[Pages S3146-S3162]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

  By Mr. REID (for Mrs. Clinton):
  S. 2877. A bill to improve and enhance research and programs on 
cancer survivorship, and for other purposes; to the Committee on 
Health, Education, Labor, and Pensions.
  Mrs. CLINTON. Mr. President, I rise to introduce the Pediatric, 
Adolescent, and Young Adult Cancer Survivorship and Quality of Life 
Act, legislation introduced on the House side by Representatives Solis 
and Bono.
  The National Cancer Institute estimates that there are more than 10 
million cancer survivors in the United States. Advances in medical 
research have resulted in earlier diagnoses, more effective treatments, 
and improvements in medical outcomes for Americans with cancer.
  These advances in cancer care are especially evident when examining 
our gains for pediatric cancers. The 5-year survival rate for children 
with cancer has improved markedly over the past decades, from 56 
percent for those diagnosed in the mid-1970s to 79 percent for those 
diagnosed between 1995 and 2000. There are now more than 270,000 
childhood cancer survivors in the U.S., and that number is expected to 
increase as we gain a better understanding of pediatric cancers and 
ways to treat them.
  But in the years that we have made these gains in addressing cancer 
in children, we have also learned that many of these survivors 
experience what are known as ``late effects'' resulting from either the 
cancer or its treatment. These late effects include things like 
additional cancers, osteoporosis, heart problems and reduced lung 
capacity. As many as a quarter of childhood cancer survivors experience 
late effects that are serious or life-threatening. We must be doing 
more to ensure that the quality of life of children who have survived 
cancer is as high as possible, and that life-saving treatments result 
in as few long-term side effects as possible.
  It is also important to note that health care disparities also impact 
pediatric cancer care and survivorship. African-Americans, Hispanics, 
and Asian/Pacific Islander children have

[[Page S3147]]

higher rates of certain cancers than their white counterparts. In 
addition, due to disparities in access to care, these individuals may 
fail to receive adequate treatments for late effects of cancers. We 
need to improve our efforts to ensure that racial and ethnic 
disparities are eliminated from cancer care.
  In a 2005 report, titled ``From Cancer Patient to Cancer Survivor: 
Lost in Transition'', the Institute of Medicine, IOM, recommended 
several measures we can take as a nation to improve the quality of life 
for children and young adults who are impacted by cancer. The 
legislation that I am introducing today will allow us to implement some 
of those recommendations, including expansion of cancer control and 
surveillance programs, increasing research in survivorship, and 
developing model systems of care and monitoring for cancer survivors. 
It will also create grants to establish childhood cancer survivorship 
clinics, and help childhood cancer organizations expand and improve 
their work in providing care and treatment.
  I look forward to working with my colleagues in the Senate to ensure 
that we address the needs of cancer survivors throughout the lifespan, 
and help to improve the quality of life for the many children and 
families that struggle with a cancer diagnosis.
                                 ______
                                 
      By Mr. SALAZAR:
  S. 2879. A bill to provide for orderly and balanced development of 
energy resources within the Roan Plateau Planning Area of Colorado, and 
for other purposes; to the Committee on Energy and Natural Resources.
  Mr. SALAZAR. Mr. President, I rise today to introduce legislation to 
ensure responsible development of the energy resources under Colorado's 
Roan Plateau in a manner that minimizes the adverse impacts on its 
unique ecological resources while maximizing the financial returns to 
the State of Colorado and to our country. This legislation was 
developed jointly with my colleagues Representative John Salazar and 
Representative Mark Udall, who plan to introduce the legislation today 
in the House.
  The Roan Plateau, an area of pristine wilderness in northwestern 
Colorado, rises 3,500 feet out of the Colorado River Valley. It boasts 
native cutthroat trout streams and has some of the best winter elk and 
mule deer habitat left in the heavily developed Piceance Basin. The 
Roan has long been a favorite destination for hunters and anglers. The 
mule deer, elk, black bear, and native trout that find habitat on top 
and at the base of the Roan Plateau are an economic engine all their 
own, drawing tourism and recreation dollars to towns like Glenwood 
Springs, Rifle, Silt, and Parachute.
  Recently the Department of Interior's Bureau of Land Management, 
which oversees the public lands on the Roan and the minerals beneath 
them, announced that it is opening these lands for energy development. 
Under the BLM plan, 67,000 acres of public lands on and around the Roan 
Plateau will be open for natural gas drilling as soon as this year. We 
in Colorado are blessed to be home to significant energy resources, and 
tapping these resources is important to sustain our Nation's energy 
needs and invigorate the Colorado State economy. But in its current 
form, the BLM plan lacks adequate protections for the Roan's land, 
water, and wildlife--the very things that support the outfitters, 
guides, hotels and restaurants in the area. And by proposing to lease 
all of the undeveloped public lands at once, the BLM plan would sell 
Colorado short.
  Drilling is already happening on roughly half of the plateau that is 
either owned or leased by the natural gas industry. Without question, 
western Colorado is experiencing a boom in energy development. During 
the decade of the 1990s, the average number of completed gas wells per 
year in Garfield County--the home of the Roan--was 80. The number of 
completed wells has climbed rapidly since 2000, setting a new high each 
year. In 2006, 840 new wells were completed in Garfield County. This 
rapid expansion of activity has created new jobs in the region, but has 
also stoked new conflicts between the energy values and environmental, 
ecological, and recreation values of these lands. The impacts of this 
development are being felt by landowners and outdoor enthusiasts alike. 
Sportsmen have watched as public hunting areas, habitat, and important 
watersheds have been irreparably degraded as a result of widespread 
development.
  With this level of development occurring we must ensure that the most 
pristine areas of the plateau that remain are protected, that oil and 
gas development in the region occurs with minimal disturbance, and that 
Colorado receives the best possible financial return on any oil and gas 
leases.
  Our legislation has three main functions that work to address these 
issues. First, it requires phased leasing on top of the plateau to 
maximize state revenues and better protect wildlife habitat and the 
environment. Second, it ensures protection of critical cutthroat trout 
watersheds and other wildlife habitat on top and around the base of the 
Roan Plateau. Lastly, it contains a conforming amendment to the 
Transfer Act to ensure that Colorado receives its fair share of leasing 
revenues rather than directing this money, as the Transfer Act 
specifies, to the Anvil Points cleanup fund, which is in surplus.
  The phased leasing provision requires BLM to lease less sensitive 
areas outside of cutthroat trout watersheds first, rather than leasing 
all available development areas at once. In selecting areas for 
leasing, BLM must take into consideration various factors designed to 
maximize leasing revenues and to minimize the environmental and 
ecological impacts of development. Phased leasing will generate higher 
per-lease bids from industry--and more money for the Treasury and 
Colorado--than the current BLM plan to lease the entire designated 
development areas at once.
  The special protection provisions of the bill expand BLM's designated 
``Areas of Critical Environmental Concern,'' ACECs, to include the 
headwaters of Northwater Creek and the East Fork of Parachute Creek 
above the confluence with First Anvil Creek--both of which are critical 
native cutthroat trout watersheds. The bill also permits gas 
development activities on top of the plateau outside ACECs that are 
within development corridors along existing ridge-top roads on slopes 
not exceeding 20 percent. These measures will protect critical elk and 
mule deer habitat around the base of the plateau, while allowing 
development and recovery of the available natural gas under the Roan.
  In 1907, President Teddy Roosevelt told a crowd that, ``In utilizing 
and conserving the natural resources of the Nation the one 
characteristic more essential than any other is foresight. The 
conservation of our natural resources and their proper use constitute 
the fundamental problem which underlies almost every other problem of 
our national life.'' President Roosevelt's wisdom--over a century 
later--is as valuable as ever to a Nation committed to protecting its 
land and water, but that is in dire need of affordable, domestic 
sources of energy.
  The Roan is a special place. Protecting our State's last few 
remaining wild spaces, maximizing oil and gas leasing revenues from 
these areas and supporting the communities that surround them need not 
be at odds. This bill will replace BLM's plan with a better, more 
balanced approach that will protect the most critical areas on the top 
of the Roan and provide the most benefit to the State of Colorado.
                                 ______
                                 
      By Mr. DURBIN:
  S. 2881. A bill to establish national standards for discharges from 
cruise vessels into the waters of the United States, and for other 
purposes; to the Committee on Commerce, Science, and Transportation.
  Mr. DURBIN. Mr. President, if I said there was an industry that 
generates millions of gallons of wastewater every day and that can dump 
that waste with virtually no oversight, you might think that I was 
recalling the days before the Clean Water Act. The truth is, though, 
that such an industry exists today. I am talking about cruise ships.
  That is why I am introducing the Clean Cruise Ship Act of 2008. This 
bill will require cruise ships to upgrade their wastewater treatment 
systems to meet the standards of today's best available technology, 
which has been shown to significantly reduce the amount of pollutants 
discharged from ships. This technology is already being

[[Page S3148]]

used successfully on cruise ships in Alaska, thanks to that State's 
forward-thinking regulations.
  The problem is real. The number of cruise ship passengers has been 
growing nearly twice as fast as any other mode of travel. In the U.S. 
alone the numbers are approaching ten million passengers a year. Some 
of these ships can carry 3,000 passengers. That is the size of a small 
city. As cities do, these ships produce massive amounts of waste--over 
200,000 gallons of sewage each week; a million gallons of graywater 
from galleys, laundry, and showers; and over 35,000 gallons of oily 
bilge water that collects in ship bottoms.
  Wastewater from cities, of course, is highly regulated. America 
wouldn't tolerate anything less. A city cannot simply dump waste into 
our waterways. We've seen, of course, what happens when municipal 
wastewater treatment systems are poorly operated or break down. People 
fall ill, beaches are closed, and ecosystems are harmed.
  So what's the story for waste from cruise ships? Let us start with 
``black water'' sewage--human body wastes and other toilet waste. 
Within three miles of shore, vessels can discharge this waste provided 
that a ``marine sanitation device'' is installed. The Environmental 
Protection Agency released a draft report in December, however, that 
concluded that these systems simply don't work. These sewage treatment 
devices leave discharges that consistently exceed national effluent 
standards for fecal coliform and other pathogens and pollutants. In 
fact, fecal coliform levels in effluent are typically 20 to 200 times 
greater than in untreated domestic wastewater.
  Beyond three miles from shore there are no restrictions on sewage 
discharge. Cruise ships are free to dump their sewage and foul U.S. 
waters with impunity.
  The situation for graywater may be even more serious. Except in 
Alaska, cruise ship graywater requires no treatment whatsoever before 
being discharged, and there are no restrictions on where that dumping 
can be done. Yet graywater from sinks, tubs, and kitchens contains 
large amounts of pathogens and pollutants--amounts that would never be 
tolerated from a land-based business. Fecal coliform concentrations, 
for example, are ten to a thousand times greater than those in 
untreated domestic wastewater. These pollutants sicken our marine 
ecosystems, wash up onto our beaches, and contaminate food and 
shellfish that end up on our dinner plates.

  The Clean Cruise Ship Act seeks to solve this oversight in the 
current regulations, just as Alaska State law has done. No discharges 
whatsoever would be allowed within 12 miles of shore. Beyond twelve 
miles, discharges of sewage, graywater, and bilge water would be 
allowed, provided that they meet national effluent limits consistent 
with the best available technology. That technology works and is 
commercially available now. The recent Environmental Protection Agency 
study found that these ``advanced wastewater treatment'' systems 
effectively remove pathogens, suspended solids, metals, and oil and 
grease.
  Under this legislation, the release of raw, untreated sewage would be 
banned everywhere. No dumping would be allowed of sewage sludge and 
incinerator ash in U.S. waters. All cruise ships calling on U.S. ports 
would have to dispose of hazardous waste in accordance to the Resource 
Conservation and Recovery Act. The bill would establish inspection and 
enforcement mechanisms to ensure compliance.
  There is one thing at this point I'd like to make clear. Many of us 
here have been working hard to stop aquatic invasive species that slip 
into our lakes and coastal waters in discharged ballast water. Alien 
species that have escaped into U.S. waters are causing massive harm. We 
have to do everything in our power to prevent new invasive species from 
getting loose.
  With this in mind, many of us have been closely watching court cases 
surrounding the Environmental Protection Agency's responsibility for 
regulating ballast water under the Clean Water Act. That litigation may 
have implications for cruise ship wastewater pollution.
  I have no intention of interfering with this court case. Likewise, I 
want to emphasize that this bill in no way undermines the provisions of 
the Clean Water Act that deal with discharges of pollution into the 
nation's waters. I have always supported the Clean Water Act. It will 
continue to be an important tool that, in conjunction with the Clean 
Cruise Ship Act, can significantly reduce wastewater pollution from 
cruise ships.
  The protection of U.S. waters is vital to our Nation's health and 
economy. There are 4.5 million square miles of ocean in the U.S. 
territorial seas--23 percent larger than our Nation's landmass. That's 
more than any other country has. Cruise ship wastewater threatens the 
very environments that family vacationers want to visit. Current 
regulations and voluntary guidelines for the cruise ship industry just 
aren't good enough. No other industry is allowed to pollute our waters 
at will. The cruise ship industry is growing at nearly 5 percent each 
year, which means that the problem is growing, as well.
  Uncontrolled dumping of cruise ship pollution must stop. We can 
achieve that goal with the Clean Cruise Ship Act. I recognize, though, 
that there may be other valid approaches. I encourage my colleagues to 
work with me to pass legislation this year that will put a stop to the 
dumping of hazardous pollutants along our coasts. Together we can clean 
up this major source of pollution that is harming our waters.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2881

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Clean 
     Cruise Ship Act of 2008''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings and purposes.
Sec. 3. Definitions.
Sec. 4. Prohibitions on the discharge of sewage, graywater, bilge 
              water, sewage sludge, incinerator ash, and hazardous 
              waste.
Sec. 5. Effluent limits for discharges of sewage, graywater, and bilge 
              water.
Sec. 6. Alaskan cruise vessels.
Sec. 7. Inspection and sampling.
Sec. 8. Employee protection.
Sec. 9. Judicial review.
Sec. 10. Enforcement.
Sec. 11. Citizen suits.
Sec. 12. Sense of Congress on ballast water.
Sec. 13. Sense of Congress on air pollution.
Sec. 14. Funding.
Sec. 15. Effect on other law.

     SEC. 2. FINDINGS AND PURPOSES.

