Text: H.R.2517 — 104th Congress (1995-1996)All Information (Except Text)

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Introduced in House (10/20/1995)

 
[Congressional Bills 104th Congress]
[From the U.S. Government Printing Office]
[H.R. 2517 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 2517

To provide for reconciliation pursuant to section 105 of the concurrent 
             resolution on the budget for fiscal year 1996.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 20, 1995

  Mr. Kasich introduced the following bill; which was referred to the 
     Committee on the Budget, and in addition to the Committees on 
  Agriculture, Banking and Financial Services, Commerce, Economic and 
      Educational Opportunities, Government Reform and Oversight, 
 International Relations, the Judiciary, National Security, Resources, 
 Rules, Science, Transportation and Infrastructure, Veterans' Affairs, 
 and Ways and Means, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
To provide for reconciliation pursuant to section 105 of the concurrent 
             resolution on the budget for fiscal year 1996.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Seven-Year Balanced Budget 
Reconciliation Act of 1995''.

SEC. 2. TABLE OF TITLES.

    This Act is organized into titles as follows:

Title I--Committee on Agriculture
Title II--Committee on Banking and Financial Services
Title III--Committee on Commerce
Title IV--Committee on Economic and Educational Opportunities
Title V--Committee on Government Reform and Oversight
Title VI--Committee on International Relations
Title VII--Committee on the Judiciary
Title VIII--Committee on National Security
Title IX--Committee on Resources
Title X--Committee on Transportation and Infrastructure
Title XI--Committee on Veterans' Affairs
Title XII--Committee on Ways and Means-Trade
Title XIII--Committee on Ways and Means-Revenues
Title XIV--Committee on Ways and Means-Tax Simplification
Title XV--Preserving, Protecting, and Strengthening Medicare
Title XVI--Transformation of the Medicaid Program
Title XVII--Abolishment of Department of Commerce
Title XVIII--Welfare Reform
Title XIX--Contract with America-Tax Relief
Title XX--Budget Enforcement

                   TITLE I--COMMITTEE ON AGRICULTURE

SEC. 1001. SHORT TITLE AND TABLE OF CONTENTS.

    (a) Short Title.--This title may be cited as the ``Agricultural 
Reconciliation Act of 1995''.
    (b) Table of Contents.--The table of contents of this title is as 
follows:

                   TITLE I--COMMITTEE ON AGRICULTURE

Sec. 1001. Short title and table of contents.
                      Subtitle A--Freedom to Farm

Sec. 1101. Short title.
Sec. 1102. Seven-year contracts to improve farming certainty and 
                            flexibility.
Sec. 1103. Availability of nonrecourse marketing assistance loans for 
                            wheat, feed grains, cotton, rice, and 
                            oilseeds.
Sec. 1104. Reform of payment limitation provisions of Food Security Act 
                            of 1985.
Sec. 1105. Suspension of certain provisions regarding program crops.
                           Subtitle B--Dairy

Chapter 1--Authorization of Market Transition Payments in Lieu of Milk 
                         Price Support Program

Sec. 1201. Seven-year market transition contracts for milk producers.
Sec. 1202. Recourse loans for commercial processors of dairy products.
                    Chapter 2--Dairy Export Programs

Sec. 1211. Dairy export incentive program.
Sec. 1212. Authority to assist in establishment and maintenance of 
                            export trading company.
Sec. 1213. Standby authority to indicate entity best suited to provide 
                            international market development and export 
                            services.
Sec. 1214. Study and report regarding potential impact of Uruguay Round 
                            on prices, income and Government purchases.
                  Chapter 3--Dairy Promotion Programs

Sec. 1221. Research and promotion activities under Fluid Milk Promotion 
                            Act of 1990.
Sec. 1222. Expansion of dairy promotion program to cover dairy products 
                            imported into the United States.
Sec. 1223. Promotion of United States dairy products in international 
                            markets through dairy promotion program.
Sec. 1224. Issuance of amended order under Dairy Production 
                            Stabilization Act of 1983.
                Chapter 4--Verification of Milk Receipts

Sec. 1231. Program to verify receipts of milk.
Sec. 1232. Verification program to supersede multiple existing Federal 
                            orders.
          Chapter 5--Miscellaneous Provisions Related to Dairy

Sec. 1241. Extension of transfer authority regarding military and 
                            veterans hospitals.
Sec. 1242. Extension of dairy indemnity program.
Sec. 1243. Extension of report regarding export sales of dairy 
                            products.
Sec. 1244. Status of producer-handlers.
                     Subtitle C--Other Commodities

Sec. 1301. Extension and modification of price support and quota 
                            programs for peanuts.
Sec. 1302. Availability of loans for processors of sugarcane and sugar 
                            beets.
Sec. 1303. Repeal of obsolete authority for price support for 
                            cottonseed and cottonseed products.
               Subtitle D--Miscellaneous Program Changes

Sec. 1401. Limitations on assistance under emergency livestock feed 
                            assistance program.
Sec. 1402. Conservation reserve program.
Sec. 1403. Crop insurance program.
Sec. 1404. Repeal of farmer owned reserve program.
Sec. 1405. Reduction in funding levels for export enhancement program.
Sec. 1406. Business Interruption Insurance Program.
     Subtitle E--Commission on 21st Century Production Agriculture

Sec. 1501. Establishment.
Sec. 1502. Composition.
Sec. 1503. Comprehensive review of past and future of production 
                            agriculture.
Sec. 1504. Reports.
Sec. 1505. Powers.
Sec. 1506. Commission procedures.
Sec. 1507. Personnel matters.
Sec. 1508. Termination of Commission.

                      Subtitle A--Freedom to Farm

SEC. 1101. SHORT TITLE.

    This subtitle may be cited as the ``Freedom to Farm Act of 1995''.

SEC. 1102. SEVEN-YEAR CONTRACTS TO IMPROVE FARMING CERTAINTY AND 
              FLEXIBILITY.

    (a) Contracts Authorized.--Section 102 of the Agricultural Act of 
1949 (7 U.S.C. 1443), which is obsolete, is amended to read as follows:

``SEC. 102. SEVEN-YEAR MARKET TRANSITION CONTRACTS.

    ``(a) Contracts Authorized.--
            ``(1) Offer and main terms.--Beginning as soon as possible 
        after the date of the enactment of this section, the Secretary 
        shall offer to enter into a contract (to be known as a `market 
        transition contract') with eligible owners and operators 
        described in paragraph (2) on a farm containing eligible 
        farmland. Under the terms of a market transition contract, the 
        owner or operator shall agree, in exchange for annual payments 
        under the contract, to comply with the conservation compliance 
        plan for the farm prepared in accordance with section 1212 of 
        the Food Security Act of 1985 (16 U.S.C. 3812) and wetland 
        protection requirements applicable to the farm under subtitle C 
        of title XII of such Act (16 U.S.C. 3821 et seq.).
            ``(2) Eligible owners and operators described.--The 
        following persons shall be considered to be an owner or 
        operator eligible to enter into a market transition contract:
                    ``(A) An owner of eligible farmland who assumes all 
                of the risk of producing a crop.
                    ``(B) An owner of eligible farmland who shares in 
                the risk of producing a crop.
                    ``(C) An operator of eligible farmland with a 
                share-rent lease of the eligible farmland, regardless 
                of the length of the lease, if the owner enters into 
                the same market transition contract.
                    ``(D) An operator of eligible farmland who cash 
                rents the eligible farmland under a lease expiring on 
                or after September 30, 2002, in which case the consent 
                of the owner is not required.
                    ``(E) An operator of eligible farmland who cash 
                rents the eligible farmland under a lease expiring 
                before September 30, 2002, if the owner consents to the 
                contract.
                    ``(F) An owner of eligible farmland who cash rents 
                the eligible farmland and the lease term expires before 
                September 30, 2002, but only if the actual operator of 
                the farm declines to enter into a market transition 
                contract. In the case of an owner covered by this 
                subparagraph, payments will not begin under a market 
                transition contract until the fiscal year following the 
                fiscal year in which the lease held by the 
                nonparticipating operator expires.
            ``(3) Tenants and sharecroppers.--The Secretary shall 
        provide adequate safeguards to protect the interests of 
        operators who are tenants and sharecroppers.
    ``(b) Elements of Contracting.--
            ``(1) Time for contracting.--
                    ``(A) Deadline.--Except as provided in subparagraph 
                (B), the Secretary may not enter into a market 
                transition contract after April 15, 1996.
                    ``(B) Special rule for conservation reserve 
                lands.--Eligible owners and operators on farms covered 
                by a conservation reserve contract under section 1231 
                of the Food Security Act of 1985 (16 U.S.C. 3831) that 
                expires after April 15, 1996, may enter into or expand 
                a market transition contract to cover the acreage equal 
                to the quantity of the farm's crop acreage bases 
                restored with respect to the farm under the terms and 
                conditions of the conservation reserve program. The 
                Secretary shall annually conduct an enrollment for such 
                conservation reserve program acreage for the fiscal 
                years 1997 through 2002.
            ``(2) Duration of contract.--The term of each market 
        transition contract shall--
                    ``(A) begin with the 1996 crop year, or the crop 
                year in which the contract is entered into in the case 
                of a contract entered into after April 15, 1996; and
                    ``(B) extend through the 2002 crop year.
            ``(3) Estimation of payments.--At the time the Secretary 
        enters into a market transition contract, the Secretary shall 
        provide an estimate of the minimum payments anticipated to be 
        made under the contract during at least the first fiscal year 
        for which payments will be made. If the actual payment under 
        the contract for the first fiscal year is less than 95 percent 
        of the estimated payment, the owner or operator subject to the 
        contract may terminate the contract without penalty.
            ``(4) Report on contracting.--Not later than 90 days after 
        the date of the enactment of this section, 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 describing the manner in 
        which the Secretary proposes to enter into market transition 
        contracts, the number of persons and acreage covered by such 
        contracts, and the total amount of anticipated payments to be 
        made under such contracts (consistent with the limitations 
        specified in subsection (e)).
    ``(c) Eligible Farmland Described.--Land shall be considered to be 
farmland eligible for coverage under a market transition contract only 
if the land has crop acreage base attributable to the land and--
            ``(1) for at least one of the 1991 through 1995 crop years, 
        at least a portion of the land was enrolled in the acreage 
        reduction program authorized for a crop of rice, upland cotton, 
        feed grains, or wheat under section 101B, 103B, 105B, or 107B 
        or was considered planted to rice, upland cotton, feed grains, 
        or wheat, as certified under section 503(c)(7);
            ``(2) was subject to a conservation reserve contract under 
        section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) 
        whose term expired on or after January 1, 1995; or
            ``(3) is released from coverage under a conservation 
        reserve contract by the Secretary during the period beginning 
        on January 1, 1995, and ending on April 15, 1996.
    ``(d) Time for Payment.--
            ``(1) In general.--An annual payment under a market 
        transition contract shall be made not later than September 30 
        of each of the fiscal years 1996 through 2002.
            ``(2) Advance payments.--Beginning in fiscal year 1997, 
        half of the annual payment may be made on March 15 at the 
        option of the owner or operator subject to the contract. At the 
        option of the owner or operator, half of the annual payment for 
        fiscal year 1996 may be made within 90 days of the date on 
        which the owner or operator enters into the market transition 
        contract.
    ``(e) Total Amounts Available for Payments Under All Contracts.--
            ``(1) Total payments.--Total payments under all market 
        transition contracts for fiscal years 1996 through 2002 shall 
        not exceed $38,733,000,000.
            ``(2) Total payments per fiscal year.--Beginning in fiscal 
        year 1996, the Secretary shall expend on a fiscal year basis 
        the following amounts to satisfy the obligations of the 
        Secretary under market transition contracts:
                    ``(A) For fiscal year 1996,
                $6,014,000,000.
                    ``(B) For fiscal year 1997,
                $5,829,000,000.
                    ``(C) For fiscal year 1998,
                $6,244,000,000.
                    ``(D) For fiscal year 1999,
                $6,047,000,000.
                    ``(E) For fiscal year 2000,
                $5,573,000,000.
                    ``(F) For fiscal year 2001,
                $4,574,000,000.
                    ``(G) For fiscal year 2002,
                $4,453,000,000.
            ``(3) Adjustment of payment amounts.--The Secretary shall 
        adjust the amount specified in paragraph (1), and the amount 
        specified in paragraph (2) for a particular fiscal year, as 
        follows:
                    ``(A) Subtracting an amount equal to the amount, if 
                any, necessary during that fiscal year to satisfy 
                payment requirements under sections 101B, 103B, 105B, 
                and 107B for the 1994 and 1995 crop years.
                    ``(B) Adding an amount equal to the sum of all 
                producer repayments of deficiency payments received 
                during that fiscal year under section 114(a)(2).
                    ``(C) Adding an amount equal to the sum of all 
                market transition contract payments withheld by the 
                Secretary, at the request of producers, during the 
                preceding fiscal year as an offset against producer 
                repayments of deficiency payments otherwise required 
                under section 114(a)(2).
                    ``(D) Adding an amount equal to the sum of all 
                refunds of market transition contract payments received 
                during the preceding fiscal year under subsection (i).
    ``(f) Contract Payments to be Based on Historic Expenditure 
Levels.--
            ``(1) Contract commodity defined.--For purposes of this 
        section, the term `contract commodity' means rice, upland 
        cotton, feed grains, or wheat.
            ``(2) Calculation of historic expenditure levels.--
                    ``(A) In general.--For each contract commodity, the 
                Secretary shall calculate the total expenditures that 
                were required for the 1991 through 1995 crops of that 
                contract commodity under section 101B, 103B, 105B, or 
                107B, including expenditures in the form of deficiency 
                payments, loan deficiency payments, gains realized from 
                repaying loans at a level less than the original level, 
                and marketing certificates.
                    ``(B) Special rule for 1995 crop year.--In the 
                absence of information regarding actual expenditures 
                for the 1995 crop of each contract commodity, the 
                Secretary may use an estimate of expenditures under 
                section 101B, 103B, 105B, or 107B for that crop year. 
                The Secretary shall base such estimate on information 
                contained in the President's budget for fiscal year 
                1997 submitted to the Congress under section 1105 of 
                title 31, United States Code.
            ``(3) Amounts available for each contract commodity.--The 
        amount available for a fiscal year for payments with respect to 
        crop acreage base of a contract commodity included in market 
        transition contracts in effect during that fiscal year shall be 
        equal to the product of--
                    ``(A) the ratio of the amount calculated under 
                paragraph (2) for that contract commodity to the total 
                amount calculated for all contract commodities under 
                such paragraph; and
                    ``(B) the amount specified in paragraph (2) of 
                subsection (e) for that fiscal year, as adjusted under 
                paragraph (3) of such subsection.
    ``(g) Determination of Payments Under Particular Contract.--
            ``(1) Individual production of contract commodities.--For 
        each market transition contract, the amount of production of a 
        contract commodity covered by the contract shall be equal to 
        the product of--
                    ``(A) the crop acreage base of that contract 
                commodity attributable to the eligible farmland subject 
                to the contract; and
                    ``(B) the farm program payment yield in effect for 
                the 1995 crop of that contract commodity for the farm 
                containing that eligible farmland.
            ``(2) Annual total production of contract commodities.--For 
        each of the fiscal years 1996 through 2002, the total 
        production of each contract commodity covered by all market 
        transition contracts shall be equal to the sum of the amounts 
        calculated under paragraph (1) for each individual market 
        transition contract in effect during that fiscal year.
            ``(3) Annual payment rate.--The payment rate for a contract 
        commodity for a fiscal year shall be equal to--
                    ``(A) the amount made available under subsection 
                (f)(3) for that contract commodity for that fiscal 
                year; divided by
                    ``(B) the amount determined under paragraph (2) for 
                that fiscal year.
            ``(4) Annual payment amount.--For each of the fiscal years 
        1996 through 2002, the amount to be paid under a particular 
        market transition contract in effect during that fiscal year 
        with respect to a contract commodity shall be equal to the 
        product of--
                    ``(A) the amount of production determined under 
                paragraph (1) for that contract for that contract 
                commodity; and
                    ``(B) the payment rate in effect under paragraph 
                (3) for that fiscal year for that contract commodity.
            ``(5) Assignment of payments.--The provisions of section 
        8(g) of the Soil Conservation and Domestic Allotment Act (16 
        U.S.C. 590h(g)) (relating to assignment of payments) shall 
        apply to payments under this subsection. The owner or operator 
        making the assignment, or the assignee, shall provide the 
        Secretary with notice, in such manner as the Secretary may 
        require in the market transition contract, of any assignment 
        made under this paragraph.
            ``(6) Sharing of payments.--The Secretary shall provide for 
        the sharing of payments made under a market transition contract 
        among the owners and operators subject to the contract on a 
        fair and equitable basis.
    ``(h) Limitation on Total Amount of Payment.--The total amount of 
payments made to a person under a market transition contract during any 
fiscal year may not exceed $50,000. The Secretary shall issue 
regulations defining the term `person' as used in this section, which 
shall conform, to the extent practicable, to the regulations defining 
the term `person' issued under section 1001 of the Food Security Act of 
1985 (7 U.S.C. 1308). In the case of payments under a market transition 
contract provided to corporations and other persons described in 
paragraph (5)(B)(i)(II) of such section, the Secretary shall comply 
with the attribution requirements specified in paragraph (5)(C) of such 
section.
    ``(i) Effect of Violation.--
            ``(1) Termination of contract.--If an owner or operator 
        subject to a market transition contract violates the 
        conservation compliance plan for the farm containing eligible 
        farmland under the contract or wetland protection requirements 
        applicable to the farm, the Secretary may terminate the market 
        transition contract with respect to that owner or operator. 
        Upon such termination, the owner or operator shall forfeit all 
        rights to receive future payments under the contract and shall 
        refund to the Secretary all payments under the contract 
        received by the owner or operator during the period of the 
        violation, together with interest thereon as determined by the 
        Secretary.
            ``(2) Refund or adjustment.--If the Secretary determines 
        that a violation of a market transition contract does not 
        warrant termination of the contract under paragraph (1), the 
        Secretary may require the owner or operator subject to the 
        contract--
                    ``(A) to refund to the Secretary that part of the 
                payments received by the owner or operator during the 
                period of the violation, together with interest thereon 
                as determined by the Secretary; or
                    ``(B) to accept an adjustment in the amount of 
                future payments otherwise required under the contract.
            ``(3) Foreclosure.--An owner or operator subject to a 
        market transition contract may not be required to make 
        repayments to the Secretary of amounts received under the 
        contract if the eligible farm land that is subject to the 
        contract has been foreclosed upon and the Secretary determines 
        that forgiving such repayments is appropriate in order to 
        provide fair and equitable treatment. This paragraph shall not 
        void the responsibilities of such an owner or operator under 
        the contract if the owner or operator continues or resumes 
        operation, or control, of the property that is subject to the 
        contract. Upon the resumption of operation or control over the 
        property by the owner or operator, the provisions of the 
        contract in effect on the date of the foreclosure shall apply.
            ``(4) Review.--A determination of the Secretary under this 
        subsection shall be considered to be an adverse decision for 
        purposes of the availability of administrative review of the 
        determination.
    ``(j) Transfer of Interest in Lands Subject to Contract.--
            ``(1) Effect of transfer.--Except as provided in paragraph 
        (2), the transfer by an owner or operator subject to a market 
        transition contract of the right and interest of the owner or 
        operator in the eligible farmland under the contract shall 
        result in the termination of the contract with respect to that 
        farmland, effective on the date of the transfer, unless the 
        transferee of the land agrees with the Secretary to assume all 
        obligations of the contract. At the request of the transferee, 
        the Secretary may modify the contract if the modifications are 
        consistent with the objectives of this section as determined by 
        the Secretary.
            ``(2) Exception.--If an owner or operator who is entitled 
        to a payment under a market transition contract dies, becomes 
        incompetent, or is otherwise unable to receive such payment, 
        the Secretary shall make such payment, in accordance with 
        regulations prescribed by the Secretary and without regard to 
        any other provision of law, in such manner as the Secretary 
        determines is fair and reasonable in light of all of the 
        circumstances.
    ``(k) Planting Flexibility.--
            ``(1) Permitted crops.--In the case of acreage on a farm 
        that serves as the basis for payments under a market transition 
        contract, an owner or operator on the farm may plant for 
        harvest on the acreage--
                    ``(A) rice, upland cotton, feed grains, and wheat;
                    ``(B) any oilseed;
                    ``(C) any industrial or experimental crop 
                designated by the Secretary;
                    ``(D) mung beans, lentils, and dry peas; and
                    ``(E) any other crop, except any fruit or vegetable 
                crop (including potatoes and dry edible beans) not 
                covered by subparagraph (D), unless such fruit or 
                vegetable crop is designated by the Secretary as--
                            ``(i) an industrial or experimental crop; 
                        or
                            ``(ii) a crop for which no substantial 
                        domestic production or market exists.
            ``(2) Limitation.--At the discretion of the Secretary, the 
        Secretary may prohibit the planting of any crop specified in 
        paragraph (1) on acreage on a farm that serves as the basis for 
        payments under a market transition contract.
            ``(3) Notification.--With regard to commodities that may be 
        planted pursuant to this subsection, the Secretary shall make a 
        determination in each crop year of the commodities that may not 
        be planted pursuant to this subsection and shall make available 
        a list of the commodities.
            ``(4) Conservation uses.--In lieu of planting any crop 
        specified in paragraph (1), the owner or operator on a farm may 
        devote to conservation uses all or part of the eligible 
        farmland subject to a market transition contract, in accordance 
        with regulations issued by the Secretary.
            ``(5) Haying and grazing.--Haying and grazing of eligible 
        farmland subject to a market transition contract shall be 
        permitted, except during any consecutive five-month period that 
        is established by the State committee established under section 
        8(b) of the Soil Conservation and Domestic Allotment Act (16 
        U.S.C. 590h(b)) for a State. The 5-month period shall be 
        established during the period beginning April 1, and ending 
        October 31, of a year. In the case of a natural disaster, the 
        Secretary may permit unlimited haying and grazing on the 
        eligible farmland. The Secretary may not exclude irrigated or 
        irrigable acreage not planted in alfalfa when exercising the 
        authority under the preceding sentence.
    ``(l) Market Transition Contracts.--Notwithstanding any other 
provision of law, no order issued for any fiscal year under section 252 
of the Balanced Budget and Emergency Deficit Control Act of 1985 (2 
U.S.C. 902) shall affect any payment under any market transition 
contract.
    ``(m) Commodity Credit Corporation.--The Secretary shall carry out 
this section through the Commodity Credit Corporation, except that no 
funds of the Corporation shall be used for any salary or expense of any 
officer or employee of the Department of Agriculture in connection with 
the administration of market transition payments or loans under this 
Act.
    ``(n) Regulations.--The Secretary may issue such regulations as the 
Secretary determines necessary to carry out this section.''.
    (b) Conforming Amendments.--
            (1) Wheat 0/85 program.--Section 107B(c)(1)(E) of the 
        Agricultural Act of 1949 (7 U.S.C. 1445b-3a(c)(1)(E)) is 
        amended by striking ``through 1997'' in clauses (i) and (vii) 
        each place it appears and inserting ``and 1995''.
            (2) Feed grains 0/85 program.--Section 105B(c)(1)(E) of 
        such Act (7 U.S.C. 1444f(c)(1)(E)) is amended by striking 
        ``through 1997'' in clauses (i) and (vii) each place it appears 
        and inserting ``and 1995''.
            (3) Cotton program.--Section 103B of such Act (7 U.S.C. 
        1444-2) is amended--
                    (A) in the section heading, by striking ``1997'' 
                and inserting ``1995'';
                    (B) in subsections (a)(1), (b)(1), (c)(1)(A), 
                (c)(1)(B)(ii), and (o), by striking ``1997'' each place 
                it appears and inserting ``1995'';
                    (C) in subsections (c)(1)(D)(i) and 
                (c)(1)(D)(v)(II) by striking ``through 1997'' each 
                place it appears and inserting ``and 1995'';
                    (D) in the heading of subsection (c)(1)(D)(v)(II), 
                by striking ``through 1997 crops'' and inserting ``and 
                1995 crops'';
                    (E) in subsection (e)(1)(D), by striking ``29\1/2\ 
                percent for each of the 1995 and 1996 crops, and 29 
                percent for the 1997 crop'' and inserting ``and 29\1/2\ 
                percent for the 1995 crop''; and
                    (F) in subparagraphs (B)(i), (D)(i), (E)(i), and 
                (F)(i) of subsection (a)(5), by striking ``1998'' each 
                place it appears and inserting ``1996''.
            (4) Rice 50/85 program.--Section 101B of such Act (7 U.S.C. 
        1441-2) is amended--
                    (A) in subsections (c)(1)(D)(i) and 
                (c)(1)(D)(v)(II), by striking ``through 1997'' each 
                place it appears and inserting ``and 1995''; and
                    (B) in the heading of subsection (c)(1)(D)(v)(II), 
                by striking ``through 1997 crops'' and inserting ``and 
                1995 crops''.
            (5) Oilseeds.--Section 205(c) of such Act (7 U.S.C. 
        1446f(c)) is amended by striking ``through 1997'' both places 
        it appears and inserting ``and 1995''.
            (6) Crop acreage base.--Section 509 of such Act (7 U.S.C. 
        1469) is amended by striking ``effective only for the 1991 
        through 1997 program crops'' and inserting ``effective only 
        until January 1, 1996''.

SEC. 1103. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
              WHEAT, FEED GRAINS, COTTON, RICE, AND OILSEEDS.

    (a) Nonrecourse Loans Available.--The Agricultural Act of 1949 is 
amended by inserting after section 102, as amended by section 1102, the 
following new section:

``SEC. 102A. NONRECOURSE MARKETING ASSISTANCE LOANS FOR CERTAIN CROPS.

    ``(a) Nonrecourse Loans Available.--For each of the 1996 through 
2002 crops of wheat, feed grains, upland cotton, extra long staple 
cotton, rice, and oilseeds, the Secretary shall make available to 
eligible producers on a farm nonrecourse marketing assistance loans 
under terms and conditions that are prescribed by the Secretary and at 
a loan rate calculated under subsection (c). A marketing assistance 
loan shall have a term of nine months beginning on the first day of the 
first month after the month in which the loan is made. The Secretary 
may not extend the term of a marketing assistance loan.
    ``(b) Announcement of Loan Rate.--The Secretary shall announce the 
loan rate for each commodity specified in subsection (a) not later than 
the start of the marketing year of the commodity for which the loan 
rate is to be in effect.
    ``(c) Calculation of Loan Rate.--
            ``(1) Calculation.--Subject to adjustment under paragraph 
        (2), the loan rate for marketing assistance loans under 
        subsection (a) for a particular commodity specified in such 
        subsection shall be equal to 70 percent of the simple average 
        price received by producers of that commodity during the 
        marketing years for the immediately preceding five crops of 
        that commodity.
            ``(2) Required budgetary adjustments.--If the Secretary 
        estimates for one of the marketing years for the 1996 through 
        2002 crops of a particular commodity specified in subsection 
        (a) that the average price to be received by producers of that 
        commodity is likely to be less that the loan rate calculated 
        under paragraph (1) for that marketing year, the Secretary 
        shall reduce the loan rate for that commodity for that 
        marketing year by an amount sufficient to enable the Secretary 
        to provide marketing assistance loans at no net cost to the 
        Federal Government by preventing the accumulation of that 
        commodity by the Commodity Credit Corporation through loan 
        forfeitures and by limiting producer gains under the marketing 
        loan provision under subsection (d).
            ``(3) Simple average price.--The Secretary shall be 
        responsible for determining the simple average price received 
        by producers of a commodity specified in subsection (a). In 
        determining the simple average price a commodity for a five-
        year period, the Secretary shall exclude the year in which the 
        average price was the highest and the year in which the average 
        price was the lowest during the period.
    ``(d) Marketing Loan Provision.--If during the marketing year, the 
Secretary determines that the market price of a commodity subject to a 
marketing assistance loan under this section falls below the lower of 
(1) the loan rate, or (2) the loan rate as adjusted by subsection 
(c)(2), the Secretary shall allow such loan to be repaid at such market 
price. This subsection shall not apply in the case of marketing 
assistance loans for extra long staple cotton, rye, or oilseeds.
    ``(e) Adjustments for Grade, Type, Quality, Location, and Other 
Factors.--The Secretary may make such adjustments in the announced loan 
rate for a commodity specified in subsection (a) as the Secretary 
considers appropriate to reflect differences in grade, type, quality, 
location, and other factors.
    ``(f) Producers Eligible for Loans.--Only the following producers 
shall be eligible for a marketing assistance loan under this section:
            ``(1) In the case of a marketing assistance loan for a crop 
        of wheat, feed grains (other than rye), upland cotton, or rice, 
        a producer whose land on which the crop is raised is subject to 
        a market transition contract under section 102.
            ``(2) In the case of a marketing assistance loan for a crop 
        of extra long staple cotton, rye, or oilseeds, any producer.
    ``(g) Prohibition on Storage Payments.--The Secretary may not make 
payments to producers to cover storage charges incurred in connection 
with marketing assistance loans made under this section.
    ``(h) Definitions.--For purposes of this section:
            ``(1) The term `feed grains' means corn, grain sorghums, 
        barley, oats, and rye.
            ``(2) The term `oilseeds' means soybeans, sunflower seed, 
        rapeseed, canola, safflower, flaxseed, mustard seed, and, if 
        designated by the Secretary, other oilseeds.
    ``(i) Regulations.--The Secretary may issue such regulations as the 
Secretary determines necessary to carry out this section.''.
    (b) Repeal of Current Adjustment Authority.--Section 403 of the 
Agricultural Act of 1949 (7 U.S.C. 1423) is repealed.

SEC. 1104. REFORM OF PAYMENT LIMITATION PROVISIONS OF FOOD SECURITY ACT 
              OF 1985.

    (a) Attribution of Payments Made to Corporations and Other 
Entities.--Paragraph (5)(C) of section 1001 of the Food Security Act of 
1985 (7 U.S.C. 1308) is amended to read as follows:
    ``(C)(i) In the case of payments to corporations and other entities 
described in subparagraph (B)(i)(II), the Secretary shall attribute 
payments to individuals in proportion to their ownership interests in 
the corporation or entity receiving the payment or in any other 
corporation or entity that has a substantial beneficial interest in the 
corporation or entity actually receiving the payment. This subparagraph 
shall apply to individuals who hold or acquire, directly or through 
another corporation or entity, a substantial beneficial interest in the 
corporation or entity actually receiving the payment.
    ``(ii) In the case of payments to corporations and other entities 
described in subparagraph (B)(i)(II), the Secretary shall also 
attribute payments to any State (or political subdivision or agency 
thereof) or other corporation or entity that has a substantial 
beneficial interest in the corporation or entity actually receiving the 
payment in proportion to their ownership interests in the corporation 
or entity receiving the payment. This subparagraph shall apply even if 
the payments are also attributable to individuals under clause (i).
    ``(iii) For purposes of this subparagraph, the term `substantial 
beneficial interest' means not less than five percent of all beneficial 
interests in the corporation or entity actually receiving the payment, 
except that the Secretary may set a lower percentage in order to ensure 
that the provisions of this section and the scheme or device provisions 
in section 1001B are not circumvented.''.
    (b) Tracking of Payments.--Paragraph (3) of section 1001A(a) of the 
Food Security Act of 1985 (7 U.S.C. 1308-1(a)) is amended to read as 
follows:
            ``(3) Notification.--To facilitate administration of this 
        section, each entity or individual receiving payments as a 
        separate person shall notify each individual or other entity 
        that acquires or holds a substantial beneficial interest in it 
        of the requirements and limitations under this subsection. Each 
        such entity or individual receiving payments shall provide to 
        the Secretary, at such times and in such manner as prescribed 
        by the Secretary, the name and social security number of each 
        individual, or the name and taxpayer identification number of 
        each entity, that holds or acquires a substantial beneficial 
        interest.''.
    (c) Conforming Amendment.--Paragraph (2) of such section is amended 
to read as follows:
            ``(2) Substantial beneficial interest.--For purposes of 
        this subsection, the term `substantial beneficial interest' has 
        the meaning given such term in section 1001(5)(C)(iii).''.

SEC. 1105. SUSPENSION OF CERTAIN PROVISIONS REGARDING PROGRAM CROPS.

    (a) Wheat.--
            (1) Nonapplicability of certificate requirements.--Sections 
        379d through 379j of the Agricultural Adjustment Act of 1938 (7 
        U.S.C. 1379d-1379j) (relating to marketing certificate 
        requirements for processors and exporters) shall not be 
        applicable to wheat processors or exporters during the period 
        June 1, 1996, through May 31, 2003.
            (2) Suspension of land use, wheat marketing allocation, and 
        producer certificate provisions.--Sections 331 through 339, 
        379b, and 379c of the Agricultural Adjustment Act of 1938 (7 
        U.S.C. 1331 through 1339, 1379b, and 1379c) shall not be 
        applicable to the 1996 through 2002 crops of wheat.
            (3) Suspension of certain quota provisions.--The joint 
        resolution entitled ``A joint resolution relating to corn and 
        wheat marketing quotas under the Agricultural Adjustment Act of 
        1938, as amended'', approved May 26, 1941 (7 U.S.C. 1330 and 
        1340) shall not be applicable to the crops of wheat planted for 
        harvest in the calendar years 1996 through 2002.
            (4) Nonapplicability of section 107 program.--Section 107 
        of the Agricultural Act of 1949 (7 U.S.C. 1445a) shall not be 
        applicable to the 1996 through 2002 crops of wheat.
    (b) Feed Grains.--Section 105 of the Agricultural Act of 1949 (7 
U.S.C. 1444b) shall not be applicable to the 1996 through 2002 crops of 
feed grains.
    (c) Cotton.--
            (1) Suspension of base acreage allotments, marketing 
        quotas, and related provisions.--Sections 342, 343, 344, 345, 
        346, and 377 of the Agricultural Adjustment Act of 1938 (7 
        U.S.C. 1342-1346 and 1377) shall not be applicable to any of 
        the 1996 through 2002 crops of upland cotton.
            (2) Nonapplicability of section 103 program.--Section 
        103(a) of the Agricultural Act of 1949 (7 U.S.C. 1444(a)) shall 
        not be applicable to the 1996 through 2002 crops of upland 
        cotton.

                           Subtitle B--Dairy

CHAPTER 1--AUTHORIZATION OF MARKET TRANSITION PAYMENTS IN LIEU OF MILK 
                         PRICE SUPPORT PROGRAM

SEC. 1201. SEVEN-YEAR MARKET TRANSITION CONTRACTS FOR MILK PRODUCERS.

    (a) Contracts Authorized.--Section 204 of the Agricultural Act of 
1949 (7 U.S.C. 1446e) is amended to read as follows:

``SEC. 204. SEVEN-YEAR MARKET TRANSITION CONTRACTS FOR MILK PRODUCERS 
              AND RELATED PROVISIONS.

