[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1 Engrossed Amendment Senate (EAS)]

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                  In the Senate of the United States,

                               July 1 (legislative day, June 30), 2025.
    Resolved, That the bill from the House of Representatives (H.R. 1) 
entitled ``An Act to provide for reconciliation pursuant to title II of 
H. Con. Res. 14.'', do pass with the following

                               AMENDMENT:

             Strike all after the first word, and insert the following:

1. TABLE OF CONTENTS.

    The table of contents of this Act is as follows:

Sec. 1. Table of contents.

       TITLE I--COMMITTEE ON AGRICULTURE, NUTRITION, AND FORESTRY

                         Subtitle A--Nutrition

Sec. 10101. Re-evaluation of thrifty food plan.
Sec. 10102. Modifications to SNAP work requirements for able-bodied 
                            adults.
Sec. 10103. Availability of standard utility allowances based on 
                            receipt of energy assistance.
Sec. 10104. Restrictions on internet expenses.
Sec. 10105. Matching funds requirements.
Sec. 10106. Administrative cost sharing.
Sec. 10107. National education and obesity prevention grant program.
Sec. 10108. Alien SNAP eligibility.

                          Subtitle B--Forestry

Sec. 10201. Rescission of amounts for forestry.

                        Subtitle C--Commodities

Sec. 10301. Effective reference price; reference price.
Sec. 10302. Base acres.
Sec. 10303. Producer election.
Sec. 10304. Price loss coverage.
Sec. 10305. Agriculture risk coverage.
Sec. 10306. Equitable treatment of certain entities.
Sec. 10307. Payment limitations.
Sec. 10308. Adjusted gross income limitation.
Sec. 10309. Marketing loans.
Sec. 10310. Repayment of marketing loans.
Sec. 10311. Economic adjustment assistance for textile mills.
Sec. 10312. Sugar program updates.
Sec. 10313. Dairy policy updates.
Sec. 10314. Implementation.

                Subtitle D--Disaster Assistance Programs

Sec. 10401. Supplemental agricultural disaster assistance.

                       Subtitle E--Crop Insurance

Sec. 10501. Beginning farmer and rancher benefit.
Sec. 10502. Area-based crop insurance coverage and affordability.
Sec. 10503. Administrative and operating expense adjustments.
Sec. 10504. Premium support.
Sec. 10505. Program compliance and integrity.
Sec. 10506. Reviews, compliance, and integrity.
Sec. 10507. Poultry insurance pilot program.

          Subtitle F--Additional Investments in Rural America

Sec. 10601. Conservation.
Sec. 10602. Supplemental agricultural trade promotion program.
Sec. 10603. Nutrition.
Sec. 10604. Research.
Sec. 10605. Energy.
Sec. 10606. Horticulture.
Sec. 10607. Miscellaneous.

                 TITLE II--COMMITTEE ON ARMED SERVICES

Sec. 20001. Enhancement of Department of Defense resources for 
                            improving the quality of life for military 
                            personnel.
Sec. 20002. Enhancement of Department of Defense resources for 
                            shipbuilding.
Sec. 20003. Enhancement of Department of Defense resources for 
                            integrated air and missile defense.
Sec. 20004. Enhancement of Department of Defense resources for 
                            munitions and defense supply chain 
                            resiliency.
Sec. 20005. Enhancement of Department of Defense resources for scaling 
                            low-cost weapons into production.
Sec. 20006. Enhancement of Department of Defense resources for 
                            improving the efficiency and cybersecurity 
                            of the Department of Defense.
Sec. 20007. Enhancement of Department of Defense resources for air 
                            superiority.
Sec. 20008. Enhancement of resources for nuclear forces.
Sec. 20009. Enhancement of Department of Defense resources to improve 
                            capabilities of United States Indo-Pacific 
                            Command.
Sec. 20010. Enhancement of Department of Defense resources for 
                            improving the readiness of the Department 
                            of Defense.
Sec. 20011. Improving Department of Defense border support and counter-
                            drug missions.
Sec. 20012. Department of Defense oversight.
Sec. 20013. Military construction projects authorized.

      TITLE III--COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS

Sec. 30001. Funding cap for the Bureau of Consumer Financial 
                            Protection.
Sec. 30002. Rescission of funds for Green and Resilient Retrofit 
                            Program for Multifamily Housing.
Sec. 30003. Securities and Exchange Commission Reserve Fund.
Sec. 30004. Appropriations for Defense Production Act.

      TITLE IV--COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION

Sec. 40001. Coast Guard mission readiness.
Sec. 40002. Spectrum auctions.
Sec. 40003. Air traffic control improvements.
Sec. 40004. Space launch and reentry licensing and permitting user 
                            fees.
Sec. 40005. Mars missions, Artemis missions, and Moon to Mars program.
Sec. 40006. Corporate average fuel economy civil penalties.
Sec. 40007. Payments for lease of Metropolitan Washington Airports.
Sec. 40008. Rescission of certain amounts for the National Oceanic and 
                            Atmospheric Administration.
Sec. 40009. Reduction in annual transfers to Travel Promotion Fund.
Sec. 40010. Treatment of unobligated funds for alternative fuel and 
                            low-emission aviation technology.
Sec. 40011. Rescission of amounts appropriated to Public Wireless 
                            Supply Chain Innovation Fund.

           TITLE V--COMMITTEE ON ENERGY AND NATURAL RESOURCES

                    Subtitle A--Oil and Gas Leasing

Sec. 50101. Onshore oil and gas leasing.
Sec. 50102. Offshore oil and gas leasing.
Sec. 50103. Royalties on extracted methane.
Sec. 50104. Alaska oil and gas leasing.
Sec. 50105. National Petroleum Reserve-Alaska.

                           Subtitle B--Mining

Sec. 50201. Coal leasing.
Sec. 50202. Coal royalty.
Sec. 50203. Leases for known recoverable coal resources.
Sec. 50204. Authorization to mine Federal coal.

                           Subtitle C--Lands

Sec. 50301. Timber sales and long-term contracting for the Forest 
                            Service and the Bureau of Land Management.
Sec. 50302. Renewable energy fees on Federal land.
Sec. 50303. Renewable energy revenue sharing.
Sec. 50304. Rescission of National Park Service and Bureau of Land 
                            Management funds.
Sec. 50305. Celebrating America's 250th anniversary.

                           Subtitle D--Energy

Sec. 50401. Strategic Petroleum Reserve.
Sec. 50402. Repeals; rescissions.
Sec. 50403. Energy dominance financing.
Sec. 50404. Transformational artificial intelligence models.

                           Subtitle E--Water

Sec. 50501. Water conveyance and surface water storage enhancement.

          TITLE VI--COMMITTEE ON ENVIRONMENT AND PUBLIC WORKS

Sec. 60001. Rescission of funding for clean heavy-duty vehicles.
Sec. 60002. Repeal of Greenhouse Gas Reduction Fund.
Sec. 60003. Rescission of funding for diesel emissions reductions.
Sec. 60004. Rescission of funding to address air pollution.
Sec. 60005. Rescission of funding to address air pollution at schools.
Sec. 60006. Rescission of funding for the low emissions electricity 
                            program.
Sec. 60007. Rescission of funding for section 211(o) of the Clean Air 
                            Act.
Sec. 60008. Rescission of funding for implementation of the American 
                            Innovation and Manufacturing Act.
Sec. 60009. Rescission of funding for enforcement technology and public 
                            information.
Sec. 60010. Rescission of funding for greenhouse gas corporate 
                            reporting.
Sec. 60011. Rescission of funding for environmental product declaration 
                            assistance.
Sec. 60012. Rescission of funding for methane emissions and waste 
                            reduction incentive program for petroleum 
                            and natural gas systems.
Sec. 60013. Rescission of funding for greenhouse gas air pollution 
                            plans and implementation grants.
Sec. 60014. Rescission of funding for environmental protection agency 
                            efficient, accurate, and timely reviews.
Sec. 60015. Rescission of funding for low-embodied carbon labeling for 
                            construction materials.
Sec. 60016. Rescission of funding for environmental and climate justice 
                            block grants.
Sec. 60017. Rescission of funding for ESA recovery plans.
Sec. 60018. Rescission of funding for environmental and climate data 
                            collection.
Sec. 60019. Rescission of neighborhood access and equity grant program.
Sec. 60020. Rescission of funding for Federal building assistance.
Sec. 60021. Rescission of funding for low-carbon materials for Federal 
                            buildings.
Sec. 60022. Rescission of funding for GSA emerging and sustainable 
                            technologies.
Sec. 60023. Rescission of environmental review implementation funds.
Sec. 60024. Rescission of low-carbon transportation materials grants.
Sec. 60025. John F. Kennedy Center for the Performing Arts.
Sec. 60026. Project sponsor opt-in fees for environmental reviews.

                           TITLE VII--FINANCE

                            Subtitle A--Tax

Sec. 70001. References to the Internal Revenue Code of 1986, etc.

Chapter 1--Providing Permanent Tax Relief for Middle-class Families and 
                                Workers

Sec. 70101. Extension and enhancement of reduced rates.
Sec. 70102. Extension and enhancement of increased standard deduction.
Sec. 70103. Termination of deduction for personal exemptions other than 
                            temporary senior deduction.
Sec. 70104. Extension and enhancement of increased child tax credit.
Sec. 70105. Extension and enhancement of deduction for qualified 
                            business income.
Sec. 70106. Extension and enhancement of increased estate and gift tax 
                            exemption amounts.
Sec. 70107. Extension of increased alternative minimum tax exemption 
                            amounts and modification of phaseout 
                            thresholds.
Sec. 70108. Extension and modification of limitation on deduction for 
                            qualified residence interest.
Sec. 70109. Extension and modification of limitation on casualty loss 
                            deduction.
Sec. 70110. Termination of miscellaneous itemized deductions other than 
                            educator expenses.
Sec. 70111. Limitation on tax benefit of itemized deductions.
Sec. 70112. Extension and modification of qualified transportation 
                            fringe benefits.
Sec. 70113. Extension and modification of limitation on deduction and 
                            exclusion for moving expenses.
Sec. 70114. Extension and modification of limitation on wagering 
                            losses.
Sec. 70115. Extension and enhancement of increased limitation on 
                            contributions to ABLE accounts.
Sec. 70116. Extension and enhancement of savers credit allowed for ABLE 
                            contributions.
Sec. 70117. Extension of rollovers from qualified tuition programs to 
                            ABLE accounts permitted.
Sec. 70118. Extension of treatment of certain individuals performing 
                            services in the Sinai Peninsula and 
                            enhancement to include additional areas.
Sec. 70119. Extension and modification of exclusion from gross income 
                            of student loans discharged on account of 
                            death or disability.
Sec. 70120. Limitation on individual deductions for certain state and 
                            local taxes, etc.

Chapter 2--Delivering on Presidential Priorities to Provide New Middle-
                            class Tax Relief

Sec. 70201. No tax on tips.
Sec. 70202. No tax on overtime.
Sec. 70203. No tax on car loan interest.
Sec. 70204. Trump accounts and contribution pilot program.

Chapter 3--Establishing Certainty and Competitiveness for American Job 
                                Creators

subchapter a--permanent u.s. business tax reform and boosting domestic 
                               investment

Sec. 70301. Full expensing for certain business property.
Sec. 70302. Full expensing of domestic research and experimental 
                            expenditures.
Sec. 70303. Modification of limitation on business interest.
Sec. 70304. Extension and enhancement of paid family and medical leave 
                            credit.
Sec. 70305. Exceptions from limitations on deduction for business 
                            meals.
Sec. 70306. Increased dollar limitations for expensing of certain 
                            depreciable business assets.
Sec. 70307. Special depreciation allowance for qualified production 
                            property.
Sec. 70308. Enhancement of advanced manufacturing investment credit.
Sec. 70309. Spaceports are treated like airports under exempt facility 
                            bond rules.

    subchapter b--permanent america-first international tax reforms

                       PART I--Foreign Tax Credit

Sec. 70311. Modifications related to foreign tax credit limitation.
Sec. 70312. Modifications to determination of deemed paid credit for 
                            taxes properly attributable to tested 
                            income.
Sec. 70313. Sourcing certain income from the sale of inventory produced 
                            in the United States.

 PART II--Foreign-derived Deduction Eligible Income and Net CFC Tested 
                                 Income

Sec. 70321. Modification of deduction for foreign-derived deduction 
                            eligible income and net CFC tested income.
Sec. 70322. Determination of deduction eligible income.
Sec. 70323. Rules related to deemed intangible income.

                   PART III--Base Erosion Minimum Tax

Sec. 70331. Extension and modification of base erosion minimum tax 
                            amount.

                 PART IV--Business Interest Limitation

Sec. 70341. Coordination of business interest limitation with interest 
                            capitalization provisions.
Sec. 70342. Definition of adjusted taxable income for business interest 
                            limitation.

                PART V--Other International Tax Reforms

Sec. 70351. Permanent extension of look-thru rule for related 
                            controlled foreign corporations.
Sec. 70352. Repeal of election for 1-month deferral in determination of 
                            taxable year of specified foreign 
                            corporations.
Sec. 70353. Restoration of limitation on downward attribution of stock 
                            ownership in applying constructive 
                            ownership rules.
Sec. 70354. Modifications to pro rata share rules.

   Chapter 4--Investing in American Families, Communities, and Small 
                               Businesses

      subchapter a--permanent investments in families and children

Sec. 70401. Enhancement of employer-provided child care credit.
Sec. 70402. Enhancement of adoption credit.
Sec. 70403. Recognizing Indian tribal governments for purposes of 
                            determining whether a child has special 
                            needs for purposes of the adoption credit.
Sec. 70404. Enhancement of the dependent care assistance program.
Sec. 70405. Enhancement of child and dependent care tax credit.

  subchapter b--permanent investments in students and reforms to tax-
                          exempt institutions

Sec. 70411. Tax credit for contributions of individuals to scholarship 
                            granting organizations.
Sec. 70412. Exclusion for employer payments of student loans.
Sec. 70413. Additional expenses treated as qualified higher education 
                            expenses for purposes of 529 accounts.
Sec. 70414. Certain postsecondary credentialing expenses treated as 
                            qualified higher education expenses for 
                            purposes of 529 accounts.
Sec. 70415. Modification of excise tax on investment income of certain 
                            private colleges and universities.
Sec. 70416. Expanding application of tax on excess compensation within 
                            tax-exempt organizations.

      subchapter c--permanent investments in community development

Sec. 70421. Permanent renewal and enhancement of opportunity zones.
Sec. 70422. Permanent enhancement of low-income housing tax credit.
Sec. 70423. Permanent extension of new markets tax credit.
Sec. 70424. Permanent and expanded reinstatement of partial deduction 
                            for charitable contributions of individuals 
                            who do not elect to itemize.
Sec. 70425. 0.5 percent floor on deduction of contributions made by 
                            individuals.
Sec. 70426. 1-percent floor on deduction of charitable contributions 
                            made by corporations.
Sec. 70427. Permanent increase in limitation on cover over of tax on 
                            distilled spirits.
Sec. 70428. Nonprofit community development activities in remote native 
                            villages.
Sec. 70429. Adjustment of charitable deduction for certain expenses 
                            incurred in support of Native Alaskan 
                            subsistence whaling.
Sec. 70430. Exception to percentage of completion method of accounting 
                            for certain residential construction 
                            contracts.

subchapter d--permanent investments in small business and rural america

Sec. 70431. Expansion of qualified small business stock gain exclusion.
Sec. 70432. Repeal of revision to de minimis rules for third party 
                            network transactions.
Sec. 70433. Increase in threshold for requiring information reporting 
                            with respect to certain payees.
Sec. 70434. Treatment of certain qualified sound recording productions.
Sec. 70435. Exclusion of interest on loans secured by rural or 
                            agricultural real property.
Sec. 70436. Reduction of transfer and manufacturing taxes for certain 
                            devices.
Sec. 70437. Treatment of capital gains from the sale of certain 
                            farmland property.
Sec. 70438. Extension of rules for treatment of certain disaster-
                            related personal casualty losses.
Sec. 70439. Restoration of taxable REIT subsidiary asset test.

  Chapter 5--Ending Green New Deal Spending, Promoting America-first 
                       Energy, and Other Reforms

         subchapter a--termination of green new deal subsidies

Sec. 70501. Termination of previously-owned clean vehicle credit.
Sec. 70502. Termination of clean vehicle credit.
Sec. 70503. Termination of qualified commercial clean vehicles credit.
Sec. 70504. Termination of alternative fuel vehicle refueling property 
                            credit.
Sec. 70505. Termination of energy efficient home improvement credit.
Sec. 70506. Termination of residential clean energy credit.
Sec. 70507. Termination of energy efficient commercial buildings 
                            deduction.
Sec. 70508. Termination of new energy efficient home credit.
Sec. 70509. Termination of cost recovery for energy property.
Sec. 70510. Modifications of zero-emission nuclear power production 
                            credit.
Sec. 70511. Termination of clean hydrogen production credit.
Sec. 70512. Termination and restrictions on clean electricity 
                            production credit.
Sec. 70513. Termination and restrictions on clean electricity 
                            investment credit.
Sec. 70514. Phase-out and restrictions on advanced manufacturing 
                            production credit.
Sec. 70515. Restriction on the extension of advanced energy project 
                            credit program.

        subchapter b--enhancement of america-first energy policy

Sec. 70521. Extension and modification of clean fuel production credit.
Sec. 70522. Restrictions on carbon oxide sequestration credit.
Sec. 70523. Intangible drilling and development costs taken into 
                            account for purposes of computing adjusted 
                            financial statement income.
Sec. 70524. Income from hydrogen storage, carbon capture, advanced 
                            nuclear, hydropower, and geothermal energy 
                            added to qualifying income of certain 
                            publicly traded partnerships.
Sec. 70525. Allow for payments to certain individuals who dye fuel.

                      subchapter c--other reforms

Sec. 70531. Modifications to de minimis entry privilege for commercial 
                            shipments.

 Chapter 6--Enhancing Deduction and Income Tax Credit Guardrails, and 
                             Other Reforms

Sec. 70601. Modification and extension of limitation on excess business 
                            losses of noncorporate taxpayers.
Sec. 70602. Treatment of payments from partnerships to partners for 
                            property or services.
Sec. 70603. Excessive employee remuneration from controlled group 
                            members and allocation of deduction.
Sec. 70604. Excise tax on certain remittance transfers.
Sec. 70605. Enforcement provisions with respect to COVID-related 
                            employee retention credits.
Sec. 70606. Social security number requirement for American Opportunity 
                            and Lifetime Learning credits.
Sec. 70607. Task force on the replacement of Direct File.

                           Subtitle B--Health

                          Chapter 1--Medicaid

    subchapter a--reducing fraud and improving enrollment processes

Sec. 71101. Moratorium on implementation of rule relating to 
                            eligibility and enrollment in Medicare 
                            Savings Programs.
Sec. 71102. Moratorium on implementation of rule relating to 
                            eligibility and enrollment for Medicaid, 
                            CHIP, and the Basic Health Program.
Sec. 71103. Reducing duplicate enrollment under the Medicaid and CHIP 
                            programs.
Sec. 71104. Ensuring deceased individuals do not remain enrolled.
Sec. 71105. Ensuring deceased providers do not remain enrolled.
Sec. 71106. Payment reduction related to certain erroneous excess 
                            payments under Medicaid.
Sec. 71107. Eligibility redeterminations.
Sec. 71108. Revising home equity limit for determining eligibility for 
                            long-term care services under the Medicaid 
                            program.
Sec. 71109. Alien Medicaid eligibility.
Sec. 71110. Expansion FMAP for emergency Medicaid.

               subchapter b--preventing wasteful spending

Sec. 71111. Moratorium on implementation of rule relating to staffing 
                            standards for long-term care facilities 
                            under the Medicare and Medicaid programs.
Sec. 71112. Reducing State Medicaid costs.
Sec. 71113. Federal payments to prohibited entities.

           subchapter c--stopping abusive financing practices

Sec. 71114. Sunsetting increased FMAP incentive.
Sec. 71115. Provider taxes.
Sec. 71116. State directed payments.
Sec. 71117. Requirements regarding waiver of uniform tax requirement 
                            for Medicaid provider tax.
Sec. 71118. Requiring budget neutrality for Medicaid demonstration 
                            projects under section 1115.

            subchapter d--increasing personal accountability

Sec. 71119. Requirement for States to establish Medicaid community 
                            engagement requirements for certain 
                            individuals.
Sec. 71120. Modifying cost sharing requirements for certain expansion 
                            individuals under the Medicaid program.

                 subchapter e--expanding access to care

Sec. 71121. Making certain adjustments to coverage of home or 
                            community-based services under Medicaid.

                          Chapter 2--Medicare

          subchapter a--strengthening eligibility requirements

Sec. 71201. Limiting Medicare coverage of certain individuals.

              subchapter b--improving services for seniors

Sec. 71202. Temporary payment increase under the medicare physician fee 
                            schedule to account for exceptional 
                            circumstances.
Sec. 71203. Expanding and clarifying the exclusion for orphan drugs 
                            under the Drug Price Negotiation Program.

                         Chapter 3--Health Tax

              subchapter a--improving eligibility criteria

Sec. 71301. Permitting premium tax credit only for certain individuals.
Sec. 71302. Disallowing premium tax credit during periods of medicaid 
                            ineligibility due to alien status.

            subchapter b--preventing waste, fraud, and abuse

Sec. 71303. Requiring verification of eligibility for premium tax 
                            credit.
Sec. 71304. Disallowing premium tax credit in case of certain coverage 
                            enrolled in during special enrollment 
                            period.
Sec. 71305. Eliminating limitation on recapture of advance payment of 
                            premium tax credit.

              subchapter c--enhancing choice for patients

Sec. 71306. Permanent extension of safe harbor for absence of 
                            deductible for telehealth services.
Sec. 71307. Allowance of bronze and catastrophic plans in connection 
                            with health savings accounts.
Sec. 71308. Treatment of direct primary care service arrangements.

          Chapter 4--Protecting Rural Hospitals and Providers

Sec. 71401. Rural Health Transformation Program.

                   Subtitle C--Increase in Debt Limit

Sec. 72001. Modification of limitation on the public debt.

                        Subtitle D--Unemployment

Sec. 73001. Ending unemployment payments to jobless millionaires.

    TITLE VIII--COMMITTEE ON HEALTH, EDUCATION, LABOR, AND PENSIONS

                Subtitle A--Exemption of Certain Assets

Sec. 80001. Exemption of certain assets.

                        Subtitle B--Loan Limits

Sec. 81001. Establishment of loan limits for graduate and professional 
                            students and parent borrowers; termination 
                            of graduate and professional PLUS loans.

                       Subtitle C--Loan Repayment

Sec. 82001. Loan repayment.
Sec. 82002. Deferment; forbearance.
Sec. 82003. Loan rehabilitation.
Sec. 82004. Public service loan forgiveness.
Sec. 82005. Student loan servicing.

                        Subtitle D--Pell Grants

Sec. 83001. Eligibility.
Sec. 83002. Workforce Pell Grants.
Sec. 83003. Pell shortfall.
Sec. 83004. Federal Pell Grant exclusion relating to other grant aid.

                       Subtitle E--Accountability

Sec. 84001. Ineligibility based on low earning outcomes.

                     Subtitle F--Regulatory Relief

Sec. 85001. Delay of rule relating to borrower defense to repayment.
Sec. 85002. Delay of rule relating to closed school discharges.

                      Subtitle G--Garden of Heroes

Sec. 86001. Garden of Heroes.

               Subtitle H--Office of Refugee Resettlement

Sec. 87001. Potential sponsor vetting for unaccompanied alien children 
                            appropriation.

   TITLE IX--COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS

                Subtitle A--Homeland Security Provisions

Sec. 90001. Border infrastructure and wall system.
Sec. 90002. U.S. Customs and Border Protection personnel, fleet 
                            vehicles, and facilities.
Sec. 90003. Detention capacity.
Sec. 90004. Border security, technology, and screening.
Sec. 90005. State and local assistance.
Sec. 90006. Presidential residence protection.
Sec. 90007. Department of Homeland Security appropriations for border 
                            support.

              Subtitle B--Governmental Affairs Provisions

Sec. 90101. FEHB improvements.
Sec. 90102. Pandemic Response Accountability Committee.
Sec. 90103. Appropriation for the Office of Management and Budget.

                  TITLE X--COMMITTEE ON THE JUDICIARY

          Subtitle A--Immigration and Law Enforcement Matters

                        PART I--Immigration Fees

Sec. 100001. Applicability of the immigration laws.
Sec. 100002. Asylum fee.
Sec. 100003. Employment authorization document fees.
Sec. 100004. Immigration parole fee.
Sec. 100005. Special immigrant juvenile fee.
Sec. 100006. Temporary protected status fee.
Sec. 100007. Visa integrity fee.
Sec. 100008. Form I-94 fee.
Sec. 100009. Annual asylum fee.
Sec. 100010. Fee relating to renewal and extension of employment 
                            authorization for parolees.
Sec. 100011. Fee relating to renewal or extension of employment 
                            authorization for asylum applicants.
Sec. 100012. Fee relating to renewal and extension of employment 
                            authorization for aliens granted temporary 
                            protected status.
Sec. 100013. Fees relating to applications for adjustment of status.
Sec. 100014. Electronic System for Travel Authorization fee.
Sec. 100015. Electronic Visa Update System fee.
Sec. 100016. Fee for aliens ordered removed in absentia.
Sec. 100017. Inadmissible alien apprehension fee.
Sec. 100018. Amendment to authority to apply for asylum.

            PART II--Immigration and Law Enforcement Funding

Sec. 100051. Appropriation for the Department of Homeland Security.
Sec. 100052. Appropriation for U.S. Immigration and Customs 
                            Enforcement.
Sec. 100053. Appropriation for Federal Law Enforcement Training 
                            Centers.
Sec. 100054. Appropriation for the Department of Justice.
Sec. 100055. Bridging Immigration-related Deficits Experienced 
                            Nationwide Reimbursement Fund.
Sec. 100056. Appropriation for the Bureau of Prisons.
Sec. 100057. Appropriation for the United States Secret Service.

                     Subtitle B--Judiciary Matters

Sec. 100101. Appropriation to the Administrative Office of the United 
                            States Courts.
Sec. 100102. Appropriation to the Federal Judicial Center.

          Subtitle C--Radiation Exposure Compensation Matters

Sec. 100201. Extension of fund.
Sec. 100202. Claims relating to atmospheric testing.
Sec. 100203. Claims relating to uranium mining.
Sec. 100204. Claims relating to Manhattan Project waste.
Sec. 100205. Limitations on claims.

       TITLE I--COMMITTEE ON AGRICULTURE, NUTRITION, AND FORESTRY

                         Subtitle A--Nutrition

SEC. 10101. RE-EVALUATION OF THRIFTY FOOD PLAN.

    (a) In General.--Section 3 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2012) is amended by striking subsection (u) and inserting the 
following:
    ``(u) Thrifty Food Plan.--
            ``(1) In general.--The term `thrifty food plan' means the 
        diet required to feed a family of 4 persons consisting of a man 
        and a woman ages 20 through 50, a child ages 6 through 8, and a 
        child ages 9 through 11 using the items and quantities of food 
        described in the report of the Department of Agriculture 
        entitled `Thrifty Food Plan, 2021', and each successor report 
        updated pursuant to this subsection, subject to the conditions 
        that--
                    ``(A) the relevant market baskets of the thrifty 
                food plan shall only be changed pursuant to paragraph 
                (4);
                    ``(B) the cost of the thrifty food plan shall be 
                the basis for uniform allotments for all households, 
                regardless of the actual composition of the household; 
                and
                    ``(C) the cost of the thrifty food plan may only be 
                adjusted in accordance with this subsection.
            ``(2) Household adjustments.--The Secretary shall make 
        household adjustments using the following ratios of household 
        size as a percentage of the maximum 4-person allotment:
                    ``(A) For a 1-person household, 30 percent.
                    ``(B) For a 2-person household, 55 percent.
                    ``(C) For a 3-person household, 79 percent.
                    ``(D) For a 4-person household, 100 percent.
                    ``(E) For a 5-person household, 119 percent.
                    ``(F) For a 6-person household, 143 percent.
                    ``(G) For a 7-person household, 158 percent.
                    ``(H) For an 8-person household, 180 percent.
                    ``(I) For a household of 9 persons or more, an 
                additional 22 percent per person, which additional 
                percentage shall not total more than 200 percent.
            ``(3) Allowable cost adjustments.--The Secretary shall--
                    ``(A) make cost adjustments in the thrifty food 
                plan for Hawaii and the urban and rural parts of Alaska 
                to reflect the cost of food in Hawaii and urban and 
                rural Alaska;
                    ``(B) make cost adjustments in the separate thrifty 
                food plans for Guam and the Virgin Islands of the 
                United States to reflect the cost of food in those 
                States, but not to exceed the cost of food in the 50 
                States and the District of Columbia; and
                    ``(C) on October 1, 2025, and on each October 1 
                thereafter, adjust the cost of the thrifty food plan to 
                reflect changes in the Consumer Price Index for All 
                Urban Consumers, published by the Bureau of Labor 
                Statistics of the Department of Labor, for the most 
                recent 12-month period ending in June.
            ``(4) Re-evaluation of market baskets.--
                    ``(A) Re-evaluation.--Not earlier than October 1, 
                2027, the Secretary may re-evaluate the market baskets 
                of the thrifty food plan based on current food prices, 
                food composition data, consumption patterns, and 
                dietary guidance.
                    ``(B) Cost neutrality.--The Secretary shall not 
                increase the cost of the thrifty food plan based on a 
                re-evaluation under this paragraph.''.
    (b) Conforming Amendments.--
            (1) Section 16(c)(1)(A)(ii)(II) of the Food and Nutrition 
        Act of 2008 (7 U.S.C. 2025(c)(1)(A)(ii)(II)) is amended by 
        striking ``section 3(u)(4)'' and inserting ``section 3(u)(3)''.
            (2) Section 19(a)(2)(A)(ii) of the Food and Nutrition Act 
        of 2008 (7 U.S.C. 2028(a)(2)(A)(ii)) is amended by striking 
        ``section 3(u)(4)'' and inserting ``section 3(u)(3)''.
            (3) Section 27(a)(2) of the Food and Nutrition Act of 2008 
        (7 U.S.C. 2036(a)(2))) is amended by striking ``section 
        3(u)(4)'' each place it appears and inserting ``section 
        3(u)(3)''.

SEC. 10102. MODIFICATIONS TO SNAP WORK REQUIREMENTS FOR ABLE-BODIED 
              ADULTS.

    (a) Exceptions.--Section 6(o) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2015(o)) is amended by striking paragraph (3) and inserting 
the following:
            ``(3) Exceptions.--Paragraph (2) shall not apply to an 
        individual if the individual is--
                    ``(A) under 18, or over 65, years of age;
                    ``(B) medically certified as physically or mentally 
                unfit for employment;
                    ``(C) a parent or other member of a household with 
                responsibility for a dependent child under 14 years of 
                age;
                    ``(D) otherwise exempt under subsection (d)(2);
                    ``(E) a pregnant woman;
                    ``(F) an Indian or an Urban Indian (as such terms 
                are defined in paragraphs (13) and (28) of section 4 of 
                the Indian Health Care Improvement Act); or
                    ``(G) a California Indian described in section 
                809(a) of the Indian Health Care Improvement Act.''.
    (b) Standardizing Enforcement.--Section 6(o)(4) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2015(o)(4)) is amended--
            (1) in subparagraph (A), by striking clause (ii) and 
        inserting the following:
                            ``(ii) is in a noncontiguous State and has 
                        an unemployment rate that is at or above 1.5 
                        times the national unemployment rate.''; and
            (2) by adding at the end the following:
                    ``(C) Definition of noncontiguous state.--
                            ``(i) In general.--In this paragraph, the 
                        term `noncontiguous State' means a State that 
                        is not 1 of the contiguous 48 States or the 
                        District of Columbia.
                            ``(ii) Exclusions.--The term `noncontiguous 
                        State' does not include Guam or the Virgin 
                        Islands of the United States.''.
    (c) Waiver for Noncontiguous States.--Section 6(o) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2015(o)) is amended--
            (1) by redesignating paragraph (7) as paragraph (8); and
            (2) by inserting after paragraph (6) the following:
            ``(7) Exemption for noncontiguous states.--
                    ``(A) Definition of noncontiguous state.--
                            ``(i) In general.--In this paragraph, the 
                        term `noncontiguous State' means a State that 
                        is not 1 of the contiguous 48 States or the 
                        District of Columbia.
                            ``(ii) Exclusions.--In this paragraph, the 
                        term `noncontiguous State' does not include 
                        Guam or the Virgin Islands of the United 
                        States.
                    ``(B) Exemption.--Subject to subparagraph (D), the 
                Secretary may exempt individuals in a noncontiguous 
                State from compliance with the requirements of 
                paragraph (2) if--
                            ``(i) the State agency submits to the 
                        Secretary a request for that exemption, made in 
                        such form and at such time as the Secretary may 
                        require, and including the information 
                        described in subparagraph (C); and
                            ``(ii) the Secretary determines that based 
                        on that request, the State agency is 
                        demonstrating a good faith effort to comply 
                        with the requirements of paragraph (2).
                    ``(C) Good faith effort determination.--In 
                determining whether a State agency is demonstrating a 
                good faith effort for purposes of subparagraph (B)(ii), 
                the Secretary shall consider--
                            ``(i) any actions taken by the State agency 
                        toward compliance with the requirements of 
                        paragraph (2);
                            ``(ii) any significant barriers to or 
                        challenges in meeting those requirements, 
                        including barriers or challenges relating to 
                        funding, design, development, procurement, or 
                        installation of necessary systems or resources;
                            ``(iii) the detailed plan and timeline of 
                        the State agency for achieving full compliance 
                        with those requirements, including any 
                        milestones (as defined by the Secretary); and
                            ``(iv) any other criteria determined 
                        appropriate by the Secretary.
                    ``(D) Duration of exemption.--
                            ``(i) In general.--An exemption granted 
                        under subparagraph (B) shall expire not later 
                        than December 31, 2028, and may not be renewed 
                        beyond that date.
                            ``(ii) Early termination.--The Secretary 
                        may terminate an exemption granted under 
                        subparagraph (B) prior to the expiration date 
                        of that exemption if the Secretary determines 
                        that the State agency--
                                    ``(I) has failed to comply with the 
                                reporting requirements described in 
                                subparagraph (E); or
                                    ``(II) based on the information 
                                provided pursuant to subparagraph (E), 
                                failed to make continued good faith 
                                efforts toward compliance with the 
                                requirements of this subsection.
                    ``(E) Reporting requirements.--A State agency 
                granted an exemption under subparagraph (B) shall 
                submit to the Secretary--
                            ``(i) quarterly progress reports on the 
                        status of the State agency in achieving the 
                        milestones toward full compliance described in 
                        subparagraph (C)(iii); and
                            ``(ii) information on specific risks or 
                        newly identified barriers or challenges to full 
                        compliance, including the plan of the State 
                        agency to mitigate those risks, barriers, or 
                        challenges.''.

SEC. 10103. AVAILABILITY OF STANDARD UTILITY ALLOWANCES BASED ON 
              RECEIPT OF ENERGY ASSISTANCE.

    (a) Standard Utility Allowance.--Section 5(e)(6)(C)(iv)(I) of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2014(e)(6)(C)(iv)(I)) is 
amended by inserting ``with an elderly or disabled member'' after 
``households''.
    (b) Third-party Energy Assistance Payments.--Section 5(k)(4) of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2014(k)(4)) is amended--
            (1) in subparagraph (A), by inserting ``without an elderly 
        or disabled member'' before ``shall be''; and
            (2) in subparagraph (B), by inserting ``with an elderly or 
        disabled member'' before ``under a State law''.

SEC. 10104. RESTRICTIONS ON INTERNET EXPENSES.

    Section 5(e)(6) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(e)(6)) is amended by adding at the end the following:
                    ``(E) Restrictions on internet expenses.--Any 
                service fee associated with internet connection shall 
                not be used in computing the excess shelter expense 
                deduction under this paragraph.''.

SEC. 10105. MATCHING FUNDS REQUIREMENTS.

    (a) In General.--Section 4(a) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2013(a)) is amended--
            (1) by striking ``(a) Subject to'' and inserting the 
        following:
    ``(a) Program.--
            ``(1) Establishment.--Subject to''; and
            (2) by adding at the end the following:
            ``(2) State quality control incentive.--
                    ``(A) Definition of payment error rate.--In this 
                paragraph, the term `payment error rate' has the 
                meaning given the term in section 16(c)(2).
                    ``(B) State cost share.--
                            ``(i) In general.--Subject to clause (iii), 
                        beginning in fiscal year 2028, if the payment 
                        error rate of a State as determined under 
                        clause (ii) is--
                                    ``(I) less than 6 percent, the 
                                Federal share of the cost of the 
                                allotment described in paragraph (1) 
                                for that State in a fiscal year shall 
                                be 100 percent, and the State share 
                                shall be 0 percent;
                                    ``(II) equal to or greater than 6 
                                percent but less than 8 percent, the 
                                Federal share of the cost of the 
                                allotment described in paragraph (1) 
                                for that State in a fiscal year shall 
                                be 95 percent, and the State share 
                                shall be 5 percent;
                                    ``(III) equal to or greater than 8 
                                percent but less than 10 percent, the 
                                Federal share of the cost of the 
                                allotment described in paragraph (1) 
                                for that State in a fiscal year shall 
                                be 90 percent, and the State share 
                                shall be 10 percent; and
                                    ``(IV) equal to or greater than 10 
                                percent, the Federal share of the cost 
                                of the allotment described in paragraph 
                                (1) for that State in a fiscal year 
                                shall be 85 percent, and the State 
                                share shall be 15 percent.
                            ``(ii) Elections.--
                                    ``(I) Fiscal year 2028.--For fiscal 
                                year 2028, to calculate the applicable 
                                State share under clause (i), a State 
                                may elect to use the payment error rate 
                                of the State from fiscal year 2025 or 
                                2026.
                                    ``(II) Fiscal year 2029 and 
                                thereafter.--For fiscal year 2029 and 
                                each fiscal year thereafter, to 
                                calculate the applicable State share 
                                under clause (i), the Secretary shall 
                                use the payment error rate of the State 
                                for the third fiscal year preceding the 
                                fiscal year for which the State share 
                                is being calculated.
                            ``(iii) Delayed implementation.--
                                    ``(I) Fiscal year 2025.--If, for 
                                fiscal year 2025, the payment error 
                                rate of a State multiplied by 1.5 is 
                                equal to or above 20 percent, the 
                                implementation date under clause (i) 
                                for that State shall be fiscal year 
                                2029.
                                    ``(II) Fiscal year 2026.--If, for 
                                fiscal year 2026, the payment error 
                                rate of a State multiplied by 1.5 is 
                                equal to or above 20 percent, the 
                                implementation date under clause (i) 
                                for that State shall be fiscal year 
                                2030.
            ``(3) Maximum federal payment.--The Secretary may not pay 
        towards the cost of an allotment described in paragraph (1) an 
        amount that is greater than the applicable Federal share under 
        paragraph (2).''.
    (b) Limitation on Authority.--Section 13(a)(1) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2022(a)(1)) is amended in the first 
sentence by inserting ``or the payment or disposition of a State share 
under section 4(a)(2)'' after ``16(c)(1)(D)(i)(II)''.

SEC. 10106. ADMINISTRATIVE COST SHARING.

    Section 16(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(a)) is amended in the matter preceding paragraph (1) by striking 
``agency an amount equal to 50 per centum'' and inserting ``agency, 
through fiscal year 2026, 50 percent, and for fiscal year 2027 and each 
fiscal year thereafter, 25 percent,''.

SEC. 10107. NATIONAL EDUCATION AND OBESITY PREVENTION GRANT PROGRAM.

    Section 28(d)(1)(F) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2036a(d)(1)(F)) is amended by striking ``for fiscal year 2016 and each 
subsequent fiscal year'' and inserting ``for each of fiscal years 2016 
through 2025''.

SEC. 10108. ALIEN SNAP ELIGIBILITY.

    Section 6(f) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2015(f)) is amended to read as follows:
    ``(f) No individual who is a member of a household otherwise 
eligible to participate in the supplemental nutrition assistance 
program under this section shall be eligible to participate in the 
supplemental nutrition assistance program as a member of that or any 
other household unless he or she is--
            ``(1) a resident of the United States; and
            ``(2) either--
                    ``(A) a citizen or national of the United States;
                    ``(B) an alien lawfully admitted for permanent 
                residence as an immigrant as defined by sections 
                101(a)(15) and 101(a)(20) of the Immigration and 
                Nationality Act, excluding, among others, alien 
                visitors, tourists, diplomats, and students who enter 
                the United States temporarily with no intention of 
                abandoning their residence in a foreign country;
                    ``(C) an alien who has been granted the status of 
                Cuban and Haitian entrant, as defined in section 501(e) 
                of the Refugee Education Assistance Act of 1980 (Public 
                Law 96-422); or
                    ``(D) an individual who lawfully resides in the 
                United States in accordance with a Compact of Free 
                Association referred to in section 402(b)(2)(G) of the 
                Personal Responsibility and Work Opportunity 
                Reconciliation Act of 1996.
        The income (less, at State option, a pro rata share) and 
        financial resources of the individual rendered ineligible to 
        participate in the supplemental nutrition assistance program 
        under this subsection shall be considered in determining the 
        eligibility and the value of the allotment of the household of 
        which such individual is a member.''.

                          Subtitle B--Forestry

SEC. 10201. RESCISSION OF AMOUNTS FOR FORESTRY.

    The unobligated balances of amounts appropriated by the following 
provisions of Public Law 117-169 are rescinded:
            (1) Paragraphs (3) and (4) of section 23001(a) (136 Stat. 
        2023).
            (2) Paragraphs (1) through (4) of section 23002(a) (136 
        Stat. 2025).
            (3) Section 23003(a)(2) (136 Stat. 2026).
            (4) Section 23005 (136 Stat. 2027).

                        Subtitle C--Commodities

SEC. 10301. EFFECTIVE REFERENCE PRICE; REFERENCE PRICE.

    (a) Effective Reference Price.--Section 1111(8)(B)(ii) of the 
Agricultural Act of 2014 (7 U.S.C. 9011(8)(B)(ii)) is amended by 
striking ``85'' and inserting ``beginning with the crop year 2025, 
88''.
    (b) Reference Price.--Section 1111 of the Agricultural Act of 2014 
(7 U.S.C. 9011) is amended by striking paragraph (19) and inserting the 
following:
            ``(19) Reference price.--
                    ``(A) In general.--Effective beginning with the 
                2025 crop year, subject to subparagraphs (B) and (C), 
                the term `reference price', with respect to a covered 
                commodity for a crop year, means the following:
                            ``(i) For wheat, $6.35 per bushel.
                            ``(ii) For corn, $4.10 per bushel.
                            ``(iii) For grain sorghum, $4.40 per 
                        bushel.
                            ``(iv) For barley, $5.45 per bushel.
                            ``(v) For oats, $2.65 per bushel.
                            ``(vi) For long grain rice, $16.90 per 
                        hundredweight.
                            ``(vii) For medium grain rice, $16.90 per 
                        hundredweight.
                            ``(viii) For soybeans, $10.00 per bushel.
                            ``(ix) For other oilseeds, $23.75 per 
                        hundredweight.
                            ``(x) For peanuts, $630.00 per ton.
                            ``(xi) For dry peas, $13.10 per 
                        hundredweight.
                            ``(xii) For lentils, $23.75 per 
                        hundredweight.
                            ``(xiii) For small chickpeas, $22.65 per 
                        hundredweight.
                            ``(xiv) For large chickpeas, $25.65 per 
                        hundredweight.
                            ``(xv) For seed cotton, $0.42 per pound.
                    ``(B) Effectiveness.--Effective beginning with the 
                2031 crop year, the reference prices defined in 
                subparagraph (A) with respect to a covered commodity 
                shall equal the reference price in the previous crop 
                year multiplied by 1.005.
                    ``(C) Limitation.--In no case shall a reference 
                price for a covered commodity exceed 113 percent of the 
                reference price for such covered commodity listed in 
                subparagraph (A).''.

SEC. 10302. BASE ACRES.

    Section 1112 of the Agricultural Act of 2014 (7 U.S.C. 9012) is 
amended--
            (1) in subsection (d)(3)(A), by striking ``2023'' and 
        inserting ``2031''; and
            (2) by adding at the end the following:
    ``(e) Additional Base Acres.--
            ``(1) In general.--As soon as practicable after the date of 
        enactment of this subsection, and notwithstanding subsection 
        (a), the Secretary shall provide notice to owners of eligible 
        farms pursuant to paragraph (3) and allocate to those eligible 
        farms a total of not more than an additional 30,000,000 base 
        acres in the manner provided in this subsection. An owner of a 
        farm that is eligible to receive an allocation of base acres 
        may elect to not receive that allocation by notifying the 
        Secretary not later than 90 days after receipt of the notice 
        provided by the Secretary under this paragraph.
            ``(2) Content of notice.--The notice under paragraph (1) 
        shall include the following:
                    ``(A) Information that the allocation is occurring.
                    ``(B) Information regarding the eligibility of the 
                farm for an allocation of base acres under paragraph 
                (3).
                    ``(C) Information regarding how an owner may appeal 
                a determination of ineligibility for an allocation of 
                base acres under paragraph (3) through an appeals 
                process established by the Secretary.
            ``(3) Eligibility.--
                    ``(A) In general.--Subject to subparagraph (D), 
                effective beginning with the 2026 crop year, a farm is 
                eligible to receive an allocation of base acres if, 
                with respect to the farm, the amount described in 
                subparagraph (B) exceeds the amount described in 
                subparagraph (C).
                    ``(B) 5-year average sum.--The amount described in 
                this subparagraph, with respect to a farm, is the sum 
                of--
                            ``(i) the 5-year average of--
                                    ``(I) the acreage planted on the 
                                farm to all covered commodities for 
                                harvest, grazing, haying, silage or 
                                other similar purposes for the 2019 
                                through 2023 crop years; and
                                    ``(II) any acreage on the farm that 
                                the producers were prevented from 
                                planting during the 2019 through 2023 
                                crop years to covered commodities 
                                because of drought, flood, or other 
                                natural disaster, or other condition 
                                beyond the control of the producers, as 
                                determined by the Secretary; plus
                            ``(ii) the lesser of--
                                    ``(I) 15 percent of the total acres 
                                on the farm; and
                                    ``(II) the 5-year average of--
                                            ``(aa) the acreage planted 
                                        on the farm to eligible 
                                        noncovered commodities for 
                                        harvest, grazing, haying, 
                                        silage, or other similar 
                                        purposes for the 2019 through 
                                        2023 crop years; and
                                            ``(bb) any acreage on the 
                                        farm that the producers were 
                                        prevented from planting during 
                                        the 2019 through 2023 crop 
                                        years to eligible noncovered 
                                        commodities because of drought, 
                                        flood, or other natural 
                                        disaster, or other condition 
                                        beyond the control of the 
                                        producers, as determined by the 
                                        Secretary.
                    ``(C) Total number of base acres for covered 
                commodities.--The amount described in this 
                subparagraph, with respect to a farm, is the total 
                number of base acres for covered commodities on the 
                farm (excluding unassigned crop base), as in effect on 
                September 30, 2024.
                    ``(D) Effect of no recent plantings of covered 
                commodities.--In the case of a farm for which the 
                amount determined under clause (i) of subparagraph (B) 
                is equal to zero, that farm shall be ineligible to 
                receive an allocation of base acres under this 
                subsection.
                    ``(E) Acreage planted on the farm to eligible 
                noncovered commodities defined.--In this paragraph, the 
                term `acreage planted on the farm to eligible 
                noncovered commodities' means acreage planted on a farm 
                to commodities other than covered commodities, trees, 
                bushes, vines, grass, or pasture (including cropland 
                that was idle or fallow), as determined by the 
                Secretary.
            ``(4) Number of base acres.--Subject to paragraphs (3) and 
        (8), the number of base acres allocated to an eligible farm 
        shall--
                    ``(A) be equal to the difference obtained by 
                subtracting the amount determined under subparagraph 
                (C) of paragraph (3) from the amount determined under 
                subparagraph (B) of that paragraph; and
                    ``(B) include unassigned crop base.
            ``(5) Allocation of acres.--
                    ``(A) Allocation.--The Secretary shall allocate the 
                number of base acres under paragraph (4) among those 
                covered commodities planted on the farm at any time 
                during the 2019 through 2023 crop years.
                    ``(B) Allocation formula.--The allocation of 
                additional base acres for covered commodities shall be 
                in proportion to the ratio of--
                            ``(i) the 5-year average of--
                                    ``(I) the acreage planted on the 
                                farm to each covered commodity for 
                                harvest, grazing, haying, silage, or 
                                other similar purposes for the 2019 
                                through 2023 crop years; and
                                    ``(II) any acreage on the farm that 
                                the producers were prevented from 
                                planting during the 2019 through 2023 
                                crop years to that covered commodity 
                                because of drought, flood, or other 
                                natural disaster, or other condition 
                                beyond the control of the producers, as 
                                determined by the Secretary; to
                            ``(ii) the 5-year average determined under 
                        paragraph (3)(B)(i).
                    ``(C) Inclusion of all 5 years in average.--For the 
                purpose of determining a 5-year acreage average under 
                subparagraph (B) for a farm, the Secretary shall not 
                exclude any crop year in which a covered commodity was 
                not planted.
                    ``(D) Treatment of multiple planting or prevented 
                planting.--For the purpose of determining under 
                subparagraph (B) the acreage on a farm that producers 
                planted or were prevented from planting during the 2019 
                through 2023 crop years to covered commodities, if the 
                acreage that was planted or prevented from being 
                planted was devoted to another covered commodity in the 
                same crop year (other than a covered commodity produced 
                under an established practice of double cropping), the 
                owner may elect the covered commodity to be used for 
                that crop year in determining the 5-year average, but 
                may not include both the initial covered commodity and 
                the subsequent covered commodity.
                    ``(E) Limitation.--The allocation of additional 
                base acres among covered commodities on a farm under 
                this paragraph may not result in a total number of base 
                acres for the farm in excess of the total number of 
                acres on the farm.
            ``(6) Reduction by the secretary.--In carrying out this 
        subsection, if the total number of eligible acres allocated to 
        base acres across all farms in the United States under this 
        subsection would exceed 30,000,000 acres, the Secretary shall 
        apply an across-the-board, pro-rata reduction to the number of 
        eligible acres to ensure the number of allocated base acres 
        under this subsection is equal to 30,000,000 acres.
            ``(7) Payment yield.--Beginning with crop year 2026, for 
        the purpose of making price loss coverage payments under 
        section 1116, the Secretary shall establish payment yields to 
        base acres allocated under this subsection equal to--
                    ``(A) the payment yield established on the farm for 
                the applicable covered commodity; and
                    ``(B) if no such payment yield for the applicable 
                covered commodity exists, a payment yield--
                            ``(i) equal to the average payment yield 
                        for the covered commodity for the county in 
                        which the farm is situated; or
                            ``(ii) determined pursuant to section 
                        1113(c).
            ``(8) Treatment of new owners.--In the case of a farm for 
        which the owner on the date of enactment of this subsection was 
        not the owner for the 2019 through 2023 crop years, the 
        Secretary shall use the planting history of the prior owner or 
        owners of that farm for purposes of determining--
                    ``(A) eligibility under paragraph (3);
                    ``(B) eligible acres under paragraph (4); and
                    ``(C) the allocation of acres under paragraph 
                (5).''.

SEC. 10303. PRODUCER ELECTION.

    (a) In General.--Section 1115 of the Agricultural Act of 2014 (7 
U.S.C. 9015) is amended--
            (1) in subsection (a), in the matter preceding paragraph 
        (1), by striking ``2023'' and inserting ``2031'';
            (2) in subsection (c)--
                    (A) in the matter preceding paragraph (1)--
                            (i) by striking ``crop year or'' and 
                        inserting ``crop year,''; and
                            (ii) by inserting ``or the 2026 crop 
                        year,'' after ``2019 crop year,'';
                    (B) in paragraph (1)--
                            (i) by striking ``crop year or'' and 
                        inserting ``crop year,''; and
                            (ii) by inserting ``or the 2026 crop 
                        year,'' after ``2019 crop year,''; and
                    (C) in paragraph (2)--
                            (i) in subparagraph (A), by striking 
                        ``and'' at the end;
                            (ii) in subparagraph (B), by striking the 
                        period at the end and inserting ``; and''; and
                            (iii) by adding at the end the following:
                    ``(C) the same coverage for each covered commodity 
                on the farm for the 2027 through 2031 crop years as was 
                applicable for the 2025 crop year.''; and
            (3) by adding at the end the following:
    ``(i) Higher of Price Loss Coverage Payments and Agriculture Risk 
Coverage Payments.--For the 2025 crop year, the Secretary shall, on a 
covered commodity-by-covered commodity basis, make the higher of price 
loss coverage payments under section 1116 and agriculture risk coverage 
county coverage payments under section 1117 to the producers on a farm 
for the payment acres for each covered commodity on the farm.''.
    (b) Federal Crop Insurance Supplemental Coverage Option.--Section 
508(c)(4)(C)(iv) of the Federal Crop Insurance Act (7 U.S.C. 
1508(c)(4)(C)(iv)) is amended by striking ``Crops for which the 
producer has elected under section 1116 of the Agricultural Act of 2014 
to receive agriculture risk coverage and acres'' and inserting 
``Acres''.

SEC. 10304. PRICE LOSS COVERAGE.

    Section 1116 of the Agricultural Act of 2014 (7 U.S.C. 9016) is 
amended--
            (1) in subsection (a)(2), in the matter preceding 
        subparagraph (A), by striking ``2023'' and inserting ``2031'';
            (2) in subsection (c)(1)(B)--
                    (A) in the subparagraph heading, by striking 
                ``2023'' and inserting ``2031''; and
                    (B) in the matter preceding clause (i), by striking 
                ``2023'' and inserting ``2031'';
            (3) in subsection (d), in the matter preceding paragraph 
        (1), by striking ``2025'' and inserting ``2031''; and
            (4) in subsection (g)--
                    (A) by striking ``subparagraph (F) of section 
                1111(19)'' and inserting ``paragraph (19)(A)(vi) of 
                section 1111''; and
                    (B) by striking ``2012 through 2016'' each place it 
                appears and inserting ``2017 through 2021''.

SEC. 10305. AGRICULTURE RISK COVERAGE.

    Section 1117 of the Agricultural Act of 2014 (7 U.S.C. 9017) is 
amended--
            (1) in subsection (a), in the matter preceding paragraph 
        (1), by striking ``2023'' and inserting ``2031'';
            (2) in subsection (c)--
                    (A) in paragraph (1), by inserting ``for each of 
                the 2014 through 2024 crop years and 90 percent of the 
                benchmark revenue for each of the 2025 through 2031 
                crop years'' before the period at the end;
                    (B) by striking ``2023'' each place it appears and 
                inserting ``2031''; and
                    (C) in paragraph (4)(B), in the subparagraph 
                heading, by striking ``2023'' and inserting ``2031'';
            (3) in subsection (d)(1), by striking subparagraph (B) and 
        inserting the following:
                    ``(B)(i) for each of the 2014 through 2024 crop 
                years, 10 percent of the benchmark revenue for the crop 
                year applicable under subsection (c); and
                    ``(ii) for each of the 2025 through 2031 crop 
                years, 12 percent of the benchmark revenue for the crop 
                year applicable under subsection (c).''; and
            (4) in subsections (e), (g)(5), and (i)(5), by striking 
        ``2023'' each place it appears and inserting ``2031''.

SEC. 10306. EQUITABLE TREATMENT OF CERTAIN ENTITIES.

    (a) In General.--Section 1001 of the Food Security Act of 1985 (7 
U.S.C. 1308) is amended--
            (1) in subsection (a)--
                    (A) by redesignating paragraph (5) as paragraph 
                (6); and
                    (B) by inserting after paragraph (4) the following:
            ``(5) Qualified pass-through entity.--The term `qualified 
        pass-through entity' means--
                    ``(A) a partnership (within the meaning of 
                subchapter K of chapter 1 of the Internal Revenue Code 
                of 1986);
                    ``(B) an S corporation (as defined in section 1361 
                of that Code);
                    ``(C) a limited liability company that does not 
                affirmatively elect to be treated as a corporation; and
                    ``(D) a joint venture or general partnership.'';
            (2) in subsections (b) and (c), by striking ``except a 
        joint venture or general partnership'' each place it appears 
        and inserting ``except a qualified pass-through entity''; and
            (3) in subsection (d), by striking ``subtitle B of title I 
        of the Agricultural Act of 2014 or''.
    (b) Attribution of Payments.--Section 1001(e)(3)(B)(ii) of the Food 
Security Act of 1985 (7 U.S.C. 1308(e)(3)(B)(ii)) is amended--
            (1) in the clause heading, by striking ``joint ventures and 
        general partnerships'' and inserting ``qualified pass-through 
        entities'';
            (2) by striking ``a joint venture or a general 
        partnership'' and inserting ``a qualified pass-through 
        entity'';
            (3) by striking ``joint ventures and general partnerships'' 
        and inserting ``qualified pass-through entities''; and
            (4) by striking ``the joint venture or general 
        partnership'' and inserting ``the qualified pass-through 
        entity''.
    (c) Persons Actively Engaged in Farming.--Section 1001A(b)(2) of 
the Food Security Act of 1985 (7 U.S.C. 1308-1(b)(2)) is amended--
            (1) subparagraphs (A) and (B), by striking ``a general 
        partnership, a participant in a joint venture'' each place it 
        appears and inserting ``a qualified pass-through entity''; and
            (2) in subparagraph (C), by striking ``a general 
        partnership, joint venture, or similar entity'' and inserting 
        ``a qualified pass-through entity or a similar entity''.
    (d) Joint and Several Liability.--Section 1001B(d) of the Food 
Security Act of 1985 (7 U.S.C. 1308-2(d)) is amended by striking 
``partnerships and joint ventures'' and inserting ``qualified pass-
through entities''.
    (e) Exclusion From AGI Calculation.--Section 1001D(d) of the Food 
Security Act of 1985 (7 U.S.C. 1308-3a(d)) is amended by striking ``, 
general partnership, or joint venture'' each place it appears.

SEC. 10307. PAYMENT LIMITATIONS.

    Section 1001 of the Food Security Act of 1985 (7 U.S.C. 1308) is 
amended--
            (1) in subsection (b)--
                    (A) by striking ``The'' and inserting ``Subject to 
                subsection (i), the''; and
                    (B) by striking ``$125,000'' and inserting 
                ``$155,000'';
            (2) in subsection (c)--
                    (A) by striking ``The'' and inserting ``Subject to 
                subsection (i), the''; and
                    (B) by striking ``$125,000'' and inserting 
                ``$155,000''; and
            (3) by adding at the end the following:
    ``(i) Adjustment.--For the 2025 crop year and each crop year 
thereafter, the Secretary shall annually adjust the amounts described 
in subsections (b) and (c) for inflation based on the Consumer Price 
Index for All Urban Consumers published by the Bureau of Labor 
Statistics of the Department of Labor.''.

SEC. 10308. ADJUSTED GROSS INCOME LIMITATION.

    Section 1001D(b) of the Food Security Act of 1985 (7 U.S.C. 1308-
3a(b)) is amended--
            (1) in paragraph (1), by striking ``paragraph (3)'' and 
        inserting ``paragraphs (3) and (4)''; and
            (2) by adding at the end the following:
            ``(4) Exception for certain operations.--
                    ``(A) Definitions.--In this paragraph:
                            ``(i) Excepted payment or benefit.--The 
                        term `excepted payment or benefit' means--
                                    ``(I) a payment or benefit under 
                                subtitle E of title I of the 
                                Agricultural Act of 2014 (7 U.S.C. 9081 
                                et seq.);
                                    ``(II) a payment or benefit under 
                                section 196 of the Federal Agriculture 
                                Improvement and Reform Act of 1996 (7 
                                U.S.C. 7333); and
                                    ``(III) a payment or benefit 
                                described in paragraph (2)(C) received 
                                on or after October 1, 2024.
                            ``(ii) Farming, ranching, or silviculture 
                        activities.--The term `farming, ranching, or 
                        silviculture activities' includes agri-tourism, 
                        direct-to-consumer marketing of agricultural 
                        products, the sale of agricultural equipment 
                        owned by the person or legal entity, and other 
                        agriculture-related activities, as determined 
                        by the Secretary.
                    ``(B) Exception.--In the case of an excepted 
                payment or benefit, the limitation established by 
                paragraph (1) shall not apply to a person or legal 
                entity during a crop, fiscal, or program year, as 
                appropriate, if greater than or equal to 75 percent of 
                the average gross income of the person or legal entity 
                derives from farming, ranching, or silviculture 
                activities.''.

SEC. 10309. MARKETING LOANS.

    (a) Availability of Nonrecourse Marketing Assistance Loans for Loan 
Commodities.--Section 1201(b)(1) of the Agricultural Act of 2014 (7 
U.S.C. 9031(b)(1)) is amended by striking ``2023'' and inserting 
``2031''.
    (b) Loan Rates for Nonrecourse Marketing Assistance Loans.--Section 
1202 of the Agricultural Act of 2014 (7 U.S.C. 9032) is amended--
            (1) in subsection (b)--
                    (A) in the subsection heading, by striking ``2023'' 
                and inserting ``2025''; and
                    (B) in the matter preceding paragraph (1), by 
                striking ``2023'' and inserting ``2025'';
            (2) by redesignating subsections (c) and (d) as subsections 
        (d) and (e), respectively;
            (3) by inserting after subsection (b) the following:
    ``(c) 2026 Through 2031 Crop Years.--For purposes of each of the 
2026 through 2031 crop years, the loan rate for a marketing assistance 
loan under section 1201 for a loan commodity shall be equal to the 
following:
            ``(1) In the case of wheat, $3.72 per bushel.
            ``(2) In the case of corn, $2.42 per bushel.
            ``(3) In the case of grain sorghum, $2.42 per bushel.
            ``(4) In the case of barley, $2.75 per bushel.
            ``(5) In the case of oats, $2.20 per bushel.
            ``(6) In the case of upland cotton, $0.55 per pound.
            ``(7) In the case of extra long staple cotton, $1.00 per 
        pound.
            ``(8) In the case of long grain rice, $7.70 per 
        hundredweight.
            ``(9) In the case of medium grain rice, $7.70 per 
        hundredweight.
            ``(10) In the case of soybeans, $6.82 per bushel.
            ``(11) In the case of other oilseeds, $11.10 per 
        hundredweight for each of the following kinds of oilseeds:
                    ``(A) Sunflower seed.
                    ``(B) Rapeseed.
                    ``(C) Canola.
                    ``(D) Safflower.
                    ``(E) Flaxseed.
                    ``(F) Mustard seed.
                    ``(G) Crambe.
                    ``(H) Sesame seed.
                    ``(I) Other oilseeds designated by the Secretary.
            ``(12) In the case of dry peas, $6.87 per hundredweight.
            ``(13) In the case of lentils, $14.30 per hundredweight.
            ``(14) In the case of small chickpeas, $11.00 per 
        hundredweight.
            ``(15) In the case of large chickpeas, $15.40 per 
        hundredweight.
            ``(16) In the case of graded wool, $1.60 per pound.
            ``(17) In the case of nongraded wool, $0.55 per pound.
            ``(18) In the case of mohair, $5.00 per pound.
            ``(19) In the case of honey, $1.50 per pound.
            ``(20) In the case of peanuts, $390 per ton.'';
            (4) in subsection (d) (as so redesignated), by striking 
        ``(a)(11) and (b)(11)'' and inserting ``(a)(11), (b)(11), and 
        (c)(11)''; and
            (5) in subsection (e) (as so redesignated), in paragraph 
        (1), by striking ``$0.25'' and inserting ``$0.30''.
    (c) Payment of Cotton Storage Costs.--Section 1204(g) of the 
Agricultural Act of 2014 (7 U.S.C. 9034(g)) is amended--
            (1) by striking ``Effective'' and inserting the following:
            ``(1) Crop years 2014 through 2025.--Effective'';
            (2) in paragraph (1) (as so designated), by striking 
        ``2023'' and inserting ``2025''; and
            (3) by adding at the end the following:
            ``(2) Payment of cotton storage costs.--Effective for each 
        of the 2026 through 2031 crop years, the Secretary shall make 
        cotton storage payments for upland cotton and extra long staple 
        cotton available in the same manner as the Secretary provided 
        storage payments for the 2006 crop of upland cotton, except 
        that the payment rate shall be equal to the lesser of--
                    ``(A) the submitted storage charge for the current 
                marketing year; and
                    ``(B) in the case of storage in--
                            ``(i) California or Arizona, a payment rate 
                        of $4.90; and
                            ``(ii) any other State, a payment rate of 
                        $3.00.''.
    (d) Loan Deficiency Payments.--
            (1) Continuation.--Section 1205(a)(2)(B) of the 
        Agricultural Act of 2014 (7 U.S.C. 9035(a)(2)(B)) is amended by 
        striking ``2023'' and inserting ``2031''.
            (2) Payments in lieu of ldps.--Section 1206 of the 
        Agricultural Act of 2014 (7 U.S.C. 9036) is amended, in 
        subsections (a) and (d), by striking ``2023'' each place it 
        appears and inserting ``2031''.
    (e) Special Competitive Provisions for Extra Long Staple Cotton.--
Section 1208(a) of the Agricultural Act of 2014 (7 U.S.C. 9038(a)) is 
amended, in the matter preceding paragraph (1), by striking ``2026'' 
and inserting ``2032''.
    (f) Availability of Recourse Loans.--Section 1209 of the 
Agricultural Act of 2014 (7 U.S.C. 9039) is amended, in subsections 
(a)(2), (b), and (c), by striking ``2023'' each place it appears and 
inserting ``2031''.

SEC. 10310. REPAYMENT OF MARKETING LOANS.

    Section 1204 of the Agricultural Act of 2014 (7 U.S.C. 9034) is 
amended--
            (1) in subsection (b)--
                    (A) by redesignating paragraph (1) as subparagraph 
                (A) and indenting appropriately;
                    (B) in the matter preceding subparagraph (A) (as so 
                redesignated), by striking ``The Secretary'' and 
                inserting the following:
            ``(1) In general.--The Secretary''; and
                    (C) by striking paragraph (2) and inserting the 
                following:
                    ``(B)(i) in the case of long grain rice and medium 
                grain rice, the prevailing world market price for the 
                commodity, as determined and adjusted by the Secretary 
                in accordance with this section; or
                    ``(ii) in the case of upland cotton, the prevailing 
                world market price for the commodity, as determined and 
                adjusted by the Secretary in accordance with this 
                section.
            ``(2) Refund for upland cotton.--In the case of a repayment 
        for a marketing assistance loan for upland cotton at a rate 
        described in paragraph (1)(B)(ii), the Secretary shall provide 
        to the producer a refund (if any) in an amount equal to the 
        difference between the lowest prevailing world market price, as 
        determined and adjusted by the Secretary in accordance with 
        this section, during the 30-day period following the date on 
        which the producer repays the marketing assistance loan and the 
        repayment rate.'';
            (2) in subsection (c)--
                    (A) by striking the period at the end and inserting 
                ``; and'';
                    (B) by striking ``at the loan rate'' and inserting 
                the following: "at a rate that is the lesser of-- ``
            ``(1) the loan rate''; and
                    (C) by adding at the end the following:
            ``(2) the prevailing world market price for the commodity, 
        as determined and adjusted by the Secretary in accordance with 
        this section.'';
            (3) in subsection (d)--
                    (A) in paragraph (1), by striking ``and medium 
                grain rice'' and inserting ``medium grain rice, and 
                extra long staple cotton'';
                    (B) by redesignating paragraphs (1) and (2) as 
                subparagraphs (A) and (B), respectively, and indenting 
                appropriately;
                    (C) in the matter preceding subparagraph (A) (as so 
                redesignated), by striking ``For purposes'' and 
                inserting the following:
            ``(1) In general.--For purposes''; and
                    (D) by adding at the end the following:
            ``(2) Upland cotton.--In the case of upland cotton, for any 
        period when price quotations for Middling (M) 1\3/32\-inch 
        cotton are available, the formula under paragraph (1)(A) shall 
        be based on the average of the 3 lowest-priced growths that are 
        quoted.''; and
            (4) in subsection (e)--
                    (A) in the subsection heading, by inserting ``Extra 
                Long Staple Cotton,'' after ``Upland Cotton,'';
                    (B) in paragraph (2)--
                            (i) in the paragraph heading, by inserting 
                        ``Upland'' before ``Cotton''; and
                            (ii) in subparagraph (B), in the matter 
                        preceding clause (i), by striking ``2024'' and 
                        inserting ``2032'';
                    (C) by redesignating paragraph (3) as paragraph 
                (4); and
                    (D) by inserting after paragraph (2) the following:
            ``(3) Extra long staple cotton.--The prevailing world 
        market price for extra long staple cotton determined under 
        subsection (d)--
                    ``(A) shall be adjusted to United States quality 
                and location, with the adjustment to include the 
                average costs to market the commodity, including 
                average transportation costs, as determined by the 
                Secretary; and
                    ``(B) may be further adjusted, during the period 
                beginning on the date of enactment of the Act entitled 
                `An Act to provide for reconciliation pursuant to title 
                II of H. Con. Res. 14' (119th Congress) and ending on 
                July 31, 2032, if the Secretary determines the 
                adjustment is necessary--
                            ``(i) to minimize potential loan 
                        forfeitures;
                            ``(ii) to minimize the accumulation of 
                        stocks of extra long staple cotton by the 
                        Federal Government;
                            ``(iii) to ensure that extra long staple 
                        cotton produced in the United States can be 
                        marketed freely and competitively; and
                            ``(iv) to ensure an appropriate transition 
                        between current-crop and forward-crop price 
                        quotations, except that the Secretary may use 
                        forward-crop price quotations prior to July 31 
                        of a marketing year only if--
                                    ``(I) there are insufficient 
                                current-crop price quotations; and
                                    ``(II) the forward-crop price 
                                quotation is the lowest such quotation 
                                available.''.

SEC. 10311. ECONOMIC ADJUSTMENT ASSISTANCE FOR TEXTILE MILLS.

    Section 1207(c) of the Agricultural Act of 2014 (7 U.S.C. 9037(c)) 
is amended by striking paragraph (2) and inserting the following:
            ``(2) Value of assistance.--The value of the assistance 
        provided under paragraph (1) shall be--
                    ``(A) for the period beginning on August 1, 2013, 
                and ending on July 31, 2025, 3 cents per pound; and
                    ``(B) beginning on August 1, 2025, 5 cents per 
                pound.''.

SEC. 10312. SUGAR PROGRAM UPDATES.

    (a) Loan Rate Modifications.--Section 156 of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (4), by striking ``and'' at the 
                end;
                    (B) in paragraph (5), by striking ``2023 crop 
                years.'' and inserting ``2024 crop years; and''; and
                    (C) by adding at the end the following:
            ``(6) 24.00 cents per pound for raw cane sugar for each of 
        the 2025 through 2031 crop years.'';
            (2) in subsection (b)--
                    (A) in paragraph (1), by striking ``and'' at the 
                end;
                    (B) in paragraph (2), by striking ``2023 crop 
                years.'' and inserting ``2024 crop years; and''; and
                    (C) by adding at the end the following:
            ``(3) a rate that is equal to 136.55 percent of the loan 
        rate per pound of raw cane sugar under subsection (a)(6) for 
        each of the 2025 through 2031 crop years.''; and
            (3) in subsection (i), by striking ``2023'' and inserting 
        ``2031''.
    (b) Adjustments to Commodity Credit Corporation Storage Rates.--
Section 167 of the Federal Agriculture Improvement and Reform Act of 
1996 (7 U.S.C. 7287) is amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) In General.--For the 2025 crop year and each subsequent crop 
year, the Commodity Credit Corporation shall establish rates for the 
storage of forfeited sugar in an amount that is not less than--
            ``(1) in the case of refined sugar, 34 cents per 
        hundredweight per month; and
            ``(2) in the case of raw cane sugar, 27 cents per 
        hundredweight per month.''; and
            (2) in subsection (b)--
                    (A) in the subsection heading, by striking 
                ``Subsequent'' and inserting ``Prior''; and
                    (B) by striking ``and subsequent'' and inserting 
                ``through 2024''.
    (c) Modernizing Beet Sugar Allotments.--
            (1) Sugar estimates.--Section 359b(a)(1) of the 
        Agricultural Adjustment Act of 1938 (7 U.S.C. 1359bb(a)(1)) is 
        amended by striking ``2023'' and inserting ``2031''.
            (2) Allocation to processors.--Section 359c(g)(2) of the 
        Agricultural Adjustment Act of 1938 (7 U.S.C. 1359cc(g)(2)) is 
        amended--
                    (A) by striking ``In the case'' and inserting the 
                following:
                    ``(A) In general.--Except as provided in 
                subparagraph (B), in the case''; and
                    (B) by adding at the end the following:
                    ``(B) Exception.--If the Secretary makes an upward 
                adjustment under paragraph (1)(A), in adjusting 
                allocations among beet sugar processors, the Secretary 
                shall give priority to beet sugar processors with 
                available sugar.''.
            (3) Timing of reassignment.--Section 359e(b)(2) of the 
        Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ee(b)(2)) is 
        amended--
                    (A) by redesignating subparagraphs (A) through (C) 
                as clauses (i) through (iii), respectively, and 
                indenting appropriately;
                    (B) in the matter preceding clause (i) (as so 
                redesignated), by striking ``If the Secretary'' and 
                inserting the following:
                    ``(A) In general.--If the Secretary''; and
                    (C) by adding at the end the following:
                    ``(B) Timing.--In carrying out subparagraph (A), 
                the Secretary shall--
                            ``(i) make an initial determination based 
                        on the World Agricultural Supply and Demand 
                        Estimates approved by the World Agricultural 
                        Outlook Board for January that shall be 
                        applicable to the crop year for which 
                        allotments are required; and
                            ``(ii) provide for an initial reassignment 
                        under subparagraph (A)(i) not later than 30 
                        days after the date on which the World 
                        Agricultural Supply and Demand Estimates 
                        described in clause (i) is released.''.
    (d) Reallocations of Tariff-rate Quota Shortfall.--Section 359k of 
the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359kk) is amended by 
adding at the end the following:
    ``(c) Reallocation.--
            ``(1) Initial reallocation.--Subject to paragraph (3), 
        following the establishment of the tariff-rate quotas under 
        subsection (a) for a quota year, the Secretary shall--
                    ``(A) determine which countries do not intend to 
                fulfill their allocation for the quota year; and
                    ``(B) reallocate any forecasted shortfall in the 
                fulfillment of the tariff-rate quotas as soon as 
                practicable.
            ``(2) Subsequent reallocation.--Subject to paragraph (3), 
        not later than March 1 of a quota year, the Secretary shall 
        reallocate any additional forecasted shortfall in the 
        fulfillment of the tariff-rate quotas for raw cane sugar 
        established under subsection (a)(1) for that quota year.
            ``(3) Cessation of effectiveness.--Paragraphs (1) and (2) 
        shall cease to be in effect if--
                    ``(A) the Agreement Suspending the Countervailing 
                Duty Investigation on Sugar from Mexico, signed 
                December 19, 2014, is terminated; and
                    ``(B) no countervailing duty order under subtitle A 
                of title VII of the Tariff Act of 1930 (19 U.S.C. 1671 
                et seq.) is in effect with respect to sugar from 
                Mexico.
    ``(d) Refined Sugar.--
            ``(1) Definition of domestic sugar industry.--In this 
        subsection, the term `domestic sugar industry' means domestic--
                    ``(A) sugar beet producers and processors;
                    ``(B) producers and processors of sugar cane; and
                    ``(C) refiners of raw cane sugar.
            ``(2) Study required.--
                    ``(A) In general.--Not later than 180 days after 
                the date of enactment of this subsection, the Secretary 
                shall conduct a study on whether the establishment of 
                additional terms and conditions with respect to refined 
                sugar imports is necessary and appropriate.
                    ``(B) Elements.--In conducting the study under 
                subparagraph (A), the Secretary shall examine the 
                following:
                            ``(i) The need for--
                                    ``(I) defining `refined sugar' as 
                                having a minimum polarization of 99.8 
                                degrees or higher;
                                    ``(II) establishing a standard for 
                                color- or reflectance-based units for 
                                refined sugar such as those utilized by 
                                the International Commission of Uniform 
                                Methods of Sugar Analysis;
                                    ``(III) prescribing specifications 
                                for packaging type for refined sugar;
                                    ``(IV) prescribing specifications 
                                for transportation modes for refined 
                                sugar;
                                    ``(V) requiring evidence that sugar 
                                imported as refined sugar will not 
                                undergo further refining in the United 
                                States;
                                    ``(VI) prescribing appropriate 
                                terms and conditions to avoid unlawful 
                                sugar imports; and
                                    ``(VII) establishing other 
                                definitions, terms and conditions, or 
                                other requirements.
                            ``(ii) The potential impact of 
                        modifications described in each of subclauses 
                        (I) through (VII) of clause (i) on the domestic 
                        sugar industry.
                            ``(iii) Whether, based on the needs 
                        described in clause (i) and the impact 
                        described in clause (ii), the establishment of 
                        additional terms and conditions is appropriate.
                    ``(C) Consultation.--In conducting the study under 
                subparagraph (A), the Secretary shall consult with 
                representatives of the domestic sugar industry and 
                users of refined sugar.
                    ``(D) Report.--Not later than 1 year after the date 
                of enactment of this subsection, the Secretary shall 
                submit to the Committee on Agriculture of the House of 
                Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate a report that 
                describes the findings of the study conducted under 
                subparagraph (A).
            ``(3) Establishment of additional terms and conditions 
        permitted.--
                    ``(A) In general.--Based on the findings in the 
                report submitted under paragraph (2)(D), and after 
                providing notice to the Committee on Agriculture of the 
                House of Representatives and the Committee on 
                Agriculture, Nutrition, and Forestry of the Senate, the 
                Secretary may issue regulations in accordance with 
                subparagraph (B) to establish additional terms and 
                conditions with respect to refined sugar imports that 
                are necessary and appropriate.
                    ``(B) Promulgation of regulations.--The Secretary 
                may issue regulations under subparagraph (A) if the 
                regulations--
                            ``(i) do not have an adverse impact on the 
                        domestic sugar industry; and
                            ``(ii) are consistent with the requirements 
                        of this part, section 156 of the Federal 
                        Agriculture Improvement and Reform Act of 1996 
                        (7 U.S.C. 7272), and obligations under 
                        international trade agreements that have been 
                        approved by Congress.''.
    (e) Clarification of Tariff-rate Quota Adjustments.--Section 
359k(b)(1) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 
1359kk(b)(1)) is amended, in the matter preceding subparagraph (A), by 
striking ``if there is an'' and inserting ``for the sole purpose of 
responding directly to an''.
    (f) Period of Effectiveness.--Section 359l(a) of the Agricultural 
Adjustment Act of 1938 (7 U.S.C. 1359ll(a)) is amended by striking 
``2023'' and inserting ``2031''.

SEC. 10313. DAIRY POLICY UPDATES.

    (a) Dairy Margin Coverage Production History.--
            (1) Definition.--Section 1401(8) of the Agricultural Act of 
        2014 (7 U.S.C. 9051(8)) is amended by striking ``when the 
        participating dairy operation first registers to participate in 
        dairy margin coverage''.
            (2) Production history of participating dairy operations.--
        Section 1405 of the Agricultural Act of 2014 (7 U.S.C. 9055) is 
        amended by striking subsections (a) and (b) and inserting the 
        following:
    ``(a) Production History.--Except as provided in subsection (b), 
the production history of a dairy operation for dairy margin coverage 
is equal to the highest annual milk marketings of the participating 
dairy operation during any 1 of the 2021, 2022, or 2023 calendar years.
    ``(b) Election by New Dairy Operations.--In the case of a 
participating dairy operation that has been in operation for less than 
a year, the participating dairy operation shall elect 1 of the 
following methods for the Secretary to determine the production history 
of the participating dairy operation:
            ``(1) The volume of the actual milk marketings for the 
        months the participating dairy operation has been in operation 
        extrapolated to a yearly amount.
            ``(2) An estimate of the actual milk marketings of the 
        participating dairy operation based on the herd size of the 
        participating dairy operation relative to the national rolling 
        herd average data published by the Secretary.''.
    (b) Dairy Margin Coverage Payments.--Section 1406(a)(1)(C) of the 
Agricultural Act of 2014 (7 U.S.C. 9056(a)(1)(C)) is amended by 
striking ``5,000,000'' each place it appears and inserting 
``6,000,000''.
    (c) Premiums for Dairy Margins.--
            (1) Tier i.--Section 1407(b) of the Agricultural Act of 
        2014 (7 U.S.C. 9057(b)) is amended--
                    (A) in the subsection heading, by striking 
                ``5,000,000'' and inserting ``6,000,000''; and
                    (B) in paragraph (1), by striking ``5,000,000'' and 
                inserting ``6,000,000''.
            (2) Tier ii.--Section 1407(c) of the Agricultural Act of 
        2014 (7 U.S.C. 9057(c)) is amended--
                    (A) in the subsection heading, by striking 
                ``5,000,000'' and inserting ``6,000,000''; and
                    (B) in paragraph (1), by striking ``5,000,000'' and 
                inserting ``6,000,000''.
            (3) Premium discounts.--Section 1407(g) of the Agricultural 
        Act of 2014 (7 U.S.C. 9057(g)) is amended--
                    (A) in paragraph (1)--
                            (i) by striking ``2019 through 2023'' and 
                        inserting ``2026 through 2031''; and
                            (ii) by striking ``January 2019'' and 
                        inserting ``January 2026''; and
                    (B) in paragraph (2), by striking ``2023'' each 
                place it appears and inserting ``2031''.
    (d) Duration.--Section 1409 of the Agricultural Act of 2014 (7 
U.S.C. 9059) is amended by striking ``2025'' and inserting ``2031''.

SEC. 10314. IMPLEMENTATION.

    Section 1614(c) of the Agricultural Act of 2014 (7 U.S.C. 9097(c)) 
is amended by adding at the end the following:
            ``(5) Further funding.--The Secretary shall make available 
        to carry out subtitle C of title I of the Act entitled `An Act 
        to provide for reconciliation pursuant to title II of H. Con. 
        Res. 14' (119th Congress) and the amendments made by that 
        subtitle $50,000,000, to remain available until expended, of 
        which--
                    ``(A) not less than $5,000,000 shall be used to 
                carry out paragraphs (3) and (4) of subsection (b);
                    ``(B) $3,000,000 shall be used for activities 
                described in paragraph (3)(A);
                    ``(C) $3,000,000 shall be used for activities 
                described in paragraph (3)(B);
                    ``(D) $9,000,000 shall be used--
                            ``(i) to carry out mandatory surveys of 
                        dairy production cost and product yield 
                        information to be reported by manufacturers 
                        required to report under section 273 of the 
                        Agricultural Marketing Act of 1946 (7 U.S.C. 
                        1637b), for all products processed in the same 
                        facility or facilities; and
                            ``(ii) to publish the results of such 
                        surveys biennially; and
                    ``(E) $1,000,000 shall be used to conduct the study 
                under subsection (d) of section 359k of the 
                Agricultural Adjustment Act of 1938 (7 U.S.C. 
                1359kk).''.

                Subtitle D--Disaster Assistance Programs

SEC. 10401. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE.

    (a) Livestock Indemnity Payments.--Section 1501(b) of the 
Agricultural Act of 2014 (7 U.S.C. 9081(b)) is amended--
            (1) by striking paragraph (2) and inserting the following:
            ``(2) Payment rates.--
                    ``(A) Losses due to predation.--Indemnity payments 
                to an eligible producer on a farm under paragraph 
                (1)(A) shall be made at a rate of 100 percent of the 
                market value of the affected livestock on the 
                applicable date, as determined by the Secretary.
                    ``(B) Losses due to adverse weather or disease.--
                Indemnity payments to an eligible producer on a farm 
                under subparagraph (B) or (C) of paragraph (1) shall be 
                made at a rate of 75 percent of the market value of the 
                affected livestock on the applicable date, as 
                determined by the Secretary.
                    ``(C) Determination of market value.--In 
                determining the market value described in subparagraphs 
                (A) and (B), the Secretary may consider the ability of 
                eligible producers to document regional price premiums 
                for affected livestock that exceed the national average 
                market price for those livestock.
                    ``(D) Applicable date defined.--In this paragraph, 
                the term `applicable date' means, with respect to 
                livestock, as applicable--
                            ``(i) the day before the date of death of 
                        the livestock; or
                            ``(ii) the day before the date of the event 
                        that caused the harm to the livestock that 
                        resulted in a reduced sale price.''; and
            (2) by adding at the end the following:
            ``(5) Additional payment for unborn livestock.--
                    ``(A) In general.--In the case of unborn livestock 
                death losses incurred on or after January 1, 2024, the 
                Secretary shall make an additional payment to eligible 
                producers on farms that have incurred such losses in 
                excess of the normal mortality due to a condition 
                specified in paragraph (1).
                    ``(B) Payment rate.--Additional payments under 
                subparagraph (A) shall be made at a rate--
                            ``(i) determined by the Secretary; and
                            ``(ii) less than or equal to 85 percent of 
                        the payment rate established with respect to 
                        the lowest weight class of the livestock, as 
                        determined by the Secretary, acting through the 
                        Administrator of the Farm Service Agency.
                    ``(C) Payment amount.--The amount of a payment to 
                an eligible producer that has incurred unborn livestock 
                death losses shall be equal to the payment rate 
                determined under subparagraph (B) multiplied, in the 
                case of livestock described in--
                            ``(i) subparagraph (A), (B), or (F) of 
                        subsection (a)(4), by 1;
                            ``(ii) subparagraph (D) of such subsection, 
                        by 2;
                            ``(iii) subparagraph (E) of such 
                        subsection, by 12; and
                            ``(iv) subparagraph (G) of such subsection, 
                        by the average number of birthed animals (for 
                        one gestation cycle) for the species of each 
                        such livestock, as determined by the Secretary.
                    ``(D) Unborn livestock death losses defined.--In 
                this paragraph, the term `unborn livestock death 
                losses' means losses of any livestock described in 
                subparagraph (A), (B), (D), (E), (F), or (G) of 
                subsection (a)(4) that was gestating on the date of the 
                death of the livestock.''.
    (b) Livestock Forage Disaster Program.--Section 
1501(c)(3)(D)(ii)(I) of the Agricultural Act of 2014 (7 U.S.C. 
9081(c)(3)(D)(ii)(I)) is amended--
            (1) by striking ``1 monthly payment'' and inserting ``2 
        monthly payments''; and
            (2) by striking ``county for at least 8 consecutive'' and 
        inserting the following: "county for not less than-- ``
                                            ``(aa) 4 consecutive weeks 
                                        during the normal grazing 
                                        period for the county, as 
                                        determined by the Secretary, 
                                        shall be eligible to receive 
                                        assistance under this paragraph 
                                        in an amount equal to 1 monthly 
                                        payment using the monthly 
                                        payment rate determined under 
                                        subparagraph (B); or
                                            ``(bb) 7 of the previous 8 
                                        consecutive''.
    (c) Emergency Assistance for Livestock, Honey Bees, and Farm-raised 
Fish.--
            (1) In general.--Section 1501(d) of the Agricultural Act of 
        2014 (7 U.S.C. 9081(d)) is amended by adding at the end the 
        following:
            ``(5) Assistance for losses due to bird depredation.--
                    ``(A) Definition of farm-raised fish.--In this 
                paragraph, the term `farm-raised fish' means fish 
                propagated and reared in a controlled fresh water 
                environment.
                    ``(B) Payments.--Eligible producers of farm-raised 
                fish, including fish grown as food for human 
                consumption, shall be eligible to receive payments 
                under this subsection to aid in the reduction of losses 
                due to piscivorous birds.
                    ``(C) Payment rate.--
                            ``(i) In general.--The payment rate for 
                        payments under subparagraph (B) shall be 
                        determined by the Secretary, taking into 
                        account--
                                    ``(I) costs associated with the 
                                deterrence of piscivorous birds;
                                    ``(II) the value of lost fish and 
                                revenue due to bird depredation; and
                                    ``(III) costs associated with 
                                disease loss from bird depredation.
                            ``(ii) Minimum rate.--The payment rate for 
                        payments under subparagraph (B) shall be not 
                        less than $600 per acre of farm-raised fish.
                    ``(D) Payment amount.--The amount of a payment 
                under subparagraph (B) shall be the product obtained by 
                multiplying--
                            ``(i) the applicable payment rate under 
                        subparagraph (C); and
                            ``(ii) 85 percent of the total number of 
                        acres of farm-raised fish farms that the 
                        eligible producer has in production for the 
                        calendar year.''.
            (2) Emergency assistance for honeybees.--In determining 
        honeybee colony losses eligible for assistance under section 
        1501(d) of the Agricultural Act of 2014 (7 U.S.C. 9081(d)), the 
        Secretary shall utilize a normal mortality rate of 15 percent.
    (d) Tree Assistance Program.--Section 1501(e) of the Agricultural 
Act of 2014 (7 U.S.C. 9081(e)) is amended--
            (1) in paragraph (2)(B), by striking ``15 percent (adjusted 
        for normal mortality)'' and inserting ``normal mortality''; and
            (2) in paragraph (3)--
                    (A) in subparagraph (A)(i), by striking ``15 
                percent mortality (adjusted for normal mortality)'' and 
                inserting ``normal mortality''; and
                    (B) in subparagraph (B)--
                            (i) by striking ``50'' and inserting 
                        ``65''; and
                            (ii) by striking ``15 percent damage or 
                        mortality (adjusted for normal tree damage and 
                        mortality)'' and inserting ``normal tree damage 
                        or mortality''.

                       Subtitle E--Crop Insurance

SEC. 10501. BEGINNING FARMER AND RANCHER BENEFIT.

    (a) Definitions.--
            (1) In general.--Section 502(b)(3) of the Federal Crop 
        Insurance Act (7 U.S.C. 1502(b)(3)) is amended by striking 
        ``5'' and inserting ``10''.
            (2) Conforming amendment.--Section 522(c)(7) of the Federal 
        Crop Insurance Act (7 U.S.C. 1522(c)(7)) is amended by striking 
        subparagraph (F).
    (b) Increase in Assistance.--Section 508(e) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(e)) is amended by adding at the end the 
following:
            ``(9) Additional support.--
                    ``(A) In general.--In addition to any other 
                provision of this subsection (except paragraph (2)(A)) 
                regarding payment of a portion of premiums, a beginning 
                farmer or rancher shall receive additional premium 
                assistance that is the number of percentage points 
                specified in subparagraph (B) greater than the premium 
                assistance that would otherwise be available for the 
                applicable policy, plan of insurance, and coverage 
                level selected by the beginning farmer or rancher.
                    ``(B) Percentage points adjustments.--The 
                percentage points referred to in subparagraph (A) are 
                the following:
                            ``(i) For each of the first and second 
                        reinsurance years that a beginning farmer or 
                        rancher participates as a beginning farmer or 
                        rancher in the applicable policy or plan of 
                        insurance, 5 percentage points.
                            ``(ii) For the third reinsurance year that 
                        a beginning farmer or rancher participates as a 
                        beginning farmer or rancher in the applicable 
                        policy or plan of insurance, 3 percentage 
                        points.
                            ``(iii) For the fourth reinsurance year 
                        that a beginning farmer or rancher participates 
                        as a beginning farmer or rancher in the 
                        applicable policy or plan of insurance, 1 
                        percentage point.''.

SEC. 10502. AREA-BASED CROP INSURANCE COVERAGE AND AFFORDABILITY.

    (a) Coverage Level.--Section 508(c)(4) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(c)(4)) is amended--
            (1) in subparagraph (A), by striking clause (ii) and 
        inserting the following:
                            ``(ii) may be purchased at any level not to 
                        exceed--
                                    ``(I) in the case of the individual 
                                yield or revenue coverage, 85 percent;
                                    ``(II) in the case of individual 
                                yield or revenue coverage aggregated 
                                across multiple commodities, 90 
                                percent; and
                                    ``(III) in the case of area yield 
                                or revenue coverage (as determined by 
                                the Corporation), 95 percent.''; and
            (2) in subparagraph (C)--
                    (A) in clause (ii), by striking ``14'' and 
                inserting ``10''; and
                    (B) in clause (iii)(I), by striking ``86'' and 
                inserting ``90''.
    (b) Premium Subsidy.--Section 508(e)(2)(H)(i) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(e)(2)(H)(i)) is amended by striking ``65'' 
and inserting ``80''.

SEC. 10503. ADMINISTRATIVE AND OPERATING EXPENSE ADJUSTMENTS.

    Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) 
is amended by adding at the end the following:
            ``(10) Additional expenses.--
                    ``(A) In general.--Beginning with the 2026 
                reinsurance year, and for each reinsurance year 
                thereafter, in addition to the terms and conditions of 
                the Standard Reinsurance Agreement, to cover additional 
                expenses for loss adjustment procedures, the 
                Corporation shall pay an additional administrative and 
                operating expense subsidy to approved insurance 
                providers for eligible contracts.
                    ``(B) Payment amount.--In the case of an eligible 
                contract, the payment to an approved insurance provider 
                required under subparagraph (A) shall be the amount 
                equal to 6 percent of the net book premium.
                    ``(C) Definitions.--In this paragraph:
                            ``(i) Eligible contract.--The term 
                        `eligible contract'--
                                    ``(I) means a crop insurance 
                                contract entered into by an approved 
                                insurance provider in an eligible 
                                State; and
                                    ``(II) does not include a contract 
                                for--
                                            ``(aa) catastrophic risk 
                                        protection under subsection 
                                        (b);
                                            ``(bb) an area-based plan 
                                        of insurance or similar plan of 
                                        insurance, as determined by the 
                                        Corporation; or
                                            ``(cc) a policy under which 
                                        an approved insurance provider 
                                        does not incur loss adjustment 
                                        expenses, as determined by the 
                                        Corporation.
                            ``(ii) Eligible state.--The term `eligible 
                        State' means a State in which, with respect to 
                        an insurance year, the loss ratio for eligible 
                        contracts is greater than 120 percent of the 
                        total net book premium written by all approved 
                        insurance providers.
            ``(11) Specialty crops.--
                    ``(A) Minimum reimbursement.--Beginning with the 
                2026 reinsurance year, and for each reinsurance year 
                thereafter, the rate of reimbursement to approved 
                insurance providers and agents for administrative and 
                operating expenses with respect to crop insurance 
                contracts covering agricultural commodities described 
                in section 101 of the Specialty Crops Competitiveness 
                Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) 
                shall be equal to or greater than the percentage that 
                is the greater of the following:
                            ``(i) 17 percent of the premium used to 
                        define loss ratio.
                            ``(ii) The percent of the premium used to 
                        define loss ratio that is otherwise applicable 
                        for the reinsurance year under the terms of the 
                        Standard Reinsurance Agreement in effect for 
                        the reinsurance year.
                    ``(B) Other contracts.--In carrying out 
                subparagraph (A), the Corporation shall not reduce, 
                with respect to any reinsurance year, the amount or the 
                rate of reimbursement to approved insurance providers 
                and agents under the Standard Reinsurance Agreement 
                described in clause (ii) of such subparagraph for 
                administrative and operating expenses with respect to 
                contracts covering agricultural commodities that are 
                not subject to such subparagraph.
                    ``(C) Administration.--The requirements of this 
                paragraph and the adjustments made pursuant to this 
                paragraph shall not be considered a renegotiation under 
                paragraph (8)(A).
            ``(12) A&O inflation adjustment.--
                    ``(A) In general.--Subject to subparagraph (B), 
                beginning with the 2026 reinsurance year, and for each 
                reinsurance year thereafter, the Corporation shall 
                increase the total administrative and operating expense 
                reimbursements otherwise required under the Standard 
                Reinsurance Agreement in effect for the reinsurance 
                year in order to account for inflation, in a manner 
                consistent with the increases provided with respect to 
                the 2011 through 2015 reinsurance years under the 
                enclosure included in Risk Management Agency Bulletin 
                numbered MGR-10-007 and dated June 30, 2010.
                    ``(B) Special rule for 2026 reinsurance year.--The 
                increase under subparagraph (A) for the 2026 
                reinsurance year shall not exceed the percentage change 
                for the preceding reinsurance year included in the 
                Consumer Price Index for All Urban Consumers published 
                by the Bureau of Labor Statistics of the Department of 
                Labor.
                    ``(C) Administration.--An increase under 
                subparagraph (A)--
                            ``(i) shall apply with respect to all 
                        contracts covering agricultural commodities 
                        that were subject to an increase during the 
                        period of the 2011 through 2015 reinsurance 
                        years under the enclosure referred to in that 
                        subparagraph; and
                            ``(ii) shall not be considered a 
                        renegotiation under paragraph (8)(A).''.

SEC. 10504. PREMIUM SUPPORT.

    Section 508(e)(2) of the Federal Crop Insurance Act (7 U.S.C. 
1508(e)(2)) is amended--
            (1) in subparagraph (C)(i), by striking ``64'' and 
        inserting ``69'';
            (2) in subparagraph (D)(i), by striking ``59'' and 
        inserting ``64'';
            (3) in subparagraph (E)(i), by striking ``55'' and 
        inserting ``60'';
            (4) in subparagraph (F)(i), by striking ``48'' and 
        inserting ``51''; and
            (5) in subparagraph (G)(i), by striking ``38'' and 
        inserting ``41''.

SEC. 10505. PROGRAM COMPLIANCE AND INTEGRITY.

    Section 515(l)(2) of the Federal Crop Insurance Act (7 U.S.C. 
1515(l)(2)) is amended by striking ``than'' and all that follows 
through the period at the end and inserting the following: ``than--
                    ``(A) $4,000,000 for each of fiscal years 2009 
                through 2025; and
                    ``(B) $6,000,000 for fiscal year 2026 and each 
                subsequent fiscal year.''.

SEC. 10506. REVIEWS, COMPLIANCE, AND INTEGRITY.

    Section 516(b)(2)(C)(i) of the Federal Crop Insurance Act (7 U.S.C. 
1516(b)(2)(C)(i)) is amended, in the matter preceding subclause (I), by 
striking ``for each fiscal year'' and inserting ``for each of fiscal 
years 2014 through 2025 and $10,000,000 for fiscal year 2026 and each 
fiscal year thereafter''.

SEC. 10507. POULTRY INSURANCE PILOT PROGRAM.

    Section 523 of the Federal Crop Insurance Act (7 U.S.C. 1523) is 
amended by adding at the end the following:
    ``(j) Poultry Insurance Pilot Program.--
            ``(1) In general.--Notwithstanding subsection (a)(2), the 
        Corporation shall establish a pilot program under which 
        contract poultry growers, including growers of broilers and 
        laying hens, may elect to receive index-based insurance from 
        extreme weather-related risk resulting in increased utility 
        costs (including costs of natural gas, propane, electricity, 
        water, and other appropriate costs, as determined by the 
        Corporation) associated with poultry production.
            ``(2) Stakeholder engagement.--The Corporation shall engage 
        with poultry industry stakeholders in establishing the pilot 
        program under paragraph (1).
            ``(3) Location.--The pilot program established under 
        paragraph (1) shall be conducted in a sufficient number of 
        counties to provide a comprehensive evaluation of the 
        feasibility, effectiveness, and demand among producers in the 
        top poultry producing States, as determined by the Corporation.
            ``(4) Approval of policy or plan.--Notwithstanding section 
        508(l), the Board shall approve a policy or plan of insurance 
        based on the pilot program under paragraph (1)--
                    ``(A) in accordance with section 508(h); and
                    ``(B) not later than 2 years after the date of 
                enactment of this subsection.''.

          Subtitle F--Additional Investments in Rural America

SEC. 10601. CONSERVATION.

    (a) In General.--Section 1241(a) of the Food Security Act of 1985 
(16 U.S.C. 3841(a)) is amended--
            (1) in paragraph (2), by striking subparagraphs (A) through 
        (F) and inserting the following:
                    ``(A) $625,000,000 for fiscal year 2026;
                    ``(B) $650,000,000 for fiscal year 2027;
                    ``(C) $675,000,000 for fiscal year 2028;
                    ``(D) $700,000,000 for fiscal year 2029;
                    ``(E) $700,000,000 for fiscal year 2030; and
                    ``(F) $700,000,000 for fiscal year 2031.''; and
            (2) in paragraph (3)--
                    (A) in subparagraph (A), by striking clauses (i) 
                through (v) and inserting the following:
                            ``(i) $2,655,000,000 for fiscal year 2026;
                            ``(ii) $2,855,000,000 for fiscal year 2027;
                            ``(iii) $3,255,000,000 for fiscal year 
                        2028;
                            ``(iv) $3,255,000,000 for fiscal year 2029;
                            ``(v) $3,255,000,000 for fiscal year 2030; 
                        and
                            ``(vi) $3,255,000,000 for fiscal year 2031; 
                        and''; and
                    (B) in subparagraph (B), by striking clauses (i) 
                through (v) and inserting the following:
                            ``(i) $1,300,000,000 for fiscal year 2026;
                            ``(ii) $1,325,000,000 for fiscal year 2027;
                            ``(iii) $1,350,000,000 for fiscal year 
                        2028;
                            ``(iv) $1,375,000,000 for fiscal year 2029;
                            ``(v) $1,375,000,000 for fiscal year 2030; 
                        and
                            ``(vi) $1,375,000,000 for fiscal year 
                        2031.''.
    (b) Regional Conservation Partnership Program.--Section 1271D of 
the Food Security Act of 1985 (16 U.S.C. 3871d) is amended by striking 
subsection (a) and inserting the following:
    ``(a) Availability of Funding.--Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to carry out the program, 
to the maximum extent practicable--
            ``(1) $425,000,000 for fiscal year 2026;
            ``(2) $450,000,000 for fiscal year 2027;
            ``(3) $450,000,000 for fiscal year 2028;
            ``(4) $450,000,000 for fiscal year 2029;
            ``(5) $450,000,000 for fiscal year 2030; and
            ``(6) $450,000,000 for fiscal year 2031.''.
    (c) Grassroots Source Water Protection Program.--Section 1240O(b) 
of the Food Security Act of 1985 (16 U.S.C. 3839bb-2(b)) is amended--
            (1) in paragraph (1), by striking ``2023'' and inserting 
        ``2031''; and
            (2) in paragraph (3)--
                    (A) in subparagraph (A), by striking ``and'' at the 
                end;
                    (B) in subparagraph (B), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(C) $1,000,000 beginning in fiscal year 2026, to 
                remain available until expended.''.
    (d) Voluntary Public Access and Habitat Incentive Program.--Section 
1240R(f)(1) of the Food Security Act of 1985 (16 U.S.C. 3839bb-5(f)(1)) 
is amended--
            (1) by striking ``2023, and'' and inserting ``2023,''; and
            (2) by inserting ``, and $70,000,000 for the period of 
        fiscal years 2025 through 2031'' before the period at the end.
    (e) Watershed Protection and Flood Prevention.--Section 15 of the 
Watershed Protection and Flood Prevention Act (16 U.S.C. 1012a) is 
amended by striking ``$50,000,000 for fiscal year 2019 and each fiscal 
year thereafter'' and inserting ``$150,000,000 for fiscal year 2026 and 
each fiscal year thereafter, to remain available until expended''.
    (f) Feral Swine Eradication and Control Pilot Program.--Section 
2408(g)(1) of the Agriculture Improvement Act of 2018 (7 U.S.C. 8351 
note; Public Law 115-334) is amended--
            (1) by striking ``2023 and'' and inserting ``2023,''; and
            (2) by inserting ``, and $105,000,000 for the period of 
        fiscal years 2025 through 2031'' before the period at the end.
    (g) Rescission.--The unobligated balances of amounts appropriated 
by section 21001(a) of Public Law 117-169 (136 Stat. 2015) are 
rescinded.

SEC. 10602. SUPPLEMENTAL AGRICULTURAL TRADE PROMOTION PROGRAM.

    (a) In General.--The Secretary of Agriculture shall carry out a 
program to encourage the accessibility, development, maintenance, and 
expansion of commercial export markets for United States agricultural 
commodities.
    (b) Funding.--Of the funds of the Commodity Credit Corporation, the 
Secretary of Agriculture shall make available to carry out this section 
$285,000,000 for fiscal year 2027 and each fiscal year thereafter.

SEC. 10603. NUTRITION.

    Section 203D(d)(5) of the Emergency Food Assistance Act of 1983 (7 
U.S.C. 7507(d)(5)) is amended by striking ``2024'' and inserting 
``2031''.

SEC. 10604. RESEARCH.

