S.Amdt. 3623

TEXT OF AMENDMENTS

SA 3597. Mr. LOTT submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

At the end of chapter 4 of subtitle D of title II, add the
following:

SEC. 2399A. MISSISSIPPI RIVER/GULF OF MEXICO NUTRIENT TASK
FORCE ACTION PLAN FOR REDUCING, MITIGATING, AND
CONTROLLING HYPOXIA IN THE NORTHERN GULF OF
MEXICO WATERSHED.

Notwithstanding any other provision of this Act, the
Secretary shall ensure that, for each of fiscal years 2008
through 2012, the amount spent for the fiscal year in
accordance with this Act to implement the action plan of the
Mississippi River/Gulf of Mexico Nutrient Task Force for
reducing, mitigating, and controlling hypoxia in the Northern
Gulf of Mexico watershed is an amount equal to 10 percent
more than the amount spent to implement the action plan
during the preceding fiscal year.
______

SA 3598. Mr. BAUCUS submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

[[Page S14303]]

On page 245, between lines 22 and 23, insert the following:
(b) Eligibility.--Section 101 of the Specialty Crops
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law
108-465) is amended by striking subsection (e) and inserting
the following:
``(e) Plan Requirements.--
``(1) In general.--The State plan shall identify the lead
agency charged with the responsibility for carrying out the
plan and indicate how the grant funds will be used to enhance
the competitiveness of specialty crops.
``(2) Representation of certain individuals.--To the
maximum extent practicable and appropriate, the State plan
shall be developed taking into consideration the opinions and
expertise of beginning farmers or ranchers (as defined in
section 343(a) of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1991(a)) and socially disadvantaged farmers or
ranchers (as defined in section 355(e) of the Consolidated
Farm and Rural Development Act (7 U.S.C. 2003(e))).''.
(c) Audit and Plan Requirements.--Section 101 of the
Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621
note; Public Law 108-465) is amended by striking subsection
(h) and inserting the following:
``(h) Audit and Plan Requirements.--
``(1) In general.--For each year that a State receives a
grant under this section, the State shall conduct an audit of
the expenditures of grant funds by the State.
``(2) Submission of audit and description.--Not later than
30 days after the date of completion of an audit under
paragraph (1), the State shall submit to the Secretary of
Agriculture--
``(A) a copy of the audit;
``(B) a description of the ways in which the State is
complying with the requirement under subsection (e); and
``(C) such additional information as the Secretary may
request to ensure, to the maximum extent practicable, that
the State is complying with that requirement.''.
On page 245, line 23, strike ``(b)'' and insert ``(d)''.
On page 246, line 11, strike ``(c)'' and insert ``(e)''.
On page 247, line 11, strike ``(d)'' and insert ``(f)''.
On page 247, line 19, strike ``(e)'' and insert ``(g)''.
______

SA 3599. Mr. FEINGOLD (for himself and Mr. Sanders) submitted an
amendment intended to be proposed by him to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

At the appropriate place in title XI, insert the following:

SEC. 11___. OFFICE OF SMALL FARMS AND BEGINNING FARMERS AND
RANCHERS.

(a) In General.--Subtitle B of title II of the Department
of Agriculture Reorganization Act of 1994 (as amended by
section 11059(a)) is amended by inserting after section 226B
the following:

``SEC. 226C. OFFICE OF SMALL FARMS AND BEGINNING FARMERS AND
RANCHERS.

``(a) Establishment.--Not less than 180 days after the date
of enactment of this section, the Secretary shall establish
and maintain within the executive operations of the
Department an office, to be known as the `Office of Small
Farms and Beginning Farmers and Ranchers' (referred to in
this section as the `Office').
``(b) Purposes.--The purposes of the Office are--
``(1) to ensure coordination across all agencies of the
Department--
``(A) to improve use of the programs and services of the
Department; and
``(B) to enhance the viability of small, beginning, and
socially disadvantaged farmers and ranchers and others, as
the Secretary determines to be necessary;
``(2) to ensure small, beginning, and socially
disadvantaged farmers and ranchers access to, and equitable
participation in, commodity, credit, risk management and
disaster protection, conservation, marketing, nutrition,
value-added, rural development, and other programs and
services of the Department;
``(3) to ensure that the number and economic contributions
of small, limited-resource, beginning, and socially
disadvantaged farmers and ranchers are accurately reflected
in the Census of Agriculture and in other reports; and
``(4) to assess and enhance the effectiveness of outreach
and programs of the Department--
``(A) to reduce barriers to program participation;
``(B) to improve service provided through programs of the
Department to small, beginning, and socially disadvantaged
farmers and ranchers; and
``(C) by suggesting to the Secretary new initiatives and
programs to better serve the needs of small, socially
disadvantaged, and beginning farmers and ranchers.
``(c) Director.--
``(1) In general.--The Office shall be headed by a
Director.
``(2) Assumption of duties.--Effective on the date of
establishment of the Office under subsection (a), the
Director shall assume the duties and personnel of the
Director of Small Farms Coordination, as in existence on the
day before the date of enactment of this section.
``(d) Duties.--The Office shall--
``(1) in collaboration with such other agencies and offices
of the Department as the Secretary determines to be
necessary, develop and implement a plan to coordinate the
activities established under Departmental Regulation 9700-1
(August 3, 2006), including activities of the Small and
Beginning Farmers and Ranchers Council and services provided
by the Department to small farms and beginning farmers and
ranchers;
``(2) coordinate with the Office of Outreach to provide
consultation, training, and liaison activities with eligible
entities (as defined in section 2501(e) of the Food,
Agriculture, Conservation, and Trade Act of 1990 7 U.S.C.
2279(e));
``(3) cooperate with, and monitor, agencies and offices of
the Department to ensure that the Department is meeting the
needs of small farms and of beginning farmers and ranchers;
``(4) establish cross-cutting and strategic departmental
goals and objectives for small farms and beginning farmers
and ranchers and for each associated program;
``(5) provide input to agencies and offices of the
Department on program and policy decisions to ensure that the
interests of small farms and of beginning farmers and
ranchers are represented;
``(6) measure outcomes of all small farm programs and
beginning farmer and rancher programs and track progress made
in achieving the goals of the programs;
``(7) supervise data collection by agencies and offices of
the Department regarding characteristics of small farms and
beginning farmers and ranchers to ensure that the goals and
objectives, and measures carried out to achieve those goals
and objectives, can be measured and evaluated; and
``(8) carry out any other related duties that the Secretary
determines to be appropriate.
``(e) Outreach.--The Office shall establish and maintain an
Internet website--
``(1) to share information with interested producers; and
``(2) to collect and respond to comments from small and
beginning farmers and ranchers, including comments of the
Small and Beginning Farmers and Ranchers Council.
``(f) Resources.--Using funds made available to the
Secretary in appropriations Acts, the Secretary shall provide
to the Office such human and capital resources as are
sufficient to allow the Office to carry out the duties of the
Office under this section in a timely and efficient manner.
``(g) Annual Report.--The Secretary shall submit to the
Committee on Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate annual reports that describe actions taken by the
Office during the preceding calendar year to advance the
interests of small farms and beginning farmers and
ranchers.''.
(b) Conforming Amendment.--Section 296(b) of the Department
of Agriculture Reorganization Act of 1994 (7 U.S.C. 7014(b))
is amended--
(1) in paragraph (6) (as added by section 7401(c)(1)), by
striking ``or'' at the end;
(2) in paragraph (7) (as added by section 11059(b)), by
striking the period at the end and inserting ``; or''; and
(3) by adding at the end the following:
``(8) the authority of the Secretary to establish in the
Department the Office of Small Farms and Beginning Farmers
and Ranchers in accordance with section 226C.''.
______

SA 3600. Mr. ALLARD submitted an amendment intended to be proposed by
him to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

On page 1362, between lines 19 and 20, insert the
following:

SEC. 110___. USDA PROGRAM GOALS.

(a) In General.--Not later than 120 days after the date of
enactment of this Act, the Secretary shall submit to Congress
a report that describes--
(1) each program of the Department of Agriculture that has
received a Program Assessment Rating Tool (referred to in
this section as ``PART'') score of ``results not
demonstrated''; and
(2) for each such program, the steps being taken by the
Secretary to develop acceptable and quantifiable performance
goals to determine whether the program is performing as
Congress intended.
(b) Annual Budget.--
(1) In general.--The Secretary shall include in the annual
submission to Congress of the budget for the Department of
Agriculture a report that identifies each program within the
Department of Agriculture that has, as of the date of the
report, a PART score of ``results not demonstrated'' or
``ineffective''.
(2) Funding.--If a program of the Department of Agriculture
receives a PART score described in paragraph (1) for 2 or
more consecutive years, the amount made available to the
Secretary to carry out the program for each subsequent fiscal
year shall be not more than the amount made available to
carry out the program for the preceding fiscal year until
such time as the program receives a PART score of at least
``adequate''.
(c) Reduction of Debt.--For each fiscal year for which a
program of the Department

[[Page S14304]]

of Agriculture receives funding as described in subsection
(b)(2), an amount equal to the amount of funding withheld
from the Department of Agriculture for that program shall be
deposited in the account established under section 3113(d) of
title 31, United States Code, for use in reducing the Federal
debt.
______

SA 3601. Ms. MURKOWSKI submitted an amendment intended to be proposed
by her to the bill S. 901, to amend the Public Health Service Act to
provide additional authorizations of appropriations for the health
centers program under section 330 of such Act; which was referred to
the Committee on Health, Education, Labor, and Pensions; as follows:

At the appropriate place in section 2, insert the
following:

SEC. __. GRANTS TO EXPAND MEDICAL RESIDENCY TRAINING PROGRAMS
AND INCREASE PROVIDER RETENTION RATES IN RURAL
AND UNDERSERVED AREAS.

Title III of the Public Health Service Act (42 U.S.C. 241
et seq.) is amended by inserting after section 340G the
following:

``Subpart XI--Medical Residency Training Programs and Provider
Retention

``SEC. 340H. GRANTS TO EXPAND MEDICAL RESIDENCY TRAINING
PROGRAMS AND INCREASE PROVIDER RETENTION RATES
IN RURAL AND UNDERSERVED AREAS.

``(a) Program Authorized.--The Secretary may make grants to
community health centers--
``(1) to establish, at the centers, new or alternative-
campus accredited medical residency training programs
affiliated with a hospital or other health care facility; or
``(2) to fund new residency positions within existing
accredited medical residency training programs at the centers
and their affiliated partners.
``(b) Use of Funds.--Amounts from a grant under this
section shall be used to cover the costs of establishing or
expanding a medical residency training program described in
subsection (a), including costs associated with--
``(1) curriculum development;
``(2) equipment acquisition;
``(3) recruitment, training, and retention of residents and
faculty; and
``(4) residency stipends.
``(c) Applications.--A community health center seeking a
grant under this section shall submit an application to the
Secretary at such time, in such manner, and containing such
information as the Secretary may require.
``(d) Preference.--In selecting recipients for a grant
under this section, the Secretary shall give preference to
funding medical residency training programs focusing on
primary health care.
``(e) Definitions.--In this section:
``(1) The term `accredited', as applied to a new or
alternative-campus medical residency training program, means
a program that is accredited by a recognized body or bodies
approved for such purpose by the Accreditation Council for
Graduate Medical Education, except that a new medical
residency training program that, by reason of an insufficient
period of operation, is not eligible for accreditation on or
before the date of submission of an application under
subsection (c) shall be deemed accredited if the
Accreditation Council for Graduate Medical Education finds,
after consultation with the appropriate accreditation body or
bodies, that there is substantial assurance that the program
will meet the accreditation standards of such body or bodies
prior to the date of graduation of the first entering class
in that program.
``(2) The term `community health center' means a health
center as defined in section 330.''.
______

SA 3602. Mr. DORGAN (for himself, Mr. Enzi, Mr. Conrad, Ms. Cantwell,
Mr. Johnson, Mr. Tester, Mr. Barrasso, and Mr. Wyden) submitted an
amendment intended to be proposed by him to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

At the end of subtitle D of title X, add the following:

SEC. 103__. DISAPPROVAL OF RULE.

Congress disapproves the rule submitted by the Secretary
relating to bovine spongiform encephalopathy, minimal-risk
regions, and importation of live bovines and products derived
from bovines (72 Fed. Reg. 53314 (2007)), and such rule shall
have no force or effect.
______

SA 3603. Mrs. BOXER (for herself and Mrs. Feinstein) submitted an
amendment intended to be proposed by her to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 392, strike line 25 and insert the following:

as determined by the Secretary.
``(i) Air Quality Improvement.--
``(1) In general.--Under the environmental quality section
of the program established under this chapter, the Secretary
shall promote air quality by providing cost-share payments
and incentive payments to individual producers for use in
addressing air quality concerns associated with agriculture.
``(2) Eligible practices, cost-share.--
``(A) Reduction of emissions of air pollutants and
precursors of air pollutants.--In addition to practices
eligible for cost-share payments under the environmental
quality section of the program established under this
chapter, the Secretary shall provide cost-share payments to
producers under this section for mobile or stationary
equipment (including engines) used in an agricultural
operation that would reduce emissions and precursors of air
pollutants.
``(B) Considerations.--In evaluating applications for cost-
share assistance for equipment described in subparagraph (A),
the Secretary shall prioritize assistance for equipment
that--
``(i) is the most cost-effective in addressing air quality
concerns; and
``(ii) would assist producers in meeting Federal, State, or
local regulatory requirements relating to air quality.
``(3) Locations.--To receive a payment for a project under
this subsection, a producer shall carry out the project in a
county--
``(A) that is in nonattainment with respect to ambient air
quality standards;
``(B) in which there is air quality degradation, recognized
by a State or local agency, to which agricultural emissions
significantly contribute; or
``(C) in which the Secretary determines that pesticide
drift is a priority concern.
``(4) Priority.--The Secretary shall give priority to
projects that--
``(A) involve multiple producers implementing eligible
conservation activities in a coordinated manner to promote
air quality; or
``(B) are designed to encourage broad adoption of
innovative approaches, including approaches involving the use
of innovative technologies and integrated pest management, on
the condition that the technologies do not have the
unintended consequence of compromising other environmental
goals.''.
______

SA 3604. Mr. KERRY (for himself, Ms. Snowe, Ms. Landrieu, and Mr.
Vitter) submitted an amendment intended to be proposed to amendment SA
3500 proposed by Mr. Harkin (for himself, Mr. Chambliss, Mr. Baucus,
and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 1362, between lines 19 and 20, insert the
following:

Subtitle C--Disaster Loan Program

SEC. 11101. SHORT TITLE.

This subtitle may be cited as the ``Small Business Disaster
Response and Loan Improvements Act of 2007''.

SEC. 11102. DEFINITIONS.

In this subtitle--
(1) the terms ``Administration'' and ``Administrator'' mean
the Small Business Administration and the Administrator
thereof, respectively;
(2) the term ``catastrophic national disaster'' means a
catastrophic national disaster declared under section
7(b)(11) of the Small Business Act (15 U.S.C. 636(b)), as
added by this Act;
(3) the term ``declared disaster'' means a major disaster
or a catastrophic national disaster;
(4) the term ``disaster area'' means an area affected by a
natural or other disaster, as determined for purposes of
paragraph (1) or (2) of section 7(b) of the Small Business
Act (15 U.S.C. 636(b)), during the period of such
declaration;
(5) the term ``disaster loan program of the
Administration'' means assistance under section 7(b) of the
Small Business Act (15 U.S.C. 636(b));
(6) the term ``disaster update period'' means the period
beginning on the date on which the President declares a major
disaster or a catastrophic national disaster and ending on
the date on which such declaration terminates;
(7) the term ``major disaster'' has the meaning given that
term in section 102 of the Robert T. Stafford Disaster Relief
and Emergency Assistance Act (42 U.S.C. 5122);
(8) the term ``small business concern'' has the same
meaning as in section 3 of the Small Business Act (15 U.S.C.
632); and
(9) the term ``State'' means any State of the United
States, the District of Columbia, the Commonwealth of Puerto
Rico, the Northern Mariana Islands, the Virgin Islands, Guam,
American Samoa, and any territory or possession of the United
States.

PART I--DISASTER PLANNING AND RESPONSE

SEC. 11121. DISASTER LOANS TO NONPROFITS.

Section 7(b) of the Small Business Act (15 U.S.C. 636(b))
is amended by inserting immediately after paragraph (3) the
following:
``(4) Loans to nonprofits.--In addition to any other loan
authorized by this subsection, the Administrator may make
such loans (either directly or in cooperation with banks or
other lending institutions through agreements to participate
on an immediate or deferred basis) as the Administrator
determines appropriate to a nonprofit organization located or
operating in an area affected by a natural or other disaster,
as determined

[[Page S14305]]

under paragraph (1) or (2), or providing services to persons
who have evacuated from any such area.''.

SEC. 11122. DISASTER LOAN AMOUNTS.

(a) Increased Loan Caps.--Section 7(b) of the Small
Business Act (15 U.S.C. 636(b)) is amended by inserting
immediately after paragraph (4), as added by this Act, the
following:
``(5) Increased loan caps.--
``(A) Aggregate loan amounts.--Except as provided in
subparagraph (B), and notwithstanding any other provision of
law, the aggregate loan amount outstanding and committed to a
borrower under this subsection may not exceed $2,000,000.
``(B) Waiver authority.--The Administrator may, at the
discretion of the Administrator, increase the aggregate loan
amount under subparagraph (A) for loans relating to a
disaster to a level established by the Administrator, based
on appropriate economic indicators for the region in which
that disaster occurred.''.
(b) Disaster Mitigation.--
(1) In general.--Section 7(b)(1)(A) of the Small Business
Act (15 U.S.C. 636(b)(1)(A)) is amended by inserting ``of the
aggregate costs of such damage or destruction (whether or not
compensated for by insurance or otherwise)'' after ``20 per
centum''.
(2) Effective date.--The amendment made by paragraph (1)
shall apply with respect to a loan or guarantee made after
the date of enactment of this Act.
(c) Technical Amendments.--Section 7(b) of the Small
Business Act (15 U.S.C. 636(b)) is amended--
(1) in the matter preceding paragraph (1), by striking
``the, Administration'' and inserting ``the Administration'';
(2) in paragraph (2)(A), by striking ``Disaster Relief and
Emergency Assistance Act'' and inserting ``Robert T. Stafford
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121
et seq.) (in this subsection referred to as a `major
disaster')''; and
(3) in the undesignated matter at the end--
(A) by striking ``, (2), and (4)'' and inserting ``and
(2)''; and
(B) by striking ``, (2), or (4)'' and inserting ``(2)''.

SEC. 11123. SMALL BUSINESS DEVELOPMENT CENTER PORTABILITY
GRANTS.

Section 21(a)(4)(C)(viii) of the Small Business Act (15
U.S.C. 648(a)(4)(C)(viii)) is amended--
(1) in the first sentence, by striking ``as a result of a
business or government facility down sizing or closing, which
has resulted in the loss of jobs or small business
instability'' and inserting ``due to events that have
resulted or will result in, business or government facility
downsizing or closing''; and
(2) by adding at the end ``At the discretion of the
Administrator, the Administrator may make an award greater
than $100,000 to a recipient to accommodate extraordinary
occurrences having a catastrophic impact on the small
business concerns in a community.''.

SEC. 11124. ASSISTANCE TO OUT-OF-STATE BUSINESSES.

Section 21(b)(3) of the Small Business Act (15 U.S.C.
648(b)(3)) is amended--
(1) by striking ``At the discretion'' and inserting the
following: ``Small business development centers.--
``(A) In general.--At the discretion''; and
(2) by adding at the end the following:
``(B) During disasters.--
``(i) In general.--At the discretion of the Administrator,
the Administrator may authorize a small business development
center to provide such assistance to small business concerns
located outside of the State, without regard to geographic
proximity, if the small business concerns are located in a
disaster area declared under section 7(b)(2)(A).
``(ii) Continuity of services.--A small business
development center that provides counselors to an area
described in clause (i) shall, to the maximum extent
practicable, ensure continuity of services in any State in
which such small business development center otherwise
provides services.
``(iii) Access to disaster recovery facilities.--For
purposes of providing disaster recovery assistance under this
subparagraph, the Administrator shall, to the maximum extent
practicable, permit small business development center
personnel to use any site or facility designated by the
Administrator for use to provide disaster recovery
assistance.''.

SEC. 11125. OUTREACH PROGRAMS.

(a) In General.--Not later than 30 days after the date of
the declaration of a disaster area, the Administrator may
establish a contracting outreach and technical assistance
program for small business concerns which have had a primary
place of business in, or other significant presence in, such
disaster area.
(b) Administrator Action.--The Administrator may carry out
subsection (a) by acting through--
(1) the Administration;
(2) the Federal agency small business officials designated
under section 15(k)(1) of the Small Business Act (15 U.S.C.
644(k)(1)); or
(3) any Federal, State, or local government entity, higher
education institution, procurement technical assistance
center, or private nonprofit organization that the
Administrator may determine appropriate, upon conclusion of a
memorandum of understanding or assistance agreement, as
appropriate, with the Administrator.

SEC. 11126. SMALL BUSINESS BONDING THRESHOLD.

(a) In General.--Except as provided in subsection (b), and
notwithstanding any other provision of law, for any
procurement related to a major disaster, the Administrator
may, upon such terms and conditions as the Administrator may
prescribe, guarantee and enter into commitments to guarantee
any surety against loss resulting from a breach of the terms
of a bid bond, payment bond, performance bond, or bonds
ancillary thereto, by a principal on any total work order or
contract amount at the time of bond execution that does not
exceed $5,000,000.
(b) Increase of Amount.--Upon request of the head of any
Federal agency other than the Administration involved in
reconstruction efforts in response to a major disaster, the
Administrator may guarantee and enter into a commitment to
guarantee any security against loss under subsection (a) on
any total work order or contract amount at the time of bond
execution that does not exceed $10,000,000.

SEC. 11127. TERMINATION OF PROGRAM.

Section 711(c) of the Small Business Competitive
Demonstration Program Act of 1988 (15 U.S.C. 644 note) is
amended by inserting after ``January 1, 1989'' the following:
``, and shall terminate on the date of enactment of the Small
Business Disaster Response and Loan Improvements Act of
2007''.

SEC. 11128. INCREASING COLLATERAL REQUIREMENTS.

Section 7(c)(6) of the Small Business Act (15 U.S.C.
636(c)(6)) is amended by striking ``$10,000 or less'' and
inserting ``$14,000 or less (or such higher amount as the
Administrator determines appropriate in the event of a
catastrophic national disaster declared under subsection
(b)(11))''.

SEC. 11129. PUBLIC AWARENESS OF DISASTER DECLARATION AND
APPLICATION PERIODS.

(a) In General.--Section 7(b) of the Small Business Act (15
U.S.C. 636(b)) is amended by inserting immediately after
paragraph (5), as added by this Act, the following:
``(6) Coordination with fema.--
``(A) In general.--Notwithstanding any other provision of
law, for any disaster (including a catastrophic national
disaster) declared under this subsection or major disaster,
the Administrator, in consultation with the Administrator of
the Federal Emergency Management Agency, shall ensure, to the
maximum extent practicable, that all application periods for
disaster relief under this Act correspond with application
deadlines established under the Robert T. Stafford Disaster
Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.),
or as extended by the President.
``(B) Deadlines.--Notwithstanding any other provision of
law, not later than 10 days before the closing date of an
application period for a major disaster (including a
catastrophic national disaster), the Administrator, in
consultation with the Administrator of the Federal Emergency
Management Agency, shall submit to the Committee on Small
Business and Entrepreneurship of the Senate and the Committee
on Small Business of the House of Representatives a report
that includes--
``(i) the deadline for submitting applications for
assistance under this Act relating to that major disaster;
``(ii) information regarding the number of loan
applications and disbursements processed by the Administrator
relating to that major disaster for each day during the
period beginning on the date on which that major disaster was
declared and ending on the date of that report; and
``(iii) an estimate of the number of potential applicants
that have not submitted an application relating to that major
disaster.
``(7) Public awareness of disasters.--If a disaster
(including a catastrophic national disaster) is declared
under this subsection, the Administrator shall make every
effort to communicate through radio, television, print, and
web-based outlets, all relevant information needed by
disaster loan applicants, including--
``(A) the date of such declaration;
``(B) cities and towns within the area of such declaration;
``(C) loan application deadlines related to such disaster;
``(D) all relevant contact information for victim services
available through the Administration (including links to
small business development center websites);
``(E) links to relevant Federal and State disaster
assistance websites, including links to websites providing
information regarding assistance available from the Federal
Emergency Management Agency;
``(F) information on eligibility criteria for
Administration loan programs, including where such
applications can be found; and
``(G) application materials that clearly state the function
of the Administration as the Federal source of disaster loans
for homeowners and renters.''.
(b) Marketing and Outreach.--Not later than 90 days after
the date of enactment of this Act, the Administrator shall
create a marketing and outreach plan that--
(1) encourages a proactive approach to the disaster relief
efforts of the Administration;
(2) makes clear the services provided by the
Administration, including contact information, application
information, and timelines for submitting applications, the
review of applications, and the disbursement of funds;
(3) describes the different disaster loan programs of the
Administration, including how they are made available and the
eligibility requirements for each loan program;

[[Page S14306]]

(4) provides for regional marketing, focusing on disasters
occurring in each region before the date of enactment of this
Act, and likely scenarios for disasters in each such region;
and
(5) ensures that the marketing plan is made available at
small business development centers and on the website of the
Administration.

SEC. 11130. CONSISTENCY BETWEEN ADMINISTRATION REGULATIONS
AND STANDARD OPERATING PROCEDURES.

(a) In General.--The Administrator shall, promptly
following the date of enactment of this Act, conduct a study
of whether the standard operating procedures of the
Administration for loans offered under section 7(b) of the
Small Business Act (15 U.S.C. 636(b)) are consistent with the
regulations of the Administration for administering the
disaster loan program.
(b) Report.--Not later than 180 days after the date of
enactment of this Act, the Administration shall submit to
Congress a report containing all findings and recommendations
of the study conducted under subsection (a).

SEC. 11131. PROCESSING DISASTER LOANS.

(a) Authority for Qualified Private Contractors To Process
Disaster Loans.--Section 7(b) of the Small Business Act (15
U.S.C. 636(b)) is amended by inserting immediately after
paragraph (7), as added by this Act, the following:
``(8) Authority for qualified private contractors.--
``(A) Disaster loan processing.--The Administrator may
enter into an agreement with a qualified private contractor,
as determined by the Administrator, to process loans under
this subsection in the event of a major disaster or a
catastrophic national disaster declared under paragraph (11),
under which the Administrator shall pay the contractor a fee
for each loan processed.
``(B) Loan loss verification services.--The Administrator
may enter into an agreement with a qualified lender or loss
verification professional, as determined by the
Administrator, to verify losses for loans under this
subsection in the event of a major disaster or a catastrophic
national disaster declared under paragraph (11), under which
the Administrator shall pay the lender or verification
professional a fee for each loan for which such lender or
verification professional verifies losses.''.
(b) Coordination of Efforts Between the Administrator and
the Internal Revenue Service To Expedite Loan Processing.--
The Administrator and the Commissioner of Internal Revenue
shall, to the maximum extent practicable, ensure that all
relevant and allowable tax records for loan approval are
shared with loan processors in an expedited manner, upon
request by the Administrator.

SEC. 11132. DEVELOPMENT AND IMPLEMENTATION OF MAJOR DISASTER
RESPONSE PLAN.

(a) In General.--Not later than 3 months after the date of
enactment of this Act, the Administrator shall--
(1) by rule, amend the 2006 Atlantic hurricane season
disaster response plan of the Administration (in this section
referred to as the ``disaster response plan'') to apply to
major disasters; and
(2) submit a report to the Committee on Small Business and
Entrepreneurship of the Senate and the Committee on Small
Business of the House of Representatives detailing the
amendments to the disaster response plan.
(b) Contents.--The report required under subsection (a)(2)
shall include--
(1) any updates or modifications made to the disaster
response plan since the report regarding the disaster
response plan submitted to Congress on July 14, 2006;
(2) a description of how the Administrator plans to utilize
and integrate District Office personnel of the Administration
in the response to a major disaster, including information on
the utilization of personnel for loan processing and loan
disbursement;
(3) a description of the disaster scalability model of the
Administration and on what basis or function the plan is
scaled;
(4) a description of how the agency-wide Disaster Oversight
Council is structured, which offices comprise its membership,
and whether the Associate Deputy Administrator for
Entrepreneurial Development of the Administration is a
member;
(5) a description of how the Administrator plans to
coordinate the disaster efforts of the Administration with
State and local government officials, including
recommendations on how to better incorporate State
initiatives or programs, such as State-administered bridge
loan programs, into the disaster response of the
Administration;
(6) recommendations, if any, on how the Administration can
better coordinate its disaster response operations with the
operations of other Federal, State, and local entities;
(7) any surge plan for the disaster loan program of the
Administration in effect on or after August 29, 2005
(including surge plans for loss verification, loan
processing, mailroom, customer service or call center
operations, and a continuity of operations plan);
(8) the number of full-time equivalent employees and job
descriptions for the planning and disaster response staff of
the Administration;
(9) the in-service and preservice training procedures for
disaster response staff of the Administration;
(10) information on the logistical support plans of the
Administration (including equipment and staffing needs, and
detailed information on how such plans will be scalable
depending on the size and scope of the major disaster;
(11) a description of the findings and recommendations of
the Administrator, if any, based on a review of the response
of the Administration to Hurricane Katrina of 2005, Hurricane
Rita of 2005, and Hurricane Wilma of 2005; and
(12) a plan for how the Administrator, in consultation with
the Administrator of the Federal Emergency Management Agency,
will coordinate the provision of accommodations and necessary
resources for disaster assistance personnel to effectively
perform their responsibilities in the aftermath of a major
disaster.
(c) Exercises.--Not later than 6 months after the date of
the submission of the report under subsection (a)(2), the
Administrator shall develop and execute simulation exercises
to demonstrate the effectiveness of the amended disaster
response plan required under this section.

SEC. 11133. DISASTER PLANNING RESPONSIBILITIES.

(a) Assignment of Small Business Administration Disaster
Planning Responsibilities.--The Administrator shall
specifically assign the disaster planning responsibilities
described in subsection (b) to an employee of the
Administration who--
(1) is not an employee of the Office of Disaster Assistance
of the Administration;
(2) shall report directly to the Administrator; and
(3) has a background and expertise demonstrating
significant experience in the area of disaster planning.
(b) Responsibilities.--The responsibilities described in
this subsection are--
(1) creating and maintaining the comprehensive disaster
response plan of the Administration;
(2) ensuring in-service and pre-service training procedures
for the disaster response staff of the Administration;
(3) coordinating and directing Administration training
exercises, including mock disaster responses, with other
Federal agencies; and
(4) other responsibilities, as determined by the
Administrator.
(c) Report.--Not later than 30 days after the date of
enactment of this Act, the Administrator shall submit to the
Committee on Small Business and Entrepreneurship of the
Senate and the Committee on Small Business of the House of
Representatives a report containing--
(1) a description of the actions of the Administrator to
assign an employee under subsection (a);
(2) information detailing the background and expertise of
the employee assigned under subsection (a); and
(3) information on the status of the implementation of the
responsibilities described in subsection (b).

SEC. 11134. ADDITIONAL AUTHORITY FOR DISTRICT OFFICES OF THE
ADMINISTRATION.

(a) In General.--Section 7(b) of the Small Business Act (15
U.S.C. 636(b)) is amended by inserting immediately after
paragraph (8), as added by this Act, the following:
``(9) Use of district offices.--In the event of a major
disaster, the Administrator may authorize a district office
of the Administration to process loans under paragraph (1) or
(2).''.
(b) Designation.--
(1) In general.--The Administrator may designate an
employee in each district office of the Administration to act
as a disaster loan liaison between the disaster processing
center and applicants under the disaster loan program of the
Administration.
(2) Responsibilities.--Each employee designated under
paragraph (1) shall--
(A) be responsible for coordinating and facilitating
communications between applicants under the disaster loan
program of the Administration and disaster loan processing
staff regarding documentation and information required for
completion of an application; and
(B) provide information to applicants under the disaster
loan program of the Administration regarding additional
services and benefits that may be available to such
applicants to assist with recovery.
(3) Outreach.--In providing outreach to disaster victims
following a declared disaster, the Administrator shall make
disaster victims aware of--
(A) any relevant employee designated under paragraph (1);
and
(B) how to contact that employee.

SEC. 11135. ASSIGNMENT OF EMPLOYEES OF THE OFFICE OF DISASTER
ASSISTANCE AND DISASTER CADRE.

(a) In General.--Section 7(b) of the Small Business Act (15
U.S.C. 636(b)) is amended by inserting immediately after
paragraph (9), as added by this Act, the following:
``(10) Disaster assistance employees.--
``(A) In general.--In carrying out this section, the
Administrator may, where practicable, ensure that the number
of full-time equivalent employees--
``(i) in the Office of the Disaster Assistance is not fewer
than 800; and
``(ii) in the Disaster Cadre of the Administration is not
fewer than 750.
``(B) Report.--In carrying out this subsection, if the
number of full-time employees for either the Office of
Disaster Assistance or the Disaster Cadre of the
Administration is

[[Page S14307]]

below the level described in subparagraph (A) for that
office, not later than 21 days after the date on which that
staffing level decreased below the level described in
subparagraph (A), the Administrator shall submit to the
Committee on Appropriations and the Committee on Small
Business and Entrepreneurship of the Senate and the Committee
on Appropriations and Committee on Small Business of the
House of Representatives, a report--
``(i) detailing staffing levels on that date;
``(ii) requesting, if practicable and determined
appropriate by the Administrator, additional funds for
additional employees; and
``(iii) containing such additional information, as
determined appropriate by the Administrator.''.

PART II--DISASTER LENDING

SEC. 11141. CATASTROPHIC NATIONAL DISASTER DECLARATION.

Section 7(b) of the Small Business Act (15 U.S.C. 636(b))
is amended by inserting immediately after paragraph (10), as
added by this Act, the following:
``(11) Catastrophic national disasters.--
``(A) In general.--The President may make a catastrophic
national disaster declaration in accordance with this
paragraph.
``(B) Promulgation of rules.--
``(i) In general.--Not later than 6 months after the date
of enactment of this paragraph, the Administrator, with the
concurrence of the Secretary of Homeland Security and the
Administrator of the Federal Emergency Management Agency,
shall promulgate regulations establishing a threshold for a
catastrophic national disaster declaration.
``(ii) Considerations.--In promulgating the regulations
required under clause (i), the Administrator shall establish
a threshold that--

``(I) is similar in size and scope to the events relating
to the terrorist attacks of September 11, 2001, and Hurricane
Katrina of 2005;
``(II) requires that the President declares a major
disaster before making a catastrophic national disaster
declaration under this paragraph;
``(III) requires consideration of--

``(aa) the dollar amount per capita of damage to the State,
its political subdivisions, or a region;
``(bb) the number of small business concerns damaged,
physically or economically, as a direct result of the event;
``(cc) the number of individuals and households displaced
from their predisaster residences by the event;
``(dd) the severity of the impact on employment rates in
the State, its political subdivisions, or a region;
``(ee) the anticipated length and difficulty of the
recovery process;
``(ff) whether the events leading to the relevant major
disaster declaration are of an unusually large and calamitous
nature that is orders of magnitude larger than for an average
major disaster; and
``(gg) any other factor determined relevant by the
Administrator.
``(C) Authorization.--If the President makes a catastrophic
national disaster declaration under this paragraph, the
Administrator may make such loans under this paragraph
(either directly or in cooperation with banks or other
lending institutions through agreements to participate on an
immediate or deferred basis) as the Administrator determines
appropriate to small business concerns located anywhere in
the United States that are economically adversely impacted as
a result of that catastrophic national disaster.
``(D) Loan terms.--A loan under this paragraph shall be
made on the same terms as a loan under paragraph (2).''.

SEC. 11142. PRIVATE DISASTER LOANS.

(a) In General.--Section 7 of the Small Business Act (15
U.S.C. 636) is amended--
(1) by redesignating subsections (c) and (d) as subsections
(d) and (e), respectively; and
(2) by inserting after subsection (b) the following:
``(c) Private Disaster Loans.--
``(1) Definitions.--In this subsection--
``(A) the term `disaster area' means any area for which the
President declared a major disaster (as that term is defined
in section 102 of the Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5122)) that subsequently
results in the President making a catastrophic national
disaster declaration under subsection (b)(11);
``(B) the term `eligible small business concern' means a
business concern that is--
``(i) a small business concern, as defined in this Act; or
``(ii) a small business concern, as defined in section 103
of the Small Business Investment Act of 1958; and
``(C) the term `qualified private lender' means any
privately-owned bank or other lending institution that the
Administrator determines meets the criteria established under
paragraph (9).
``(2) Authorization.--The Administrator may guarantee
timely payment of principal and interest, as scheduled on any
loan issued by a qualified private lender to an eligible
small business concern located in a disaster area.
``(3) Use of loans.--A loan guaranteed by the Administrator
under this subsection may be used for any purpose authorized
under subsection (b).
``(4) Online applications.--
``(A) Establishment.--The Administrator may establish,
directly or through an agreement with another entity, an
online application process for loans guaranteed under this
subsection.
``(B) Other federal assistance.--The Administrator may
coordinate with the head of any other appropriate Federal
agency so that any application submitted through an online
application process established under this paragraph may be
considered for any other Federal assistance program for
disaster relief.
``(C) Consultation.--In establishing an online application
process under this paragraph, the Administrator shall consult
with appropriate persons from the public and private sectors,
including private lenders.
``(5) Maximum amounts.--
``(A) Guarantee percentage.--The Administrator may
guarantee not more than 85 percent of a loan under this
subsection.
``(B) Loan amounts.--The maximum amount of a loan
guaranteed under this subsection shall be $2,000,000.
``(6) Loan term.--The longest term of a loan for a loan
guaranteed under this subsection shall be--
``(A) 15 years for any loan that is issued without
collateral; and
``(B) 25 years for any loan that is issued with collateral.
``(7) Fees.--
``(A) In general.--The Administrator may not collect a
guarantee fee under this subsection.
``(B) Origination fee.--The Administrator may pay a
qualified private lender an origination fee for a loan
guaranteed under this subsection in an amount agreed upon in
advance between the qualified private lender and the
Administrator.
``(8) Documentation.--A qualified private lender may use
its own loan documentation for a loan guaranteed by the
Administrator, to the extent authorized by the Administrator.
The ability of a lender to use its own loan documentation for
a loan guaranteed under this subsection shall not be
considered part of the criteria for becoming a qualified
private lender under the regulations promulgated under
paragraph (9).
``(9) Implementation regulations.--
``(A) In general.--Not later than 1 year after the date of
enactment of the Small Business Disaster Response and Loan
Improvements Act of 2007, the Administrator shall issue final
regulations establishing permanent criteria for qualified
private lenders.
``(B) Report to congress.--Not later than 6 months after
the date of enactment of the Small Business Disaster Response
and Loan Improvements Act of 2007, the Administrator shall
submit a report on the progress of the regulations required
by subparagraph (A) to the Committee on Small Business and
Entrepreneurship of the Senate and the Committee on Small
Business of the House of Representatives.
``(10) Authorization of appropriations.--
``(A) In general.--Amounts necessary to carry out this
subsection shall be made available from amounts appropriated
to the Administration to carry out subsection (b).
``(B) Authority to reduce interest rates.--Funds
appropriated to the Administration to carry out this
subsection, may be used by the Administrator, to the extent
available, to reduce the rate of interest for any loan
guaranteed under this subsection by not more than 3
percentage points.
``(11) Purchase of loans.--The Administrator may enter into
an agreement with a qualified private lender to purchase any
loan issued under this subsection.''.
(b) Effective Date.--The amendments made by this section
shall apply to disasters declared under section 7(b)(2) of
the Small Business Act (631 U.S.C. 636(b)(2)) before, on, or
after the date of enactment of this Act.

SEC. 11143. TECHNICAL AND CONFORMING AMENDMENTS.

The Small Business Act (15 U.S.C. 631 et seq.) is amended--
(1) in section 4(c)--
(A) in paragraph (1), by striking ``7(c)(2)'' and inserting
``7(d)(2)''; and
(B) in paragraph (2)--
(i) by striking ``7(c)(2)'' and inserting ``7(d)(2)''; and
(ii) by striking ``7(e),''; and
(2) in section 7(b), in the undesignated matter following
paragraph (3)--
(A) by striking ``That the provisions of paragraph (1) of
subsection (c)'' and inserting ``That the provisions of
paragraph (1) of subsection (d)''; and
(B) by striking ``Notwithstanding the provisions of any
other law the interest rate on the Administration's share of
any loan made under subsection (b) except as provided in
subsection (c),'' and inserting ``Notwithstanding any other
provision of law, and except as provided in subsection (d),
the interest rate on the Administration's share of any loan
made under subsection (b)''.

SEC. 11144. EXPEDITED DISASTER ASSISTANCE LOAN PROGRAM.

(a) Definitions.--In this section--
(1) the term ``immediate disaster assistance'' means
assistance provided during the period beginning on the date
on which the President makes a catastrophic disaster
declaration under paragraph (11) of section 7(b) of the Small
Business Act (15 U.S.C. 636(b)), as added by this Act, and
ending on the date that an impacted small business concern is
able to secure funding through insurance claims, Federal
assistance programs, or other sources; and
(2) the term ``program'' means the expedited disaster
assistance business loan program established under subsection
(b).
(b) Creation of Program.--The Administrator shall take such
administrative action

[[Page S14308]]

as is necessary to establish and implement an expedited
disaster assistance business loan program to provide small
business concerns with immediate disaster assistance under
paragraph (11) of section 7(b) of the Small Business Act (15
U.S.C. 636(b)), as added by this Act.
(c) Consultation Required.--In establishing the program,
the Administrator shall consult with--
(1) appropriate personnel of the Administration (including
District Office personnel of the Administration);
(2) appropriate technical assistance providers (including
small business development centers);
(3) appropriate lenders and credit unions;
(4) the Committee on Small Business and Entrepreneurship of
the Senate; and
(5) the Committee on Small Business of the House of
Representatives.
(d) Rules.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall issue rules in
final form establishing and implementing the program in
accordance with this section. Such rules shall apply as
provided for in this section, beginning 90 days after their
issuance in final form.
(2) Contents.--The rules promulgated under paragraph (1)
shall--
(A) identify whether appropriate uses of funds under the
program may include--
(i) paying employees;
(ii) paying bills and other financial obligations;
(iii) making repairs;
(iv) purchasing inventory;
(v) restarting or operating a small business concern in the
community in which it was conducting operations prior to the
declared disaster, or to a neighboring area, county, or
parish in the disaster area; or
(vi) covering additional costs until the small business
concern is able to obtain funding through insurance claims,
Federal assistance programs, or other sources; and
(B) set the terms and conditions of any loan made under the
program, subject to paragraph (3).
(3) Terms and conditions.--A loan made by the
Administration under this section--
(A) shall be for not more than $150,000;
(B) shall be a short-term loan, not to exceed 180 days,
except that the Administrator may extend such term as the
Administrator determines necessary or appropriate on a case-
by-case basis;
(C) shall have an interest rate not to exceed 1 percentage
point above the prime rate of interest that a private lender
may charge;
(D) shall have no prepayment penalty;
(E) may only be made to a borrower that meets the
requirements for a loan under section 7(b) of the Small
Business Act (15 U.S.C. 636(b));
(F) may be refinanced as part of any subsequent disaster
assistance provided under section 7(b) of the Small Business
Act;
(G) may receive expedited loss verification and loan
processing, if the applicant is--
(i) a major source of employment in the disaster area
(which shall be determined in the same manner as under
section 7(b)(3)(B) of the Small Business Act (15 U.S.C.
636(b)(3)(B))); or
(ii) vital to recovery efforts in the region (including
providing debris removal services, manufactured housing, or
building materials); and
(H) shall be subject to such additional terms as the
Administrator determines necessary or appropriate.
(e) Report to Congress.--Not later than 5 months after the
date of enactment of this Act, the Administrator shall report
to the Committee on Small Business and Entrepreneurship of
the Senate and the Committee on Small Business of the House
of Representatives on the progress of the Administrator in
establishing the program.
(f) Authorization.--There are authorized to be appropriated
to the Administrator such sums as are necessary to carry out
this section.

SEC. 11145. HUBZONES.

(a) In General.--Section 3(p) of the Small Business Act (15
U.S.C. 632(p)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (D), by striking ``or'';
(B) in subparagraph (E), by striking the period at the end
and inserting a semicolon; and
(C) by adding at the end the following:
``(F) areas in which the President has declared a major
disaster (as that term is defined in section 102 of the
Robert T. Stafford Disaster Relief and Emergency Assistance
Act (42 U.S.C. 5122)) as a result of Hurricane Katrina of
August 2005 or Hurricane Rita of September 2005, during the
time period described in paragraph (8); or
``(G) catastrophic national disaster areas.'';
(2) in paragraph (4), by adding at the end the following:
``(E) Catastrophic national disaster area.--
``(i) In general.--The term `catastrophic national disaster
area' means an area--

``(I) affected by a catastrophic national disaster declared
under section 7(b)(11), during the time period described in
clause (ii); and
``(II) for which the Administrator determines that
designation as a HUBZone would substantially contribute to
the reconstruction and recovery effort in that area.