    ``(a) Market Transition Contracts Authorized.--
            ``(1) Offer and main terms.--The Secretary shall offer to 
        enter into a contract (to be known as a `market transition 
        contract') with willing milk producers, under which the milk 
        producers agree, in exchange for seven payments under the 
        contract, to comply with--
                    ``(A) governmental animal waste management 
                regulations otherwise applicable to the milk producer; 
                and
                    ``(B) any wetland protection requirements 
                applicable to the farm under subtitle C of title XII of 
                such Act (16 U.S.C. 3821 et seq.).
            ``(2) Milk producer defined.--For purposes of this section, 
        the term `milk producer' means a person that was engaged in the 
        production of cow's milk in the 48 contiguous States on 
        September 15, 1995, and that received a payment during the 45-
        day period before that date for cow's milk marketed for 
        commercial use. Such term includes a person considered to be a 
        producer-handler that satisfies the requirements of the 
        preceding sentence.
    ``(b) Time for Contracting; Duration.--The Secretary shall begin to 
offer to enter into market transition contracts as soon as possible 
after the date of the enactment of this section. The Secretary may not 
enter into a market transition contract after April 15, 1996. The term 
of each market transition contract shall extend through December 31, 
2001.
    ``(c) Estimation of Payments.--At the time the Secretary enters 
into a market transition contract, the Secretary shall provide an 
estimate of the payments anticipated to be made under the contract for 
at least fiscal year 1996.
    ``(d) Time for Payment.--The fiscal year 1996 payment under a 
market transition contract shall be made on April 15, 1996, or as soon 
thereafter as practicable. The Secretary shall make subsequent payments 
not later than October 15 of each of the fiscal years 1997 through 
2002.
    ``(e) Payment Rate.--The Secretary shall use the following payment 
rates to calculate payments under a market transition contract for a 
fiscal year:
            ``(1) For fiscal year 1996, 10 cents per hundredweight.
            ``(2) For fiscal year 1997, 15 cents per hundredweight.
            ``(3) For fiscal year 1998, 13 cents per hundredweight.
            ``(4) For fiscal year 1999, 11 cents per hundredweight.
            ``(5) For fiscal year 2000, 9 cents per hundredweight.
            ``(6) For fiscal year 2001, 7 cents per hundredweight.
            ``(7) For fiscal year 2002, 5 cents per hundredweight.
    ``(f) Contract Payments To Be Based on Production History.--
            ``(1) In general.--The Secretary shall determine the 
        historic annual milk production for each milk producer that 
        enters into a market transition contract on the basis of milk 
        checks reflecting payments for commercial marketings of cow's 
        milk or such other records of commercial marketings or product 
        sales as may be acceptable to the Secretary. Each milk 
        producer's historic annual milk production shall be expressed 
        in terms of hundredweights of milk.
            ``(2) Producers with three or more years of production.--In 
        the case of a milk producer that has been engaged in the 
        production of milk for at least three of the calendar years 
        1991 through 1995, the milk producer's historic annual milk 
        production shall be equal to the average quantity of milk 
        marketed by the milk producer during the three years of such 
        period in which the largest quantities of milk were marketed by 
        the milk producer.
            ``(3) Producers with fewer years of production.--In the 
        case of a milk producer not covered by paragraph (2), the 
        Secretary shall assign the milk producer an historic annual 
        milk production equal to an annualized average of the monthly 
        quantity of milk marketed by the milk producer during the 
        period in which the milk producer has been engaged in milk 
        production. The Secretary shall not consider months of 
        production after December 31, 1995.
    ``(g) Calculation of Payment Amount.--The total amount to be paid 
to a milk producer under a market transition contract for a fiscal year 
shall be equal to the product of--
            ``(1) the payment rate in effect for that fiscal year under 
        subsection (e); and
            ``(2) the historic annual milk production for the milk 
        producer determined under subsection (f).
    ``(h) Assignment of Payments.--The right of a milk producer to a 
payment under a market transition contract shall be freely assignable 
by the milk producer. The milk producer or assignee shall provide the 
Secretary with notice, in such manner as the Secretary may require in 
the market transition contract, of any assignment made under this 
subsection.
    ``(i) Effect of Violation.--
            ``(1) Termination of contract.--If a milk producer subject 
        to a market transition contract violates any governmental 
        animal waste management regulation that applies to the producer 
        or wetland protection requirements applicable to the 
producer, the Secretary may terminate the producer's market transition 
contract. Upon such termination, the milk producer shall forfeit all 
rights to receive future payments under the contract and shall refund 
to the Secretary any payment under the contract received by the 
producer after notification of the violation, together with interest 
thereon as determined by the Secretary. The Secretary shall make a 
determination regarding violations of animal waste management 
regulations under this paragraph in consultation with the appropriate 
State governmental authority.
            ``(2) Refund or adjustment.--If the Secretary determines 
        that a violation of a market transition contract does not 
        warrant termination of the contract under paragraph (1), the 
        Secretary may require the milk producer subject to the 
        contract--
                    ``(A) to refund to the Secretary any payment under 
                the contract received by the producer after 
                notification of the violation, together with interest 
                thereon as determined by the Secretary; or
                    ``(B) to accept an adjustment in the amount of 
                future payments otherwise required under the contract.
    ``(j) Market Transition Contracts.--Notwithstanding any other 
provision of law, no order issued for any fiscal year under section 252 
of the Balanced Budget and Emergency Deficit Control Act of 1985 (2 
U.S.C. 902) shall affect any payment under any market transition 
contract.''.
    (b) Continued Operation of Existing Program Through 1995.--
            (1) Price support operations.--Until December 31, 1995, the 
        Secretary of Agriculture shall continue to use section 204 of 
        the Agricultural Act of 1949 (7 U.S.C. 1446e), as in effect on 
        the day before the date of the enactment of this Act, to 
        support the price of milk produced in the 48 contiguous States.
            (2) Price Reduction.--Subsection (h) of such section, 
        relating to a reduction in the price received by milk producers 
        for all milk produced in the 48 contiguous States and marketed 
        for commercial use, shall continue to apply with respect to 
        milk marketed through December 31, 1995. In the case of milk 
        producers that did not increase milk marketings in 1995 when 
        compared to 1994 milk marketings, the Secretary of Agriculture 
        shall make refunds available in 1996 to such milk producers in 
        the manner provided in paragraph (3) of such subsection.
    (c) Conforming Repeal of General Authority to Provide Price Support 
for Milk.--
            (1) Designated nonbasic agricultural commodity.--Section 
        201(a) of the Agricultural Act of 1949 (7 U.S.C. 1446(a)) is 
        amended by striking ``milk,''.
            (2) Other nonbasic agricultural commodities.--Section 301 
        of the Agricultural Act of 1949 (7 U.S.C. 1447) is amended by 
        inserting ``(other than milk)'' after ``title II''.

SEC. 1202. RECOURSE LOANS FOR COMMERCIAL PROCESSORS OF DAIRY PRODUCTS.

    The Agricultural Act of 1949 is amended by striking section 424 (7 
U.S.C. 1433c), as added by section 1003 of the Food Security Act of 
1985 and effective for 1986 through 1990 crops, and inserting the 
following new section:

``SEC. 424. RECOURSE LOANS FOR COMMERCIAL PROCESSORS OF DAIRY PRODUCTS.

    ``(a) Recourse Loans Available.--On and after January 1, 1996, the 
Secretary may make recourse loans available to commercial processors of 
eligible dairy products to assist such processors to manage inventories 
of eligible dairy products to assure a greater degree of price 
stability for the dairy industry during the year. Recourse loans may be 
made available under such reasonable terms and conditions as the 
Secretary may prescribe.
    ``(b) Amount of Loan.--The Secretary shall establish the amount of 
a loan for eligible dairy products, which shall reflect 90 percent of 
the reference price for that product. The rate of interest charged 
participants in this program shall not be less than the rate of 
interest charged the Commodity Credit Corporation by the United States 
Treasury.
    ``(c) Period of Loans.--A recourse loan made under this section may 
not extend beyond the end of the fiscal year during which the loan is 
made, except that the Secretary may extend the loan for an additional 
period not to exceed the end of the next fiscal year.
    ``(d) Definitions.--For purposes of this section:
            ``(1) The term `eligible dairy products' means cheddar 
        cheese, butter, and nonfat dry milk.
            ``(2) The term `reference price' means--
                    ``(A) for cheddar cheese, the average National 
                Cheese Exchange price for 40 pound blocks of cheddar 
                cheese for the previous three months;
                    ``(B) for butter the average Chicago Mercantile 
                Exchange price for butter for the previous three 
                months; and
                    ``(C) for nonfat dry milk, the Western States price 
                for nonfat dry milk for the previous three months.''.

                    CHAPTER 2--DAIRY EXPORT PROGRAMS

SEC. 1211. DAIRY EXPORT INCENTIVE PROGRAM.

    (a) In General.--Section 153(c) of the Food Security Act of 1985 
(15 U.S.C. 713a-14(c)) is amended--
            (1) by striking ``and'' at the end of paragraph (1);
            (2) by striking the period at the end of paragraph (2) and 
        inserting ``; and''; and
            (3) by adding at the end the following new paragraphs:
            ``(3) the maximum volume of dairy product exports allowable 
        consistent with the obligations of the United States as a 
        member of the World Trade Organization are exported under the 
        program each year (minus the volume sold under section 1163 of 
        the Food Security Act of 1985 (7 U.S.C. 1731 note) during that 
        year), except to the extent that the export of such a volume 
        under the program would, in the judgment of the Secretary, 
        exceed the limitations on the value set forth in subsection 
        (f); and
            ``(4) payments may be made under the program for exports to 
        any destination in the world for the purpose of market 
        development, except a destination in a country with respect to 
        which shipments from the United States are otherwise restricted 
        by law.''.
    (b) Sole Discretion.--Section 153(b) of the Food Security Act of 
1985 (15 U.S.C. 713a-14(b)) is amended by inserting ``sole'' before 
``discretion''.
    (c) Market Development.--Section 153(e)(1) of the Food Security Act 
of 1985 (15 U.S.C. 713a-14(e)(1)) is amended--
            (1) by striking ``and'' and inserting ``the''; and
            (2) by inserting before the period the following: ``, and 
        any additional amount that may be required to assist in the 
        development of world markets for United States dairy 
        products''.
    (d) Maximum Allowable Amounts.--Section 153 of the Food Security 
Act of 1985 (15 U.S.C. 713a-14) is amended by adding at the end the 
following:
    ``(f) Required Funding.--The Commodity Credit Corporation shall in 
each year use money and commodities for the program under this section 
in the maximum amount consistent with the obligations of the United 
States as a member of the World Trade Organization, minus the amount 
expended under section 1163 of the Food Security Act of 1985 (7 U.S.C. 
1731 note) during that year. However, the Commodity Credit Corporation 
may not exceed the limitations specified in subsection (c)(3) on the 
volume of allowable dairy product exports.''.
    (e) Conforming Amendment.--Section 153(a) of the Food Security Act 
of 1985 (15 U.S.C. 713a-14(a)) is amended by striking ``2001'' and 
inserting ``2002''.

SEC. 1212. AUTHORITY TO ASSIST IN ESTABLISHMENT AND MAINTENANCE OF 
              EXPORT TRADING COMPANY.

    The Secretary of Agriculture shall, consistent with the obligations 
of the United States as a member of the World Trade Organization, 
provide such advice and assistance to the United States dairy industry 
as may be necessary to enable that industry to establish and maintain 
an export trading company under the Export Trading Company Act of 1982 
(15 U.S.C. 4001 et seq.) for the purpose of facilitating the 
international market development for and exportation of dairy products 
produced in the United States.

SEC. 1213. STANDBY AUTHORITY TO INDICATE ENTITY BEST SUITED TO PROVIDE 
              INTERNATIONAL MARKET DEVELOPMENT AND EXPORT SERVICES.

    (a) Indication of Entity Best Suited to Assist International Market 
Development for and Export of United States Dairy Products.--If--
            (1) the United States dairy industry has not established an 
        export trading company under the Export Trading Company Act of 
        1982 (15 U.S.C. 4001 et seq.) for the purpose of facilitating 
        the international market development for and exportation of 
        dairy products produced in the United States on or before June 
        30, 1996; or
            (2) the quantity of exports of United States dairy products 
        during the 12-month period preceding July 1, 1997 does not 
        exceed the quantity of exports of United States dairy products 
        during the 12-month period preceding July 1, 1996 by 1.5 
        billion pounds (milk equivalent, total solids basis);
the Secretary of Agriculture is directed to indicate which entity 
autonomous of the Government of the United States is best suited to 
facilitate the international market development for and exportation of 
United States dairy products.
    (b) Funding of Export Activities.--The Secretary shall assist the 
entity in identifying sources of funding for the activities specified 
in subsection (a) from within the dairy industry and elsewhere.
    (c) Application of Section.--This section shall apply only during 
the period beginning on July 1, 1997 and ending on September 30, 2000.

SEC. 1214. STUDY AND REPORT REGARDING POTENTIAL IMPACT OF URUGUAY ROUND 
              ON PRICES, INCOME AND GOVERNMENT PURCHASES.

    (a) Study.--The Secretary of Agriculture shall conduct a study, on 
a variety by variety of cheese basis, to determine the potential impact 
on milk prices in the United States, dairy producer income, and Federal 
dairy program costs, of the allocation of additional cheese granted 
access to the United States as a result of the obligations of the 
United States as a member of the World Trade Organization.
    (b) Report.--Not later than September 30, 1996, the Secretary shall 
report to the Committees on Agriculture of the Senate and the House of 
Representatives the results of the study conducted under this section.
    (c) Rule of Construction.--Any limitation imposed by Act of 
Congress on the conduct or completion of studies or reports to Congress 
shall not apply to the study and report required under this section 
unless such limitation explicitly references this section in doing so.

                  CHAPTER 3--DAIRY PROMOTION PROGRAMS

SEC. 1221. RESEARCH AND PROMOTION ACTIVITIES UNDER FLUID MILK PROMOTION 
              ACT OF 1990.

    (a) Extension of Order.--Section 1999O of the Fluid Milk Promotion 
Act of 1990 (subtitle H of title XIX of Public Law 101-624; 7 U.S.C. 
6414(a)) is amended--
            (1) by striking subsection (a); and
            (2) by redesignating subsections (b) and (c) as subsections 
        (a) and (b), respectively.
    (b) Definition of Research.--Paragraph (6) of section 1999C of such 
Act (7 U.S.C. 6402) is amended to read as follows:
            ``(6) Research.--The term `research' means--
                    ``(A) market research to support and increase the 
                effectiveness of industry advertising, promotion, and 
                educational activities; and
                    ``(B) other research to expand sales of fluid milk 
                products, including research regarding the development 
                of new products, new product characteristics, and 
                improved technology in the production, manufacturing, 
                or processing of milk and the products of milk.''.
    (c) Conforming Amendments Regarding Marketing Orders.--Section 
1999J(b) of such Act (7 U.S.C. 6409(b)) is amended--
            (1) by striking paragraph (1);
            (2) in paragraph (2), by striking ``(2) otherwise'' and 
        inserting ``(1)''; and
            (3) by redesignating paragraph (3) as paragraph (2).
    (d) Clarification of Referendum Requirements.--
            (1) Suspension or termination.--Subsection (b) of section 
        1999O of such Act (7 U.S.C. 6414), as redesignated by 
        subsection (a)(2), is amended--
                    (A) in paragraph (1), by striking ``all 
                processors'' and inserting ``all fluid milk 
                processors''; and
                    (B) in paragraph (2)(B), by striking ``all 
                processors'' and inserting ``all fluid milk processors 
                voting in the referendum''.
            (2) Conforming amendment.--Section 1999N(b)(2) of such Act 
        (7 U.S.C. 6413(b)(2)) is amended by striking ``all processors'' 
        and inserting ``all fluid milk processors voting in the 
        referendum''.

SEC. 1222. EXPANSION OF DAIRY PROMOTION PROGRAM TO COVER DAIRY PRODUCTS 
              IMPORTED INTO THE UNITED STATES.

    (a) Declaration of Policy.--Section 110(b) of the Dairy Production 
Stabilization Act of 1983 (7 U.S.C. 4501(b)) is amended by inserting 
after ``commercial use'' the following: ``and dairy products imported 
into the United States''.
    (b) Definitions.--
            (1) Milk.--Subsection (d) of section 111 of such Act (7 
        U.S.C. 4502) is amended by inserting before the period at the 
        end the following: ``or cow's milk imported into the United 
        States in the form of dairy products intended for consumption 
        in the United States''.
            (2) Dairy products.--Subsection (e) of such section is 
        amended by inserting before the semicolon the following: ``and 
        casein (except casein imported under sections 3501.90.20 
        (casein glue) and 3501.90.50 (other) of the Harmonized Tariff 
        Schedule)''.
            (3) Research.--Subsection (j) of such section is amended by 
        inserting before the semicolon the following: ``or to reduce 
        the costs associated with processing or marketing those 
        products''.
            (4) United states.--Subsection (l) of such section is 
        amended to read as follows:
            ``(l) the term `United States' means the several States and 
        the District of Columbia;''.
            (5) Importers and exporters.--Such section is further 
        amended--
                    (A) in subsection (k), by striking ``and'' at the 
                end of such subsection; and
                    (B) by adding at the end the following new 
                subsections:
            ``(m) the term `importer' means the first person to take 
        title to dairy products imported into the United States for 
        domestic consumption; and
            ``(n) the term `exporter' means any person who exports 
        dairy products from the United States.''.
    (c) Membership of Board.--Section 113(b) of such Act (7 U.S.C. 
4504(b)) is amended--
            (1) in the first sentence, by striking ``thirty-six 
        members'' and inserting ``38 members, including one 
        representative of importers and one representative of exporters 
        to be appointed by the Secretary'';
            (2) in the second sentence, by striking ``Members'' and 
        inserting ``The remaining members''; and
            (3) in the third sentence, by striking ``United States'' 
        and inserting ``United States, including Alaska and Hawaii''.
    (d) Assessment.--Section 113(g) of such Act (7 U.S.C. 4504(g)) is 
amended--
            (1) by inserting ``(1)'' after ``(g)''; and
            (2) by adding at the end the following new paragraph:
    ``(2) The order shall provide that each importer of dairy products 
intended for consumption in the United States shall remit to the Board, 
in the manner prescribed by the order, an assessment equal to 1.2 cents 
per pound of total milk solids contained in the imported dairy 
products, or 15 cents per hundredweight of milk contained in the 
imported dairy products, whichever is less. If an importer can 
establish that it is participating in active, ongoing qualified State 
or regional dairy product promotion or nutrition programs intended to 
increase the consumption of milk and dairy products, the importer shall 
receive credit in determining the assessment due from that importer for 
contributions to such programs of up to .8 cents per pound of total 
milk solids contained in the imported dairy products, or 10 cents per 
hundredweight of milk contained in the imported dairy products, 
whichever is less. The assessment collected under this paragraph shall 
be used for the purpose specified in paragraph (1).''.
    (e) Records.--Section 113(k) of such Act (7 U.S.C. 4504(k)) is 
amended in the first sentence by inserting after ``commercial use,'' 
the following: ``each importer of dairy products,''.
    (f) Termination or Suspension of Order.--Section 116(b) of such Act 
(7 U.S.C. 4507(b)) is amended--
            (1) by inserting ``and importers'' after ``producers'' each 
        place it appears;
            (2) by striking ``who, during a representative period (as 
        determined by the Secretary), have been engaged in the 
        production of milk for commercial use''; and
            (3) by adding at the end the following new sentences: ``A 
        producer shall be eligible to vote in the referendum if the 
        producer, during a representative period (as determined by the 
        Secretary), has been engaged in the production of milk for 
        commercial use. An importer shall be eligible to vote in the 
        referendum if the importer, during a representative period (as 
        determined by the Secretary), has been engaged in the 
        importation of dairy products into the United States intended 
        for consumption in the United States.''.

SEC. 1223. PROMOTION OF UNITED STATES DAIRY PRODUCTS IN INTERNATIONAL 
              MARKETS THROUGH DAIRY PROMOTION PROGRAM.

    Section 113(e) of the Dairy Production Stabilization Act of 1983 (7 
U.S.C. 4504(e)) is amended by adding at the end the following new 
sentence: ``For each of the fiscal years 1996 through 2000, the Board's 
budget shall provide for the expenditure of not less than 10 percent of 
the anticipated revenues available to the Board to develop 
international markets for, and to promote within such markets, the 
consumption of dairy products produced in the United States from milk 
produced in the United States.''.

SEC. 1224. ISSUANCE OF AMENDED ORDER UNDER DAIRY PRODUCTION 
              STABILIZATION ACT OF 1983.

    (a) Implementation of Amendments.--To implement the amendments made 
by sections 1222 and 1223, the Secretary of Agriculture shall issue an 
amended dairy products promotion and research order under section 112 
of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504) 
reflecting such amendments, and no other changes, in the order in 
existence on the date of the enactment of this Act.
    (b) Proposal of Amended Order.--Not later than 60 days after the 
date of the enactment of this Act, the Secretary of Agriculture shall 
publish a proposed dairy products promotion and research order 
reflecting the amendments made by sections 1222 and 1223. The Secretary 
shall provide notice and an opportunity for public comment on the 
proposed order.
    (c) Issuance of Amended Order.--After notice and opportunity for 
public comment are provided in accordance with subsection (b), the 
Secretary of Agriculture shall issue a final dairy products promotion 
and research order, taking into consideration the comments received and 
including in the order such provisions as are necessary to ensure that 
the order is in conformity with the amendments made by sections 1222 
and 1223.
    (d) Effective Date.--The final dairy products promotion and 
research order shall be issued and become effective not later than 120 
days after publication of the proposed order.
    (e) Referendum on Amendments.--Section 115 of Dairy Production 
Stabilization Act of 1983 (7 U.S.C. 4506) is amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following new 
        subsection:
    ``(b) Referendum.--Not later than 36 months after the issuance of 
the order reflecting the amendments made by sections 1222 and 1223 of 
the Agricultural Reconciliation Act of 1995, the Secretary shall 
conduct a referendum under this section for the sole purpose of 
determining whether the requirements of such amendments shall be 
continued. The Secretary shall conduct the referendum among persons who 
have been producers or importers during a representative period as 
determined by the Secretary. The requirements of such amendments shall 
be continued only if the Secretary determines that such requirements 
have been approved by not less than a majority of the persons voting in 
the referendum. If continuation of the amendments is not approved, the 
Secretary shall issue a new order, within six months after the 
announcement of the results of the referendum, that is identical to the 
order in effect on the date of the enactment of the Agricultural 
Reconciliation Act of 1995. The new order shall become effective upon 
issuance and shall not be subject to referendum for approval.''.

                CHAPTER 4--VERIFICATION OF MILK RECEIPTS

SEC. 1231. PROGRAM TO VERIFY RECEIPTS OF MILK.

    (a) Establishment of Verification Program.--Section 204 of the 
Agricultural Act of 1949 (7 U.S.C. 1446e), as amended by section 1201, 
is further amended by adding at the end the following new subsection:
    ``(k) Verification of Receipts of Milk.--
            ``(1) Verification program required.--The Secretary shall 
        establish a program through which the verification of receipts 
        of all cow's milk marketed in the 48 contiguous States and the 
        auditing of marketing agreements with respect to receipts of 
        such milk may be accomplished. The Secretary shall prescribe 
        regulations to establish the program required by this 
        subsection.
            ``(2) Administrative services.--The program shall provide a 
        means by which (A) processors, associations of producers, and 
        other persons engaged in the handling of milk and milk products 
        file reports with the Secretary regarding receipts of milk, 
        prices paid for milk, and the purposes for which milk was used 
        by handlers, (B) authorized deductions from payments to 
        producers, including assessments for research and promotion 
        programs, are collected, (C) assurance of proper payment by 
        handlers for milk purchased is achieved, and (D) the reports, 
        records, and facilities of handlers are reviewed and inspected 
        to assure their accuracy. The regulations shall provide for the 
        publication of statistics regarding receipts, prices, and uses 
        of milk. Statistics published by the Secretary shall include 
        information regarding payments received by producers for milk 
        on a component basis, including payments for milkfat, protein 
        and other solids. The Secretary shall collect an assessment 
        from handlers required to file reports under this paragraph to 
        cover any expenses associated with the collection and 
        publication of such statistics. Assessments shall be based on 
        the relative volume of receipts of milk by each handler and 
        shall not exceed the total cost of such expenses.
            ``(3) Marketing services.--The program shall further 
        provide a means by which the weighing, sampling, and testing of 
        milk purchased from producers is accomplished and verified. 
        This paragraph shall not apply to producers for whom such 
        marketing services are rendered by a cooperative marketing 
        association qualified under the provisions of the Act of 
        February 18, 1922 (7 U.S.C. 291-292), commonly known as the 
        `Co-operative Marketing Associations Act'. An assessment may be 
        levied on producers for whom such services are performed to 
        cover the expenses of the Secretary or the cooperative 
        marketing association providing the services. Assessments shall 
        be based on the relative marketings of milk by each producer 
        and shall not exceed the total cost of providing such services.
            ``(4) Marketing agreements.--Producers or associations of 
        producers, including cooperative marketing associations 
        qualified under the provisions of the Act of February 18, 1922 
        (7 U.S.C. 291-292), commonly known as the `Co-operative 
        Marketing Associations Act', may negotiate and enter into 
        marketing agreements or other private contracts with handlers 
        for the marketing and receipt of milk. Upon the request of 
        either or both of the parties, the Secretary may perform an 
        audit of the agreement or contract to assure compliance with 
        its terms, except that the Secretary shall be reimbursed for 
        any costs associated with the audit in the manner provided in 
        the agreement or contract. If there is no provision for the 
        reimbursement of the Secretary in the agreement or contract, 
        the party or parties requesting the audit shall provide such 
        reimbursement.
            ``(5) Prohibition on marketing limitations.--No marketing 
        agreement or Government order or regulation applicable to milk 
        and its products in any marketing area or jurisdiction shall 
        prohibit or in any manner limit the marketing in that area of 
        any milk or product of milk produced in any production area in 
        the United States.
            ``(6) Effect on existing marketing orders.--Effective July 
        1, 1996, the program established under this subsection shall 
        supersede any Federal marketing order issued under section 8c 
        of the Agricultural Adjustment Act (7 U.S.C. 608c), reenacted 
        with amendments by the Agricultural Marketing Agreement Act of 
        1937, with respect to milk or its products.''.
    (b) Time for Issuance.--Not later than July 1, 1996, the Secretary 
of Agriculture shall issue final regulations under subsection (k) of 
section 204 of the Agricultural Act of 1949, as added by this section, 
to establish the verification program required by such subsection. The 
regulations shall take effect on that date.
    (c) Process.--In preparation for the issuance of the regulations 
under subsection (k) of section 204 of the Agricultural Act of 1949, as 
added by this section, the Secretary shall comply with the following:
            (1) The Secretary shall issue proposed regulations not 
        later than April 1, 1996.
            (2) The Secretary shall provide for a comment period on the 
        regulations, as proposed under paragraph (1). However, the 
        comment period shall not exceed 60 days nor extend past May 31, 
        1996.

SEC. 1232. VERIFICATION PROGRAM TO SUPERSEDE MULTIPLE EXISTING FEDERAL 
              ORDERS.

    (a) Termination of Milk Marketing Orders.--Section 8c of the 
Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments 
by the Agricultural Marketing Agreement Act of 1937, is amended by 
striking paragraphs (5) and (18) relating to milk and its products.
    (b) Prohibition on Subsequent Orders Regarding Milk.--Paragraph (2) 
of such section is amended--
            (1) by striking ``Milk, fruits'' and inserting ``Fruits''; 
        and
            (2) by inserting ``milk,'' after ``honey,'' in subparagraph 
        (B).
    (c) Conforming Amendments.--(1) Section 2(3) of such Act (7 U.S.C. 
602(3) is amended by striking ``, other than milk and its products,''.
    (2) Section 8c of such Act (7 U.S.C. 608c) is amended--
            (A) in paragraph (6), by striking ``, other than milk and 
        its products,'';
            (B) in paragraph (7)(B), by striking ``(except for milk and 
        cream to be sold for consumption in fluid form)'';
            (C) in paragraph (11)(B), by striking ``Except in the case 
        of milk and its products, orders'' and inserting ``Orders'';
            (D) in paragraph (13)(A), by striking ``, except to a 
        retailer in his capacity as a retailer of milk and its 
        products''; and
            (E) in paragraph (17), by striking the second proviso, 
        which relates to milk orders.
    (3) Section 8d(2) of such Act (7 U.S.C. 608d(2)) is amended by 
striking the second sentence, which relates to information from milk 
handlers.
    (4) Section 10(b)(2) of such Act (7 U.S.C. 610(b)(2)) is amended--
            (A) by striking clause (i);
            (B) by redesignating clauses (ii) and (iii) as clauses (i) 
        and (ii), respectively; and
            (C) in clause (i) (as so redesignated), by striking ``other 
        commodity'' in the first sentence and inserting ``commodity''.
    (5) Section 11 of such Act (7 U.S.C. 611) is amended by striking 
``and milk, and its products,''.
    (6) Section 715 of the Agriculture, Rural Development, Food and 
Drug Administration, and Related Agencies Appropriations Act, 1994 
(Public Law 103-111; 107 Stat. 1079; 7 U.S.C. 608d note), is amended by 
striking the third proviso, which relates to information from milk 
handlers.
    (d) Effective Date.--The amendments made by this section shall take 
effect on July 1, 1996.

          CHAPTER 5--MISCELLANEOUS PROVISIONS RELATED TO DAIRY

SEC. 1241. EXTENSION OF TRANSFER AUTHORITY REGARDING MILITARY AND 
              VETERANS HOSPITALS.

    Subsections (a) and (b) of section 202 of the Agricultural Act of 
1949 (7 U.S.C. 1446a) are amended by striking ``1995'' both places it 
appears and inserting ``2002''.

SEC. 1242. EXTENSION OF DAIRY INDEMNITY PROGRAM.

    Section 3 of Public Law 90-484 (7 U.S.C. 450l) is amended by 
striking ``1995'' and inserting ``2002''.

SEC. 1243. EXTENSION OF REPORT REGARDING EXPORT SALES OF DAIRY 
              PRODUCTS.

    Section 1163(c) of the Food Security Act of 1985 is amended by 
striking ``1995'' and inserting ``2002''.

SEC. 1244. STATUS OF PRODUCER-HANDLERS.

    The legal status of producer-handlers of milk under the 
Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted with 
amendments by the Agricultural Marketing Agreement Act of 1937, shall 
be the same after the amendments made by this title take effect as it 
was before the effective date of the amendments.

                     Subtitle C--Other Commodities

SEC. 1301. EXTENSION AND MODIFICATION OF PRICE SUPPORT AND QUOTA 
              PROGRAMS FOR PEANUTS.

    (a) Extension of Price Support Program.--Section 108B of the 
Agricultural Act of 1949 (7 U.S.C. 1445c-3) is amended--
            (1) in the section heading, by striking ``1991 through 1997 
        crops of'';
            (2) in subsections (a)(1), (b)(1), and (h), by striking 
        ``1997'' each place it appears and inserting ``2002'';
            (3) in subsection (g)(1)--
                    (A) by striking ``1997 crops'' the first place it 
                appears and inserting ``2002 crops''; and
                    (B) by striking ``1997 crop'' both places it 
                appears and inserting ``1997 through 2002 crops''; and
            (4) in subsection (g)(2)(A)--
                    (A) by striking ``1997 crop'' in clause (i)(IV) and 
                inserting ``1997 through 2002 crops''; and
                    (B) by striking ``1997'' in clause (ii)(II) and 
                inserting ``2002''.
    (b) Changes to Price Support Program.--
            (1) Quota support rate.--
                    (A) Support rate for 1996 through 2002 crops.--
                Subsection (a)(2) of section 108B of the Agricultural 
                Act of 1949 (7 U.S.C. 1445c-3) is amended to read as 
                follows:
            ``(2) Support rate.--The national average quota support 
        rate for quota peanuts shall be equal to $610 per ton for each 
        of the 1996 through 2002 crops of quota peanuts.''.
                    (B) Effect of amendment on current crop.--The 
                national average quota support rate in effect under 
                section 108B(a)(2) of the Agricultural Act of 1949 (7 
                U.S.C. 1445c-3) on the day before the date of the 
                enactment of this Act shall continue to apply with 
                respect to the 1995 crop of quota peanuts.
            (2) Offers from handlers.--Subsection (a) of such section 
        is amended--
                    (A) by redesignating paragraphs (4) and (5) as 
                paragraphs (5) and (6), respectively; and
                    (B) by inserting after paragraph (3) the following 
                new paragraph:
            ``(4) Offers from handlers.--The Secretary shall reduce the 
        support rate by 15 percent for any producer on a farm who had 
        available to the producer an offer from a handler to purchase 
        quota peanuts from the farm at a price equal to or greater than 
        the applicable quota support rate.''.
            (3) Covering losses.--Subsection (d)(2) of such section is 
        amended to read as follows:
            ``(2) Quota loan pools.--Losses in quota area pools shall 
        be covered using the following sources in the following order 
        of priority:
                    ``(A) Transfers from additional loan pools.--The 
                proceeds due any producer from any pool shall be 
                reduced by the amount of any loss that is incurred with 
                respect to peanuts transferred from an additional loan 
                pool to a quota loan pool by such producer under 
                section 358-1(b)(8) of the Agricultural Adjustment Act 
                of 1938.
                    ``(B) Other producers in same pool.--Further losses 
                in an area quota pool shall be offset by reducing the 
                gain of any producer in such pool by the amount of pool 
                gains attributed to the same producer from the sale of 
                additional peanuts for domestic and export edible use.
                    ``(C) Use of marketing assessments.--The Secretary 
                shall use funds collected under subsection (g) (except 
                funds attributable to handlers) to offset further 
                losses in area quota pools. The Secretary shall 
                transfer to the Treasury those funds collected under 
                subsection (g) and available for use under this 
                paragraph that the Secretary determines are not 
                required to cover losses in area quota pools.
                    ``(D) Cross compliance.--Further losses in area 
                quota pools, other than losses incurred as a result of 
                transfers from additional loan pools to quota loan 
                pools under section 358-1(b)(8) of the Agricultural 
                Adjustment Act of 1938, shall be offset by any gains or 
                profits from quota pools in other production areas 
                (other than separate type pools established under 
                subsection (c)(2)(A) for Valencia peanuts produced in 
                New Mexico) in such manner as the Secretary shall by 
                regulation prescribe.
                    ``(E) Increased assessments.--If use of the 
                authorities provided in the preceding subparagraphs is 
                not sufficient to cover losses in an area quota pool, 
                the Secretary shall increase the marketing assessment 
                established under subsection (g) by such an amount as 
                the Secretary considers necessary to cover the losses. 
                The increased assessment shall apply only to quota 
                peanuts marketed in the production area covered by that 
                pool. Amounts collected under subsection (g) as a 
                result of the increased assessment shall be retained by 
                the Secretary to cover losses in that pool.''.
    (c) Extension of National Poundage Quota Program.--Part VI of 
subtitle B of title III of the Agricultural Adjustment Act of 1938 is 
amended--
            (1) in section 358-1 (7 U.S.C. 1358-1)--
                    (A) in the section heading, by striking ``1991 
                through 1997 crops of'';
                    (B) in subsection (a)(3), by striking ``1990'' and 
                inserting ``1990, for the 1991 through 1995 marketing 
                years, and 1995, for the 1996 through 2002 marketing 
                years'';
                    (C) in subsection (b)(1)(A)--
                            (i) by striking ``1997'' and inserting 
                        ``2002''; and
                            (ii) in clause (i), by inserting before the 
                        semicolon the following: ``, in the case of the 
                        1991 through 1995 marketing years, and the 1995 
                        marketing year, in the case of the 1996 through 
                        2002 marketing years''; and
                    (D) in subsections (b)(1)(B), (b)(2)(A), (b)(2)(C), 
                (b)(3)(A), and (f), by striking ``1997'' each place it 
                appears and inserting ``2002'';
            (2) in section 358b (7 U.S.C. 1358b)--
                    (A) in the section heading, by striking ``1991 
                through 1995 crops of''; and
                    (B) in subsection (c), by striking ``1995'' and 
                inserting ``2002'';
            (3) in section 358c(d) (7 U.S.C. 1358c(d)), by striking 
        ``1995'' and inserting ``2002''; and
            (4) in section 358e (7 U.S.C. 1359a)--
                    (A) in the section heading, by striking ``1991 
                through 1997'' and inserting ``certain''; and
                    (B) in subsection (i), by striking ``1997'' and 
                inserting ``2002''.
    (d) Prioritized Quota Reductions.--Section 358-1(b)(2)(C) of the 
Agricultural Adjustment Act of 1938 (7 U.S.C. 1358-1(b)(2)(C)) is 
amended--
            (1) by striking ``all the''; and
            (2) by adding at the end the following new sentence: 
        ``Rather than allocating the decrease among all the farms in a 
        State, the Secretary shall allocate the decrease among farms in 
        the following order of priority:
                            ``(i) Farms owned or controlled by 
                        municipalities, airport authorities, schools, 
                        colleges, refuges, and other public entities 
                        (not including universities for research 
                        purposes).
                            ``(ii) Farms for which the quota holder is 
                        not a producer and resides in another State.
                            ``(iii) Farms for which the quota holder, 
                        although a resident of the State, is not a 
                        producer.
                            ``(iv) Other farms described in the first 
                        sentence of this subparagraph.''.
    (e) Elimination of Quota Floor.--Section 358-1(a)(1) of the 
Agricultural Adjustment Act of 1938 (7 U.S.C. 1358-1(a)(1)) is amended 
by striking the second sentence.
    (f) Spring and Fall Transfers Within a State.--Section 358b(a)(1) 
of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1358b(a)(1)) is 
amended--
            (1) by striking ``any such lease'' in the matter preceding 
        the subparagraphs and inserting ``any such sale or lease''; and
            (2) by striking ``in the fall or after the normal planting 
        season--'' and subparagraphs (A) and (B) and inserting the 
        following: ``in the spring (or before the normal planting 
        season) or in the fall (or after the normal planting season) 
        with the owner or operator of a farm located within any county 
        in the same State. In the case of a fall transfer or a transfer 
        after the normal planting season, the transfer may be made only 
        if not less than 90 percent of the basic quota (the farm quota 
        exclusive of temporary quota transfers), plus any poundage 
        quota transferred to the farm under this subsection, has been 
        planted or considered planted on the farm from which the quota 
        is to be leased.''.
    (g) Transfers in Counties With Small Quotas.--Section 358b(a) of 
the Agricultural Adjustment Act of 1938 (7 U.S.C. 1358b(a)) is amended 
by adding at the end the following new paragraph:
            ``(4) Transfers in counties with small quotas.--
        Notwithstanding paragraphs (1) and (2), in the case of any 
        county for which the poundage quota allocated to the county was 
        less than 10,000 tons for the preceding year's crop, all or any 
        part of a farm poundage quota for a farm in that county may be 
        transferred by sale or lease or otherwise to a farm in any 
        other county in the same State.''.
    (h) Undermarketings.--
            (1) Elimination.--Subsection (b) of section 358-1 of the 
        Agricultural Adjustment Act of 1938 (7 U.S.C. 1358-1) is 
        amended by striking paragraphs (8) and (9).
            (2) Conforming amendments.--(A) Such subsection is further 
        amended--
                    (i) in paragraph (1)(B), by striking ``including--
                '' and clauses (i) and (ii) and inserting ``including 
                any increases resulting from the allocation of quotas 
                voluntarily released for 1 year under paragraph (7).''; 
                and
                    (ii) in paragraph (3)(B), by striking ``include--'' 
                and clauses (i) and (ii) and inserting ``include any 
                increase resulting from the allocation of quotas 
                voluntarily released for 1 year under paragraph (7).''.
            (B) Section 358b(a) of the Agricultural Adjustment Act of 
        1938 (7 U.S.C. 1358b(a)) is amended--
                    (i) in paragraph (1) (as amended by subsection 
                (f)), by striking ``(including any applicable under 
                marketings)'' both places it appears;
                    (ii) in paragraph (2), by striking ``(including any 
                applicable under marketings)''; and
                    (iii) in paragraph (3), by striking ``(including 
                any applicable undermarketings)''.
    (i) Limitation on Payments for Disaster Transfers.--Section 358-
1(b) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1358-1(b)), 
as amended by subsection (h), is further amended by adding at the end 
the following new paragraph:
            ``(8) Transfer of additional peanuts.--Additional peanuts 
        on a farm from which the quota poundage was not harvested and 
        marketed because of drought, flood, or any other natural 
        disaster, or any other condition beyond the control of the 
        producer, may be transferred to the quota loan pool for pricing 
        purposes on such basis as the Secretary shall by regulation 
        provide, except that the poundage of such peanuts so 
        transferred shall not exceed the difference in the total 
        peanuts meeting quality requirements for domestic edible use as 
        determined by the Secretary marketed from the farm and the 
        total farm poundage quota, excluding quota pounds transferred 
        to the farm in the fall. Peanuts transferred under this 
        paragraph shall be supported at a total of not more than 70 
        percent of the quota support rate for the marketing years in 
which such transfers occur and such transfers for a farm shall not 
exceed 25 percent of the total farm quota pounds, excluding pounds 
transferred in the fall.''.
    (j) Temporary Quota Allocation.--
            (1) Annual allocation.--Subsection (b)(2) of section 358-1 
        of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1358-1) is 
        amended--
                    (A) in subparagraph (A), by striking ``subparagraph 
                (B) and subject to''; and
                    (B) by striking subparagraph (B) and inserting the 
                following new subparagraph:
                    ``(B) Temporary quota allocation.--
                            ``(i) Allocation related to seed peanuts.--
                        Temporary allocation of quota pounds for the 
                        marketing year only in which the crop is 
                        planted shall be made to producers for each of 
                        the 1996 through 2002 marketing years as 
                        provided in this subparagraph. The temporary 
                        quota allocation shall be equal to the pounds 
                        of seed peanuts planted on the farm, as may be 
                        adjusted under regulations prescribed by the 
                        Secretary. The temporary allocation of quota 
                        pounds under this paragraph shall be in 
                        addition to the farm poundage quota otherwise 
                        established under this subsection and shall be 
                        credited for the applicable marketing year 
                        only, in total to the producer of the peanuts 
                        on the farm in a manner prescribed by the 
                        Secretary.
                            ``(ii) Effect of other requirements.--
                        Nothing in this section shall alter or change 
                        in any way the requirements regarding the use 
                        of quota and additional peanuts established by 
                        section 359a(b) of the Agricultural Adjustment 
                        Act of 1938 (7 U.S.C. 1359a(b)), as added by 
                        section 804 of the Food, Agriculture, 
                        Conservation, and Trade Act of 1990.''.
            (2) Conforming amendment.--Subsection (a)(1) of such 
        section is amended by striking ``domestic edible, seed,'' and 
        inserting ``domestic edible use''.
    (k) Suspension of Marketing Quotas and Acreage Allotments.--The 
following provisions of the Agricultural Adjustment Act of 1938 shall 
not apply to the 1996 through 2002 crops of peanuts:
            (1) Subsections (a) through (j) of section 358 (7 U.S.C. 
        1358).
            (2) Subsections (a) through (h) of section 358a (7 U.S.C. 
        1358a).
            (3) Subsections (a), (b), (d), and (e) of section 358d (7 
        U.S.C. 1359).
            (4) Part I of subtitle C of title III (7 U.S.C. 1361 et 
        seq.).
            (5) Section 371 (7 U.S.C. 1371).
    (l) Extension of Reporting and Recordkeeping Requirements.--Section 
373(a) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1373(a)) is 
amended by inserting after the first sentence the following new 
sentence: ``In the case of the 1996 through 2002 crops of peanuts, this 
subsection shall also apply to all producers engaged in the production 
of peanuts.''.
    (m) Suspension of Certain Price Support Provisions.--Section 101 of 
the Agricultural Act of 1949 (7 U.S.C. 1441) shall not apply to the 
1996 through 2002 crops of peanuts.

