16566 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 SENATE—Monday, July 31, 2006

The Senate met at 2:01 p.m. and was will be a period for the transaction of Moving toward that energy independ- called to order by the Honorable JOHN morning business for up to 1 hour of ence is not only possible, but it is the CORNYN, a Senator from the State of time equally divided between the ma- key to reducing the energy prices that Texas. jority and the minority. people feel every day when they fill up f their cars with gas, when they cool PRAYER their homes, or other times of the year RECOGNITION OF THE MAJORITY The Chaplain, Dr. Barry C. Black, of- when they heat their homes. The high LEADER fered the following prayer: energy prices affect people in their ev- Let us pray. The ACTING PRESIDENT pro tem- eryday lives. Almighty God, holy, powerful, lov- pore. The majority leader is recog- I believe energy independence can be ing, and good, we thank You for Your- nized. achieved, but a first and very impor- self, whom we have come to know and f tant major starting point will be to love. Let Your presence be felt today SCHEDULE make sure we bring more of America’s on Capitol Hill. Where there is discord, energy to American consumers. That is Mr. FRIST. Mr. President, today we let there be peace. Where there is ha- what the bill does by allowing deep sea will start a period of morning business tred, let there be love. Where there is exploration in the Gulf of Mexico. until 3 p.m. Following that time, we sadness, let there be joy. Where there As I mentioned, we have a cloture will return to the debate on the Gulf of is sickness, let there be health. Where vote this afternoon, and I expect the Mexico energy security bill. We have a there is poverty, let there be true final vote on the Energy Security Act wealth. cloture vote scheduled for 5:30 on this bipartisan bill. I hope cloture will be hopefully sometime tomorrow. Use our lawmakers for Your pur- There are a number of different poses. Give them peaceful satisfaction invoked and that we can then work to- gether to bring that bill to a close at issues before us as we continue to move in doing Your will. Teach them the and produce meaningful solutions to wisdom of confession without coercion the earliest opportunity. This is our final week of business the problems facing Americans—and and conciliation without compromise. prior to the August adjournment, and that is what we will continue to do. We pray in Your powerful Name. we have some extraordinarily impor- ORDER OF PROCEDURE Amen. tant measures to consider before we I ask unanimous consent that fol- f leave. lowing the remarks by myself and Sen- PLEDGE OF ALLEGIANCE We now have a freestanding pensions ator REID, Senator HAGEL be recog- bill that has arrived from the House The Honorable JOHN CORNYN led the nized for 30 minutes. Pledge of Allegiance, as follows: which we will need to consider before The ACTING PRESIDENT pro tem- the close of the week. We also have a I pledge allegiance to the Flag of the pore. Without objection, it is so or- United States of America, and to the Repub- bill that relates to an increase in the dered. lic for which it stands, one nation under God, minimum wage, death tax reform, and f indivisible, with liberty and justice for all. some other very important tax provi- RECOGNITION OF THE MINORITY f sions. I expect to schedule that bill at the earliest time, and I hope we can get LEADER APPOINTMENT OF ACTING cooperation from all Senators. The The ACTING PRESIDENT pro tem- PRESIDENT PRO TEMPORE Senate will address that package be- pore. The Democratic leader is recog- The PRESIDING OFFICER. The fore we adjourn for the recess. Chair- nized. man STEVENS is ready to bring the De- clerk will please read a communication f to the Senate from the President pro partment of Defense appropriations bill tempore (Mr. STEVENS). to the floor, and we will look for a win- 109TH CONGRESS The legislative clerk read the fol- dow to have that bill debated and voted Mr. REID. Thank you very much, Mr. lowing letter: on as well. There are a number of President. U.S. SENATE, nominations—judicial and otherwise— Very difficult thing to get anything out of PRESIDENT PRO TEMPORE, that I hope we can consider this week. this . . . Congress. They don’t want to do , DC, July 31, 2006. We have a very aggressive agenda anything for the people. They are awful anx- To the Senate: this week that has been laid out before ious to do things to the people, and they Under the provisions of rule I, paragraph 3, us—a very important one because I be- have done a lot of things to the people . . . of the Standing Rules of the Senate, I hereby lieve the importance and weight of and it’s beginning to hurt. appoint the Honorable JOHN CORNYN, a Sen- each of these bills demands that we ad- ator from the State of Texas, to perform the That is a quote of Harry Truman. duties of the Chair. dress them this week. Again: TED STEVENS, We have acted on a number of issues Very difficult thing, to get anything out of President pro tempore. over the past several weeks, and most this . . . Congress. They don’t want to do Mr. CORNYN thereupon assumed the of the recent debate has been on the anything for the people. They are awful anx- chair as Acting President pro tempore. issue we will consider later today, the ious to do things to the people, and they Gulf of Mexico Energy Security Act. have done a lot of things to the people . . . f Today we are scheduled to conclude and it’s beginning to hurt. RESERVATION OF LEADER TIME that debate on this important piece of Those are the words of Harry Truman The ACTING PRESIDENT pro tem- legislation. It fundamentally is a bill in 1948. He was referring to the 80th pore. Under the previous order, the which will substantially reduce over- Congress, but those remarks are di- leadership time is reserved. whelming dependence on foreign rectly in tune with the 109th Congress. f sources of oil. It would move us toward Like the ‘‘do-nothing Congress’’ of energy independence. It strengthens 1948, it is ‘‘very difficult’’ to get any- MORNING BUSINESS our national security, and it helps re- thing out of this Republican Congress. The ACTING PRESIDENT pro tem- duce the cost of living for American The things they are doing are ‘‘begin- pore. Under the previous order, there families and businesses. ning to hurt.’’

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

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00001 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16567 Look at national security. The ma- He went on to say: ment that does not work, equipment jority’s rubberstamping of President As for beating the 1948 Congress’ record for that is in need of repair. As Senator Bush in Iraq has made America less lethargy, he joked, ‘‘Most Americans will be JACK REED has said for months and safe and emboldened our enemies such pretty happy with that.’’ months, we have a military infrastruc- as Iran, North Korea, and al-Qaida. For I don’t know what his congressional ture that is failing. The soldiers are the third week in a row, Iraq and the district is like and how people feel fighting valiantly. The Washington Middle East are plunging further into there, but in the rest of the country, Times reports our military is showing crisis, and what is the response of this that is not how they feel. Americans the wear of 5 years of war. Republican Congress? The estate tax, aren’t ‘‘happy’’ that they are paying Rather than doing the Defense appro- repeal of the estate tax. hundreds of dollars more for gasoline— priations bill, we are going to work on Look at our economy. The majority’s sometimes every month—because this the estate tax repeal. Think about reckless fiscal policies have created a Republican Congress refuses to pass re- that. The Defense appropriations bill $9 trillion debt, placing a birth tax on lief measures and won’t investigate the should take a few days. Readiness lev- our children and our children’s chil- surging profits of big oil. Exxon is els for the Army are at lows not seen dren. In recent years, the poor have going to make $40 billion net profit since Vietnam as virtually no active gotten poorer and the rich have gotten this year—$40 billion; British Petro- nondeployed combat brigade is pre- richer, and the middle class have been leum, the best year they have ever had. pared to perform its wartime mission. squeezed. They will not be investigating the The Army has asked for $17 billion in What is the response of the Repub- emergency funds, but the President has licans? Repeal the estate tax—hun- surging profits of big oil because this not submitted that. His military lead- dreds of billions of dollars to go to a administration is the most oil-friendly ers in the field have said $17 billion is small group of Americans, a very small administration in the history of the group of Americans, a country with 300 country. what we need. We do not hear anything from the million people. This repeal of the es- This Congress doesn’t have the polit- President on this except ‘‘repeal the es- tate tax may affect 10,000 people—less ical will necessary to rapidly make us than two-tenths of 1 percent of the more energy independent. And what is tate tax.’’ Can anyone imagine that? American people. the Republican response? Repeal the Rather than doing what we should do Look how divided America has be- estate tax for two-tenths of 1 percent to help our valiant soldiers, we are come. The majority’s focus on issues of the American people, the richest of going to move this week to repealing such as marriage and flag desecration the rich. the estate tax. Talk about dangerous has divided our country and distracted Americans aren’t ‘‘happy’’ that our incompetence from the administration this body from more pressing concerns, troops are in the middle of a civil war and Congress, as well as making us less problems in health care, ignoring glob- in Iraq because the Republican Con- safe. al warming, energy and gas prices. gress won’t demand the President America is not happy with our bor- I appreciate the distinguished major- change course. ders remaining unsecure 6 years after ity leader saying he believes we should That is the law which passed on a bi- September 11, but this Republican Con- move to energy independence—and we partisan basis. The law, as we speak, is gress cannot pass comprehensive immi- certainly should. I support this drilling there should be a change of course in gration reform. Rather than the Presi- bill. President Clinton supported it. It Iraq. The law says that the year 2006 dent pushing on this—he says he is in allows drilling in the gulf coast. And it will be a year of significant transition favor of it—we still have this bill in the is important because it allows coastal in Iraq. Not happening. House that makes a felon of everyone, restoration—and money goes to that. I get a report on my way to work including health care workers, preach- But it has little to do with energy inde- every morning from my stalwart staff- ers, Catholic priests, and undocu- pendence. ers. I talked to Nathan this morning on mented people in this country. With energy and gas prices and the the way to work. He said: What is the answer to that in the rising cost to the middle class, what is Senator, I don’t know where to start with Senate today? Repeal the estate tax, the response of the Republicans? Re- Iraq. We know at least four American sol- giving hundreds of billions of dollars to peal the estate tax. diers have been killed, as mentioned on page a few of the richest people in the world. There are just 15 legislative days left A10 of the Washington Post. It doesn’t make Contrary to Majority Mr. Leader this year. Everyone knows that Mon- the front page anymore. BOEHNER, Americans are not happy days and Fridays are not voting days in The death and destruction of Iraq, as with this Republican Congress which this Republican Senate. That leaves us Nathan said, is hard to keep up with. In has bowed to the radical right and re- with 3 days this week and 12 when we the past 24 hours, scores dead. Today, fused to override a Presidential veto of return. What is the response of the Re- there were a dozen Iraqis beheaded. In legislation to allow our best and publicans today in the U.S. Senate? the last month alone, 1,200 Iraqis have brightest scientists to explore the Move to repeal the estate tax. Fifteen been killed, murdered. We tried to offer promise of stem cell research. On the days ahead of us, and behind us 19 the military in Iraq a strategy for suc- news today it was reported Prime Min- wasted months. The truth is this Re- cess, but Republicans chose instead to ister Blair is going to to do publican Congress is actually worse rubberstamp the President. a deal with the State of California to than the famous ‘‘do-nothing Con- What is the response to date to all do stem cell research in Great Britain. gress’’ of 1948. That Congress worked these problems? Repeal the estate tax. We have farmed out hope for the most almost a month longer than we have. We have spent more time on repealing desperate of the sick, people who have Republicans ought to be ashamed of the estate tax than any other one issue suffered injuries, who are paralyzed their dismal record, but it is clear from for the entire Congress, in this Senate. from the neck down, the waist down. press reports that they are not. I got It should be clear who the majority fa- And what is the answer of this Con- up to read the Washington Post yester- vors. We have spent all this time on gress, this Senate? Repeal the estate day morning and was really appalled less than .2 percent of the American tax. Contrary to what my friend says, when I read a quote from the House Re- people, costing the country hundreds of the majority leader in the House, publican leader in which he actually billions of dollars. Americans are not happy. This Repub- bragged about how little this Congress Americans are not happy this Presi- lican Congress has concentrated all its has done. dent has worn down, exhausted, over- efforts on the well-off, well-connected I quote: stretched our military. In a paper I few and done nothing to assist Amer- Republican leaders shrug off the ‘‘do-noth- don’t read very often, the Washington ica’s middle-class families who are ing’’ charge. ‘‘You get used to hearing that nonsense,’’ Times today reported that the military struggling to pay the rising costs of said House Majority Leader John Boehner is in a state of disrepair. If you are not health care, education, energy, with (R–OH). on the front lines, you are using equip- paychecks that keep shrinking. If you

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00002 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16568 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 are college educated in America today, to catch up with them. But they are Senate has ample time to debate and you have lost 5 percent of your earning afraid to come forward on a straight pass this important legislation, but Re- power under this administration. What minimum wage vote. They stick it in publicans are threatening to jeopardize is the answer of this Senate, led by the with everything else. To think they Senate passage of this bill so they can Republicans? Repeal the estate tax. have stuck the minimum wage package focus on their million-dollar friends. It Americans are not happy this Repub- into the estate tax repeal. The major- is an insult that the American people lican Congress has virtually ignored ity does understand that elections are can see through, as they can see the health care crisis. I have talked just around the corner and they are through the tricks Republicans are about stem cell research. That is only about to pay the price for ignoring playing with the pension bill. part of it. Forty-six million Americans America’s workers. In a most trans- As I indicated, the conferees have have no health care. During this ad- parent and cynical trick, Republicans worked to reconcile this House pension ministration, 1 million people every have offered to give America a raise if, bill for more than a year. They basi- month have been added to the roll of and only if, their wealthiest friends cally have completed it, and now the those who have no health insurance, also get billions of dollars in tax wealthy few are ahead of the retire- and millions of others have inadequate breaks. It is such an unbelievable ploy, ment security of millions of working health insurance. The Republicans let me say it again: Republicans are Americans, further evidence that have sat on their hands for 6 years as threatening to deny a $2.10 raise for 11 America needs a new direction. Cry as millions and millions have lost their million Americans unless they can give they might, Republicans cannot escape insurance, while companies such as away hundreds of billions to less than the record. History will record this as Ford and General Motors, companies .2 of 1 percent of the American people. the do-nothing Congress of 2006 and it that used to drive this economy, sta- The $2.10 raise is over a period of years. will be forever, most likely, the 1948 ples of the U.S. economy, have been It should be immediate. The $2.10 an do-nothing Congress. No one is happy crippled by the rising costs. What are hour raise occurs if the richest of the about this situation, contrary to what we doing to help them? We are being rich get billions of dollars. It is polit- Republican leaders say. asked to repeal the estate tax. ical blackmail that reeks of despera- We have 15 days left. I respectfully Americans are not happy with this tion. It should fail. The estate tax has suggest to the other side it is time to Republican Congress that has pushed been defeated before in the Senate. get to work on the real problems, not its investigation of the President’s ma- Democrats have been willing to deal the estate tax. nipulation of Iraq intelligence until with the estate tax and change it. We Mr. DURBIN addressed the Chair. after the election. We were promised— are willing to do that. The ACTING PRESIDENT pro tem- promised—we would do all five inves- Now Republicans have backed off and pore. Under the previous order, the tigations. No way. Nine months after only about 80 percent agree. This is the Senator from Nebraska is next. Democrats sent the Senate into a most contemptuous election year trick Mr. REID. I have not yielded the closed session over this issue, it has I have ever seen. It has nothing to do floor. I still have the floor. been announced the Republican-led In- with giving workers a raise and every- I yield for a question. telligence Committee will not com- thing to do with providing Republicans Mr. DURBIN. I see the Senator from plete its work before November. And I political cover. Everything we have Nebraska, and I will not take much bet they don’t do it even after that. done in this Senate has been directed time, but I would ask a question of the Vice President CHENEY will not let toward repealing the estate tax. Senator from Nevada. them. He runs the Intelligence Com- We had a deal we worked for a year The Senator from Nevada has been in mittee; we all know that. on a conference on pensions. It was all the Congress as long as I have. We The only conclusion to draw is that done. They were ready to sign the pa- came together in 1982. We have seen a the investigation is too embarrassing pers. It was a bipartisan agreement. It lot of things happen. I ask the Senator to Republicans to make public before is gone because of the estate tax. Now from Nevada if, in his time in serving the November 7 election. What is the we have a freestanding bill on pensions in Congress, he has ever seen a worse answer? I repeat, repeal the estate tax. coming to the Senate. special interest bill than this bill Even though my friend Congressman To make matters worse, Republicans which would repeal the estate tax BOEHNER thinks Americans are happy, are willing to put the defense of our which affects about 2 families out of Americans are not happy with this Re- Nation on the back burner. I talked every 1,000, families who are the publican Congress’s cynical plan to about the deterioration of our mili- wealthiest in America, that the Repub- play politics with minimum wage and tary. It was recorded in the news today lican leadership in the House and Sen- pensions later this week. For 10 years, all over the country. I read it in the ate insist we have to reduce their taxes American workers have waited for the Washington Times. The Senate has not before we can ever consider giving an Republican Congress to raise the min- acted on a Defense appropriations bill increase in the minimum wage to 11 imum wage. Isn’t it interesting, even even though the President’s own mili- million workers who get up every though it is in a convoluted legislative tary leaders have said they need an morning and go to work? For 9 straight package—and that is an understate- emergency supplemental appropriation years, the Republican leadership in the ment—when we said there would be no of $17 billion to take care of the equip- White House and Congress has said to congressional pay raises until the min- ment that has gone to pieces as a re- these hard-working Americans, no pay imum wage is increased, they are sud- sult of the war. raise. Now—now—comes the deal. The denly interested? During the 10 years The Defense appropriations bill funds Republicans have finally said: OK, all that poor Americans have been waiting our national security policy and in- right, our conscience has finally gotten for a wage increase, Congress has given cludes money for our troops and our to us—or maybe it is the fear of losing itself $30,000 in pay increases. In that equipment and determines how we ad- our congressional pay raise—but now time, the cost of everything—from gas dress our national security challenges we will consider the minimum wage to housing to heat—has gone up. And around the world. What are they doing? pay raise as long as you will cut the the answer of the Republicans? Repeal Not the Defense appropriations bill, taxes on the wealthiest people in the estate tax. but how can they get to the meat of re- America as part of the bargain. The Federal minimum wage has pealing the estate tax? Has the Senator from Nevada ever stayed the same, $5.15 an hour. For With all the problems we have in this seen a worse special interest bargain in someone earning $10,000 a year, it is country, where are their priorities? We 24 years? hard to live. Oprah did a story on that. see what their priorities are. In a time Mr. REID. I say to my friend, the dis- Maybe that is one reason—in addition of war, one would think this bill would tinguished minority whip, the time we to Congress not further getting pay be priority No. 1, that we would do ev- have spent on this Senate floor dealing raises—for this bill. This issue is about erything in our power to ensure the with estate tax, think what we could

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00003 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16569 have done in energy, health care, edu- time and time again, to bring up the Achieving a lasting resolution to the cation, the debt, but they are spending real issues that count, such as an in- Arab-Israeli conflict is as much in it on this massive debt increase. Hun- crease in the minimum wage, is it not Israel’s interest as any other country dreds of billions of dollars we will in- a fact that, instead, the Republican in the world. Unending war will contin- crease the debt—this year’s deficit— leadership has pushed aside the real ually drain Israel of its human capital, the debt over the next 10 years. I have issues, such as money for our troops, resources, and energy as it continually never seen anything like it. pushed aside the energy program which fights for its survival. Mr. DURBIN. I would like to ask the we need for America, and said, instead: The United States and Israel must Senator from Nevada this—and he goes We are going to have a parade of con- understand that it is not in their long- to the point. It is not just the basic in- stitutional amendments that are ex- term interests to allow themselves to justice and unfairness of saying you treme—many of them—and then we become isolated in the Middle East and will not give the hardest working, low- have to always come back to repealing the world. Neither can allow them- est paid Americans any increase in the estate tax? It is a higher priority selves to drift into an ‘‘us against the their hourly wage unless you give the to them than anything I have men- world’’ global optic or zero-sum game. wealthiest Americans a tax break that, tioned. That would marginalize America’s frankly, only but a few of them have Mr. REID. Legislative heaven, obvi- global leadership, our trust and influ- asked for. ously, for the Republicans in this Con- ence, further isolating Israel, and it I ask the Senator from Nevada, the gress is the estate tax. would prove disastrous for both coun- outcome of this deal—if they pull it Mr. DURBIN. I thank the Senator. tries, as well as the region. It is in off—will increase the debt of America, The ACTING PRESIDENT pro tem- Israel’s interest, as much as ours, that will increase the money we have to pore. The Senator from Nebraska is the United States be seen by all states borrow from China and Japan and recognized. in the Middle East as fair. This is the Korea and Saudi Arabia, will leave a Mr. HAGEL. Thank you, Mr. Presi- currency of trust. The world has rightly condemned the greater debt for our children so the Re- dent. despicable actions of Hezbollah and publican dream of reducing the estate f Hamas terrorists who attacked Israel tax for the wealthiest people in Amer- MIDDLE EAST—A REGION IN and kidnapped Israeli soldiers. Israel ica will come true. Does the Senator CRISIS has the undeniable right to defend from Nevada think that increasing itself against aggression. This is the America’s debt, cutting taxes in the Mr. HAGEL. Mr. President, the Mid- right of all nations. midst of a war, is sound evidence of fis- dle East today is a region in crisis. After 3 weeks of escalating and con- Hezbollah is a threat to Israel, to cal conservatism? Lebanon, and to all who strive for last- tinuing violence, the potential for Mr. REID. This increases the na- ing peace in the Middle East. However, wider regional conflict becomes more tional debt by hundreds of billions of military action alone will not destroy real each day. The hatred in the Middle dollars. I ask my friends on the other Hezbollah or Hamas. Extended military East is being driven deeper and deeper side of the aisle, how could you let this action is tearing Lebanon apart, kill- into the fabric of the region, which will happen? I say that. I plead: How can ing innocent civilians, devastating its make any lasting and sustained peace you let this happen? economy and infrastructure, and cre- effort very difficult to achieve. We will try to stop it. We would like ating a humanitarian disaster, further How do we realistically believe that a a little help. How can you let this hap- weakening Lebanon’s fragile demo- continuation of the systematic de- pen? I am really troubled. I cannot un- cratic government, strengthening pop- struction of an American friend, the derstand how they would even have the ular Muslim and Arab support for country and people of Lebanon, is audacity to bring this up: a $2.10 in- Hezbollah, and deepening hatred of crease over 2 or 3 years—it is not all at going to enhance America’s image and Israel’s position across the Middle once—and a massive, immediate ces- give us the trust and credibility to lead East. The pursuit of tactical military sation of the richest of the rich having a lasting and sustained peace effort in victories at the expense of the core to pay basically any taxes on their es- the Middle East? strategic objective of Arab-Israeli tates. The sickening slaughter on both peace is a hollow victory. The war Mr. DURBIN. Last question I would sides must end, and it must end now. against Hezbollah and Hamas will not like to ask the Senator—— President Bush must call for an imme- be won on the battlefield. The ACTING PRESIDENT pro tem- diate cease-fire. This madness must To achieve a strategic shift in the pore. The time of the minority in stop. The Middle East today is more conditions for Middle East peace, the morning business has expired. combustible and complex than it has United States must use the global con- Mr. REID. I will use my leader time. ever been. Uncertain popular support demnation of terrorist acts as the basis Mr. DURBIN. I ask the Senator from for regime legitimacy continues to for substantive change. For a lasting Nevada to yield for one further ques- weaken governments in the Middle and popularly supported resolution, tion. I thank the Senator from Ne- East. Economic stagnation, persistent only a strong Lebanese Government braska for his patience. unemployment, deepening despair, and and a strong Lebanese Army, backed We have struggled long and hard over wider unrest enhance the ability of ter- by the international community, can the last several months to ask the Re- rorists to recruit and succeed. rid Lebanon of these corrosive militias publican leadership in the Senate to An Iran with nuclear weapons raises and terrorist organizations. bring up the issues, the bills, the laws the specter of broader proliferation and President Bush and Secretary Rice that people care about: reducing the a fundamental strategic realignment in must become and remain deeply en- cost of gasoline for working families the region, creating more regional in- gaged in the Middle East. Only U.S. and businesses and farmers in Nevada, stability. America’s approach to the leadership can build a consensus of pur- Illinois, Texas, and Nebraska; working Middle East must be consistent and pose among our regional and inter- on doing something about the 46 mil- sustained, and it must understand the national partners. To lead and sustain lion uninsured Americans; dealing with history, the interests, and the perspec- U.S. engagement, the President should the issues that we face when people tives of our regional friends and allies. appoint a statesman of global stature, cannot afford to send their kids to col- The United States will remain com- experience, and ability to serve as his lege; dealing with the real security of mitted to defending Israel. Our rela- personal envoy to the region. This indi- America so we live up to the 9/11 Com- tionship with Israel is a special and vidual would report directly to the mission recommendations to make historic one. But it need not and can- President and be empowered with the America safe. not be at the expense of our Arab and authority to speak and act for the I will ask the Senator from Nevada, Muslim relationships. That is an irre- President. Former Secretaries of State in closing, as we have asked time and sponsible and dangerous false choice. Baker and Powell fit this profile.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00004 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16570 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 The President must publicly decry observed that in the Middle East a The Middle East crisis represents a mo- the slaughter today and work toward process is necessary because a process ment of great danger, but it is also an oppor- an immediate cease-fire in the Middle absorbs events. Without a process, tunity. East. The U.N. Security Council must events become crises. He was right. Crisis focuses the minds of leaders and the attention of nations. The Middle East need urgently adopt a new binding resolu- Look at where we are today in the Mid- not be a region forever captive to the fire of tion that provides a comprehensive po- dle East with no process. Crisis diplo- war and historical hatred. It can avoid this litical, security, and economic frame- macy is no substitute for sustained, fate if the United States pursues sustained work for Lebanon, Israel, and the re- day-to-day engagement. and engaged leadership worthy of our his- gion—a framework that begins with America’s approach to Syria and Iran tory, purpose, and power. America cannot fix the immediate cessation of violence. is inextricably tied to Middle East every problem in the world; nor should it I strongly support the deployment of peace. Whether or not they were di- try. But we must get the big issues and im- a robust international force along the rectly involved in the latest Hezbollah portant relationships right and concentrate on those. Israel-Lebanon border to facilitate a and Hamas aggression in Israel, both We know that without engaged and active steady deployment of a strengthened countries exert influence in the region American leadership, the world is more dan- Lebanese Army into southern Lebanon in ways that undermine stability and gerous. The United States must focus all of to eventually assume responsibility for security. As we work with our friends its leadership and resources on ending this security and the rule of law. and allies to deny Syria and Iran any madness in the Middle East now. America must listen carefully to its opportunity to further corrode the sit- I yield the floor and suggest the ab- friends, its partners in the region. uation in Lebanon and the Palestinian sence of a quorum. Saudi Arabia, Egypt, Jordan, and oth- territories, both Damascus and Tehran The ACTING PRESIDENT pro tem- ers—countries that understand the must hear from America directly. pore. The clerk will call the roll. Middle East far better than we do— As John McLaughlin, the former The bill clerk proceeded to call the must commit to help resolve today’s Deputy Director of the Central Intel- roll. crisis, and they must be active part- ligence Agency, recently wrote in the Mr. JOHNSON. I ask unanimous con- ners in helping realize the already- Washington Post—and I quote Mr. sent that the order for the quorum call agreed-upon two-state solution. McLaughlin— be rescinded. The core of all challenges in the Mid- Even superpowers have to talk to bad guys. The ACTING PRESIDENT pro tem- dle East remains the underlying Arab- The absence of a diplomatic relationship pore. Without objection, it is so or- Israeli conflict. The failure to address with Iran and the deterioration of the one dered. this root cause will allow Hezbollah, with Syria—two countries that bear enor- The minority has no remaining time Hamas, and other terrorists to con- mous responsibility for the current crisis [in in morning business. tinue to sustain popular Muslim and the Middle East]—leave the United States with fewer options and levers than might Mr. JOHNSON. I ask unanimous con- Arab support—a dynamic that con- otherwise have been the case. sent to speak for up to 10 minutes as in tinues to undermine America’s stand- Distasteful as it might have been to have morning business. ing in the region and the Governments or to maintain open and normal relations The ACTING PRESIDENT pro tem- of Egypt, Jordan, Saudi Arabia, and with such states, the absence of such rela- pore. Without objection, it is so or- others, whose support is critical for tions ensures that we will have more blind dered. spots than we can afford and that we will any Middle East resolution. f The United States should engage our have to deal through surrogates on issues of Middle East and international partners vital importance to the United States.’’ HONORING ROGER ANDAL Ultimately, the United States will need to to revive the Beirut Declaration, or engage Iran and Syria with an agenda open Mr. JOHNSON. Mr. President, today I some version of that declaration, pro- to all areas of agreement and disagreement. pay tribute to my very close friend, posed by King Abdullah of Saudi Ara- For this dialog to have any meaning or pos- Roger Andal. Last month, Roger died bia and adopted unanimously by the sible lasting relevance, it should encompass following a long battle with Crohn’s Arab League in March of 2002. In this the full agenda of issues. disease. His passing is a tremendous historic initiative, the Arab world rec- There is very little good news coming out loss to our veterans, as well as a per- ognized Israel’s right to exist and of Iraq today. Increasingly vicious sectarian sonal loss for my family and me. His violence continues to propel Iraq toward friendship will be terribly missed. sought to establish a path toward a civil war. two-state solution and broader Arab- The U.S. announcement last week to send Roger began his extraordinary serv- Israeli peace. Even though Israel could additional U.S. troops and military police ice to our country as a combat medic not accept it as it was written, it rep- back into Baghdad reverses last month’s de- with the Army’s Fourth Infantry Divi- resented a very significant starting cision to have Iraqi forces take the lead in sion during the war in Vietnam. It was point—starting point—document initi- Baghdad and represents a dramatic setback Roger’s duty to help his fallen com- ated by Arab countries. Today, we need for the U.S. and the Iraqi Government. rades and tend to their wounds, and it a new Beirut Declaration-type initia- The Iraqi Government has limited ability was a responsibility that came natu- to enforce the rule of law in Iraq, especially tive. We squandered the last one. in Baghdad. Green zone politics appear to rally to him. The concept and intent of the 2002 have little bearing or relation to the reali- He braved enemy fire to ensure the Beirut Declaration is as relevant today ties of the rest of Iraq. The Iraqis will con- injured were safely evacuated from the as it was in 2002. An Arab-initiated, tinue to face difficult choices over the future battlefield. Roger often did so with lit- Beirut-type declaration would reinvest of their country. tle regard to his own personal safety regional Arab States with a stake in The day-to-day responsibilities of gov- and was ultimately wounded in battle. achieving progress toward Israeli-Pal- erning and security will soon have to be as- He received the Purple Heart, the estinian peace. This type of initiative sumed by Iraqis. This is not about setting a Vietnam Service Medal, the Campaign timeline. This is about understanding the would offer a positive alternative—a implications of the forces of reality. This re- Medal, and the Army Commendation positive alternative—vision for Arab ality is being determined by Iraqis, not Medal for his service to his country. populations to the ideology and goals Americans. But for Roger what mattered most of Islamic extremists. The United America is bogged down in Iraq and this is were not the commendations, but the States must explore this approach as limiting our diplomatic and military op- knowledge that he had helped his fel- part of its diplomatic engagement in tions. The longer America remains in Iraq in low soldiers. the Middle East. its current capacity, the deeper the damage After returning stateside, Roger dedi- Lasting peace in the Middle East, and to our force structure—particularly the U.S. cated himself to working on behalf of Army. stability and security for Israel, will And it will continue to place more limita- our Nation’s veterans. For the next 30 come only from a regionally oriented tions on an already dangerously over- years, he was active in various vet- political settlement. Former American extended force structure that will further erans’ causes, and at the time of his Middle East Envoy Dennis Ross once limit our options and public support. death he was completing his service as

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00005 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16571 the South Dakota commander of the setbacks, Roger always kept a positive by ensuring that Florida remains pris- Disabled American Veterans. outlook on the process. tine, that it remains the kind of place The creed of the Disabled American In the days following Roger’s death a visitor from all over the country Veterans is ‘‘building better lives for some veterans have expressed how would choose to come to enjoy year America’s disabled veterans and their much more difficult the fight will be after year and where other Florida families.’’ I think it’s profoundly true without Roger to lead the charge. families might begin to develop and to say Roger personified these words Without question, Roger’s voice will be enjoy their own family traditions, en- and made them his life’s mission. missed. But we should remember that joying the great outdoors Florida has As a former Army medic, Roger un- the best way to honor Roger’s life is to to offer, our sandy beaches, the fishing, derstood both the physical and emo- fight wholeheartedly for the causes he and other recreational opportunities tional wounds of war. Some soldiers championed. that come about as a result of this survive the harrows of battle, only to Mr. President, my thoughts are with wonderful natural habitat we have. suffer severe injuries including brain Roger’s wife Peggy and their two chil- But also protecting it is important as trauma and amputated limbs. These dren during this difficult time. Roger an economic consideration. It is part of veterans required lifelong medical left us much too soon, but his commit- what makes Florida’s economy so treatment, and Roger was adamant ment to our veterans and his service to thriving and important—the tourism. that they receive it. the public and to our Nation will con- Before there was Disney and Universal Roger also recognized that some tinue to inspire us all. Studios, and those types of attractions, wounds heal long after the battle is I suggest the absence of a quorum. it was the beaches and the climate that over, if at all. That is why he consist- The ACTING PRESIDENT pro tem- brought folks to Florida to come and ently called upon his congressional pore. The clerk will call the roll. enjoy. At the end of the day, that is Representatives to increase funding for The bill clerk proceeded to call the our calling card. posttraumatic stress disorder initia- roll. Protecting Florida’s environment is tives. Mr. MARTINEZ. Mr. President, I ask not something we take lightly. Pro- Roger fought to make sure homeless unanimous consent that the order for tecting the environment in Florida is veterans were sheltered. He worked to the quorum call be rescinded. not something that is a Republican or make sure that soldiers returning from The ACTING PRESIDENT pro tem- a Democratic issue. That is why Sen- war were transitioned back to society pore. Without objection, it is so or- ator NELSON, my colleague from Flor- ida, and I have worked so closely to- with as much ease as possible. But the dered. gether over the last year or so as this issue most identified with Roger was Mr. MARTINEZ. I rise to speak on S. great debate has raged on about what mandatory funding. 3711. My understanding is, through a to do to protect Florida, while at the I have introduced mandatory funding unanimous consent agreement, I am same time yielding ever more increas- legislation in each of the past three permitted to speak for 10 minutes on ing pressures to drill and explore in the Congresses, and Roger was the bill’s the bill. Outer Continental Shelf. most tireless and dedicated champion. The ACTING PRESIDENT pro tem- In the Senate, I maintain another If it were possible to pass mandatory pore. Without objection, it is so or- tradition—the tradition of other Flor- funding based on Roger’s passion and dered. ida Senators, Connie Mack, Bob Gra- commitment, enacting this legislation f ham, others who have fought over time into law would have happened long ago. GULF OF MEXICO ENERGY to protect Florida’s treasures from Mandatory funding is long overdue, SECURITY ACT those who don’t share our values. I am and in honor of Roger, I believe we proud to be part of that tradition. I am Mr. MARTINEZ. Mr. President, over must redouble our efforts to ensure the firmly committed to this tradition. the last several days we have been dis- VA health care program has guaran- And in that tradition, I have worked cussing the Gulf of Mexico Energy Se- teed funding adequate to provide vet- very hard on—and I am proud to say— curity Act. Today, in an hour or so erans’ health care each and every year. what I believe has been a good com- from now, we will have a cloture vote For over three decades Roger never promise for our State, along with Sen- on this very important legislation. For shied away from a fight. He was moti- ator NELSON and members of the Flor- vated by his sincere belief that if you my part, I have tried to make it clear ida delegation in the House of Rep- make a promise to the men and women how important this legislation is to my resentatives, who have worked dili- placed in harm’s way, then you have a State of Florida, how important the gently as well to protect their areas of responsibility to honor those commit- protection of our fragile environment Florida, protect the State and at the ments when they return. in our State is to our people. As a same time understanding the great But what Roger valued most was young 15-year-old, I came to Florida as pressures we are under and the battle honesty. He was a straight-shooter, and many people who have been trans- that has gotten fiercer and fiercer as it was one of his most endearing per- planted from elsewhere, to enjoy a demand has increased for ever more sonality traits. If you asked Roger a Florida lifestyle. Since that time I production of gas and oil. question, he would give you a straight have been in love with this wonderful As the prices at the pump continue answer—and he expected one in return. State, what it has to offer to people, to to go up, as prices drive businesses It speaks volumes about Roger’s families, and the great traditions Flor- abroad and overseas because of the character that his peers continually ida has had as a place to enjoy the out- high cost of natural gas, that pressure elected him to leadership positions doors. I have on countless occasions en- has been ever increasing. What I want within the Disabled American Vet- joyed Florida’s beaches, fishing, en- to do today, in hoping that the people erans. In addition to holding every joyed other outdoor pursuits which are across the State and also across our elected position in the Sioux Falls such a natural part of what Florida is Nation understand, is say that this bill chapter of the DAV, Roger served twice about. puts the control of the future of our as the State commander, and rep- As the years have gone by, I have State in our hands. resented South Dakota on the execu- passed that on and instilled that in my As the map here shows, it provides a tive national committee. children, as I did a little bit yesterday, tremendous zone of protection for the On a personal note, Roger had a close passing it on to my grandchildren when State of Louisiana—125 miles south of working relationship with my staff and we were enjoying New Smyrna beach Pensacola and the panhandle, but al- in particular with my Chief of Staff, yesterday, under that hot Florida sun, most 320 some miles from Naples and Drey Samuelson. He was an invaluable but also the beautiful sandy beaches. 237 miles from Tampa. This yellow area resource and often provided insight on Part of what this bill is about for Flo- is all part of the zone of protection legislation and veterans’ benefits pro- ridians is protecting the future, pass- that Florida will enjoy until the year grams. Despite occasional legislative ing that love on to other generations 2022, a long time from now.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00006 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16572 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 As a result of that protection, we we are committed to working from the GULF OF MEXICO ENERGY have also done something very impor- framework of the Senate bill. That has SECURITY ACT OF 2006 tant to our State, which is upholding been important to me, and while I re- The ACTING PRESIDENT pro tem- the tradition of our military readiness. spect the hard work of our House col- pore. Under the previous order, the This is a military mission line here, leagues and their autonomy as a body hour of 3 p.m. having arrived, the Sen- where no drilling will take place east of Congress, I believe also we have to ate will resume consideration of S. of this line. What this does is protects prevail on this Senate version of the 3711, which the clerk will report. the training missions that take place bill. It is what the Senate can pass this The bill clerk read as follows: out of Eglin Air Force Base, Hurlburt year. It is the reality of the situation. A bill (S. 3711) to enhance the energy inde- Field, and the Naval Air Station in I am hopeful we can impress upon our pendence and security of the United States Pensacola as well. They train and prac- colleagues in the House by an over- by providing for exploration, development, tice. They test in this area here the whelming vote of support for this and production activities for mineral re- guided munitions that are such a part measure. Now is the time and this is sources in the Gulf of Mexico, and for other of the necessary and difficult and dan- the opportunity to protect Florida purposes. gerous world in which we live. Those while at the same time providing some Pending: marvelous weapons can sometimes measure of improvement to the condi- Frist amendment No. 4713, to establish an make the difference between striking tions we find ourselves in today with effective date. the right target or not due to these such a desperate need for oil and gas. Frist amendment No. 4714 (to amendment tests in the Gulf of Mexico. The F–22 This area is rich in not only oil but No. 4713), to amend the effective date. fighter, which is going to be a very im- natural gas. The natural gas produc- The ACTING PRESIDENT pro tem- portant part of the future of our mili- tion from this area may be greater pore. Under the previous order, the tary readiness, is going to train here. than that of oil. That is a tremen- time until 5:30 p.m. shall be divided It is so fast that it requires the vast- dously important resource for our Na- equally between the two managers or ness of the Gulf of Mexico to be able to tion today as we try to power our their designees. conduct maneuvers and training exer- plants and other facilities, at a time The Senator from Louisiana is recog- cises that are necessary. when so much electricity is being gen- nized. So this is a zone of protection for our erated by the use of natural gas. It is Ms. LANDRIEU. Mr. President, be- State until 2022. Some might say it is important that we do all we can to fore the Senator from Florida leaves just protection for the gulf. What bring down the price of natural gas. the floor—and he may be staying about the Keys and the east coast of Chairman DOMENICI believes that, in through the debate—he has been ex- Florida? That is under a moratorium talking with people in the industry, tremely essential and instrumental and presently. The important protection the passage of this bill could have a vital to the compromise that has come here is to the gulf coast. significant impact on the price of fu- forward. I want to thank him for his What has been under siege, gone tures as it relates to natural gas. I leadership. As he alluded to, the five after, is this area denoted as 181 and hope that will come to pass because States in the gulf coast came to- this shore, which is the stovepipe. This that will bode well for our Nation’s en- gether—the States of Louisiana, Mis- is what we have been seeking to pro- ergy needs and also for those who are sissippi, Alabama, Florida, and the tect, so we could protect our beaches trying to maintain jobs here that have State of the presiding officer, Texas, until we had assurances that as explo- been recently moving overseas. and he did an outstanding job as part ration took place in this area for what Another part of the bill—and the of the coalition as well—with an ar- is such a needed product, we also were Senator from Louisiana is on the floor; rangement that would have many mu- protecting the military line and Flor- she has been such a good person to tual beneficial parts. One, it is going to ida’s west coast. The east coast at this work with and is very understanding of provide oil and gas, and particularly point is not under the same kinds of Florida, but also has a very different natural gas. That is in such short sup- threat. perspective from her State. I know the ply. The Senator from Florida knows At the end of the day, there are going revenue-sharing parts of the bill are and all of our colleagues from Florida to be other attempts that we will have going to be a great opportunity for the understand that natural gas is a raw to fight and do what we can to protect Gulf States that do so much of the material that is used to literally Florida. At this moment, the crucial dirty work involving this—that put produce almost every product in Amer- protection was to the gulf coast. their shoreline on the line so the ica that you can think of, from rubber I am very thankful to Senator United States can be more energy self- tires, to the automobiles themselves, DOMENICI, chairman of the Energy sufficient—to do the things that are to the products of ethanol, to fer- Committee, who worked closely with necessary as a result of the demanding tilizers, chemicals—you name it, nat- me and has allowed me to play a role in nature of this work. Florida won’t be ural gas is used as a raw material. crafting this important legislation, at- doing that. Florida sought protection The prices are too high. They have to tempting to understand Florida’s con- rather than revenue, and that is what come down. The industry is doing a cerns, attempting to understand the we got. very good job of conserving, but we difficult choices we have to make in I feel good about the bill. I think this must open domestic supply, as well this issue. Also, I appreciate the mem- is the best Florida can do at this time. as—unfortunately, because the demand bers of the House of Representatives. The zone of protection we wanted to is so high—import liquefied natural They have passed a very different bill have, which was 125 miles, has been gas, now that the technology has pre- from this one. I believe the protections greatly exceeded in most dimensions, sented itself. But before we establish for Florida in this bill are superior. I and we can go forward until the year another network of dependency, let’s will take a moment to thank them for 2022 with a settled plate, understanding at least do our part and produce the their diligence and vigilance for our that there will be production coming natural gas we have here. So on this State and for trying to come up with out of the gulf, but it will not impact bill, the Gulf Coast States have come solutions and answers in a different en- our State. together to open up 8 million new vironment than I have worked in with acres, four times more than the origi- Senator NELSON in the Senate. f nal bill—in the compromise we pro- I want to make sure that, with great vided, four times more than the origi- respect, we hope this is the legislation nal bill to open natural gas for the that will ultimately emerge and be CONCLUSION OF MORNING country. passed by both Houses. I cannot sup- BUSINESS The other beneficial aspect of this port the House version. I have had The ACTING PRESIDENT pro tem- bill is establishing a strong and reli- clear assurances from our leaders that pore. Morning business is now closed. able, trustworthy partnership between

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00007 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16573 the Federal Government and the Gulf also have the benefit of directing these you. If you want to build recreational Coast States—the four producing revenues to a great purpose, which is opportunities for your community, we States, of which Texas is one—and to the restoration of these wetlands. will help you. The Federal Government say the infrastructure that we provide, Just a little more on that subject said that and then backtracked year basically allowing the Federal Govern- that might bring this home to those after year until today we are spending ment to access the land it owns—and who are listening. When Katrina and less than $40 million a year nationally. there is no question that this land off Rita hit—and we are just about a I would say that is a disgrace, $40 mil- the coast of the United States is owned month away from the anniversary, Au- lion nationally. The program is author- by everybody, not just the States along gust 29 for Katrina and about 7 weeks ized at $450 million. At $450 million, it the coast. But, frankly, as you know, away from the anniversary of Rita—we is still not enough, but at least it gives without our highways and helicopter lost an area the size of the District of a few million dollars to each State to pads, and our sheds, and our boat Columbia to open water, 100 square match private donations, to match launches, and our shipping facilities, miles. The District isn’t 100 square faith-based donations, to match lit- and fabrication facilities, the Federal miles today, as you know, Mr. Presi- erally the pennies children collect for Government could not even access the dent, because a portion was given back the planting of a tree in a park or the minerals. So, basically, by providing to Virginia, but about 70 square miles expansion of a bike path that means a the servitude and the services and the is the District of Columbia now. We lot to them. We can at least do our platform, if you will, to host this great lost in a matter of a few days that part in Congress, and this bill will do industry, we are saying let us share in amount of expanse. It went from marsh that. all future revenues—as you know, 37.5 to open water because of the cata- Then finally, 50 percent will go to the percent. That is the second most im- strophic loss of this great wetland. At Federal Treasury. So as those revenues portant thing in my mind that has that rate, all of our communities along come in, we can help reduce the deficit, been established. the gulf coast will eventually be help encourage drilling where people For Louisiana’s purposes, and accord- threatened. will accept it. Maybe they won’t accept ing to the way the bill is currently I laugh at my colleagues from Arkan- it everywhere. We have made a lot of structured for all of the Gulf Coast sas because the reason they are very mistakes in Louisiana, we admit it. We States, we will use that money to re- supportive of this bill is because they have learned from our mistakes. We store a great coastline, to secure and told me privately: Senator, we don’t have perfected the technology, and we buffer America’s only energy coast. We want to be a coastal State; we like Ar- believe we can minimize the environ- don’t have to roll the reels back or re- kansas the way it is. mental footprint and maximize the wind the tape of Katrina and Rita. We I know that is a little bit of an exag- benefit to the Federal Treasury. There know what megastorms can mean for geration, but, Mr. President, you have are many benefits. the gulf coast. We have all lived been down to east Texas, to Padre Is- I yield the time to those scheduled to through them. We have watched our land, to Galveston and coastal commu- speak as well. I have some time re- families struggle. We have watched our nities in Texas. You understand the served later in the day. I yield back the constituents struggle, having lost wetland losses that are occurring. Ours remainder of my time. homes, churches, and schools, having in Louisiana are exacerbated because The ACTING PRESIDENT pro tem- seen the great infrastructure, the huge we are the mouth of the Mississippi pore. The assistant Democratic leader. pipelines and facilities, drilling ships, River. We are truly a delta, not just a Mr. DURBIN. Mr. President, I ask and oil rigs and platforms bent by the coastal wetland, which you find all unanimous consent to speak as in great winds and waves. We know how over our coast from the east to the morning business. important it is to take a little bit of west. But the delta, the mouth of the The ACTING PRESIDENT pro tem- that money we are paying in taxes and river system, is strong, yet fragile, and pore. Without objection, it is so or- reinvest back into the gulf coast to these wetlands are leaving us in ex- dered. strengthen the infrastructure, not just traordinary numbers. This money, this Mr. DURBIN. Mr. President, first let for the people who live there in the big sharing of revenues we are going to get me acknowledge my colleague from the towns such as New Orleans and Creole, from this bill, will go a long way to State of Louisiana. No person has LA, and midsize towns such as Beau- build on the science and technology worked harder than Senator MARY mont and Galveston, and Gulfport, and that is there to restore these wetlands. LANDRIEU for a State devastated by Pass Christian, but for the whole Na- We know we can do it. Hurricane Katrina and the city of New tion, because the Nation needs the gulf Mr. President, 37.5 percent will go to Orleans, which is still in recovery. My coast to be strong and secure in these the gulf coast producing States for colleague, Senator OBAMA, visited storms. these purposes; 12.5 percent will estab- there 2 weeks ago and came back and So using this money to restore the lish a great stream of revenue for the told me personally of traveling for long great wetlands, which our scientists Land and Water Conservation Fund periods of time within the city of New know we can do—but, frankly, we have that benefits the whole Nation. Orleans and seeing very few homes that not had the money to do it. People say, I see the Democratic whip on the have not been devastated by Hurricane Senator, get a plan. I could almost fill floor. I will wrap up my remarks in Katrina and were still barely inhabit- up this Chamber with plans our people just a moment. I think I am scheduled able, some virtually uninhabitable. It have had—or I can say dreams our peo- later to speak. is hard to imagine in the United States ple have had. I am very grateful to particularly of America, almost a year after the We have dreamed all we can dream. Senator SALAZAR and others who devastation of Hurricane Katrina, that We have thought all we can think stepped up—Senator ALEXANDER—and great city is still reeling from all the about this. We need money to turn the said: Senator LANDRIEU, why don’t we damage done. dirt and restore the wetlands. The try, with Senator DOMENICI’s leader- I know Senator LANDRIEU feels as technology is there to do it. ship, to see if we can restore the real strongly as anyone—maybe more That is another great reason that we purpose of the Land and Water Con- strongly because of her personal expe- can have industry and the environ- servation Fund when it was created in rience—that the State of Louisiana mental community support this bill 1965. needs a helping hand. I want to do my shoulder to shoulder, because the uses I wish I could take credit for creating best to try to be on her side as she con- of the revenue sharing are going to be it. I didn’t, but I have been determined tinues this battle. I thank her for her of such benefits to our communities. since I got here to help fund it so we leadership on this issue. Besides the drilling and the addi- can live up to a promise we made to (The remarks of Mr. DURBIN per- tional revenues for the gulf coast and America’s Governors a long time ago: taining to the introduction of S. 3765 the additional gas for the Nation, we If you want to build parks, we will help are printed in today’s RECORD under

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00008 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16574 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 ‘‘Statements on Introduced Bills and offered since the debate on last year’s which we rely for such a high percent- Joint Resolutions.’’) Energy Policy Act. It would give age of our energy requirements. Mr. WARNER. Mr. President, when States the authority to extend the cur- The bill Chairman DOMENICI has the matter of the pending Gulf of Mex- rent moratorium prohibiting oil and brought to the floor will open up more ico Energy Bill was first brought to my gas development in most of the Na- than 8 million acres of oil and gas pro- attention, and every day thereafter, I tion’s offshore waters or petition for duction. The amendment I propose repeatedly spoke to the distinguished waivers on their own terms to con- would not directly open any areas or managers of this legislation about the tribute to the Nation’s energy supply. mandate any production. However, de- need for States other than those spe- The facts, as I understand them, are as pending on the will of the individual cifically cared for in this legislation— follows: States—and that is a combination of, namely, the Gulf States—the other U.S. demand for natural gas will depending on the State, the Governor, coastal States to be permitted to grow by 40 percent in this country in the legislature, and indeed the people amend this bill such that coastal the next decade to decade and a half. themselves—my proposal would pro- States could begin the long process of The demand for oil in the United vide the opportunity for up to 350 mil- asserting our rights as coastal States States will grow by 31 percent over the lion acres—mind you, 8 million acres to those energy resources that, in all same period of time. At current rates, under this bill pending—350 million probability, are on the Outer Conti- domestic production will only meet acres to be considered for development. nental Shelf. Therefore, I readied an one-third—I repeat—one-third of our That is the coastal area around the amendment that I send to the desk, demand growth, leaving us increas- United States. and I ask unanimous consent that it be ingly dependent on politically unstable Now, I fully recognize the concerns of printed in the RECORD following my regions. I shall not recount all of them the environmentalists, and many times statement. because they are growing by day. Re- I have tried to work on this, but we The PRESIDING OFFICER (Mr. grettably, it looks as if Venezuela, have to strike a balance. We must do BOND). Without objection, it is so or- from which we receive a good deal of that. We have an obligation to our citi- dered. our energy supplies, could be placed in zens. Modern technology has enabled (See exhibit 1.) the column of ‘‘politically unstable.’’ the drillers to put down pipes and other Mr. WARNER. My amendment rep- Indeed, many parts of Africa have be- devices to extract the oil and gas resents a unique opportunity for this come unstable, and we all know at this which, if subjected to a natural dis- Senate, and indeed the entire Nation as very moment the tragic situation that aster or other problem, seal up quickly a whole, to seek to determine if we is unfolding in the Middle East. and do not spew forth into the pristine cannot, as several coastal States, help We must also be aware of the vir- ocean and on to the shores the pollu- our Nation in this dire need for addi- tually exponential growth and demand tion we have witnessed in other cata- tional sources of natural gas, and pos- in the developing nations, all com- strophic situations usually involving sibly, in some instances, States might peting in the world market for this the transportation of oil from overseas. elect to include oil, to meet the ever- fungible good named ‘‘energy.’’ China’s The Minerals Management Service re- looming resource crisis. energy consumption has grown by over ports that since 1980, 4.7 billion barrels I remember when the Energy bill 100 percent in the past 20 years. It is of oil have been produced offshore with which is now law was passed by the expected to double again in the next 20 a spill rate of less than one-thousandth Senate. I stood at this very desk and I years. Mexico’s natural gas demand is of one percent. Technology has pro- had an amendment very similar to the expected to double by 2025. Energy con- gressed and it must be accepted that one which I am speaking about today. sumption in India is expected to more production of and protection of our When that amendment was pushed to than double in the next 20 years. natural resources are not mutually ex- one side, I said I would stand here We are too dependent indeed on over- clusive opportunities. again, and here I am again today. But seas supplies, so we turn to our conti- Based upon preliminary resource es- I understand—this is the 28th year I nental limits. Indeed, the question at timates, my amendment could provide have been in the Senate—there are par- hand is about the Gulf of Mexico. The more than $2 billion in new Federal liamentary means under the rules of bill authored by Chairman DOMENICI revenues and over $1 billion to States the Senate to preclude Senators from does increase our supplies, and I am and their citizens that are willing to offering amendments, and as such, I am very hopeful the Senate will act in accept whatever risks still remain, who being denied that opportunity. passing this important piece of legisla- authorize production in Federal waters The bill before us today represents a tion. I propose to support it. off their shores over the next 10 years. step in the right direction—and I com- I want to make clear that more must Many of my colleagues have ex- mend those who have worked on it—to be done outside the Gulf of Mexico. pressed concerns about the Gulf of open access to more natural gas and oil With 20 percent to 25 percent of our do- Mexico bill, and they stem from what in the Gulf of Mexico. However, I, like mestic oil and gas production located is in the House bill. They said they do many others in this body, believe that in the Gulf of Mexico, we simply have not want to lift the moratorium as the more must be done because there is to diversify our geographic supply. House bill would do. Well, I am not such a time lag between the potential The Gulf of Mexico is subject to nat- going to inject myself into the con- passage of my amendment and the ac- ural disasters. It is a tragic situation, ference. I will leave that to the able tual recovery of gas and oil from any of but history records it. As a result of leadership of others. However, I will these moratorium states. We have to last year’s hurricanes alone, we will say that my amendment would not lift begin, and I had hoped on this bill I lose 30 percent of our oil and 21 percent one square inch of the current Federal could mark that beginning. of our projected annual natural gas moratorium. Instead, it would estab- I worked with many of my colleagues from in the Gulf of Mexico. This is all lish a process by which the States can on a proposal to address this supply because of the extended closure of a petition the Secretary of Interior, sub- issue by giving opportunities to the in- significant number of platforms. In ject to their own specifications, for a dividual States to open up areas in the fact, a report issued last month by the waiver from the moratorium on nat- Outer Continental Shelf waters for the Department of Interior states that 12 ural gas or oil production in most of future potential exploration of gas and percent of U.S. oil production in the the Outer Continental Shelf. If a State oil; thus, the coastal States. The Gulf of Mexico remains shut in almost would rather continue the moratorium amendment I crafted would address the a year after last summer’s events. beyond 2012, the amendment estab- current moratorium on energy and ex- Hopefully, that production will eventu- lishes a process that would authorize ploration in most of America’s Outer ally return to normal levels, but it the extension of that moratorium for Continental Shelf and is the evolution shows a certain degree of fragility in up to 10 additional years. The principle of various amendments and bills I have that area of the United States upon of my amendment is simply to enable

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00009 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16575 the individual States to have more con- (A) the Secretary shall reduce the amount (b) PROHIBITION AGAINST LEASING.—Except trol over the waters off their coasts of qualified outer Continental Shelf revenue as otherwise provided in this section, prior than they do today and more control and covered revenue provided to each recipi- to June 30, 2012, the Secretary shall not offer than they would under the recently ent on a pro rata basis; and a lease for oil and gas, or natural gas, in a (B) any remainder of the qualified outer moratorium area. passed House bill. Continental Shelf revenues and covered reve- (c) OPTION TO PETITION FOR EXTENSION OF I support the effort to open up areas nues shall revert to the general fund of the WITHDRAWAL FROM LEASING.— of the Gulf of Mexico to enhanced en- Treasury. (1) OPTION TO PETITION.— ergy production. However, it is my sin- SEC. 6. OFFSHORE OIL AND GAS LEASING IN (A) IN GENERAL.—The Governor of a State cere hope that the Members of this AREAS OUTSIDE THE GULF OF MEX- may submit to the Secretary a petition re- body do not believe that this alone will ICO. questing that the Secretary extend for a pe- solve our oil and gas supply problem. (a) DEFINITIONS.—In this section: riod of time described in subparagraph (B) More must be done in conservation and (1) ADJACENT ZONE.—The term ‘‘Adjacent the withdrawal from leasing in a morato- more must be done in the area of Zone’’ means the Adjacent Zone of each rium area for all or part of any area within State, as defined by the lines extending sea- the Adjacent Zone of the State within 125 American production. ward and defining the adjacent Zone of each miles of the coastline of the State. The time has come for the Senate to State indicated on the maps for each outer (B) LENGTH OF EXTENSION.— act on the issue of American produc- Continental Shelf region entitled— (i) IN GENERAL.—The period of time re- tion of natural gas and oil. Energy Se- (A) ‘‘Alaska OCS Region State Adjacent quested in a petition submitted under sub- curity is National Security and for the Zone and OCS Planning Areas’’; paragraph (A) shall not exceed 5 years for people of America to be dependent (B) ‘‘Pacific OCS Region State Adjacent each petition. upon foreign sources of energy is dan- Zones and OCS Planning Areas’’; and (ii) LIMITATION.—The Secretary shall not gerous to our economy and our way of (C) ‘‘Atlantic OCS Region State Adjacent grant a petition submitted under subpara- life. Zones and OCS Planning Areas’’; graph (A) that extends the remaining period I have offered a balanced approach to all of which are dated September 2005 and on of a withdrawal of an area from leasing for a file in the Office of the Director, Minerals total of more than 10 years. address supply needs and environ- Management Service. (C) MULTIPLE PETITIONS.—A State may pe- mental concerns. This is the way for (2) COVERED REVENUES.— tition multiple times for a particular area, all States to have a say in the policy. (A) IN GENERAL.—The term ‘‘covered reve- but not more than once per calendar year for The current moratorium expires in 2012 nues’’ means all rentals, royalties, bonus any particular area. and without legislation like that which bids, and other sums due and payable to the (D) CONTENTS OF PETITION.—A petition sub- I propose, these States would have no United States from leases entered into on or mitted under subparagraph (A) may— guarantee of protection. after the date of enactment of this Act in a (i) apply to either oil and gas leasing or Mr. President, I see a number of our moratorium area. natural gas leasing, or both; and colleagues waiting here. But I will re- (B) EXCLUSIONS.—The term ‘‘covered reve- (ii) request some areas to be withdrawn nues’’ does not include— from all leasing and some areas only with- turn to this floor time and time again, (i) revenues from the forfeiture of a bond drawn from 1 type of leasing. as long as I can draw breath, to fight or other surety securing obligations other (2) ACTION BY SECRETARY.—Not later than for the rights of the individual coastal than royalties, civil penalties, or royalties 90 days after receipt of a petition submitted States to decide for themselves—not to taken by the Secretary in-kind and not sold; according to the guidelines described in be mandated by the Federal Govern- or paragraph (1), the Secretary shall approve ment but to decide for themselves (ii) revenues generated from leases subject the petition. whether they want to step up and help to section 8(g) of the Outer Continental Shelf (3) FAILURE TO ACT.—If the Secretary fails America reach its energy needs. Lands Act (43 U.S.C. 1337(g)). to approve a petition in accordance with (3) COVERED STATE.—The term ‘‘covered paragraph (2), the petition shall be consid- Now, I have talked to the managers State’’ means— ered to be approved 90 days after the date on of this bill—and at some point, maybe (A) a State for which— which the Secretary received the petition. I can have a colloquy put into the (i) the Governor of the State requests the (d) RESOURCE ESTIMATES.— RECORD today—but some assurances Secretary to allow natural gas or oil or nat- (1) REQUESTS.—At any time, the Governor are being given to Senators who, like ural gas leasing in a moratorium area; and of an affected State (acting on behalf of the myself, represent the coastal States to (ii) the Secretary allows the leasing; and State) may request the Secretary to provide see whether the legislation along the (B) effective for fiscal year 2017 and each a current estimate of proven and potential lines of the bill I have introduced fiscal year thereafter, a State— gas, or oil and gas, resources that may re- (i) off which oil and gas activities on the sult, and resulting State revenues, in any today, a copy of which is appended to outer Continental Shelf are conducted under moratorium area (or any part of the morato- this statement, can, once again, be a lease entered into on or after the date of rium area the Governor identifies) adjacent brought before this Chamber. enactment of this Act; to, or lying seaward of the coastline of, that EXHIBIT 1 (ii) that is offshore of any State that is not State. Beginning on page 17, strike line 19 and all a Gulf producing State; and (2) RESPONSE OF SECRETARY.—Not later that follows through page 18, line 17 and in- (iii) that does not have an area described in than 45 days after the date on which the Gov- sert the following: section 2(6)(B)(i) off the coast of the State, as ernor of a State requests an estimate under (f) LIMITATIONS ON AMOUNT OF DISTRIBUTED determined on the basis of the administra- paragraph (1), the Secretary shall provide— QUALIFIED OUTER CONTINENTAL SHELF REVE- tive lines established by the Secretary under (A) a current estimate of proven and poten- NUES AND COVERED REVENUES.— the notice published on January 3, 2006 (71 tial gas, or oil and gas, resources in any mor- (1) IN GENERAL.—Subject to paragraph (2), Fed. Reg. 127). atorium areas off the shore of a State; the total amount of qualified outer Conti- (4) LEASE.—The term ‘‘lease’’ includes a (B) an estimate of potential revenues that nental Shelf revenues and covered revenues natural gas lease under section 8(q) of the could be shared under this Act if resources made available under subsection (a)(2) and Outer Continental Shelf Lands Act (43 U.S.C. were developed and produced; and section 6(j)(1)(B) shall not exceed $500,000,000 1337(q)). (C) an explanation of the planning proc- for each of fiscal years 2016 through 2055. (5) MORATORIUM AREA.—The term ‘‘morato- esses that could lead to the leasing, explo- (2) EXPENDITURES.—For the purpose of rium area’’ means— ration, development, and production of the paragraph (1), for each of fiscal years 2016 (A) any area withdrawn from disposition gas, or oil and gas, resources within the area through 2055, expenditures under subsection by leasing in the Atlantic OCS Region or the identified. (a)(2) and section 6(j)(1)(B) shall be net of re- Pacific OCS Region Planning Area under the (e) AVAILABILITY OF CERTAIN AREAS FOR ceipts from that fiscal year from any area in ‘‘Memorandum on Withdrawal of Certain LEASING.— the 181 Area in the Eastern Planning Area, Areas of the United States Outer Conti- (1) PETITION.— the 181 South Area, or any area off the coast- nental Shelf from Leasing Disposition’’, (A) IN GENERAL.—On consideration of the line of a covered State. from 34 Weekly Comp. Pres. Doc. 1111, dated information received from the Secretary, the (3) PRO RATA REDUCTIONS.—If paragraph (1) June 12, 1998; and Governor (acting on behalf of the State of limits the amount of qualified outer Conti- (B) any area of the outer Continental Shelf the Governor) may submit to the Secretary nental Shelf revenue or covered revenues (other than an area in the Gulf of Mexico) as a petition requesting that the Secretary that would be paid under subparagraphs (A) to which Congress has denied the use of ap- make available for leasing any portion of a and (B) of subsection (a)(2) or clauses (i) and propriated funds or other means for moratorium area in the Adjacent Zone of the (ii) of section 6(j)(1)(B)— preleasing, leasing, or related activities. State.