``(ii) Time period.--The time period for the purposes of
clause (i)--

``(I) shall be the 2-year period beginning on the date that
the applicable catastrophic national disaster was declared
under section 7(b)(11); and
``(II) may, at the discretion of the Administrator, be
extended to be the 3-year period beginning on the date
described in subclause (I).''; and

(3) by adding at the end the following:
``(8) Time period.--The time period for the purposes of
paragraph (1)(F)--
``(A) shall be the 2-year period beginning on the later of
the date of enactment of this paragraph and August 29, 2007;
and
``(B) may, at the discretion of the Administrator, be
extended to be the 3-year period beginning on the later of
the date of enactment of this paragraph and August 29,
2007.''.
(b) Tolling of Graduation.--Section 7(j)(10)(C) of the
Small Business Act (15 U.S.C. 636(j)(10)(C)) is amended by
adding at the end the following:
``(iii)(I) For purposes of this subparagraph, if the
Administrator designates an area as a HUBZone under section
3(p)(4)(E)(i)(II), the Administrator shall not count the time
period described in subclause (II) of this clause for any
small business concern--
``(aa) that is participating in any program, activity, or
contract under section 8(a); and
``(bb) the principal place of business of which is located
in that area.
``(II) The time period for purposes of subclause (I)--
``(aa) shall be the 2-year period beginning on the date
that the applicable catastrophic national disaster was
declared under section 7(b)(11); and
``(bb) may, at the discretion of the Administrator, be
extended to be the 3-year period beginning on the date
described in item (aa).''.
(c) Study of HUBZone Disaster Areas.--Not later than 1 year
after the date of enactment of this Act, the Comptroller
General of the United States shall submit a report to the
Committee on Small Business and Entrepreneurship of the
Senate and the Committee on Small Business of the House of
Representatives evaluating the designation by the
Administrator of catastrophic national disaster areas, as
that term is defined in section 3(p)(4)(E) of the Small
Business Act (as added by this Act), as HUBZones.

PART III--DISASTER ASSISTANCE OVERSIGHT

SEC. 11161. CONGRESSIONAL OVERSIGHT.

(a) Monthly Accounting Report to Congress.--
(1) Reporting requirements.--Not later than the fifth
business day of each month during the applicable period for a
major disaster, the Administrator shall provide to the
Committee on Small Business and Entrepreneurship and the
Committee on Appropriations of the Senate and to the
Committee on Small Business and the Committee on
Appropriations of the House of Representatives a report on
the operation of the disaster loan program authorized under
section 7 of the Small Business Act (15 U.S.C. 636) for that
major disaster during the preceding month.
(2) Contents.--Each report under paragraph (1) shall
include--
(A) the daily average lending volume, in number of loans
and dollars, and the percent by which each category has
increased or decreased since the previous report under
paragraph (1);
(B) the weekly average lending volume, in number of loans
and dollars, and the percent by which each category has
increased or decreased since the previous report under
paragraph (1);
(C) the amount of funding spent over the month for loans,
both in appropriations and program level, and the percent by
which each category has increased or decreased since the
previous report under paragraph (1);
(D) the amount of funding available for loans, both in
appropriations and program level, and the percent by which
each category has increased or decreased since the previous
report under paragraph (1), noting the source of any
additional funding;
(E) an estimate of how long the available funding for such
loans will last, based on the spending rate;
(F) the amount of funding spent over the month for staff,
along with the number of staff, and the percent by which each
category has increased or decreased since the previous report
under paragraph (1);
(G) the amount of funding spent over the month for
administrative costs, and the percent by which such spending
has increased or decreased since the previous report under
paragraph (1);
(H) the amount of funding available for salaries and
expenses combined, and the percent by which such funding has
increased or decreased since the previous report under
paragraph (1), noting the source of any additional funding;
and
(I) an estimate of how long the available funding for
salaries and expenses will last, based on the spending rate.
(b) Daily Disaster Updates to Congress for Presidentially
Declared Disasters.--
(1) In general.--Each day during a disaster update period,
excluding Federal holidays and weekends, the Administration
shall provide to the Committee on Small Business and
Entrepreneurship of the Senate and to the Committee on Small
Business of the House of Representatives a report on the
operation of the disaster loan program of the Administration
for the area in which the President declared a major
disaster.
(2) Contents.--Each report under paragraph (1) shall
include--

[[Page S14309]]

(A) the number of Administration staff performing loan
processing, field inspection, and other duties for the
declared disaster, and the allocations of such staff in the
disaster field offices, disaster recovery centers, workshops,
and other Administration offices nationwide;
(B) the daily number of applications received from
applicants in the relevant area, as well as a breakdown of
such figures by State;
(C) the daily number of applications pending application
entry from applicants in the relevant area, as well as a
breakdown of such figures by State;
(D) the daily number of applications withdrawn by
applicants in the relevant area, as well as a breakdown of
such figures by State;
(E) the daily number of applications summarily declined by
the Administration from applicants in the relevant area, as
well as a breakdown of such figures by State;
(F) the daily number of applications declined by the
Administration from applicants in the relevant area, as well
as a breakdown of such figures by State;
(G) the daily number of applications in process from
applicants in the relevant area, as well as a breakdown of
such figures by State;
(H) the daily number of applications approved by the
Administration from applicants in the relevant area, as well
as a breakdown of such figures by State;
(I) the daily dollar amount of applications approved by the
Administration from applicants in the relevant area, as well
as a breakdown of such figures by State;
(J) the daily amount of loans dispersed, both partially and
fully, by the Administration to applicants in the relevant
area, as well as a breakdown of such figures by State;
(K) the daily dollar amount of loans disbursed, both
partially and fully, from the relevant area, as well as a
breakdown of such figures by State;
(L) the number of applications approved, including dollar
amount approved, as well as applications partially and fully
disbursed, including dollar amounts, since the last report
under paragraph (1); and
(M) the declaration date, physical damage closing date,
economic injury closing date, and number of counties included
in the declaration of a major disaster.
(c) Notice of the Need for Supplemental Funds.--On the same
date that the Administrator notifies any committee of the
Senate or the House of Representatives that supplemental
funding is necessary for the disaster loan program of the
Administration in any fiscal year, the Administrator shall
notify in writing the Committee on Small Business and
Entrepreneurship of the Senate and the Committee on Small
Business of the House of Representatives regarding the need
for supplemental funds for that loan program.
(d) Report on Contracting.--
(1) In general.--Not later than 6 months after the date on
which the President declares a major disaster, and every 6
months thereafter until the date that is 18 months after the
date on which the major disaster was declared, the
Administrator shall submit a report to the Committee on Small
Business and Entrepreneurship of the Senate and to the
Committee on Small Business of the House of Representatives
regarding Federal contracts awarded as a result of that major
disaster.
(2) Contents.--Each report submitted under paragraph (1)
shall include--
(A) the total number of contracts awarded as a result of
that major disaster;
(B) the total number of contracts awarded to small business
concerns as a result of that major disaster;
(C) the total number of contracts awarded to women and
minority-owned businesses as a result of that major disaster;
and
(D) the total number of contracts awarded to local
businesses as a result of that major disaster.
(e) Report on Loan Approval Rate.--
(1) In general.--Not later than 6 months after the date of
enactment of this Act, the Administrator shall submit a
report to the Committee on Small Business and
Entrepreneurship of the Senate and the Committee on Small
Business of the House of Representatives detailing how the
Administration can improve the processing of applications
under the disaster loan program of the Administration.
(2) Contents.--The report submitted under paragraph (1)
shall include--
(A) recommendations, if any, regarding--
(i) staffing levels during a major disaster;
(ii) how to improve the process for processing, approving,
and disbursing loans under the disaster loan program of the
Administration, to ensure that the maximum assistance is
provided to victims in a timely manner;
(iii) the viability of using alternative methods for
assessing the ability of an applicant to repay a loan,
including the credit score of the applicant on the day before
the date on which the disaster for which the applicant is
seeking assistance was declared;
(iv) methods, if any, for the Administration to expedite
loss verification and loan processing of disaster loans
during a major disaster for businesses affected by, and
located in the area for which the President declared, the
major disaster that are a major source of employment in the
area or are vital to recovery efforts in the region
(including providing debris removal services, manufactured
housing, or building materials);
(v) legislative changes, if any, needed to implement
findings from the Accelerated Disaster Response Initiative of
the Administration; and
(vi) a description of how the Administration plans to
integrate and coordinate the response to a major disaster
with the technical assistance programs of the Administration;
and
(B) the plans of the Administrator for implementing any
recommendation made under subparagraph (A).
______

SA 3605. Mr. SMITH (for himself and Mr. Rockefeller) submitted an
amendment intended to be proposed by him to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

At the appropriate place, insert the following:

SEC. 12___. CLASSIFICATION OF AUTOMATIC FIRE SPRINKLER
SYSTEMS.

(a) Findings.--The Congress finds that--
(1) the publication of the original study and comprehensive
list of recommendations in America Burning, written in 1974,
requesting advances in fire prevention through the
installation of automatic sprinkler systems in existing
buildings have yet to be fully implemented;
(2) fire departments responded to approximately 1,600,000
fires in 2005;
(3) there were 3,675 non-terrorist related deaths in the
United States and almost 17,925 civilian injuries resulting
from fire in 2005;
(4) 87 firefighters were killed in 2005;
(5) fire caused $10,672,000,000 in direct property damage
in 2005, and sprinklers are responsible for a 70 percent
reduction in property damage from fires in public assembly,
educational, residential, commercial, industrial and
manufacturing buildings;
(6) fire departments respond to a fire every 20 seconds, a
fire breaks out in a structure every 61 seconds and in a
residential structure every 79 seconds in the United States;
(7) the Station Nightclub in West Warwick, Rhode Island,
did not contain an automated sprinkler system and burned
down, killing 99 people on February 20, 2003;
(8) due to an automated sprinkler system, not a single
person was injured from a fire beginning in the Fine Line
Music Cafe in Minneapolis after the use of pyrotechnics on
February 17, 2003;
(9) the National Fire Protection Association has no record
of a fire killing more than 2 people in a completely
sprinklered public assembly, educational, institutional or
residential building where the system was properly installed
and fully operational;
(10) sprinkler systems dramatically improve the chances of
survival of those who cannot save themselves, specifically
older adults, young children and people with disabilities;
(11) the financial cost of upgrading fire counter measures
in buildings built prior to fire safety codes is prohibitive
for most property owners;
(12) many State and local governments lack any requirements
for older structures to contain automatic sprinkler systems;
(13) under the present straight-line method of
depreciation, there is a disincentive for building safety
improvements due to an extremely low rate of return on
investment; and
(14) the Nation is in need of incentives for the voluntary
installation and retrofitting of buildings with automated
sprinkler systems to save the lives of countless individuals
and responding firefighters as well as drastically reduce the
costs from property damage.
(b) In General.--Subparagraph (B) of section 168(e)(3)
(relating to 5-year property), as amended by this Act, is
amended by striking ``and'' at the end of clause (vi), by
striking the period at the end of clause (vii) and inserting
``, and'', and by inserting after clause (vii) the following:
``(viii) any automatic fire sprinkler system placed in
service after the date of the enactment of this clause in a
building structure which was placed in service before such
date of enactment.''.
(c) Alternative System.--The table contained in section
168(g)(3)(B) (relating to special rule for certain property
assigned to classes), as amended by this Act, is amended by
inserting after the item relating to subparagraph (B)(vii)
the following:

``(B)(vii).........................................................7''.

(d) Definition of Automatic Fire Sprinkler System.--
Subsection (i) of section 168 is amended by adding at the end
the following:
``(18) Automated fire sprinkler system.--The term
`automated fire sprinkler system' means those sprinkler
systems classified under one or more of the following
publications of the National Fire Protection Association--
``(A) NFPA 13, Installation of Sprinkler Systems,
``(B) NFPA 13 D, Installation of Sprinkler Systems in One
and Two Family Dwellings and Manufactured Homes, and
``(C) NFPA 13 R, Installation of Sprinkler Systems in
Residential Occupancies up to and Including Four Stories in
Height.''.
(e) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act.
______

SA 3606. Mr. COBURN submitted an amendment intended to be proposed to

[[Page S14310]]

amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 994, strike lines 7 through 17 and insert the
following:

SEC. 7312. NATIONAL ARBORETUM.

The Act of March 4, 1927 (20 U.S.C. 191 et seq.), is
amended by adding at the end the following:

``SEC. 7. CONSTRUCTION OF A CHINESE GARDEN AT NATIONAL
ARBORETUM.

``(a) In General.--A Chinese Garden may be constructed at
the National Arboretum established under this Act with--
``(1) funds accepted under section 5; and
``(2) authorities provided to the Secretary of Agriculture
under section 6.
``(b) Report.--Each year the Secretary of Agriculture shall
submit to Congress, and post on the public website of the
National Arboretum, an itemized budget that shall describe,
for the preceding year--
``(1) the total costs of the National Arboretum;
``(2) the costs of--
``(A) operation and maintenance;
``(B) horticulture and grounds;
``(C) visitor services; and
``(D) supplies and materials;
``(3) indirect costs of the Agricultural Research Service
relating to the National Arboretum; and
``(4) the total number of visitors to the National
Arboretum.
``(c) Limitation.--No Federal funds shall be used for the
construction of the Chinese Garden authorized under
subsection (a).''.
______

SA 3607. Mr. MENENDEZ submitted an amendment intended to be proposed
to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 1362, between lines 19 and 20, insert the
following:

SEC. 110__. STUDY OF IMPACTS OF LOCAL FOOD SYSTEMS AND
COMMERCE.

(a) Study.--The Secretary shall conduct a study on the
impacts of local food systems and commerce that shall, at a
minimum--
(1) develop a working definition of local food systems and
commerce; and
(2) identify indicators, and include an assessment of--
(A) the market share of local food systems and commerce
throughout the United States and by region;
(B) the potential community, economic, health and
nutrition, environmental, food safety, and food security
impacts of advancing local food systems and commerce;
(C) the potential energy, transportation, water resource,
and climate change impacts of local food systems and
commerce;
(D) the structure of agricultural considerations and
impacts throughout the United States and by region;
(E) the interest of agricultural producers in diversifying
to access local markets and the barriers and opportunities
confronted by agricultural producers in the process of
diversification;
(F) the current availability and present and future need of
independent processing plants that cater to local food
commerce, including difficulty in meeting regulatory
requirements;
(G) the key gaps in food processing, distribution,
marketing, and economic development, including regional
differences in infrastructure gaps and other barriers;
(H) the role of public and private institutions and
institutional and governmental buying systems and procurement
policies in purchasing products through local food systems;
(I) the benefits and challenges for children and families
in the most vulnerable rural and urban sectors of the United
States; and
(J) the challenges that prevent local foods from comprising
a larger share of the per capita food consumption in the
United States, and existing and potential strategies,
policies, and programs to address those challenges.
(b) Collaboration.--
(1) In general.--The Secretary shall appoint a
collaborative study team to oversee and conduct the research
necessary to conduct the study described in subsection (a)
and the case studies described in subsection (c).
(2) Membership.--The study team shall include
representatives of--
(A) the Economic Research Service, Agricultural Marketing
Service, and other appropriate agencies of the Department of
Agriculture or other Federal agencies;
(B) the Environmental Protection Agency;
(C) institutions of higher education, including at least 1
institution of higher education representative from each of
the regions studied;
(D) small farmers;
(E) nongovernmental organizations with appropriate
expertise; and
(F) State and local governments.
(c) Case Studies.--
(1) In general.--The study team appointed by the Secretary
under subsection (b) shall carry out case studies in
representative production and marketing regions in the United
States to address the issues being studied under subsection
(a).
(2) Requirements.--In carrying out case studies, the study
team shall--
(A) identify opportunities for primary research; and
(B) to the maximum extent practicable, use existing
surveys, data, and research.
(3) Components.--Each case study shall--
(A) identify and, to the maximum extent practicable,
evaluate the success of relevant Federal, State, and local
policies that are intended to induce local food purchasing
and commerce;
(B) examine the agricultural structure in each region to
account for the impact of farm size and type of production on
local economies and barriers to accessing local markets;
(C) determine regional market trends and the share of the
market supplied by current agricultural producers in the
region; and
(D) assess the potential for local food system value chains
and supply networks and map the supply chain factors in each
region involved in agricultural production, processing, and
distribution of locally grown produce, meat, dairy, and other
products.
(d) Reports.--Not later than 2 years after the date of
enactment of this Act, and thereafter as the Secretary
considers appropriate, the Secretary shall submit to the
Committee on Agriculture of the House of Representatives and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a report that--
(1) describes the results of the study conducted under
subsection (a) and the case studies under subsection (c); and
(2) includes such recommendations for legislative action as
the Secretary considers appropriate.
______

SA 3608. Mr. MENENDEZ (for himself, Mr. Reed, Mr. Cardin, Mr.
Kennedy, Mr. Kerry, Mr. Dodd, Mr. Lieberman, Mr. Whitehouse, Mr.
Lautenberg, and Mr. Schumer) submitted an amendment intended to be
proposed to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

Beginning on page 774, strike line 10 and all that follows
through page 776, line 19, and insert the following:
(a) Rural Area.--
(1) Definition.--Section 343(a)(13) of the Consolidated
Farm and Rural Development Act (7 U.S.C. 1991(a)(13)) is
amended by striking subparagraph (A) and inserting the
following:
``(A) In general.--The terms `rural' and `rural area'
mean--
``(i) any area other than a city or town that has a
population of greater than 50,000 inhabitants, except that,
for all activities under programs in the rural development
mission area within the areas of the County of Honolulu,
Hawaii, and the Commonwealth of Puerto Rico, the Secretary
may designate any portion of the areas as a rural area or
eligible rural community that the Secretary determines is not
urban in character, other than any area included in the
Honolulu Census Designated Place or the San Juan Census
Designated Place; and
``(ii) any urbanized area contiguous and adjacent to such a
city or town.''.
(2) Report.--Not later than 60 days after the date of
enactment of this Act, the Secretary shall prepare and submit
to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate a report that--
(A) assesses the various definitions of the term ``rural''
that are used with respect to programs administered by the
Secretary;
(B) describes the effects that the variations in those
definitions have on those programs; and
(C) makes recommendations for ways to better target funds
provided through rural development programs.
______

SA 3609. Mr. CASEY (for himself and Mr. Cardin) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 272, between lines 2 and 3, insert the following:

SEC. 19__. ENTERPRISE AND WHOLE FARM UNITS.

Section 508(e) of Federal Crop Insurance Act (7 U.S.C.
1508(e)) is amended by adding at the end the following:
``(6) Enterprise and whole farm units.--
``(A) In general.--The Corporation may carry out a pilot
program under which the Corporation pays a portion of the
premiums for plans or policies of insurance for which the
insurable unit is defined on a whole farm

[[Page S14311]]

or enterprise unit basis that is higher than would otherwise
be paid in accordance with paragraph (2) for policyholders
that convert from a plan or policy of insurance for which the
insurable unit is defined on optional or basic unit basis.
``(B) Eligibility.--To be eligible to participate in a
pilot program established under this paragraph, a
policyholder shall--
``(i) have purchased additional coverage for the 2005 crop
on an optional or basic unit basis for at least 90 percent of
the acreage to be covered by enterprise or whole farm unit
policy for the current crop; and
``(ii) purchase the enterprise or whole farm unit policy at
not less than the highest coverage level that was purchased
for the acreage for the 2005 crop.
``(C) Amount.--
``(i) In general.--The amount of the premium per acre paid
by the Corporation to a policyholder for a policy with an
enterprise and whole farm unit under this paragraph shall be,
the maximum extent practicable, equal to the average dollar
amount of subsidy per acre paid by the Corporation under
paragraph (2) for a basic or optional unit.
``(ii) Limitation.--The amount of the premium paid by the
Corporation under this paragraph may not exceed the total
premium for the enterprise or whole farm unit policy.
``(D) Conversion of pilot to a permanent program.--Not
earlier than 180 days after the date of enactment of this
paragraph, the Corporation may convert the pilot program
described in this paragraph to a permanent program if the
Corporation has--
``(i) carried out the pilot program;
``(ii) analyzed the results of the pilot program; and
``(iii) submitted to Congress a report describing the
results of the analysis.''.
______

SA 3610. Mr. CASEY submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

Strike section 2371 and insert the following:

SEC. 2371. FARM AND RANCHLAND PROTECTION PROGRAM.

Subchapter B of chapter 2 of subtitle D of title XII of the
Food Security Act of 1985 (16 U.S.C. 3838h et seq.) is
amended to read as follows:

``Subchapter B--Farm and Ranchland Protection Program

``SEC. 1238H. DEFINITIONS.

``In this subchapter:
``(1) Eligible entity.--The term `eligible entity' means
any of the following:
``(A) An agency of a State or local government or an Indian
tribe (including a farmland protection board or land resource
council established under State law).
``(B) An organization that is organized for, and at all
times since the formation of the organization has been
operated principally for, 1 or more of the conservation
purposes specified in clause (i), (ii), (iii), or (iv) of
section 170(h)(4)(A) of the Internal Revenue Code of 1986.
``(C) An organization described in section 501(c)(3) of the
Internal Revenue Code of 1986 that is exempt from taxation
under section 501(a) of that Code.
``(D) An organization described in section 509(a)(2) of the
Internal Revenue Code of 1986.
``(E) An organization described in section 509(a)(3) of the
Internal Revenue Code of 1986 that is controlled by an
organization described in section 509(a)(2), of that Code.
``(2) Eligible land.--The term `eligible land' means land
on a farm or ranch that--
``(A) is cropland;
``(B) is rangeland;
``(C) is grassland;
``(D) is pasture land;
``(E) is forest land that is an incidental part of an
agricultural operation, as determined by the Secretary; or
``(F) contains historical or archaeological resources.
``(3) Indian tribe.--The term `Indian tribe' has the
meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b).
``(4) Program.--The term `program' means the farm and
ranchland protection program established under section
1238I(a).
``(5) Secretary.--The term `Secretary' means the Secretary
of Agriculture.

``SEC. 1238I. FARM AND RANCHLAND PROTECTION PROGRAM.

``(a) Establishment.--
``(1) Establishment and purpose.--The Secretary shall
establish and carry out a farm and ranchland protection
program under which the Secretary shall facilitate and
provide funding for the purchase of conservation easements or
other interests in eligible land that is subject to a pending
offer from a certified State or eligible entity for the
purpose of protecting the agricultural use and related
conservation values of the land by limiting incompatible
nonagricultural uses of the land.
``(2) Priority.--In carrying out the program, the Secretary
shall give the highest priority--
``(A) to protecting farm and ranchland with prime, unique
or other productive soils that are at risk of non-
agricultural development; or
``(B) to projects that further a State or local policy
consistent with the purposes of the program.
``(b) Grants to Certified States.--The Secretary shall make
grants to States certified by the Secretary under subsection
(c). Such grants shall be made based on demonstrated need for
farm and ranch land protection. Grants may be made for
multiple transactions so long as all funds provided under the
program are used to purchase conservation easements or other
interests in land in a timely and effective manner. A State
receiving a grant under this subsection may use up to 10
percent of the grant funds for reasonable costs of purchasing
and enforcing conservation easements.
``(c) Certification of States for Grants.--
``(1) Certification process.--The Secretary shall implement
a process, to be published in the Federal Register, for
certifying States as eligible to participate in the program.
The Secretary may provide a reasonable transitional period,
not to extend past September 30, 2008, in order to allow
continued operation of the program for such time as needed
for the Secretary to implement the certification process.
``(2) Certification requirements.--To be certified under
the process implemented under paragraph (1), a State shall
demonstrate, at a minimum, the following:
``(A) A legislative or organizational purpose consistent
with the purposes of the program.
``(B) The necessary authority and the resources and
technical ability to monitor and enforce the terms of
conservation easements or other interests in land or to
require the holder of such easements or other interests in
land acquired with the use of funding under the program to
monitor and enforce the terms of such easements or other
interests in land.
``(C) The capacity to provide the necessary matching funds
from non-Federal sources for projects undertaken under the
program and to use program funds in a timely and effective
manner.
``(D) Policies and procedures to ensure that, on average,
the purchase price of conservation easements or other
interests in land purchased with program funds do not exceed
the fair market value of the easements or other interests in
land.
``(E) Policies and procedures that ensure that conservation
easements or other interests in land purchased with program
funds will continue to protect the agricultural use and
related conservation values of the land.
``(F) Provision for continued stewardship of the
conservation easements or other interest in land purchased
with program funds in the event the State loses its
certification under the program.
``(G) A determination of its own criteria and priorities
for purchasing conservation easements and other interests in
land under the program.
``(d) Agreements With Eligible Entities.--
``(1) Agreements authorized.--The Secretary may enter into
an agreement with an eligible entity, under which the entity
may purchase conservation easements using a combination of
its own funds and funds distributed by the Secretary under
the program.
``(2) Terms and conditions.--An agreement under this
subsection shall stipulate the terms and conditions under
which the eligible entity shall use funds provided by the
Secretary under the program. The eligible entity shall be
authorized to use its own terms and conditions for
conservation easements and other purchases of interests in
land, so long as--
``(A) such terms and conditions are consistent with the
purposes of the program and permit effective enforcement of
the conservation purposes of such easements or other
interests;
``(B) the eligible entity has in place a requirement
consistent with agricultural activities regarding the
impervious surfaces to be allowed for any conservation
easement or other interest in land purchased using grant
funds provided under the program; and
``(C) the eligible entity requires use of a conservation
plan for any highly erodible cropland for which a
conservation easement or other interest in land has been
purchased using grant funds provided under the program.
``(e) Federal Contingent Right of Enforcement.--The
Secretary may require the inclusion of a Federal contingent
right of enforcement or executory limitation in a
conservation easement or other interest in land for
conservation purposes purchased with Federal funds provided
under the program, in order to preserve the easement as a
party of last resort. The inclusion of such a right or
interest shall not be considered to be the Federal
acquisition of real property and the Federal standards and
procedures for land acquisition shall not apply to the
inclusion of the right or interest
``(f) Review; Revocation.--
``(1) Review.--Every 3 years, the Secretary shall review
the certification of States under subsection (c) and the
performance of eligible entities in meeting the terms and
conditions of an agreement under subsection (d).
``(2) Revocation.--If, in the determination of the
Secretary, a State no longer meets the qualifications
described in subsection (c)(2) or an eligible entity is not
meeting the terms and conditions of an agreement under
subsection (d), the Secretary may--

[[Page S14312]]

``(A) revoke the certification of the State or terminate
the agreement with the eligible entity; or
``(B) allow the State or eligible entity a specified period
of time in which to take such actions as may be necessary to
retain its certification or to meet the terms and conditions
of the agreement, as the case may be.
``(g) Conservation Plan.--Any highly erodible cropland for
which a conservation easement or other interest is purchased
under this subchapter shall be subject to the requirements of
a conservation plan. In the case of an easement or other
interest in land that is perpetual in duration, the Secretary
may not require the conversion of the cropland to less
intensive uses if, under such plan, soil erosion can be
reduced to `T' or below.
``(h) Cost Sharing.--The share of the cost provided under
this section for purchasing a conservation easement or other
interest in land shall not exceed 50 percent of the appraised
fair market value of the conservation easement or other
interest in eligible land. Fair market value shall be
determined on the basis of an appraisal of the conservation
easement or other interest in eligible land using an
industry-approved methodology determined by the entity.''.
______

SA 3611. Mr. FEINGOLD submitted an amendment intended to be proposed
to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 182, between lines 16 and 17, insert the following:

SEC. 1610. ADDITIONAL MANDATORY DAIRY REPORTING.

Subsection (b) of section 273 of the Agricultural Marketing
Act of 1946 (7 U.S.C. 1637b) (as redesignated by section
1609(2)) is amended--
(1) in paragraph (3)--
(A) by striking ``shall take such actions'' and inserting
``shall--
``(A) take such actions'';
(B) in subparagraph (A) (as designated by subparagraph
(A)), by striking the period at the end and inserting ``;
and''; and
(C) by adding at the end the following:
``(B) include regular audits and comparisons with other
related dairy market statistics collected by other Federal
agencies or private entities on at least a monthly basis.'';
and
(2) in paragraph (4)(A)--
(A) by striking ``subtitle to willfully fail'' and
inserting ``subtitle--
``(i) to willfully fail'';
(B) in clause (i) (as designated by subparagraph (A)), by
striking the period at the end and inserting ``, including
provision or reporting of erroneous prices (including prices
for sales covered by fixed price contracts with terms of more
than 30 days); and''; and
(C) by adding at the end the following:
``(ii) to manipulate spot market prices or other markets to
provide a false price signal to the market and influence
prices reported under this subtitle.''.
On page 1243, between lines 13 and 14, insert the
following:

SEC. 10309. COORDINATION OF DAIRY OVERSIGHT.

(a) In General.--The Secretary shall select an official
within the Department of Agriculture to coordinate the
sharing of information on oversight of the dairy industry to
ensure fair competition.
(b) Duties.--The official selected under subsection (a)
shall--
(1) serve as a liaison among the Agricultural Marketing
Service, Farm Service Agency, and National Agricultural
Statistics Service;
(2) coordinate with the Commodity Futures Trading
Commission, the Department of Justice, and the Federal Trade
Commission, as appropriate;
(3) maintain informal communication among the Federal
agencies specified in paragraphs (1) and (2) and other
Federal agencies, as necessary;
(4) hold at least 1 formal annual meeting during each
calendar year; and
(5) submit to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate, and make available to the public,
an annual report that describes issues of concern in the
dairy industry, including--
(A) concentration among cooperatives or processors;
(B) the farm-retail price spread (including flat pricing);
(C) an examination of the competition implications of
cooperative and processor joint ventures; and
(D) statistics on volumes of dairy products traded on dairy
markets and reported through mandatory price reporting
relative to the overall market.
______

SA 3612. Mr. BOND submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 973, strike lines 21 through 24 and inset the
following:
(a) Funding.--
(1) Mandatory funding.--
(A) In general.--Section 401(b) of the Agricultural
Research, Extension, and Education Reform Act of 1998 (7
U.S.C. 7621(b)) is amended by striking paragraph (1) and
inserting the following:
``(1) In general.--Not later than 30 days after the date of
enactment of the Food and Energy Security Act of 2007, on
October 1, 2008, and each October 1 thereafter through
October 1, 2011, out of any funds in the Treasury not
otherwise appropriated, the Secretary of the Treasury shall
transfer to the Account the amount that the Secretary
estimates will be made available for the applicable fiscal
year as a result of the enactment of section 7201(a)(1)(B) of
that Act.''.
(B) Offset.--Notwithstanding title I or any amendment made
by title I, a person or legal entity shall not be eligible
for, and the Secretary shall not make to any person or legal
entity, any individual payment under subtitles A through E of
title I or an amendment made by those titles in an amount
that is less than $25.
(2) Discretionary funding.--Section 401(b) of the
Agricultural Research, Extension, and Education Reform Act of
1998 (7 U.S.C. 7621(b)) is amended by striking paragraph (3)
and inserting the following:
______

SA 3613. Mr. STEVENS submitted an amendment intended to be proposed
to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 883, line 2, strike the closing quotation marks and
the semicolon.
On page 883, between lines 2 and 3, insert the following:
``(6) Online safety requirement for schools.--An elementary
or secondary school may not receive assistance under
paragraph (1)(E) for computers with Internet access unless
the school, school board, local educational agency, or other
authority with responsibility for administration of the
school certifies to the Administrator that the school has an
Internet safety policy that includes educating minors about
age-appropriate online behavior, including interaction with
other individuals on social net-working websites and in chat
rooms, and cyber-bullying awareness and response.''.
At the appropriate place, insert the following:

TITLE     --PROTECTING CHILDREN IN THE 21ST CENTURY

SEC. --001. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This title may be cited as the
``Protecting Children in the 21st Century Act''.
(b) Table of Contents.--The table of contents for this
title is as follows:

Sec. --001. Short title; table of contents.

TITLE I--PROMOTING A SAFE INTERNET FOR CHILDREN

Sec. --101. Internet safety.
Sec. --102. Public awareness campaign.
Sec. --103. Annual reports.
Sec. --104. Authorization of appropriations.
Sec. --105. Online safety and technology working group.
Sec. --106. Promoting online safety in schools.
Sec. --107. Definitions.

TITLE II--ENHANCING CHILD PORNOGRAPHY ENFORCEMENT

Sec. --201. Child pornography prevention; forfeitures related to child
pornography violations.
Sec. --202. Additional child pornography amendments.

TITLE I--PROMOTING A SAFE INTERNET FOR CHILDREN

SEC. 101. INTERNET SAFETY.

For the purposes of this subtitle, the issue of Internet
safety includes issues regarding the use of the Internet in a
manner that promotes safe online activity for children,
protects children from cybercrimes, including crimes by
online predators, and helps parents shield their children
from material that is inappropriate for minors.

SEC. 102. PUBLIC AWARENESS CAMPAIGN.

The Federal Trade Commission shall carry out a nationwide
program to increase public awareness and provide education
regarding strategies to promote the safe use of the Internet
by children. The program shall utilize existing resources and
efforts of the Federal Government, State and local
governments, nonprofit organizations, private technology and
financial companies, Internet service providers, World Wide
Web-based resources, and other appropriate entities, that
includes--
(1) identifying, promoting, and encouraging best practices
for Internet safety;
(2) establishing and carrying out a national outreach and
education campaign regarding Internet safety utilizing
various media and Internet-based resources;
(3) facilitating access to, and the exchange of,
information regarding Internet safety to promote up-to-date
knowledge regarding current issues; and

[[Page S14313]]

(4) facilitating access to Internet safety education and
public awareness efforts the Commission considers appropriate
by States, units of local government, schools, police
departments, nonprofit organizations, and other appropriate
entities.

SEC. 103. ANNUAL REPORTS.

The Commission shall submit a report to the Senate
Committee on Commerce, Science, and Transportation not later
than March 31 of each year that describes the activities
carried out under section --102 by the Commission during the
preceding calendar year.

SEC. 104. AUTHORIZATION OF APPROPRIATIONS.

For carrying out the public awareness campaign under
section --102, there are authorized to be appropriated to the
Commission $5,000,000 for each of fiscal years 2008 and 2009.

SEC. 105. ONLINE SAFETY AND TECHNOLOGY WORKING GROUP.

(a) Establishment.--Within 90 days after the date of
enactment of this Act, the Assistant Secretary of Commerce
for Communications and Information shall establish an Online
Safety and Technology working group comprised of
representatives of relevant sectors of the business
community, public interest groups, and other appropriate
groups and Federal agencies to review and evaluate--
(1) the status of industry efforts to promote online safety
through educational efforts, parental control technology,
blocking and filtering software, age-appropriate labels for
content or other technologies or initiatives designed to
promote a safe online environment for children;
(2) the status of industry efforts to promote online safety
among providers of electronic communications services and
remote computing services by reporting apparent child
pornography under section 227 of the Victims of Child Abuse
Act of 1990 (42 U.S.C. 13032), including amendments made by
this subtitle with respect to the content of such reports and
any obstacles to such reporting;
(3) the practices of electronic communications service
providers and remote computing service providers related to
record retention in connection with crimes against children;
and
(4) the development of technologies to help parents shield
their children from inappropriate material on the Internet.
(b) Report.--Within 1 year after the working group is first
convened, it shall submit a report to the Assistant Secretary
and the Senate Committee on Commerce, Science, and
Transportation that--
(1) describes in detail its findings, including any
information related to the effectiveness of such strategies
and technologies and any information about the prevalence
within industry of educational campaigns, parental control
technologies, blocking and filtering software, labeling, or
other technologies to assist parents; and
(2) includes recommendations as to what types of incentives
could be used or developed to increase the effectiveness and
implementation of such strategies and technologies.
(c) FACA Not To Apply to Working Group.--The Federal
Advisory Committee Act (5 U.S.C. App.) shall not apply to the
working group.

SEC. 106. PROMOTING ONLINE SAFETY IN SCHOOLS.

Section 254(h)(5)(B) of the Communications Act of 1934 (47
U.S.C. 254(h)(5)(b)) is amended--
(1) by striking ``and'' after the semicolon in clause (i);
(2) by striking ``minors.'' in clause (ii) and inserting
``minors; and''; and
(3) by adding at the end the following:
``(iii) as part of its Internet safety policy is educating
minors about appropriate online behavior, including
interacting with other individuals on social networking
websites and in chat rooms and cyberbullying awareness and
response.''.

SEC. 107. DEFINITIONS.

In this subtitle:
(1) Commission.--The term ``Commission'' means the Federal
Trade Commission.
(2) Internet.--The term ``Internet'' means collectively the
myriad of computer and telecommunications facilities,
including equipment and operating software, which comprise
the interconnected world-wide network of networks that employ
the Transmission Control Protocol/Internet Protocol, or any
predecessor successor protocols to such protocol, to
communicate information of all kinds by wire or radio.

TITLE II--ENHANCING CHILD PORNOGRAPHY ENFORCEMENT

SEC. 201. CHILD PORNOGRAPHY PREVENTION; FORFEITURES RELATED
TO CHILD PORNOGRAPHY VIOLATIONS.

(a) In General.--Section 503(b)(1) of the Communications
Act of 1934 (47 U.S.C. 503(b)(1)) is amended--
(1) by striking ``or'' after the semicolon in subparagraph
(C);
(2) by striking ``or 1464'' in subparagraph (D) and
inserting ``1464, or 2252'';
(3) by inserting ``or'' after the semicolon in subparagraph
(D); and
(4) by inserting after subparagraph (D) the following:
``(E) violated any provision of section 227 of the Victims
of Child Abuse Act of 1990 (42 U.S.C. 13032);''.

SEC. 202. ADDITIONAL CHILD PORNOGRAPHY AMENDMENTS.

(a) Increase in Fine for Failure To Report.--Section
227(b)(4) of the Crime Control Act of 1990 (42 U.S.C.
13032(b)(4)) is amended--
(1) by striking ``$50,000;'' in subparagraph (A) and
inserting ``$150,000;''; and
(2) by striking ``$100,000.'' in subparagraph (B) and
inserting ``$300,000.''.
(b) International Information Sharing.--Section 227 of the
Victims of Child Abuse Act of 1990 (42 U.S.C. 13032) is
amended--
(1) by striking ``a law enforcement agency or'' in
subsection (b)(1) and inserting ``appropriate Federal, State,
or foreign law enforcement agencies'';
(2) by inserting ``Federal, State, or foreign'' after
``designate the'' in subsection (b)(2);
(3) by striking ``law.'' in subsection (b)(3) and inserting
``law, or appropriate officials of foreign law enforcement
agencies designated by the Attorney General for the purpose
of enforcing State or Federal laws of the United States.'';
(4) by redesignating paragraphs (3) and (4) of subsection
(b) as paragraphs (4) and (5), respectively, and inserting
after paragraph (2) the following:
``(3) Contents of report.--To the extent this information
is reasonably available to an electronic communication
service provider or a remote computing service provider, each
report under paragraph (1) shall include--
``(A) information relating to the Internet identity of any
individual who appears to have violated any section of title
18, United States Code, referenced in paragraph (1),
including any relevant user ID or other online identifier,
electronic mail addresses, website address, uniform resource
locator, or other identifying information;
``(B) information relating to when any apparent child
pornography was uploaded, transmitted, reported to, or
discovered by the electronic communication service provider
or a remote computing service provider, as the case may be,
including a date and time stamp and time zone.
``(C) information relating to geographic location of the
involved individual or reported content, including the
hosting website, uniform resource locator, street address,
zip code, area code, telephone number, or Internet Protocol
address;
``(D) any image of any apparent child pornography relating
to the incident, and any images commingled with images of
apparent child pornography, such report is regarding; and
``(E) accurate contact information for the electronic
communication service provider or remote computing service
provider making the report, including the address, telephone
number, facsimile number, electronic mail address of, and
individual point of contact for such electronic communication
service provider or remote computing service provider.'';
(5) by inserting ``section 404 of the Missing Children's
Assistance Act (42 U.S.C. 5773),'' after ``section,'' in
subsection (g)(1); and
(6) by adding at the end thereof the following:
``(h) Use of Information To Combat Child Pornography.--The
National Center for Missing and Exploited Children is
authorized to provide elements relating to any image1 or
other relevant information reported to its Cyber Tip Line to
an electronic communication service provider or a remote
computing service provider for the sole and exclusive purpose
of permitting that electronic communication service provider
or remote computing service provider to stop the further
transmission of images and develop anti-child pornography
technologies and related industry best practices. Any
electronic communication service provider or remote computing
service provider that receives information from the National
Center for Missing and Exploited Children under this
subsection may use such information only for the purposes
described in this subsection.''.
______

SA 3614. Mr. DOMENICI (for himself and Mr. Thune) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

At the end of title IX, add the following:

Subtitle B--Biofuels for Energy Security and Transportation

SEC. 9101. SHORT TITLE.

This subtitle may be cited as the ``Biofuels for Energy
Security and Transportation Act of 2007''.

SEC. 9102. DEFINITIONS.

In this subtitle:
(1) Advanced biofuel.--
(A) In general.--The term ``advanced biofuel'' means fuel
derived from renewable biomass other than corn starch.
(B) Inclusions.--The term ``advanced biofuel'' includes--
(i) ethanol derived from cellulose, hemicellulose, or
lignin;
(ii) ethanol derived from sugar or starch, other than
ethanol derived from corn starch;
(iii) ethanol derived from waste material, including crop
residue, other vegetative waste material, animal waste, and
food waste and yard waste;
(iv) diesel-equivalent fuel derived from renewable biomass,
including vegetable oil and animal fat;

[[Page S14314]]

(v) biogas (including landfill gas and sewage waste
treatment gas) produced through the conversion of organic
matter from renewable biomass;
(vi) butanol or other alcohols produced through the
conversion of organic matter from renewable biomass; and
(vii) other fuel derived from cellulosic biomass.
(2) Cellulosic biomass ethanol.--The term ``cellulosic
biomass ethanol'' means ethanol derived from any cellulose,
hemicellulose, or lignin that is derived from renewable
biomass.
(3) Conventional biofuel.--The term ``conventional
biofuel'' means ethanol derived from corn starch.
(4) Renewable biomass.--The term ``renewable biomass''
means--
(A) nonmerchantable materials or precommercial thinnings
that--
(i) are byproducts of preventive treatments, such as trees,
wood, brush, thinnings, chips, and slash, that are removed--

(I) to reduce hazardous fuels;
(II) to reduce or contain disease or insect infestation; or
(III) to restore forest health;

(ii) would not otherwise be used for higher-value products;
and
(iii) are harvested from National Forest System land or
public land (as defined in section 103 of the Federal Land
Policy and Management Act of 1976 (43 U.S.C. 1702))--

(I) where permitted by law; and
(II) in accordance with--

(aa) applicable land management plans; and
(bb) the requirements for old-growth maintenance,
restoration, and management direction of paragraphs (2), (3),
and (4) of subsection (e) and the requirements for large-tree
retention of subsection (f) of section 102 of the Healthy
Forests Restoration Act of 2003 (16 U.S.C. 6512); or
(B) any organic matter that is available on a renewable or
recurring basis from non-Federal land or from land belonging
to an Indian tribe, or an Indian individual, that is held in
trust by the United States or subject to a restriction
against alienation imposed by the United States, including--
(i) renewable plant material, including--

(I) feed grains;
(II) other agricultural commodities;
(III) other plants and trees; and
(IV) algae; and

(ii) waste material, including--

(I) crop residue;
(II) other vegetative waste material (including wood waste
and wood residues);
(III) animal waste and byproducts (including fats, oils,
greases, and manure); and
(IV) food waste and yard waste.

(5) Renewable fuel.--
(A) In general.--The term ``renewable fuel'' means motor
vehicle fuel or home heating fuel that is--
(i) produced from renewable biomass; and
(ii) used to replace or reduce the quantity of fossil fuel
present in a fuel or fuel mixture used to operate a motor
vehicle or furnace.
(B) Inclusion.--The term ``renewable fuel'' includes--
(i) conventional biofuel; and
(ii) advanced biofuel.
(6) Secretary.--The term ``Secretary'' means the Secretary
of Energy
(7) Small refinery.--The term ``small refinery'' means a
refinery for which the average aggregate daily crude oil
throughput for a calendar year (as determined by dividing the
aggregate throughput for the calendar year by the number of
days in the calendar year) does not exceed 75,000 barrels.

PART I--RENEWABLE FUEL STANDARD

SEC. 9111. RENEWABLE FUEL STANDARD.

(a) Renewable Fuel Program.--
(1) Regulations.--
(A) In general.--Not later than 1 year after the date of
enactment of this Act, the President shall promulgate
regulations to ensure that motor vehicle fuel and home
heating oil sold or introduced into commerce in the United
States (except in noncontiguous States or territories), on an
annual average basis, contains the applicable volume of
renewable fuel determined in accordance with paragraph (2).
(B) Provisions of regulations.--Regardless of the date of
promulgation, the regulations promulgated under subparagraph
(A)--
(i) shall contain compliance provisions applicable to
refineries, blenders, distributors, and importers, as
appropriate, to ensure that--

(I) the requirements of this subsection are met; and
(II) renewable fuels produced from facilities that commence
operations after the date of enactment of this Act achieve at
least a 20 percent reduction in life cycle greenhouse gas
emissions compared to gasoline; but

(ii) shall not--

(I) restrict geographic areas in the contiguous United
States in which renewable fuel may be used; or
(II) impose any per-gallon obligation for the use of
renewable fuel.

(C) Relationship to other regulations.--Regulations
promulgated under this paragraph shall, to the maximum extent
practicable, incorporate the program structure, compliance,
and reporting requirements established under the final
regulations promulgated to implement the renewable fuel
program established by the amendment made by section
1501(a)(2) of the Energy Policy Act of 2005 (Public Law 109-
58; 119 Stat. 1067).
(2) Applicable volume.--
(A) Calendar years 2008 through 2022.--
(i) Renewable fuel.--For the purpose of paragraph (1),
subject to clause (ii), the applicable volume for any of
calendar years 2008 through 2022 shall be determined in
accordance with the following table:

Applicable volume of renewable fuel
Calendar year:                               (in billions of gallons):
2008.........................................................8.5 ....

2009........................................................10.5 ....

2010........................................................12.0 ....

2011........................................................12.6 ....

2012........................................................13.2 ....

2013........................................................13.8 ....

2014........................................................14.4 ....

2015........................................................15.0 ....

2016........................................................18.0 ....

2017........................................................21.0 ....

2018........................................................24.0 ....

2019........................................................27.0 ....

2020........................................................30.0 ....

2021........................................................33.0 ....

2022........................................................36.0.....

(ii) Advanced biofuels.--For the purpose of paragraph (1),
of the volume of renewable fuel required under clause (i),
the applicable volume for any of calendar years 2016 through
2022 for advanced biofuels shall be determined in accordance
with the following table:

Applicable volume of advanced biofuels
Calendar year:                               (in billions of gallons):
2016.........................................................3.0 ....

2017.........................................................6.0 ....

2018.........................................................9.0 ....

2019........................................................12.0 ....

