S.Amdt. 298

SA 298. Mr. GRASSLEY submitted an amendment intended to be proposed
to amendment SA 98 proposed by Mr. Inouye (for himself and Mr. Baucus)
to the bill H.R. 1, making supplemental appropriations for job
preservation and creation, infrastructure investment, energy efficiency
and science, assistance to the unemployed, and State and local fiscal
stabilization, for fiscal year ending September 30, 2009, and for other
purposes; which was ordered to lie on the table; as follows:

On page 723, between lines 7 and 8, insert the following:
(3) Quarterly certification of no new taxes.--
(A) In general.--For each fiscal year quarter during the
recession adjustment period, a State eligible for an
increased FMAP under this section shall certify to the
Secretary, as a condition of receiving the additional Federal
funds resulting from the application of this section to the
State for the quarter, that the State will not take any
action to raise State income, property, or sales taxes during
the quarter. Any State that fails to make such a
certification shall not be eligible for such additional
Federal funds and any State that makes such a certification
and is determined by the Secretary to have taken an action
that results in an increase in the State income, property, or
sales taxes during

[[Page S1589]]

the quarter shall pay the Secretary an amount equal to the
additional Federal funds paid to the State under this section
during the period of noncompliance and shall cease to be
eligible for an increased FMAP under this section for the
remainder of the recession adjustment period.
(B) Nonapplication to state action taken prior to date of
enactment.--In the case of a State that enacted a law or took
other action before the date of enactment of this Act that
will result in an increase in State income, property, or
sales taxes during any quarter of the recession adjustment
period, the State shall not be ineligible for an increased
FMAP under this section for any such quarter if the State
certifies that it will not enact any new such law or take any
new such action after the date of enactment of this Act and
for the remainder of the recession adjustment period and the
State submits the quarterly certifications required under
subparagraph (A).
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