SEC. 1302. AVAILABILITY OF LOANS FOR PROCESSORS OF SUGARCANE AND SUGAR 
              BEETS.

    (a) Sugar Loans.--Section 206 of the Agricultural Act of 1949 (7 
U.S.C. 1446g) is amended to read as follows:

``SEC. 206. ASSURANCE OF ADEQUATE SUGAR SUPPLY.

    ``(a) Sugarcane Processor Loans.--For the 1996 through 2002 crops 
of domestically grown sugarcane, the Secretary shall make loans 
available to sugarcane processors on raw cane sugar processed from such 
crops. Subject to subsection (c), loans under this subsection shall be 
made at a rate equal to the rate provided under this section, as in 
effect on the day before the date of the enactment of the Agricultural 
Reconciliation Act of 1995, for raw cane sugar produced from the 1995 
crop of domestically grown sugarcane.
    ``(b) Sugar Beets.--For the 1996 through 2002 crops of domestically 
grown sugar beets, the Secretary shall make loans available to sugar 
beet processors on refined beet sugar processed from such crops. 
Subject to subsection (c), loans under this subsection shall be made at 
a rate equal to the rate provided under this section, as in effect on 
the day before the date of the enactment of the Agricultural 
Reconciliation Act of 1995, for refined beet sugar produced from the 
1995 crop of domestically grown sugar beets.
    ``(c) Reduction in Loan Rates.--
            ``(1) Reduction required.--The Secretary shall reduce the 
        loan rate specified in subsection (a) for domestically grown 
        sugarcane and subsection (b) for domestically grown sugar beets 
        if the Secretary determines that negotiated reductions in 
        export subsidies and domestic subsidies provided for sugar of 
        the European Union and other major sugar growing, producing, 
        and exporting countries in the aggregate exceed the commitments 
        made as part of the Agreement on Agriculture.
            ``(2) Extent of reduction.--The Secretary shall not reduce 
        the loan rate under subsection (a) or (b) below a rate that 
        provides an equal measure of support to that provided by the 
        European Union and other major sugar growing, producing, and 
        exporting countries, based on an examination of both domestic 
        and export subsidies subject to reduction in the Agreement on 
        Agriculture.
            ``(3) Announcement of reduction.--The Secretary shall 
        announce any loan rate reduction to be made under this 
        subsection as far in advance as is practicable.
            ``(4) Major sugar countries defined.--For purposes of this 
        subsection, the term `major sugar growing, producing, and 
        exporting countries' means--
                    ``(A) the countries of the European Union; and
                    ``(B) the ten foreign countries not covered by 
                subparagraph (A) that the Secretary determines produce 
                the greatest amount of sugar.
            ``(5) Agreement on agriculture defined.--For purposes of 
        this subsection and subsection (d), the term `Agreement on 
        Agriculture' means the Agreement on Agriculture referred to in 
        section 101(d)(2) of the Uruguay Round Agreements Act (19 
        U.S.C. 3511(d)(2)).
    ``(d) Loan Type; Processor Assurances.--
            ``(1) Recourse loans.--Subject to paragraph (2), the 
        Secretary shall carry out this section through the use of 
        recourse loans.
            ``(2) Switch to nonrecourse loans.--
                    ``(A) In general.--During any fiscal year in which 
                the tariff rate quota for imports of sugar into the 
                United States is set at, or is increased to, a level 
                that exceeds the loan modification threshold, the 
                Secretary shall carry out this section by making 
                available nonrecourse loans. Any recourse loan 
                previously made available by the Secretary under this 
                section during such fiscal year shall be modified by 
                the Secretary into a nonrecourse loan.
                    ``(B) Loan modification threshold defined.--For the 
                purposes of this subsection, the term `loan 
                modification threshold' means--
                            ``(i) for fiscal years 1996 and 1997, 
                        1,257,000 short tons raw value; and
                            ``(ii) for fiscal years after fiscal year 
                        1997, 103 percent of the loan modification 
                        threshold for the previous fiscal year.
            ``(3) Processor assurances.--If the Secretary is required 
        under paragraph (2) to make nonrecourse loans available during 
        a fiscal year or to modify recourse loans into nonrecourse 
        loans, the Secretary shall obtain from each processor that 
        receives a loan under this section such assurances as the 
        Secretary considers adequate that the processor will provide an 
        appropriate minimum payment for sugar beets and sugarcane 
        delivered by producers served by the processor. The Secretary 
        may establish appropriate minimum payments for purposes of this 
        paragraph.
            ``(4) Announcement of threshold.--As soon as practicable, 
        but not later than September 1 of each fiscal year, the 
        Secretary shall announce the loan modification threshold that 
        shall apply under paragraph (2) for the subsequent fiscal year.
    ``(e) Length of Loans.--Each loan made under this section shall be 
for a term of three months, and may be extended for additional three-
month terms, except that--
            ``(1) no loan may have a cumulative term in excess of nine 
        months or a term that extends beyond September 30 of the fiscal 
        year in which the loan is made; and
            ``(2) a processor may terminate a loan and redeem the 
        collateral for the loan at any time by payment in full of 
        principal, interest, and fees then owing.
    ``(f) Use of Commodity Credit Corporation.--The Secretary shall use 
the funds, facilities, and authorities of the Commodity Credit 
Corporation to carry out this section.
    ``(g) Marketing Assessment.--
            ``(1) Sugarcane.--Effective only for marketings of raw cane 
        sugar during fiscal years 1996 through 2003, the first 
        processor of sugarcane shall remit to the Commodity Credit 
        Corporation a nonrefundable marketing assessment for each pound 
        of raw cane sugar, processed by the processor from domestically 
        produced sugarcane or sugarcane molasses, that has been 
        marketed. The assessment rate per pound is equal to 1.5 percent 
        of the loan rate for raw cane sugar under this section.
            ``(2) Sugar beets.--Effective only for marketings of beet 
        sugar during fiscal years 1996 through 2003, the first 
        processor of sugar beets shall remit to the Commodity Credit 
        Corporation a nonrefundable marketing assessment for each pound 
        of beet sugar, processed by the processor from domestically 
        produced sugar beets or sugar beet molasses, that has been 
        marketed. The assessment rate per pound is equal to 1.6083 
        percent of the loan rate for raw cane sugar under this section.
            ``(3) Collection.--
                    ``(A) Timing.--Marketing assessments required under 
                this subsection shall be collected on a monthly basis 
                and shall be remitted to the Commodity Credit 
                Corporation within 30 days after the end of each month. 
                Any cane sugar or beet sugar processed during a fiscal 
                year that has not been marketed by September 30 of that 
                year shall be subject to assessment on that date. The 
                sugar shall not be subject to a second assessment at 
                the time that it is marketed.
                    ``(B) Manner.--Subject to subparagraph (A), 
                marketing assessments shall be collected under this 
                subsection in the manner prescribed by the Secretary 
                and shall be nonrefundable.
            ``(4) Penalties.--If any person fails to remit the 
        assessment required by this subsection or fails to comply with 
        such requirements for recordkeeping or otherwise as are 
        required by the Secretary to carry out this subsection, the 
        person shall be liable to the Secretary for a civil penalty up 
        to an amount determined by multiplying--
                    ``(A) the quantity of cane sugar or beet sugar 
                involved in the violation; by
                    ``(B) the loan rate in effect at the time of the 
                violation.
            ``(5) Enforcement.--The Secretary may enforce this 
        subsection in the courts of the United States.
            ``(6) Definition of market.--For purposes of this 
        subsection, the term `market' means to sell or otherwise 
        dispose of in commerce in the United States (including, with 
        respect to any integrated processor and refiner, the movement 
        of raw cane sugar into the refining process) and to deliver to 
        a buyer.
    ``(h) Information Reporting.--
            ``(1) Duty of processors and refiners to report.--All 
        sugarcane processors, cane sugar refiners, and sugar beet 
        processors shall furnish the Secretary, on a monthly basis, 
        such information as the Secretary may require to administer 
        sugar programs, including the quantity of purchases of 
        sugarcane, sugar beets, and sugar, and production, importation, 
        distribution, and stock levels of sugar.
            ``(2) Duty of producers to report.--In order to efficiently 
        and effectively carry out the program under this section, the 
        Secretary may require a producer of sugarcane or sugar beets to 
        report, in the manner prescribed by the Secretary, the 
        producer's sugarcane or sugar beet yields and acres planted to 
        sugarcane or sugar beets, respectively.
            ``(3) Penalty.--Any person willfully failing or refusing to 
        furnish the information, or furnishing willfully any false 
        information, shall be subject to a civil penalty of not more 
        than $10,000 for each such violation.
            ``(4) Monthly reports.--Taking into consideration the 
        information received under paragraph (1), the Secretary shall 
        publish on a monthly basis composite data on production, 
        imports, distribution, and stock levels of sugar.
    ``(i) Sugar Estimates.--
            ``(1) Domestic requirement.--Before the beginning of each 
        fiscal year, the Secretary shall estimate the United States 
        demand for sugar for that fiscal year, which shall be equal 
        to--
                    ``(A) the quantity of sugar, that will be consumed 
                in the United States during the fiscal year (other than 
                sugar imported for the production of polyhydric alcohol 
                or to be refined and reexported in refined form or in 
                sugar containing products); plus
                    ``(B) the quantity of sugar that would provide for 
                adequate carryover stocks; minus
                    ``(C) the quantity of sugar that will be available 
                from carry-in stocks.
            ``(2) Quarterly reestimates.--The Secretary shall make 
        quarterly reestimates of sugar consumption, stocks, production, 
        and imports for a fiscal year no later than the beginning of 
        each of the second through fourth quarters of the fiscal year.
    ``(j) Regulations.--The Secretary shall issue such regulations as 
the Secretary determines necessary to carry out this section.''.
    (b) Effect on Existing Loans for Sugar.--Section 206 of the 
Agricultural Act of 1949 (7 U.S.C. 1446g), as in effect on the day 
before the date of the enactment of this Act, shall continue to apply 
with respect to the 1991 through 1995 crops of sugarcane and sugar 
beets.
    (c) Termination of Marketing Quotas and Allotments.--
            (1) Termination.--Part VII of subtitle B of title III of 
        the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa-
        1359jj) is repealed.
            (2) Conforming amendment.--Section 344(f)(2) of such Act (7 
        U.S.C. 1344(f)(2)) is amended by striking ``sugar cane for 
        sugar; sugar beets for sugar;''.

SEC. 1303. REPEAL OF OBSOLETE AUTHORITY FOR PRICE SUPPORT FOR 
              COTTONSEED AND COTTONSEED PRODUCTS.

    (a) Repeal.--Section 301(b) of the Disaster Assistance Act of 1988 
(7 U.S.C. 1464 note) is amended by striking paragraph (1).
    (b) Conforming Repeal.--Section 420 of the Agricultural Act of 1949 
(7 U.S.C. 1432) is repealed.

               Subtitle D--Miscellaneous Program Changes

SEC. 1401. LIMITATIONS ON ASSISTANCE UNDER EMERGENCY LIVESTOCK FEED 
              ASSISTANCE PROGRAM.

    Section 609 of the Emergency Livestock Feed Assistance Act of 1988 
(7 U.S.C. 1471g) is amended by striking subsections (c) and (d) and 
inserting the following new subsection:
    ``(c) No person may receive benefits under this title attributable 
to lost production of a feed commodity due to a natural disaster if 
crop insurance protection or noninsured crop disaster assistance for 
the loss of feed produced on the farm is available to the person under 
the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).''.

SEC. 1402. CONSERVATION RESERVE PROGRAM.

    (a) Limitations on Acreage Enrollments.--
            (1) Limitation.--Section 1231(d) of the Food Security Act 
        of 1985 (16 U.S.C. 3831(d)) is amended by striking ``38,000,000 
        acres'' and inserting ``36,400,000 acres''.
            (2) Prohibition on 1997 increase.--Section 727 of the 
        Agriculture, Rural Development, Food and Drug Administration, 
        and Related Agencies Appropriations Act, 1996, is amended by 
        striking the proviso relating to enrollment of new acres in 
        1997.
    (b) Optional Contract Termination by Producers.--Section 1235 of 
such Act (16 U.S.C. 3835), is amended by adding at the end the 
following new subsection:
    ``(e) Termination by Owner or Operator.--
            ``(1) Notice of termination.--An owner or operator of land 
        subject to a contract entered into under this subchapter may 
        terminate the contract by submitting to the Secretary written 
        notice of the intention of the owner or operator to terminate 
        the contract.
            ``(2) Effective date.--The contract termination shall take 
        effect 60 days after the date on which the owner or operator 
        submits the written notice under paragraph (1).
            ``(3) Pro-rated rental payment.--If a contract entered into 
        under this subchapter is terminated under this subsection 
        before the end of the fiscal year for which a rental payment is 
        due, the Secretary shall provide a prorated rental payment 
        covering the portion of the fiscal year during which the 
        contract was in effect.
            ``(4) Renewed enrollment.--The termination of a contract 
        entered into under this subchapter shall not affect the ability 
        of the owner or operator who requested such termination to 
        submit a subsequent bid to enroll the land that was subject to 
        the contract into the conservation reserve.
            ``(5) Conservation requirements.--If land that was subject 
        to a contract is returned to production of an agricultural 
        commodity, the Secretary may impose conservation requirements 
        under subtitle A on the use of the land that are similar to the 
        requirements imposed on other lands subject to such subtitle, 
        but in no case shall such requirements be more onerous that the 
        requirements imposed on other lands.''.
    (c) Limitation on Rental Rates.--Section 1234(c) of such Act (16 
U.S.C. 3834) is amended by adding at the end the following new 
paragraph:
    ``(5) In the case of the extension of a contract, or a new contract 
covering land which was previously enrolled in the conservation 
reserve, annual rental payments under the new or extended contract may 
not exceed 75 percent of the annual rental payment under the previous 
contract.''.

SEC. 1403. CROP INSURANCE.

    (a) Conversion of Catastrophic Risk Protection Program to Voluntary 
Program.--Subsection (b)(7) of section 508 of the Federal Crop 
Insurance Act (7 U.S.C. 1508) is amended--
            (1) by redesignating subparagraph (B) as subparagraph (C); 
        and
            (2) by inserting after subparagraph (A) the following new 
        subparagraph:
                    ``(B) Exception to mandatory participation 
                requirement.--Notwithstanding subparagraph (A), a 
                producer may decline to obtain catastrophic risk 
                protection beginning with spring-planted 1996 crops and 
                in any subsequent crop year, yet remain eligible for 
                any market transition contract or marketing assistance 
                loan, the conservation reserve program, or any benefit 
                described in section 371 of the Consolidated Farm and 
                Rural Development Act, if the producer agrees in 
                writing to waive any eligibility for emergency crop 
                loss assistance in connection with losses to any crop 
                for which the producer declines to obtain catastrophic 
                risk protection.''.
    (b) Delivery of Voluntary Catastrophic Protection.--Subsection 
(b)(4) of such section is amended by adding at the end the following 
new subparagraphs:
                    ``(C) Elimination of secretarial option.--For crop 
                years beginning after the implementation of the 
                exception under paragraph (7)(B) to the mandatory 
                participation requirement, the option for delivery of 
                catastrophic risk protection provided in subparagraph 
                (A)(ii) shall not be available to the Secretary. All 
                risk protection policies written by the Department 
                prior to that date shall be transferred, including all 
                fees collected for the crop year in which the private 
                sector will assume the policies, in an orderly manner 
                to the private sector for performance of all service 
                and loss adjustment functions.
                    ``(D) Guarantee of private sector service.--In full 
                consultation and cooperation with approved insurance 
                providers, the Corporation shall develop a plan to 
                ensure that each producer of an insured crop has the 
                opportunity to be serviced by an approved insurance 
                provider if insurance is available for that crop in 
                that county. Not later than May 1, 1996, the 
                Corporation shall submit to the Committee on 
                Agriculture of the House of Representatives and the 
                Committee on Agriculture, Nutrition, and Forestry of 
                the Senate the plan in the form it is to be implemented 
                by the Secretary.''.
    (c) Establishment of the Office of Risk Management.--
            (1) Establishment.--The Department of Agriculture 
        Reorganization Act of 1994 is amended by inserting after 
        section 226 (7 U.S.C. 6932) the following new section:

``SEC. 226A. OFFICE OF RISK MANAGEMENT.

    ``(a) Establishment.--Subject to subsection (e), the Secretary 
shall establish and maintain in the Department an independent Office of 
Risk Management.
    ``(b) Functions of the Office of Risk Management.--The Office of 
Risk Management shall have jurisdiction over the following functions:
            ``(1) Supervision of the Federal Crop Insurance 
        Corporation.
            ``(2) Administration and oversight of all aspects, 
        including delivery through local offices of the Department, of 
        all programs authorized under the Federal Crop Insurance Act (7 
        U.S.C. 1501 et seq.).
            ``(3) Any pilot or other programs involving revenue 
        insurance, risk management savings accounts, or the use of the 
        futures market to manage risk and support farm income that may 
        be established under the Federal Crop Insurance Act or other 
        law.
            ``(4) Such other functions as the Secretary considers 
        appropriate.
    ``(c) Administrator.--
            ``(1) The Office of Risk Management shall be headed by an 
        Administrator who shall be appointed by the Secretary.
            ``(2) The Administrator of the Office of Risk Management 
        shall also serve as Manager of the Federal Crop Insurance 
        Corporation.
    ``(d) Resources.--
            ``(1) Functional coordination.--Certain functions of the 
        Office of Risk Management, such as human resources, public 
        affairs, and legislative affairs, may be provided by a 
        consolidation of such functions under the Under Secretary of 
        Agriculture for Farm and Foreign Agricultural Services.
            ``(2) Minimum provisions.--Notwithstanding paragraph (1) or 
        any other provision of law or order of the Secretary, the 
        Secretary shall provide the Office of Risk Management with 
        human and capital resources sufficient for the Office to carry 
out its functions in a timely and efficient manner.
            ``(3) Fiscal year 1996 funding.--Not less than $88,500,000 
        of the appropriation provided for the salaries and expenses of 
        the Consolidated Farm Services Agency in the Agricultural, 
        Rural Development, Food and Drug Administration, and Related 
        Agencies Appropriations Act, 1996 shall be provided to the 
        Office of Risk Management for the salaries and expenses of the 
        Office.''.
            (2) Conforming amendment.--Section 226(b) of such Act (7 
        U.S.C. 6932(b)) is amended by striking paragraph (2).
    (d) Reconfiguration of Board of Directors.--Section 505 of the 
Federal Crop Insurance Act (7 U.S.C. 1505) is amended to read as 
follows:

``SEC. 505. BOARD OF DIRECTORS.

    ``(a) Authority.--The management of the Corporation shall be vested 
in a Board of Directors subject to the general supervision of the 
Secretary.
    ``(b) Membership.--
            ``(1) In general.--The Board shall consist of the Manager 
        of the Corporation, the Under Secretary of Agriculture for Farm 
        and Foreign Agricultural Services, one person who is an officer 
        or employee of an approved insurance provider, one person who 
        is a licensed crop insurance agent, one person experienced in 
        the reinsurance business who is not otherwise employed by the 
        Federal Government, and four active producers who are not 
        otherwise employed by the Federal Government. The Secretary 
        shall not be a member of the Board.
            ``(2) Producer members.--In appointing the four active 
        producers who are not otherwise employed by the Federal 
        Government, the Secretary shall ensure that three such members 
        are policyholders and are from different geographic areas of 
        the United States, in order that diverse agricultural interests 
        in the United States are at all times represented on the Board. 
        The Secretary shall ensure that the fourth active producer, who 
        may also be a policyholder, receives a significant portion of 
        crop income from crops covered by the noninsured crop disaster 
        assistance program established under section 519.
    ``(c) Appointment.--
            ``(1) Manager.--The Administrator of the Office of Risk 
        Management appointed by the Secretary under section 226A(c) of 
        the Department of Agriculture Reorganization Act of 1994 shall 
        serve as Manager of the Corporation.
            ``(2) Terms of other members.--Other than the Manager of 
        the Corporation and the Under Secretary of Agriculture for Farm 
        and Foreign Agricultural Services, the members of the Board 
        shall be appointed by the Secretary for a term of three years. 
        However, in the initial appointment of such members, the 
        Secretary shall appoint two members for one year, two members 
        for two years, and two members for three years in order to 
        provide greater continuity to the Board.
            ``(3) Succession.--A member of the Board appointed under 
        paragraph (2) may serve after the expiration of the term of 
        office of such member until the successor for such member has 
        taken office.
    ``(d) Quorum.--Five of the members in office shall constitute a 
quorum for the transaction of the business of the Board.
    ``(e) Impairment of Powers.--The powers of the Board to execute the 
functions of the Corporation shall be impaired at any time there are 
not six members of the Board in office. Any impairment of the powers of 
the Board shall also serve to impair the powers of the Manager to act 
under any delegation of power provided under subsection (g).
    ``(f) Compensation.--
            ``(1) Employees of the department.--The members of the 
        Board who are employed in the Department shall receive no 
        additional compensation for their services as members, but may 
        be allowed necessary traveling and subsistence expenses when 
        engaged in business of the Corporation outside of the District 
        of Columbia.
            ``(2) Nonemployees of the federal government.--The members 
        of the Board who are not employed by the Federal Government 
        shall be paid such compensation for their services as members 
        as the Secretary shall determine, but such compensation shall 
        not exceed the daily equivalent of the rate prescribed for 
        positions a level V of the Executive Schedule under section 
        5316 of title 5, United States Code, when actually employed. 
        Such members may also receive actual necessary traveling and 
        subsistence expenses, or a per diem allowance in lieu of 
        subsistence expenses, as authorized by section 5703 of such 
        title for persons in Government service employed 
        intermittently, when on the business of the Corporation away 
        from their homes or regular places of business. Any such 
        compensation shall be paid from the insurance fund established 
        under section 516(c).
    ``(g) Chief Executive Officer.--The Manager of the Corporation 
shall be its chief executive officer, with such power and authority as 
may be conferred by the Board.''.

SEC. 1404. REPEAL OF FARMER OWNED RESERVE PROGRAM.

    (a) Repeal.--Section 110 of the Agricultural Act of 1949 (7 U.S.C. 
1445e) is repealed.
    (b) Effect of Repeal on Existing Loans.--The repeal of section 110 
of the Agricultural Act of 1949 by subsection (a) shall not affect the 
validity or terms and conditions of any extended price support loan 
provided under such section before the date of the enactment of this 
Act.

SEC. 1405. REDUCTION IN FUNDING LEVELS FOR EXPORT ENHANCEMENT PROGRAM.

    Section 301(e) of the Agricultural Trade Act of 1978 (7 U.S.C. 
5651(e)) is amended by striking paragraph (1) and inserting the 
following new paragraph:
            ``(1) In general.--To carry out the program established 
        under this section, the Commodity Credit Corporation shall make 
        available--
                    ``(A) for each of the fiscal years 1991 through 
                1995, not more than $500,000,000 of the funds or 
                commodities of the Commodity Credit Corporation;
                    ``(B) for each of the fiscal years 1996 and 1997, 
                not more than $400,000,000 of the funds or commodities 
                of the Commodity Credit Corporation;
                    ``(C) for fiscal year 1998, not more than 
                $500,000,000 of the funds or commodities of the 
                Commodity Credit Corporation;
                    ``(D) for fiscal year 1999, not more than 
                $550,000,000 of the funds or commodities of the 
                Commodity Credit Corporation;
                    ``(E) for fiscal year 2000, not more than 
                $579,000,000 of the funds or commodities of the 
                Commodity Credit Corporation; and
                    ``(F) for each of the fiscal years 2001 and 2002, 
                not more than $478,000,000 of the funds or commodities 
                of the Commodity Credit Corporation.''.

SEC. 1406. BUSINESS INTERRUPTION INSURANCE PROGRAM.

    (a) Establishment of Program.--Not later than December 31, 1996, 
the Secretary of Agriculture shall implement a program (to be known as 
the ``Business Interruption Insurance Program''), under which the 
producer of a program crop could elect to obtain revenue insurance 
coverage to ensure that the producer receives an indemnity payment if 
the producer suffers a loss of revenue. The nature and extent of the 
program and the manner of determining the amount of an indemnity 
payment shall be established by the Secretary.
    (b) Report on Progress and Proposed Expansion.--Not later than 
January 1, 1998, the Secretary shall submit to the Commission on the 
21st Century Production Agriculture the data and results of the program 
through October 1, 1997. In addition, the Secretary shall submit 
information and recommendations to the Commission with respect to the 
program that will serve as the basis for the Secretary to offer revenue 
insurance to agricultural producers, at one or more levels of coverage, 
that--
            (1) is in addition to, or in lieu of, catastrophic and 
        higher levels of crop insurance;
            (2) is offered through reinsurance arrangements with 
        private insurance companies;
            (3) is actuarially sound; and
            (4) requires the payment of premiums and administrative 
        fees by participating producers.
    (c) Program Crop Defined.--For purposes of this section, the term 
``program crop'' means a crop of wheat, corn, grain sorghums, oats, 
barley, upland cotton, or rice.

     Subtitle E--Commission on 21st Century Production Agriculture

SEC. 1501. ESTABLISHMENT.

    There is hereby established a commission to be known as the 
``Commission on 21st Century Production Agriculture'' (hereinafter in 
this title referred to as the ``Commission'').

SEC. 1502. COMPOSITION.

    (a) Membership and Appointment.--The Commission shall be composed 
of 11 members, appointed as follows:
            (1) Three members shall be appointed by the President.
            (2) Four members shall be appointed by the Chairman of the 
        Committee on Agriculture of the House of Representatives in 
        consultation with the ranking minority member of the Committee.
            (3) Four members shall be appointed by the Chairman of the 
        Committee on Agriculture, Nutrition, and Forestry of the Senate 
        in consultation with the ranking minority member of the 
        Committee.
    (b) Qualifications.--At least one of the members appointed under 
each of the paragraphs (1), (2), and (3) of subsection (a) shall be an 
individual who is primarily involved in production agriculture. All 
other members of the Commission shall be appointed from among 
individuals having knowledge and experience in agricultural production, 
marketing, finance, or trade.
    (c) Term of Members; Vacancies.--Members of the Commission shall be 
appointed for the life of the Commission. A vacancy on the Commission 
shall not affect its powers, but shall be filled in the same manner as 
the original appointment was made.
    (d) Time for Appointment; First Meeting.--The members of the 
Commission shall be appointed not later than October 1, 1997. The 
Commission shall convene its first meeting to carry out its duties 
under this title 30 days after six members of the Commission have been 
appointed.
    (e) Chairman.--The chairman of the Commission shall be designated 
jointly by the Chairman of the Committee on Agriculture of the House of 
Representatives and the Chairman of the Committee on Agriculture, 
Nutrition, and Forestry of the Senate from among the members of the 
Commission.

SEC. 1503. COMPREHENSIVE REVIEW OF PAST AND FUTURE OF PRODUCTION 
              AGRICULTURE.

    (a) Initial Review.--The Commission shall conduct a comprehensive 
review of changes in the condition of production agriculture in the 
United States since the date of the enactment of this Act and the 
extent to which such changes are the result of the amendments made by 
this Act. The review shall include the following:
            (1) An assessment of the initial success of market 
        transition contracts under section 102 of the Agricultural Act 
        of 1949 in supporting the economic viability of farming in the 
        United States.
            (2) An assessment of the food security situation in the 
        United States in the areas of trade, consumer prices, 
        international competitiveness of United States production 
        agriculture, food supplies, and humanitarian relief.
            (3) An assessment of the changes in farmland values and 
        agricultural producer incomes since the date of the enactment 
        of this Act.
            (4) An assessment of the extent to which regulatory relief 
        for agricultural producers has been enacted and implemented, 
        including the application of cost/benefit principles in the 
        issuance of agricultural regulations.
            (5) An assessment of the extent to which tax relief for 
        agricultural producers has been enacted in the form of capital 
        gains tax reductions, estate tax exemptions, and mechanisms to 
        average tax loads over high and low income years.
            (6) An assessment of the effect of any Government 
        interference in agricultural export markets, such as the 
        imposition of trade embargoes, and the degree of implementation 
        and success of international trade agreements.
            (7) An assessment of the likely affect of the sale, lease, 
        or transfer of farm poundage quota for peanuts across State 
        lines.
    (b) Subsequent Review.--The Commission shall conduct a 
comprehensive review of the future of production agriculture in the 
United States and the appropriate role of the Federal Government in 
support of production agriculture. The review shall include the 
following:
            (1) An assessment of changes in the condition of production 
        agriculture in the United States since the initial review 
        conducted under subsection (a).
            (2) Identification of the appropriate future relationship 
        of the Federal Government with production agriculture after 
        2002.
            (3) An assessment of the personnel and infrastructure 
        requirements of the Department of Agriculture necessary to 
        support the future relationship of the Federal Government with 
        production agriculture.
    (c) Recommendations.--In carrying out the subsequent review under 
subsection (b), the Commission shall develop specific recommendations 
for legislation to achieve the appropriate future relationship of the 
Federal Government with production agriculture identified under 
subsection (a)(2).

SEC. 1504. REPORTS.

    (a) Report on Initial Review.--Not later than June 1, 1998, the 
Commission shall submit to the President, the Committee on Agriculture 
of the House of Representatives, and the Committee on Agriculture, 
Nutrition, and Forestry of the Senate a report containing the results 
of the initial review conducted under section 1503(a).
    (b) Report on Subsequent Review.--Not later than January 1, 2001, 
the Commission shall submit to the President and the congressional 
committees specified in subsection (a) a report containing the results 
of the subsequent review conducted under section 1503(b).

SEC. 1505. POWERS.

    (a) Hearings.--The Commission may, for the purpose of carrying out 
this title, conduct such hearings, sit and act at such times, take such 
testimony, and receive such evidence, as the Commission considers 
appropriate.
    (b) Assistance From Other Agencies.--The Commission may secure 
directly from any department or agency of the Federal Government such 
information as may be necessary for the Commission to carry out its 
duties under this title. Upon request of the chairman of the 
Commission, the head of the department or agency shall, to the extent 
permitted by law, furnish such information to the Commission.
    (c) Mail.--The Commission may use the United States mails in the 
same manner and under the same conditions as the departments and 
agencies of the Federal Government.
    (d) Assistance From Secretary.--The Secretary of Agriculture shall 
provide to the Commission appropriate office space and such reasonable 
administrative and support services as the Commission may request.

SEC. 1506. COMMISSION PROCEDURES.

    (a) Meetings.--The Commission shall meet on a regular basis (as 
determined by the chairman) and at the call of the chairman or a 
majority of its members.
    (b) Quorum.--A majority of the members of the Commission shall 
constitute a quorum for the transaction of business.

SEC. 1507. PERSONNEL MATTERS.

    (a) Compensation.--Each member of the Commission shall serve 
without compensation, but shall be allowed travel expenses including 
per diem in lieu of subsistence, as authorized by section 5703 of title 
5, United States Code, when engaged in the performance of Commission 
duties.
    (b) Staff.--The Commission shall appoint a staff director, who 
shall be paid at a rate not to exceed the maximum rate of basic pay 
under section 5376 of title 5, United States Code, and such 
professional and clerical personnel as may be reasonable and necessary 
to enable the Commission to carry out its duties under this title 
without regard to the provisions of title 5, United States Code, 
governing appointments in the competitive service, and without regard 
to the provisions of chapter 51 and subchapter III of chapter 53 of 
such title, or any other provision of law, relating to the number, 
classification, and General Schedule rates. No employee appointed under 
this subsection (other than the staff director) may be compensated at a 
rate to exceed the maximum rate applicable to level GS-15 of the 
General Schedule.
    (c) Detailed Personnel.--Upon request of the chairman of the 
Commission, the head of any department or agency of the Federal 
Government is authorized to detail, without reimbursement, any 
personnel of such department or agency to the Commission to assist the 
Commission in carrying out its duties under this section. The detail of 
any such personnel may not result in the interruption or loss of civil 
service status or privilege of such personnel.