2020........................................................15.0 ....

2021........................................................18.0 ....

2022........................................................21.0.....

(B) Calendar year 2023 and thereafter.--Subject to
subparagraph (C), for the purposes of paragraph (1), the
applicable volume for calendar year 2023 and each calendar
year thereafter shall be determined by the President, in
coordination with the Secretary of Energy, the Secretary of
Agriculture, and the Administrator of the Environmental
Protection Agency, based on a review of the implementation of
the program during calendar years 2007 through 2022,
including a review of--
(i) the impact of renewable fuels on the energy security of
the United States;
(ii) the expected annual rate of future production of
renewable fuels, including advanced biofuels;
(iii) the impact of renewable fuels on the infrastructure
of the United States, including deliverability of materials,
goods, and products other than renewable fuel, and the
sufficiency of infrastructure to deliver renewable fuel; and
(iv) the impact of the use of renewable fuels on other
factors, including job creation, the price and supply of
agricultural commodities, rural economic development, and the
environment.
(C) Minimum applicable volume.--Subject to subparagraph
(D), for the purpose of paragraph (1), the applicable volume
for calendar year 2023 and each calendar year thereafter
shall be equal to the product obtained by multiplying--
(i) the number of gallons of gasoline that the President
estimates will be sold or introduced into commerce in the
calendar year; and
(ii) the ratio that--

(I) 36,000,000,000 gallons of renewable fuel; bears to
(II) the number of gallons of gasoline sold or introduced
into commerce in calendar year 2022.

(D) Minimum percentage of advanced biofuel.--For the
purpose of paragraph (1) and subparagraph (C), at least 60
percent of the minimum applicable volume for calendar year
2023 and each calendar year thereafter shall be advanced
biofuel.
(b) Applicable Percentages.--
(1) Provision of estimate of volumes of gasoline sales.--
Not later than October 31 of each of calendar years 2008
through 2021, the Administrator of the Energy Information
Administration shall provide to the President an estimate,
with respect to the following calendar year, of the volumes
of gasoline projected to be sold or introduced into commerce
in the United States.
(2) Determination of applicable percentages.--
(A) In general.--Not later than November 30 of each of
calendar years 2008 through 2022, based on the estimate
provided under paragraph (1), the President shall determine
and publish in the Federal Register, with respect to the
following calendar year, the renewable fuel obligation that
ensures that the requirements of subsection (a) are met.
(B) Required elements.--The renewable fuel obligation
determined for a calendar year under subparagraph (A) shall--
(i) be applicable to refineries, blenders, and importers,
as appropriate;
(ii) be expressed in terms of a volume percentage of
gasoline sold or introduced into commerce in the United
States; and
(iii) subject to paragraph (3)(A), consist of a single
applicable percentage that applies to all categories of
persons specified in clause (i).
(3) Adjustments.--In determining the applicable percentage
for a calendar year, the President shall make adjustments--
(A) to prevent the imposition of redundant obligations on
any person specified in paragraph (2)(B)(i); and

[[Page S14315]]

(B) to account for the use of renewable fuel during the
previous calendar year by small refineries that are exempt
under subsection (g).
(c) Volume Conversion Factors for Renewable Fuels Based on
Energy Content or Requirements.--
(1) In general.--For the purpose of subsection (a), the
President shall assign values to specific types of advanced
biofuels for the purpose of satisfying the fuel volume
requirements of subsection (a)(2) in accordance with this
subsection.
(2) Energy content relative to ethanol.--For advanced
biofuel, 1 gallon of the advanced biofuel shall be considered
to be the equivalent of 1 gallon of renewable fuel multiplied
by the ratio that--
(A) the number of British thermal units of energy produced
by the combustion of 1 gallon of the advanced biofuel (as
measured under conditions determined by the Secretary); bears
to
(B) the number of British thermal units of energy produced
by the combustion of 1 gallon of pure ethanol (as measured
under conditions determined by the Secretary to be comparable
to conditions described in subparagraph (A)).
(3) Transitional energy-related conversion factors for
cellulosic biomass ethanol.--For any of calendar years 2008
through 2015, 1 gallon of cellulosic biomass ethanol shall be
considered to be the equivalent of 2.5 gallons of renewable
fuel.
(d) Credit Program.--
(1) In general.--The President, in consultation with the
Secretary and the Administrator of the Environmental
Protection Agency, shall implement a credit program to manage
the renewable fuel requirement of this section in a manner
consistent with the credit program established by the
amendment made by section 1501(a)(2) of the Energy Policy Act
of 2005 (Public Law 109-58; 119 Stat. 1067).
(2) Market transparency.--In carrying out the credit
program under this subsection, the President shall facilitate
price transparency in markets for the sale and trade of
credits, with due regard for the public interest, the
integrity of those markets, fair competition, and the
protection of consumers and agricultural producers.
(e) Seasonal Variations in Renewable Fuel Use.--
(1) Study.--For each of calendar years 2008 through 2022,
the Administrator of the Energy Information Administration
shall conduct a study of renewable fuel blending to determine
whether there are excessive seasonal variations in the use of
renewable fuel.
(2) Regulation of excessive seasonal variations.--If, for
any calendar year, the Administrator of the Energy
Information Administration, based on the study under
paragraph (1), makes the determinations specified in
paragraph (3), the President shall promulgate regulations to
ensure that 25 percent or more of the quantity of renewable
fuel necessary to meet the requirements of subsection (a) is
used during each of the 2 periods specified in paragraph (4)
of each subsequent calendar year.
(3) Determinations.--The determinations referred to in
paragraph (2) are that--
(A) less than 25 percent of the quantity of renewable fuel
necessary to meet the requirements of subsection (a) has been
used during 1 of the 2 periods specified in paragraph (4) of
the calendar year;
(B) a pattern of excessive seasonal variation described in
subparagraph (A) will continue in subsequent calendar years;
and
(C) promulgating regulations or other requirements to
impose a 25 percent or more seasonal use of renewable fuels
will not significantly--
(i) increase the price of motor fuels to the consumer; or
(ii) prevent or interfere with the attainment of national
ambient air quality standards.
(4) Periods.--The 2 periods referred to in this subsection
are--
(A) April through September; and
(B) January through March and October through December.
(f) Waivers.--
(1) In general.--The President, in consultation with the
Secretary of Energy, the Secretary of Agriculture, and the
Administrator of the Environmental Protection Agency, may
waive the requirements of subsection (a) in whole or in part
on petition by one or more States by reducing the national
quantity of renewable fuel required under subsection (a),
based on a determination by the President (after public
notice and opportunity for comment), that--
(A) implementation of the requirement would severely harm
the economy or environment of a State, a region, or the
United States; or
(B) extreme and unusual circumstances exist that prevent
distribution of an adequate supply of domestically-produced
renewable fuel to consumers in the United States.
(2) Petitions for waivers.--The President, in consultation
with the Secretary of Energy, the Secretary of Agriculture,
and the Administrator of the Environmental Protection Agency,
shall approve or disapprove a State petition for a waiver of
the requirements of subsection (a) within 30 days after the
date on which the petition is received by the President.
(3) Termination of waivers.--A waiver granted under
paragraph (1) shall terminate after 1 year, but may be
renewed by the President after consultation with the
Secretary of Energy, the Secretary of Agriculture, and the
Administrator of the Environmental Protection Agency.
(g) Small Refineries.--
(1) Temporary exemption.--
(A) In general.--The requirements of subsection (a) shall
not apply to--
(i) small refineries (other than a small refinery described
in clause (ii)) until calendar year 2013; and
(ii) small refineries owned by a small business refiner (as
defined in section 45H(c) of the Internal Revenue Code of
1986) until calendar year 2015.
(B) Extension of exemption.--
(i) Study by secretary.--Not later than December 31, 2008,
the Secretary shall submit to the President and Congress a
report describing the results of a study to determine whether
compliance with the requirements of subsection (a) would
impose a disproportionate economic hardship on small
refineries.
(ii) Extension of exemption.--In the case of a small
refinery that the Secretary determines under clause (i) would
be subject to a disproportionate economic hardship if
required to comply with subsection (a), the President shall
extend the exemption under subparagraph (A) for the small
refinery for a period of not less than 2 additional years.
(2) Petitions based on disproportionate economic
hardship.--
(A) Extension of exemption.--A small refinery may at any
time petition the President for an extension of the exemption
under paragraph (1) for the reason of disproportionate
economic hardship.
(B) Evaluation of petitions.--In evaluating a petition
under subparagraph (A), the President, in consultation with
the Secretary, shall consider the findings of the study under
paragraph (1)(B) and other economic factors.
(C) Deadline for action on petitions.--The President shall
act on any petition submitted by a small refinery for a
hardship exemption not later than 90 days after the date of
receipt of the petition.
(3) Opt-in for small refineries.--A small refinery shall be
subject to the requirements of subsection (a) if the small
refinery notifies the President that the small refinery
waives the exemption under paragraph (1).
(h) Penalties and Enforcement.--
(1) Civil penalties.--
(A) In general.--Any person that violates a regulation
promulgated under subsection (a), or that fails to furnish
any information required under such a regulation, shall be
liable to the United States for a civil penalty of not more
than the total of--
(i) $25,000 for each day of the violation; and
(ii) the amount of economic benefit or savings received by
the person resulting from the violation, as determined by the
President.
(B) Collection.--Civil penalties under subparagraph (A)
shall be assessed by, and collected in a civil action brought
by, the Secretary or such other officer of the United States
as is designated by the President.
(2) Injunctive authority.--
(A) In general.--The district courts of the United States
shall have jurisdiction to--
(i) restrain a violation of a regulation promulgated under
subsection (a);
(ii) award other appropriate relief; and
(iii) compel the furnishing of information required under
the regulation.
(B) Actions.--An action to restrain such violations and
compel such actions shall be brought by and in the name of
the United States.
(C) Subpoenas.--In the action, a subpoena for a witness who
is required to attend a district court in any district may
apply in any other district.
(i) Voluntary Labeling Program.--
(1) In general.--The President shall establish criteria for
a system of voluntary labeling of renewable fuels based on
life cycle greenhouse gas emissions.
(2) Consumer education.--The President shall ensure that
the labeling system under this subsection provides useful
information to consumers making fuel purchases.
(3) Flexibility.--In carrying out this subsection, the
President may establish more than 1 label, as appropriate.
(j) Study of Impact of Renewable Fuel Standard.--
(1) In general.--The Secretary shall enter into an
arrangement with the National Academy of Sciences under which
the Academy shall conduct a study to assess the impact of the
requirements described in subsection (a)(2) on each industry
relating to the production of feed grains, livestock, food,
and energy.
(2) Participation.--In conducting the study under paragraph
(1), the National Academy of Sciences shall seek the
participation, and consider the input, of--
(A) producers of feed grains;
(B) producers of livestock, poultry, and pork products;
(C) producers of food and food products;
(D) producers of energy;
(E) individuals and entities interested in issues relating
to conservation, the environment, and nutrition; and
(F) users of renewable fuels.
(3) Considerations.--In conducting the study, the National
Academy of Sciences shall consider--
(A) the likely impact on domestic animal agriculture
feedstocks that, in any crop year, are significantly below
current projections; and
(B) policy options to alleviate the impact on domestic
animal agriculture feedstocks

[[Page S14316]]

that are significantly below current projections.
(4) Components.--The study shall include--
(A) a description of the conditions under which the
requirements described in subsection (a)(2) should be
suspended or reduced to prevent adverse impacts to domestic
animal agriculture feedstocks described in paragraph (3)(B);
and
(B) recommendations for the means by which the Federal
Government could prevent or minimize adverse economic
hardships and impacts.
(5) Deadline for completion of study.--Not later than 270
days after the date of enactment of this Act, the Secretary
shall submit to Congress a report that describes the results
of the study.
(6) Periodic reviews.--
(A) In general.--To allow for the appropriate adjustment of
the requirements described in subsection (a)(2), the
Secretary shall conduct periodic reviews of--
(i) existing technologies;
(ii) the feasibility of achieving compliance with the
requirements; and
(iii) the impacts of the requirements described in
subsection (a)(2) on each individual and entity described in
paragraph (2).
(k) Effective Date.--Except as otherwise specifically
provided in this section, this section takes effect on the
date on which the National Academies of Science completes the
study under subsection (j).

SEC. 9112. PRODUCTION OF RENEWABLE FUEL USING RENEWABLE
ENERGY.

(a) Definitions.--In this section:
(1) Facility.--The term ``facility'' means a facility used
for the production of renewable fuel.
(2) Renewable energy.--
(A) In general.--The term ``renewable energy'' has the
meaning given the term in section 203(b) of the Energy Policy
Act of 2005 (42 U.S.C. 15852(b)).
(B) Inclusion.--The term ``renewable energy'' includes
biogas produced through the conversion of organic matter from
renewable biomass.
(b) Additional Credit.--
(1) In general.--The President shall provide a credit under
the program established under section 9111(d) to the owner of
a facility that uses renewable energy to displace more than
90 percent of the fossil fuel normally used in the production
of renewable fuel.
(2) Credit amount.--The President may provide the credit in
a quantity that is not more than the equivalent of 1.5
gallons of renewable fuel for each gallon of renewable fuel
produced in a facility described in paragraph (1).

SEC. 9113. SENSE OF CONGRESS RELATING TO THE USE OF RENEWABLE
RESOURCES TO GENERATE ENERGY.

(a) Findings.--Congress finds that--
(1) the United States has a quantity of renewable energy
resources that is sufficient to supply a significant portion
of the energy needs of the United States;
(2) the agricultural, forestry, and working land of the
United States can help ensure a sustainable domestic energy
system;
(3) accelerated development and use of renewable energy
technologies provide numerous benefits to the United States,
including improved national security, improved balance of
payments, healthier rural economies, improved environmental
quality, and abundant, reliable, and affordable energy for
all citizens of the United States;
(4) the production of transportation fuels from renewable
energy would help the United States meet rapidly growing
domestic and global energy demands, reduce the dependence of
the United States on energy imported from volatile regions of
the world that are politically unstable, stabilize the cost
and availability of energy, and safeguard the economy and
security of the United States;
(5) increased energy production from domestic renewable
resources would attract substantial new investments in energy
infrastructure, create economic growth, develop new jobs for
the citizens of the United States, and increase the income
for farm, ranch, and forestry jobs in the rural regions of
the United States;
(6) increased use of renewable energy is practical and can
be cost effective with the implementation of supportive
policies and proper incentives to stimulate markets and
infrastructure; and
(7) public policies aimed at enhancing renewable energy
production and accelerating technological improvements will
further reduce energy costs over time and increase market
demand.
(b) Sense of Congress.--It is the sense of Congress that it
is the goal of the United States that, not later than January
1, 2025, the agricultural, forestry, and working land of the
United States should--
(1) provide from renewable resources not less than 25
percent of the total energy consumed in the United States;
and
(2) continue to produce safe, abundant, and affordable
food, feed, and fiber.

PART II--RENEWABLE FUELS INFRASTRUCTURE

SEC. 9121. INFRASTRUCTURE PILOT PROGRAM FOR RENEWABLE FUELS.

(a) In General.--The Secretary, in consultation with the
Secretary of Transportation and the Administrator of the
Environmental Protection Agency, shall establish a
competitive grant pilot program (referred to in this section
as the ``pilot program''), to be administered through the
Vehicle Technology Deployment Program of the Department of
Energy, to provide not more than 10 geographically-dispersed
project grants to State governments, Indian tribal
governments, local governments, metropolitan transportation
authorities, or partnerships of those entities to carry out 1
or more projects for the purposes described in subsection
(b).
(b) Grant Purposes.--A grant under this section shall be
used for the establishment of refueling infrastructure
corridors, as designated by the Secretary, for gasoline
blends that contain not less than 11 percent, and not more
than 85 percent, renewable fuel or diesel fuel that contains
at least 10 percent renewable fuel, including--
(1) installation of infrastructure and equipment necessary
to ensure adequate distribution of renewable fuels within the
corridor;
(2) installation of infrastructure and equipment necessary
to directly support vehicles powered by renewable fuels; and
(3) operation and maintenance of infrastructure and
equipment installed as part of a project funded by the grant.
(c) Applications.--
(1) Requirements.--
(A) In general.--Subject to subparagraph (B), not later
than 90 days after the date of enactment of this Act, the
Secretary shall issue requirements for use in applying for
grants under the pilot program.
(B) Minimum requirements.--At a minimum, the Secretary
shall require that an application for a grant under this
section--
(i) be submitted by--

(I) the head of a State, tribal, or local government or a
metropolitan transportation authority, or any combination of
those entities; and
(II) a registered participant in the Vehicle Technology
Deployment Program of the Department of Energy; and

(ii) include--

(I) a description of the project proposed in the
application, including the ways in which the project meets
the requirements of this section;
(II) an estimate of the degree of use of the project,
including the estimated size of fleet of vehicles operated
with renewable fuel available within the geographic region of
the corridor, measured as a total quantity and a percentage;
(III) an estimate of the potential petroleum displaced as a
result of the project (measured as a total quantity and a
percentage), and a plan to collect and disseminate petroleum
displacement and other relevant data relating to the project
to be funded under the grant, over the expected life of the
project;
(IV) a description of the means by which the project will
be sustainable without Federal assistance after the
completion of the term of the grant;
(V) a complete description of the costs of the project,
including acquisition, construction, operation, and
maintenance costs over the expected life of the project; and
(VI) a description of which costs of the project will be
supported by Federal assistance under this subsection.

(2) Partners.--An applicant under paragraph (1) may carry
out a project under the pilot program in partnership with
public and private entities.
(d) Selection Criteria.--In evaluating applications under
the pilot program, the Secretary shall--
(1) consider the experience of each applicant with
previous, similar projects; and
(2) give priority consideration to applications that--
(A) are most likely to maximize displacement of petroleum
consumption, measured as a total quantity and a percentage;
(B) are best able to incorporate existing infrastructure
while maximizing, to the extent practicable, the use of
advanced biofuels;
(C) demonstrate the greatest commitment on the part of the
applicant to ensure funding for the proposed project and the
greatest likelihood that the project will be maintained or
expanded after Federal assistance under this subsection is
completed;
(D) represent a partnership of public and private entities;
and
(E) exceed the minimum requirements of subsection
(c)(1)(B).
(e) Pilot Project Requirements.--
(1) Maximum amount.--The Secretary shall provide not more
than $20,000,000 in Federal assistance under the pilot
program to any applicant.
(2) Cost sharing.--The non-Federal share of the cost of any
activity relating to renewable fuel infrastructure
development carried out using funds from a grant under this
section shall be not less than 20 percent.
(3) Maximum period of grants.--The Secretary shall not
provide funds to any applicant under the pilot program for
more than 2 years.
(4) Deployment and distribution.--The Secretary shall seek,
to the maximum extent practicable, to ensure a broad
geographic distribution of project sites funded by grants
under this section.
(5) Transfer of information and knowledge.--The Secretary
shall establish mechanisms to ensure that the information and
knowledge gained by participants in the pilot program are
transferred among the pilot program participants and to other
interested parties, including other applicants that submitted
applications.
(f) Schedule.--
(1) Initial grants.--
(A) In general.--Not later than 90 days after the date of
enactment of this Act, the

[[Page S14317]]

Secretary shall publish in the Federal Register, Commerce
Business Daily, and such other publications as the Secretary
considers to be appropriate, a notice and request for
applications to carry out projects under the pilot program.
(B) Deadline.--An application described in subparagraph (A)
shall be submitted to the Secretary by not later than 180
days after the date of publication of the notice under that
subparagraph.
(C) Initial selection.--Not later than 90 days after the
date by which applications for grants are due under
subparagraph (B), the Secretary shall select by competitive,
peer-reviewed proposal up to 5 applications for projects to
be awarded a grant under the pilot program.
(2) Additional grants.--
(A) In general.--Not later than 2 years after the date of
enactment of this Act, the Secretary shall publish in the
Federal Register, Commerce Business Daily, and such other
publications as the Secretary considers to be appropriate, a
notice and request for additional applications to carry out
projects under the pilot program that incorporate the
information and knowledge obtained through the implementation
of the first round of projects authorized under the pilot
program.
(B) Deadline.--An application described in subparagraph (A)
shall be submitted to the Secretary by not later than 180
days after the date of publication of the notice under that
subparagraph.
(C) Initial selection.--Not later than 90 days after the
date by which applications for grants are due under
subparagraph (B), the Secretary shall select by competitive,
peer-reviewed proposal such additional applications for
projects to be awarded a grant under the pilot program as the
Secretary determines to be appropriate.
(g) Reports to Congress.--
(1) Initial report.--Not later than 60 days after the date
on which grants are awarded under this section, the Secretary
shall submit to Congress a report containing--
(A) an identification of the grant recipients and a
description of the projects to be funded under the pilot
program;
(B) an identification of other applicants that submitted
applications for the pilot program but to which funding was
not provided; and
(C) a description of the mechanisms used by the Secretary
to ensure that the information and knowledge gained by
participants in the pilot program are transferred among the
pilot program participants and to other interested parties,
including other applicants that submitted applications.
(2) Evaluation.--Not later than 2 years after the date of
enactment of this Act, and annually thereafter until the
termination of the pilot program, the Secretary shall submit
to Congress a report containing an evaluation of the
effectiveness of the pilot program, including an assessment
of the petroleum displacement and benefits to the environment
derived from the projects included in the pilot program.
(h) Authorization of Appropriations.--There is authorized
to be appropriated to the Secretary to carry out this section
$200,000,000, to remain available until expended.

SEC. 9122. BIOENERGY RESEARCH AND DEVELOPMENT.

Section 931(c) of the Energy Policy Act of 2005 (42 U.S.C.
16231(c)) is amended--
(1) in paragraph (2), by striking ``$251,000,000'' and
inserting ``$377,000,000''; and
(2) in paragraph (3), by striking ``$274,000,000'' and
inserting ``$398,000,000''.

SEC. 9123. BIORESEARCH CENTERS FOR SYSTEMS BIOLOGY PROGRAM.

Section 977(a)(1) of the Energy Policy Act of 2005 (42
U.S.C. 16317(a)(1)) is amended by inserting before the period
at the end the following: ``, including the establishment of
at least 11 bioresearch centers of varying sizes, as
appropriate, that focus on biofuels, of which at least 2
centers shall be located in each of the 4 Petroleum
Administration for Defense Districts with no subdistricts and
1 center shall be located in each of the subdistricts of the
Petroleum Administration for Defense District with
subdistricts''.

SEC. 9124. GRANTS FOR RENEWABLE FUEL PRODUCTION RESEARCH AND
DEVELOPMENT IN CERTAIN STATES.

(a) In General.--The Secretary shall provide grants to
eligible entities to conduct research into, and develop and
implement, renewable fuel production technologies in States
with low rates of ethanol production, including low rates of
production of cellulosic biomass ethanol, as determined by
the Secretary.
(b) Eligibility.--To be eligible to receive a grant under
the section, an entity shall--
(1)(A) be an institution of higher education (as defined in
section 2 of the Energy Policy Act of 2005 (42 U.S.C. 15801))
located in a State described in subsection (a);
(B) be an institution--
(i) referred to in section 532 of the Equity in Educational
Land-Grant Status Act of 1994 (Public Law 103-382; 7 U.S.C.
301 note);
(ii) that is eligible for a grant under the Tribally
Controlled College or University Assistance Act of 1978 (25
U.S.C. 1801 et seq.), including Dine College; or
(iii) that is eligible for a grant under the Navajo
Community College Act (25 U.S.C. 640a et seq.); or
(C) be a consortium of such institutions of higher
education, industry, State agencies, Indian tribal agencies,
or local government agencies located in the State; and
(2) have proven experience and capabilities with relevant
technologies.
(c) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $25,000,000 for
each of fiscal years 2008 through 2010.

SEC. 9125. GRANTS FOR INFRASTRUCTURE FOR TRANSPORTATION OF
BIOMASS TO LOCAL BIOREFINERIES.

(a) In General.--The Secretary shall conduct a program
under which the Secretary shall provide grants to Indian
tribal and local governments and other eligible entities (as
determined by the Secretary) (referred to in this section as
``eligible entities'') to promote the development of
infrastructure to support the separation, production,
processing, and transportation of biomass to local
biorefineries, including by portable processing equipment.
(b) Phases.--The Secretary shall conduct the program in the
following phases:
(1) Development.--In the first phase of the program, the
Secretary shall make grants to eligible entities to assist
the eligible entities in the development of local projects to
promote the development of infrastructure to support the
separation, production, processing, and transportation of
biomass to local biorefineries, including by portable
processing equipment.
(2) Implementation.--In the second phase of the program,
the Secretary shall make competitive grants to eligible
entities to implement projects developed under paragraph (1).
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.

SEC. 9126. BIOREFINERY INFORMATION CENTER.

(a) In General.--The Secretary, in cooperation with the
Secretary of Agriculture, shall establish a biorefinery
information center to make available to interested parties
information on--
(1) renewable fuel resources, including information on
programs and incentives for renewable fuels;
(2) renewable fuel producers;
(3) renewable fuel users; and
(4) potential renewable fuel users.
(b) Administration.--In administering the biorefinery
information center, the Secretary shall--
(1) continually update information provided by the center;
(2) make information available to interested parties on the
process for establishing a biorefinery; and
(3) make information and assistance provided by the center
available through a toll-free telephone number and website.
(c) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section.

SEC. 9127. ALTERNATIVE FUEL DATABASE AND MATERIALS.

The Secretary and the Director of the National Institute of
Standards and Technology shall jointly establish and make
available to the public--
(1) a database that describes the physical properties of
different types of alternative fuel; and
(2) standard reference materials for different types of
alternative fuel.

SEC. 9128. FUEL TANK CAP LABELING REQUIREMENT.

Section 406(a) of the Energy Policy Act of 1992 (42 U.S.C.
13232(a)) is amended--
(1) by striking ``The Federal Trade Commission'' and
inserting the following:
``(1) In general.--The Federal Trade Commission''; and
(2) by adding at the end the following:
``(2) Fuel tank cap labeling requirement.--Beginning with
model year 2010, the fuel tank cap of each alternative fueled
vehicle manufactured for sale in the United States shall be
clearly labeled to inform consumers that such vehicle can
operate on alternative fuel.''.

SEC. 9129. BIODIESEL.

(a) In General.--Not later than 180 days after the date of
enactment of this Act, the Secretary shall submit to Congress
a report on any research and development challenges inherent
in increasing to 5 percent the proportion of diesel fuel sold
in the United States that is biodiesel (as defined in section
757 of the Energy Policy Act of 2005 (42 U.S.C. 16105)).
(b) Regulations.--The President shall promulgate
regulations providing for the uniform labeling of biodiesel
blends that are certified to meet applicable standards
published by the American Society for Testing and Materials.
(c) National Biodiesel Fuel Quality Standard.--
(1) Quality regulations.--Not later than 180 days after the
date of enactment of this Act, the President shall promulgate
regulations to ensure that each diesel-equivalent fuel
derived from renewable biomass and introduced into interstate
commerce is tested and certified to comply with applicable
standards of the American Society for Testing and Materials.
(2) Enforcement.--The President shall ensure that all
biodiesel entering interstate commerce meets the requirements
of paragraph (1).
(3) Funding.--There are authorized to be appropriated to
the President to carry out this section:
(A) $3,000,000 for fiscal year 2008.
(B) $3,000,000 for fiscal year 2009.

[[Page S14318]]

(C) $3,000,000 for fiscal year 2010.

SEC. 9130. TRANSITIONAL ASSISTANCE FOR FARMERS WHO PLANT
DEDICATED ENERGY CROPS FOR A LOCAL CELLULOSIC
REFINERY.

(a) Definitions.--In this section:
(1) Cellulosic crop.--The term ``cellulosic crop'' means a
tree or grass that is grown specifically--
(A) to provide raw materials (including feedstocks) for
conversion to liquid transportation fuels or chemicals
through biochemical or thermochemical processes; or
(B) for energy generation through combustion, pyrolysis, or
cofiring.
(2) Cellulosic refiner.--The term ``cellulosic refiner''
means the owner or operator of a cellulosic refinery.
(3) Cellulosic refinery.--The term ``cellulosic refinery''
means a refinery that processes a cellulosic crop.
(4) Qualified cellulosic crop.--The term ``qualified
cellulosic crop'' means, with respect to an agricultural
producer, a cellulosic crop that is--
(A) the subject of a contract or memorandum of
understanding between the producer and a cellulosic refiner,
under which the producer is obligated to sell the crop to the
cellulosic refiner by a certain date; and
(B) produced not more than 70 miles from a cellulosic
refinery owned or operated by the cellulosic refiner.
(5) Secretary.--The term ``Secretary'' means the Secretary
of Agriculture.
(b) Transitional Assistance Payments.--The Secretary shall
make transitional assistance payments to an agricultural
producer during the first year in which the producer devotes
land to the production of a qualified cellulosic crop.
(c) Amount of Payment.--
(1) Determined by formula.--Subject to paragraph (2), the
Secretary shall devise a formula to be used to calculate the
amount of a payment to be made to an agricultural producer
under this section, based on the opportunity cost (as
determined in accordance with such standard as the Secretary
may establish, taking into consideration land rental rates
and other applicable costs) incurred by the producer during
the first year in which the producer devotes land to the
production of the qualified cellulosic crop.
(2) Limitation.--The total of the amount paid to a producer
under this section shall not exceed an amount equal to 25
percent of the amounts made available under subsection (e)
for the applicable fiscal year.
(d) Regulations.--The Secretary shall promulgate such
regulations as the Secretary determines to be necessary to
carry out this section.
(e) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $4,088,000 for
each of fiscal years 2008 through 2012, to remain available
until expended.

SEC. 9131. RESEARCH AND DEVELOPMENT IN SUPPORT OF LOW-CARBON
FUELS.

(a) Declaration of Policy.--Congress declares that, in
order to achieve maximum reductions in greenhouse gas
emissions, enhance national security, and ensure the
protection of wildlife habitat, biodiversity, water quality,
air quality, and rural and regional economies throughout the
lifecycle of each low-carbon fuel, it is necessary and
desirable to undertake a combination of basic and applied
research, as well as technology development and
demonstration, involving the colleges and universities of the
United States, in partnership with the Federal Government,
State governments, and the private sector.
(b) Purpose.--The purpose of this section is to provide for
research support to facilitate the development of sustainable
markets and technologies to produce and use woody biomass and
other low-carbon fuels for the production of thermal and
electric energy, biofuels, and bioproducts.
(c) Definition of Fuel Emission Baseline.--In this section,
the term ``fuel emission baseline'' means the average
lifecycle greenhouse gas emissions per unit of energy of the
fossil fuel component of conventional transportation fuels in
commerce in the United States in calendar year 2008, as
determined by the President.
(d) Grant Program.--The President shall establish a program
to provide to eligible entities (as identified by the
President) grants for use in--
(1) providing financial support for not more than 4 nor
less than 6 demonstration facilities that--
(A) use woody biomass to deploy advanced technologies for
production of thermal and electric energy, biofuels, and
bioproducts; and
(B) are targeted at regional feedstocks and markets;
(2) conducting targeted research for the development of
cellulosic ethanol and other liquid fuels from woody or other
biomass that may be used in transportation or stationary
applications, such as industrial processes or industrial,
commercial, and residential heating;
(3) conducting research into the best scientifically-based
and periodically-updated methods of assessing and certifying
the impacts of each low-carbon fuel with respect to--
(A) the reduction in lifecycle greenhouse gas emissions of
each fuel as compared to--
(i) the fuel emission baseline; and
(ii) the greenhouse gas emissions of other sectors, such as
the agricultural, industrial, and manufacturing sectors;
(B) the contribution of the fuel toward enhancing the
energy security of the United States by displacing imported
petroleum and petroleum products;
(C) any impacts of the fuel on wildlife habitat,
biodiversity, water quality, and air quality; and
(D) any effect of the fuel with respect to rural and
regional economies;
(4) conducting research to determine to what extent the use
of low-carbon fuels in the transportation sector would impact
greenhouse gas emissions in other sectors, such as the
agricultural, industrial, and manufacturing sectors;
(5) conducting research for the development of the supply
infrastructure that may provide renewable biomass feedstocks
in a consistent, predictable, and environmentally-sustainable
manner;
(6) conducting research for the development of supply
infrastructure that may provide renewable low-carbon fuels in
a consistent, predictable, and environmentally-sustainable
manner; and
(7) conducting policy research on the global movement of
low-carbon fuels in a consistent, predictable, and
environmentally-sustainable manner.
(e) Authorization of Appropriations.--Of the funding
authorized under section 9122, there are authorized to be
appropriated to carry out this section--
(1) $45,000,000 for fiscal year 2009;
(2) $50,000,000 for fiscal year 2010;
(3) $55,000,000 for fiscal year 2011;
(4) $60,000,000 for fiscal year 2012; and
(5) $65,000,000 for fiscal year 2013.

PART III--STUDIES

SEC. 9141. STUDY OF ADVANCED BIOFUELS TECHNOLOGIES.

(a) In General.--Not later than October 1, 2012, the
Secretary shall offer to enter into a contract with the
National Academy of Sciences under which the Academy shall
conduct a study of technologies relating to the production,
transportation, and distribution of advanced biofuels.
(b) Scope.--In conducting the study, the Academy shall--
(1) include an assessment of the maturity of advanced
biofuels technologies;
(2) consider whether the rate of development of those
technologies will be sufficient to meet the advanced biofuel
standards required under section 9111;
(3) consider the effectiveness of the research and
development programs and activities of the Department of
Energy relating to advanced biofuel technologies; and
(4) make policy recommendations to accelerate the
development of those technologies to commercial viability, as
appropriate.
(c) Report.--Not later than November 30, 2014, the
Secretary shall submit to the Committee on Energy and Natural
Resources of the Senate and the Committee on Energy and
Commerce of the House of Representatives a report describing
the results of the study conducted under this section.

SEC. 9142. STUDY OF INCREASED CONSUMPTION OF ETHANOL-BLENDED
GASOLINE WITH HIGHER LEVELS OF ETHANOL.

(a) In General.--The Secretary, in cooperation with the
Secretary of Agriculture, the Administrator of the
Environmental Protection Agency, and the Secretary of
Transportation, and after providing notice and an opportunity
for public comment, shall conduct a study of the feasibility
of increasing consumption in the United States of ethanol-
blended gasoline with levels of ethanol that are not less
than 10 percent and not more than 40 percent.
(b) Study.--The study under subsection (a) shall include--
(1) a review of production and infrastructure constraints
on increasing consumption of ethanol;
(2) an evaluation of the economic, market, and energy-
related impacts of State and regional differences in ethanol
blends;
(3) an evaluation of the economic, market, and energy-
related impacts on gasoline retailers and consumers of
separate and distinctly labeled fuel storage facilities and
dispensers;
(4) an evaluation of the environmental impacts of mid-level
ethanol blends on evaporative and exhaust emissions from on-
road, off-road, and marine engines, recreational boats,
vehicles, and equipment;
(5) an evaluation of the impacts of mid-level ethanol
blends on the operation, durability, and performance of on-
road, off-road, and marine engines, recreational boats,
vehicles, and equipment; and
(6) an evaluation of the safety impacts of mid-level
ethanol blends on consumers that own and operate off-road and
marine engines, recreational boats, vehicles, or equipment.
(c) Report.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall submit to Congress
a report describing the results of the study conducted under
this section.

SEC. 9143. PIPELINE FEASIBILITY STUDY.

(a) In General.--The Secretary, in coordination with the
Secretary of Agriculture and the Secretary of Transportation,
shall conduct a study of the feasibility of the construction
of dedicated ethanol pipelines.
(b) Factors.--In conducting the study, the Secretary shall
consider--
(1) the quantity of ethanol production that would make
dedicated pipelines economically viable;
(2) existing or potential barriers to dedicated ethanol
pipelines, including technical, siting, financing, and
regulatory barriers;

[[Page S14319]]

(3) market risk (including throughput risk) and means of
mitigating the risk;
(4) regulatory, financing, and siting options that would
mitigate risk in those areas and help ensure the construction
of 1 or more dedicated ethanol pipelines;
(5) financial incentives that may be necessary for the
construction of dedicated ethanol pipelines, including the
return on equity that sponsors of the initial dedicated
ethanol pipelines will require to invest in the pipelines;
(6) technical factors that may compromise the safe
transportation of ethanol in pipelines, identifying remedial
and preventative measures to ensure pipeline integrity; and
(7) such other factors as the Secretary considers
appropriate.
(c) Report.--Not later than 15 months after the date of
enactment of this Act, the Secretary shall submit to Congress
a report describing the results of the study conducted under
this section.

SEC. 9144. STUDY OF OPTIMIZATION OF FLEXIBLE FUELED VEHICLES
TO USE E-85 FUEL.

(a) In General.--The Secretary shall conduct a study of
methods of increasing the fuel efficiency of flexible fueled
vehicles by optimizing flexible fueled vehicles to operate
using E-85 fuel.
(b) Report.--Not later than 180 days after the date of
enactment of this Act, the Secretary shall submit to the
Committee on Energy and Natural Resources of the Senate and
the Committee on Natural Resources of the House of
Representatives a report that describes the results of the
study, including any recommendations of the Secretary.

SEC. 9145. STUDY OF CREDITS FOR USE OF RENEWABLE ELECTRICITY
IN ELECTRIC VEHICLES.

(a) Definition of Electric Vehicle.--In this section, the
term ``electric vehicle'' means an electric motor vehicle (as
defined in section 601 of the Energy Policy Act of 1992 (42
U.S.C. 13271)) for which the rechargeable storage battery--
(1) receives a charge directly from a source of electric
current that is external to the vehicle; and
(2) provides a minimum of 80 percent of the motive power of
the vehicle.
(b) Study.--The Secretary shall conduct a study on the
feasibility of issuing credits under the program established
under section 9111(d) to electric vehicles powered by
electricity produced from renewable energy sources.
(c) Report.--Not later than 18 months after the date of
enactment of this Act, the Secretary shall submit to the
Committee on Energy and Natural Resources of the Senate and
the Committee on Energy and Commerce of the House of
Representatives a report that describes the results of the
study, including a description of--
(1) existing programs and studies on the use of renewable
electricity as a means of powering electric vehicles; and
(2) alternatives for--
(A) designing a pilot program to determine the feasibility
of using renewable electricity to power electric vehicles as
an adjunct to a renewable fuels mandate;
(B) allowing the use, under the pilot program designed
under subparagraph (A), of electricity generated from nuclear
energy as an additional source of supply;
(C) identifying the source of electricity used to power
electric vehicles; and
(D) equating specific quantities of electricity to
quantities of renewable fuel under section 9111(d).

SEC. 9146. STUDY OF ENGINE DURABILITY ASSOCIATED WITH THE USE
OF BIODIESEL.

(a) In General.--Not later than 30 days after the date of
enactment of this Act, the Secretary shall initiate a study
on the effects of the use of biodiesel on engine durability.
(b) Components.--The study under this section shall
include--
(1) an assessment of whether the use of biodiesel in
conventional diesel engines lessens engine durability; and
(2) an assessment of the effects referred to in subsection
(a) with respect to biodiesel blends at varying
concentrations, including--
(A) B5;
(B) B10;
(C) B20; and
(D) B30.

SEC. 9147. STUDY OF INCENTIVES FOR RENEWABLE FUELS.

(a) Study.--The President shall conduct a study of the
renewable fuels industry and markets in the United States,
including--
(1) the costs to produce conventional and advanced
biofuels;
(2) the factors affecting the future market prices for
those biofuels, including world oil prices; and
(3) the financial incentives necessary to enhance, to the
maximum extent practicable, the biofuels industry of the
United States to reduce the dependence of the United States
on foreign oil during calendar years 2011 through 2030.
(b) Goals.--The study shall include an analysis of the
options for financial incentives and the advantage and
disadvantages of each option.
(c) Report.--Not later than 1 year after the date of
enactment of this Act, the President shall submit to Congress
a report that describes the results of the study.

SEC. 9148. STUDY OF STREAMLINED LIFECYCLE ANALYSIS TOOLS FOR
THE EVALUATION OF RENEWABLE CARBON CONTENT OF
BIOFUELS.

(a) In General.--The Secretary, in consultation with the
Secretary of Agriculture and the Administrator of the
Environmental Protection Agency, shall conduct a study of--
(1) published methods for evaluating the lifecycle fossil
and renewable carbon content of fuels, including conventional
and advanced biofuels; and
(2) methods for performing simplified, streamlined
lifecycle analyses of the fossil and renewable carbon content
of biofuels.
(b) Report.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall submit to the
Committee on Energy and Natural Resources of the Senate and
the Committee on Energy and Commerce of the House of
Representatives a report that describes the results of the
study under subsection (a), including recommendations for a
method for performing a simplified, streamlined lifecycle
analysis of the fossil and renewable carbon content of
biofuels that includes--
(1) carbon inputs to feedstock production; and
(2) carbon inputs to the biofuel production process,
including the carbon associated with electrical and thermal
energy inputs.

SEC. 9149. STUDY OF EFFECTS OF ETHANOL-BLENDED GASOLINE ON
OFF-ROAD VEHICLES.

(a) Study.--
(1) In general.--The Secretary, in consultation with the
Secretary of Transportation and the Administrator of the
Environmental Protection Agency, shall conduct a study to
determine the effects of ethanol-blended gasoline on off-road
vehicles and recreational boats.
(2) Evaluation.--The study shall include an evaluation of
the operational, safety, durability, and environmental
impacts of ethanol-blended gasoline on off-road and marine
engines, recreational boats, and related equipment.
(b) Report.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall submit to Congress
a report describing the results of the study.

SEC. 9150. STUDY OF OFFSHORE WIND RESOURCES.

(a) Definitions.--In this section:
(1) Eligible institution.--The term ``eligible
institution'' means a college or university that--
(A) as of the date of enactment of this Act, has an
offshore wind power research program; and
(B) is located in a region of the United States that is in
reasonable proximity to the eastern outer Continental Shelf,
as determined by the Secretary.
(2) Secretary.--The term ``Secretary'' means the Secretary
of the Interior, acting through the Director of the Minerals
Management Service.
(b) Study.--The Secretary, in cooperation with an eligible
institution, as selected by the Secretary, shall conduct a
study to assess each offshore wind resource located in the
region of the eastern outer Continental Shelf.
(c) Report.--Upon completion of the study under subsection
(b), the Secretary shall submit to Congress a report that
includes--
(1) a description of--
(A) the locations and total power generation resources of
the best offshore wind resources located in the region of the
eastern outer Continental Shelf, as determined by the
Secretary;
(B) based on conflicting zones relating to any
infrastructure that, as of the date of enactment of this Act,
is located in close proximity to any offshore wind resource,
the likely exclusion zones of each offshore wind resource
described in subparagraph (A);
(C) the relationship of the temporal variation of each
offshore wind resource described in subparagraph (A) with--
(i) any other offshore wind resource; and
(ii) with loads and corresponding system operator markets;
(D) the geological compatibility of each offshore wind
resource described in subparagraph (A) with any potential
technology relating to sea floor towers; and
(E) with respect to each area in which an offshore wind
resource described in subparagraph (A) is located, the
relationship of the authority under any coastal management
plan of the State in which the area is located with the
Federal Government; and
(2) recommendations on the manner by which to handle
offshore wind intermittence.
(d) Incorporation of Study.--Effective beginning on the
date on which the Secretary completes the study under
subsection (b), the Secretary shall incorporate the findings
included in the report under subsection (c) into the planning
process documents for any wind energy lease sale--
(1) relating to any offshore wind resource located in any
appropriate area of the outer Continental Shelf, as
determined by the Secretary; and
(2) that is completed on or after the date of enactment of
this Act.
(e) Effect.--Nothing in this section--
(1) delays any final regulation to be promulgated by the
Secretary of the Interior to carry out section 8(p) of the
Outer Continental Shelf Lands Act (43 U.S.C. 1337(p)); or
(2) limits the authority of the Secretary to lease any
offshore wind resource located in any appropriate area of the
outer Continental Shelf, as determined by the Secretary.
(f) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $5,000,000, to
remain available until expended.

[[Page S14320]]

PART IV--ENVIRONMENTAL SAFEGUARDS

SEC. 9161. GRANTS FOR PRODUCTION OF ADVANCED BIOFUELS.

(a) In General.--The Secretary shall establish a grant
program to encourage the production of advanced biofuels.
(b) Requirements and Priority.--In making grants under this
section, the Secretary--
(1) shall make awards to the proposals for advanced
biofuels with the greatest reduction in lifecycle greenhouse
gas emissions compared to the comparable motor vehicle fuel
lifecycle emissions during calendar year 2007; and
(2) shall not make an award to a project that does not
achieve at least a 50-percent reduction in such lifecycle
greenhouse gas emissions.
(c) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $500,000,000 for
the period of fiscal years 2008 through 2015.

SEC. 9162. STUDIES OF EFFECTS OF RENEWABLE FUEL USE.

Section 211 of the Clean Air Act (42 U.S.C. 7545) is
amended by adding at the end the following:
``(t) Studies of Effects of Renewable Fuel Use.--
``(1) In general.--Not later than 1 year after the date of
enactment of this subsection, the Administrator shall offer
to enter into appropriate arrangements with the National
Academy of Sciences and any other independent research
institute determined to be appropriate by the Administrator,
in consultation with appropriate Federal agencies, to conduct
2 studies on the effects of increased domestic use of
renewable fuels under the Renewable Fuels, Consumer
Protection, and Energy Efficiency Act of 2007.
``(2) Matters to be studied.--
``(A) In general.--The studies under this subsection shall
assess, quantify, and recommend analytical methodologies in
relation to environmental changes associated with the
increased domestic use of renewable fuels under the Renewable
Fuels, Consumer Protection, and Energy Efficiency Act of
2007, including production, handling, transportation, and use
of the fuels.
``(B) Specific matters.--The studies shall include an
assessment and quantification, to the maximum extent
practicable, of significant changes--
``(i) in air and water quality and the quality of other
natural resources;
``(ii) in land use patterns;
``(iii) in the rate of deforestation in the United States
and globally;
``(iv) to greenhouse gas emissions;
``(v) to significant geographic areas and habitats with
high biodiversity values (including species richness, the
presence of species that are exclusively native to a place,
or the presence of endangered species); or
``(vi) in the long-term capacity of the United States to
produce biomass feedstocks.
``(C) Baseline comparison.--In making an assessment or
quantifying effects of increased use of renewable fuels, the
studies shall use an appropriate baseline involving increased
use of the conventional transportation fuels, if displacement
by use of renewable fuels had not occurred.
``(3) Reports to congress.--The Administrator shall submit
to Congress a report summarizing the assessments and findings
of--
``(A) the first study, along with any recommendations by
the Administrator to mitigate adverse effects identified by
the study, not later than 3 years after the date of enactment
of this subsection; and
``(B) the second study, along with any recommendations by
the Administrator to mitigate adverse effects identified by
the study, not later December 31, 2015.''.