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(B) CONTENTS.—In a petition under sub- in 20 miles of the nearest point on the coast- (ii) compliance with the National Environ- paragraph (A), a Governor may request that line of the State. mental Policy Act of 1969 (42 U.S.C. 4321 et an area described in subparagraph (A) be (2) OBJECTION.—Not later than 30 days after seq.). made available for leasing under subsection receiving the notice, the Governor of the (3) EFFECT OF OTHER LAWS.—Any Federal (b) or (q), or both, of section 8 of the Outer State may object to the issuance of the lease law (including regulations) that applies to an Continental Shelf Lands Act (43 U.S.C. 1337). on grounds that the lease presents a signifi- oil and gas lease on the outer Continental (2) ACTION BY SECRETARY.—Not later than cant risk to environmental and economic re- Shelf shall apply to a natural gas lease 90 days after the date of receipt of a petition sources of the State. issued under this subsection. under paragraph (1), the Secretary shall ap- (3) SECRETARY REVIEW.—If the Secretary, (h) EXCHANGE OF LEASES FOR AREAS LO- prove the petition unless the Secretary de- after review of the objection and consulta- CATED WITHIN 100 MILES OFF STATES IMPOS- termines that leasing in the affected area tion with the adjacent State, concurs that ING A MORATORIUM.— presents a significant likelihood of incidents the lease presents a significant risk de- (1) IN GENERAL.—Effective beginning on the associated with the development of resources scribed in paragraph (2), and that the risk date that is 180 days after the date of enact- that would cause serious harm or damage to cannot be reasonably mitigated, the Sec- ment of this Act, the lessee of an oil and gas the marine resources of the area or of an ad- retary shall not approve an exploration plan lease in existence on the date of enactment jacent State. for the lease. of this Act for an area located completely (3) FAILURE TO ACT.—If the Secretary fails (4) NONAPPLICABILITY.—This subsection within 100 miles of the coastline and within to approve or deny a petition in accordance does not apply to a State covered by sub- the Adjacent Zones of States that have ex- with paragraph (2), the petition shall be con- section (h). tended a moratorium under subsection (c) sidered to be approved as of the date that is shall have the option, without compensation, 90 days after the date of receipt of the peti- (g) NATURAL GAS LEASES.— of exchanging the lease for a new oil and gas tion. (1) IN GENERAL.—Beginning with the 5-year lease having a primary term of 5 years. (4) TREATMENT.—Notwithstanding any outer Continental Shelf oil and gas leasing (2) TRACTS.—For the area subject to the other provision of law, not later than 180 program for 2007 through 2012, the Secretary new lease, the lessee may select any un- days after the date on which a petition is ap- may issue a lease under this section that au- leased tract— proved, or considered to be approved, under thorizes development and production of gas (A) at least part of which is located within paragraph (2) or (3), the Secretary shall— and associated condensate and other hydro- the area between 100 and 125 miles from the (A) treat the petition of the Governor carbon liquids in a moratorium area in ac- coastline; and under paragraph (1) as a proposed revision to cordance with regulations issued under para- (B) that is located— a leasing program under section 18 of the graph (2). (i) completely beyond 125 miles from the Outer Continental Shelf Lands Act (43 U.S.C. (2) REGULATIONS.—Not later than October coastline; and 1344); and 1, 2006, the Secretary shall issue regulations (ii) within the same Adjacent Zone of the (B) except as provided in paragraph (5), ex- that, for purposes of this subsection— adjacent State as the lease being exchanged. pedite the revision of the 5-year outer Conti- (A) define the term ‘‘natural gas’’ in a (3) ADMINISTRATIVE PROCESS.— nental Shelf oil and gas leasing program in manner that includes— (A) IN GENERAL.—The Secretary shall es- effect as of that date to include any lease (i) hydrocarbons and other substances in a tablish a reasonable administrative process sale for any area covered by the petition. gaseous state at atmospheric pressure and a through which a lessee may exercise the op- (5) INCLUSION IN SUBSEQUENT PLANS.— temperature of 60 degrees Fahrenheit; tion of the lessee to exchange an oil and gas (A) IN GENERAL.—If there are less than 18 (ii) liquids that condense (gas liquids) from lease for a new oil and gas lease in accord- months remaining in the 5-year outer Conti- natural gas in the process of treatment, de- ance with this subsection. nental Shelf oil and gas leasing program de- hydration, decompression, or compression (B) RELATIONSHIP TO OTHER LAWS.—An ex- scribed in paragraph (4)(B), the Secretary, prior to the point for measuring volume and change of leases conducted in accordance without consultation with any State, shall quality of the production established by the with this subsection (including the issuance include the areas covered by the petition in Secretary, acting through the Minerals Man- of a new lease)— lease sales under the subsequent 5-year outer agement Service; (i) shall not be considered to be a major Continental Shelf oil and gas leasing pro- (iii) other associated hydrocarbon liquids if Federal action for purposes of the National gram. the predominant component is natural gas Environmental Policy Act of 1969 (42 U.S.C. (B) ENVIRONMENTAL ASSESSMENT.—Before and gas liquids; and 4321 et seq.); and modifying a 5-year outer Continental Shelf (iv) natural gas liquefied for transpor- (ii) shall be considered in compliance with oil and gas leasing program under subpara- tation; the Outer Continental Shelf Lands Act (43 graph (A), the Secretary shall complete an (B) provide that natural gas leases shall U.S.C. 1331 et seq.). environmental assessment that describes contain the same rights and obligations as (C) WITHDRAWAL.—The Secretary shall any anticipated environmental effect of leas- oil and gas leases; issue a new lease in exchange for the lease ing in the area covered by the petition. (C) provide that, in reviewing the adequacy being exchanged notwithstanding that the (6) SPENDING LIMITATIONS.—Any Federal of bids for natural gas leases, the Secretary, area that will be subject to the lease may be spending limitation with respect to acting through the Minerals Management withdrawn from leasing under the Outer preleasing, leasing, or a related activity in Service, shall exclude the value of any crude Continental Shelf Lands Act (43 U.S.C. 1331 an area made available for leasing under this oil estimated to be discovered within the et seq.) or otherwise unavailable for leasing subsection shall terminate as of the date on boundaries of the leasing area; under any other law. which the petition of the Governor relating (D) provide for cancellation of a natural (4) PRIORITY.— to the area is approved, or considered to be gas lease, with payment of the fair value of (A) BONUS BID.—The Secretary shall give approved, under paragraph (2) or (3). the lease rights canceled, if the Secretary priority in the lease exchange process under (7) APPLICATION.—This subsection shall not determines that hydrocarbons other than this subsection based on the amount of the apply to— natural gas and natural gas liquids will be original bonus bid paid for the issuance of (A) any area designated as a national ma- the predominant production from the lease; each lease to be exchanged. rine sanctuary or a national wildlife refuge; and (B) EXCHANGE OF PARTIAL TRACTS FOR FULL (B) any area not included in the outer Con- (E) provide that, at the request and with TRACTS.—The Secretary shall allow leases tinental Shelf; or the consent of the Governor of the State ad- covering partial tracts to be exchanged for (C) the Great Lakes (as defined in section jacent to the lease area, and with the con- leases covering full tracts under this sub- 118(a)(3) of the Federal Water Pollution Con- sent of the lessee, an existing natural gas section conditioned on payment of addi- trol Act (33 U.S.C. 1268(a)(3)). lease may be converted, without an increase tional bonus bids on a per-acre basis, as de- (8) GREAT LAKES.—The Great Lakes (as de- in the rental royalty rate and without fur- termined based on the average per acre of fined in section 118(a)(3) of the Federal Water ther payment in the nature of a lease bonus, the original bonus bid per acre for the par- Pollution Control Act (33 U.S.C. 1268(a)(3)))— to a lease under section 8(b) of the Outer tial tract being exchanged. (A) shall not be considered part of the Continental Shelf Lands Act (43 U.S.C. (5) CANCELLATION OF LEASE.—As part of the outer Continental Shelf under the Outer 1337(b)), in accordance with a process, to be lease exchange process under this subsection, Continental Shelf Lands Act (43 U.S.C. 1331 established by the Secretary, that requires— the Secretary shall cancel a lease that is ex- et seq.); and (i) consultation by the Secretary with the changed under this subsection. (B) shall not be subject to production. Governor of the State and the lessee with re- (6) CONDITIONS FOR LEASE EXCHANGE.—For a (f) NEIGHBORING STATE CONCURRENCE.— spect to the operating conditions of the lease to be cancelled and exchanged under (1) NOTICE.—The Secretary shall provide lease, taking into consideration environ- this subsection— notice to a neighboring State of any pro- mental resource conservation and recovery, (A) each lessee holding an interest in the posed lease of oil or natural gas in a morato- economic factors, and other factors, as the lease must consent to cancellation of the rium area if the lease would be located with- Secretary determines to be relevant; and leasehold interest of the lessee;

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00011 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16577 (B) each lessee must waive any rights to (i) Projects and activities for the purposes islative session encouraging offshore bring any litigation against the United of coastal protection, including conserva- development. I think progress has been States related to the transaction; and tion, coastal restoration, hurricane protec- made in our legislature as evidenced by (C) the plugging and abandonment require- tion, and infrastructure directly affected by the overwhelming votes of more than ments for any well located on any lease to be coastal wetland losses. cancelled and exchanged under this sub- (ii) Mitigation of damage to fish, wildlife, 75 percent of the State Senate and section must be complied with by the lessees or natural resources. House of Delegates on this year’s bill, prior to the cancellation and exchange. (iii) Implementation of a federally-ap- and clearly the legislature is speaking (i) OPERATING RESTRICTIONS.—A new lease proved marine, coastal, or comprehensive for the people of Virginia, and they are issued under this section shall be subject to conservation management plan. ready to take on this challenge and to such national defense operating restrictions (iv) Mitigation of the impact of outer Con- accept the consequences, whatever on the outer Continental Shelf tract covered tinental Shelf activities through the funding they may be. But I repeat: I think by the new lease as apply on the date of of onshore infrastructure projects. technology has gotten to the point issuance of the new lease. (v) Planning assistance and the adminis- (j) DISPOSITION OF COVERED REVENUES trative costs of complying with this section. where that risk is minimal, in my judg- FROM MORATORIUM AREAS.— (B) LIMITATION.—Not more than 3 percent ment. How it would affect adjoining (1) IN GENERAL.—Notwithstanding section 9 of amounts received by a covered State or States, that is subject to debate. If of the Outer Continental Shelf Lands Act (43 coastal political subdivision under paragraph there were a mishap off the shore of U.S.C. 1338) and subject to the other provi- (1)(B) may be used for the purposes described Virginia and depending on the winds, sions of this subsection, for each applicable in subparagraph (A)(v). the drift, the seas, and other things, if fiscal year, the Secretary of the Treasury (5) ADMINISTRATION.—Amounts made avail- there were an accident which did emit shall deposit— able under paragraph (1)(B) shall— some pollution, I am not sure anyone (A) 50 percent of covered revenues in the (A) be made available, without further ap- general fund of the Treasury; and propriation, in accordance with this sub- could write that into law as to what (B) 50 percent of covered revenues in a spe- section; happens. It is important to note that cial account in the Treasury from which the (B) remain available until expended; and my amendment includes provisions re- Secretary shall disburse— (C) be in addition to any amounts appro- quiring the concurrence of neighboring (i) 75 percent to covered States in accord- priated under— states that would be within twenty ance with paragraph (2); and (i) the Outer Continental Shelf Lands Act miles of any production and, as I have (ii) 25 percent to provide financial assist- (43 U.S.C. 1331 et seq.); said before, modern technology has ance to States in accordance with section 6 (ii) the Land and Water Conservation Fund made these risks very minimal. of the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l–4 et seq.); or But it is an important aspect worth Act of 1965 (16 U.S.C. 460l-8), which shall be (iii) any other provision of law. considered income to the Land and Water (k) REPEAL OF REQUIREMENT TO CONDUCT consideration—any legislation of the Conservation Fund for purposes of section 2 COMPREHENSIVE INVENTORY OF OCS OIL AND type I have offered. But it would seem of that Act (16 U.S.C. 460l-5). NATURAL GAS RESOURCES.—Section 357 of the to me collectively the coastal States (2) ALLOCATION AMONG COVERED STATES AND Energy Policy Act of 2005 (42 U.S.C. 15912) is should look to this as a possible in- COASTAL POLITICAL SUBDIVISIONS.— repealed. crease in their energy and financial re- (A) ALLOCATION AMONG COVERED STATES FOR I yield the floor. sources. As a matter of fact, my bill al- FISCAL YEAR 2007 AND THEREAFTER.— Ms. LANDRIEU. Mr. President, will lows the citizens of any coastal State (i) IN GENERAL.—Subject to clause (ii), ef- the Senator yield for a question? authorizing such production to retain a fective for fiscal year 2007 and each fiscal year thereafter, the amount made available Mr. WARNER. I am happy to do so. significant part of the proceeds from under paragraph (1)(B)(i) shall be allocated Ms. LANDRIEU. I thank the Senator. such drilling. I thank you for asking to each covered State in amounts (based on I know our colleague from Massachu- the question. a formula established by the Secretary by setts is here to speak on another sub- Ms. LANDRIEU. I thank the Senator regulation) that are inversely proportional ject, but I would just ask a question of for his comments. to the respective distances between the point the distinguished Senator from Vir- I yield the floor. on the coastline of each covered State that is ginia. The PRESIDING OFFICER. Who closest to the geographic center of the appli- First of all, I would like to thank seeks time? cable leased tract and the geographic center him for the bill he has introduced. I Mr. WARNER. Mr. President, I sug- of the leased tract. know in the form of an amendment it gest the absence of a quorum. (ii) MINIMUM ALLOCATION.—The amount al- The PRESIDING OFFICER. The located to a covered State each fiscal year won’t be appropriate in this debate, but under clause (i) shall be at least 10 percent of I thank him for that. clerk will call the roll. the amounts available under paragraph Would the Senator just explain brief- The legislative clerk proceeded to (1)(B)(i). ly for maybe a minute or so the feel- call the roll. (B) PAYMENTS TO COASTAL POLITICAL SUB- ings of people in Virginia—your legis- Mr. KENNEDY. Mr. President, I ask DIVISIONS.— lature has done a lot of good work— unanimous consent the order for the (i) IN GENERAL.—The Secretary shall pay 20 about the possibilities of opening addi- quorum call be rescinded. percent of the allocable share of each cov- tional drilling, perhaps at a later date, The PRESIDING OFFICER. Without ered State, as determined under subpara- objection, it is so ordered. Who yields graph (A), to the coastal political subdivi- and how that might affect the neigh- bors of Maryland, Delaware even, and time? sions of the covered State. Mr. KENNEDY. I ask the Chair, how perhaps even the Carolinas? Could the (ii) ALLOCATION.—The amount paid by the much time remains? Secretary to coastal political subdivisions Senator just comment for a minute The PRESIDING OFFICER. There is shall be allocated to each coastal political about how those negotiations are po- 51 minutes remaining on the minority subdivision in accordance with subpara- tentially moving forward, if not for graphs (B), (C), (D), and (E) of section 31(b)(4) side. this bill, then maybe at a later time? Mr. KENNEDY. I would like to yield of the Outer Continental Shelf Lands Act (43 Mr. WARNER. Mr. President, I thank U.S.C. 1356a(b)(4)). myself 15 minutes. (3) TIMING.—The amounts required to be my distinguished colleague from Lou- The PRESIDING OFFICER. The Sen- deposited under paragraph (1)(B) for the ap- isiana. Indeed, in two consecutive ses- ator from Massachusetts is recognized. plicable fiscal year shall be made available sions of the General Assembly of Vir- (The remarks of Mr. KENNEDY are in accordance with that paragraph during ginia, this subject has been on the printed in today’s RECORD under the fiscal year immediately following the ap- agenda and bills have been passed by ‘‘Morning Business.’’) plicable fiscal year. the House of Delegates and State Sen- The PRESIDING OFFICER. Who (4) AUTHORIZED USES.— ate to send bills to the Governor. For yields time? (A) IN GENERAL.—Subject to subparagraph whatever reason, Governor Warner—I (B), each covered State and coastal political Ms. SNOWE. Mr. President, I yield subdivision shall use all amounts received am not here to criticize, but he saw fit myself 15 minutes under the previous under paragraph (2) in accordance with all not to let the bill become legislation, time agreement. applicable Federal and State laws, only for 1 and Governor Kaine likewise dis- The PRESIDING OFFICER. The Sen- or more of the following purposes: approved of the language this past leg- ator from Maine is recognized.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00012 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16578 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 Mr. DORGAN. Mr. President, if my As a nation, we are growing older, tensive care unit with a dangerous colleague will yield for a unanimous and as we do we use more prescription heart arrhythmia simply because they consent request, my colleague from drugs. At the same time, relentless could not afford to refill a prescription. Maine and I wish to speak in 15-minute price increases have made access to But Americans recognize the value of increments, taking the time from each lifesaving drugs more and more prescription drugs, and they have side in the debate. I ask unanimous unaffordable for Americans. The prob- turned to affordable sources of these consent to follow my colleague from lem of affordability is shared by every- medications so they can preserve and Maine. one. If you have prescription drug cov- protect their health. Many of my The PRESIDING OFFICER. Without erage, rapid price increases drive up Maine constituents have used Canadian objection, it is so ordered. your premiums. If you are one of the pharmacies and found both savings and The Senator from Maine. millions without drug coverage, the safety. But dangers do exist. There are Ms. SNOWE. Thank you, Mr. Presi- situation is far worse. You bear the full certainly those who would exploit con- dent. I thank my colleague, Senator cost of the world’s highest prices for sumers with dangerous or counterfeit DORGAN. medications. medications. It is imperative that we I rise today, along with my col- Today, even with the new Medicare work proactively to ensure that the league, Senator DORGAN, to address the prescription drug benefit in place, over importation of prescription drugs is amendment before the Senate based on 46 million Americans are saddled with safe. legislation that Senator DORGAN and I the burden of exorbitantly priced medi- That is why Senator DORGAN and I, introduced regarding drug importation. cations. A drug can be safe and effec- along with our colleagues, have com- First and foremost, I thank my col- tive, but what good is it if you can’t af- prehensively addressed the various con- league, Senator DORGAN, for his relent- ford to take it? That is why we simply cerns that have been raised over the less and dedicated leadership on this cannot afford to postpone action any months and years about drug importa- very important question which we tion—so that we can get something hopefully can address once and for all longer on this legislation. We have done. But certifying safety isn’t the here in the Senate and in the overall acted before repeatedly in the Senate Congress because it certainly is an and in the overall Congress. It has been answer; any measure should actually issue that deserves consideration. But law since 2000, when Congress last make it safe. And there are two key more importantly, it deserves to be- acted to allow importation. issues we must address as we consider We have also required certification come law because it is so important to importation legislation. First and fore- by the Department of Health and the interests of the American people. most, is it safe? Second, will the legis- We have been joined on this legisla- Human Services, that the HHS Sec- lation be effective in delivering real tion by a broad coalition of 30 of our retary must certify the safety of im- savings for consumers? Our legislation colleagues and many of the leaders of portation. Unfortunately, that has which is incorporated in the amend- the importation effort, along with Sen- been the caveat and a disguise for ment before us today does both. ators GRASSLEY, KENNEDY, MCCAIN, and blocking the importation measure. It Our constituents have taken action STABENOW unified with us in advancing has denied access to importation. The to purchase the drugs they could af- this bipartisan legislation. Our voice Department of Health and Human ford—mostly in Canada—and have dem- has echoed those 7 out of 10 Americans Services has not taken steps to ensure onstrated that importation can be safe. who have called for the lifting of the that we can allow Americans to import In Europe, with over 30 years of par- ban on prescription drug importation. drugs safely from other countries—and allel trading of pharmaceuticals, no We have worked together to see that in particular Canada. While the FDA death or injury has ever been docu- this legislation is considered in the was unable to point to any single indi- mented. They know it is safe. Senate, and we have had 10 related vidual harmed by Canadian drugs, they Dr. Rost, as I said, who was a Pfizer hearings on this very matter in the have actually denied importation from executive up until several months ago, Senate since 2004. Canada. In Europe, in over 30 years of stated from his own firsthand experi- When we recently considered the parallel trading of pharmaceuticals, no ence in Europe—and I quote: Homeland Security appropriations bill, death or injury has ever been docu- I think it is outright derogatory to claim over two-thirds of the Senate re- mented because they know it is safe. that Americans would not be able to handle sponded to the increase in seizures of While our constituents have found reimportation of drugs when the rest of the medications from Canadian pharmacies importation offers them access to life- educated world can do this. earlier this year by voting to stop im- saving drugs, we have repeatedly heard And I agree. Under our legislation, peding safe access to affordable medi- from FDA how the practice threatens Americans will receive imported drugs cations. health. Opponents claim importation from 30 countries. In most cases, Amer- Today, we must do more to respond will cause harm, but they fail to note icans will purchase imported prescrip- to this issue. We must pass the legisla- that the greatest prescription drug tion drugs from their local pharmacy. tion we have introduced which will en- threat to the safety of Americans— The pharmacist will receive those sure Americans have a safe and effec- that is, the inability to take drugs that drugs from a U.S. wholesaler which im- tive system to provide access to afford- are prescribed—exacts a toll of thou- ports them. These wholesalers will be able medications. Our constituents are sands of American lives every year. As registered, inspected, and monitored by suffering as the cost of health care is Dr. Peter Rost—a former Pfizer execu- the FDA. This higher level of safety is rising rapidly in America, and prescrip- tive up until a few months ago—who also a first step in establishing a high- tion drug costs have led to that in- joined Senator DORGAN and I and oth- er standard for the handling of all crease. ers in a press conference, observed, medications in the United States. In response to a request of Senator ‘‘Holding up a vote on reimportation, Our legislation also allows individ- WYDEN and myself to track the price of stopping good reimportation bills has a uals to directly order medications from medications most used by seniors, the high cost, not just in money but in outside the United States when using GAO has repeatedly reported that the American lives.’’ He is a former execu- an FDA registered and approved Cana- cost of these medications has increased tive of Pfizer who actually had the dian pharmacy. Again, just as with at two to three times the rate of infla- courage to make that statement. wholesalers handling prescription tion as indicated by this chart. In fact, Today, thanks to the intensive re- drugs, the FDA will examine, register, AARP reported recently that the fact porting of health professionals, we are and inspect these facilities on a fre- is this the highest third-quarter in- seeing more evidence of the cost of quent basis. The FDA will assure the crease in the cost of brand drugs since unaffordable medications. In my own highest standards for such essential they began these studies. We can see State of Maine, one of our physicians functions as recording medical history, here two to three times the rate of in- reported hospitalizing two patients in a verifying prescriptions, and tracking flation in the cost of medications. single month—one of them in the in- shipments. But regardless of whether

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00013 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16579 one purchases imported drugs from the we import drugs, citing Latvia, Esto- I will not go over all of the issues local pharmacist or uses a Canadian nia, and Slovakia, members of the Eu- that have been raised by my colleague, pharmacy, we assure that a legitimate ropean Union. Another member is Ire- Senator SNOWE, because she has done prescription and a qualified pharmacist land, where Lipitor is made. an excellent job of laying out the issue. will be vital ingredients in ensuring I call your attention to this chart on The issue, very simply, is this: The safety. which the European Union and other pharmaceutical industry prices FDA- Toward that end, we have also countries from which we would import approved prescription drugs in this worked with Senator FEINSTEIN to in- is in blue. These countries meet or ex- country with the highest prices in the corporate provisions of the Ryan ceed our standards. In contrast, we world. The American consumer is re- Haight Act to assure that as we provide have in red many additional countries quired to pay the highest prices for safety in an importation system we do in which the FDA inspects pharma- prescription drugs in the world. That is not ignore the need to assure safety ceutical manufacturing plants. These unfair. and integrity in domestic internet include China, India, Bulgaria, Jordan, This chart shows United States pharmacies. These provisions will as- and others with lower standards. versus Canada. But the chart could sure that properly licensed pharmacies For those who say importation isn’t show the United States versus Italy, and pharmacists are behind Web sites safe, we show that it will be, and this the United States versus Germany, the offering prescription drugs and that we legislation sets a model of improving United States versus Spain, and it no longer see prescriptions issued based safety in the handling of all prescrip- would show the same result. on a submitted form or a telephone tion drugs. The safety has been at- I ask unanimous consent to show in conversation. There must be integrity tested to by none other than the the Senate two bottles of Lipitor. and a proper professional relationship former FDA Commissioner, Dr. David The PRESIDING OFFICER (Mr. MAR- between medical professionals and pa- Kessler. He said our legislation ‘‘ . . . TINEZ). Without objection, it is so or- tients. provides a sound framework for assur- dered. For those who say the consumers ing that imported drugs are safe and ef- Mr. DORGAN. The two bottles of could unwittingly purchase an unap- fective. Most notably, it provides addi- Lipitor are identical bottles: same proved or suspect drug, our legislation tional resources to the agency to run company, same pill, made in the same assures that the drug received will al- such a program, oversight by FDA of manufacturing plant, sent to different ways be FDA approved. If any dif- the chain of custody of imported drugs places. One is sent to the United States ference exists in a foreign drug, even back to FDA-inspected plants, a mech- to be purchased by a United States the most minute, our legislation anism to review imported drugs to en- consumer, and the other is sent to Can- assures FDA will evaluate the product sure that they met FDA’s approval ada to be purchased by a Canadian con- and determine its acceptability. standards, and the registration and sumer. What is the difference? This is We provide a process to assure im- oversight of importers and exporters to 40 percent less expensive than this one. ported drugs are the same FDA-ap- assure that imported drugs meet those The American consumer is charged proved product, and if a minor dif- standards and are not counterfeit. more than the Canadian consumer. ference exists, such as a coloring or in- Some say the consumers will not see Why is the American consumer not active ingredient is different, and has significant savings, but drugs imported able to get that 40 percent discount or no effect on the efficacy of the drug, under this program will be labeled as pay a price that is 40 percent less? The our legislation assures that it will be imports, and consumers will be able to answer is, the pharmaceutical industry tested and labeled so that differences compare the side-by-side savings. With stops the reimportation of prescription are known. So there will not be moti- increasing consumer awareness of for- drugs except for the small use by those vation for a manufacturer to game the eign prices and competition between who can go back and forth physically system by making a minor change in importing wholesalers, we are con- across the border. They do that be- order to make a product unapproved fident of consumer savings. cause that enforces their pricing mech- and thus unimportable. Let me say in conclusion, I hope the anism which requires the highest For those who say that counter- Senate will give due consideration to prices be paid by the American con- feiting is a threat, our legislation re- this legislation. In the final analysis, it sumer. quires the use of anticounterfeiting incorporates every issue regarding Prevacid, 50 percent savings in Can- technologies to protect drugs. The fact safety concerns, every measure, every ada versus the United States—same is, we can employ technologies like the standard that could be put in place to pill, same bottle, made by the same one now used on the new $20 bill. We ensure we can have safe drug importa- company, shipped to two different can do the same with prescription tion and accomplish the ultimate goal, places, and one is a dramatically lower drugs. Moreover, this bill supports the ensuring affordable medications to the price. Zocor, 46 percent difference; development of future anticounter- American people. They deserve it. feiting and track-and-trace tech- Mr. DORGAN. I yield myself 15 min- Celebrex, a 55-percent difference—and nologies which we hope will be used to utes from the time on our side. the list goes on. The American con- protect all prescription drugs. The PRESIDING OFFICER. The Sen- sumer is charged the highest prices in For those who say consumers won’t ator from North Dakota is recognized. the world for these prescription drugs. know who has handled an imported Mr. DORGAN. I thank my colleague I, personally, think it is unfair. The prescription drug, our bill requires that from Maine, Senator SNOWE, who has way to deal with that is to allow the a chain of custody—a ‘‘pedigree’’—be spoken at some length about the piece American consumer access, as others maintained and inspected to help en- of legislation we have offered dealing have access, to an international trad- sure the integrity of the imported pre- with prescription drugs and the price of ing system; to say if you can purchase scription drugs. A pedigree for medica- prescription drugs in this country. an FDA-approved drug from Canada, tions was mandated by law, believe it Thirty-two Senators have cospon- you are welcome to import it into this or not, back in 1988—that is correct, in sored a piece of legislation. It is a bi- country. The pharmaceutical industry 1988—and we still await its implemen- partisan group, including Senator says there are safety issues with that. tation by the FDA. Almost 20 years SNOWE, myself, Senator KENNEDY, Sen- There are no safety issues with that, later, the FDA has yet to implement ator MCCAIN, Senator GRASSLEY and not if it is an FDA-approved drug pro- that requirement to establish a pedi- Senator STABENOW. A wide range of duced in FDA-approved plants. gree for medications to ensure that we Senators have cosponsored a piece of The Europeans have been doing have a chain of custody so we under- carefully crafted legislation that al- something called parallel trading for a stand how they have been handled from lows the American people to import couple of decades. If you are in Ger- the initial process of manufacturing. FDA-approved prescription drugs that many and want to buy a prescription Some even attempt to alarm Ameri- are, in almost all cases, sold for a much drug from Spain, no problem. You can cans about the countries from which lower price in other countries. do that. If you are in Italy and want to

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00014 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16580 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 buy a prescription drug from France, We passed a prescription drug benefit majority leader will work with us. We no problem. Under a system called par- in Medicare recently, and it has now have limited time. Representations allel trading, they are able to import been implemented. That had a provi- have been made to a number of Mem- and reimport prescription drugs to find sion in it that prevents the negotiation bers, including Senator VITTER, myself, the best price. Only in the United for lower prices—just as the VA and and others, that we would have an op- States are we prevented from doing others have done. This actually pre- portunity in this Congress to deal with that. vents Medicare from negotiating lower this issue. We put together a piece of legisla- prices. I cannot think of anything that The U.S. House of Representatives tion. We worked very hard on the legis- makes less sense than a prohibition of has done so; the Senate has not. My lation. Thirty-two Senators, Repub- the Federal Government from negoti- hope is the Senate would allow consid- licans and Democrats, have worked to ating lower prices. But that is what has eration of a very carefully developed accomplish this legislation. happened. bipartisan piece of legislation that On March 11, 2004, over 2 years ago Since the prescription drug benefit in nearly one-third of the Senate has em- now, at midnight in the Senate, I lifted Medicare has taken effect, in the first braced as cosponsors. a hold I had on a nominee in exchange quarter of 2006, we see while the infla- With that, I ask unanimous consent for what I thought was a commitment tion increased at 1.1 percent, we can the pending amendment be set aside, by the majority leader to bring drug see the increase in the price of pre- that the Senate immediately consider importation legislation to the Senate. I scription drugs on this chart. I have de- the Dorgan-Snowe amendment number thought it was a commitment. He says veloped several of them—Ambien, 4742 to make drug importation legal he didn’t think it was a commitment. I Proscar, Atrovent inhaler, Lexapro— and safe. am not going to try to question his in- and the price on average has run triple Mr. ALLEN. On behalf of the leader, tegrity but, nonetheless, we still wait 2 the rate of inflation in the first quar- I object. The PRESIDING OFFICER. The ob- years later and are not able to have a ter. This is like hooking a hose to the vote on this legislation. jection is heard. tank and sucking it dry. Ms. SNOWE. Will the Senator yield? In July of 2005, my colleague, Sen- It will break the bank from two Mr. DORGAN. I am happy to yield. ator VITTER from Louisiana, said he re- standpoints: One, the cost of this pro- Ms. SNOWE. Mr. President, I appre- ceived a commitment from the major- gram to the Federal Government; and ciate all of the Senator’s leadership on ity leader to bring this very issue to No. 2, the ability of consumers to be this issue, but would the Senator agree the Senate if the Senate achieved a 60- able to access the same FDA-approved it is so important for our colleagues to vote demonstration of support for re- drug for lower prices from Canada and recognize the savings that would be re- importation. The Senate met that hur- other countries just makes great sense. alized for our American consumers? dle when it adopted the Vitter-Nelson It is why 32 Members of the Senate Their counterparts in other countries amendment on a 68-to-32 vote. On July have cosponsored the legislation before pay 35 to 55 percent less, so this is an 14, I and my colleagues—three Demo- the Senate. enormous savings both in terms of the crats and three Republicans—wrote to As I said when I started, the majority U.S. Government and the $50 billion the majority leader saying: We have leader has indicated he fully expected the Senator has mentioned, but also now waited for a long while, and we legislation such as this to be in the more than $6 billion in direct savings hope that you will decide to do what Senate and to be considered. He said: to the Federal Government and to the you had assured us you would do; that But we will take it up in the com- U.S. budget. Not only do we save $50 is, give us an opportunity in the Senate mittee of jurisdiction first. That hap- billion, with $6.1 billion of that in sav- to pass this legislation. pened last year, in April of last year. ings to the U.S. budget according to The U.S. House has already passed They had a hearing. We expected then, the CBO, but we begin to address the legislation on this. The Senate clearly and they all said then: We will report fact that the American consumers are has the votes to pass it if the attempts legislation out and have time in the paying $87 billion more than counter- to block it are ceased and we would be Senate to deal with it. But the fact is, parts in other countries. able to pass legislation that, according it has not happened. This is an enormous savings in all re- to the Congressional Budget Office, On behalf of the American people, spects. Would the Senator not agree will save consumers $50 billion over 10 who deserve to have the opportunity to this also would advance those savings years, $5 billion a year. That is not an have fair prices on their prescription to American consumers but, as well, to insignificant savings. drugs, this Congress, this Senate, our Government? It seems to me this is an issue that ought to take up this legislation and Mr. DORGAN. Mr. President, the ought not be very controversial except, pass it. large bipartisan group of Senators that as I understand, to the prescription The legislation that is before the has worked to put this bill together drug industry. Let me hasten to say Senate is an authorization bill. We are and endorsed the bill through cospon- there are some good people working in now on the legislation. It is open for sorship has done so believing, first of that industry. Those companies amendment. The amendment that I all, that there is no safety issue. These produce some miracle lifesaving drugs. will ask to be considered is not an are FDA-approved drugs that would be But there are no miracles from miracle amendment that falls by the rules. It is allowed to be imported, No. 1. And, No. drugs if you cannot afford to take an amendment that is perfectly appro- 2, very substantial savings would exist. them. That is why I believe the pricing priate under the rules. My under- The Congressional Budget Office has of those prescription drugs to the U.S. standing is that the bill on the floor of said that it would be $50 billion over 10 consumer, charging the highest prices the Senate has been amended. I think years, $5 billion a year. There would be in the world, is fundamentally unfair. we have a first-degree amendment and additional savings to the Federal Gov- It is why I and many others are at- a second-degree amendment. What has ernment itself. tempting to remove a restriction in been done, as they say in legislative At a time when we are up to our law that prohibits the reimportation of terms, the tree has been filled so that necks in debt, it is very important to FDA-approved prescription drugs. In no other amendments are in order. do the right thing not only on behalf of many cases, these drugs are actually So in order to offer an amendment, the American consumers but also on made in the United States and then ex- which is proper, you have to ask that behalf of our Government’s fiscal pol- ported to be sold for a much lower the current amendment be set aside, icy. The right thing is allowing this to price in other countries. Then the U.S. which is the last second-degree amend- be an opportunity to access the iden- consumer is prevented from accessing ment that was offered. tical FDA-approved drugs at the much those same lower priced drugs despite My expectation is, and I am told this lower price that they are being sold in the fact they were made in this coun- request will be objected to, but let me virtually every other country of the try. say, even if it is objected to, I hope the world.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00015 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16581 I yield the floor. We need to increase our refinery ca- the money stays right here in America Mr. ALLEN. Mr. President, I rise this pacity. Right now, refineries are going instead of being sent outside of Amer- afternoon in strong support of the Gulf at 100 percent capacity. When they ica. This will have a big impact on of Mexico Energy Security Act. This is shift from one formulary to another, jobs. commonsense legislation. It will have a there is disruption, increased prices, People wonder: Why does it matter powerful and positive impact on one of some shortages, and not just at the re- for jobs? Well, the natural gas aspect of the truly most important challenges fineries but also in the pipelines. So we this is very important. Our manufac- facing our country today: we need to need more refineries in this country. turers of chemicals and fertilizers— reduce the price of gas. We need to re- We need, as Americans, to conserve which affects so many of us, particu- duce our dependence on foreign sources and become more efficient and smart larly the farmers, but everything we of energy. It needs to be reduced for in the use of our energy and our meth- use—those manufacturing jobs could be our competitiveness. We need to reduce ods and even the engines of propulsion. anywhere in the world, whether it is the dependence on energy for our na- We also need to unleash the power to for chemicals, whether it is for fer- tional security, especially the amount free, creative minds and free markets tilizers, manufacturing tires in of foreign oil we get from the Middle right here in America. We have to un- Danville, VA, at the Goodyear plant. East. leash the best scientists, the best engi- Those tires could be manufactured any- American households, families, and neers, and the best technicians in the where. And the cost of natural gas, the businesses are paying high prices for world. It is time to put them to work affordability, the reliability of it mat- gasoline. They are paying high prices to develop a 21st century energy pro- ters a great deal. for natural gas as well as diesel. Our gram. Plastics can be manufactured every- country, the United States of America, Fuel cells can be part of it. Hybrids, where. But plastic manufacturers rely is far too dependent on a single source clean-burning natural gas, the use of a great deal on petroleum-based prod- of energy which is primarily located in biofuels, whether that is soy diesel or ucts as well as natural gas. Forestry a hostile, unstable region of the world, ethanol, are part of the innovative products for paper, cardboard, and lum- 8,000 miles away. ideas. Also, with advancements in ber use natural gas. Again, it is very This dependence that we have on the nanotechnology, materials can be important we have affordable natural Middle East needs to be reduced. We lighter and stronger, needing less en- gas to keep those jobs in America rath- have paid a very high price for our en- ergy to propel that particular vehicle. er than going overseas. ergy dependence, not just in the actual Nanotechnology is also making solar Now, as a former Governor, I believe cost of energy—which has skyrocketed photovoltaics much more of a part of a large portion of the royalties from in the last year, harming individuals, our options. Lithium-ion batteries are the new deepwater exploration should harming families, harming manufac- moving forward, and that is another be shared with the adjacent States. turing jobs, having an adverse impact method of propulsion for the future. That is why I am supporting the rev- on our farmers and small businesses— We have to adopt, we have to be de- enue-sharing portion of this legisla- we have also, as Americans, paid a high termined, and we have to move forward tion, notwithstanding opposition from price in terms of our national security with a comprehensive 21st century en- the White House. In this legislation, as since our economy is becoming increas- ergy independence policy focused on much as 37.5 percent of the available ingly vulnerable to the whims of some energy production, innovation, and di- revenues will go to the Gulf Coast Iranian mullah or some dictator in versity. When we do that, we will see States, many of which were severely Venezuela. Moreover, there is increasing demand lower gas prices for American con- damaged by Hurricanes Katrina and around the world. Every barrel of oil sumers. We will see more jobs for Rita. produced in Saudi Arabia or Iran or American workers and a stronger, Now, these revenues will free up anywhere else is in competition with more competitive and safer America in money for worthy projects, such as the growing economies in Central Eu- the world. education, transportation, and coastal rope, and the very large growing econo- I believe that the Gulf of Mexico En- shoreline erosion remediation. This is mies in India and China—all competing ergy Security Act, which is designed to an outstanding bill. It will increase for that same barrel of oil. expand deepwater exploration in the jobs and income, obviously, in the Gulf This dependence on foreign oil is a Gulf of Mexico, is an important first Coast States. It will help Alabama, serious problem, a serious challenge step toward a long-term energy solu- Mississippi, and Louisiana, and Flor- which requires and demands a serious tion. Although, I know there is much ida, but also the whole country. What long-term solution. The old brain-dead more to be done—and I will be offering is most important is that for the whole energy policies of the past are not an amendment to allow other States to country this will increase the afford- going to work in today’s innovative have the same options as well—but this ability of energy. It will increase our and expanding global economy. We is a bipartisan measure, a bill crafted reliability of having energy in every need to adopt a comprehensive, 21st by Chairman DOMENICI and Senator State in our Union. century energy program that will in- BINGAMAN, with the support of Sen- This bill will not harm our environ- crease energy affordability, energy re- ators from, expectedly, Louisiana, Mis- ment. I would remind my colleagues liability, and, above all, our mission of sissippi, and Alabama, and also break- that hundreds of deepwater oil rigs energy independence. through leadership from the Senators— were in the paths of Hurricane Katrina The best way to strengthen our en- including the Presiding Officer, Sen- and Rita, and although these rigs were ergy independence is through more ator MARTINEZ—from Florida. shut down and disabled by the roaring American energy diversity. We need to This measure is going to permit en- winds and the rising seas, not one of adopt a flexible, diverse portfolio of en- ergy exploration of 1.7 million acres in them released oil into the Gulf of Mex- ergy options. That, also, of course, first the eastern Gulf of Mexico, otherwise ico. So this is a good record of perform- and foremost, must include increased known as lease sale 181. It would also ance that should alleviate any con- domestic energy production, including lift the production moratorium or ban cerns about environmental safety. American oil and natural gas. As to for 6.3 million acres south of that area. I believe so strongly in this measure clean coal, American coal, we are the Experts estimate that by permitting and this program that I want my own ‘‘Saudi Arabia’’ of the world in coal, exploration of this area, we will even- Commonwealth of Virginia to partici- and we ought to be using clean coal tually extract 1.26 billion barrels of oil pate in it. This is why I am offering an technology for electricity generation and 5.8 trillion cubic feet of natural amendment. And I will continue in the as well as gasifying coal or making it gas. months and years ahead to allow not into a diesel-like fuel. We also ought to This home-produced American en- only the Gulf of Mexico States to share be using American advanced nuclear ergy can run our cars, heat our homes, in revenues, and to permit those folks power for electricity generation. power our factories. And, best of all, to have the deepwater exploration, but

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00016 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16582 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 I want to permit and allow the people education, whether it is for the shore- many companies have made decisions of Virginia to explore for oil and/or line, or improving our transportation. to move their manufacturing oper- natural gas 50 miles off of our coastline Now, if Senators from other States ations offshore. More than 2 million and no closer than 25 miles from any think to themselves: I wouldn’t want manufacturing jobs have been lost to neighboring State. to have those jobs and those billions of overseas operations in the last 5 years, It would be a completely voluntary dollars for my State, I would only say and I believe we need to take reason- arrangement. My amendment allows to them: Fine. That is your choice. I able efforts to bring down the cost of deepwater exploration if that is the respect that choice. But please allow us natural gas in the U.S. will of the people of Virginia. It simply in Virginia to make a choice as well, a I agree with many of my colleagues gives the people an option. It gives the choice that helps us and does not hurt that this compromise on offshore oil people a choice. And I sincerely believe any of the other States at all. and gas exploration represents what is the people of Virginia will choose to We did not get into this energy de- achievable in the Senate, and I urge allow deepwater exploration once they pendence challenge and predicament the leadership on both sides to resist are conversant with the facts and the overnight, and we are not going to get strongly any efforts by the House to opportunities. In fact, the General As- out of it overnight. This legislation is broaden the scope of this legislation. If sembly of Virginia, 2 years in a row, a vitally important aspect of bolstering the bill comes back from conference has passed legislation, with bipartisan our energy security for generations to with the House of Representatives support, to allow deepwater Outer Con- come. I support it, and I strongly advo- without the Senate limits and environ- tinental Shelf exploration far off the cate its swift passage because it is a mental protections, I will not support coast of Virginia. long stride forward toward our ulti- the final product worked out by the Here are the facts. In the far part of mate American goal of America’s en- conferees. Senator REID’s letter to Sen- the eastern seaboard, 45 miles off of our ergy independence. And for the future, ator NELSON is very reassuring in that coast, Cuba is exploring for natural I encourage my colleagues to support regard. gas. Then in Canada, off the Grand what I consider to be my fair, common- The PRESIDING OFFICER. Who Banks and the Maritime Provinces, sense approach to empower the people yields time? they are exploring for oil and natural of Virginia to explore for oil and/or The Senator from New Mexico. gas. natural gas in the deep water off our Mr. DOMENICI. Mr. President, I be- Now, for the U.S. area, and near Vir- Outer Continental Shelf, if they so lieve I have 15 minutes at this point. ginia, according to the Minerals Man- choose to do so. The PRESIDING OFFICER. The Sen- agement Service, there are 1.23 billion This expanded proposal is consistent ator is recognized. There is no time barrels of oil and 11.68 trillion cubic with the principles of federalism and limit. feet of natural gas along the Mid-At- free choice, and it respects the will of Mr. DOMENICI. Mr. President, let me lantic Outer Continental Shelf. This re- the people. It is a win-win situation for say, before the distinguished Senator markable, significant amount of en- jobs, competitiveness, and, most im- from Virginia leaves the floor, here is ergy is just sitting there, waiting for portantly, it will incentivize and en- how I see the situation in terms of us to use it. Yet Federal law prevents courage the people of the States to join coastal waters and the tremendous re- the people of Virginia and America in with our national mission of energy sources that are along the coast today, from using it. independence. including the Senator’s State. I see us Now, the gasoline prices are surging I hope the underlying bill passes, of on the verge of making the first break- at over $3 per gallon. It is, to me, unbe- course. And I look forward—I see the through in 25 years. If this break- lievable and irresponsible to continue chairman is here. I commend him for through occurs and this bill passes and this obstructionist, detrimental re- his outstanding work in a bipartisan this bill gets signed, the breakthrough striction and regulation on Virginia manner. And I see Senator LANDRIEU is that your State and your people— and other States. here from Louisiana as well. This is a openly and bright—might want it, too. In my amendment, I have ensured long stride forward. But please under- In fact, you have been talking about that the people of Virginia are able to stand, Mr. Chairman, that I am going that. reap the benefits of any successful to continue fighting for Virginia. It is The point I am making is, we are deepwater exploration far off our Vir- good for Virginia. It is also good for doing this right. Let us get this one ginia coast. Using Senator DOMENICI’s America because we need to have done, as you have said, and you cer- legislation as a model, I have estab- America independent from foreign tainly have not said we should not. I lished that 37.5 percent of revenues sources of energy, particularly that don’t imply that. But the right thing would be allocated to Virginia. I rec- from the Middle East. I say to the Sen- for the country, in fact, of these pro- ommend that half of these revenues ator, thank you for your leadership. longed moratoria is to pass 181 before would go to much needed transpor- Mr. President, I yield the floor. us because it is big. It is real. It is tation projects in Virginia. It could be Mr. LEVIN. Mr. President, I intend right. It is now. It will happen and it for the third crossing down in Hampton to support cloture on S. 3711, the Gulf will hurt no one. Besides, you will see Roads or for the widening of a variety of Mexico Energy Security Act of 2006, bids to open with short periods of time of interstates across our Common- and will vote for final passage. I am saying: We will drill. You will see com- wealth. That would get half of the rev- voting for cloture and for final passage panies announcing what they are going enue. because I believe we need to move for- to do. That will be the stimulus. I am A quarter of the revenue would go to ward to open up more areas for natural not a football expert, but it is sort of reducing instate tuition at our Vir- gas exploration to address the increas- like if the goal is to maximize, eventu- ginia colleges, and another quarter of ingly tight natural gas supply in the ally, over time, the coastal production the revenues would go to the coastal U.S. and its resulting high prices, but of America from a venue of stagnation, communities which are the counties on to do so in a way that protects our en- if that is the goal—and I am not there the eastern shore of Northampton and vironment. yet, but if that is the goal—what you Accomack and to Virginia Beach, Over the past 6 years, the tight nat- do is you make the first 10 yards right which they may want to use for shore- ural gas supply and increasing costs of now. This is the first 10 yards. This is line or beach, sand replenishment. natural gas has had a significant im- the breakthrough. Now, how much money are we talk- pact on consumers and particularly on Now you are going to see it, and you ing here? Experts estimate that it the U.S. manufacturing sector, which can say: Man, we can make it. Then could be nearly $3 billion over a period depends on natural gas as both a fuel your State will come, and other States of time. That’s right, $3 billion—all source and a feedstock and raw mate- will come. So I am very pleased we paid into Virginia’s treasury, bene- rial. With U.S. natural gas prices the chose to limit it to the four States plus fiting all Virginians, whether it is in highest in the industrialized world, Florida and to this big piece called 181,

