,000 shall be for fiscal year 2009. ‘‘(d) FEDERAL SHARE.—The Federal share of ‘‘(a) IN GENERAL.—The Secretary shall ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- the cost of carrying out any project or activ- carry out a program, to be known as the ‘Ap- ABILITY.—Funds authorized to be appro- ity using funds allocated under the program palachian development highway system com- priated under section 1101(16) of the Safe, Ac- shall be 80 percent. pletion program’ (referred to in this section countable, Flexible, and Efficient Transpor- ‘‘(e) FUNDING.— as the ‘program’), to allocate capital funding tation Equity Act of 2004 and made available ‘‘(1) IN GENERAL.—There shall be available to expedite the completion of ‘ready-to-go’ under paragraph (1) to carry out this sec- to the Secretary to carry out this section, segments of the Appalachian development tion— from the Highway Trust Fund (other than highway system. ‘‘(A) shall be available for obligation by the Mass Transit Account), $780,000,000 for ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- the Secretary in the same manner as if the the period of fiscal years 2004 through 2009, of ceives an allocation of funds under this sec- funds were apportioned under this chapter; which— tion shall use the funds to construct high- ‘‘(B) shall not be considered in determining ‘‘(A) $130,000,000 shall be for fiscal year ways and access roads in accordance with the eligibility of any State to receive funds 2004; chapter 145 of title 40. under section 105; and ‘‘(B) $130,000,000 shall be for fiscal year 2005; ‘‘(c) ALLOCATION OF FUNDS.—The Secretary ‘‘(C) shall remain available until ex- ‘‘(C) $130,000,000 shall be for fiscal year 2006; shall allocate funds under the program to pended.’’. ‘‘(D) $130,000,000 shall be for fiscal year each State based on the proportion that, (b) CONFORMING AMENDMENT.—The analysis 2007; under the most recent published report of for subchapter I of chapter 1 of title 23, ‘‘(E) $130,000,000 shall be for fiscal year 2008; the Appalachian Regional Commission under United States Code (as amended by section and section 14501 of title 40— 1815(b)), is amended by adding at the end the ‘‘(F) $130,000,000 shall be for fiscal year 2009. ‘‘(1) the cost of construction of highways following: ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- and access roads that are in ‘final design status’ for the Appalachian development high- ‘‘178. Appalachian development highway ABILITY.—Funds authorized to be appro- way system program in the State; bears to system completion program.’’. priated under section 1101(16) of the Safe, Ac- ‘‘(2) the cost of construction of highways (c) INFRASTRUCTURE PERFORMANCE AND countable, Flexible, and Efficient Transpor- and access roads that are in ‘final design sta- MAINTENANCE PROGRAM.—Notwithstanding tation Equity Act of 2004 and made available section 1101(13), the amount authorized to be under paragraph (1) to carry out this sec- tus’ for the Appalachian development high- appropriated out of the Highway Trust Fund tion— way system program in all States. ‘‘(d) FEDERAL SHARE.—The Federal share of (other than the Mass Transit Account) for ‘‘(A) shall be available for obligation by the Secretary in the same manner as if the the cost of carrying out any project or activ- the infrastructure performance and mainte- ity using funds allocated under the program nance program under section 139 of title 23, funds were apportioned under this chapter; ‘‘(B) shall not be considered in determining shall be 80 percent. United States Code, is hereby reduced by ‘‘(e) FUNDING.— the eligibility of any State to receive funds $330,000,000 for fiscal year 2004. ‘‘(1) IN GENERAL.—There shall be available under section 105; and (d) EMERGENCY RELIEF.—Notwithstanding to the Secretary to carry out this section, ‘‘(C) shall remain available until ex- any other provision of this Act, Section from the Highway Trust Fund (other than pended.’’. 125(c)(1) of title 23, United States Code (as the Mass Transit Account), $780,000,000 for (b) CONFORMING AMENDMENT.—The analysis amended by section 1822), is amended by the period of fiscal years 2004 through 2009, of for subchapter I of chapter 1 of title 23, striking ‘‘$300,000,000’’ and inserting which— United States Code (as amended by section ‘‘225,000,000’’. ‘‘(A) $130,000,000 shall be for fiscal year 1815(b)), is amended by adding at the end the 2004; Mr. BYRD submitted an following: SA 2463. ‘‘(B) $130,000,000 shall be for fiscal year 2005; amendment intended to be proposed to ‘‘178. Appalachian development highway ‘‘(C) $130,000,000 shall be for fiscal year 2006; amendment SA 2285 proposed by Mr. system completion program.’’. ‘‘(D) $130,000,000 shall be for fiscal year INHOFE to the bill S. 1072, to authorize (c) TRANSPORTATION INFRASTRUCTURE FI- 2007; funds for Federal-aid highways, high- NANCE AND INNOVATION ACT.—Notwith- ‘‘(E) $130,000,000 shall be for fiscal year 2008; way safety programs, and transit pro- standing section 188(a) of title 23, United and grams, and for other purposes; which States Code, the amount authorized to be ap- ‘‘(F) $130,000,000 shall be for fiscal year 2009. propriated out of the Highway Trust Fund ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- was ordered to lie on the table; as fol- (other than the Mass Transit Account) to lows: ABILITY.—Funds authorized to be appro- carry out subchapter II of chapter I of that priated under section 1101(16) of the Safe, Ac- On page 376, between the matter following title shall be $110,000,000 for each of fiscal countable, Flexible, and Efficient Transpor- line 6 and line 7, insert the following: years 2004 through 2009. tation Equity Act of 2004 and made available SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- (d) EMERGENCY RELIEF.—Notwithstanding under paragraph (1) to carry out this sec- WAY SYSTEM COMPLETION PRO- any other provision of this Act, Section tion— GRAM. 125(c)(1) of title 23, United States Code (as ‘‘(A) shall be available for obligation by (a) IN GENERAL.—Subchapter I of chapter 1 amended by section 1822), is amended by the Secretary in the same manner as if the of title 23, United States Code (as amended striking ‘‘$300,000,000’’ and inserting funds were apportioned under this chapter; by section 1815(a)), is amended by adding at ‘‘$210,000,000’’. ‘‘(B) shall not be considered in determining the end the following: (e) TRANSPORTATION RESEARCH.—Notwith- the eligibility of any State to receive funds ‘‘§ 178. Appalachian development highway standing any other provision of this Act, under section 105; and system completion program each of the amounts authorized to be appro- ‘‘(C) shall remain available until ex- ‘‘(a) IN GENERAL.—The Secretary shall priated out of the Highway Trust Fund pended.’’. carry out a program, to be known as the ‘Ap- (other than the Mass Transit Account) under (b) CONFORMING AMENDMENT.—The analysis palachian development highway system com- section 2001, and each of the amounts lim- for subchapter I of chapter 1 of title 23, pletion program’ (referred to in this section iting obligations under section 2002, shall be United States Code (as amended by section as the ‘program’), to allocate capital funding reduced by 4.5 percent. 1815(b)), is amended by adding at the end the to expedite the completion of ‘ready-to-go’ following: segments of the Appalachian development SA 2464. Mr. BYRD submitted an ‘‘178. Appalachian development highway highway system. amendment intended to be proposed to system completion program.’’. ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- amendment SA 2285 proposed by Mr. (c) EMERGENCY RELIEF.—Notwithstanding ceives an allocation of funds under this sec- INHOFE to the bill S. 1072, to authorize any other provisions of this Act, Section tion shall use the funds to construct high- funds for Federal-aid highways, high- 125(c)(1) of title 23, United States Code (as ways and access roads in accordance with way safety programs, and transit pro- amended by section 1822), is amended by chapter 145 of title 40. grams, and for other purposes; which striking ‘‘$300,000,000’’ and inserting ‘‘(c) ALLOCATION OF FUNDS.—The Secretary ‘‘$190,000,000’’. shall allocate funds under the program to was ordered to lie on the table; as fol- (d) TRANSPORTATION RESEARCH.—Notwith- each State based on the proportion that, lows: standing any other provision of this Act, under the most recent published report of On page 376, between the matter following each of the amounts authorized to be appro- the Appalachian Regional Commission under line 6 and line 7, insert the following: priated out of the Highway Trust Fund section 14501 of title 40— SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- (other than the Mass Transit Account) under ‘‘(1) the cost of construction of highways WAY SYSTEM COMPLETION PRO- section 2001, and each of the amounts lim- and access roads that are in ‘final design sta- GRAM. iting obligations under section 2002, shall be tus’ for the Appalachian development high- (a) IN GENERAL.—Subchapter I of chapter 1 reduced by 4.5 percent. way system program in the State; bears to of title 23, United States Code (as amended ‘‘(2) the cost of construction of highways by section 1815(a)), is amended by adding at SA 2465. Mr. BYRD submitted an and access roads that are in ‘final design sta- the end the following: amendment intended to be proposed to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00178 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1135 amendment SA 2285 proposed by Mr. ‘‘178. Appalachian development highway ‘‘178. Appalachian development highway INHOFE to the bill S. 1072, to authorize system completion program.’’. system completion program.’’. funds for Federal-aid highways, high- (c) EMERGENCY RELIEF.—Notwithstanding (c) INFRASTRUCTURE PERFORMANCE AND way safety programs, and transit pro- any other provision of this Act, Section MAINTENANCE PROGRAM.—Notwithstanding grams, and for other purposes; which 125(c)(1) of title 23, United States Code (as section 1101(13), the amount authorized to be amended by section 1822), is amended by appropriated out of the Highway Trust Fund was ordered to lie on the table; as fol- striking ‘‘$300,000,000’’ and inserting (other than the Mass Transit Account) for lows: ‘‘$150,000,000’’. the infrastructure performance and mainte- On page 376, between the matter following nance program under section 139 of title 23, line 6 and line 7, insert the following: SA 2466. Mr. BYRD submitted an United States Code, is hereby reduced by SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- amendment intended to be proposed to $900,000,000 for fiscal year 2004. WAY SYSTEM COMPLETION PRO- amendment SA 2285 proposed by Mr. Mr. BYRD submitted an GRAM. INHOFE to the bill S. 1072, to authorize SA 2467. (a) IN GENERAL.—Subchapter I of chapter 1 funds for Federal-aid highways, high- amendment intended to be proposed to of title 23, United States Code (as amended way safety programs, and transit pro- amendment SA 2285 proposed by Mr. by section 1815(a)), is amended by adding at INHOFE to the bill S. 1072, to authorize the end the following: grams, and for other purposes; which was ordered to lie on the table; as fol- funds for Federal-aid highways, high- ‘‘§ 178. Appalachian development highway lows: way safety programs, and transit pro- system completion program grams, and for other purposes; which On page 376, between the matter following ‘‘(a) IN GENERAL.—The Secretary shall line 6 and line 7, insert the following: was ordered to lie on the table; as fol- carry out a program, to be known as the ‘Ap- lows: palachian development highway system com- SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- WAY SYSTEM COMPLETION PRO- On page 376, between the matter following pletion program’ (referred to in this section GRAM. line 6 and line 7, insert the following: as the ‘program’), to allocate capital funding (a) IN GENERAL.—Subchapter I of chapter 1 SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- to expedite the completion of ‘ready-to-go’ of title 23, United States Code (as amended WAY SYSTEM COMPLETION PRO- segments of the Appalachian development by section 1815(a)), is amended by adding at GRAM. highway system. the end the following: (a) IN GENERAL.—Subchapter I of chapter 1 ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- ‘‘§ 178. Appalachian development highway of title 23, United States Code (as amended ceives an allocation of funds under this sec- system completion program by section 1815(a)), is amended by adding at tion shall use the funds to construct high- the end the following: ways and access roads in accordance with ‘‘(a) IN GENERAL.—The Secretary shall carry out a program, to be known as the ‘Ap- ‘‘§ 178. Appalachian development highway chapter 145 of title 40. system completion program ‘‘(c) ALLOCATION OF FUNDS.—The Secretary palachian development highway system com- ‘‘(a) IN GENERAL.—The Secretary shall shall allocate funds under the program to pletion program’ (referred to in this section carry out a program, to be known as the ‘Ap- each State based on the proportion that, as the ‘program’), to allocate capital funding palachian development highway system com- under the most recent published report of to expedite the completion of ‘ready-to-go’ pletion program’ (referred to in this section the Appalachian Regional Commission under segments of the Appalachian development as the ‘program’), to allocate capital funding section 14501 of title 40— highway system. ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- to expedite the completion of ‘ready-to-go’ ‘‘(1) the cost of construction of highways ceives an allocation of funds under this sec- segments of the Appalachian development and access roads that are not in ‘location tion shall use the funds to construct high- highway system. status’ for the Appalachian development ways and access roads in accordance with ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- highway system program in the State; bears chapter 145 of title 40. ceives an allocation of funds under this sec- to ‘‘(c) ALLOCATION OF FUNDS.—The Secretary tion shall use the funds to construct high- ‘‘(2) the cost of construction of highways shall allocate funds under the program to ways and access roads in accordance with and access roads that are not in ‘location each State based on the proportion that, chapter 145 of title 40. status’ for the Appalachian development under the most recent published report of ‘‘(c) ALLOCATION OF FUNDS.—The Secretary highway system program in all States. the Appalachian Regional Commission under shall allocate funds under the program to ‘‘(d) FEDERAL SHARE.—The Federal share of section 14501 of title 40— each State based on the proportion that, the cost of carrying out any project or activ- ‘‘(1) the cost of construction of highways under the most recent published report of ity using funds allocated under the program and access roads that are not in ‘location the Appalachian Regional Commission under shall be 80 percent. status’ for the Appalachian development section 14501 of title 40— ‘‘(e) FUNDING.— highway system program in the State; bears ‘‘(1) the cost of construction of highways ‘‘(1) IN GENERAL.—There shall be available to and access roads that are not in ‘location to the Secretary to carry out this section, ‘‘(2) the cost of construction of highways status’ for the Appalachian development from the Highway Trust Fund (other than and access roads that are not in ‘location highway system program in the State; bears the Mass Transit Account), $900,000,000 for status’ for the Appalachian development to the period of fiscal years 2004 through 2009, of highway system program in all States. ‘‘(2) the cost of construction of highways which— ‘‘(d) FEDERAL SHARE.—The Federal share of and access roads that are not in ‘location ‘‘(A) $150,000,000 shall be for fiscal year the cost of carrying out any project or activ- status’ for the Appalachian development 2004; ity using funds allocated under the program highway system program in all States. ‘‘(B) $150,000,000 shall be for fiscal year 2005; shall be 80 percent. ‘‘(d) FEDERAL SHARE.—The Federal share of ‘‘(C) $150,000,000 shall be for fiscal year 2006; ‘‘(e) FUNDING.— the cost of carrying out any project or activ- ‘‘(D) $150,000,000 shall be for fiscal year ‘‘(1) IN GENERAL.—There shall be available ity using funds allocated under the program 2007; to the Secretary to carry out this section, shall be 80 percent. ‘‘(E) $150,000,000 shall be for fiscal year 2008; from the Highway Trust Fund (other than ‘‘(e) FUNDING.— and the Mass Transit Account), $900,000,000 for ‘‘(1) IN GENERAL.—There shall be available ‘‘(F) $150,000,000 shall be for fiscal year 2009. the period of fiscal year 2004. to the Secretary to carry out this section, ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- from the Highway Trust Fund (other than ABILITY.—Funds authorized to be appro- ABILITY.—Funds authorized to be appro- the Mass Transit Account), $900,000,000 for priated under section 1101(16) of the Safe, Ac- priated under section 1101(16) of the Safe, Ac- the period of fiscal years 2004 through 2009, of countable, Flexible, and Efficient Transpor- countable, Flexible, and Efficient Transpor- which— tation Equity Act of 2004 and made available tation Equity Act of 2004 and made available ‘‘(A) $300,000,000 shall be for fiscal year under paragraph (1) to carry out this sec- under paragraph (1) to carry out this sec- 2004; tion— tion— ‘‘(B) $150,000,000 shall be for fiscal year 2005; ‘‘(A) shall be available for obligation by ‘‘(A) shall be available for obligation by ‘‘(C) $150,000,000 shall be for fiscal year 2006; the Secretary in the same manner as if the the Secretary in the same manner as if the ‘‘(D) $150,000,000 shall be for fiscal year funds were apportioned under this chapter; funds were apportioned under this chapter; 2007; ‘‘(B) shall not be considered in determining ‘‘(B) shall not be considered in determining ‘‘(E) $150,000,000 shall be for fiscal year 2008; the eligibility of any State to receive funds the eligibility of any State to receive funds and under section 105; and under section 105; and ‘‘(F) $150,000,000 shall be for fiscal year 2009. ‘‘(C) shall remain available until ex- ‘‘(C) shall remain available until ex- ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- pended.’’. pended.’’. ABILITY.—Funds authorized to be appro- (b) CONFORMING AMENDMENT.—The analysis (b) CONFORMING AMENDMENT.—The analysis priated under section 1101(16) of the Safe, Ac- for subchapter I of chapter 1 of title 23, for subchapter I of chapter 1 of title 23, countable, Flexible, and Efficient Transpor- United States Code (as amended by section United States Code (as amended by section tation Equity Act of 2004 and made available 1815(b)), is amended by adding at the end the 1815(b)), is amended by adding at the end the under paragraph (1) to carry out this sec- following: following: tion—

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‘‘(A) shall be available for obligation by ‘‘(1) IN GENERAL.—There shall be available as the ‘program’), to allocate capital funding the Secretary in the same manner as if the to the Secretary to carry out this section, to expedite the completion of ‘ready-to-go’ funds were apportioned under this chapter; from the Highway Trust Fund (other than segments of the Appalachian development ‘‘(B) shall not be considered in determining the Mass Transit Account), $900,000,000 for highway system. the eligibility of any State to receive funds the period of fiscal years 2004 through 2009, of ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- under section 105; and which— ceives an allocation of funds under this sec- ‘‘(C) shall remain available until ex- ‘‘(A) $150,000,000 shall be for fiscal year tion shall use the funds to construct high- pended.’’. 2004; ways and access roads in accordance with (b) CONFORMING AMENDMENT.—The analysis ‘‘(B) $150,000,000 shall be for fiscal year 2005; chapter 145 of title 40. for subchapter I of chapter 1 of title 23, ‘‘(C) $150,000,000 shall be for fiscal year 2006; ‘‘(c) ALLOCATION OF FUNDS.—The Secretary United States Code (as amended by section ‘‘(D) $150,000,000 shall be for fiscal year shall allocate funds under the program to 1815(b)), is amended by adding at the end the 2007; each State based on the proportion that, following: ‘‘(E) $150,000,000 shall be for fiscal year 2008; under the most recent published report of ‘‘178. Appalachian development highway and the Appalachian Regional Commission under system completion program.’’. ‘‘(F) $150,000,000 shall be for fiscal year 2009. section 14501 of title 40— ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- ‘‘(1) the cost of construction of highways (c) INFRASTRUCTURE PERFORMANCE AND ABILITY.—Funds authorized to be appro- and access roads that are not in ‘location MAINTENANCE PROGRAM.—Notwithstanding priated under section 1101(16) of the Safe, Ac- status’ for the Appalachian development section 1101(13), the amount authorized to be countable, Flexible, and Efficient Transpor- highway system program in the State; bears appropriated out of the Highway Trust Fund tation Equity Act of 2004 and made available to (other than the Mass Transit Account) for under paragraph (1) to carry out this sec- ‘‘(2) the cost of construction of highways the infrastructure performance and mainte- tion— and access roads that are not in ‘location nance program under section 139 of title 23, ‘‘(A) shall be available for obligation by status’ for the Appalachian development United States Code, is hereby reduced by the Secretary in the same manner as if the highway system program in all States. 300,000,000 for fiscal year 2004. funds were apportioned under this chapter; ‘‘(d) FEDERAL SHARE.—The Federal share of (d) EMERGENCY RELIEF.—Notwithstanding ‘‘(B) shall not be considered in determining the cost of carrying out any project or activ- any other provision of this Act, Section the eligibility of any State to receive funds ity using funds allocated under the program 125(c)(1) of title 23, United States Code (as under section 105; and shall be 80 percent. amended by section 1822), is amended by ‘‘(C) shall remain available until ex- ‘‘(e) FUNDING.— striking ‘‘$300,000,000’’ and inserting pended.’’. ‘‘(1) IN GENERAL.—There shall be available ‘‘180,000,000’’ for fiscal years 2005 through to the Secretary to carry out this section, (b) CONFORMING AMENDMENT.—The analysis 2009. for subchapter I of chapter 1 of title 23, from the Highway Trust Fund (other than the Mass Transit Account), $900,000,000 for Mr. BYRD submitted an United States Code (as amended by section SA 2468. 1815(b)), is amended by adding at the end the the period of fiscal years 2004 through 2009, of amendment intended to be proposed to following: which— amendment SA 2285 proposed by Mr. ‘‘(A) $150,000,000 shall be for fiscal year ‘‘178. Appalachian development highway 2004; INHOFE to the bill S. 1072, to authorize system completion program.’’. funds for Federal-aid highways, high- ‘‘(B) $150,000,000 shall be for fiscal year 2005; (c) TRANSPORTATION INFRASTRUCTURE FI- way safety programs, and transit pro- ‘‘(C) $150,000,000 shall be for fiscal year 2006; NANCE AND INNOVATION ACT.—Notwith- ‘‘(D) $150,000,000 shall be for fiscal year grams, and for other purposes; which standing section 188(a) of title 23, United 2007; was ordered to lie on the table; as fol- States Code, the amount authorized to be ap- ‘‘(E) $150,000,000 shall be for fiscal year 2008; lows: propriated out of the Highway Trust Fund and On page 376, between the matter following (other than the Mass Transit Account) to ‘‘(F) $150,000,000 shall be for fiscal year 2009. line 6 and line 7, insert the following: carry out subchapter II of chapter I of that ‘‘(2) OBLIGATION, ELIGIBILITY, AND AVAIL- title shall be $100,000,000 for each of fiscal SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- ABILITY.—Funds authorized to be appro- WAY SYSTEM COMPLETION PRO- years 2004 through 2009. priated under section 1101(16) of the Safe, Ac- GRAM. (d) EMERGENCY RELIEF.—Notwithstanding countable, Flexible, and Efficient Transpor- (a) IN GENERAL.—Subchapter I of chapter 1 any other provision of this Act, Section tation Equity Act of 2004 and made available of title 23, United States Code (as amended 125(c)(1) of title 23, United States Code (as under paragraph (1) to carry out this sec- by section 1815(a)), is amended by adding at amended by section 1822), is amended by tion— the end the following: striking ‘‘$300,000,000’’ and inserting ‘‘(A) shall be available for obligation by ‘‘$200,000,000’’. the Secretary in the same manner as if the ‘‘§ 178. Appalachian development highway (e) TRANSPORTATION RESEARCH.—Notwith- funds were apportioned under this chapter; system completion program standing any other provision of this Act, ‘‘(B) shall not be considered in determining ‘‘(a) IN GENERAL.—The Secretary shall each of the amounts authorized to be appro- the eligibility of any State to receive funds carry out a program, to be known as the ‘Ap- priated out of the Highway Trust Fund under section 105; and palachian development highway system com- (other than the Mass Transit Account) under ‘‘(C) shall remain available until ex- pletion program’ (referred to in this section section 2001, and each of the amounts lim- pended.’’. as the ‘program’), to allocate capital funding iting obligations under section 2002, shall be (b) CONFORMING AMENDMENT.—The analysis to expedite the completion of ‘ready-to-go’ reduced by 4.5 percent. for subchapter I of chapter 1 of title 23, segments of the Appalachian development United States Code (as amended by section highway system. SA 2469. Mr. BOND submitted an 1815(b)), is amended by adding at the end the ‘‘(b) ELIGIBLE ACTIVITIES.—A State that re- amendment intended to be proposed to following: ceives an allocation of funds under this sec- amendment SA 2285 proposed by Mr. ‘‘178. Appalachian development highway tion shall use the funds to construct high- system completion program.’’. ways and access roads in accordance with INHOFE to the bill S. 1072, to authorize chapter 145 of title 40. funds for Federal-aid highways, high- (c) EMERGENCY RELIEF.—Notwithstanding any other provision of this Act, Section ‘‘(c) ALLOCATION OF FUNDS.—The Secretary way safety programs, and transit pro- shall allocate funds under the program to grams, and for other purposes; which 125(c)(1) of title 23, United States Code (as each State based on the proportion that, was ordered to lie on the table; as fol- amended by section 1822), is amended by striking ‘‘$300,000,000’’ and inserting under the most recent published report of lows: the Appalachian Regional Commission under ‘‘$170,000,000’’. On page 376, between the matter following (d) TRANSPORTATION RESEARCH.—Notwith- section 14501 of title 40— line 6 and line 7, insert the following: standing any other provision of this Act, ‘‘(1) the cost of construction of highways each of the amounts authorized to be appro- and access roads that are not in ‘location SEC. 1816. APPALACHIAN DEVELOPMENT HIGH- priated out of the Highway Trust Fund status’ for the Appalachian development WAY SYSTEM COMPLETION PRO- GRAM. (other than the Mass Transit Account) under highway system program in the State; bears (a) IN GENERAL.—Subchapter I of chapter 1 section 2001, and each of the amounts lim- to of title 23, United States Code (as amended iting obligations under section 2002, shall be ‘‘(2) the cost of construction of highways by section 1815(a)), is amended by adding at reduced by 4.5 percent. and access roads that are not in ‘location the end the following: status’ for the Appalachian development ‘‘§ 178. Appalachian development highway SA 2470. Mr. BYRD submitted an highway system program in all States. amendment intended to be proposed by ‘‘(d) FEDERAL SHARE.—The Federal share of system completion program the cost of carrying out any project or activ- ‘‘(a) IN GENERAL.—The Secretary shall him to the bill S. 1072, to authorize ity using funds allocated under the program carry out a program, to be known as the ‘Ap- funds for Federal-aid highways, high- shall be 80 percent. palachian development highway system com- way safety programs, and transit pro- ‘‘(e) FUNDING.— pletion program’ (referred to in this section grams, and for other purposes; which

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Mr. BYRD submitted an in cement used in cement or concrete the Tar Creek, Oklahoma Mining District, amendment intended to be proposed by projects. known as ‘chat’, for— him to the bill S. 1072, to authorize ‘‘(2) MATTERS TO BE ADDRESSED.—The study ‘‘(A) cement or concrete projects; and funds for Federal-aid highways, high- shall— ‘‘(B) transportation construction projects way safety programs, and transit pro- ‘‘(A) quantify the extent to which recov- (including transportation construction grams, and for other purposes; which ered mineral components are being sub- projects involving the use of asphalt) that stituted for Portland cement, particularly as are carried out, in whole or in part, using was ordered to lie on the table; as fol- a result of current procurement require- Federal funds. lows: ments, and the energy savings and environ- ‘‘(2) REQUIREMENTS.—In establishing cri- At the end of the bill, add the following: mental benefits associated with that substi- teria under paragraph (1), the Administrator TITLE ll—SOLID WASTE DISPOSAL tution; shall consider— SEC. ll01. INCREASED USE OF RECOVERED ‘‘(B) identify all barriers in procurement ‘‘(A) the current and previous uses of MINERAL COMPONENT IN FEDER- requirements to greater realization of energy granular mine tailings as an aggregate for ALLY FUNDED PROJECTS INVOLV- savings and environmental benefits, includ- asphalt; and ING PROCUREMENT OF CEMENT OR ing barriers resulting from exceptions from ‘‘(B) any environmental and public health CONCRETE. current law; and risks and benefits derived from the removal, (a) AMENDMENT.—Subtitle F of the Solid ‘‘(C)(i) identify potential mechanisms to transportation, and use in transportation Waste Disposal Act (42 U.S.C. 6961 et seq.) is achieve greater substitution of recovered projects of granular mine tailings. amended by adding at the end the following mineral component in types of cement or ‘‘(3) PUBLIC PARTICIPATION.—In establishing new section: concrete projects for which recovered min- the criteria under paragraph (1), the Admin- ‘‘INCREASED USE OF RECOVERED MINERAL COM- eral components historically have not been istrator shall solicit and consider comments PONENT IN FEDERALLY FUNDED PROJECTS IN- used or have been used only minimally; from the public. VOLVING PROCUREMENT OF CEMENT OR CON- ‘‘(ii) evaluate the feasibility of estab- ‘‘(4) APPLICABILITY OF CRITERIA.—On the es- CRETE lishing guidelines or standards for optimized tablishment of the criteria under paragraph ‘‘SEC. 6005. (a) DEFINITIONS.—In this sec- substitution rates of recovered mineral com- (1), any use of the granular mine tailings de- tion: ponent in those cement or concrete projects; scribed in paragraph (1) in a transportation ‘‘(1) AGENCY HEAD.—The term ‘agency head’ and project that is carried out, in whole or in means— ‘‘(iii) identify any potential environmental part, using Federal funds, shall meet the cri- ‘‘(A) the Secretary of Transportation; and or economic effects that may result from teria established under paragraph (1). ‘‘(B) the head of each other Federal agency greater substitution of recovered mineral ‘‘(b) EFFECT OF SECTIONS.—Nothing in this that on a regular basis procures, or provides component in those cement or concrete section or section 6005 affects any require- Federal funds to pay or assist in paying the projects. ment of any law (including a regulation) in cost of procuring, material for cement or ‘‘(3) REPORT.—Not later than 30 months effect on the date of enactment of this sec- concrete projects. after the date of enactment of this section, tion.’’. ‘‘(2) CEMENT OR CONCRETE PROJECT.—The the Administrator shall submit to Congress (b) CONFORMING AMENDMENT.—The table of term ‘cement or concrete project’ means a a report on the study. contents of the Solid Waste Disposal Act (42 project for the construction or maintenance ‘‘(d) ADDITIONAL PROCUREMENT REQUIRE- U.S.C. prec. 6901) (as amended by section of a highway or other transportation facility MENTS.—Unless the study conducted under ll01(b)) is amended by adding at the end of or a Federal, State, or local government subsection (c) identifies any effects or other the items relating to subtitle F the fol- building or other public facility that— problems described in subsection (c)(2)(C)(iii) lowing: ‘‘(A) involves the procurement of cement that warrant further review or delay, the Ad- ‘‘Sec. 6006. Use of granular mine tailings.’’. or concrete; and ministrator and each agency head shall, not ‘‘(B) is carried out in whole or in part later than 1 year after the release of the re- SA 2472. Mr. CHAFEE submitted an using Federal funds. port in accordance with subsection (c)(3), ‘‘(3) RECOVERED MINERAL COMPONENT.—The amendment intended to be proposed to take additional actions authorized under amendment SA 2285 proposed by Mr. term ‘recovered mineral component’ means— this Act to establish procurement require- ‘‘(A) ground granulated blast furnace slag; ments and incentives that provide for the INHOFE to the bill S. 1072, to authorize ‘‘(B) coal combustion fly ash; and use of cement and concrete with increased funds for Federal-aid highways, high- ‘‘(C) any other waste material or byprod- substitution of recovered mineral component way safety programs, and transit pro- uct recovered or diverted from solid waste in the construction and maintenance of ce- grams, and for other purposes; which that the Administrator, in consultation with ment or concrete projects, so as to— was ordered to lie on the table; as fol- an agency head, determines should be treat- ‘‘(1) realize more fully the energy savings ed as recovered mineral component under lows: and environmental benefits associated with this section for use in cement or concrete On page 715, strike line 1, and insert the increased substitution; and projects paid for, in whole or in part, by the following: ‘‘(2) eliminate barriers identified under agency head. SEC. 3044. HUMAN RESOURCE PROGRAMS. subsection (c). ‘‘(b) IMPLEMENTATION OF REQUIREMENTS.— Section 5322 is amended— ‘‘(e) EFFECT OF SECTION.—Nothing in this ‘‘(1) IN GENERAL.—Not later than 1 year (1) by striking ‘‘The Secretary of Transpor- section affects the requirements of section after the date of enactment of this section, tation’’ and inserting the following: 6002 (including the guidelines and specifica- the Administrator and each agency head ‘‘(a) IN GENERAL.—The Secretary’’; and tions for implementing those require- shall take such actions as are necessary to (2) by adding at the end the following: ments).’’. implement fully all procurement require- ‘‘(b) NATIONWIDE TRANSIT EMPLOYEE JOB (b) TABLE OF CONTENTS AMENDMENT.—The ments and incentives in effect as of the date TRAINING PARTNERSHIP PROGRAM.— table of contents of the Solid Waste Disposal of enactment of this section (including ‘‘(1) ESTABLISHMENT.—The Secretary shall Act is amended by adding after the item re- guidelines under section 6002) that provide contract with a national non-profit organiza- lating to section 6004 the following new item: for the use of cement and concrete incor- tion to establish a nationwide transit em- porating recovered mineral component in ce- ‘‘Sec. 6005. Increased use of recovered min- ployee job training partnership program to ment or concrete projects. eral component in federally respond to technological changes in the in- ‘‘(2) PRIORITY.—In carrying out paragraph funded projects involving pro- dustry, with emphasis given to maintenance. (1) an agency head shall give priority to curement of cement or con- ‘‘(2) REQUIREMENT.—The non-profit organi- achieving greater use of recovered mineral crete.’’. zation referred to in paragraph (1) shall have component in cement or concrete projects SEC. ll02. USE OF GRANULAR MINE TAILINGS. demonstrated the capacity to develop and for which recovered mineral components his- (a) AMENDMENT.—Subtitle F of the Solid provide career ladder training programs. torically have not been used or have been Waste Disposal Act (42 U.S.C. 6961 et seq.) (as ‘‘(3) ALLOCATION.—From the amounts made used only minimally. amended by section ll01(a)) is amended by available under section 5314(a), the Secretary ‘‘(3) CONFORMANCE.—The Administrator adding at the end the following: shall make available not less than $2,000,000 and each agency head shall carry out this ‘‘SEC. 6006. USE OF GRANULAR MINE TAILINGS. to carry out the provisions in this sub- subsection in accordance with section 6002. ‘‘(a) MINE TAILINGS.— section.’’.

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SEC. 3045. INTERMODAL PASSENGER FACILITIES. Sec. 5252. Reconciliation of on-loaded cargo PART VI—OTHER PROVISIONS to entered cargo. Sec. 5451. Income tax credit for distilled SA 2473. Mr. KYL submitted an PART VI—MISCELLANEOUS PROVISIONS spirits wholesalers and for dis- amendment intended to be proposed by Sec. 5261. Tax on sale of diesel fuel whether tilled spirits in control State him to the bill S. 1072, to authorize suitable for use or not in a die- bailment warehouses for costs funds for Federal-aid highways, high- sel-powered vehicle or train. of carrying Federal excise taxes way safety programs, and transit pro- Sec. 5262. Modification of ultimate vendor on bottled distilled spirits. Sec. 5452. Credit for taxpayers owning com- refund claims with respect to grams, and for other purposes; which mercial power takeoff vehicles. farming. was ordered to lie on the table; as fol- Sec. 5453. Credit for auxiliary power units Sec. 5263. Taxable fuel refunds for certain lows: installed on diesel-powered ultimate vendors. Strike title V and insert the following: trucks. Sec. 5264. Two-party exchanges. TITLE V—HIGHWAY REAUTHORIZATION Sec. 5265. Modifications of tax on use of cer- Subtitle F—Miscellaneous Provisions AND EXCISE TAX SIMPLIFICATION tain vehicles. Sec. 5501. Motor Fuel Tax Enforcement Ad- SEC. 5000. SHORT TITLE; AMENDMENT OF 1986 Sec. 5266. Dedication of revenues from cer- visory Commission. CODE; TABLE OF CONTENTS. tain penalties to the Highway Sec. 5502. National Surface Transportation (a) SHORT TITLE.—This title may be cited Trust Fund. Infrastructure Financing Com- as the ‘‘Highway Reauthorization and Excise Sec. 5267. Nonapplication of export exemp- mission. Tax Simplification Act of 2004’’. tion to delivery of fuel to motor Sec. 5503. Treasury study of fuel tax compli- (b) AMENDMENT OF 1986 CODE.—Except as vehicles removed from United ance and interagency coopera- otherwise expressly provided, whenever in States. tion. this title an amendment or repeal is ex- Sec. 5504. Expansion of Highway Trust Fund pressed in terms of an amendment to, or re- PART VII—TOTAL ACCOUNTABILITY expenditure purposes to include peal of, a section or other provision, the ref- Sec. 5271. Total accountability. funding for studies of supple- erence shall be considered to be made to a Sec. 5272. Excise tax reporting. mental or alternative financing section or other provision of the Internal Sec. 5273. Information reporting. for the Highway Trust Fund. Revenue Code of 1986. Subtitle D—Definition of Highway Vehicle Sec. 5505. Treasury study of highway fuels (c) TABLE OF CONTENTS.—The table of con- used by trucks for non-trans- tents for this title is as follows: Sec. 5301. Exemption from certain excise portation purposes. taxes for mobile machinery. Sec. 5506. Delta regional transportation TITLE V—HIGHWAY REAUTHORIZATION Sec. 5302. Modification of definition of off- AND EXCISE TAX SIMPLIFICATION plan. highway vehicle. Sec. 5507. Treatment of employer-provided Sec. 5000. Short title; amendment of 1986 Subtitle E—Excise Tax Reform and transit and van pooling bene- code; table of contents. Simplification fits. Subtitle A—Trust Fund Reauthorization PART I—HIGHWAY EXCISE TAXES Sec. 5508. Study of incentives for production Sec. 5001. Extension of Highway Trust Fund of biodiesel. and Aquatic Resources Trust Sec. 5401. Dedication of gas guzzler tax to Sec. 5509. Reduction of expenditures from Fund expenditure authority and Highway Trust Fund. the Highway Trust Fund. Sec. 5402. Repeal certain excise taxes on rail related taxes. Subtitle G—Revenue Offsets Sec. 5002. Full accounting of funds received diesel fuel and inland waterway by the Highway Trust Fund. barge fuels. PART I—LIMITATION ON EXPENSING CERTAIN PASSENGERS AUTOMOBILES Sec. 5003. Modification of adjustments of ap- PART II—AQUATIC EXCISE TAXES portionments. Sec. 5601. Expansion of limitation on depre- Sec. 5411. Elimination of Aquatic Resources Subtitle B—Biodiesel Income Tax Credit ciation of certain passenger Trust Fund and transformation automobiles. Sec. 5101. Biodiesel income tax credit. of Sport Fish Restoration Ac- PART II—PROVISION TO REPLENISH THE Subtitle C—Fuel Fraud Prevention count. GENERAL FUND Sec. 5200. Short title. Sec. 5412. Exemption of LED devices from Sec. 5611. Modification to corporate esti- PART I—AVIATION JET FUEL sonar devices suitable for find- mated tax requirements. Sec. 5211. Taxation of aviation-grade ker- ing fish. osene. Sec. 5413. Repeal of harbor maintenance tax Subtitle A—Trust Fund Reauthorization Sec. 5212. Transfer of certain amounts from on exports. SEC. 5001. EXTENSION OF HIGHWAY TRUST FUND the Airport and Airway Trust Sec. 5414. Cap on excise tax on certain fish- AND AQUATIC RESOURCES TRUST Fund to the Highway Trust ing equipment. FUND EXPENDITURE AUTHORITY Fund to reflect highway use of Sec. 5415. Reduction in rate of tax on port- AND RELATED TAXES. jet fuel. able aerated bait containers. (a) HIGHWAY TRUST FUND EXPENDITURE AU- THORITY.— PART II—DYED FUEL PART III—AERIAL EXCISE TAXES (1) HIGHWAY ACCOUNT.—Paragraph (1) of Sec. 5221. Dye injection equipment. Sec. 5421. Clarification of excise tax exemp- section 9503(c) (relating to transfers from Sec. 5222. Elimination of administrative re- tions for agricultural aerial ap- Highway Trust Fund for certain repayments view for taxable use of dyed plicators and exemption for and credits) is amended— fuel. fixed-wing aircraft engaged in (A) in the matter before subparagraph (A), Sec. 5223. Penalty on untaxed chemically al- forestry operations. by striking ‘‘March 1, 2004’’ and inserting tered dyed fuel mixtures. Sec. 5422. Modification of rural airport defi- ‘‘October 1, 2009’’, Sec. 5224. Termination of dyed diesel use by nition. (B) by striking ‘‘or’’ at the end of subpara- intercity buses. Sec. 5423. Exemption from ticket taxes for graph (E), PART III—MODIFICATION OF INSPECTION OF transportation provided by sea- (C) by striking the period at the end of sub- RECORDS PROVISIONS planes. paragraph (F) and inserting ‘‘, or’’, Sec. 5231. Authority to inspect on-site Sec. 5424. Certain sightseeing flights exempt (D) by inserting after subparagraph (F), records. from taxes on air transpor- the following new subparagraph: Sec. 5232. Assessable penalty for refusal of tation. ‘‘(G) authorized to be paid out of the High- entry. PART IV—ALCOHOLIC BEVERAGE EXCISE way Trust Fund under the Safe, Account- PART IV—REGISTRATION AND REPORTING TAXES able, Flexible, and Efficient Transportation REQUIREMENTS Sec. 5431. Repeal of special occupational Equity Act of 2004.’’, and Sec. 5241. Registration of pipeline or vessel taxes on producers and market- (E) in the matter after subparagraph (G), operators required for exemp- ers of alcoholic beverages. as added by subparagraph (D), by striking tion of bulk transfers to reg- Sec. 5432. Suspension of limitation on rate ‘‘Surface Transportation Extension Act of istered terminals or refineries. of rum excise tax cover over to 2003’’ and inserting ‘‘Safe, Accountable, Sec. 5242. Display of registration. Puerto Rico and Virgin Islands. Flexible, and Efficient Transportation Eq- Sec. 5243. Registration of persons within for- uity Act of 2004’’. eign trade zones. PART V—SPORT EXCISE TAXES (2) MASS TRANSIT ACCOUNT.—Paragraph (3) Sec. 5244. Penalties for failure to register Sec. 5441. Custom gunsmiths. of section 9503(e) (relating to establishment and failure to report. Sec. 5442. Modified taxation of imported of Mass Transit Account) is amended— Sec. 5245. Information reporting for persons archery products. (A) in the matter before subparagraph (A), claiming certain tax benefits. Sec. 5443. Treatment of tribal governments by striking ‘‘March 1, 2004’’ and inserting PART V—IMPORTS for purposes of Federal wager- ‘‘October 1, 2009’’, Sec. 5251. Tax at point of entry where im- ing excise and occupational (B) by striking ‘‘or’’ at the end of subpara- porter not registered. taxes. graph (C),

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(C) by striking the period at the end of sub- (1) IN GENERAL.—Subsections (b), (c)(2), section shall apply to amounts paid for paragraph (D) and inserting ‘‘, or’’, (c)(3), (c)(4)(A)(i), and (c)(5)(A) of section 9503 which no transfer from the Highway Trust (D) by inserting after subparagraph (D), (relating to the Highway Trust Fund) are Fund has been made before April 1, 2004. the following new subparagraph: amended— (2) INTEREST CREDITED.—The amendment ‘‘(E) the Safe, Accountable, Flexible, and (A) by striking ‘‘2005’’ each place it appears made by subsection (b) shall take effect on Efficient Transportation Equity Act of and inserting ‘‘2009’’, and the date of the enactment of this Act. 2004,’’, and (B) by striking ‘‘2006’’ each place it appears SEC. 5003. MODIFICATION OF ADJUSTMENTS OF (E) in the matter after subparagraph (E), and inserting ‘‘2010’’. APPORTIONMENTS. as added by subparagraph (D), by striking (2) CONFORMING AMENDMENTS TO LAND AND (a) IN GENERAL.—Section 9503(d) (relating ‘‘Surface Transportation Extension Act of WATER CONSERVATION FUND.—Section 201(b) of to adjustments for apportionments) is 2003’’ and inserting ‘‘Safe, Accountable, the Land and Water Conservation Fund Act amended— Flexible, and Efficient Transportation Eq- of 1965 (16 U.S.C. 460l–11(b)) is amended— (1) by striking ‘‘24-month’’ in paragraph uity Act of 2004’’. (A) by striking ‘‘2003’’ and inserting ‘‘2007’’, (1)(B) and inserting ‘‘48-month’’, and (3) EXCEPTION TO LIMITATION ON TRANS- and (2) by striking ‘‘2 YEARS’’’ in the heading FERS.—Subparagraph (B) of section 9503(b)(5) (B) by striking ‘‘2004’’ each place it appears for paragraph (3) and inserting ‘‘4 YEARS’’’. (relating to limitation on transfers to High- and inserting ‘‘2008’’. (b) MEASUREMENT OF NET HIGHWAY RE- way Trust Fund) is amended by striking (f) EXTENSION OF TAX BENEFITS FOR QUALI- CEIPTS.—Section 9503(d) is amended by redes- ‘‘March 1, 2004’’ and inserting ‘‘October 1, FIED METHANOL AND ETHANOL FUEL PRO- ignating paragraph (6) as paragraph (7) and 2009’’. DUCED FROM COAL.—Section 4041(b)(2) (relat- by inserting after paragraph (5) the following (b) AQUATIC RESOURCES TRUST FUND EX- ing to qualified methanol and ethanol fuel) new paragraph: PENDITURE AUTHORITY.— is amended— ‘‘(6) MEASUREMENT OF NET HIGHWAY RE- (1) SPORT FISH RESTORATION ACCOUNT.— (1) by striking ‘‘2007’’ in subparagraph CEIPTS.—For purposes of making any esti- Paragraph (2) of section 9504(b) (relating to (C)(ii) and inserting ‘‘2010’’, and mate under paragraph (1) of net highway re- Sport Fish Restoration Account) is amended (2) by striking ‘‘October 1, 2007’’ in sub- ceipts for periods ending after the date speci- by striking ‘‘Surface Transportation Exten- paragraph (D) and inserting ‘‘January 1, fied in subsection (b)(1), the Secretary shall sion Act of 2003’’ each place it appears and 2011’’. treat— inserting ‘‘Safe, Accountable, Flexible, and (g) PROHIBITION ON USE OF HIGHWAY AC- ‘‘(A) each expiring provision of subsection Efficient Transportation Equity Act of 2004’’. COUNT FOR RAIL PROJECTS.—Section 9503(c) (b) which is related to appropriations or (2) BOAT SAFETY ACCOUNT.—Section 9504(c) (relating to transfers from Highway Trust transfers to the Highway Trust Fund to have (relating to expenditures from Boat Safety Fund for certain repayments and credits) is been extended through the end of the 48- Account) is amended— amended by adding at the end the following month period referred to in paragraph (1)(B), (A) by striking ‘‘March 1, 2004’’ and insert- new paragraph: and ing ‘‘October 1, 2009’’, and ‘‘(6) PROHIBITION ON USE OF HIGHWAY AC- ‘‘(B) with respect to each tax imposed (B) by striking ‘‘Surface Transportation COUNT FOR RAIL PROJECTS.—With respect to under the sections referred to in subsection Extension Act of 2003’’ and inserting ‘‘Safe, projects beginning after the date of the en- (b)(1), the rate of such tax during the 48- Accountable, Flexible, and Efficient Trans- actment of this paragraph, no amount shall month period referred to in paragraph (1)(B) portation Equity Act of 2004’’. be available from the Highway Account (as to be the same as the rate of such tax as in (3) EXCEPTION TO LIMITATION ON TRANS- defined in subsection (e)(5)(B)) for any rail effect on the date of such estimate.’’. (c) EFFECTIVE DATE.—The amendments FERS.—Paragraph (2) of section 9504(d) (relat- project.’’. ing to limitation on transfers to Aquatic Re- (h) HIGHWAY TRUST FUND EXPENDITURES made by this section shall take effect on the date of the enactment of this Act. sources Trust Fund) is amended by striking FOR HIGHWAY USE TAX EVASION PROJECTS.— ‘‘March 1, 2004’’ and inserting ‘‘October 1, From amounts available in the Highway Subtitle B—Biodiesel Income Tax Credit 2009’’. Trust Fund, there is authorized to be ex- SEC. 5101. BIODIESEL INCOME TAX CREDIT. pended such sums as are necessary for high- (4) TECHNICAL CORRECTION.—The last sen- (a) IN GENERAL.—Subpart D of part IV of way use tax evasion projects. tence of paragraph (2) of section 9504(b) is subchapter A of chapter 1 (relating to busi- (i) EFFECTIVE DATE.—The amendments amended by striking ‘‘subparagraph (B)’’, ness related credits) is amended by inserting made by and provisions of this section shall after section 40 the following new section: and inserting ‘‘subparagraph (C)’’. take effect on the date of the enactment of (c) EXTENSION OF TAXES.— ‘‘SEC. 40A. BIODIESEL USED AS FUEL. this Act. (1) IN GENERAL.—The following provisions ‘‘(a) GENERAL RULE.—For purposes of sec- SEC. 5002. FULL ACCOUNTING OF FUNDS RE- tion 38, the biodiesel fuels credit determined are each amended by striking ‘‘2005’’ each CEIVED BY THE HIGHWAY TRUST place it appears and inserting ‘‘2009’’: FUND. under this section for the taxable year is an amount equal to the sum of— (A) Section 4041(a)(1)(C)(iii)(I) (relating to (a) IN GENERAL.—Section 9503(c) (relating rate of tax on certain buses). to transfers from Highway Trust Fund for ‘‘(1) the biodiesel mixture credit, plus (B) Section 4041(a)(2)(B) (relating to rate of certain repayments and credits), as amended ‘‘(2) the biodiesel credit. tax on special motor fuels). by section 5001 of this Act, is amended by ‘‘(b) DEFINITION OF BIODIESEL MIXTURE (C) Section 4041(m)(1)(A) (relating to cer- striking paragraph (2) and redesignating CREDIT AND BIODIESEL CREDIT.—For purposes tain alcohol fuels produced from natural paragraphs (3), (4), (5), and (6) as paragraphs of this section— gas). (2), (3), (4), and (5), respectively. ‘‘(1) BIODIESEL MIXTURE CREDIT.— (D) Section 4051(c) (relating to termination (b) INTEREST ON UNEXPENDED BALANCES ‘‘(A) IN GENERAL.—The biodiesel mixture of tax on heavy trucks and trailers). CREDITED TO TRUST FUND.—Section 9503 (re- credit of any taxpayer for any taxable year (E) Section 4071(d) (relating to termination lating to the Highway Trust Fund) is amend- is 50 cents for each gallon of biodiesel used of tax on tires). ed by striking subsection (f). by the taxpayer in the production of a quali- (F) Section 4081(d)(1) (relating to termi- (c) CONFORMING AMENDMENTS.— fied biodiesel mixture. nation of tax on gasoline, diesel fuel, and (1) Section 9503(b)(4)(D) is amended by ‘‘(B) QUALIFIED BIODIESEL MIXTURE.—The kerosene). striking ‘‘paragraph (4)(D) or (5)(B)’’ and in- term ‘qualified biodiesel mixture’ means a (G) Section 4481(e) (relating to period tax serting ‘‘paragraph (3)(D) or (4)(B)’’. mixture of biodiesel and diesel fuel (as de- in effect). (2) Paragraph (2) of section 9503(c) (as refined in section 4083(a)(3)), determined with- (H) Section 4482(c)(4) (relating to taxable designated by subsection (a)) is amended by out regard to any use of kerosene, which— period). adding at the end the following new sen- ‘‘(i) is sold by the taxpayer producing such (I) Section 4482(d) (relating to special rule tence: ‘‘The amounts payable from the High- mixture to any person for use as a fuel, or for taxable period in which termination date way Trust Fund under this paragraph shall ‘‘(ii) is used as a fuel by the taxpayer pro- occurs). be determined by taking into account only ducing such mixture. (2) FLOOR STOCKS REFUNDS.—Section the portion of the taxes which are deposited ‘‘(C) SALE OR USE MUST BE IN TRADE OR 6412(a)(1) (relating to floor stocks refunds) is into the Highway Trust Fund.’’. BUSINESS, ETC.—Biodiesel used in the produc- amended— (3) Section 9504(a)(2) is amended by strik- tion of a qualified biodiesel mixture shall be (A) by striking ‘‘2005’’ each place it appears ing ‘‘section 9503(c)(4), section 9503(c)(5)’’ and taken into account— and inserting ‘‘2009’’, and inserting ‘‘section 9503(c)(3), section ‘‘(i) only if the sale or use described in sub- (B) by striking ‘‘2006’’ each place it appears 9503(c)(4)’’. paragraph (B) is in a trade or business of the and inserting ‘‘2010’’. (4) Paragraph (2) of section 9504(b), as taxpayer, and (d) EXTENSION OF CERTAIN EXEMPTIONS.— amended by section 5001 of this Act, is ‘‘(ii) for the taxable year in which such The following provisions are each amended amended by striking ‘‘section 9503(c)(5)’’ and sale or use occurs. by striking ‘‘2005’’ and inserting ‘‘2009’’: inserting ‘‘section 9503(c)(4)’’. ‘‘(D) CASUAL OFF-FARM PRODUCTION NOT ELI- (1) Section 4221(a) (relating to certain tax- (5) Section 9504(e) is amended by striking GIBLE.—No credit shall be allowed under this free sales). ‘‘section 9503(c)(4)’’ and inserting ‘‘section section with respect to any casual off-farm (2) Section 4483(g) (relating to termination 9503(c)(3)’’. production of a qualified biodiesel mixture. of exemptions for highway use tax). (d) EFFECTIVE DATES.— ‘‘(2) BIODIESEL CREDIT.— (e) EXTENSION OF DEPOSITS INTO, AND CER- (1) IN GENERAL.—Except as provided in ‘‘(A) IN GENERAL.—The biodiesel credit of TAIN TRANSFERS FROM, TRUST FUND.— paragraph (2), the amendments made by this any taxpayer for any taxable year is 50 cents

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00183 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1140 CONGRESSIONAL RECORD — SENATE February 11, 2004 for each gallon of biodiesel which is not in a the Secretary, rules similar to the rules of inserting after subsection (d) the following mixture with diesel fuel and which during subsection (d) of section 52 shall apply. new subsection: the taxable year— ‘‘(e) TERMINATION.—This section shall not ‘‘(e) AVIATION-GRADE KEROSENE.—In the ‘‘(i) is used by the taxpayer as a fuel in a apply to any sale or use after December 31, case of aviation-grade kerosene which is ex- trade or business, or 2006.’’. empt from the tax imposed by section 4041(c) ‘‘(ii) is sold by the taxpayer at retail to a (b) CREDIT TREATED AS PART OF GENERAL (other than by reason of a prior imposition person and placed in the fuel tank of such BUSINESS CREDIT.—Section 38(b) (relating to of tax) and which is removed from any refin- person’s vehicle. current year business credit) is amended by ery or terminal directly into the fuel tank of ‘‘(B) USER CREDIT NOT TO APPLY TO BIO- striking ‘‘plus’’ at the end of paragraph (14), an aircraft, the rate of tax under section DIESEL SOLD AT RETAIL.—No credit shall be by striking the period at the end of para- 4081(a)(2)(A)(iv) shall be zero.’’. allowed under subparagraph (A)(i) with re- graph (15) and inserting ‘‘, plus’’, and by add- (B) CONFORMING AMENDMENTS.— spect to any biodiesel which was sold in a re- ing at the end the following new paragraph: (i) Subsection (b) of section 4082 is amend- tail sale described in subparagraph (A)(ii). ‘‘(16) the biodiesel fuels credit determined ed by adding at the end the following new ‘‘(3) CREDIT FOR AGRI-BIODIESEL.—In the under section 40A(a).’’. flush sentence: ‘‘The term ‘nontaxable use’ case of any biodiesel which is agri-biodiesel, (c) CONFORMING AMENDMENTS.— does not include the use of aviation-grade paragraphs (1)(A) and (2)(A) shall be applied (1) Section 39(d) is amended by adding at kerosene in an aircraft.’’. by substituting ‘$1.00’ for ‘50 cents’. the end the following new paragraph: (ii) Section 4082(d) is amended by striking ‘‘(4) CERTIFICATION FOR BIODIESEL.—No ‘‘(11) NO CARRYBACK OF BIODIESEL FUELS paragraph (1) and by redesignating para- credit shall be allowed under this section un- CREDIT BEFORE EFFECTIVE DATE.—No portion graphs (2) and (3) as paragraphs (1) and (2), less the taxpayer obtains a certification (in of the unused business credit for any taxable respectively. such form and manner as prescribed by the year which is attributable to the biodiesel (4) NONAIRCRAFT USE OF AVIATION-GRADE Secretary) from the producer or importer of fuels credit determined under section 40A KEROSENE.— the biodiesel which identifies the product may be carried back to a taxable year ending (A) IN GENERAL.—Subparagraph (B) of sec- produced and the percentage of biodiesel and on or before September 30, 2004.’’. tion 4041(a)(1) is amended by adding at the agri-biodiesel in the product. (2)(A) Section 87 is amended to read as fol- end the following new sentence: ‘‘This sub- ‘‘(c) COORDINATION WITH CREDIT AGAINST lows: paragraph shall not apply to aviation-grade EXCISE TAX.—The amount of the credit de- ‘‘SEC. 87. ALCOHOL AND BIODIESEL FUELS CRED- kerosene.’’. termined under this section with respect to ITS. (B) CONFORMING AMENDMENT.—The heading any biodiesel shall be properly reduced to ‘‘Gross income includes— for paragraph (1) of section 4041(a) is amend- take into account any benefit provided with ‘‘(1) the amount of the alcohol fuels credit respect to such biodiesel solely by reason of ed by inserting ‘‘AND KEROSENE’’ after ‘‘DIE- determined with respect to the taxpayer for SEL FUEL’’. the application of section 6426 or 6427(e). the taxable year under section 40(a), and ‘‘(d) DEFINITIONS AND SPECIAL RULES.—For (b) COMMERCIAL AVIATION.—Section 4083 is ‘‘(2) the biodiesel fuels credit determined purposes of this section— amended redesignating subsections (b) and with respect to the taxpayer for the taxable ‘‘(1) BIODIESEL.—The term ‘biodiesel’ (c) as subsections (c) and (d), respectively, means the monoalkyl esters of long chain year under section 40A(a).’’. and by inserting after subsection (a) the fol- fatty acids derived from plant or animal (B) The item relating to section 87 in the lowing new subsection: matter which meet— table of sections for part II of subchapter B ‘‘(b) COMMERCIAL AVIATION.—For purposes ‘‘(A) the registration requirements for of chapter 1 is amended by striking ‘‘fuel of this subpart, the term ‘commercial avia- fuels and fuel additives established by the credit’’ and inserting ‘‘and biodiesel fuels tion’ means any use of an aircraft in a busi- Environmental Protection Agency under sec- credits’’. ness of transporting persons or property for tion 211 of the Clean Air Act (42 U.S.C. 7545), (3) Section 196(c) is amended by striking compensation or hire by air, unless properly and ‘‘and’’ at the end of paragraph (9), by strik- allocable to any transportation exempt from ‘‘(B) the requirements of the American So- ing the period at the end of paragraph (10) the taxes imposed by section 4261 and 4271 by ciety of Testing and Materials D6751. and inserting ‘‘, and’’, and by adding at the reason of section 4281 or 4282 or by reason of ‘‘(2) AGRI-BIODIESEL.—The term ‘agri-bio- end the following new paragraph: section 4261(h).’’. ‘‘(11) the biodiesel fuels credit determined diesel’ means biodiesel derived solely from (c) REFUNDS.— under section 40A(a).’’. virgin oils, including esters derived from vir- (1) IN GENERAL.—Paragraph (4) of section gin vegetable oils from corn, soybeans, sun- (4) The table of sections for subpart D of 6427(l) is amended to read as follows: part IV of subchapter A of chapter 1 is flower seeds, cottonseeds, canola, crambe, ‘‘(4) REFUNDS FOR AVIATION-GRADE KER- amended by adding after the item relating to rapeseeds, safflowers, flaxseeds, rice bran, OSENE.— section 40 the following new item: and mustard seeds, and from animal fats. ‘‘(A) NO REFUND OF CERTAIN TAXES ON FUEL ‘‘(3) MIXTURE OR BIODIESEL NOT USED AS A ‘‘Sec. 40A. Biodiesel used as fuel.’’. USED IN COMMERCIAL AVIATION.—In the case of FUEL, ETC.— (d) EFFECTIVE DATE.—The amendments aviation-grade kerosene used in commercial ‘‘(A) MIXTURES.—If— made by this section shall apply to fuel pro- aviation (as defined in section 4083(b)) (other ‘‘(i) any credit was determined under this duced, and sold or used, after September 30, than supplies for vessels or aircraft within section with respect to biodiesel used in the 2004, in taxable years ending after such date. the meaning of section 4221(d)(3)), paragraph production of any qualified biodiesel mix- Subtitle C—Fuel Fraud Prevention (1) shall not apply to so much of the tax im- ture, and posed by section 4081 as is attributable to— ‘‘(ii) any person— SEC. 5200. SHORT TITLE. ‘‘(i) the Leaking Underground Storage ‘‘(I) separates the biodiesel from the mix- This subtitle may be cited as the ‘‘Fuel Tank Trust Fund financing rate imposed by ture, or Fraud Prevention Act of 2004’’. such section, and ‘‘(II) without separation, uses the mixture PART I—AVIATION JET FUEL ‘‘(ii) so much of the rate of tax specified in other than as a fuel, SEC. 5211. TAXATION OF AVIATION-GRADE KER- section 4081(a)(2)(A)(iv) as does not exceed 4.3 then there is hereby imposed on such person OSENE. cents per gallon. a tax equal to the product of the rate appli- (a) RATE OF TAX.— ‘‘(B) PAYMENT TO ULTIMATE, REGISTERED cable under subsection (b)(1)(A) and the (1) IN GENERAL.—Subparagraph (A) of sec- VENDOR.—With respect to aviation-grade ker- number of gallons of such biodiesel in such tion 4081(a)(2) is amended by striking ‘‘and’’ osene, if the ultimate purchaser of such ker- mixture. at the end of clause (ii), by striking the pe- osene waives (at such time and in such form ‘‘(B) BIODIESEL.—If— riod at the end of clause (iii) and inserting ‘‘, and manner as the Secretary shall prescribe) ‘‘(i) any credit was determined under this and’’, and by adding at the end the following the right to payment under paragraph (1) section with respect to the retail sale of any new clause: and assigns such right to the ultimate ven- biodiesel, and ‘‘(iv) in the case of aviation-grade ker- dor, then the Secretary shall pay the amount ‘‘(ii) any person mixes such biodiesel or osene, 21.8 cents per gallon.’’. which would be paid under paragraph (1) to uses such biodiesel other than as a fuel, (2) COMMERCIAL AVIATION.—Paragraph (2) of such ultimate vendor, but only if such ulti- then there is hereby imposed on such person section 4081(a) is amended by adding at the mate vendor— a tax equal to the product of the rate appli- end the following new subparagraph: ‘‘(i) is registered under section 4101, and cable under subsection (b)(2)(A) and the ‘‘(C) TAXES IMPOSED ON FUEL USED IN COM- ‘‘(ii) meets the requirements of subpara- number of gallons of such biodiesel. MERCIAL AVIATION.—In the case of aviation- graph (A), (B), or (D) of section 6416(a)(1).’’. ‘‘(C) APPLICABLE LAWS.—All provisions of grade kerosene which is removed from any (2) TIME FOR FILING CLAIMS.—Paragraph (4) law, including penalties, shall, insofar as ap- refinery or terminal directly into the fuel of section 6427(i) is amended by striking plicable and not inconsistent with this sec- tank of an aircraft for use in commercial ‘‘subsection (l)(5)’’ and inserting ‘‘paragraph tion, apply in respect of any tax imposed aviation, the rate of tax under subparagraph (4)(B) or (5) of subsection (l)’’. under subparagraph (A) or (B) as if such tax (A)(iv) shall be 4.3 cents per gallon.’’. (3) CONFORMING AMENDMENT.—Subpara- were imposed by section 4081 and not by this (3) NONTAXABLE USES.— graph (B) of section 6427(l)(2) is amended to chapter. (A) IN GENERAL.—Section 4082 is amended read as follows: ‘‘(4) PASS-THRU IN THE CASE OF ESTATES AND by redesignating subsections (e) and (f) as ‘‘(B) in the case of aviation-grade ker- TRUSTS.—Under regulations prescribed by subsections (f) and (g), respectively, and by osene—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00184 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1141 ‘‘(i) any use which is exempt from the tax graph (1) shall not apply to kerosene (other cluding the nonapplication of such tax on de imposed by section 4041(c) other than by rea- than aviation-grade kerosene)’’. minimis amounts of kerosene. son of a prior imposition of tax, or (L) Subparagraph (B) of section 6724(d)(1) is (3) TRANSFER OF FLOOR STOCK TAX REVE- ‘‘(ii) any use in commercial aviation (with- amended by striking clause (xv) and by re- NUES TO TRUST FUNDS.—For purposes of de- in the meaning of section 4083(b)).’’. designating the succeeding clauses accord- termining the amount transferred to any (d) REPEAL OF PRIOR TAXATION OF AVIATION ingly. trust fund, the tax imposed by this sub- FUEL.— (M) Paragraph (2) of section 6724(d) is section shall be treated as imposed by sec- (1) IN GENERAL.—Part III of subchapter A of amended by striking subparagraph (W) and tion 4081 of the Internal Revenue Code of chapter 32 is amended by striking subpart B by redesignating the succeeding subpara- 1986— and by redesignating subpart C as subpart B. graphs accordingly. (A) at the Leaking Underground Storage (2) CONFORMING AMENDMENTS.— (N) Paragraph (1) of section 9502(b) is Tank Trust Fund financing rate under such (A) Section 4041(c) is amended to read as amended by adding ‘‘and’’ at the end of subsection to the extent of 0.1 cents per gallon, follows: paragraph (B) and by striking subparagraphs and ‘‘(c) AVIATION-GRADE KEROSENE.— (C) and (D) and inserting the following new (B) at the rate under section ‘‘(1) IN GENERAL.—There is hereby imposed subparagraph: 4081(a)(2)(A)(iv) to the extent of the remain- a tax upon aviation-grade kerosene— ‘‘(C) section 4081 with respect to aviation der. ‘‘(A) sold by any person to an owner, les- gasoline and aviation-grade kerosene, and’’. (4) HELD BY A PERSON.—For purposes of this see, or other operator of an aircraft for use (O) The last sentence of section 9502(b) is section, kerosene shall be considered as held in such aircraft, or amended to read as follows: by a person if title thereto has passed to ‘‘(B) used by any person in an aircraft un- ‘‘There shall not be taken into account such person (whether or not delivery to the less there was a taxable sale of such fuel person has been made). under subparagraph (A). under paragraph (1) so much of the taxes im- (5) OTHER LAWS APPLICABLE.—All provi- ‘‘(2) EXEMPTION FOR PREVIOUSLY TAXED posed by section 4081 as are determined at sions of law, including penalties, applicable FUEL.—No tax shall be imposed by this sub- the rate specified in section 4081(a)(2)(B).’’. with respect to the tax imposed by section section on the sale or use of any aviation- (P) Subsection (b) of section 9508 is amend- 4081 of such Code shall, insofar as applicable grade kerosene if tax was imposed on such ed by striking paragraph (3) and by redesig- and not inconsistent with the provisions of liquid under section 4081 and the tax thereon nating paragraphs (4) and (5) as paragraphs this subsection, apply with respect to the was not credited or refunded. (3) and (4), respectively. floor stock tax imposed by paragraph (1) to ‘‘(3) RATE OF TAX.—The rate of tax imposed (Q) Section 9508(c)(2)(A) is amended by the same extent as if such tax were imposed by this subsection shall be the rate of tax striking ‘‘sections 4081 and 4091’’ and insert- specified in section 4081(a)(2)(A)(iv) which is ing ‘‘section 4081’’. by such section. in effect at the time of such sale or use.’’. (R) The table of subparts for part III of SEC. 5212. TRANSFER OF CERTAIN AMOUNTS (B) Section 4041(d)(2) is amended by strik- subchapter A of chapter 32 is amended to FROM THE AIRPORT AND AIRWAY read as follows: TRUST FUND TO THE HIGHWAY ing ‘‘section 4091’’ and inserting ‘‘section TRUST FUND TO REFLECT HIGHWAY 4081’’. ‘‘Subpart A. Motor and aviation fuels. USE OF JET FUEL. (C) Section 4041 is amended by striking (a) IN GENERAL.—Section 9502(d) is amend- subsection (e). ‘‘Subpart B. Special provisions applicable to fuels tax.’’. ed by adding at the end the following new (D) Section 4041 is amended by striking paragraph: subsection (i). (S) The heading for subpart A of part III of ‘‘(7) TRANSFERS FROM THE TRUST FUND TO (E) Section 4041(m)(1) is amended to read subchapter A of chapter 32 is amended to THE HIGHWAY TRUST FUND TO REFLECT HIGH- as follows: read as follows: WAY USE OF JET FUEL.— ‘‘(1) IN GENERAL.—In the case of the sale or ‘‘Subpart A—Motor and Aviation Fuels’’. ‘‘(A) IN GENERAL.—The Secretary shall pay use of any partially exempt methanol or eth- (T) The heading for subpart B of part III of from the Airport and Airway Trust Fund anol fuel, the rate of the tax imposed by sub- subchapter A of chapter 32 is amended to into the Highway Trust Fund— section (a)(2) shall be— read as follows: ‘‘(i) $395,000,000 in fiscal year 2005, ‘‘(A) after September 30, 1997, and before ‘‘(ii) $425,000,000 in fiscal year 2006, September 30, 2009— ‘‘Subpart B—Special Provisions Applicable to ‘‘(iii) $429,000,000 in fiscal year 2007, ‘‘(i) in the case of fuel none of the alcohol Fuels Tax’’. ‘‘(iv) $432,000,000 in fiscal year 2008, and in which consists of ethanol, 9.15 cents per (g) OTHER AMENDMENTS.— ‘‘(v) $435,000,000 in fiscal year 2009. gallon, and (1) Section 4081(c) is amended by adding at ‘‘(B) AMOUNTS TRANSFERRED TO MASS TRAN- ‘‘(ii) in any other case, 11.3 cents per gal- the end the following new flush sentence: SIT ACCOUNT.—The Secretary shall transfer 11 lon, and ‘‘In the case of any taxable fuel which is percent of the amounts paid into the High- ‘‘(B) after September 30, 2009— aviation-grade keorsene, this subsection way Trust Fund under subparagraph (A) to ‘‘(i) in the case of fuel none of the alcohol shall not apply and the rules of section the Mass Transit Account established under in which consists of ethanol, 2.15 cents per 4091(c) (as in effect on the day before the section 9503(e).’’. gallon, and date of the enactment of the Fuel Fraud Pre- (b) CONFORMING AMENDMENTS.— ‘‘(ii) in any other case, 4.3 cents per gal- vention Act of 2004) shall apply.’’. (1) Subsection (a) of section 9503 is amend- lon.’’. (2) For purposes of the Internal Revenue ed— (F) Sections 4101(a), 4103, 4221(a), and 6206 Code of 1986, any reference to section 4091(c) (A) by striking ‘‘appropriated or credited’’ are each amended by striking ‘‘, 4081, or shall be treated as a reference to the rules of and inserting ‘‘paid, appropriated, or cred- 4091’’ and inserting ‘‘or 4081’’. such section as in effect on the date before ited’’, and (G) Section 6416(b)(2) is amended by strik- the date of the enactment of this Act. (B) by striking ‘‘or section 9602(b)’’ and in- ing ‘‘4091 or’’. FFECTIVE DATE.—The amendments (f) E serting ‘‘, section 9502(d)(7), or section (H) Section 6416(b)(3) is amended by strik- made by this section shall apply to aviation- 9602(b)’’. ing ‘‘or 4091’’ each place it appears. grade kerosene removed, entered, or sold (2) Subsection (e)(1) of section 9503 is (I) Section 6416(d) is amended by striking after September 30, 2004. amended by striking ‘‘or section 9602(b)’’ and ‘‘or to the tax imposed by section 4091 in the (g) FLOOR STOCKS TAX.— inserting ‘‘, section 9502(d)(7), or section case of refunds described in section 4091(d)’’. (1) IN GENERAL.—There is hereby imposed 9602(b)’’. (J) Section 6427(j)(1) is amended by strik- on aviation-grade kerosene held on October (c) EFFECTIVE DATE.—The amendments ing ‘‘, 4081, and 4091’’ and inserting ‘‘and 1, 2004, by any person a tax equal to— made by this section shall take effect on Oc- 4081’’. (A) the tax which would have been imposed tober 1, 2004. (K)(i) Section 6427(l)(1) is amended to read before such date on such kerosene had the as follows: amendments made by this section been in ef- PART II—DYED FUEL ‘‘(1) IN GENERAL.—Except as otherwise pro- fect at all times before such date, reduced by SEC. 5221. DYE INJECTION EQUIPMENT. vided in this subsection and in subsection (B) the tax imposed before such date under (a) IN GENERAL.—Section 4082(a)(2) (relat- (k), if any diesel fuel or kerosene on which section 4091 of the Internal Revenue Code of ing to exemptions for diesel fuel and ker- tax has been imposed by section 4041 or 4081 1986, as in effect on the day before the date osene) is amended by inserting ‘‘by mechan- is used by any person in a nontaxable use, of the enactment of this Act. ical injection’’ after ‘‘indelibly dyed’’. the Secretary shall pay (without interest) to (2) LIABILITY FOR TAX AND METHOD OF PAY- (b) DYE INJECTOR SECURITY.—Not later the ultimate purchaser of such fuel an MENT.— than June 30, 2004, the Secretary of the amount equal to the aggregate amount of (A) LIABILITY FOR TAX.—The person holding Treasury shall issue regulations regarding tax imposed on such fuel under section 4041 the kerosene on October 1, 2004, to which the mechanical dye injection systems described or 4081, as the case may be, reduced by any tax imposed by paragraph (1) applies shall be in the amendment made by subsection (a), refund paid to the ultimate vendor under liable for such tax. and such regulations shall include standards paragraph (4)(B).’’. (B) METHOD AND TIME FOR PAYMENT.—The for making such systems tamper resistant. (ii) Paragraph (5)(B) of section 6427(l) is tax imposed by paragraph (1) shall be paid at (c) PENALTY FOR TAMPERING WITH OR FAIL- amended by striking ‘‘Paragraph (1)(A) shall such time and in such manner as the Sec- ING TO MAINTAIN SECURITY REQUIREMENTS not apply to kerosene’’ and inserting ‘‘Para- retary of the Treasury shall prescribe, in- FOR MECHANICAL DYE INJECTION SYSTEMS.—