       (a) Findings.--Congress finds the following:
       (1) Cruise vessels carry millions of people through North 
     American waters each year, showcase some of the most 
     beautiful ocean areas in the United States, and provide 
     opportunities for passengers to relax and enjoy the oceans 
     and marine ecosystems.
       (2) A single cruise vessel generates a tremendous amount of 
     waste each week, including an estimated 140,000 to 210,000 
     gallons of blackwater (sewage) and 1,000,000 gallons of 
     graywater (including wastewater from dishwashers, showers, 
     laundry, baths, and washbasins). Onboard amenities such as 
     photo-processing, dry-cleaning, and hairdressing also 
     generate hazardous waste streams.
       (3) In its final report, ``An Ocean Blueprint for the 21st 
     Century'', released in 2004, the United States Commission on 
     Ocean Policy found that these waste streams and the 
     cumulative impacts caused when cruise vessels repeatedly 
     visit the same environmentally sensitive areas, ``if not 
     properly disposed of and treated, can be a significant source 
     of pathogens and nutrients with the potential to threaten 
     human health and damage shellfish beds, coral reefs, and 
     other aquatic life,'' thus threatening the very environments 
     cruise vessel passengers seek to explore.
       (4) The cruise industry has grown by more than 6 percent 
     annually since 2003 and is projected to continue growing. 
     Cruise vessel capacity is also expanding dramatically; today 
     cruise vessels can transport 5,000 passengers and crew 
     members, but the next generation of cruise vessels is 
     expected to carry 7,000 passengers and crew members. As the 
     total number of passengers increases and the number of 
     passengers per ship increases, the volume of waste entering 
     these ocean ecosystems and the impact of that waste on ocean 
     ecosystems will also increase.
       (5) In a 2005 report requested by the International Council 
     of Cruise Lines, the Ocean Conservation and Tourism Alliance 
     (OCTA) Science Panel recommended that ``[a]ll blackwater 
     should be treated'', that discharging treated blackwater 
     should be ``avoided in ports, close to bathing beaches or 
     water bodies with restricted circulation,

[[Page S3149]]

     flushing or inflow'', and that blackwater should not be 
     discharged within 4 nautical miles of shellfish beds, coral 
     reefs, or other sensitive habitats.
       (6) The OCTA Science Panel further recommended that 
     graywater be treated in the same manner as blackwater and 
     that sewage sludge be off-loaded to approved land-based 
     facilities.
       (7) The United States lacks a comprehensive wastewater 
     management policy for large passenger vessels, and a new 
     statutory regime for managing wastewater discharges from 
     large passenger vessels that applies throughout the United 
     States is needed to protect coastal and ocean areas from 
     pollution generated by cruise vessels, to reduce and better 
     regulate discharges from cruise vessels, and to improve 
     monitoring, reporting, and enforcement of standards regarding 
     discharges.
       (b) Purpose.--The purpose of this Act is to protect the 
     health and beauty of the marine and coastal ecosystems that 
     cruise passengers enjoy, by--
       (1) prohibiting the discharge of any untreated sewage, 
     graywater, or bilge water from a cruise vessel calling on a 
     port of the United States into the waters of the United 
     States;
       (2) prohibiting the discharge of any sewage sludge, 
     incinerator ash, or hazardous waste from a cruise vessel 
     calling on a port of the United States into the waters of the 
     United States;
       (3) establishing new national effluent limits for the 
     discharge of treated sewage, treated graywater, and treated 
     bilge water from cruise vessels not less than 12 miles from 
     shore in any case in which the discharge is not within an 
     area in which discharges are prohibited; and
       (4) ensuring that cruise vessels calling on ports of the 
     United States comply with all applicable environmental laws.

     SEC. 3. DEFINITIONS.

       In this Act:
       (1) Administrator.--The term ``Administrator'' means the 
     Administrator of the Environmental Protection Agency.
       (2) Bilge water.--The term ``bilge water'' means waste 
     water that includes lubrication oils, transmission oils, oil 
     sludge or slops, fuel or oil sludge, used oil, used fuel or 
     fuel filters, or oily waste.
       (3) Citizen.--The term ``citizen'' means a person that has 
     an interest that is or may be adversely affected by any 
     provision of this Act.
       (4) Commandant.--The term ``Commandant'' means the 
     Commandant of the Coast Guard.
       (5) Cruise vessel.--The term ``cruise vessel''--
       (A) means a passenger vessel (as defined in section 
     2101(22) of title 46, United States Code), that--
       (i) is authorized to carry at least 250 passengers; and
       (ii) has onboard sleeping facilities for each passenger; 
     and
       (B) does not include--
       (i) a vessel of the United States operated by the Federal 
     Government; or
       (ii) a vessel owned and operated by the government of a 
     State.
       (6) Discharge.--The term ``discharge''--
       (A) means a release, however caused, of bilge water, 
     graywater, hazardous waste, incinerator ash, sewage, or 
     sewage sludge from a cruise vessel; and
       (B) includes any escape, disposal, spilling, leaking, 
     pumping, emitting, or emptying of a substance described in 
     subparagraph (A).
       (7) Exclusive economic zone.--The term ``exclusive economic 
     zone'' has the meaning given that term in section 107 of 
     title 46, United States Code.
       (8) Graywater.--The term ``graywater'' means galley, 
     dishwasher, bath, spa, pool, and laundry waste water.
       (9) Great lake.--The term ``Great Lake'' means--
       (A) Lake Erie;
       (B) Lake Huron (including Lake Saint Clair);
       (C) Lake Michigan;
       (D) Lake Ontario; or
       (E) Lake Superior.
       (10) Hazardous waste.--The term ``hazardous waste'' has the 
     meaning given that term in section 1004 of the Solid Waste 
     Disposal Act (42 U.S.C. 6903).
       (11) Incinerator ash.--The term ``incinerator ash'' means 
     ash generated during the incineration of solid waste or 
     sewage sludge.
       (12) No discharge zones.--The term ``no discharge zones'' 
     means important ecological areas including marine 
     sanctuaries, marine protected areas, marine reserves, marine 
     national monuments, national parks, and national wildlife 
     refuges.
       (13) Passenger.--The term ``passenger'' means a paying 
     passenger.
       (14) Person.--The term ``person'' means--
       (A) an individual;
       (B) a corporation;
       (C) a partnership;
       (D) a limited liability company;
       (E) an association;
       (F) a State;
       (G) a municipality;
       (H) a commission or political subdivision of a State; or
       (I) an Indian tribe.
       (15) Sewage.--The term ``sewage'' means--
       (A) human body wastes; and
       (B) the wastes from toilets and other receptacles intended 
     to receive or retain human body wastes.
       (16) Sewage sludge.--The term ``sewage sludge''--
       (A) means any solid, semi-solid, or liquid residue removed 
     during the treatment of on-board sewage;
       (B) includes--
       (i) solids removed during primary, secondary, or advanced 
     waste water treatment;
       (ii) scum;
       (iii) septage;
       (iv) portable toilet pumpings;
       (v) type III marine sanitation device pumpings (as defined 
     in part 159 of title 33, Code of Federal Regulations); and
       (vi) sewage sludge products; and
       (C) does not include--
       (i) grit or screenings; or
       (ii) ash generated during the incineration of sewage 
     sludge.
       (17) Territorial sea.--The term ``territorial sea''--
       (A) means the belt of the sea extending 12 nautical miles 
     from the baseline of the United States determined in 
     accordance with international law, as set forth in 
     Presidential Proclamation number 5928, dated December 27, 
     1988; and
       (B) includes the waters lying seaward of the line of 
     ordinary low water and extending to the baseline of the 
     United States, as determined under subparagraph (A).
       (18) Waters of the united states.--The term ``waters of the 
     United States'' means the waters of the territorial sea, the 
     exclusive economic zone, and the Great Lakes.

     SEC. 4. PROHIBITIONS ON THE DISCHARGE OF SEWAGE, GRAYWATER, 
                   BILGE WATER, SEWAGE SLUDGE, INCINERATOR ASH, 
                   AND HAZARDOUS WASTE.

       (a) Prohibitions on Discharge of Sewage, Graywater, and 
     Bilge Water.--Except as provided in subsection (c) or section 
     6, no cruise vessel calling on a port of the United States 
     may discharge sewage, graywater, or bilge water into the 
     waters of the United States, unless--
       (1) the effluent of treated sewage, treated graywater, or 
     treated bilge water meets all applicable effluent limits 
     established under this Act and is in accordance with all 
     other applicable laws;
       (2) the cruise vessel is underway and proceeding at a speed 
     of not less than 6 knots;
       (3) the cruise vessel is not less than 12 nautical miles 
     from shore;
       (4) the cruise vessel is not discharging in no discharge 
     zones; and
       (5) the cruise vessel complies with all applicable 
     management standards established under this Act.
       (b) Prohibition on Discharge of Sewage Sludge, Incinerator 
     Ash, and Hazardous Waste.--No sewage sludge, incinerator ash, 
     or hazardous waste may be discharged into the waters of the 
     United States. Such sewage sludge, incinerator ash, and 
     hazardous waste shall be off-loaded at an appropriate land-
     based facility.
       (c) Safety Exception.--
       (1) Scope of exception.--The provisions of subsections (a) 
     and (b) shall not apply in any case in which--
       (A) a discharge is made solely for the purpose of securing 
     the safety of the cruise vessel or saving a human life at 
     sea; and
       (B) all reasonable precautions have been taken to prevent 
     or minimize the discharge.
       (2) Notification of commandant.--
       (A) In general.--If the owner, operator, master, or other 
     individual in charge of a cruise vessel authorizes a 
     discharge described in paragraph (1), such individual shall 
     notify the Commandant of the decision to authorize the 
     discharge as soon as practicable, but not later than 24 
     hours, after authorizing the discharge.
       (B) Report.--Not later than 7 days after the date on which 
     an individual described in subparagraph (A) notifies the 
     Commandant of a decision to authorize a discharge under 
     paragraph (1), the individual shall submit to the Commandant 
     a report that includes--
       (i) the quantity and composition of each discharge 
     authorized under paragraph (1);
       (ii) the reason for authorizing each such discharge;
       (iii) the location of the vessel during the course of each 
     such discharge; and
       (iv) such other supporting information and data as are 
     requested by the Commandant.
       (C) Disclosure of reports.--Upon receiving a report under 
     subparagraph (B), the Commandant shall--
       (i) transmit a copy of the report to the Administrator; and
       (ii) make the report available to the public.

     SEC. 5. EFFLUENT LIMITS FOR DISCHARGES OF SEWAGE, GRAYWATER, 
                   AND BILGE WATER.

       (a) Effluent Limits.--
       (1) In general.--Not later than 12 months after the date of 
     the enactment of this Act, the Administrator shall promulgate 
     effluent limits for sewage, graywater, and bilge water 
     discharges from cruise vessels calling on ports of the United 
     States.
       (2) Requirements.--The effluent limits shall, at a 
     minimum--
       (A) be consistent with the capability of the best available 
     technology to treat effluent;
       (B) require compliance with all relevant State and Federal 
     water quality standards; and
       (C) take into account the best available scientific 
     information on the environmental effects of sewage, 
     graywater, and bilge water discharges, including levels of 
     nutrients, total and dissolved metals, pathogen indicators, 
     oils and grease, classical pollutants, and volatile and 
     semivolatile organics.
       (b) Minimum Limits.--The effluent limits promulgated under 
     subsection (a) shall require, at a minimum, that treated 
     sewage,

[[Page S3150]]

     treated graywater, and treated bilge water effluent 
     discharges from cruise vessels, measured at the point of 
     discharge, shall, not later than the date described in 
     subsection (d), meet the following standards:
       (1) In general.--The discharge shall satisfy the minimum 
     level of effluent quality specified in section 133.102 of 
     title 40, Code of Federal Regulations (or a successor 
     regulation).
       (2) Fecal coliform.--With respect to the samples from the 
     discharge during any 30-day period--
       (A) the geometric mean of the samples shall not exceed 20 
     fecal coliform per 100 milliliters; and
       (B) not more than 10 percent of the samples shall exceed 40 
     fecal coliform per 100 milliliters.
       (3) Residual chlorine.--Concentrations of total residual 
     chlorine in samples shall not exceed 10 milligrams per liter.
       (c) Review and Revision of Effluent Limits.--The 
     Administrator shall--
       (1) review the effluent limits promulgated under subsection 
     (a) at least once every 5 years; and
       (2) revise the effluent limits as necessary to incorporate 
     technology available at the time of the review in accordance 
     with subsection (a)(2).
       (d) Compliance Date.--
       (1) In general.--The date described in this subsection is--
       (A) with respect to new vessels put into water after the 
     date of the enactment of this Act, 2 years after such date of 
     enactment; and
       (B) with respect to vessels in use as of such date of 
     enactment, 5 years after such date of enactment.
       (2) New vessel defined.--In this subsection, the term ``new 
     vessel'' means a vessel the keel of which is laid, or that is 
     at a similar stage of construction, on or after the date of 
     the enactment of this Act.

     SEC. 6. ALASKAN CRUISE VESSELS.

       (a) In General.--An Alaskan cruise vessel shall not be 
     subject to the provisions of this Act (including regulations 
     promulgated under this Act) until the date that is 10 years 
     after the date of the enactment of this Act.
       (b) Definition of Alaskan Cruise Vessel.--In this section, 
     the term ``Alaskan cruise vessel'' means a cruise vessel--
       (1) while the vessel is operating in waters of the State of 
     Alaska, as defined in section 159.305 of title 33, Code of 
     Federal Regulations; and
       (2) that complies with all relevant laws and regulations of 
     the State of Alaska while in transit from a port of call 
     outside of the State of Alaska to the waters of the State of 
     Alaska.

     SEC. 7. INSPECTION AND SAMPLING.