    (a) Urban, Indoor, and Other Emerging Agricultural Production 
Research, Education, and Extension Initiative.--Section 1672E(d)(1)(B) 
of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
5925g(d)(1)(B)) is amended by striking ``fiscal year 2024, to remain 
available until expended'' and inserting ``each of fiscal years 2024 
through 2031''.
    (b) Foundation for Food and Agriculture Research.--Section 
7601(g)(1)(A) of the Agricultural Act of 2014 (7 U.S.C. 5939(g)(1)(A)) 
is amended by adding at the end the following:
                            ``(iv) Further funding.--Not later than 30 
                        days after the date of enactment of this 
                        clause, of the funds of the Commodity Credit 
                        Corporation, the Secretary shall transfer to 
                        the Foundation to carry out this section 
                        $37,000,000, to remain available until 
                        expended.''.
    (c) Scholarships for Students at 1890 Institutions.--Section 
1446(b)(1) of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3222a(b)(1)) is amended by adding 
at the end the following:
                    ``(C) Further funding.--Of the funds of the 
                Commodity Credit Corporation, the Secretary shall make 
                available to carry out this section $60,000,000 for 
                fiscal year 2026, to remain available until 
                expended.''.
    (d) Assistive Technology Program for Farmers With Disabilities.--
Section 1680 of the Food, Agriculture, Conservation, and Trade Act of 
1990 (7 U.S.C. 5933) is amended--
            (1) in subsection (c)(2), by inserting ``and subsection 
        (d)'' after ``paragraph (1)''; and
            (2) by adding at the end the following:
    ``(d) Mandatory Funding.--Subject to subsection (c)(2), of the 
funds of the Commodity Credit Corporation, the Secretary shall use to 
carry out this section $8,000,000 for fiscal year 2026, to remain 
available until expended.''.
    (e) Specialty Crop Research Initiative.--Section 412(k)(1)(B) of 
the Agricultural Research, Extension, and Education Reform Act of 1998 
(7 U.S.C. 7632(k)(1)(B)) is amended by striking ``section $80,000,000 
for fiscal year 2014'' and inserting the following: ``section--
                            ``(i) $80,000,000 for each of fiscal years 
                        2014 through 2025; and
                            ``(ii) $175,000,000 for fiscal year 2026''.
    (f) Research Facilities Act.--Section 6 of the Research Facilities 
Act (7 U.S.C. 390d) is amended--
            (1) in subsection (c), by striking ``subsection (a)'' and 
        inserting ``subsections (a) and (e)''; and
            (2) by adding at the end the following:
    ``(e) Mandatory Funding.--Subject to subsections (b), (c), and (d), 
of the funds of the Commodity Credit Corporation, the Secretary shall 
make available to carry out the competitive grant program under section 
4 $125,000,000 for fiscal year 2026 and each fiscal year thereafter.''.

SEC. 10605. ENERGY.

    Section 9005(g)(1)(F) of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 8105(g)(1)(F)) is amended by striking ``2024'' and 
inserting ``2031''.

SEC. 10606. HORTICULTURE.

    (a) Plant Pest and Disease Management and Disaster Prevention.--
Section 420(f) of the Plant Protection Act (7 U.S.C. 7721(f)) is 
amended--
            (1) in paragraph (5), by striking ``and'' at the end;
            (2) by redesignating paragraph (6) as paragraph (7);
            (3) by inserting after paragraph (5) the following:
            ``(6) $75,000,000 for each of fiscal years 2018 through 
        2025; and''; and
            (4) in paragraph (7) (as so redesignated), by striking 
        ``$75,000,000 for fiscal year 2018'' and inserting 
        ``$90,000,000 for fiscal year 2026''.
    (b) Specialty Crop Block Grants.--Section 101(l)(1) of the 
Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public 
Law 108-465) is amended--
            (1) in subparagraph (D), by striking ``and'' at the end;
            (2) by redesignating subparagraph (E) as subparagraph (F);
            (3) by inserting after subparagraph (D) the following:
                    ``(E) $85,000,000 for each of fiscal years 2018 
                through 2025; and''; and
            (4) in subparagraph (F) (as so redesignated), by striking 
        ``$85,000,000 for fiscal year 2018'' and inserting 
        ``$100,000,000 for fiscal year 2026''.
    (c) Organic Production and Market Data Initiative.--Section 
7407(d)(1) of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 5925c(d)(1)) is amended--
            (1) in subparagraph (B), by striking ``and'' at the end;
            (2) in subparagraph (C), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following:
                    ``(D) $10,000,000 for the period of fiscal years 
                2026 through 2031.''.
    (d) Modernization and Improvement of International Trade Technology 
Systems and Data Collection.--Section 2123(c)(4) of the Organic Foods 
Production Act of 1990 (7 U.S.C. 6522(c)(4)) is amended, in the matter 
preceding subparagraph (A), by striking ``and $1,000,000 for fiscal 
year 2024'' and inserting ``, $1,000,000 for fiscal years 2024 and 
2025, and $5,000,000 for fiscal year 2026''.
    (e) National Organic Certification Cost-share Program.--Section 
10606(d)(1)(C) of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 6523(d)(1)(C)) is amended by striking ``2024'' and inserting 
``2031''.
    (f) Multiple Crop and Pesticide Use Survey.--Section 10109(c) of 
the Agriculture Improvement Act of 2018 (Public Law 115-334; 132 Stat. 
4907) is amended by adding at the end the following:
            ``(3) Further mandatory funding.--Of the funds of the 
        Commodity Credit Corporation, the Secretary shall use to carry 
        out this section $5,000,000 for fiscal year 2026, to remain 
        available until expended.''.

SEC. 10607. MISCELLANEOUS.

    (a) Animal Disease Prevention and Management.--Section 10409A(d)(1) 
of the Animal Health Protection Act (7 U.S.C. 8308a(d)(1)) is amended--
            (1) in subparagraph (B)--
                    (A) in the heading, by striking ``Subsequent fiscal 
                years'' and inserting ``Fiscal years 2023 through 
                2025''; and
                    (B) by striking ``fiscal year 2023 and each fiscal 
                year thereafter'' and inserting ``each of fiscal years 
                2023 through 2025''; and
            (2) by adding at the end the following:
                    ``(C) Fiscal years 2026 through 2030.--Of the funds 
                of the Commodity Credit Corporation, the Secretary 
                shall make available to carry out this section 
                $233,000,000 for each of fiscal years 2026 through 
                2030, of which--
                            ``(i) not less than $10,000,000 shall be 
                        made available for each such fiscal year to 
                        carry out subsection (a);
                            ``(ii) not less than $70,000,000 shall be 
                        made available for each such fiscal year to 
                        carry out subsection (b); and
                            ``(iii) not less than $153,000,000 shall be 
                        made available for each such fiscal year to 
                        carry out subsection (c).
                    ``(D) Subsequent fiscal years.--Of the funds of the 
                Commodity Credit Corporation, the Secretary shall make 
                available to carry out this section $75,000,000 for 
                fiscal year 2031 and each fiscal year thereafter, of 
                which not less than $45,000,000 shall be made available 
                for each of those fiscal years to carry out subsection 
                (b).''.
    (b) Sheep Production and Marketing Grant Program.--Section 209(c) 
of the Agricultural Marketing Act of 1946 (7 U.S.C. 1627a(c)) is 
amended--
            (1) by striking ``2019, and'' and inserting ``2019,''; and
            (2) by inserting ``and $3,000,000 for fiscal year 2026,'' 
        after ``fiscal year 2024,''
    (c) Pima Agriculture Cotton Trust Fund.--Section 12314 of the 
Agricultural Act of 2014 (7 U.S.C. 2101 note; Public Law 113-79) is 
amended--
            (1) in subsection (b), in the matter preceding paragraph 
        (1), by striking ``2024'' and inserting ``2031''; and
            (2) in subsection (h), by striking ``2024''and inserting 
        ``2031''.
    (d) Agriculture Wool Apparel Manufacturers Trust Fund.--Section 
12315 of the Agricultural Act of 2014 (7 U.S.C. 7101 note; Public Law 
113-79) is amended by striking ``2024'' each place it appears and 
inserting ``2031''.
    (e) Wool Research and Promotion.--Section 12316(a) of the 
Agricultural Act of 2014 (7 U.S.C. 7101 note; Public Law 113-79) is 
amended by striking ``2024'' and inserting ``2031''.
    (f) Emergency Citrus Disease Research and Development Trust Fund.--
Section 12605(d) of the Agriculture Improvement Act of 2018 (7 U.S.C. 
7632 note; Public Law 115-334) is amended by striking ``2024'' and 
inserting ``2031''.

                 TITLE II--COMMITTEE ON ARMED SERVICES

SEC. 20001. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR 
              IMPROVING THE QUALITY OF LIFE FOR MILITARY PERSONNEL.

    (a) Appropriations.--In addition to amounts otherwise available, 
there are appropriated to the Secretary of Defense for fiscal year 
2025, out of any money in the Treasury not otherwise appropriated, to 
remain available until September 30, 2029--
            (1) $230,480,000 for restoration and modernization costs 
        under the Marine Corps Barracks 2030 initiative;
            (2) $119,000,000 for base operating support costs under the 
        Marine Corps;
            (3) $1,000,000,000 for Army, Navy, Air Force, and Space 
        Force sustainment, restoration, and modernization of military 
        unaccompanied housing;
            (4) $2,000,000,000 for the Defense Health Program;
            (5) $2,900,000,000 to supplement the basic allowance for 
        housing payable to members of the Army, Air Force, Navy, Marine 
        Corps, and Space Force , notwithstanding section 403 of title 
        37, United States Code;
            (6) $50,000,000 for bonuses, special pays, and incentive 
        pays for members of the Army, Air Force, Navy, Marine Corps, 
        and Space Force pursuant to titles 10 and 37, United States 
        Code;
            (7) $10,000,000 for the Defense Activity for Non-
        Traditional Education Support's Online Academic Skills Course 
        program for members of the Army, Air Force, Navy, Marine Corps, 
        and Space Force;
            (8) $100,000,000 for tuition assistance for members of the 
        Army, Air Force, Navy, Marine Corps, and Space Force pursuant 
        to title 10, United States Code;
            (9) $100,000,000 for child care fee assistance for members 
        of the Army, Air Force, Navy, Marine Corps, and Space Force 
        under part II of chapter 88 of title 10, United States Code;
            (10) $590,000,000 to increase the Temporary Lodging Expense 
        Allowance under chapter 8 of title 37, United States Code, to 
        21 days;
            (11) $100,000,000 for Department of Defense Impact Aid 
        payments to local educational agencies under section 2008 of 
        title 10, United States Code;
            (12) $10,000,000 for military spouse professional licensure 
        under section 1784 of title 10, United States Code;
            (13) $6,000,000 for Armed Forces Retirement Home 
        facilities;
            (14) $100,000,000 for the Defense Community Infrastructure 
        Program;
            (15) $100,000,000 for Defense Advanced Research Projects 
        Agency (DARPA) casualty care research; and
            (16) $62,000,000 for modernization of Department of Defense 
        childcare center staffing.
    (b) Temporary Increase in Percentage of Value of Authorized 
Investment in Certain Privatized Military Housing Projects.--
            (1) In general.--During the period beginning on the date of 
        the enactment of this section and ending on September 30, 2029, 
        the Secretary concerned shall apply--
                    (A) paragraph (1) of subsection (c) of section 2875 
                of title 10, United States Code, by substituting ``60 
                percent'' for ``33 \1/3\ percent''; and
                    (B) paragraph (2) of such subsection by 
                substituting ``60 percent'' for ``45 percent''.
            (2) Secretary concerned defined.--In this subsection, the 
        term ``Secretary concerned'' has the meaning given such term in 
        section 101 of title 10, United States Code.
    (c) Temporary Authority for Acquisition or Construction of 
Privatized Military Unaccompanied Housing.--Section 2881a of title 10, 
United States Code, is amended--
            (1) by striking the heading and inserting ``Temporary 
        authority for acquisition or construction of privatized 
        military unaccompanied housing'';
            (2) by striking ``Secretary of the Navy'' each place it 
        appears and inserting ``Secretary concerned'';
            (3) by striking ``under the pilot projects'' each place it 
        appears and inserting ``pursuant to this section'';
            (4) in subsection (a)--
                    (A) by striking the heading and inserting ``In 
                General''; and
                    (B) by striking ``carry out not more than three 
                pilot projects under the authority of this section or 
                another provision of this subchapter to use the private 
                sector'' and inserting ``use the authority under this 
                subchapter to enter into contracts with appropriate 
                private sector entities'';
            (5) in subsection (c), by striking ``privatized housing'' 
        and inserting ``privatized housing units'';
            (6) by redesignating subsection (f) as subsection (e); and
            (7) in subsection (e) (as so redesignated)--
                    (A) by striking ``under the pilot programs'' and 
                inserting ``under this section''; and
                    (B) by striking ``September 30, 2009'' and 
                inserting ``September 30, 2029''.

SEC. 20002. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR 
              SHIPBUILDING.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Defense for fiscal year 2025, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $250,000,000 for the expansion of accelerated Training 
        in Defense Manufacturing program;
            (2) $250,000,000 for United States production of turbine 
        generators for shipbuilding industrial base;
            (3) $450,000,000 for United States additive manufacturing 
        for wire production and machining capacity for shipbuilding 
        industrial base;
            (4) $492,000,000 for next-generation shipbuilding 
        techniques;
            (5) $85,000,000 for United States-made steel plate for 
        shipbuilding industrial base;
            (6) $50,000,000 for machining capacity for naval propellers 
        for shipbuilding industrial base;
            (7) $110,000,000 for rolled steel and fabrication facility 
        for shipbuilding industrial base;
            (8) $400,000,000 for expansion of collaborative campus for 
        naval shipbuilding;
            (9) $450,000,000 for application of autonomy and artificial 
        intelligence to naval shipbuilding;
            (10) $500,000,000 for the adoption of advanced 
        manufacturing techniques in the shipbuilding industrial base;
            (11) $500,000,000 for additional dry-dock capability;
            (12) $50,000,000 for the expansion of cold spray repair 
        technologies;
            (13) $450,000,000 for additional maritime industrial 
        workforce development programs;
            (14) $750,000,000 for additional supplier development 
        across the naval shipbuilding industrial base;
            (15) $250,000,000 for additional advanced manufacturing 
        processes across the naval shipbuilding industrial base;
            (16) $4,600,000,000 for a second Virginia-class submarine 
        in fiscal year 2026;
            (17) $5,400,000,000 for two additional Guided Missile 
        Destroyer (DDG) ships;
            (18) $160,000,000 for advanced procurement for Landing Ship 
        Medium;
            (19) $1,803,941,000 for procurement of Landing Ship Medium;
            (20) $295,000,000 for development of a second Landing Craft 
        Utility shipyard and production of additional Landing Craft 
        Utility;
            (21) $100,000,000 for advanced procurement for light 
        replenishment oiler program;
            (22) $600,000,000 for the lease or purchase of new ships 
        through the National Defense Sealift Fund;
            (23) $2,725,000,000 for the procurement of T-AO oilers;
            (24) $500,000,000 for cost-to-complete for rescue and 
        salvage ships;
            (25) $300,000,000 for production of ship-to-shore 
        connectors;
            (26) $1,470,000,000 for the implementation of a multi-ship 
        amphibious warship contract;
            (27) $80,000,000 for accelerated development of vertical 
        launch system reloading at sea;
            (28) $250,000,000 for expansion of Navy corrosion control 
        programs;
            (29) $159,000,000 for leasing of ships for Marine Corps 
        operations;
            (30) $1,534,000,000 for expansion of small unmanned surface 
        vessel production;
            (31) $2,100,000,000 for development, procurement, and 
        integration of purpose-built medium unmanned surface vessels;
            (32) $1,300,000,000 for expansion of unmanned underwater 
        vehicle production;
            (33) $188,360,000 for the development and testing of 
        maritime robotic autonomous systems and enabling technologies;
            (34) $174,000,000 for the development of a Test Resource 
        Management Center robotic autonomous systems proving ground;
            (35) $250,000,000 for the development, production, and 
        integration of wave-powered unmanned underwater vehicles; and
            (36) $150,000,000 for retention of inactive reserve fleet 
        ships.

SEC. 20003. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR 
              INTEGRATED AIR AND MISSILE DEFENSE.

    (a) Next Generation Missile Defense Technologies.--In addition to 
amounts otherwise available, there are appropriated to the Secretary of 
Defense for fiscal year 2025, out of any money in the Treasury not 
otherwise appropriated, to remain available until September 30, 2029--
            (1) $250,000,000 for development and testing of directed 
        energy capabilities by the Under Secretary for Research and 
        Engineering;
            (2) $500,000,000 for national security space launch 
        infrastructure;
            (3) $2,000,000,000 for air moving target indicator military 
        satellites;
            (4) $400,000,000 for expansion of Multi-Service Advanced 
        Capability Hypersonic Test Bed program;
            (5) $5,600,000,000 for development of space-based and boost 
        phase intercept capabilities;
            (6) $7,200,000,000 for the development, procurement, and 
        integration of military space-based sensors; and
            (7) $2,550,000,000 for the development, procurement, and 
        integration of military missile defense capabilities.
    (b) Layered Homeland Defense.--In addition to amounts otherwise 
available, there are appropriated to the Secretary of Defense for 
fiscal year 2025, out of any money in the Treasury not otherwise 
appropriated, to remain available until September 30, 2029--
            (1) $2,200,000,000 for acceleration of hypersonic defense 
        systems;
            (2) $800,000,000 for accelerated development and deployment 
        of next-generation intercontinental ballistic missile defense 
        systems;
            (3) $408,000,000 for Army space and strategic missile test 
        range infrastructure restoration and modernization in the 
        United States Indo-Pacific Command area of operations west of 
        the international dateline;
            (4) $1,975,000,000 for improved ground-based missile 
        defense radars; and
            (5) $530,000,000 for the design and construction of Missile 
        Defense Agency missile instrumentation range safety ship.

SEC. 20004. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR 
              MUNITIONS AND DEFENSE SUPPLY CHAIN RESILIENCY.

    (a) Appropriations.--In addition to amounts otherwise available, 
there are appropriated to the Secretary of Defense for fiscal year 
2025, out of any money in the Treasury not otherwise appropriated, to 
remain available until September 30, 2029--
            (1) $400,000,000 for the development, production, and 
        integration of Navy and Air Force long-range anti-ship 
        missiles;
            (2) $380,000,000 for production capacity expansion for Navy 
        and Air Force long-range anti-ship missiles;
            (3) $490,000,000 for the development, production, and 
        integration of Navy and Air Force long-range air-to-surface 
        missiles;
            (4) $94,000,000 for the development, production, and 
        integration of alternative Navy and Air Force long-range air-
        to-surface missiles;
            (5) $630,000,000 for the development, production, and 
        integration of long-range Navy air defense and anti-ship 
        missiles;
            (6) $688,000,000 for the development, production, and 
        integration of long-range multi-service cruise missiles;
            (7) $250,000,000 for production capacity expansion and 
        supplier base strengthening of long-range multi-service cruise 
        missiles;
            (8) $70,000,000 for the development, production, and 
        integration of short-range Navy and Marine Corps anti-ship 
        missiles;
            (9) $100,000,000 for the development of an anti-ship seeker 
        for short-range Army ballistic missiles;
            (10) $175,000,000 for production capacity expansion for 
        next-generation Army medium-range ballistic missiles;
            (11) $50,000,000 for the mitigation of diminishing 
        manufacturing sources for medium-range air-to-air missiles;
            (12) $250,000,000 for the procurement of medium-range air-
        to-air missiles;
            (13) $225,000,000 for the expansion of production capacity 
        for medium-range air-to-air missiles;
            (14) $50,000,000 for the development of second sources for 
        components of short-range air-to-air missiles;
            (15) $325,000,000 for production capacity improvements for 
        air-launched anti-radiation missiles;
            (16) $50,000,000 for the accelerated development of Army 
        next-generation medium-range anti-ship ballistic missiles;
            (17) $114,000,000 for the production of Army next-
        generation medium-range ballistic missiles;
            (18) $300,000,000 for the production of Army medium-range 
        ballistic missiles;
            (19) $85,000,000 for the accelerated development of Army 
        long-range ballistic missiles;
            (20) $400,000,000 for the production of heavyweight 
        torpedoes;
            (21) $200,000,000 for the development, procurement, and 
        integration of mass-producible autonomous underwater munitions;
            (22) $70,000,000 for the improvement of heavyweight torpedo 
        maintenance activities;
            (23) $200,000,000 for the production of lightweight 
        torpedoes;
            (24) $500,000,000 for the development, procurement, and 
        integration of maritime mines;
            (25) $50,000,000 for the development, procurement, and 
        integration of new underwater explosives;
            (26) $55,000,000 for the development, procurement, and 
        integration of lightweight multi-mission torpedoes;
            (27) $80,000,000 for the production of sonobuoys;
            (28) $150,000,000 for the development, procurement, and 
        integration of air-delivered long-range maritime mines;
            (29) $61,000,000 for the acceleration of Navy expeditionary 
        loitering munitions deployment;
            (30) $50,000,000 for the acceleration of one-way attack 
        unmanned aerial systems with advanced autonomy;
            (31) $1,000,000,000 for the expansion of the one-way attack 
        unmanned aerial systems industrial base;
            (32) $200,000,000 for investments in solid rocket motor 
        industrial base through the Industrial Base Fund established 
        under section 4817 of title 10, United States Code;
            (33) $400,000,000 for investments in the emerging solid 
        rocket motor industrial base through the Industrial Base Fund 
        established under section 4817 of title 10, United States Code;
            (34) $42,000,000 for investments in second sources for 
        large-diameter solid rocket motors for hypersonic missiles;
            (35) $1,000,000,000 for the creation of next-generation 
        automated munitions production factories;
            (36) $170,000,000 for the development of advanced radar 
        depot for repair, testing, and production of radar and 
        electronic warfare systems;
            (37) $25,000,000 for the expansion of the Department of 
        Defense industrial base policy analysis workforce;
            (38) $30,300,000 for the repair of Army missiles;
            (39) $100,000,000 for the production of small and medium 
        ammunition;
            (40) $2,000,000,000 for additional activities to improve 
        the United States stockpile of critical minerals through the 
        National Defense Stockpile Transaction Fund, authorized by 
        subchapter III of chapter 5 of title 50, United States Code;
            (41) $10,000,000 for the expansion of the Department of 
        Defense armaments cooperation workforce;
            (42) $500,000,000 for the expansion of the Defense 
        Exportability Features program;
            (43) $350,000,000 for production of Navy long-range air and 
        missile defense interceptors;
            (44) $93,000,000 for replacement of Navy long-range air and 
        missile defense interceptors;
            (45) $100,000,000 for development of a second solid rocket 
        motor source for Navy air defense and anti ship missiles;
            (46) $65,000,000 for expansion of production capacity of 
        Missile Defense Agency long-range anti-ballistic missiles;
            (47) $225,000,000 for expansion of production capacity for 
        Navy air defense and anti-ship missiles;
            (48) $103,300,000 for expansion of depot level maintenance 
        facility for Navy long-range air and missile defense 
        interceptors;
            (49) $18,000,000 for creation of domestic source for 
        guidance section of Navy short-range air defense missiles;
            (50) $65,000,000 for integration of Army medium-range air 
        and missile defense interceptor with Navy ships;
            (51) $176,100,000 for production of Army long-range movable 
        missile defense radar;
            (52) $167,000,000 for accelerated fielding of Army short-
        range gun-based air and missile defense system;
            (53) $40,000,000 for development of low-cost alternatives 
        to air and missile defense interceptors;
            (54) $50,000,000 for acceleration of Army next-generation 
        shoulder-fired air defense system;
            (55) $91,000,000 for production of Army next-generation 
        shoulder-fired air defense system;
            (56) $500,000,000 for development, production, and 
        integration of counter-unmanned aerial systems programs;
            (57) $350,000,000 for development, production, and 
        integration of non-kinetic counter-unmanned aerial systems 
        programs;
            (58) $250,000,000 for development, production, and 
        integration of land-based counter-unmanned aerial systems 
        programs;
            (59) $200,000,000 for development, production, and 
        integration of ship-based counter-unmanned aerial systems 
        programs;
            (60) $400,000,000 for acceleration of hypersonic strike 
        programs;
            (61) $167,000,000 for procurement of additional launchers 
        for Army medium-range air and missile defense interceptors;
            (62) $500,000,000 for expansion of defense advanced 
        manufacturing techniques;
            (63) $1,000,000 for establishment of the Joint Energetics 
        Transition Office;
            (64) $200,000,000 for acceleration of Army medium-range air 
        and missile defense interceptors;
            (65) $150,000,000 for additive manufacturing for 
        propellant;
            (66) $250,000,000 for expansion and acceleration of 
        penetrating munitions production; and
            (67) $50,000,000 for development, procurement, and 
        integration of precision extended-range artillery.
    (b) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Secretary of Defense for fiscal year 2025, 
out of any money in the Treasury not otherwise appropriated, to remain 
available until September 30, 2029, $3,300,000,000 for grants and 
purchase commitments made pursuant to the Industrial Base Fund 
established under section 4817 of title 10, United States Code.
    (c) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Secretary of Defense for fiscal year 2025, 
out of any money in the Treasury not otherwise appropriated, to remain 
available until September 30, 2029, $5,000,000,000 for investments in 
critical minerals supply chains made pursuant to the Industrial Base 
Fund established under section 4817 of title 10, United States Code.
    (d) Appropriations.--In addition to amounts otherwise available, 
there is appropriated to the Secretary of Defense, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029, $500,000,000 to the ``Department of Defense Credit 
Program Account'' to carry out the capital assistance program, 
including loans, loan guarantees, and technical assistance, established 
under section 149(e) of title 10, United States Code, for critical 
minerals and related industries and projects, including related Covered 
Technology Categories: Provided, That--
            (1) such amounts are available to subsidize gross 
        obligations for the principal amount of direct loans, and total 
        loan principal, any part of which is to be guaranteed, not to 
        exceed $100,000,000,000; and
            (2) such amounts are available to cover all costs and 
        expenditures as provided under section 149(e)(5)(B) of title 
        10, United States Code.

SEC. 20005. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR SCALING 
              LOW-COST WEAPONS INTO PRODUCTION.

    (a) Appropriations.--In addition to amounts otherwise available, 
there are appropriated to the Secretary of Defense for fiscal year 
2025, out of any money in the Treasury not otherwise appropriated, to 
remain available until September 30, 2029--
            (1) $25,000,000 for the Office of Strategic Capital Global 
        Technology Scout program;
            (2) $1,400,000,000 for the expansion of the small unmanned 
        aerial system industrial base;
            (3) $400,000,000 for the development and deployment of the 
        Joint Fires Network and associated joint battle management 
        capabilities;
            (4) $400,000,000 for the expansion of advanced command-and-
        control tools to combatant commands and military departments;
            (5) $100,000,000 for the development of shared secure 
        facilities for the defense industrial base;
            (6) $50,000,000 for the creation of additional Defense 
        Innovation Unit OnRamp Hubs;
            (7) $600,000,000 for the acceleration of Strategic 
        Capabilities Office programs;
            (8) $650,000,000 for the expansion of Mission Capabilities 
        office joint prototyping and experimentation activities for 
        military innovation;
            (9) $500,000,000 for the accelerated development and 
        integration of advanced 5G/6G technologies for military use;
            (10) $25,000,000 for testing of simultaneous transmit and 
        receive technology for military spectrum agility;
            (11) $50,000,000 for the development, procurement, and 
        integration of high-altitude stratospheric balloons for 
        military use;
            (12) $120,000,000 for the development, procurement, and 
        integration of long-endurance unmanned aerial systems for 
        surveillance;
            (13) $40,000,000 for the development, procurement, and 
        integration of alternative positioning and navigation 
        technology to enable military operations in contested 
        electromagnetic environments;
            (14) $750,000,000 for the acceleration of innovative 
        military logistics and energy capability development and 
        deployment;
            (15) $125,000,000 for the acceleration of development of 
        small, portable modular nuclear reactors for military use;
            (16) $1,000,000,000 for the expansion of programs to 
        accelerate the procurement and fielding of innovative 
        technologies;
            (17) $90,000,000 for the development of reusable hypersonic 
        technology for military strikes;
            (18) $2,000,000,000 for the expansion of Defense Innovation 
        Unit scaling of commercial technology for military use;
            (19) $500,000,000 to prevent delays in delivery of 
        attritable autonomous military capabilities;
            (20) $1,500,000,000 for the development, procurement, and 
        integration of low-cost cruise missiles;
            (21) $124,000,000 for improvements to Test Resource 
        Management Center artificial intelligence capabilities;
            (22) $145,000,000 for the development of artificial 
        intelligence to enable one-way attack unmanned aerial systems 
        and naval systems;
            (23) $250,000,000 for the development of the Test Resource 
        Management Center digital test environment;
            (24) $250,000,000 for the advancement of the artificial 
        intelligence ecosystem;
            (25) $250,000,000 for the expansion of Cyber Command 
        artificial intelligence lines of effort;
            (26) $250,000,000 for the acceleration of the Quantum 
        Benchmarking Initiative;
            (27) $1,000,000,000 for the expansion and acceleration of 
        qualification activities and technical data management to 
        enhance competition in defense industrial base;
            (28) $400,000,000 for the expansion of the defense 
        manufacturing technology program;
            (29) $1,685,000,000 for military cryptographic 
        modernization activities;
            (30) $90,000,000 for APEX Accelerators, the Mentor-Protege 
        Program, and cybersecurity support to small non-traditional 
        contractors;
            (31) $250,000,000 for the development, procurement, and 
        integration of Air Force low-cost counter-air capabilities;
            (32) $10,000,000 for additional Air Force wargaming 
        activities; and
            (33) $20,000,000 for the Office of Strategic Capital 
        workforce.
    (b) Appropriations.--In addition to amounts otherwise available, 
there are appropriated to the Secretary of Defense, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029, $1,000,000,000 to the ``Department of Defense 
Credit Program Account'' to carry out the capital assistance program, 
including loans, loan guarantees, and technical assistance, established 
under section 149(e) of title 10, United States Code: Provided, That--
            (1) such amounts are available to subsidize gross 
        obligations for the principal amount of direct loans, and total 
        loan principal, any part of which is to be guaranteed, not to 
        exceed $100,000,000,000; and
            (2) such amounts are available to cover all costs and 
        expenditures as provided under section 149(e)(5)(B) of title 
        10, United States Code.

SEC. 20006. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR 
              IMPROVING THE EFFICIENCY AND CYBERSECURITY OF THE 
              DEPARTMENT OF DEFENSE.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Defense for fiscal year 2025, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $150,000,000 for business systems replacement to 
        accelerate the audits of the financial statements of the 
        Department of Defense pursuant to chapter 9A and section 2222 
        of title 10, United States Code;
            (2) $200,000,000 for the deployment of automation and 
        artificial intelligence to accelerate the audits of the 
        financial statements of the Department of Defense pursuant to 
        chapter 9A and section 2222 of title 10, United States Code;
            (3) $10,000,000 for the improvement of the budgetary and 
        programmatic infrastructure of the Office of the Secretary of 
        Defense; and
            (4) $20,000,000 for defense cybersecurity programs of the 
        Defense Advanced Research Projects Agency.

SEC. 20007. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR AIR 
              SUPERIORITY.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Defense for fiscal year 2025, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $3,150,000,000 to increase F-15EX aircraft production;
            (2) $361,220,000 to prevent the retirement of F-22 
        aircraft;
            (3) $127,460,000 to prevent the retirement of F-15E 
        aircraft;
            (4) $187,000,000 to accelerate installation of F-16 
        electronic warfare capability;
            (5) $116,000,000 for C-17A Mobility Aircraft Connectivity;
            (6) $84,000,000 for KC-135 Mobility Aircraft Connectivity;
            (7) $440,000,000 to increase C-130J production;
            (8) $474,000,000 to increase EA-37B production;
            (9) $678,000,000 to accelerate the Collaborative Combat 
        Aircraft program;
            (10) $400,000,000 to accelerate production of the F-47 
        aircraft;
            (11) $750,000,000 accelerate the FA/XX aircraft;
            (12) $100,000,000 for production of Advanced Aerial 
        Sensors;
            (13) $160,000,000 to accelerate V-22 nacelle and 
        reliability and safety improvements;
            (14) $100,000,000 to accelerate production of MQ-25 
        aircraft;
            (15) $270,000,000 for development, procurement, and 
        integration of Marine Corps unmanned combat aircraft;
            (16) $96,000,000 for the procurement and integration of 
        infrared search and track pods;
            (17) $50,000,000 for the procurement and integration of 
        additional F-15EX conformal fuel tanks;
            (18) $600,000,000 for the development, procurement, and 
        integration of Air Force long-range strike aircraft; and
            (19) $500,000,000 for the development, procurement, and 
        integration of Navy long-range strike aircraft.

SEC. 20008. ENHANCEMENT OF RESOURCES FOR NUCLEAR FORCES.

    (a) DOD Appropriations.--In addition to amounts otherwise 
available, there are appropriated to the Secretary of Defense for 
fiscal year 2025, out of any money in the Treasury not otherwise 
appropriated, to remain available until September 30, 2029--
            (1) $2,500,000,000 for risk reduction activities for the 
        Sentinel intercontinental ballistic missile program;
            (2) $4,500,000,000 only for expansion of production 
        capacity of B-21 long-range bomber aircraft and the purchase of 
        aircraft only available through the expansion of production 
        capacity;
            (3) $500,000,000 for improvements to the Minuteman III 
        intercontinental ballistic missile system;
            (4) $100,000,000 for capability enhancements to 
        intercontinental ballistic missile reentry vehicles;
            (5) $148,000,000 for the expansion of D5 missile motor 
        production;
            (6) $400,000,000 to accelerate the development of Trident 
        D5LE2 submarine-launched ballistic missiles;
            (7) $2,000,000,000 to accelerate the development, 
        procurement, and integration of the nuclear-armed sea-launched 
        cruise missile;
            (8) $62,000,000 to convert Ohio-class submarine tubes to 
        accept additional missiles, not to be obligated before March 1, 
        2026;
            (9) $168,000,000 to accelerate the production of the 
        Survivable Airborne Operations Center program;
            (10) $65,000,000 to accelerate the modernization of nuclear 
        command, control, and communications;
            (11) $210,300,000 for the increased production of MH-139 
        helicopters; and
            (12) $150,000,000 to accelerate the development, 
        procurement, and integration of military nuclear weapons 
        delivery programs.
    (b) NNSA Appropriations.--In addition to amounts otherwise 
available, there are appropriated to the Administrator of the National 
Nuclear Security Administration for fiscal year 2025, out of any money 
in the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $200,000,000 to perform National Nuclear Security 
        Administration Phase 1 studies pursuant to section 3211 of the 
        National Nuclear Security Administration Act (50 U.S.C. 2401);
            (2) $540,000,000 to address deferred maintenance and repair 
        needs of the National Nuclear Security Administration pursuant 
        to section 3211 of the National Nuclear Security Administration 
        Act (50 U.S.C. 2401);
            (3) $1,000,000,000 to accelerate the construction of 
        National Nuclear Security Administration facilities pursuant to 
        section 3211 of the National Nuclear Security Administration 
        Act (50 U.S.C. 2401);
            (4) $400,000,000 to accelerate the development, 
        procurement, and integration of the warhead for the nuclear-
        armed sea-launched cruise missile pursuant to section 3211 of 
        the National Nuclear Security Administration Act (50 U.S.C. 
        2401);
            (5) $750,000,000 to accelerate primary capability 
        modernization pursuant to section 3211 of the National Nuclear 
        Security Administration Act (50 U.S.C. 2401);
            (6) $750,000,000 to accelerate secondary capability 
        modernization pursuant to section 3211 of the National Nuclear 
        Security Administration Act (50 U.S.C. 2401);
            (7) $120,000,000 to accelerate domestic uranium enrichment 
        centrifuge deployment for defense purposes pursuant to section 
        3211 of the National Nuclear Security Administration Act (50 
        U.S.C. 2401);
            (8) $10,000,000 for National Nuclear Security 
        Administration evaluation of spent fuel reprocessing 
        technology; and
            (9) $115,000,000 for accelerating nuclear national security 
        missions through artificial intelligence.

SEC. 20009. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES TO IMPROVE 
              CAPABILITIES OF UNITED STATES INDO-PACIFIC COMMAND.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Defense for fiscal year 2025, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $365,000,000 for Army exercises and operations in the 
        Western Pacific area of operations;
            (2) $53,000,000 for Special Operations Command exercises 
        and operations in the Western Pacific area of operations;
            (3) $47,000,000 for Marine Corps exercises and operations 
        in Western Pacific area of operations;
            (4) $90,000,000 for Air Force exercises and operations in 
        Western Pacific area of operations;
            (5) $532,600,000 for the Pacific Air Force biennial large-
        scale exercise;
            (6) $19,000,000 for the development of naval small craft 
        capabilities;
            (7) $35,000,000 for military additive manufacturing 
        capabilities in the United States Indo-Pacific Command area of 
        operations west of the international dateline;
            (8) $450,000,000 for the development of airfields within 
        the area of operations of United States Indo-Pacific Command;
            (9) $1,100,000,000 for development of infrastructure within 
        the area of operations of United States Indo-Pacific Command;
            (10) $124,000,000 for mission networks for United States 
        Indo-Pacific Command;
            (11) $100,000,000 for Air Force regionally based cluster 
        pre-position base kits;
            (12) $115,000,000 for exploration and development of 
        existing Arctic infrastructure;
            (13) $90,000,000 for the accelerated development of non-
        kinetic capabilities;
            (14) $20,000,000 for United States Indo-Pacific Command 
        military exercises;
            (15) $143,000,000 for anti-submarine sonar arrays;
            (16) $30,000,000 for surveillance and reconnaissance 
        capabilities for United States Africa Command;
            (17) $30,000,000 for surveillance and reconnaissance 
        capabilities for United States Indo-Pacific Command;
            (18) $500,000,000 for the development, coordination, and 
        deployment of economic competition effects within the 
        Department of Defense;
            (19) $10,000,000 for the expansion of Department of Defense 
        workforce for economic competition;
            (20) $1,000,000,000 for offensive cyber operations;
            (21) $500,000,000 for personnel and operations costs 
        associated with forces assigned to United States Indo-Pacific 
        Command;
            (22) $300,000,000 for the procurement of mesh network 
        communications capabilities for Special Operations Command 
        Pacific;
            (23) $850,000,000 for the replenishment of military 
        articles;
            (24) $200,000,000 for acceleration of Guam Defense System 
        program;
            (25) $68,000,000 for Space Force facilities improvements;
            (26) $150,000,000 for ground moving target indicator 
        military satellites;
            (27) $528,000,000 for DARC and SILENTBARKER military space 
        situational awareness programs;
            (28) $80,000,000 for Navy Operational Support Division;
            (29) $1,000,000,000 for the X-37B military spacecraft 
        program;
            (30) $3,650,000,000 for the development, procurement, and 
        integration of United States military satellites and the 
        protection of United States military satellites.
            (31) $125,000,000 for the development, procurement, and 
        integration of military space communications.
            (32) $350,000,000 for the development, procurement, and 
        integration of military space command and control systems.

SEC. 20010. ENHANCEMENT OF DEPARTMENT OF DEFENSE RESOURCES FOR 
              IMPROVING THE READINESS OF THE DEPARTMENT OF DEFENSE.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Defense for fiscal year 2025, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $1,400,000,000 for a pilot program on OPN-8 maritime 
        spares and repair rotable pool;
            (2) $700,000,000 for a pilot program on OPN-8 maritime 
        spares and repair rotable pool for amphibious ships;
            (3) $2,118,000,000 for spares and repairs to keep Air Force 
        aircraft mission capable;
            (4) $1,500,000,000 for Army depot modernization and 
        capacity enhancement;
            (5) $2,000,000,000 for Navy depot and shipyard 
        modernization and capacity enhancement;
            (6) $250,000,000 for Air Force depot modernization and 
        capacity enhancement;
            (7) $1,640,000,000 for Special Operations Command 
        equipment, readiness, and operations;
            (8) $500,000,000 for National Guard unit readiness;
            (9) $400,000,000 for Marine Corps readiness and 
        capabilities;
            (10) $20,000,000 for upgrades to Marine Corps utility 
        helicopters;
            (11) $310,000,000 for next-generation vertical lift, 
        assault, and intra-theater aeromedical evacuation aircraft;
            (12) $75,000,000 for the procurement of anti-lock braking 
        systems for Army wheeled transport vehicles;
            (13) $230,000,000 for the procurement of Army wheeled 
        combat vehicles;
            (14) $63,000,000 for the development of advanced rotary-
        wing engines;
            (15) $241,000,000 for the development, procurement, and 
        integration of Marine Corps amphibious vehicles;
            (16) $250,000,000 for the procurement of Army tracked 
        combat transport vehicles;
            (17) $98,000,000 for additional Army light rotary-wing 
        capabilities;
            (18) $1,500,000,000 for increased depot maintenance and 
        shipyard maintenance activities;
            (19) $2,500,000,000 for Air Force facilities sustainment, 
        restoration, and modernization;
            (20) $92,500,000 for the completion of Robotic Combat 
        Vehicle prototyping;
            (21) $125,000,000 for Army operations;
            (22) $10,000,000 for the Air Force Concepts, Development, 
        and Management Office; and
            (23) $320,000,000 for Joint Special Operations Command.

SEC. 20011. IMPROVING DEPARTMENT OF DEFENSE BORDER SUPPORT AND COUNTER-
              DRUG MISSIONS.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Defense for fiscal year 2025, out of any money in 
the Treasury not otherwise appropriated, to remain available until 
September 30, 2029, $1,000,000,000 for the deployment of military 
personnel in support of border operations, operations and maintenance 
activities in support of border operations, counter-narcotics and 
counter-transnational criminal organization mission support, the 
operation of national defense areas and construction in national 
defense areas, and the temporary detention of migrants on Department of 
Defense installations, in accordance with chapter 15 of title 10, 
United States Code.

SEC. 20012. DEPARTMENT OF DEFENSE OVERSIGHT.

    In addition to amounts otherwise available, there is appropriated 
to the Inspector General of the Department of Defense for fiscal year 
2025, out of any money in the Treasury not otherwise appropriated, 
$10,000,000, to remain available through September 30, 2029, to monitor 
Department of Defense activities for which funding is appropriated in 
this title, including--
            (1) programs with mutual technological dependencies;
            (2) programs with related data management and data 
        ownership considerations; and
            (3) programs particularly vulnerable to supply chain 
        disruptions and long lead time components.

SEC. 20013. MILITARY CONSTRUCTION PROJECTS AUTHORIZED.

    (a) Authorization of Appropriations.--Funds are hereby authorized 
to be appropriated for military construction, land acquisition, and 
military family housing functions of each military department (as 
defined in section 101(a) of title 10, United States Code) as specified 
in this title.
    (b) Spending Plan.--Not later than 30 days after the date of the 
enactment of this title, the Secretary of each military department 
shall submit to the Committees on Armed Services of the Senate and 
House of Representatives a detailed spending plan by project for all 
funds made available by this title to be expended on military 
construction projects.

      TITLE III--COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS

SEC. 30001. FUNDING CAP FOR THE BUREAU OF CONSUMER FINANCIAL 
              PROTECTION.

    Section 1017(a)(2)(A)(iii) of the Consumer Financial Protection Act 
of 2010 (12 U.S.C. 5497(a)(2)(A)(iii)) is amended by striking ``12'' 
and inserting ``6.5''.

SEC. 30002. RESCISSION OF FUNDS FOR GREEN AND RESILIENT RETROFIT 
              PROGRAM FOR MULTIFAMILY HOUSING.

    The unobligated balances of amounts made available under section 
30002(a) of the Act entitled ``An Act to provide for reconciliation 
pursuant to title II of S. Con. Res. 14'', approved August 16, 2022 
(Public Law 117-169; 136 Stat. 2027) are rescinded.

SEC. 30003. SECURITIES AND EXCHANGE COMMISSION RESERVE FUND.

    (a) In General.--Section 4 of the Securities Exchange Act of 1934 
(15 U.S.C. 78d) is amended--
            (1) by striking subsection (i); and
            (2) by redesignating subsections (j) and (k) as subsections 
        (i) and (j), respectively.
    (b) Technical and Conforming Amendment.--Section 21F(g)(2) of the 
Securities Exchange Act of 1934 (15 U.S.C. 78u-6(g)(2)) is amended to 
read as follows:
    ``(a) Use of Fund.--The Fund shall be available to the Commission, 
without further appropriation or fiscal year limitation, for paying 
awards to whistleblowers as provided in subsection (b).''.
    (c) Transition Provision.--During the period beginning on the date 
of enactment of this Act and ending on October 1, 2025, the Securities 
and Exchange Commission may expend amounts in the Securities and 
Exchange Commission Reserve Fund that were obligated before the date of 
enactment of this Act for any program, project, or activity that is 
ongoing (as of the day before the date of enactment of this Act) in 
accordance with subsection (i) of section 4 of the Securities Exchange 
Act of 1934 (15 U.S.C. 78d), as in effect on the day before the date of 
enactment of this Act.
    (d) Transfer of Remaining Amounts.--Effective on October 1, 2025, 
the obligated and unobligated balances of amounts in the Securities and 
Exchange Commission Reserve Fund shall be transferred to the general 
fund of the Treasury.
    (e) Closing of Account.--For the purposes of section 1555 of title 
31, United States Code, the Securities and Exchange Commission Reserve 
Fund shall be considered closed, and thereafter shall not be available 
for obligation or expenditure for any purpose, upon execution of the 
transfer required under subsection (d).

SEC. 30004. APPROPRIATIONS FOR DEFENSE PRODUCTION ACT.

    In addition to amounts otherwise available, there is appropriated 
for fiscal year 2025, out of amounts not otherwise appropriated, 
$1,000,000,000, to remain available until September 30, 2027, to carry 
out the Defense Production Act (50 U.S.C. 4501 et seq.).

      TITLE IV--COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION

SEC. 40001. COAST GUARD MISSION READINESS.

    (a) In General.--Chapter 11 of title 14, United States Code, is 
amended by adding at the end the following:

             ``Subchapter V--Coast Guard Mission Readiness

``Sec. 1181. Special appropriations
    ``In addition to amounts otherwise available, there is appropriated 
to the Coast Guard for fiscal year 2025, out of any money in the 
Treasury not otherwise appropriated, $24,593,500,000, to remain 
available until September 30, 2029, notwithstanding paragraphs (1) and 
(2) of section 1105(a) and sections 1131, 1132, 1133, and 1156, to use 
expedited processes to procure or acquire new operational assets and 
systems, to maintain existing assets and systems, to design, construct, 
plan, engineer, and improve necessary shore infrastructure, and to 
enhance operational resilience for monitoring, search and rescue, 
interdiction, hardening of maritime approaches, and navigational 
safety, of which--
            ``(1) $1,142,500,000 is provided for procurement and 
        acquisition of fixed-wing aircraft, equipment related to such 
        aircraft and training simulators and program management for 
        such aircraft, to provide for security of the maritime border;
            ``(2) $2,283,000,000 is provided for procurement and 
        acquisition of rotary-wing aircraft, equipment related to such 
        aircraft and training simulators and program management for 
        such aircraft, to provide for security of the maritime border;
            ``(3) $266,000,000 is provided for procurement and 
        acquisition of long-range unmanned aircraft and base stations, 
        equipment related to such aircraft and base stations, and 
        program management for such aircraft and base stations, to 
        provide for security of the maritime border;
            ``(4) $4,300,000,000 is provided for procurement of 
        Offshore Patrol Cutters, equipment related to such cutters, and 
        program management for such cutters, to provide operational 
        presence and security of the maritime border and for 
        interdiction of persons and controlled substances;
            ``(5) $1,000,000,000 is provided for procurement of Fast 
        Response Cutters, equipment related to such cutters, and 
        program management for such cutters, to provide operational 
        presence and security of the maritime border and for 
        interdiction of persons and controlled substances;
            ``(6) $4,300,000,000 is provided for procurement of Polar 
        Security Cutters, equipment related to such cutters, and 
        program management for such cutters, to ensure timely presence 
        of the Coast Guard in the Arctic and Antarctic regions;
            ``(7) $3,500,000,000 is provided for procurement of Arctic 
        Security Cutters, equipment related to such cutters, and 
        program management for such cutters, to ensure timely presence 
        of the Coast Guard in the Arctic and Antarctic regions;
            ``(8) $816,000,000 is provided for procurement of light and 
        medium icebreaking cutters, and equipment relating to such 
        cutters, from shipyards that have demonstrated success in the 
        cost-effective application of design standards and in 
        delivering, on schedule and within budget, vessels of a size 
        and tonnage that are not less than the size and tonnage of the 
        cutters described in this paragraph, and for program management 
        for such cutters, to expand domestic icebreaking capacity;
            ``(9) $162,000,000 is provided for procurement of Waterways 
        Commerce Cutters, equipment related to such cutters, and 
        program management for such cutters, to support aids to 
        navigation, waterways and coastal security, and search and 
        rescue in inland waterways;
            ``(10) $4,379,000,000 is provided for design, planning, 
        engineering, recapitalization, construction, rebuilding, and 
        improvement of, and program management for, shore facilities, 
        of which--
                    ``(A) $425,000,000 is provided for design, 
                planning, engineering, construction of, and program 
                management for--
                            ``(i) the enlisted boot camp barracks and 
                        multi-use training center; and
                            ``(ii) other related facilities at the 
                        enlisted boot camp;
                    ``(B) $500,000,000 is provided for--
                            ``(i) construction, improvement, and 
                        dredging at the Coast Guard Yard; and
                            ``(ii) acquisition of a floating drydock 
                        for the Coast Guard Yard;
                    ``(C) not more than $2,729,500,000 is provided for 
                homeports and hangars for cutters and aircraft for 
                which funds are appropriated under paragraph (1) 
                through (9); and
                    ``(D) $300,000,000 is provided for homeporting of 
                the existing polar icebreaker commissioned into service 
                in 2025;
            ``(11) $2,200,000,000 is provided for aviation, cutter, and 
        shore facility depot maintenance and maintenance of command, 
        control, communication, computer, and cyber assets;
            ``(12) $170,000,000 is provided for improving maritime 
        domain awareness on the maritime border, at United States 
        ports, at land-based facilities and in the cyber domain; and
            ``(13) $75,000,000 is provided to contract the services of, 
        acquire, or procure autonomous maritime systems.''.
    (b) Technical and Conforming Amendment.--The analysis for chapter 
11 of title 14, United States Code, is amended by adding at the end the 
following:

             ``subchapter v--coast guard mission readiness

``1181. Special appropriations.''.

SEC. 40002. SPECTRUM AUCTIONS.

    (a) Definitions.--In this section:
            (1) Assistant secretary.--The term ``Assistant Secretary'' 
        means the Assistant Secretary of Commerce for Communications 
        and Information.
            (2) Commission.--The term ``Commission'' means the Federal 
        Communications Commission.
            (3) Covered band.--The term ``covered band''--
                    (A) except as provided in subparagraph (B), means 
                the band of frequencies between 1.3 gigahertz and 10.5 
                gigahertz; and
                    (B) does not include--
                            (i) the band of frequencies between 3.1 
                        gigahertz and 3.45 gigahertz for purposes of 
                        auction, reallocation, modification, or 
                        withdrawal; or
                            (ii) the band of frequencies between 7.4 
                        gigahertz and 8.4 gigahertz for purposes of 
                        auction, reallocation, modification, or 
                        withdrawal.
            (4) Full-power commercial licensed use cases.--The term 
        ``full-power commercial licensed use cases'' means flexible use 
        wireless broadband services with base station power levels 
        sufficient for high-power, high-density, and wide-area 
        commercial mobile services, consistent with the service rules 
        under part 27 of title 47, Code of Federal Regulations, or any 
        successor regulations, for wireless broadband deployments 
        throughout the covered band.
    (b) General Auction Authority.--
            (1) Amendment.--Section 309(j)(11) of the Communications 
        Act of 1934 (47 U.S.C. 309(j)(11)) is amended by striking 
        ``grant a license or permit under this subsection shall expire 
        March 9, 2023'' and all that follows and inserting the 
        following: "complete a system of competitive bidding under this 
        subsection shall expire September 30, 2034, except that, with 
        respect to the electromagnetic spectrum-- ``
                    ``(A) between the frequencies of 3.1 gigahertz and 
                3.45 gigahertz, such authority shall not apply; and
                    ``(B) between the frequencies of 7.4 gigahertz and 
                8.4 gigahertz, such authority shall not apply.''.
            (2) Spectrum auctions.--The Commission shall grant licenses 
        through systems of competitive bidding, before the expiration 
        of the general auction authority of the Commission under 
        section 309(j)(11) of the Communications Act of 1934 (47 U.S.C. 
        309(j)(11)), as amended by paragraph (1) of this subsection, 
        for not less than 300 megahertz, including by completing a 
        system of competitive bidding not later than 2 years after the 
        date of enactment of this Act for not less than 100 megahertz 
        in the band between 3.98 gigahertz and 4.2 gigahertz.
    (c) Identification for Reallocation.--
            (1) In general.--The Assistant Secretary, in consultation 
        with the Commission, shall identify 500 megahertz of 
        frequencies in the covered band for reallocation to non-Federal 
        use, shared Federal and non-Federal use, or a combination 
        thereof, for full-power commercial licensed use cases, that--
                    (A) as of the date of enactment of this Act, are 
                allocated for Federal use; and
                    (B) shall be in addition to the 300 megahertz of 
                frequencies for which the Commission grants licenses 
                under subsection (b)(2).
            (2) Schedule.--The Assistant Secretary shall identify the 
        frequencies under paragraph (1) according to the following 
        schedule:
                    (A) Not later than 2 years after the date of 
                enactment of this Act, the Assistant Secretary shall 
                identify not less than 200 megahertz of frequencies 
                within the covered band.
                    (B) Not later than 4 years after the date of 
                enactment of this Act, the Assistant Secretary shall 
                identify any remaining bandwidth required to be 
                identified under paragraph (1).
            (3) Required analysis.--
                    (A) In general.--In determining under paragraph (1) 
                which specific frequencies within the covered band to 
                reallocate, the Assistant Secretary shall determine the 
                feasibility of the reallocation of frequencies.
                    (B) Requirements.--In conducting the analysis under 
                subparagraph (A), the Assistant Secretary shall assess 
                net revenue potential, relocation or sharing costs, as 
                applicable, and the feasibility of reallocating 
                specific frequencies, with the goal of identifying the 
                best approach to maximize net proceeds of systems of 
                competitive bidding for the Treasury, consistent with 
                section 309(j) of the Communications Act of 1934 (47 
                U.S.C. 309(j)).
    (d) Auctions.--The Commission shall grant licenses for the 
frequencies identified for reallocation under subsection (c) through 
systems of competitive bidding in accordance with the following 
schedule:
            (1) Not later than 4 years after the date of enactment of 
        this Act, the Commission shall, after notifying the Assistant 
        Secretary, complete 1 or more systems of competitive bidding 
        for not less than 200 megahertz of the frequencies.
            (2) Not later than 8 years after the date of enactment of 
        this Act, the Commission shall, after notifying the Assistant 
        Secretary, complete 1 or more systems of competitive bidding 
        for any frequencies identified under subsection (c) that remain 
        to be auctioned after compliance with paragraph (1) of this 
        subsection.
    (e) Limitation.--The President shall modify or withdraw any 
frequency proposed for reallocation under this section not later than 
60 days before the commencement of a system of competitive bidding 
scheduled by the Commission with respect to that frequency, if the 
President determines that such modification or withdrawal is necessary 
to protect the national security of the United States.
    (f) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Department of Commerce for fiscal year 
2025, out of any money in the Treasury not otherwise appropriated, 
$50,000,000, to remain available through September 30, 2034, to provide 
additional support to the Assistant Secretary to--
            (1) conduct a timely spectrum analysis of the bands of 
        frequencies--
                    (A) between 2.7 gigahertz and 2.9 gigahertz;
                    (B) between 4.4 gigahertz and 4.9 gigahertz; and
                    (C) between 7.25 gigahertz and 7.4 gigahertz; and
            (2) publish a biennial report, with the last report to be 
        published not later than June 30, 2034, on the value of all 
        spectrum used by Federal entities (as defined in section 113(l) 
        of the National Telecommunications and Information 
        Administration Organization Act (47 U.S.C. 923(l))), that 
        assesses the value of bands of frequencies in increments of not 
        more than 100 megahertz.

SEC. 40003. AIR TRAFFIC CONTROL IMPROVEMENTS.

    (a) In General.--For the purpose of the acquisition, construction, 
sustainment, and improvement of facilities and equipment necessary to 
improve or maintain aviation safety, in addition to amounts otherwise 
made available, there is appropriated to the Administrator of the 
Federal Aviation Administration for fiscal year 2025, out of any money 
in the Treasury not otherwise appropriated, to remain available until 
September 30, 2029--
            (1) $4,750,000,000 for telecommunications infrastructure 
        modernization and systems upgrades;
            (2) $3,000,000,000 for radar systems replacement;
            (3) $500,000,000 for runway safety technologies, runway 
        lighting systems, airport surface surveillance technologies, 
        and to carry out section 347 of the FAA Reauthorization Act of 
        2024;
            (4) $300,000,000 for Enterprise Information Display 
        Systems;
            (5) $80,000,000 to acquire and install not less than 50 
        Automated Weather Observing Systems, to acquire and install not 
        less than 60 Visual Weather Observing Systems, to acquire and 
        install not less than 64 weather camera sites, and to acquire 
        and install weather stations;
            (6) $40,000,000 to carry out section 44745 of title 49, 
        United States Code, (except for activities described in 
        paragraph (5));
            (7) $1,900,000,000 for necessary actions to construct a new 
        air route traffic control center (in this subsection referred 
        to as ``ARTCC''):  Provided, That not more than 2 percent of 
        such amount is used for planning or administrative purposes:  
        Provided further, That at least 3 existing ARTCCs are divested 
        and integrated into the newly constructed ARTCC;
            (8) $100,000,000 to conduct an ARTCC Realignment and 
        Consolidation Effort under which at least 10 existing ARTCCs 
        are closed or consolidated to facilitate recapitalization of 
        ARTCC facilities owned and operated by the Federal Aviation 
        Administration;
            (9) $1,000,000,000 to support recapitalization and 
        consolidation of terminal radar approach control facilities (in 
        this subsection referred to as ``TRACONs''), the analysis and 
        identification of TRACONs for divestment, consolidation, or 
        integration, planning, site selection, facility acquisition, 
        and transition activities and other appropriate activities for 
        carrying out such divestment, consolidation, or integration, 
        and the establishment of brand new TRACONs;
            (10) $350,000,000 for unstaffed infrastructure sustainment 
        and replacement;
            (11) $50,000,000 to carry out section 961 of the FAA 
        Reauthorization Act of 2024;
            (12) $300,000,000 to carry out section 619 of the FAA 
        Reauthorization Act of 2024;
            (13) $50,000,000 to carry out section 621 of the FAA 
        Reauthorization Act of 2024 and to deploy remote tower 
        technology at untowered airports; and
            (14) $100,000,000 for air traffic controller advanced 
        training technologies.
    (b) Quarterly Reporting.--Not later than 180 days after the date of 
enactment of this Act, and every 90 days thereafter, the Administrator 
of the Federal Aviation Administration shall submit to Congress a 
report that describes any expenditures under this section.

SEC. 40004. SPACE LAUNCH AND REENTRY LICENSING AND PERMITTING USER 
              FEES.

    (a) In General.--Chapter 509 of title 51, United States Code, is 
amended by adding at the end the following new section:
``Sec. 50924. Space launch and reentry licensing and permitting user 
              fees
    ``(a) Fees.--
            ``(1) In general.--The Secretary of Transportation shall 
        impose a fee, which shall be deposited in the account 
        established under subsection (b), on each launch or reentry 
        carried out under a license or permit issued under section 
        50904 during 2026 or a subsequent year, in an amount equal to 
        the lesser of--
                    ``(A) the amount specified in paragraph (2) for the 
                year involved per pound of the weight of the payload; 
                or
                    ``(B) the amount specified in paragraph (3) for the 
                year involved.
            ``(2) Paragraph (2) specified amount.--The amount specified 
        in this paragraph is--
                    ``(A) for 2026, $0.25;
                    ``(B) for 2027, $0.35;
                    ``(C) for 2028, $0.50;
                    ``(D) for 2029, $0.60;
                    ``(E) for 2030, $0.75;
                    ``(F) for 2031, $1;
                    ``(G) for 2032, $1.25;
                    ``(H) for 2033, $1.50; and
                    ``(I) for 2034 and each subsequent year, the amount 
                specified in this paragraph for the previous year 
                increased by the percentage increase in the consumer 
                price index for all urban consumers (all items; United 
                States city average) over the previous year.
            ``(3) Paragraph (3) specified amount.--The amount specified 
        in this paragraph is--
                    ``(A) for 2026, $30,000;
                    ``(B) for 2027, $40,000;
                    ``(C) for 2028, $50,000;
                    ``(D) for 2029, $75,000;
                    ``(E) for 2030, $100,000;
                    ``(F) for 2031, $125,000;
                    ``(G) for 2032, $170,000;
                    ``(H) for 2033, $200,000; and
                    ``(I) for 2034 and each subsequent year, the amount 
                specified in this paragraph for the previous year 
                increased by the percentage increase in the consumer 
                price index for all urban consumers (all items; United 
                States city average) over the previous year.
    ``(b) Office of Commercial Space Transportation Launch and Reentry 
Licensing and Permitting Fund.--There is established in the Treasury of 
the United States a separate account, which shall be known as the 
`Office of Commercial Space Transportation Launch and Reentry Licensing 
and Permitting Fund', for the purposes of expenses of the Office of 
Commercial Space Transportation of the Federal Aviation Administration 
and to carry out section 630(b) of the FAA Reauthorization Act of 2024. 
70 percent of the amounts deposited into the fund shall be available 
for such purposes and shall be available without further appropriation 
and without fiscal year limitation.''.
    (b) Clerical Amendment.--The table of sections for chapter 509 of 
title 51, United States Code, is amended by inserting after the item 
relating to section 50923 the following:

``50924. Space launch and reentry licensing and permitting user 
                            fees.''.

SEC. 40005. MARS MISSIONS, ARTEMIS MISSIONS, AND MOON TO MARS PROGRAM.

    (a) In General.--Chapter 203 of title 51, United States Code, is 
amended by adding at the end the following:
``Sec. 20306. Special appropriations for Mars missions, Artemis 
              missions, and Moon to Mars program
    ``(a) In General.--In addition to amounts otherwise available, 
there is appropriated to the Administration for fiscal year 2025, out 
of any money in the Treasury not otherwise appropriated, 
$9,995,000,000, to remain available until September 30, 2032, to use as 
follows:
            ``(1) $700,000,000, to be obligated not later than fiscal 
        year 2026, for the procurement, using a competitively bid, firm 
        fixed-price contract with a United States commercial provider 
        (as defined in section 50101(7)), of a high-performance Mars 
        telecommunications orbiter--
                    ``(A) that--
                            ``(i) is capable of providing robust, 
                        continuous communications for--
                                    ``(I) a Mars sample return mission, 
                                as described in section 432(3)(C) of 
                                the National Aeronautics and Space 
                                Administration Transition Authorization 
                                Act of 2017 (51 U.S.C. 20302 note; 
                                Public Law 115-10); and
                                    ``(II) future Mars surface, 
                                orbital, and human exploration 
                                missions;
                            ``(ii) supports autonomous operations, 
                        onboard processing, and extended mission 
                        duration capabilities; and
                            ``(iii) is selected from among the 
                        commercial proposals that--
                                    ``(I) received funding from the 
                                Administration in fiscal year 2024 or 
                                2025 for commercial design studies for 
                                Mars Sample Return; and
                                    ``(II) proposed a separate, 
                                independently launched Mars 
                                telecommunication orbiter supporting an 
                                end-to-end Mars sample return mission; 
                                and
                    ``(B) which shall be delivered to the 
                Administration not later than December 31, 2028.
            ``(2) $2,600,000,000 to meet the requirements of section 
        20302(a) using the program of record known, as of the date of 
        the enactment of this section, as `Gateway', and as described 
        in section 10811(b)(2)(B)(iv) of the National Aeronautics and 
        Space Administration Authorization Act of 2022 (51 U.S.C. 20302 
        note; Public Law 117-167), of which not less than $750,000,000 
        shall be obligated for each of fiscal years 2026, 2027, and 
        2028.
            ``(3) $4,100,000,000 for expenses related to meeting the 
        requirements of section 10812 of the National Aeronautics and 
        Space Administration Authorization Act of 2022 (51 U.S.C. 
        20301; Public Law 117-167) for the procurement, transportation, 
        integration, operation, and other necessary expenses of the 
        Space Launch System for Artemis Missions IV and V, of which not 
        less than $1,025,000,000 shall be obligated for each of fiscal 
        years 2026, 2027, 2028, and 2029.
            ``(4) $20,000,000 for expenses related to the continued 
        procurement of the multi-purpose crew vehicle described in 
        section 303 of the National Aeronautics and Space 
        Administration Authorization Act of 2010 (42 U.S.C. 18323), 
        known as the `Orion', for use with the Space Launch System on 
        the Artemis IV Mission and reuse in subsequent Artemis 
        Missions, of which not less than $20,000,000 shall be obligated 
        not later than fiscal year 2026.
            ``(5) $1,250,000,000 for expenses related to the operation 
        of the International Space Station and for the purpose of 
        meeting the requirement under section 503(a) of the National 
        Aeronautics and Space Administration Authorization Act of 2010 
        (42 U.S.C. 18353(a)), of which not less than $250,000,000 shall 
        be obligated for such expenses for each of fiscal years 2025, 
        2026, 2027, 2028, and 2029.
            ``(6) $1,000,000,000 for infrastructure improvements at the 
        manned spaceflight centers of the Administration, of which not 
        less than--
                    ``(A) $120,000,000 shall be obligated not later 
                than fiscal year 2026 for construction, revitalization, 
                recapitalization, or other infrastructure projects and 
                improvements at the center described in Executive Order 
                12641 (53 Fed. Reg. 18816; relating to designating 
                certain facilities of the National Aeronautics and 
                Space Administration in the State of Mississippi as the 
                John C. Stennis Space Center);
                    ``(B) $250,000,000 shall be obligated not later 
                than fiscal year 2026 for construction, revitalization, 
                recapitalization, or other infrastructure projects and 
                improvements at the center described in Executive Order 
                11129 (28 Fed. Reg. 12787; relating to designating 
                certain facilities of the National Aeronautics and 
                Space Administration and of the Department of Defense, 
                in the State of Florida, as the John F. Kennedy Space 
                Center);
                    ``(C) $300,000,000 shall be obligated not later 
                than fiscal year 2026 for construction, revitalization, 
                recapitalization, or other infrastructure projects and 
                improvements at the center described in the Joint 
                Resolution entitled `Joint Resolution to designate the 
                Manned Spacecraft Center in Houston, Texas, as the 
                ``Lyndon B. Johnson Space Center'' in honor of the late 
                President', approved February 17, 1973 (Public Law 93-
                8; 87 Stat. 7);
                    ``(D) $100,000,000 shall be obligated not later 
                than fiscal year 2026 for construction, revitalization, 
                recapitalization, or other infrastructure projects and 
                improvements at the center described in Executive Order 
                10870 (25 Fed. Reg. 2197; relating to designating the 
                facilities of the National Aeronautics and Space 
                Administration at Huntsville, Alabama, as the George C. 
                Marshall Space Flight Center);
                    ``(E) $30,000,000 shall be obligated not later than 
                fiscal year 2026 for construction, revitalization, 
                recapitalization, or other infrastructure projects and 
                improvements at the Michoud Assembly Facility in New 
                Orleans, Louisiana; and
                    ``(F) $85,000,000 shall be obligated to carry out 
                subsection (b), of which not less than $5,000,000 shall 
                be obligated for the transportation of the space 
                vehicle described in that subsection, with the 
                remainder transferred not later than the date that is 
                18 months after the date of the enactment of this 
                section to the entity designated under that subsection, 
                for the purpose of construction of a facility to house 
                the space vehicle referred to in that subsection.
            ``(7) $325,000,000 to fulfill contract number 80JSC024CA002 
        issued by the National Aeronautics and Space Administration on 
        June 26, 2024.
    ``(b) Space Vehicle Transfer.--
            ``(1) In general.--Not later than 30 days after the date of 
        the enactment of this section, the Administrator shall identify 
        a space vehicle described in paragraph (2) to be--
                    ``(A) transferred to a field center of the 
                Administration that is involved in the administration 
                of the Commercial Crew Program (as described in section 
                302 of the National Aeronautics and Space 
                Administration Transition Authorization Act of 2017 (51 
                U.S.C. 50111 note; Public Law 115-10)); and
                    ``(B) placed on public exhibition at an entity 
                within the Metropolitan Statistical Area where such 
                center is located.
            ``(2) Space vehicle described.--A space vehicle described 
        in this paragraph is a vessel that--
                    ``(A) has flown into space;
                    ``(B) has carried astronauts; and
                    ``(C) is selected with the concurrence of an entity 
                designated by the Administrator.
            ``(3) Transfer.--Not later than 18 months after the date of 
        the enactment of this section, the space vehicle identified 
        under paragraph (1) shall be transferred to an entity 
        designated by the Administrator.
    ``(c) Obligation of Funds.--Funds appropriated under subsection (a) 
shall be obligated as follows:
            ``(1) Not less than 50 percent of the total funds in 
        subsection (a) shall be obligated not later than September 30, 
        2028.
            ``(2) 100 percent of funds shall be obligated not later 
        than September 30, 2029.
            ``(3) All associated outlays shall occur not later than 
        September 30, 2034.''.
    (b) Clerical Amendment.--The table of sections for chapter 203 of 
title 51, United States Code, is amended by adding at the end the 
following:

``20306. Special appropriations for Mars missions, Artemis missions, 
                            and Moon to Mars program.''.

SEC. 40006. CORPORATE AVERAGE FUEL ECONOMY CIVIL PENALTIES.

    (a) In General.--Section 32912 of title 49, United States Code, is 
amended--
            (1) in subsection (b), in the matter preceding paragraph 
        (1), by striking ``$5'' and inserting ``$0.00''; and
            (2) in subsection (c)(1)(B), by striking ``$10'' and 
        inserting ``$0.00''.
    (b) Effect; Applicability.--The amendments made by subsection (a) 
shall--
            (1) take effect on the date of enactment of this section; 
        and
            (2) apply to all model years of a manufacturer for which 
        the Secretary of Transportation has not provided a notification 
        pursuant to section 32903(b)(2)(B) of title 49, United States 
        Code, specifying the penalty due for the average fuel economy 
        of that manufacturer being less than the applicable standard 
        prescribed under section 32902 of that title.

SEC. 40007. PAYMENTS FOR LEASE OF METROPOLITAN WASHINGTON AIRPORTS.

    Section 49104(b) of title 49, United States Code, is amended to 
read as follows:
    ``(b) Payments.--
            ``(1) In general.--Subject to paragraph (2), under the 
        lease, the Airports Authority must pay to the general fund of 
        the Treasury annually an amount, computed using the GNP Price 
        Deflator--
                    ``(A) during the period from 1987 to 2026, equal to 
                $3,000,000 in 1987 dollars; and
                    ``(B) for 2027 and subsequent years, equal to 
                $15,000,000 in 2027 dollars.
            ``(2) Renegotiation.--The Secretary and the Airports 
        Authority shall renegotiate the level of lease payments at 
        least once every 10 years to ensure that in no year the amount 
        specified in paragraph (1)(B) is less than $15,000,000 in 2027 
        dollars.''.

SEC. 40008. RESCISSION OF CERTAIN AMOUNTS FOR THE NATIONAL OCEANIC AND 
              ATMOSPHERIC ADMINISTRATION.

    Any unobligated balances of amounts appropriated or otherwise made 
available by sections 40001, 40002, 40003, and 40004 of Public Law 117-
169 (136 Stat. 2028) are hereby rescinded.

SEC. 40009. REDUCTION IN ANNUAL TRANSFERS TO TRAVEL PROMOTION FUND.

    Subsection (d)(2)(B) of the Travel Promotion Act of 2009 (22 U.S.C. 
2131(d)(2)(B)) is amended by striking ``$100,000,000'' and inserting 
``$20,000,000''.

SEC. 40010. TREATMENT OF UNOBLIGATED FUNDS FOR ALTERNATIVE FUEL AND 
              LOW-EMISSION AVIATION TECHNOLOGY.

    Out of the amounts made available by section 40007(a) of title IV 
of Public Law 117-169 (49 U.S.C. 44504 note), any unobligated balances 
of such amounts are hereby rescinded.

SEC. 40011. RESCISSION OF AMOUNTS APPROPRIATED TO PUBLIC WIRELESS 
              SUPPLY CHAIN INNOVATION FUND.

    Of the unobligated balances of amounts made available under section 
106(a) of the CHIPS Act of 2022 (Public Law 117-167; 136 Stat. 1392), 
$850,000,000 are permanently rescinded.

           TITLE V--COMMITTEE ON ENERGY AND NATURAL RESOURCES

                    Subtitle A--Oil and Gas Leasing

SEC. 50101. ONSHORE OIL AND GAS LEASING.

    (a) Repeal of Inflation Reduction Act Provisions.--
            (1) Onshore oil and gas royalty rates.--Subsection (a) of 
        section 50262 of Public Law 117-169 (136 Stat. 2056) is 
        repealed, and any provision of law amended or repealed by that 
        subsection is restored or revived as if that subsection had not 
        been enacted into law.
            (2) Noncompetitive leasing.--Subsection (e) of section 
        50262 of Public Law 117-169 (136 Stat. 2057) is repealed, and 
        any provision of law amended or repealed by that subsection is 
        restored or revived as if that subsection had not been enacted 
        into law.
    (b) Requirement to Immediately Resume Onshore Oil and Gas Lease 
Sales.--
            (1) In general.--The Secretary of the Interior shall 
        immediately resume quarterly onshore oil and gas lease sales in 
        compliance with the Mineral Leasing Act (30 U.S.C. 181 et 
        seq.).
            (2) Requirement.--The Secretary of the Interior shall 
        ensure--
                    (A) that any oil and gas lease sale required under 
                paragraph (1) is conducted immediately on completion of 
                all applicable scoping, public comment, and 
                environmental analysis requirements under the Mineral 
                Leasing Act (30 U.S.C. 181 et seq.) and the National 
                Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
                seq.); and
                    (B) that the processes described in subparagraph 
                (A) are conducted in a timely manner to ensure 
                compliance with subsection (b)(1).
            (3) Lease of oil and gas lands.--Section 17(b)(1)(A) of the 
        Mineral Leasing Act (30 U.S.C. 226(b)(1)(A)), as amended by 
        subsection (a), is amended by inserting ``For purposes of the 
        previous sentence, the term `eligible lands' means all lands 
        that are subject to leasing under this Act and are not excluded 
        from leasing by a statutory prohibition, and the term 
        `available', with respect to eligible lands, means those lands 
        that have been designated as open for leasing under a land use 
        plan developed under section 202 of the Federal Land Policy and 
        Management Act of 1976 (43 U.S.C. 1712) and that have been 
        nominated for leasing through the submission of an expression 
        of interest, are subject to drainage in the absence of leasing, 
        or are otherwise designated as available pursuant to 
        regulations adopted by the Secretary.'' after ``sales are 
        necessary.''.
    (c) Quarterly Lease Sales.--
            (1) In general.--In accordance with the Mineral Leasing Act 
        (30 U.S.C. 181 et seq.), each fiscal year, the Secretary of the 
        Interior shall conduct a minimum of 4 oil and gas lease sales 
        of available land in each of the following States:
                    (A) Wyoming.
                    (B) New Mexico.
                    (C) Colorado.
                    (D) Utah.
                    (E) Montana.
                    (F) North Dakota.
                    (G) Oklahoma.
                    (H) Nevada.
                    (I) Alaska.
            (2) Requirement.--In conducting a lease sale under 
        paragraph (1) in a State described in that paragraph, the 
        Secretary of the Interior--
                    (A) shall offer not less than 50 percent of 
                available parcels nominated for oil and gas development 
                under the applicable resource management plan in effect 
                for relevant Bureau of Land Management resource 
                management areas within the applicable State; and
                    (B) shall not restrict the parcels offered to 1 
                Bureau of Land Management field office within the 
                applicable State unless all nominated parcels are 
                located within the same Bureau of Land Management field 
                office.
            (3) Replacement sales.--The Secretary of the Interior shall 
        conduct a replacement sale during the same fiscal year if--
                    (A) a lease sale under paragraph (1) is canceled, 
                delayed, or deferred, including for a lack of eligible 
                parcels; or
                    (B) during a lease sale under paragraph (1) the 
                percentage of acreage that does not receive a bid is 
                equal to or greater than 25 percent of the acreage 
                offered.
    (d) Mineral Leasing Act Reforms.--Section 17 of the Mineral Leasing 
Act (30 U.S.C. 226), as amended by subsection (a), is amended--
            (1) by striking the section designation and all that 
        follows through the end of subsection (a) and inserting the 
        following:

``SEC. 17. LEASING OF OIL AND GAS PARCELS.

    ``(a) Leasing Authorized.--
            ``(1) In general.--Any parcel of land subject to 
        disposition under this Act that is known or believed to contain 
        oil or gas deposits shall be made available for leasing, 
        subject to paragraph (2), by the Secretary of the Interior, not 
        later than 18 months after the date of receipt by the Secretary 
        of an expression of interest in leasing the applicable parcel 
        of land available for disposition under this section, if the 
        Secretary determines that the parcel of land is open to oil or 
        gas leasing under the approved resource management plan 
        applicable to the planning area in which the parcel of land is 
        located that is in effect on the date on which the expression 
        of interest was submitted to the Secretary (referred to in this 
        subsection as the `approved resource management plan').
            ``(2) Resource management plans.--
                    ``(A) Lease terms and conditions.--A lease issued 
                by the Secretary under this section with respect to an 
                applicable parcel of land made available for leasing 
                under paragraph (1)--
                            ``(i) shall be subject to the terms and 
                        conditions of the approved resource management 
                        plan; and
                            ``(ii) may not require any stipulations or 
                        mitigation requirements not included in the 
                        approved resource management plan.
                    ``(B) Effect of amendment.--The initiation of an 
                amendment to an approved resource management plan shall 
                not prevent or delay the Secretary from making the 
                applicable parcel of land available for leasing in 
                accordance with that approved resource management plan 
                if the other requirements of this section have been 
                met, as determined by the Secretary.'';
            (2) in subsection (p), by adding at the end the following:
            ``(4) Term.--A permit to drill approved under this 
        subsection shall be valid for a single, non-renewable 4-year 
        period beginning on the date that the permit to drill is 
        approved.''; and
            (3) by striking subsection (q) and inserting the following:
    ``(q) Commingling of Production.--The Secretary of the Interior 
shall approve applications allowing for the commingling of production 
from 2 or more sources (including the area of an oil and gas lease, the 
area included in a drilling spacing unit, a unit participating area, a 
communitized area, or non-Federal property) before production reaches 
the point of royalty measurement regardless of ownership, the royalty 
rates, and the number or percentage of acres for each source if the 
applicant agrees to install measurement devices for each source, 
utilize an allocation method that achieves volume measurement 
uncertainty levels within plus or minus 2 percent during the production 
phase reported on a monthly basis, or utilize an approved periodic well 
testing methodology. Production from multiple oil and gas leases, 
drilling spacing units, communitized areas, or participating areas from 
a single wellbore shall be considered a single source. Nothing in this 
subsection shall prevent the Secretary of the Interior from continuing 
the current practice of exercising discretion to authorize higher 
percentage volume measurement uncertainty levels if appropriate 
technical and economic justifications have been provided.''.

SEC. 50102. OFFSHORE OIL AND GAS LEASING.

    (a) Lease Sales.--
            (1) Gulf of america region.--
                    (A) In general.--Notwithstanding the 2024-2029 
                National Outer Continental Shelf Oil and Gas Leasing 
                Program (and any successor leasing program that does 
                not satisfy the requirements of this section), in 
                addition to lease sales which may be held under that 
                program, and except within areas subject to existing 
                oil and gas leasing moratoria, the Secretary of the 
                Interior shall conduct a minimum of 30 region-wide oil 
                and gas lease sales, in a manner consistent with the 
                schedule described in subparagraph (B), in the region 
                identified in the map depicting lease terms and 
                economic conditions accompanying the final notice of 
                sale of the Bureau of Ocean Energy Management entitled 
                ``Gulf of Mexico Outer Continental Shelf Region-Wide 
                Oil and Gas Lease Sale 254'' (85 Fed. Reg. 8010 
                (February 12, 2020)).
                    (B) Timing requirement.--Of the not fewer than 30 
                region-wide lease sales required under this paragraph, 
                the Secretary of the Interior shall--
                            (i) hold not fewer than 1 lease sale in the 
                        region described in subparagraph (A) by 
                        December 15, 2025;
                            (ii) hold not fewer than 2 lease sales in 
                        that region in each of calendar years 2026 
                        through 2039, 1 of which shall be held by March 
                        15 of the applicable calendar year and 1 of 
                        which shall be held after March 15 but not 
                        later than August 15 of the applicable calendar 
                        year; and
                            (iii) hold not fewer than 1 lease sale in 
                        that region in calendar year 2040, which shall 
                        be held by March 15, 2040.
            (2) Alaska region.--
                    (A) In general.--The Secretary of the Interior 
                shall conduct a minimum of 6 offshore lease sales, in a 
                manner consistent with the schedule described in 
                subparagraph (B), in the Cook Inlet Planning Area as 
                identified in the 2017-2022 Outer Continental Shelf Oil 
                and Gas Leasing Proposed Final Program published on 
                November 18, 2016, by the Bureau of Ocean Energy 
                Management (as announced in the notice of availability 
                of the Bureau of Ocean Energy Management entitled 
                ``Notice of Availability of the 2017-2022 Outer 
                Continental Shelf Oil and Gas Leasing Proposed Final 
                Program'' (81 Fed. Reg. 84612 (November 23, 2016))).
                    (B) Timing requirement.--Of the not fewer than 6 
                lease sales required under this paragraph, the 
                Secretary of the Interior shall hold not fewer than 1 
                lease sale in the area described in subparagraph (A) in 
                each of calendar years 2026 through 2028, and in each 
                of calendar years 2030 through 2032, by March 15 of the 
                applicable calendar year.
    (b) Requirements.--
            (1) Terms and stipulations for gulf of america sales.--In 
        conducting lease sales under subsection (a)(1), the Secretary 
        of the Interior--
                    (A) shall, subject to subparagraph (C), offer the 
                same lease form, lease terms, economic conditions, and 
                lease stipulations 4 through 9 as contained in the 
                final notice of sale of the Bureau of Ocean Energy 
                Management entitled ``Gulf of Mexico Outer Continental 
                Shelf Region-Wide Oil and Gas Lease Sale 254'' (85 Fed. 
                Reg. 8010 (February 12, 2020));
                    (B) may update lease stipulations 1 through 3 and 
                10 described in that final notice of sale to reflect 
                current conditions for lease sales conducted under 
                subsection (a)(1);
                    (C) shall set the royalty rate at not less than 
                12\1/2\ percent but not greater than 16\2/3\ percent; 
                and
                    (D) shall, for a lease in water depths of 800 
                meters or deeper issued as a result of a sale, set the 
                primary term for 10 years.
            (2) Terms and stipulations for alaska region sales.--
                    (A) In general.--In conducting lease sales under 
                subsection (a)(2), the Secretary of the Interior shall 
                offer the same lease form, lease terms, economic 
                conditions, and stipulations as contained in the final 
                notice of sale of the Bureau of Ocean Energy Management 
                entitled ``Cook Inlet Planning Area Outer Continental 
                Shelf Oil and Gas Lease Sale 244'' (82 Fed. Reg. 23291 
                (May 22, 2017)).
                    (B) Revenue sharing.--Notwithstanding section 8(g) 
                and section 9 of the Outer Continental Shelf Lands Act 
                (43 U.S.C. 1337(g), 1338), and beginning in fiscal year 
                2034, of the bonuses, rents, royalties, and other 
                revenues derived from lease sales conducted under 
                subsection (a)(2)--
                            (i) 70 percent shall be paid to the State 
                        of Alaska; and
                            (ii) 30 percent shall be deposited in the 
                        Treasury and credited to miscellaneous 
                        receipts.
            (3) Area offered for lease.--
                    (A) Gulf of america region.--For each offshore 
                lease sale conducted under subsection (a)(1), the 
                Secretary of the Interior shall--
                            (i) offer not fewer than 80,000,000 acres; 
                        or
                            (ii) if there are fewer than 80,000,000 
                        acres that are unleased and available, offer 
                        all unleased and available acres.
                    (B) Alaska region.--For each offshore lease sale 
                conducted under subsection (a)(2), the Secretary of the 
                Interior shall--
                            (i) offer not fewer than 1,000,000 acres; 
                        or
                            (ii) if there are fewer than 1,000,000 
                        acres that are unleased and available, offer 
                        all unleased and available acres.
    (c) Offshore Commingling.--The Secretary of the Interior shall 
approve a request of an operator to commingle oil or gas production 
from multiple reservoirs within a single wellbore completed on the 
outer Continental Shelf in the Gulf of America Region unless the 
Secretary of the Interior determines that conclusive evidence 
establishes that the commingling--
            (1) could not be conducted by the operator in a safe 
        manner; or
            (2) would result in an ultimate recovery from the 
        applicable reservoirs to be reduced in comparison to the 
        expected recovery of those reservoirs if they had not been 
        commingled.
    (d) Offshore Oil and Gas Royalty Rate.--
            (1) Repeal.--Section 50261 of Public Law 117-169 (136 Stat. 
        2056) is repealed, and any provision of law amended or repealed 
        by that section is restored or revived as if that section had 
        not been enacted into law.
            (2) Royalty rate.--Section 8(a)(1) of the Outer Continental 
        Shelf Lands Act (43 U.S.C. 1337(a)(1)) (as amended by paragraph 
        (1)) is amended--
                    (A) in subparagraph (A), by striking ``not less 
                than 12\1/2\ per centum'' and inserting ``not less than 
                12\1/2\ percent, but not more than 16\2/3\ percent,'';
                    (B) in subparagraph (C), by striking ``not less 
                than 12\1/2\ per centum'' and inserting ``not less than 
                12\1/2\ percent, but not more than 16\2/3\ percent,'';
                    (C) in subparagraph (F), by striking ``no less than 
                12\1/2\ per centum'' and inserting ``not less than 
                12\1/2\ percent, but not more than 16\2/3\ percent,''; 
                and
                    (D) in subparagraph (H), by striking ``no less than 
                12 and \1/2\ per centum'' and inserting ``not less than 
                12\1/2\ percent, but not more than 16\2/3\ percent,''.
    (e) Limitations on Amount of Distributed Qualified Outer 
Continental Shelf Revenues.--Section 105(f)(1) of the Gulf of Mexico 
Energy Security Act of 2006 (43 U.S.C. 1331 note; Public Law 109-432) 
is amended--
            (1) in subparagraph (B), by striking ``and'' at the end;
            (2) in subparagraph (C), by striking ``2055.'' and 
        inserting ``2024;''; and
            (3) by adding at the end the following:
                    ``(D) $650,000,000 for each of fiscal years 2025 
                through 2034; and
                    ``(E) $500,000,000 for each of fiscal years 2035 
                through 2055.''.

SEC. 50103. ROYALTIES ON EXTRACTED METHANE.

    Section 50263 of Public Law 117-169 (30 U.S.C. 1727) is repealed.

SEC. 50104. ALASKA OIL AND GAS LEASING.

    (a) Definitions.--In this section:
            (1) Coastal plain.--The term ``Coastal Plain'' has the 
        meaning given the term in section 20001(a) of Public Law 115-97 
        (16 U.S.C. 3143 note).
            (2) Oil and gas program.--The term ``oil and gas program'' 
        means the oil and gas program established under section 
        20001(b)(2) of Public Law 115-97 (16 U.S.C. 3143 note).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior, acting through the Bureau of Land Management.
    (b) Lease Sales Required.--
            (1) In general.--Subject to paragraph (3), in addition to 
        the lease sales required under section 20001(c)(1)(A) of Public 
        Law 115-97 (16 U.S.C. 3143 note), the Secretary shall conduct 
        not fewer than 4 lease sales area-wide under the oil and gas 
        program by not later than 10 years after the date of enactment 
        of this Act.
            (2) Terms and conditions.--In conducting lease sales under 
        paragraph (1), the Secretary shall offer the same terms and 
        conditions as contained in the record of decision described in 
        the notice of availability of the Bureau of Land Management 
        entitled ``Notice of Availability of the Record of Decision for 
        the Final Environmental Impact Statement for the Coastal Plain 
        Oil and Gas Leasing Program, Alaska'' (85 Fed. Reg. 51754 
        (August 21, 2020)).
            (3) Sale acreages; schedule.--
                    (A) Acreages.--In conducting the lease sales 
                required under paragraph (1), the Secretary shall offer 
                for lease under the oil and gas program--
                            (i) not fewer than 400,000 acres area-wide 
                        in each lease sale; and
                            (ii) those areas that have the highest 
                        potential for the discovery of hydrocarbons.
                    (B) Schedule.--The Secretary shall offer--
                            (i) the initial lease sale under paragraph 
                        (1) not later than 1 year after the date of 
                        enactment of this Act;
                            (ii) a second lease sale under paragraph 
                        (1) not later than 3 years after the date of 
                        enactment of this Act;
                            (iii) a third lease sale under paragraph 
                        (1) not later than 5 years after the date of 
                        enactment of this Act; and
                            (iv) a fourth lease sale under paragraph 
                        (1) not later than 7 years after the date of 
                        enactment of this Act.
            (4) Rights-of-way.--Section 20001(c)(2) of Public Law 115-
        97 (16 U.S.C. 3143 note) shall apply to leases awarded under 
        this subsection.
            (5) Surface development.--Section 20001(c)(3) of Public Law 
        115-97 (16 U.S.C. 3143 note) shall apply to leases awarded 
        under this subsection.
    (c) Receipts.--Notwithstanding section 35 of the Mineral Leasing 
Act (30 U.S.C. 191) and section 20001(b)(5) of Public Law 115-97 (16 
U.S.C. 3143 note), of the amount of adjusted bonus, rental, and royalty 
receipts derived from the oil and gas program and operations on the 
Coastal Plain pursuant to this section--
            (1)(A) for each of fiscal years 2025 through 2033, 50 
        percent shall be paid to the State of Alaska; and
            (B) for fiscal year 2034 and each fiscal year thereafter, 
        70 percent shall be paid to the State of Alaska; and
            (2) the balance shall be deposited into the Treasury as 
        miscellaneous receipts.

SEC. 50105. NATIONAL PETROLEUM RESERVE-ALASKA.

    (a) Definitions.--In this section:
            (1) NPR-A final environmental impact statement.--The term 
        ``NPR-A final environmental impact statement'' means the final 
        environmental impact statement published by the Bureau of Land 
        Management entitled ``National Petroleum Reserve in Alaska 
        Integrated Activity Plan Final Environmental Impact Statement'' 
        and dated June 2020, including the errata sheet dated October 
        6, 2020, and excluding the errata sheet dated September 20, 
        2022.
            (2) NPR-A record of decision.--The term ``NPR-A record of 
        decision'' means the record of decision published by the Bureau 
        of Land Management entitled ``National Petroleum Reserve in 
        Alaska Integrated Activity Plan Record of Decision'' and dated 
        December 2020.
            (3) Program.--The term ``Program'' means the competitive 
        oil and gas leasing, exploration, development, and production 
        program established under section 107 of the Naval Petroleum 
        Reserves Production Act of 1976 (42 U.S.C. 6506a).
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.
    (b) Restoration of NPR-A Oil and Gas Leasing Program.--Effective 
beginning on the date of enactment of this Act, the Secretary shall 
expeditiously restore and resume oil and gas lease sales under the 
Program for domestic energy production and Federal revenue in the areas 
designated for oil and gas leasing as described in the NPR-A final 
environmental impact statement and the NPR-A record of decision.
    (c) Resumption of NPR-A Lease Sales.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall conduct not fewer than 5 lease sales under the Program by 
        not later than 10 years after the date of enactment of this 
        Act.
            (2) Sales acreages; schedule.--
                    (A) Acreages.--In conducting the lease sales 
                required under paragraph (1), the Secretary shall offer 
                not fewer than 4,000,000 acres in each lease sale.
                    (B) Schedule.--The Secretary shall offer--
                            (i) an initial lease sale under paragraph 
                        (1) not later than 1 year after the date of 
                        enactment of this Act; and
                            (ii) an additional lease sale under 
                        paragraph (1) not later than every 2 years 
                        after the date of enactment of this Act.
    (d) Terms and Stipulations for NPR-A Lease Sales.--In conducting 
lease sales under subsection (c), the Secretary shall offer the same 
lease form, lease terms, economic conditions, and stipulations as 
described in the NPR-A final environmental impact statement and the 
NPR-A record of decision.
    (e) Receipts.--Section 107(l) of the Naval Petroleum Reserves 
Production Act of 1976 (42 U.S.C. 6506a(l)) is amended--
            (1) by striking ``All receipts from'' and inserting the 
        following:
            ``(1) In general.--Except as provided in paragraph (2), all 
        receipts from''; and
            (2) by adding at the end the following:
            ``(2) Percent share for fiscal year 2034 and thereafter.--
        Beginning in fiscal year 2034, of the receipts from sales, 
        rentals, bonuses, and royalties on leases issued pursuant to 
        this section after the date of enactment of the Act entitled 
        `An Act to provide for reconciliation pursuant to title II of 
        H. Con. Res. 14' (119th Congress)--
                    ``(A) 70 percent shall be paid to the State of 
                Alaska; and
                    ``(B) 30 percent shall be paid into the Treasury of 
                the United States.''.

                           Subtitle B--Mining

SEC. 50201. COAL LEASING.

    (a) Definitions.--In this section:
            (1) Coal lease.--The term ``coal lease'' means a lease 
        entered into by the United States as lessor, through the Bureau 
        of Land Management, and an applicant on Bureau of Land 
        Management Form 3400-012 (or a successor form that contains the 
        terms of a coal lease).
            (2) Qualified application.--The term ``qualified 
        application'' means an application for a coal lease pending as 
        of the date of enactment of this Act or submitted within 90 
        days thereafter under the lease by application program 
        administered by the Bureau of Land Management pursuant to the 
        Mineral Leasing Act (30 U.S.C. 181 et seq.) for which any 
        required environmental review has commenced or the Director of 
        the Bureau of Land Management determines can commence within 90 
        days after receiving the application.
    (b) Coal Leasing Activities.--Not later than 90 days after the date 
of enactment of this Act, the Secretary of the Interior--
            (1) shall--
                    (A) with respect to each qualified application--
                            (i) if not previously published for public 
                        comment, publish any required environmental 
                        review;
                            (ii) establish the fair market value of the 
                        applicable coal tract;
                            (iii) hold a lease sale with respect to the 
                        applicable coal tract; and
                            (iv) identify the highest bidder at or 
                        above the fair market value and take all other 
                        intermediate actions necessary to identify the 
                        winning bidder and grant the qualified 
                        application; and
            (2) may--
                    (A) with respect to a previously issued coal lease, 
                grant any additional approvals of the Department of the 
                Interior required for mining activities to commence; 
                and
                    (B) after completing the actions required by 
                clauses (i) through (iv) of paragraph (1)(A), grant the 
                qualified application and issue the applicable lease to 
                the person that submitted the qualified application if 
                that person submitted the winning bid in the lease sale 
                held under clause (iii) of paragraph (1)(A).

SEC. 50202. COAL ROYALTY.

    (a) Rate.--Section 7(a) of the Mineral Leasing Act (30 U.S.C. 
207(a)) is amended, in the fourth sentence, by striking ``12\1/2\ per 
centum'' and inserting ``12\1/2\ percent, except such amount shall be 
not more than 7 percent during the period that begins on the date of 
enactment of the Act entitled `An Act to provide for reconciliation 
pursuant to title II of H. Con. Res. 14' (119th Congress) and ends 
September 30, 2034,''.
    (b) Applicability to Existing Leases.--The amendment made by 
subsection (a) shall apply to a coal lease--
            (1) issued under section 2 of the Mineral Leasing Act (30 
        U.S.C. 201) before, on, or after the date of the enactment of 
        this Act; and
            (2) that has not been terminated.
    (c) Advance Royalties.--With respect to a lease issued under 
section 2 of the Mineral Leasing Act (30 U.S.C. 201) for which the 
lessee has paid advance royalties under section 7(b) of that Act (30 
U.S.C. 207(b)), the Secretary of the Interior shall provide to the 
lessee a credit for the difference between the amount paid by the 
lessee in advance royalties for the lease before the date of the 
enactment of this Act and the amount the lessee would have been 
required to pay if the amendment made by subsection (a) had been made 
before the lessee paid advance royalties for the lease.

SEC. 50203. LEASES FOR KNOWN RECOVERABLE COAL RESOURCES.

    Notwithstanding section 2(a)(3)(A) of the Mineral Leasing Act (30 
U.S.C. 201(a)(3)(A)) and section 202(a) of the Federal Land Policy and 
Management Act of 1976 (43 U.S.C. 1712(a)), not later than 90 days 
after the date of enactment of this Act, the Secretary of the Interior 
shall make available for lease known recoverable coal resources of not 
less than 4,000,000 additional acres on Federal land located in the 48 
contiguous States and Alaska subject to the jurisdiction of the 
Secretary, but which shall not include any Federal land within--
            (1) a National Monument;
            (2) a National Recreation Area;
            (3) a component of the National Wilderness Preservation 
        System;
            (4) a component of the National Wild and Scenic Rivers 
        System;
            (5) a component of the National Trails System;
            (6) a National Conservation Area;
            (7) a unit of the National Wildlife Refuge System;
            (8) a unit of the National Fish Hatchery System; or
            (9) a unit of the National Park System.

SEC. 50204. AUTHORIZATION TO MINE FEDERAL COAL.

    (a) Authorization.--In order to provide access to coal reserves in 
adjacent State or private land that without an authorization could not 
be mined economically, Federal coal reserves located in Federal land 
subject to a mining plan previously approved by the Secretary of the 
Interior as of the date of enactment of this Act and adjacent to coal 
reserves in adjacent State or private land are authorized to be mined.
    (b) Requirement.--Not later than 90 days after the date of 
enactment of this Act, the Secretary of the Interior shall, without 
substantial modification, take such steps as are necessary to authorize 
the mining of Federal land described in subsection (a).
    (c) NEPA.--Nothing in this section shall prevent a review under the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

                           Subtitle C--Lands

SEC. 50301. TIMBER SALES AND LONG-TERM CONTRACTING FOR THE FOREST 
              SERVICE AND THE BUREAU OF LAND MANAGEMENT.

    (a) Forest Service.--
            (1) Definitions.--In this subsection:
                    (A) Forest plan.--The term ``forest plan'' means a 
                land and resource management plan prepared by the 
                Secretary for a unit of the National Forest System 
                pursuant to section 6 of the Forest and Rangeland 
                Renewable Resources Planning Act of 1974 (16 U.S.C. 
                1604).
                    (B) National forest system.--
                            (i) In general.--The term ``National Forest 
                        System'' means land of the National Forest 
                        System (as defined in section 11(a) of the 
                        Forest and Rangeland Renewable Resources 
                        Planning Act of 1974 (16 U.S.C. 1609(a))) 
                        administered by the Secretary.
                            (ii) Exclusions.--The term ``National 
                        Forest System'' does not include any forest 
                        reserve not created from the public domain.
                    (C) Secretary.--The term ``Secretary'' means the 
                Secretary of Agriculture, acting through the Chief of 
                the Forest Service.
            (2) Timber sales on public domain forest reserves.--
                    (A) In general.--For each of fiscal years 2026 
                through 2034, the Secretary shall sell timber annually 
                on National Forest System land in a total quantity that 
                is not less than 250,000,000 board-feet greater than 
                the quantity of board-feet sold in the previous fiscal 
                year.
                    (B) Limitation.--The timber sales under 
                subparagraph (A) shall be subject to the maximum 
                allowable sale quantity of timber or the projected 
                timber sale quantity under the applicable forest plan 
                in effect on the date of enactment of this Act.
            (3) Long-term contracting for the forest service.--
                    (A) Long-term contracting.--For the period of 
                fiscal years 2025 through 2034, the Secretary shall 
                enter into not fewer than 40 long-term timber sale 
                contracts with private persons or other public or 
                private entities under subsection (a) of section 14 of 
                the National Forest Management Act of 1976 (16 U.S.C. 
                472a) for the sale of national forest materials (as 
                defined in subsection (e)(1) of that section) in the 
                National Forest System.
                    (B) Contract length.--The period of a timber sale 
                contract entered into to meet the requirement under 
                subparagraph (A) shall be not less than 20 years, with 
                options for extensions or renewals, as determined by 
                the Secretary.
                    (C) Receipts.--Any monies derived from a timber 
                sale contract entered into to meet the requirements 
                under subparagraphs (A) and (B) shall be deposited in 
                the general fund of the Treasury.
    (b) Bureau of Land Management.--
            (1) Definitions.--In this subsection:
                    (A) Public lands.--The term ``public lands'' has 
                the meaning given the term in section 103 of the 
                Federal Land Policy and Management Act of 1976 (43 
                U.S.C. 1702).
                    (B) Resource management plan.--The term ``resource 
                management plan'' means a land use plan prepared for 
                public lands under section 202 of the Federal Land 
                Policy and Management Act of 1976 (43 U.S.C. 1712).
                    (C) Secretary.--The term ``Secretary'' means the 
                Secretary of the Interior, acting through the Director 
                of the Bureau of Land Management.
            (2) Timber sales on public lands.--
                    (A) In general.--For each of fiscal years 2026 
                through 2034, the Secretary shall sell timber annually 
                on public lands in a total quantity that is not less 
                than 20,000,000 board-feet greater than the quantity of 
                board-feet sold in the previous fiscal year.
                    (B) Limitation.--The timber sales under 
                subparagraph (A) shall be subject to the applicable 
                resource management plan in effect on the date of 
                enactment of this Act.
            (3) Long-term contracting for the bureau of land 
        management.--
                    (A) Long-term contracting.--For the period of 
                fiscal years 2025 through 2034, the Secretary shall 
                enter into not fewer than 5 long-term contracts with 
                private persons or other public or private entities 
                under section 1 of the Act of July 31, 1947 (commonly 
                known as the ``Materials Act of 1947'') (61 Stat. 681, 
                chapter 406; 30 U.S.C. 601), for the disposal of 
                vegetative materials described in that section on 
                public lands.
                    (B) Contract length.--The period of a contract 
                entered into to meet the requirement under subparagraph 
                (A) shall be not less than 20 years, with options for 
                extensions or renewals, as determined by the Secretary.
                    (C) Receipts.--Any monies derived from a contract 
                entered into to meet the requirements under 
                subparagraphs (A) and (B) shall be deposited in the 
                general fund of the Treasury.

SEC. 50302. RENEWABLE ENERGY FEES ON FEDERAL LAND.

    (a) Definitions.--In this section:
            (1) Annual adjustment factor.--The term ``Annual Adjustment 
        Factor'' means 3 percent.
            (2) Encumbrance factor.--The term ``Encumbrance Factor'' 
        means--
                    (A) 100 percent for a solar energy generation 
                facility; and
                    (B) an amount determined by the Secretary, but not 
                less than 10 percent for a wind energy generation 
                facility.
            (3) National forest system.--
                    (A) In general.--The term ``National Forest 
                System'' means land of the National Forest System (as 
                defined in section 11(a) of the Forest and Rangeland 
                Renewable Resources Planning Act of 1974 (16 U.S.C. 
                1609(a))) administered by the Secretary of Agriculture.
                    (B) Exclusion.--The term ``National Forest System'' 
                does not include any forest reserve not created from 
                the public domain.
            (4) Per-acre rate.--The term ``Per-Acre Rate'', with 
        respect to a right-of-way, means the average of the per-acre 
        pastureland rental rates published in the Cash Rents Survey by 
        the National Agricultural Statistics Service for the State in 
        which the right-of-way is located over the 5 calendar-year 
        period preceding the issuance or renewal of the right-of-way.
            (5) Project.--The term ``project'' means a system described 
        in section 2801.9(a)(4) of title 43, Code of Federal 
        Regulations (as in effect on the date of enactment of this 
        Act).
            (6) Public land.--The term ``public land'' means--
                    (A) public lands (as defined in section 103 of the 
                Federal Land Policy and Management Act of 1976 (43 
                U.S.C. 1702)); and
                    (B) National Forest System land.
            (7) Renewable energy project.--The term ``renewable energy 
        project'' means a project located on public land that uses wind 
        or solar energy to generate energy.
            (8) Right-of-way.--The term ``right-of-way'' has the 
        meaning given the term in section 103 of the Federal Land 
        Policy and Management Act of 1976 (43 U.S.C. 1702).
            (9) Secretary.--The term ``Secretary'' means--
                    (A) the Secretary of the Interior, with respect to 
                land controlled or administered by the Secretary of the 
                Interior; and
                    (B) the Secretary of Agriculture, with respect to 
                National Forest System land.
    (b) Acreage Rent for Wind and Solar Rights-of-way.--
            (1) In general.--Pursuant to section 504(g) of the Federal 
        Land Policy and Management Act of 1976 (43 U.S.C. 1764(g)), the 
        Secretary shall, subject to paragraph (3) and not later than 
        January 1 of each calendar year, collect from the holder of a 
        right-of-way for a renewable energy project an acreage rent in 
        an amount determined by the equation described in paragraph 
        (2).
            (2) Calculation of acreage rent rate.--
                    (A) Equation.--The amount of an acreage rent 
                collected under paragraph (1) shall be determined using 
                the following equation: Acreage rent = A  x  B  x  ((1 
                + C)\D\)).
                    (B) Definitions.--For purposes of the equation 
                described in subparagraph (A):
                            (i) The letter ``A'' means the Per-Acre 
                        Rate.
                            (ii) The letter ``B'' means the Encumbrance 
                        Factor.
                            (iii) The letter ``C'' means the Annual 
                        Adjustment Factor.
                            (iv) The letter ``D'' means the year in the 
                        term of the right-of-way.
            (3) Payment until production.--The holder of a right-of-way 
        for a renewable energy project shall pay an acreage rent 
        collected under paragraph (1) until the date on which energy 
        generation begins.
    (c) Capacity Fees.--
            (1) In general.--The Secretary shall, subject to paragraph 
        (3), annually collect a capacity fee from the holder of a 
        right-of-way for a renewable energy project based on the amount 
        described in paragraph (2).
            (2) Calculation of capacity fee.--The amount of a capacity 
        fee collected under paragraph (1) shall be equal to the greater 
        of--
                    (A) an amount equal to the acreage rent described 
                in subsection (b); and
                    (B) 3.9 percent of the gross proceeds from the sale 
                of electricity produced by the renewable energy 
                project.
            (3) Multiple-use reduction factor.--
                    (A) Application.--The holder of a right-of-way for 
                a wind energy generation project may request that the 
                Secretary apply a multiple-use reduction factor of 10-
                percent to the amount of a capacity fee determined 
                under paragraph (2) by submitting to the Secretary an 
                application at such time, in such manner, and 
                containing such information as the Secretary may 
                require.
                    (B) Approval.--The Secretary may approve an 
                application submitted under subparagraph (A) only if 
                not less than 25 percent of the land within the area of 
                the right-of-way is authorized for use, occupancy, or 
                development with respect to an activity other than the 
                generation of wind energy for the entirety of the year 
                in which the capacity fee is collected.
                    (C) Late determination.--
                            (i) In general.--If the Secretary approves 
                        an application under subparagraph (B) for a 
                        wind energy generation project after the date 
                        on which the holder of the right-of-way for the 
                        project begins paying a capacity fee, the 
                        Secretary shall apply the multiple-use 
                        reduction factor described in subparagraph (A) 
                        to the capacity fee for the first year 
                        beginning after the date of approval and each 
                        year thereafter for the period during which the 
                        right-of-way remains in effect.
                            (ii) Refund.--The Secretary may not refund 
                        the holder of a right-of-way for the difference 
                        in the amount of a capacity fee paid in a 
                        previous year.
    (d) Late Payment Fee; Termination.--
            (1) In general.--The Secretary may charge the holder of a 
        right-of-way for a renewable energy project a late payment fee 
        if the Secretary does not receive payment for the acreage rent 
        under subsection (b) or the capacity fee under subsection (c) 
        by the date that is 15 days after the date on which the payment 
        was due.
            (2) Termination of right-of-way.--The Secretary may 
        terminate a right-of-way for a renewable energy project if the 
        Secretary does not receive payment for the acreage rent under 
        subsection (b) or the capacity fee under subsection (c) by the 
        date that is 90 days after the date on which the payment was 
        due.