SEC. 9163. INTEGRATED CONSIDERATION OF WATER QUALITY IN
DETERMINATIONS ON FUELS AND FUEL ADDITIVES.

Section 211(c)(1) of the Clean Air Act (42 U.S.C.
7545(c)(1)) is amended--
(1) by striking ``nonroad vehicle (A) if in the judgment of
the Administrator'' and inserting ``nonroad vehicle--
``(A) if, in the judgment of the Administrator, any fuel or
fuel additive or'';
(2) in subparagraph (A), by striking ``air pollution
which'' and inserting ``air pollution or water pollution
(including any degradation in the quality of groundwater)
that''; and
(3) by striking ``, or (B) if'' and inserting the
following: ``; or
``(B) if''.

SEC. 9164. ANTI-BACKSLIDING.

Section 211 of the Clean Air Act (42 U.S.C. 7545) (as
amended by section 9162) is amended by adding at the end the
following:
``(u) Prevention of Air Quality Deterioration.--
``(1) Study.--
``(A) In general.--Not later than 18 months after the date
of enactment of the Renewable Fuels, Consumer Protection, and
Energy Efficiency Act of 2007, the Administrator shall
complete a study to determine whether the renewable fuel
volumes required by that Act will adversely impact air
quality as a result of changes in vehicle and engine
emissions of air pollutants regulated under this Act.
``(B) Considerations.--The study shall include
consideration of--
``(i) different blend levels, types of renewable fuels, and
available vehicle technologies; and
``(ii) appropriate national, regional, and local air
quality control measures.
``(2) Regulations.--Not later than 3 years after the date
of enactment of the Renewable Fuels, Consumer Protection, and
Energy Efficiency Act of 2007, the Administrator shall--
``(A) promulgate regulations to implement appropriate
measures to mitigate, to the greatest extent achievable,
considering the results of the study under paragraph (1), any
adverse impacts on air quality, as the result of the
renewable volumes required by that Act; or
``(B) make a determination that no such measures are
necessary.
``(3) Other requirements.--Nothing in the Renewable Fuels,
Consumer Protection, and Energy Efficiency Act of 2007
supercedes or otherwise affects any Federal or State
requirement under any other provision of law that is more
stringent than any requirement of this title.''.
______

SA 3615. Mr. GREGG (for himself and Mr. Kennedy) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

At the appropriate place in title XI, insert the following:

Subtitle __--Public Safety Officers

SEC. ___1. SHORT TITLE.

This subtitle may be cited as the ``Public Safety Employer-
Employee Cooperation Act of 2007''.

SEC. ___2. DECLARATION OF PURPOSE AND POLICY.

The Congress declares that the following is the policy of
the United States:
(1) Labor-management relationships and partnerships are
based on trust, mutual respect, open communication, bilateral
consensual problem solving, and shared accountability. Labor-
management cooperation fully utilizes the strengths of both
parties to best serve the interests of the public, operating
as a team, to carry out the public safety mission in a
quality work environment. In many public safety agencies it
is the union that provides the institutional stability as
elected leaders and appointees come and go.
(2) State and local public safety officers play an
essential role in the efforts of the United States to detect,
prevent, and respond to terrorist attacks, and to respond to
natural disasters, hazardous materials, and other mass
casualty incidents. State and local public safety officers,
as first responders, are a component of our Nation's National
Incident Management System, developed by the Department of
Homeland Security to coordinate response to and recovery from
terrorism, major natural disasters, and other major
emergencies. Public safety employer-employee cooperation is
essential in meeting these needs and is, therefore, in the
National interest.
(3) The Federal Government needs to encourage conciliation,
mediation, and voluntary arbitration to aid and encourage
employers and the representatives of their employees to reach
and maintain agreements concerning rates of pay, hours, and
working conditions, and to make all reasonable efforts
through negotiations to settle their differences by mutual
agreement reached through collective bargaining or by such
methods as may be provided for in any applicable agreement
for the settlement of disputes.
(4) The absence of adequate cooperation between public
safety employers and employees has implications for the
security of employees and can affect interstate and
intrastate commerce. The lack of such labor-management
cooperation can detrimentally impact the upgrading of police
and fire services of local communities, the health and well-
being of public safety officers, and the morale of the fire
and police departments. Additionally, these factors could
have significant commercial repercussions. Moreover,
providing minimal standards for collective bargaining
negotiations in the public safety sector can prevent
industrial strife between labor and management that
interferes with the normal flow of commerce.

SEC. ___3. DEFINITIONS.

In this subtitle:
(1) Authority.--The term ``Authority'' means the Federal
Labor Relations Authority.
(2) Emergency medical services personnel.--The term
``emergency medical services personnel'' means an individual
who provides out-of-hospital emergency medical care,
including an emergency medical technician, paramedic, or
first responder.
(3) Employer; public safety agency.--The terms ``employer''
and ``public safety agency'' mean any State, or political
subdivision of a State, that employs public safety officers.
(4) Firefighter.--The term ``firefighter'' has the meaning
given the term ``employee engaged in fire protection
activities'' in section 3(y) of the Fair Labor Standards Act
(29 U.S.C. 203(y)).
(5) Labor organization.--The term ``labor organization''
means an organization composed in whole or in part of
employees, in which employees participate, and which
represents such employees before public safety

[[Page S14321]]

agencies concerning grievances, conditions of employment, and
related matters.
(6) Law enforcement officer.--The term ``law enforcement
officer'' has the meaning given such term in section 1204 of
the Omnibus Crime Control and Safe Streets Act of 1968 (42
U.S.C. 3796b).
(7) Management employee.--The term ``management employee''
has the meaning given such term under applicable State law in
effect on the date of enactment of this subtitle. If no such
State law is in effect, the term means an individual employed
by a public safety employer in a position that requires or
authorizes the individual to formulate, determine, or
influence the policies of the employer.
(8) Person.--The term ``person'' means an individual or a
labor organization.
(9) Public safety officer.--The term ``public safety
officer''--
(A) means an employee of a public safety agency who is a
law enforcement officer, a firefighter, or an emergency
medical services personnel;
(B) includes an individual who is temporarily transferred
to a supervisory or management position; and
(C) does not include a permanent supervisory or management
employee.
(10) State.--The term ``State'' means each of the several
States of the United States, the District of Columbia, and
any territory or possession of the United States.
(11) Substantially provides.--The term ``substantially
provides'' means compliance with the essential requirements
of this subtitle, specifically, the right to form and join a
labor organization, the right to bargain over wages, hours,
and conditions of employment, the right to sign an
enforceable contract, and availability of some form of
mechanism to break an impasse, such as arbitration,
mediation, or fact-finding.
(12) Supervisory employee.--The term ``supervisory
employee'' has the meaning given such term under applicable
State law in effect on the date of enactment of this
subtitle. If no such State law is in effect, the term means
an individual, employed by a public safety employer, who--
(A) has the authority in the interest of the employer to
hire, direct, assign, promote, reward, transfer, furlough,
lay off, recall, suspend, discipline, or remove public safety
officers, to adjust their grievances, or to effectively
recommend such action, if the exercise of the authority is
not merely routine or clerical in nature but requires the
consistent exercise of independent judgment; and
(B) devotes a majority of time at work exercising such
authority.

SEC. ___4. DETERMINATION OF RIGHTS AND RESPONSIBILITIES.

(a) Determination.--
(1) In general.--Not later than 180 days after the date of
enactment of this subtitle, the Authority shall make a
determination as to whether a State substantially provides
for the rights and responsibilities described in subsection
(b). In making such determinations, the Authority shall
consider and give weight, to the maximum extent practicable,
to the opinion of affected parties.
(2) Subsequent determinations.--
(A) In general.--A determination made pursuant to paragraph
(1) shall remain in effect unless and until the Authority
issues a subsequent determination, in accordance with the
procedures set forth in subparagraph (B).
(B) Procedures for subsequent determinations.--Upon
establishing that a material change in State law or its
interpretation has occurred, an employer or a labor
organization may submit a written request for a subsequent
determination. If satisfied that a material change in State
law or its interpretation has occurred, the Authority shall
issue a subsequent determination not later than 30 days after
receipt of such request.
(3) Judicial review.--Any person or employer aggrieved by a
determination of the Authority under this section may, during
the 60-day period beginning on the date on which the
determination was made, petition any United States Court of
Appeals in the circuit in which the person or employer
resides or transacts business or in the District of Columbia
circuit, for judicial review. In any judicial review of a
determination by the Authority, the procedures contained in
subsections (c) and (d) of section 7123 of title 5, United
States Code, shall be followed.
(b) Rights and Responsibilities.--In making a determination
described in subsection (a), the Authority shall consider
whether State law provides rights and responsibilities
comparable to or greater than the following:
(1) Granting public safety officers the right to form and
join a labor organization, which may exclude management
employees and supervisory employees, that is, or seeks to be,
recognized as the exclusive bargaining representative of such
employees.
(2) Requiring public safety employers to recognize the
employees' labor organization (freely chosen by a majority of
the employees), to agree to bargain with the labor
organization, and to commit any agreements to writing in a
contract or memorandum of understanding.
(3) Permitting bargaining over hours, wages, and terms and
conditions of employment.
(4) Making available an interest impasse resolution
mechanism, such as fact-finding, mediation, arbitration, or
comparable procedures.
(5) Requiring enforcement through State courts of--
(A) all rights, responsibilities, and protections provided
by State law and enumerated in this section; and
(B) any written contract or memorandum of understanding.
(c) Failure To Meet Requirements.--
(1) In general.--If the Authority determines, acting
pursuant to its authority under subsection (a), that a State
does not substantially provide for the rights and
responsibilities described in subsection (b), such State
shall be subject to the regulations and procedures described
in section ___5.
(2) Effective date.--Paragraph (1) shall take effect on the
date that is 2 years after the date of enactment of this
subtitle.

SEC. ___5. ROLE OF FEDERAL LABOR RELATIONS AUTHORITY.

(a) In General.--Not later than 1 year after the date of
enactment of this subtitle, the Authority shall issue
regulations in accordance with the rights and
responsibilities described in section ___4(b) establishing
collective bargaining procedures for employers and public
safety officers in States which the Authority has determined,
acting pursuant to section ___4(a), do not substantially
provide for such rights and responsibilities.
(b) Role of the Federal Labor Relations Authority.--The
Authority, to the extent provided in this subtitle and in
accordance with regulations prescribed by the Authority,
shall--
(1) determine the appropriateness of units for labor
organization representation;
(2) supervise or conduct elections to determine whether a
labor organization has been selected as an exclusive
representative by a voting majority of the employees in an
appropriate unit;
(3) resolve issues relating to the duty to bargain in good
faith;
(4) conduct hearings and resolve complaints of unfair labor
practices;
(5) resolve exceptions to the awards of arbitrators;
(6) protect the right of each employee to form, join, or
assist any labor organization, or to refrain from any such
activity, freely and without fear of penalty or reprisal, and
protect each employee in the exercise of such right; and
(7) take such other actions as are necessary and
appropriate to effectively administer this subtitle,
including issuing subpoenas requiring the attendance and
testimony of witnesses and the production of documentary or
other evidence from any place in the United States, and
administering oaths, taking or ordering the taking of
depositions, ordering responses to written interrogatories,
and receiving and examining witnesses.
(c) Enforcement.--
(1) Authority to petition court.--The Authority may
petition any United States Court of Appeals with jurisdiction
over the parties, or the United States Court of Appeals for
the District of Columbia Circuit, to enforce any final orders
under this section, and for appropriate temporary relief or a
restraining order. Any petition under this section shall be
conducted in accordance with subsections (c) and (d) of
section 7123 of title 5, United States Code.
(2) Private right of action.--Unless the Authority has
filed a petition for enforcement as provided in paragraph
(1), any party has the right to file suit in a State court of
competent jurisdiction to enforce compliance with the
regulations issued by the Authority pursuant to subsection
(b), and to enforce compliance with any order issued by the
Authority pursuant to this section. The right provided by
this subsection to bring a suit to enforce compliance with
any order issued by the Authority pursuant to this section
shall terminate upon the filing of a petition seeking the
same relief by the Authority.

SEC. ___6. STRIKES AND LOCKOUTS PROHIBITED.

(a) Prohibition.--An employer, public safety officer, or
labor organization may not engage in a lockout, sickout, work
slowdown, strike, or any other action that will measurably
disrupt the delivery of emergency services and is designed to
compel an employer, public safety officer, or labor
organization to agree to the terms of a proposed contract.
(b) Mandatory Terms and Conditions.--It shall not be a
violation of subsection (a) for a public safety officer or
labor organization to refuse to carry out services that are
not required under the mandatory terms and conditions of
employment applicable to the public safety officer or labor
organization.

SEC. ___7. EXISTING COLLECTIVE BARGAINING UNITS AND
AGREEMENTS.

A certification, recognition, election-held, collective
bargaining agreement or memorandum of understanding which has
been issued, approved, or ratified by any public employee
relations board or commission or by any State or political
subdivision or its agents (management officials) and is in
effect on the day before the date of enactment of this
subtitle shall not be invalidated by the enactment of this
subtitle.

SEC. ___8. CONSTRUCTION AND COMPLIANCE.

(a) Construction.--Nothing in this subtitle shall be
construed--
(1) to preempt or limit the remedies, rights, and
procedures of any law of any State or political subdivision
of any State or jurisdiction that provides greater or
comparable rights and responsibilities than the rights and
responsibilities described in section ___4(b);
(2) to prevent a State from enforcing a right-to-work law
that prohibits employers

[[Page S14322]]

and labor organizations from negotiating provisions in a
labor agreement that require union membership or payment of
union fees as a condition of employment;
(3) to preempt or limit any State law in effect on the date
of enactment of this subtitle that provides for the rights
and responsibilities described in section ___4(b) solely
because such State law permits an employee to appear on the
employee's own behalf with respect to the employee's
employment relations with the public safety agency involved;
(4) to preempt or limit any State law in effect on the date
of enactment of this subtitle that provides for the rights
and responsibilities described in section ___4(b) solely
because such State law excludes from its coverage employees
of a State militia or national guard;
(5) to permit parties in States subject to the regulations
and procedures described in section ___5 to negotiate
provisions that would prohibit an employee from engaging in
part-time employment or volunteer activities during off-duty
hours;
(6) to prohibit a State from exempting from coverage under
this subtitle a political subdivision of the State that has a
population of less than 5,000 or that employs less than 25
full-time employees; or
(7) to preempt or limit the laws or ordinances of any State
or political subdivision of a State that provide for the
rights and responsibilities described in section ___4(b)
solely because such law does not require bargaining with
respect to pension, retirement, or health benefits.

For purposes of paragraph (6), the term ``employee'' includes
each and every individual employed by the political
subdivision except any individual elected by popular vote or
appointed to serve on a board or commission.
(b) Compliance.--
(1) Actions of states.--Nothing in this subtitle or the
regulations promulgated under this subtitle shall be
construed to require a State to rescind or preempt the laws
or ordinances of any of its political subdivisions if such
laws provide rights and responsibilities for public safety
officers that are comparable to or greater than the rights
and responsibilities described in section ___4(b).
(2) Actions of the authority.--Nothing in this subtitle or
the regulations promulgated under this subtitle shall be
construed to preempt--
(A) the laws or ordinances of any State or political
subdivision of a State, if such laws provide collective
bargaining rights for public safety officers that are
comparable to or greater than the rights enumerated in
section ___4(b);
(B) the laws or ordinance of any State or political
subdivision of a State that provide for the rights and
responsibilities described in section ___4(b) with respect to
certain categories of public safety officers covered by this
subtitle solely because such rights and responsibilities have
not been extended to other categories of public safety
officers covered by this subtitle; or
(C) the laws or ordinances of any State or political
subdivision of a State that provides for the rights and
responsibilities described in section ___4(b), solely because
such laws or ordinances provide that a contract or memorandum
of understanding between a public safety employer and a labor
organization must be presented to a legislative body as part
of the process for approving such contract or memorandum of
understanding.
(3) Limited enforcement power.--In the case of a law
described in paragraph (2)(B), the Authority shall only
exercise the powers provided in section ___5 with respect to
those categories of public safety officers who have not been
afforded the rights and responsibilities described in section
___4(b).
(4) Exclusive enforcement provision.--Notwithstanding any
other provision of this subtitle, and in the absence of a
waiver of a State's sovereign immunity, the Authority shall
have the exclusive power to enforce the provisions of this
subtitle with respect to employees of a State or political
subdivision of a State.

SEC. ___9. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated such sums as may be
necessary to carry out the provisions of this subtitle.
______

SA 3616. Mr. SALAZAR (for himself, Mr. Kerry, Ms. Stabenow, and Mr.
Schumer) submitted an amendment intended to be proposed to amendment SA
3500 proposed by Mr. Harkin (for himself, Mr. Chambliss, Mr. Baucus,
and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

Beginning on page 1472, line 1, strike all through page
1480, line 3, and insert the following:

PART II--ALCOHOL AND OTHER FUELS

SEC. 12311. EXPANSION OF SPECIAL ALLOWANCE TO CELLULOSIC
BIOFUEL PLANT PROPERTY.

(a) In General.--Paragraph (3) of section 168(l) (relating
to special allowance for cellulosic biomass ethanol plant
property) is amended to read as follows:
``(3) Cellulosic biofuel.--For purposes of this subsection,
the term `cellulosic biofuel' means any alcohol, ether,
ester, or hydrocarbon produced from any lignocellulosic or
hemicellulosic matter that is available on a renewable or
recurring basis.''.
(b) Conforming Amendments.--
(1) Subsection (l) of section 168 is amended by striking
``cellulosic biomass ethanol'' each place it appears and
inserting ``cellulosic biofuel''.
(2) The heading of section 168(l) is amended by striking
``Cellulosic Biomass Ethanol'' and inserting ``Cellulosic
Biofuel''.
(3) The heading of paragraph (2) of section 168(l) is
amended by striking ``cellulosic biomass ethanol'' and
inserting ``cellulosic biofuel''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act, in taxable years ending after such
date.

SEC. 12312. CREDIT FOR PRODUCTION OF CELLULOSIC BIOFUEL.

(a) In General.--Subsection (a) of section 40 (relating to
alcohol used as fuel) is amended by striking ``plus'' at the
end of paragraph (2), by striking the period at the end of
paragraph (3) and inserting ``, plus'', and by adding at the
end the following new paragraph:
``(4) the small cellulosic biofuel producer credit.''.
(b) Small Cellulosic Biofuel Producer Credit.--
(1) In general.--Subsection (b) of section 40 is amended by
adding at the end the following new paragraph:
``(6) Small cellulosic biofuel producer credit.--
``(A) In general.--In addition to any other credit allowed
under this section, there shall be allowed as a credit
against the tax imposed by this chapter for the taxable year
an amount equal to the applicable amount for each gallon of
not more than 60,000,000 gallons of qualified cellulosic
biofuel production.
``(B) Applicable amount.--For purposes of subparagraph (A),
the applicable amount means the excess of--
``(i) $1.28, over
``(ii) the sum of--

``(I) the amount of the credit in effect for alcohol which
is ethanol under subsection (b)(1) (without regard to
subsection (b)(3)) at the time of the qualified cellulosic
biofuel production, plus
``(II) the amount of the credit in effect under subsection
(b)(4) at the time of such production.

``(C) Qualified cellulosic biofuel production.--For
purposes of this section, the term `qualified cellulosic
biofuel production' means any cellulosic biofuel which is
produced by an eligible small cellulosic biofuel producer and
which during the taxable year--
``(i) is sold by the taxpayer to another person--

``(I) for use by such other person in the production of a
qualified cellulosic biofuel mixture in such other person's
trade or business (other than casual off-farm production),
``(II) for use by such other person as a fuel in a trade or
business, or
``(III) who sells such cellulosic biofuel at retail to
another person and places such cellulosic biofuel in the fuel
tank of such other person, or

``(ii) is used or sold by the taxpayer for any purpose
described in clause (i).
``(D) Qualified cellulosic biofuel mixture.--For purposes
of this paragraph, the term `qualified cellulosic biofuel
mixture' means a mixture of cellulosic biofuel and any
petroleum fuel product which--
``(i) is sold by the person producing such mixture to any
person for use as a fuel, or
``(ii) is used as a fuel by the person producing such
mixture.
``(E) Additional distillation excluded.--The qualified
cellulosic biofuel production of any taxpayer for any taxable
year shall not include any alcohol which is purchased by the
taxpayer and with respect to which such producer increases
the proof of the alcohol by additional distillation.
``(F) Application of paragraph.--This paragraph shall apply
with respect to qualified cellulosic biofuel production after
December 31, 2007, and before April 1, 2015.''.
(2) Termination date not to apply.--Subsection (e) of
section 40 (relating to termination) is amended--
(A) by inserting ``or subsection (b)(6)(E)'' after ``by
reason of paragraph (1)'' in paragraph (2), and
(B) by adding at the end the following new paragraph:
``(3) Exception for small cellulosic biofuel producer
credit.--Paragraph (1) shall not apply to the portion of the
credit allowed under this section by reason of subsection
(a)(4).''.
(c) Eligible Small Cellulosic Biofuel Producer.--Section 40
is amended by adding at the end the following new subsection:
``(i) Definitions and Special Rules for Small Cellulosic
Biofuel Producer.--For purposes of this section--
``(1) In general.--The term `eligible small cellulosic
biofuel producer' means a person, who at all times during the
taxable year, has a productive capacity for cellulosic
biofuel not in excess of 60,000,000 gallons.
``(2) Cellulosic biofuel.--
``(A) In general.--The term `cellulosic biofuel' has the
meaning given such term under section 168(l)(3), but does not
include any alcohol with a proof of less than 150.
``(B) Determination of proof.--The determination of the
proof of any alcohol shall be made without regard to any
added denaturants.

[[Page S14323]]

``(3) Aggregation rule.--For purposes of the 60,000,000
gallon limitation under paragraph (1) and subsection
(b)(6)(A), all members of the same controlled group of
corporations (within the meaning of section 267(f)) and all
persons under common control (within the meaning of section
52(b) but determined by treating an interest of more than 50
percent as a controlling interest) shall be treated as 1
person.
``(4) Partnership, s corporations, and other pass-thru
entities.--In the case of a partnership, trust, S
corporation, or other pass-thru entity, the limitation
contained in paragraph (1) shall be applied at the entity
level and at the partner or similar level.
``(5)  Allocation.--For purposes of this subsection, in the
case of a facility in which more than 1 person has an
interest, productive capacity shall be allocated among such
persons in such manner as the Secretary may prescribe.
``(6) Regulations.--The Secretary may prescribe such
regulations as may be necessary to prevent the credit
provided for in subsection (a)(4) from directly or indirectly
benefitting any person with a direct or indirect productive
capacity of more than 60,000,000 gallons of cellulosic
biofuel during the taxable year.
``(7) Allocation of small cellulosic producer credit to
patrons of cooperative.--Rules similar to the rules under
subsection (g)(6) shall apply for purposes of this
subsection.''.
(d) Cellulosic Biofuel Not Used as a Fuel, etc.--
(1) In general.--Paragraph (3) of section 40(d) is amended
by redesignating subparagraph (D) as subparagraph (E) and by
inserting after subparagraph (C) the following new
subparagraph:
``(D) Small cellulosic biofuel producer credit.--If--
``(i) any credit is allowed under subsection (a)(4), and
``(ii) any person does not use such fuel for a purpose
described in subsection (b)(6)(C),

then there is hereby imposed on such person a tax equal to
the applicable amount for each gallon of such cellulosic
biofuel.''.
(2) Conforming amendments.--
(A) Subparagraph (C) of section 40(d)(3) is amended by
striking ``producer'' in the heading and inserting ``small
ethanol producer''.
(B) Subparagraph (E) of section 40(d)(3), as redesignated
by paragraph (1), is amended by striking ``or (C)'' and
inserting ``(C), or (D)''.
(e) Biofuel Produced in the United States.--Section 40(d),
as amended by this section, is amended by adding at the end
the following new paragraph:
``(6) Special rule for small cellulosic biofuel
producers.--No small cellulosic biofuel producer credit shall
be determined under subsection (a) with respect to any
biofuel unless such biofuel is produced in the United
States.''.
(f) Waiver of Credit Limit for Cellulosic Biofuel
Production by Small Ethanol Producers.--Section 40(b)(4)(C)
is amended by inserting ``(determined without regard to any
qualified cellulosic biofuel production'' after ``15,000,000
gallons''.
(g) Effective Date.--The amendments made by this section
shall apply to fuel produced after December 31, 2007.
______

SA 3617. Mr. SESSIONS submitted an amendment intended to be proposed
by him to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

On page 750, line 21, insert before the period at the end
the following: ``, of which not less than $25,000,000 shall
be for use at hospitals in rural areas with not more than 50
acute beds''.
______

SA 3618. Mr. BUNNING submitted an amendment intended to be proposed
by him to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

Beginning on page 1363, strike line 7 and all that follows
through page 1395, line 19.
Beginning on page 1564, strike line 16 and all that follows
through page 1565, line 6.
______

SA 3619. Mr. DURBIN submitted an amendment intended to be proposed by
him to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

At the end of subtitle C of title III, add the following:

SEC. 32__. IMPORTATION OF LIVE DOGS.

(a) In General.--The Animal Welfare Act is amended by
adding after section 17 (7 U.S.C. 2147) the following:

``SEC. 18. IMPORTATION OF LIVE DOGS.

``(a) Definitions.--In this section:
``(1) Importer.--The term `importer' means any person who,
for purposes of resale, transports into the United States
puppies from a foreign country.
``(2) Resale.--The term `resale' includes any transfer of
ownership or control of an imported dog of less than 6 months
of age to another person, for more than de minimis
consideration.
``(b) Requirements.--
``(1) In general.--Except as provided in paragraph (2), no
person shall import a dog into the United States for purposes
of resale unless, as determined by the Secretary, the dog--
``(A) is in good health;
``(B) has received all necessary vaccinations; and
``(C) is at least 6 months of age, if imported for resale.
``(2) Exception.--The Secretary, by regulation, shall
provide an exception to any requirement under paragraph (1)
in any case in which a dog is imported for--
``(A) research purposes; or
``(B) veterinary treatment.
``(c) Implementation and Regulations.--The Secretary, the
Secretary of Health and Human Services, the Secretary of
Commerce, and the Secretary of Homeland Security shall
promulgate such regulations as the Secretaries determine to
be necessary to implement and enforce this section.
``(d) Enforcement.--An importer that fails to comply with
this section shall--
``(1) be subject to penalties under section 19; and
``(2) provide for the care (including appropriate
veterinary care), forfeiture, and adoption of each applicable
dog, at the expense of the importer.''.
(b) Effective Date.--The amendment made by subsection (a)
takes effect on the date of enactment of this Act.
______

SA 3620. Mr. LOTT submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 1587, after line 18, add the following:

Subtitle G--Repeal of Individual AMT

SEC. 12701. REPEAL OF INDIVIDUAL ALTERNATIVE MINIMUM TAX.

(a) In General.--Section 55(a) (relating to alternative
minimum tax imposed) is amended by adding at the end the
following new flush sentence:

``For purposes of this title, the tentative minimum tax on
any taxpayer other than a corporation for any taxable year
beginning after December 31, 2006, shall be zero.''.
(b) Modification of Limitation on Use of Credit for Prior
Year Minimum Tax Liability.--Subsection (c) of section 53
(relating to credit for prior year minimum tax liability) is
amended to read as follows:
``(c) Limitation.--
``(1) In general.--Except as provided in paragraph (2), the
credit allowable under subsection (a) for any taxable year
shall not exceed the excess (if any) of--
``(A) the regular tax liability of the taxpayer for such
taxable year reduced by the sum of the credits allowable
under subparts A, B, D, E, and F of this part, over
``(B) the tentative minimum tax for the taxable year.
``(2) Taxable years beginning after 2006.--In the case of
any taxable year beginning after 2006, the credit allowable
under subsection (a) to a taxpayer other than a corporation
for any taxable year shall not exceed 90 percent of the
regular tax liability of the taxpayer for such taxable year
reduced by the sum of the credits allowable under subparts A,
B, D, E, and F of this part.''.
(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2006.

Subtitle H--One-Year Extenders

SEC. 12801. RESEARCH CREDIT.

(a) In General.--Subparagraph (B) of section 41(h)(1)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Conforming Amendment.--Subparagraph (D) of section
45C(b)(1) (relating to qualified clinical testing expenses)
is amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(c) Effective Date.--The amendments made by this section
shall apply to amounts paid or incurred after December 31,
2007.

SEC. 12802. INDIAN EMPLOYMENT CREDIT.

(a) In General.--Subsection (f) of section 45A (relating to
termination) is amended by striking ``December 31, 2007'' and
inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12803. NEW MARKETS TAX CREDIT.

Subparagraph (D) of section 45D(f)(1) (relating to national
limitation on amount of investments designated) is amended by
striking ``and 2008'' and inserting ``2008, and 2009''.

SEC. 12804. RAILROAD TRACK MAINTENANCE.

(a) In General.--Subsection (f) of section 45G (relating to
application of section) is amended by striking ``January 1,
2008'' and inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to expenditures paid or incurred during taxable
years beginning after December 31, 2007.

SEC. 12805. MORTGAGE INSURANCE PREMIUMS TREATED AS INTEREST.

(a) In General.--Subclause (I) of section 163(h)(3)(E)(iv)
(relating to termination) is

[[Page S14324]]

amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to amounts paid or accrued after December 31,
2007.

SEC. 12806. DEDUCTION FOR STATE AND LOCAL SALES TAXES.

(a) In General.--Subparagraph (I) of section 164(b)(5) is
amended by striking ``January 1, 2008'' and inserting
``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12807. FIFTEEN-YEAR STRAIGHT-LINE COST RECOVERY FOR
QUALIFIED LEASEHOLD IMPROVEMENTS AND QUALIFIED
RESTAURANT PROPERTY.

(a) In General.--Clauses (iv) and (v) of section
168(e)(3)(E) (relating to 15-year property) are each amended
by striking ``January 1, 2008'' and inserting ``January 1,
2009''.
(b) Effective Date.--The amendments made by this section
shall apply to property placed in service after December 31,
2007.

SEC. 12808. SEVEN-YEAR COST RECOVERY PERIOD FOR MOTORSPORTS
RACING TRACK FACILITY.

(a) In General.--Subparagraph (D) of section 168(i)(15)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to property placed in service after December 31,
2007.

SEC. 12809. ACCELERATED DEPRECIATION FOR BUSINESS PROPERTY ON
INDIAN RESERVATION.

(a) In General.--Paragraph (8) of section 168(j) (relating
to termination) is amended by striking ``December 31, 2007''
and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to property placed in service after December 31,
2007.

SEC. 12810. EXPENSING OF ENVIRONMENTAL REMEDIATION COSTS.

(a) In General.--Subsection (h) of section 198 (relating to
termination) is amended by striking ``December 31, 2007'' and
inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to expenditures paid or incurred after December
31, 2007.

SEC. 12811. DEDUCTION ALLOWABLE WITH RESPECT TO INCOME
ATTRIBUTABLE TO DOMESTIC PRODUCTION ACTIVITIES
IN PUERTO RICO.

(a) In General.--Subparagraph (C) of section 199(d)(8)
(relating to termination) is amended--
(1) by striking ``first 2 taxable years'' and inserting
``first 3 taxable years'', and
(2) by striking ``January 1, 2008'' and inserting ``January
1, 2009''.
(b) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12812. DEDUCTION OF QUALIFIED TUITION AND RELATED
EXPENSES.

(a) In General.--Subsection (e) of section 222 (relating to
termination) is amended by striking ``December 31, 2007'' and
inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12813. MODIFICATION OF TAX TREATMENT OF CERTAIN PAYMENTS
TO CONTROLLING EXEMPT ORGANIZATIONS.

(a) In General.--Clause (iv) of section 512(b)(13)(E)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to payments received or accrued after December
31, 2007.

SEC. 12814. TREATMENT OF CERTAIN DIVIDENDS OF REGULATED
INVESTMENT COMPANIES.

(a) Interest-Related Dividends.--Subparagraph (C) of
section 871(k)(1) (defining interest-related dividend) is
amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(b) Short-Term Capital Gain Dividends.--Subparagraph (C) of
section 871(k)(2) (defining short-term capital gain dividend)
is amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(c) Effective Date.--The amendments made by this section
shall apply to dividends with respect to taxable years of
regulated investment companies beginning after December 31,
2007.

SEC. 12815. EXTENSION AND MODIFICATION OF CREDIT TO HOLDERS
OF QUALIFIED ZONE ACADEMY BONDS.

(a) In General.--Subsection (e) of section 1397E (relating
to limitation on amount of bonds designated) is amended by
striking ``1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005,
2006, and 2007'' and inserting ``each of calendar years 1998
through 2008''.
(b) Modification of Arbitrage Rules.--
(1) In general.--Subsection (g) of section 1397E (relating
to special rules relating to arbitrage) is amended to read as
follows:
``(g) Special Rules Relating to Arbitrage.--
``(1) In general.--An issue shall be treated as meeting the
requirements of this subsection if the issuer satisfies the
requirements of section 148 with respect to the proceeds of
the issue.
``(2) Special rule for investments during expenditure
period.--An issue shall not be treated as failing to meet the
requirements of paragraph (1) by reason of any investment of
available project proceeds during the 5-year period described
in subsection (f)(1)(A) (including any extension of such
period under subsection (f)(2)).
``(3) Special rule for reserve funds.--An issue shall not
be treated as failing to meet the requirements of paragraph
(1) by reason of any fund which is expected to be used to
repay such issue if--
``(A) such fund is funded at a rate not more rapid than
equal annual installments,
``(B) such fund is funded in a manner that such fund will
not exceed the amount necessary to repay the issue if
invested at the maximum rate permitted under subparagraph
(C), and
``(C) the yield on such fund is not greater than the
discount rate determined under subsection (d)(3) with respect
to the issue.''.
(2) Application of available project proceeds to other
requirements.--Subsections (d)(1)(A), (d)(2)(A), (f)(1)(A),
(f)(1)(B), (f)(1)(C), and (f)(3) of section 1397E are each
amended by striking ``proceeds'' and inserting ``available
project proceeds''
(3) Available project proceeds defined.--Subsection (i) of
section 1397E (relating to definitions) is amended by adding
at the end the following new paragraph:
``(4) Available project proceeds.--The term `available
project proceeds' means--
``(A) the excess of--
``(i) the proceeds from the sale of an issue, over
``(ii) the issuance costs financed by the issue (to the
extent that such costs do not exceed 2 percent of such
proceeds), and
``(B) the proceeds from any investment of the excess
described in subparagraph (A).''.
(c) Effective Date.--
(1) Extension.--The amendment made by subsection (a) shall
apply to obligations issued after December 31, 2007.
(2) Modification of arbitrage rules.--The amendments made
by subsection (b) shall apply to obligations issued after the
date of the enactment of this Act.

SEC. 12816. TAX INCENTIVES FOR INVESTMENT IN THE DISTRICT OF
COLUMBIA.

(a) Designation of Zone.--
(1) In general.--Subsection (f) of section 1400 is amended
by striking ``2007'' both places it appears and inserting
``2008''.
(2) Effective date.--The amendments made by this subsection
shall apply to periods beginning after December 31, 2007.
(b) Tax-Exempt Economic Development Bonds.--
(1) In general.--Subsection (b) of section 1400A is amended
by striking ``2007'' and inserting ``2008''.
(2) Effective date.--The amendment made by this subsection
shall apply to bonds issued after December 31, 2007.
(c) Zero Percent Capital Gains Rate.--
(1) In general.--Subsection (b) of section 1400B is amended
by striking ``2008'' each place it appears and inserting
``2009''.
(2) Conforming amendments.--
(A) Section 1400B(e)(2) is amended--
(i) by striking ``2012'' and inserting ``2013'', and
(ii) by striking ``2012'' in the heading thereof and
inserting ``2013''.
(B) Section 1400B(g)(2) is amended by striking ``2012'' and
inserting ``2013''.
(C) Section 1400F(d) is amended by striking ``2012'' and
inserting ``2013''.
(3) Effective dates.--
(A) Extension.--The amendments made by paragraph (1) shall
apply to acquisitions after December 31, 2007.
(B) Conforming amendments.--The amendments made by
paragraph (2) shall take effect on the date of the enactment
of this Act.
(d) First-Time Homebuyer Credit.--
(1) In general.--Subsection (i) of section 1400C is amended
by striking ``2008'' and inserting ``2009''.
(2) Effective date.--The amendment made by this subsection
shall apply to property purchased after December 31, 2007.

SEC. 12817. DISCLOSURE FOR COMBINED EMPLOYMENT TAX REPORTING.

(a) In General.--Subparagraph (B) of section 6103(d)(5)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to disclosures after December 31, 2007.

SEC. 12818. DISCLOSURE OF RETURN INFORMATION TO APPRISE
APPROPRIATE OFFICIALS OF TERRORIST ACTIVITIES.

(a) In General.--Clause (iv) of section 6103(i)(3)(C)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to disclosures after December 31, 2007.

SEC. 12819. DISCLOSURE UPON REQUEST OF INFORMATION RELATING
TO TERRORIST ACTIVITIES.

(a) In General.--Subparagraph (E) of section 6103(i)(7)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to disclosures after December 31, 2007.

SEC. 12820. DISCLOSURE OF RETURN INFORMATION TO CARRY OUT
INCOME CONTINGENT REPAYMENT OF STUDENT LOANS.

(a) In General.--Subparagraph (D) of section 6103(l)(13)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to requests made after December 31, 2007.

SEC. 12821. AUTHORITY FOR UNDERCOVER OPERATIONS.

(a) In General.--Paragraph (6) of section 7608(c) (relating
to application of section) is

[[Page S14325]]

amended by striking ``January 1, 2008'' each place it appears
and inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall take effect on January 1, 2008.

SEC. 12822. INCREASE IN LIMIT ON COVER OVER OF RUM EXCISE TAX
TO PUERTO RICO AND THE VIRGIN ISLANDS.

(a) In General.--Paragraph (1) of section 7652(f) is
amended by striking ``January 1, 2008'' and inserting
``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to distilled spirits brought into the United
States after December 31, 2007.

SEC. 12823. PARITY IN THE APPLICATION OF CERTAIN LIMITS TO
MENTAL HEALTH BENEFITS.

(a) In General.--Paragraph (3) of section 9812(f) (relating
to application of section) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to benefits for services furnished after December
31, 2007.

SEC. 12824. EXTENSION OF ECONOMIC DEVELOPMENT CREDIT FOR
AMERICAN SAMOA.

(a) In General.--Subsection (d) of section 119 of division
A of the Tax Relief and Health Care Act of 2006 is amended--
(1) by striking ``first two taxable years'' and inserting
``first 3 taxable years'', and
(2) by striking ``January 1, 2008'' and inserting ``January
1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12825. QUALIFIED CONSERVATION CONTRIBUTIONS.

(a) In General.--Clause (vi) of section 170(b)(1)(E)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made in taxable years beginning
after December 31, 2007.

SEC. 12826. ENHANCED CHARITABLE DEDUCTION FOR CONTRIBUTIONS
OF FOOD INVENTORY.

(a) In General.--Clause (iv) of section 170(e)(3)(C)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made after December 31, 2007.

SEC. 12827. ENHANCED CHARITABLE DEDUCTION FOR CONTRIBUTIONS
OF BOOK INVENTORY TO PUBLIC SCHOOLS.

(a) In General.--Clause (iv) of section 170(e)(3)(D)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made after December 31, 2007.

SEC. 12828. ENHANCED DEDUCTION FOR QUALIFIED COMPUTER
CONTRIBUTIONS.

(a) In General.--Subparagraph (G) of section 170(e)(6)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made during taxable years
beginning after December 31, 2007.

SEC. 12829. TAX-FREE DISTRIBUTIONS FROM INDIVIDUAL RETIREMENT
PLANS FOR CHARITABLE PURPOSES.

(a) In General.--Subparagraph (F) of section 408(d)(8)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to distributions made in taxable years beginning
after December 31, 2007.

SEC. 12830. BASIS ADJUSTMENT TO STOCK OF S CORPORATIONS
MAKING CHARITABLE CONTRIBUTIONS OF PROPERTY.

(a) In General.--The last sentence of section 1367(a)(2)
(relating to decreases in basis) is amended by striking
``December 31, 2007'' and inserting ``December 31, 2008''.
(b) Technical Amendment Related to Section 1203 of the
Pension Protection Act of 2006.--Subsection (d) of section
1366 is amended by adding at the end the following new
paragraph:
``(4) Application of limitation on charitable
contributions.--In the case of any charitable contribution of
property to which the second sentence of section 1367(a)(2)
applies, paragraph (1) shall not apply to the extent of the
excess (if any) of--
``(A) the shareholder's pro rata share of such
contribution, over
``(B) the shareholder's pro rata share of the adjusted
basis of such property.''.
(c) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to contributions
made in taxable years beginning after December 31, 2007.
(2) Technical amendment.--The amendment made by subsection
(b)shall take effect as if included in the provision of the
Pension Protection Act of 2006 to which it relates.

SEC. 12831. DEDUCTION FOR CERTAIN EXPENSES OF ELEMENTARY AND
SECONDARY SCHOOL TEACHERS.

(a) In General.--Subparagraph (D) of section 62(a)(2)
(relating to certain expenses of elementary and secondary
school teachers) is amended by striking ``or 2007'' and
inserting ``2007, or 2008''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to taxable years beginning after December 31,
2007.

SEC. 12832. ELECTION TO INCLUDE COMBAT PAY AS EARNED INCOME
FOR PURPOSES OF EARNED INCOME TAX CREDIT.

(a) In General.--Subclause (II) of section 32(c)(2)(B)(vi)
(defining earned income) is amended by striking ``January 1,
2008'' and inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years ending after December 31, 2007.

SEC. 12833. MODIFICATION OF MORTGAGE REVENUE BONDS FOR
VETERANS.

(a) Qualified Mortgage Bonds Used To Finance Residences for
Veterans Without Regard to First-Time Homebuyer
Requirement.--Subparagraph (D) of section 143(d)(2) (relating
to exceptions) is amended by striking ``January 1, 2008'' and
inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to bonds issued after December 31, 2007.

SEC. 12834. DISTRIBUTIONS FROM RETIREMENT PLANS TO
INDIVIDUALS CALLED TO ACTIVE DUTY.

(a) In General.--Clause (iv) of section 72(t)(2)(G) is
amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to individuals ordered or called to active duty
on or after December 31, 2007.

SEC. 12835. STOCK IN RIC FOR PURPOSES OF DETERMINING ESTATES
OF NONRESIDENTS NOT CITIZENS.

(a) In General.--Paragraph (3) of section 2105(d) (relating
to stock in a RIC) is amended by striking ``December 31,
2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to decedents dying after December 31, 2007.

SEC. 12836. QUALIFIED INVESTMENT ENTITIES.

(a) In General.--Clause (ii) of section 897(h)(4)(A)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by subsection (a)
shall take effect on January 1, 2008.

SEC. 12837. DISCLOSURE OF RETURN INFORMATION FOR CERTAIN
VETERANS PROGRAMS.

(a) In General.--The last sentence of paragraph (7) of
section 6103(l) is amended by striking ``September 30, 2008''
and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to requests made after September 30, 2008.
______

SA 3621. Mr. COLEMAN submitted an amendment intended to be proposed
to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 210, line 25, strike ``crop year'' and insert
``crop or fiscal year, as appropriate,''.
On page 211, line 12, strike ``crop years'' and insert
``crop or fiscal years, as appropriate,''.
On page 211, line 23, strike ``crop year'' and insert
``fiscal year''.
On page 212, between lines 19 and 20, insert the following:
``(iv) A payment under the environmental quality incentives
program established under chapter 4 of subtitle D of title
XII.
On page 212, line 23, insert ``(other than the
environmental quality incentives program)'' before the
semicolon at the end.
______

SA 3622. Mr. SALAZAR (for himself and Mr. Allard) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

At the end of subtitle C of title VIII, add the following:

SEC. 8203. DEPARTMENT OF THE INTERIOR AND RELATED AGENCIES
APPROPRIATIONS ACT, 2001.

Section 331 of the Department of the Interior and Related
Agencies Appropriations Act, 2001 (114 Stat. 996; 118 Stat.
3102), is amended by striking subsection (e).
______

SA 3623. Mrs. BOXER (for herself, Mr. Smith, Mrs. Feinstein, Mr.
Sessions, Mr. Nelson of Florida, Mr. Martinez, and Mr. Wyden) submitted
an amendment intended to be proposed to amendment SA 3500 proposed by
Mr. Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley)
to the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 471, strike line 22 and insert the following:
``(iv) Identification of water quality and water quantity
priority areas.--

[[Page S14326]]

``(I) In general.--Subject to subclause (II), the Secretary
shall identify areas in which protecting or improving water
quality or water quantity is a priority.
``(II) Mandatory inclusions.--The Secretary shall include
in any identification of areas under subclause (I)--

``(aa) the Chesapeake Bay;
``(bb) the Upper Mississippi River basin;
``(cc) the greater Everglades ecosystem;
``(dd) the Klamath River basin;
``(ee) the Sacramento/San Joaquin River watershed; and
``(ff) the Mobile River Basin.

``(III) Funding.--The Secretary shall reserve for use in
areas identified under this clause not more than 50 percent
of amounts made available for regional water enhancement
activities under this paragraph.

``(v) Duration.--
______

SA 3624. Mrs. BOXER (for herself and Mrs. Feinstein) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 408, strike line 17 and insert the following:
through 2012.

``SEC. 1240L. AIR QUALITY IMPROVEMENT.