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00017 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16583 plus 181 south, which you have lauded Mr. DOMENICI. Yes. We might be ready soon to have hear- here today. Mr. ALLEN. I would say to the chair- ings in the committee, have other bills, I will close by telling you something man of the Energy Committee, I want- move in other directions. But for right that you can now tell your people when ed to get on that committee in this ses- now, this is the best bill to clear the this bill passes. On the day of the vote, sion because I really do believe energy Senate. for those who don’t think this is a good independence, energy security is the We have this terrible 60-vote thresh- bill, I want to remind them, and you most important issue facing our coun- old in this place. You are aware of can remind them, that it was just an- try. The Senator has provided great that. It is no longer a majoritarian nounced that natural gas had its big- leadership, working with a variety of place. There are 60 votes for every- gest gain this year. Bloomberg an- different forces, and getting things thing. You ask for a motion for a pin to nounced that natural gas rallied to its done on a bipartisan basis. I agree that drop, and somebody says: I am going to biggest gain this year in the U.S. on a Senator MARTINEZ was absolutely cru- filibuster. Right? You have to have 60 record-breaking heat wave, and the cial in this bipartisan effort. I would votes. Appointment of conferees is fili- prices went up. So right now we are hope, though, that you recognize that bustered now. Somebody like Senator celebrating something very negative, while I am introducing this amend- BYRD will say: Senator DOMENICI, don’t that the supply is not sufficient. And ment, I know my colleague, Senator think that is new. That was around for- with the excess heat, the price went up. WARNER, has a different sort of amend- ever. Of course, it was. But it wasn’t What we want to tell them is, pass this ment, trying to get to the same point. used very much. bill. Start using these resources. Put I hope I can count on you, and I hope But you know that is being used now. them in our inventory, right? Get our the American people can count on you A motion to appoint conferees on a bill to work in a bipartisan fashion in the businesspeople out there investing to is now an acceptable measure on which future, whether this year or future drill, and we will have natural gas com- to have a filibuster. The point is, this years, to allow the people of Virginia, ing from 181, this big piece of real es- is no turkey shoot, passing a bill in the if they so desire, to explore off our tate, energy laden, 6 trillion cubic feet Senate. You don’t just have to sharpen coasts and use this as a model in shar- on this one piece, enough for 6 million up and hit one; you have to get 60 ing revenues with the States because I homes for 15 years, 1.2 billion barrels of votes. That is why it is so important think sharing of revenues with the oil on just this one piece. Get started, you know how to put it together. That States will be an incentive for States right? That is why we are going to do is why we did this. That is why some to help the national mission of energy it. people, looking down on this bill, won- independence and not allow that good I think we have the votes. But if you dering how far can you go—you know energy to stay there fallow in deep know anybody who is not for it, I say where that is coming from—how far we water off our Outer Continental to the Senator, you tell them we cele- can go and still get something passed— Shelves. brated the wrong thing today because Mr. DOMENICI. I thank the Senator. have to understand, the 60-vote thresh- we have been doing things wrong. It is In response to what the junior Sen- old probably, if we make it tonight, time to do it right. That is what I ator from Virginia just said, obviously, and even if we break it, the point is, it think, and that is what this bill is. You this bill sets not only the precedent of is fragile. You fool around with it and are on the right track, and I commend getting rid of the moratorium for deep change it and you could go back down you. This bill will get us started. I hope water drilling off the coast of Florida, to 59, 58, and be dead again. you understand that. but it also sets a precedent of revenue So if you want some energy for Mr. ALLEN. I am certain. sharing with the coastal States that America, not big time, not like a whole Mr. DOMENICI. We can’t do it all at surround the activity. That is what the new country has been invented, we still once. I am so pleased we picked the Senator is talking about. Obviously, have a lot of coast left, a lot of other right one. And with the help of that the Senator from New Mexico favors places left, but this is a big one. If you man sitting in the chair, the Presiding that. I don’t have to answer his ques- want this, you have to remember, you Officer today—we call him ‘‘President’’ tion specifically. I favor that. I took a have to get 60 votes. We have got to get today, but he is actually a Senator— gamble and said: I am one to do that. 60 votes here tonight. We have got to with his help, because he had a little I started off saying, I think I can get it get 60 votes later on. And we better not guts, he decided to talk to his people done. I think we can get it done with- be thinking too far ahead of our nose instead of echoing. He went out there out it. That is where I started, right, I or we will find out we don’t have the and talked and said: Let’s do some- ask the Senator from Louisiana? I re- votes. thing. They agreed to this, after years ported a bill out, found out we prob- So I want to close by reminding ev- of dilly-dallying, right? We are doing ably would get nothing. I am not sure erybody that the price of natural gas something for the country. The Pre- of that, but probably the country increased by a record amount. The pub- siding Officer, MEL MARTINEZ, the jun- would get nothing, the coastal States lic can note that. They might be think- ior Senator, is part of this three or four would get nothing, the Treasury would ing: Why didn’t you do something or five people who led this actual at- get nothing, the coastal repair would about it? We want to tell them we are tack on this moratorium. Moratorium get nothing. And we would be right trying tonight to do something about has something to do with death. That back here telling the public: We can’t it. We have a ways to go, right? We is what the moratorium was, death for do anything. have to get it passed, and we have to us, this crazy idea that these resources So when the coastal States and the get it past the House. But we are try- should be locked up when you could Senator from Florida started negoti- ing to do something about this report drill for them and not hurt anybody. It ating with us about the coastal States that says the price went up the highest is finally going out the window, little and about Florida’s linear protections, amount. We are trying to do something by little, with this bill. Two windows distance protections, I had to move about it. We don’t guarantee anything, going out. We will see how it works. from no coastal revenues. I am very but we guarantee you that we are going The public is going to say: Boy, it pleased with the way it turned out be- to help if we add 6 trillion cubic feet of works. And then some more windows cause I believe over the long run we natural gas to the inventory of natural will go out later. And that is what you have by at least 10, maybe 20 years, ac- gas for Americans from this piece of are talking about. celerated the timeframe for coastal ex- real estate off the coast of Florida, off Thank you so much. ploration. I am not saying forever be- the coast of Louisiana that belongs to Mr. ALLEN. If I may, Mr. Presi- cause I think sooner or later reality the people, that had a moratorium on dent—— had to set in. I think we are just push- it, that had a death wish on it: You Mr. DOMENICI. I yield to the Sen- ing reality here and pushing hard, say- can’t do anything with it. ator. I have the floor. ing: OK, we are going to share, but we We are taking that off, and that is Mr. ALLEN. Will the Senator yield? are going to get the resources. why it is important.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00018 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16584 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 It is also important that everybody Senator is well aware of the many and the paper and pulp industry shared knows it is not easy to do because in things since he led that fight. a press conference. The equivalent the Senate you need 60 votes. No, you Mr. DOMENICI. The Senator is abso- price of gas to oil, when gas went up don’t, people told me the other day. lutely correct. I have been referring to earlier to $15—it is now today at $8, What is the matter with you, Senator? the Chair and the Presiding Officer in yesterday at $7. But at $15, which is Fifty-one votes will do that. one way because it was the Senator what our industry folks pay, and resi- I said: Well, we changed business in from Florida, talking to him as the dents pay as well—that high price of the Senate. Almost everything is a fili- Senator from Florida. He has taken a gas—it was the equivalent of a $7-per- buster. I just explained that to you. seat as a Senator. Another Senator gallon price of gasoline at the pump. This bill was filibustered. No question. from the committee, Senator LAMAR So if you are thinking, because all of So we have this fancy-named thing ALEXANDER, has taken the Presiding us know when we fill our tank up how called cloture. That means a request Officer’s seat. expensive that $2.89 or $3.10 or $3.25 is— that the filibuster be restrained. We (Mr. ALEXANDER assumed the Chair.) can you imagine the shock of going to are going to vote on that. Do you want Mr. DOMENICI. The question fits the pump and having it say $7.50 a gal- to throw out the filibuster tonight? right in with all four. LAMAR ALEX- lon? Imagine that. That is how high That is what the vote is going to be ANDER is on the Committee of Energy the price of gas got this year in the about. But that is the 60 votes. People and Natural Resources, as is the Sen- United States of America. should know that, and they should ator from Florida. A big participant is So the reason our farmers are sup- know that about our bill, whomever it the Senator from Tennessee. I am look- porting this bill, the reason rural com- is. This is tough sledding. Don’t be ing at the Senator who took on the munities are supporting this bill, the thinking that we could change it issue of natural gas, the Senator from reason the manufacturing industries helter-skelter. And if they are won- Tennessee. We knew we could not do are supporting this bill, the reason the dering why we have been tough on this on that bill, so we put it off. We chemical association is supporting this amendments, just remember with us, did 10 or 15 major things that are still bill, and many environmental groups who knows what amendments would do having an impact on America—every- as well, is because we must find more to this bill. thing from seeing to it that all possi- domestic supply to reduce the price of It is a good bill like it is. Sorry to bilities for the alternative of shale natural gas. fellow Senators who want to offer being turned into oil be given a chance. We are going to also have to import, amendments for a week. I am sorry. I It might happen. We promoted coal to unfortunately, more liquefied natural wish you could preside, Mr. President, gas, coal to liquid. The only thing gas. I say ‘‘unfortunately,’’ although over wonderful debates, about 20 keeping that from happening is the un- my State benefits from those imports. amendments or 30 on this bill. I hope certainty of investment because the I can honestly say that I really belong we don’t have to because I hope we price of $70 is not certain. If we can ad- to the group of Senators who believe close it up with the cloture vote, a cou- dress that issue, we will fix that, too. we can be energy independent, and we ple of hours after that, maybe tomor- Ethanol came out of that bill. The should. This bill is the piece that didn’t row, vote on final passage, send this whole idea of hybrid automobiles came get done in the last energy bill, and it bill to conference, and then take a lit- out of that bill. Scores of that are in must get done before we begin writing tle while with the House and have this the area of conservation, which were another comprehensive energy bill, same message to them: 60-vote problem promoted even before I was chairman; which we can and will do because there in the Senate. Can’t send them any old they are on that bill and are done. So is always room for improvement. thing or we will get nothing. this is a followup for some supply. That I wanted to answer the critics about I think my friend from Louisiana is why it is important that we get it why just focus on this. It wasn’t done knows that. She is here. She knows done. in the last bill, so it needs to get done what I am going through. I mean, she I thank the Senator for the question. today. Why the gulf coast? Because the can comment on that. She does. It is There are many other things we could gulf coast Senators came together, not easy to get this through, if you are list. I thank the Senate for yielding me working with Senator DOMENICI, and worrying about adding things to it or additional time. figured out our neighborhood. We live changing it. I yield the floor. in the neighborhood of the gulf coast. I see the Senator would like to speak. The PRESIDING OFFICER. The Sen- Five States share the gulf; four of us Ms. LANDRIEU. Will the Senator ator from Louisiana is recognized. drill and one doesn’t. Maybe that one yield for a question? Ms. LANDRIEU. Mr. President, I will one day, but who knows? That is Mr. DOMENICI. Of course. think we are going to vote around 5:30. for the State of Florida to decide. We Ms. LANDRIEU. The Senator is abso- I may need 10 minutes to speak, and will defer that debate. Texas, Lou- lutely correct. others may follow suit. I wanted to fol- isiana, Mississippi, and Alabama came The PRESIDING OFFICER. The Sen- low up on what Chairman DOMENICI together and decided we wanted to stay ator has used 15 minutes. said, as a member of the Energy Com- in the business despite the fact that Ms. LANDRIEU. I ask unanimous mittee—and, Mr. President, you serve there have been difficulties to our consent for 1 more minute for the so ably on that committee, as does the coast. We believe in drilling and chairman. Senator from Florida—to say exactly strengthening America’s domestic re- The PRESIDING OFFICER. Without that point. serves. We want to continue to serve objection, it is so ordered. Some people have been critical of the coast, but we can and will not any Ms. LANDRIEU. The Senator is on to this debate, questioning why it is so longer do it for free. a very excellent point. I was wondering limited. The answer is because almost My critics say: Well, Senator, you if he could remind those listening, get- everything was included in last year’s are not thinking about all the jobs you ting ready for the vote, one of the rea- Energy bill, which we debated for 10 get and about the taxes. I am thinking sons the debate was restricted is so years—a lot of debate, over weeks and about the jobs created, and we are that we could move on this very impor- months, over a 10-year period. This grateful. I am thinking about the taxes tant piece of legislation. But if the part was the part that was left out—ac- we get from onshore drilling. But I am Senator would remind those of the tually increasing the supply of gas. As also thinking about the $150 billion in good things that were done in last the Senator from New Mexico said ear- royalties that have been paid by the year’s Energy bill on conservation so lier, today is probably a propitious day offshore industry to the Federal Gov- that we didn’t need a broad debate, we to be debating this because the price ernment, of which Texas, Louisiana, did so many good things, as the Sen- went up over a dollar. Mississippi, and Alabama got zero. ator will recall, in the last Energy bill Earlier today, the manufacturing as- When I think about our beaches, our to conserve, promote renewables. The sociation, the agricultural interests, coasts, our marshes, our great fishing

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00019 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16585 places, and our beautiful marshland, it we kept trying, through the budgets, to Federal Government. What I am saying is compelling that we would enter into get a little bit of money set aside for is the Federal Government could not a smarter partnership for the future our parks and bike paths and soccer access what it owns without a right-of- than the one we failed, for many rea- fields where our kids play. I am not way through the States of Alabama, sons, to enter into in the past. So I am just talking about suburban areas, I Mississippi, Louisiana, and Texas. It is proud to have argued and helped with am talking about urban areas, such as as simple as that. You can own all the our gulf coast Senators to negotiate a small city parks in New Orleans or the valuable land you want; if you cannot good deal, a square deal for the gulf large Central Park in New York. We access it, it is as if you don’t own it. coast, and a good deal for the Federal did a pretty good job over time, and we That is what we are talking about, Government. have fallen off the wagon, if you will. It sharing these revenues to protect this I also repeat that the country needs is time to get back up in the saddle and great coastline. We most certainly the gas now. The gulf coast needs the fund the Land and Water Conservation. need every penny we can get to build revenues now, the country needs the That is what this bill does. these levees to protect these people so jobs now, and the companies in the in- To some undecided Democrats who we can keep the lights on in the Cham- dustry need the competitive edge now. are thinking: What should I do, please ber. Today, again, at that press conference consider that the country needs the I ask unanimous consent that Sen- earlier, it was shocking to see how gas, manufacturing needs their com- ator ALEXANDER and Senator HAGEL be many manufacturing jobs have been petitive edge back, the gulf coast could added as cosponsors to S. 3711. lost. When the price of natural gas for certainly use the revenues, the country The PRESIDING OFFICER. Without our manufacturing sector exceeds the needs the jobs, and the States need a objection, it is so ordered. price of labor, we have a serious prob- reliable, steady stream of revenue for Ms. LANDRIEU. Mr. President, I lem. That problem is getting addressed the Land and Water Conservation Fund yield back the time in the event there at 5:30 today when the Senate votes to that our Governors, legislators, may- are any other Senators wishing to open, for the first time, almost 8.3 mil- ors, county commissioners, and parish speak for or against the measure. lion new acres of rich natural gas and officials in Louisiana can certainly I suggest the absence of a quorum send a positive signal to the markets count on to help. It is down to $40 mil- and ask that it be equally divided be- and to the industry that we are serious lion, one of the lowest levels it has tween the two sides. again about finding resources right been. The PRESIDING OFFICER. Without here. Under this bill, it will go up $450 mil- objection, it is so ordered. The clerk Fifth, the companies in these indus- lion a year. Not right away, but over will call the roll. tries need to gain a competitive edge. time it will go up to its full authorized The bill clerk proceeded to call the The States will get a reliable partner funding. We are going to do what we roll. in conservation. Mr. President, you can between now and the time the bill Mr. BINGAMAN. Mr. President, I ask have done more to spearhead that de- gets to the House to make these ad- unanimous consent that the order for bate since you came to the Senate. You justments in these early years to get the quorum call be rescinded. did it as Governor of Tennessee, as a these numbers up. We will see. We can- The PRESIDING OFFICER. Without Secretary for our country. You have not make any promises because there objection, it is so ordered. been a leader in conservation. I have is a lot to be done. The idea is to pass Mr. BINGAMAN. Mr. President, in a spoken many times about the coast this bill today and get something to few minutes we will be voting on S. and wetlands. I am not quite as pas- the President’s desk that he can sign. 3711, which is the Gulf of Mexico En- sionate or articulate as you, but I I thank the administration for sup- ergy Security Act of 2006. I urge all share your enthusiasm for the fact that porting the framework of the Senate Senators to oppose cloture on this bill this Nation is a great nation of the bill, for Secretary Kempthorne’s visit which is the vote that will occur at outdoors. It separates America from to Louisiana and Mississippi, to the 5:30. Last week, I outlined my reasons our European neighbors. It sets us gulf coast. I thank all Senators who for my strong opposition to the bill. apart from places like Japan. We have have come down—almost all of them The bill is not good energy policy and, great open spaces. It is the character of now have come before the anniversary in my view, it is even worse fiscal pol- America, as I have heard you say many of Katrina—and seen firsthand the icy. times. great needs America’s only energy Turning first to Energy, S. 3711 actu- If we don’t work harder to preserve coast has. ally expands areas that are under mor- those open spaces, they will not be I want to show a final picture of the atorium off the coast of Florida. It also there because they just don’t happen; gulf coast because this is what I have sets a precedent for imposing a new they are dreamed about, nurtured, and shown so many times when I have long-term congressional moratorium. created, and not by words, not by wish- come to the Senate floor. This is Amer- The chart behind me has been referred es, but by money that buys and sets ica’s only energy coast. I am not mak- to by many on both sides of this de- aside land. I know we cannot do it in ing this up. This is a USGS satellite bate. This chart depicts the area, every place and for the Federal part, view of the Gulf of Mexico. You see the which is in yellow, that will be locked but for the States, for our 50 Governors great boot of Louisiana, the mouth of up under S. 3711 until the year 2022. For who are looking to the Federal Govern- the Mississippi River here, Mobile Bay, the first time, as I can determine, Con- ment to be a good partner and want to Galveston, and the great expanse of the gress will be enacting a multiple-year work with nonprofit organizations to Texas coast. This is America’s energy moratorium—not a moratorium for expand conservation, I say to my col- coast. All of these are pipelines that just 1 year, which we have done many leagues that this bill finds balance. are out into the gulf. There is no way times in the past but, rather, a morato- We tried to do this in 1965 when some to get oil and gas from this part of the rium until 2022. great Senators, such as Scoop Jackson gulf unless you connect it to someplace In addition, Congress will be placing from Washington and others, created on land. Whether it is Port Fourchon, parts of this area under moratorium the Land and Water Conservation Venice, Buras, Gulfport, Pass Chris- that have never been under a morato- Fund—the first time ever that the Fed- tian, Morgan City, Beaumont, Cam- rium before. eral Government said: Let’s create a eron—all of these towns and commu- The bottom line is that in return for fund to help the States. It wasn’t much nities support this industry. access to an additional 2.76 trillion of one. You could barely see this little When I see people come to the Cham- cubic feet of natural gas, the bill puts dot. It was probably $10 million for all ber and say this doesn’t belong to the almost 10 times as much natural gas— the States. That is just pennies. But it States, this belongs to the Federal that is 21.83 trillion cubic feet—off lim- was a beginning. We went up to $75 mil- Government, I am not even making the its until 2022. Again, that is all of the lion and back down to $50 million, and argument; I know this belongs to the area colored in yellow.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00020 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16586 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 This is certainly not my idea of how lion and $30.5 billion. Estimated losses CHRISTOPHER S. BOND, TOM COBURN, we should be addressing our Nation’s to the Treasury balloon beginning at WAYNE ALLARD, DAVID VITTER, MEL energy needs. that later date of 2056, with annual MARTINEZ, THAD COCHRAN, JIM DEMINT, In addition, the claims of the natural losses between $12.5 billion and $15 bil- JOHN CORNYN, LINDSEY GRAHAM, JEFF SESSIONS. gas that will be produced under the bill lion starting that year. are exaggerated. The sponsors of the There is no policy justification for di- The PRESIDING OFFICER. By unan- bill claim that 5.83 trillion cubic feet of verting these Outer Continental Shelf imous consent, the mandatory quorum natural gas will be produced. However, revenues to the coastal States. The re- call has been waived. over half of that natural gas will be sources of the Outer Continental Shelf The question is, Is it the sense of the leased next year and produced anyway belong to the entire Nation. The Su- Senate that debate on S. 3711, a bill to under the Department of the Interior’s preme Court ruled that offshore lands enhance the energy independence and proposed plan. The actual amount of were and always have been owned by security of the United States by pro- additional natural gas made available the United States as a feature of na- viding for exploration, development, because of this bill is 2.76 trillion cubic tional sovereignty. In 1953, Congress and production activities for mineral feet. passed the Submerged Lands Act which resources in the Gulf of Mexico, and for Last year, the Congress enacted the granted coastal States title to sub- other purposes, shall be brought to a far-reaching Energy Policy Act of 2005. merged lands to within 3 miles of their close? The legislation addressed energy effi- coast. This action by Congress several The yeas and nays are mandatory ciency and energy production, nuclear decades ago settled any issue of State under the rule. The clerk will call the energy, renewable energy, energy tech- equities. roll. nologies, and energy taxes. We made Finally, there has been much discus- progress, but there is much more work sion as to whether passage of S. 3711 The legislative clerk called the roll. to be done. That is why I am deeply will lead us to a conference on the Mr. MCCONNELL. The following Sen- disappointed that the only energy leg- House-passed bill, which is H.R. 4761. I ators were necessarily absent: the Sen- islation that the Senate is likely to understand that the minority leader ator from Kentucky (Mr. BUNNING) and consider this year is S. 3711, which I do has made a commitment that we will the Senator from Arizona (Mr. not believe takes us in the right direc- not accept any version of this legisla- MCCAIN). tion. tion other than that which is before Further, if present and voting, the I am also disappointed that the right the Senate today. In my view, he is Senator from Kentucky (Mr. BUNNING) of Senators to offer amendments ad- right to take that stance because the would have voted ‘‘yea.’’ dressing other important aspects of en- House-passed bill would take us down a Mr. DURBIN. I announce that the ergy policy will be cut off if cloture is road to even greater fiscal irrespon- Senator from Massachusetts (Mr. invoked. There were amendments to S. sibility. The administration has KERRY), the Senator from New Jersey 3711 filed by my colleagues that address warned that the House-passed bill (Mr. LAUTENBERG), and the Senator important unfinished business on the would cost hundreds of billions of dol- from Connecticut (Mr. LIEBERMAN) are topic of energy policy. Prominent lars. necessarily absent. among these are amendments to im- In addition, the House bill contains I further announce that, if present prove efficiency in our use of oil and many other far-reaching and extreme and voting, the Senator from New Jer- gas. But there are also other meri- provisions that do not lead to the type sey (Mr. LAUTENBERG) would vote ‘‘no.’’ torious energy amendments which my of balanced energy policy that is in the colleagues will not be able to offer if best interest of our Nation. The PRESIDING OFFICER. Are there cloture is invoked today. For these reasons, Mr. President, I any other Senators in the Chamber de- I turn now to the enormous adverse again urge my colleagues to oppose the siring to vote? fiscal impacts of S. 3711. The bill would motion to invoke cloture. The result was announced—yeas 72, divert from the Federal Treasury 37.5 I yield the floor and suggest the ab- nays 23, as follows: percent of revenues from the new sale sence of a quorum. [Rollcall Vote No. 218 Leg.] areas to the four States—Texas, Lou- The PRESIDING OFFICER. Without isiana, Mississippi, and Alabama. objection, the clerk will call the roll. YEAS—72 Starting in 2017, this percentage is ap- The legislative clerk proceeded to Alexander Dole McConnell plied to new leases in existing areas of call the roll. Allard Domenici Murkowski Allen Dorgan Nelson (FL) the Gulf of Mexico that are open to Mr. DOMENICI. Mr. President, I ask Baucus Ensign Nelson (NE) production. unanimous consent that the order for Bennett Enzi Pryor To put it simply, we are not talking the quorum call be rescinded. Bond Frist Reid The PRESIDING OFFICER. Without Brownback Graham Roberts about diverting revenues from the new Burns Grassley Rockefeller lease sale area. Ultimately, S. 3711, by objection, it is so ordered. Burr Gregg Salazar its language, would divert revenues CLOTURE MOTION Byrd Hagel Santorum from the entire Gulf of Mexico. The PRESIDING OFFICER. By unan- Carper Hatch Schumer Chafee Hutchison Sessions This is chart No. 2. The area that is imous consent, pursuant to rule XXII, Chambliss Inhofe Shelby highlighted is the area in the western the Chair lays before the Senate the Clinton Inouye Smith gulf and the middle gulf which are open pending cloture motion, which the Coburn Isakson Specter to production, and the revenue from Cochran Johnson Stabenow clerk will state. Coleman Kohl Stevens new production in those areas would The bill clerk read as follows: Collins Kyl Sununu begin to be diverted to the four States CLOTURE MOTION Conrad Landrieu Talent I mentioned beginning in 2017. Cornyn Levin Thomas We the undersigned Senators, in accord- Craig Lincoln Thune As any Senator can see, this includes ance with the provisions of rule XXII of the Crapo Lott Vitter the entire western and central Gulf of Standing Rules of the Senate, do hereby DeMint Lugar Voinovich Mexico and also, of course, the newly move to bring to a close debate on Calendar DeWine Martinez Warner opened lease sale 181 and lease sale 181 No. 529, S. 3711: a bill to enhance the energy NAYS—23 south areas. independence and security of the United Even with S. 3711’s so-called cap on States by providing for exploration, develop- Akaka Durbin Mikulski Bayh Feingold Murray revenues paid to the States for the pe- ment, and production activities for mineral resources in the Gulf of Mexico, and for Biden Feinstein Obama Bingaman Harkin riod from 2016 to 2055, the amount flow- other purposes. Reed Boxer Jeffords Sarbanes ing to the four Gulf States that would BILL FRIST, PETE DOMENICI, RICHARD G. Cantwell Kennedy Snowe otherwise go to the Federal Treasury LUGAR, MITCH MCCONNELL, KAY BAILEY Dayton Leahy Wyden would be somewhere between $28.5 bil- HUTCHISON, JIM BUNNING, TRENT LOTT, Dodd Menendez

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00021 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16587 NOT VOTING—5 with this bill, we continue to feed this portant tourist industry that draws Bunning Lautenberg McCain habit. millions and millions to our coast. Kerry Lieberman I personally believe there are places I ask anyone listening to this debate: The PRESIDING OFFICER (Mr. in this country where you can drill off Is there a time when you visit Cali- BURR). On this vote, the nays are 23, the coast. I respect Senator LANDRIEU fornia that you don’t go to the coast? the yeas are 72. Three-fifths of the Sen- very much, and I don’t have a problem Everyone comes to our coast. What you ators chosen and duly sworn having if there is unanimity that there ought do there is observe the wonder of an voted in the affirmative, the motion is to be drilling off her state’s coast. And unspoiled coastline. There are certain agreed to. I support her efforts to have some con- areas where we do have drilling. But Mr. FRIST. Mr. President, I move to servation fund to restore the area. But for many years we have kept the mora- reconsider the vote, and I move to lay what are we getting on the other side? torium in place. When you go to our that motion on the table. We are getting drilling, we are feeding coastline, from the very far north of The motion to lay on the table was the addiction to oil. It seems to me we the State, down to the south, what you agreed to. are getting nothing because we are not see is God’s beauty. When you come to Mr. FRIST. Mr. President, I suggest allowed to amend this bill with some our State and you stay in our beautiful the absence of a quorum. forward-thinking amendments. We are hotels and our bed and breakfasts and The PRESIDING OFFICER. The getting, for sure, a greater and greater go to our restaurants, often having a clerk will call the roll. deficit and a greater and greater debt. view of our ocean, you can’t help but The legislative clerk proceeded to How would we better balance this come away in awe that this is a gift call the roll. bill? We should promote vehicle tech- that has been given to us, and a gift Mrs. BOXER. Mr. President, I ask nologies that get better gas mileage. that we must preserve. It brings dollars unanimous consent that the order for We can develop and incentivize the use to our State. the quorum call be dispensed with. of alternative fuels. We can encourage This is one of those times when it is The PRESIDING OFFICER. Without energy conservation. the right thing to do economically to objection, it is so ordered. We have seen countries such as Brazil keep that coast beautiful. It is the Mrs. BOXER. Mr. President, thank just within a 10-year timeframe be- right thing to do spiritually. And, it is you so much for your courtesy—and come independent of foreign oil—be- the right thing to do environmentally. my colleagues. I wanted to be heard on come energy independent. But guess The California State legislature under- this bill. I haven’t spoken on it. It is a what. Because the Republican leader- stands it. In 1994 they passed a law that bill that I call a drilling bill; I don’t ship won’t allow it, we cannot offer any permanently prohibits oil and gas ex- call it an energy bill. I rise to speak amendments to alter this bill. It is ei- ploration in our State’s waters. I thank against it, and I am against it for three ther drilling and giving four States a them for that. We learned the lesson very simple reasons. ton of money to reward them for that, that drilling is dangerous. We learned First, I have no assurances—nor does causing the Federal deficit to swell, or it the hard way. The Senate bill, if it is merged with Senator FEINSTEIN—that the California it is nothing. the House bill, could be disastrous for coast will continue to be protected It is sad because this is a great coun- the California environment and econ- from new offshore oil and gas drilling. try. It is a country of great ideas. Yet omy. We know it is disastrous for the That protection is crucial to my State, the ideas on both sides of the aisle take Federal Treasury. By the year 2017, to my State’s economy, and, of course, a back seat to the same old, same old, four States in our Nation would be en- it is crucial to the promise that we drill, drill, drill. titled to $590 million per year; by 2022, made to our children and our grand- We can’t drill our way out of this $1.2 billion per year. These States will children—that this coast will be for- problem. As tempting as the mirage of get part of the Federal Treasury. We ever protected. It is one of God’s great- a quick fix might be, we must not en- cannot afford this kind of imbalanced est gifts to our State. Every history danger the California coast with new fiscal policy at a time when the Fed- book that writes about California talks drilling. And that is what will happen eral deficit is expected to be $300 bil- about the beauty of our State—and it if this bill is merged with the House lion this year and the national debt is starts with the ocean. We know if we drilling bill. over $8.4 trillion and growing. lose that beauty it is irreplaceable. If the House would take the Senate I think back to the year that Presi- I also wanted to make a point to my bill, then I would breathe a sigh of re- dent Clinton left office. The budget friends that in our State, offshore oil lief for my State—and the west coast projections were that we were going to drilling is an issue that unites the vast and the east coast can also breathe a be debt free. Since my friends on the majority of Republicans and Demo- sigh of relief. But we don’t have any as- other side have taken control, deficits crats. They do not want to see it hap- surances that the Pombo bill, which are back in full bloom. The debt is pen, whether it is our Governor or our will open up the door to drilling in the back and this bill adds to the debt and Democratic candidate for Governor. most beautiful areas, will not become the deficit. How could we possibly do They are in full agreement. This is an part of this bill. that today? Sadly, we are not only issue that unites California. Let me tell you that Californians— doing it with the energy bill, we are Clearly, we know that our economy again, across party lines—rejected doing it in another bill I will talk is heavily reliant on tourism. It is reli- coastal drilling long ago. Even in the about in a minute. ant on fisheries. And offshore oil drill- days when our State was a red State, How about this? No amendments al- ing threatens both of those economic we rejected offshore oil drilling across lowed to this bill. What is the other engines. party lines. side afraid of? We might have an Second, this bill will drain billions of It was because we had a devastating amendment that will pass? We might dollars from the Federal Treasury. Santa Barbara rig blowout that con- have an amendment that increases fuel That is indisputable. And it does noth- taminated our ocean waters and beach- economy for our automobiles? We ing to help us meet the critical goal of es almost 40 years ago. The memories might have an amendment that makes reducing America’s dependence on oil. of that are still ever present. The sure we have flex-fuel vehicles? We As a matter of fact, this bill deepens memories of that also became a warn- might have an amendment pass that our dependence on oil. ing sign that we want to preserve our invests in cellulosic ethanol so we can Achieving real energy independence precious coast. have more farmers get into this act must be more than just a slogan. In The people of California decided that and produce ethanol from products this unbalanced bill, we admit our ad- the potential benefits of future offshore other than corn? That would not use up diction to oil. As a matter of fact, I oil and gas development were not as much energy to produce. heard many colleagues say we need worth the risk of destroying our price- Americans are paying $3 per gallon at more oil, that we need this oil. But less coastal treasures and our most im- the pump. By the way, in my State, in

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00022 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16588 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 San Diego, I saw gas at over $4 for full CAFE is. The Ten-in-Ten Fuel Econ- time. Then we have this grand com- serve. Talk about sticker shock, pic- omy Act would raise CAFE standards promise in the House headed our way ture that one. There is not one thing in for all vehicles, including SUVs, from that is going to make changes in the this bill about going after the gougers. 25 miles per gallon to 35 by 2017. This is tax laws that impact the top 8,200 What are they afraid of on the other a bill written by my colleagues, Sen- wealthiest families in America. It will side of the aisle? That we will go after ator FEINSTEIN and Senator SNOWE, but cut their taxes and, again, rob the the people who are essentially holding they cannot offer their amendment. Treasury of billions of dollars. Guess us up at the pump every single day? Why? Because the Republicans want to what they say. They didn’t care too They say the gas prices are going protect the oil companies as the price much about that. through the roof because of unrest in for gas goes up. Let me tell the truth about what is the Middle East and Nigeria and com- By closing the SUV loophole, we headed our way, folks. The moderates panies are simply passing along higher could save the equivalent of one Alaska on the House side went over to the costs. If that were true, it would be one National Wildlife Refuge every 7 years. leadership and said—these are the Re- thing. It isn’t true. How do we know? We do not have to drill our way out of publicans—we need to vote on the min- While the American people are suf- this crisis in the God-given wild places. imum wage because we may lose our fering, the oil companies are raking in We just need to be a little smarter. We seats. We are looking crass and cold be- record profits. If this were simply can do it. cause we have never had the ability to about passing along higher costs, the I had amendments I would have of- vote for the minimum wage because oil companies’ profits would be flat. fered that would have said the Federal you never let us get it through. So we I used to be an economics major. It is Government has to purchase the most need to pass a minimum wage increase. pretty basic. If you are passing along fuel-efficient vehicles available. It is The leadership said: We have not costs, your profits are flat. But if you kind of a no-brainer, but I cannot offer done that in 10 years. We are not about are passing along costs plus a huge in- it. The President could issue an Execu- to do it now. But maybe we could fig- crease in profit, your profits are up. tive Order today requiring that. He ure out a way to twist that around and Yes, Senator CANTWELL, who had a won’t do that because he supports the cut back on that minimum wage in- great provision to go after the gougers, oil companies, folks. Follow it, all of crease and let those people at the bot- was not allowed to offer it as an it; it leads back to that one point. tom of the ladder struggle a bit longer amendment. The average fuel economy of the Fed- while we give tax breaks to the Oil executives prosper. We have seen eral fleet was an abysmal 21.4 miles per wealthiest 8,200 families. But we will them, by the way, come before our gallon. I have had, for many years, a send it over to the Senate, and if they committee. Senator CANTWELL and I hybrid car. The new model, if it is driv- vote no because they decide they do tried to swear them in. The Republican en properly, gets over 50 miles per gal- not want to bust the budget, they will chairman would not allow us to swear lon. Surely, we can do better than 21.4 look bad because they have been call- in the oil company executives. I found miles a gallon. ing for an increase in the minimum that to be a bit disgraceful. So they I would have offered an amendment wage. were not under oath. By the way, they to promote research for cellulosic eth- A long time ago when I was a girl, did not tell the truth, either. The fact anol, a type of fuel produced by agri- there was a great man who went up is, transportation fuel costs for fami- cultural waste. Promoting this innova- against Senator Joe McCarthy. He said lies have doubled since the Bush ad- tive fuel will reduce our dependence on to him: Have you no shame? We ought ministration has taken office. Yet we oil and provide our Nation’s farmers to bring out those words again. I say to cannot offer an amendment to go after with new income sources. No, I could my friends, have you no shame? People the oil companies because the Repub- not offer it because they are protecting who work at the minimum wage have licans, who run the House, who run the the oil companies. It all comes back to not had a raise in almost 10 years. You, Senate, and run the White House, do that. Senators, have had a raise almost not want the oil companies to face the With no amendments, we have a nar- every year. How about tens of thou- music. Pretty simple. row drilling bill that busts the budget. sands of dollars of raises? I thought we were a country of, ‘‘by We had an opportunity to work to- Finally, because you are caught be- and for the people.’’ It turns out we are gether across the aisle and come up tween a rock and a hard place, you de- a country of, ‘‘by and for the oil com- with a comprehensive energy bill. But cide to pass an increase in the min- panies.’’ You do not learn that in your instead, we are going to protect the oil imum wage, but you do it over 3 years. textbooks. companies. I never heard any Senator say: I will We have to do better. Democrats So we have more of the same failed take my raise over 3 years. Never, and have written a bill called the Clean policies that, in the end, could, in fact, we get thousands of dollars in 1 year. I EDGE Act that would require increases endanger all of our coasts. never had a colleague come over from in flex-fuel vehicle production, that Once again, we call on the Repub- the other side of the aisle against rais- would make price gouging a Federal lican leadership to start standing up ing the minimum wage, saying: We will crime, would provide incentives for for an energy policy for this country; take our raise in 3 years. We will wait manufacturing hybrid cars, and would not a narrow drilling bill that busts 3 years for another increase. No, we get set minimum fuel economy standards the Federal budget but an energy pol- our cost-of-living adjustment, while for tires. icy that will save the budget of the minimum wage workers are going to Why do you need standards for tires? American people and help our economy wait 3 years. Efficient tires on cars and keeping by being on the cutting edge of these By the way, for some the House bill them inflated to the proper pressure technologies. will be a pay cut. Some States, such as improve mileage and would cut oil con- If a country such as Brazil can do it, my State, where employers cannot re- sumption by 160 million barrels per aren’t we a little embarrassed that we duce the state minimum wage paid just year. But we cannot offer an amend- can’t? We are so far behind, it is ex- because a worker receives tips, will ment. No, we cannot offer an amend- traordinary. I guess when you run the now be allowed to cut that worker’s ment. They are protecting the oil com- Senate for the oil companies, that is wages. panies. Why are we surprised? The what you get at the end of the day. Have you no shame? Anyone in this President is an oil man. The Vice I find it incredible that this Repub- Senate live on $10,000 or $11,000 a year? President is an oil man. lican Congress that is supposed to care Do you think if you work your fingers My Democratic colleagues and I have about fiscal responsibility has thrown to the bone you should be stuck at that worked with Republicans to raise fiscal responsibility out the window. level for 10 long years, while people at CAFE standards. That is the corporate You have this bill that will drain the the top, like us—and, by the way, we average fuel economy. That is what Treasury of over $1 billion a year over are not at the very top, but we are at

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00023 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16589 the top 1 percent or so—we get our And we will have less money for our Bush came into office and reduced the cost-of-living adjustments every single troops and we will have less money for amount of acreage that could be drilled year. our kids. This Senate and this Congress in the Gulf of Mexico at the request of I have so much respect for working has underfunded the No Child Left Be- Florida’s Governor Jeb Bush. people. I have tried every year since I hind Act. Oh, everyone said this was In fact, I rise today in opposition to have been here to give them a pay the greatest thing since sliced bread. this bill not because it opens up areas raise. I want to give them a pay raise And I voted for it. I really thought of the Gulf to drilling, but because it where they can hold their head high George Bush and my Republican protects the west coast of Florida from and support their families, not tell friends would fully fund it. I wrote the drilling until 2022—10 years beyond the them they have to wait 3 years to get afterschool section there. We have a current Presidential moratorium, their full increase after being held to million kids on waiting lists. We can- while providing no additional protec- $5.15 an hour for 10 years. not take them. Funding for that pro- tions for California’s coast. By the way, there are many Repub- gram has been frozen for years now. California should be accorded the licans who do not believe in any min- This President signed the largest in- same protection as Florida gets in this imum wage. There are some I have crease in student loan costs ever and bill. heard who have been here 20 years and the biggest cuts in education ever, but An oilspill would scar our coastline, have voted against it every time. So if they are going to give a big tax break costing billions of dollars and destroy- they had their way the minimum wage to the richest 8,200 families. I do not ing vulnerable marine ecosystems. would be $2.25 an hour. I am waiting for get it. I do not think the American In addition, a healthy coast is vital the Republicans to come up and tell me people get it. We are going to find out to California’s economy and our qual- they want to take their cost-of-living pretty soon. ity of life. Our State’s Ocean-dependent adjustment over 3 years. Then I am We have an energy bill that Leader industries are estimated to generate waiting for them to say, if they have a FRIST would not let us amend. He is $17 billion of revenue each year. spouse who works: If my spouse gets a not letting us offer any amendments to That is why Californians continue to little extra money, I will give back slow our oil addiction, to go after the be nearly united in their opposition to some of my raise—as they have done oil companies, to create a bold, new en- drilling off the coast. Today, 64 percent with their tip policy. ergy policy, get us on the path of en- of Californians oppose drilling, and the I say to those at the very top of the ergy independence. And then, with number of Californians opposing drill- income ladder, the billionaires out Democrats calling for an increase in ing off our coast has only grown. there: You are not asking for this. The the minimum wage for 10 years, they The opposition to drilling off of Cali- truth is, many of us here are very will- give it to us over a 3-year period, when fornia’s coast dates back more than 30 ing to say, on the estate tax, that the they take their raises to the bank. It is years. In 1972, California voters passed exemption should be lifted. We have an outrage. Have they no shame? Have a citizen-initiated proposition which said that. I am on an amendment to do they no shame? I do not know. I do not created the California Coastal Zone that. Because it is true that the price know. Conservation Commission, charged of houses has gone up, and we do not I always say here, sometimes I feel with developing a statewide plan for want to have this estate tax be an on- like Alice in Wonderland, and I feel protecting the State’s coastal re- erous burden to anyone—not to a fam- that way today. But my voice will be sources. In the years that have fol- ily, not to a farmer—and we can work raised on these issues. And the Amer- lowed, 17 cities and 9 counties have it out. But what is coming to us in this ican people will be the judge if these passed voter-approved ordinances op- ‘‘minimum wage train’’ is a lot more are the kinds of priorities they want: a posing oil drilling. than an increase in the minimum wage. drilling bill, no energy independence, In 1994, the California Legislature It is a cruel hoax because it does not no antigouging legislation; a minimum passed a bill that prohibited the ex- give minimum wage workers that raise wage increase, long overdue, that takes traction of oil and gas in State waters. in a year—after they have waited for 10 away money from some minimum wage Every year since the passage of this years. earners; and two budget-busting bills— law, the State legislature has passed And for those workers that receive this one and the one that has the es- joint resolutions opposing oil drilling tips, it may actually decrease their tate tax cut—that are going to add bil- off the California coast. wages if they live in one of six states, lions and billions to our debt. By the The Governor, the California Re- including California, that doesn’t re- way, in closing, we should know who sources Secretary, the Secretary of duce the minimum wage employers carries that debt: foreign countries, California Environmental Protection must pay because they get tips. And, of folks. They pick up the bonds. If they Agency, and the Lieutenant Governor, course, it is coupled with this big gift decide to take their money and go have all been on record supporting the to the richest families of America, home, we are left in a mess. moratorium on offshore oil and gas which means, at the end of the day, So I hope the American people are leasing activities off the coast of Cali- millions—hundreds of millions—and listening in on these debates. I look fornia. eventually billions of dollars will be forward to discussing these matters as Resources Secretary Mike Chrisman, drained from the Federal Treasury. they come up before the Senate. who is also the chairman of the Cali- And the very people who claim to be I thank my colleague very much for fornia Ocean Protection Council, has in fiscally responsible are at it again, his patience. fact stated: adding to the deficit, adding to the Mrs. FEINSTEIN. Mr. President, I Any pending federal legislation regarding debt. rise today to oppose S. 3711, which will Outer Continental Shelf (OCS) oil and gas This is really a time for people to allow drilling in the gulf and create a leasing must retain all protections from the stand up and be counted. This is really new revenue-sharing scheme to provide Congressional leasing moratorium and a time to speak the truth. This is a additional resources for the Gulf should seek to make these protections per- tough time in the world. All of us are States. manent. heartsick about what is going on in the Let me first say that I am not op- Governor Schwarzenegger has sent a world, and we all pray for an end to the posed to drilling in the gulf. In fact, in letter to every Senator expressing his fighting, not only in Lebanon and in 2001, I voted to open a portion of the ‘‘opposition to any measure that would Israel but in Iraq where things are de- gulf, known as lease sale 181, to drill- weaken the national oil and gas leasing teriorating every single day. Hard ing. That vote was a codification of the moratorium that has been protecting times. In the middle of these hard agreement between former President the California coast for the last 25 times, is this the time to say to the Clinton and the former Governor of years.’’ wealthiest 8,200 families: ‘‘We are wor- Florida, Lawton Chiles. Yet the agree- I will ask that the Governor’s letter ried about you’’? ment was repudiated after President be printed in the RECORD.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00024 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16590 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 This bill cannot be viewed in a vacu- Perhaps most importantly, though, I ask unanimous consent that the um. Last month, the House of Rep- the bill would save consumers as much Governors letter to which I referred be resentatives passed a bill that would as $2,500 over the life of a vehicle. printed in the RECORD. lift the current moratoria that exists So if we are serious about bringing There being no objection, the mate- for the Pacific and Atlantic coasts. down the cost of gasoline at the pump, rial was ordered to be printed in the Congressman POMBO, a key sponsor this amendment would be considered RECORD, as follows: of the House bill, has said that the and adopted by the Senate. GOVERNOR ARNOLD SCHWARZENEGGER, House will not accept the Senate bill. And if we want to have a real impact July 12, 2006. Congressman BARTON, chairman of the on natural gas prices, we would be pro- Hon. , House Energy and Commerce Com- moting energy efficiency. Senate Office Building, mittee, said on Wednesday, July 26, California has proven that energy ef- Washington, DC. that ‘‘we would certainly encourage— ficiency works—through the most ag- DEAR SENATOR FEINSTEIN: I am writing the Senate—to go broader’’ than allow- gressive energy efficiency policies in each member of the to express my extreme disappointment about ing drilling in the gulf. the Nation, the State has kept its per Without a concrete commitment the recent action taken by the House of Rep- capita energy use flat while the rest of resentatives to approve the Deep Ocean En- from the House leaders that they will the Nation’s energy use has increased ergy Resources Act (DOER). take up the Senate bill and pass it by 50 percent. I have repeatedly expressed my opposition without amendment, I cannot support That is why Senator SNOWE and I to any measure that would weaken the na- this bill. wanted to offer an amendment on tax tional oil and gas leasing moratorium that I would also like to express my dis- incentives for consumers to install the has been protecting the California coast for appointment that we have been denied most energy efficient technologies in the last 25 years. When I ran for Governor, I promised the people of California that I an opportunity to offer amendments to both residential and commercial build- this bill. would do everything in my power to oppose ings. efforts to weaken federal protections against First, I believe we need a vote on an While proponents of the underlying amendment I have cosponsored, au- offshore oil drilling. The DOER would be the bill say that lease sale 181 and 181 beginning of the end of these protections thored by Senator MENENDEZ, which south will provide 5.83 trillion cubic that we have enjoyed for the last 25 years. In would extend the moratoria for the Pa- feet of natural gas, our amendment fulfilling my promise to all Californians I cific and Atlantic coasts through 2022. would save 7 trillion cubic feet of nat- continue to oppose this bill in the strongest For California, this would extend the ural gas. In other words, we can save terms. Federal moratorium by 10 years as it is I have been asked to consider new amend- more natural gas through the Snowe- ments to the bill, but I can tell you that cer- set to expire in 2012. Feinstein energy efficiency tax incen- This amendment would provide the tain things are not negotiable. Our coast is tive package than from lease sale 181 same protections to California as the not for sale and no amount of promises of and 181 south combined. money or other ‘‘incentives’’ will alter my underlying bill does for Florida. In so I also have significant fiscal concerns position on that. California has the most ag- doing, the amendment would reliably with the underlying bill. gressive energy-efficiency measures in the protect the California coast by enact- While I commend Senator LANDRIEU nation. Because of our efforts, California’s ing a long-term legislative morato- for shepherding a proposal through the per capita energy use has remained nearly rium. flat, while nationwide energy use has in- Senate that will generously benefit her But we will not be allowed to con- creased by nearly 50 percent. State, I have concerns about the cost sider this, or any other amendments Let us change this debate and start talking of the proposal. that would promote energy efficiency about a comprehensive energy policy that in- According to estimates, the bill will and new energy technologies. corporates the full range of energy efficiency With oil prices at $75 per barrel, and cost the Treasury approximately $20 measures and alternative energy sources that can keep this nation running strong natural gas almost $7 per million Btus, billion from fiscal year 2007 through fiscal year 2055. now and for generations to come. we need real fixes to our energy prob- I urge you to oppose the Deep Ocean En- lems. This bill creates a new permanent Federal entitlement for just four ergy Resources Act and to also oppose any Unfortunately, the underlying bill is amendments intended to make this bill ap- not going to fix this nation’s energy States that could cost the Federal pear acceptable to the American people. Ab- problems. Treasury $12–15 billion per year in 2056 sent an amendment that would uphold the I have also filed an amendment, with and every year thereafter. current moratorium in perpetuity this bill is the bipartisan support of Senators At a time this Nation is facing a an unacceptable approach and no amount of SNOWE, DURBIN, CHAFEE, INOUYE, COL- mounting national debt of $8.4 trillion tinkering will fix it. Sincerely, LINS, CANTWELL, LAUTENBERG, BOXER, and a crushing Federal deficit of $300 ARNOLD SCHWARZENEGGER. MENENDEZ, LIEBERMAN, and REED to in- billion, we should not be creating a crease fuel economy standards by 10 new entitlement program for four LAND AND WATER CONSERVATION FUND miles per gallon in 10 years. States that could cost us hundreds of Mr. ALEXANDER. Mr. President, I Not only is this technologically fea- billions of dollars over the next cen- commend the chairman of the Com- sible to do today, the proposal would tury. mittee on Energy and Natural Re- also save more oil in just over 1 year We are already struggling to meet sources for his leadership in moving than the underlying bill will generate. our long-term commitments and face a this bill to the floor. Is it his under- Specifically, this amendment would looming entitlement crisis as baby standing that the conservation and save 2.5 million barrels of oil per day boomers retire, straining the already outdoor recreation royalty established by 2025, the same amount of oil we cur- overextended Social Security and by his legislation has tremendous value rently import from the Persian Gulf Medicare systems. for the stateside program of the Land every day. For all these reasons, I am going to and Water Conservation Fund over the That translates into 912.5 million vote no on cloture and no on the bill. long term? barrels of oil per year, or just less than Before I close, though, Mr. President, Mr. DOMENICI. Yes, the Senator the 1.25 billion barrels that the under- I would like to say that Senator LAN- from Tennessee is correct. Those who lying bill would generate. DRIEU has been a tireless advocate for want to make sure our citizens have Increasing fuel economy standards her constituents. I had hoped to sup- access to the great American outdoors would also prevent 420 million metric port her in her efforts to restore coast- have long advocated the principle that tons of carbon dioxide from entering al Louisiana. some of the funds from offshore oil and the atmosphere, or the equivalent of Unfortunately, though, given the po- gas drilling should become a royalty taking 90 million cars—or 75 million tential for a bill to come back that for conservation and outdoor recre- cars and light trucks—off the road in 1 would threaten California’s coast, I ation, providing a reliable and perma- year. must vote against this bill. nent stream of funding for the Land

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00025 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16591 and Water Conservation Fund. This room for improvement. I would share had on their input costs, straining even basic concept was proposed in 1962 by the Senator’s interest in adding to the the most efficient farms. the Outdoor Recreation Resources Re- stateside funding in the Senate com- Whether high natural gas prices or $3 view Commission—also known as the mittee mark if appropriate offsets can gas at the pump, high energy costs Rockefeller Commission—and it was be found. In fiscal year 2007, zero reve- take a toll on all Americans, which is also a primary recommendation of nues will be allocated to stateside why I will vote in favor of the Gulf of President Reagan’s Commission on LWCF from this conservation royalty Mexico energy bill that will provide Americans Outdoors in 1986. This legis- because it will take time for the new 1.26 billion barrels of oil and 5.8 trillion lation is an important first step in the areas to be brought on line and begin cubic feet of natural gas. Yet I believe right direction, one that has been 40 producing. So we will need to appro- this bill is only a piece of the larger en- years in the making. priate funding in fiscal year 2007 to fill ergy mission America must accept. Mr. SALAZAR. I join the Senator that gap. Clearly, Americans feel the strain of from Tennessee in expressing my ap- Mr. SALAZAR. That would certainly high energy costs at home, in the car, preciation for Chairman DOMENICI’s be in the interest of all Americans. Of and at work, but all must realize our leadership, and I wish to thank both of course, we commit to working together foreign oil dependence threatens our my colleagues for working with me on to support LWCF with supplementary very economy and national security. providing this permanent funding appropriations beyond the next fiscal I would like to ask the majority lead- stream for the LWCF stateside grant year as well. Only constant vigilance er about the importance of fuel inde- program. This program supports the and steady support will ensure that the pendence to our national and economic state and local parks and recreation provision providing a permanent security and the need to build upon the projects that improve the quality of all stream of funding for LWCF in the bill Gulf of Mexico energy bill by consid- Americans’ lives, and enables Amer- before us acts as it was intended—as a ering, on this floor, additional energy ican families to enjoy our precious nat- strong and growing core, but not the proposals that will help to secure our ural resource of open spaces. totality, of support for this vital pro- energy future. Mr. FRIST. I thank my friend, the Mr. ALEXANDER. Would the Sen- gram. Senator from Minnesota, for his ques- ator from New Mexico clarify whether Mr. ALEXANDER. I thank the Sen- tion because I truly believe energy se- this conservation and outdoor recre- ator from New Mexico, and look for- curity is one of the great challenges ation royalty would prevent additional ward to working with him to ensure this Congress must continue to ad- appropriations for the Land and Water adequate funding for the Land and dress. Conservation Fund stateside program? Water Conservation Fund. As we all know, America is dan- Ms. COLLINS. I would also like to Mr. DOMENICI. No, it would not. The gerously dependent on foreign sources thank Chairman DOMENICI, as well as LWCF stateside program will continue of energy—much of it coming from Senators ALEXANDER and SALAZAR, for to be eligible to receive funding in the countries with unstable governments confirming that the LWCF funds pro- appropriations process just as it is cur- or with interests contrary to those of vided by this legislation are intended rently. The mandatory funding stream the United States. And this disparity as additional funds to supplement the established under this bill would not will only increase if we do not take ac- replace appropriated funding, and does program, not a replacement for full tion to increase the amount of Amer- nothing to disadvantage the program funding through the normal appropria- ican energy that we use here in Amer- in the appropriations process. tions process. I would also note that ica. The bill before us today, the Gulf Mr. SALAZAR. The Senator from over 50 senators signed the Collins- of Mexico Energy Security Act, will do New Mexico makes a critical point. Salazar-Alexander letter in support of just that. As my friend from Minnesota The projected revenues for the LWCF $100 million in funding for LWCF-state- mentioned, it will reduce our depend- stateside program under this bill are side in fiscal year 2007. As evidenced by ence on foreign oil and natural gas by important, but they are not sufficient this support, this program is abso- opening more than 8 million acres in to keep that program, which has con- lutely vital to communities through- the Gulf of Mexico to domestic explo- tributed to the improvement of 98 per- out the Nation. Almost every county in ration. The area opened up under this cent of the counties in the United the Nation has taken advantage of this bill is estimated to contain 1.26 billion States since 1964, strong and vital. And program to conserve open spaces or barrels of oil and 5.8 trillion cubic feet I know that all of us aim to bolster the build playgrounds, ballparks, and of natural gas. LWCF stateside grant program, and to trails. I sincerely hope the Senate will However, as I said on the floor last achieve the level of support envisioned restore this historic level of funding week, while this bill is a critical step by Congress’s authorization. So we through the appropriations process, in toward addressing the energy chal- must supplement the revenues directed addition to those funds that will be lenges we face, it is only a first step. to LWCF under this bill with meaning- made available under this bill. There is more that we can—and must— ful annual appropriations. I have spo- Mr. ALEXANDER. I thank the Sen- do to break what the President called ken to the majority leader about this ator from Maine. our ‘‘addiction’’ to oil. We must diver- issue as well, and he has assured me SECURING OUR ENERGY FUTURE sify our energy resources, increase the that he shares my concerns. I look for- Mr. COLEMAN. Mr. President, I rise use of renewables and alternative ward to working with him and with all today to speak about America’s energy sources such as ethanol and biodiesel, of my colleagues on this issue in the crisis, and I am glad to see that my clean coal technology, and nuclear years ahead. friend, Majority Leader FRIST, is on power, and we must take steps to re- Mr. ALEXANDER. Would the Sen- the floor to discuss this issue with me. duce consumption by consumers. Fi- ator from New Mexico support an ap- High natural gas prices continue to nally, we must do more to encourage propriation of $100 million in fiscal be a terrible burden for Minnesota’s the development of the innovative new year 2007 for stateside LWCF? families and businesses. High natural technologies that will wean us off of Mr. DOMENICI. I was pleased that gas prices had a severe impact on Min- foreign oil in the future. the Senate Committee on Appropria- nesotans last winter—I am sure many Mr. COLEMAN. Mr. Leader, I appre- tions included $30 million for the state- of my colleagues remember the push ciate those comments. Some people side program in the fiscal year 2007 In- that I, along with Senators SNOWE and dismiss such an ambitious goal as re- terior and Related Agencies appropria- COLLINS, made early this year for ducing our growing dependence on for- tions bill. This was a significant im- emergency LIHEAP assistance—assist- eign oil, but I recall a time when the provement over the President’s budget ance the majority leader helped us de- Moon was also once out of reach. We request and the House Interior bill, liver. Moreover, I don’t need to remind all know the power of America’s inno- both of which zeroed out stateside for my farm State colleagues of the severe vative, relentless spirit when called to the second straight year. Still, there is impact high natural gas prices have an objective, no matter how formative.