SEC. 50303. RENEWABLE ENERGY REVENUE SHARING.

    (a) Definitions.--In this section:
            (1) County.--The term ``county'' includes a parish, 
        township, borough, and any other similar, independent unit of 
        local government.
            (2) Covered land.--The term ``covered land'' means land 
        that is--
                    (A) public land administered by the Secretary; and
                    (B) not excluded from the development of solar or 
                wind energy under--
                            (i) a land use plan; or
                            (ii) other Federal law.
            (3) National forest system.--
                    (A) In general.--The term ``National Forest 
                System'' means land of the National Forest System (as 
                defined in section 11(a) of the Forest and Rangeland 
                Renewable Resources Planning Act of 1974 (16 U.S.C. 
                1609(a))) administered by the Secretary of Agriculture.
                    (B) Exclusion.--The term ``National Forest System'' 
                does not include any forest reserve not created from 
                the public domain.
            (4) Public land.--The term ``public land'' means--
                    (A) public lands (as defined in section 103 of the 
                Federal Land Policy and Management Act of 1976 (43 
                U.S.C. 1702)); and
                    (B) National Forest System land.
            (5) Renewable energy project.--The term ``renewable energy 
        project'' means a system described in section 2801.9(a)(4) of 
        title 43, Code of Federal Regulations (as in effect on the date 
        of enactment of this Act), located on covered land that uses 
        wind or solar energy to generate energy.
            (6) Secretary.--The term ``Secretary'' means--
                    (A) the Secretary of the Interior, with respect to 
                land controlled or administered by the Secretary of the 
                Interior; and
                    (B) the Secretary of Agriculture, with respect to 
                National Forest System land.
    (b) Disposition of Revenue.--
            (1) Disposition of revenues.--Beginning on January 1, 2026, 
        the amounts collected from a renewable energy project as bonus 
        bids, rentals, fees, or other payments under a right-of-way, 
        permit, lease, or other authorization shall--
                    (A) be deposited in the general fund of the 
                Treasury; and
                    (B) without further appropriation or fiscal year 
                limitation, be allocated as follows:
                            (i) 25 percent shall be paid from amounts 
                        in the general fund of the Treasury to the 
                        State within the boundaries of which the 
                        revenue is derived.
                            (ii) 25 percent shall be paid from amounts 
                        in the general fund of the Treasury to each 
                        county in a State within the boundaries of 
                        which the revenue is derived, to be allocated 
                        among each applicable county based on the 
                        percentage of county land from which the 
                        revenue is derived.
            (2) Payments to states and counties.--
                    (A) In general.--Amounts paid to States and 
                counties under paragraph (1) shall be used in 
                accordance with the requirements of section 35 of the 
                Mineral Leasing Act (30 U.S.C. 191).
                    (B) Payments in lieu of taxes.--A payment to a 
                county under paragraph (1) shall be in addition to a 
                payment in lieu of taxes received by the county under 
                chapter 69 of title 31, United States Code.
                    (C) Timing.--The amounts required to be paid under 
                paragraph (1)(B) for an applicable fiscal year shall be 
                made available in the fiscal year that immediately 
                follows the fiscal year for which the amounts were 
                collected.

SEC. 50304. RESCISSION OF NATIONAL PARK SERVICE AND BUREAU OF LAND 
              MANAGEMENT FUNDS.

    There are rescinded the unobligated balances of amounts made 
available by the following sections of Public Law 117-169 (commonly 
known as the ``Inflation Reduction Act of 2022'') (136 Stat. 1818):
            (1) Section 50221 (136 Stat. 2052).
            (2) Section 50222 (136 Stat. 2052).
            (3) Section 50223 (136 Stat. 2052).

SEC. 50305. CELEBRATING AMERICA'S 250TH ANNIVERSARY.

    In addition to amounts otherwise available, there is appropriated 
to the Secretary of the Interior (acting through the Director of the 
National Park Service) for fiscal year 2025, out of any money in the 
Treasury not otherwise appropriated, $150,000,000 for events, 
celebrations, and activities surrounding the observance and 
commemoration of the 250th anniversary of the founding of the United 
States, to remain available through fiscal year 2028.

                           Subtitle D--Energy

SEC. 50401. STRATEGIC PETROLEUM RESERVE.

    (a) Energy Policy and Conservation Act Definitions.--In this 
section, the terms ``related facility'', ``storage facility'', and 
``Strategic Petroleum Reserve'' have the meanings given those terms in 
section 152 of the Energy Policy and Conservation Act (42 U.S.C. 6232).
    (b) Appropriations.--In addition to amounts otherwise available, 
there is appropriated to the Department of Energy for fiscal year 2025, 
out of any money in the Treasury not otherwise appropriated, to remain 
available until September 30, 2029--
            (1) $218,000,000 for maintenance of, including repairs to, 
        storage facilities and related facilities of the Strategic 
        Petroleum Reserve; and
            (2) $171,000,000 to acquire, by purchase, petroleum 
        products for storage in the Strategic Petroleum Reserve.
    (c) Repeal of Strategic Petroleum Reserve Drawdown and Sale 
Mandate.--Section 20003 of Public Law 115-97 (42 U.S.C. 6241 note) is 
repealed.

SEC. 50402. REPEALS; RESCISSIONS.

    (a) Repeal and Rescission.--Section 50142 of Public Law 117-169 
(136 Stat. 2044) (commonly known as the ``Inflation Reduction Act of 
2022'') is repealed and the unobligated balance of amounts made 
available under that section (as in effect on the day before the date 
of enactment of this Act) is rescinded.
    (b) Rescissions.--
            (1) In general.--The unobligated balances of amounts made 
        available under the sections described in paragraph (2) are 
        rescinded.
            (2) Sections described.--The sections referred to in 
        paragraph (1) are the following sections of Public Law 117-169 
        (commonly known as the ``Inflation Reduction Act of 2022''):
                    (A) Section 50123 (42 U.S.C. 18795b).
                    (B) Section 50141 (136 Stat. 2042).
                    (C) Section 50144 (136 Stat. 2044).
                    (D) Section 50145 (136 Stat. 2045).
                    (E) Section 50151 (42 U.S.C. 18715).
                    (F) Section 50152 (42 U.S.C. 18715a).
                    (G) Section 50153 (42 U.S.C. 18715b).
                    (H) Section 50161 (42 U.S.C. 17113b).

SEC. 50403. ENERGY DOMINANCE FINANCING.

    (a) In General.--Section 1706 of the Energy Policy Act of 2005 (42 
U.S.C. 16517) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``or'' at the 
                end;
                    (B) in paragraph (2), by striking ``avoid'' and all 
                that follows through the period at the end and 
                inserting ``increase capacity or output; or''; and
                    (C) by adding at the end the following:
            ``(3) support or enable the provision of known or 
        forecastable electric supply at time intervals necessary to 
        maintain or enhance grid reliability or other system adequacy 
        needs.'';
            (2) by striking subsection (c);
            (3) by redesignating subsections (d) through (f) as 
        subsections (c) through (e), respectively;
            (4) in subsection (c) (as so redesignated)--
                    (A) in paragraph (1), by adding ``and'' at the end;
                    (B) by striking paragraph (2); and
                    (C) by redesignating paragraph (3) as paragraph 
                (2);
            (5) in subsection (e) (as so redesignated), by striking 
        ``for--'' in the matter preceding paragraph (1) and all that 
        follows through the period at the end of paragraph (2) and 
        inserting ``for enabling the identification, leasing, 
        development, production, processing, transportation, 
        transmission, refining, and generation needed for energy and 
        critical minerals.''; and
            (6) by adding at the end the following:
    ``(f) Funding.--
            ``(1) In general.--In addition to amounts otherwise 
        available, there is appropriated to the Secretary for fiscal 
        year 2025, out of any money in the Treasury not otherwise 
        appropriated, $1,000,000,000, to remain available through 
        September 30, 2028, to carry out activities under this section.
            ``(2) Administrative costs.--Of the amount made available 
        under paragraph (1), the Secretary shall use not more than 3 
        percent for administrative expenses.''.
    (b) Commitment Authority.--Section 50144(b) of Public Law 117-169 
(commonly known as the ``Inflation Reduction Act of 2022'') (136 Stat. 
2045) is amended by striking ``2026'' and inserting ``2028''.

SEC. 50404. TRANSFORMATIONAL ARTIFICIAL INTELLIGENCE MODELS.

    (a) Definitions.--In this section:
            (1) American science cloud.--The term ``American science 
        cloud'' means a system of United States government, academic, 
        and private sector programs and infrastructures utilizing cloud 
        computing technologies to facilitate and support scientific 
        research, data sharing, and computational analysis across 
        various disciplines while ensuring compliance with applicable 
        legal, regulatory, and privacy standards.
            (2) Artificial intelligence.--The term ``artificial 
        intelligence'' has the meaning given the term in section 5002 
        of the National Artificial Intelligence Initiative Act of 2020 
        (15 U.S.C. 9401).
    (b) Transformational Models.--The Secretary of Energy shall--
            (1) mobilize National Laboratories to partner with industry 
        sectors within the United States to curate the scientific data 
        of the Department of Energy across the National Laboratory 
        complex so that the data is structured, cleaned, and 
        preprocessed in a way that makes it suitable for use in 
        artificial intelligence and machine learning models; and
            (2) initiate seed efforts for self-improving artificial 
        intelligence models for science and engineering powered by the 
        data described in paragraph (1).
    (c) Uses.--
            (1) Microelectronics.--The curated data described in 
        subsection (b)(1) may be used to rapidly develop next-
        generation microelectronics that have greater capabilities 
        beyond Moore's law while requiring lower energy consumption.
            (2) New energy technologies.--The artificial intelligence 
        models developed under subsection (b)(2) shall be provided to 
        the scientific community through the American science cloud to 
        accelerate innovation in discovery science and engineering for 
        new energy technologies.
    (d) Appropriations.--There is appropriated, out of any funds in the 
Treasury not otherwise appropriated, $150,000,000, to remain available 
through September 30, 2026, to carry out this section.

                           Subtitle E--Water

SEC. 50501. WATER CONVEYANCE AND SURFACE WATER STORAGE ENHANCEMENT.

    In addition to amounts otherwise available, there is appropriated 
to the Secretary of the Interior, acting through the Commissioner of 
Reclamation, for fiscal year 2025, out of any funds in the Treasury not 
otherwise appropriated, $1,000,000,000, to remain available through 
September 30, 2034, for construction and associated activities that 
restore or increase the capacity or use of existing conveyance 
facilities constructed by the Bureau of Reclamation or for construction 
and associated activities that increase the capacity of existing Bureau 
of Reclamation surface water storage facilities, in a manner as 
determined by the Secretary of the Interior, acting through the 
Commissioner of Reclamation:  Provided, That, for the purposes of 
section 203 of the Reclamation Reform Act of 1982 (43 U.S.C. 390cc) or 
section 3404(a) of the Reclamation Projects Authorization and 
Adjustment Act of 1992 (Public Law 102-575; 106 Stat. 4708), a contract 
or agreement entered into pursuant to this section shall not be treated 
as a new or amended contract:  Provided further, That none of the funds 
provided under this section shall be reimbursable or subject to 
matching or cost-sharing requirements.

          TITLE VI--COMMITTEE ON ENVIRONMENT AND PUBLIC WORKS

SEC. 60001. RESCISSION OF FUNDING FOR CLEAN HEAVY-DUTY VEHICLES.

    The unobligated balances of amounts made available to carry out 
section 132 of the Clean Air Act (42 U.S.C. 7432) are rescinded.

SEC. 60002. REPEAL OF GREENHOUSE GAS REDUCTION FUND.

    Section 134 of the Clean Air Act (42 U.S.C. 7434) is repealed and 
the unobligated balances of amounts made available to carry out that 
section (as in effect on the day before the date of enactment of this 
Act) are rescinded.

SEC. 60003. RESCISSION OF FUNDING FOR DIESEL EMISSIONS REDUCTIONS.

    The unobligated balances of amounts made available to carry out 
section 60104 of Public Law 117-169 (136 Stat. 2067) are rescinded.

SEC. 60004. RESCISSION OF FUNDING TO ADDRESS AIR POLLUTION.

    The unobligated balances of amounts made available to carry out 
section 60105 of Public Law 117-169 (136 Stat. 2067) are rescinded.

SEC. 60005. RESCISSION OF FUNDING TO ADDRESS AIR POLLUTION AT SCHOOLS.

    The unobligated balances of amounts made available to carry out 
section 60106 of Public Law 117-169 (136 Stat. 2069) are rescinded.

SEC. 60006. RESCISSION OF FUNDING FOR THE LOW EMISSIONS ELECTRICITY 
              PROGRAM.

    The unobligated balances of amounts made available to carry out 
section 135 of the Clean Air Act (42 U.S.C. 7435) are rescinded.

SEC. 60007. RESCISSION OF FUNDING FOR SECTION 211(O) OF THE CLEAN AIR 
              ACT.

    The unobligated balances of amounts made available to carry out 
section 60108 of Public Law 117-169 (136 Stat. 2070) are rescinded.

SEC. 60008. RESCISSION OF FUNDING FOR IMPLEMENTATION OF THE AMERICAN 
              INNOVATION AND MANUFACTURING ACT.

    The unobligated balances of amounts made available to carry out 
section 60109 of Public Law 117-169 (136 Stat. 2071) are rescinded.

SEC. 60009. RESCISSION OF FUNDING FOR ENFORCEMENT TECHNOLOGY AND PUBLIC 
              INFORMATION.

    The unobligated balances of amounts made available to carry out 
section 60110 of Public Law 117-169 (136 Stat. 2071) are rescinded.

SEC. 60010. RESCISSION OF FUNDING FOR GREENHOUSE GAS CORPORATE 
              REPORTING.

    The unobligated balances of amounts made available to carry out 
section 60111 of Public Law 117-169 (136 Stat. 2072) are rescinded.

SEC. 60011. RESCISSION OF FUNDING FOR ENVIRONMENTAL PRODUCT DECLARATION 
              ASSISTANCE.

    The unobligated balances of amounts made available to carry out 
section 60112 of Public Law 117-169 (42 U.S.C. 4321 note; 136 Stat. 
2072) are rescinded.

SEC. 60012. RESCISSION OF FUNDING FOR METHANE EMISSIONS AND WASTE 
              REDUCTION INCENTIVE PROGRAM FOR PETROLEUM AND NATURAL GAS 
              SYSTEMS.

    (a) Rescission.--The unobligated balances of amounts made available 
to carry out subsections (a) and (b) of section 136 of the Clean Air 
Act (42 U.S.C. 7436) are rescinded.
    (b) Period.--Section 136(g) of the Clean Air Act (42 U.S.C. 
7436(g)) is amended by striking ``calendar year 2024'' and inserting 
``calendar year 2034''.

SEC. 60013. RESCISSION OF FUNDING FOR GREENHOUSE GAS AIR POLLUTION 
              PLANS AND IMPLEMENTATION GRANTS.

    The unobligated balances of amounts made available to carry out 
section 137 of the Clean Air Act (42 U.S.C. 7437) are rescinded.

SEC. 60014. RESCISSION OF FUNDING FOR ENVIRONMENTAL PROTECTION AGENCY 
              EFFICIENT, ACCURATE, AND TIMELY REVIEWS.

    The unobligated balances of amounts made available to carry out 
section 60115 of Public Law 117-169 (136 Stat. 2077) are rescinded.

SEC. 60015. RESCISSION OF FUNDING FOR LOW-EMBODIED CARBON LABELING FOR 
              CONSTRUCTION MATERIALS.

    The unobligated balances of amounts made available to carry out 
section 60116 of Public Law 117-169 (42 U.S.C. 4321 note; 136 Stat. 
2077) are rescinded.

SEC. 60016. RESCISSION OF FUNDING FOR ENVIRONMENTAL AND CLIMATE JUSTICE 
              BLOCK GRANTS.

    The unobligated balances of amounts made available to carry out 
section 138 of the Clean Air Act (42 U.S.C. 7438) are rescinded.

SEC. 60017. RESCISSION OF FUNDING FOR ESA RECOVERY PLANS.

    The unobligated balances of amounts made available to carry out 
section 60301 of Public Law 117-169 (136 Stat. 2079) are rescinded.

SEC. 60018. RESCISSION OF FUNDING FOR ENVIRONMENTAL AND CLIMATE DATA 
              COLLECTION.

    The unobligated balances of amounts made available to carry out 
section 60401 of Public Law 117-169 (136 Stat. 2079) are rescinded.

SEC. 60019. RESCISSION OF NEIGHBORHOOD ACCESS AND EQUITY GRANT PROGRAM.

    The unobligated balances of amounts made available to carry out 
section 177 of title 23, United States Code, are rescinded.

SEC. 60020. RESCISSION OF FUNDING FOR FEDERAL BUILDING ASSISTANCE.

    The unobligated balances of amounts made available to carry out 
section 60502 of Public Law 117-169 (136 Stat. 2083) are rescinded.

SEC. 60021. RESCISSION OF FUNDING FOR LOW-CARBON MATERIALS FOR FEDERAL 
              BUILDINGS.

    The unobligated balances of amounts made available to carry out 
section 60503 of Public Law 117-169 (136 Stat. 2083) are rescinded.

SEC. 60022. RESCISSION OF FUNDING FOR GSA EMERGING AND SUSTAINABLE 
              TECHNOLOGIES.

    The unobligated balances of amounts made available to carry out 
section 60504 of Public Law 117-169 (136 Stat. 2083) are rescinded.

SEC. 60023. RESCISSION OF ENVIRONMENTAL REVIEW IMPLEMENTATION FUNDS.

    The unobligated balances of amounts made available to carry out 
section 178 of title 23, United States Code, are rescinded.

SEC. 60024. RESCISSION OF LOW-CARBON TRANSPORTATION MATERIALS GRANTS.

    The unobligated balances of amounts made available to carry out 
section 179 of title 23, United States Code, are rescinded.

SEC. 60025. JOHN F. KENNEDY CENTER FOR THE PERFORMING ARTS.

    (a) In General.--In addition to amounts otherwise available, there 
is appropriated for fiscal year 2025, out of any money in the Treasury 
not otherwise appropriated, $256,657,000, to remain available until 
September 30, 2029, for necessary expenses for capital repair, 
restoration, maintenance backlog, and security structures of the 
building and site of the John F. Kennedy Center for the Performing 
Arts.
    (b) Administrative Costs.--Of the amounts made available under 
subsection (a), not more than 3 percent may be used for administrative 
costs necessary to carry out this section.

SEC. 60026. PROJECT SPONSOR OPT-IN FEES FOR ENVIRONMENTAL REVIEWS.

    Title I of the National Environmental Policy Act of 1969 (42 U.S.C. 
4331 et seq.) is amended by adding at the end the following:

``SEC. 112. PROJECT SPONSOR OPT-IN FEES FOR ENVIRONMENTAL REVIEWS.

    ``(a) Process.--
            ``(1) Project sponsor.--A project sponsor that intends to 
        pay a fee under this section for the preparation, or 
        supervision of the preparation, of an environmental assessment 
        or environmental impact statement for a project shall submit to 
        the Council--
                    ``(A) a description of the project; and
                    ``(B) a declaration of whether the project sponsor 
                intends to prepare the environmental assessment or 
                environmental impact statement under section 107(f).
            ``(2) Council on environmental quality.--Not later than 15 
        days after the date on which the Council receives information 
        described in paragraph (1) from a project sponsor, the Council 
        shall provide to the project sponsor notice of the amount of 
        the fee to be paid under this section, as determined under 
        subsection (b).
            ``(3) Payment of fee.--A project sponsor may pay a fee 
        under this section after receipt of the notice described in 
        paragraph (2).
            ``(4) Deadline for environmental reviews for which a fee is 
        paid.--Notwithstanding section 107(g)(1)--
                    ``(A) an environmental assessment for which a fee 
                is paid under this section shall be completed not later 
                than 180 days after the date on which the fee is paid; 
                and
                    ``(B) an environmental impact statement for which a 
                fee is paid under this section shall be completed not 
                later than 1 year after the date of publication of the 
                notice of intent to prepare the environmental impact 
                statement.
    ``(b) Fee Amount.--The amount of a fee under this section shall 
be--
            ``(1) 125 percent of the anticipated costs to prepare the 
        environmental assessment or environmental impact statement; and
            ``(2) in the case of an environmental assessment or 
        environmental impact statement to be prepared in whole or in 
        part by a project sponsor under section 107(f), 125 percent of 
        the anticipated costs to supervise preparation of, and, as 
        applicable, prepare, the environmental assessment or 
        environmental impact statement.''.

                           TITLE VII--FINANCE

                            Subtitle A--Tax

SEC. 70001. REFERENCES TO THE INTERNAL REVENUE CODE OF 1986, ETC.

    (a) References.--Except as otherwise expressly provided, whenever 
in this title, 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.
    (b) Certain Rules Regarding Effect of Rate Changes Not 
Applicable.--Section 15 of the Internal Revenue Code of 1986 shall not 
apply to any change in rate of tax by reason of any provision of, or 
amendment made by, this title.

CHAPTER 1--PROVIDING PERMANENT TAX RELIEF FOR MIDDLE-CLASS FAMILIES AND 
                                WORKERS

SEC. 70101. EXTENSION AND ENHANCEMENT OF REDUCED RATES.

    (a) In General.--Section 1(j) is amended--
            (1) in paragraph (1), by striking ``, and before January 1, 
        2026'', and
            (2) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Inflation Adjustment.--Section 1(j)(3)(B)(i) is amended by 
inserting ``solely for purposes of determining the dollar amounts at 
which any rate bracket higher than 12 percent ends and at which any 
rate bracket higher than 22 percent begins,'' before ``subsection 
(f)(3)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70102. EXTENSION AND ENHANCEMENT OF INCREASED STANDARD DEDUCTION.

    (a) In General.--Section 63(c)(7) is amended--
            (1) by striking ``, and before January 1, 2026'' in the 
        matter preceding subparagraph (A), and
            (2) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Additional Increase in Standard Deduction.--Paragraph (7) of 
section 63(c) is amended--
            (1) by striking ``$18,000'' both places it appears in 
        subparagraphs (A)(i) and (B)(ii) and inserting ``$23,625'',
            (2) by striking ``$12,000'' both places it appears in 
        subparagraphs (A)(ii) and (B)(ii) and inserting ``$15,750'',
            (3) by striking ``2018'' in subparagraph (B)(ii) and 
        inserting ``2025'', and
            (4) by striking ``2017'' in subparagraph (B)(ii)(II) and 
        inserting ``2024''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 70103. TERMINATION OF DEDUCTION FOR PERSONAL EXEMPTIONS OTHER THAN 
              TEMPORARY SENIOR DEDUCTION.

    (a) In General.--Section 151(d)(5) is amended--
            (1) by striking ``2018 through 2025'' in the heading and 
        inserting ``beginning after 2017'',
            (2) by striking ``, and before January 1, 2026'', and
            (3) by adding at the end the following new subparagraph:
                    ``(C) Deduction for seniors.--
                            ``(i) In general.--In the case of a taxable 
                        year beginning before January 1, 2029, there 
                        shall be allowed a deduction in an amount equal 
                        to $6,000 for each qualified individual with 
                        respect to the taxpayer.
                            ``(ii) Qualified individual.--For purposes 
                        of clause (i), the term `qualified individual' 
                        means--
                                    ``(I) the taxpayer, if the taxpayer 
                                has attained age 65 before the close of 
                                the taxable year, and
                                    ``(II) in the case of a joint 
                                return, the taxpayer's spouse, if such 
                                spouse has attained age 65 before the 
                                close of the taxable year.
                            ``(iii) Limitation based on modified 
                        adjusted gross income.--
                                    ``(I) In general.--In the case of 
                                any taxpayer for any taxable year, the 
                                $6,000 amount in clause (i) shall be 
                                reduced (but not below zero) by 6 
                                percent of so much of the taxpayer's 
                                modified adjusted gross income as 
                                exceeds $75,000 ($150,000 in the case 
                                of a joint return).
                                    ``(II) Modified adjusted gross 
                                income.--For purposes of this clause, 
                                the term `modified adjusted gross 
                                income' means the adjusted gross income 
                                of the taxpayer for the taxable year 
                                increased by any amount excluded from 
                                gross income under section 911, 931, or 
                                933.
                            ``(iv) Social security number required.--
                                    ``(I) In general.--Clause (i) shall 
                                not apply with respect to a qualified 
                                individual unless the taxpayer includes 
                                such qualified individual's social 
                                security number on the return of tax 
                                for the taxable year.
                                    ``(II) Social security number.--For 
                                purposes of subclause (I), the term 
                                `social security number' has the 
                                meaning given such term in section 
                                24(h)(7).
                            ``(v) Married individuals.--If the taxpayer 
                        is a married individual (within the meaning of 
                        section 7703), this subparagraph shall apply 
                        only if the taxpayer and the taxpayer's spouse 
                        file a joint return for the taxable year.''.
    (b) Omission of Correct Social Security Number Treated as 
Mathematical or Clerical Error.--Section 6213(g)(2) is amended by 
striking ``and'' at the end of subparagraph (U), by striking the period 
at the end of subparagraph (V) and inserting ``, and'', and by 
inserting after subparagraph (V) the following new subparagraph:
                    ``(W) an omission of a correct social security 
                number required under section 151(d)(5)(C) (relating to 
                deduction for seniors).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 70104. EXTENSION AND ENHANCEMENT OF INCREASED CHILD TAX CREDIT.

    (a) Extension and Increase of Expanded Child Tax Credit.--Section 
24(h) is amended--
            (1) in paragraph (1), by striking ``, and before January 1, 
        2026'',
            (2) in paragraph (2), by striking ``$2,000'' and inserting 
        ``$2,200'', and
            (3) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Social Security Number Required.--Section 24(h)(7) is amended 
to read as follows:
            ``(7) Social security number required.--
                    ``(A) In general.--No credit shall be allowed under 
                this section to a taxpayer with respect to any 
                qualifying child unless the taxpayer includes on the 
                return of tax for the taxable year--
                            ``(i) the taxpayer's social security number 
                        (or, in the case of a joint return, the social 
                        security number of at least 1 spouse), and
                            ``(ii) the social security number of such 
                        qualifying child.
                    ``(B) Social security number.--For purposes of this 
                paragraph, the term `social security number' means a 
                social security number issued to an individual by the 
                Social Security Administration, but only if the social 
                security number is issued--
                            ``(i) to a citizen of the United States or 
                        pursuant to subclause (I) (or that portion of 
                        subclause (III) that relates to subclause (I)) 
                        of section 205(c)(2)(B)(i) of the Social 
                        Security Act, and
                            ``(ii) before the due date for such 
                        return.''.
    (c) Inflation Adjustments.--Section 24(i) is amended to read as 
follows:
    ``(i) Inflation Adjustments.--
            ``(1) Maximum amount of refundable credit.--In the case of 
        a taxable year beginning after 2024, the $1,400 amount in 
        subsection (h)(5) shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `2017' for `2016' in subparagraph (A)(ii) thereof.
            ``(2) Special rule for adjustment of credit amount.--In the 
        case of a taxable year beginning after 2025, the $2,200 amount 
        in subsection (h)(2) shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `2024' for `2016' in subparagraph (A)(ii) thereof.
            ``(3) Rounding.--If any increase under this subsection is 
        not a multiple of $100, such increase shall be rounded to the 
        next lowest multiple of $100.''.
    (d) Conforming Amendment.--Section 24(h)(5) is amended to read as 
follows:
            ``(5) Maximum amount of refundable credit.--The amount 
        determined under subsection (d)(1)(A) with respect to any 
        qualifying child shall not exceed $1,400, and such subsection 
        shall be applied without regard to paragraph (4) of this 
        subsection.''.
    (e) Omission of Correct Social Security Number Treated as 
Mathematical or Clerical Error.--Section 6213(g)(2)(I) is amended by 
striking ``section 24(e)'' and inserting ``section 24''.
    (f) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 70105. EXTENSION AND ENHANCEMENT OF DEDUCTION FOR QUALIFIED 
              BUSINESS INCOME.

    (a) Increase in Taxable Income Limitation Phase-in Amounts.--
            (1) In general.--Subparagraph (B) of section 199A(b)(3) is 
        amended by striking ``$50,000 ($100,000 in the case of a joint 
        return)'' each place it appears and inserting ``$75,000 
        ($150,000 in the case of a joint return)''.
            (2) Conforming amendment.--Paragraph (3) of section 199A(d) 
        is amended by striking ``$50,000 ($100,000 in the case of a 
        joint return)'' each place it appears and inserting ``$75,000 
        ($150,000 in the case of a joint return)''.
    (b) Minimum Deduction for Active Qualified Business Income.--
            (1) In general.--Subsection (i) of section 199A is amended 
        to read as follows:
    ``(i) Minimum Deduction for Active Qualified Business Income.--
            ``(1) In general.--In the case of an applicable taxpayer 
        for any taxable year, the deduction allowed under subsection 
        (a) for the taxable year shall be equal to the greater of--
                    ``(A) the amount of such deduction determined 
                without regard to this subsection, or
                    ``(B) $400.
            ``(2) Applicable taxpayer.--For purposes of this 
        subsection--
                    ``(A) In general.--The term `applicable taxpayer' 
                means, with respect to any taxable year, a taxpayer 
                whose aggregate qualified business income with respect 
                to all active qualified trades or businesses of the 
                taxpayer for such taxable year is at least $1,000.
                    ``(B) Active qualified trade or business.--The term 
                `active qualified trade or business' means, with 
                respect to any taxpayer for any taxable year, any 
                qualified trade or business of the taxpayer in which 
                the taxpayer materially participates (within the 
                meaning of section 469(h)).
            ``(3) Inflation adjustment.--In the case of any taxable 
        year beginning after 2026, the $400 amount in paragraph (1)(B) 
        and the $1,000 amount in paragraph (2)(A) shall each be 
        increased by an amount equal to --
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2025' for `calendar year 2016' in 
                subparagraph (A)(ii) thereof.
        If any increase under this paragraph is not a multiple of $5, 
        such increase shall be rounded to the nearest multiple of 
        $5.''.
            (2) Conforming amendment.--Section 199A(a) is amended by 
        inserting ``except as provided in subsection (i),'' before 
        ``there''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70106. EXTENSION AND ENHANCEMENT OF INCREASED ESTATE AND GIFT TAX 
              EXEMPTION AMOUNTS.

    (a) In General.--Section 2010(c)(3) is amended--
            (1) in subparagraph (A) by striking ``$5,000,000'' and 
        inserting ``$15,000,000'',
            (2) in subparagraph (B)--
                    (A) in the matter preceding clause (i), by striking 
                ``2011'' and inserting ``2026'', and
                    (B) in clause (ii), by striking ``calendar year 
                2010'' and inserting ``calendar year 2025'', and
            (3) by striking subparagraph (C).
    (b) Effective Date.--The amendments made by this section shall 
apply to estates of decedents dying and gifts made after December 31, 
2025.

SEC. 70107. EXTENSION OF INCREASED ALTERNATIVE MINIMUM TAX EXEMPTION 
              AMOUNTS AND MODIFICATION OF PHASEOUT THRESHOLDS.

    (a) In General.--Section 55(d)(4) is amended--
            (1) in subparagraph (A), by striking ``, and before January 
        1, 2026'', and
            (2) by striking ``and Before 2026'' in the heading.
    (b) Modification of Inflation Adjustment.--Section 55(d)(4)(B) is 
amended--
            (1) by striking ``2018'' and inserting ``2018 (2026, in the 
        case of the $1,000,000 amount in subparagraph (A)(ii)(I))'', 
        and
            (2) by striking ``determined by substituting `calendar year 
        2017' for `calendar year 2016' in subparagraph (A)(ii) 
        thereof.'' and inserting ``determined by substituting for 
        `calendar year 2016' in subparagraph (A)(ii) thereof--
            ``(1) `calendar year 2017', in the case of the $109,400 
        amount in subparagraph (A)(i)(I) and the $70,300 amount in 
        subparagraph (A)(i)(II), and
            ``(2) `calendar year 2025', in the case of the $1,000,000 
        amount in subparagraph (A)(ii)(I).''.
    (c) Modification of Phaseout Amount.--Section 55(d)(4)(A)(ii) is 
amended by striking ``and'' at the end of subclause (II), and by adding 
at the end the following new subclause:
                                    ``(IV) by substituting `50 percent' 
                                for `25 percent', and''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70108. EXTENSION AND MODIFICATION OF LIMITATION ON DEDUCTION FOR 
              QUALIFIED RESIDENCE INTEREST.

    (a) In General.--Section 163(h)(3)(F) is amended--
            (1) in clause (i)--
                    (A) by striking ``, and before January 1, 2026'',
                    (B) by redesignating subclauses (III) and (IV) as 
                subclauses (IV) and (V), respectively,
                    (C) by striking ``subclause (III)'' in subclause 
                (V), as so redesignated, and inserting ``subclause 
                (IV)'', and
                    (D) by inserting after subclause (II) the following 
                new subclause:
                                    ``(III) Mortgage insurance premiums 
                                treated as interest.--Clause (iv) of 
                                subparagraph (E) shall not apply.'',
            (2) by striking clause (ii) and redesignating clauses (iii) 
        and (iv) as clauses (ii) and (iii), respectively, and
            (3) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70109. EXTENSION AND MODIFICATION OF LIMITATION ON CASUALTY LOSS 
              DEDUCTION.

    (a) In General.--Section 165(h)(5) is amended--
            (1) in subparagraph (A), by striking ``, and before January 
        1, 2026'', and
            (2) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Extension to State Declared Disasters.--
            (1) In general.--Subparagraph (A) of section 165(h)(5), as 
        amended by subsection (a), is further amended by striking 
        ``(i)(5))'' and inserting ``(i)(5)) or a State declared 
        disaster''.
            (2) Exception related to personal casualty gains.--Clause 
        (i) of section 165(h)(5)(B) is amended by striking ``(as so 
        defined)'' and inserting ``(as so defined) or a State declared 
        disaster''.
            (3) State declared disaster.--Paragraph (5) of section 
        165(h) is amended by adding at the end the following new 
        subparagraph:
                    ``(C) State declared disaster.--For purposes of 
                this paragraph--
                            ``(i) In general.--The term `State declared 
                        disaster' means, with respect to any State, any 
                        natural catastrophe (including any hurricane, 
                        tornado, storm, high water, wind-driven water, 
                        tidal wave, tsunami, earthquake, volcanic 
                        eruption, landslide, mudslide, snowstorm, or 
                        drought), or, regardless of cause, any fire, 
                        flood, or explosion, in any part of the State, 
                        which in the determination of the Governor of 
                        such State (or the Mayor, in the case of the 
                        District of Columbia) and the Secretary causes 
                        damage of sufficient severity and magnitude to 
                        warrant the application of the rules of this 
                        section.
                            ``(ii) State.--The term `State' includes 
                        the District of Columbia, the Commonwealth of 
                        Puerto Rico, the Virgin Islands, Guam, American 
                        Samoa, and the Commonwealth of the Northern 
                        Mariana Islands.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70110. TERMINATION OF MISCELLANEOUS ITEMIZED DEDUCTIONS OTHER THAN 
              EDUCATOR EXPENSES.

    (a) In General.--Section 67(g) is amended--
            (1) by striking ``, and before January 1, 2026'', and
            (2) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Deduction for Educator Expenses.--
            (1) In general.--Section 67(b) is amended by striking 
        ``and'' at the end of paragraph (11), by striking the period at 
        the end of paragraph (12) and inserting ``, and'', and by 
        adding at the end the following new paragraph:
            ``(13) the deductions allowed by section 162 for educator 
        expenses (as defined in subsection (g)).''.
            (2) Inclusion of coaches and certain nonathletic 
        instructional equipment.--Section 67 is amended by 
        redesignating subsection (g), as amended by this section, as 
        subsection (h), and by inserting after subsection (f) the 
        following new section:
    ``(g) Educator Expenses.--For purposes of subsection (b)(13), the 
term `educator expenses' means expenses of a type which would be 
described in section 62(a)(2)(D) if--
            ``(1) such section were applied--
                    ``(A) without regard to the dollar limitation,
                    ``(B) without regard to `(other than nonathletic 
                supplies for courses of instruction in health or 
                physical education)' in clause (ii) thereof, and
                    ``(C) by substituting `as part of instructional 
                activity' for `in the classroom' in clause (ii) 
                thereof, and
            ``(2) section 62(d)(1)(A) were applied by inserting `, 
        interscholastic sports administrator or coach,' after 
        `counselor'.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70111. LIMITATION ON TAX BENEFIT OF ITEMIZED DEDUCTIONS.

    (a) In General.--Section 68 is amended to read as follows:
    ``(a) In General.--In the case of an individual, the amount of the 
itemized deductions otherwise allowable for the taxable year 
(determined without regard to this section) shall be reduced by \2/37\ 
of the lesser of--
            ``(1) such amount of itemized deductions, or
            ``(2) so much of the taxable income of the taxpayer for the 
        taxable year (determined without regard to this section and 
        increased by such amount of itemized deductions) as exceeds the 
        dollar amount at which the 37 percent rate bracket under 
        section 1 begins with respect to the taxpayer.
    ``(b) Coordination With Other Limitations.--This section shall be 
applied after the application of any other limitation on the allowance 
of any itemized deduction.''.
    (b) Limitation Not Applicable to Determination of Deduction for 
Qualified Business Income.--
            (1) In general.--Section 199A(e)(1) is amended by inserting 
        ``without regard to section 68 and'' after ``shall be 
        computed''.
            (2) Patrons of specified agricultural and horticultural 
        cooperatives.--Section 199A(g)(2)(B) is amended by inserting 
        ``section 68 or'' after ``without regard to''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70112. EXTENSION AND MODIFICATION OF QUALIFIED TRANSPORTATION 
              FRINGE BENEFITS.

    (a) In General.--Section 132(f) is amended--
            (1) by striking subparagraph (D) of paragraph (1),
            (2) in paragraph (2), by inserting ``and'' at the end of 
        subparagraph (A), by striking ``, and'' at the end of 
        subparagraph (B) and inserting a period, and by striking 
        subparagraph (C),
            (3) by striking ``(other than a qualified bicycle commuting 
        reimbursement)'' in paragraph (4),
            (4) by striking subparagraph (F) of paragraph (5), and
            (5) by striking paragraph (8).
    (b) Inflation Adjustment.--Clause (ii) of section 132(f)(6)(A) is 
amended by striking ``1998'' in clause (ii) and inserting ``1997''.
    (c) Coordination With Disallowance of Certain Expenses.--Subsection 
(l) of section 274 is amended--
            (1) by striking ``Benefits.--'' and all that follows 
        through ``No deduction'' and inserting ``Benefits.--No 
        deduction'', and
            (2) by striking paragraph (2).
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70113. EXTENSION AND MODIFICATION OF LIMITATION ON DEDUCTION AND 
              EXCLUSION FOR MOVING EXPENSES.

    (a) Extension of Limitation on Deduction.--Section 217(k) is 
amended--
            (1) by striking ``, and before January 1, 2026'', and
            (2) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (b) Allowance of Deduction for Members of the Intelligence 
Community.--Section 217(k), as amended by subsection (a), is further 
amended--
            (1) by striking ``2017.--Except in the case'' and inserting 
        ``2017.--
            ``(1) In general.--Except in the case'', and
            (2) by adding at the end the following new paragraph:
            ``(2) Members of the intelligence community.--An employee 
        or new appointee of the intelligence community (as defined in 
        section 3 of the National Security Act of 1947 (50 U.S.C. 
        3003)) (other than a member of the Armed Forces of the United 
        States) who moves pursuant to a change in assignment which 
        requires relocation shall be treated for purposes of this 
        section in the same manner as an individual to whom subsection 
        (g) applies.''.
    (c) Extension of Limitation on Exclusion.--Section 132(g)(2) is 
amended--
            (1) by striking ``, and before January 1, 2026'', and
            (2) by striking ``2018 Through 2025'' in the heading and 
        inserting ``Beginning After 2017''.
    (d) Allowance of Exclusion for Members of the Intelligence 
Community.--Section 132(g)(2) of the Internal Revenue Code of 1986 is 
amended by inserting ``, or an employee or new appointee of the 
intelligence community (as defined in section 3 of the National 
Security Act of 1947 (50 U.S.C. 3003)) (other than a member of the 
Armed Forces of the United States) who moves pursuant to a change in 
assignment that requires relocation'' after ``change of station''.
    (e) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70114. EXTENSION AND MODIFICATION OF LIMITATION ON WAGERING 
              LOSSES.

    (a) In General.--Section 165 is amended by striking subsection (d) 
and inserting the following:
    ``(d) Wagering Losses.--
            ``(1) In general.--For purposes of losses from wagering 
        transactions, the amount allowed as a deduction for any taxable 
        year--
                    ``(A) shall be equal to 90 percent of the amount of 
                such losses during such taxable year, and
                    ``(B) shall be allowed only to the extent of the 
                gains from such transactions during such taxable year.
            ``(2) Special rule.--For purposes of paragraph (1), the 
        term `losses from wagering transactions' includes any deduction 
        otherwise allowable under this chapter incurred in carrying on 
        any wagering transaction.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

SEC. 70115. EXTENSION AND ENHANCEMENT OF INCREASED LIMITATION ON 
              CONTRIBUTIONS TO ABLE ACCOUNTS.

    (a) In General.--Section 529A(b)(2)(B) is amended--
            (1) in clause (i), by inserting ``(determined by 
        substituting `1996' for `1997' in paragraph (2)(B) thereof)'' 
        after ``section 2503(b)'', and
            (2) in clause (ii), by striking ``before January 1, 2026''.
    (b) Effective Dates.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall apply to 
        contributions made after December 31, 2025.
            (2) Modified inflation adjustment.--The amendment made by 
        subsection (a)(1) shall apply to taxable years beginning after 
        December 31, 2025.

SEC. 70116. EXTENSION AND ENHANCEMENT OF SAVERS CREDIT ALLOWED FOR ABLE 
              CONTRIBUTIONS.

    (a) Extension.--
            (1) In general.--Section 25B(d)(1) is amended to read as 
        follows:
            ``(1) In general.--The term `qualified retirement savings 
        contributions' means, with respect to any taxable year, the sum 
        of--
                    ``(A) the amount of contributions made by the 
                eligible individual during such taxable year to the 
                ABLE account (within the meaning of section 529A) of 
                which such individual is the designated beneficiary, 
                and
                    ``(B) in the case of any taxable year beginning 
                before January 1, 2027--
                            ``(i) the amount of the qualified 
                        retirement contributions (as defined in section 
                        219(e)) made by the eligible individual,
                            ``(ii) the amount of--
                                    ``(I) any elective deferrals (as 
                                defined in section 402(g)(3)) of such 
                                individual, and
                                    ``(II) any elective deferral of 
                                compensation by such individual under 
                                an eligible deferred compensation plan 
                                (as defined in section 457(b)) of an 
                                eligible employer described in section 
                                457(e)(1)(A), and
                            ``(iii) the amount of voluntary employee 
                        contributions by such individual to any 
                        qualified retirement plan (as defined in 
                        section 4974(c)).''.
            (2) Coordination with secure 2.0 act of 2022 amendment.--
        Paragraph (1) of section 103(e) of the SECURE 2.0 Act of 2022 
        is repealed, and the Internal Revenue Code of 1986 shall be 
        applied and administered as though such paragraph were never 
        enacted.
            (3) Effective date.--The amendments and repeal made by this 
        subsection shall apply to taxable years ending after December 
        31, 2025.
    (b) Increase of Credit Amount.--
            (1) In general.--Section 25B(a) is amended by striking 
        ``$2,000'' and inserting ``$2,100''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to taxable years beginning after December 31, 2026.

SEC. 70117. EXTENSION OF ROLLOVERS FROM QUALIFIED TUITION PROGRAMS TO 
              ABLE ACCOUNTS PERMITTED.

    (a) In General.--Section 529(c)(3)(C)(i)(III) is amended by 
striking ``before January 1, 2026,''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

SEC. 70118. EXTENSION OF TREATMENT OF CERTAIN INDIVIDUALS PERFORMING 
              SERVICES IN THE SINAI PENINSULA AND ENHANCEMENT TO 
              INCLUDE ADDITIONAL AREAS.

    (a) Treatment Made Permanent.--Section 11026(a) of Public Law 115-
97 is amended by striking ``, with respect to the applicable period''.
    (b) Kenya, Mali, Burkina Faso, and Chad Included as Hazardous Duty 
Areas.--Section 11026(b) of Public Law 115-97 is amended to read as 
follows:
    ``(b) Qualified Hazardous Duty Area.--For purposes of this section, 
the term `qualified hazardous duty area' means each of the following 
locations, but only during the period for which any member of the Armed 
Forces of the United States is entitled to special pay under section 
310 of title 37, United States Code (relating to special pay; duty 
subject to hostile fire or imminent danger), for services performed in 
such location:
            ``(1) the Sinai Peninsula of Egypt.
            ``(2) Kenya.
            ``(3) Mali.
            ``(4) Burkina Faso.
            ``(5) Chad.''.
    (c) Conforming Amendment.--Section 11026 of Public Law 115-97 is 
amended by striking subsections (c) and (d).
    (d) Effective Date.--The amendments made by this section shall take 
effect on January 1, 2026.

SEC. 70119. EXTENSION AND MODIFICATION OF EXCLUSION FROM GROSS INCOME 
              OF STUDENT LOANS DISCHARGED ON ACCOUNT OF DEATH OR 
              DISABILITY.

    (a) In General.--Section 108(f)(5) is amended to read as follows:
            ``(5) Discharges on account of death or disability.--
                    ``(A) In general.--In the case of an individual, 
                gross income does not include any amount which (but for 
                this subsection) would be includible in gross income 
                for such taxable year by reason of the discharge (in 
                whole or in part) of any loan described in subparagraph 
                (B), if such discharge was--
                            ``(i) pursuant to subsection (a) or (d) of 
                        section 437 of the Higher Education Act of 1965 
                        or the parallel benefit under part D of title 
                        IV of such Act (relating to the repayment of 
                        loan liability),
                            ``(ii) pursuant to section 464(c)(1)(F) of 
                        such Act, or
                            ``(iii) otherwise discharged on account of 
                        death or total and permanent disability of the 
                        student.
                    ``(B) Loans discharged.--A loan is described in 
                this subparagraph if such loan is--
                            ``(i) a student loan (as defined in 
                        paragraph (2)), or
                            ``(ii) a private education loan (as defined 
                        in section 140(a) of the Consumer Credit 
                        Protection Act (15 U.S.C. 1650(a)).
                    ``(C) Social security number requirement.--
                            ``(i) In general.--Subparagraph (A) shall 
                        not apply with respect to any discharge during 
                        any taxable year unless the taxpayer includes 
                        the taxpayer's social security number on the 
                        return of tax for such taxable year.
                            ``(ii) Social security number.--For 
                        purposes of this subparagraph, the term `social 
                        security number' has the meaning given such 
                        term in section 24(h)(7).''.
    (b) Omission of Correct Social Security Number Treated as 
Mathematical or Clerical Error.--Section 6213(g)(2), as amended by this 
Act, is further amended by striking ``and'' at the end of subparagraph 
(V), by striking the period at the end of subparagraph (W) and 
inserting ``, and'', and by inserting after subparagraph (W) the 
following new subparagraph:
                    ``(X) an omission of a correct social security 
                number required under section 108(f)(5)(C) (relating to 
                discharges on account of death or disability).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to discharges after December 31, 2025.

SEC. 70120. LIMITATION ON INDIVIDUAL DEDUCTIONS FOR CERTAIN STATE AND 
              LOCAL TAXES, ETC.

    (a) In General.--Section 164(b)(6) is amended--
            (1) by striking ``and before January 1, 2026'', and
            (2) by striking ``$10,000 ($5,000 in the case of a married 
        individual filing a separate return)'' and inserting ``the 
        applicable limitation amount (half the applicable limitation 
        amount in the case of a married individual filing a separate 
        return)''.
    (b) Applicable Limitation Amount.--Section 164(b) is amended by 
adding at the end the following new paragraph:
            ``(7) Applicable limitation amount.--
                    ``(A) In general.--For purposes of paragraph (6), 
                the term `applicable limitation amount' means--
                            ``(i) in the case of any taxable year 
                        beginning in calendar year 2025, $40,000,
                            ``(ii) in the case of any taxable year 
                        beginning in calendar year 2026, $40,400,
                            ``(iii) in the case of any taxable year 
                        beginning after calendar year 2026 and before 
                        2030, 101 percent of the dollar amount in 
                        effect under this subparagraph for taxable 
                        years beginning in the preceding calendar year, 
                        and
                            ``(iv) in the case of any taxable year 
                        beginning after calendar year 2029, $10,000.
                    ``(B) Phasedown based on modified adjusted gross 
                income.--
                            ``(i) In general.--Except as provided in 
                        clause (iii), in the case of any taxable year 
                        beginning before January 1, 2030, the 
                        applicable limitation amount shall be reduced 
                        by 30 percent of the excess (if any) of the 
                        taxpayer's modified adjusted gross income over 
                        the threshold amount (half the threshold amount 
                        in the case of a married individual filing a 
                        separate return).
                            ``(ii) Threshold amount.--For purposes of 
                        this subparagraph, the term `threshold amount' 
                        means--
                                    ``(I) in the case of any taxable 
                                year beginning in calendar year 2025, 
                                $500,000,
                                    ``(II) in the case of any taxable 
                                year beginning in calendar year 2026, 
                                $505,000, and
                                    ``(III) in the case of any taxable 
                                year beginning after calendar year 
                                2026, 101 percent of the dollar amount 
                                in effect under this subparagraph for 
                                taxable years beginning in the 
                                preceding calendar year.
                            ``(iii) Limitation on reduction.--The 
                        reduction under clause (i) shall not result in 
                        the applicable limitation amount being less 
                        than $10,000.
                            ``(iv) Modified adjusted gross income.--For 
                        purposes of this paragraph, the term `modified 
                        adjusted gross income' means adjusted gross 
                        income increased by any amount excluded from 
                        gross income under section 911, 931, or 933.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

CHAPTER 2--DELIVERING ON PRESIDENTIAL PRIORITIES TO PROVIDE NEW MIDDLE-
                            CLASS TAX RELIEF

SEC. 70201. NO TAX ON TIPS.

    (a) Deduction Allowed.--Part VII of subchapter B of chapter 1 is 
amended by redesignating section 224 as section 225 and by inserting 
after section 223 the following new section:

``SEC. 224. QUALIFIED TIPS.

    ``(a) In General.--There shall be allowed as a deduction an amount 
equal to the qualified tips received during the taxable year that are 
included on statements furnished to the individual pursuant to section 
6041(d)(3), 6041A(e)(3), 6050W(f)(2), or 6051(a)(18), or reported by 
the taxpayer on Form 4137 (or successor).
    ``(b) Limitation.--
            ``(1) In general.--The amount allowed as a deduction under 
        this section for any taxable year shall not exceed $25,000.
            ``(2) Limitation based on adjusted gross income.--
                    ``(A) In general.--The amount allowable as a 
                deduction under subsection (a) (after application of 
                paragraph (1)) shall be reduced (but not below zero) by 
                $100 for each $1,000 by which the taxpayer's modified 
                adjusted gross income exceeds $150,000 ($300,000 in the 
                case of a joint return).
                    ``(B) Modified adjusted gross income.--For purposes 
                of this paragraph, the term `modified adjusted gross 
                income' means the adjusted gross income of the taxpayer 
                for the taxable year increased by any amount excluded 
                from gross income under section 911, 931, or 933.
    ``(c) Tips Received in Course of Trade or Business.--In the case of 
qualified tips received by an individual during any taxable year in the 
course of a trade or business (other than the trade or business of 
performing services as an employee) of such individual, such qualified 
tips shall be taken into account under subsection (a) only to the 
extent that the gross income for the taxpayer from such trade or 
business for such taxable year (including such qualified tips) exceeds 
the sum of the deductions (other than the deduction allowed under this 
section) allocable to the trade or business in which such qualified 
tips are received by the individual for such taxable year.
    ``(d) Qualified Tips.--For purposes of this section--
            ``(1) In general.--The term `qualified tips' means cash 
        tips received by an individual in an occupation which 
        customarily and regularly received tips on or before December 
        31, 2024, as provided by the Secretary.
            ``(2) Exclusions.--Such term shall not include any amount 
        received by an individual unless--
                    ``(A) such amount is paid voluntarily without any 
                consequence in the event of nonpayment, is not the 
                subject of negotiation, and is determined by the payor,
                    ``(B) the trade or business in the course of which 
                the individual receives such amount is not a specified 
                service trade or business (as defined in section 
                199A(d)(2)), and
                    ``(C) such other requirements as may be established 
                by the Secretary in regulations or other guidance are 
                satisfied.
        For purposes of subparagraph (B), in the case of an individual 
        receiving tips in the trade or business of performing services 
        as an employee, such individual shall be treated as receiving 
        tips in the course of a trade or business which is a specified 
        service trade or business if the trade or business of the 
        employer is a specified service trade or business.
            ``(3) Cash tips.--For purposes of paragraph (1), the term 
        `cash tips' includes tips received from customers that are paid 
        in cash or charged and, in the case of an employee, tips 
        received under any tip-sharing arrangement.
    ``(e) Social Security Number Required.--
            ``(1) In general.--No deduction shall be allowed under this 
        section unless the taxpayer includes on the return of tax for 
        the taxable year such individual's social security number.
            ``(2) Social security number defined.--For purposes of 
        paragraph (1), the term `social security number' shall have the 
        meaning given such term in section 24(h)(7).
    ``(f) Married Individuals.--If the taxpayer is a married individual 
(within the meaning of section 7703), this section shall apply only if 
the taxpayer and the taxpayer's spouse file a joint return for the 
taxable year.
    ``(g) Regulations.--The Secretary shall prescribe such regulations 
or other guidance as may be necessary to prevent reclassification of 
income as qualified tips, including regulations or other guidance to 
prevent abuse of the deduction allowed by this section.
    ``(h) Termination.--No deduction shall be allowed under this 
section for any taxable year beginning after December 31, 2028.''.
    (b) Deduction Allowed to Non-itemizers.--Section 63(b) is amended 
by striking ``and'' at the end of paragraph (3), by striking the period 
at the end of paragraph (4) and inserting ``, and'', and by adding at 
the end the following new paragraph:
            ``(5) the deduction provided in section 224.''.
    (c) Omission of Correct Social Security Number Treated as 
Mathematical or Clerical Error.--Section 6213(g)(2), as amended by the 
preceding provisions of this Act, is amended by striking ``and'' at the 
end of subparagraph (W), by striking the period at the end of 
subparagraph (X) and inserting ``, and'', and by inserting after 
subparagraph (X) the following new subparagraph:
                    ``(Y) an omission of a correct social security 
                number required under section 224(e) (relating to 
                deduction for qualified tips).''.
    (d) Exclusion From Qualified Business Income.--Section 199A(c)(4) 
is amended by striking ``and'' at the end of subparagraph (B), by 
striking the period at the end of subparagraph (C) and inserting ``, 
and'', and by adding at the end the following new subparagraph:
                    ``(D) any amount with respect to which a deduction 
                is allowable to the taxpayer under section 224(a) for 
                the taxable year.''.
    (e) Extension of Tip Credit to Beauty Service Business.--
            (1) In general.--Section 45B(b)(2) is amended to read as 
        follows:
            ``(2) Application only to certain lines of business.--In 
        applying paragraph (1) there shall be taken into account only 
        tips received from customers or clients in connection with the 
        following services:
                    ``(A) The providing, delivering, or serving of food 
                or beverages for consumption, if the tipping of 
                employees delivering or serving food or beverages by 
                customers is customary.
                    ``(B) The providing of any of the following 
                services to a customer or client if the tipping of 
                employees providing such services is customary:
                            ``(i) Barbering and hair care.
                            ``(ii) Nail care.
                            ``(iii) Esthetics.
                            ``(iv) Body and spa treatments.''.
            (2) Credit determined with respect to minimum wage in 
        effect.--Section 45B(b)(1)(B) is amended--
                    (A) by striking ``as in effect on January 1, 2007, 
                and'', and
                    (B) by inserting ``, and in the case of food or 
                beverage establishments, as in effect on January 1, 
                2007'' after ``without regard to section 3(m) of such 
                Act''.
    (f) Reporting Requirements.--
            (1) Returns for payments made in the course of a trade or 
        business.--
                    (A) Statement furnished to secretary.--Section 
                6041(a) is amended by inserting ``(including a separate 
                accounting of any such amounts reasonably designated as 
                cash tips and the occupation described in section 
                224(d)(1) of the person receiving such tips)'' after 
                ``such gains, profits, and income''.
                    (B) Statement furnished to payee.--Section 6041(d) 
                is amended by striking ``and'' at the end of paragraph 
                (1), by striking the period at the end of paragraph (2) 
                and inserting ``, and'', and by inserting after 
                paragraph (2) the following new paragraph:
            ``(3) in the case of compensation to non-employees, the 
        portion of payments that have been reasonably designated as 
        cash tips and the occupation described in section 224(d)(1) of 
        the person receiving such tips.''.
            (2) Returns for payments made for services and direct 
        sales.--
                    (A) Statement furnished to secretary.--Section 
                6041A(a) is amended by inserting ``(including a 
                separate accounting of any such amounts reasonably 
                designated as cash tips and the occupation described in 
                section 224(d)(1) of the person receiving such tips)'' 
                after ``amount of such payments''.
                    (B) Statement furnished to payee.--Section 6041A(e) 
                is amended by striking ``and'' at the end of paragraph 
                (1), by striking the period at the end of paragraph (2) 
                and inserting ``, and'', and by inserting after 
                paragraph (2) the following new paragraph:
            ``(3) in the case of subsection (a), the portion of 
        payments that have been reasonably designated as cash tips and 
        the occupation described in section 224(d)(1) of the person 
        receiving such tips.''.
            (3) Returns relating to third party settlement 
        organizations.--
                    (A) Statement furnished to secretary.--Section 
                6050W(a) is amended by striking ``and'' at the end of 
                paragraph (1), by striking the period at the end of 
                paragraph (2) and inserting ``and'', and by adding at 
                the end the following new paragraph:
            ``(3) in the case of a third party settlement organization, 
        the portion of reportable payment transactions that have been 
        reasonably designated by payors as cash tips and the occupation 
        described in section 224(d)(1) of the person receiving such 
        tips.''.
                    (B) Statement furnished to payee.--Section 
                6050W(f)(2) is amended by inserting ``(including a 
                separate accounting of any such amounts that have been 
                reasonably designated by payors as cash tips and the 
                occupation described in section 224(d)(1) of the person 
                receiving such tips)'' after ``reportable payment 
                transactions''.
            (4) Returns related to wages.--Section 6051(a) is amended 
        by striking ``and'' at the end of paragraph (16), by striking 
        the period at the end of paragraph (17) and inserting ``, 
        and'', and by inserting after paragraph (17) the following new 
        paragraph:
            ``(18) the total amount of cash tips reported by the 
        employee under section 6053(a) and the occupation described in 
        section 224(d)(1) such person.''.
    (g) Clerical Amendment.--The table of sections for part VII of 
subchapter B of chapter 1 is amended by redesignating the item relating 
to section 224 as relating to section 225 and by inserting after the 
item relating to section 223 the following new item:

``Sec. 224. Qualified tips.''.
    (h) Published List of Occupations Traditionally Receiving Tips.--
Not later than 90 days after the date of the enactment of this Act, the 
Secretary of the Treasury (or the Secretary's delegate) shall publish a 
list of occupations which customarily and regularly received tips on or 
before December 31, 2024, for purposes of section 224(d)(1) of the 
Internal Revenue Code of 1986 (as added by subsection (a)).
    (i) Withholding.--The Secretary of the Treasury (or the Secretary's 
delegate) shall modify the procedures prescribed under section 3402(a) 
of the Internal Revenue Code of 1986 for taxable years beginning after 
December 31, 2025, to take into account the deduction allowed under 
section 224 of such Code (as added by this Act).
    (j) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.
    (k) Transition Rule.--In the case of any cash tips required to be 
reported for periods before January 1, 2026, persons required to file 
returns or statements under section 6041(a), 6041(d)(3), 6041A(a), 
6041A(e)(3), 6050W(a), or 6050W(f)(2) of the Internal Revenue Code of 
1986 (as amended by this section) may approximate a separate accounting 
of amounts designated as cash tips by any reasonable method specified 
by the Secretary.

SEC. 70202. NO TAX ON OVERTIME.

    (a) Deduction Allowed.--Part VII of subchapter B of chapter 1, as 
amended by the preceding provisions of this Act, is amended by 
redesignating section 225 as section 226 and by inserting after section 
224 the following new section:

``SEC. 225. QUALIFIED OVERTIME COMPENSATION.

    ``(a) In General.--There shall be allowed as a deduction an amount 
equal to the qualified overtime compensation received during the 
taxable year and included on statements furnished to the individual 
pursuant to section 6041(d)(4) or 6051(a)(19).
    ``(b) Limitation.--
            ``(1) In general.--The amount allowed as a deduction under 
        this section for any taxable year shall not exceed $12,500 
        ($25,000 in the case of a joint return).
            ``(2) Limitation based on adjusted gross income.--
                    ``(A) In general.--The amount allowable as a 
                deduction under subsection (a) (after application of 
                paragraph (1)) shall be reduced (but not below zero) by 
                $100 for each $1,000 by which the taxpayer's modified 
                adjusted gross income exceeds $150,000 ($300,000 in the 
                case of a joint return).
                    ``(B) Modified adjusted gross income.--For purposes 
                of this paragraph, the term `modified adjusted gross 
                income' means the adjusted gross income of the taxpayer 
                for the taxable year increased by any amount excluded 
                from gross income under section 911, 931, or 933.
    ``(c) Qualified Overtime Compensation.--
            ``(1) In general.--For purposes of this section, the term 
        `qualified overtime compensation' means overtime compensation 
        paid to an individual required under section 7 of the Fair 
        Labor Standards Act of 1938 that is in excess of the regular 
        rate (as used in such section) at which such individual is 
        employed.
            ``(2) Exclusions.--Such term shall not include any 
        qualified tip (as defined in section 224(d)).
    ``(d) Social Security Number Required.--
            ``(1) In general.--No deduction shall be allowed under this 
        section unless the taxpayer includes on the return of tax for 
        the taxable year such individual's social security number.
            ``(2) Social security number defined.--For purposes of 
        paragraph (1), the term `social security number' shall have the 
        meaning given such term in section 24(h)(7).
    ``(e) Married Individuals.--If the taxpayer is a married individual 
(within the meaning of section 7703), this section shall apply only if 
the taxpayer and the taxpayer's spouse file a joint return for the 
taxable year.
    ``(f) Regulations.--The Secretary shall issue such regulations or 
other guidance as may be necessary or appropriate to carry out the 
purposes of this section, including regulations or other guidance to 
prevent abuse of the deduction allowed by this section.
    ``(g) Termination.--No deduction shall be allowed under this 
section for any taxable year beginning after December 31, 2028.''.
    (b) Deduction Allowed to Non-itemizers.--Section 63(b), as amended 
by the preceding provisions of this Act, is amended by striking ``and'' 
at the end of paragraph (4), by striking the period at the end of 
paragraph (5) and inserting ``, and'', and by adding at the end the 
following new paragraph:
            ``(6) the deduction provided in section 225.''.
    (c) Reporting.--
            (1) Requirement to include overtime compensation on w-2.--
        Section 6051(a), as amended by the preceding provision of this 
        Act, is amended by striking ``and'' at the end of paragraph 
        (17), by striking the period at the end of paragraph (18) and 
        inserting ``, and'', and by inserting after paragraph (18) the 
        following new paragraph:
            ``(19) the total amount of qualified overtime compensation 
        (as defined in section 225(c)).''.
            (2) Payments to persons not treated as employees under tax 
        laws.--
                    (A) Statement furnished to secretary.--Section 
                6041(a), as amended by section 70201(e)(1)(A), is 
                amended by inserting ``and a separate accounting of any 
                amount of qualified overtime compensation (as defined 
                in section 225(c))'' after ``occupation of the person 
                receiving such tips''.
                    (B) Statement furnished to payee.--Section 6041(d), 
                as amended by section 70201(e)(1)(B), is amended by 
                striking ``and'' at the end of paragraph (2), by 
                striking the period at the end of paragraph (3) and 
                inserting ``, and'', and by inserting after paragraph 
                (3) the following new paragraph:
            ``(4) the portion of payments that are qualified overtime 
        compensation (as defined in section 225(c)).''.
    (d) Omission of Correct Social Security Number Treated as 
Mathematical or Clerical Error.--Section 6213(g)(2), as amended by the 
preceding provisions of this Act, is amended by striking ``and'' at the 
end of subparagraph (X), by striking the period at the end of 
subparagraph (Y) and inserting ``, and'', and by inserting after 
subparagraph (Y) the following new subparagraph:
                    ``(Z) an omission of a correct social security 
                number required under section 225(d) (relating to 
                deduction for qualified overtime).''.
    (e) Clerical Amendment.--The table of sections for part VII of 
subchapter B of chapter 1, as amended by the preceding provisions of 
this Act, is amended by redesignating the item relating to section 225 
as an item relating to section 226 and by inserting after the item 
relating to section 224 the following new item:

``Sec. 225. Qualified overtime compensation.''.
    (f) Withholding.--The Secretary of the Treasury (or the Secretary's 
delegate) shall modify the procedures prescribed under section 3402(a) 
of the Internal Revenue Code of 1986 for taxable years beginning after 
December 31, 2025, to take into account the deduction allowed under 
section 225 of such Code (as added by this Act).
    (g) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.
    (h) Transition Rule.--In the case of qualified overtime 
compensation required to be reported for periods before January 1, 
2026, persons required to file returns or statements under section 
6051(a)(19), 6041(a), or 6041(d)(4) of the Internal Revenue Code of 
1986 (as amended by this section) may approximate a separate accounting 
of amounts designated as qualified overtime compensation by any 
reasonable method specified by the Secretary.

SEC. 70203. NO TAX ON CAR LOAN INTEREST.

    (a) In General.--Section 163(h) is amended by redesignating 
paragraph (4) as paragraph (5) and by inserting after paragraph (3) the 
following new paragraph:
            ``(4) Special rules for taxable years 2025 through 2028 
        relating to qualified passenger vehicle loan interest.--
                    ``(A) In general.--In the case of taxable years 
                beginning after December 31, 2024, and before January 
                1, 2029, for purposes of this subsection the term 
                `personal interest' shall not include qualified 
                passenger vehicle loan interest.
                    ``(B) Qualified passenger vehicle loan interest 
                defined.--
                            ``(i) In general.--For purposes of this 
                        paragraph, the term `qualified passenger 
                        vehicle loan interest' means any interest which 
                        is paid or accrued during the taxable year on 
                        indebtedness incurred by the taxpayer after 
                        December 31, 2024, for the purchase of, and 
                        that is secured by a first lien on, an 
                        applicable passenger vehicle for personal use.
                            ``(ii) Exceptions.--Such term shall not 
                        include any amount paid or incurred on any of 
                        the following:
                                    ``(I) A loan to finance fleet 
                                sales.
                                    ``(II) A loan incurred for the 
                                purchase of a commercial vehicle that 
                                is not used for personal purposes.
                                    ``(III) Any lease financing.
                                    ``(IV) A loan to finance the 
                                purchase of a vehicle with a salvage 
                                title.
                                    ``(V) A loan to finance the 
                                purchase of a vehicle intended to be 
                                used for scrap or parts.
                            ``(iii) VIN requirement.--Interest shall 
                        not be treated as qualified passenger vehicle 
                        loan interest under this paragraph unless the 
                        taxpayer includes the vehicle identification 
                        number of the applicable passenger vehicle 
                        described in clause (i) on the return of tax 
                        for the taxable year.
                    ``(C) Limitations.--
                            ``(i) Dollar limit.--The amount of interest 
                        taken into account by a taxpayer under 
                        subparagraph (B) for any taxable year shall not 
                        exceed $10,000.
                            ``(ii) Limitation based on modified 
                        adjusted gross income.--
                                    ``(I) In general.--The amount which 
                                is otherwise allowable as a deduction 
                                under subsection (a) as qualified 
                                passenger vehicle loan interest 
                                (determined without regard to this 
                                clause and after the application of 
                                clause (i)) shall be reduced (but not 
                                below zero) by $200 for each $1,000 (or 
                                portion thereof) by which the modified 
                                adjusted gross income of the taxpayer 
                                for the taxable year exceeds $100,000 
                                ($200,000 in the case of a joint 
                                return).
                                    ``(II) Modified adjusted gross 
                                income.--For purposes of this clause, 
                                the term `modified adjusted gross 
                                income' means the adjusted gross income 
                                of the taxpayer for the taxable year 
                                increased by any amount excluded from 
                                gross income under section 911, 931, or 
                                933.
                    ``(D) Applicable passenger vehicle.--The term 
                `applicable passenger vehicle' means any vehicle--
                            ``(i) the original use of which commences 
                        with the taxpayer,
                            ``(ii) which is manufactured primarily for 
                        use on public streets, roads, and highways (not 
                        including a vehicle operated exclusively on a 
                        rail or rails),
                            ``(iii) which has at least 2 wheels,
                            ``(iv) which is a car, minivan, van, sport 
                        utility vehicle, pickup truck, or motorcycle,
                            ``(v) which is treated as a motor vehicle 
                        for purposes of title II of the Clean Air Act, 
                        and
                            ``(vi) which has a gross vehicle weight 
                        rating of less than 14,000 pounds.
                Such term shall not include any vehicle the final 
                assembly of which did not occur within the United 
                States.
                    ``(E) Other definitions and special rules.--For 
                purposes of this paragraph--
                            ``(i) Final assembly.--For purposes of 
                        subparagraph (D), the term `final assembly' 
                        means the process by which a manufacturer 
                        produces a vehicle at, or through the use of, a 
                        plant, factory, or other place from which the 
                        vehicle is delivered to a dealer with all 
                        component parts necessary for the mechanical 
                        operation of the vehicle included with the 
                        vehicle, whether or not the component parts are 
                        permanently installed in or on the vehicle.
                            ``(ii) Treatment of refinancing.--
                        Indebtedness described in subparagraph (B) 
                        shall include indebtedness that results from 
                        refinancing any indebtedness described in such 
                        subparagraph, and that is secured by a first 
                        lien on the applicable passenger vehicle with 
                        respect to which the refinanced indebtedness 
                        was incurred, but only to the extent the amount 
                        of such resulting indebtedness does not exceed 
                        the amount of such refinanced indebtedness.
                            ``(iii) Related parties.--Indebtedness 
                        described in subparagraph (B) shall not include 
                        any indebtedness owed to a person who is 
                        related (within the meaning of section 267(b) 
                        or 707(b)(1)) to the taxpayer.''.
    (b) Deduction Allowed to Non-itemizers.--Section 63(b), as amended 
by the preceding provisions of this Act, is amended by striking ``and'' 
at the end of paragraph (5), by striking the period at the end of 
paragraph (6) and inserting ``and'', and by adding at the end the 
following new paragraph:
            ``(7) so much of the deduction allowed by section 163(a) as 
        is attributable to the exception under section 163(h)(4)(A).''.
    (c) Reporting.--
            (1) In general.--Subpart B of part III of subchapter A of 
        chapter 61 is amended by adding at the end the following new 
        section:

``SEC. 6050AA. RETURNS RELATING TO APPLICABLE PASSENGER VEHICLE LOAN 
              INTEREST RECEIVED IN TRADE OR BUSINESS FROM INDIVIDUALS.

    ``(a) In General.--Any person--
            ``(1) who is engaged in a trade or business, and
            ``(2) who, in the course of such trade or business, 
        receives from any individual interest aggregating $600 or more 
        for any calendar year on a specified passenger vehicle loan,
shall make the return described in subsection (b) with respect to each 
individual from whom such interest was received at such time as the 
Secretary may provide.
    ``(b) Form and Manner of Returns.--A return is described in this 
subsection if such return--
            ``(1) is in such form as the Secretary may prescribe, and
            ``(2) contains--
                    ``(A) the name and address of the individual from 
                whom the interest described in subsection (a)(2) was 
                received,
                    ``(B) the amount of such interest received for the 
                calendar year,
                    ``(C) the amount of outstanding principal on the 
                specified passenger vehicle loan as of the beginning of 
                such calendar year,
                    ``(D) the date of the origination of such loan,
                    ``(E) the year, make, model, and vehicle 
                identification number of the applicable passenger 
                vehicle which secures such loan (or such other 
                description of such vehicle as the Secretary may 
                prescribe), and
                    ``(F) such other information as the Secretary may 
                prescribe.
    ``(c) Statements to Be Furnished to Individuals With Respect to 
Whom Information Is Required.--Every person required to make a return 
under subsection (a) shall furnish to each individual whose name is 
required to be set forth in such return a written statement showing--
            ``(1) the name, address, and phone number of the 
        information contact of the person required to make such return, 
        and
            ``(2) the information described in subparagraphs (B), (C), 
        (D), and (E) of subsection (b)(2) with respect to such 
        individual (and such information as is described in subsection 
        (b)(2)(F) with respect to such individual as the Secretary may 
        provide for purposes of this subsection).
The written statement required under the preceding sentence shall be 
furnished on or before January 31 of the year following the calendar 
year for which the return under subsection (a) was required to be made.
    ``(d) Definitions.--For purposes of this section--
            ``(1) In general.--Terms used in this section which are 
        also used in paragraph (4) of section 163(h) shall have the 
        same meaning as when used in such paragraph.
            ``(2) Specified passenger vehicle loan.--The term 
        `specified passenger vehicle loan' means the indebtedness 
        described in section 163(h)(4)(B) with respect to any 
        applicable passenger vehicle.
    ``(e) Regulations.--The Secretary shall issue such regulations or 
other guidance as may be necessary or appropriate to carry out the 
purposes of this section, including regulations or other guidance to 
prevent the duplicate reporting of information under this section.
    ``(f) Applicability.--No return shall be required under this 
section for any period to which section 163(h)(4) does not apply.''.
            (2) Penalties.--Section 6724(d) is amended--
                    (A) in paragraph (1)(B), by striking ``or'' at the 
                end of clause (xxvii), by striking ``and'' at the end 
                of clause (xxviii) and inserting ``or'', and by adding 
                at the end the following new clause:
                            ``(xxix) section 6050AA(a) (relating to 
                        returns relating to applicable passenger 
                        vehicle loan interest received in trade or 
                        business from individuals),'', and
                    (B) in paragraph (2), by striking ``or'' at the end 
                of subparagraph (KK), by striking the period at the end 
                of subparagraph (LL) and inserting ``, or'', and by 
                inserting after subparagraph (LL) the following new 
                subparagraph:
                    ``(MM) section 6050AA(c) (relating to statements 
                relating to applicable passenger vehicle loan interest 
                received in trade or business from individuals).''.
    (d) Conforming Amendments.--
            (1) Section 56(e)(1)(B) is amended by striking ``section 
        163(h)(4)'' and inserting ``section 163(h)(5)''.
            (2) The table of sections for subpart B of part III of 
        subchapter A of chapter 61 is amended by adding at the end the 
        following new item:

``Sec. 6050AA. Returns relating to applicable passenger vehicle loan 
                            interest received in trade or business from 
                            individuals.''.
    (e) Effective Date.--The amendments made by this section shall 
apply to indebtedness incurred after December 31, 2024.

SEC. 70204. TRUMP ACCOUNTS AND CONTRIBUTION PILOT PROGRAM.

    (a) Trump Accounts.--
            (1) In general.--Subchapter F of chapter 1 is amended by 
        adding at the end the following new part:

                       ``PART IX--TRUMP ACCOUNTS

``Sec. 530A. Trump accounts.

``SEC. 530A. TRUMP ACCOUNTS.

    ``(a) General Rule.--Except as provided in this section or under 
regulations or guidance established by the Secretary, a Trump account 
shall be treated for purposes of this title in the same manner as an 
individual retirement account under section 408(a).
    ``(b) Trump Account.--For purposes of this section--
            ``(1) In general.--The term `Trump account' means an 
        individual retirement account (as defined in section 408(a)) 
        which is not designated as a Roth IRA and which meets the 
        following requirements:
                    ``(A) The account--
                            ``(i) is created or organized by the 
                        Secretary for the exclusive benefit of an 
                        eligible individual or such eligible 
                        individual's beneficiaries, or
                            ``(ii) is--
                                    ``(I) created or organized in the 
                                United States for the exclusive benefit 
                                of an individual who has not attained 
                                the age of 18 before the end of the 
                                calendar year, or such individual's 
                                beneficiaries, and
                                    ``(II) funded by a qualified 
                                rollover contribution.
                    ``(B) The account is designated (in such manner as 
                the Secretary shall prescribe) at the time of the 
                establishment of the account as a Trump account.
                    ``(C) The written governing instrument creating the 
                account meets the following requirements:
                            ``(i) No contribution will be accepted--
                                    ``(I) before the date that is 12 
                                months after the date of the enactment 
                                of this section, or
                                    ``(II) in the case of a 
                                contribution made in any calendar year 
                                before the calendar year in which the 
                                account beneficiary attains age 18, if 
                                such contribution would result in 
                                aggregate contributions (other than 
                                exempt contributions) for such calendar 
                                year in excess of the contribution 
                                limit specified in subsection 
                                (c)(2)(A).
                            ``(ii) Except as provided in subsection 
                        (d), no distribution will be allowed before the 
                        first day of the calendar year in which the 
                        account beneficiary attains age 18.
                            ``(iii) No part of the account funds will 
                        be invested in any asset other than an eligible 
                        investment during any period before the first 
                        day of the calendar year in which the account 
                        beneficiary attains age 18.
            ``(2) Eligible individual.--The term `eligible individual' 
        means any individual--
                    ``(A) who has not attained the age of 18 before the 
                close of the calendar year in which the election under 
                subparagraph (C) is made,
                    ``(B) for whom a social security number (within the 
                meaning of section 24(h)(7)) has been issued before the 
                date on which an election under subsection (C) is made, 
                and
                    ``(C) for whom--
                            ``(i) an election is made under this 
                        subparagraph by the Secretary if the Secretary 
                        determines (based on information available to 
                        the Secretary from tax returns or otherwise) 
                        that such individual meets the requirements of 
                        subparagraphs (A) and (B) and no prior election 
                        has been made for such individual under clause 
                        (ii), or
                            ``(ii) an election is made under this 
                        subparagraph by a person other than the 
                        Secretary (at such time and in such manner as 
                        the Secretary may prescribe) for the 
                        establishment of a Trump account if no prior 
                        election has been made for such individual 
                        under clause (i).
            ``(3) Eligible investment.--
                    ``(A) In general.--The term `eligible investment' 
                means any mutual fund or exchange traded fund which--
                            ``(i) tracks the returns of a qualified 
                        index,
                            ``(ii) does not use leverage,
                            ``(iii) does not have annual fees and 
                        expenses of more than 0.1 percent of the 
                        balance of the investment in the fund, and
                            ``(iv) meets such other criteria as the 
                        Secretary determines appropriate for purposes 
                        of this section.
                    ``(B) Qualified index.--The term `qualified index' 
                means--
                            ``(i) the Standard and Poor's 500 stock 
                        market index, or
                            ``(ii) any other index--
                                    ``(I) which is comprised of equity 
                                investments in primarily United States 
                                companies, and
                                    ``(II) for which regulated futures 
                                contracts (as defined in section 
                                1256(g)(1)) are traded on a qualified 
                                board or exchange (as defined in 
                                section 1256(g)(7)).
                        Such term shall not include any industry or 
                        sector-specific index, but may include an index 
                        based on market capitalization.
            ``(4) Account beneficiary.--The term `account beneficiary' 
        means the individual on whose behalf the Trump account was 
        established.
    ``(c) Treatment of Contributions.--
            ``(1) No deduction allowed.--No deduction shall be allowed 
        under section 219 for any contribution which is made before the 
        first day of the calendar year in which the account beneficiary 
        attains age 18.
            ``(2) Contribution limit.--In the case of any contribution 
        made before the calendar year in which the account beneficiary 
        attains age 18--
                    ``(A) In general.--The aggregate amount of 
                contributions (other than exempt contributions) for 
                such calendar year shall not exceed $5,000.
                    ``(B) Exempt contribution.--For purposes of this 
                paragraph, the term `exempt contribution' means--
                            ``(i) a qualified rollover contribution,
                            ``(ii) any qualified general contribution, 
                        or
                            ``(iii) any contribution provided under 
                        section 6434.
                    ``(C) Cost-of-living adjustment.--
                            ``(i) In general.--In the case of any 
                        taxable year after 2027, the $5,000 amount 
                        under subparagraph (A) shall be increased by an 
                        amount equal to--
                                    ``(I) such dollar amount, 
                                multiplied by
                                    ``(II) the cost-of-living 
                                adjustment determined under section 
                                1(f)(3) for the calendar year in which 
                                the taxable year begins, determined by 
                                substituting `calendar year 2026' for 
                                `calendar year 2016' in subparagraph 
                                (A)(ii) thereof.
                            ``(ii) Rounding.--If any increase under 
                        this subparagraph is not a multiple of $100, 
                        such amount shall be rounded to the next lowest 
                        multiple of $100.
            ``(3) Timing of contributions.--Section 219(f)(3) shall not 
        apply to any contribution made to a Trump account for any 
        taxable year ending before the calendar year in which the 
        account beneficiary attains age 18.
    ``(d) Distributions.--
            ``(1) In general.--Except as otherwise provided in this 
        subsection, no distribution shall be allowed before the first 
        day of the calendar year in which the account beneficiary 
        attains age 18.
            ``(2) Tax treatment of allowable distributions.--For 
        purposes of applying section 72 to any amount distributed from 
        a Trump account, the investment in the contract shall not 
        include--
                    ``(A) any qualified general contribution,
                    ``(B) any contribution provided under section 6434, 
                and
                    ``(C) the amount of any contribution which is 
                excluded from gross income under section 128.
            ``(3) Qualified rollover contributions.--Paragraph (1) 
        shall not apply to any distribution which is a qualified 
        rollover contribution and the amount of such distribution shall 
        not be included in the gross income of the beneficiary.
            ``(4) Qualified able rollover contributions.--
                    ``(A) In general.--Paragraph (1) shall not apply to 
                any distribution which is a qualified ABLE rollover 
                contribution and the amount of such distribution shall 
                not be included in the gross income of the beneficiary.
                    ``(B) Qualified able rollover contribution.--For 
                purposes of this section, the term `qualified ABLE 
                rollover contribution' means an amount which is paid 
                during the calendar year in which the account 
                beneficiary attains age 17 in a direct trustee-to-
                trustee transfer from a Trump account maintained for 
                the benefit of the account beneficiary to an ABLE 
                account (as defined in section 529A(e)(6)) for the 
                benefit of the such account beneficiary, but only if 
                the amount of such payment is equal to the entire 
                balance of the Trump account from which the payment is 
                made.
            ``(5) Distributions of excess contributions.--In the case 
        of any contribution which is made before the calendar year in 
        which the account beneficiary attains age 18 and which is in 
        excess of the limitation in effect under subsection (c)(2)(A) 
        for the calendar year--
                    ``(A) paragraph (1) shall not apply to the 
                distribution of such excess,
                    ``(B) the amount of such distribution shall not be 
                included in gross income of the account beneficiary, 
                and
                    ``(C) the tax imposed by this chapter on the 
                distributee for the taxable year in which the 
                distribution is made shall be increased by 100 percent 
                of the amount of net income attributable to such excess 
                (determined without regard to subparagraph (B)).
            ``(6) Treatment of death of account beneficiary.--If, by 
        reason of the death of the account beneficiary before the first 
        day of the calendar year in which the account beneficiary 
        attains age 18, any person acquires the account beneficiary's 
        interest in the Trump account--
                    ``(A) paragraph (1) shall not apply,
                    ``(B) such account shall cease to be a Trump 
                account as of the date of death, and
                    ``(C) an amount equal to the fair market value of 
                the assets (reduced by the investment in the contract) 
                in such account on such date shall--
                            ``(i) if such person is not the estate of 
                        such beneficiary, be includible in such 
                        person's gross income for the taxable year 
                        which includes such date, or
                            ``(ii) if such person is the estate of such 
                        beneficiary, be includible in such 
                        beneficiary's gross income for the last taxable 
                        year of such beneficiary.
    ``(e) Qualified Rollover Contribution.--For purposes of this 
section, the term `qualified rollover contribution' means an amount 
which is paid in a direct trustee-to-trustee transfer from a Trump 
account maintained for the benefit of the account beneficiary to a 
Trump account maintained for such beneficiary, but only if the amount 
of such payment is equal to the entire balance of the Trump account 
from which the payment is made.
    ``(f) Qualified General Contribution.--For purposes of this 
section--
            ``(1) In general.--The term `qualified general 
        contribution' means any contribution which--
                    ``(A) is made by the Secretary pursuant to a 
                general funding contribution,
                    ``(B) is made to the Trump account of an account 
                beneficiary in the qualified class of account 
                beneficiaries specified in the general funding 
                contribution, and
                    ``(C) is in an amount which is equal to the ratio 
                of--
                            ``(i) the amount of such general funding 
                        contribution, to
                            ``(ii) the number of account beneficiaries 
                        in such qualified class.
            ``(2) General funding contribution.--The term `general 
        funding contribution' means a contribution which--
                    ``(A) is made by--
                            ``(i) an entity described in section 
                        170(c)(1) (other than a possession of the 
                        United States or a political subdivision 
                        thereof) or an Indian tribal government, or
                            ``(ii) an organization described in section 
                        501(c)(3) and exempt from tax under section 
                        501(a), and
                    ``(B) which specifies a qualified class of account 
                beneficiaries to whom such contribution is to be 
                distributed.
            ``(3) Qualified class.--
                    ``(A) In general.--The term `qualified class' means 
                any of the following:
                            ``(i) All account beneficiaries who have 
                        not attained the age of 18 before the close of 
                        the calendar year in which the contribution is 
                        made.
                            ``(ii) All account beneficiaries who have 
                        not attained the age of 18 before the close of 
                        the calendar year in which the contribution is 
                        made and who reside in one or more States or 
                        other qualified geographic areas specified by 
                        the terms of the general funding contribution.
                            ``(iii) All account beneficiaries who have 
                        not attained the age of 18 before the close of 
                        the calendar year in which the contribution is 
                        made and who were born in one or more calendar 
                        years specified by the terms of the general 
                        funding contribution.
                    ``(B) Qualified geographic area.--The term 
                `qualified geographic area' means any geographic area 
                in which not less than 5,000 account beneficiaries 
                reside and which is designated by the Secretary as a 
                qualified geographic area under this subparagraph.
    ``(g) Trustee Selection.--In the case of any Trump account created 
or organized by the Secretary, the Secretary shall take into account 
the following criteria in selecting the trustee:
            ``(1) The history of reliability and regulatory compliance 
        of the trustee.
            ``(2) The customer service experience of the trustee.
            ``(3) The costs imposed by the trustee on the account or 
        the account beneficiary.
    ``(h) Other Special Rules and Coordination With Individual 
Retirement Account Rules.--
            ``(1) In general.--The rules of subsections (k) and (p) of 
        section 408 shall not apply to a Trump account, and the rules 
        of subsections (d) and (i) of section 408 shall not apply to a 
        Trump account for any taxable year beginning before the 
        calendar year in which the account beneficiary attains age 18.
            ``(2) Custodial accounts.--In the case of a Trump account, 
        section 408(h) shall be applied by substituting `a Trump 
        account described in section 530A(b)(1)' for `an individual 
        retirement account described in subsection (a)'.
            ``(3) Contributions.--In the case of any taxable year 
        beginning before the first day of the calendar year in which 
        the account beneficiary attains age 18, a contribution to a 
        Trump account shall not be taken into account in applying any 
        contribution limit to any individual retirement plan other than 
        a Trump account.
            ``(4) Distributions.--Section 408(d)(2) shall be applied 
        separately with respect to Trump Accounts and other individual 
        retirement plans.
            ``(5) Excess contributions.--For purposes of applying 
        section 4973(b) to a Trump account for any taxable year 
        beginning before the first day of the calendar year in which 
        the account beneficiary attains age 18, the term `excess 
        contributions' means the sum of--
                    ``(A) the amount by which the amount contributed to 
                the account for the calendar year in which taxable year 
                begins exceeds the amount permitted to be contributed 
                to the account under subsection (c)(2), and
                    ``(B) the amount determined under this paragraph 
                for the preceding taxable year.
        For purposes of this paragraph, the excess contributions for a 
        taxable year are reduced by the distributions to which 
        subsection (d)(5) applies that are made during the taxable year 
        or by the date prescribed by law (including extensions of time) 
        for filing the account beneficiary's return for the taxable 
        year.
    ``(i) Reports.--
            ``(1) In general.--The trustee of a Trump account shall 
        make such reports regarding such account to the Secretary and 
        to the beneficiary of the account at such time and in such 
        manner as may be required by the Secretary. Such reports shall 
        include information with respect to--
                    ``(A) contributions (including the amount and 
                source of any contribution in excess of $25 made from a 
                person other than the Secretary, the account 
                beneficiary, or the parent or legal guardian of the 
                account beneficiary),
                    ``(B) distributions (including distributions which 
                are qualified rollover contributions),
                    ``(C) the fair market value of the account,
                    ``(D) the investment in the contract with respect 
                to such account, and
                    ``(E) such other matters as the Secretary may 
                require.
            ``(2) Qualified rollover contributions.--Not later than 30 
        days after the date of any qualified rollover contribution, the 
        trustee of the Trump account to which the contribution was made 
        shall make a report to the Secretary. Such report shall 
        include--
                    ``(A) the name, address, and social security number 
                of the account beneficiary,
                    ``(B) the name and address of such trustee,
                    ``(C) the account number,
                    ``(D) the routing number of the trustee, and
                    ``(E) such other information as the Secretary may 
                require.
            ``(3) Period of reporting.--This subsection shall not apply 
        to any period after the calendar year in which the beneficiary 
        attains age 17.''.
            (2) Qualified able rollover contributions exempt from able 
        contribution limitation.--
                    (A) In general.--Section 529A(b)(2)(B) is amended 
                by inserting ``or received in a qualified ABLE rollover 
                contribution described in section 530A(d)(4)(B)'' after 
                ``except as provided in the case of contributions under 
                subsection (c)(1)(C)''.
                    (B) Prohibition on excess contributions.--The 
                second sentence of section 529A(b)(6) is amended by 
                inserting ``but do not include any contributions 
                received in a qualified ABLE rollover contribution 
                described in section 530A(d)(4)(B)'' before the period 
                at the end.
                    (C) Conforming amendment.--Section 4973(h)(1) is 
                amended by inserting ``or contributions received in a 
                qualified ABLE rollover contribution described in 
                section 530A(d)(4)(B)'' after ``other than 
                contributions under section 529A(c)(1)(C)''.
            (3) Failure to provide reports on trump accounts.--Section 
        6693(a)(2) is amended by striking ``and'' at the end of 
        subparagraph (E), by striking the period at the end of 
        subparagraph (F) and inserting ``, and'', and by inserting 
        after subparagraph (F) the following new subparagraph:
                    ``(G) section 530A(i) (relating to Trump 
                accounts).''.
            (4) Clerical amendment.--
                    (A) The table of parts for subchapter F of chapter 
                1 is amended by adding at the end the following new 
                item:

                      ``PART IX--Trump Accounts''.

    (b) Employer Contributions.--
            (1) In general.--Part III of subchapter B of chapter 1 is 
        amended by inserting after section 127 the following new 
        section:

``SEC. 128. EMPLOYER CONTRIBUTIONS TO TRUMP ACCOUNTS.

    ``(a) In General.--Gross income of an employee does not include 
amounts paid by the employer as a contribution to the Trump account of 
such employee or of any dependent of such employee if the amounts are 
paid or incurred pursuant to a program which is described in subsection 
(c).
    ``(b) Limitation.--
            ``(1) In general.--The amount which may be excluded under 
        subsection (a) with respect to any employee shall not exceed 
        $2,500.
            ``(2) Inflation adjustment.--
                    ``(A) In general.--In the case of any taxable year 
                beginning after 2027, the $2,500 amount in paragraph 
                (1) shall be increased by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins 
                        by substituting `calendar year 2026' for 
                        `calendar year 2016' in subparagraph (A)(ii) 
                        thereof.
                    ``(B) Rounding.--If any increase determined under 
                subparagraph (A) is not a multiple of $100, such 
                increase shall be rounded to the next lowest multiple 
                of $100.
    ``(c) Trump Account Contribution Program.--For purposes of this 
section, a Trump account contribution program is a separate written 
plan of an employer for the exclusive benefit of his employees to 
provide contributions to the Trump accounts of such employees or 
dependents of such employees which meets requirements similar to the 
requirements of paragraphs (2), (3), (6), (7), and (8) of section 
129(d).''.
            (2) Clerical amendment.--The table of sections for part III 
        of subchapter B of chapter 1 is amended by inserting after the 
        item relating to section 127 the following new item:

``Sec. 128. Employer contributions to Trump accounts.''.
    (c) Certain Contributions Excluded From Gross Income.--
            (1) In general.--Part III of subchapter B of chapter 1 is 
        amended by inserting before section 140 the following new 
        section:

``SEC. 139J. CERTAIN CONTRIBUTIONS TO TRUMP ACCOUNTS.

    ``(a) In General.--Gross income of an account beneficiary shall not 
include any qualified general contribution to a Trump account of the 
account beneficiary.
    ``(b) Definitions.--Any term used in this section which is used in 
section 530A shall have the meaning given such term under section 
530A.''.
            (2) Clerical amendment.--The table of sections for part III 
        of subchapter B is amended by inserting before the item 
        relating to section 140 the following new item:

``Sec. 139J. Certain contributions to Trump accounts.''.
    (d) Trump Accounts Contribution Pilot Program.--
            (1) In general.--Subchapter B of chapter 65 is amended by 
        adding at the end the following new section:

``SEC. 6434. TRUMP ACCOUNTS CONTRIBUTION PILOT PROGRAM.

    ``(a) In General.--In the case of an individual who makes an 
election under this section with respect to an eligible child of the 
individual, such eligible child shall be treated as making a payment 
against the tax imposed by subtitle A (for the taxable year for which 
the election was made) in an amount equal to $1,000.
    ``(b) Refund of Payment.--The amount treated as a payment under 
subsection (a) shall be paid by the Secretary to the Trump account with 
respect to which such eligible child is the account beneficiary.
    ``(c) Eligible Child.--For purposes of this section, the term 
`eligible child' means a qualifying child (as defined in section 
152(c))--
            ``(1) who is born after December 31, 2024, and before 
        January 1, 2029,
            ``(2) with respect to whom no prior election has been made 
        under this section by such individual or any other individual, 
        and
            ``(3) who is a United States citizen.
    ``(d) Election.--An election under this section shall be made at 
such time and in such manner as the Secretary shall provide.
    ``(e) Social Security Number Required.--
            ``(1) In general.--This section shall not apply to any 
        taxpayer unless such individual includes with the election made 
        under this section the social security number of the eligible 
        child with respect to whom the election is made.
            ``(2) Social security number defined.--For purposes of 
        paragraph (1), the term `social security number' shall have the 
        meaning given such term in section 24(h)(7), determined by 
        substituting `before the date of the election made under 
        section 6434' for `before the due date of such return' in 
        subparagraph (B) thereof.
    ``(f) Exception From Reduction or Offset.--Any payment made to any 
individual under this section shall not be--
            ``(1) subject to reduction or offset pursuant to subsection 
        (c), (d), (e), or (f) of section 6402 or any similar authority 
        permitting offset, or
            ``(2) reduced or offset by other assessed Federal taxes 
        that would otherwise be subject to levy or collection.
    ``(g) Special Rule Regarding Interest.--The period determined under 
section 6611(a) with respect to any payment under this section shall 
not begin before January 1, 2028.
    ``(h) Mirror Code Possessions.--In the case of any possession of 
the United States with a mirror code tax system (as defined in section 
24(k)), this section shall not be treated as part of the income tax 
laws of the United States for purposes of determining the income tax 
law of such possession unless such possession elects to have this 
section be so treated.
    ``(i) Definitions.--For purposes of this section, the terms `Trump 
account' and `account beneficiary' have the meaning given such terms in 
section 530A(b).''.
            (2) Penalty for negligent claim or fraudulent claim.--Part 
        I of subchapter A of chapter 68 is amended by adding at the end 
        the following new section:

``SEC. 6659. IMPROPER CLAIM FOR TRUMP ACCOUNT CONTRIBUTION PILOT 
              PROGRAM CREDIT.

    ``(a) In General.--In the case of any individual who makes an 
election under section 6434 with respect to an individual who is not an 
eligible child of the taxpayer--
            ``(1) if such election was made due to negligence or 
        disregard of the rules or regulations, there shall be imposed a 
        penalty of $500, or
            ``(2) if such election was made due to fraud, there shall 
        be imposed a penalty of $1,000.
    ``(b) Definitions.--
            ``(1) Eligible child.--The term `eligible child' has the 
        meaning given such term under section 6434.
            ``(2) Negligence; disregard.--The terms `negligence' and 
        `disregard' have the same meaning as when such terms are used 
        in section 6662.''.
            (3) Omission of correct social security number treated as 
        mathematical or clerical error.--Section 6213(g)(2), as amended 
        by the preceding provisions of this Act, is amended by striking 
        ``and'' at the end of subparagraph (Y), by striking the period 
        at the end of subparagraph (Z) and inserting ``, and'', and by 
        inserting after subparagraph (Z) the following new 
        subparagraph:
                    ``(AA) an omission of a correct social security 
                number required under section 6434(e)(1) (relating to 
                the Trump accounts contribution pilot program).''.
            (4) Conforming amendments.--
                    (A) The table of sections for subchapter B of 
                chapter 65 is amended by adding at the end the 
                following new item:

``Sec. 6434. Trump accounts contribution pilot program.''.
                    (B) The table of sections for part I of subchapter 
                A of chapter 68 is amended by inserting after the item 
                relating to section 6658 the following new item:

``Sec. 6659. Improper claim for Trump account contribution pilot 
                            program credit.''.
    (e) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.
    (f) Funding.--In addition to amounts otherwise available, there is 
appropriated to the Department of the Treasury, out of any money in the 
Treasury not otherwise appropriated, $410,000,000, to remain available 
until September 30, 2034, to carry out the amendments made by this 
section.

CHAPTER 3--ESTABLISHING CERTAINTY AND COMPETITIVENESS FOR AMERICAN JOB 
                                CREATORS

Subchapter A--Permanent U.S. Business Tax Reform and Boosting Domestic 
                               Investment

SEC. 70301. FULL EXPENSING FOR CERTAIN BUSINESS PROPERTY.

    (a) Made Permanent.--
            (1) In general.--Section 168(k)(2)(A) is amended by adding 
        ``and'' at the end of clause (i), by striking ``, and'' at the 
        end of clause (ii) and inserting a period, and by striking 
        clause (iii).
            (2) Property with longer production periods.--Section 
        168(k)(2)(B) is amended--
                    (A) in clause (i), by striking subclauses (II) and 
                (III) and redesignating subclauses (IV), (V), and (VI), 
                as subclauses (II), (III), and (IV), respectively, and
                    (B) by striking clause (ii) and redesignating 
                clauses (iii) and (iv) as clauses (ii) and (iii), 
                respectively.
            (3) Self-constructed property.--Section 168(k)(2)(E) is 
        amended by striking clause (i) and redesignating clauses (ii) 
        and (iii) as clauses (i) and (ii), respectively.
            (4) Certain plants.--Section 168(k)(5)(A) is amended by 
        striking ``planted before January 1, 2027, or is grafted before 
        such date to a plant that has already been planted,'' in the 
        matter preceding clause (i) and inserting ``planted or 
        grafted''.
            (5) Conforming amendments.--
                    (A) Section 168(k)(2)(A)(ii) is amended by striking 
                ``clause (ii) of subparagraph (E)'' and inserting 
                ``clause (i) of subparagraph (E)''.
                    (B) Section 168(k)(2)(C)(i) is amended by striking 
                ``and subclauses (II) and (III) of subparagraph 
                (B)(i)''.
                    (C) Section 168(k)(2)(C)(ii) is amended by striking 
                ``subparagraph (B)(iii)'' and inserting ``subparagraph 
                (B)(ii)''.
                    (D) Section 460(c)(6)(B) is amended by striking 
                ``which'' and all that follows through the period and 
                inserting ``which has a recovery period of 7 years or 
                less.''.
    (b) 100 Percent Expensing.--
            (1) In general.--Section 168(k) is amended--
                    (A) in paragraph (1)(A), by striking ``the 
                applicable percentage'' and inserting ``100 percent'', 
                and
                    (B) by striking paragraphs (6) and (8).
            (2) Certain plants.--Section 168(k)(5)(A)(i) is amended by 
        striking ``the applicable percentage'' and inserting ``100 
        percent''.
            (3) Transitional election of reduced percentage.--Section 
        168(k)(10) is amended by striking subparagraph (A), by 
        redesignating subparagraph (B) as subparagraph (C), and by 
        inserting before subparagraph (C) (as so redesignated) the 
        following new subparagraphs:
                    ``(A) In general.--In the case of qualified 
                property placed in service by the taxpayer during the 
                first taxable year ending after January 19, 2025, if 
                the taxpayer elects to have this paragraph apply for 
                such taxable year, paragraph (1)(A) shall be applied--
                            ``(i) in the case of property which is not 
                        described in clause (ii), by substituting `40 
                        percent' for `100 percent', or
                            ``(ii) in the case of property which is 
                        described in subparagraph (B) or (C) of 
                        paragraph (2), by substituting `60 percent' for 
                        `100 percent'.
                    ``(B) Specified plants.--In the case of any 
                specified plant planted or grafted by the taxpayer 
                during the first taxable year ending after January 19, 
                2025, if the taxpayer elects to have this paragraph 
                apply for such taxable year, paragraph (5)(A)(i) shall 
                be applied by substituting `40 percent' for `100 
                percent'.''.
    (c) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall apply to 
        property acquired after January 19, 2025.
            (2) Specified plants.--Except as provided in paragraph (3), 
        in the case of any specified plant (as defined in section 
        168(k)(5)(B) of the Internal Revenue Code of 1986, as amended 
        by this section), the amendments made by this section shall 
        apply to such plants which are planted or grafted after January 
        19, 2025.
            (3) Transitional election of reduced percentage.--The 
        amendment made by subsection (b)(3) shall apply to taxable 
        years ending after January 19, 2025.
            (4) Acquisition date determination.--For purposes of 
        paragraph (1), property shall not be treated as acquired after 
        the date on which a written binding contract is entered into 
        for such acquisition.

SEC. 70302. FULL EXPENSING OF DOMESTIC RESEARCH AND EXPERIMENTAL 
              EXPENDITURES.

    (a) In General.--Part VI of subchapter B of chapter 1 is amended by 
inserting after section 174 the following new section:

``SEC. 174A. DOMESTIC RESEARCH OR EXPERIMENTAL EXPENDITURES.