``(a) In General.--Under the environmental quality
incentives program established under this chapter, the
Secretary shall promote air quality by providing cost-share
payments and incentive payments to individual producers for
use in addressing air quality concerns associated with
agriculture.
``(b) Eligible Practices, Cost-Share.--
``(1) Reduction of emissions of air pollutants and
precursors of air pollutants.--In addition to practices
eligible for cost-share payments under the environmental
quality incentives program established under this chapter,
the Secretary shall provide cost-share payments to producers
under this section for mobile or stationary equipment
(including engines) used in an agricultural operation that
would reduce emissions and precursors of air pollutants.
``(2) Considerations.--In evaluating applications for cost-
share assistance for equipment described in paragraph (1),
the Secretary shall prioritize assistance for equipment
that--
``(A) is the most cost-effective in addressing air quality
concerns; and
``(B) would assist producers in meeting Federal, State, or
local regulatory requirements relating to air quality.
``(c) Locations.--To receive a payment for a project under
this section, a producer shall carry out the project in a
county--
``(1) that is in nonattainment with respect to ambient air
quality standards; or
``(2) in which there is air quality degradation, recognized
by a State or local agency, to which agricultural emissions
significantly contribute.
``(d) Priority.--The Secretary shall give priority to
projects that--
``(1) involve multiple producers implementing eligible
conservation activities in a coordinated manner to promote
air quality; or
``(2) are designed to encourage broad adoption of
innovative approaches, including approaches involving the use
of innovative technologies and integrated pest management, on
the condition that the technologies do not have the
unintended consequence of compromising other environmental
goals.''.
______

SA 3625. Mr. PRYOR submitted an amendment intended to be proposed by
him to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. ------. BROADBAND PILOT PROGRAM FOR RURAL, LOW-INCOME
HOUSEHOLDS.

(a) Establishment.--The Secretary of Agriculture shall
establish a pilot program, to be known as the ``Improving
Broadband in Rural America for the Nation's Children'' or the
``iBRANCH program'', that will provide grants on a
competitive basis to eligible entities for the purpose of
assisting low-income student households in eligible rural
communities overcome barriers related to the use of broadband
services in the home, including barriers related to--
(1) computer and broadband literacy;
(2) computer and software ownership; and
(3) access to affordable broadband service.
(b) Grant Requirements.--To be eligible for a grant under
this program, an eligible entity shall demonstrate to the
satisfaction of the Secretary that it--
(1) has the managerial and technical skills to carry out
the project successfully;
(2) will provide support to low income student households
on a portable and competitively neutral basis;
(3) will utilize an acceptable approach to preparing low-
income students and households to improve the student
educational experience with broadband and to providing
Internet safety awareness; and
(4) meets any other necessary or appropriate conditions,
standards, or requirements imposed by the Secretary.
(c) Maximum Amount.--The Secretary may not provide more
than $1,000,000 in Federal assistance under the pilot program
to any applicant per fiscal year.
(d) Cost Sharing.--The Secretary may not provide more than
50 percent of the cost, incurred during the period of the
grant, of any project funded under the pilot program.
(e) Distribution of Grants.--The Secretary shall seek to
ensure a broad geographic distribution of project sites to
the maximum extent practicable.
(f) Administrative Costs.--The recipient of a grant awarded
under this section may not use more than 5 percent of the
grant amount to pay administrative costs associated with
activities funded by the grant. The Secretary shall use no
more than 5 percent of the amount available for grants under
this Act in any fiscal year for administrative costs of the
program.
(g) FCC Assistance.--The Federal Communications Commission
may provide such assistance in carrying out the provisions of
this section as may be requested by the Secretary. The
Secretary shall provide for close coordination with the
Commission in the administration of the Secretary's functions
under this section which are of interest to or affect the
functions of the Commission.
(h) Administrative Provisions.--
(1) Annual summary and evaluation required.--The Secretary
shall require that the recipient of a grant under this
section submit a summary and evaluation of the results of the
project funded by such a grant at least annually for each
year in which funds are received under this section.
(2) Books and records.--Each recipient of assistance under
this section shall keep such records as may be reasonably
necessary to enable the Secretary to carry out the
Secretary's functions under this section, including records
which fully disclose the amount and the disposition by such
recipient of the proceeds of such assistance, the total cost
of the project or undertaking in connection with which such
assistance is given or used, the amount and nature of that
portion of the cost of the project or undertaking supplied by
other sources, and such other records as will facilitate an
effective audit.
(3) Audit and examination.--The Secretary and the
Comptroller General of the United States, or any of their
duly authorized representatives, shall have access for the
purposes of audit and examination to any books, documents,
papers, and records of the recipient that are pertinent to
assistance received under this section.
(i) Regulations.--The Secretary may make such rules and
regulations as may be necessary to carry out this section,
including regulations relating to the order of priority in
approving applications for projects under this section or to
determining the amounts of grants for such projects.
(j) Definitions.--In this section:
(1) Eligible entity.--The term `eligible entity' means a
nonprofit organization that is designated by a State to work
in partnership with State agencies, representatives of the
eligible rural community, and other interested parties in
administering grant funds.
(2) Eligible rural community.--The term `eligible rural
community' means any county (or other appropriate political
subdivision where no counties exist) with a population of
20,000 or less.
(3) Low-income student household.--The term `low-income
student household' means any residential household--
(A) with a student enrolled in grades 6 through 10 during
the first school year following the date of the grant award;
and
(B) that is eligible for the Federal free lunch program.
(4) Nonprofit organization.--The term `nonprofit
organization' means an organization--
(A) described in section 501(c)(3) of the Internal Revenue
Code of 1986 and exempt from tax under section 501(a) of such
Code;
(B) no part of the net earnings of which inures to the
benefit of any member, founder, contributor, or individual;
(C) that has an established competency and proven record of
working with public and private sectors; and
(D) that has a board of directors a majority of whom are
not employed by a broadband service provider or any company
in which a broadband service provider owns a controlling or
attributable interest.
(k) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary $10,000,000 for each of
the fiscal years 2008 through 2012 to carry out this section.
______

SA 3626. Mrs. HUTCHISON submitted an amendment intended to be
proposed to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes, which was ordered to lie on the
table; as follows:

On page 1362, between lines 19 and 20, insert the
following:

SEC. 11072. SOUTHWEST REGIONAL DAIRY, ENVIRONMENT, AND
PRIVATE LAND PROGRAM.

(a) Definitions.--In this section:
(1) Eligible institution of higher education.--The term
``eligible institution of higher education'' means an
institution of higher education that--

[[Page S14327]]

(A) is located in--
(i) the State of Arizona;
(ii) the State of Colorado;
(iii) the State of New Mexico;
(iv) the State of Oklahoma; and
(v) the State of Texas;
(B) has facilities that are necessary for the facilitation
of research on issues relating to the dairy industry in a
practical setting;
(C) has a dairy research program and an institution for
applied environmental research;
(D) has a university laboratory that is--
(i) located on the campus of the institution of higher
education; and
(ii) accredited by the National Environmental Laboratory
Accreditation Council to ensure the quality of any proposed
research activities;
(E) has the capability to enter into a partnership with
representatives of the dairy industry and other public and
private entities and institutions of higher education;
(F) has experience in conducting watershed modeling
(including the conduct of cost-benefit analyses, policy
applications, and long-term watershed monitoring); and
(G) works with--
(i) producer-run advocacy groups (including Industry-Led
Solutions); and
(ii) private land coalitions.
(2) Program.--The term ``program'' means the Southwest
regional dairy, environment, and private land program
established under subsection (b).
(b) Establishment.--
(1) In general.--As soon as practicable after the date of
enactment of this Act, the Secretary shall establish a
Southwest regional dairy, environment, and private land
program.
(2) Required activities.--In carrying out the program, the
Secretary shall--
(A) identify challenges and develop solutions to enhance
the economic and environmental sustainability, growth, and
expansion of the dairy industry in the Southwest region of
the United States;
(B) research, develop, and implement programs--
(i) to recover energy and other useful products from dairy
waste;
(ii) to identify best management practices; and
(iii) to assist the dairy industry in ensuring that animal
waste emissions and discharges of the dairy industry are
maintained at levels below applicable regulatory standards;
(C) offer technical assistance (including research
activities conducted by a university laboratory that is
accredited by the National Environmental Laboratory
Accreditation Council), training, applied research, and
watershed water quality programs monitoring to applicable
entities;
(D) develop--
(i) watershed modeling through the development of
innovative modeling tools and data mining to develop cost-
efficient and environmentally effective programs in the dairy
industry; and
(ii) an international modeling application clearinghouse to
coordinate watershed modeling tools in the United States and
in other countries, to be carried out by the Secretary; and
(E) collaborate with a private land coalition to use input
gathered from landowners in the United States through a
program of industry led solutions to work with the Federal
Government (including Federal agencies) in the development of
conservation, environmental credit trading, and watershed
programs to help private landowners and agricultural
producers meet applicable water quality standards.
(c) Contracts.--
(1) In general.--In carrying out the program, the Secretary
shall offer to enter into contracts with eligible
institutions of higher education.
(2) Application.--
(A) Submission of application.--To enter into a contract
with the Secretary under paragraph (1), an eligible
institution of higher education shall submit to the Secretary
an application at such time, in such manner, and containing
such information as the Secretary may require.
(B) Guidelines.--As soon as practicable after the date of
enactment of this Act, the Secretary shall promulgate
guidelines describing each requirement of the Secretary with
respect to the application requirements described in
subparagraph (A).
(d) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out
this section for each of fiscal years 2008 through 2012, to
remain available until expended.
______

SA 3627. Mrs. HUTCHINSON submitted an amendment intended to be
proposed to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 920, between lines 5 and 6, insert the following:

SEC. 70__. INDIRECT COST RECOVERY.

Section 1473A of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319a)
is amended in the second sentence by striking ``not exceeding
10 percent of the direct cost'' and inserting ``not exceeding
the amount permitted under the Negotiated Indirect Cost
Recovery Agreement established by the Office of Management
and Budget Circular A-21''.
______

SA 3628. Mrs. HUTCHISON submitted an amendment intended to be
proposed to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 408, between lines 17 and 18, insert the following:

SEC. 2362. RIO GRANDE BASIN MANAGEMENT PROJECT.

The Food Security Act of 1985 is amended by inserting after
section 1240K (as added by section 2361) the following:

``SEC. 1240L. RIO GRANDE BASIN MANAGEMENT PROJECT.

``(a) Definition of Rio Grande Basin.--In this section, the
term `Rio Grande Basin' includes all tributaries, backwaters,
and side channels (including watersheds) of the United States
that drain into the Rio Grande River.
``(b) Establishment.--The Secretary, in conjunction with
partnerships of institutions of higher education working with
farmers, ranchers, and other rural landowners, shall
establish a program under which the Secretary shall provide
grants to the partnerships to benefit the Rio Grande Basin
by--
``(1) restoring water flow and the riparian habitat;
``(2) improving usage;
``(3) addressing demand for drinking water;
``(4) providing technical assistance to agricultural and
municipal water systems; and
``(5) reducing biological and chemical hazards through
alternative treatment of water and wastewater.
``(c) Use of Funds.--
``(1) In general.--A grant provided under this section may
be used by a partnership for the costs of carrying out an
activity described in subsection (b), including the costs
of--
``(A) direct labor;
``(B) appropriate travel;
``(C) equipment;
``(D) instrumentation;
``(E) analytical laboratory work;
``(F) subcontracting;
``(G) cooperative research agreements; and
``(H) similar related expenses and costs.
``(2) Limitation.--A grant provided under this section
shall not be used to purchase or construct any building.
``(d) Reports.--A partnership that receives a grant under
this subsection shall submit to the Secretary annual reports
describing--
``(1) the expenses of the partnership during the preceding
calendar year; and
``(2) such other financial information as the Secretary may
require.
``(e) Funding.--There are authorized to be appropriated
such sums as are necessary to carry out this section for each
of fiscal years 2008 through 2012, to remain available until
expended.''.
______

SA 3629. Mrs. DOLE submitted an amendment intended to be proposed by
her to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. ___. CREDIT FOR TRANSPORTATION OF FOOD FOR CHARITABLE
PURPOSES.

(a) In General.--Subpart B of part IV of subchapter A of
chapter 1, as amended by this Act, is amended by adding at
the end the following new section:

``SEC. 30G. CREDIT FOR TRANSPORTATION OF FOOD FOR CHARITABLE
PURPOSES.

``(a) Allowance of Credit.--There shall be allowed as a
credit against the tax imposed by this chapter for the
taxable year an amount equal to 25 cents for each mile for
which the taxpayer uses a qualified truck for a qualified
charitable purpose during the taxable year.
``(b) Qualified Charitable Purpose.--For purposes of this
section, the term `qualified charitable purpose' means the
transportation of food in connection with the hunger relief
efforts of an organization which is described in section
501(c)(3) and is exempt from taxation under section 501(a)
(other than a private foundation, as defined in section
509(a), which is not an operating foundation, as defined in
section 4942(j)(3)).
``(c) Qualified Truck.--For purposes of this section, the
term `qualified truck' means a truck which--
``(1) has a capacity of not less than 1,760 cubic square
feet,
``(2) is owned, leased, or operated by the taxpayer, and
``(3) is ordinarily used for hauling property in the course
of a business.
``(d) Other Rules.--
``(1) Denial of double benefit.--No credit shall be allowed
under this section with respect to any amount for which a
deduction is allowed under any other provision of this
chapter.
``(2) No credit where taxpayer is compensated.--No credit
shall be allowed under this section if the taxpayer receives
compensation in connection with the use of the

[[Page S14328]]

qualified truck for the qualified charitable purpose.
``(3) Capacity requirement.--No credit shall be allowed
under this section unless at least 50 percent of the hauling
capacity of the qualified truck (measured in cubic square
feet) is used for the qualified charitable purpose.''.
(b) Conforming Amendment.--The table of sections for
subpart B of part IV of subchapter A of chapter 1, as amended
by this Act, is amended by adding at the end the following
new item:

``Sec. 30G. Credit for transportation of food for charitable
purposes.''.

(c) Effective Date.--The amendments made by this section
shall apply to taxable years ending after December 31, 2007.
(d) Offset.--
(1) In general.--Except as provided in paragraph (2) and
notwithstanding any other provision of this Act or an
amendment made by this Act, for the period beginning on
October 1, 2007, and ending on September 30, 2011--
(A) each amount provided to carry out a program under
subtitle D of title I or an amendment made by that subtitle
is reduced by an amount necessary to achieve a total
reduction of $25,000,000; and
(B) the Secretary shall adjust the amount of each payment,
loan, gain, or other assistance provided under each program
described in subparagraph (A) by such amount as is necessary
to achieve the reduction required under that subparagraph, as
determined by the Secretary.
(2) Application.--This section does not apply to a payment,
loan, gain, or other assistance provided under a contract
entered into by the Secretary before the date of enactment of
this Act.
______

SA 3630. Mrs. DOLE submitted an amendment intended to be proposed by
her to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. ___. CREDIT FOR TRANSPORTATION OF FOOD FOR CHARITABLE
PURPOSES.

(a) In General.--Subpart B of part IV of subchapter A of
chapter 1, as amended by this Act, is amended by adding at
the end the following new section:

``SEC. 30G. CREDIT FOR TRANSPORTATION OF FOOD FOR CHARITABLE
PURPOSES.

``(a) Allowance of Credit.--There shall be allowed as a
credit against the tax imposed by this chapter for the
taxable year an amount equal to 25 cents for each mile for
which the taxpayer uses a qualified truck for a qualified
charitable purpose during the taxable year.
``(b) Qualified Charitable Purpose.--For purposes of this
section, the term `qualified charitable purpose' means the
transportation of food in connection with the hunger relief
efforts of an organization which is described in section
501(c)(3) and is exempt from taxation under section 501(a)
(other than a private foundation, as defined in section
509(a), which is not an operating foundation, as defined in
section 4942(j)(3)).
``(c) Qualified Truck.--For purposes of this section, the
term `qualified truck' means a truck which--
``(1) has a capacity of not less than 1,760 cubic square
feet,
``(2) is owned, leased, or operated by the taxpayer, and
``(3) is ordinarily used for hauling property in the course
of a business.
``(d) Other Rules.--
``(1) Denial of double benefit.--No credit shall be allowed
under this section with respect to any amount for which a
deduction is allowed under any other provision of this
chapter.
``(2) No credit where taxpayer is compensated.--No credit
shall be allowed under this section if the taxpayer receives
compensation in connection with the use of the qualified
truck for the qualified charitable purpose.
``(3) Capacity requirement.--No credit shall be allowed
under this section unless at least 50 percent of the hauling
capacity of the qualified truck (measured in cubic square
feet) is used for the qualified charitable purpose.''.
(b) Conforming Amendment.--The table of sections for
subpart B of part IV of subchapter A of chapter 1, as amended
by this Act, is amended by adding at the end the following
new item:

``Sec. 30G. Credit for transportation of food for charitable
purposes.''.

(c) Effective Date.--The amendments made by this section
shall apply to taxable years ending after December 31, 2007.
______

SA 3631. Mr. GRASSLEY (for himself and Mr. Kohl) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes, which was
ordered to lie on the table; as follows:

Strike section 10201 and insert the following:

SEC. 10201. SPECIAL COUNSEL FOR AGRICULTURAL COMPETITION.

(a) Definitions.--In this section:
(1) Agricultural commodity.--The term ``agricultural
commodity''--
(A) has the meaning given that term in section 102 of the
Agricultural Trade Act of 1978 (7 U.S.C. 5602); and
(B) does not include biofuels.
(2) Agricultural cooperative.--The term ``agricultural
cooperative'' means an association of persons that meets the
requirements of the Capper-Volstead Act (7 U.S.C. 291 et
seq.).
(3) Agricultural industry.--The term ``agricultural
industry''--
(A) means any dealer, processor, commission merchant, or
broker involved in the buying or selling of agricultural
commodities; and
(B) does not include sale or marketing at the retail level.
(4) Antitrust laws.--The term ``antitrust laws'' has the
meaning given that term in the first section of the Clayton
Act (15 U.S.C. 12).
(5) Assistant attorney general.--The term ``Assistant
Attorney General'' means the Assistant Attorney General in
charge of the Antitrust Division of the Department of
Justice.
(6) Biofuel.--The term ``biofuel'' has the meaning given
that term in section 9001 of the Farm Security and Rural
Investment Act of 2002, as amended by section 9001 of this
Act.
(7) Broker.--The term ``broker'' means any person
(excluding an agricultural cooperative) engaged in the
business of negotiating sales and purchases of any
agricultural commodity in commerce for or on behalf of the
vendor or the purchaser.
(8) Chairman.--The term ``Chairman'' means the Chairman of
the Federal Trade Commission.
(9) Commission merchant.--The term ``commission merchant''
means any person (excluding an agricultural cooperative)
engaged in the business of receiving in commerce any
agricultural commodity for sale, on commission, or for or on
behalf of another.
(10) Dealer.--The term ``dealer'' means any person
(excluding an agricultural cooperative) engaged in the
business of buying, selling, or marketing agricultural
commodities in commerce, except that no person shall be
considered a dealer with respect to sales or marketing of any
agricultural commodity produced by that person.
(11) Processor.--The term ``processor'' means any person
(excluding an agricultural cooperative) engaged in the
business of handling, preparing, or manufacturing (including
slaughtering) an agricultural commodity, or the products of
such agricultural commodity, for sale or marketing in
commerce for human consumption (excluding sale or marketing
at the retail level).
(12) Special counsel.--The term ``Special Counsel'' means
the Special Counsel for Agricultural Competition of the
Department of Agriculture established under section 11 of the
Packers and Stockyards Act, 1921, as added by this Act.
(13) Task force.--The term ``Task Force'' means the
Agriculture Competition Task Force established under
subsection (c).
(b) Deputy Assistant Attorney General for Agricultural
Antitrust Matters.--There is in the Antitrust Division of the
Department of Justice a Deputy Assistant Attorney General for
Agricultural Antitrust Matters, who shall--
(1) be responsible for oversight and coordination of
antitrust and related matters which affect agriculture,
directly or indirectly; and
(2) work in coordination with the Task Force and the
Department of Agriculture on all agricultural competition
matters.
(c) Agriculture Competition Task Force.--
(1) Establishment.--There is established, under the
authority of the Attorney General, the Agriculture
Competition Task Force, to examine problems in agricultural
competition.
(2) Membership.--The Task Force shall consist of--
(A) the Deputy Assistant Attorney General for Agricultural
Antitrust Matters, who shall serve as chairperson of the Task
Force;
(B) the Special Counsel;
(C) a representative from the Federal Trade Commission;
(D) a representative from the Department of Agriculture,
Office of Packers and Stockyards;
(E) 1 representative selected jointly by the attorneys
general of States desiring to participate in the Task Force;
(F) 1 representative selected jointly by the heads of the
departments of agriculture (or similar such agency) of States
desiring to participate in the Task Force;
(G) 8 individuals who represent the interests of small
family farmers, ranchers, independent producers, packers,
processors, and other components of the agricultural
industry--
(i) 2 of whom shall be selected by the Majority Leader of
the Senate;
(ii) 2 of whom shall be selected by the Minority Leader of
the Senate;
(iii) 2 of whom shall be selected by the Speaker of the
House of Representatives; and
(iv) 2 of whom shall be selected by the Minority Leader of
the House of Representatives; and
(H) 4 academics or other independent experts working in the
field of agriculture, agricultural law, antitrust law, or
economics--

[[Page S14329]]

(i) 1 of whom shall be selected by the Majority Leader of
the Senate;
(ii) 1 of whom shall be selected by the Minority Leader of
the Senate;
(iii) 1 of whom shall be selected by the Speaker of the
House of Representatives; and
(iv) 1 of whom shall be selected by the Minority Leader of
the House of Representatives.
(3) Duties.--The Task Force shall--
(A) study problems in competition in the agricultural
industry;
(B) define and focus the national public interest in
preserving an independent family farm and ranch sector;
(C) coordinate Federal and State activities to address
unfair and deceptive practices and concentration in the
agricultural industry;
(D) work with representatives from agriculture and rural
communities to identify abusive practices in the agricultural
industry;
(E) submit to Congress such reports as the Task Force
determines appropriate on the state of family farmers and
ranchers, and the impact of agricultural concentration and
unfair business practices on rural communities in the United
States; and
(F) make such recommendations to Congress as the Task Force
determines appropriate on agricultural competition issues,
which shall include any additional or dissenting views of the
members of the Task Force.
(4) Working group.--
(A) In general.--The Task Force shall establish a working
group on buyer power to--
(i) study the effects of concentration, monopsony, and
oligopsony in agriculture, make recommendations to the
Assistant Attorney General and the Chairman, and assist the
Assistant Attorney General and the Chairman in drafting
agricultural guidelines under subsection (e)(2); and
(ii) select certain agricultural mergers and acquisitions
that were consummated during the 10-year period ending on the
date of enactment of this Act, review the effects of such
mergers and acquisitions on competition in agricultural
commodities markets, and make recommendations to the
Assistant Attorney General, the Chairman, and the Secretary.
(B) Members.--The working group shall include any member of
the Task Force selected under paragraph (2)(H).
(5) Meetings.--
(A) First meeting.--The Task Force shall hold its initial
meeting not later than the later of--
(i) 90 days after the date of enactment of this Act; and
(ii) 30 days after the date of enactment of an Act making
appropriations to carry out this subsection.
(B) Minimum number.--The Task Force shall meet not less
than once each year, at the call of the chairperson.
(6) Compensation.--
(A) In general.--The members of the Task Force shall serve
without compensation.
(B) Travel expenses.--Members of the Task Force shall
receive travel expenses, including per diem in lieu of
subsistence, in accordance with subchapter I of chapter 57 of
title 5, United States Code.
(7) Staff of task force; experts and consultants.--
(A) Staff.--
(i) Appointment.--The chairperson of the Task Force may,
without regard to the provisions of chapter 51 of title 5,
United States Code (relating to appointments in the
competitive service), appoint and terminate an executive
director and such other staff as are necessary to enable the
Task Force to perform its duties. The appointment of an
executive director shall be subject to approval by the Task
Force.
(ii) Compensation.--The chairperson of the Task Force may
fix the compensation of the executive director and other
staff without regard to the provisions of chapter 51 and
subchapter III of chapter 53 of title 5, United States Code
(relating to classification of positions and General Schedule
pay rates), except that the rate of pay for the executive
director and other staff may not exceed the rate of basic pay
payable for level V of the Executive Schedule under section
5315 of title 5, United States Code, as in effect from time
to time.
(B) Experts and consultants.--The Task Force may procure
temporary and intermittent services of experts and
consultants in accordance with section 3109(b) of title 5,
United States Code.
(8) Powers of the task force.--
(A) Hearings and meetings.--The Task Force, or a member of
the Task Force if authorized by the Task Force, may hold such
hearings, sit and act at such time and places, take such
testimony, receive such evidence, and administer such oaths
or affirmations as the Task Force considers to be
appropriate.
(B) Official data.--The Task Force may obtain directly from
any executive agency (as defined in section 105 of title 5,
United States Code) or court information necessary to enable
it to carry out its duties under this subsection. On the
request of the chairperson of the Task Force, and consistent
with any other law, the head of an executive agency or of a
Federal court shall provide such information to the Task
Force.
(C) Facilities and support services.--The Administrator of
General Services shall provide to the Task Force on a
reimbursable basis such facilities and support services as
the Task Force may request. On request of the Task Force, the
head of an executive agency may make any of the facilities or
services of such agency available to the Task Force, on a
reimbursable or nonreimbursable basis, to assist the Task
Force in carrying out its duties under this subsection.
(D) Expenditures and contracts.--The Task Force or, on
authorization of the Task Force, a member of the Task Force
may make expenditures and enter into contracts for the
procurement of such supplies, services, and property as the
Task Force or such member considers to be appropriate for the
purpose of carrying out the duties of the Task Force. Such
expenditures and contracts may be made only to such extent or
in such amounts as are provided in advance in appropriation
Acts.
(E) Mails.--The Task Force may use the United States mails
in the same manner and under the same conditions as other
departments and agencies of the United States.
(F) Gifts, bequests, and devises.--The Task Force may
accept, use, and dispose of gifts, bequests, or devises of
services or property, both real and personal, for the purpose
of aiding or facilitating the work of the Task Force. Gifts,
bequests, or devises of money and proceeds from sales of
other property received as gifts, bequests, or devises shall
be deposited in the Treasury and shall be available for
disbursement upon order of the Task Force.
(9) Authorization of appropriations.--There are authorized
to be appropriated to carry out this subsection $1,000,000
for each of fiscal years 2008, 2009, and 2010.
(d) Authorization for Additional Staff and Funding.--There
are authorized to be appropriated such sums as are necessary
to hire additional employees (including agricultural law and
economics experts) for the Transportation, Energy, and
Agriculture Section of the Antitrust Division of the
Department of Justice, to enhance the review of agricultural
transactions and monitor, investigate, and prosecute unfair
and deceptive practices in the agricultural industry.
(e) Ensuring Full and Free Competition in Agriculture.--
(1) Burden of Proof.--Section 7 of the Clayton Act (15
U.S.C. 18) is amended by adding at the end the following:
``In this paragraph, the term `covered civil action' means
a civil action brought against any person for violating this
section in which the plaintiff alleges that the effect of a
merger, acquisition, or other transaction affecting commerce
may be to substantially lessen competition, or to tend to
create a monopoly, in the business of procuring agricultural
products from, or selling products to, agricultural producers
in one or more geographic areas, and establishes that a
merger, acquisition, or other transaction affecting commerce
is between or involves persons competing in the business of
procuring agricultural products from, or selling products to,
agricultural producers. In any covered civil action--
``(A) if the plaintiff is the Federal Government or a State
government, the burden of proof shall be on the defendant or
defendants to establish by a preponderance of the evidence
that the merger, acquisition, or transaction at issue will
not--
``(i) substantially lessen competition; or
``(ii) tend to create a monopoly in 1 or more geographic
markets; and
``(B) for any other plaintiff, if the plaintiff
demonstrates that the parties to the merger, acquisition, or
other transaction have a combined market share of not less
than 20 percent in any relevant market, the burden of proof
shall be on the defendant or defendants to establish by a
preponderance of the evidence that the merger, acquisition,
or transaction at issue will not--
``(i) substantially lessen competition; or
``(ii) tend to create a monopoly in 1 or more geographic
markets.''.
(2) Agricultural Guidelines.--
(A) Findings.--Congress finds the following:
(i) The effective enforcement of the antitrust laws in
agriculture requires that the antitrust enforcement agencies
have guidelines with respect to mergers and other
anticompetitive conduct that are properly adapted to the
special circumstances of agricultural commodity markets.
(ii) There has been a substantial increase in concentration
in the markets in which agricultural commodities are sold,
with the result that buyers of agricultural commodities often
possess regional dominance in the form of oligopsony or
monopsony relative to sellers of such commodities. A
substantial part of this increase in market concentration is
the direct result of mergers and acquisitions that the
antitrust enforcement agencies did not challenge, in large
part because of the lack of appropriate guidelines
identifying particular structural characteristics in the
agricultural industry and the adverse competitive effects
that such acquisitions and mergers would create.
(iii) The cost of transportation, impact on quality, and
delay in sales of agricultural commodities if they are to be
transported to more distant buyers result in narrow
geographic markets with respect to buyer power.
(iv) Buyers have no economic incentive to bid up the price
of agricultural commodities in the absence of effective
competition. Further, the nature of buying makes it feasible
for larger numbers of buyers to engage in tacit or overt
collusion to restrain price competition.
(v) Buyers with oligopsonistic or monopsonistic power have
incentives to engage in unfair, exploitive, discriminatory,

[[Page S14330]]

and exclusionary acts that cause producers of agricultural
commodities to receive less than a competitive price for
their goods, transfer economic risks to sellers without
reasonable compensation, and exclude sellers from access to
the market.
(vi) Markets for agricultural commodities often involve
contexts in which many producers have relatively limited
information and no bargaining power with respect to the sale
of their commodities. These conditions invite buyers with
significant oligopsonistic or monopsonistic power to exercise
that power in ways that involve discrimination, exploitation,
and undue differentiation among sellers.
(vii) Some Federal courts have incorrectly required a
plaintiff to show harm to competition generally, in addition
to harm to the producer of agricultural commodities when
making a determination that an unfair, unjustly
discriminatory, deceptive, or preferential act exists. Those
same courts have also incorrectly held that it is a complete
defense if a defendant can show any nonharmful justification
for an act or practice, even though such conduct was not
essential to the business activities of the defendant or
there were less harmful ways to achieve a reasonably
comparable result with respect to the legitimate and
necessary interests of the defendant.
(B) Issuance of guidelines.--The Assistant Attorney General
and the Chairman, in consultation with the Special Counsel,
shall issue agricultural guidelines informed and guided by
the findings under subparagraph (A) that--
(i) facilitate a fair, open, accessible, transparent, and
efficient market system for agricultural products;
(ii) reflect the national public interest in preserving a
substantial and diverse family farm and ranch sector;
(iii) recognize that increasing competition in the purchase
of agricultural products by highly concentrated firms from a
sector in perfect competition is entirely consistent with the
objective of the antitrust laws to protect consumers and
enhance consumer benefits from competition; and
(iv) prevent any merger or acquisition in the agricultural
industry, if the effect of that merger or acquisition may be
to substantially lessen competition or tend to create a
monopoly.
(C) Contents.--The agricultural guidelines issued under
subparagraph (B) shall consist of merger guidelines relating
to existing and potential competition and vertical
integration that--
(i) establish appropriate methodologies for determining the
geographic and product markets for mergers affecting
agricultural commodity markets;
(ii) establish thresholds of increased concentration that
raise a presumption that the merger will have an adverse
effect on competition in the affected agricultural
commodities markets;
(iii) identify potential adverse competitive effects of
mergers in agricultural commodities markets in a nonexclusive
manner; and
(iv) identify the factors that would permit an enforcement
agency to determine when a merger in the agricultural
commodities market might avoid liability because it is not
likely to have an adverse effect on competition.
(3) Agriculture Competition Task Force Working Group on
Buying Power.--
(A) In general.--In issuing agricultural guidelines under
this subsection, the Chairman and the Assistant Attorney
General shall consult with the working group on buyer power
of the Task Force established under subsection (c)(4) and may
incorporate and implement the recommendations of that working
group.
(B) Explanation.--If the Chairman and the Assistant
Attorney General do not incorporate any recommendation of the
working group on buyer power of the Task Force established
under subsection (c)(4) in the agricultural guidelines issued
under this subsection, the Chairman and the Assistant
Attorney General shall submit to Congress a report regarding
the reasons for not adopting that recommendation.
(4) Completion.--Not later than 2 years after the date of
enactment of this Act, the Chairman and the Assistant
Attorney General shall--
(A) issue agricultural guidelines under this subsection;
and
(B) submit to Congress the agricultural guidelines issued
under this subsection.
(5) Report.--Not later than 30 months after the date of
enactment of this Act, the Chairman and the Assistant
Attorney General shall jointly submit a report to the
Committee on the Judiciary of the Senate and the Committee on
the Judiciary of the House of Representatives regarding the
issuing of agricultural guidelines under this subsection.
(f) Post-Merger Review of Agricultural Transactions.--
(1) In general.--Not later than 5 years after the date of a
covered merger or acquisition, the Assistant Attorney General
or the Chairman, as the case may be, shall conduct a post-
merger review to determine whether the effect of that covered
merger or acquisition tended to substantially reduce
competition in the agricultural industry.
(2) Sharing of results.--
(A) In general.--The Assistant Attorney General and the
Chairman shall each submit to Congress an annual report
regarding the results of any post-merger review under
paragraph (1), for its consideration in examining problems in
agricultural competition.
(B) Protection of information.--The Assistant Attorney
General or the Chairman, as the case may be, shall ensure
that confidential or proprietary information is adequately
protected in submitting each report required under
subparagraph (A).
(3) Definition.--In this subsection, the term ``covered
merger or acquisition'' means a merger or acquisition--
(A) in the agricultural industry;
(B) that is subject to the notification requirements under
section 7A of the Clayton Act (15 U.S.C. 18a);
(C) for which the Assistant Attorney General or the
Chairman, as the case may be, required the submission of
additional information or documentary material under section
7A(e)(1)(A) of the Clayton Act (15 U.S.C. 18a(e)(1)(A)); and
(D) for which, after review under that section, the
Assistant Attorney General or the Chairman, as the case may
be--
(i) did not institute a proceeding or action under the
antitrust laws; or
(ii) instituted a proceeding or action under the antitrust
laws that was resolved through a settlement agreement or
consent decree.
(g) Special Counsel for Agricultural Competition.--
(1) In general.--The Packers and Stockyards Act, 1921 (7
U.S.C. 181 et seq.) is amended--
(A) by striking the title I heading and all that follows
through ``This Act'' and inserting the following:

``TITLE I--GENERAL PROVISIONS

``Subtitle A--Definitions

``SEC. 1. SHORT TITLE.

``This Act''; and
(B) by inserting after section 2 (7 U.S.C. 183) the
following:

``Subtitle B--Special Counsel for Agricultural Competition

``SEC. 11. SPECIAL COUNSEL FOR AGRICULTURAL COMPETITION.

``(a) Establishment.--
``(1) In general.--There is established within the
Department of Agriculture an office to be known as the
`Office of Special Counsel for Agricultural Competition'
(referred to in this section as the `Office').
``(2) Duties.--The Office shall--
``(A) have responsibility for all duties and functions of
the Packers and Stockyards programs of the Department of
Agriculture;
``(B) investigate and prosecute violations of this Act and
the Agricultural Fair Practices Act of 1967 (7 U.S.C. 2301 et
seq.);
``(C) analyze mergers within the food and agricultural
sectors, in consultation with the Chief Economist of the
Department of Agriculture, the Assistant Attorney General in
charge of the Antitrust Division of the Department of
Justice, and the Chairman of the Federal Trade Commission, as
required under section 10201(h) of the Food and Energy
Security Act of 2007;
``(D) serve as a liaison between, and act in consultation
with, the Department of Agriculture, the Department of
Justice, and the Federal Trade Commission with respect to
competition and trade practices in the food and agricultural
sector; and
``(E) maintain sufficient employees (including antitrust
and litigation attorneys, economists, investigators, and
other professionals with the appropriate expertise) to
appropriately carry out the responsibilities of the Office.
``(b) Special Counsel for Agricultural Competition.--
``(1) In general.--The Office shall be headed by the
Special Counsel for Agricultural Competition (referred to in
this section as the `Special Counsel'), who shall be
appointed by the President, by and with the advice and
consent of the Senate.
``(2) Independence of special authority.--
``(A) In general.--The Special Counsel shall report to and
be under the general supervision of the Secretary.
``(B) Direction, control, and support.--The Special Counsel
shall be free from the direction and control of any person in
the Department of Agriculture other than the Secretary.
``(C) Prohibition on delegation.--The Secretary may not
delegate any duty described in subsection (a)(2) to any other
officer or employee of the Department other than the Special
Counsel.
``(D) Reporting requirement.--
``(i) In general.--Twice each year, the Special Counsel
shall submit to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate a report that shall include, for
the relevant reporting period, a description of--

``(I) the number of complaints that the Special Counsel has
received and closed;
``(II)(aa) the number of investigations and civil and
administrative actions that the Special Counsel has
initiated, carried out, and completed, including the number
of notices given to regulated entities for violations of this
Act or the Agricultural Fair Practices Act of 1967 (7 U.S.C.
2301 et seq.);
``(bb) the number and types of decisions agreed to; and
``(cc) the number of stipulation agreements; and
``(III) the number of investigations and civil and
administrative actions that the Secretary objected to or
prohibited from being carried out, and the stated purpose of
the Secretary for each objection or prohibition.

[[Page S14331]]

``(ii) Requirement.--The basis for each complaint,
investigation, or civil or administrative action described in
a report under clause (i) shall--

``(I) be organized by species; and
``(II) indicate if the complaint, investigation, or civil
or administration action was for anti-competitive, unfair, or
deceptive practices under this Act or was a violation of the
Agricultural Fair Practices Act of 1967 (7 U.S.C. 2301 et
seq.).

``(E) Removal.--
``(i) In general.--The Special Counsel may be removed from
office by the President.
``(ii) Communication.--The President shall communicate the
reasons for any such removal to both Houses of Congress.
``(3) Prosecutorial authority.--Subject to paragraph (4),
the Special Counsel may commence, defend, or intervene in,
and supervise the litigation of, any civil or administrative
action authorized under this Act or the Agricultural Fair
Practices Act of 1967 (7 U.S.C. 2301 et seq.).
``(4) Procedure for exercise of authority to litigate or
appeal.--
``(A) In general.--Prior to commencing, defending, or
intervening in any civil action under this Act or the
Agricultural Fair Practices Act of 1967 (7 U.S.C. 2301 et
seq.), the Special Counsel shall give written notification
to, and attempt to consult with, the Attorney General with
respect to the proposed action.
``(B) Failure to respond.--If, not later than 45 days after
the date of provision of notification under subparagraph (A),
the Attorney General has failed to commence, defend, or
intervene in the proposed action, the Special Counsel may
commence, defend, or intervene in, and supervise the
litigation of, the action and any appeal of the action in the
name of the Special Counsel.
``(C) Authority of attorney general to intervene.--Nothing
in this paragraph precludes the Attorney General from
intervening on behalf of the United States in any civil
action under this Act or the Agricultural Fair Practices Act
of 1967 (7 U.S.C. 2301 et seq.), or in any appeal of such
action, as may be otherwise provided by law.
``(c) Relationship to Other Provisions.--Nothing in this
section modifies or otherwise effects subsections (a) and (b)
of section 406.
``(d) Authorization.--There are authorized to be
appropriated such sums as are necessary to carry out
subsection (a)(2)(E).''.
(2) Conforming amendment.--Section 5315 of title 5, United
States Code, is amended by adding at the end the following:
``Special Counsel for Agricultural Competition.''.
(h) Agribusiness Merger Review and Enforcement by the
Department of Agriculture.--
(1) Notice.--The Assistant Attorney General or the
Commissioner, as appropriate, shall notify the Secretary of
any filing under section 7A of the Clayton Act (15 U.S.C.
18a) involving a merger or acquisition in the agricultural
industry, and shall give the Secretary the opportunity to
participate in the review proceedings.
(2) Review.--
(A) In general.--After receiving notice of a merger or
acquisition under paragraph (1), the Secretary may submit to
the Assistant Attorney General or the Commissioner, as
appropriate, and publish the comments of the Secretary
regarding that merger or acquisition, including a
determination regarding whether the merger or acquisition may
have a substantial adverse impact on rural communities or the
family farm and ranch sector, such that further review by the
Assistant Attorney General or the Commissioner, as
appropriate, is warranted.
(B) Second requests.--For any merger or acquisition
described in paragraph (1), if the Assistant Attorney General
or the Chairman, as the case may be, requires the submission
of additional information or documentary material under
section 7A(e)(1)(A) of the Clayton Act (15 U.S.C.
18a(e)(1)(A))--
(i) copies of any materials provided in response to such a
request shall be made available to the Secretary; and
(ii) the Secretary--

(I) shall submit to the Assistant Attorney General or the
Chairman such additional comments as the Secretary determines
appropriate; and
(II) shall publish a summary of any comments submitted
under subclause (I).

(3) Report.--
(A) In general.--The Secretary shall submit an annual
report to Congress regarding the review of mergers and
acquisitions described in paragraph (1).
(B) Contents.--Each report submitted under subparagraph (A)
shall provide a description of each merger or acquisition
described in paragraph (1) that was reviewed by the Secretary
during the year before the date that report is submitted,
including--
(i) the name and total resources of each entity involved in
that merger or acquisition;
(ii) a statement of the views of the Secretary regarding
the competitive effects of that merger or acquisition on--

(I) agricultural markets; and
(II) rural communities and small, independent producers;
and

(iii) a statement indicating whether the Assistant Attorney
General or the Chairman, as the case may be, instituted a
proceeding or action under the antitrust laws, and if so, the
status of that proceeding or action.
(i) Authorization for Additional Staff and Funding for the
Grain Inspection, Packers, and Stockyards Administration.--
There are authorized to be appropriated such sums as are
necessary to enhance the capability of the Grain Inspection,
Packers, and Stockyards Administration to monitor,
investigate, and pursue the competitive implications of
structural changes in the meat packing and poultry industries
by hiring litigating attorneys to allow the Grain Inspection,
Packers, and Stockyards Administration to more
comprehensively and effectively pursue its enforcement
activities.
______

SA 3632. Mr. COBURN submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 394, after line 25, add the following:
(d) Income Requirement.--Section 1240B of the Food Security
Act of 1985 (16 U.S.C. 3839aa-2) (as amended by subsection
(c)) is amended by adding at the end the following:
``(i) Income Requirement.--A producer shall not be eligible
to receive any payment under this section unless not less
than 66.66 percent of the average adjusted gross income of
the producer is derived from farming, ranching, or forestry
operations, as determined by the Secretary.''.
______

SA 3633. Ms. MIKULSKI submitted an amendment intended to be proposed
by her to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. __. H-2B NONIMMIGRANTS.

(a) Short Title.--This section may be cited as the ``Save
Our Small and Seasonal Businesses Act of 2007''.
(b) Extension of Returning Worker Exemption to H-2B
Numerical Limitation.--Section 214(g)(9)(A) of the
Immigration and Nationality Act (8 U.S.C. 1184(g)(9)(A) is
amended, by striking ``an alien who has already been counted
toward the numerical limitation of paragraph (1)(B) during
fiscal year 2004, 2005, or 2006 shall not again be counted
toward such limitation during fiscal year 2007.'' and
inserting ``an alien who has been present in the United
States as an H-2B nonimmigrant during any 1 of the 3 fiscal
years immediately preceding the fiscal year of the approved
start date of a petition for a nonimmigrant worker described
in section 101(a)(15)(H)(ii)(b) shall not be counted toward
such limitation for the fiscal year in which the petition is
approved.''.
(c) Effective Date.--The amendment made by this section
shall be effective during the 5-year period beginning on
October 1, 2007.
______

SA 3634. Ms. CANTWELL (for herself, Mrs. Murray, Mr. Wyden, Ms.
Stabenow, Mr. Craig, and Mr. Casey) submitted an amendment intended to
be proposed by her to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

Beginning on page 1378, strike line 17 and all that follows
through page 1380, line 14, and insert the following:
``(e) Tree Assistance Program.--
``(1) Definitions.--In this subsection:
``(A) Eligible orchardist.--The term `eligible orchardist'
means a person that produces annual crops from trees for
commercial purposes.
``(B) Natural disaster.--The term `natural disaster' means
plant disease, insect infestation, drought, fire, freeze,
flood, earthquake, lightning, or other occurrence, as
determined by the Secretary.
``(C) Nursery tree grower.--The term `nursery tree grower'
means a person who produces nursery, ornamental, fruit, nut,
or Christmas trees for commercial sale, as determined by the
Secretary.
``(D) Tree.--The term `tree' includes a tree, bush, and
vine.
``(2) Eligibility.--
``(A) Loss.--Subject to subparagraph (B), the Secretary
shall provide assistance under paragraph (3) to eligible
orchardists and nursery tree growers that planted trees for
commercial purposes but lost the trees as a result of a
natural disaster, as determined by the Secretary.
``(B) Limitation.--An eligible orchardist shall qualify for
assistance under subparagraph (A) only if the tree mortality
of the eligible orchardist or nursery tree grower, as a
result of damaging weather or related condition, exceeds 15
percent (adjusted for normal mortality).
``(3) Assistance.--Subject to paragraph (4), the assistance
provided by the Secretary to eligible orchardists and nursery
tree growers for losses described in paragraph (2) shall
consist of--
``(A)(i) reimbursement of 75 percent of the cost of
replanting trees lost due to a natural disaster, as
determined by the Secretary, in excess of 15 percent
mortality (adjusted for normal mortality); or

[[Page S14332]]

``(ii) at the option of the Secretary, sufficient seedlings
to reestablish a stand; and
``(B) reimbursement of 50 percent of the cost of pruning,
removal, and other costs incurred by an eligible orchardist
or nursery tree grower to salvage existing trees or, in the
case of tree mortality, to prepare the land to replant trees
as a result of damage or tree mortality due to a natural
disaster, as determined by the Secretary, in excess of 15
percent damage or mortality (adjusted for normal tree damage
and mortality).
``(4) Limitations on assistance.--
``(A) Amount.--The total amount of payments that a person
shall be entitled to receive under this subsection may not
exceed $100,000 per year, or an equivalent value in tree
seedlings.
``(B) Acres.--The total quantity of acres planted to trees
or tree seedlings for which a person shall be entitled to
receive payments under this subsection may not exceed 500
acres.
``(C) Regulations.--The Secretary shall promulgate --
``(i) regulations defining the term `person' for the
purposes of this subsection, which shall conform, to the
maximum extent practicable, to the regulations defining the
term `person' promulgated under section 1001 of the Food
Security Act of 1985 (7 U.S.C. 1308); and
``(ii) such regulations as the Secretary determines
necessary to ensure a fair and reasonable application of the
limitation established under this paragraph.''.
On page 1390, between lines 9 and 10, insert the following:
``(5) Exception.--Paragraph (1) does not apply to eligible
orchardists and nursery tree growers described in subsection
(e).''.
On page 1391, line 11, before the period at the end insert
``(other than subsection (e))''.
______

SA 3635. Ms. CANTWELL (for herself and Mrs. Murray) submitted an
amendment intended to be proposed by her to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

Section 1841 is amended by striking subsection (b) and
inserting the following:
(b) Availability of Funds.--Section 101 of the Specialty
Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public
Law 108-465) is amended by striking subsection (i) and
inserting the following:
``(i) Funding.--Of the funds of the Commodity Credit
Corporation, the Secretary of Agriculture shall make grants
under this section, using--
``(1) $85,000,000 for fiscal year 2008;
``(2) $90,000,000 for fiscal year 2009;
``(3) $95,000,000 for fiscal year 2010;
``(4) $95,000,000 for fiscal year 2011; and
``(5) $0 for fiscal year 2012.''.
At the end of title I, add the following:

Subtitle H--Reduction in Funds

SEC. 19__. REDUCTION IN FUNDS.