SEC. 1508. TERMINATION OF COMMISSION.

    The Commission shall terminate upon submission of the final report 
required by section 1504.

         TITLE II--COMMITTEE ON BANKING AND FINANCIAL SERVICES

SEC. 2001. TABLE OF CONTENTS.

    The table of contents for this title is as follows:

                     Subtitle A--Housing Provisions

Sec. 2101. Termination of RTC and FDIC affordable housing programs.
Sec. 2102. Foreclosure avoidance and borrower assistance.
Sec. 2103. Reform of HUD-owned multifamily property disposition 
                            program.
Sec. 2104. Recapture of rural housing loan subsidies by Rural Housing 
                            and Community Development Service.
Sec. 2105. Reduction of section 8 annual adjustment factors for units 
                            without tenant turnover.
                 Subtitle B--Thrift Charter Conversion

Sec. 2200. Short title.
 Chapter 1--Bank Insurance Fund and Savings Association Insurance Fund

Sec. 2201. Special assessment.
Sec. 2202. Assessments on insured depository institutions.
Sec. 2203. Merger of Bank Insurance Fund and Savings Association 
                            Insurance Fund after recapitalization of 
                            SAIF.
Sec. 2204. Refund of amounts in deposit insurance fund in excess of 
                            designated reserve amount.
Sec. 2205. Assessments authorized only if needed to maintain the 
                            reserve ratio of a deposit insurance fund.
          Chapter 2--Status of Banks and Savings Associations

Sec. 2221. Termination of Federal savings associations; treatment of 
                            State savings associations as banks for 
                            purposes of Federal banking law.
Sec. 2222. Treatment of certain activities and affiliations of bank 
                            holding companies resulting from this Act.
Sec. 2223. Transition provisions for activities of savings associations 
                            which convert into or become treated as 
                            banks.
Sec. 2224. Registration of bank holding companies resulting from 
                            conversions of savings associations to 
                            banks or treatment of savings associations 
                            as banks.
Sec. 2225. Additional transition provisions and special rules.
Sec. 2226. Technical and conforming amendments.
Sec. 2227. References to savings associations and State banks in 
                            Federal law.
Sec. 2228. Repeal of Home Owners' Loan Act.
Sec. 2229. Effective date; definitions.
       Chapter 3--Transfer of Functions, Personnel, and Property

Sec. 2241. Office of Thrift Supervision abolished.
Sec. 2242. Determination of transferred functions and employees.
Sec. 2243. Savings provisions.
Sec. 2244. References in Federal law to Director of the Office of 
                            Thrift Supervision.
Sec. 2245. Reconfiguration of board of directors of FDIC as a result of 
                            removal of Director of the Office of Thrift 
                            Supervision.
           Subtitle C--Community Reinvestment Act Amendments

Sec. 2301. Expression of congressional intent.
Sec. 2302. Community Reinvestment Act exemption.
Sec. 2303. Self-certification of CRA compliance.
Sec. 2304. Community input and conclusive rating.
Sec. 2305. Special purpose financial institutions.
Sec. 2306. Increased incentives for lending to low- and moderate-income 
                            communities.
Sec. 2307. Prohibition on additional reporting under CRA.
Sec. 2308. Technical amendment.
Sec. 2309. Duplicative reporting.
Sec. 2310. CRA congressional oversight.
Sec. 2311. Consultation among examiners.
Sec. 2312. Limitation on regulations.
               Subtitle D--Phase-Down of Oversight Board

Sec. 2401. Termination of authority of Oversight Board to employ staff.

                     Subtitle A--Housing Provisions

SEC. 2101. TERMINATION OF RTC AND FDIC AFFORDABLE HOUSING PROGRAMS.

    (a) Repeal of Unified Program and Transfer of RTC Windup Authority 
to HUD.--Section 21A(c) of the Federal Home Loan Bank Act (12 U.S.C. 
1441a(c)) is amended by striking paragraph (17) and inserting the 
following new paragraph:
            ``(17) Transfer of authority.--The Secretary shall assume, 
        not later than December 31, 1995, and thereafter shall carry 
        out, any remaining authority and responsibilities of the 
        Corporation to recapture excess proceeds from resale of 
        properties and to monitor and enforce low-income occupancy 
        requirements or rent limitations under this subsection and 
        shall assume any direct or contingent liability of the 
        Corporation to carry out such authority and 
        responsibilities.''.
    (b) Termination of RTC Affordable Housing Program.--Section 21A(c) 
of the Federal Home Loan Bank Act (12 U.S.C. 1441a(c)) is amended by 
adding at the end the following new paragraph:
            ``(18) Termination.--
                    ``(A) In general.--On and after the date of the 
                enactment of the Seven-Year Balanced Budget 
                Reconciliation Act of 1995, the provisions of this 
                subsection (other than paragraph (17)) shall not apply 
                with respect to any eligible residential property or 
                eligible condominium property.
                    ``(B) Savings provision.--Notwithstanding 
                subparagraph (A), the provisions of this subsection 
                shall continue to apply on and after such date of 
                enactment to any eligible residential property or 
                eligible condominium property that--
                            ``(i) has been sold or otherwise disposed 
                        of by the Corporation before such date of 
                        enactment; or
                            ``(ii) is subject to a contract of sale or 
                        other disposition entered into before such date 
                        of enactment.''.
    (c) Termination of Affordable Housing Advisory Board.--Section 
14(b)(9) of the Resolution Trust Corporation Completion Act (12 U.S.C. 
1831q note) is amended by striking ``September 30, 1998'' and inserting 
``September 30, 1995''.
    (d) Repeal of FDIC Program and Transfer of Windup Authority to 
HUD.--
            (1) Repeal.--Section 40 of the Federal Deposit Insurance 
        Act (12 U.S.C. 1831q) is hereby repealed.
            (2) Transfer of windup authority.--Notwithstanding 
        paragraph (1)--
                    (A) effective December 31, 1995, the Secretary 
                shall carry out any remaining authority and 
                responsibilities of the Federal Deposit Insurance 
                Corporation under section 40 of the Federal Deposit 
                Insurance Act to recapture excess proceeds from resale 
                of properties and to monitor and enforce low-income 
                occupancy requirements or rent limitations under such 
                section and shall assume any direct or contingent 
                liability of the Corporation to carry out such 
                authority and responsibilities; and
                    (B) the Federal Deposit Insurance Corporation shall 
                consummate any sales of property under section 40 of 
                such Act that were pending under contracts of sale on 
                September 30, 1995.
    (e) FDIC Disposition of Assets as Conservator or Receiver.--Section 
11(d)(13)(E) of the Federal Deposit Insurance Act (12 U.S.C. 
1821(d)(13)(E)) is amended--
            (1) in clause (iii), by inserting ``and'' after the 
        semicolon;
            (2) in clause (iv), by striking ``; and'' and inserting a 
        period; and
            (3) by striking clause (v).
    (f) Disposition of FDIC Assets.--Section 13(d)(3)(D) of the Federal 
Deposit Insurance Act (12 U.S.C. 1823(d)(3)(D)) is amended--
            (1) in clause (iii), by inserting ``and'' after the 
        semicolon;
            (2) in clause (iv), by striking ``; and'' and inserting a 
        period; and
            (3) by striking clause (v).

SEC. 2102. FORECLOSURE AVOIDANCE AND BORROWER ASSISTANCE.

    (a) Foreclosure Avoidance.--The last sentence of section 204(a) of 
the National Housing Act (12 U.S.C. 1710(a)) is amended by inserting 
before the period the following: ``: And provided further, That the 
Secretary may pay insurance benefits to the mortgagee to recompense the 
mortgagee for its actions to provide an alternative to foreclosure of a 
mortgage that is in default, which actions may include such actions as 
special forbearance, loan modification, and deeds in lieu of 
foreclosure, all upon such terms and conditions as the mortgagee shall 
determine in the mortgagee's sole discretion within guidelines provided 
by the Secretary, but which may not include assignment of a mortgage to 
the Secretary: And provided further, That for purposes of the preceding 
proviso, no action authorized by the Secretary and no action taken, nor 
any failure to act, by the Secretary or the mortgagee shall be subject 
to judicial review''.
    (b) Authority to Assist Mortgagors in Default.--Section 230 of the 
National Housing Act (12 U.S.C. 1715u) is amended to read as follows:

              ``authority to assist mortgagors in default

    ``Sec. 230. (a) Payment of Partial Claim.--The Secretary may 
establish a program for payment of a partial insurance claim to a 
mortgagee that agrees to apply the claim amount to payment of a 
mortgage on a 1- to 4-family residence that is in default. Any such 
payment under such program to the mortgagee shall be made in the 
Secretary's sole discretion and on terms and conditions acceptable to 
the Secretary, except that--
            ``(1) the amount of the payment shall be in an amount 
        determined by the Secretary, which shall not exceed an amount 
        equivalent to 12 monthly mortgage payments and any costs 
        related to the default that are approved by the Secretary; and
            ``(2) the mortgagor shall agree to repay the amount of the 
        insurance claim to the Secretary upon terms and conditions 
        acceptable to the Secretary.
The Secretary may pay the mortgagee, from the appropriate insurance 
fund, in connection with any activities that the mortgagee is required 
to undertake concerning repayment by the mortgagor of the amount owed 
to the Secretary.
    ``(b) Assignment.--
            ``(1) Program authority.--The Secretary may establish a 
        program for assignment to the Secretary, upon request of the 
        mortgagee, of a mortgage on a 1- to 4-family residence insured 
        under this Act.
            ``(2) Program requirements.--The Secretary may accept 
        assignment of a mortgage under a program under this subsection 
        only if--
                    ``(A) the mortgage was in default;
                    ``(B) the mortgagee has modified the mortgage to 
                cure the default and provide for mortgage payments 
                within the reasonable ability of the mortgagor to pay 
                at interest rates not exceeding current market interest 
                rates; and
                    ``(C) the Secretary arranges for servicing of the 
                assigned mortgage by a mortgagee (which may include the 
                assigning mortgagee) through procedures that the 
                Secretary has determined to be in the best interests of 
                the appropriate insurance fund.
            ``(3) Payment of insurance benefits.--Upon accepting 
        assignment of a mortgage under the program under this 
        subsection, the Secretary may pay insurance benefits to the 
        mortgagee from the appropriate insurance fund in an amount that 
        the Secretary determines to be appropriate, but which may not 
        exceed the amount necessary to compensate the mortgagee for the 
        assignment and any losses and expenses resulting from the 
        mortgage modification.
    ``(c) Prohibition of Judicial Review.--No decision by the Secretary 
to exercise or forego exercising any authority under this section shall 
be subject to judicial review.''.
    (c) Savings Provision.--Any mortgage for which the mortgagor has 
applied to the Secretary of Housing and Urban Development, before the 
date of the enactment of this Act, for assignment pursuant to section 
230(b) of the National Housing Act shall continue to be governed by the 
provisions of such section, as in effect immediately before such date 
of enactment.
    (d) Applicability of Other Laws.--No provision of the National 
Housing Act or any other law shall be construed to require the 
Secretary of Housing and Urban Development to provide an alternative to 
foreclosure for mortgagees with mortgages on 1- to 4-family residences 
insured by the Secretary under the National Housing Act, or to accept 
assignments of such mortgages.

SEC. 2103. REFORM OF HUD-OWNED MULTIFAMILY PROPERTY DISPOSITION 
              PROGRAM.

    (a) In General.--Effective October 1, 1995, section 203 of the 
Housing and Community Development Amendments of 1978 (12 U.S.C. 1701z-
11) is amended to read as follows:

``SEC. 203. MANAGEMENT AND DISPOSITION OF HUD-OWNED MULTIFAMILY HOUSING 
              PROJECTS.

    ``(a) In General.--The Secretary of Housing and Urban Development 
may manage and dispose of (1) multifamily housing projects that are 
owned by the Secretary or that are subject to mortgages held by the 
Secretary, and (2) mortgages on multifamily housing projects that are 
held by the Secretary, without regard to any other provision of law.
    ``(b) Authority to Delegate.--The Secretary of Housing and Urban 
Development may delegate to one or more entities the authority to carry 
out some or all of the functions and responsibilities of the Secretary 
in connection with the foreclosure of mortgages on multifamily housing 
projects held by the Secretary.
    ``(c) Definition.--For purposes of this section, the term 
`multifamily housing project' means any multifamily rental housing 
project which is, or prior to acquisition by the Secretary was, 
assisted or insured under the National Housing Act, or was subject to a 
loan under section 202 of the Housing Act of 1959.''.
    (b) Conforming Amendments.--
            (1) Nondiscrimination against certificate and voucher 
        holders.--Section 183(c) of the Housing and Community 
        Development Act of 1987 (42 U.S.C. 1437f note) is amended by 
        striking ``section 203(i)(2) of the Housing and Community 
        Development Amendments of 1978, as amended by section 181(h) of 
        this Act'' and inserting ``section 203(b) of the Housing and 
        Community Development Amendments of 1978 (as in effect before 
        October 1, 1995)''.
            (2) LIHPRH act of 1990.--Section 212(c) of the Low-Income 
        Housing Preservation and Resident Homeownership Act of 1990 (12 
        U.S.C. 4102(c)) is amended by striking the last sentence.
            (3) Hope homeownership program.--Section 427 of the 
        Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 
        12877) is amended by striking ``subject to--'' and all that 
        follows and inserting ``subject to the Low-Income Housing 
        Preservation and Resident Homeownership Act of 1990.''.
            (4) FHA multifamily housing mortgage insurance.--Section 
        207(k) of the National Housing Act (12 U.S.C. 1713(k)) is 
        amended by striking the third sentence.
            (5) Multifamily mortgage foreclosure act of 1981.--Section 
        367(b)(2) of the Multifamily Mortgage Foreclosure Act of 1981 
        (12 U.S.C.3706(b)(2)) is amended--
                    (A) by striking subparagraph (B); and
                    (B) by striking ``(A)''.
            (6) Preventing mortgage defaults on insured multifamily 
        projects.--Section 103(h)(2)(B) of the Multifamily Housing 
        Property Disposition Reform Act of 1994 (12 U.S.C. 1715z-1a 
        note) is amended by inserting ``(as in effect before October 1, 
        1995)'' after ``1978''.

SEC. 2104. RECAPTURE OF RURAL HOUSING LOAN SUBSIDIES BY RURAL HOUSING 
              AND COMMUNITY DEVELOPMENT SERVICE.

    The first sentence of section 521(a)(1)(D)(i) of the Housing Act of 
1949 (42 U.S.C. 1490a(a)(1)(D)(i)) is amended by inserting ``upon the 
repayment of any loan made under this title or'' after ``assistance 
rendered''.

SEC. 2105. REDUCTION OF SECTION 8 ANNUAL ADJUSTMENT FACTORS FOR UNITS 
              WITHOUT TENANT TURNOVER.

    Paragraph (2)(A) of section 8(c) of the United States Housing Act 
of 1937 (42 U.S.C. 1437f(c)(2)(A)) is amended by striking the last 
sentence.

                 Subtitle B--Thrift Charter Conversion

SEC. 2200. SHORT TITLE.

    This subtitle may be cited as the ``Thrift Charter Conversion Act 
of 1995''.

 CHAPTER 1--BANK INSURANCE FUND AND SAVINGS ASSOCIATION INSURANCE FUND

SEC. 2201. SPECIAL ASSESSMENT.

    Section 7(b)(6) of the Federal Deposit Insurance Act (12 U.S.C. 
1817(b)(6)) is amended--
            (1) by redesignating clauses (i), (ii), and (iii) of 
        subparagraph (A) as subclauses (I), (II), and (III), 
        respectively;
            (2) by redesignating subparagraphs (A) and (B) as clauses 
        (i) and (ii), respectively;
            (3) by moving the left margin of such clauses and 
        subclauses (as so redesignated) 2 ems to the right;
            (4) by striking ``special assessments.--In addition to'' 
        and inserting ``special assessments.--
                    ``(A) In general.--In addition to''; and
            (5) by adding at the end the following new subparagraphs:
                    ``(B) Single additional special assessment with 
                respect to certain accounts.--
                            ``(i) In general.--The Corporation shall 
                        impose, on the basis of such factors as the 
                        Board of Directors considers to be appropriate, 
                        a single special assessment on the institutions 
                        described in the following subclauses (other 
                        than institutions exempt under subparagraph 
                        (C)):
                                    ``(I) Each Savings Association 
                                Insurance Fund member (including any 
                                Savings Association Insurance Fund 
                                member referred to in section 
                                5(d)(2)(G)).
                                    ``(II) Each Bank Insurance Fund 
                                member which has deposits which are 
                                treated, under section 5(d)(3), as 
                                deposits which are insured by the 
                                Savings Association Insurance Fund.
                            ``(ii) Amount of assessment.--The 
                        assessment imposed under clause (i) shall be in 
                        an amount equal to such percentage of the 
                        Savings Association Insurance Fund assessment 
                        base (of the institutions subject to such 
                        assessment) as of March 31, 1995, as the Board 
                        of Directors determines, in the Board of 
                        Directors' discretion, to be necessary in order 
                        for the reserve ratio of the Savings 
                        Association Insurance Fund to meet the 
                        designated reserve ratio on the 1st business 
                        day of January, 1996.
                            ``(iii) Deposit of assessment.--
                        Notwithstanding any other provision of law, the 
                        proceeds of any assessment imposed under clause 
                        (i) shall be deposited in the Savings 
                        Association Insurance Fund.
                            ``(iv) Date payment due.--The special 
                        assessment imposed under this subparagraph 
                        shall be--
                                    ``(I) due on the 1st business day 
                                of January, 1996; and
                                    ``(II) paid to the Corporation on 
                                the later of the due date or such other 
                                date as the Corporation may prescribe 
                                which may not be later than the end of 
                                the 60-day period beginning on the date 
                                of the Thrift Charter Conversion Act of 
                                1995.
                            ``(v) Savings association insurance fund 
                        assessment base defined.--For purposes of this 
                        subparagraph, the term Savings Association 
                        Insurance Fund assessment base means--
                                    ``(I) the assessment base of 
                                Savings Association Insurance Fund 
                                members on which assessments are 
                                imposed under the risk-based assessment 
                                system established pursuant to 
                                paragraph (1); and
                                    ``(II) in the case of an 
                                institution described in clause 
                                (i)(II), the adjusted attributable 
                                deposit amount determined under 
                                subparagraph (C) of section 5(d)(3) for 
                                purposes of subparagraph (B)(i) of such 
                                section.
                    ``(C) Special rules for certain exempt 
                institutions.--
                            ``(i) In general.--The Board of Directors 
                        may exempt any weak insured depository 
                        institution from the payment of the assessment 
                        imposed under subparagraph (B)(i) if the 
                        exemption would reduce risk to the Savings 
                        Association Insurance Fund.
                            ``(ii) Continuation of assessment rates 
                        applicable as of june 30, 1995.--
                        Notwithstanding any other provision of this 
                        subsection or any determination by 
the Corporation pursuant to paragraph (2), the semiannual assessment 
rate applicable under paragraph (2) during the period beginning on 
January 1, 1996, and ending on December 31, 1999, with respect to any 
insured depository institution which receives an exemption under clause 
(i) shall be the semiannual assessment rate which would be applicable 
to such institution under paragraph (2) if such assessment rate were 
calculated in the manner in which semiannual assessment rates for 
Savings Association Insurance Fund members were determined by the 
Corporation under such paragraph as of June 30, 1995.
                            ``(iii) Special rule for oakar banks.--If 
                        an insured depository institution to which 
                        clause (ii) applies is an institution described 
                        in subparagraph (B)(i)(II), section 5(d)(3) (as 
                        in effect on September 13, 1995) shall continue 
                        to apply with respect to such institution for 
                        purposes of clause (ii) without regard to the 
                        repeal of such section by section 2202(c) of 
                        the Thrift Charter Conversion Act of 1995.
                            ``(iv) Deposit of assessment.--Assessments 
                        imposed under paragraph (2) in accordance with 
                        clause (i) on depository institutions to which 
                        such clause applies shall be deposited--
                                    ``(I) in the Savings Association 
                                Insurance Fund until such fund is 
                                merged into the deposit insurance fund 
                                pursuant to section 2203(a)(2) of the 
                                Thrift Charter Conversion Act of 1995; 
                                and
                                    ``(II) after such merger, in the 
                                deposit insurance fund.
                            ``(v) Guidelines.--
                                    ``(I) Guidelines required.--Not 
                                later than 30 days after the date of 
                                the enactment of the Thrift Charter 
                                Conversion Act of 1995, the Board of 
                                Directors shall prescribe guidelines 
                                containing the criteria to be used by 
                                the Board of Directors in making any 
                                determination under clause (i).
                                    ``(II) Publication.--The guidelines 
                                prescribed under subclause (I) shall be 
                                published in the Federal Register.
                    ``(D) Pro rata payment of special assessment by 
                exempt institutions authorized.--In the case of any 
                depository institution which receives an exemption 
                under subparagraph (C)(i) from the special assessment 
                imposed under subparagraph (B) and any successor to 
                such institution, subparagraph (C)(ii) shall cease to 
                apply with respect to such institution as of the date 
                on which the institution makes a payment to the 
                Corporation, on such terms as the Board of Directors 
                may prescribe, in an amount equal to the product of--
                            ``(i) 12.5 percent of the product of--
                                    ``(I) the Savings Association 
                                Insurance Fund assessment base of the 
                                institution which would have been used 
                                in the calculation of the amount of 
                                such special assessment if the 
                                institution had not received the 
                                exemption from such assessment; and
                                    ``(II) the percentage rate 
                                calculated by the Board of Directors 
                                under subparagraph (B)(ii) for use in 
                                determining the amount of the special 
                                assessment for depository institutions 
                                which did not receive an exemption 
                                under subparagraph (C); and
                            ``(ii) the whole number of full semiannual 
                        periods which begin after the date of such 
                        payment and end before January 1, 2000.
                    ``(E) Assessment for certain deposits.--
                            ``(i) In general.--Notwithstanding any 
                        other provision of law, in carrying out the 
                        special assessment under subparagraph (B), the 
                        Corporation may set assessment rates on the 
                        basis of the factors described in clause (iii) 
                        for deposits treated under section 5(d)(3) as 
                        deposits insured by the Savings Association 
                        Insurance Fund.
                            ``(ii) Minimum rate.--Notwithstanding 
                        clause (i), any rate assessed under such clause 
                        may not be less than \2/3\ of the assessment 
                        rate imposed under subparagraph (B).
                            ``(iii) Factors.--In setting any assessment 
                        rate under clause (i), the Corporation shall 
                        consider the following factors:
                                    ``(I) The extent to which deposits 
                                treated under section 5(d)(3) as 
                                deposits insured by the Savings 
                                Association Insurance Fund do not 
                                reflect the actual amount of deposits 
                                insured by such fund because of the 
                                growth attribution rule contained in 
                                clause (iii) of such section.
                                    ``(II) The ability of an insured 
                                depository institution to demonstrate 
                                with deposit data the amount of actual 
                                deposits which should be treated as 
                                deposits insured by the Savings 
                                Association Insurance Fund 
                                notwithstanding the growth attribution 
                                rule referred to in subclause (I).
                            ``(iv) No net budget effect.--
                        Notwithstanding any other provision of this 
                        subparagraph, the Corporation shall not set any 
assessment rate under clause (i) that would result in an increased 
budget outlay or a decrease in offsetting receipts under this 
paragraph.''.

SEC. 2202. ASSESSMENTS ON INSURED DEPOSITORY INSTITUTIONS.

    (a) Financing Corporation Assessments on all FDIC-Insured 
Depository Institutions.--Section 21(f) of the Federal Home Loan Bank 
Act (12 U.S.C. 1441(f)) is amended--
            (1) in the portion of paragraph (2) which precedes 
        subparagraph (A)--
                    (A) by striking ``each Savings Association 
                Insurance Fund member'' and inserting ``each insured 
                depository institution (as defined in section 3(c)(2) 
                of the Federal Deposit Insurance Act)''; and
                    (B) by striking ``such members'' and inserting 
                ``such institutions''; and
            (2) by striking ``, except that--'' and all that follows 
        through the end of the paragraph and inserting ``, except that 
        the Financing Corporation shall have first priority to make the 
        assessment.''.
    (b) Assessment Rates for SAIF Members May Not Be Less Than 
Assessment Rates for BIF Members.--Section 7(b)(2)(F) of the Federal 
Deposit Insurance Act (12 U.S.C. 1817(b)(2)(F)) is amended--
            (1) by striking ``and'' at the end of clause (i);
            (2) by striking the period at the end of clause (ii) and 
        inserting ``; and''; and
            (3) by adding at the end the following new clause:
                            ``(iii) notwithstanding any other provision 
                        of this subsection, assessment rates for 
                        Savings Association Insurance Fund members may 
                        not be less than assessment rates for Bank 
                        Insurance Fund members.''.
    (c) Repeal of Exit Moratorium and Oakar Bank Provisions.--Effective 
January 1, 1998, section 5(d) of the Federal Deposit Insurance Act (12 
U.S.C. 1815(d)) is amended by striking paragraphs (2) and (3).
    (d) Technical and Conforming Amendments.--
            (1) Section 7(b)(2)(D) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1817(b)(2)(D)) is amended by striking ``Savings 
        Association Insurance Fund members'' and inserting ``members of 
        a deposit insurance fund''.
            (2) Section 21(k) of the Federal Home Loan Bank Act (12 
        U.S.C. 1441(k)) is amended--
                    (A) by striking paragraph (1); and
                    (B) by redesignating paragraphs (2) and (3) as 
                paragraphs (1) and (2), respectively.
    (e) Effective Date.--The amendments made by subsections (a), (b), 
and (d) shall take effect on January 1, 1996.

SEC. 2203. MERGER OF BANK INSURANCE FUND AND SAVINGS ASSOCIATION 
              INSURANCE FUND AFTER RECAPITALIZATION OF SAIF.

    (a) Establishment of Deposit Insurance Fund.--
            (1) In general.--Effective January 1, 1998, section 
        11(a)(5) of the Federal Deposit Insurance Act (12 U.S.C. 
        1821(a)(5)) is amended to read as follows:
            ``(5) Deposit insurance fund.--
                    ``(A) Establishment.--There is established a fund 
                to be known as the deposit insurance fund which shall--
                            ``(i) be maintained and administered by the 
                        Corporation; and
                            ``(ii) initially consist of the assets and 
                        liabilities of the Bank Insurance Fund and 
                        Savings Association Insurance Fund which have 
                        been merged by the Corporation into the deposit 
                        insurance fund pursuant to section 2203(a)(2) 
                        of the Thrift Charter Conversion Act of 1995, 
                        other than any assets of the Savings 
                        Association Insurance Fund which have been 
                        deposited in the special reserve of the deposit 
                        insurance fund pursuant to section 2203(b)(2) 
                        of such Act.
                    ``(B) Uses.--The deposit insurance fund shall be 
                available to the Corporation for use in carrying out 
                the insurance purposes of the Corporation in accordance 
                with this Act with respect to insured depository 
                institutions.
                    ``(C) Deposits.--All amounts assessed against 
                insured depository institutions by the Corporation 
                shall be deposited into the deposit insurance fund.''.
            (2) Merger by corporation.--Except with respect to any 
        assets of the Savings Association Insurance Fund which are 
        required to be deposited in the special reserve of the deposit 
        insurance fund pursuant to subsection (b)(2), the Corporation 
        shall merge the Bank Insurance Fund and the Savings Association 
        Insurance Fund on January 1, 1998, into the deposit insurance 
        fund established by the amendment made by paragraph (1).
    (b) Establishment of Special Reserve of the Deposit Insurance 
Fund.--
            (1) In general.--Effective January 1, 1998, section 
        11(a)(6) of the Federal Deposit Insurance Act (12 U.S.C. 
        1821(a)(6)) is amended to read as follows:
            ``(6) Special reserve of the deposit insurance fund.--
                    ``(A) In general.--There is established a fund to 
                be known as the special reserve of the deposit 
                insurance fund which shall--
                            ``(i) be maintained and administered by the 
                        Corporation; and
                            ``(ii) initially consist of amounts 
                        deposited in the special reserve pursuant to 
                        section 2203(b)(2) of the Thrift Charter 
                        Conversion Act of 1995.
                    ``(B) Emergency use of special reserve.--
                            ``(i) Use authorized.--Subject to clause 
                        (ii) and notwithstanding subparagraph (C), the 
                        Corporation may, in the sole discretion of the 
                        Board of Directors, transfer amounts from the 
special reserve for deposit in the deposit insurance fund for use in 
accordance with paragraph (5)(B).
                            ``(ii) Conditions on transfer.--The Board 
                        of Directors may authorize a transfer under 
                        clause (i) only if--
                                    ``(I) the Board of Directors 
                                determines that the reserve ratio of 
                                the deposit insurance fund is less than 
                                50 percent of the designated reserve 
                                ratio; and
                                    ``(II) the Board of Directors finds 
                                that the reserve ratio of the deposit 
                                insurance will likely be less than the 
                                designated reserve ratio of the fund 
                                for each of the 4 calendar quarters 
                                beginning after the date of such 
                                determination.
                    ``(C) No refunds or other uses authorized.--Except 
                as provided in subparagraph (B), the Corporation may 
                not make any payment from the special reserve, make any 
                refund or provide any credit to any insured depository 
                institution with respect to any amount in the special 
                reserve, or use any amount in the special reserve for 
                any other purpose (including the use of any such amount 
                as security for the repayment of any obligation of the 
                Corporation).
                    ``(D) Exclusion of special reserve in calculating 
                the reserve ratio.--No amount in the special reserve 
                may be taken into account in calculating the reserve 
                ratio of the deposit insurance fund under section 7.''.
            (2) Transfer and deposit by corporation.--If, at the time 
        of the merger of the Bank Insurance Fund and the Savings 
        Association Insurance Fund pursuant to subsection (a)(2), the 
        reserve ratio of the Savings Association Insurance Fund exceeds 
        the designated reserve ratio, the Corporation shall transfer 
        from such fund to the special reserve of the deposit insurance 
        fund established by the amendment made by paragraph (1) an 
        amount equal to the amount which causes the reserve ratio of 
        the Savings Association Insurance Fund to exceed the designated 
        reserve ratio.
    (c) Technical and Conforming Amendments.--
            (1) Section 3(y) of the Federal Deposit Insurance Act (12 
        U.S.C. 1813(y)) is amended by striking ``the Bank Insurance 
        Fund or the Savings Association Insurance Fund, as 
        appropriate'' and inserting ``the deposit insurance fund 
        established under section 11(a)(5)''.
            (2) Section 11(a) of the Federal Deposit Insurance Act (12 
        U.S.C. 1821(a)) is amended by striking paragraphs (4)(A) and 
        (7).
            (3) Section 5(d)(1) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1815(d)(1)) is amended--
                    (A) in subparagraph (A), by striking ``reserve 
                ratios'' and all that follows through the period and 
                inserting ``the reserve ratio of the deposit insurance 
                fund.'';
                    (B) by striking subparagraph (B); and
                    (C) by redesignating subparagraph (C) as 
                subparagraph (B).
            (4) Section 7 of the Federal Deposit Insurance Act (12 
        U.S.C. 1817) is amended by striking subsection (l).
            (5) Section 7(b)(2) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1817(b)(2)) is amended--
                    (A) by striking subparagraphs (B), (F), and (G);
                    (B) in clauses (i) and (iv) of subparagraph (A), by 
                striking ``each deposit insurance fund'' and inserting 
                ``the deposit insurance fund'';
                    (C) in subparagraph (A)(iii), by striking ``a 
                deposit insurance fund'' and inserting ``the deposit 
                insurance fund''; and
                    (D) by inserting after subparagraph (E) the 
                following new subparagraph:
                    ``(F) Reserve ratio defined.--For purposes of this 
                subsection, the term `reserve ratio' means the ratio of 
                the net worth of the deposit insurance fund to the 
                aggregate estimated insured deposits held in all 
                insured depository institutions.''.
            (6) Section 7(b)(3) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1817(b)(3)) is amended--
                    (A) in subparagraph (A) by striking ``any deposit 
                insurance fund'' and inserting ``the deposit insurance 
                fund''; and
                    (B) by striking subparagraphs (C) and (D).
            (7) Subparagraph (A) of section 7(b)(6) of the Federal 
        Deposit Insurance Act (12 U.S.C. 1817(b)(6)) (as so 
        redesignated by section 2201 of this subtitle) is amended--
                    (A) in clause (i)--
                            (i) by inserting ``or'' after the semicolon 
                        at the end of subclause (I);
                            (ii) by striking subclause (II); and
                            (iii) by striking ``; and'' at the end of 
                        subclause (III) and inserting a period; and
                    (B) by striking clause (ii).
            (8) Section 11(a)(4)(B) of the Federal Deposit Insurance 
        Act (12 U.S.C. 1821(a)(4)(B)) is amended by striking ``Bank 
        Insurance Fund and the Savings Association Insurance Fund'' and 
        inserting ``deposit insurance fund''.
            (9) Paragraph (1) of section 11(f) of the Federal Deposit 
        Insurance Act (12 U.S.C. 1821(f)) is amended by striking 
        ``depositor, except that--'' and all that follows through the 
        period at the end of the paragraph and inserting 
        ``depositor.''.
            (10) Section 11(i)(3) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1821(i)(3)) is amended--
                    (A) by striking subparagraph (B); and
                    (B) in subparagraph (C), by striking 
                ``subparagraphs (A) and (B)'' and inserting 
                ``subparagraph (A)''.
            (11) Section 11A(a)(3) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1821a(a)(3)) is amended by striking ``Bank Insurance 
        Fund, the Savings Association Insurance Fund,'' and inserting 
        ``deposit insurance fund''.
            (12) Section 11A(f) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1821a(f)) is amended by striking ``Savings 
        Association Insurance Fund'' and inserting ``deposit insurance 
        fund''.
            (13) Section 13(a)(1) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1823(a)(1)) is amended by striking ``Bank Insurance 
        Fund, the Savings Association Insurance Fund,'' and inserting 
        ``deposit insurance fund, the special reserve of the deposit 
        insurance fund,''.
            (14) Section 13(c)(4)(G)(ii) of the Federal Deposit 
        Insurance Act (12 U.S.C. 1823(c)(4)(G)(ii)) is amended--
                    (A) by striking ``appropriate insurance fund'' and 
                inserting ``deposit insurance fund'';
                    (B) by striking ``the members of the insurance fund 
                (of which such institution is a member)'' and inserting 
                ``insured depository institutions'';
                    (C) by striking ``each member's'' and inserting 
                ``each insured depository institution's''; and
                    (D) by striking ``the member's'' each place such 
                term appears and inserting ``the institution's''.
            (15) Section 13(c) of the Federal Deposit Insurance Act (12 
        U.S.C. 1823(c)) is amended by striking paragraph (11).
            (16) Section 13(h) of the Federal Deposit Insurance Act (12 
        U.S.C. 1823(h)) is amended by striking ``Bank Insurance Fund'' 
        and inserting ``deposit insurance fund''.
            (17) Section 14(a) of the Federal Deposit Insurance Act (12 
        U.S.C. 1824(a)) is amended--
                    (A) by striking ``Bank Insurance Fund or the 
                Savings Association Insurance Fund'' and inserting 
                ``deposit insurance fund''; and
                    (B) by striking ``each such fund'' and inserting 
                ``the fund''.
            (18) Section 14(b) of the Federal Deposit Insurance Act (12 
        U.S.C. 1824(b)) is amended by striking ``Bank Insurance Fund or 
        Savings Association Insurance Fund'' and inserting ``deposit 
        insurance fund''.
            (19) Section 14(c) of the Federal Deposit Insurance Act (12 
        U.S.C. 1824(c)) is amended by striking paragraph (3).
            (20) Section 14 of the Federal Deposit Insurance Act (12 
        U.S.C. 1824) is amended by striking subsection (d).
            (21) Section 15(c)(5) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1825(c)(5)) is amended--
                    (A) by striking ``Bank Insurance Fund or Savings 
                Association Insurance Fund, respectively,'' and 
                inserting ``deposit insurance fund'';
                    (B) by striking ``Bank Insurance Fund or Savings 
                Association Insurance Fund, respectively;'' and 
                inserting ``deposit insurance fund;''; and
                    (C) by striking ``Bank Insurance Fund or the 
                Savings Association Insurance Fund, respectively,'' and 
                inserting ``deposit insurance fund,''.
            (22) Section 17(a)(1) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1827(a)(1)) is amended by striking ``Bank Insurance 
        Fund, the Savings Association Insurance Fund,'' each place such 
        term appears and inserting ``deposit insurance fund''.
            (23) Section 17(d) of the Federal Deposit Insurance Act (12 
        U.S.C. 1827(d)) is amended by striking ``Bank Insurance Fund, 
        the Savings Association Insurance Fund,'' each place such term 
        appears and inserting ``deposit insurance fund''.
            (24) The heading for section 17(a) of the Federal Deposit 
        Insurance Act (12 U.S.C. 1827(a)) is amended by striking ``BIF, 
        SAIF,'' and inserting ``the Deposit Insurance Fund''.
            (25) Subsections (a)(1) and (d)(1)(A) of section 24 of the 
        Federal Deposit Insurance Act (12 U.S.C. 1831a) are each 
        amended by striking ``appropriate''.
            (26) Section 24(e)(2) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1831a(e)(2)) is amended--
                    (A) in subparagraph (A), by striking ``of which 
                such banks are members''; and
                    (B) in subparagraph (B)(ii), by striking ``of which 
                such bank is a member''.
            (27) Section 24(f)(6)(B) of the Federal Deposit Insurance 
        Act (12 U.S.C. 1831a(f)(6)(B)) is amended by striking ``of 
        which such bank is a member''.
            (28) Section 31 of the Federal Deposit Insurance Act (12 
        U.S.C. 1831h) is hereby repealed.
            (29) Section 36(i)(3) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1831m(i)(3)) is amended by striking ``affected''.
            (30) Section 38 of the Federal Deposit Insurance Act (12 
        U.S.C. 1831o) is amended by striking subsection (o).
            (31) Section 21B(f)(2)(C)(ii) of the Federal Home Loan Bank 
        Act (12 U.S.C. 1441b(f)(2)(C)(ii)) is amended to read as 
        follows:
                            ``(C) Payments by federal home loan 
                        banks.--To the extent the amounts available 
                        pursuant to subparagraphs (A) and (B) are 
                        insufficient to cover the amount of interest 
                        payments, each Federal home loan bank shall pay 
                        to the Funding Corporation each calendar year 
                        an amount equal to 23.7 percent of the bank's 
                        net earnings for the year for which such amount 
                        is required to be paid.''.
    (d) Effective Date of Amendments.--The amendments made by 
subsection (c) shall take effect on January 1, 1998.