    ``(a) Treatment as Expenses.--Notwithstanding section 263, there 
shall be allowed as a deduction any domestic research or experimental 
expenditures which are paid or incurred by the taxpayer during the 
taxable year.
    ``(b) Domestic Research or Experimental Expenditures.--For purposes 
of this section, the term `domestic research or experimental 
expenditures' means research or experimental expenditures paid or 
incurred by the taxpayer in connection with the taxpayer's trade or 
business other than such expenditures which are attributable to foreign 
research (within the meaning of section 41(d)(4)(F)).
    ``(c) Amortization of Certain Domestic Research or Experimental 
Expenditures.--
            ``(1) In general.--At the election of the taxpayer, made in 
        accordance with regulations or other guidance provided by the 
        Secretary, in the case of domestic research or experimental 
        expenditures which would (but for subsection (a)) be chargeable 
        to capital account but not chargeable to property of a 
        character which is subject to the allowance under section 167 
        (relating to allowance for depreciation, etc.) or section 611 
        (relating to allowance for depletion), subsection (a) shall not 
        apply and the taxpayer shall--
                    ``(A) charge such expenditures to capital account, 
                and
                    ``(B) be allowed an amortization deduction of such 
                expenditures ratably over such period of not less than 
                60 months as may be selected by the taxpayer (beginning 
                with the month in which the taxpayer first realizes 
                benefits from such expenditures).
            ``(2) Time for and scope of election.--The election 
        provided by paragraph (1) may be made for any taxable year, but 
        only if made not later than the time prescribed by law for 
        filing the return for such taxable year (including extensions 
        thereof). The method so elected, and the period selected by the 
        taxpayer, shall be adhered to in computing taxable income for 
        the taxable year for which the election is made and for all 
        subsequent taxable years unless, with the approval of the 
        Secretary, a change to a different method (or to a different 
        period) is authorized with respect to part or all of such 
        expenditures. The election shall not apply to any expenditure 
        paid or incurred during any taxable year before the taxable 
        year for which the taxpayer makes the election.
    ``(d) Special Rules.--
            ``(1) Land and other property.--This section shall not 
        apply to any expenditure for the acquisition or improvement of 
        land, or for the acquisition or improvement of property to be 
        used in connection with the research or experimentation and of 
        a character which is subject to the allowance under section 167 
        (relating to allowance for depreciation, etc.) or section 611 
        (relating to allowance for depletion); but for purposes of this 
        section allowances under section 167, and allowances under 
        section 611, shall be considered as expenditures.
            ``(2) Exploration expenditures.--This section shall not 
        apply to any expenditure paid or incurred for the purpose of 
        ascertaining the existence, location, extent, or quality of any 
        deposit of ore or other mineral (including oil and gas).
            ``(3) Software development.--For purposes of this section, 
        any amount paid or incurred in connection with the development 
        of any software shall be treated as a research or experimental 
        expenditure.''.
    (b) Coordination With Certain Other Provisions.--
            (1) Foreign research expenses.--Section 174 is amended--
                    (A) in subsection (a)--
                            (i) by striking ``a taxpayer's specified 
                        research or experimental expenditures'' and 
                        inserting ``a taxpayer's foreign research or 
                        experimental expenditures'', and
                            (ii) by striking ``over the 5-year period 
                        (15-year period in the case of any specified 
                        research or experimental expenditures which are 
                        attributable to foreign research (within the 
                        meaning of section 41(d)(4)(F)))'' in paragraph 
                        (2)(B) and inserting ``over the 15-year 
                        period'',
                    (B) in subsection (b)--
                            (i) by striking ``specified research'' and 
                        inserting ``foreign research'',
                            (ii) by inserting ``and which are 
                        attributable to foreign research (within the 
                        meaning of section 41(d)(4)(F))'' before the 
                        period at the end, and
                            (iii) by striking ``Specified'' in the 
                        heading thereof and inserting ``Foreign'', and
                    (C) in subsection (d)--
                            (i) by striking ``specified research or 
                        experimental expenditures'' and inserting 
                        ``foreign research or experimental 
                        expenditures'', and
                            (ii) by inserting ``or reduction to amount 
                        realized'' after ``no deduction''.
            (2) Research credit.--
                    (A) Section 41(d)(1)(A) is amended to read as 
                follows:
                    ``(A) with respect to which expenditures are 
                treated as domestic research or experimental 
                expenditures under section 174A,''.
                    (B) Section 280C(c)(1) is amended to read as 
                follows:
            ``(1) In general.--The domestic research or experimental 
        expenditures (as defined in section 174A(b)) otherwise taken 
        into account as a deduction or charged to capital account under 
        this chapter shall be reduced by the amount of the credit 
        allowed under section 41(a).''.
            (3) AMT adjustment.--Section 56(b)(2) is amended--
                    (A) in subparagraph (A)--
                            (i) by striking ``or 174(a)'' in the matter 
                        preceding clause (i) and inserting ``, 174(a), 
                        or 174A(a)'', and
                            (ii) by striking ``research and 
                        experimental expenditures described in section 
                        174(a)'' in clause (ii) thereof and inserting 
                        ``foreign research or experimental expenditures 
                        described in section 174(a) and domestic 
                        research or experimental expenditures in 
                        section 174A(a)'', and
                    (B) in subparagraph (C), by inserting ``or 
                174A(a)'' after ``174(a)''.
            (4) Optional 10-year writeoff.--Section 59(e)(2)(B) is 
        amended by striking ``section 174(a) (relating to research and 
        experimental expenditures)'' and inserting ``section 174A(a) 
        (relating to domestic research or experimental expenditures)''.
            (5) Qualified small issue bonds.--Section 144(a)(4)(C)(iv) 
        is amended by striking ``174(a)'' and inserting ``174A(a)''.
            (6) Start-up expenditures.--Section 195(c)(1) is amended by 
        striking ``or 174'' in the last sentence and inserting ``174, 
        or 174A''.
            (7) Capital expenditures.--
                    (A) Section 263(a)(1)(B) is amended by inserting 
                ``or 174A'' after ``174''.
                    (B) Section 263A(c)(2) is amended by inserting ``or 
                174A'' after ``174''.
            (8) Active business computer software royalties.--Section 
        543(d)(4)(A)(i) is amended by inserting ``174A,'' after 
        ``174,''.
            (9) Source rules.--Section 864(g)(2) is amended--
                    (A) by striking ``research and experimental 
                expenditures within the meaning of section 174'' in the 
                first sentence and inserting ``foreign research or 
                experimental expenditures within the meaning of section 
                174 or domestic research or experimental expenditures 
                within the meaning of section 174A'', and
                    (B) in the last sentence--
                            (i) by striking ``treated as deferred 
                        expenses under subsection (b) of section 174'' 
                        and inserting ``allowed as an amortization 
                        deduction under section 174(a) or section 
                        174A(c),'', and
                            (ii) by striking ``such subsection'' and 
                        inserting ``such section (as the case may 
                        be)''.
            (10) Basis adjustment.--Section 1016(a)(14) is amended by 
        striking ``deductions as deferred expenses under section 
        174(b)(1) (relating to research and experimental 
        expenditures)'' and inserting ``deductions under section 174 or 
        174A(c)''.
            (11) Small business stock.--Section 1202(e)(2)(B) is 
        amended by striking ``which may be treated as research and 
        experimental expenditures under section 174'' and inserting 
        ``which are treated as foreign research or experimental 
        expenditures under section 174 or domestic research or 
        experimental expenditures under section 174A''.
    (c) Change in Method of Accounting.--
            (1) In general.--The amendments made by subsection (a) 
        shall be treated as a change in method of accounting for 
        purposes of section 481 of the Internal Revenue Code of 1986 
        and--
                    (A) such change shall be treated as initiated by 
                the taxpayer,
                    (B) such change shall be treated as made with the 
                consent of the Secretary, and
                    (C) such change shall be applied only on a cut-off 
                basis for any domestic research or experimental 
                expenditures (as defined in section 174A(b) of such 
                Code (as added by this section) and determined by 
                applying the rules of section 174A(d) of such Code) 
                paid or incurred in taxable years beginning after 
                December 31, 2024, and no adjustments under section 
                481(a) shall be made.
            (2) Special rules.--In the case of a taxable year which 
        begins after December 31, 2024, and ends before the date of the 
        enactment of this Act--
                    (A) paragraph (1)(C) shall not apply, and
                    (B) the change in method of accounting under 
                paragraph (1) shall be applied on a modified cut-off 
                basis, taking into account for purposes of section 
                481(a) of such Code only the domestic research or 
                experimental expenditures (as defined in section 
                174A(b) of such Code (as added by this section) and 
                determined by applying the rules of section 174A(d) of 
                such Code) paid or incurred in such taxable year but 
                not allowed as a deduction in such taxable year.
    (d) Clerical Amendment.--The table of sections for part VI of 
subchapter B of chapter 1 is amended by inserting after the item 
relating to section 174 the following new item:

``Sec. 174A. Domestic research or experimental expenditures.''.
    (e) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection or subsection (f)(1), the amendments made by this 
        section shall apply to amounts paid or incurred in taxable 
        years beginning after December 31, 2024.
            (2) Treatment of foreign research or experimental 
        expenditures upon disposition.--
                    (A) In general.--The amendment by subsection 
                (b)(1)(C)(ii) shall apply to property disposed, 
                retired, or abandoned after May 12, 2025.
                    (B) No inference.--The amendment made by subsection 
                (b)(1)(C)(ii) shall not be construed to create any 
                inference with respect to the proper application of 
                section 174(d) of the Internal Revenue Code of 1986 
                with respect to taxable years beginning before May 13, 
                2025.
            (3) Coordination with research credit.--The amendment made 
        by subsection (b)(2)(B) shall apply to taxable years beginning 
        after December 31, 2024.
            (4) No inference with respect to coordination with research 
        credit for prior periods.--The amendment made by subsection 
        (b)(2)(B) shall not be construed to create any inference with 
        respect to the proper application of section 280C(c) of the 
        Internal Revenue Code of 1986 with respect to taxable years 
        beginning before January 1, 2025.
    (f) Transition Rules.--
            (1) Election for retroactive application by certain small 
        businesses.--
                    (A) In general.--At the election of an eligible 
                taxpayer, paragraphs (1) and (3) of subsection (e) 
                shall each be applied by substituting ``December 31, 
                2021'' for ``December 31, 2024''. An election made 
                under this subparagraph shall be made in such manner as 
                the Secretary may provide and not later than the date 
                that is 1 year after the date of the enactment of this 
                Act. The taxpayer shall file an amended return for each 
                taxable year affected by such election.
                    (B) Eligible taxpayer.--For purposes of this 
                paragraph, the term ``eligible taxpayer'' means any 
                taxpayer (other than a tax shelter prohibited from 
                using the cash receipts and disbursements method of 
                accounting under section 448(a)(3)) which meets the 
                gross receipts test of section 448(c) for the first 
                taxable year beginning after December 31, 2024.
                    (C) Election treated as change in method of 
                accounting.--In the case of any taxpayer which elects 
                the application of subparagraph (A)--
                            (i) such election may be treated as a 
                        change in method of accounting for purposes of 
                        section 481 of such Code for the taxpayer's 
                        first taxable year affected by such election,
                            (ii) such change shall be treated as 
                        initiated by the taxpayer for such taxable 
                        year,
                            (iii) such change shall be treated as made 
                        with the consent of the Secretary, and
                            (iv) subsection (c) shall not apply to such 
                        taxpayer.
                    (D) Election regarding coordination with research 
                credit.--An election under section 280C(c)(2) of the 
                Internal Revenue Code of 1986 (or revocation of such 
                election) for any taxable year beginning after December 
                31, 2021, by an eligible taxpayer making an election 
                under subparagraph (A) shall not fail to be treated as 
                timely made (or as made on the return) if made during 
                the 1-year period beginning on the date of the 
                enactment of this Act on an amended return for such 
                taxable year.
            (2) Election to deduct certain unamortized amounts paid or 
        incurred in taxable years beginning before january 1, 2025.--
                    (A) In general.--In the case of any domestic 
                research or experimental expenditures (as defined in 
                section 174A, as added by subsection (a)) which are 
                paid or incurred in taxable years beginning after 
                December 31, 2021, and before January 1, 2025, and 
                which was charged to capital account, a taxpayer may 
                elect--
                            (i) to deduct any remaining unamortized 
                        amount with respect to such expenditures in the 
                        first taxable year beginning after December 31, 
                        2024, or
                            (ii) to deduct such remaining unamortized 
                        amount with respect to such expenditures 
                        ratably over the 2-taxable year period 
                        beginning with the first taxable year beginning 
                        after December 31, 2024.
                    (B) Change in method of accounting.--In the case of 
                a taxpayer who makes an election under this paragraph--
                            (i) such taxpayer shall be treated as 
                        initiating a change in method of accounting for 
                        purposes of section 481 of the Internal Revenue 
                        Code of 1986 with respect to the expenditures 
                        to which the election applies,
                            (ii) such change shall be treated as made 
                        with the consent of the Secretary, and
                            (iii) such change shall be applied only on 
                        a cut-off basis for such expenditures and no 
                        adjustments under section 481(a) shall be made.
                    (C) Regulations.--The Secretary of the Treasury (or 
                the Secretary's delegate) shall publish such guidance 
                or regulations as may be necessary to carry out the 
                purposes of this paragraph, including regulations or 
                guidance allowing for the deduction allowed under 
                subparagraph (A) in the case of taxpayers with taxable 
                years beginning after December 31, 2024, and ending 
                before the date of the enactment of this Act.

SEC. 70303. MODIFICATION OF LIMITATION ON BUSINESS INTEREST.

    (a) In General.--Section 163(j)(8)(A)(v) is amended by striking 
``in the case of taxable years beginning before January 1, 2022,''.
    (b) Floor Plan Financing Applicable to Certain Trailers and 
Campers.--Section 163(j)(9)(C) is amended by adding at the end the 
following new flush sentence:
                ``Such term shall also include any trailer or camper 
                which is designed to provide temporary living quarters 
                for recreational, camping, or seasonal use and is 
                designed to be towed by, or affixed to, a motor 
                vehicle.''.
    (c) Effective Date and Special Rule.--
            (1) In general.--The amendments made by this section shall 
        apply to taxable years beginning after December 31, 2024.
            (2) Special rule for short taxable years.--The Secretary of 
        the Treasury (or the Secretary's delegate) may prescribe such 
        rules as are necessary or appropriate to provide for the 
        application of the amendments made by this section in the case 
        of any taxable year of less than 12 months that begins after 
        December 31, 2024, and ends before the date of the enactment of 
        this Act.

SEC. 70304. EXTENSION AND ENHANCEMENT OF PAID FAMILY AND MEDICAL LEAVE 
              CREDIT.

    (a) In General.--Section 45S is amended--
            (1) in subsection (a)--
                    (A) by striking paragraph (1) and inserting the 
                following:
            ``(1) In general.--For purposes of section 38, in the case 
        of an eligible employer, the paid family and medical leave 
        credit is an amount equal to either of the following (as 
        elected by such employer):
                    ``(A) The applicable percentage of the amount of 
                wages paid to qualifying employees with respect to any 
                period in which such employees are on family and 
                medical leave.
                    ``(B) If such employer has an insurance policy with 
                regards to the provision of paid family and medical 
                leave which is in force during the taxable year, the 
                applicable percentage of the total amount of premiums 
                paid or incurred by such employer during such taxable 
                year with respect to such insurance policy.'', and
                    (B) by adding at the end the following:
            ``(3) Rate of payment determined without regard to whether 
        leave is taken.--For purposes of determining the applicable 
        percentage with respect to paragraph (1)(B), the rate of 
        payment under the insurance policy shall be determined without 
        regard to whether any qualifying employees were on family and 
        medical leave during the taxable year.'',
            (2) in subsection (b)(1), by striking ``credit allowed'' 
        and inserting ``wages taken into account'',
            (3) in subsection (c), by striking paragraphs (3) and (4) 
        and inserting the following:
            ``(3) Aggregation rule.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), all persons which are treated as a 
                single employer under subsections (b) and (c) of 
                section 414 shall be treated as a single employer.
                    ``(B) Exception.--
                            ``(i) In general.--Subparagraph (A) shall 
                        not apply to any person who establishes to the 
                        satisfaction of the Secretary that such person 
                        has a substantial and legitimate business 
                        reason for failing to provide a written policy 
                        described in paragraph (1) or (2).
                            ``(ii) Substantial and legitimate business 
                        reason.--For purposes of clause (i), the term 
                        `substantial and legitimate business reason' 
                        shall not include the operation of a separate 
                        line of business, the rate of wages or category 
                        of jobs for employees (or any similar basis), 
                        or the application of State or local laws 
                        relating to family and medical leave, but may 
                        include the grouping of employees of a common 
                        law employer.
            ``(4) Treatment of benefits mandated or paid for by state 
        or local governments.--For purposes of this section, any leave 
        which is paid by a State or local government or required by 
        State or local law--
                    ``(A) except as provided in subparagraph (B), shall 
                be taken into account in determining the amount of paid 
                family and medical leave provided by the employer, and
                    ``(B) shall not be taken into account in 
                determining the amount of the paid family and medical 
                leave credit under subsection (a).'',
            (4) in subsection (d)--
                    (A) in paragraph (1), by inserting ``(or, at the 
                election of the employer, for not less than 6 months)'' 
                after ``1 year or more'',
                    (B) in paragraph (2)--
                            (i) by inserting ``, as determined on an 
                        annualized basis (pro-rata for part-time 
                        employees),'' after ``compensation'', and
                            (ii) by striking the period at the end and 
                        inserting ``, and'', and
                    (C) by adding at the end the following:
            ``(3) is customarily employed for not less than 20 hours 
        per week.'', and
            (5) by striking subsection (i).
    (b) No Double Benefit.--Section 280C(a) is amended--
            (1) by striking ``45S(a)'' and inserting ``45S(a)(1)(A)'', 
        and
            (2) by inserting after the first sentence the following: 
        ``No deduction shall be allowed for that portion of the 
        premiums paid or incurred for the taxable year which is equal 
        to that portion of the paid family and medical leave credit 
        which is determined for the taxable year under section 
        45S(a)(1)(B).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70305. EXCEPTIONS FROM LIMITATIONS ON DEDUCTION FOR BUSINESS 
              MEALS.

    (a) Exception to Denial of Deduction for Business Meals.--Section 
274(o), as added by section 13304 of Public Law 115-97, is amended by 
striking ``No deduction'' and inserting ``Except in the case of an 
expense described in subsection (e)(8) or (n)(2)(C), no deduction''.
    (b) Meals Provided on Certain Fishing Boats and at Certain Fish 
Processing Facilities Not Subject to 50 Percent Limitation.--Section 
274(n)(2)(C) of the Internal Revenue Code of 1986 is amended by 
striking ``or'' at the end of clause (iii) and by adding at the end the 
following new clause:
                            ``(v) provided--
                                    ``(I) on a fishing vessel, fish 
                                processing vessel, or fish tender 
                                vessel (as such terms are defined in 
                                section 2101 of title 46, United States 
                                Code), or
                                    ``(II) at a facility for the 
                                processing of fish for commercial use 
                                or consumption which--
                                            ``(aa) is located in the 
                                        United States north of 50 
                                        degrees north latitude, and
                                            ``(bb) is not located in a 
                                        metropolitan statistical area 
                                        (within the meaning of section 
                                        143(k)(2)(B)), or''.
    (c) Effective Date.--The amendments made by this section shall 
apply to amounts paid or incurred after December 31, 2025.

SEC. 70306. INCREASED DOLLAR LIMITATIONS FOR EXPENSING OF CERTAIN 
              DEPRECIABLE BUSINESS ASSETS.

    (a) In General.--Section 179(b) is amended--
            (1) in paragraph (1), by striking ``$1,000,000'' and 
        inserting ``$2,500,000'', and
            (2) in paragraph (2), by striking ``$2,500,000'' and 
        inserting ``$4,000,000''.
    (b) Conforming Amendments.--Section 179(b)(6)(A) is amended--
            (1) by inserting ``(2025 in the case of the dollar amounts 
        in paragraphs (1) and (2))'' after ``In the case of any taxable 
        year beginning after 2018'', and
            (2) in clause (ii), by striking ``determined by 
        substituting `calendar year 2017' for `calendar year 2016' in 
        subparagraph (A)(ii) thereof.'' and inserting "determined by 
        substituting in subparagraph (A)(ii) thereof-- ``
                                    ``(I) in the case of amounts in 
                                paragraphs (1) and (2), `calendar year 
                                2024' for `calendar year 2016', and
                                    ``(II) in the case of the amount in 
                                paragraph (5)(A), `calendar year 2017' 
                                for `calendar year 2016'.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service in taxable years beginning after 
December 31, 2024.

SEC. 70307. SPECIAL DEPRECIATION ALLOWANCE FOR QUALIFIED PRODUCTION 
              PROPERTY.

    (a) In General.--Section 168 is amended by adding at the end the 
following new subsection:
    ``(n) Special Allowance for Qualified Production Property.--
            ``(1) In general.--In the case of any qualified production 
        property of a taxpayer making an election under this 
        subsection--
                    ``(A) the depreciation deduction provided by 
                section 167(a) for the taxable year in which such 
                property is placed in service shall include an 
                allowance equal to 100 percent of the adjusted basis of 
                the qualified production property, and
                    ``(B) the adjusted basis of the qualified 
                production property shall be reduced by the amount of 
                such deduction before computing the amount otherwise 
                allowable as a depreciation deduction under this 
                chapter for such taxable year and any subsequent 
                taxable year.
            ``(2) Qualified production property.--For purposes of this 
        subsection--
                    ``(A) In general.--The term `qualified production 
                property' means that portion of any nonresidential real 
                property--
                            ``(i) to which this section applies,
                            ``(ii) which is used by the taxpayer as an 
                        integral part of a qualified production 
                        activity,
                            ``(iii) which is placed in service in the 
                        United States or any possession of the United 
                        States,
                            ``(iv) the original use of which commences 
                        with the taxpayer,
                            ``(v) the construction of which begins 
                        after January 19, 2025, and before January 1, 
                        2029,
                            ``(vi) which is designated by the taxpayer 
                        in the election made under this subsection, and
                            ``(vii) which is placed in service before 
                        January 1, 2031.
                For purposes of clause (ii), in the case of property 
                with respect to which the taxpayer is a lessor, 
                property used by a lessee shall not be considered to be 
                used by the taxpayer as part of a qualified production 
                activity.
                    ``(B) Special rule for certain property not 
                previously used in qualified production activities.--
                            ``(i) In general.--In the case of property 
                        acquired by the taxpayer during the period 
                        described in subparagraph (A)(v), the 
                        requirements of clauses (iv) and (v) of 
                        subparagraph (A) shall be treated as satisfied 
                        if--
                                    ``(I) such property was not used in 
                                a qualified production activity 
                                (determined without regard to the 
                                second sentence of subparagraph (D)) by 
                                any person at any time during the 
                                period beginning on January 1, 2021, 
                                and ending on May 12, 2025,
                                    ``(II) such property was not used 
                                by the taxpayer at any time prior to 
                                such acquisition, and
                                    ``(III) the acquisition of such 
                                property meets the requirements of 
                                paragraphs (2)(A), (2)(B), (2)(C), and 
                                (3) of section 179(d).
                            ``(ii) Written binding contracts.--For 
                        purposes of determining under clause (i)--
                                    ``(I) whether such property is 
                                acquired before the period described in 
                                subparagraph (A)(v), such property 
                                shall be treated as acquired not later 
                                than the date on which the taxpayer 
                                enters into a written binding contract 
                                for such acquisition, and
                                    ``(II) whether such property is 
                                acquired after such period, such 
                                property shall be treated as acquired 
                                not earlier than such date.
                    ``(C) Exclusion of office space, etc.--The term 
                `qualified production property' shall not include that 
                portion of any nonresidential real property which is 
                used for offices, administrative services, lodging, 
                parking, sales activities, research activities, 
                software development or engineering activities, or 
                other functions unrelated to the manufacturing, 
                production, or refining of tangible personal property.
                    ``(D) Qualified production activity.--The term 
                `qualified production activity' means the 
                manufacturing, production, or refining of a qualified 
                product. The activities of any taxpayer do not 
                constitute manufacturing, production, or refining of a 
                qualified product unless the activities of such 
                taxpayer result in a substantial transformation of the 
                property comprising the product.
                    ``(E) Production.--The term `production' shall not 
                include activities other than agricultural production 
                and chemical production.
                    ``(F) Qualified product.--The term `qualified 
                product' means any tangible personal property if such 
                property is not a food or beverage prepared in the same 
                building as a retail establishment in which such 
                property is sold.
                    ``(G) Syndication.--For purposes of subparagraph 
                (A)(iv), rules similar to the rules of subsection 
                (k)(2)(E)(iii) shall apply.
                    ``(H) Extension of placed in service date under 
                certain circumstances.--The Secretary may extend the 
                date under subparagraph (A)(vii) with respect to any 
                property that meets the requirements of clauses (i) 
                through (vi) of subparagraph (A) if the Secretary 
                determines that an act of God (as defined in section 
                101(1) of the Comprehensive Environmental Response, 
                Compensation, and Liability Act of 1980) prevents the 
                taxpayer from placing such property in service before 
                such date.
            ``(3) Deduction allowed in computing minimum tax.--For 
        purposes of determining alternative minimum taxable income 
        under section 55, the deduction under section 167 for qualified 
        production property shall be determined under this section 
        without regard to any adjustment under section 56.
            ``(4) Coordination with certain other provisions.--
                    ``(A) Other special depreciation allowances.--For 
                purposes of subsections (k)(7), (l)(3)(D), and 
                (m)(2)(B)(iii)--
                            ``(i) qualified production property shall 
                        be treated as a separate class of property, and
                            ``(ii) the taxpayer shall be treated as 
                        having made an election under such subsections 
                        with respect to such class.
                    ``(B) Alternative depreciation property.--The term 
                `qualified production property' shall not include any 
                property to which the alternative depreciation system 
                under subsection (g) applies. For purposes of 
                subsection (g)(7)(A), qualified production property to 
                which this subsection applies shall be treated as 
                separate nonresidential real property.
            ``(5) Recapture.--If, at any time during the 10-year period 
        beginning on the date that any qualified production property is 
        placed in service by the taxpayer, such property ceases to be 
        used as described in paragraph (2)(A)(ii) and is used by the 
        taxpayer in a productive use not described in paragraph 
        (2)(A)(ii)--
                    ``(A) section 1245 shall be applied--
                            ``(i) by treating such property as having 
                        been disposed of by the taxpayer as of the 
                        first time such property is so used in a 
                        productive use not described in paragraph 
                        (2)(A)(ii), and
                            ``(ii) by treating the amount described in 
                        subparagraph (B) of section 1245(a)(1) with 
                        respect to such disposition as being not less 
                        than the amount described in subparagraph (A) 
                        of such section, and
                    ``(B) the basis of the taxpayer in such property, 
                and the taxpayer's allowance for depreciation with 
                respect to such property, shall be appropriately 
                adjusted to take into account amounts recognized by 
                reason of subparagraph (A).
            ``(6) Election.--
                    ``(A) In general.--An election under this 
                subsection for any taxable year shall--
                            ``(i) specify the nonresidential real 
                        property subject to the election and the 
                        portion of such property designated under 
                        paragraph (2)(A)(vi), and
                            ``(ii) except as otherwise provided by the 
                        Secretary, be made on the taxpayer's return of 
                        the tax imposed by this chapter for the taxable 
                        year.
                Such election shall be made in such manner as the 
                Secretary may prescribe by regulations or other 
                guidance.
                    ``(B) Election.--Any election made under this 
                subsection, and any specification contained in any such 
                election, may not be revoked except with the consent of 
                the Secretary (and the Secretary shall provide such 
                consent only in extraordinary circumstances).
            ``(7) Regulations.--The Secretary shall issue such 
        regulations or other guidance as may be necessary or 
        appropriate to carry out the purposes of this subsection, 
        including regulations or other guidance--
                    ``(A) providing rules for regarding what 
                constitutes substantial transformation of property 
                which are consistent with guidance provided under 
                section 954(d), and
                    ``(B) providing for the application of paragraph 
                (5) with respect to a change in use described in such 
                paragraph by a transferee following a fully or 
                partially tax free transfer of qualified production 
                property.''.
    (b) Treatment of Qualified Production Property as Section 1245 
Property.--Section 1245(a)(3) is amended by striking ``or'' at the end 
of subparagraph (E), by striking the period at the end of subparagraph 
(F) and inserting ``, or'', and by adding at the end the following new 
subparagraph:
                    ``(G) any qualified production property (as defined 
                in section 168(n)(2)).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service after the date of the enactment of 
this Act.

SEC. 70308. ENHANCEMENT OF ADVANCED MANUFACTURING INVESTMENT CREDIT.

    (a) In General.--Section 48D(a) is amended by striking ``25 
percent'' and inserting ``35 percent''.
    (b) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 2025.

SEC. 70309. SPACEPORTS ARE TREATED LIKE AIRPORTS UNDER EXEMPT FACILITY 
              BOND RULES.

    (a) In General.--Section 142(a)(1) is amended to read as follows:
            ``(1) airports and spaceports,''.
    (b) Treatment of Ground Leases.--Section 142(b)(1) is amended by 
adding at the end the following new subparagraph:
                    ``(C) Special rule for spaceport ground leases.--
                For purposes of subparagraph (A), spaceport property 
                located on land leased by a governmental unit from the 
                United States shall not fail to be treated as owned by 
                a governmental unit if the requirements of this 
                paragraph are met by the lease and any subleases of the 
                property.''.
    (c) Definition of Spaceport.--Section 142 is amended by adding at 
the end the following new subsection:
    ``(p) Spaceport.--
            ``(1) In general.--For purposes of subsection (a)(1), the 
        term `spaceport' means any facility located at or in close 
        proximity to a launch site or reentry site used for--
                    ``(A) manufacturing, assembling, or repairing 
                spacecraft, space cargo, other facilities described in 
                this paragraph, or any component of the foregoing,
                    ``(B) flight control operations,
                    ``(C) providing launch services and reentry 
                services, or
                    ``(D) transferring crew, spaceflight participants, 
                or space cargo to or from spacecraft.
            ``(2) Additional terms.--For purposes of paragraph (1)--
                    ``(A) Space cargo.--The term `space cargo' includes 
                satellites, scientific experiments, other property 
                transported into space, and any other type of payload, 
                whether or not such property returns from space.
                    ``(B) Spacecraft.--The term `spacecraft' means a 
                launch vehicle or a reentry vehicle.
                    ``(C) Other terms.--The terms `launch site', 
                `crew', `space flight participant', `launch services', 
                `launch vehicle', `payload', `reentry services', 
                `reentry site', a `reentry vehicle' shall have the 
                respective meanings given to such terms by section 
                50902 of title 51, United States Code (as in effect on 
                the date of enactment of this subsection).
            ``(3) Public use requirement.--A facility shall not be 
        required to be available for use by the general public to be 
        treated as a spaceport for purposes of this section.
            ``(4) Manufacturing facilities and industrial parks 
        allowed.--With respect to spaceports, subsection (c)(2)(E) 
        shall not apply to spaceport property described in paragraph 
        (1)(A).''.
    (d) Exception From Federally Guaranteed Bond Prohibition.--Section 
149(b)(3) is amended by adding at the end the following new 
subparagraph:
                    ``(F) Exception for spaceports.--A bond shall not 
                be treated as federally guaranteed merely because of 
                the payment of rent, user fees, or other charges by the 
                United States (or any agency or instrumentality 
                thereof) in exchange for the use of the spaceport by 
                the United States (or any agency or instrumentality 
                thereof).''.
    (e) Conforming Amendment.--The heading for section 142(c) is 
amended by inserting ``Spaceports,'' after ``Airports,''.
    (f) Effective Date.--The amendments made by this section shall 
apply to obligations issued after the date of the enactment of this 
Act.

    Subchapter B--Permanent America-first International Tax Reforms

                       PART I--FOREIGN TAX CREDIT

SEC. 70311. MODIFICATIONS RELATED TO FOREIGN TAX CREDIT LIMITATION.

    (a) Rules for Allocation of Certain Deductions to Foreign Source 
Net CFC Tested Income for Purposes of Foreign Tax Credit Limitation.--
Section 904(b) is amended by adding at the end the following new 
paragraph:
            ``(5) Deductions treated as allocable to foreign source net 
        cfc tested income.--Solely for purposes of the application of 
        subsection (a) with respect to amounts described in subsection 
        (d)(1)(A), the taxpayer's taxable income from sources without 
        the United States shall be determined by allocating and 
        apportioning--
                    ``(A) any deduction allowed under section 
                250(a)(1)(B) (and any deduction allowed under section 
                164(a)(3) for taxes imposed on amounts described in 
                section 250(a)(1)(B)) to such income,
                    ``(B) no amount of interest expense or research and 
                experimental expenditures to such income, and
                    ``(C) any other deduction to such income only if 
                such deduction is directly allocable to such income.
        Any amount or deduction which would (but for subparagraphs (B) 
        and (C)) have been allocated or apportioned to such income 
        shall only be allocated or apportioned to income which is from 
        sources within the United States.''.
    (b) Other Modifications.--
            (1) Section 904(d)(2)(H)(i) is amended by striking 
        ``paragraph (1)(B)'' and inserting ``paragraph (1)(D)''.
            (2) Section 904(d)(4)(C)(ii) is amended by striking 
        ``paragraph (1)(A)'' and inserting ``paragraph (1)(C)''.
            (3) Section 951A(f)(1)(A) is amended by striking 
        ``904(h)(1)'' and inserting ``904(h)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70312. MODIFICATIONS TO DETERMINATION OF DEEMED PAID CREDIT FOR 
              TAXES PROPERLY ATTRIBUTABLE TO TESTED INCOME.

    (a) Increase in Deemed Paid Credit.--
            (1) In general.--Section 960(d)(1) is amended by striking 
        ``80 percent'' and inserting ``90 percent''.
            (2) Gross up for deemed paid foreign tax credit.--Section 
        78 is amended--
                    (A) by striking ``subsections (a), (b), and (d)'' 
                and inserting ``subsections (a) and (d)'', and
                    (B) by striking ``80 percent'' and inserting ``90 
                percent''.
    (b) Disallowance of Foreign Tax Credit With Respect to 
Distributions of Previously Taxed Net CFC Tested Income.--Section 
960(d) is amended by adding at the end the following new paragraph:
            ``(4) Disallowance of foreign tax credit with respect to 
        distributions of previously taxed net cfc tested income.--No 
        credit shall be allowed under section 901 for 10 percent of any 
        foreign income taxes paid or accrued (or deemed paid under 
        subsection (b)(1)) with respect to any amount excluded from 
        gross income under section 959(a) by reason of an inclusion in 
        gross income under section 951A(a).''.
    (c) Effective Dates.--
            (1) In general.--The amendments made by subsection (a) 
        shall apply to taxable years beginning after December 31, 2025.
            (2) Disallowance.--The amendment made by subsection (b) 
        shall apply to foreign income taxes paid or accrued (or deemed 
        paid under section 960(b)(1) of the Internal Revenue Code of 
        1986) with respect to any amount excluded from gross income 
        under section 959(a) of such Code by reason of an inclusion in 
        gross income under section 951A(a) of such Code after June 28, 
        2025.

SEC. 70313. SOURCING CERTAIN INCOME FROM THE SALE OF INVENTORY PRODUCED 
              IN THE UNITED STATES.

    (a) In General.--Section 904(b), as amended by section 70311, is 
amended by adding at the end the following new paragraph:
            ``(6) Source rules for certain inventory produced in the 
        united states and sold through foreign branches.--For purposes 
        of this section, if a United States person maintains an office 
        or other fixed place of business in a foreign country 
        (determined under rules similar to the rules of section 
        864(c)(5)), the portion of income which--
                    ``(A) is from the sale or exchange outside the 
                United States of inventory property (within the meaning 
                of section 865(i)(1))--
                            ``(i) which is produced in the United 
                        States,
                            ``(ii) which is for use outside the United 
                        States, and
                            ``(iii) to which the third sentence of 
                        section 863(b) applies, and
                    ``(B) is attributable (determined under rules 
                similar to the rules of section 864(c)(5)) to such 
                office or other fixed place of business,
        shall be treated as from sources without the United States, 
        except that the amount so treated shall not exceed 50 percent 
        of the income from the sale or exchange of such inventory 
        property.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

 PART II--FOREIGN-DERIVED DEDUCTION ELIGIBLE INCOME AND NET CFC TESTED 
                                 INCOME

SEC. 70321. MODIFICATION OF DEDUCTION FOR FOREIGN-DERIVED DEDUCTION 
              ELIGIBLE INCOME AND NET CFC TESTED INCOME.

    (a) In General.--Section 250(a) is amended--
            (1) by striking ``37.5 percent'' in paragraph (1)(A) and 
        inserting ``33.34 percent'',
            (2) by striking ``50 percent'' in paragraph (1)(B) and 
        inserting ``40 percent'', and
            (3) by striking paragraph (3).
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70322. DETERMINATION OF DEDUCTION ELIGIBLE INCOME.

    (a) Sales or Other Dispositions of Certain Property.--
            (1) In general.--Section 250(b)(3)(A)(i) is amended--
                    (A) by striking ``and'' at the end of subclause 
                (V),
                    (B) by striking ``over'' at the end of subclause 
                (VI) and inserting ``and'', and
                    (C) by adding at the end the following new 
                subclause:
                                    ``(VII) except as otherwise 
                                provided by the Secretary, any income 
                                and gain from the sale or other 
                                disposition (including pursuant to the 
                                deemed sale or other deemed disposition 
                                or a transaction subject to section 
                                367(d)) of--
                                            ``(aa) intangible property 
                                        (as defined in section 
                                        367(d)(4)), and
                                            ``(bb) any other property 
                                        of a type that is subject to 
                                        depreciation, amortization, or 
                                        depletion by the seller, 
                                        over''.
            (2) Conforming amendment.--Section 250(b)(5)(E) is amended 
        by inserting ``(other than paragraph (3)(A)(i)(VII))'' after 
        ``For purposes of this subsection''.
            (3) Effective date.--The amendments made by this subsection 
        shall apply to sales or other dispositions (including pursuant 
        to deemed sales or other deemed dispositions or a transaction 
        subject to section 367(d) of the Internal Revenue Code of 1986) 
        occurring after June 16, 2025.
    (b) Expense Apportionment Limited to Properly Allocable Expenses.--
            (1) In general.--Section 250(b)(3)(A)(ii) is amended to 
        read as follows:
                            ``(ii) expenses and deductions (including 
                        taxes), other than interest expense and 
                        research or experimental expenditures, properly 
                        allocable to such gross income.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to taxable years beginning after December 31, 2025.

SEC. 70323. RULES RELATED TO DEEMED INTANGIBLE INCOME.

    (a) Taxation of Net CFC Tested Income.--
            (1) In general.--Section 951A(a) is amended by striking 
        ``global intangible low-taxed income'' and inserting ``net CFC 
        tested income''.
            (2) Repeal of tax-free deemed return on foreign 
        investments.--Section 951A, as amended by the preceding 
        provisions of this Act, is amended by striking subsections (b) 
        and (d) and by redesignating subsections (c), (e), and (f) as 
        subsections (b), (c), and (d), respectively.
            (3) Conforming amendments.--
                    (A)(i) Section 250 is amended by striking ``global 
                intangible low-taxed income'' each place it appears in 
                subsections (a)(1)(B)(i), (a)(2), and (b)(3)(A)(i)(II) 
                and inserting ``net CFC tested income''.
                    (ii) The heading for section 250 of such Code is 
                amended by striking ``global intangible low-taxed 
                income'' and inserting ``net cfc tested income''.
                    (iii) The item relating to section 250 in the table 
                of sections for part VII of subchapter B of chapter 1 
                of such Code is amended by striking ``global intangible 
                low-taxed income'' and inserting ``net CFC tested 
                income''.
                    (B) Section 951A(c)(1), as redesignated by 
                paragraph (2), is amended by striking ``subsections 
                (b), (c)(1)(A), and (c)(1)(B)'' and inserting 
                ``subsections (b)(1)(A) and (b)(1)(B)''.
                    (C) Section 951A(d), as redesignated by paragraph 
                (2), is amended--
                            (i) by striking ``global intangible low-
                        taxed income'' each place it appears and 
                        inserting ``net CFC tested income'', and
                            (ii) by striking ``subsection (c)(1)(A)'' 
                        in paragraph (2)(B)(ii) and inserting 
                        ``subsection (b)(1)(A)''.
                    (D) Section 960(d)(2) is amended--
                            (i) by striking ``global intangible low-
                        taxed income'' in subparagraph (A) and 
                        inserting ``net CFC tested income'', and
                            (ii) by striking ``section 951A(c)(1)(A)'' 
                        in subparagraph (B) and inserting ``section 
                        951A(b)(1)(A)''.
                    (E)(i) The heading for section 951A is amended by 
                striking ``global intangible low-taxed income'' and 
                inserting ``net cfc tested income''.
                    (ii) The item relating to section 951A in the table 
                of sections for subpart F of part III of subchapter N 
                of chapter 1 is amended by striking ``Global intangible 
                low-taxed income'' and inserting ``Net CFC tested 
                income''.
    (b) Deduction for Foreign-derived Deduction Eligible Income.--
            (1) In general.--Section 250(a)(1)(A) is amended by 
        striking ``foreign-derived intangible income'' and inserting 
        ``foreign-derived deduction eligible income''.
            (2) Conforming amendments.--
                    (A) Section 250(a)(2) is amended by striking 
                ``foreign-derived intangible income'' each place it 
                appears and inserting ``foreign-derived deduction 
                eligible income''.
                    (B) Section 250(b), as amended by subsection (a), 
                is amended--
                            (i) by striking paragraphs (1) and (2),
                            (ii) by redesignating paragraphs (4) and 
                        (5) as paragraphs (1) and (2), respectively, 
                        and by moving such paragraphs before paragraph 
                        (3),
                            (iii) in paragraph (2)(B)(ii), as so 
                        redesignated, by striking ``paragraph (4)(B)'' 
                        and inserting ``paragraph (1)(B)'', and
                            (iv) by striking ``Intangible'' in the 
                        heading thereof and inserting ``Deduction 
                        Eligible''.
                    (C)(i) The heading for section 250 is amended by 
                striking ``intangible'' in the heading thereof and 
                inserting ``deduction eligible''.
                    (ii) The heading for section 172(d)(9) is amended 
                by striking ``intangible'' and inserting ``deduction 
                eligible''.
                    (iii) The item relating to section 250 in the table 
                of sections for part VIII of subchapter B of chapter 1 
                is amended by striking ``intangible'' and inserting 
                ``deduction eligible''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

                   PART III--BASE EROSION MINIMUM TAX

SEC. 70331. EXTENSION AND MODIFICATION OF BASE EROSION MINIMUM TAX 
              AMOUNT.

    (a) In General.--Section 59A(b) is amended--
            (1) by striking ``10 percent'' in paragraph (1) and 
        inserting ``10.5 percent'', and
            (2) by striking paragraph (2) and by redesignating 
        paragraphs (3) and (4) as paragraphs (2) and (3), respectively.
    (b) Conforming Amendments.--
            (1) Section 59A(b)(1) is amended by striking ``Except as 
        provided in paragraphs (2) and (3)'' and inserting ``Except as 
        provided in paragraph (2)''.
            (2) Section 59A(b)(2), as redesignated by subsection 
        (a)(2), is amended by striking ``the percentage otherwise in 
        effect under paragraphs (1)(A) and (2)(A) shall each be 
        increased'' and inserting ``the percentages otherwise in effect 
        under paragraph (1)(A) shall be increased''.
            (3) Section 59A(e)(1)(C) is amended by striking ``in the 
        case of a taxpayer described in subsection (b)(3)(B)'' and 
        inserting ``in the case of a taxpayer described in subsection 
        (b)(2)(B)''.
    (c) Other Modifications.--
            (1) Section 59A(b)(2)(B)(ii), as redesignated by subsection 
        (a)(2), is amended by striking ``registered securities dealer'' 
        and inserting ``securities dealer registered''.
            (2) Section 59A(h)(2)(B) is amended by striking ``section 
        6038B(b)(2)'' and inserting ``section 6038A(b)(2)''.
            (3) Section 59A(i)(2) is amended--
                    (A) by striking ``subsection (g)'' and inserting 
                ``subsection (h)'', and
                    (B) by striking ``subsection (g)(3)'' and inserting 
                ``subsection (h)(3)''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

                 PART IV--BUSINESS INTEREST LIMITATION

SEC. 70341. COORDINATION OF BUSINESS INTEREST LIMITATION WITH INTEREST 
              CAPITALIZATION PROVISIONS.

    (a) In General.--Section 163(j) is amended by redesignating 
paragraphs (10) and (11) as paragraphs (11) and (12) and by inserting 
after paragraph (9) the following:
            ``(10) Coordination with interest capitalization 
        provisions.--
                    ``(A) In general.--In applying this subsection--
                            ``(i) the limitation under paragraph (1) 
                        shall apply to business interest without regard 
                        to whether the taxpayer would otherwise deduct 
                        such business interest or capitalize such 
                        business interest under an interest 
                        capitalization provision, and
                            ``(ii) any reference in this subsection to 
                        a deduction for business interest shall be 
                        treated as including a reference to the 
                        capitalization of business interest.
                    ``(B) Amount allowed applied first to capitalized 
                interest.--The amount allowed after taking into account 
                the limitation described in paragraph (1)--
                            ``(i) shall be applied first to the 
                        aggregate amount of business interest which 
                        would otherwise be capitalized, and
                            ``(ii) the remainder (if any) shall be 
                        applied to the aggregate amount of business 
                        interest which would be deducted.
                    ``(C) Treatment of disallowed interest carried 
                forward.--No portion of any business interest carried 
                forward under paragraph (2) from any taxable year to 
                any succeeding taxable year shall, for purposes of this 
                title (including any interest capitalization provision 
                which previously applied to such portion) be treated as 
                interest to which an interest capitalization provision 
                applies.
                    ``(D) Interest capitalization provision.--For 
                purposes of this section, the term `interest 
                capitalization provision' means any provision of this 
                subtitle under which interest--
                            ``(i) is required to be charged to capital 
                        account, or
                            ``(ii) may be deducted or charged to 
                        capital account.''.
    (b) Certain Capitalized Interest Not Treated as Business 
Interest.--Section 163(j)(5) is amended by adding at the end the 
following new sentence: ``Such term shall not include any interest 
which is capitalized under section 263(g) or 263A(f).''.
    (c) Regulatory Authority.--Section 163(j), as amended by subsection 
(a), is amended by redesignating paragraphs (11) and (12) as paragraphs 
(12) and (13) and by inserting after paragraph (10) the following:
            ``(11) Regulatory authority.--The Secretary shall issue 
        such regulations or guidance as may be necessary or appropriate 
        to carry out the purposes of this subsection, including 
        regulations or guidance to determine which business interest is 
        taken into account under this subsection and section 
        59A(c)(3).''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70342. DEFINITION OF ADJUSTED TAXABLE INCOME FOR BUSINESS INTEREST 
              LIMITATION.

    (a) In General.--Subparagraph (A) of section 163(j)(8) is amended--
            (1) by striking ``and'' at the end of clause (iv), and
            (2) by adding at the end the following new clause:
                            ``(vi) the amounts included in gross income 
                        under sections 951(a), 951A(a), and 78 (and the 
                        portion of the deductions allowed under 
                        sections 245A(a) (by reason of section 
                        964(e)(4)) and 250(a)(1)(B) by reason of such 
                        inclusions), and''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

                PART V--OTHER INTERNATIONAL TAX REFORMS

SEC. 70351. PERMANENT EXTENSION OF LOOK-THRU RULE FOR RELATED 
              CONTROLLED FOREIGN CORPORATIONS.

    (a) In General.--Section 954(c)(6)(C) is amended by striking ``and 
before January 1, 2026,''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years of foreign corporations beginning after December 31, 
2025.

SEC. 70352. REPEAL OF ELECTION FOR 1-MONTH DEFERRAL IN DETERMINATION OF 
              TAXABLE YEAR OF SPECIFIED FOREIGN CORPORATIONS.

    (a) In General.--Section 898(c) is amended by striking paragraph 
(2) and redesignating paragraph (3) as paragraph (2).
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years of specified foreign corporations beginning 
after November 30, 2025.
    (c) Transition Rule.--
            (1) In general.--In the case of a corporation that is a 
        specified foreign corporation as of November 30, 2025, such 
        corporation's first taxable year beginning after such date 
        shall end at the same time as the first required year (within 
        the meaning of section 898(c)(1) of the Internal Revenue Code 
        of 1986) ending after such date. If any specified foreign 
        corporation is required by the amendments made by this section 
        to change its taxable year for its first taxable year beginning 
        after November 30, 2025--
                    (A) such change shall be treated as initiated by 
                such corporation,
                    (B) such change shall be treated as having been 
                made with the consent of the Secretary, and
                    (C) the Secretary shall issue regulations or other 
                guidance for allocating foreign taxes that are paid or 
                accrued in such first taxable year and the succeeding 
                taxable year among such taxable years in the manner the 
                Secretary determines appropriate to carry out the 
                purposes of this section.
            (2) Secretary.--For purposes of this subsection, the term 
        ``Secretary'' means the Secretary of the Treasury or the 
        Secretary's delegate.

SEC. 70353. RESTORATION OF LIMITATION ON DOWNWARD ATTRIBUTION OF STOCK 
              OWNERSHIP IN APPLYING CONSTRUCTIVE OWNERSHIP RULES.

    (a) In General.--Section 958(b) is amended--
            (1) by inserting after paragraph (3) the following:
            ``(4) Subparagraphs (A), (B), and (C) of section 318(a)(3) 
        shall not be applied so as to consider a United States person 
        as owning stock which is owned by a person who is not a United 
        States person.'', and
            (2) by striking ``Paragraph (1)'' in the last sentence and 
        inserting ``Paragraphs (1) and (4)''.
    (b) Foreign Controlled United States Shareholders.--Subpart F of 
part III of subchapter N of chapter 1 is amended by inserting after 
section 951A the following new section:

``SEC. 951B. AMOUNTS INCLUDED IN GROSS INCOME OF FOREIGN CONTROLLED 
              UNITED STATES SHAREHOLDERS.

    ``(a) In General.--In the case of any foreign controlled United 
States shareholder of a foreign controlled foreign corporation--
            ``(1) this subpart (other than sections 951A, 951(b), and 
        957) shall be applied with respect to such shareholder 
        (separately from, and in addition to, the application of this 
        subpart without regard to this section)--
                    ``(A) by substituting `foreign controlled United 
                States shareholder' for `United States shareholder' 
                each place it appears therein, and
                    ``(B) by substituting `foreign controlled foreign 
                corporation' for `controlled foreign corporation' each 
                place it appears therein, and
            ``(2) section 951A (and such other provisions of this 
        subpart as provided by the Secretary) shall be applied with 
        respect to such shareholder--
                    ``(A) by treating each reference to `United States 
                shareholder' in such section as including a reference 
                to such shareholder, and
                    ``(B) by treating each reference to `controlled 
                foreign corporation' in such section as including a 
                reference to such foreign controlled foreign 
                corporation.
    ``(b) Foreign Controlled United States Shareholder.--For purposes 
of this section, the term `foreign controlled United States 
shareholder' means, with respect to any foreign corporation, any United 
States person which would be a United States shareholder with respect 
to such foreign corporation if--
            ``(1) section 951(b) were applied by substituting `more 
        than 50 percent' for `10 percent or more', and
            ``(2) section 958(b) were applied without regard to 
        paragraph (4) thereof.
    ``(c) Foreign Controlled Foreign Corporation.--For purposes of this 
section, the term `foreign controlled foreign corporation' means a 
foreign corporation, other than a controlled foreign corporation, which 
would be a controlled foreign corporation if section 957(a) were 
applied--
            ``(1) by substituting `foreign controlled United States 
        shareholders' for `United States shareholders', and
            ``(2) by substituting `section 958(b) (other than paragraph 
        (4) thereof)' for `section 958(b)'.
    ``(d) Regulations.--The Secretary shall prescribe such regulations 
or other guidance as may be necessary or appropriate to carry out the 
purposes of this section, including regulations or other guidance--
            ``(1) to treat a foreign controlled United States 
        shareholder or a foreign controlled foreign corporation as a 
        United States shareholder or as a controlled foreign 
        corporation, respectively, for purposes of provisions of this 
        title other than this subpart (including any reporting 
        requirement), and
            ``(2) with respect to the treatment of foreign controlled 
        foreign corporations that are passive foreign investment 
        companies (as defined in section 1297).''.
    (c) Clerical Amendment.--The table of sections for subpart F of 
part III of subchapter N of chapter 1 is amended by inserting after the 
item relating to section 951A the following new item:

``Sec. 951B. Amounts included in gross income of foreign controlled 
                            United States shareholders.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years of foreign corporations beginning after December 
31, 2025.
    (e) Special Rule.--
            (1) In general.--Except to the extent provided by the 
        Secretary of the Treasury (or the Secretary's delegate), the 
        effective date of any amendment to the Internal Revenue Code of 
        1986 shall be applied by treating references to United States 
        shareholders as including references to foreign controlled 
        United States shareholders, and by treating references to 
        controlled foreign corporations as including references to 
        foreign controlled foreign corporations.
            (2) Definitions.--Any term used in paragraph (1) which is 
        used in subpart F of part III of subchapter N of chapter 1 of 
        the Internal Revenue Code of 1986 (as amended by this section) 
        shall have the meaning given such term in such subpart.
    (f) No Inference.--The amendments made by this section shall not be 
construed to create any inference with respect to the proper 
application of any provision of the Internal Revenue Code of 1986 with 
respect to taxable years beginning before the taxable years to which 
such amendments apply.

SEC. 70354. MODIFICATIONS TO PRO RATA SHARE RULES.

    (a) In General.--Subsection (a) of section 951 is amended to read 
as follows:
    ``(a) Amounts Included.--
            ``(1) In general.--If a foreign corporation is a controlled 
        foreign corporation at any time during a taxable year of the 
        foreign corporation (in this subsection referred to as the `CFC 
        year')--
                    ``(A) each United States shareholder which owns 
                (within the meaning of section 958(a)) stock in such 
                corporation on any day during the CFC year shall 
                include in gross income such shareholder's pro rata 
                share (determined under paragraph (2)) of the 
                corporation's subpart F income for the CFC year, and
                    ``(B) each United States shareholder which owns 
                (within the meaning of section 958(a)) stock in such 
                corporation on the last day, in the CFC year, on which 
                such corporation is a controlled foreign corporation 
                shall include in gross income the amount determined 
                under section 956 with respect to such shareholder for 
                the CFC year (but only to the extent not excluded from 
                gross income under section 959(a)(2)).
            ``(2) Pro rata share of subpart f income.--A United States 
        shareholder's pro rata share of a controlled foreign 
        corporation's subpart F income for a CFC year shall be the 
        portion of such income which is attributable to--
                    ``(A) the stock of such corporation owned (within 
                the meaning of section 958(a)) by such shareholder, and
                    ``(B) any period of the CFC year during which--
                            ``(i) such shareholder owned (within the 
                        meaning of section 958(a)) such stock,
                            ``(ii) such shareholder was a United States 
                        shareholder of such corporation, and
                            ``(iii) such corporation was a controlled 
                        foreign corporation.
            ``(3) Taxable year of inclusion.--Any amount required to be 
        included in gross income by a United States shareholder under 
        paragraph (1) with respect to a CFC year shall be included in 
        gross income for the shareholder's taxable year which includes 
        the last day on which the shareholder owns (within the meaning 
        of section 958(a)) stock in the controlled foreign corporation 
        during such CFC year.
            ``(4) Regulatory authority.--The Secretary shall prescribe 
        such regulations or other guidance as may be necessary or 
        appropriate to carry out the purposes of this subsection, 
        including regulations or other guidance allowing taxpayers to 
        elect, or requiring taxpayers, to close the taxable year of a 
        controlled foreign corporation upon a direct or indirect 
        disposition of stock of such corporation.''.
    (b) Coordination With Section 951A.--
            (1) Tested income.--Section 951A(b), as redesignated by 
        section 70323(a)(2), is amended--
                    (A) in paragraph (1)(A), by striking ``(determined 
                for each taxable year of such controlled foreign 
                corporation which ends in or with such taxable year of 
                such United States shareholder)'', and
                    (B) in paragraph (1)(B), by striking ``(determined 
                for each taxable year of such controlled foreign 
                corporation which ends in or with such taxable year of 
                such United States shareholder)''.
            (2) Pro rata share.--Section 951A(c), as redesignated by 
        section 70323(a)(2), is amended--
                    (A) in paragraph (1), by striking ``in which or 
                with which the taxable year of the controlled foreign 
                corporation ends'' and inserting ``determined under 
                section 951(a)(3)'', and
                    (B) in paragraph (2), by striking ``the last day in 
                the taxable year of such foreign corporation on which 
                such foreign corporation is a controlled foreign 
                corporation'' and inserting ``any day in such taxable 
                year''.
    (c) Effective Dates.--
            (1) In general.--The amendments made by this section shall 
        apply to taxable years of foreign corporations beginning after 
        December 31, 2025.
            (2) Transition rule for dividends.--Except to the extent 
        provided by the Secretary of the Treasury (or the Secretary's 
        delegate), a dividend paid (or deemed paid) by a controlled 
        foreign corporation shall not be treated as a dividend for 
        purposes of applying section 951(a)(2)(B) of the Internal 
        Revenue Code of 1986 (as in effect before the amendments made 
        by this section) if--
                    (A) such dividend--
                            (i) was paid (or deemed paid) on or before 
                        June 28, 2025, during the taxable year of such 
                        controlled foreign corporation which includes 
                        such date and the United States shareholder 
                        described in section 951(a)(1) of such Code (as 
                        so in effect) did not own (within the meaning 
                        of section 958(a) of such Code) the stock of 
                        such controlled foreign corporation during the 
                        portion of such taxable year on or before June 
                        28, 2025, or
                            (ii) was paid (or deemed paid) after June 
                        28, 2025, and before such controlled foreign 
                        corporation's first taxable year beginning 
                        after December 31, 2025, and
                    (B) such dividend does not increase the taxable 
                income of a United States person that is subject to 
                Federal income tax for the taxable year (including by 
                reason of a dividends received deduction, an exclusion 
                from gross income, or an exclusion from subpart F 
                income).

   CHAPTER 4--INVESTING IN AMERICAN FAMILIES, COMMUNITIES, AND SMALL 
                               BUSINESSES

      Subchapter A--Permanent Investments in Families and Children

SEC. 70401. ENHANCEMENT OF EMPLOYER-PROVIDED CHILD CARE CREDIT.

    (a) Increase of Amount of Qualified Child Care Expenditures Taken 
Into Account.--Section 45F(a)(1) is amended by striking ``25 percent'' 
and inserting ``40 percent (50 percent in the case of an eligible small 
business)''.
    (b) Increase of Maximum Credit Amount.--Subsection (b) of section 
45F is amended to read as follows:
    ``(b) Dollar Limitation.--
            ``(1) In general.--The credit allowable under subsection 
        (a) for any taxable year shall not exceed $500,000 ($600,000 in 
        the case of an eligible small business).
            ``(2) Inflation adjustment.--In the case of any taxable 
        year beginning after 2026, the $500,000 and $600,000 amounts in 
        paragraph (1) shall each be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2025' for `calendar year 2016' in 
                subparagraph (A)(ii) thereof.''.
    (c) Eligible Small Business.--Section 45F(c) is amended by adding 
at the end the following new paragraph:
            ``(4) Eligible small business.--The term `eligible small 
        business' means a business that meets the gross receipts test 
        of section 448(c), determined--
                    ``(A) by substituting `5-taxable-year' for `3-
                taxable-year' in paragraph (1) thereof, and
                    ``(B) by substituting `5-year' for `3-year' in 
                paragraph (3)(A) thereof.''.
    (d) Credit Allowed for Third-party Intermediaries.--Section 
45F(c)(1)(A)(iii) is amended by inserting ``, or under a contract with 
an intermediate entity that contracts with one or more qualified child 
care facilities to provide such child care services'' before the period 
at the end.
    (e) Treatment of Jointly Owned or Operated Child Care Facility.--
Section 45F(c)(2) is amended by adding at the end the following new 
subparagraph:
                    ``(C) Treatment of jointly owned or operated child 
                care facility.--A facility shall not fail to be treated 
                as a qualified child care facility of the taxpayer 
                merely because such facility is jointly owned or 
                operated by the taxpayer and other persons.''.
    (f) Regulations and Guidance.--Section 45F is amended by adding at 
the end the following new subsection:
    ``(g) Regulations and Guidance.--The Secretary shall issue such 
regulations or other guidance as may be necessary to carry out the 
purposes of this section, including guidance to carry out the purposes 
of paragraphs (1)(A)(iii) and (2)(C) of subsection (c).''.
    (g) Effective Date.--The amendments made by this section shall 
apply to amounts paid or incurred after December 31, 2025.

SEC. 70402. ENHANCEMENT OF ADOPTION CREDIT.

    (a) In General.--Section 23(a) is amended by adding at the end the 
following new paragraph:
            ``(4) Portion of credit refundable.--So much of the credit 
        allowed under paragraph (1) as does not exceed $5,000 shall be 
        treated as a credit allowed under subpart C and not as a credit 
        allowed under this subpart.''.
    (b) Adjustments for Inflation.--Section 23(h) is amended to read as 
follows:
    ``(h) Adjustments for Inflation.--
            ``(1) In general.--In the case of a taxable year beginning 
        after December 31, 2002, each of the dollar amounts in 
        paragraphs (3) and (4) of subsection (a) and paragraphs (1) and 
        (2)(A)(i) of subsection (b) shall be increased by an amount 
        equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2001' for `calendar year 2016' in 
                subparagraph (A)(ii) thereof.
            ``(2) Rounding.--If any amount as increased under paragraph 
        (1) is not a multiple of $10, such amount shall be rounded to 
        the nearest multiple of $10.
            ``(3) Special rule for refundable portion.--In the case of 
        the dollar amount in subsection (a)(4), paragraph (1) shall be 
        applied--
                    ``(A) by substituting `2025' for `2002' in the 
                matter preceding subparagraph (A), and
                    ``(B) by substituting `calendar year 2024' for 
                `calendar year 2001' in subparagraph (B) thereof.''.
    (c) Exclusion of Refundable Portion of Credit From Carryforward.--
Section 23(c)(1) is amended by striking ``credit allowable under 
subsection (a)'' and inserting ``portion of the credit allowable under 
subsection (a) which is allowed under this subpart''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 70403. RECOGNIZING INDIAN TRIBAL GOVERNMENTS FOR PURPOSES OF 
              DETERMINING WHETHER A CHILD HAS SPECIAL NEEDS FOR 
              PURPOSES OF THE ADOPTION CREDIT.

    (a) In General.--Section 23(d)(3) is amended--
            (1) in subparagraph (A), by inserting ``or Indian tribal 
        government'' after ``a State'', and
            (2) in subparagraph (B), by inserting ``or Indian tribal 
        government'' after ``such State''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 70404. ENHANCEMENT OF THE DEPENDENT CARE ASSISTANCE PROGRAM.

    (a) In General.--Section 129(a)(2)(A) is amended by striking 
``$5,000 ($2,500'' and inserting ``$7,500 ($3,750''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

SEC. 70405. ENHANCEMENT OF CHILD AND DEPENDENT CARE TAX CREDIT.

    (a) In General.--Paragraph (2) of section 21(a) is amended to read 
as follows:
            ``(2) Applicable percentage defined.--For purposes of 
        paragraph (1), the term `applicable percentage' means 50 
        percent--
                    ``(A) reduced (but not below 35 percent) by 1 
                percentage point for each $2,000 or fraction thereof by 
                which the taxpayer's adjusted gross income for the 
                taxable year exceeds $15,000, and
                    ``(B) further reduced (but not below 20 percent) by 
                1 percentage point for each $2,000 ($4,000 in the case 
                of a joint return) or fraction thereof by which the 
                taxpayer's adjusted gross income for the taxable year 
                exceeds $75,000 ($150,000 in the case of a joint 
                return).''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

  Subchapter B--Permanent Investments in Students and Reforms to Tax-
                          exempt Institutions

SEC. 70411. TAX CREDIT FOR CONTRIBUTIONS OF INDIVIDUALS TO SCHOLARSHIP 
              GRANTING ORGANIZATIONS.

    (a) Allowance of Credit for Contributions of Individuals to 
Scholarship Granting Organizations.--
            (1) In general.--Subpart A of part IV of subchapter A of 
        chapter 1 is amended by inserting after section 25E the 
        following new section:

``SEC. 25F. QUALIFIED ELEMENTARY AND SECONDARY EDUCATION SCHOLARSHIPS.

    ``(a) Allowance of Credit.--In the case of an individual who is a 
citizen or resident of the United States (within the meaning of section 
7701(a)(9)), there shall be allowed as a credit against the tax imposed 
by this chapter for the taxable year an amount equal to the aggregate 
amount of qualified contributions made by the taxpayer during the 
taxable year.
    ``(b) Limitations.--
            ``(1) In general.--The credit allowed under subsection (a) 
        to any taxpayer for any taxable year shall not exceed $1,700.
            ``(2) Reduction based on state credit.--The amount allowed 
        as a credit under subsection (a) for a taxable year shall be 
        reduced by the amount allowed as a credit on any State tax 
        return of the taxpayer for qualified contributions made by the 
        taxpayer during the taxable year.
    ``(c) Definitions.--For purposes of this section--
            ``(1) Covered state.--The term `covered State' means one of 
        the States, or the District of Columbia, that, for a calendar 
        year, voluntarily elects to participate under this section and 
        to identify scholarship granting organizations in the State, in 
        accordance with subsection (g).
            ``(2) Eligible student.--The term `eligible student' means 
        an individual who--
                    ``(A) is a member of a household with an income 
                which, for the calendar year prior to the date of the 
                application for a scholarship, is not greater than 300 
                percent of the area median gross income (as such term 
                is used in section 42), and
                    ``(B) is eligible to enroll in a public elementary 
                or secondary school.
            ``(3) Qualified contribution.--The term `qualified 
        contribution' means a charitable contribution of cash to a 
        scholarship granting organization that uses the contribution to 
        fund scholarships for eligible students solely within the State 
        in which the organization is listed pursuant to subsection (g).
            ``(4) Qualified elementary or secondary education 
        expense.--The term `qualified elementary or secondary education 
        expense' means any expense of an eligible student which is 
        described in section 530(b)(3)(A).
            ``(5) Scholarship granting organization.--The term 
        `scholarship granting organization' means any organization--
                    ``(A) which--
                            ``(i) is described in section 501(c)(3) and 
                        exempt from tax under section 501(a), and
                            ``(ii) is not a private foundation,
                    ``(B) which prevents the co-mingling of qualified 
                contributions with other amounts by maintaining one or 
                more separate accounts exclusively for qualified 
                contributions,
                    ``(C) which satisfies the requirements of 
                subsection (d), and
                    ``(D) which is included on the list submitted for 
                the applicable covered State under subsection (g) for 
                the applicable year.
    ``(d) Requirements for Scholarship Granting Organizations.--
            ``(1) In general.--An organization meets the requirements 
        of this subsection if--
                    ``(A) such organization provides scholarships to 10 
                or more students who do not all attend the same school,
                    ``(B) such organization spends not less than 90 
                percent of the income of the organization on 
                scholarships for eligible students,
                    ``(C) such organization does not provide 
                scholarships for any expenses other than qualified 
                elementary or secondary education expenses,
                    ``(D) such organization provides a scholarship to 
                eligible students with a priority for--
                            ``(i) students awarded a scholarship the 
                        previous school year, and
                            ``(ii) after application of clause (i), any 
                        eligible students who have a sibling who was 
                        awarded a scholarship from such organization,
                    ``(E) such organization does not earmark or set 
                aside contributions for scholarships on behalf of any 
                particular student, and
                    ``(F) such organization--
                            ``(i) verifies the annual household income 
                        and family size of eligible students who apply 
                        for scholarships to ensure such students meet 
                        the requirement of subsection (c)(2)(A), and
                            ``(ii) limits the awarding of scholarships 
                        to eligible students who are a member of a 
                        household for which the income does not exceed 
                        the amount established under subsection 
                        (c)(2)(A).
            ``(2) Prohibition on self-dealing.--
                    ``(A) In general.--A scholarship granting 
                organization may not award a scholarship to any 
                disqualified person.
                    ``(B) Disqualified person.--For purposes of this 
                paragraph, a disqualified person shall be determined 
                pursuant to rules similar to the rules of section 4946.
    ``(e) Denial of Double Benefit.--Any qualified contribution for 
which a credit is allowed under this section shall not be taken into 
account as a charitable contribution for purposes of section 170.
    ``(f) Carryforward of Unused Credit.--
            ``(1) In general.--If the credit allowable under subsection 
        (a) for any taxable year exceeds the limitation imposed by 
        section 26(a) for such taxable year reduced by the sum of the 
        credits allowable under this subpart (other than this section, 
        section 23, and section 25D), such excess shall be carried to 
        the succeeding taxable year and added to the credit allowable 
        under subsection (a) for such taxable year.
            ``(2) Limitation.--No credit may be carried forward under 
        this subsection to any taxable year following the fifth taxable 
        year after the taxable year in which the credit arose. For 
        purposes of the preceding sentence, credits shall be treated as 
        used on a first-in first-out basis.
    ``(g) State List of Scholarship Granting Organizations.--
            ``(1) List.--
                    ``(A) In general.--Not later than January 1 of each 
                calendar year (or, with respect to the first calendar 
                year for which this section applies, as early as 
                practicable), a State that voluntarily elects to 
                participate under this section shall provide to the 
                Secretary a list of the scholarship granting 
                organizations that meet the requirements described in 
                subsection (c)(5) and are located in the State.
                    ``(B) Process.--The election under this paragraph 
                shall be made by the Governor of the State or by such 
                other individual, agency, or entity as is designated 
                under State law to make such elections on behalf of the 
                State with respect to Federal tax benefits.
            ``(2) Certification.--Each list submitted under paragraph 
        (1) shall include a certification that the individual, agency, 
        or entity submitting such list on behalf of the State has the 
        authority to perform this function.
    ``(h) Regulations and Guidance.--The Secretary shall issue such 
regulations or other guidance as the Secretary determines necessary to 
carry out the purposes of this section, including regulations or other 
guidance--
            ``(1) providing for enforcement of the requirements under 
        subsections (d) and (g), and
            ``(2) with respect to recordkeeping or information 
        reporting for purposes of administering the requirements of 
        this section.''.
            (2) Conforming amendments.--
                    (A) Section 25(e)(1)(C) is amended by striking 
                ``and 25D'' and inserting ``25D, and 25F''.
                    (B) The table of sections for subpart A of part IV 
                of subchapter A of chapter 1 is amended by inserting 
                after the item relating to section 25E the following 
                new item:

``Sec. 25F. Qualified elementary and secondary education 
                            scholarships.''.
    (b) Exclusion From Gross Income for Scholarships for Qualified 
Elementary or Secondary Education Expenses of Eligible Students.--
            (1) In general.--Part III of subchapter B of chapter 1 is 
        amended by inserting before section 140 the following new 
        section:

``SEC. 139K. SCHOLARSHIPS FOR QUALIFIED ELEMENTARY OR SECONDARY 
              EDUCATION EXPENSES OF ELIGIBLE STUDENTS.

    ``(a) In General.--In the case of an individual, gross income shall 
not include any amounts provided to such individual or any dependent of 
such individual pursuant to a scholarship for qualified elementary or 
secondary education expenses of an eligible student which is provided 
by a scholarship granting organization.
    ``(b) Definitions.--In this section, the terms `qualified 
elementary or secondary education expense', `eligible student', and 
`scholarship granting organization' have the same meaning given such 
terms under section 25F(c).''.
            (2) Conforming amendment.--The table of sections for part 
        III of subchapter B of chapter 1 is amended by inserting before 
        the item relating to section 140 the following new item:

``Sec. 139K. Scholarships for qualified elementary or secondary 
                            education expenses of eligible students.''.
    (c) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall apply to 
        taxable years ending after December 31, 2026.
            (2) Exclusion from gross income.--The amendments made by 
        subsection (b) shall apply to amounts received after December 
        31, 2026, in taxable years ending after such date.

SEC. 70412. EXCLUSION FOR EMPLOYER PAYMENTS OF STUDENT LOANS.

    (a) In General.--Section 127(c)(1)(B) is amended by striking ``in 
the case of payments made before January 1, 2026,''.
    (b) Inflation Adjustment.--Section 127 is amended--
            (1) by redesignating subsection (d) as subsection (e), and
            (2) by inserting after subsection (c) the following new 
        subsection:
    ``(d) Inflation Adjustment.--
            ``(1) In general.--In the case of any taxable year 
        beginning after 2026, both of the $5,250 amounts in subsection 
        (a)(2) shall each be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2025' for `calendar year 2016' in 
                subparagraph (A)(ii) thereof.
            ``(2) Rounding.--If any increase under paragraph (1) is not 
        a multiple of $50, such increase shall be rounded to the 
        nearest multiple of $50.''.
    (c) Effective Date.--The amendment made by this section shall apply 
to payments made after December 31, 2025.

SEC. 70413. ADDITIONAL EXPENSES TREATED AS QUALIFIED HIGHER EDUCATION 
              EXPENSES FOR PURPOSES OF 529 ACCOUNTS.

    (a) In General.--
            (1) In general.--Section 529(c)(7) is amended to read as 
        follows:
            ``(7) Treatment of elementary and secondary tuition.--Any 
        reference in this section to the term `qualified higher 
        education expense' shall include a reference to the following 
        expenses in connection with enrollment or attendance at, or for 
        students enrolled at or attending, an elementary or secondary 
        public, private, or religious school:
                    ``(A) Tuition.
                    ``(B) Curriculum and curricular materials.
                    ``(C) Books or other instructional materials.
                    ``(D) Online educational materials.
                    ``(E) Tuition for tutoring or educational classes 
                outside of the home, including at a tutoring facility, 
                but only if the tutor or instructor is not related to 
                the student and--
                            ``(i) is licensed as a teacher in any 
                        State,
                            ``(ii) has taught at an eligible 
                        educational institution, or
                            ``(iii) is a subject matter expert in the 
                        relevant subject.
                    ``(F) Fees for a nationally standardized norm-
                referenced achievement test, an advanced placement 
                examination, or any examinations related to college or 
                university admission.
                    ``(G) Fees for dual enrollment in an institution of 
                higher education.
                    ``(H) Educational therapies for students with 
                disabilities provided by a licensed or accredited 
                practitioner or provider, including occupational, 
                behavioral, physical, and speech-language therapies.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to distributions made after the date of the 
        enactment of this Act.
    (b) Increase in Limitation.--
            (1) In general.--The last sentence of section 529(e)(3) is 
        amended by striking ``$10,000'' and inserting ``$20,000''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to taxable years beginning after December 31, 2025.

SEC. 70414. CERTAIN POSTSECONDARY CREDENTIALING EXPENSES TREATED AS 
              QUALIFIED HIGHER EDUCATION EXPENSES FOR PURPOSES OF 529 
              ACCOUNTS.

    (a) In General.--Section 529(e)(3) is amended by adding at the end 
the following new subparagraph:
                    ``(C) Certain postsecondary credentialing 
                expenses.--The term `qualified higher education 
                expenses' includes qualified postsecondary 
                credentialing expenses (as defined in subsection 
                (f)).''.
    (b) Qualified Postsecondary Credentialing Expenses.--Section 529 is 
amended by redesignating subsection (f) as subsection (g) and by 
inserting after subsection (e) the following new subsection:
    ``(f) Qualified Postsecondary Credentialing Expenses.--For purposes 
of this section--
            ``(1) In general.--The term `qualified postsecondary 
        credentialing expenses' means--
                    ``(A) tuition, fees, books, supplies, and equipment 
                required for the enrollment or attendance of a 
                designated beneficiary in a recognized postsecondary 
                credential program, or any other expense incurred in 
                connection with enrollment in or attendance at a 
                recognized postsecondary credential program if such 
                expense would, if incurred in connection with 
                enrollment or attendance at an eligible educational 
                institution, be covered under subsection (e)(3)(A),
                    ``(B) fees for testing if such testing is required 
                to obtain or maintain a recognized postsecondary 
                credential, and
                    ``(C) fees for continuing education if such 
                education is required to maintain a recognized 
                postsecondary credential.
            ``(2) Recognized postsecondary credential program.--The 
        term `recognized postsecondary credential program' means any 
        program to obtain a recognized postsecondary credential if--
                    ``(A) such program is included on a State list 
                prepared under section 122(d) of the Workforce 
                Innovation and Opportunity Act (29 U.S.C. 3152(d)),
                    ``(B) such program is listed in the public 
                directory of the Web Enabled Approval Management System 
                (WEAMS) of the Veterans Benefits Administration, or 
                successor directory such program,
                    ``(C) an examination (developed or administered by 
                an organization widely recognized as providing 
                reputable credentials in the occupation) is required to 
                obtain or maintain such credential and such 
                organization recognizes such program as providing 
                training or education which prepares individuals to 
                take such examination, or
                    ``(D) such program is identified by the Secretary, 
                after consultation with the Secretary of Labor, as 
                being a reputable program for obtaining a recognized 
                postsecondary credential for purposes of this 
                subparagraph.
            ``(3) Recognized postsecondary credential.--The term 
        `recognized postsecondary credential' means--
                    ``(A) any postsecondary employment credential that 
                is industry recognized and is--
                            ``(i) any postsecondary employment 
                        credential issued by a program that is 
                        accredited by the Institute for Credentialing 
                        Excellence, the National Commission on 
                        Certifying Agencies, or the American National 
                        Standards Institute,
                            ``(ii) any postsecondary employment 
                        credential that is included in the 
                        Credentialing Opportunities On-Line (COOL) 
                        directory of credentialing programs (or 
                        successor directory) maintained by the 
                        Department of Defense or by any branch of the 
                        Armed Forces, or
                            ``(iii) any postsecondary employment 
                        credential identified for purposes of this 
                        clause by the Secretary, after consultation 
                        with the Secretary of Labor, as being industry 
                        recognized,
                    ``(B) any certificate of completion of an 
                apprenticeship that is registered and certified with 
                the Secretary of Labor under the Act of August 16, 1937 
                (commonly known as the `National Apprenticeship Act'; 
                50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.),
                    ``(C) any occupational or professional license 
                issued or recognized by a State or the Federal 
                Government (and any certification that satisfies a 
                condition for obtaining such a license), and
                    ``(D) any recognized postsecondary credential as 
                defined in section 3(52) of the Workforce Innovation 
                and Opportunity Act (29 U.S.C. 3102(52)), provided 
                through a program described in paragraph (2)(A).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to distributions made after the date of the enactment of this 
Act.

SEC. 70415. MODIFICATION OF EXCISE TAX ON INVESTMENT INCOME OF CERTAIN 
              PRIVATE COLLEGES AND UNIVERSITIES.

    (a) In General.--Section 4968 is amended to read as follows:

``SEC. 4968. EXCISE TAX BASED ON INVESTMENT INCOME OF PRIVATE COLLEGES 
              AND UNIVERSITIES.

    ``(a) Tax Imposed.--There is hereby imposed on each applicable 
educational institution for the taxable year a tax equal to the 
applicable percentage of the net investment income of such institution 
for the taxable year.
    ``(b) Applicable Percentage.--For purposes of this section, the 
term `applicable percentage' means--
            ``(1) 1.4 percent in the case of an institution with a 
        student adjusted endowment of at least $500,000, and not in 
        excess of $750,000,
            ``(2) 4 percent in the case of an institution with a 
        student adjusted endowment in excess of $750,000, and not in 
        excess of $2,000,000, and
            ``(3) 8 percent in the case of an institution with a 
        student adjusted endowment in excess of $2,000,000.
    ``(c) Applicable Educational Institution.--For purposes of this 
subchapter, the term `applicable educational institution' means an 
eligible educational institution (as defined in section 25A(f)(2))--
            ``(1) which had at least 3,000 tuition-paying students 
        during the preceding taxable year,
            ``(2) more than 50 percent of the tuition-paying students 
        of which are located in the United States,
            ``(3) the student adjusted endowment of which is at least 
        $500,000, and
            ``(4) which is not described in the first sentence of 
        section 511(a)(2)(B) (relating to State colleges and 
        universities).
    ``(d) Student Adjusted Endowment.--For purposes of this section, 
the term `student adjusted endowment' means, with respect to any 
institution for any taxable year--
            ``(1) the aggregate fair market value of the assets of such 
        institution (determined as of the end of the preceding taxable 
        year), other than those assets which are used directly in 
        carrying out the institution's exempt purpose, divided by
            ``(2) the number of students of such institution.
    ``(e) Determination of Number of Students.--For purposes of 
subsections (c) and (d), the number of students of an institution 
(including for purposes of determining the number of students at a 
particular location) shall be based on the daily average number of 
full-time students attending such institution (with part-time students 
taken into account on a full-time student equivalent basis).
    ``(f) Net Investment Income.--For purposes of this section--
            ``(1) In general.--Net investment income shall be 
        determined under rules similar to the rules of section 4940(c).
            ``(2) Override of certain regulatory exceptions.--
                    ``(A) Student loan interest.--Net investment income 
                shall be determined by taking into account any interest 
                income from a student loan made by the applicable 
                educational institution (or any related organization) 
                as gross investment income.
                    ``(B) Federally-subsidized royalty income.--
                            ``(i) In general.--Net investment income 
                        shall be determined by taking into account any 
                        Federally-subsidized royalty income as gross 
                        investment income.
                            ``(ii) Federally-subsidized royalty 
                        income.--For purposes of this subparagraph--
                                    ``(I) In general.--The term 
                                `Federally-subsidized royalty income' 
                                means any otherwise-regulatory-exempt 
                                royalty income if any Federal funds 
                                were used in the research, development, 
                                or creation of the patent, copyright, 
                                or other intellectual or intangible 
                                property from which such royalty income 
                                is derived.
                                    ``(II) Otherwise-regulatory-exempt 
                                royalty income.--For purposes of this 
                                subparagraph, the term `otherwise-
                                regulatory-exempt royalty income' means 
                                royalty income which (but for this 
                                subparagraph) would not be taken into 
                                account as gross investment income by 
                                reason of being derived from patents, 
                                copyrights, or other intellectual or 
                                intangible property which resulted from 
                                the work of students or faculty members 
                                in their capacities as such with the 
                                applicable educational institution.
                                    ``(III) Federal funds.--The term 
                                `Federal funds' includes any grant made 
                                by, and any payment made under any 
                                contract with, any Federal agency to 
                                the applicable educational institution, 
                                any related organization, or any 
                                student or faculty member referred to 
                                in subclause (II).
    ``(g) Assets and Net Investment Income of Related Organizations.--
            ``(1) In general.--For purposes of subsections (d) and (f), 
        assets and net investment income of any related organization 
        with respect to an educational institution shall be treated as 
        assets and net investment income, respectively, of the 
        educational institution, except that--
                    ``(A) no such amount shall be taken into account 
                with respect to more than 1 educational institution, 
                and
                    ``(B) unless such organization is controlled by 
                such institution or is described in section 509(a)(3) 
                with respect to such institution for the taxable year, 
                assets and net investment income which are not intended 
                or available for the use or benefit of the educational 
                institution shall not be taken into account.
            ``(2) Related organization.--For purposes of this 
        subsection, the term `related organization' means, with respect 
        to an educational institution, any organization which--
                    ``(A) controls, or is controlled by, such 
                institution,
                    ``(B) is controlled by 1 or more persons which also 
                control such institution, or
                    ``(C) is a supported organization (as defined in 
                section 509(f)(3)), or an organization described in 
                section 509(a)(3), during the taxable year with respect 
                to such institution.
    ``(h) Regulations.--The Secretary shall prescribe such regulations 
or other guidance as may be necessary to prevent avoidance of the tax 
under this section, including regulations or other guidance to prevent 
avoidance of such tax through the restructuring of endowment funds or 
other arrangements designed to reduce or eliminate the value of net 
investment income or assets subject to the tax imposed by this 
section.''.
    (b) Requirement to Report Certain Information With Respect to 
Application of Excise Tax Based on Investment Income of Private 
Colleges and Universities.--Section 6033 is amended by redesignating 
subsection (o) as subsection (p) and by inserting after subsection (n) 
the following new subsection:
    ``(o) Requirement to Report Certain Information With Respect to 
Excise Tax Based on Investment Income of Private Colleges and 
Universities.--Each applicable educational institution described in 
section 4968(c) which is subject to the requirements of subsection (a) 
shall include on the return required under subsection (a)--
            ``(1) the number of tuition-paying students taken into 
        account under section 4968(c), and
            ``(2) the number of students of such institution 
        (determined under the rules of section 4968(e)).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70416. EXPANDING APPLICATION OF TAX ON EXCESS COMPENSATION WITHIN 
              TAX-EXEMPT ORGANIZATIONS.

    (a) In General.--Section 4960(c)(2) is amended to read as follows:
            ``(2) Covered employee.--For purposes of this section, the 
        term `covered employee' means any employee of an applicable 
        tax-exempt organization (or any predecessor of such an 
        organization) and any former employee of such an organization 
        (or predecessor) who was such an employee during any taxable 
        year beginning after December 31, 2016.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to taxable years beginning after December 31, 2025.

      Subchapter C--Permanent Investments in Community Development

SEC. 70421. PERMANENT RENEWAL AND ENHANCEMENT OF OPPORTUNITY ZONES.

    (a) Decennial Designations.--
            (1) Determination period.--Section 1400Z-1(c)(2)(B) is 
        amended by striking ``beginning on the date of the enactment of 
        the Tax Cuts and Jobs Act'' and inserting ``beginning on the 
        decennial determination date''.
            (2) Decennial determination date.--Section 1400Z-1(c)(2) is 
        amended by adding at the end the following new subparagraph:
                    ``(C) Decennial determination date.--The term 
                `decennial determination date' means--
                            ``(i) July 1, 2026, and
                            ``(ii) each July 1 of the year that is 10 
                        years after the preceding decennial 
                        determination date under this subparagraph.''.
            (3) Repeal of special rule for puerto rico.--Section 1400Z-
        1(b) is amended by striking paragraph (3).
            (4) Limitation on number of designations.--Section 1400Z-
        1(d)(1) is amended--
                    (A) in paragraph (1)--
                            (i) by striking ``and subsection (b)(3)'', 
                        and
                            (ii) by inserting ``during any period'' 
                        after ``the number of population census tracts 
                        in a State that may be designated as qualified 
                        opportunity zones under this section'', and
                    (B) in paragraph (2), by inserting ``during any 
                period'' before the period at the end.
            (5) Effective dates.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the amendments made by this subsection shall take 
                effect on the date of the enactment of this Act.
                    (B) Puerto rico.--The amendment made by paragraph 
                (3) shall take effect on December 31, 2026.
    (b) Qualification for Designations.--
            (1) Determination of low-income communities.--Section 
        1400Z-1(c) is amended by striking all that precedes paragraph 
        (2) and inserting the following:
    ``(c) Other Definitions.--For purposes of this section--
            ``(1) Low-income communities.--The term `low-income 
        community' means any population census tract if--
                    ``(A) such population census tract has a median 
                family income that--
                            ``(i) in the case of a population census 
                        tract not located within a metropolitan area, 
                        does not exceed 70 percent of the statewide 
                        median family income, or
                            ``(ii) in the case of a population census 
                        tract located within a metropolitan area, does 
                        not exceed 70 percent of the metropolitan area 
                        median family income, or
                    ``(B) such population census tract--
                            ``(i) has a poverty rate of at least 20 
                        percent, and
                            ``(ii) has a median family income that--
                                    ``(I) in the case of a population 
                                census tract not located within a 
                                metropolitan area, does not exceed 125 
                                percent of the statewide median family 
                                income, or
                                    ``(II) in the case of a population 
                                census tract located within a 
                                metropolitan area, does not exceed 125 
                                percent of the metropolitan area median 
                                family income.''.
            (2) Repeal of rule for contiguous census tracts.--Section 
        1400Z-1 is amended by striking subsection (e) and by 
        redesignating subsection (f) as subsection (e).
            (3) Period for which designation is in effect.--Section 
        1400Z-1(e), as redesignated by paragraph (2), is amended to 
        read as follows:
    ``(e) Period for Which Designation Is in Effect.--
            ``(1) In general.--A designation as a qualified opportunity 
        zone shall remain in effect for the period beginning on the 
        applicable start date and ending on the day before the date 
        that is 10 years after the applicable start date.
            ``(2) Applicable start date.--For purposes of this section, 
        the term `applicable start date' means, with respect to any 
        qualified opportunity zone designated under this section, the 
        January 1 following the date on which such qualified 
        opportunity zone was certified and designated by the Secretary 
        under subsection (b)(1)(B).''.
            (4) Effective date.--The amendments made by this subsection 
        shall apply to areas designated under section 1400Z-1 of the 
        Internal Revenue Code of 1986 after the date of the enactment 
        of this Act.
    (c) Application of Special Rules for Capital Gains.--
            (1) Repeal of sunset on election.--Section 1400Z-2(a)(2) is 
        amended to read as follows:
            ``(2) Election.--No election may be made under paragraph 
        (1) with respect to a sale or exchange if an election 
        previously made with respect to such sale or exchange is in 
        effect.''.
            (2) Modification of rules for deferral of gain.--Section 
        1400Z-2(b) is amended to read as follows:
    ``(b) Deferral of Gain Invested in Opportunity Zone Property.--
            ``(1) Year of inclusion.--Gain to which subsection 
        (a)(1)(B) applies shall be included in gross income in the 
        taxable year which includes the earlier of--
                    ``(A) the date on which such investment is sold or 
                exchanged, or
                    ``(B) the date which is 5 years after the date the 
                investment in the qualified opportunity fund was made.
            ``(2) Amount includible.--
                    ``(A) In general.--The amount of gain included in 
                gross income under subsection (a)(1)(B) shall be the 
                excess of--
                            ``(i) the lesser of the amount of gain 
                        excluded under subsection (a)(1)(A) or the fair 
                        market value of the investment as determined as 
                        of the date described in paragraph (1), over
                            ``(ii) the taxpayer's basis in the 
                        investment.
                    ``(B) Determination of basis.--
                            ``(i) In general.--Except as otherwise 
                        provided in this subparagraph or subsection 
                        (c), the taxpayer's basis in the investment 
                        shall be zero.
                            ``(ii) Increase for gain recognized under 
                        subsection (a)(1)(B).--The basis in the 
                        investment shall be increased by the amount of 
                        gain recognized by reason of subsection 
                        (a)(1)(B) with respect to such investment.
                            ``(iii) Investments held for 5 years.--
                                    ``(I) In general.--In the case of 
                                any investment held for at least 5 
                                years, the basis of such investment 
                                shall be increased by an amount equal 
                                to 10 percent (30 percent in the case 
                                of any investment in a qualified rural 
                                opportunity fund) of the amount of gain 
                                deferred by reason of subsection 
                                (a)(1)(A).
                                    ``(II) Application of increase.--
                                For purposes of this subsection, any 
                                increase in basis under this clause 
                                shall be treated as occurring before 
                                the date described in paragraph (1)(B).
                    ``(C) Qualified rural opportunity fund.--For 
                purposes of subparagraph (B)(iii)--
                            ``(i) Qualified rural opportunity fund.--
                        The term `qualified rural opportunity fund' 
                        means a qualified opportunity fund that holds 
                        at least 90 percent of its assets in qualified 
                        opportunity zone property which--
                                    ``(I) is qualified opportunity zone 
                                business property substantially all of 
                                the use of which, during substantially 
                                all of the fund's holding period for 
                                such property, was in a qualified 
                                opportunity zone comprised entirely of 
                                a rural area, or
                                    ``(II) is qualified opportunity 
                                zone stock, or a qualified opportunity 
                                zone partnership interest, in a 
                                qualified opportunity zone business in 
                                which substantially all of the tangible 
                                property owned or leased is qualified 
                                opportunity zone business property 
                                described in subsection (d)(3)(A)(i) 
                                and substantially all the use of which 
                                is in a qualified opportunity zone 
                                comprised entirely of a rural area.
                        For purposes of the preceding sentence, 
                        property held in the fund shall be measured 
                        under rules similar to the rules of subsection 
                        (d)(1).
                            ``(ii) Rural area.--The term `rural area' 
                        means any area other than--
                                    ``(I) a city or town that has a 
                                population of greater than 50,000 
                                inhabitants, and
                                    ``(II) any urbanized area 
                                contiguous and adjacent to a city or 
                                town described in subclause (I).''.
            (3) Special rule for investments held at least 10 years.--
        Section 1400Z-2(c) is amended by striking ``makes an election 
        under this clause'' and all that follows and inserting ``makes 
        an election under this subsection, the basis of such investment 
        shall be equal to--
                    ``(A) in the case of an investment sold before the 
                date that is 30 years after the date of the investment, 
                the fair market value of such investment on the date 
                such investment is sold or exchanged, or
                    ``(B) in any other case, the fair market value of 
                such investment on the date that is 30 years after the 
                date of the investment.''.
            (4) Determination of qualified opportunity zone property.--
                    (A) Qualified opportunity zone business property.--
                Section 1400Z-2(d)(2)(D)(i)(I) is amended by striking 
                ``December 31, 2017'' and inserting ``the applicable 
                start date (as defined in section 1400Z-1(e)(2)) with 
                respect to the qualified opportunity zone described in 
                subclause (III)''.
                    (B) Qualified opportunity zone stock and 
                partnership interests.--Section 1400Z-2(d)(2) is 
                amended--
                            (i) by striking ``December 31, 2017,'' each 
                        place it appears in subparagraphs (B)(i)(I) and 
                        (C)(i) and inserting ``the applicable date'', 
                        and
                            (ii) by adding at the end the following new 
                        subparagraph:
                    ``(E) Applicable date.--For purposes of this 
                subparagraph, the term `applicable date' means, with 
                respect to any corporation or partnership which is a 
                qualified opportunity zone business, the earliest date 
                described in subparagraph (D)(i)(I) with respect to the 
                qualified opportunity zone business property held by 
                such qualified opportunity zone business.''.
                    (C) Special rule for improvement of existing 
                structures in rural areas.--Section 1400Z-
                2(d)(2)(D)(ii) is amended by inserting ``(50 percent of 
                such adjusted basis in the case of property in a 
                qualified opportunity zone comprised entirely of a 
                rural area (as defined in subsection (b)(2)(C)(ii))'' 
                after ``the adjusted basis of such property''.
            (5) Effective dates.--
                    (A) In general.--Except as otherwise provided in 
                this paragraph, the amendments made by this subsection 
                shall apply to amounts invested in qualified 
                opportunity funds after December 31, 2026.
                    (B) Acquisition of qualified opportunity zone 
                property.--The amendments made by subparagraphs (A) and 
                (B) of paragraph (4) shall apply to property acquired 
                after December 31, 2026.
                    (C) Substantial improvement.--The amendment made by 
                paragraph (4)(C) shall take effect on the date of the 
                enactment of this Act.
    (d) Information Reporting on Qualified Opportunity Funds and 
Qualified Rural Opportunity Funds.--
            (1) Filing requirements for funds and investors.--Subpart A 
        of part III of subchapter A of chapter 61 is amended by 
        inserting after section 6039J the following new sections:

``SEC. 6039K. RETURNS WITH RESPECT TO QUALIFIED OPPORTUNITY FUNDS AND 
              QUALIFIED RURAL OPPORTUNITY FUNDS.

    ``(a) In General.--Every qualified opportunity fund shall file an 
annual return (at such time and in such manner as the Secretary may 
prescribe) containing the information described in subsection (b).
    ``(b) Information From Qualified Opportunity Funds.--The 
information described in this subsection is--
            ``(1) the name, address, and taxpayer identification number 
        of the qualified opportunity fund,
            ``(2) whether the qualified opportunity fund is organized 
        as a corporation or a partnership,
            ``(3) the value of the total assets held by the qualified 
        opportunity fund as of each date described in section 1400Z-
        2(d)(1),
            ``(4) the value of all qualified opportunity zone property 
        held by the qualified opportunity fund on each such date,
            ``(5) with respect to each investment held by the qualified 
        opportunity fund in qualified opportunity zone stock or a 
        qualified opportunity zone partnership interest--
                    ``(A) the name, address, and taxpayer 
                identification number of the corporation in which such 
                stock is held or the partnership in which such interest 
                is held, as the case may be,
                    ``(B) each North American Industry Classification 
                System (NAICS) code that applies to the trades or 
                businesses conducted by such corporation or 
                partnership,
                    ``(C) the population census tract or population 
                census tracts in which the qualified opportunity zone 
                business property of such corporation or partnership is 
                located,
                    ``(D) the amount of the investment in such stock or 
                partnership interest as of each date described in 
                section 1400Z-2(d)(1),
                    ``(E) the value of tangible property held by such 
                corporation or partnership on each such date which is 
                owned by such corporation or partnership,
                    ``(F) the value of tangible property held by such 
                corporation or partnership on each such date which is 
                leased by such corporation or partnership,
                    ``(G) the approximate number of residential units 
                (if any) for any real property held by such corporation 
                or partnership, and
                    ``(H) the approximate average monthly number of 
                full-time equivalent employees of such corporation or 
                partnership for the year (within numerical ranges 
                identified by the Secretary) or such other indication 
                of the employment impact of such corporation or 
                partnership as determined appropriate by the Secretary,
            ``(6) with respect to the items of qualified opportunity 
        zone business property held by the qualified opportunity fund--
                    ``(A) the North American Industry Classification 
                System (NAICS) code that applies to the trades or 
                businesses in which such property is held,
                    ``(B) the population census tract in which the 
                property is located,
                    ``(C) whether the property is owned or leased,
                    ``(D) the aggregate value of the items of qualified 
                opportunity zone property held by the qualified 
                opportunity fund as of each date described in section 
                1400Z-2(d)(1), and
                    ``(E) in the case of real property, the number of 
                residential units (if any),
            ``(7) the approximate average monthly number of full-time 
        equivalent employees for the year of the trades or businesses 
        of the qualified opportunity fund in which qualified 
        opportunity zone business property is held (within numerical 
        ranges identified by the Secretary) or such other indication of 
        the employment impact of such trades or businesses as 
        determined appropriate by the Secretary,
            ``(8) with respect to each person who disposed of an 
        investment in the qualified opportunity fund during the year--
                    ``(A) the name, address, and taxpayer 
                identification number of such person,
                    ``(B) the date or dates on which the investment 
                disposed was acquired, and
                    ``(C) the date or dates on which any such 
                investment was disposed and the amount of the 
                investment disposed, and
            ``(9) such other information as the Secretary may require.
    ``(c) Statement Required to Be Furnished to Investors.--Every 
person required to make a return under subsection (a) shall furnish to 
each person whose name is required to be set forth in such return by 
reason of subsection (b)(8) (at such time and in such manner as the 
Secretary may prescribe) a written statement showing--
            ``(1) the name, address, and phone number of the 
        information contact of the person required to make such return, 
        and
            ``(2) the information required to be shown on such return 
        by reason of subsection (b)(8) with respect to the person whose 
        name is required to be so set forth.
    ``(d) Definitions.--For purposes of this section--
            ``(1) In general.--Any term used in this section which is 
        also used in subchapter Z of chapter 1 shall have the meaning 
        given such term under such subchapter.
            ``(2) Full-time equivalent employees.--The term `full-time 
        equivalent employees' means, with respect to any month, the sum 
        of--
                    ``(A) the number of full-time employees (as defined 
                in section 4980H(c)(4)) for the month, plus
                    ``(B) the number of employees determined (under 
                rules similar to the rules of section 4980H(c)(2)(E)) 
                by dividing the aggregate number of hours of service of 
                employees who are not full-time employees for the month 
                by 120.
    ``(e) Application to Qualified Rural Opportunity Funds.--Every 
qualified rural opportunity fund (as defined in section 1400Z-
2(b)(2)(C)) shall file the annual return required under subsection (a), 
and the statements required under subsection (c), applied--
            ``(1) by substituting `qualified rural opportunity' for 
        `qualified opportunity' each place it appears,
            ``(2) by substituting `section 1400Z-2(b)(2)(C)' for 
        `section 1400Z-2(d)(1)' each place it appears, and
            ``(3) by treating any reference (after the application of 
        paragraph (1)) to qualified rural opportunity zone stock, a 
        qualified rural opportunity zone partnership interest, a 
        qualified rural opportunity zone business, or qualified 
        opportunity zone business property as stock, an interest, a 
        business, or property, respectively, described in subclause (I) 
        or (II), as the case may be, of section 1400Z-2(b)(2)(C)(i).

``SEC. 6039L. INFORMATION REQUIRED FROM QUALIFIED OPPORTUNITY ZONE 
              BUSINESSES AND QUALIFIED RURAL OPPORTUNITY ZONE 
              BUSINESSES.

    ``(a) In General.--Every applicable qualified opportunity zone 
business shall furnish to the qualified opportunity fund described in 
subsection (b) a written statement at such time, in such manner, and 
setting forth such information as the Secretary may by regulations 
prescribe for purposes of enabling such qualified opportunity fund to 
meet the requirements of section 6039K(b)(5).
    ``(b) Applicable Qualified Opportunity Zone Business.--For purposes 
of subsection (a), the term `applicable qualified opportunity zone 
business' means any qualified opportunity zone business--
            ``(1) which is a trade or business of a qualified 
        opportunity fund,
            ``(2) in which a qualified opportunity fund holds qualified 
        opportunity zone stock, or
            ``(3) in which a qualified opportunity fund holds a 
        qualified opportunity zone partnership interest.
    ``(c) Other Terms.--Any term used in this section which is also 
used in subchapter Z of chapter 1 shall have the meaning given such 
term under such subchapter.
    ``(d) Application to Qualified Rural Opportunity Businesses.--Every 
applicable qualified rural opportunity zone business (as defined in 
subsection (b) determined after application of the substitutions 
described in this sentence) shall furnish the written statement 
required under subsection (a), applied--
            ``(1) by substituting `qualified rural opportunity' for 
        `qualified opportunity' each place it appears, and
            ``(2) by treating any reference (after the application of 
        paragraph (1)) to qualified rural opportunity zone stock, a 
        qualified rural opportunity zone partnership interest, or a 
        qualified rural opportunity zone business as stock, an 
        interest, or a business, respectively, described in subclause 
        (I) or (II), as the case may be, of section 1400Z-
        2(b)(2)(C)(i).''.
            (2) Penalties.--
                    (A) In general.--Part II of subchapter B of chapter 
                68 is amended by inserting after section 6725 the 
                following new section:

``SEC. 6726. FAILURE TO COMPLY WITH INFORMATION REPORTING REQUIREMENTS 
              RELATING TO QUALIFIED OPPORTUNITY FUNDS AND QUALIFIED 
              RURAL OPPORTUNITY FUNDS.