(a) In General.--Except as provided in subsection (b) and
notwithstanding any other provision of this Act or an
amendment made by this Act, for the period beginning on
October 1, 2007, and ending on September 30, 2011--
(1) each amount provided to carry out administration for a
program under this Act or an amendment made by this Act is
reduced by an amount necessary to achieve a total reduction
of $95,000,000; and
(2) the Secretary shall adjust the amount of each payment,
loan, gain, or other assistance provided under each program
described in paragraph (1) by such amount as is necessary to
achieve the reduction required under that paragraph, as
determined by the Secretary.
(b) Application.--This section does not apply to a payment,
loan, gain, or other assistance provided under a contract
entered into by the Secretary before the date of enactment of
this Act.
______

SA 3636. Mrs. MURRAY (for herself, Ms. Cantwell, Mr. Schumer, and Mr.
Wyden) submitted an amendment intended to be proposed by her to the
bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 243, strike lines 2 through 12 and insert the
following:
``(1) In general.--The Secretary shall make available to
carry out the program under this section--
``(A) $9,000,000 of funds of, or an equal value of
commodities owned by, the Commodity Credit Corporation for
each of fiscal years 2008 through 2011; and
``(B) $2,000,000 of funds of, or an equal value of
commodities owned by, the Commodity Credit Corporation for
fiscal year 2012 and each subsequent fiscal year.''.
On page 299, between lines 15 and 16, insert the following:

Subtitle H--Reduction in Funds

SEC. 19__. REDUCTION IN FUNDS.

Notwithstanding any other provision of this Act or an
amendment made by this Act, for the period beginning on
October 1, 2007, and ending on September 30, 2011, each
amount provided to carry out administration for a program
under this Act or an amendment made by this Act is reduced by
an amount necessary to achieve a total reduction of
$8,800,000.
______

SA 3637. Mrs. MURRAY (for herself and Ms. Cantwell) submitted an
amendment intended to be proposed by her to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

After section 2613, insert the following:

SEC. 26__. COMPREHENSIVE CONSERVATION PLANNING FOR PUGET
SOUND AREA.

(a) Grant Program.--
(1) In general.--The Secretary shall carry out a
competitive grant program for the Puget Sound area to provide
comprehensive conservation planning to address water quality.
(2) Cooperative agreements.--The Secretary shall enter into
cooperative agreements with State and local governments,
Indian tribes, or nongovernmental entities with a history of
working with agricultural producers to carry out projects
under the program.
(b) Assistance.--In carrying out the program, the Secretary
may--
(1) provide project demonstration grants and technical
assistance and carry out information and education programs
to improve water quality in the Puget Sound area by reducing
soil erosion and improving sediment control; and
(2) provide a priority for projects and activities that
directly reduce soil erosion or improve water quality.
(c) Authorization of Appropriations.--There is authorized
to be appropriated to the Secretary $5,000,000 for each of
fiscal years 2008 through 2012 to carry out the program.
______

SA 3638. Mrs. MURRAY (for herself and Ms. Cantwell) submitted an
amendment intended to be proposed by her to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 309, strike lines 7 through 22 and insert the
following:
``(D) Exceptions.--The Secretary may exceed the limitations
limitation in subparagraph (A) if the Secretary determines
that--
``(i)(I) the action would not adversely affect the local
economy of a county; and
``(II) operators in the county are having difficulties
complying with conservation plans implemented under section
1212;
``(ii)(I) the acreage to be enrolled could not be used for
an agricultural purpose as a result of a State or local law,
order, or regulation prohibiting water use for agricultural
production; and
``(II) enrollment in the program would benefit the acreage
enrolled or land adjacent to the acreage enrolled; or
``(iii)(I) the acreage to be enrolled is considered to be
essential by Federal or State plans for a sustainable
wildlife habitat; and
``(II) enrollment in the program would assist the producer
in meeting environmental goals in the Federal or State
plans.''.
______

SA 3639. Mr. HARKIN (for himself and Ms. Murkowski) submitted an
amendment intended to be proposed by him to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

After section 4402, insert the following:

SEC. __. NUTRITION STANDARDS FOR FOODS AND BEVERAGES SOLD IN
SCHOOLS.

(a) In General.--Section 10 of the Child Nutrition Act of
1966 (42 U.S.C. 1779) is amended to read as follows:

``SEC. 10. NUTRITION STANDARDS FOR FOODS AND BEVERAGES SOLD
IN SCHOOLS.

``(a) Definitions.--In this section:
``(1) Applicable.--
``(A) In general.--The term `applicable' means, with
respect to a food or beverage, a food or beverage that is
offered for sale--
``(i) on the school campus; and
``(ii) at any time during the extended school day, when
events are primarily under the control of the school or a
third party on behalf of the school.
``(B) Exclusions.--The term `applicable' does not include,
with respect to a food or beverage, a food or beverage when
the food or beverage is sold as a part of a meal or meal
supplement that is eligible for reimbursement under this Act
or the Richard B. Russell National School Lunch Act (42
U.S.C. 1751 et seq.).
``(2) Extended school day.--The term `extended school day'
means--
``(A) the official school day; and
``(B) the time before and after the official school day
that includes activities, such as clubs, yearbook, band and
choir practice, student government, drama, and childcare or
latchkey programs.
``(b) Requirement.--
``(1) In general.--Except as provided in paragraphs (2) and
(3), each applicable food and beverage that is offered for
sale in an elementary school, middle school, or high school
during the extended school day shall meet the requirements
established under this section with respect to each serving
or package as offered for sale.
``(2) Exception.--Paragraph (1) shall not apply to or
affect--

[[Page S14333]]

``(A) a food or beverage that is sold for the purpose of a
school-sponsored or school-related bona fide fundraising
activity that does not take place--
``(i) on school grounds; or
``(ii) in transit to or from school;
``(B) a food or beverage that is sold at, or immediately
before or after, a school-related event at which parents and
other adults comprise a significant part of an audience; or
``(C) a fundraiser (other than fundraising through vending
machines, school stores, snack bars, a la carte sales, and
any other exclusions determined by the Secretary), if the
fundraiser is--
``(i) approved by the school; and
``(ii) infrequent within the school.
``(3) A la carte main dish items.--
``(A) In general.--The Secretary shall promulgate
regulations establishing nutrition standards for main dish
items covered by paragraph (1) that are offered for sale a la
carte.
``(B) Considerations.--In establishing the standards, the
Secretary shall consider both the positive and negative
contribution of nutrients, ingredients, and foods in a la
carte items (including calories, portion size, saturated fat,
trans fat, sodium, added sugars, and under-consumed food
groups and nutrients) to the diets of children and
adolescents.
``(C) Regulations.--Regulations promulgated under this
paragraph shall be--
``(i) in accordance with rulemaking under section 553 of
title 5, United States Code; and
``(ii) subject to review by the Office of Management and
Budget.
``(4) Statewide nutrition standards.--
``(A) In general.--Except as provided in subparagraph (B),
any State that participates in a food-service program under
this Act or the Richard B. Russell National School Lunch Act
(42 U.S.C. 1751 et seq.) may not establish or continue in
effect any statewide nutrition standards relating to
applicable foods and beverages that are different than the
standards established under this section.
``(B) Exception.--Subparagraph (A) does not apply to or
affect--
``(i) any Federal or State law relating to consumer
protection, unfair or deceptive practices, unfair
competition, or marketing;
``(ii) any additional nutrition standard relating to
applicable foods and beverages that is established by any
political subdivision of a State; or
``(iii) any additional nutrition standard for an a la carte
main dish item that is established by any State or political
subdivision.
``(c) Applicable Beverages.--
``(1) Elementary schools and middle schools.--
``(A) Package sizes.--Except as provided in subparagraph
(B)(ii), the package of any applicable beverage that is
offered for sale in an elementary school or middle school
shall be not more than 8 fluid ounces.
``(B) Water.--Water offered for sale in an elementary
school or middle school may--
``(i) only be water without flavoring, sweeteners, or
carbonation; and
``(ii) be sold in a package size of more than 8 fluid
ounces.
``(C) Milk.--Milk offered for sale in an elementary school
or middle school--
``(i) shall be low-fat or non-fat; and
``(ii) shall contain not more than 170 calories per 8 fluid
ounce serving.
``(D) Fluid milk substitutes.--An elementary or middle
school may offer for sale a fluid milk substitute that--
``(i) is consistent with the nutrition standards for fluid
milk substitutes that are established by the Secretary for
use under this Act or the Richard B. Russell National School
Lunch Act (42 U.S.C. 1751 et seq.); and
``(ii) contains not more than 170 calories per 8 fluid
ounce serving.
``(E) Juice.--Juice offered for sale in an elementary
school or middle school may contain--
``(i) only juice, with or without added micronutrients or
natural flavors--

``(I) with no added sweeteners; and
``(II) with or without water or carbonated water; and

``(ii) not more than 170 calories per 8 fluid ounce
serving.
``(2) High schools.--
``(A) Package sizes.--Except as provided in subparagraphs
(B)(ii) and (F)(iii), the package of any applicable beverage
offered for sale in a high school shall be not more than 12
fluid ounces.
``(B) Water.--Water offered for sale in a high school may--
``(i) be water with or without flavoring, noncaloric
sweeteners, or carbonation; and
``(ii) be sold in a package size of more than 12 ounces.
``(C) Milk.--Milk offered for sale in a high school shall--
``(i) be low-fat or nonfat; and
``(ii) contain not more than 170 calories per 8 fluid ounce
serving.
``(D) Fluid milk substitutes.--A high school may offer for
sale a fluid milk substitute that--
``(i) is consistent with the nutrition standards for fluid
milk substitutes that are established by the Secretary for
use under this Act or the Richard B. Russell National School
Lunch Act (42 U.S.C. 1751 et seq.); and
``(ii) contains not more than 170 calories per 8 fluid
ounce serving.
``(E) Juice.--Juice offered for sale in a high school may
only contain juice, with or without added micronutrients or
natural flavors--
``(i)(I) with no added sweeteners; or
``(II) with or without water or carbonated water with no
added caloric sweeteners; and
``(ii) that contains not more than 170 calories per 8 fluid
ounce serving.
``(F) Other beverages.--
``(i) In general.--Except as provided in clauses (ii) and
(iii), any beverage offered for sale in a high school other
than a beverage identified in subparagraph (B), (C), (D), or
(E), shall contain--

``(I) during the period beginning on the effective date
described in subsection (j) and ending on June 30, 2013, not
more than 66 calories per 8 fluid ounce serving; and
``(II) effective beginning on July 1, 2013, not more than
25 calories per 8 fluid ounce serving.

``(ii) Exception.--Effective beginning on July 1, 2013,
beverages that are mixtures of water, carbohydrates, and
electrolytes (with or without other ingredients) that are
useful for providing energy and hydration for sustained and
vigorous physical activity with not more than 66 calories per
8 fluid ounces may be offered for sale in packages of not
more than 12 fluid ounces in or immediately adjacent to an
area of the high school in which students participate in a
school-sponsored sport or other vigorous and sustained
physical activity, subject to the requirement that such an
adjacent area shall not be within the general movement of
students between classes or into or out of the school campus.
``(iii) Very low calorie exception.--Any beverage that
contains between 0 and 10 calories per 8 fluid ounce serving
may be offered for sale in a high school in a package of not
more than 20 fluid ounces.
``(d) Applicable Food.--
``(1) Standards.--
``(A) Fats.--An applicable food shall contain--
``(i) not more than 35 percent of total calories from fat,
except for--

``(I) seeds, nuts, nut butters, and nut-based products
containing 40 percent or more nuts by weight; and
``(II) reduced-fat and part skim cheese packaged for
individual sale;

``(ii) not more than 10 percent of total calories from
saturated fat, except for reduced-fat and part skim cheese
packaged for individual sale; and
``(iii) less than 0.5 grams of trans fats.
``(B) Sugars.--An applicable food shall consist of not more
than 35 percent sugars by weight, excluding sugar from whole
fruit.
``(C) Sodium.--An applicable food shall contain, per
package or serving as offered for sale--
``(i) in the case of chips, crackers, French fries,
vegetables, baked goods, yogurt (including drinkable yogurt
and yogurt smoothies), and other side dishes or snack items,
not more than 230 milligrams of sodium per serving; and
``(ii) in the case of pastas that are side dishes, cereals,
meats, and soups, not more than 480 milligrams of sodium per
serving.
``(2) Required contents.--Each applicable food that is
offered for sale in an elementary school, middle school, or
high school shall contain 1 or more of the following:
``(A) 10 percent of the daily recommended value of 1 or
more of the following:
``(i) Vitamin A, E, or C.
``(ii) Calcium.
``(iii) Magnesium.
``(iv) Potassium.
``(v) Fiber.
``(B) \1/4\ cup of a fruit or vegetable, as provided prior
to processing.
``(C) 51 percent or more by weight whole grain ingredients
or have a whole grain as the first ingredient.
``(3) Calories.--
``(A) Elementary schools and middle schools.--An applicable
food that is offered for sale in an elementary school or
middle school shall contain not more than 180 calories per
package or serving as offered for sale.
``(B) High schools.--An applicable food that is offered for
sale in a high school shall contain not more than 200
calories per package or serving as offered for sale.
``(e) Shared School Facilities.--Notwithstanding subsection
(c)(1) or (d)(3)(A), if elementary school or middle school
students have shared access to areas in common buildings with
high school students, the local educational authority may
elect whether to apply in those areas the applicable beverage
provisions in paragraph (1) or (2) of subsection (c) or the
applicable food provisions in subparagraph (A) or (B) of
subsection (d)(3).
``(f) Approval of New Products.--The Secretary may approve
for sale in schools a new food or beverage that does not
satisfy the applicable food and beverage requirements of this
section if the Secretary (based on a rulemaking conducted
under section 553 of title 5, United States Code, prior to
approval)--
``(1) determines that the sale of the new food or beverage
does not undermine the purposes of this section; and
``(2) provides scientific justification for the approval.
``(g) Updating Standards and Requirements.--
``(1) In general.--As soon as practicable after the date of
publication by the Department of Agriculture and the
Department of Health and Human Services of a new edition of
the Dietary Guidelines for Americans under section 301 of the
National Nutrition Monitoring and Related Research Act of
1990

[[Page S14334]]

(7 U.S.C. 5341), beginning with the 2015 edition, the
Secretary shall review and update as necessary the school
nutrition standards and requirements established under this
section.
``(2) Requirements.--In reviewing or updating the nutrition
standards and requirements under this section, the Secretary
shall take into consideration--
``(A) the positive and negative contributions of nutrients,
ingredients, and foods (including calories, vitamins,
minerals, portion size, saturated fat, trans fat, sodium,
added sugars, and underconsumed food groups and nutrients) to
the diets of children and adolescents;
``(B) evidence concerning the relationship between
consumption of certain nutrients, ingredients, and foods with
respect to the prevention of overweight, obesity, and other
chronic illnesses;
``(C) recommendations made by authoritative scientific
sources concerning--
``(i) appropriate nutrition standards for foods sold
outside the reimbursable meal programs in schools; and
``(ii) the most effective manner in which to teach children
and adolescents how to improve dietary habits; and
``(D) the practicality and feasibility of implementation of
potential modifications to the nutrition standards and
requirements.
``(3) Limitation on authority.--The Secretary may update or
otherwise modify nutrition standards and requirements under
this section only--
``(A) in accordance with rulemaking under section 553 of
title 5, United States Code; and
``(B) subject to review by the Office of Management and
Budget.
``(4) Effect of updated standards.--Updated school
nutrition standards and requirements under this subsection
shall supersede any other school nutrition standards or
requirements in effect on the date on which the updated
standards and requirements are implemented.
``(h) School Food and Beverage Advisory Committee.--
``(1) In general.--The Secretary may establish an advisory
committee, to be known as the `School Food and Beverage
Advisory Committee' (in this subsection referred to as the
`Advisory Committee'), to advise the Secretary on updating
the school nutrition standards and requirements under this
section.
``(2) Membership.--The members of the Advisory Committee
shall be appointed by the Secretary and shall include--
``(A) registered dietitians and certified nutritionists;
``(B) school officials, such as school food service
directors, principals, or school board members;
``(C) public health professionals, including physicians and
dentists;
``(D) members of parent or consumer advocacy groups;
``(E) representatives of industry stakeholders that produce
food and beverages offered for sale in schools; and
``(F) other individuals with relevant expertise in child
health and nutrition.
``(3) Duties.--
``(A) In general.--The Advisory Committee shall provide
advice, information, and recommendations to the Secretary on
implementation of this section and on other child health and
nutrition issues related to the provision of foods and
beverages in schools, as requested by the Secretary.
``(B) Scientific justification.--The Advisory Committee
shall provide--
``(i) scientific justification for any recommended
modification to the provisions regarding applicable foods and
beverages under this section; and
``(ii) anticipated nutrition and health benefits if the
recommended modification is adopted.
``(i) Guidance.--
``(1) In general.--The Secretary shall develop guidance to
help local educational authorities and school food
authorities identify beverage and food products that meet the
nutrition standards established by this section.
``(2) List of beverages.--In issuing guidance to carry out
this section, and at any time not later than 60 days after
receipt of an applicable request, the Secretary shall
identify and maintain a list of beverages allowable under
subsection (c)(2)(F)(ii).
``(j) Effective Date.--
``(1) In general.--Except as provided in paragraph (2),
nutrition standards and requirements established under this
section take effect on the first day of the first school year
beginning on or after July 1, 2011.
``(2) Exception.--Standards for a la carte main dish items
established under subsection (b)(3) take effect on the later
of--
``(A) the date on which final regulations under subsection
(b)(3) are promulgated; or
``(B) July 1, 2011.''.
(b) Implementation, Regulations, and Enforcement.--
(1) Implementation.--The Secretary shall implement section
10 of the Child Nutrition Act of 1966 (as amended by
subsection (a)) (other than subsections (b)(3)(C) and (g) of
that section) through the issuance of guidance, which shall
be considered a ``significant guidance document'' under
Executive Order 12866 (5 U.S.C. 601 note; relating to
regulatory planning and review), as amended by Executive
Order 13422 (72 Fed. Reg. 2763).
(2) Regulations.--
(A) In general.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall promulgate--
(i) regulations to eliminate any conflicting provisions
regarding competitive foods and foods of minimal nutritional
value; and
(ii) such other regulations as are necessary to carry out
the amendment made by subsection (a).
(B) Procedure.--The promulgation of the regulations under
subparagraph (A) shall be made without regard to--
(i) the notice and comment provisions of section 553 of
title 5, United States Code;
(ii) the Statement of Policy of the Secretary of
Agriculture effective July 24, 1971 (36 Fed. Reg. 13804),
relating to notices of proposed rulemaking and public
participation in rulemaking; and
(iii) chapter 35 of title 44, United States Code (commonly
known as the ``Paperwork Reduction Act'').
(C) Congressional review of agency rulemaking.--In carrying
out this paragraph, the Secretary shall use the authority
provided under section 808 of title 5, United States Code.
(3) Enforcement.--The Secretary shall enforce this section
and the amendments made by this section (including
regulations) in accordance with requirements established by
the Secretary.
______

SA 3640. Mr. CRAIG (for himself, Mr. Brownback, and Mr. Allard)
submitted an amendment intended to be proposed by him to the bill H.R.
2419, to provide for the continuation of agricultural programs through
fiscal year 2012, and for other purposes; which was ordered to lie on
the table; as follows:

At the appropriate place, insert the following:

SEC. __. FARMLAND AND GRAZING LAND PRESERVATION.

(a) Definitions.--In this section:
(1) Farmland or grazing land.--The term ``farmland or
grazing land'' means--
(A) farmland (as defined in section 1540(c) of the Farmland
Protection Policy Act (7 U.S.C. 4201(c)));
(B) land that is used for any part of the year as pasture
land for the grazing of livestock;
(C) land that is assessed as agricultural land for purposes
of State or local property taxes; and
(D) land that is enrolled in--
(i) the conservation reserve program established under
subchapter B of chapter 1 of subtitle D of title XII of the
Food Security Act of 1985 (16 U.S.C. 3831 et seq.); or
(ii) any other program authorized under--

(I) subtitle D of title XII of that Act; or
(II) the Food and Energy Security Act of 2007.

(2) Federal funds or financial assistance.--The term
``Federal funds or financial assistance'' means--
(A) Federal financial assistance (as defined in section 101
of the Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970 (42 U.S.C. 4601)); and
(B) any other Federal funds that are appropriated through
an Act of Congress or otherwise expended from the Treasury.
(3) Prohibited conduct.--
(A) In general.--The term ``prohibited conduct'' means the
exercise of eminent domain authority to acquire real property
that is farmland or grazing land for the purpose of a park,
recreation, open space, conservation, preservation view,
scenic vista, or similar purpose.
(B) Exceptions.--The term ``prohibited conduct'' does not
include a transfer of farmland or grazing land for--
(i) use by a public utility;
(ii) a road or other right of way or means, open to the
public or common carriers, for transportation;
(iii) an aqueduct, pipeline, or similar use;
(iv) a prison or hospital; or
(v) any use during and in relation to a national emergency
or national disaster declared by the President under other
law.
(4) Relevant entity.--The term ``relevant entity'' means--
(A) a State or unit of local government that engages in
prohibited conduct;
(B) a State or unit of local government that gives
authority for an entity to engage in prohibited conduct; and
(C) in the case of extraterritorial prohibited conduct--
(i) the entity that engages in prohibited conduct; and
(ii) the State or unit of local government that allows the
prohibited conduct to take place within the jurisdiction of
the State or local government.
(5) State.--The term ``State'' means--
(A) each of the several States of the United States;
(B) the District of Columbia;
(C) the Commonwealth of Puerto Rico;
(D) Guam;
(E) American Samoa;
(F) the Commonwealth of the Northern Mariana Islands;
(G) the Federated States of Micronesia;
(H) the Republic of the Marshall Islands;
(I) the Republic of Palau; and
(J) the United States Virgin Islands.
(b) Prohibitions.--
(1) In general.--If a relevant entity engages in prohibited
conduct, no officer or employee of the Federal Government
with responsibility over Federal funds or financial
assistance may make the Federal funds or assistance available
to the relevant entity during the period described in
paragraph (2).
(2) Duration of prohibition.--The period referred to in
paragraph (1) is the period that

[[Page S14335]]

begins on the date that an officer or employee of the Federal
Government determines that a relevant entity has engaged in
prohibited conduct and ends on the earlier of--
(A) the date that is 5 years after the date on which the
period began; or
(B) the date on which the farmland or grazing land is
returned to the person from whom the property was acquired,
in the same condition in which the property was originally
acquired.
(3) Federal prohibition.--No agency of the Federal
Government may engage in prohibited conduct.
(c) Private Right of Action.--The owner of any real
property acquired by prohibited conduct that results in the
prohibition under this section of Federal funds or financial
assistance may, in a civil action, obtain injunctive and
declaratory relief to enforce that prohibition.
(d) Applicability.--This section applies to any prohibited
conduct--
(1) that takes place on or after the date of enactment of
this section; or
(2)(A) that is in process on the date of enactment of this
section; and
(B) for which title has not yet passed to the relevant
entity.
______

SA 3641. Mr. ALLARD (for himself and Mr. Salazar) submitted an
amendment intended to be proposed by him to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 1055, strike lines 6 through 8 and insert the
following:
``(A) incorporates any forest management plan of the State
in existence on the date of enactment of this section
(including community wildfire protection plans);
______

SA 3642. Mr. KYL submitted an amendment intended to be proposed by
him to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

On page 1587, after line 18, add the following:

Subtitle G--AMT Relief

SEC. 12701. EXTENSION OF ALTERNATIVE MINIMUM TAX RELIEF FOR
NONREFUNDABLE PERSONAL CREDITS.

(a) In General.--Paragraph (2) of section 26(a) (relating
to special rule for taxable years 2000 through 2006) is
amended--
(1) by striking ``or 2006'' and inserting ``2006, or
2007'', and
(2) by striking ``2006'' in the heading thereof and
inserting ``2007''.
(b)  Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2006.

SEC. 12702. EXTENSION OF INCREASED ALTERNATIVE MINIMUM TAX
EXEMPTION AMOUNT.

(a) In General.--Paragraph (1) of section 55(d) (relating
to exemption amount) is amended--
(1) by striking ``($62,550 in the case of taxable years
beginning in 2006)'' in subparagraph (A) and inserting
``($66,250 in the case of taxable years beginning in 2007)'',
and
(2) by striking ``($42,500 in the case of taxable years
beginning in 2006)'' in subparagraph (B) and inserting
``($44,350 in the case of taxable years beginning in 2007)''.
(b) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2006.

SEC. 12703. INCREASE OF AMT REFUNDABLE CREDIT AMOUNT FOR
INDIVIDUALS WITH LONG-TERM UNUSED CREDITS FOR
PRIOR YEAR MINIMUM TAX LIABILITY, ETC.

(a) In General.--Paragraph (2) of section 53(e) of the
Internal Revenue Code of 1986 is amended to read as follows:
``(2) AMT refundable credit amount.--For purposes of
paragraph (1), the term `AMT refundable credit amount' means,
with respect to any taxable year, the amount (not in excess
of the long-term unused minimum tax credit for such taxable
year) equal to the greater of--
``(A) 50 percent of the long-term unused minimum tax credit
for such taxable year, or
``(B) the amount (if any) of the AMT refundable credit
amount determined under this paragraph for the taxpayer's
preceding taxable year.''.
(b) Treatment of Certain Underpayments, Interest, and
Penalties Attributable to the Treatment of Incentive Stock
Options.--Section 53 of such Code is amended by adding at the
end the following new subsection:
``(f) Treatment of Certain Underpayments, Interest, and
Penalties Attributable to the Treatment of Incentive Stock
Options.--
``(1) Abatement.--Any underpayment of tax outstanding on
the date of the enactment of this subsection which is
attributable to the application of section 56(b)(3) for any
taxable year ending before January 1, 2007 (and any interest
or penalty with respect to such underpayment which is
outstanding on such date of enactment), is hereby abated. No
credit shall be allowed under this section with respect to
any amount abated under this paragraph.
``(2) Increase in credit for certain interest and penalties
already paid.--Any interest or penalty paid before the date
of the enactment of this subsection which would (but for such
payment) have been abated under paragraph (1) shall be
treated for purposes of this section as an amount of adjusted
net minimum tax imposed for the taxable year of the
underpayment to which such interest or penalty relates.''.
(c) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendment made by this section shall apply to taxable years
beginning after December 31, 2006.
(2) Abatement.--Section 53(f)(1) of the Internal Revenue
Code of 1986, as added by subsection (b), shall take effect
on the date of the enactment of this Act.

Subtitle H--Additional Individual Tax Relief

SEC. 12751. REFUNDABLE CHILD CREDIT.

(a) Modification of Threshold Amount.--Clause (i) of
section 24(d)(1)(B) is amended by inserting ``($8,500 in the
case of taxable years beginning in 2008)'' after ``$10,000''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to taxable years beginning after December 31,
2007.

SEC. 12752. ADDITIONAL STANDARD DEDUCTION FOR REAL PROPERTY
TAXES FOR NONITEMIZERS.

(a) In General.--Section 63(c)(1) (defining standard
deduction) is amended by striking ``and'' at the end of
subparagraph (A), by striking the period at the end of
subparagraph (B) and inserting ``, and'', and by adding at
the end the following new subparagraph:
``(C) in the case of any taxable year beginning in 2008,
the real property tax deduction.''.
(b) Definition.--Section 63(c) is amended by adding at the
end the following new paragraph:
``(8) Real property tax deduction.--For purposes of
paragraph (1), the real property tax deduction is so much of
the amount of State and local real property taxes (within the
meaning of section 164) paid or accrued by the taxpayer
during the taxable year which do not exceed $350 ($700 in the
case of a joint return).''.
(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2007.

Subtitle I--One-Year Extenders

PART I--EXTENDERS PRIMARILY AFFECTING INDIVIDUALS

SEC. 12801. DEDUCTION FOR STATE AND LOCAL SALES TAXES.

(a) In General.--Subparagraph (I) of section 164(b)(5) is
amended by striking ``January 1, 2008'' and inserting
``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12802. DEDUCTION OF QUALIFIED TUITION AND RELATED
EXPENSES.

(a) In General.--Subsection (e) of section 222 (relating to
termination) is amended by striking ``December 31, 2007'' and
inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12803. TREATMENT OF CERTAIN DIVIDENDS OF REGULATED
INVESTMENT COMPANIES.

(a) Interest-Related Dividends.--Subparagraph (C) of
section 871(k)(1) (defining interest-related dividend) is
amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(b) Short-Term Capital Gain Dividends.--Subparagraph (C) of
section 871(k)(2) (defining short-term capital gain dividend)
is amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(c) Effective Date.--The amendments made by this section
shall apply to dividends with respect to taxable years of
regulated investment companies beginning after December 31,
2007.

SEC. 12804. PARITY IN THE APPLICATION OF CERTAIN LIMITS TO
MENTAL HEALTH BENEFITS.

(a) In General.--Paragraph (3) of section 9812(f) (relating
to application of section) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to benefits for services furnished after December
31, 2007.

SEC. 12805. QUALIFIED CONSERVATION CONTRIBUTIONS.

(a) In General.--Clause (vi) of section 170(b)(1)(E)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made in taxable years beginning
after December 31, 2007.

SEC. 12806. TAX-FREE DISTRIBUTIONS FROM INDIVIDUAL RETIREMENT
PLANS FOR CHARITABLE PURPOSES.

(a) In General.--Subparagraph (F) of section 408(d)(8)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to distributions made in taxable years beginning
after December 31, 2007.

SEC. 12807. DEDUCTION FOR CERTAIN EXPENSES OF ELEMENTARY AND
SECONDARY SCHOOL TEACHERS.

(a) In General.--Subparagraph (D) of section 62(a)(2)
(relating to certain expenses of elementary and secondary
school teachers) is amended by striking ``or 2007'' and
inserting ``2007, or 2008''.

[[Page S14336]]

(b) Effective Date.--The amendment made by subsection (a)
shall apply to taxable years beginning after December 31,
2007.

SEC. 12808. ELECTION TO INCLUDE COMBAT PAY AS EARNED INCOME
FOR PURPOSES OF EARNED INCOME TAX CREDIT.

(a) In General.--Subclause (II) of section 32(c)(2)(B)(vi)
(defining earned income) is amended by striking ``January 1,
2008'' and inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years ending after December 31, 2007.

SEC. 12809. MODIFICATION OF MORTGAGE REVENUE BONDS FOR
VETERANS.

(a) Qualified Mortgage Bonds Used To Finance Residences for
Veterans Without Regard to First-Time Homebuyer
Requirement.--Subparagraph (D) of section 143(d)(2) (relating
to exceptions) is amended by striking ``January 1, 2008'' and
inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to bonds issued after December 31, 2007.

SEC. 12810. DISTRIBUTIONS FROM RETIREMENT PLANS TO
INDIVIDUALS CALLED TO ACTIVE DUTY.

(a) In General.--Clause (iv) of section 72(t)(2)(G) is
amended by striking ``December 31, 2007'' and inserting
``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to individuals ordered or called to active duty
on or after December 31, 2007.

SEC. 12811. STOCK IN RIC FOR PURPOSES OF DETERMINING ESTATES
OF NONRESIDENTS NOT CITIZENS.

(a) In General.--Paragraph (3) of section 2105(d) (relating
to stock in a RIC) is amended by striking ``December 31,
2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to decedents dying after December 31, 2007.

SEC. 12812. QUALIFIED INVESTMENT ENTITIES.

(a) In General.--Clause (ii) of section 897(h)(4)(A)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by subsection (a)
shall take effect on January 1, 2008.

SEC. 12813. STATE LEGISLATORS' TRAVEL EXPENSES AWAY FROM
HOME.

(a) In General.--Paragraph (2) of section 162(h) (relating
to legislative days) is amended by adding at the end the
following flush sentence: ``In the case of taxable years
beginning in 2008, a legislature shall be treated for
purposes of this paragraph as in session on any day in which
it is formally called into session without regard to whether
legislation was considered on such day.''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to taxable years beginning after December 31,
2007.

PART II--EXTENDERS PRIMARILY AFFECTING BUSINESSES

SEC. 12821. RESEARCH CREDIT.

(a) In General.--Subparagraph (B) of section 41(h)(1)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Conforming Amendment.--Subparagraph (D) of section
45C(b)(1) (relating to qualified clinical testing expenses)
is amended by striking ``December 31, 2007'' and inserting
``December 31, 2008''.
(c) Effective Date.--The amendments made by this section
shall apply to amounts paid or incurred after December 31,
2007.

SEC. 12822. INDIAN EMPLOYMENT CREDIT.

(a) In General.--Subsection (f) of section 45A (relating to
termination) is amended by striking ``December 31, 2007'' and
inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12823. NEW MARKETS TAX CREDIT.

Subparagraph (D) of section 45D(f)(1) (relating to national
limitation on amount of investments designated) is amended by
striking ``and 2008'' and inserting ``2008, and 2009''.

SEC. 12824. RAILROAD TRACK MAINTENANCE.

(a) In General.--Subsection (f) of section 45G (relating to
application of section) is amended by striking ``January 1,
2008'' and inserting ``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to expenditures paid or incurred during taxable
years beginning after December 31, 2007.

SEC. 12825. FIFTEEN-YEAR STRAIGHT-LINE COST RECOVERY FOR
QUALIFIED LEASEHOLD IMPROVEMENTS AND QUALIFIED
RESTAURANT PROPERTY.

(a) In General.--Clauses (iv) and (v) of section
168(e)(3)(E) (relating to 15-year property) are each amended
by striking ``January 1, 2008'' and inserting ``January 1,
2009''.
(b) Effective Date.--The amendments made by this section
shall apply to property placed in service after December 31,
2007.

SEC. 12826. SEVEN-YEAR COST RECOVERY PERIOD FOR MOTORSPORTS
RACING TRACK FACILITY.

(a) In General.--Subparagraph (D) of section 168(i)(15)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to property placed in service after December 31,
2007.

SEC. 12827. ACCELERATED DEPRECIATION FOR BUSINESS PROPERTY ON
INDIAN RESERVATION.

(a) In General.--Paragraph (8) of section 168(j) (relating
to termination) is amended by striking ``December 31, 2007''
and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to property placed in service after December 31,
2007.

SEC. 12828. EXPENSING OF ENVIRONMENTAL REMEDIATION COSTS.

(a) In General.--Subsection (h) of section 198 (relating to
termination) is amended by striking ``December 31, 2007'' and
inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to expenditures paid or incurred after December
31, 2007.

SEC. 12829. DEDUCTION ALLOWABLE WITH RESPECT TO INCOME
ATTRIBUTABLE TO DOMESTIC PRODUCTION ACTIVITIES
IN PUERTO RICO.

(a) In General.--Subparagraph (C) of section 199(d)(8)
(relating to termination) is amended--
(1) by striking ``first 2 taxable years'' and inserting
``first 3 taxable years'', and
(2) by striking ``January 1, 2008'' and inserting ``January
1, 2009''.
(b) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12830. MODIFICATION OF TAX TREATMENT OF CERTAIN PAYMENTS
TO CONTROLLING EXEMPT ORGANIZATIONS.

(a) In General.--Clause (iv) of section 512(b)(13)(E)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to payments received or accrued after December
31, 2007.

SEC. 12831. EXTENSION AND MODIFICATION OF CREDIT TO HOLDERS
OF QUALIFIED ZONE ACADEMY BONDS.

(a) In General.--Subsection (e) of section 1397E (relating
to limitation on amount of bonds designated) is amended by
striking ``1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005,
2006, and 2007'' and inserting ``each of calendar years 1998
through 2008''.
(b) Modification of Arbitrage Rules.--
(1) In general.--Subsection (g) of section 1397E (relating
to special rules relating to arbitrage) is amended to read as
follows:
``(g) Special Rules Relating to Arbitrage.--
``(1) In general.--An issue shall be treated as meeting the
requirements of this subsection if the issuer satisfies the
requirements of section 148 with respect to the proceeds of
the issue.
``(2) Special rule for investments during expenditure
period.--An issue shall not be treated as failing to meet the
requirements of paragraph (1) by reason of any investment of
available project proceeds during the 5-year period described
in subsection (f)(1)(A) (including any extension of such
period under subsection (f)(2)).
``(3) Special rule for reserve funds.--An issue shall not
be treated as failing to meet the requirements of paragraph
(1) by reason of any fund which is expected to be used to
repay such issue if--
``(A) such fund is funded at a rate not more rapid than
equal annual installments,
``(B) such fund is funded in a manner that such fund will
not exceed the amount necessary to repay the issue if
invested at the maximum rate permitted under subparagraph
(C), and
``(C) the yield on such fund is not greater than the
discount rate determined under subsection (d)(3) with respect
to the issue.''.
(2) Application of available project proceeds to other
requirements.--Subsections (d)(1)(A), (d)(2)(A), (f)(1)(A),
(f)(1)(B), (f)(1)(C), and (f)(3) of section 1397E are each
amended by striking ``proceeds'' and inserting ``available
project proceeds''.
(3) Available project proceeds defined.--Subsection (i) of
section 1397E (relating to definitions) is amended by adding
at the end the following new paragraph:
``(4) Available project proceeds.--The term `available
project proceeds' means--
``(A) the excess of--
``(i) the proceeds from the sale of an issue, over
``(ii) the issuance costs financed by the issue (to the
extent that such costs do not exceed 2 percent of such
proceeds), and
``(B) the proceeds from any investment of the excess
described in subparagraph (A).''.
(c) Effective Date.--
(1) Extension.--The amendment made by subsection (a) shall
apply to obligations issued after December 31, 2007.
(2) Modification of arbitrage rules.--The amendments made
by subsection (b) shall apply to obligations issued after the
date of the enactment of this Act.

SEC. 12832. TAX INCENTIVES FOR INVESTMENT IN THE DISTRICT OF
COLUMBIA.

(a) Designation of Zone.--
(1) In general.--Subsection (f) of section 1400 is amended
by striking ``2007'' both places it appears and inserting
``2008''.
(2) Effective date.--The amendments made by this subsection
shall apply to periods beginning after December 31, 2007.
(b) Tax-Exempt Economic Development Bonds.--
(1) In general.--Subsection (b) of section 1400A is amended
by striking ``2007'' and inserting ``2008''.
(2) Effective date.--The amendment made by this subsection
shall apply to bonds issued after December 31, 2007.
(c) Zero Percent Capital Gains Rate.--
(1) In general.--Subsection (b) of section 1400B is amended
by striking ``2008'' each place it appears and inserting
``2009''.
(2) Conforming amendments.--

[[Page S14337]]

(A) Section 1400B(e)(2) is amended--
(i) by striking ``2012'' and inserting ``2013'', and
(ii) by striking ``2012'' in the heading thereof and
inserting ``2013''.
(B) Section 1400B(g)(2) is amended by striking ``2012'' and
inserting ``2013''.
(C) Section 1400F(d) is amended by striking ``2012'' and
inserting ``2013''.
(3) Effective dates.--
(A) Extension.--The amendments made by paragraph (1) shall
apply to acquisitions after December 31, 2007.
(B) Conforming amendments.--The amendments made by
paragraph (2) shall take effect on the date of the enactment
of this Act.
(d) First-Time Homebuyer Credit.--
(1) In general.--Subsection (i) of section 1400C is amended
by striking ``2008'' and inserting ``2009''.
(2) Effective date.--The amendment made by this subsection
shall apply to property purchased after December 31, 2007.

SEC. 12833. EXTENSION OF ECONOMIC DEVELOPMENT CREDIT FOR
AMERICAN SAMOA.

(a) In General.--Subsection (d) of section 119 of division
A of the Tax Relief and Health Care Act of 2006 is amended--
(1) by striking ``first two taxable years'' and inserting
``first 3 taxable years'', and
(2) by striking ``January 1, 2008'' and inserting ``January
1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after December 31,
2007.

SEC. 12834. ENHANCED CHARITABLE DEDUCTION FOR CONTRIBUTIONS
OF FOOD INVENTORY.

(a) In General.--Clause (iv) of section 170(e)(3)(C)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made after December 31, 2007.

SEC. 12835. ENHANCED CHARITABLE DEDUCTION FOR CONTRIBUTIONS
OF BOOK INVENTORY TO PUBLIC SCHOOLS.

(a) In General.--Clause (iv) of section 170(e)(3)(D)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made after December 31, 2007.

SEC. 12836. ENHANCED DEDUCTION FOR QUALIFIED COMPUTER
CONTRIBUTIONS.

(a) In General.--Subparagraph (G) of section 170(e)(6)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to contributions made during taxable years
beginning after December 31, 2007.

SEC. 12837. BASIS ADJUSTMENT TO STOCK OF S CORPORATIONS
MAKING CHARITABLE CONTRIBUTIONS OF PROPERTY.

(a) In General.--The last sentence of section 1367(a)(2)
(relating to decreases in basis) is amended by striking
``December 31, 2007'' and inserting ``December 31, 2008''.
(b) Technical Amendment Related to Section 1203 of the
Pension Protection Act of 2006.--Subsection (d) of section
1366 is amended by adding at the end the following new
paragraph:
``(4) Application of limitation on charitable
contributions.--In the case of any charitable contribution of
property to which the second sentence of section 1367(a)(2)
applies, paragraph (1) shall not apply to the extent of the
excess (if any) of--
``(A) the shareholder's pro rata share of such
contribution, over
``(B) the shareholder's pro rata share of the adjusted
basis of such property.''.
(c) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to contributions
made in taxable years beginning after December 31, 2007.
(2) Technical amendment.--The amendment made by subsection
(b) shall take effect as if included in the provision of the
Pension Protection Act of 2006 to which it relates.

SEC. 12838. EXTENSION OF WORK OPPORTUNITY TAX CREDIT FOR
HURRICANE KATRINA EMPLOYEES.

(a) In General.--Paragraph (1) of section 201(b) of the
Katrina Emergency Tax Relief Act of 2005 is amended by
striking ``2-year'' and inserting ``3-year''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to individuals hired after August 27, 2007.

PART III--OTHER EXTENDERS

SEC. 12841. DISCLOSURE FOR COMBINED EMPLOYMENT TAX REPORTING.

(a) In General.--Subparagraph (B) of section 6103(d)(5)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to disclosures after December 31, 2007.

SEC. 12842. DISCLOSURE OF RETURN INFORMATION TO APPRISE
APPROPRIATE OFFICIALS OF TERRORIST ACTIVITIES.

(a) In General.--Clause (iv) of section 6103(i)(3)(C)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to disclosures after December 31, 2007.

SEC. 12843. DISCLOSURE UPON REQUEST OF INFORMATION RELATING
TO TERRORIST ACTIVITIES.

(a) In General.--Subparagraph (E) of section 6103(i)(7)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to disclosures after December 31, 2007.

SEC. 12844. DISCLOSURE OF RETURN INFORMATION TO CARRY OUT
INCOME CONTINGENT REPAYMENT OF STUDENT LOANS.

(a) In General.--Subparagraph (D) of section 6103(l)(13)
(relating to termination) is amended by striking ``December
31, 2007'' and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by this section
shall apply to requests made after December 31, 2007.

SEC. 12845. AUTHORITY FOR UNDERCOVER OPERATIONS.

(a) In General.--Paragraph (6) of section 7608(c) (relating
to application of section) is amended by striking ``January
1, 2008'' each place it appears and inserting ``January 1,
2009''.
(b) Effective Date.--The amendment made by this section
shall take effect on January 1, 2008.

SEC. 12846. INCREASE IN LIMIT ON COVER OVER OF RUM EXCISE TAX
TO PUERTO RICO AND THE VIRGIN ISLANDS.

(a) In General.--Paragraph (1) of section 7652(f) is
amended by striking ``January 1, 2008'' and inserting
``January 1, 2009''.
(b) Effective Date.--The amendment made by this section
shall apply to distilled spirits brought into the United
States after December 31, 2007.

SEC. 12847. DISCLOSURE OF RETURN INFORMATION FOR CERTAIN
VETERANS PROGRAMS.

(a) In General.--The last sentence of paragraph (7) of
section 6103(l) is amended by striking ``September 30, 2008''
and inserting ``December 31, 2008''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply to requests made after September 30, 2008.