       (a) Development and Implementation of Inspection Program.--
       (1) In general.--The Administrator shall promulgate 
     regulations to implement a sampling and testing program, and 
     the Commandant shall promulgate regulations to implement an 
     inspection program, sufficient to verify that cruise vessels 
     calling on ports of the United States are in compliance 
     with--
       (A) this Act (including regulations promulgated under this 
     Act);
       (B) the Federal Water Pollution Control Act (33 U.S.C. 1251 
     et seq.) (including regulations promulgated under that Act);
       (C) other applicable Federal laws and regulations; and
       (D) all applicable requirements of international 
     agreements.
       (2) Inspections.--The program shall require that--
       (A) regular announced and unannounced inspections be 
     conducted of any relevant aspect of cruise vessel operations, 
     equipment, or discharges, including sampling and testing of 
     cruise vessel discharges; and
       (B) each cruise vessel that calls on a port of the United 
     States be subject to an unannounced inspection at least once 
     per year.
       (b) Regulations.--
       (1) In general.--Not later than 1 year after the date of 
     the enactment of this Act, the Commandant, in consultation 
     with the Administrator, shall promulgate regulations that, at 
     a minimum--
       (A) require the owner, operator, master, or other 
     individual in charge of a cruise vessel to maintain and 
     submit annually a logbook detailing the times, types, 
     volumes, flow rates, origins, and specific locations of, and 
     explanations for, any discharges from the cruise vessel;
       (B) provide for routine announced and unannounced 
     inspections of--
       (i) cruise vessel environmental compliance records and 
     procedures; and
       (ii) the functionality and proper operation of installed 
     equipment for abatement and control of any cruise vessel 
     discharge, including equipment intended to treat sewage, 
     graywater, or bilge water;
       (C) require the sampling and testing of cruise vessel 
     discharges that require the owner, operator, master, or other 
     individual in charge of a cruise vessel--
       (i) to conduct that sampling or testing at the point of 
     discharge; and
       (ii) to produce any records of the sampling or testing;
       (D) require any owner, operator, master, or other 
     individual in charge of a cruise vessel who has knowledge of 
     a discharge from the cruise vessel in violation of this Act 
     (including regulations promulgated under this Act) to report 
     immediately the discharge to the Commandant, who shall 
     provide notification of the discharge to the Administrator; 
     and
       (E) require the owner, operator, master, or other 
     individual in charge of a cruise vessel to provide to the 
     Commandant and Administrator a blueprint of each cruise 
     vessel that includes the location of every discharge pipe and 
     valve.
       (2) Disclosure of logbooks.--Upon receiving a logbook 
     described in paragraph (1)(A), the Commandant shall--
       (A) transmit a copy of the logbook to the Administrator; 
     and
       (B) make the logbook available to the public.
       (c) Evidence of Compliance.--
       (1) Vessel of the united states.--
       (A) In general.--A cruise vessel registered in the United 
     States to which this Act applies shall have a certificate of 
     inspection issued by the Commandant.
       (B) Issuance of certificate.--The Commandant may issue a 
     certificate described in subparagraph (A) only after the 
     cruise vessel has been examined and found to be in compliance 
     with this Act, including prohibitions on discharges and 
     requirements for effluent limits, as determined by the 
     Commandant.
       (C) Validity of certificate.--A certificate issued under 
     this paragraph--
       (i) shall be valid for a period of not more than 5 years, 
     beginning on the date of issuance of the certificate;
       (ii) may be renewed as specified by the Commandant; and
       (iii) shall be suspended or revoked if the Commandant 
     determines that the cruise vessel for which the certificate 
     was issued is not in compliance with the conditions under 
     which the certificate was issued.
       (D) Special certificates.--The Commandant may issue special 
     certificates to certain vessels that exhibit compliance with 
     this Act and other best practices, as determined by the 
     Commandant, after public notice and comment.
       (2) Foreign vessel.--
       (A) In general.--A cruise vessel registered in a country 
     other than the United States to which this Act applies may 
     operate in the waters of the United States, or visit a port 
     or place under the jurisdiction of the United States, only if 
     the cruise vessel has been issued a certificate of compliance 
     by the Commandant.
       (B) Issuance of certificate.--The Commandant may issue a 
     certificate described in subparagraph (A) to a cruise vessel 
     only after the cruise vessel has been examined and found to 
     be in compliance with this Act, including prohibitions on 
     discharges and requirements for effluent limits, as 
     determined by the Commandant.
       (C) Acceptance of foreign documentation.--The Commandant 
     may consider a certificate, endorsement, or document issued 
     by the government of a foreign country under a treaty, 
     convention, or other international agreement to which the 
     United States is a party, in issuing a certificate of 
     compliance under this paragraph. Such a certificate, 
     endorsement, or document shall not serve as a proxy for 
     certification of compliance with this Act.
       (D) Validity of certificate.--A certificate issued under 
     this section--
       (i) shall be valid for a period of not more than 24 months, 
     beginning on the date of issuance of the certificate;
       (ii) may be renewed as specified by the Commandant; and
       (iii) shall be suspended or revoked if the Commandant 
     determines that the cruise vessel for which the certificate 
     was issued is not in compliance with the conditions under 
     which the certificate was issued.
       (d) Cruise Observer Program.--
       (1) In general.--Not later than 1 year after the date of 
     the enactment of this Act, the Commandant shall establish and 
     carry out a program for the placement of 1 or more trained 
     independent observers on each cruise vessel.
       (2) Purposes.--The purposes of the cruise observer program 
     established under paragraph (1) are to monitor and inspect 
     cruise vessel operations, equipment, and discharges to ensure 
     compliance with--
       (A) this Act (including regulations promulgated under this 
     Act); and
       (B) all other relevant Federal laws, regulations, and 
     international agreements.
       (3) Responsibilities.--An observer described in paragraph 
     (1) shall--
       (A) observe and inspect--
       (i) onboard environmental treatment systems;
       (ii) use of shore-based treatment and storage facilities;
       (iii) discharges and discharge practices; and
       (iv) blueprints, logbooks, and other relevant information, 
     including fuel consumption and atmospheric emissions;
       (B) have the authority to interview and otherwise query any 
     crew member with knowledge of vessel operations;
       (C) have access to all data and information made available 
     to government officials under this section;
       (D) immediately report any known or suspected violation of 
     this Act or any other applicable Federal law or international 
     agreement to--
       (i) the Coast Guard; and
       (ii) the Environmental Protection Agency; and
       (E) maintain a logbook to be submitted to the Commandant 
     and the Administrator annually and to be made available to 
     the public.

[[Page S3151]]

       (4) Adaptive management.--The program established and 
     carried out by the Commandant under paragraph (1) shall also 
     include--
       (A) a method for collecting and reviewing data related to 
     the efficiency and operation of the program; and
       (B) periodic revisions to the program based on the data 
     collected under subparagraph (A).
       (5) Report.--Not later than 3 years after the establishment 
     of the program described in paragraph (1), the Commandant 
     shall submit to Congress a report describing--
       (A) the results of the program;
       (B) recommendations for optimal observer coverage; and
       (C) other recommendations for improvement of the program.
       (e) Onboard Monitoring System Pilot Program.--
       (1) In general.--Not later than 1 year after the date of 
     the enactment of this Act, the Administrator of the National 
     Oceanic and Atmospheric Administration, in consultation with 
     the Administrator and the Commandant, shall establish, and 
     for each of fiscal years 2008 through 2013, shall carry out, 
     with industry partners as necessary, a pilot program to 
     develop and promote commercialization of technologies to 
     provide real-time data to Federal agencies regarding--
       (A) discharges of sewage, graywater, and bilge water from 
     cruise vessels; and
       (B) functioning of cruise vessel components relating to 
     fuel consumption and control of air and water pollution.
       (2) Technology requirements.--Technologies developed under 
     the program described in paragraph (1)--
       (A) shall have the ability to record--
       (i) the location and time of discharges from cruise 
     vessels;
       (ii) the source, content, and volume of the discharges; and
       (iii) the state of components relating to pollution control 
     at the time of the discharges, including whether the 
     components are operating correctly; and
       (B) shall be tested on not less than 10 percent of all 
     cruise vessels operating in the territorial sea of the United 
     States, including large and small vessels.
       (3) Participation of industry.--
       (A) Competitive selection process.--Industry partners 
     willing to participate in the program may do so through a 
     competitive selection process conducted by the Administrator 
     of the National Oceanic and Atmospheric Administration.
       (B) Contribution.--A selected industry partner shall 
     contribute not less than 20 percent of the cost of the 
     project in which the industry partner participates.
       (4) Adaptive management.--The program established and 
     carried out by the Administrator of the National Oceanic and 
     Atmospheric Administration pursuant to paragraph (1) shall 
     also include--
       (A) a method for collecting and reviewing data related to 
     the efficiency and operation of the program; and
       (B) periodic revisions to the program based on the data 
     collected under subparagraph (A).
       (5) Report.--Not later than 3 years after the date of the 
     enactment of this Act, the Administrator of the National 
     Oceanic and Atmospheric Administration shall submit to 
     Congress a report describing--
       (A) the results of the program;
       (B) recommendations for continuing the program; and
       (C) other recommendations for improving the program.

     SEC. 8. EMPLOYEE PROTECTION.

       (a) Prohibition of Discrimination Against Persons Filing, 
     Instituting, or Testifying in Proceedings Under This Act.--No 
     person shall terminate the employment of, or in any other way 
     discriminate against (or cause the termination of employment 
     of or discrimination against), any employee or any authorized 
     representative of employees by reason of the fact that the 
     employee or representative--
       (1) has filed, instituted, or caused to be filed or 
     instituted any proceeding under this Act; or
       (2) has testified or is about to testify in any proceeding 
     resulting from the administration or enforcement of the 
     provisions of this Act.
       (b) Application for Review; Investigation; Hearings; 
     Review.--
       (1) In general.--An employee or a representative of an 
     employee who believes that the termination of the employment 
     of the employee has occurred, or that the employee has been 
     discriminated against, as a result of the actions of any 
     person in violation of subsection (a) may, not later than 30 
     days after the date on which the alleged violation occurred, 
     apply to the Secretary of Labor for a review of the alleged 
     termination of employment or discrimination.
       (2) Application.--A copy of an application for review filed 
     under paragraph (1) shall be sent to the respondent.
       (3) Investigation.--
       (A) In general.--On receipt of an application for review 
     under paragraph (1), the Secretary of Labor shall carry out 
     an investigation of the alleged violation.
       (B) Requirements.--In carrying out this subsection, the 
     Secretary of Labor shall--
       (i) provide an opportunity for a public hearing at the 
     request of any party to the review to enable the parties to 
     present information relating to the alleged violation;
       (ii) ensure that, at least 5 days before the date of the 
     hearing, each party to the hearing is provided written notice 
     of the time and place of the hearing; and
       (iii) ensure that the hearing is on the record and subject 
     to section 554 of title 5, United States Code.
       (C) Findings of secretary.--On completion of an 
     investigation under this paragraph, the Secretary of Labor 
     shall--
       (i) make findings of fact;
       (ii) if the Secretary of Labor determines that a violation 
     did occur, issue a decision, incorporating an order and the 
     findings, requiring the person that committed the violation 
     to take such action as is necessary to abate the violation, 
     including the rehiring or reinstatement, with compensation, 
     of an employee to the former position of the employee; and
       (iii) if the Secretary of Labor determines that there was 
     no violation, issue an order denying the application.
       (D) Order.--An order issued by the Secretary of Labor under 
     subparagraph (C) shall be subject to judicial review in the 
     same manner as orders and decisions of the Administrator are 
     subject to judicial review under this Act.
       (c) Costs and Expenses.--In any case in which an order is 
     issued under this section to abate a violation, at the 
     request of the applicant, a sum equal to the aggregate amount 
     of all costs and expenses (including attorneys' fees), as 
     determined by the Secretary of Labor, to have been reasonably 
     incurred by the applicant for, or in connection with, the 
     institution and prosecution of the proceedings, shall be 
     assessed against the person committing the violation.
       (d) Deliberate Violations by Employees Acting Without 
     Direction From Employer or Agent.--This section shall not 
     apply to any employee who, without direction from the 
     employer of the employee (or agent of the employer), 
     deliberately violates any provision of this Act.

     SEC. 9. JUDICIAL REVIEW.

       (a) Review of Actions by Administrator or Commandant; 
     Selection of Court; Fees.--
       (1) Review of actions.--
       (A) In general.--Any interested person may petition for a 
     review, in the United States court of appeals for the circuit 
     in which the person resides or transacts business directly 
     affected by the action of which review is requested--
       (i) of an action of the Administrator in promulgating any 
     effluent limit under section 5; or
       (ii) of an action of the Commandant or the Administrator in 
     carrying out an inspection, sampling, or testing under 
     section 7.
       (B) Deadline for review.--A petition for review under 
     subparagraph (A) shall be made--
       (i) not later than 120 days after the date of promulgation 
     of the limit or standard with respect to which the review is 
     sought; or
       (ii) if the petition for review is based solely on grounds 
     that arose after the date described in clause (i), as soon as 
     practicable after that date.
       (2) Civil and criminal enforcement proceedings.--An action 
     of the Commandant or Administrator with respect to which 
     review could have been obtained under paragraph (1) shall not 
     be subject to judicial review in any civil or criminal 
     proceeding for enforcement of such action.
       (3) Award of fees.--In any judicial proceeding under this 
     subsection, a court may award costs of litigation (including 
     reasonable attorneys' and expert witness fees) to any 
     prevailing or substantially prevailing party in any case in 
     which the court determines such an award to be appropriate.
       (b) Additional Evidence.--
       (1) In general.--In any judicial proceeding instituted 
     under subsection (a) in which review is sought of a 
     determination under this Act required to be made on the 
     record after notice and opportunity for hearing, if any party 
     applies to the court for leave to introduce additional 
     evidence and demonstrates to the satisfaction of the court 
     that the additional evidence is material and that there were 
     reasonable grounds for the failure to introduce the evidence 
     in the proceeding before the Commandant or Administrator, the 
     court may order the additional evidence (and evidence in 
     rebuttal of the additional evidence) to be taken before the 
     Commandant or Administrator, in such manner and on such terms 
     and conditions as the court determines to be appropriate.
       (2) Modification of findings.--On admission of additional 
     evidence under paragraph (1), the Commandant or 
     Administrator--
       (A) may modify findings of fact of the Commandant or 
     Administrator, as the case may be, relating to a judicial 
     proceeding, or make new findings of fact, by reason of the 
     additional evidence; and
       (B) shall file with the return of the additional evidence 
     any modified or new findings, and any related 
     recommendations, for the modification or setting aside of any 
     original determinations of the Commandant or Administrator.

     SEC. 10. ENFORCEMENT.

       (a) In General.--Any person that violates a provision of 
     section 4 or any regulation promulgated under this Act may be 
     assessed--
       (1) a class I or class II civil penalty described in 
     subsection (b); or
       (2) a civil penalty in a civil action under subsection (c).
       (b) Amount of Administrative Penalty.--

[[Page S3152]]

       (1) Class i.--The amount of a class I civil penalty under 
     subsection (a)(1) may not exceed--
       (A) $10,000 per violation; or
       (B) $25,000 in the aggregate, in the case of multiple 
     violations.
       (2) Class ii.--The amount of a class II civil penalty under 
     subsection (a)(1) may not exceed--
       (A) $10,000 per day for each day during which the violation 
     continues; or
       (B) $125,000 in the aggregate, in the case of multiple 
     violations.
       (3) Separate violations.--Each day on which a violation 
     continues shall constitute a separate violation.
       (4) Determination of amount.--In determining the amount of 
     a civil penalty under subsection (a)(1), the Commandant or 
     the court, as appropriate, shall consider--
       (A) the seriousness of the violation;
       (B) any economic benefit resulting from the violation;
       (C) any history of violations;
       (D) any good faith efforts to comply with the applicable 
     requirements;
       (E) the economic impact of the penalty on the violator; and
       (F) such other matters as justice may require.
       (5) Procedure for class i civil penalty.--
       (A) In general.--Before assessing a civil penalty under 
     this subsection, the Commandant shall provide to the person 
     to be assessed the penalty--
       (i) written notice of the proposal of the Commandant to 
     assess the penalty; and
       (ii) the opportunity to request, not later than 30 days 
     after the date on which the notice is received by the person, 
     a hearing on the proposed penalty.
       (B) Hearing.--A hearing described in subparagraph (A)(ii)--
       (i) shall not be subject to section 554 or 556 of title 5, 
     United States Code; but
       (ii) shall provide a reasonable opportunity to be heard and 
     to present evidence.
       (6) Procedure for class ii civil penalty.--
       (A) In general.--Except as otherwise provided in this 
     subsection, a class II civil penalty shall be assessed and 
     collected in the same manner, and subject to the same 
     provisions, as in the case of civil penalties assessed and 
     collected after notice and an opportunity for a hearing on 
     the record in accordance with section 554 of title 5, United 
     States Code.
       (B) Rules.--The Commandant may promulgate rules for 
     discovery procedures for hearings under this subsection.
       (7) Rights of interested persons.--
       (A) Public notice.--Before issuing an order assessing a 
     class II civil penalty under this subsection, the Commandant 
     shall provide public notice of, and reasonable opportunity to 
     comment on, the proposed issuance of each order.
       (B) Presentation of evidence.--
       (i) In general.--Any person that comments on a proposed 
     assessment of a class II civil penalty under this subsection 
     shall be given notice of--

       (I) any hearing held under this subsection relating to such 
     assessment; and
       (II) any order assessing the penalty.

       (ii) Hearing.--In any hearing described in clause (i)(I), a 
     person described in clause (i) shall have a reasonable 
     opportunity to be heard and to present evidence.
       (C) Rights of interested persons to a hearing.--
       (i) In general.--If no hearing is held under subparagraph 
     (B) before the date of issuance of an order assessing a class 
     II civil penalty under this subsection, any person that 
     commented on the proposed assessment may, not later than 30 
     days after the date of issuance of the order, petition the 
     Commandant--

       (I) to set aside the order; and
       (II) to provide a hearing on the penalty.

       (ii) New evidence.--If any evidence presented by a 
     petitioner in support of the petition under clause (i) is 
     material and was not considered in the issuance of the order, 
     as determined by the Commandant, the Commandant shall 
     immediately--

       (I) set aside the order; and
       (II) provide a hearing in accordance with subparagraph 
     (B)(ii).