SEC. 2204. REFUND OF AMOUNTS IN DEPOSIT INSURANCE FUND IN EXCESS OF 
              DESIGNATED RESERVE AMOUNT.

    Subsection (e) of section 7 of the Federal Deposit Insurance Act 
(12 U.S.C. 1817(e)) is amended to read as follows:
    ``(e) Refunds.--
            ``(1) Overpayments.--In the case of any payment of an 
        assessment by an insured depository institution in excess of 
        the amount due to the Corporation, the Corporation may--
                    ``(A) refund the amount of the excess payment to 
                the insured depository institution; or
                    ``(B) credit such excess amount toward the payment 
                of subsequent semiannual assessments until such credit 
                is exhausted.
            ``(2) Balance in insurance fund in excess of designated 
        reserve.--
                    ``(A) In general.--Subject to subparagraph (B), if 
                as of the end of any semiannual period the amount of 
                the actual reserves in--
                            ``(i) the Bank Insurance Fund (until the 
                        merger of such fund into the deposit insurance 
                        fund pursuant to section 2203(a)(2) of the 
                        Thrift Charter Conversion Act of 1995); or
                            ``(ii) the deposit insurance fund (after 
                        the establishment of such fund under section 
                        2203(a)(1) of such Act),
                exceeds the balance required to meet the designated 
                reserve ratio applicable with respect to such fund, 
such excess amount shall be refunded to members of the fund by the 
Corporation on such basis as the Board of Directors determines to be 
appropriate, taking into account the factors considered under the risk-
based assessment system.
                    ``(B) Refund not to exceed previous semiannual 
                assessment.--The amount of any refund under this 
                paragraph to any member of a deposit insurance fund for 
                any semiannual period may not exceed the total amount 
                of assessments paid by such member to the insurance 
                fund with respect to such period.''.

SEC. 2205. ASSESSMENTS AUTHORIZED ONLY IF NEEDED TO MAINTAIN THE 
              RESERVE RATIO OF A DEPOSIT INSURANCE FUND.

    (a) In General.--Section 7(b)(2)(A)(i) of the Federal Deposit 
Insurance Act (12 U.S.C. 1817(b)(2)(A)(i)) is amended in the portion of 
such section preceding subclause (I) by inserting ``when necessary, and 
only to the extent necessary'' after ``insured depository 
institutions''.
    (b) Limitation on Assessment.--Section 7(b)(2)(A)(iii) of the 
Federal Deposit Insurance Act (12 U.S.C. 1817(b)(2)(A)(iii)) is amended 
to read as follows:
                            ``(iii) Limitation on assessment.--The 
                        Board of Directors shall not set semiannual 
                        assessments with respect to a deposit insurance 
                        fund in excess of the amount needed--
                                    ``(I) to maintain the reserve ratio 
                                of the fund at the designated reserve 
                                ratio; or
                                    ``(II) if the reserve ratio is less 
                                than the designated reserve ratio, to 
                                increase the reserve ratio to the 
                                designated reserve ratio.''.

          CHAPTER 2--STATUS OF BANKS AND SAVINGS ASSOCIATIONS

SEC. 2221. TERMINATION OF FEDERAL SAVINGS ASSOCIATIONS; TREATMENT OF 
              STATE SAVINGS ASSOCIATIONS AS BANKS FOR PURPOSES OF 
              FEDERAL BANKING LAW.

    (a) Termination of Federal Savings Association Charters.--
            (1) In general.--Each Federal savings association shall--
                    (A) convert to a national bank charter;
                    (B) convert to a State depository institution 
                charter; or
                    (C) surrender the charter of such savings 
                association and liquidate the institution.
            (2) Conversion to national bank by operation of law.--If 
        any Federal savings association has not taken any action 
        required under paragraph (1) as of January 1, 1998, the savings 
        association shall--
                    (A) become a national bank on such date by 
                operation of law;
                    (B) immediately file articles of association and an 
                organizational certificate with the Comptroller of the 
                Currency in accordance with sections 5133, 5134, and 
                5135 of the Revised Statutes of the United States; and
                    (C) cease to exist as a Federal savings association 
                as of such date.
            (3) Prohibition on new charters of federal savings 
        associations.--The Director of the Office of Thrift Supervision 
        may not grant any charter for a Federal savings association for 
        which an application was received after the date of the 
        enactment of this Act.
    (b) Treatment of State Savings Associations as Banks For Purposes 
of Federal Banking Law.--
            (1) Amendments to federal deposit insurance act.--Section 3 
        of the Federal Deposit Insurance Act (12 U.S.C. 1813) is 
        amended--
                    (A) by striking paragraph (2) of subsection (a) and 
                inserting the following new paragraph:
            ``(2) State bank.--
                    ``(A) In general.--The term `State bank' means any 
                bank, banking association, trust company, savings bank, 
                industrial bank (or similar depository institution 
                which the Board of Directors finds to be operating 
                substantially in the same manner as an industrial 
                bank), building and loan association, savings and loan 
                association, homestead association, cooperative bank, 
                or other banking institution--
                            ``(i) which is engaged in the business of 
                        receiving deposits, other than trust funds (as 
                        defined in this section); and
                            ``(ii) which--
                                    ``(I) is incorporated under the 
                                laws of any State;
                                    ``(II) is organized and operating 
                                according to the laws of the State in 
                                which such institution is chartered or 
                                organized; or
                                    ``(III) is operating under the Code 
                                of Law for the District of Columbia 
                                (except a national bank).
                    ``(B) Certain insured banks included.--The term 
                `State bank' includes any cooperative bank or other 
                unincorporated bank the deposits of which were insured 
                by the Corporation on the day before the date of the 
                enactment of the Financial Institutions Reform, 
                Recovery, and Enforcement Act of 1989.
                    ``(C) Certain uninsured banks excluded.--The term 
                `State bank' does not include any cooperative bank or 
                other unincorporated bank the deposits of which were 
                not insured by the Corporation on the day before the 
                date of the enactment of the Financial Institutions 
                Reform, Recovery, and Enforcement Act of 1989.''; and
                    (B) in subsection (q)--
                            (i) by inserting ``and'' after the 
                        semicolon at the end of paragraph (2);
                            (ii) by striking ``; and'' at the end of 
                        paragraph (3) and inserting a period; and
                            (iii) by striking paragraph (4).
            (2) Amendments to the bank holding company act of 1956.--
        Section 2 of the Bank Holding Company Act of 1956 (12 U.S.C. 
        1841) is amended--
                    (A) by striking subparagraph (E) of subsection 
                (a)(5); and
                    (B) by striking subparagraphs (B) and (J) of 
                subsection (c)(2).
            (3) Amendments to the federal reserve act.--The 2d and 3d 
        paragraphs of the 1st section of the Federal Reserve Act (12 
        U.S.C. 221) are each amended by inserting ``(as defined in 
        section 3(a)(2) of the Federal Deposit Insurance Act)'' after 
        ``State bank''.

SEC. 2222. TREATMENT OF CERTAIN ACTIVITIES AND AFFILIATIONS OF BANK 
              HOLDING COMPANIES RESULTING FROM THIS ACT.

    Section 4 of the Bank Holding Company Act of 1956 (12 U.S.C. 1843) 
is amended by adding at the end the following new subsection:
    ``(k) Treatment of Companies Resulting From Savings and Loan 
Holding Companies.--
            ``(1) In general.--Notwithstanding any other provision of 
        this section (other than paragraph (5)) or any other provision 
        of Federal law including sections 20 and 32 of the Banking Act 
        of 1933, a qualified bank holding company may, after such 
        company becomes a bank holding company--
                    ``(A) maintain or enter into any nonbanking 
                affiliation which such company was authorized to 
                maintain or enter into as of September 22, 1995, or was 
                authorized to maintain following a merger of insured 
                depository institution subsidiaries pursuant to an 
                application filed no later than such date; and
                    ``(B) engage, directly or through any affiliate 
                described in subparagraph (A) which is not a bank, in 
                any activity in which such company or any affiliate 
                described in subparagraph (A) was authorized to engage 
                as of September 22, 1995, or in which such company was 
                authorized to engage following a merger of insured 
                depository institution subsidiaries pursuant to an 
                application filed no later than such date,
        if the requirements of paragraph (4) are met.
            ``(2) Qualified bank holding company defined.--For purposes 
        of this subsection, the term `qualified bank holding company' 
        means--
                    ``(A) any company which--
                            ``(i) as of September 13, 1995, is a 
                        savings and loan holding company and is not a 
                        bank holding company; and
                            ``(ii) becomes a bank holding company after 
                        such date; and
                    ``(B) any bank holding company which as of 
                September 13, 1995--
                            ``(i) is a savings and loan holding 
                        company; and
                            ``(ii) is exempt from this section pursuant 
                        to an order issued by the Board under 
                        subsection (d).
            ``(3) No loss of subsection (d) exemption.--No qualified 
        bank holding company described in paragraph (2)(B) shall lose 
        the grounds for the exemption under subsection (d) because a 
        savings association which such company controlled, directly or 
        indirectly, as of September 13, 1995, becomes a bank after such 
        date so long as such bank continues to meet the requirements of 
        subparagraphs (A) and (B) of paragraph (4).
            ``(4) Prerequisites for continuation of grandfathered 
        activities and affiliations.--This subsection shall cease to 
        apply with respect to a qualified bank holding company if, at 
        any time after such company first meets the definition of a 
        qualified bank holding company--
                    ``(A) any insured depository institution controlled 
                by such company which, as of the day before the company 
                first meets the definition of a qualified bank holding 
                company, was subject to the requirements contained in 
                section 10(m) of the Home Owners' Loan Act, as in 
                effect on such date, (and regulations in effect on such 
                date under such section) for treatment as a qualified 
                thrift lender under such section fails to meet such 
                requirements;
                    ``(B) any insured depository institution controlled 
                by such company fails to comply with any limitation or 
                restriction on the type or amounts of loans or 
                investments of the institution to which such 
                institution was subject as of the date of the enactment 
                of the Thrift Charter Conversion Act of 1995; or
                    ``(C) the company or any subsidiary of the company 
                acquires more than 5 percent of the shares or assets of 
                any bank or insured institution after September 13, 
                1995.
            ``(5) Nontransferable.--This subsection shall not apply 
        with respect to any qualified bank holding company if, after 
        September 13, 1995, any person acquires, directly or 
        indirectly, control of the company or the company is the 
        subject of any merger, consolidation, or other similar 
        transaction.
            ``(6) Prohibition on certain insured depository 
        institutions identifying themselves as national banks.--
                    ``(A) In general.--Notwithstanding the requirement 
                of section 5134 of the Revised Statutes of the United 
                States--
                            ``(i) the name of an insured depository 
                        institution subsidiary of a qualified bank 
                        holding company which--
                                    ``(I) as of the date of the 
                                enactment of the Thrift Charter 
                                Conversion Act of 1995, is a savings 
                                and loan holding company described in 
                                section 10(c)(3) of the Home Owners' 
                                Loan Act (as in effect on such date); 
                                and
                                    ``(II) is subject to the 
                                restrictions contained in paragraph 
                                (3),
                        may not include the term `national'; and
                            ``(ii) such insured depository institution 
                        may not be identified as a national bank on any 
                        sign displayed by the institution or in any 
                        advertisement or other publication of the 
                        institution.
                    ``(B) Depository institution not liable for 
                fraudulent misrepresentation for not representing 
                itself as a national bank.--An insured depository 
                institution which is subject to subparagraph (A) shall 
                not be liable for any civil or criminal penalty under 
                any Federal or State consumer protection law, or in any 
                criminal or civil action, for fraudulently 
                misrepresenting the nature of the charter of the 
                institution, for falsely advertising the status of the 
                institution, for making a false statement with respect 
                to the status of the institution, or for any similar 
                offense by reason of the institution's compliance with 
                such subparagraph.
            ``(7) Enforcement.--In addition to any other power of the 
        Board, the Board may enforce compliance with the provisions of 
        this subsection with respect to any qualified bank holding 
        company and any bank controlled by such company under section 8 
        of the Federal Deposit Insurance Act.''.

SEC. 2223. TRANSITION PROVISIONS FOR ACTIVITIES OF SAVINGS ASSOCIATIONS 
              WHICH CONVERT INTO OR BECOME TREATED AS BANKS.

    Notwithstanding any other provision of Federal law, any insured 
depository institution which, as of September 13, 1995, is a savings 
association (as defined in section 3(b) of the Federal Deposit 
Insurance Act (as in effect on such date)) and after such date converts 
to a national or State bank charter or becomes treated as a State bank 
pursuant to the amendment made by section 2221(b) may continue to 
engage, directly or indirectly, in any activity in which such 
institution was lawfully engaged as of such date during the 5-year 
period beginning on the effective date of such conversion or the 
effective date of such amendments, as the case may be.

SEC. 2224. REGISTRATION OF BANK HOLDING COMPANIES RESULTING FROM 
              CONVERSIONS OF SAVINGS ASSOCIATIONS TO BANKS OR TREATMENT 
              OF SAVINGS ASSOCIATIONS AS BANKS.

    Section 3 of the Bank Holding Company Act of 1956 (12 U.S.C. 1842) 
is amended by adding at the end the following new subsections:
    ``(h) Registration of Certain Bank Holding Companies.--A company 
which, as of September 13, 1995, is a savings and loan holding company 
(as defined in section 10(a)(1)(D) of Home Owners' Loan Act (as in 
effect on such date)) and is not a bank holding company shall not be 
required to obtain the approval of the Board under subsection (a) to 
become a bank holding company after September 13, 1995, as a result of 
the conversion of any insured depository institution subsidiary of such 
company into a bank or by virtue of the treatment of any insured 
depository institution subsidiary of such company as a bank pursuant to 
the amendments made by the Thrift Charter Conversion Act of 1995, if 
such company--
            ``(1) registers as a bank holding company with the Board in 
        accordance with section 5(a); and
            ``(2) does not acquire, directly or indirectly, ownership 
        or control of any additional insured depository institution or 
        other company in connection with such conversion or treatment.
    ``(i) Regulation of Qualified Bank Holding Companies.--The Board 
shall regulate qualified bank holding companies (as defined in section 
4(k)(2)) in a manner consistent with--
            ``(1) the regulation of such companies by the Director of 
        the Office of Thrift Supervision before the date of the 
        enactment of the Thrift Charter Conversion Act of 1995; and
            ``(2) the safety and soundness of insured depository 
        institution subsidiaries of such companies.''.

SEC. 2225. ADDITIONAL TRANSITION PROVISIONS AND SPECIAL RULES.

    (a) Mutual National Banks Authorized; Conversion of Mutual Savings 
Associations Into National Banks.--
            (1) In general.--Chapter one of title LXII of the Revised 
        Statutes of the United States (12 U.S.C. 21 et seq.) is amended 
        by inserting after section 5133 the following new section:

``SEC. 5133A. MUTUAL NATIONAL BANKS.

    ``(a) In General.--Notwithstanding the paragraph designated the 
``Third'' of section 5134, the Comptroller of the Currency may charter 
national banks organized in the mutual form either de novo or through a 
conversion of any stock national or State bank (as defined in section 3 
of the Federal Deposit Insurance Act) or any State mutual bank or 
credit union, subject to regulations prescribed by the Comptroller of 
the Currency in accordance with this section.
    ``(b) Regulations.--
            ``(1) Transition rules.--National banks organized in the 
        mutual form shall be subject to the regulations of the Director 
        of the Office of Thrift Supervision governing corporate 
        organization, governance, and conversion of mutual 
        institutions, as in effect on September 13, 1995, including 
        parts 543, 544, 546, 563b, and 563c of chapter V of title 12 of 
        the Code of Federal Regulations (as in effect on such date), 
        during the 3-year period beginning on the date of the enactment 
        of the Thrift Charter Conversion Act of 1995.
            ``(2) Regulations of the comptroller.--The Comptroller of 
        the Currency shall prescribe appropriate regulations for 
        national banks organized in the mutual form, effective as of 
        the end of the 3-year period referred to in paragraph (1).
            ``(3) Applicability of capital stock requirements.--The 
        Comptroller of the Currency shall prescribe regulations 
        regarding the manner in which requirements of title LXII of the 
        Revised Statutes of the United States with respect to capital 
        stock, and limitations imposed on national banks under such 
        title based on capital stock, shall apply to national banks 
        organized in mutual form pursuant to subsection (a).
    ``(c) Conversions.--
            ``(1) Conversion to stock national bank.--Subject to 
        subsection (b)(1) and, after the end of the 3-year period 
        referred to in such subsection, such regulations as the 
        Comptroller of the Currency may prescribe for the protection of 
        depositors' rights and for any other purpose the Comptroller of 
        the Currency may consider appropriate, any national bank which 
        is organized in mutual form pursuant to paragraph (1) may 
        reorganize as a stock national bank.
            ``(2) Conversions to state banks.--Any national mutual bank 
        may convert to a State bank charter in accordance with 
        regulations prescribed by the Comptroller of the Currency and 
        applicable State law.''.
            (2) Mutual bank holding companies.--Subsection (g) of 
        section 3 of the Bank Holding Company Act of 1956 (12 U.S.C. 
        1842(g)) is amended to read as follows:
    ``(g) Mutual Bank Holding Companies.--
            ``(1) In general.--A national mutual bank may reorganize so 
        as to become a holding company by--
                    ``(A) chartering an interim national bank, the 
                stock of which is to be wholly owned, except as 
                otherwise provided in this section, by the national 
                mutual bank; and
                    ``(B) transferring the substantial part of the 
                national mutual bank's assets and liabilities, 
                including all of the bank's insured liabilities, to the 
                interim national bank.
            ``(2) Directors and certain account holders' approval of 
        plan required.--A reorganization is not authorized under this 
        subsection unless--
                    ``(A) a plan providing for such reorganization has 
                been approved by a majority of the board of directors 
                of the national mutual bank; and
                    ``(B) in the case of a national mutual bank in 
                which holders of accounts and obligors exercise voting 
                rights, such plan has been submitted to and approved by 
                a majority of such individuals at a meeting held at the 
                call of the directors in accordance with the procedures 
                prescribed by the bank's charter and bylaws.
            ``(3) Notice to the board; disapproval period.--
                    ``(A) Notice required.--
                            ``(i) In general.--At least 60 days before 
                        taking any action described in paragraph (1), a 
                        national mutual bank seeking to establish a 
                        mutual holding company shall provide written 
                        notice to the Board.
                            ``(ii) Contents of notice.--The notice 
                        shall contain such relevant information as the 
                        Board shall require by regulation or by 
                        specific request in connection with any 
                        particular notice.
                    ``(B) Transaction allowed if not disapproved.--
                Unless the Board within such 60-day notice period 
                disapproves the proposed holding company formation, or 
                extends for another 30 days the period during which 
                such disapproval may be issued, the national mutual 
                bank providing such notice may proceed with the 
                transaction, if the requirements of paragraph (2) have 
                been met.
                    ``(C) Grounds for disapproval.--The Board may 
                disapprove any proposed holding company formation only 
                if--
                            ``(i) such disapproval is necessary to 
                        prevent unsafe or unsound practices;
                            ``(ii) the financial or management 
                        resources of the national mutual bank involved 
                        warrant disapproval;
                            ``(iii) the national mutual bank fails to 
                        furnish the information required under 
                        subparagraph (A); or
                            ``(iv) the national mutual bank fails to 
                        comply with the requirement of paragraph (2).
                    ``(D) Retention of capital assets.--In connection 
                with the transaction described in paragraph (1), a 
                national mutual bank may, subject to the approval of 
                the Board, retain capital assets at the holding company 
                level to the extent that the capital retained at the 
                holding company is in excess of the amount of capital 
                required in order for the interim national bank to meet 
                all relevant capital standards established by the 
                Comptroller of the Currency for national banks.
            ``(4) Ownership.--
                    ``(A) In general.--Persons having ownership rights 
                in the national mutual bank under section 5133A of the 
                Revised Statutes of the United States (including 
                paragraph 575.5 of chapter V of title 12 of the Code of 
                Federal Regulations, as in effect on September 13, 
                1995, and applicable to national mutual banks pursuant 
                to such section) or State law shall have the same 
                ownership rights with respect to the mutual holding 
                company.
                    ``(B) Holders of certain accounts.--Holders of 
                savings, demand, or other accounts of--
                            ``(i) a national bank chartered as part of 
                        a transaction described in paragraph (1); or
                            ``(ii) a mutual bank acquired pursuant to 
                        paragraph (5)(B),
                shall have the same ownership rights with respect to 
                the mutual holding company as persons described in 
                subparagraph (A) of this paragraph.
            ``(5) Permitted activities.--A mutual holding company may 
        engage only in the following activities:
                    ``(A) Investing in the stock of a national or State 
                bank.
                    ``(B) Acquiring a mutual bank through the merger of 
                such bank into a national bank subsidiary of such 
                holding company or an interim national bank subsidiary 
                of such holding company.
                    ``(C) Subject to paragraph (6), merging with or 
                acquiring another holding company, one of whose 
                subsidiaries is a national mutual bank.
                    ``(D) Investing in a corporation the capital stock 
                of which is available for purchase by a national mutual 
                bank under Federal law or under the law of any State 
                where the home office of any subsidiary bank is 
                located.
                    ``(E) Engaging in the activities permitted under 
                section 4(c).
            ``(6) Limitations on certain activities of acquired holding 
        companies.--
                    ``(A) New activities.--If a mutual holding company 
                acquires or merges with another holding company under 
                paragraph (5)(C), the holding company acquired or the 
                holding company resulting from such merger or 
                acquisition may only invest in assets and engage in 
                activities which are authorized under paragraph (5).
                    ``(B) Grace period for divesting prohibited assets 
                or discontinuing prohibited activities.--Not later than 
                2 years following a merger or acquisition described in 
                paragraph (5)(C), the acquired holding company or the 
                holding company resulting from such merger or 
                acquisition shall--
                            ``(i) dispose of any asset which is an 
                        asset in which a mutual holding company may not 
                        invest under paragraph (5); and
                            ``(ii) cease any activity which is an 
                        activity in which a mutual holding company may 
                        not engage under paragraph (5).
            ``(7) Chartering and other requirements.--
                    ``(A) In general.--A mutual holding company shall 
                be chartered by the Board and shall be subject to such 
                regulations as the Board may prescribe.
                    ``(B) Other requirements.--Unless the context 
                otherwise requires, a mutual holding company shall be 
                subject to the other requirements of this Act regarding 
                regulation of holding companies.
            ``(8) Capital improvement.--
                    ``(A) Pledge of stock of savings association 
                subsidiary.--This section shall not prohibit a mutual 
                holding company from pledging all or a portion of the 
                stock of a national bank chartered as part of a 
                transaction described in paragraph (1) to raise capital 
                for such bank.
                    ``(B) Issuance of nonvoting shares.--No provision 
                of this Act shall be construed as prohibiting a 
                national bank chartered as part of a transaction 
                described in paragraph (1) from issuing any nonvoting 
                shares or less than 50 percent of the voting shares of 
                such bank to any person other than the mutual holding 
                company.
            ``(9) Insolvency and liquidation.--
                    ``(A) In general.--Notwithstanding any provision of 
                law, upon--
                            ``(i) the default of any national bank--
                                    ``(I) the stock of which is owned 
                                by any mutual holding company; and
                                    ``(II) which was chartered in a 
                                transaction described in paragraph (1);
                            ``(ii) the default of a mutual holding 
                        company; or
                            ``(iii) a foreclosure on a pledge by a 
                        mutual holding company described in paragraph 
                        (8)(A),
                a trustee shall be appointed receiver of such mutual 
                holding company and such trustee shall have the 
                authority to liquidate the assets of, and satisfy the 
                liabilities of, such mutual holding company pursuant to 
                title 11, United States Code.
                    ``(B) Distribution of net proceeds.--Except as 
                provided in subparagraph (C), the net proceeds of any 
                liquidation of any mutual holding company pursuant to 
                subparagraph (A) shall be transferred to persons who 
                hold ownership interests in such mutual holding 
                company.
                    ``(C) Recovery by corporation.--If the Corporation 
                incurs a loss as a result of the default of any savings 
                association subsidiary of a mutual holding company 
                which is liquidated pursuant to subparagraph (A), the 
                Corporation shall succeed to the ownership interests of 
                the depositors of such savings association in the 
                mutual holding company, to the extent of the 
                Corporation's loss.
            ``(10) State mutual bank holding company.--
                    ``(A) In general.--Notwithstanding any provision of 
                Federal law, a State bank operating in mutual form may 
                reorganize so as to form a holding company under State 
                law.
                    ``(B) Regulation of state mutual holding company.--
                A corporation organized as a holding company in 
                accordance with subparagraph (A) shall be regulated on 
                the same terms and be subject to the same limitations 
                as any other holding company which controls a bank.
            ``(11) Regulations.--
                    ``(A) Transition rules.--Mutual bank holding 
                companies organized under this subsection shall be 
                subject to the regulations of the Director of the 
                Office of Thrift Supervision governing corporate 
                organization, governance, and conversion of mutual 
                institutions, as in effect on September 13, 1995, 
                including part 575 of chapter V of title 12 of the Code 
                of Federal Regulations (as in effect on such date), 
                during the 3-year period beginning on the date of the 
                enactment of the Thrift Charter Conversion Act of 1995.
                    ``(B) Regulations of the board.--The Board shall 
                prescribe appropriate regulations for mutual holding 
                companies, effective at the end of the 3-year period 
                referred to in subparagraph (A).
            ``(12) Definitions.--For purposes of this subsection--
                    ``(A) Mutual holding company.--The term `mutual 
                holding company' means a corporation organized as a 
                holding company under this subsection.
                    ``(B) Default.--The term `default' means an 
                adjudication or other official determination of a court 
                of competent jurisdiction or other public authority 
                pursuant to which a conservator, receiver, or other 
                legal custodian is appointed.
                    ``(C) National mutual bank.--The term `national 
                mutual bank' means a national bank organized in mutual 
                form under section 5133A of the Revised Statutes of the 
                United States.''.
            (3) Limitation on federal regulation of state banks.--
        Except as otherwise provided in Federal law, the Comptroller of 
        the Currency, Board of Governors of the Federal Reserve System, 
        and Federal Deposit Insurance Corporation may not adopt or 
        enforce any regulation which contravenes the corporate 
        governance rules prescribed by State law or regulation for 
        State banks unless the Comptroller, Board, or Corporation finds 
        that such Federal regulation is necessary to assure the safety 
        and soundness of such State banks.
            (4) Conversions of mutual savings associations to mutual 
        national banks by operation of law.--Notwithstanding any other 
        provision of Federal or State law, any savings association (as 
        defined in section 3 of the Federal Deposit Insurance Act (as 
        in effect on September 13, 1995)) which is organized in mutual 
        form as of the date of the enactment of this Act may become a 
        national mutual bank by operation of law if the association--
                    (A) files the articles of association and 
                organization certificate with the Comptroller of the 
                Currency before January 1, 1998, in accordance with 
                chapter one of title LXII of the Revised Statutes of 
                the United States; and
                    (B) provides such other document or information as 
                the Comptroller of the Currency may prescribe in 
                regulations consistent with this section and section 
                5133A of the Revised Statutes of the United States (as 
                added by paragraph (1) of this subsection).
            (5) Clerical amendment.--The table of sections for chapter 
        one of title LXII of the Revised Statutes of the United States 
        (12 U.S.C. 21 et seq.) is amended by inserting after the item 
relating to section 5133 the following new item:

``5133A.  Mutual national banks.''.
    (b) Membership in Federal Home Loan Banks.--Any insured depository 
institution which--
            (1) as of the date of the enactment of this Act, is a 
        Federal savings association which, pursuant to section 6(e) of 
        the Federal Home Loan Bank Act, may not voluntarily withdraw 
        from membership in a Federal home loan bank; and
            (2) after such date converts from a Federal savings 
        association to a national bank,
shall continue to be subject to the prohibition under such section on 
voluntary withdrawal from such membership as though such bank were 
still a Federal savings association until the bank ceases to be a 
national bank.
    (c) Branches.--
            (1) In general.--Notwithstanding any provision of the 
        Federal Deposit Insurance Act, the Bank Holding Company Act of 
        1956, or any other Federal or State law, any depository 
        institution which--
                    (A) as of the date of the enactment of this Act, is 
                a savings association; and
                    (B) becomes a bank before January 1, 1998, or, 
                pursuant to the amendments made by this subsection, is 
                treated as a bank as of such date under the Federal 
                Deposit Insurance Act,
        and any depository institution or bank holding company which 
        acquires such depository institution, may continue, after the 
        depository institution becomes or commences to be treated as a 
        bank, to operate any branch which the savings association 
        operated as a branch on September 13, 1995.
            (2) No additional branches.--Paragraph (1) shall not be 
        construed as authorizing the establishment, acquisition, or 
        operation of any additional branch of a depository institution 
        in any State by virtue of the operation by such institution of 
        a branch in such State pursuant to such paragraph except to the 
        extent such establishment, acquisition, or operation is 
        permitted under the Federal Deposit Insurance Act, Bank Holding 
        Company Act of 1956, and any other applicable Federal or State 
        law without regard to such branch.
    (d) Transition Provision Relating to Limitations on Loans to 1 
Borrower.--Section 5200 of the Revised Statutes of the United States 
(12 U.S.C. 84) is amended by adding at the end the following new 
subsection:
    ``(e) Transition Provision for Savings Associations Converting to 
National Banks.--In the case of any depository institution which, as of 
September 13, 1995, is a savings association (as defined in section 
3(b) of the Federal Deposit Insurance Act (as in effect on such date)) 
and becomes a national bank on or before January 1, 1998, any loan, or 
legally binding commitment to make a loan, made or entered into by such 
institution which is outstanding on the date the institution becomes a 
national bank may continue to be held without regard to any limitation 
contained in this section during the 3-year period beginning on such 
date.''.

SEC. 2226. TECHNICAL AND CONFORMING AMENDMENTS.

    (a) Amendments to the Federal Deposit Insurance Act.--
            (1) Section 3(z) of the Federal Deposit Insurance Act (12 
        U.S.C. 1813(z)) is amended by striking ``the Director of the 
        Office of Thrift Supervision,''.
            (2) Section 8(b) of the Federal Deposit Insurance Act (12 
        U.S.C. 1818(b)) is amended by striking paragraph (9).
            (3) Section 13 of the Federal Deposit Insurance Act (12 
        U.S.C. 1823) is amended by striking subsection (k).
            (4) Subsections (c)(2) and (i)(2) of section 18 of the 
        Federal Deposit Insurance Act (12 U.S.C. 1828) are each 
        amended--
                    (A) in subparagraph (B), by inserting ``and'' after 
                the semicolon;
                    (B) in subparagraph (C), by striking ``; and'' and 
                inserting a period; and
                    (C) by striking subparagraph (D).
            (5) Section 18 of the Federal Deposit Insurance Act (12 
        U.S.C. 1828) is amended by striking subsection (m).
            (6) The Federal Deposit Insurance Act (12 U.S.C. 1811 et 
        seq.) is amended by striking section 28.
    (b) Amendments to the Bank Holding Company Act of 1956.--
            (1) Section 2 of the Bank Holding Company Act of 1956 (12 
        U.S.C. 1841) is amended by striking subsections (i) and (j).
            (2) Section 4(c)(8) of the Bank Holding Company Act of 1956 
        (12 U.S.C. 1843(c)(8)) is amended by striking the sentence 
        preceding the penultimate sentence.
            (3) Section 4(f) of the Bank Holding Company Act of 1956 
        (12 U.S.C. 1843(f)) is amended--
                    (A) in paragraph (2)(A)(i), by striking ``or an 
                insured institution'' and all that follows through ``of 
                this subsection)'';
                    (B) in paragraph (2)(A)(ii)--
                            (i) by striking ``or a savings 
                        association'' where such term appears in the 
                        portion of such paragraph which precedes 
                        subclause (I);
                            (ii) by inserting ``and'' at the end of 
                        subclause (VI);
                            (iii) by striking subclauses (VIII), (IX), 
                        and (X); and
                            (iv) by striking ``(V), and (VIII)'', where 
                        such term appears in the portion of such 
                        paragraph which appears after the end of 
                        subclause (VII), and inserting ``and (V)''; and
                    (C) by striking paragraphs (10), (11), (12), and 
                (13).
            (4) Section 4(i) of the Bank Holding Company Act of 1956 
        (12 U.S.C. 1843(i)) is amended--
                    (A) by striking paragraphs (1) and (2); and
                    (B) in paragraph (3)(A), by striking ``any Federal 
                savings association'' and all that follows through the 
                period at the end of such paragraph and inserting 
                ``such association was authorized to engage under this 
                section as of September 15, 1995.''.
    (c) Other Technical and Conforming Amendments.--
            (1) Section 804(a) of the Alternative Mortgage Transaction 
        Parity Act of 1982 (12 U.S.C. 3803) is amended--
                    (A) in the portion of such subsection which 
                precedes paragraph (1)--
                            (i) by striking ``, and other nonfederally 
                        chartered housing creditors,''; and
                            (ii) by inserting ``and in order to permit 
                        other nonfederally chartered housing creditors 
                        to make, purchase, and enforce alternative 
                        mortgage transactions,'' after ``enforcing 
                        alternative mortgage transactions, ''; and
                    (B) in paragraph (1), by inserting ``(as such term 
                is defined in section 3(a) of the Federal Deposit 
                Insurance Act)'' after ``with respect to banks''.
            (2) Section 205 of the Depository Institution Management 
        Interlocks Act (12 U.S.C. 3204) is amended--
                    (A) in the portion of paragraph (8)(A) which 
                precedes clause (i), by striking ``A diversified 
                savings'' and all that follows through ``with respect 
                to'' and inserting ``A depository institution holding 
                company which, as of September 13, 1995, and at all 
                times thereafter, is a diversified savings and loan 
                holding company (as defined in section 10(1)(F) of Home 
                Owners' Loan Act, as such section is in effect on such 
                date) with respect to''; and
                    (B) by striking paragraph (9).
            (3) Section 19(b)(1)(A) of the Federal Reserve Act (12 
        U.S.C. 461(b)(1)(A)) is amended--
                    (A) by inserting ``and'' after the semicolon at the 
                end of clause (v); and
                    (B) by striking clause (vi).
            (4) Subparagraphs (A), (B), (C) of section 10(e)(5) of the 
        Federal Home Loan Bank Act (12 U.S.C. 1430(e)(5)) are each 
        amended by inserting before the period at the end ``(as such 
        section is in effect on September 13, 1995)''.

SEC. 2227. REFERENCES TO SAVINGS ASSOCIATIONS AND STATE BANKS IN 
              FEDERAL LAW.