Subtitle J--Mortgage Forgiveness Debt Relief

SEC. 12851. DISCHARGES OF INDEBTEDNESS ON PRINCIPAL RESIDENCE
EXCLUDED FROM GROSS INCOME.

(a) In General.--Paragraph (1) of section 108(a) is amended
by striking ``or'' at the end of subparagraph (C), by
striking the period at the end of subparagraph (D) and
inserting ``, or'', and by inserting after subparagraph (D)
the following new subparagraph:
``(E) the indebtedness discharged is qualified principal
residence indebtedness.''.
(b) Special Rules Relating to Qualified Principal Residence
Indebtedness.--Section 108 is amended by adding at the end
the following new subsection:
``(h) Special Rules Relating to Qualified Principal
Residence Indebtedness.--
``(1) Basis reduction.--The amount excluded from gross
income by reason of subsection (a)(1)(E) shall be applied to
reduce (but not below zero) the basis of the principal
residence of the taxpayer.
``(2) Qualified principal residence indebtedness.--For
purposes of this section, the term `qualified principal
residence indebtedness' means acquisition indebtedness
(within the meaning of section 163(h)(3)(B), applied by
substituting `$2,000,000 ($1,000,000' for `$1,000,000
($500,000' in clause (ii) thereof) with respect to the
principal residence of the taxpayer.
``(3) Exception for certain discharges not related to
taxpayer's financial condition.--Subsection (a)(1)(E) shall
not apply to the discharge of a loan if the discharge is on
account of services performed for the lender or any other
factor not directly related to a decline in the value of the
residence or to the financial condition of the taxpayer.
``(4) Ordering rule.--If any loan is discharged, in whole
or in part, and only a portion of such loan is qualified
principal residence indebtedness, subsection (a)(1)(E) shall
apply only to so much of the amount discharged as exceeds the
amount of the loan (as determined immediately before such
discharge) which is not qualified principal residence
indebtedness.
``(5) Principal residence.--For purposes of this
subsection, the term `principal residence' has the same
meaning as when used in section 121.''.
(c) Coordination.--
(1) Subparagraph (A) of section 108(a)(2) is amended by
striking ``and (D)'' and inserting ``(D), and (E)''.
(2) Paragraph (2) of section 108(a) is amended by adding at
the end the following new subparagraph:
``(C) Principal residence exclusion takes precedence over
insolvency exclusion unless elected otherwise.--Paragraph
(1)(B) shall not apply to a discharge to which paragraph
(1)(E) applies unless the taxpayer elects to apply paragraph
(1)(B) in lieu of paragraph (1)(E).''.
(d) Effective Date.--The amendments made by this section
shall apply to discharges of indebtedness on or after January
1, 2007.

SEC. 12852. LONG-TERM EXTENSION OF DEDUCTION FOR MORTGAGE
INSURANCE PREMIUMS.

(a) In General.--Subparagraph (E) of section 163(h)(3)
(relating to mortgage insurance premiums treated as interest)
is amended by striking clauses (iii) and (iv) and inserting
the following new clause:
``(iii) Application.--Clause (i) shall not apply with
respect to any mortgage insurance contract issued before
January 1, 2007, or after December 31, 2014.''.

[[Page S14338]]

(b) Effective Date.--The amendment made by subsection (a)
shall apply to contracts issued after December 31, 2006.

SEC. 12853. ALTERNATIVE TESTS FOR QUALIFYING AS COOPERATIVE
HOUSING CORPORATION.

(a) In General.--Subparagraph (D) of section 216(b)(1)
(defining cooperative housing corporation) is amended to read
as follows:
``(D) meeting 1 or more of the following requirements for
the taxable year in which the taxes and interest described in
subsection (a) are paid or incurred:
``(i) 80 percent or more of the corporation's gross income
for such taxable year is derived from tenant-stockholders.
``(ii) At all times during such taxable year, 80 percent or
more of the total square footage of the corporation's
property is used or available for use by the tenant-
stockholders for residential purposes or purposes ancillary
to such residential use.
``(iii) 90 percent or more of the expenditures of the
corporation paid or incurred during such taxable year are
paid or incurred for the acquisition, construction,
management, maintenance, or care of the corporation's
property for the benefit of the tenant-stockholders.''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years ending after the date of the
enactment of this Act.

SEC. 12854. GAIN FROM SALE OF PRINCIPAL RESIDENCE ALLOCATED
TO NONQUALIFIED USE NOT EXCLUDED FROM INCOME.

(a) In General.--Subsection (b) of section 121 (relating to
limitations) is amended by adding at the end the following
new paragraph:
``(4) Exclusion of gain allocated to nonqualified use.--
``(A) In general.--Subsection (a) shall not apply to so
much of the gain from the sale or exchange of property as is
allocated to periods of nonqualified use.
``(B) Gain allocated to periods of nonqualified use.--For
purposes of subparagraph (A), gain shall be allocated to
periods of nonqualified use based on the ratio which--
``(i) the aggregate periods of nonqualified use during the
period such property was owned by the taxpayer, bears to
``(ii) the period such property was owned by the taxpayer.
``(C) Period of nonqualified use.--For purposes of this
paragraph--
``(i) In general.--The term `period of nonqualified use'
means any period (other than the portion of any period
preceding January 1, 2008) during which the property is not
used as the principal residence of the taxpayer or the
taxpayer's spouse or former spouse.
``(ii) Exceptions.--The term `period of nonqualified use'
does not include--

``(I) any portion of the 5-year period described in
subsection (a) which is after the last date that such
property is used as the principal residence of the taxpayer
or the taxpayer's spouse,
``(II) any period (not to exceed an aggregate period of 10
years) during which the taxpayer or the taxpayer's spouse is
serving on qualified official extended duty (as defined in
subsection (d)(9)(C)) described in clause (i), (ii), or (iii)
of subsection (d)(9)(A), and
``(III) any other period of temporary absence (not to
exceed an aggregate period of 2 years) due to change of
employment, health conditions, or such other unforeseen
circumstances as may be specified by the Secretary.

``(D) Coordination with recognition of gain attributable to
depreciation.--For purposes of this paragraph--
``(i) subparagraph (A) shall be applied after the
application of subsection (d)(6), and
``(ii) subparagraph (B) shall be applied without regard to
any gain to which subsection (d)(6) applies.''.
(b) Effective Date.--The amendment made by this section
shall apply to sales and exchanges after December 31, 2007.

Subtitle K--Administrative Provisions

SEC. 12861. REPEAL OF AUTHORITY TO ENTER INTO PRIVATE DEBT
COLLECTION CONTRACTS.

(a) In General.--Subchapter A of chapter 64 is amended by
striking section 6306.
(b) Conforming Amendments.--
(1) Subchapter B of chapter 76 is amended by striking
section 7433A.
(2) Section 7811 is amended by striking subsection (g).
(3) Section 1203 of the Internal Revenue Service
Restructuring Act of 1998 is amended by striking subsection
(e).
(4) The table of sections for subchapter A of chapter 64 is
amended by striking the item relating to section 6306.
(5) The table of sections for subchapter B of chapter 76 is
amended by striking the item relating to section 7433A.
(c) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall take
effect on the date of the enactment of this Act.
(2) Exception for existing contracts, etc.--The amendments
made by this section shall not apply to any contract which
was entered into before July 18, 2007, and is not renewed or
extended on or after such date.
(3) Unauthorized contracts and extensions treated as
void.--Any qualified tax collection contract (as defined in
section 6306 of the Internal Revenue Code of 1986, as in
effect before its repeal) which is entered into on or after
July 18, 2007, and any extension or renewal on or after such
date of any qualified tax collection contract (as so defined)
shall be void.

SEC. 12862. DELAY OF APPLICATION OF WITHHOLDING REQUIREMENT
ON CERTAIN GOVERNMENTAL PAYMENTS FOR GOODS AND
SERVICES.

(a) In General.--Subsection (b) of section 511 of the Tax
Increase Prevention and Reconciliation Act of 2005 is amended
by striking ``December 31, 2010'' and inserting ``December
31, 2011''.
(b) Report to Congress.--Not later than 6 months after the
date of the enactment of this Act, the Secretary of the
Treasury shall submit to the Committee on Ways and Means of
the House of Representatives and the Committee on Finance of
the Senate a report with respect to the withholding
requirements of section 3402(t) of the Internal Revenue Code
of 1986, including a detailed analysis of--
(1) the problems, if any, which are anticipated in
administering and complying with such requirements,
(2) the burdens, if any, that such requirements will place
on governments and businesses (taking into account such
mechanisms as may be necessary to administer such
requirements), and
(3) the application of such requirements to small
expenditures for services and goods by governments.

SEC. 12863. CLARIFICATION OF ENTITLEMENT OF VIRGIN ISLANDS
RESIDENTS TO PROTECTIONS OF LIMITATIONS ON
ASSESSMENT AND COLLECTION OF TAX.

(a) In General.--Subsection (c) of section 932 (relating to
treatment of Virgin Islands residents) is amended by adding
at the end the following new paragraph:
``(5) Treatment of income tax return filed with virgin
islands.--An income tax return filed with the Virgin Islands
by an individual claiming to be described in paragraph (1)
for the taxable year shall be treated for purposes of
subtitle F in the same manner as if such return were an
income tax return filed with the United States for such
taxable year. The preceding sentence shall not apply where
such return is false or fraudulent with the intent to evade
tax or otherwise is a willful attempt in any manner to defeat
or evade tax.''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after 1986.

SEC. 12864. REVISION OF TAX RULES ON EXPATRIATION.

(a) In General.--Subpart A of part II of subchapter N of
chapter 1 is amended by inserting after section 877 the
following new section:

``SEC. 877A. TAX RESPONSIBILITIES OF EXPATRIATION.

``(a) General Rules.--For purposes of this subtitle--
``(1) Mark to market.--All property of a covered expatriate
shall be treated as sold on the day before the expatriation
date for its fair market value.
``(2) Recognition of gain or loss.--In the case of any sale
under paragraph (1)--
``(A) notwithstanding any other provision of this title,
any gain arising from such sale shall be taken into account
for the taxable year of the sale, and
``(B) any loss arising from such sale shall be taken into
account for the taxable year of the sale to the extent
otherwise provided by this title, except that section 1091
shall not apply to any such loss.

Proper adjustment shall be made in the amount of any gain or
loss subsequently realized for gain or loss taken into
account under the preceding sentence, determined without
regard to paragraph (3).
``(3) Exclusion for certain gain.--
``(A) In general.--The amount which would (but for this
paragraph) be includible in the gross income of any
individual by reason of paragraph (1) shall be reduced (but
not below zero) by $600,000.
``(B) Adjustment for inflation.--
``(i) In general.--In the case of any taxable year
beginning in a calendar year after 2008, the dollar amount in
subparagraph (A) shall be increased by an amount equal to--

``(I) such dollar amount, multiplied by
``(II) the cost-of-living adjustment determined under
section 1(f)(3) for the calendar year in which the taxable
year begins, by substituting `calendar year 2007' for
`calendar year 1992' in subparagraph (B) thereof.

``(ii) Rounding.--If any amount as adjusted under clause
(i) is not a multiple of $1,000, such amount shall be rounded
to the nearest multiple of $1,000.
``(b) Election To Defer Tax.--
``(1) In general.--If the taxpayer elects the application
of this subsection with respect to any property treated as
sold by reason of subsection (a), the time for payment of the
additional tax attributable to such property shall be
extended until the due date of the return for the taxable
year in which such property is disposed of (or, in the case
of property disposed of in a transaction in which gain is not
recognized in whole or in part, until such other date as the
Secretary may prescribe).
``(2) Determination of tax with respect to property.--For
purposes of paragraph (1), the additional tax attributable to
any property is an amount which bears the same ratio to the
additional tax imposed by this chapter for the taxable year
solely by reason of subsection (a) as the gain taken into
account under subsection (a) with respect to such property
bears to the total gain taken into account under subsection
(a) with respect to all property to which subsection (a)
applies.

[[Page S14339]]

``(3) Termination of extension.--The due date for payment
of tax may not be extended under this subsection later than
the due date for the return of tax imposed by this chapter
for the taxable year which includes the date of death of the
expatriate (or, if earlier, the time that the security
provided with respect to the property fails to meet the
requirements of paragraph (4), unless the taxpayer corrects
such failure within the time specified by the Secretary).
``(4) Security.--
``(A) In general.--No election may be made under paragraph
(1) with respect to any property unless adequate security is
provided with respect to such property.
``(B) Adequate security.--For purposes of subparagraph (A),
security with respect to any property shall be treated as
adequate security if--
``(i) it is a bond which is furnished to, and accepted by,
the Secretary, which is conditioned on the payment of tax
(and interest thereon), and which meets the requirements of
section 6325, or
``(ii) it is another form of security for such payment
(including letters of credit) that meets such requirements as
the Secretary may prescribe.
``(5) Waiver of certain rights.--No election may be made
under paragraph (1) unless the taxpayer makes an irrevocable
waiver of any right under any treaty of the United States
which would preclude assessment or collection of any tax
imposed by reason of this section.
``(6) Elections.--An election under paragraph (1) shall
only apply to property described in the election and, once
made, is irrevocable.
``(7) Interest.--For purposes of section 6601, the last
date for the payment of tax shall be determined without
regard to the election under this subsection.
``(c) Exception for Certain Property.--Subsection (a) shall
not apply to--
``(1) any deferred compensation item (as defined in
subsection (d)(4)),
``(2) any specified tax deferred account (as defined in
subsection (e)(2)), and
``(3) any interest in a nongrantor trust (as defined in
subsection (f)(3)).
``(d) Treatment of Deferred Compensation Items.--
``(1) Withholding on eligible deferred compensation
items.--
``(A) In general.--In the case of any eligible deferred
compensation item, the payor shall deduct and withhold from
any taxable payment to a covered expatriate with respect to
such item a tax equal to 30 percent thereof.
``(B) Taxable payment.--For purposes of subparagraph (A),
the term `taxable payment' means with respect to a covered
expatriate any payment to the extent it would be includible
in the gross income of the covered expatriate if such
expatriate continued to be subject to tax as a citizen or
resident of the United States. A deferred compensation item
shall be taken into account as a payment under the preceding
sentence when such item would be so includible.
``(2) Other deferred compensation items.--In the case of
any deferred compensation item which is not an eligible
deferred compensation item--
``(A)(i) with respect to any deferred compensation item to
which clause (ii) does not apply, an amount equal to the
present value of the covered expatriate's accrued benefit
shall be treated as having been received by such individual
on the day before the expatriation date as a distribution
under the plan, and
``(ii) with respect to any deferred compensation item
referred to in paragraph (4)(D), the rights of the covered
expatriate to such item shall be treated as becoming
transferable and not subject to a substantial risk of
forfeiture on the day before the expatriation date,
``(B) no early distribution tax shall apply by reason of
such treatment, and
``(C) appropriate adjustments shall be made to subsequent
distributions from the plan to reflect such treatment.
``(3) Eligible deferred compensation items.--For purposes
of this subsection, the term `eligible deferred compensation
item' means any deferred compensation item with respect to
which--
``(A) the payor of such item is--
``(i) a United States person, or
``(ii) a person who is not a United States person but who
elects to be treated as a United States person for purposes
of paragraph (1) and meets such requirements as the Secretary
may provide to ensure that the payor will meet the
requirements of paragraph (1), and
``(B) the covered expatriate--
``(i) notifies the payor of his status as a covered
expatriate, and
``(ii) makes an irrevocable waiver of any right to claim
any reduction under any treaty with the United States in
withholding on such item.
``(4) Deferred compensation item.--For purposes of this
subsection, the term `deferred compensation item' means--
``(A) any interest in a plan or arrangement described in
section 219(g)(5),
``(B) any interest in a foreign pension plan or similar
retirement arrangement or program,
``(C) any item of deferred compensation, and
``(D) any property, or right to property, which the
individual is entitled to receive in connection with the
performance of services to the extent not previously taken
into account under section 83 or in accordance with section
83.
``(5) Exception.--Paragraphs (1) and (2) shall not apply to
any deferred compensation item which is attributable to
services performed outside the United States while the
covered expatriate was not a citizen or resident of the
United States.
``(6) Special rules.--
``(A) Application of withholding rules.--Rules similar to
the rules of subchapter B of chapter 3 shall apply for
purposes of this subsection.
``(B) Application of tax.--Any item subject to the
withholding tax imposed under paragraph (1) shall be subject
to tax under section 871.
``(C) Coordination with other withholding requirements.--
Any item subject to withholding under paragraph (1) shall not
be subject to withholding under section 1441 or chapter 24.
``(e) Treatment of Specified Tax Deferred Accounts.--
``(1) Account treated as distributed.--In the case of any
interest in a specified tax deferred account held by a
covered expatriate on the day before the expatriation date--
``(A) the covered expatriate shall be treated as receiving
a distribution of his entire interest in such account on the
day before the expatriation date,
``(B) no early distribution tax shall apply by reason of
such treatment, and
``(C) appropriate adjustments shall be made to subsequent
distributions from the account to reflect such treatment.
``(2) Specified tax deferred account.--For purposes of
paragraph (1), the term `specified tax deferred account'
means an individual retirement plan (as defined in section
7701(a)(37)) other than any arrangement described in
subsection (k) or (p) of section 408, a qualified tuition
program (as defined in section 529), a Coverdell education
savings account (as defined in section 530), a health savings
account (as defined in section 223), and an Archer MSA (as
defined in section 220).
``(f) Special Rules for Nongrantor Trusts.--
``(1) In general.--In the case of a distribution (directly
or indirectly) of any property from a nongrantor trust to a
covered expatriate--
``(A) the trustee shall deduct and withhold from such
distribution an amount equal to 30 percent of the taxable
portion of the distribution, and
``(B) if the fair market value of such property exceeds its
adjusted basis in the hands of the trust, gain shall be
recognized to the trust as if such property were sold to the
expatriate at its fair market value.
``(2) Taxable portion.--For purposes of this subsection,
the term `taxable portion' means, with respect to any
distribution, that portion of the distribution which would be
includible in the gross income of the covered expatriate if
such expatriate continued to be subject to tax as a citizen
or resident of the United States.
``(3) Nongrantor trust.--For purposes of this subsection,
the term `nongrantor trust' means the portion of any trust
that the individual is not considered the owner of under
subpart E of part I of subchapter J. The determination under
the preceding sentence shall be made immediately before the
expatriation date.
``(4) Special rules relating to withholding.--For purposes
of this subsection--
``(A) rules similar to the rules of subsection (d)(6) shall
apply, and
``(B) the covered expatriate shall be treated as having
waived any right to claim any reduction under any treaty with
the United States in withholding on any distribution to which
paragraph (1)(A) applies.
``(5) Application.--This subsection shall apply to a
nongrantor trust only if the covered expatriate was a
beneficiary of the trust on the day before the expatriation
date.
``(g) Definitions and Special Rules Relating to
Expatriation.--For purposes of this section--
``(1) Covered expatriate.--
``(A) In general.--The term `covered expatriate' means an
expatriate who meets the requirements of subparagraph (A),
(B), or (C) of section 877(a)(2).
``(B) Exceptions.--An individual shall not be treated as
meeting the requirements of subparagraph (A) or (B) of
section 877(a)(2) if--
``(i) the individual--

``(I) became at birth a citizen of the United States and a
citizen of another country and, as of the expatriation date,
continues to be a citizen of, and is taxed as a resident of,
such other country, and
``(II) has been a resident of the United States (as defined
in section 7701(b)(1)(A)(ii)) for not more than 10 taxable
years during the 15-taxable year period ending with the
taxable year during which the expatriation date occurs, or

``(ii)(I) the individual's relinquishment of United States
citizenship occurs before such individual attains age 18\1/
2\, and
``(II) the individual has been a resident of the United
States (as so defined) for not more than 10 taxable years
before the date of relinquishment.
``(C) Covered expatriates also subject to tax as citizens
or residents.--In the case of any covered expatriate who is
subject to tax as a citizen or resident of the United States
for any period beginning after the expatriation date, such
individual shall not be treated as a covered expatriate
during such

[[Page S14340]]

period for purposes of subsections (d)(1) and (f) and section
2801.
``(2) Expatriate.--The term `expatriate' means--
``(A) any United States citizen who relinquishes his
citizenship, and
``(B) any long-term resident of the United States who
ceases to be a lawful permanent resident of the United States
(within the meaning of section 7701(b)(6)).
``(3) Expatriation date.--The term `expatriation date'
means--
``(A) the date an individual relinquishes United States
citizenship, or
``(B) in the case of a long-term resident of the United
States, the date on which the individual ceases to be a
lawful permanent resident of the United States (within the
meaning of section 7701(b)(6)).
``(4) Relinquishment of citizenship.--A citizen shall be
treated as relinquishing his United States citizenship on the
earliest of--
``(A) the date the individual renounces his United States
nationality before a diplomatic or consular officer of the
United States pursuant to paragraph (5) of section 349(a) of
the Immigration and Nationality Act (8 U.S.C. 1481(a)(5)),
``(B) the date the individual furnishes to the United
States Department of State a signed statement of voluntary
relinquishment of United States nationality confirming the
performance of an act of expatriation specified in paragraph
(1), (2), (3), or (4) of section 349(a) of the Immigration
and Nationality Act (8 U.S.C. 1481(a)(1)-(4)),
``(C) the date the United States Department of State issues
to the individual a certificate of loss of nationality, or
``(D) the date a court of the United States cancels a
naturalized citizen's certificate of naturalization.

Subparagraph (A) or (B) shall not apply to any individual
unless the renunciation or voluntary relinquishment is
subsequently approved by the issuance to the individual of a
certificate of loss of nationality by the United States
Department of State.
``(5) Long-term resident.--The term `long-term resident'
has the meaning given to such term by section 877(e)(2).
``(6) Early distribution tax.--The term `early distribution
tax' means any increase in tax imposed under section 72(t),
220(e)(4), 223(f)(4), 409A(a)(1)(B), 529(c)(6), or 530(d)(4).
``(h) Other Rules.--
``(1) Termination of deferrals, etc.--In the case of any
covered expatriate, notwithstanding any other provision of
this title--
``(A) any time period for acquiring property which would
result in the reduction in the amount of gain recognized with
respect to property disposed of by the taxpayer shall
terminate on the day before the expatriation date, and
``(B) any extension of time for payment of tax shall cease
to apply on the day before the expatriation date and the
unpaid portion of such tax shall be due and payable at the
time and in the manner prescribed by the Secretary.
``(2) Step-up in basis.--Solely for purposes of determining
any tax imposed by reason of subsection (a), property which
was held by an individual on the date the individual first
became a resident of the United States (within the meaning of
section 7701(b)) shall be treated as having a basis on such
date of not less than the fair market value of such property
on such date. The preceding sentence shall not apply if the
individual elects not to have such sentence apply. Such an
election, once made, shall be irrevocable.
``(3) Coordination with section 684.--If the expatriation
of any individual would result in the recognition of gain
under section 684, this section shall be applied after the
application of section 684.
``(i) Regulations.--The Secretary shall prescribe such
regulations as may be necessary or appropriate to carry out
the purposes of this section.''.
(b) Tax on Gifts and Bequests Received by United States
Citizens and Residents From Expatriates.--
(1) In general.--Subtitle B (relating to estate and gift
taxes) is amended by inserting after chapter 14 the following
new chapter:

``CHAPTER 15--GIFTS AND BEQUESTS FROM EXPATRIATES

``Sec. 2801. Imposition of tax.

``SEC. 2801. IMPOSITION OF TAX.

``(a) In General.--If, during any calendar year, any United
States citizen or resident receives any covered gift or
bequest, there is hereby imposed a tax equal to the product
of--
``(1) the highest rate of tax specified in the table
contained in section 2001(c) as in effect on the date of such
receipt (or, if greater, the highest rate of tax specified in
the table applicable under section 2502(a) as in effect on
the date), and
``(2) the value of such covered gift or bequest.
``(b) Tax To Be Paid by Recipient.--The tax imposed by
subsection (a) on any covered gift or bequest shall be paid
by the person receiving such gift or bequest.
``(c) Exception for Certain Gifts.--Subsection (a) shall
apply only to the extent that the value of covered gifts and
bequests received by any person during the calendar year
exceeds $10,000.
``(d) Tax Reduced by Foreign Gift or Estate Tax.--The tax
imposed by subsection (a) on any covered gift or bequest
shall be reduced by the amount of any gift or estate tax paid
to a foreign country with respect to such covered gift or
bequest.
``(e) Covered Gift or Bequest.--
``(1) In general.--For purposes of this chapter, the term
`covered gift or bequest' means--
``(A) any property acquired by gift directly or indirectly
from an individual who, at the time of such acquisition, is a
covered expatriate, and
``(B) any property acquired directly or indirectly by
reason of the death of an individual who, immediately before
such death, was a covered expatriate.
``(2) Exceptions for transfers otherwise subject to estate
or gift tax.--Such term shall not include--
``(A) any property shown on a timely filed return of tax
imposed by chapter 12 which is a taxable gift by the covered
expatriate, and
``(B) any property included in the gross estate of the
covered expatriate for purposes of chapter 11 and shown on a
timely filed return of tax imposed by chapter 11 of the
estate of the covered expatriate.
``(3) Transfers in trust.--
``(A) Domestic trusts.--In the case of a covered gift or
bequest made to a domestic trust--
``(i) subsection (a) shall apply in the same manner as if
such trust were a United States citizen, and
``(ii) the tax imposed by subsection (a) on such gift or
bequest shall be paid by such trust.
``(B) Foreign trusts.--
``(i) In general.--In the case of a covered gift or bequest
made to a foreign trust, subsection (a) shall apply to any
distribution attributable to such gift or bequest from such
trust (whether from income or corpus) to a United States
citizen or resident in the same manner as if such
distribution were a covered gift or bequest.
``(ii) Deduction for tax paid by recipient.--There shall be
allowed as a deduction under section 164 the amount of tax
imposed by this section which is paid or accrued by a United
States citizen or resident by reason of a distribution from a
foreign trust, but only to the extent such tax is imposed on
the portion of such distribution which is included in the
gross income of such citizen or resident.
``(iii) Election to be treated as domestic trust.--Solely
for purposes of this section, a foreign trust may elect to be
treated as a domestic trust. Such an election may be revoked
with the consent of the Secretary.
``(f) Covered Expatriate.--For purposes of this section,
the term `covered expatriate' has the meaning given to such
term by section 877A(g)(1).''.
(2) Clerical amendment.--The table of chapters for subtitle
B is amended by inserting after the item relating to chapter
14 the following new item:

``Chapter 15. Gifts and Bequests From Expatriates.''.

(c) Definition of Termination of United States
Citizenship.--
(1) In general.--Section 7701(a) is amended by adding at
the end the following new paragraph:
``(50) Termination of united states citizenship.--
``(A) In general.--An individual shall not cease to be
treated as a United States citizen before the date on which
the individual's citizenship is treated as relinquished under
section 877A(g)(4).
``(B) Dual citizens.--Under regulations prescribed by the
Secretary, subparagraph (A) shall not apply to an individual
who became at birth a citizen of the United States and a
citizen of another country.''.
(2) Conforming amendments.--
(A) Paragraph (1) of section 877(e) is amended to read as
follows:
``(1) In general.--Any long-term resident of the United
States who ceases to be a lawful permanent resident of the
United States (within the meaning of section 7701(b)(6))
shall be treated for purposes of this section and sections
2107, 2501, and 6039G in the same manner as if such resident
were a citizen of the United States who lost United States
citizenship on the date of such cessation or commencement.''.
(B) Paragraph (6) of section 7701(b) is amended by adding
at the end the following flush sentence:

``An individual shall cease to be treated as a lawful
permanent resident of the United States if such individual
commences to be treated as a resident of a foreign country
under the provisions of a tax treaty between the United
States and the foreign country, does not waive the benefits
of such treaty applicable to residents of the foreign
country, and notifies the Secretary of the commencement of
such treatment.''.
(C) Section 7701 is amended by striking subsection (n) and
by redesignating subsections (o) and (p) as subsections (n)
and (o), respectively.
(d) Information Returns.--Section 6039G is amended--
(1) by inserting ``or 877A'' after ``section 877(b)'' in
subsection (a), and
(2) by inserting ``or 877A'' after ``section 877(a)'' in
subsection (d).
(e) Clerical Amendment.--The table of sections for subpart
A of part II of subchapter N of chapter 1 is amended by
inserting after the item relating to section 877 the
following new item:

``Sec. 877A. Tax responsibilities of expatriation.''.
(f) Effective Date.--
(1) In general.--Except as provided in this subsection, the
amendments made by this section shall apply to expatriates
(as defined in section 877A(g) of the Internal Revenue

[[Page S14341]]

Code of 1986, as added by this section) whose expatriation
date (as so defined) is on or after the date of the enactment
of this Act.
(2) Gifts and bequests.--Chapter 15 of the Internal Revenue
Code of 1986 (as added by subsection (b)) shall apply to
covered gifts and bequests (as defined in section 2801 of
such Code, as so added) received on or after the date of the
enactment of this Act, regardless of when the transferor
expatriated.

SEC. 12865. REPEAL OF SUSPENSION OF CERTAIN PENALTIES AND
INTEREST.

(a) In General.--Section 6404 is amended by striking
subsection (g) and by redesignating subsection (h) as
subsection (g).
(b) Effective Date.--The amendment made by subsection (a)
shall apply to notices provided by the Secretary of the
Treasury, or his delegate, after the date which is 6 months
after the date of the enactment of the Small Business and
Work Opportunity Tax Act of 2007.

SEC. 12866. UNUSED MERCHANDISE DRAWBACK.

(a) In General.--Section 313(j)(2) of the Tariff Act of
1930 (19 U.S.C. 1313(j)(2)) is amended by adding at the end
the following: ``For purposes of subparagraph (A) of this
paragraph, wine of the same color having a price variation
not to exceed 50 percent between the imported wine and the
exported wine shall be deemed to be commercially
interchangeable.''.
(b) Effective Date.--The amendment made by subsection (a)
shall apply with respect to claims filed for drawback under
section 313(j)(2) of the Tariff Act of 1930 on or after the
date of the enactment of this Act.

Subtitle L--Revenue Provisions

PART I--NONQUALIFIED DEFERRED COMPENSATION FROM CERTAIN TAX INDIFFERENT
PARTIES

SEC. 12901. NONQUALIFIED DEFERRED COMPENSATION FROM CERTAIN
TAX INDIFFERENT PARTIES.

(a) In General.--Subpart B of part II of subchapter E of
chapter 1 (relating to taxable year for which items of gross
income included) is amended by inserting after section 457
the following new section:

``SEC. 457A. NONQUALIFIED DEFERRED COMPENSATION FROM CERTAIN
TAX INDIFFERENT PARTIES.

``(a) In General.--Any compensation which is deferred under
a nonqualified deferred compensation plan of a nonqualified
entity shall be taken into account for purposes of this
chapter when there is no substantial risk of forfeiture of
the rights to such compensation.
``(b) Nonqualified Entity.--For purposes of this section,
the term `nonqualified entity' means--
``(1) any foreign corporation unless substantially all of
such income is--
``(A) effectively connected with the conduct of a trade or
business in the United States, or
``(B) subject to a comprehensive foreign income tax, and
``(2) any partnership unless substantially all of such
income is allocated to persons other than--
``(A) foreign persons with respect to whom such income is
not subject to a comprehensive foreign income tax, and
``(B) organizations which are exempt from tax under this
title.
``(c) Ascertainability of Amounts of Compensation.--
``(1) In general.--If the amount of any compensation is not
ascertainable at the time that such compensation is otherwise
to be taken into account under subsection (a)--
``(A) such amount shall be so taken into account when
ascertainable, and
``(B) the tax imposed under this chapter for the taxable
year in which such compensation is taken into account under
subparagraph (A) shall be increased by the sum of--
``(i) the amount of interest determined under paragraph
(2), and
``(ii) an amount equal to 20 percent of the amount of such
compensation.
``(2) Interest.--For purposes of paragraph (1)(B)(i), the
interest determined under this paragraph for any taxable year
is the amount of interest at the underpayment rate under
section 6621 plus 1 percentage point on the underpayments
that would have occurred had the deferred compensation been
includible in gross income for the taxable year in which
first deferred or, if later, the first taxable year in which
such deferred compensation is not subject to a substantial
risk of forfeiture.
``(d) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Substantial risk of forfeiture.--The rights of a
person to compensation shall be treated as subject to a
substantial risk of forfeiture only if such person's rights
to such compensation are conditioned upon the future
performance of substantial services by any individual.
``(2) Comprehensive foreign income tax.--The term
`comprehensive foreign income tax' means, with respect to any
foreign person, the income tax of a foreign country if--
``(A) such person is eligible for the benefits of a
comprehensive income tax treaty between such foreign country
and the United States, or
``(B) such person demonstrates to the satisfaction of the
Secretary that such foreign country has a comprehensive
income tax.

Such term shall not include any tax unless such tax includes
rules for the deductibility of deferred compensation which
are similar to the rules of this title.
``(3) Nonqualified deferred compensation plan.--The term
`nonqualified deferred compensation plan' has the meaning
given such term under section 409A(d), except that such term
shall include any plan that provides a right to compensation
based on the appreciation in value of a specified number of
equity units of the service recipient.
``(4) Application of rules.--Rules similar to the rules of
paragraphs (5) and (6) of section 409A(d) shall apply.
``(e) Regulations.--The Secretary shall prescribe such
regulations as may be necessary or appropriate to carry out
the purposes of this section, including regulations
disregarding a substantial risk of forfeiture in cases where
necessary to carry out the purposes of this section.''.
(b) Conforming Amendment.--Section 26(b)(2) is amended by
striking ``and'' at the end of subparagraph (S), by striking
the period at the end of subparagraph (T) and inserting ``,
and'', and by adding at the end the following new
subparagraph:
``(U) section 457A(c)(1)(B) (relating to ascertainability
of amounts of compensation).''.
(c) Clerical Amendment.--The table of sections of subpart B
of part II of subchapter E of chapter 1 is amended by
inserting after the item relating to section 457 the
following new item:

``Sec. 457A. Nonqualified deferred compensation from certain tax
indifferent parties.''.
(d) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall apply
to amounts deferred which are attributable to services
performed after December 31, 2007.
(2) Application to existing deferrals.--In the case of any
amount deferred to which the amendments made by this section
do not apply solely by reason of the fact that the amount is
attributable to services performed before January 1, 2008, to
the extent such amount is not includible in gross income in a
taxable year beginning before 2017, such amounts shall be
includible in gross income in the later of--
(A) the last taxable year beginning before 2017, or
(B) the taxable year in which there is no substantial risk
of forfeiture of the rights to such compensation (determined
in the same manner as determined for purposes of section 457A
of the Internal Revenue Code of 1986, as added by this
section).
(3) Accelerated payments.--No later than 60 days after the
date of the enactment of this Act, the Secretary shall issue
guidance providing a limited period of time during which a
nonqualified deferred compensation arrangement attributable
to services performed on or before December 31, 2007, may,
without violating the requirements of section 409A(a) of the
Internal Revenue Code of 1986, be amended to conform the date
of distribution to the date the amounts are required to be
included in income.

PART II--PROVISIONS RELATED TO CERTAIN INVESTMENT PARTNERSHIPS

SEC. 12911. INCOME OF PARTNERS FOR PERFORMING INVESTMENT
MANAGEMENT SERVICES TREATED AS ORDINARY INCOME
RECEIVED FOR PERFORMANCE OF SERVICES.

(a) In General.--Part I of subchapter K of chapter 1 is
amended by adding at the end the following new section:

``SEC. 710. SPECIAL RULES FOR PARTNERS PROVIDING INVESTMENT
MANAGEMENT SERVICES TO PARTNERSHIP.

``(a) Treatment of Distributive Share of Partnership
Items.--For purposes of this title, in the case of an
investment services partnership interest--
``(1) In general.--Notwithstanding section 702(b)--
``(A) any net income with respect to such interest for any
partnership taxable year shall be treated as ordinary income
for the performance of services, and
``(B) any net loss with respect to such interest for such
year, to the extent not disallowed under paragraph (2) for
such year, shall be treated as an ordinary loss.
``(2) Treatment of losses.--
``(A) Limitation.--Any net loss with respect to such
interest shall be allowed for any partnership taxable year
only to the extent that such loss does not exceed the excess
(if any) of--
``(i) the aggregate net income with respect to such
interest for all prior partnership taxable years, over
``(ii) the aggregate net loss with respect to such interest
not disallowed under this subparagraph for all prior
partnership taxable years.
``(B) Carryforward.--Any net loss for any partnership
taxable year which is not allowed by reason of subparagraph
(A) shall be treated as an item of loss with respect to such
partnership interest for the succeeding partnership taxable
year.
``(C) Basis adjustment.--No adjustment to the basis of a
partnership interest shall be made on account of any net loss
which is not allowed by reason of subparagraph (A).
``(D) Exception for basis attributable to purchase of a
partnership interest.--In the case of an investment services
partnership interest acquired by purchase, paragraph (1)(B)
shall not apply to so much of any net loss with respect to
such interest for any taxable year as does not exceed the
excess of--
``(i) the basis of such interest immediately after such
purchase, over
``(ii) the aggregate net loss with respect to such interest
to which paragraph (1)(B) did

[[Page S14342]]

not apply by reason of this subparagraph for all prior
taxable years.

Any net loss to which paragraph (1)(B) does not apply by
reason of this subparagraph shall not be taken into account
under subparagraph (A).
``(E) Prior partnership years.--Any reference in this
paragraph to prior partnership taxable years shall only
include prior partnership taxable years to which this section
applies.
``(3) Net income and loss.--For purposes of this section--
``(A) Net income.--The term `net income' means, with
respect to any investment services partnership interest, for
any partnership taxable year, the excess (if any) of--
``(i) all items of income and gain taken into account by
the holder of such interest under section 702 with respect to
such interest for such year, over
``(ii) all items of deduction and loss so taken into
account.
``(B) Net loss.--The term `net loss' means with respect to
such interest for such year, the excess (if any) of the
amount described in subparagraph (A)(ii) over the amount
described in subparagraph (A)(i).
``(b) Dispositions of Partnership Interests.--
``(1) Gain.--Any gain on the disposition of an investment
services partnership interest shall be treated as ordinary
income for the performance of services.
``(2) Loss.--Any loss on the disposition of an investment
services partnership interest shall be treated as an ordinary
loss to the extent of the excess (if any) of--
``(A) the aggregate net income with respect to such
interest for all partnership taxable years, over
``(B) the aggregate net loss with respect to such interest
allowed under subsection (a)(2) for all partnership taxable
years.
``(3) Disposition of portion of interest.--In the case of
any disposition of an investment services partnership
interest, the amount of net loss which otherwise would have
(but for subsection (a)(2)(C)) applied to reduce the basis of
such interest shall be disregarded for purposes of this
section for all succeeding partnership taxable years.
``(4) Distributions of partnership property.--In the case
of any distribution of appreciated property by a partnership
with respect to any investment services partnership interest,
gain shall be recognized by the partnership in the same
manner as if the partnership sold such property at fair
market value at the time of the distribution. For purposes of
this paragraph, the term `appreciated property' means any
property with respect to which gain would be determined if
sold as described in the preceding sentence.
``(5) Application of section 751.--In applying section
751(a), an investment services partnership interest shall be
treated as an inventory item.
``(c) Investment Services Partnership Interest.--For
purposes of this section--
``(1) In general.--The term `investment services
partnership interest' means any interest in a partnership
which is held by any person if such person provides (directly
or indirectly) a substantial quantity of any of the following
services with respect to the assets of the partnership in the
conduct of the trade or business of providing such services:
``(A) Advising as to the advisability of investing in,
purchasing, or selling any specified asset.
``(B) Managing, acquiring, or disposing of any specified
asset.
``(C) Arranging financing with respect to acquiring
specified assets.
``(D) Any activity in support of any service described in
subparagraphs (A) through (C).
For purposes of this paragraph, the term `specified asset'
means securities (as defined in section 475(c)(2) without
regard to the last sentence thereof), real estate,
commodities (as defined in section 475(e)(2))), or options or
derivative contracts with respect to securities (as so
defined), real estate, or commodities (as so defined).
``(2) Exception for certain capital interests.--
``(A) In general.--If--
``(i) a portion of an investment services partnership
interest is acquired on account of a contribution of invested
capital, and
``(ii) the partnership makes a reasonable allocation of
partnership items between the portion of the distributive
share that is with respect to invested capital and the
portion of such distributive share that is not with respect
to invested capital,

then subsection (a) shall not apply to the portion of the
distributive share that is with respect to invested capital.
An allocation will not be treated as reasonable for purposes
of this subparagraph if such allocation would result in the
partnership allocating a greater portion of income to
invested capital than any other partner not providing
services would have been allocated with respect to the same
amount of invested capital.
``(B) Special rule for dispositions.--In any case to which
subparagraph (A) applies, subsection (b) shall not apply to
any gain or loss allocable to invested capital. The portion
of any gain or loss attributable to invested capital is the
proportion of such gain or loss which is based on the
distributive share of gain or loss that would have been
allocable to invested capital under subparagraph (A) if the
partnership sold all of its assets immediately before the
disposition.
``(C) Invested capital.--For purposes of this paragraph,
the term `invested capital' means, the fair market value at
the time of contribution of any money or other property
contributed to the partnership.
``(D) Treatment of certain loans.--
``(i) Proceeds of partnership loans not treated as invested
capital of service providing partners.--For purposes of this
paragraph, an investment services partnership interest shall
not be treated as acquired on account of a contribution of
invested capital to the extent that such capital is
attributable to the proceeds of any loan or other advance
made or guaranteed, directly or indirectly, by any partner or
the partnership.
``(ii) Loans from nonservice providing partners to the
partnership treated as invested capital.--For purposes of
this paragraph, any loan or other advance to the partnership
made or guaranteed, directly or indirectly, by a partner not
providing services to the partnership shall be treated as
invested capital of such partner and amounts of income and
loss treated as allocable to invested capital shall be
adjusted accordingly.
``(d) Other Income and Gain in Connection With Investment
Management Services.--
``(1) In general.--If--
``(A) a person performs (directly or indirectly) investment
management services for any entity,
``(B) such person holds a disqualified interest with
respect to such entity, and
``(C) the value of such interest (or payments thereunder)
is substantially related to the amount of income or gain
(whether or not realized) from the assets with respect to
which the investment management services are performed,

any income or gain with respect to such interest shall be
treated as ordinary income for the performance of services.
Rules similar to the rules of subsection (c)(2) shall apply
where such interest was acquired on account of invested
capital in such entity.
``(2) Definitions.--For purposes of this subsection--
``(A) Disqualified interest.--The term `disqualified
interest' means, with respect to any entity--
``(i) any interest in such entity other than indebtedness,
``(ii) convertible or contingent debt of such entity,
``(iii) any option or other right to acquire property
described in clause (i) or (ii), and
``(iv) any derivative instrument entered into (directly or
indirectly) with such entity or any investor in such entity.

Such term shall not include a partnership interest and shall
not include stock in a taxable corporation.
``(B) Taxable corporation.--The term `taxable corporation'
means--
``(i) a domestic C corporation, or
``(ii) a foreign corporation subject to a comprehensive
foreign income tax (as defined in section 457A(d)(4)).
``(C) Investment management services.--The term `investment
management services' means a substantial quantity of any of
the services described in subsection (c)(1) which are
provided in the conduct of the trade or business of providing
such services.
``(e) Regulations.--The Secretary shall prescribe such
regulations as are necessary or appropriate to carry out the
purposes of this section, including regulations to--
``(1) prevent the avoidance of the purposes of this
section, and
``(2) coordinate this section with the other provisions of
this subchapter.
``(f) Cross Reference.--For 40 percent no fault penalty on
certain underpayments due to the avoidance of this section,
see section 6662.''.
(b) Application to Real Estate Investment Trusts.--
Subsection (c) of section 856 is amended by adding at the end
the following new paragraph:
``(8) Exception from recharacterization of income from
investment services partnership interests.--
``(A) In general.--Paragraphs (2), (3), and (4) shall be
applied without regard to section 710 (relating to special
rules for partners providing investment management services
to partnership).
``(B) Special rule for partnerships owned by reits.--
Section 7704 shall be applied without regard to section 710
in the case of a partnership which meets each of the
following requirements:
``(i) Such partnership is treated as publicly traded under
section 7704 solely by reason of interests in such
partnership being convertible into interests in a real estate
investment trust which is publicly traded.
``(ii) 50 percent or more of the capital and profits
interests of such partnership are owned, directly or
indirectly, at all times during the taxable year by such real
estate investment trust (determined with the application of
section 267(c)).
``(iii) Such partnership meets the requirements of
paragraphs (2), (3), and (4) (applied without regard to
section 710).''.
(c) Imposition of Penalty on Underpayments.--
(1) In general.--Subsection (b) of section 6662 is amended
by inserting after paragraph (5) the following new paragraph:
``(6) The application of subsection (d) of section 710 or
the regulations prescribed under section 710(e) to prevent
the avoidance of the purposes of section 710.''.
(2) Amount of penalty.--
(A) In general.--Section 6662 is amended by adding at the
end the following new subsection:

[[Page S14343]]

``(i) Increase in Penalty in Case of Property Transferred
for Investment Management Services.--In the case of any
portion of an underpayment to which this section applies by
reason of subsection (b)(6), subsection (a) shall be applied
with respect to such portion by substituting `40 percent' for
`20 percent'.''.
(B) Conforming amendments.--Subparagraph (B) of section
6662A(e)(2) is amended--
(i) by striking ``section 6662(h)'' and inserting
``subsection (h) or (i) of section 6662'', and
(ii) by striking ``gross valuation misstatement penalty''
in the heading and inserting ``certain increased underpayment
penalties''.
(3) Reasonable cause exception not applicable.--Subsection
(c) of section 6664 is amended--
(A) by redesignating paragraphs (2) and (3) as paragraphs
(3) and (4), respectively,
(B) by striking ``paragraph (2)'' in paragraph (4), as so
redesignated, and inserting ``paragraph (3)'', and
(C) by inserting after paragraph (1) the following new
paragraph:
``(2) Exception.--Paragraph (1) shall not apply to any
portion of an underpayment to which this section applies by
reason of subsection (b)(6).''.
(d) Conforming Amendments.--
(1) Subsection (d) of section 731 is amended by inserting
``section 710(b)(4) (relating to distributions of partnership
property),'' before ``section 736''.
(2) Section 741 is amended by inserting ``or section 710
(relating to special rules for partners providing investment
management services to partnership)'' before the period at
the end.
(3) Paragraph (13) of section 1402(a) is amended--
(A) by striking ``other than guaranteed'' and inserting
``other than--
``(A) guaranteed'',
(B) by striking the semi-colon at the end and inserting ``,
and'', and
(C) by adding at the end the following new subparagraph:
``(B) any income treated as ordinary income under section
710 received by an individual who provides investment
management services (as defined in section 710(d)(2));''.
(4) Paragraph (12) of section 211(a) of the Social Security
Act is amended--
(A) by striking ``other than guaranteed'' and inserting
``other than--
``(A) guaranteed'',
(B) by striking the semi-colon at the end and inserting ``,
and'', and
(C) by adding at the end the following new subparagraph:
``(B) any income treated as ordinary income under section
710 of the Internal Revenue Code of 1986 received by an
individual who provides investment management services (as
defined in section 710(d)(2) of such Code);''.
(5) The table of sections for part I of subchapter K of
chapter 1 is amended by adding at the end the following new
item:

``Sec. 710. Special rules for partners providing investment management
services to partnership.''.
(e) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall apply
to taxable years ending after November 1, 2007.
(2) Partnership taxable years which include effective
date.--In applying section 710(a) of the Internal Revenue
Code of 1986 (as added by this section) in the case of any
partnership taxable year which includes November 1, 2007, the
amount of the net income referred to in such section shall be
treated as being the lesser of the net income for the entire
partnership taxable year or the net income determined by only
taking into account items attributable to the portion of the
partnership taxable year which is after such date.
(3) Dispositions of partnership interests.--Section 710(b)
of the Internal Revenue Code of 1986 (as added by this
section) shall apply to dispositions and distributions after
November 1, 2007.
(4) Other income and gain in connection with investment
management services.--Section 710(d) of such Code (as added
by this section) shall take effect on November 1, 2007.
(5) Publicly traded partnerships.--For purposes of applying
section 7704, the amendments made by this section shall apply
to taxable years beginning after December 31, 2009.