       (iii) Denial of hearing.--If the Commandant denies a 
     hearing under this subparagraph, the Commandant shall provide 
     to the petitioner, and publish in the Federal Register, 
     notice of and the reasons for the denial.
       (8) Finality of order.--
       (A) In general.--An order assessing a class II civil 
     penalty under this subsection shall become final on the date 
     that is 30 days after the date of issuance of the order 
     unless, before that date--
       (i) a petition for judicial review is filed under paragraph 
     (10); or
       (ii) a hearing is requested under paragraph (7)(C).
       (B) Denial of hearing.--If a hearing is requested under 
     paragraph (7)(C) and subsequently denied, an order assessing 
     a class II civil penalty under this subsection shall become 
     final on the date that is 30 days after the date of the 
     denial.
       (9) Effect of action on compliance.--No action by the 
     Commandant under this subsection shall affect the obligation 
     of any person to comply with any provision of this Act.
       (10) Judicial review.--
       (A) In general.--Any person against which a civil penalty 
     is assessed under this subsection, or that commented on the 
     proposed assessment of such a penalty in accordance with 
     paragraph (7), may obtain review of the assessment in a court 
     described in subparagraph (B) by--
       (i) filing a notice of appeal with the court within the 30-
     day period beginning on the date on which the civil penalty 
     order is issued; and
       (ii) simultaneously sending a copy of the notice by 
     certified mail to the Commandant and the Attorney General.
       (B) Courts of jurisdiction.--Review of an assessment under 
     subparagraph (A) may be obtained by a person--
       (i) in the case of assessment of a class I civil penalty, 
     in--

       (I) the United States District Court for the District of 
     Columbia; or
       (II) the district court of the United States for the 
     district in which the violation occurred; or

       (ii) in the case of assessment of a class II civil penalty, 
     in--

       (I) the United States Court of Appeals for the District of 
     Columbia Circuit; or
       (II) the United States court of appeals for any other 
     circuit in which the person resides or transacts business.

       (C) Copy of record.--On receipt of notice under 
     subparagraph (A)(ii), the Commandant shall promptly file with 
     the appropriate court a certified copy of the record on which 
     the order assessing a civil penalty that is the subject of 
     the review was issued.
       (D) Substantial evidence.--A court with jurisdiction over a 
     review under this paragraph--
       (i) shall not set aside or remand an order described in 
     subparagraph (C) unless--

       (I) there is not substantial evidence in the record, taken 
     as a whole, to support the finding of a violation; or
       (II) the assessment by the Commandant of the civil penalty 
     constitutes an abuse of discretion; and

       (ii) shall not impose additional civil penalties for the 
     same violation unless the assessment by the Commandant of the 
     civil penalty constitutes an abuse of discretion.
       (11) Collection.--
       (A) In general.--If any person fails to pay an assessment 
     of a civil penalty after the assessment has become final, or 
     after a court in a proceeding under paragraph (10) has 
     entered a final judgment in favor of the Commandant, the 
     Commandant shall request the Attorney General to bring a 
     civil action in an appropriate district court to recover--
       (i) the amount assessed; and
       (ii) interest that has accrued on the amount assessed, as 
     calculated at currently prevailing rates beginning on the 
     date of the final order or the date of the final judgment, as 
     the case may be.
       (B) Nonreviewability.--In an action to recover an assessed 
     civil penalty under subparagraph (A), the validity, amount, 
     and appropriateness of the civil penalty shall not be subject 
     to judicial review.
       (C) Failure to pay penalty.--Any person that fails to pay, 
     on a timely basis, the amount of an assessment of a civil 
     penalty under subparagraph (A) shall be required to pay, in 
     addition to the amount of the civil penalty and accrued 
     interest--
       (i) attorneys' fees and other costs for collection 
     proceedings; and
       (ii) for each quarter during which the failure to pay 
     persists, a quarterly nonpayment penalty in an amount equal 
     to 20 percent of the aggregate amount of the assessed civil 
     penalties and nonpayment penalties of the person that are 
     unpaid as of the beginning of the quarter.
       (12) Subpoenas.--
       (A) In general.--The Commandant may issue subpoenas for the 
     attendance and testimony of witnesses and the production of 
     relevant papers, books, or documents in connection with 
     hearings under this subsection.
       (B) Refusal to obey.--In case of contumacy or refusal to 
     obey a subpoena issued under this paragraph and served on any 
     person--
       (i) the district court of the United States for any 
     district in which the person is found, resides, or transacts 
     business, on application by the United States and after 
     notice to the person, shall have jurisdiction to issue an 
     order requiring the person to appear and give testimony 
     before the Commandant or to appear and produce documents 
     before the Commandant; and
       (ii) any failure to obey such an order of the court may be 
     punished by the court as a contempt of the court.
       (c) Civil Action.--The Commandant may commence, in the 
     district court of the United States for the district in which 
     the defendant is located, resides, or transacts business, a 
     civil action to impose a civil penalty under this subsection 
     in an amount not to exceed $25,000 for each day of violation.
       (d) Criminal Penalties.--
       (1) Negligent violations.--A person that negligently 
     violates section 4 or any regulation promulgated under this 
     Act commits a Class A misdemeanor under title 18, United 
     States Code.
       (2) Knowing violations.--Any person that knowingly violates 
     section 4 or any regulation promulgated under this Act 
     commits a Class D felony under title 18, United States Code.
       (3) False statements.--Any person that knowingly makes any 
     false statement, representation, or certification in any 
     record, report, or other document filed or required to be 
     maintained under this Act or any regulation promulgated under 
     this Act, or that falsifies, tampers with, or knowingly 
     renders inaccurate any testing or monitoring device or method 
     required to be maintained under

[[Page S3153]]

     this Act or any regulation promulgated under this Act, 
     commits a Class D felony under title 18, United States Code.
       (e) Rewards.--
       (1) Payments to individuals.--
       (A) In general.--The Commandant or the court, as the case 
     may be, may order payment, from a civil penalty or criminal 
     fine collected under this section, of an amount not to exceed 
     \1/2\ of the civil penalty or fine, to any individual who 
     furnishes information that leads to the payment of the civil 
     penalty or criminal fine.
       (B) Multiple individuals.--If 2 or more individuals provide 
     information described in subparagraph (A), the amount 
     available for payment as a reward shall be divided equitably 
     among the individuals.
       (C) Ineligible individuals.--No officer or employee of the 
     United States, a State, or an Indian tribe who furnishes 
     information or renders service in the performance of the 
     official duties of the officer or employee shall be eligible 
     for a reward payment under this subsection.
       (2) Payments to states or indian tribes.--The Commandant or 
     the court, as the case may be, may order payment, from a 
     civil penalty or criminal fine collected under this section, 
     to a State or Indian tribe providing information or 
     investigative assistance that leads to payment of the penalty 
     or fine, of an amount that reflects the level of information 
     or investigative assistance provided.
       (3) Payments divided among states, indian tribes, and 
     individuals.--In a case in which a State or Indian tribe and 
     an individual under paragraph (1) are eligible to receive a 
     reward payment under this subsection, the Commandant or the 
     court shall divide the amount available for the reward 
     equitably among those recipients.
       (f) Liability in Rem.--A cruise vessel operated in 
     violation of this Act or any regulation promulgated under 
     this Act--
       (1) shall be liable in rem for any civil penalty or 
     criminal fine imposed under this section; and
       (2) may be subject to a proceeding instituted in the 
     district court of the United States for any district in which 
     the cruise vessel may be found.
       (g) Compliance Orders.--
       (1) In general.--If the Commandant determines that any 
     person is in violation of section 4 or any regulation 
     promulgated under this Act, the Commandant shall--
       (A) issue an order requiring the person to comply with such 
     section or requirement; or
       (B) bring a civil action in accordance with subsection (c).
       (2) Copies of order; service.--
       (A) Corporate orders.--In any case in which an order under 
     this subsection is issued to a corporation, a copy of the 
     order shall be served on any appropriate corporate officer.
       (B) Method of service; specifications.--An order issued 
     under this subsection shall--
       (i) be by personal service;
       (ii) state with reasonable specificity the nature of the 
     violation for which the order was issued; and
       (iii) specify a deadline for compliance that is not later 
     than--

       (I) 30 days after the date of issuance of the order, in the 
     case of a violation of an interim compliance schedule or 
     operation and maintenance requirement; or
       (II) such date as the Commandant, taking into account the 
     seriousness of the violation and any good faith efforts to 
     comply with applicable requirements, determines to be 
     reasonable, in the case of a violation of a final deadline.

       (h) Civil Actions.--
       (1) In general.--The Commandant may commence a civil action 
     for appropriate relief, including a permanent or temporary 
     injunction, for any violation for which the Commandant is 
     authorized to issue a compliance order under this subsection.
       (2) Court of jurisdiction.--
       (A) In general.--A civil action under this subsection may 
     be brought in the district court of the United States for the 
     district in which the defendant is located, resides, or is 
     doing business.
       (B) Jurisdiction.--A court described in subparagraph (A) 
     shall have jurisdiction to grant injunctive relief to address 
     a violation and require compliance by the defendant.

     SEC. 11. CITIZEN SUITS.

       (a) Authorization.--Except as provided in subsection (c), 
     any citizen may commence a civil action on the citizen's own 
     behalf--
       (1) against any person (including the United States and any 
     other governmental instrumentality or agency to the extent 
     permitted by the eleventh amendment to the Constitution of 
     the United States) that is alleged to be in violation of--
       (A) the conditions imposed by section 4;
       (B) an effluent limit or performance standard under this 
     Act; or
       (C) an order issued by the Administrator or Commandant with 
     respect to such a condition, an effluent limit, or a 
     performance standard; or
       (2) against the Administrator or Commandant, in a case in 
     which there is alleged a failure by the Administrator or 
     Commandant to perform any nondiscretionary act or duty under 
     this Act.
       (b) Jurisdiction.--The district courts of the United States 
     shall have jurisdiction, without regard to the amount in 
     controversy or the citizenship of the parties--
       (1) to enforce a condition, effluent limit, performance 
     standard, or order described in subsection (a)(1);
       (2) to order the Administrator or Commandant to perform a 
     nondiscretionary act or duty described in subsection (a)(2); 
     and
       (3) to apply any appropriate civil penalties under section 
     10(b).
       (c) Notice.--No action may be commenced under this 
     section--
       (1) before the date that is 60 days after the date on which 
     the plaintiff gives notice of the alleged violation--
       (A) to the Administrator or Commandant; and
       (B) to any alleged violator of the condition, effluent 
     limit, performance standard, or order described in subsection 
     (a)(1); or
       (2) if the Administrator or Commandant has commenced and is 
     diligently prosecuting a civil or criminal action on the same 
     matter in a court of the United States (but in any such 
     action, a citizen may intervene as a matter of right).
       (d) Venue.--
       (1) In general.--Any civil action under this section shall 
     be brought in--
       (A) the United States District Court for the District of 
     Columbia; or
       (B) any other district court of the United States for any 
     judicial district in which a cruise vessel or the owner or 
     operator of a cruise vessel is located.
       (2) Intervention.--In a civil action under this section, 
     the Administrator or the Commandant, if not a party, may 
     intervene as a matter of right.
       (3) Procedures.--
       (A) Service.--In any case in which a civil action is 
     brought under this section in a court of the United States, 
     the plaintiff shall serve a copy of the complaint on--
       (i) the Attorney General;
       (ii) the Administrator; and
       (iii) the Commandant.
       (B) Consent judgments.--No consent judgment shall be 
     entered in a civil action under this section to which the 
     United States is not a party before the date that is 45 days 
     after the date of receipt of a copy of the proposed consent 
     judgment by--
       (i) the Attorney General;
       (ii) the Administrator; and
       (iii) the Commandant.
       (e) Litigation Costs.--
       (1) In general.--A court of jurisdiction, in issuing any 
     final order in any civil action brought in accordance with 
     this section, may award costs of litigation (including 
     reasonable attorneys' and expert witness fees) to any 
     prevailing or substantially prevailing party, in any case in 
     which the court determines that such an award is appropriate.
       (2) Security.--In any civil action under this section, the 
     court of jurisdiction may, if a temporary restraining order 
     or preliminary injunction is sought, require the filing of a 
     bond or equivalent security in accordance with the Federal 
     Rules of Civil Procedure.
       (f) Statutory or Common Law Rights Not Restricted.--Nothing 
     in this section restricts the rights of any person (or class 
     of persons) under any statute or common law to seek 
     enforcement or other relief (including relief against the 
     Administrator or Commandant).
       (g) Civil Action by State Governors.--A Governor of a State 
     may commence a civil action under subsection (a), without 
     regard to the limitation under subsection (c), against the 
     Administrator or Commandant in any case in which there is 
     alleged a failure of the Administrator or Commandant to 
     enforce an effluent limit or performance standard under this 
     Act, the violation of which is causing--
       (1) an adverse effect on the public health or welfare in 
     the State; or
       (2) a violation of any water quality requirement in the 
     State.

     SEC. 12. SENSE OF CONGRESS ON BALLAST WATER.

       It is the sense of Congress that action should be taken to 
     enact legislation requiring strong, mandatory standards for 
     ballast water to reduce the threat of aquatic invasive 
     species.

     SEC. 13. SENSE OF CONGRESS ON AIR POLLUTION.

       It is the sense of Congress that action should be taken to 
     enact legislation requiring strong, mandatory standards for 
     air quality with respect to incineration and engine 
     activities of cruise vessels to reduce the level of harmful 
     chemical and particulate air pollutants.

     SEC. 14. FUNDING.

       (a) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Commandant and the Administrator 
     such sums as are necessary to carry out this Act for each of 
     fiscal years 2009 through 2013.
       (b) Cruise Vessel Pollution Control Fund.--
       (1) Establishment.--There is established in the general 
     fund of the Treasury a separate account to be known as the 
     ``Cruise Vessel Pollution Control Fund'' (referred to in this 
     section as the ``Fund'').
       (2) Amounts.--The Fund shall consist of such amounts as are 
     deposited in the Fund under subsection (c)(5).
       (3) Use of amounts in fund.--The Administrator and the 
     Commandant may use amounts in the Fund, without further 
     appropriation, to carry out this Act.
       (c) Fees on Cruise Vessels.--
       (1) In general.--The Commandant shall establish and collect 
     from each cruise vessel a reasonable and appropriate fee for 
     each paying passenger on a cruise vessel voyage, for use in 
     carrying out this Act.

[[Page S3154]]

       (2) Adjustment of fee.--
       (A) In general.--The Commandant shall biennially adjust the 
     amount of the fee established under paragraph (1) to reflect 
     changes in the Consumer Price Index for All Urban Consumers 
     published by the Department of Labor during each 2-year 
     period.
       (B) Rounding.--The Commandant may round the adjustment in 
     subparagraph (A) to the nearest \1/10\ of a dollar.
       (3) Factors in establishing fees.--
       (A) In general.--In establishing fees under paragraph (1), 
     the Commandant may establish lower levels of fees and the 
     maximum amount of fees for certain classes of cruise vessels 
     based on--
       (i) size;
       (ii) economic share; and
       (iii) such other factors as are determined to be 
     appropriate by the Commandant and Administrator.
       (B) Fee schedules.--Any fee schedule established under 
     paragraph (1), including the level of fees and the maximum 
     amount of fees, shall take into account--
       (i) cruise vessel routes;
       (ii) the frequency of stops at ports of call by cruise 
     vessels; and
       (iii) other relevant considerations.
       (4) Collection of fees.--A fee established under paragraph 
     (1) shall be collected by the Commandant from the owner or 
     operator of each cruise vessel to which this Act applies.
       (5) Deposits to fund.--Notwithstanding any other provision 
     of law, all fees collected under this subsection, and all 
     penalties and payments collected for violations of this Act, 
     shall be deposited into the Fund.