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So, this was an ideal occa- are subject to the whims of Hugo Cha- independence and to have additional sion to consider this legislation—as vez in Venezuela or the political sta- exploration, development, and produc- part of the debate over an overall en- bility of Nigeria. The fact is that coun- tion activities where they can be done ergy policy aimed at lessening depend- tries rated by Freedom House as ‘‘not in an environmentally safe way. ence upon foreign oil. I believe that, all factors considered, free’’ produce more than two-thirds of A second part of S. 2557 provided that S. 3711 is, on balance, at a close ques- the world’s oil and have nearly 80 per- OPEC would be subject to our antitrust tion, worthy of enactment. But I think cent of the proven reserves. laws. It is obvious that OPEC is a car- it would have been vastly preferable I believe the imperative is clear: tel that fixes output and prices for oil, had the leader not filled the tree so as America must free itself from its oil an arrangement that would violate our to prevent further amendments so that dependence, and I believe the solution antitrust laws. However, they are cur- the Senate could have undertaken a is also clear: renewable energy and en- rently exempt. By statute, we could broader examination of energy issues, ergy conservation. The Vehicle Fuel bring them under our antitrust laws. It done more than just authorize further Choices for American Security Act would have made a lot of sense to do exploration but instead taken positive that I have coauthored and now has 27 that, especially at a time when we are steps on other important lines. cosponsors lays out an ambitious plan considering the legislation now pend- For example, I filed an amendment for saving 2.5 million barrels of oil per ing, S. 3711. day in 10 years, roughly the amount of numbered 4741, which would have made oil we currently import from the Mid- very significant changes in the anti- In addition, I believe it would have dle East, through renewables and en- trust laws in the United States, which been very beneficial to our national en- ergy conservation. Further, the bill would have had a significant impact on ergy policy to have considered an will promote E85 fueling infrastructure reducing our dependence on OPEC oil amendment offered by Senator BINGA- and speed the development of cellulosic and would have promoted competition MAN, No. 4692, which provides for oil ethanol, while investing in the develop- in the oil industry by taking a firm conservation. Senator BINGAMAN and I ment of efficient vehicle technologies stand against anticompetitive mergers. have cosponsored legislation in the and assisting auto manufacturers’ The oil and gas industry has seen past which would have lessened the transition to fuel-efficient vehicle pro- over 2,600 mergers since the 1990s, in- amount of oil projected to be consumed duction. cluding transactions involving the in the United States under an oil con- Last week, chairman of the Energy largest oil companies in the nation, servation system. When we are consid- and Natural Resources committee, and like Conoco’s merger with Phillips, ering S. 3711 and we are considering the my good friend, PETE DOMENICI ex- Chevron’s merger with Texaco, Exxon’s basic issues as to how to achieve en- pressed on the floor his affinity for the merger with Mobil, Ultramar Diamond ergy independence for the United ideas in this bill, and a portion of the Shamrock’s merger with Valero, and States, and provide security for the bill has already received a hearing in many others which will be specified in United States, there are other avenues the Energy Committee. Mr. Leader, a statement I will append at the con- that this legislation should have ex- will you work with me to develop an clusion of these extemporaneous re- plored. However, we were prevented energy package that boosts our renew- marks. from doing so by the procedures adopt- able fuel production and energy con- My amendment would have required ed by the Republican leadership, which servation? the Government Accountability Office precluded additional amendments. I Mr. FRIST. I will tell my good friend to study whether remedies ordered by think that is contrary to the public in- from Minnesota that I do not consider the antitrust enforcement agencies to terest, and I expressed that view to the the Gulf of Mexico energy bill to be the ensure that mergers do not substan- leadership. last word on energy policy this year. I tially lessen competition have been I thought we ought to have an oppor- am well aware of your proposals pro- adequate. Once the study was com- tunity to consider additional ways of moting renewables and energy con- pleted, the antitrust enforcement agen- achieving energy independence. Once servation, and I look forward to work- cies would then be required to consider the so-called tree is filled, you cannot ing with the Senator and Chairman whether any additional remedies are offer any further amendments, so that DOMENICI on many of these important necessary. I could not offer amendment No. 4741, ideas in the months ahead. The amendment would have required which is the legislation reported out of Mr. COLEMAN. Mr. President, I the Federal Trade Commission and the the Judiciary Committee under the thank the Senator for his support and Justice Department to consider wheth- caption S. 2557, the Oil and Gas Indus- leadership on energy issues. I believe er current merger laws are adequate, try Antitrust Act of 2006, nor could we America faces a great threat in foreign given the particular problems that take up the amendment offered by Sen- oil dependence, but more importantly, exist in the oil and gas markets. The ator BINGAMAN on oil conservation. I I believe in Americans’ ability to ac- thrust is to determine whether we need think that is most unfortunate. Once complish the impossible. I know if Con- to change the Clayton Act to make it the tree is filled and these amendments gress will put forth a vision and pro- tougher to get massive mergers in cannot be offered, there is no alter- vide the tools to accomplish that vi- these markets approved. native but to move for cloture, move to sion, Americans can break our addition I know there are those who contend complete action on the bill so that we to foreign oil. that the mergers provide efficiencies. can take up other important matters I yield the floor, and I suggest the ab- But I think it is virtually incontrovert- to come before the Senate which are sence of a quorum. ible that these mergers lessen competi- awaiting action on the docket. The PRESIDING OFFICER. The tion. When you have Exxon and Mobil clerk will call the roll. and the other oil companies merging, I ask unanimous consent that the The bill clerk proceeded to call the there simply is less competition. This full text of my remarks be printed in roll. amendment stops short of amending the RECORD Mr. SPECTER. Mr. President, I ask the Clayton Act, but does require a There being no objection, the state- unanimous consent that the order for study to see if the Clayton Act ought ment was ordered to be printed in the the quorum call be rescinded. to be changed. RECORD, as follows:

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FLOOR STATMENT OFFERING S. 2557, THE OIL remedies ordered by the antitrust enforce- knows that if it lowers its prices, other com- AND GAS INDUSTRY ANTITRUST ACT OF 2006 ment agencies to ensure that mergers do not petitors will notice and lower theirs. As a re- AS AN AMENDMENT TO S. 3711, THE GULF OF substantially lessen competition have been sult, a competitor does not have the normal MEXICO ENERGY SECURITY ACT OF 2006 adequate. Once the study is complete, the incentive to sell more by lowering its prices. Mr. President, I seek recognition to speak antitrust enforcement agencies must con- Such conduct frequently results when com- on my amendment that I have filed to S. sider whether any additional remedies are petitors can easily share information with 3711, The Gulf of Mexico Energy Security Act necessary. My amendment also requires the each other. In other words, actual conspiracy of 2006. My amendment was reported by the FTC and Justice Department to consider may not be needed. As Tom Greene, the Sen- Judiciary Committee earlier this year as a whether current merger laws are adequate ior Assistant Attorney General for California stand-alone bill, S. 2557, The Oil and Gas In- given the particular problems that exist in testified, ‘‘[T]he more concentrated the in- dustry Antitrust Act of 2006. My amendment oil and gas markets. dustry, the less explicit the communications fits in well with the goals of S. 3711 because During its hearings, the Judiciary Com- that are required to organize prices and limit it is aimed at ensuring that the oil and gas mittee also heard testimony from the oil production.’’ industry is responding to the forces of supply companies. They argued that the market for U.S. oil companies appear to have several and demand, not market manipulation. crude oil is a ‘‘world market’’ and they could mechanisms by which they are able to share Over the years, the oil and gas industry in not possibly affect the price. This contention market information. The Judiciary Com- the United States has become significantly may be true. Pretty much everyone knows mittee came to no conclusions as to whether more concentrated. Over 2,600 mergers have that the ‘‘big boys’’ in the world oil market the sharing of information among U.S. oil occurred in the industry since the 1990s, in- are the members of OPEC. They openly exer- companies is truly a problem, so my amend- cluding transactions involving the largest oil cise their market power in the world market ment directs the Federal Trade Commission and gas companies in the nation. for oil. OPEC is a cartel engaged in limiting to study the Issue. As recently as March, the Department of the supply, and in doing that, fixing the As I have said, my amendment will help Justice approved Conoco-Phillips’ acquisi- price of oil. Cartels violate U.S. antitrust ensure that the oil and gas industry is re- tion of Burlington Resources, a merger that laws. They violate Section 1 of the Sherman sponding to the forces of supply and demand, created the Nation’s largest natural gas Act, which prohibits agreements in restraint not market manipulation. I understand that company and the third largest oil company. of trade. we are not able to vote on amendments to S. The Federal Trade Commission also re- Since OPEC members sell their product to 3711, but I urge my colleagues to suppose the cently approved Occidental’s acquisition of the United States, they would normally be Oil and Gas Industry Antitrust Act of 2006 at Vintage Petroleum, a transaction that would subject to U.S. antitrust laws. However, cer- such time as it receives a vote. create the fifth largest U.S. oil company. tain judge-made laws prevent the Justice De- Mr. SPECTER. Mr. President, in the Last summer, the FTC approved Chevron’s partment from prosecuting OPEC members absence of any other Senator seeking acquisition of Unocoal and Valero’s acquisi- for fixing the price of oil. My amendment recognition, I suggest the absence of a tion of Premcor. The latter transaction cre- would eliminate those laws and allow the ated the Nation’s largest refiner. quorum. Justice Department to pursue price fixing by The PRESIDING OFFICER. The In 2002, Valero acquired Ultramar Diamond OPEC members. As I said at the outset, my Shamrock and Phillips merged with Conoco. amendment ensures that petroleum markets clerk will call the roll. In 2001, Chevron bought Texaco and are responding to the laws of the supply and The assistant legislative clerk pro- Ultramar Diamond Shamrock acquired demand, not the manipulation of a few coun- ceeded to call the roll. Total. tries, or a few companies, or a few corporate Mr. SPECTER. Mr. President, I ask The year 2000 saw the merger of British pe- executives. unanimous consent that the order for troleum and ARCO. The largest transaction occurred in 1999 While the U.S. companies may not control the quorum call be rescinded. when Exxon merged with Mobil. the world market for crude oil, the market The PRESIDING OFFICER. Without Other transactions have included British for refined products is different. At the level objection, it is so ordered. petroleum’s acquisition of Amoco, Mara- of production where crude oil is turned into Mr. SPECTER. Mr. President, I ask thon’s joint venture with Ashland Petroleum gasoline and heating oil and other refined unanimous consent that at 5 p.m. on and another joint venture that combined the products, the major U.S. oil companies do Tuesday, August 1, the two pending refining assets of Shell and Texaco. exercise market power. At the Judiciary Committee’s hearing, Severin Borenstein, amendments be withdrawn, S. 3711 then As an industry becomes more con- be read the third time, and the Senate centrated, the remaining competitors are who is a Professor of Business and Public able to exercise market power and prices in- Policy at Berkeley and holds a Ph.D. in eco- proceed to a vote on passage of the bill, evitably rise. Market power is a particular nomics from M.I.T., testified that ‘‘market with no intervening action or debate; problem in the petroleum industry because power in the refining industry is becoming a provided further that no motions to consumers are generally unable to respond serious problem.’’ proceed be in order during Tuesday’s to rising prices. While some conservation is Significant anecdotal evidence exists that session of the Senate. possible, consumers still must get to work the major oil companies exercise market The PRESIDING OFFICER. Without and, as prices rise, homeowners generally do power in refined product markets. For exam- objection, it is so ordered. not stop heating their homes. As a result, ple, during an investigation involving gaso- even moderate increases in concentration line price spikes in the Midwest, the FTC f can provide oil and gas companies with sub- concluded that at least one firm had excess MORNING BUSINESS stantial market power. supplies—and capacity to produce even The Judiciary Committee held two hear- more—but had limited the amount that it Mr. SPECTER. Mr. President, I ask ings on the issue of concentration in the oil sold in order to keep prices high. My amend- unanimous consent that there now be a and gas industry earlier this year. The Com- ment would address some of this conduct by period for the transaction of morning mittee heard considerable testimony indi- clarifying that it is unlawful for oil and gas business, with Senators permitted to cating that concentration and market power companies to divert, export or refuse to sell speak for up to 10 minutes each. could impact prices. At one of the hearings, existing supplies with the intention of rais- The PRESIDING OFFICER. Without Joseph Alioto, an attorney who is currently ing prices or creating a shortage. objection, it is so ordered challenging the Shell/Texaco transaction Increased concentration not only conveys that I just mentioned, testified that after market power, it makes conspiracy easier. f the transaction, Shell and Texaco increased At the hearings conducted by the Judiciary MINIMUM WAGE AND THE ESTATE the price of Texaco gasoline, which had tra- Committee, David Boies, the antitrust liti- TAX ditionally been lower than the price for Shell gator that prosecuted Microsoft for the Jus- gasoline. Later, the companies raised prices tice Department, testified about evidence Mr. KENNEDY. Mr. President, I rise for both brands of gasoline—by 50 to 70 per- that British Petroleum and Exxon have con- because this week is going to be enor- cent in some areas. In another example, an spired to limit the supply of Alaskan natural mously important for the American FTC investigation uncovered internal com- gas that is sold. Boies testified that Exxon people and also enormously important munications indicating that one major oil and British Petroleum had ‘‘decided between in terms of deciding what kind of coun- company had exported Alaskan oil to East themselves that they would prefer to with- try we are. Over the period of these Asia in an effort to reduce supply and raise hold this gas and maintain artificially high last 4 months, I have had the oppor- natural gas prices throughout the U.S.’’ prices on the West Coast. That company tunity, the responsibility given by the clearly knew that it had the ability to exer- Current antitrust laws prohibit such con- cise market power in West Coast markets. duct, but collusion is not always so straight- Senate, to serve on the pension con- My amendment would require the Govern- forward. Simply put, if there are few enough ference with a number of our col- ment Accountability Office to study whether competitors in a market, each competitor leagues on our side, and a number of

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What does the Repub- tainly provisions that are included in resentatives has added an increase in lican Senate want to have us do? Have the conference that I would not have the minimum wage to an estate tax cut another tax cut for the largest fortunes included. We were meeting as late as 1 for the wealthiest individuals in this in this country. o’clock in the morning last Thursday country. That is what they did, think- What has happened in terms of chil- night in order to conclude the con- ing if they put these together maybe dren over the period of the last 4 years? ference itself. those of us who believe in an increase We have seen a dramatic increase in As would happen in a situation like in the minimum wage will go ahead the number of children who are living that, I think there were gaps in the and support this because we are so in poverty. There are 1.4 million more final recommendations which I wish we committed to the rise in the minimum children living in poverty. There has had addressed, but we will have an op- wage. been no increase in the minimum wage. portunity to deal with those issues No one in this body is more com- The list goes on. If you look at what later this week. It will be enormously mitted to an increase in the minimum has happened to the purchasing power important. wage than am I, but I am going to fight of the minimum wage, it has actually I am in strong support of the pen- this fraudulent—I think arrogant—de- gone down some 21 percent. Yet the sions legislation. But, also, later this cision by the Republican leadership, spread between the most wealthy indi- week we are going to consider legisla- disdaining, effectively, and dishonoring viduals and the most needy individuals tion that is coming over from the hard-working Americans by going has never been more dramatic in the House of Representatives on the estate about with this gimmick of adding an history of this country. tax. Attached to that estate tax—it is increase to the minimum wage to legis- We have an opportunity—we will not a new issue for this body—attached lation on the estate tax. have—to try to do something, hope- in the House of Representatives has If you look at who is for the increase fully, about an increase in the min- been an increase in the minimum wage, in the minimum wage, you will see imum wage. If it were here before the with which I have been involved over a only 22 percent of Americans support Senate, there is a majority of the Mem- long period of time. Actually, since I the repeal of the estate tax, and 86 per- bers of the Senate who support an in- crease in the minimum wage. But we came to the Senate, I have been in- cent of Americans support raising the are not given that opportunity. We are volved in increasing the minimum minimum wage. Why, I wonder. It is not given that opportunity to just vote wage, championing that with many fair enough to say to whom the bene- on that issue and then vote separately others. Years ago we had Republicans fits are going to go if we consider a in terms of the increase in the estate and Democrats who supported the in- piece of legislation. That is a fair tax. No, no; we are not given the oppor- crease in the minimum wage. Now un- enough rule. Who is going to benefit tunity to do that. Republicans say you fortunately—fortunately, in the last and who is going to lose out? If you have to take both or you don’t get an vote that we had on the minimum look at the estate tax, you will see increase in the minimum wage. wage, we did have eight Republicans there will be 8,200 of the richest heirs That is a contemptuous attitude— who supported it. We have a clear ma- in the country. Some have called this not toward those of us who are for the jority in the Senate for an increase in the Paris Hilton tax giveaway; 8,200 of increase but for those workers, men the minimum wage. the richest heirs will receive a tax and women of dignity. They work hard, The American people overwhelm- giveaway close to $1.4 million per es- work long, work in our schools, work ingly support an increase in the min- tate. The total cost will be $753 billion to look after our senior citizens, work imum wage. It has not been increased for the first 10 years of full implemen- to clean the great buildings of Amer- in the last 9 years and over a cor- tation, according to the Center of ican commerce—men and women of responding period of time we here in Budget and Policy. dignity, and you are saying they can’t the Senate have increased our own pay We are talking about a very modest have what ought to be a right in the more than $30,000. We increased our increase in the minimum wage, to richest country of this world: If you own pay more than $30,000 during that $7.25. But what will happen to those in- work hard and play by the rules, you same period of time, but the Senate dividuals? As long as they are still and your family should not live in pov- has refused to address an increase in below the poverty line they are going erty. the minimum wage for the American to be eligible for a number of the pro- Oh, no. They say: No, you have it workers who are at the lowest rung of grams that we have out there that have wrong over there for an increase in the the economic ladder. been built in to try to help and assist minimum wage, unless we are going to Most Americans believe a job ought hard-working Americans who are being provide another tax benefit for the to get you out of poverty. But those on hard pressed because they don’t have most wealthy individuals in the coun- the other side believe if you have a adequate income. What we have seen in try—then you can have an increase. minimum wage job, you ought to re- the most recent 5 years is cuts in Med- That is a contemptuous attitude. main in poverty. That is a very big, icaid, cuts in food stamps, cuts in vet- Beyond that, what this proposal con- very major difference. erans programs, and cuts in unemploy- tains is an ingenious proposal, sug- What we have seen across the coun- ment insurance. That has been the gested by the restaurant association. try, however, is sort of a wildfire of record in the past, and that will be the They say: People who work for tips in support for increases in the minimum record in terms of the future, trying to the restaurants, they often make $5.25 wage. We have had a number of States make up for that $753 billion. These are an hour. They often make that in tips. that have offered the minimum wage the programs, Medicaid programs that, So why are we required to pay them? increase on the State ballots. We have by and large, look after children, long- They were able to persuade Repub- seen increases in Florida, increases in term care for the elderly, the Food licans—this is strictly a Republican Nevada. In more recent times we have Stamp Program—again, for those who proposal—to say: If they are going to seen increases in Arkansas, the home are in very serious need. receive tips, you are only required to of Wal-Mart, and increases in North That is really what we are faced pay $2.13 an hour. The rest can be made Carolina. The campaigns for increases with. What have we seen over the pe- up in tips. That person still effectively in the minimum wage are alive and riod of these last few years? Let’s look gets the minimum wage. But the res- well in many different States across at what has been happening to our fel- taurant doesn’t have to pay that. Do

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In an effort to save on overall pub- hour, you have to pay the $5.15 an hour. you vote to give the wealthiest individ- lic spending, the bill gives priority to The States have said it. Seven States uals another bouquet, another bouquet. applicants who serve individuals who have said that. About 30 States have How contemptuous can it be? have proven to be more expensive to done somewhat in between, but seven At another time later in this de- the public health system and to law en- States have said: You have to pay the bate—I know we have limited time. forcement. Additionally, S. 709 requires whole thing. There are others who want to speak on that the grantee match the Federal The Congress has said an increase in the underlying bill. I look forward to funds received, and the match require- the minimum wage—a tip is a tip. That addressing the Senate in greater detail ment increases over time. It is impor- goes with the territory. I wonder how on this issue and also on the pension tant to note that the amount of fund- many Americans, when they go into issue, which is going to be extremely ing an applicant receives cannot rise the restaurant and they are thinking important. above the rate of inflation. Finally, the about being served, try to figure out— I reserve the remainder of my time bill ensures accountability by requir- and yield the floor. I wonder, should I give this person $1 or ing grantees to report on their per- $2 because they really are only getting f formance. This effort is to ensure that $2.13 an hour paid by the restaurant. Of SERVICES FOR ENDING LONG- chronic homelessness is being reduced, course they don’t. If the service is good TERM HOMELESSNESS ACT thus reducing costly mental health and they give them something to show Mr. HATCH. Mr. President, as a substance abuse problems, and increas- their appreciation for it. member of the Senate Health, Edu- ing education and employment. What have our Republican friends cation, Labor, and Pensions—HELP— Mr. President, I support strongly the said? We don’t like the fact that States Committee, I rise to express my sup- goals of this bill and I believe our con- have made that judgment, that deci- port for the Services for Ending Long- tinued economic expansion and im- sion. We know more than the seven Term Homelessness Act, S. 709, as in- proving Federal budget will enable us States that said you have to pay the troduced by Senator MIKE DEWINE. to fully implement the objectives of full fare. We in the Senate of the Many low-income housing advocates this bill and end homelessness in this United States are saying you don’t in Utah have asked me to cosponsor country forever. know what is necessary in your State, this important legislation because it f about paying an adequate sum to those establishes a grant program, run by the IRAQ RECONSTRUCTION FAILURES workers. So we, the Congress, are going Substance Abuse and Mental Health to tell you, the State, and tell your Services Administration, SAMHSA, for Mr. LEAHY. Mr. President, we workers, that we, the Republicans in services to end chronic homelessness. learned this past week of the latest ex- the Senate and the House of Represent- In Utah alone, there are approximately ample of the colossal waste, fraud and atives, are going to say we are going to 1,900 chronically homeless individuals abuse in the administration’s recon- tell you that you only can pay $2.13. whose lives are in a constant state of struction program in Iraq. I hope we don’t hear any more about peril because they are repeatedly Documented in the Special Inspector the one big solution to all of the prob- homeless for long periods of time. They General’s report released last Friday is lems back home. How many times do usually have one or more disabilities, the fiasco of the Basra Children’s Hos- we listen to a large solution, a single and often cycle between homeless shel- pital, yet another casualty on the long solution for all the problems back ters, the streets, mental health facili- list of U.S.-financed infrastructure home? How many times do we hear: ties, emergency rooms, hospitals, and projects in Iraq to face cost overruns, Let the States make a judgment and jails. The public cost for their contin- mismanagement, delays and potential decision in order to protect their work- ued care is extremely high, and their cancellation. ers? medical outcomes are generally very Back in 2003, Congress allocated $50 Here the States have made a judg- poor. million for the construction of a 94-bed ment, here the States have made a de- I believe that ending chronic home- state-of-the-art children’s cancer treat- cision, and the Republican Party says: lessness requires housing with sup- ment hospital in southern Iraq. Despite We know better. We know better. We portive services, and policies which repeated calls from humanitarian orga- know how to save our constituency a prevent high-risk individuals from re- nizations and experts at the United little more money, for them, and a lit- turning to the streets. Based on several States Agency for International Devel- tle less for the workers. A wonderful, estimates, including an estimate pub- opment to instead work with the Iraqis Republican, ingenious concept tied on lished in the President’s New Freedom to rebuild their primary health system, to this proposal. Commission on Mental Health Report, the Bush administration promoted this At another time, and we will have it will take approximately 150,000 units high-profile, glitzy project championed more time, we will have a chance to of supportive housing and over 10 years by the White House. get into this in greater detail. I will to end long-term homelessness. S. 709 Nearly 3 years later, due to gross just conclude. would authorize funding for a flexible mismanagement, the hospital is only 35 I note, as I gave the figures about the array of services in permanent sup- percent complete, out of money and number of families who are living in portive housing, focused on helping teetering on the verge of collapse. The poverty, and also the number of chil- people move toward recovery and self cost overruns are so significant that dren in poverty, there has been a dif- sufficiency. the project will cost between $120 and ferent story in one of our neighboring Although I support the bill and its $160 million to complete and is not ex- countries. The second strongest econ- intent, I am very concerned about its pected to be finished until December omy in Europe is England. No. 1 is Ger- cost. Throughout my Senate career, I 2007, over a year later than planned. many, No. 2 is England. Their min- have fought hard for fiscal discipline. Meanwhile, Iraqis continue to suffer imum wage is going to nearly $10 in Oc- Although the cost of the bill has not from low quality and poor access to tober—$9.83. They have increased it been estimated by the Congressional basic health services. now over the last 5 years. Do you want Budget Office, everyone agrees that the USAID is at fault for not properly ac- to know something? They have taken issues and associated costs are com- counting for all the costs of con- 1.8 million children out of poverty with plex. structing the hospital and should have

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consulted with Congress when they the RECORD my remarks given at the fect. There were differences with our allies. knew about cost overruns and sched- Brookings Institution on July 28, 2006. But despite the imperfections and short- uling delays. But press reports have ig- There being no objection, the mate- comings, the United States and its allies nored the fact that from the beginning, rial was ordered to be printed in the contributed to world stability and the spread of freedom and prosperity. USAID wisely opposed this costly, mis- RECORD, as follows: Today, the world and America are in deep guided infrastructure project in a dan- A DEFINING TIME FOR 21ST CENTURY trouble. In a speech before the Council on gerous and corrupt environment, know- AMERICAN LEADERSHIP Foreign Relations last November, I warned ing of the likelihood that these prob- U.S. SENATOR CHUCK HAGEL, REMARKS AS PRE- that the world’s trust and confidence in lems could arise. PARED FOR DELIVERY AT THE BROOKINGS IN- America’s purpose has seriously eroded. Bechtel, the lead government con- STITUTION JULY 28, 2006 America is increasingly not seen as the well- tractor for the Basra Hospital project I am honored to be invited to speak here spring of consensus that for decades helped and the same contractor for the flawed today as a part of the Brookings Institu- create alliances and coalitions grounded in tion’s 90th Anniversary Leadership Forum. common objectives and common interests. Boston Big Dig tunnel project, has This is in contrast to a very troubling once again been dismissed from a Brookings has been at the center of every important policy debate in this country for trend toward isolationism that is emerging large-scale project due to incom- 90 years. Thank you to Strobe Talbot, Carlos in America today—a trend that was reflected petence. Sadly, this is not the first nor Pascual, and all the men and women of in this week’s New York Times/CBS News is it likely to be the last instance of Brookings for your continued contributions poll of Americans about our country’s role in waste, fraud and abuse in the recon- to our national debate. I see Martin Indyk the world. This trend is a looming concern struction of Iraq under the negligent and Ken Pollack in the audience. Thank you that may not be obvious but is manifest leadership of the Bush administration. for the fine work you do with the Saban Cen- across seemingly unconnected events and ter for Middle East Policy. issues. We must avoid the trap of limiting The Office of the Special Inspector our power by allowing ourselves to become General for Iraq Reconstruction has As we recognize the 90th Anniversary of the Brookings Institution, it is instructive isolated in the world. America must not been the watchdog for the billions of to reflect back on the world of 1916 when allow itself to become isolated through dollars appropriated for Iraq recon- Brookings was born . . . then known as the mindless isolationist remedies to difficult struction programs and operations. Institute for Government Research. In 1916, and complicated problems. The creation of the office was initially the world was in a period of wrenching and In the 1930s, the threat of Adolph Hitler’s opposed by the White House and by bloody transition. War raged in Europe. It Nazi Germany was not taken seriously. Most some in Congress who would prefer was a war triggered by a series of tragic did not recognize this threat until World War misjudgements stemming from decades-old II was upon them. But there was a voice that the appalling blunders of the Iraq sounding an alarm. Throughout the 1930s, reconstruction program not be exposed resentments and shifting European alliances. It was a war fueled by the Industrial Revolu- Winston Churchill urged his countrymen and to the light of day. tion . . . the most deadly war the world had Europe to see the world through the clear By all accounts, the Special Inspec- ever known. Within one year, the United lens of reality—not through the blurred lens tor General has done an excellent job States would shake-off its historic isola- of misplaced hope. On October 3, 1938, the under difficult and dangerous condi- tionism and engage in its first global con- House of Commons debated the Munich tions by uncovering numerous in- flict. Agreement that Prime Minister Chamberlain stances of waste and fraud and there The Treaty of Versailles brought an end to had negotiated with Hitler. Many saw this are dozens of investigations and pros- the fighting, but it did not bring resolution. agreement as the assurance of peace with Germany. Churchill disagreed. He said: ecutions under way. The United States retreated from a position of world leadership and back into its shell of ‘‘Can we blind ourselves to the great The picture provided by the Special irresponsible isolationism . . . the world change which has taken place in the military Inspector General is in stark contrast economy collapsed, and lingering global situation, and to the dangers we have to to the rhetoric coming from the admin- resentments continued to heighten. Roughly meet? This is only the beginning of the reck- istration that reconstruction is moving twenty years later, harsh post-war repara- oning. This is only the first sip, the first forward at a rapid pace. Thanks to the tions and arrogant nationalism gave rise to foretaste of a bitter cup which will be prof- persistent leadership of Senator FEIN- an even deadlier period of global transition: fered to us year by year unless by a supreme recovery of moral health and martial vigour, GOLD, and with support from Senators World War II. America’s leaders following World War II we arise again and take our stand for free- WARNER and LEVIN, we were able to in- learned from the failed and dangerous po- dom as in the olden time.’’ clude a Feingold-Leahy Amendment to lices of the first half of the 20th century. Today, there is no such threat to world the Senate version of the fiscal year After World War II, the United States be- order. Global threats today are less defined 2007 Defense authorization bill to ex- came the indispensable global leader. Along than Hitler. However, the challenges are tend the life of the Special Inspector with our allies, we created organizations of more insidious, more difficult to comprehend General for Iraq Reconstruction and global interests and common purpose like and identify, yet more interrelated, more dy- ensure continued and necessary audits the United Nations, the General Agreement namic, and more dangerous. In the 21st cen- of the very programs the Special In- on Tariffs and Trade (now the World Trade tury, we are confronted by a universe of challenges, threats, and opportunities unlike spector General was created to oversee. Organization), NATO, the World Bank, the International Monetary Fund and dozens of any that we have ever known. The margins It is crucial that this provision be re- other multilateral institutions. Leaders like of error for miscalculation are less than ever tained in the final version of the bill. Truman, Marshall, Acheson, Hull, Vanden- before. Dramatic shifts in security, stability Mr. President, the tragedy of the berg and Eisenhower led in the rebuilding of and prosperity can occur in weeks or even Basra Children’s Hospital project Europe and Japan. days. speaks volumes about this administra- Ninety years after the creation of the On April 16, 1953, President Dwight D. Ei- tion’s Iraq policy. It is a legacy of arro- Brookings Institution, we live in a different senhower delivered a speech before the gance, squander and incompetence. world . . . but once again a world in transi- American Society of Newspaper Editors that we now know as the ‘‘Chance for Peace’’ Just throw money at the problem and tion. The lessons learned after World War II still apply. American leadership is still in- speech. In the aftermath of the death and de- hope for the best. Use expensive Amer- dispensable in the world . . . and the institu- struction of World War II and the ongoing ican contractors rather than Iraqis tions and alliances formed after World War II war in Korea, the world then was confronted who are unemployed or underemployed are as vital today as when they were formed. with the threat of the Soviet Union and com- and could do the work for a fraction of For decades, the United States used its munism. A different time. A different gen- the cost. And then try to shut down the power and influence to help forge inter- eration. Yet, Eisenhower’s words and wisdom office that exposes the waste. It is national consensus on vital issues. America’s still ring true today. He said, shocking, it is tragic and it is inexcus- leadership inspired the trust and confidence ‘‘No nation’s security and well-being can of a generation of governments and nations be lastingly achieved in isolation but only in able. around the world . . . because we pursued effective cooperation with fellow-nations.’’ f common actions that reflected common in- Just as Eisenhower said in 1953, America’s AMERICAN LEADERSHIP terests with our allies . . . because we re- security, prosperity and freedom cannot be mained committed to global engagement separated from the dangers, challenges, and Mr. HAGEL. Mr. President, I ask . . . and because we exercised our power with opportunities abroad. There are no national unanimous consent to have printed in restraint. We made mistakes. It was imper- boundaries from terrorism, proliferation of

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00031 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16597 weapons of mass destruction, pandemic dis- across the Middle East. The pursuit of tac- tion would re-invest regional Arab states ease, environmental degradation, and de- tical military victories at the expense of the with a stake in achieving progress toward spair. No nation, unilaterally, possesses the core strategic objective of Arab-Israeli peace Israeli-Palestinian peace. This type of initia- power to defeat the threats of the 21st cen- is a hollow victory. The war against tive would offer a positive alternative vision tury. A global society underpinned by a glob- Hezbollah and Hamas will not be won on the for Arab populations to the ideology and al economy is our world today. The world’s battlefield. goals of Islamic militants. The United States problems and dangers are interconnected. To achieve a strategic shift in the condi- must explore this approach as part of its dip- Nowhere are these realities clearer than in tions for Middle East peace, the United lomatic engagement in the Middle East. the Middle East. States must use the global condemnation of Lasting peace in the Middle East, and sta- The Middle East is a region in crisis. A terrorist acts as the basis for substantive bility and security for Israel will come only continuous and escalating volley of violence change. For a lasting and popularly sup- from a regionally-oriented political settle- has the potential for wider regional and glob- ported resolution, only a strong Lebanese ment. al conflict. Centuries-old religious, ethnic government and army, backed by the inter- Former American Middle East Envoy Den- and tribal hatreds and tensions are being national community, can rid Lebanon of nis Ross once observed that in the Middle manipulated by Islamic extremists for their these corrosive militias and terrorist organi- East a process is necessary because process own unholy purpose. The Middle East is zations. absorbs events . . . without a process, events today as combustible and complex as it has President Bush and Secretary Rice must become crises. He was right. Look at where ever been. More than fifty percent of the become and remain deeply engaged in the we are today in the Middle East with no world’s proven oil and natural gas reserves Middle East. Only U.S. leadership can build a process. Crisis diplomacy is no substitute for reside in this troubled land . . . at a time consensus of purpose among our regional and sustained, day-to-day engagement. when the world’s six and a half billion people international partners. America’s approach to Syria and Iran is in- rely on these resources in an interconnected The Rome meeting of the Lebanon core extricably tied to Middle East peace. Wheth- world economy. Uncertain popular support group this week must be the beginning of a er or not they were directly involved in the for regime legitimacy continues to weaken very intensive diplomatic process—at the latest Hezbollah and Hamas aggression in governments of the Middle East. Economic highest levels—with the objective of ending Israel, both countries exert influence in the stagnation, persistent unemployment, deep- the military conflict, securing the Israel- region in ways that undermine stability and ening despair and wider unrest enhance the Lebanon border, and invigorating the polit- security. As we work with our friends and al- ability of terrorists to recruit and succeed. ical track. To lead and sustain U.S. engage- lies to deny Syria and Iran any opportunity An Iran with nuclear weapons raises the ment, the President should appoint a states- to further corrode the situation in Lebanon specter of broader proliferation and a funda- man of global stature, experience and ability and the Palestinian territories, both Damas- mental strategic realignment in the region, to serve as his personal envoy to the region cus and Tehran must hear from America di- creating more regional instability. who would report directly to him and be em- rectly. America’s approach to the Middle East powered with the authority to speak and act As John McLaughlin, the former Deputy must be consistent and sustained, and must for the President. Former Secretaries of Director of Central Intelligence recently understand the history, interests and per- State Baker and Powell fit this profile. wrote in the Washington Post, spectives of our regional friends and allies. America must listen carefully to its ‘‘Even superpowers have to talk to bad The United States will remain committed friends and partners in the region. Saudi guys. The absence of a diplomatic relation- to defending Israel. Our relationship with Arabia, Egypt, Jordan and others—countries ship with Iran and the deterioration of the Israel is a special and historic one. But, it that understand the Middle East far better one with Syria—two countries that bear need not and cannot be at the expense of our than we do—must commit to help resolve to- enormous responsibility for the current cri- Arab and Muslim relationships. That is an day’s crisis and be active partners in helping sis—leave the United States with fewer op- irresponsible and dangerous false choice. build a mechanism to move toward realizing tions and levers than might otherwise have Achieving a lasting resolution to the Arab- the already agreed-upon two-state solution. been the case. Distasteful as it might have Israeli conflict is as much in Israel’s interest A robust international force deployed been to have or to maintain open and normal as any other country in the world. along the Israel-Lebanon border will be re- relations with such states, the absence of Unending war will continually drain Israel quired to facilitate a steady deployment of a such relations ensures that we will have of its human capital, resources, and energy strengthened Lebanese Army into southern more blind spots than we can afford and that as it fights for its survival. The United Lebanon to eventually assume responsibility we will have to deal through surrogates on States and Israel must understand that it is for security and the rule of law. The UN Se- issues of vital importance to the United not in their long-term interests to allow curity Council should negotiate a new bind- States. We will have to get over the notion themselves to become isolated in the Middle ing resolution that strengthens its demands that talking to bad guys somehow rewards East and the world. Neither can allow them- to disarm militias and to remove Syrian in- them or is a sign of weakness. As a super- selves to drift into an ‘‘us against the world’’ fluence from Lebanon that were made in UN power, we ought to be able to communicate global optic or zero-sum game. That would Security Council Resolution 1559, and com- in a way that signals our strength and self- marginalize America’s global leadership, mits the international community to help confidence.’’ trust and influence, further isolate Israel, Lebanon re-build its country. Ultimately, the United States will need to and prove to be disastrous for both countries The core of all challenges in the Middle engage Iran and Syria with an agenda open as well as the region. East remains the underlying Arab-Israeli to all areas of agreement and disagreement. It is in Israel’s interest, as much as ours, conflict. The failure to address this root For this dialogue to have any meaning or that the United States be seen by all states cause will allow Hezbollah, Hamas and other possible lasting relevance, it should encom- in the Middle East as fair. This is the cur- terrorists to continue to sustain popular pass the full agenda of issues. rency of trust. Muslim and Arab support, continuing to un- There is very little good news coming out Israel, Lebanon and the Palestinian terri- dermine America’s standing in the region, of Iraq today. Increasingly vicious sectarian tories have experienced devastating violence and the governments of Egypt, Jordan, Saudi violence continues to propel Iraq toward in the last couple of weeks. The world has Arabia, and others—whose support is critical civil war. The U.S. announcement this week rightly condemned the despicable actions of for any Middle East resolution. to send additional U.S. troops and military Hezbollah and Hamas terrorists who at- The United States should engage our Mid- police back into Baghdad reverses last tacked Israel and kidnapped Israeli soldiers. dle East and international partners to revive month’s decision to have Iraqi forces take Israel has the undeniable right to defend the Beirut Declaration, or some version of it, the lead in Baghdad . . . and represents a itself against aggression. This is the right of proposed by King Abdullah of Saudi Arabia dramatic set back for the U.S and the Iraqi all states. and adopted unanimously by the Arab Government. The Iraqi Government has lim- Hezbollah is a threat to Israel, to Lebanon League in March 2002. In this historic initia- ited ability to enforce the rule of law in Iraq, and to all who strive for lasting peace in the tive, the Arab world recognized Israel’s right especially in Baghdad. Green Zone politics Middle East. This threat must be dealt with, to exist and sought to establish a path to- appear to have little bearing or relation to as Israel’s military operations continue to ward a two-state solution and broader Arab- the realities of the rest of Iraq. weaken Hezbollah’s capacity for violence. Israeli peace. Even though Israel could not The Iraqis will continue to face difficult However, military action alone will not de- accept it as written, it represented a very choices over the future of their country. The stroy Hezbollah or Hamas. Extended mili- significant ‘‘starting point’’ document initi- day-to-day responsibilities of governing and tary action will tear apart Lebanon, destroy ated by Arab countries. Today, we need a security will soon have to be assumed by its economy and infrastructure, create a hu- new Beirut Declaration-type initiative. We Iraqis. As I said in November, this is not manitarian disaster, further weaken Leb- squandered the last one. about setting a timeline. This is about un- anon’s fragile democratic government, The concept and intent of the 2002 Beirut derstanding the implications of the forces of strengthen popular Muslim and Arab support Declaration is as relevant today as it was in reality. This reality is being determined by for Hezbollah, and deepen hatred of Israel 2002. An Arab-initiated Beirut-type declara- Iraqis—not Americans. America is bogged

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00032 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16598 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 down in Iraq and this is limiting our diplo- nomic stability, political freedom, innova- gram in his fiscal year 2007 budget pro- matic and military options. The longer tion and productivity have resulted in a 21st posal—$15 million less than what Con- America remains in Iraq in its current ca- century of both cooperation and competi- gress appropriated the previous year. pacity, the deeper the damage to our force tion. This is a defining time for 21 st Century As a member of the Senate Appropria- structure—particularly the U.S. Army. And American leadership. With enlightened it will continue to place more limitations on American leadership this century offers the tions Committee, we restored this im- an already dangerously over-extended force world the prospects of unprecedented global portant funding and recommended $205 structure that will further limit our options peace, prosperity and security . . . if we are million for this program. and public support. wise enough to sense the moment, engage In a post-September 11 world, we The Cold War, while dangerous, created a the world and share a nobility of purpose must make homeland security one of fairly stable and mostly predictable world with all mankind. our top priorities. As a member of the order. That is no longer the case today. The f Senate Appropriations Committee, I challenges of the 21st century will be more will continue my efforts to ensure that complex and represent a world of greater de- HOMELAND SECURITY grees of nuance, uncertainty and APPROPRIATIONS our first responders have the resources and tools necessary to respond to uncontrollables than those of the last 60 Mr. JOHNSON. Mr. President, re- years. America’s policy choices will be more threats against our homeland. complicated than ever before. cently the Senate approved the fiscal We must be clear in our principles and in- year 2007 Homeland Security appro- f priations bill. As a member of the Sen- terests, with friends and foes alike. But ADDITIONAL STATEMENTS framing the world in ‘‘absolutes’’ constrains ate Appropriations Committee, I voted our ability to build coalitions and alliances, in favor of this measure. alienates our friends and partners, and re- The bill allocates a total of $32.8 bil- sults in our own isolation. No country will lion in discretionary spending for the RETIREMENT OF GLORIA TOSI view its interests as coinciding exactly with Department of Homeland Security. ∑ Mr. LOTT. Mr. President, today I ours; nor will countries simply subsume their national interests to maintain rela- This funding will increase the current pay tribute to Gloria Cataneo Tosi, tions with America. U.S. policies that are number of detention beds and Border president of the American Maritime premised on such assumptions will be flawed, Patrol agents, and during floor consid- Congress, on her upcoming retirement. with little likelihood for success, and ulti- eration, the Senate supported addi- The American Maritime Congress is a mately work against our national interests. tional funding for border infrastructure research and educational organization In pursuing our objectives, America must upgrades and port security. in Washington, DC, whose membership always be mindful of the risks of sudden While this funding will help secure comprises ship owners and operators change and the dangers of unintended con- our borders and protect our homeland, having U.S.-flag vessels in both the do- sequences. Rarely will America succeed if its actions seek to impose its objectives on oth- President Bush’s continued insistence mestic and international trades. All of ers, or achieve change and reform through on maintaining tax breaks for the ex- the American Maritime Congress’s power alone. America is always strongest tremely wealthy has made it incredibly member companies have labor agree- when it acts in concert with friends and al- difficult to fund important first re- ments with the Marine Engineers Bene- lies. This approach has enhanced our power sponder grant programs. ficial Association. and magnified our influence. The Middle The Assistance to Firefighters Grant Mrs. Tosi has been with the Amer- East and other regions of the world have Program provides critical funding to ican Maritime Congress since 1981 and been left behind and not experienced the po- our local fire departments for training, has served as its chief executive officer litical and economic reform that many other regions have enjoyed in the last 60 years. equipment, and facility improvements. for the past 15 years. She is a well- The Middle East crisis represents a mo- In his fiscal year 2007 budget request, known maritime advocate in the Wash- ment of great danger, but it is also an oppor- President Bush recommended only $293 ington, DC community, including the tunity. Crisis focuses the minds of leaders million for this important program—a Propeller Club of the United States. In and the attention of nations. The Middle dramatic reduction from the previous particular, she often plays a lead indus- East need not be a region forever captive to fiscal year’s funding level of $545 mil- try role on issues affecting the oper- the fire of war and historical hatred. It will lion. If this request had been enacted, ation of, and cargo opportunities for, and can avoid this fate if the United States it would have undermined the efforts of U.S.-flag shipping. pursues sustained and engaged leadership worthy of our history, purpose, and power. local fire departments in meeting their While many people think of the U.S. America cannot fix every problem in the training and equipment needs. maritime industry as only a commer- world—nor should it try. But we must get As a member of the Senate Appro- cial interest, it is actually a vital ele- the big issues and important relationships priations Committee, I was pleased the ment of our Nation’s defense. The De- right and concentrate on those. We know committee provided $680 million for partment of Defense could not execute that without engaged and active American firefighter assistance grants, of which its military strategies and deploy its leadership the world is more dangerous. $127.5 million will be allocated for the forces worldwide without the help of When President Franklin Delano Roosevelt Staffing for Adequate Fire and Emer- U.S. shipyards, ports, shipping lines, delivered his State of the Union Address on January 6, 1945, he counseled the United gency Response Firefighters, SAFER, and maritime workers. As president of States and the world to look beyond the im- Act grant program. These grants help the American Maritime Congress, Mrs. mediate horror of war to the challenges and communities hire firefighters, and in Tosi worked closely with the National opportunities that lay ahead. Roosevelt un- turn, local governments are responsible Defense Transportation Association to derstood the requirements of U.S. leadership for providing funds to match a portion ensure the maritime industry remained and the essence of alliances and partner- of each grant. Regrettably, President aligned with the Department of De- ships. He said: Bush requested no funding for this im- fense’s requirements. ‘‘We must not let those differences divide portant program. As a result, the Mrs. Tosi is a native of Baltimore, us and blind us to our more important com- mon and continuing interests in winning the money appropriated by the Senate will MD, whose family was active in the war and building the peace. International co- go a long way toward helping our first maritime industry. She came to Wash- operation on which enduring peace must be responders. ington, DC, in 1969 to join the staff of based is not a one-way street. Nations like Finally, first responders also rely Helen Delich Bentley, who had been individuals do not always see alike or think upon the Emergency Management Per- named by President Nixon to chair the alike, and international cooperation and formance Grant Program. This pro- Federal Maritime Commission. I served progress are not helped by any nation assum- gram provides funding to State and with Helen in the House of Representa- ing that it has a monopoly of wisdom or of local governments for all-hazards tives and know her to be an ardent sup- virtue.’’ Over the last 60 years since Roosevelt’s re- emergency management including nat- porter of the U.S. Merchant Marine and marks, the United States has been a force for ural disasters, accidents, or terrorist the Port of Baltimore. Mrs. Tosi re- peace and prosperity in the world. Decades of threats. Unfortunately, the President mained at the Federal Maritime Com- investment in geopolitical security, eco- requested only $170 million for this pro- mission for nearly 6 years, which

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00033 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16599 means she gained invaluable experi- friendly smile and wave. Grandin had He also served on Multnomah County’s ence and insight into the maritime in- an exciting anniversary that included Citizen’s Budget Advisory Committee dustry at the national level. Upon leav- an all-school reunion, parade, tractor and the board of the Tri-County Safety ing the Federal Maritime Commission, pull, dinner, and street dance. Net Enterprise. Mrs. Tosi was employed by the Inter- Mr. President, I ask the Senate to In addition to his service in local national Longshoremen’s Association join in me congratulating Grandin, ND, government, Bill represented the needs as the union’s director of governmental and its residents on their first 125 years of those living with HIV/AIDS as public affairs from 1976–1981. In 1981, she and wishing them well through the policy coordinator for the Cascade joined her current organization as its next century. By honoring Grandin and AIDS Project. Cascade AIDS is Or- legislative and corporate affairs direc- all the other historic small towns of egon’s leading provider of community- tor. In time, her expertise and leader- North Dakota, we keep the great pio- based medical and social services, of- ship qualities were recognized and she neering frontier spirit alive for future fering access to health care, temporary was selected to be the organization’s generations. It is places such as housing, career assistance, and edu- president. This marks her 25th year Grandin that have helped to shape this cation and prevention programs. My with the American Maritime Congress. country into what it is today, which is staff had the pleasure of working close- I have known Gloria for many years. why this fine community is deserving ly with Bill to more effectively coordi- There has not been a significant piece of our recognition. nate State and Federal resources aimed of maritime legislation that has been Grandin has a proud past and a at supporting individuals with HIV/ considered by the Congress during the bright future.∑ AIDS. He truly served the members of past dozen or so years that has not ben- f Oregon’s HIV/AIDS community with efitted from her counsel. From the dignity and compassion. REMEMBERING BILL HANCOCK Maritime Security Act of 1995, to the On marking the occasion of Bill Han- Ocean Shipping Reform Act of 1998, to ∑ Mr. SMITH. Mr. President, today I cock’s passing, I can’t help but ask my- the Maritime Security Act of 2003, and wish to honor the memory and work of self what more we as public servants including many provisions included in Mr. Bill Hancock, a constituent of can do to prevent the untimely death other laws, she helped ensure that the mine who led a most selfless and com- of individuals living with HIV/AIDS. U.S. maritime industry’s concerns were passionate life. Several weeks ago, Bill The Federal Government has made addressed. Equally important, she en- lost his long struggle with AIDS. The great progress in the battle against sured that the industry’s concerns were story of his life demonstrates just how this horrific epidemic, but there is understood when legislation was pro- much progress we have made in our ef- much more we can do. It is essential posed that would have had a negative forts to stem the tide of this disease, that we move forward with reauthor- impact on the industry. and how much work remains to be done izing the Ryan White CARE Act and Gloria is trusted as an honest voice before we find a cure. appropriately funding the medical and for all of America’s maritime world. Bill led a very rich and full life—one social support programs that help indi- She has devoted her professional life to that should fill his family and friends viduals lead more full and productive enhancing the American fleet, improv- with a sense of overwhelming pride. lives. It would be a testament to Bill’s ing its business opportunities, and es- While he accomplished much, I am life’s work and dedication if we could tablishing a better regulatory regime most moved by his tireless work to im- do our part to help address the medical under which to operate the fleet. She prove the lives of those who suffered and social needs of the HIV/AIDS com- may be retiring, but I expect she will from the very illness he had. Many of munity. Bill never gave up, and neither be called on from time to time to offer us might have given up if we found our- should we. her expertise as the need arises. In the selves in Bill’s position—choosing to In closing, I would like to offer my meantime, she will have more time to allow a set of unfortunate cir- condolences to the family, friends, and spend with her husband Jeff. cumstances to stagnate our lives. In- fellow advocates whom Bill touched Mr. President, I congratulate Gloria stead, Bill fully realized his life’s pur- with his compassion and love of life. for her exemplary career and salute her pose through his sincere dedication to They have much to be proud of, and I contributions to the maritime indus- supporting and advancing the needs of hope their memories will be filled with try. She is to be commended for the the HIV/AIDS community. the many great accomplishments he productive use of her insights and tal- Since the early days of the AIDS epi- achieved as a dedicated community ents and appreciated for her years of demic, Bill was involved in building servant.∑ service to the U.S. maritime industry.∑ the grassroots momentum needed to f f generate a national response to the public health crisis that was emerging MESSAGE FROM THE HOUSE 125TH ANNIVERSARY OF GRANDIN, in many of America’s cities. His own DURING ADJOURNMENT NORTH DAKOTA health problems led him to Our House Under authority of the order of the ∑ Mr. CONRAD. Mr. President, today I of Portland for hospice care and with Senate of July 28, 2006, the Secretary of wish to recognize a community in the support he received there, he was the Senate, on July 31, 2006, received a North Dakota that recently celebrated able to begin to manage the symptoms message from the House of Representa- its 125th anniversary. On July 14–16, of his illness. Amazingly, he was the tives announcing that the House has the residents of Grandin gathered to very first resident of Our House to passed the following bills, in which it celebrate their community’s history leave alive. I believe this is a clear tes- requests the concurrence of the Senate: and founding. tament to the tenacity of Bill’s char- H.R. 4. An act to provide economic secu- Grandin, set in the fertile Red River acter. rity for all Americans, and for other pur- Valley, is a thriving community in Shortly after leaving Our House, Bill poses. southeastern North Dakota. Grandin returned—not as a patient but as a H.R. 5970. An act to amend the Internal was also home to American painter and member of its fundraising board and as Revenue Code of 1986 to increase the unified artist, Clyfford Still. Still, who used a personal care assistant. His compas- credit against the estate tax to an exclusion equivalent of $5,000,000, to repeal the sunset rich, vibrant colors and imagery, is sion prompted him to reciprocate the provision for the estate and generation-skip- just one of the many great talents that care he was provided by becoming a ping taxes, and to extend expiring provi- the small communities of rural Amer- caregiver himself. His involvement in sions, and for other purposes. ica have produced to enrich our cul- HIV/AIDS advocacy only grew from f ture. that point. He became the chair of the The citizens of Grandin take pride in Multnomah County Community Health MESSAGE FROM THE HOUSE their quiet and comfortable commu- Council and the Citizen’s Advisory At 2:03 p.m., a message from the nity that still welcomes guests with a Board to the local health department. House of Representatives, delivered by

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00034 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16600 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 Ms. Niland, one of its reading clerks, accompanying papers, reports, and doc- Eurocopter France Model AS355E, F, F1, F2, announced that the House has passed uments, and were referred as indicated: and N Helicopters’’ ((RIN2120–AA64)(Docket the following bill, without amendment: EC–7683. A communication from the Pro- No. 2003–SW–10)), received on July 25, 2006; to gram Analyst, Federal Aviation Administra- the Committee on Commerce, Science, and S. 3693. An act to make technical correc- Transportation. tions to the Violence Against Women and tion, Department of Transportation, trans- mitting, pursuant to law, the report of a rule EC–7691. A communication from the Pro- Department of Justice Reauthorization Act gram Analyst, Federal Aviation Administra- of 2005. entitled ‘‘Airworthiness Directives; Saab Model SAAB-Fairchild SF340A and SAAB tion, Department of Transportation, trans- The message also announced that the 340B Airplanes’’ ((RIN2120–AA64)(Docket No. mitting, pursuant to law, the report of a rule House has agreed to the following con- 2005–NM–235)), received on July 25, 2006; to entitled ‘‘Airworthiness Directives; current resolution, without amend- the Committee on Commerce, Science, and Eurocopter France Model EC130 B4 Heli- ment: Transportation. copters’’ ((RIN2120–AA64)(Docket No. 2005– SW–41)), received on July 25, 2006; to the S. Con. Res. 112. Concurrent resolution re- EC–7684. A communication from the Pro- gram Analyst, Federal Aviation Administra- Committee on Commerce, Science, and lating to correcting a clerical error in the Transportation. enrollment of S. 3693. tion, Department of Transportation, trans- mitting, pursuant to law, the report of a rule EC–7692. A communication from the Pro- The message further announced that entitled ‘‘Airworthiness Directives; BAE gram Analyst, Federal Aviation Administra- the House has agreed to the following Systems Limited Model BAe 146 Airplanes tion, Department of Transportation, trans- concurrent resolution, in which it re- and Model Avro 146–RJ Airplanes’’ ((RIN2120– mitting, pursuant to law, the report of a rule quests the concurrence of the Senate: AA64)(Docket No. 2005–NM–212)), received on entitled ‘‘Airworthiness Directives; July 25, 2006; to the Committee on Com- Raytheon Model HS.125 Series 700A and 700B H. Con. Res. 459. Concurrent resolution Airplanes; Model BAe.125 Series 800A, 800B, providing for a conditional adjournment of merce, Science, and Transportation. EC–7685. A communication from the Pro- 1000A, and 1000B Airplanes; and Hawker 800, the House of Representatives and a condi- 800XP, and 1000 Airplanes’’ ((RIN2120– tional recess or adjournment of the Senate. gram Analyst, Federal Aviation Administra- tion, Department of Transportation, trans- AA64)(Docket No. 2006–NM–118)), received on The message also announced that the mitting, pursuant to law, the report of a rule July 25, 2006; to the Committee on Com- House agrees to the report of the com- entitled ‘‘Airworthiness Directives; McDon- merce, Science, and Transportation. mittee of conference on the disagreeing nell Douglas Model DC–9–10, DC–9–20, DC–9– EC–7693. A communication from the Pro- votes of the two Houses on the amend- 30, DC–9–40, and DC–9–50 Series Airplanes; gram Analyst, Federal Aviation Administra- ments of the House of Representatives Model DC–9–81, DC–9–82, DC–9–83, and DC–9–87 tion, Department of Transportation, trans- Airplanes; Model MD–88 Airplanes; Model mitting, pursuant to law, the report of a rule to the bill (S. 250) to amend the Carl D. entitled ‘‘Airworthiness Directives; Airbus Perkins Vocational and Technical Edu- MD–90–30 Airplanes; and Model 717–200 Air- planes’’ ((RIN2120–AA64)(Docket No. 2005– Model A318, A319, A320, and A321 Airplanes’’ cation Act of 1998 to improve the Act. NM–001)), received on July 25, 2006; to the ((RIN2120–AA64)(Docket No. 2006–NM–110)), The message further announced that Committee on Commerce, Science, and received on July 25, 2006; to the Committee the House has passed the bill (S. 3741) Transportation. on Commerce, Science, and Transportation. to provide funding authority to facili- EC–7686. A communication from the Pro- EC–7694. A communication from the Pro- tate the evacuation of persons from gram Analyst, Federal Aviation Administra- gram Analyst, Federal Aviation Administra- Lebanon, and for other purposes, with tion, Department of Transportation, trans- tion, Department of Transportation, trans- mitting, pursuant to law, the report of a rule mitting, pursuant to law, the report of a rule an amendment, in which it requests entitled ‘‘Airworthiness Directives; Boeing the concurrence of the Senate. entitled ‘‘Airworthiness Directives; Boeing Model 747 Airplanes’’ ((RIN2120– Model 737–100, –200, –200C, –300, –400, and –500 f AA64)(Docket No. 2004–NM–32)), received on Series Airplanes’’ ((RIN2120–AA64)(Docket July 25, 2006; to the Committee on Com- No. 2006–NM–109)), received on July 25, 2006; MEASURES PLACED ON THE merce, Science, and Transportation. to the Committee on Commerce, Science, CALENDAR EC–7687. A communication from the Pro- and Transportation. The following bills were read the sec- gram Analyst, Federal Aviation Administra- EC–7695. A communication from the Pro- gram Analyst, Federal Aviation Administra- ond time, and placed on the calendar: tion, Department of Transportation, trans- mitting, pursuant to law, the report of a rule tion, Department of Transportation, trans- H.R. 4. An act to provide economic secu- entitled ‘‘Airworthiness Directives; Honey- mitting, pursuant to law, the report of a rule rity for all Americans, and for other pur- well International Inc. T5311A, T5311B, entitled ‘‘Airworthiness Directives; Airbus poses. T5313B, T5317A, T5317A–1, and T5317B Series Model A318, A319, A320, and A321 Airplanes’’ H.R. 5970. An act to amend the Internal Turboshaft Engines and Lycoming Former ((RIN2120–AA64)(Docket No. 2006–NM–110)), Revenue Code of 1986 to increase the unified Military T53–L–11B, T53–L–11D, T53–L–13B, received on July 25, 2006; to the Committee credit against the estate tax to an exclusion T53–L–13B/D and T53–L–703 Series Turboshaft on Commerce, Science, and Transportation. equivalent of $5,000,000, to repeal the sunset Engines’’ ((RIN2120–AA64)(Docket No. 98– EC–7696. A communication from the Pro- provision for the estate and generation-skip- ANE–72)), received on July 25, 2006; to the gram Analyst, Federal Aviation Administra- ping taxes, and to extend expiring provi- Committee on Commerce, Science, and tion, Department of Transportation, trans- sions, and for other purposes. Transportation. mitting, pursuant to law, the report of a rule f EC–7688. A communication from the Pro- entitled ‘‘Airworthiness Directives; Bell Hel- gram Analyst, Federal Aviation Administra- icopter Textron Canada Model, 222, 222B, MEASURES READ THE FIRST TIME tion, Department of Transportation, trans- 222U, 230, and 430 Helicopters’’ ((RIN2120– The following bills were deemed read mitting, pursuant to law, the report of a rule AA64)(Docket No. 2006–SW–12)), received on July 25, 2006; to the Committee on Com- the first time on July 28 (legislative entitled ‘‘Airworthiness Directives; Gulf- stream Aerospace LP Model Galaxy and merce, Science, and Transportation. day July 26), pursuant to the order of Model Gulfstream 200 Airplanes’’ ((RIN2120– EC–7697. A communication from the Pro- July 28, 2006: AA64)(Docket No. 2005–NM–175)), received on gram Analyst, Federal Aviation Administra- H.R. 4. An act to provide economic secu- July 25, 2006; to the Committee on Com- tion, Department of Transportation, trans- rity for all Americans, and for other pur- merce, Science, and Transportation. mitting, pursuant to law, the report of a rule poses. EC–7689. A communication from the Pro- entitled ‘‘Airworthiness Directives; Boeing H.R. 5970. An act to amend the Internal gram Analyst, Federal Aviation Administra- Model 757–200 Series Airplanes Modified by Revenue Code of 1986 to increase the unified tion, Department of Transportation, trans- Supplemental Type Certificate (STC) credit against the estate tax to an exclusion mitting, pursuant to law, the report of a rule SA979NE’’ ((RIN2120–AA64)(Docket No. 2006– equivalent of $5,000,000, to repeal the sunset entitled ‘‘Airworthiness Directives; Sikorsky NM–099)), received on July 25, 2006; to the provision for the estate and generation-skip- Aircraft Corporation Model S–92A Heli- Committee on Commerce, Science, and ping taxes, and to extend expiring provi- copters’’ ((RIN2120–AA64)(Docket No. 2006– Transportation. sions, and for other purposes. SW–03)), received on July 25, 2006; to the EC–7698. A communication from the Pro- Committee on Commerce, Science, and gram Analyst, Federal Aviation Administra- f Transportation. tion, Department of Transportation, trans- EXECUTIVE AND OTHER EC–7690. A communication from the Pro- mitting, pursuant to law, the report of a rule COMMUNICATIONS gram Analyst, Federal Aviation Administra- entitled ‘‘Airworthiness Directives; Boeing tion, Department of Transportation, trans- Model 747–200B, –200C, –200F, –300, –400, and The following communications were mitting, pursuant to law, the report of a rule 747SP Series Airplanes’’ ((RIN2120– laid before the Senate, together with entitled ‘‘Airworthiness Directives; AA64)(Docket No . 2005–NM–223)), received on