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(1) IN GENERAL.—Part I of subchapter B of SEC. 5223. PENALTY ON UNTAXED CHEMICALLY section 4083(d)(1) shall pay a penalty of $1,000 chapter 68 (relating to assessable penalties) ALTERED DYED FUEL MIXTURES. for such refusal. is amended by adding after section 6715 the (a) IN GENERAL.—Section 6715(a) (relating ‘‘(b) JOINT AND SEVERAL LIABILITY.— following new section: to dyed fuel sold for use or used in taxable ‘‘(1) IN GENERAL.—If a penalty is imposed ‘‘SEC. 6715A. TAMPERING WITH OR FAILING TO use, etc.) is amended by striking ‘‘or’’ in under this section on any business entity, MAINTAIN SECURITY REQUIRE- paragraph (2), by inserting ‘‘or’’ at the end of each officer, employee, or agent of such enti- MENTS FOR MECHANICAL DYE IN- paragraph (3), and by inserting after para- ty or other contracting party who willfully JECTION SYSTEMS. graph (3) the following new paragraph: participated in any act giving rise to such ‘‘(a) IMPOSITION OF PENALTY— ‘‘(4) any person who has knowledge that a penalty shall be jointly and severally liable ‘‘(1) TAMPERING.—If any person tampers dyed fuel which has been altered as described with such entity for such penalty. with a mechanical dye injection system used in paragraph (3) sells or holds for sale such ‘‘(2) AFFILIATED GROUPS.—If a business en- to indelibly dye fuel for purposes of section fuel for any use which the person knows or tity described in paragraph (1) is part of an 4082, then such person shall pay a penalty in has reason to know is not a nontaxable use affiliated group (as defined in section addition to the tax (if any). of such fuel,’’. 1504(a)), the parent corporation of such enti- ‘‘(2) FAILURE TO MAINTAIN SECURITY RE- (b) CONFORMING AMENDMENT.—Section ty shall be jointly and severally liable with QUIREMENTS.—If any operator of a mechan- 6715(a)(3) is amended by striking ‘‘alters, or such entity for the penalty imposed under ical dye injection system used to indelibly attempts to alter,’’ and inserting ‘‘alters, this section. dye fuel for purposes of section 4082 fails to chemically or otherwise, or attempts to so ‘‘(c) REASONABLE CAUSE EXCEPTION.—No maintain the security standards for such alter,’’. penalty shall be imposed under this section system as established by the Secretary, then (c) EFFECTIVE DATE.—The amendments with respect to any failure if it is shown that such operator shall pay a penalty. made by this section shall take effect on the such failure is due to reasonable cause.’’. ‘‘(b) AMOUNT OF PENALTY.—The amount of date of the enactment of this Act. (b) CONFORMING AMENDMENTS.— the penalty under subsection (a) shall be— SEC. 5224. TERMINATION OF DYED DIESEL USE (1) Section 4083(d)(3), as amended by sec- ‘‘(1) for each violation described in para- BY INTERCITY BUSES. tion 5211 of this Act, is amended— graph (1), the greater of— (a) IN GENERAL.—Paragraph (3) of section (A) by striking ‘‘ENTRY.—The penalty’’ and ‘‘(A) $25,000, or 4082(b) (relating to nontaxable use) is amend- inserting: ‘‘ENTRY.— ‘‘(B) $10 for each gallon of fuel involved, ed to read as follows: ‘‘(A) FORFEITURE.—The penalty’’, and and ‘‘(3) any use described in section (B) by adding at the end the following new ‘‘(2) for each— 4041(a)(1)(C)(iii)(II).’’. subparagraph: ‘‘(A) failure to maintain security standards (b) ULTIMATE VENDOR REFUND.—Subsection ‘‘(B) ASSESSABLE PENALTY.—For additional described in paragraph (2), $1,000, and (b) of section 6427 is amended by adding at assessable penalty for the refusal to admit ‘‘(B) failure to correct a violation de- the end the following new paragraph: entry or other refusal to permit an action by scribed in paragraph (2), $1,000 per day for ‘‘(4) REFUNDS FOR USE OF DIESEL FUEL IN the Secretary authorized by paragraph (1), each day after which such violation was dis- CERTAIN INTERCITY BUSES.— see section 6717.’’. covered or such person should have reason- ‘‘(A) IN GENERAL.—With respect to any fuel (2) The table of sections for part I of sub- ably known of such violation. to which paragraph (2)(A) applies, if the ulti- chapter B of chapter 68, as amended by sec- ‘‘(c) JOINT AND SEVERAL LIABILITY.— mate purchaser of such fuel waives (at such tion 5221 of this Act, is amended by adding at ‘‘(1) IN GENERAL.—If a penalty is imposed time and in such form and manner as the the end the following new item: under this section on any business entity, Secretary shall prescribe) the right to pay- ‘‘Sec. 6717. Refusal of entry.’’. each officer, employee, or agent of such enti- ment under paragraph (1) and assigns such ty or other contracting party who willfully right to the ultimate vendor, then the Sec- (c) EFFECTIVE DATE.—The amendments participated in any act giving rise to such retary shall pay the amount which would be made by this section shall take effect on Oc- penalty shall be jointly and severally liable paid under paragraph (1) to such ultimate tober 1, 2004. with such entity for such penalty. vendor, but only if such ultimate vendor— PART IV—REGISTRATION AND ‘‘(2) AFFILIATED GROUPS.—If a business en- ‘‘(i) is registered under section 4101, and REPORTING REQUIREMENTS tity described in paragraph (1) is part of an ‘‘(ii) meets the requirements of subpara- SEC. 5241. REGISTRATION OF PIPELINE OR VES- affiliated group (as defined in section graph (A), (B), or (D) of section 6416(a)(1). SEL OPERATORS REQUIRED FOR EX- 1504(a)), the parent corporation of such enti- ‘‘(B) CREDIT CARDS.—For purposes of this EMPTION OF BULK TRANSFERS TO ty shall be jointly and severally liable with paragraph, if the sale of such fuel is made by REGISTERED TERMINALS OR REFIN- such entity for the penalty imposed under means of a credit card, the person extending ERIES. this section.’’. credit to the ultimate purchaser shall be (a) IN GENERAL.—Section 4081(a)(1)(B) (re- (2) CLERICAL AMENDMENT.—The table of deemed to be the ultimate vendor.’’. lating to exemption for bulk transfers to reg- sections for part I of subchapter B of chapter (c) PAYMENT OF REFUNDS.—Subparagraph istered terminals or refineries) is amended— 68 is amended by adding after the item re- (A) of section 6427(i)(4), as amended by sec- (1) by inserting ‘‘by pipeline or vessel’’ lated to section 6715 the following new item: tion 5211 of this Act, is amended by inserting after ‘‘transferred in bulk’’, and (2) by inserting ‘‘, the operator of such ‘‘Sec. 6715A. Tampering with or failing to ‘‘subsections (b)(4) and’’ after ‘‘filed under’’. pipeline or vessel,’’ after ‘‘the taxable fuel’’. maintain security requirements (b) EFFECTIVE DATE.—The amendments (b) CIVIL PENALTY FOR CARRYING TAXABLE for mechanical dye injection made by this section shall apply to fuel sold FUELS BY NONREGISTERED PIPELINES OR VES- systems.’’. after September 30, 2004. SELS.— (d) EFFECTIVE DATE.—The amendments PART III—MODIFICATION OF INSPECTION (1) IN GENERAL.—Part I of subchapter B of made by subsections (a) and (c) shall take ef- OF RECORDS PROVISIONS chapter 68 (relating to assessable penalties), fect 180 days after the date on which the Sec- SEC. 5231. AUTHORITY TO INSPECT ON-SITE as amended by section 5232 of this Act, is retary issues the regulations described in RECORDS. amended by adding at the end the following subsection (b). (a) IN GENERAL.—Section 4083(d)(1)(A) (renew section: SEC. 5222. ELIMINATION OF ADMINISTRATIVE RE- lating to administrative authority), as ‘‘SEC. 6718. CARRYING TAXABLE FUELS BY NON- VIEW FOR TAXABLE USE OF DYED amended by section 5211 of this Act, is FUEL. REGISTERED PIPELINES OR VES- amended by striking ‘‘and’’ at the end of SELS. (a) IN GENERAL.—Section 6715 is amended clause (i) and by inserting after clause (ii) by inserting at the end the following new ‘‘(a) IMPOSITION OF PENALTY.—If any person the following new clause: subsection: knowingly transfers any taxable fuel (as de- ‘‘(iii) inspecting any books and records and ‘‘(e) NO ADMINISTRATIVE APPEAL FOR THIRD fined in section 4083(a)(1)) in bulk pursuant any shipping papers pertaining to such fuel, AND SUBSEQUENT VIOLATIONS.—In the case of to section 4081(a)(1)(B) to an unregistered, any person who is found to be subject to the and’’. such person shall pay a penalty in addition FFECTIVE DATE.—The amendments penalty under this section after a chemical (b) E to the tax (if any). analysis of such fuel and who has been penal- made by this section shall take effect on the ‘‘(b) AMOUNT OF PENALTY.— ized under this section at least twice after date of the enactment of this Act. ‘‘(1) IN GENERAL.—Except as provided in the date of the enactment of this subsection, SEC. 5232. ASSESSABLE PENALTY FOR REFUSAL paragraph (2), the amount of the penalty no administrative appeal or review shall be OF ENTRY. under subsection (a) on each act shall be an allowed with respect to such finding except (a) IN GENERAL.—Part I of subchapter B of amount equal to the greater of— in the case of a claim regarding— chapter 68 (relating to assessable penalties), ‘‘(A) $10,000, or ‘‘(1) fraud or mistake in the chemical anal- as amended by section 5221 of this Act, is ‘‘(B) $1 per gallon. ysis, or amended by adding at the end the following ‘‘(2) MULTIPLE VIOLATIONS.—In determining ‘‘(2) mathematical calculation of the new section: the penalty under subsection (a) on any per- amount of the penalty.’’. ‘‘SEC. 6717. REFUSAL OF ENTRY. son, paragraph (1) shall be applied by in- (b) EFFECTIVE DATE.—The amendment ‘‘(a) IN GENERAL.—In addition to any other creasing the amount in paragraph (1) by the made by this section shall apply to penalties penalty provided by law, any person who re- product of such amount and the number of assessed after the date of the enactment of fuses to admit entry or refuses to permit any prior penalties (if any) imposed by this sec- this Act. other action by the Secretary authorized by tion on such person (or a related person or

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any predecessor of such person or related (c) EFFECTIVE DATE.—The amendments (2) CLERICAL AMENDMENT.—The table of person). made by this section shall take effect on Oc- sections for part II of subchapter B of chap- ‘‘(c) JOINT AND SEVERAL LIABILITY.— tober 1, 2004. ter 68 is amended by adding at the end the ‘‘(1) IN GENERAL.—If a penalty is imposed SEC. 5243. REGISTRATION OF PERSONS WITHIN following new item: under this section on any business entity, FOREIGN TRADE ZONES, ETC.. ‘‘Sec. 6725. Failure to report information each officer, employee, or agent of such enti- (a) IN GENERAL.—Section 4101(a), as amend- under section 4101.’’. ty or other contracting party who willfully ed by section 5242 of this Act, is amended by (e) EFFECTIVE DATE.—The amendments participated in any act giving rise to such redesignating paragraph (2) as paragraph (3), made by this section shall apply to failures penalty shall be jointly and severally liable and by inserting after paragraph (1) the fol- pending or occurring after September 30, with such entity for such penalty. lowing new paragraph: 2004. ‘‘(2) AFFILIATED GROUPS.—If a business en- ‘‘(2) REGISTRATION OF PERSONS WITHIN FOR- SEC. 5245. INFORMATION REPORTING FOR PER- tity described in paragraph (1) is part of an EIGN TRADE ZONES, ETC..—The Secretary shall affiliated group (as defined in section SONS CLAIMING CERTAIN TAX BENE- require registration by any person which— FITS. 1504(a)), the parent corporation of such enti- ‘‘(A) operates a terminal or refinery within (a) IN GENERAL.—Subpart C of part III of ty shall be jointly and severally liable with a foreign trade zone or within a customs subchapter A of chapter 32 is amended by such entity for the penalty imposed under bonded storage facility, or adding at the end the following new section: this section. ‘‘(B) holds an inventory position with re- ‘‘SEC. 4104. INFORMATION REPORTING FOR PER- ‘‘(d) REASONABLE CAUSE EXCEPTION.—No spect to a taxable fuel in such a terminal.’’. SONS CLAIMING CERTAIN TAX BENE- penalty shall be imposed under this section (b) EFFECTIVE DATE.—The amendments FITS. with respect to any failure if it is shown that made by this section shall take effect on Oc- ‘‘(a) IN GENERAL.—The Secretary shall re- such failure is due to reasonable cause.’’. tober 1, 2004. quire any person claiming tax benefits— (2) CLERICAL AMENDMENT.—The table of SEC. 5244. PENALTIES FOR FAILURE TO REG- ‘‘(1) under the provisions of section 34, 40, sections for part I of subchapter B of chapter ISTER AND FAILURE TO REPORT. and 40A to file a return at the time such per- 68, as amended by section 5232 of this Act, is (a) INCREASED PENALTY.—Subsection (a) of son claims such benefits (in such manner as amended by adding at the end the following section 7272 (relating to penalty for failure the Secretary may prescribe), and new item: to register) is amended by inserting ‘‘($10,000 ‘‘(2) under the provisions of section ‘‘Sec. 6718. Carrying taxable fuels by nonreg- in the case of a failure to register under sec- 4041(b)(2), 6426, or 6427(e) to file a monthly re- istered pipelines or vessels.’’. tion 4101)’’ after ‘‘$50’’. turn (in such manner as the Secretary may (c) PUBLICATION OF REGISTERED PERSONS.— (b) INCREASED CRIMINAL PENALTY.—Section prescribe). Not later than June 30, 2004, the Secretary of 7232 (relating to failure to register under sec- ‘‘(b) CONTENTS OF RETURN.—Any return the Treasury shall publish a list of persons tion 4101, false representations of registra- filed under this section shall provide such in- required to be registered under section 4101 tion status, etc.) is amended by striking formation relating to such benefits and the of the Internal Revenue Code of 1986. ‘‘$5,000’’ and inserting ‘‘$10,000’’. coordination of such benefits as the Sec- (d) EFFECTIVE DATE.—The amendments (c) ASSESSABLE PENALTY FOR FAILURE TO retary may require to ensure the proper ad- made by subsections (a) and (b) shall take ef- REGISTER.— ministration and use of such benefits. fect on October 1, 2004. (1) IN GENERAL.—Part I of subchapter B of ‘‘(c) ENFORCEMENT.—With respect to any SEC. 5242. DISPLAY OF REGISTRATION. chapter 68 (relating to assessable penalties), person described in subsection (a) and sub- (a) IN GENERAL.—Subsection (a) of section as amended by section 5242 of this Act, is ject to registration requirements under this 4101 (relating to registration) is amended— amended by adding at the end the following title, rules similar to rules of section 4222(c) (1) by striking ‘‘Every’’ and inserting the new section: shall apply with respect to any requirement following: ‘‘SEC. 6720. FAILURE TO REGISTER. under this section.’’. ‘‘(1) IN GENERAL.—Every’’, and ‘‘(a) FAILURE TO REGISTER.—Every person (b) CONFORMING AMENDMENT.—The table of (2) by adding at the end the following new who is required to register under section 4101 sections for subpart C of part III of subparagraph: and fails to do so shall pay a penalty in addi- chapter A of chapter 32 is amended by adding ‘‘(2) DISPLAY OF REGISTRATION.—Every option to the tax (if any). at the end the following new item: erator of a vessel required by the Secretary ‘‘(b) AMOUNT OF PENALTY.—The amount of ‘‘Sec. 4104. Information reporting for per- to register under this section shall display the penalty under subsection (a) shall be— sons claiming certain tax bene- proof of registration through an electronic ‘‘(1) $10,000 for each initial failure to reg- fits.’’. identification device prescribed by the Sec- ister, and (c) EFFECTIVE DATE.—The amendments retary on each vessel used by such operator ‘‘(2) $1,000 for each day thereafter such per- made by this section shall take effect on Oc- to transport any taxable fuel.’’. son fails to register. tober 1, 2004. ‘‘(c) REASONABLE CAUSE EXCEPTION.—No (b) CIVIL PENALTY FOR FAILURE TO DISPLAY PART V—IMPORTS REGISTRATION.— penalty shall be imposed under this section SEC. 5251. TAX AT POINT OF ENTRY WHERE IM- (1) IN GENERAL.—Part I of subchapter B of with respect to any failure if it is shown that such failure is due to reasonable cause.’’. PORTER NOT REGISTERED. chapter 68 (relating to assessable penalties), (a) TAX AT POINT OF ENTRY WHERE IM- (2) CLERICAL AMENDMENT.—The table of as amended by section 5241 of this Act, is PORTER NOT REGISTERED.— amended by adding at the end the following sections for part I of subchapter B of chapter 68, as amended by section 5242 of this Act, is (1) IN GENERAL.—Subpart C of part III of new section: subchapter A of chapter 31, as amended by ‘‘SEC. 6719. FAILURE TO DISPLAY REGISTRATION amended by adding at the end the following new item: section 5245 of this Act, is amended by add- OF VESSEL. ing at the end the following new section: ‘‘(a) FAILURE TO DISPLAY REGISTRATION.— ‘‘Sec. 6720. Failure to register.’’. Every operator of a vessel who fails to dis- ‘‘SEC. 4105. TAX AT ENTRY WHERE IMPORTER (d) ASSESSABLE PENALTY FOR FAILURE TO NOT REGISTERED. play proof of registration pursuant to sec- REPORT.— ‘‘(a) IN GENERAL.—Any tax imposed under tion 4101(a)(2) shall pay a penalty of $500 for (1) IN GENERAL.—Part II of subchapter B of this part on any person not registered under each such failure. With respect to any vessel, chapter 68 (relating to assessable penalties) section 4101 for the entry of a fuel into the only one penalty shall be imposed by this is amended by adding at the end the fol- United States shall be imposed at the time section during any calendar month. lowing new section: and point of entry. ‘‘(b) MULTIPLE VIOLATIONS.—In deter- ‘‘SEC. 6725. FAILURE TO REPORT INFORMATION ‘‘(b) ENFORCEMENT OF ASSESSMENT.—If any mining the penalty under subsection (a) on UNDER SECTION 4101. person liable for any tax described under any person, subsection (a) shall be applied by ‘‘(a) IN GENERAL.—In the case of each fail- subsection (a) has not paid the tax or posted increasing the amount in subsection (a) by ure described in subsection (b) by any person a bond, the Secretary may— the product of such amount and the number with respect to a vessel or facility, such per- ‘‘(1) seize the fuel on which the tax is due, of prior penalties (if any) imposed by this son shall pay a penalty of $10,000 in addition or section on such person (or a related person to the tax (if any). ‘‘(2) detain any vehicle transporting such or any predecessor of such person or related ‘‘(b) FAILURES SUBJECT TO PENALTY.—For fuel, person). purposes of subsection (a), the failures de- until such tax is paid or such bond is filed. ‘‘(c) REASONABLE CAUSE EXCEPTION.—No scribed in this subsection are— ‘‘(c) LEVY OF FUEL.—If no tax has been paid penalty shall be imposed under this section ‘‘(1) any failure to make a report under or no bond has been filed within 5 days from with respect to any failure if it is shown that section 4101(d) on or before the date pre- the date the Secretary seized fuel pursuant such failure is due to reasonable cause.’’. scribed therefor, and to subsection (b), the Secretary may sell (2) CLERICAL AMENDMENT.—The table of ‘‘(2) any failure to include all of the infor- such fuel as provided under section 6336.’’. sections for part I of subchapter B of chapter mation required to be shown on such report (2) CONFORMING AMENDMENT.—The table of 68, as amended by section 5241 of this Act, is or the inclusion of incorrect information. sections for subpart C of part III of sub- amended by adding at the end the following ‘‘(c) REASONABLE CAUSE EXCEPTION.—No chapter A of chapter 31 of the Internal Rev- new item: penalty shall be imposed under this section enue Code of 1986, as amended by section 5245 ‘‘Sec. 6719. Failure to display registration of with respect to any failure if it is shown that of this Act, is amended by adding after the vessel.’’. such failure is due to reasonable cause.’’. last item the following new item:

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‘‘Sec. 4105. Tax at entry where importer not ‘‘(A) IN GENERAL.—A claim may be filed mate purchaser shall be deemed to be the ul- registered.’’. under subsection (l)(6) by any person with re- timate vendor.’’. (b) DENIAL OF ENTRY WHERE TAX NOT spect to fuel sold by such person for any pe- (c) EFFECTIVE DATE.—The amendments PAID.—The Secretary of Homeland Security riod— made by this section shall take effect on Oc- is authorized to deny entry into the United ‘‘(i) for which $200 or more ($100 or more in tober 1, 2004. States of any shipment of a fuel which is the case of kerosene) is payable under sub- SEC. 5264. TWO-PARTY EXCHANGES. taxable under section 4081 of the Internal section (l)(6), (a) IN GENERAL.—Subpart C of part III of Revenue Code of 1986 if the person entering ‘‘(ii) which is not less than 1 week, and subchapter A of chapter 32, as amended by such shipment fails to pay the tax imposed ‘‘(iii) which is for not more than 500 gal- section 5251 of this Act, is amended by add- under such section or post a bond in accord- lons for each farmer for which there is a ing at the end the following new section: ance with the provisions of section 4105 of claim. ‘‘SEC. 4106. TWO-PARTY EXCHANGES. such Code. Notwithstanding subsection (l)(1), paragraph ‘‘(a) IN GENERAL.—In a two-party ex- (c) EFFECTIVE DATE.—The amendments (3)(B) shall apply to claims filed under the change, the delivering person shall not be made by this section shall take effect on the preceding sentence. liable for the tax imposed under of section date of the enactment of this Act. ‘‘(B) TIME FOR FILING CLAIM.—No claim 4081(a)(1)(A)(ii). SEC. 5252. RECONCILIATION OF ON-LOADED filed under this paragraph shall be allowed ‘‘(b) TWO-PARTY EXCHANGE.—The term CARGO TO ENTERED CARGO. unless filed on or before the last day of the ‘two-party exchange’ means a transaction, (a) IN GENERAL.—Subsection (a) of section first quarter following the earliest quarter other than a sale, in which taxable fuel is 343 of the Trade Act of 2002 is amended by in- included in the claim.’’. transferred from a delivering person reg- serting at the end the following new para- (3) CONFORMING AMENDMENTS.— istered under section 4101 as a taxable fuel graph: (A) Section 6427(l)(5)(A) is amended to read registrant to a receiving person who is so ‘‘(4) IN GENERAL.—Subject to paragraphs as follows: registered where all of the following occur: (2) and (3), not later than 1 year after the en- ‘‘(A) IN GENERAL.—Paragraph (1) shall not ‘‘(1) The transaction includes a transfer actment of this paragraph, the Secretary of apply to diesel fuel or kerosene used by a from the delivering person, who holds the in- Homeland Security, together with the Sec- State or local government.’’. ventory position for taxable fuel in the ter- retary of the Treasury, shall promulgate reg- (B) The heading for section 6427(l)(5) is minal as reflected in the records of the ter- ulations providing for the transmission to amended by striking ‘‘FARMERS AND’’. minal operator. the Internal Revenue Service, through an (b) Section 6427(i)(3) is amended— ‘‘(2) The exchange transaction occurs be- electronic data interchange system, of infor- (1) by adding at the end of subparagraph fore or contemporaneous with completion of mation pertaining to cargo of taxable fuels (A) the following new flush sentence: removal across the rack from the terminal (as defined in section 4083 of the Internal ‘‘In the case of an electronic claim, this sub- by the receiving person. Revenue Code of 1986) destined for importa- paragraph shall be applied without regard to ‘‘(3) The terminal operator in its books and tion into the United States prior to such im- clause (i).’’, and records treats the receiving person as the portation.’’. (2) by striking ‘‘20 days of the date of the person that removes the product across the (b) EFFECTIVE DATE.—The amendment filing of such claim’’ in subparagraph (B) and terminal rack for purposes of reporting the made by this section shall take effect on the inserting ‘‘45 days of the date of the filing of transaction to the Secretary. date of the enactment of this Act. such claim (20 days in the case of an elec- ‘‘(4) The transaction is the subject of a PART VI—MISCELLANEOUS PROVISIONS tronic claim)’’, and written contract.’’. SEC. 5261. TAX ON SALE OF DIESEL FUEL WHETH- (c) EFFECTIVE DATE.—The amendment (b) CONFORMING AMENDMENT.—The table of ER SUITABLE FOR USE OR NOT IN A made by this section shall apply to fuels sold sections for subpart C of part III of sub- DIESEL-POWERED VEHICLE OR for nontaxable use after the date of the en- TRAIN. chapter A of chapter 32, as amended by sec- actment of this Act. (a) IN GENERAL.—Section 4083(a)(3) is tion 5251 of this Act, is amended by adding amended— SEC. 5263. TAXABLE FUEL REFUNDS FOR CER- after the last item the following new item: (1) by striking ‘‘The term’’ and inserting TAIN ULTIMATE VENDORS. ‘‘Sec. 4106. Two-party exchanges.’’. the following: (a) IN GENERAL.—Paragraph (4) of section (c) EFFECTIVE DATE.—The amendment ‘‘(A) IN GENERAL.—The term’’, and 6416(a) (relating to abatements, credits, and (2) by inserting at the end the following refunds) is amended to read as follows: made by this section shall take effect on the new subparagraph: ‘‘(4) REGISTERED ULTIMATE VENDOR TO AD- date of the enactment of this Act. ‘‘(B) LIQUID SOLD AS DIESEL FUEL.—The MINISTER CREDITS AND REFUNDS OF GASOLINE SEC. 5265. MODIFICATIONS OF TAX ON USE OF term ‘diesel fuel’ includes any liquid which TAX.— CERTAIN VEHICLES. is sold as or offered for sale as a fuel in a die- ‘‘(A) IN GENERAL.—For purposes of this sub- (a) NO PRORATION OF TAX UNLESS VEHICLE sel-powered highway vehicle or a diesel-pow- section, if an ultimate vendor purchases any IS DESTROYED OR STOLEN.— ered train.’’. gasoline on which tax imposed by section (1) IN GENERAL.—Section 4481(c) (relating (b) EFFECTIVE DATE.—The amendments 4081 has been paid and sells such gasoline to to proration of tax) is amended to read as made by this section shall take effect on the an ultimate purchaser described in subpara- follows: date of the enactment of this Act. graph (C) or (D) of subsection (b)(2) (and such ‘‘(c) PRORATION OF TAX WHERE VEHICLE SEC. 5262. MODIFICATION OF ULTIMATE VENDOR gasoline is for a use described in such sub- SOLD, DESTROYED, OR STOLEN.— REFUND CLAIMS WITH RESPECT TO paragraph), such ultimate vendor shall be ‘‘(1) IN GENERAL.—If in any taxable period a FARMING. treated as the person (and the only person) highway motor vehicle is sold, destroyed, or (a) IN GENERAL.— who paid such tax, but only if such ultimate stolen before the first day of the last month (1) REFUNDS.—Section 6427(l) is amended by vendor is registered under section 4101. For in such period and not subsequently used adding at the end the following new para- purposes of this subparagraph, if the sale of during such taxable period, the tax shall be graph: gasoline is made by means of a credit card, reckoned proportionately from the first day ‘‘(6) REGISTERED VENDORS PERMITTED TO AD- the person extending the credit to the ulti- of the month in such period in which the MINISTER CERTAIN CLAIMS FOR REFUND OF DIE- mate purchaser shall be deemed to be the ul- first use of such highway motor vehicle oc- SEL FUEL AND KEROSENE SOLD TO FARMERS.— timate vendor. curs to and including the last day of the ‘‘(A) IN GENERAL.—In the case of diesel fuel ‘‘(B) TIMING OF CLAIMS.—The procedure and month in which such highway motor vehicle or kerosene used on a farm for farming pur- timing of any claim under subparagraph (A) was sold, destroyed, or stolen. poses (within the meaning of section 6420(c)), shall be the same as for claims under section ‘‘(2) DESTROYED.—For purposes of para- paragraph (1) shall not apply to the aggre- 6427(i)(4), except that the rules of section graph (1), a highway motor vehicle is de- gate amount of such diesel fuel or kerosene 6427(i)(3)(B) regarding electronic claims shall stroyed if such vehicle is damaged by reason if such amount does not exceed 500 gallons not apply unless the ultimate vendor has of an accident or other casualty to such an (as determined under subsection certified to the Secretary for the most re- extent that it is not economic to rebuild.’’. (i)(5)(A)(iii)). cent quarter of the taxable year that all ulti- (2) CONFORMING AMENDMENTS.— ‘‘(B) PAYMENT TO ULTIMATE VENDOR.—The mate purchasers of the vendor are certified (A) Section 6156 (relating to installment amount which would (but for subparagraph and entitled to a refund under subparagraph payment of tax on use of highway motor ve- (A)) have been paid under paragraph (1) with (C) or (D) of subsection (b)(2).’’. hicles) is repealed. respect to any fuel shall be paid to the ulti- (b) CREDIT CARD PURCHASES OF DIESEL (B) The table of sections for subchapter A mate vendor of such fuel, if such vendor— FUEL OR KEROSENE BY STATE AND LOCAL GOV- of chapter 62 is amended by striking the item ‘‘(i) is registered under section 4101, and ERNMENTS.—Section 6427(l)(5)(C) (relating to relating to section 6156. ‘‘(ii) meets the requirements of subpara- nontaxable uses of diesel fuel, kerosene, and (b) DISPLAY OF TAX CERTIFICATE.—Para- graph (A), (B), or (D) of section 6416(a)(1).’’. aviation fuel), as amended by section 5252 of graph (2) of section 4481(d) (relating to one (2) FILING OF CLAIMS.—Section 6427(i) is this Act, is amended by adding at the end tax liability for period) is amended to read as amended by inserting at the end the fol- the following new sentence: ‘‘For purposes of follows: lowing new paragraph: this subparagraph, if the sale of diesel fuel or ‘‘(2) DISPLAY OF TAX CERTIFICATE.—Every ‘‘(5) SPECIAL RULE FOR VENDOR REFUNDS kerosene is made by means of a credit card, taxpayer which pays the tax imposed under WITH RESPECT TO FARMERS.— the person extending the credit to the ulti- this section with respect to a highway motor

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00188 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1145 vehicle shall, not later than 1 month after (A) by inserting ‘‘or reportable liquid’’ (ii) The item relating to section 6718 in the due date of the return of tax with respect after ‘‘taxable fuel’’ each place it appears, table of sections for part I of subchapter B of to each taxable period, receive and display and chapter 68, as added by section 5241 of this on such vehicle an electronic identification (B) by inserting ‘‘such liquid’’ after ‘‘such Act, is amended by inserting ‘‘or reportable device prescribed by the Secretary.’’. fuel’’ in paragraph (1)(A)(iv). liquids’’ after ‘‘taxable fuels’’. (c) ELECTRONIC FILING.—Section 4481, as (2) RATE OF TAX.—Subparagraph (A) of sec- (H) Section 6427(h) is amended to read as amended by section 5001 of this Act, is tion 4081(a)(2), as amended by section 5211 of follows: amended by redesignating subsection (e) as this Act, is amended by striking ‘‘and’’ at ‘‘(h) GASOLINE BLEND STOCKS OR ADDITIVES subsection (f) and by inserting after sub- the end of clause (iii), by striking the period AND REPORTABLE LIQUIDS.—Except as pro- section (d) the following new subsection: at the end of clause (iv) and inserting ‘‘, vided in subsection (k)— ‘‘(e) ELECTRONIC FILING.—Any taxpayer and’’, and by adding at the end the following ‘‘(1) if any gasoline blend stock or additive who files a return under this section with renew clause: (within the meaning of section 4083(a)(2)) is spect to 25 or more vehicles for any taxable ‘‘(v) in the case of reportable liquids, the not used by any person to produce gasoline period shall file such return electronically.’’. rate determined under section 4083(c)(2).’’. and such person establishes that the ulti- (d) REPEAL OF REDUCTION IN TAX FOR CER- (3) EXEMPTION.—Section 4081(a)(1) is mate use of such gasoline blend stock or ad- TAIN TRUCKS.—Section 4483 of the Internal amended by adding at the end the following ditive is not to produce gasoline, or Revenue Code of 1986 is amended by striking new subparagraph: ‘‘(2) if any reportable liquid (within the subsection (f). ‘‘(C) EXEMPTION FOR REGISTERED TRANSFERS meaning of section 4083(c)(1)) is not used by (e) EFFECTIVE DATES.— OF REPORTABLE LIQUIDS.—The tax imposed by any person to produce a taxable fuel and (1) IN GENERAL.—Except as provided in this paragraph shall not apply to any re- such person establishes that the ultimate paragraph (2), the amendments made by this moval, entry, or sale of a reportable liquid use of such reportable liquid is not to section shall apply to taxable periods begin- if— produce a taxable fuel, ning after the date of the enactment of this ‘‘(i) such removal, entry, or sale is to a reg- then the Secretary shall pay (without inter- Act. istered person who certifies that such liquid est) to such person an amount equal to the (2) SUBSECTION (b).—The amendment made will not be used as a fuel or in the produc- aggregate amount of the tax imposed on by subsection (b) shall take effect on October tion of a fuel, or such person with respect to such gasoline 1, 2005. ‘‘(ii) the sale is to the ultimate purchaser blend stock or additive or such reportable SEC. 5266. DEDICATION OF REVENUES FROM of such liquid.’’. fuel.’’. CERTAIN PENALTIES TO THE HIGH- (4) REPORTABLE LIQUIDS.—Section 4083, as (I) Section 7232, as amended by this Act, is WAY TRUST FUND. amended by this Act, is amended by redesig- amended by inserting ‘‘or reportable liquid (a) IN GENERAL.—Subsection (b) of section nating subsections (c) and (d) (as redesig- (within the meaning of section 4083(c)(1))’’ 9503 (relating to transfer to Highway Trust nated by section 5211 of this Act) as sub- after ‘‘section 4083)’’. Fund of amounts equivalent to certain sections (d) and (e), respectively, and by in- (J) Section 343 of the Trade Act of 2002, as taxes), as amended by section 5001 of this serting after subsection (b) the following new amended by section 5252 of this Act, is Act, is amended by redesignating paragraph section: amended by inserting ‘‘and reportable liquids (5) as paragraph (6) and inserting after para- ‘‘(c) REPORTABLE LIQUID.—For purposes of (as defined in section 4083(c)(1) of such graph (4) the following new paragraph: this subpart— Code)’’ after ‘‘Internal Revenue Code of ‘‘(5) CERTAIN PENALTIES.—There are hereby ‘‘(1) IN GENERAL.—The term ‘reportable liq- 1986)’’. appropriated to the Highway Trust Fund uid’ means any petroleum-based liquid other (b) DYED DIESEL.—Section 4082(a) is amounts equivalent to the penalties assessed than a taxable fuel. amended by striking ‘‘and’’ at the end of under sections 6715, 6715A, 6717, 6718, 6719, ‘‘(2) TAXATION.— paragraph (2), by striking the period at the 6720, 6725, 7232, and 7272 (but only with regard ‘‘(A) GASOLINE BLEND STOCKS AND ADDI- end of paragraph (3) and inserting ‘‘and’’, and to penalties under such section related to TIVES.—Gasoline blend stocks and additives by inserting after paragraph (3) the following failure to register under section 4101).’’. which are reportable liquids (as defined in new paragraph: (b) CONFORMING AMENDMENTS.— paragraph (1)) shall be subject to the rate of ‘‘(4) which is removed, entered, or sold by (1) The heading of subsection (b) of section tax under clause (i) of section 4081(a)(2)(A). a person registered under section 4101.’’. 9503 is amended by inserting ‘‘AND PEN- ‘‘(B) OTHER REPORTABLE LIQUIDS.—Any re- (c) EFFECTIVE DATE.—The amendments ALTIES’’ after ‘‘TAXES’’. portable liquid (as defined in paragraph (1)) made by this section shall apply to report- (2) The heading of paragraph (1) of section not described in subparagraph (A) shall be able liquids (as defined in section 4083(c) of 9503(b) is amended by striking ‘‘IN GENERAL’’ subject to the rate of tax under clause (iii) of the Internal Revenue Code) and fuel sold or and inserting ‘‘CERTAIN TAXES’’. section 4081(a)(2)(A).’’. used after September 30, 2004. (c) EFFECTIVE DATE.—The amendments (5) CONFORMING AMENDMENTS.— SEC. 5272. EXCISE TAX REPORTING. made by this section shall apply to penalties (A) Section 4081(e) is amended by inserting assessed after October 1, 2004. (a) IN GENERAL.—Part II of subchapter A of ‘‘or reportable liquid’’ after ‘‘taxable fuel’’. chapter 61 is amended by adding at the end SEC. 5267. NONAPPLICATION OF EXPORT EXEMP- (B) Section 4083(d) (relating to certain use the following new subpart: TION TO DELIVERY OF FUEL TO defined as removal), as redesignated by para- MOTOR VEHICLES REMOVED FROM ‘‘SUBPART E—EXCISE TAX REPORTING UNITED STATES. graph (4), is amended by inserting ‘‘or reportable liquid’’ after ‘‘taxable fuel’’. ‘‘SEC. 6025. RETURNS RELATING TO FUEL TAXES. (a) IN GENERAL.—Section 4221(d)(2) (defin- ‘‘(a) IN GENERAL.—The Secretary shall re- ing export) is amended by adding at the end (C) Section 4083(e)(1) (relating to adminis- quire any person liable for the tax imposed the following new sentence: ‘‘Such term does trative authority), as redesignated by para- under Part III of subchapter A of chapter 32 not include the delivery of a taxable fuel (as graph (4), is amended— to file a return of such tax on a monthly defined in section 4083(a)(1)) into a fuel tank (i) in subparagraph (A)— basis. of a motor vehicle which is shipped or driven (I) by inserting ‘‘or reportable liquid’’ after ‘‘(b) INFORMATION INCLUDED WITH RETURN.— out of the United States.’’. ‘‘taxable fuel’’, and (II) by inserting ‘‘or such liquid’’ after The Secretary shall require any person filing (b) CONFORMING AMENDMENTS.— a return under subsection (a) to provide in- (1) Section 4041(g) (relating to other ex- ‘‘such fuel’’ each place it appears, and formation regarding any refined product emptions) is amended by adding at the end (ii) in subparagraph (B), by inserting ‘‘or (whether or not such product is taxable the following new sentence: ‘‘Paragraph (3) any reportable liquid’’ after ‘‘any taxable under this title) removed from a terminal shall not apply to the sale for delivery of a fuel’’. during the period for which such return ap- liquid into a fuel tank of a motor vehicle (D) Section 4101(a)(2), as added by section plies.’’. which is shipped or driven out of the United 5243 of this Act, is amended by inserting ‘‘or (b) CONFORMING AMENDMENT.—The table of States.’’. a reportable liquid’’ after ‘‘taxable fuel’’. parts for subchapter A of chapter 61 is (2) Clause (iv) of section 4081(a)(1)(A) (re- (E) Section 4101(a)(3), as added by section amended by adding at the end the following lating to tax on removal, entry, or sale) is 5242 of this Act and redesignated by section new item: amended by inserting ‘‘or at a duty-free sales 5243 of this Act, is amended by inserting ‘‘or enterprise (as defined in section 555(b)(8) of any reportable liquid’’ before the period at ‘‘Subpart E—Excise Tax Reporting’’. the end. the Tariff Act of 1930)’’ after ‘‘section 4101’’. (c) EFFECTIVE DATE.—The amendments (F) Section 4102 is amended by inserting (c) EFFECTIVE DATE.—The amendments made by this section shall apply to fuel sold ‘‘or any reportable liquid’’ before the period made by this section shall apply to sales or or used after September 30, 2004. at the end. deliveries made after the date of the enact- SEC. 5273. INFORMATION REPORTING. ment of this Act. (G)(i) Section 6718, as added by section 5241 of this Act, is amended— (a) IN GENERAL.—Section 4101(d) is amend- PART VII—TOTAL ACCOUNTABILITY (I) in subsection (a), by inserting ‘‘or any ed by adding at the end the following new SEC. 5271. TOTAL ACCOUNTABILITY. reportable liquid (as defined in section flush sentence: (a) TAXATION OF REPORTABLE LIQUIDS.— 4083(c)(1))’’ after ‘‘ section 4083(a)(1))’’, and ‘‘The Secretary shall require reporting under (1) IN GENERAL.—Section 4081(a), as amend- (II) in the heading, by inserting ‘‘or report- the previous sentence with respect to taxable ed by this Act, is amended— able liquids’’ after ‘‘taxable fuel’’. fuels removed, entered, or transferred from

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00189 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1146 CONGRESSIONAL RECORD — SENATE February 11, 2004 any refinery, pipeline, or vessel which is reg- the particular machinery or equipment in- Subtitle E—Excise Tax Reform and istered under this section.’’. volved, whether or not such machinery or Simplification (b) EFFECTIVE DATE.—The amendment equipment is in operation, and PART I—HIGHWAY EXCISE TAXES made by this section shall apply on October ‘‘(III) which, by reason of such special de- SEC. 5401. DEDICATION OF GAS GUZZLER TAX TO 1, 2004. sign, could not, without substantial struc- HIGHWAY TRUST FUND. tural modification, be used as a component Subtitle D—Definition of Highway Vehicle (a) IN GENERAL.—Section 9503(b)(1) (relat- of a vehicle designed to perform a function of SEC. 5301. EXEMPTION FROM CERTAIN EXCISE ing to transfer to Highway Trust Fund of transporting any load other than that par- TAXES FOR MOBILE MACHINERY. amounts equivalent to certain taxes) is ticular machinery or equipment or similar (a) EXEMPTION FROM TAX ON HEAVY TRUCKS amended by redesignating subparagraphs (C), machinery or equipment requiring such a AND TRAILERS SOLD AT RETAIL.— (D), and (E) as subparagraphs (D), (E), and specially designed chassis. (1) IN GENERAL.—Section 4053 (relating to (F), respectively, and by inserting after sub- ‘‘(iv) USE-BASED TEST.—For purposes of exemptions) is amended by adding at the end paragraph (B) the following new subpara- clause (ii)(II), the use-based test is met if the the following new paragraph: graph: use of the vehicle on public highways was ‘‘(8) MOBILE MACHINERY.—Any vehicle ‘‘(C) section 4064 (relating to gas guzzler less than 5,000 miles during the taxpayer’s which consists of a chassis— taxable year. tax),’’. ‘‘(A) to which there has been permanently (b) UNIFORM APPLICATION OF TAX.—Sub- ‘‘(v) SPECIAL RULE FOR USE BY CERTAIN TAX- mounted (by welding, bolting, riveting, or paragraph (A) of section 4064(b)(1) (defining EXEMPT ORGANIZATIONS.—In the case of any other means) machinery or equipment to use in a vehicle by an organization which is automobile) is amended by striking the sec- perform a construction, manufacturing, described in section 501(c) and exempt from ond sentence. processing, farming, mining, drilling, tim- tax under section 501(a), clause (ii) shall be (c) EFFECTIVE DATE.—The amendments bering, or similar operation if the operation applied without regard to subclause (II) made by this section shall take effect on the of the machinery or equipment is unrelated thereof.’’. date of the enactment of this Act. to transportation on or off the public high- (2) ANNUAL REFUND OF TAX PAID.—Section SEC. 5402. REPEAL CERTAIN EXCISE TAXES ON ways, 6427(i)(2) (relating to exceptions) is amended RAIL DIESEL FUEL AND INLAND WA- ‘‘(B) which has been specially designed to by adding at the end the following new sub- TERWAY BARGE FUELS. serve only as a mobile carriage and mount paragraph: (a) TAXES ON TRAINS.— (1) IN GENERAL.—Subparagraph (A) of sec- (and a power source, where applicable) for ‘‘(C) NONAPPLICATION OF PARAGRAPH.—This the particular machinery or equipment in- paragraph shall not apply to any fuel used in tion 4041(a)(1) is amended by striking ‘‘or a volved, whether or not such machinery or any off-highway business use described in diesel-powered train’’ each place it appears equipment is in operation, and section 6421(e)(2)(C).’’. and by striking ‘‘or train’’. ‘‘(C) which, by reason of such special de- (3) EFFECTIVE DATE.—The amendments (2) CONFORMING AMENDMENTS.— sign, could not, without substantial struc- made by this subsection shall apply to tax- (A) Subparagraph (C) of section 4041(a)(1), tural modification, be used as a component able years beginning after the date of the en- as amended by section 5001 of this Act, is of a vehicle designed to perform a function of actment of this Act. amended by striking clause (ii) and by redes- transporting any load other than that par- SEC. 5302. MODIFICATION OF DEFINITION OF ignating clause (iii) as clause (ii). ticular machinery or equipment or similar OFF-HIGHWAY VEHICLE. (B) Subparagraph (C) of section 4041(b)(1) is machinery or equipment requiring such a (a) IN GENERAL.—Section 7701(a) (relating amended by striking all that follows ‘‘sec- specially designed chassis.’’. to definitions) is amended by adding at the tion 6421(e)(2)’’ and inserting a period. (2) EFFECTIVE DATE.—The amendment end the following new paragraph: (C) Subsection (d) of section 4041 is amend- made by this subsection shall take effect on ‘‘(48) OFF-HIGHWAY VEHICLES.— ed by redesignating paragraph (3) as para- the day after the date of the enactment of ‘‘(A) OFF-HIGHWAY TRANSPORTATION VEHI- graph (4) and by inserting after paragraph (2) this Act. CLES.— the following new paragraph: (b) EXEMPTION FROM TAX ON USE OF CER- ‘‘(i) IN GENERAL.—A vehicle shall not be ‘‘(3) DIESEL FUEL USED IN TRAINS.—There is TAIN VEHICLES.— treated as a highway vehicle if such vehicle hereby imposed a tax of 0.1 cent per gallon (1) IN GENERAL.—Section 4483 (relating to is specially designed for the primary func- on any liquid other than gasoline (as defined exemptions) is amended by redesignating tion of transporting a particular type of load in section 4083)— subsection (g) as subsection (h) and by in- other than over the public highway and be- ‘‘(A) sold by any person to an owner, les- serting after subsection (f) the following new cause of this special design such vehicle’s ca- see, or other operator of a diesel-powered subsection: pability to transport a load over the public train for use as a fuel in such train, or ‘‘(g) EXEMPTION FOR MOBILE MACHINERY.— highway is substantially limited or im- ‘‘(B) used by any person as a fuel in a die- No tax shall be imposed by section 4481 on paired. sel-powered train unless there was a taxable the use of any vehicle described in section ‘‘(ii) DETERMINATION OF VEHICLE’S DESIGN.— sale of such fuel under subparagraph (A). 4053(8).’’. For purposes of clause (i), a vehicle’s design No tax shall be imposed by this paragraph on (2) EFFECTIVE DATE.—The amendments is determined solely on the basis of its phys- the sale or use of any liquid if tax was im- made by this subsection shall take effect on ical characteristics. posed on such liquid under section 4081.’’. the day after the date of the enactment of ‘‘(iii) DETERMINATION OF SUBSTANTIAL LIMI- (D) Subsection (f) of section 4082 is amend- this Act. TATION OR IMPAIRMENT.—For purposes of ed by striking ‘‘section 4041(a)(1)’’ and insert- (d) EXEMPTION FROM FUEL TAXES.— clause (i), in determining whether substan- ing ‘‘subsections (d)(3) and (a)(1) of section (1) IN GENERAL.—Section 6421(e)(2) (defining tial limitation or impairment exists, ac- 4041, respectively’’. off-highway business use) is amended by add- count may be taken of factors such as the (E) Subparagraphs (A) and (B) of section ing at the end the following new subpara- size of the vehicle, whether such vehicle is 4083(a)(3), as amended by section 5261 of this graph: subject to the licensing, safety, and other re- Act, are amended by striking ‘‘or a diesel- ‘‘(C) USES IN MOBILE MACHINERY.— quirements applicable to highway vehicles, powered train’’. ‘‘(i) IN GENERAL.—The term ‘off-highway and whether such vehicle can transport a (F) Paragraph (3) of section 6421(f) is business use’ shall include any use in a vehi- load at a sustained speed of at least 25 miles amended to read as follows: cle which meets the requirements described per hour. It is immaterial that a vehicle can ‘‘(3) GASOLINE USED IN TRAINS.—In the case in clause (ii). transport a greater load off the public high- of gasoline used as a fuel in a train, this sec- ‘‘(ii) REQUIREMENTS FOR MOBILE MACHIN- way than such vehicle is permitted to trans- tion shall not apply with respect to the ERY.—The requirements described in this port over the public highway. Leaking Underground Storage Tank Trust clause are— ‘‘(B) NONTRANSPORTATION TRAILERS AND Fund financing rate under section 4081.’’. ‘‘(I) the design-based test, and SEMITRAILERS.—A trailer or semitrailer shall (G) Paragraph (3) of section 6427(l) is ‘‘(II) the use-based test. not be treated as a highway vehicle if it is amended to read as follows: ‘‘(iii) DESIGN-BASED TEST.—For purposes of specially designed to function only as an en- ‘‘(3) REFUND OF CERTAIN TAXES ON FUEL clause (ii)(I), the design-based test is met if closed stationary shelter for the carrying on USED IN DIESEL-POWERED TRAINS.—For pur- the vehicle consists of a chassis— of an off-highway function at an off-highway poses of this subsection, the term ‘non- ‘‘(I) to which there has been permanently site.’’. taxable use’ includes fuel used in a diesel- mounted (by welding, bolting, riveting, or (c) EFFECTIVE DATES.— powered train. The preceding sentence shall other means) machinery or equipment to (1) IN GENERAL.—Except as provided in not apply to the tax imposed by section perform a construction, manufacturing, paragraph (2), the amendment made by this 4041(d) and the Leaking Underground Stor- processing, farming, mining, drilling, tim- section shall take effect on the date of the age Tank Trust Fund financing rate under bering, or similar operation if the operation enactment of this Act. section 4081 except with respect to fuel sold of the machinery or equipment is unrelated (2) FUEL TAXES.—With respect to taxes im- for exclusive use by a State or any political to transportation on or off the public high- posed under subchapter B of chapter 31 and subdivision thereof.’’. ways, part III of subchapter A of chapter 32, the (b) FUEL USED ON INLAND WATERWAYS.— ‘‘(II) which has been specially designed to amendment made by this section shall apply (1) IN GENERAL.—Paragraph (1) of section serve only as a mobile carriage and mount to taxable periods beginning after the date of 4042(b) is amended by adding ‘‘and’’ at the (and a power source, where applicable) for the enactment of this Act. end of subparagraph (A), by striking ‘‘, and’’

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00190 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1147

at the end of subparagraph (B) and inserting amended by striking ‘‘Boat Safety Account (c) EFFECTIVE DATE.—The amendments a period, and by striking subparagraph (C). and Sport Fish Restoration Account’’ and in- made by this section shall apply to articles (2) CONFORMING AMENDMENT.—Paragraph serting ‘‘Sport Fish Restoration Trust sold by the manufacturer, producer, or im- (2) of section 4042(b) is amended by striking Fund’’. porter after September 30, 2004. subparagraph (C). (D) Section 9504 is amended by striking SEC. 5415. REDUCTION IN RATE OF TAX ON PORT- (c) EFFECTIVE DATE.—The amendments ‘‘AQUATIC RESOURCES’’ in the heading and ABLE AERATED BAIT CONTAINERS. made by this section shall take effect on Oc- inserting ‘‘SPORT FISH RESTORATION’’. (a) IN GENERAL.—Section 4161(a)(2)(A) (re- tober 1, 2004. (E) The item relating to section 9504 in the lating to 3 percent rate of tax for electric PART II—AQUATIC EXCISE TAXES table of sections for subchapter A of chapter outboard motors and sonar devices suitable SEC. 5411. ELIMINATION OF AQUATIC RE- 98 is amended by striking ‘‘aquatic re- for finding fish) is amended by inserting ‘‘or SOURCES TRUST FUND AND TRANS- sources’’ and inserting ‘‘sport fish restora- a portable aerated bait container’’ after FORMATION OF SPORT FISH RES- tion’’. ‘‘fish’’. TORATION ACCOUNT. (c) PHASEOUT OF BOAT SAFETY ACCOUNT.— (b) CONFORMING AMENDMENT.—The heading (a) SIMPLIFICATION OF FUNDING FOR BOAT Subsection (c) of section 9504 is amended to of section 4161(a)(2) is amended by striking SAFETY ACCOUNT.— read as follows: ‘‘ELECTRIC OUTBOARD MOTORS AND SONAR DE- (1) IN GENERAL.—Section 9503(c)(3) (relating ‘‘(c) EXPENDITURES FROM BOAT SAFETY AC- VICES SUITABLE FOR FINDING FISH’’ and insert- to transfers from Trust Fund for motorboat COUNT.—Amounts remaining in the Boat ing ‘‘CERTAIN SPORT FISHING EQUIPMENT’’. fuel taxes), as redesignated by section 5002 of Safety Account on October 1, 2004, and (c) EFFECTIVE DATE.—The amendments this Act, is amended— amounts thereafter credited to the Account made by this section shall apply to articles (A) by striking ‘‘Fund—’’ and all that fol- under section 9602(b), shall be available, as sold by the manufacturer, producer, or im- lows through ‘‘shall be transferred’’ in sub- provided by appropriation Acts, for making porter after September 30, 2004. paragraph (B) and inserting ‘‘Fund which is expenditures before October 1, 2009, to carry PART III—AERIAL EXCISE TAXES attributable to motorboat fuel taxes shall be out the purposes of section 13106 of title 46, SEC. 5421. CLARIFICATION OF EXCISE TAX EX- transferred’’, and United States Code (as in effect on the date EMPTIONS FOR AGRICULTURAL (B) by striking subparagraph (A), and of the enactment of the Safe, Accountable, AERIAL APPLICATORS AND EXEMP- (C) by redesignating subparagraphs (B) Flexible, and Efficient Transportation Eq- TION FOR FIXED-WING AIRCRAFT through (E) as subparagraphs (A) through uity Act of 2004).’’. ENGAGED IN FORESTRY OPER- ATIONS. (D), respectively. (d) EFFECTIVE DATE.—The amendments (a) NO WAIVER BY FARM OWNER, TENANT, OR (2) CONFORMING AMENDMENTS.— made by this section shall take effect on Oc- OPERATOR NECESSARY.—Subparagraph (B) of (A) Section 9503(b)(4) is amended by strik- tober 1, 2004. ing subparagraph (D). section 6420(c)(4) (relating to certain farming SEC. 5412. EXEMPTION OF LED DEVICES FROM (B) Subparagraph (B) of section 9503(c)(3), use other than by owner, etc.) is amended to SONAR DEVICES SUITABLE FOR read as follows: as redesignated by section 5002 of this Act FINDING FISH. ‘‘(B) if the person so using the gasoline is and subsection (a)(3), is amended— (a) IN GENERAL.—Section 4162(b) (defining an aerial or other applicator of fertilizers or (i) by striking ‘‘ACCOUNT’’ in the heading sonar device suitable for finding fish) is other substances and is the ultimate pur- and inserting ‘‘TRUST FUND’’, amended by striking ‘‘or’’ at the end of para- chaser of the gasoline, then subparagraph (A) (ii) by striking ‘‘or (B)’’ in clause (ii), and graph (3), by striking the period at the end of of this paragraph shall not apply and the (iii) by striking ‘‘Account in the Aquatic paragraph (4) and inserting ‘‘, or’’, and by aerial or other applicator shall be treated as Resources’’. adding at the end the following new para- having used such gasoline on a farm for (C) Subparagraph (C) of section 9503(c)(3), graph: farming purposes.’’. as redesignated by section 5002 of this Act ‘‘(5) an LED display.’’. (b) EXEMPTION INCLUDES FUEL USED BE- and subsection (a)(3), is amended by striking (b) EFFECTIVE DATE.—The amendments TWEEN AIRFIELD AND FARM.—Section ‘‘, but only to the extent such taxes are de- made by this section shall apply to articles posited into the Highway Trust Fund’’. 6420(c)(4), as amended by subsection (a), is sold by the manufacturer, producer, or im- amended by adding at the end the following (D) Paragraph (4) of section 9503(c), as reporter after September 30, 2004. designated by section 5002 of this Act, is new flush sentence: SEC. 5413. REPEAL OF HARBOR MAINTENANCE ‘‘For purposes of this paragraph, in the case amended— TAX ON EXPORTS. (i) by striking ‘‘Account in the Aquatic Re- of an aerial applicator, gasoline shall be (a) IN GENERAL.—Subsection (d) of section sources’’ in subparagraph (A), and treated as used on a farm for farming pur- 4462 (relating to definitions and special rules) (ii) by striking ‘‘, but only to the extent poses if the gasoline is used for the direct is amended to read as follows: such taxes are deposited into the Highway flight between the airfield and 1 or more ‘‘(d) NONAPPLICABILITY OF TAX TO EX- Trust Fund’’ in subparagraph (B). farms.’’. PORTS.—The tax imposed by section 4461(a) (b) MERGING OF ACCOUNTS.— (c) EXEMPTION FROM TAX ON AIR TRANSPOR- shall not apply to any port use with respect (1) IN GENERAL.—Subsection (a) of section TATION OF PERSONS FOR FORESTRY PURPOSES 9504 is amended to read as follows: to any commercial cargo to be exported from EXTENDED TO FIXED-WING AIRCRAFT.—Sub- ‘‘(a) CREATION OF TRUST FUND.—There is the United States.’’. section (f) of section 4261 (relating to tax on hereby established in the Treasury of the (b) CONFORMING AMENDMENTS.— air transportation of persons) is amended to United States a trust fund to be known as (1) Section 4461(c)(1) is amended by adding read as follows: the ‘Sport Fish Restoration Trust Fund’. ‘‘or’’ at the end of subparagraph (A), by ‘‘(f) EXEMPTION FOR CERTAIN USES.—No tax Such Trust Fund shall consist of such striking subparagraph (B), and by redesig- shall be imposed under subsection (a) or (b) amounts as may be appropriated, credited, or nating subparagraph (C) as subparagraph (B). on air transportation— paid to it as provided in this section, section (2) Section 4461(c)(2) is amended by strik- ‘‘(1) by helicopter for the purpose of trans- 9503(c)(3), section 9503(c)(4), or section ing ‘‘imposed—’’ and all that follows through porting individuals, equipment, or supplies 9602(b).’’. ‘‘in any other case,’’ and inserting ‘‘im- in the exploration for, or the development or (2) CONFORMING AMENDMENTS.— posed’’. removal of, hard minerals, oil, or gas, or (A) Subsection (b) of section 9504 is amend- (c) EFFECTIVE DATE.—The amendments ‘‘(2) by helicopter or by fixed-wing aircraft ed— made by this section shall take effect before, for the purpose of the planting, cultivation, (i) by striking ‘‘ACCOUNT’’ in the heading on, and after the date of the enactment of cutting, or transportation of, or caring for, and inserting ‘‘TRUST FUND’’, this Act. trees (including logging operations), (ii) by striking ‘‘Account’’ both places it SEC. 5414. CAP ON EXCISE TAX ON CERTAIN FISH- but only if the helicopter or fixed-wing air- appears in paragraphs (1) and (2) and insert- ING EQUIPMENT. craft does not take off from, or land at, a fa- ing ‘‘Trust Fund’’, and (a) IN GENERAL.—Paragraph (1) of section cility eligible for assistance under the Air- (iii) by striking ‘‘ACCOUNT’’ both places it 4161(a) (relating to sport fishing equipment) port and Airway Development Act of 1970, or appears in the headings for paragraphs (1) is amended to read as follows: otherwise use services provided pursuant to and (2) and inserting ‘‘TRUST FUND’’. ‘‘(1) IMPOSITION OF TAX.— section 44509 or 44913(b) or subchapter I of (B) Subsection (d) of section 9504, as ‘‘(A) IN GENERAL.—There is hereby imposed chapter 471 of title 49, United States Code, amended by section 5001 of this Act, is on the sale of any article of sport fishing during such use. In the case of helicopter amended— equipment by the manufacturer, producer, or transportation described in paragraph (1), (i) by striking ‘‘AQUATIC RESOURCES’’ in importer a tax equal to 10 percent of the this subsection shall be applied by treating the heading, price for which so sold. each flight segment as a distinct flight.’’. (ii) by striking ‘‘any Account in the Aquat- ‘‘(B) LIMITATION ON TAX IMPOSED ON FISHING (d) EFFECTIVE DATE.—The amendments ic Resources’’ in paragraph (1) and inserting RODS AND POLES.—The tax imposed by sub- made by this section shall apply to fuel use ‘‘the Sports Fish Restoration’’, and paragraph (A) on any fishing rod or pole or air transportation after the date of the (iii) by striking ‘‘any such Account’’ in shall not exceed $10.’’. enactment of this Act. paragraph (1) and inserting ‘‘such Trust (b) CONFORMING AMENDMENTS.—Section SEC. 5422. MODIFICATION OF RURAL AIRPORT Fund’’. 4161(a)(2) is amended by striking ‘‘paragraph DEFINITION. (C) Subsection (e) of section 9504, as (1)’’ both places it appears and inserting (a) IN GENERAL.—Section 4261(e)(1)(B) (de- amended by section 5002 of this Act, is ‘‘paragraph (1)(A)’’. fining rural airport) is amended—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00191 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1148 CONGRESSIONAL RECORD — SENATE February 11, 2004 (1) by inserting ‘‘(in the case of any airport (B) The table of parts for such subchapter (B) Section 5124 is amended— described in clause (ii)(III), on flight seg- A is amended by striking the item relating (i) by striking the section heading and in- ments of at least 100 miles)’’ after ‘‘by air’’ to part II and inserting the following new serting the following new heading: in clause (i), and item: ‘‘SEC. 5122. RECORDKEEPING BY RETAIL DEAL- (2) by striking the period at the end of sub- ‘‘Part II. Miscellaneous provisions.’’. ERS.’’, clause (II) of clause (ii) and inserting ‘‘, or’’, (ii) by striking ‘‘section 5146’’ in subsection and by adding at the end of clause (ii) the (2) Subpart C of part II of such subchapter (c) and inserting ‘‘section 5123’’, and (relating to manufacturers of stills) is redes- following new subclause: (iii) by redesignating subsection (c) as sub- ignated as subpart A. ‘‘(III) is not connected by paved roads to section (d) and inserting after subsection (b) (3)(A) Subpart F of such part II (relating to another airport.’’. the following new subsection: nonbeverage domestic drawback claimants) (b) EFFECTIVE DATE.—The amendments ‘‘(c) RETAIL DEALERS.—For purposes of this is redesignated as subpart B and sections made by this section shall take effect on section— 5131 through 5134 are redesignated as sec- April 1, 2004. ‘‘(1) RETAIL DEALER IN LIQUORS.—The term tions 5111 through 5114, respectively. SEC. 5423. EXEMPTION FROM TICKET TAXES FOR (B) The table of sections for such subpart ‘retail dealer in liquors’ means any dealer TRANSPORTATION PROVIDED BY (other than a retail dealer in beer or a lim- SEAPLANES. B, as so redesignated, is amended— (i) by redesignating the items relating to ited retail dealer) who sells, or offers for (a) IN GENERAL.—Section 4261 (relating to sale, distilled spirits, wines, or beer, to any imposition of tax) is amended by redesig- sections 5131 through 5134 as relating to sections 5111 through 5114, respectively, and person other than a dealer. nating subsection (i) as subsection (j) and by ‘‘(2) RETAIL DEALER IN BEER.—The term ‘re- inserting after subsection (h) the following (ii) by striking ‘‘AND RATE OF TAX’’ in the item relating to section 5111, as so redes- tail dealer in beer’ means any dealer (other new subsection: than a limited retail dealer) who sells, or of- ‘‘(i) EXEMPTION FOR SEAPLANES.—No tax ignated. (C) Section 5111, as redesignated by sub- fers for sale, beer, but not distilled spirits or shall be imposed by this section or section wines, to any person other than a dealer. 4271 on any air transportation by a seaplane paragraph (A), is amended— (i) by striking ‘‘AND RATE OF TAX’’ in the ‘‘(3) LIMITED RETAIL DEALER.—The term with respect to any segment consisting of a ‘limited retail dealer’ means any fraternal, takeoff from, and a landing on, water, but section heading, (ii) by striking the subsection heading for civic, church, labor, charitable, benevolent, only if the places at which such takeoff and or ex-servicemen’s organization making landing occur have not received and are not subsection (a), and (iii) by striking subsection (b). sales of distilled spirits, wine or beer on the receiving financial assistance from the Air- (4) Part II of subchapter A of chapter 51 is occasion of any kind of entertainment, port and Airways Trust Fund.’’. amended by adding after subpart B, as redes- dance, picnic, bazaar, or festival held by it, (b) EFFECTIVE DATE.—The amendments ignated by paragraph (3), the following new or any person making sales of distilled spir- made by this section shall apply to transpor- subpart: its, wine or beer to the members, guests, or tation beginning after March 31, 2004. ‘‘Subpart C—Recordkeeping by Dealers patrons of bona fide fairs, reunions, picnics, SEC. 5424. CERTAIN SIGHTSEEING FLIGHTS EX- carnivals, or other similar outings, if such ‘‘Sec. 5121. Recordkeeping by wholesale deal- EMPT FROM TAXES ON AIR TRANS- organization or person is not otherwise en- ers. PORTATION. gaged in business as a dealer. (a) IN GENERAL.—Section 4281 (relating to ‘‘Sec. 5122. Recordkeeping by retail dealers. ‘‘(4) DEALER.—The term ‘dealer’ has the small aircraft on nonestablished lines) is ‘‘Sec. 5123. Preservation and inspection of meaning given such term by section amended by adding at the end the following records, and entry of premises 5121(c)(3).’’. new sentence: ‘‘For purposes of this section, for inspection.’’. (7) Section 5146 is moved to subpart C of an aircraft shall not be considered as oper- (5)(A) Section 5114 (relating to records) is part II of subchapter A of chapter 51, in- ated on an established line if such aircraft is moved to subpart C of such part II and inserted after section 5122, and redesignated as operated on a flight the sole purpose of serted after the table of sections for such section 5123. which is sightseeing.’’. subpart. (8) Part II of subchapter A of chapter 51 is (b) EFFECTIVE DATE.—The amendment (B) Section 5114 is amended— amended by inserting after subpart C the fol- made by this section shall apply with respect (i) by striking the section heading and in- lowing new subpart: to transportation beginning on or after the serting the following new heading: date of the enactment of this Act, but shall ‘‘Subpart D—Other Provisions not apply to any amount paid before such ‘‘SEC. 5121. RECORDKEEPING BY WHOLESALE ‘‘Sec. 5131. Packaging distilled spirits for in- DEALERS.’’, date for such transportation. dustrial uses. and PART IV—ALCOHOLIC BEVERAGE EXCISE (ii) by redesignating subsection (c) as sub- ‘‘Sec. 5132. Prohibited purchases by deal- TAXES section (d) and by inserting after subsection ers.’’. SEC. 5431. REPEAL OF SPECIAL OCCUPATIONAL (b) the following new subsection: (9) Section 5116 is moved to subpart D of TAXES ON PRODUCERS AND MAR- ‘‘(c) WHOLESALE DEALERS.—For purposes of part II of subchapter A of chapter 51, in- KETERS OF ALCOHOLIC BEVERAGES. this part— serted after the table of sections, redesig- (a) REPEAL OF OCCUPATIONAL TAXES.— ‘‘(1) WHOLESALE DEALER IN LIQUORS.—The nated as section 5131, and amended by insert- (1) IN GENERAL.—The following provisions term ‘wholesale dealer in liquors’ means any ing ‘‘(as defined in section 5121(c))’’ after of part II of subchapter A of chapter 51 (re- dealer (other than a wholesale dealer in beer) ‘‘dealer’’ in subsection (a). lating to occupational taxes) are hereby re- who sells, or offers for sale, distilled spirits, (10) Subpart D of part II of subchapter A of pealed: wines, or beer, to another dealer. chapter 51 is amended by adding at the end (A) Subpart A (relating to proprietors of ‘‘(2) WHOLESALE DEALER IN BEER.—The term thereof the following new section: distilled spirits plants, bonded wine cellars, ‘wholesale dealer in beer’ means any dealer etc.). ‘‘SEC. 5132. PROHIBITED PURCHASES BY DEAL- who sells, or offers for sale, beer, but not dis- ERS. (B) Subpart B (relating to brewer). tilled spirits or wines, to another dealer. ‘‘(a) IN GENERAL.—Except as provided in (C) Subpart D (relating to wholesale deal- ‘‘(3) DEALER.—The term ‘dealer’ means any regulations prescribed by the Secretary, it ers) (other than sections 5114 and 5116). person who sells, or offers for sale, any dis- shall be unlawful for a dealer to purchase (D) Subpart E (relating to retail dealers) tilled spirits, wines, or beer. distilled spirits for resale from any person (other than section 5124). ‘‘(4) PRESUMPTION IN CASE OF SALE OF 20 other than a wholesale dealer in liquors who (E) Subpart G (relating to general provi- WINE GALLONS OR MORE.—The sale, or offer is required to keep the records prescribed by sions) (other than sections 5142, 5143, 5145, for sale, of distilled spirits, wines, or beer, in section 5121. and 5146). quantities of 20 wine gallons or more to the ‘‘(b) LIMITED RETAIL DEALERS.—A limited (2) NONBEVERAGE DOMESTIC DRAWBACK.— same person at the same time, shall be pre- retail dealer may lawfully purchase distilled Section 5131 is amended by striking ‘‘, on sumptive evidence that the person making payment of a special tax per annum,’’. spirits for resale from a retail dealer in liq- such sale, or offer for sale, is engaged in or uors. (3) INDUSTRIAL USE OF DISTILLED SPIRITS.— carrying on the business of a wholesale deal- ‘‘(c) PENALTY AND FORFEITURE.— Section 5276 is hereby repealed. er in liquors or a wholesale dealer in beer, as (b) CONFORMING AMENDMENTS.— the case may be. Such presumption may be ‘‘For penalty and forfeiture provisions ap- (1)(A) The heading for part II of subchapter overcome by evidence satisfactorily showing plicable to violations of subsection (a), see A of chapter 51 and the table of subparts for that such sale, or offer for sale, was made to sections 5687 and 7302.’’. such part are amended to read as follows: a person other than a dealer.’’. (11) Subsection (b) of section 5002 is amend- ‘‘PART II—MISCELLANEOUS PROVISIONS (C) Paragraph (3) of section 5121(d), as so ed— ‘‘Subpart A. Manufacturers of stills. redesignated, is amended by striking ‘‘sec- (A) by striking ‘‘section 5112(a)’’ and in- tion 5146’’ and inserting ‘‘section 5123’’. serting ‘‘section 5121(c)(3)’’, ‘‘Subpart B. Nonbeverage domestic drawback (6)(A) Section 5124 (relating to records) is (B) by striking ‘‘section 5112’’ and inserting claimants. moved to subpart C of part II of subchapter ‘‘section 5121(c)’’, ‘‘Subpart C. Recordkeeping by dealers. A of chapter 51 and inserted after section (C) by striking ‘‘section 5122’’ and inserting ‘‘Subpart D. Other provisions.’’. 5121. ‘‘section 5122(c)’’.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00192 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1149 (12) Subparagraph (A) of section 5010(c)(2) ment to such treasury under section 7652(e) to the proper tax treatment of any sales be- is amended by striking ‘‘section 5134’’ and in- of the Internal Revenue Code of 1986. fore the effective date of such amendments. serting ‘‘section 5114’’. (B) CONSERVATION TRUST FUND TRANSFER.— SEC. 5442. MODIFIED TAXATION OF IMPORTED (13) Subsection (d) of section 5052 is amend- (i) IN GENERAL.—For purposes of this para- ARCHERY PRODUCTS. ed to read as follows: graph, the term ‘‘Conservation Trust Fund ‘‘(d) BREWER.—For purposes of this chap- transfer’’ means a transfer to the Puerto (a) BOWS.—Paragraph (1) of section 4161(b) ter, the term ‘brewer’ means any person who Rico Conservation Trust Fund of an amount (relating to bows) is amended to read as fol- brews beer or produces beer for sale. Such equal to 50 cents per proof gallon of the taxes lows: term shall not include any person who pro- imposed under section 5001 or section 7652 of ‘‘(1) BOWS.— duces only beer exempt from tax under sec- such Code on distilled spirits that are cov- ‘‘(A) IN GENERAL.—There is hereby imposed tion 5053(e).’’. ered over to the treasury of Puerto Rico on the sale by the manufacturer, producer, (14) The text of section 5182 is amended to under section 7652(e) of such Code. or importer of any bow which has a peak read as follows: (ii) TREATMENT OF TRANSFER.—Each Con- draw weight of 30 pounds or more, a tax ‘‘For provisions requiring recordkeeping by servation Trust Fund transfer shall be treat- equal to 11 percent of the price for which so wholesale liquor dealers, see section 5121, ed as principal for an endowment, the in- sold. and by retail liquor dealers, see section come from which to be available for use by ‘‘(B) ARCHERY EQUIPMENT.—There is hereby 5122.’’. the Puerto Rico Conservation Trust Fund for imposed on the sale by the manufacturer, (15) Subsection (b) of section 5402 is amend- the purposes for which the Trust Fund was producer, or importer— ed by striking ‘‘section 5092’’ and inserting established. ‘‘(i) of any part or accessory suitable for ‘‘section 5052(d)’’. (iii) RESULT OF NONTRANSFER.— inclusion in or attachment to a bow de- (16) Section 5671 is amended by striking (I) IN GENERAL.—Upon notification by the scribed in subparagraph (A), and ‘‘or 5091’’. Secretary of the Interior that a Conservation ‘‘(ii) of any quiver or broadhead suitable (17)(A) Part V of subchapter J of chapter 51 Trust Fund transfer has not been made by for use with an arrow described in paragraph is hereby repealed. the treasury of Puerto Rico, the Secretary of (2), (B) The table of parts for such subchapter the Treasury shall, except as provided in a tax equal to 11 percent of the price for J is amended by striking the item relating to subclause (II), deduct and withhold from the which so sold.’’. part V. next cover over payment to be made to the (18)(A) Sections 5142, 5143, and 5145 are treasury of Puerto Rico under section 7652(e) (b) ARROWS.—Subsection (b) of section 4161 moved to subchapter D of chapter 52, in- of such Code an amount equal to the appro- (relating to bows and arrows, etc.) is amend- serted after section 5731, redesignated as sec- priate Conservation Trust Fund transfer and ed by redesignating paragraph (3) as para- tions 5732, 5733, and 5734, respectively, and interest thereon at the underpayment rate graph (4) and inserting after paragraph (2) amended by striking ‘‘this part’’ each place established under section 6621 of such Code the following: it appears and inserting ‘‘this subchapter’’. as of the due date of such transfer. The Sec- ‘‘(3) ARROWS.— (B) Section 5732, as redesignated by sub- retary of the Treasury shall transfer such ‘‘(A) IN GENERAL.—There is hereby imposed paragraph (A), is amended by striking ‘‘(ex- amount deducted and withheld, and the in- on the sale by the manufacturer, producer, cept the tax imposed by section 5131)’’ each terest thereon, directly to the Puerto Rico or importer of any arrow, a tax equal to 12 place it appears. Conservation Trust Fund. percent of the price for which so sold. (C) Paragraph (2) of section 5733(c), as re- (II) GOOD CAUSE EXCEPTION.—If the Sec- ‘‘(B) EXCEPTION.—In the case of any arrow designated by subparagraph (A), is amended retary of the Interior finds, after consulta- of which the shaft or any other component by striking ‘‘liquors’’ both places it appears tion with the Governor of Puerto Rico, that has been previously taxed under paragraph and inserting ‘‘tobacco products and ciga- the failure by the treasury of Puerto Rico to (1) or (2)— rette papers and tubes’’. make a required transfer was for good cause, ‘‘(i) section 6416(b)(3) shall not apply, and (D) The table of sections for subchapter D and notifies the Secretary of the Treasury of ‘‘(ii) the tax imposed by subparagraph (A) of chapter 52 is amended by adding at the the finding of such good cause before the due shall be an amount equal to the excess (if end thereof the following: date of the next cover over payment fol- any) of— lowing the notification of nontransfer, then ‘‘Sec. 5732. Payment of tax. ‘‘(I) the amount of tax imposed by this the Secretary of the Treasury shall not de- paragraph (determined without regard to ‘‘Sec. 5733. Provisions relating to liability for duct the amount of such nontransfer from this subparagraph), over occupational taxes. any cover over payment. ‘‘(II) the amount of tax paid with respect ‘‘Sec. 5734. Application of State laws.’’. (C) PUERTO RICO CONSERVATION TRUST to the tax imposed under paragraph (1) or (2) (E) Section 5731 is amended by striking FUND.—For purposes of this paragraph, the on such shaft or component. subsection (c) and by redesignating sub- term ‘‘Puerto Rico Conservation Trust ‘‘(C) ARROW.—For purposes of this para- section (d) as subsection (c). Fund’’ means the fund established pursuant graph, the term ‘arrow’ means any shaft de- (19) Subsection (c) of section 6071 is amend- to a Memorandum of Understanding between scribed in paragraph (2) to which additional ed by striking ‘‘section 5142’’ and inserting the United States Department of the Interior components are attached.’’. and the Commonwealth of Puerto Rico, ‘‘section 5732’’. (c) CONFORMING AMENDMENTS.—Section dated December 24, 1968. (20) Paragraph (1) of section 7652(g) is 4161(b)(2) is amended— amended— PART V—SPORT EXCISE TAXES (1) by inserting ‘‘(other than broadheads)’’ (A) by striking ‘‘subpart F’’ and inserting SEC. 5441. CUSTOM GUNSMITHS. after ‘‘point’’, and ‘‘subpart B’’, and (a) SMALL MANUFACTURERS EXEMPT FROM (2) by striking ‘‘ARROWS.—’’ in the heading (B) by striking ‘‘section 5131(a)’’ and in- FIREARMS EXCISE TAX.—Section 4182 (relat- and inserting ‘‘ARROW COMPONENTS.—’’. serting ‘‘section 5111’’. ing to exemptions) is amended by redesig- (d) EFFECTIVE DATE.—The amendments (c) EFFECTIVE DATE.—The amendments nating subsection (c) as subsection (d) and by made by this section shall take effect on inserting after subsection (b) the following made by this section shall apply to articles July 1, 2004, but shall not apply to taxes im- new subsection: sold by the manufacturer, producer, or imposed for periods before such date. ‘‘(c) SMALL MANUFACTURERS, ETC.— porter after the date of the enactment of this SEC. 5432. SUSPENSION OF LIMITATION ON RATE ‘‘(1) IN GENERAL.—The tax imposed by sec- Act. OF RUM EXCISE TAX COVER OVER tion 4181 shall not apply to any article de- SEC. 5443. TREATMENT OF TRIBAL GOVERN- TO PUERTO RICO AND VIRGIN IS- scribed in such section if manufactured, pro- MENTS FOR PURPOSES OF FEDERAL LANDS. duced, or imported by a person who manufac- WAGERING EXCISE AND OCCUPA- (a) IN GENERAL.—Section 7652(f)(1) (relat- tures, produces, and imports less than 50 of TIONAL TAXES. ing to limitation on cover over of tax on dis- such articles during the calendar year. tilled spirits) is amended by striking ‘‘Janu- ‘‘(2) CONTROLLED GROUPS.—All persons (a) IN GENERAL.—Subsection (a) of section ary 1, 2004’’ and inserting ‘‘October 1, 2004, treated as a single employer for purposes of 7871 (relating to Indian tribal governments and $13.50 in the case of distilled spirits subsection (a) or (b) of section 52 shall be treated as States for certain purposes) is brought into the United States after Sep- treated as one person for purposes of para- amended by striking ‘‘and’’ at the end of tember 30, 2004, and before January 1, 2006’’. graph (1).’’. paragraph (6), by striking the period at the (b) EFFECTIVE DATE.— (b) EFFECTIVE DATE.— end of paragraph (7) and inserting ‘‘; and’’, (1) IN GENERAL.—The amendment made by (1) IN GENERAL.—The amendments made by and by adding at the end the following new subsection (a) shall apply to articles con- this section shall apply to articles sold by paragraph: taining distilled spirits brought into the the manufacturer, producer, or importer on ‘‘(8) for purposes of chapter 35 (relating to United States after December 31, 2003. or after the date which is the first day of the taxes on wagering).’’. (2) SPECIAL RULE.— month beginning at least 2 weeks after the (A) IN GENERAL.—After September 30, 2004, date of the enactment of this Act. (b) EFFECTIVE DATE.—The amendments the treasury of Puerto Rico shall make a (2) NO INFERENCE.—Nothing in the amend- made by this section shall take effect on Conservation Trust Fund transfer within 30 ments made by this section shall be con- July 1, 2004, but shall not apply to taxes im- days from the date of each cover over pay- strued to create any inference with respect posed for periods before such date.