     SEC. 15. EFFECT ON OTHER LAW.

       (a) United States.--Nothing in this Act restricts, affects, 
     or amends any other law or the authority of any department, 
     instrumentality, or agency of the United States.
       (b) States and Interstate Agencies.--
       (1) In general.--Except as provided in paragraph (2), 
     nothing in this Act precludes or denies the right of any 
     State (including a political subdivision of a State) or 
     interstate agency to adopt or enforce--
       (A) any standard or limit relating to the discharge of 
     pollutants by cruise vessels; or
       (B) any requirement relating to the control or abatement of 
     pollution.
       (2) Exception.--If an effluent limit, performance standard, 
     water quality standard, or any other prohibition or 
     limitation is in effect under Federal law, a State (including 
     a political subdivision of a State) or interstate agency may 
     not adopt or enforce any effluent limit, performance 
     standard, water quality standard, or any other prohibition 
     that--
       (A) is less stringent than the effluent limit, performance 
     standard, water quality standard, or other prohibition or 
     limitation under this Act; or
       (B) impairs or in any manner affects any right or 
     jurisdiction of the State with respect to the waters of the 
     State.
                                 ______
                                 
      By Ms. SNOWE (for herself, Ms. Collins, and Mr. Isakson):
  S. 2882. A bill to amend title 10, United States Code, to provide for 
the presentation of a flag of the United States to the children of 
members of the Armed Forces who die in service; to the Committee on 
Armed Services.
  Ms. SNOWE. Mr. President, I rise today with my colleagues Senator 
Collins and Senator Isakson to introduce legislation that would provide 
the secretaries of the military departments the authority to pay the 
necessary expenses that would accompany the presentation of a flag to 
each child of a servicemember killed in the service of the Nation.
  The presentation of a remembrance flag to the family of a deceased 
servicemember is a time-honored tradition for each of the services 
which commemorates and memorializes the service of our men and women in 
uniform who have made the ultimate sacrifice to protect the liberties 
and freedoms we cherish. The remembrance flag is a profound symbol of 
the enduring appreciation of a grateful Nation.
  Regrettably, however, there is an oversight in current law affecting 
which family members of a deceased servicemember may receive a flag. At 
present, the statute authorizes the secretaries of the services to 
present only two remembrance flags--one to the parents of the deceased 
servicemember and one to the person authorized to direct disposition of 
the servicemember. In many instances, the person authorized to direct 
disposition is also a primary next of kin of the servicemember. 
However, in cases where the primary next of kin are the children of the 
deceased servicemember, which can occur in extended family situations, 
authorities do not exist for the secretaries of the services to provide 
a remembrance flag to the children of deceased servicemembers.
  The legislation that my colleagues and I are introducing today will 
remedy this oversight. We believe that the children of deceased 
servicemembers should also be able to receive a remembrance flag in 
honor of the sacrifice made by their parent. Clearly, this is the right 
thing to do. I sincerely hope that my colleagues will join Senator 
Collins, Senator Isakson, and me in supporting this important 
legislation.
                                 ______
                                 
      By Mr. ROCKEFELLER (for himself and Mr. Byrd):
  S. 2883. A bill to require the Secretary of the Treasury to mint 
coins in commemoration of the centennial of the establishment of 
Mother's Day; to the Committee on Banking, Housing, and Urban Affairs.
  Mr. ROCKEFELLER. Mr. President, I rise today to pay tribute to the 
women of our Nation who have the cherished title of mother and 
grandmother. Whether through natural means, adoption or foster care, 
their patience and unending well-spring of love and affection make an 
incredible difference in the lives of children.
  No treasure, no riches can ever compare with a profoundly reassuring 
hug, the kind words that soothe broken spirits, or that reminder, 
rooted in affection, that we're not living up to our full potential. 
They inspire, believe and ultimately profess enormous pride in us--no 
matter our successes or failures.
  That is why it is not surprising that a young woman from Grafton, 
West Virginia, took to the streets of her hometown to honor her 
recently departed mother's love and life by passing out white 
carnations to all those who passed by. Anna Jarvis' one simple act of 
personal commemoration in May 1908, grew year after year. Eventually, 
Grafton's efforts would be recognized by the entire State of West 
Virginia in 1910. This was the first time a state recognized Mother's 
Day, and many more would soon follow.
  In 1914, President Woodrow Wilson declared the first national 
Mother's Day, and from that day until now, mothers have been honored 
with flowers, breakfast in bed, and of course, those endearing homemade 
cards by little children that are steeped in sentiment--and often 
covered in glitter, macaroni and school paste.
  My wife Sharon would tell you that there is nothing more important 
than these simple gifts--first from our children, and now our 
grandchildren. They are cherished touchstones.
  At the same time, we think of our mothers as invincible. However, not 
even our mothers are immune to age or disease. For many families across 
the country, Mother's Day takes on even deeper meanings as parents get 
older.
  In my own life, my mother was a tremendous force. Each Mother's Day 
was a celebration of her spirit, intellect and determination--and all 
this was put to the test in her battle with Alzheimer's disease. It's 
not easy seeing the woman who raised you struggle with an illness that 
robs her of her dignity and quality of life. I know that my family is 
not the only one that has been touched by this disease--and I am 
certainly not the only son who could talk in such a deeply personal way 
about losing a mother. But just like Anna Jarvis, my sisters and I 
sought to honor our mother--and perhaps in the process help another 
mother or grandmother or family--by opening the Blanchette Rockefeller 
Neurosciences Institute.
  So it is altogether fitting and proper that as we prepare to 
commemorate that first, historic Mother's Day celebration in Grafton, 
that we as a Nation begin to reconnect with what Anna Jarvis was trying 
to achieve--community recognition of the role that women play in all 
our lives.
  Today, I am introducing legislation that authorizes the U.S. Treasury 
to mint commemorative coins to celebrate the centennial of Grafton's 
celebration. I am proud to have Senator Robert C. Byrd as an original 
cosponsor. The companion bill also has been introduced in the House of 
Representatives by my West Virginia colleague, Shelley Moore Capito. 
The proceeds from the sale of these coins won't go to the Government. 
Instead they will go to two organizations that are actively working to 
make a difference in the lives of our Nation's women who are battling 
breast cancer and osteoporosis--the Susan G. Komen for the Cure 
Foundation and the National Osteoporosis Foundation.
  Every day can, and should be Mother's Day. Through this bill, 
Americans will now have the chance to show, with the purchase of these 
coins, the high

[[Page S3155]]

regard we have for not only our mothers and grandmothers, but our 
sisters and nieces, and all the women who have made a difference in our 
lives. In the process, we can contribute to funding research that will 
improve the quality of their lives.
  I urge my colleagues to support this legislation.
                                 ______
                                 
      By Ms. COLLINS (for herself and Mr. Hatch):
  S. 2884. A bill to amend the Internal Revenue Code of 1986 to provide 
incentives to improve America's research competitiveness, and for other 
purposes; to the Committee on Finance.
  Ms. COLLINS. Mr. President, I rise today to introduce the Research & 
Development Tax Credit Improvement Act of 2008, legislation which would 
extend the R&D tax credit for 5 years, phase-out the Basic Credit, and 
raise the rate of the Alternative Simplified Credit from 12 percent to 
20 percent by 2010.
  Those who have followed the ongoing discussions regarding the R&D tax 
credit will recognize that the legislation I am introducing shares the 
framework of a proposal already put forward by the senior Senator from 
the State of Utah, my good friend Orrin Hatch. Senator Hatch has done a 
superb job building a consensus around the need to transition to the 
Alternative Simplified Credit, and to raise that credit to provide a 
real incentive to the many companies that are unable to benefit from 
the Basic Credit structure. I applaud his efforts in this regard, and I 
thank him for lending his support to the bill I am introducing today.
  I also want to note the contribution of the distinguished Chairman of 
the Finance Committee, Senator Baucus, who has worked side-by-side with 
Senator Hatch on the Research and Development tax credit.
  The chief distinction between our two bills is the duration of the 
credit. The Hatch-Baucus bill proposes a permanent credit, while my 
bill would extend the R&D tax credit for five years. I certainly share 
the goal of providing a permanent R&D tax credit, but I fear that the 
cost of doing so puts it beyond our reach. Yet we simply cannot 
continue to play ``stop-and-go'' with this critical research incentive. 
Since the R&D tax credit was first enacted in 1981, Congress has had to 
extend it a dozen times, and it expired again at the end of last year. 
The constant uncertainty about the status of the credit has made it 
impossible for companies to plan their research investments, and has 
seriously diminished the credit's role as an incentive for research and 
development here in the U.S.

  A 5-year extension would give companies enough time to plan their 
research investments with the credit in mind, restoring the incentive-
effect the R&D credit has always been intended to provide. Just as 
important, the time frame I am proposing, coupled with the increase in 
the rate to 20 percent will allow for a smooth transition away from the 
Basic Credit to the Alternative Simplified Credit. The Basic Credit has 
served its purpose, but it has become hopelessly outmoded. Under the 
Basic Credit methodology, companies wishing to calculate their R&D 
credit must measure their current investments against a base that is 
stuck in the past--literally the tax years between 1984 and 1988. This 
period is simply not relevant to today's investment decisions, and 
because of that, fewer and fewer companies get any benefit at all from 
the Basic Credit.
  By contrast, the Alternative Simplified Credit methodology allows 
companies to calculate their credit using a rolling average of their 
domestic investments over their three most-recent tax years.
  The value of doing this is evidenced by the fact that most companies 
have already switched to the Alternative Simplified Credit, even though 
it has been on the books for less than a year-and-a-half, and even 
though the credit rate is only 12 percent compared to the Basic Credit 
rate of 20 percent.
  The five-year extension I am proposing will allow for a smooth 
transition to the Alternative Simplified Credit, and will bring the R&D 
tax credit up-to-date. Companies which still rely on the Basic Credit 
will be allowed to continue that credit for another two years, just as 
is contemplated by the legislation that Senators Hatch and Baucus have 
worked so hard on.
  Investment in research and development is critical to the 
breakthroughs we need to keep our economy competitive, and to create 
the good, high-paying jobs the American people deserve. The R&D tax 
credit provides an important incentive for this investment, but it 
needs to be updated so more companies can benefit from it. While making 
the credit permanent is a worthwhile goal, the 5-year extension I am 
proposing today is ``do-able'', and I urge my colleagues to support it.
                                 ______
                                 
      By Ms. SNOWE (for herself, Mr. Kerry, Mr. Smith, and Mr. Brown):
  S. 2885. A bill to amend the Internal Revenue Code of 1986 to expand 
the availability of industrial development bonds to facilities 
manufacturing intangible property; to the Committee on Finance.
  Ms. SNOWE. Mr. President, I rise today to introduce legislation that 
would provide State and local development finance authorities with 
greater flexibility in promoting economic growth that meets the 
changing realities of an ever more global economy. Specifically, my 
bill would expand the definition of ``manufacturing'' as it pertains to 
the small-issue Industrial Development Bond, IDB, program to include 
the creation of ``intangible'' property. I am pleased to be joined by 
colleagues from both sides of the aisle including Senators Kerry, 
Smith, and Brown, in introducing this critical legislation to promote 
economic development.
  Our Nation's capacity to innovate is a key reason why our economy 
remains the envy of the world, even during these difficult economic 
times. Knowledge-based businesses have been at the forefront of this 
innovation that has bolstered the economy over the long-term. For 
example, science parks have helped lead the technological revolution 
and have created more than 300,000 high-paying science and technology 
jobs, along with another 450,000 indirect jobs for a total of 750,000 
jobs in North America.
  It is clear that the promotion of knowledge-based industries can be a 
key economic tool for states and localities. This is especially true 
for states that have seen a loss in traditional manufacturing. In my 
home state of Maine, we lost 28 percent of our total manufacturing 
employment over the last decade. I believe that it critical that we 
provide states and localities with a wider range of options in 
promoting economic development. My legislation will do just that by 
expanding the availability small-issue IDBs to new economy industries, 
such as software and biotechnology, that have proven their ability to 
provide high-paying jobs.
  These IDBs allow State and local development finance authorities, 
like the Finance Authority of Maine, to issue tax-exempt bonds for the 
purpose of raising capital to provide low-cost financing of 
manufacturing facilities. These bonds, therefore, provide local 
authorities with an invaluable tool to attract new employers and assist 
existing one's to grow. The result is a win- win situation for local 
communities providing them with much needed jobs. Consequently, it only 
makes since to ensure that these finance authorities have maximum 
flexibility in options to grow jobs.
  In addition, my bill provides some technical clarity to distinguish 
between the phrases ``functionally related and subordinate facilities'' 
and ``directly related and acillary facilities.'' Until 1988, there was 
little confusion based on Treasury regulations going back to 1972 that 
made it clear that ``functionally related and subordinate facilities'' 
were clearly eligible for financing through private activity tax-exempt 
bonds.
  But, Congress enacted the Technical and Miscellaneous Revenue Bond 
Act of 1988 that imposed a limitation that not more than 25 percent of 
tax- exempt bond financing could be used on ``directly related and 
ancillary facilities.'' While these two phrases appear to be very 
similar, they are indeed distinguishable from each other. 
Unfortunately, the Internal Revenue Service has blurred this 
distinction between the phrases which has had an adverse impact on the 
way facilities are able to utilize tax-exempt bond financing. My

[[Page S3156]]

legislation would make it clear that ``functionally related and 
subordinate facilities'' are not susceptible to the 25 percent 
limitation.
  We must continue to encourage all avenues of economic development if 
Americas to compete in a changing and increasingly global economy and 
my legislation is one small step in furtherance of that goal. I urge my 
colleagues to join me in supporting this bill.
  Mr. President I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2885

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. EXPANSION OF AVAILABILITY OF INDUSTRIAL 
                   DEVELOPMENT BONDS TO FACILITIES MANUFACTURING 
                   INTANGIBLE PROPERTY.

       (a) Expansion to Intangible Property.--
       (1) In general.--The first sentence of section 
     144(a)(12)(C) of the Internal Revenue Code of 1986 (defining 
     manufacturing facility) is amended--
       (A) by inserting ``, creation,'' after ``used in the 
     manufacturing'', and
       (B) by inserting ``or intangible property which is 
     described in section 197(d)(1)(C)(iii)'' before the period at 
     the end.
       (2) Clarification.--The last sentence of section 
     144(a)(12)(C) of such Code is amended to read as follows: 
     ``For purposes of the first sentence of this subparagraph, 
     the term `manufacturing facility' includes--
       ``(i) facilities which are functionally related and 
     subordinate to a manufacturing facility (determined without 
     regard to this clause), and
       ``(ii) facilities which are directly related and ancillary 
     to a manufacturing facility (determined without regard to 
     this clause) if--

       ``(I) such facilities are located on the same site as the 
     manufacturing facility, and
       ``(II) not more than 25 percent of the net proceeds of the 
     issue are used to provide such facilities.''.

       (b) Effective Date.--The amendments made by this section 
     shall apply to bonds issued after the date of the enactment 
     of this Act.