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00035 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16601 July 25, 2006; to the Committee on Com- tion, Department of Transportation, trans- ty Administration, Department of Transpor- merce, Science, and Transportation. mitting, pursuant to law, the report of a rule tation, transmitting, pursuant to law, the re- EC–7699. A communication from the Pro- entitled ‘‘Revision of Class E Airspace; port of a rule entitled ‘‘Hazardous Materials: gram Analyst, Federal Aviation Administra- Togiak, AK’’ ((RIN2120–AA66) (Docket No. 06– Infectious Substances; Harmonization with tion, Department of Transportation, trans- AAL–06)) received on July 25, 2006; to the the United Nations Recommendations’’ mitting, pursuant to law, the report of a rule Committee on Commerce, Science, and (RIN2137–AD93) received on July 25, 2006; to entitled ‘‘Airworthiness Directives; Ham- Transportation. the Committee on Commerce, Science, and ilton Sundstrand Model 14RF–9 Propellers’’ EC–7708. A communication from the Pro- Transportation. ((RIN2120–AA64)(Docket No. 2006–NE–18)), re- gram Analyst, Federal Aviation Administra- EC–7717. A communication from the Attor- ceived on July 25, 2006; to the Committee on tion, Department of Transportation, trans- ney, Pipeline and Hazardous Materials Safe- Commerce, Science, and Transportation. mitting, pursuant to law, the report of a rule ty Administration, Department of Transpor- EC–7700. A communication from the Pro- entitled ‘‘Modification of VOR Federal Air- tation, transmitting, pursuant to law, the re- gram Analyst, Federal Aviation Administra- ways; and Establishment of Area Navigation port of a rule entitled ‘‘Hazardous Materials: tion, Department of Transportation, trans- Route; NC’’ ((RIN2120–AA66) (Docket No. 06– Preemption Determination; Procedural Reg- mitting, pursuant to law, the report of a rule ASO–1)) received on July 25, 2006; to the ulations’’ (RIN2137–AE18) received on July entitled ‘‘Airworthiness Directives; Boeing Committee on Commerce, Science, and 25, 2006; to the Committee on Commerce, Model 767–200, –300, and –300F Series Air- Transportation. Science, and Transportation. planes’’ ((RIN2120–AA64)(Docket No. 2005– EC–7709. A communication from the Pro- EC–7718. A communication from the Pro- NM–099)), received on July 25, 2006; to the gram Analyst, Federal Aviation Administra- gram Analyst, National Highway Traffic Committee on Commerce, Science, and tion, Department of Transportation, trans- Safety Administration, Department of Transportation. mitting, pursuant to law, the report of a rule Transportation, transmitting, pursuant to EC–7701. A communication from the Pro- entitled ‘‘Revocation of Low Altitude Re- law, the report of a rule entitled ‘‘Motorcy- gram Analyst, Federal Aviation Administra- porting Point; AK’’ ((RIN2120–AA66)(Docket clist Safety Grant Program’’ (RIN2127–AJ86) tion, Department of Transportation, trans- No. 06–AAL–17)) received on July 25, 2006; to received on July 25, 2006; to the Committee mitting, pursuant to law, the report of a rule the Committee on Commerce, Science, and on Commerce, Science, and Transportation. entitled ‘‘Airworthiness Directives; Goodrich Transportation. EC–7719. A communication from the Dock- Evacuation Systems Approved Under Tech- EC–7710. A communication from the Pro- et Clerk, Federal Railroad Administration, nical Standard Order (TSO) TSO–C69b and gram Analyst, Federal Aviation Administra- Department of Transportation, transmitting, Installed on Airbus Model A330–200 and –300 tion, Department of Transportation, trans- pursuant to law, the report of a rule entitled Series Airplanes, Model A340–200 and –300 Se- mitting, pursuant to law, the report of a rule ‘‘Locomotive Crashworthiness’’ (RIN2130– ries Airplanes, and Model A340–541 and –642 entitled ‘‘Establishment of Offshore Airspace AB23) received on July 25, 2006; to the Com- Airplanes—CORRECTION’’ ((RIN2120– Area 1485L and Revision of Control 1485H; mittee on Commerce, Science, and Transpor- AA64)(Docket No. 2005–NM–229)), received on Barrow, AK’’ ((RIN2120–AA66) (Docket No. tation. 06–AAL–9)) received on July 25, 2006; to the July 25, 2006; to the Committee on Com- f merce, Science, and Transportation. Committee on Commerce, Science, and EC–7702. A communication from the Pro- Transportation. REPORTS OF COMMITTEES EC–7711. A communication from the Pro- gram Analyst, Federal Aviation Administra- gram Analyst, Federal Aviation Administra- The following reports of committees tion, Department of Transportation, trans- tion, Department of Transportation, trans- were submitted: mitting, pursuant to law, the report of a rule mitting, pursuant to law, the report of a rule By Mr. ENZI, from the Committee on entitled ‘‘Airworthiness Directives; Bom- entitled ‘‘Establishment of Area Navigation Health, Education, Labor, and Pensions, bardier Model CL–600–2B19 Airplanes’’ Instrument Flight Rules Terminal Transi- with an amendment in the nature of a sub- ((RIN2120–AA64) (Docket No. 2005–NM–215)), tion Route (RITTR) T–210; Jacksonville, FL’’ stitute: received on July 25, 2006; to the Committee ((RIN2120–AA66) (Docket No. 05–ASO–10)) re- S. 707. A bill to reduce preterm labor and on Commerce, Science, and Transportation. ceived on July 25, 2006; to the Committee on delivery and the risk of pregnancy-related EC–7703. A communication from the Pro- Commerce, Science, and Transportation. deaths and complications due to pregnancy, gram Analyst, Federal Aviation Administra- EC–7712. A communication from the Pro- and to reduce infant mortality caused by tion, Department of Transportation, trans- gram Analyst, Federal Aviation Administra- prematurity (Rept. No. 109–298). mitting, pursuant to law, the report of a rule tion, Department of Transportation, trans- By Mr. DOMENICI, from the Committee on entitled ‘‘Modification of Class E Airspace; mitting, pursuant to law, the report of a rule Energy and Natural Resources, with an Scottsbluff, NE’’ ((RIN2120–AA66) (Docket entitled ‘‘Airworthiness Directives; Pratt amendment in the nature of a substitute and No. 06–ACE–5)) received on July 25, 2006; to and Whitney Canada PW535A Turboshaft En- an amendment to the title: the Committee on Commerce, Science, and gines’’ ((RIN2120–AA64) (Docket No. 06–NE– S. 997. A bill to direct the Secretary of Ag- Transportation. 07)) received on July 25, 2006; to the Com- riculture to convey certain land in the Bea- EC–7704. A communication from the Pro- mittee on Commerce, Science, and Transpor- verhead-Deerlodge Forest, Montana, to Jef- gram Analyst, Federal Aviation Administra- tation. ferson County, Montana, for use as a ceme- tion, Department of Transportation, trans- EC–7713. A communication from the Pro- tery (Rept. No. 109–299). mitting, pursuant to law, the report of a rule gram Analyst, Federal Aviation Administra- By Mr. DOMENICI, from the Committee on entitled ‘‘Modification of Class E Airspace; tion, Department of Transportation, trans- Energy and Natural Resources, with an Keokuk, IA’’ ((RIN2120–AA66) (Docket No. 06– mitting, pursuant to law, the report of a rule amendment in the nature of a substitute: ACE–7)) received on July 25, 2006; to the entitled ‘‘Standard Instrument Approach S. 1529. A bill to provide for the convey- Committee on Commerce, Science, and Procedures (10); Amdt. No. 3166’’ ((RIN2120– ance of certain Federal land in the city of Transportation. AA65) (Docket No. 30493)) received on July Yuma, Arizona (Rept. No. 109–300). EC–7705. A communication from the Pro- 25, 2006; to the Committee on Commerce, S. 1548. A bill to provide for the convey- gram Analyst, Federal Aviation Administra- Science, and Transportation. ance of certain Forest Service land to the tion, Department of Transportation, trans- EC–7714. A communication from the Pro- city of Coffman Cove, Alaska (Rept. No . 109– mitting, pursuant to law, the report of a rule gram Analyst, Federal Aviation Administra- 301). entitled ‘‘Modification of Legal Description tion, Department of Transportation, trans- S. 2003. A bill to make permanent the au- of Class D and E Airspace; Fairbanks, Fort mitting, pursuant to law, the report of a rule thorization for watershed restoration and en- Wainwright Army Airfield, AK’’ ((RIN2120– entitled ‘‘Standard Instrument Approach hancement agreements (Rept. No. 109–302). AA66) (Docket No. 06–AAL–16)) received on Procedures (33); Amdt. No. 3167’’ ((RIN2120– By Mr. DOMENICI, from the Committee on July 25, 2006; to the Committee on Com- AA65) (Docket No. 30494)) received on July Energy and Natural Resources, with an merce, Science, and Transportation. 25, 2006; to the Committee on Commerce, amendment: EC–7706. A communication from the Pro- Science, and Transportation. S. 2028. A bill to provide for the reinstate- gram Analyst, Federal Aviation Administra- EC–7715. A communication from the Pro- ment of a license for a certain Federal En- tion, Department of Transportation, trans- gram Analyst, Federal Aviation Administra- ergy Regulatory Commission project (Rept. mitting, pursuant to law, the report of a rule tion, Department of Transportation, trans- No. 109–303). entitled ‘‘Modification of Legal Description mitting, pursuant to law, the report of a rule S. 2035. A bill to extend the time required of Class D and E Airspace; Fairbanks, Fort entitled ‘‘IFR Altitudes; Miscellaneous for construction of a hydroelectric project in Wainwright Army Airfield, AK’’ ((RIN2120– Amendments (23); Amdt. No. 461’’ ((RIN2120– the State of Idaho, and for other purposes AA66) (Docket No. 06–AAL–16)) received on AA63) (Docket No. 30495)) received on July (Rept. No. 109–304). July 25, 2006; to the Committee on Com- 25, 2006; to the Committee on Commerce, S. 2054. A bill to direct the Secretary of the merce, Science, and Transportation. Science, and Transportation. Interior to conduct a study of water re- EC–7707. A communication from the Pro- EC–7716. A communication from the Attor- sources in the State of Vermont (Rept. No. gram Analyst, Federal Aviation Administra- ney, Pipeline and Hazardous Materials Safe- 109–305).

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By Mr. DOMENICI, from the Committee on S. 2068. A bill to preserve existing judge- SNOWE) was added as a cosponsor of S. Energy and Natural Resources, with amend- ships on the Superior Court of the District of 707, a bill to reduce preterm labor and ments: Columbia (Rept. No. 109–316). delivery and the risk of pregnancy-re- S. 2150. A bill to direct the Secretary of the By Mr. GRASSLEY, from the Committee lated deaths and complications due to Interior to convey certain Bureau of Land on Finance, without amendment: Management Land to the City of Eugene, Or- S. 3495. A bill to authorize the extension of pregnancy, and to reduce infant mor- egon (Rept. No. 109–306). nondiscriminatory treatment (normal trade tality caused by prematurity. S. 2373. A bill to provide for the sale of ap- relations treatment) to the products of Viet- S. 709 proximately 132 acres of public land to the nam. At the request of Mr. DEWINE, the City of Green River, Wyoming, at fair mar- f ket value (Rept. No. 109–307). name of the Senator from Utah (Mr. By Mr. DOMENICI, from the Committee on EXECUTIVE REPORTS OF HATCH) was added as a cosponsor of S. Energy and Natural Resources, with an COMMITTEES 709, a bill to amend the Public Health amendment in the nature of a substitute and Service Act to establish a grant pro- an amendment to the title: The following executive reports of gram to provide supportive services in S. 2403. A bill to authorize the Secretary of nominations were submitted: permanent supportive housing for the Interior to include in the boundaries of By Mr. CRAIG for the Committee on Vet- chronically homeless individuals, and the Grand Teton National Park land and in- erans’ Affairs. for other purposes. terests in land of the GT Park Subdivision, *Patrick W. Dunne, of New York, to be an and for other purposes (Rept. No. 109–308). Assistant Secretary of Veterans Affairs (Pol- S. 1035 By Mr. DOMENICI, from the Committee on icy and Planning). At the request of Mr. INHOFE, the Energy and Natural Resources, with an *Thomas E. Harvey, of New York, to be an name of the Senator from Florida (Mr. amendment: Assistant Secretary of Veterans Affairs MARTINEZ) was added as a cosponsor of S. 2568. A bill to amend the National Trails (Congressional Affairs). S. 1035, a bill to authorize the presen- System Act to designate the Captain John Smith Chesapeake National Historic Trail *Nomination was reported with rec- tation of commemorative medals on (Rept. No. 109–309). ommendation that it be confirmed sub- behalf of Congress to Native Americans By Mr. DOMENICI, from the Committee on ject to the nominee’s commitment to who served as Code Talkers during for- Energy and Natural Resources, without respond to requests to appear and tes- eign conflicts in which the United amendment: tify before any duly constituted com- States was involved during the 20th S. Res. 468. A resolution supporting the mittee of the Senate. century in recognition of the service of continued administration of Channel Islands f those Native Americans to the United National Park, including Santa Rosa Island, States. in accordance with the laws (including regu- INTRODUCTION OF BILLS AND S. 1630 lations) and policies of the National Park JOINT RESOLUTIONS Service (Rept. No. 109–310). At the request of Mr. OBAMA, the H.R. 394. A bill to direct the Secretary of The following bills and joint resolu- name of the Senator from California the Interior to conduct a boundary study to tions were introduced, read the first (Mrs. FEINSTEIN) was added as a co- evaluate the significance of the Colonel and second times by unanimous con- sponsor of S. 1630, a bill to direct the James Barrett Farm in the Commonwealth sent, and referred as indicated: of Massachusetts and the suitability and fea- Secretary of Homeland Security to es- sibility of its inclusion in the National Park By Mr. PRYOR: tablish the National Emergency Fam- System as part of the Minute Man National S. 3763. A bill to amend title 49, United ily Locator System. States Code, to modify bargaining require- Historical Park, and for other purposes S. 1791 (Rept. No. 109–311). ments for proposed changes to the personnel By Mr. DOMENICI, from the Committee on management system of the Federal Aviation At the request of Mr. SMITH, the Energy and Natural Resources, with an Administration; to the Committee on Com- name of the Senator from Wyoming amendment in the nature of a substitute: merce, Science, and Transportation. (Mr. ENZI) was added as a cosponsor of H.R. 482. A bill to provide for a land ex- By Mr. LAUTENBERG: S. 1791, a bill to amend the Internal change involving Federal lands in the Lin- S. 3764. A bill to amend title XVIII of the Revenue Code of 1986 to allow a deduc- Social Security Act to eliminate the cov- coln National Forest in the State of New tion for qualified timber gains. Mexico, and for other purposes (Rept. No. erage gap under the Medicare part D pre- S. 2079 109–312). scription drug program; to the Committee on H.R. 486. A bill to provide for a land ex- Finance. At the request of Mr. SMITH, the change involving private land and Bureau of By Mr. DURBIN (for himself, Mr. name of the Senator from Wyoming SUNUNU, Mr. FEINGOLD, and Ms. STA- Land Management land in the vicinity of (Mr. ENZI) was added as a cosponsor of BENOW): Holloman Air Force Base, New Mexico, for S. 2079, a bill to improve the ability of the purpose of removing private land from S. 3765. A bill to designate Lebanon under section 244(b) of the Immigration and Natu- the Secretary of Agriculture and the the required safety zone surrounding muni- Secretary of the Interior to promptly tions storage bunkers at Holloman Air Force ralization Act to permit nationals of Leb- Base (Rept. No. 109–313). anon to be granted temporary protected sta- implement recovery treatments in re- By Mr. DOMENICI, from the Committee on tus in the United States; to the Committee sponse to catastrophic events affecting Energy and Natural Resources, with amend- on the Judiciary. the natural resources of Forest Service ments: f land and Bureau of Land Management H.R. 1492. A bill to provide for the preser- land, respectively, to support the re- vation of the historic confinement sites SUBMISSION OF CONCURRENT AND covery of non-Federal land damaged by where Japanese Americans were detained SENATE RESOLUTIONS catastrophic events, to assist impacted during World War II, and for other purposes The following concurrent resolutions communities, to revitalize Forest Serv- (Rept. No. 109–314). By Mr. DOMENICI, from the Committee on and Senate resolutions were read, and ice experimental forests, and for other Energy and Natural Resources, without referred (or acted upon), as indicated: purposes. amendment: By Ms. STABENOW (for herself, Mr. S. 2401 H.R. 4000. A bill to authorize the Secretary ISAKSON, Mr. CHAMBLISS, and Mr. At the request of Mr. BAUCUS, the of the Interior to revise certain repayment LEVIN): contracts with the Bostwick Irrigation Dis- S. Res. 545. A resolution recognizing the name of the Senator from Illinois (Mr. trict in Nebraska, the Kansas Bostwick Irri- life and achievements of Will Keith Kellogg; DURBIN) was added as a cosponsor of S. gation District No. 2, the Frenchman-Cam- to the Committee on the Judiciary. 2401, a bill to amend the Internal Rev- enue Code of 1986 to extend certain en- bridge Irrigation District, and the Webster f Irrigation District No. 4, all a part of the ergy tax incentives, and for other pur- Pick-Sloan Missouri Basin Program, and for ADDITIONAL COSPONSORS poses. other purposes (Rept. No. 109–315). S. 2425 By Ms. COLLINS, from the Committee on S. 707 Homeland Security and Governmental Af- At the request of Mr. ALEXANDER, the At the request of Mr. CONRAD, the fairs, without amendment: name of the Senator from Maine (Ms. name of the Senator from Washington

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(Mrs. MURRAY) was added as a cospon- S. 3680 the agricultural, forestry, and working sor of S. 2425, a bill to apply amend- At the request of Mr. KERRY, the land of the United States should pro- ments to the Immigration and Nation- name of the Senator from Louisiana vide from renewable resources not less ality Act related to providing medical (Ms. LANDRIEU) was added as a cospon- than 25 percent of the total energy con- services in underserved areas, and for sor of S. 3680, a bill to amend the Small sumed in the United States and con- other purposes. Business Investment Act of 1958 to re- tinue to produce safe, abundant, and S. 2460 authorize and expand the New Markets affordable food, feed, and fiber. At the request of Mr. MENENDEZ, the Venture Capital Program, and for S. CON. RES. 113 name of the Senator from California other purposes. At the request of Mr. NELSON of Flor- (Mrs. FEINSTEIN) was added as a co- S. 3681 ida, his name was added as a cosponsor sponsor of S. 2460, a bill to permit ac- At the request of Mr. DOMENICI, the of S. Con. Res. 113, a concurrent resolu- cess to certain information in the Fire- names of the Senator from Mississippi tion congratulating the Magen David arms Trace System database. (Mr. COCHRAN) and the Senator from Adom Society in Israel for achieving S. 2590 Texas (Mrs. HUTCHISON) were added as full membership in the International At the request of Mr. COBURN, the cosponsors of S. 3681, a bill to amend Red Cross and Red Crescent Movement, names of the Senator from Ohio (Mr. the Comprehensive Environmental Re- and for other purposes. VOINOVICH), the Senator from Cali- sponse Compensation and Liability Act At the request of Mrs. CLINTON, the fornia (Mrs. BOXER) and the Senator of 1980 to provide that manure shall names of the Senator from Delaware from Kentucky (Mr. MCCONNELL) were not be considered to be a hazardous (Mr. BIDEN), the Senator from Cali- added as cosponsors of S. 2590, a bill to substance, pollutant, or contaminant. fornia (Mrs. BOXER), the Senator from require full disclosure of all entities S. 3682 Georgia (Mr. CHAMBLISS), the Senator and organizations receiving Federal At the request of Mr. ALEXANDER, the from Minnesota (Mr. COLEMAN), the funds. name of the Senator from Alabama Senator from Ohio (Mr. DEWINE), the S. 2677 (Mr. SESSIONS) was added as a cospon- Senator from New Jersey (Mr. LAUTEN- At the request of Mr. SMITH, the sor of S. 3682, a bill to establish the BERG), the Senator from Connecticut name of the Senator from New York America’s Opportunity Scholarships (Mr. LIEBERMAN) and the Senator from (Mr. SCHUMER) was added as a cospon- for Kids Program. Oregon (Mr. SMITH) were added as co- sor of S. 2677, a bill to amend the Inter- S. 3697 sponsors of S. Con. Res. 113, supra. nal Revenue Code of 1986 to extend the At the request of Mr. INHOFE, the f investment tax credit with respect to name of the Senator from South Caro- STATEMENTS ON INTRODUCED solar energy property and qualified fuel lina (Mr. DEMINT) was added as a co- BILLS AND JOINT RESOLUTIONS cell property, and for other purposes. sponsor of S. 3697, a bill to amend title By Mr. DURBIN (for himself, Mr. S. 2819 XVIII of the Social Security Act to es- SUNUNU, Mr. FEINGOLD, and Ms. At the request of Mr. COLEMAN, the tablish Medicare Health Savings Ac- name of the Senator from South Da- counts. STABENOW): S. 3765. A bill to designate Lebanon kota (Mr. JOHNSON) was added as a co- S. 3711 under section 244(b) of the Immigration sponsor of S. 2819, a bill to amend part At the request of Ms. LANDRIEU, the and Naturalization Act to permit na- C of title XVIII of the Social Security names of the Senator from Tennessee tionals of Lebanon to be granted tem- Act to provide for a minimum payment (Mr. ALEXANDER) and the Senator from porary protected status in the United rate by Medicare Advantage organiza- Nebraska (Mr. HAGEL) were added as States; to the Committee on the Judi- tions for services furnished by a crit- cosponsors of S. 3711, a bill to enhance ciary. ical access hospital and a rural health the energy independence and security Mr. DURBIN. Mr. President, I rise clinic under the Medicare program. of the United States by providing for today to introduce the Lebanese Tem- S. 3519 exploration, development, and produc- porary Protected Status Act of 2006. At the request of Mr. HATCH, the tion activities for mineral resources in I thank Senator JOHN SUNUNU, a Re- name of the Senator from Wyoming the Gulf of Mexico, and for other pur- publican from New Hampshire, and (Mr. THOMAS) was added as a cosponsor poses. Senator RUSS FEINGOLD, a Democrat of S. 3519, a bill to reform the State in- At the request of Mr. TALENT, his from Wisconsin, for joining me as spection of meat and poultry in the name was added as a cosponsor of S. original cosponsors of this bipartisan United States, and for other purposes. 3711, supra. legislation. S. 3590 S. 3744 I come to the floor today with a At the request of Mr. AKAKA, the At the request of Mr. DURBIN, the heavy heart. The attacks by the ter- name of the Senator from California name of the Senator from New Jersey rorist organization Hezbollah against (Mrs. BOXER) was added as a cosponsor (Mr. MENENDEZ) was added as a cospon- the State of Israel have led to ongoing of S. 3590, a bill to amend title XIX of sor of S. 3744, a bill to establish the hostilities in the Middle East. The hos- the Social Security Act to delay the ef- Abraham Lincoln Study Abroad Pro- tilities have already cost many inno- fective date of the amendments made gram. cent Israeli and Lebanese lives, but by the Deficit Reduction Act of 2005 re- S. 3754 yesterday was a particularly tragic quiring documentation evidencing citi- At the request of Mr. MARTINEZ, the day. This morning, as I woke up in zenship or nationality as a condition name of the Senator from Oklahoma Springfield, IL, and pulled up the local for receipt of medical assistance under (Mr. COBURN) was added as a cosponsor newspapers. There on the front page of the Medicaid program. of S. 3754, a bill to amend the Internal the Chicago Tribune was a heart- S. 3634 Revenue Code of 1986 to allow individ- breaking photograph of a Lebanese aid At the request of Mr. JEFFORDS, the uals a refundable credit against income worker carrying the lifeless body of a name of the Senator from Nevada (Mr. tax for the purchase of private health child out of the rubble from the events REID) was added as a cosponsor of S. insurance, and for other purposes. of yesterday. Over 50 innocent Leba- 3634, a bill to amend the Nuclear Waste S. CON. RES. 97 nese civilians, including dozens of chil- Policy Act of 1982 to improve the mate- At the request of Mr. GRASSLEY, the dren, perished in the southern Leba- rial control and accounting and data name of the Senator from Colorado nese town of Qana. management systems used by civilian (Mr. ALLARD) was added as a cosponsor I join my colleagues and all Ameri- nuclear power reactors to better ac- of S. Con. Res. 97, a concurrent resolu- cans in offering my heartfelt condo- count for spent nuclear fuel and reduce tion expressing the sense of Congress lences to Prime Minister Siniora and the risks associated with the handling that it is the goal of the United States to the people of Lebanon on the loss of of those materials. that, not later than January 1, 2025, these innocent lives. The victims and

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00038 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16604 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 their families are in our thoughts and to study, or to work. Now they face the We must all work to a resolution to prayers. prospect of being told they must return the current hostilities that creates Lives have been lost on both sides of to this war zone. If conditions in Leb- lasting peace and security for both the border, but we know it is particu- anon are so unsafe that we were forced Israel and for Lebanon. In the mean- larly dangerous at this moment in Leb- to evacuate American citizens, inno- time, let us provide a safe haven to anon. cent Lebanese who are visiting in the Lebanese who are already within the In reflecting on the deaths of hun- United States should be permitted to United States while we strive for these dreds of innocent civilians in recent remain here until conditions in Leb- larger goals. weeks, Lebanese Prime Minister Fuad anon improve. I urge my colleagues to support the Siniora asked: Granting temporary protected status Lebanese Temporary Protected Status Is the value of human life less in Lebanon to Lebanese nationals who are cur- Act of 2006. than that of citizens elsewhere? Are we chil- rently in the United States is con- dren of a lesser God? Mr. President, I ask unanimous con- sistent with America’s national inter- sent that the text of the bill be printed The Lebanese people are not children est. in the RECORD. of a lesser God. We are all children of At this delicate moment in relations There being no objection, the text of the same God and we are all equal in between the United States and the the bill was ordered to be printed in God’s eyes. Christians, Jews, and Mus- Middle East, giving temporary pro- the RECORD, as follows: lims—we are all children of Abraham. tected status to Lebanon will send a We mourn the loss of every innocent positive signal about United States S. 3765 life lost in the Israeli-Arab conflict, concern for the suffering of innocent Be it enacted by the Senate and House of Rep- whether Israeli, Palestinian, or Leba- Lebanese civilians. resentatives of the United States of America in nese. Granting temporary protected status Congress assembled, Enacting the Lebanese Temporary would also assist the fragile Lebanese SECTION 1. SHORT TITLE. Protected Status Act of 2006 is a mod- Government by delaying the return of This Act may be cited as the ‘‘Lebanese est, but important, step that will help thousands of people who might be un- Temporary Protected Status Act of 2006’’. alleviate the suffering of innocent Leb- able to return to their homes and SEC. 2. SENSE OF CONGRESS. anese people. This legislation would would find themselves arriving back in It is the sense of Congress that, due to the make Lebanese nationals who are cur- their country only to become refugees. hostilities in Lebanon, Lebanon qualifies for rently residing in the United States el- The efforts of Prime Minister Siniora designation under subparagraphs (A) and (C) igible for temporary protected status and millions of other Lebanese to build of section 244(b)(1) of the Immigration and for an initial 12-month period. a sovereign and democratic Lebanon Nationality Act (8 U.S.C. 1254a(b)(1)), pursu- Temporary protected status allows deserve the respect and continued sup- ant to which Lebanese nationals would be el- nationals of another country who are port of the United States. Granting igible for temporary protected status in the United States. visiting the United States to remain temporary protected status to Leba- here temporarily if returning to their nese citizens now in the United States SEC. 3. DESIGNATION FOR PURPOSES OF GRANT- ING TEMPORARY PROTECTED STA- country would pose a serious threat to would take the pressure off their Gov- TUS. their personal safety. Tragically, Leb- ernment as it struggles to meet its (a) DESIGNATION.— anon faces just such a situation today. many new challenges. (1) IN GENERAL.—For purposes of section There is an ongoing urgent humani- This would not be the first time we 244 of the Immigration and Nationality Act tarian crisis in Lebanon. The United have done this. The United States ex- (8 U.S.C. 1254a), Lebanon shall be treated as Nations estimates that 700,000 people tended temporary protected status to if it had been designated under subsection (b) have been displaced from their homes, the people of Lebanon from March 1991 of that section, subject to the provisions of almost 20 percent of the population of to March 1993. Before Congress created this section. that nation. According to Catholic Re- temporary protected status in 1990, we (2) PERIOD OF DESIGNATION.—The initial pe- lief Services: riod of the designation under paragraph (1) granted something called extended vol- shall begin on the date of the enactment of Many of those who have been displaced untary departure to provide blanket re- this Act and shall remain in effect for 1 year. have taken refuge in mosques, churches and lief from deportation to Lebanese na- (b) ALIENS ELIGIBLE.—An alien who is a na- schools. The stocks of basic food and relief tionals during the height of the Leba- tional of Lebanon shall be deemed to satisfy items, including much needed medicines, are nese civil war. the requirements of section 244(c)(1) of such dwindling. Granting this type of relief will not Act only if the alien— The U.N. said: endanger our security. The Govern- (1) has been continuously physically There has been widespread damage to in- ment can deny or withdraw temporary present in the United States since the date frastructure with hospitals, schools, roads, protected status from any individual of the enactment of this Act; bridges, fuel storage depots, airports and sea- (2) is admissible to the United States as an ports sustaining damage. This, of course, has who might do harm to our Nation. In- immigrant, except as otherwise provided severe implications on the ability to deliver dividuals convicted of serious crimes under section 244(c)(2)(A) of such Act; humanitarian assistance to those most in who are a threat to national security, (3) is not ineligible for temporary pro- need. In addition, prices of even basic neces- such as suspected members of tected status under section 244(c)(2)(B) of sities have skyrocketed. Hezbollah, are automatically ineligible such Act; and U.N. emergency relief coordinator for this status. The Department of (4) registers for temporary protected status Jan Egeland has called the crisis, ‘‘The Homeland Security may withdraw tem- in a manner established by the Secretary of hour of greatest need for the Lebanese porary protected status any time it Homeland Security. people.’’ finds an individual poses any threat to (c) CONSENT TO TRAVEL ABROAD.—The Sec- retary of Homeland Security shall give an Think of the images of thousands of our country. So it isn’t a blank check. alien granted temporary protected status frightened Americans trying des- Nor is temporary protected status a pursuant to the designation made under sub- perately to escape the violence in Leb- backdoor to U.S. citizenship. Aliens section (a) prior consent to travel abroad anon. Thankfully, many who have who are granted this status are not eli- under section 244(f)(3) of such Act if the alien sought to escape have managed to do gible to become legal permanent resi- establishes to the satisfaction of the Sec- so. Unfortunately, unknown numbers dents in this country. retary that emergency and extenuating cir- of Americans still remain trapped. Granting this temporary protected cumstances beyond the control of the alien Many Americans traveled to Lebanon status to Lebanon is consistent with require the alien to depart for a brief, tem- this summer to spend time with rel- American values. The people of Leb- porary trip abroad. An alien returning to the United States in accordance with such an au- atives. This bipartisan bill would assist anon face a grave humanitarian crisis thorization shall be given the same treat- Lebanese who have traveled to the and we have a tradition in this country ment as any other returning alien provided United States for similar reasons. They of providing safe haven to people in temporary protected status under section 244 might have come here to visit family, such circumstances. of such Act.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00039 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16605 SUBMITTED RESOLUTIONS (1) Tony the Tiger; and to be proposed by him to the bill S. 3711, to (2) Snap, Crackle, and Pop; enhance the energy independence and secu- Whereas, in 1969, astronauts on board the rity of the United States by providing for ex- SENATE RESOLUTION 545—RECOG- Apollo 11 breakfasted on cereal produced by ploration, development, and production ac- NIZING THE LIFE AND ACHIEVE- the Kellogg Company during their successful tivities for mineral resources in the Gulf of MENTS OF WILL KEITH KELLOGG mission to the moon, thereby making it the Mexico, and for other purposes; which was first breakfast cereal ever to reach outer ordered to lie on the table. Ms. STABENOW (herself, Mr. ISAK- space; SA 4743. Mr. KERRY submitted an amend- SON, Mr. CHAMBLISS, and Mr. LEVIN) Whereas the Kellogg Company opened a ment intended to be proposed by him to the submitted the following resolution; new headquarters facility in Battle Creek; bill S. 3711, supra; which was ordered to lie which was referred to the committee Whereas, throughout the 1980’s and 1990’s, on the table. on the Judiciary: the Kellogg Company continued its commit- SA 4744. Mr. KERRY (for himself and Mr. ment to social responsibility by supporting JEFFORDS) submitted an amendment in- There being no objection, the text of numerous organizations, including— tended to be proposed by him to the bill S. the bill was ordered to be printed in (1) the United Negro College Fund; 3711, supra; which was ordered to lie on the the RECORD, as follows: (2) the Statue of Liberty-Ellis Island re- table. S. RES. 545 newal project; and SA 4745. Mr. KERRY submitted an amend- (3) organizations that sought to end the Whereas Will Keith Kellogg was born on ment intended to be proposed by him to the policy of apartheid that was enforced by the April 7, 1860, and died at the age of 91 on Oc- bill S. 3711, supra; which was ordered to lie Government of South Africa; tober 6, 1951; on the table. Whereas today, the Kellogg Company pro- SA 4746. Mr. SMITH (for himself, Mr. Whereas W.K. Kellogg believed that— duces more than 40 different cereals on 6 con- MENENDEZ, Ms. SNOWE, Mr. KERRY, Mr. SALA- (1) a proper diet plays an important role in tinents, and markets the products of the ZAR, Ms. CANTWELL, Mr. LIEBERMAN, Mr. maintaining a healthy lifestyle; and company in more than 180 countries; (2) breakfast is the most important meal of KENNEDY, Mr. ALLARD, Mr. WYDEN, Mrs. Whereas the Kellogg Company employs the day; CLINTON, and Mr. DODD) submitted an 25,000 people throughout the world; and Whereas W.K. Kellogg developed the now amendment intended to be proposed by him Whereas the Kellogg Company currently world-famous Kellogg’s Corn Flakes cereal to the bill S. 3711, supra; which was ordered has production facilities in 13 states, includ- in his Battle Creek, Michigan, production fa- to lie on the table . ing— SA 4747. Mr. WARNER submitted an cility on April 1, 1906; (1) California; amendment intended to be proposed by him Whereas, for 100 years, the Kellogg Com- (2) Georgia; to the bill S. 3711, supra; which was ordered pany has provided citizens of the United (3) Illinois; to lie on the table. States and countries around the world with (4) Kansas; SA 4748. Mr. ALLEN submitted an amend- nutritious food products; (5) Kentucky; ment intended to be proposed to amendment Whereas, throughout its development, the (6) Michigan; SA 4713 proposed by Mr. FRIST to the bill S. Kellogg Company has set milestones in con- (7) Nebraska; 3711, supra; which was ordered to lie on the sumer awareness of proper nutrition by— (8) New Jersey; table. (1) becoming the first company to include (9) North Carolina; a nutrition facts label on its ever-changing (10) Ohio; f (11) Pennsylvania; and innovative packaging; and TEXT OF AMENDMENTS (2) adhering to the strict values of quality (12) Tennessee; and and health consciousness that W.K. Kellogg (13) Washington: Now, therefore, be it SA 4742. Mr. DORGAN (for himself Resolved, That the Senate recognizes— had always valued; and Ms. SNOWE) submitted an amend- (1) the great contributions of Will Keith Whereas, while the citizens of the United ment intended to be proposed by him Kellogg to— States struggled during the time of eco- (A) the citizens of the United States; and to the bill S. 3711, to enhance the en- nomic depression and stagnation during the (B) the people of the world; ergy independence and security of the 1930’s, W.K. Kellogg famously announced (2) the 100th anniversary of the creation of United States by providing for explo- ‘‘I’ll invest my money in people.’’; the first flaked breakfast cereal, which oc- Whereas W.K. Kellogg started the W.K. ration, development, and production curred on April 1, 2006; and Kellogg Foundation to operate separately activities for mineral resources in the (3) the achievements of W.K. Kellogg and from the Kellogg Company, and led the foun- Gulf of Mexico, and for other purposes; the benefits enjoyed by all those touched by dation by adhering to the guiding principle which was ordered to lie on the table; his life. of ‘‘helping people to help themselves’’; as follows: Whereas today, the W.K. Kellogg Founda- Ms. STABENOW. Mr. President, At the appropriate place, insert the fol- tion is 1 of the largest philanthropic institu- today I am pleased to offer this resolu- lowing: tions in the world, funding projects through- tion in honor of Will Keith Kellogg, TITLE ll—IMPORTATION OF out the world in— who founded the Kellogg Company in PRESCRIPTION DRUGS (1) health; 1906 in Battle Creek, MI. I am pleased SEC. ll1. SHORT TITLE. (2) education; to be joined by my colleagues, Senators (3) agriculture; This title may be cited as the ‘‘Pharma- (4) leadership; and Isakson, Chambliss, and Levin. ceutical Market Access and Drug Safety Act (5) youth development; Today, Kellogg’s company employs of 2006’’. Whereas the assets of the W.K. Kellogg more than 25,000 people worldwide and SEC. ll2. FINDINGS. Foundation were nearly $6,000,000,000 when operates production sites in thirteen Congress finds that— the foundation approached its 75th Anniver- states. Additionally, the Kellogg Foun- (1) Americans unjustly pay up to 5 times sary in 2005; dation is one of the largest philan- more to fill their prescriptions than con- Whereas, during those 75 years of service, thropic institutions in the world. Last sumers in other countries; the foundation donated more than year, it celebrated its seventy-fifth an- (2) the United States is the largest market $3,000,000,000 to help people help themselves; for pharmaceuticals in the world, yet Amer- Whereas, during the Second World War, the niversary and has donated more than ican consumers pay the highest prices for production facilities of the Kellogg Company $3 billion to health, education, agricul- brand pharmaceuticals in the world; were used to assist the Armed Forces in tural, and youth-development projects. (3) a prescription drug is neither safe nor many engineering efforts; I am proud of the work of Mr. Kel- effective to an individual who cannot afford Whereas, during that time, the products of logg and the great work of both the it; the Kellogg Company became a common Kellogg Company and the Kellogg (4) allowing and structuring the importa- item in packages sent by families to soldiers Foundation. I ask for unanimous con- tion of prescription drugs to ensure access to serving overseas; sent that the text of the bill be printed safe and affordable drugs approved by the Whereas W.K. Kellogg was later awarded Food and Drug Administration will provide a the Army-Navy ‘‘E’’ Flag for Excellence for in the RECORD. level of safety to American consumers that his valuable contributions to the United f they do not currently enjoy; States during the Second World War; AMENDMENTS SUBMITTED AND (5) American spend more than Whereas, throughout its history, the Kel- $200,000,000,000 on prescription drugs every logg Company introduced many of their PROPOSED year; most famous and successful cereals and char- SA 4742. Mr. DORGAN (for himself and Ms. (6) the Congressional Budget Office has acters, including— SNOWE) submitted an amendment intended found that the cost of prescription drugs are

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00040 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16606 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 between 35 to 55 percent less in other highly- ‘‘(I) a controlled substance, as defined in tion of human pharmaceutical products that developed countries than in the United section 102 of the Controlled Substances Act has not expired; or States; and (21 U.S.C. 802); ‘‘(II) the Secretary determines that the re- (7) promoting competitive market pricing ‘‘(II) a biological product, as defined in sec- quirements described in subclauses (I) and would both contribute to health care savings tion 351 of the Public Health Service Act (42 (II) of clause (vii) will not be met by the date and allow greater access to therapy, improv- U.S.C. 262), including— on which such transitional measure for the ing health and saving lives. ‘‘(aa) a therapeutic DNA plasmid product; regulation of human pharmaceutical prod- SEC. ll3. REPEAL OF CERTAIN SECTION RE- ‘‘(bb) a therapeutic synthetic peptide prod- ucts expires; GARDING IMPORTATION OF PRE- uct; ‘‘(iv) Japan; SCRIPTION DRUGS. ‘‘(cc) a monoclonal antibody product for in ‘‘(v) New Zealand; Chapter VIII of the Federal Food, Drug, vivo use; and ‘‘(vi) Switzerland; and and Cosmetic Act (21 U.S.C. 381 et seq.) is ‘‘(dd) a therapeutic recombinant DNA-de- ‘‘(vii) a country in which the Secretary de- amended by striking section 804. rived product; termines the following requirements are SEC. ll4. IMPORTATION OF PRESCRIPTION ‘‘(III) an infused drug, including a peri- met: DRUGS; WAIVER OF CERTAIN IM- toneal dialysis solution; ‘‘(I) The country has statutory or regu- PORT RESTRICTIONS. ‘‘(IV) an injected drug; latory requirements— (a) IN GENERAL.—Chapter VIII of the Fed- ‘‘(V) a drug that is inhaled during surgery; ‘‘(aa) that require the review of drugs for eral Food, Drug, and Cosmetic Act (21 U.S.C. ‘‘(VI) a drug that is the listed drug referred safety and effectiveness by an entity of the 381 et seq.), as amended by section ll3, is to in 2 or more abbreviated new drug applica- government of the country; further amended by inserting after section tions under which the drug is commercially ‘‘(bb) that authorize the approval of only 803 the following: marketed; or those drugs that have been determined to be ‘‘SEC. 804. COMMERCIAL AND PERSONAL IMPOR- ‘‘(VII) a sterile opthlamic drug intended safe and effective by experts employed by or TATION OF PRESCRIPTION DRUGS. for topical use on or in the eye. acting on behalf of such entity and qualified ‘‘(a) IMPORTATION OF PRESCRIPTION ‘‘(D) OTHER DEFINITIONS.—For purposes of by scientific training and experience to DRUGS.— this section: evaluate the safety and effectiveness of ‘‘(1) IN GENERAL.—In the case of qualifying ‘‘(i)(I) The term ‘exporter’ means a person drugs on the basis of adequate and well-con- drugs imported or offered for import into the that is in the business of exporting a drug to trolled investigations, including clinical in- United States from registered exporters or individuals in the United States from Canada vestigations, conducted by experts qualified by registered importers— or from a permitted country designated by by scientific training and experience to ‘‘(A) the limitation on importation that is the Secretary under subclause (II), or that, evaluate the safety and effectiveness of established in section 801(d)(1) is waived; and pursuant to submitting a registration under drugs; ‘‘(B) the standards referred to in section subsection (b), seeks to be in such business. ‘‘(cc) that require the methods used in, and 801(a) regarding admission of the drugs are ‘‘(II) The Secretary shall designate a per- the facilities and controls used for the manu- subject to subsection (g) of this section (in- mitted country under subparagraph (E) facture, processing, and packing of drugs in cluding with respect to qualifying drugs to (other than Canada) as a country from which the country to be adequate to preserve their which section 801(d)(1) does not apply). an exporter may export a drug to individuals identity, quality, purity, and strength; ‘‘(2) IMPORTERS.—A qualifying drug may in the United States if the Secretary deter- ‘‘(dd) for the reporting of adverse reactions not be imported under paragraph (1) unless— mines that— to drugs and procedures to withdraw ap- ‘‘(A) the drug is imported by a pharmacy, ‘‘(aa) the country has statutory or regu- proval and remove drugs found not to be safe group of pharmacies, or a wholesaler that is latory standards that are equivalent to the or effective; and a registered importer; or standards in the United States and Canada ‘‘(ee) that require the labeling and pro- ‘‘(B) the drug is imported by an individual with respect to— motion of drugs to be in accordance with the for personal use or for the use of a family ‘‘(AA) the training of pharmacists; approval of the drug. member of the individual (not for resale) ‘‘(BB) the practice of pharmacy; and ‘‘(II) The valid marketing authorization from a registered exporter. ‘‘(CC) the protection of the privacy of per- system in the country is equivalent to the ‘‘(3) RULE OF CONSTRUCTION.—This section sonal medical information; and systems in the countries described in clauses shall apply only with respect to a drug that ‘‘(bb) the importation of drugs to individ- (i) through (vi). is imported or offered for import into the uals in the United States from the country ‘‘(III) The importation of drugs to the United States— will not adversely affect public health. United States from the country will not ad- ‘‘(A) by a registered importer; or ‘‘(ii) The term ‘importer’ means a phar- versely affect public health. ‘‘(B) from a registered exporter to an indi- macy, a group of pharmacies, or a wholesaler ‘‘(b) REGISTRATION OF IMPORTERS AND EX- vidual. that is in the business of importing a drug PORTERS.— ‘‘(4) DEFINITIONS.— into the United States or that, pursuant to ‘‘(1) REGISTRATION OF IMPORTERS AND EX- ‘‘(A) REGISTERED EXPORTER; REGISTERED IM- submitting a registration under subsection PORTERS.—A registration condition is that PORTER.—For purposes of this section: (b), seeks to be in such business. the importer or exporter involved (referred ‘‘(i) The term ‘registered exporter’ means ‘‘(iii) The term ‘pharmacist’ means a per- to in this subsection as a ‘registrant’) sub- an exporter for which a registration under son licensed by a State to practice phar- mits to the Secretary a registration con- subsection (b) has been approved and is in ef- macy, including the dispensing and selling of taining the following: fect. prescription drugs. ‘‘(A)(i) In the case of an exporter, the name ‘‘(ii) The term ‘registered importer’ means ‘‘(iv) The term ‘pharmacy’ means a person of the exporter and an identification of all a pharmacy, group of pharmacies, or a that— places of business of the exporter that relate wholesaler for which a registration under ‘‘(I) is licensed by a State to engage in the to qualifying drugs, including each ware- subsection (b) has been approved and is in ef- business of selling prescription drugs at re- house or other facility owned or controlled fect. tail; and by, or operated for, the exporter. ‘‘(iii) The term ‘registration condition’ ‘‘(II) employs 1 or more pharmacists. ‘‘(ii) In the case of an importer, the name means a condition that must exist for a reg- ‘‘(v) The term ‘prescription drug’ means a of the importer and an identification of the istration under subsection (b) to be ap- drug that is described in section 503(b)(1). places of business of the importer at which proved. ‘‘(vi) The term ‘wholesaler’— the importer initially receives a qualifying ‘‘(B) QUALIFYING DRUG.—For purposes of ‘‘(I) means a person licensed as a whole- drug after importation (which shall not ex- this section, the term ‘qualifying drug’ saler or distributor of prescription drugs in ceed 3 places of business except by permis- means a drug for which there is a cor- the United States under section 503(e)(2)(A); sion of the Secretary). responding U.S. label drug. and ‘‘(B) Such information as the Secretary de- ‘‘(C) U.S. LABEL DRUG.—For purposes of ‘‘(II) does not include a person authorized termines to be necessary to demonstrate this section, the term ‘U.S. label drug’ to import drugs under section 801(d)(1). that the registrant is in compliance with means a prescription drug that— ‘‘(E) PERMITTED COUNTRY.—The term ‘per- registration conditions under— ‘‘(i) with respect to a qualifying drug, has mitted country’ means— ‘‘(i) in the case of an importer, subsections the same active ingredient or ingredients, ‘‘(i) Australia; (c), (d), (e), (g), and (j) (relating to the route of administration, dosage form, and ‘‘(ii) Canada; sources of imported qualifying drugs; the in- strength as the qualifying drug; ‘‘(iii) a member country of the European spection of facilities of the importer; the ‘‘(ii) with respect to the qualifying drug, is Union, but does not include a member coun- payment of fees; compliance with the stand- manufactured by or for the person that man- try with respect to which— ards referred to in section 801(a); and mainte- ufactures the qualifying drug; ‘‘(I) the country’s Annex to the Treaty of nance of records and samples); or ‘‘(iii) is approved under section 505(c); and Accession to the European Union 2003 in- ‘‘(ii) in the case of an exporter, subsections ‘‘(iv) is not— cludes a transitional measure for the regula- (c), (d), (f), (g), (h), (i), and (j) (relating to the

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00041 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16607 sources of exported qualifying drugs; the in- ‘‘(J) In the case of an importer, an agree- ing not later than 10 days after the date on spection of facilities of the exporter and the ment by the importer to report to the Sec- which the registration is suspended. marking of compliant shipments; the pay- retary— ‘‘(iii) The Secretary may reinstate the reg- ment of fees; and compliance with the stand- ‘‘(i) not later than August 1 of each fiscal istration, whether suspended under clause (i) ards referred to in section 801(a); being li- year, the total price and the total volume of or (ii), if the Secretary determines that the censed as a pharmacist; conditions for indi- drugs imported to the United States by the registrant has demonstrated that further vidual importation; and maintenance of importer during the 6-month period from violations of registration conditions will not records and samples). January 1 through June 30 of that fiscal occur. ‘‘(C) An agreement by the registrant that year; and ‘‘(B) TERMINATION.—The Secretary, after the registrant will not under subsection (a) ‘‘(ii) not later than January 1 of each fiscal notice and opportunity for a hearing, may import or export any drug that is not a year, the total price and the total volume of terminate the registration under paragraph qualifying drug. drugs imported to the United States by the (1) of a registrant if the Secretary deter- ‘‘(D) An agreement by the registrant to— importer during the previous fiscal year. mines that the registrant has engaged in a ‘‘(i) notify the Secretary of a recall or ‘‘(K) Such other provisions as the Sec- pattern or practice of violating 1 or more withdrawal of a qualifying drug distributed retary may require by regulation to protect registration conditions, or if on 1 or more oc- in a permitted country that the registrant the public health while permitting— casions the Secretary has under subpara- has exported or imported, or intends to ex- ‘‘(i) the importation by pharmacies, groups graph (A)(ii) suspended the registration of port or import, to the United States under of pharmacies, and wholesalers as registered the registrant. The Secretary may make the subsection (a); importers of qualifying drugs under sub- termination permanent, or for a fixed period ‘‘(ii) provide for the return to the reg- section (a); and of not less than 1 year. During the period in istrant of such drug; and ‘‘(ii) importation by individuals of quali- which the registration is terminated, any ‘‘(iii) cease, or not begin, the exportation fying drugs under subsection (a). registration submitted under paragraph (1) or importation of such drug unless the Sec- ‘‘(2) APPROVAL OR DISAPPROVAL OF REG- by the registrant, or a person that is a part- retary has notified the registrant that expor- ISTRATION.— ner in the export or import enterprise, or a tation or importation of such drug may pro- ‘‘(A) IN GENERAL.—Not later than 90 days principal officer in such enterprise, and any ceed. after the date on which a registrant submits registration prepared with the assistance of ‘‘(E) An agreement by the registrant to en- to the Secretary a registration under para- the registrant or such a person, has no legal sure and monitor compliance with each reg- graph (1), the Secretary shall notify the reg- effect under this section. istration condition, to promptly correct any istrant whether the registration is approved ‘‘(5) DEFAULT OF BOND.—A bond required to noncompliance with such a condition, and to or is disapproved. The Secretary shall dis- be posted by an exporter under paragraph promptly report to the Secretary any such approve a registration if there is reason to (1)(I)(ii) shall be defaulted and paid to the noncompliance. believe that the registrant is not in compli- Treasury of the United States if, after oppor- ‘‘(F) A plan describing the manner in ance with one or more registration condi- tunity for an informal hearing, the Sec- which the registrant will comply with the tions, and shall notify the registrant of such retary determines that the exporter has— agreement under subparagraph (E). reason. In the case of a disapproved registra- ‘‘(A) exported a drug to the United States ‘‘(G) An agreement by the registrant to en- tion, the Secretary shall subsequently notify that is not a qualifying drug or that is not in force a contract under subsection (c)(3)(B) the registrant that the registration is ap- compliance with subsection (g)(2)(A), (g)(4), against a party in the chain of custody of a proved if the Secretary determines that the qualifying drug with respect to the authority or (i); or registrant is in compliance with such condi- of the Secretary under clauses (ii) and (iii) of ‘‘(B) failed to permit the Secretary to con- tions. that subsection. duct an inspection described under sub- ‘‘(B) CHANGES IN REGISTRATION INFORMA- ‘‘(H) An agreement by the registrant to no- section (d). TION.—Not later than 30 days after receiving tify the Secretary not more than 30 days be- ‘‘(c) SOURCES OF QUALIFYING DRUGS.—A a notice under paragraph (1)(H) from a reg- fore the registrant intends to make the istrant, the Secretary shall determine registration condition is that the exporter or change, of— whether the change involved affects the ap- importer involved agrees that a qualifying ‘‘(i) any change that the registrant intends drug will under subsection (a) be exported or to make regarding information provided proval of the registration of the registrant imported into the United States only if there under subparagraph (A) or (B); and under paragraph (1), and shall inform the ‘‘(ii) any change that the registrant in- registrant of the determination. is compliance with the following: tends to make in the compliance plan under ‘‘(3) PUBLICATION OF CONTACT INFORMATION ‘‘(1) The drug was manufactured in an es- subparagraph (F). FOR REGISTERED EXPORTERS.—Through the tablishment— ‘‘(I) In the case of an exporter— Internet website of the Food and Drug Ad- ‘‘(A) required to register under subsection ‘‘(i) An agreement by the exporter that a ministration and a toll-free telephone num- (h) or (i) of section 510; and qualifying drug will not under subsection (a) ber, the Secretary shall make readily avail- ‘‘(B)(i) inspected by the Secretary; or be exported to any individual not authorized able to the public a list of registered export- ‘‘(ii) for which the Secretary has elected to pursuant to subsection (a)(2)(B) to be an im- ers, including contact information for the rely on a satisfactory report of a good manu- porter of such drug. exporters. Promptly after the approval of a facturing practice inspection of the estab- ‘‘(ii) An agreement to post a bond, payable registration submitted under paragraph (1), lishment from a permitted country whose to the Treasury of the United States that is the Secretary shall update the Internet regulatory system the Secretary recognizes equal in value to the lesser of— website and the information provided as equivalent under a mutual recognition ‘‘(I) the value of drugs exported by the ex- through the toll-free telephone number ac- agreement, as provided for under section porter to the United States in a typical 4- cordingly. 510(i)(3), section 803, or part 26 of title 21, week period over the course of a year under ‘‘(4) SUSPENSION AND TERMINATION.— Code of Federal Regulations (or any cor- this section; or ‘‘(A) SUSPENSION.—With respect to the ef- responding successor rule or regulation). ‘‘(II) $1,000,000; fectiveness of a registration submitted under ‘‘(2) The establishment is located in any ‘‘(iii) An agreement by the exporter to paragraph (1): country, and the establishment manufac- comply with applicable provisions of Cana- ‘‘(i) Subject to clause (ii), the Secretary tured the drug for distribution in the United dian law, or the law of the permitted country may suspend the registration if the Sec- States or for distribution in 1 or more of the designated under subsection (a)(4)(D)(i)(II) in retary determines, after notice and oppor- permitted countries (without regard to which the exporter is located, that protect tunity for a hearing, that the registrant has whether in addition the drug is manufac- the privacy of personal information with re- failed to maintain substantial compliance tured for distribution in a foreign country spect to each individual importing a pre- with a registration condition. that is not a permitted country). scription drug from the exporter under sub- ‘‘(ii) If the Secretary determines that, ‘‘(3) The exporter or importer obtained the section (a)(2)(B). under color of the registration, the exporter drug— ‘‘(iv) An agreement by the exporter to re- has exported a drug or the importer has im- ‘‘(A) directly from the establishment; or port to the Secretary— ported a drug that is not a qualifying drug, ‘‘(B) directly from an entity that, by con- ‘‘(I) not later than August 1 of each fiscal or a drug that does not comply with sub- tract with the exporter or importer— year, the total price and the total volume of section (g)(2)(A) or (g)(4), or has exported a ‘‘(i) provides to the exporter or importer a drugs exported to the United States by the qualifying drug to an individual in violation statement (in such form and containing such exporter during the 6-month period from of subsection (i)(2)(F), the Secretary shall information as the Secretary may require) January 1 through June 30 of that year; and immediately suspend the registration. A sus- that, for the chain of custody from the estab- ‘‘(II) not later than January 1 of each fiscal pension under the preceding sentence is not lishment, identifies each prior sale, pur- year, the total price and the total volume of subject to the provision by the Secretary of chase, or trade of the drug (including the drugs exported to the United States by the prior notice, and the Secretary shall provide date of the transaction and the names and exporter during the previous fiscal year. to the registrant an opportunity for a hear- addresses of all parties to the transaction);