    ``(a) In General.--If any person required to file a return under 
section 6039K fails to file a complete and correct return under such 
section in the time and in the manner prescribed therefor, such person 
shall pay a penalty of $500 for each day during which such failure 
continues.
    ``(b) Limitation.--
            ``(1) In general.--The maximum penalty under this section 
        on failures with respect to any 1 return shall not exceed 
        $10,000.
            ``(2) Large qualified opportunity funds.--In the case of 
        any failure described in subsection (a) with respect to a fund 
        the gross assets of which (determined on the last day of the 
        taxable year) are in excess of $10,000,000, paragraph (1) shall 
        be applied by substituting `$50,000' for `$10,000'.
    ``(c) Penalty in Cases of Intentional Disregard.--If a failure 
described in subsection (a) is due to intentional disregard, then--
            ``(1) subsection (a) shall be applied by substituting 
        `$2,500' for `$500',
            ``(2) subsection (b)(1) shall be applied by substituting 
        `$50,000' for `$10,000', and
            ``(3) subsection (b)(2) shall be applied by substituting 
        `$250,000' for `$50,000'.
    ``(d) Inflation Adjustment.--
            ``(1) In general.--In the case of any failure relating to a 
        return required to be filed in a calendar year beginning after 
        2025, each of the dollar amounts in subsections (a), (b), and 
        (c) shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year determined 
                by substituting `calendar year 2024' for `calendar year 
                2016' in subparagraph (A)(ii) thereof.
            ``(2) Rounding.--
                    ``(A) In general.--If the $500 dollar amount in 
                subsection (a) and (c)(1) or the $2,500 amount in 
                subsection (c)(1), after being increased under 
                paragraph (1), is not a multiple of $10, such dollar 
                amount shall be rounded to the next lowest multiple of 
                $10.
                    ``(B) Asset threshold.--If the $10,000,000 dollar 
                amount in subsection (b)(2), after being increased 
                under paragraph (1), is not a multiple of $10,000, such 
                dollar amount shall be rounded to the next lowest 
                multiple of $10,000.
                    ``(C) Other dollar amounts.--If any dollar amount 
                in subsection (b) or (c) (other than any amount to 
                which subparagraph (A) or (B) applies), after being 
                increased under paragraph (1), is not a multiple of 
                $1,000, such dollar amount shall be rounded to the next 
                lowest multiple of $1,000.''.
                    (B) Information required to be sent to other 
                taxpayers.--Section 6724(d)(2), as amended by the 
                preceding provisions of this Act, is amended--
                            (i) by striking ``or'' at the end of 
                        subparagraph (LL),
                            (ii) by striking the period at the end of 
                        subparagraph (MM) and inserting a comma, and
                            (iii) by inserting after subparagraph (MM) 
                        the following new subparagraphs:
                    ``(NN) section 6039K(c) (relating to disposition of 
                qualified opportunity fund investments), or
                    ``(OO) section 6039L (relating to information 
                required from certain qualified opportunity zone 
                businesses and qualified rural opportunity zone 
                businesses).''.
            (3) Electronic filing.--Section 6011(e) is amended by 
        adding at the end the following new paragraph:
            ``(8) Qualified opportunity funds and qualified rural 
        opportunity funds.--Notwithstanding paragraphs (1) and (2), any 
        return filed by a qualified opportunity fund or qualified rural 
        opportunity fund under section 6039K shall be filed on magnetic 
        media or other machine-readable form.''.
            (4) Clerical amendments.--
                    (A) The table of sections for subpart A of part III 
                of subchapter A of chapter 61 is amended by inserting 
                after the item relating to section 6039J the following 
                new items:

``Sec. 6039K. Returns with respect to qualified opportunity funds and 
                            qualified rural opportunity funds.
``Sec. 6039L. Information required from qualified opportunity zone 
                            businesses and qualified rural opportunity 
                            zone businesses.''.
                    (B) The table of sections for part II of subchapter 
                B of chapter 68 is amended by inserting after the item 
                relating to section 6725 the following new item:

``Sec. 6726. Failure to comply with information reporting requirements 
                            relating to qualified opportunity funds and 
                            qualified rural opportunity funds.''.
            (5) Effective date.--The amendments made by this subsection 
        shall apply to taxable years beginning after the date of the 
        enactment of this Act.
    (e) Secretary Reporting of Data on Opportunity Zone and Rural 
Opportunity Zone Tax Incentives.--
            (1) In general.--In addition to amounts otherwise 
        available, there is appropriated, out of any money in the 
        Treasury not otherwise appropriated, $15,000,000, to remain 
        available until September 30, 2028, for necessary expenses of 
        the Internal Revenue Service to make the reports described in 
        paragraph (2).
            (2) Reports.--As soon as practical after the date of the 
        enactment of this Act, and annually thereafter, the Secretary 
        of the Treasury, or the Secretary's delegate (referred to in 
        this section as the ``Secretary'') shall make publicly 
        available a report on qualified opportunity funds.
            (3) Information included.--The report required under 
        paragraph (2) shall include, to the extent available, the 
        following information:
                    (A) The number of qualified opportunity funds.
                    (B) The aggregate dollar amount of assets held in 
                qualified opportunity funds.
                    (C) The aggregate dollar amount of investments made 
                by qualified opportunity funds in qualified opportunity 
                fund property, stated separately for each North 
                American Industry Classification System (NAICS) code.
                    (D) The percentage of population census tracts 
                designated as qualified opportunity zones that have 
                received qualified opportunity fund investments.
                    (E) For each population census tract designated as 
                a qualified opportunity zone, the approximate average 
                monthly number of full-time equivalent employees of the 
                qualified opportunity zone businesses in such qualified 
                opportunity zone for the preceding 12-month period 
                (within numerical ranges identified by the Secretary) 
                or such other indication of the employment impact of 
                such qualified opportunity fund businesses as 
                determined appropriate by the Secretary.
                    (F) The percentage of the total amount of 
                investments made by qualified opportunity funds in--
                            (i) qualified opportunity zone property 
                        which is real property; and
                            (ii) other qualified opportunity zone 
                        property.
                    (G) For each population census tract, the aggregate 
                approximate number of residential units resulting from 
                investments made by qualified opportunity funds in real 
                property.
                    (H) The aggregate dollar amount of investments made 
                by qualified opportunity funds in each population 
                census tract.
            (4) Additional information.--
                    (A) In general.--Beginning with the report 
                submitted under paragraph (2) for the 6th year after 
                the date of the enactment of this Act, the Secretary 
                shall include in such report the impacts and outcomes 
                of a designation of a population census tract as a 
                qualified opportunity zone as measured by economic 
                indicators, such as job creation, poverty reduction, 
                new business starts, and other metrics as determined by 
                the Secretary.
                    (B) Semi-decennial information.--
                            (i) In general.--In the case of any report 
                        submitted under paragraph (2) in the 6th year 
                        or the 11th year after the date of the 
                        enactment of this Act, the Secretary shall 
                        include the following information:
                                    (I) For population census tracts 
                                designated as a qualified opportunity 
                                zone, a comparison (based on aggregate 
                                information) of the factors listed in 
                                clause (iii) between the 5-year period 
                                ending on the date of the enactment of 
                                Public Law 115-97 and the most recent 
                                5-year period for which data is 
                                available.
                                    (II) For population census tracts 
                                designated as a qualified opportunity 
                                zone, a comparison (based on aggregate 
                                information) of the factors listed in 
                                clause (iii) for the most recent 5-year 
                                period for which data is available 
                                between such population census tracts 
                                and similar population census tracts 
                                that were not designated as a qualified 
                                opportunity zone.
                            (ii) Control groups.--For purposes of 
                        clause (i), the Secretary may combine 
                        population census tracts into such groups as 
                        the Secretary determines appropriate for 
                        purposes of making comparisons.
                            (iii) Factors listed.--The factors listed 
                        in this clause are the following:
                                    (I) The unemployment rate.
                                    (II) The number of persons working 
                                in the population census tract, 
                                including the percentage of such 
                                persons who were not residents in the 
                                population census tract in the 
                                preceding year.
                                    (III) Individual, family, and 
                                household poverty rates.
                                    (IV) Median family income of 
                                residents of the population census 
                                tract.
                                    (V) Demographic information on 
                                residents of the population census 
                                tract, including age, income, 
                                education, race, and employment.
                                    (VI) The average percentage of 
                                income of residents of the population 
                                census tract spent on rent annually.
                                    (VII) The number of residences in 
                                the population census tract.
                                    (VIII) The rate of home ownership 
                                in the population census tract.
                                    (IX) The average value of 
                                residential property in the population 
                                census tract.
                                    (X) The number of affordable 
                                housing units in the population census 
                                tract.
                                    (XI) The number of new business 
                                starts in the population census tract.
                                    (XII) The distribution of employees 
                                in the population census tract by North 
                                American Industry Classification System 
                                (NAICS) code.
            (5) Protection of identifiable return information.--In 
        making reports required under this subsection, the Secretary--
                    (A) shall establish appropriate procedures to 
                ensure that any amounts reported do not disclose 
                taxpayer return information that can be associated with 
                any particular taxpayer or competitive or proprietary 
                information, and
                    (B) if necessary to protect taxpayer return 
                information, may combine information required with 
                respect to individual population census tracts into 
                larger geographic areas.
            (6) Definitions.--Any term used in this subsection which is 
        also used in subchapter Z of chapter 1 of the Internal Revenue 
        Code of 1986 shall have the meaning given such term under such 
        subchapter.
            (7) Reports on qualified rural opportunity funds.--The 
        Secretary shall make publicly available, with respect to 
        qualified rural opportunity funds, separate reports as required 
        under this subsection, applied--
                    (A) by substituting ``qualified rural opportunity'' 
                for ``qualified opportunity'' each place it appears,
                    (B) by substituting a reference to this Act for 
                ``Public Law 115-97'', and
                    (C) by treating any reference (after the 
                application of subparagraph (A)) to qualified rural 
                opportunity zone stock, qualified rural opportunity 
                zone partnership interest, qualified rural opportunity 
                zone business, or qualified opportunity zone business 
                property as stock, interest, business, or property, 
                respectively, described in subclause (I) or (II), as 
                the case may be, of section 1400Z-2(b)(2)(C)(i) of the 
                Internal Revenue Code of 1986.

SEC. 70422. PERMANENT ENHANCEMENT OF LOW-INCOME HOUSING TAX CREDIT.

    (a) Permanent State Housing Credit Ceiling Increase for Low-income 
Housing Credit.--
            (1) In general.--Section 42(h)(3)(I) is amended--
                    (A) by striking ``2018, 2019, 2020, and 2021,'' and 
                inserting ``beginning after December 31, 2025,'',
                    (B) by striking ``1.125'' and inserting ``1.12'', 
                and
                    (C) by striking ``2018, 2019, 2020, and 2021'' in 
                the heading and inserting ``calendar years after 
                2025''.
            (2) Effective date.--The amendments made by this subsection 
        shall apply to calendar years beginning after December 31, 
        2025.
    (b) Tax-exempt Bond Financing Requirement.--
            (1) In general.--Section 42(h)(4) is amended by striking 
        subparagraph (B) and inserting the following:
                    ``(B) Special rule where minimum percent of 
                buildings is financed with tax-exempt bonds subject to 
                volume cap.--For purposes of subparagraph (A), 
                paragraph (1) shall not apply to any portion of the 
                credit allowable under subsection (a) with respect to a 
                building if--
                            ``(i) 50 percent or more of the aggregate 
                        basis of such building and the land on which 
                        the building is located is financed by 1 or 
                        more obligations described in subparagraph (A), 
                        or
                            ``(ii)(I) 25 percent or more of the 
                        aggregate basis of such building and the land 
                        on which the building is located is financed by 
                        1 or more obligations described in subparagraph 
                        (A), and
                            ``(II) 1 or more of such obligations--
                                    ``(aa) are part of an issue the 
                                issue date of which is after December 
                                31, 2025, and
                                    ``(bb) provide the financing for 
                                not less than 5 percent of the 
                                aggregate basis of such building and 
                                the land on which the building is 
                                located.''.
            (2) Effective date.--
                    (A) In general.--The amendment made by this 
                subsection shall apply to buildings placed in service 
                in taxable years beginning after December 31, 2025.
                    (B) Rehabilitation expenditures treated as separate 
                new building.--In the case of any building with respect 
                to which any expenditures are treated as a separate new 
                building under section 42(e) of the Internal Revenue 
                Code of 1986, for purposes of subparagraph (A), both 
                the existing building and the separate new building 
                shall be treated as having been placed in service on 
                the date such expenditures are treated as placed in 
                service under section 42(e)(4) of such Code.

SEC. 70423. PERMANENT EXTENSION OF NEW MARKETS TAX CREDIT.

    (a) In General.--Section 45D(f)(1)(H) is amended by striking ``for 
for each of calendar years 2020 through 2025'' and inserting `` for 
each calendar year after 2019''.
    (b) Carryover of Unused Limitation.--Section 45D(f)(3) is amended--
            (1) by striking ``If the'' and inserting the following:
                    ``(A) In general.--If the'', and
            (2) by striking the second sentence and inserting the 
        following:
                    ``(B) Limitation.--No amount may be carried under 
                subparagraph (A) to any calendar year afer the fifth 
                calendar year after the calendar year in which the 
                excess described in such subparagraph occurred. For 
                purposes of this subparagraph, any excess described in 
                subparagraph (A) with respect to any calendar year 
                before 2026 shall be treated as occurring in calendar 
                year 2025.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to calendar years beginning after December 31, 2025.

SEC. 70424. PERMANENT AND EXPANDED REINSTATEMENT OF PARTIAL DEDUCTION 
              FOR CHARITABLE CONTRIBUTIONS OF INDIVIDUALS WHO DO NOT 
              ELECT TO ITEMIZE.

    (a) In General.--Section 170(p) is amended--
            (1) by striking ``$300 ($600'' and inserting ``$1,000 
        ($2,000'', and
            (2) by striking ``beginning in 2021''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70425. 0.5 PERCENT FLOOR ON DEDUCTION OF CONTRIBUTIONS MADE BY 
              INDIVIDUALS.

    (a) In General.--
            (1) In general.--Paragraph (1) of section 170(b) is amended 
        by adding at the end the following new subparagraph:
                    ``(I) 0.5-percent floor.--Any charitable 
                contribution otherwise allowable (without regard to 
                this subparagraph) as a deduction under this section 
                shall be allowed only to the extent that the aggregate 
                of such contributions exceeds 0.5 percent of the 
                taxpayer's contribution base for the taxable year. The 
                preceding sentence shall be applied--
                            ``(i) first, by taking into account 
                        charitable contributions to which subparagraph 
                        (D) applies to the extent thereof,
                            ``(ii) second, by taking into account 
                        charitable contributions to which subparagraph 
                        (C) applies to the extent thereof,
                            ``(iii) third, by taking into account 
                        charitable contributions to which subparagraph 
                        (B) applies to the extent thereof,
                            ``(iv) fourth, by taking into account 
                        charitable contributions to which subparagraph 
                        (E) applies to the extent thereof,
                            ``(v) fifth, by taking into account 
                        charitable contributions to which subparagraph 
                        (A) applies to the extent thereof, and
                            ``(vi) sixth, by taking into account 
                        charitable contributions to which subparagraph 
                        (G) applies to the extent thereof.''.
            (2) Application of carryforward.--Paragraph (1) of section 
        170(d) is amended by adding at the end the following new 
        subparagraph:
                    ``(C) Contributions disallowed by 0.5-percent floor 
                carried forward only from years in which limitation is 
                exceeded.--
                            ``(i) In general.--In the case of any 
                        taxable year from which an excess is carried 
                        forward (determined without regard to this 
                        subparagraph) under any carryover rule, the 
                        applicable carryover rule shall be applied by 
                        increasing the excess determined under such 
                        applicable carryover rule for the contribution 
                        year (before the application of subparagraph 
                        (B)) by the amount attributable to the 
                        charitable contributions to which such rule 
                        applies which is not allowed as a deduction for 
                        the contribution year by reason of subsection 
                        (b)(1)(I).
                            ``(ii) Carryover rule.--For purposes of 
                        this subparagraph, the term `carryover rule' 
                        means--
                                    ``(I) subparagraph (A) of this 
                                paragraph,
                                    ``(II) subparagraphs (C)(ii), 
                                (D)(ii), (E)(ii), and (G)(ii) of 
                                subsection (b)(1), and
                                    ``(III) the second sentence of 
                                subsection (b)(1)(B).
                            ``(iii) Applicable carryover rule.--For 
                        purposes of this subparagraph, the term 
                        `applicable carryover rule' means any carryover 
                        rule applicable to charitable contributions 
                        which were (in whole or in part) not allowed as 
                        a deduction for the contribution year by reason 
                        of subsection (b)(1)(I).''.
            (3) Coordination with deduction for nonitemizers.--Section 
        170(p), as amended by this Act, is further amended by inserting 
        ``, (b)(1)(I),'' after ``subsections (b)(1)(G)(ii)''.
    (b) Modification of Limitation for Cash Contributions.--
            (1) In general.--Clause (i) of section 170(b)(1)(G) is 
        amended to read as follows:
                            ``(i) In general.--For taxable years 
                        beginning after December 31, 2017, any 
                        contribution of cash to an organization 
                        described in subparagraph (A) shall be allowed 
                        as a deduction under subsection (a) to the 
                        extent that the aggregate of such contributions 
                        does not exceed the excess of--
                                    ``(I) 60 percent of the taxpayer's 
                                contribution base for the taxable year, 
                                over
                                    ``(II) the aggregate amount of 
                                contributions taken into account under 
                                subparagraph (A) for such taxable 
                                year.''.
            (2) Coordination with other limitations.--
                    (A) In general.--Clause (iii) of section 
                170(b)(1)(G) is amended--
                            (i) by striking ``subparagraphs (a) and 
                        (b)'' in the heading and inserting 
                        ``subparagraph (a)'', and
                            (ii) in subclause (II), by striking ``, and 
                        subparagraph (B)'' and all that follows through 
                        ``this subparagraph''.
                    (B) Other contributions.--Subparagraph (B) of 
                section 170(b)(1) is amended--
                            (i) by striking ``to which subparagraph 
                        (A)'' both places it appears and inserting ``to 
                        which subparagraph (A) or (G)'', and
                            (ii) in clause (ii), by striking ``over the 
                        amount'' and all that follows through 
                        ``subparagraph (C)).'' and inserting ``over--
                                    ``(I) the amount of charitable 
                                contributions allowable under 
                                subparagraph (A) (determined without 
                                regard to subparagraph (C)) and 
                                subparagraph (G), reduced by
                                    ``(II) so much of the contributions 
                                taken into account under subparagraph 
                                (G) as does not exceed 10 percent of 
                                the taxpayer's contribution base.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70426. 1-PERCENT FLOOR ON DEDUCTION OF CHARITABLE CONTRIBUTIONS 
              MADE BY CORPORATIONS.

    (a) In General.--Section 170(b)(2)(A) is amended to read as 
follows:
                    ``(A) In general.--Any charitable contribution 
                otherwise allowable (without regard to this 
                subparagraph) as a deduction under this section for any 
                taxable year, other than any contribution to which 
                subparagraph (B) or (C) applies, shall be allowed only 
                to the extent that the aggregate of such 
                contributions--
                            ``(i) exceeds 1 percent of the taxpayer's 
                        taxable income for the taxable year, and
                            ``(ii) does not exceed 10 percent of the 
                        taxpayer's taxable income for the taxable 
                        year.''.
    (b) Application of Carryforward.--Section 170(d)(2) is amended to 
read as follows:
            ``(2) Corporations.--
                    ``(A) In general.--Any charitable contribution 
                taken into account under subsection (b)(2)(A) for any 
                taxable year which is not allowed as a deduction by 
                reason of clause (ii) thereof shall be taken into 
                account as a charitable contribution for the succeeding 
                taxable year, except that, for purposes of determining 
                under this subparagraph whether such contribution is 
                allowed in such succeeding taxable year, contributions 
                in such succeeding taxable year (determined without 
                regard to this paragraph) shall be taken into account 
                under subsection (b)(2)(A) before any contribution 
                taken into account by reason of this paragraph.
                    ``(B) 5-year carryforward.--No charitable 
                contribution may be carried forward under subparagraph 
                (A) to any taxable year following the fifth taxable 
                year after the taxable year in which the charitable 
                contribution was first taken into account. For purposes 
                of the preceding sentence, contributions shall be 
                treated as allowed on a first-in first-out basis.
                    ``(C) Contributions disallowed by 1-percent floor 
                carried forward only from years in which 10 percent 
                limitation is exceeded.--In the case of any taxable 
                year from which a charitable contribution is carried 
                forward under subparagraph (A) (determined without 
                regard this subparagraph), subparagraph (A) shall be 
                applied by substituting `clause (i) or (ii)' for 
                `clause (ii)'.
                    ``(D) Special rule for net operating loss 
                carryovers.--The amount of charitable contributions 
                carried forward under subparagraph (A) shall be reduced 
                to the extent that such carryfoward would (but for this 
                subparagraph) reduce taxable income (as computed for 
                purposes of the second sentence of section 172(b)(2)) 
                and increase a net operating loss carryover under 
                section 172 to a succeeding taxable year.''.
    (c) Conforming Amendments.--Subparagraphs (B)(ii) and (C)(ii) of 
section 170(b)(2) are each amended by inserting ``other than 
subparagraph (C) thereof'' after ``subsection (d)(2)''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70427. PERMANENT INCREASE IN LIMITATION ON COVER OVER OF TAX ON 
              DISTILLED SPIRITS.

    (a) In General.--Paragraph (1) of section 7652(f) is amended to 
read as follows:
            ``(1) $13.25, or''.
    (b) Effective Date.--The amendment made by this section shall apply 
to distilled spirits brought into the United States after December 31, 
2025.

SEC. 70428. NONPROFIT COMMUNITY DEVELOPMENT ACTIVITIES IN REMOTE NATIVE 
              VILLAGES.

    (a) In General.--For purposes of subchapter F of chapter 1 of the 
Internal Revenue Code of 1986, any activity substantially related to 
participation or investment in fisheries in the Bering Sea and Aleutian 
Islands statistical and reporting areas (as described in Figure 1 of 
section 679 of title 50, Code of Federal Regulations) carried on by an 
entity identified in section 305(i)(1)(D) of the Magnuson-Stevens 
Fishery Conservation and Management Act (16 U.S.C. 1855(i)(1)(D)) (as 
in effect on the date of enactment of this section) shall be considered 
substantially related to the exercise or performance of the purpose 
constituting the basis of such entity's exemption under section 501(a) 
of such Code if the conduct of such activity is in furtherance of 1 or 
more of the purposes specified in section 305(i)(1)(A) of such Act (as 
so in effect). For purposes of this paragraph, activities substantially 
related to participation or investment in fisheries include the 
harvesting, processing, transportation, sales, and marketing of fish 
and fish products of the Bering Sea and Aleutian Islands statistical 
and reporting areas.
    (b) Application to Certain Wholly Owned Subsidiaries.--If the 
assets of a trade or business relating to an activity described in 
subsection (a) of any subsidiary wholly owned by an entity identified 
in section 305(i)(1)(D) of the Magnuson-Stevens Fishery Conservation 
and Management Act (16 U.S.C. 1855(i)(1)(D)) (as in effect on the date 
of enactment of this section) are transferred to such entity (including 
in liquidation of such subsidiary) not later than 18 months after the 
date of the enactment of this Act--
            (1) no gain or income resulting from such transfer shall be 
        recognized to either such subsidiary or such entity under such 
        Code, and
            (2) all income derived from such subsidiary from such 
        transferred trade or business shall be exempt from taxation 
        under such Code.
    (c) Effective Date.--This section shall take effect on the date of 
the enactment of this Act and shall remain effective during the 
existence of the western Alaska community development quota program 
established by Section 305(i)(1) of the Magnuson-Stevens Fishery 
Conservation and Management Act (16 U.S.C. 1855(i)(1)), as amended.

SEC. 70429. ADJUSTMENT OF CHARITABLE DEDUCTION FOR CERTAIN EXPENSES 
              INCURRED IN SUPPORT OF NATIVE ALASKAN SUBSISTENCE 
              WHALING.

    (a) In General.--Section 170(n)(1) of the Internal Revenue Code of 
1986 is amended by striking ``$10,000'' and inserting ``$50,000''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70430. EXCEPTION TO PERCENTAGE OF COMPLETION METHOD OF ACCOUNTING 
              FOR CERTAIN RESIDENTIAL CONSTRUCTION CONTRACTS.

    (a) In General.--Section 460(e) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``home construction contract'' both 
                places it appears and inserting ``residential 
                construction contract'', and
                    (B) by inserting ``(determined by substituting `3-
                year' for `2-year' in subparagraph (B)(i) for any 
                residential construction contract which is not a home 
                construction contract)'' after ``the requirements of 
                clauses (i) and (ii) of subparagraph (B)'',
            (2) by striking paragraph (4) and redesignating paragraph 
        (5) as paragraph (4), and
            (3) in subparagraph (A) of paragraph (4), as so 
        redesignated, by striking ``paragraph (4)'' and inserting 
        ``paragraph (3)''.
    (b) Application of Exception for Purposes of Alternative Minimum 
Tax.--Section 56(a)(3) is amended by striking ``any home construction 
contract (as defined in section 460(e)(6))'' and inserting ``any 
residential construction contract (as defined in section 460(e)(4))''.
    (c) Effective Date.--The amendments made by this section shall 
apply to contracts entered into in taxable years beginning after the 
date of the enactment of this Act.

Subchapter D--Permanent Investments in Small Business and Rural America

SEC. 70431. EXPANSION OF QUALIFIED SMALL BUSINESS STOCK GAIN EXCLUSION.

    (a) Phased Increase in Exclusion for Gain From Qualified Small 
Business Stock.--
            (1) In general.--Section 1202(a)(1) is amended to read as 
        follows:
            ``(1) In general.-- In the case of a taxpayer other than a 
        corporation, gross income shall not include--
                    ``(A) except as provided in paragraphs (3) and (4), 
                50 percent of any gain from the sale or exchange of 
                qualified small business stock acquired on or before 
                the applicable date and held for more than 5 years, and
                    ``(B) the applicable percentage of any gain from 
                the sale or exchange of qualified small business stock 
                acquired after the applicable date and held for at 
                least 3 years.''.
            (2) Applicable percentage.--Section 1202(a) is amended by 
        adding at the end the following new paragraph:
            ``(5) Applicable percentage.--The applicable percentage 
        under paragraph (1) shall be determined under the following 
        table:


 
                                                            Applicable
                  ``Years stock held:                      percentage:
 
3 years................................................              50%
4 years................................................              75%
5 years or more........................................          100%''.
 

            (3) Applicable date; acquisition date.--Section 1202(a), as 
        amended by paragraph (2), is amended by adding at the end the 
        following new paragraph:
            ``(6) Applicable date; acquisition date.--For purposes of 
        this section--
                    ``(A) Applicable date.--The term `applicable date' 
                means the date of the enactment of this paragraph.
                    ``(B) Acquisition date.--In the case of any stock 
                which would (but for this paragraph) be treated as 
                having been acquired before, on, or after the 
                applicable date, whichever is applicable, the 
                acquisition date for purposes of this section shall be 
                the first day on which such stock was held by the 
                taxpayer determined after the application of section 
                1223.''.
            (4) Continued treatment as not item of tax preference.--
                    (A) In general.--Section 57(a)(7) is amended by 
                striking ``An amount'' and inserting ``In the case of 
                stock acquired on or before the date of the enactment 
                of the Creating Small Business Jobs Act of 2010, an 
                amount''.
                    (B) Conforming amendment.--Section 1202(a)(4) is 
                amended--
                            (i) by striking ``, and'' at the end of 
                        subparagraph (B) and inserting a period, and
                            (ii) by striking subparagraph (C).
            (5) Other conforming amendments.--
                    (A) Paragraphs (3)(A) and (4)(A) of section 1202(a) 
                are each amended by striking ``paragraph (1)'' and 
                inserting ``paragraph (1)(A)''.
                    (B) Paragraph (4)(A) of section 1202(a) is amended 
                by inserting ``and on or before the applicable date'' 
                after ``2010''.
                    (C) Sections 1202(b)(2), 1202(g)(2)(A), and 
                1202(j)(1)(A) are each amended by striking ``more than 
                5 years'' and inserting ``at least 3 years (more than 5 
                years in the case of stock acquired on or before the 
                applicable date)''.
            (6) Effective dates.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the amendments made by this subsection shall apply 
                to taxable years beginning after the date of the 
                enactment of this Act.
                    (B) Continued treatment as not item of tax 
                preference.--The amendments made by paragraph (4) shall 
                take effect as if included in the enactment of section 
                2011 of the Creating Small Business Jobs Act of 2010.
    (b) Increase in Per Issuer Limitation.--
            (1) In general.--Subparagraph (A) of section 1202(b)(1) is 
        amended to read as follows:
                    ``(A) the applicable dollar limit for the taxable 
                year, or''.
            (2) Applicable dollar limit.--Section 1202 (b) is amended 
        by adding at the end the following:
            ``(4) Applicable dollar limit.--For purposes of paragraph 
        (1)(A), the applicable dollar limit for any taxable year with 
        respect to eligible gain from 1 or more dispositions by a 
        taxpayer of qualified business stock of a corporation is--
                    ``(A) if such stock was acquired by the taxpayer on 
                or before the applicable date, $10,000,000, reduced by 
                the aggregate amount of eligible gain taken into 
                account by the taxpayer under subsection (a) for prior 
                taxable years and attributable to dispositions of stock 
                issued by such corporation and acquired by the taxpayer 
                before, on, or after the applicable date, and
                    ``(B) if such stock was acquired by the taxpayer 
                after the applicable date, $15,000,000, reduced by the 
                sum of--
                            ``(i) the aggregate amount of eligible gain 
                        taken into account by the taxpayer under 
                        subsection (a) for prior taxable years and 
                        attributable to dispositions of stock issued by 
                        such corporation and acquired by the taxpayer 
                        before, on, or after the applicable date, plus
                            ``(ii) the aggregate amount of eligible 
                        gain taken into account by the taxpayer under 
                        subsection (a) for the taxable year and 
                        attributable to dispositions of stock issued by 
                        such corporation and acquired by the taxpayer 
                        on or before the applicable date.
            ``(5) Inflation adjustment.--
                    ``(A) In general.--In the case of any taxable year 
                beginning after 2026, the $15,000,000 amount in 
                paragraph (4)(B) shall be increased by an amount equal 
                to --
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        determined by substituting `calendar year 2025' 
                        for `calendar year 2016' in subparagraph 
                        (A)(ii) thereof.
                If any increase under this subparagraph is not a 
                multiple of $10,000, such increase shall be rounded to 
                the nearest multiple of $10,000.
                    ``(B) No increase once limit reached.--If, for any 
                taxable year, the eligible gain attributable to 
                dispositions of stock issued by a corporation and 
                acquired by the taxpayer after the applicable date 
                exceeds the applicable dollar limit, then 
                notwithstanding any increase under subparagraph (A) for 
                any subsequent taxable year, the applicable dollar 
                limit for such subsequent taxable year shall be 
                zero.''.
            (3) Separate returns.--Subparagraph (A) of section 
        1202(b)(3) is amended to read as follows:
                    ``(A) Separate returns.--In the case of a separate 
                return by a married individual for any taxable year--
                            ``(i) paragraph (4)(A) shall be applied by 
                        substituting `$5,000,000' for `$10,000,000', 
                        and
                            ``(ii) paragraph (4)(B) shall be applied by 
                        substituting one-half of the dollar amount in 
                        effect under such paragraph for the taxable 
                        year for the amount so in effect.''.
            (4) Effective date.--The amendments made by this subsection 
        shall apply to taxable years beginning after the date of the 
        enactment of this Act.
    (c) Increase in Limit in Aggregate Gross Assets.--
            (1) In general.--Subparagraphs (A) and (B) of section 
        1202(d)(1) are each amended by striking ``$50,000,000'' and 
        inserting ``$75,000,000''.
            (2) Inflation adjustment.--Section 1202(b) is amended by 
        adding at the end the following:
            ``(4) Inflation adjustment.--In the case of any taxable 
        year beginning after 2026, the $75,000,000 amounts in 
        paragraphs (1)(A) and (1)(B) shall each be increased by an 
        amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `calendar year 2025' for `calendar year 2016' in 
                subparagraph (A)(ii) thereof.
        If any increase under this paragraph is not a multiple of 
        $10,000, such increase shall be rounded to the nearest multiple 
        of $10,000.''.
            (3) Effective date.--The amendments made by this subsection 
        shall apply to stock issued after the date of the enactment of 
        this Act.

SEC. 70432. REPEAL OF REVISION TO DE MINIMIS RULES FOR THIRD PARTY 
              NETWORK TRANSACTIONS.

    (a) Reinstatement of Exception for De Minimis Payments as in Effect 
Prior to Enactment of American Rescue Plan Act of 2021.--
            (1) In general.--Section 6050W(e) is amended to read as 
        follows:
    ``(e) Exception for De Minimis Payments by Third Party Settlement 
Organizations.--A third party settlement organization shall be required 
to report any information under subsection (a) with respect to third 
party network transactions of any participating payee only if--
            ``(1) the amount which would otherwise be reported under 
        subsection (a)(2) with respect to such transactions exceeds 
        $20,000, and
            ``(2) the aggregate number of such transactions exceeds 
        200.''.
            (2) Effective date.--The amendment made by this subsection 
        shall take effect as if included in section 9674 of the 
        American Rescue Plan Act.
    (b) Application of De Minimis Rule for Third Party Network 
Transactions to Backup Withholding.--
            (1) In general.--Section 3406(b) is amended by adding at 
        the end the following new paragraph:
            ``(8) Other reportable payments include payments in 
        settlement of third party network transactions only where 
        aggregate transactions exceed reporting threshold for the 
        calendar year.--
                    ``(A) In general.--Any payment in settlement of a 
                third party network transaction required to be shown on 
                a return required under section 6050W which is made 
                during any calendar year shall be treated as a 
                reportable payment only if--
                            ``(i) the aggregate number of transactions 
                        with respect to the participating payee during 
                        such calendar year exceeds the number of 
                        transactions specified in section 6050W(e)(2), 
                        and
                            ``(ii) the aggregate amount of transactions 
                        with respect to the participating payee during 
                        such calendar year exceeds the dollar amount 
                        specified in section 6050W(e)(1) at the time of 
                        such payment.
                    ``(B) Exception if third party network transactions 
                made in prior year were reportable.--Subparagraph (A) 
                shall not apply with respect to payments to any 
                participating payee during any calendar year if one or 
                more payments in settlement of third party network 
                transactions made by the payor to the participating 
                payee during the preceding calendar year were 
                reportable payments.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to calendar years beginning after December 31, 
        2024.

SEC. 70433. INCREASE IN THRESHOLD FOR REQUIRING INFORMATION REPORTING 
              WITH RESPECT TO CERTAIN PAYEES.

    (a) In General.--Section 6041(a) is amended by striking ``$600'' 
and inserting ``$2,000''.
    (b) Inflation Adjustment.--Section 6041 is amended by adding at the 
end the following new subsection:
    ``(h) Inflation Adjustment.--In the case of any calendar year after 
2026, the dollar amount in subsection (a) shall be increased by an 
amount equal to--
            ``(1) such dollar amount, multiplied by
            ``(2) the cost-of-living adjustment determined under 
        section 1(f)(3) for such calendar year, determined by 
        substituting `calendar year 2025' for `calendar year 2016' in 
        subparagraph (A)(ii) thereof.
If any increase under the preceding sentence is not a multiple of $100, 
such increase shall be rounded to the nearest multiple of $100.''.
    (c) Application to Reporting on Remuneration for Services.--Section 
6041A(a)(2) is amended by striking ``is $600 or more'' and inserting 
``equals or exceeds the dollar amount in effect for such calendar year 
under section 6041(a)''.
    (d) Application to Backup Withholding.--Section 3406(b)(6) is 
amended--
            (1) by striking ``$600'' in subparagraph (A) and inserting 
        ``the dollar amount in effect for such calendar year under 
        section 6041(a)'', and
            (2) by striking ``Only Where Aggregate for Calendar Year Is 
        $600 or More'' in the heading and inserting ``Only Where in 
        Excess of Threshold''.
    (e) Conforming Amendments.--
            (1) The heading of section 6041(a) is amended by striking 
        ``of $600 or More'' and inserting ``Exceeding Threshold''.
            (2) Section 6041(a) is amended by striking ``taxable year'' 
        and inserting ``calendar year''.
    (f) Effective Date.--The amendments made by this section shall 
apply with respect to payments made after December 31, 2025.

SEC. 70434. TREATMENT OF CERTAIN QUALIFIED SOUND RECORDING PRODUCTIONS.

    (a) Election to Treat Costs as Expenses.--Section 181(a)(1) is 
amended by striking ``qualified film or television production, and any 
qualified live theatrical production,'' and inserting ``qualified film 
or television production, any qualified live theatrical production, and 
any qualified sound recording production''.
    (b) Dollar Limitation.--Section 181(a)(2) is amended by adding at 
the end the following new subparagraph:
                    ``(C) Qualified sound recording production.--
                Paragraph (1) shall not apply to so much of the 
                aggregate cost of any qualified sound recording 
                production, or to so much of the aggregate, cumulative 
                cost of all such qualified sound recording productions 
                in the taxable year, as exceeds $150,000.''.
    (c) No Other Deduction or Amortization Deduction Allowable.--
Section 181(b) is amended by striking ``qualified film or television 
production or any qualified live theatrical production'' and inserting 
``qualified film or television production, any qualified live 
theatrical production, or any qualified sound recording production''.
    (d) Election.--Section 181(c)(1) is amended by striking ``qualified 
film or television production or any qualified live theatrical 
production'' and inserting ``qualified film or television production, 
any qualified live theatrical production, or any qualified sound 
recording production''.
    (e) Qualified Sound Recording Production Defined.--Section 181 is 
amended by redesignating subsections (f) and (g) as subsections (g) and 
(h), respectively, and by inserting after subsection (e) the following 
new subsection:
    ``(f) Qualified Sound Recording Production.--For purposes of this 
section, the term `qualified sound recording production' means a sound 
recording (as defined in section 101 of title 17, United States Code) 
produced and recorded in the United States.''.
    (f) Application of Termination.--Section 181(h), as redesignated by 
subsection (e), is amended by striking ``qualified film and television 
productions or qualified live theatrical productions'' and inserting 
``qualified film and television productions, qualified live theatrical 
productions, or qualified sound recording productions''.
    (g) Bonus Depreciation.--
            (1) Qualified sound recording production as qualified 
        property.--Section 168(k)(2)(A)(i) is amended--
                    (A) by striking ``or'' at the end of subclause 
                (IV), by inserting ``or'' at the end of subclause (V), 
                and by inserting after subclause (V) the following:
                                    ``(VI) which is a qualified sound 
                                recording production (as defined in 
                                subsection (f) of section 181) for 
                                which a deduction would have been 
                                allowable under section 181 without 
                                regard to subsections (a)(2) and (h) of 
                                such section or this subsection, and'', 
                                and
                    (B) in subclauses (IV) and (V) (as so amended) by 
                striking ``without regard to subsections (a)(2) and 
                (g)'' both places it appears and inserting ``without 
                regard to subsections (a)(2) and (h)''.
            (2) Production placed in service.--Section 168(k)(2)(H) is 
        amended by striking ``and'' at the end of clause (i), by 
        striking the period at the end of clause (ii) and inserting ``, 
        and'', and by adding after clause (ii) the following:
                            ``(iii) a qualified sound recording 
                        production shall be considered to be placed in 
                        service at the time of initial release or 
                        broadcast.''.
    (h) Conforming Amendments.--
            (1) The heading for section 181 is amended to read as 
        follows: ``treatment of certain qualified productions.''.
            (2) The table of sections for part VI of subchapter B of 
        chapter 1 is amended by striking the item relating to section 
        181 and inserting the following new item:

``Sec. 181. Treatment of certain qualified productions.''.
    (i) Effective Date.--The amendments made by this section shall 
apply to productions commencing in taxable years ending after the date 
of the enactment of this Act.

SEC. 70435. EXCLUSION OF INTEREST ON LOANS SECURED BY RURAL OR 
              AGRICULTURAL REAL PROPERTY.

    (a) In General.--Part III of subchapter B of chapter 1, as amended 
by the preceding provisions of this Act, is amended by inserting after 
section 139K the following new section:

``SEC. 139L. INTEREST ON LOANS SECURED BY RURAL OR AGRICULTURAL REAL 
              PROPERTY.

    ``(a) In General.--Gross income shall not include 25 percent of the 
interest received by a qualified lender on any qualified real estate 
loan.
    ``(b) Qualified Lender.--For purposes of this section, the term 
`qualified lender' means--
            ``(1) any bank or savings association the deposits of which 
        are insured under the Federal Deposit Insurance Act (12 U.S.C. 
        1811 et seq.),
            ``(2) any State- or federally-regulated insurance company,
            ``(3) any entity wholly owned, directly or indirectly, by a 
        company that is treated as a bank holding company for purposes 
        of section 8 of the International Banking Act of 1978 (12 
        U.S.C. 3106) if--
                    ``(A) such entity is organized, incorporated, or 
                established under the laws of the United States or any 
                State, and
                    ``(B) the principal place of business of such 
                entity is in the United States (including any territory 
                of the United States),
            ``(4) any entity wholly owned, directly or indirectly, by a 
        company that is considered an insurance holding company under 
        the laws of any State if such entity satisfies the requirements 
        described in subparagraphs (A) and (B) of paragraph (3), and
            ``(5) with respect to interest received on a qualified real 
        estate loan secured by real estate described in subsection 
        (c)(3)(A), any federally chartered instrumentality of the 
        United States established under section 8.1(a) of the Farm 
        Credit Act of 1971 (12 U.S.C. 2279aa-1(a)).
    ``(c) Qualified Real Estate Loan.--For purposes of this section--
            ``(1) In general.--The term `qualified real estate loan' 
        means any loan--
                    ``(A) secured by--
                            ``(i) rural or agricultural real estate, or
                            ``(ii) a leasehold mortgage (with a status 
                        as a lien) on rural or agricultural real 
                        estate,
                    ``(B) made to a person other than a specified 
                foreign entity (as defined in section 7701(a)(51)), and
                    ``(C) made after the date of the enactment of this 
                section.
        For purposes of the preceding sentence, the determination of 
        whether property securing such loan is rural or agricultural 
        real estate shall be made as of the time the interest income on 
        such loan is accrued.
            ``(2) Refinancings.--For purposes of subparagraphs (A) and 
        (C) of paragraph (1), a loan shall not be treated as made after 
        the date of the enactment of this section to the extent that 
        the proceeds of such loan are used to refinance a loan which 
        was made on or before the date of the enactment of this section 
        (or, in the case of any series of refinancings, the original 
        loan was made on or before such date).
            ``(3) Rural or agricultural real estate.--The term `rural 
        or agricultural real estate' means--
                    ``(A) any real property which is substantially used 
                for the production of one or more agricultural 
                products,
                    ``(B) any real property which is substantially used 
                in the trade or business of fishing or seafood 
                processing, and
                    ``(C) any aquaculture facility.
        Such term shall not include any property which is not located 
        in a State or a possession of the United States.
            ``(4) Aquaculture facility.--The term `aquaculture 
        facility' means any land, structure, or other appurtenance that 
        is used for aquaculture (including any hatchery, rearing pond, 
        raceway, pen, or incubator).
    ``(d) Coordination With Section 265.--In the case of any qualified 
real estate loan, section 265 shall be applied--
            ``(1) by treating any qualified real estate loan for 
        purposes of subsection (a)(2) thereof as an obligation the 
        interest on which is wholly exempt from the taxes imposed by 
        this subtitle,
            ``(2) by substituting `25 percent of the interest on 
        indebtedness' for `Interest on indebtedness' in such subsection 
        (a)(2),
            ``(3) by treating 25 percent of the adjusted basis of any 
        qualified real estate loan as adjusted basis of a tax-exempt 
        obligation described in subsection (b)(4)(B) thereof, and
            ``(4) by substituting `25 percent of the amount of such 
        indebtedness' for `the amount of such indebtedness' in 
        subsection (b)(6)(A)(a)(ii) thereof.''.
    (b) Clerical Amendment.--The table of sections for part III of 
subchapter B of chapter 1, as amended by the preceding provisions of 
this Act, is amended by inserting after the item relating to section 
139K the following new item:

``Sec. 139L. Interest on loans secured by rural or agricultural real 
                            property.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years ending after the date of the enactment of this 
Act.

SEC. 70436. REDUCTION OF TRANSFER AND MANUFACTURING TAXES FOR CERTAIN 
              DEVICES.

    (a) Transfer Tax.--Section 5811(a) is amended to read as follows:
    ``(a) Rate.--There shall be levied, collected, and paid on firearms 
transferred a tax at the rate of--
            ``(1) $200 for each firearm transferred in the case of a 
        machinegun or a destructive device, and
            ``(2) $0 for any firearm transferred which is not described 
        in paragraph (1).''.
    (b) Making Tax.--Section 5821(a) is amended to read as follows:
    ``(a) Rate.--There shall be levied, collected, and paid upon the 
making of a firearm a tax at the rate of--
            ``(1) $200 for each firearm made in the case of a 
        machinegun or a destructive device, and
            ``(2) $0 for any firearm made which is not described in 
        paragraph (1).''.
    (c) Conforming Amendment.--Section 4182(a) is amended by adding at 
the end the following: ``For purposes of the preceding sentence, any 
firearm described in section 5811(a)(2) shall be deemed to be a firearm 
on which the tax provided by section 5811 has been paid.''
    (d) Effective Date.--The amendments made by this section shall 
apply to calendar quarters beginning more than 90 days after the date 
of the enactment of this Act.

SEC. 70437. TREATMENT OF CAPITAL GAINS FROM THE SALE OF CERTAIN 
              FARMLAND PROPERTY.

    (a) In General.--Part IV of subchapter O of chapter 1 is amended by 
redesignating section 1062 as section 1063 and by inserting after 
section 1061 the following new section:

``SEC. 1062. GAIN FROM THE SALE OR EXCHANGE OF QUALIFIED FARMLAND 
              PROPERTY TO QUALIFIED FARMERS.

    ``(a) Election to Pay Tax in Installments.--In the case of gain 
from the sale or exchange of qualified farmland property to a qualified 
farmer, at the election of the taxpayer, the portion of the net income 
tax of such taxpayer for the taxable year of the sale or exchange which 
is equal to the applicable net tax liability shall be paid in 4 equal 
installments.
    ``(b) Rules Relating to Installment Payments.--
            ``(1) Date for payment of installments.--If an election is 
        made under subsection (a), the first installment shall be paid 
        on the due date (determined without regard to any extension of 
        time for filing the return) for the return of tax for the 
        taxable year in which the sale or exchange occurs and each 
        succeeding installment shall be paid on the due date (as so 
        determined) for the return of tax for the taxable year 
        following the taxable year with respect to which the preceding 
        installment was made.
            ``(2) Acceleration of payment.--
                    ``(A) In general.--If there is an addition to tax 
                for failure to timely pay any installment required 
                under this section, then the unpaid portion of all 
                remaining installments shall be due on the date of such 
                failure.
                    ``(B) Individuals.--In the case of an individual, 
                if the individual dies, then the unpaid portion of all 
                remaining installment shall be paid on the due date for 
                the return of tax for the taxable year in which the 
                taxpayer dies.
                    ``(C) C corporations.--In the case of a taxpayer 
                which is a C corporation, trust, or estate, if there is 
                a liquidation or sale of substantially all the assets 
                of the taxpayer (including in a title 11 or similar 
                case), a cessation of business by the taxpayer (in the 
                case of a C corporation), or any similar circumstance, 
                then the unpaid portion of all remaining installments 
                shall be due on the date of such event (or in the case 
                of a title 11 or similar case, the day before the 
                petition is filed). The preceding sentence shall not 
                apply to the sale of substantially all the assets of a 
                taxpayer to a buyer if such buyer enters into an 
                agreement with the Secretary under which such buyer is 
                liable for the remaining installments due under this 
                subsection in the same manner as if such buyer were the 
                taxpayer.
            ``(3) Proration of deficiency to installments.--If an 
        election is made under subsection (a) to pay the applicable net 
        tax liability in installments and a deficiency has been 
        assessed with respect to such applicable net tax liability, the 
        deficiency shall be prorated to the installments payable under 
        subsection (a). The part of the deficiency so prorated to any 
        installment the date for payment of which has not arrived shall 
        be collected at the same time as, and as a part of, such 
        installment. The part of the deficiency so prorated to any 
        installment the date for payment of which has arrived shall be 
        paid upon notice and demand from the Secretary. This section 
        shall not apply if the deficiency is due to negligence, to 
        intentional disregard of rules and regulations, or to fraud 
        with intent to evade tax.
    ``(c) Election.--
            ``(1) In general.--Any election under subsection (a) shall 
        be made not later than the due date for the return of tax for 
        the taxable year described in subsection (a).
            ``(2) Partnerships and s corporations.--In the case of a 
        sale or exchange described in subsection (a) by a partnership 
        or S corporation, the election under subsection (a) shall be 
        made at the partner or shareholder level. The Secretary may 
        prescribe such regulations or other guidance as necessary to 
        carry out the purposes of this paragraph.
    ``(d) Definitions.--For purposes of this section--
            ``(1) Applicable net tax liability.--
                    ``(A) In general.--The applicable net tax liability 
                with respect to the sale or exchange of any property 
                described in subsection (a) is the excess (if any) of--
                            ``(i) such taxpayer's net income tax for 
                        the taxable year, over
                            ``(ii) such taxpayer's net income tax for 
                        such taxable year determined without regard to 
                        any gain recognized from the sale or exchange 
                        of such property.
                    ``(B) Net income tax.--The term `net income tax' 
                means the regular tax liability reduced by the credits 
                allowed under subparts A, B, and D of part IV of 
                subchapter A.
            ``(2) Qualified farmland property.--
                    ``(A) In general.--The term `qualified farmland 
                property' means real property located in the United 
                States--
                            ``(i) which--
                                    ``(I) has been used by the taxpayer 
                                as a farm for farming purposes, or
                                    ``(II) leased by the taxpayer to a 
                                qualified farmer for farming purposes,
                        during substantially all of the 10-year period 
                        ending on the date of the qualified sale or 
                        exchange, and
                            ``(ii) which is subject to a covenant or 
                        other legally enforceable restriction which 
                        prohibits the use of such property other than 
                        as a farm for farming purposes for any period 
                        before the date that is 10 years after the date 
                        of the sale or exchange described in subsection 
                        (a).
                For purposes of clause (i), property which is used or 
                leased by a partnership or S corporation in a manner 
                described in such clause shall be treated as used or 
                leased in such manner by each person who holds a direct 
                or indirect interest in such partnership or S 
                corporation.
                    ``(B) Farm; farming purposes.--The terms `farm' and 
                `farming purposes' have the respective meanings given 
                such terms under section 2032A(e).
            ``(3) Qualified farmer.--The term `qualified farmer' means 
        any individual who is actively engaged in farming (within the 
        meaning of subsections (b) and (c) of section 1001 of the Food 
        Security Act of 1986 (7 U.S.C. 1308-1(b) and (c))).
    ``(e) Return Requirement.--A taxpayer making an election under 
subsection (a) shall include with the return for the taxable year of 
the sale or exchange described in subsection (a) a copy of the covenant 
or other legally enforceable restriction described in subsection 
(d)(2)(A)(ii).''.
    (b) Clerical Amendment.--The table of sections for part IV of 
subchapter O of chapter 1 is amended by redesignating the item relating 
to section 1062 as relating to section 1063 and by inserting after the 
item relating to section 1061 the following new item:

``Sec. 1062. Gain from the sale or exchange of qualified farmland 
                            property to qualified farmers.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to sales or exchanges in taxable years beginning after the date 
of the enactment of this Act.

SEC. 70438. EXTENSION OF RULES FOR TREATMENT OF CERTAIN DISASTER-
              RELATED PERSONAL CASUALTY LOSSES.

    For purposes of applying section 304(b) of the Taxpayer Certainty 
and Disaster Tax Relief Act of 2020 (division EE of Public Law 116-
260), section 301 of such Act shall be applied by substituting the date 
of the enactment of this section for ``the date of the enactment of 
this Act'' each place it appears.

SEC. 70439. RESTORATION OF TAXABLE REIT SUBSIDIARY ASSET TEST.

    (a) In General.--Section 856(c)(4)(B)(ii) is amended by striking 
``20 percent'' and inserting ``25 percent''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

  CHAPTER 5--ENDING GREEN NEW DEAL SPENDING, PROMOTING AMERICA-FIRST 
                       ENERGY, AND OTHER REFORMS

         Subchapter A--Termination of Green New Deal Subsidies

SEC. 70501. TERMINATION OF PREVIOUSLY-OWNED CLEAN VEHICLE CREDIT.

    Section 25E(g) is amended by striking ``December 31, 2032'' and 
inserting ``September 30, 2025''.

SEC. 70502. TERMINATION OF CLEAN VEHICLE CREDIT.

    (a) In General.--Section 30D(h) is amended by striking ``placed in 
service after December 31, 2032'' and inserting ``acquired after 
September 30, 2025''.
    (b) Conforming Amendments.--Section 30D(e) is amended--
            (1) in paragraph (1)(B)--
                    (A) in clause (iii), by inserting ``and'' after the 
                comma at the end,
                    (B) in clause (iv), by striking ``, and'' and 
                inserting a period, and
                    (C) by striking clause (v), and
            (2) in paragraph (2)(B)--
                    (A) in clause (ii), by inserting ``and'' after the 
                comma at the end,
                    (B) in clause (iii), by striking the comma at the 
                end and inserting a period, and
                    (C) by striking clauses (iv) through (vi).

SEC. 70503. TERMINATION OF QUALIFIED COMMERCIAL CLEAN VEHICLES CREDIT.

    Section 45W(g) is amended by striking ``December 31, 2032'' and 
inserting ``September 30, 2025''.

SEC. 70504. TERMINATION OF ALTERNATIVE FUEL VEHICLE REFUELING PROPERTY 
              CREDIT.

    Section 30C(i) is amended by striking ``December 31, 2032'' and 
inserting ``June 30, 2026''.

SEC. 70505. TERMINATION OF ENERGY EFFICIENT HOME IMPROVEMENT CREDIT.

    (a) In General.--Section 25C(h) is amended by striking ``placed in 
service'' and all that follows through ``December 31, 2032'' and 
inserting ``placed in service after December 31, 2025''.
    (b) Conforming Amendment.--Section 25C(d)(2)(C) is amended to read 
as follows:
                    ``(C) Any oil furnace or hot water boiler which--
                            ``(i) meets or exceeds 2021 Energy Star 
                        efficiency criteria, and
                            ``(ii) is rated by the manufacturer for use 
                        with fuel blends at least 20 percent of the 
                        volume of which consists of an eligible 
                        fuel.''.

SEC. 70506. TERMINATION OF RESIDENTIAL CLEAN ENERGY CREDIT.

    (a) In General.--Section 25D(h) is amended by striking ``to 
property placed in service after December 31, 2034'' and inserting 
``with respect to any expenditures made after December 31, 2025''.
    (b) Conforming Amendments.--Section 25D(g) is amended--
            (1) in paragraph (2), by inserting ``and'' after the comma 
        at the end,
            (2) in paragraph (3), by striking `` and before January 1, 
        2033, 30 percent,'' and inserting ``30 percent.'', and
            (3) by striking paragraphs (4) and (5).

SEC. 70507. TERMINATION OF ENERGY EFFICIENT COMMERCIAL BUILDINGS 
              DEDUCTION.

    Section 179D is amended by adding at the end the following new 
subsection:
    ``(i) Termination.--This section shall not apply with respect to 
property the construction of which begins after June 30, 2026.''.

SEC. 70508. TERMINATION OF NEW ENERGY EFFICIENT HOME CREDIT.

    Section 45L(h) is amended by striking ``December 31, 2032'' and 
inserting ``June 30, 2026''.

SEC. 70509. TERMINATION OF COST RECOVERY FOR ENERGY PROPERTY.

    (a) Energy Property.--Section 168(e)(3)(B)(vi), as amended by 
section 13703 of Public Law 117-169, is amended--
            (1) by striking subclause (I), and
            (2) by redesignating subclauses (II) and (III) as 
        subclauses (I) and (II), respectively.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply to property the construction of which begins after December 31, 
2024.

SEC. 70510. MODIFICATIONS OF ZERO-EMISSION NUCLEAR POWER PRODUCTION 
              CREDIT.

    (a) Restrictions Relating to Prohibited Foreign Entities.--Section 
45U(c) is amended by adding at the end the following new paragraph:
            ``(3) Restrictions relating to prohibited foreign 
        entities.--
                    ``(A) In general.--No credit shall be determined 
                under subsection (a) for any taxable year beginning 
                after the date of enactment of this paragraph if the 
                taxpayer is a specified foreign entity (as defined in 
                section 7701(a)(51)(B)).
                    ``(B) Other prohibited foreign entities.--No credit 
                shall be determined under subsection (a) for any 
                taxable year beginning after the date which is 2 years 
                after the date of enactment of this paragraph if the 
                taxpayer is a foreign-influenced entity (as defined in 
                section 7701(a)(51)(D), without regard to clause 
                (i)(II) thereof).''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of enactment of this 
Act.

SEC. 70511. TERMINATION OF CLEAN HYDROGEN PRODUCTION CREDIT.

    Section 45V(c)(3)(C) is amended by striking ``January 1, 2033'' and 
inserting ``January 1, 2028''.

SEC. 70512. TERMINATION AND RESTRICTIONS ON CLEAN ELECTRICITY 
              PRODUCTION CREDIT.

    (a) Termination for Wind and Solar Facilities.--Section 45Y(d) is 
amended--
            (1) in paragraph (1), by striking ``The amount of'' and 
        inserting ``Subject to paragraph (4), the amount of'', and
            (2) by striking paragraph (3) and inserting the following 
        new paragraphs:
            ``(3) Applicable year.--For purposes of this subsection, 
        the term `applicable year' means calendar year 2032.
            ``(4) Termination for wind and solar facilities.--
                    ``(A) In general.--This section shall not apply 
                with respect to any applicable facility placed in 
                service after December 31, 2027.
                    ``(B) Applicable facility.--For purposes of this 
                paragraph, the term `applicable facility' means a 
                qualified facility which--
                            ``(i) uses wind to produce electricity 
                        (within the meaning of such term as used in 
                        section 45(d)(1), as determined without regard 
                        to any requirement under such section with 
                        respect to the date on which construction of 
                        property begins), or
                            ``(ii) uses solar energy to produce 
                        electricity (within the meaning of such term as 
                        used in section 45(d)(4), as determined without 
                        regard to any requirement under such section 
                        with respect to the date on which construction 
                        of property begins).''.
    (b) Restrictions Relating to Prohibited Foreign Entities.--Section 
45Y is amended--
            (1) in subsection (b)(1), by adding at the end the 
        following new subparagraph:
                    ``(E) Material assistance from prohibited foreign 
                entities.--The term `qualified facility' shall not 
                include any facility for which construction begins 
                after December 31, 2025, if the construction of such 
                facility includes any material assistance from a 
                prohibited foreign entity (as defined in section 
                7701(a)(52)).'', and
            (2) in subsection (g), by adding at the end the following 
        new paragraph:
            ``(13) Restrictions relating to prohibited foreign 
        entities.--
                    ``(A) In general.--No credit shall be determined 
                under subsection (a) for any taxable year if the 
                taxpayer is--
                            ``(i) a specified foreign entity (as 
                        defined in section 7701(a)(51)(B)), or
                            ``(ii) a foreign-influenced entity (as 
                        defined in section 7701(a)(51)(D), without 
                        regard to clause (i)(II) thereof).
                    ``(B) Effective control.--In the case of a taxpayer 
                for which section 7701(a)(51)(D)(i)(II) is determined 
                to apply for any taxable year, no credit shall be 
                determined under subsection (a) for such taxable year 
                if such determination relates to a qualified facility 
                described in subsection (b)(1).''.
    (c) Definitions Relating to Prohibited Foreign Entities.--Section 
7701(a) is amended by adding at the end the following new paragraphs:
            ``(51) Prohibited foreign entity.--
                    ``(A) In general.--
                            ``(i) Definition.--The term `prohibited 
                        foreign entity' means a specified foreign 
                        entity or a foreign-influenced entity.
                            ``(ii) Determination.--
                                    ``(I) In general.--Subject to 
                                subclause (II), for any taxable year, 
                                the determination as to whether an 
                                entity is a specified foreign entity or 
                                foreign-influenced entity shall be made 
                                as of the last day of such taxable 
                                year.
                                    ``(II) Initial taxable year.--For 
                                purposes of the first taxable year 
                                beginning after the date of enactment 
                                of this paragraph, the determination as 
                                to whether an entity is a specified 
                                foreign entity described in clauses (i) 
                                through (iv) of subparagraph (B) shall 
                                be made as of the first day of such 
                                taxable year.
                    ``(B) Specified foreign entity.--For purposes of 
                this paragraph, the term `specified foreign entity' 
                means--
                            ``(i) a foreign entity of concern described 
                        in subparagraph (A), (B), (D), or (E) of 
                        section 9901(8) of the William M. (Mac) 
                        Thornberry National Defense Authorization Act 
                        for Fiscal Year 2021 (Public Law 116-283; 15 
                        U.S.C. 4651),
                            ``(ii) an entity identified as a Chinese 
                        military company operating in the United States 
                        in accordance with section 1260H of the William 
                        M. (Mac) Thornberry National Defense 
                        Authorization Act for Fiscal Year 2021 (Public 
                        Law 116-283; 10 U.S.C. 113 note),
                            ``(iii) an entity included on a list 
                        required by clause (i), (ii), (iv), or (v) of 
                        section 2(d)(2)(B) of Public Law 117-78 (135 
                        Stat. 1527),
                            ``(iv) an entity specified under section 
                        154(b) of the National Defense Authorization 
                        Act for Fiscal Year 2024 (Public Law 118-31; 10 
                        U.S.C. note prec. 4651), or
                            ``(v) a foreign-controlled entity.
                    ``(C) Foreign-controlled entity.--For purposes of 
                subparagraph (B), the term `foreign-controlled entity' 
                means--
                            ``(i) the government (including any level 
                        of government below the national level) of a 
                        covered nation,
                            ``(ii) an agency or instrumentality of a 
                        government described in clause (i),
                            ``(iii) a person who is a citizen or 
                        national of a covered nation, provided that 
                        such person is not an individual who is a 
                        citizen, national, or lawful permanent resident 
                        of the United States,
                            ``(iv) an entity or a qualified business 
                        unit (as defined in section 989(a)) 
                        incorporated or organized under the laws of, or 
                        having its principal place of business in, a 
                        covered nation, or
                            ``(v) an entity (including subsidiary 
                        entities) controlled (as determined under 
                        subparagraph (G)) by an entity described in 
                        clause (i), (ii), (iii), or (iv).
                    ``(D) Foreign-influenced entity.--
                            ``(i) In general.--For purposes of 
                        subparagraph (A), the term `foreign-influenced 
                        entity' means an entity--
                                    ``(I) with respect to which, during 
                                the taxable year--
                                            ``(aa) a specified foreign 
                                        entity has the direct authority 
                                        to appoint a covered officer of 
                                        such entity,
                                            ``(bb) a single specified 
                                        foreign entity owns at least 25 
                                        percent of such entity,
                                            ``(cc) one or more 
                                        specified foreign entities own 
                                        in the aggregate at least 40 
                                        percent of such entity, or
                                            ``(dd) at least 15 percent 
                                        of the debt of such entity has 
                                        been issued, in the aggregate, 
                                        to 1 or more specified foreign 
                                        entities, or
                                    ``(II) which, during the previous 
                                taxable year, made a payment to a 
                                specified foreign entity pursuant to a 
                                contract, agreement, or other 
                                arrangement which entitles such 
                                specified foreign entity (or an entity 
                                related to such specified foreign 
                                entity) to exercise effective control 
                                over--
                                            ``(aa) any qualified 
                                        facility or energy storage 
                                        technology of the taxpayer (or 
                                        any person related to the 
                                        taxpayer), or
                                            ``(bb) with respect to any 
                                        eligible component produced by 
                                        the taxpayer (or any person 
                                        related to the taxpayer)--

                                                    ``(AA) the 
                                                extraction, processing, 
                                                or recycling of any 
                                                applicable critical 
                                                mineral, or

                                                    ``(BB) the 
                                                production of an 
                                                eligible component 
                                                which is not an 
                                                applicable critical 
                                                mineral.

                            ``(ii) Effective control.--
                                    ``(I) In general.--
                                            ``(aa) General rule.--
                                        Subject to subclause (II), for 
                                        purposes of clause (i)(II), the 
                                        term `effective control' means 
                                        1 or more agreements or 
                                        arrangements similar to those 
                                        described in subclauses (II) 
                                        and (III) which provide 1 or 
                                        more contractual counterparties 
                                        of a taxpayer with specific 
                                        authority over key aspects of 
                                        the production of eligible 
                                        components, energy generation 
                                        in a qualified facility, or 
                                        energy storage which are not 
                                        included in the measures of 
                                        control through authority, 
                                        ownership, or debt held which 
                                        are described in clause (i)(I).
                                            ``(bb) Guidance.--The 
                                        Secretary shall issue such 
                                        guidance as is necessary to 
                                        carry out the purposes of this 
                                        clause, including the 
                                        establishment of rules to 
                                        prevent entities from evading, 
                                        circumventing, or abusing the 
                                        application of the restrictions 
                                        described subparagraph (C) and 
                                        subclauses (II) and (III) of 
                                        this clause through a contract, 
                                        agreement, or other 
                                        arrangement.
                                    ``(II) Application of rules prior 
                                to issuance of guidance.--During any 
                                period prior to the date that the 
                                guidance described in subclause (I)(bb) 
                                is issued by the Secretary, for 
                                purposes of clause (i)(II), the term 
                                `effective control' means the 
                                unrestricted contractual right of a 
                                contractual counterparty to--
                                            ``(aa) determine the 
                                        quantity or timing of 
                                        production of an eligible 
                                        component produced by the 
                                        taxpayer,
                                            ``(bb) determine the amount 
                                        or timing of activities related 
                                        to the production of 
                                        electricity undertaken at a 
                                        qualified facility of the 
                                        taxpayer or the storage of 
                                        electrical energy in energy 
                                        storage technology of the 
                                        taxpayer,
                                            ``(cc) determine which 
                                        entity may purchase or use the 
                                        output of a production unit of 
                                        the taxpayer that produces 
                                        eligible components,
                                            ``(dd) determine which 
                                        entity may purchase or use the 
                                        output of a qualified facility 
                                        of the taxpayer,
                                            ``(ee) restrict access to 
                                        data critical to production or 
                                        storage of energy undertaken at 
                                        a qualified facility of the 
                                        taxpayer, or to the site of 
                                        production or any part of a 
                                        qualified facility or energy 
                                        storage technology of the 
                                        taxpayer, to the personnel or 
                                        agents of such contractual 
                                        counterparty, or
                                            ``(ff) on an exclusive 
                                        basis, maintain, repair, or 
                                        operate any plant or equipment 
                                        which is necessary to the 
                                        production by the taxpayer of 
                                        eligible components or 
                                        electricity.
                                    ``(III) Licensing and other 
                                agreements.--
                                            ``(aa) In general.--In 
                                        addition to subclause (II), for 
                                        purposes of clause (i)(II), the 
                                        term `effective control' means, 
                                        with respect to a licensing 
                                        agreement for the provision of 
                                        intellectual property (or any 
                                        other contract, agreement or 
                                        other arrangement entered into 
                                        with a contractual counterparty 
                                        related to such licensing 
                                        agreement) with respect to a 
                                        qualified facility, energy 
                                        storage technology, or the 
                                        production of an eligible 
                                        component, any of the 
                                        following:

                                                    ``(AA) A 
                                                contractual right 
                                                retained by the 
                                                contractual 
                                                counterparty to specify 
                                                or otherwise direct 1 
                                                or more sources of 
                                                components, 
                                                subcomponents, or 
                                                applicable critical 
                                                minerals utilized in a 
                                                qualified facility, 
                                                energy storage 
                                                technology, or in the 
                                                production of an 
                                                eligible component.

                                                    ``(BB) A 
                                                contractual right 
                                                retained by the 
                                                contractual 
                                                counterparty to direct 
                                                the operation of any 
                                                qualified facility, any 
                                                energy storage 
                                                technology, or any 
                                                production unit that 
                                                produces an eligible 
                                                component.

                                                    ``(CC) A 
                                                contractual right 
                                                retained by the 
                                                contractual 
                                                counterparty to limit 
                                                the taxpayer's 
                                                utilization of 
                                                intellectual property 
                                                related to the 
                                                operation of a 
                                                qualified facility or 
                                                energy storage 
                                                technology, or in the 
                                                production of an 
                                                eligible component.

                                                    ``(DD) A 
                                                contractual right 
                                                retained by the 
                                                contractual 
                                                counterparty to receive 
                                                royalties under the 
                                                licensing agreement or 
                                                any similar agreement 
                                                (or payments under any 
                                                related agreement) 
                                                beyond the 10th year of 
                                                the agreement 
                                                (including 
                                                modifications or 
                                                extensions thereof).

                                                    ``(EE) A 
                                                contractual right 
                                                retained by the 
                                                contractual 
                                                counterparty to direct 
                                                or otherwise require 
                                                the taxpayer to enter 
                                                into an agreement for 
                                                the provision of 
                                                services for a duration 
                                                longer than 2 years 
                                                (including any 
                                                modifications or 
                                                extensions thereof).

                                                    ``(FF) Such 
                                                contract, agreement, or 
                                                other arrangement does 
                                                not provide the 
                                                licensee with all the 
                                                technical data, 
                                                information, and know-
                                                how necessary to enable 
                                                the licensee to produce 
                                                the eligible component 
                                                or components subject 
                                                to the contract, 
                                                agreement, or other 
                                                arrangement without 
                                                further involvement 
                                                from the contractual 
                                                counterparty or a 
                                                specified foreign 
                                                entity.

                                                    ``(GG) Such 
                                                contract, agreement, or 
                                                other arrangement was 
                                                entered into (or 
                                                modified) on or after 
                                                the date of enactment 
                                                of this paragraph.

                                            ``(bb) Exception.--

                                                    ``(AA) In 
                                                general.--Item (aa) 
                                                shall not apply in the 
                                                case of a bona fide 
                                                purchase or sale of 
                                                intellectual property.

                                                    ``(BB) Bona fide 
                                                purchase or sale.--For 
                                                purposes of item (aa), 
                                                any purchase or sale of 
                                                intellectual property 
                                                where the agreement 
                                                provides that ownership 
                                                of the intellectual 
                                                property reverts to the 
                                                contractual 
                                                counterparty after a 
                                                period of time shall 
                                                not be considered a 
                                                bona-fide purchase or 
                                                sale.

                                    ``(IV) Persons related to the 
                                taxpayer.--For purposes of subclauses 
                                (I), (II), and (III), the term 
                                `taxpayer' shall include any person 
                                related to the taxpayer.
                                    ``(V) Contractual counterparty.--
                                For purposes of this clause, the term 
                                `contractual counterparty' means an 
                                entity with which the taxpayer has 
                                entered into a contract, agreement, or 
                                other arrangement.
                            ``(iii) Guidance.--Not later than December 
                        31, 2026, the Secretary shall issue such 
                        guidance as is necessary to carry out the 
                        purposes of this subparagraph, including 
                        establishment of rules to prevent entities from 
                        evading, circumventing, or abusing the 
                        application of the restrictions against 
                        impermissible technology licensing arrangements 
                        with specified foreign entities, such as 
                        through temporary transfers of intellectual 
                        property, retention by a specified foreign 
                        entity of a reversionary interest in 
                        transferred intellectual property, or 
                        otherwise.
                    ``(E) Publicly traded entities.--
                            ``(i) In general.--
                                    ``(I) Nonapplication of certain 
                                foreign-controlled entity rules.--
                                Subparagraph (C)(v) shall not apply in 
                                the case of any entity the securities 
                                of which are regularly traded on--
                                            ``(aa) a national 
                                        securities exchange which is 
                                        registered with the Securities 
                                        and Exchange Commission,
                                            ``(bb) the national market 
                                        system established pursuant to 
                                        section 11A of the Securities 
                                        and Exchange Act of 1934, or
                                            ``(cc) any other exchange 
                                        or other market which the 
                                        Secretary has determined in 
                                        guidance issued under section 
                                        1296(e)(1)(A)(ii) has rules 
                                        adequate to carry out the 
                                        purposes of part VI of 
                                        subchapter P of chapter 1 of 
                                        subtitle A.
                                    ``(II) Nonapplication of certain 
                                foreign-influenced entity rules.--
                                Subparagraph (D)(i)(I) shall not apply 
                                in the case of any entity--
                                            ``(aa) the securities of 
                                        which are regularly traded in a 
                                        manner described in subclause 
                                        (I), or
                                            ``(bb) for which not less 
                                        than 80 percent of the equity 
                                        securities of such entity are 
                                        owned directly or indirectly by 
                                        an entity which is described in 
                                        item (aa).
                                    ``(III) Exclusion of exchanges or 
                                markets in covered nations.--Subclause 
                                (I)(cc) shall not apply with respect to 
                                any exchange or market which--
                                            ``(aa) is incorporated or 
                                        organized under the laws of a 
                                        covered nation, or
                                            ``(bb) has its principal 
                                        place of business in a covered 
                                        nation.
                            ``(ii) Additional foreign-controlled entity 
                        requirements for publicly traded companies.--In 
                        the case of an entity described in clause 
                        (i)(I), such entity shall be deemed to be a 
                        foreign-controlled entity under subparagraph 
                        (C)(v) if such entity is controlled (as 
                        determined under subparagraph (G)) by--
                                    ``(I) 1 or more specified foreign 
                                entities (as determined without regard 
                                to subparagraph (B)(v)) that are each 
                                required to report their beneficial 
                                ownership pursuant to a rule described 
                                in clause (iii)(I)(bb), or
                                    ``(II) 1 or more foreign-controlled 
                                entities (as determined without regard 
                                to subparagraph (C)(v)) that are each 
                                required to report their beneficial 
                                ownership pursuant to a rule described 
                                in such clause.
                            ``(iii) Additional foreign-influenced 
                        entity requirements for publicly traded 
                        companies.--In the case of an entity described 
                        in clause (i)(II), such entity shall be deemed 
                        to be a foreign-influenced entity under 
                        subparagraph (D)(i)(I) if--
                                    ``(I) during the taxable year--
                                            ``(aa) a specified foreign 
                                        entity has the authority to 
                                        appoint a covered officer of 
                                        such entity,
                                            ``(bb) a single specified 
                                        foreign entity required to 
                                        report its beneficial ownership 
                                        under Rule 13d-3 of the 
                                        Securities and Exchange Act of 
                                        1934 (or, in the case of an 
                                        exchange or market described in 
                                        clause (i)(I)(cc), an 
                                        equivalent rule) owns not less 
                                        than 25 percent of such entity, 
                                        or
                                            ``(cc) 1 or more specified 
                                        foreign entities that are each 
                                        required to report their 
                                        beneficial ownership under Rule 
                                        13d-3 of the Securities and 
                                        Exchange Act of 1934 own, in 
                                        the aggregate, not less than 40 
                                        percent of such entity, or
                                    ``(II) such entity has issued debt, 
                                as part of an original issuance, in 
                                excess of 15 percent of its publicly-
                                traded debt to 1 or more specified 
                                foreign entities.
                    ``(F) Covered officer.--For purposes of this 
                paragraph, the term `covered officer' means, with 
                respect to an entity--
                            ``(i) a member of the board of directors, 
                        board of supervisors, or equivalent governing 
                        body,
                            ``(ii) an executive-level officer, 
                        including the president, chief executive 
                        officer, chief operating officer, chief 
                        financial officer, general counsel, or senior 
                        vice president, or
                            ``(iii) an individual having powers or 
                        responsibilities similar to those of officers 
                        or members described in clause (i) or (ii).
                    ``(G) Determination of control.--For purposes of 
                subparagraph (C)(v), the term `control' means--
                            ``(i) in the case of a corporation, 
                        ownership (by vote or value) of more than 50 
                        percent of the stock in such corporation,
                            ``(ii) in the case of a partnership, 
                        ownership of more than 50 percent of the 
                        profits interests or capital interests in such 
                        partnership, or
                            ``(iii) in any other case, ownership of 
                        more than 50 percent of the beneficial 
                        interests in the entity.
                    ``(H) Determination of ownership.--For purposes of 
                this paragraph, section 318(a)(2) shall apply for 
                purposes of determining ownership of stock in a 
                corporation. Similar principles shall apply for 
                purposes of determining ownership of interests in any 
                other entity.
                    ``(I) Other definitions.--For purposes of this 
                paragraph--
                            ``(i) Applicable critical mineral.--The 
                        term `applicable critical mineral' has the same 
                        meaning given such term under section 
                        45X(c)(6).
                            ``(ii) Covered nation.--The term `covered 
                        nation' has the same meaning given such term 
                        under section 4872(f)(2) of title 10, United 
                        States Code.
                            ``(iii) Eligible component.--The term 
                        `eligible component' has the same meaning given 
                        such term under section 45X(c)(1).
                            ``(iv) Energy storage technology.--The term 
                        `energy storage technology' has the same 
                        meaning given such term under section 
                        48E(c)(2).
                            ``(v) Qualified facility.--The term 
                        `qualified facility' means--
                                    ``(I) a qualified facility, as 
                                defined in section 45Y(b)(1), and
                                    ``(II) a qualified facility, as 
                                defined in section 48E(b)(3).
                            ``(vi) Related.--The term `related' shall 
                        have the same meaning given such term under 
                        sections 267(b) and 707(b).
                    ``(J) Beginning of construction.--For purposes of 
                applying any provision under this paragraph, the 
                beginning of construction with respect to any property 
                shall be determined pursuant to rules similar to the 
                rules under Internal Revenue Service Notice 2013-29 and 
                Internal Revenue Service Notice 2018-59 (as well as any 
                subsequently issued guidance clarifying, modifying, or 
                updating either such Notice), as in effect on January 
                1, 2025.
                    ``(K) Regulations and guidance.--The Secretary may 
                prescribe such regulations and guidance as may be 
                necessary or appropriate to carry out the provisions of 
                this paragraph, including rules to prevent the 
                circumvention of any rules or restrictions with respect 
                to prohibited foreign entities.
            ``(52) Material assistance from a prohibited foreign 
        entity.--
                    ``(A) In general.--The term `material assistance 
                from a prohibited foreign entity' means--
                            ``(i) with respect to any qualified 
                        facility or energy storage technology, a 
                        material assistance cost ratio which is less 
                        than the threshold percentage applicable under 
                        subparagraph (B), or
                            ``(ii) with respect to any facility which 
                        produces eligible components, a material 
                        assistance cost ratio which is less than the 
                        threshold percentage applicable under 
                        subparagraph (C).
                    ``(B) Threshold percentage for qualified facilities 
                and energy storage technology.--For purposes of 
                subparagraph (A)(i), the threshold percentage shall 
                be--
                            ``(i) in the case of a qualified facility 
                        the construction of which begins--
                                    ``(I) during calendar year 2026, 40 
                                percent,
                                    ``(II) during calendar year 2027, 
                                45 percent,
                                    ``(III) during calendar year 2028, 
                                50 percent,
                                    ``(IV) during calendar year 2029, 
                                55 percent, and
                                    ``(V) after December 31, 2029, 60 
                                percent, and
                            ``(ii) in the case of energy storage 
                        technology the construction of which begins--
                                    ``(I) during calendar year 2026, 55 
                                percent,
                                    ``(II) during calendar year 2027, 
                                60 percent,
                                    ``(III) during calendar year 2028, 
                                65 percent,
                                    ``(IV) during calendar year 2029, 
                                70 percent, and
                                    ``(V) after December 31, 2029, 75 
                                percent.
                    ``(C) Threshold percentage for eligible 
                components.--
                            ``(i) In general.--For purposes of 
                        subparagraph (A)(ii), the threshold percentage 
                        shall be--
                                    ``(I) in the case of any solar 
                                energy component (as such term is 
                                defined in section 45X(c)(3)(A)) which 
                                is sold--
                                            ``(aa) during calendar year 
                                        2026, 50 percent,
                                            ``(bb) during calendar year 
                                        2027, 60 percent,
                                            ``(cc) during calendar year 
                                        2028, 70 percent,
                                            ``(dd) during calendar year 
                                        2029, 80 percent, and
                                            ``(ee) after December 31, 
                                        2029, 85 percent,
                                    ``(II) in the case of any wind 
                                energy component (as such term is 
                                defined in section 45X(c)(4)(A)) which 
                                is sold--
                                            ``(aa) during calendar year 
                                        2026, 85 percent, and
                                            ``(bb) during calendar year 
                                        2027, 90 percent,
                                    ``(III) in the case of any inverter 
                                described in subparagraphs (B) through 
                                (G) of section 45X(c)(2) which is 
                                sold--
                                            ``(aa) during calendar year 
                                        2026, 50 percent,
                                            ``(bb) during calendar year 
                                        2027, 55 percent,
                                            ``(cc) during calendar year 
                                        2028, 60 percent,
                                            ``(dd) during calendar year 
                                        2029, 65 percent, and
                                            ``(ee) after December 31, 
                                        2029, 70 percent,
                                    ``(IV) in the case of any 
                                qualifying battery component (as such 
                                term is defined in section 
                                45X(c)(5)(A)) which is sold--
                                            ``(aa) during calendar year 
                                        2026, 60 percent,
                                            ``(bb) during calendar year 
                                        2027, 65 percent,
                                            ``(cc) during calendar year 
                                        2028, 70 percent,
                                            ``(dd) during calendar year 
                                        2029, 80 percent, and
                                            ``(ee) after December 31, 
                                        2029, 85 percent, and
                                    ``(V) subject to clause (ii), in 
                                the case of any applicable critical 
                                mineral (as such term is defined in 
                                section 45X(c)(6)) which is sold--
                                            ``(aa) after December 31, 
                                        2025, and before January 1, 
                                        2030, 0 percent,
                                            ``(bb) during calendar year 
                                        2030, 25 percent,
                                            ``(cc) during calendar year 
                                        2031, 30 percent,
                                            ``(dd) during calendar year 
                                        2032, 40 percent, and
                                            ``(ee) after December 31, 
                                        2032, 50 percent.
                            ``(ii) Adjusted threshold percentage for 
                        applicable critical minerals.--Not later than 
                        December 31, 2027, the Secretary shall issue 
                        threshold percentages for each of the 
                        applicable critical minerals described in 
                        section 45X(c)(6)), which shall--
                                    ``(I) apply in lieu of the 
                                threshold percentage determined under 
                                clause (i)(V) for each calendar year, 
                                and
                                    ``(II) equal or exceed the 
                                threshold percentage which would 
                                otherwise apply with respect to such 
                                applicable critical mineral under such 
                                clause for such calendar year, taking 
                                into account--
                                            ``(aa) domestic geographic 
                                        availability,
                                            ``(bb) supply chain 
                                        constraints,
                                            ``(cc) domestic processing 
                                        capacity needs, and
                                            ``(dd) national security 
                                        concerns.
                    ``(D) Material assistance cost ratio.--
                            ``(i) Qualified facilities and energy 
                        storage technology.--For purposes of 
                        subparagraph (A)(i), the term `material 
                        assistance cost ratio' means the amount 
                        (expressed as a percentage) equal to the 
                        quotient of--
                                    ``(I) an amount equal to--
                                            ``(aa) the total direct 
                                        costs to the taxpayer 
                                        attributable to all 
                                        manufactured products 
                                        (including components) which 
                                        are incorporated into the 
                                        qualified facility or energy 
                                        storage technology upon 
                                        completion of construction, 
                                        minus
                                            ``(bb) the total direct 
                                        costs to the taxpayer 
                                        attributable to all 
                                        manufactured products 
                                        (including components) which 
                                        are--

                                                    ``(AA) incorporated 
                                                into the qualified 
                                                facility or energy 
                                                storage technology upon 
                                                completion of 
                                                construction, and

                                                    ``(BB) mined, 
                                                produced, or 
                                                manufactured by a 
                                                prohibited foreign 
                                                entity, divided by

                                    ``(II) the amount described in 
                                subclause (I)(aa).
                            ``(ii) Eligible components.--For purposes 
                        of subparagraph (A)(ii), the term `material 
                        assistance cost ratio' means the amount 
                        (expressed as a percentage) equal to the 
                        quotient of--
                                    ``(I) an amount equal to--
                                            ``(aa) with respect to an 
                                        eligible component, the total 
                                        direct material costs that are 
                                        paid or incurred (within the 
                                        meaning of section 461 and any 
                                        regulations issued under 
                                        section 263A) by the taxpayer 
                                        for production of such eligible 
                                        component, minus
                                            ``(bb) with respect to an 
                                        eligible component, the total 
                                        direct material costs that are 
                                        paid or incurred (within the 
                                        meaning of section 461 and any 
                                        regulations issued under 
                                        section 263A) by the taxpayer 
                                        for production of such eligible 
                                        component that are mined, 
                                        produced, or manufactured by a 
                                        prohibited foreign entity, 
                                        divided by
                                    ``(II) the amount described in 
                                subclause (I)(aa).
                            ``(iii) Safe harbor tables.--
                                    ``(I) In general.--Not later than 
                                December 31, 2026, the Secretary shall 
                                issue safe harbor tables (and such 
                                other guidance as deemed necessary) 
                                to--
                                            ``(aa) identify the 
                                        percentage of total direct 
                                        costs of any manufactured 
                                        product which is attributable 
                                        to a prohibited foreign entity,
                                            ``(bb) identify the 
                                        percentage of total direct 
                                        material costs of any eligible 
                                        component which is attributable 
                                        to a prohibited foreign entity, 
                                        and
                                            ``(cc) provide all rules 
                                        necessary to determine the 
                                        amount of a taxpayer's material 
                                        assistance from a prohibited 
                                        foreign entity within the 
                                        meaning of this paragraph.
                                    ``(II) Safe harbors prior to 
                                issuance.--For purposes of this 
                                paragraph, prior to the date on which 
                                the Secretary issues the safe harbor 
                                tables described in subclause (I), and 
                                for construction of a qualified 
                                facility or energy storage technology 
                                which begins on or before the date 
                                which is 60 days after the date of 
                                issuance of such tables, a taxpayer 
                                may--
                                            ``(aa) use the tables 
                                        included in Internal Revenue 
                                        Service Notice 2025-08 to 
                                        establish the percentage of the 
                                        total direct costs of any 
                                        listed eligible component and 
                                        any manufactured product, and
                                            ``(bb) rely on a 
                                        certification by the supplier 
                                        of the manufactured product, 
                                        eligible component, or 
                                        constituent element, material, 
                                        or subcomponent of an eligible 
                                        component--

                                                    ``(AA) of the total 
                                                direct costs or the 
                                                total direct material 
                                                costs, as applicable, 
                                                of such product or 
                                                component that was not 
                                                produced or 
                                                manufactured by a 
                                                prohibited foreign 
                                                entity, or

                                                    ``(BB) that such 
                                                product or component 
                                                was not produced or 
                                                manufactured by a 
                                                prohibited foreign 
                                                entity.

                                    ``(III) Exception.--Notwithstanding 
                                subclauses (I) and (II)--
                                            ``(aa) if the taxpayer 
                                        knows (or has reason to know) 
                                        that a manufactured product or 
                                        eligible component was produced 
                                        or manufactured by a prohibited 
                                        foreign entity, the taxpayer 
                                        shall treat all direct costs 
                                        with respect to such 
                                        manufactured product, or all 
                                        direct material costs with 
                                        respect to such eligible 
                                        component, as attributable to a 
                                        prohibited foreign entity, and
                                            ``(bb) if the taxpayer 
                                        knows (or has reason to know) 
                                        that the certification referred 
                                        to in subclause (II)(bb) 
                                        pertaining to a manufactured 
                                        product or eligible component 
                                        is inaccurate, the taxpayer may 
                                        not rely on such certification.
                                    ``(IV) Certification requirement.--
                                In a manner consistent with Treasury 
                                Regulation section 1.45X-4(c)(4)(i) (as 
                                in effect on the date of enactment of 
                                this paragraph), the certification 
                                referred to in subclause (II)(bb) 
                                shall--
                                            ``(aa) include--

                                                    ``(AA) the 
                                                supplier's employer 
                                                identification number, 
                                                or

                                                    ``(BB) any such 
                                                similar identification 
                                                number issued by a 
                                                foreign government,

                                            ``(bb) be signed under 
                                        penalties of perjury,
                                            ``(cc) be retained by the 
                                        supplier and the taxpayer for a 
                                        period of not less than 6 years 
                                        and shall be provided to the 
                                        Secretary upon request, and
                                            ``(dd) be from the supplier 
                                        from which the taxpayer 
                                        purchased any manufactured 
                                        product, eligible component, or 
                                        constituent elements, 
                                        materials, or subcomponents of 
                                        an eligible component, 
                                        stating--

                                                    ``(AA) that such 
                                                property was not 
                                                produced or 
                                                manufactured by a 
                                                prohibited foreign 
                                                entity and that the 
                                                supplier does not know 
                                                (or have reason to 
                                                know) that any prior 
                                                supplier in the chain 
                                                of production of that 
                                                property is a 
                                                prohibited foreign 
                                                entity,

                                                    ``(BB) for purposes 
                                                of section 45X, the 
                                                total direct material 
                                                costs for each 
                                                component, constituent 
                                                element, material, or 
                                                subcomponent that were 
                                                not produced or 
                                                manufactured by a 
                                                prohibited foreign 
                                                entity, or

                                                    ``(CC) for purposes 
                                                of section 45Y or 
                                                section 48E, the total 
                                                direct costs 
                                                attributable to all 
                                                manufactured products 
                                                that were not produced 
                                                or manufactured by a 
                                                prohibited foreign 
                                                entity.

                            ``(iv) Existing contract.--Upon the 
                        election of the taxpayer (in such form and 
                        manner as the Secretary shall designate), in 
                        the case of any manufactured product, eligible 
                        component, or constituent element, material, or 
                        subcomponent of an eligible component which 
                        is--
                                    ``(I) acquired by the taxpayer, or 
                                manufactured or assembled by or for the 
                                taxpayer, pursuant to a binding written 
                                contract which was entered into prior 
                                to June 16, 2025, and
                                    ``(II)(aa) placed into service 
                                before January 1, 2030 (or, in the case 
                                of an applicable facility, as defined 
                                in section 45Y(d)(4)(B), before January 
                                1, 2028) in a facility the construction 
                                of which began before August 1, 2025, 
                                or
                                    ``(bb) in the case of a constituent 
                                element, material, or subcomponent, 
                                used in a product sold before January 
                                1, 2030,
                        the cost to the taxpayer with respect to such 
                        product, component, element, material, or 
                        subcomponent shall not be included for purposes 
                        of determining the material assistance cost 
                        ratio under this subparagraph.
                            ``(v) Anti-circumvention rules.--The 
                        Secretary shall prescribe such regulations and 
                        guidance as may be necessary or appropriate to 
                        prevent circumvention of the rules under this 
                        subparagraph, including prevention of--
                                    ``(I) any abuse of the exception 
                                provided under clause (iv) through the 
                                stockpiling of any manufactured 
                                product, eligible component, or 
                                constituent element, material, or 
                                subcomponent of an eligible component 
                                during any period prior to the 
                                application of the requirements under 
                                this paragraph, or
                                    ``(II) any evasion with respect to 
                                the requirements of this subparagraph 
                                where the facts and circumstances 
                                demonstrate that the beginning of 
                                construction of a qualified facility or 
                                energy storage technology has not in 
                                fact occurred.
                    ``(E) Other definitions.--For purposes of this 
                paragraph--
                            ``(i) Eligible component.--The term 
                        `eligible component' means--
                                    ``(I) any property described in 
                                section 45X(c)(1), or
                                    ``(II) any component which is 
                                identified by the Secretary pursuant to 
                                regulations or guidance issued under 
                                subparagraph (G).
                            ``(ii) Energy storage technology.--The term 
                        `energy storage technology' has the same 
                        meaning given such term under section 
                        48E(c)(2).
                            ``(iii) Manufactured product.--The term 
                        `manufactured product' means--
                                    ``(I) a manufactured product which 
                                is a component of a qualified facility, 
                                as described in section 45Y(g)(11)(B) 
                                and any guidance issued thereunder, or
                                    ``(II) any product which is 
                                identified by the Secretary pursuant to 
                                regulations or guidance issued under 
                                subparagraph (G).
                            ``(iv) Qualified facility.--The term 
                        `qualified facility' means--
                                    ``(I) a qualified facility, as 
                                defined in section 45Y(b)(1),
                                    ``(II) a qualified facility, as 
                                defined in section 48E(b)(3), and
                                    ``(III) any qualified 
                                interconnection property (as defined in 
                                section 48E(b)(4)) which is part of the 
                                qualified investment with respect to a 
                                qualified facility (as described in 
                                section 48E(b)(1)).
                    ``(F) Determination of ownership; beginning of 
                construction.--Rules similar to the rules under 
                subparagraphs (H) and (J) of paragraph (51) shall apply 
                for purposes of this paragraph.
                    ``(G) Regulations and guidance.--The Secretary may 
                prescribe such regulations and guidance as may be 
                necessary or appropriate to carry out the provisions of 
                this paragraph, including--
                            ``(i) identification of components or 
                        products for purposes of clauses (i) and (iii) 
                        of subparagraph (E), and
                            ``(ii) for purposes of subparagraph 
                        (A)(ii), rules to address facilities which 
                        produce more than one eligible component.''.
    (d) Denial of Credit for Certain Wind and Solar Leasing 
Arrangements.--Section 45Y is amended by adding at the end the 
following new subsection:
    ``(h) Denial of Credit for Wind and Solar Leasing Arrangements.--No 
credit shall be determined under this section with respect to any 
production of electricity during the taxable year with respect to 
property described in paragraph (1) or (4) of section 25D(d) (as 
applied by substituting `lessee' for `taxpayer') if the taxpayer rents 
or leases such property to a third party during such taxable year.''.
    (e) Emissions Rates Tables.--Section 45Y(b)(2)(C) is amended by 
adding at the end the following new clause:
                            ``(iii) Existing studies.--For purposes of 
                        clause (i), in determining greenhouse gas 
                        emissions rates for types or categories of 
                        facilities for the purpose of determining 
                        whether a facility satisfies the requirements 
                        under paragraph (1), the Secretary shall 
                        consider studies published on or before the 
                        date of enactment of this clause which 
                        demonstrate a net lifecycle greenhouse gas 
                        emissions rate which is not greater than zero 
                        using widely accepted lifecycle assessment 
                        concepts, such as concepts described in 
                        standards developed by the International 
                        Organization for Standardization.''.
    (f) Nuclear Energy Communities.--
            (1) In general.--Section 45(b)(11) is amended--
                    (A) in subparagraph (B)--
                            (i) in clause (ii)(II), by striking ``or'' 
                        at the end,
                            (ii) in clause (iii)(II), by striking the 
                        period at the end and inserting ``, or'', and
                            (iii) by adding at the end the following 
                        new clause:
                            ``(iv) for purposes of any qualified 
                        facility which is an advanced nuclear facility, 
                        a metropolitan statistical area which has (or, 
                        at any time during the period beginning after 
                        December 31, 2009, had) 0.17 percent or greater 
                        direct employment related to the advancement of 
                        nuclear power, including employment related 
                        to--
                                    ``(I) an advanced nuclear facility,
                                    ``(II) advanced nuclear power 
                                research and development,
                                    ``(III) nuclear fuel cycle 
                                research, development, or production, 
                                including mining, enrichment, 
                                manufacture, storage, disposal, or 
                                recycling of nuclear fuel, and
                                    ``(IV) the manufacturing or 
                                assembly of components used in an 
                                advanced nuclear facility.'', and
                    (B) by adding at the end the following new 
                subparagraph:
                    ``(C) Advanced nuclear facilities.--
                            ``(i) In general.--Subject to clause (ii), 
                        for purposes of subparagraph (B)(iv), the term 
                        `advanced nuclear facility' means any nuclear 
                        facility the reactor design for which is 
                        approved in the manner described in section 
                        45J(d)(2).
                            ``(ii) Special rule.--For purposes of 
                        clause (i), a facility shall be deemed to have 
                        a reactor design which is approved in the 
                        manner described in section 45J(d)(2) if the 
                        Nuclear Regulatory Commission has authorized 
                        construction and issued a site-specific 
                        construction permit or combined license with 
                        respect to such facility (without regard to 
                        whether the reactor design was approved after 
                        December 31, 1993).''.
            (2) Nonapplication for clean electricity investment 
        credit.--Section 48E(a)(3)(A)(i) is amended by inserting ``, as 
        applied without regard to clause (iv) thereof'' after ``section 
        45(b)(11)(B)''.
    (g) Conforming Amendments.--Section 45Y(b)(1) is amended--
            (1) by redesignating subparagraph (D) as subparagraph (E), 
        and
            (2) by inserting after subparagraph (C) the following new 
        subparagraph:
                    ``(D) Determination of capacity.--For purposes of 
                subparagraph (C), additions of capacity of a facility 
                shall be determined in any reasonable manner, including 
                based on--
                            ``(i) determinations by, or reports to, the 
                        Federal Energy Regulatory Commission (including 
                        interconnection agreements), the Nuclear 
                        Regulatory Commission, or any similar entity, 
                        reflecting additions of capacity,
                            ``(ii) determinations or reports reflecting 
                        additions of capacity made by an independent 
                        professional engineer,
                            ``(iii) reports to, or issued by, regional 
                        transmission organizations or independent 
                        system operators reflecting additions of 
                        capacity, or
                            ``(iv) any other method or manner provided 
                        by the Secretary.''.
    (h) Prohibition on Transfer of Credits to Specified Foreign 
Entities.--Section 6418(g) is amended by adding at the end the 
following new paragraph:
            ``(5) Prohibition on transfer of credits to specified 
        foreign entities.--With respect to any eligible credit 
        described in clause (iii), (iv), (vi), (vii), (viii), or (xi) 
        of subsection (f)(1)(A), an eligible taxpayer may not elect to 
        transfer any portion of such credit to a taxpayer that is a 
        specified foreign entity (as defined in section 
        7701(a)(51)(B)).''.
    (i) Extension of Period of Limitations for Errors Relating to 
Determining of Material Assistance From a Prohibited Foreign Entity.--
Section 6501 is amended--
            (1) by redesignating subsection (o) as subsection (p), and
            (2) by inserting after subsection (n) the following new 
        subsection:
    ``(o) Material Assistance From a Prohibited Foreign Entity.--In the 
case of a deficiency attributable to an error with respect to the 
determination under section 7701(a)(52) for any taxable year, such 
deficiency may be assessed at any time within 6 years after the return 
for such year was filed.''.
    (j) Imposition of Accuracy-related Penalties.--
            (1) In general.--Section 6662 is amended by adding at the 
        end the following new subsection:
    ``(m) Substantial Understatement of Income Tax Due to Disallowance 
of Applicable Energy Credits.--
            ``(1) In general.--In the case of a taxpayer for which 
        there is a disallowance of an applicable energy credit for any 
        taxable year, for purposes of determining whether there is a 
        substantial understatement of income tax for such taxable year, 
        subsection (d)(1) shall be applied--
                    ``(A) in subparagraphs (A) and (B), by substituting 
                `1 percent' for `10 percent' each place it appears, and
                    ``(B) without regard to subparagraph (C).
            ``(2) Disallowance of an applicable energy credit.--For 
        purposes of this subsection, the term `disallowance of an 
        applicable energy credit' means the disallowance of a credit 
        under section 45X, 45Y, or 48E by reason of overstating the 
        material assistance cost ratio (as determined under section 
        7701(a)(52)) with respect to any qualified facility, energy 
        storage technology, or facility which produces eligible 
        components.''.
            (2) Conforming amendment.--Section 6417(d)(6) is amended by 
        adding at the end the following new subparagraph:
                    ``(D) Disallowance of an applicable energy 
                credit.--In the case of an applicable entity which made 
                an election under subsection (a) with respect to an 
                applicable credit for which there is a disallowance 
                described in section 6662(m)(2), subparagraph (A) shall 
                apply with respect to any excessive payment resulting 
                from such disallowance.''.
    (k) Penalty for Substantial Misstatements on Certification Provided 
by Supplier.--
            (1) In general.--Part I of subchapter B of chapter 68 is 
        amended by inserting after section 6695A the following new 
        section:

``SEC. 6695B. PENALTY FOR SUBSTANTIAL MISSTATEMENTS ON CERTIFICATION 
              PROVIDED BY SUPPLIER.

    ``(a) Imposition of Penalty.--If--
            ``(1) a person--
                    ``(A) provides a certification described in clause 
                (iii)(II)(bb) of section 7701(a)(52)(D) with respect to 
                any manufactured product, eligible component, or 
                constituent element, material, or subcomponent of an 
                eligible component, and
                    ``(B) knows, or reasonably should have known, that 
                the certification would be used in connection with a 
                determination under such section,
            ``(2) such person knows, or reasonably should have known, 
        that such certification is inaccurate or false with respect 
        to--
                    ``(A) whether such property was produced or 
                manufactured by a prohibited foreign entity, or
                    ``(B) the total direct costs or total direct 
                material costs of such property that was not produced 
                or manufactured by a prohibited foreign entity that 
                were provided on such certification, and
            ``(3) the inaccuracy or falsity described in paragraph (2) 
        resulted in the disallowance of an applicable energy credit (as 
        defined in section 6662(m)(2)) and an understatement of income 
        tax (within the meaning of section 6662(d)(2)) for the taxable 
        year in an amount which exceeds the lesser of--
                    ``(A) 5 percent of the tax required to be shown on 
                the return for the taxable year, or
                    ``(B) $100,000,
        then such person shall pay a penalty in the amount determined 
        under subsection (b).
    ``(b) Amount of Penalty.--The amount of the penalty imposed under 
subsection (a) on any person with respect to a certification shall be 
equal to the greater of--
            ``(1) 10 percent of the amount of the underpayment (as 
        defined in section 6664(a)) solely attributable to the 
        inaccuracy or falsity described in subsection (a)(2), or
            ``(2) $5,000.
    ``(c) Exception.--No penalty shall be imposed under subsection (a) 
if the person establishes to the satisfaction of the Secretary that any 
inaccuracy or falsity described in subsection (a)(2) is due to a 
reasonable cause and not willful neglect.
    ``(d) Definitions.--Any term used in this section which is also 
used in section 7701(a)(52) shall have the meaning given such term in 
such section.''.
            (2) Clerical amendments.--
                    (A) Section 6696 is amended--
                            (i) in the heading, by striking ``and 
                        6695a'' and inserting ``6695a, and 6695b'',
                            (ii) in subsections (a), (b), and (e), by 
                        striking ``and 6695A'' each place it appears 
                        and inserting ``6695A, and 6695B'',
                            (iii) in subsection (c), by striking ``or 
                        6695A'' and inserting ``6695A, or 6695B'', and
                            (iv) in subsection (d)--
                                    (I) in paragraph (1), by inserting 
                                ``(or, in the case of any penalty under 
                                section 6695B, 6 years)'' after 
                                ``assessed within 3 years'', and
                                    (II) in paragraph (2), by inserting 
                                ``(or, in the case of any claim for 
                                refund of an overpayment of any penalty 
                                assessed under section 6695B, 6 
                                years)'' after ``filed within 3 
                                years''.
                    (B) The table of sections for part I of subchapter 
                B of chapter 68 is amended by inserting after item 
                relating to section 6695A the following new item:

``Sec. 6695B. Penalty for substantial misstatements on certification 
                            provided by supplier.''.
    (l) Effective Dates.--
            (1) In general.--Except as provided in paragraphs (2), (3), 
        and (4), the amendments made by this section shall apply to 
        taxable years beginning after the date of enactment of this 
        Act.
            (2) Material assistance from prohibited foreign entities.--
        The amendments made by subsection (b)(1) shall apply to 
        facilities for which construction begins after December 31, 
        2025.
            (3) Penalty for substantial misstatements on certification 
        provided by supplier.--The amendments made by subsection (k) 
        shall apply to certifications provided after December 31, 2025.
            (4) Termination for wind and solar facilities.--The 
        amendments made by subsection (a) shall apply to facilities the 
        construction of which begins after the date which is 12 months 
        after the date of enactment of this Act.

SEC. 70513. TERMINATION AND RESTRICTIONS ON CLEAN ELECTRICITY 
              INVESTMENT CREDIT.