  Mr. KERRY. Mr. President, today, Senator Snowe and I are introducing 
legislation that would expand the availability of the Industrial 
Development Bond, IDB, program. The small-issue IDB program has given 
State and local governments a low-cost source of financing to create 
and retain jobs in manufacturing plants.
  Over the years, numerous technological advances have driven software 
and biotechnology to the forefront of our economy. According to the 
U.S. Census Bureau, there are more than 400 biotechnology companies in 
Massachusetts alone, employing more than 42,000 and paying more than $5 
billion in annual salaries.
  Currently, the small-issue IDB program is limited only to 
manufacturing facilities. As our economy continues to evolve, so must 
our policies. Our legislation would allow IDBs to be used for high-
technology and biotechnology uses. The definition of manufacturing 
would be broadened to include the creation of intangible property--
specifically, patents, copyrights, formulas, processes, designs, 
patterns, know-how and other similar items.
  Expanding the current definition of manufacturing to include 
``knowledge based'' companies would promote economic development in our 
local communities as well as nationwide. This legislation is supported 
by the Council of Development Finance Agencies.
  In addition to expanding the definition of manufacturing, the 
legislation clarifies that a manufacturing facility includes 
functionally related and subordinate facilities as part of the 
facility.
  This legislation will provide a boost to the economy by fostering 
development in technology. I urge my colleagues to support this common 
sense change.
                                 ______
                                 
      By Mr. BAUCUS (for himself, Mr. Grassley, Mr. Salazar, Mr. 
        Schumer, Ms. Stabenow, Mr. Smith, Mr. Crapo, Mr. Rockefeller, 
        Mr. Kyl, and Ms. Snowe):
  S. 2886. A bill to amend the Internal Revenue Code of 1986 to amend 
certain expiring provisions; to the Committee on Finance.
  Mr. BAUCUS. Mr. President, today I am introducing a tax package that 
would extend relief from the alternative minimum tax and extend other 
much-needed individual and business provisions.
  When the economy is turning down, Americans need certainty about 
their taxes. Families and businesses need to know what the tax law is.
  That is why my bill provides a one year patch for the AMT. The patch 
will hold the number of taxpayers subject to the AMT at 4.2 million. We 
will not let more taxpayers fall into the alternative minimum tax.
  Last year, Congress did not put a patch in place until December. We 
must act sooner this year. Through this bill, Congress can act.
  That is why my package contains a 2-year extension of provisions that 
expired at the end of last year.
  These include the qualified tuition deduction to give families relief 
from high tuition costs.
  My package also includes the teacher expense deduction. This 
deduction gives teachers some of the money that they spend on school 
supplies to educate our children.
  The package also includes the State and local sales tax deduction for 
those States without an income tax.
  The bill offers an extension of the research and development credit. 
This credit gives an incentive to businesses to invest in research. It 
helps to keep America competitive in the global economy.
  My package will also extend provisions that expire this year for an 
additional year.
  The bill extends much-needed energy provisions.
  Public and private investment in the renewable energy sector was 
about $90 billion worldwide last year. That's a 27 percent increase 
over 2006.
  Congress can direct this investment toward the U.S.--rather than 
overseas--by supporting clean energy tax incentives.
  These incentives include tax credits for wind and solar power, 
efficient buildings and appliances, and clean renewable energy bonds.
  These provisions are not only good energy policy. They also create 
jobs.
  This package would also extend wind and solar provisions.
  The American solar industry employs 20,000 Americans. With a long-
term extension of the solar tax credit, that number would triple.
  The American wind industry expanded by 45 percent in 2007. It 
contributed about 30 percent of the new power capacity in America last 
year.
  These job-creating industries are growing fast. We should support 
them. We know what happens when we don't.
  For example, the tax credit for production of renewable energy was 
enacted in 1992, starting the growth of renewable power in the U.S.
  But since 1999, this credit has expired three times. And when it 
expires, clean energy suffers, leading to declines between 73 percent 
and 93 percent in wind energy investment.
  We need to keep this credit going to ensure consistent investment in 
the wind power industry.
  This package would also promote energy efficiency. Efficiency is the 
low- hanging fruit in the energy debate. We can make big strides toward 
energy independence and a clean environment by getting more for our 
energy buck.
  For example, ENERGY STAR--a voluntary labeling program designed to 
promote energy-efficient products--saved businesses, organizations, and 
consumers an estimated $14 billion in 2006.
  Efficiency also creates jobs. The American Solar Energy Society 
reported that in 2006, the efficiency industry created 8 million jobs, 
over half of them in manufacturing.
  The government plays a key role in sustaining the efficiency 
industry, through tax incentives for efficient commercial buildings, 
homes, and appliances.
  This package would also extend the clean renewable energy bonds, or 
CREBs.
  CREBs passed in the Energy Policy Act of 2005. CREBs spurred more 
than 700 new wind, biomass, solar, and hydro projects. The number of 
projects far exceeded the funding available to pay for them.
  But CREBs funding lapsed at the end of 2007. That halted development 
of new projects and the green-collar jobs that go with them. We must 
keep these projects going.
  The CREBs provision was written for non-taxable entities like rural 
co-ops. Those non-taxable entities cannot use other tax incentives in 
this package.

[[Page S3157]]

  I've listed just a few of the important energy items in this 
extenders bill. There are more. And I plan to build upon this package 
as it makes its way through the legislative process, with edits and 
additional items. The Finance Committee has been working to that end 
for the better part of a year.
  Last June, the Finance Committee passed a roughly $30 billion energy-
tax package, with a resounding bipartisan vote. A majority of the 
Senate voted for that bill.
  But we were just shy of getting the required 60 votes.
  We tried again in December, with a slimmer package. That time, we 
fell short of the required 60 by just one vote.
  We then tried in February, as part of economic stimulus bill. We 
offered a package very similar to what passed last week. That amendment 
got 58 votes.
  Last week, this body passed, by a solid 88-8 vote, a package of 
energy-tax extenders, similar to the package considered during the 
economic stimulus debate.
  A vote of 88 to 8 might suggest that there is smooth sailing ahead on 
energy-tax legislation. But I'm afraid that's not the case.
  The day before the Senate passed its housing bill, including the 
energy-tax package, the House Ways and Means Committee passed its own 
housing relief bill.
  The Ways and Means bill restated the House's position on pay-go. The 
House requires that the most of the tax package be offset.
  How did the Ways and Means Committee offset the bill? Largely with a 
provision called ``basis reporting.'' President Bush included this in 
his 2009 budget proposal.
  In other words, the House paid for a tax package with an item already 
supported, at least in principle, by the President.
  While I believe that this Congress should have paid for energy-tax 
legislation with the offsets passed by Finance Committee last year, 
it's not clear that passing that package gets us any further to 
extending these important tax incentives.
  That is why I have been working on offsets that can pass both bodies 
and be signed by the President. That is what I will continue to do to 
get these important energy items--as well as other vital extenders--
passed.
  By taking care of this now, we can spend more of our time on other 
things like tax reform.
  I plan to hold several hearings and roundtables to cuss tax reform. 
We began this week. I'm serious about simplifying our tax code. I am 
serious about helping the American people.
  Congress should do more than just extend legislation. Congress needs 
to work on new policy, new legislation, and new ideas. And by enacting 
this legislation, we can turn to those important goals. I urge my 
colleagues to support this package.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2886

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF 
                   CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Alternative Minimum Tax and Extenders Tax Relief Act of 
     2008''.
       (b) Amendment of 1986 Code.--Except as otherwise expressly 
     provided, whenever in this Act an amendment or repeal is 
     expressed in terms of an amendment to, or repeal of, a 
     section or other provision, the reference shall be considered 
     to be made to a section or other provision of the Internal 
     Revenue Code of 1986.
       (c) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; amendment of 1986 Code; table of contents.

                TITLE I--ALTERNATIVE MINIMUM TAX RELIEF

Sec. 101. Extension of alternative minimum tax relief for nonrefundable 
              personal credits.
Sec. 102. Extension of increased alternative minimum tax exemption 
              amount.

                  TITLE II--INDIVIDUAL TAX PROVISIONS

Sec. 201. Election to include combat pay as earned income for purposes 
              of the earned income credit.
Sec. 202. Distributions from retirement plans to individuals called to 
              active duty.
Sec. 203. Deduction for State and local sales taxes.
Sec. 204. Deduction of qualified tuition and related expenses.
Sec. 205. Deduction for certain expenses of elementary and secondary 
              school teachers.
Sec. 206. Modification of mortgage revenue bonds for veterans.
Sec. 207. Tax-free distributions from individual retirement plans for 
              charitable purposes.
Sec. 208. Treatment of certain dividends of regulated investment 
              companies.
Sec. 209. Stock in RIC for purposes of determining estates of 
              nonresidents not citizens.
Sec. 210. Qualified investment entities.
Sec. 211. Qualified conservation contributions.

                   TITLE III--BUSINESS TAX PROVISIONS

Sec. 301. Extension and modification of research credit.
Sec. 302. New markets tax credit.
Sec. 303. Subpart F exception for active financing income.
Sec. 304. Extension of look-thru rule for related controlled foreign 
              corporations.
Sec. 305. Extension of 15-year straight-line cost recovery for 
              qualified leasehold improvements and qualified restaurant 
              improvements.
Sec. 306. Enhanced charitable deduction for contributions of food 
              inventory.
Sec. 307. Extension of enhanced charitable deduction for contributions 
              of book inventory.
Sec. 308. Modification of tax treatment of certain payments to 
              controlling exempt organizations.
Sec. 309. Basis adjustment to stock of S corporations making charitable 
              contributions of property.
Sec. 310. Increase in limit on cover over of rum excise tax to Puerto 
              Rico and the Virgin Islands.
Sec. 311. Parity in the application of certain limits to mental health 
              benefits.
Sec. 312. Extension of economic development credit for American Samoa.
Sec. 313. Extension of mine rescue team training credit.
Sec. 314. Extension of election to expense advanced mine safety 
              equipment.
Sec. 315. Extension of expensing rules for qualified film and 
              television productions.
Sec. 316. Deduction allowable with respect to income attributable to 
              domestic production activities in Puerto Rico.
Sec. 317. Extension of qualified zone academy bonds.
Sec. 318. Indian employment credit.
Sec. 319. Accelerated depreciation for business property on Indian 
              reservation.
Sec. 320. Railroad track maintenance.
Sec. 321. Seven-year cost recovery period for motorsports racing track 
              facility.
Sec. 322. Expensing of environmental remediation costs.
Sec. 323. Extension of work opportunity tax credit for Hurricane 
              Katrina employees.

               TITLE IV--EXTENSIONS OF ENERGY PROVISIONS

Sec. 401. Extension of credit for energy efficient appliances.
Sec. 402. Extension of credit for nonbusiness energy property.
Sec. 403. Extension of credit for residential energy efficient 
              property.
Sec. 404. Extension of renewable electricity, refined coal, and Indian 
              coal production credit.
Sec. 405. Extension of new energy efficient home credit.
Sec. 406. Extension of energy credit.
Sec. 407. Extension and modification of credit for clean renewable 
              energy bonds.
Sec. 408. Extension of energy efficient commercial buildings deduction.

                      TITLE V--TAX ADMINISTRATION

Sec. 501. Permanent authority for undercover operations.
Sec. 502. Permanent disclosures of certain tax return information.
Sec. 503. Disclosure of information relating to terrorist activities.

                TITLE I--ALTERNATIVE MINIMUM TAX RELIEF

     SEC. 101. 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 2007) is 
     amended--
       (1) by striking ``or 2007'' and inserting ``2007, or 
     2008'', and
       (2) by striking ``2007'' in the heading thereof and 
     inserting ``2008''.
       (b)  Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 102. EXTENSION OF INCREASED ALTERNATIVE MINIMUM TAX 
                   EXEMPTION AMOUNT.

       (a) In General.--Paragraph (1) of section 55(d) (relating 
     to exemption amount) is amended--

[[Page S3158]]

       (1) by striking ``($66,250 in the case of taxable years 
     beginning in 2007)'' in subparagraph (A) and inserting 
     ``($69,950 in the case of taxable years beginning in 2008)'', 
     and
       (2) by striking ``($44,350 in the case of taxable years 
     beginning in 2007)'' in subparagraph (B) and inserting 
     ``($46,200 in the case of taxable years beginning in 2008)''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

                  TITLE II--INDIVIDUAL TAX PROVISIONS

     SEC. 201. ELECTION TO INCLUDE COMBAT PAY AS EARNED INCOME FOR 
                   PURPOSES OF THE EARNED INCOME 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, 2010''.
       (b) Conforming Amendment.--Paragraph (4) of section 6428, 
     as amended by the Economic Stimulus Act of 2008, is amended 
     to read as follows:
       ``(4) Earned income.--The term `earned income' has the 
     meaning set forth in section 32(c)(2) except that such term 
     shall not include net earnings from self-employment which are 
     not taken into account in computing taxable income.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after December 31, 2007.

     SEC. 202. 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, 2010''.
       (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. 203. 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, 2010''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 204. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 205. 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, 2008, or 2009''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 206. 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 inserting ``and after the date 
     of the enactment of the Alternative Minimum Tax and Extenders 
     Tax Relief Act of 2008 and before January 1, 2010'' after 
     ``January 1, 2008''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to bonds issued after the date of the enactment 
     of this Act.

     SEC. 207. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to distributions made in taxable years beginning 
     after December 31, 2007.

     SEC. 208. 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, 2009''.
       (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, 2009''.
       (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. 209. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to decedents dying after December 31, 2007.

     SEC. 210. 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, 2009''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on January 1, 2008.

     SEC. 211. 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, 2009''.
       (b) Contributions by Corporate Farmers and Ranchers.--
     Clause (iii) of section 170(b)(2)(B) (relating to 
     termination) is amended by striking ``December 31, 2007'' and 
     inserting ``December 31, 2009''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to contributions made in taxable years beginning 
     after December 31, 2007.

                   TITLE III--BUSINESS TAX PROVISIONS

     SEC. 301. EXTENSION AND MODIFICATION OF RESEARCH CREDIT.

       (a) Extension.--Section 41(h) (relating to termination) is 
     amended--
       (1) by striking ``December 31, 2007'' and inserting 
     ``December 31, 2009'' in paragraph (1)(B),
       (2) by redesignating paragraph (2) as paragraph (3), and
       (3) by inserting after paragraph (1) the following new 
     paragraph:
       ``(2) Termination of alternative incremental credit.--No 
     election under subsection (c)(4) shall apply to amounts paid 
     or incurred after December 31, 2007.''.
       (b) Modification of Alternative Simplified Credit.--
     Paragraph (5)(A) of section 41(c) (relating to election of 
     alternative simplified credit) is amended to read as follows:
       ``(A) In general.--
       ``(i) Calculation of credit.--At the election of the 
     taxpayer, the credit determined under subsection (a)(1) shall 
     be equal to the applicable percentage (as defined in clause 
     (ii)) of so much of the qualified research expenses for the 
     taxable year as exceeds 50 percent of the average qualified 
     research expenses for the 3 taxable years preceding the 
     taxable year for which the credit is being determined.
       ``(ii) Applicable percentage.--For purposes of the 
     calculation under clause (i), the applicable percentage is--

       ``(I) 14 percent, in the case of taxable years ending 
     before January 1, 2009, and
       ``(II) 16 percent, in the case of taxable years beginning 
     after December 31, 2008.''.

       (c) Conforming Amendment.--Subparagraph (D) of section 
     45C(b)(1) (relating to special rule) is amended by striking 
     ``December 31, 2007'' and inserting ``December 31, 2009''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to amounts paid or incurred after December 31, 
     2007.

     SEC. 302. 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. 303. SUBPART F EXCEPTION FOR ACTIVE FINANCING INCOME.