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PART VI—OTHER PROVISIONS unused business credit for any taxable year ‘‘(13) NO CARRYBACK OF SECTION 45G CREDIT SEC. 5451. INCOME TAX CREDIT FOR DISTILLED which is attributable to the credit deter- BEFORE EFFECTIVE DATE.—No portion of the SPIRITS WHOLESALERS AND FOR mined under section 5011(a) may be carried unused business credit for any taxable year DISTILLED SPIRITS IN CONTROL back to a taxable year beginning before the which is attributable to the credit deter- STATE BAILMENT WAREHOUSES FOR date of the enactment of section 5011.’’. mined under section 45G(a) may be carried COSTS OF CARRYING FEDERAL EX- (2) The table of sections for subpart A of back to a taxable year beginning on or before CISE TAXES ON BOTTLED DISTILLED part I of subchapter A of chapter 51 is the date of the enactment of section 45G.’’. SPIRITS. amended by adding at the end the following (2) The table of sections for subpart D of (a) IN GENERAL.—Subpart A of part I of new item: part IV of subchapter A of chapter 1 is subchapter A of chapter 51 (relating to amended by adding at the end the following gallonage and occupational taxes) is amend- ‘‘Sec. 5011. Income tax credit for average cost new item: ed by adding at the end the following new of carrying excise tax.’’. section: (d) EFFECTIVE DATE.—The amendments ‘‘Sec. 45G. Commercial power takeoff vehi- ‘‘SEC. 5011. INCOME TAX CREDIT FOR AVERAGE made by this section shall apply to taxable cles credit.’’. COST OF CARRYING EXCISE TAX. years beginning after the date of the enact- (d) EFFECTIVE DATE.—The amendments ‘‘(a) IN GENERAL.—For purposes of section ment of this Act. made by this section shall apply to taxable 38, the amount of the distilled spirits credit SEC. 5452. CREDIT FOR TAXPAYERS OWNING years beginning after the date of the enact- for any taxable year is the amount equal to COMMERCIAL POWER TAKEOFF VE- ment of this Act. the product of— HICLES. SEC. 5453. CREDIT FOR AUXILIARY POWER UNITS ‘‘(1) in the case of— (a) IN GENERAL.—Subpart D of part IV of INSTALLED ON DIESEL-POWERED ‘‘(A) any eligible wholesaler— subchapter A of chapter 1 (relating to busi- TRUCKS. ‘‘(i) the number of cases of bottled distilled ness-related credits) is amended by adding at (a) IN GENERAL.—Subpart D of part IV of spirits— the end the following new section: subchapter A of chapter 1 (relating to busi- ‘‘(I) which were bottled in the United ‘‘SEC. 45G. COMMERCIAL POWER TAKEOFF VEHI- ness-related credits), as amended by section States, and CLES CREDIT. 5452 of this Act, is amended by adding at the ‘‘(II) which are purchased by such whole- ‘‘(a) GENERAL RULE.—For purposes of sec- end the following new section: saler during the taxable year directly from tion 38, the amount of the commercial power ‘‘SEC. 45H. AUXILIARY POWER UNIT CREDIT. the bottler of such spirits, or takeoff vehicles credit determined under this ‘‘(a) GENERAL RULE.—For purposes of sec- ‘‘(B) any person which is subject to section section for the taxable year is $250 for each tion 38, the amount of the auxiliary power 5005 and which is not an eligible wholesaler, qualified commercial power takeoff vehicle unit credit determined under this section for the number of cases of bottled distilled spir- owned by the taxpayer as of the close of the the taxable year is $250 for each qualified its which are stored in a warehouse operated calendar year in which or with which the auxiliary power unit— by, or on behalf of, a State, or agency or po- taxable year of the taxpayer ends. ‘‘(1) purchased by the taxpayer, and ‘‘(b) DEFINITIONS.—For purposes of this sec- litical subdivision thereof, on which title has ‘‘(2) installed or caused to be installed by tion— not passed on an unconditional sale basis, the taxpayer on a qualified heavy-duty high- ‘‘(1) QUALIFIED COMMERCIAL POWER TAKEOFF and way vehicle during such taxable year. VEHICLE.—The term ‘qualified commercial ‘‘(2) the average tax-financing cost per case ‘‘(b) DEFINITIONS.—For purposes of this sec- power takeoff vehicle’ means any highway for the most recent calendar year ending be- tion— vehicle described in paragraph (2) which is fore the beginning of such taxable year. ‘‘(1) QUALIFIED AUXILIARY POWER UNIT.—The propelled by any fuel subject to tax under ‘‘(b) ELIGIBLE WHOLESALER.—For purposes term ‘qualified auxiliary power unit’ means section 4041 or 4081 if such vehicle is used in of this section, the term ‘eligible wholesaler’ any integrated system which— a trade or business or for the production of means any person which holds a permit ‘‘(A) provides heat, air conditioning, en- income (and is licensed and insured for such under the Federal Alcohol Administration gine warming, and electricity to the factory use). Act as a wholesaler of distilled spirits which installed components on a qualified heavy- ‘‘(2) HIGHWAY VEHICLE DESCRIBED.—A high- is not a State, or agency or political subdivi- duty highway vehicle as if the main drive en- way vehicle is described in this paragraph if sion thereof. gine of such vehicle was in operation, such vehicle is— ‘‘(c) AVERAGE TAX-FINANCING COST.— ‘‘(B) is employed to reduce long-term ‘‘(A) designed to engage in the daily collec- ‘‘(1) IN GENERAL.—For purposes of this sec- idling of the diesel engine on such a vehicle, tion of refuse or recyclables from homes or tion, the average tax-financing cost per case and businesses and is equipped with a mechanism for any calendar year is the amount of inter- ‘‘(C) is certified by the Environmental Pro- under which the vehicle’s propulsion engine est which would accrue at the deemed fi- tection Agency as meeting emission stand- provides the power to operate a load com- nancing rate during a 60-day period on an ards in regulations in effect on the date of pactor, or amount equal to the deemed Federal excise the enactment of this section. ‘‘(B) designed to deliver ready mixed con- tax per case. ‘‘(2) QUALIFIED HEAVY-DUTY HIGHWAY VEHI- crete on a daily basis and is equipped with a ‘‘(2) DEEMED FINANCING RATE.—For pur- CLE.—The term ‘qualified heavy-duty high- mechanism under which the vehicle’s propul- poses of paragraph (1), the deemed financing way vehicle’ means any highway vehicle sion engine provides the power to operate a rate for any calendar year is the average of weighing more than 12,500 pounds and pow- mixer drum to agitate and mix the product the corporate overpayment rates under para- ered by a diesel engine. en route to the delivery site. graph (1) of section 6621(a) (determined with- ‘‘(c) TERMINATION.—This section shall not ‘‘(c) EXCEPTION FOR VEHICLES USED BY GOV- out regard to the last sentence of such para- apply with respect to any installation occur- ERNMENTS, ETC.—No credit shall be allowed graph) for calendar quarters of such year. ring after December 31, 2006.’’. under this section for any vehicle owned by REDIT REATED AS ART OF ENERAL ‘‘(3) DEEMED FEDERAL EXCISE TAX PER (b) C T P G any person at the close of a calendar year if BUSINESS CREDIT.—Section 38(b) (relating to CASE.—For purposes of paragraph (1), the such vehicle is used at any time during such deemed Federal excise tax per case is $25.68. current year business credit), as amended by year by— section 5452 of this Act, is amended by strik- ‘‘(d) OTHER DEFINITIONS AND SPECIAL ‘‘(1) the United States or an agency or in- RULES.—For purposes of this section— ing ‘‘plus’’ at the end of paragraph (17), by strumentality thereof, a State, a political striking the period at the end of paragraph ‘‘(1) CASE.—The term ‘case’ means 12 80- subdivision of a State, or an agency or in- proof 750 milliliter bottles. (18) and inserting ‘‘, plus’’, and by adding at strumentality of one or more States or polit- the end the following new paragraph: ‘‘(2) NUMBER OF CASES IN LOT.—The number ical subdivisions, or ‘‘(19) the auxiliary power unit credit under of cases in any lot of distilled spirits shall be ‘‘(2) an organization exempt from tax determined by dividing the number of liters section 45H(a).’’. under section 501(a). (c) CONFORMING AMENDMENTS.— in such lot by 9.’’. ‘‘(d) TERMINATION.—This section shall not (1) Section 39(d), as amended by section (b) CREDIT TREATED AS PART OF GENERAL apply with respect to any calendar year after 5452 of this Act, is amended by adding at the BUSINESS CREDIT.—Section 38(b) (relating to 2006.’’. end the following new paragraph: current year business credit), as amended by (b) CREDIT TREATED AS PART OF GENERAL ‘‘(14) NO CARRYBACK OF SECTION 45H CREDIT section 5101 of this Act, is amended by strik- BUSINESS CREDIT.—Section 38(b) (relating to BEFORE EFFECTIVE DATE.—No portion of the ing ‘‘plus’’ at the end of paragraph (15), by current year business credit), as amended by unused business credit for any taxable year striking the period at the end of paragraph section 5451 of this Act, is amended by strik- which is attributable to the credit deter- (16) and inserting ‘‘, plus’’, and by adding at ing ‘‘plus’’ at the end of paragraph (16), by mined under section 45H(a) may be carried the end the following new paragraph: striking the period at the end of paragraph back to a taxable year beginning on or before ‘‘(17) the distilled spirits credit determined (17) and inserting ‘‘, plus’’, and by adding at the date of the enactment of section 45H.’’. under section 5011(a).’’. the end the following new paragraph: (2) The table of sections for subpart D of (c) CONFORMING AMENDMENTS.— ‘‘(18) the commercial power takeoff vehi- part IV of subchapter A of chapter 1, as (1) Section 39(d), as amended by section cles credit under section 45G(a).’’. amended by section 5452 of this Act, is 5101 of this Act, is amended by adding at the (c) CONFORMING AMENDMENTS.— end the following new paragraph: (1) Section 39(d), as amended by section amended by adding at the end the following new item: ‘‘(12) NO CARRYBACK OF SECTION 5011 CREDIT 5451 of this Act, is amended by adding at the BEFORE EFFECTIVE DATE.—No portion of the end the following new paragraph: ‘‘Sec. 45H. Auxiliary power unit credit.’’.

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(d) EFFECTIVE DATE.—The amendments (f) OBTAINING DATA.—The Commission may means of financing highway and transit in- made by this section shall apply to auxiliary secure directly from any department or frastructure investments. power units purchased and installed for tax- agency of the United States, information (c) MEMBERSHIP.— able years beginning after the date of the en- (other than information required by any law (1) APPOINTMENT.—The Commission shall actment of this Act. to be kept confidential by such department be composed of 15 members, appointed as fol- Subtitle F—Miscellaneous Provisions or agency) necessary for the Commission to lows: SEC. 5501. MOTOR FUEL TAX ENFORCEMENT AD- carry out its duties under this section. Upon (A) 7 members appointed by the Secretary VISORY COMMISSION. request of the Commission, the head of that of Transportation, in consultation with the (a) ESTABLISHMENT.—There is established a department or agency shall furnish such Secretary of the Treasury. Motor Fuel Tax Enforcement Advisory Com- nonconfidential information to the Commis- (B) 2 members appointed by the Chairman mission (in this section referred to as the sion. The Commission shall also gather evi- of the Committee on Ways and Means of the ‘‘Commission’’). dence through such means as it may deem House of Representatives. (b) FUNCTION.—The Commission shall— appropriate, including through holding hear- (C) 2 members appointed by the Ranking (1) review motor fuel revenue collections, ings and soliciting comments by means of Minority Member of the Committee on Ways historical and current; Federal Register notices. and Means of the House of Representatives. (2) review the progress of investigations; (g) TERMINATION.—The Commission shall (D) 2 members appointed by the Chairman (3) develop and review legislative proposals terminate after September 30, 2009. of the Committee on Finance of the Senate. with respect to motor fuel taxes; SEC. 5502. NATIONAL SURFACE TRANSPOR- (E) 2 members appointed by the Ranking (4) monitor the progress of administrative TATION INFRASTRUCTURE FINANC- Minority Member of the Committee on Fi- regulation projects relating to motor fuel ING COMMISSION. nance of the Senate. taxes; (a) ESTABLISHMENT.—There is established a (2) QUALIFICATIONS.—Members appointed (5) review the results of Federal and State National Surface Transportation Infrastruc- pursuant to paragraph (1) shall be appointed agency cooperative efforts regarding motor ture Financing Commission (in this section from among individuals knowledgeable in fuel taxes; referred to as the ‘‘Commission’’). The Com- the fields of public transportation finance or (6) review the results of Federal inter- mission shall hold its first meeting within 90 highway and transit programs, policy, and agency cooperative efforts regarding motor days of the appointment of the eighth indi- needs, and may include representatives of in- fuel taxes; and vidual to be named to the Commission. terested parties, such as State and local gov- (7) evaluate and make recommendations (b) FUNCTION.— ernments or other public transportation au- regarding— (1) IN GENERAL.—The Commission shall— thorities or agencies, representatives of the (A) the effectiveness of existing Federal (A) make a thorough investigation and transportation construction industry (in- enforcement programs regarding motor fuel study of revenues flowing into the Highway cluding suppliers of technology, machinery taxes, Trust Fund under current law, including the and materials), transportation labor (includ- (B) enforcement personnel allocation, and individual components of the overall flow of ing construction and providers), transpor- (C) proposals for regulatory projects, legis- such revenues; tation providers, the financial community, lation, and funding. (B) consider whether the amount of such and users of highway and transit systems. (c) MEMBERSHIP.— revenues is likely to increase, decline, or re- (3) TERMS.—Members shall be appointed for (1) APPOINTMENT.—The Commission shall the life of the Commission. be composed of the following representatives main unchanged, absent changes in the law, (4) VACANCIES.—A vacancy in the Commis- appointed by the Chairmen and the Ranking particularly by taking into account the impact of possible changes in public vehicular sion shall be filled in the manner in which Members of the Committee on Finance of the the original appointment was made. Senate and the Committee on Ways and choice, fuel use, or travel alternatives that (5) TRAVEL EXPENSES.—Members shall Means of the House of Representatives: could be expected to reduce or increase revenues into the Highway Trust Fund; serve without pay but shall receive travel ex- (A) At least 1 representative from each of penses, including per diem in lieu of subsist- the following Federal entities: the Depart- (C) consider alternative approaches to generating revenues for the Highway Trust ence, in accordance with sections 5702 and ment of Homeland Security, the Department 5703 of title 5, United States Code. of Transportation - Office of Inspector Gen- Fund, and the level of revenues that such alternatives would yield; (6) CHAIRMAN.—The Chairman of the Com- eral, the Federal Highway Administration, mission shall be elected by the members. the Department of Defense, and the Depart- (D) consider highway and transit needs and (d) STAFF.—The Commission may appoint ment of Justice. whether additional revenues into the High- and fix the pay of such personnel as it con- (B) At least 1 representative from the Fed- way Trust Fund, or other Federal revenues siders appropriate. eration of State Tax Administrators. dedicated to highway and transit infrastruc- (e) FUNDING.—Funding for the Commission (C) At least 1 representative from any ture, would be required in order to meet such shall be provided by the Secretary of the State department of transportation. needs; and Treasury and by the Secretary of Transpor- (D) 2 representatives from the highway (E) study such other matters closely re- tation, out of funds available to those agen- construction industry. lated to the subjects described in the pre- cies for administrative and policy functions. (E) 5 representatives from industries relat- ceding subparagraphs as it may deem appro- (f) STAFF OF FEDERAL AGENCIES.—Upon re- ing to fuel distribution — refiners (2 rep- priate. quest of the Commission, the head of any de- resentatives), distributors (1 representative), (2) TIME FRAME OF INVESTIGATION AND partment or agency of the United States pipelines (1 representative), and terminal op- STUDY.—The time frame to be considered by may detail any of the personnel of that de- erators (2 representatives). the Commission shall extend through the partment or agency to the Commission to as- (F) 1 representative from the retail fuel in- year 2015. sist in carrying out its duties under this sec- dustry. (3) PREPARATION OF REPORT.—Based on tion. (G) 2 representatives from the staff of the such investigation and study, the Commis- Committee on Finance of the Senate and 2 sion shall develop a final report, with rec- (g) OBTAINING DATA.—The Commission may representatives from the staff of the Com- ommendations and the bases for those rec- secure directly from any department or mittee on Ways and Means of the House of ommendations, indicating policies that agency of the United States, information Representatives. should be adopted, or not adopted, to achieve (other than information required by any law various levels of annual revenue for the to be kept confidential by such department (2) TERMS.—Members shall be appointed for the life of the Commission. Highway Trust Fund and to enable the High- or agency) necessary for the Commission to way Trust Fund to receive revenues suffi- carry out its duties under this section. Upon (3) VACANCIES.—A vacancy in the Commis- sion shall be filled in the manner in which cient to meet highway and transit needs. request of the Commission, the head of that the original appointment was made. Such recommendations shall address, among department or agency shall furnish such other matters as the Commission may deem nonconfidential information to the Commis- (4) TRAVEL EXPENSES.—Members shall serve without pay but shall receive travel ex- appropriate— sion. The Commission shall also gather evi- penses, including per diem in lieu of subsist- (A) what levels of revenue are required by dence through such means as it may deem ence, in accordance with sections 5702 and the Federal Highway Trust Fund in order for appropriate, including through holding hear- 5703 of title 5, United States Code. it to meet needs to— ings and soliciting comments by means of (i) maintain, and Federal Register notices. (5) CHAIRMAN.—The Chairman of the Com- mission shall be elected by the members. (ii) improve the condition and performance (h) REPORT.—Not later than 2 years after (d) FUNDING.—Such sums as are necessary of the Nation’s highway and transit systems; the date of its first meeting, the Commission shall be available from the Highway Trust (B) what levels of revenue are required by shall transmit its final report, including rec- fund for the expenses of the Commission. the Federal Highway Trust Fund in order to ommendations, to the Secretary of Transpor- (e) CONSULTATION.—Upon request of the ensure that Federal levels of investment in tation, the Secretary of the Treasury, and Commission, representatives of the Depart- highways and transit do not decline in real the Committee on Ways and Means of the ment of the Treasury and the Internal Rev- terms; and House of Representatives, the Committee on enue Service shall be available for consulta- (C) the extent, if any, to which the High- Finance of the Senate, the Committee on tion to assist the Commission in carrying way Trust Fund should be augmented by Transportation and Infrastructure of the out its duties under this section. other mechanisms or funds as a Federal House of Representatives, the Committee on

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Environment and Public Works of the Sen- (b) STUDY OF FUNDING MECHANISMS.—Not subsection (a) to the Committee on Finance ate, and the Committee on Banking, Hous- later than December 31, 2006, the Western of the Senate and the Committee on Ways ing, and Urban Affairs of the Senate. Transportation Institute of the College of and Means of the House of Representatives. (i) TERMINATION.—The Commission shall Engineering at Montana State University SEC. 5506. DELTA REGIONAL TRANSPORTATION terminate on the 180th day following the shall report to the Secretary of the Treasury PLAN. date of transmittal of the report under sub- and the Secretary of Transportation on a (a) STUDY.—The Delta Regional Authority section (h). All records and papers of the study of highway funding mechanisms of shall conduct a study of the transportation Commission shall thereupon be delivered to other industrialized nations, an examination assets and needs in the States of Alabama, the Administrator of General Services for de- of the viability of alternative funding pro- Arkansas, Illinois, Kentucky, Louisiana, posit in the National Archives. posals, including congestion pricing, greater Mississippi, Missouri, and Tennessee which SEC. 5503. TREASURY STUDY OF FUEL TAX COM- reliance on tolls, privatization of facilities, comprise the Delta region. PLIANCE AND INTERAGENCY CO- and bonding for construction of added capac- EGIONAL TRATEGIC RANSPORTATION OPERATION. (b) R S T ity, and an examination of increasing the PLAN.—Upon completion of the study re- (a) IN GENERAL.—Not later than January rates of motor fuels taxes in effect on the quired under subsection (a), the Delta Re- 31, 2006, the Secretary of the Treasury shall date of the enactment of this Act, including submit to the Committee on Finance of the gional Authority shall establish a regional the indexation of such rates. strategic transportation plan to achieve effi- Senate and the Committee on Ways and (c) STUDY ON FIELD TEST OF ON-BOARD Means of the House of Representatives a re- cient transportation systems in the Delta re- COMPUTER ASSESSMENT OF HIGHWAY USE gion. In developing the regional strategic port regarding fuel tax enforcement which TAXES.—Not later than December 31, 2011, transportation plan, the Delta Regional Au- shall include the information and analysis the Public Policy Center of the University of thority shall consult with local planning and specified in subsections (b) and (c) and any Iowa shall direct, analyze, and report to the development districts, local and regional other information and recommendations the Secretary of the Treasury and the Secretary governments, metropolitan planning organi- Secretary of the Treasury may deem appro- of Transportation on a long-term field test of zations, State transportation entities, and priate. an approach to assessing highway use taxes (b) AUDITS.—With respect to audits con- Federal transportation agencies. based upon actual mileage driven by a spe- ducted by the Internal Revenue Service, the (c) ELEMENTS OF STUDY AND PLAN.—The cific vehicle on specific types of highways by report required under subsection (a) shall in- study and plan under this section shall in- use of an on-board computer— clude— clude the following transportation modes (1) which is linked to satellites to cal- (1) the number and geographic distribution and systems: transit, rail, highway, inter- culate highway mileage traversed, of audits conducted annually, by fiscal year, state, bridges, air, airports, waterways and (2) which computes the appropriate high- between October 1, 2001, and September 30, ports. way use tax for each of the Federal, State, 2005; (d) AUTHORIZATION OF APPROPRIATIONS.— and local governments as the vehicle makes (2) the total volume involved for each of There is authorized to be appropriated to the use of the highways, and the taxable fuels covered by such audits and Delta Regional Authority $1,000,000 to carry (3) the data from which is periodically a comparison to the annual production of out the purposes of this section, to remain downloaded by the vehicle owner to a collec- such fuels; available until expended. tion center for an assessment of highway use (3) the staff hours and number of personnel taxes due in each jurisdiction traversed.The SEC. 5507. TREATMENT OF EMPLOYER-PROVIDED devoted to the audits per year; and components of the field test shall include 2 TRANSIT AND VAN POOLING BENE- (4) the results of such audits by year, in- FITS. years for preparation, including selection of cluding total tax collected, total penalties (a) IN GENERAL.—Subparagraph (A) of sec- vendors and test participants, and 3-year collected, and number of referrals for crimi- tion 132(f)(2) (relating to limitation on exclu- testing period. nal prosecution. sion) is amended by striking ‘‘$100’’ and in- (c) ENFORCEMENT ACTIVITIES.—With respect SEC. 5505. TREASURY STUDY OF HIGHWAY FUELS serting ‘‘$120’’. to enforcement activities, the report re- USED BY TRUCKS FOR NON-TRANS- PORTATION PURPOSES. (b) INFLATION ADJUSTMENT CONFORMING quired under subsection (a) shall include— (a) STUDY.—The Secretary of the Treasury AMENDMENTS.—The last sentence of section (1) the number and geographic distribution shall conduct a study regarding the use of 132(f)(6)(A) (relating to inflation adjustment) of criminal investigations and prosecutions highway motor fuel by trucks that is not is amended— annually, by fiscal year, between October 1, used for the propulsion of the vehicle. As (1) by striking ‘‘2002’’ and inserting ‘‘2005’’, 2001, and September 30, 2005, and the results part of such study— and of such investigations and prosecutions; (1) in the case of vehicles carrying equip- (2) by striking ‘‘2001’’ and inserting ‘‘2004’’. (2) to the extent such investigations and ment that is unrelated to the transportation (c) EFFECTIVE DATE.—The amendments prosecutions involved other agencies, State function of the vehicle— made by this section shall apply to taxable or Federal, a breakdown by agency of the (A) the Secretary of the Treasury, in con- years beginning after December 31, 2004. number of joint investigations involved; sultation with the Secretary of Transpor- SEC. 5508. STUDY OF INCENTIVES FOR PRODUC- (3) an assessment of the effectiveness of tation, and with public notice and comment, TION OF BIODIESEL. joint action and cooperation between the De- shall determine the average annual amount (a) STUDY.—The General Comptroller of partment of the Treasury and other Federal of tax paid fuel consumed per vehicle, by the United States shall conduct a study re- and State agencies, including a discussion of type of vehicle, used by the propulsion en- lated to biodiesel fuels and the tax credit for the ability and need to share information gine to provide the power to operate the biodiesel fuels established under this Act. across agencies for both civil and criminal equipment attached to the highway vehicle, Such study shall include— Federal tax enforcement and enforcement of and (1) an assessment on whether such credit State or Federal laws relating to fuels; (B) the Secretary of the Treasury shall re- provides sufficient assistance to the pro- (4) the staff hours and number of personnel view the technical and administrative feasi- ducers of biodiesel fuel to establish the fuel devoted to criminal investigations and pros- bility of exempting such nonpropulsive use as a viable energy alternative in the current ecutions per year; of highway fuels for the highway motor fuels market place, (5) the staff hours and number of personnel excise taxes, (2) an assessment on how long such credit devoted to administrative collection of fuel (2) in the case where non-transportation or similar subsidy would have to remain in taxes; and equipment is run by a separate motor— effect before biodiesel fuel can compete in (6) the results of administrative collection (A) the Secretary of the Treasury shall de- the market place without such assistance, efforts annually, by fiscal year, between Oc- termine the annual average amount of fuel (3) a cost-benefit analysis of such credit, tober 1, 2001, and September 30, 2005. exempted from tax in the use of such equip- comparing the cost of the credit in forgone SEC. 5504. EXPANSION OF HIGHWAY TRUST FUND ment by equipment type, and revenue to the benefits of lower fuel costs for EXPENDITURE PURPOSES TO IN- consumers, increased profitability for the CLUDE FUNDING FOR STUDIES OF (B) the Secretary of the Treasury shall re- SUPPLEMENTAL OR ALTERNATIVE view issues of administration and compli- biodiesel industry, increased farm income, FINANCING FOR THE HIGHWAY ance related to the present-law exemption reduced program outlays from the Depart- TRUST FUND. provided for such fuel use, and ment of Agriculture, and the improved envi- (a) IN GENERAL.—From amounts available (3) the Secretary of the Treasury shall— ronmental conditions through the use of bio- in the Highway Trust Fund, there is author- (A) estimate the amount of taxable fuel diesel fuel, and ized to be expended for 2 comprehensive stud- consumed by trucks and the emissions of (4) an assessment on whether such credit ies of supplemental or alternative funding various pollutants due to the long-term results in any unintended consequences for sources for the Highway Trust Fund— idling of diesel engines, and unrelated industries, including the impact, if (1) $1,000,000 to the Western Transportation (B) determine the cost of reducing such any, on the glycerin market. Institute of the College of Engineering at long-term idling through the use of plug-ins (b) REPORT.—Not later than 2 years after Montana State University for the study and at truck stops, auxiliary power units, or the date of the enactment of this Act, the report described in subsection (b), and other technologies. Comptroller General of the United States (2) $16,500,000 to the Public Policy Center of (b) REPORT.—Not later than January 1, shall report the findings of the study re- the University of Iowa for the study and re- 2006, the Secretary of the Treasury shall required under subsection (a) to the Com- port described in subsection (c). port the findings of the study required under mittee on Finance of the Senate and the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00196 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1153 Committee on Ways and Means of the House present valid documentation of lawful pres- grams, and for other purposes; which of Representatives. ence in the United States as determined by was ordered to lie on the table; as fol- SEC. 5509. REDUCTION OF EXPENDITURES FROM the Immigration and Nationality Act (8 lows: THE HIGHWAY TRUST FUND. U.S.C. 1001 et seq.). At the appropriate place, insert the fol- The amount made available under titles I, (b) EFFECT OF WITHHOLDING OF FUNDS.— II, III, and IV of this Act shall be reduced on Any funds recovered due to a reduction in lowing: a pro rata basis, so that the total of such re- State funding in accordance with subsection SEC. ll. PROHIBITION OF ISSUANCE OF DRIV- ductions equals $214,000,000,000. (a) shall be redistributed amongst the States ERS LICENSES TO ILLEGAL ALIENS. (a) WITHHOLDING OF FUNDS FOR NONCOMPLI- Subtitle G—Revenue Offsets that are in compliance with this section in accordance with the formulas set forth in ANCE.—The Secretary of Transportation PART I—LIMITATION ON EXPENSING this Act, calculated without taking into ac- shall withhold 1 per cent of the amount re- CERTAIN PASSENGER AUTOMOBILES count the States that have violated this sec- quired to be apportioned to any State under SEC. 5601. EXPANSION OF LIMITATION ON DE- tion. this Act on the first day of each fiscal year PRECIATION OF CERTAIN PAS- (c) The Bureau of Immigration and Cus- after the second fiscal year beginning after SENGER AUTOMOBILES. toms Enforcement of the Department of September 30, 2004, if such State does not (a) IN GENERAL.—Section 179(b) (relating to Homeland Security shall issue a list of docu- prohibit by statute, regulation, or executive limitations) is amended by adding at the end ments or combination of documents estab- order issuance of a State driver’s license or the following new paragraph: lishing legal presence in the United States identification card to aliens who do not ‘‘(6) LIMITATION ON COST TAKEN INTO AC- by September 30, 2004. The Secretary shall present valid documentation of lawful pres- COUNT FOR CERTAIN PASSENGER VEHICLES.— utilize such list for the purpose of deter- ence in the United States as determined by ‘‘(A) IN GENERAL.—The cost of any sport minations of compliance with subsection (a). the Immigration and Nationality Act (8 utility vehicle for any taxable year which U.S.C. 1101 et seq.). may be taken into account under this sec- SA 2475. Mr. SESSIONS submitted an (b) EFFECT OF WITHHOLDING OF FUNDS.— tion shall not exceed $25,000. amendment intended to be proposed to Any funds recovered due to a reduction in ‘‘(B) SPORT UTILITY VEHICLE.—For purposes amendment SA 2285 proposed by Mr. State funding in accordance with subsection of subparagraph (A)— (a) shall be redistributed amongst the States ‘‘(i) IN GENERAL.—The term ‘sport utility INHOFE to the bill S. 1072, to authorize that are in compliance with this section in vehicle’ means any 4-wheeled vehicle funds for Federal-aid highways, high- accordance with the formulas set forth in which— way safety programs, and transit pro- this Act, calculated without taking into ac- ‘‘(I) is manufactured primarily for use on grams, and for other purposes; which count the States that have violated this sec- public streets, roads, and highways, was ordered to lie on the table; as fol- tion. ‘‘(II) is not subject to section 280F, and lows: (c) The Bureau of Immigration and Cus- ‘‘(III) is rated at not more than 14,000 At the end of title IV, add the following: toms Enforcement of the Department of pounds gross vehicle weight. Homeland Security shall issue a list of docu- Subtitle G—Immigration Related Provisions ‘‘(ii) CERTAIN VEHICLES EXCLUDED.—Such ments or combinations of documents estab- term does not include any vehicle which— SEC. 4701. PROHIBITION OF EMPLOYMENT OF IL- lishing a legal presence in the United States ‘‘(I) does not have the primary load car- LEGAL ALIENS ON FEDERALLY by September 30, 2004. The Secretary shall rying device or container attached, FUNDED TRANSPORTATION PROJECTS. utilize such list for the purpose of deter- ‘‘(II) has a seating capacity of more than 12 mining compliance with subsection (a). (a) IN GENERAL.—No funds authorized to be individuals, appropriated by this Act may be used to SEC. ll. PROHIBITION OF EMPLOYMENT OF IL- ‘‘(III) is designed for more than 9 individ- hire, retain, or compensate any alien who is LEGAL ALIENS ON FEDERALLY uals in seating rearward of the driver’s seat, FUNDED TRANSPORTATION not in lawful status, as determined under the ‘‘(IV) is equipped with an open cargo area, PROJECTS. Immigration and Nationality Act (8 U.S.C. or a covered box not readily accessible from (a) IN GENERAL.—No funds authorized to be 1101 et seq.), for performing work on any the passenger compartment, of at least 72.0 appropriated by this Act may be used to projects authorized or funded by this Act. inches in interior length, or hire, retain, or compensate any alien who is (b) ENFORCEMENT.— ‘‘(V) has an integral enclosure, fully en- not in lawful status, as determined under the (1) FINE.—Any person or entity who vio- Immigration and Nationality Act (8 U.S.C. closing the driver compartment and load lates subsection (a) shall be subject to a fine 1101 et seq.), for performing work on any carrying device, does not have seating rear- of $100,000 per violation. ward of the driver’s seat, and has no body projects authorized or funded by this Act. (2) EXCEPTION.—No person or entity may be (b) ENFORCEMENT.— section protruding more than 30 inches fined in accordance with paragraph (1) if that ahead of the leading edge of the wind- (1) FINE.—Any person or entity who vio- person or entity utilizes the basic pilot pro- lates subsection (a) shall be subject to a fine shield.’’. gram for employment eligibility confirma- (c) EFFECTIVE DATE.—The amendments of $100,000 per violation. tion established by title IV of Public Law made by this section shall apply to property (2) EXCEPTION.—No person or entity may be 104–208 (8 U.S.C. 1324a note) to confirm the placed in service after February 2, 2004. fined in accordance with paragraph (1) if that eligibility of the alien for employment and SEC. 5612. Section 9053(b) is amended by person or entity utilizes the basic pilot pro- the employment eligibility confirmation sys- adding at the end the following new para- gram for employment eligibility confirma- tem reports represent that the alien is eligi- graph: tion established by title IV of Public Law ‘‘(6) The Secretary shall transfer to the ble for employment. 104–208 (8 U.S.C. 1324a note) to confirm the Highway Trust Fund an amount equal to $6 (3) IMMIGRATION ENFORCEMENT ACCOUNT.— eligibility of the alien for employment and billion total to terminate at the end of fiscal Any fines collected under paragraph (1) shall the employment eligibility confirmation sys- year 2009.’’ be deposited in the Immigration Enforce- tem reports represent that the alien is eligi- ment Account established under section ble for employment. 280(b) of the Immigration and Nationality SA 2474. Mr. SESSIONS submitted an (3) IMMIGRATION ENFORCEMENT ACCOUNT.— amendment intended to be proposed to Act (8 U.S.C. 1330(b)) and made available for Any fines collected under paragraph (1) shall immigration enforcement activities de- be deposited in the Immigration Enforce- amendment SA 2285 proposed by Mr. scribed in clauses (i) and (ii) of section INHOFE to the bill S. 1072, to authorize ment Account established under section 280(b)(3)(A) of that Act (8 U.S.C. 280(b) of the Immigration and Nationality funds for Federal-aid highways, high- 1330(b)(3)(A)(i) and (ii)) within the interior of way safety programs, and transit pro- Act (8 U.S.C. 1330(b)) and made available for the United States and for the costs of oper- immigration enforcement activities de- grams, and for other purposes; which ation and modernization of the employment scribed in clauses (i) and (ii) of section was ordered to lie on the table; as fol- eligibility confirmation pilot programs es- 280(b)(3)(A) of that Act (8 U.S.C. lows: tablished by title IV of Public Law 104–208 (8 1330(b)(3)(A)(i) and (ii)) within the interior of U.S.C. 1324a note). At the appropriate place, insert the fol- the United States and for the costs of oper- (4) EFFECTIVE DATE.—This subsection shall lowing: ation and modernization of the employment take effect in a State on the date on which eligibility confirmation pilot programs es- SEC. ll. PROHIBITION OF ISSUANCE OF DRIV- the operation of the basic pilot program for ER’S LICENSES TO ILLEGAL ALIENS. tablished by title IV of Public Law 104–208 (8 employment eligibility confirmation re- (a) WITHHOLDING OF FUNDS FOR NONCOMPLI- U.S.C. 1324a note). ferred to in paragraph (2) is expanded to such ANCE.—The Secretary of Transportation (4) EFFECTIVE DATE.—This subsection shall State. shall withhold 1 per cent of the amount re- take effect in a State on the date on which quired to be apportioned to any State under SA 2476. Mr. SESSIONS submitted an the operation of the basic pilot program for employment eligibility confirmation re- this Act on the first day of each fiscal year amendment intended to be proposed to after the second fiscal year beginning after ferred to in paragraph (2) is expanded to such September 30, 2004, if such State does not amendment SA 2285 proposed by Mr. State. prohibit by statute, regulation, or executive INHOFE to the bill S. 1072, to authorize order issuance of a State driver’s license or funds for Federal-aid highways, high- SA 2477. Mr. SESSIONS submitted an identification card to aliens who do not way safety programs, and transit pro- amendment intended to be proposed to

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Mr. BOND submitted an grams, and for other purposes; which way safety programs, and transit pro- amendment intended to be proposed to was ordered to lie on the table; as fol- grams, and for other purposes; which amendment SA 2285 proposed by Mr. was ordered to lie on the table; as follows: INHOFE to the bill S. 1072, to authorize lows: funds for Federal-aid highways, high- At the appropriate place insert the fol- At the end of title IV, add the following: lowing: way safety programs, and transit pro- (1) Not later than 90 days after enactment, Subtitle G—Immigration Related Provisions grams, and for other purposes; which the Secretary of Homeland Security shall SEC. 4701. PROHIBITION OF ISSUANCE OF DRIV- was ordered to lie on the table; as fol- enter into a memorandum of understanding ERS LICENSES TO ILLEGAL ALIENS. lows: with the Secretary to define and clarify the (a) WITHHOLDING OF FUNDS FOR NONCOMPLI- At the end of subtitle D of title I, add the roles and responsibilities of the department ANCE.—The Secretary of Transportation following: of Transportation and Homeland Security as shall withhold 1 per cent of the amount re- they relate to public transportation secu- quired to be apportioned to any State under SEC. 1409. RENTED OR LEASED MOTOR VEHI- CLES. rity. Such memorandum of understanding this Act on the first day of each fiscal year (a) IN GENERAL.—Subchapter I of chapter shall: after the second fiscal year beginning after 301 of title 49, United States Code, is amend- (a) establish national security standards September 30, 2004, if such State permits by ed by adding at the end the following: for public transportation agencies; statute, regulation, or executive order (b) establish funding priorities for Depart- issuance of a State’s driver’s license or iden- ‘‘§ 30106. Rented or leased motor vehicle safe- ment of Homeland Security grants to public tification card to aliens who do not present ty and responsibility transportation agencies; and valid documentation of lawful presence in ‘‘(a) IN GENERAL.—Provided that there is (c) create a method of coordination with the United States as determined by the Im- no negligence or criminal wrongdoing on the public transportation agencies on security migration and Nationality Act (8 U.S.C. 1101 part of the owner of a motor vehicle, no such matters. et seq.). owner engaged in the trade or business of (b) EFFECT OF WITHHOLDING OF FUNDS.— renting or leasing motor vehicles may be SA 2480. Mrs. LINCOLN (for herself Any funds recovered due to a reduction in held liable under State law for harm caused and Mr. MILLER) submitted an amend- State funding in accordance with subsection by a person to himself or herself, another ment intended to be proposed to (a) shall be redistributed amongst the States person, or to property, which results or amendment SA 2285 proposed by Mr. that are in compliance with this section in arises from that person’s use, operation, or INHOFE to the bill S. 1072, to authorize accordance with the formulas set forth in possession of a rented or leased motor vehi- this Act, calculated without taking into ac- cle, by reason of being the owner of such funds for Federal-aid highways, high- count the States that have violated this sec- motor vehicle. way safety programs, and transit pro- tion. ‘‘(b) CONSTRUCTION.—Subsection (a) shall grams, and for other purposes; which (c) The Bureau of Immigration and Cus- not apply if such owner does not maintain was ordered to lie on the table; as fol- toms Enforcement of the Department of the required limits of financial responsi- lows: Homeland Security shall issue a list of docu- bility for such vehicle, as required by State On page 389, between lines 15 and 16, insert ments or combinations of documents estab- law in the State in which the vehicle is reg- the following: istered. lishing legal presence in the United States SEC. ll. SPECIAL EXEMPTION FOR VEHICLE ‘‘(c) APPLICABILITY AND EFFECTIVE DATE.— by September 30, 2004. The Secretary shall WEIGHT LIMITS FOR SEASONAL utilize such list for the purpose of deter- Notwithstanding any other provision of law, SEED COTTON HAULERS. minations of compliance with subsection (a). this section shall apply with respect to any Section 127(a) of title 23, United States SEC. 4702. PROHIBITION OF EMPLOYMENT OF IL- action commenced on or after the date of en- Code, is amended by striking ‘‘not to exceed LEGAL ALIENS ON FEDERALLY actment of this section without regard to 100 days annually.’’ and inserting the fol- FUNDED TRANSPORTATION whether the harm that is the subject of the lowing: ‘‘not to exceed 100 days annually. PROJECTS. action or the conduct that caused the harm States may allow, by special permit, the op- (a) IN GENERAL.—No funds authorized to be occurred before such date of enactment. eration of vehicles with a gross vehicle appropriated by this Act may be used to ‘‘(d) DEFINITIONS.—In this section: weight of up to 80,000 pounds for the hauling hire, retain, or compensate any alien who is ‘‘(1) MOTOR VEHICLE.—The term ‘motor ve- of seed cotton during the harvest season, not not in lawful status, as determined under the hicle’ shall have the meaning given the term to exceed 180 days annually.’’. Immigration and Nationality Act (8 U.S.C. under section 13102(14) of this title. 1101 et seq.), for performing work on any ‘‘(2) OWNER.—The term ‘owner’ means a SA 2481. Mr. CARPER submitted an projects authorized or funded by this Act. person who is— amendment intended to be proposed by (b) ENFORCEMENT.— ‘‘(A) a record or beneficial owner, lessor, or him to the bill S. 1072, to authorize lessee of a motor vehicle; (1) FINE.—Any person or entity who vio- funds for Federal-aid highways, high- lates subsection (a) shall be subject to a fine ‘‘(B) entitled to the use and possession of a of $100,000 per violation. motor vehicle subject to a security interest way safety programs, and transit pro- (2) EXCEPTION.—No person or entity may be in another person; or grams, and for other purposes; which fined in accordance with paragraph (1) if that ‘‘(C) a lessor, lessee, or bailee of a motor was ordered to lie on the table; as fol- person or entity utilizes the basic pilot pro- vehicle, in the trade or business of renting or lows: gram for employment eligibility confirma- leasing motor vehicles, having the use or At the end of subtitle F of title V, insert tion established by title IV of Public Law possession of such motor vehicle, under a the following: 104–208 (8 U.S.C. 1324a note) to confirm the lease, bailment, or otherwise. SEC. ll. CREDIT FOR MAINTENANCE OF RAIL- eligibility of the alien for employment and ‘‘(3) PERSON.—The term ‘person’ means any ROAD TRACK; the employment eligibility confirmation sys- individual, corporation, company, limited li- (a) CREDIT FOR MAINTENANCE OF RAILROAD tem reports represent that the alien is eligi- ability company, trust, association, firm, TRACK.— ble for employment. partnership, society, joint stock company, or (1) IN GENERAL.—Subpart D of part IV of (3) IMMIGRATION ENFORCEMENT ACCOUNT.— any other entity. subchapter A of chapter 1 (relating to busi- Any fines collected under paragraph (1) shall ‘‘(4) STATE.—The term ‘State’ means each ness-related credits) is amended by adding at be deposited in the Immigration Enforce- of the several States, the District of Colum- the end the following new section: ment Account established under section bia, the Commonwealth of Puerto Rico, the ‘‘SEC. 45I. RAILROAD TRACK MAINTENANCE 280(b) of the Immigration and Nationality Virgin Islands, Guam, American Samoa, the CREDIT. Act (8 U.S.C. 1330(b)) and made available for Northern Mariana Islands, any other terri- ‘‘(a) GENERAL RULE.—For purposes of sec- immigration enforcement activities de- tory or possession of the United States, or tion 38, the railroad track maintenance cred- scribed in clauses (i) and (ii) of section any political subdivision of any such State, it determined under this section for the tax- 280(b)(3)(A) of that Act (8 U.S.C. commonwealth, territory, or possession.’’. able year is 50 percent of the amount of 1330(b)(3)(A)(i) and (ii)) within the interior of (b) CLERICAL AMENDMENT.—The table of qualified railroad track maintenance expend- the United States and for the costs of oper- sections at the beginning of chapter 301 of itures paid or incurred by an eligible taxation and modernization of the employment title 49, United States Code, is amended by payer during the taxable year. eligibility confirmation pilot programs es- inserting after the item relating to section ‘‘(b) LIMITATION.—The credit allowed under tablished by title IV of Public Law 104–208 (8 30105 the following: subsection (a) shall not exceed the product U.S.C. 1324a note). ‘‘30106. Rented or leased motor vehicle safety of— (4) EFFECTIVE DATE.—This subsection shall and responsibility.’’. ‘‘(1) $20,000, and take effect in a State on the date on which ‘‘(2) the number of miles of railroad track the operation of the basic pilot program for SA 2479. Mr. REED submitted an owned or leased by the taxpayer as of the employment eligibility confirmation re- amendment intended to be proposed by close of the taxable year.

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‘‘(c) QUALIFIED RAILROAD TRACK MAINTE- section for the taxable year is the amount of ‘‘(2) MINIMUM PRICE FOR TRANSFER.—No NANCE EXPENDITURES.—For purposes of this qualified project expenditures paid or in- transfer shall be allowed under this subsection, the term ‘qualified railroad track curred by an eligible taxpayer during the section unless the transferor receives com- maintenance expenditures’ means expendi- taxable year. pensation for the credit transfer equal to at tures (whether or not otherwise chargeable ‘‘(b) QUALIFIED PROJECT EXPENDITURES.— least 50 percent of the amount of credit to capital account) for maintaining railroad For purposes of this section, the term ‘quali- transferred. The excess of the amount of track (including roadbed, bridges, and re- fied project expenditures’ means expendi- credit transferred over the compensation related track structures) owned or leased as of tures (whether or not otherwise chargeable ceived by the transferor for such transfer January 1, 2004, by the taxpayer of Class II or to capital account) with respect to rail lines shall be included in the gross income of the Class III railroads (as determined by the Sur- which are included in a State rail plan (with- transferee.’’. face Transportation Board). in the meaning of section 22101 of title 49, (2) LIMITATION ON CARRYBACK.—Section ‘‘(d) CONTROLLED GROUPS.—For purposes of United States Code) for— 39(d) (relating to transition rules), as amend- subsection (b), rules similar to the rules of ‘‘(A) planning and environmental review, ed by subsection (a), is amended by adding at paragraph (1) of section 41(f) shall apply for ‘‘(B) rail line rehabilitation, the end the following new paragraph: purposes of this subsection. ‘‘(C) upgrades and development of rail ‘‘(16) NO CARRYBACK OF SECTION 45J CREDIT ‘‘(e) BASIS ADJUSTMENT.—For purposes of lines, BEFORE EFFECTIVE DATE.—No portion of the this subtitle, if a credit is allowed under this ‘‘(D) projects for safety and security with unused business credit for any taxable year section with respect to any railroad track, respect to rail lines, which is attributable to the credit deter- the basis of such track shall be reduced by ‘‘(E) passenger equipment acquisition with mined under section 45J(a) may be carried the amount of the credit so allowed. respect to rail lines, back to a taxable year beginning on or before ‘‘(f) APPLICATION OF SECTION.—This section ‘‘(F) rail station improvement, and the date of the enactment of section 45J.’’. shall apply to qualified railroad track main- ‘‘(G) intermodal facilities development. (3) CONFORMING AMENDMENTS.— tenance expenditures paid or incurred during An expenditure shall not be a qualified (A) Section 38(b) (relating to general busi- taxable years beginning after December 31, project expenditure unless there is a written ness credit), as amended by subsection (a), is 2003, and before January 1, 2009. agreement between a State and the owner of amended by striking ‘‘plus’’ at the end of ‘‘(g) ELIGIBLE TAXPAYER.—For purposes of the infrastructure improved by the expendi- paragraph (19), by striking the period at the this subsection, the term ‘eligible taxpayer’ tures regarding the use and ownership of end of paragraph (20) and inserting ‘‘, plus’’, means— such infrastructure, including compensation and by adding at the end the following new ‘‘(1) any person who transports property for such use and assurances regarding the ca- paragraph: using the rail facilities of the taxpayer or pacity of such infrastructure. ‘‘(21) the railroad revitalization and secu- who furnishes railroad-related property or ‘‘(c) LIMITATIONS.— rity investment credit determined under sec- services to the taxpayer, and ‘‘(1) IN GENERAL.—The credit allowed under tion 45J(a).’’. ‘‘(2) any Class II or Class III railroad.’’. subsection (a) shall not exceed 50 percent of (B) Subsection (a) of section 1016 is amend- (2) LIMITATION ON CARRYBACK.—Section the amount allocated to such project under ed by striking ‘‘and’’ at the end of paragraph 39(d) (relating to transition rules), as amend- this subsection. (28), by striking the period at the end of ed by section 5453, is amended by adding at ‘‘(2) NATIONAL LIMITATION.—There is a rail- paragraph (29) and inserting ‘‘, and’’, and by the end the following new paragraph: road revitalization and security investment adding at the end the following new para- ‘‘(14) NO CARRYBACK OF RAILROAD TRACK credit limitation of $167,000,000 for each cal- graph: MAINTENANCE CREDIT BEFORE EFFECTIVE endar year. ‘‘(30) in the case of qualified projects with DATE.—No portion of the unused business ‘‘(3) ALLOCATION OF LIMITATION.—The limi- respect to which a credit was allowed under credit for any taxable year which is attrib- tation under paragraph (2) shall be allocated section 45J, to the extent provided in section utable to the railroad track maintenance by the Secretary to each State with a State 45J(f).’’. credit determined under section 45G may be rail plan (within the meaning of section 22101 (4) CLERICAL AMENDMENT.—The table of carried to a taxable year beginning before of title 49, United States Code) based on the sections for subpart D of part IV of sub- January 1, 2004.’’. following considerations: chapter A of chapter 1, as amended by sub- (3) CONFORMING AMENDMENTS.— ‘‘(A) the number of rail miles in active use section (a), is amended by inserting after the (A) Section 38(b) (relating to general busi- in the State; item relating to section 45I the following ness credit), as amended by section 5253 of ‘‘(B) the number of rail cars loaded in the new item: this Act, is amended by striking ‘‘plus’’ at State; ‘‘Sec. 45J. Railroad revitalization and secu- the end of paragraph (18), by striking the pe- ‘‘(C) the number of railroad and public road rity investment credit.’’. riod at the end of paragraph (19) and insert- grade crossings in the State; (5) EFFECTIVE DATE.—The amendments ing ‘‘, plus’’, and by adding at the end the ‘‘(D) the number of intercity passenger rail made by this section shall apply to taxable following new paragraph: miles; and years beginning after December 31, 2003. ‘‘(20) the railroad track maintenance credit ‘‘(E) the number of intercity passenger em- SEC. ll. CONSISTENT AMORTIZATION OF PERI- determined under section 45I(a).’’. barkations. ODS FOR INTANGIBLES. (B) Subsection (a) of section 1016 is amend- ‘‘(d) ELIGIBLE TAXPAYER.—For purposes of (a) START-UP EXPENDITURES.— ed by striking ‘‘and’’ at the end of paragraph this section, the term ‘eligible taxpayer’ (1) ALLOWANCE OF DEDUCTION.—Paragraph (27), by striking the period at the end of means a taxpayer who is an employer for (1) of section 195(b) (relating to start-up ex- paragraph (28) and inserting ‘‘, and’’, and by purposes of the Railroad Retirement Act of penditures) is amended to read as follows: adding at the end the following new para- 1974 and who is a carrier for purposes of the ‘‘(1) ALLOWANCE OF DEDUCTION.—If a tax- graph: Railway Labor Act (unless such person is a payer elects the application of this sub- ‘‘(29) in the case of railroad track with re- commuter rail passenger transportation (as section with respect to any start-up expendi- spect to which a credit was allowed under defined in section 24102 of title 49, United tures— section 45I, to the extent provided in section States Code) operator of a State or local au- ‘‘(A) the taxpayer shall be allowed a deduc- 45I(e).’’. thority (as defined in section 5302 of such tion for the taxable year in which the active (4) CLERICAL AMENDMENT.—The table of title) or an Alaska railroad or it contractor). trade or business begins in an amount equal sections for subpart D of part IV of sub- ‘‘(e) CONTROLLED GROUPS.—For purposes of to the lesser of— chapter A of chapter 1, as amended by this subsection (b), rules similar to the rules of ‘‘(i) the amount of start-up expenditures Act, is amended by inserting after the item paragraph (1) of section 41(f) shall apply for with respect to the active trade or business, relating to section 45H the following new purposes of this subsection. or item: ‘‘(f) BASIS ADJUSTMENT.—For purposes of ‘‘(ii) $5,000, reduced (but not below zero) by this subtitle, if a credit is allowed under this the amount by which such start-up expendi- ‘‘Sec. 45I. Railroad track maintenance cred- section with respect to any railroad track, tures exceed $50,000, and it.’’. the basis of such track shall be reduced by ‘‘(B) the remainder of such start-up ex- (5) EFFECTIVE DATE.—The amendments the amount of the credit so allowed. penditures shall be allowed as a deduction made by this section shall apply to taxable ‘‘(g) APPLICATION OF SECTION.—This section ratably over the 180-month period beginning years beginning after December 31, 2003. shall apply to qualified railroad track main- with the month in which the active trade or (b) RAILROAD REVITALIZATION AND SECU- tenance expenditures paid or incurred during business begins.’’. RITY INVESTMENT CREDIT.— taxable years beginning after December 31, (2) CONFORMING AMENDMENT.—Subsection (1) IN GENERAL.—Subpart D of part IV of 2003, and before January 1, 2009. (b) of section 195 is amended by striking subchapter A of chapter 1 (relating to busi- ‘‘(h) CREDIT TRANSFERABILITY.— ‘‘AMORTIZE’’ and inserting ‘‘DEDUCT’’ in the ness-related credits) is amended by adding at ‘‘(1) IN GENERAL.—Any credit allowable heading. the end the following new section: under this section may be transferred (but (b) ORGANIZATIONAL EXPENDITURES.—Sub- ‘‘SEC. 45J. RAILROAD REVITALIZATION AND SE- not more than once) as provided by the Sec- section (a) of section 248 (relating to organi- CURITY INVESTMENT CREDIT. retary, and the determination as to whether zational expenditures) is amended to read as ‘‘(a) GENERAL RULE.—For purposes of sec- the credit is allowable shall be made without follows: tion 38, the railroad revitalization and secu- regard to the tax-exempt status of the trans- ‘‘(a) ELECTION TO DEDUCT.—If a corporation rity investment credit determined under this feror. elects the application of this subsection (in

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accordance with regulations prescribed by (b) QUALIFIED HIGHWAY FACILITIES AND 5673 of this Act, is amended by adding at the the Secretary) with respect to any organiza- QUALIFIED SURFACE FREIGHT TRANSFER FA- end the following new subparagraph: tional expenditures— CILITIES.—Section 142 is amended by adding ‘‘(N) Any trivalent vaccine against influ- ‘‘(1) the corporation shall be allowed a de- at the end the following: enza.’’. duction for the taxable year in which the ‘‘(l) QUALIFIED HIGHWAY AND SURFACE (b) EFFECTIVE DATE.— corporation begins business in an amount FREIGHT TRANSFER FACILITIES.— (1) SALES, ETC.—The amendment made by equal to the lesser of— ‘‘(1) QUALIFIED HIGHWAY FACILITIES.—For this section shall apply to sales and uses on ‘‘(A) the amount of organizational expendi- purposes of subsection (a)(14), the term or after the later of— tures with respect to the taxpayer, or ‘qualified highway facilities’ means— (A) the first day of the first month which ‘‘(B) $5,000, reduced (but not below zero) by ‘‘(A) any surface transportation project begins more than 4 weeks after the date of the amount by which such organizational ex- which receives Federal assistance under title the enactment of this Act, or penditures exceed $50,000, and 23, United States Code (as in effect on the (B) the date on which the Secretary of ‘‘(2) the remainder of such organizational date of the enactment of this subsection), or Health and Human Services lists any vaccine expenditures shall be allowed as a deduction ‘‘(B) any project for an international against influenza for purposes of compensa- ratably over the 180-month period beginning bridge or tunnel for which an international tion for any vaccine-related injury or death with the month in which the corporation be- entity authorized under Federal or State law through the Vaccine Injury Compensation gins business.’’. is responsible and which receives Federal as- Trust Fund. (c) TREATMENT OF ORGANIZATIONAL AND sistance under such title 23. (2) DELIVERIES.—For purposes of paragraph SYNDICATION FEES OR PARTNERSHIPS.— ‘‘(2) QUALIFIED SURFACE FREIGHT TRANSFER (1) and section 4131 of the Internal Revenue (1) IN GENERAL.—Section 709(b) (relating to FACILITIES.—For purposes of subsection Code of 1986, in the case of sales on or before amortization of organization fees) is amend- (a)(15), the term ‘qualified surface freight the effective date described in such para- ed by redesignating paragraph (2) as para- transfer facilities’ means facilities for the graph for which delivery is made after such graph (3) and by amending paragraph (1) to transfer of freight from truck to rail or rail date, the delivery date shall be considered read as follows: to truck (including any temporary storage the sale date. facilities directly related to such transfers) ‘‘(1) ALLOWANCE OF DEDUCTION.—If a tax- SEC. 5675. EXTENSION OF AMORTIZATION OF IN- payer elects the application of this sub- which receives Federal assistance under ei- TANGIBLES TO SPORTS FRAN- section (in accordance with regulations pre- ther title 23 or title 49, United States Code CHISES. scribed by the Secretary) with respect to any (as in effect on the date of the enactment of (a) IN GENERAL.—Section 197(e) (relating to organizational expenses— this subsection). exceptions to definition of section 197 intan- GGREGATE FACE AMOUNT OF TAX-EX- ‘‘(A) the taxpayer shall be allowed a deduc- ‘‘(3) A gible) is amended by striking paragraph (6) EMPT FINANCING FOR FACILITIES.— tion for the taxable year in which the part- and by redesignating paragraphs (7) and (8) ‘‘(A) IN GENERAL.—An issue shall not be nership begins business in an amount equal as paragraphs (6) and (7), respectively. treated as an issue described in subsection (b) CONFORMING AMENDMENTS.— to the lesser of— (a)(14) or (a)(15) if the aggregate face amount (1)(A) Section 1056 (relating to basis limi- ‘‘(i) the amount of organizational expenses of bonds issued by any State pursuant there- tation for player contracts transferred in with respect to the partnership, or to (when added to the aggregate face amount connection with the sale of a franchise) is re- ‘‘(ii) $5,000, reduced (but not below zero) by of bonds previously so issued) exceeds pealed. the amount by which such organizational ex- $15,000,000,000. (B) The table of sections for part IV of sub- penses exceed $50,000, and ‘‘(B) ALLOCATION BY SECRETARY OF TRANS- chapter O of chapter 1 is amended by strik- ‘‘(B) the remainder of such organizational PORTATION.—The Secretary of Transpor- ing the item relating to section 1056. expenses shall be allowed as a deduction rat- tation shall allocate the amount described in (2) Section 1245(a) (relating to gain from ably over the 180-month period beginning subparagraph (A) among eligible projects de- disposition of certain depreciable property) with the month in which the partnership be- scribed in subsections (a)(14) and (a)(15) in is amended by striking paragraph (4). gins business. such manner as the Secretary determines ap- (3) Section 1253 (relating to transfers of ‘‘(2) DISPOSITIONS BEFORE CLOSE OF AMORTI- propriate.’’. franchises, trademarks, and trade names) is ZATION PERIOD.—In any case in which a part- (c) EXEMPTION FROM GENERAL STATE VOL- amended by striking subsection (e). nership is liquidated before the end of the pe- UME CAPS.—Paragraph (3) of section 146(g) of (c) EFFECTIVE DATES.— riod to which paragraph (1)(B) applies, any the Internal Revenue Code of 1986 (relating (1) IN GENERAL.—Except as provided in deferred expenses attributable to the part- to exception for certain bonds) is amended paragraph (2), the amendments made by this nership which were not allowed as a deduc- by striking ‘‘or (13)’’ and all that follows section shall apply to property acquired tion by reason of this section may be de- through the end of the paragraph and insert- after the date of the enactment of this Act. ducted to the extent allowable under section ing ‘‘(13), (14), or (15) of section 142(a), and’’. (2) SECTION 1245.—The amendment made by 165.’’. (d) EFFECTIVE DATE.—The amendments subsection (b)(2) shall apply to franchises ac- (2) CONFORMING AMENDMENT.—Subsection made by this section apply to bonds issued quired after the date of the enactment of (b) of section 709 is amended by striking after the date of the enactment of this Act. this Act. ‘‘AMORTIZATION’’ and inserting ‘‘DEDUCTION’’ SEC. 5672. ADDITION OF VACCINES AGAINST HEP- in the heading. ATITIS A TO LIST OF TAXABLE VAC- SA 2483. Mr. LEIBERMAN submitted (d) EFFECTIVE DATE.—The amendments CINES. an amendment intended to be proposed made by this section shall apply to amounts (a) IN GENERAL.—Section 4132(a)(1) (defin- to amendment SA 2285 proposed by Mr. paid or incurred after the date of the enacting taxable vaccine) is amended by redesig- ment of this Act. nating subparagraphs (I), (J), (K), and (L) as INHOFE to the bill S. 1072, to authorize subparagraphs (J), (K), (L), and (M), respec- funds for Federal-aid highways, high- SA 2482. Mr. TALENT (for himself tively, and by inserting after subparagraph way safety programs, and transit pro- and Mr. WYDEN) submitted an amend- (H) the following new subparagraph: grams, and for other purposes; which ment intended to be proposed by him ‘‘(I) Any vaccine against hepatitis A.’’. was ordered to lie on the table; as fol- (b) CONFORMING AMENDMENT.—Section lows: to the bill S. 1072, to authorize funds 9510(c)(1)(A) is amended by striking ‘‘October for Federal-aid highways, highway 18, 2000’’ and inserting ‘‘the date of the en- On page 54 line 11, insert after the word safety programs, and transit programs, actment of the Safe, Accountable, Flexible, census, ‘‘vehicle miles traveled per lane mile and for other purposes; which was or- and Efficient Transportation Equity Act of in excess of 4,000 in the year 2001.’’ dered to lie on the table; as follows: 2004’’. (c) EFFECTIVE DATE.— SA 2484. Mr. LIEBERMAN (for him- On page 1298, after line 24, add insert the (1) SALES, ETC.—The amendments made by self and Mr. DODD) submitted an following: this section shall apply to sales and uses on amendment intended to be proposed to Subtitle H—Tax-Exempt Financing of High- or after the first day of the first month amendment SA 2285 proposed by Mr. way Projects and Rail-Truck Transfer Fa- which begins more than 4 weeks after the INHOFE to the bill S. 1072, to authorize cilities date of the enactment of this Act. funds for Federal-aid highways, high- SEC. 5671. TAX-EXEMPT FINANCING OF HIGHWAY (2) DELIVERIES.—For purposes of paragraph way safety programs, and transit pro- PROJECTS AND RAIL-TRUCK TRANS- (1) and section 4131 of the Internal Revenue FER FACILITIES. grams, and for other purposes; which Code of 1986, in the case of sales on or before was ordered to lie on the table; as fol- (a) TREATMENT AS EXEMPT FACILITY the effective date described in such para- BOND.—Subsection (a) of section 142 (relating graph for which delivery is made after such lows: to exempt facility bond) is amended by strik- date, the delivery date shall be considered At the appropriate place, insert the fol- ing ‘‘or’’ at the end of paragraph (12), by the sale date. lowing: striking the period at the end of paragraph SEC. 5674. ADDITION OF VACCINES AGAINST IN- SEC. ll. HIGH LEVEL OF SERVICE BONUS. (13), and by adding at the end the following: FLUENZA TO LIST OF TAXABLE VAC- (a) IN GENERAL.—Amounts made available ‘‘(14) qualified highway facilities, or CINES. for projects under sections 103, 133, 144, and ‘‘(15) qualified surface freight transfer fa- (a) IN GENERAL.—Section 4132(a)(1) (defin- 149 of title 23, United States Code, shall be cilities.’’. ing taxable vaccine), as amended by section apportioned to the States as follows:

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(1) 1⁄3 in the ratio that— (B) the total of such funds apportioned to (A) by striking ‘‘Of the amounts’’ and in- (A) the population density of each State the States. serting the following: that has a population of over 250 residents (b) MINIMUM STATE SHARE.—The minimum ‘‘(i) THIS ACT.—Of the amounts’’; and per square mile; bears to share apportioned to a State under para- (B) by adding at the end the following: (B) the population density of a State that graphs (1) and (2) of subsection (a) shall be at ‘‘(ii) SAFETEA.—Of the amounts made has a population of 250 residents per square least 1⁄2 of 1 percent. available by section 1101(5) of the Safe, Ac- mile; (c) MAXIMUM FEDERAL SHARE.— countable, Flexible, and Efficient Transpor- (2) 1⁄3 in the ratio that— (1) IN GENERAL.—Except as provided in tation Equity Act of 2003 for fiscal years 2004 (A) the vehicle miles traveled per lane mile paragraph (2), the maximum Federal share through 2009, $5,000,000 for each fiscal year in each State in which such ratio exceeds the payable for projects funded under this pro- shall be made available by the Secretary to ratio of total vehicle miles traveled for the gram shall not exceed 80 percent. carry out this paragraph. States to the total lane miles of the States; (2) EXCEPTION.—The maximum Federal ‘‘(iii) AVAILABILITY; NO REDUCTION OR SET- bears to share payable for projects on the Interstate ASIDE.—Amounts made available by this sub- (B) the ration of total vehicle miles trav- system shall not exceed 90 percent. paragraph— eled for the States to the total lane miles of (d) EQUITY BONUS.—The calculation and ‘‘(I) shall remain available until expended; the States; and distribution of funds under section 105 shall and (3) 1⁄3 in the ratio that— not be adjusted as a result of the allocations ‘‘(II) shall not be subject to any reduction (A) the funding apportioned to each State of funds under this section. or setaside.’’; and for projects eligible under section 144 of title (e) FUNDING.—There is authorized to be ap- (5) by adding at the end the following: 23, United States Code, that exceeds the av- propriated to carry out this section ‘‘(H) USE OF RIGHTS-OF-WAY.— erage of such funds apportioned; bears to $1,000,000,000 for each fiscal year. ‘‘(i) IN GENERAL.—An intelligent transpor- (B) the total of such funds apportioned to tation system project described in paragraph the States. SA 2487. Mr. SPECTER submitted an (3) or (6) that involves privately owned intel- (b) MINIMUM STATE SHARE.—The minimum amendment intended to be proposed to ligent transportation system components share apportioned to a State under para- amendment SA 2285 proposed by Mr. and is carried out using funds made available graphs (1) and (2) of subsection (a) shall be at INHOFE to the bill S. 1072, to authorize from the Highway Trust Fund shall not be least 1⁄2 of 1 percent. funds for Federal-aid highways, high- subject to any law (including a regulation) of (c) MAXIMUM FEDERAL SHARE.— a State or political subdivision of a State (1) IN GENERAL.—Except as provided in way safety programs, and transit pro- prohibiting or regulating commercial activi- paragraph (2), the maximum Federal share grams, and for other purposes; which ties in the rights-of-way of a highway for payable for projects funded under this pro- was ordered to lie on the table; as fol- which Federal-aid highway funds have been gram shall not exceed 80 percent. lows: used for planning, design, construction, or (2) EXCEPTION.—The maximum Federal On page 489, after line 23, add the fol- maintenance, if the Secretary of Transpor- share payable for projects on the Interstate lowing: tation determines that such use is in the system shall not exceed 90 percent. public interest. (d) EQUITY BONUS.—The calculation and SEC. 21ll. TRANSPORTATION TECHNOLOGY IN- ‘‘(ii) EFFECT OF SUBPARAGRAPH.—Nothing distribution of funds under section 105 shall NOVATION AND DEMONSTRATION PROGRAM. in this subparagraph affects the authority of not be adjusted as a result of the allocations a State or political subdivision of a State to of funds under this section. (a) IN GENERAL.—Section 5117(b)(3) of the regulate highway safety.’’. (e) FUNDING.—There is authorized to be ap- Transportation Equity Act for the 21st Cen- ONFORMING AMENDMENT.—Section propriated to carry out this section tury (112 Stat. 449; 112 Stat. 864; 115 Stat. (b) C $1,000,000,000 for each fiscal year. 2330) is amended— 5204(k) of the Transportation Equity Act for (1) in subparagraph (B)— the 21st Century (112 Stat. 453) is amended by SA 2485. Mr. HOLLINGS submitted (A) in clause (i)— striking subsection (k) (112 Stat. 2681–478). an amendment intended to be proposed (i) in the first sentence— to amendment SA 2285 proposed by Mr. (I) by striking ‘‘Build an’’ and inserting SA 2488. Mr. SPECTER submitted an INHOFE to the bill S. 1072, to authorize ‘‘Build or integrate an’’; and amendment intended to be proposed to funds for Federal-aid highways, high- (II) by striking ‘‘2,000,000’’ and inserting amendment SA 2285 proposed by Mr. way safety programs, and transit pro- ‘‘2,500,000’’; and INHOFE to the bill S. 1072, to authorize (ii) in the second sentence— funds for Federal-aid highways, high- grams, and for other purposes; which (I) by striking ‘‘300,000 and that’’ and in- was ordered to lie on the table; as fol- way safety programs, and transit pro- serting ‘‘300,000,’’; and grams, and for other purposes; which lows: (II) by inserting before the period at the On page 780, lines 21 and 22, strike ‘‘shall end the following: ‘‘, and includes major was ordered to lie on the table; as fol- consider the prescription of’’ and insert transportation corridors serving that metro- lows: ‘‘shall prescribe’’. politan area’’; On page 396, line 4, strike ‘‘$40,000,000’’ and (B) in clause (ii), by striking all that fol- insert ‘‘$50,000,000’’. SA 2486. Mr. LIEBERMAN (for him- lows ‘‘will be’’ and inserting ‘‘reinvested in On page 396, line 5, strike ‘‘$45,000,000’’ and self and Mr. DODD) submitted an the intelligent transportation infrastructure insert ‘‘$55,000,000’’. amendment intended to be proposed to system.’’; On page 403, in the analysis for chapter 5 of amendment SA 2285 proposed by Mr. (C) by striking clause (iii); and title 23, United States Code (as added by sec- INHOFE to the bill S. 1072, to authorize (D) by redesignating clauses (iv) and (v) as tion 2101(a)), strike the item relating to sec- funds for Federal-aid highways, high- clauses (iii) and (iv), respectively; tion 511 and insert the following: way safety programs, and transit pro- (2) in subparagraph (C)(ii), by striking ‘‘511. University bridge research centers. ‘‘July 1, 2002’’ and inserting ‘‘the date that is grams, and for other purposes; which ‘‘512. Multistate corridor operations and 180 days after the date of enactment of the management. was ordered to lie on the table; as fol- Safe, Accountable, Flexible, and Efficient On page 475, strike lines 15 and 16 and in- lows: Transportation Equity Act of 2003’’; sert the following: At the appropriate place, insert the fol- (3) in subparagraph (E), by striking clause lowing: (ii) and inserting the following: ‘‘§ 511. University bridge research centers SEC. ll. LEVEL OF SERVICE BONUS. ‘‘(ii) The term ‘‘follow-on deployment ‘‘(a) IN GENERAL.—The Secretary shall es- (a) IN GENERAL.—Amounts made available areas’’ means the metropolitan areas of Al- tablish and implement a university bridge for projects under sections 103, 133, 144, and bany, Atlanta, Austin, Baltimore, Bir- research center program in accordance with 149 of title 23, United States Code, shall be mingham, Boston, Charlotte, Chicago, Cleve- this section. apportioned to the States as follows: land, Columbus, Dallas/Ft. Worth, Denver, ‘‘(b) PURPOSES.—The Secretary, in coordi- (1) 1⁄3 in the ratio that— Detroit, Greensboro, Hartford, Houston, In- nation with nonprofit institutions of higher (A) the population density of each State; dianapolis, Jacksonville, Kansas City, Las learning, shall encourage and promote spe- bears to Vegas, Los Angeles, Louisville, Miami, Mil- cific research on— (B) the population density of the State waukee, Minneapolis-St. Paul, Nashville, ‘‘(1) advanced highway bridge materials with the least population density; New Orleans, New York/Northern New Jer- and systems for economical, rapid, and dura- (2) 1⁄3 in the ratio that— sey, Norfolk, Northern Kentucky/Cincinnati, ble repair, replacement, and protection of (A) the vehicle miles traveled per lane mile Oklahoma City, Orlando, Philadelphia, Phoe- highway bridges; and in each State; bears to nix, Pittsburgh, Portland, Providence, Ra- ‘‘(2) technology to monitor and evaluate (B) the State with the least such ratio; and leigh, Richmond, Sacramento, Salt Lake, bridge damage and deterioration to signifi- (3) 1⁄3 in the ratio that— San Diego, San Francisco, San Jose, St. cantly extend the useful life of highway (A) the funding apportioned to each State Louis, Seattle, Tampa, Tucson, Tulsa, and bridges. for projects eligible under section 144 of title Washington, District of Columbia.’’; ‘‘(c) BRIDGE CENTERS.—The Secretary shall 23, United States Code; bears to (4) in subparagraph (F)— make grants to nonprofit institutions of

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00201 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1158 CONGRESSIONAL RECORD — SENATE February 11, 2004 higher learning to establish and operate uni- ‘‘(B) establish a clearinghouse for dissemi- WELL, Mrs. CLINTON, Mr. COCHRAN, Mr. versity bridge research centers. nation of the results of the research. CORZINE, Mr. EDWARDS, Mrs. FEINSTEIN, ‘‘(d) SELECTION OF GRANT RECIPIENTS.— ‘‘(2) ANNUAL REVIEW AND EVALUATION.—At Mr. KENNEDY, Mr. LAUTENBERG, Ms. MI- least annually the Secretary shall review ‘‘(1) APPLICATIONS.—To be eligible to re- KULSKI, Mr. SCHUMER, Ms. SNOWE, and ceive a grant under this section, a nonprofit and evaluate programs carried out by grant Mr. STEVENS) submitted an amendment institution of higher learning shall submit to recipients. the Secretary an application in such form ‘‘(3) FUNDING LIMITATION.—The Secretary intended to be proposed by her to the and containing such information as the Sec- shall use not more than 1 percent of amounts bill S. 1072, to authorize funds for Fed- retary may require. made available from Government sources to eral-aid highways, highway safety pro- ‘‘(2) SELECTION CRITERIA.— carry out this subsection. grams, and transit programs, and for ‘‘(A) IN GENERAL.—Except as otherwise pro- ‘‘(h) LIMITATION ON AVAILABILITY OF other purposes; which was ordered to vided by subparagraph (B), the Secretary FUNDS.—Funds made available to carry out lie on the table; as follows: shall select each recipient of a grant under this section shall remain available for obli- Beginning on page 38, strike line 22 and all this section through a competitive process gation for 2 years after the last day of the that follows through page 39, line 6, and in- on the basis of— fiscal year for which the funds are made sert the following: available. ‘‘(i) the demonstrated research and devel- (13) INFRASTRUCTURE PERFORMANCE AND ‘‘(i) NUMBER AND AMOUNT OF GRANTS.—For opment resources available to the recipient MAINTENANCE PROGRAM.—For carrying out to carry out this section; each of fiscal years 2005, 2006, 2007, 2008, and the infrastructure performance and mainte- ‘‘(ii) the capability of the recipient to pro- 2009, the Secretary shall make a grant of nance program under section 139 of that title vide leadership in making national and re- $2,000,000 to each of 5 nonprofit institutions $1,328,000,000 for fiscal year 2004. of higher education to conduct bridge trans- gional contributions to the solution of im- (14) CONSTRUCTION OF FERRY BOATS AND portation research. mediate and long-range bridge deterioration FERRY TERMINAL FACILITIES.—For construc- and structure problems; ‘‘§ 512. Multistate corridor operations and tion of ferry boats and ferry terminal facili- ‘‘(iii) the demonstrated commitment by management ties under section 147 of that title, the recipient of at least $200,000 in regularly $$150,000,000 for each of fiscal years 2004 budgeted institutional amounts each year to through 2009. support ongoing bridge research and edu- SA 2489. Mr. WARNER submitted an cation programs; amendment intended to be proposed to SA 2492. Mrs. MURRAY (for herself, ‘‘(iv) the demonstrated ability of the re- amendment SA 2285 proposed by Mr. Ms. COLLINS, Mrs. BOXER, Ms. CANT- cipient to disseminate results of bridge INHOFE to the bill S. 1072, to authorize WELL, Mrs. CLINTON, Mr. COCHRAN, Mr. transportation research and education pro- funds for Federal-aid highways, high- CORZINE, Mr. EDWARDS, Mrs. FEINSTEIN, grams through a statewide or regionwide way safety programs, and transit pro- program; Mr. KENNEDY, Mr. LAUTENBERG, Ms. MI- grams, and for other purposes; which KULSKI, Ms. MURKOWSKI, Mr. SCHUMER, ‘‘(v) the demonstrated ability of the recipi- was ordered to lie on the table; as fol- ent to partner with other institutions that Ms. SNOWE, and Mr. STEVENS) sub- have highway bridge research expertise; lows: mitted an amendment intended to be ‘‘(vi) the demonstrated ability of the re- On page 346, before line 1, insert the fol- proposed by her to the bill S. 1072, to cipient to conduct analysis, laboratory test- lowing: authorize funds for Federal-aid high- ing, and field verification of bridge design (c) ADDITION.— ways, highway safety programs, and through a record of demonstration projects (1) DESIGNATION.—There is designated as an addition to the Appalachian development transit programs, and for other pur- with State transportation departments and poses; which was ordered to lie on the private, public and quasi-public bridge au- highway system under section 14501 of title thorities; 40, United States Code, Segment B of the table; as follows: ‘‘(vii) the demonstrated record of the re- Coalfields Expressway from Corridor B near Beginning on page 80, strike line 7 and all cipient in transferring technology to practi- Pound to Clintwood in Virginia. that follows through page 81, line 3, and in- tioners; (2) CONFORMING AMENDMENT.—Section 14501 sert the following: ‘‘(viii) the demonstrated record of the re- of title 40, United States Code, is amended in SEC. 1204. CONSTRUCTION OF FERRY BOATS AND cipient in testing full-scale bridge compo- the second sentence by striking ‘‘not be FERRY TERMINAL AND MAINTE- nents in laboratory facilities and imple- more than’’ and all that follows through the NANCE FACILITIES. (a) IN GENERAL.—Section 147 of title 23, menting results in design changes and field period and insert ‘‘not be more than 3,102 United States Code, is amended to read as verification; and miles.’’. follows: ‘‘(ix) the strategic plan that the recipient proposes to carry out under the grant. SA 2490. Mr. WARNER submitted an ‘‘§ 147. Construction of ferry boats and ferry ‘‘(B) PREFERENCE.—Preference shall be amendment intended to be proposed to terminal and maintenance facilities given to nonprofit institutions of higher amendment SA 2285 proposed by Mr. ‘‘(a) IN GENERAL.—The Secretary shall learning located in the 10 States with the INHOFE to the bill S. 1072, to authorize carry out a program for construction of ferry worst deficiencies in highway bridges, as boats and ferry terminal and maintenance funds for Federal-aid highways, high- facilities in accordance with section 129(c). ranked by the 2002 Federal Highway Admin- way safety programs, and transit pro- istration National Bridge Inventory. ‘‘(b) FEDERAL SHARE.—The Federal share of grams, and for other purposes; which the cost of construction of ferry boats and ‘‘(e) ACTIVITIES.—A Federal Highway Ad- ministration university bridge transpor- was ordered to lie on the table; as fol- ferry terminals and maintenance facilities tation center that receives a grant under lows: under this section shall be 80 percent. ‘‘(c) ALLOCATION OF FUNDS.—The Secretary this section shall conduct— On page 346, before line 1, insert the fol- shall give priority in the allocation of funds lowing: ‘‘(1) basic and applied bridge research, the under this section to those ferry systems, (c) ADDITION.— products of which are judged by peers or and public entities responsible for developing (1) DESIGNATION.—There is designated as an other experts in the field to advance the ferries, that— addition to the Appalachian development body of knowledge in bridge longevity; ‘‘(1) carry the greatest number of pas- highway system under section 14501 of title ‘‘(2) an education program that includes sengers and vehicles; 40, United States Code, Segment B of the multidisciplinary course work and student ‘‘(2) carry the greatest number of pas- Coalfields Expressway from Corridor B near participation in research; and sengers in passenger-only service; or Pound to Clintwood in Virginia. ‘‘(3) an ongoing program of technology ‘‘(3) provide critical access to areas that (2) SUBTRACTION.—The portion of Corridor transfer that makes research results avail- are not well-served by other modes of surface H in Virginia from the West Virginia State able to potential users in a form that can be transportation. implemented, used, or otherwise applied. line to Interstate 81— ‘‘(d) SET-ASIDE.—Of the amounts made ‘‘(f) FEDERAL SHARE.— (A) shall be subtracted from Corridor H; available under section 1101(a)(14) of the ‘‘(1) IN GENERAL.—The Federal share of the and Safe, Accountable, Flexible, and Efficient costs of activities carried out using a grant (B) may be included on a map of that sys- Transportation Equity Act of 2003, made under this section shall be 50 percent. tem only for the purpose of continuity. $112,000,000 for each of fiscal years 2004 ‘‘(2) NON-FEDERAL SHARE.—The non-Federal (3) CONFORMING AMENDMENT.—Section 14501 through 2009 shall be made available to carry share may include funds provided to a recipi- of title 40, United States Code, is amended in out this section. ent under section 503, 504(b), or 505 of title 23. the second sentence by striking ‘‘not be ‘‘(e) RULE OF CONSTRUCTION.—Notwith- ‘‘(g) PROGRAM COORDINATION.— more than’’ and all that follows through the standing any other provision of law— ‘‘(1) COORDINATION.—The Secretary shall— period and insert ‘‘not be more than 3,102 ‘‘(1) paragraph (13) of section 1101(a) of the ‘‘(A) coordinate the research, education, miles.’’. Safe, Accountable, Flexible, and Efficient training, and technology transfer activities Transportation Equity Act of 2003 shall be that grant recipients carry out under this SA 2491. Mrs. MURRAY (for herself, applied by substituting ‘$1,328,000,000’ for section; and Ms. COLLINS, Mrs. BOXER, Ms. CANT- ‘$2,000,000,000’; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00202 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1159 ‘‘(2) paragraph (14) of section 1101(a) of that ‘‘§ 139. High traffic density equity adjustment ‘‘(B) reallocate the funds and redistribute Act shall be applied by substituting program the obligation authority to States that— ‘$150,000,000’ for ‘$38,000,000’.’’. ‘‘(a) ESTABLISHMENT OF PROGRAM.—The ‘‘(i) have fully obligated all amounts allo- (b) CONFORMING AMENDMENTS.— Secretary shall establish and implement a cated under this section for the fiscal year; (1) Section 129(c) of title 23, United States high traffic density equity adjustment pro- and Code, is amended— gram in accordance with this section. (ii) demonstrate that the State is able to (A) in the matter preceding paragraph (1), ‘‘(b) ELIGIBLE PROJECTS.— obligate additional amounts for projects eli- by inserting ‘‘and maintenance’’ after ‘‘ter- ‘‘(1) IN GENERAL.—A State may obligate gible under this section before the end of the minal’’; and funds allocated to the State under this sec- fiscal year. (B) in paragraph (3), by inserting ‘‘or main- tion only for projects eligible under the ‘‘(2) EQUITY BONUS.—The calculation and tenance’’ after ‘‘terminal’’ each place it ap- Interstate maintenance program under sec- distribution of funds under section 105 shall pears. tion 119, the National Highway System pro- not be adjusted as a result of the allocation (2) The analysis for subchapter I of chapter gram under section 103, the surface transpor- of funds under this subsection. 1 of title 23, United States Code, is amended tation program under section 133, the high- ‘‘(e) FEDERAL SHARE PAYABLE.—The Fed- by striking the item relating to section 147 way safety improvement program under sec- eral share payable for a project funded under and inserting the following: tion 148, the highway bridge replacement and this section shall be determined in accord- rehabilitation program under section 144, ance with section 120. ‘‘147. Construction of ferry boats and ferry and the congestion mitigation and air qual- (b) CONFORMING AMENDMENT.—The chapter terminal and maintenance fa- ity improvement program under section 149 analysis for chapter 1 of title 23, United cilities.’’. that will— States Code, is amended by adding after the (3) Section 1064 of the Intermodal Surface ‘‘(A) preserve, maintain, or otherwise ex- item relating to section 138 the following: Transportation Efficiency Act of 1991 (105 tend, in a cost-effective manner, the useful Stat. 2005) is repealed. ‘‘139. High traffic density equity adjustment life of existing highway infrastructure ele- program.’’. ments; or SA 2493. Mr. CARPER submitted an ‘‘(B) provide operational improvements (in- SA 2496. Mr. LIEBERMAN submitted amendment intended to be proposed to cluding traffic management and intelligent an amendment intended to be proposed transportation system strategies and limited amendment SA 2285 proposed by Mr. to amendment SA 2285 proposed by Mr. NHOFE capacity enhancements) at points of recur- I to the bill S. 1072, to authorize INHOFE to the bill S. 1072, to authorize funds for Federal-aid highways, high- ring highway congestion. ‘‘(2) SET-ASIDE.—Notwithstanding any funds for Federal-aid highways, highway safety programs, and transit pro- other provision of law, of the amounts made way safety programs, and transit programs, and for other purposes; which available under section 1101(a)(14) of the grams, and for other purposes; which was ordered to lie on the table; as fol- Safe, Accountable, Flexible, and Efficient was ordered to lie on the table; as follows: Transportation Equity Act of 2003, lows: Beginning on page 588, strike line 21 and $439,000,000 shall be available for obligation to carry out this section without further ap- Beginning on page 61, strike line 4 and all all that follows through page 589, line 2, and that follows through page 64, line 23 and in- insert the following: propriation. ‘‘(3) HIGH TRAFFIC DENSITY EQUITY ADJUST- sert the following: (E) by amending subparagraph (C), as re- (a) IN GENERAL.—Subchapter I of chapter 1 designated, to read as follows: MENT PROGRAM.— ‘‘(A) IN GENERAL.—The Secretary shall al- of title 23, United States Code, is amended by ‘‘(C) capital projects to replace, rehabili- locate the amounts made available under inserting after section 138 the following: tate, and purchase buses and related equip- paragraph (2) for a fiscal year to each State ‘‘SEC. 139. HIGH TRAFFIC DENSITY APPORTION- ment, including the differential cost of pur- in the proportion that— MENT PROGRAM. chasing alternative fuels (as defined in sec- ‘‘(i) the excess, if any, of the number of an- ‘‘(a) ESTABLISHMENT.—The Secretary shall tion 301 of the Energy Policy Act of 1992 (42 nual vehicle miles per lane mile in the State establish and implement a high traffic den- U.S.C. 13211)), not to exceed the difference in over the average of that number for all of sity apportionment program in accordance purchasing costs between conventional bus the States; bears to with this section. fuels and such alternative fuels, and to con- ‘‘(ii) the average of that number for all of ‘‘(b) ELIGIBLE PROJECTS.— struct bus-related facilities, including pro- the States. ‘‘(1) IN GENERAL.—A State may obligate grams of bus and bus-related projects for as- ‘‘(B) DETERMINATION OF ANNUAL VEHICLE funds allocated to the State under this sec- sistance to subrecipients that are public MILES TRAVEL.—In determining annual vehi- tion only for projects eligible under the agencies, private companies engaged in pub- cle miles per lane mile for purposes of this Interstate maintenance program under sec- lic transportation, or private nonprofit orga- paragraph, the Secretary shall use the latest tion 119, the National Highway System pro- nizations; and’’; and available annual estimates prepared by the gram under section 103, the surface transpor- Secretary of Transportation. tation program under section 133, the high- SA 2494. Mr. REED submitted an ‘‘(c) PERIOD OF AVAILABILITY.— way safety improvement program under sec- amendment intended to be proposed by ‘‘(1) OBLIGATION WITHIN 180 DAYS.— tion 148, the highway bridge replacement and him to the bill S. 1072, to authorize ‘‘(A) IN GENERAL.—Funds allocated to a rehabilitation program under section 144, funds for Federal-aid highways, high- State under this section shall be obligated and the congestion mitigation and air qual- way safety programs, and transit pro- by the State not later than 180 days after the ity improvement program under section 149 that will— grams, and for other purposes; which date of apportionment. ‘‘(B) UNOBLIGATED FUNDS.—Any amounts ‘‘(A) preserve, maintain, or otherwise ex- was ordered to lie on the table; as fol- that remain unobligated at the end of that tend, in a cost-effective manner, the useful lows: period shall be allocated in accordance with life of existing highway infrastructure ele- In subsection (b)(1)(B) of section 105 of title subsection (d). ments; or 23, United States Code (as added by section ‘‘(2) OBLIGATION BY END OF FISCAL YEAR.— ‘‘(B) provide operational improvements (in- 1104(a)), strike ‘‘1,000,000’’ and insert ‘‘(A) IN GENERAL.—All funds allocated or cluding traffic management and intelligent ‘‘1,100,000’’. reallocated under this section shall remain transportation system strategies and limited available for obligation until the last day of capacity enhancements) at points of recur- SA 2495. Mr. LIEBERMAN submitted the fiscal year for which the funds are appor- ring highway congestion. an amendment intended to be proposed tioned. ‘‘(2) SET-ASIDE.—Notwithstanding any other provision of law, of the amounts made to amendment SA 2285 proposed by Mr. ‘‘(B) UNOBLIGATED FUNDS.—Any amounts allocated that remain unobligated at the end available under section 1101(13) of the Safe, INHOFE to the bill S. 1072, to authorize of the fiscal year shall lapse. Accountable, Flexible, and Efficient Trans- funds for Federal-aid highways, high- ‘‘(d) REDISTRIBUTION OF ALLOCATED FUNDS portation Equity Act of 2003, $1,000,000,000 way safety programs, and transit pro- AND OBLIGATION AUTHORITY.— shall be available for obligation to carry out grams, and for other purposes; which ‘‘(1) IN GENERAL.—On the date that is 180 this section without further appropriation. was ordered to lie on the table; as fol- days after the date of allocation, or as soon ‘‘(3) HIGH TRAFFIC DENSITY APPORTIONMENT lows: thereafter as practicable, for each fiscal PROGRAM.— year, the Secretary shall - ‘‘(A) IN GENERAL.—The Secretary shall al- Beginning on page 61, strike line 4 and all ‘‘(A) withdraw— locate the amounts made available under that follows through line 8 on page 64, and ‘‘(i) any funds allocated to a State under paragraph (2) for a fiscal year to each State insert the following: this section that remain unobligated; and in the proportion that— SEC. 1201. HIGH TRAFFIC DENSITY EQUITY AD- ‘‘(ii) an equal amount of obligation author- ‘‘(i) the excess, if any, of the number of an- JUSTMENT PROGRAM. ity provided for the use of the funds in ac- nual vehicle miles traveled per lane mile of (a) IN GENERAL.—Subchapter I of chapter 1 cordance with section 1101(a)(14) of the Safe, each State-owned public road in the State of title 23, United States Code, is amended by Accountable, Flexible, and Efficient Trans- over the average of that number for all of inserting after section 138 the following: portation Equity Act of 2003; and the States; bears to

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00203 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1160 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(ii) the number of daily vehicle miles ‘‘SEC. 139. WEIGHTED HIGH TRAFFIC DENSITY AP- thereafter as practicable, for each fiscal traveled per the total lane miles of all State- PORTIONMENT PROGRAM. year, the Secretary shall— owned public roads in the State. ‘‘(a) ESTABLISHMENT.—The Secretary shall ‘‘(A) withdraw— ‘‘(B) DETERMINATION OF ANNUAL VEHICLE establish and implement a weighted high ‘‘(i) any funds allocated to a State under MILES TRAVELED.—In determining annual ve- traffic density apportionment program in ac- this section that remain unobligated; and hicle miles per lane mile for purposes of this cordance with this section. ‘‘(ii) an equal amount of obligation author- paragraph, the Secretary shall use the latest ‘‘(b) ELIGIBLE PROJECTS.— ity provided for the use of the funds in ac- available annual estimates prepared by the ‘‘(1) IN GENERAL.—A State may obligate cordance with section 1101(13) of the Safe, funds allocated to the State under this sec- Secretary. Accountable, Flexible, and Efficient Trans- tion only for projects eligible under the ‘‘(c) PERIOD OF AVAILABILITY.— portation Equity Act of 2003; and Interstate maintenance program under sec- ‘‘(1) OBLIGATION WITHIN 180 DAYS.— ‘‘(B) reallocate the funds and redistribute tion 119, the National Highway System pro- ‘‘(A) IN GENERAL.—Funds allocated to a the obligation authority to States that— gram under section 103, the surface transpor- State under this section shall be obligated ‘‘(i) have fully obligated all amounts allo- tation program under section 133, the high- by the State not later than 180 days after the cated under this section for the fiscal year; way safety improvement program under sec- date of apportionment. and tion 148, the highway bridge replacement and ‘‘(B) UNOBLIGATED FUNDS.—Any amounts ‘‘(ii) demonstrate that the State is able to rehabilitation program under section 144, that remain unobligated at the end of that obligate additional amounts for projects eli- and the congestion mitigation and air qual- period shall be allocated in accordance with gible under this section before the end of the ity improvement program under section 149 subsection (d). fiscal year. that will— ‘‘(2) OBLIGATION BY END OF FISCAL YEAR.— ‘‘(2) EQUITY BONUS.—The calculation and ‘‘(A) preserve, maintain, or otherwise ex- ‘‘(A) IN GENERAL.—All funds allocated or distribution of funds under section 105 shall tend, in a cost-effective manner, the useful reallocated under this section shall remain not be adjusted as a result of the allocation life of existing highway infrastructure ele- available for obligation until the last day of of funds under this subsection. ments; or the fiscal year for which the funds are appor- ‘‘(e) FEDERAL SHARE PAYABLE.—The Fed- ‘‘(B) provide operational improvements (in- tioned. eral share payable for a project funded under cluding traffic management and intelligent ‘‘(B) UNOBLIGATED FUNDS.—Any amounts this section shall be determined in accord- transportation system strategies and limited allocated that remain unobligated at the end ance with section 120.’’. capacity enhancements) at points of recur- of the fiscal year shall lapse. (b) CONFORMING AMENDMENT.—The analysis ring highway congestion. ‘‘(d) REDISTRIBUTION OF ALLOCATED FUNDS for subchapter I of chapter 1 of title 23, ‘‘(2) SET-ASIDE.—Notwithstanding any United States Code, is amended by adding AND OBLIGATION AUTHORITY.— other provision of law, of the amounts made ‘‘(1) IN GENERAL.—On the date that is 180 after the item relating the section 138 the available under section 1101(13) of the Safe, following: days after the date of allocation, or as soon Accountable, Flexible, and Efficient Trans- thereafter as practicable, for each fiscal ‘‘105. Weighted high traffic density appor- portation Equity Act of 2003, $1,000,000,000 tionment program.’’. year, the Secretary shall— shall be available for obligation to carry out SEC. 1202. FUTURE OF SURFACE TRANSPOR- ‘‘(A) withdraw— this section without further appropriation. ‘‘(i) any funds allocated to a State under TATION SYSTEM. ‘‘(3) WEIGHTED HIGH TRAFFIC DENSITY AP- this section that remain unobligated; and PORTIONMENT PROGRAM.— ‘‘(ii) an equal amount of obligation author- SA 2498. Ms. MURKOWSKI (for her- ‘‘(A) IN GENERAL.—Of amounts made avail- ity provided for the use of the funds in ac- able under paragraph (2) for a fiscal year to self and Mr. STEVENS) submitted an cordance with section 1101(13) of the Safe, each State— amendment intended to be proposed to Accountable, Flexible, and Efficient Trans- ‘‘(i) the Secretary shall allocate 1⁄3 in the amendment SA 2285 proposed by Mr. portation Equity Act of 2003; and proportion that— INHOFE to the bill S. 1072, to authorize ‘‘(B) reallocate the funds and redistribute ‘‘(I) the excess, if any, of the number of an- funds for Federal-aid highways, high- the obligation authority to States that— nual daily vehicle miles traveled per lane ‘‘(i) have fully obligated all amounts allo- way safety programs, and transit pro- mile of State-owned rural public roads in the grams, and for other purposes; which cated under this section for the fiscal year; State over the average of that number for all and was ordered to lie on the table; as fol- of the States; bears to lows: ‘‘(ii) demonstrate that the State is able to ‘‘(II) the total of those numbers for all of obligate additional amounts for projects eli- the States; and On page 39, between lines 22 and 23, insert gible under this section before the end of the the following: ‘‘(ii) the Secretary shall allocate 2⁄3 in the fiscal year. proportion that— (17) DENALI ACCESS SYSTEM.—For the ‘‘(2) EQUITY BONUS.—The calculation and ‘‘(I) the excess, if any, of the number of an- Denali Access System under section 309 of distribution of funds under section 105 shall nual daily vehicle miles traveled per lane the Denali Commission Act of 1998 (42 U.S.C. not be adjusted as a result of the allocation mile of State-owned urban public roads in 3121 note; Public Law 105–277), $50,000,000 for of funds under this subsection. the State over the average of that number each of fiscal years 2004 through 2009. ‘‘(e) FEDERAL SHARE PAYABLE.—The Fed- for all of the States; bears to Ms. MURKOWSKI (for her- eral share payable for a project funded under ‘‘(II) the total of those numbers for all of SA 2499. this section shall be determined in accord- the States. self and Mr. STEVENS) submitted an ance with section 120.’’. ‘‘(B) DETERMINATION OF ANNUAL VEHICLE amendment intended to be proposed to (b) CONFORMING AMENDMENT.—The analysis MILES TRAVELED.—In determining annual ve- amendment SA 2285 proposed by Mr. for subchapter I of chapter 1 of title 23, hicle miles per lane mile for purposes of this INHOFE to the bill S. 1072, to authorize United States Code, is amended by adding paragraph, the Secretary shall use the latest funds for Federal-aid highways, high- after the item relating the section 138 the available annual estimates prepared by the following: way safety programs, and transit pro- Secretary. grams, and for other purposes; which ‘‘105. High traffic density apportionment ‘‘(c) PERIOD OF AVAILABILITY.— was ordered to lie on the table; as fol- program.’’. ‘‘(1) OBLIGATION WITHIN 180 DAYS.— lows: SEC. 1202. FUTURE OF SURFACE TRANSPOR- ‘‘(A) IN GENERAL.—Funds allocated to a TATION SYSTEM. State under this section shall be obligated On page 389, between lines 15 and 16, insert by the State not later than 180 days after the the following: SEC. 18ll. DENALI ACCESS SYSTEM. SA 2497. Mr. LIEBERMAN (for him- date of apportionment. ‘‘(B) UNOBLIGATED FUNDS.—Any amounts (a) IN GENERAL.—The Denali Commission self and Mr. DODD) submitted an that remain unobligated at the end of that Act of 1998 (42 U.S.C. 3121 note; Public Law amendment intended to be proposed to period shall be allocated in accordance with 105–277) is amended— amendment SA 2285 proposed by Mr. subsection (d). (1) by redesignating section 309 as section INHOFE to the bill S. 1072, to authorize ‘‘(2) OBLIGATION BY END OF FISCAL YEAR.— 310; and funds for Federal-aid highways, high- ‘‘(A) IN GENERAL.—All funds allocated or (2) by inserting after section 308 the fol- way safety programs, and transit pro- reallocated under this section shall remain lowing: grams, and for other purposes; which available for obligation until the last day of ‘‘SEC. 309. DENALI ACCESS SYSTEM. was ordered to lie on the table; as fol- the fiscal year for which the funds are appor- ‘‘(a) PURPOSE.—It is the purpose of this tioned. section to fund the construction of roads lows: ‘‘(B) UNOBLIGATED FUNDS.—Any amounts necessary to connect isolated rural commu- Beginning on page 61, strike line 4 and all allocated that remain unobligated at the end nities to a road system and to construct es- that follows through page 64, line 8 and in- of the fiscal year shall lapse. sential access routes within isolated commu- sert the following: ‘‘(d) REDISTRIBUTION OF ALLOCATED FUNDS nities. (a) IN GENERAL.—Subchapter I of chapter 1 AND OBLIGATION AUTHORITY.— ‘‘(b) DEFINITIONS.—In this section: of title 23, United States Code, is amended by ‘‘(1) IN GENERAL.—On the date that is 180 ‘‘(1) STATE.—The term ‘State’ means the inserting after section 138 the following: days after the date of allocation, or as soon State of Alaska.

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‘‘(2) SYSTEM.—The term ‘System’ means ‘‘(2) to carry out section 309, $50,000,000 for analyzes highway safety problems and oppor- the Denali Access System constructed under each of fiscal years 2004 through 2009.’’. tunities as provided in paragraph (2); subsection (c). ‘‘(B) produces a program of projects or ‘‘(c) PROGRAM.—The Secretary shall estab- SA 2500. Ms. MURKOWSKI (for her- strategies to reduce identified safety prob- lish a program that provides for the transfer self, Mr. INHOFE, Mr. STEVENS, and Mr. lems; to the Commission of funds for the costs of CAMPBELL) submitted an amendment ‘‘(C) evaluates the plan on a regular basis construction (including the costs of plan- intended to be proposed to amendment to ensure the accuracy of the data and pri- ning, design, engineering, permitting, right- SA 2285 proposed by Mr. INHOFE to the ority of proposed improvements; and of-way acquisition, utility relocation, ‘‘(D) submits to the Secretary an annual project management, and maintenance) of bill S. 1072, to authorize funds for Fed- eral-aid highways, highway safety pro- report that— segments of the System in the State. ‘‘(i) describes, in a clearly understandable ‘‘(d) DESIGNATION OF SYSTEM BY COMMIS- grams, and transit programs, and for fashion, not less than 5 percent of locations SION.—The Commission shall submit to the other purposes; which was ordered to determined by the State, using criteria es- Secretary— lie on the table; as follows: ‘‘(1) designations by the Commission of the tablished in accordance with paragraph general location and description of segments Beginning on page 119, strike line 6 and all (2)(B)(ii), as exhibiting the most severe safe- comprising the System; that follows through page 129, line 18, and in- ty needs; and ‘‘(2) priorities for construction of segments sert the following: ‘‘(ii) contains an assessment of— of the System; and highway safety matters (including motorcy- ‘‘(I) potential remedies to hazardous loca- ‘‘(3) other criteria applicable to the pro- clist safety); or tions identified; gram established under this section. ‘‘(ii) enforce highway safety laws. ‘‘(II) estimated costs associated with those ‘‘(e) CONNECTING INFRASTRUCTURE.—In car- ‘‘(4) STATE HIGHWAY SAFETY IMPROVEMENT remedies; and rying out this section, the Commission may PROGRAM.—The term ‘State highway safety ‘‘(III) impediments to implementation construct such access infrastructure as the improvement program’ means projects or other than cost associated with those rem- Commission determines to be necessary to strategies included in the State strategic edies. provide for adequate surface, water, or air highway safety plan carried out as part of ‘‘(2) IDENTIFICATION AND ANALYSIS OF HIGH- access for communities and regions in the the State transportation improvement pro- WAY SAFETY PROBLEMS AND OPPORTUNITIES.— State. gram under section 135(f). As part of the State strategic highway safety ‘‘(f) DESIGN STANDARDS.—Each project car- ‘‘(5) STATE STRATEGIC HIGHWAY SAFETY plan, a State shall— ried out under this section shall use tech- PLAN.—The term ‘State strategic highway ‘‘(A) have in place a crash data system nology and design standards determined by safety plan’ means a plan developed by the with the ability to perform safety problem the Commission to be appropriate for the as- State transportation department that— identification and countermeasure analysis; sociated segments of the System. ‘‘(A) is developed after consultation with— ‘‘(B) based on the analysis required by sub- ‘‘(g) ADDITION TO PUBLIC TRANSPORTATION ‘‘(i) a highway safety representative of the paragraph (A)— SYSTEMS.—At the request of the Governor of Governor of the State; ‘‘(i) identify hazardous locations, sections, the State, each completed segment of the ‘‘(ii) regional transportation planning or- and elements (including roadside obstacles, System may be added to the National High- ganizations and metropolitan planning orga- railway-highway crossing needs, and un- way System or other public transportation nizations, if any; marked or poorly marked roads) that con- system, as appropriate, under the conditions ‘‘(iii) representatives of major modes of stitute a danger to motorists (including mo- applicable to other segments of that system transportation (including motorcycling); torcyclists), bicyclists, pedestrians, and in the State. ‘‘(iv) State and local traffic enforcement other highway users; and ‘‘(h) PREFERENCE TO ALASKA MATERIALS officials; ‘‘(ii) using such criteria as the State deter- AND PRODUCTS.—In the construction of the ‘‘(v) persons responsible for administering mines to be appropriate, establish the rel- System under this section, the Commission— section 130 at the State level; ative severity of those locations, in terms of ‘‘(1) shall, to the maximum extent prac- ‘‘(vi) representatives conducting Operation accidents, injuries, deaths, traffic volume ticable, encourage the use of employees and Lifesaver; levels, and other relevant data; businesses that are residents of the State; ‘‘(vii) representatives conducting a motor ‘‘(C) adopt strategic and performance- and carrier safety program under section 31104 or based goals that— ‘‘(2) may give preference— 31107 of title 49; ‘‘(i) address traffic safety, including behav- ‘‘(A) to the use of materials and products ‘‘(viii) motor vehicle administration agen- ioral and infrastructure problems and oppor- produced in the State; and cies; and tunities on all public roads; ‘‘(B) with respect to construction projects ‘‘(ix) other major State and local safety ‘‘(ii) focus resources on areas of greatest in the State, to local residents and firms. stakeholders; need; and ‘‘(i) MATCHING FUNDS.—Notwithstanding ‘‘(B) analyzes and makes effective use of ‘‘(iii) are coordinated with other State any other provision of law— highway safety programs; ‘‘(1) funds made available under this sec- State, regional, or local crash data; ‘‘(C) addresses engineering, management, ‘‘(D) advance the capabilities of the State tion may be used as matching shares for any for traffic records data collection, analysis, other Federal funds; and operation, education, enforcement, and emergency services elements of highway and integration with other sources of safety ‘‘(2) Federal funds from any other source data (such as road inventories) in a manner may be used as matching funds for funds safety as key factors in evaluating highway projects; that— made available under this section if the use ‘‘(i) complements the State highway safety of those Federal funds would contribute to ‘‘(D) considers safety needs of, and high-fatality segments of, public roads; program under chapter 4 and the commercial the purposes for which funds are made avail- vehicle safety plan under section 31102 of able under this section, as determined by the ‘‘(E) considers the results of State, regional, or local transportation and highway title 49; State. ‘‘(ii) includes all public roads; ‘‘(j) LEAD AGENCY.—The Secretary shall safety planning processes; ‘‘(iii) identifies hazardous locations, sec- delegate authority to the Commission to ‘‘(F) describes a program of projects or tions, and elements on public roads that conserve as the lead agency in determining the strategies to reduce or eliminate safety haz- stitute a danger to motorists (including mo- purpose of and need for, and in developing ards; and implementing all segments of, the Sys- ‘‘(G) is approved by the Governor of the torcyclists), bicyclists, pedestrians, and tem. State or a responsible State agency; and other highway users; and ‘‘(k) OBLIGATION OF FUNDS.—Funds made ‘‘(H) is consistent with the requirements of ‘‘(iv) includes a means of identifying the available to carry out this section shall be section 135(f). relative severity of hazardous locations de- available for obligation in the same manner ‘‘(b) PROGRAM.— scribed in clause (iii) in terms of accidents, as if the funds were apportioned under chap- ‘‘(1) IN GENERAL.—The Secretary shall injuries, deaths, and traffic volume levels; ter 1 of title 23, United States Code.’’. carry out a highway safety improvement ‘‘(E)(i) determine priorities for the correc- (b) AUTHORIZATION OF APPROPRIATIONS.— program. tion of hazardous road locations, sections, Section 310 of the Denali Commission Act of ‘‘(2) PURPOSE.—The purpose of the highway and elements (including railway-highway 1998 (42 U.S.C. 3121 note; Public Law 105–277) safety improvement program shall be to crossing improvements), as identified (as redesignated by subsection (a)) is amend- achieve a significant reduction in traffic fa- through crash data analysis; ed by striking subsection (a) and inserting talities and serious injuries on public roads. ‘‘(ii) identify opportunities for preventing the following: ‘‘(c) ELIGIBILITY.— the development of such hazardous condi- ‘‘(a) IN GENERAL.—There are authorized to ‘‘(1) IN GENERAL.—To obligate funds appor- tions; and be appropriated to the Commission— tioned under section 104(b)(5) to carry out ‘‘(iii) establish and implement a schedule ‘‘(1) to carry out the duties of the Commis- this section, a State shall have in effect a of highway safety improvement projects for sion under this title (other than section 309), State highway safety improvement program hazard correction and hazard prevention; and and in accordance with the work plan ap- under which the State— ‘‘(F)(i) establish an evaluation process to proved under section 304, such sums as are ‘‘(A) develops and implements a State stra- analyze and assess results achieved by high- necessary for each fiscal year; and tegic highway safety plan that identifies and way safety improvement projects carried out

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in accordance with procedures and criteria ‘‘(g) FEDERAL SHARE OF HIGHWAY SAFETY grams and motorist awareness programs, in- established by this section; and IMPROVEMENT PROJECTS.—Except as provided cluding information that indicates— ‘‘(ii) use the information obtained under in sections 120 and 130, the Federal share of ‘‘(1) the level of base funding provided for clause (i) in setting priorities for highway the cost of a highway safety improvement each such program for the applicable fiscal safety improvement projects. project carried out with funds made avail- year; and ‘‘(d) ELIGIBLE PROJECTS.— able under this section shall be 90 percent. ‘‘(2) whether the level of base funding pro- ‘‘(1) IN GENERAL.—A State may obligate ‘‘(h) FUNDS FOR BICYCLE AND PEDESTRIAN vided for each such program for the applica- funds apportioned to the State under section SAFETY.—A State shall allocate for bicycle ble fiscal year was increased, decreased, or 104(b)(5) to carry out— and pedestrian improvements in the State a maintained from the level of funding pro- ‘‘(A) any highway safety improvement percentage of the funds remaining after im- vided for the program for the previous fiscal project on any public road or publicly owned plementation of sections 130(e) and 150, in an year. bicycle or pedestrian pathway or trail; or amount that is equal to or greater than the ‘‘(c) ALLOCATION.—Not later than 120 days ‘‘(B) as provided in subsection (e), for other percentage of all fatal crashes in the States after the date of enactment of this section, safety projects. involving bicyclists and pedestrians. on October 1, 2004, and on October 1 of each ‘‘(2) USE OF OTHER FUNDING FOR SAFETY.— ‘‘(i) ROADWAY SAFETY IMPROVEMENTS FOR fiscal year thereafter, the Secretary shall al- ‘‘(A) EFFECT OF SECTION.—Nothing in this OLDER DRIVERS AND PEDESTRIANS.—For each locate to each State for which the base fund- section prohibits the use of funds made of fiscal years 2004 through 2009, $25,000,000 is ing allocated for motorcyclist safety train- available under other provisions of this title authorized to be appropriated out of the ing and motorist awareness programs was for highway safety improvement projects. Highway Trust Fund (other than the Mass not less than the amount allocated for the ‘‘(B) USE OF OTHER FUNDS.—States are en- Transit Account) for projects in all States to previous year, not less than $100,000, to be couraged to address the full scope of their improve traffic signs and pavement mark- used only for motorcyclist safety training safety needs and opportunities by using ings in a manner consistent with the rec- and motorist awareness programs, includ- funds made available under other provisions ommendations included in the publication of ing— of this title (except a provision that specifi- the Federal Highway Administration enti- ‘‘(1) improvements to motorcyclist safety cally prohibits that use). tled ‘Guidelines and Recommendations to ‘‘(e) FLEXIBLE FUNDING FOR STATES WITH A training curricula; Accommodate Older Drivers and Pedestrians ‘‘(2) improvements in program delivery to STRATEGIC HIGHWAY SAFETY PLAN.— (FHWA–RD–01–103)’ and dated October 2001.’’. ‘‘(1) IN GENERAL.—To further the imple- both urban and rural areas, including— (2) MOTORCYCLIST SAFETY— mentation of a State strategic highway safe- ‘‘(A) procurement or repair of practice mo- (A) MOTORCYCLIST SAFETY TRAINING AND ty plan, a State may use up to 25 percent of torcycles; MOTORIST AWARENESS PROGRAMS.— the amount of funds made available under ‘‘(B) instructional aides; (i) IN GENERAL.—Chapter 4 of title 23, this section for a fiscal year to carry out ‘‘(C) mobile training units; and United States Code, is amended— safety projects under any other section as ‘‘(D) leasing or purchase of facilities for (I) by redesignating section 413 (as added provided in the State strategic highway safe- classroom instruction and closed-course skill by section 4161(a)) as section 414; and ty plan. training; (II) by adding after section 414 (as redesig- ‘‘(2) OTHER TRANSPORTATION AND HIGHWAY ‘‘(3) an increase in the recruitment or re- nated by subparagraph (A)) the following: SAFETY PLANS.—Nothing in this subsection tention of motorcyclist safety training in- requires a State to revise any State process, ‘‘§ 415. Motorcyclist safety training and mo- structors certified by a State Motorcycle plan, or program in effect on the date of en- torist awareness programs Safety Administrator or motorcycle advi- actment of this section. ‘‘(a) DEFINITIONS.—In this section: sory council appointed by the Governor; and ‘‘(f) REPORTS.— ‘‘(1) MOTORCYCLIST SAFETY TRAINING.—The ‘‘(4) public awareness, public service an- ‘‘(1) IN GENERAL.—A State shall submit to term ‘motorcyclist safety training’ means nouncements, and other outreach programs the Secretary a report that— any formal program of instruction that— to enhance motorist awareness. ‘‘(A) describes progress being made to im- ‘‘(A) provides accident avoidance and other ‘‘(d) CONTRACTS WITH ORGANIZATIONS.—The plement highway safety improvement safety-oriented operational skills to motor- Secretary may enter into an agreement with projects under this section; cyclists, including innovative training op- an organization that is recommended by and ‘‘(B) assesses the effectiveness of those im- portunities to meet unique regional needs; represents the interests of State Motorcycle provements; and and Safety Administrators to review, determine, ‘‘(C) describes the extent to which the im- ‘‘(B) is approved for use in a State by the and disseminate a description of best prac- provements funded under this section con- designated State authority having jurisdic- tices in motorcycle safety training and mo- tribute to the goals of— tion over motorcyclist safety issues, which torist awareness, and to recommend such ‘‘(i) reducing the number of fatalities on may include the State Motorcycle Safety practices, to State administrators, gov- roadways; Administrator or a motorcycle advisory ernors, State legislative bodies, and chief li- ‘‘(ii) reducing the number of roadway-re- council appointed by the Governor of the censing officers of States. lated injuries; State. ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(iii) reducing the occurrences of roadway- ‘‘(2) MOTORIST AWARENESS.—The term ‘mo- There is authorized to be appropriated to related crashes; torist awareness’ means individual or collec- carry out this section from the Highway ‘‘(iv) mitigating the consequences of road- tive motorist awareness of— Trust Fund (other than the Mass Transit Ac- way-related crashes; and ‘‘(A) the presence of motorcycles on or count) $5,200,000 for each of fiscal years 2004 ‘‘(v) reducing the occurrences of roadway- near roadways; and through 2009.’’. railroad grade crossing crashes. ‘‘(B) safe driving practices that avoid in- (ii) CONFORMING AMENDMENT.—The analysis ‘‘(2) CONTENTS; SCHEDULE.—The Secretary jury to motorcyclists, bicyclists, and pedes- for chapter 4 of title 23, United States Code, shall establish the content and schedule for trians. is amended— a report under paragraph (1). ‘‘(3) MOTORIST AWARENESS PROGRAM.—The (I) by redesignating the item relating to ‘‘(3) TRANSPARENCY.—The Secretary shall term ‘motorist awareness program’ means section 413 (as added by section 4161(b)) as re- make reports under paragraph (1) available any informational or public awareness pro- lating to section 414; and to the public through— gram designed to enhance motorist aware- (II) by adding at the end the following: ‘‘(A) the Internet site of the Department; ness that is developed by or in coordination ‘‘415. Motorcyclist safety training and mo- and with the designated State authority having torist awareness programs.’’. ‘‘(B) such other means as the Secretary de- jurisdiction over motorcyclist safety issues, termines to be appropriate. which may include the State Motorcycle (B) REDUCTION OF CRASHES INVOLVING MO- ‘‘(4) DISCOVERY AND ADMISSION INTO EVI- Safety Administrator or, in the absence of a TORCYCLES.—Section 402 of title 23, United DENCE OF CERTAIN REPORTS, SURVEYS, AND IN- State Administrator, a motorcycle advisory States Code, is amended by inserting after FORMATION.—Notwithstanding any other pro- council appointed by a Governor of the subsection (h) (as added by section 4103(c)) vision of law, no report, survey, schedule, State. the following: list, or other data compiled or collected for ‘‘(4) STATE.—The term ‘State’ means— ‘‘(i) REDUCTION OF CRASHES INVOLVING MO- any purpose directly relating to paragraph ‘‘(A) a State; TORCYCLES.— (1) or subsection (c)(1)(D), or published by ‘‘(B) the District of Columbia; and ‘‘(1) IN GENERAL.—As part of the program the Secretary in accordance with paragraph ‘‘(C) the Commonwealth of Puerto Rico. carried out under this section, the Secretary (3), shall be— ‘‘(b) ELIGIBILITY.—Not later than 90 days shall make annual grants to States to pay ‘‘(A) subject to discovery or admitted into after the date of enactment of this section, the Federal share of expanding programs to evidence in any Federal or State judicial on September 1, 2004, and on September 1 of reduce single- and multiple-vehicle crashes proceeding; or each fiscal year thereafter, and based on a involving motorcycles. ‘‘(B) considered for any other purpose in letter of certification provided by the Gov- ‘‘(2) ELIGIBILITY.—To be eligible for a grant any action for damages arising from an oc- ernor of each State, the Secretary shall de- under this subsection, a State shall dem- currence at a location identified or addressed velop and publish a list of States that, as of onstrate to the Secretary that for each of in the report, survey, schedule, list, or other the date of publication of the list, have es- fiscal years 2004 and 2005, at least 1, for fiscal collection of data. tablished motorcyclist safety training pro- years 2006 and 2007, at least 2, and for fiscal

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00206 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1163 years 2008 and 2009, at least 3, of the pro- gate expenditures of the State from all other ‘‘(A) a description of the purpose and need grams or conditions described in the fol- sources for motorcycle safety programs at a for the proposed project; lowing subparagraphs apply to the State: level that is at or above the average level of ‘‘(B) a description of the travel market to ‘‘(A) DRIVERS LICENSE SUSPENSION OR REV- such expenditures for each of the 2 fiscal be served; OCATION SYSTEM.—The State has imple- years preceding the date of enactment of this ‘‘(C) a description of the technology se- mented a statewide drivers license suspen- section, as determined by the Secretary. lected for the project; sion or revocation system that suspends a ‘‘(5) FUNDING.— ‘‘(D) forecasts of ridership and revenues; drivers license for at least 1 year for an indi- ‘‘(A) IN GENERAL.—Subject to subparagraph ‘‘(E) a description of preliminary engineer- vidual who operates a motor vehicle in a (B), the Secretary shall use funds authorized ing that is sufficient to provide a reasonable reckless or negligent manner that causes— to be appropriated to carry out this section estimate of the capital cost of constructing, ‘‘(i) an accident with a motorcycle or other for a fiscal year to carry out this subsection operating, and maintaining the project; motor vehicle; and for the fiscal year. ‘‘(F) a realistic schedule for construction ‘‘(ii) injury or death to an individual. ‘‘(B) LIMITATION.—The amount of a grant and equipment for the project; ‘‘(B) REDUCTION OF CRASH RATE INVOLVING made to a State under this subsection for a ‘‘(G) an environmental assessment; MOTORCYCLES.—The State demonstrates to fiscal year shall not exceed 10 percent of the ‘‘(H) a preliminary identification of the 1 the Secretary that, for the year following re- amount apportioned to the State under this or more organizations that will construct ceipt of a grant under this section, there has section for fiscal year 2002.’’. and operate the project; and been a reduction in the crash rate of motor ‘‘(I) a cost-benefit analysis and tentative vehicles involving motorcycles in the State SA 2501. Mr. SPECTER submitted an financial plan for construction and operation (expressed as a function of crashes per 10,000 amendment intended to be proposed to of the project. motorcycle registrations as compared to the amendment SA 2285 proposed by Mr. ‘‘(3) DEADLINE FOR APPLICATIONS.—The Ad- previous year). INHOFE to the bill S. 1072, to authorize ministrator shall establish an annual dead- ‘‘(C) MOTORCYCLE RIDER TRAINING funds for Federal-aid highways, high- line for receipt of applications under this COURSES.—The State demonstrates to the way safety programs, and transit pro- subsection. Secretary that, between the fiscal year for grams, and for other purposes; which ‘‘(4) EVALUATION.—The Administrator shall which a grant is received under this section evaluate all applications received by the an- and the preceding fiscal year, there has been was ordered to lie on the table; as follows: nual deadline to determine whether the ap- no reduction in the number of individuals en- plications meet criteria established by the rolled in motorcycle rider training based on Beginning on page 384, strike line 21 and Administrator. all that follows through page 386, line 19, and a course of instruction approved for the ‘‘(5) SELECTION.—The Administrator shall insert the following: State by the State Motorcycle Safety Ad- select for Federal support for ministrator or, in the absence of a State Ad- SEC. 1818. HIGH-SPEED MAGNETIC LEVITATION preconstruction planning any project that SYSTEM DEPLOYMENT PROGRAM. ministrator, by a motorcycle advisory coun- the Administrator determines meets the cri- (a) IN GENERAL.—Section 322 of title 23, cil appointed by the Governor of the State. teria. ‘‘(D) MOTORIST AWARENESS.—The State— United States Code, is amended to read as ‘‘(i) has implemented a statewide program follows: ‘‘(c) PHASE II—ENVIRONMENTAL IMPACT to enhance motorist awareness of motorcy- ‘‘§ 322. High-speed magnetic levitation system STUDIES.— clists; and deployment program ‘‘(1) IN GENERAL.—A State, State-designated authority, multi-State-designated ‘‘(ii) demonstrates to the Secretary that, ‘‘(a) DEFINITIONS.—In this section: authority, or special purpose entity that has between each fiscal year for which a grant is ‘‘(1) ADMINISTRATOR.—The term ‘Adminis- received under this section and the preceding trator’ means the Administrator of the Fed- conducted (under this section or any other fiscal year, there has been a reduction in the eral Railroad Administration. provision of law) 1 or more studies that address each of the requirements of subsection rate of multiple-vehicle collisions in the ‘‘(2) ELIGIBLE PROJECT COSTS.— (b)(2) may submit the studies to the Admin- State involving motorcycles (expressed as a ‘‘(A) IN GENERAL.—The term ‘eligible function of crashes per 10,000 motorcycle reg- project costs’ means the capital cost of the istrator, to support an application for Fed- istrations). fixed guideway infrastructure of a MAGLEV eral funding to assist in— ‘‘(E) IMPAIRED MOTORCYCLE OPERATION.— project, including land, piers, guideways, ‘‘(A) preparing an environmental impact The State— propulsion equipment and other components statement or similar analysis required under ‘‘(i) has implemented a statewide program attached to guideways, power distribution the National Environmental Policy Act of to reduce impaired motorcycle operation; facilities (including substations), control and 1969 (42 U.S.C. 4321 et seq.); and and communications facilities, access roads, and ‘‘(B) planning for construction, operation, ‘‘(ii) demonstrates to the Secretary that, storage, repair, and maintenance facilities. and maintenance of a MAGLEV project. between each fiscal year for which a grant is ‘‘(B) INCLUSION.—The term ‘eligible project ‘‘(2) ENVIRONMENTAL IMPACT STATEMENT.— received under this section and the preceding costs’ includes the costs of preconstruction The final environmental impact statement fiscal year, there has been a reduction in the planning activities. or analysis described in paragraph (1)(A) rate of reported accidents involving alcohol- ‘‘(C) EXCLUSION.—The term ‘eligible project shall— or drug-impaired motorcycle operators (ex- costs’ does not include costs incurred for a ‘‘(A) identify a preferred alternative; and pressed as a function of 10,000 motorcycle new station. ‘‘(B) describe the organization that will registrations). ‘‘(3) FULL PROJECT COSTS.—The term ‘full own, plan, finance, construct, equip, operate, ‘‘(F) MOTORCYCLIST TRAINING.—The State— project costs’ means the total capital costs and maintain the proposed project. ‘‘(i) has implemented a statewide program of a MAGLEV project, including eligible ‘‘(3) DEADLINE FOR APPLICATIONS.— to expedite delivery of motorcyclist training project costs and the costs of stations, vehi- ‘‘(A) IN GENERAL.—The Administrator to urban and rural areas; and cles, and equipment. shall— ‘‘(ii) demonstrates to the Secretary that, ‘‘(4) MAGLEV.— ‘‘(i) establish an annual deadline for re- between each fiscal year for which a grant is ‘‘(A) IN GENERAL.—The term ‘MAGLEV’ ceipt of Phase II applications; and received under this section and the preceding means transportation systems in revenue ‘‘(ii) evaluate all applications received by fiscal year, there has been a reduction in the service employing magnetic levitation that that deadline in accordance with criteria es- rate of reported accidents involving motor- would be capable of safe use by the public at tablished under subparagraph (B). cyclists with improper licenses or lacking a a speed in excess of 240 miles per hour. ‘‘(B) CRITERIA.—The Administrator shall motorcycle endorsement (expressed as a ‘‘(B) INCLUSION.—The term ‘MAGLEV’ in- establish criteria to evaluate applications function of 10,000 motorcycle registrations). cludes power, control, and communication that include whether— ‘‘(3) FEDERAL SHARE.—The Federal share of facilities required for the safe operation of ‘‘(i) the technology selected is available for the cost of implementing and enforcing a the vehicles within a system described in deployment at the time of the application; program described in paragraph (2) for a fis- subparagraph (A). ‘‘(ii) operating revenues combined with cal year shall not exceed (as determined by ‘‘(b) PHASE I—PRECONSTRUCTION PLAN- known and dedicated sources of other reve- the Secretary)— NING.— nues in any year will exceed annual oper- ‘‘(A) for the first 3 years for which a State ‘‘(1) IN GENERAL.—A State, State-des- ation and maintenance costs; receives a grant under this subsection, 50 ignated authority, multi-State-designated ‘‘(iii) over the life of the MAGLEV project, percent; and authority, or special purpose entity may total project benefits will exceed total ‘‘(B) for each additional year for which a apply to the Administrator for grants to con- project costs; and State receives a grant under this subsection, duct preconstruction planning for proposed ‘‘(iv) the proposed capital financing plan is 25 percent. new MAGLEV projects, or extensions to realistic and does not assume Federal assist- ‘‘(4) MAINTENANCE OF EFFORT.—No grant MAGLEV systems planned, studied, or de- ance that is greater than the maximums may be made to a State under this sub- ployed under this or any other program. specified in clause (ii). section for any fiscal year unless the State ‘‘(2) APPLICATIONS.—An application for a ‘‘(C) PROJECTS SELECTED.—If the Adminis- enters into such agreement with the Sec- grant under this subsection shall include a trator determines that a MAGLEV project retary as the Secretary may require to en- description of the proposed MAGLEV meets the criteria established under subpara- sure that the State will maintain the aggre- project, including, at a minimum— graph (B), the Administrator shall—