    (a) Termination for Wind and Solar Facilities.--Section 48E(e) is 
amended--
            (1) in paragraph (1), by striking ``The amount of'' and 
        inserting ``Subject to paragraph (4), the amount of'', and
            (2) by adding at the end the following new paragraph:
            ``(4) Termination for wind and solar facilities.--
                    ``(A) In general.--This section shall not apply to 
                any qualified property placed in service by the 
                taxpayer after December 31, 2027, which is part of an 
                applicable facility.
                    ``(B) Applicable facility.--For purposes of this 
                paragraph, the term `applicable facility' means a 
                qualified facility which--
                            ``(i) uses wind to produce electricity 
                        (within the meaning of such term as used in 
                        section 45(d)(1), as determined without regard 
                        to any requirement under such section with 
                        respect to the date on which construction of 
                        property begins), or
                            ``(ii) uses solar energy to produce 
                        electricity (within the meaning of such term as 
                        used in section 45(d)(4), as determined without 
                        regard to any requirement under such section 
                        with respect to the date on which construction 
                        of property begins).
                    ``(C) Exception.--This paragraph shall not apply 
                with respect to any energy storage technology which is 
                placed in service at any applicable facility.''.
    (b) Restrictions Relating to Prohibited Foreign Entities.--
            (1) In general.--Section 48E is amended--
                    (A) in subsection (b)--
                            (i) by redesignating paragraph (6) as 
                        paragraph (7), and
                            (ii) by inserting after paragraph (5) the 
                        following new paragraph:
            ``(6) Material assistance from prohibited foreign 
        entities.--The terms `qualified facility' and `qualified 
        interconnection property' shall not include any facility or 
        property the construction, reconstruction, or erection of which 
        begins after December 31, 2025, if the construction, 
        reconstruction, or erection of such facility or property 
        includes any material assistance from a prohibited foreign 
        entity (as defined in section 7701(a)(52)).'', and
                    (B) in subsection (c), by adding at the end the 
                following new paragraph:
            ``(3) Material assistance from prohibited foreign 
        entities.--The term `energy storage technology' shall not 
        include any property the construction of which begins after 
        December 31, 2025, if the construction of such property 
        includes any material assistance from a prohibited foreign 
        entity (as defined in section 7701(a)(52)).''.
            (2) Additional restrictions.--Section 48E(d) is amended by 
        adding at the end the following new paragraph:
            ``(6) Restrictions relating to prohibited foreign 
        entities.--
                    ``(A) In general.--No credit shall be determined 
                under subsection (a) for any taxable year if the 
                taxpayer is--
                            ``(i) a specified foreign entity (as 
                        defined in section 7701(a)(51)(B)), or
                            ``(ii) a foreign-influenced entity (as 
                        defined in section 7701(a)(51)(D), without 
                        regard to clause (i)(II) thereof).
                    ``(B) Effective control.--In the case of a taxpayer 
                for which section 7701(a)(51)(D)(i)(II) is determined 
                to apply for any taxable year, no credit shall be 
                determined under subsection (a) for such taxable year 
                if such determination relates to a qualified facility 
                described in subsection (b)(3) or energy storage 
                technology described in subsection (c)(2).''.
            (3) Recapture.--
                    (A) In general.--Section 50(a) is amended--
                            (i) by redesignating paragraphs (4) through 
                        (6) as paragraphs (5) through (7), 
                        respectively,
                            (ii) by inserting after paragraph (3) the 
                        following new paragraph:
            ``(4) Payments to prohibited foreign entities.--
                    ``(A) In general.--If there is an applicable 
                payment made by a specified taxpayer before the close 
                of the 10-year period beginning on the date such 
                taxpayer placed in service investment credit property 
                which is eligible for the clean electricity investment 
                credit under section 48E(a), then the tax under this 
                chapter for the taxable year in which such applicable 
                payment occurs shall be increased by 100 percent of the 
                aggregate decrease in the credits allowed under section 
                38 for all prior taxable years which would have 
                resulted solely from reducing to zero any credit 
                determined under section 46 which is attributable to 
                the clean electricity investment credit under section 
                48E(a) with respect to such property.
                    ``(B) Applicable payment.--For purposes of this 
                paragraph, the term `applicable payment' means, with 
                respect to any taxable year, a payment or payments 
                described in section 7701(a)(51)(D)(i)(II).
                    ``(C) Specified taxpayer.--For purposes of this 
                paragraph, the term `specified taxpayer' means any 
                taxpayer who has been allowed a credit under section 
                48E(a) for any taxable year beginning after the date 
                which is 2 years after the date of enactment of this 
                paragraph.'',
                            (iii) in paragraph (5), as redesignated by 
                        clause (i), by striking ``or any applicable 
                        transaction to which paragraph (3)(A) 
                        applies,'' and inserting ``any applicable 
                        transaction to which paragraph (3)(A) applies, 
                        or any applicable payment to which paragraph 
                        (4)(A) applies,'', and
                            (iv) in paragraph (7), as redesignated by 
                        clause (i), by striking ``or (3)'' and 
                        inserting ``(3), or (4)''.
                    (B) Conforming amendments.--
                            (i) Section 1371(d)(1) is amended by 
                        striking ``section 50(a)(5)'' and inserting 
                        ``section 50(a)(6)''.
                            (ii) Section 6418(g)(3) is amended by 
                        striking ``subsection (a)(5)'' each place it 
                        appears and inserting ``subsection (a)(7)''.
    (c) Denial of Credit for Expenditures for Certain Wind and Solar 
Leasing Arrangements.--
            (1) In general.--Section 48E is amended--
                    (A) by redesignating subsection (i) as subsection 
                (j), and
                    (B) by inserting after subsection (h) the following 
                new subsection:
    ``(i) Denial of Credit for Expenditures for Wind and Solar Leasing 
Arrangements.--No credit shall be determined under this section for any 
qualified investment during the taxable year with respect to property 
described in paragraph (1) or (4) of section 25D(d) (as applied by 
substituting `lessee' for `taxpayer') if the taxpayer rents or leases 
such property to a third party during such taxable year.''.
            (2) Conforming rules.--Section 50 is amended by adding at 
        the end the following new subsection:
    ``(e) Rules for Geothermal Heat Pumps.--For purposes of this 
section and section 168, the ownership of energy property described in 
section 48(a)(3)(A)(vii) shall be determined without regard to whether 
such property is readily usable by a person other than the lessee or 
service recipient.''.
    (d) Domestic Content Rules.--Subparagraph (B) of section 48E(a)(3) 
is amended to read as follows:
                    ``(B) Domestic content.--Rules similar to the rules 
                of section 48(a)(12) shall apply, except that, for 
                purposes of subparagraph (B) of such section and the 
                application of rules similar to the rules of section 
                45(b)(9)(B), the adjusted percentage (as determined 
                under section 45(b)(9)(C)) shall be determined as 
                follows:
                            ``(i) In the case of any qualified 
                        investment with respect to any qualified 
                        facility or energy storage technology the 
                        construction of which begins before June 16, 
                        2025, 40 percent (or, in the case of a 
                        qualified facility which is an offshore wind 
                        facility, 20 percent).
                            ``(ii) In the case of any qualified 
                        investment with respect to any qualified 
                        facility or energy storage technology the 
                        construction of which begins on or after June 
                        16, 2025, and before January 1, 2026, 45 
                        percent (or, in the case of a qualified 
                        facility which is an offshore wind facility, 
                        27.5 percent).
                            ``(iii) In the case of any qualified 
                        investment with respect to any qualified 
                        facility or energy storage technology the 
                        construction of which begins during calendar 
                        year 2026, 50 percent (or, in the case of a 
                        qualified facility which is an offshore wind 
                        facility, 35 percent).
                            ``(iv) In the case of any qualified 
                        investment with respect to any qualified 
                        facility or energy storage technology the 
                        construction of which begins after December 31, 
                        2026, 55 percent.''.
    (e) Elimination of Energy Credit for Certain Energy Property.--
Section 48(a)(2) is amended--
            (1) in subparagraph (A)(ii), by striking ``2 percent'' and 
        inserting ``0 percent'', and
            (2) by adding at the end the following new subparagraph:
                    ``(C) Nonapplication of increases to energy 
                percentage.--For purposes of energy property described 
                in subparagraph (A)(ii), the energy percentage 
                applicable to such property pursuant to such 
                subparagraph shall not be increased or otherwise 
                adjusted by any provision of this section.''.
    (f) Application of Clean Electricity Investment Credit to Qualified 
Fuel Cell Property.--Section 48E, as amended by subsection (c), is 
amended--
            (1) by redesignating subsection (j) as subsection (k), and
            (2) by inserting after subsection (i) the following new 
        subsection:
    ``(j) Application to Qualified Fuel Cell Property.--For purposes of 
this section, in the case of any qualified fuel cell property (as 
defined in section 48(c)(1), as applied without regard to subparagraph 
(E) thereof)--
            ``(1) subsection (b)(3)(A) shall be applied without regard 
        to clause (iii) thereof,
            ``(2) for purposes of subsection (a)(1), the applicable 
        percentage shall be 30 percent and such percentage shall not be 
        increased or otherwise adjusted by any other provision of this 
        section, and
            ``(3) subsection (g) shall not apply.''.
    (g) Effective Dates.--
            (1) In general.--Except as provided in paragraphs (2), (3), 
        (4), and (5), the amendments made by this section shall apply 
        to taxable years beginning after the date of enactment of this 
        Act.
            (2) Domestic content rules.--The amendment made by 
        subsection (d) shall apply on or after June 16, 2025.
            (3) Elimination of energy credit for certain energy 
        property.--The amendments made by subsection (e) shall apply to 
        property the construction of which begins on or after June 16, 
        2025.
            (4) Application of clean electricity investment credit to 
        qualified fuel cell property.--The amendments made by 
        subsection (f) shall apply to property the construction of 
        which begins after December 31, 2025.
            (5) Termination for wind and solar facilities.--The 
        amendments made by subsection (a) shall apply to facilities the 
        construction of which begins after the date which is 12 months 
        after the date of enactment of this Act.

SEC. 70514. PHASE-OUT AND RESTRICTIONS ON ADVANCED MANUFACTURING 
              PRODUCTION CREDIT.

    (a) Modification of Provision Relating to Sale of Integrated 
Components.--Paragraph (4) of section 45X(d) is amended to read as 
follows:
            ``(4) Sale of integrated components.--
                    ``(A) In general.--For purposes of this section, a 
                person shall be treated as having sold an eligible 
                component to an unrelated person if--
                            ``(i) such component (referred to in this 
                        paragraph as the `primary component') is 
                        integrated, incorporated, or assembled into 
                        another eligible component (referred to in this 
                        paragraph as the `secondary component') 
                        produced within the same manufacturing facility 
                        as the primary component, and
                            ``(ii) the secondary component is sold to 
                        an unrelated person.
                    ``(B) Additional requirements.--Subparagraph (A) 
                shall only apply with respect to a secondary component 
                for which not less than 65 percent of the total direct 
                material costs which are paid or incurred (within the 
                meaning of section 461 and any regulations issued under 
                section 263A) by the taxpayer to produce such secondary 
                component are attributable to primary components which 
                are mined, produced, or manufactured in the United 
                States.''.
    (b) Phase Out and Termination.--Section 45X(b)(3) is amended--
            (1) in the heading, by inserting ``and termination'' after 
        ``Phase out'',
            (2) in subparagraph (A), in the matter preceding clause 
        (i), by striking ``subparagraph (C)'' and inserting 
        ``subparagraphs (C) and (D)'', and
            (3) by striking subparagraph (C) and inserting the 
        following:
                    ``(C) Phase out for applicable critical minerals 
                other than metallurgical coal.--
                            ``(i) In general.--In the case of any 
                        applicable critical mineral (other than 
                        metallurgical coal) produced after December 31, 
                        2030, the amount determined under this 
                        subsection with respect to such mineral shall 
                        be equal to the product of--
                                    ``(I) the amount determined under 
                                paragraph (1) with respect to such 
                                mineral, as determined without regard 
                                to this subparagraph, multiplied by
                                    ``(II) the phase out percentage 
                                under clause (ii).
                            ``(ii) Phase out percentage for applicable 
                        critical minerals other than metallurgical 
                        coal.--The phase out percentage under this 
                        clause is equal to--
                                    ``(I) in the case of any applicable 
                                critical mineral produced during 
                                calendar year 2031, 75 percent,
                                    ``(II) in the case of any 
                                applicable critical mineral produced 
                                during calendar year 2032, 50 percent,
                                    ``(III) in the case of any 
                                applicable critical mineral produced 
                                during calendar year 2033, 25 percent, 
                                and
                                    ``(IV) in the case of any 
                                applicable critical mineral produced 
                                after December 31, 2033, 0 percent.
                    ``(D) Termination for wind energy components.--This 
                section shall not apply to any wind energy component 
                produced and sold after December 31, 2027.
                    ``(E) Termination for metallurgical coal.--This 
                section shall not apply to any metallurgical coal 
                produced after December 31, 2029.''.
    (c) Restrictions Relating to Prohibited Foreign Entities.--Section 
45X is amended--
            (1) in subsection (c)(1), by adding at the end the 
        following new subparagraph:
                    ``(C) Material assistance from prohibited foreign 
                entities.--In the case of taxable years beginning after 
                the date of enactment of this subparagraph, the term 
                `eligible component' shall not include any property 
                which includes any material assistance from a 
                prohibited foreign entity (as defined in section 
                7701(a)(52), as applied by substituting `used in a 
                product sold before January 1, 2027' for `used in a 
                product sold before January 1, 2030' in subparagraph 
                (D)(iv)(II)(bb) thereof).'', and
            (2) in subsection (d), as amended by subsection (a) of this 
        section, by adding at the end the following new paragraph:
            ``(4) Restrictions relating to prohibited foreign 
        entities.--
                    ``(A) In general.--No credit shall be determined 
                under subsection (a) for any taxable year if the 
                taxpayer is--
                            ``(i) a specified foreign entity (as 
                        defined in section 7701(a)(51)(B)), or
                            ``(ii) a foreign-influenced entity (as 
                        defined in section 7701(a)(51)(D), without 
                        regard to clause (i)(II) thereof).
                    ``(B) Effective control.--In the case of a taxpayer 
                for which section 7701(a)(51)(D)(i)(II) is determined 
                to apply for any taxable year, no credit shall be 
                determined under subsection (a) for such taxable year 
                if such determination relates to an eligible component 
                described in subsection (c)(1).''.
    (d) Modification of Definition of Battery Module.--Section 
45X(c)(5)(B)(iii) is amended--
            (1) in subclause (I)(bb), by striking ``and'' at the end,
            (2) in subclause (II), by striking the period at the end 
        and inserting ``, and'', and
            (3) by adding at the end the following new subclause:
                                    ``(III) which is comprised of all 
                                other essential equipment needed for 
                                battery functionality, such as current 
                                collector assemblies and voltage sense 
                                harnesses, or any other essential 
                                energy collection equipment.''.
    (e) Inclusion of Metallurgical Coal as an Applicable Critical 
Mineral for Purposes of the Advanced Manufacturing Production Credit.--
            (1) In general.--Section 45X(c)(6) is amended--
                    (A) by redesignating subparagraphs (R) through (Z) 
                as subparagraphs (S) through (AA), respectively, and
                    (B) by inserting after subparagraph (Q) the 
                following new subparagraph:
                    ``(R) Metallurgical coal.--Metallurgical coal which 
                is suitable for use in the production of steel (within 
                the meaning of the notice published by the Department 
                of Energy entitled `Critical Material List; Addition of 
                Metallurgical Coal Used for Steelmaking' (90 Fed. Reg. 
                22711 (May 29, 2025))), regardless of whether such 
                production occurs inside or outside of the United 
                States.''.
            (2) Credit amount.--Section 45X(b)(1)(M) is amended by 
        inserting ``(2.5 percent in the case of metallurgical coal)'' 
        after ``10 percent''.
    (f) Effective Dates.--
            (1) In general.--Except as provided in paragraph (2), the 
        amendments made by this section shall apply to taxable years 
        beginning after the date of enactment of this Act.
            (2) Modification of provision relating to sale of 
        integrated components.--The amendment made by subsection (a) 
        shall apply to components sold during taxable years beginning 
        after December 31, 2026.

SEC. 70515. RESTRICTION ON THE EXTENSION OF ADVANCED ENERGY PROJECT 
              CREDIT PROGRAM.

    (a) In General.--Section 48C(e)(3)(C) is amended by striking 
``shall be increased'' and inserting ``shall not be increased''.
    (b) Effective Date.--The amendment made by this section shall take 
effect on the date of enactment of this Act.

        Subchapter B--Enhancement of America-first Energy Policy

SEC. 70521. EXTENSION AND MODIFICATION OF CLEAN FUEL PRODUCTION CREDIT.

    (a) Prohibition on Foreign Feedstocks.--
            (1) In general.--Section 45Z(f)(1)(A) is amended--
                    (A) in clause (i)(II)(bb), by striking ``and'' at 
                the end,
                    (B) in clause (ii), by striking the period at the 
                end and inserting ``, and'', and
                    (C) by adding at the end the following new clause:
                            ``(iii) such fuel is exclusively derived 
                        from a feedstock which was produced or grown in 
                        the United States, Mexico, or Canada.''.
            (2) Effective date.--The amendments made by this subsection 
        shall apply to transportation fuel produced after December 31, 
        2025.
    (b) Prohibition on Negative Emission Rates.--
            (1) In general.--Section 45Z(b)(1) is amended--
                    (A) by striking subparagraph (C) and inserting the 
                following:
                    ``(C) Rounding of emissions rate.--The Secretary 
                may round the emissions rates under subparagraph (B) to 
                the nearest multiple of 5 kilograms of CO2e per 
                mmBTU.'', and
                    (B) by adding at the end the following new 
                subparagraph:
                    ``(E) Prohibition on negative emission rates.--For 
                purposes of this section, the emissions rate for a 
                transportation fuel may not be less than zero.''.
            (2) Effective date.--The amendments made by this subsection 
        shall apply to emissions rates published for transportation 
        fuel produced after December 31, 2025.
    (c) Determination of Emissions Rate.--
            (1) In general.--Section 45Z(b)(1)(B) is amended by adding 
        at the end the following new clauses:
                            ``(iv) Exclusion of indirect land use 
                        changes.--Notwithstanding clauses (i), (ii), 
                        and (iii), the emissions rate shall be adjusted 
                        as necessary to exclude any emissions 
                        attributed to indirect land use change. Any 
                        such adjustment shall be based on regulations 
                        or methodologies determined by the Secretary.
                            ``(v) Animal manures.--With respect to any 
                        transportation fuel which is derived from 
                        animal manure, the Secretary--
                                    ``(I) shall provide a distinct 
                                emissions rate with respect to such 
                                fuel based on the specific animal 
                                manure feedstock, which may include 
                                dairy manure, swine manure, poultry 
                                manure, or any other sources as are 
                                determined appropriate by the 
                                Secretary, and
                                    ``(II) notwithstanding subparagraph 
                                (E), may provide an emissions rate that 
                                is less than zero.''.
            (2) Conforming amendment.--Section 45Z(b)(1)(B)(i) is 
        amended by striking ``clauses (ii) and (iii)'' and inserting 
        ``clauses (ii), (iii), (iv), and (v)''.
            (3) Effective date.--The amendments made by this subsection 
        shall apply to emissions rates published for transportation 
        fuel produced after December 31, 2025.
    (d) Extension of Clean Fuel Production Credit.--Section 45Z(g) is 
amended by striking ``December 31, 2027'' and inserting ``December 31, 
2029''.
    (e) Preventing Double Credit.--Section 45Z(d)(5) is amended--
            (1) in subparagraph (A)--
                    (A) in clause (ii), by striking ``and'' at the end,
                    (B) in clause (iii), by striking the period at the 
                end and inserting ``, and'', and
                    (C) by adding at the end the following new clause:
                            ``(iv) is not produced from a fuel for 
                        which a credit under this section is 
                        allowable.'', and
            (2) by adding at the end the following new subparagraph:
                    ``(C) Regulations and guidance.--The Secretary 
                shall issue such regulations or other guidance as the 
                Secretary determines necessary to carry out the 
                purposes of subparagraph (A)(iv).''.
    (f) Sales to Unrelated Persons.--Section 45Z(f)(3) is amended by 
adding at the end the following: ``The Secretary may prescribe 
additional related person rules similar to the rule described in the 
preceding sentence for entities which are not described in such 
sentence, including rules for related persons with respect to which the 
taxpayer has reason to believe will sell fuel to an unrelated person in 
a manner described in subsection (a)(4).''.
    (g) Treatment of Sustainable Aviation Fuel.--
            (1) Coordination of credits.--
                    (A) In general.--Section 6426(k) is amended by 
                adding at the end the following new paragraph:
            ``(4) Coordination of credits.--With respect to any gallon 
        of sustainable aviation fuel in a qualified mixture, this 
        subsection shall not apply to any such gallon for which a 
        credit under section 45Z is allowable (as determined without 
        regard to subsection (a)(1)(A) of such section).''.
                    (B) Effective date.--The amendment made by this 
                paragraph shall apply to--
                            (i) fuel sold or used on or after the date 
                        of the enactment of this Act, and
                            (ii) fuel sold or used before the date of 
                        enactment of this Act, but only to the extent 
                        that claims for the credit under section 
                        6426(k) of the Internal Revenue Code of 1986 
                        with respect to such sale or use have not been 
                        paid or allowed as of such date.
            (2) Elimination of special rate.--
                    (A) In general.--Paragraph (3) of section 45Z(a) is 
                amended to read as follows:
            ``(3) Definition of sustainable aviation fuel.--For 
        purposes of this section, the term `sustainable aviation fuel' 
        means liquid fuel, the portion of which is not kerosene, which 
        is sold for use in an aircraft and which--
                    ``(A) meets the requirements of--
                            ``(i) ASTM International Standard D7566, or
                            ``(ii) the Fischer Tropsch provisions of 
                        ASTM International Standard D1655, Annex A1, 
                        and
                    ``(B) is not derived from palm fatty acid 
                distillates or petroleum.''.
                    (B) Conforming amendment.--Section 45Z(c)(1) is 
                amended by striking ``, the $1.00 amount in subsection 
                (a)(2)(B), the 35 cent amount in subsection 
                (a)(3)(A)(i), and the $1.75 amount in subsection 
                (a)(3)(A)(ii)'' and inserting ``and the $1.00 amount in 
                subsection (a)(2)(B)''.
                    (C) Effective date.--The amendments made by this 
                paragraph shall apply to fuel produced after December 
                31, 2025.
    (h) Sustainable Aviation Fuel Credit.--Section 6426(k), as amended 
by the preceding provisions of this Act, is amended by adding at the 
end the following new paragraph:
            ``(5) Termination.--This subsection shall not apply to any 
        sale or use for any period after September 30, 2025.''.
    (i) Registration of Producers of Fuel Eligible for Clean Fuel 
Production Credit.--
            (1) In general.--Section 13704(b)(5) of Public Law 117-169 
        is amended by striking ``after `section 6426(k)(3)),''' and 
        inserting ``after `section 40B),'''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to transportation fuel produced after December 31, 
        2024.
    (j) Extension and Modification of Small Agri-biodiesel Producer 
Credit.--
            (1) In general.--Section 40A is amended--
                    (A) in subsection (b)(4)--
                            (i) in subparagraph (A), by striking ``10 
                        cents'' and inserting ``20 cents'',
                            (ii) in subparagraph (B), by inserting ``in 
                        a manner which complies with the requirements 
                        under section 45Z(f)(1)(A)(iii)'' after 
                        ``produced by an eligible small agri-biodiesel 
                        producer'', and
                            (iii) by adding at the end the following 
                        new subparagraph:
                    ``(D) Coordination with clean fuel production 
                credit.--The credit determined under this paragraph 
                with respect to any gallon of fuel shall be in addition 
                to any credit determined under section 45Z with respect 
                to such gallon of fuel.'', and
                    (B) in subsection (g), by inserting ``(or, in the 
                case of the small agri-biodiesel producer credit, any 
                sale or use after December 31, 2026)'' after ``December 
                31, 2024''.
            (2) Transfer of credit.--Section 6418(f)(1)(A) is amended 
        by adding at the end the following new clause:
                            ``(xii) So much of the biodiesel fuels 
                        credit determined under section 40A which 
                        consists of the small agri-biodiesel producer 
                        credit determined under subsection (b)(4) of 
                        such section.''.
            (3) Effective date.--The amendments made by this subsection 
        shall apply to fuel sold or used after June 30, 2025.
    (k) Restrictions Relating to Prohibited Foreign Entities.--
            (1) In general.--Section 45Z(f) is amended by adding at the 
        end the following new paragraph:
            ``(8) Restrictions relating to prohibited foreign 
        entities.--
                    ``(A) In general.--No credit shall be determined 
                under subsection (a) for any taxable year beginning 
                after the date of enactment of this paragraph if the 
                taxpayer is a specified foreign entity (as defined in 
                section 7701(a)(51)(B)).
                    ``(B) Other prohibited foreign entities.--No credit 
                shall be determined under subsection (a) for any 
                taxable year beginning after the date which is 2 years 
                after the date of enactment of this paragraph if the 
                taxpayer is a foreign-influenced entity (as defined in 
                section 7701(a)(51)(D), without regard to clause 
                (i)(II) thereof).''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to taxable years beginning after the date of 
        enactment of this Act.

SEC. 70522. RESTRICTIONS ON CARBON OXIDE SEQUESTRATION CREDIT.

    (a) Restrictions Relating to Prohibited Foreign Entities.--Section 
45Q(f) is amended by adding at the end the following new paragraph:
            ``(10) Restrictions relating to prohibited foreign 
        entities.--No credit shall be determined under subsection (a) 
        for any taxable year beginning after the date of enactment of 
        this paragraph if the taxpayer is--
                    ``(A) a specified foreign entity (as defined in 
                section 7701(a)(51)(B)), or
                    ``(B) a foreign-influenced entity (as defined in 
                section 7701(a)(51)(D), determined without regard to 
                clause (i)(II) thereof).''.
    (b) Parity for Different Uses and Utilizations of Qualified Carbon 
Oxide.--Section 45Q is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2)(B)(ii), by adding ``and'' at 
                the end,
                    (B) in paragraph (3), by striking subparagraph (B) 
                and inserting the following:
                    ``(B)(i) disposed of by the taxpayer in secure 
                geological storage and not used by the taxpayer as 
                described in clause (ii) or (iii),
                    ``(ii) used by the taxpayer as a tertiary injectant 
                in a qualified enhanced oil or natural gas recovery 
                project and disposed of by the taxpayer in secure 
                geological storage, or
                    ``(iii) utilized by the taxpayer in a manner 
                described in subsection (f)(5).'', and
                    (C) by striking paragraph (4),
            (2) in subsection (b)--
                    (A) in paragraph (1)--
                            (i) by striking subparagraph (A) and 
                        inserting the following:
                    ``(A) In general.--Except as provided in 
                subparagraph (B) or (C), the applicable dollar amount 
                shall be an amount equal to--
                            ``(i) for any taxable year beginning in a 
                        calendar year after 2024 and before 2027, $17, 
                        and
                            ``(ii) for any taxable year beginning in a 
                        calendar year after 2026, an amount equal to 
                        the product of $17 and the inflation adjustment 
                        factor for such calendar year determined under 
                        section 43(b)(3)(B) for such calendar year, 
                        determined by substituting `2025' for 
                        `1990'.'', and
                            (ii) in subparagraph (B), by striking 
                        ``shall be applied'' and all that follows 
                        through the period and inserting ``shall be 
                        applied by substituting `$36' for `$17' each 
                        place it appears.'',
                    (B) in paragraph (2)(B), by striking ``paragraphs 
                (3)(A) and (4)(A)'' and inserting ``paragraph (3)(A)'', 
                and
                    (C) in paragraph (3), by striking ``the dollar 
                amounts applicable under paragraph (3) or (4)'' and 
                inserting ``the dollar amount applicable under 
                paragraph (3)'',
            (3) in subsection (f)--
                    (A) in paragraph (5)(B)(i), by striking 
                ``(4)(B)(ii)'' and inserting ``(3)(B)(iii)'', and
                    (B) in paragraph (9), by striking ``paragraphs (3) 
                and (4) of subsection (a)'' and inserting ``subsection 
                (a)(3)'', and
            (4) in subsection (h)(3)(A)(ii), by striking ``paragraph 
        (3)(A) or (4)(A) of subsection (a)'' and inserting ``subsection 
        (a)(3)(A)''.
    (c) Conforming Amendment.--Section 6417(d)(3)(C)(i)(II)(bb) is 
amended by striking ``paragraph (3)(A) or (4)(A) of section 45Q(a)'' 
and inserting ``section 45Q(a)(3)(A)''.
    (d) Effective Dates.--
            (1) Restrictions relating to prohibited foreign entities.--
        The amendment made by subsection (a) shall apply to taxable 
        years beginning after the date of enactment of this Act.
            (2) Parity for different uses and utilizations of qualified 
        carbon oxide.--The amendments made subsections (b) and (c) 
        shall apply to facilities or equipment placed in service after 
        the date of enactment of this Act.

SEC. 70523. INTANGIBLE DRILLING AND DEVELOPMENT COSTS TAKEN INTO 
              ACCOUNT FOR PURPOSES OF COMPUTING ADJUSTED FINANCIAL 
              STATEMENT INCOME.

    (a) In General.--Section 56A(c)(13) is amended--
            (1) by striking subparagraph (A) and inserting the 
        following:
                    ``(A) reduced by--
                            ``(i) depreciation deductions allowed under 
                        section 167 with respect to property to which 
                        section 168 applies to the extent of the amount 
                        allowed as deductions in computing taxable 
                        income for the year, and
                            ``(ii) any deduction allowed for expenses 
                        under section 263(c) (including any deduction 
                        for such expenses under section 59(e) or 
                        291(b)(2)) with respect to property described 
                        therein to the extent of the amount allowed as 
                        deductions in computing taxable income for the 
                        year, and'', and
            (2) by striking subparagraph (B)(i) and inserting the 
        following:
                            ``(i) to disregard any amount of--
                                    ``(I) depreciation expense that is 
                                taken into account on the taxpayer's 
                                applicable financial statement with 
                                respect to such property, and
                                    ``(II) depletion expense that is 
                                taken into account on the taxpayer's 
                                applicable financial statement with 
                                respect to the intangible drilling and 
                                development costs of such property, 
                                and''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70524. INCOME FROM HYDROGEN STORAGE, CARBON CAPTURE, ADVANCED 
              NUCLEAR, HYDROPOWER, AND GEOTHERMAL ENERGY ADDED TO 
              QUALIFYING INCOME OF CERTAIN PUBLICLY TRADED 
              PARTNERSHIPS.

    (a) In General.--Section 7704(d)(1)(E) is amended--
            (1) by striking ``income and gains derived from the 
        exploration'' and inserting the following: ``income and gains 
        derived from--
                            ``(i) the exploration''.
            (2) by inserting ``or'' before ``industrial source'', and
            (3) by striking ``or the transportation or storage'' and 
        all that follows and inserting the following:
                            ``(ii) the transportation or storage of--
                                    ``(I) any fuel described in 
                                subsection (b), (c), (d), (e), or (k) 
                                of section 6426, or any alcohol fuel 
                                defined in section 6426(b)(4)(A) or any 
                                biodiesel fuel as defined in section 
                                40A(d)(1) or sustainable aviation fuel 
                                as defined in section 40B(d)(1), or
                                    ``(II) liquified hydrogen or 
                                compressed hydrogen,
                            ``(iii) in the case of a qualified facility 
                        (as defined in section 45Q(d), without regard 
                        to any date by which construction of the 
                        facility or equipment is required to begin) not 
                        less than 50 percent of the total carbon oxide 
                        production of which is qualified carbon oxide 
                        (as defined in section 45Q(c))--
                                    ``(I) the generation, availability 
                                for such generation, or storage of 
                                electric power at such facility, or
                                    ``(II) the capture of carbon 
                                dioxide by such facility,
                            ``(iv) the production of electricity from 
                        any advanced nuclear facility (as defined in 
                        section 45J(d)(2)),
                            ``(v) the production of electricity or 
                        thermal energy exclusively using a qualified 
                        energy resource described in subparagraph (D) 
                        or (H) of section 45(c)(1), or
                            ``(vi) the operation of energy property 
                        described in clause (iii) or (vii) of section 
                        48(a)(3)(A) (determined without regard to any 
                        requirement under such section with respect to 
                        the date on which construction of property 
                        begins).''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70525. ALLOW FOR PAYMENTS TO CERTAIN INDIVIDUALS WHO DYE FUEL.

    (a) In General.--Subchapter B of chapter 65, as amended by the 
preceding provisions of this Act, is amended by adding at the end the 
following new section:

``SEC. 6435. DYED FUEL.

    ``(a) In General.--If a person establishes to the satisfaction of 
the Secretary that such person meets the requirements of subsection (b) 
with respect to diesel fuel or kerosene, then the Secretary shall pay 
to such person an amount (without interest) equal to the tax described 
in subsection (b)(2)(A) with respect to such diesel fuel or kerosene.
    ``(b) Requirements.--
            ``(1) In general.--A person meets the requirements of this 
        subsection with respect to diesel fuel or kerosene if such 
        person removes from a terminal eligible indelibly dyed diesel 
        fuel or kerosene.
            ``(2) Eligible indelibly dyed diesel fuel or kerosene 
        defined.--The term `eligible indelibly dyed diesel fuel or 
        kerosene' means diesel fuel or kerosene--
                    ``(A) with respect to which a tax under section 
                4081 was previously paid (and not credited or 
                refunded), and
                    ``(B) which is exempt from taxation under section 
                4082(a).
    ``(c) Cross Reference.--For civil penalty for excessive claims 
under this section, see section 6675.''.
    (b) Conforming Amendments.--
            (1) Section 6206 is amended--
                    (A) by striking ``or 6427'' each place it appears 
                and inserting ``6427, or 6435'', and
                    (B) by striking ``6420 and 6421'' and inserting 
                ``6420, 6421, and 6435''.
            (2) Section 6430 is amended--
                    (A) by striking ``or'' at the end of paragraph (2), 
                by striking the period at the end of paragraph (3) and 
                inserting ``, or'', and by adding at the end the 
                following new paragraph:
            ``(4) which are removed as eligible indelibly dyed diesel 
        fuel or kerosene under section 6435.''.
            (3) Section 6675 is amended--
                    (A) in subsection (a), by striking ``or 6427 
                (relating to fuels not used for taxable purposes)'' and 
                inserting ``6427 (relating to fuels not used for 
                taxable purposes), or 6435 (relating to eligible 
                indelibly dyed fuel)'', and
                    (B) in subsection (b)(1), by striking ``6421, or 
                6427,'' and inserting ``6421, 6427, or 6435,''.
            (4) The table of sections for subchapter B of chapter 65, 
        as amended by the preceding provisions of this Act, is amended 
        by adding at the end the following new item:

``Sec. 6435. Dyed fuel.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to eligible indelibly dyed diesel fuel or kerosene removed on or 
after the date that is 180 days after the date of the enactment of this 
section.

                      Subchapter C--Other Reforms

SEC. 70531. MODIFICATIONS TO DE MINIMIS ENTRY PRIVILEGE FOR COMMERCIAL 
              SHIPMENTS.

    (a) Civil Penalty.--
            (1) Additional penalty imposed.--Section 321 of the Tariff 
        Act of 1930 (19 U.S.C. 1321) is amended by adding at the end 
        the following new subsection:
    ``(c) Any person who enters, introduces, facilitates, or attempts 
to introduce an article into the United States using the privilege of 
this section, the importation of which violates any other provision of 
United States customs law, shall be assessed, in addition to any other 
penalty permitted by law, a civil penalty of up to $5,000 for the first 
violation and up to $10,000 for each subsequent violation.''.
            (2) Effective date.--The amendment made by paragraph (1) 
        shall take effect 30 days after the date of the enactment of 
        this Act.
    (b) Repeal of Commercial Shipment Exception.--
            (1) Repeal.--Section 321(a)(2) of such Act (19 U.S.C. 
        1321(a)(2)) is amended by striking ``of this Act, or'' and all 
        that follows through ``subdivision (2); and'' and inserting 
        ``of this Act; and''.
            (2) Conforming repeal.--Subsection (c) of such section 321, 
        as added by subsection (a) of this section, is repealed.
            (3) Effective date.--The amendments made by this subsection 
        shall take effect on July 1, 2027.

 CHAPTER 6--ENHANCING DEDUCTION AND INCOME TAX CREDIT GUARDRAILS, AND 
                             OTHER REFORMS

SEC. 70601. MODIFICATION AND EXTENSION OF LIMITATION ON EXCESS BUSINESS 
              LOSSES OF NONCORPORATE TAXPAYERS.

    (a) Rule Made Permanent.--Section 461(l)(1) is amended by striking 
``and before January 1, 2029,'' each place it appears.
    (b) Adjustment of Amounts for Calculation of Excess Business 
Loss.--Section 461(l)(3)(C) is amended--
            (1) in the matter preceding clause (i), by striking 
        ``December 31, 2018'' and inserting ``December 31, 2025'', and
            (2) in clause (ii), by striking ``2017'' and inserting 
        ``2024''.
    (c) Effective Dates.--
            (1) Rule made permanent.--The amendments made by subsection 
        (a) shall apply to taxable years beginning after December 31, 
        2026.
            (2) Adjustment of amounts for calculation of excess 
        business loss.--The amendments made by subsection (b) shall 
        apply to taxable years beginning after December 31, 2025.

SEC. 70602. TREATMENT OF PAYMENTS FROM PARTNERSHIPS TO PARTNERS FOR 
              PROPERTY OR SERVICES.

    (a) In General.--Section 707(a)(2) is amended by striking ``Under 
regulations prescribed'' and inserting ``Except as provided''.
    (b) Effective Date.--The amendment made by this section shall apply 
to services performed, and property transferred, after the date of the 
enactment of this Act.
    (c) Rule of Construction.--Nothing in this section, or the 
amendments made by this section, shall be construed to create any 
inference with respect to the proper treatment under section 707(a) of 
the Internal Revenue Code of 1986 with respect to payments from a 
partnership to a partner for services performed, or property 
transferred, on or before the date of the enactment of this Act.

SEC. 70603. EXCESSIVE EMPLOYEE REMUNERATION FROM CONTROLLED GROUP 
              MEMBERS AND ALLOCATION OF DEDUCTION.

    (a) Application of Aggregation Rules.--Section 162(m) is amended by 
adding at the end the following new paragraph:
            ``(7) Remuneration from controlled group members.--
                    ``(A) In general.--In the case of any publicly held 
                corporation which is a member of a controlled group--
                            ``(i) paragraph (1) shall be applied by 
                        substituting `specified covered employee' for 
                        `covered employee', and
                            ``(ii) if any person which is a member of 
                        such controlled group (other than such publicly 
                        held corporation) provides applicable employee 
                        remuneration to an individual who is a 
                        specified covered employee of such controlled 
                        group and the aggregate amount described in 
                        subparagraph (B)(ii) with respect to such 
                        specified covered employee exceeds $1,000,000--
                                    ``(I) paragraph (1) shall apply to 
                                such person with respect to such 
                                remuneration, and
                                    ``(II) paragraph (1) shall apply to 
                                such publicly held corporation and to 
                                each such related person by 
                                substituting `the allocable limitation 
                                amount' for `$1,000,000'.
                    ``(B) Allocable limitation amount.--For purposes of 
                this paragraph, the term `allocable limitation amount' 
                means, with respect to any member of the controlled 
                group referred to in subparagraph (A) with respect to 
                any specified covered employee of such controlled 
                group, the amount which bears the same ratio to 
                $1,000,000 as--
                            ``(i) the amount of applicable employee 
                        remuneration provided by such member with 
                        respect to such specified covered employee, 
                        bears to
                            ``(ii) the aggregate amount of applicable 
                        employee remuneration provided by all such 
                        members with respect to such specified covered 
                        employee.
                    ``(C) Specified covered employee.--For purposes of 
                this paragraph, the term `specified covered employee' 
                means, with respect to any controlled group--
                            ``(i) any employee described in 
                        subparagraph (A), (B), or (D) of paragraph (3), 
                        with respect to the publicly held corporation 
                        which is a member of such controlled group, and
                            ``(ii) any employee who would be described 
                        in subparagraph (C) of paragraph (3) if such 
                        subparagraph were applied by taking into 
                        account the employees of all members of the 
                        controlled group.
                    ``(D) Controlled group.--For purposes of this 
                paragraph, the term `controlled group' means any group 
                treated as a single employer under subsection (b), (c), 
                (m), or (o) of section 414.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2025.

SEC. 70604. EXCISE TAX ON CERTAIN REMITTANCE TRANSFERS.

    (a) In General.--Chapter 36 is amended by inserting after 
subchapter B the following new subchapter:

                  ``Subchapter C--Remittance Transfers

``Sec. 4475. Imposition of tax.

``SEC. 4475. IMPOSITION OF TAX.

    ``(a) In General.--There is hereby imposed on any remittance 
transfer a tax equal to 1 percent of the amount of such transfer.
    ``(b) Payment of Tax.--
            ``(1) In general.--The tax imposed by this section with 
        respect to any remittance transfer shall be paid by the sender 
        with respect to such transfer.
            ``(2) Collection of tax.--The remittance transfer provider 
        with respect to any remittance transfer shall collect the 
        amount of the tax imposed under subsection (a) with respect to 
        such transfer from the sender and remit such tax quarterly to 
        the Secretary at such time and in such manner as provided by 
        the Secretary,
            ``(3) Secondary liability.--Where any tax imposed by 
        subsection (a) is not paid at the time the transfer is made, 
        then to the extent that such tax is not collected, such tax 
        shall be paid by the remittance transfer provider.
    ``(c) Tax Limited to Cash and Similar Instruments.--The tax imposed 
under subsection (a) shall apply only to any remittance transfer for 
which the sender provides cash, a money order, a cashier's check, or 
any other similar physical instrument (as determined by the Secretary) 
to the remittance transfer provider.
    ``(d) Nonapplication to Certain Noncash Remittance Transfers.--
Subsection (a) shall not apply to any remittance transfer for which the 
funds being transferred are--
            ``(1) withdrawn from an account held in or by a financial 
        institution--
                    ``(A) which is described in subparagraphs (A) 
                through (H) of section 5312(a)(2) of title 31, United 
                States Code, and
                    ``(B) that is subject to the requirements under 
                subchapter II of chapter 53 of such title, or
            ``(2) funded with a debit card or a credit card which is 
        issued in the United States.
    ``(e) Definitions.--For purposes of this section--
            ``(1) In general.--The terms `remittance transfer', 
        `remittance transfer provider', and `sender' shall each have 
        the respective meanings given such terms by section 919(g) of 
        the Electronic Fund Transfer Act (15 U.S.C. 1693o-1(g)).
            ``(2) Credit card.--The term `credit card' has the same 
        meaning given such term under section 920(c)(3) of the 
        Electronic Fund Transfer Act (15 U.S.C. 1693o-2(c)(3)).
            ``(3) Debit card.--The term `debit card' has the same 
        meaning given such term under section 920(c)(2) of the 
        Electronic Fund Transfer Act (15 U.S.C. 1693o-2(c)(2)), without 
        regard to subparagraph (B) of such section.
    ``(f) Application of Anti-conduit Rules.--For purposes of section 
7701(l), with respect to any multiple-party arrangements involving the 
sender, a remittance transfer shall be treated as a financing 
transaction.''.
    (b) Conforming Amendment.--The table of subchapters for chapter 36 
is amended by inserting after the item relating to subchapter B the 
following new item:

                ``subchapter c--remittance transfers''.

    (c) Effective Date.--The amendments made by this section shall 
apply to transfers made after December 31, 2025.

SEC. 70605. ENFORCEMENT PROVISIONS WITH RESPECT TO COVID-RELATED 
              EMPLOYEE RETENTION CREDITS.

    (a) Assessable Penalty for Failure to Comply With Due Diligence 
Requirements.--
            (1) In general.--Any COVID-ERTC promoter which provides 
        aid, assistance, or advice with respect to any COVID-ERTC 
        document and which fails to comply with due diligence 
        requirements imposed by the Secretary with respect to 
        determining eligibility for, or the amount of, any credit or 
        advance payment of a credit under section 3134 of the Internal 
        Revenue Code of 1986, shall pay a penalty of $1,000 for each 
        such failure.
            (2) Due diligence requirements.--The due diligence 
        requirements referred to in paragraph (1) shall be similar to 
        the due diligence requirements imposed under section 6695(g) of 
        the Internal Revenue Code of 1986.
            (3) Restriction to documents used in connection with 
        returns or claims for refund.--Paragraph (1) shall not apply 
        with respect to any COVID-ERTC document unless such document 
        constitutes, or relates to, a return or claim for refund.
            (4) Treatment as assessable penalty, etc.--For purposes of 
        the Internal Revenue Code of 1986, the penalty imposed under 
        paragraph (1) shall be treated as a penalty which is imposed 
        under section 6695(g) of such Code and assessed under section 
        6201 of such Code.
            (5) Secretary.--For purposes of this subsection, the term 
        ``Secretary'' means the Secretary of the Treasury or the 
        Secretary's delegate.
    (b) COVID-ERTC Promoter.--For purposes of this section--
            (1) In general.--The term ``COVID-ERTC promoter'' means, 
        with respect to any COVID-ERTC document, any person which 
        provides aid, assistance, or advice with respect to such 
        document if--
                    (A) such person charges or receives a fee for such 
                aid, assistance, or advice which is based on the amount 
                of the refund or credit with respect to such document 
                and, with respect to such person's taxable year in 
                which such person provided such assistance or the 
                preceding taxable year, the aggregate of the gross 
                receipts of such person for aid, assistance, and advice 
                with respect to all COVID-ERTC documents exceeds 20 
                percent of the gross receipts of such person for such 
                taxable year, or
                    (B) with respect to such person's taxable year in 
                which such person provided such assistance or the 
                preceding taxable year--
                            (i) the aggregate of the gross receipts of 
                        such person for aid, assistance, and advice 
                        with respect to all COVID-ERTC documents 
                        exceeds 50 percent of the gross receipts of 
                        such person for such taxable year, or
                            (ii) both--
                                    (I) such aggregate gross receipts 
                                exceed 20 percent of the gross receipts 
                                of such person for such taxable year, 
                                and
                                    (II) the aggregate of the gross 
                                receipts of such person for aid, 
                                assistance, and advice with respect to 
                                all COVID-ERTC documents (determined 
                                after application of paragraph (3)) 
                                exceeds $500,000.
            (2) Exception for certified professional employer 
        organizations.--The term ``COVID-ERTC promoter'' shall not 
        include a certified professional employer organization (as 
        defined in section 7705 of the Internal Revenue Code of 1986).
            (3) Aggregation rule.--For purposes of paragraph (1), all 
        persons treated as a single employer under subsection (a) or 
        (b) of section 52 of the Internal Revenue Code of 1986, or 
        subsection (m) or (o) of section 414 of such Code, shall be 
        treated as 1 person.
            (4) Short taxable years.--In the case of any taxable year 
        of less than 12 months, a person shall be treated as a COVID-
        ERTC promoter if such person is described in paragraph (1) 
        either with respect to such taxable year or by treating any 
        reference to such taxable year as a reference to the calendar 
        year in which such taxable year begins.
    (c) COVID-ERTC Document.--For purposes of this section, the term 
``COVID-ERTC document'' means any return, affidavit, claim, or other 
document related to any credit or advance payment of a credit under 
section 3134 of the Internal Revenue Code of 1986, including any 
document related to eligibility for, or the calculation or 
determination of any amount directly related to, any such credit or 
advance payment.
    (d) Limitation on Credits and Refunds.--Notwithstanding section 
6511 of the Internal Revenue Code of 1986, no credit under section 3134 
of the Internal Revenue Code of 1986 shall be allowed, and no refund 
with respect to any such credit shall be made, after the date of the 
enactment of this Act, unless a claim for such credit or refund was 
filed by the taxpayer on or before January 31, 2024.
    (e) Extension of Limitation on Assessment.--Section 3134(l) is 
amended to read as follows:
    ``(l) Extension of Limitation on Assessment.--
            ``(1) In general.--Notwithstanding section 6501, the 
        limitation on the time period for the assessment of any amount 
        attributable to a credit claimed under this section shall not 
        expire before the date that is 6 years after the latest of--
                    ``(A) the date on which the original return which 
                includes the calendar quarter with respect to which 
                such credit is determined is filed,
                    ``(B) the date on which such return is treated as 
                filed under section 6501(b)(2), or
                    ``(C) the date on which the claim for credit or 
                refund with respect to such credit is made.
            ``(2) Deduction for wages taken into account in determining 
        improperly claimed credit.--
                    ``(A) In general.--Notwithstanding section 6511, in 
                the case of an assessment attributable to a credit 
                claimed under this section, the limitation on the time 
                period for credit or refund of any amount attributable 
                to a deduction for improperly claimed ERTC wages shall 
                not expire before the time period for such assessment 
                expires under paragraph (1).
                    ``(B) Improperly claimed ertc wages.--For purposes 
                of this paragraph, the term `improperly claimed ERTC 
                wages' means, with respect to an assessment 
                attributable to a credit claimed under this section, 
                the wages with respect to which a deduction would not 
                have been allowed if the portion of the credit to which 
                such assessment relates had been properly claimed.''.
    (f) Amendment to Penalty for Erroneous Claim for Refund or 
Credit.--Section 6676(a) is amended by striking ``income tax'' and 
inserting ``income or employment tax''.
    (g) Effective Dates.--
            (1) In general.--The provisions of this section shall apply 
        to aid, assistance, and advice provided after the date of the 
        enactment of this Act.
            (2) Limitation on credits and refunds.--Subsection (d) 
        shall apply to credits and refunds allowed or made after the 
        date of the enactment of this Act.
            (3) Extension of limitation on assessment.--The amendment 
        made by subsection (e) shall apply to assessments made after 
        the date of the enactment of this Act.
            (4) Amendment to penalty for erroneous claim for refund or 
        credit.--The amendment made by subsection (f) shall apply to 
        claims for credit or refund after the date of the enactment of 
        this Act.
    (h) Regulations.--The Secretary (as defined in subsection (a)(5)) 
shall issue such regulations or other guidance as may be necessary or 
appropriate to carry out the purposes of this section (and the 
amendments made by this section).

SEC. 70606. SOCIAL SECURITY NUMBER REQUIREMENT FOR AMERICAN OPPORTUNITY 
              AND LIFETIME LEARNING CREDITS.

    (a) Social Security Number of Taxpayer Required.--Section 25A(g)(1) 
is amended to read as follows:
            ``(1) Identification requirement.--
                    ``(A) Social security number requirement.--No 
                credit shall be allowed under subsection (a) to an 
                individual unless the individual includes on the return 
                of tax for the taxable year--
                            ``(i) such individual's social security 
                        number, and
                            ``(ii) in the case of a credit with respect 
                        to the qualified tuition and related expenses 
                        of an individual other than the taxpayer or the 
                        taxpayer's spouse, the name and social security 
                        number of such individual.
                    ``(B) Institution.--No American Opportunity Tax 
                Credit shall be allowed under this section unless the 
                taxpayer includes the employer identification number of 
                any institution to which the taxpayer paid qualified 
                tuition and related expenses taken into account under 
                this section on the return of tax for the taxable year.
                    ``(C) Social security number defined.--For purposes 
                of this paragraph, the term `social security number' 
                shall have the meaning given such term in section 
                24(h)(7).''.
    (b) Omission Treated as Mathematical or Clerical Error.--Section 
6213(g)(2)(J) is amended by striking ``TIN'' and inserting ``social 
security number or employer identification number''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

SEC. 70607. TASK FORCE ON THE REPLACEMENT OF DIRECT FILE.

    Out of any money in the Treasury not otherwise appropriated, there 
is hereby appropriated for the fiscal year ending September 30, 2026, 
$15,000,000, to remain available until September 30, 2026, for 
necessary expenses of the Department of the Treasury to deliver to 
Congress, within 90 days following the date of the enactment of this 
Act, a report on--
            (1) the cost of enhancing and establishing public-private 
        partnerships which provide for free tax filing for up to 70 
        percent of all taxpayers calculated by adjusted gross income, 
        and to replace any direct e-file programs run by the Internal 
        Revenue Service;
            (2) taxpayer opinions and preferences regarding a taxpayer-
        funded, government-run service or a free service provided by 
        the private sector;
            (3) assessment of the feasibility of a new approach, how to 
        make the options consistent and simple for taxpayers across all 
        participating providers, and how to provide features to address 
        taxpayer needs; and
            (4) the cost (including options for differential coverage 
        based on taxpayer adjusted gross income and return complexity) 
        of developing and running a free direct e-file tax return 
        system, including costs to build and administer each release.

                           Subtitle B--Health

                          CHAPTER 1--MEDICAID

    Subchapter A--Reducing Fraud and Improving Enrollment Processes

SEC. 71101. MORATORIUM ON IMPLEMENTATION OF RULE RELATING TO 
              ELIGIBILITY AND ENROLLMENT IN MEDICARE SAVINGS PROGRAMS.

    (a) In General.--The Secretary of Health and Human Services shall 
not, during the period beginning on the date of the enactment of this 
section and ending September 30, 2034, implement, administer, or 
enforce the amendments made by the provisions of the final rule 
published by the Centers for Medicare & Medicaid Services on September 
21, 2023, and titled ``Streamlining Medicaid; Medicare Savings Program 
Eligibility Determination and Enrollment'' (88 Fed. Reg. 65230) to the 
following sections of title 42, Code of Federal Regulations:
            (1) Section 406.21(c).
            (2) Section 435.4.
            (3) Section 435.601.
            (4) Section 435.911.
            (5) Section 435.952.
    (b) Implementation Funding.--For the purposes of carrying out the 
provisions of this section and section 71102, there are appropriated, 
out of any monies in the Treasury not otherwise appropriated, to the 
Administrator of the Centers for Medicare & Medicaid Services, 
$1,000,000 for fiscal year 2026, to remain available until expended.

SEC. 71102. MORATORIUM ON IMPLEMENTATION OF RULE RELATING TO 
              ELIGIBILITY AND ENROLLMENT FOR MEDICAID, CHIP, AND THE 
              BASIC HEALTH PROGRAM.

    The Secretary of Health and Human Services shall not, during the 
period beginning on the date of the enactment of this section and 
ending September 30, 2034, implement, administer, or enforce the 
amendments made by the provisions of the final rule published by the 
Centers for Medicare & Medicaid Services on April 2, 2024, and titled 
``Medicaid Program; Streamlining the Medicaid, Children's Health 
Insurance Program, and Basic Health Program Application, Eligibility 
Determination, Enrollment, and Renewal Processes'' (89 Fed. Reg. 22780) 
to the following sections of title 42, Code of Federal Regulations:
            (1) Part 431.--
                    (A) Section 431.213(d).
            (2) Part 435.--
                    (A) Section 435.222.
                    (B) Section 435.407.
                    (C) Section 435.907.
                    (D) Section 435.911(c).
                    (E) Section 435.912.
                    (F) Section 435.916.
                    (G) Section 435.919.
                    (H) Section 435.1200(b)(3)(i)-(v).
                    (I) Section 435.1200(e )(1)(ii).
                    (J) Section 435.1200(h)(1).
            (3) Part 447.--Section 447.56(a)(1)(v).
            (4) Part 457.--
                    (A) Section 457.344.
                    (B) Section 457.960.
                    (C) Section 457.1140(d)(4).
                    (D) Section 457.1170.
                    (E) Section 457.1180.

SEC. 71103. REDUCING DUPLICATE ENROLLMENT UNDER THE MEDICAID AND CHIP 
              PROGRAMS.

    (a) Medicaid.--
            (1) In general.--Section 1902 of the Social Security Act 
        (42 U.S.C. 1396a) is amended--
                    (A) in subsection (a)--
                            (i) in paragraph (86), by striking ``and'' 
                        at the end;
                            (ii) in paragraph (87), by striking the 
                        period and inserting ``; and''; and
                            (iii) by inserting after paragraph (87) the 
                        following new paragraph:
            ``(88) provide--
                    ``(A) beginning not later than January 1, 2027, in 
                the case of 1 of the 50 States and the District of 
                Columbia, for a process to regularly obtain address 
                information for individuals enrolled under such plan 
                (or a waiver of such plan) in accordance with 
                subsection (vv); and
                    ``(B) beginning not later than October 1, 2029--
                            ``(i) for the State to submit to the system 
                        established by the Secretary under subsection 
                        (uu), with respect to an individual enrolled or 
                        seeking to enroll under such plan, not less 
                        frequently than once each month and during each 
                        determination or redetermination of the 
                        eligibility of such individual for medical 
                        assistance under such plan (or waiver of such 
                        plan)--
                                    ``(I) the social security number of 
                                such individual, if such individual has 
                                a social security number and is 
                                required to provide such number to 
                                enroll under such plan (or waiver); and
                                    ``(II) such other information with 
                                respect to such individual as 
                                determined necessary by the Secretary 
                                for purposes of preventing individuals 
                                from simultaneously being enrolled 
                                under State plans (or waivers of such 
                                plans) of multiple States;
                            ``(ii) for the use of such system to 
                        prevent such simultaneous enrollment; and
                            ``(iii) in the case that such system 
                        indicates that an individual enrolled or 
                        seeking to enroll under such plan (or waiver of 
                        such plan) is enrolled under a State plan (or 
                        waiver of such a plan) of another State, for 
                        the taking of appropriate action (as determined 
                        by the Secretary) to identify whether such an 
                        individual resides in the State and disenroll 
                        an individual from the State plan of such State 
                        if such individual does not reside in such 
                        State (unless such individual meets such an 
                        exception as the Secretary may specify).''; and
                    (B) by adding at the end the following new 
                subsections:
    ``(uu) Prevention of Enrollment Under Multiple State Plans.--
            ``(1) In general.--Not later than October 1, 2029, the 
        Secretary shall establish a system to be utilized by the 
        Secretary and States to prevent an individual from being 
        simultaneously enrolled under the State plans (or waivers of 
        such plans) of multiple States. Such system shall--
                    ``(A) provide for the receipt of information 
                submitted by a State under subsection (a)(88)(B)(i); 
                and
                    ``(B) not less than once each month, transmit 
                information to a State (or allow the Secretary to 
                transmit information to a State) regarding whether an 
                individual enrolled or seeking to enroll under the 
                State plan of such State (or waiver of such plan) is 
                enrolled under the State plan (or waiver of such plan) 
                of another State.
            ``(2) Standards.--The Secretary shall establish such 
        standards as determined necessary by the Secretary to limit and 
        protect information submitted under such system and ensure the 
        privacy of such information, consistent with subsection (a)(7).
            ``(3) Implementation funding.--There are appropriated to 
        the Administrator of the Centers for Medicare & Medicaid 
        Services, out of amounts in the Treasury not otherwise 
        appropriated, in addition to amounts otherwise available--
                    ``(A) for fiscal year 2026, $10,000,000 for 
                purposes of establishing the system and standards 
                required under this subsection, to remain available 
                until expended; and
                    ``(B) for fiscal year 2029, $20,000,000 for 
                purposes of maintaining such system, to remain 
                available until expended.
    ``(vv) Process to Obtain Enrollee Address Information.--
            ``(1) In general.--For purposes of subsection (a)(88)(A), a 
        process to regularly obtain address information for individuals 
        enrolled under a State plan (or a waiver of such plan) shall 
        obtain address information from reliable data sources described 
        in paragraph (2) and take such actions as the Secretary shall 
        specify with respect to any changes to such address based on 
        such information.
            ``(2) Reliable data sources described.--For purposes of 
        paragraph (1), the reliable data sources described in this 
        paragraph are the following:
                    ``(A) Mail returned to the State by the United 
                States Postal Service with a forwarding address.
                    ``(B) The National Change of Address Database 
                maintained by the United States Postal Service.
                    ``(C) A managed care entity (as defined in section 
                1932(a)(1)(B)) or prepaid inpatient health plan or 
                prepaid ambulatory health plan (as such terms are 
                defined in section 1903(m)(9)(D)) that has a contract 
                under the State plan if the address information is 
                provided to such entity or plan directly from, or 
                verified by such entity or plan directly with, such 
                individual.
                    ``(D) Other data sources as identified by the State 
                and approved by the Secretary.''.
            (2) Conforming amendments.--
                    (A) PARIS.--Section 1903(r)(3) of the Social 
                Security Act (42 U.S.C. 1396b(r)(3)) is amended--
                            (i) by striking ``In order'' and inserting 
                        ``(A) In order'';
                            (ii) by striking ``through the Public'' and 
                        inserting ``through--
                    ``(i) the Public'';
                            (iii) by striking the period at the end and 
                        inserting ``; and
                    ``(ii) beginning October 1, 2029, the system 
                established by the Secretary under section 1902(uu).''; 
                and
                            (iv) by adding at the end the following new 
                        subparagraph:
            ``(B) Beginning October 1, 2029, the Secretary may 
        determine that a State is not required to have in operation an 
        eligibility determination system which provides for data 
        matching (for purposes of address verification under section 
        1902(vv)) through the system described in subparagraph (A)(i) 
        to meet the requirements of this paragraph.''.
                    (B) Managed care.--Section 1932 of the Social 
                Security Act (42 U.S.C. 1396u-2) is amended by adding 
                at the end the following new subsection:
    ``(j) Transmission of Address Information.--Beginning January 1, 
2027, each contract under a State plan with a managed care entity (as 
defined in section 1932(a)(1)(B)) or with a prepaid inpatient health 
plan or prepaid ambulatory health plan (as such terms are defined in 
section 1903(m)(9)(D)), shall provide that such entity or plan shall 
promptly transmit to the State any address information for an 
individual enrolled with such entity or plan that is provided to such 
entity or plan directly from, or verified by such entity or plan 
directly with, such individual.''.
    (b) CHIP.--
            (1) In general.--Section 2107(e)(1) of the Social Security 
        Act (42 U.S.C. 1397gg(e)(1)) is amended--
                    (A) by redesignating subparagraphs (H) through (U) 
                as subparagraphs (I) through (V), respectively; and
                    (B) by inserting after subparagraph (G) the 
                following new subparagraph:
                    ``(H) Section 1902(a)(88) (relating to address 
                information for enrollees and prevention of 
                simultaneous enrollments).''.
            (2) Managed care.--Section 2103(f)(3) of the Social 
        Security Act (42 U.S.C. 1397cc(f)(3)) is amended by striking 
        ``and (e)'' and inserting ``(e), and (j)''.

SEC. 71104. ENSURING DECEASED INDIVIDUALS DO NOT REMAIN ENROLLED.

    Section 1902 of the Social Security Act (42 U.S.C. 1396a), as 
amended by section 71103, is further amended--
            (1) in subsection (a)--
                    (A) in paragraph (87), by striking ``; and'' and 
                inserting a semicolon;
                    (B) in paragraph (88), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by inserting after paragraph (88) the following 
                new paragraph:
            ``(89) provide that the State shall comply with the 
        eligibility verification requirements under subsection (ww), 
        except that this paragraph shall apply only in the case of the 
        50 States and the District of Columbia.''; and
            (2) by adding at the end the following new subsection:
    ``(ww) Verification of Certain Eligibility Criteria.--
            ``(1) In general.--For purposes of subsection (a)(89), the 
        eligibility verification requirements, beginning January 1, 
        2027, are as follows:
                    ``(A) Quarterly screening to verify enrollee 
                status.--The State shall, not less frequently than 
                quarterly, review the Death Master File (as such term 
                is defined in section 203(d) of the Bipartisan Budget 
                Act of 2013) or a successor system that provides such 
                information needed to determine whether any individuals 
                enrolled for medical assistance under the State plan 
                (or waiver of such plan) are deceased.
                    ``(B) Disenrollment under state plan.--If the State 
                determines, based on information obtained from the 
                Death Master File, that an individual enrolled for 
                medical assistance under the State plan (or waiver of 
                such plan) is deceased, the State shall--
                            ``(i) treat such information as factual 
                        information confirming the death of a 
                        beneficiary;
                            ``(ii) disenroll such individual from the 
                        State plan (or waiver of such plan) in 
                        accordance with subsection (a)(3); and
                            ``(iii) discontinue any payments for 
                        medical assistance under this title made on 
                        behalf of such individual (other than payments 
                        for any items or services furnished to such 
                        individual prior to the death of such 
                        individual).
                    ``(C) Reinstatement of coverage in the event of 
                error.--If a State determines that an individual was 
                misidentified as deceased based on information obtained 
                from the Death Master File and was erroneously 
                disenrolled from medical assistance under the State 
                plan (or waiver of such plan) based on such 
                misidentification, the State shall immediately re-
                enroll such individual under the State plan (or waiver 
                of such plan), retroactive to the date of such 
                disenrollment.
            ``(2) Rule of construction.--Nothing under this subsection 
        shall be construed to preclude the ability of a State to use 
        other electronic data sources to timely identify potentially 
        deceased beneficiaries, so long as the State is also in 
        compliance with the requirements of this subsection (and all 
        other requirements under this title relating to Medicaid 
        eligibility determination and redetermination).''.

SEC. 71105. ENSURING DECEASED PROVIDERS DO NOT REMAIN ENROLLED.

    Section 1902(kk)(1) of the Social Security Act (42 U.S.C. 
1396a(kk)(1)) is amended--
            (1) by striking ``The State'' and inserting:
                    ``(A) In general.--The State''; and
            (2) by adding at the end the following new subparagraph:
                    ``(B) Provider screening against death master 
                file.--Beginning January 1, 2028, as part of the 
                enrollment (or reenrollment or revalidation of 
                enrollment) of a provider or supplier under this title, 
                and not less frequently than quarterly during the 
                period that such provider or supplier is so enrolled, 
                the State conducts a check of the Death Master File (as 
                such term is defined in section 203(d) of the 
                Bipartisan Budget Act of 2013) to determine whether 
                such provider or supplier is deceased.''.

SEC. 71106. PAYMENT REDUCTION RELATED TO CERTAIN ERRONEOUS EXCESS 
              PAYMENTS UNDER MEDICAID.

    (a) In General.--Section 1903(u)(1) of the Social Security Act (42 
U.S.C. 1396b(u)(1)) is amended--
            (1) in subparagraph (A)--
                    (A) by inserting ``for audits conducted by the 
                Secretary, or, at the option of the Secretary, audits 
                conducted by the State'' after ``exceeds 0.03''; and
                    (B) by inserting ``, to the extent practicable'' 
                before the period at the end;
            (2) in subparagraph (B)--
                    (A) by striking ``The Secretary'' and inserting 
                ``(i) Subject to clause (ii), the Secretary''; and
                    (B) by adding at the end the following new clause:
            ``(ii) The amount waived under clause (i) for a fiscal year 
        may not exceed an amount equal to the erroneous excess payments 
        for medical assistance described in subparagraph (D)(i)(II) 
        made for such fiscal year that exceed the allowable error rate 
        of 0.03.''.
            (3) in subparagraph (C), by striking ``he'' in each place 
        it appears and inserting ``the Secretary'' in each such place; 
        and
            (4) in subparagraph (D)(i)--
                    (A) in subclause (I), by striking ``and'' at the 
                end;
                    (B) in subclause (II), by striking the period at 
                the end and inserting ``, or payments where 
                insufficient information is available to confirm 
                eligibility, and''; and
                    (C) by adding at the end the following new 
                subclause:
            ``(III) payments (other than payments described in 
        subclause (I)) for items and services furnished to an 
        individual who is not eligible for medical assistance under the 
        State plan (or a waiver of such plan) with respect to such 
        items and services, or payments where insufficient information 
        is available to confirm eligibility.''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply beginning with respect to fiscal year 2030.

SEC. 71107. ELIGIBILITY REDETERMINATIONS.

    (a) In General.--Section 1902(e)(14) of the Social Security Act (42 
U.S.C. 1396a(e)(14)) is amended by adding at the end the following new 
subparagraph:
                    ``(L) Frequency of eligibility redeterminations for 
                certain individuals.--
                            ``(i) In general.--Subject to clause (ii), 
                        with respect to redeterminations of eligibility 
                        for medical assistance under a State plan (or 
                        waiver of such plan) scheduled on or after the 
                        first day of the first quarter that begins 
                        after December 31, 2026, a State shall make 
                        such a redetermination once every 6 months for 
                        the following individuals:
                                    ``(I) Individuals enrolled under 
                                subsection (a)(10)(A)(i)(VIII).
                                    ``(II) Individuals described in 
                                such subsection who are otherwise 
                                enrolled under a waiver of such plan 
                                that provides coverage that is 
                                equivalent to minimum essential 
                                coverage (as described in section 
                                5000A(f)(1)(A) of the Internal Revenue 
                                Code of 1986 and determined in 
                                accordance with standards prescribed by 
                                the Secretary in regulations) to all 
                                individuals described in subsection 
                                (a)(10)(A)(i)(VIII).
                            ``(ii) Exemption.--The requirements 
                        described in clause (i) shall not apply to any 
                        individual described in subsection 
                        (xx)(9)(A)(ii)(II).
                            ``(iii) State defined.--For purposes of 
                        this subparagraph, the term `State' means 1 of 
                        the 50 States or the District of Columbia.''.
    (b) Guidance.--Not later than 180 days after the date of enactment 
of this section, the Secretary of Health and Human Services, acting 
through the Administrator of the Centers for Medicare & Medicaid 
Services, shall issue guidance relating to the implementation of the 
amendments made by this section.
    (c) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $75,000,000 for fiscal year 2026, to remain 
available until expended.

SEC. 71108. REVISING HOME EQUITY LIMIT FOR DETERMINING ELIGIBILITY FOR 
              LONG-TERM CARE SERVICES UNDER THE MEDICAID PROGRAM.

    (a) Revising Home Equity Limit.--Section 1917(f)(1) of the Social 
Security Act (42 U.S.C. 1396p(f)(1)) is amended--
            (1) in subparagraph (B)--
                    (A) by striking ``A State'' and inserting ``(i) A 
                State'';
                    (B) in clause (i), as inserted by subparagraph 
                (A)--
                            (i) by striking ```$500,000''' and 
                        inserting ``the amount specified in 
                        subparagraph (A)''; and
                            (ii) by inserting ``, in the case of an 
                        individual's home that is located on a lot that 
                        is zoned for agricultural use,'' after ``apply 
                        subparagraph (A)''; and
                    (C) by adding at the end the following new clause:
            ``(ii) A State may elect, without regard to the 
        requirements of section 1902(a)(1) (relating to statewideness) 
        and section 1902(a)(10)(B) (relating to comparability), to 
        apply subparagraph (A), in the case of an individual's home 
        that is not described in clause (i), by substituting for the 
        amount specified in such subparagraph, an amount that exceeds 
        such amount, but does not exceed $1,000,000.''; and
            (2) in subparagraph (C)--
                    (A) by inserting ``(other than the amount specified 
                in subparagraph (B)(ii) (relating to certain non-
                agricultural homes))'' after ``specified in this 
                paragraph''; and
                    (B) by adding at the end the following new 
                sentence: ``In the case that application of the 
                preceding sentence would result in a dollar amount 
                (other than the amount specified in subparagraph (B)(i) 
                (relating to certain agricultural homes)) exceeding 
                $1,000,000, such amount shall be deemed to be equal to 
                $1,000,000.''.
    (b) Clarification.--Section 1902 of the Social Security Act (42 
U.S.C. 1396a) is amended--
            (1) in subsection (r)(2), by adding at the end the 
        following new subparagraph:
    ``(C) This paragraph shall not be construed as permitting a State 
to determine the eligibility of an individual for medical assistance 
with respect to nursing facility services or other long-term care 
services without application of the limit under section 1917(f)(1).''; 
and
            (2) in subsection (e)(14)(D)(iv)--
                    (A) by striking ``Subparagraphs'' and inserting
                                    ``(I) In general.--Subparagraphs''; 
                                and
                    (B) by adding at the end the following new 
                subclause:
                                    ``(II) Application of home equity 
                                interest limit.--Section 1917(f) shall 
                                apply for purposes of determining the 
                                eligibility of an individual for 
                                medical assistance with respect to 
                                nursing facility services or other 
                                long-term care services.''.
    (c) Effective Date.--The amendments made by subsection (a) shall 
apply beginning on January 1, 2028.

SEC. 71109. ALIEN MEDICAID ELIGIBILITY.

    (a) Medicaid.--Section 1903(v) of the Social Security Act (42 
U.S.C. 1396b(v)) is amended--
            (1) in paragraph (1), by striking ``and (4)''and inserting 
        ``, (4), and (5)''; and
            (2) by adding at the end the following new paragraph:
    ``(5) Notwithstanding the preceding paragraphs of this subsection, 
beginning on October 1, 2026, except as provided in paragraphs (2) and 
(4), in no event shall payment be made to a State under this section 
for medical assistance furnished to an individual unless such 
individual is--
            ``(A) a resident of 1 of the 50 States, the District of 
        Columbia, or a territory of the United States; and
            ``(B) either--
                    ``(i) a citizen or national of the United States;
                    ``(ii) an alien lawfully admitted for permanent 
                residence as an immigrant as defined by sections 
                101(a)(15) and 101(a)(20) of the Immigration and 
                Nationality Act, excluding, among others, alien 
                visitors, tourists, diplomats, and students who enter 
                the United States temporarily with no intention of 
                abandoning their residence in a foreign country;
                    ``(iii) an alien who has been granted the status of 
                Cuban and Haitian entrant, as defined in section 501(e) 
                of the Refugee Education Assistance Act of 1980 (Public 
                Law 96-422); or
                    ``(iv) an individual who lawfully resides in the 
                United States in accordance with a Compact of Free 
                Association referred to in section 402(b)(2)(G) of the 
                Personal Responsibility and Work Opportunity 
                Reconciliation Act of 1996.''.
    (b) CHIP.--Section 2107(e)(1) of the Social Security Act, as 
amended by section 71103(b), is further amended--
            (1) by redesignating subparagraphs (R) through (V) as 
        paragraphs (S) through (W), respectively; and
            (2) by inserting after paragraph (Q) the following:
                    ``(R) Section 1903(v)(5) (relating to payments for 
                medical assistance furnished to aliens), except in 
                relation to payments for services provided under 
                section 2105(a)(1)(D)(ii).''.
    (c) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $15,000,000 for fiscal year 2026, to remain 
available until expended.

SEC. 71110. EXPANSION FMAP FOR EMERGENCY MEDICAID.

    (a) In General.--Section 1905 of the Social Security Act (42 U.S.C. 
1396d) is amended by adding at the end the following new subsection:
    ``(kk) FMAP for Treatment of an Emergency Medical Condition.--
Notwithstanding subsection (y) and (z), beginning on October 1, 2026, 
the Federal medical assistance percentage for payments for care and 
services described in paragraph (2) of subsection 1903(v) furnished to 
an alien described in paragraph (1) of such subsection shall not exceed 
the Federal medical assistance percentage determined under subsection 
(b) for such State.''.
    (b) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $1,000,000 for fiscal year 2026, to remain available 
until expended.

               Subchapter B--Preventing Wasteful Spending

SEC. 71111. MORATORIUM ON IMPLEMENTATION OF RULE RELATING TO STAFFING 
              STANDARDS FOR LONG-TERM CARE FACILITIES UNDER THE 
              MEDICARE AND MEDICAID PROGRAMS.

    The Secretary of Health and Human Services shall not, during the 
period beginning on the date of the enactment of this section and 
ending September 30, 2034, implement, administer, or enforce the 
amendments made by the provisions of the final rule published by the 
Centers for Medicare & Medicaid Services on May 10, 2024, and titled 
``Medicare and Medicaid Programs; Minimum Staffing Standards for Long-
Term Care Facilities and Medicaid Institutional Payment Transparency 
Reporting'' (89 Fed. Reg. 40876) to the following sections of part 483 
of title 42, Code of Federal Regulations:
            (1) Section 483.5.
            (2) Section 483.35.

SEC. 71112. REDUCING STATE MEDICAID COSTS.

    (a) In General.--Section 1902(a)(34) of the Social Security Act (42 
U.S.C. 1396a(a)(34)) is amended to read as follows:
            ``(34) provide that in the case of any individual who has 
        been determined to be eligible for medical assistance under the 
        plan and--
                    ``(A) is enrolled under paragraph (10)(A)(i)(VIII), 
                such assistance will be made available to the 
                individual for care and services included under the 
                plan and furnished in or after the month before the 
                month in which the individual made application (or 
                application was made on the individual's behalf in the 
                case of a deceased individual) for such assistance if 
                such individual was (or upon application would have 
                been) eligible for such assistance at the time such 
                care and services were furnished; or
                    ``(B) is not described in subparagraph (A), such 
                assistance will be made available to the individual for 
                care and services included under the plan and furnished 
                in or after the second month before the month in which 
                the individual made application (or application was 
                made on the individual's behalf in the case of a 
                deceased individual) for such assistance if such 
                individual was (or upon application would have been) 
                eligible for such assistance at the time such care and 
                services were furnished;''.
    (b) Definition of Medical Assistance.--Section 1905(a) of the 
Social Security Act (42 U.S.C. 1396d(a)) is amended by striking ``in or 
after the third month before the month in which the recipient makes 
application for assistance'' and inserting ``, with respect to an 
individual described in section 1902(a)(34)(A), in or after the month 
before the month in which the recipient makes application for 
assistance, and with respect to an individual described in section 
1902(a)(34)(B), in or after the second month before the month in which 
the recipient makes application for assistance''.
    (c) CHIP.--Section 2102(b)(1)(B) of the Social Security Act (42 
U.S.C. 1397bb(b)(1)(B)) is amended--
            (1) in clause (iv), by striking ``and'' at the end;
            (2) in clause (v), by striking the period and inserting ``; 
        and''; and
            (3) by adding at the end the following new clause:
                            ``(vi) shall, in the case that the State 
                        elects to provide child health or pregnancy-
                        related assistance to an individual for any 
                        period prior to the month in which the 
                        individual made application for such assistance 
                        (or application was made on behalf of the 
                        individual), provide that such assistance is 
                        not made available to such individual for items 
                        and services included under the State child 
                        health plan (or waiver of such plan) that are 
                        furnished before the second month preceding the 
                        month in which such individual made application 
                        (or application was made on behalf of such 
                        individual) for assistance.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to medical assistance, child health assistance, and pregnancy-
related assistance with respect to individuals whose eligibility for 
such medical assistance, child health assistance, or pregnancy-related 
assistance is based on an application made on or after the first day of 
the first quarter that begins after December 31, 2026.
    (e) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $10,000,000 for fiscal year 2026, to remain 
available until expended.

SEC. 71113. FEDERAL PAYMENTS TO PROHIBITED ENTITIES.

    (a) In General.--No Federal funds that are considered direct 
spending and provided to carry out a State plan under title XIX of the 
Social Security Act or a waiver of such a plan shall be used to make 
payments to a prohibited entity for items and services furnished during 
the 1-year period beginning on the date of the enactment of this Act, 
including any payments made directly to the prohibited entity or under 
a contract or other arrangement between a State and a covered 
organization.
    (b) Definitions.--In this section:
            (1) Prohibited entity.--The term ``prohibited entity'' 
        means an entity, including its affiliates, subsidiaries, 
        successors, and clinics--
                    (A) that, as of the first day of the first quarter 
                beginning after the date of enactment of this Act--
                            (i) is an organization described in section 
                        501(c)(3) of the Internal Revenue Code of 1986 
                        and exempt from tax under section 501(a) of 
                        such Code;
                            (ii) is an essential community provider 
                        described in section 156.235 of title 45, Code 
                        of Federal Regulations (as in effect on the 
                        date of enactment of this Act), that is 
                        primarily engaged in family planning services, 
                        reproductive health, and related medical care; 
                        and
                            (iii) provides for abortions, other than an 
                        abortion--
                                    (I) if the pregnancy is the result 
                                of an act of rape or incest; or
                                    (II) in the case where a woman 
                                suffers from a physical disorder, 
                                physical injury, or physical illness, 
                                including a life-endangering physical 
                                condition caused by or arising from the 
                                pregnancy itself, that would, as 
                                certified by a physician, place the 
                                woman in danger of death unless an 
                                abortion is performed; and
                    (B) for which the total amount of Federal and State 
                expenditures under the Medicaid program under title XIX 
                of the Social Security Act for medical assistance 
                furnished in fiscal year 2023 made directly, or by a 
                covered organization, to the entity or to any 
                affiliates, subsidiaries, successors, or clinics of the 
                entity, or made to the entity or to any affiliates, 
                subsidiaries, successors, or clinics of the entity as 
                part of a nationwide health care provider network, 
                exceeded $800,000.
            (2) Direct spending.--The term ``direct spending'' has the 
        meaning given that term under section 250(c) of the Balanced 
        Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 
        900(c)).
            (3) Covered organization.--The term ``covered 
        organization'' means a managed care entity (as defined in 
        section 1932(a)(1)(B) of the Social Security Act (42 U.S.C. 
        1396u-2(a)(1)(B))) or a prepaid inpatient health plan or 
        prepaid ambulatory health plan (as such terms are defined in 
        section 1903(m)(9)(D) of such Act (42 U.S.C. 1396b(m)(9)(D))).
            (4) State.--The term ``State'' has the meaning given such 
        term in section 1101 of the Social Security Act (42 U.S.C. 
        1301).
    (c) Implementation Funding.--For the purposes of carrying out this 
section, there are appropriated, out of any monies in the Treasury not 
otherwise appropriated, to the Administrator of the Centers for 
Medicare & Medicaid Services, $1,000,000 for fiscal year 2026, to 
remain available until expended.

           Subchapter C--Stopping Abusive Financing Practices

SEC. 71114. SUNSETTING INCREASED FMAP INCENTIVE.

    Section 1905(ii)(3) of the Social Security Act (42 U.S.C. 
1396d(ii)(3)) is amended--
            (1) by striking ``which has not'' and inserting the 
        following: ``which--
                    ``(A) has not'';
            (2) in subparagraph (A), as so inserted, by striking the 
        period at the end and inserting ``; and''; and
            (3) by adding at the end the following new subparagraph:
                    ``(B) begins to expend amounts for all such 
                individuals prior to January 1, 2026.''.

SEC. 71115. PROVIDER TAXES.

    (a) Change in Threshold for Hold Harmless Provision of Broad-based 
Health Care Related Taxes.--Section 1903(w)(4) of the Social Security 
Act (42 U.S.C. 1396b(w)(4)) is amended--
            (1) in subparagraph (C)(ii), by inserting ``, and for 
        fiscal years beginning on or after October 1, 2026, the 
        applicable percent determined under subparagraph (D) shall be 
        substituted for `6 percent' each place it appears'' after 
        ``each place it appears''; and
            (2) by inserting after subparagraph (C)(ii), the following 
        new subparagraph:
            ``(D)(i) For purposes of subparagraph (C)(ii), the 
        applicable percent determined under this subparagraph is--
                    ``(I) in the case of a non-expansion State or unit 
                of local government in such State and a class of health 
                care items or services described in section 433.56(a) 
                of title 42, Code of Federal Regulations (as in effect 
                on May 1, 2025)--
                            ``(aa) if, on the date of enactment of this 
                        subparagraph, the non-expansion State or unit 
                        of local government in such State has enacted a 
                        tax and imposes such tax on such class and the 
                        Secretary determines that the tax is within the 
                        hold harmless threshold as of that date, the 
                        applicable percent of net patient revenue 
                        attributable to such class that has been so 
                        determined; and
                            ``(bb) if, on the date of enactment of this 
                        subparagraph, the non-expansion State or unit 
                        of local government in such State has not 
                        enacted or does not impose a tax with respect 
                        to such class, 0 percent; and
                    ``(II) in the case of an expansion State or unit of 
                local government in such State and a class of health 
                care items or services described in section 433.56(a) 
                of title 42, Code of Federal Regulations (as in effect 
                on May 1, 2025), subject to clause (iv)--
                            ``(aa) if, on the date of enactment of this 
                        subparagraph, the expansion State or unit of 
                        local government in such State has enacted a 
                        tax and imposes such tax on such class and the 
                        Secretary determines that the tax is within the 
                        hold harmless threshold as of that date, the 
                        lower of--
                                    ``(AA) the applicable percent of 
                                net patient revenue attributable to 
                                such class that has been so determined; 
                                and
                                    ``(BB) the applicable percent 
                                specified in clause (ii) for the fiscal 
                                year; and
                            ``(bb) if, on the date of enactment of this 
                        subparagraph, the expansion State or unit of 
                        local government in such State has not enacted 
                        or does not impose a tax with respect to such 
                        class, 0 percent.
                    ``(ii) For purposes of clause (i)(II)(aa)(BB), the 
                applicable percent is--
                            ``(I) for fiscal year 2028, 5.5 percent;
                            ``(II) for fiscal year 2029, 5 percent;
                            ``(III) for fiscal year 2030, 4.5 percent;
                            ``(IV) for fiscal year 2031, 4 percent; and
                            ``(V) for fiscal year 2032 and each 
                        subsequent fiscal year, 3.5 percent.
                    ``(iii) For purposes of clause (i):
                            ``(I) Expansion state.--The term `expansion 
                        State' means a State that, beginning on January 
                        1, 2014, or on any date thereafter, elects to 
                        provide medical assistance to all individuals 
                        described in section 1902(a)(10)(A)(i)(VIII) 
                        under the State plan under this title or under 
                        a waiver of such plan.
                            ``(II) Non-expansion state.--The term `non-
                        expansion State' means a State that is not an 
                        expansion State.
                    ``(iv) In the case of a tax of an expansion State 
                or unit of local government in such State in effect on 
                the date of enactment of this clause, that applies to a 
                class of health care items or services that is 
                described in paragraph (3) or (4) of section 433.56(a) 
                of title 42, Code of Federal Regulations (as in effect 
                on May 1, 2025), and for which, on such date of 
                enactment, is within the hold harmless threshold (as 
                determined by the Secretary), the applicable percent of 
                net patient revenue attributable to such class that has 
                been so determined shall apply for a fiscal year 
                instead of the applicable percent specified in clause 
                (ii) for the fiscal year.''.
    (b) Non-application to Territories.--The amendments made by this 
section shall only apply with respect to a State that is 1 of the 50 
States or the District of Columbia.
    (c) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $20,000,000 for fiscal year 2026, to remain 
available until expended.

SEC. 71116. STATE DIRECTED PAYMENTS.

    (a) In General.--Subject to subsection (b), the Secretary of Health 
and Human Services (in this section referred to as the Secretary) shall 
revise section 438.6(c)(2)(iii) of title 42, Code of Federal 
Regulations (or a successor regulation) such that, with respect to a 
payment described in such section made for a service furnished during a 
rating period beginning on or after the date of the enactment of this 
Act, the total payment rate for such service is limited to--
            (1) in the case of a State that provides coverage to all 
        individuals described in section 1902(a)(10)(A)(i)(VIII) of the 
        Social Security Act (42 U.S.C. 1396a(a)(10)(A)(i)(VIII)) that 
        is equivalent to minimum essential coverage (as described in 
        section 5000A(f)(1)(A) of the Internal Revenue Code of 1986 and 
        determined in accordance with standards prescribed by the 
        Secretary in regulations) under the State plan (or waiver of 
        such plan) of such State under title XIX of such Act, 100 
        percent of the specified total published Medicare payment rate 
        (or, in the absence of a specified total published Medicare 
        payment rate, the payment rate under a Medicaid State plan (or 
        under a waiver of such plan)); or
            (2) in the case of a State other than a State described in 
        paragraph (1), 110 percent of the specified total published 
        Medicare payment rate (or, in the absence of a specified total 
        published Medicare payment rate, the payment rate under a 
        Medicaid State plan (or under a waiver of such plan)).
    (b) Grandfathering Certain Payments.--In the case of a payment 
described in section 438.6(c)(2)(iii) of title 42, Code of Federal 
Regulations (or a successor regulation) for which written prior 
approval (or a good faith effort to receive such approval, as 
determined by the Secretary) was made before May 1, 2025, or a payment 
described in such section for a rural hospital (as defined in 
subsection (d)(2)) for which written prior approval (or a good faith 
effort to receive such approval, as determined by the Secretary) was 
made by the date of enactment of this Act, for the rating period 
occurring within 180 days of the date of the enactment of this Act, or 
a payment so described for such rating period for which a completed 
preprint was submitted to the Secretary prior to the date of enactment 
of this Act, beginning with the rating period on or after January 1, 
2028, the total amount of such payment shall be reduced by 10 
percentage points each year until the total payment rate for such 
service is equal to the rate for such service specified in subsection 
(a).
    (c) Treatment of Expansion States.--The revisions described in 
subsection (a) shall provide that, with respect to a State that begins 
providing the coverage described in paragraph (1) of such subsection on 
or after the date of the enactment of this Act, the limitation 
described in such paragraph shall apply to such State with respect to a 
payment described in section 438.6(c)(2)(iii) of title 42, Code of 
Federal Regulations (or a successor regulation) for a service furnished 
during a rating period beginning on or after the date of enactment of 
this Act.
    (d) Definitions.--In this section:
            (1) Rating period.--The term ``rating period'' has the 
        meaning given such term in section 438.2 of title 42, Code of 
        Federal Regulations (or a successor regulation).
            (2) Rural hospital.--The term ``rural hospital'' means the 
        following:
                    (A) A subsection (d) hospital (as defined in 
                paragraph (1)(B) of section 1886(d) of the Social 
                Security Act (42 U.S.C. 1395ww(d))) that--
                            (i) is located in a rural area (as defined 
                        in paragraph (2)(D) of such section);
                            (ii) is treated as being located in a rural 
                        area pursuant to paragraph (8)(E) of such 
                        section; or
                            (iii) is located in a rural census tract of 
                        a metropolitan statistical area (as determined 
                        under the most recent modification of the 
                        Goldsmith Modification, originally published in 
                        the Federal Register on February 27, 1992 (57 
                        Fed. Reg. 6725)).
                    (B) A critical access hospital (as defined in 
                section 1861(mm)(1) of such Act (42 U.S.C. 
                1395x(mm)(1))).
                    (C) A sole community hospital (as defined in 
                section 1886(d)(5)(D)(iii) of such Act (42 U.S.C. 
                1395ww(d)(5)(D)(iii))).
                    (D) A Medicare-dependent, small rural hospital (as 
                defined in section 1886(d)(5)(G)(iv) of such Act (42 
                U.S.C. 1395ww(d)(5)(G)(iv))).
                    (E) A low-volume hospital (as defined in section 
                1886(d)(12)(C) of such Act (42 U.S.C. 
                1395ww(d)(12)(C))).
                    (F) A rural emergency hospital (as defined in 
                section 1861(kkk)(2) of such Act (42 U.S.C. 
                1395x(kkk)(2))).
            (3) State.--The term ``State'' means 1 of the 50 States or 
        the District of Columbia.
            (4) Total published medicare payment rate.--The term 
        ``total published Medicare payment rate'' has the meaning given 
        to such term in section 438.6(a) of title 42, Code of Federal 
        Regulations (or a successor regulation).
            (5) Written prior approval.--The term ``written prior 
        approval'' has the meaning given to such term in section 
        438.6(c)(2)(i) of title 42, Code of Federal Regulations (or a 
        successor regulation).
    (e) Funding.--There are appropriated out of any monies in the 
Treasury not otherwise appropriated $7,000,000 for each of fiscal years 
2026 through 2033 for purposes of carrying out this section, to remain 
available until expended.

SEC. 71117. REQUIREMENTS REGARDING WAIVER OF UNIFORM TAX REQUIREMENT 
              FOR MEDICAID PROVIDER TAX.

    (a) In General.--Section 1903(w) of the Social Security Act (42 
U.S.C. 1396b(w)) is amended--
            (1) in paragraph (3)(E), by inserting after clause (ii)(II) 
        the following new clause:
    ``(iii) For purposes of clause (ii)(I), a tax is not considered to 
be generally redistributive if any of the following conditions apply:
            ``(I) Within a permissible class, the tax rate imposed on 
        any taxpayer or tax rate group (as defined in paragraph (7)(J)) 
        explicitly defined by its relatively lower volume or percentage 
        of Medicaid taxable units (as defined in paragraph (7)(H)) is 
        lower than the tax rate imposed on any other taxpayer or tax 
        rate group explicitly defined by its relatively higher volume 
        or percentage of Medicaid taxable units.
            ``(II) Within a permissible class, the tax rate imposed on 
        any taxpayer or tax rate group (as so defined) based upon its 
        Medicaid taxable units (as so defined) is higher than the tax 
        rate imposed on any taxpayer or tax rate group based upon its 
        non-Medicaid taxable unit (as defined in paragraph (7)(I)).
            ``(III) The tax excludes or imposes a lower tax rate on a 
        taxpayer or tax rate group (as so defined) based on or defined 
        by any description that results in the same effect as described 
        in subclause (I) or (II) for a taxpayer or tax rate group. 
        Characteristics that may indicate such type of exclusion 
        include the use of terminology to establish a tax rate group--
                    ``(aa) based on payments or expenditures made under 
                the program under this title without mentioning the 
                term `Medicaid' (or any similar term) to accomplish the 
                same effect as described in subclause (I) or (II); or
                    ``(bb) that closely approximates a taxpayer or tax 
                rate group under the program under this title, to the 
                same effect as described in subclause (I) or (II).''; 
                and
            (2) in paragraph (7), by adding at the end the following 
        new subparagraphs:
            ``(H) The term `Medicaid taxable unit' means a unit that is 
        being taxed within a health care related tax that is applicable 
        to the program under this title. Such term includes a unit that 
        is used as the basis for--
                    ``(i) payment under the program under this title 
                (such as Medicaid bed days);
                    ``(ii) Medicaid revenue;
                    ``(iii) costs associated with the program under 
                this title (such as Medicaid charges, claims, or 
                expenditures); and
                    ``(iv) other units associated with the program 
                under this title, as determined by the Secretary.
            ``(I) The term `non-Medicaid taxable unit' means a unit 
        that is being taxed within a health care related tax that is 
        not applicable to the program under this title. Such term 
        includes a unit that is used as the basis for--
                    ``(i) payment by non-Medicaid payers (such as non-
                Medicaid bed days);
                    ``(ii) non-Medicaid revenue;
                    ``(iii) costs that are not associated with the 
                program under this title (such as non-Medicaid charges, 
                non-Medicaid claims, or non-Medicaid expenditures); and
                    ``(iv) other units not associated with the program 
                under this title, as determined by the Secretary.
            ``(J) The term `tax rate group' means a group of entities 
        contained within a permissible class of a health care related 
        tax that are taxed at the same rate.''.
    (b) Non-application to Territories.--The amendments made by this 
section shall only apply with respect to a State that is 1 of the 50 
States or the District of Columbia.
    (c) Effective Date.--The amendments made by this section shall take 
effect upon the date of enactment of this Act, subject to any 
applicable transition period determined appropriate by the Secretary of 
Health and Human Services, not to exceed 3 fiscal years.

SEC. 71118. REQUIRING BUDGET NEUTRALITY FOR MEDICAID DEMONSTRATION 
              PROJECTS UNDER SECTION 1115.

    (a) In General.--Section 1115 of the Social Security Act (42 U.S.C. 
1315) is amended by adding at the end the following new subsection:
    ``(g) Requirement of Budget Neutrality for Medicaid Demonstration 
Projects.--
            ``(1) In general.--Beginning January 1 2027, the Secretary 
        may not approve an application for (or renewal or amendment of) 
        an experimental, pilot, or demonstration project undertaken 
        under subsection (a) to promote the objectives of title XIX in 
        a State (in this subsection referred to as a `Medicaid 
        demonstration project') unless the Chief Actuary for the 
        Centers for Medicare & Medicaid Services certifies that such 
        project, or, in the case of a renewal, the duration of the 
        preceding waiver, is not expected to result in an increase in 
        the amount of Federal expenditures compared to the amount that 
        such expenditures would otherwise be in the absence of such 
        project. For purposes of this subsection, expenditures for the 
        coverage of populations and services that the State could have 
        otherwise provided through its Medicaid State plan or other 
        authority under title XIX, including expenditures that could be 
        made under such authority but for the provision of such 
        services at a different site of service than authorized under 
        such State plan or other authority, shall be considered 
        expenditures in the absence of such a project.
            ``(2) Treatment of savings.--In the event that expenditures 
        with respect to a State under a Medicaid demonstration project 
        are, during an approval period for such project, less than the 
        amount of such expenditures that would have otherwise been made 
        in the absence of such project, the Secretary shall specify the 
        methodology to be used with respect to the subsequent approval 
        period for such project for purposes of taking the difference 
        between such expenditures into account.''.
    (b) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $5,000,000 for each of fiscal years 2026 and 2027, 
to remain available until expended.

            Subchapter D--Increasing Personal Accountability

SEC. 71119. REQUIREMENT FOR STATES TO ESTABLISH MEDICAID COMMUNITY 
              ENGAGEMENT REQUIREMENTS FOR CERTAIN INDIVIDUALS.

    (a) In General.--Section 1902 of the Social Security Act (42 U.S.C. 
1396a), as amended by sections 71103 and 71104, is further amended by 
adding at the end the following new subsection:
    ``(xx) Community Engagement Requirement for Applicable 
Individuals.--
            ``(1) In general.--Except as provided in paragraph (11), 
        beginning not later than the first day of the first quarter 
        that begins after December 31, 2026, or, at the option of the 
        State under a waiver or demonstration project under section 
        1115 or the State plan, such earlier date as the State may 
        specify, subject to the succeeding provisions of this 
        subsection, a State shall provide, as a condition of 
        eligibility for medical assistance for an applicable 
        individual, that such individual is required to demonstrate 
        community engagement under paragraph (2)--
                    ``(A) in the case of an applicable individual who 
                has filed an application for medical assistance under a 
                State plan (or a waiver of such plan) under this title, 
                for 1 or more but not more than 3 (as specified by the 
                State) consecutive months immediately preceding the 
                month during which such individual applies for such 
                medical assistance; and
                    ``(B) in the case of an applicable individual 
                enrolled and receiving medical assistance under a State 
                plan (or under a waiver of such plan) under this title, 
                for 1 or more (as specified by the State) months, 
                whether or not consecutive--
                            ``(i) during the period between such 
                        individual's most recent determination (or 
                        redetermination, as applicable) of eligibility 
                        and such individual's next regularly scheduled 
                        redetermination of eligibility (as verified by 
                        the State as part of such regularly scheduled 
                        redetermination of eligibility); or
                            ``(ii) in the case of a State that has 
                        elected under paragraph (4) to conduct more 
                        frequent verifications of compliance with the 
                        requirement to demonstrate community 
                        engagement, during the period between the most 
                        recent and next such verification with respect 
                        to such individual.
            ``(2) Community engagement compliance described.--Subject 
        to paragraph (3), an applicable individual demonstrates 
        community engagement under this paragraph for a month if such 
        individual meets 1 or more of the following conditions with 
        respect to such month, as determined in accordance with 
        criteria established by the Secretary through regulation:
                    ``(A) The individual works not less than 80 hours.
                    ``(B) The individual completes not less than 80 
                hours of community service.
                    ``(C) The individual participates in a work program 
                for not less than 80 hours.
                    ``(D) The individual is enrolled in an educational 
                program at least half-time.
                    ``(E) The individual engages in any combination of 
                the activities described in subparagraphs (A) through 
                (D), for a total of not less than 80 hours.
                    ``(F) The individual has a monthly income that is 
                not less than the applicable minimum wage requirement 
                under section 6 of the Fair Labor Standards Act of 
                1938, multiplied by 80 hours.
                    ``(G) The individual had an average monthly income 
                over the preceding 6 months that is not less than the 
                applicable minimum wage requirement under section 6 of 
                the Fair Labor Standards Act of 1938 multiplied by 80 
                hours, and is a seasonal worker, as described in 
                section 45R(d)(5)(B) of the Internal Revenue Code of 
                1986 .
            ``(3) Exceptions.--
                    ``(A) Mandatory exception for certain 
                individuals.--The State shall deem an applicable 
                individual to have demonstrated community engagement 
                under paragraph (2) for a month, and may elect to not 
                require an individual to verify information resulting 
                in such deeming, if--
                            ``(i) for part or all of such month, the 
                        individual--
                                    ``(I) was a specified excluded 
                                individual (as defined in paragraph 
                                (9)(A)(ii)); or
                                    ``(II) was--
                                            ``(aa) under the age of 19;
                                            ``(bb) entitled to, or 
                                        enrolled for, benefits under 
                                        part A of title XVIII, or 
                                        enrolled for benefits under 
                                        part B of title XVIII; or
                                            ``(cc) described in any of 
                                        subclauses (I) through (VII) of 
                                        subsection (a)(10)(A)(i); or
                            ``(ii) at any point during the 3-month 
                        period ending on the first day of such month, 
                        the individual was an inmate of a public 
                        institution.
                    ``(B) Optional exception for short-term hardship 
                events.--
                            ``(i) In general.--The State plan (or 
                        waiver of such plan) may provide, in the case 
                        of an applicable individual who experiences a 
                        short-term hardship event during a month, that 
                        the State shall, under procedures established 
                        by the State (in accordance with standards 
                        specified by the Secretary), in the case of a 
                        short-term hardship event described in clause 
                        (ii)(II) and, upon the request of such 
                        individual, a short-term hardship event 
                        described in subclause (I) or (III) of clause 
                        (ii), deem such individual to have demonstrated 
                        community engagement under paragraph (2) for 
                        such month.
                            ``(ii) Short-term hardship event defined.--
                        For purposes of this subparagraph, an 
                        applicable individual experiences a short-term 
                        hardship event during a month if, for part or 
                        all of such month--
                                    ``(I) such individual receives 
                                inpatient hospital services, nursing 
                                facility services, services in an 
                                intermediate care facility for 
                                individuals with intellectual 
                                disabilities, inpatient psychiatric 
                                hospital services, or such other 
                                services of similar acuity (including 
                                outpatient care relating to other 
                                services specified in this subclause) 
                                as the Secretary determines 
                                appropriate;
                                    ``(II) such individual resides in a 
                                county (or equivalent unit of local 
                                government)--
                                            ``(aa) in which there 
                                        exists an emergency or disaster 
                                        declared by the President 
                                        pursuant to the National 
                                        Emergencies Act or the Robert 
                                        T. Stafford Disaster Relief and 
                                        Emergency Assistance Act; or
                                            ``(bb) that, subject to a 
                                        request from the State to the 
                                        Secretary, made in such form, 
                                        at such time, and containing 
                                        such information as the 
                                        Secretary may require, has an 
                                        unemployment rate that is at or 
                                        above the lesser of--

                                                    ``(AA) 8 percent; 
                                                or

                                                    ``(BB) 1.5 times 
                                                the national 
                                                unemployment rate; or

                                    ``(III) such individual or their 
                                dependent must travel outside of their 
                                community for an extended period of 
                                time to receive medical services 
                                necessary to treat a serious or complex 
                                medical condition (as described in 
                                paragraph (9)(A)(ii)(V)(ee)) that are 
                                not available within their community of 
                                residence.
            ``(4) Option to conduct more frequent compliance 
        verifications.--With respect to an applicable individual 
        enrolled and receiving medical assistance under a State plan 
        (or a waiver of such plan) under this title, the State shall 
        verify (in accordance with procedures specified by the 
        Secretary) that each such individual has met the requirement to 
        demonstrate community engagement under paragraph (1) during 
        each such individual's regularly scheduled redetermination of 
        eligibility, except that a State may provide for such 
        verifications more frequently.
            ``(5) Ex parte verifications.--For purposes of verifying 
        that an applicable individual has met the requirement to 
        demonstrate community engagement under paragraph (1), or 
        determining such individual to be deemed to have demonstrated 
        community engagement under paragraph (3), or that an individual 
        is a specified excluded individual under paragraph (9)(A)(ii), 
        the State shall, in accordance with standards established by 
        the Secretary, establish processes and use reliable information 
        available to the State (such as payroll data or payments or 
        encounter data under this title for individuals and data on 
        payments to such individuals for the provision of services 
        covered under this title) without requiring, where possible, 
        the applicable individual to submit additional information.
            ``(6) Procedure in the case of noncompliance.--
                    ``(A) In general.--If a State is unable to verify 
                that an applicable individual has met the requirement 
                to demonstrate community engagement under paragraph (1) 
                (including, if applicable, by verifying that such 
                individual was deemed to have demonstrated community 
                engagement under paragraph (3)) the State shall (in 
                accordance with standards specified by the Secretary)--
                            ``(i) provide such individual with the 
                        notice of noncompliance described in 
                        subparagraph (B);
                            ``(ii)(I) provide such individual with a 
                        period of 30 calendar days, beginning on the 
                        date on which such notice of noncompliance is 
                        received by the individual, to--
                                    ``(aa) make a satisfactory showing 
                                to the State of compliance with such 
                                requirement (including, if applicable, 
                                by showing that such individual was or 
                                should be deemed to have demonstrated 
                                community engagement under paragraph 
                                (3)); or
                                    ``(bb) make a satisfactory showing 
                                to the State that such requirement does 
                                not apply to such individual on the 
                                basis that such individual does not 
                                meet the definition of applicable 
                                individual under paragraph (9)(A); and
                            ``(II) if such individual is enrolled under 
                        the State plan (or a waiver of such plan) under 
                        this title, continue to provide such individual 
                        with medical assistance during such 30-
                        calendar-day period; and
                            ``(iii) if no such satisfactory showing is 
                        made and the individual is not a specified 
                        excluded individual described in paragraph 
                        (9)(A)(ii), deny such individual's application 
                        for medical assistance under the State plan (or 
                        waiver of such plan) or, as applicable, 
                        disenroll such individual from the plan (or 
                        waiver of such plan) not later than the end of 
                        the month following the month in which such 30-
                        calendar-day period ends, provided that--
                                    ``(I) the State first determines 
                                whether, with respect to the 
                                individual, there is any other basis 
                                for eligibility for medical assistance 
                                under the State plan (or waiver of such 
                                plan) or for another insurance 
                                affordability program; and
                                    ``(II) the individual is provided 
                                written notice and granted an 
                                opportunity for a fair hearing in 
                                accordance with subsection (a)(3).
                    ``(B) Notice.--The notice of noncompliance provided 
                to an applicable individual under subparagraph (A)(i) 
                shall include information (in accordance with standards 
                specified by the Secretary) on--
                            ``(i) how such individual may make a 
                        satisfactory showing of compliance with such 
                        requirement (as described in subparagraph 
                        (A)(ii)) or make a satisfactory showing that 
                        such requirement does not apply to such 
                        individual on the basis that such individual 
                        does not meet the definition of applicable 
                        individual under paragraph (9)(A); and
                            ``(ii) how such individual may reapply for 
                        medical assistance under the State plan (or a 
                        waiver of such plan) under this title in the 
                        case that such individuals' application is 
                        denied or, as applicable, in the case that such 
                        individual is disenrolled from the plan (or 
                        waiver).
            ``(7) Treatment of noncompliant individuals in relation to 
        certain other provisions.--
                    ``(A) Certain fmap increases.--A State shall not be 
                treated as not providing medical assistance to all 
                individuals described in section 
                1902(a)(10)(A)(i)(VIII), or as not expending amounts 
                for all such individuals under the State plan (or 
                waiver of such plan), solely because such an individual 
                is determined ineligible for medical assistance under 
                the State plan (or waiver) on the basis of a failure to 
                meet the requirement to demonstrate community 
                engagement under paragraph (1).
                    ``(B) Other provisions.--For purposes of section 
                36B(c)(2)(B) of the Internal Revenue Code of 1986, an 
                individual shall be deemed to be eligible for minimum 
                essential coverage described in section 
                5000A(f)(1)(A)(ii) of such Code for a month if such 
                individual would have been eligible for medical 
                assistance under a State plan (or a waiver of such 
                plan) under this title but for a failure to meet the 
                requirement to demonstrate community engagement under 
                paragraph (1).
            ``(8) Outreach.--
                    ``(A) In general.--In accordance with standards 
                specified by the Secretary, beginning not later than 
                the date that precedes December 31, 2026 (or, if the 
                State elects under paragraph (1) to specify an earlier 
                date, such earlier date) by the number of months 
                specified by the State under paragraph (1)(A) plus 3 
                months, and periodically thereafter, the State shall 
                notify applicable individuals enrolled under a State 
                plan (or waiver) under this title of the requirement to 
                demonstrate community engagement under this subsection. 
                Such notice shall include information on--
                            ``(i) how to comply with such requirement, 
                        including an explanation of the exceptions to 
                        such requirement under paragraph (3) and the 
                        definition of the term `applicable individual' 
                        under paragraph (9)(A);
                            ``(ii) the consequences of noncompliance 
                        with such requirement; and
                            ``(iii) how to report to the State any 
                        change in the individual's status that could 
                        result in--
                                    ``(I) the applicability of an 
                                exception under paragraph (3) (or the 
                                end of the applicability of such an 
                                exception); or
                                    ``(II) the individual qualifying as 
                                a specified excluded individual under 
                                paragraph (9)(A)(ii).
                    ``(B) Form of outreach notice.--A notice required 
                under subparagraph (A) shall be delivered--
                            ``(i) by regular mail (or, if elected by 
                        the individual, in an electronic format); and
                            ``(ii) in 1 or more additional forms, which 
                        may include telephone, text message, an 
                        internet website, other commonly available 
                        electronic means, and such other forms as the 
                        Secretary determines appropriate.
            ``(9) Definitions.--In this subsection:
                    ``(A) Applicable individual.--
                            ``(i) In general.--The term `applicable 
                        individual' means an individual (other than a 
                        specified excluded individual (as defined in 
                        clause (ii)))--
                                    ``(I) who is eligible to enroll (or 
                                is enrolled) under the State plan under 
                                subsection (a)(10)(A)(i)(VIII); or
                                    ``(II) who--
                                            ``(aa) is otherwise 
                                        eligible to enroll (or is 
                                        enrolled) under a waiver of 
                                        such plan that provides 
                                        coverage that is equivalent to 
                                        minimum essential coverage (as 
                                        described in section 
                                        5000A(f)(1)(A) of the Internal 
                                        Revenue Code of 1986 and as 
                                        determined in accordance with 
                                        standards prescribed by the 
                                        Secretary in regulations); and
                                            ``(bb) has attained the age 
                                        of 19 and is under 65 years of 
                                        age, is not pregnant, is not 
                                        entitled to, or enrolled for, 
                                        benefits under part A of title 
                                        XVIII, or enrolled for benefits 
                                        under part B of title XVIII, 
                                        and is not otherwise eligible 
                                        to enroll under such plan.
                            ``(ii) Specified excluded individual.--For 
                        purposes of clause (i), the term `specified 
                        excluded individual' means an individual, as 
                        determined by the State (in accordance with 
                        standards specified by the Secretary)--
                                    ``(I) who is described in 
                                subsection (a)(10)(A)(i)(IX);
                                    ``(II) who--
                                            ``(aa) is an Indian or an 
                                        Urban Indian (as such terms are 
                                        defined in paragraphs (13) and 
                                        (28) of section 4 of the Indian 
                                        Health Care Improvement Act);
                                            ``(bb) is a California 
                                        Indian described in section 
                                        809(a) of such Act; or
                                            ``(cc) has otherwise been 
                                        determined eligible as an 
                                        Indian for the Indian Health 
                                        Service under regulations 
                                        promulgated by the Secretary;
                                    ``(III) who is the parent, 
                                guardian, caretaker relative, or family 
                                caregiver (as defined in section 2 of 
                                the RAISE Family Caregivers Act) of a 
                                dependent child 13 years of age and 
                                under or a disabled individual;
                                    ``(IV) who is a veteran with a 
                                disability rated as total under section 
                                1155 of title 38, United States Code;
                                    ``(V) who is medically frail or 
                                otherwise has special medical needs (as 
                                defined by the Secretary), including an 
                                individual--
                                            ``(aa) who is blind or 
                                        disabled (as defined in section 
                                        1614);
                                            ``(bb) with a substance use 
                                        disorder;
                                            ``(cc) with a disabling 
                                        mental disorder;
                                            ``(dd) with a physical, 
                                        intellectual or developmental 
                                        disability that significantly 
                                        impairs their ability to 
                                        perform 1 or more activities of 
                                        daily living; or
                                            ``(ee) with a serious or 
                                        complex medical condition;
                                    ``(VI) who--
                                            ``(aa) is in compliance 
                                        with any requirements imposed 
                                        by the State pursuant to 
                                        section 407; or
                                            ``(bb) is a member of a 
                                        household that receives 
                                        supplemental nutrition 
                                        assistance program benefits 
                                        under the Food and Nutrition 
                                        Act of 2008 and is not exempt 
                                        from a work requirement under 
                                        such Act;
                                    ``(VII) who is participating in a 
                                drug addiction or alcoholic treatment 
                                and rehabilitation program (as defined 
                                in section 3(h) of the Food and 
                                Nutrition Act of 2008);
                                    ``(VIII) who is an inmate of a 
                                public institution; or
                                    ``(IX) who is pregnant or entitled 
                                to postpartum medical assistance under 
                                paragraph (5) or (16) of subsection 
                                (e).
                    ``(B) Educational program.--The term `educational 
                program' includes--
                            ``(i) an institution of higher education 
                        (as defined in section 101 of the Higher 
                        Education Act of 1965); and
                            ``(ii) a program of career and technical 
                        education (as defined in section 3 of the Carl 
                        D. Perkins Career and Technical Education Act 
                        of 2006).
                    ``(C) State.--The term `State' means 1 of the 50 
                States or the District of Columbia.
                    ``(D) Work program.--The term `work program' has 
                the meaning given such term in section 6(o)(1) of the 
                Food and Nutrition Act of 2008.
            ``(10) Prohibiting waiver of community engagement 
        requirements.--Notwithstanding section 1115(a), the provisions 
        of this subsection may not be waived.
            ``(11) Special implementation rule.--
                    ``(A) In general.--Subject to subparagraph (C), the 
                Secretary may exempt a State from compliance with the 
                requirements of this subsection if--
                            ``(i) the State submits to the Secretary a 
                        request for such exemption, made in such form 
                        and at such time as the Secretary may require, 
                        and including the information specified in 
                        subparagraph (B); and
                            ``(ii) the Secretary determines that based 
                        on such request, the State is demonstrating a 
                        good faith effort to comply with the 
                        requirements of this subsection.
                    ``(B) Good faith effort determination.--In 
                determining whether a State is demonstrating a good 
                faith effort for purposes of subparagraph (A)(ii), the 
                Secretary shall consider--
                            ``(i) any actions taken by the State toward 
                        compliance with the requirements of this 
                        subsection;
                            ``(ii) any significant barriers to or 
                        challenges in meeting such requirements, 
                        including related to funding, design, 
                        development, procurement, or installation of 
                        necessary systems or resources;
                            ``(iii) the State's detailed plan and 
                        timeline for achieving full compliance with 
                        such requirements, including any milestones of 
                        such plan (as defined by the Secretary); and
                            ``(iv) any other criteria determined 
                        appropriate by the Secretary.
                    ``(C) Duration of exemption.--
                            ``(i) In general.--An exemption granted 
                        under subparagraph (A) shall expire not later 
                        than December 31, 2028, and may not be renewed 
                        beyond such date.
                            ``(ii) Early termination.--The Secretary 
                        may terminate an exemption granted under 
                        subparagraph (A) prior to the expiration date 
                        of such exemption if the Secretary determined 
                        that the State has--
                                    ``(I) failed to comply with the 
                                reporting requirements described in 
                                subparagraph (D); or
                                    ``(II) based on the information 
                                provided pursuant to subparagraph (D), 
                                failed to make continued good faith 
                                efforts toward compliance with the 
                                requirements of this subsection.
                    ``(D) Reporting requirements.--A State granted an 
                exemption under subparagraph (A) shall submit to the 
                Secretary--
                            ``(i) quarterly progress reports on the 
                        State's status in achieving the milestones 
                        toward full compliance described in 
                        subparagraph (B)(iii); and
                            ``(ii) information on specific risks or 
                        newly identified barriers or challenges to full 
                        compliance, including the State's plan to 
                        mitigate such risks, barriers, or 
                        challenges.''.
    (b) Conforming Amendment.--Section 1902(a)(10)(A)(i)(VIII) of the 
Social Security Act (42 U.S.C. 1396a(a)(10)(A)(i)(VIII)) is amended by 
striking ``subject to subsection (k)'' and inserting ``subject to 
subsections (k) and (xx)''.
    (c) Prohibiting Conflicts of Interest.--A State shall not use a 
Medicaid managed care entity or other specified entity (as such terms 
are defined in section 1903(m)(9)(D)), or other contractor to determine 
beneficiary compliance under such section unless the contractor has no 
direct or indirect financial relationship with any Medicaid managed 
care entity or other specified entity that is responsible for providing 
or arranging for coverage of medical assistance for individuals 
enrolled with the entity pursuant to a contract with such State.
    (d) Interim Final Rulemaking.--Not later than June 1, 2026, the 
Secretary of Health and Human Services shall promulgate an interim 
final rule for purposes of implementing the provisions of, and the 
amendments made by, this section. Any action taken to implement the 
provisions of, and the amendments made by, this section shall not be 
subject to the provisions of section 553 of title 5, United States 
Code.
    (e) Development of Government Efficiency Grants to States.--
            (1) In general.--In order for States to establish systems 
        necessary to carry out the provisions of, and amendments made 
        by, this section or other sections of this chapter that pertain 
        to conducting eligibility determinations or redeterminations, 
        the Secretary of Health and Human Services shall--
                    (A) out of amounts appropriated under paragraph 
                (3)(A), award to each State a grant equal to the amount 
                specified in paragraph (2) for such State; and
                    (B) out of amounts appropriated under paragraph 
                (3)(B), distribute an equal amount among such States.
            (2) Amount specified.--For purposes of paragraph (1)(A), 
        the amount specified in this paragraph is an amount that bears 
        the same ratio to the amount appropriated under paragraph 
        (3)(A) as the number of applicable individuals (as defined in 
        section 1902(xx) of the Social Security Act, as added by 
        subsection (a)) residing in such State bears to the total 
        number of such individuals residing in all States, as of March 
        31, 2025.
            (3) Funding.--There are appropriated, out of any monies in 
        the Treasury not otherwise appropriated--
                    (A) $100,000,000 for fiscal year 2026 for purposes 
                of awarding grants under paragraph (1)(A), to remain 
                available until expended; and
                    (B) $100,000,000 for fiscal year 2026 for purposes 
                of award grants under paragraph (1)(B), to remain 
                available until expended.
            (4) Definition.--In this subsection, the term ``State'' 
        means 1 of the 50 States and the District of Columbia.
    (f) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $200,000,000 for fiscal year 2026, to remain 
available until expended.