SEC. 12912. INDEBTEDNESS INCURRED BY A PARTNERSHIP IN
ACQUIRING SECURITIES AND COMMODITIES NOT
TREATED AS ACQUISITION INDEBTEDNESS FOR
ORGANIZATIONS WHICH ARE PARTNERS WITH LIMITED
LIABILITY.

(a) In General.--Subsection (c) of section 514 (relating to
acquisition indebtedness) is amended by adding at the end the
following new paragraph:
``(10) Securities and commodities acquired by partnerships
in which an organization is a partner with limited
liability.--
``(A) In general.--In the case of any organization which is
a partner with limited liability in a partnership, the term
`acquisition indebtedness' does not, for purposes of this
section, include indebtedness incurred or continued by such
partnership in purchasing or carrying any qualified security
or commodity.
``(B) Qualified security or commodity.--For purposes of
this paragraph, the term `qualified security or commodity'
means any security (as defined in section 475(c)(2) without
regard to the last sentence thereof), any commodity (as
defined in section 475(e)(2)), or any option or derivative
contract with respect to such a security or commodity.
``(C) Application to tiered partnerships and other pass-
thru entities.--Rules similar to the rules of subparagraph
(A) shall apply in the case of tiered partnerships and other
pass-thru entities.
``(D) Regulations.--The Secretary may prescribe such
regulations as may be necessary or appropriate to carry out
the purposes of this paragraph, including regulations to
prevent the abuse of this paragraph.''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years beginning after the date of the
enactment of this Act.

SEC. 12913. APPLICATION TO PARTNERSHIP INTERESTS AND TAX
SHARING AGREEMENTS OF RULE TREATING CERTAIN
GAIN ON SALES BETWEEN RELATED PERSONS AS
ORDINARY INCOME.

(a) Partnership Interests.--Subsection (a) of section 1239
is amended to read as follows:
``(a) Treatment of Gain as Ordinary Income.--In the case of
a sale or exchange of property, directly or indirectly,
between related persons, any gain recognized to the
transferor shall be treated as ordinary income if--
``(1) such property is, in the hands of the transferee, of
a character which is subject to the allowance for
depreciation provided in section 167, or
``(2) such property is an interest in a partnership, but
only to the extent of gain attributable to unrealized
appreciation in property which is of a character subject to
the allowance for depreciation provided in section 167.''.
(b) Tax Sharing Agreements.--Section 1239 (relating to gain
from sale of depreciable property between certain related
taxpayers) is amended by adding at the end the following new
subsection:
``(f) Application to Tax Sharing Agreements.--
``(1) In general.--If there is a tax sharing agreement with
respect to any sale or exchange, the transferee and the
transferor shall be treated as related persons for purposes
of this section.
``(2) Tax sharing agreement.--For purposes of this
subsection, the term `tax sharing agreement' means any
agreement which provides for the payment to the transferor of
any amount which is determined by reference to any portion of
the tax benefit realized by the transferee with respect to
the depreciation (or amortization) of the property
transferred.''.
(c) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to sales and
exchanges after the date of the enactment of this Act.
(2) Exception for binding contracts.--The amendment made by
subsection (b) shall not apply to any sale or exchange
pursuant to a written binding contract which includes a tax
sharing agreement and which is in effect on November 1, 2007,
and not modified thereafter in any material respect.

PART III--OTHER PROVISIONS

SEC. 12921. DELAY IN APPLICATION OF WORLDWIDE ALLOCATION OF
INTEREST.

(a) In General.--Paragraphs (5)(D) and (6) of section
864(f) are each amended by striking ``December 31, 2008'' and
inserting ``December 31, 2017''.
(b) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2008.

SEC. 12922. BROKER REPORTING OF CUSTOMER'S BASIS IN
SECURITIES TRANSACTIONS.

(a) In General.--
(1) Broker reporting for securities transactions.--Section
6045 (relating to returns of brokers) is amended by adding at
the end the following new subsection:
``(g) Additional Information Required in the Case of
Securities Transactions.--
``(1) In general.--If a broker is otherwise required to
make a return under subsection (a) with respect to the gross
proceeds of the sale of a covered security, the broker shall
include in such return the information described in paragraph
(2).
``(2) Additional information required.--
``(A) In general.--The information required under paragraph
(1) to be shown on a return with respect to a covered
security of a customer shall include the customer's adjusted
basis in such security and whether any gain or loss with
respect to such security is long-term or short-term (within
the meaning of section 1222).
``(B) Determination of adjusted basis.--For purposes of
subparagraph (A)--
``(i) In general.--The customer's adjusted basis shall be
determined--

``(I) in the case of any stock (other than any stock in an
open-end fund), in accordance with the first-in first-out
method unless the customer notifies the broker by means of
making an adequate identification of the stock sold or
transferred,
``(II) in the case of any stock in an open-end fund
acquired before January 1, 2011, in accordance with any
acceptable method under section 1012 with respect to the
account in which such interest is held,
``(III) in the case of any stock in an open-end fund
acquired after December 31, 2010, in

[[Page S14344]]

accordance with the broker's default method unless the
customer notifies the broker that he elects another
acceptable method under section 1012 with respect to the
account in which such interest is held, and
``(IV) in any other case, under the method for making such
determination under section 1012.

``(ii) Exception for wash sales.--Except as otherwise
provided by the Secretary, the customer's adjusted basis
shall be determined without regard to section 1091 (relating
to loss from wash sales of stock or securities) unless the
transactions occur in the same account with respect to
identical securities.
``(3) Covered security.--For purposes of this subsection--
``(A) In general.--The term `covered security' means any
specified security acquired on or after the applicable date
if such security--
``(i) was acquired through a transaction in the account in
which such security is held, or
``(ii) was transferred to such account from an account in
which such security was a covered security, but only if the
broker received a statement under section 6045A with respect
to the transfer.
``(B) Specified security.--The term `specified security'
means--
``(i) any share of stock in a corporation,
``(ii) any note, bond, debenture, or other evidence of
indebtedness,
``(iii) any commodity, or contract or derivative with
respect to such commodity, if the Secretary determines that
adjusted basis reporting is appropriate for purposes of this
subsection, and
``(iv) any other financial instrument with respect to which
the Secretary determines that adjusted basis reporting is
appropriate for purposes of this subsection.
``(C) Applicable date.--The term `applicable date' means--
``(i) January 1, 2009, in the case of any specified
security which is stock in a corporation, and
``(ii) January 1, 2011, or such later date determined by
the Secretary in the case of any other specified security.
``(4) Open-end fund.--For purposes of this subsection, the
term `open-end fund' means a regulated investment company (as
defined in section 851) which is offering for sale or has
outstanding any redeemable security of which it is the issuer
and the shares of which are not traded on an established
securities exchange.''.
(2) Broker information required with respect to options.--
Section 6045, as amended by subsection (a), is amended by
adding at the end the following new subsection:
``(h) Application to Options on Covered Securities.--
``(1) Exercise of option.--For purposes of this section, in
the case of any exercise of an option on a covered security
where the taxpayer is the grantor of the option and the
option was acquired in the same account as the covered
security, the amount received for the grant of an option on a
covered security shall be treated as an adjustment to gross
proceeds or as an adjustment to basis, as the case may be. A
similar rule shall apply in the case of the exercise of an
option where the taxpayer is not the grantor of the option.
``(2) Lapse or closing transaction.--For purposes of this
section, in the case of the lapse (or closing transaction (as
defined in section 1234(b)(2)(A))) of an option on a covered
security where the taxpayer is the grantor of the option,
this section shall apply as if the premium received for such
option were gross proceeds received on the date of the lapse
or closing transaction, and the cost (if any) of the closing
transaction shall be taken into account as adjusted basis. A
similar rule shall apply in the case of a lapse or closing
transaction where the taxpayer is not the grantor of the
option.
``(3) Prospective application.--Paragraphs (1) and (2)
shall not apply to any option which is granted or acquired
before January 1, 2011.
``(4) Covered security.--For purposes of this subsection,
the term `covered security' shall have the meaning given such
term in subsection (g)(3).''.
(3) Extension of period for statements sent to customers.--
(A) In general.--Subsection (b) of section 6045 is amended
by striking ``January 31'' and inserting ``February 15''.
(B) Statements related to substitute payments.--Subsection
(d) of section 6045 is amended--
(i) by striking ``at such time and'', and
(ii) by inserting after ``other item.'' the following new
sentence: ``The written statement required under the
preceding sentence shall be furnished on or before February
15 of the year following the calendar year during which such
payment was made.''.
(C) Other statements.--Subsection (b) of section 6045 is
amended by adding at the end the following: ``In the case of
a consolidated reporting statement (as defined in
regulations) with respect to any account which includes the
statement required by this subsection, any statement which
would otherwise be required to be furnished on or before
January 31 under section 6042(c), 6049(c)(2)(A), or 6050N(b)
with respect to any item in such account shall instead be
required to be furnished on or before February 15 if
furnished as part of such consolidated reporting
statement.''.
(b) Determination of Basis of Certain Securities on Account
by Account Method.--Section 1012 (relating to basis of
property-cost) is amended--
(1) by striking ``The basis of property'' and inserting the
following:
``(a) In General.--The basis of property'',
(2) by striking ``The cost of real property'' and inserting
the following:
``(b) Special Rule for Apportioned Real Estate Taxes.--The
cost of real property'', and
(3) by adding at the end the following new subsection:
``(c) Determinations by Account.--
``(1) In general.--In the case of the sale, exchange, or
other disposition of a specified security on or after the
applicable date, the conventions prescribed by regulations
under this section shall be applied on an account by account
basis.
``(2) Application to open-end funds.--
``(A) In general.--Except as provided in subparagraph (B),
any stock in an open-end fund acquired before January 1,
2009, shall be treated as a separate account from any such
stock acquired on or after such date.
``(B) Election by open-end fund for treatment as single
account.--If an open-end fund elects (at such time and in
such form and manner as the Secretary may prescribe) to have
this subparagraph apply with respect to one or more of its
stockholders--
``(i) subparagraph (A) shall not apply with respect to any
stock in such fund held by such stockholders, and
``(ii) all stock in such fund which is held by such
stockholders shall be treated as covered securities described
in section 6045(g)(3) without regard to the date of the
acquisition of such stock.
``(3) Definitions.--For purposes of this section, the terms
`specified security', `applicable date', and `open-end fund'
shall have the meaning given such terms in section
6045(g).''.
(c) Information by Transferors To Aid Brokers.--
(1) In general.--Subpart B of part III of subchapter A of
chapter 61 is amended by inserting after section 6045 the
following new section:

``SEC. 6045A. INFORMATION REQUIRED IN CONNECTION WITH
TRANSFERS OF COVERED SECURITIES TO BROKERS.

``(a) Furnishing of Information.--Every applicable person
which transfers to a broker (as defined in section
6045(c)(1)) a security which is a covered security (as
defined in section 6045(g)(3)) in the hands of such
applicable person shall furnish to such broker a written
statement in such manner and setting forth such information
as the Secretary may by regulations prescribe for purposes of
enabling such broker to meet the requirements of section
6045(g).
``(b) Applicable Person.--For purposes of subsection (a),
the term `applicable person' means--
``(1) any broker (as defined in section 6045(c)(1)), and
``(2) any other person as provided by the Secretary in
regulations.
``(c) Time for Furnishing Statement.--Any statement
required by subsection (a) shall be furnished not later than
the earlier of--
``(1) 45 days after the date of the transfer described in
subsection (a), or
``(2) January 15 of the year following the calendar year
during which such transfer occurred.''.
(2) Assessable penalties.--Paragraph (2) of section 6724(d)
(defining payee statement) is amended by redesignating
subparagraphs (I) through (CC) as subparagraphs (J) through
(DD), respectively, and by inserting after subparagraph (H)
the following new subparagraph:
``(I) section 6045A (relating to information required in
connection with transfers of covered securities to
brokers).''.
(3) Clerical amendment.--The table of sections for subpart
B of part III of subchapter A of chapter 61 is amended by
inserting after the item relating to section 6045 the
following new item:

``Sec. 6045A. Information required in connection with transfers of
covered securities to brokers.''.
(d) Additional Issuer Information To Aid Brokers.--
(1) In general.--Subpart B of part III of subchapter A of
chapter 61 of the Internal Revenue Code of 1986, as amended
by subsection (b), is amended by inserting after section
6045A the following new section:

``SEC. 6045B. RETURNS RELATING TO ACTIONS AFFECTING BASIS OF
SPECIFIED SECURITIES.

``(a) In General.--According to the forms or regulations
prescribed by the Secretary, any issuer of a specified
security shall make a return setting forth--
``(1) a description of any organizational action which
affects the basis of such specified security of such issuer,
``(2) the quantitative effect on the basis of such
specified security resulting from such action, and
``(3) such other information as the Secretary may
prescribe.
``(b) Time for Filing Return.--Any return required by
subsection (a) shall be filed not later than the earlier of--
``(1) 45 days after the date of the action described in
subsection (a), or
``(2) January 31 of the year following the calendar year
during which such action occurred.
``(c) Statements To Be Furnished to Holders of Specified
Securities or Their Nominees.--According to the forms or
regulations prescribed by the Secretary, every

[[Page S14345]]

person required to make a return under subsection (a) with
respect to a specified security shall furnish to the nominee
with respect to the specified security (or certificate holder
if there is no nominee) a written statement showing--
``(1) the name, address, and phone number of the
information contact of the person required to make such
return,
``(2) the information required to be shown on such return
with respect to such security, and
``(3) such other information as the Secretary may
prescribe.

The written statement required under the preceding sentence
shall be furnished to the holder on or before January 31 of
the year following the calendar year during which the action
described in subsection (a) occurred.
``(d) Specified Security.--For purposes of this section,
the term `specified security' has the meaning given such term
by section 6045(g)(3)(B). No return shall be required under
this section with respect to actions described in subsection
(a) with respect to a specified security which occur before
the applicable date (as defined in section 6045(g)(3)(C) with
respect to such security.
``(e) Public Reporting in Lieu of Return.--The Secretary
may waive the requirements under subsections (a) and (c) with
respect to a specified security, if the person required to
make the return under subsection (a) makes publicly
available, in such form and manner as the Secretary
determines necessary to carry out the purposes of this
section--
``(1) the name, address, phone number, and email address of
the information contact of such person, and
``(2) the information described in paragraphs (1), (2), and
(3) of subsection (a).''.
(2) Assessable penalties.--
(A) Subparagraph (B) of section 6724(d)(1) of such Code
(defining information return) is amended by redesignating
clauses (iv) through (xix) as clauses (v) through (xx),
respectively, and by inserting after clause (iii) the
following new clause:
``(iv) section 6045B(a) (relating to returns relating to
actions affecting basis of specified securities),''.
(B) Paragraph (2) of section 6724(d) of such Code (defining
payee statement), as amended by subsection (c)(2), is amended
by redesignating subparagraphs (J) through (DD) as
subparagraphs (K) through (EE), respectively, and by
inserting after subparagraph (I) the following new
subparagraph:
``(J) subsections (c) and (e) of section 6045B (relating to
returns relating to actions affecting basis of specified
securities).''.
(3) Clerical amendment.--The table of sections for subpart
B of part III of subchapter A of chapter 61 of such Code, as
amended by subsection (b)(3), is amended by inserting after
the item relating to section 6045A the following new item:

``Sec. 6045B. Returns relating to actions affecting basis of specified
securities.''.
(e) Effective Date.--The amendments made by this section
shall take effect on January 1, 2009.

SEC. 12923. MODIFICATION OF PENALTY FOR FAILURE TO FILE
PARTNERSHIP RETURNS.

Section 6698 is amended by adding at the end the following
new subsection:
``(e) Modifications.--In the case of any return required to
be filed after the date of the enactment of this subsection--
``(1) the dollar amount in effect under subsection (b)(1)
shall be increased by $25, and
``(2) the limitation on the number of months taken into
account under subsection (a) shall not be less than 12
months.''.

SEC. 12924. PENALTY FOR FAILURE TO FILE S CORPORATION
RETURNS.

(a) In General.--Part I of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding at
the end the following new section:

``SEC. 6699A. FAILURE TO FILE S CORPORATION RETURN.

``(a) General Rule.--In addition to the penalty imposed by
section 7203 (relating to willful failure to file return,
supply information, or pay tax), if any S corporation
required to file a return under section 6037 for any taxable
year--
``(1) fails to file such return at the time prescribed
therefor (determined with regard to any extension of time for
filing), or
``(2) files a return which fails to show the information
required under section 6037,

such S corporation shall be liable for a penalty determined
under subsection (b) for each month (or fraction thereof)
during which such failure continues (but not to exceed 12
months), unless it is shown that such failure is due to
reasonable cause.
``(b) Amount Per Month.--For purposes of subsection (a),
the amount determined under this subsection for any month is
the product of--
``(1) $25, multiplied by
``(2) the number of persons who were shareholders in the S
corporation during any part of the taxable year.
``(c) Assessment of Penalty.--The penalty imposed by
subsection (a) shall be assessed against the S corporation.
``(d) Deficiency Procedures Not to Apply.--Subchapter B of
chapter 63 (relating to deficiency procedures for income,
estate, gift, and certain excise taxes) shall not apply in
respect of the assessment or collection of any penalty
imposed by subsection (a).''.
(b) Clerical Amendment.--The table of sections for part I
of subchapter B of chapter 68 is amended by adding at the end
the following new item:

``Sec. 6699A. Failure to file S corporation return.''.
(c) Effective Date.--The amendments made by this section
shall apply to returns required to be filed after the date of
the enactment of this Act.

SEC. 12925. TIME FOR PAYMENT OF CORPORATE ESTIMATED TAXES.

Subparagraph (B) of section 401(1) of the Tax Increase
Prevention and Reconciliation Act of 2005 is amended by
striking ``115 percent'' and inserting ``181 percent''.
______

SA 3643. Mr. CORNYN (for himself and Mr. Gregg) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 1362, after line 19, insert the following:

SEC. __. POINT OF ORDER AGAINST LEGISLATION THAT RAISES
INCOME TAX RATES.

(a) In General.--It shall not be in order in the Senate to
consider any bill, resolution, amendment, amendment between
Houses, motion, or conference report that includes a Federal
income tax rate increase.
(b) Federal Income Tax Rate Defined.--In this section, the
term ``Federal income tax rate increase'' means any amendment
to subsection (a), (b), (c), (d), or (e) of section 1, or to
section 11(b) or 55(b), of the Internal Revenue Code of 1986,
that imposes a new percentage as a rate of tax and thereby
increases the amount of tax imposed by any such section.
(c) Supermajority Waiver and Appeal.--
(1) Waiver.--This section may be waived or suspended in the
Senate only by an affirmative vote of three-fifths of the
Members, duly chosen and sworn.
(2) Appeal.--An affirmative vote of three-fifths of the
Members of the Senate, duly chosen and sworn, shall be
required in the Senate to sustain an appeal of the ruling of
the Chair on a point of order raised under this section.
______

SA 3644. Mr. CORNYN submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 626, line 7, insert ``(including childhood
obesity)'' after ``obesity''.
______

SA 3645. Mr. ENSIGN submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

Beginning on page 210, strike line 20 and all that follows
through page 211, line 19, and insert the following:
``(1) Programs.--
``(A) Commodity programs.--Notwithstanding any other
provision of law, an individual or entity shall not be
eligible to receive any benefit described in paragraph (2)(A)
during a crop year if the average adjusted gross income of
the individual or entity exceeds $200,000.
``(B) Conservation programs.--Not-
On page 212, lines 6 and 7, strike ``Subparagraphs (A) and
(B) of paragraph (1)'' and insert ``Paragraph (1)(A)''.
On page 212, line 21, strike ``(1)(C)'' and inserting
``(1)(B)''.
______

SA 3646. Mr. INOUYE (for himself, Mr. Roberts, Mr. Lott, Mr.
Lautenberg, Mr. Smith, and Mr. Vitter) submitted an amendment intended
to be proposed to amendment SA 3500 proposed by Mr. Harkin (for
himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R.
2419, to provide for the continuation of agricultural programs through
fiscal year 2012, and for other purposes; which was ordered to lie on
the table; as follows:

On page 525, strike lines 1 through 4 and insert the
following: ``Chapter 9 of part I of the Foreign Assistance
Act of 1961 (22 U.S.C. 2292)''.

SEC. 3014. PILOT PROGRAM FOR LOCAL PURCHASE.

Chapter 9 of part I of the Foreign Assistance Act of 1961
(22 U.S.C. 2292 et seq.) is amended by adding at the end the
following:

``SEC. 495L. PILOT PROGRAM FOR LOCAL PURCHASE OF ELIGIBLE
COMMODITIES.

On page 525, between lines 5 and 6, insert the following:
``(1) Administrator.--The term `Administrator' means the
Administrator of the Agency for International Development.

[[Page S14346]]

On page 525, lines 6 and 7, strike ``Notwithstanding
section 402(2), the term'' and insert ``The term''.
On page 525, line 17, insert ``of the Food for Peace Act''
after ``section 202(d)''.
On page 526, lines 4 through 6, strike ``Notwithstanding
section 407(c)(1)(A), the Administrator, in consultation with
the Secretary'' and insert ``The Administrator''.
On page 527, lines 5 and 6, strike ``Subject to subsections
(a), (b), (f), and (h) of section 403, eligible commodities''
and insert ``Eligible commodities''.
On page 529, strike lines 10 through 12.
On page 534, strike lines 1 through 11 and insert the
following:
``(k) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
up to $25,000,000 for each of the fiscal years 2008 through
2011 to carry out this section.
``(2) Availability.--Any amounts appropriated pursuant to
paragraph (1) shall remain available until expended.''.
______

SA 3647. Mr. FEINGOLD submitted an amendment intended to be proposed
to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 563, between lines 15 and 16, insert the following:

SEC. 320__. REPORT ON THE IMPORTATION OF HIGH PROTEIN FOOD
INGREDIENTS.

(a) In General.--Not later than 180 days after the date of
enactment of this Act, the Secretary and the Secretary of
Health and Human Services (acting through the Commissioner of
Food and Drugs), in consultation with the heads of other
appropriate Federal agencies, shall jointly submit to
Congress a report on imports of high protein food ingredients
(including gluten, casein, and milk protein concentrate) into
the United States during the 5-year period preceding the date
of enactment of this Act.
(b) Components.--The report required under subsection (a)
shall include--
(1) a description of--
(A) the quantity of each high protein food ingredient
imported into the United States; and
(B) the source of the high protein food ingredients being
imported;
(2) an accounting of the percentage of imports in each
category and subcategory of high protein food ingredients
that were inspected, including whether the inspections were--
(A) basic or visual inspections; or
(B) more intensive inspections or laboratory analyses;
(3) an evaluation of--
(A) whether the laboratory tests conducted on high protein
food ingredients were able to detect adulteration with other
high nitrogen compounds, such as melamine; and
(B) if some of the laboratory tests were sensitive and
others were not sensitive, the number and results for each
sensitivity; and
(4) a survey of whether high protein food ingredients were
imported for food uses or non-food uses, including an
analysis of--
(A) whether the food uses were animal or human food uses;
and
(B) whether any non-food or animal feed products could have
entered the human food supply, including an analysis of any
safeguards to prevent such products from entering the human
food supply.
(c) Availability.--As soon as practicable after the
completion of the report under subsection (a), the Secretary
and the Secretary of Health and Human Services shall make the
report available to the public.
______

SA 3648. Mr. FEINGOLD (for himself and Mr. Kohl) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 1208, between lines 10 and 11, insert the
following:

SEC. 10004. DISCLOSURE OF COUNTRY OF HARVEST FOR GINSENG.

(a) In General.--The Agricultural Marketing Act of 1946 (7
U.S.C. 1621 et seq.) is amended by adding at the end the
following:

``Subtitle E--Ginseng

``SEC. 291. DISCLOSURE OF COUNTRY OF HARVEST.

``(a) Definitions.--In this section:
``(1) Ginseng.--The term `ginseng' means a plant classified
within the genus Panax.
``(2) Raw agricultural commodity.--The term `raw
agricultural commodity' has the meaning given the term in
section 201 of the Federal Food, Drug, and Cosmetic Act (21
U.S.C. 321).
``(3) Secretary.--The term `Secretary' means the Secretary
of Agriculture.
``(b) Disclosure.--
``(1) In general.--A person that offers ginseng for sale as
a raw agricultural commodity shall disclose to a potential
purchaser the country of harvest of the ginseng.
``(2) Importation.--A person that imports ginseng as a raw
agricultural commodity into the United States shall disclose
at the point of entry into the United States, in accordance
with section 304 of the Tariff Act of 1930 (19 U.S.C. 1304),
the country in which the ginseng was harvested.
``(c) Manner of Disclosure.--
``(1) In general.--The disclosure required by subsection
(b) shall be provided to a potential purchaser by means of a
label, stamp, mark, placard, or other easily legible and
visible sign on the ginseng or on the package, display,
holding unit, or bin containing the ginseng.
``(2) Retailers.--A retailer of ginseng as a raw
agricultural commodity shall--
``(A) retain the means of disclosure provided under
subsection (b); and
``(B) provide the received means of disclosure to a
consumer of ginseng.
``(3) Regulations.--The Secretary shall by regulation
prescribe with specificity the manner in which disclosure
shall be made in a transaction at the wholesale or retail
level (including a transaction by mail, telephone, internet,
or in retail stores).
``(d) Fines.--The Secretary may, after providing notice and
an opportunity for a hearing before the Secretary, fine a
person subject to subsection (b), or a person supplying
ginseng to such a person, in an amount of not more than
$1,000 for each violation if the Secretary determines that
the person--
``(1) has not made a good faith effort to comply with
subsection (b); and
``(2) continues to willfully violate subsection (b).
``(e) Information.--The Secretary shall make information
available to wholesalers, importers, retailers, trade
associations, and other interested persons concerning the
requirements of this section (including regulations
promulgated to carry out this section).''.
(b) Effective Date.--This section and the amendments made
by this section take effect on the date that is 180 days
after the date of enactment of this Act.
______

SA 3649. Mr. KERRY (for himself, Mr. Kennedy, Ms. Snowe, Mr. Gregg,
Mr. Sununu, Mr. Reed, and Ms. Collins) submitted an amendment intended
to be proposed by him to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

At the appropriate place, insert the following new section:

SEC. __. FISHERY FAILURE OF THE NORTHEAST GROUNDFISH.

(a) Findings.--Congress makes the following findings:
(1) The Secretary of Commerce may provide fishery disaster
assistance under section 312(a) of the Magnuson-Stevens
Fishery Conservation and Management Act (16 U.S.C. 1861a(a))
if the Secretary determines that there is a commercial
fishery failure due to a fishery resource disaster as a
result of--
(A) natural causes;
(B) man-made causes beyond the control of fishery managers
to mitigate through conservation and management measures,
including regulatory restrictions imposed to protect human
health or the marine environment; or
(C) undetermined causes.
(2) The Secretary of Commerce has not proposed or
promulgated regulations to implement such section 312(a).
(3) During 2007, the Governors of each of the Commonwealth
of Massachusetts, the State of Maine, and the State of Rhode
Island requested that the Secretary of Commerce declare a
commercial fishery failure for the groundfish fishery under
such section 312(a) and the Governor of the State of New
Hampshire has indicated his intention of submitting a similar
request.
(4) Since 1996, the Secretary of Commerce has had
regulations in place that require significant restrictions
and reductions on the catch and days-at-sea of New England
fishermen in the groundfish fishery.
(5) New England fishermen in the groundfish fishery have
endured additional restrictions and reductions under
Framework 42, which has resulted in many fishermen having
just 24 days to fish during a season.
(6) Framework 42 and other Federal fishing restrictions
have had a great impact on small-boat fishermen, many of whom
cannot safely fish beyond the inshore areas. As of the date
of the enactment of this Act, each day-at-sea a fisherman
spends in an inshore area reduces that fisherman's number of
available days-at-sea by 2 days.
(7) The Commonwealth of Massachusetts has provided
information to the Secretary of Commerce demonstrating that--
(A) between 1994 and 2006, overall conditions of groundfish
stocks have not improved and that spawning stock biomass is
near record lows for most major groundfish stocks; and
(B) between 2005 and 2006, total Massachusetts commercial
groundfish vessel revenues (landings) decreased by 18 percent
and there was a loss for related industries and communities
estimated at $22,000,000.
(8) The State of Maine has provided information to the
Secretary of Commerce indicating that--
(A) since 1994, the impact of groundfish regulations has
eliminated 50 percent of Maine's groundfish fleet, leaving
just 110 active groundfish fishermen;
(B) between 1996 and 2006, there was a 58 percent decrease
in groundfish landings in

[[Page S14347]]

Maine and a 45 percent decrease in groundfish revenue, from
approximately $27,000,000 to $15,000,000; and
(C) between 2005 and 2006, groundfish revenues decreased 25
percent.
(9) The State of Rhode Island has provided information to
the Secretary of Commerce indicating that--
(A) since 1994, there has been a 66 percent drop in Rhode
Island's groundfish fishery landings; and
(B) between 1995 and 2007, groundfish revenue decreased 20
percent from approximately $7,500,000 to $6,000,000.
(10) The Secretary of Commerce rejected requests from
Massachusetts, Maine, and Rhode Island to declare a
commercial fishery failure prior to establishing any
appropriate standard to implement section 312(a) of the
Magnuson-Stevens Fishery Conservation and Management Act.
(11) For centuries, growth in New England's commercial
fishing industry has been intertwined with the history and
economic growth of the New England States and has created
thousands of jobs in both fishing and fishing-related
industries for generations of New England residents.
(b) Sense of Congress.--It is the sense of Congress that
the Secretary of Commerce should--
(1) reconsider the October 22, 2007 decision to deny the
requests of the Commonwealth of Massachusetts, the State of
Maine, and the State of Rhode Island for a groundfish fishery
failure declaration;
(2) look favorably upon the request of the State of New
Hampshire for a groundfish fishery failure declaration; and
(3) immediately propose regulations to implement section
312(a) of the Magnuson-Stevens Fishery Conservation and
Management Act (16 U.S.C. 1861a(a)).
______

SA 3650. Mrs. HUTCHISON submitted an amendment intended to be
proposed to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr.
Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to
provide for the continuation of agricultural programs through fiscal
year 2012, and for other purposes; which was ordered to lie on the
table; as follows:

On page 1192, strike line 13 and insert the following:

``SEC. 9023. RENEWABLE ENERGY INITIATIVE.

``(a) In General.--The Secretary, in consultation with the
Secretary of Energy, shall provide competitive grants to
consortia of institutions of higher education to assist the
consortia with the conduct of--
``(1) studies on, and the development of engineering
designs for, the production of advanced biofuel, biobutanol,
and biodiesel from regional bioresources;
``(2) studies to develop systems for the commercial
production of biofuel feedstocks from rice, other crops, and
other agriculture residue;
``(3) pilot plant demonstration projects for advanced
biofuel production and biodiesel production;
``(4) research on biofuel distribution systems; and
``(5) educational activities relating to renewable energy
science and technology.
``(b) Provision of Grants.--
``(1) Applications.--The Secretary shall solicit from
individual institutions of higher education and consortia of
institutions of higher education applications for projects
eligible for grants under this section.
``(2) Priority.--In providing grants under this section,
the Secretary shall give priority to individual institutions
of higher education and consortia of institutions of higher
education that have--
``(A) resources for, and expertise in, renewable energy
research and production;
``(B) significant experience in working with agricultural
producers;
``(C) access to land and biofeedstocks;
``(D) the ability to study methods for reducing lifecycle
greenhouse gas emissions;
``(E) demonstrated a willingness to contribute significant
in-kind resources; and
``(F) engineering and research knowledge and experience
relating to biofuels or the production of inputs for biofuel
production.
``(c) Authorization of Appropriations.--There are
authorized to be appropriated such sums as are necessary to
carry out this section for each of fiscal years 2008 through
2012, to remain available until expended.

``SEC. 9024. FUTURE FARMSTEADS PROGRAM.

______

SA 3651. Mr. CORKER (for himself and Mr. Alexander) submitted an
amendment intended to be proposed to amendment SA 3500 proposed by Mr.
Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to
the bill H.R. 2419, to provide for the continuation of agricultural
programs through fiscal year 2012, and for other purposes; which was
ordered to lie on the table; as follows:

On page 1500, between lines 10 and 11, insert the
following:

PART V--COMPETITIVE CERTIFICATION AWARDS

SEC. 12701. COMPETITIVE CERTIFICATION AWARDS MODIFICATION
AUTHORITY.

(a) In General.--Section 48A (relating to qualifying
advanced coal project credit) is amended by adding at the end
the following new subsection:
``(h) Competitive Certification Awards Modification
Authority.--In implementing this section or section 48B, the
Secretary is directed to modify the terms of any competitive
certification award and any associated closing agreement
where such modification--
``(1) is consistent with the objectives of such section,
and
``(2) is requested by the recipient of the competitive
certification award,

unless the Secretary determines that the dollar amount of tax
credits available to the taxpayer under such section would
increase, or that the net public benefits associated with the
original application would be reduced, as a result of the
modification. In considering any such modification, the
Secretary shall consult with other relevant Federal agencies,
including the Department of Energy.''.
(b) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act
and is applicable to all competitive certification awards
entered into under section 48A or 48B of the Internal Revenue
Code of 1986, whether such awards were issued before, on, or
after such date of enactment.
______

SA 3652. Mr. LAUTENBERG (for himself, Mrs. Dole, and Mr. Smith)
submitted an amendment intended to be proposed to amendment SA 3500
proposed by Mr. Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr.
Grassley) to the bill H.R. 2419, to provide for the continuation of
agricultural programs through fiscal year 2012, and for other purposes;
which was ordered to lie on the table; as follows:

On page 692, between lines 17 and 18, insert the following:

SEC. 49__. FOOD EMPLOYMENT EMPOWERMENT AND DEVELOPMENT
PROGRAM.

(a) Definitions.--In this section:
(1) Eligible entity.--The term ``eligible entity'' means an
entity that meets the requirements of subsection (b)(2).
(2) Vulnerable subpopulation.--
(A) In general.--The term ``vulnerable subpopulation''
means low-income individuals, unemployed individuals, and
other subpopulations identified by the Secretary as being
likely to experience special risks from hunger or a special
need for job training.
(B) Inclusions.--The term ``vulnerable subpopulation''
includes--
(i) addicts (as defined in section 102 of the Controlled
Substances Act (21 U.S.C. 802));
(ii) at-risk youths (as defined in section 1432 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
6472));
(iii) individuals that are basic skills deficient (as
defined in section 101 of the Workforce Investment Act of
1998 (29 U.S.C. 2801));
(iv) homeless individuals (as defined in section 17(b) of
the Child Nutrition Act of 1966 (42 U.S.C. 1786(b));
(v) homeless youths (as defined in section 387 of the
Runaway and Homeless Youth Act (42 U.S.C. 5732a));
(vi) individuals with disabilities (as defined in section 3
of the Americans with Disabilities Act of 1990 (42 U.S.C.
12102));
(vii) low-income individuals (as defined in section 101 of
the Workforce Investment Act of 1998 (29 U.S.C. 2801)); and
(viii) older individuals (as defined in section 102 of the
Older Americans Act of 1965 (42 U.S.C. 3002)).
(b) Food Employment Empowerment and Development Program.--
(1) Establishment.--The Secretary shall establish a food
employment empowerment and development program under which
the Secretary shall make grants to eligible entities to
encourage the effective use of community resources to combat
hunger and the root causes of hunger by creating opportunity
through food recovery and job training.
(2) Eligible entities.--To be eligible to receive a grant
under this section, an entity shall be a public agency, or
private nonprofit institution, that conducts, or will
conduct, 2 or more of the following activities as an integral
part of the normal operation of the entity:
(A) Recovery of donated food from area restaurants,
caterers, hotels, cafeterias, farms, or other food service
businesses.
(B) Distribution of meals or recovered food to--
(i) nonprofit organizations described in section 501(c)(3)
of the Internal Revenue Code of 1986;
(ii) entities that feed vulnerable subpopulations; and
(iii) other agencies considered appropriate by the
Secretary.
(C) Training of unemployed and underemployed adults for
careers in the food service industry.
(D) Carrying out of a welfare-to-work job training program
in combination with--
(i) production of school meals, such as school meals served
under the Richard B. Russell National School Lunch Act (42
U.S.C. 1751 et seq.) or the Child Nutrition Act of 1966 (42
U.S.C. 1771 et seq.); or
(ii) support for after-school programs, such as programs
conducted by community learning centers (as defined in
section 4201(b) of the Elementary and Secondary Education Act
of 1965 (20 U.S.C. 7171(b))).
(3) Use of funds.--An eligible entity may use a grant
awarded under this section for--
(A) capital investments related to the operation of the
eligible entity;

[[Page S14348]]

(B) support services for clients, including staff, of the
eligible entity and individuals enrolled in job training
programs;
(C) purchase of equipment and supplies related to the
operation of the eligible entity or that improve or directly
affect service delivery;
(D) building and kitchen renovations that improve or
directly affect service delivery;
(E) educational material and services;
(F) administrative costs, in accordance with guidelines
established by the Secretary; and
(G) additional activities determined appropriate by the
Secretary.
(4) Preferences.--In awarding grants under this section,
the Secretary shall give preference to eligible entities that
perform, or will perform, any of the following activities:
(A) Carrying out food recovery programs that are integrated
with--
(i) culinary worker training programs, such as programs
conducted by a food service management institute under
section 21 of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1769b-1);
(ii) school education programs; or
(iii) programs of service-learning (as defined in section
101 of the National and Community Service Act of 1990 (42
U.S.C. 12511)).
(B) Providing job skills training, life skills training,
and case management support to vulnerable subpopulations.
(C) Integrating recovery and distribution of food with a
job training program.
(D) Maximizing the use of an established school, community,
or private food service facility or resource in meal
preparation and culinary skills training.
(E) Providing job skills training, life skills training,
and case management support to vulnerable subpopulations.
(5) Eligibility for job training.--To be eligible to
receive job training assistance from an eligible entity using
a grant made available under this section, an individual
shall be a member of a vulnerable subpopulation.
(6) Performance indicators.--The Secretary shall establish,
for each year of the program, performance indicators and
expected levels of performance for meal and food distribution
and job training for eligible entities to continue to receive
and use grants under this section.
(7) Technical assistance.--
(A) In general.--The Secretary shall provide technical
assistance to eligible entities that receive grants under
this section to assist the eligible entities in carrying out
programs under this section using the grants.
(B) Form.--Technical assistance for a program provided
under this paragraph includes--
(i) maintenance of a website, newsletters, email
communications, and other tools to promote shared
communications, expertise, and best practices;
(ii) hosting of an annual meeting or other forums to
provide education and outreach to all programs participants;
(iii) collection of data for each program to ensure that
the performance indicators and purposes of the program are
met or exceeded;
(iv) intervention (if necessary) to assist an eligible
entity to carry out the program in a manner that meets or
exceeds the performance indicators and purposes of the
program;
(v) consultation and assistance to an eligible entity to
assist the eligible entity in providing the best services
practicable to the community served by the eligible entity,
including consultation and assistance related to--

(I) strategic plans;
(II) board development;
(III) fund development;
(IV) mission development; and
(V) other activities considered appropriate by the
Secretary;

(vi) assistance considered appropriate by the Secretary
regarding--

(I) the status of program participants;
(II) the demographic characteristics of program
participants that affect program services;
(III) any new idea that could be integrated into the
program; and
(IV) the review of grant proposals; and

(vii) any other forms of technical assistance the Secretary
considers appropriate.
(8) Relationship to other law.--
(A) Bill emerson good samaritan food donation act.--An
action taken by an eligible entity using a grant provided
under this section shall be covered by the Bill Emerson Good
Samaritan Food Donation Act (42 U.S.C. 1791).
(B) Food handling guidelines.--In using a grant provided
under this section, an eligible entity shall comply with any
applicable food handling guideline established by a State or
local authority.
(C) Inspections.--An eligible entity using a grant provided
under this section shall be exempt from inspection under
sections 303.1(d)(2)(iii) and 381.10(d)(2)(iii) of volume 9,
Code of Federal Regulations (or a successor regulation), if
the eligible entity--
(i) has a hazard analysis and critical control point
(HACCP) plan;
(ii) has a sanitation standard operating procedure (SSOP);
and
(iii) otherwise complies with the Federal Meat Inspection
Act (21 U.S.C. 601 et seq.) and the Poultry Products
Inspection Act (21 U.S.C. 451 et seq.).
(9) Maximum amount of grant.--The amount of a grant
provided to an eligible entity for a fiscal year under this
section shall not exceed $200,000.
(c) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated
such sums as are necessary to carry out this section for each
of fiscal years 2008 through 2012.
(2) Technical assistance.--Of the amount of funds that are
made available for a fiscal year under paragraph (1), the
Secretary shall use to provide technical assistance under
subsection (b)(7) not more than the greater of--
(A) 5 percent of the amount of funds that are made
available for the fiscal year under paragraph (1); or
(B) $1,000,000.
______

SA 3653. Mr. COBURN submitted an amendment intended to be proposed to
amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss,
Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the
continuation of agricultural programs through fiscal year 2012, and for
other purposes; which was ordered to lie on the table; as follows:

On page 266, between lines 10 and 11, insert the following:

SEC. 19__. ELIGIBILITY FOR DEPARTMENT PROGRAMS.

(a) In General.--Section 508(b)(7) of the Federal Crop
Insurance Act (7 U.S.C. 1508(b)(7)) is amended by striking
subparagraph (A) and inserting the following:
``(A) In general.--
``(i) Requirement to purchase crop insurance.--Effective
for the spring-planted 2008 and subsequent crops (and fall-
planted 2008 crops at the option of the Secretary), to be
eligible for any benefit listed in clause (ii), a person
shall obtain additional coverage under subsection (c), if
available, for each crop of economic significance that--

``(I) covers at least 55 percent of loss in yield, on an
individual or area yield basis, and that indemnifies at 100
percent of the expected market price; or
``(II) provides a level of coverage that is comparable to
the coverage described in subclause (I), as determined by the
Secretary.

``(ii) Covered benefits.--Benefits referred to in clause
(i) are any type of price support, payment, loan, or other
benefit, as determined by the Secretary--

``(I) described in section 371(b) of the Consolidated Farm
and Rural Development Act (7 U.S.C. 2008f(b)); or
``(II) authorized under--

``(aa) title XII of the Food Security Act of 1985 (16
U.S.C. 3801 et seq.);
``(bb) title I of the Farm Security and Rural Investment
Act of 2002 (7 U.S.C. 7901 et seq.);
``(cc) title I of the Food and Energy Security Act of 2007;
``(dd) the Commodity Credit Corporation Charter Act (15
U.S.C. 714 et seq.);
``(ee) any law providing agricultural disaster assistance;
or
``(ff) any other similar Act administered by the Secretary,
as determined by the Secretary.''.
(b)Payment of Portion of Premium by Corporation.--Section
508(e)(2) of the Federal Crop Insurance Act (7 U.S.C.
1508(e)(2)) is amended--
(1) in subparagraph (B)(i), by striking ``67 percent'' and
inserting ``62 percent'';
(2) in subparagraph (C)(i), by striking ``64 percent'' and
inserting ``59 percent'';
(3) in subparagraph (D)(i), by striking ``59 percent'' and
inserting ``54 percent'';
(4) in subparagraph (E)(i), by striking ``55 percent'' and
inserting ``53 percent'';
(5) in subparagraph (F)(i), by striking ``48 percent'' and
inserting ``46 percent''; and
(6) in subparagraph (G)(i), by striking ``38 percent'' and
inserting ``36 percent''.
(c) Conforming Amendment.--Section 371(a) of the
Consolidated Farm and Rural Development Act (7 U.S.C.
2008f(a)) is amended by striking ``at least catastrophic''
and all that follows through the end of the subsection and
inserting ``insurance coverage pursuant to section 508(b)(7)
of the Federal Crop Insurance Act (7 U.S.C.1508(b)(7)).''.

____________________