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00207 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1164 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(i) select that project for Federal Phase II ‘‘(I) the Federal share of the cost of the tion and contracting procedures for support; and project shall be in accordance with para- MAGLEV transportation, to the extent that ‘‘(ii) publish in the Federal Register a no- graph (2); and the project continues to fulfill the require- tice of intent to prepare an environmental ‘‘(II) the availability of the funds shall be ments of this section; impact statement or similar analysis rein accordance with subsection (f). ‘‘(B) to the maximum extent practicable, quired under the National Environmental ‘‘(B) NONCONTRACT AUTHORITY AUTHORIZA- has met safety guidelines established by the Policy Act of 1969 (42 U.S.C. 4321 et seq.). TION OF APPROPRIATIONS.— Administrator to protect the health and ‘‘(i) PHASE I.—There are authorized to be safety of the public; ‘‘(d) PHASE III—DEPLOYMENT.— appropriated from the Highway Trust Fund ‘‘(C) is based on designs that ensure the ‘‘(1) IN GENERAL.—A proposed owner of a (other than the Mass Transit Account) to greatest life cycle advantages for the MAGLEV project that has initiated a final carry out Phase I—preconstruction planning project; environmental impact statement or similar studies under subsection (b)— ‘‘(D) contains domestic content of at least analysis required under the National Envi- ‘‘(I) $12,000,000 for fiscal year 2004; 70 percent; and ronmental Policy Act of 1969 (42 U.S.C. 4321 ‘‘(II) $6,000,000 for fiscal year 2005; and ‘‘(E) Those projects eligible for (d) Phase et seq.) and has refined planning for the con- ‘‘(III) $2,000,000 for each of fiscal years 2006 III—Deployment which were developed struction, operation, and maintenance of the through 2009. through a public-private partnership shall be MAGLEV project, under this or any other ‘‘(ii) PHASE II.—There are authorized to be implemented through the efforts of such a program, may submit an application to the appropriated from the Highway Trust Fund public-private partnership with the private Administrator for Federal funding of a por- (other than the Mass Transit Account) to sector taking a leadership position with re- tion of the capital costs of planning, financ- carry out Phase II—environmental impact gard to design, development and deployment ing, constructing, and equipping the pre- studies under subsection (c)— those private sector industry participants in- ferred alternative identified in the final en- ‘‘(I) $5,000,000 for fiscal year 2004; volved throughout the development of the vironmental impact statement or analysis. ‘‘(II) $5,000,000 for fiscal year 2005; various projects under TEA–21 Section 1218, ‘‘(2) RECORD OF DECISION.— ‘‘(III) $5,000,000 for fiscal year 2006; shall continue to participate in the Phase ‘‘(A) IN GENERAL.—The Administrator shall ‘‘(IV) $5,000,000 for fiscal year 2007; and III-Deployment effort, if the private sector publish a record of decision for each applica- ‘‘(V) $5,000,000 for fiscal year 2008. industry participants so choose. tion, based on the information provided in ‘‘(iii) PHASE III.—There are authorized to the application and the environmental im- be appropriated from the Highway Trust SA 2502. Mr. BOND submitted an pact statement or similar analysis required Fund (other than the Mass Transit Account) amendment intended to be proposed by under the National Environmental Policy to carry out Phase III—deployment projects him to the bill S. 1072, to authorize Act of 1969 (42 U.S.C. 4321 et seq.). under subsection (d)— ‘‘(B) DECISION TO CONSTRUCT.—The Admin- funds for Federal-aid highways, high- ‘‘(I) $355,500,000 for fiscal year 2004; way safety programs, and transit pro- istrator shall issue a record of decision to ‘‘(II) $376,000,000 for fiscal year 2005; construct for a project determined by the ‘‘(III) $392,000,000 for fiscal year 2006; grams, and for other purposes; which Administrator— ‘‘(IV) $410,000,000 for fiscal year 2007; was ordered to lie on the table; as fol- ‘‘(i) to have a high probability of being fi- ‘‘(V) $423,000,000 for fiscal year 2008; and lows: nanced, constructed, equipped, and operated ‘‘(VI) $443,000,000 for fiscal year 2009. Beginning on page 876, strike line 12 and by the proposed owners; and ‘‘(iv) PROGRAM ADMINISTRATION.—There are all that follows through the matter between ‘‘(ii) to meet other criteria established by authorized to be appropriated from the High- lines 6 and 7 on page 880. the Administrator. way Trust Fund (other than the Mass Tran- ‘‘(C) FEDERAL FUNDING.—To the extent that sit Account) to carry out administration of SA 2503. Mr. BROWNBACK submitted funds are available, the Administrator shall this program— an amendment intended to be proposed negotiate a Federal funding agreement for ‘‘(I) $2,500,000 for fiscal year 2004; by him to the bill S. 1072, to authorize each project that is recommended for deploy- ‘‘(II) $13,000,000 for fiscal year 2005; ment in the record of decision. ‘‘(III) $16,000,000 for fiscal year 2006; funds for Federal-aid highways, highway safety programs, and transit pro- ‘‘(e) FINANCIAL ASSISTANCE.— ‘‘(IV) $8,000,000 for fiscal year 2007; and grams, and for other purposes; which ‘‘(1) IN GENERAL.—The Secretary shall ‘‘(V) $5,000,000 for each of fiscal years 2008 make available financial assistance to pay and 2009. was ordered to lie on the table; as fol- the Federal share of the full project costs of ‘‘(v) RESEARCH AND DEVELOPMENT.—There lows: projects selected under this section. is authorized to be appropriated from the Strike section 1609. ‘‘(2) PREVAILING WAGE AND BUY AMERICA RE- Highway Trust Fund (other than the Mass QUIREMENTS.—Sections 5333(a) and 5323(j) of Transit Account) to carry out research and SA 2504. Ms. MURKOWSKI submitted title 49 shall apply to financial assistance development activities to reduce MAGLEV an amendment intended to be proposed made available under this section and deployment costs $4,000,000 for each of fiscal years 2004 through 2009. by her to the bill S. 1072, to authorize projects funded with that assistance. funds for Federal-aid highways, high- ‘‘(3) FEDERAL SHARE.— ‘‘(f) AVAILABILITY OF FUNDS.—Funds made ‘‘(A) PHASE I AND PHASE II.—For Phase I— available under subsection (e) shall remain way safety programs, and transit pro- preconstruction planning and Phase II—envi- available until expended. grams, and for other purposes; which ronmental impact studies carried out under ‘‘(g) OTHER FEDERAL FUNDS.—Funds made was ordered to lie on the table; as fol- subsections (b) and (c), respectively, the Fed- available to a State to carry out the surface lows: transportation program under section 133 eral share of the costs of the planning and At the appropriate place, add the fol- 2 and the congestion mitigation and air qual- studies shall be not more than ⁄3 of the full lowing: cost of the planning and studies. ity improvement programs under section 149 SEC. . NATIONAL TRIBAL ROADS INVENTORY. ‘‘(B) PHASE III.—For Phase III—deploy- may be used by any State to pay a portion of (a) IN GENERAL.—Chapter 2 of title 23, ment projects carried out under subsection the full project costs of an eligible project United States Code (as amended by (d), not more than 2⁄3 of the full capital cost selected under this section, without require- section ), is amended by adding at the end of such a project shall be made available ment for non-Federal funds. the following: from funds appropriated for this program. ‘‘(h) OTHER FEDERAL FUNDS.—A project se- ‘‘(4) FUNDING.— lected for funding under this section shall be ‘‘§ . National tribal roads inventory ‘‘(A) CONTRACT AUTHORITY; AUTHORIZATION eligible for other forms of financial assist- ‘‘(a) DEFINITIONS.—In this section: OF APPROPRIATIONS.— ance provided by this title and title V of the ‘‘(1) INVENTORY.—The term ‘inventory’ ‘‘(i) IN GENERAL.—There is authorized to be Railroad Revitalization and Regulatory Re- means the comprehensive national tribal appropriated from the Highway Trust Fund form Act of 1976 (45 U.S.C. 821 et seq.), in- roads inventory completed under subsection (other than the Mass Transit Account) for cluding loans, loan guarantees, and lines of (b). fiscal years 2004 through 2009 to carry out credit. ‘‘(2) NATIVE VILLAGE.—The term ‘Native this section— ‘‘(i) MANDATORY ADDITIONAL SELECTION.— village’ has the meaning given the term in ‘‘(I) $10,000,000 for Phase I—preconstruction ‘‘(1) IN GENERAL.—Subject to paragraph 2, section 3 of the Alaska Native Claims Settle- planning studies; in selecting projects for preconstruction ment Act (43 U.S.C. 1602). ‘‘(II) $20,000,000 for Phase II—environ- planning, deployment, and financial assist- ‘‘(3) PRIMARY ACCESS ROUTE.— mental impact studies; and ance, the Administrator may only provide ‘‘(A) IN GENERAL.—The term ‘primary ac- ‘‘(III) $60,000,000 for Phase III—deployment funds to MAGLEV projects that meet the cess route’ means, as determined by a Native projects. criteria established under subsection (b)(4). village in accordance with the Alaska Native ‘‘(ii) OBLIGATION AUTHORITY.—Funds au- ‘‘(2) PRIORITY FUNDING.—The Administrator Claims Settlement Act (43 U.S.C. 1601 et thorized by this subparagraph shall be avail- shall give priority funding to a MAGLEV seq.), a route within the boundaries of land able for obligation in the same manner as if project that— held or managed by a Village Corporation for the funds were apportioned under chapter I, Has received funding prior to the date of en- the Native village that— except that— actment of this section as a result of evalua- ‘‘(i) is most commonly used;

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‘‘(ii)(I) is a community street; or (2) under the heading ‘‘CAPITAL INVEST- ‘‘(d) CONTROLLED GROUPS.—For purposes of ‘‘(II) provides access to the center of the MENT GRANTS’’, by striking ‘‘$607,200,000’’ subsection (b), rules similar to the rules of Native village by the shortest practicable each place it appears and inserting paragraph (1) of section 41(f) shall apply for route; or ‘‘$606,700,000’’. purposes of this subsection. ‘‘(iii) in the case of a proposed route, is the (b) EARMARK ADJUSTMENT.— ‘‘(e) BASIS ADJUSTMENT.—For purposes of shortest practicable route connecting 2 (1) INCREASE.—Page 1258 of House Con- this subtitle, if a credit is allowed under this points. ference Report 108–10 is deemed to be amend- section with respect to any railroad track, ‘‘(B) INCLUSIONS.—The term ‘primary ac- ed by increasing the amount earmarked for the basis of such track shall be reduced by cess route’ includes a road or trail that— Grants-in-Aid for Airports, high priority the amount of the credit so allowed. ‘‘(i) connects 2 villages (including a bridge projects by $500,000, which is reserved for ‘‘(f) APPLICATION OF SECTION.—This section over water); various improvements to the Henderson shall apply to qualified railroad track main- ‘‘(ii) leads to a landfill; City-County, Kentucky Airport. tenance expenditures paid or incurred during ‘‘(iii) leads to a drinking water source; (2) OFFSET.—Page 1297 of House Conference taxable years beginning after December 31, ‘‘(iv) leads to a natural resource identified Report 108–10 is deemed to be amended by 2003, and before January 1, 2009. for economic development; and striking the line that earmarks $500,000 for ‘‘(g) CREDIT TRANSFERABILITY.— ‘‘(v) provides access to an intermodal ter- the Henderson County, Kentucky bus facil- ‘‘(1) IN GENERAL.—Any credit allowable minus such as an airport, harbor, or boat ity. under this section may be transferred as pro- landing. vided in this subsection, and the determina- ‘‘(4) VILLAGE CORPORATION.—The term ‘Vil- lage Corporation’ has the meaning given the SA 2507. Mr. PRYOR (for himself and tion as to whether the credit is allowable term in section 3 of the Alaska Native Mrs. LINCOLN) submitted an amend- shall be made without regard to the tax-ex- Claims Settlement Act (43 U.S.C. 1602). ment intended to be proposed to empt status of the transferor. ‘‘(2) TRANSFER TO ELIGIBLE TAXPAYER.— ‘‘(b) INVENTORY.— amendment SA 2285 proposed by Mr. Any credit transferred under paragraph (1) ‘‘(1) IN GENERAL.—Not later than 2 years INHOFE to the bill S. 1072, to authorize after the date of enactment of this section, shall be transferred to an eligible taxpayer. funds for Federal-aid highways, high- Any credit so transferred shall be allowed to the Secretary, in conjunction with the Sec- way safety programs, and transit pro- retary of the Interior, shall complete a com- the transferee, but the transferee may not prehensive national tribal roads inventory. grams, and for other purposes; which assign such credit to any other person. ‘‘(2) INCLUSIONS.—The Secretary shall in- was ordered to lie on the table; as fol- ‘‘(3) ELIGIBLE TAXPAYER.—For purposes of clude in the inventory— lows: this subsection, the term ‘eligible taxpayer’ ‘‘(A) routes previously included in any On page 389, between lines 15 and 16, insert means— similar inventory; and the following: ‘‘(A) any person who transports property using the rail facilities of the taxpayer or ‘‘(B) primary access routes. SEC. 1823. DEPARTEE CREEK WATERSHED ‘‘(c) AVAILABILITY OF ACTIVITIES, FUNC- PROJECT. who furnishes railroad-related property or TIONS, AND SERVICES.—All activities, func- Pursuant to Subpart 505D of the National services to the taxpayer, and tions, and services relating to or associated Watershed Manual, the Committee on Envi- ‘‘(B) any Class II or Class III railroad. with the inventory shall be available to In- ronment and Public Works of the Senate ap- ‘‘(4) MINIMUM PRICE FOR TRANSFER.—No dian tribes and tribal organizations in ac- proves of the watershed plan and environ- transfer shall be allowed under this sub- cordance with the contracting and com- mental impact statement submitted by the section unless the transferor receives compacting provisions of the Indian Self-Deter- Departee Creek Watershed Project in Inde- pensation for the credit transfer equal to at mination and Education Assistance Act (25 pendence and Jackson Counties, Arkansas. least 50 percent of the amount of credit U.S.C. 450b et seq.). transferred. The excess of the amount of ‘‘(d) REPORT.—Not later than January 1, SA 2508. Mr. SMITH submitted an credit transferred over the compensation re- 2006, the Secretary shall submit to Congress amendment intended to be proposed by ceived by the transferor for such transfer a report that includes the data gathered in shall be included in the gross income of the completing, and the results of, the inven- him to the bill S. 1072, to authorize transferee.’’. tory.’’. funds for Federal-aid highways, high- (b) LIMITATION ON CARRYBACK.—Section (b) CONFORMING AMENDMENT.—The analysis way safety programs, and transit pro- 39(d) of the Internal Revenue Code of 1986 (re- for chapter 2 of title 23, United States Code grams, and for other purposes; which lating to transition rules) is amended by (as amended by section ), is amended by was ordered to lie on the table; as fol- adding at the end the following new para- adding at the end the following: lows: graph: ‘‘ . National tribal roads inventory.’’. On page 1148, between lines 6 and 7, insert ‘‘(11) NO CARRYBACK OF RAILROAD TRACK the following: MAINTENANCE CREDIT BEFORE EFFECTIVE SA 2505. Mr. BUNNING submitted an DATE.—No portion of the unused business SEC. 5454. CREDIT FOR MAINTENANCE OF RAIL- credit for any taxable year which is attrib- amendment intended to be proposed to ROAD TRACK. utable to the railroad track maintenance amendment SA 2285 proposed by Mr. (a) IN GENERAL.—Subpart D of part IV of credit determined under section 45I may be INHOFE to the bill S. 1072, to authorize subchapter A of chapter 1 of the Internal carried to a taxable year beginning before funds for Federal-aid highways, high- Revenue Code of 1986 (relating to business-re- January 1, 2004.’’. lated credits), as amended by section 5453 of way safety programs, and transit pro- (c) CONFORMING AMENDMENTS.— this Act, is further amended by adding at the grams, and for other purposes; which (1) Section 38(b) of the Internal Revenue end the following new section: was ordered to lie on the table; as fol- Code of 1986 (relating to general business lows: ‘‘SEC. 45I. RAILROAD TRACK MAINTENANCE credit) is amended by striking ‘‘plus’’ at the CREDIT. end of paragraph (14), by striking the period Strike section 1406. ‘‘(a) GENERAL RULE.—For purposes of sec- at the end of paragraph (15) and inserting ‘‘, tion 38, the railroad track maintenance cred- plus’’, and by adding at the end the following SA 2506. Mr. BUNNING submitted an it determined under this section for the tax- new paragraph: amendment intended to be proposed to able year is the amount of qualified railroad ‘‘(16) the railroad track maintenance credit amendment SA 2285 proposed by Mr. track maintenance expenditures paid or in- determined under section 45I(a).’’. INHOFE to the bill S. 1072, to authorize curred by the taxpayer during the taxable (2) Subsection (a) of section 1016 of such year. funds for Federal-aid highways, high- Code is amended by striking ‘‘and’’ at the ‘‘(b) LIMITATION.—The credit allowed under way safety programs, and transit pro- end of paragraph (27), by striking the period subsection (a) shall not exceed the product grams, and for other purposes; which at the end of paragraph (28) and inserting ‘‘, of— was ordered to lie on the table; as fol- and’’, and by adding at the end the following ‘‘(1) $10,000, and new paragraph: lows: ‘‘(2) the number of miles of railroad track ‘‘(29) in the case of railroad track with re- At the appropriate place, insert the fol- owned or leased by the taxpayer as of the spect to which a credit was allowed under lowing: close of the taxable year. section 45G, to the extent provided in section SEC. llll. GRANTS IN AID FOR AIRPORTS. ‘‘(c) QUALIFIED RAILROAD TRACK MAINTE- 45I(e).’’. (a) APPROPRIATIONS TRANSFER.—Title I of NANCE EXPENDITURES.—For purposes of this (d) CLERICAL AMENDMENT.—The table of Division I of the Consolidated Appropria- section, the term ‘qualified railroad track sections for subpart D of part IV of sub- tions Resolution, 2003 (Public Law 108–7) is maintenance expenditures’ means expendi- chapter A of chapter 1 of the Internal Rev- amended— tures (whether or not otherwise chargeable enue Code of 1986, as amended by section 5453 (1) under the heading ‘‘GRANTS-IN-AID FOR to capital account) for maintaining railroad of this Act, is further amended by inserting AIRPORTS’’— track (including roadbed, bridges, and re- after the item relating to section 45H the fol- (A) by striking ‘‘$3,100,000,000’’ and insert- lated track structures) owned or leased by lowing new item: ing ‘‘$3,100,500,000’’; and the taxpayer of Class II or Class III railroads (B) by striking ‘‘$3,400,000,000’’ and insert- (as determined by the Surface Transpor- ‘‘Sec. 45I. Railroad track maintenance cred- ing ‘‘$3,400,500,000’’; and tation Board). it.’’.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00209 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1166 CONGRESSIONAL RECORD — SENATE February 11, 2004 (e) EFFECTIVE DATE.—The amendments grams, and for other purposes; which DATE.—No portion of the unused business made by this section shall apply to taxable was ordered to lie on the table; as fol- credit for any taxable year which is attrib- years beginning after December 31, 2003. lows: utable to the railroad track maintenance credit determined under section 45G may be SA 2509. Mr. SMITH submitted an On page 60, after line 25, add the following: carried to a taxable year beginning before amendment intended to be proposed by SEC. 1106. FUNDING FORMULA. January 1, 2004.’’. him to the bill S. 1072, to authorize Notwithstanding any other provision of (3) CONFORMING AMENDMENTS.— funds for Federal-aid highways, high- this Act, all transportation funding shall be (A) Section 38(b) (relating to general busi- determined using the formula under the ness credit), as amended by section 5253 of way safety programs, and transit pro- Transportation Equity Act for the 21st Cen- this Act, is amended by striking ‘‘plus’’ at grams, and for other purposes; which tury (Public Law 105–178) as in effect before the end of paragraph (18), by striking the pe- was ordered to lie on the table; as fol- the date of enactment of this Act. riod at the end of paragraph (19) and insert- lows: ing ‘‘, plus’’, and by adding at the end the On page 91 (of the Committee Print for the SA 2513. Mr. BROWNBACK submitted following new paragraph: proposed Federal Public Transportation Act an amendment intended to be proposed ‘‘(20) the railroad track maintenance credit of 2004), line 22 in Sec. 3012(a)’s proposed Sec. by him to the bill S. 1072, to authorize determined under section 45I(a).’’. 5310(a)(1), insert a comma and the following funds for Federal-aid highways, high- (B) Subsection (a) of section 1016 is amend- phrase after the words ‘‘transportation way safety programs, and transit pro- ed by striking ‘‘and’’ at the end of paragraph (27), by striking the period at the end of projects’’: ‘‘and operating costs associated grams, and for other purposes; which with public transportation capital projects,’’ paragraph (28) and inserting ‘‘, and’’, and by On page 93, in Sec. 3012(a)’s proposed Sec. was ordered to lie on the table; as fol- adding at the end the following new para- 5310(c)(1), replace the words ‘‘IN GENERAL’’ lows: graph: with ‘‘CAPITAL PROJECTS’’ at line 17, and At the end of subtitle F of title V, insert ‘‘(29) in the case of railroad track with re- add the following subparagraph after line 24: the following: spect to which a credit was allowed under ‘‘(C) OPERATING ASSISTANCE.—A grant made SEC. ll. CREDIT FOR MAINTENANCE OF RAIL- section 45I, to the extent provided in section under this section for operating assistance ROAD TRACK; 45I(e).’’. may not exceed 50 percent of the net oper- (a) CREDIT FOR MAINTENANCE OF RAILROAD (4) CLERICAL AMENDMENT.—The table of ating costs of the project, as determined by TRACK.— sections for subpart D of part IV of sub- the Secretary. (1) IN GENERAL.—Subpart D of part IV of chapter A of chapter 1, as amended by this subchapter A of chapter 1 (relating to busi- Act, is amended by inserting after the item SA 2510. Mr. GRAHAM of Florida (for ness-related credits) is amended by adding at relating to section 45H the following new himself and Mr. NELSON of Florida) the end the following new section: item: submitted an amendment intended to ‘‘SEC. 45I. RAILROAD TRACK MAINTENANCE ‘‘Sec. 45I. Railroad track maintenance cred- be proposed by him to the bill S. 1072, CREDIT. it.’’. ‘‘(a) GENERAL RULE.—For purposes of sec- to authorize funds for Federal-aid high- (5) EFFECTIVE DATE.—The amendments tion 38, the railroad track maintenance cred- ways, highway safety programs, and made by this section shall apply to taxable it determined under this section for the tax- years beginning after December 31, 2003. transit programs, and for other pur- able year is 50 percent of the amount of (b) RAILROAD REVITALIZATION AND SECU- poses; which was ordered to lie on the qualified railroad track maintenance expend- table; as follows: RITY INVESTMENT CREDIT.— itures paid or incurred by an eligible tax- (1) IN GENERAL.—Subpart D of part IV of On page 389, after line 15, insert the fol- payer during the taxable year. subchapter A of chapter 1 (relating to busi- lowing: ‘‘(b) LIMITATION.—The credit allowed under ness-related credits) is amended by adding at SEC. ll. HIGH PRIORITY CORRIDORS. subsection (a) shall not exceed the product the end the following new section: of— Section 1105(c) of the Intermodal Surface ‘‘SEC. 45J. RAILROAD REVITALIZATION AND SE- Transportation Efficiency Act of 1991 (105 ‘‘(1) $20,000, and CURITY INVESTMENT CREDIT. Stat. 2032) is amended by adding at the end ‘‘(2) the number of miles of railroad track ‘‘(a) GENERAL RULE.—For purposes of sec- the following: owned or leased by the taxpayer as of the tion 38, the railroad revitalization and secu- ‘‘(45) The Corridor consisting of I–95 from close of the taxable year. rity investment credit determined under this the border with Canada to the terminus of I– ‘‘(c) QUALIFIED RAILROAD TRACK MAINTE- section for the taxable year is the amount of 95 in the State of Florida. NANCE EXPENDITURES.—For purposes of this qualified project expenditures paid or in- ‘‘(46) The Corridor consisting of I–75 in the section, the term ‘qualified railroad track curred by an eligible taxpayer during the State of Florida. maintenance expenditures’ means expendi- taxable year. ‘‘(47) The Corridor consisting of I–4 in the tures (whether or not otherwise chargeable ‘‘(b) QUALIFIED PROJECT EXPENDITURES.— State of Florida. to capital account) for maintaining railroad For purposes of this section, the term ‘quali- ‘‘(48) United States Route 1 from Maine to track (including roadbed, bridges, and re- fied project expenditures’ means expendi- its terminus in Florida. lated track structures) owned or leased as of tures (whether or not otherwise chargeable ‘‘(49) Interstate Route 10 from Jackson- January 1, 2004, by the taxpayer of Class II or to capital account) with respect to rail lines ville, Florida, to Los Angeles, California.’’. Class III railroads (as determined by the Sur- which are included in a State rail plan (with- face Transportation Board). in the meaning of section 22101 of title 49, SA 2511. Mr. DASCHLE submitted an ‘‘(d) CONTROLLED GROUPS.—For purposes of United States Code) for— amendment intended to be proposed to subsection (b), rules similar to the rules of ‘‘(A) planning and environmental review, ‘‘(B) rail line rehabilitation, amendment SA 2285 proposed by Mr. paragraph (1) of section 41(f) shall apply for purposes of this subsection. ‘‘(C) upgrades and development of rail NHOFE I to the bill S. 1072, to authorize ‘‘(e) BASIS ADJUSTMENT.—For purposes of lines, funds for Federal-aid highways, high- this subtitle, if a credit is allowed under this ‘‘(D) projects for safety and security with way safety programs, and transit pro- section with respect to any railroad track, respect to rail lines, grams, and for other purposes; which the basis of such track shall be reduced by ‘‘(E) passenger equipment acquisition with was ordered to lie on the table; as fol- the amount of the credit so allowed. respect to rail lines, lows: ‘‘(f) APPLICATION OF SECTION.—This section ‘‘(F) rail station improvement, and shall apply to qualified railroad track main- ‘‘(G) intermodal facilities development. On page 321, strike lines 15 through 22 and tenance expenditures paid or incurred during insert the following: An expenditure shall not be a qualified taxable years beginning after December 31, project expenditure unless there is a written ‘‘(i) RESERVATION OF FUNDS.—In addition to 2003, and before January 1, 2009. any other funds made available for Indian agreement between a State and the owner of ‘‘(g) ELIGIBLE TAXPAYER.—For purposes of reservation roads for each fiscal year, there the infrastructure improved by the expendi- this subsection, the term ‘eligible taxpayer’ is authorized to be appropriated from the tures regarding the use and ownership of means— Highway Trust Fund (other than the Mass such infrastructure, including compensation ‘‘(1) any person who transports property Transit Account) $15,000,000 for each of fiscal for such use and assurances regarding the causing the rail facilities of the taxpayer or years 2004 through 2009 to carry out plan- pacity of such infrastructure. who furnishes railroad-related property or ‘‘(c) LIMITATIONS.— ning, design, engineering, for bridges located services to the taxpayer, and ‘‘(1) IN GENERAL.—The credit allowed under on Native American lands. ‘‘(2) any Class II or Class III railroad.’’. subsection (a) shall not exceed 50 percent of Mr. FEINGOLD submitted (2) LIMITATION ON CARRYBACK.—Section the amount allocated to such project under SA 2512. 39(d) (relating to transition rules), as amend- this subsection. an amendment intended to be proposed ed by section 5453, is amended by adding at ‘‘(2) NATIONAL LIMITATION.—There is a rail- by him to the bill S. 1072, to authorize the end the following new paragraph: road revitalization and security investment funds for Federal-aid highways, high- ‘‘(14) NO CARRYBACK OF RAILROAD TRACK credit limitation of $167,000,000 for each cal- way safety programs, and transit pro- MAINTENANCE CREDIT BEFORE EFFECTIVE endar year.

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‘‘(3) ALLOCATION OF LIMITATION.—The limi- section 45J, to the extent provided in section ‘‘(B) the remainder of such organizational tation under paragraph (2) shall be allocated 45J(f).’’. expenses shall be allowed as a deduction rat- by the Secretary to each State with a State (4) CLERICAL AMENDMENT.—The table of ably over the 180-month period beginning rail plan (within the meaning of section 22101 sections for subpart D of part IV of sub- with the month in which the partnership be- of title 49, United States Code) based on the chapter A of chapter 1, as amended by sub- gins business. following considerations: section (a), is amended by inserting after the ‘‘(2) DISPOSITIONS BEFORE CLOSE OF AMORTI- ‘‘(A) the number of rail miles in active use item relating to section 45I the following ZATION PERIOD.—In any case in which a part- in the State; new item: nership is liquidated before the end of the pe- ‘‘(B) the number of rail cars loaded in the riod to which paragraph (1)(B) applies, any ‘‘Sec. 45J. Railroad revitalization and secu- State; deferred expenses attributable to the part- rity investment credit.’’. ‘‘(C) the number of railroad and public road nership which were not allowed as a deduc- grade crossings in the State; (5) EFFECTIVE DATE.—The amendments tion by reason of this section may be de- ‘‘(D) the number of intercity passenger rail made by this section shall apply to taxable ducted to the extent allowable under section miles; and years beginning after December 31, 2003. 165.’’. ‘‘(E) the number of intercity passenger em- SEC. ll. CONSISTENT AMORTIZATION OF PERI- (2) CONFORMING AMENDMENT.—Subsection barkations. ODS FOR INTANGIBLES. (b) of section 709 is amended by striking ‘‘(d) ELIGIBLE TAXPAYER.—For purposes of (a) START-UP EXPENDITURES.— ‘‘AMORTIZATION’’ and inserting ‘‘DEDUCTION’’ this section, the term ‘eligible taxpayer’ (1) ALLOWANCE OF DEDUCTION.—Paragraph in the heading. means a taxpayer who is an employer for (1) of section 195(b) (relating to start-up ex- (d) EFFECTIVE DATE.—The amendments purposes of the Railroad Retirement Act of penditures) is amended to read as follows: made by this section shall apply to amounts 1974 and who is a carrier for purposes of the ‘‘(1) ALLOWANCE OF DEDUCTION.—If a tax- paid or incurred after the date of the enact- Railway Labor Act (unless such person is a ment of this Act. commuter rail passenger transportation (as payer elects the application of this sub- defined in section 24102 of title 49, United section with respect to any start-up expendi- States Code) operator of a State or local au- tures— SA 2514. Mr. GRASSLEY (for himself thority (as defined in section 5302 of such ‘‘(A) the taxpayer shall be allowed a deduc- and Mr. BAUCUS) submitted an amend- title) or an Alaska railroad or it contractor). tion for the taxable year in which the active ment intended to be proposed by him ‘‘(e) CONTROLLED GROUPS.—For purposes of trade or business begins in an amount equal to the bill S. 1072, to authorize funds subsection (b), rules similar to the rules of to the lesser of— for Federal-aid highways, highway ‘‘(i) the amount of start-up expenditures paragraph (1) of section 41(f) shall apply for safety programs, and transit programs, purposes of this subsection. with respect to the active trade or business, ‘‘(f) BASIS ADJUSTMENT.—For purposes of or and for other purposes; which was or- this subtitle, if a credit is allowed under this ‘‘(ii) $5,000, reduced (but not below zero) by dered to lie on the table; as follows: section with respect to any railroad track, the amount by which such start-up expendi- On page 1027, strike lines 14 through 18, and the basis of such track shall be reduced by tures exceed $50,000, and insert the following: the amount of the credit so allowed. ‘‘(B) the remainder of such start-up ex- (h) HIGHWAY TRUST FUND EXPENDITURES ‘‘(g) APPLICATION OF SECTION.—This section penditures shall be allowed as a deduction FOR HIGHWAY USE TAX EVASION PROJECTS.— shall apply to qualified railroad track main- ratably over the 180-month period beginning Section 9503(c), as amended by this Act, is tenance expenditures paid or incurred during with the month in which the active trade or amended to add at the end the following new taxable years beginning after December 31, business begins.’’. paragraph: 2003, and before January 1, 2009. (2) CONFORMING AMENDMENT.—Subsection ‘‘(5) HIGHWAY USE TAX EVASION PROJECTS.— ‘‘(h) CREDIT TRANSFERABILITY.— (b) of section 195 is amended by striking From amounts available in the Highway ‘‘(1) IN GENERAL.—Any credit allowable ‘‘AMORTIZE’’ and inserting ‘‘DEDUCT’’ in the Trust Fund, there is authorized to be ex- under this section may be transferred (but heading. pended— not more than once) as provided by the Sec- (b) ORGANIZATIONAL EXPENDITURES.—Sub- ‘‘(A) for each fiscal year after 2003 to the retary, and the determination as to whether section (a) of section 248 (relating to organi- Internal Revenue Service— the credit is allowable shall be made without zational expenditures) is amended to read as ‘‘(i) $30,000,000 for enforcement of fuel tax regard to the tax-exempt status of the trans- follows: compliance, including the per-certification feror. ‘‘(a) ELECTION TO DEDUCT.—If a corporation of tax-exempt users, ‘‘(2) MINIMUM PRICE FOR TRANSFER.—No elects the application of this subsection (in transfer shall be allowed under this sub- ‘‘(ii) $10,000,000 for Xstars, and accordance with regulations prescribed by section unless the transferor receives com- ‘‘(iii) $10,000,000 for xfirs, and pensation for the credit transfer equal to at the Secretary) with respect to any organiza- ‘‘(B) for each fiscal year after 2003 to the least 50 percent of the amount of credit tional expenditures— Federal Highway Administration, $50,000,000 transferred. The excess of the amount of ‘‘(1) the corporation shall be allowed a de- to be allocated $1,000,000 to each State to credit transferred over the compensation reduction for the taxable year in which the combat fuel tax evasion on the State level.’’. ceived by the transferor for such transfer corporation begins business in an amount shall be included in the gross income of the equal to the lesser of— SA 2515. Mr. KENNEDY submitted an transferee.’’. ‘‘(A) the amount of organizational expendi- amendment intended to be proposed by (2) LIMITATION ON CARRYBACK.—Section tures with respect to the taxpayer, or him to the bill S. 1072, to authorize 39(d) (relating to transition rules), as amend- ‘‘(B) $5,000, reduced (but not below zero) by funds for Federal-aid highways, high- ed by subsection (a), is amended by adding at the amount by which such organizational expenditures exceed $50,000, and way safety programs, and transit pro- the end the following new paragraph: grams, and for other purposes; which ‘‘(16) NO CARRYBACK OF SECTION 45J CREDIT ‘‘(2) the remainder of such organizational was ordered to lie on the table; as fol- BEFORE EFFECTIVE DATE.—No portion of the expenditures shall be allowed as a deduction unused business credit for any taxable year ratably over the 180-month period beginning lows: which is attributable to the credit deter- with the month in which the corporation be- At the appropriate place, please insert the mined under section 45J(a) may be carried gins business.’’. following: back to a taxable year beginning on or before (c) TREATMENT OF ORGANIZATIONAL AND SEC. . SENSE OF THE SENATE CONCERNING THE the date of the enactment of section 45J.’’. SYNDICATION FEES OR PARTNERSHIPS.— NEED FOR THE MAXIMUM POSSIBLE (3) CONFORMING AMENDMENTS.— (1) IN GENERAL.—Section 709(b) (relating to AMOUNT OF SURFACE TRANSPOR- (A) Section 38(b) (relating to general busi- amortization of organization fees) is amend- TATION INVESTMENT OVER THE ness credit), as amended by subsection (a), is ed by redesignating paragraph (2) as para- NEXT SIX YEARS. amended by striking ‘‘plus’’ at the end of graph (3) and by amending paragraph (1) to (a) FINDINGS—The Senate finds that— paragraph (19), by striking the period at the read as follows: (1) The U.S. Department of Transportation end of paragraph (20) and inserting ‘‘, plus’’, ‘‘(1) ALLOWANCE OF DEDUCTION.—If a tax- estimates that simply to maintain the cur- and by adding at the end the following new payer elects the application of this sub- rent physical conditions and congestion lev- paragraph: section (in accordance with regulations pre- els of the nation’s highway and transit net- ‘‘(21) the railroad revitalization and secu- scribed by the Secretary) with respect to any work an annual federal surface transpor- rity investment credit determined under sec- organizational expenses— tation investment of $53.6 billion is nection 45J(a).’’. ‘‘(A) the taxpayer shall be allowed a deduc- essary, and that improving the system would (B) Subsection (a) of section 1016 is amend- tion for the taxable year in which the part- require $75 billion in annual federal invested by striking ‘‘and’’ at the end of paragraph nership begins business in an amount equal ment in highways and transit; (28), by striking the period at the end of to the lesser of— (2) the Senate Environment and Public paragraph (29) and inserting ‘‘, and’’, and by ‘‘(i) the amount of organizational expenses Works Committee, the Senate Banking, adding at the end the following new para- with respect to the partnership, or Housing, and Urban Affairs Committee, the graph: ‘‘(ii) $5,000, reduced (but not below zero) by Senate Finance Committee, and the Senate ‘‘(30) in the case of qualified projects with the amount by which such organizational ex- Commerce Committee have authorized a sub- respect to which a credit was allowed under penses exceed $50,000, and stitute amendment that provides $318 billion

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00211 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1168 CONGRESSIONAL RECORD — SENATE February 11, 2004 over six years to help address these consider- him to the bill S. 1072, to authorize ‘‘(2) PERCENTAGES.—The percentages re- able surface transportation infrastructure funds for Federal-aid highways, high- ferred to in paragraph (1)(B)(i) are— needs; and way safety programs, and transit pro- ‘‘(A) for fiscal year 2004, 120 percent; (3) the United States Department of Trans- grams, and for other purposes; which ‘‘(B) for fiscal year 2005, 130 percent; portation estimates that each $1 billion in ‘‘(C) for fiscal year 2006, 134 percent; surface transportation investment supports was ordered to lie on the table; as fol- ‘‘(D) for fiscal year 2007, 137 percent; more than 47,000 jobs. lows: ‘‘(E) for fiscal year 2008, 145 percent; and (b) SENSE OF THE SENATE.—It is the Sense On page 489, after line 23, insert the fol- ‘‘(F) for fiscal year 2009, 250 percent.’’. of the Senate that the Senate should insist lowing: ‘‘(3) NO NEGATIVE ADJUSTMENT.—Notwith- that the conference report on S. 1072 provide SEC. 2105. WIDEBAND MULTI-BAND MOBILE standing subsection (d), no negative adjust- for a six-year federal investment in highway, PILOT PROJECTS. ment shall be made under subsection (a)(1) to transit, and rail infrastructure totaling at (a) IN GENERAL.—The Secretary shall make the apportionment of any State. least $318 billion. grants for wideband multi-media mobile ‘‘(4) MINIMUM SHARE OF TAX PAYMENTS.— pilot projects to demonstrate emergency Notwithstanding subsection (d), for each fis- SA 2516. Mr. MILLER submitted an communications systems that provide wide- cal year, the Secretary shall allocate among amendment intended to be proposed to band, two-way information transfer capabili- the States amounts sufficient to ensure that amendment SA 2285 proposed by Mr. ties utilizing the public safety spectrum no State receives a percentage of apportion- made available by the Federal Communica- ments for the fiscal year for the programs INHOFE to the bill S. 1072, to authorize tions Commission in the 700 MHz radio fre- funds for Federal-aid highways, high- specified in subsection (a)(2) that is less than quency band and that are compliant with the 90.5 percent of the percentage share of the way safety programs, and transit pro- public safety wideband data standard TIA– State of estimated tax payments attrib- grams, and for other purposes; which 902 as recommended as the wideband data utable to highway users in the State paid was ordered to lie on the table; as fol- interoperability standard by the Public Safe- into the Highway Trust Fund (other than the lows: ty National Coordinating Committee to the Mass Transit Account) in the most recent Federal Communications Commission. fiscal year for which data are available. On page 120, line 18, after ‘‘elements’’ in- (b) LOCATIONS.—Not later than 90 days ‘‘(d) LIMITATION ON ADJUSTMENTS.— sert ‘‘, including integrated, interoperable after the date of enactment of this Act, the ‘‘(1) IN GENERAL.—Except as provided in emergency communications,’’. Secretary shall establish locations for pilot paragraphs (2) and (3) of subsection (c), no projects under this section. In determining State shall receive, for any fiscal year, addi- SA 2517. Mr. MILLER submitted an pilot project locations, the Secretary shall tional amounts under subsection (a)(1) if— amendment intended to be proposed to certify that pilot project locations awarded ‘‘(A) the total apportionments of the State amendment SA 2285 proposed by Mr. grants have spectrum available for public for the fiscal year for the programs specified safety purposes and are in the 700 MHz band INHOFE to the bill S. 1072, to authorize in subsection (a)(2); exceeds pursuant to the Federal Communications funds for Federal-aid highways, high- ‘‘(B) the sum of— Commission’s rules. way safety programs, and transit pro- ‘‘(i) the percentage of the average, for the (c) LIMIT ON TIME.—Grants under this sec- grams, and for other purposes; which tion shall be awarded not later than 12 period of fiscal years 1998 through 2003, of the was ordered to lie on the table; as fol- months after the date of enactment of this annual apportionments of the State for all lows: Act. programs specified in subsection (b)(2), as specified in paragraph (2); and On page 404, line 7, before ‘‘communica- ‘‘(ii) an amount which is equivalent to— tion’’ insert ‘‘integrated, interoperable emer- SA 2522. Mr. KOHL submitted an ‘‘(I) the amount equal to the number of gency’’. amendment intended to be proposed to amendment SA 2285 proposed by Mr. gallons of gasohol sold within the State dur- SA 2518. Mr. MILLER submitted an ing fiscal years 1996 through 2001 multiplied INHOFE to the bill S. 1072, to authorize by the excess of the tax rate applicable for a amendment intended to be proposed to funds for Federal-aid highways, high- gallon of gasoline over the tax rate applica- amendment SA 2285 proposed by Mr. way safety programs, and transit pro- ble for a gallon of gasohol for such years; INHOFE to the bill S. 1072, to authorize grams, and for other purposes; which plus funds for Federal-aid highways, high- was ordered to lie on the table; as fol- ‘‘(II) an amount equal to the number of way safety programs, and transit pro- lows: gallons of gasohol sold within the State dur- grams, and for other purposes; which Beginning on page 55, strike line 25 and all ing fiscal years 1996 through 2001 multiplied was ordered to lie on the table; as fol- that follows through page 57, line 23, and in- by the amount of the tax rate applicable to lows: sert the following: a gallon of gasohol which is not deposited into the Highway Trust Fund with respect to On page 260, after line 9, insert the fol- ‘‘(c) SPECIAL RULES.— ‘‘(1) MINIMUM COMBINED ALLOCATION.—For each such year. lowing: ‘‘(2) PERCENTAGES.—The percentages re- ‘‘(7) if the project or program involves the each fiscal year, before making the allocations under subsection (a)(1), the Secretary ferred to in paragraph (1)(B)(i) are— purchase of integrated, interoperable emer- ‘‘(A) for fiscal year 2004, 120 percent; gency communications equipment.’’. shall allocate among the States amounts sufficient to ensure that no State receives a ‘‘(B) for fiscal year 2005, 130 percent; combined total of amounts allocated under ‘‘(C) for fiscal year 2006, 134 percent; SA 2519. Mr. MILLER submitted an ‘‘(D) for fiscal year 2007, 137 percent; amendment intended to be proposed to subsection (a)(1), apportionments for the programs specified in subsection (a)(2), and ‘‘(E) for fiscal year 2008, 145 percent; and amendment SA 2285 proposed by Mr. amounts allocated under this subsection, ‘‘(F) for fiscal year 2009, 250 percent.’’. INHOFE to the bill S. 1072, to authorize that is less than 110 percent of the sum of— funds for Federal-aid highways, high- ‘‘(A) the total apportionments of the State SA 2523. Mr. LEAHY submitted an way safety programs, and transit pro- for the fiscal year for the programs specified amendment intended to be proposed to grams, and for other purposes; which in subsection (a)(2); exceeds amendment SA 2285 proposed by Mr. was ordered to lie on the table; as fol- ‘‘(B) the sum of— INHOFE to the bill S. 1072, to authorize lows: ‘‘(i) the percentage of the average, for the funds for Federal-aid highways, high- period of fiscal years 1998 through 2003, of the way safety programs, and transit pro- On page 423, line 14, before ‘‘reliability’’ in- annual apportionments of the State for all sert ‘‘mobile communications,’’. grams, and for other purposes; which programs specified in subsection (b)(2), as was ordered to lie on the table; as fol- specified in paragraph (2); and SA 2520. Mr. MILLER submitted an ‘‘(ii) an amount which is equivalent to— lows: amendment intended to be proposed to ‘‘(I) the amount equal to the number of On page 1310, line 4, insert the following: amendment SA 2285 proposed by Mr. gallons of gasohol sold within the State dur- VERMONT WILDLIFE AND TRANSPORTATION INHOFE to the bill S. 1072, to authorize ing fiscal years 1996 through 2001 multiplied DEMONSTRATION PROJECT.—Under the High- funds for Federal-aid highways, high- by the excess of the tax rate applicable for a ways Safety Improvement Program, there is way safety programs, and transit pro- gallon of gasoline over the tax rate applica- $5,000,000 available to the State of Vermont ble for a gallon of gasohol for such years; to research, design and construct grams, and for other purposes; which connectivity infrastructure to facilitate was ordered to lie on the table; as fol- plus ‘‘(II) an amount equal to the number of wildlife movement and improve transpor- lows: gallons of gasohol sold within the State dur- tation safety at significant wildlife habitat On page 423, line 14, before ‘‘reliability’’ in- ing fiscal years 1996 through 2001 multiplied areas. sert ‘‘mobile communications,’’. by the amount of the tax rate applicable to a gallon of gasohol which is not deposited SA 2524. Mr. LEAHY submitted an SA 2521. Mr. MILLER submitted an into the Highway Trust Fund with respect to amendment intended to be proposed to amendment intended to be proposed by each such year. amendment SA 2285 proposed by Mr.

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Mr. HOLLINGS submitted an On page 1310, line 4, insert the following: until expended. amendment intended to be proposed to WILDLIFE CONNECTORS RESEARCH PRO- ‘‘(B) FEDERAL SHARE.—The Federal share of amendment SA 2285 proposed by Mr. INHOFE GRAM.—Under the Highway Research and the cost of a project or activity carried out to the bill S. 1072, to authorize funds for Fed- Technology Program, $15 million is author- using funds made available under subpara- eral-aid highways, highway safety programs, ized for the Department to work with states graph (A) shall not exceed 100 percent.’’. and transit programs, and for other purposes; to conduct research and data collection to improve the design and placement of which was ordered to lie on the table; as fol- SA 2526. Mr. JOHNSON submitted an lows: connectivity infrastructure to facilitate amendment intended to be proposed to wildlife movement and improve transpor- amendment SA 2285 proposed by Mr. Beginning with line 18 on page 1006, strike tation safety at significant wildlife habitat through lines 20 on page 1009 and insert the areas. INHOFE to the bill S. 1072, to authorize following: funds for Federal-aid highways, high- SUBTITLE F—RAIL TRANSPORTATION SA 2525. Mr. LEAHY submitted an way safety programs, and transit pro- amendment intended to be proposed to grams, and for other purposes; which PART 1—RAILROAD TRACK MODERNIZATION amendment SA 2285 proposed by Mr. was ordered to lie on the table; as fol- SEC. 4601. SHORT MILE. INHOFE to the bill S. 1072, to authorize lows: This part may be cited as the ‘‘Railroad funds for Federal-aid highways, high- On page 619, strike line 1 and all that fol- Track Modernization Act of 2004’’. way safety programs, and transit pro- lows through page 621, line 8, and insert the SEC. 4602. CAPITAL GRANTS FOR RAILROAD grams, and for other purposes; which following: TRACK. was ordered to lie on the table; as fol- ‘‘(1) AUTHORIZATION.—The Secretary may (a) AUTHORITY.—Chapter 223 of title 49, award grants to a State for capital public United States Code, is amended to read as lows: transportation projects that are planned, de- follows: On page 288, between lines 2 and 3, insert signed, and carried out to meet the needs of the following: ‘‘CHAPTER 223—CAPITAL GRANTS FOR elderly individuals and individuals with dis- RAILROAD TRACK SEC. 1622. AIR QUALITY PLANNING INITIATIVE. abilities, and for operating costs of equip- Section 104 of title 23, United States Code ment and facilities for use in such projects, ‘‘Sec. 22301. Capital grants for railroad track. (as amended by section 1607(b)), is amended with priority given to the needs of these in- ‘‘§ 22301. Capital grants for railroad track by adding at the end the following: dividuals to access necessary health care. ‘‘(a) ESTABLISHMENT OF PROGRAM.—‘‘(1) ES- ‘‘(o) AIR QUALITY PLANNING INITIATIVE.— ‘‘(2) ACQUISITION OF PUBLIC TRANSPORTATION TABLISHMENT.—The Secretary of Transpor- ‘‘(1) IN GENERAL.—The Secretary, in co- SERVICES.—A capital public transportation tation shall establish a program of capital operation with the Administrator of the En- project under this section may include ac- grants for the rehabilitation, preservation, vironmental Protection Agency, shall estab- quiring public transportation services as an or improvement of railroads. Such grants lish an air quality planning initiative to sup- eligible capital expense. shall be for rail transportation and ensuring port State and local governments, or groups ‘‘(3) ADMINISTRATIVE COSTS.—A State may that track can be operated safely and effi- of such governments organized to protect air use not more than 15 percent of the amounts ciently, including grants for rehabilitating, quality in a specific region, in— received under this section to administer, preserving, or improving track. Grants may ‘‘(A) developing the technical capacity to plan, and provide technical assistance for a be provided under this chapter to a State or perform transportation air quality con- project funded under this section. a group of States for, or in connection with, formity analysis, including carbon monoxide ‘‘(b) ALLOTMENTS AMONG STATES.— 1 or more rail capital projects that— and particulate matter hot spot analysis; ‘‘(1) IN GENERAL.—From amounts made ‘‘(A) in accordance with section 634(a)(5) of ‘‘(B) providing training in areas such as available or appropriated in each fiscal year this title, are listed in a State rail plan ap- modeling, monitoring, and data collection under subsections (a)(1)(C)(iv) and (b)(2)(D) of proved for such State under chapter 225 of and synthesis to support air quality planning section 5338 for grants under this section, the this title; and and analysis; Secretary shall allot amounts to each State ‘‘(B) as determined by the Secretary, would ‘‘(C) developing materials and systems to under a formula based on the number of el- primarily benefit intercity passenger rail in- convey air quality information to decision- derly individuals and individuals with dis- frastructure or services or freight rail trans- makers and the public; abilities in each State. portation infrastructure or services and pro- ‘‘(D) enhancing mobile source monitoring ‘‘(2) TRANSFER OF FUNDS.—Any funds allot- vide significant public benefits. and emission inventorying capabilities; and ted to a State under paragraph (1) may be ‘‘(2) REGULATIONS.— ‘‘(E) carrying out other activities nec- transferred by the State to the apportion- essary to assist State, regional, and local ments made under sections 5311(c) and 5336 if ‘‘(A) IN GENERAL.—The Secretary shall pre- governments in achieving the national ambi- such funds are only used for eligible projects scribe regulations to carry out the program ent air quality standards. selected under this section. under this section. ‘‘(B) CRITERIA.—In developing the regula- ‘‘(2) USE OF FUNDS.— ‘‘(3) REALLOCATION OF FUNDS.—A State re- ‘‘(A) IN GENERAL.—Funds authorized to be ceiving a grant under this section may re- tions, the Secretary shall establish criteria appropriated to carry out this subsection allocate such grant funds to— that— may be used for activities and purposes con- ‘‘(A) a private nonprofit organization; ‘‘(i) condition the award of a grant on rea- sistent with paragraph (1), such as— ‘‘(B) a public transportation agency or au- sonable assurances that the facilities to be ‘‘(i) research; thority; or rehabilitated and improved will be economi- ‘‘(ii) program and computer systems devel- ‘‘(C) a governmental authority that— cally and efficiently utilized; opment; ‘‘(i) has been approved by the State to co- ‘‘(ii) ensure that the award of a grant is ‘‘(iii) information collection and dissemi- ordinate services for elderly individuals and justified by present and probable future de- nation; individuals with disabilities; mand for rail services; and ‘‘(iv) technical assistance; and ‘‘(ii) certifies that nonprofit organizations ‘‘(iii) ensure that projects are part of a ‘‘(v) training. are not readily available in the area that can State rail plan. ‘‘(B) COOPERATION.—To carry out this sub- provide the services described under this sub- ‘‘(C) GRANT ALLOCATIONS.—Of the total section, the Secretary may, with the concur- section; or amount made available for the program, 50 rence of the Administrator of the Environ- ‘‘(iii) will provide services to persons with percent shall be awarded on a discretionary mental Protection Agency— disabilities that exceed those services re- basis for passenger rail projects, and the re- ‘‘(i) use funds under this section independ- quired by the Americans with Disabilities maining 50 percent shall be apportioned to ently; or Act. States to fund freight rail projects in accord- ‘‘(ii) make grants to enter into contracts ‘‘(c) FEDERAL SHARE.— ance with a formula prescribed by the Sec- or cooperative agreements with— ‘‘(1) MAXIMUM.— retary to weigh equally for each State— ‘‘(I) Federal, State, and local agencies; ‘‘(A) IN GENERAL.—A grant for a capital ‘‘(i) the number of rail miles in active use ‘‘(II) federally-recognized Indian tribal project under this section may not exceed 80 in the State; governments and tribal consortia; percent of the net capital costs of the ‘‘(ii) the number of rail cars loaded in the ‘‘(III) associations of State or local govern- project, as determined by the Secretary. State; ments; and ‘‘(B) OPERATING COSTS.—Grant funds for op- ‘‘(iii) the number of rail cars unloaded in ‘‘(IV) nonprofit organizations, research in- erating costs under this section may not ex- the State; and stitutions, or institutions of higher edu- ceed 50 percent of the net operating costs of ‘‘(iv) the number of railroad and public cation. the project, as determined by the Secretary. road grade crossings in the State.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00213 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1170 CONGRESSIONAL RECORD — SENATE February 11, 2004

‘‘(b) FEDERAL SHARE.—The Federal share ‘‘(7) A review of major passenger and ‘‘(2) PUBLIC BENEFIT.—The term ‘public for carrying out a project under this section freight intermodal rail connections and fa- benefit’— shall be 80 percent of the project cost. The cilities within the State, including seaports. ‘‘(A) means a benefit accrued to the public non-Federal share may be provided by any ‘‘(8) A statement that the State is in com- in the form of enhanced mobility of people or non-Federal source in cash, equipment, or pliance with the requirements of section goods, environmental protection or enhance- supplies. Other in-kind contributions may be 22102. ment, congestion mitigation, enhanced trade approved by the Secretary on a case by case ‘‘(b) LONG-RANGE SERVICE AND INVESTMENT and economic development, improved air basis consistent with this chapter. PROGRAM.— quality or land use, more efficient energy ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(1) PROGRAM CONTENT.—A long-range rail use, enhanced public safety or security, re- Notwithstanding section 4635, there are au- investment program included in a State rail duction of public expenditures due to im- thorized to be appropriated to the Secretary plan under subsection (a)(5) shall include the proved transportation efficiency or infra- of Transportation $2,000,000,000 for each of following matters: structure preservation, and any other posi- the fiscal years 2005, 2006, 2007, 2008, 2009, 2010 ‘‘(A) Two lists for rail capital projects, 1 tive community effects as defined by the to carry out this section. for freight rail capital projects and 1 for Secretary; and ‘‘§ 22302. State rail plans intercity passenger rail capital projects. ‘‘(B) shall be determined on a project-by- ‘‘(B) A detailed funding plan for the project basis, based upon an agreement be- ‘‘(a) IN GENERAL.—Each State may prepare projects. tween the parties.’’. and maintain a State rail plan in accordance ‘‘(2) PROJECT LIST CONTENT.—The list of SEC. 4603. STANDARDS AND CONDITIONS. with the provisions of this chapter. freight and intercity passenger rail capital ‘‘(b) REQUIREMENTS.—For the preparation (a) OPERATORS DEEMED RAIL CARRIERS AND projects shall contain— EMPLOYERS FOR CERTAIN PURPOSES.—A per- and periodic revision of a State rail plan, a ‘‘(A) a description of the anticipated public State shall son that conducts rail operations over rail and private benefits of each such project; and infrastructure constructed or improved with ‘‘(1) establish or designate a State rail ‘‘(B) a statement of the correlation be- transportation authority to prepare, main- funding provided in whole or in part in a tween— grant made under this title— tain, coordinate, and administer the plan; ‘‘(i) public funding contributions for the ‘‘(2) establish or designate a State rail plan (1) shall be considered an employer for pur- projects; and poses of the Railroad Retirement Act of 1974 approval authority to approve the plan; ‘‘(ii) the public benefits. (45 U.S.C. 231 et seq.); and ‘‘(3) submit the State’s approved plan to ‘‘(3) CONSIDERATIONS FOR PROJECT LIST.—In (2) shall be considered a carrier for pur- the Secretary of Transportation for review; preparing the list of freight and intercity poses of the Railway Labor Act (43 U.S.C. 151 and passenger rail capital projects, a State rail et seq.). ‘‘(4) revise and resubmit a State-approved transportation authority shall take into con- plan no less frequently than once every 5 sideration the following matters: SEC. 4604. GRANT PROGRAM FUNDING. years for re-approval by the Secretary. ‘‘(A) Contributions made by non-Federal (a) IN GENERAL.—Section 250(c)(4) of the ‘‘§ 22303. Purposes and non-State sources through user fees, Balanced Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 900(c)(4)) is ‘‘(a) PURPOSES.—The purposes of a State matching funds, or other private capital in- rail plan are as follows: volvement. amended by adding at the end the following: ‘‘(1) To set forth State policy involving ‘‘(B) Rail capacity and congestion effects. ‘‘(D) RAIL INFRASTRUCTURE CATEGORY.—The freight and passenger rail transportation, in- ‘‘(C) Effects to highway, aviation, and mar- term ‘rail infrastructure category’ means cluding commuter rail operations, in the itime capacity, congestion, or safety. discretionary appropriations to the Sec- State. ‘‘(D) Regional balance. retary of Transportation for the provision of ‘‘(2) To establish the period covered by the ‘‘(E) Environmental impact. . grants to States for railroad infrastructure State rail plan. ‘‘(F) Economic and employment impacts. investment activities subject to the obliga- ‘‘(3) To present priorities and strategies to ‘‘(G) Projected ridership and other service tion limitations on contract authority pro- enhance rail service in the State that bene- measures for passenger rail projects. vided under division B of the Safe, Account- fits the public. ‘‘(c) Waiver.—The Secretary may waive able, Flexible, and Efficient Transportation ‘‘(4) To serve as the basis for Federal and any requirement of subsection (a) upon ap- Equity Act of 2004 or for which appropria- State rail investments within the State. plication under circumstances that the Sec- tions are provided in accordance with au- ‘‘(b) COORDINATION.—A State rail plan shall retary determines appropriate. thorizations contained in that division.’’. be coordinated with other State transpor- ‘‘22306. Approval (b) BUDGET AUTHORITY; OUTLAYS.—For purposes of section 251(c) of the Balanced Budg- tation planning goals and programs and set ‘‘(a) CRITERIA.—The Secretary may ap- et and Emergency Deficit Control Act of 1985 forth rail transportation’s role within the prove a State rail plan for the purposes of (2 U.S.C. 901(b)): State transportation system. A State shall this chapter if (1) BUDGET AUTHORITY.—The budget au- provide adequate and reasonable notice and ‘‘(1) the plan meets all of the requirements thority for the rail infrastructure category opportunity for comment and other input to applicable to State plans under this chapter; shall be— the public, rail carriers, commuter and tran- ‘‘(2) for each ready-to-commence project (A) $300,000,000 for fiscal year 2005; sit authorities operating in, or affected by listed on the ranked list of freight and inter- (B) $600,000,000 for fiscal year 2006; rail operations within the State, units of city passenger rail capital projects under the (C) $900,000,000 for fiscal year 2007; local government, and other interested par- plan— (D) $1,200,000,000 for fiscal year 2008; ties in the preparation and review of its ‘‘(A) the project meets all safety and envi- (E) $1,500,000,000 for fiscal year 2009; and State rail plan. ronmental requirements including those pre- (F) $1,500,000,000 for fiscal year 2010. scribed under the National Environmental ‘‘§ 22304. Content (2) OUTLAYS.—The level of outlays for the Policy Act of 1969 (42 U.S.C. 4331 et seq.) that ‘‘(a) IN GENERAL.—Each State rail plan rail infrastructure category is— shall contain the following: are applicable to the project under law; and ‘‘(B) the State has entered into an agree- (A) $60,000,000 for fiscal year 2005; ‘‘(1) An inventory of the existing overall (B) $180,000,000 for fiscal year 2006; rail transportation system and rail services ment with any owner of rail infrastructure or right of way directly affected by the (C) $360,000,000 for fiscal year 2007; and facilities within the State and an anal- (D) $480,000,000 for fiscal year 2008; ysis of the role of rail transportation within project that provides for the State to proceed with the project; and (E) $900,000,000 for fiscal year 2009; and the State’s surface transportation system. (F) $1,140,000,000 for fiscal year 2010. ‘‘(2) A comprehensive review of all rail ‘‘(3) the content of the plan is coordinated with State transportation plans developed (c) APPLICABLE PERCENT.—From funds ap- lines within the State, including proposed propriated to carry out the grant programs high speed rail corridors and significant rail pursuant to the requirements of section 135 of title 23. authorized by sections 651 and 652, the Sec- line segments not currently in service. retary of Transportation shall reserve— ‘‘(3) A general analysis of rail’s transpor- § Definitions (1) 50 percent for the intercity passenger tation, economic, and environmental im- In this chapter: rail development grant program under sec- pacts in the State, including congestion ‘‘(1) PRIVATE BENEFIT.—-The term ‘private tion 651; and mitigation, trade and economic develop- benefit’— (2) 50 percent for the freight infrastructure ment, air quality, land-use, energy-use, and ‘‘(A) means a benefit accrued to a person or development grant program under section community impacts. private entity, other than the National Rail- 652. ‘‘(4) A long-range rail investment program road Passenger Corporation, that directly for current and future freight and passenger improves the economic and competitive con- SA 2528. Mr. HOLLINGS submitted infrastructure in the State that meets the dition of that person or entity through im- an amendment intended to be proposed requirements of subsection (b). proved assets, cost reductions, service im- to amendment SA 2285 proposed by Mr. ‘‘(5) A statement of public financing issues provements, or any other means as defined for rail projects in the State. by the Secretary; and INHOFE to the bill S. 1072, to authorize ‘‘(6) An identification of rail infrastructure ‘‘(B) shall be determined on a project-by- funds for Federal-aid highways, high- issues within the State that reflects con- project basis, based upon an agreement be- way safety programs, and transit pro- sultation with all relevant stake holders. tween the parties. grams, and for other purposes; which

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00214 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1171 was ordered to lie on the table; as fol- of Transportation $2,000,000,000 for each of ‘‘(A) Two lists for rail capital projects, 1 lows: the fiscal years 2005, 2006, 2007, 2008, 2009, 2010 for freight rail capital projects and 1 for to carry out this section. intercity passenger rail capital projects. Beginning with line 18 on page 1006, strike ‘‘§ 22302. State rail plans ‘‘(B) A detailed funding plan for the through lines 20 on page 1009 and insert the projects. ‘‘(a) IN GENERAL.—Each State may prepare following: ‘‘(2) PROJECT LIST CONTENT.—The list of Subtitle F—Rail Transportation and maintain a State rail plan in accordance freight and intercity passenger rail capital with the provisions of this chapter. PART 1—RAILROAD TRACK MODERNIZATION projects shall contain— ‘‘(b) REQUIREMENTS.—For the preparation ‘‘(A) a description of the anticipated public SEC. 4601. SHORT TITLE. and periodic revision of a State rail plan, a and private benefits of each such project; and This part may be cited as the ‘‘Railroad State shall— ‘‘(B) a statement of the correlation be- Track Modernization Act of 2004’’. ‘‘(1) establish or designate a State rail tween— SEC. 4602. CAPITAL GRANTS FOR RAILROAD transportation authority to prepare, main- ‘‘(i) public funding contributions for the TRACK. tain, coordinate, and administer the plan; projects; and (a) AUTHORITY.—Chapter 223 of title 49, ‘‘(2) establish or designate a State rail plan ‘‘(ii) the public benefits. United States Code, is amended to read as approval authority to approve the plan; ‘‘(3) CONSIDERATIONS FOR PROJECT LIST.—In follows: ‘‘(3) submit the State’s approved plan to preparing the list of freight and intercity the Secretary of Transportation for review; ‘‘CHAPTER 223—CAPITAL GRANTS FOR passenger rail capital projects, a State rail and RAILROAD TRACK transportation authority shall take into con- ‘‘(4) revise and resubmit a State-approved sideration the following matters: ‘‘Sec. plan no less frequently than once every 5 ‘‘(A) Contributions made by non-Federal ‘‘22301. Capital grants for railroad track. years for reapproval by the Secretary. and non-State sources through user fees, ‘‘§ 22301. Capital grants for railroad track ‘‘§ 22303. Purposes matching funds, or other private capital in- ‘‘(a) ESTABLISHMENT OF PROGRAM.— ‘‘(a) PURPOSES.—The purposes of a State volvement. ‘‘(B) Rail capacity and congestion effects. ‘‘(1) ESTABLISHMENT.—The Secretary of rail plan are as follows: ‘‘(C) Effects to highway, aviation, and mar- Transportation shall establish a program of ‘‘(1) To set forth State policy involving itime capacity, congestion, or safety. capital grants for the rehabilitation, preser- freight and passenger rail transportation, in- vation, or improvement of railroads. Such ‘‘(D) Regional balance. cluding commuter rail operations, in the ‘‘(E) Environmental impact. grants shall be for rail transportation and State. ‘‘(F) Economic and employment impacts. ensuring that track can be operated safely ‘‘(2) To establish the period covered by the ‘‘(G) Projected ridership and other service and efficiently, including grants for rehabili- State rail plan. measures for passenger rail projects. tating, preserving, or improving track. ‘‘(3) To present priorities and strategies to ‘‘(c) WAIVER.—The Secretary may waive Grants may be provided under this chapter enhance rail service in the State that bene- any requirement of subsection (a) upon ap- to a State or a group of States for, or in con- fits the public. plication under circumstances that the Sec- nection with, 1 or more rail capital projects ‘‘(4) To serve as the basis for Federal and retary determines appropriate. that— State rail investments within the State. ‘‘§ 22306. Approval ‘‘(A) in accordance with section 634(a)(5) of ‘‘(b) COORDINATION.—A State rail plan shall ‘‘(a) CRITERIA.—The Secretary may ap- this title, are listed in a State rail plan ap- be coordinated with other State transpor- prove a State rail plan for the purposes of proved for such State under chapter 225 of tation planning goals and programs and set this chapter if— this title; and forth rail transportation’s role within the ‘‘(1) the plan meets all of the requirements ‘‘(B) as determined by the Secretary, would State transportation system. A State shall applicable to State plans under this chapter; primarily benefit intercity passenger rail in- provide adequate and reasonable notice and ‘‘(2) for each ready-to-commence project frastructure or services or freight rail trans- opportunity for comment and other input to listed on the ranked list of freight and inter- portation infrastructure or services and pro- the public, rail carriers, commuter and tran- city passenger rail capital projects under the vide significant public benefits. sit authorities operating in, or affected by plan ‘‘(2) REGULATIONS.— rail operations within the State, units of ‘‘(A) the project meets all safety and envi- ‘‘(A) IN GENERAL.—The Secretary shall pre- local government, and other interested par- ronmental requirements including those prescribe regulations to carry out the program ties in the preparation and review of its scribed under the National Environmental under this section. State rail plan. Policy Act of 1969 (42 U.S.C. 4331 et seq.) that ‘‘(B) CRITERIA.—In developing the regula- ‘‘§ 22304. Content are applicable to the project under law; and tions, the Secretary shall establish criteria ‘‘(a) IN GENERAL.—Each State rail plan ‘‘(B) the State has entered into an agree- that— shall contain the following: ment with any owner of rail infrastructure ‘‘(i) condition the award of a grant on rea- ‘‘(1) An inventory of the existing overall or right of way directly affected by the sonable assurances that the facilities to be rail transportation system and rail services project that provides for the State to pro- rehabilitated and improved will be economi- and facilities within the State and an anal- ceed with the project; and cally and efficiently utilized; ysis of the role of rail transportation within ‘‘(3) the content of the plan is coordinated ‘‘(ii) ensure that the award of a grant is the State’s surface transportation system. with State transportation plans developed justified by present and probable future de- ‘‘(2) A comprehensive review of all rail pursuant to the requirements of section 135 mand for rail services; and lines within the State, including proposed of title 23. ‘‘(iii) ensure that projects are part of a high speed rail corridors and significant rail ‘‘§ Definitions State rail plan. line segments not currently in service. ‘‘In this chapter: ‘‘(C) GRANT ALLOCATIONS.—Of the total ‘‘(3) A general analysis of rail’s transpor- ‘‘(1) PRIVATE BENEFIT.—The term ‘private amount made available for the program, 50 tation, economic, and environmental im- benefit’— percent shall be awarded on a discretionary pacts in the State, including congestion ‘‘(A) means a benefit accrued to a person or basis for passenger rail projects, and the re- mitigation, trade and economic develop- private entity, other than the National Rail- maining 50 percent shall be apportioned to ment, air quality, land-use, energy-use, and road Passenger Corporation, that directly States to fund freight rail projects in accord- community impacts. improves the economic and competitive con- ance with a formula prescribed by the Sec- ‘‘(4) A long-range rail investment program dition of that person or entity through im- retary to weigh equally for each State— for current and future freight and passenger proved assets, cost reductions, service im- ‘‘(i) the number of rail miles in active use infrastructure in the State that meets the provements, or any other means as defined in the State; requirements of subsection (b). by the Secretary; and ‘‘(ii) the number of rail cars loaded in the ‘‘(5) A statement of public financing issues ‘‘(B) shall be determined on a project-by- State; for rail projects in the State. project basis, based upon an agreement be- ‘‘(iii) the number of rail cars unloaded in ‘‘(6) An identification of rail infrastructure tween the parties. the State; and issues within the State that reflects con- ‘‘(2) PUBLIC BENEFIT.—The term ‘public ‘‘(iv) the number of railroad and public sultation with all relevant stake holders. benefit’— road grade crossings in the State. ‘‘(7) A review of major passenger and ‘‘(A) means a benefit accrued to the public ‘‘(b) FEDERAL SHARE.—The Federal share freight intermodal rail connections and fa- in the form of enhanced mobility of people or for carrying out a project under this section cilities within the State, including seaports. goods, environmental protection or enhance- shall be 80 percent of the project cost. The ‘‘(8) A statement that the State is in comment, congestion mitigation, enhanced trade non-Federal share may be provided by any pliance with the requirements of section and economic development, improved air non-Federal source in cash, equipment, or 22102. quality or land use, more efficient energy supplies. Other in-kind contributions may be ‘‘(b) LONG-RANGE SERVICE AND INVESTMENT use, enhanced public safety or security, re- approved by the Secretary on a case by case PROGRAM.— duction of public expenditures due to im- basis consistent with this chapter. ‘‘(1) PROGRAM CONTENT.—A long-range rail proved transportation efficiency or infra- ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— investment program included in a State rail structure preservation, and any other posi- Notwithstanding section 4635, there are au- plan under subsection (a)(5) shall include the tive community effects as defined by the thorized to be appropriated to the Secretary following matters: Secretary; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00215 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1172 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(B) shall be determined on a project-by- percent shall be awarded on a discretionary pacts in the State, including congestion project basis, based upon an agreement be- basis for passenger rail projects, and the re- mitigation, trade and economic develop- tween the parties.’’. maining 50 percent shall be apportioned to ment, air quality, land-use, energy-use, and SEC. 4603. STANDARDS AND CONDITIONS. States to fund freight rail projects in accord- community impacts. (a) OPERATORS DEEMED RAIL CARRIERS AND ance with a formula prescribed by the Sec- ‘‘(4) A long-range rail investment program EMPLOYERS FOR CERTAIN PURPOSES.—A per- retary to weigh equally for each State— for current and future freight and passenger son that conducts rail operations over rail ‘‘(i) the number of rail miles in active use infrastructure in the State that meets the infrastructure constructed or improved with in the State; requirements of subsection (b). funding provided in whole or in part in a ‘‘(ii) the number of rail cars loaded in the ‘‘(5) A statement of public financing issues grant made under this title— State; for rail projects in the State. (1) shall be considered an employer for pur- ‘‘(iii) the number of rail cars unloaded in ‘‘(6) An identification of rail infrastructure poses of the Railroad Retirement Act of 1974 the State; and issues within the State that reflects con- (45 U.S.C. 231 et seq.); and ‘‘(iv) the number of railroad and public sultation with all relevant stake holders. (2) shall be considered a carrier for pur- road grade crossings in the State. ‘‘(7) A review of major passenger and ‘‘(b) FEDERAL SHARE.—The Federal share poses of the Railway Labor Act (43 U.S.C. 151 freight intermodal rail connections and fa- for carrying out a project under this section et seq.). cilities within the State, including seaports. shall be 80 percent of the project cost. The ‘‘(8) A statement that the State is in com- SA 2529. Mr. HOLLINGS submitted non-Federal share may be provided by any pliance with the requirements of section non-Federal source in cash, equipment, or an amendment intended to be proposed 22102. supplies. Other in-kind contributions may be ‘‘(b) LONG-RANGE SERVICE AND INVESTMENT to amendment SA 2285 proposed by Mr. approved by the Secretary on a case by case PROGRAM.— INHOFE to the bill S. 1072, to authorize basis consistent with this chapter. ‘‘(1) PROGRAM CONTENT.—A long-range rail funds for Federal-aid highways, high- ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— investment program included in a State rail way safety programs, and transit pro- Notwithstanding section 4635, there are au- plan under subsection (a)(5) shall include the grams, and for other purposes; which thorized to be appropriated to the Secretary following matters: was ordered to lie on the table; as fol- of Transportation $2,000,000,000 for each of ‘‘(A) Two lists for rail capital projects, 1 lows: the fiscal years 2005, 2006, 2007, 2008, 2009, 2010 for freight rail capital projects and 1 for to carry out this section. intercity passenger rail capital projects. Beginning with line 18 on page 1006, strike ‘‘§ 22302. State rail plans ‘‘(B) A detailed funding plan for the through lines 20 on page 1009 and insert the projects. following: ‘‘(a) IN GENERAL.—Each State may prepare and maintain a State rail plan in accordance ‘‘(2) PROJECT LIST CONTENT.—The list of SUBTITLE F—RAIL TRANSPORTATION with the provisions of this chapter. freight and intercity passenger rail capital PART 1—RAILROAD TRACK MODERNIZATION ‘‘(b) REQUIREMENTS.—For the preparation projects shall contain— ‘‘(A) a description of the anticipated public SEC. 4601. SHORT TITLE. and periodic revision of a State rail plan, a State shall— and private benefits of each such project; and This part may be cited as the ‘‘Railroad ‘‘(B) a statement of the correlation be- Track Modernization Act of 2004’’. ‘‘(1) establish or designate a State rail transportation authority to prepare, main- tween— SEC. 4602. CAPITAL GRANTS FOR RAILROAD ‘‘(1) public funding contributions for the TRACK. tain, coordinate, and administer the plan; ‘‘(2) establish or designate a State rail plan projects; and (a) AUTHORITY.—Chapter 223 of title 49, ‘‘(ii) the public benefits. United States Code, is amended to read as approval authority to approve the plan; ‘‘(3) submit the State’s approved plan to ‘‘(3) CONSIDERATIONS FOR PROJECT LIST.—In follows: the Secretary of Transportation for review; preparing the list of freight and intercity ‘‘CHAPTER 223—CAPITAL GRANTS FOR and passenger rail capital projects, a State rail RAILROAD TRACK ‘‘(4) revise and resubmit a State-approved transportation authority shall take into con- ‘‘Sec. plan no less frequently than once every 5 sideration the following matters: ‘‘22301. Capital grants for railroad track. years for reapproval by the Secretary. ‘‘(A) Contributions made by non-Federal and non-State sources through user fees, ‘‘§ 22301. Capital grants for railroad track ‘‘§ 22303. Purposes matching funds, or other private capital in- ‘‘(a) ESTABLISHMENT OF PROGRAM.— ‘‘(a) PURPOSES.—The purposes of a State volvement. ‘‘(1) ESTABLISHMENT.—The Secretary of rail plan are as follows: ‘‘(B) Rail capacity and congestion effects. Transportation shall establish a program of ‘‘(1) To set forth State policy involving ‘‘(C) Effects to highway, aviation, and mar- capital grants for the rehabilitation, preser- freight and passenger rail transportation, in- itime capacity, congestion, or safety. vation, or improvement of railroads. Such cluding commuter rail operations, in the ‘‘(D) Regional balance. grants shall be for rail transportation and State. ‘‘(E) Environmental impact. ensuring that track can be operated safely ‘‘(2) To establish the period covered by the ‘‘(F) Economic and employment impacts. and efficiently, including grants for rehabili- State rail plan. ‘‘(G) Projected ridership and other service tating, preserving, or improving track. ‘‘(3) To present priorities and strategies to measures for passenger rail projects. Grants may be provided under this chapter enhance rail service in the State that bene- ‘‘(c) WAIVER.—The Secretary may waive to a State or a group of States for, or in con- fits the public. any requirement of subsection (a) upon ap- nection with, 1 or more rail capital projects ‘‘(4) To serve as the basis for Federal and plication under circumstances that the Sec- that— State rail investments within the State. retary determines appropriate. ‘‘(b) COORDINATION.—A State rail plan shall ‘‘(A) in accordance with section 634(a)(5) of ‘‘§ 22306. Approval this title, are listed in a State rail plan ap- be coordinated with other State transpor- proved for such State under chapter 225 of tation planning goals and programs and set ‘‘(a) CRITERIA.—The Secretary may ap- this title; and forth rail transportation’s role within the prove a State rail plan for the purposes of ‘‘(B) as determined by the Secretary, would State transportation system. A State shall this chapter if— ‘‘(1) the plan meets all of the requirements primarily benefit intercity passenger rail in- provide adequate and reasonable notice and applicable to State plans under this chapter; frastructure or services or freight rail trans- opportunity for comment and other input to ‘‘(2) for each ready-to-commence project portation infrastructure or services and pro- the public, rail carriers, commuter and tran- listed on the ranked list of freight and inter- vide significant public benefits. sit authorities operating in, or affected by city passenger rail capital projects under the ‘‘(2) REGULATIONS.— rail operations within the State, units of plan— ‘‘(A) IN GENERAL.—The Secretary shall pre- local government, and other interested par- ‘‘(A) the project meets all safety and envi- scribe regulations to carry out the program ties in the preparation and review of its ronmental requirements including those pre- under this section. State rail plan. scribed under the National Environmental ‘‘(B) CRITERIA.—In developing the regula- ‘‘§ 22304. Content Policy Act of 1969 (42 U.S.C. 4331 et seq.) that tions, the Secretary shall establish criteria ‘‘(a) IN GENERAL.—Each State rail plan are applicable to the project under law; and that— shall contain the following: ‘‘(B) the State has entered into an agree- ‘‘(i) condition the award of a grant on rea- ‘‘(1) An inventory of the existing overall ment with any owner of rail infrastructure sonable assurances that the facilities to be rail transportation system and rail services or right of way directly affected by the rehabilitated and improved will be economi- and facilities within the State and an anal- project that provides for the State to pro- cally and efficiently utilized; ysis of the role of rail transportation within ceed with the project; and ‘‘(ii) ensure that the award of a grant is the State’s surface transportation system. ‘‘(3) the content of the plan is coordinated justified by present and probable future de- ‘‘(2) A comprehensive review of all rail with State transportation plans developed mand for rail services; and lines within the State, including proposed pursuant to the requirements of section 135 ‘‘(iii) ensure that projects are part of a high speed rail corridors and significant rail of title 23. State rail plan. line segments not currently in service. ‘‘(C) GRANT ALLOCATIONS.—Of the total ‘‘(3) A general analysis of rail’s transpor- ‘‘§ Definitions amount made available for the program, 50 tation, economic, and environmental im- In this chapter:

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‘‘(1) PRIVATE BENEFIT.—The term ‘private (2) 50 percent for the freight infrastructure to the National Railroad Passenger Corpora- benefit’— development grant program under section tion under section 502 of the Railroad Revi- ‘‘(A) means a benefit accrued to a person or 652. talization and Regulatory Reform Act of 1976 private entity, other than the National Rail- SEC. 4605. EXTENSION OF CUSTOMS USER FEES. (45 U.S.C. 822). There are authorized to be ap- road Passenger Corporation, that directly Section 13031(j)(3) of the Consolidated Om- propriated to the Secretary for fiscal year improves the economic and competitive con- nibus Budget Reconciliation Act of 1985 (19 2005 $100,000,000 for the purpose of repaying dition of that person or entity through im- U.S.C. 58c(j)(3)) is amended by striking that loan to the Secretary of the Treasury. proved assets, cost reductions, service im- ‘‘March 31, 2004,’’ and inserting ‘‘March 31, The Secretary of Transportation shall waive provements, or any other means as defined 2014,’’. any conditions imposed under the loan. by the Secretary; and (b) CERTAIN CONDITIONS WAIVED.—Section ‘‘(B) shall be determined on a project-by- SA 2530. Mr. HOLLINGS submitted 151 of the Transportation, Treasury, and project basis, based upon an agreement bean amendment intended to be proposed Independent Agencies Appropriations Act, tween the parties. 2004, is repealed. ‘‘(2) PUBLIC BENEFIT.—The term ‘public by him to the bill S. 1072, to authorize (c) FEDERAL RAILROAD ADMINISTRATION.— benefit’— funds for Federal-aid highways, high- (1) IN GENERAL.—Section 11123 is amended— ‘‘(A) means a benefit accrued to the public way safety programs, and transit pro- (A) by striking ‘‘failure of existing com- in the form of enhanced mobility of people or grams, and for other purposes; which muter rail passenger transportation oper- goods, environmental protection or enhance- was ordered to lie on the table; as fol- ations caused by a cessation of service by the ment, congestion mitigation, enhanced trade lows: National Railroad Passenger Corporation,’’ and economic development, improved air in subsection (a); quality or land use, more efficient energy Strike section 601 and add the following (B) by inserting ‘‘or’’ after the semicolon use, enhanced public safety or security, re- after section 662: in subsection (a)(3); duction of public expenditures due to im- SUBTITLE D—AMTRAK AUTHORIZATIONS (C) by striking ‘‘permits; or’’ in subsection proved transportation efficiency or infra- SEC. 681. NATIONAL RAILROAD PASSENGER (a)(4) and inserting ‘‘permits.’’; structure preservation, and any other posi- TRANSPORTATION SYSTEM DE- (D) by striking paragraph (5) of subsection tive community effects as defined by the FINED. (a); Secretary; and (a) IN GENERAL.—Section 24102 is amend- (E) by striking ‘‘(A) Except as provided in ‘‘(B) shall be determined on a project-by- ed— subparagraph (B), when’’ in subsection (b)(3) project basis, based upon an agreement be- (1) by striking paragraph (2); and inserting ‘‘When’’; tween the parties.’’. (2) by redesignating paragraphs (3), (4), and (F) by striking subparagraph (B) of sub section (b)(3); SEC. 4603. STANDARDS AND CONDITIONS. (5) as paragraphs (2), (3), and (4), respec- (G) by striking paragraph (4) of subsection (a) OPERATORS DEEMED RAIL CARRIERS AND tively; and (3) by inserting after paragraph (4) as so re- (c); and EMPLOYERS FOR CERTAIN PURPOSES.—A per- (H) by striking subsections (e) and (f). son that conducts rail operations over rail designated the following: (2) Section 24301(c) is amended by striking ‘‘(5) ‘national rail passenger transportation infrastructure constructed or improved with ‘‘11123,’’. funding provided in whole or in part in a system’ means— ‘‘(A) the segment of the Northeast Corridor SEC. 683. RESTRUCTURING OF LONG-TERM DEBT grant made under this title— AND CAPITAL LEASES. between Boston, Massachusetts and Wash- (1) shall be considered an employer for pur- (a) IN GENERAL.—The Secretary of the poses of the Railroad Retirement Act of 1974 ington, D.C.; Treasury shall work with the Secretary of ‘‘(B) rail corridors that have been des- (45 U.S.C. 231 et seq.); and Transportation and Amtrak to restructure ignated by the Secretary of Transportation (2) shall be considered a carrier for pur- Amtrak’s indebtedness as of the date of en- as high-speed corridors, but only after they poses of the Railway Labor Act (43 U.S.C. 151 actment of this Act. et seq.). have been improved to permit operation of (b) NEW DEBT PROHIBITION.—Except as ap- SEC. 4604. GRANT PROGRAM FUNDING. high-speed service; proved by the Secretary of Transportation, (a) IN GENERAL.—Section 250(c)(4) of the ‘‘(C) long-distance routes of more than 750 Amtrak may not enter into any obligation Balanced Budget and Emergency Deficit miles between endpoints operated by Amtrak secured by assets of the Corporation after Control Act of 1985 (2 U.S.C. 900(c)(4)) is as of the date of enactment of the Safe, Ac- the date of enactment of this Act. This sec- amended by adding at the end the following: countable, Flexible, and Efficient Transpor- tion does not prohibit unsecured lines of ‘‘(D) RAIL INFRASTRUCTURE CATEGORY.— tation Equity Act of 2004; and credit used by Amtrak or any subsidiary for The term ‘rail infrastructure category’ ‘‘(D) short-distance corridors or routes op- working capital purposes. means discretionary appropriations to the erated by Amtrak.’’. (c) DEBT REDEMPTION.—The Secretary of Secretary of Transportation for the provi- (b) AMTRAK ROUTES WITH STATE FUNDING.— Transportation, in consultation with the sion of grants to States for railroad infra- (1) IN GENERAL.—Chapter 247 is amended by Secretary of the Treasury, shall enter into structure investment activities subject to inserting after section 24701 the following: negotiations with the holders of Amtrak the obligation limitations on contract au- ‘‘§ 24702. Transportation requested by States, debt, including leases, that is outstanding on thority provided under division B of the authorities, and other persons the date of enactment of this Act for the Safe, Accountable, Flexible, and Efficient ‘‘(a) CONTRACTS FOR TRANSPORTATION.— purpose of redeeming or restructuring that Transportation Equity Act of 2004 or for Amtrak and a State, a regional or local au- debt. The Secretary, in consultation with which appropriations are provided in accord- thority, or another person may enter into a the Secretary of the Treasury, shall secure ance with authorizations contained in that contract for Amtrak to operate an intercity agreements for repayment on such terms as division.’’. rail service or route not included in the na- the Secretary deems favorable to the inter- (b) BUDGET AUTHORITY; OUTLAYS.—For pur- tional rail passenger transportation system ests of the Government. Payments for such poses of section 251(c) of the Balanced Budg- upon such terms as the parties thereto may redemption may be made after October 1, et and Emergency Deficit Control Act of 1985 agree. 2005, in either a single payment or a series of (2 U.S.C. 901(b)): ‘‘(b) DISCONTINUANCE.—Upon termination payments, but in no case shall the repay- UDGET AUTHORITY.—The budget au- (1) B of a contract entered into under this section, ment period extend beyond September 30, thority for the rail infrastructure category or the cessation of financial support under 2010. shall be— such a contract by either party, Amtrak (d) CRITERIA.—In redeeming or restruc- (A) $300,000,000 for fiscal year 2005; turing Amtrak’s indebtedness, the Secre- (B) $600,000,000 for fiscal year 2006; may discontinue such service or route, notwithstanding any other provision of law.’’. taries and Amtrak— (C) $900,000,000 for fiscal year 2007; (1) shall ensure that the restructuring im- (D) $1,200,000,000 for fiscal year 2008; (2) CONFORMING AMENDMENT.—The chapter poses the least practicable burden on tax- (E) $1,500,000,000 for fiscal year 2009; and analysis for chapter 247 is amended by in- (F) $1,500,000,000 for fiscal year 2010. serting after the item relating to section payers; and (2) take into consideration repayment (2) OUTLAYS.—The level of outlays for the 24701 the following: costs, the term of any loan or loans, and rail infrastructure category is— ‘‘24702. Transportation requested by States, market conditions. (A) $60,000,000 for fiscal year 2005; authorities, and other persons’’. (B) $180,000,000 for fiscal year 2006; (e) AUTHORIZATION.—There are authorized (C) $360,000,000 for fiscal year 2007; (c) AMTRAK TO CONTINUE TO PROVIDE NON- to be appropriated to the Secretary such (D) $480,000,000 for fiscal year 2008; HIGH-SPEED SERVICES.—Nothing in this sub- sums as may be necessary for fiscal years (E) $900,000,000 for fiscal year 2009; and title is intended to preclude Amtrak from re- 2005 through 2010 to restructure or redeem (F) $1,140,000,000 for fiscal year 2010. storing, improving, or developing non-high- Amtrak’s secured debt. (c) APPLICABLE PERCENT.—From funds ap- speed intercity passenger rail service. (f) AMTRAK PRINCIPAL AND INTEREST PAY- propriated to carry out the grant programs SEC. 682. REPAYMENT OF LOAN TO NATIONAL MENTS.— authorized by sections 651 and 652, the Sec- RAILROAD PASSENGER CORPORA- (1) PRINCIPAL ON DEBT SERVICE.—Unless the retary of Transportation shall reserve— TION. Secretary of Transportation and the Sec- (1) 50 percent for the intercity passenger (a) IN GENERAL.—The Secretary of Trans- retary of the Treasury restructure in its en- rail development grant program under sec- portation may not collect any payments of tirety or redeem the debt, there are author- tion 651; and principal or interest for the direct loan made ized to be appropriated to the Secretary of

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00217 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1174 CONGRESSIONAL RECORD — SENATE February 11, 2004 Transportation for the use of Amtrak for re- subparagraphs (D), (E), and (H) as subpara- Buildings to improve ventilation, commu- tirement of principal on loans for capital graphs (C), (D), and (E), respectively; and nication, lighting, and passenger egress up- equipment, or capital leases, not more than (5) by striking ‘‘February 15’’ in subsection grades. the following amounts: (b) and inserting ‘‘January 31st’’. (b) INFRASTRUCTURE UPGRADES.—There are (A) For fiscal year 2005, $109,500,000. SEC. 685. EXCESS RAILROAD RETIREMENT. authorized to be appropriated to the Sec- (B) For fiscal year 2006, $114,700,000. Beginning in fiscal year 2005, the Secretary retary of Transportation for the use of Am- (C) For fiscal year 2007, $202,900,000. of the Treasury each year shall pay to the trak $3,000,000 for fiscal year 2005 for the pre- (D) For fiscal year 2008, $164,300,000. Railroad Retirement Account an amount liminary design of options for a new tunnel (E) For fiscal year 2009, $155,800,000. equal to the amount Amtrak must pay under on a different alignment to augment the ca- (F) For fiscal year 2010, $203,500,000. section 3221 of the Internal Revenue Code of pacity of the existing Baltimore tunnels. (2) INTEREST ON DEBT.—Unless the Sec- 1986 in fiscal years that is more than the (c) FINANCIAL CONTRIBUTION FROM OTHER retary of Transportation and the Secretary amount needed for benefits for individuals TUNNEL USERS.—The Secretary shall, taking of the Treasury restructure or redeem the who retire from Amtrak and for their bene- into account the need for the timely comple- debt, there are authorized to be appropriated ficiaries. There are authorized to be appro- tion of all life safety portions of the tunnel to the Secretary of Transportation for the priated such sums as may be necessary in projects described in subsection (a)— use of Amtrak for the payment of interest on each fiscal year beginning after fiscal year (1) consider the extent to which rail car- loans for capital equipment, or capital 2005 through 2010 for these payments. riers other than Amtrak use the tunnels; (2) consider the feasibility of seeking a fi- leases, the following amounts: SEC. 686. AUTHORIZATIONS FOR ENVIRON- (A) For fiscal year 2005, $151,300,000. MENTAL COMPLIANCE AND STATION nancial contribution from those other rail (B) For fiscal year 2006, $146,300,000. IMPROVEMENTS. carriers toward the costs of the projects; and (C) For fiscal year 2007, $137,500,000. (a) ENVIRONMENTAL COMPLIANCE.—There (3) obtain financial contributions or com- (D) For fiscal year 2008, $125,300,000. are authorized to be appropriated to the Sec- mitments from such other rail carriers if (E) For fiscal year 2009, $117,100,000. retary of Transportation for the use of Am- feasible. (F) For fiscal year 2010, $107,800,000. trak in order to comply with environmental (d) AVAILABILITY OF FUNDS.—Amounts ap- (3) REDUCTIONS IN AUTHORIZATION LEVELS.— regulations the following amounts: propriated pursuant to this section shall re- Whenever action taken by the Secretary of (A) For fiscal year 2005, $18,800,000. main available until expended. the Treasury under subsection (c) results in (B) For fiscal year 2006, $21,700,000. SEC. 688. AUTHORIZATION FOR CAPITAL AND OP- reductions in amounts of principle and inter- (C) For fiscal year 2007, $22,300,000. ERATING EXPENSES. est that Amtrak must service on existing (D) For fiscal year 2008, $15,100,000. (a) OPERATING EXPENSES.—There are au- debt, Amtrak shall submit to the Senate (E) For fiscal year 2009, $15,900,000. thorized to be appropriated to the Secretary Committee on Commerce, Science and (F) For fiscal year 2010, $16,000,000. of Transportation for the use of Amtrak for Transportation, the House of Representa- (b) CAPITAL IMPROVEMENTS TO STATIONS.— operating costs the following amounts: tives Committee on Transportation and In- (1) IN GENERAL.—There are authorized to be (1) For fiscal year 2005, $581,400,000. frastructure, the Senate Committee on Ap- appropriated to the Secretary of Transpor- (2) For fiscal year 2006, $566,700,000. propriations, and House of Representatives tation for the use of Amtrak for capital im- (3) For fiscal year 2007, $557,700,000. Committee on Appropriations revised re- provements to stations, including an initial (4) For fiscal year 2008, $528,500,000. quests for amounts authorized by paragraphs assessment of the full set of accessibility (5) For fiscal year 2009, $522,000,000. (1) and (2) that reflect such reductions. needs across the national rail passenger (6) For fiscal year 2010, $522,000,000. SEC. 684. GENERAL AMTRAK AUTHORIZATIONS. transportation system and improved accessi- (b) CAPITAL BACKLOG AND UPGRADES.— (a) REPEAL OF SELF-SUFFICIENCY REQUIRE- bility for the elderly and people with disabil- There are authorized to be appropriated to MENTS.— ities and in Amtrak facilities and stations, the Secretary of Transportation for the use (1) TITLE 49 AMENDMENTS.—Chapter 241 is the following amounts: of Amtrak for capital expenses, the following amended— (A) For fiscal year 2005, $17,100,000. amounts: (A) by striking the last sentence of section (B) For fiscal year 2006, $19,800,000. (1) For fiscal year 2005, $741,500,000. 24101(d); and (C) For fiscal year 2007, $19,800,000. (2) For fiscal year 2006, $835,200,000. (B) by striking the last sentence of section (D) For fiscal year 2008, $19,000,000. (3) For fiscal year 2007, $760,800,000. 24104(a). (E) For fiscal year 2009, $19,000,000. (4) For fiscal year 2008, $733,600,000. (2) AMTRAK REFORM AND ACCOUNTABILITY (F) For fiscal year 2010, $19,000,000. (5) For fiscal year 2009, $774,300,000. ACT AMENDMENTS.—Title II of the Amtrak (2) STUDY OF COMPLIANCE REQUIREMENTS AT (6) For fiscal year 2010, $874,300,000. Reform and Accountability Act of 1997 (49 EXISTING INTERCITY RAIL STATIONS.—Amtrak (c) REPLACEMENT EQUIPMENT.—There are U.S.C. 24101 nt) is amended by striking sec- shall evaluate the improvements necessary authorized to be appropriated to the Sec- tions 204 and 205. to make all existing stations it serves read- retary of Transportation for the use of Am- (3) COMMON STOCK REDEMPTION DATE.—Sec- ily accessible to and usable by individuals trak for the purchase of replacement pas- tion 415 of the Amtrak Reform and Account- with disabilities, as required by section senger rail equipment the following ability Act of 1997 (49 U.S.C. 24304 nt) is 242(e)(2) of the Americans with Disabilities amounts: amended by striking subsection (b). Act of 1990 (42 U.S.C. 12162(e)(2)). The evalua- (1) For fiscal year 2006, $250,000,000. (b) LEASE ARRANGEMENTS.—Amtrak may tion shall include the estimated cost of the (2) For fiscal year 2007, $250,000,000. obtain services from the Administrator of improvements necessary, the identification (3) For fiscal year 2008, $350,000,000. General Services, and the Administrator of the responsible person (as defined in sec- (4) For fiscal year 2009, $350,000,000. may provide services to Amtrak, under section 241(5) of that Act (42 U.S.C. 12161(5))), (5) For fiscal year 2010, $350,000,000. tion 201(b) and 211(b) of the Federal Property and the earliest practicable date when such SEC. 689. GRANTS NOT CONSIDERED TO REPLACE and Administrative Service Act of 1949 (40 improvements can be made. Amtrak shall FEDERAL OPERATING OR CAPITAL U.S.C. 481(b) and 491(b)) for each of fiscal submit the survey to the Senate Committee SUPPORT. years 2005 through 2009. on Commerce, Science, and Transportation, Grants or assistance provided directly to a (c) FINANCIAL POWERS.—Section 415(d) of the House of Representatives Committee on State or group of States by the Secretary the Amtrak Reform and Accountability Act Transportation and Infrastructure, and the under this title for rail infrastructure invest- of 1997 by adding at the end the following: National Council on Disability by September ments shall not be considered to reduce or ‘‘(3) This section does not affect the appli- 30, 2005, along with recommendations for replace the authorizations or the need for cability of section 3729 of title 31, United funding the necessary improvements. annual Federal appropriations for the Na- States Code, to claims made against Am- SEC. 687. TUNNEL LIFE SAFETY. tional Railroad Passenger Corporation. trak.’’. (a) LIFE SAFETY NEEDS.—There are author- SEC. 690. ESTABLISHMENT OF GRANT PROCESS. (d) AMTRAK REPORTS.—Section 24315 is ized to be appropriated to the Secretary of (a) GRANT REQUESTS.—Amtrak shall sub- amended— Transportation for the use of Amtrak for fis- mit grant requests to the Secretary of (1) by striking ‘‘February 15’’ in subsection cal year 2005: Transportation for funds authorized to be ap- (a) and inserting ‘‘January 31st’’; (1) $677,000,000 for the 6 New York tunnels propriated to the Secretary for the use of (2) by striking subparagraph (B) of sub- built in 1910 to provide ventilation, elec- Amtrak under sections 686, 687, and 688. section (a)(1) and inserting the following: trical, and fire safety technology upgrades, (b) PROCEDURES FOR GRANT REQUESTS.— ‘‘(B) the route profitability survey data, emergency communication and lighting sys- The Secretary shall establish substantive excluding interest and depreciation costs, or tems, and emergency access and egress for and procedural requirements, including any other route cost allocation or profit- passengers. schedules, for grant requests under this sec- ability analysis that Amtrak develops;’’; (2) $57,000,000 for the Baltimore & Potomac tion not later than 30 days after the date of (3) by striking subparagraph (D) of sub- tunnel built in 1872 to provide adequate enactment of this Act and shall transmit section (a)(1) and inserting the following: drainage, ventilation, communication, light- copies to the Senate Committee on Com- ‘‘(D) the total revenue-to-total cost ing, and passenger egress upgrades. merce, Science, and Transportation and the ratio;’’; (3) $40,000,000 for the Washington, D.C., House of Representatives Committee on (4) by striking subparagraphs (C), (F), and Union Station tunnels built in 1904 under the Transportation and Infrastructure. (G) of subsection (a)(1), and redesignating Supreme Court and House and Senate Office (c) REVIEW AND APPROVAL.—

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(1) 30–DAY PROCESS.—The Secretary shall ‘‘(4) The board shall elect a chairman and (2) the date that is 60 days after the date of complete the review of a grant request and a vice chairman from among its membership. enactment of an appropriation Act for the approve or disapprove the request within 30 The vice chairman shall serve as chairman in fiscal year, if later. days after the date on which Amtrak sub- the absence of the chairman. (b) CONTENTS OF 5–YEAR FINANCIAL PLAN.— mits the grant request. ‘‘(5) The Secretary may be represented at The 5-year financial plan for Amtrak shall (2) INCOMPLETE OR DEFICIENT REQUESTS.—If board meetings by the Secretary’s designee. include, at a minimum— the Secretary disapproves the request or de- ‘‘(b) PAY AND EXPENSES.—Each director not (1) all projected revenues and expenditures termines that the request is incomplete or employed by the United States Government for Amtrak, including governmental funding deficient, the Secretary shall immediately is entitled to $300 a day when performing sources, notify Amtrak of the reason for disapproval board duties and powers. Each director is en- (2) projected ridership levels for all Am- or the incomplete items or deficiencies. titled to reimbursement for necessary travel, trak passenger operations; Within 15 days after receiving notification reasonable secretarial and professional staff (3) revenue and expenditure forecasts for from the Secretary under the preceding sen- support, and subsistence expenses incurred nonpassenger operations; (4) capital funding requirements and ex- tence, Amtrak shall submit a modified rein attending board meetings. penditures necessary to maintain passenger quest for the Secretary’s review. ‘‘(c) VACANCIES.—A vacancy on the board is service which will accommodate predicted (3) REVISED REQUESTS.—Within 15 days filled in the same way as the original selec- after receiving a modified request from Am- tion, except that an individual appointed by ridership levels and predicted sources of capital funding; trak, the Secretary shall either approve the the President of the United States under (5) operational funding needs, if any, to modified request, or, if the Secretary finds subsection (a)(1)(C) of this section to fill a maintain current and projected levels of pas- that the request is still incomplete or defi- vacancy occurring before the end of the term for which the predecessor of that individual senger service, including state-supported cient, the Secretary shall identify in writing routes and predicted funding sources; to the Senate Committee on Commerce, was appointed is appointed for the remainder of that term. A vacancy required to be filled (6) projected capital and operating require- Science, and Transportation and the House ments, ridership, and revenue for any new by appointment under subsection (a)(1)(C) of Representatives Committee on Transpor- passenger service operations or service ex- must be filled not later than 120 days after tation and Infrastructure the remaining defi- pansions; ciencies and recommend a process for resolv- the vacancy occurs. (7) an assessment of the continuing finan- ‘‘(d) BYLAWS.—The board may adopt and ing the outstanding portions of the request. cial stability of Amtrak, as indicated by fac- amend bylaws governing the operation of SEC. 691. STATE-SUPPORTED ROUTES. tors such as: the ability of the federal gov- Amtrak. The bylaws shall be consistent with The Board of Directors of Amtrak, in con- ernment to adequately meet capital and op- this part and the articles of incorporation.’’. sultation with the Secretary of Transpor- erating requirements, Amtrak’s access to tation and the chief executive officer of each SEC. 694. ESTABLISHMENT OF FINANCIAL AC- long-term and short-term capital markets, State and the District of Columbia, shall de- COUNTING SYSTEM FOR AMTRAK OPERATIONS BY INDEPENDENT Amtrak’s ability to efficiently manage its velop a formula for funding the operating AUDITOR. workforce, and Amtrak’s ability to effec- costs of trains operating on routes not in ex- (a) IN GENERAL.—The Inspector General of tively provide passenger train service. cess of 750 miles in length that— the Department of Transportation shall em- (8) lump sum expenditures of $10,000,000 or (1) is equitable and fair; and ploy an independent financial consultant more and sources of funding. (2) ensures, within 5 years after the date of (9) estimates of long-term and short-term with experience in railroad accounting— enactment of this Act, equal treatment of all (1) to assess Amtrak’s financial accounting debt and associated principle and interest States (and the District of Columbia) and and reporting system and practices; payments (both current and anticipated); groups of States (including the District of (2) to design and assist Amtrak in imple- (10) annual cash flow forecasts; and (11) a statement describing methods of es- Columbia). menting a modern financial accounting and timation and significant assumptions. SEC. 692. RE-ESTABLISHMENT OF NORTHEAST reporting system, on the basis of the assess- (C) STANDARDS TO PROMOTE FINANCIAL STA- CORRIDOR SAFETY COMMITTEE. ment, that will produce accurate and timely (a) RE-ESTABLISHMENT OF NORTHEAST COR- BILITY.—In meeting the requirements of sub- financial information in sufficient detail— section (b) with respect to a 5-year financial RIDOR SAFETY COMMITTEE.—The Secretary of (A) to enable Amtrak to assign revenues Transportation shall re-establish the North- plan, Amtrak shall— and expenses appropriately to each of its (1) apply sound budgetary practices, in- east Corridor Safety Committee authorized lines of business and to each major activity by section 24905(b) of title 49, United States cluding reducing costs and other expendi- within each line of business activity, includ- tures, improving productivity, increasing Code. ing train operations, equipment mainte- (b) TERMINATION DATE.—Section 24905(b)(4) revenues, or combinations of such practices; nance, ticketing, and reservations; and is amended by striking ‘‘January 1, 1999,’’ (B) to aggregate expenses and revenues re- and inserting ‘‘January 1, 2009,’’. (2) use the categories specified in the fi- lated to infrastructure and distinguish them nancial accounting and reporting system de- SEC. 693. AMTRAK BOARD OF DIRECTORS. from expenses and revenues related to rail veloped under section 652 when preparing its Section 24302 is amended to read as follows: operations; and 5-year financial plan. ‘‘§ 24302. Board of directors (C) to provide ticketing and reservation in- (d) ASSESSMENT BY DOT INSPECTOR GEN- ‘‘(a) COMPOSITION AND TERMS.— formation on a real-time basis. ERAL.— ‘‘(1) The board of directors of Amtrak is (b) VERIFICATION OF SYSTEM; REPORT.—The (1) IN GENERAL.—The Inspector General of composed of the following 9 directors, each Inspector General of the Department of the Department of Transportation shall as- of whom must be a citizen of the United Transportation shall review the accounting sess the 5-year financial plans prepared by States: system designed and implemented under sub- Amtrak under this section to determine ‘‘(A) The President of Amtrak. section (a) to ensure that it accomplishes the whether they meet the requirements of sub- ‘‘(B) The Secretary of Transportation. purposes for which it is intended. The Inspec- section (b), and may suggest revisions to any ‘‘(C) 7 individuals appointed by the Presi- tor General shall report his findings and con- components thereof that do not meet those dent of the United States, by and with the clusions, together with any recommenda- requirements. advice and consent of the Senate, with expe- tions, to the Senate Committee on Com- (2) ASSESSMENT TO BE FURNISHED TO THE rience and qualifications in or directly re- merce, Science, and Transportation and the CONGRESS.—The Inspector General shall fur- lated to rail transportation, including rep- House of Representatives Committee on nish to the House of Representatives Com- resentatives of freight and passenger rail Transportation and Infrastructure. mittee on Appropriations, the Senate Com- transportation, travel, hospitality, cruise (c) AUTHORIZATION OF APPROPRIATIONS.— mittee on Appropriations, the House of Rep- line, and passenger air transportation busi- There are authorized to be appropriated to resentatives Committee on Transportation nesses, consumers of passenger rail transpor- the Secretary of Transportation $2,500,000 for and Infrastructure, and the Senate Com- tation, and State government. fiscal year 2005 to carry out subsection (a), mittee on Commerce, Science, and Transpor- ‘‘(2) In selecting individuals described in such sums to remain available until ex- tation— paragraph (1) for nominations for appoint- pended. (A) an assessment of the annual budget ments to the Board, the President shall con- SEC. 695. DEVELOPMENT OF 5–YEAR FINANCIAL within 90 days after receiving it from Am- sult with the Speaker of the House of Rep- PLAN. trak; and resentatives, the Minority Leader of the (a) DEVELOPMENT OF 5–YEAR FINANCIAL (B) an assessment of the remaining 4 years House of Representatives, the Majority PLAN.—The Amtrak board of directors shall of the 5-year financial plan within 180 days Leader of the Senate, and the Minority Lead- submit an annual budget for Amtrak, and a after receiving it from Amtrak. er of the Senate and should ensure adequate 5–year financial plan for the fiscal year to SEC. 696. INDEPENDENT AUDITOR TO ESTABLISH and balanced representation of the major ge- which that budget relates and the subse- METHODOLOGIES FOR AMTRAK ographic regions of the United States. quent 4 years, prepared in accordance with ROUTE AND SERVICE PLANNING DE- ‘‘(3) Each member shall be appointed for a this section, to the Secretary of Transpor- CISIONS. term of 5 years and until the individual’s tation and the Inspector General of the De- (a) REVIEW.—The Secretary of Transpor- successor is appointed and qualified. Not partment of Transportation no later than— tation shall, in consultation with the Fed- more than 4 individuals appointed under (1) the first day of each fiscal year begin- eral Railroad Administration, execute a con- paragraph (1)(C) may be members of the ning after the date of enactment of this Act; tract to obtain the services of an inde- same political party. or pendent auditor or consultant to research

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and define Amtrak’s past and current meth- ‘‘(b) CONTENT.—The program to be carried out the rail cooperative research program odologies for determining intercity pas- out under this section shall include research under section 24910 of title 49, United States senger rail routes and services. designed— Code. (b) RECOMMENDATIONS.—The independent ‘‘(1) to identify the unique aspects and at- Strike section 4601 and add the following auditor or consultant shall recommend ob- tributes of rail passenger service; after section 4662: jective methodologies for determining such ‘‘(2) to develop more accurate models for PART 4—AMTRAK AUTHORIZATIONS routes and services, including the establish- evaluating the impact of rail passenger serv- SEC. 4681. NATIONAL RAILROAD PASSENGER ment of new routes, the elimination of exist- ice, including the effects on highway and air- TRANSPORTATION SYSTEM DE- ing routes, and the contraction or expansion port and airway congestion, environmental FINED. of services or frequencies over such routes. quality, and energy consumption; (a) IN GENERAL.—Section 24102 is amend- (c) SUBMITTAL TO CONGRESS.—The Sec- ‘‘(3) to develop a better understanding of ed— retary shall submit recommendations re- modal choice as it affects rail passenger (1) by striking paragraph (2); ceived under subsection (b) to Amtrak, the transportation, including development of (2) by redesignating paragraphs (3), (4), and House of Representatives Committee on better models to predict utilization; (5) as paragraphs (2), (3), and (4), respec- Transportation and Infrastructure, and the ‘‘(4) to recommend priorities for tech- tively; and Senate Committee on Commerce, Science, nology demonstration and development; (3) by inserting after paragraph (4) as so re- and Transportation. ‘‘(5) to meet additional priorities as deter- designated the following: (d) AUTHORIZATION OF APPROPRIATIONS.— mined by the advisory board established ‘‘(5) ‘national rail passenger transportation There are authorized to be made available to under subsection (c), including any rec- system’ means— the Secretary of Transportation, out of any ommendations made by the National Re- ‘‘(A) the segment of the Northeast Corridor amounts authorized by this title to be appro- search Council; between Boston, Massachusetts and Wash- priated for the benefit of Amtrak and not ‘‘(6) to explore improvements in manage- ington, D.C.; otherwise obligated or expended, such sums ment, financing, and institutional struc- ‘‘(B) rail corridors that have been des- as may be necessary to carry out this sec- tures; ignated by the Secretary of Transportation tion. ‘‘(7) to address rail capacity constraints as high-speed corridors, but only after they SEC. 697. METRICS AND STANDARDS. that affect passenger rail service through a have been improved to permit operation of The Administrator of the Federal Railroad wide variety of options, ranging from oper- high-speed service; Administration shall, in consultation with ‘‘(C) long-distance routes of more than 750 ating improvements to dedicated new infra- Amtrak and host railroads, develop new or miles between endpoints operated by Amtrak structure, taking into account the impact of improve existing metrics and minimum as of the date of enactment of the Safe, Ac- such options on operations; countable, Flexible, and Efficient Transpor- standards for measuring the service quality ‘‘(8) to improve maintenance, operations, tation Equity Act of 2004; and of intercity train operations, including on- customer service, or other aspects of inter- time performance, on-board services, sta- ‘‘(D) short-distance corridors or routes op- city rail passenger service; erated by Amtrak.’’. tions, facilities, equipment, and other serv- ‘‘(9) to recommend objective methodologies ices. (b) AMTRAK ROUTES WITH STATE FUNDING.— for determining intercity passenger rail N GENERAL SEC. 698. ON-TIME PERFORMANCE. (1) I .—Chapter 247 is amended by routes and services, including the establish- 1 inserting after section 24701 the following: Section 24308 is amended by adding at the ment of new routes, the elimination of exist- ‘‘24702. Transportation requested by States, end the following: ing routes, and the contraction or expansion ‘‘(f) ON-TIME PERFORMANCE AND OTHER authorities, and other persons of services or frequencies over such routes; STANDARDS.—If the on-time performance of ‘‘(10) to review the impact of equipment ‘‘(a) CONTRACTS FOR, TRANSPORTATION.— any intercity passenger train averages less and operational safety standards on the fur- Amtrak and a State, a regional or local au- than 80 percent for any consecutive 6-month ther development of high speed passenger thority, or another person may enter into a period, or the service quality of intercity rail operations connected to or integrated contract for Amtrak to operate an intercity train operations for which minimum stand- with non-high speed freight or passenger rail rail service or route not included in the na- ards are established under section 697 of the operations; and tional rail passenger transportation system Safe, Accountable, Flexible, and Efficient ‘‘(11) to recommend any legislative or reg- upon such terms as the parties thereto may Transportation Equity Act of 2004 Act fails ulatory changes necessary to foster further agree. to meet those standards, Amtrak may peti- ‘‘(b) DISCONTINUANCE.—Upon termination development and implementation of high tion the Surface Transportation Board to in- of a contract entered into under this section, speed passenger rail operations while ensur- vestigate whether, and to what extent, or the cessation of financial support under ing the safety of such operations that are delays or failure to achieve minimum stand- such a contract by either party, Amtrak connected to or integrated with non-high ards are due to causes that could reasonably may discontinue such service or route, not- speed freight or passenger rail operations. be addressed by a rail carrier over the tracks withstanding any other provision of law.’’. ‘‘(c) ADVISORY BOARD.— of which the intercity passenger train oper- (2) CONFORMING AMENDMENT.—The chapter ‘‘(1) ESTABLISHMENT.—In consultation with analysis for chapter 247 is amended by in- ates, or by a regional authority providing the heads of appropriate Federal depart- serting after the item relating to section commuter service, if any. In carrying out ments and agencies, the Secretary shall es- 24701 the following: such an investigation, the Surface Transpor- tablish an advisory board to recommend re- tation Board shall obtain information from search, technology, and technology transfer ‘‘24702. Transportation requested by States, all parties involved and make recommenda- activities related to rail passenger and authorities, and other persons’’. tions regarding reasonable measures to im- freight transportation. (c) AMTRAK TO CONTINUE TO PROVIDE NON- prove the service, quality, and on-time per- ‘‘(2) MEMBERSHIP.—The advisory board HIGH-SPEED SERVICES.—Nothing in this sub- formance of the train.’’. shall include— title is intended to preclude Amtrak from re- SEC. 699. RAIL COOPERATIVE RESEARCH PRO- ‘‘(A) representatives of State transpor- storing, improving, or developing non-high- GRAM. tation agencies; speed intercity passenger rail service. (a) REQUIREMENT FOR PROGRAM.— ‘‘(B) transportation and environmental SEC. 4682. REPAYMENT OF LOAN TO NATIONAL (1) ESTABLISHMENT AND CONTENT.—Chapter economists, scientists, and engineers; and RAILROAD PASSENGER CORPORA- 249 is amended by adding at the end the fol- ‘‘(C) representatives of Amtrak, the Alaska TION. lowing: Railroad, transit operating agencies, inter- (a) IN GENERAL.—The Secretary of Trans- ‘‘§ 24910. Rail cooperative research program city rail passenger agencies, railway labor portation may not collect any payments of ‘‘(a) IN GENERAL.—The Secretary shall es- organizations, and environmental organiza- principal or interest for the direct loan made tablish and carry out a rail cooperative re- tions. to the National Railroad Passenger Corpora- search program. The program shall— ‘‘(d) NATIONAL ACADEMY OF SCIENCES.—The tion under section 502 of the Railroad Revi- ‘‘(1) address, among other matters, inter- Secretary may make grants to, and enter talization and Regulatory Reform Act of 1976 city rail passenger services, including exist- into cooperative agreements with, the Na- (45 U.S.C. 822). There are authorized to be ap- ing rail passenger technologies and speeds, tional Academy of Sciences to carry out propriated to the Secretary for fiscal year incrementally enhanced rail systems and in- such activities relating to the research, tech- 2005 $100,000,000 for the purpose of repaying frastructure, and new high-speed wheel-on- nology, and technology transfer activities that loan to the Secretary of the Treasury. rail systems and rail security; described in subsection (b) as the Secretary The Secretary of Transportation shall waive ‘‘(2) consider research on the interconnect- deems appropriate.’’. any conditions imposed under the loan. edness of commuter rail, passenger rail, and (2) CLERICAL AMENDMENT.—The chapter (b) CERTAIN CONDITIONS WAIVED.—Section other rail networks; and analysis for chapter 249 is amended by add- 151 of the Transportation, Treasury, and ‘‘(3) give consideration to regional con- ing at the end the following: Independent Agencies Appropriations Act, cerns regarding rail passenger transpor- 2004, is repealed. ‘‘24910. Rail cooperative research program’’. tation, including meeting research needs (c) FEDERAL RAILROAD ADMINISTRATION.— common to designated high speed corridors, (b) AUTHORIZATION OF APPROPRIATIONS.— (1) IN GENERAL—Section 11123 is amended— long-distance rail services, and regional There are authorized to be appropriated to (A) by striking ‘‘failure of existing com- intercity rail corridors, projects, and enti- the Secretary of Transportation $5,000,000 for muter rail passenger transportation oper- ties. each of fiscal years 2005 through 2010 to carry ations caused by a cessation of service by the

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00220 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1177 National Railroad Passenger Corporation,’’ (A) For fiscal year 2005, $151,300,000. retary of Transportation for the use of Am- in subsection (a); (B) For fiscal year 2006, $146,300,000. trak in order to comply with environmental (B) by inserting ‘‘or’’ after the semicolon (C) For fiscal year 2007, $137,500,000. regulations the following amounts: in subsection (a)(3); (D) For fiscal year 2008, $125,300,000. (A) For fiscal year 2005, $18,800,000. (C) by striking ‘‘permits; or’’ in subsection (E) For fiscal year 2009, $117,100,000. (B) For fiscal year 2006, $21,700,000. (a)(4) and inserting ‘‘permits.’’; (F) For fiscal year 2010, $107,800,000. (C) For fiscal year 2007, $22,300,000. (D) by striking paragraph (5) of subsection (3) REDUCTIONS IN AUTHORIZATION ON LEV- (D) For fiscal year 2008, $15,100,000. (a); ELS.—Whenever action taken by the Sec- (E) For fiscal year 2009, $15,900,000. (E) by striking ‘‘(A) Except as provided in retary of the Treasury under subsection (c) (F) For fiscal year 2010, $16,000,000. subparagraph (B), when’’ in subsection (b)(3) results in reductions in amounts of principle (b) CAPITAL IMPROVEMENTS TO STATIONS.— and inserting ‘‘When’’; and interest that Amtrak must service on (1) IN GENERAL.—There are authorized to be (F) by striking subparagraph (B) of sub- existing debt, Amtrak shall submit to the appropriated to the Secretary of Transpor- section (b)(3); Senate Committee on Commerce, Science tation for the use of Amtrak for capital im- (G) by striking paragraph (4) of subsection and Transportation, the House of Represent- provements to stations, including an initial atives Committee on Transportation and In- (c); and assessment of the full set of accessibility frastructure, the Senate Committee on Ap- (H) by striking subsections (e) and (f). needs across the national rail passenger propriations, and House of Representatives (2) Section 24301(c) is amended by striking transportation system and improved accessi- Committee on Appropriations revised re- ‘‘11123,’’. bility for the elderly and people with disabil- SEC. 4683. RESTRUCTURING OF LONG–TERM quests for amounts authorized by paragraphs (1) and (2) that reflect the such reductions. ities and in Amtrak facilities and stations, DEBT AND CAPITAL LEASES. the following amounts: (a) IN GENERAL.—The Secretary of the SEC. 4684. GENERAL AMTRAK AUTHORIZATIONS. (A) For fiscal year 2005, $17,100,000. (a) REPEAL OF SELF-SUFFICIENCY REQUIRE- Treasury shall work with the Secretary of (B) For fiscal year 2006, $19,800,000. Transportation and Amtrak to restructure MENTS. (C) For fiscal year 2007, $19,800,000. (1) TITLE 49 AMENDMENTS.—Chapter 241 is Amtrak’s indebtedness as of the date of en- (D) For fiscal year 2008, $19,000,000. actment of this Act. amended— (A) by striking the last sentence of section (E) For fiscal year 2009, $19,000,000. (b) NEW DEBT PROHIBITION.—Except as ap- 24101(d); and (F) For fiscal year 2010, $19,000,000. proved by the Secretary of Transportation, (B) by striking the last sentence of section (2) STUDY OF COMPLIANCE REQUIREMENTS AT Amtrak may not enter into any obligation 24104(a). EXISTING INTERCITY RAIL STATIONS.—Amtrak secured by assets of the Corporation after (2) AMTRAK REFORM AND ACCOUNTABILITY shall evaluate the improvements necessary the date of enactment of this Act. This sec- ACT AMENDMENTS.—Title II of the Amtrak to make all existing stations it serves read- tion does not prohibit unsecured lines of Reform and Accountability Act of 1997 (49 ily accessible to and usable by individuals credit used by Amtrak or any subsidiary for U.S.C. 24101 nt) is amended by striking sec- with disabilities, as required by section working capital purposes. tions 204 and 205. 242(e)(2) of the Americans with Disabilities (c) DEBT REDEMPTION.—The Secretary of (3) COMMON STOCK REDEMPTION DATE.—Sec- Act of 1990 (42 U.S.C. 12162(e)(2)). The evalua- Transportation, in consultation with the tion 415 of the Amtrak Reform and Account- tion shall include the estimated cost of the Secretary of the Treasury, shall enter into ability Act of 1997 (49 U.S.C. 24304 nt) is improvements necessary, the identification negotiations with the holders of Amtrak amended by striking subsection (b). of the responsible person (as defined in sec- debt, including leases, that is outstanding on (b) LEASE ARRANGEMENTS.—Amtrak may tion 241(5) of that Act (42 U.S.C. 12161(5))), the date of enactment of this Act for the obtain services from the Administrator of and the earliest practicable date when such purpose of redeeming or restructuring that General Services, and the Administrator improvements can be made. Amtrak shall debt. The Secretary, in consultation with may provide services to Amtrak, under sec- submit the survey to the Senate Committee the Secretary of the Treasury, shall secure tion 201(b) and 211(b) of the Federal Property on Commerce, Science, and Transportation, agreements for repayment on such terms as and Administrative Service Act of 1949 (40 the House of Representatives Committee on the Secretary deems favorable to the inter- U.S.C. 481(b) and 491(b)) for each of fiscal Transportation and Infrastructure, and the ests of the Government. Payments for such years 2005 through 2009. National Council on Disability by September redemption may be made after October 1, (c) FINANCIAL POWERS.—Section 415(d) of 30, 2005, along with recommendations for 2005, in either a single payment or a series of the Amtrak Reform and Accountability Act funding the necessary improvements. payments, but in no case shall the repay- of 1997 by adding at the end the following: ‘‘(3) This section does not affect the appli- SEC. 4687. TUNNEL LIFE SAFETY. ment period extend beyond September 30, (a) LIFE SAFETY NEEDS.—There are author- 2010. cability of section 3729 of title 31, United States Code, to claims made against Am- ized to be appropriated to the Secretary of (d) CRITERIA.—In redeeming or restruc- Transportation for the use of Amtrak for fis- turing Amtrak’s indebtedness, the Secre- trak.’’. (d) AMTRAK REPORTS.—Section 24315 is cal year 2005: taries and Amtrak— amended— (1) $677,000,000 for the 6 New York tunnels (1) shall ensure that the restructuring im- (1) by striking ‘‘February 15’’ in subsection built in 1910 to provide ventilation, elec- poses the least practicable burden on tax- (a) and inserting ‘‘January 31st’’; trical, and fire safety technology upgrades, payers; and (2) by striking subparagraph (B) of sub- emergency communication and lighting sys- (2) take into consideration repayment section (a)(1) and inserting the following: tems, and emergency access and egress for costs, the term of any loan or loans, and ‘‘(B) the route profitability survey data, passengers. market conditions. excluding interest and depreciation costs, or (2) $57,000,000 for the Baltimore & Potomac (e) AUTHORIZATION.—There are authorized any other route cost allocation or profit- tunnel built in 1872 to provide adequate to be appropriated to the Secretary such ability analysis that Amtrak develops;’’; drainage, ventilation, communication, light- sums as may be necessary for fiscal years (3) by striking subparagraph (D) of sub- ing, and passenger egress upgrades. 2005 through 2010 to restructure or redeem section (a)(1) and inserting the following: (3) $40,000,000 for the Washington, D.C., Amtrak’s secured debt. ‘‘(D) the total revenue-to-total cost Union Station tunnels built in 1904 under the (f) AMTRAK PRINCIPAL AND INTEREST PAY- ratio;’’; Supreme Court and House and Senate Office MENTS.— (4) by striking subparagraphs (C), (F), and (1) PRINCIPAL ON DEBT SERVICE.—Unless the (G) of subsection (a)(1), and redesignating Buildings to improve ventilation, commu- Secretary of Transportation and the Sec- subparagraphs (D), (E), and (H) as subpara- nication, lighting, and passenger egress up- retary of the Treasury restructure in its en- graphs (C), (D), and (E), respectively; and grades. tirety or redeem the debt, there are author- (5) by striking ‘‘February 15’’ in subsection (b) INFRASTRUCTURE UPGRADES.—There are ized to be appropriated to the Secretary of (b) and inserting ‘‘January 31st’’. authorized to be appropriated to the Sec- Transportation for the use of Amtrak for re- SEC. 4685. EXCESS RAILROAD RETIREMENT. retary of Transportation for the use of Am- tirement of principal on loans for capital Beginning in fiscal year 2005, the Secretary trak $3,000,000 for fiscal year 2005 for the pre- equipment, or capital leases, not more than of the Treasury each year shall pay to the liminary design of options for a new tunnel the following amounts: Railroad Retirement Account an amount on a different alignment to augment the ca- (A) For fiscal year 2005, $109,500,000. equal to the amount Amtrak must pay under pacity of the existing Baltimore tunnels. (B) For fiscal year 2006, $114,700,000. section 3221 of the Internal Revenue Code of (d) FINANCIAL CONTRIBUTION FROM OTHER (C) For fiscal year 2007, $202,900,000. 1986 in fiscal years that is more than the TUNNEL USERS.—The Secretary shall, taking (D) For fiscal year 2008, $164,300,000. amount needed for benefits for individuals into account the need for the timely comple- (E) For fiscal year 2009, $155,800,000. who retire from Amtrak and for their bene- tion of all life safety portions of the tunnel (F) For fiscal year 2010, $203,500,000. ficiaries. There are authorized to be appro- projects described in subsection (a)— (2) INTEREST ON DEBT.—Unless the Sec- priated such sums as may be necessary in (1) consider the extent to which rail car- retary of Transportation and the Secretary each fiscal year beginning after fiscal year riers other than Amtrak use the tunnels; of the Treasury restructure or redeem the 2005 through 2010 for these payments. (2) consider the feasibility of seeking a fi- debt, there are authorized to be appropriated SEC. 4686. AUTHORIZATIONS FOR ENVIRON- nancial contribution from those other rail to the Secretary of Transportation for the MENTAL COMPLIANCE AND STATION carriers toward the costs of the projects; and use of Amtrak for the payment of interest on IMPROVEMENTS. (3) obtain financial contributions or com- loans for capital equipment, or capital (a) ENVIRONMENTAL COMPLIANCE.—There mitments from such other rail carriers if leases, the following amounts: are authorized to be appropriated to the Sec- feasible.

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(e) AVAILABILITY OF FUNDS.—Amounts ap- of Representatives Committee on Transpor- of that term. A vacancy required to be filled propriated pursuant to this section shall re- tation and Infrastructure the remaining defi- by appointment under subsection (a)(1)(C) main available until expended. ciencies and recommend a process for resolv- must be filled not later than 120 days after SEC. 4688. AUTHORIZATION FOR CAPITAL AND ing the outstanding portions of the request. the vacancy occurs. OPERATING EXPENSES. SEC. 4691. STATE-SUPPORTED ROUTES. ‘‘(d) BYLAWS.—The board may adopt and (a) OPERATING EXPENSES.—There are au- The Board of Directors of Amtrak, in con- amend bylaws governing the operation of thorized to be appropriated to the Secretary sultation with the Secretary of Transpor- Amtrak. The bylaws shall be consistent with of Transportation for the use of Amtrak for tation and the chief executive officer of each this part and the articles of incorporation.’’. operating costs the following amounts: State and the District of Columbia, shall de- SEC. 4694. ESTABLISHMENT OF FINANCIAL AC- (1) For fiscal year 2005, $581,400,000. velop a formula for funding the operating COUNTING SYSTEM FOR AMTRAK (2) For fiscal year 2006, $566,700,000. costs of trains operating on routes not in ex- OPERATIONS BY INDEPENDENT AUDITOR. (3) For fiscal year 2007, $557,700,000. cess of 750 miles in length that— (a) IN GENERAL.—The Inspector General of (4) For fiscal year 2008; $528,500,000. (1) is equitable and fair; and (5) For fiscal year 2009, $522,000,000. (2) ensures, within 5 years after the date of the Department of Transportation shall em- (6) For fiscal year 2010, $522,000,000. enactment of this Act, equal treatment of all ploy an independent financial consultant with experience in railroad accounting— (b) CAPITAL BACKLOG AND UPGRADES.— States (and the District of Columbia) and (1) to assess Amtrak’s financial accounting There are authorized to be appropriated to groups of States (including the District of and reporting system and practices; the Secretary of Transportation for the use Columbia). (2) to design and assist Amtrak in imple- of Amtrak for capital expenses, the following SEC. 4692. RE-ESTABLISHMENT OF NORTHEAST menting a modern financial accounting and amounts: CORRIDOR SAFETY COMMITTEE. reporting system, on the basis of the assess- (1) For fiscal year 2005, $741,500,000. (a) RE-ESTABLISHMENT OF NORTHEAST COR- ment, that will produce accurate and timely (2) For fiscal year 2006, $835,200,000. RIDOR SAFETY COMMITTEE.—The Secretary of financial information in sufficient detail— (3) For fiscal year 2007, $760,800,000. Transportation shall re-establish the North- (A) to enable Amtrak to assign revenues (4) For fiscal year 2008, $733,600,000. east Corridor Safety Committee authorized and expenses appropriately to each of its (5) For fiscal year 2009, $774,300,000. by section 24905(b) of title 49, United States lines of business and to each major activity (6) For fiscal year 2010, $874,300,000. Code. within each line of business activity, includ- (c) REPLACEMENT EQUIPMENT.—There are (b) TERMINATION DATE.—Section 24905(b)(4) ing train operations, equipment mainte- authorized to be appropriated to the Sec- is amended by striking ‘‘January 1, 1999,’’ nance, ticketing, and reservations; retary of Transportation for the use of Am- and inserting ‘‘January 1, 2009,’’. (B) to aggregate expenses and revenues re- trak for the purchase of replacement pas- SEC. 4693. AMTRAK BOARD OF DIRECTORS. lated to infrastructure and distinguish them senger rail equipment the following Section 24302 is amended to read as follows: from expenses and revenues related to rail amounts: ‘‘§ 24302. Board of directors operations; and (1) For fiscal year 2006, $250,000,000. (C) to provide ticketing and reservation in- (2) For fiscal year 2007, $250,000,000. ‘‘(a) COMPOSITION AND TERMS.— ‘‘(1) The board of directors of Amtrak is formation on a real-time basis. (3) For fiscal year 2008, $350,000,000. (b) VERIFICATION OF SYSTEM; REPORT.—The composed of the following 9 directors, each (4) For fiscal year 2009, $350,000,000. Inspector General of the Department of of whom must be a citizen of the United (5) For fiscal year 2010, $350,000,000. Transportation shall review the accounting States: system designed and implemented under sub- SEC. 4689. GRANTS NOT CONSIDERED TO RE- ‘‘(A) The President of Amtrak. PLACE FEDERAL OPERATING OR ‘‘(B) The Secretary of Transportation. section (a) to ensure that it accomplishes the CAPITAL SUPPORT. ‘‘(C) 7 individuals appointed by the Presi- purposes for which it is intended. The Inspec- Grants or assistance provided directly to a dent of the United States, by and with the tor General shall report his findings and con- State or group of States by the Secretary advice and consent of the Senate, with expe- clusions, together with any recommenda- under this title for rail infrastructure invest- rience and qualifications in or directly re- tions, to the Senate Committee on Com- ments shall not be considered to reduce or lated to rail transportation, including rep- merce, Science, and Transportation and the replace the authorizations or the need for resentatives of freight and passenger rail House of Representatives Committee on annual Federal appropriations for the Na- transportation, travel, hospitality, cruise Transportation and Infrastructure. tional Railroad Passenger Corporation. (c) AUTHORIZATION OF APPROPRIATIONS.— line, and passenger air transportation busi- There are authorized to be appropriated to SEC. 4690. ESTABLISHMENT OF GRANT PROCESS. nesses, consumers of passenger rail transpor- the Secretary of Transportation $2,500,000 for (a) GRANT REQUESTS.—Amtrak shall sub- tation, and State government. fiscal year 2005 to carry out subsection (a), mit grant requests to the Secretary of ‘‘(2) In selecting individuals described in such sums to remain available until ex- Transportation for funds authorized to be ap- paragraph (1) for nominations for appoint- pended. propriated to the Secretary for the use of ments to the Board, the President shall con- Amtrak under sections 686, 687, and 688. sult with the Speaker of the House of Rep- SEC. 4695. DEVELOPMENT OF 5-YEAR FINANCIAL PLAN. (b) PROCEDURES FOR GRANT REQUESTS.— resentatives, the Minority Leader of the (a) DEVELOPMENT OF 5-YEAR, FINANCIAL The Secretary shall establish substantive House of Representatives, the Majority PLAN.—The Amtrak board of directors shall and procedural requirements, including Leader of the Senate, and the Minority Lead- submit an annual budget for Amtrak, and a schedules, for grant requests under this sec- er of the Senate and should ensure adequate 5-year financial plan for the fiscal year to tion not later than 30 days after the date of and balanced representation of the major ge- which that budget relates and the subse- enactment of this Act and shall transmit ographic regions of the United States. quent 4 years, prepared in accordance with copies to the Senate Committee on Com- ‘‘(3) Each member shall be appointed for a this section, to the Secretary of Transpor- merce, Science, and Transportation and the term of 5 years and until the individual’s tation and the Inspector General of the De- House of Representatives Committee on successor is appointed and qualified. Not partment of Transportation no later than— Transportation and Infrastructure. more than 4 individuals appointed under (1) the first day of each fiscal year begin- (c) REVIEW AND APPROVAL.— paragraph (1)(C) may be members of the ning after the date of enactment of this Act; (1) 30-DAY PROCESS.—The Secretary shall same political party. complete the review of a grant request and or ‘‘(4) The board shall elect a chairman and (2) the date that is 60 days after the date of approve or disapprove the request within 30 a vice chairman from among its membership. enactment of an appropriation Act for the days after the date on which Amtrak sub- The vice chairman shall serve as chairman in fiscal year, if later. mits the grant request. the absence of the chairman. (b) CONTENTS OF 5-YEAR FINANCIAL PLAN.— NCOMPLETE OR DEFICIENT REQUESTS.—If (2) I ‘‘(5) The Secretary may be represented at The 5-year financial plan for Amtrak shall the Secretary disapproves the request or de- board meetings by the Secretary’s designee. include, at a minimum— termines that the request is incomplete or ‘‘(b) PAY AND EXPENSES.—Each director not (1) all projected revenues and expenditures deficient, the Secretary shall immediately employed by the United States Government for Amtrak, including governmental funding notify Amtrak of the reason for disapproval is entitled to $300 a day when performing sources; or the incomplete items or deficiencies. board duties and powers. Each director is en- (2) projected ridership levels for all Am- Within 15 days after receiving notification titled to reimbursement for necessary travel, trak passenger operations; from the Secretary under the preceding sen- reasonable secretarial and professional staff (3) revenue and expenditure forecasts for tence, Amtrak shall submit a modified re- support, and subsistence expenses incurred nonpassenger operations; quest for the Secretary’s review. in attending board meetings. (4) capital funding requirements and ex- (3) REVISED REQUESTS.—Within 15 days ‘‘(c) VACANCIES.—A vacancy on the board is penditures necessary to maintain passenger after receiving a modified request from Am- filled in the same way as the original selec- service which will accommodate predicted trak, the Secretary shall either approve the tion, except that an individual appointed by ridership levels and predicted sources of cap- modified request, or, if the Secretary finds the President of the United States under ital funding; that the request is still incomplete or defi- subsection (a)(1)(C) of this section to fill a (5) operational funding needs, if any, to cient, the Secretary shall identify in writing vacancy occurring before the end of the term maintain current and projected levels of pas- to the Senate Committee on Commerce, for which the predecessor of that individual senger service, including state-supported Science, and Transportation and the House was appointed is appointed for the remainder routes and predicted funding sources;

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00222 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1179 (6) projected capital and operating require- amounts authorized by this title to be appro- ommendations made by the National Re- ments, ridership, and revenue for any new priated for the benefit of Amtrak and not search Council; passenger service operations or service ex- otherwise obligated or expended, such sums ‘‘(6) to explore improvements in manage- pansions; as may be necessary to carry out this sec- ment, financing, and institutional struc- (7) an assessment of the continuing finan- tion. tures; cial stability of Amtrak, as indicated by fac- SEC. 4697. METRICS AND STANDARDS. ‘‘(7) to address rail capacity constraints tors such as: the ability of the federal gov- The Administrator of the Federal Railroad that affect passenger rail service through a ernment to adequately meet capital and op- Administration shall, in consultation with wide variety of options, ranging from oper- erating requirements, Amtrak’s access to Amtrak and host railroads, develop new or ating improvements to dedicated new infra- long-term and short-term capital markets, improve existing metrics and minimum structure, taking into account the impact of Amtrak’s ability to efficiently manage its standards for measuring the service quality such options on operations; workforce, and Amtrak’s ability to effec- of intercity train operations, including on- ‘‘(8) to improve maintenance, operations, tively provide passenger train service; time performance, onboard services, sta- customer service, or other aspects of inter- (8) lump sum expenditures of $10,000,000 or tions, facilities, equipment, and other serv- city rail passenger service; more and sources of funding; ices. ‘‘(9) to recommend objective methodologies for determining intercity passenger rail (9) estimates of long-term and short-term SEC. 4698. ON-TIME PERFORMANCE. routes and services, including the establish- debt and associated principle and interest Section 24308 is amended by adding at the ment of new routes, the elimination of exist- payments (both current and anticipated); end the following: (10) annual cash flow forecasts; and ing routes, and the contraction or expansion ‘‘(f) ON-TIME PERFORMANCE AND OTHER (11) a statement describing methods of es- of services or frequencies over such routes; STANDARDS.—If the on-time performance of timation and significant assumptions. any intercity passenger train averages less ‘‘(10) to review the impact of equipment (c) STANDARDS TO PROMOTE FINANCIAL STA- than 80 percent for any consecutive 6-month and operational safety standards on the fur- BILITY.—In meeting the requirements of sub- period, or the service quality of intercity ther development of high speed passenger section (b) with respect to a 5-year financial train operations for which minimum stand- rail operations connected to or integrated plan, Amtrak shall— ards are established under section 4697 of the with non-high speed freight or passenger rail (1) apply sound budgetary practices, in- Safe, Accountable, Flexible, and Efficient operations; and cluding reducing costs and other expendi- ‘‘(11) to recommend any legislative or reg- Transportation Equity Act of 2004 Act fails tures, improving productivity, increasing ulatory changes necessary to foster further to meet those standards, Amtrak may peti- revenues, or combinations of such practices; development and implementation of high tion the Surface Transportation Board to in- and speed passenger rail operations while ensur- vestigate whether, and to what extent, (2) use the categories specified in the fi- ing the safety of such operations that are delays or failure to achieve minimum stand- nancial accounting and reporting system de- connected to or integrated with non-high ards are due to causes that could reasonably veloped under section 4652 when preparing its speed freight or passenger rail operations. be addressed by a rail carrier over the tracks 5-year financial plan. ‘‘(c) ADVISORY BOARD.— of which the intercity passenger train oper- (d) ASSESSMENT BY DOT INSPECTOR GEN- ‘‘(1) ESTABLISHMENT.—In consultation with ates, or by a regional authority providing ERAL.— the heads of appropriate Federal depart- commuter service, if any. In carrying out (1) IN GENERAL.—The Inspector General of ments and agencies, the Secretary shall es- such an investigation, the Surface Transpor- the Department of Transportation shall as- tablish an advisory board to recommend re- tation Board shall obtain information from sess the 5-year financial plans prepared by search, technology, and technology transfer all parties involved and make recommenda- Amtrak under this section to determine activities related to rail passenger and tions regarding reasonable measures to im- whether they meet the requirements of sub- freight transportation. prove the service, quality, and on-time per- section (b), and may suggest revisions to any ‘‘(2) MEMBERSHIP.—The advisory board components thereof that do not meet those formance of the train.’’. shall include— requirements. SEC. 4699. RAIL COOPERATIVE RESEARCH PRO- ‘‘(A) representatives of State transpor- GRAM. (2) ASSESSMENT TO BE FURNISHED TO THE tation agencies; CONGRESS.—The Inspector General shall fur- (a) REQUIREMENT FOR PROGRAM.— ‘‘(B) transportation and environmental nish to the House of Representatives Com- (1) ESTABLISHMENT AND CONTENT.—Chapter economists, scientists, and engineers; and mittee on Appropriations, the Senate Com- 249 is amended by adding at the end the fol- ‘‘(C) representatives of Amtrak, the Alaska mittee on Appropriations, the House of Rep- lowing: Railroad, transit operating agencies, inter- resentatives Committee on Transportation ‘‘24910. Rail cooperative research program city rail passenger agencies, railway labor and Infrastructure, and the Senate Com- ‘‘(a) IN GENERAL.—The Secretary shall es- organizations, and environmental organiza- mittee on Commerce, Science, and Transpor- tablish and carry out a rail cooperative re- tions. tation— search program. The program shall— ‘‘(d) NATIONAL ACADEMY OF SCIENCES.—The (A) an assessment of the annual budget ‘‘(1) address, among other matters, inter- Secretary may make grants to, and enter within 90 days after receiving it from Am- city rail passenger services, including exist- into cooperative agreements with, the Na- trak; and ing rail passenger technologies and speeds, tional Academy of Sciences to carry out (B) an assessment of the remaining 4 years incrementally enhanced rail systems and in- such activities relating to the research, tech- of the 5–year financial plan within 180 days frastructure, and new high-speed wheel-on- nology, and technology transfer activities after receiving it from Amtrak. rail systems and rail security; described in subsection (b) as the Secretary SEC. 4696. INDEPENDENT AUDITOR TO ESTAB- ‘‘(2) consider research on the interconnect- deems appropriate.’’. LISH METHODOLOGIES FOR AMTRAK edness of commuter rail, passenger rail, and (2) CLERICAL AMENDMENT.—The chapter ROUTE AND SERVICE PLANNING DE- other rail networks; and analysis for chapter 249 is amended by add- CISIONS. ‘‘(3) give consideration to regional con- ing at the end the following: (a) REVIEW.—The Secretary of Transpor- cerns regarding rail passenger transpor- ‘‘24910. Rail cooperative research program’’. tation shall, in consultation with the Fed- tation, including meeting research needs (b) AUTHORIZATION OF APPROPRIATIONS.— eral Railroad Administration, execute a con- common to designated high speed corridors, There are authorized to be appropriated to tract to obtain the services of an inde- long-distance rail services, and regional the Secretary of Transportation $5,000,000 for pendent auditor or consultant to research intercity rail corridors, projects, and enti- each of fiscal years 2005 through 2010 to carry and define Amtrak’s past and current meth- ties. out the rail cooperative research program odologies for determining intercity pas- ‘‘(b) CONTENT.—The program to be carried under section 24910 of title 49, United States senger rail routes and services. out finder this section shall include research Code. (b) RECOMMENDATIONS.—The independent designed— auditor or consultant shall recommend ob- ‘‘(1) to identify the unique aspects and at- Mr. CRAPO (for himself, Mr. jective methodologies for determining such tributes of rail passenger service; SA 2531. routes and services, including the establish- ‘‘(2) to develop more accurate models for THOMAS, and Mr. ENZI) submitted an ment of new routes, the elimination of exist- evaluating the impact of rail passenger serv- amendment intended to be proposed to ing routes, and the contraction or expansion ice, including the effects on highway and air- amendment SA 2285 proposed by Mr. of services or frequencies over such routes. port and airway congestion, environmental INHOFE to the bill S. 1072, to authorize (c) SUBMITTAL TO CONGRESS.—The Sec- quality, and energy consumption; funds for Federal-aid highways, high- retary shall submit recommendations re- ‘‘(3) to develop a better understanding of way safety programs, and transit pro- ceived under subsection (b) to Amtrak, the modal choice as it affects rail passenger grams, and for other purposes; which House of Representatives Committee on transportation, including development of Transportation and Infrastructure, and the better models to predict utilization; was ordered to lie on the table; as fol- Senate Committee on Commerce, Science, ‘‘(4) to recommend priorities for tech- lows: and Transportation. nology demonstration and development; On page 51, between lines 20 and 21, insert (d) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(5) to meet additional priorities as deter- the following: There are authorized to be made available to mined by the advisory board established (d) FLEXIBILITY IN MEETING SET ASIDE RE- the Secretary of Transportation, out of any under subsection (c), including any rec- QUIREMENTS.—Section 104(b) of title 23,