SEC. 71120. MODIFYING COST SHARING REQUIREMENTS FOR CERTAIN EXPANSION 
              INDIVIDUALS UNDER THE MEDICAID PROGRAM.

    (a) In General.--Section 1916 of the Social Security Act (42 U.S.C. 
1396o) is amended--
            (1) in subsection (a), in the matter preceding paragraph 
        (1), by inserting ``(other than, beginning October 1, 2028, 
        specified individuals (as defined in subsection (k)(3)))'' 
        after ``individuals''; and
            (2) by adding at the end the following new subsection:
    ``(k) Special Rules for Certain Expansion Individuals.--
            ``(1) Premiums.--Beginning October 1, 2028, the State plan 
        shall provide that in the case of a specified individual (as 
        defined in paragraph (3)) who is eligible under the plan, no 
        enrollment fee, premium, or similar charge will be imposed 
        under the plan.
            ``(2) Required imposition of cost sharing.--
                    ``(A) In general.--Subject to subparagraph (B) and 
                subsection (j), in the case of a specified individual, 
                the State plan shall, beginning October 1, 2028, 
                provide for the imposition of such deductions, cost 
                sharing, or similar charges determined appropriate by 
                the State (in an amount greater than $0) with respect 
                to certain care, items, or services furnished to such 
                an individual, as determined by the State.
                    ``(B) Limitations.--
                            ``(i) Exclusion of certain services.--In no 
                        case may a deduction, cost sharing, or similar 
                        charge be imposed under the State plan with 
                        respect to care, items, or services described 
                        in any of subparagraphs (B) through (J) of 
                        subsection (a)(2), or any primary care 
                        services, mental health care services, 
                        substance use disorder services, or services 
                        provided by a Federally qualified health center 
                        (as defined in 1905(l)(2)), certified community 
                        behavioral health clinic (as defined in section 
                        1905(jj)(2)), or rural health clinic (as 
                        defined in 1905(l)(1)), furnished to a 
                        specified individual.
                            ``(ii) Item and service limitation.--
                                    ``(I) In general.--Except as 
                                provided in subclause (II), in no case 
                                may a deduction, cost sharing, or 
                                similar charge imposed under the State 
                                plan with respect to care or an item or 
                                service furnished to a specified 
                                individual exceed $35.
                                    ``(II) Special rules for 
                                prescription drugs.--In no case may a 
                                deduction, cost sharing, or similar 
                                charge imposed under the State plan 
                                with respect to a prescription drug 
                                furnished to a specified individual 
                                exceed the limit that would be 
                                applicable under paragraph (2)(A)(i) or 
                                (2)(B) of section 1916A(c) with respect 
                                to such drug and individual if such 
                                drug so furnished were subject to cost 
                                sharing under such section.
                            ``(iii) Maximum limit on cost sharing.--The 
                        total aggregate amount of deductions, cost 
                        sharing, or similar charges imposed under the 
                        State plan for all individuals in the family 
                        may not exceed 5 percent of the family income 
                        of the family involved, as applied on a 
                        quarterly or monthly basis (as specified by the 
                        State).
                    ``(C) Cases of nonpayment.--Notwithstanding 
                subsection (e), a State may permit a provider 
                participating under the State plan to require, as a 
                condition for the provision of care, items, or services 
                to a specified individual entitled to medical 
                assistance under this title for such care, items, or 
                services, the payment of any deductions, cost sharing, 
                or similar charges authorized to be imposed with 
                respect to such care, items, or services. Nothing in 
                this subparagraph shall be construed as preventing a 
                provider from reducing or waiving the application of 
                such deductions, cost sharing, or similar charges on a 
                case-by-case basis.
            ``(3) Specified individual defined.--For purposes of this 
        subsection, the term `specified individual' means an individual 
        who has a family income (as determined in accordance with 
        section 1902(e)(14)) that exceeds the poverty line (as defined 
        in section 2110(c)(5)) applicable to a family of the size 
        involved and--
                    ``(A) is enrolled under section 
                1902(a)(10)(A)(i)(VIII); or
                    ``(B) is described in such subsection and otherwise 
                enrolled under a waiver of the State plan that provides 
                coverage that is equivalent to minimum essential 
                coverage (as described in section 5000A(f)(1)(A) of the 
                Internal Revenue Code of 1986 and determined in 
                accordance with standards prescribed by the Secretary 
                in regulations) to all individuals described in section 
                1902(a)(10)(A)(i)(VIII).
            ``(4) State defined.--For purposes of this subsection, the 
        term `State' means 1 of the 50 States or the District of 
        Columbia.''.
    (b) Conforming Amendments.--
            (1) Required application.--Section 1902(a)(14) of the 
        Social Security Act (42 U.S.C. 1396a(a)(14)) is amended by 
        inserting ``and provide for imposition of such deductions, cost 
        sharing, or similar charges for care, items, or services 
        furnished to specified individuals (as defined in paragraph (3) 
        of section 1916(k)) in accordance with paragraph (2) of such 
        section'' after ``section 1916''.
            (2) Nonapplicability of alternative cost sharing.--Section 
        1916A(a)(1) of the Social Security Act (42 U.S.C. 1396o-
        1(a)(1)) is amended, in the second sentence, by striking ``or 
        (j)'' and inserting ``(j), or (k)''.
    (c) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $15,000,000 for fiscal year 2026, to remain 
available until expended.

                 Subchapter E--Expanding Access to Care

SEC. 71121. MAKING CERTAIN ADJUSTMENTS TO COVERAGE OF HOME OR 
              COMMUNITY-BASED SERVICES UNDER MEDICAID.

    (a) Expanding HCBS Coverage Under Section 1915(c) Waivers.--Section 
1915(c) of the Social Security Act (42 U.S.C. 1396n(c)) is amended--
            (1) in paragraph (3), by inserting ``paragraph (11) or'' 
        before ``subsection (h)(2)''; and
            (2) by adding at the end the following new paragraph:
    ``(11) Expanding Coverage for Home or Community-based Services.--
            ``(A) In general.--Beginning July 1, 2028, notwithstanding 
        paragraph (1), the Secretary may approve a waiver that is 
        standalone from any other waiver approved under this subsection 
        to include as medical assistance under the State plan of such 
        State payment for part or all of the cost of home or community-
        based services (other than room and board (as described in 
        paragraph (1))) approved by the Secretary which are provided 
        pursuant to a written plan of care to individuals described in 
        subparagraph (B)(iii). A waiver approved under this paragraph 
        shall be for an initial term of 3 years and, upon the request 
        of the State, shall be extended for additional 5-year periods 
        unless the Secretary determines that for the previous waiver 
        period the requirements specified under this subsection 
        (excluding those excepted under subparagraph (B)) have not been 
        met.
            ``(B) State requirements.--In addition to the requirements 
        specified under this subsection (except for the requirements 
        described in subparagraphs (C) and (D) of paragraph (2) and any 
        other requirement specified under this subsection that the 
        Secretary determines to be inapplicable in the context of a 
        waiver that does not require individuals to have a 
        determination described in paragraph (1)), a State shall meet 
        the following requirements as a condition of waiver approval:
                    ``(i) As of the date that such State requests a 
                waiver under this subsection to provide home or 
                community-based services to individuals described in 
                clause (iii), all other waivers (if any) granted under 
                this subsection to such State meet the requirements of 
                this subsection.
                    ``(ii) The State demonstrates to the Secretary that 
                approval of a waiver under this subsection with respect 
                to individuals described in clause (iii) will not 
                result in a material increase of the average amount of 
                time that individuals with respect to whom a 
                determination described in paragraph (1) has been made 
                will need to wait to receive home or community-based 
                services under any other waiver granted under this 
                subsection, as determined by the Secretary.
                    ``(iii) The State establishes needs-based criteria, 
                subject to the approval of the Secretary, regarding who 
                will be eligible for home or community-based services 
                under a waiver approved under this paragraph without 
                requiring such individuals to have a determination 
                described in paragraph (1), and specifies the home or 
                community-based services such individuals so eligible 
                will receive.
                    ``(iv) The State establishes needs-based criteria 
                for determining whether an individual described in 
                clause (iii) requires the level of care provided in a 
                hospital, nursing facility, or an intermediate care 
                facility for individuals with developmental 
                disabilities under the State plan or under any waiver 
                of such plan that are more stringent than the needs-
                based criteria established under clause (iii) for 
                determining eligibility for home or community-based 
                services.
                    ``(v) The State attests that the State's average 
                per capita expenditure for medical assistance under the 
                State plan (or waiver of such plan) provided with 
                respect to such individuals enrolled in a waiver under 
                this paragraph will not exceed the State's average per 
                capita expenditure for medical assistance for 
                individuals receiving institutional care under the 
                State plan (or waiver of such plan) for the duration 
                that the waiver under this paragraph is in effect.
                    ``(vi) The State provides to the Secretary data (in 
                such form and manner as the Secretary may specify) 
                regarding the number of individuals described in clause 
                (iii) with respect to a State seeking approval of a 
                waiver under this subsection, to whom the State will 
                make such services available under such waiver.
                    ``(vii) The State agrees to provide to the 
                Secretary, not less frequently than annually, data for 
                purposes of paragraph (2)(E) (in such form and manner 
                as the Secretary may specify) regarding, with respect 
                to each preceding year in which a waiver under this 
                subsection to provide home or community-based services 
                to individuals described in clause (iii) was in 
                effect--
                            ``(I) the cost (as such term is defined by 
                        the Secretary) of such services furnished to 
                        individuals described in clause (iii), broken 
                        down by type of service;
                            ``(II) with respect to each type of home or 
                        community-based service provided under the 
                        waiver, the length of time that such 
                        individuals have received such service;
                            ``(III) a comparison between the data 
                        described in subclause (I) and any comparable 
                        data available with respect to individuals with 
                        respect to whom a determination described in 
                        paragraph (1) has been made and with respect to 
                        individuals receiving institutional care under 
                        this title; and
                            ``(IV) the number of individuals who have 
                        received home or community-based services under 
                        the waiver during the preceding year.
            ``(C) Limitation on payments.--No payments made to carry 
        out this paragraph shall be used by a State to make payments to 
        a third party on behalf of an individual practitioner for 
        benefits such as health insurance, skills training, and other 
        benefits customary for employees, in the case of a class of 
        practitioners for which the program established under this 
        title is the primary source of revenue.''.
    (b) Implementation Funding.--
            (1) In general.--There are appropriated, out of any monies 
        in the Treasury not otherwise appropriated, to the 
        Administrator of the Centers for Medicare & Medicaid Services--
                    (A) for fiscal year 2026, $50,000,000 for purposes 
                of carrying out the provisions of, and the amendments 
                made by, this section, to remain available until 
                expended; and
                    (B) for fiscal year 2027, $100,000,000 for purposes 
                of making payments to States, subject to paragraph (2), 
                to support State systems to deliver home or community-
                based services under section 1915(c) of the Social 
                Security Act (42 U.S.C. 1396n(c)) (as amended by this 
                section) or under section 1115 of such Act (42 U.S.C. 
                1315), to remain available until expended.
            (2) Payments based on state hcbs eligible population.--
        Payments to States from amounts made available by paragraph 
        (1)(B) shall be made, with respect to a State, on the basis of 
        the proportion of the population of the State that is receiving 
        home or community-based services under section1915(c) of the 
        Social Security Act (42 U.S.C. 1396n(c)) (as amended by this 
        section) or under section 1115 of such Act (42 U.S.C. 1315), as 
        compared to all States.

                          CHAPTER 2--MEDICARE

          Subchapter A--Strengthening Eligibility Requirements

SEC. 71201. LIMITING MEDICARE COVERAGE OF CERTAIN INDIVIDUALS.

    Title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.) is 
amended by adding at the end the following new section:

``SEC. 1899C. LIMITING MEDICARE COVERAGE OF CERTAIN INDIVIDUALS.

    ``(a) In General.--Subject to subsection (b), an individual may be 
entitled to, or enrolled for, benefits under this title only if the 
individual is--
            ``(1) a citizen or national of the United States;
            ``(2) an alien who is lawfully admitted for permanent 
        residence under the Immigration and Nationality Act;
            ``(3) an alien who has been granted the status of Cuban and 
        Haitian entrant, as defined in section 501(e) of the Refugee 
        Education Assistance Act of 1980 (Public Law 96-422); or
            ``(4) an individual who lawfully resides in the United 
        States in accordance with a Compact of Free Association 
        referred to in section 402(b)(2)(G) of the Personal 
        Responsibility and Work Opportunity Reconciliation Act of 1996.
    ``(b) Application to Individuals Currently Entitled to or Enrolled 
for Benefits.--
            ``(1) In general.--In the case of an individual who is 
        entitled to, or enrolled for, benefits under this title as of 
        the date of the enactment of this section, subsection (a) shall 
        apply beginning on the date that is 18 months after such date 
        of enactment.
            ``(2) Review by commissioner of social security.--
                    ``(A) In general.--Not later than 1 year after the 
                date of the enactment of this section, the Commissioner 
                of Social Security shall complete a review of 
                individuals entitled to, or enrolled for, benefits 
                under this title as of such date of enactment for 
                purposes of identifying individuals not described in 
                any of paragraphs (1) through (4) of subsection (a).
                    ``(B) Notice.--The Commissioner of Social Security 
                shall notify each individual identified under the 
                review conducted under subparagraph (A) that such 
                individual's entitlement to, or enrollment for, 
                benefits under this title will be terminated as of the 
                date that is 18 months after the date of the enactment 
                of this section. Such notification shall be made as 
                soon as practicable after such identification and in a 
                manner designed to ensure such individual's 
                comprehension of such notification.''.

              Subchapter B--Improving Services for Seniors

SEC. 71202. TEMPORARY PAYMENT INCREASE UNDER THE MEDICARE PHYSICIAN FEE 
              SCHEDULE TO ACCOUNT FOR EXCEPTIONAL CIRCUMSTANCES.

    (a) In General.--Section 1848(t) of the Social Security Act (42 
U.S.C. 1395w-4(t)) is amended--
            (1) in the subsection heading, by striking ``During 2021 
        Through 2024'';
            (2) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``and 2024'' and inserting ``2024, and 2026'';
                    (B) in subparagraph (D), by striking ``and'' at the 
                end;
                    (C) in subparagraph (E), by striking the period at 
                the end and inserting ``; and''; and
                    (D) by adding at the end the following new 
                subparagraph:
                    ``(F) such services furnished on or after January 
                1, 2026, and before January 1, 2027, by 2.5 percent.''; 
                and
            (3) in paragraph (2)(C)--
                    (A) in the subparagraph heading, by inserting ``and 
                2026'' after ``2024''; and
                    (B) by striking ``or 2024'' each place it appears 
                and inserting ``2024, or 2026''.
    (b) Conforming Amendment.--Section 1848(c)(2)(B)(iv)(V) of the 
Social Security Act (42 U.S.C. 1395w-4(c)(2)(B)(iv)(V)) is amended by 
striking ``or 2024'' and inserting ``2024, or 2026''.

SEC. 71203. EXPANDING AND CLARIFYING THE EXCLUSION FOR ORPHAN DRUGS 
              UNDER THE DRUG PRICE NEGOTIATION PROGRAM.

    (a) In General.--Section 1192(e) of the Social Security Act (42 
U.S.C. 1320f-1(e)) is amended--
            (1) in paragraph (1), in the matter preceding subparagraph 
        (A), by striking ``and (3)'' and inserting ``through (4)'';
            (2) in paragraph (3)(A)--
                    (A) by striking ``only one rare disease or 
                condition'' and inserting ``one or more rare diseases 
                or conditions''; and
                    (B) by striking ``such disease or condition'' and 
                inserting ``one or more such rare diseases or 
                conditions (as such term is defined in section 
                526(a)(2) of the Federal Food, Drug, and Cosmetic 
                Act)''; and
            (3) by adding at the end the following new paragraph:
            ``(4) Treatment of former orphan drugs.--In the case of a 
        drug or biological product that, as of the date of the approval 
        or licensure of such drug or biological product, is a drug or 
        biological product described in paragraph (3)(A), paragraph 
        (1)(A)(ii) or (1)(B)(ii) (as applicable) shall apply as if the 
        reference to `the date of such approval' or `the date of such 
        licensure', respectively, were instead a reference to `the 
        first day after the date of such approval for which such drug 
        is not a drug described in paragraph (3)(A)' or `the first day 
        after the date of such licensure for which such biological 
        product is not a biological product described in paragraph 
        (3)(A)', respectively.''.
    (b) Application.--The amendments made by subsection (a) shall apply 
with respect to initial price applicability years (as defined in 
section 1191(b) of the Social Security Act (42 U.S.C. 1320f(b))) 
beginning on or after January 1, 2028.

                         CHAPTER 3--HEALTH TAX

              Subchapter A--Improving Eligibility Criteria

SEC. 71301. PERMITTING PREMIUM TAX CREDIT ONLY FOR CERTAIN INDIVIDUALS.

    (a) In General.--Section 36B(e)(1) is amended by inserting ``or, in 
the case of aliens who are lawfully present, are not eligible aliens'' 
after ``individuals who are not lawfully present''.
    (b) Eligible Aliens.--Section 36B(e)(2) is amended--
            (1) by striking ``For purposes of this section, an 
        individual'' and inserting ``For purposes of this section--
                    ``(A) In general.--An individual'', and
            (2) by adding at the end the following new subparagraph:
                    ``(B) Eligible aliens.--An individual who is an 
                alien and lawfully present shall be treated as an 
                eligible alien if such individual is, and is reasonably 
                expected to be for the entire period of enrollment for 
                which the credit under this section is being claimed--
                            ``(i) an alien who is lawfully admitted for 
                        permanent residence under the Immigration and 
                        Nationality Act (8 U.S.C. 1101 et seq.),
                            ``(ii) an alien who has been granted the 
                        status of Cuban and Haitian entrant, as defined 
                        in section 501(e) of the Refugee Education 
                        Assistance Act of 1980 (Public Law 96-422); or
                            ``(iii) an individual who lawfully resides 
                        in the United States in accordance with a 
                        Compact of Free Association referred to in 
                        section 402(b)(2)(G) of the Personal 
                        Responsibility and Work Opportunity 
                        Reconciliation Act of 1996 (8 U.S.C. 
                        1612(b)(2)(G)).''.
    (c) Conforming Amendments.--
            (1) Verification of information.--Section 1411 of the 
        Patient Protection and Affordable Care Act (42 U.S.C. 18081) is 
        amended--
                    (A) in subsection (a)--
                            (i) in paragraph (1), by striking ``and 
                        section 36B(e) of the Internal Revenue Code of 
                        1986''; and
                            (ii) in paragraph (2)--
                                    (I) in subparagraph (A), by 
                                striking ``and'' at the end;
                                    (II) in subparagraph (B), by adding 
                                ``and'' at the end; and
                                    (III) by adding at the end the 
                                following new subparagraph:
                    ``(C) in the case such individual is an alien 
                lawfully present in the United States, whether such 
                individual is an eligible alien (within the meaning of 
                section 36B(e)(2) of such Code);'';
                    (B) in subsection (b)(3), by adding at the end the 
                following new subparagraph:
                    ``(D) Immigration status.--In the case the 
                individual's eligibility is based on an attestation of 
                the enrollee's immigration status, an attestation that 
                such individual is an eligible alien (within the 
                meaning of 36B(e)(2) of the Internal Revenue Code of 
                1986).''; and
                    (C) in subsection (c)(2)(B)(ii), by adding at the 
                end the following new subclause:
                                    ``(III) In the case of an 
                                individual described in clause (i)(I) 
                                with respect to whom a premium tax 
                                credit under section 36B of the 
                                Internal Revenue Code of 1986 is being 
                                claimed, the attestation that the 
                                individual is an eligible alien (within 
                                the meaning of section 36B(e)(2) of 
                                such Code).''.
            (2) Advance determinations.--Section 1412(d) of the Patient 
        Protection and Affordable Care Act (42 U.S.C. 18082(d)) is 
        amended by inserting before the period at the end the 
        following: ``, or credits under section 36B of the Internal 
        Revenue Code of 1986 for aliens who are not eligible aliens 
        (within the meaning of section 36B(e)(2) of such Code)''.
            (3) Effective date.--The amendments made by this subsection 
        shall apply with respect to plan years beginning on or after 
        January 1, 2027.
    (d) Requirement to Maintain Minimum Essential Coverage.--Section 
5000A(d)(3) is amended by striking ``an alien lawfully present in the 
United States'' and inserting ``an eligible alien (within the meaning 
of section 36B(e)(2))''.
    (e) Effective Date.--The amendments made by this section (other 
than the amendments made by subsection (c)) shall apply to taxable 
years beginning after December 31, 2026.

SEC. 71302. DISALLOWING PREMIUM TAX CREDIT DURING PERIODS OF MEDICAID 
              INELIGIBILITY DUE TO ALIEN STATUS.

    (a) In General.--Section 36B(c)(1) is amended by striking 
subparagraph (B).
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

            Subchapter B--Preventing Waste, Fraud, and Abuse

SEC. 71303. REQUIRING VERIFICATION OF ELIGIBILITY FOR PREMIUM TAX 
              CREDIT.

    (a) In General.--Section 36B(c) is amended by adding at the end the 
following new paragraphs:
            ``(5) Exchange enrollment verification requirement.--
                    ``(A) In general.--The term `coverage month' shall 
                not include, with respect to any individual covered by 
                a qualified health plan enrolled in through an 
                Exchange, any month beginning before the Exchange 
                verifies, using applicable enrollment information that 
                shall be provided or verified by the applicant, such 
                individual's eligibility--
                            ``(i) to enroll in the plan through the 
                        Exchange, and
                            ``(ii) for any advance payment under 
                        section 1412 of the Patient Protection and 
                        Affordable Care Act of the credit allowed under 
                        this section.
                    ``(B) Applicable enrollment information.--For 
                purposes of subparagraph (A), applicable enrollment 
                information shall include affirmation of at least the 
                following information (to the extent relevant in 
                determining eligibility described in subparagraph (A)):
                            ``(i) Household income and family size.
                            ``(ii) Whether the individual is an 
                        eligible alien.
                            ``(iii) Any health coverage status or 
                        eligibility for coverage.
                            ``(iv) Place of residence.
                            ``(v) Such other information as may be 
                        determined by the Secretary (in consultation 
                        with the Secretary of Health and Human 
                        Services) as necessary to the verification 
                        prescribed under subparagraph (A).
                    ``(C) Verification of past months.--In the case of 
                a month that begins before verification prescribed by 
                subparagraph (A), such month shall be treated as a 
                coverage month if the Exchange verifies for such month 
                (using applicable enrollment information that shall be 
                provided or verified by the applicant) such 
                individual's eligibility to have so enrolled and for 
                any such advance payment.
                    ``(D) Exchange participation; coordination with 
                other procedures for determining eligibility.--An 
                individual shall not, solely by reason of failing to 
                meet the requirements of this paragraph with respect to 
                a month, be treated for such month as ineligible to 
                enroll in a qualified health plan through an Exchange.
                    ``(E) Waiver for certain special enrollment 
                periods.--The Secretary may waive the application of 
                subparagraph (A) in the case of an individual who 
                enrolls in a qualified health plan through an Exchange 
                for 1 or more months of the taxable year during a 
                special enrollment period provided by the Exchange on 
                the basis of a change in the family size of the 
                individual.
                    ``(F) Information and reliance on third-party 
                sources.--An Exchange shall be permitted to use any 
                data available to the Exchange and any reliable third-
                party sources in collecting information for 
                verification by the applicant.
            ``(6) Exchange compliance with filing requirements.--The 
        term `coverage month' shall not include, with respect to any 
        individual covered by a qualified health plan enrolled in 
        through an Exchange, any month for which the Exchange does not 
        meet the requirements of section 155.305(f)(4)(iii) of title 
        45, Code of Federal Regulations (as published in the Federal 
        Register on June 25, 2025 (90 Fed. Reg. 27074), applied as 
        though it applied to all plan years after 2025), with respect 
        to the individual.''.
    (b) Pre-enrollment Verification Process Required.--Section 
36B(c)(3)(A) is amended--
            (1) by striking ``health plan.--The term'' and inserting 
        ``health plan.-- ``
                            ``(i) In general.--The term'', and
            (2) by adding at the end the following new clause:
                            ``(ii) Pre-enrollment verification process 
                        required.--Such term shall not include any plan 
                        enrolled in through an Exchange, unless such 
                        Exchange provides a process for pre-enrollment 
                        verification through which any applicant may, 
                        beginning not later than August 1, verify with 
                        the Exchange the applicant's household income 
                        and eligibility for enrollment in such plan for 
                        plan years beginning in the subsequent year.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2027.

SEC. 71304. DISALLOWING PREMIUM TAX CREDIT IN CASE OF CERTAIN COVERAGE 
              ENROLLED IN DURING SPECIAL ENROLLMENT PERIOD.

    (a) In General.--Section 36B(c)(3)(A), as amended by the preceding 
provisions of this Act, is amended by adding at the end the following 
new clause:
                            ``(iii) Exception in case of certain 
                        special enrollment periods.--Such term shall 
                        not include any plan enrolled in during a 
                        special enrollment period provided for by an 
                        Exchange--
                                    ``(I) on the basis of the 
                                relationship of the individual's 
                                expected household income to such a 
                                percentage of the poverty line (or such 
                                other amount) as is prescribed by the 
                                Secretary of Health and Human Services 
                                for purposes of such period, and
                                    ``(II) not in connection with the 
                                occurrence of an event or change in 
                                circumstances specified by the 
                                Secretary of Health and Human Services 
                                for such purposes.''.
    (b) Effective Date.--The amendments made by this section shall 
apply with respect to plan years beginning after December 31, 2025.

SEC. 71305. ELIMINATING LIMITATION ON RECAPTURE OF ADVANCE PAYMENT OF 
              PREMIUM TAX CREDIT.

    (a) In General.--Section 36B(f)(2) is amended by striking 
subparagraph (B).
    (b) Conforming Amendments.--
            (1) Section 36B(f)(2) is amended by striking ``advance 
        payments.--'' and all that follows through ``If the advance 
        payments'' and inserting the following: ``advance payments.--If 
        the advance payments''.
            (2) Section 35(g)(12)(B)(ii) is amended by striking ``then 
        section 36B(f)(2)(B) shall be applied by substituting the 
        amount determined under clause (i) for the amount determined 
        under section 36B(f)(2)(A)'' and inserting ``then the amount 
        determined under clause (i) shall be substituted for the amount 
        determined under section 36B(f)(2)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.

              Subchapter C--Enhancing Choice for Patients

SEC. 71306. PERMANENT EXTENSION OF SAFE HARBOR FOR ABSENCE OF 
              DEDUCTIBLE FOR TELEHEALTH SERVICES.

    (a) In General.--Subparagraph (E) of section 223(c)(2) is amended 
to read as follows:
                    ``(E) Safe harbor for absence of deductible for 
                telehealth.--A plan shall not fail to be treated as a 
                high deductible health plan by reason of failing to 
                have a deductible for telehealth and other remote care 
                services.''.
    (b) Certain Coverage Disregarded.--Clause (ii) of section 
223(c)(1)(B) is amended by striking ``(in the case of months or plan 
years to which paragraph (2)(E) applies)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to plan years beginning after December 31, 2024.

SEC. 71307. ALLOWANCE OF BRONZE AND CATASTROPHIC PLANS IN CONNECTION 
              WITH HEALTH SAVINGS ACCOUNTS.

    (a) In General.--Section 223(c)(2) is amended by adding at the end 
the following new subparagraph:
                    ``(H) Bronze and catastrophic plans treated as high 
                deductible health plans.--The term `high deductible 
                health plan' shall include any plan which is--
                            ``(i) available as individual coverage 
                        through an Exchange established under section 
                        1311 or 1321 of the Patient Protection and 
                        Affordable Care Act, and
                            ``(ii) described in subsection (d)(1)(A) or 
                        (e) of section 1302 of such Act.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to months beginning after December 31, 2025.

SEC. 71308. TREATMENT OF DIRECT PRIMARY CARE SERVICE ARRANGEMENTS.

    (a) In General.--Section 223(c)(1) is amended by adding at the end 
the following new subparagraph:
                    ``(E) Treatment of direct primary care service 
                arrangements.--
                            ``(i) In general.--A direct primary care 
                        service arrangement shall not be treated as a 
                        health plan for purposes of subparagraph 
                        (A)(ii).
                            ``(ii) Direct primary care service 
                        arrangement.--For purposes of this 
                        subparagraph--
                                    ``(I) In general.--The term `direct 
                                primary care service arrangement' 
                                means, with respect to any individual, 
                                an arrangement under which such 
                                individual is provided medical care (as 
                                defined in section 213(d)) consisting 
                                solely of primary care services 
                                provided by primary care practitioners 
                                (as defined in section 1833(x)(2)(A) of 
                                the Social Security Act, determined 
                                without regard to clause (ii) thereof), 
                                if the sole compensation for such care 
                                is a fixed periodic fee.
                                    ``(II) Limitation.--With respect to 
                                any individual for any month, such term 
                                shall not include any arrangement if 
                                the aggregate fees for all direct 
                                primary care service arrangements 
                                (determined without regard to this 
                                subclause) with respect to such 
                                individual for such month exceed $150 
                                (twice such dollar amount in the case 
                                of an individual with any direct 
                                primary care service arrangement (as so 
                                determined) that covers more than one 
                                individual).
                            ``(iii) Certain services specifically 
                        excluded from treatment as primary care 
                        services.--For purposes of this subparagraph, 
                        the term `primary care services' shall not 
                        include--
                                    ``(I) procedures that require the 
                                use of general anesthesia,
                                    ``(II) prescription drugs (other 
                                than vaccines), and
                                    ``(III) laboratory services not 
                                typically administered in an ambulatory 
                                primary care setting.
                        The Secretary, after consultation with the 
                        Secretary of Health and Human Services, shall 
                        issue regulations or other guidance regarding 
                        the application of this clause.''.
    (b) Direct Primary Care Service Arrangement Fees Treated as Medical 
Expenses.--Section 223(d)(2)(C) is amended by striking ``or'' at the 
end of clause (iii), by striking the period at the end of clause (iv) 
and inserting ``, or'', and by adding at the end the following new 
clause:
                            ``(v) any direct primary care service 
                        arrangement.''.
    (c) Inflation Adjustment.--Section 223(g)(1) is amended--
            (1) by striking ``in subsections (b)(2) and (c)(2)(A)'' and 
        inserting ``in subsections (b)(2), (c)(2)(A), and in the case 
        of taxable years beginning after 2026, (c)(1)(E)(ii)(II)'',
            (2) in subparagraph (B), by striking ``clause (ii)'' in 
        clause (i) and inserting ``clauses (ii) and (iii)'', by 
        striking ``and'' at the end of clause (i), by striking the 
        period at the end of clause (ii) and inserting ``, and'', and 
        by inserting after clause (ii) the following new clause:
                            ``(iii) in the case of the dollar amount in 
                        subsection (c)(1)(E)(ii)(II), `calendar year 
                        2025'.'', and
            (3) by inserting ``, (c)(1)(E)(ii)(II),'' after ``(b)(2)'' 
        in the last sentence.
    (d) Effective Date.--The amendments made by this section shall 
apply to months beginning after December 31, 2025.

          CHAPTER 4--PROTECTING RURAL HOSPITALS AND PROVIDERS

SEC. 71401. RURAL HEALTH TRANSFORMATION PROGRAM.

    (a) In General.--Section 2105 of the Social Security Act (42 U.S.C. 
1397ee) is amended by adding at the end the following new subsection:
    ``(h) Rural Health Transformation Program.--
            ``(1) Appropriation.--
                    ``(A) In general.--There are appropriated, out of 
                any money in the Treasury not otherwise appropriated, 
                to the Administrator of the Centers for Medicare & 
                Medicaid Services (in this subsection referred to as 
                the `Administrator'), to provide allotments to States 
                for purposes of carrying out the activities described 
                in paragraph (6)--
                            ``(i) $10,000,000,000 for fiscal year 2026;
                            ``(ii) $10,000,000,000 for fiscal year 
                        2027;
                            ``(iii) $10,000,000,000 for fiscal year 
                        2028;
                            ``(iv) $10,000,000,000 for fiscal year 
                        2029; and
                            ``(v) $10,000,000,000 for fiscal year 2030.
                    ``(B) Unexpended or unobligated funds.--
                            ``(i) In general.--Any amounts appropriated 
                        under subparagraph (A) that are unexpended or 
                        unobligated as of October 1, 2032, shall be 
                        returned to the Treasury of the United States.
                            ``(ii) Redistribution of unexpended or 
                        unobligated funds.--In carrying out 
                        subparagraph (A), the Administrator shall, not 
                        later than March 31, 2028, and annually 
                        thereafter through March 31, 2032, determine 
                        the amount of funds, if any, that are available 
                        under such subparagraph for a previous fiscal 
                        year, are unexpended or unobligated with 
                        respect to such fiscal year, and will not be 
                        available to a State in the current fiscal 
                        year, pursuant to clause (iii).
                            ``(iii) Availability of funds.--
                                    ``(I) In general.--Amounts allotted 
                                to a State under this subsection for a 
                                year shall be available for expenditure 
                                by the State through the end of the 
                                fiscal year following the fiscal year 
                                in which such amounts are allotted.
                                    ``(II) Availability of amounts 
                                redistributed.--Amounts redistributed 
                                to a State under clause (ii) with 
                                respect to a fiscal year shall be 
                                available for expenditure by the State 
                                through the end of the fiscal year 
                                following the fiscal year in which such 
                                amounts are redistributed (except in 
                                the case of amounts redistributed in 
                                fiscal year 2032 which shall only be 
                                available for expenditure through 
                                September 30, 2032).
                            ``(iv) Misuse of funds.--If the 
                        Administrator determines that a State is not 
                        using amounts allotted or redistributed to the 
                        State under this subsection in a manner 
                        consistent with the description provided by the 
                        State in its application approved under 
                        paragraph (2), the Administrator may withhold 
                        payments to, or reduce payments to, or recover 
                        previous payments from, the State under this 
                        subsection as the Administrator deems 
                        appropriate, and any amounts so withheld, or 
                        that remain after any such reduction, or so 
                        recovered, shall be returned to the Treasury of 
                        the United States.
            ``(2) Application.--
                    ``(A) In general.--To be eligible for an allotment 
                under this subsection, a State shall submit to the 
                Administrator during an application submission period 
                to be specified by the Administrator (but that ends not 
                later than December 31, 2025) an application in such 
                form and manner as the Administrator may specify, that 
                includes--
                            ``(i) a detailed rural health 
                        transformation plan--
                                    ``(I) to improve access to 
                                hospitals, other health care providers, 
                                and health care items and services 
                                furnished to rural residents of the 
                                State;
                                    ``(II) to improve health care 
                                outcomes of rural residents of the 
                                State;
                                    ``(III) to prioritize the use of 
                                new and emerging technologies that 
                                emphasize prevention and chronic 
                                disease management;
                                    ``(IV) to initiate, foster, and 
                                strengthen local and regional strategic 
                                partnerships between rural hospitals 
                                and other health care providers in 
                                order to promote measurable quality 
                                improvement, increase financial 
                                stability, maximize economies of scale, 
                                and share best practices in care 
                                delivery;
                                    ``(V) to enhance economic 
                                opportunity for, and the supply of, 
                                health care clinicians through enhanced 
                                recruitment and training;
                                    ``(VI) to prioritize data and 
                                technology driven solutions that help 
                                rural hospitals and other rural health 
                                care providers furnish high-quality 
                                health care services as close to a 
                                patient's home as is possible;
                                    ``(VII) that outlines strategies to 
                                manage long-term financial solvency and 
                                operating models of rural hospitals in 
                                the State; and
                                    ``(VIII) that identifies specific 
                                causes driving the accelerating rate of 
                                stand-alone rural hospitals becoming at 
                                risk of closure, conversion, or service 
                                reduction;
                            ``(ii) a certification that none of the 
                        amounts provided under this subsection shall be 
                        used by the State for an expenditure that is 
                        attributable to an intergovernmental transfer, 
                        certified public expenditure, or any other 
                        expenditure to finance the non-Federal share of 
                        expenditures required under any provision of 
                        law, including under the State plan established 
                        under this title, the State plan established 
                        under title XIX, or under a waiver of such 
                        plans; and
                            ``(iii) such other information as the 
                        Administrator may require.
                    ``(B) Deadline for approval.--Not later than 
                December 31, 2025, the Administrator shall approve or 
                deny all applications submitted for an allotment under 
                this subsection.
                    ``(C) One-time application.--If an application of a 
                State for an allotment under this subsection is 
                approved by the Administrator, the State shall be 
                eligible for an allotment under this subsection for 
                each of fiscal years 2026 through 2030, except as 
                provided in paragraph (1)(B)(iv).
                    ``(D) Eligibility.--Only the 50 States shall be 
                eligible for an allotment under this subsection and all 
                references in this subsection to a State shall be 
                treated as only referring to the 50 States.
            ``(3) Allotments.--
                    ``(A) In general.--For each of fiscal years 2026 
                through 2030, the Administrator shall determine under 
                subparagraph (B) the amount of the allotment for such 
                fiscal year for each State with an approved application 
                under this subsection.
                    ``(B) Amount determined.--Subject to subparagraph 
                (C), from the amounts appropriated under paragraph 
                (1)(A) for each of fiscal years 2026 through 2030, the 
                Administrator shall allot--
                            ``(i) 50 percent of the amounts 
                        appropriated for each such fiscal year equally 
                        among all States with an approved application 
                        under this subsection; and
                            ``(ii) 50 percent of the amounts 
                        appropriated for each such fiscal year among 
                        all such States in an amount to be determined 
                        by the Administrator in accordance with 
                        subparagraph (C).
                    ``(C) Requirements.--In determining the amount to 
                be allotted to a State under clause (ii) of 
                subparagraph (B) for a fiscal year, the Administrator 
                shall--
                            ``(i) ensure that not less than \1/4\ of 
                        the States with an approved application under 
                        this subsection for a fiscal year are allotted 
                        funds from amounts that are to be allotted 
                        under clause (ii) of such subparagraph; and
                            ``(ii) consider--
                                    ``(I) the percentage of the State 
                                population that is located in a rural 
                                census tract of a metropolitan 
                                statistical area (as determined under 
                                the most recent modification of the 
                                Goldsmith Modification, originally 
                                published in the Federal Register on 
                                February 27, 1992 (57 Fed. Reg. 6725));
                                    ``(II) the proportion of rural 
                                health facilities (as defined in 
                                subparagraph (D)) in the State relative 
                                to the number of rural health 
                                facilities nationwide;
                                    ``(III) the situation of hospitals 
                                in the State, as described in section 
                                1902(a)(13)(A)(iv); and
                                    ``(IV) any other factors that the 
                                Administrator determines appropriate.
                    ``(D) Rural health facility defined.--For the 
                purposes of subparagraph (C)(ii), the term `rural 
                health facility' means the following:
                            ``(i) A subsection (d) hospital (as defined 
                        in paragraph (1)(B) of section 1886(d)) that--
                                    ``(I) is located in a rural area 
                                (as defined in paragraph (2)(D) of such 
                                section);
                                    ``(II) is treated as being located 
                                in a rural area pursuant to paragraph 
                                (8)(E) of such section; or
                                    ``(III) is located in a rural 
                                census tract of a metropolitan 
                                statistical area (as determined under 
                                the most recent modification of the 
                                Goldsmith Modification, originally 
                                published in the Federal Register on 
                                February 27, 1992 (57 Fed. Reg. 6725)).
                            ``(ii) A critical access hospital (as 
                        defined in section 1861(mm)(1)).
                            ``(iii) A sole community hospital (as 
                        defined in section 1886(d)(5)(D)(iii)).
                            ``(iv) A Medicare-dependent, small rural 
                        hospital (as defined in section 
                        1886(d)(5)(G)(iv)).
                            ``(v) A low-volume hospital (as defined in 
                        section 1886(d)(12)(C)).
                            ``(vi) A rural emergency hospital (as 
                        defined in section 1861(kkk)(2)).
                            ``(vii) A rural health clinic (as defined 
                        in section 1861(aa)(2)).
                            ``(viii) A Federally qualified health 
                        center (as defined in section 1861(aa)(4)).
                            ``(ix) A community mental health center (as 
                        defined in section 1861(ff)(3)(B)).
                            ``(x) A health center that is receiving a 
                        grant under section 330 of the Public Health 
                        Service Act.
                            ``(xi) An opioid treatment program (as 
                        defined in section 1861(jjj)(2)) that is 
                        located in a rural census tract of a 
                        metropolitan statistical area (as determined 
                        under the most recent modification of the 
                        Goldsmith Modification, originally published in 
                        the Federal Register on February 27, 1992 (57 
                        Fed. Reg. 6725)).
                            ``(xii) A certified community behavioral 
                        health clinic (as defined in section 
                        1905(jj)(2)) that is located in a rural census 
                        tract of a metropolitan statistical area (as 
                        determined under the most recent modification 
                        of the Goldsmith Modification, originally 
                        published in the Federal Register on February 
                        27, 1992 (57 Fed. Reg. 6725)).
            ``(4) No matching payment.--A State approved for an 
        allotment under this subsection for a fiscal year shall not be 
        required to provide any matching funds as a condition for 
        receiving payments from the allotment.
            ``(5) Terms and conditions.--The Administrator shall 
        specify such terms and conditions for allotments to States 
        provided under this subsection as the Administrator deems 
        appropriate, including the following:
                    ``(A) Each State shall submit to the Administrator 
                (at a time, and in a form and manner, specified by the 
                Administrator)--
                            ``(i) a plan for the State to use its 
                        allotment to carry out 3 or more of the 
                        activities described in paragraph (6); and
                            ``(ii) annual reports on the use of 
                        allotments, including such additional 
                        information as the Administrator determines 
                        appropriate.
                    ``(B) Not more than 10 percent of the amount 
                allotted to a State for a fiscal year may be used by 
                the State for administrative expenses.
            ``(6) Use of funds.--Amounts allotted to a State under this 
        subsection shall be used for 3 or more of the following health-
        related activities:
                    ``(A) Promoting evidence-based, measurable 
                interventions to improve prevention and chronic disease 
                management.
                    ``(B) Providing payments to health care providers 
                for the provision of health care items or services, as 
                specified by the Administrator.
                    ``(C) Promoting consumer-facing, technology-driven 
                solutions for the prevention and management of chronic 
                diseases.
                    ``(D) Providing training and technical assistance 
                for the development and adoption of technology-enabled 
                solutions that improve care delivery in rural 
                hospitals, including remote monitoring, robotics, 
                artificial intelligence, and other advanced 
                technologies.
                    ``(E) Recruiting and retaining clinical workforce 
                talent to rural areas, with commitments to serve rural 
                communities for a minimum of 5 years.
                    ``(F) Providing technical assistance, software, and 
                hardware for significant information technology 
                advances designed to improve efficiency, enhance 
                cybersecurity capability development, and improve 
                patient health outcomes.
                    ``(G) Assisting rural communities to right size 
                their health care delivery systems by identifying 
                needed preventative, ambulatory, pre-hospital, 
                emergency, acute inpatient care, outpatient care, and 
                post-acute care service lines.
                    ``(H) Supporting access to opioid use disorder 
                treatment services (as defined in section 
                1861(jjj)(1)), other substance use disorder treatment 
                services, and mental health services.
                    ``(I) Developing projects that support innovative 
                models of care that include value-based care 
                arrangements and alternative payment models, as 
                appropriate.
                    ``(J) Additional uses designed to promote 
                sustainable access to high quality rural health care 
                services, as determined by the Administrator.
            ``(7) Exemptions.--Paragraphs (2), (3), (5), (6), (8), 
        (10), (11), and (12) of subsection (c) do not apply to payments 
        under this subsection.
            ``(8) Review.--There shall be no administrative or judicial 
        review under section 1116 or otherwise of amounts allotted or 
        redistributed to States under this subsection, payments to 
        States withheld or reduced under this subsection, or previous 
        payments recovered from States under this subsection.
            ``(9) Health care provider defined.--For purposes of this 
        subsection, the term `health care provider' means a provider of 
        services or supplier who is enrolled under this title, title 
        XVIII, or title XIX.''.
    (b) Conforming Amendments.--Title XXI of the Social Security Act 
(42 U.S.C. 1397aa) is amended--
            (1) in section 2101--
                    (A) in subsection (a), in the matter preceding 
                paragraph (1), by striking ``The purpose'' and 
                inserting ``Except with respect to the rural health 
                transformation program established in section 2105(h), 
                the purpose''; and
                    (B) in subsection (b), in the matter preceding 
                paragraph (1), by inserting ``subsection (a) or (g) 
                of'' before ``section 2105'';
            (2) in section 2105(c)(1), by striking ``and may not 
        include'' and inserting ``or to carry out the rural health 
        transformation program established in subsection (h) and, 
        except in the case of amounts made available under subsection 
        (h), may not include''; and
            (3) in section 2106(a)(1), by inserting ``subsection (a) or 
        (g) of'' before ``section 2105''.
    (c) Implementation.--The Administrator of the Centers for Medicare 
& Medicaid Services shall implement this section, including the 
amendments made by this section, by program instruction or other forms 
of program guidance.
    (d) Implementation Funding.--For the purposes of carrying out the 
provisions of, and the amendments made by, this section, there are 
appropriated, out of any monies in the Treasury not otherwise 
appropriated, to the Administrator of the Centers for Medicare & 
Medicaid Services, $200,000,000 for fiscal year 2025, to remain 
available until expended.

                   Subtitle C--Increase in Debt Limit

SEC. 72001. MODIFICATION OF LIMITATION ON THE PUBLIC DEBT.

    The limitation under section 3101(b) of title 31, United States 
Code, as most recently increased by section 401(b) of Public Law 118-5 
(31 U.S.C. 3101 note), is increased by $5,000,000,000,000.

                        Subtitle D--Unemployment

SEC. 73001. ENDING UNEMPLOYMENT PAYMENTS TO JOBLESS MILLIONAIRES.

    (a) Prohibition on Use of Federal Funds.--
            (1) In general.--No Federal funds may be used--
                    (A) to make payments of unemployment compensation 
                benefits under an unemployment compensation program of 
                the United States in a year to an individual whose 
                wages during the individual's base period are equal to 
                or exceed $1,000,000; or
                    (B) for any administrative costs associated with 
                making payments described in subparagraph (A).
            (2) Compliance.--
                    (A) Self-certification.--Any application for 
                unemployment compensation under an unemployment 
                compensation program of the United States shall include 
                a form or procedure for an individual applicant to 
                certify that such individual's wages during the 
                individual's base period do not equal or exceed 
                $1,000,000.
                    (B) Verification.--Each State agency that is 
                responsible for administering any unemployment 
                compensation program of the United States shall utilize 
                available systems to verify wage eligibility by 
                assessing claimant income to the degree possible.
            (3) Recovery of overpayments.--Each State agency that is 
        responsible for administering any unemployment compensation 
        program of the United States shall require individuals who have 
        received amounts of unemployment compensation under such a 
        program to which they were not entitled to repay such amounts.
            (4) Effective date.--The prohibition under paragraph (1) 
        shall apply to weeks of unemployment beginning on or after the 
        date of the enactment of this Act.
    (b) Unemployment Compensation Program of the United States 
Defined.--In this section, the term ``unemployment compensation program 
of the United States'' means--
            (1) unemployment compensation for Federal civilian 
        employees under subchapter I of chapter 85 of title 5, United 
        States Code;
            (2) unemployment compensation for ex-servicemembers under 
        subchapter II of chapter 85 of title 5, United States Code;
            (3) extended benefits under the Federal-State Extended 
        Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note);
            (4) any Federal temporary extension of unemployment 
        compensation;
            (5) any Federal program that increases the weekly amount of 
        unemployment compensation payable to individuals; and
            (6) any other Federal program providing for the payment of 
        unemployment compensation, as determined by the Secretary of 
        Labor.

    TITLE VIII--COMMITTEE ON HEALTH, EDUCATION, LABOR, AND PENSIONS

                Subtitle A--Exemption of Certain Assets

SEC. 80001. EXEMPTION OF CERTAIN ASSETS.

    (a) Exemption of Certain Assets.--Section 480(f)(2) of the Higher 
Education Act of 1965 (20 U.S.C. 1087vv(f)(2)) is amended--
            (1) by striking ``net value of the'' and inserting the 
        following: ``net value of--
                    ``(A) the'';
            (2) by striking the period at the end and inserting a 
        semicolon; and
            (3) by adding at the end the following:
                    ``(B) a family farm on which the family resides;
                    ``(C) a small business with not more than 100 full-
                time or full-time equivalent employees (or any part of 
                such a small business) that is owned and controlled by 
                the family; or
                    ``(D) a commercial fishing business and related 
                expenses, including fishing vessels and permits owned 
                and controlled by the family.''.
    (b) Effective Date and Application.--The amendments made by 
subsection (a) shall take effect on July 1, 2026, and shall apply with 
respect to award year 2026-2027 and each subsequent award year, as 
determined under the Higher Education Act of 1965 (20 U.S.C. 1001 et 
seq.).

                        Subtitle B--Loan Limits

SEC. 81001. ESTABLISHMENT OF LOAN LIMITS FOR GRADUATE AND PROFESSIONAL 
              STUDENTS AND PARENT BORROWERS; TERMINATION OF GRADUATE 
              AND PROFESSIONAL PLUS LOANS.

    Section 455(a) of the Higher Education Act of 1965 (20 U.S.C. 
1087e(a)) is amended--
            (1) in paragraph (3)--
                    (A) in the paragraph heading, by inserting ``and 
                federal direct plus loans'' after ``loans'';
                    (B) by striking subparagraph (A) and inserting the 
                following:
                    ``(A) Termination of authority to make interest 
                subsidized loans to graduate and professional 
                students.--Subject to subparagraph (B), and 
                notwithstanding any provision of this part or part B--
                            ``(i) for any period of instruction 
                        beginning on or after July 1, 2012, a graduate 
                        or professional student shall not be eligible 
                        to receive a Federal Direct Stafford loan under 
                        this part; and
                            ``(ii) for any period of instruction 
                        beginning on July 1, 2012, and ending on June 
                        30, 2026, the maximum annual amount of Federal 
                        Direct Unsubsidized Stafford loans such a 
                        student may borrow in any academic year (as 
                        defined in section 481(a)(2)) or its equivalent 
                        shall be the maximum annual amount for such 
                        student determined under section 428H, plus an 
                        amount equal to the amount of Federal Direct 
                        Stafford loans the student would have received 
                        in the absence of this subparagraph.''; and
                    (C) by adding at the end the following:
                    ``(C) Termination of authority to make federal 
                direct plus loans to graduate and professional 
                students.--Subject to paragraph (8) and notwithstanding 
                any provision of this part or part B, for any period of 
                instruction beginning on or after July 1, 2026, a 
                graduate or professional student shall not be eligible 
                to receive a Federal Direct PLUS Loan under this 
                part.''; and
            (2) by adding at the end the following:
            ``(4) Graduate and professional annual and aggregate limits 
        for federal direct unsubsidized stafford loans beginning july 
        1, 2026.--
                    ``(A) Annual limits beginning july 1, 2026.--
                Subject to paragraphs (7)(A) and (8), beginning on July 
                1, 2026, the maximum annual amount of Federal Direct 
                Unsubsidized Stafford loans--
                            ``(i) a graduate student, who is not a 
                        professional student, may borrow in any 
                        academic year or its equivalent shall be 
                        $20,500; and
                            ``(ii) a professional student may borrow in 
                        any academic year or its equivalent shall be 
                        $50,000.
                    ``(B) Aggregate limits.--Subject to paragraphs (6), 
                (7)(A), and (8), beginning on July 1, 2026, the maximum 
                aggregate amount of Federal Direct Unsubsidized 
                Stafford loans, in addition to the amount borrowed for 
                undergraduate education, that--
                            ``(i) a graduate student--
                                    ``(I) who is not (and has not been) 
                                a professional student, may borrow for 
                                programs of study described in 
                                subparagraph (C)(i) shall be $100,000; 
                                or
                                    ``(II) who is (or has been) a 
                                professional student, may borrow for 
                                programs of study described in 
                                subparagraph (C)(i) shall be an amount 
                                equal to--
                                            ``(aa) $200,000; minus
                                            ``(bb) the amount such 
                                        student borrowed for programs 
                                        of study described in 
                                        subparagraph (C)(ii); and
                            ``(ii) a professional student--
                                    ``(I) who is not (and has not been) 
                                a graduate student, may borrow for 
                                programs of study described in 
                                subparagraph (C)(ii) shall be $200,000; 
                                or
                                    ``(II) who is (or has been) a 
                                graduate student, may borrow for 
                                programs of study described in 
                                subparagraph (C)(ii) shall be an amount 
                                equal to--
                                            ``(aa) $200,000; minus
                                            ``(bb) the amount such 
                                        student borrowed for programs 
                                        of study described in 
                                        subparagraph (C)(i).
                    ``(C) Definitions.--
                            ``(i) Graduate student.--The term `graduate 
                        student' means a student enrolled in a program 
                        of study that awards a graduate credential 
                        (other than a professional degree) upon 
                        completion of the program.
                            ``(ii) Professional student.--In this 
                        paragraph, the term `professional student' 
                        means a student enrolled in a program of study 
                        that awards a professional degree, as defined 
                        under section 668.2 of title 34, Code of 
                        Federal Regulations (as in effect on the date 
                        of enactment of this paragraph), upon 
                        completion of the program.
            ``(5) Parent borrower annual and aggregate limits for 
        federal direct plus loans beginning july 1, 2026.--
                    ``(A) Annual limits.--Subject to paragraph (8) and 
                notwithstanding any provision of this part or part B, 
                beginning on July 1, 2026, for each dependent student, 
                the total maximum annual amount of Federal Direct PLUS 
                loans that may be borrowed on behalf of that dependent 
                student by all parents of that dependent student shall 
                be $20,000.
                    ``(B) Aggregate limits.--Subject to paragraph (8) 
                and notwithstanding any provision of this part or part 
                B, beginning on July 1, 2026, for each dependent 
                student, the total maximum aggregate amount of Federal 
                Direct PLUS loans that may be borrowed on behalf of 
                that dependent student by all parents of that dependent 
                student shall be $65,000, without regard to any amounts 
                repaid, forgiven, canceled, or otherwise discharged on 
                any such loan.
            ``(6) Lifetime maximum aggregate amount for all students.--
        Subject to paragraph (8) and notwithstanding any provision of 
        this part or part B, beginning on July 1, 2026, the maximum 
        aggregate amount of loans made, insured, or guaranteed under 
        this title that a student may borrow (other than a Federal 
        Direct PLUS loan, or loan under section 428B, made to the 
        student as a parent borrower on behalf of a dependent student) 
        shall be $257,500, without regard to any amounts repaid, 
        forgiven, canceled, or otherwise discharged on any such loan.
            ``(7) Additional rules regarding annual loan limits.--
                    ``(A) Less than full-time enrollment.--
                Notwithstanding any provision of this part or part B, 
                in any case in which a student is enrolled in a program 
                of study of an institution of higher education on less 
                than a full-time basis during any academic year, the 
                amount of a loan that student may borrow for an 
                academic year or its equivalent shall be reduced in 
                direct proportion to the degree to which that student 
                is not so enrolled on a full-time basis, rounded to the 
                nearest whole percentage point, as provided in a 
                schedule of reductions published by the Secretary 
                computed for purposes of this subparagraph.
                    ``(B) Institutionally determined limits.--
                Notwithstanding the annual loan limits established 
                under this section and, for undergraduate students, 
                under this part and part B, beginning on July 1, 2026, 
                an institution of higher education (at the discretion 
                of a financial aid administrator at the institution) 
                may limit the total amount of loans made under this 
                part for a program of study for an academic year that a 
                student may borrow, and that a parent may borrow on 
                behalf of such student, as long as any such limit is 
                applied consistently to all students enrolled in such 
                program of study.
            ``(8) Interim exception for certain students.--
                    ``(A) Application of prior limits.--Paragraphs 
                (3)(C), (4), (5), and (6) shall not apply, and 
                paragraph (3)(A)(ii) shall apply as such paragraph was 
                in effect for periods of instruction ending before June 
                30, 2026, during the expected time to credential 
                described in subparagraph (B), with respect to an 
                individual who, as of June 30, 2026--
                            ``(i) is enrolled in a program of study at 
                        an institution of higher education; and
                            ``(ii) has received a loan (or on whose 
                        behalf a loan was made) under this part for 
                        such program of study.
                    ``(B) Expected time to credential.--For purposes of 
                this paragraph, the expected time to credential of an 
                individual shall be equal to the lesser of--
                            ``(i) three academic years; or
                            ``(ii) the period determined by calculating 
                        the difference between--
                                    ``(I) the program length for the 
                                program of study in which the 
                                individual is enrolled; and
                                    ``(II) the period of such program 
                                of study that such individual has 
                                completed as of the date of the 
                                determination under this subparagraph.
                    ``(C) Definition of program length.--In this 
                paragraph, the term `program length' means the minimum 
                amount of time in weeks, months, or years that is 
                specified in the catalog, marketing materials, or other 
                official publications of an institution of higher 
                education for a full-time student to complete the 
                requirements for a specific program of study.''.

                       Subtitle C--Loan Repayment

SEC. 82001. LOAN REPAYMENT.

    (a) Transition to Income-based Repayment Plans.--
            (1) Selection.--The Secretary of Education shall take such 
        steps as may be necessary to ensure that before July 1, 2028, 
        each borrower who has one or more loans that are in a repayment 
        status in accordance with, or an administrative forbearance 
        associated with, an income contingent repayment plan authorized 
        under section 455(e) of the Higher Education Act of 1965 
        (referred to in this subsection as ``covered income contingent 
        loans'') selects one of the following income-based repayment 
        plans that is otherwise applicable, and for which that borrower 
        is otherwise eligible, for the repayment of the covered income 
        contingent loans of the borrower:
                    (A) The Repayment Assistance Plan under section 
                455(q) of the Higher Education Act of 1965.
                    (B) The income-based repayment plan under section 
                493C of the Higher Education Act of 1965.
                    (C) Any other repayment plan as authorized under 
                section 455(d)(1) of the Higher Education Act of 1965.
            (2) Commencement of new repayment plan.--Beginning on July 
        1, 2028, a borrower described in paragraph (1) shall begin 
        repaying the covered income contingent loans of the borrower in 
        accordance with the repayment plan selected under paragraph 
        (1), unless the borrower chooses to begin repaying in 
        accordance with the repayment plan selected under paragraph (1) 
        before such date.
            (3) Failure to select.--In the case of a borrower described 
        in paragraph (1) who fails to select a repayment plan in 
        accordance with such paragraph, the Secretary of Education 
        shall--
                    (A) enroll the covered income contingent loans of 
                such borrower in--
                            (i) the Repayment Assistance Plan under 
                        section 455(q) of the Higher Education Act of 
                        1965 with respect to loans that are eligible 
                        for the Repayment Assistance Plan under such 
                        subsection; or
                            (ii) the income-based repayment plan under 
                        section 493C of such Act, with respect to loans 
                        that are not eligible for the Repayment 
                        Assistance Plan; and
                    (B) require the borrower to begin repaying covered 
                income contingent loans according to the plans under 
                subparagraph (A) on July 1, 2028.
    (b) Repayment Plans.--Section 455(d) of the Higher Education Act of 
1965 (20 U.S.C. 1087e(d)) is amended--
            (1) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A), by 
                inserting ``before July 1, 2026, who has not received a 
                loan made under this part on or after July 1, 2026,'' 
                after ``made under this part'';
                    (B) in subparagraph (D)--
                            (i) by inserting ``before June 30, 2028,'' 
                        before ``an income contingent repayment plan''; 
                        and
                            (ii) by striking ``and'' after the 
                        semicolon;
                    (C) in subparagraph (E)--
                            (i) by striking ``that enables borrowers 
                        who have a partial financial hardship to make a 
                        lower monthly payment'';
                            (ii) by striking ``a Federal Direct 
                        Consolidation Loan, if the proceeds of such 
                        loan were used to discharge the liability on 
                        such Federal Direct PLUS Loan or a loan under 
                        section 428B made on behalf of a dependent 
                        student'' and inserting ``an excepted 
                        Consolidation Loan (as defined in section 
                        493C(a)(2))''; and
                            (iii) by striking the period at the end and 
                        inserting ``; and''; and
                    (D) by adding at the end the following:
                    ``(F) beginning on July 1, 2026, the income-based 
                Repayment Assistance Plan under subsection (q), 
                provided that--
                            ``(i) such Plan shall not be available for 
                        the repayment of excepted loans (as defined in 
                        paragraph (7)(E)); and
                            ``(ii) the borrower is required to pay each 
                        outstanding loan of the borrower made under 
                        this part under such Repayment Assistance Plan, 
                        except that a borrower of an excepted loan (as 
                        defined in paragraph (7)(E)) may repay the 
                        excepted loan separately from other loans under 
                        this part obtained by the borrower.'';
            (2) in paragraph (5), by amending subparagraph (B) to read 
        as follows:
                    ``(B) repay the loan pursuant to an income-based 
                repayment plan under subsection (q) or section 493C, as 
                applicable.''; and
            (3) by adding at the end the following:
            ``(6) Termination and limitation of repayment authority.--
                    ``(A) Sunset of repayment plans available before 
                july 1, 2026.--Paragraphs (1) through (4) of this 
                subsection shall only apply to loans made under this 
                part before July 1, 2026.
                    ``(B) Prohibitions.--The Secretary may not, for any 
                loan made under this part on or after July 1, 2026--
                            ``(i) authorize a borrower of such a loan 
                        to repay such loan pursuant to a repayment plan 
                        that is not described in paragraph (7)(A); or
                            ``(ii) carry out or modify a repayment plan 
                        that is not described in such paragraph.
            ``(7) Repayment plans for loans made on or after july 1, 
        2026.--
                    ``(A) Design and selection.--Beginning on July 1, 
                2026, the Secretary shall offer a borrower of a loan 
                made under this part on or after such date (including 
                such a borrower who also has a loan made under this 
                part before such date) two plans for repayment of the 
                borrower's loans under this part, including principal 
                and interest on such loans. The borrower shall be 
                entitled to accelerate, without penalty, repayment on 
                such loans. The borrower may choose--
                            ``(i) a standard repayment plan--
                                    ``(I) with a fixed monthly 
                                repayment amount paid over a fixed 
                                period of time equal to the applicable 
                                period determined under subclause (II); 
                                and
                                    ``(II) with the applicable period 
                                of time for repayment determined based 
                                on the total outstanding principal of 
                                all loans of the borrower made under 
                                this part before, on, or after July 1, 
                                2026, at the time the borrower is 
                                entering repayment under such plan, as 
                                follows--
                                            ``(aa) for a borrower with 
                                        total outstanding principal of 
                                        less than $25,000, a period of 
                                        10 years;
                                            ``(bb) for a borrower with 
                                        total outstanding principal of 
                                        not less than $25,000 and less 
                                        than $50,000, a period of 15 
                                        years;
                                            ``(cc) for a borrower with 
                                        total outstanding principal of 
                                        not less than $50,000 and less 
                                        than $100,000, a period of 20 
                                        years; and
                                            ``(dd) for a borrower with 
                                        total outstanding principal of 
                                        $100,000 or more, a period of 
                                        25 years; or
                            ``(ii) the income-based Repayment 
                        Assistance Plan under subsection (q).
                    ``(B) Selection by secretary.--If a borrower of a 
                loan made under this part on or after July 1, 2026, 
                does not select a repayment plan described in 
                subparagraph (A), the Secretary shall provide the 
                borrower with the standard repayment plan described in 
                subparagraph (A)(i).
                    ``(C) Selection applies to all outstanding loans.--
                A borrower is required to pay each outstanding loan of 
                the borrower made under this part under the same 
                selected repayment plan, except that a borrower who 
                selects the Repayment Assistance Plan and also has an 
                excepted loan that is not eligible for repayment under 
                such Repayment Assistance Plan shall repay the excepted 
                loan separately from other loans under this part 
                obtained by the borrower.
                    ``(D) Changes of repayment plan.--A borrower may 
                change the borrower's selection of--
                            ``(i) the standard repayment plan under 
                        subparagraph (A)(i), or the Secretary's 
                        selection of such plan for the borrower under 
                        subparagraph (B), as the case may be, to the 
                        Repayment Assistance Plan under subparagraph 
                        (A)(ii) at any time; and
                            ``(ii) the Repayment Assistance Plan under 
                        subparagraph (A)(ii) to the standard repayment 
                        plan under subparagraph (A)(i) at any time.
                    ``(E) Repayment for borrowers with excepted loans 
                made on or after july 1, 2026.--
                            ``(i) Standard repayment plan required.--
                        Notwithstanding subparagraphs (A) through (D), 
                        beginning on July 1, 2026, the Secretary shall 
                        require a borrower who has received an excepted 
                        loan made on or after such date (including such 
                        a borrower who also has an excepted loan made 
                        before such date) to repay each excepted loan, 
                        including principal and interest on those 
                        excepted loans, under the standard repayment 
                        plan under subparagraph (A)(i). The borrower 
                        shall be entitled to accelerate, without 
                        penalty, repayment on such loans.
                            ``(ii) Excepted loan defined.--For the 
                        purposes of this paragraph, the term `excepted 
                        loan' means a loan with an outstanding balance 
                        that is--
                                    ``(I) a Federal Direct PLUS Loan 
                                that is made on behalf of a dependent 
                                student; or
                                    ``(II) a Federal Direct 
                                Consolidation Loan, if the proceeds of 
                                such loan were used to discharge the 
                                liability on--
                                            ``(aa) an excepted PLUS 
                                        loan, as defined in section 
                                        493C(a)(1); or
                                            ``(bb) an excepted 
                                        consolidation loan (as such 
                                        term is defined in section 
                                        493C(a)(2)(A), notwithstanding 
                                        subparagraph (B) of such 
                                        section).''.
    (c) Elimination of Authority to Provide Income Contingent Repayment 
Plans.--
            (1) Repeal.--Subsection (e) of section 455 of the Higher 
        Education Act of 1965 (20 U.S.C. 1087e(e)) is repealed.
            (2) Further amendments to eliminate income contingent 
        repayment.--
                    (A) Section 428 of the Higher Education Act of 1965 
                (20 U.S.C. 1078) is amended--
                            (i) in subsection (b)(1)(D), by striking 
                        ``be subject to income contingent repayment in 
                        accordance with subsection (m)'' and inserting 
                        ``be subject to income-based repayment in 
                        accordance with subsection (m)''; and
                            (ii) in subsection (m)--
                                    (I) in the subsection heading, by 
                                striking ``Income Contingent and'';
                                    (II) by amending paragraph (1) to 
                                read as follows:
            ``(1) Authority of secretary to require.--The Secretary may 
        require borrowers who have defaulted on loans made under this 
        part that are assigned to the Secretary under subsection (c)(8) 
        to repay those loans pursuant to an income-based repayment plan 
        under section 493C.''; and
                                    (III) in the heading of paragraph 
                                (2), by striking ``income contingent 
                                or''.
                    (B) Section 428C of the Higher Education Act of 
                1965 (20 U.S.C. 1078-3) is amended--
                            (i) in subsection (a)(3)(B)(i)(V)(aa), by 
                        striking ``for the purposes of obtaining income 
                        contingent repayment or income-based 
                        repayment'' and inserting ``for the purposes of 
                        qualifying for an income-based repayment plan 
                        under section 455(q) or section 493C, as 
                        applicable'';
                            (ii) in subsection (b)(5), by striking ``be 
                        repaid either pursuant to income contingent 
                        repayment under part D of this title, pursuant 
                        to income-based repayment under section 493C, 
                        or pursuant to any other repayment provision 
                        under this section'' and inserting ``be repaid 
                        pursuant to an income-based repayment plan 
                        under section 493C or any other repayment 
                        provision under this section''; and
                            (iii) in subsection (c)--
                                    (I) in paragraph (2)(A), by 
                                striking ``or by the terms of repayment 
                                pursuant to income contingent repayment 
                                offered by the Secretary under 
                                subsection (b)(5)'' and inserting ``or 
                                by the terms of repayment pursuant to 
                                an income-based repayment plan under 
                                section 493C''; and
                                    (II) in paragraph (3)(B), by 
                                striking ``except as required by the 
                                terms of repayment pursuant to income 
                                contingent repayment offered by the 
                                Secretary under subsection (b)(5)'' and 
                                inserting ``except as required by the 
                                terms of repayment pursuant to an 
                                income-based repayment plan under 
                                section 493C''.
                    (C) Section 485(d)(1) of the Higher Education Act 
                of 1965 (20 U.S.C. 1092(d)(1)) is amended by striking 
                ``income-contingent and''.
                    (D) Section 494(a)(2) of the Higher Education Act 
                of 1965 (20 U.S.C. 1098h(a)(2)) is amended--
                            (i) in the paragraph heading, by striking 
                        ``Income-contingent and income-based'' and 
                        inserting ``Income-based''; and
                            (ii) in subparagraph (A)--
                                    (I) in the matter preceding clause 
                                (i), by striking ``income-contingent 
                                or''; and
                                    (II) in clause (ii)(I), by striking 
                                ``section 455(e)(8) or the equivalent 
                                procedures established under section 
                                493C(c)(2)(B), as applicable'' and 
                                inserting ``section 493C(c)(2)''.
            (3) Effective date.--The amendments made by this subsection 
        shall take effect on July 1, 2028.
    (d) Repayment Assistance Plan.--Section 455 of the Higher Education 
Act of 1965 (20 U.S.C. 1087e) is amended by adding at the end the 
following new subsection:
    ``(q) Repayment Assistance Plan.--
            ``(1) In general.--Notwithstanding any other provision of 
        this Act, beginning on July 1, 2026, the Secretary shall carry 
        out an income-based repayment plan (to be known as the 
        `Repayment Assistance Plan'), that shall have the following 
        terms and conditions:
                    ``(A) The total monthly repayment amount owed by a 
                borrower for all of the loans of the borrower that are 
                repaid pursuant to the Repayment Assistance Plan shall 
                be equal to the applicable monthly payment of a 
                borrower calculated under paragraph (4)(B), except that 
                the borrower may not be precluded from repaying an 
                amount that exceeds such amount for any month.
                    ``(B) The Secretary shall apply the borrower's 
                applicable monthly payment under this paragraph first 
                toward interest due on each such loan, next toward any 
                fees due on each loan, and then toward the principal of 
                each loan.
                    ``(C) Any principal due and not paid under 
                subparagraph (B) or paragraph (2)(B) shall be deferred.
                    ``(D) A borrower who is not in a period of 
                deferment or forbearance shall make an applicable 
                monthly payment for each month until the earlier of--
                            ``(i) the date on which the outstanding 
                        balance of principal and interest due on all of 
                        the loans of the borrower that are repaid 
                        pursuant to the Repayment Assistance Plan is 
                        $0; or
                            ``(ii) the date on which the borrower has 
                        made 360 qualifying monthly payments.
                    ``(E) The Secretary shall cancel any outstanding 
                balance of principal and interest due on a loan made 
                under this part to a borrower--
                            ``(i) who, for any period of time, 
                        participated in the Repayment Assistance Plan 
                        under this subsection;
                            ``(ii) whose most recent payment for such 
                        loan prior to the loan cancellation under this 
                        subparagraph was made under such Repayment 
                        Assistance Plan; and
                            ``(iii) who has made 360 qualifying monthly 
                        payments on such loan.
                    ``(F) For the purposes of this subsection, the term 
                `qualifying monthly payment' means any of the 
                following:
                            ``(i) An on-time applicable monthly payment 
                        under this subsection.
                            ``(ii) An on-time monthly payment under the 
                        standard repayment plan under subsection 
                        (d)(7)(A)(i) of not less than the monthly 
                        payment required under such plan.
                            ``(iii) A monthly payment under any 
                        repayment plan (excluding the Repayment 
                        Assistance Plan under this subsection) of not 
                        less than the monthly payment that would be 
                        required under a standard repayment plan under 
                        section 455(d)(1)(A) with a repayment period of 
                        10 years.
                            ``(iv) A monthly payment under section 493C 
                        of not less than the monthly payment required 
                        under such section, including a monthly payment 
                        equal to the minimum payment amount permitted 
                        under such section.
                            ``(v) A monthly payment made before July 1, 
                        2028, under an income contingent repayment plan 
                        carried out under section 455(d)(1)(D) (or 
                        under an alternative repayment plan in lieu of 
                        repayment under such an income contingent 
                        repayment plan, if placed in such an 
                        alternative repayment plan by the Secretary) of 
                        not less than the monthly payment required 
                        under such a plan, including a monthly payment 
                        equal to the minimum payment amount permitted 
                        under such a plan.
                            ``(vi) A month when the borrower did not 
                        make a payment because the borrower was in 
                        deferment under subsection (f)(2)(B) or due to 
                        an economic hardship described in subsection 
                        (f)(2)(D).
                            ``(vii) A month that ended before the date 
                        of enactment of this subsection when the 
                        borrower did not make a payment because the 
                        borrower was in a period of deferment or 
                        forbearance described in section 
                        685.209(k)(4)(iv) of title 34, Code of Federal 
                        Regulations (as in effect on the date of 
                        enactment of this subsection).
                    ``(G) The procedures established by the Secretary 
                under section 493C(c) shall apply for annually 
                determining the borrower's eligibility for the 
                Repayment Assistance Plan, including verification of a 
                borrower's annual income and the annual amount due on 
                the total amount of loans eligible to be repaid under 
                this subsection, and such other procedures as are 
                necessary to effectively implement income-based 
                repayment under this subsection. With respect to 
                carrying out section 494(a)(2) for the Repayment 
                Assistance Plan, an individual may elect to opt out of 
                the disclosures required under section 494(a)(2)(A)(ii) 
                in accordance with the procedures established under 
                section 493C(c)(2).
            ``(2) Balance assistance for distressed borrowers.--
                    ``(A) Interest subsidy.--With respect to a borrower 
                of a loan made under this part, for each month for 
                which such a borrower makes an on-time applicable 
                monthly payment required under paragraph (1)(A) and 
                such monthly payment is insufficient to pay the total 
                amount of interest that accrues for the month on all 
                loans of the borrower repaid pursuant to the Repayment 
                Assistance Plan under this subsection, the amount of 
                interest accrued and not paid for the month shall not 
                be charged to the borrower.
                    ``(B) Matching principal payment.--With respect to 
                a borrower of a loan made under this part and not in a 
                period of deferment or forbearance, for each month for 
                which a borrower makes an on-time applicable monthly 
                payment required under paragraph (1)(A) and such 
                monthly payment reduces the total outstanding principal 
                balance of all loans of the borrower repaid pursuant to 
                the Repayment Assistance Plan under this subsection by 
                less than $50, the Secretary shall reduce such total 
                outstanding principal balance of the borrower by an 
                amount that is equal to--
                            ``(i) the amount that is the lesser of--
                                    ``(I) $50; or
                                    ``(II) the total amount paid by the 
                                borrower for such month pursuant to 
                                paragraph (1)(A); minus
                            ``(ii) the total amount paid by the 
                        borrower for such month pursuant to paragraph 
                        (1)(A) that is applied to such total 
                        outstanding principal balance.
            ``(3) Additional documents.--A borrower who chooses, or is 
        required, to repay a loan under this subsection, and for whom 
        adjusted gross income is unavailable or does not reasonably 
        reflect the borrower's current income, shall provide to the 
        Secretary other documentation of income satisfactory to the 
        Secretary, which documentation the Secretary may use to 
        determine repayment under this subsection.
            ``(4) Definitions.--In this subsection:
                    ``(A) Adjusted gross income.--The term `adjusted 
                gross income', when used with respect to a borrower, 
                means the adjusted gross income (as such term is 
                defined in section 62 of the Internal Revenue Code of 
                1986) of the borrower (and the borrower's spouse, as 
                applicable) for the most recent taxable year, except 
                that, in the case of a married borrower who files a 
                separate Federal income tax return, the term does not 
                include the adjusted gross income of the borrower's 
                spouse.
                    ``(B) Applicable monthly payment.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), (iii), or (vi), the term 
                        `applicable monthly payment' means, when used 
                        with respect to a borrower, the amount equal 
                        to--
                                    ``(I) the applicable base payment 
                                of the borrower, divided by 12; minus
                                    ``(II) $50 for each dependent of 
                                the borrower (which, in the case of a 
                                married borrower filing a separate 
                                Federal income tax return, shall 
                                include only each dependent that the 
                                borrower claims on that return).
                            ``(ii) Minimum amount.--In the case of a 
                        borrower with an applicable monthly payment 
                        amount calculated under clause (i) that is less 
                        than $10, the applicable monthly payment of the 
                        borrower shall be $10.
                            ``(iii) Final payment.--In the case of a 
                        borrower whose total outstanding balance of 
                        principal and interest on all of the loans of 
                        the borrower that are repaid pursuant to the 
                        Repayment Assistance Plan is less than the 
                        applicable monthly payment calculated pursuant 
                        to clause (i) or (ii), as applicable, then the 
                        applicable monthly payment of the borrower 
                        shall be the total outstanding balance of 
                        principal and interest on all such loans.
                            ``(iv) Base payment.--The amount of the 
                        applicable base payment for a borrower with an 
                        adjusted gross income of--
                                    ``(I) not more than $10,000, is 
                                $120;
                                    ``(II) more than $10,000 and not 
                                more than $20,000, is 1 percent of such 
                                adjusted gross income;
                                    ``(III) more than $20,000 and not 
                                more than $30,000, is 2 percent of such 
                                adjusted gross income;
                                    ``(IV) more than $30,000 and not 
                                more than $40,000, is 3 percent of such 
                                adjusted gross income;
                                    ``(V) more than $40,000 and not 
                                more than $50,000, is 4 percent of such 
                                adjusted gross income;
                                    ``(VI) more than $50,000 and not 
                                more than $60,000, is 5 percent of such 
                                adjusted gross income;
                                    ``(VII) more than $60,000 and not 
                                more than $70,000, is 6 percent of such 
                                adjusted gross income;
                                    ``(VIII) more than $70,000 and not 
                                more than $80,000, is 7 percent of such 
                                adjusted gross income;
                                    ``(IX) more than $80,000 and not 
                                more than $90,000, is 8 percent of such 
                                adjusted gross income;
                                    ``(X) more than $90,000 and not 
                                more than $100,000, is 9 percent of 
                                such adjusted gross income; and
                                    ``(XI) more than $100,000, is 10 
                                percent of such adjusted gross income.
                            ``(v) Dependent.--For the purposes of this 
                        paragraph, the term `dependent' means an 
                        individual who is a dependent under section 152 
                        of the Internal Revenue Code of 1986.
                            ``(vi) Special rule.--In the case of a 
                        borrower who is required by the Secretary to 
                        provide information to the Secretary to 
                        determine the applicable monthly payment of the 
                        borrower under this subparagraph, and who does 
                        not comply with such requirement, the 
                        applicable monthly payment of the borrower 
                        shall be--
                                    ``(I) the sum of the monthly 
                                payment amounts the borrower would have 
                                paid for each of the borrower's loans 
                                made under this part under a standard 
                                repayment plan with a fixed monthly 
                                repayment amount, paid over a period of 
                                10 years, based on the outstanding 
                                principal due on such loan when such 
                                loan entered repayment; and
                                    ``(II) determined pursuant to this 
                                clause until the date on which the 
                                borrower provides such information to 
                                the Secretary.''.
    (e) Federal Consolidation Loans.--Section 455(g) of the Higher 
Education Act of 1965 (20 U.S.C. 1087e(g)) is amended by adding at the 
end the following new paragraph:
            ``(3) Consolidation loans made on or after july 1, 2026.--A 
        Federal Direct Consolidation Loan offered to a borrower under 
        this part on or after July 1, 2026, may only be repaid pursuant 
        to a repayment plan described in clause (i) or (ii) of 
        subsection (d)(7)(A) of this section, as applicable, and the 
        repayment schedule of such a Consolidation Loan shall be 
        determined in accordance with such repayment plan.''.
    (f) Income-Based Repayment.--
            (1) Amendments.--
                    (A) Excepted consolidation loan defined.--Section 
                493C(a)(2) of the Higher Education Act of 1965 (20 
                U.S.C. 1098e(a)(2)) is amended to read as follows:
            ``(2) Excepted consolidation loan.--
                    ``(A) In general.--The term `excepted consolidation 
                loan' means--
                            ``(i) a consolidation loan under section 
                        428C, or a Federal Direct Consolidation Loan, 
                        if the proceeds of such loan were used to 
                        discharge the liability on an excepted PLUS 
                        loan; or
                            ``(ii) a consolidation loan under section 
                        428C, or a Federal Direct Consolidation Loan, 
                        if the proceeds of such loan were used to 
                        discharge the liability on a consolidation loan 
                        under section 428C, or a Federal Direct 
                        Consolidation Loan described in clause (i).
                    ``(B) Exclusion.--The term `excepted consolidation 
                loan' does not include a Federal Direct Consolidation 
                Loan described in subparagraph (A) that, on any date 
                during the period beginning on the date of enactment of 
                this subparagraph and ending on June 30, 2028, was 
                being repaid--
                            ``(i) pursuant to the Income Contingent 
                        Repayment (ICR) plan in accordance with section 
                        685.209(b) of title 34, Code of Federal 
                        Regulations (as in effect on June 30, 2023); or
                            ``(ii) pursuant to another income driven 
                        repayment plan.''.
                    (B) Termination of partial financial hardship 
                eligibility.--Section 493C(a)(3) of the Higher 
                Education Act of 1965 (20 U.S.C. 1098e(a)(3)) is 
                amended to read as follows:
            ``(3) Applicable amount.--The term `applicable amount' 
        means 15 percent of the result obtained by calculating, on at 
        least an annual basis, the amount by which--
                    ``(A) the borrower's, and the borrower's spouse's 
                (if applicable), adjusted gross income; exceeds
                    ``(B) 150 percent of the poverty line applicable to 
                the borrower's family size as determined under section 
                673(2) of the Community Services Block Grant Act (42 
                U.S.C. 9902(2)).''.
                    (C) Terms of income-based repayment.--Section 
                493C(b) of the Higher Education Act of 1965 (20 U.S.C. 
                1098e(b)) is amended--
                            (i) by amending paragraph (1) to read as 
                        follows:
            ``(1) a borrower of any loan made, insured, or guaranteed 
        under part B or D (other than an excepted PLUS loan or excepted 
        consolidation loan), may elect to have the borrower's aggregate 
        monthly payment for all such loans not exceed the applicable 
        amount divided by 12;'';
                            (ii) by striking paragraph (6) and 
                        inserting the following:
            ``(6) if the monthly payment amount calculated under this 
        section for all loans made to the borrower under part B or D 
        (other than an excepted PLUS loan or excepted consolidation 
        loan) exceeds the monthly amount calculated under section 
        428(b)(9)(A)(i) or 455(d)(1)(A), based on a 10-year repayment 
        period, when the borrower first made the election described in 
        this subsection (referred to in this paragraph as the `standard 
        monthly repayment amount'), or if the borrower no longer wishes 
        to continue the election under this subsection, then--
                    ``(A) the maximum monthly payment required to be 
                paid for all loans made to the borrower under part B or 
                D (other than an excepted PLUS loan or excepted 
                consolidation loan) shall be the standard monthly 
                repayment amount; and
                    ``(B) the amount of time the borrower is permitted 
                to repay such loans may exceed 10 years;'';
                            (iii) in paragraph (7)(B)(iv), by inserting 
                        ``(as such section was in effect on the day 
                        before the date of the repeal of section 
                        455(e)'' after ``section 455(d)(1)(D)''; and
                            (iv) in paragraph (8), by inserting ``or 
                        the Repayment Assistance Program under section 
                        455(q)'' after ``standard repayment plan''.
                    (D) Eligibility determinations.--Section 493C(c) of 
                the Higher Education Act of 1965 (20 U.S.C. 1098e(c)) 
                is amended to read as follows:
    ``(c) Eligibility Determinations; Automatic Recertification.--
            ``(1) In general.--The Secretary shall establish procedures 
        for annually determining, in accordance with paragraph (2), the 
        borrower's eligibility for income-based repayment, including 
        the verification of a borrower's annual income and the annual 
        amount due on the total amount of loans made, insured, or 
        guaranteed under part B or D (other than an excepted PLUS loan 
        or excepted consolidation loan), and such other procedures as 
        are necessary to effectively implement income-based repayment 
        under this section. The Secretary shall consider, but is not 
        limited to, the procedures established in accordance with 
        section 455(e)(1) (as in effect on the day before the date of 
        repeal of subsection (e) of section 455) or in connection with 
        income sensitive repayment schedules under section 
        428(b)(9)(A)(iii) or 428C(b)(1)(E).
            ``(2) Automatic recertification.--
                    ``(A) In general.--The Secretary shall establish 
                and implement, with respect to any borrower enrolled in 
                an income-based repayment program under this section or 
                under section 455(q), procedures to--
                            ``(i) use return information disclosed 
                        under section 6103(l)(13) of the Internal 
                        Revenue Code of 1986, pursuant to approval 
                        provided under section 494, to determine the 
                        repayment obligation of the borrower without 
                        further action by the borrower;
                            ``(ii) allow the borrower (or the spouse of 
                        the borrower), at any time, to opt out of 
                        disclosure under such section 6103(l)(13) and 
                        instead provide such information as the 
                        Secretary may require to determine the 
                        repayment obligation of the borrower (or 
                        withdraw from the repayment plan under this 
                        section or under section 455(q), as the case 
                        may be); and
                            ``(iii) provide the borrower with an 
                        opportunity to update the return information so 
                        disclosed before the determination of the 
                        repayment obligation of the borrower.
                    ``(B) Applicability.--Subparagraph (A) shall apply 
                to each borrower of a loan eligible to be repaid under 
                this section or under section 455(q), who, on or after 
                the date on which the Secretary establishes procedures 
                under such subparagraph (A)--
                            ``(i) selects, or is required to repay such 
                        loan pursuant to, an income-based repayment 
                        plan under this section or under section 
                        455(q); or
                            ``(ii) recertifies income or family size 
                        under such plan.''.
                    (E) Special terms for new borrowers on and after 
                july 1, 2014.--Section 493C(e) of the Higher Education 
                Act of 1965 (20 U.S.C. 1098e(e)) is amended--
                            (i) in the subsection heading, by inserting 
                        ``and Before July 1, 2026'' after ``After July 
                        1, 2014''; and
                            (ii) by inserting ``and before July 1, 
                        2026'' after ``after July 1, 2014''.
            (2) Effective date and application.--The amendments made by 
        this subsection shall take effect on the date of enactment of 
        this title, and shall apply with respect to any borrower who is 
        in repayment before, on, or after the date of enactment of this 
        title.
    (g) FFEL Adjustment.--Section 428(b)(9)(A)(v) of the Higher 
Education Act of 1965 (20 U.S.C. 1078(b)(9)(A)(v)) is amended by 
striking ``who has a partial financial hardship''.

SEC. 82002. DEFERMENT; FORBEARANCE.

    (a) Sunset of Economic Hardship and Unemployment Deferments.--
Section 455(f) of the Higher Education Act of 1965 (20 U.S.C. 1087e(f)) 
is amended--
            (1) by striking the subsection heading and inserting the 
        following: ``Deferment; Forbearance'';
            (2) in paragraph (2)--
                    (A) in subparagraph (B), by striking ``not in'' and 
                inserting ``subject to paragraph (7), not in''; and
                    (B) in subparagraph (D), by striking ``not in'' and 
                inserting ``subject to paragraph (7), not in''; and
            (3) by adding at the end the following:
            ``(7) Sunset of unemployment and economic hardship 
        deferments.--A borrower who receives a loan made under this 
        part on or after July 1, 2027, shall not be eligible to defer 
        such loan under subparagraph (B) or (D) of paragraph (2).''.
    (b) Forbearance on Loans Made Under This Part on or After July 1, 
2027.--Section 455(f) of the Higher Education Act of 1965 (20 U.S.C. 
1087e(f)) is amended by adding at the end the following:
            ``(8) Forbearance on loans made under this part on or after 
        july 1, 2027.--A borrower who receives a loan made under this 
        part on or after July 1, 2027, may only be eligible for a 
        forbearance on such loan pursuant to section 428(c)(3)(B) that 
        does not exceed 9 months during any 24-month period.''.

SEC. 82003. LOAN REHABILITATION.

    (a) Updating Loan Rehabilitation Limits.--
            (1) FFEL and direct loans.--Section 428F(a)(5) of the 
        Higher Education Act of 1965 (20 U.S.C. 1078-6(a)(5)) is 
        amended by striking ``one time'' and inserting ``two times''.
            (2) Perkins loans.--Section 464(h)(1)(D) of the Higher 
        Education Act of 1965 (20 U.S.C. 1087dd(h)(1)(D)) is amended by 
        striking ``once'' and inserting ``twice''.
            (3) Effective date.--The amendments made by this subsection 
        shall take effect beginning on July 1, 2027, and shall apply 
        with respect to any loan made, insured, or guaranteed under 
        title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et 
        seq.).
    (b) Minimum Monthly Payment Amount.--Section 428F(a)(1)(B) of the 
Higher Education Act of 1965 (20 U.S.C. 1078-6(a)(1)(B)) is amended by 
adding at the end the following: ``With respect to a borrower who has 1 
or more loans made under part D on or after July 1, 2027 that are 
described in subparagraph (A), the total monthly payment of the 
borrower for all such loans shall not be less than $10.''.

SEC. 82004. PUBLIC SERVICE LOAN FORGIVENESS.

    Section 455(m)(1)(A) of the Higher Education Act of 1965 (20 U.S.C. 
1087e(m)(1)(A)) is amended--
            (1) in clause (iii), by striking ``; or'' and inserting a 
        semicolon;
            (2) in clause (iv), by striking ``; and'' and inserting 
        ``(as in effect on the day before the date of the repeal of 
        subsection (e) of this section); or''; and
            (3) by adding at the end the following new clause:
                            ``(v) on-time payments under the Repayment 
                        Assistance Plan under subsection (q); and''.

SEC. 82005. STUDENT LOAN SERVICING.

    Paragraph (1) of section 458(a) of the Higher Education Act of 1965 
(20 U.S.C. 1087h(a)(1)) is amended to read as follows:
            ``(1) Additional mandatory funds for servicing.--There 
        shall be available to the Secretary (in addition to any other 
        amounts appropriated under any appropriations Act for 
        administrative costs under this part and part B and out of any 
        money in the Treasury not otherwise appropriated) 
        $1,000,000,000 to be obligated for administrative costs under 
        this part and part B, including the costs of servicing the 
        direct student loan programs under this part, which shall 
        remain available until expended.''.

                        Subtitle D--Pell Grants

SEC. 83001. ELIGIBILITY.

    (a) Foreign Income and Federal Pell Grant Eligibility.--
            (1) Adjusted gross income defined.--Section 401(a)(2)(A) of 
        the Higher Education Act of 1965 (20 U.S.C. 1070a(a)(2)(A)) is 
        amended to read as follows:
                    ``(A) the term `adjusted gross income' means--
                            ``(i) in the case of a dependent student, 
                        for the second tax year preceding the academic 
                        year--
                                    ``(I) the adjusted gross income (as 
                                defined in section 62 of the Internal 
                                Revenue Code of 1986) of the student's 
                                parents; plus
                                    ``(II) for Federal Pell Grant 
                                determinations made for academic years 
                                beginning on or after July 1, 2026, the 
                                foreign income (as described in section 
                                480(b)(5)) of the student's parents; 
                                and
                            ``(ii) in the case of an independent 
                        student, for the second tax year preceding the 
                        academic year--
                                    ``(I) the adjusted gross income (as 
                                defined in section 62 of the Internal 
                                Revenue Code of 1986) of the student 
                                (and the student's spouse, if 
                                applicable); plus
                                    ``(II) for Federal Pell Grant 
                                determinations made for academic years 
                                beginning on or after July 1, 2026, the 
                                foreign income (as described in section 
                                480(b)(5)) of the student (and the 
                                student's spouse, if applicable);''.
            (2) Sunset.--Section 401(b)(1)(D) of the Higher Education 
        Act of 1965 (20 U.S.C. 1070a(b)(1)(D)) is amended--
                    (A) by striking ``A student'' and inserting ``For 
                each academic year beginning before July 1, 2026, a 
                student''; and
                    (B) by inserting ``, as in effect for such academic 
                year,'' after ``section 479A(b)(1)(B)(v)''.
            (3) Conforming amendments.--
                    (A) In general.--Section 479A(b)(1)(B) of the 
                Higher Education Act of 1965 (20 U.S.C. 
                1087tt(b)(1)(B)) is amended--
                            (i) by striking clause (v); and
                            (ii) by redesignating clauses (vi) and 
                        (vii) as clauses (v) and (vi), respectively.
                    (B) Effective date.--The amendment made by 
                subparagraph (A) shall take effect on July 1, 2026.
    (b) Federal Pell Grant Ineligibility Due to a High Student Aid 
Index.--
            (1) In general.--Section 401(b)(1) of the Higher Education 
        Act of 1965 (20 U.S.C. 1070a(b)(1)) is amended by adding at the 
        end the following:
                    ``(F) Ineligibility of students with a high student 
                aid index.--Notwithstanding subparagraphs (A) through 
                (E), a student shall not be eligible for a Federal Pell 
                Grant under this subsection for an academic year in 
                which the student has a student aid index that equals 
                or exceeds twice the amount of the total maximum 
                Federal Pell Grant for such academic year.''.
            (2) Effective date.--The amendment made by paragraph (1) 
        shall take effect on July 1, 2026.

SEC. 83002. WORKFORCE PELL GRANTS.