       (a) Exempt Insurance Income.--Paragraph (10) of section 
     953(e) (relating to application) is amended--
       (1) by striking ``January 1, 2009'' and inserting ``January 
     1, 2010'', and
       (2) by striking ``December 31, 2008'' and inserting 
     ``December 31, 2009''.
       (b) Exception to Treatment as Foreign Personal Holding 
     Company Income.--Paragraph (9) of section 954(h) (relating to 
     application) is amended by striking ``January 1, 2009'' and 
     inserting ``January 1, 2010''.

     SEC. 304. EXTENSION OF LOOK-THRU RULE FOR RELATED CONTROLLED 
                   FOREIGN CORPORATIONS.

       (a) In General.--Subparagraph (B) of section 954(c)(6) 
     (relating to application) is amended by striking ``January 1, 
     2009'' and inserting ``January 1, 2010''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years of foreign corporations 
     beginning after December 31, 2007, and to taxable years of 
     United States shareholders with or within which such taxable 
     years of foreign corporations end.

     SEC. 305. EXTENSION OF 15-YEAR STRAIGHT-LINE COST RECOVERY 
                   FOR QUALIFIED LEASEHOLD IMPROVEMENTS AND 
                   QUALIFIED RESTAURANT IMPROVEMENTS.

       (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, 
     2010''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to property placed in service after December 31, 
     2007.

     SEC. 306. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to contributions made after December 31, 2007.

     SEC. 307. EXTENSION OF ENHANCED CHARITABLE DEDUCTION FOR 
                   CONTRIBUTIONS OF BOOK INVENTORY.

       (a) Extension.--Clause (iv) of section 170(e)(3)(D) 
     (relating to termination) is amended by striking ``December 
     31, 2007'' and inserting ``December 31, 2009''.
       (b) Clerical Amendment.--Clause (iii) of section 
     170(e)(3)(D) (relating to certification by donee) is amended 
     by inserting ``of books'' after ``to any contribution''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to contributions made after December 31, 2007.

     SEC. 308. 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

[[Page S3159]]

     amended by striking ``December 31, 2007'' and inserting 
     ``December 31, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to payments received or accrued after December 
     31, 2007.

     SEC. 309. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to contributions made in taxable years beginning 
     after December 31, 2007.

     SEC. 310. 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, 2010''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to distilled spirits brought into the United 
     States after December 31, 2007.

     SEC. 311. PARITY IN THE APPLICATION OF CERTAIN LIMITS TO 
                   MENTAL HEALTH BENEFITS.

       (a) In General.--Subsection (f) of section 9812 (relating 
     to application of section) is amended--
       (1) by striking ``and'' at the end of paragraph (2),
       (2) by striking the period at the end of paragraph (3) and 
     inserting ``, and before the date of the enactment of the 
     Alternative Minimum Tax and Extenders Tax Relief Act of 2008, 
     and'', and
       (3) by adding at the end the following new paragraph:
       ``(4) after December 31, 2009.''.
       (b) Amendment to the Employee Retirement Income Security 
     Act of 1974.--Section 712(f) of the Employee Retirement 
     Income Security Act of 1974 (29 U.S.C. 1185a(f)) is amended 
     by inserting ``, and before the date of the enactment of the 
     Alternative Minimum Tax and Extenders Tax Relief Act of 2008, 
     and after December 31, 2009'' after ``December 31, 2007''.
       (c) Amendment to the Public Health Service Act.--Section 
     2705(f) of the Public Health Service Act (42 U.S.C. 300gg-
     5(f)) is amended by inserting ``, and before the date of the 
     enactment of the Alternative Minimum Tax and Extenders Tax 
     Relief Act of 2008, and after December 31, 2009'' after 
     ``December 31, 2007''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to benefits for services furnished on or after 
     the date of the enactment of this Act.

     SEC. 312. 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 4 taxable years'', and
       (2) by striking ``January 1, 2008'' and inserting ``January 
     1, 2010''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 313. EXTENSION OF MINE RESCUE TEAM TRAINING CREDIT.

       Section 45N(e) (relating to termination) is amended by 
     striking ``December 31, 2008'' and inserting ``December 31, 
     2009''.

     SEC. 314. EXTENSION OF ELECTION TO EXPENSE ADVANCED MINE 
                   SAFETY EQUIPMENT.

       Section 179E(g) (relating to termination) is amended by 
     striking ``December 31, 2008'' and inserting ``December 31, 
     2009''.

     SEC. 315. EXTENSION OF EXPENSING RULES FOR QUALIFIED FILM AND 
                   TELEVISION PRODUCTIONS.

       Section 181(f) (relating to termination) is amended by 
     striking ``December 31, 2008'' and inserting ``December 31, 
     2009''.

     SEC. 316. 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 4 taxable years'', and
       (2) by striking ``January 1, 2008'' and inserting ``January 
     1, 2010''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 317. EXTENSION OF QUALIFIED ZONE ACADEMY BONDS.

       (a) In General.--Paragraph (1) of section 1397E(e) is 
     amended by striking ``and 2007'' and inserting ``2007, 2008, 
     and 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to obligations issued after the date of the 
     enactment of this Act.

     SEC. 318. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to taxable years beginning after December 31, 
     2007.

     SEC. 319. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to property placed in service after December 31, 
     2007.

     SEC. 320. 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, 2010''.
       (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. 321. 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 to read as follows:
       ``(D) Application of paragraph.--Such term shall apply to 
     property placed in service after the date of the enactment of 
     the Alternative Minimum Tax and Extenders Tax Relief Act of 
     2008 and before January 1, 2010.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to property placed in service after the date of 
     the enactment of this Act.

     SEC. 322. 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, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to expenditures paid or incurred after December 
     31, 2007.

     SEC. 323. 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 `` 4-year''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to individuals hired after August 27, 2007.

               TITLE IV--EXTENSIONS OF ENERGY PROVISIONS

     SEC. 401. EXTENSION OF CREDIT FOR ENERGY EFFICIENT 
                   APPLIANCES.

       (a) In General.--Subsection (b) of section 45M (relating to 
     applicable amount) is amended by striking ``calendar year 
     2006 or 2007'' each place it appears in paragraphs (1)(A)(i), 
     (1)(B)(i), (1)(C)(ii)(I), and (1)(C)(iii)(I), and inserting 
     ``calendar year 2006, 2007, 2008, or 2009''.
       (b) Restart of Credit Limitation.--Paragraph (1) of section 
     45M(e) (relating to aggregate credit amount allowed) is 
     amended by inserting ``beginning after December 31, 2007'' 
     after ``for all prior taxable years''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to appliances produced after December 31, 2007.

     SEC. 402. EXTENSION OF CREDIT FOR NONBUSINESS ENERGY 
                   PROPERTY.

       (a) In General.--Section 25C(g) (relating to termination) 
     is amended by striking ``December 31, 2007'' and inserting 
     ``December 31, 2009''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to property placed in service after December 31, 
     2007.

     SEC. 403. EXTENSION OF CREDIT FOR RESIDENTIAL ENERGY 
                   EFFICIENT PROPERTY.

       Section 25D(g) (relating to termination) is amended by 
     striking ``December 31, 2008'' and inserting ``December 31, 
     2009''.

     SEC. 404. EXTENSION OF RENEWABLE ELECTRICITY, REFINED COAL, 
                   AND INDIAN COAL PRODUCTION CREDIT.

       Section 45(d) (relating to qualified facilities) is amended 
     by striking ``January 1, 2009'' each place it appears in 
     paragraphs (1), (2), (3), (4), (5), (6), (7), (8), (9), and 
     (10) and inserting ``January 1, 2010''.

     SEC. 405. EXTENSION OF NEW ENERGY EFFICIENT HOME CREDIT.

       Subsection (g) of section 45L (relating to termination) is 
     amended by striking ``December 31, 2008'' and inserting 
     ``December 31, 2009''.

     SEC. 406. EXTENSION OF ENERGY CREDIT.

       (a) Solar Energy Property.--Paragraphs (2)(A)(i)(II) and 
     (3)(A)(ii) of section 48(a) (relating to energy credit) are 
     each amended by striking ``January 1, 2009'' and inserting 
     ``January 1, 2010''.
       (b) Fuel Cell Property.--Subparagraph (E) of section 
     48(c)(1) (relating to qualified fuel cell property) is 
     amended by striking ``December 31, 2008'' and inserting 
     ``December 31, 2009''.
       (c) Microturbine Property.--Subparagraph (E) of section 
     48(c)(2) (relating to qualified microturbine property) is 
     amended by striking ``December 31, 2008'' and inserting 
     ``December 31, 2009''.

     SEC. 407. EXTENSION AND MODIFICATION OF CREDIT FOR CLEAN 
                   RENEWABLE ENERGY BONDS.

       (a) Extension.--Section 54(m) (relating to termination) is 
     amended by striking ``December 31, 2008'' and inserting 
     ``December 31, 2009''.
       (b) Increase in National Limitation.--Section 54(f) 
     (relating to limitation on amount of bonds designated) is 
     amended--
       (1) by striking ``$1,200,000,000'' in paragraph (1) and 
     inserting ``$1,600,000,000'', and
       (2) by striking ``$750,000,000'' in paragraph (2) and 
     inserting ``$1,000,000,000''.
       (c) Modification of Ratable Principal Amortization 
     Requirement.--
       (1) In general.--Paragraph (5) of section 54(l) is amended 
     to read as follows:
       ``(5) Ratable principal amortization required.--A bond 
     shall not be treated as a

[[Page S3160]]

     clean renewable energy bond unless it is part of an issue 
     which provides for an equal amount of principal to be paid by 
     the qualified issuer during each 12-month period that the 
     issue is outstanding (other than the first 12-month 
     period).''.
       (2) Technical amendment.--The third sentence of section 
     54(e)(2) is amended by striking ``subsection (l)(6)'' and 
     inserting ``subsection (l)(5)''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to bonds issued after the date of the enactment 
     of this Act.

     SEC. 408. EXTENSION OF ENERGY EFFICIENT COMMERCIAL BUILDINGS 
                   DEDUCTION.

       Section 179D(h) (relating to termination) is amended by 
     striking ``December 31, 2008'' and inserting ``December 31, 
     2009''.

                      TITLE V--TAX ADMINISTRATION

     SEC. 501. PERMANENT AUTHORITY FOR UNDERCOVER OPERATIONS.

       (a) In General.--Section 7608(c) (relating to rules 
     relating to undercover operations) is amended by striking 
     paragraph (6).
       (b) Effective Date.--The amendment made by this section 
     shall apply to operations conducted after the date of the 
     enactment of this Act.

     SEC. 502. PERMANENT DISCLOSURES OF CERTAIN TAX RETURN 
                   INFORMATION.

       (a) Disclosures to Facilitate Combined Employment Tax 
     Reporting.--
       (1) In general.--Section 6103(d)(5) (relating to disclosure 
     for combined employment tax reporting) is amended--
       (A) by striking ``reporting'' in the heading thereof and 
     all that follows through ``The Secretary'' in subparagraph 
     (A) and inserting ``reporting.--The Secretary'', and
       (B) by striking subparagraph (B).
       (2) Effective date.--The amendments made by this subsection 
     shall apply to disclosures after the date of the enactment of 
     this Act.
       (b) Disclosures Relating to Certain Programs Administered 
     by the Department of Veterans Affairs.--
       (1) In general.--Section 6103(l)(7)(D) (relating to 
     programs to which rule applies) is amended by striking the 
     last sentence.
       (2) Technical amendment.--Section 6103(l)(7)(D)(viii)(III) 
     is amended by striking ``sections 1710(a)(1)(I), 1710(a)(2), 
     1710(b), and 1712(a)(2)(B)'' and inserting ``sections 
     1710(a)(2)(G), 1710(a)(3), and 1710(b)''.

     SEC. 503. DISCLOSURE OF INFORMATION RELATING TO TERRORIST 
                   ACTIVITIES.

       (a) Disclosure of Return Information to Apprise Appropriate 
     Officials of Terrorist Activities.--Clause (iv) of section 
     6103(i)(3)(C) (relating to termination) is amended by 
     striking ``December 31, 2007'' and inserting ``December 31, 
     2009''.
       (b) Disclosure Upon Request of Information Relating to 
     Terrorist Activities.--Subparagraph (E) of section 6103(i)(7) 
     (relating to termination) is amended by striking ``December 
     31, 2007'' and inserting ``December 31, 2009''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to disclosures after the date of the enactment of 
     this Act.
                                 ______
                                 
      By Mr. KOHL (for himself, Ms. Collins, and Mrs. Lincoln):
  S. 2888. A bill to protect the property and security of homeowners 
who are subject to foreclosure proceedings, and for other purposes; to 
the Committee on Banking, Housing, and Urban Affairs.
  Mr. KOHL. The legislation I have introduced with Senators Collins and 
Lincoln attacks the growing problem of foreclosure rescue scams. I held 
a revealing hearing in the Aging committee that uncovered the ways scam 
artists prey on homeowners already in financial and emotional distress. 
These scams are another consequence of the mortgage crisis that is 
plaguing our country.
  For most people, their home is their greatest asset. When a homeowner 
falls behind in their mortgage payments, it is a great emotion strain. 
Scam artists prey on an owner's desperation and give them a false sense 
of security, claiming they can help ``save their home.'' The types of 
scams vary, but the end result is that the homeowner is left in a more 
desperate situation than before.
  There are three types of prevalent scams. The first is ``phantom 
help,'' where the ``rescuer'' claims that they call the homeowner's 
lender and re-negotiate the loan for a fee. Often the homeowner will 
pay the fee and the ``rescuer,'' will abandon the homeowner without 
performing any intervention. The second is a ``rent-to-own'' scheme 
which is set up to fail. A homeowner will sign over the title of the 
house and make monthly payments to the scammer in order to help rebuild 
their credit. However, the monthly payments are extremely high and 
often result in the homeowner violating the contract and being evicted. 
Finally, a homeowner may be tricked into unknowingly signing over the 
title of their house and power of attorney to the scammer and the 
scammer will then sell the house to a third party. The scam artist 
might give the homeowner a small amount of money, but often only a 
fraction of the actual selling price.
  As one can clearly see, these scams are well crafted and extremely 
complicated. Catie Doyle, the Chief attorney for Legal Aid Society of 
Milwaukee, testified before the Special Committee on Aging, describing 
the difficulties and problems lawyers are facing when trying to help 
victims of these scams. One major problem she pointed out was that 
lawyers have to piece together both state and federal laws to untangle 
these scams.
  The Foreclosure Rescue Fraud Act that Senators Collins, Lincoln and I 
are offering will remedy Ms. Doyle's concerns. While there are some 
states that have foreclosure rescue scam laws or are in the process of 
enacting them, many homeowners still go unprotected from these 
predators. This legislation will require that all contracts between a 
foreclosure consultant be in writing and fully disclose the nature of 
the services and the exact amount. Additionally, the bill prohibits up-
front fees from being collected and prohibits a ``consultant'' from 
obtaining the power of attorney from a homeowner.
  I also have a letter of support from a variety of consumer groups 
including the Center of Responsible Lending, Consumer Federation of 
America, National Community Reinvestment Coalition, and the National 
Council of La Raza.
  The foreclosure crisis is real. Most communities across the country 
are experiencing both the primary and secondary effects. It is 
important that we address fraud at the front end of the lending 
process, as well, as for those who face foreclosure. I hope that we can 
work together to move this legislation forward.
                                 ______
                                 
      By Mr. AKAKA (by request):
  S. 2889. A bill to amend title 38, United States Code, to improve 
veterans' health care benefits, and for other purposes; to the 
Committee on Veterans' Affairs.