    Effective January 1, 1998, any reference in any Federal banking law 
to--
            (1) the term ``savings association'' shall be deemed to be 
        a reference to a bank as defined in section 3(a) of the Federal 
        Deposit Insurance Act; and
            (2) the term ``State bank'' shall be deemed to include any 
        depository institution included in the definition of such term 
        in section 3(a)(2) of such Act.

SEC. 2228. REPEAL OF HOME OWNERS' LOAN ACT.

    Effective January 1, 1998, the Home Owners' Loan Act (12 U.S.C. 
1461 et seq.) is hereby repealed.

SEC. 2229. EFFECTIVE DATE; DEFINITIONS.

    (a) Effective Date of Amendments.--The amendments made by this 
chapter shall take effect on January 1, 1998.
    (b) Definitions.--For purposes of this chapter, the terms 
``appropriate Federal banking agency'', ``bank holding company'', 
``depository institution'', ``Federal savings association'', ``insured 
depository institution'', ``savings association'', and ``State bank'' 
have the same meanings as in section 3 of the Federal Deposit Insurance 
Act (as in effect on the date of the enactment of this Act).

       CHAPTER 3--TRANSFER OF FUNCTIONS, PERSONNEL, AND PROPERTY

SEC. 2241. OFFICE OF THRIFT SUPERVISION ABOLISHED.

    Effective January 1, 1998, the Office of Thrift Supervision and the 
position of Director of the Office of Thrift Supervision are hereby 
abolished.

SEC. 2242. DETERMINATION OF TRANSFERRED FUNCTIONS AND EMPLOYEES.

    (a) All Office of Thrift Supervision Employees Shall Be 
Transferred.--All employees of the Office of Thrift Supervision shall 
be identified for transfer under subsection (b) to the Office of the 
Comptroller of the Currency, the Federal Deposit Insurance Corporation, 
or the Board of Governors of the Federal Reserve System.
    (b) Functions and Employees Transferred.--
            (1) In general.--The Director of the Office of Thrift 
        Supervision, the Comptroller of the Currency, the Chairperson 
        of the Federal Deposit Insurance Corporation, and the Chairman 
        of the Board of Governors of the Federal Reserve System shall 
        jointly determine the functions or activities of the Office of 
        Thrift Supervision, and the number of employees of such Office 
        necessary to perform or support such functions or activities, 
        which are transferred from the Office to the Office of the 
        Comptroller of the Currency, the Federal Deposit Insurance 
Corporation, or the Board of Governors of the Federal Reserve System, 
as the case may be.
            (2) Allocation of employees.--The Comptroller of the 
        Currency, the Chairperson of the Federal Deposit Insurance 
        Corporation, and the Chairman of the Board of Governors of the 
        Federal Reserve System shall allocate the employees of the 
        Office of Thrift Supervision consistent with the number 
        determined pursuant to paragraph (1) in a manner which such 
        Comptroller, Chairperson, and Chairman, in their sole 
        discretion, deem equitable, except that, within work units, the 
        agency preferences of individual employees shall be 
        accommodated as far as possible.
    (c) Disposition of Affairs.--
            (1) In general.--In winding up the affairs of the Office of 
        Thrift Supervision, the Director of the Office of Thrift 
        Supervision shall consult and cooperate with the Comptroller of 
        the Currency, the Federal Deposit Insurance Corporation, and 
        the Board of Governors of the Federal Reserve System, as the 
        case may be, to facilitate the orderly transfer of the 
        functions to such Comptroller, Corporation, or Board.
            (2) Continuing authority of director of the office of 
        thrift supervision.--Except as provided in paragraph (1), no 
        provision of this subtitle shall be construed as affecting the 
        authority vested in the Director of the Office of Thrift 
        Supervision before the date of enactment of this Act which is 
        necessary to carry out the duties of the position until the 
        date upon which the position of Director of the Office of 
        Thrift Supervision is abolished.
            (3) Continuation of agency services.--Any agency, 
        department, or other instrumentality of the United States, or 
        any successor to any such agency, department, or 
        instrumentality, which was providing support services to the 
        Director of the Office of Thrift Supervision on the day before 
        the date such position is abolished shall--
                    (A) continue to provide such services on a 
                reimbursable basis, in accordance with the terms of the 
                arrangement pursuant to which such services were 
                provided until the arrangement is modified or 
                terminated in accordance with such terms, except that 
                effective January 1, 1998, the Comptroller of the 
                Currency, the Federal Deposit Insurance Corporation, or 
                the Board of Governors of the Federal Reserve System, 
                as the case may be, shall be substituted for the 
                Director of the Office of Thrift Supervision as a party 
                to the arrangement; and
                    (B) consult with the Comptroller, the Corporation, 
                or the Board to coordinate and facilitate a prompt and 
                reasonable transition.
    (d) Transfer of Property.--Effective January 1, 1998, all property 
of the Office of Thrift Supervision shall be transferred to the 
Comptroller of the Currency, the Federal Deposit Insurance Corporation, 
or the Board of Governors of the Federal Reserve System, as determined 
in accordance with subsections (a) and (b).

SEC. 2243. SAVINGS PROVISIONS.

    (a) Existing Rights, Duties, and Obligations Not Affected.--No 
provision of this title shall be construed as affecting the validity of 
any right, duty, or obligation of the United States, the Director of 
the Office of Thrift Supervision, or any person, which existed on the 
day before the date upon which the position of Director of the Office 
of Thrift Supervision and the Office of Thrift Supervision are 
abolished.
    (b) Continuation of Suits.--No action or other proceeding commenced 
by or against the Director of the Office of Thrift Supervision shall 
abate by reason of enactment of this Act, except that, effective 
January 1, 1998, the Comptroller of the Currency, the Federal Deposit 
Insurance Corporation, or the Board of Governors of the Federal Reserve 
System, as the case may be, shall be substituted as a party to any such 
action or proceeding.
    (c) Continuation of Administrative Rules.--All orders, resolutions, 
determinations, regulations, interpretative rules, other 
interpretations, guidelines, procedures, supervisory and enforcement 
actions, and other advisory material (other than any regulation 
implementing or prescribed pursuant to section 3(f) of the Home Owners' 
Loan Act (as in effect on September 13, 1995)) which--
            (1) have been issued, made, prescribed, or permitted to 
        become effective by the Office of Thrift Supervision, and
            (2) are in effect on December 31, 1996, (or become 
        effective after such date pursuant to the terms of the order, 
        resolution, determination, rule, other interpretation, 
        guideline, procedure, supervisory or enforcement action, and 
        other advisory material, as in effect on such date), shall--
                    (A) continue in effect according to the terms of 
                such orders, resolutions, determinations, regulations, 
                interpretative rules, other interpretations, 
                guidelines, procedures, supervisory or enforcement 
                actions, or other advisory material;
                    (B) be administered by the Comptroller of the 
                Currency, the Federal Deposit Insurance Corporation, or 
                the Board of Governors of the Federal Reserve System; 
                and
                    (C) be enforceable by or against the Comptroller of 
                the Currency, the Federal Deposit Insurance 
                Corporation, or the Board of Governors of the Federal 
                Reserve System until modified, terminated, set aside, 
                or superseded in accordance with applicable law by the 
                Comptroller, Corporation, or Board, by any court of 
                competent jurisdiction, or by operation of law.
    (d) Treatment of References in Adjustable Rate Mortgages Issued 
Before FIRREA.--For purposes of section 402(e) of Financial 
Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 
1437 note), any reference in such section to--
                    (A) the Director of the Office of Thrift 
                Supervision shall be deemed to be a reference to the 
                Secretary of the Treasury; and
                    (B) a Savings Association Insurance Fund member 
                shall be deemed to be a reference to an insured 
depository institution (as defined in section 3 of the Federal Deposit 
Insurance Act).
    (e) Treatment of References in Adjustable Rate Mortgage Instruments 
Issued After FIRREA.--
            (1) In general.--For purposes of adjustable rate mortgage 
        instruments that are in effect as of the date of enactment of 
        this Act, any reference in the instrument to the Director of 
        the Office of Thrift Supervision or Savings Association 
        Insurance Fund members shall be treated as a reference to the 
        Secretary of the Treasury or insured depository institutions 
        (as defined in section 3 of the Federal Deposit Insurance Act), 
        as appropriate.
            (2) Substitution for indexes.--If any index used to 
        calculate the applicable interest rate on any adjustable rate 
        mortgage instrument is no longer calculated and made available 
        as a direct or indirect result of the enactment of this Act, 
        any index--
                    (A) made available by the Secretary of the 
                Treasury; or
                    (B) determined by the Secretary of the Treasury, 
                pursuant to paragraph (4), to be substantially similar 
                to the index which is no longer calculated or made 
                available,
        may be substituted by the holder of any such adjustable rate 
        mortgage instrument upon notice to the borrower.
            (3) Agency action required to provide continued 
        availability of indexes.--Promptly after the enactment of this 
        subsection, the Secretary of the Treasury, the Chairperson of 
        the Federal Deposit Insurance Corporation, and the Comptroller 
        of the Currency shall take such action as may be necessary to 
        assure that the indexes prepared by the Director of the Office 
        of Thrift Supervision immediately prior to the enactment of 
        this subsection and used to calculate the interest rate on 
        adjustable rate mortgage instruments continue to be available.
            (4) Requirements relating to substitute indexes.--If any 
        agency can no longer make available an index pursuant to 
        paragraph (3), an index that is substantially similar to such 
        index may be substituted for such index for purposes of 
        paragraph (2) if the Secretary of the Treasury determines, 
        after notice and opportunity for comment, that--
                    (A) the new index is based upon data substantially 
                similar to that of the original index; and
                    (B) the substitution of the new index will result 
                in an interest rate substantially similar to the rate 
                in effect at the time the original index became 
                unavailable.

SEC. 2244. REFERENCES IN FEDERAL LAW TO DIRECTOR OF THE OFFICE OF 
              THRIFT SUPERVISION.

    Effective January 1, 1998, any reference in any Federal law to the 
Director of the Office of Thrift Supervision or the Office of Thrift 
Supervision shall be deemed to be a reference to the appropriate 
Federal banking agency (as defined in section 3(q) of the Federal 
Deposit Insurance Act).

SEC. 2245. RECONFIGURATION OF BOARD OF DIRECTORS OF FDIC AS A RESULT OF 
              REMOVAL OF DIRECTOR OF THE OFFICE OF THRIFT SUPERVISION.

    (a) In General.--Section 2(a)(1) of the Federal Deposit Insurance 
Act (12 U.S.C. 1812(a)(1)) is amended to read as follows:
            ``(1) In general.--The management of the Corporation shall 
        be vested in a Board of Directors consisting of 3 members--
                    ``(A) 1 of whom shall be the Comptroller of the 
                Currency; and
                    ``(B) 2 of whom shall be appointed by the 
                President, by and with the advice and consent of the 
                Senate, from among individuals who are citizens of the 
                United States.''.
    (b) Technical and Conforming Amendments.--
            (1) Section 2(a)(2) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1812(a)(2)) is amended--
                    (A) by striking ``February 28, 1993'' and inserting 
                ``January 1, 1998''; and
                    (B) by striking ``3'' and inserting ``2''.
            (2) Section 2(d)(2) of the Federal Deposit Insurance Act 
        (12 U.S.C. 1812(d)(2)) is amended--
                    (A) by striking ``or the office of Director of the 
                Office of Thrift Supervision'';
                    (B) by striking ``or such Director'';
                    (C) by striking ``or the Acting Director of the 
                Office of Thrift Supervision, as the case may be''; and
                    (D) by striking ``or Director''.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on January 1, 1998.
    (d) Designation of Abolished Position.--Unless there is a vacancy 
in the position of an appointed member of the Board of Directors as of 
January 1, 1998, the President, consistent with the requirements of 
section 2(a)(2) of the Federal Deposit Insurance Act, shall designate 
which of the 3 positions of appointed member of such Board of Directors 
shall be abolished pursuant to the amendment made by subsection (a).

           Subtitle C--Community Reinvestment Act Amendments

SEC. 2301. EXPRESSION OF CONGRESSIONAL INTENT.

    Subsection (b) of section 802 of the Community Reinvestment Act of 
1977 (12 U.S.C. 2901) is amended to read as follows:
    ``(b) It is the purpose of this title to require each appropriate 
Federal financial supervisory agency to use its authority, when 
examining financial institutions, to encourage such institutions to 
help meet the credit needs of the local communities in which they are 
chartered consistent with the safe and sound operation of such 
institutions. When examining financial institutions, a supervisory 
agency shall not impose additional burden, recordkeeping, or reporting 
upon such institutions.''.

SEC. 2302. COMMUNITY REINVESTMENT ACT EXEMPTION.

    The Community Reinvestment Act of 1977 (12 U.S.C. 2901 et seq.) is 
amended by adding at the end the following new section:

``SEC. 809. TREATMENT OF SMALL FINANCIAL INSTITUTIONS.

    ``(a) In General.--In lieu of being evaluated under section 806A 
and receiving a written evaluation under section 807, an eligible 
regulated financial institution shall make a notice, signed by the 
president, available to the public that--
            ``(1) lists the type of credit and services that the 
        institution provides to help meet the credit needs of the local 
        community; and
            ``(2) states that the institution helps meet the credit 
        needs of the local communities in which the institution 
        operates, including low- and moderate-income neighborhoods.
    ``(b) Eligible regulated financial institutions.--
            ``(1) In general.--A regulated financial institution shall 
        be eligible for purposes of subsection (a) if the institution 
        and any bank holding company which controls such institution 
        have aggregate assets of not more than $100,000,000.
            ``(2) Annual adjustment.--The dollar amount in paragraph 
        (1) shall be adjusted annually after December 31, 1994, by the 
        annual percentage increase in the Consumer Price Index for 
        Urban Wage Earners and Clerical Workers published by the Bureau 
        of Labor Statistics.
    ``(c) Exemption From Other Requirements.--A regulated financial 
institution which has complied with the notice requirements of 
subsection (a) shall not be subject to section 804 and any regulations 
prescribed under section 806.''.

SEC. 2303. SELF-CERTIFICATION OF CRA COMPLIANCE.

    Section 804 of the Community Reinvestment Act of 1977 (12 U.S.C. 
2903) is amended by adding at the end the following new subsection (c):
    ``(c) Self-Certification of CRA Compliance.--
            ``(1) Certification.--In lieu of being evaluated under 
        section 806A and receiving a written evaluation under section 
        807, a qualifying financial institution may elect to self-
        certify to the appropriate Federal financial supervisory agency 
        that such institution is in compliance with the goals of this 
        title.
            ``(2) Qualifying institution.--
                    ``(A) In general.--For purposes of paragraph (1), 
                the term `qualifying institution' means a financial 
                institution which--
                            ``(i) has not more than $250 million in 
                        assets;
                            ``(ii) has not been found to have engaged 
                        in a pattern or practice of illegal 
                        discrimination under the Fair Housing Act or 
                        the Equal Credit Opportunity Act for the 
                        preceding 5-year calendar period; and
                            ``(iii) received rating under section 
                        807(b)(2) of `satisfactory' or `outstanding' in 
                        the most recent evaluation of such institution 
                        under this title.
                    ``(B) Annual adjustment.--The dollar amount in 
                subparagraph (A) shall be adjusted annually after 
                December 31, 1994, by the annual percentage increase in 
                the Consumer Price Index for Urban Wage Earners and 
                Clerical Workers published by the Bureau of Labor 
                Statistics.
            ``(3) Public notice.--
                    ``(A) In general.--A qualifying institution shall 
                maintain in every branch a public notice stating that--
                            ``(i) the institution has self-certified 
                        that the institution is satisfactorily helping 
                        to meet the credit needs of its community;
                            ``(ii) the institution maintains--
                                    ``(I) at the main office of such 
                                institution, a public file which 
                                contains a copy of the self-
                                certification to the appropriate 
                                Federal financial supervisory agency; 
                                and
                                    ``(II) a map delineating the 
                                community served by the institution;
                            ``(iii) a list of the types of credit and 
                        services that the institution provides to the 
                        community served by the institution;
                            ``(iv) such other information that the 
                        institution believes demonstrates the 
                        institution's record of helping to meet the 
                        credit needs of its community; and
                            ``(v) every public comment or letter to the 
                        institution (and any response by the 
                        institution) received within the previous 2-
                        year period about the record of the institution 
                        of helping to meet the credit needs of its 
                        community.
                    ``(B) Public file.--A qualifying institution shall 
                maintain a public file containing the contents 
                described in this paragraph at the institution's main 
                office.
            ``(4) Rating.--
                    ``(A) In general.--A qualifying institution shall 
                be deemed to have a rating of a `satisfactory record of 
                meeting community credit needs' for the purposes of 
                this section and section 806A(c).
                    ``(B) Publication.--Each Federal financial 
                supervisory agency shall publish in the Federal 
                Register once each month a list of institutions that 
                have self-certified during the previous month.
                    ``(C) Publication constitutes disclosure.--
                Publication of the name of the institution in the 
                Federal Register as having self-certified shall 
                constitute disclosure of the rating of the institution 
                to the public for purposes of sections 806A and 807.
            ``(5) Regulatory review.--
                    ``(A) Assessment.--During each examination for 
                safety and soundness, a qualifying institution's 
                supervisory agency shall, as part of the agency's 
                review of the institution's loans, assess whether the 
                institution's basis for its self-certification is 
                reasonable based on the public notice and the 
                information contained in the public file pursuant to 
                paragraph (3).
                    ``(B) Examination if self-certification is not 
                reasonable.--If the agency determines that the 
                institution's basis for the institution's self-
                certification is not reasonable, the agency shall 
                schedule an examination of the institution for the 
                purpose of assessing the institution's record of 
                helping to meet the credit needs of its community.
                    ``(C) Revocation of self-certification.--If an 
                assessment pursuant to subparagraph (B) results in a 
                less than `satisfactory' rating, the agency shall 
                revoke the institution's self-certification and 
                substitute a written evaluation as provided under 
                section 807.
                    ``(D) Period of ineligibility for self-
                certification.--An institution whose self-certification 
                has been revoked may not self-certify pursuant to this 
                subsection during the 5 years succeeding the year in 
                which the self-certification is revoked.
                    ``(E) Subsequent eligibility.--After the end of the 
                period of ineligibility described in subparagraph (D), 
                an institution which meets the requirements for self-
                certification may elect to self-certify.
            ``(6) Prohibition on additional requirements.--No 
        appropriate Federal financial supervisory agency may impose any 
        additional requirements, whether by regulation or otherwise, 
        relating to the self-certification procedure under this 
        subsection.''.

SEC. 2304. COMMUNITY INPUT AND CONCLUSIVE RATING.

    (a) Conforming Amendment.--Section 804(a) of the Community 
Reinvestment Act of 1977 (12 U.S.C. 2903) is amended by inserting 
``conducted in accordance with section 806A,'' after ``financial 
institution,''.
    (b) Community Input and Conclusive Rating.--The Community 
Reinvestment Act of 1977 (12 U.S.C. 2901 et seq.) is amended by 
inserting after section 806 the following new section:

``SEC. 806A. COMMUNITY INPUT AND CONCLUSIVE RATING.

    ``(a) Publication of Exam Schedule and Opportunity for Comment.--
            ``(1) Publication of notice.--Each appropriate Federal 
        financial supervisory agency shall--
                    ``(A) publish in the Federal Register, 30 days 
                before the beginning of a calendar quarter, a listing 
                of institutions scheduled for evaluation for compliance 
                with this title during such calendar quarter; and
                    ``(B) provide opportunity for written comments from 
                the community on the performance, under this title, of 
                each institution scheduled for evaluation.
            ``(2) Comment period.--Written comments may not be 
        submitted to an appropriate Federal financial supervisory 
        agency pursuant to paragraph (1) after the end of the 30-day 
        period beginning on the first day of the calendar quarter.
            ``(3) Copy of comments.--The agency shall provide a copy of 
        such comments to the institution.
    ``(b) Evaluation.--The appropriate Federal financial supervisory 
agency shall--
            ``(1) evaluate the institution in accordance with the 
        standards contained in section 804; and
            ``(2) prepare and publish a written evaluation of the 
        institution as required under section 807.
    ``(c) Reconsideration of Rating.--
            ``(1) Request for reconsideration.--A reconsideration of an 
        institution's rating referred to in section 807(b)(1)(C), may 
        be requested within 30 days of the rating's disclosure to the 
        public.
            ``(2) Procedures for request.--Any such request shall be 
        made in writing and filed with the appropriate Federal 
        financial supervisory agency, and may be filed by the 
        institution or a member of the community.
            ``(3) Basis for request.--Any request for reconsideration 
        under this subsection shall be based on significant issues of a 
        substantive nature which are relevant to the delineated 
        community of the institution and, in the case of a request by a 
        member of the community, shall be limited to issues previously 
        raised in comments submitted pursuant to subsection (a).
            ``(4) Completion of review.--The appropriate Federal 
        financial supervisory agency shall complete any requested 
        reconsideration within 30 days of the filing of the request.
    ``(d) Conclusive Rating.--
            ``(1) In general.--An institution's rating shall become 
        conclusive on the later of--
                    ``(A) 30 days after the rating is disclosed to the 
                public; or
                    ``(B) the completion of any requested 
                reconsideration by the Federal financial supervisory 
                agency.
            ``(2) Rating conclusive of meeting community credit 
        needs.--An institution's rating shall be the conclusive 
        assessment of the institution's record of meeting the credit 
        needs of its community for purposes of section 804 until the 
        institution's next rating, developed pursuant to an 
        examination, becomes conclusive.
            ``(3) Safe harbor.--Institutions which have received a 
        `satisfactory' or `outstanding' rating shall be deemed to have 
        met the purposes of section 804.
            ``(4) Rule of construction.--Notwithstanding any other 
        provision of law, no provision of this section shall be 
        construed as granting a cause of action to any person.''.
    (c) Overall Evaluation of Institution.--Paragraph (2) of section 
804(a) of the Community Reinvestment Act of 1977 (12 U.S.C. 2903(a)) is 
amended to read as follows:
            ``(2) take such record into account in the overall 
        evaluation of the condition of the institution by the 
        appropriate Federal financial supervisory agency.''.

SEC. 2305. SPECIAL PURPOSE FINANCIAL INSTITUTIONS.

    (a) In General.--Section 804 of the Community Reinvestment Act of 
1977 (12 U.S.C. 2903) is amended by inserting after subsection (c) (as 
added by section 2303 of this subtitle) the following new subsection:
    ``(d) Special Purpose Institutions.--
            ``(1) In general.--In conducting assessments pursuant to 
        this section at any special purpose institution, the 
        appropriate Federal financial supervisory agency shall--
                    ``(A) consider the nature of business such 
                institution is involved in; and
                    ``(B) assess and take into account the record of 
                the institution commensurate with the amount of 
                deposits (as defined in section 3(1) of the Federal 
                Deposit Insurance Act) received by such institution.
            ``(2) Standards.--Each appropriate Federal financial 
        supervisory agency shall develop standards under which special 
        purpose institutions may be deemed to have complied with the 
        requirements of this title which are consistent with the 
        specific nature of such businesses.''.
    (b) Special Purpose Institution Defined.--Section 803 of the 
Community Reinvestment Act of 1977 (12 U.S.C. 2902) is amended by 
adding at the end the following new paragraph:
            ``(5) Special purpose institutions.--The term `special 
        purpose institution' means a financial institution that does 
        not generally accept deposits from the public in amounts of 
        less than $100,000, such as wholesale, credit card, and trust 
        institutions.''.

SEC. 2306. INCREASED INCENTIVES FOR LENDING TO LOW- AND MODERATE-INCOME 
              COMMUNITIES.

    (a) In General.--Section 804(b) of the Community Reinvestment Act 
of 1977 (12 U.S.C. 2903(b)) is amended to read as follows:
    ``(b) Positive Consideration of Certain Loans and Investments.--In 
assessing and taking into account the records of a regulated financial 
institution under subsection (a), the appropriate Federal financial 
supervisory agency shall--
            ``(1) consider as a positive factor, consistent with the 
        safe and sound operation of the institution, the institution's 
        investment in or loan to--
                    ``(A) any minority depository institution or 
                women's depository institution (as such terms are 
                defined in section 808(b)) or any low-income credit 
                union;
                    ``(B) any joint venture or other entity or project 
                which promotes the public welfare in any distressed 
                community (as defined by such agency) whether or not 
                the distressed community is located in the local 
                community in which the regulated financial institution 
                is chartered to do business; and
                    ``(C) targeted low- and moderate-income 
                communities, including real property loans to such 
                communities; and
            ``(2) consider equally with other factors capital 
        investment, loan participation, and other ventures undertaken 
        by the institution in cooperation with--
                    ``(A) minority- and women-owned financial 
                institutions and low-income credit unions to the extent 
                that these activities help meet the credit needs of the 
                local communities in which such institutions are 
                chartered; and
                    ``(B) community development corporations in 
                extending credit and other financial services 
                principally to low- and moderate-income persons and 
                small businesses to the extent that such community 
                development corporations help meet the credit needs of 
                the local communities served by the majority-owned 
                institution.''.
    (b) Amendment to Definitions.--Section 803 of the Community 
Reinvestment Act of 1977 (12 U.S.C. 2902) is amended by inserting after 
paragraph (5) (as added by section 2305(b) of this subtitle) the 
following new paragraph:
            ``(6) State bank supervisor.--The term `State bank 
        supervisor' has the same meaning as in section 3(r) of the 
        Federal Deposit Insurance Act.''.
    (c) Technical Correction.--The 1st of the 2 paragraphs designated 
as paragraph (2) of section 803 of the Community Reinvestment Act of 
1977 (12 U.S.C. 2902) is amended to read as follows:
                    ``(D) the Director of the Office of Thrift 
                Supervision with respect to any savings association 
                (the deposits of which are insured by the Federal 
                Deposit Insurance Corporation) and any savings and loan 
                holding company (other than a company which is a bank 
                holding company);''.

SEC. 2307. PROHIBITION ON ADDITIONAL REPORTING UNDER CRA.

    Section 806 of the Community Reinvestment Act of 1977 (12 U.S.C. 
2905) is amended to read as follows:

``SEC. 806. REGULATIONS.

    ``(a) In General.--
            ``(1) Publication requirement.--Regulations to carry out 
        the purposes of this title shall be published by each 
        appropriate Federal financial supervisory agency.
            ``(2) Prohibition on additional recordkeeping.--Regulations 
        prescribed and policy statements, commentary, examiner 
        guidance, or other supervisory material issued under this title 
        shall not impose any additional recordkeeping on a financial 
        institution.
            ``(3) Prohibition on loan data collection.--No loan data 
        may be required to be collected and reported by a financial 
        institution and no such data may be made public by any Federal 
        financial supervisory agency under this title.''.

SEC. 2308. TECHNICAL AMENDMENT.

    Section 807(b)(1)(B) of the Community Reinvestment Act (12 U.S.C. 
2906) is amended by striking ``The information'' and inserting ``In the 
case of a regulated financial institution that maintains domestic 
branches in 2 or more States, the information''.

SEC. 2309. DUPLICATIVE REPORTING.

    Section 10(g) of the Federal Home Loan Bank Act (12 U.S.C. 1430(g)) 
is amended by adding at the end the following new paragraph (3):
            ``(3) Special rule.--This subsection shall not apply to 
        members receiving a grade of `outstanding' or `satisfactory' 
        under section 807 of the Community Reinvestment Act of 1977.''.

SEC. 2310. CRA CONGRESSIONAL OVERSIGHT.

    (a) Sense of Congress Relating to Aggressive Oversight.--It is the 
sense of the Congress that the appropriate committees of the House of 
Representatives and the Senate should exercise aggressive oversight of 
the adoption and implementation of any regulation by any appropriate 
Federal financial supervisory agency under the Community Reinvestment 
Act of 1977 after the date of the enactment of this Act.
    (b) Agency Reports Required.--
            (1) In general.--Each appropriate Federal financial 
        supervisory agency shall submit a report to the Congress by 
        December 31, 1996, and by December 31, 1997, on the 
        implementation of all regulations prescribed by such agency 
        under the Community Reinvestment Act of 1977 after the date of 
        the enactment of this Act.
            (2) Requirements relating to preparation of reports.--In 
        preparing each report required under paragraph (1), each 
        appropriate Federal financial supervisory agency shall--
                    (A) solicit and include comments from regulated 
                financial institutions with respect to the regulations 
                which are the subject of the report; and
                    (B) include quantifiable measures of the cost 
                savings achieved under the regulations which are the 
                subject of the report and the effectiveness of such 
                regulations in achieving the purposes of the Community 
                Reinvestment Act of 1977.
            (3) Definitions.--For purposes of this section, the terms 
        ``appropriate Federal financial supervisory agency'' and 
        ``regulated financial institution'' have the same meanings as 
        in section 803 of the Community Reinvestment Act of 1977.

SEC. 2311. CONSULTATION AMONG EXAMINERS.

    Section 10 of the Federal Deposit Insurance Act (12 U.S.C. 1820) is 
amended by adding at the end the following new subsection:
    ``(j) Consultation Among Examiners.--
            ``(1) In general.--Each appropriate Federal banking agency 
        shall take such action as may be necessary to ensure that 
        examiners employed by the agency--
                    ``(A) consult on examination activities with 
                respect to any depository institution; and
                    ``(B) achieve an agreement and resolve any 
                inconsistencies on the recommendations to be given to 
                such institution as a consequence of any examinations.
            ``(2) Examiner-in-charge.--Each agency shall consider 
        appointing an examiner-in-charge with respect to a depository 
        institution to ensure consultation on examination activities 
        among all of the agency's examiners involved in examinations of 
        such institution.''.

SEC. 2312. LIMITATION ON REGULATIONS.

    Section 806 of the Community Reinvestment Act of 1977 (12 U.S.C. 
2905) (as amended by section 2307) is amended by adding at the end the 
following new subsections:
    ``(b) Limitation on Regulations.--No regulation may be prescribed 
under this title by any Federal agency which would--
            ``(1) require any regulated financial institution to--
                    ``(A) make any loan or enter into any other 
                agreement on the basis of any discriminatory criteria 
                prohibited under any law of the United States; or
                    ``(B) make any loan to, or enter into any other 
                agreement with, any uncreditworthy person that would 
                jeopardize the safety and soundness of such 
                institution; or
            ``(2) prevent or hinder in any way a financial 
        institution's full responsibility to provide credit to all 
        segments of the community.
    ``(c) Encourage Loans to Creditworthy Borrowers.--Regulations 
prescribed under this title shall encourage regulated financial 
institutions to make loans and extend credit to all creditworthy 
persons, consistent with safety and soundness.''.

               Subtitle D--Phase-Down of Oversight Board

SEC. 2401. TERMINATION OF AUTHORITY OF OVERSIGHT BOARD TO EMPLOY STAFF.

    (a) In General.--Section 21A(a) of the Federal Home Loan Bank Act 
(12 U.S.C. 1441a(a)) is amended by adding at the end the following new 
paragraph:
            ``(17) Phased-down operation of oversight board following 
        termination of corporation.--
                    ``(A) Termination of authority to employ staff.--
                Except as provided in subparagraph (B), the authority 
                of the Thrift Depositor Protection Oversight Board 
                under paragraph (5) to establish officer and employee 
                positions, to compensate officers and employees of the 
                Board, to provide other benefits for officers and 
                employees of the Board, and to utilize staff of any 
                other department or agency shall terminate as of 
                December 31, 1995.
                    ``(B) Limited authority for detailing staff from 
                other agencies.--If the Thrift Depositor Protection 
                Oversight Board determines that any staff is required 
                to carry out the functions of the Board after the 
                authority to employ staff terminates under subparagraph 
                (A), the Board shall--
                            ``(i) utilize employees of any other 
                        department or agency in accordance with 
                        paragraph (5)(F) to carry out the staff 
                        functions which have been determined to be 
                        necessary; and
                            ``(i) submit a report to the Congress 
                        containing--
                                    ``(I) the number of staff positions 
                                which the Board has determined are 
                                necessary to carry out the Board's 
                                functions after the termination of the 
                                Corporation;
                                    ``(II) a justification for such 
                                determination; and
                                    ``(III) an estimate of the length 
                                of the period for which such staff 
                                positions will be required.''.
    (b) Technical and Conforming Amendments.--
            (1) Subparagraphs (B), (C), (D), and (E) of section 
        21A(a)(5) of the Federal Home Loan Bank Act (12 U.S.C. 
        1441a(a)(5)) are each amended by inserting ``subject to 
        paragraph (17)(A),'' after the closing parenthesis of the 
        subparagraph designation.
            (2) Section 21A(a)(5)(F) of the Federal Home Loan Bank Act 
        (12 U.S.C. 1441a(a)(5)(F)) is amended by inserting ``subject to 
        subparagraphs (A) and (B) of paragraph (17) and'' after 
        ``(F)''.

                    TITLE III--COMMITTEE ON COMMERCE

                       Subtitle A--Communications

                      CHAPTER 1--SPECTRUM AUCTIONS

SEC. 3001. SPECTRUM AUCTIONS.

    (a) Extension and Expansion of Auction Authority.--
            (1) Amendments.--Section 309(j) of the Communications Act 
        of 1934 (47 U.S.C. 309(j)) is amended--
                    (A) by striking paragraphs (1) and (2) and 
                inserting in lieu thereof the following:
            ``(1) General authority.--If, consistent with the 
        obligations described in paragraph (6)(E), mutually exclusive 
        applications are accepted for any initial license or 
        construction permit which will involve an exclusive use of the 
        electromagnetic spectrum, then the Commission shall grant such 
        license or permit to a qualified applicant through a system of 
        competitive bidding that meets the requirements of this 
        subsection.
            ``(2) Exemptions.--The competitive bidding authority 
        granted by this subsection shall not apply to licenses or 
        construction permits issued by the Commission--
                    ``(A) that, as the result of the Commission 
                carrying out the obligations described in paragraph 
                (6)(E), are not mutually exclusive;
                    ``(B) for public safety radio services, including 
                non-Government uses that protect the safety of life, 
                health, and property and that are not made commercially 
                available to the public; or
                    ``(C) for initial licenses or construction permits 
                for new terrestrial digital television services 
                assigned by the Commission to existing terrestrial 
                broadcast licensees to replace their current television 
                licenses.''; and
                    (B) by striking ``1998'' in paragraph (11) and 
                inserting ``2002''.
            (2) Conforming amendment.--Subsection (i) of section 309 of 
        such Act is repealed.
            (3) Effective date.--The amendment made by paragraph (1)(A) 
        shall not apply with respect to any license or permit for which 
        the Federal Communications Commission has accepted mutually 
        exclusive applications on or before the date of enactment of 
        this Act.
    (b) Commission Obligation To Make Additional Spectrum Available by 
Auction.--
            (1) In general.--The Federal Communications Commission 
        shall complete all actions necessary to permit the assignment, 
        by September 30, 2002, by competitive bidding pursuant to 
        section 309(j) of the Communications Act of 1934 (47 U.S.C. 
        309(j)) of licenses for the use of bands of frequencies that--
                    (A) individually span not less than 25 megahertz, 
                unless a combination of smaller bands can, 
                notwithstanding the provisions of paragraph (7) of such 
                section, reasonably be expected to produce greater 
                receipts;
                    (B) in the aggregate span not less than 100 
                megahertz;
                    (C) are located below 3 gigahertz; and
                    (D) have not, as of the date of enactment of this 
                Act--
                            (i) been designated by Commission 
                        regulation for assignment pursuant to such 
                        section; or
                            (ii) been identified by the Secretary of 
                        Commerce pursuant to section 113 of the 
                        National Telecommunications and Information 
                        Administration Organization Act.
                The Commission shall conduct the competitive bidding 
                for not less than one-half of such aggregate spectrum 
                by September 30, 2000.
            (2) Criteria for reassignment.--In making available bands 
        of frequencies for competitive bidding pursuant to paragraph 
        (1), the Commission shall--
                    (A) seek to promote the most efficient use of the 
                spectrum;
                    (B) take into account the cost to incumbent 
                licensees of relocating existing uses to other bands of 
                frequencies or other means of communication;
                    (C) take into account the needs of public safety 
                radio services; and
                    (D) comply with the requirements of international 
                agreements concerning spectrum allocations.
            (3) Notification to ntia.--The Commission shall notify the 
        Secretary of Commerce if--
                    (A) the Commission is not able to provide for the 
                effective relocation of incumbent licensees to bands of 
                frequencies that are available to the Commission for 
                assignment; and
                    (B) the Commission has identified bands of 
                frequencies that are--
                            (i) suitable for the relocation of such 
                        licensees; and
                            (ii) allocated for Federal Government use, 
                        but that could be reallocated pursuant to part 
                        B of the National Telecommunications and 
                        Information Administration Organization Act (as 
                        amended by this Act).
    (c) Identification and Reallocation of Frequencies.--The National 
Telecommunications and Information Administration Organization Act (47 
U.S.C. 901 et seq.) is amended--
            (1) in section 113, by adding at the end the following new 
        subsection:
    ``(f) Additional Reallocation Report.--If the Secretary receives a 
notice from the Commission pursuant to section 3001(b)(3) of the Seven-
Year Balanced Budget Reconciliation Act of 1995, the Secretary shall 
prepare and submit to the President and the Congress a report 
recommending for reallocation for use other than by Federal Government 
stations under section 305 of the 1934 Act (47 U.S.C. 305), bands of 
frequencies that are suitable for the uses identified in the 
Commission's notice.'';
            (2) in section 114(a)(1), by striking ``(a) or (d)(1)'' and 
        inserting ``(a), (d)(1), or (f)''.
    (d) Completion of C-Block PCS Auction.--The Federal Communications 
Commission shall commence the Broadband Personal Communications 
Services C-Block auction described in the Commission's Sixth Report and 
Order in DP Docket 93-253 (FCC 93-510, released July 18, 1995) not 
later than December 4, 1995. The Commission's competitive bidding rules 
governing such auction, as set forth in such Sixth Report and Order, 
are hereby ratified and adopted as a matter of Federal law.
    (e) Modification of Auction Policy To Preserve Auction Value of 
Spectrum.--The voluntary negotiation period for relocating fixed 
microwave licensees to frequency bands other than those allocated for 
licensed emerging technology services (including licensed personal 
communications services), established by the Commission's Third Report 
and Order in ET Docket No. 92-9, shall expire one year after the date 
of acceptance by the Commission of applications for such licensed 
emerging technology services. The mandatory negotiation period for 
relocating fixed microwave licensees to frequency bands other than 
those allocated for licensed emerging technology services (including 
licensed personal communications services), established in such Third 
Report and Order, shall expire two years after the date of acceptance 
by the Commission of applications for such licensed emerging technology 
services.
    (f) Identification and Reallocation of Auctionable Frequencies.--
The National Telecommunications and Information Administration 
Organization Act (47 U.S.C. 901 et seq.) is amended--
            (1) in section 113(b)--
                    (A) by striking the heading of paragraph (1) and 
                inserting ``Initial reallocation report'';
                    (B) by inserting ``in the first report required by 
                subsection (a)'' after ``recommend for reallocation'' 
                in paragraph (1);
                    (C) by inserting ``or (3)'' after ``paragraph (1)'' 
                each place it appears in paragraph (2); and
                    (D) by inserting after paragraph (2) the following 
                new paragraph:
            ``(3) Second reallocation report.--In accordance with the 
        provisions of this section, the Secretary shall recommend for 
        reallocation in the second report required by subsection (a), 
        for use other than by Federal Government stations under section 
        305 of the 1934 Act (47 U.S.C. 305), a single frequency band 
        that spans not less than an additional 20 megahertz, that is 
        located below 3 gigahertz, and that meets the criteria 
        specified in paragraphs (1) through (5) of subsection (a).''; 
        and
            (2) in section 115--
                    (A) in subsection (b), by striking ``the report 
                required by section 113(a)'' and inserting ``the 
                initial reallocation report required by section 
                113(a)''; and
                    (B) by adding at the end the following new 
                subsection:
    ``(c) Allocation and Assignment of Frequencies Identified in the 
Second Reallocation Report.--With respect to the frequencies made 
available for reallocation pursuant to section 113(b)(3), the 
Commission shall, not later than 1 year after receipt of the second 
reallocation report required by such section, prepare, submit to the 
President and the Congress, and implement, a plan for the allocation 
and assignment under the 1934 Act of such frequencies. Such plan shall 
propose the immediate allocation and assignment of all such frequencies 
in accordance with section 309(j).''.