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‘‘(ii) agrees to permit the Secretary to in- ‘‘(3) CERTAIN DUTIES RELATING TO EXPORT- tify the shipment as being in compliance spect such statements and related records to ERS.—Duties of the Secretary with respect to with all registration conditions, except that determine their accuracy; an exporter include the following: the markings or other technology shall not ‘‘(iii) agrees, with respect to the qualifying ‘‘(A) Inspecting, randomly, but not less be required on a drug that bears comparable, drugs involved, to permit the Secretary to than 12 times annually, the places of busi- compatible markings or technology from the inspect warehouses and other facilities, in- ness of the exporter at which qualifying manufacturer of the drug. Markings or other cluding records, of the entity for purposes of drugs are stored and from which qualifying technology under the preceding sentence determining whether the facilities are in drugs are shipped. shall— compliance with any standards under this ‘‘(B) During the inspections under subpara- ‘‘(A) be designed to prevent affixation of Act that are applicable to facilities of that graph (A), verifying the chain of custody of the markings or other technology to any type in the United States; and a statistically significant sample of quali- container that is not authorized to bear the ‘‘(iv) has ensured, through such contrac- fying drugs from the establishment in which markings; and tual relationships as may be necessary, that the drug was manufactured to the exporter, ‘‘(B) shall include anticounterfeiting or the Secretary has the same authority re- which shall be accomplished or supple- track-and-trace technologies, taking into ac- garding other parties in the chain of custody mented by the use of anticounterfeiting or count the economic and technical feasibility from the establishment that the Secretary track-and-trace technologies, taking into ac- of such technologies. has under clauses (ii) and (iii) regarding such count the economic and technical feasibility ‘‘(6) CERTAIN DUTIES RELATING TO IMPORT- entity. of those technologies, except that a drug ERS.—Duties of the Secretary with respect to ‘‘(4)(A) The foreign country from which the that lacks such technologies from the point an importer include the following: importer will import the drug is a permitted of manufacture shall not for that reason be ‘‘(A) Inspecting, randomly, but not less country; or excluded from importation by an exporter. than 12 times annually, the places of busi- ‘‘(B) The foreign country from which the ‘‘(C) Randomly reviewing records of ex- ness of the importer at which a qualifying exporter will export the drug is the per- ports to individuals for the purpose of deter- drug is initially received after importation. mitted country in which the exporter is lo- mining whether the drugs are being imported ‘‘(B) During the inspections under subpara- cated. by the individuals in accordance with the graph (A), verifying the chain of custody of ‘‘(5) During any period in which the drug conditions under subsection (i). Such reviews a statistically significant sample of quali- was not in the control of the manufacturer shall be conducted in a manner that will re- fying drugs from the establishment in which of the drug, the drug did not enter any coun- sult in a statistically significant determina- the drug was manufactured to the importer, try that is not a permitted country. tion of compliance with all such conditions. which shall be accomplished or supple- ‘‘(6) The exporter or importer retains a ‘‘(D) Monitoring the affixing of markings mented by the use of anticounterfeiting or sample of each lot of the drug sufficient for under paragraph (2). track-and-trace technologies, taking into ac- testing by the Secretary. ‘‘(E) Inspecting as the Secretary deter- count the economic and technical feasibility mines is necessary the warehouses and other of those technologies, except that a drug ‘‘(d) INSPECTION OF FACILITIES; MARKING OF facilities, including records, of other parties that lacks such technologies from the point SHIPMENTS.— in the chain of custody of qualifying drugs. of manufacture shall not for that reason be ‘‘(1) INSPECTION OF FACILITIES.—A registra- ‘‘(F) Determining whether the exporter is excluded from importation by an importer. tion condition is that, for the purpose of as- in compliance with all other registration ‘‘(C) Reviewing notices under paragraph sisting the Secretary in determining whether conditions. (4). the exporter involved is in compliance with ‘‘(4) PRIOR NOTICE OF SHIPMENTS.—A reg- ‘‘(D) Inspecting as the Secretary deter- all other registration conditions— istration condition is that, not less than 8 mines is necessary the warehouses and other ‘‘(A) the exporter agrees to permit the Sec- hours and not more than 5 days in advance of facilities, including records of other parties retary— the time of the importation of a shipment of in the chain of custody of qualifying drugs. ‘‘(i) to conduct onsite inspections, includ- qualifying drugs, the importer involved ‘‘(E) Determining whether the importer is ing monitoring on a day-to-day basis, of agrees to submit to the Secretary a notice in compliance with all other registration places of business of the exporter that relate with respect to the shipment of drugs to be conditions. to qualifying drugs, including each ware- imported or offered for import into the ‘‘(e) IMPORTER FEES.— house or other facility owned or controlled United States under subsection (a). A notice ‘‘(1) REGISTRATION FEE.—A registration by, or operated for, the exporter; under the preceding sentence shall include— condition is that the importer involved pays ‘‘(ii) to have access, including on a day-to- ‘‘(A) the name and complete contact infor- to the Secretary a fee of $10,000 due on the day basis, to— mation of the person submitting the notice; date on which the importer first submits the ‘‘(I) records of the exporter that relate to ‘‘(B) the name and complete contact infor- registration to the Secretary under sub- the export of such drugs, including financial mation of the importer involved; section (b). records; and ‘‘(C) the identity of the drug, including the ‘‘(2) INSPECTION FEE.—A registration condi- ‘‘(II) samples of such drugs; established name of the drug, the quantity of tion is that the importer involved pays a fee ‘‘(iii) to carry out the duties described in the drug, and the lot number assigned by the to the Secretary in accordance with this sub- paragraph (3); and manufacturer; section. Such fee shall be paid not later than ‘‘(iv) to carry out any other functions de- ‘‘(D) the identity of the manufacturer of October 1 and April 1 of each fiscal year in termined by the Secretary to be necessary the drug, including the identity of the estab- the amount provided for under paragraph (3). regarding the compliance of the exporter; lishment at which the drug was manufac- ‘‘(3) AMOUNT OF INSPECTION FEE.— and tured; ‘‘(A) AGGREGATE TOTAL OF FEES.—Not later ‘‘(B) the Secretary has assigned 1 or more ‘‘(E) the country from which the drug is than 30 days before the start of each fiscal employees of the Secretary to carry out the shipped; year, the Secretary, in consultation with the functions described in this subsection for the ‘‘(F) the name and complete contact infor- Secretary of Homeland Security and the Sec- Secretary randomly, but not less than 12 mation for the shipper of the drug; retary of the Treasury, shall establish an ag- times annually, on the premises of places of ‘‘(G) anticipated arrival information, in- gregate total of fees to be collected under businesses referred to in subparagraph (A)(i), cluding the port of arrival and crossing loca- paragraph (2) for importers for that fiscal and such an assignment remains in effect on tion within that port, and the date and time; year that is sufficient, and not more than a continuous basis. ‘‘(H) a summary of the chain of custody of necessary, to pay the costs for that fiscal ‘‘(2) MARKING OF COMPLIANT SHIPMENTS.—A the drug from the establishment in which year of administering this section with re- registration condition is that the exporter the drug was manufactured to the importer; spect to registered importers, including the involved agrees to affix to each shipping con- ‘‘(I) a declaration as to whether the Sec- costs associated with— tainer of qualifying drugs exported under retary has ordered that importation of the ‘‘(i) inspecting the facilities of registered subsection (a) such markings as the Sec- drug from the permitted country cease under importers, and of other entities in the chain retary determines to be necessary to identify subsection (g)(2)(C) or (D); and of custody of a qualifying drug as necessary, the shipment as being in compliance with all ‘‘(J) such other information as the Sec- under subsection (d)(6); registration conditions. Markings under the retary may require by regulation. ‘‘(ii) developing, implementing, and oper- preceding sentence shall— ‘‘(5) MARKING OF COMPLIANT SHIPMENTS.—A ating under such subsection an electronic ‘‘(A) be designed to prevent affixation of registration condition is that the importer system for submission and review of the no- the markings to any shipping container that involved agrees, before wholesale distribu- tices required under subsection (d)(4) with is not authorized to bear the markings; and tion (as defined in section 503(e)) of a quali- respect to shipments of qualifying drugs ‘‘(B) include anticounterfeiting or track- fying drug that has been imported under sub- under subsection (a) to assess compliance and-trace technologies, taking into account section (a), to affix to each container of such with all registration conditions when such the economic and technical feasibility of drug such markings or other technology as shipments are offered for import into the those technologies. the Secretary determines necessary to iden- United States; and

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00043 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16609 ‘‘(iii) inspecting such shipments as nec- shall be treated as a claim of the United under paragraph (2) for that fiscal year, the essary, when offered for import into the States Government subject to subchapter II Secretary shall provide for a pro-rata reduc- United States to determine if such a ship- of chapter 37 of title 31, United States Code. tion in the fee due from each registered ex- ment should be refused admission under sub- ‘‘(f) EXPORTER FEES.— porter on April 1 of the subsequent fiscal section (g)(5). ‘‘(1) REGISTRATION FEE.—A registration year so that the limitation described in sub- ‘‘(B) LIMITATION.—Subject to subparagraph condition is that the exporter involved pays paragraph (B) is observed. (C), the aggregate total of fees collected to the Secretary a fee of $10,000 due on the ‘‘(D) INDIVIDUAL EXPORTER FEE.—Subject to under paragraph (2) for a fiscal year shall not date on which the exporter first submits that the limitation described in subparagraph (B), exceed 2.5 percent of the total price of quali- registration to the Secretary under sub- the fee under paragraph (2) to be paid on Oc- fying drugs imported during that fiscal year section (b). tober 1 and April 1 by an exporter shall be an into the United States by registered import- ‘‘(2) INSPECTION FEE.—A registration condi- amount that is proportional to a reasonable ers under subsection (a). tion is that the exporter involved pays a fee estimate by the Secretary of the semiannual ‘‘(C) TOTAL PRICE OF DRUGS.— to the Secretary in accordance with this sub- share of the exporter of the volume of quali- ‘‘(i) ESTIMATE.—For the purposes of com- section. Such fee shall be paid not later than fying drugs exported by exporters under sub- plying with the limitation described in sub- October 1 and April 1 of each fiscal year in section (a). paragraph (B) when establishing under sub- the amount provided for under paragraph (3). ‘‘(4) USE OF FEES.— paragraph (A) the aggregate total of fees to ‘‘(3) AMOUNT OF INSPECTION FEE.— ‘‘(A) IN GENERAL.—Subject to appropria- be collected under paragraph (2) for a fiscal ‘‘(A) AGGREGATE TOTAL OF FEES.—Not later tions Acts, fees collected by the Secretary year, the Secretary shall estimate the total than 30 days before the start of each fiscal under paragraphs (1) and (2) shall be credited price of qualifying drugs imported into the year, the Secretary, in consultation with the to the appropriation account for salaries and United States by registered importers during Secretary of Homeland Security and the Sec- expenses of the Food and Drug Administra- that fiscal year by adding the total price of retary of the Treasury, shall establish an ag- tion until expended (without fiscal year limi- qualifying drugs imported by each registered gregate total of fees to be collected under tation), and the Secretary may, in consulta- importer during the 6-month period from paragraph (2) for exporters for that fiscal tion with the Secretary of Homeland Secu- January 1 through June 30 of the previous year that is sufficient, and not more than rity and the Secretary of the Treasury, fiscal year, as reported to the Secretary by necessary, to pay the costs for that fiscal transfer some proportion of such fees to the each registered importer under subsection year of administering this section with re- appropriation account for salaries and ex- (b)(1)(J). spect to registered exporters, including the penses of the Bureau of Customs and Border ‘‘(ii) CALCULATION.—Not later than March 1 costs associated with— Protection until expended (without fiscal of the fiscal year that follows the fiscal year ‘‘(i) inspecting the facilities of registered year limitation). for which the estimate under clause (i) is exporters, and of other entities in the chain ‘‘(B) SOLE PURPOSE.—Fees collected by the made, the Secretary shall calculate the total of custody of a qualifying drug as necessary, Secretary under paragraphs (1) and (2) are price of qualifying drugs imported into the under subsection (d)(3); only available to the Secretary and, if trans- United States by registered importers during ‘‘(ii) developing, implementing, and oper- ferred, to the Secretary of Homeland Secu- that fiscal year by adding the total price of ating under such subsection a system to rity, and are for the sole purpose of paying qualifying drugs imported by each registered screen marks on shipments of qualifying the costs referred to in paragraph (3)(A). importer during that fiscal year, as reported drugs under subsection (a) that indicate ‘‘(5) COLLECTION OF FEES.—In any case to the Secretary by each registered importer compliance with all registration conditions, where the Secretary does not receive pay- under subsection (b)(1)(J). when such shipments are offered for import ment of a fee assessed under paragraph (1) or ‘‘(iii) ADJUSTMENT.—If the total price of into the United States; and (2) within 30 days after it is due, such fee qualifying drugs imported into the United ‘‘(iii) screening such markings, and in- shall be treated as a claim of the United States by registered importers during a fis- specting such shipments as necessary, when States Government subject to subchapter II cal year as calculated under clause (ii) is less offered for import into the United States to of chapter 37 of title 31, United States Code. than the aggregate total of fees collected determine if such a shipment should be re- ‘‘(g) COMPLIANCE WITH SECTION 801(a).— under paragraph (2) for that fiscal year, the fused admission under subsection (g)(5). ‘‘(1) IN GENERAL.—A registration condition Secretary shall provide for a pro-rata reduc- ‘‘(B) LIMITATION.—Subject to subparagraph is that each qualifying drug exported under tion in the fee due from each registered im- (C), the aggregate total of fees collected subsection (a) by the registered exporter in- porter on April 1 of the subsequent fiscal under paragraph (2) for a fiscal year shall not volved or imported under subsection (a) by year so that the limitation described in sub- exceed 2.5 percent of the total price of quali- the registered importer involved is in com- paragraph (B) is observed. fying drugs imported during that fiscal year pliance with the standards referred to in sec- ‘‘(D) INDIVIDUAL IMPORTER FEE.—Subject to into the United States by registered export- tion 801(a) regarding admission of the drug the limitation described in subparagraph (B), ers under subsection (a). into the United States, subject to paragraphs the fee under paragraph (2) to be paid on Oc- ‘‘(C) TOTAL PRICE OF DRUGS.— (2), (3), and (4). tober 1 and April 1 by an importer shall be an ‘‘(i) ESTIMATE.—For the purposes of com- ‘‘(2) SECTION 505; APPROVAL STATUS.— amount that is proportional to a reasonable plying with the limitation described in sub- ‘‘(A) IN GENERAL.—A qualifying drug that estimate by the Secretary of the semiannual paragraph (B) when establishing under sub- is imported or offered for import under sub- share of the importer of the volume of quali- paragraph (A) the aggregate total of fees to section (a) shall comply with the conditions fying drugs imported by importers under be collected under paragraph (2) for a fiscal established in the approved application subsection (a). year, the Secretary shall estimate the total under section 505(b) for the U.S. label drug as ‘‘(4) USE OF FEES.— price of qualifying drugs imported into the described under this subsection. ‘‘(A) IN GENERAL.—Subject to appropria- United States by registered exporters during ‘‘(B) NOTICE BY MANUFACTURER; GENERAL tions Acts, fees collected by the Secretary that fiscal year by adding the total price of PROVISIONS.— under paragraphs (1) and (2) shall be credited qualifying drugs exported by each registered ‘‘(i) IN GENERAL.—The person that manu- to the appropriation account for salaries and exporter during the 6-month period from factures a qualifying drug that is, or will be, expenses of the Food and Drug Administra- January 1 through June 30 of the previous introduced for commercial distribution in a tion until expended (without fiscal year limi- fiscal year, as reported to the Secretary by permitted country shall in accordance with tation), and the Secretary may, in consulta- each registered exporter under subsection this paragraph submit to the Secretary a no- tion with the Secretary of Homeland Secu- (b)(1)(I)(iv). tice that— rity and the Secretary of the Treasury, ‘‘(ii) CALCULATION.—Not later than March 1 ‘‘(I) includes each difference in the quali- transfer some proportion of such fees to the of the fiscal year that follows the fiscal year fying drug from a condition established in appropriation account for salaries and ex- for which the estimate under clause (i) is the approved application for the U.S. label penses of the Bureau of Customs and Border made, the Secretary shall calculate the total drug beyond— Protection until expended (without fiscal price of qualifying drugs imported into the ‘‘(aa) the variations provided for in the ap- year limitation). United States by registered exporters during plication; and ‘‘(B) SOLE PURPOSE.—Fees collected by the that fiscal year by adding the total price of ‘‘(bb) any difference in labeling (except in- Secretary under paragraphs (1) and (2) are qualifying drugs exported by each registered gredient labeling); or only available to the Secretary and, if trans- exporter during that fiscal year, as reported ‘‘(II) states that there is no difference in ferred, to the Secretary of Homeland Secu- to the Secretary by each registered exporter the qualifying drug from a condition estab- rity, and are for the sole purpose of paying under subsection (b)(1)(I)(iv). lished in the approved application for the the costs referred to in paragraph (3)(A). ‘‘(iii) ADJUSTMENT.—If the total price of U.S. label drug beyond— ‘‘(5) COLLECTION OF FEES.—In any case qualifying drugs imported into the United ‘‘(aa) the variations provided for in the ap- where the Secretary does not receive pay- States by registered exporters during a fiscal plication; and ment of a fee assessed under paragraph (1) or year as calculated under clause (ii) is less ‘‘(bb) any difference in labeling (except in- (2) within 30 days after it is due, such fee than the aggregate total of fees collected gredient labeling).

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‘‘(ii) INFORMATION IN NOTICE.—A notice mitted in a notice under clause (i) from the exporters, registered importers, the Federal under clause (i)(I) shall include the informa- U.S. label drug shall be treated by the Sec- Trade Commission, and the State attorneys tion that the Secretary may require under retary as if it were a manufacturing change general that the notice has been submitted section 506A, any additional information the to the U.S. label drug under section 506A. with respect to the qualifying drug involved. Secretary may require (which may include ‘‘(II) STANDARD OF REVIEW.—Except as pro- ‘‘(ii) If the Secretary has not made a deter- data on bioequivalence if such data are not vided in subclause (III), the Secretary shall mination whether such a supplemental appli- required under section 506A), and, with re- review and approve or disapprove the dif- cation regarding the U.S. label drug would be spect to the permitted country that ap- ference in a notice submitted under clause approved or disapproved by the date on proved the qualifying drug for commercial (i), if required under section 506A, using the which the qualifying drug involved is to be distribution, or with respect to which such safe and effective standard for approving or introduced for commercial distribution in a approval is sought, include the following: disapproving a manufacturing change under permitted country, the Secretary shall— ‘‘(I) The date on which the qualifying drug section 506A. ‘‘(I) order that the importation of the with such difference was, or will be, intro- ‘‘(III) BIOEQUIVALENCE.—If the Secretary qualifying drug involved from the permitted duced for commercial distribution in the per- would approve the difference in a notice sub- country not begin until the Secretary com- mitted country. mitted under clause (i) using the safe and ef- pletes review of the notice; and ‘‘(II) Information demonstrating that the fective standard under section 506A and if ‘‘(II) promptly notify registered exporters, person submitting the notice has also noti- the Secretary determines that the qualifying registered importers, the Federal Trade fied the government of the permitted coun- drug is not bioequivalent to the U.S. label Commission, and the State attorneys general try in writing that the person is submitting drug, the Secretary shall— of the order. to the Secretary a notice under clause (i)(I), ‘‘(aa) include in the labeling provided ‘‘(iii) If the Secretary determines that such which notice describes the difference in the under paragraph (3) a prominent advisory a supplemental application regarding the qualifying drug from a condition established that the qualifying drug is safe and effective U.S. label drug would not be approved, the in the approved application for the U.S. label but is not bioequivalent to the U.S. label Secretary shall— drug. drug if the Secretary determines that such ‘‘(I) order that the importation of the ‘‘(III) The information that the person sub- an advisory is necessary for health care prac- qualifying drug involved from the permitted mitted or will submit to the government of titioners and patients to use the qualifying country cease, or provide that an order the permitted country for purposes of ob- drug safely and effectively; or under clause (ii), if any, remains in effect; taining approval for commercial distribution ‘‘(bb) decline to approve the difference if ‘‘(II) notify the permitted country that ap- of the drug in the country which, if in a lan- the Secretary determines that the avail- proved the qualifying drug for commercial guage other than English, shall be accom- ability of both the qualifying drug and the distribution of the determination; and panied by an English translation verified to U.S. label drug would pose a threat to the ‘‘(III) promptly notify registered exporters, be complete and accurate, with the name, public health. registered importers, the Federal Trade address, and a brief statement of the quali- Commission, and the State attorneys general ‘‘(IV) REVIEW BY THE SECRETARY.—The Sec- fications of the person that made the trans- retary shall review and approve or dis- of the determination. lation. approve the difference in a notice submitted ‘‘(iv) If the Secretary determines that such ERTIFICATIONS.—The chief executive ‘‘(iii) C under clause (i), if required under section a supplemental application regarding the officer and the chief medical officer of the U.S. label drug would be approved, the Sec- 506A, not later than 120 days after the date manufacturer involved shall each certify in retary shall— on which the notice is submitted. the notice under clause (i) that— ‘‘(I) vacate the order under clause (ii), if ‘‘(V) ESTABLISHMENT INSPECTION.—If review ‘‘(I) the information provided in the notice any; of such difference would require an inspec- is complete and true; and ‘‘(II) consider the difference to be a vari- tion of the establishment in which the quali- ‘‘(II) a copy of the notice has been provided ation provided for in the approved applica- fying drug is manufactured— to the Federal Trade Commission and to the tion for the U.S. label drug; ‘‘(aa) such inspection by the Secretary State attorneys general. ‘‘(III) permit importation of the qualifying shall be authorized; and ‘‘(iv) FEE.—If a notice submitted under drug under subsection (a); and ‘‘(bb) the Secretary may rely on a satisfac- clause (i) includes a difference that would, ‘‘(IV) promptly notify registered exporters, under section 506A, require the submission of tory report of a good manufacturing practice registered importers, the Federal Trade a supplemental application if made as a inspection of the establishment from a per- Commission, and the State attorneys general change to the U.S. label drug, the person mitted country whose regulatory system the of the determination. Secretary recognizes as equivalent under a that submits the notice shall pay to the Sec- ‘‘(D) NOTICE; DRUG DIFFERENCE NOT REQUIR- mutual recognition agreement, as provided retary a fee in the same amount as would ING PRIOR APPROVAL.—In the case of a notice apply if the person were paying a fee pursu- under section 510(i)(3), section 803, or part 26 under subparagraph (B)(i) that includes a dif- ant to section 736(a)(1)(A)(ii). Subject to ap- of title 21, Code of Federal Regulations (or ference that would, under section propriations Acts, fees collected by the Sec- any corresponding successor rule or regula- 506A(d)(3)(B)(ii), not require the approval of retary under the preceding sentence are tion). a supplemental application before the dif- available only to the Secretary and are for ‘‘(vii) PUBLICATION OF INFORMATION ON NO- ference could be made to the U.S. label drug the sole purpose of paying the costs of re- TICES.— the following shall occur: viewing notices submitted under clause (i). ‘‘(I) IN GENERAL.—Through the Internet ‘‘(i) During the period in which the notice ‘‘(v) TIMING OF SUBMISSION OF NOTICES.— website of the Food and Drug Administra- is being reviewed by the Secretary, the au- ‘‘(I) PRIOR APPROVAL NOTICES.—A notice tion and a toll-free telephone number, the thority under this subsection to import the under clause (i) to which subparagraph (C) Secretary shall readily make available to qualifying drug involved continues in effect. applies shall be submitted to the Secretary the public a list of notices submitted under ‘‘(ii) If the Secretary determines that such not later than 120 days before the qualifying clause (i). a supplemental application regarding the drug with the difference is introduced for ‘‘(II) CONTENTS.—The list under subclause U.S. label drug would not be approved, the commercial distribution in a permitted (I) shall include the date on which a notice is Secretary shall— country, unless the country requires that submitted and whether— ‘‘(I) order that the importation of the distribution of the qualifying drug with the ‘‘(aa) a notice is under review; qualifying drug involved from the permitted difference begin less than 120 days after the ‘‘(bb) the Secretary has ordered that im- country cease; country requires the difference. portation of the qualifying drug from a per- ‘‘(II) notify the permitted country that ap- ‘‘(II) OTHER APPROVAL NOTICES.—A notice mitted country cease; or proved the qualifying drug for commercial under clause (i) to which subparagraph (D) ‘‘(cc) the importation of the drug is per- distribution of the determination; and applies shall be submitted to the Secretary mitted under subsection (a). ‘‘(III) promptly notify registered exporters, not later than the day on which the quali- ‘‘(III) UPDATE.—The Secretary shall registered importers, the Federal Trade fying drug with the difference is introduced promptly update the Internet website with Commission, and the State attorneys general for commercial distribution in a permitted any changes to the list. of the determination. country. ‘‘(C) NOTICE; DRUG DIFFERENCE REQUIRING ‘‘(iii) If the Secretary determines that such ‘‘(III) OTHER NOTICES.—A notice under PRIOR APPROVAL.—In the case of a notice a supplemental application regarding the clause (i) to which subparagraph (E) applies under subparagraph (B)(i) that includes a dif- U.S. label drug would be approved, the dif- shall be submitted to the Secretary on the ference that would, under section 506A(c) or ference shall be considered to be a variation date that the qualifying drug is first intro- (d)(3)(B)(i), require the approval of a supple- provided for in the approved application for duced for commercial distribution in a per- mental application before the difference the U.S. label drug. mitted country and annually thereafter. could be made to the U.S. label drug the fol- ‘‘(E) NOTICE; DRUG DIFFERENCE NOT REQUIR- ‘‘(vi) REVIEW BY SECRETARY.— lowing shall occur: ING APPROVAL; NO DIFFERENCE.—In the case of ‘‘(I) IN GENERAL.—In this paragraph, the ‘‘(i) Promptly after the notice is sub- a notice under subparagraph (B)(i) that in- difference in a qualifying drug that is sub- mitted, the Secretary shall notify registered cludes a difference for which, under section

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506A(d)(1)(A), a supplemental application under the approved application for the U.S. ‘‘(ii) PACKAGING.—A qualifying drug offered would not be required for the difference to be label drug if the qualifying drug bears— for import to an individual by an exporter made to the U.S. label drug, or that states ‘‘(I) a copy of the labeling approved for the under this section that is packaged in a unit- that there is no difference, the Secretary— U.S. label drug under section 505, without re- of-use container (as those items are defined ‘‘(i) shall consider such difference to be a gard to whether the copy bears any trade- in the United States Pharmacopeia and Na- variation provided for in the approved appli- mark involved; tional Formulary) shall not be repackaged, cation for the U.S. label drug; ‘‘(II) the name of the manufacturer and lo- provided that— ‘‘(ii) may not order that the importation of cation of the manufacturer; ‘‘(I) the packaging complies with all appli- the qualifying drug involved cease; and ‘‘(III) the lot number assigned by the man- cable regulations under sections 3 and 4 of ‘‘(iii) shall promptly notify registered ex- ufacturer; the Poison Prevention Packaging Act of 1970 porters and registered importers. ‘‘(IV) the name, location, and registration (15 U.S.C. 1471 et seq.); or ‘‘(F) DIFFERENCES IN ACTIVE INGREDIENT, number of the importer; and ‘‘(II) the consumer consents to waive the ROUTE OF ADMINISTRATION, DOSAGE FORM, OR ‘‘(V) the National Drug Code number as- requirements of such Act, after being in- STRENGTH.— signed to the qualifying drug by the Sec- formed that the packaging does not comply ‘‘(i) IN GENERAL.—A person who manufac- retary. with such Act and that the exporter will pro- tures a drug approved under section 505(b) ‘‘(ii) REQUEST FOR COPY OF THE LABELING.— vide the drug in packaging that is compliant shall submit an application under section The Secretary shall provide such copy to the at no additional cost. 505(b) for approval of another drug that is registered importer involved, upon request of ‘‘(iii) REQUEST FOR COPY OF SPECIAL LABEL- manufactured for distribution in a permitted the importer. ING AND INGREDIENT LIST.—The Secretary country by or for the person that manufac- ‘‘(iii) REQUESTED LABELING.—The labeling shall provide to the registered exporter in- tures the drug approved under section 505(b) provided by the Secretary under clause (ii) volved a copy of the special labeling, the ad- if— shall— visory, and the ingredient list described ‘‘(I) there is no qualifying drug in commer- ‘‘(I) include the established name, as de- under clause (i), upon request of the ex- cial distribution in permitted countries fined in section 502(e)(3), for each active in- porter. whose combined population represents at gredient in the qualifying drug; ‘‘(iv) REQUESTED LABELING AND INGREDIENT least 50 percent of the total population of all ‘‘(II) not include the proprietary name of LIST.—The labeling and ingredient list pro- permitted countries with the same active in- the U.S. label drug or any active ingredient vided by the Secretary under clause (iii) gredient or ingredients, route of administra- thereof; shall— tion, dosage form, and strength as the drug ‘‘(III) if required under paragraph ‘‘(I) include the established name, as de- approved under section 505(b); and (2)(B)(vi)(III), a prominent advisory that the fined in section 502(e)(3), for each active in- ‘‘(II) each active ingredient of the other qualifying drug is safe and effective but not gredient in the drug; and drug is related to an active ingredient of the bioequivalent to the U.S. label drug; and ‘‘(II) not include the proprietary name of drug approved under section 505(b), as de- ‘‘(IV) if the inactive ingredients of the the U.S. label drug or any active ingredient fined in clause (v). qualifying drug are different from the inac- thereof. tive ingredients for the U.S. label drug, in- ‘‘(4) SECTION 501; ADULTERATION.—A quali- ‘‘(ii) APPLICATION UNDER SECTION 505(b).— The application under section 505(b) required clude— fying drug that is imported or offered for im- ‘‘(aa) a prominent notice that the ingredi- port under subsection (a) shall be considered under clause (i) shall— ents of the qualifying drug differ from the in- to be in compliance with section 501 if the ‘‘(I) request approval of the other drug for gredients of the U.S. label drug and that the drug is in compliance with subsection (c). the indication or indications for which the qualifying drug must be dispensed with an ‘‘(5) STANDARDS FOR REFUSING ADMISSION.— drug approved under section 505(b) is labeled; advisory to people with allergies about this A drug exported under subsection (a) from a ‘‘(II) include the information that the per- difference and a list of ingredients; and registered exporter or imported by a reg- son submitted to the government of the per- ‘‘(bb) a list of the ingredients of the quali- istered importer may be refused admission mitted country for purposes of obtaining ap- fying drug as would be required under sec- into the United States if 1 or more of the fol- proval for commercial distribution of the tion 502(e). lowing applies: other drug in that country, which if in a lan- ‘‘(B) IMPORTATION BY INDIVIDUAL.— ‘‘(A) The drug is not a qualifying drug. guage other than English, shall be accom- ‘‘(i) IN GENERAL.—In the case of a quali- ‘‘(B) A notice for the drug required under panied by an English translation verified to fying drug that is imported or offered for im- paragraph (2)(B) has not been submitted to be complete and accurate, with the name, port by a registered exporter to an indi- the Secretary. address, and a brief statement of the quali- vidual, such drug shall be considered to be in ‘‘(C) The Secretary has ordered that impor- fications of the person that made the trans- compliance with section 502 and the labeling tation of the drug from the permitted coun- lation; requirements under the approved application try cease under paragraph (2) (C) or (D). ‘‘(III) include a right of reference to the ap- for the U.S. label drug if the packaging and ‘‘(D) The drug does not comply with para- plication for the drug approved under section labeling of the qualifying drug complies with graph (3) or (4). 505(b); and all applicable regulations promulgated under ‘‘(E) The shipping container appears dam- ‘‘(IV) include such additional information sections 3 and 4 of the Poison Prevention aged in a way that may affect the strength, as the Secretary may require. Packaging Act of 1970 (15 U.S.C. 1471 et seq.) quality, or purity of the drug. ‘‘(iii) TIMING OF SUBMISSION OF APPLICA- and the labeling of the qualifying drug in- ‘‘(F) The Secretary becomes aware that— TION.—An application under section 505(b) re- cludes— ‘‘(i) the drug may be counterfeit; quired under clause (i) shall be submitted to ‘‘(I) directions for use by the consumer; ‘‘(ii) the drug may have been prepared, the Secretary not later than the day on ‘‘(II) the lot number assigned by the manu- packed, or held under insanitary conditions; which the information referred to in clause facturer; or (ii)(II) is submitted to the government of the ‘‘(III) the name and registration number of ‘‘(iii) the methods used in, or the facilities permitted country. the exporter; or controls used for, the manufacturing, ‘‘(iv) NOTICE OF DECISION ON APPLICATION.— ‘‘(IV) if required under paragraph processing, packing, or holding of the drug The Secretary shall promptly notify reg- (2)(B)(vi)(III), a prominent advisory that the do not conform to good manufacturing prac- istered exporters, registered importers, the drug is safe and effective but not bioequiva- tice. Federal Trade Commission, and the State at- lent to the U.S. label drug; ‘‘(G) The Secretary has obtained an injunc- torneys general of a determination to ap- ‘‘(V) if the inactive ingredients of the drug tion under section 302 that prohibits the dis- prove or to disapprove an application under are different from the inactive ingredients tribution of the drug in interstate com- section 505(b) required under clause (i). for the U.S. label drug— merce. ‘‘(v) RELATED ACTIVE INGREDIENTS.—For ‘‘(aa) a prominent advisory that persons ‘‘(H) The Secretary has under section 505(e) purposes of clause (i)(II), 2 active ingredients with an allergy should check the ingredient withdrawn approval of the drug. are related if they are— list of the drug because the ingredients of ‘‘(I) The manufacturer of the drug has in- ‘‘(I) the same; or the drug differ from the ingredients of the stituted a recall of the drug. ‘‘(II) different salts, esters, or complexes of U.S. label drug; and ‘‘(J) If the drug is imported or offered for the same moiety. ‘‘(bb) a list of the ingredients of the drug import by a registered importer without sub- ‘‘(3) SECTION 502; LABELING.— as would be required under section 502(e); mission of a notice in accordance with sub- ‘‘(A) IMPORTATION BY REGISTERED IM- and section (d)(4). PORTER.— ‘‘(VI) a copy of any special labeling that ‘‘(K) If the drug is imported or offered for ‘‘(i) IN GENERAL.—In the case of a quali- would be required by the Secretary had the import from a registered exporter to an indi- fying drug that is imported or offered for im- U.S. label drug been dispensed by a phar- vidual and 1 or more of the following applies: port by a registered importer, such drug macist in the United States, without regard ‘‘(i) The shipping container for such drug shall be considered to be in compliance with to whether the special labeling bears any does not bear the markings required under section 502 and the labeling requirements trademark involved. subsection (d)(2).

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‘‘(ii) The markings on the shipping con- ‘‘(1) IN GENERAL.—A registration condition formed that the packaging does not comply tainer appear to be counterfeit. is that the importer or exporter involved with such Act and that the pharmacist will ‘‘(iii) The shipping container or markings shall— provide the drug in packaging that is compli- appear to have been tampered with. ‘‘(A) maintain records required under this ant at no additional cost. section for not less than 2 years; and ‘‘(m) CHARITABLE CONTRIBUTIONS.—Not- ‘‘(h) LICENSING AS PHARMACIST.—A reg- withstanding any other provision of this sec- istration condition is that the exporter in- ‘‘(B) maintain samples of each lot of a tion, this section does not authorize the im- volved agrees that a qualifying drug will be qualifying drug required under this section portation into the United States of a quali- exported to an individual only if the Sec- for not less than 2 years. LACE OF RECORD MAINTENANCE.—The fying drug donated or otherwise supplied for retary has verified that— ‘‘(2) P records described under paragraph (1) shall free or at nominal cost by the manufacturer ‘‘(1) the exporter is authorized under the be maintained— of the drug to a charitable or humanitarian law of the permitted country in which the ‘‘(A) in the case of an importer, at the organization, including the United Nations exporter is located to dispense prescription place of business of the importer at which and affiliates, or to a government of a for- drugs; and the importer initially receives the qualifying eign country. ‘‘(2) the exporter employs persons that are drug after importation; or ‘‘(n) UNFAIR AND DISCRIMINATORY ACTS AND licensed under the law of the permitted ‘‘(B) in the case of an exporter, at the facil- PRACTICES.— country in which the exporter is located to ity from which the exporter ships the quali- ‘‘(1) IN GENERAL.—It is unlawful for a man- dispense prescription drugs in sufficient fying drug to the United States. ufacturer, directly or indirectly (including number to dispense safely the drugs exported ‘‘(k) DRUG RECALLS.— by being a party to a licensing agreement or by the exporter to individuals, and the ex- ‘‘(1) MANUFACTURERS.—A person that man- other agreement), to— porter assigns to those persons responsibility ufactures a qualifying drug imported from a ‘‘(A) discriminate by charging a higher for dispensing such drugs to individuals. permitted country under this section shall price for a prescription drug sold to a reg- ‘‘(i) INDIVIDUALS; CONDITIONS FOR IMPORTA- promptly inform the Secretary— istered exporter or other person in a per- TION.— ‘‘(A) if the drug is recalled or withdrawn mitted country that exports a qualifying ‘‘(1) IN GENERAL.—For purposes of sub- from the market in a permitted country; drug to the United States under this section section (a)(2)(B), the importation of a quali- ‘‘(B) how the drug may be identified, in- than the price that is charged, inclusive of fying drug by an individual is in accordance cluding lot number; and rebates or other incentives to the permitted with this subsection if the following condi- ‘‘(C) the reason for the recall or with- country or other person, to another person tions are met: drawal. that is in the same country and that does ‘‘(A) The drug is accompanied by a copy of ‘‘(2) SECRETARY.—With respect to each per- not export a qualifying drug into the United a prescription for the drug, which prescrip- mitted country, the Secretary shall— States under this section; tion— ‘‘(A) enter into an agreement with the gov- ‘‘(B) discriminate by charging a higher ‘‘(i) is valid under applicable Federal and ernment of the country to receive informa- price for a prescription drug sold to a reg- State laws; and tion about recalls and withdrawals of quali- istered importer or other person that distrib- ‘‘(ii) was issued by a practitioner who, fying drugs in the country; or utes, sells, or uses a qualifying drug im- under the law of a State of which the indi- ‘‘(B) monitor recalls and withdrawals of ported into the United States under this sec- vidual is a resident, or in which the indi- qualifying drugs in the country using any in- tion than the price that is charged to an- vidual receives care from the practitioner formation that is available to the public in other person in the United States that does not import a qualifying drug under this sec- who issues the prescription, is authorized to any media. tion, or that does not distribute, sell, or use administer prescription drugs. ‘‘(3) NOTICE.—The Secretary may notify, as such a drug; ‘‘(B) The drug is accompanied by a copy of appropriate, registered exporters, registered ‘‘(C) discriminate by denying, restricting, the documentation that was required under importers, wholesalers, pharmacies, or the or delaying supplies of a prescription drug to the law or regulations of the permitted coun- public of a recall or withdrawal of a quali- a registered exporter or other person in a try in which the exporter is located, as a fying drug in a permitted country. permitted country that exports a qualifying condition of dispensing the drug to the indi- ‘‘(l) DRUG LABELING AND PACKAGING.— drug to the United States under this section vidual. ‘‘(1) IN GENERAL.—When a qualifying drug or to a registered importer or other person ‘‘(C) The copies referred to in subpara- that is imported into the United States by an importer under subsection (a) is dispensed that distributes, sells, or uses a qualifying graphs (A)(i) and (B) are marked in a manner by a pharmacist to an individual, the phar- drug imported into the United States under sufficient— macist shall provide that the packaging and this section; ‘‘(i) to indicate that the prescription, and labeling of the drug complies with all appli- ‘‘(D) discriminate by publicly, privately, or the equivalent document in the permitted cable regulations promulgated under sec- otherwise refusing to do business with a reg- country in which the exporter is located, tions 3 and 4 of the Poison Prevention Pack- istered exporter or other person in a per- have been filled; and aging Act of 1970 (15 U.S.C. 1471 et seq.) and mitted country that exports a qualifying ‘‘(ii) to prevent a duplicative filling by an- shall include with any other labeling pro- drug to the United States under this section other pharmacist. vided to the individual the following: or with a registered importer or other person ‘‘(D) The individual has provided to the ‘‘(A) The lot number assigned by the manu- that distributes, sells, or uses a qualifying registered exporter a complete list of all facturer. drug imported into the United States under drugs used by the individual for review by ‘‘(B) The name and registration number of this section; the individuals who dispense the drug. the importer. ‘‘(E) knowingly fail to submit a notice ‘‘(E) The quantity of the drug does not ex- ‘‘(C) If required under paragraph under subsection (g)(2)(B)(i), knowingly fail ceed a 90-day supply. (2)(B)(vi)(III) of subsection (g), a prominent to submit such a notice on or before the date ‘‘(F) The drug is not an ineligible subpart advisory that the drug is safe and effective specified in subsection (g)(2)(B)(v) or as oth- H drug. For purposes of this section, a pre- but not bioequivalent to the U.S. label drug. erwise required under subsection (e) (3), (4), scription drug is an ‘ineligible subpart H ‘‘(D) If the inactive ingredients of the drug and (5) of section ll4 of the Pharmaceutical drug’ if the drug was approved by the Sec- are different from the inactive ingredients Market Access and Drug Safety Act of 2006, retary under subpart H of part 314 of title 21, for the U.S. label drug— knowingly submit such a notice that makes Code of Federal Regulations (relating to ac- ‘‘(i) a prominent advisory that persons a materially false, fictitious, or fraudulent celerated approval), with restrictions under with allergies should check the ingredient statement, or knowingly fail to provide section 520 of such part to assure safe use, list of the drug because the ingredients of promptly any information requested by the and the Secretary has published in the Fed- the drug differ from the ingredients of the Secretary to review such a notice; eral Register a notice that the Secretary has U.S. label drug; and ‘‘(F) knowingly fail to submit an applica- determined that good cause exists to pro- ‘‘(ii) a list of the ingredients of the drug as tion required under subsection (g)(2)(F), hibit the drug from being imported pursuant would be required under section 502(e). knowingly fail to submit such an application to this subsection. ‘‘(2) PACKAGING.—A qualifying drug that is on or before the date specified in subsection ‘‘(2) NOTICE REGARDING DRUG REFUSED AD- packaged in a unit-of-use container (as those (g)(2)(F)(ii), knowingly submit such an appli- MISSION.—If a registered exporter ships a terms are defined in the United States Phar- cation that makes a materially false, ficti- drug to an individual pursuant to subsection macopeia and National Formulary) shall not tious, or fraudulent statement, or knowingly (a)(2)(B) and the drug is refused admission to be repackaged, provided that— fail to provide promptly any information re- the United States, a written notice shall be ‘‘(A) the packaging complies with all appli- quested by the Secretary to review such an sent to the individual and to the exporter cable regulations under sections 3 and 4 of application; that informs the individual and the exporter the Poison Prevention Packaging Act of 1970 ‘‘(G) cause there to be a difference (includ- of such refusal and the reason for the refusal. (15 U.S.C. 1471 et seq.); or ing a difference in active ingredient, route of ‘‘(j) MAINTENANCE OF RECORDS AND SAM- ‘‘(B) the consumer consents to waive the administration, dosage form, strength, for- PLES.— requirements of such Act, after being in- mulation, manufacturing establishment,

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manufacturing process, or person that manu- manufacturer of the drug chooses to sell or ‘‘(II) EXEMPTION.—Subclause (I) shall not factures the drug) between a prescription distribute the drug in the country. Nothing apply with respect to the filing of an action drug for distribution in the United States in this subsection shall be construed to com- by an attorney general of a State under this and the drug for distribution in a permitted pel the manufacturer of a drug to distribute paragraph, if the attorney general deter- country; or sell the drug in a country. mines that it is not feasible to provide the ‘‘(H) refuse to allow an inspection author- ‘‘(B) DISCOUNTS TO INSURERS, HEALTH notice described in that subclause before fil- ized under this section of an establishment PLANS, PHARMACY BENEFIT MANAGERS, AND ing of the action. In such case, the attorney that manufactures a qualifying drug that is, COVERED ENTITIES.—Nothing in this sub- general of a State shall provide notice and a or will be, introduced for commercial dis- section shall be construed to— copy of the complaint to the Federal Trade tribution in a permitted country; ‘‘(i) prevent or restrict a manufacturer of a Commission at the same time as the attor- ‘‘(I) fail to conform to the methods used in, prescription drug from providing discounts ney general files the action. or the facilities used for, the manufacturing, to an insurer, health plan, pharmacy benefit ‘‘(B) INTERVENTION.— processing, packing, or holding of a quali- manager in the United States, or covered en- ‘‘(i) IN GENERAL.—On receiving notice fying drug that is, or will be, introduced for tity in the drug discount program under sec- under subparagraph (A)(ii), the Federal commercial distribution in a permitted tion 340B of the Public Health Service Act Trade Commission shall have the right to in- country to good manufacturing practice (42 U.S.C. 256b) in return for inclusion of the tervene in the action that is the subject of under this Act; drug on a formulary; the notice. ‘‘(J) become a party to a licensing agree- ‘‘(ii) require that such discounts be made ‘‘(ii) EFFECT OF INTERVENTION.—If the Fed- ment or other agreement related to a quali- available to other purchasers of the prescrip- eral Trade Commission intervenes in an ac- fying drug that fails to provide for compli- tion drug; or tion under subparagraph (A), it shall have ance with all requirements of this section ‘‘(iii) prevent or restrict any other meas- the right— with respect to such drug; ures taken by an insurer, health plan, or ‘‘(I) to be heard with respect to any matter ‘‘(K) enter into a contract that restricts, pharmacy benefit manager to encourage con- that arises in that action; and prohibits, or delays the importation of a sumption of such prescription drug. ‘‘(II) to file a petition for appeal. qualifying drug under this section; ‘‘(C) CHARITABLE CONTRIBUTIONS.—Nothing ‘‘(C) CONSTRUCTION.—For purposes of bring- ‘‘(L) engage in any other action to restrict, in this subsection shall be construed to— ing any civil action under subparagraph (A), prohibit, or delay the importation of a quali- ‘‘(i) prevent a manufacturer from donating nothing in this subsection shall be construed fying drug under this section; or a prescription drug, or supplying a prescrip- to prevent an attorney general of a State ‘‘(M) engage in any other action that the tion drug at nominal cost, to a charitable or from exercising the powers conferred on the Federal Trade Commission determines to humanitarian organization, including the attorney general by the laws of that State discriminate against a person that engages United Nations and affiliates, or to a govern- to— or attempts to engage in the importation of ment of a foreign country; or ‘‘(i) conduct investigations; a qualifying drug under this section. ‘‘(ii) apply to such donations or supplying ‘‘(ii) administer oaths or affirmations; or ‘‘(2) REFERRAL OF POTENTIAL VIOLATIONS.— of a prescription drug. ‘‘(iii) compel the attendance of witnesses The Secretary shall promptly refer to the ‘‘(5) ENFORCEMENT.— or the production of documentary and other Federal Trade Commission each potential ‘‘(A) UNFAIR OR DECEPTIVE ACT OR PRAC- evidence. violation of subparagraph (E), (F), (G), (H), TICE.—A violation of this subsection shall be ‘‘(D) ACTIONS BY THE COMMISSION.—In any or (I) of paragraph (1) that becomes known to treated as a violation of a rule defining an case in which an action is instituted by or on the Secretary. unfair or deceptive act or practice prescribed behalf of the Federal Trade Commission for ‘‘(3) AFFIRMATIVE DEFENSE.— under section 18(a)(1)(B) of the Federal Trade a violation of paragraph (1), a State may not, ‘‘(A) DISCRIMINATION.—It shall be an af- Commission Act (15 U.S.C. 57a(a)(1)(B)). during the pendency of that action, institute firmative defense to a charge that a manu- ‘‘(B) ACTIONS BY THE COMMISSION.—The an action under subparagraph (A) for the facturer has discriminated under subpara- Federal Trade Commission— same violation against any defendant named graph (A), (B), (C), (D), or (M) of paragraph ‘‘(i) shall enforce this subsection in the in the complaint in that action. (1) that the higher price charged for a pre- same manner, by the same means, and with ‘‘(E) VENUE.—Any action brought under scription drug sold to a person, the denial, the same jurisdiction, powers, and duties as subparagraph (A) may be brought in the dis- restriction, or delay of supplies of a prescrip- though all applicable terms and provisions of trict court of the United States that meets tion drug to a person, the refusal to do busi- the Federal Trade Commission Act (15 U.S.C. applicable requirements relating to venue ness with a person, or other discriminatory 41 et seq.) were incorporated into and made under section 1391 of title 28, United States activity against a person, is not based, in a part of this section; and Code. whole or in part, on— ‘‘(ii) may seek monetary relief threefold ‘‘(F) SERVICE OF PROCESS.—In an action ‘‘(i) the person exporting or importing a the damages sustained, in addition to any brought under subparagraph (A), process qualifying drug into the United States under other remedy available to the Federal Trade may be served in any district in which the this section; or Commission under the Federal Trade Com- defendant— ‘‘(ii) the person distributing, selling, or mission Act (15 U.S.C. 41 et seq.). ‘‘(i) is an inhabitant; or using a qualifying drug imported into the ‘‘(6) ACTIONS BY STATES.— ‘‘(ii) may be found. United States under this section. ‘‘(A) IN GENERAL.— ‘‘(G) MEASUREMENT OF DAMAGES.—In any ‘‘(B) DRUG DIFFERENCES.—It shall be an af- ‘‘(i) CIVIL ACTIONS.—In any case in which action under this paragraph to enforce a firmative defense to a charge that a manu- the attorney general of a State has reason to cause of action under this subsection in facturer has caused there to be a difference believe that an interest of the residents of which there has been a determination that a described in subparagraph (G) of paragraph that State have been adversely affected by defendant has violated a provision of this (1) that— any manufacturer that violates paragraph subsection, damages may be proved and as- ‘‘(i) the difference was required by the (1), the attorney general of a State may sessed in the aggregate by statistical or sam- country in which the drug is distributed; bring a civil action on behalf of the residents pling methods, by the computation of illegal ‘‘(ii) the Secretary has determined that the of the State, and persons doing business in overcharges or by such other reasonable sys- difference was necessary to improve the safe- the State, in a district court of the United tem of estimating aggregate damages as the ty or effectiveness of the drug; States of appropriate jurisdiction to— court in its discretion may permit without ‘‘(iii) the person manufacturing the drug ‘‘(I) enjoin that practice; the necessity of separately proving the indi- for distribution in the United States has ‘‘(II) enforce compliance with this sub- vidual claim of, or amount of damage to, per- given notice to the Secretary under sub- section; sons on whose behalf the suit was brought. section (g)(2)(B)(i) that the drug for distribu- ‘‘(III) obtain damages, restitution, or other ‘‘(H) EXCLUSION ON DUPLICATIVE RELIEF.— tion in the United States is not different compensation on behalf of residents of the The district court shall exclude from the from a drug for distribution in permitted State and persons doing business in the amount of monetary relief awarded in an ac- countries whose combined population rep- State, including threefold the damages; or tion under this paragraph brought by the at- resents at least 50 percent of the total popu- ‘‘(IV) obtain such other relief as the court torney general of a State any amount of lation of all permitted countries; or may consider to be appropriate. monetary relief which duplicates amounts ‘‘(iv) the difference was not caused, in ‘‘(ii) NOTICE.— which have been awarded for the same in- whole or in part, for the purpose of restrict- ‘‘(I) IN GENERAL.—Before filing an action jury. ing importation of the drug into the United under clause (i), the attorney general of the ‘‘(7) EFFECT ON ANTITRUST LAWS.—Nothing States under this section. State involved shall provide to the Federal in this subsection shall be construed to mod- ‘‘(4) EFFECT OF SUBSECTION.— Trade Commission— ify, impair, or supersede the operation of the ‘‘(A) SALES IN OTHER COUNTRIES.—This sub- ‘‘(aa) written notice of that action; and antitrust laws. For the purpose of this sub- section applies only to the sale or distribu- ‘‘(bb) a copy of the complaint for that ac- section, the term ‘antitrust laws’ has the tion of a prescription drug in a country if the tion. meaning given it in the first section of the

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00048 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16614 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 Clayton Act, except that it includes section registered exporters, on the Internet website ority to those exporters with demonstrated 5 of the Federal Trade Commission Act to of the Food and Drug Administration or ability to process a high volume of ship- the extent that such section 5 applies to un- through a toll-free telephone number re- ments of drugs to individuals in the United fair methods of competition. quired under section 804.’’. States. ‘‘(8) MANUFACTURER.—In this subsection, (2) ESTABLISHMENT REGISTRATION.—Section (E) SECOND YEAR LIMIT ON NUMBER OF EX- the term ‘manufacturer’ means any entity, 510(i) of the Federal Food, Drug, and Cos- PORTERS.—During the 1-year period begin- including any affiliate or licensee of that en- metic Act (21 U.S.C. 360(i)) is amended in ning on the date that is 1 year after the date tity, that is engaged in— paragraph (1) by inserting after ‘‘import into of enactment of this title, the Secretary may ‘‘(A) the production, preparation, propaga- the United States’’ the following: ‘‘, includ- limit the number of registered exporters tion, compounding, conversion, or processing ing a drug that is, or may be, imported or of- under such section 804 to not less than 100, so of a prescription drug, either directly or in- fered for import into the United States under long as the Secretary gives priority to those directly by extraction from substances of section 804,’’. exporters with demonstrated ability to proc- natural origin, or independently by means of (3) EFFECTIVE DATE.—The amendments ess a high volume of shipments of drugs to chemical synthesis, or by a combination of made by this subsection shall take effect on individuals in the United States. extraction and chemical synthesis; or the date that is 90 days after the date of en- (F) FURTHER LIMIT ON NUMBER OF EXPORT- ‘‘(B) the packaging, repackaging, labeling, actment of this title. ERS.—During any 1-year period beginning on relabeling, or distribution of a prescription (d) EXHAUSTION.— a date that is 2 or more years after the date drug.’’. (1) IN GENERAL.—Section 271 of title 35, of enactment of this title, the Secretary may (b) PROHIBITED ACTS.—The Federal Food, United States Code, is amended— limit the number of registered exporters Drug, and Cosmetic Act is amended— (A) by redesignating subsections (h) and (i) under such section 804 to not less than 25 (1) in section 301 (21 U.S.C. 331), by striking as (i) and (j), respectively; and more than the number of such exporters dur- paragraph (aa) and inserting the following: (B) by inserting after subsection (g) the ing the previous 1-year period, so long as the ‘‘(aa)(1) The sale or trade by a pharmacist, following: Secretary gives priority to those exporters or by a business organization of which the ‘‘(h) It shall not be an act of infringement with demonstrated ability to process a high pharmacist is a part, of a qualifying drug to use, offer to sell, or sell within the United volume of shipments of drugs to individuals that under section 804(a)(2)(A) was imported States or to import into the United States in the United States. by the pharmacist, other than— any patented invention under section 804 of (3) LIMITS ON NUMBER OF IMPORTERS.— ‘‘(A) a sale at retail made pursuant to dis- the Federal Food, Drug, and Cosmetic Act (A) FIRST YEAR LIMIT ON NUMBER OF IM- pensing the drug to a customer of the phar- that was first sold abroad by or under au- PORTERS.—During the 1-year period begin- macist or organization; or thority of the owner or licensee of such pat- ning on the date that is 1 year after the date ‘‘(B) a sale or trade of the drug to a phar- ent.’’. of enactment of this title, the Secretary may limit the number of registered importers macy or a wholesaler registered to import (2) RULE OF CONSTRUCTION.—Nothing in the drugs under section 804. amendment made by paragraph (1) shall be under such section 804 to not less than 100 (of ‘‘(2) The sale or trade by an individual of a construed to affect the ability of a patent which at least a significant number shall be qualifying drug that under section owner or licensee to enforce their patent, groups of pharmacies, to the extent feasible given the applications submitted by such 804(a)(2)(B) was imported by the individual. subject to such amendment. groups), so long as the Secretary gives pri- ‘‘(3) The making of a materially false, fic- (e) EFFECT OF SECTION 804.— ority to those importers with demonstrated titious, or fraudulent statement or represen- (1) IN GENERAL.—Section 804 of the Federal ability to process a high volume of ship- tation, or a material omission, in a notice Food, Drug, and Cosmetic Act, as added by ments of drugs imported into the United under clause (i) of section 804(g)(2)(B) or in subsection (a), shall permit the importation States. an application required under section of qualifying drugs (as defined in such sec- (B) SECOND YEAR LIMIT ON NUMBER OF IM- 804(g)(2)(F), or the failure to submit such a tion 804) into the United States without re- PORTERS.—During the 1-year period begin- notice or application. gard to the status of the issuance of imple- ning on the date that is 2 years after the ‘‘(4) The importation of a drug in violation menting regulations— date of enactment of this title, the Secretary of a registration condition or other require- (A) from exporters registered under such may limit the number of registered import- ment under section 804, the falsification of section 804 on the date that is 90 days after ers under such section 804 to not less than any record required to be maintained, or pro- the date of enactment of this title; and 200 (of which at least a significant number vided to the Secretary, under such section, (B) from permitted countries, as defined in shall be groups of pharmacies, to the extent or the violation of any registration condition such section 804, by importers registered feasible given the applications submitted by or other requirement under such section.’’; under such section 804 on the date that is 1 such groups), so long as the Secretary gives and year after the date of enactment of this title. priority to those importers with dem- (2) in section 303(a) (21 U.S.C. 333(a)), by (2) REVIEW OF REGISTRATION BY CERTAIN EX- onstrated ability to process a high volume of striking paragraph (6) and inserting the fol- PORTERS.— shipments of drugs into the United States. lowing: (A) REVIEW PRIORITY.—In the review of reg- (C) FURTHER LIMIT ON NUMBER OF IMPORT- ‘‘(6) Notwithstanding subsection (a), any istrations submitted under subsection (b) of ERS.—During any 1-year period beginning on person that knowingly violates section 301(i) such section 804, registrations submitted by a date that is 3 or more years after the date (2) or (3) or section 301(aa)(4) shall be impris- entities in Canada that are significant ex- of enactment of this title, the Secretary may oned not more than 10 years, or fined in ac- porters of prescription drugs to individuals limit the number of registered importers cordance with title 18, United States Code, in the United States as of the date of enact- under such section 804 to not less than 50 or both.’’. ment of this title will have priority during more (of which at least a significant number (c) AMENDMENT OF CERTAIN PROVISIONS.— the 90 day period that begins on such date of shall be groups of pharmacies, to the extent (1) IN GENERAL.—Section 801 of the Federal enactment. feasible given the applications submitted by Food, Drug, and Cosmetic Act (21 U.S.C. 381) (B) PERIOD FOR REVIEW.—During such 90- such groups) than the number of such im- is amended by striking subsection (g) and in- day period, the reference in subsection porters during the previous 1-year period, so serting the following: (b)(2)(A) of such section 804 to 90 days (relat- long as the Secretary gives priority to those ‘‘(g) With respect to a prescription drug ing to approval or disapproval of registra- importers with demonstrated ability to proc- that is imported or offered for import into tions) is, as applied to such entities, deemed ess a high volume of shipments of drugs to the United States by an individual who is to be 30 days. the United States. not in the business of such importation, that (C) LIMITATION.—That an exporter in Can- (4) NOTICES FOR DRUGS FOR IMPORT FROM is not shipped by a registered exporter under ada exports, or has exported, prescription CANADA.—The notice with respect to a quali- section 804, and that is refused admission drugs to individuals in the United States on fying drug introduced for commercial dis- under subsection (a), the Secretary shall no- or before the date that is 90 days after the tribution in Canada as of the date of enact- tify the individual that— date of enactment of this title shall not ment of this title that is required under sub- ‘‘(1) the drug has been refused admission serve as a basis, in whole or in part, for dis- section (g)(2)(B)(i) of such section 804 shall because the drug was not a lawful import approving a registration under such section be submitted to the Secretary not later than under section 804; 804 from the exporter. 30 days after the date of enactment of this ‘‘(2) the drug is not otherwise subject to a (D) FIRST YEAR LIMIT ON NUMBER OF EX- title if— waiver of the requirements of subsection (a); PORTERS.—During the 1-year period begin- (A) the U.S. label drug (as defined in such ‘‘(3) the individual may under section 804 ning on the date of enactment of this title, section 804) for the qualifying drug is 1 of the lawfully import certain prescription drugs the Secretary of Health and Human Services 100 prescription drugs with the highest dollar from exporters registered with the Secretary (referred to in this section as the ‘‘Sec- volume of sales in the United States based under section 804; and retary’’) may limit the number of registered on the 12 calendar month period most re- ‘‘(4) the individual can find information exporters under such section 804 to not less cently completed before the date of enact- about such importation, including a list of than 50, so long as the Secretary gives pri- ment of this title; or