    (a) In General.--Section 401 of the Higher Education Act of 1965 
(20 U.S.C. 1070a) is amended by adding at the end the following:
    ``(k) Workforce Pell Grant Program.--
            ``(1) In general.--For the award year beginning on July 1, 
        2026, and each subsequent award year, the Secretary shall award 
        grants (to be known as `Workforce Pell Grants') to eligible 
        students under paragraph (2) in accordance with this 
        subsection.
            ``(2) Eligible students.--To be eligible to receive a 
        Workforce Pell Grant under this subsection for any period of 
        enrollment, a student shall meet the eligibility requirements 
        for a Federal Pell Grant under this section, except that the 
        student--
                    ``(A) shall be enrolled, or accepted for 
                enrollment, in an eligible program under section 
                481(b)(3) (hereinafter referred to as an `eligible 
                workforce program'); and
                    ``(B) may not--
                            ``(i) be enrolled, or accepted for 
                        enrollment, in a program of study that leads to 
                        a graduate credential; or
                            ``(ii) have attained such a credential.
            ``(3) Terms and conditions of awards.--The Secretary shall 
        award Workforce Pell Grants under this subsection in the same 
        manner and with the same terms and conditions as the Secretary 
        awards Federal Pell Grants under this section, except that--
                    ``(A) each use of the term `eligible program' 
                (except in subsection (b)(9)(A)) shall be substituted 
                by `eligible workforce program under section 
                481(b)(3)';
                    ``(B) the provisions of subsection (d)(2) shall not 
                be applicable to eligible workforce programs; and
                    ``(C) a student who is eligible for a grant equal 
                to less than the amount of the minimum Federal Pell 
                Grant because the eligible workforce program in which 
                the student is enrolled or accepted for enrollment is 
                less than an academic year (in hours of instruction or 
                weeks of duration) may still be eligible for a 
                Workforce Pell Grant in an amount that is prorated 
                based on the length of the program.
            ``(4) Prevention of double benefits.--No eligible student 
        described in paragraph (2) may concurrently receive a grant 
        under both this subsection and--
                    ``(A) subsection (b); or
                    ``(B) subsection (c).
            ``(5) Duration limit.--Any period of study covered by a 
        Workforce Pell Grant awarded under this subsection shall be 
        included in determining a student's duration limit under 
        subsection (d)(5).''.
    (b) Program Eligibility for Workforce Pell Grants.--Section 481(b) 
of the Higher Education Act of 1965 (20 U.S.C. 1088(b)) is amended--
            (1) by redesignating paragraphs (3) and (4) as paragraphs 
        (4) and (5), respectively; and
            (2) by inserting after paragraph (2) the following:
            ``(3)(A) A program is an eligible program for purposes of 
        the Workforce Pell Grant program under section 401(k) only if--
                    ``(i) it is a program of at least 150 clock hours 
                of instruction, but less than 600 clock hours of 
                instruction, or an equivalent number of credit hours, 
                offered by an eligible institution during a minimum of 
                8 weeks, but less than 15 weeks;
                    ``(ii) it is not offered as a correspondence 
                course, as defined in 600.2 of title 34, Code of 
                Federal Regulations (as in effect on July 1, 2021);
                    ``(iii) the Governor of a State, after consultation 
                with the State board, determines that the program--
                            ``(I) provides an education aligned with 
                        the requirements of high-skill, high-wage (as 
                        identified by the State pursuant to section 122 
                        of the Carl D. Perkins Career and Technical 
                        Education Act (20 U.S.C. 2342)), or in-demand 
                        industry sectors or occupations;
                            ``(II) meets the hiring requirements of 
                        potential employers in the sectors or 
                        occupations described in subclause (I);
                            ``(III) either--
                                    ``(aa) leads to a recognized 
                                postsecondary credential that is 
                                stackable and portable across more than 
                                one employer; or
                                    ``(bb) with respect to students 
                                enrolled in the program--
                                            ``(AA) prepares such 
                                        students for employment in an 
                                        occupation for which there is 
                                        only one recognized 
                                        postsecondary credential; and
                                            ``(BB) provides such 
                                        students with such a credential 
                                        upon completion of such 
                                        program; and
                            ``(IV) prepares students to pursue 1 or 
                        more certificate or degree programs at 1 or 
                        more institutions of higher education (which 
                        may include the eligible institution providing 
                        the program), including by ensuring--
                                    ``(aa) that a student, upon 
                                completion of the program and 
                                enrollment in such a related 
                                certificate or degree program, will 
                                receive academic credit for the 
                                Workforce Pell program that will be 
                                accepted toward meeting such 
                                certificate or degree program 
                                requirements; and
                                    ``(bb) the acceptability of such 
                                credit toward meeting such certificate 
                                or degree program requirements; and
                    ``(iv) after the Governor of such State makes the 
                determination that the program meets the requirements 
                under clause (iii), the Secretary determines that--
                            ``(I) the program has been offered by the 
                        eligible institution for not less than 1 year 
                        prior to the date on which the Secretary makes 
                        a determination under this clause;
                            ``(II) for each award year, the program has 
                        a verified completion rate of at least 70 
                        percent, within 150 percent of the normal time 
                        for completion;
                            ``(III) for each award year, the program 
                        has a verified job placement rate of at least 
                        70 percent, measured 180 days after completion; 
                        and
                            ``(IV) for each award year, the total 
                        amount of the published tuition and fees of the 
                        program for such year is an amount that does 
                        not exceed the value-added earnings of students 
                        who received Federal financial aid under this 
                        title and who completed the program 3 years 
                        prior to the award year, as such earnings are 
                        determined by calculating the difference 
                        between--
                                    ``(aa) the median earnings of such 
                                students, as adjusted by the State and 
                                metropolitan area regional price 
                                parities of the Bureau of Economic 
                                Analysis based on the location of such 
                                program; and
                                    ``(bb) 150 percent of the poverty 
                                line applicable to a single individual 
                                as determined under section 673(2) of 
                                the Community Services Block Grant Act 
                                (42 U.S.C. 9902(2)) for such year.
            ``(B) In this paragraph:
                    ``(i) The term `eligible institution' means an 
                eligible institution for purposes of section 401.
                    ``(ii) The term `Governor' means the chief 
                executive of a State.
                    ``(iii) The terms `in-demand industry sector or 
                occupation', `recognized postsecondary credential', and 
                `State board' have the meanings given such terms in 
                section 3 of the Workforce Innovation and Opportunity 
                Act.''.
    (c) Effective Date; Applicability.--The amendments made by this 
section shall take effect on July 1, 2026, and shall apply with respect 
to award year 2026-2027 and each succeeding award year.

SEC. 83003. PELL SHORTFALL.

    Section 401(b)(7)(A)(iii) of the Higher Education Act of 1965 (20 
U.S.C. 1070a(b)(7)(A)(iii)) is amended by striking ``$2,170,000,000'' 
and inserting ``$12,670,000,000''.

SEC. 83004. FEDERAL PELL GRANT EXCLUSION RELATING TO OTHER GRANT AID.

    Section 401(d) of the Higher Education Act of 1965 (20 U.S.C. 
1070a(d)) is amended by adding at the end the following:
            ``(6) Exclusion.--Beginning on July 1, 2026, and 
        notwithstanding this subsection or subsection (b), a student 
        shall not be eligible for a Federal Pell Grant under subsection 
        (b) during any period for which the student receives grant aid 
        from non-Federal sources, including States, institutions of 
        higher education, or private sources, in an amount that equals 
        or exceeds the student's cost of attendance for such period.''.

                       Subtitle E--Accountability

SEC. 84001. INELIGIBILITY BASED ON LOW EARNING OUTCOMES.

    Section 454 of the Higher Education Act of 1965 (20 U.S.C. 1087d) 
is amended--
            (1) in subsection (a)--
                    (A) in paragraph (5), by striking ``and'' after the 
                semicolon;
                    (B) by redesignating paragraph (6) as paragraph 
                (7); and
                    (C) by inserting after paragraph (5) the following:
            ``(6) provide assurances that, beginning July 1, 2026, the 
        institution will comply with all requirements of subsection 
        (c); and'';
            (2) in subsection (b)(2), by striking ``and (6)'' and 
        inserting ``(6), and (7)'';
            (3) by redesignating subsection (c) as subsection (d); and
            (4) by inserting after subsection (b) the following:
    ``(c) Ineligibility for Certain Programs Based on Low Earning 
Outcomes.--
            ``(1) In general.--Notwithstanding section 481(b), an 
        institution of higher education subject to this subsection 
        shall not use funds under this part for student enrollment in 
        an educational program offered by the institution that is 
        described in paragraph (2).
            ``(2) Low-earning outcome programs described.--An 
        educational program at an institution is described in this 
        paragraph if the program awards an undergraduate degree, 
        graduate or professional degree, or graduate certificate, for 
        which the median earnings (as determined by the Secretary) of 
        the programmatic cohort of students who received funds under 
        this title for enrollment in such program, who completed such 
        program during the academic year that is 4 years before the 
        year of the determination, who are not enrolled in any 
        institution of higher education, and who are working, are, for 
        not less than 2 of the 3 years immediately preceding the date 
        of the determination, less than the median earnings of a 
        working adult described in paragraph (3) for the corresponding 
        year.
            ``(3) Calculation of median earnings.--
                    ``(A) Working adult.--For purposes of applying 
                paragraph (2) to an educational program at an 
                institution, a working adult described in this 
                paragraph is a working adult who, for the corresponding 
                year--
                            ``(i) is aged 25 to 34;
                            ``(ii) is not enrolled in an institution of 
                        higher education; and
                            ``(iii)(I) in the case of a determination 
                        made for an educational program that awards a 
                        baccalaureate or lesser degree, has only a high 
                        school diploma or its recognized equivalent; or
                            ``(II) in the case of a determination made 
                        for a graduate or professional program, has 
                        only a baccalaureate degree.
                    ``(B) Source of data.--For purposes of applying 
                paragraph (2) to an educational program at an 
                institution, the median earnings of a working adult, as 
                described in subparagraph (A), shall be based on data 
                from the Bureau of the Census--
                            ``(i) with respect to an educational 
                        program that awards a baccalaureate or lesser 
                        degree--
                                    ``(I) for the State in which the 
                                institution is located; or
                                    ``(II) if fewer than 50 percent of 
                                the students enrolled in the 
                                institution reside in the State where 
                                the institution is located, for the 
                                entire United States; and
                            ``(ii) with respect to an educational 
                        program that is a graduate or professional 
                        program--
                                    ``(I) for the lowest median 
                                earnings of--
                                            ``(aa) a working adult in 
                                        the State in which the 
                                        institution is located;
                                            ``(bb) a working adult in 
                                        the same field of study (as 
                                        determined by the Secretary, 
                                        such as by using the 2-digit 
                                        CIP code) in the State in which 
                                        the institution is located; and
                                            ``(cc) a working adult in 
                                        the same field of study (as so 
                                        determined) in the entire 
                                        United States; or
                                    ``(II) if fewer than 50 percent of 
                                the students enrolled in the 
                                institution reside in the State where 
                                the institution is located, for the 
                                lower median earnings of--
                                            ``(aa) a working adult in 
                                        the entire United States; or
                                            ``(bb) a working adult in 
                                        the same field of study (as so 
                                        determined) in the entire 
                                        United States.
            ``(4) Small programmatic cohorts.--For any year for which 
        the programmatic cohort described in paragraph (2) for an 
        educational program of an institution is fewer than 30 
        individuals, the Secretary shall--
                    ``(A) first, aggregate additional years of 
                programmatic data in order to achieve a cohort of at 
                least 30 individuals; and
                    ``(B) second, in cases in which the cohort 
                (including the individuals added under subparagraph 
                (A)) is still fewer than 30 individuals, aggregate 
                additional cohort years of programmatic data for 
                educational programs of equivalent length in order to 
                achieve a cohort of at least 30 individuals.
            ``(5) Appeals process.--An educational program shall not 
        lose eligibility under this subsection unless the institution 
        has had the opportunity to appeal the programmatic median 
        earnings of students working and not enrolled determination 
        under paragraph (2), through a process established by the 
        Secretary. During such appeal, the Secretary may permit the 
        educational program to continue to participate in the program 
        under this part.
            ``(6) Notice to students.--
                    ``(A) In general.--If an educational program of an 
                institution of higher education subject to this 
                subsection does not meet the cohort median earning 
                requirements, as described in paragraph (2), for one 
                year during the applicable covered period but has not 
                yet failed to meet such requirements for 2 years during 
                such covered period, the institution shall promptly 
                inform each student enrolled in the educational program 
                of the eligible program's low cohort median earnings 
                and that the educational program is at risk of losing 
                its eligibility for funds under this part.
                    ``(B) Covered period.--In this paragraph, the term 
                `covered period' means the period of the 3 years 
                immediately preceding the date of a determination made 
                under paragraph (2).
            ``(7) Regaining programmatic eligibility.--The Secretary 
        shall establish a process by which an institution of higher 
        education that has an educational program that has lost 
        eligibility under this subsection may, after a period of not 
        less than 2 years of such program's ineligibility, apply to 
        regain such eligibility, subject to the requirements 
        established by the Secretary that further the purpose of this 
        subsection.''.

                     Subtitle F--Regulatory Relief

SEC. 85001. DELAY OF RULE RELATING TO BORROWER DEFENSE TO REPAYMENT.

    (a) Delay.--Beginning on the date of enactment of this section, for 
loans that first originate before July 1, 2035, the provisions of 
subpart D of part 685 of title 34, Code of Federal Regulations 
(relating to borrower defense to repayment), as added or amended by the 
final regulations published by the Department of Education on November 
1, 2022, and titled ``Institutional Eligibility Under the Higher 
Education Act of 1965, as Amended; Student Assistance General 
Provisions; Federal Perkins Loan Program; Federal Family Education Loan 
Program; and William D. Ford Federal Direct Loan Program'' (87 Fed. 
Reg. 65904) shall not be in effect.
    (b) Effect.--Beginning on the date of enactment of this section, 
with respect to loans that first originate before July 1, 2035, any 
regulations relating to borrower defense to repayment that took effect 
on July 1, 2020, are restored and revived as such regulations were in 
effect on such date.

SEC. 85002. DELAY OF RULE RELATING TO CLOSED SCHOOL DISCHARGES.

    (a) Delay.--Beginning on the date of enactment of this section, for 
loans that first originate before July 1, 2035, the provisions of 
sections 674.33(g), 682.402(d), and 685.214 of title 34, Code of 
Federal Regulations (relating to closed school discharges), as added or 
amended by the final regulations published by the Department of 
Education on November 1, 2022, and titled ``Institutional Eligibility 
Under the Higher Education Act of 1965, as Amended; Student Assistance 
General Provisions; Federal Perkins Loan Program; Federal Family 
Education Loan Program; and William D. Ford Federal Direct Loan 
Program'' (87 Fed. Reg. 65904), shall not be in effect.
    (b) Effect.--Beginning on the date of enactment of this section, 
with respect to loans that first originate before July 1, 2035, the 
portions of the Code of Federal Regulations described in subsection (a) 
and amended by the final regulations described in subsection (a) shall 
be in effect as if the amendments made by such final regulations had 
not been made.

                      Subtitle G--Garden of Heroes

SEC. 86001. GARDEN OF HEROES.

    In addition to amounts otherwise available, there are appropriated 
to the National Endowment for the Humanities for fiscal year 2025, out 
of any money in the Treasury not otherwise appropriated, to remain 
available through fiscal year 2028, $40,000,000 for the procurement of 
statues as described in Executive Order 13934 (85 Fed. Reg. 41165; 
relating to building and rebuilding monuments to American heroes), 
Executive Order 13978 (86 Fed. Reg. 6809; relating to building the 
National Garden of American Heroes), and Executive Order 14189 (90 Fed. 
Reg. 8849; relating to celebrating America's birthday).

               Subtitle H--Office of Refugee Resettlement

SEC. 87001. POTENTIAL SPONSOR VETTING FOR UNACCOMPANIED ALIEN CHILDREN 
              APPROPRIATION.

    (a) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Office of Refugee Resettlement for fiscal 
year 2025, out of any money in the Treasury not otherwise appropriated, 
$300,000,000, to remain available until September 30, 2028, for the 
purposes described in subsection (b).
    (b) Use of Funds.--The funds made available under subsection (a) 
may only be used for the Office of Refugee Resettlement to support 
costs associated with--
            (1) background checks on potential sponsors, which shall 
        include--
                    (A) the name of the potential sponsor and of all 
                adult residents of the potential sponsor's household;
                    (B) the social security number or tax payer 
                identification number of the potential sponsor and of 
                all adult residents of the potential sponsor's 
                household;
                    (C) the date of birth of the potential sponsor and 
                of all adult residents of the potential sponsor's 
                household;
                    (D) the validated location of the residence at 
                which the unaccompanied alien child will be placed;
                    (E) an in-person or virtual interview with, and 
                suitability study concerning, the potential sponsor and 
                all adult residents of the potential sponsor's 
                household;
                    (F) contact information for the potential sponsor 
                and for all adult residents of the potential sponsor's 
                household; and
                    (G) the results of all background and criminal 
                records checks for the potential sponsor and for all 
                adult residents of the potential sponsor's household, 
                which shall include, at a minimum, an investigation of 
                the public records sex offender registry, a public 
                records background check, and a national criminal 
                history check based on fingerprints;
            (2) home studies of potential sponsors of unaccompanied 
        alien children;
            (3) determining whether an unaccompanied alien child poses 
        a danger to self or others by conducting an examination of the 
        unaccompanied alien child for gang-related tattoos and other 
        gang-related markings and covering such tattoos or markings 
        while the child is in the care of the Office of Refugee 
        Resettlement;
            (4) data systems improvement and sharing that supports the 
        health, safety, and well being of unaccompanied alien children 
        by determining the appropriateness of potential sponsors of 
        unaccompanied alien children and of adults residing in the 
        household of the potential sponsor and by assisting with the 
        identification and investigation of child labor exploitation 
        and child trafficking; and
            (5) coordinating and communicating with State child welfare 
        agencies regarding the placement of unaccompanied alien 
        children in such States by the Office of Refugee Resettlement.
    (c) Definitions.--In this section:
            (1) Potential sponsor.--The term ``potential sponsor'' 
        means an individual or entity who applies for the custody of an 
        unaccompanied alien child.
            (2) Unaccompanied alien child.--The term ``unaccompanied 
        alien child'' has the meaning given such term in section 462(g) 
        of the Homeland Security Act of 2002 (6 U.S.C. 279(g)).

   TITLE IX--COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS

                Subtitle A--Homeland Security Provisions

SEC. 90001. BORDER INFRASTRUCTURE AND WALL SYSTEM.

    In addition to amounts otherwise available, there is appropriated 
to the Commissioner of U.S. Customs and Border Protection for fiscal 
year 2025, out of any money in the Treasury not otherwise appropriated, 
to remain available until September 30, 2029, $46,550,000,000 for 
necessary expenses relating to the following elements of the border 
infrastructure and wall system:
            (1) Construction, installation, or improvement of new or 
        replacement primary, waterborne, and secondary barriers.
            (2) Access roads.
            (3) Barrier system attributes, including cameras, lights, 
        sensors, and other detection technology.
            (4) Any work necessary to prepare the ground at or near the 
        border to allow U.S. Customs and Border Protection to conduct 
        its operations, including the construction and maintenance of 
        the barrier system.

SEC. 90002. U.S. CUSTOMS AND BORDER PROTECTION PERSONNEL, FLEET 
              VEHICLES, AND FACILITIES.

    (a) In General.--In addition to amounts otherwise available, there 
is appropriated to the Commissioner of U.S. Customs and Border 
Protection for fiscal year 2025, out of any money in the Treasury not 
otherwise appropriated, the following:
            (1) Personnel.--$4,100,000,000, to remain available until 
        September 30, 2029, to hire and train additional Border Patrol 
        agents, Office of Field Operations officers, Air and Marine 
        agents, rehired annuitants, and U.S. Customs and Border 
        Protection field support personnel.
            (2) Retention, hiring, and performance bonuses.--
        $2,052,630,000, to remain available until September 30, 2029, 
        to provide recruitment bonuses, performance awards, or annual 
        retention bonuses to eligible Border Patrol agents, Office of 
        Field Operations officers, and Air and Marine agents.
            (3) Vehicles.--$855,000,000, to remain available until 
        September 30, 2029, for the repair of existing patrol units and 
        the lease or acquisition of additional patrol units.
            (4) Facilities.--$5,000,000,000 for necessary expenses 
        relating to lease, acquisition, construction, design, or 
        improvement of facilities and checkpoints owned, leased, or 
        operated by U.S. Customs and Border Protection.
    (b) Restriction.--None of the funds made available by subsection 
(a) may be used to recruit, hire, or train personnel for the duties of 
processing coordinators after October 31, 2028.

SEC. 90003. DETENTION CAPACITY.

    (a) In General.--In addition to any amounts otherwise appropriated, 
there is appropriated to U.S. Immigration and Customs Enforcement for 
fiscal year 2025, out of any money in the Treasury not otherwise 
appropriated, to remain available until September 30, 2029, 
$45,000,000,000, for single adult alien detention capacity and family 
residential center capacity.
    (b) Duration and Standards.--Aliens may be detained at family 
residential centers, as described in subsection (a), pending a 
decision, under the Immigration and Nationality Act (8 U.S.C. 1101 et 
seq.), on whether the aliens are to be removed from the United States 
and, if such aliens are ordered removed from the United States, until 
such aliens are removed. The detention standards for the single adult 
detention capacity described in subsection (a) shall be set in the 
discretion of the Secretary of Homeland Security, consistent with 
applicable law.
    (c) Definition of Family Residential Center.--In this section, the 
term ``family residential center'' means a facility used by the 
Department of Homeland Security to detain family units of aliens 
(including alien children who are not unaccompanied alien children (as 
defined in section 462(g) of the Homeland Security Act of 2002 (6 
U.S.C. 279(g)))) who are encountered or apprehended by the Department 
of Homeland Security.

SEC. 90004. BORDER SECURITY, TECHNOLOGY, AND SCREENING.

    (a) In General.--In addition to amounts otherwise available, there 
is appropriated to the Commissioner of U.S. Customs and Border 
Protection for fiscal year 2025, out of any money in the Treasury not 
otherwise appropriated, to remain available until September 30, 2029, 
$6,168,000,000 for the following:
            (1) Procurement and integration of new nonintrusive 
        inspection equipment and associated civil works, including 
        artificial intelligence, machine learning, and other innovative 
        technologies, as well as other mission support, to combat the 
        entry or exit of illicit narcotics at ports of entry and along 
        the southwest, northern, and maritime borders.
            (2) Air and Marine operations' upgrading and procurement of 
        new platforms for rapid air and marine response capabilities.
            (3) Upgrades and procurement of border surveillance 
        technologies along the southwest, northern, and maritime 
        borders.
            (4) Necessary expenses, including the deployment of 
        technology, relating to the biometric entry and exit system 
        under section 7208 of the Intelligence Reform and Terrorism 
        Prevention Act of 2004 (8 U.S.C. 1365b).
            (5) Screening persons entering or exiting the United 
        States.
            (6) Initial screenings of unaccompanied alien children (as 
        defined in section 462(g) of the Homeland Security Act of 2002 
        (6 U.S.C. 279(g))), consistent with the William Wilberforce 
        Trafficking Victims Protection Reauthorization Act of 2008 
        (Public Law 110-457; 122 Stat. 5044).
            (7) Enhancing border security by combating drug 
        trafficking, including fentanyl and its precursor chemicals, at 
        the southwest, northern, and maritime borders.
            (8) Commemorating efforts and events related to border 
        security.
    (b) Restrictions.--None of the funds made available under 
subsection (a) may be used for the procurement or deployment of 
surveillance towers along the southwest border and northern border that 
have not been tested and accepted by U.S. Customs and Border Protection 
to deliver autonomous capabilities.
    (c) Definition of Autonomous.--In this section, with respect to 
capabilities, the term ``autonomous'' means a system designed to apply 
artificial intelligence, machine learning, computer vision, or other 
algorithms to accurately detect, identify, classify, and track items of 
interest in real time such that the system can make operational 
adjustments without the active engagement of personnel or continuous 
human command or control.

SEC. 90005. STATE AND LOCAL ASSISTANCE.

    (a) State Homeland Security Grant Programs.--
            (1) In general.--In addition to amounts otherwise 
        available, there is appropriated to the Administrator of the 
        Federal Emergency Management Agency for fiscal year 2025, out 
        of any money in the Treasury not otherwise appropriated, to 
        remain available until September 30, 2029, to be administered 
        under the State Homeland Security Grant Program authorized 
        under section 2004 of the Homeland Security Act of 2002 (6 
        U.S.C. 605), to enhance State, local, and Tribal security 
        through grants, contracts, cooperative agreements, and other 
        activities--
                    (A) $500,000,000 for State and local capabilities 
                to detect, identify, track, or monitor threats from 
                unmanned aircraft systems (as such term is defined in 
                section 44801 of title 49, United States Code), 
                consistent with titles 18 and 49 of the United States 
                Code;
                    (B) $625,000,000 for security and other costs 
                related to the 2026 FIFA World Cup;
                    (C) $1,000,000,000 for security, planning, and 
                other costs related to the 2028 Olympics; and
                    (D) $450,000,000 for the Operation Stonegarden 
                Grant Program.
            (2) Terms and conditions.--None of the funds made available 
        under subparagraph (B) or (C) of paragraph (1) shall be subject 
        to the requirements of section 2004(e)(1) or section 
        2008(a)(12) of the Homeland Security Act of 2002 (6 U.S.C. 
        605(e)(1), 609(a)(12)).
    (b) State Border Security Reinforcement Fund.--
            (1) Establishment.--There is established, in the Department 
        of Homeland Security, a fund to be known as the ``State Border 
        Security Reinforcement Fund.''
            (2) Purposes.--The Secretary of Homeland Security shall use 
        amounts appropriated or otherwise made available for the Fund 
        for grants to eligible States and units of local government for 
        any of the following purposes:
                    (A) Construction or installation of a border wall, 
                border fencing or other barrier, or buoys along the 
                southern border of the United States, which may include 
                planning, procurement of materials, and personnel costs 
                related to such construction or installation.
                    (B) Any work necessary to prepare the ground at or 
                near land borders to allow construction and maintenance 
                of a border wall or other barrier fencing.
                    (C) Detection and interdiction of illicit 
                substances and aliens who have unlawfully entered the 
                United States and have committed a crime under Federal, 
                State, or local law, and transfer or referral of such 
                aliens to the Department of Homeland Security as 
                provided by law.
                    (D) Relocation of aliens who are unlawfully present 
                in the United States from small population centers to 
                other domestic locations.
            (3) Appropriation.--In addition to amounts otherwise 
        available for the purposes described in paragraph (2), there is 
        appropriated for fiscal year 2025, out of any money in the 
        Treasury not otherwise appropriated, to the Department of 
        Homeland Security for the State Border Security Reinforcement 
        Fund established by paragraph (1), $10,000,000,000, to remain 
        available until September 30, 2034, for qualified expenses for 
        such purposes.
            (4) Eligibility.--The Secretary of Homeland Security may 
        provide grants from the fund established by paragraph (1) to 
        State agencies and units of local governments for expenditures 
        made for completed, ongoing, or new activities, in accordance 
        with law, that occurred on or after January 20, 2021.
            (5) Application.--Each State desiring to apply for a grant 
        under this subsection shall submit an application to the 
        Secretary containing such information in support of the 
        application as the Secretary may require. The Secretary shall 
        require that each State include in its application the purposes 
        for which the State seeks the funds and a description of how 
        the State plans to allocate the funds. The Secretary shall 
        begin to accept applications not later than 90 days after the 
        date of the enactment of this Act.
            (6) Terms and conditions.--Nothing in this subsection shall 
        authorize any State or local government to exercise immigration 
        or border security authorities reserved exclusively to the 
        Federal Government under the Immigration and Nationality Act (8 
        U.S.C. 1101 et seq.) or the Homeland Security Act of 2002 (6 
        U.S.C. 101 et seq.). The Federal Emergency Management Agency 
        may use not more than 1 percent of the funds made available 
        under this subsection for the purpose of administering grants 
        provided for in this section.

SEC. 90006. PRESIDENTIAL RESIDENCE PROTECTION.

    (a) In General.--In addition to amounts otherwise available, there 
is appropriated to the Administrator of the Federal Emergency 
Management Agency for fiscal year 2025, out of any money in the 
Treasury not otherwise appropriated, $300,000,000, to remain available 
until September 30, 2029, for the reimbursement of extraordinary law 
enforcement personnel costs for protection activities directly and 
demonstrably associated with any residence of the President designated 
pursuant to section 3 or 4 of the Presidential Protection Assistance 
Act of 1976 (Public Law 94-524; 18 U.S.C. 3056 note) to be secured by 
the United States Secret Service.
    (b) Availability.--Funds appropriated under this section shall be 
available only for costs that a State or local agency--
            (1) incurred or incurs on or after July 1, 2024;
            (2) demonstrates to the Administrator of the Federal 
        Emergency Management Agency as being--
                    (A) in excess of typical law enforcement operation 
                costs;
                    (B) directly attributable to the provision of 
                protection described in this section; and
                    (C) associated with a nongovernmental property 
                designated pursuant to section 3 or 4 of the 
                Presidential Protection Assistance Act of 1976 (Public 
                Law 94-524; 18 U.S.C. 3056 note) to be secured by the 
                United States Secret Service; and
            (3) certifies to the Administrator as compensating 
        protection activities requested by the United States Secret 
        Service.
    (c) Terms and Conditions.--The Federal Emergency Management Agency 
may use not more than 3 percent of the funds made available under this 
section for the purpose of administering grants provided for in this 
section.

SEC. 90007. DEPARTMENT OF HOMELAND SECURITY APPROPRIATIONS FOR BORDER 
              SUPPORT.

    In addition to amounts otherwise available, there are appropriated 
to the Secretary of Homeland Security for fiscal year 2025, out of any 
money in the Treasury not otherwise appropriated, $10,000,000,000, to 
remain available until September 30, 2029, for reimbursement of costs 
incurred in undertaking activities in support of the Department of 
Homeland Security's mission to safeguard the borders of the United 
States.

              Subtitle B--Governmental Affairs Provisions

SEC. 90101. FEHB IMPROVEMENTS.

    (a) Short Title.--This section may be cited as the ``FEHB 
Protection Act of 2025''.
    (b) Definitions.--In this section:
            (1) Director.--The term ``Director'' means the Director of 
        the Office of Personnel Management.
            (2) Health benefits plan; member of family.--The terms 
        ``health benefits plan'' and ``member of family'' have the 
        meanings given those terms in section 8901 of title 5, United 
        States Code.
            (3) Open season.--The term ``open season'' means an open 
        season described in section 890.301(f) of title 5, Code of 
        Federal Regulations, or any successor regulation.
            (4) Program.--The term ``Program'' means the health 
        insurance programs carried out under chapter 89 of title 5, 
        United States Code, including the program carried out under 
        section 8903c of that title.
            (5) Qualifying life event.--The term ``qualifying life 
        event'' has the meaning given the term in section 892.101 of 
        title 5, Code of Federal Regulations, or any successor 
        regulation.
    (c) Verification Requirements.--Not later than 1 year after the 
date of enactment of this Act, the Director shall issue regulations and 
implement a process to verify--
            (1) the veracity of any qualifying life event through which 
        an enrollee in the Program seeks to add a member of family with 
        respect to the enrollee to a health benefits plan under the 
        Program; and
            (2) that, when an enrollee in the Program seeks to add a 
        member of family with respect to the enrollee to the health 
        benefits plan of the enrollee under the Program, including 
        during any open season, the individual so added is a qualifying 
        member of family with respect to the enrollee.
    (d) Fraud Risk Assessment.--In any fraud risk assessment conducted 
with respect to the Program on or after the date of enactment of this 
Act, the Director shall include an assessment of individuals who are 
enrolled in, or covered under, a health benefits plan under the Program 
even though those individuals are not eligible to be so enrolled or 
covered.
    (e) Family Member Eligibility Verification Audit.--
            (1) In general.--During the 3-year period beginning on the 
        date that is 1 year after the date of enactment of this Act, 
        the Director shall carry out a comprehensive audit regarding 
        members of family who are covered under an enrollment in a 
        health benefits plan under the Program.
            (2) Contents.--With respect to the audit carried out under 
        paragraph (1), the Director shall review marriage certificates, 
        birth certificates, and other appropriate documents that are 
        necessary to determine eligibility to enroll in a health 
        benefits plan under the Program.
    (f) Disenrollment or Removal.--Not later than 180 days after the 
date of enactment of this Act, the Director shall develop a process by 
which any individual enrolled in, or covered under, a health benefits 
plan under the Program who is not eligible to be so enrolled or covered 
shall be disenrolled or removed from enrollment in, or coverage under, 
that health benefits plan.
    (g) Earned Benefits and Health Care Administrative Services 
Associated Oversight and Audit Funding.--Section 8909 of title 5, 
United States Code, is amended--
            (1) in subsection (a)(2), by inserting before the period at 
        the end the following: ``, except that the amounts required to 
        be set aside under subsection (b)(2) shall not be subject to 
        the limitations that may be specified annually by Congress''; 
        and
            (2) in subsection (b)--
                    (A) by redesignating paragraph (2) as paragraph 
                (3); and
                    (B) by inserting after paragraph (1) the following:
            ``(2) In fiscal year 2026, $66,000,000, to be derived from 
        all contributions, and to remain available until the end of 
        fiscal year 2035, for the Director of the Office to carry out 
        subsections (c) through (f) of the FEHB Protection Act of 
        2025.''.

SEC. 90102. PANDEMIC RESPONSE ACCOUNTABILITY COMMITTEE.

    (a) Pandemic Response Accountability Committee Funding 
Availability.--In addition to amounts otherwise available, there is 
appropriated for fiscal year 2026, out of any money in the Treasury not 
otherwise appropriated, $88,000,000, to remain available until 
expended, for the Pandemic Response Accountability Committee to support 
oversight of the Coronavirus response and of funds provided in this Act 
or any other Act pertaining to the Coronavirus pandemic.
    (b) CARES Act.--Section 15010 of the CARES Act (Public Law 116-136; 
134 Stat. 533) is amended--
            (1) in subsection (a)(6)--
                    (A) in subparagraph (E), by striking ``or'' at the 
                end;
                    (B) in subparagraph (F), by striking ``and'' at the 
                end and inserting ``or''; and
                    (C) by adding at the end the following:
                    ``(G) the Act titled `An Act to provide for 
                reconciliation pursuant to title II of H. Con. Res. 
                14'; and''; and
            (2) in subsection (k), by striking ``2025'' and inserting 
        ``2034''.

SEC. 90103. APPROPRIATION FOR THE OFFICE OF MANAGEMENT AND BUDGET.

    In addition to amounts otherwise available, there is appropriated 
to the Office of Management and Budget for fiscal year 2025, out of any 
money in the Treasury not otherwise appropriated, $100,000,000, to 
remain available until September 30, 2029, for purposes of finding 
budget and accounting efficiencies in the executive branch.

                  TITLE X--COMMITTEE ON THE JUDICIARY

          Subtitle A--Immigration and Law Enforcement Matters

                        PART I--IMMIGRATION FEES

SEC. 100001. APPLICABILITY OF THE IMMIGRATION LAWS.

    (a) Applicability.--The fees under this subtitle shall apply to 
aliens in the circumstances described in this subtitle.
    (b) Terms.--The terms used under this subtitle shall have the 
meanings given such terms in section 101 of the Immigration and 
Nationality Act (8 U.S.C. 1101).
    (c) References to Immigration and Nationality Act.--Except as 
otherwise expressly provided, any reference in this subtitle to a 
section or other provision shall be considered to be to a section or 
other provision of the Immigration and Nationality Act (8 U.S.C. 1101 
et seq.).

SEC. 100002. ASYLUM FEE.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security or the Attorney General, as 
applicable, shall require the payment of a fee, equal to the amount 
specified in this section, by any alien who files an application for 
asylum under section 208 (8 U.S.C. 1158) at the time such application 
is filed.
    (b) Initial Amount.--During fiscal year 2025, the amount specified 
in this section shall be the greater of--
            (1) $100; or
            (2) such amount as the Secretary or the Attorney General, 
        as applicable, may establish, by rule.
    (c) Annual Adjustments for Inflation.--During fiscal year 2026, and 
during each subsequent fiscal year, the amount specified in this 
section shall be equal to the sum of--
            (1) the amount of the fee required under this section for 
        the most recently concluded fiscal year; and
            (2) the product resulting from the multiplication of the 
        amount referred to in paragraph (1) by the percentage (if any) 
        by which the Consumer Price Index for All Urban Consumers for 
        the month of July preceding the date on which such adjustment 
        takes effect exceeds the Consumer Price Index for All Urban 
        Consumers for the same month of the preceding calendar year, 
        rounded to the next lowest multiple of $10.
    (d) Disposition of Asylum Fee Proceeds.--During each fiscal year--
            (1) 50 percent of the fees received from aliens filing 
        applications with the Attorney General--
                    (A) shall be credited to the Executive Office for 
                Immigration Review; and
                    (B) may be retained and expended without further 
                appropriation;
            (2) 50 percent of fees received from aliens filing 
        applications with the Secretary of Homeland Security--
                    (A) shall be credited to U.S. Citizenship and 
                Immigration Services;
                    (B) shall be deposited into the Immigration 
                Examinations Fee Account established under section 
                286(m) (8 U.S.C. 1356(m)); and
                    (C) may be retained and expended without further 
                appropriation; and
            (3) any amounts received in fees required under this 
        section that were not credited to the Executive Office for 
        Immigration Review pursuant to paragraph (1) or to U.S. 
        Citizenship and Immigration Services pursuant to paragraph (2) 
        shall be deposited into the general fund of the Treasury.
    (e) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100003. EMPLOYMENT AUTHORIZATION DOCUMENT FEES.

    (a) Asylum Applicants.--
            (1) In general.--In addition to any other fee authorized by 
        law, the Secretary of Homeland Security shall require the 
        payment of a fee, equal to the amount specified in this 
        subsection, by any alien who files an initial application for 
        employment authorization under section 208(d)(2) (8 U.S.C. 
        1158(d)(2)) at the time such initial employment authorization 
        application is filed.
            (2) Initial amount.--During fiscal year 2025, the amount 
        specified in this subsection shall be the greater of--
                    (A) $550; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (3) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                section for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
            (4) Disposition of employment authorization document 
        fees.--During each fiscal year--
                    (A) 25 percent of the fees collected pursuant to 
                this subsection--
                            (i) shall be credited to U.S. Citizenship 
                        and Immigration Services;
                            (ii) shall be deposited into the 
                        Immigration Examinations Fee Account 
                        established under section 286(m) (8 U.S.C. 
                        1356(m)); and
                            (iii) may be retained and expended by U.S. 
                        Citizenship and Immigration Services without 
                        further appropriation, provided that not less 
                        than 50 percent is used to detect and prevent 
                        immigration benefit fraud; and
                    (B) any amounts collected pursuant to this 
                subsection that are not credited to U.S. Citizenship 
                and Immigration Services pursuant to subparagraph (A) 
                shall be deposited into the general fund of the 
                Treasury.
            (5) No fee waiver.--Fees required to be paid under this 
        subsection shall not be waived or reduced.
    (b) Parolees.--
            (1) In general.--In addition to any other fee authorized by 
        law, the Secretary of Homeland Security shall require the 
        payment of a fee, equal to the amount specified in this 
        subsection, by any alien paroled into the United States for any 
        initial application for employment authorization at the time 
        such initial application is filed. Each initial employment 
        authorization shall be valid for a period of 1 year or for the 
        duration of the alien's parole, whichever is shorter.
            (2) Initial amount.--During fiscal year 2025, the amount 
        specified in this subsection shall be the greater of--
                    (A) $550; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (3) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this subsection shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
            (4) Disposition of parolee employment authorization 
        application fees.--All of the fees collected pursuant to this 
        subsection shall be deposited into the general fund of the 
        Treasury.
            (5) No fee waiver.--Fees required to be paid under this 
        subsection shall not be waived or reduced.
    (c) Temporary Protected Status.--
            (1) In general.--In addition to any other fee authorized by 
        law, the Secretary of Homeland Security shall require the 
        payment of a fee, equal to the amount specified in this 
        subsection, by any alien who files an initial application for 
        employment authorization under section 244(a)(1)(B) (8 U.S.C. 
        1254a(a)(1)(B)) at the time such initial application is filed. 
        Each initial employment authorization shall be valid for a 
        period of 1 year, or for the duration of the alien's temporary 
        protected status, whichever is shorter.
            (2) Initial amount.--During fiscal year 2025, the amount 
        specified in this subsection shall be the greater of--
                    (A) $550; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (3) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this subsection shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
            (4) Disposition of employment authorization application 
        fees collected from aliens granted temporary protected 
        status.--All of the fees collected pursuant to this subsection 
        shall be deposited into the general fund of the Treasury.
            (5) No fee waiver.--Fees required to be paid under this 
        subsection shall not be waived or reduced.

SEC. 100004. IMMIGRATION PAROLE FEE.

    (a) In General.--Except as provided under subsection (b), the 
Secretary of Homeland Security shall require the payment of a fee, 
equal to the amount specified in this section and in addition to any 
other fee authorized by law, by any alien who is paroled into the 
United States.
    (b) Exceptions.--An alien shall not be subject to the fee otherwise 
required under subsection (a) if the alien establishes, to the 
satisfaction of the Secretary of Homeland Security, on an individual, 
case-by-case basis, that the alien is being paroled because--
            (1)(A) the alien has a medical emergency; and
            (B)(i) the alien cannot obtain necessary treatment in the 
        foreign state in which the alien is residing; or
            (ii) the medical emergency is life-threatening and there is 
        insufficient time for the alien to be admitted to the United 
        States through the normal visa process;
            (2)(A) the alien is the parent or legal guardian of an 
        alien described in paragraph (1); and
            (B) the alien described in paragraph (1) is a minor;
            (3)(A) the alien is needed in the United States to donate 
        an organ or other tissue for transplant; and
            (B) there is insufficient time for the alien to be admitted 
        to the United States through the normal visa process;
            (4)(A) the alien has a close family member in the United 
        States whose death is imminent; and
            (B) the alien could not arrive in the United States in time 
        to see such family member alive if the alien were to be 
        admitted to the United States through the normal visa process;
            (5)(A) the alien is seeking to attend the funeral of a 
        close family member; and
            (B) the alien could not arrive in the United States in time 
        to attend such funeral if the alien were to be admitted to the 
        United States through the normal visa process;
            (6) the alien is an adopted child--
                    (A) who has an urgent medical condition;
                    (B) who is in the legal custody of the petitioner 
                for a final adoption-related visa; and
                    (C) whose medical treatment is required before the 
                expected award of a final adoption-related visa;
            (7) the alien--
                    (A) is a lawful applicant for adjustment of status 
                under section 245 (8 U.S.C. 1255); and
                    (B) is returning to the United States after 
                temporary travel abroad;
            (8) the alien--
                    (A) has been returned to a contiguous country 
                pursuant to section 235(b)(2)(C) (8 U.S.C. 
                1225(b)(2)(C)); and
                    (B) is being paroled into the United States to 
                allow the alien to attend the alien's immigration 
                hearing;
            (9) the alien has been granted the status of Cuban and 
        Haitian entrant (as defined in section 501(e) of the Refugee 
        Education Assistance Act of 1980 (Public Law 96-422; 8 U.S.C. 
        1522 note); or
            (10) the Secretary of Homeland Security determines that a 
        significant public benefit has resulted or will result from the 
        parole of an alien--
                    (A) who has assisted or will assist the United 
                States Government in a law enforcement matter;
                    (B) whose presence is required by the United States 
                Government in furtherance of such law enforcement 
                matter; and
                    (C)(i) who is inadmissible or does not satisfy the 
                eligibility requirements for admission as a 
                nonimmigrant; or
                    (ii) for which there is insufficient time for the 
                alien to be admitted to the United States through the 
                normal visa process.
    (c) Initial Amount.--For fiscal year 2025, the amount specified in 
this section shall be the greater of--
            (1) $1,000; or
            (2) such amount as the Secretary of Homeland Security may 
        establish, by rule.
    (d) Annual Adjustments for Inflation.--During fiscal year 2026, and 
during each subsequent fiscal year, the amount specified in this 
section shall be equal to the sum of--
            (1) the amount of the fee required under this subsection 
        for the most recently concluded fiscal year; and
            (2) the product resulting from the multiplication of the 
        amount referred to in paragraph (1) by the percentage (if any) 
        by which the Consumer Price Index for All Urban Consumers for 
        the month of July preceding the date on which such adjustment 
        takes effect exceeds the Consumer Price Index for All Urban 
        Consumers for the same month of the preceding calendar year, 
        rounded to the next lowest multiple of $10.
    (e) Disposition of Fees Collected From Aliens Granted Parole.--All 
of the fees collected pursuant to this section shall be deposited into 
the general fund of the Treasury.
    (f) No Fee Waiver.--Except as provided in subsection (b), fees 
required to be paid under this section shall not be waived or reduced.

SEC. 100005. SPECIAL IMMIGRANT JUVENILE FEE.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security shall require the payment of a fee, 
equal to the amount specified in this section, by any alien, parent, or 
legal guardian of an alien applying for special immigrant juvenile 
status under section 101(a)(27)(J) (8 U.S.C. 1101(a)(27)(J)).
    (b) Initial Amount.--For fiscal year 2025, the amount specified in 
this section shall be the greater of--
            (1) $250; or
            (2) such amount as the Secretary of Homeland Security may 
        establish, by rule.
    (c) Annual Adjustments for Inflation.--During fiscal year 2026, and 
during each subsequent fiscal year, the amount specified in this 
section shall be equal to the sum of--
            (1) the amount of the fee required under this subsection 
        for the most recently concluded fiscal year; and
            (2) the product resulting from the multiplication of the 
        amount referred to in paragraph (1) by the percentage (if any) 
        by which the Consumer Price Index for All Urban Consumers for 
        the month of July preceding the date on which such adjustment 
        takes effect exceeds the Consumer Price Index for All Urban 
        Consumers for the same month of the preceding calendar year, 
        rounded to the next lowest multiple of $10.
    (d) Disposition of Special Immigrant Juvenile Fees.--All of the 
fees collected pursuant to this section shall be deposited into the 
general fund of the Treasury.

SEC. 100006. TEMPORARY PROTECTED STATUS FEE.

    Section 244(c)(1)(B) of the Immigration and Nationality Act (8 
U.S.C. 1254a(c)(1)(B)) is amended--
            (1) by striking ``The Attorney General'' and inserting the 
        following:
                            ``(i) In general.--The Attorney General'';
            (2) in clause (i), as redesignated, by striking ``$50'' and 
        inserting ``$500, subject to the adjustments required under 
        clause (ii)''; and
            (3) by adding at the end the following:
                            ``(ii) Annual adjustments for inflation.--
                        During fiscal year 2026, and during each 
                        subsequent fiscal year, the maximum amount of 
                        the fee authorized under clause (i) shall be 
                        equal to the sum of--
                                    ``(I) the maximum amount of the fee 
                                authorized under this subparagraph for 
                                the most recently concluded fiscal 
                                year; and
                                    ``(II) the product resulting from 
                                the multiplication of the amount 
                                referred to in subclause (I) by the 
                                percentage (if any) by which the 
                                Consumer Price Index for All Urban 
                                Consumers for the month of July 
                                preceding the date on which such 
                                adjustment takes effect exceeds the 
                                Consumer Price Index for All Urban 
                                Consumers for the same month of the 
                                preceding calendar year, rounded to the 
                                next lowest multiple of $10.
                            ``(iii) Disposition of temporary protected 
                        status fees.--All of the fees collected 
                        pursuant to this subparagraph shall be 
                        deposited into the general fund of the 
                        Treasury.
                            ``(iv) No fee waiver.--Fees required to be 
                        paid under this subparagraph shall not be 
                        waived or reduced.''.

SEC. 100007. VISA INTEGRITY FEE.

    (a) Visa Integrity Fee.--
            (1) In general.--In addition to any other fee authorized by 
        law, the Secretary of Homeland Security shall require the 
        payment of a fee, equal to the amount specified in this 
        subsection, by any alien issued a nonimmigrant visa at the time 
        of such issuance.
            (2) Initial amount.--For fiscal year 2025, the amount 
        specified in this section shall be the greater of--
                    (A) $250; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (3) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                down to the nearest dollar.
            (4) Disposition of visa integrity fees.--All of the fees 
        collected pursuant to this section that are not reimbursed 
        pursuant to subsection (b) shall be deposited into the general 
        fund of the Treasury.
            (5) No fee waiver.--Fees required to be paid under this 
        subsection shall not be waived or reduced.
    (b) Fee Reimbursement.--The Secretary of Homeland Security may 
provide a reimbursement to an alien of the fee required under 
subsection (a) for the issuance of a nonimmigrant visa after the 
expiration of such nonimmigrant visa's period of validity if such alien 
demonstrates that he or she--
            (1) after admission to the United States pursuant to such 
        nonimmigrant visa, complied with all conditions of such 
        nonimmigrant visa, including the condition that an alien shall 
        not accept unauthorized employment; and
            (2)(A) has not sought to extend his or her period of 
        admission during such period of validity and departed the 
        United States not later than 5 days after the last day of such 
        period; or
            (B) during such period of validity, was granted an 
        extension of such nonimmigrant status or an adjustment to the 
        status of a lawful permanent resident.

SEC. 100008. FORM I-94 FEE.

    (a) Fee Authorized.--In addition to any other fee authorized by 
law, the Secretary of Homeland Security shall require the payment of a 
fee, equal to the amount specified in subsection (b), by any alien who 
submits an application for a Form I-94 Arrival/Departure Record.
    (b) Amount Specified.--
            (1) Initial amount.--For fiscal year 2025, the amount 
        specified in this section shall be the greater of--
                    (A) $24; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                down to the nearest dollar.
    (c) Disposition of Form I-94 Fees.--During each fiscal year--
            (1) 20 percent of the fees collected pursuant to this 
        section--
                    (A) shall be deposited into the Land Border 
                Inspection Fee Account in accordance with section 
                286(q)(2) (8 U.S.C. 1356(q)(2)); and
                    (B) shall be made available to U.S. Customs and 
                Border Protection to retain and spend without further 
                appropriation for the purpose of processing Form I-94; 
                and
            (2) any amounts not deposited into the Land Border 
        Inspection Fee Account pursuant to paragraph (1)(A) shall be 
        deposited in the general fund of the Treasury.
    (d) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100009. ANNUAL ASYLUM FEE.

    (a) Fee Authorized.--In addition to any other fee authorized by 
law, for each calendar year that an alien's application for asylum 
remains pending, the Secretary of Homeland Security or the Attorney 
General, as applicable, shall require the payment of a fee, equal to 
the amount specified in subsection (b), by such alien.
    (b) Amount Specified.--
            (1) Initial amount.--For fiscal year 2025, the amount 
        specified in this section shall be the greater of--
                    (A) $100; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                down to the nearest dollar.
    (c) Disposition of Annual Asylum Fees.--All of the fees collected 
pursuant to this section shall be deposited into the general fund of 
the Treasury.
    (d) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100010. FEE RELATING TO RENEWAL AND EXTENSION OF EMPLOYMENT 
              AUTHORIZATION FOR PAROLEES.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security shall require the payment of a fee, 
equal to the amount specified in subsection (b), for any parolee who 
seeks a renewal or extension of employment authorization based on a 
grant of parole. The employment authorization for each alien paroled 
into the United States, or any renewal or extension of such parole, 
shall be valid for a period of 1 year or for the duration of the 
alien's parole, whichever is shorter.
    (b) Amount Specified.--
            (1) Initial amount.--For fiscal year 2025, the amount 
        specified in this subsection shall be the greater of--
                    (A) $275; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
    (c) Disposition of Fees Relating to Renewal and Extension of 
Employment Authorization for Parolees.--During each fiscal year--
            (1) 25 percent of the fees collected pursuant to this 
        section--
                    (A) shall be credited to U.S. Citizenship and 
                Immigration Services;
                    (B) shall be deposited into the Immigration 
                Examinations Fee Account established under section 
                286(m) (8 U.S.C. 1356(m)); and
                    (C) may be retained and expended by U.S. 
                Citizenship and Immigration Services without further 
                appropriation; and
            (2) any amounts collected pursuant to this section that are 
        not credited to U.S. Citizenship and Immigration Services 
        pursuant to subparagraph (A) shall be deposited into the 
        general fund of the Treasury.
    (d) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100011. FEE RELATING TO RENEWAL OR EXTENSION OF EMPLOYMENT 
              AUTHORIZATION FOR ASYLUM APPLICANTS.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security shall require the payment of a fee 
of not less than $275 by any alien who has applied for asylum for each 
renewal or extension of employment authorization based on such 
application.
    (b) Termination.--Each initial employment authorization, or renewal 
or extension of such authorization, shall terminate--
            (1) immediately following the denial of an asylum 
        application by an asylum officer, unless the case is referred 
        to an immigration judge;
            (2) on the date that is 30 days after the date on which an 
        immigration judge denies an asylum application, unless the 
        alien makes a timely appeal to the Board of Immigration 
        Appeals; or
            (3) immediately following the denial by the Board of 
        Immigration Appeals of an appeal of a denial of an asylum 
        application.
    (c) Disposition of Fees Relating to Renewal and Extension of 
Employment Authorization for Asylum Applicants.--During each fiscal 
year--
            (1) 25 percent of the fees collected pursuant to this 
        section--
                    (A) shall be credited to U.S. Citizenship and 
                Immigration Services;
                    (B) shall be deposited into the Immigration 
                Examinations Fee Account established under section 
                286(m) (8 U.S.C. 1356(m)); and
                    (C) may be retained and expended by U.S. 
                Citizenship and Immigration Services without further 
                appropriation; and
            (2) any amounts collected pursuant to this section that are 
        not credited to U.S. Citizenship and Immigration Services 
        pursuant to subparagraph (A) shall be deposited into the 
        general fund of the Treasury.
    (d) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100012. FEE RELATING TO RENEWAL AND EXTENSION OF EMPLOYMENT 
              AUTHORIZATION FOR ALIENS GRANTED TEMPORARY PROTECTED 
              STATUS.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security shall require the payment of a fee, 
equal to the amount specified in subsection (b), by any alien at the 
time such alien seeks a renewal or extension of employment 
authorization based on a grant of temporary protected status. Any 
employment authorization for an alien granted temporary protected 
status, or any renewal or extension of such employment authorization, 
shall be valid for a period of 1 year or for the duration of the 
designation of temporary protected status, whichever is shorter.
    (b) Amount Specified.--
            (1) Initial amount.--For fiscal year 2025, the amount 
        specified in this subsection shall be the greater of--
                    (A) $275; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
    (c) Disposition of Fees Relating to Renewal and Extension of 
Employment Authorization for Temporary Protected Status Applicants.--
During each fiscal year--
            (1) 25 percent of the fees collected pursuant to this 
        section--
                    (A) shall be credited to U.S. Citizenship and 
                Immigration Services;
                    (B) shall be deposited into the Immigration 
                Examinations Fee Account established under section 
                286(m) (8 U.S.C. 1356(m)); and
                    (C) may be retained and expended by U.S. 
                Citizenship and Immigration Services without further 
                appropriation; and
            (2) any amounts collected pursuant to this section that are 
        not credited to U.S. Citizenship and Immigration Services 
        pursuant to subparagraph (A) shall be deposited into the 
        general fund of the Treasury.
    (d) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100013. FEES RELATING TO APPLICATIONS FOR ADJUSTMENT OF STATUS.

    (a) Fee for Filing an Application to Adjust Status to That of a 
Lawful Permanent Resident.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien who files an application with an immigration court to 
        adjust the alien's status to that of a lawful permanent 
        resident, or whose application to adjust his or her status to 
        that of a lawful permanent resident is adjudicated in 
        immigration court. Such fee shall be paid at the time such 
        application is filed or before such application is adjudicated 
        by the immigration court.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $1,500; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of adjustment of status application fees.--
        During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (b) Fee for Filing Application for Waiver of Grounds of 
Inadmissibility.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien at the time such alien files an application with an 
        immigration court for a waiver of a ground of inadmissibility, 
        or before such application is adjudicated by the immigration 
        court.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $1,050; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of waiver of ground of admissibility 
        application fees.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (c) Fee for Filing an Application for Temporary Protected Status.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien at the time such alien files an application with an 
        immigration court for temporary protected status, or before 
        such application is adjudicated by the immigration court.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $500; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of temporary protected status application 
        fees.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (d) Fee for Filing an Appeal of a Decision of an Immigration 
Judge.--
            (1) In general.--Except as provided in paragraph (3), the 
        Attorney General shall require, in addition to any other fees 
        authorized by law, the payment of a fee, equal to the amount 
        specified in paragraph (2), by any alien at the time such alien 
        files an appeal from a decision of an immigration judge.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $900; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Exception.--The fee required under paragraph (1) shall 
        not apply to the appeal of a bond decision.
            (4) Disposition of fees for appealing immigration judge 
        decisions.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (e) Fee for Filing an Appeal From a Decision of an Officer of the 
Department of Homeland Security.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien at the time such alien files an appeal of a decision of 
        an officer of the Department of Homeland Security.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $900; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of fees for appealing department of 
        homeland security officer decisions.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (f) Fee for Filing an Appeal From a Decision of an Adjudicating 
Official in a Practitioner Disciplinary Case.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        practitioner at the time such practitioner files an appeal from 
        a decision of an adjudicating official in a practitioner 
        disciplinary case.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $1,325; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of fees for appealing department of 
        homeland security officer decisions.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (g) Fee for Filing a Motion to Reopen or a Motion to Reconsider.--
            (1) In general.--Except as provided in paragraph (3), in 
        addition to any other fees authorized by law, the Attorney 
        General shall require the payment of a fee, equal to the amount 
        specified in paragraph (2), by any alien at the time such alien 
        files a motion to reopen or motion to reconsider a decision of 
        an immigration judge or the Board of Immigration Appeals.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $900; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Exceptions.--The fee required under paragraph (1) shall 
        not apply to--
                    (A) a motion to reopen a removal order entered in 
                absentia if such motion is filed in accordance with 
                section 240(b)(5)(C)(ii) (8 U.S.C. 1229a(b)(5)(C)(ii)); 
                or
                    (B) a motion to reopen a deportation order entered 
                in absentia if such motion is filed in accordance with 
                section 242B(c)(3)(B) prior to April 1, 1997.
            (4) Disposition of fees for filing certain motions.--During 
        each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (h) Fee for Filing Application for Suspension of Deportation.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien at the time such alien files an application with an 
        immigration court for suspension of deportation.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $600; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of fees for filing application for 
        suspension of deportation.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (i) Fee for Filing Application for Cancellation of Removal for 
Certain Permanent Residents.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien at the time such alien files an application with an 
        immigration court an application for cancellation of removal 
        for an alien who is a lawful permanent resident.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $600; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of fees for filing application for 
        cancellation of removal.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (j) Fee for Filing an Application for Cancellation of Removal and 
Adjustment of Status for Certain Nonpermanent Residents.--
            (1) In general.--In addition to any other fees authorized 
        by law, the Attorney General shall require the payment of a 
        fee, equal to the amount specified in paragraph (2), by any 
        alien who is not a lawful permanent resident at the time such 
        alien files an application with an immigration court for 
        cancellation of removal and adjustment of status for any alien.
            (2) Amount specified.--
                    (A) Initial amount.--For fiscal year 2025, the 
                amount specified in this paragraph shall be the greater 
                of--
                            (i) $1,500; or
                            (ii) such amount as the Attorney General 
                        may establish, by rule.
                    (B) Annual adjustments for inflation.--During 
                fiscal year 2026, and during each subsequent fiscal 
                year, the amount specified in this paragraph shall be 
                equal to the sum of--
                            (i) the amount of the fee required under 
                        this subsection for the most recently concluded 
                        fiscal year; and
                            (ii) the product resulting from the 
                        multiplication of the amount referred to in 
                        clause (i) by the percentage (if any) by which 
                        the Consumer Price Index for All Urban 
                        Consumers for the month of July preceding the 
                        date on which such adjustment takes effect 
                        exceeds the Consumer Price Index for All Urban 
                        Consumers for the same month of the preceding 
                        calendar year, rounded to the next lowest 
                        multiple of $10.
            (3) Disposition of fees for filing application for 
        cancellation of removal.--During each fiscal year--
                    (A) not more than 25 percent of the fees collected 
                pursuant to this subsection--
                            (i) shall be derived by transfer from the 
                        Immigration Examinations Fee Account under 
                        section 286(n) (8 U.S.C. 1356(n)); and
                            (ii) shall be credited to the Executive 
                        Office for Immigration Review to retain and 
                        spend without further appropriation; and
                    (B) any amounts not derived by transfer and 
                credited pursuant to subparagraph (A) shall be 
                deposited into the general fund of the Treasury.
    (k) Limitation on Use of Funds.--No fees collected pursuant to this 
section may be expended by the Executive Office for Immigration Review 
for the Legal Orientation Program, or for any successor program.

SEC. 100014. ELECTRONIC SYSTEM FOR TRAVEL AUTHORIZATION FEE.

    Section 217(h)(3)(B) (8 U.S.C. 1187(h)(3)(B)) is amended--
            (1) in clause (i)--
                    (A) in subclause (I), by striking ``and'' at the 
                end;
                    (B) in subclause (II)--
                            (i) by inserting ``of not less than $10'' 
                        after ``an amount''; and
                            (ii) by striking the period at the end and 
                        inserting ``; and''; and
                    (C) by adding at the end the following:
                                    ``(III) not less than $13 per 
                                travel authorization.'';
            (2) in clause (iii), by striking ``October 31, 2028'' and 
        inserting ``October 31, 2034''; and
            (3) by adding at the end the following:
                            ``(iv) Subsequent adjustment.--During 
                        fiscal year 2026 and each subsequent fiscal 
                        year, the amount specified in clause (i)(II) 
                        for a fiscal year shall be equal to the sum 
                        of--
                                    ``(I) the amount of the fee 
                                required under this subparagraph during 
                                the most recently concluded fiscal 
                                year; and
                                    ``(II) the product of the amount 
                                referred to in subclause (I) multiplied 
                                by the percentage (if any) by which the 
                                Consumer Price Index for All Urban 
                                Consumers for the month of July 
                                preceding the date on which such 
                                adjustment takes effect exceeds the 
                                Consumer Price Index for All Urban 
                                Consumers for the same month of the 
                                preceding calendar year.''.

SEC. 100015. ELECTRONIC VISA UPDATE SYSTEM FEE.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security shall require the payment of a fee, 
in the amount specified in subsection (b), by any alien subject to the 
Electronic Visa Update System at the time of such alien's enrollment in 
such system.
    (b) Amount Specified.--
            (1) In general.--For fiscal year 2025, the amount specified 
        in this subsection shall be the greater of--
                    (A) $30; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026 and each subsequent fiscal year, the amount specified in 
        this subsection shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection during the most recently concluded fiscal 
                year; and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $0.25.
    (c) Disposition of Electronic Visa Update System Fees.--
            (1) In general.--Section 286 (8 U.S.C. 1356) is amended by 
        adding at the end the following:
    ``(w) CBP Electronic Visa Update System Account.--
            ``(1) Establishment.--There is established in the general 
        fund of the Treasury a separate account, which shall be known 
        as the `CBP Electronic Visa Update System Account' (referred to 
        in this subsection as the `Account').
            ``(2) Deposits.--There shall be deposited into the Account 
        an amount equal to the difference between--
                    ``(A) all of the fees received pursuant to section 
                100015 of the Act entitled `An Act to provide for 
                reconciliation pursuant to title II of H. Con. Res. 14' 
                (119th Congress); and
                    ``(B) an amount equal to $5 multiplied by the 
                number of payments collected pursuant to such section.
            ``(3) Appropriation.--Amounts deposited in the Account--
                    ``(A) are hereby appropriated to make payments and 
                offset program costs in accordance with section 100015 
                of the Act entitled `An Act to provide for 
                reconciliation pursuant to title II of H. Con. Res. 14' 
                (119th Congress), without further appropriation; and
                    ``(B) shall remain available until expended for any 
                U.S. Customs and Border Protection costs associated 
                with administering the CBP Electronic Visa Update 
                System.''.
            (2) Remaining fees.--Of the fees collected pursuant to this 
        section, an amount equal to $5 multiplied by the number of 
        payments collected pursuant to this section shall be deposited 
        to the general fund of the Treasury.
    (d) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100016. FEE FOR ALIENS ORDERED REMOVED IN ABSENTIA.

    (a) In General.--As partial reimbursement for the cost of arresting 
an alien described in this section, the Secretary of Homeland Security, 
except as provided in subsection (c), shall require the payment of a 
fee, equal to the amount specified in subsection (b) on any alien who--
            (1) is ordered removed in absentia pursuant to section 
        240(b)(5) (8 U.S.C. 1229a(b)(5)); and
            (2) is subsequently arrested by U.S. Immigration and 
        Customs Enforcement.
    (b) Amount Specified.--
            (1) Initial amount.--For fiscal year 2025, the amount 
        specified in this section shall be the greater of--
                    (A) $5,000; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
    (c) Exception.--The fee described in this section shall not apply 
to any alien who was ordered removed in absentia if such order was 
rescinded pursuant to section 240(b)(5)(C) (8 U.S.C. 1229a(b)(5)(C)).
    (d) Disposition of Removal in Absentia Fees.--During each fiscal 
year--
            (1) 50 percent of the fees collected pursuant to this 
        section--
                    (A) shall be credited to U.S. Immigration and 
                Customs Enforcement;
                    (B) shall be deposited into the Detention and 
                Removal Office Fee Account; and
                    (C) may be retained and expended by U.S. 
                Immigration and Customs Enforcement without further 
                appropriation; and
            (2) any amounts collected pursuant to this section that are 
        not credited to U.S. Immigration and Customs Enforcement 
        pursuant to paragraph (1) shall be deposited into the general 
        fund of the Treasury.
    (e) No Fee Waiver.--Fees required to be paid under this section 
shall not be waived or reduced.

SEC. 100017. INADMISSIBLE ALIEN APPREHENSION FEE.

    (a) In General.--In addition to any other fee authorized by law, 
the Secretary of Homeland Security shall require the payment of a fee, 
equal to the amount specified in subsection (b), by any inadmissible 
alien at the time such alien is apprehended between ports of entry.
    (b) Amount Specified.--
            (1) Initial amount.--For fiscal year 2025, the amount 
        specified in this section shall be the greater of--
                    (A) $5,000; or
                    (B) such amount as the Secretary of Homeland 
                Security may establish, by rule.
            (2) Annual adjustments for inflation.--During fiscal year 
        2026, and during each subsequent fiscal year, the amount 
        specified in this section shall be equal to the sum of--
                    (A) the amount of the fee required under this 
                subsection for the most recently concluded fiscal year; 
                and
                    (B) the product resulting from the multiplication 
                of the amount referred to in subparagraph (A) by the 
                percentage (if any) by which the Consumer Price Index 
                for All Urban Consumers for the month of July preceding 
                the date on which such adjustment takes effect exceeds 
                the Consumer Price Index for All Urban Consumers for 
                the same month of the preceding calendar year, rounded 
                to the next lowest multiple of $10.
    (c) Disposition of Inadmissible Alien Apprehension Fees.--During 
each fiscal year--
            (1) 50 percent of the fees collected pursuant to this 
        section--
                    (A) shall be credited to U.S. Immigration and 
                Customs Enforcement;
                    (B) shall be deposited into the Detention and 
                Removal Office Fee Account; and
                    (C) may be retained and expended by U.S. 
                Immigration and Customs Enforcement without further 
                appropriation; and
            (2) any amounts collected pursuant to this section that are 
        not credited to U.S. Immigration and Customs Enforcement 
        pursuant to paragraph (1) shall be deposited into the general 
        fund of the Treasury.
    (d) Disposition of Inadmissible Alien Apprehension Fees.--All of 
the fees collected pursuant to this section shall be deposited into the 
general fund of the Treasury.

SEC. 100018. AMENDMENT TO AUTHORITY TO APPLY FOR ASYLUM.

    Section 208(d)(3) (8 U.S.C. 1158(d)(3)) is amended--
            (1) in the first sentence, by striking ``may'' and 
        inserting ``shall'';
            (2) by striking ``Such fees shall not exceed'' and all that 
        follows and inserting the following: ``Nothing in this 
        paragraph may be construed to limit the authority of the 
        Attorney General to set additional adjudication and 
        naturalization fees in accordance with section 286(m).''.

            PART II--IMMIGRATION AND LAW ENFORCEMENT FUNDING

SEC. 100051. APPROPRIATION FOR THE DEPARTMENT OF HOMELAND SECURITY.

    In addition to amounts otherwise available, there is appropriated 
to the Secretary of Homeland Security for fiscal year 2025, out of any 
money in the Treasury not otherwise appropriated, $2,055,000,000, to 
remain available through September 30, 2029, for the following 
purposes:
            (1) Immigration and enforcement activities.--Hiring and 
        training of additional U.S. Customs and Border Protection 
        agents, and the necessary support staff, to carry out 
        immigration enforcement activities.
            (2) Departures and removals.--Funding for transportation 
        costs and related costs associated with the departure or 
        removal of aliens.
            (3) Personnel assignments.--Funding for the assignment of 
        Department of Homeland Security employees and State officers to 
        carry out immigration enforcement activities pursuant to 
        sections 103(a) and 287(g) of the Immigration and Nationality 
        Act (8 U.S.C. 1103(a) and 1357(g)).
            (4) Background checks.--Hiring additional staff and 
        investing the necessary resources to enhance screening and 
        vetting of all aliens seeking entry into United States, 
        consistent with section 212 of such Act (8 U.S.C. 1182), or 
        intending to remain in the United States, consistent with 
        section 237 of such Act (8 U.S.C. 1227).
            (5) Protecting alien children from exploitation.--In 
        instances of aliens and alien children entering the United 
        States without a valid visa, funding is provided for the 
        purposes of--
                    (A) collecting fingerprints, in accordance with 
                section 262 of the Immigration and Nationality Act (8 
                U.S.C. 1302) and subsections (a)(3) and (b) of section 
                235 of such Act (8 U.S.C. 1225); and
                    (B) collecting DNA, in accordance with sections 
                235(d) and 287(b) of the Immigration and Nationality 
                Act (8 U.S.C. 1225(d) and 1357(b)).
            (6) Transporting and return of aliens from contiguous 
        territory.--Transporting and facilitating the return, pursuant 
        to section 235(b)(2)(C) of the Immigration and Nationality Act 
        (8 U.S.C. 1225(b)(2)(C)), of aliens arriving from contiguous 
        territory.
            (7) State and local participation.--Funding for State and 
        local participation in homeland security efforts for purposes 
        of--
                    (A) ending the presence of criminal gangs and 
                criminal organizations throughout the United States;
                    (B) addressing crime and public safety threats;
                    (C) combating human smuggling and trafficking 
                networks throughout the United States;
                    (D) supporting immigration enforcement activities; 
                and
                    (E) providing reimbursement for State and local 
                participation in such efforts.
            (8) Removal of specified unaccompanied alien children.--
                    (A) In general.--Funding removal operations for 
                specified unaccompanied alien children.
                    (B) Use of funds.--Amounts made available under 
                this paragraph shall only be used for permitting a 
                specified unaccompanied alien child to withdraw the 
                application for admission of the child pursuant to 
                section 235(a)(4) of the Immigration and Nationality 
                Act (8 U.S.C. 1225(a)(4)).
                    (C) Definitions.--In this paragraph:
                            (i) Specified unaccompanied alien child.--
                        The term ``specified unaccompanied alien 
                        child'' means an unaccompanied alien child (as 
                        defined in section 462(g) of the Homeland 
                        Security Act of 2002 (6 U.S.C. 279(g))) who the 
                        Secretary of Homeland Security determines on a 
                        case-by-case basis--
                                    (I) has been found by an 
                                immigration officer at a land border or 
                                port of entry of the United States and 
                                is inadmissible under the Immigration 
                                and Nationality Act (8 U.S.C. 1101 et 
                                seq.);
                                    (II) has not been a victim of 
                                severe forms of trafficking in persons, 
                                and there is no credible evidence that 
                                such child is at risk of being 
                                trafficked upon return of the child to 
                                the child's country of nationality or 
                                country of last habitual residence; and
                                    (III) does not have a fear of 
                                returning to the child's country of 
                                nationality or country of last habitual 
                                residence owing to a credible fear of 
                                persecution.
                            (ii) Severe forms of trafficking in 
                        persons.--The term ``severe forms of 
                        trafficking in persons'' has the meaning given 
                        such term in section 103 of the Trafficking 
                        Victims Protection Act of 2000 (22 U.S.C. 
                        7102).
            (9) Expedited removal of criminal aliens.--Funding for the 
        expedited removal of criminal aliens, in accordance with the 
        provisions of section 235(b)(1) of the Immigration and 
        Nationality Act (8 U.S.C. 1225(b)(1)).
            (10) Removal of certain criminal aliens without further 
        hearings.--Funding for the removal of certain criminal aliens 
        without further hearings, in accordance with the provisions of 
        section 235(c) of the Immigration and Nationality Act (8 U.S.C. 
        1225(c)).
            (11) Criminal and gang checks for unaccompanied alien 
        children.--Funding for criminal and gang checks of 
        unaccompanied alien children (as defined in section 462(g) of 
        the Homeland Security Act of 2002 (6 U.S.C. 279(g))) who are 12 
        years of age and older, including the examination of such 
        unaccompanied alien children for gang-related tattoos and other 
        gang-related markings.
            (12) Information technology.--Information technology 
        investments to support immigration purposes, including 
        improvements to fee and revenue collections.

SEC. 100052. APPROPRIATION FOR U.S. IMMIGRATION AND CUSTOMS 
              ENFORCEMENT.

    In addition to amounts otherwise available, there is appropriated 
to the Secretary of Homeland Security for U.S. Immigration and Customs 
Enforcement for fiscal year 2025, out of any money in the Treasury not 
otherwise appropriated, $29,850,000,000, to remain available through 
September 30, 2029, for the following purposes:
            (1) Hiring and training.--Hiring and training additional 
        U.S. Immigration and Customs Enforcement personnel, including 
        officers, agents, investigators, and support staff, to carry 
        out immigration enforcement activities and prioritizing and 
        streamlining the hiring of retired U.S. Immigration and Customs 
        Enforcement personnel.
            (2) Performance, retention, and signing bonuses.--
                    (A) In general.--Providing performance, retention, 
                and signing bonuses for qualified U.S. Immigration and 
                Customs Enforcement personnel in accordance with this 
                subsection.
                    (B) Performance bonuses.--The Director of U.S. 
                Immigration and Customs Enforcement, at the Director's 
                discretion, may provide performance bonuses to any U.S. 
                Immigration and Customs Enforcement agent, officer, or 
                attorney who demonstrates exemplary service.
                    (C) Retention bonuses.--The Director of U.S. 
                Immigration and Customs Enforcement may provide 
                retention bonuses to any U.S. Immigration and Customs 
                Enforcement agent, officer, or attorney who commits to 
                2 years of additional service with U.S. Immigration and 
                Customs Enforcement to carry out immigration 
                enforcement activities.
                    (D) Signing bonuses.--The Director of U.S. 
                Immigration and Customs Enforcement may provide a 
                signing bonus to any U.S. Immigration and Customs 
                Enforcement agent, officer, or attorney who--
                            (i) is hired on or after the date of the 
                        enactment of this Act; and
                            (ii) who commits to 5 years of service with 
                        U.S. Immigration and Customs Enforcement to 
                        carry out immigration enforcement activities.
                    (E) Service agreement.--In providing a retention or 
                signing bonus under this paragraph, the Director of 
                U.S. Immigration and Customs Enforcement shall provide 
                each qualifying individual with a written service 
                agreement that includes--
                            (i) the commencement and termination dates 
                        of the required service period (or provisions 
                        for the determination of such dates);
                            (ii) the amount of the bonus; and
                            (iii) any other term or condition under 
                        which the bonus is payable, subject to the 
                        requirements of this paragraph, including--
                                    (I) the conditions under which the 
                                agreement may be terminated before the 
                                agreed-upon service period has been 
                                completed; and
                                    (II) the effect of a termination 
                                described in subclause (I).
            (3) Recruitment, hiring, and onboarding.--Facilitating the 
        recruitment, hiring, and onboarding of additional U.S. 
        Immigration and Customs Enforcement personnel to carry out 
        immigration enforcement activities, including by--
                    (A) investing in information technology, 
                recruitment, and marketing; and
                    (B) hiring staff necessary to carry out information 
                technology, recruitment, and marketing activities.
            (4) Transportation.--Funding for transportation costs and 
        related costs associated with alien departure or removal 
        operations.
            (5) Information technology.--Funding for information 
        technology investments to support enforcement and removal 
        operations, including improvements to fee collections.
            (6) Facility upgrades.--Funding for facility upgrades to 
        support enforcement and removal operations.
            (7) Fleet modernization.--Funding for fleet modernization 
        to support enforcement and removal operations.
            (8) Family unity.--Promoting family unity by--
                    (A) maintaining the care and custody, during the 
                period in which a charge described in clause (i) is 
                pending, in accordance with applicable laws, of an 
                alien who--
                            (i) is charged only with a misdemeanor 
                        offense under section 275(a) of the Immigration 
                        and Nationality Act (8 U.S.C. 1325(a)); and
                            (ii) entered the United States with the 
                        alien's child who has not attained 18 years of 
                        age; and
                    (B) detaining such an alien with the alien's child.
            (9) 287(g) agreements.--Expanding, facilitating, and 
        implementing agreements under section 287(g) of the Immigration 
        and Nationality Act (8 U.S.C. 1357(g)).
            (10) Victims of immigration crime engagement office.--
        Hiring and training additional staff to carry out the mission 
        of the Victims of Immigration Crime Engagement Office and for 
        providing nonfinancial assistance to the victims of crimes 
        perpetrated by aliens who are present in the United States 
        without authorization.
            (11) Office of the principal legal advisor.--Hiring 
        additional attorneys and the necessary support staff within the 
        Office of the Principal Legal Advisor to represent the 
        Department of Homeland Security in immigration enforcement and 
        removal proceedings.

SEC. 100053. APPROPRIATION FOR FEDERAL LAW ENFORCEMENT TRAINING 
              CENTERS.

    (a) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Secretary of Homeland Security for the 
Federal Law Enforcement Training Centers for fiscal year 2025, out of 
any money in the Treasury not otherwise appropriated, $750,000,000, to 
remain available until September 30, 2029, for the purposes described 
in subsections (b) and (c).
    (b) Training.--Not less than $285,000,000 of the amounts available 
under subsection (a) shall be for supporting the training of newly 
hired Federal law enforcement personnel employed by the Department of 
Homeland Security and State and local law enforcement agencies 
operating in support of the Department of Homeland Security.
    (c) Facilities.--Not more than $465,000,000 of the amounts 
available under subsection (a) shall be for procurement, construction 
and maintenance of, improvements to, training equipment for, and 
related expenses, of facilities of the Federal Law Enforcement Training 
Centers.

SEC. 100054. APPROPRIATION FOR THE DEPARTMENT OF JUSTICE.

    In addition to amounts otherwise available, there is appropriated 
to the Attorney General for the Department of Justice for fiscal year 
2025, out of any money in the Treasury not otherwise appropriated, 
$3,330,000,000, to remain available through September 30, 2029, for the 
following purposes:
            (1) Executive office for immigration review.--
                    (A) In general.--Hiring immigration judges and 
                necessary support staff for the Executive Office for 
                Immigration Review to address the backlog of petitions, 
                cases, and removals.
                    (B) Staffing level.--Effective November 1, 2028, 
                the Executive Office for Immigration Review shall be 
                comprised of not more than 800 immigration judges, 
                along with the necessary support staff.
            (2) Combating drug trafficking.--Funding efforts to combat 
        drug trafficking (including trafficking of fentanyl and its 
        precursor chemicals) and illegal drug use.
            (3) Prosecution of immigration matters.--Funding efforts to 
        investigate and prosecute immigration matters, gang-related 
        crimes involving aliens, child trafficking and smuggling 
        involving aliens within the United States, unlawful voting by 
        aliens, violations of the Alien Registration Act, 1940 (54 
        Stat., chapter 439), and violations of or fraud relating to 
        title IV of the Personal Responsibility and Work Opportunity 
        Act of 1996 (Public Law 104-193; 110 Stat. 2277), including 
        hiring additional Department of Justice personnel to 
        investigate and prosecute such matters.
            (4) Nonparty or other injunctive relief.--Hiring additional 
        attorneys and necessary support staff for the purpose of 
        continuing implementation of assignments by the Attorney 
        General pursuant to sections 516, 517, and 518 of title 28, 
        United States Code, to conduct litigation and attend to the 
        interests of the United States in suits pending in a court of 
        the United States or in a court of a State in suits seeking 
        nonparty or other injunctive relief against the Federal 
        Government.
            (5) Edward byrne memorial justice assistance grant program 
        and office of community oriented policing.--
                    (A) In general.--Increasing funding for the Edward 
                Byrne Memorial Justice Assistance Grant Program and the 
                Office of Community Oriented Policing for initiatives 
                associated with--
                            (i) investigating and prosecuting violent 
                        crime;
                            (ii) criminal enforcement initiatives; and
                            (iii) immigration enforcement and removal 
                        efforts.
                    (B) Limitations.--No funds made available under 
                this subsection shall be made available to community 
                violence intervention and prevention initiative 
                programs.
                    (C) Eligibility.--To be eligible to receive funds 
                made available under this subsection, a State or local 
                government shall be in full compliance, as determined 
                by the Attorney General, with section 642 of the 
                Illegal Immigration Reform and Immigrant Responsibility 
                Act of 1996 (8 U.S.C. 1373).
            (6) Fiscally responsible lawsuit settlements.--Hiring 
        additional attorneys and necessary support staff for the 
        purpose of maximizing lawsuit settlements that require the 
        payment of fines and penalties to the Treasury of the United 
        States in lieu of providing for the payment to any person or 
        entity other than the United States, other than a payment that 
        provides restitution or otherwise directly remedies actual harm 
        directly and proximately caused by the party making the 
        payment, or constitutes payment for services rendered in 
        connection with the case.
            (7) Compensation for incarceration of criminal aliens.--
                    (A) In general.--Providing compensation to a State 
                or political subdivision of a State for the 
                incarceration of criminal aliens.
                    (B) Use of funds.--The amounts made available under 
                subparagraph (A) shall only be used to compensate a 
                State or political subdivision of a State, as 
                appropriate, with respect to the incarceration of an 
                alien who--
                            (i) has been convicted of a felony or 2 or 
                        more misdemeanors; and
                            (ii)(I) entered the United States without 
                        inspection or at any time or place other than 
                        as designated by the Secretary of Homeland 
                        Security;
                            (II) was the subject of removal proceedings 
                        at the time the alien was taken into custody by 
                        the State or a political subdivision of the 
                        State; or
                            (III) was admitted as a nonimmigrant and, 
                        at the time the alien was taken into custody by 
                        the State or a political subdivision of the 
                        State, has failed to maintain the nonimmigrant 
                        status in which the alien was admitted, or to 
                        which it was changed, or to comply with the 
                        conditions of any such status.
                    (C) Limitation.--Amounts made available under this 
                subsection shall be distributed to more than 1 State. 
                The amounts made available under subparagraph (A) may 
                not be used to compensate any State or political 
                subdivision of a State if the State or political 
                subdivision of the State prohibits or in any way 
                restricts a Federal, State, or local government entity, 
                official, or other personnel from doing any of the 
                following:
                            (i) Complying with the immigration laws (as 
                        defined in section 101(a)(17) of the 
                        Immigration and Nationality Act (8 U.S.C. 
                        1101(a)(17))).
                            (ii) Assisting or cooperating with Federal 
                        law enforcement entities, officials, or other 
                        personnel regarding the enforcement of the 
                        immigration laws.
                            (iii) Undertaking any of the following law 
                        enforcement activities as such activities 
                        relate to information regarding the citizenship 
                        or immigration status, lawful or unlawful, the 
                        inadmissibility or deportability, and the 
                        custody status, of any individual:
                                    (I) Making inquiries to any 
                                individual to obtain such information 
                                regarding such individual or any other 
                                individuals.
                                    (II) Notifying the Federal 
                                Government regarding the presence of 
                                individuals who are encountered by law 
                                enforcement officials or other 
                                personnel of a State or political 
                                subdivision of a State.
                                    (III) Complying with requests for 
                                such information from Federal law 
                                enforcement entities, officials, or 
                                other personnel.

SEC. 100055. BRIDGING IMMIGRATION-RELATED DEFICITS EXPERIENCED 
              NATIONWIDE REIMBURSEMENT FUND.

    (a) Establishment.--There is established within the Department of 
Justice a fund, to be known as the ``Bridging Immigration-related 
Deficits Experienced Nationwide (BIDEN) Reimbursement Fund'' (referred 
to in this section as the ``Fund'').
    (b) Use of Funds.--The Attorney General shall use amounts 
appropriated or otherwise made available for the Fund for grants to 
eligible States, State agencies, and units of local government, 
pursuant to their existing statutory authorities, for any of the 
following purposes:
            (1) Locating and apprehending aliens who have committed a 
        crime under Federal, State, or local law, in addition to being 
        unlawfully present in the United States.
            (2) Collection and analysis of law enforcement 
        investigative information within the United States to counter 
        gang or other criminal activity.
            (3) Investigating and prosecuting--
                    (A) crimes committed by aliens within the United 
                States; and
                    (B) drug and human trafficking crimes committed 
                within the United States.
            (4) Court operations related to the prosecution of--
                    (A) crimes committed by aliens; and
                    (B) drug and human trafficking crimes.
            (5) Temporary criminal detention of aliens.
            (6) Transporting aliens described in paragraph (1) within 
        the United States to locations related to the apprehension, 
        detention, and prosecution of such aliens.
            (7) Vehicle maintenance, logistics, transportation, and 
        other support provided to law enforcement agencies by a State 
        agency to enhance the ability to locate and apprehend aliens 
        who have committed crimes under Federal, State, or local law, 
        in addition to being unlawfully present in the United States.
    (c) Appropriation.--In addition to amounts otherwise available for 
the purposes described in subsection (b), there is appropriated to the 
Attorney General for fiscal year 2025, out of any money in the Treasury 
not otherwise appropriated, not to exceed $3,500,000,000, to remain 
available until September 30, 2028, for the Fund for qualified and 
documented expenses that achieve any such purpose.
    (d) Grant Eligibility of Completed, Ongoing, or New Activities.--
The Attorney General may provide grants under this section to State 
agencies and units of local government for expenditures made by State 
agencies or units of local government for completed, ongoing, or new 
activities determined to be eligible for such grant funding that 
occurred on or after January 20, 2021. Amounts made available under 
this section shall be distributed to more than 1 State.

SEC. 100056. APPROPRIATION FOR THE BUREAU OF PRISONS.

    (a) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Director of the Bureau of Prisons for 
fiscal year 2025, out of any money in the Treasury not otherwise 
appropriated, $5,000,000,000, to remain available through September 30, 
2029, for the purposes described in subsections (b) and (c).
    (b) Salaries and Benefits.--Not less than $3,000,000,000 of the 
amounts made available under subsection (a) shall be for hiring and 
training of new employees, including correctional officers, medical 
professionals, and facilities and maintenance employees, the necessary 
support staff, and for additional funding for salaries and benefits for 
the current workforce of the Bureau of Prisons.
    (c) Facilities.--Not more than $2,000,000,000 of the amounts made 
available under subsection (a) shall be for addressing maintenance and 
repairs to facilities maintained or operated by the Bureau of Prisons.

SEC. 100057. APPROPRIATION FOR THE UNITED STATES SECRET SERVICE.

    (a) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Director of the United States Secret 
Service (referred to in this section as the ``Director'') for fiscal 
year 2025, out of any money in the Treasury not otherwise appropriated, 
$1,170,000,000, to remain available through September 30, 2029, for the 
purposes described in subsection (b).
    (b) Use of Funds.--Amounts made available under subsection (a) may 
only be used for--
            (1) additional United States Secret Service resources, 
        including personnel, training facilities, programming, and 
        technology; and
            (2) performance, retention, and signing bonuses for 
        qualified United States Secret Service personnel in accordance 
        with subsection (c).
    (c) Performance, Retention, and Signing Bonuses.--
            (1) Performance bonuses.--The Director, at the Director's 
        discretion, may provide performance bonuses to any Secret 
        Service agent, officer, or analyst who demonstrates exemplary 
        service.
            (2) Retention bonuses.--The Director may provide retention 
        bonuses to any Secret Service agent, officer, or analyst who 
        commits to 2 years of additional service with the Secret 
        Service.
            (3) Signing bonuses.--The Director may provide a signing 
        bonus to any Secret Service agent, officer, or analyst who--
                    (A) is hired on or after the date of the enactment 
                of this Act; and
                    (B) commits to 5 years of service with the United 
                States Secret Service.
            (4) Service agreement.--In providing a retention or signing 
        bonus under this subsection, the Director shall provide each 
        qualifying individual with a written service agreement that 
        includes--
                    (A) the commencement and termination dates of the 
                required service period (or provisions for the 
                determination of such dates);
                    (B) the amount of the bonus; and
                    (C) any other term or condition under which the 
                bonus is payable, subject to the requirements under 
                this subsection, including--
                            (i) the conditions under which the 
                        agreement may be terminated before the agreed-
                        upon service period has been completed; and
                            (ii) the effect of a termination described 
                        in clause (i).

                     Subtitle B--Judiciary Matters

SEC. 100101. APPROPRIATION TO THE ADMINISTRATIVE OFFICE OF THE UNITED 
              STATES COURTS.

    In addition to amounts otherwise available, there is appropriated 
to the Director of the Administrative Office of the United States 
Courts, out of amounts in the Treasury not otherwise appropriated, 
$1,250,000 for each of fiscal years 2025 through 2028, for the purpose 
of continuing analyses and reporting pursuant to section 604(a)(2) of 
title 28, United States Code, to examine the state of the dockets of 
the courts and to prepare and transmit statistical data and reports as 
to the business of the courts, including an assessment of the number, 
frequency, and related metrics of judicial orders issuing non-party 
relief against the Federal Government and their aggregate cost impact 
on the taxpayers of the United States, as determined by each court when 
imposing securities for the issuance of preliminary injunctions or 
temporary restraining orders against the Federal Government pursuant to 
rule 65(c) of the Federal Rules of Civil Procedure.

SEC. 100102. APPROPRIATION TO THE FEDERAL JUDICIAL CENTER.

    (a) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Director of the Federal Judicial Center, 
out of amounts in the Treasury not otherwise appropriated, $1,000,000 
for each of fiscal years 2025 through 2028, for the purpose described 
in subsection (b).
    (b) Use of Funds.--The Federal Judicial Center shall use the 
amounts appropriated under subsection (a) for the continued 
implementation of programs pursuant to section 620(b)(3) of title 28, 
United States Code, to stimulate, create, develop, and conduct programs 
of continuing education and training for personnel of the judicial 
branch, including training on the absence of constitutional and 
statutory authority supporting legal claims that seek non-party relief 
against the Federal Government, and strategic approaches for mitigating 
the aggregate cost impact of such legal claims on the taxpayers of the 
United States.

          Subtitle C--Radiation Exposure Compensation Matters

SEC. 100201. EXTENSION OF FUND.

    Section 3(d) of the Radiation Exposure Compensation Act (Public Law 
101-426; 42 U.S.C. 2210 note) is amended--
            (1) by striking the first sentence and inserting ``The Fund 
        shall terminate on December 31, 2028.''; and
            (2) by striking ``the end of that 2-year period'' and 
        inserting ``such date''.

SEC. 100202. CLAIMS RELATING TO ATMOSPHERIC TESTING.

    (a) Leukemia Claims Relating to Trinity Test in New Mexico and 
Tests at the Nevada Site.--Section 4(a)(1)(A) of the Radiation Exposure 
Compensation Act (Public Law 101-426; 42 U.S.C. 2210 note) is amended--
            (1) in clause (i)--
                    (A) in subclause (I), by striking ``October 31, 
                1958'' and inserting ``November 6, 1962'';
                    (B) in subclause (II)--
                            (i) by striking ``in the affected area'' 
                        and inserting ``in an affected area''; and
                            (ii) by striking ``or'' after the 
                        semicolon;
                    (C) by redesignating subclause (III) as subclause 
                (IV); and
                    (D) by inserting after subclause (II) the 
                following:
                                    ``(III) was physically present in 
                                an affected area for a period of at 
                                least 1 year during the period 
                                beginning on September 24, 1944, and 
                                ending on November 6, 1962; or''; and
            (2) in clause (ii)(I), by striking ``physical presence 
        described in subclause (I) or (II) of clause (i) or onsite 
        participation described in clause (i)(III)'' and inserting 
        ``physical presence described in subclause (I), (II), or (III) 
        of clause (i) or onsite participation described in clause 
        (i)(IV)''.
    (b) Amounts for Claims Related to Leukemia.--Section 4(a)(1) of the 
Radiation Exposure Compensation Act (Public Law 101-426; 42 U.S.C. 2210 
note) is amended--
            (1) in subparagraph (A), by striking ``an amount'' and 
        inserting ``the amount'';
            (2) by striking subparagraph (B) and inserting the 
        following:
                    ``(B) Amount.--If the conditions described in 
                subparagraph (C) are met, an individual who is 
                described in subparagraph (A) shall receive 
                $100,000.''; and
            (3) in subparagraph (C), by adding at the end the 
        following:
                            ``(iv) No payment under this paragraph 
                        previously has been made to the individual, on 
                        behalf of the individual, or to a survivor of 
                        the individual.''.
    (c) Conditions for Claims Related to Leukemia.--Section 4(a)(1)(C) 
of the Radiation Exposure Compensation Act (Public Law 101-426; 42 
U.S.C. 2210 note) is amended--
            (1) by striking clause (i); and
            (2) by redesignating clauses (ii) and (iii) as clauses (i) 
        and (ii), respectively.
    (d) Specified Diseases Claims Relating to Trinity Test in New 
Mexico and Tests at the Nevada Site.--Section 4(a)(2) of the Radiation 
Exposure Compensation Act (Public Law 101-426; 42 U.S.C. 2210 note) is 
amended--
            (1) in subparagraph (A)--
                    (A) by striking ``in the affected area'' and 
                inserting ``in an affected area'';
                    (B) by striking ``2 years'' and inserting ``1 
                year''; and
                    (C) by striking ``October 31, 1958,'' and inserting 
                ``November 6, 1962;'';
            (2) in subparagraph (B)--
                    (A) by striking ``in the affected area'' and 
                inserting ``in an affected area''; and
                    (B) by striking ``, or'' at the end and inserting a 
                semicolon;
            (3) by redesignating subparagraph (C) as subparagraph (D); 
        and
            (4) by inserting after subparagraph (B) the following:
                    ``(C) was physically present in an affected area 
                for a period of at least 1 year during the period 
                beginning on September 24, 1944, and ending on November 
                6, 1962; or''.
    (e) Amounts for Claims Related to Specified Diseases.--Section 
4(a)(2) of the Radiation Exposure Compensation Act (Public Law 101-426; 
42 U.S.C. 2210 note) is amended in the matter following subparagraph 
(D) (as redesignated by subsection (d) of this section)--
            (1) by striking ``$50,000 (in the case of an individual 
        described in subparagraph (A) or (B)) or $75,000 (in the case 
        of an individual described in subparagraph (C)),'' and 
        inserting ``$100,000'';
            (2) in clause (i), by striking ``, and'' and inserting a 
        semicolon;
            (3) in clause (ii), by striking the period at the end and 
        inserting ``; and''; and
            (4) by adding at the end the following:
                            ``(iii) no payment under this paragraph 
                        previously has been made to the individual, on 
                        behalf of the individual, or to a survivor of 
                        the individual.''.
    (f) Downwind States.--Section 4(b)(1) of the Radiation Exposure 
Compensation Act (Public Law 101-426; 42 U.S.C. 2210 note) is amended 
to read as follows:
            ``(1) `affected area' means--
                    ``(A) except as provided under subparagraph (B)--
                            ``(i) the States of New Mexico, Utah, and 
                        Idaho;
                            ``(ii) in the State of Nevada, the counties 
                        of White Pine, Nye, Lander, Lincoln, Eureka, 
                        and that portion of Clark County that consists 
                        of townships 13 through 16 at ranges 63 through 
                        71; and
                            ``(iii) in the State of Arizona, the 
                        counties of Coconino, Yavapai, Navajo, Apache, 
                        and Gila, and Mohave; and
                    ``(B) with respect to a claim by an individual 
                under subsection (a)(1)(A)(i)(III) or subsection 
                (a)(2)(C), only New Mexico; and''.

SEC. 100203. CLAIMS RELATING TO URANIUM MINING.

    (a) Employees of Mines and Mills.--Section 5(a)(1)(A)(i) of the 
Radiation Exposure Compensation Act (Public Law 101-426; 42 U.S.C. 2210 
note) is amended to read as follows:
                            ``(i)(I) was employed in a uranium mine or 
                        uranium mill (including any individual who was 
                        employed in the transport of uranium ore or 
                        vanadium-uranium ore from such mine or mill) 
                        located in Colorado, New Mexico, Arizona, 
                        Wyoming, South Dakota, Washington, Utah, Idaho, 
                        North Dakota, Oregon, or Texas at any time 
                        during the period beginning on January 1, 1942, 
                        and ending on December 31, 1990; or
                            ``(II) was employed as a core driller in a 
                        State referred to in subclause (I) during the 
                        period described in such subclause; and''.
    (b) Miners.--Section 5(a)(1)(A)(ii)(I) of the Radiation Exposure 
Compensation Act (Public Law 101-426; 42 U.S.C. 2210 note) is amended 
by inserting ``or renal cancer or any other chronic renal disease, 
including nephritis and kidney tubal tissue injury'' after 
``nonmalignant respiratory disease''.
    (c) Millers, Core Drillers, and Ore Transporters.--Section 
5(a)(1)(A)(ii)(II) of the Radiation Exposure Compensation Act (Public 
Law 101-426; 42 U.S.C. 2210 note) is amended--
            (1) by inserting ``, core driller,'' after ``was a 
        miller'';
            (2) by inserting ``, or was involved in remediation efforts 
        at such a uranium mine or uranium mill,'' after ``ore 
        transporter'';
            (3) by inserting ``(I)'' after ``clause (i)''; and
            (4) by striking ``or renal cancers'' and all that follows 
        and inserting ``or renal cancer or any other chronic renal 
        disease, including nephritis and kidney tubal tissue injury; 
        or''.
    (d) Combined Work Histories.--Section 5(a)(1)(A)(ii) of the 
Radiation Exposure Compensation Act (Public Law 101-426; 42 U.S.C. 2210 
note), as amended by subsection (c), is further amended--
            (1) in subclause (I), by striking ``or'' at the end; and
            (2) by adding at the end the following:
                                    ``(III)(aa) does not meet the 
                                conditions of subclause (I) or (II);
                                    ``(bb) worked, during the period 
                                described in clause (i)(I), in 2 or 
                                more of the following positions: miner, 
                                miller, core driller, and ore 
                                transporter;
                                    ``(cc) meets the requirements under 
                                paragraph (4) or (5); and
                                    ``(dd) submits written medical 
                                documentation that the individual 
                                developed lung cancer, a nonmalignant 
                                respiratory disease, renal cancer, or 
                                any other chronic renal disease, 
                                including nephritis and kidney tubal 
                                tissue injury after exposure to 
                                radiation through work in one or more 
                                of the positions referred to in item 
                                (bb);''.
    (e) Special Rules Relating to Combined Work Histories.--Section 
5(a) of the Radiation Exposure Compensation Act (Public Law 101-426; 42 
U.S.C. 2210 note) is amended by adding at the end the following:
            ``(4) Special rule relating to combined work histories for 
        individuals with at least one year of experience.--An 
        individual meets the requirements under this paragraph if the 
        individual worked in one or more of the positions referred to 
        in paragraph (1)(A)(ii)(III)(bb) for a period of at least one 
        year during the period described in paragraph (1)(A)(i)(I).
            ``(5) Special rule relating to combined work histories for 
        miners.--An individual meets the requirements of this paragraph 
        if the individual, during the period described in paragraph 
        (1)(A)(i)(I), worked as a miner and was exposed to such number 
        of working level months that the Attorney General determines, 
        when combined with the exposure of such individual to radiation 
        through work as a miller, core driller, or ore transporter 
        during the period described in paragraph (1)(A)(i)(I), results 
        in such individual being exposed to a total level of radiation 
        that is greater or equal to the level of exposure of an 
        individual described in paragraph (4).''.
    (f) Definition of Core Driller.--Section 5(b) of the Radiation 
Exposure Compensation Act (Public Law 101-426; 42 U.S.C. 2210 note) is 
amended--
            (1) in paragraph (7), by striking ``and'' at the end;
            (2) in paragraph (8), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(9) the term `core driller' means any individual employed 
        to engage in the act or process of obtaining cylindrical rock 
        samples of uranium or vanadium by means of a borehole drilling 
        machine for the purpose of mining uranium or vanadium.''.

SEC. 100204. CLAIMS RELATING TO MANHATTAN PROJECT WASTE.

    The Radiation Exposure Compensation Act (Public Law 101-426; 42 
U.S.C. 2210 note) is amended by inserting after section 5 the 
following:

``SEC. 5A. CLAIMS RELATING TO MANHATTAN PROJECT WASTE.

    ``(a) In General.--A claimant shall receive compensation for a 
claim made under this Act, as described in subsection (b) or (c), if--
            ``(1) a claim for compensation is filed with the Attorney 
        General--
                    ``(A) by an individual described in paragraph (2); 
                or
                    ``(B) on behalf of that individual by an authorized 
                agent of that individual, if the individual is deceased 
                or incapacitated, such as--
                            ``(i) an executor of estate of that 
                        individual; or
                            ``(ii) a legal guardian or conservator of 
                        that individual;
            ``(2) that individual, or if applicable, an authorized 
        agent of that individual, demonstrates that such individual--
                    ``(A) was physically present in an affected area 
                for a period of at least 2 years after January 1, 1949; 
                and
                    ``(B) contracted a specified disease after such 
                period of physical presence;
            ``(3) the Attorney General certifies that the identity of 
        that individual, and if applicable, the authorized agent of 
        that individual, is not fraudulent or otherwise misrepresented; 
        and
            ``(4) the Attorney General determines that the claimant has 
        satisfied the applicable requirements of this Act.
    ``(b) Losses Available to Living Affected Individuals.--
            ``(1) In general.--In the event of a claim qualifying for 
        compensation under subsection (a) that is submitted to the 
        Attorney General to be eligible for compensation under this 
        section at a time when the individual described in subsection 
        (a)(2) is living, the amount of compensation under this section 
        shall be in an amount that is the greater of $50,000 or the 
        total amount of compensation for which the individual is 
        eligible under paragraph (2).
            ``(2) Losses due to medical expenses.--A claimant described 
        in paragraph (1) shall be eligible to receive, upon submission 
        of contemporaneous written medical records, reports, or billing 
        statements created by or at the direction of a licensed medical 
        professional who provided contemporaneous medical care to the 
        claimant, additional compensation in the amount of all 
        documented out-of-pocket medical expenses incurred as a result 
        of the specified disease suffered by that claimant, such as any 
        medical expenses not covered, paid for, or reimbursed through--
                    ``(A) any public or private health insurance;
                    ``(B) any employee health insurance;
                    ``(C) any workers' compensation program; or
                    ``(D) any other public, private, or employee health 
                program or benefit.
            ``(3) Limitation.--No claimant is eligible to receive 
        compensation under this subsection with respect to medical 
        expenses unless the submissions described in paragraph (2) with 
        respect to such expenses are submitted on or before December 
        31, 2028.
    ``(c) Payments to Beneficiaries of Deceased Individuals.--In the 
event that an individual described in subsection (a)(2) who qualifies 
for compensation under subsection (a) is deceased at the time of 
submission of the claim--
            ``(1) a surviving spouse may, upon submission of a claim 
        and records sufficient to satisfy the requirements of 
        subsection (a) with respect to the deceased individual, receive 
        compensation in the amount of $25,000; or
            ``(2) in the event that there is no surviving spouse, the 
        surviving children, minor or otherwise, of the deceased 
        individual may, upon submission of a claim and records 
        sufficient to satisfy the requirements of subsection (a) with 
        respect to the deceased individual, receive compensation in the 
        total amount of $25,000, paid in equal shares to each surviving 
        child.
    ``(d) Affected Areas.--For purposes of this section, the term 
`affected area' means--
            ``(1) in the State of Missouri, the ZIP Codes of 63031, 
        63033, 63034, 63042, 63045, 63074, 63114, 63135, 63138, 63044, 
        63121, 63140, 63145, 63147, 63102, 63304, 63134, 63043, 63341, 
        63368, and 63367;
            ``(2) in the State of Tennessee, the ZIP Codes of 37716, 
        37840, 37719, 37748, 37763, 37828, 37769, 37710, 37845, 37887, 
        37829, 37854, 37830, and 37831;
            ``(3) in the State of Alaska, the ZIP Codes of 99546 and 
        99547; and
            ``(4) in the State of Kentucky, the ZIP Codes of 42001, 
        42003, and 42086.
    ``(e) Specified Disease.--For purposes of this section, the term 
`specified disease' means any of the following:
            ``(1) Any leukemia, provided that the initial exposure 
        occurred after 20 years of age and the onset of the disease was 
        at least 2 years after first exposure.
            ``(2) Any of the following diseases, provided that the 
        onset was at least 2 years after the initial exposure:
                    ``(A) Multiple myeloma.
                    ``(B) Lymphoma, other than Hodgkin's disease.
                    ``(C) Primary cancer of the--
                            ``(i) thyroid;
                            ``(ii) male or female breast;
                            ``(iii) esophagus;
                            ``(iv) stomach;
                            ``(v) pharynx;
                            ``(vi) small intestine;
                            ``(vii) pancreas;
                            ``(viii) bile ducts;
                            ``(ix) gall bladder;
                            ``(x) salivary gland;
                            ``(xi) urinary bladder;
                            ``(xii) brain;
                            ``(xiii) colon;
                            ``(xiv) ovary;
                            ``(xv) bone;
                            ``(xvi) renal;
                            ``(xvii) liver, except if cirrhosis or 
                        hepatitis B is indicated; or
                            ``(xviii) lung.
    ``(f) Physical Presence.--
            ``(1) In general.--For purposes of this section, the 
        Attorney General may not determine that a claimant has 
        satisfied the requirements under subsection (a) unless 
        demonstrated by submission of--
                    ``(A) contemporaneous written residential 
                documentation or at least 1 additional employer-issued 
                or government-issued document or record that the 
                claimant, for at least 2 years after January 1, 1949, 
                was physically present in an affected area; or
                    ``(B) other documentation determined by the 
                Attorney General to demonstrate that the claimant, for 
                at least 2 years after January 1, 1949, was physically 
                present in an affected area.
            ``(2) Types of physical presence.--For purposes of 
        determining physical presence under this section, a claimant 
        shall be considered to have been physically present in an 
        affected area if--
                    ``(A) the claimant's primary residence was in the 
                affected area;
                    ``(B) the claimant's place of employment was in the 
                affected area; or
                    ``(C) the claimant attended school in the affected 
                area.
    ``(g) Disease Contraction in Affected Areas.--For purposes of this 
section, the Attorney General may not determine that a claimant has 
satisfied the requirements under subsection (a) unless the claimant 
submits--
            ``(1) written medical records or reports created by or at 
        the direction of a licensed medical professional, created 
        contemporaneously with the provision of medical care to the 
        claimant, that the claimant, after a period of physical 
        presence in an affected area, contracted a specified disease; 
        or
            ``(2) other documentation determined by the Attorney 
        General to demonstrate that the claimant contracted a specified 
        disease after a period of physical presence in an affected 
        area.''.

SEC. 100205. LIMITATIONS ON CLAIMS.

    Section 8(a) of the Radiation Exposure Compensation Act (Public Law 
101-426; 42 U.S.C. 2210 note) is amended 

              
 by striking ``2 years after the date of enactment of the RECA 
Extension Act of 2022'' and inserting ``December 31, 2027''.

            Attest:

                                                             Secretary.
119th CONGRESS

  1st Session

                                 H.R. 1

_______________________________________________________________________

                               AMENDMENT