       CHAPTER 2--FEDERAL COMMUNICATIONS COMMISSION AUTHORIZATION

SEC. 3011. SHORT TITLE.

    This chapter may be cited as the ``Federal Communications 
Commission Authorization Act of 1995''.

SEC. 3012. EXTENSION OF AUTHORITY.

    (a) Authorization of Appropriations.--Section 6 of the 
Communications Act of 1934 (47 U.S.C. 156) is amended to read as 
follows:

``SEC. 6. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated for the administration of 
this Act by the Commission $186,000,000 for fiscal year 1996, together 
with such sums as may be necessary for increases resulting from 
adjustments in salary, pay, retirement, other employee benefits 
required by law, and other nondiscretionary costs, for fiscal year 
1996. Of the sum appropriated in each fiscal year under this section, a 
portion, in an amount determined under sections 8(b) and 9(b), shall be 
derived from fees authorized by sections 8 and 9.''.
    (b) Travel and Reimbursement Program.--Section 4(g)(2) of the 
Communications Act of 1934 (47 U.S.C. 154(g)(2)) is amended to read as 
follows:
    ``(2) The Commission shall submit to the appropriate committees of 
Congress, and publish in the Federal Register, semiannual reports 
specifying the reimbursements which the Commission has accepted under 
section 1353 of title 31, United States Code.''.
    (c) Communications Support From Older Americans.--Section 6(a) of 
the Federal Communications Commission Authorization Act of 1988 (47 
U.S.C. 154 note) is amended by striking ``fiscal years 1992 and 1993'' 
and inserting ``fiscal year 1996''.

SEC. 3013. APPLICATION FEES.

    (a) Adjustment of Application Fee Schedule.--Section 8(b) of the 
Communications Act of 1934 (47 U.S.C. 158(b)) is amended to read as 
follows:
    ``(b)(1) For fiscal year 1996 and each fiscal year thereafter, the 
Commission shall, by regulation, modify the application fees by 
proportionate increases or decreases so as to result in estimated total 
collections for the fiscal year equal to--
            ``(A) $40,000,000; plus
            ``(B) an additional amount, specified in an appropriation 
        Act for the Commission for that fiscal year to be collected and 
        credited to such appropriation, not to exceed the amount by 
        which the necessary expenses for the costs described in 
        paragraph (5) exceeds $40,000,000.
    ``(2) In making adjustments pursuant to this paragraph the 
Commission may round such fees to the nearest $5.00 in the case of fees 
under $100, or to the nearest $20 in the case of fees of $100 or more. 
The Commission shall transmit to the Congress notification of any 
adjustment made pursuant to this paragraph immediately upon the 
adoption of such adjustment.
    ``(3) The Commission is authorized to continue to collect fees at 
the prior year's rate until the effective date of fee adjustments or 
amendments made pursuant to paragraphs (1) and (4).
    ``(4) The Commission shall, by regulation, add, delete, or 
reclassify services, categories, applications, or other filings subject 
to application fees to reflect additions, deletions, or changes in the 
nature of its services or authorization of service processes as a 
consequence of Commission rulemaking proceedings or changes in law.
    ``(5) Any modified fees established under paragraph (4) shall be 
derived by determining the full-time equivalent number of employees 
performing application activities, adjusted to take into account other 
expenses that are reasonably related to the cost of processing the 
application or filing, including all executive and legal costs incurred 
by the Commission in the discharge of these functions, and other 
factors that the Commission determines are necessary in the public 
interest. The Commission shall--
            ``(A) transmit to the Congress notification of any proposed 
        modification made pursuant to this paragraph immediately upon 
        adoption of such proposal; and
            ``(B) transmit to the Congress notification of any 
        modification made pursuant to this paragraph immediately upon 
        adoption of such modification.
    ``(6) Increases or decreases in application fees made pursuant to 
this subsection shall not be subject to judicial review.''.
    (b) Treatment of Additional Collections.--Section 8(e) of such Act 
is amended to read as follows:
    ``(e) Of the moneys received from fees authorized under this 
section--
            ``(1) $40,000,000 shall be deposited in the general fund of 
        the Treasury to reimburse the United States for amounts 
        appropriated for use by the Commission in carrying out its 
        functions under this Act; and
            ``(2) the remainder shall be deposited as an offsetting 
        collection in, and credited to, the account providing 
        appropriations to carry out the functions of the Commission.''.
    (c) Schedule of Application Fees for PCS.--The schedule of 
application fees in section 8(g) of such Act is amended by adding, at 
the end of the portion under the heading ``common carrier services'', 
the following new item:

``23. Personal communications services
        ``a. Initial or new application....................     230.00 
        ``b. Amendment to pending application..............      35.00 
        ``c. Application for assignment or transfer of          230.00 
            control.
        ``d. Application for renewal of license............      35.00 
        ``e. Request for special temporary authority.......     200.00 
        ``f. Notification of completion of construction....      35.00 
        ``g. Request to combine service areas..............    50.00''.
    (d) Vanity Call Signs.--
            (1) Lifetime license fees.--
                    (A) Amendment.--The schedule of application fees in 
                section 8(g) of such Act is further amended by adding, 
                at the end of the portion under the heading ``private 
                radio services'', the following new item:

                  ``11. Amateur vanity call signs..........  150.00''. 
                    (B) Treatment of receipts.--Moneys received from 
                fees established under the amendment made by this 
                subsection shall be deposited as an offsetting 
                collection in, and credited to, the account providing 
                appropriations to carry out the functions of the 
                Commission.
            (2) Termination of annual regulatory fees.--The schedule of 
        regulatory fees in section 9(g) of such Act (47 U.S.C. 159(g)) 
        is amended by striking the following item from the fees 
        applicable to the Private Radio Bureau:

                ``Amateur vanity call-signs....................    7''.

SEC. 3014. REGULATORY FEES.

    (a) Executive and Legal Costs.--Section 9(a)(1) of the 
Communications Act of 1934 (47 U.S.C. 159(a)(1)) is amended by 
inserting before the period at the end the following: ``, and all 
executive and legal costs incurred by the Commission in the discharge 
of these functions''.
    (b) Establishment and Adjustment.--Section 9(b) of such Act is 
amended--
            (1) in paragraph (4)(B), by striking ``90 days'' and 
        inserting ``45 days''; and
            (2) by adding at the end the following new paragraph:
            ``(5) Effective date of adjustments.--The Commission is 
        authorized to continue to collect fees at the prior year's rate 
        until the effective date of fee adjustments or amendments made 
        pursuant to paragraph (2) or (3).''.
    (c) Regulatory Fees for Satellite TV Operations.--The schedule of 
regulatory fees in section 9(g) of such Act is amended, in the fees 
applicable to the Mass Media Bureau, by inserting after each of the 
items pertaining to construction permits in the fees applicable to VHF 
commercial and UHF commercial TV the following new item:

``Terrestrial television satellite operations..................  500''.
    (d) Governmental Entities Use for Common Carrier Purposes.--Section 
9(h) of such Act is amended by adding at the end the following new 
sentence: ``The exceptions provided by this subsection for governmental 
entities shall not be applicable to any services that are provided on a 
commercial basis in competition with another carrier.''.
    (e) Information Required in Connection With Adjustment of 
Regulatory Fees.--Title I of such Act is amended--
            (1) in section 9, by striking subsection (i); and
            (2) by inserting after section 9 the following new section:

``SEC. 10. ACCOUNTING SYSTEM AND ADJUSTMENT INFORMATION.

    ``(a) Accounting System Required.--The Commission shall develop 
accounting systems for the purposes of making the adjustments 
authorized by sections 8 and 9. The Commission shall annually prepare 
and submit to the Congress an analysis of such systems and shall 
annually afford interested persons the opportunity to submit comments 
concerning the allocation of the costs of performing the functions 
described in section 8(a)(5) and 9(a)(1) in making such adjustments in 
the schedules required by sections 8 and 9.
    ``(b) Information Required in Connection with Adjustment of 
Application and Regulatory Fees.--
            ``(1) Schedule of requested amounts.--No later than May 1 
        of each calendar year, the Commission shall prepare and 
        transmit to the Committees of Congress responsible for the 
        Commission's authorization and appropriations a detailed 
        schedule of the amounts requested by the President's budget to 
        be appropriated for the ensuing fiscal year for the activities 
        described in sections 8(a)(5) and 9(a)(1), allocated by 
        bureaus, divisions, and offices of the Commission.
            ``(2) Explanatory statement.--If the Commission anticipates 
        increases in the application fees or regulatory fees applicable 
        to any applicant, licensee, or unit subject to payment of fees, 
        the Commission shall submit to the Congress by May 1 of such 
        calendar year a statement explaining the relationship between 
        any such increases and either (A) increases in the amounts 
        requested to be appropriated for Commission activities in 
        connection with such applicants, licensees, or units subject to 
        payment of fees, or (B) additional activities to be performed 
        with respect to such applicants, licensees, or units.
            ``(3) Definition.--For purposes of this subsection, the 
        term `amount requested by the President's budget' shall include 
        any adjustments to such requests that are made by May 1 of such 
        calendar year. If any such adjustment is made after May 1, the 
        Commission shall provide such Committees with updated schedules 
        and statements containing the information required by this 
        subsection within 10 days after the date of any such 
        adjustment.''.

SEC. 3015. INSPECTION OF SHIP RADIO STATIONS.

    (a) Authority To Designate Entities To Inspect.--Section 4(f)(3) of 
the Communications Act of 1934 (47 U.S.C. 154(f)(3)) is amended by 
inserting before the period at the end the following: ``: And provided 
further, That, in the alternative, an entity designated by the 
Commission may make the inspections referred to in this paragraph''.
    (b) Conduct of Inspections.--Section 362(b) of such Act (47 U.S.C. 
362(b)) is amended to read as follows:
    ``(b) Every ship of the United States that is subject to this part 
shall have the equipment and apparatus prescribed therein inspected at 
least once each year by the Commission or an entity designated by the 
Commission. If, after such inspection, the Commission is satisfied that 
all relevant provisions of this Act and the station license have been 
complied with, the fact shall be certified to on the station license by 
the Commission. The Commission shall make such additional inspections 
at frequent intervals as the Commission determines may be necessary to 
ensure compliance with the requirements of this Act. The Commission 
may, upon a finding that the public interest could be served thereby--
            ``(1) waive the annual inspection required under this 
        section for a period of up to 90 days for the sole purpose of 
        enabling a vessel to complete its voyage and proceed to a port 
        in the United States where an inspection can be held; or
            ``(2) waive the annual inspection required under this 
        section for a vessel that is in compliance with the radio 
        provisions of the Safety Convention and that is operating 
        solely in waters beyond the jurisdiction of the United States, 
        provided that such inspection shall be performed within 30 days 
        of such vessel's return to the United States.''.
    (c) Inspection by Other Entities.--Section 385 of such Act (47 
U.S.C. 385) is amended by inserting ``or an entity designated by the 
Commission'' after ``The Commission''.

SEC. 3016. EXPEDITED ITFS PROCESSING.

    Section 5(c)(1) of the Communications Act of 1934 (47 U.S.C. 
155(c)(1)) is amended by striking the last sentence and inserting the 
following: ``Except for cases involving the authorization of service in 
the Instructional Television Fixed Service, or as otherwise provided in 
this Act, nothing in this paragraph shall authorize the Commission to 
provide for the conduct, by any person or persons other than persons 
referred to in paragraph (2) or (3) of section 556(b) of title 5, 
United States Code, of any hearing to which such section applies.''.

SEC. 3017. TARIFF REJECTION AUTHORITY.

    Section 203(d) of the Communications Act of 1934 (47 U.S.C. 203(d)) 
is amended by inserting after the first sentence the following new 
sentences: ``The Commission may, after affording interested parties an 
opportunity to comment, reject a proposed tariff filing in whole or in 
part, if the filing or any part thereof is patently unlawful. In 
evaluating whether a proposed tariff filing is patently unlawful, the 
Commission may consider additional information filed by the carrier or 
any interested party and shall presume the facts alleged by the carrier 
to be true.''.

SEC. 3018. REFUND AUTHORITY.

    Title II of the Communications Act of 1934 (47 U.S.C. 201 et seq.) 
is amended by adding at the end thereof the following new section:

``SEC. 230. REFUND AUTHORITY.

    ``In addition to any other provision of this Act under which the 
Commission may order refunds, the Commission may require by order the 
refund of such portion of any charge by any carrier or carriers as 
results from a violation of section 220 (a), (b), or (d) or 221 (c) or 
(d) or of any of the rules promulgated pursuant to such sections or 
pursuant to section 215, 218, or 219. Such refunds shall be ordered 
only to the extent that the Commission or a court finds that such 
violation resulted in unlawful charges and shall be made to such 
persons or classes of persons as the Commission determines reasonably 
represent the persons from whom amounts were improperly received by 
reason of such violation. No refunds shall be required under this 
section unless--
            ``(1) the Commission issues an order advising the carrier 
        of its potential refund liability and provides the carrier with 
        an opportunity to file written comments as to why refunds 
should not be required; and
            ``(2) such order is issued not later than 5 years after the 
        date the charge was paid.
In the case of a continuing violation, a violation shall be considered 
to occur on each date that the violation is repeated.''.

SEC. 3019. LICENSING OF AVIATION AND MARITIME SERVICES BY RULE.

    Section 307(e) of the Communications Act of 1934 (47 U.S.C. 307(e)) 
is amended to read as follows:
    ``(e)(1) Notwithstanding any license requirement established in 
this Act, if the Commission determines that such authorization serves 
the public interest, convenience, and necessity, the Commission may by 
rule authorize the operation of radio stations without individual 
licenses in the following radio services: (A) the aviation radio 
service for aircraft stations operated on domestic flights when such 
aircraft are not otherwise required to carry a radio station; and (B) 
the maritime radio service for ship stations navigated on domestic 
voyages when such ships are not otherwise required to carry a radio 
station.
    ``(2) Any radio station operator who is authorized by the 
Commission to operate without an individual license shall comply with 
all other provisions of this Act and with rules prescribed by the 
Commission under this Act.
    ``(3) For purposes of this subsection, the terms `aircraft station' 
and `ship station' shall have the meanings given them by the Commission 
by rule.''.

SEC. 3020. AUCTION TECHNICAL AMENDMENTS.

    (a) Funding Availability.--Section 309(j)(8)(B) of the 
Communications Act of 1934 (47 U.S.C. 309(j)(8)(B)) is amended by 
adding at the end the following new sentence: ``Such offsetting 
collections are authorized to remain available until expended.''.
    (b) Escrow of Deposits.--Section 309(j)(8) of such Act is further 
amended by adding at the end the following new subparagraph:
                    ``(C) Escrow of deposit.--The Commission is 
                authorized, based on the competitive bidding 
                methodology selected, to provide for the deposit of 
                moneys for bids in an interest-bearing account until 
                such time as the Commission accepts a deposit from the 
                high bidder. All interest earned on bid moneys received 
                from the winning bidder shall be deposited into the 
                general fund of the Treasury. All interest earned on 
                bid moneys deposited from unsuccessful bidders, less 
                any applicable fees and penalties, shall be paid to 
                those bidders.''.

SEC. 3021. FORFEITURES FOR VIOLATIONS IMPERILING SAFETY OF LIFE.

    (a) Administrative Sanctions.--Section 312(a) of the Communications 
Act of 1934 (47 U.S.C. 312(a)) is amended--
            (1) by striking ``or'' at the end of paragraph (6);
            (2) by striking the period at the end of paragraph (7) and 
        inserting ``; or''; and
            (3) by adding at the end the following new paragraph:
            ``(8) for failure to comply with any requirement of this 
        Act or the Commission's rules that imperils the safety of 
        life.''.
    (b) Forfeitures.--Section 503(b)(1) of such Act (47 U.S.C. 
503(b)(1)) is amended--
            (1) by striking ``or'' at the end of subparagraph (C);
            (2) by striking the semicolon at the end of subparagraph 
        (D) and inserting ``; or''; and
            (3) by adding after subparagraph (D) the following new 
        subparagraph:
            ``(E) failed to comply with any requirement of this Act or 
        the Commission's rules that imperils the safety of life;''.

SEC. 3022. USE OF EXPERTS AND CONSULTANTS.

    Section 4(f)(1) of the Communications Act of 1934 (47 U.S.C. 154) 
is amended by adding at the end thereof the following: ``The Commission 
may also procure the services of experts and consultants in accordance 
with section 3109 of title 5, United States Code, relating to 
appointments in the Federal Service, at rates of compensation for 
individuals not to exceed the daily rate equivalent to the maximum rate 
payable for senior-level positions under section 5276 of title 5, 
United States Code.''.

SEC. 3023. STATUTE OF LIMITATIONS FOR FORFEITURE PROCEEDINGS AGAINST 
              COMMON CARRIERS.

    Section 503(b)(6) of the Communications Act of 1934 (47 U.S.C. 
503(b)(6)) is amended--
            (1) by striking ``or'' at the end of subparagraph (A);
            (2) by inserting ``and is not a common carrier'' after 
        ``title III of this Act'' in subparagraph (B);
            (3) by redesignating subparagraph (B) as subparagraph (C); 
        and
            (4) by inserting after subparagraph (A) the following new 
        subparagraph:
            ``(B) such person is a common carrier and the required 
        notice of apparent liability is issued more than 5 years after 
        the date the violation charged occurred; or''.

SEC. 3024. UTILIZATION OF FM BAND FOR ASSISTIVE DEVICES FOR HEARING 
              IMPAIRED INDIVIDUALS.

    Within 6 months after the date of enactment of this Act, the 
Federal Communications Commission shall report to the Congress on the 
existing and future use of the FM band to facilitate the use of 
auditory assistive devices for individuals with hearing impairments. In 
preparing such report, the Commission shall consider--
            (1) the potential for utilizing FM band auditory assistive 
        devices to comply with the American with Disabilities Act;
            (2) the impact on such compliance of the vulnerability of 
        such devices to harmful interference from radio licensees; and
            (3) alternative frequency allocations that could facilitate 
        such compliance.

SEC. 3025. TECHNICAL AMENDMENT.

    Section 302(d)(1) of the Communications Act of 1934 (47 U.S.C. 
309(d)(1)) is amended--
            (1) in subparagraph (A), by striking ``allocated to the 
        domestic cellular radio telecommunications service'' and 
        inserting ``utilized to provide commercial mobile service (as 
        defined in section 332(d))''; and
            (2) in subparagraph (C), by striking ``cellular'' and 
        inserting ``commercial mobile service''.

        Subtitle B--Nuclear Regulatory Commission Annual Charge

SEC. 3031. NUCLEAR REGULATORY COMMISSION ANNUAL CHARGES.

    Section 6101(a)(3) of the Omnibus Budget Reconciliation Act of 1990 
(42 U.S.C. 2214(a)(3)) is amended by striking ``September 30, 1998'' 
and inserting ``September 30, 2002''.

            Subtitle C--United States Enrichment Corporation

SEC. 3035. SHORT TITLE AND REFERENCE.

    (a) Short Title.--This subtitle may be cited as the ``USEC 
Privatization Act''.
    (b) Reference.--Except as otherwise expressly provided, whenever in 
this subtitle 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 
Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.).

SEC. 3036. PRODUCTION FACILITY.

    Paragraph v. of section 11 (42 U.S.C. 2014 v.) is amended by 
striking ``or the construction and operation of a uranium enrichment 
production facility using Atomic Vapor Laser Isotope Separation 
technology''.

SEC. 3037. DEFINITIONS.

    Section 1201 (42 U.S.C. 2297) is amended--
            (1) in paragraph (4), by inserting before the period the 
        following: ``and any successor corporation established through 
        privatization of the Corporation'';
            (2) by redesignating paragraphs (10) through (13) as 
        paragraphs (14) through (17), respectively, and by inserting 
        after paragraph (9) the following new paragraphs:
            ``(10) The term `low-level radioactive waste' has the 
        meaning given such term in section 102(9) of the Low-Level 
        Radioactive Waste Policy Amendments Act of 1985 (42 U.S.C. 
        2021b(9)).
            ``(11) The term `mixed waste' has the meaning given such 
        term in section 1004(41) of the Solid Waste Disposal Act (42 
        U.S.C. 6903(41)).
            ``(12) The term `privatization' means the transfer of 
        ownership of the Corporation to private investors pursuant to 
        chapter 25.
            ``(13) The term `privatization date' means the date on 
        which 100 percent of ownership of the Corporation has been 
        transferred to private investors.'';
            (3) by inserting after paragraph (17) (as redesignated) the 
        following new paragraph:
            ``(18) The term `transition date' means July 1, 1993.'';
            (4) by redesignating the unredesignated paragraph (14) as 
        paragraph (19); and
            (5) by adding the following new paragraphs after paragraph 
        (19):
            ``(20) The term `gaseous diffusion plants' means the 
        Paducah Gaseous Diffusion Plant at Paducah, Kentucky and the 
        Portsmouth Gaseous Diffusion Plant at Piketon, Ohio.
            ``(21) The term `private corporation' means the corporation 
        established under section 1503.
            ``(22) The term `Russian HEU agreement' means the Agreement 
        Between the Government of the United States of America and the 
        Government of the Russian Federation Concerning the Disposition 
        of Highly Enriched Uranium Extracted from Nuclear Weapons, 
        dated February 18, 1993.
            ``(23) The term `Suspension Agreement' means the Agreement 
        to Suspend the Antidumping Investigation on Uranium from the 
        Russian Federation, as amended.''.

SEC. 3038. EMPLOYEES OF THE CORPORATION.

    (a) Paragraphs (1) and (2).--Section 1305(e) (42 U.S.C. 2297b-4(e)) 
is amended by striking paragraphs (1) and (2) and inserting in thereof 
the following:
            ``(1) In general.--
                    ``(A) Privatization shall not diminish the accrued, 
                vested pension benefits of employees of the 
                Corporation's operating contractor at the two gaseous 
                diffusion plants.
                    ``(B) In the event that the private corporation 
                terminates or changes the contractor at either or both 
                of the gaseous diffusion plants, the plan sponsor or 
                other appropriate fiduciary of the pension plan 
                covering employees of the prior operating contractor 
                shall arrange for the transfer of all plan assets and 
                liabilities relating to accrued pension benefits of 
                such plan's participants and beneficiaries from such 
                plan to a pension plan sponsored by the new contractor 
                or the private corporation, as the case may be.
                    ``(C) Any employer (including the private 
                corporation or any contractor of the private 
                corporation) at a gaseous diffusion plant shall abide 
                by the terms of any unexpired collective bargaining 
                agreement covering employees in bargaining units at the 
                plant and in effect on the privatization date until the 
                expiration of the agreement.
                    ``(D) In the event of a plant closing or mass 
                layoff (as such terms are defined in section 2101(a) 
                (2) and (3) of title 29, United States Code) at either 
                of the gaseous diffusion plants, the Secretary of 
                Energy shall treat such plant as a Department of Energy 
                defense nuclear facility and any person employed by an 
                operating contractor on the privatization date at 
                either plant as a Department of Energy employee for 
                purposes of sections 3161 through 3163 of the National 
                Defense Authorization Act for Fiscal Year 1993 (42 
                U.S.C. 7274h-7274j).
                    ``(E) The Department of Energy and the private 
                corporation shall continue to fund postretirement 
                health benefits for persons employed by an operating 
contractor at either of the gaseous diffusion plants at substantially 
the same level of coverage as eligible retirees are entitled to receive 
on the privatization date, consistent with clauses (i) through (iii), 
except that the Department of Energy, the private corporations and the 
operating contractor shall have the right to implement cost-saving 
measures, including (but not limited to) preferred provider 
organizations, managed care programs, mandatory second opinions before 
surgery or other medical procedures, and mandatory use of generic 
drugs, that do not materially diminish the overall quality of the 
medical care provided--
                            ``(i) persons eligible for this coverage 
                        shall be limited to persons who retired from 
                        active employment at one of the gaseous 
                        diffusion plants as of the privatization date, 
                        as vested participants in a pension plan 
                        maintained either by the Corporation's 
                        operating contractor or by a contractor 
                        employed prior to July 1, 1993, by the 
                        Department of Energy to operate either of the 
                        gaseous diffusion plants and persons who, as of 
                        the privatization date, are employed by the 
                        Corporation's operating contractor and are 
                        vested participants in a pension plan 
                        maintained either by the Corporation's 
                        operating contractor or by a contractor 
                        employed prior to July 1, 1993, by the 
                        Department of Energy to operate either of the 
                        gaseous diffusion plants;
                            ``(ii) for persons who retired from 
                        employment with an operating contractor prior 
                        to July 1, 1993, the Department of Energy shall 
                        fund the entire cost of postretirement health 
                        benefits; and
                            ``(iii) for persons who retire from 
                        employment with an operating contractor after 
                        July 1, 1993, the Department of Energy and the 
                        private corporation shall fund the cost of 
                        postretirement health benefits in proportion to 
                        the retired persons' years and months of 
                        service at a gaseous diffusion plant under 
                        their respective management.''.
    (b) Paragraph (4).--Paragraph (4) of section 1305(e) (42 U.S.C. 
2297b-4(e)(4)) is amended--
            (1) by striking ``and detailees'' in the heading;
            (2) by striking the first sentence;
            (3) in the second sentence, by inserting ``from other 
        Federal employment'' after ``transfer to the Corporation''; and
            (4) by striking the last sentence.

SEC. 3039. MARKETING AND CONTRACTING AUTHORITY.

    (a) Marketing Authority.--Section 1401(a) (42 U.S.C. 2297c(a)) is 
amended effective on the privatization date (as defined in section 
1201(13) of the Atomic Energy Act of 1954)--
            (1) by amending the subsection heading to read ``Marketing 
        Authority.--''; and
            (2) by striking the first sentence.
    (b) Transfer of Contracts.--Section 1401(b) (42 U.S.C. 2297c(b)) is 
amended--
            (1) in paragraph (2)(B), by adding at the end the 
        following: ``The privatization of the Corporation shall not 
        affect the terms of, or the rights or obligations of the 
        parties to, any such power purchase contract.''; and
            (2) by adding at the end the following:
            ``(3) Effect of transfer.--
                    ``(A) As a result of the transfer pursuant to 
                paragraph (1), all rights, privileges, and benefits 
                under such contracts, agreements, and leases, including 
                the right to amend, modify, extend, revise, or 
                terminate any of such contracts, agreements, or leases 
                were irrevocably assigned to the Corporation for its 
                exclusive benefit.
                    ``(B) Notwithstanding the transfer pursuant to 
                paragraph (1), the United States shall remain obligated 
                to the parties to the contracts, agreements, and leases 
                transferred pursuant to paragraph (1) for the 
                performance of the obligations of the United States 
                thereunder during the term thereof. The Corporation 
                shall reimburse the United States for any amount paid 
                by the United States in respect of such obligations 
                arising after the privatization date to the extent such 
                amount is a legal and valid obligation of the 
                Corporation then due.
                    ``(C) After the privatization date, upon any 
                material amendment, modification, extension, revision, 
                replacement, or termination of any contract, agreement, 
                or lease transferred under paragraph (1), the United 
                States shall be released from further obligation under 
                such contract, agreement, or lease, except that such 
                action shall not release the United States from 
                obligations arising under such contract, agreement, or 
                lease prior to such time.''.
    (c) Pricing.--Section 1402 (42 U.S.C. 2297c-1) is amended to read 
as follows:

``SEC. 1402. PRICING.

    ``The Corporation shall establish prices for its products, 
materials, and services provided to customers on a basis that will 
allow it to attain the normal business objectives of a profitmaking 
corporation.''.
    (d) Leasing of Gaseous Diffusion Facilities of Department.--
Effective on the privatization date (as defined in section 1201(13) of 
the Atomic Energy Act of 1954), section 1403 (42 U.S.C. 2297c-2) is 
amended by adding at the end the following:
    ``(h) Low-Level Radioactive Waste and Mixed Waste.--
            ``(1) Responsibility of the department; costs.--
                    ``(A) With respect to low-level radioactive waste 
                and mixed waste generated by the Corporation as a 
                result of the operation of the facilities and related 
                property leased by the Corporation pursuant to 
                subsection (a) or as a result of treatment of such 
                wastes at a location other than the facilities and 
                related property leased by the Corporation pursuant to 
subsection (a) the Department, at the request of the Corporation, 
shall--
                            ``(i) accept for treatment or disposal of 
                        all such wastes for which treatment or disposal 
                        technologies and capacities exist, whether 
                        within the Department or elsewhere; and
                            ``(ii) accept for storage (or ultimately 
                        treatment or disposal) all such wastes for 
                        which treatment and disposal technologies or 
                        capacities do not exist, pending development of 
                        such technologies or availability of such 
                        capacities for such wastes.
                    ``(B) All low-level wastes and mixed wastes that 
                the Department accepts for treatment, storage, or 
                disposal pursuant to subparagraph (A) shall, for the 
                purpose of any permits, licenses, authorizations, 
                agreements, or orders involving the Department and 
                other Federal agencies or State or local governments, 
                be deemed to be generated by the Department and the 
                Department shall handle such wastes in accordance with 
                any such permits, licenses, authorizations, agreements, 
                or orders. The Department shall obtain any additional 
                permits, licenses, or authorizations necessary to 
                handle such wastes, shall amend any such agreements or 
                orders as necessary to handle such wastes, and shall 
                handle such wastes in accordance therewith.
                    ``(C) The Corporation shall reimburse the 
                Department for the treatment, storage, or disposal of 
                low-level radioactive waste or mixed waste pursuant to 
                subparagraph (A) in an amount equal to the Department's 
                costs but in no event greater than an amount equal to 
                that which would be charged by commercial, State, 
                regional, or interstate compact entities for treatment, 
                storage, or disposal of such waste.
            ``(2) Agreements with other persons.--The Corporation may 
        also enter into agreements for the treatment, storage, or 
        disposal of low-level radioactive waste and mixed waste 
        generated by the Corporation as a result of the operation of 
        the facilities and related property leased by the Corporation 
        pursuant to subsection (a) with any person other than the 
        Department that is authorized by applicable laws and 
        regulations to treat, store, or dispose of such wastes.''.
    (e) Liabilities.--
            (1) Subsection (a) of section 1406 (42 U.S.C. 2297c-5(a)) 
        is amended--
                    (A) by inserting ``and Privatization'' after 
                ``Transition'' in the heading; and
                    (B) by adding at the end the following: ``As of the 
                privatization date, all liabilities attributable to the 
                operation of the Corporation from the transition date 
                to the privatization date shall be direct liabilities 
                of the United States.''.
            (2) Subsection (b) of section 1406 (42 U.S.C. 2297c-5(b)) 
        is amended--
                    (A) by inserting ``and Privatization'' after 
                ``Transition'' in the heading; and
                    (B) by adding at the end the following: ``As of the 
                privatization date, any judgment entered against the 
                Corporation imposing liability arising out of the 
                operation of the Corporation from the transition date 
                to the privatization date shall be considered a 
                judgment against the United States.''.
            (3) Subsection (d) of section 1406 (42 U.S.C. 2297c-5(d)) 
        is amended--
                    (A) by inserting ``and Privatization'' after 
                ``Transition'' in the heading; and
                    (B) by striking ``the transition date'' and 
                inserting ``the privatization date (or, in the event 
                the privatization date does not occur, the transition 
                date)''.
    (f) Transfer of Uranium.--
            (1) Amendment.--Title II (42 U.S.C. 2297 et seq.) is 
        amended by redesignating section 1408 as section 1409 and by 
        inserting after section 1407 the following:

``SEC. 1408. URANIUM TRANSFERS AND SALES.