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00049 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16615 (B) the notice is a notice under subsection United States by registered exporters during sultation with the Secretary of the Treas- (g)(2)(B)(i)(II) of such section 804. the first fiscal year in which this title takes ury, shall prepare and submit to the House of (5) NOTICE FOR DRUGS FOR IMPORT FROM effect to be an amount equal to the amount Representatives and the Senate a report on OTHER COUNTRIES.—The notice with respect which bears the same ratio to $1,000,000,000 as the use, by the Bureau of Customs and Bor- to a qualifying drug introduced for commer- the number of days in such fiscal year during der Protection, of the fees, if any, trans- cial distribution in a permitted country which this title is effective bears to 365. ferred by the Secretary to the Bureau of Cus- other than Canada as of the date of enact- (B) IMPORTERS.—When establishing an ag- toms and Border Protection for the fiscal ment of this title that is required under sub- gregate total of fees to be collected from im- year for which the report is made. section (g)(2)(B)(i) of such section 804 shall porters under subsection (e)(2) of such sec- (10) SPECIAL RULE REGARDING IMPORTATION be submitted to the Secretary not later than tion 804, the Secretary shall, under sub- BY INDIVIDUALS.— 180 days after the date of enactment of this section (e)(3)(C)(i) of such section 804, esti- (A) IN GENERAL.—Notwithstanding any pro- title if— mate the total price of drugs imported under vision of this title (or an amendment made (A) the U.S. label drug for the qualifying subsection (a) of such section 804 into the by this title), the Secretary shall expedite drug is 1 of the 100 prescription drugs with United States by registered importers dur- the designation of any additional countries the highest dollar volume of sales in the ing— from which an individual may import a United States based on the 12 calendar (i) the first fiscal year in which this title qualifying drug into the United States under month period that is first completed on the takes effect to be an amount equal to the such section 804 if any action implemented date that is 120 days after the date of enact- amount which bears the same ratio to by the Government of Canada has the effect ment of this title; or $1,000,000,000 as the number of days in such of limiting or prohibiting the importation of (B) the notice is a notice under subsection fiscal year during which this title is effective qualifying drugs into the United States from (g)(2)(B)(i)(II) of such section 804. bears to 365; and Canada. (6) NOTICE FOR OTHER DRUGS FOR IMPORT.— (ii) the second fiscal year in which this (B) TIMING AND CRITERIA.—The Secretary (A) GUIDANCE ON SUBMISSION DATES.—The title is in effect to be $3,000,000,000. shall designate such additional countries Secretary shall by guidance establish a se- (C) SECOND YEAR ADJUSTMENT.— under subparagraph (A)— ries of submission dates for the notices under (i) REPORTS.—Not later than February 20 of (i) not later than 6 months after the date of subsection (g)(2)(B)(i) of such section 804 the second fiscal year in which this title is in the action by the Government of Canada de- with respect to qualifying drugs introduced effect, registered importers shall report to scribed under such subparagraph; and for commercial distribution as of the date of the Secretary the total price and the total (ii) using the criteria described under sub- enactment of this title and that are not re- volume of drugs imported to the United section (a)(4)(D)(i)(II) of such section 804. quired to be submitted under paragraph (4) States by the importer during the 4-month (f) IMPLEMENTATION OF SECTION 804.— or (5). period from October 1 through January 31 of (1) INTERIM RULE.—The Secretary may pro- (B) CONSISTENT AND EFFICIENT USE OF RE- such fiscal year. mulgate an interim rule for implementing SOURCES.—The Secretary shall establish the (ii) REESTIMATE.—Notwithstanding sub- section 804 of the Federal Food, Drug, and dates described under subparagraph (A) so section (e)(3)(C)(ii) of such section 804 or sub- Cosmetic Act, as added by subsection (a) of that such notices described under subpara- paragraph (B), the Secretary shall reesti- this section. graph (A) are submitted and reviewed at a mate the total price of qualifying drugs im- (2) NO NOTICE OF PROPOSED RULEMAKING.— rate that allows consistent and efficient use ported under subsection (a) of such section The interim rule described under paragraph of the resources and staff available to the 804 into the United States by registered im- (1) may be developed and promulgated by the Secretary for such reviews. The Secretary porters during the second fiscal year in Secretary without providing general notice may condition the requirement to submit which this title is in effect. Such reestimate of proposed rulemaking. such a notice, and the review of such a no- shall be equal to— (3) FINAL RULE.—Not later than 1 year after tice, on the submission by a registered ex- (I) the total price of qualifying drugs im- the date on which the Secretary promulgates porter or a registered importer to the Sec- ported by each importer as reported under an interim rule under paragraph (1), the Sec- retary of a notice that such exporter or im- clause (i); multiplied by retary shall, in accordance with procedures porter intends to import such qualifying (II) 3. under section 553 of title 5, United States drug to the United States under such section (iii) ADJUSTMENT.—The Secretary shall ad- Code, promulgate a final rule for imple- 804. just the fee due on April 1 of the second fis- menting such section 804, which may incor- (C) PRIORITY FOR DRUGS WITH HIGHER cal year in which this title is in effect, from porate by reference provisions of the interim SALES.—The Secretary shall establish the each importer so that the aggregate total of rule provided for under paragraph (1), to the dates described under subparagraph (A) so fees collected under subsection (e)(2) for such extent that such provisions are not modified. that the Secretary reviews the notices de- fiscal year does not exceed the total price of (g) CONSUMER EDUCATION.—The Secretary scribed under such subparagraph with re- qualifying drugs imported under subsection shall carry out activities that educate con- spect to qualifying drugs with higher dollar (a) of such section 804 into the United States sumers— volume of sales in the United States before by registered importers during such fiscal (1) with regard to the availability of quali- the notices with respect to drugs with lower year as reestimated under clause (ii). fying drugs for import for personal use from sales in the United States. (D) FAILURE TO PAY FEES.—Notwith- an exporter registered with and approved by (7) NOTICES FOR DRUGS APPROVED AFTER EF- standing any other provision of this section, the Food and Drug Administration under FECTIVE DATE.—The notice required under the Secretary may prohibit a registered im- section 804 of the Federal Food, Drug, and subsection (g)(2)(B)(i) of such section 804 for porter or exporter that is required to pay Cosmetic Act, as added by this section, in- a qualifying drug first introduced for com- user fees under subsection (e) or (f) of such cluding information on how to verify wheth- mercial distribution in a permitted country section 804 and that fails to pay such fees er an exporter is registered and approved by (as defined in such section 804) after the date within 30 days after the date on which it is use of the Internet website of the Food and of enactment of this title shall be submitted due, from importing or offering for importa- Drug Administration and the toll-free tele- to and reviewed by the Secretary as provided tion a qualifying drug under such section 804 phone number required by this title; under subsection (g)(2)(B) of such section 804, until such fee is paid. (2) that drugs that consumers attempt to without regard to paragraph (4), (5), or (6). (E) ANNUAL REPORT.— import from an exporter that is not reg- (8) REPORT.—Beginning with the first full (i) FOOD AND DRUG ADMINISTRATION.—Not istered with and approved by the Food and fiscal year after the date of enactment of later than 180 days after the end of each fis- Drug Administration can be seized by the this title, not later than 90 days after the cal year during which fees are collected United States Customs Service and de- end of each fiscal year during which the Sec- under subsection (e), (f), or (g)(2)(B)(iv) of stroyed, and that such drugs may be counter- retary reviews a notice referred to in para- such section 804, the Secretary shall prepare feit, unapproved, unsafe, or ineffective; graph (4), (5), or (6), the Secretary shall sub- and submit to the House of Representatives (3) with regard to the suspension and ter- mit a report to Congress concerning the and the Senate a report on the implementa- mination of any registration of a registered progress of the Food and Drug Administra- tion of the authority for such fees during importer or exporter under such section 804; tion in reviewing the notices referred to in such fiscal year and the use, by the Food and and paragraphs (4), (5), and (6). Drug Administration, of the fees collected (4) with regard to the availability at do- (9) USER FEES.— for the fiscal year for which the report is mestic retail pharmacies of qualifying drugs (A) EXPORTERS.—When establishing an ag- made and credited to the Food and Drug Ad- imported under such section 804 by domestic gregate total of fees to be collected from ex- ministration. wholesalers and pharmacies registered with porters under subsection (f)(2) of such sec- (ii) CUSTOMS AND BORDER CONTROL.—Not and approved by the Food and Drug Adminis- tion 804, the Secretary shall, under sub- later than 180 days after the end of each fis- tration. section (f)(3)(C)(i) of such section 804, esti- cal year during which fees are collected (h) EFFECT ON ADMINISTRATION PRAC- mate the total price of drugs imported under under subsection (e) or (f) of such section 804, TICES.—Notwithstanding any provision of subsection (a) of such section 804 into the the Secretary of Homeland Security, in con- this title (and the amendments made by this

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title), nothing in this title (or the amend- ‘‘(f) RULE OF CONSTRUCTION.—This section ‘‘(4) Each manufacturer of a drug subject ments made by this title) shall be construed may not be construed as having any legal ef- to subsection (b) shall maintain at its cor- to change, limit, or restrict the practices of fect on applicable law with respect to a ship- porate offices a current list of the authorized the Food and Drug Administration or the ment of drugs that is imported or offered for distributors of record of such drug. Bureau of Customs and Border Protection in import into the United States and has a de- ‘‘(5) For purposes of this subsection, the effect on January 1, 2004, with respect to the clared value equal to or greater than term ‘authorized distributors of record’ importation of prescription drugs into the $10,000.’’. means those distributors with whom a manu- United States by an individual, on the per- (b) PROCEDURES.—Procedures for carrying facturer has established an ongoing relation- son of such individual, for personal use. out section 805 of the Federal Food, Drug, ship to distribute such manufacturer’s prod- (i) REPORT TO CONGRESS.—The Federal and Cosmetic Act, as added by subsection ucts.’’. Trade Commission shall, on an annual basis, (a), shall be established not later than 90 (c) EFFECTIVE DATE.— submit to Congress a report that describes days after the date of the enactment of this (1) IN GENERAL.—The amendments made by any action taken during the period for which title. paragraphs (1) and (3) of subsection (a) and the report is being prepared to enforce the (c) EFFECTIVE DATE.—The amendments by subsection (b) shall take effect on Janu- provisions of section 804(n) of the Federal made by this section shall take effect on the ary 1, 2010. Food, Drug, and Cosmetic Act (as added by date that is 90 days after the date of enact- (2) DRUGS IMPORTED BY REGISTERED IMPORT- ment of this title. this title), including any pending investiga- ERS UNDER SECTION 804.—Notwithstanding tions or civil actions under such section. SEC. ll6. WHOLESALE DISTRIBUTION OF paragraph (1), the amendments made by DRUGS; STATEMENTS REGARDING paragraphs (1) and (3) of subsection (a) and SEC. ll5. DISPOSITION OF CERTAIN DRUGS DE- PRIOR SALE, PURCHASE, OR TRADE. NIED ADMISSION INTO UNITED by subsection (b) shall take effect on the (a) STRIKING OF EXEMPTIONS; APPLICABILITY STATES. date that is 90 days after the date of enact- TO REGISTERED EXPORTERS.—Section 503(e) of (a) IN GENERAL.—Chapter VIII of the Fed- the Federal Food, Drug, and Cosmetic Act ment of this title with respect to qualifying eral Food, Drug, and Cosmetic Act (21 U.S.C. (21 U.S.C. 353(e)) is amended— drugs imported under section 804 of the Fed- 381 et seq.), as amended by section 3, is ll (1) in paragraph (1)— eral Food, Drug, and Cosmetic Act, as added further amended by adding at the end the (A) by striking ‘‘and who is not the manu- by section ll4. following section: facturer or an authorized distributor of (3) HIGH-RISK DRUGS.— ‘‘SEC. 805. DISPOSITION OF CERTAIN DRUGS DE- record of such drug’’; (A) IN GENERAL.—Notwithstanding para- NIED ADMISSION. (B) by striking ‘‘to an authorized dis- graph (1), the Secretary of Health and ‘‘(a) IN GENERAL.—The Secretary of Home- tributor of record or’’; and Human Services (referred to in this section land Security shall deliver to the Secretary (C) by striking subparagraph (B) and in- as the ‘‘Secretary’’) may apply the amend- a shipment of drugs that is imported or of- serting the following: ments made by paragraphs (1) and (3) of sub- fered for import into the United States if— ‘‘(B) The fact that a drug subject to sub- section (a) and by subsection (b) before Janu- ‘‘(1) the shipment has a declared value of section (b) is exported from the United ary 1, 2010, with respect to a prescription less than $10,000; and States does not with respect to such drug ex- drug if the Secretary— ‘‘(2)(A) the shipping container for such empt any person that is engaged in the busi- (i) determines that the drug is at high risk drugs does not bear the markings required ness of the wholesale distribution of the drug for being counterfeited; and under section 804(d)(2); or from providing the statement described in (ii) publishes the determination and the ‘‘(B) the Secretary has requested delivery subparagraph (A) to the person that receives basis for the determination in the Federal of such shipment of drugs. the drug pursuant to the export of the drug. Register. ‘‘(b) NO BOND OR EXPORT.—Section 801(b) ‘‘(C)(i) The Secretary shall by regulation (B) PEDIGREE NOT REQUIRED.—Notwith- does not authorize the delivery to the owner establish requirements that supersede sub- standing a determination under subpara- or consignee of drugs delivered to the Sec- paragraph (A) (referred to in this subpara- graph (A) with respect to a prescription retary under subsection (a) pursuant to the graph as ‘alternative requirements’) to iden- drug, the amendments described in such sub- execution of a bond, and such drugs may not tify the chain of custody of a drug subject to paragraph shall not apply with respect to a be exported. subsection (b) from the manufacturer of the wholesale distribution of such drug if the ‘‘(c) DESTRUCTION OF VIOLATIVE SHIP- drug throughout the wholesale distribution drug is distributed by the manufacturer of MENT.—The Secretary shall destroy a ship- of the drug to a pharmacist who intends to the drug to a person that distributes the ment of drugs delivered by the Secretary of sell the drug at retail if the Secretary deter- drug to a retail pharmacy for distribution to Homeland Security to the Secretary under mines that the alternative requirements, the consumer or patient, with no other inter- subsection (a) if— which may include standardized anti-coun- vening transactions. ‘‘(1) in the case of drugs that are imported terfeiting or track-and-trace technologies, (C) LIMITATION.—The Secretary may make or offered for import from a registered ex- will identify such chain of custody or the the determination under subparagraph (A) porter under section 804, the drugs are in vio- identity of the discrete package of the drug with respect to not more than 50 drugs before lation of any standard described in section from which the drug is dispensed with equal January 1, 2010. 804(g)(5); or or greater certainty to the requirements of (4) EFFECT WITH RESPECT TO REGISTERED EX- ‘‘(2) in the case of drugs that are not im- subparagraph (A), and that the alternative PORTERS.—The amendment made by sub- ported or offered for import from a reg- requirements are economically and tech- section (a)(2) shall take effect on the date istered exporter under section 804, the drugs nically feasible. that is 90 days after the date of enactment of are in violation of a standard referred to in ‘‘(ii) When the Secretary promulgates a this title. section 801(a) or 801(d)(1). final rule to establish such alternative re- (5) ALTERNATIVE REQUIREMENTS.—The Sec- ‘‘(d) CERTAIN PROCEDURES.— quirements, the final rule in addition shall, retary shall issue regulations to establish ‘‘(1) IN GENERAL.—The delivery and de- with respect to the registration condition es- the alternative requirements, referred to in struction of drugs under this section may be tablished in clause (i) of section 804(c)(3)(B), the amendment made by subsection (a)(1), carried out without notice to the importer, establish a condition equivalent to the alter- that take effect not later than— owner, or consignee of the drugs except as native requirements, and such equivalent (A) January 1, 2008, with respect to a pre- required by section 801(g) or section 804(i)(2). condition may be met in lieu of the registra- scription drug determined under paragraph The issuance of receipts for the drugs, and tion condition established in such clause (3)(A) to be at high risk for being counter- recordkeeping activities regarding the drugs, (i).’’; feited; and may be carried out on a summary basis. (2) in paragraph (2)(A), by adding at the (B) January 1, 2010, with respect to all ‘‘(2) OBJECTIVE OF PROCEDURES.—Proce- end the following: ‘‘The preceding sentence other prescription drugs. dures promulgated under paragraph (1) shall may not be construed as having any applica- (6) INTERMEDIATE REQUIREMENTS.—With re- be designed toward the objective of ensuring bility with respect to a registered exporter spect to the prescription drugs described that, with respect to efficiently utilizing under section 804.’’; and under paragraph (5)(B), the Secretary shall Federal resources available for carrying out (3) in paragraph (3), by striking ‘‘and sub- by regulation require the use of standardized this section, a substantial majority of ship- section (d)—’’ in the matter preceding sub- anti-counterfeiting or track-and-trace tech- ments of drugs subject to described in sub- paragraph (A) and all that follows through nologies on such prescription drugs at the section (c) are identified and destroyed. ‘‘the term ‘wholesale distribution’ means’’ in case and pallet level effective not later than ‘‘(e) EVIDENCE EXCEPTION.—Drugs may not subparagraph (B) and inserting the fol- January 1, 2008. be destroyed under subsection (c) to the ex- lowing: ‘‘and subsection (d), the term ‘whole- (7) ADDITIONAL REQUIREMENTS.— tent that the Attorney General of the United sale distribution’ means’’. (A) IN GENERAL.—Notwithstanding any States determines that the drugs should be (b) CONFORMING AMENDMENT.—Section other provision of this section, the Secretary preserved as evidence or potential evidence 503(d) of the Federal Food, Drug, and Cos- shall, not later than January 1, 2007, require with respect to an offense against the United metic Act (21 U.S.C. 353(d)) is amended by that the packaging of any prescription drug States. adding at the end the following: incorporates—

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00051 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16617 (i) overt optically variable counterfeit-re- ‘‘(v) If the person provides for medical con- tion of the patient at the request of a practi- sistant technologies that— sultations through the site for purposes of tioner who has conducted at least one in-per- (I) are visible to the naked eye, providing providing prescriptions, the name of each in- son medical evaluation of the patient and is for visual identification of product authen- dividual who provides such consultations; temporarily unavailable to conduct the eval- ticity without the need for readers, micro- each State in which the individual is li- uation of the patient. A practitioner is a cov- scopes, lighting devices, or scanners; censed or otherwise authorized by law to ering practitioner without regard to whether (II) are similar to that used by the Bureau provide such consultations or practice medi- the practitioner has conducted any in-person of Engraving and Printing to secure United cine; and the type or types of health profes- medical evaluation of the patient involved. States currency; sions for which the individual holds such li- ‘‘(4) RULES OF CONSTRUCTION.— (III) are manufactured and distributed in a censes or other authorizations. ‘‘(A) INDIVIDUALS REPRESENTED AS PRACTI- highly secure, tightly controlled environ- ‘‘(B) A link to which paragraph (1) applies TIONERS.—A person who is not a practitioner ment; and shall be displayed in a clear and prominent (as defined in subsection (e)(1)) lacks legal (IV) incorporate additional layers of non- place and manner, and shall include in the capacity under this section to have a quali- visible convert security features up to and caption for the link the words ‘licensing and fying medical relationship with any patient. including forensic capability, as described in contact information’. ‘‘(B) STANDARD PRACTICE OF PHARMACY.— subparagraph (B); or ‘‘(b) INTERNET SALES WITHOUT APPRO- Paragraph (1) may not be construed as pro- (ii) technologies that have a function of se- PRIATE MEDICAL RELATIONSHIPS.— hibiting any conduct that is a standard prac- curity comparable to that described in ‘‘(1) IN GENERAL.—Except as provided in tice in the practice of pharmacy. clause (i), as determined by the Secretary. paragraph (2), a person may not dispense a ‘‘(C) APPLICABILITY OF REQUIREMENTS.— (B) STANDARDS FOR PACKAGING.—For the prescription drug, or sell such a drug, if— Paragraph (3) may not be construed as hav- purpose of making it more difficult to coun- ‘‘(A) for purposes of such dispensing or ing any applicability beyond this section, terfeit the packaging of drugs subject to this sale, the purchaser communicated with the and does not affect any State law, or inter- paragraph, the manufacturers of such drugs person through the Internet; pretation of State law, concerning the prac- shall incorporate the technologies described ‘‘(B) the patient for whom the drug was tice of medicine. in subparagraph (A) into at least 1 additional dispensed or purchased did not, when such ‘‘(c) ACTIONS BY STATES.— element of the physical packaging of the communications began, have a prescription ‘‘(1) IN GENERAL.—Whenever an attorney drugs, including blister packs, shrink wrap, for the drug that is valid in the United general of any State has reason to believe package labels, package seals, bottles, and States; that the interests of the residents of that boxes. ‘‘(C) pursuant to such communications, the State have been or are being threatened or SEC. ll7. INTERNET SALES OF PRESCRIPTION person provided for the involvement of a adversely affected because any person has DRUGS. practitioner, or an individual represented by engaged or is engaging in a pattern or prac- (a) IN GENERAL.—Chapter V of the Federal the person as a practitioner, and the practi- tice that violates section 301(l), the State Food, Drug, and Cosmetic Act (21 U.S.C. 351 tioner or such individual issued a prescrip- may bring a civil action on behalf of its resi- et seq.) is amended by inserting after section tion for the drug that was purchased; dents in an appropriate district court of the 503A the following: ‘‘(D) the person knew, or had reason to United States to enjoin such practice, to en- ‘‘SEC. 503B. INTERNET SALES OF PRESCRIPTION know, that the practitioner or the individual force compliance with such section (includ- DRUGS. referred to in subparagraph (C) did not, when ing a nationwide injunction), to obtain dam- ‘‘(a) REQUIREMENTS REGARDING INFORMA- issuing the prescription, have a qualifying ages, restitution, or other compensation on TION ON INTERNET SITE.— ‘‘(1) IN GENERAL.—A person may not dis- medical relationship with the patient; and behalf of residents of such State, to obtain pense a prescription drug pursuant to a sale ‘‘(E) the person received payment for the reasonable attorneys fees and costs if the of the drug by such person if— dispensing or sale of the drug. State prevails in the civil action, or to ob- ‘‘(A) the purchaser of the drug submitted For purposes of subparagraph (E), payment tain such further and other relief as the the purchase order for the drug, or conducted is received if money or other valuable con- court may deem appropriate. any other part of the sales transaction for sideration is received. ‘‘(2) NOTICE.—The State shall serve prior the drug, through an Internet site; ‘‘(2) EXCEPTIONS.—Paragraph (1) does not written notice of any civil action under para- ‘‘(B) the person dispenses the drug to the apply to— graph (1) or (5)(B) upon the Secretary and purchaser by mailing or shipping the drug to ‘‘(A) the dispensing or selling of a prescrip- provide the Secretary with a copy of its com- the purchaser; and tion drug pursuant to telemedicine practices plaint, except that if it is not feasible for the ‘‘(C) such site, or any other Internet site sponsored by— State to provide such prior notice, the State used by such person for purposes of sales of ‘‘(i) a hospital that has in effect a provider shall serve such notice immediately upon in- a prescription drug, fails to meet each of the agreement under title XVIII of the Social stituting such action. Upon receiving a no- requirements specified in paragraph (2), Security Act (relating to the Medicare pro- tice respecting a civil action, the Secretary other than a site or pages on a site that— gram); or shall have the right— ‘‘(i) are not intended to be accessed by pur- ‘‘(ii) a group practice that has not fewer ‘‘(A) to intervene in such action; chasers or prospective purchasers; or than 100 physicians who have in effect pro- ‘‘(B) upon so intervening, to be heard on all ‘‘(ii) provide an Internet information loca- vider agreements under such title; or matters arising therein; and tion tool within the meaning of section ‘‘(B) the dispensing or selling of a prescrip- ‘‘(C) to file petitions for appeal. 231(e)(5) of the Communications Act of 1934 tion drug pursuant to practices that promote ‘‘(3) CONSTRUCTION.—For purposes of bring- (47 U.S.C. 231(e)(5)). the public health, as determined by the Sec- ing any civil action under paragraph (1), ‘‘(2) REQUIREMENTS.—With respect to an retary by regulation. nothing in this chapter shall prevent an at- Internet site, the requirements referred to in ‘‘(3) QUALIFYING MEDICAL RELATIONSHIP.— torney general of a State from exercising the subparagraph (C) of paragraph (1) for a per- ‘‘(A) IN GENERAL.—With respect to issuing powers conferred on the attorney general by son to whom such paragraph applies are as a prescription for a drug for a patient, a the laws of such State to conduct investiga- follows: practitioner has a qualifying medical rela- tions or to administer oaths or affirmations ‘‘(A) Each page of the site shall include ei- tionship with the patient for purposes of this or to compel the attendance of witnesses or ther the following information or a link to a section if— the production of documentary and other page that provides the following informa- ‘‘(i) at least one in-person medical evalua- evidence. tion: tion of the patient has been conducted by the ‘‘(4) VENUE; SERVICE OF PROCESS.—Any civil ‘‘(i) The name of such person. practitioner; or action brought under paragraph (1) in a dis- ‘‘(ii) Each State in which the person is au- ‘‘(ii) the practitioner conducts a medical trict court of the United States may be thorized by law to dispense prescription evaluation of the patient as a covering prac- brought in the district in which the defend- drugs. titioner. ant is found, is an inhabitant, or transacts ‘‘(iii) The address and telephone number of ‘‘(B) IN-PERSON MEDICAL EVALUATION.—A business or wherever venue is proper under each place of business of the person with re- medical evaluation by a practitioner is an section 1391 of title 28, United States Code. spect to sales of prescription drugs through in-person medical evaluation for purposes of Process in such an action may be served in the Internet, other than a place of business this section if the practitioner is in the phys- any district in which the defendant is an in- that does not mail or ship prescription drugs ical presence of the patient as part of con- habitant or in which the defendant may be to purchasers. ducting the evaluation, without regard to found. ‘‘(iv) The name of each individual who whether portions of the evaluation are con- ‘‘(5) ACTIONS BY OTHER STATE OFFICIALS.— serves as a pharmacist for prescription drugs ducted by other health professionals. ‘‘(A) Nothing contained in this section that are mailed or shipped pursuant to the ‘‘(C) COVERING PRACTITIONER.—With respect shall prohibit an authorized State official site, and each State in which the individual to a patient, a practitioner is a covering from proceeding in State court on the basis is authorized by law to dispense prescription practitioner for purposes of this section if of an alleged violation of any civil or crimi- drugs. the practitioner conducts a medical evalua- nal statute of such State.

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00052 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16618 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 ‘‘(B) In addition to actions brought by an Act (21 U.S.C. 331) is amended by inserting transmission and settlement of credit trans- attorney general of a State under paragraph after paragraph (k) the following: actions, electronic fund transfers, or money (1), such an action may be brought by offi- ‘‘(l) The dispensing or selling of a prescrip- transmitting services. cers of such State who are authorized by the tion drug in violation of section 503B.’’. ‘‘(B) PERSONS DESCRIBED.—A person re- State to bring actions in such State on be- (c) INTERNET SALES OF PRESCRIPTION ferred to in subparagraph (A) is— half of its residents. DRUGS; CONSIDERATION BY SECRETARY OF ‘‘(i) a creditor; ‘‘(d) EFFECT OF SECTION.—This section PRACTICES AND PROCEDURES FOR CERTIFI- ‘‘(ii) a credit card issuer; shall not apply to a person that is a reg- CATION OF LEGITIMATE BUSINESSES.—In car- ‘‘(iii) a financial institution; istered exporter under section 804. rying out section 503B of the Federal Food, ‘‘(iv) an operator of a terminal at which an ‘‘(e) GENERAL DEFINITIONS.—For purposes Drug, and Cosmetic Act (as added by sub- electronic fund transfer may be initiated; of this section: section (a) of this section), the Secretary of ‘‘(v) a money transmitting business; or ‘‘(1) The term ‘practitioner’ means a prac- Health and Human Services shall take into ‘‘(vi) a participant in an international, na- titioner referred to in section 503(b)(1) with consideration the practices and procedures of tional, regional, or local network used to ef- respect to issuing a written or oral prescrip- public or private entities that certify that fect a credit transaction, electronic fund tion. businesses selling prescription drugs through transfer, or money transmitting service. ‘‘(2) The term ‘prescription drug’ means a Internet sites are legitimate businesses, in- ‘‘(3) RESTRICTED TRANSACTION.—The term drug that is described in section 503(b)(1). cluding practices and procedures regarding ‘restricted transaction’ means a transaction ‘‘(3) The term ‘qualifying medical relation- disclosure formats and verification pro- or transmittal, on behalf of an individual ship’, with respect to a practitioner and a pa- grams. who places an unlawful drug importation re- (d) REPORTS REGARDING INTERNET-RELATED tient, has the meaning indicated for such quest to any person engaged in the operation VIOLATIONS OF FEDERAL AND STATE LAWS ON term in subsection (b). of an unregistered foreign pharmacy, of— ‘‘(f) INTERNET-RELATED DEFINITIONS.— DISPENSING OF DRUGS.— ‘‘(A) credit, or the proceeds of credit, ex- ‘‘(1) IN GENERAL.—For purposes of this sec- (1) IN GENERAL.—The Secretary of Health tended to or on behalf of the individual for tion: and Human Services (referred to in this sub- the purpose of the unlawful drug importation ‘‘(A) The term ‘Internet’ means collec- section as the ‘‘Secretary’’) shall, pursuant request (including credit extended through tively the myriad of computer and tele- to the submission of an application meeting the use of a credit card); communications facilities, including equip- the criteria of the Secretary, make an award ‘‘(B) an electronic fund transfer or funds ment and operating software, which com- of a grant or contract to the National Clear- transmitted by or through a money trans- prise the interconnected world-wide network inghouse on Internet Prescribing (operated mitting business, or the proceeds of an elec- of networks that employ the transmission by the Federation of State Medical Boards) tronic fund transfer or money transmitting control protocol/internet protocol, or any for the purpose of— service, from or on behalf of the individual predecessor or successor protocols to such (A) identifying Internet sites that appear for the purpose of the unlawful drug impor- protocol, to communicate information of all to be in violation of Federal or State laws tation request; kinds by wire or radio. concerning the dispensing of drugs; ‘‘(C) a check, draft, or similar instrument ‘‘(B) The term ‘link’, with respect to the (B) reporting such sites to State medical which is drawn by or on behalf of the indi- Internet, means one or more letters, words, licensing boards and State pharmacy licens- vidual for the purpose of the unlawful drug numbers, symbols, or graphic items that ap- ing boards, and to the Attorney General and importation request and is drawn on or pay- pear on a page of an Internet site for the pur- the Secretary, for further investigation; and able at or through any financial institution; pose of serving, when activated, as a method (C) submitting, for each fiscal year for or for executing an electronic command— which the award under this subsection is ‘‘(D) the proceeds of any other form of fi- ‘‘(i) to move from viewing one portion of a made, a report to the Secretary describing nancial transaction (identified by the Board page on such site to another portion of the investigations undertaken with respect to by regulation) that involves a financial in- page; violations described in subparagraph (A). stitution as a payor or financial inter- ‘‘(ii) to move from viewing one page on (2) AUTHORIZATION OF APPROPRIATIONS.— mediary on behalf of or for the benefit of the such site to another page on such site; or For the purpose of carrying out paragraph individual for the purpose of the unlawful ‘‘(iii) to move from viewing a page on one (1), there is authorized to be appropriated drug importation request. Internet site to a page on another Internet $100,000 for each of the first 3 fiscal years in ‘‘(4) UNLAWFUL DRUG IMPORTATION RE- site. which this section is in effect. QUEST.—The term ‘unlawful drug importa- ‘‘(C) The term ‘page’, with respect to the (e) EFFECTIVE DATE.—The amendments tion request’ means the request, or trans- Internet, means a document or other file made by subsections (a) and (b) take effect 90 mittal of a request, made to an unregistered accessed at an Internet site. days after the date of enactment of this foreign pharmacy for a prescription drug by ‘‘(D)(i) The terms ‘site’ and ‘address’, with title, without regard to whether a final rule mail (including a private carrier), facsimile, respect to the Internet, mean a specific loca- to implement such amendments has been phone, or electronic mail, or by a means that tion on the Internet that is determined by promulgated by the Secretary of Health and involves the use, in whole or in part, of the Internet Protocol numbers. Such term in- Human Services under section 701(a) of the Internet. cludes the domain name, if any. Federal Food, Drug, and Cosmetic Act. The ‘‘(5) UNREGISTERED FOREIGN PHARMACY.— ‘‘(ii) The term ‘domain name’ means a preceding sentence may not be construed as The term ‘unregistered foreign pharmacy’ method of representing an Internet address affecting the authority of such Secretary to means a person in a country other than the without direct reference to the Internet Pro- promulgate such a final rule. United States that is not a registered ex- tocol numbers for the address, including SEC. ll8. PROHIBITING PAYMENTS TO UNREG- porter under section 804. methods that use designations such as ISTERED FOREIGN PHARMACIES. ‘‘(6) OTHER DEFINITIONS.— ‘.com’, ‘.edu’, ‘.gov’, ‘.net’, or ‘.org’. (a) IN GENERAL.—Section 303 of the Federal ‘‘(A) CREDIT; CREDITOR; CREDIT CARD.—The ‘‘(iii) The term ‘Internet Protocol num- Food, Drug, and Cosmetic Act (21 U.S.C. 333) terms ‘credit’, ‘creditor’, and ‘credit card’ bers’ includes any successor protocol for de- is amended by adding at the end the fol- have the meanings given the terms in sec- termining a specific location on the Inter- lowing: ‘‘(g) RESTRICTED TRANSACTIONS.— tion 103 of the Truth in Lending Act (15 net. ‘‘(1) IN GENERAL.—The introduction of re- U.S.C. 1602). ‘‘(2) AUTHORITY OF SECRETARY.—The Sec- stricted transactions into a payment system ‘‘(B) ACCESS DEVICE; ELECTRONIC FUND retary may by regulation modify any defini- or the completion of restricted transactions TRANSFER.—The terms ‘access device’ and tion under paragraph (1) to take into ac- using a payment system is prohibited. ‘electronic fund transfer’— count changes in technology. ‘‘(2) PAYMENT SYSTEM.— ‘‘(i) have the meaning given the term in ‘‘(g) INTERACTIVE COMPUTER SERVICE; AD- ‘‘(A) IN GENERAL.—The term ‘payment sys- section 903 of the Electronic Fund Transfer VERTISING.—No provider of an interactive computer service, as defined in section tem’ means a system used by a person de- Act (15 U.S.C. 1693a); and 230(f)(2) of the Communications Act of 1934 scribed in subparagraph (B) to effect a credit ‘‘(ii) the term ‘electronic fund transfer’ (47 U.S.C. 230(f)(2)), or of advertising services transaction, electronic fund transfer, or also includes any fund transfer covered shall be liable under this section for dis- money transmitting service that may be under Article 4A of the Uniform Commercial pensing or selling prescription drugs in vio- used in connection with, or to facilitate, a Code, as in effect in any State. lation of this section on account of another restricted transaction, and includes— ‘‘(C) FINANCIAL INSTITUTION.—The term ‘fi- person’s selling or dispensing such drugs, ‘‘(i) a credit card system; nancial institution’— provided that the provider of the interactive ‘‘(ii) an international, national, regional, ‘‘(i) has the meaning given the term in sec- computer service or of advertising services or local network used to effect a credit tion 903 of the Electronic Transfer Fund Act does not own or exercise corporate control transaction, an electronic fund transfer, or a (15 U.S.C. 1693a); and over such person.’’. money transmitting service; and ‘‘(ii) includes a financial institution (as de- (b) INCLUSION AS PROHIBITED ACT.—Section ‘‘(iii) any other system that is centrally fined in section 509 of the Gramm-Leach-Bli- 301 of the Federal Food, Drug, and Cosmetic managed and is primarily engaged in the ley Act (15 U.S.C. 6809)).

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00053 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16619

‘‘(D) MONEY TRANSMITTING BUSINESS; MONEY ‘‘(I) The extent to which the payment sys- (1) ADMINISTRATOR.—The term ‘‘Adminis- TRANSMITTING SERVICE.—The terms ‘money tem or person knowingly permits restricted trator’’ means the Administrator of the transmitting business’ and ‘money transmit- transactions. Small Business Administration; and ting service’ have the meaning given the ‘‘(II) The history of the payment system or (2) SMALL BUSINESS CONCERN.—The term terms in section 5330(d) of title 31, United person in connection with permitting re- ‘‘small business concern’’ has the meaning States Code. stricted transactions. given the term in section 3 of the Small ‘‘(E) BOARD.—The term ‘Board’ means the ‘‘(III) The extent to which the payment Business Act (15 U.S.C. 632). Board of Governors of the Federal Reserve system or person has established and is (b) SMALL BUSINESS PRODUCER ENERGY System. maintaining policies and procedures in com- EMERGENCY DISASTER LOAN PROGRAM.— ‘‘(7) POLICIES AND PROCEDURES REQUIRED TO pliance with regulations prescribed under (1) DISASTER LOAN AUTHORITY.—Section 7(b) PREVENT RESTRICTED TRANSACTIONS.— this subsection. of the Small Business Act (15 U.S.C. 636(b)) is ‘‘(A) REGULATIONS.—The Board shall pro- ‘‘(8) TRANSACTIONS PERMITTED.—A payment amended by inserting immediately after mulgate regulations requiring— system, or a person described in paragraph paragraph (3) the following: ‘‘(i) an operator of a credit card system; (2)(B) that is subject to a regulation issued ‘‘(4) ENERGY DISASTER LOANS.— ‘‘(ii) an operator of an international, na- under this subsection, is authorized to en- ‘‘(A) DEFINITIONS.—In this paragraph— tional, regional, or local network used to ef- gage in transactions with foreign pharmacies ‘‘(i) the term ‘base price index’ means the fect a credit transaction, an electronic fund in connection with investigating violations moving average of the closing unit price on transfer, or a money transmitting service; or potential violations of any rule or require- the New York Mercantile Exchange for heat- ‘‘(iii) an operator of any other payment ment adopted by the payment system or per- ing oil, natural gas, gasoline, or propane for system that is centrally managed and is pri- son in connection with complying with para- the 10 days that correspond to the trading marily engaged in the transmission and set- graph (7). A payment system, or such a per- days described in clause (ii) in each of the tlement of credit transactions, electronic son, and its agents and employees shall not most recent 2 preceding years; transfers or money transmitting services be found to be in violation of, or liable ‘‘(ii) the term ‘current price index’ means where at least one party to the transaction under, any Federal, State or other law by the moving average of the closing unit price or transfer is an individual; and virtue of engaging in any such transaction. on the New York Mercantile Exchange, for ‘‘(iv) any other person described in para- ‘‘(9) RELATION TO STATE LAWS.—No require- the 10 most recent trading days, for con- graph (2)(B) and specified by the Board in ment, prohibition, or liability may be im- tracts to purchase heating oil, natural gas, such regulations, posed on a payment system, or a person de- gasoline, or propane during the subsequent to establish policies and procedures that are scribed in paragraph (2)(B) that is subject to calendar month, commonly known as the reasonably designed to prevent the introduc- a regulation issued under this subsection, ‘front month’; and tion of a restricted transaction into a pay- under the laws of any state with respect to ‘‘(iii) the term ‘significant increase’ ment system or the completion of a re- any payment transaction by an individual means— stricted transaction using a payment system because the payment transaction involves a ‘‘(I) with respect to the price of heating oil, ‘‘(B) REQUIREMENTS FOR POLICIES AND PRO- payment to a foreign pharmacy. natural gas, gasoline, or propane, any time CEDURES.—In promulgating regulations ‘‘(10) TIMING OF REQUIREMENTS.—A payment the current price index exceeds the base under subparagraph (A), the Board shall— system, or a person described in paragraph price index by not less than 40 percent; and ‘‘(i) identify types of policies and proce- (2)(B) that is subject to a regulation issued ‘‘(II) with respect to the price of kerosene, dures, including nonexclusive examples, that under this subsection, must adopt policies any increase which the Administrator, in shall be considered to be reasonably designed and procedures reasonably designed to com- consultation with the Secretary of Energy, to prevent the introduction of restricted ply with any regulations required under determines to be significant. transactions into a payment system or the paragraph (7) within 60 days after such regu- ‘‘(B) LOAN AUTHORITY.—The Administrator completion of restricted transactions using a lations are issued in final form.’’. may make such loans, either directly or in payment system; and cooperation with banks or other lending in- ‘‘(ii) to the extent practicable, permit any (b) EFFECTIVE DATE.—The amendment stitutions through agreements to participate payment system, or person described in para- made by this section shall take effect on the on an immediate or deferred basis, to assist graph (2)(B), as applicable, to choose among day that is 90 days after the date of enact- alternative means of preventing the intro- ment of this title. a small business concern that has suffered or duction or completion of restricted trans- (c) IMPLEMENTATION.—The Board of Gov- that is likely to suffer substantial economic actions. ernors of the Federal Reserve System shall injury on or after January 1, 2005, as the re- sult of a significant increase in the price of ‘‘(C) NO LIABILITY FOR BLOCKING OR REFUS- promulgate regulations as required by sub- heating oil, natural gas, gasoline, propane, ING TO HONOR RESTRICTED TRANSACTION.— section (g)(7) of section 303 of the Federal ‘‘(i) IN GENERAL.—A payment system, or a Food, Drug, and Cosmetic Act (21 U.S.C. 333), or kerosene occurring on or after January 1, person described in paragraph (2)(B) that is as added by subsection (a), not later than 90 2005. subject to a regulation issued under this sub- days after the date of enactment of this ‘‘(C) INTEREST RATE.—Any loan or guar- section, and any participant in such pay- title. antee extended pursuant to this paragraph ment system that prevents or otherwise re- SEC. ll9. IMPORTATION EXEMPTION UNDER shall be made at the same interest rate as fuses to honor transactions in an effort to CONTROLLED SUBSTANCES IMPORT economic injury loans under paragraph (2). implement the policies and procedures re- AND EXPORT ACT. ‘‘(D) MAXIMUM AMOUNT.—No loan may be quired under this subsection or to otherwise Section 1006(a)(2) of the Controlled Sub- made under this paragraph, either directly comply with this subsection shall not be lia- stances Import and Export Act (21 U.S.C. or in cooperation with banks or other lend- ble to any party for such action. 956(a)(2)) is amended by striking ‘‘not import ing institutions through agreements to par- ‘‘(ii) COMPLIANCE.—A person described in the controlled substance into the United ticipate on an immediate or deferred basis, if paragraph (2)(B) meets the requirements of States in an amount that exceeds 50 dosage the total amount outstanding and com- this subsection if the person relies on and units of the controlled substance.’’ and in- mitted to the borrower under this subsection complies with the policies and procedures of serting ‘‘import into the United States not would exceed $1,500,000, unless such borrower a payment system of which the person is a more than 10 dosage units combined of all constitutes a major source of employment in member or in which the person is a partici- such controlled substances.’’. its surrounding area, as determined by the pant, and such policies and procedures of the Administrator, in which case the Adminis- payment system comply with the require- Mr. KERRY submitted an trator, in the discretion of the Adminis- SA 4743. trator, may waive the $1,500,000 limitation. ments of the regulations promulgated under amendment intended to be proposed by subparagraph (A). ‘‘(E) DISASTER DECLARATION.—For purposes ‘‘(D) ENFORCEMENT.— him to the bill S. 3711, to enhance the of assistance under this paragraph— ‘‘(i) IN GENERAL.—This section shall be en- energy independence and security of ‘‘(i) a declaration of a disaster area based forced by the Federal functional regulators the United States by providing for ex- on conditions specified in this paragraph and the Federal Trade Commission under ap- ploration, development, and production shall be required, and shall be made by the plicable law in the manner provided in sec- activities for mineral resources in the President or the Administrator; or tion 505(a) of the Gramm-Leach-Bliley Act Gulf of Mexico, and for other purposes; ‘‘(ii) if no declaration has been made pursu- (15 U.S.C. 6805(a)). which was ordered to lie on the table; ant to clause (i), the Governor of a State in ‘‘(ii) FACTORS TO BE CONSIDERED.—In con- which a significant increase in the price of sidering any enforcement action under this as follows: heating oil, natural gas, gasoline, propane, subsection against a payment system or per- At the end, add the following: or kerosene has occurred may certify to the son described in paragraph (2)(B), the Fed- SEC. 6. ENERGY EMERGENCY DISASTER RELIEF Administrator that small business concerns eral functional regulators and the Federal LOANS TO SMALL BUSINESS AND AG- have suffered economic injury as a result of Trade Commission shall consider the fol- RICULTURAL PRODUCERS. such increase and are in need of financial as- lowing factors: (a) DEFINITIONS.—In this section: sistance which is not otherwise available on

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00054 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16620 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 reasonable terms in that State, and upon re- subsection (d)(1), and annually thereafter, At the appropriate place, insert the fol- ceipt of such certification, the Adminis- until the date that is 12 months after the end lowing: trator may make such loans as would have of the effective period of section 7(b)(4) of the SEC. ll. FEDERAL RENEWABLE PORTFOLIO been available under this paragraph if a dis- Small Business Act, as added by this section, STANDARD. aster declaration had been issued. the Administrator shall submit to the Com- Title VI of the Public Utility Regulatory ‘‘(F) CONVERSION.—Notwithstanding any mittee on Small Business and Entrepreneur- Policies Act of 1978 (16 U.S.C. 2601 et seq.) is other provision of law, loans made under this ship of the Senate and the Committee on amended by adding at the end the following: paragraph may be used by a small business Small Business of the House of Representa- ‘‘SEC. 610. FEDERAL RENEWABLE PORTFOLIO concern described in subparagraph (B) to tives, a report on the effectiveness of the as- STANDARD. convert from the use of heating oil, natural sistance made available under section 7(b)(4) ‘‘(a) DEFINITIONS.—In this section: gas, gasoline, propane, or kerosene to a re- of the Small Business Act, as added by this ‘‘(1) BIOMASS.— newable or alternative energy source, includ- section, including— ‘‘(A) IN GENERAL.—The term ‘biomass’ ing agriculture and urban waste, geothermal (A) the number of small business concerns means— energy, cogeneration, solar energy, wind en- that applied for a loan under such section ‘‘(i) organic material from a plant that is ergy, or fuel cells.’’. 7(b)(4) and the number of those that received planted for the purpose of producing energy; (2) CONFORMING AMENDMENTS.—Section 3(k) such loans; ‘‘(ii) nonhazardous, cellulosic, or agricul- of the Small Business Act (15 U.S.C. 632(k)) is (B) the dollar value of those loans; tural waste material that— amended— (C) the States in which the small business ‘‘(I) is segregated from other waste mate- (A) by inserting ‘‘, a significant increase in concerns that received such loans are lo- rials; and the price of heating oil, natural gas, gaso- cated; ‘‘(II) is derived from— line, propane, or kerosene,’’ after ‘‘civil dis- (D) the type of energy that caused the sig- ‘‘(aa) a forest-related resource, including— orders’’; and nificant increase in the cost for the partici- ‘‘(AA) mill and harvesting residue; (B) by inserting ‘‘other’’ before ‘‘eco- pating small business concerns; and ‘‘(BB) precommercial thinnings; nomic’’. (E) recommendations for ways to improve ‘‘(CC) slash; and (c) AGRICULTURAL PRODUCER EMERGENCY the assistance provided under such section ‘‘(DD) brush; LOANS.— 7(b)(4), if any. ‘‘(bb) agricultural resources, including— (1) IN GENERAL.—Section 321(a) of the Con- (2) DEPARTMENT OF AGRICULTURE.—Not ‘‘(AA) orchard tree crops; solidated Farm and Rural Development Act later than 12 months after the date on which ‘‘(BB) vineyards; (7 U.S.C. 1961(a)) is amended— the Secretary of Agriculture issues guide- ‘‘(CC) grains; (A) in the first sentence— lines under subsection (d)(1), and annually ‘‘(DD) legumes; (i) by striking ‘‘aquaculture operations thereafter, until the date that is 12 months ‘‘(EE) sugar; and have’’ and inserting ‘‘aquaculture operations after the end of the effective period of the ‘‘(FF) other crop by-products or residues; (i) have’’; and amendments made to section 321(a) of the or (ii) by inserting before ‘‘: Provided,’’ the Consolidated Farm and Rural Development ‘‘(cc) miscellaneous waste, such as— following: ‘‘, or (ii)(I) are owned or operated Act (7 U.S.C. 1961(a)) by this section, the Sec- ‘‘(AA) waste pallet; by such an applicant that is also a small retary shall submit to the Committee on ‘‘(BB) crate; and business concern (as defined in section 3 of Small Business and Entrepreneurship and ‘‘(CC) landscape or right-of-way tree trim- the Small Business Act (15 U.S.C. 632)), and the Committee on Agriculture, Nutrition, mings; and (II) have suffered or are likely to suffer sub- and Forestry of the Senate and to the Com- ‘‘(iii) animal waste— stantial economic injury on or after January mittee on Small Business and the Com- ‘‘(I) that is converted to a fuel rather than 1, 2005, as the result of a significant increase mittee on Agriculture of the House of Rep- directly combusted; and in energy costs or input costs from energy resentatives, a report that— ‘‘(II) the residue of which is converted to— sources occurring on or after January 1, 2005, (A) describes the effectiveness of the as- ‘‘(aa) a biological fertilizer; in connection with an energy emergency de- sistance made available under section 321(a) ‘‘(bb) oil; or clared by the President or the Secretary’’; of the Consolidated Farm and Rural Develop- ‘‘(cc) activated carbon. (B) in the third sentence, by inserting be- ment Act (7 U.S.C. 1961(a)), as amended by ‘‘(B) EXCLUSIONS.—The term ‘biomass’ does fore the period at the end the following: ‘‘or this section; and not include— by an energy emergency declared by the (B) contains recommendations for ways to ‘‘(i) municipal solid waste that is inciner- President or the Secretary’’; and improve the assistance provided under such ated; (C) in the fourth sentence— section 321(a). ‘‘(ii) recyclable post-consumer waste paper; (i) by striking ‘‘or natural disaster’’ each (f) EFFECTIVE DATE.— ‘‘(iii) painted, treated, or pressurized wood; place that term appears and inserting ‘‘, nat- (1) SMALL BUSINESS.—The amendments ‘‘(iv) wood contaminated with plastics or ural disaster, or energy emergency’’; and made by subsection (b) shall apply during metals; or (ii) by inserting ‘‘or declaration’’ after the 4-year period beginning on the earlier of ‘‘(v) tires. ‘‘emergency designation’’. the date on which guidelines are published ‘‘(2) DISTRIBUTED GENERATION.—The term (2) FUNDING.—Funds available on the date by the Administrator under subsection (d)(1) ‘distributed generation’ means reduced elec- of enactment of this Act for emergency loans or 30 days after the date of enactment of this tricity consumption on the electric grid due under subtitle C of the Consolidated Farm Act, with respect to assistance under section to use by a customer of renewable energy and Rural Development Act (7 U.S.C. 1961 et 7(b)(4) of the Small Business Act, as added by generated at a customer site. seq.) shall be available to carry out the this section. ‘‘(3) INCREMENTAL HYDROPOWER.—The term amendments made by paragraph (1) to meet (2) AGRICULTURE.—The amendments made ‘incremental hydropower’ means additional the needs resulting from natural disasters. by subsection (c) shall apply during the 4- generation achieved after January 1, 2005, as (d) GUIDELINES AND RULEMAKING.— year period beginning on the earlier of the a result of increased efficiency at a hydro- (1) GUIDELINES.—Not later than 30 days date on which guidelines are published by electric dam that was placed in service be- after the date of enactment of this Act, the the Secretary of Agriculture under sub- fore that date. Administrator and the Secretary of Agri- section (d)(1) or 30 days after the date of en- ‘‘(4) LANDFILL GAS.—The term ‘landfill gas’ culture shall each issue guidelines to carry actment of this Act, with respect to assist- means gas generated from the decomposition out subsections (b) and (c), respectively, and ance under section 321(a) of the Consolidated of household solid waste, commercial solid the amendments made thereby, which guide- Farm and Rural Development Act (7 U.S.C. waste, or industrial solid waste disposed of lines shall become effective on the date of 1961(a)), as amended by this section. in a municipal solid waste landfill unit (as their issuance. those terms are defined in regulations pro- (2) RULEMAKING.—Not later than 30 days mulgated pursuant to subtitle D of the Solid after the date of enactment of this Act, the SA 4744. Mr KERRY (for himself and Waste Disposal Act (42 U.S.C. 6941 et seq.)). Administrator, after consultation with the Mr. JEFFORDS) submitted an amend- ‘‘(5) RENEWABLE ENERGY.—The term ‘re- Secretary of Energy, shall promulgate regu- ment intended to be proposed by him newable energy’ means electricity generated lations specifying the method for deter- to the bill S. 3711, to enhance the en- from— mining a significant increase in the price of ergy independence and security of the ‘‘(A) a renewable energy source; or kerosene under section 7(b)(4)(A)(iii)(II) of United States by providing for explo- ‘‘(B) hydrogen that is produced from a re- the Small Business Act, as added by this sec- ration, development, and production newable energy source. tion. ‘‘(6) RENEWABLE ENERGY SOURCE.—The term (e) REPORTS.— activities for mineral resources in the ‘renewable energy source’ means— (1) SMALL BUSINESS ADMINISTRATION.—Not Gulf of Mexico, and for other purposes; ‘‘(A) wind; later than 12 months after the date on which which was ordered to lie on the table; ‘‘(B) ocean waves; the Administrator issues guidelines under as follows: ‘‘(C) biomass;

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00055 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16621 ‘‘(D) solar energy; to an entity that submits an application to be charged for a renewable energy credit ‘‘(E) landfill gas; under subparagraph (B) 3 renewable energy for the appropriate calendar year. ‘‘(F) incremental hydropower; or credits for each kilowatt-hour of distributed ‘‘(e) ENFORCEMENT.— ‘‘(G) geothermal. generation as a result of actions of the enti- ‘‘(1) IN GENERAL.—A retail electric supplier ‘‘(7) RETAIL ELECTRIC SUPPLIER.—The term ty. that does not submit renewable energy cred- ‘retail electric supplier’ means a person or ‘‘(iii) COMBINATION OF SOURCES.—If a kilo- its in accordance with subsection (b) shall be entity that, with respect to an applicable watt-hour of renewable energy is generated subject to a civil penalty in an amount equal calendar year under subsection (b)(1)— through the use of a renewable energy re- to the product obtained by multiplying— ‘‘(A) sells retail electricity to consumers; source and a nonrenewable energy resource, ‘‘(A) the difference between— and the Secretary shall issue an applicable re- ‘‘(i) the number of renewable energy cred- ‘‘(B) sold not less than 500,000 megawatt- newable energy credit based on the ratio its submitted by the retail electric supplier; hours of electric energy to consumers for that— and purposes other than resale during the pre- ‘‘(I) the quantity of renewable energy re- ‘‘(ii) the number of credits required to be ceding calendar year. source used to generate the kilowatt-hour of submitted by the retail electric supplier ‘‘(b) RENEWABLE ENERGY REQUIREMENTS.— renewable energy; bears to under subsection (b); and ‘‘(1) SUBMISSION OF CREDITS.— ‘‘(II) the total quantity of resources used ‘‘(B) the lesser of— ‘‘(A) IN GENERAL.—Not later than April 30, to generate the kilowatt-hour of renewable ‘‘(i) 4.5 cents; and 2007, and annually thereafter, each retail energy. ‘‘(ii) an amount equal to 300 percent of the electric supplier shall submit to the Sec- ‘‘(B) APPLICATION.— average market value of credits for the ap- retary renewable energy credits in a quan- ‘‘(i) IN GENERAL.—An entity that generates plicable compliance period. tity equal to the product obtained by multi- renewable energy may submit to the Sec- ‘‘(2) COLLECTION OF INFORMATION.—The Sec- plying— retary an application for the issuance of re- retary may collect such information as the ‘‘(i) the total kilowatt-hours of nonhydro- newable energy credits. Secretary determines to be necessary to verify and audit— power (excluding incremental hydropower) ‘‘(ii) INCLUSIONS.—An application under electricity sold by the retail electric supplier clause (i) shall include a description of— ‘‘(A) the annual electric energy generation to retail consumers during the preceding cal- ‘‘(I) the type of renewable energy resource and renewable energy generation of any enti- endar year; and used by the entity to produce the renewable ty that applies for renewable energy credits ‘‘(ii) the applicable percentage under the energy; under this section; table contained in subsection (c). ‘‘(II) the State in which the renewable en- ‘‘(B) the validity of renewable energy cred- its submitted by a retail electric supplier to ‘‘(B) FORM OF CREDITS.—A credit submitted ergy was produced; and the Secretary; and under subparagraph (A) shall be— ‘‘(III) any other information the Secretary ‘‘(C) the total amount of electricity sales ‘‘(i) a renewable energy credit issued to the determines to be appropriate. of all retail electric suppliers. retail electric supplier under subsection ‘‘(C) VESTING.—A renewable energy credit ‘‘(f) CONSUMER ALLOCATION.— (d)(2); shall vest with the owner of the system or ‘‘(1) IN GENERAL.—A retail electric supplier ‘‘(ii) a renewable energy credit obtained by facility that generates the renewable energy, shall charge each class of consumers of the purchase or exchange under subsection (d)(3); unless the owner explicitly transfers the retail electric supplier a rate that propor- ‘‘(iii) a renewable energy credit purchased credit. tionally reflects the percentage of the cost from the United States under subsection ‘‘(D) IDENTIFICATION.—For purposes of to the retail electric supplier of generating (d)(4); or issuing, selling, and tracking renewable en- or acquiring the annual percentage of renew- ‘‘(iv) any combination of credits described ergy credits, the Secretary shall identify the able energy required under subsection (b). in clauses (i) through (iii). credits based on the type and date of genera- ‘‘(2) PROHIBITION OF MISREPRESENTATION.— ‘‘(C) PROHIBITION ON DOUBLE COUNTING.—A tion of the renewable energy for which the A retail electric supplier shall not make any credit may be counted for purposes of com- credit is provided. representation to a customer or prospective pliance with this subsection only once. ‘‘(E) CONTRACT SALES.—For purposes of customer of the retail electric supplier re- ‘‘(2) CARRYOVER.—A renewable energy cred- this section, a retail electric supplier that garding product content or description if the it received by a retail electric supplier dur- purchases renewable energy from a generator content or description has been or will be ing a calendar year that is not used to sat- pursuant to a contract under section 210 modified by the retail electric supplier solely isfy the requirement for that year under shall be considered to be the generator of the for purposes of complying with this section. paragraph (1) may be carried over for use renewable energy. ‘‘(g) STATE RENEWABLE ENERGY GRANT during 1 of the following 2 calendar years. ‘‘(F) VOLUNTARY PARTICIPATION.—The Sec- PROGRAM.— ‘‘(c) REQUIRED ANNUAL PERCENTAGE.—Of retary may issue a renewable energy credit ‘‘(1) ESTABLISHMENT.—Not later than 1 year the total quantity of nonhydropower (exclud- under this paragraph to an entity that is not after the date of enactment of this section, ing incremental hydropower) electricity sold subject to the requirements of this Act only the Secretary shall establish a program by a retail electric supplier during a cal- if the entity— under which the Secretary shall distribute endar year, the quantity generated by renew- ‘‘(i) meets the terms and conditions of this amounts received from sales under sub- able energy sources shall be not less than the Act to the same extent as an entity subject section (d)(4), and from penalties under sub- percentage described in the following table: to the requirements of this Act; and section (e)(1), to State energy agencies for ‘‘Calendar year Required percentage ‘‘(ii) submits an application under subpara- use in accordance with this section. 2007–2009 ...... 5 graph (B). ‘‘(2) USE OF FUNDS.—A State energy agency 2010–2014 ...... 10 ‘‘(3) SALE AND EXCHANGE OF CREDITS.— shall use amounts received under this sub- 2015–2019 ...... 15 ‘‘(A) IN GENERAL.—A renewable energy section to carry out a grant program to pro- 2020 and thereafter ...... 20 credit may be sold or exchanged by— vide for— ‘‘(d) RENEWABLE ENERGY CREDIT PRO- ‘‘(i) the entity that is issued the renewable ‘‘(A) renewable energy research and devel- GRAM.— energy credit under paragraph (2); or opment; ‘‘(1) ESTABLISHMENT.—Not later than 1 year ‘‘(ii) any other entity that acquires the re- ‘‘(B) loan guarantees to encourage con- after the date of enactment of this section, newable energy credit. struction of renewable energy facilities; the Secretary shall establish a program ‘‘(B) REQUIREMENT.—A sale or exchange of ‘‘(C) consumer rebate or other programs to under which the Secretary shall issue, mon- a credit under subparagraph (A) shall be car- offset the costs of small residential or small itor the sale and exchange of, sell, and track ried out in accordance with applicable con- commercial renewable energy systems, in- renewable energy credits. tracts and laws, including laws relating to cluding solar hot water; or ‘‘(2) ISSUANCE OF CREDITS.— the spot market. ‘‘(D) promotion of distributed generation. ‘‘(A) ISSUANCE.— ‘‘(4) PURCHASE FROM UNITED STATES.— ‘‘(3) PRIORITY.—In allocating amounts ‘‘(i) IN GENERAL.—Except as provided in ‘‘(A) IN GENERAL.—The Secretary shall under this subsection, the Secretary shall clauses (ii) and (iii), the Secretary shall offer for sale renewable energy credits at a give priority to, as determined by the Sec- issue to an entity that submits an applica- price equal to the lesser of, as adjusted for retary— tion under subparagraph (B) 1 renewable en- inflation under subparagraph (B)— ‘‘(A) States in regions with a dispropor- ergy credit for each kilowatt-hour of renew- ‘‘(i) 3 cents per kilowatt-hour covered by tionately small share of economically-sus- able energy generated by the entity in any the credit; and tainable renewable energy generation capac- State during the preceding calendar year ‘‘(ii) an amount equal to 110 percent of the ity; and for— average market value of the credits for the ‘‘(B) States the grant programs of which ‘‘(I) sale for retail consumption; or applicable compliance period. are most likely to stimulate or enhance in- ‘‘(II) use by the generator. ‘‘(B) ADJUSTMENT FOR INFLATION.—On Jan- novative renewable energy technologies. ‘‘(ii) DISTRIBUTED GENERATION.—Notwith- uary 1, 2007, and annually thereafter, the ‘‘(h) EFFECT ON OTHER STATE PROGRAMS.— standing clause (i), the Secretary shall issue Secretary shall adjust for inflation the price Nothing in this section precludes any State