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United States Code (as amended by section ‘‘(2) give priority to projects that empha- ‘‘(1) ESTABLISHMENT.—The Secretary shall 1401(b)(2)), is amended by adding at the end size multimodal planning, including plan- establish a Pay-As-You-Drive-And-You-Save the following: ning for operational improvements that— (PAYDAYS) grant program to fund pilot and ‘‘(6) FLEXIBILITY IN MEETING SET ASIDE RE- ‘‘(A) increase the mobility of people and related activities that convert fixed driving QUIREMENTS.— goods; costs and general taxes that support trans- ‘‘(A) IN GENERAL.—Subject to subparagraph ‘‘(B) improve the safety of the transpor- portation to vehicle use charges. (B), any provision of this title that estab- tation system with respect to catastrophic— ‘‘(2) SPECIAL REQUIREMENTS.— lishes a requirement on or after the date of ‘‘(i) natural disasters; or ‘‘(A) IN GENERAL.—Beginning not later ‘‘(ii) disasters caused by human activity; enactment of this paragraph that a portion than 60 days after the date of enactment of and of funds apportioned to a State under para- this subsection and continuing each October ‘‘(C) contribute to the economic vitality of graph (1), (3), or (4) be reserved or obligated 1 (or first subsequent business day) of each of the area in which the project is being carried for a particular purpose, on an annual basis, fiscal years 2004 through 2009, a $10,000,000 shall be considered satisfied if the State sets out. ‘‘(g) FEDERAL SHARE.—Amounts provided grant in the form of a single payment shall aside or obligates, as applicable, over the 6- by the Delta Regional Authority to carry out be made by the Secretary to 1 designated year period of fiscal years 2004 through 2009, a project under this section shall be applied university or other institutional partner (re- the sum of the individual annual require- to the non-Federal share required by section ferred to in this subsection as the ‘des- ments over the 6-year period. 120. ignated partner’). ‘‘(B) REQUIREMENT.—The flexibility pro- ‘‘(h) AVAILABILITY OF FUNDS.—Amounts ‘‘(B) GRANT PURPOSE.—A grant under sub- vided by subparagraph (A) does not permit a made available to carry out this section paragraph (A) shall be available for solic- State to have set aside or obligated, as of the shall remain available until expended.’’. iting and underwriting applications from end of a fiscal year, with respect to a re- (b) CONFORMING AMENDMENT.—The analysis governmental, university, and other institu- quirement, an amount less than— for chapter I of title 23, United States Code tional entities, and public-private partner- ‘‘(i) the sum of the individual annual re- (as amended by section 1841(b)), is amended ships to— quirements for each of fiscal years 2004 by adding at the end the following: ‘‘(i) design, test, implement, and evaluate through the fiscal year; less ‘’178. Delta Region transportation develop- innovative mileage and parking pricing ‘‘(ii) the sum obtained by adding the indi- ment program.’’.’’ strategies; and vidual requirement for fiscal year 2004 and On page 678, after line 5, insert: ‘‘(ii) forge partnerships between private an amount equal to 50 percent of the require- sector entities and consumers to offer inno- ment for fiscal year 2005.’’. (16) DELTA REGION TRANSPORTATION DEVEL- OPMENT PROGRAM.—For planning and con- vative mileage and variable parking pricing struction activities authorized under the products. SA 2532. Mr. SHELBY submitted an ‘‘(C) SUBGRANTS, LOANS, AND REVENUE AND amendment intended to be proposed by Delta Regional Authority, $400,000,000 for each of fiscal years 2004 through 2009. LOSS GUARANTEES.—In consultation with the him to the bill S. 1072, to authorize Secretary, the designated partner shall, funds for Federal-aid highways, high- SA 2533. Mr. SHELBY submitted an using at least 92.5 percent of the funding way safety programs, and transit pro- amendment intended to be proposed by made available for the grant, provide sub- grams, and for other purposes; which him to the bill S. 1072, to authorize grants, loans, and revenue and loss guarantees to, and enter into contracts with, the was ordered to lie on the table; as fol- funds for Federal-aid highways, high- lows; governmental, university, and other institu- way safety programs, and transit pro- tional entities, and public-private partner- At the appropriate place, insert: grams, and for other purposes; which ships to meet the objectives of this section. ‘‘SEC. . THE DELTA REGIONAL AUTHORITY. was ordered to lie on the table; as fol- ‘‘(D) LIMITATION ON USE.—Not more than (1) IN GENERAL.—Subchapter I of chapter 1 lows: 7.5 percent of the grant funds provided for of title 23, United States Code (as amended SEC. . Section 201(b) of the Appalachian the program shall be available to be spent di- by section 1814(a), is amended by adding at Regional Development Act of 1965 is amend- rectly by the designated partner to— the end the following: ed by striking ‘‘and’’ before (4) and inserting ‘‘(i) solicit applications; ‘‘178. Delta Region transportation develop- after ‘‘section’’ the following: ‘‘(ii) oversee grant activities; and ment program ‘‘, and an estimate of the cost to construct ‘‘(iii) conduct research and outreach. ‘‘(a) IN GENERAL.—The Secretary shall highways and access roads for the Appa- ‘‘(E) FEDERAL SHARE.— carry out a program to— lachian development highway system every ‘‘(i) IN GENERAL.—The Federal share of the ‘‘(1) support and encourage multistate 24 months.’’ costs of activities carried out with a grant to transportation planning and corridor devel- the designated partner under this section opment; SA 2534. Mr. SHELBY submitted an shall be 100 percent. ‘‘(2) provide for transportation project de- amendment intended to be proposed by ‘‘(ii) MATCHING FUNDS.—The designated velopment; him to the bill S. 1072, to authorize partner shall require a subgrantee to provide ‘‘(3) facilitate transportation decision- funds for Federal-aid highways, high- matching funds. making; and ‘‘(F) MINIMUM FUNDING GUARANTEES.— ‘‘(4) support transportation construction. way safety programs, and transit pro- Funds provided under this section shall be ‘‘(b) ELIGIBLE RECIPIENTS.—A State trans- grams, and for other purposes; which excluded when calculating minimum funding portation department or metropolitan plan- was ordered to lie on the table; as fol- guarantees under section 105. ning organization may receive and admin- lows: ‘‘(3) REPORTING.— ister funds provided under the program. On page 930, line 6 insert the following: ‘‘(A) IN GENERAL.—The designated partner, ‘‘(c) ELIGIBLE ACTIVITIES.—The Secretary ‘‘(3) COST TO COMPLETE STUDY.—The Appa- in cooperation with the Secretary and shall make allocations under the program lachian Regional Commission shall prepare subgrant recipients, shall— for multistate highway and transit planning, an estimate of the cost to construct high- ‘‘(i) publish performance goals for the development, and construction projects. ways and access roads for the Appalachian PAYDAYS grant program and for each ‘‘(d) OTHER PROVISIONS REGARDING ELIGI- development highway system every 24 project; and BILITY.—All activities funded under this pro- months.’’ ‘‘(ii) monitor and, at least every 2 years gram shall be consistent with the con- after the enactment of this subsection, sub- tinuing, cooperative, and comprehensive SA 2535. Ms. CANTWELL submitted mit to the Committee on Environment and planning processes required by section 134 an amendment intended to be proposed Public Works of the Senate and the Com- and 135. mittee on Transportation and Infrastructure ‘‘(e) SELECTION CRITERIA.—The Secretary to amendment SA 2285 proposed by Mr. of the House of Representatives a report that shall select projects to be carried out under INHOFE to the bill S. 1072, to authorize assesses the effects of projects on the the program based on— funds for Federal-aid highways, high- achievement of those goals. ‘‘(1) whether the project is located— way safety programs, and transit pro- ‘‘(B) PERFORMANCE GOALS.—Performance ‘‘(A) in an area that is part of the Delta grams, and for other purposes; which Regional Authority; and goals shall include— ‘‘(B) on the Federal-aid system; was ordered to lie on the table; as fol- ‘‘(i) traffic volumes and congestion; ‘‘(2) endorsement of the project by the lows: ‘‘(ii) air quality; State department of transportation; and On page 255, strike line 18 and insert the ‘‘(iii) safety; ‘‘(3) evidence of the ability to complete the following: ‘‘(iv) use of alternative transportation project. (c) PAY-AS-YOU-DRIVE-AND-YOU-SAVE modes; and ‘‘(f) PROGRAM PRIORITIES.—In admin- (PAYDAYS) GRANT PROGRAM.—Section 129 of ‘‘(v) equity. istering the program, the Secretary shall— title 23, United States Code (as amended by ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(1) encourage State and local officials to subsection (b)), is amended by adding at the There is authorized to be appropriated from work together to develop plans for end the following: the Highway Trust Fund (other than the multimodal and multijurisdictional trans- ‘‘(f) PAY-AS-YOU-DRIVE-AND-YOU-SAVE Mass Transit Account) to carry out this sub- portation decisionmaking; and (PAYDAYS) GRANT PROGRAM.— section $10,000,000 in contract authority

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funding for each of fiscal years 2004 through ‘‘(i) publish performance goals for the ‘‘(D) LIMITATION ON USE.—Not more than 2009, not subject to obligation limitations.’’. PAYDAYS grant program and for each 7.5 percent of the grant funds provided for (d) CONFORMING AMENDMENTS.— project; and the program shall be available to be spent di- ‘‘(ii) monitor and, at least every 2 years rectly by the designated partner to— ‘‘(i) solicit applications; Ms. CANTWELL submitted after the enactment of this subsection, sub- SA 2536. mit to the Committee on Environment and ‘‘(ii) oversee grant activities; and an amendment intended to be proposed Public Works of the Senate and the Com- ‘‘(iii) conduct research and outreach. to amendment SA 2285 proposed by Mr. mittee on Transportation and Infrastructure ‘‘(E) FEDERAL SHARE.— INHOFE to the bill S. 1072, to authorize of the House of Representatives a report that ‘‘(i) IN GENERAL.—The Federal share of the funds for Federal-aid highways, high- assesses the effects of projects on the costs of activities carried out with a grant to way safety programs, and transit pro- achievement of those goals. the designated partner under this section grams, and for other purposes; which ‘‘(B) PERFORMANCE GOALS.—Performance shall be 100 percent. was ordered to lie on the table; as fol- goals shall include— ‘‘(ii) MATCHING FUNDS.—The designated partner shall require a subgrantee to provide lows: ‘‘(i) traffic volumes and congestion; ‘‘(ii) air quality; matching funds. On page 255, strike line 18 and insert the ‘‘(iii) safety; ‘‘(F) MINIMUM FUNDING GUARANTEES.— following: ‘‘(iv) use of alternative transportation Funds provided under this section shall be (c) PAY-AS-YOU-DRIVE-AND-YOU-SAVE modes; and excluded when calculating minimum funding (PAYDAYS) GRANT PROGRAM.—Section 129 of ‘‘(v) equity. guarantees under section 105. title 23, United States Code (as amended by ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(3) REPORTING.— subsection (b)), is amended by adding at the There is authorized to be appropriated from ‘‘(A) IN GENERAL.—The designated partner, end the following: the Highway Trust Fund (other than the in cooperation with the Secretary and subgrant recipients, shall— ‘‘(f) PAY-AS-YOU-DRIVE-AND-YOU-SAVE Mass Transit Account) to carry out this sub- ‘‘(i) publish performance goals for the (PAYDAYS) GRANT PROGRAM.— section $10,000,000 in contract authority PAYDAYS grant program and for each ‘‘(1) ESTABLISHMENT.—The Secretary shall funding for each of fiscal years 2004 through establish a Pay-As-You-Drive-And-You-Save 2009, not subject to obligation limitations.’’. project; and (PAYDAYS) grant program to fund pilot and (d) CONFORMING AMENDMENTS.— ‘‘(ii) monitor and, at least every 2 years related activities that convert fixed driving after the enactment of this subsection, sub- costs and general taxes that support trans- SA 2537. Ms. CANTWELL submitted mit to the Committee on Environment and portation to vehicle use charges. an amendment intended to be proposed Public Works of the Senate and the Com- mittee on Transportation and Infrastructure ‘‘(2) SPECIAL REQUIREMENTS.— to amendment SA 2285 proposed by Mr. of the House of Representatives a report that ‘‘(A) IN GENERAL.—Beginning not later INHOFE to the bill S. 1072, to authorize assesses the effects of projects on the than 60 days after the date of enactment of funds for Federal-aid highways, high- this subsection and continuing each October achievement of those goals. way safety programs, and transit pro- ‘‘(B) PERFORMANCE GOALS.—Performance 1 (or first subsequent business day) of each of grams, and for other purposes; which fiscal years 2004 through 2009, a $10,000,000 goals shall include— grant in the form of a single payment shall was ordered to lie on the table; as fol- ‘‘(i) traffic volumes and congestion; be made by the Secretary to 1 designated lows: ‘‘(ii) air quality; university or other institutional partner (re- On page 255, strike line 18 and insert the ‘‘(iii) safety; ferred to in this subsection as the ‘des- following: ‘‘(iv) use of alternative transportation modes; and ignated partner’). (c) PAY-AS-YOU-DRIVE-AND-YOU-SAVE ‘‘(v) equity. ‘‘(B) GRANT PURPOSE.—A grant under sub- (PAYDAYS) GRANT PROGRAM.—Section 129 of paragraph (A) shall be available for solic- title 23, United States Code (as amended by ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— iting and underwriting applications from subsection (b)), is amended by adding at the There is authorized to be appropriated from governmental, university, and other institu- end the following: the Highway Trust Fund (other than the Mass Transit Account) to carry out this sub- tional entities, and public-private partner- ‘‘(f) PAY-AS-YOU-DRIVE-AND-YOU-SAVE section $10,000,000 in contract authority ships to— (PAYDAYS) GRANT PROGRAM.— funding for each of fiscal years 2004 through ‘‘(i) design, test, implement, and evaluate ‘‘(1) ESTABLISHMENT.—The Secretary shall innovative mileage and parking pricing establish a Pay-As-You-Drive-And-You-Save 2009, not subject to obligation limitations.’’. (d) CONFORMING AMENDMENTS.— strategies; and (PAYDAYS) grant program to fund pilot and ‘‘(ii) forge partnerships between private related activities that convert fixed driving SA 2538. Ms. CANTWELL submitted sector entities and consumers to offer inno- costs and general taxes that support trans- an amendment intended to be proposed vative mileage and variable parking pricing portation to vehicle use charges. to amendment SA 2285 proposed by Mr. products. ‘‘(2) SPECIAL REQUIREMENTS.— ‘‘(C) SUBGRANTS, LOANS, AND REVENUE AND ‘‘(A) IN GENERAL.—Beginning not later INHOFE to the bill S. 1072, to authorize LOSS GUARANTEES.—In consultation with the than 60 days after the date of enactment of funds for Federal-aid highways, high- Secretary, the designated partner shall, this subsection and continuing each October way safety programs, and transit pro- using at least 92.5 percent of the funding 1 (or first subsequent business day) of each of grams, and for other purposes; which made available for the grant, provide sub- fiscal years 2004 through 2009, a $10,000,000 was ordered to lie on the table; as fol- grants, loans, and revenue and loss guaran- grant in the form of a single payment shall lows: tees to, and enter into contracts with, the be made by the Secretary to 1 designated On page 638, before line 16, insert the fol- governmental, university, and other institu- university or other institutional partner (re- lowing: tional entities, and public-private partner- ferred to in this subsection as the ‘des- (c) NATIONAL TECHNICAL ASSISTANCE CEN- ships to meet the objectives of this section. ignated partner’). TER FOR SENIOR TRANSPORTATION.—Section ‘‘(D) LIMITATION ON USE.—Not more than ‘‘(B) GRANT PURPOSE.—A grant under sub- 5314 is amended by adding at the end the fol- 7.5 percent of the grant funds provided for paragraph (A) shall be available for solic- lowing: the program shall be available to be spent di- iting and underwriting applications from ‘‘(c) NATIONAL TECHNICAL ASSISTANCE CEN- rectly by the designated partner to— governmental, university, and other institu- TER FOR SENIOR TRANSPORTATION.— ‘‘(i) solicit applications; tional entities, and public-private partner- ‘‘(1) ESTABLISHMENT.—The Secretary, in ‘‘(ii) oversee grant activities; and ships to— consultation with the Federal Transit Ad- ‘‘(iii) conduct research and outreach. ‘‘(i) design, test, implement, and evaluate ministration, shall award a grant of $2,500,000 ‘‘(E) FEDERAL SHARE.— innovative mileage and parking pricing to a national not-for-profit organization for ‘‘(i) IN GENERAL.—The Federal share of the strategies; and the establishment and maintenance of a na- costs of activities carried out with a grant to ‘‘(ii) forge partnerships between private tional technical assistance center. the designated partner under this section sector entities and consumers to offer inno- ‘‘(2) ELIGIBILITY.—An organization shall be shall be 100 percent. vative mileage and variable parking pricing eligible to receive the grant under paragraph ‘‘(ii) MATCHING FUNDS.—The designated products. (1) if the organization— partner shall require a subgrantee to provide ‘‘(C) SUBGRANTS, LOANS, AND REVENUE AND ‘‘(A) focuses significantly on serving the matching funds. LOSS GUARANTEES.—In consultation with the needs of the elderly; ‘‘(F) MINIMUM FUNDING GUARANTEES.— Secretary, the designated partner shall, ‘‘(B) has demonstrated knowledge and ex- Funds provided under this section shall be using at least 92.5 percent of the funding pertise in senior transportation policy and excluded when calculating minimum funding made available for the grant, provide sub- planning issues; guarantees under section 105. grants, loans, and revenue and loss guaran- ‘‘(C) has affiliates in a majority of the ‘‘(3) REPORTING.— tees to, and enter into contracts with, the States; ‘‘(A) IN GENERAL.—The designated partner, governmental, university, and other institu- ‘‘(D) has the capacity to convene local in cooperation with the Secretary and tional entities, and public-private partner- groups to consult on operation and develop- subgrant recipients, shall— ships to meet the objectives of this section. ment of senior transportation programs; and

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00225 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1182 CONGRESSIONAL RECORD — SENATE February 11, 2004 ‘‘(E) has established close working rela- ‘‘(D) has the capacity to convene local ‘‘(B) has demonstrated knowledge and ex- tionships with the Federal Transit Adminis- groups to consult on operation and develop- pertise in senior transportation policy and tration and the Administration on Aging. ment of senior transportation programs; and planning issues; ‘‘(3) USE OF FUNDS.—The national technical ‘‘(E) has established close working rela- ‘‘(C) has affiliates in a majority of the assistance center established under this sec- tionships with the Federal Transit Adminis- States; tion shall— tration and the Administration on Aging. ‘‘(D) has the capacity to convene local ‘‘(A) gather best practices from throughout ‘‘(3) USE OF FUNDS.—The national technical groups to consult on operation and develop- the country and provide such practices to assistance center established under this sec- ment of senior transportation programs; and local communities that are implementing tion shall— ‘‘(E) has established close working rela- senior transportation programs; ‘‘(A) gather best practices from throughout tionships with the Federal Transit Adminis- ‘‘(B) work with teams from local commu- the country and provide such practices to tration and the Administration on Aging. nities to identify how they are successfully local communities that are implementing ‘‘(3) USE OF FUNDS.—The national technical meeting the transportation needs of senior senior transportation programs; assistance center established under this sec- and any gaps in services in order to create a ‘‘(B) work with teams from local commu- tion shall— plan for an integrated senior transportation nities to identify how they are successfully ‘‘(A) gather best practices from throughout program; meeting the transportation needs of senior the country and provide such practices to ‘‘(C) provide resources on ways to pay for and any gaps in services in order to create a local communities that are implementing senior transportation services; plan for an integrated senior transportation senior transportation programs; ‘‘(D) create a web site to publicize and cir- program; ‘‘(B) work with teams from local commu- culate information on senior transportation ‘‘(C) provide resources on ways to pay for nities to identify how they are successfully programs; senior transportation services; meeting the transportation needs of senior ‘‘(E) establish a clearinghouse for print, ‘‘(D) create a web site to publicize and cir- and any gaps in services in order to create a video, and audio resources on senior mobil- culate information on senior transportation plan for an integrated senior transportation ity; and programs; program; ‘‘(F) administer the demonstration grant ‘‘(E) establish a clearinghouse for print, ‘‘(C) provide resources on ways to pay for program established under paragraph (4). video, and audio resources on senior mobil- senior transportation services; ‘‘(4) GRANTS AUTHORIZED.— ity; and ‘‘(D) create a web site to publicize and cir- ‘‘(A) IN GENERAL.—The national technical ‘‘(F) administer the demonstration grant culate information on senior transportation assistance center established under this sec- program established under paragraph (4). programs; tion, in consultation with the Federal Tran- ‘‘(4) GRANTS AUTHORIZED.— ‘‘(E) establish a clearinghouse for print, sit Administration, shall award senior trans- ‘‘(A) IN GENERAL.—The national technical video, and audio resources on senior mobil- portation demonstration grants to— assistance center established under this sec- ity; and ‘‘(i) local transportation organizations; tion, in consultation with the Federal Tran- ‘‘(F) administer the demonstration grant ‘‘(ii) State agencies; sit Administration, shall award senior trans- program established under paragraph (4). ‘‘(iii) units of local government; and portation demonstration grants to— ‘‘(4) GRANTS AUTHORIZED.— ‘‘(iv) nonprofit organizations. ‘‘(i) local transportation organizations; ‘‘(A) IN GENERAL.—The national technical ‘‘(B) USE OF FUNDS.—Grant funds received ‘‘(ii) State agencies; assistance center established under this sec- pursuant to subparagraph (A) may be used to ‘‘(iii) units of local government; and tion, in consultation with the Federal Tran- create model programs to— ‘‘(iv) nonprofit organizations. sit Administration, shall award senior trans- ‘‘(i) provide direct transportation services ‘‘(B) USE OF FUNDS.—Grant funds received portation demonstration grants to— to senior citizens; and pursuant to subparagraph (A) may be used to ‘‘(i) local transportation organizations; ‘‘(ii) demonstrate effective mechanisms for create model programs to— ‘‘(ii) State agencies; establishing community-based plans for sen- ‘‘(i) provide direct transportation services ‘‘(iii) units of local government; and ior transportation. to senior citizens; and ‘‘(iv) nonprofit organizations. ‘‘(5) ALLOCATIONS.—From the funds made ‘‘(ii) demonstrate effective mechanisms for ‘‘(B) USE OF FUNDS.—Grant funds received available for each fiscal year under sub- establishing community-based plans for sen- pursuant to subparagraph (A) may be used to sections (a)(5)(C)(iv) and (b)(2)(G)(iv) of sec- ior transportation. create model programs to— tion 5338— ‘‘(5) ALLOCATIONS.—From the funds made ‘‘(i) provide direct transportation services ‘‘(A) $2,500,000 shall be allocated to carry available for each fiscal year under sub- to senior citizens; and out the provisions of paragraphs (1) through sections (a)(5)(C)(iv) and (b)(2)(G)(iv) of sec- ‘‘(ii) demonstrate effective mechanisms for (3); and tion 5338— establishing community-based plans for sen- ‘‘(B) $2,500,000 shall be allocated to carry ‘‘(A) $2,500,000 shall be allocated to carry ior transportation. out the provisions of paragraph (4).’’. out the provisions of paragraphs (1) through ‘‘(5) ALLOCATIONS.—From the funds made (3); and available for each fiscal year under sub- SA 2539. Ms. CANTWELL submitted ‘‘(B) $2,500,000 shall be allocated to carry sections (a)(5)(C)(iv) and (b)(2)(G)(iv) of sec- an amendment intended to be proposed out the provisions of paragraph (4).’’. tion 5338— to amendment SA 2285 proposed by Mr. ‘‘(A) $2,500,000 shall be allocated to carry INHOFE to the bill S. 1072, to authorize SA 2540. Ms. CANTWELL submitted out the provisions of paragraphs (1) through funds for Federal-aid highways, high- (3); and an amendment intended to be proposed way safety programs, and transit pro- ‘‘(B) $2,500,000 shall be allocated to carry to amendment SA 2285 proposed by Mr. grams, and for other purposes; which out the provisions of paragraph (4).’’. INHOFE to the bill S. 1072, to authorize was ordered to lie on the table; as follows: funds for Federal-aid highways, highway safety programs, and transit pro- SA 2541. Mr. SMITH submitted an On page 638, before line 16, insert the fol- grams, and for other purposes; which amendment intended to be proposed to lowing: amendment SA 2285 proposed by Mr. (c) NATIONAL TECHNICAL ASSISTANCE CEN- was ordered to lie on the table; as fol- NHOFE TER FOR SENIOR TRANSPORTATION.—Section lows: I to the bill S. 1072, to authorize 5314 is amended by adding at the end the fol- funds for Federal-aid highways, high- On page 638, before line 16, insert the following: way safety programs, and transit pro- lowing: ‘‘(c) NATIONAL TECHNICAL ASSISTANCE CEN- grams, and for other purposes; which TER FOR SENIOR TRANSPORTATION.— (c) NATIONAL TECHNICAL ASSISTANCE CEN- was ordered to lie on the table; as fol- TER FOR SENIOR TRANSPORTATION.—Section ‘‘(1) ESTABLISHMENT.—The Secretary, in lows: consultation with the Federal Transit Ad- 5314 is amended by adding at the end the fol- ministration, shall award a grant of $2,500,000 lowing: On page 619, strike line 1 and all that fol- to a national not-for-profit organization for ‘‘(c) NATIONAL TECHNICAL ASSISTANCE CEN- lows through page 621, line 8, and insert the the establishment and maintenance of a na- TER FOR SENIOR TRANSPORTATION.— following: tional technical assistance center. ‘‘(1) ESTABLISHMENT.—The Secretary, in ‘‘(1) AUTHORIZATION.—The Secretary may ‘‘(2) ELIGIBILITY.—An organization shall be consultation with the Federal Transit Ad- award grants to a State for public transpor- eligible to receive the grant under paragraph ministration, shall award a grant of $2,500,000 tation capital projects, and operating costs (1) if the organization— to a national not-for-profit organization for associated with public transportation capital ‘‘(A) focuses significantly on serving the the establishment and maintenance of a na- projects, that are planned, designed, and car- needs of the elderly; tional technical assistance center. ried out to meet the needs of elderly individ- ‘‘(B) has demonstrated knowledge and ex- ‘‘(2) ELIGIBILITY.—An organization shall be uals and individuals with disabilities, with pertise in senior transportation policy and eligible to receive the grant under paragraph priority given to the needs of these individ- planning issues; (1) if the organization— uals to access necessary health care. ‘‘(C) has affiliates in a majority of the ‘‘(A) focuses significantly on serving the ‘‘(2) ACQUISITION OF PUBLIC TRANSPORTATION States; needs of the elderly; SERVICES.—A capital public transportation

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00226 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1183 project under this section may include ac- way safety programs, and transit pro- amendment SA 2285 proposed by Mr. quiring public transportation services as an grams, and for other purposes; which INHOFE to the bill S. 1072, to authorize eligible capital expense. was ordered to lie on the table; as fol- funds for Federal-aid highways, high- ‘‘(3) ADMINISTRATIVE COSTS.—A State may lows: way safety programs, and transit pro- use not more than 15 percent of the amounts received under this section to administer, Insert the following before communica- grams, and for other purposes; which plan, and provide technical assistance for a tions in Section 501(2): ‘‘integrated, inter- was ordered to lie on the table; as fol- project funded under this section. operable emergency’’. lows: ‘‘(b) ALLOTMENTS AMONG STATES.— Mr. BAUCUS submitted an At the appropriate place, insert the fol- ‘‘(1) IN GENERAL.—From amounts made SA 2545. lowing: available or appropriated in each fiscal year amendment intended to be proposed by (a) Amendment to 23 U.S.C. 306.—Section under subsections (a)(1)(C)(iv) and (b)(2)(D) of him to the bill S. 1072, to authorize 23 U.S.C. 306 is amended as follows: section 5338 for grants under this section, the funds for Federal-aid highways, high- SEC. 306.—MAPPING. Secretary shall allot amounts to each State way safety programs, and transit pro- (a) In General.—— under a formula based on the number of el- grams, and for other purposes; which In carrying out the provisions of this title, derly individuals and individuals with dis- was ordered to lie on the table; as fol- the Secretary may, wherever practicable, au- abilities in each State. lows: thorize the use of photogrammetric methods ‘‘(2) TRANSFER OF FUNDS.—Any funds allot- in mapping, and the utilization of commer- Insert the following before communicated to a State under paragraph (1) may be cial enterprise for such services. tions in Section 501(2)(C): ‘‘integrated, inter- transferred by the State to the apportion- (b) Regulations.— ments made under sections 5311(c) and 5336 if operable emergency’’. The Secretary shall issue regulations to re- such funds are only used for eligible projects Mr. BAUCUS submitted an quire States to utilize, to the maximum ex- selected under this section. SA 2546. tent practicable, private sector sources for ‘‘(3) REALLOCATION OF FUNDS.—A State re- amendment intended to be proposed by surveying and mapping services for projects ceiving a grant under this section may re- him to the bill S. 1072, to authorize under this title. In carrying out this sub- allocate such grant funds to— funds for Federal-aid highways safety section, the Secretary shall recommend ‘‘(A) a private nonprofit organization; programs, and transit programs, and appropraite roles for States and private map- ‘‘(B) a public transportation agency or au- for other purposes; which was ordered ping and surveying activities, including— thority; or to lie on the table; as follows: (1) State participation in— ‘‘(C) a governmental authority that— (i) Preparation of standards and specifica- Strike enhanced and insert the following ‘‘(i) has been approved by the State to co- tions; in Section 502(h)(2)(iii): ‘‘integrated, inter- ordinate services for elderly individuals and (ii) research in surveying and mapping in- operable emergency’’. individuals with disabilities; strumentation and procedures and tech- ‘‘(ii) certifies that nonprofit organizations Mr. BAUCUS submitted an nology transfer to the private sector; and SA 2547. (iii) providing technical guidance, coordi- are not readily available in the area that can amendment intended to be proposed by provide the services described under this sub- nation, and administration of State sur- section; or him to the bill S. 1072, to authorize veying and mapping activities; and ‘‘(iii) will provide services to persons with funds for Federal-aid highways, high- (2) private sector participations in— disabilities that exceed those services re- way safety programs, and transit pro- (i) performance of surveying and mapping quired by the Americans with Disabilities grams, and for other purposes; which activities, to include but not be limited to Act. was ordered to lie on the table; as fol- such activities as measuring, locating and ‘‘(c) FEDERAL SHARE.— lows: preparing maps, charts, surveys, aerial pho- ‘‘(1) MAXIMUM.— tographs, satellite images, or other graphical Add new paragraph (7) to Section 149(b): ‘‘If ‘‘(A) CAPITAL PROJECTS.—A grant for a cap- or digital presentations depicting natural or the project or program involves the purchase ital project under this section may not ex- manmade physical features, phenomena, and of integrated, interoperable emergency com- ceed 80 percent of the net capital costs of the legal boundaries of the Earth. munications equipment.’’ project, as determined by the Secretary. (c) The Secretary shall implement a program to assure that States implement this ‘‘(B) EXCEPTION.—A State described in sec- SA 2548. Mr. BAUCUS submitted an tion 120(d) of title 23 shall receive an in- section in such a manner as to assure that creased Federal share in accordance with the amendment intended to be proposed by government agencies do not complete with formula under that section. him to the bill S. 1072, to authorize its citizens and that such agencies not start ‘‘(C) OPERATING COSTS.—Grant funds for op- funds for Federal-aid highways, high- or carry on any activity to provide a com- erating costs under this section may not ex- way safety programs, and transit pro- mercial surveying and mapping product or ceed 50 percent of the net operating costs of grams, and for other purposes; which service if the product or service can be pro- the project, as determined by the Sec- was ordered to lie on the table; as fol- cured more economically from the commer- retary.’’ lows: cial sources to supply the surveying and mapping products and services the govern- SA 2542. Mr. BAUCUS submitted an Insert the following before reliability in ment needs. Section 503(a)(3)(B): ‘‘, mobile communica- amendment intended to be proposed by tions,’’. him to the bill S. 1072, to authorize SA 2551. Mr. SESSIONS submitted an amendment intended to be proposed to funds for Federal-aid highways, high- SA 2549. Mr. GRASSLEY (for himself amendment SA 2285 proposed by Mr. way safety programs, and transit pro- and Mr. BAUCUS) submitted an amend- grams, and for other purposes; which ment intended to be proposed by him INHOFE to the bill S. 1072, to authorize was ordered to lie on the table; as fol- to the bill S. 1072, to authorize funds funds for Federal-aid highways, high- lows: for Federal-aid highways, highway way safety programs, and transit programs, and for other purposes; which Insert the following before equipment in safety programs, and transit programs, Section 148(a)(2)(B)(xiv): ‘‘integrated, inter- and for other purposes; which was or- was ordered to lie on the table; as fol- operable emergency communications’’. dered to lie on the table; as follows: lows: At the end of title IV, add the following: On page 1027, strike lines 3 through 13, and SA 2543. Mr. BAUCUS submitted an insert the following: Subtitle G—Immigration Related Provisions amendment intended to be proposed by (g) PROHIBITION ON USE OF HIGHWAY AC- SEC. 4701. PROHIBITION OF ISSUANCE OF DRIV- him to the bill S. 1072, to authorize COUNT FOR RAIL PROJECTS UNDER NEW PRO- ER’S LICENSES TO ILLEGAL ALIENS. funds for Federal-aid highways, high- GRAMS.—Section 9503(c) (relating to transfers (a) WITHHOLDING OF FUNDS FOR NONCOMPLI- way safety programs, and transit pro- from Highway Trust Fund for certain repay- ANCE.—The Secretary of Transportation grams, and for other purposes; which ments and credits) is amended by adding at shall withhold 10 per cent of the amount re- was ordered to lie on the table; as fol- the end the following new paragraph: quired to be apportioned to any State under lows: ‘‘(6) PROHIBITION ON USE OF HIGHWAY AC- this Act on the first day of each fiscal year COUNT FOR CERTAIN RAIL PROJECTS.—With re- after the second fiscal year beginning after Insert the following after elements in Sec- spect to rail projects under programs begin- September 30, 2004, if such State permits by tion 148(a)(5)(C): ‘‘, including integrated, ning after the date of the enactment of this statute, regulation, or executive order the interoperable emergency communications,’’. paragraph, no amount shall be available issuance of a State Driver’s license or identi- from the Highway Account (as defined in fication card to aliens who do not present SA 2544. Mr. BAUCUS submitted an subsection (e)(5)(B)).’’. valid documentation of lawful presence in amendment intended to be proposed by the United States as determined by the Im- him to the bill S. 1072, to authorize SA 2550. Mr. THOMAS submitted an migration and Nationality Act (8 U.S.C. funds for Federal-aid highways, high- amendment intended to be proposed to 1101).

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(b) EFFECT OF WITHHOLDING OF FUNDS.— (2) BUILD AMERICA CORPORATION PROJECTS.— SEC. 4632. CAPITAL GRANTS FOR RAILROAD Any funds recovered due to a reduction in (A) IN GENERAL.—With respect to any Build TRACK. State funding in accordance with subsection America bonds issued by the Build America (a) AUTHORITY.—Chapter 223 of title 49, (a) shall be redistributed amongst the States Corporation as authorized by section 4602, United States Code, is amended to read as that are in compliance with this section in the term ‘‘qualified project’’ means any— follows: accordance with the formulas set forth in (i) qualified highway project, ‘‘CHAPTER 223—CAPITAL GRANTS FOR this Act, calculated without taking into ac- (ii) qualified public transportation project, RAILROAD TRACK count the States that have violated this sec- and ‘‘Sec. tion. (iii) congestion relief project, ‘‘22301. Capital grants for railroad track. (c) The Bureau of Immigration and Cus- toms Enforcement of the Department of proposed by 1 or more States and approved ‘‘§ 22301. Capital grants for railroad track Homeland Security shall issue a list of docu- by the Build America Corporation, which ‘‘(a) ESTABLISHMENT OF PROGRAM.— ments or combinations of documents estab- meets the requirements under clauses (i), ‘‘(1) ESTABLISHMENT.—The Secretary of lishing legal presence in the United States (ii), and (iii) of subparagraph (D). Transportation shall establish a program of by September 30, 2004. The Secretary shall (B) QUALIFIED HIGHWAY PROJECT.—The term capital grants for the rehabilitation, preser- utilize such list for the purpose of deter- ‘‘qualified highway project’’ means a project vation, or improvement of railroad track (in- minations of compliance with subsection (a). for highway facilities or other facilities cluding roadbed, bridges, and related track which are eligible for assistance under title structures) of class II and class III railroads. SA 2552. Mr. WYDEN (for himself and 23, United States Code. Such grants shall be for rehabilitating, pre- Mr. TALENT) submitted an amendment (C) QUALIFIED PUBLIC TRANSPORTATION serving, or improving track used primarily intended to be proposed to amendment PROJECT.—The term ‘‘qualified public trans- for freight transportation to a standard en- SA 2341 submitted by Mr. TALENT (for portation project’’ means a project for public suring that the track can be operated safely and efficiently, including grants for rehabili- himself and Mr. WYDEN) and intended transportation facilities or other facilities which are eligible for assistance under chap- tating, preserving, or improving track to to be proposed to the bill S. 1072, to au- handle 286,000 pound rail cars. Grants may be ter 53 of title 49, United States Code. thorize funds for Federal-aid highways, provided under this chapter— (D) CONGESTION RELIEF PROJECT.—The term highway safety programs, and transit ‘‘(A) directly to the class II or class III ‘‘congestion relief project’’ means an inter- programs, and for other purposes; railroad; or modal freight transfer facility, freight rail which was ordered to lie on the table; ‘‘(B) with the concurrence of the class II or facility, freight movement corridor, inter- as follows: class III railroad, to a State or local govern- city passenger rail or facility, intercity bus ment. Strike all after the first word and insert vehicle or facility, border crossing facility, ‘‘(2) STATE COOPERATION.—Class II and class the following: or other public or private facility approved 4602. ESTABLISHMENT OF BUILD AMERICA III railroad applicants for a grant under this as a congestion relief project by the Sec- chapter are encouraged to utilize the exper- CORPORATION. retary of Transportation. In making such ap- There is established a nonprofit corpora- tise and assistance of State transportation provals, the Secretary of Transportation tion, to be known as the ‘‘Build America agencies in applying for and administering shall— Corporation’’. The Build America Corpora- such grants. State transportation agencies (i) consider the economic, environmental, tion is not an agency or establishment of the are encouraged to provide such expertise and United States Government. The purpose of mobility, and national security improve- assistance to such railroads. the Corporation is to support qualified ments to be realized through the project, and ‘‘(3) REGULATIONS.— projects described in section 4603(c)(2) (ii) give preference to projects with na- ‘‘(A) IN GENERAL.—The Secretary shall pre- through the issuance of Build America tional or regional significance, including any scribe regulations to carry out the program bonds. The Corporation shall be subject, to projects sponsored by a coalition of States or under this section. the extent consistent with this section, to a combination of States and private sector ‘‘(B) CRITERIA.—In developing the regula- the laws of the State of Delaware applicable entities, in terms of generating economic tions, the Secretary shall establish criteria to corporations not for profit. benefits, supporting international com- that— SEC. 4603. FEDERAL BONDS FOR TRANSPOR- merce, or otherwise enhancing the national ‘‘(i) condition the award of a grant to a TATION INFRASTRUCTURE. transportation system. railroad on reasonable assurances by the (a) USE OF BOND PROCEEDS.—The proceeds (D) ADDITIONAL REQUIREMENTS FOR QUALI- railroad that the facilities to be rehabili- from the sale of— FIED PROJECTS.—For purposes of subpara- tated and improved will be economically and (1) any bonds authorized, issued, or guaran- graph (A)— efficiently utilized; teed by the Federal Government that are (i) COSTS OF QUALIFIED PROJECTS.—The re- ‘‘(ii) ensure that the award of a grant is available to fund passenger rail projects pur- quirement of this clause is met if the costs of justified by present and probable future de- suant to any Federal law (enacted before, on, the qualified project funded by Build Amer- mand for rail services by the railroad to or after the date of the enactment of this ica bonds only relate to capital investments which the grant is to be awarded; Act), and in depreciable assets and do not include any ‘‘(iii) ensure that consideration is given to (2) any Build America bonds issued by the costs relating to operations, maintenance, or projects that are part of a State-sponsored Build America Corporation as authorized by rolling stock. rail plan; and section 4602, (ii) APPLICABILITY OF FEDERAL LAW.—The ‘‘(iv) ensure that all such grants are award- may be used to fund a qualified project if the requirement of this clause is met if the reed on a competitive basis. Secretary of Transportation determines that quirements of any Federal law, including ti- ‘‘(b) MAXIMUM FEDERAL SHARE.—The max- the qualified project is a cost-effective alter- tles 23, 40, and 49 of the United States Code, imum Federal share for carrying out a native for efficiently maximizing mobility of which would otherwise apply to projects to project under this section shall be 80 percent of the project cost. The non-Federal share individuals and goods. which the United States is a party or to may be provided by any non-Federal source (b) COMPLIANCE OF BENEFICIARIES WITH funds made available under such law and in cash, equipment, or supplies. Other in- CERTAIN STANDARDS.—A recipient of pro- projects assisted with those funds are applied ceeds of a grant, loan, Federal tax-credit kind contributions may be approved by the to— bonds, or any other form of financial assist- Secretary on a case by case basis consistent (I) funds made available under Build Amer- ance provided under this title shall comply with this chapter. ica bonds for similar qualified projects, and with the standards described in section 24312 ‘‘(c) PROJECT ELIGIBILITY.—For a project to of title 49, United States Code, as in effect on (II) similar qualified projects assisted by be eligible for assistance under this section June 25, 2003, with respect to any qualified the Build America Corporation through the the track must have been operated or owned project described in subsection (c)(1) in the use of such funds. by a class II or class III railroad as of the same manner that the National Passenger (iii) UTILIZATION OF UPDATED CONSTRUCTION date of the enactment of the Railroad Track Railroad Corporation is required to comply TECHNOLOGY FOR QUALIFIED PROJECTS.—The Modernization Act of 2004. with such standards for construction work requirement of this clause is met if the ap- ‘‘(d) USE OF FUNDS.—Grants provided under financed under an agreement entered into propriate State agency relating to the quali- this section shall be used to implement track under section 24308(a) of such title. fied project has updated its accepted con- capital projects as soon as possible. In no (c) QUALIFIED PROJECT DEFINED.—In this struction technologies to match a list pre- event shall grant funds be contractually ob- section— scribed by the Secretary of Transportation ligated for a project later than the end of the (1) IN GENERAL.—Except as provided in and in effect on the date of the approval of third Federal fiscal year following the year paragraph (2), the term ‘‘qualified project’’ the project as a qualified project. in which the grant was awarded. Any funds means any transportation infrastructure not so obligated by the end of such fiscal project of any governmental unit or other PART 2—RAILROAD TRACK MODERNIZATION year shall be returned to the Secretary for person that is proposed by a State, including SEC. 4631. SHORT TITLE. reallocation. a highway project, a transit system project, ‘‘(e) ADDITIONAL PURPOSE.—In addition to a railroad project, an airport project, a port This part may be cited as the ‘‘Railroad making grants for projects as provided in project, and an inland waterways project. Track Modernization Act of 2004’’. subsection (a), the Secretary may also make

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grants to supplement direct loans or loan section (a). The report shall include any rec- ‘‘(f) FEDERAL SHARE.—The total amount of guarantees made under title V of the Rail- ommendations that the Secretary considers a grant awarded under this section for a rail road Revitalization and Regulatory Reform appropriate regarding the eligibility of light line relocation project shall be 90 percent of Act of 1976 (45 U.S.C. 822(d)), for projects de- density rail networks for Federal infrastruc- the shared costs of the project, as deter- scribed in the last sentence of section 502(d) ture financing. mined under subsection (g)(4). of such title. Grants made under this sub- SEC. 4635. AUTHORIZATION OF APPROPRIATIONS. ‘‘(g) STATE SHARE.— section may be used, in whole or in part, for There are authorized to be appropriated to ‘‘(1) PERCENTAGE.—A State shall pay 10 paying credit risk premiums, lowering rates the Secretary of Transportation $350,000,000 percent of the shared costs of a project that of interest, or providing for a holiday on for each of fiscal years 2004, 2005, and 2006 for is funded in part by a grant awarded under principal payments. carrying out section 22301 of title 49, United this section. ‘‘(f) EMPLOYEE PROTECTION.—The Secretary States Code (as added by section 4601). ‘‘(2) FORMS OF CONTRIBUTIONS.—The share shall require as a condition of any grant required by paragraph (1) may be paid in PART 3—OTHER RAIL TRANSPORTATION- made under this section that the recipient cash or in kind. RELATED PROVISIONS railroad provide a fair arrangement at least ‘‘(3) IN-KIND CONTRIBUTIONS.—The in-kind as protective of the interests of employees SEC. 4661. CAPITAL GRANTS FOR RAIL LINE RE- contributions that are permitted to be who are affected by the project to be funded LOCATION PROJECTS. counted under paragraph (2) for a project for with the grant as the terms imposed under (a) ESTABLISHMENT OF PROGRAM.— a State are as follows: section 11326(a), as in effect on the date of (1) PROGRAM REQUIREMENTS.—Chapter 201 ‘‘(A) A contribution of real property or the enactment of the Railroad Track Mod- of title 49, United States Code, is amended by tangible personal property (whether provided ernization Act of 2001. adding at the end of subchapter II the fol- by the State or a person for the State). ‘‘(g) LABOR STANDARDS.— lowing: ‘‘(B) A contribution of the services of em- ‘‘(1) PREVAILING WAGES.—The Secretary ‘‘§ 20154. Capital grants for rail line reloca- ployees of the State, calculated on the basis shall ensure that laborers and mechanics em- tion projects of costs incurred by the State for the pay ployed by contractors and subcontractors in ‘‘(a) ESTABLISHMENT OF PROGRAM.—The and benefits of the employees, but excluding construction work financed by a grant made Secretary of Transportation shall carry out overhead and general administrative costs. under this section will be paid wages not less a grant program to provide financial assist- ‘‘(C) A payment of any costs that were in- than those prevailing on similar construc- ance for local rail line relocation projects. curred for the project before the filing of an tion in the locality, as determined by the ‘‘(b) ELIGIBILITY.—A State is eligible for a application for a grant for the project under Secretary of Labor under the Act of March 3, grant under this section for any project for this section, and any in-kind contributions 1931 (known as the Davis-Bacon Act; 40 the improvement of the route or structure of that were made for the project before the fil- U.S.C. 276a et seq.). The Secretary shall a rail line passing through a municipality of ing of the application, if and to the extent make a grant under this section only after the State that— that the costs were incurred or in-kind con- being assured that required labor standards ‘‘(1) is carried out for the purpose of miti- tributions were made, as the case may be, to will be maintained on the construction work. gating the adverse effects of rail traffic on comply with a provision of a statute required ‘‘(2) WAGE RATES.—Wage rates in a collec- safety, motor vehicle traffic flow, or eco- to be satisfied in order to carry out the tive bargaining agreement negotiated under nomic development in the municipality; project. the Railway Labor Act (45 U.S.C. 151 et seq.) ‘‘(2) involves a lateral or vertical reloca- ‘‘(4) COSTS NOT SHARED.— are deemed for purposes of this subsection to tion of any portion of the rail line within the ‘‘(A) IN GENERAL.—For the purposes of sub- comply with the Act of March 3, 1931 (known municipality to avoid a closing of a grade section (f) and this subsection, the shared as the Davis-Bacon Act; 40 U.S.C. 276a et crossing or the construction of a road under- costs of a project in a municipality do not seq.).’’. pass or overpass; and include any cost that is defrayed with any (b) CONFORMING AMENDMENT.—The item re- ‘‘(3) meets the costs-benefits requirement funds or in-kind contribution that a source lating to chapter 223 in the table of chapters set forth in subsection (c). other than the municipality makes available of subtitle V of title 49, United States Code, ‘‘(c) COSTS-BENEFITS REQUIREMENT.—A for the use of the municipality without im- is amended to read as follows: grant may be awarded under this section for posing at least 1 of the following conditions: ‘‘223. Capital grants for railroad a project for the relocation of a rail line only ‘‘(i) The condition that the municipality track ...... 22301’’. if the benefits of the project for the period use the funds or contribution only for the SEC. 4633. REGULATIONS. equal to the estimated economic life of the project. (a) REGULATIONS.—The Secretary of relocated rail line exceed the costs of the ‘‘(ii) The condition that the availability of Transporation shall prescribe under sub- project for that period, as determined by the the funds or contribution to the munici- section (a)(3) of section 22301 of title 49, Secretary considering the following factors: pality is contingent on the execution of the United States Code (as added by section ‘‘(1) The effects of the rail line and the rail project. 4601), interim and final regulations for the traffic on motor vehicle and pedestrian traf- ‘‘(B) DETERMINATIONS OF THE SECRETARY.— administration of the grant program under fic, safety, and area commerce if the rail line The Secretary shall determine the amount of such section as follows: were not so relocated. the costs, if any, that are not shared costs (1) INTERIM REGULATIONS.—The Secretary ‘‘(2) The effects of the rail line, relocated under this paragraph and the total amount shall prescribe the interim regulations to as proposed, on motor vehicle and pedestrian of the shared costs. A determination of the implement the program not later than De- traffic, safety, and area commerce. Secretary shall be final. cember 31, 2003. ‘‘(3) The effects of the rail line, relocated ‘‘(h) MULTISTATE AGREEMENTS TO COMBINE (2) FINAL REGULATIONS.—The Secretary as proposed, on the freight and passenger rail AMOUNTS.—Two or more States (not includ- shall prescribe the final regulations not later operations on the rail line. ing political subdivisions of States) may, than October 1, 2004. ‘‘(d) CONSIDERATIONS FOR APPROVAL OF pursuant to an agreement entered into by (b) INAPPLICABILITY OF RULEMAKING PROCE- GRANT APPLICATIONS.—In addition to consid- the States, combine any part of the amounts DURE TO INTERIM REGULATIONS.—Subchapter ering the relationship of benefits to costs in provided through grants for a project under II of chapter 5 of title 5, United States Code, determining whether to award a grant to an this section if— shall not apply to the issuance of an interim eligible State under this section, the Sec- ‘‘(1) the project will benefit each of the regulation or to any amendment of such an retary shall consider the following factors: States entering into the agreement; and interim regulation. ‘‘(1) The capability of the State to fund the ‘‘(2) the agreement is not a violation of a (c) CRITERIA.—The requirement for the es- rail line relocation project without Federal law of any such State. tablishment of criteria under subparagraph grant funding. ‘‘(i) REGULATIONS.—The Secretary shall (B) of section 22301(a)(3) of title 49, United ‘‘(2) The requirement and limitation relat- prescribe regulations for carrying out this States Code, applies to the interim regula- ing to allocation of grant funds provided in section. tions as well as to the final regulations. subsection (e). ‘‘(j) STATE DEFINED.—In this section, the SEC. 4634. STUDY OF GRANT-FUNDED PROJECTS. ‘‘(3) Equitable treatment of the various re- term ‘State’ includes, except as otherwise specifically provided, a political subdivision (a) REQUIREMENT FOR STUDY.—The Sec- gions of the United States. of a State. retary of Transportation shall conduct a ‘‘(e) ALLOCATION REQUIREMENTS.— ‘‘(k) AUTHORIZATION OF APPROPRIATIONS.— study of the projects carried out with grant ‘‘(1) GRANTS NOT GREATER THAN There are authorized to be appropriated to assistance under section 22301 of title 49, $20,000,000.—At least 50 percent of all grant the Secretary for use in carrying out this United States Code (as added by section funds awarded under this section out of section $350,000,000 for each of the fiscal 4601), to determine the public interest bene- funds appropriated for a fiscal year shall be years 2004 through 2008.’’. fits associated with the light density rail- provided as grant awards of not more than (2) CLERICAL AMENDMENT.—The chapter road networks in the States and their con- $20,000,000 each. analysis for such chapter is amended by add- tribution to a multimodal transportation ‘‘(2) LIMITATION PER PROJECT.—Not more ing at the end the following: system. than 25 percent of the total amount available (b) REPORT.—Not later than March 31, 2004, for carrying out this section for a fiscal year ‘‘20154. Capital grants for rail line relocation the Secretary shall submit to Congress a re- may be provided for any 1 project in that fis- projects.’’. port on the results of the study under sub- cal year. (b) REGULATIONS.—

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(1) INTERIM REGULATIONS.—Not later than (b) PURPOSE.—The purpose of this subtitle ‘‘(2) CARRYOVER OF UNUSED CREDIT.—If the October 1, 2003, the Secretary of Transpor- is to provide financing for long-term infra- credit allowable under subsection (a) exceeds tation shall issue temporary regulations to structure capital investments that are not the limitation imposed by paragraph (1) for implement the grant program under section currently being met by existing transpor- such taxable year, such excess shall be car- 20154 of title 49, United States Code, as added tation and infrastructure investment pro- ried to the succeeding taxable year and by subsection (a). Subchapter II of chapter 5 grams, including mega-projects, projects of added to the credit allowable under sub- of title 5, United States Code, shall not apply national significance and high priority section (a) for such taxable year. to the issuance of a temporary regulation projects, multi-State transportation cor- ‘‘(d) CREDIT INCLUDED IN GROSS INCOME.— under this subsection or of any amendment ridors, intermodal transportation facilities, Gross income includes the amount of the of such a temporary regulation. replacement and reconstruction of deficient credit allowed to the taxpayer under this (2) FINAL REGULATIONS.—Not later than and obsolete bridges, interstate highways, section (determined without regard to sub- March 31, 2004, the Secretary shall issue final public transportation systems, and rail sys- section (c)) and the amount so included shall regulations implementing the program. tems. be treated as interest income. SEC. 5673. CREDIT TO HOLDERS OF BUILD AMER- ‘‘(e) BUILD AMERICA BOND.—For purposes of SA 2553. Mr. WYDEN (for himself and ICA BONDS. this part, the term ‘Build America bond’ (a) IN GENERAL.—Part IV of subchapter A Mr. TALENT) submitted an amendment means any bond issued as part of an issue of chapter 1 (relating to credits against tax) if— intended to be proposed to amendment is amended by adding at the end the fol- ‘‘(1) the net spendable proceeds from the SA 2340 submitted by Mr. TALENT (for lowing new subpart: sale of such issue are to be used— himself, Mr. WYDEN, Mr. CORZINE, and ‘‘Subpart H—Nonrefundable Credit for ‘‘(A) for expenditures incurred after the Mr. COLEMAN) and intended to be pro- Holders of Build America Bonds date of the enactment of this section for any posed to the bill S. 1072, to authorize ‘‘Sec. 54. Credit to holders of Build America qualified project, or funds for Federal-aid highways, high- bonds. ‘‘(B) for deposit in the Build America Trust way safety programs, and transit pro- ‘‘SEC. 54. CREDIT TO HOLDERS OF BUILD AMER- Account for repayment of Build America grams, and for other purposes; which ICA BONDS. bonds at maturity, was ordered to lie on the table; as fol- ‘‘(a) ALLOWANCE OF CREDIT.—In the case of ‘‘(2) the bond is issued by the Transpor- a taxpayer who holds a Build America bond lows: tation Finance Corporation, is in registered on a credit allowance date of such bond form, and meets the Build America bond lim- Strike all after the first word and insert which occurs during the taxable year, there itation requirements under subsection (g), the following: shall be allowed as a credit against the tax ‘‘(3) the Transportation Finance Corpora- Subtitle H—Build America Bonds imposed by this chapter for such taxable tion certifies that it meets the State con- year an amount equal to the sum of the cred- SEC. 5671. SHORT TITLE; ETC. tribution requirement of subsection (k) with its determined under subsection (b) with re- (a) SHORT TITLE.—This subtitle may be respect to such project, as in effect on the spect to credit allowance dates during such cited as the ‘‘Build America Bonds Act of date of issuance, year on which the taxpayer holds such bond. ‘‘(4) the Transportation Finance Corpora- 2004’’. ‘‘(b) AMOUNT OF CREDIT.— tion certifies that the State in which an ap- (b) REFERENCES TO INTERNAL REVENUE ‘‘(1) IN GENERAL.—The amount of the credit CODE OF 1986.—Except as otherwise expressly determined under this subsection with re- proved qualified project is located meets the provided, whenever in this subtitle an spect to any credit allowance date for a requirement described in subsection (l), amendment or repeal is expressed in terms of Build America bond is 25 percent of the an- ‘‘(5) except for bonds issued in accordance an amendment to, or repeal of, a section or nual credit determined with respect to such with subsection (g)(6), the term of each bond other provision, the reference shall be con- bond. which is part of such issue does not exceed 30 sidered to be made to a section or other pro- ‘‘(2) ANNUAL CREDIT.—The annual credit de- years, vision of the Internal Revenue Code of 1986. termined with respect to any Build America ‘‘(6) the payment of principal with respect SEC. 5672. FINDINGS AND PURPOSE. bond is the product of— to such bond is the obligation of the Trans- (a) FINDINGS.—Congress finds the fol- ‘‘(A) the applicable credit rate, multiplied portation Finance Corporation, and lowing: by ‘‘(7) with respect to bonds described in (1) Our Nation’s highways, public transpor- ‘‘(B) the outstanding face amount of the paragraph (1)(A), the issue meets the require- tation systems, and rail systems drive our bond. ments of subsection (h) (relating to arbi- economy, enabling all industries to achieve ‘‘(3) APPLICABLE CREDIT RATE.—For pur- trage). growth and productivity that makes Amer- poses of paragraph (2), the applicable credit ‘‘(f) QUALIFIED PROJECT.—For purposes of ica strong and prosperous. rate with respect to an issue is the rate this section— (2) The establishment, maintenance, and equal to an average market yield (as of the ‘‘(1) IN GENERAL.—The term ‘qualified improvement of the national transportation day before the date of sale of the issue) on project’ means any— network is a national priority, for economic, outstanding long-term corporate debt obliga- ‘‘(A) qualified highway project, environmental, energy, security, and other tions (determined in such manner as the Sec- ‘‘(B) qualified public transportation reasons. retary prescribes). project, and (3) The ability to move people and goods is ‘‘(4) CREDIT ALLOWANCE DATE.—For pur- ‘‘(C) congestion relief project, critical to maintaining State, metropolitan, poses of this section, the term ‘credit allow- proposed by 1 or more States and approved rural, and local economies. ance date’ means— by the Transportation Finance Corporation. (4) The construction of infrastructure re- ‘‘(A) March 15, ‘‘(2) QUALIFIED HIGHWAY PROJECT.—The quires the skills of numerous occupations, ‘‘(B) June 15, term ‘qualified highway project’ means a including those in the contracting, engineer- ‘‘(C) September 15, and project for highway facilities or other facili- ing, planning and design, materials supply, ‘‘(D) December 15. ties which are eligible for assistance under manufacturing, distribution, and safety in- Such term includes the last day on which the title 23, United States Code. dustries. bond is outstanding. ‘‘(3) QUALIFIED PUBLIC TRANSPORTATION (5) Investing in transportation infrastruc- ‘‘(5) SPECIAL RULE FOR ISSUANCE AND RE- PROJECT.—The term ‘qualified public trans- ture creates long-term capital assets for the DEMPTION.—In the case of a bond which is portation project’ means a project for public Nation that will help the United States ad- issued during the 3-month period ending on a transportation facilities or other facilities dress its enormous infrastructure needs and credit allowance date, the amount of the which are eligible for assistance under chap- improve its economic productivity. credit determined under this subsection with ter 53 of title 49, United States Code. (6) Investment in transportation infra- respect to such credit allowance date shall ‘‘(4) CONGESTION RELIEF PROJECT.—The structure creates jobs and spurs economic be a ratable portion of the credit otherwise term ‘congestion relief project’ means an activity to put people back to work and determined based on the portion of the 3- intermodal freight transfer facility, freight stimulate the economy. month period during which the bond is out- rail facility, freight movement corridor, (7) Every billion dollars in transportation standing. A similar rule shall apply when the intercity passenger rail or facility, intercity investment has the potential to create up to bond is redeemed. bus vehicle or facility, border crossing facil- 47,500 jobs. ‘‘(c) LIMITATION BASED ON AMOUNT OF ity, or other public or private facility ap- (8) Every dollar invested in the Nation’s TAX.— proved as a congestion relief project by the transportation infrastructure yields at least ‘‘(1) IN GENERAL.—The credit allowed under Secretary of Transportation. In making such $5.70 in economic benefits because of reduced subsection (a) for any taxable year shall not approvals, the Secretary of Transportation delays, improved safety, and reduced vehicle exceed the excess of— shall— operating costs. ‘‘(A) the sum of the regular tax liability ‘‘(A) consider the economic, environ- (9) The proposed increases to the Transpor- (as defined in section 26(b)) plus the tax im- mental, mobility, and national security im- tation Equity Act for the 21st Century (TEA– posed by section 55, over provements to be realized through the 21) will not be sufficient to compensate for ‘‘(B) the sum of the credits allowable under project, and the Nation’s transportation infrastructure this part (other than this subpart and sub- ‘‘(B) give preference to projects with na- deficit. part C). tional or regional significance, including any

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00230 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1187 projects sponsored by a coalition of States or tion imposed by paragraph (1) and until used which such cessation occurs) by the aggre- a combination of States and private sector by issuance of Build America bonds. gate decrease in the credits allowed under entities, in terms of generating economic ‘‘(6) ISSUANCE OF SMALL DENOMINATION this section to such holder for taxable years benefits, supporting international com- BONDS.—From the Build America bond limi- beginning in such 3 calendar years which merce, or otherwise enhancing the national tation for each year, the Transportation Fi- would have resulted solely from denying any transportation system. nance Corporation shall issue a limited credit under this section with respect to ‘‘(g) LIMITATION ON AMOUNT OF BONDS DES- quantity of Build America bonds in small de- such issue for such taxable years. IGNATED; ALLOCATION OF BOND PROCEEDS.— nominations suitable for purchase as gifts by ‘‘(3) SPECIAL RULES.— ‘‘(1) NATIONAL LIMITATION.—There is a individual investors wishing to show their ‘‘(A) TAX BENEFIT RULE.—The tax for the Build America bond limitation for each cal- support for investing in America’s infra- taxable year shall be increased under para- endar year. Such limitation is— structure. graph (2) only with respect to credits allowed ‘‘(h) SPECIAL RULES RELATING TO ARBI- ‘‘(A) with respect to bonds described in by reason of this section which were used to TRAGE.— subsection (e)(1)(A), reduce tax liability. In the case of credits ‘‘(1) IN GENERAL.—Subject to paragraph (2), ‘‘(i) $11,000,000,000 for 2004, not so used to reduce tax liability, the an issue shall be treated as meeting the re- ‘‘(ii) $16,000,000,000 for 2005, carryforwards and carrybacks under section quirements of this subsection if as of the ‘‘(iii) $16,000,000,000 for 2006, 39 shall be appropriately adjusted. date of issuance, the Transportation Finance ‘‘(iv) $6,000,000,000 for 2007, ‘‘(B) NO CREDITS AGAINST TAX.—Any in- Corporation reasonably expects— crease in tax under paragraph (2) shall not be ‘‘(v) $3,500,000,000 for 2008, ‘‘(A) to spend at least 85 percent of the net ‘‘(vi) $3,500,000,000 for 2009, and treated as a tax imposed by this chapter for spendable proceeds from the sale of the issue purposes of determining— ‘‘(vii) except as provided in paragraph (5), for 1 or more qualified projects within the 5- zero thereafter, plus ‘‘(i) the amount of any credit allowable year period beginning on such date, under this part, or ‘‘(B) with respect to bonds described in ‘‘(B) to incur a binding commitment with a subsection (e)(1)(B), such amount each cal- ‘‘(ii) the amount of the tax imposed by sec- third party to spend at least 10 percent of the tion 55. endar year as determined necessary by the net spendable proceeds from the sale of the ‘‘(j) BUILD AMERICA TRUST ACCOUNT.— Transportation Finance Corporation to pro- issue, or to commence construction, with re- ‘‘(1) IN GENERAL.—The following amounts vide funds in the Build America Trust Ac- spect to such projects within the 12-month shall be held in a Build America Trust Ac- count for the repayment of Build America period beginning on such date, and bonds at maturity. ‘‘(C) to proceed with due diligence to com- count by the Transportation Finance Cor- ‘‘(2) CONGESTION RELIEF PROJECTS.—From plete such projects and to spend the net poration: Build America bonds issued under the annual spendable proceeds from the sale of the issue. ‘‘(A) The proceeds from the sale of all bonds issued under this section. limitation in paragraph (1)(A), $1,000,000,000 ‘‘(2) SPENT PROCEEDS.—Net spendable proof net spendable proceeds shall be reserved ceeds are considered spent by the Transpor- ‘‘(B) The amount of any matching con- for each of the calendar years 2004, 2005, 2006, tation Finance Corporation when a sponsor tributions with respect to such bonds. 2007, 2008, and 2009 for allocation to conges- of a qualified project obtains a reimburse- ‘‘(C) The investment earnings on proceeds tion relief projects. ment from the Transportation Finance Cor- from the sale of such bonds. ‘‘(3) ALLOCATION OF BONDS FOR HIGHWAY AND poration for eligible project costs. ‘‘(D) Any earnings on any amounts de- PUBLIC TRANSPORTATION PURPOSES.—Except ‘‘(3) RULES REGARDING CONTINUING COMPLI- scribed in subparagraph (A), (B), or (C). with respect to qualified projects described ANCE AFTER 5-YEAR DETERMINATION.—If at ‘‘(2) USE OF FUNDS.—Amounts in the Build in subsection (j)(3), and subject to para- least 85 percent of the net spendable proceeds America Trust Account may be used only to graphs (2) and (4)— from the sale of the issue is not expended for pay costs of qualified projects, redeem Build ‘‘(A) QUALIFIED HIGHWAY PROJECTS.—From 1 or more qualified projects within the 5-year America bonds, and fund the operations of Build America bonds issued under the annual period beginning on the date of issuance, but the Transportation Finance Corporation, ex- limitation in paragraph (1)(A), the Transpor- the requirements of paragraph (1) are other- cept that amounts withdrawn from the Build tation Finance Corporation shall allocate 80 wise met, an issue shall be treated as con- America Trust Account to pay costs of quali- percent of the net spendable proceeds to the tinuing to meet the requirements of this sub- fied projects may not exceed the aggregate States for qualified highway projects in the section if the Transportation Finance Cor- proceeds from the sale of Build America following manner: poration uses all unspent net spendable pro- bonds described in subsection (e)(1)(A). ‘‘(i) 50 percent of such allocation shall be ceeds from the sale of the issue to redeem ‘‘(3) USE OF REMAINING FUNDS IN BUILD in accordance with the formulas for appor- bonds of the issue within 90 days after the AMERICA TRUST ACCOUNT.—Upon the redemp- tioning funds under sections 104(b) and 144 of end of such 5-year period. tion of all Build America bonds issued under title 23, United States Code. ‘‘(4) REALLOCATION.—In the event the re- this section, any remaining amounts in the ‘‘(ii) 50 percent of such allocation shall be cipient of an allocation under subsection (g) Build America Trust Account shall be avail- for projects, including projects of national fails to demonstrate to the satisfaction of able to the Transportation Finance Corpora- significance and high priority projects, des- the Transportation Finance Corporation tion to pay the costs of any qualified project. ignated by law. that its actions will allow the Transpor- ‘‘(4) COSTS OF QUALIFIED PROJECTS.—For ‘‘(B) QUALIFIED PUBLIC TRANSPORTATION tation Finance Corporation to meet the re- purposes of this section, the costs of quali- PROJECTS.—From Build America bonds quirements under this subsection, the Trans- fied projects which may be funded by issued under the annual limitation in para- portation Finance Corporation may redis- amounts in the Build America Trust Ac- graph (1)(A), the Transportation Finance tribute the allocation meant for such recipi- count may only relate to capital invest- Corporation shall allocate 20 percent of the ent to other recipients. ments in depreciable assets and may not in- net spendable proceeds to the States for ‘‘(i) RECAPTURE OF PORTION OF CREDIT clude any costs relating to operations, main- qualified public transportation projects in WHERE CESSATION OF COMPLIANCE.— tenance, or rolling stock. the following manner: ‘‘(1) IN GENERAL.—If any bond which when ‘‘(5) APPLICABILITY OF FEDERAL LAW.—The ‘‘(i) 50 percent of such allocation shall be issued purported to be a Build America bond requirements of any Federal law, including in accordance with the distribution of public ceases to be such a qualified bond, the Trans- titles 23, 40, and 49 of the United States Code, transportation formula grants under sec- portation Finance Corporation shall pay to which would otherwise apply to projects to tions 5307, 5308, 5310, 5311, and 5327 of title 49, the United States (at the time required by which the United States is a party or to United States Code. the Secretary) an amount equal to the sum funds made available under such law and ‘‘(ii) 50 percent of such allocation shall be of— projects assisted with those funds shall apply for projects, including projects of national ‘‘(A) the aggregate of the credits allowable to— significance and high priority projects, des- under this section with respect to such bond ‘‘(A) funds made available under the Build ignated by law. (determined without regard to subsection America Trust Account for similar qualified ‘‘(4) MINIMUM ALLOCATIONS TO STATES.—In (c)) for taxable years ending during the cal- projects, including contributions required making allocations for each calendar year endar year in which such cessation occurs under subsection (k), and under paragraph (3), the Transportation Fi- and the 2 preceding calendar years, and ‘‘(B) similar qualified projects assisted by nance Corporation shall ensure that the ‘‘(B) interest at the underpayment rate the Transportation Finance Corporation amount allocated for qualified projects lo- under section 6621 on the amount determined through the use of such funds. cated in each State for such calendar year is under subparagraph (A) for each calendar ‘‘(6) INVESTMENT.—It shall be the duty of not less than 1 percent of the total amount year for the period beginning on the first day the Transportation Finance Corporation to allocated for such year. of such calendar year. invest in investment grade obligations such ‘‘(5) CARRYOVER OF UNUSED ISSUANCE LIMI- ‘‘(2) FAILURE TO PAY.—If the Transpor- portion of the Build America Trust Account TATION.—If for any calendar year the limita- tation Finance Corporation fails to timely as is not, in the judgment of the Board of Di- tion amount imposed by paragraph (1) ex- pay the amount required by paragraph (1) rectors of the Transportation Finance Cor- ceeds the amount of Build America bonds with respect to such bond, the tax imposed poration, required to meet current with- issued during such year, such excess shall be by this chapter on each holder of any such drawals. Such investments may be made in carried forward to one or more succeeding bond which is part of such issue shall be in- State and local transportation bonds. calendar years as an addition to the limita- creased (for the taxable year of the holder in ‘‘(k) STATE CONTRIBUTION REQUIREMENTS.—

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‘‘(1) IN GENERAL.—For purposes of sub- stripped bond and to the credit under this the ‘‘Transportation Finance Corporation’’ section (e)(3), the State contribution require- section as if it were a stripped coupon. (hereafter in this section referred to as the ment of this subsection is met with respect ‘‘(9) CREDITS MAY BE TRANSFERRED.—Noth- ‘‘Corporation’’). The Corporation is not a de- to any qualified project if the Transpor- ing in any law or rule of law shall be con- partment, agency, or instrumentality of the tation Finance Corporation has received strued to limit the transferability of the United States Government, and shall not be from 1 or more States, not later than the credit or bond allowed by this section subject to title 31, United States Code. date of issuance of the bond, written com- through sale and repurchase agreements. (b) PRINCIPAL OFFICE; APPLICATION OF mitments for matching contributions of not ‘‘(10) REPORTING.—The Transportation Fi- LAWS.—The principal office and place of less than 20 percent of the cost of the quali- nance Corporation shall submit reports simi- business of the Corporation shall be in the fied project. lar to the reports required under section District of Columbia, and, to the extent con- ‘‘(2) STATE MATCHING CONTRIBUTIONS MAY 149(e). sistent with this section, the District of Co- NOT INCLUDE FEDERAL FUNDS.—For purposes ‘‘(11) PROHIBITION ON USE OF HIGHWAY lumbia Business Corporation Act (D.C. Code 29–301 et seq.) shall apply. of this subsection, State matching contribu- TRUST FUND.—Notwithstanding any other (c) FUNCTIONS OF CORPORATION.—The Cor- tions shall not be derived, directly or indi- provision of law, no funds derived from the poration shall— rectly, from Federal funds, including any Highway Trust Fund established under sec- (1) issue Build America bonds for the fi- transfers from the Highway Trust Fund tion 9503 shall be used to pay costs associ- nancing of qualified projects as required under section 9503. ated with the Build America bonds issued under section 54 of the Internal Revenue ‘‘(l) UTILIZATION OF UPDATED CONSTRUCTION under this section.’’. Code of 1986, TECHNOLOGY FOR QUALIFIED PROJECTS.—For (b) AMENDMENTS TO OTHER CODE SEC- (2) establish and operate the Build America purposes of subsection (e)(4), the require- TIONS.— Trust Account as required under section 54(j) ment of this subsection is met if the appro- (1) REPORTING.—Subsection (d) of section priate State agency relating to the qualified 6049 (relating to returns regarding payments of such Code, project has updated its accepted construc- of interest) is amended by adding at the end (3) act as a centralized entity to provide fi- tion technologies to match a list prescribed the following new paragraph: nancing for qualified projects, (4) leverage resources and stimulate public by the Secretary of Transportation and in ef- ‘‘(8) REPORTING OF CREDIT ON BUILD AMERICA fect on the date of the approval of the and private investment in transportation in- BONDS.— project as a qualified project. frastructure, ‘‘(A) IN GENERAL.—For purposes of sub- ‘‘(m) OTHER DEFINITIONS AND SPECIAL section (a), the term ‘interest’ includes (5) encourage States to create additional RULES.—For purposes of this section— amounts includible in gross income under opportunities for the financing of transpor- ‘‘(1) ADMINISTRATIVE COSTS.—The term ‘ad- section 54(d) and such amounts shall be tation infrastructure and to provide tech- ministrative costs’ shall only include costs nical assistance to States, if needed, of issuance of Build America bonds and oper- treated as paid on the credit allowance date (as defined in section 54(b)(4)). (6) perform any other function the sole ation costs of the Transportation Corpora- purpose of which is to carry out the financ- tion. ‘‘(B) REPORTING TO CORPORATIONS, ETC.— Except as otherwise provided in regulations, ing of qualified projects through Build Amer- ‘‘(2) BOND.—The term ‘bond’ includes any ica bonds, and obligation. in the case of any interest described in subparagraph (A), subsection (b)(4) shall be ap- (7) not later than February 15 of each year ‘‘(3) NET SPENDABLE PROCEEDS.—The term submit a report to Congress— ‘net spendable proceeds’ means the proceeds plied without regard to subparagraphs (A), (H), (I), (J), (K), and (L)(i) of such subsection. (A) describing the activities of the Cor- from the sale of any Build America bond poration for the preceding year, and issued under this section reduced by not ‘‘(C) REGULATORY AUTHORITY.—The Sec- retary may prescribe such regulations as are (B) specifying whether the amounts depos- more than 5 percent of such proceeds for ad- ited and expected to be deposited in the ministrative costs. necessary or appropriate to carry out the purposes of this paragraph, including regula- Build America Trust Account are sufficient ‘‘(4) STATE.—The term ‘State’ shall have to fully repay at maturity the principal of the meaning given such term by section 101 tions which require more frequent or more detailed reporting.’’. any outstanding Build America bonds issued of title 23, United States Code. pursuant to such section 54. (2) TREATMENT FOR ESTIMATED TAX PUR- ‘‘(5) TREATMENT OF CHANGES IN USE.—For (d) POWERS OF CORPORATION.—The Corpora- POSES.— purposes of subsection (e)(1)(A), the net tion— (A) INDIVIDUAL.—Section 6654 (relating to spendable proceeds from the sale of an issue (1) may sue and be sued, complain and de- failure by individual to pay estimated in- shall not be treated as used for a qualified fend, in its corporate name, in any court of come tax) is amended by redesignating sub- project to the extent that the Transpor- competent jurisdiction, section (m) as subsection (n) and by insert- tation Finance Corporation takes any action (2) may adopt, alter, and use a seal, which ing after subsection (l) the following new within its control which causes such pro- shall be judicially noticed, subsection: ceeds not to be used for a qualified project. (3) may prescribe, amend, and repeal such ‘‘(m) SPECIAL RULE FOR HOLDERS OF BUILD The Secretary shall specify remedial actions rules and regulations as may be necessary AMERICA BONDS.—For purposes of this sec- which may be taken (including conditions to tion, the credit allowed by section 54 to a for carrying out the functions of the Cor- taking such remedial actions) to prevent an taxpayer by reason of holding a Build Amer- poration, action described in the preceding sentence ica bond on a credit allowance date shall be (4) may make and perform such contracts from causing a bond to fail to be a Build treated as if it were a payment of estimated and other agreements with any individual, America bond. tax made by the taxpayer on such date.’’. corporation, or other private or public entity ‘‘(6) PARTNERSHIP; S CORPORATION; AND however designated and wherever situated, (B) CORPORATE.—Subsection (g) of section OTHER PASS-THRU ENTITIES.—In the case of a 6655 (relating to failure by corporation to as may be necessary for carrying out the partnership, trust, S corporation, or other pay estimated income tax) is amended by functions of the Corporation, pass-thru entity, rules similar to the rules of adding at the end the following new para- (5) may determine and prescribe the man- section 41(g) shall apply with respect to the graph: ner in which its obligations shall be incurred credit allowable under subsection (a). and its expenses allowed and paid, ‘‘(5) SPECIAL RULE FOR HOLDERS OF BUILD ‘‘(7) BONDS HELD BY REGULATED INVESTMENT (6) may, as necessary for carrying out the AMERICA BONDS.—For purposes of this sec- COMPANIES.—If any Build America bond is tion, the credit allowed by section 54 to a functions of the Corporation, employ and fix held by a regulated investment company, the taxpayer by reason of holding a Build Amer- the compensation of employees and officers, credit determined under subsection (a) shall ica bond on a credit allowance date shall be (7) may lease, purchase, or otherwise ac- be allowed to shareholders of such company treated as if it were a payment of estimated quire, own, hold, improve, use, or otherwise under procedures prescribed by the Sec- tax made by the taxpayer on such date.’’. deal in and with such property (real, per- retary. (c) CLERICAL AMENDMENTS.— sonal, or mixed) or any interest therein, ‘‘(8) CREDITS MAY BE STRIPPED.—Under reg- (1) The table of subparts for part IV of sub- wherever situated, as may be necessary for ulations prescribed by the Secretary— chapter A of chapter 1 is amended by adding carrying out the functions of the Corpora- ‘‘(A) IN GENERAL.—There may be a separa- at the end the following new item: tion, tion (including at issuance) of the ownership (8) may accept gifts or donations of serv- of a Build America bond and the entitlement ‘‘Subpart H. Nonrefundable Credit for Hold- ices or of property (real, personal, or mixed), to the credit under this section with respect ers of Build America Bonds.’’. tangible or intangible, in furtherance of the to such bond. In case of any such separation, (2) Section 6401(b)(1) is amended by strik- purposes of this Act, and the credit under this section shall be allowed ing ‘‘and G’’ and inserting ‘‘G, and H’’. (9) shall have such other powers as may be to the person who on the credit allowance (d) EFFECTIVE DATE.—The amendments necessary and incident to carrying out this date holds the instrument evidencing the en- made by this section shall apply to obliga- Act. titlement to the credit and not to the holder tions issued after the day after the date of (e) NONPROFIT ENTITY; RESTRICTION ON USE of the bond. the enactment of this Act. OF MONEYS; CONFLICT OF INTERESTS; AU- ‘‘(B) CERTAIN RULES TO APPLY.—In the case SEC. 5674. TRANSPORTATION FINANCE CORPORA- DITS.— of a separation described in subparagraph TION. (1) NONPROFIT ENTITY.—The Corporation (A), the rules of section 1286 shall apply to (a) ESTABLISHMENT AND STATUS.—There is shall be a nonprofit corporation and shall the Build America bond as if it were a established a body corporate to be known as have no capital stock.