  Mr. AKAKA. Mr. President, today I introduce legislation requested by 
the Secretary of Veterans Affairs, as a courtesy to the Secretary and 
the Department of Veterans Affairs. Except in unusual circumstances, it 
is my practice to introduce legislation requested by the Administration 
so that such measures will be available for review and consideration.
  This ``by-request'' bill would address a range of issues. On the 
health care side, it would allow VA to contract with community 
residential care programs for veterans with serious traumatic brain 
injury. It would also eliminate copayments for all hospice care. 
Further, it would expand continuing education benefits for physicians 
and dentists. Finally, it would allow the Secretary to disclose the 
names and addresses of certain VA patients without prior written 
consent to collect payment from third-party health plans.
  On the benefits side, this legislation would permanently authorize VA 
to use data provided by the IRS and the Social Security Administration 
to verify the incomes of recipients of needs-based benefits from VA. VA 
uses this data to ensure that it does not disburse benefits and 
payments to individuals who do not legally qualify to receive them.
  This legislation would also provide a cost-of-living increase for VA 
disability compensation for service-connected veterans and dependency 
and indemnity compensation for survivors.
  I am introducing this bill for the review and consideration of my 
colleagues at the request of the Administration. As chairman of the 
Committee on Veterans' Affairs, I have not taken a position on this 
legislation.
  Mr. President, I ask unanimous consent that the text of the bill and 
a letter of support be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                S. 2889

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; REFERENCES TO TITLE 38, UNITED STATES 
                   CODE.

       (a) Short Title.--This Act may be cited as the ``Veterans 
     Health Care Act of 2008''.

[[Page S3161]]

       (b) References.--Except as otherwise expressly provided, 
     whenever in this Act an amendment or repeal is expressed in 
     terms of an amendment or repeal to a section or other 
     provision, the reference shall be considered to be made to a 
     section or other provision of title 38, United States Code.

     SEC. 2. SPECIALIZED RESIDENTIAL CARE AND REHABILITATION FOR 
                   CERTAIN VETERANS.

       Section 1720 is amended by adding at the end the following 
     new subsection:
       ``(g) The Secretary may contract with appropriate entities 
     to provide specialized residential care and rehabilitation 
     services to a veteran of Operation Enduring Freedom or 
     Operation Iraqi Freedom who the Secretary determines suffers 
     from a traumatic brain injury, has an accumulation of 
     deficits in activities of daily living and instrumental 
     activities of daily living, and who, because of these 
     deficits, would otherwise require admission to a nursing home 
     even though such care would generally exceed the veteran's 
     nursing needs.

     SEC. 3. REIMBURSEMENT FOR CERTAIN CONTINUING EDUCATION.

       Section 7411 is amended to read:
       ``The Secretary shall provide full-time board-certified 
     physicians and dentists appointed under section 7401(1) of 
     this title the opportunity to continue their professional 
     education through VA sponsored continuing education programs. 
     The Secretary may reimburse the physician or dentist up to 
     $1,000 per year for continuing professional education not 
     available through VA sources.''.

     SEC. 4. COPAYMENT EXEMPTION FOR HOSPICE CARE.

       (a) Section 1710(f)(1) is amended by adding ``(except if 
     such care constitutes hospice care)'' after ``nursing home 
     care'';
       (b) Section 1710(g)(1) is amended by adding ``(except if 
     such care constitutes hospice care)'' after ``medical 
     services''.

     SEC. 5. UPDATE OF VOLUNTARY HIV TESTING POLICY.

       Section 124 of the Veterans' Benefits and Services Act of 
     1988 (title I of Public Law 100-322, as amended; 38 U.S.C. 
     7333 note) is repealed.

     SEC. 6. DISCLOSURE OF MEDICAL RECORDS.

       (a) Limited Exception to Confidentiality of Medical 
     Records.--Section 5701 is amended by adding at the end of the 
     following new subsection:
       ``(1) Under regulations that the Secretary shall prescribe, 
     the Secretary may disclose the name or address, or both, of 
     any individual who is a present or former member of the Armed 
     Forces, or who is a dependent of a present or former member 
     of the Armed Forces, to a third party, as defined in section 
     1729(i)(3)(D) of this title, in order to enable the Secretary 
     to collect reasonable charges under section 1729(a)(2)(E) of 
     this title for care or services provided for a non-service-
     connected disability.''
       (b) Disclosures From Certain Medical Records.--Section 
     7332(b)(2) is amended by adding at the end the following new 
     subparagraph: ``(F) To a third party, as defined in section 
     1729(i)(3)(D) of this title, to collect reasonable charges 
     under section 1729(a)(2)(E) of this title for care or 
     services provided for a non-service-connected disability.''

     SEC. 7. PERMANENT AUTHORITY TO CARRY OUT INCOME VERIFICATION.

       Section 5317 is amended by striking subsection (g).

     SEC. 8. INCREASE IN RATES OF DISABILITY COMPENSATION AND 
                   DEPENDENCY AND INDEMNITY COMPENSATION.

       (a) Rate Adjustment.--The Secretary of Veterans Affairs 
     shall, effective on December 1, 2008, increase the dollar 
     amounts in effect for the payment of disability compensation 
     and dependency and indemnity compensation by the Secretary, 
     as specified in subsection (b).
       (b) Amounts To Be Increased.--The dollar amounts to be 
     increased pursuant to subsection (a) are the following:
       (1) Compensation.--Each of the dollar amounts in effect 
     under section 1114 of title 38, United States Code;
       (2) Additional Compensation for Dependents.--Each of the 
     dollar amounts in effect under section 1115(1) of such title;
       (3) Clothing Allowance.--The dollar amount in effect under 
     section 1162 of such title;
       (4) New DIC Rates.--Each of the dollar amounts in effect 
     under paragraphs (1) and (2) of section 1311(a) of such 
     title;
       (5) Old DIC Rates.--Each of the dollar amounts in effect 
     under section 1311(a)(3) of such title;
       (6) Additional DIC for Surviving Spouses With Minor 
     Children.--The dollar amount in effect under section 1311(b) 
     of such title;
       (7) Additional DIC for Disability.--Each of the dollar 
     amounts in effect under subsections (c) and (d) of section 
     1311 of such title;
       (8) DIC for Dependent Children.--Each of the dollar amounts 
     in effect under sections 1313(a) and 1314 of such title.
       (c) Determination of Increase.--
       (1) The increase under subsection (a) shall be made in the 
     dollar amounts specified in subsection (b) as in effect on 
     November 30, 2008.
       (2) Except as provided in paragraph (3), each such amount 
     shall be increased by the same percentage as the percentage 
     by which benefit amounts payable under title II of the Social 
     Security Act (42 U.S.C. 401 et seq.) are increased effective 
     December 1, 2008, as a result of a determination under 
     section 215(i) of such Act (42 U.S.C. 415(i)).
       (3) Each dollar amount increased pursuant to paragraph (2) 
     shall, if not a whole dollar amount, be rounded down to the 
     next lower whole dollar amount.
       (d) Special Rule.--The Secretary may adjust 
     administratively. consistent with the increases made under 
     subsection (a), the rates of disability compensation payable 
     to persons within the purview of section 10 of Public Law No. 
     85-857 (72 Stat. 1263) who are not in receipt of compensation 
     payable pursuant to chapter 11 of title 38, United States 
     Code.
       (e) Publication of Adjusted Rates.--At the same time as the 
     matters specified in section 215(i)(2)(D) of the Social 
     Security Act (42 U.S.C. 415(i)(2)(D)) are required to be 
     published by reason of a determination made under section 
     215(i) of such Act during fiscal year 2009, the Secretary of 
     Veterans Affairs shall publish in the Federal Register the 
     amounts specified in subsection (b), as increased pursuant to 
     subsection (a).

                            The Secretary of Veterans Affairs,

                                       Washington, March 18, 2008.
     Hon. Richard B. Cheney,
     President of the Senate,
     Washington, DC.
       Dear Mr. President: We are transmitting a draft bill, ``To 
     amend title 38, United States Code, to improve veterans' 
     health care benefits and for other purposes,'' We request 
     that the bill be referred to the appropriate committee for 
     prompt consideration and enactment. Enclosed with the bill is 
     a sectional analysis that describes each provision, provides 
     a rationale for the provision, and provides estimates of the 
     costs, savings and revenues that would result from enactment. 
     Our draft bill includes proposals contained in the 
     President's FY 09 budget request, to include a cost-of living 
     increase in rates of disability compensation and dependency 
     and indemnity compensation. Two of the proposals are 
     discussed in further detail below.
       This Administration advocates focusing greater attention on 
     the long-term residential rehabilitation needs of veterans 
     with traumatic brain injuries who do not require nursing home 
     care but are unable to live independently in their homes. In 
     furtherance of that policy, our bill would authorize the 
     Secretary, in carrying out the Department of Veterans Affairs 
     (VA) community residential care program, to contract for 
     specialized residential care and rehabilitation services for 
     veterans of Operation Enduring Freedom and/or Operation Iraqi 
     Freedom (OEF/OIF) who: (1) suffer from traumatic brain 
     injury, (2) have an accumulation of deficits in activities of 
     daily living and instrumental activities of daily living that 
     affects their ability to care for themselves, and (3) would 
     otherwise receive their care and rehabilitation in a nursing 
     home, which exceeds their nursing needs. This authority would 
     provide the Department with a far more appropriate treatment 
     setting for the provision of long-term rehabilitation 
     services. VA estimates the discretionary cost of this 
     proposal to be $1,427,000 in fiscal year 2009 and $79,156,000 
     over a 10-year period.
       In 2004, Congress amended the law to eliminate copayment 
     requirements for hospice care furnished in a VA nursing home. 
     The bill contains a provision to exempt all hospice care from 
     copayments by amending 38 U.S.C. Sec. 1710 to eliminate co-
     payment requirements for veterans receiving VA hospice care 
     either in a VA hospital or at home on an outpatient basis. 
     The provision would provide equitable treatment for all 
     veterans receiving such care and would also align VA with the 
     Medicare program, which does not impose co-payments for 
     hospice care (regardless of setting). There are no costs 
     associated with enactment of this proposal. Projected 
     discretionary revenue loss is estimated to be $149,000 in 
     fiscal year 2009 and $1,400,000 over 10 years.
       The Office of Management and Budget advises that the 
     transmission of this legislative package is in accord with 
     the President's program.
           Sincerely yours,
                                              James B. Peake, M.D.
                                 ______
                                 
      By Mr. McCAIN (for himself, Mr. Kyl, Mr. Burr, Mr. Graham, Mr. 
        Martinez, Mr. Warner, Mr. Chambliss, Mr. Lieberman, and Mr. 
        Sununu):
  S. 2890. A bill to amend the Internal Revenue Code of 1986 to provide 
for a highway fuel tax holiday; to the Committee on Finance.
  Mr. McCAIN. Mr. President, I am pleased to be joined today by 
Senators Kyl, Burr, Graham, Martinez, Warner, Chambliss, Lieberman, 
Wicker and Sununu in introducing legislation that would provide all 
Americans with a ``gas tax holiday'' this summer. This bill would 
suspend the 18.4 cents-per-gallon Federal tax on gasoline and the 24.4 
cents-per-gallon tax on diesel fuel from Memorial Day to Labor Day.
  Today, this legislation was put forward on the Senate floor as an 
amendment to the Highway Technical Corrections bill, but it was blocked 
from being considered. I now call on my colleagues on both sides of the 
aisle to come together to support this proposal that would provide 
immediate relief to all Americans suffering from the high price of gas.

[[Page S3162]]

  Mr. President, hardworking American families are facing many 
difficult challenges due to the current economic realities facing our 
country. Now, more than ever, they find themselves having to choose 
between basic needs to provide for their families, and this is being 
greatly exacerbated by rising gasoline prices, which have risen by more 
than 58 percent in the last 14 months. That is why I am pleased to be 
joined by so many of my colleagues in offering a proposal to provide 
some needed relief for every person who will be filling their gas or 
diesel tanks this summer.
  In the past year, the price of unleaded regular gas has increased 53 
cents per gallon. Diesel fuel prices nationwide are now over $1.30 more 
per gallon more than this time last year. With the growing financial 
strains placed on so many Americans--rising food prices and falling 
home prices--the additional hit of rising fuel prices is becoming the 
breaking point.
  In an effort to ease some of the hardship caused by the higher fuel 
prices, our bill would suspend the Federal tax on gas and the tax on 
diesel fuel from Memorial Day to Labor Day. Last Memorial Day, alone, 
approximately 32 million Americans traveled by car 50 miles or more 
from home. Suspending the federal excise tax during the summer, when 
fuel prices have historically been at the highest annually, would allow 
Americans to keep a few more of their hard-earned dollars.
  Now, let me be clear: this bill would not harm the Highway Trust 
Fund. This bill would ensure that the Highway Trust Fund remains whole 
during this ``gas tax holiday'' by transferring monies from the General 
Treasury. We all agree that our roads and highways must be maintained 
and improved to ensure the safety of the road-traveling public, and 
this amendment would do nothing to impact highway construction.
  So, my colleagues have an opportunity to take meaningful action to 
ease some of the financial burdens that are impacting all hardworking 
Americans every time they fill up their gas or diesel tanks. Let's put 
some acton behind the usual rhetoric around here and vote to ease their 
tax burden this summer.
                                 ______
                                 
      By Mr. KENNEDY (for himself, Mrs. Clinton, Mr. Obama, Mr. Brown, 
        Mr. Feingold, and Mr. Schumer):
  S. 2891. A bill to amend the National Labor Relations Act to apply 
the protections of the Act to teaching and research assistants; to the 
Committee on Health, Education, Labor, and Pensions.
  Mr. KENNEDY. Mr. President, it is important for Congress to do more 
to guarantee graduate students the right to organize and to bargain 
over their wages and working conditions as teaching and research 
assistants, so I am introducing legislation today to do so.
  More than ever in modern education, teaching and research assistants 
are in classrooms every day, educating students in colleges and 
universities across the country. Their numbers are increasing as the 
number of full time faculty dwindles. Often, teaching and research 
assistants are now doing the same job as junior faculty members.
  In fact, the classroom is a workplace for these scholars. It's where 
they earn the money they need to pay to put food on their tables and a 
roof over their heads. They deserve the right to stand together and 
make their voice heard in their workplace. Like other employees, they 
should have the right to join a union and improve their working 
conditions. Obviously, better wages and working conditions for them 
also means better education for their students.
  In 2004, however, a decision by the National Labor Relations Board 
changed the law and denied fundamental workplace rights and protections 
for teaching and research assistants. This ruling stopped an active 
organizing movement in its tracks and deprived thousands of teaching 
and research assistants of their right to organize and bargain over 
their wages and working conditions.
  It is hardly the only bad decision by the National Labor Relations 
Board under the Bush administration, which has been the most anti-
worker, anti-labor, anti-union NLRB in history. The Board has let 
workers down at every turn. It has blocked efforts to gain union 
representation, undermined workers' attempts to improve their pay and 
benefits, and exposed them to penalties for seeking to improve their 
working conditions.
  The National Labor Relations Board is supposed to protect the rights 
of American workers, but it is failing teaching and research 
assistants, just as it has failed so many others. By passing the 
Teaching and Research Assistants Collective Bargaining Rights Act, 
Congress will give these workers back the rights that the National 
Labor Relations Board has taken away. This legislation amends the 
definition of employee under the National Labor Relations Act to 
explicitly include teaching and research assistants at private 
universities and colleges and restores the law to where it was before 
the Bush board's anti-worker decision.
  This bill is a significant step forward in restoring workers' rights, 
and I urge my colleagues to join in supporting this important 
legislation.

                          ____________________