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00056 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16622 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 from requiring additional renewable energy under this subsection, the Secretary of En- At the end, add the following: generation capacity in the State pursuant to ergy may consider— a renewable energy program conducted by (i) public demand for each alternative fuel SEC. 6. INVESTMENT TAX CREDITS. the State.’’. in a particular county based on State reg- (a) EXTENSION AND MODIFICATION OF IN- istration records indicating the number of VESTMENT TAX CREDIT WITH RESPECT TO SA 4745. Mr. KERRY submitted an vehicles that may be operated using alter- SOLAR ENERGY PROPERTY AND QUALIFIED amendment intended to be proposed by native fuel; and FUEL CELL PROPERTY.— him to the bill S. 3711, to enhance the (ii) the opportunity to create or expand (1) SOLAR ENERGY PROPERTY.—Paragraphs corridors of alternative fuel stations along energy independence and security of (2)(A)(i)(II) and (3)(A)(ii) of section 48(a) of interstates or highways. the United States by providing for ex- the Internal Revenue Code of 1986 are each (3) USE OF GRANT FUNDS.—Grant funds re- ploration, development, and production amended by striking ‘‘2008’’ and inserting activities for mineral resources in the ceived under this subsection may be used to— ‘‘2016’’. Gulf of Mexico, and for other purposes; (A) construct new facilities to dispense al- (2) ELIGIBLE FUEL CELL PROPERTY.—Para- which was ordered to lie on the table; ternative fuels; graph (1)(E) of section 48(c) of the Internal as follows: (B) purchase equipment to upgrade, ex- Revenue Code of 1986 is amended by striking At the appropriate place, insert the fol- pand, or otherwise improve existing alter- ‘‘2007’’ and inserting ‘‘2015’’. lowing: native fuel facilities; or (3) CREDITS ALLOWED AGAINST THE ALTER- SEC. ll. FUNDING FOR ALTERNATIVE INFRA- (C) purchase equipment or pay for specific NATIVE MINIMUM TAX.—Section 38(c)(4)(B) of STRUCTURE FOR THE DISTRIBU- turnkey fueling services by alternative fuel the Internal Revenue Code of 1986 (defining TION OF TRANSPORTATION FUELS. providers. specified credits) is amended by striking the (a) IN GENERAL.—There is established in (4) FACILITIES.—Facilities constructed or period at the end of clause (ii)(II) and insert- the Treasury of the United States a trust upgraded with grant funds under this sub- ing ‘‘, and’’, and by adding at the end the fol- fund, to be known as the ‘‘Alternative Fuel- section shall— lowing new clause: ing Infrastructure Trust Fund’’ (referred to (A) provide alternative fuel available to ‘‘(iii) the portion of the investment credit in this section as the ‘‘Trust Fund’’), con- the public for a period not less than 4 years; under section 46(2) as determined under sec- sisting of such amounts as are deposited into (B) establish a marketing plan to advance tion 48(a)(2)(A)(i).’’. the Trust Fund under subsection (b) and any the sale and use of alternative fuels; (b) EXTENSION AND MODIFICATION OF CREDIT interest earned on investment of amounts in (C) prominently display the price of alter- the Trust Fund. native fuel on the marquee and in the sta- FOR RESIDENTIAL ENERGY EFFICIENT PROP- (b) PENALTIES.—The Secretary of Trans- tion; ERTY.— portation shall remit 90 percent of the (D) provide point of sale materials on al- (1) EXTENSION.—Section 25D of the Internal amount collected in civil penalties under ternative fuel; Revenue Code of 1986 (relating to termi- section 32912 of title 49, United States Code, (E) clearly label the dispenser with con- nation) is amended by striking ‘‘2007’’ and in- to the Trust Fund. sistent materials; serting ‘‘2015’’. (c) GRANT PROGRAM.— (F) price the alternative fuel at the same (2) MODIFICATION OF MAXIMUM CREDIT.— (1) IN GENERAL.—The Secretary of Energy margin that is received for unleaded gaso- Paragraph (1) of section 25D(b) of the Inter- shall obligate such sums as are available in line; and nal Revenue Code of 1986 (relating to limita- the Trust Fund to establish a grant program tions) is amended to read as follows: to increase the number of locations at which (G) support and use all available tax incen- ‘‘(1) MAXIMUM CREDIT.—The credit allowed consumers may purchase alternative trans- tives to reduce the cost of the alternative under subsection (a) for any taxable year portation fuels. fuel to the lowest practicable retail price. (5) OPENING OF STATIONS.— shall not exceed— (2) ADMINISTRATION.— (A) IN GENERAL.—Not later than the date ‘‘(A) $1,000 with respect to each half kilo- (A) IN GENERAL.—The Secretary of Energy watt of capacity of qualified photovoltaic may award grants under this subsection to— on which each alternative fuel station begins property for which qualified photovoltaic (i) individual fueling stations; and to offer alternative fuel to the public, the property expenditures are made, (ii) corporations (including nonprofit cor- grant recipient that used grant funds to con- ‘‘(B) $2,000 with respect to any qualified porations) with demonstrated experience in struct the station shall notify the Secretary solar water heating property expenditures, the administration of grant funding for the of Energy of the opening. purpose of alternative fueling infrastructure. (B) WEBSITE.—The Secretary of Energy and shall add each new alternative fuel station ‘‘(C) $500 with respect to each half kilowatt (B) MAXIMUM AMOUNT OF GRANTS.—A grant provided under this subsection may not ex- to the alternative fuel station locator on the of capacity of qualified fuel cell property (as ceed— website of the Department of Energy when defined in section 48(c)(1)) for which qualified (i) $150,000 for each site of an individual the Secretary of Energy receives notification fuel cell property expenditures are made.’’. fueling station; and under this subsection. (3) CREDIT ALLOWED AGAINST ALTERNATIVE (ii) $500,000 for each corporation (including (6) REPORTS.—Not later than 180 days after MINIMUM TAX.— a nonprofit corporation). the receipt of a grant award under this sub- (A) IN GENERAL.—Section 25D(b) of the In- section, and every 180 days thereafter, each (C) PRIORITIZATION.—The Secretary of En- ternal Revenue Code of 1986 (as amended by ergy shall prioritize the provision of grants grant recipient shall submit a report to the subsection (b)) is amended by adding at the under this subsection to recognized nonprofit Secretary of Energy that describes— end the following new paragraph: corporations that have proven experience (A) the status of each alternative fuel sta- ‘‘(3) CREDIT ALLOWED AGAINST ALTERNATIVE and demonstrated technical expertise in the tion constructed with grant funds received MINIMUM TAX.—The credit allowed under sub- establishment of alternative fueling infra- under this subsection; section (a) for the taxable year shall not ex- structure, as determined by the Secretary of (B) the quantity of alternative fuel dis- ceed the excess of— Energy. pensed at each station during the preceding ‘‘(A) the sum of the regular tax liability 180-day period; and (D) ADMINISTRATIVE EXPENSES.—Not more (as defined in section 26(b)) plus the tax im- than 10 percent of the funds provided in any (C) the average price per gallon of the al- posed by section 55, over grant may be used by the recipient of the ternative fuel sold at each station during the ‘‘(B) the sum of the credits allowable under grant to pay administrative expenses. preceding 180-day period. subpart A of part IV of subchapter A and sec- (E) NUMBER OF VEHICLES.—In providing tion 27 for the taxable year.’’. grants under this subsection, the Secretary SA 4746. Mr. SMITH (for himself, Mr. (B) CONFORMING AMENDMENT.—Subsection of Energy shall consider the number of vehi- MENENDEZ, Ms. SNOWE, Mr. KERRY, Mr. (c) of section 25D of such Code is amended to cles in service capable of using a specific SALAZAR, Ms. CANTWELL, Mr. LIEBER- read as follows: type of alternative fuel. MAN, Mr. KENNEDY, Mr. ALLARD, Mr. ‘‘(c) CARRYFORWARD OF UNUSED CREDIT.—If (F) MATCH.—Grant recipients shall provide WYDEN, Mrs. CLINTON, and Mr. DODD) the credit allowable under subsection (a) for a non-Federal match of not less than $1 for submitted an amendment intended to any taxable year exceeds the limitation im- every $3 of grant funds received under this be proposed by him to the bill S. 3711, posed by subsection (b)(3) for such taxable subsection. to enhance the energy independence year, such excess shall be carried to the suc- (G) LOCATIONS.—Each grant recipient shall and security of the United States by select the locations for each alternative fuel ceeding taxable year and added to the credit station to be constructed with grant funds providing for exploration, develop- allowable under subsection (a) for such suc- received under this subsection on a formal, ment, and production activities for ceeding taxable year.’’. open, and competitive basis. mineral resources in the Gulf of Mex- (4) EFFECTIVE DATE.—The amendments (H) USE OF INFORMATION IN SELECTION OF ico, and for other purposes; which was made by this subsection shall apply to tax- RECIPIENTS.—In selecting grant recipients ordered to lie on the table; as follows: able years beginning after December 31, 2006.

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Mr. WARNER submitted an (i) the Governor of the State requests the (d) RESOURCE ESTIMATES.— amendment intended to be proposed by Secretary to allow natural gas or oil or nat- (1) REQUESTS.—At any time, the Governor him to the bill S. 3711, to enhance the ural gas leasing in a moratorium area; and of an affected State (acting on behalf of the energy independence and security of (ii) the Secretary allows the leasing; and State) may request the Secretary to provide (B) effective for fiscal year 2017 and each a current estimate of proven and potential the United States by providing for ex- fiscal year thereafter, a State— gas, or oil and gas, resources that may re- ploration, development, and production (i) off which oil and gas activities on the sult, and resulting State revenues, in any activities for mineral resources in the outer Continental Shelf are conducted under moratorium area (or any part of the morato- Gulf of Mexico, and for other purposes; a lease entered into on or after the date of rium area the Governor identifies) adjacent which was ordered to lie on the table; enactment of this Act; to, or lying seaward of the coastline of, that as follows: (ii) that is offshore of any State that is not State. Beginning on page 17, strike line 19 and all a Gulf producing State; and (2) RESPONSE OF SECRETARY.—Not later that follows through page 18, line 17 and in- (iii) that does not have an area described in than 45 days after the date on which the Gov- sert the following: section 2(6)(B)(i) off the coast of the State, as ernor of a State requests an estimate under (f) LIMITATIONS ON AMOUNT OF DISTRIBUTED determined on the basis of the administra- paragraph (1), the Secretary shall provide— QUALIFIED OUTER CONTINENTAL SHELF REVE- tive lines established by the Secretary under (A) a current estimate of proven and poten- NUES AND COVERED REVENUES.— the notice published on January 3, 2006 (71 tial gas, or oil and gas, resources in any mor- (1) IN GENERAL.—Subject to paragraph (2), Fed. Reg. 127). atorium areas off the shore of a State; the total amount of qualified outer Conti- (4) LEASE.—The term ‘‘lease’’ includes a (B) an estimate of potential revenues that nental Shelf revenues and covered revenues natural gas lease under section 8(q) of the could be shared under this Act if resources made available under subsection (a)(2) and Outer Continental Shelf Lands Act (43 U.S.C. were developed and produced; and section 6(j)(1)(B) shall not exceed $500,000,000 1337(q)). (C) an explanation of the planning proc- for each of fiscal years 2016 through 2055. (5) MORATORIUM AREA.—The term ‘‘morato- esses that could lead to the leasing, explo- (2) EXPENDITURES.—For the purpose of rium area’’ means— ration, development, and production of the paragraph (1), for each of fiscal years 2016 (A) any area withdrawn from disposition gas, or oil and gas, resources within the area through 2055, expenditures under subsection by leasing in the Atlantic OCS Region or the identified. (a)(2) and section 6(j)(1)(B) shall be net of re- Pacific OCS Region Planning Area under the (e) AVAILABILITY OF CERTAIN AREAS FOR ceipts from that fiscal year from any area in ‘‘Memorandum on Withdrawal of Certain LEASING.— the 181 Area in the Eastern Planning Area, Areas of the United States Outer Conti- (1) PETITION.— the 181 South Area, or any area off the coast- nental Shelf from Leasing Disposition’’, (A) IN GENERAL.—On consideration of the line of a covered State. from 34 Weekly Comp. Pres. Doc. 1111, dated information received from the Secretary, the (3) PRO RATA REDUCTIONS.—If paragraph (1) June 12, 1998; and Governor (acting on behalf of the State of limits the amount of qualified outer Conti- (B) any area of the outer Continental Shelf the Governor) may submit to the Secretary nental Shelf revenue or covered revenues (other than an area in the Gulf of Mexico) as a petition requesting that the Secretary that would be paid under subparagraphs (A) to which Congress has denied the use of ap- make available for leasing any portion of a and (B) of subsection (a)(2) or clauses (i) and propriated funds or other means for moratorium area in the Adjacent Zone of the (ii) of section 6(j)(1)(B)— preleasing, leasing, or related activities. State. (A) the Secretary shall reduce the amount (b) PROHIBITION AGAINST LEASING.—Except (B) CONTENTS.—In a petition under sub- of qualified outer Continental Shelf revenue as otherwise provided in this section, prior paragraph (A), a Governor may request that and covered revenue provided to each recipi- to June 30, 2012, the Secretary shall not offer an area described in subparagraph (A) be ent on a pro rata basis; and a lease for oil and gas, or natural gas, in a made available for leasing under subsection (B) any remainder of the qualified outer moratorium area. (b) or (q), or both, of section 8 of the Outer Continental Shelf revenues and covered reve- (c) OPTION TO PETITION FOR EXTENSION OF Continental Shelf Lands Act (43 U.S.C. 1337). nues shall revert to the general fund of the WITHDRAWAL FROM LEASING.— (2) ACTION BY SECRETARY.—Not later than Treasury. (1) OPTION TO PETITION.— 90 days after the date of receipt of a petition SEC. 6. OFFSHORE OIL AND GAS LEASING IN (A) IN GENERAL.—The Governor of a State under paragraph (1), the Secretary shall ap- AREAS OUTSIDE THE GULF OF MEX- may submit to the Secretary a petition re- prove the petition unless the Secretary de- ICO. questing that the Secretary extend for a pe- termines that leasing in the affected area (a) DEFINITIONS.—In this section: riod of time described in subparagraph (B) presents a significant likelihood of incidents (1) ADJACENT ZONE.—The term ‘‘Adjacent the withdrawal from leasing in a morato- associated with the development of resources Zone’’ means the Adjacent Zone of each rium area for all or part of any area within that would cause serious harm or damage to State, as defined by the lines extending sea- the Adjacent Zone of the State within 125 the marine resources of the area or of an ad- ward and defining the adjacent Zone of each miles of the coastline of the State. jacent State. State indicated on the maps for each outer (B) LENGTH OF EXTENSION.— (3) FAILURE TO ACT.—If the Secretary fails Continental Shelf region entitled— (i) IN GENERAL.—The period of time re- to approve or deny a petition in accordance (A) ‘‘Alaska OCS Region State Adjacent quested in a petition submitted under sub- with paragraph (2), the petition shall be con- Zone and OCS Planning Areas’’; paragraph (A) shall not exceed 5 years for sidered to be approved as of the date that is (B) ‘‘Pacific OCS Region State Adjacent each petition. 90 days after the date of receipt of the peti- Zones and OCS Planning Areas’’; and (ii) LIMITATION.—The Secretary shall not tion. (C) ‘‘Atlantic OCS Region State Adjacent grant a petition submitted under subpara- (4) TREATMENT.—Notwithstanding any Zones and OCS Planning Areas’’; graph (A) that extends the remaining period other provision of law, not later than 180 all of which are dated September 2005 and on of a withdrawal of an area from leasing for a days after the date on which a petition is ap- file in the Office of the Director, Minerals total of more than 10 years. proved, or considered to be approved, under Management Service. (C) MULTIPLE PETITIONS.—A State may pe- paragraph (2) or (3), the Secretary shall— (2) COVERED REVENUES.— tition multiple times for a particular area, (A) treat the petition of the Governor (A) IN GENERAL.—The term ‘‘covered reve- but not more than once per calendar year for under paragraph (1) as a proposed revision to nues’’ means all rentals, royalties, bonus any particular area. a leasing program under section 18 of the bids, and other sums due and payable to the (D) CONTENTS OF PETITION.—A petition sub- Outer Continental Shelf Lands Act (43 U.S.C. United States from leases entered into on or mitted under subparagraph (A) may— 1344); and after the date of enactment of this Act in a (i) apply to either oil and gas leasing or (B) except as provided in paragraph (5), ex- moratorium area. natural gas leasing, or both; and pedite the revision of the 5-year outer Conti- (B) EXCLUSIONS.—The term ‘‘covered reve- (ii) request some areas to be withdrawn nental Shelf oil and gas leasing program in nues’’ does not include— from all leasing and some areas only with- effect as of that date to include any lease (i) revenues from the forfeiture of a bond drawn from 1 type of leasing. sale for any area covered by the petition. or other surety securing obligations other (2) ACTION BY SECRETARY.—Not later than (5) INCLUSION IN SUBSEQUENT PLANS.— than royalties, civil penalties, or royalties 90 days after receipt of a petition submitted (A) IN GENERAL.—If there are less than 18 taken by the Secretary in-kind and not sold; according to the guidelines described in months remaining in the 5-year outer Conti- or paragraph (1), the Secretary shall approve nental Shelf oil and gas leasing program de- (ii) revenues generated from leases subject the petition. scribed in paragraph (4)(B), the Secretary, to section 8(g) of the Outer Continental Shelf (3) FAILURE TO ACT.—If the Secretary fails without consultation with any State, shall Lands Act (43 U.S.C. 1337(g)). to approve a petition in accordance with include the areas covered by the petition in (3) COVERED STATE.—The term ‘‘covered paragraph (2), the petition shall be consid- lease sales under the subsequent 5-year outer State’’ means— ered to be approved 90 days after the date on Continental Shelf oil and gas leasing pro- (A) a State for which— which the Secretary received the petition. gram.

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(B) ENVIRONMENTAL ASSESSMENT.—Before (iv) natural gas liquefied for transpor- (ii) shall be considered in compliance with modifying a 5-Year outer Continental Shelf tation; the Outer Continental Shelf Lands Act (43 oil and gas leasing program under subpara- (B) provide that natural gas leases shall U.S.C. 1331 et seq.). graph (A), the Secretary shall complete an contain the same rights and obligations as (C) WITHDRAWAL.—The Secretary shall environmental assessment that describes oil and gas leases; issue a new lease in exchange for the lease any anticipated environmental effect of leas- (C) provide that, in reviewing the adequacy being exchanged notwithstanding that the ing in the area covered by the petition. of bids for natural gas leases, the Secretary, area that will be subject to the lease may be (6) SPENDING LIMITATIONS.—Any Federal acting through the Minerals Management withdrawn from leasing under the Outer spending limitation with respect to Service, shall exclude the value of any crude Continental Shelf Lands Act (43 U.S.C. 1331 preleasing, leasing, or a related activity in oil estimated to be discovered within the et seq.) or otherwise unavailable for leasing an area made available for leasing under this boundaries of the leasing area; under any other law. subsection shall terminate as of the date on (D) provide for cancellation of a natural (4) PRIORITY.— which the petition of the Governor relating gas lease, with payment of the fair value of (A) BONUS BID.—The Secretary shall give to the area is approved, or considered to be the lease rights canceled, if the Secretary priority in the lease exchange process under approved, under paragraph (2) or (3). determines that hydrocarbons other than this subsection based on the amount of the (7) APPLICATION.—This subsection shall not natural gas and natural gas liquids will be original bonus bid paid for the issuance of apply to— the predominant production from the lease; each lease to be exchanged. (A) any area designated as a national ma- and (B) EXCHANGE OF PARTIAL TRACTS FOR FULL rine sanctuary or a national wildlife refuge; (E) provide that, at the request and with TRACTS.—The Secretary shall allow leases (B) any area not included in the outer Con- the consent of the Governor of the State ad- covering partial tracts to be exchanged for tinental Shelf; or jacent to the lease area, and with the con- leases covering full tracts under this sub- (C) the Great Lakes (as defined in section sent of the lessee, an existing natural gas section conditioned on payment of addi- 118(a)(3) of the Federal Water Pollution Con- lease may be converted, without an increase tional bonus bids on a per-acre basis, as de- trol Act (33 U.S.C. 1268(a)(3)). in the rental royalty rate and without fur- termined based on the average per acre of (8) GREAT LAKES.—The Great Lakes (as de- ther payment in the nature of a lease bonus, the original bonus bid per acre for the par- fined in section 118(a)(3) of the Federal Water to a lease under section 8(b) of the Outer tial tract being exchanged. Pollution Control Act (33 U.S.C. 1268(a)(3)))— Continental Shelf Lands Act (43 U.S.C. (5) CANCELLATION OF LEASE.—As part of the (A) shall not be considered part of the 1337(b)), in accordance with a process, to be lease exchange process under this subsection, outer Continental Shelf under the Outer established by the Secretary, that requires— the Secretary shall cancel a lease that is ex- Continental Shelf Lands Act (43 U.S.C. 1331 (i) consultation by the Secretary with the changed under this subsection. et seq.); and Governor of the State and the lessee with re- (6) CONDITIONS FOR LEASE EXCHANGE.—For a (B) shall not be subject to production. spect to the operating conditions of the lease to be cancelled and exchanged under (f) NEIGHBORING STATE CONCURRENCE.— lease, taking into consideration environ- this subsection— (1) NOTICE.—The Secretary shall provide mental resource conservation and recovery, (A) each lessee holding an interest in the notice to a neighboring State of any pro- economic factors, and other factors, as the lease must consent to cancellation of the posed lease of oil or natural gas in a morato- Secretary determines to be relevant; and leasehold interest of the lessee; rium area if the lease would be located with- (ii) compliance with the National Environ- (B) each lessee must waive any rights to in 20 miles of the nearest point on the coast- mental Policy Act of 1969 (42 U.S.C. 4321 et bring any litigation against the United line of the State. seq.). States related to the transaction; and (2) OBJECTION.—Not later than 30 days after (3) EFFECT OF OTHER LAWS.—Any Federal (C) the plugging and abandonment require- receiving the notice, the Governor of the law (including regulations) that applies to an ments for any well located on any lease to be State may object to the issuance of the lease oil and gas lease on the outer Continental cancelled and exchanged under this sub- on grounds that the lease presents a signifi- Shelf shall apply to a natural gas lease section must be complied with by the lessees cant risk to environmental and economic re- issued under this subsection. prior to the cancellation and exchange. sources of the State. (h) EXCHANGE OF LEASES FOR AREAS LO- (i) OPERATING RESTRICTIONS.—A new lease (3) SECRETARY REVIEW.—If the Secretary, CATED WITHIN 100 MILES OF STATES IMPOSING issued under this section shall be subject to after review of the objection and consulta- A MORATORIUM.— such national defense operating restrictions tion with the adjacent State, concurs that (1) IN GENERAL.—Effective beginning on the on the outer Continental Shelf tract covered the lease presents a significant risk de- date that is 180 days after the date of enact- by the new lease as apply on the date of scribed in paragraph (2), and that the risk ment of this Act, the lessee of an oil and gas issuance of the new lease. cannot be reasonably mitigated, the Sec- lease in existence on the date of enactment (j) DISPOSITION OF COVERED REVENUES retary shall not approve an exploration plan of this Act for an area located completely FROM MORATORIUM AREAS.— for the lease. within 100 miles of the coastline and within (1) IN GENERAL.—Notwithstanding section 9 (4) NONAPPLICABILITY.—This subsection the Adjacent Zones of States that have ex- of the Outer Continental Shelf Lands Act (43 does not apply to a State covered by sub- tended a moratorium under subsection (c) U.S.C. 1338) and subject to the other provi- section (h). shall have the option, without compensation, sions of this subsection, for each applicable (g) NATURAL GAS LEASES.— of exchanging the lease for a new oil and gas fiscal year, the Secretary of the Treasury (1) IN GENERAL.—Beginning with the 5-year lease having a primary term of 5 years. shall deposit— outer Continental Shelf oil and gas leasing (2) TRACTS.—For the area subject to the (A) 50 percent of covered revenues in the program for 2007 through 2012, the Secretary new lease, the lessee may select any un- general fund of the Treasury; and may issue a lease under this section that au- leased tract— (B) 50 percent of covered revenues in a spe- thorizes development and production of gas (A) at least part of which is located within cial account in the Treasury from which the and associated condensate and other hydro- the area between 100 and 125 miles from the Secretary shall disburse— carbon liquids in a moratorium area in ac- coastline; and (i) 75 percent to covered States in accord- cordance with regulations issued under para- (B) that is located— ance with paragraph (2); and graph (2). (i) completely beyond 125 miles from the (ii) 25 percent to provide financial assist- (2) REGULATIONS.—Not later than October coastline; and ance to States in accordance with section 6 1, 2006, the Secretary shall issue regulations (ii) within the same Adjacent Zone of the of the Land and Water Conservation Fund that, for purposes of this subsection— adjacent State as the lease being exchanged. Act of 1965 (16 U.S.C. 460l-8), which shall be (A) define the term ‘‘natural gas’’ in a (3) ADMINISTRATIVE PROCESS.— considered income to the Land and Water manner that includes— (A) IN GENERAL.—The Secretary shall es- Conservation Fund for purposes of section 2 (i) hydrocarbons and other substances in a tablish a reasonable administrative process of that Act (16 U.S.C. 460l-5). gaseous state at atmospheric pressure and a through which a lessee may exercise the op- (2) ALLOCATION AMONG COVERED STATES AND temperature of 60 degrees Fahrenheit; tion of the lessee to exchange an oil and gas COASTAL POLITICAL SUBDIVISIONS.— (ii) liquids that condense (gas liquids) from lease for a new oil and gas lease in accord- (A) ALLOCATION AMONG COVERED STATES FOR natural gas in the process of treatment, de- ance with this subsection. FISCAL YEAR 2007 AND THEREAFTER.— hydration, decompression, or compression (B) RELATIONSHIP TO OTHER LAWS.—An ex- (i) IN GENERAL.—Subject to clause (ii), ef- prior to the point for measuring volume and change of leases conducted in accordance fective for fiscal year 2007 and each fiscal quality of the production established by the with this subsection (including the issuance year thereafter, the amount made available Secretary, acting through the Minerals Man- of a new lease)— under paragraph (1)(B)(i) shall be allocated agement Service; (i) shall not be considered to be a major to each covered State in amounts (based on (iii) other associated hydrocarbon liquids if Federal action for purposes of the National a formula established by the Secretary by the predominant component is natural gas Environmental Policy Act of 1969 (42 U.S.C. regulation) that are inversely proportional and gas liquids; and 4321 et seq.); and to the respective distances between the point

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00059 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16625 on the coastline of each covered State that is which was ordered to lie on the table; shore leasing, pre-leasing, and related activi- closest to the geographic center of the appli- as follows: ties with respect to natural gas leasing; or cable leased tract and the geographic center (ii) 50 miles from any point on the coast- of the leased tract. At the end of the amendment, add the fol- line of a Neighboring State for the conduct lowing: (ii) MINIMUM ALLOCATION.—The amount al- of offshore leasing, pre-leasing, and related located to a covered State each fiscal year SEC. 6. OFFSHORE OIL AND GAS LEASING IN activities with respect to oil and gas leasing. under clause (i) shall be at least 10 percent of AREAS OFF THE STATE OF VIRGINIA. (2) PETITION BY STATE.— the amounts available under paragraph (a) DEFINITIONS.—In this section: (A) IN GENERAL.—The State may petition (1)(B)(i). (1) ADJACENT ZONE.—The term ‘‘Adjacent for leasing any other area within the Adja- (B) PAYMENTS TO COASTAL POLITICAL SUB- Zone’’ means the Adjacent Zone of the State, cent Zone if— DIVISIONS.— as defined by the lines extending seaward (i) leasing is allowed in the similar area of (i) IN GENERAL.—The Secretary shall pay 20 and defining the adjacent Zone of the State the Adjacent Zone; or percent of the allocable share of each cov- indicated on the map entitled ‘‘Atlantic OCS (ii) if not allowed, the State, acting ered State, as determined under subpara- Region State Adjacent Zones and OCS Plan- through the Governor of the State, expresses graph (A), to the coastal political subdivi- ning Areas’’, dated September 2005 and on the concurrence of the State with the peti- sions of the covered State. file in the Office of the Director of the Min- tion. (ii) ALLOCATION.—The amount paid by the erals Management Service. (B) FINDING.—The Secretary shall only Secretary to coastal political subdivisions (2) COASTLINE.—The term ‘‘coastline’’ has consider a petition under subparagraph (A) shall be allocated to each coastal political the meaning given the term ‘‘coast line’’ in on— subdivision in accordance with subpara- section 2 of the Submerged Lands Act (43 (i) making a finding that leasing is allowed graphs (B), (C), (D), and (E) of section 31(b)(4) U.S.C. 1301). in a similar area of the Adjacent Zone; or of the Outer Continental Shelf Lands Act (43 (3) COVERED REVENUES.— (ii) receipt of the concurrence of the State. U.S.C. 1356a(b)(4)). (A) IN GENERAL.—The term ‘‘covered reve- (C) DATE OF RECEIPT.—The date of receipt (3) TIMING.—The amounts required to be nues’’ means all rentals, royalties, bonus by the Secretary of the concurrence by the deposited under paragraph (1)(B) for the ap- bids, and other sums due and payable to the State shall constitute the date of receipt of plicable fiscal year shall be made available United States from leases entered into on or the petition for the area for which the con- in accordance with that paragraph during after the date of enactment of this Act in the currence applies. the fiscal year immediately following the ap- Adjacent Zone. (D) LIMITATIONS ON LEASING.—If, as of the plicable fiscal year. (B) EXCLUSIONS.—The term ‘‘covered reve- date of petition by the State, the Adjacent (4) AUTHORIZED USES.— nues’’ does not include revenues— Zone contains leased tracts, the State, in the (A) IN GENERAL.—Subject to subparagraph (i) from the forfeiture of a bond or other petition of the State, may condition new (B), each covered State and coastal political surety securing obligations other than royal- leasing for oil and gas, or natural gas, for subdivision shall use all amounts received ties, civil penalties, or royalties taken by tracts within 25 miles of the coastline of the under paragraph (2) in accordance with all the Secretary in-kind and not sold; or State, by— applicable Federal and State laws, only for 1 (ii) generated from leases subject to sec- (i) requiring a net reduction in the number or more of the following purposes: tion 8(g) of the Outer Continental Shelf of production platforms; (i) Projects and activities for the purposes Lands Act (43 U.S.C. 1337(g)). (ii) requiring a net increase in the average of coastal protection, including conserva- (4) NEIGHBORING STATE.—The term ‘‘Neigh- distance of production platforms from the tion, coastal restoration, hurricane protec- boring State’’ means any State that has a coastline; tion, and infrastructure directly affected by common boundary at the coastline with the (iii) limiting permanent surface occupancy coastal wetland losses. State. on new leases to areas that are more than 10 (ii) Mitigation of damage to fish, wildlife, (5) STATE.—The term ‘‘State’’ means the miles from the coastline; or natural resources. Commonwealth of Virginia. (iv) limiting some tracts to being produced (iii) Implementation of a federally-ap- from shore or from platforms located on (b) PROHIBITION AGAINST LEASING.— proved marine, coastal, or comprehensive other tracts; or (1) UNAVAILABLE FOR LEASING WITHOUT conservation management plan. (v) including other conditions that the STATE REQUEST.—Except as otherwise pro- State considers to be appropriate as long as (iv) Mitigation of the impact of outer Con- vided in this section, the Secretary shall not the Secretary does not determine that pro- tinental Shelf activities through the funding offer for leasing for oil and gas, or natural duction is made economically or technically of onshore infrastructure projects. gas, any area in the Adjacent Zone that is impracticable or otherwise impracticable. (v) Planning assistance and the adminis- within 50 miles of the coastline of the State (3) ACTION BY SECRETARY.— trative costs of complying with this section. and that was withdrawn from disposition by (B) LIMITATION.—Not more than 3 percent (A) IN GENERAL.—Not later than 90 days leasing in the Atlantic OCS Region under the after the date of receipt of a petition under of amounts received by a covered State or ‘‘Memorandum on Withdrawal of Certain coastal political subdivision under paragraph paragraph (1), the Secretary shall approve Areas of the United States Outer Conti- the petition, unless the Secretary deter- (1)(B) may be used for the purposes described nental Shelf from Leasing Disposition’’, in subparagraph (A)(v). mines that leasing the area would be likely from 34 Weekly Comp. Pres. Doc. 1111, dated to cause serious harm or damage to the ma- (5) ADMINISTRATION.—Amounts made avail- June 12, 1998. able under paragraph (1)(B) shall— rine resources of the Adjacent Zone. (2) AREAS BETWEEN 50 AND 100 MILES FROM (A) be made available, without further ap- (B) ENVIRONMENTAL ASSESSMENT.—Before THE COASTLINE.—Unless the State petitions propriation, in accordance with this sub- approving the petition, the Secretary shall under subsection (c) by the date that is 1 complete an environmental assessment that section; year after the date of enactment of this Act (B) remain available until expended; and documents the anticipated environmental ef- for natural gas leasing or by June 30, 2009, fects of leasing in the area covered by the pe- (C) be in addition to any amounts appro- for oil and gas leasing, the Secretary shall priated under— tition. offer for leasing any area in the Adjacent (4) FAILURE TO ACT.—If the Secretary fails (i) the Outer Continental Shelf Lands Act Zone that is more than 50 miles, but less (43 U.S.C. 1331 et seq.); to approve or deny a petition in accordance than 100 miles, from the coastline of the with paragraph (3), the petition shall be con- (ii) the Land and Water Conservation Fund State that was withdrawn from disposition Act of 1965 (16 U.S.C. 460l–4 et seq.); or sidered to be approved as of the date that is by leasing in the Atlantic OCS Region under 90 days after the date of receipt of the peti- (iii) any other provision of law. the ‘‘Memorandum on Withdrawal of Certain (k) REPEAL OF REQUIREMENT TO CONDUCT tion. Areas of the United States Outer Conti- (d) OPTION TO EXTEND WITHDRAWAL FROM COMPREHENSIVE INVENTORY OF OCS OIL AND nental Shelf from Leasing Disposition’’, LEASING WITHIN CERTAIN AREAS OF THE NATURAL GAS RESOURCES.—Section 357 of the from 34 Weekly Comp. Pres. Doc. 1111, dated Energy Policy Act of 2005 (42 U.S.C. 15912) is OUTER CONTINENTAL SHELF.— repealed. June 12, 1998. (1) IN GENERAL.—The State, through the (c) PETITION FOR LEASING.— Governor of the State and on the concur- SA 4748. Mr. ALLEN submitted an (1) IN GENERAL.—The Governor of the rence of the legislature of the State, may ex- amendment intended to be proposed to State, on the concurrence of the legislature tend, for a period of time of up to 5 years for amendment SA 4713 proposed by Mr. of the State, may submit to the Secretary a each extension, the withdrawal from leasing petition requesting that the Secretary make of all or part of any area within the Adjacent FRIST to the bill S. 3711, to enhance the available any area that is— Zone located more than 50 miles, but less energy independence and security of (A) within the Adjacent Zone, as described than 100 miles, from the coastline of the the United States by providing for ex- in subsection (b); and State that is subject to subsection (b)(2). ploration, development, and production (B) is greater than— (2) MULTIPLE EXTENSIONS.—The State may activities for mineral resources in the (i) 25 miles from any point on the coastline extend a withdrawal described in paragraph Gulf of Mexico, and for other purposes; of a Neighboring State for the conduct of off- (1) for any particular area—

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00060 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD 16626 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 July 31, 2006 (A) multiple times; but division shall use all amounts received under The meeting will take place in the (B) not more than once per calendar year. paragraph (2) in accordance with all applica- Reception Room off the Senate floor in (3) SEPARATE EXTENSIONS.—The State shall ble Federal and State laws, only for 1 or the Capitol following the first rollcall prepare separate extensions, with separate more of the following purposes: vote of the day for the Senate cur- votes by the legislature of the State, for the (i) Projects and activities for the purposes withdrawal of areas for oil and gas leasing of coastal protection, including conserva- rently scheduled for 5:30 p.m. and for natural gas leasing. tion, coastal restoration, sand or beach re- The PRESIDING OFFICER. Without (4) AREAS.—An extension by the State may plenishment, or hurricane protection. objection, it is so ordered. affect some areas to be withdrawn from all f f leasing and some areas to be withdrawn only from 1 type of leasing. NOTICE OF MEETING AMENDING THE IRAN AND LIBYA (e) EFFECT OF OTHER LAWS.— SANCTIONS ACT OF 1996 COMMITTEE ON INDIAN AFFAIRS (1) IN GENERAL.—Adoption by the State of Mr. SPECTER. Mr. President, I ask any constitutional provision, or enactment Mr. MCCAIN. Mr. President, I would of any State law, that has the effect, as de- like to announce that the Committee unanimous consent that the Senate termined by the Secretary, of restricting the on Indian Affairs will meet on Wednes- proceed to the immediate consider- Governor or Legislature from exercising full day, August 2, 2006, at 9:30 a.m. in ation of H.R. 5877, which was received discretion relating to subsection (g) or (h) Room 485 of the Russell Senate Office from the House. shall, for the duration of the restriction, pro- The PRESIDING OFFICER. The hibit— Building to conduct a business meeting on S. 374, the Tribal Parity Act; S. 480, clerk will report the bill by title. (A) any sharing of qualified outer Conti- The bill clerk read as follows: nental Shelf revenues or covered revenues the Thomasina E. Jordan Indian Tribes under this Act with the State and the coast- of Virginia Federal Recognition Act of A bill (H.R. 5877) to amend the Iran and Libya Sanctions Act of 1996 to extend the au- al political subdivisions of the State; and 2005; S. 660, the Lumbee Recognition (B) the State from exercising any author- thorities provided in such Act until Sep- Act; S. 1439, the Indian Trust Reform tember 29, 2006. ity under subsection (d). Act of 2005; and S. 1535, the Cheyenne (2) DEADLINE.—The Secretary shall make There being no objection, the Senate River Sioux Tribe Equitable Compensa- the determination of the existence of a re- proceeded to consider the bill. strictive constitutional provision or State tion Amendments Act of 2005. Mr. SPECTER. Mr. President, I ask law under paragraph (1) not later than 30 Those wishing additional information unanimous consent that the bill be days after the date of receipt of a petition by may contact the Indian Affairs Com- read a third time and passed, the mo- any outer Continental Shelf lessee or coastal mittee at 202–224–2251. State. tion to reconsider be laid upon the The PRESIDING OFFICER. Without table, and that any statements relating (f) DISPOSITION OF COVERED REVENUES objection, it is so ordered. FROM STATE.— to the bill be printed in the RECORD. (1) IN GENERAL.—Notwithstanding section 9 f The PRESIDING OFFICER. Without of the Outer Continental Shelf Lands Act (43 AUTHORITY FOR COMMITTEES TO objection, it is so ordered. U.S.C. 1338) and subject to the other provi- MEET The bill (H.R. 5877) was ordered to a sions of this subsection, for each applicable third reading, was read the third time, fiscal year, the Secretary of the Treasury COMMITTEE ON FINANCE and passed. shall deposit— Mr. ALLEN. Mr. President, I ask (A) 50 percent of covered revenues in the f unanimous consent that the Com- general fund of the Treasury; and EXPRESSING SENSE OF THE SEN- (B) 50 percent of covered revenues in a spe- mittee on Finance be authorized to cial account in the Treasury from which the meet during the session on Monday, ATE REGARDING EFFECTIVE Secretary shall disburse— July 31, 2006, immediately following TREATMENT AND ACCESS TO (i) 75 percent to the State in accordance the next vote on the Senate Floor (ten- CARE with paragraph (2); and tatively scheduled to occur at 5:30 Mr. SPECTER. Mr. President, on be- (ii) 25 percent to provide financial assist- p.m.), in the President’s Room, S–216 of ance to States in accordance with section 6 half of the leader, I ask unanimous of the Land and Water Conservation Fund the Capitol, to consider approving rec- consent that the HELP Committee be Act of 1965 (16 U.S.C. 460l-8), which shall be ommendations on proposed legislation discharged from further consideration considered income to the Land and Water implementing the U.S.-Peru Trade Pro- and the Senate proceed to S. Res. 420. Conservation Fund for purposes of section 2 motion Agreement, and to consider fa- The PRESIDING OFFICER. Without of that Act (16 U.S.C. 460l-5). vorably reporting S. 3495, to authorize objection, it is so ordered. The clerk (2) ALLOCATION AMONG STATE AND COASTAL the extension of nondiscriminatory will report the resolution by title. POLITICAL SUBDIVISIONS.— treatment (normal trade relations The bill clerk read as follows: (A) ALLOCATION TO STATE FOR FISCAL YEAR treatment) to the products of Vietnam. 2007 AND THEREAFTER.—Effective for fiscal A resolution (S. Res. 420) expressing the year 2007 and each fiscal year thereafter, the The PRESIDING OFFICER. Without sense of the Senate that effective treatment amount made available under paragraph objection, it is so ordered. and access to care for individuals with psori- (1)(B)(i) shall be allocated to the State. COMMITTEE ON FOREIGN RELATIONS asis and psoriatic arthritis should be im- proved. (B) PAYMENTS TO COASTAL POLITICAL SUB- Mr. ALLEN. Mr. President, I ask DIVISIONS.— unanimous consent that the Com- There being no objection, the Senate (i) IN GENERAL.—The Secretary shall pay 20 proceeded to consider the resolution. percent of the allocable share of the State, mittee on Foreign Relations be author- ized to meet during the session of the Mr. SPECTER. Mr. President, I ask as determined under subparagraph (A), to unanimous consent that the resolution the coastal political subdivisions of the Senate on Monday, July 31, 2006, at 3 State. p.m. to hold a hearing on nominations. be agreed to, the preamble be agreed (ii) ALLOCATION.—The amount paid by the The PRESIDING OFFICER. Without to, and the motion to reconsider be laid Secretary to coastal political subdivisions objection, it is so ordered. upon the table. shall be allocated to each coastal political The PRESIDING OFFICER. Without COMMITTEE ON VETERANS’ AFFAIRS subdivision in accordance with subpara- objection, it is so ordered. graphs (B) and (E) of section 31(b)(4) of the Mr. ALLEN. Mr. President, I ask The resolution (S. Res. 420) was Outer Continental Shelf Lands Act (43 U.S.C. unanimous consent that the Com- agreed to. 1356a(b)(4)). mittee on Veterans’ Affairs be author- The preamble was agreed to. (3) TIMING.—The amounts required to be ized to meet during the session of the The resolution, with its preamble, deposited under paragraph (1)(B) for the ap- Senate on Monday, July 31, 2006, to reads as follows plicable fiscal year shall be made available hold a markup to consider the nomina- S. RES. 420 in accordance with that paragraph during tions of Patrick W. Dunne to be Assist- the fiscal year immediately following the ap- Whereas psoriasis and psoriatic arthritis plicable fiscal year. ant Secretary for Policy & Planning are serious, chronic, inflammatory, dis- (4) AUTHORIZED USES.— and Thomas E. Harvey to be Assistant figuring, and life-altering diseases that re- (A) IN GENERAL.—Subject to subparagraph Secretary for Congressional Affairs, quire sophisticated medical intervention and (B), the State and each coastal political sub- Department of Veterans’ Affairs. care;

VerDate Sep 11 2014 13:15 May 08, 2017 Jkt 049102 PO 00000 Frm 00061 Fmt 0686 Sfmt 0634 E:\FDSYS\BOUNDRECORD\BR31JY06.REC BR31JY06 ejoyner on DSK30MW082PROD with BOUND RECORD July 31, 2006 CONGRESSIONAL RECORD—SENATE, Vol. 152, Pt. 12 16627 Whereas, according to the National Insti- (B) efforts to increase access to treatments under the provisions of rule XIV, I ob- tutes of Health, between 5,800,000 citizens and care that individuals living with psori- ject to further proceedings en bloc. and 7,500,000 citizens of the United States are asis and psoriatic arthritis need and deserve. The PRESIDING OFFICER. Objec- affected by psoriasis; f tion is heard. Whereas psoriasis and psoriatic arthritis Without objection, the bills will be are— PROVIDING FUNDING AUTHORITY placed on the calendar. (1) painful and disabling diseases with no TO FACILITATE THE EVACU- cure; and ATION OF PERSONS FROM LEB- f (2) diseases that have a significant and ad- ANON verse impact on the quality of life of individ- ORDERS FOR TUESDAY, AUGUST 1, uals diagnosed with them; Mr. SPECTER. Mr. President, on be- 2006 Whereas studies have indicated that psori- half of the leader, I ask that the Chair Mr. SPECTER. Mr. President, on be- asis may cause as much physical and mental lay before the Senate a message from half of the leader, I have been asked to disability as other major diseases, includ- the House to accompany S. 3741. ing— ask unanimous consent that when the The Presiding Officer laid before the (1) cancer; Senate completes its business today, it Senate a message from the House as (2) arthritis; stand in adjournment until 9:45 a.m. on follows: (3) hypertension; Tuesday, August 1; that following the (4) heart disease; S. 3741 prayer and pledge, the morning hour be (5) diabetes; and Resolved, That the bill from the Senate (S. (6) depression; deemed expired and the Journal of pro- 3741) entitled ‘‘An Act to provide funding au- ceedings be approved to date, the time Whereas studies have shown that psoriasis thority to facilitate the evacuation of per- is associated with elevated rates of depres- sons from Lebanon, and for other purposes’’, for the two leaders be reserved, and the sion and suicidal ideation; do pass with the following amendment: Senate resume consideration of S. 3711 Whereas citizens of the United States Strike subsection (a) of section 1, and in- as under the previous order, with the spend between $2,000,000,000 and $3,000,000,000 sert the following new subsection (a): time until the vote equally divided, to treat psoriasis each year; (a) INCREASE IN AVAILABLE FUNDS FOR EMER- with the Senate to stand in recess from Whereas early diagnosis and treatment of GENCY EVACUATIONS.—Notwithstanding the 12:30 to 2:15 to accommodate the week- psoriatic arthritis may help prevent irrevers- transfer restrictions under section 402 of the ible joint damage; ly policy luncheons. Science, State, Justice, Commerce, and Related The PRESIDING OFFICER. Without Whereas treating psoriasis and psoriatic Agencies Appropriations Act, 2006 (Public Law arthritis presents a challenge for patients 109–108), the second proviso under the headings objection, it is so ordered. and health care providers because— ‘‘DEPARTMENT OF STATE AND RELATED (1) no single treatment works for every pa- f AGENCY—DEPARTMENT OF STATE—ADMIN- tient diagnosed with the disease; ISTRATION OF FOREIGN AFFAIRS—DIPLOMATIC PROGRAM (2) some treatments lose effectiveness over AND CONSULAR PROGRAMS’’ is amended by strik- Mr. SPECTER. On behalf of the lead- time; and ing ‘‘$4,000,000’’ and inserting ‘‘$19,000,000’’. (3) all treatments have the potential to er, I state that today we continued de- cause a unique set of side effects; Mr. SPECTER. Mr. President, I ask bate on the Gulf Coast Energy Security Whereas, although safer and more effective unanimous consent that the Senate bill and invoked cloture, 72 to 23. Sen- treatments are now more readily available, concur in the House amendment, the ators wishing to speak on the bill many people do not have access to them; and motion to reconsider be laid on the should come to the floor tomorrow. Whereas Congress as an institution, and table, and any statements relating to the members of Congress as individuals, are The vote on passage will occur at 5 the bill be printed in the RECORD. in a unique position to help raise public p.m. tomorrow. Senators are reminded awareness about the need for increased ac- The PRESIDING OFFICER. Without that we have a great deal of work to cess to effective treatment options for psori- objection, it is so ordered. complete before the August recess, and asis and psoriatic arthritis: Now, therefore, f Members should expect a full week be it with late nights possible all week. MEASURES PLACED ON THE Resolved, That the Senate— I thank my colleagues again for their (1) recognizes— CALENDAR—H.R. 4 AND H.R. 5970 cooperation as we wrap up important (A) the need for enhanced public awareness Mr. SPECTER. Mr. President, I un- of psoriasis; legislative priorities. derstand there are two bills at the desk (B) the adverse impact that psoriasis can f have on people living with the disease; and due for a second reading. (C) the importance of an early diagnosis The PRESIDING OFFICER. The ADJOURNMENT UNTIL 9:45 A.M. and proper treatment of psoriasis; clerk will report the bills by title for TOMORROW (2) supports the continuing leadership pro- the second time. Mr. SPECTER. On the leader’s wrap- vided by the Director of the National Insti- The bill clerk read as follows: tutes of Health and the Director of the Na- up, this is inconsistent with morning A bill (H.R. 4) to provide economic security tional Institute of Arthritis and Musculo- business, but the leader says: If there is for all Americans, and for other purposes. skeletal and Skin Diseases for identifying a no further business to come before the A bill (H.R. 5970) to amend the Internal cure and developing safer, more effective Revenue Code of 1986 to increase the unified Senate, I ask unanimous consent that treatments for psoriasis and psoriatic arthri- credit against the estate tax to an exclusion the Senate stand in adjournment under tis; and equivalent of $5,000,000, to repeal the sunset the previous order. (3) encourages— provision for the estate and generation-skip- May the record show that the Pre- (A) researchers to examine the negative ping taxes, and to extend expiring provi- psychological and physical effects of psori- siding Officer is smiling. sions, and for other purposes. asis to better understand its impact on those There being no objection, the Senate, who have been diagnosed with the disease; Mr. SPECTER. Mr. President, in at 7:19 p.m., adjourned until Tuesday, and order to place the bills on the calendar August 1, 2006, at 9:45 a.m.

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SENATE COMMITTEE MEETINGS 10 a.m. Foreign Relations Banking, Housing, and Urban Affairs To hold hearings to examine the nomina- Title IV of Senate Resolution 4, Business meeting to consider an original tion of Mary Martin Ourisman, of Flor- agreed to by the Senate on February 4, bill to improve ratings quality for the ida, to be Ambassador to Barbados, and 1977, calls for establishment of a sys- protection of investors and in the pub- to serve concurrently and without ad- tem for a computerized schedule of all lic interest by fostering accountability, ditional compensation as Ambassador meetings and hearings of Senate com- transparency, and competition in the to St. Kitts and Nevis, Saint Lucia, An- credit rating agency industry. tigua and Barbuda, the Commonwealth mittees, subcommittees, joint commit- SD–538 tees, and committees of conference. of Dominica, Grenada, and Saint Vin- Finance cent and the Grenadines. This title requires all such committees To hold hearings to examine fake IDs re- SD–419 to notify the Office of the Senate Daily lating to border security. Judiciary Digest—designated by the Rules Com- SD–215 Business meeting to consider pending mittee—of the time, place, and purpose Homeland Security and Governmental Af- calendar business. of the meetings, when scheduled, and fairs SD–226 To hold hearings to examine the status 10 a.m. any cancellations or changes in the of Iraq reconstruction, focusing on con- meetings as they occur. Energy and Natural Resources tracting and procurement issues. To hold hearings to examine S. 2589, to SD–342 As an additional procedure along enhance the management and disposal 10:30 a.m. with the computerization of this infor- of spent nuclear fuel and high-level ra- Appropriations mation, the Office of the Senate Daily dioactive waste, to ensure protection of Legislative Branch Subcommittee Digest will prepare this information for public health and safety, to ensure the To continue hearings to examine printing in the Extensions of Remarks progress of the Capitol Visitor Center territorial integrity and security of the section of the CONGRESSIONAL RECORD construction. repository at Yucca Mountain. on Monday and Wednesday of each SD–138 SD–628 week. 11:30 a.m. Commerce, Science, and Transportation National Ocean Policy Study Sub- Meetings scheduled for Tuesday, Au- Energy and Natural Resources Business meeting to consider the nomi- committee gust 1, 2006 may be found in the Daily nations of Drue Pearce, of Alaska, to To hold hearings to examine state of the Digest of today’s RECORD. be Federal Coordinator for Alaska Nat- oceans in 2006. ural Gas Transportation Projects, and SR–253 MEETINGS SCHEDULED John Ray Correll, of Indiana, to be Di- Intelligence rector of the Office of Surface Mining To receive a closed briefing regarding in- Reclamation and Enforcement, and telligence matters. AUGUST 2 Mark Myers, of Alaska, to be Director SH–219 9 a.m. of the United States Geological Sur- 10:30 a.m. Agriculture, Nutrition, and Forestry vey, both of the Department of the In- Finance Forestry, Conservation, and Rural Revital- terior, and other pending calendar To hold hearings to examine tax code re- ization Subcommittee business. form issues. To hold hearings to examine H.R. 4200, to SD–628 SD–215 improve the ability of the Secretary of 2:30 p.m. 2:30 p.m. Agriculture and the Secretary of the Armed Services Homeland Security and Governmental Af- Interior to promptly implement recov- To resume hearings to examine the fu- fairs ery treatments in response to cata- ture of military commissions in light Federal Financial Management, Govern- strophic events affecting Federal lands of the Supreme Court decision in ment Information, and International under their jurisdiction, including the Hamdan v. Rumsfeld. Security Subcommittee removal of dead and damaged trees and SH–216 To hold hearings to examine financial the implementation of reforestation Judiciary management at the Department of De- treatments, to support the recovery of Constitution, Civil Rights and Property fense, focusing on the components of non-Federal lands damaged by cata- Rights Subcommittee Financial Improvement and Audit strophic events, to revitalize Forest To hold hearings to examine creating a Readiness Plan to improve the overall Service experimental forests. fair standard for attorney’s fee awards financial management health of the SR–328A in establishment clause cases. Department of Defense, including an 9:30 a.m. SD–226 understanding of other plans involved Environment and Public Works Banking, Housing, and Urban Affairs in improving the financial manage- To hold oversight hearings to examine Housing and Transportation Subcommittee ment infrastructure at the Depart- the Toxic Substances Control Act and To hold hearings to examine efforts to ment. the chemicals management program at meet the housing needs of veterans. SD–342 Environmental Protection Agency. SD–538 Foreign Relations SD–406 Intelligence To hold hearings to examine the nomina- Foreign Relations Closed business meeting to consider pend- tions of Cesar Benito Cabrera, of Puer- To hold hearings to examine the nomina- ing calendar business. to Rico, to be Ambassador to the Re- tion of John C. Rood, of Arizona, to be SH–219 public of Mauritius, and to serve con- an Assistant Secretary of State for currently and without additional com- International Security and Non-Pro- AUGUST 3 pensation as Ambassador to the Repub- liferation. 9:30 a.m. lic of Seychelles, Cindy Lou Courville, SD–419 Armed Services of Virginia, to be U.S. Representative Judiciary To hold hearings to examine Iraq, Af- to the African Union, with the rank of To hold hearings to examine the author- ghanistan and the global war on ter- Ambassador, and Donald C. Johnson, of ity to prosecute terrorists under the rorism; to be followed by a closed ses- Texas, to be Ambassador to the Repub- war crime provisions of Title 18. sion in SR–222. lic of Equatorial Guinea. SD–226 SH–216 SD–419

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

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