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(2) RESTRICTION.—No part of the Corpora- State, county, municipality, or local taxing and necessary expenses not exceeding $100 tion’s revenue, earnings, or other income or authority. per day, and for transportation expenses, property shall inure to the benefit of any of (g) ASSISTANCE FOR TRANSPORTATION PUR- while engaged in their duties on behalf of the its directors, officers, or employees, and such POSES.— Corporation. revenue, earnings, or other income or prop- (1) IN GENERAL.—In order to carry out the (3) QUORUM.—A majority of the Board shall erty shall only be used for carrying out the corporate functions described in subsection constitute a quorum. purposes of this Act. (c), the Corporation shall be eligible to re- (4) PRESIDENT OF CORPORATION.—The Board (3) CONFLICT OF INTERESTS.—No director, ceive discretionary grants, contracts, gifts, of Directors shall appoint a president of the officer, or employee of the Corporation shall contributions, or technical assistance from Corporation on such terms as the Board may in any manner, directly or indirectly partici- any Federal department or agency, to the ex- determine. pate in the deliberation upon or the deter- tent permitted by law. mination of any question affecting his or her (2) AGREEMENT.—In order to receive any as- SA 2554. Mrs. BOXER submitted an personal interests or the interests of any sistance described in this subsection, the amendment intended to be proposed by corporation, partnership, or organization in Corporation shall enter into an agreement her to the bill S. 1072, to authorize with the Federal department or agency pro- which he or she is directly or indirectly in- funds for Federal-aid highways, high- terested. viding such assistance, under which the Cor- (4) AUDITS.— poration agrees— way safety programs, and transit pro- (A) AUDITS BY INDEPENDENT CERTIFIED PUB- (A) to use such assistance to provide fund- grams, and for other purposes; which LIC ACCOUNTANTS.— ing and technical assistance only for activi- was ordered to lie on the table; as fol- (i) IN GENERAL.—The Corporation’s finan- ties which the Board of Directors of the Cor- lows: cial statements shall be audited annually in poration determines are consistent with the At the appropriate place insert: accordance with generally accepted auditing corporate functions described in subsection ‘‘(a) STUDY.—The Secretary of Transpor- standards by independent certified public ac- (c), and tation shall, in consultation with State and countants that are certified by a regulatory (B) to review the activities of State trans- local government officials, conduct a study authority of a State or other political sub- portation agencies and other entities receiv- of the impact of blocked highway-railroad division of the United States. The audits ing assistance from the Corporation to as- grade crossings on the ability of emergency shall be conducted at the place or places sure that the corporate functions described responders to perform public safety and secu- where the accounts of the Corporation are in subsection (c) are carried out. rity duties. normally kept. All books, accounts, finan- (3) CONSTRUCTION.—Nothing in this section (b) REPORT ON THE IMPACT OF BLOCKED cial records, reports, files, and all other pa- shall be construed to establish the Corpora- HIGHWAY-RAILROAD GRADE CROSSINGS ON pers, things, or property belonging to or in tion as a department, agency, or instrumen- EMERGENCY RESPONDERS.—Not later than 1 use by the Corporation and necessary to fatality of the United States Government, or year after the date of enactment of this Act, cilitate the audit shall be made available to to establish the members of the Board of Di- the Secretary shall submit the results of the the person or persons conducting the audits, rectors of the Corporation, or the officers study and recommendations for reducing the and full facilities for verifying transactions and employees of the Corporation, as officers impact of blocked crossings on emergency with the balances or securities held by de- or employees of the United States Govern- response to the Senate Committee on Com- positories, fiscal agents, and custodians shall ment. merce, Science, and Transportation and the (h) MANAGEMENT OF CORPORATION.— be afforded to such person or persons. House of Representatives Committee on (1) BOARD OF DIRECTORS; MEMBERSHIP; DES- (ii) REPORTING REQUIREMENTS.—The report Transportation and Infrastructure.’’ of each annual audit described in clause (i) IGNATION OF CHAIRPERSON AND VICE CHAIR- shall be included in the annual report re- PERSON; APPOINTMENT CONSIDERATIONS; TERM; SA 2555. Mrs. BOXER submitted an VACANCIES.— quired by subsection (c)(8). amendment intended to be proposed by (B) RECORD KEEPING REQUIREMENTS.—The (A) BOARD OF DIRECTORS.—The manage- Corporation shall ensure that each recipient ment of the Corporation shall be vested in a her to the bill S. 1072, to authorize of assistance from the Corporation keeps— board of directors composed of 15 members funds for Federal-aid highways, high- (i) separate accounts with respect to such appointed by the President, by and with the way safety programs, and transit pro- assistance, advice and consent of the Senate. grams, and for other purposes; which (ii) such records as may be reasonably nec- (B) CHAIRPERSON AND VICE CHAIRPERSON.— was ordered to lie on the table; as fol- essary to fully disclose— The President shall designate 1 member of lows: (I) the amount and the disposition by such the Board to serve as Chairperson of the At the appropriate place insert: recipient of the proceeds of such assistance, Board and 1 member to serve as Vice Chair- ‘‘(a) NOTIFICATION PROCEDURES.— (II) the total cost of the project or under- person of the Board. (1) REGULATIONS.—The Secretary of Trans- (C) INDIVIDUALS FROM PRIVATE LIFE.—Elev- taking in connection with which such assist- portation shall prescribe regulations setting en members of the Board shall be appointed ance is given or used, and the extent to forth procedures for a railroad to imme- from private life. which such costs are for a qualified project, diately notify first responders in commu- (D) FEDERAL OFFICERS AND EMPLOYEES.— and nities that lie in the path of a runaway train. Four members of the Board shall be ap- (III) the amount and nature of that portion (2) TIME FOR ISSUANCE OF REGULATIONS.— pointed from among officers and employees of the cost of the project or undertaking sup- The Secretary shall issue the final regula- of agencies of the United States concerned plied by other sources, and tions under this section not later than 120 with infrastructure development. (iii) such other records as will facilitate an days after the date of enactment of this Act. (E) APPOINTMENT CONSIDERATIONS.—All effective audit. (3) DEFINITIONS.— In this section, the term (C) AUDIT AND EXAMINATION OF BOOKS.—The members of the Board shall be appointed on ‘runaway train’ means a locomotive, train, Corporation shall ensure that the Corpora- the basis of their understanding of and sensi- rail car, or other item of railroad equipment tion, or any of the Corporation’s duly au- tivity to infrastructure development proc- that, at a particular moment in time, is roll- thorized representatives, shall have access esses. Members of the Board shall be ap- ing on tracks outside the operations limits for the purpose of audit and examination to pointed so that not more than 8 members of of a railroad and is not under the control of any books, documents, papers, and records of the Board are members of any 1 political the railroad. any recipient of assistance from the Corpora- party. (b) RESPONSE PROCEDURES.—Not later than tion that are pertinent to such assistance. (F) TERMS.—Members of the Board shall be 60 days after the Secretary prescribes the (f) EXEMPTION FROM TAXES.— appointed for terms of 3 years, except that of regulations under subsection (a), each rail- (1) IN GENERAL.—The Corporation, includ- the members first appointed, as designated road shall submit to the Department of ing its franchise, capital, reserves, surplus, by the President at the time of their ap- Transportation for the Secretary’s approval sinking funds, mortgages or other security pointment, 5 shall be appointed for terms of the procedures proposed by the railroad for holdings, and income, shall be exempt from 1 year and 5 shall be appointed for terms of providing the notice described in such sub- all taxation now or hereafter imposed by the 2 years. section. United States, by any territory, dependency, (G) VACANCIES.—A member of the Board (c) REPORTING OF INCIDENTS REQUIRED.— or possession thereof, or by any State, coun- appointed to fill a vacancy occurring before The Secretary shall require railroads to re- ty, municipality, or local taxing authority, the expiration of the term for which that port to the Department of Transportation except that any real property of the Corpora- member’s predecessor was appointed shall be each incident of a runaway train.’’ tion shall be subject to State, territorial, appointed only for the remainder of that county, municipal, or local taxation to the term. Upon the expiration of a member’s SA 2556. Mr. KOHL submitted an same extent according to its value as other term, the member shall continue to serve amendment intended to be proposed to real property is taxed. until a successor is appointed and is quali- amendment SA 2302 submitted by Mr. (2) FINANCIAL OBLIGATIONS.—Build America fied. AYH URBIN bonds or other obligations issued by the Cor- (2) COMPENSATION, ACTUAL, NECESSARY, AND B (for himself, Mr. D , Mr. poration and the interest on or tax credits TRANSPORTATION EXPENSES.—Members of the LUGAR, Mr. KOHL, and Mr. FITZGERALD) with respect to its bonds or other obligations Board shall serve without additional com- and intended to be proposed to the bill shall not be subject to taxation by any pensation, but may be reimbursed for actual S. 1072, to authorize funds for Federal-

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00233 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1190 CONGRESSIONAL RECORD — SENATE February 11, 2004 aid highways, highway safety pro- ble for a gallon of gasohol for such years; 5336, and 5340 for fiscal years 2004 through grams, and transit programs, and for plus 2009, an amount that is less than 175 percent other purposes; which was ordered to ‘‘(II) an amount equal to the number of of the amount the State received under sec- lie on the table; as follows: gallons of gasohol sold within the State dur- tions 5303, 5307, 5309, 5310, 5311, 5313(b), and ing fiscal years 1996 through 2001 multiplied 5336 for fiscal years 1998 through 2003; and Beginning on page 55, strike line 25 and all by the amount of the tax rate applicable to ‘‘(ii) received less than 1.25 percent of the that follows through page 57, line 23, and in- a gallon of gasohol which is not deposited total amount allocated to the 50 States in sert the following: into the Highway Trust Fund with respect to fiscal year 2002 for fixed guideways mod- ‘‘(c) SPECIAL RULES.— each such year. ernization and new starts. ‘‘(1) MINIMUM COMBINED ALLOCATION.—For each fiscal year, before making the alloca- ‘‘(2) PERCENTAGES.—The percentages re- ‘‘(C) ALLOCATION.—Each eligible State tions under subsection (a)(1), the Secretary ferred to in paragraph (1)(B)(i) are— under subparagraph (B) shall be allocated shall allocate among the States amounts suf- ‘‘(A) for fiscal year 2004, 120 percent; from the Bus Transit Equity Subaccount, for ficient to ensure that no State receives a ‘‘(B) for fiscal year 2005, 130 percent; each of the fiscal years 2005 through 2009, an combined total of amounts allocated under ‘‘(C) for fiscal year 2006, 134 percent; amount that is equal to 20 percent of the dif- subsection (a)(1), apportionments for the pro- ‘‘(D) for fiscal year 2007, 137 percent; ference between the amount the State is oth- grams specified in subsection (a)(2), and ‘‘(E) for fiscal year 2008, 145 percent; and erwise scheduled to receive under sections amounts allocated under this subsection, ‘‘(F) for fiscal year 2009, 250 percent.’’. 5303, 5307, 5309, 5310, 5311, 5313(b), 5336, and 5340 for fiscal years 2004 through 2009, and that is less than 110 percent of the sum of— Ms. STABENOW (for herself ‘‘(A) the total apportionments of the State SA 2557. the amount which is equal to 175 percent of for the fiscal year for the programs specified and Mr. LEVIN) submitted an amend- the amount the State received under sec- in subsection (a)(2); exceeds ment intended to be proposed to tions 5303, 5307, 5309, 5310, 5311, 5313(b), and ‘‘(B) the sum of— amendment SA 2441 submitted by Ms. 5336 for fiscal years 1998 through 2003.’’. ‘‘(i) the percentage of the average, for the STABENOW (for herself and Mr. LEVIN) f period of fiscal years 1998 through 2003, of the and intended to be proposed to the AUTHORITY FOR COMMITTEES TO annual apportionments of the State for all amendment SA 2285 proposed by Mr. MEET programs specified in subsection (b)(2), as INHOFE to the bill S. 1072, to authorize specified in paragraph (2); and funds for Federal-aid highways, high- COMMITTEE ON COMMERCE, SCIENCE, AND ‘‘(ii) an amount which is equivalent to— way safety programs, and transit pro- TRANSPORTATION ‘‘(I) the amount equal to the number of grams, and for other purposes; which Mr. TALENT. Mr. President, I ask gallons of gasohol sold within the State dur- was ordered to lie on the table; as fol- unanimous consent that the Com- ing fiscal years 1996 through 2001 multiplied mittee on Commerce, Science, and by the excess of the tax rate applicable for a lows: gallon of gasoline over the tax rate applica- In lieu of the matter proposed to be in- Transportation be authorized to meet ble for a gallon of gasohol for such years; serted, insert the following: on Wednesday, February 11, 2004, at 9:30 plus ‘‘(B)(i) $101,800,000 of the amounts made a.m. on Protecting Children From Vio- ‘‘(II) an amount equal to the number of available under section 5338(b)(4) shall be al- lent and Indecent Programming. gallons of gasohol sold within the State dur- located for the Bus Transit Equity Sub- The PRESIDING OFFICER. Without ing fiscal years 1996 through 2001 multiplied account established under paragraph (7); and objection, it is so ordered. by the amount of the tax rate applicable to ‘‘(ii) the remaining amounts made avail- COMMITTEE ON ENERGY AND NATURAL a gallon of gasohol which is not deposited able under section 5338(b)(4) shall be allo- RESOURCES into the Highway Trust Fund with respect to cated for capital projects for buses and bus- Mr. TALENT. Mr. President, I ask related equipment and facilities. each such year. unanimous consent that the Com- ‘‘(2) PERCENTAGES.—The percentages re- ‘‘(3) FIXED GUIDEWAY MODERNIZATION.—The ferred to in paragraph (1)(B)(i) are— amounts made available for fixed guideway mittee on Energy and Natural Re- ‘‘(A) for fiscal year 2004, 120 percent; modernization under section 5338(b)(2)(K) for sources be authorized to meet during ‘‘(B) for fiscal year 2005, 130 percent; fiscal year 2005 and each fiscal year there- the session of the Senate, on Wednes- ‘‘(C) for fiscal year 2006, 134 percent; after shall be allocated in accordance with day, February 11 at 10:00 a.m. to con- ‘‘(D) for fiscal year 2007, 137 percent; section 5337. sider pending calendar business. ‘‘(E) for fiscal year 2008, 145 percent; and ‘‘(4) PRELIMINARY ENGINEERING.—Not more Agenda Item 2: S. 213—A bill to clear ‘‘(F) for fiscal year 2009, 250 percent.’’. that 8 percent of the allocation described in title to certain real property in New ‘‘(3) NO NEGATIVE ADJUSTMENT.—Notwith- paragraphs (1)(A) and (2)(A) may be expended Mexico associated with the Middle Rio standing subsection (d), no negative adjust- on preliminary engineering. Grande Project, and for other purposes ment shall be made under subsection (a)(1) to ‘‘(5) FUNDING FOR FERRY BOATS.—Of the the apportionment of any State. amounts described in paragraphs (1)(A) and with an amendment. ‘‘(4) MINIMUM SHARE OF TAX PAYMENTS.— (2)(A), $10,400,000 shall be available in each of Agenda Item 3: S. 524—A bill to ex- Notwithstanding subsection (d), for each fis- the fiscal years 2004 through 2009 for capital pand the boundaries of the Fort cal year, the Secretary shall allocate among projects in Alaska and Hawaii for new fixed Donelson National Battlefield to au- the States amounts sufficient to ensure that guideway systems and extension projects thorize the acquisition and interpreta- no State receives a percentage of apportion- utilizing ferry boats, ferry boat terminals, or tion of lands associated with the cam- ments for the fiscal year for the programs approaches to ferry boat terminals. paign that resulted in the capture of ‘‘(6) BUS AND BUS FACILITY GRANTS.— specified in subsection (a)(2) that is less than the fort in 1862, and for other purposes. ‘‘(A) CONSIDERATIONS.—In making grants 90.5 percent of the percentage share of the Agenda Item 5: S. 943—A bill to au- State of estimated tax payments attrib- under paragraphs (1)(C) and (2)(B), the Sec- utable to highway users in the State paid retary shall consider the age and condition thorize the Secretary of the Interior to into the Highway Trust Fund (other than the of buses, bus fleets, related equipment, and enter into one or more contracts with Mass Transit Account) in the most recent bus-related facilities. the city of Cheyenne, Wyoming, for the fiscal year for which data are available. ‘‘(B) PROJECTS NOT IN URBANIZED AREAS.— storage of water in the Kendrick ‘‘(d) LIMITATION ON ADJUSTMENTS.— Of the amounts made available under para- Project, Wyoming with an amendment. ‘‘(1) IN GENERAL.—Except as provided in graphs (1)(C) and (2)(B), not less than 5.5 per- Agenda Item 6: S. 960—To amend the paragraphs (2) and (3) of subsection (c), no cent shall be available in each fiscal year for Reclamation Wastewater and Ground- State shall receive, for any fiscal year, addi- projects that are not in urbanized areas. water Study and Facilities Act and the tional amounts under subsection (a)(1) if— ‘‘(C) INTERMODAL TERMINALS.—Of the ‘‘(A) the total apportionments of the State amounts made available under paragraphs Hawaii Water Resources Act of 2000 for the fiscal year for the programs specified (1)(C) and (2)(B), not less than $75,000,000 with an amendment. in subsection (a)(2); exceeds shall be available in each fiscal year for Agenda Item 9: S. 1107—A bill to en- ‘‘(B) the sum of— intermodal terminal projects, including the hance the Recreational Fee Dem- ‘‘(i) the percentage of the average, for the intercity bus portion of such projects. onstration Program for the National period of fiscal years 1998 through 2003, of the ‘‘(7) BUS TRANSIT EQUITY SUBACCOUNT.— Park Service, and for other purposes. annual apportionments of the State for all ‘‘(A) ESTABLISHMENT.—There is established Agenda Item 13: S. 1516—Salt Cedar programs specified in subsection (b)(2), as a Bus Transit Equity Subaccount within the Control Demonstration Act with an specified in paragraph (2); and Mass Transit Account of the Highway Trust amendment in the nature of a sub- ‘‘(ii) an amount which is equivalent to— Fund. stitute. ‘‘(I) the amount equal to the number of ‘‘(B) ELIGIBILITY.—Any of the 50 States gallons of gasohol sold within the State dur- shall be eligible for funding under the Bus Agenda Item 14: S. 1576—A bill to re- ing fiscal years 1996 through 2001 multiplied Transit Equity Subaccount if the State— vise the boundary of Harper’s Ferry by the excess of the tax rate applicable for a ‘‘(i) is otherwise scheduled to receive under National Historical Park, and for other gallon of gasoline over the tax rate applica- sections 5303, 5307, 5309, 5310, 5311, 5313(b), purposes.

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00234 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY February 11, 2004 CONGRESSIONAL RECORD — SENATE S1191 Agenda Item 15: S. 1577—A bill to ex- a hearing on the President’s Fiscal Mr. BINGAMAN. Mr. President, I ask tend the deadline for commencement of Year 2005 Budget Request. unanimous consent that privilege of construction of hydroelectric project The PRESIDING OFFICER. Without the floor be granted to Adam Rosen- in the State of Wyoming. objection, it is so ordered. berg, who is an AAAS fellow on the Agenda Item 16: S. 1582—A bill to COMMITTEE ON THE JUDICIARY Committee on Energy and Natural Re- amend the Valles Preservation Act to Mr. TALENT. Mr. President, I ask sources, during consideration of this improve the preservation of the Valles unanimous consent that the Com- legislation. Caldera, and for other purposes with an mittee on the Judiciary be authorized The PRESIDING OFFICER. Without amendment. to meet to conduct a hearing on objection, it is so ordered. Agenda Item 17: S. 1848—A bill to Wednesday, February 11, 2004 at 2 p.m. f amend the Bend Pine Nursery Land on ‘‘Judicial Nominations,’’ in the MEASURES PLACED ON THE Conveyance Act to direct the Secretary Dirksen Senate Office Building Room CALENDAR—S. 2061 AND S. 2062 of Agriculture to sell the Bend Pine 226. Mr. FRIST. Mr. President, I under- Nursery Administration Site in the Panel I: Senators. State of Oregon with an amendment. stand there are two bills at the desk Panel II: Diane S. Sykes, to the Cir- and due for a second reading. I ask Agenda Item 18: H.R. 408—To provide cuit Court of Appeals for the Seventh for expansion of Sleeping Bear Dunes unanimous consent that the clerk read Circuit; James L. Robart, to the U.S. the titles of the bills for the second National Lakeshore. District Court for the Western District Agenda Item 19: H.R. 417—To revoke time en bloc. of Washington; Juan R. Sanchez, to the The PRESIDING OFFICER. Without a Public Land Order with respect to U.S. District Court for the Eastern Dis- certain lands erroneously included in objection, it is so ordered. trict of Pennsylvania. The clerk will read the titles of the the Cibola National Wildlife Refuge, The PRESIDING OFFICER. Without California with report language. bills. objection, it is so ordered. The legislative clerk read as follows: Agenda Item 20: H.R. 620—To authorize the Secretary of the Interior to pro- SUBCOMMITTEE ON ANTITRUST, COMPETITION A bill (S. 2061) to improve women’s access POLICY AND CONSUMER RIGHTS to health care services and provide improved vide supplemental funding and other medical care by reducing the excessive bur- services that are necessary to assist Mr. TALENT. Mr. President, I ask unanimous consent that the Senate den the liability system places on the deliv- the State of California or local edu- ery of obstetrical and gynecological services. cational agencies in California in pro- Committee on the Judiciary Sub- A bill (S. 2062) to amend the procedures viding educational services for stu- committee on Antitrust, Competition that apply to consideration of interstate dents attending schools located within Policy and Consumer Rights be author- class actions to assure fairer outcomes for the Park with an amendment. ized to meet to conduct a hearing on class members and defendants, and for other purposes. Agenda Item 21: H.R. 708—To require ‘‘Cable Competition—Increasing Price; the conveyance of certain National Increasing Value?’’ on Wednesday, Feb- Mr. FRIST. Mr. President, I object to Forest System lands in Mendocino Na- ruary 11, 2004, at 10:30 a.m., in Room 226 further proceeding en bloc. The PRESIDING OFFICER. Under tional Forest, California, to provide for of the Dirksen Senate Office Building. the rules, the bills will be placed on the the use of the proceeds from such con- Mr. Michael Willner, Vice-Chairman, calendar. veyance for National Forest purposes, President and CEO, Insight Commu- and for other purposes. nications Company, Inc.; f Agenda Item 23: H.R. 856—To author- Mr. Rodger Johnson, CEO, Knology; APPOINTMENTS Mr. Robert Sachs, President and ize the Secretary of the Interior to re- The PRESIDING OFFICER. The vise a repayment contract with the CEO, National Cable and Tele- communications Association; Chair, on behalf of the President pro Tom Green County Water Control and tempore, pursuant to 10 U.S.C. Improvement District No. 1, San An- Ms. Coralie Wilson, President, Na- tional Association of Telecommuni- 9355(a)(2), appoints the Senator from gelo project, Texas, and for other pur- Arkansas, Mr. PRYOR, from the Armed poses. cations Officers and Advisors; Mr. Scott Cleland, CEO, Precursor; Services Committee, to the Board of Agenda Item 26: H.R. 1598—To amend Visitors of the U.S. Air Force Acad- the Reclamation Wastewater and and Dr. Mark Cooper, Director of Re- emy. Groundwater Study and Facilities Act The Chair, on behalf of the President search, Consumer Federation of Amer- to authorize the Secretary of the Inte- pro tempore, pursuant to 10 U.S.C. ica. rior to participate in projects within 6968(a)(2), appoints the Senator from The PRESIDING OFFICER. Without the San Diego Creek Watershed, Cali- Maryland, Mr. SARBANES, from the objection, it is so ordered. fornia, and for other purposes. Armed Services Committee, to the Agenda Item 27: S. 1167—A bill to re- SUBCOMMITTEE ON INTERNATIONAL TRADE AND Board of Visitors of the U.S. Naval FINANCE solve the boundary conflicts in Barry Academy. and Stone Counties in the State of Mis- Mr. TALENT. Mr. President, I ask souri. unanimous consent that the Sub- f In addition, the Committee may turn committee on International Trade and ORDERS FOR THURSDAY, to any other measures that are ready Finance of the Committee on Banking, FEBRUARY 12, 2004 for consideration. Housing, and Urban Affairs be author- Mr. FRIST. Mr. President, I ask The PRESIDING OFFICER. Without ized to meet during the Session of the unanimous consent that when the Sen- objection, it is so ordered. Senate on Wednesday, February 11, ate completes its business today, it ad- COMMITTEE ON FOREIGN RELATIONS 2004, at 1:00 p.m. to conduct a hearing journ until 8:30 a.m., Thursday, Feb- Mr. TALENT. Mr. President, I ask on ‘‘Economic and Financial Recon- ruary 12. I further ask that following unanimous consent that the Com- struction in Iraq.’’ the prayer and pledge, the morning mittee on Foreign Relations be author- The PRESIDING OFFICER. Without hour be deemed expired, the Journal of ized to meet during the session of the objection, it is so ordered. proceedings be approved to date, the Senate on Wednesday, February 11, 2004 f time for the two leaders be reserved for at 10 a.m. to hold a Business Meeting. their use later in the day, and the Sen- The PRESIDING OFFICER. Without PRIVILEGE OF THE FLOOR ate then resume consideration of S. objection, it is so ordered. Mr. REID. Madam President, I ask 1072, the highway bill, provided that COMMITTEE ON INDIAN AFFAIRS unanimous consent that William Boyd, the time until 9 a.m. be equally divided Mr. TALENT. Mr. President, I ask a fellow on the Environment and Pub- between the chairman and ranking unanimous consent that the Com- lic Works Committee, be granted floor member of the Environment and Public mittee on Indian Affairs be authorized privileges during the pendency of the Works Committee or their designees. to meet on Wednesday, February 11, matter which is now before the Senate. I further ask consent that the man- 2004 at 9:30 a.m. in Room 485 of the Rus- The PRESIDING OFFICER. Without datory quorum be waived for both clo- sell Senate Office Building to conduct objection, it is so ordered. ture motions and the cloture vote on

VerDate Mar 15 2010 21:53 Jan 29, 2014 Jkt 081600 PO 00000 Frm 00235 Fmt 4624 Sfmt 0634 E:\2004SENATE\S11FE4.REC S11FE4 mmaher on DSKCGSP4G1 with SOCIALSECURITY S1192 CONGRESSIONAL RECORD — SENATE February 11, 2004 the substitute amendment occur at 9 have had plenty of time, plenty of op- FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS a.m.; provided, further, that Senators portunity to understand what is in this 624 AND 531: have until 9 a.m. tomorrow to file sec- very important bill, they will have the To be colonel ond-degree amendments to the high- opportunity to vote. They will have NORMA L. ALLGOOD, 0000 way bill. that opportunity tomorrow. DAVID E. ANISMAN, 0000 GARY I. ARISHITA, 0000 The PRESIDING OFFICER. Is there f STEVEN L. BARNES, 0000 objection? SVEN T. BERG, 0000 ADJOURNMENT UNTIL 8:30 A.M. MARTIN D. BOMALASKI, 0000 Mr. REID. No objection. DEAN A. * BRICKER, 0000 The PRESIDING OFFICER. Without TOMORROW ELIZABETH P. CLARK, 0000 RICHARD A. CLARK, 0000 objection, it is so ordered. Mr. FRIST. Mr. President, if there is ROBERT B. CONNOR, 0000 f no further business to come before the STEVEN C. DECOUD, 0000 Senate, I ask unanimous consent that VICTOR A. FOLARIN, 0000 PROGRAM MICHAEL C. * GORDON, 0000 the Senate stand in adjournment under THOMAS C. * GRAU, 0000 Mr. FRIST. Tomorrow, the Senate DAVID E. HOLCK, 0000 the previous order. KENNETH K. KNIGHT, 0000 will resume consideration of S. 1072, There being no objection, the Senate, CHRISTOPHER LEWANDOWSKI, 0000 the highway bill. The vote on the mo- THOMAS D. FADELL LUNA, 0000 at 7:10 p.m., adjourned until Thursday, ROBERT E. MANAKER, 0000 tion to invoke cloture on the pending February 12, 2004, at 8:30 a.m. KURT D. MCCARTNEY, 0000 substitute to the highway bill will LYNN S. MCCURDY, 0000 f ROBERT S. MICHAELSON, 0000 occur at 9 a.m. It is my hope that if PATRICK P. MILES, 0000 cloture is invoked, we will be able to NOMINATIONS RICHARD J. MONTMINY, 0000 DAVID M. OBRIEN, 0000 dispose of any additional germane Executive nominations received by LORETTA M. OBRIEN, 0000 amendments in a timely manner, the Senate February 11, 2004: HERNANDO J. * ORTEGA JR., 0000 thereby clearing the way to wrap up JOSEPH V. * PACE, 0000 POSTAL RATE COMMISSION AUGUST C. PASQUALE III, 0000 consideration of the substitute. Once TIMOTHY LEE PENDERGRASS, 0000 DAWN A. TISDALE, OF TEXAS, TO BE A COMMISSIONER CHRISTOPHER SARTORI, 0000 the substitute amendment is disposed OF THE POSTAL RATE COMMISSION FOR A TERM EXPIR- JEFFREY A. * SCHIEVENIN, 0000 of, we still may require a cloture vote ING NOVEMBER 22, 2006, VICE WILLIAM H. LEBLANC III, THOMAS M. SEAY, 0000 TERM EXPIRED. TIMOTHY W. SOWIN, 0000 on the bill itself. Again, it is my hope WAYNE K. SUMPTER, 0000 DEPARTMENT OF HOUSING AND URBAN that we will be able to speed the proc- CRESCENCIO TORRES, 0000 DEVELOPMENT MATTHEW P. * WICKLUND, 0000 ess along and be in a position to com- CATHY M. MACFARLANE, OF VIRGINIA, TO BE AN AS- THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT plete action on the bill tomorrow. It is SISTANT SECRETARY OF HOUSING AND URBAN DEVEL- TO THE GRADE INDICATED IN THE UNITED STATES AIR my intention, however, to remain in OPMENT, VICE DIANE LENEGHAN TOMB, RESIGNED. FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED DENNIS C. SHEA, OF VIRGINIA, TO BE AN ASSISTANT BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS session until we pass this bill. SECRETARY OF HOUSING AND URBAN DEVELOPMENT, 624 AND 531: Senators should expect rollcall votes VICE ALBERTO FAUSTINO TREVINO, RESIGNED. To be colonel throughout the day tomorrow, with the IN THE COAST GUARD RICHARD C. BATZER, 0000 first vote occurring at approximately 9 THE FOLLOWING INDIVIDUALS FOR APPOINTMENT AS TIMOTHY L. BRAY, 0000 a.m. In addition, I remind all Senators PERMANENT COMMISSIONED REGULAR OFFICERS IN THE WILLIAM R. BUHLER, 0000 UNITED STATES COAST GUARD IN THE GRADE INDI- PAUL N. CARDON, 0000 that all second-degree amendments CATED UNDER TITLE 14, U.S.C., SECTION 211: MICHAEL J. * CONLAN, 0000 must be filed at the desk no later than To be lieutenant commander MULLEN O. COOVER JR., 0000 9 a.m. tomorrow. DAVID P. DEWITT, 0000 SUSAN J. BLOOD, 0000 WILLIAM E. DINSE, 0000 The PRESIDING OFFICER. The as- GREGORY P. TOBER, 0000 WILLIAM J. DUNN, 0000 BRYAN D. DYE, 0000 sistant Democratic leader. To be lieutenant BLAKE J. EDINGER, 0000 Mr. REID. Mr. President, I know the DIANE J. FLINT, 0000 HEATHER L. MORRISON, 0000 hour is late. I want to acknowledge ROBERT F. GAMBLE, 0000 IN THE AIR FORCE RIDGE M. GILLEY, 0000 how difficult this has been for the ma- LYNN C. HARRIS, 0000 THE FOLLOWING NAMED AIR NATIONAL GUARD OF THE CHARLES A. HUGGINS, 0000 jority leader. This has been extremely UNITED STATES OFFICER FOR APPOINTMENT TO THE RAY S. JETER, 0000 difficult. I know there is pressure from GRADE INDICATED IN THE RESERVE OF THE AIR FORCE MICHAEL P. KLEPCZYK, 0000 UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12212: MICHAEL A. KOCH, 0000 a lot of different sources to do things THOMAS S. MARSHALL, 0000 differently than we have done this To be colonel ALAN J. MORITZ, 0000 VIRGINIA A. SCHNEIDER, 0000 LARRY P. PARWORTH, 0000 week. JAMES L. PAUKERT, 0000 I say to the majority leader, whom I THE FOLLOWING NAMED AIR NATIONAL GUARD OF THE DOUGLAS L. RISK, 0000 UNITED STATES OFFICERS FOR APPOINTMENT TO THE JANET Y. ROBINSON, 0000 compliment for standing firm on what GRADE INDICATED IN THE RESERVE OF THE AIR FORCE PAUL M. ROGERS, 0000 he believes to be the proper role of the UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12212: RIDLEY O. ROSS, 0000 KENT A. SABEY, 0000 Senate on this matter, everyone will To be colonel PHILLIP R. SANDEFUR, 0000 have their day. When we complete this PERRY L. AMERINE, 0000 JEFFREY A. STAPLES, 0000 JAMES R. PATTERSON, 0000 DANIEL S. * STRECK, 0000 legislation—I believe we will be able to DALE C. THAMES JR., 0000 do it tomorrow—the House will do THE FOLLOWING NAMED AIR NATIONAL GUARD OF THE RICHARD I. VANCE, 0000 UNITED STATES OFFICERS FOR APPOINTMENT TO THE theirs and there will be some process to GRADE INDICATED IN THE RESERVE OF THE AIR FORCE THE FOLLOWING NAMED AIR NATIONAL GUARD OF THE meld together the legislation from the UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12212: UNITED STATES OFFICERS FOR APPOINTMENT TO THE GRADE INDICATED IN THE RESERVE OF THE AIR FORCE two bodies. Then, of course, there will To be colonel UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12212: be input from the administration. At STEWART J. HAZEL, 0000 To be colonel this stage we don’t have to be con- JILL L. HENDRA, 0000 CHRISTOPHER J. KNAPP, 0000 JOHN A. ALEXANDER, 0000 cerned about vetoes. We are a long way CLEE E. LLOYD, 0000 WILLIE ALLEN, 0000 WILLIAM W. POND, 0000 WILLIAM E. ANDERSON JR., 0000 from that. BRUCE D. BABCOCK, 0000 I want the RECORD to reflect my per- THE FOLLOWING NAMED AIR NATIONAL GUARD OF THE STEVEN T. BECK, 0000 UNITED STATES OFFICERS FOR APPOINTMENT TO THE DENNIS R. BLACK, 0000 sonal appreciation for the courage of GRADE INDICATED IN THE RESERVE OF THE AIR FORCE MICHAEL L. BRICKNER II, 0000 the majority leader during this most UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12212: JORGE R. CANTRES, 0000 CHRISTOPHER J. COCHRAN, 0000 difficult 2 weeks. To be colonel STEVEN A. CRAY, 0000 Mr. FRIST. I thank the assistant WILLIAM E. ENRIGHT JR., 0000 JAMES L. CRUMPTON, 0000 Democratic leader. It has been a chal- JOSEPH P. MOAN, 0000 RICHARD J. DENNEE, 0000 VICTORIA A. REARDON, 0000 WILLIAM K. DUCKETT, 0000 lenge for both sides the last 2 weeks as CASSIE A. STROM, 0000 DONALD P. DUNBAR, 0000 we have been on this bill. Again, we MICHAEL F. VANHOOMISSEN, 0000 LOUIS M. DURKAC, 0000 TRULAN A. EYRE, 0000 gave the time for discussion and de- THE FOLLOWING NAMED AIR NATIONAL GUARD OF THE MARK K. FOREMAN, 0000 bate, and we had regular order UNITED STATES OFFICER FOR APPOINTMENT TO THE GREGORY C. GRAF, 0000 GRADE INDICATED IN THE RESERVE OF THE AIR FORCE BILLY T. GRAHAM JR., 0000 throughout using the Senate rules. UNDER TITLE 10, U.S.C., SECTIONS 12203 AND 12212: JOSEPH P. GRIFFIN, 0000 With that, we will be able to complete FLOYD H. HARBIN, 0000 To be colonel JOSEPH G. HIGGINS, 0000 our goal of giving very careful consid- COLLEN B. HOUGH, 0000 MICHAEL T. HINMAN, 0000 eration to this bill. At the end of this MARK W. HUGHES, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT BENJAMIN F. JABLECKI JR., 0000 2-week period, during which people TO THE GRADE INDICATED IN THE UNITED STATES AIR JOSEPH A. JETT, 0000

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MICHAEL L. KING, 0000 MICHAEL J. * PASTON, 0000 WILLIAM R. BRODERICK, 0000 WILLIAM M. KREIGHBAUM, 0000 TIMOTHY R. * PAULDING, 0000 JODY L. BROWN, 0000 ENRIQUE LAMOUTTE, 0000 KAREN M. PETERSON, 0000 STEVEN S. BRUMFIELD, 0000 PATRICK L. MARTIN, 0000 ELLIOT * PINERO, 0000 ERIC C. BRUNO, 0000 JOHN E. MCCOY, 0000 TODD W. * POINDEXTER, 0000 CHARLES L. BRYANT, 0000 CHARLES R. MELTON, 0000 MICHELE A. PREVOST, 0000 JOHN T. BRYANT, 0000 BRIAN G. NEAL, 0000 ROBERT PRIETO, 0000 CRAIG M. BURNWORTH, 0000 PETER NEZAMIS, 0000 ALEJANDRO PRUITT, 0000 RAELYN M. CALENDINE, 0000 TIMOTHY R. OBRIEN, 0000 TODD E. * RASMUSSEN, 0000 FERDINAND O. CALINAWAN, 0000 GRADY L. PATTERSON III, 0000 ROCKY R. RESTON, 0000 COLLEEN L. CALLAGHAN, 0000 CHRISTOPHER A. POPE, 0000 JOANN Y. * RICHARDSON, 0000 ROBERT S. CALLAHAN, 0000 RICHARD G. POPPELL, 0000 ROBBY C. RIDDLE, 0000 SCOT E. CAMPBELL, 0000 CARLOS A. QUINONESNIEVES, 0000 EDGAR * RODRIGUEZ, 0000 FRANCIS R. CARANDANG, 0000 PHILIP D. QUINTENZ, 0000 WALTER C. * RUSTMANN, 0000 GABRIELLA CARDOZAFAVARATO, 0000 WILLIAM N. REDDEL III, 0000 DONALD M. * SANDERCOCK, 0000 JOSHUA P. CAREY, 0000 JOHN J. SAMUHEL, 0000 KEVIN L. * SCHEU, 0000 DAWN E. CARLSON, 0000 SIDNEY M. SCARBOROUGH, 0000 LOWELL G. * SENSINTAFFAR, 0000 NATHAN D. CARLSON, 0000 HENRY P. SERMONS JR., 0000 WADE J. * SEXTON, 0000 DAVID H. CARNAHAN, 0000 WAYNE M. SHANKS, 0000 GRETCHEN S. * SHAAR, 0000 MARK P. CARROLL JR., 0000 ROY J. SHETKA, 0000 STACY A. * SHACKELFORD, 0000 BRETT J. CASSIDY, 0000 JOANNA O. SHUMAKER, 0000 MICHAEL D. * SIMMONS, 0000 DANIEL A. CHARLICK, 0000 ELIZABETH A. STANLEY, 0000 JOSEPH P. * SIMON, 0000 RICHARD PAUL CHERN, 0000 WILLIAM E. STANTON, 0000 TERESA M. SKOJAC, 0000 BRYCHAN K. CLARK, 0000 ELSON E. STAUGAARD JR., 0000 BRENT D. STEPHENSON, 0000 DANIEL E. COLE, 0000 FRANK J. SULLIVAN, 0000 BRIAN L. * STRAUSS, 0000 LEE M. COLEMAN, 0000 DAVID A. TORRES, 0000 MAUREEN J. SWEZEY, 0000 SEAN M. CONLEY, 0000 STEVEN J. VERHELST, 0000 MICHAEL S. * TANKERSLEY, 0000 BARBARA A. COOPER, 0000 FRANCIS J. WALKER, 0000 GRANT P. TIBBETTS, 0000 MERRILEE I. COX, 0000 MICHAEL E. WELSH, 0000 GEORGE F. TORRES, 0000 LOUIS M. DAVIGNON, 0000 JOHN A. WISNIEWSKI JR., 0000 GARY N. * TOUPS, 0000 ERIC M. DEDEKE, 0000 DEREK K. * URBAN, 0000 CATHERINE J. B. DERBER, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT ERIC J. * VANDEGRAAFF, 0000 DONALD G. DETMERING, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR SCOTT A. * VANDEHOEF, 0000 SCOTT V. DICKSON, 0000 FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED RICHARD N. * VANLEEUWEN, 0000 KURT F. DITTRICH, 0000 BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS DANNY X. * VU, 0000 MICHAEL R. DOBBS, 0000 624 AND 531: BRYAN M. * VYVERBERG, 0000 GEORGE M. DOCKENDORF, 0000 To be lieutenant colonel LESLIE A. * WILSON, 0000 AMANDA M. DRAPER, 0000 JON B. WOODS, 0000 RORY C. DUNHAM, 0000 TODD B. * ABEL, 0000 RICHARD A. * YOKELL, 0000 STEPHEN J. DURANT, 0000 BRADLEY S. ABELS, 0000 GIANNA R. ZEH, 0000 BRYAN T. EDWARDS, 0000 LAURA K. ABTS, 0000 MEREDITH GILSON ELGUESSAB, 0000 PAUL J. AFFLECK, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT JEFFREY J. EMERY, 0000 SAKET K. AMBASHT, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR QUENBY L. ERICKSON, 0000 KATHLEEN C. AMYOT, 0000 FORCE AND FOR REGULAR APPOINTMENT (IDENTIFIED BETH I. ESTERBROOK, 0000 JEFFREY A. * BAILEY, 0000 BY AN ASTERISK (*)) UNDER TITLE 10, U.S.C., SECTIONS MICHAEL E. FELDMAN, 0000 ALBERT H. * BONNEMA, 0000 624 AND 531: CHRISTOPHER F. FENNELL, 0000 MICHELE L. BRENNERVINCENT, 0000 To be lieutenant colonel ANN S. FENTON, 0000 JOHN R. * BRENT, 0000 ANDREW T. FIGURA, 0000 MARK J. * BROOKS, 0000 DOUGLAS P. * BETHONEY, 0000 MICHAEL B. FISCHER, 0000 MARY T. * BRUEGGEMEYER, 0000 KEVIN C. * BOYLE, 0000 ANDREA D. FISK, 0000 MICHAEL G. BRYAN, 0000 SEAN W. * DIGMAN, 0000 COLLEEN FITZPATRICK WEISBROD, 0000 LOUISE M. BRYCE, 0000 LARRY J. * EVANS, 0000 SHAWN A. FLANAGAN, 0000 JOHN R. BURROUGHS, 0000 LORI L. * EVERETT, 0000 WADE E. FLETCHER, 0000 BRET D. * BURTON, 0000 TOMMY D. * FISHER, 0000 WILLIAM P. FLINN, 0000 EDITH D. * CANBYHAGINO, 0000 MICHAEL E. * FULTON, 0000 GERALD R. FORTUNA JR., 0000 CREG A. * CARPENTER, 0000 KIMBERLY M. * GILL, 0000 SARAH O. FORTUNA, 0000 THOMAS N. * CHEATHAM, 0000 JAMES B. * GRAHAM, 0000 CURTIS M. FOY, 0000 NICOLA A. * CHOATE, 0000 MARK R. HENDERSON, 0000 CHRISTINA V. FRASER, 0000 BRANDON D. * CLINT, 0000 TODD A. * LINCOLN, 0000 JOHN F. FREILER, 0000 CHARLES D. * CLINTON, 0000 DAVID W. * NUNEZ, 0000 MICHAEL A. FREIMAN, 0000 MARK R. * COAKWELL, 0000 JACOB E. * PALMA, 0000 DOUGLAS S. FRENIA, 0000 LUBOV M. COVERDELL, 0000 HYEKYUNG HELENA PAE * PARK, 0000 RODNEY A. FRIEND, 0000 MARCUS M. * CRANSTON, 0000 PHILLIP C. * PORTERA, 0000 JANETTE M. FROEHLICH, 0000 RANDOLPH K. * CRIBBS, 0000 ROGER E. * PRADELLI, 0000 MARY CATHERINE GABRIEL, 0000 BRIAN K. CROWNOVER, 0000 DOUGLAS E. * THOMAS, 0000 JOSHUA S. GADY, 0000 JEANINE M. CZECH, 0000 KELLY D. GAGE, 0000 DEVIN L. * DONNELLY, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT JOSEPH P. GALLAGHER, 0000 PAUL D. * DOUGHTEN, 0000 TO THE GRADE INDICATED IN THE UNITED STATES AIR ROBERT W. GARNER, 0000 COLLEEN M. DUGAN, 0000 FORCE UNDER TITLE 10, U.S.C., SECTION 624: ROBERT J. GARR, 0000 JAMES R. * ELLIOTT, 0000 To be major MICHAEL S. GARRETT, 0000 HARRY L. ERVIN JR., 0000 LAURA E. GIVENSMOYER, 0000 RENEE D. ESPINOSA, 0000 ADAM M. ANDERSON, 0000 JAMIE D. GLOVER, 0000 SUSAN C. FARRISH, 0000 BRETT C. ANDERSON, 0000 BRADLEY J. GOEKE, 0000 MERLIN B. FAUSETT, 0000 PAULA E. ANDERSON, 0000 VERONICA M. GONZALEZ, 0000 CAROL M. * FERRUA, 0000 BRETT M. ANDRES, 0000 THERESA B. GOODMAN, 0000 ERIC W. FESTER, 0000 ROBERT S. ANDREWS, 0000 DAVID D. GOVER, 0000 WILLIAM F. * FOODY JR., 0000 MARIA M. ANGLES, 0000 ANDRE D. GRAHAM, 0000 KRISTEN A. FULTSGANEY, 0000 WILLIAM A. ANKNEY, 0000 KIMBERLY A. GRANDINETTI, 0000 JOEL E. * GOLDBERG, 0000 SHERYL L. ANTHOS, 0000 NOAH H. GREENE, 0000 PHILIP L. * GOULD, 0000 DANIEL W. ARNOLD, 0000 CARRIE ASHBY GREGORY, 0000 STEPHEN U. * HANLON, 0000 JORGE ARZOLA, 0000 BASIL M. GRIFFIN III, 0000 ALEXANDER V. HERNANDEZ III, 0000 DIANE M. ASLANIS, 0000 RICHARD C. GRIGGS, 0000 KAREN A. HEUPEL, 0000 KARYN J. AYERS, 0000 LOUIS Q. GUILLERMO, 0000 TERRY G. * HOEHNE, 0000 KAREN M. AYOTTE, 0000 WILLIAM E. GUNN, 0000 ROBERT G. * HOLCOMB, 0000 CARL W. BAKER II, 0000 ANN K. GWINNUP, 0000 CAROL J. * IDDINS, 0000 SHAROLYN H. BALDWIN, 0000 MICHAEL J. HAFRAN, 0000 JAMES L. JABLONSKI II, 0000 ELLEN W. BALLERENE, 0000 CAROL A. HALL, 0000 KERRY G. JEPSEN, 0000 KIMBERLY M. BALOGH, 0000 ERIC S. HALSEY, 0000 WILMER T. * JONES III, 0000 MICHAEL A. BARNETT, 0000 DERRICK A. HAMAOKA, 0000 JAMES A. * KEENEY, 0000 SAMUEL B. BARONE, 0000 HOPE S. HAMMETT, 0000 DEREK A. * KNIGHT, 0000 JEFFREY W. BARR, 0000 MATTHEW P. HANSON, 0000 KRISTOPHER E. KORDANA, 0000 JOSE E. BARRERA, 0000 CRAIG K. HARMS, 0000 TIMOTHY J. KOSMATKA, 0000 CHRISTOPHER J. BASSETT, 0000 PHILIP A. HARRIS, 0000 MICHAEL R. KOTELES, 0000 KRISTEN BAUER, 0000 MICHAEL A. HASLER, 0000 ROBYN A. LAKAMSANI, 0000 CHAD C. BAUERLY, 0000 KARIN N. HAWKINS, 0000 RICHARD G. * LANE II, 0000 ETHAN A. BEAN, 0000 MEGHAN E. HAYES, 0000 PHILIP D. LANHAM, 0000 PETRAN J. BEARD, 0000 JOHN R. HENNER, 0000 KARL M. LARSEN, 0000 JEFFREY N. BEEN, 0000 EMILY M. HENNING, 0000 RAYMOND J. LEGENZA, 0000 AMY L. BELISLE, 0000 JOHN E. HENRIKSEN, 0000 GEORGE W. * LEON, 0000 RICHARD W. BENTLEY, 0000 HEATHER R. HERBOLSHEIMER, 0000 ERIC J. * LETONOFF, 0000 DONALD J. BERNARDINI, 0000 ERIC J. HICK, 0000 TERRY J. * LEWIS, 0000 JOHN N. BERRY, 0000 JAMES M. HITCHCOCK, 0000 DOUGLAS W. * LITTLE, 0000 HEIDI C. BERTRAM, 0000 CRYSTAL L. HNATKO, 0000 JOHN P. * LYNCH, 0000 JEFFREY J. BIDINGER, 0000 JEANNE M. HOLLAND, 0000 DEBRA L. * MALONE, 0000 SCOTT R. BISHOP, 0000 JENNIFER E. HORN, 0000 AMY LYNN * MARLOW, 0000 JEFFREY F. BLEAKLEY, 0000 PAULA R. HUBERT, 0000 DANIEL S. * MARTINEAU, 0000 JAMES A. BLEDSOE, 0000 KYLE B. HUDSON, 0000 RANDY O. * MAUFFRAY, 0000 JESSICA J. BLOOM, 0000 TODD P. HUHN, 0000 RANDALL R. MCCAFFERTY, 0000 ERIK A. BOATMAN, 0000 KEANE K. Y. HUNG, 0000 KENT D. MCDONALD, 0000 JAMES V. BODRIE JR., 0000 SCOTT M. JENSEN, 0000 KIRK A. * MILHOAN, 0000 KEVIN J. BOHNSACK, 0000 CHARLES D. JOHNSON, 0000 CHANDRA M. * MILLER, 0000 DOUGLAS E. BOLER, 0000 JAMES E. JOHNSON, 0000 WILLIAM F. * MOORE, 0000 WILLIAM S. BOLLING, 0000 KEVIN W. JOHNSON, 0000 PAUL H. NELSON, 0000 DENNIS F. BOND II, 0000 DAVID S. JONES, 0000 MARRINER V. * OLDHAM, 0000 CRAIG D. BOREMAN, 0000 HEATHER D. JONES, 0000 DONELL BAIRD * OLIVER, 0000 STACEY L. BRANCH, 0000 HEATHER M. JONES, 0000 TODD A. * PARRISH, 0000 BRETT D. BRIMHALL, 0000 LOREN M. JONES, 0000

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ROGER E. JONES, 0000 CHRISTINE N. ROSSBACH, 0000 ANDREW R. FENTON, 0000 PETER J. KAH, 0000 DONALD P. ROTEN, 0000 TEGRAN O. FRAITES, 0000 JOHN P. KALISZAK, 0000 DAWN M. RUDD, 0000 DANIEL B. GABRIEL, 0000 TODD R. KELLEY, 0000 GREGORY A. RUFF, 0000 MICHAEL T. GARDNER, 0000 THOMAS E. KIBELSTIS, 0000 NAYKALA A. RUSE, 0000 CECILIA I. GARIN, 0000 JEREMY A. KING, 0000 AMY M. SAGE, 0000 SCOTT W. GEORGE, 0000 ROBERT M. KIRCHNER, 0000 CHRISTOPHER P. SAMUELS, 0000 DAVID E. HALL, 0000 MICHELLE L. KNIERIM, 0000 CORIE L. SANDALL, 0000 STEPHEN C. HOLMES, 0000 SANDRA J. KNUDSEN, 0000 ANDRE G. SARMIENTO, 0000 DENNIS M. HOLT, 0000 GRETCHEN L. KOHLER, 0000 BENJAMIN G. SARVER, 0000 LANCE J. KIM, 0000 JANA S. KOKKONEN, 0000 GEOFFREY T. SASAKI, 0000 JAMES D. KISER JR., 0000 JAMES B. KOPP, 0000 STEPHANIE A. SAVAGE, 0000 MIKELLE L. KUEHN, 0000 HENRY KORZENIOWSKI JR., 0000 JENNIFER L. SCAGNELLI, 0000 XAVIER LEOS, 0000 GREGORY D. KOSTUR, 0000 MICHAEL J. SCHEEL, 0000 TRENT E. LOISEAU, 0000 KATHLEEN S. KREJCI, 0000 JACK D. SCHILLEN, 0000 ROBERT K. MCGHEE, 0000 GEORGE BRADLEY D. KUEHN, 0000 DANIEL C. SCHUBERT, 0000 ALI R. MIREMAMI, 0000 ELLA B. KUNDU, 0000 VINCENT SCIORTINO, 0000 BARRY F. MORRIS, 0000 NIRVANA KUNDU, 0000 STEPHEN E. SCRANTON, 0000 JESSE MURILLO, 0000 JONATHON V. LAMMERS, 0000 KATHRYN L. SELLEN, 0000 ANDREW M. NALIN, 0000 SUSAN C. LAN, 0000 B. ADAM SHANES, 0000 JEANLUC G. C. NIEL, 0000 MICHAEL L. LANDRUM, 0000 DANIEL A. SHOEMAKER, 0000 KYLE W. ODOM, 0000 ANDREW G. LAPADAT, 0000 REBECCA W. SHORT, 0000 INAAM A. A. PEDALINO, 0000 APRIL L. LARKIN, 0000 JOEL M. SHULKIN, 0000 MICHAEL J. SILVERMAN, 0000 THOMAS J. LAUDICO, 0000 TERESA A. SIMPSON, 0000 YOUNG K. SUNG, 0000 JARRETT B. LEA, 0000 JOHN HWA SLADKY, 0000 SARAT THIKKURISSY, 0000 ALEX J. LEE, 0000 GREGORY S. SMITH, 0000 SARAH A. TRUSCINSKI, 0000 CHRISTINE Y. LEE, 0000 TODD R. SMITH, 0000 WILLIAM K. TUCKER, 0000 FRANK C. LEE, 0000 CHRISTOPHER R. SPINELLI, 0000 GEORGE S. TUNDER JR., 0000 KENYA D. LEE, 0000 PRIYADARSHINI SRINIVASAN, 0000 TODD S. WELLER, 0000 MARVIN LEE II, 0000 GARY C. STARR, 0000 KARYN E. YOUNGCARIGNAN, 0000 JAMES D. LEIBER, 0000 JAMES D. STEED JR., 0000 BRIAN E. LEININGER, 0000 KEVIN E. STEEL, 0000 IN THE ARMY JEFFREY D. LEWIS, 0000 PHILLIP J. STEPHAN, 0000 RYAN L. LEWIS, 0000 ELIZABETH DOKFA P. STEWART, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT PETER A. LIEHR, 0000 TIMOTHY J. SULLIVAN, 0000 TO THE GRADE INDICATED IN THE RESERVE OF THE DOUGLAS LIM, 0000 JOSE V. SUMAQUIAL, 0000 ARMY UNDER TITLE 10, U.S.C., SECTION 12203: PETER J. LODICO, 0000 DEENA E. SUTTER, 0000 JONATHAN C. LOHRBACH, 0000 LON J. TAFF, 0000 To be colonel MANUEL A. LOPEZ, 0000 PAUL J. TAN, 0000 BRIAN W. LOVERIDGE, 0000 DAMON D. TANTON, 0000 DAVID H. FORDEN, 0000 KEEGAN M. LYONS, 0000 TARA L. TAYLOR, 0000 GERALD E. STONE, 0000 KIRIN L. MADDEN, 0000 BRIDGET A. THILL, 0000 IN THE MARINE CORPS MICHAEL A. MADRID, 0000 WARREN W. THIO, 0000 MEGAN E. MAHAFFEY, 0000 JEFFREY B. THOMAS, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR CHARLES G. MAHAKIAN, 0000 MICHAEL R. THOMAS, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE DAVID MALDONADO III, 0000 PATRICK J. THOMPSON, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., PATRICK MALLORY, 0000 ROBERT A. TIMMONS, 0000 SECTION 624: GREGORY J. MALONE, 0000 MICHAEL K. TING, 0000 KJERSTI A. MARIUS, 0000 RAMONE A. TOLIVER, 0000 To be lieutenant colonel PHILLIP E. MASON, 0000 BRIAN J. TOLLEFSON, 0000 RUSSELL E. MASSINE, 0000 EMMANUEL A. TRIGENIS, 0000 STEVE E. HOWELL, 0000 DEREK A. MATHIS, 0000 COURTNEY T. TRIPP, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR ERICH C. MAUL, 0000 ALECHIA M. TROUT, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE EDWARD L. MAZUCHOWSKI II, 0000 PAMELA TULI, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C, BRETT A. MCFADDEN, 0000 RICHARD TYSON, 0000 SECTION 624: SOPHIA MCFADDEN, 0000 JOSEPH D. VILLACIS, 0000 HOWARD J. MCGOWAN, 0000 DANA T. VIRGO, 0000 To be lieutenant colonel MIA M. MCGREGOR, 0000 KIRSTEN R. VITRIKAS, 0000 DAWN P. MCNAUGHTON, 0000 ERIK C. VON ROSENVINGE, 0000 RICHARD K. ROHR, 0000 ALEKSANDR G. MELIKOV, 0000 KIMBERLY A. VORMBROCK, 0000 CHRISTOPHER M. MEYER, 0000 DANIEL R. WALKER, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR EDWARD J. MEYERS, 0000 SPENCER D. WALKER, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE MICHAEL D. MICHENER, 0000 JAMES E. WALLACE, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., QUINTESSA MILLER, 0000 RAYMOND J. WALSH, 0000 SECTION 624: DOUGLAS D. MIN, 0000 DAVID T. WANG, 0000 To be lieutenant colonel ANTHONY L. MITCHELL, 0000 NEIL P. WANG, 0000 PAUL R. MONCLA, 0000 RICHARD P. WARD JR., 0000 DAVID J. WILSON, 0000 BRIAN A. MOORE, 0000 DARON A. WATTS, 0000 PAUL M. MORTON, 0000 JENNIFER J. WEAVER, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR CHER D. MOSEMAN, 0000 RYAN D. WELLS, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE EVAN B. MOSER, 0000 JOHN C. WHEELER, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., DANIEL H. MURRAY, 0000 PATRICK F. WHITNEY, 0000 SECTION 624: HAFEZ A. NASR, 0000 CHRISTOPHER J. WIBBELSMAN, 0000 RICHARD E. NEUBERT, 0000 CAROLYN A. WILD, 0000 To be lieutenant colonel VISETH NGAUY, 0000 ERIC L. WILLIAMS, 0000 WILLIAM E. HIDLE, 0000 BRETT R. NISHIKAWA, 0000 MAUREEN N. WILLIAMS, 0000 ANTHONY B. OCHOA, 0000 LYNN M. WILSON, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR BRIAN P. ODONNELL, 0000 BRICE P. WINDSOR, 0000 APPOINTMEHNT TO THE GRADE INDICATED IN THE DAVID D. ORTIZ, 0000 THOMAS C. WISLER JR., 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., SARAH M. PAGE, 0000 LEE T. WOLFE, 0000 SECTION 624: BRIAN N. PALEN, 0000 ROGER A. WOOD, 0000 WESLEY D. PALMER, 0000 HENRY A. WOODS JR., 0000 To be lieutenant colonel MICHAEL T. PARKE, 0000 KENNETH A. WOODWARD, 0000 JOHN T. BROWER, 0000 JEFFERY E. PARKER, 0000 JOSHUA L. WRIGHT, 0000 AMIT I. PATEL, 0000 JOY C. WU, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICERS FOR GILBERTO PATINO, 0000 MANOJ S. WUNNAVA, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE JUDITH E. PECK, 0000 CHRISTOPHER K. WYATT, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., ALYSSA C. PERROY, 0000 MATTHEW C. YOUNG, 0000 SECTION 624: RACHEL R. PETERSEN, 0000 SHAHID A. ZAIDI, 0000 LAURA J. PETERSON, 0000 MICHAEL A. ZANE, 0000 To be lieutenant colonel JOEL M. PHARES, 0000 LANA A. ZERRER, 0000 RONALD W. COCHRAN, 0000 GRANT C. PHILLIPS, 0000 REGGIE ZHAN, 0000 JOHNATHAN D. LAWSON, 0000 TIMOTHY M. PHILLIPS, 0000 ZOFIA ZHIVANOVICH, 0000 ROBERT J. MAGERS, 0000 BRIAN J. PICKARD, 0000 DAVID J. ZOLLINGER, 0000 MICHAEL ALAN PROFFITT, 0000 PAUL J. MINER, 0000 THE FOLLOWING NAMED OFFICERS FOR APPOINTMENT CHRISTOPHER B. PUDOL, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR TO THE GRADE INDICATED IN THE UNITED STATES AIR JAMES C. RACHAL, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE FORCE UNDER TITLE 10, U.S.C., SECTION 624: GREGORY N. RAMPEY, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., CHRISTIAN L. RANK, 0000 To be major SECTION 624: KRISTA WARE RANKIN, 0000 TONYA S. RANSNIGRO, 0000 MARYA J. BARNES, 0000 To be lieutenant colonel DAVID A. RAPKO, 0000 ERIC R. BAUGH JR., 0000 TRACEE P. RAY, 0000 GEORGE E. BOUGHAN, 0000 TODD P. OHMAN, 0000 ALYSON D. READ, 0000 DORON BRESLER, 0000 THE FOLLOWING NAMED LIMITED DUTY OFFICER FOR JERALD E. RECTOR, 0000 STEPHEN H. CHARTIER, 0000 APPOINTMENT TO THE GRADE INDICATED IN THE NATALIE L. RESTIVO, 0000 JILL A. CHERRY, 0000 UNITED STATES MARINE CORPS UNDER TITLE 10, U.S.C., AMY M. REYNOLDS, 0000 KEITH L. CLARK, 0000 SECTION 624: NEAL PATRICK RIDGE, 0000 FREDERICK A. CONNER, 0000 MARK G. RIEKER, 0000 GREGORY A. CONNER, 0000 To be lieutenant colonel JENNIFER M. RIZZOLI, 0000 MICHELLE D. DULLANTY, 0000 CHARLES K. ROBERTS, 0000 SARAH C. EAGER, 0000 MICHAEL E. BEAN, 0000 KYLE M. ROCKERS, 0000 JOSE F. EDUARDO, 0000 GREGORY G. FRICH, 0000 JEFFREY L. ROSE, 0000 JONATHAN D. EVANS, 0000 WALTON S. PITCHFORD, 0000

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