    ``(a) Transfers and Sales by the Secretary.--The Secretary shall 
not provide enrichment services or transfer or sell any uranium 
(including natural or enriched uranium in any form) to any person 
except as provided in this section.
    ``(b) Russian Heu.--
            ``(1) Tranfers.--Prior to December 31, 1996, the United 
        States Executive Agent under the Russian HEU Agreement shall 
        transfer to the Secretary without charge an amount of uranium 
        hexafluoride equivalent to the natural uranium component of 
        low-enriched uranium derived from at least 18 metric tons of 
        highly enriched uranium purchased from the Russian Executive 
        Agent under the Russian HEU Agreement. The quantity of such 
        uranium hexafluoride delivered to the Secretary shall be based 
        on a tails assay of 0.30 U235. Title to uranium hexafluoride 
        delivered to the Secretary pursuant to this paragraph shall 
        transfer to the Secretary upon delivery of such material to the 
        Secretary. Uranium hexafluoride delivered to the Secretary 
        pursuant to this paragraph shall be deemed to be of Russian 
        origin.
            ``(2) Contracts.--Within 7 years of the date of enactment 
        of the USEC Privatization Act, the Secretary shall enter into 
        contracts to sell the uranium hexafluoride transferred to the 
        Secretary pursuant to paragraph (1). Such uranium hexafluoride 
        shall be sold--
                    ``(A) at any time for use in the United States for 
                the purpose of overfeeding;
                    ``(B) at any time for use outside the United 
                States; and
                    ``(C) for consumption by end users in the United 
                States not prior to January 1, 2002, in volumes not to 
                exceed 3 million pounds U3O8 equivalent per year.
            ``(3) Uranium hexafluoride.--With respect to all low-
        enriched uranium that is delivered to the United States 
        Executive Agent under the Russian HEU Agreement after January 
        1, 1997, the United States Executive Agent shall, upon request 
        of the Russian Executive Agent, deliver to the Russian 
        Executive Agent an amount of uranium hexafluoride equivalent to 
        the natural uranium component of such low-enriched uranium 
        simultaneously with the delivery of such low-enriched uranium. 
        The quantity of such uranium hexafluoride delivered to the 
        Russian Executive Agent shall be based on a tails assay of 0.30 
        U235. Title to uranium hexafluoride delivered to the Russian 
        Executive Agent pursuant to this paragraph shall transfer to 
        the Russian Executive Agent upon delivery of such material to 
        the Russian Executive Agent at a North American facility 
        designated by the Russian Executive Agent. Uranium hexafluoride 
        delivered to the Russian Executive Agent pursuant to this 
        paragraph shall be deemed to be of Russian origin. Such uranium 
        hexafluoride may be sold to any person or entity consistent 
        with the limitations on delivery to end users set forth in this 
        subsection. Nothing in this subsection shall restrict the sale 
        of the conversion component of such uranium hexafluoride.
            ``(4) Independent party.--In the event that the Russian 
        Executive Agent does not request delivery of the natural 
        uranium component of any low-enriched uranium, as contemplated 
        in paragraph (3), within 90 days of the date such low-enriched 
        uranium is delivered to the United States Executive Agent, then 
        the United States Executive Agent shall engage an independent 
        party through a competitive selection process to auction an 
        amount of uranium hexafluoride equivalent to the natural 
        uranium component of such low-enriched uranium. Such 
        independent party shall sell such uranium hexafluoride to any 
        person or entity consistent with the limitations set forth in 
        this subsection. The independent entity shall pay to the 
        Russian Executive Agent the proceeds of any such auction less 
        all transaction and other administrative costs. The quantity of 
        such uranium hexafluoride auctioned shall be based on a tails 
        assay of 0.30 U235. Title to uranium hexafluoride auctioned 
        pursuant to this paragraph shall transfer to the buyer of such 
        material upon delivery of such material to the buyer. Uranium 
        hexafluoride auctioned pursuant to this paragraph shall be 
        deemed to be of Russian origin.
            ``(5) Consumption.--Except as provided in paragraphs (6) 
        and (7), uranium hexafluoride delivered to the Secretary under 
        paragraph (1) or the Russian Executive Agent under paragraph 
        (3) or auctioned pursuant to paragraph (4), may not be 
        delivered for consumption by end users in the United States 
        prior to January 1, 1998 and thereafter only in accordance with 
        the following schedule:

                                    Annual Maximum Deliveries to End 
                                            Users
``Year                              (millions lbs. U<INF>3O<INF>8 
                                            equivalent)
    1998-..........................
                                        2 million lbs. U<INF>3O<INF>8 
                                                equivalent
    1999-..........................
                                        4 million lbs. U<INF>3O<INF>8 
                                                equivalent
    2000-..........................
                                        6 million lbs. U<INF>3O<INF>8 
                                                equivalent
    2001-..........................
                                        8 million lbs. U<INF>3O<INF>8 
                                                equivalent
    2002-..........................
                                        10 million lbs. U<INF>3O<INF>8 
                                                equivalent
    2003-..........................
                                        12 million lbs. U<INF>3O<INF>8 
                                                equivalent
    2004-..........................
                                        14 million lbs. U<INF>3O<INF>8 
                                                equivalent
    2005 and each year thereafter..
                                        16 million lbs. U<INF>3O<INF>8 
                                                equivalent
            ``(6) Matched sales.--Uranium hexafluoride delivered to the 
        Secretary under paragraph (1) or the Russian Executive Agent 
        under paragraph (3) or auctioned pursuant to paragraph (4) may 
        be sold at any time as Russian-origin natural uranium in a sale 
        with an equal portion of U.S.-origin natural uranium pursuant 
        to the Suspension Agreement and in such case shall not be 
        counted against the annual maximum deliveries set forth in 
        paragraph (5).
            ``(7) Overfeeding.--Uranium hexafluoride delivered to the 
        Secretary under paragraph (1) or the Russian Executive Agent 
        under paragraph (3) or auctioned pursuant to paragraph (4) may 
        be sold at any time for use in the United States for the 
        purpose of overfeeding in the operations of enrichment 
        facilities.
    ``(c) Transfers to the Corporation.--(1) Before the privatization 
date, the Secretary may transfer to the Corporation without charge the 
low enriched uranium from up to 50 metric tons of highly enriched 
uranium and up to 7,000 metric tons of natural uranium, subject to the 
restrictions in subsection (b)(2).
    ``(2) The Corporation (or its successor) may not deliver for 
commercial end use--
            ``(A) any of the natural uranium transferred under this 
        subsection before January 1, 1998;
            ``(B) more than 10 percent of the natural uranium (by 
        uranium hexafluoride equivalent content) transferred under this 
        subsection or more than 4 million pounds, whichever is less, in 
        any calendar year after 1997; or
            ``(C) more than 800,000 separative work units of low-
        enriched uranium transferred under this subsection in any 
        calendar year.
    ``(d) Inventory Sales.--(1) In addition to the transfers authorized 
under subsection (b), the Secretary may, from time to time, sell 
natural and low-enriched uranium (including low-enriched uranium 
derived from highly enriched uranium) from the Department of Energy s 
stockpile.
    ``(2) Except as provided in subsections (b) and (d), no sale or 
transfer of natural or low-enriched uranium shall be made unless--
            ``(A) the President determines that the material is not 
        necessary to national security needs,
            ``(B) the Secretary determines that the sale of the 
        material will not have an adverse impact on the domestic 
        uranium mining and enrichment industries, taking into account 
        the sales of uranium under the Russian HEU Agreement and the 
        Suspension Agreement, and
            ``(C) the price paid to the Secretary will not be less than 
        the fair market value of the material.
    ``(e) Government Transfers.--Notwithstanding subsection (c), the 
Secretary may transfer or sell low-enriched uranium--
            ``(1) to a federal agency if the material is transferred 
        for the use of the receiving agency without any resale or 
transfer to another entity and the material does not meet commercial 
specifications;
            ``(2) to any person for national security purposes, as 
        determined by the Secretary; or
            ``(3) to any state or local agency or nonprofit, 
        charitable, or educational institution for use other than the 
        generation of electricity for commercial use.''.
            (2) Conforming amendment.--The table of contents for 
        chapter 24 is amended by redesignating the item relating to 
        section 1408 as the item relating to section 1409 and by 
        inserting after the item for section 1407 the following:

``Sec. 1408. Uranium transfers and sales.''.

SEC. 3040. PRIVATIZATION OF THE CORPORATION.

    (a) Establishment of Private Corporation.--Chapter 25 (42 U.S.C. 
2297d et seq.) is amended by adding at the end the following new 
section:

``SEC. 1503. ESTABLISHMENT OF PRIVATE CORPORATION.

    ``(a) Establishment.--
            ``(1) In general.--In order to facilitate privatization, 
        the Corporation may provide for the establishment of a private 
        corporation organized under the laws of any of the several 
        States. Such corporation shall have among its purposes the 
        following:
                    ``(A) To help maintain a reliable and economical 
                domestic source of uranium enrichment services.
                    ``(B) To undertake any and all activities as 
                provided in its corporate charter.
            ``(2) Authorities.--The corporation established pursuant to 
        paragraph (1) shall be authorized to--
                    ``(A) enrich uranium, provide for uranium to be 
                enriched by others, or acquire enriched uranium 
                (including low-enriched uranium derived from highly 
                enriched uranium);
                    ``(B) conduct, or provide for conducting, those 
                research and development activities related to uranium 
                enrichment and related processes and activities the 
                corporation considers necessary or advisable to 
                maintain itself as a commercial enterprise operating on 
                a profitable and efficient basis;
                    ``(C) enter into transactions regarding uranium, 
                enriched uranium, or depleted uranium with--
                            ``(i) persons licensed under section 53, 
                        63, 103, or 104 in accordance with the licenses 
                        held by those persons;
                            ``(ii) persons in accordance with, and 
                        within the period of, an agreement for 
                        cooperation arranged under section 123; or
                            ``(iii) persons otherwise authorized by law 
                        to enter into such transactions;
                    ``(D) enter into contracts with persons licensed 
                under section 53, 63, 103, or 104, for as long as the 
                corporation considers necessary or desirable, to 
                provide uranium or uranium enrichment and related 
                services;
                    ``(E) enter into contracts to provide uranium or 
                uranium enrichment and related services in accordance 
                with, and within the period of, an agreement for 
                cooperation arranged under section 123 or as otherwise 
                authorized by law; and
                    ``(F) take any and all such other actions as are 
                permitted by the law of the jurisdiction of 
                incorporation of the corporation.
            ``(3) Transfer of assets.--For purposes of implementing the 
        privatization, the Corporation may transfer some or all of its 
        assets and obligations to the corporation established pursuant 
        to this section, including--
                    ``(A) all of the Corporation's assets and 
                obligations, including all of the Corporation's rights, 
                duties, and obligations accruing subsequent to the 
                privatization date under contracts, agreements, and 
                leases entered into by the Corporation before the 
                privatization date, including all uranium enrichment 
                contracts and power purchase contracts;
                    ``(B) all funds in accounts of the Corporation held 
                by the Treasury or on deposit with any bank or other 
                financial institution;
                    ``(C) all of the Corporation's rights, duties, and 
                obligations, accruing subsequent to the privatization 
                date, under the power purchase contracts covered by 
                section 1401(b)(2)(B);
                    ``(D) all of the Corporation's rights, duties, and 
                obligations, accruing subsequent to the privatization 
                date, under the lease agreement between the Department 
                and the Corporation executed by the Department and the 
                Corporation pursuant to section 1403; and
                    ``(E) all of the Corporation's records, including 
                all of the papers and other documentary materials, 
                regardless of physical form or characteristics, made or 
                received by the Corporation.
            ``(4) Merger or consolidation.--For purposes of 
        implementing the privatization, the Corporation may merge or 
        consolidate with the corporation established pursuant to 
subsection (a)(1) if such action is contemplated by the plan for 
privatization approved by the President under section 1502(b). The 
Board shall have exclusive authority to approve such merger or 
consolidation and to take all further actions necessary to consummate 
such merger or consolidation, and no action by or in respect of 
shareholders shall be required. The merger or consolidation shall be 
effected in accordance with, and have the effects of a merger or 
consolidation under, the laws of the jurisdiction of incorporation of 
the surviving corporation, and all rights and benefits provided under 
this title to the Corporation shall apply to the surviving corporation 
as if it were the Corporation.
    ``(b) OSHA Requirements.--For purposes of the regulation of 
radiological and nonradiological hazards under the Occupational Safety 
and Health Act of 1970, the corporation established pursuant to 
subsection (a)(1) shall be treated in the same manner as other 
employers licensed by the Nuclear Regulatory Commission. Any 
interagency agreement entered into between the Nuclear Regulatory 
Commission and the Occupational Safety and Health Administration 
governing the scope of their respective regulatory authorities shall 
apply to the corporation as if the corporation were a Nuclear 
Regulatory Commission licensee.
    ``(c) Legal Status of Private Corporation.--
            ``(1) Not federal agency.--The Corporation established 
        pursuant to subsection (a)(1) shall not be an agency, 
        instrumentality, or establishment of the United States 
        Government and shall not be a Government corporation or 
        Government-controlled corporation.
            ``(2) No recourse against united states.--Obligations of 
        the Corporation established pursuant to subsection (a)(1) shall 
        not be obligations of, or guaranteed as to principal or 
        interest by, the Corporation or the United States, and the 
        obligations shall so plainly state.
            ``(3) No claims court jurisdiction.--No action under 
        section 1491 of title 28, United States Code, shall be 
        allowable against the United States based on the actions of the 
        Corporation established pursuant to subsection (a)(1).
    ``(d) Board of Director's Election After Public Offering.--In the 
event that the privatization is implemented by means of a public 
offering, an election of the members of the board of directors of the 
Corporation by the shareholders shall be conducted before the end of 
the 1-year period beginning the date shares are first offered to the 
public pursuant to such public offering.
    ``(e) Adequate Proceeds.--The Secretary of Energy shall not allow 
the privatization of the Corporation unless before the sale date the 
Secretary determines that the estimated sum of the gross proceeds from 
the sale of the Corporation will be an adequate amount.''.
    (b) Ownership Limitations.--Chapter 25 (as amended by subsection 
(a)) is amended by adding at the end the following new section:

``SEC. 1504. OWNERSHIP LIMITATIONS.

    ``(a) Securities Limitation.--In the event that the privatization 
is implemented by means of a public offering, during a period of 3 
years beginning on the privatization date, no person, directly or 
indirectly, may acquire or hold securities representing more than 10 
percent of the total votes of all outstanding voting securities of the 
Corporation.
    ``(b) Application.--Subsection (a) shall not apply--
            ``(1) to any employee stock ownership plan of the 
        Corporation,
            ``(2) to underwriting syndicates holding shares for resale, 
        or
            ``(3) in the case of shares beneficially held for others, 
        to commercial banks, broker-dealers, clearing corporations, or 
        other nominees.
    ``(c) Acquisitions.--No director, officer, or employee of the 
Corporation may acquire any securities, or any right to acquire 
securities, of the Corporation--
            ``(1) in the public offering of securities of the 
        Corporation in the implementation of the privatization,
            ``(2) pursuant to any agreement, arrangement, or 
        understanding entered into before the privatization date, or
            ``(3) before the election of directors of the Corporation 
        under section 1503(d) on any terms more favorable than those 
        offered to the general public.''.
    (c) Exemption From Liability.--Chapter 25 (as amended by subsection 
(b)) is amended by adding at the end the following new section:

``SEC. 1505. EXEMPTION FROM LIABILITY.

    ``(a) In General.--No director, officer, employee, or agent of the 
Corporation shall be liable, for money damages or otherwise, to any 
party if, with respect to the subject matter of the action, suit, or 
proceeding, such person was fulfilling a duty, in connection with any 
action taken in connection with the privatization, which such person in 
good faith reasonably believed to be required by law or vested in such 
person.
    ``(b) Exception.--The privatization shall be subject to the 
Securities Act of 1933 and the Securities Exchange Act of 1934. The 
exemption set forth in subsection (a) shall not apply to claims arising 
under such Acts or under the Constitution or laws of any State, 
territory, or possession of the United States relating to transactions 
in securities, which claims are in connection with a public offering 
implementing the privatization.
    ``(c) Securities Laws Applicable.--Any offering or sale of 
securities by the Corporation established pursuant to section 
1503(a)(1) shall be subject to the Securities Act of 1933, the 
Securities Exchange Act of 1934 and the provisions of the Constitution 
and laws of any State, territory, or possession of the United States 
relating to transactions in securities.''.
    (d) Resolution of Certain Issues.--Chapter 25 (as amended by 
subsection (c)) is amended by adding at the end the following new 
section:

``SEC. 1506. RESOLUTION OF CERTAIN ISSUES.

    ``(a) Corporation Actions.--Notwithstanding any provision of any 
agreement to which the Corporation is a party, the Corporation shall 
not be considered to be in breach, default, or violation of any such 
agreement because of any provision of this chapter or any action the 
Corporation is required to take under this chapter.
    ``(b) Right To Sue Withdrawn.--The United States hereby withdraws 
any stated or implied consent for the United States, or any agent or 
officer of the United States, to be sued by any person for any legal, 
equitable, or other relief with respect to any claim arising out of, or 
resulting from, acts or omissions under this chapter.''.
    (e) Conforming Amendment.--The table of contents for chapter 25 is 
amended by inserting after the item for section 1502 the following:

``Sec. 1503. Establishment of Private Corporation.
``Sec. 1504. Ownership Limitations.
``Sec. 1505. Exemption from Liability.
``Sec. 1506. Resolution of Certain Issues.''.
    (f) Section 193 (42 U.S.C. 2243) is amended by adding at the end 
the following:
    ``(f) Limitation.--If the privatization of the United States 
Enrichment Corporation results in the Corporation being--
            ``(1) owned, controlled, or dominated by a foreign 
        corporation or a foreign government, or
            ``(2) otherwise inimical to the common defense or security 
        of the United States,
any license held by the Corporation under sections 53 and 63 shall be 
terminated.''.
    (g) Period for Congressional Review.--Section 1502(d) (42 U.S.C. 
2297d-1(d)) is amended by striking ``less than 60 days after 
notification of the Congress'' and inserting ``less than 60 days after 
the date of the report to Congress by the Comptroller General under 
subsection (c)''.

SEC. 3041. PERIODIC CERTIFICATION OF COMPLIANCE.

    Section 1701(c)(2) (42 U.S.C. 2297f(c)(2)) is amended by striking 
``Annual application for certificate of compliance.--The Corporation 
shall apply at least annually to the Nuclear Regulatory Commission for 
a certificate of compliance under paragraph (1).'' and inserting 
``Periodic application for certificate of compliance.--The Corporation 
shall apply to the Nuclear Regulatory Commission for a certificate of 
compliance under paragraph (1) periodically, as determined by the 
Nuclear Regulatory Commission, but not less than every 5 years.''.

SEC. 3042. LICENSING OF OTHER TECHNOLOGIES.

    Subsection (a) of section 1702 (42 U.S.C. 2297f-1(a)) is amended by 
striking ``other than'' and inserting ``including''.

SEC. 3043. CONFORMING AMENDMENTS.

    (a) Repeals in Atomic Energy Act of 1954 as of the Privatization 
Date.--
            (1) Repeals.--As of the privatization date (as defined in 
        section 1201(13) of the Atomic Energy Act of 1954), the 
        following sections (as in effect on such privatization date) of 
        the Atomic Energy Act of 1954 are repealed:
                    (A) Section 1202.
                    (B) Sections 1301 through 1304.
                    (C) Sections 1306 through 1316.
                    (D) Sections 1404 and 1405.
                    (E) Section 1601.
                    (F) Sections 1603 through 1607.
            (2) Conforming amendment.--The table of contents of such 
        Act is amended by repealing the items referring to sections 
        repealed by paragraph (1).
    (b) Statutory Modifications.--As of such privatization date, the 
following shall take effect:
            (1) For purposes of title I of the Atomic Energy Act of 
        1954, all references in such Act to the ``United States 
        Enrichment Corporation'' shall be deemed to be references to 
        the corporation established pursuant to section 1503 of the 
        Atomic Energy Act of 1954 (as added by section 3036(a)).
            (2) Section 1018(1) of the Energy Policy Act of 1992 (42 
        U.S.C. 2296b-7(1)) is amended by striking ``the United States'' 
        and all that follows through the period and inserting ``the 
        corporation referred to in section 1201(4) of the Atomic Energy 
        Act of 1954.''.
            (3) Section 9101(3) of title 31, United States Code, is 
        amended by striking subparagraph (N), as added by section 
        902(b) of Public Law 102-486.
    (c) Revision of Section 1305.--As of such privatization date, 
section 1305 of the Atomic Energy Act of 1954 (42 U.S.C 2297b-4) is 
amended--
            (1) by repealing subsections (a), (b), (c), and (d), and
            (2) in subsection (e)--
                    (A) by striking the subsection designation and 
                heading,
                    (B) by redesignating paragraph (1) (as added by 
                section 3038(a)) as subsection (a), striking ``In 
                general.--'' and inserting ``In General.--'', 
                redesignating subparagraphs (A) through (E) as 
                paragraphs (1) through (5) (redesignating in such 
                paragraph, clauses (i) through (iii) as subparagraphs 
                (A) through (C)), striking ``clauses (i) through 
                (iii)'' in paragraph (5) and inserting ``subparagraphs 
                (A) through (C)'', and by moving the margins 2-ems to 
                the left,
                    (C) by striking paragraph (3), and
                    (D) by redesignating paragraph (4) (as amended by 
                section 3038(b)) as subsection (b), and by moving the 
                margins 2-ems to the left.

               Subtitle D--Waste Isolation Pilot Project

SEC. 3045. SHORT TITLE AND REFERENCE.

    (a) Short Title.--This subtitle may be cited as the ``Waste 
Isolation Pilot Plant Land Withdrawal Amendment Act''.
    (b) Reference.--Except as otherwise expressly provided, whenever in 
this subtitle 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 
Waste Isolation Pilot Plant Land Withdrawal Act (Public Law 102-579).

SEC. 3046. DEFINITIONS.

    Paragraphs (18) and (19) of section 2 are repealed.

SEC. 3047. TEST PHASE AND RETRIEVAL PLANS.

    Section 5 is repealed.

SEC. 3048. TEST PHASE ACTIVITIES.

    Section 6 is amended--
            (1) by repealing subsections (a) and (b),
            (2) by repealing paragraph (1) of subsection (c),
            (3) by repealing subparagraph (A) of paragraph (2) of 
        subsection (c),
            (4) by redesignating subsection (c) as subsection (a), by 
        striking the subsection heading and the matter before paragraph 
        (1) and inserting ``Study.--The following study shall be 
        conducted:'', by striking ``(2) Remote-handled waste.--'', by 
        striking ``(B) Study.--'', and by redesignating clauses (i), 
        (ii), and (iii) as paragraphs (1), (2), and (3), respectively, 
        and moving them 4-ems to the left, and
            (5) by redesignating subsection (d) as subsection (b).

SEC. 3049. DISPOSAL OPERATIONS.

    Section 7(b) is repealed.

SEC. 3050. ENVIRONMENTAL PROTECTION AGENCY DISPOSAL REGULATIONS.

    (a) Section 8(d)(1).--Section 8(d)(1) is amended by striking 
subparagraphs (B), (C), and (D) and by adding after subparagraph (A) 
the following:
                    ``(B) Comments of administrator.--Within 2 months 
                of receipt of the application under subparagraph (A), 
                the Administrator shall provide the Secretary with any 
                comments on the Secretary's application. Within one 
                month of the receipt of such comments, the Secretary 
                shall, to the extent practicable, incorporate the 
                Administrator's comments in the Secretary's 
                application. The comments of the Administrator provided 
                to the Secretary should also be transmitted to the 
                appropriate committees of jurisdiction in the House of 
                Representatives and the Senate.''.
    (b) Section 8(d) (2), (3).--Section 8(d) is amended by striking 
paragraphs (2) and (3), by striking ``(1) Compliance with disposal 
regulations.--'', and by redesignating subparagraphs (A) and (B) of 
paragraph (1), as amended by subsection (a), as paragraphs (1) and (2), 
respectively, and moving them 2-ems to the left.
    (c) Section 8(f).--Subsection (f) of section 8 is amended--
            (1) by amending the subsection heading to read ``Periodic 
        Review'', and
            (2) by amending paragraph (2) to read as follows:
            ``(2) Review by the administrator.--The Administrator 
        shall, not later than 6 months after receiving a submission 
        under paragraph (1), comment on whether or not the WIPP 
        facility continues to be in compliance with the final 
        disposition regulations.''.
    (d) Section 8(g).--Section 8(g) is amended to read as follows:
    ``(g) Engineered and Natural Barriers, Etc.--The Secretary should 
determine whether or not engineered barriers or natural barriers, or 
both, will be required at WIPP consistent with regulations published as 
part 191 of 40 C.F.R.''.

SEC. 3051. COMPLIANCE WITH ENVIRONMENTAL LAWS AND REGULATIONS.

    (a) Section 9(a)(1).--Section 9(a)(1) is amended by adding after 
and below subparagraph (H) the following:
        ``With respect to transuranic mixed waste designated by the 
        Secretary for disposal at WIPP, such waste is exempt from the 
        land disposal restrictions published at part 268 of 40 C.F.R. 
        because compliance with the environmental radiation protection 
        standards published at part 191 of 40 C.F.R. renders compliance 
        with the land disposal restrictions unnecessary to achieve 
        desired environmental protection and a no migration variance is 
        not required for disposal of transuranic mixed waste at 
        WIPP.''.
    (b) Section 9(b).--Subsection (b) of section 9 is repealed.
    (c) Sections 9(c), (d).--Subsections (c) and (d) of section 9 are 
repealed.

SEC. 3052. RETRIEVABILITY.

    Section 10 is amended to read as follows:

``SEC. 10. TRANSURANIC WASTE.

    ``It is the intent of Congress that a decision will be made by the 
Secretary with respect to the disposal of transuranic waste no later 
than March 31, 1997.''.

SEC. 3053. DECOMMISSIONING OF WIPP.

    Section 13 is amended--
            (1) by repealing subsection (a), and
            (2) in subsection (b), by striking ``(b) Management Plan 
        for the Withdrawal After Decommissioning.--Within 5 years after 
        the date of the enactment of this Act, the'' and inserting 
        ``The''.

SEC. 3054. ECONOMIC ASSISTANCE AND MISCELLANEOUS PAYMENTS.

    Section 15(a) is amended--
            (1) by striking ``to the Secretary for payments to the 
        State $20,000,000 for each of the 15 fiscal years beginning 
        with the fiscal year in which the transport of transuranic 
        waste to WIPP is initiated'' and inserting ``to the State 
        $20,000,000 for each of the 15 fiscal years beginning with the 
        date of the enactment of the Waste Isolation Pilot Plant Land 
        Withdrawal Amendment Act'', and
            (2) by adding at the end the following: ``An appropriation 
        to the State shall be in addition to any appropriation for 
        WIPP.''.

SEC. 3055. NON-DEFENSE WASTE.

    Section 7(a) is amended by redesignating paragraph (3) as paragraph 
(4) and by inserting after paragraph (2) the following:
            ``(3) Nondefense waste.--Within the capacity prescribed by 
        paragraph (4), WIPP may receive transuranic waste from the 
        Secretary which did not result from a defense activity.''.

                Subtitle E--Strategic Petroleum Reserve

SEC. 3071. LEASE OF EXCESS STRATEGIC PETROLEUM RESERVE CAPACITY.

    (a) Amendment.--Part B of title I of the Energy Policy and 
Conservation Act (42 U.S.C. 151 et seq.) is amended by adding at the 
end the following new section:

                   ``use of underutilized facilities

    ``Sec. 168. (a) Authority.--Notwithstanding any other provision of 
this title, the Secretary, by lease or otherwise, for any term and 
under such other conditions as the Secretary considers necessary or 
appropriate, may store in underutilized Strategic Petroleum Reserve 
facilities petroleum product owned by a foreign government or its 
representative.
    ``(b) Conditions of Withdrawal.--The lessee or occupier of 
facilities under subsection (a) may not withdraw petroleum product from 
those facilities more frequently than once every 5 years, unless an 
earlier drawdown is required to comply with the terms of the 
International Energy Agreement or to respond to a national energy 
emergency involving the disruption of more than 5 percent of the 
lessee's or occupier's imports.
    ``(c) Priority Access.--When a drawdown of the reserve is ordered 
pursuant to section 161, the United States shall have priority access, 
over a lessee or occupier of facilities under subsection (a), to 
distribution facilities, including pipelines and terminals.
    ``(d) Status of Stored Petroleum Product.--Petroleum product stored 
under this section is not part of the Reserve, and may be exported from 
the United States.''.
    (b) Table of Contents Amendment.--The table of contents of part B 
of title I of the Energy Policy and Conservation Act is amended by 
adding at the end the following new item:

``Sec. 168. Use of underutilized facilities.''.

     TITLE IV--COMMITTEE ON ECONOMIC AND EDUCATIONAL OPPORTUNITIES

SEC. 4000. TABLE OF CONTENTS.

    The table of contents for this title is as follows:

            TITLE IV--ECONOMIC AND EDUCATIONAL OPPORTUNITIES

                      Subtitle A--Higher Education

Sec. 4001. Short title; effective date.
Sec. 4002. Termination of direct lending.
Sec. 4003. Elimination of grace period interest subsidies.
Sec. 4004. Plus program reductions.
Sec. 4005. Loan transfer fee.
Sec. 4006. Lender fees to guaranty agencies.
Sec. 4007. Additional loan program changes.
Sec. 4008. Use of reserve funds to purchase defaulted loans.
Sec. 4009. Extension of period a guaranty agency must hold a defaulted 
                            loan.
Sec. 4010. Privatization of College Construction Loan Insurance 
                            Association.
Sec. 4011. Eligible institution.
Sec. 4012. Extension of program duration.
                  Subtitle B--Service Contract Repeal

Sec. 4101. Service Contract Act of 1965.
   Subtitle C--Provisions Relating to the Employee Retirement Income 
                          Security Act of 1974

Sec. 4201. Waiver of minimum period for joint and survivor annuity 
                            explanation before annuity starting date.

                      Subtitle A--Higher Education

SEC. 4001. SHORT TITLE; EFFECTIVE DATE.

    (a) Short Title.--This subtitle may be cited as the ``Higher 
Education Program Efficiency Act of 1995''.
    (b) Effective Date.--Except as otherwise provided therein, the 
amendments made by this subtitle shall take effect on January 1, 1996.

SEC. 4002. TERMINATION OF DIRECT LENDING.

    (a) Termination of Authority.--
            (1) Program authority.--Section 451(a) of the Higher 
        Education Act of 1965 (20 U.S.C. 1087a(a)) is amended by 
        inserting ``and ending June 30, 1996'' after ``period beginning 
        July 1, 1994''.
            (2) Termination of funding.--Section 452 of such Act (20 
        U.S.C. 1087b) is amended by adding at the end the following new 
        subsection:
    ``(e) Termination of Funding.--The Secretary shall not provide 
funds under this section for loans for any academic year beginning on 
or after July 1, 1996. The Secretary shall not pay any fees pursuant to 
subsection (b) of this section on or after January 1, 1996.''.
            (3) Termination of authority to enter new agreements.--
        Section 453(a) of such Act (20 U.S.C. 1087c(a)) is amended--
                    (A) in paragraph (1), by inserting ``and ending 
                before July 1, 1996'' after ``academic years beginning 
                on or after July 1, 1994'';
                    (B) in paragraph (2)--
                            (i) by inserting ``and'' after the 
                        semicolon at the end of subparagraph (A);
                            (ii) by striking the semicolon at the end 
                        of subparagraph (B) and inserting a period; and
                            (iii) by striking subparagraphs (C) and 
                        (D); and
                    (C) by striking paragraph (3) and redesignating 
                paragraph (4) as paragraph (3).
    (b) Administrative Cost Amendments.--Section 458 of such Act (20 
U.S.C. 1087h) of such Act is amended--
            (1) by striking subsection (d);
            (2) by redesignating subsections (b) and (c) as subsections 
        (f) and (g), respectively; and
            (3) by striking subsection (a) and inserting the following:
    ``(a) In General.--
            ``(1) Direct administrative costs.--Each fiscal year there 
        shall be available to the Secretary of Education, from funds 
        not otherwise appropriated, funds to be obligated for the 
        subsidy costs of direct administrative costs under this part, 
        subject to subsection (b) of this section.
            ``(2) Indirect administrative costs.--There shall also be 
        available from funds available from funds not otherwise 
        appropriated, funds to be obligated for indirect administrative 
        costs under this part and part B, subject to subsection (c) of 
        this section, not to exceed (from such funds not otherwise 
        appropriated) $260,000,000 in fiscal year 1994, $345,000,000 in 
        fiscal year 1995, $110,000,000 in fiscal year 1996 (of which 
        $40,000,000 shall be available for administrative cost 
        allowances for guaranty agencies for October through December 
        of 1995), and $70,000,000 in each of the fiscal years 1997 
        through 2002.
            ``(3) Reduction.--The amount authorized to be made 
        available for fiscal year 1997 under paragraph (2) shall be 
        reduced by the amount of any unobligated unexpended funds 
        available to carry out this subsection for any fiscal year 
        prior to fiscal year 1996.
    ``(b) Subsidy Costs.--For purposes of this section, `subsidy cost' 
means the estimated long-term cost to the Federal Government of direct 
administrative expenses calculated on a net present value basis.
    ``(c) Direct Administrative Expenses.--For purposes of this 
section, `direct administrative expenses' shall consist of the cost 
of--
            ``(1) activities related to credit extension, loan 
        origination, loan servicing, management of contractors, and 
        payments to contractors, other government entities, and program 
        participants;
            ``(2) collection of delinquent loans; and
            ``(3) write-off and closeout of loans.
    ``(d) Indirect Administrative Expenses.--For purposes of this 
section, `indirect administrative expenses' shall consist of the cost 
of--
            ``(1) personnel engaged in developing program regulations, 
        policy, and administrative guidelines;
            ``(2) audits of institutions and contractors;
            ``(3) program reviews; and
            ``(4) other oversight of the program.
    ``(e) Limitation on Part D Expenditures.--For any fiscal year, 
expenditures for indirect administrative expenses and for loan 
servicing for loans made pursuant to this part shall not exceed 30 
percent of funds available pursuant to paragraph (2) for such fiscal 
year.''.
    (c) Elimination of Transition to Direct Loans.--Such Act is further 
amended--
            (1) in section 422(c)(7) (20 U.S.C. 1072(c)(7))--
                    (A) by striking ``during the transition'' and all 
                that follows through ``part D of this title'' in 
                subparagraph (A); and
                    (B) by striking ``section 428(c)(10)(F)(v)'' in 
                subparagraph (B) and inserting ``section 
                428(c)(9)(F)(v)'';
            (2) in section 428(c)(8) (20 U.S.C. 1078(c)(8)), by 
        striking subparagraph (B) and inserting the following:
            ``(B) Prior to making such determination for any guaranty 
        agency, the Secretary shall, in consultation with the guaranty 
        agency, develop criteria to determine whether such guaranty 
        agency has made adequate collection efforts. In determining 
        whether a guaranty agency's collection efforts have met such 
        criteria, the Secretary shall consider the agency's record of 
        success in collecting on defaulted loans, the age of the loans, 
        and the amount of recent payments received on the loans.'';
            (3) in section 428(c)(9)(E)--
                    (A) by inserting ``or'' after the semicolon at the 
                end of clause (iv);
                    (B) by striking ``; or'' at the end of clause (v) 
                and inserting a period; and
                    (C) by striking clause (vi);
            (4) in clause (vii) of section 428(c)(9)(F)--
                    (A) by inserting ``and'' before ``to avoid 
                disruption''; and
                    (B) by striking ``, and to ensure an orderly 
                transition'' and all that follows through the end of 
                such clause and inserting a period;
            (5) in section 428(c)(9)(K), by striking ``the progress of 
        the transition from the loan programs under this part to'' and 
        inserting ``the integrity and administration of'';
            (6) in section 428(e)(1)(B)(ii), by striking ``during the 
        transition'' and all that follows through ``part D of this 
        title'';
            (7) in section 428(e)(3), by striking ``of transition'';
            (8) in section 428(j)(3)--
                    (A) by striking ``during transition to direct 
                lending''; and
                    (B) by striking ``during the transition'' and all 
                that follows through ``part D of this title,'' in 
                subparagraph (A) and inserting a comma;
            (9) in section 453(c)(2) (20 U.S.C. 1087c(c)(2)), by 
        striking ``Transition'' and inserting ``Institutional'';
            (10) in section 453(c), by striking paragraph (3); and
            (11) in section 456(b) (20 U.S.C. 1087f(b))--
                    (A) by inserting ``and'' after the semicolon at the 
                end of paragraph (3);
                    (B) by striking paragraph (4);
                    (C) by redesignating paragraph (5) as paragraph 
                (4); and
                    (D) in such paragraph (4) (as redesignated), by 
                striking ``successful operation'' and inserting 
                ``integrity and efficiency''.
    (d) Additional Conforming Amendments.--
            (1) Ability of part d borrowers to obtain federal stafford 
        consolidation loans.--Section 428C(a)(4) of such Act (20 U.S.C. 
        1078-3(a)(4)) is amended--
                    (A) by redesignating subparagraphs (C) and (D) as 
                subparagraphs (D) and (E); and
                    (B) by inserting after subparagraph (B) the 
                following new subparagraph:
                    ``(C) made under part D of this title;''.
            (2) Conforming amendments.--Section 428C(b) of such Act (20 
        U.S.C. 1078-3(b)) is amended by striking paragraph (5).

SEC. 4003. ELIMINATION OF GRACE PERIOD INTEREST SUBSIDIES.

    Section 428(a)(3) of the Higher Education Act of 1965 (20 U.S.C. 
1078(a)(3)) is amended by adding at the end the following new 
subparagraph:
            ``(C) Notwithstanding subparagraph (A), no portion of the 
        interest which accrues after the student ceases to carry at an 
        eligible institution at least one-half the normal full-time 
        academic workload (as determined by the institution) and prior 
        to the beginning of the repayment period of the loan shall be 
        paid by the Secretary under this subsection on any loan made on 
        or after January 1, 1996. Interest on the unpaid principal 
        amount of any such loan during the interval described in the 
        preceding sentence shall, at the option of the borrower--
                    ``(i) be paid monthly or quarterly, or
                    ``(ii) be added by the lender to the principal 
                amount of the loan at the commencement of the repayment 
                period.''.

SEC. 4004. PLUS PROGRAM REDUCTIONS.

    (a) Loan Limits.--Section 428B(b) of the Higher Education Act of 
1965 (20 U.S.C. 1078-2(b)) is amended--
            (1) by striking ``(b) Limitation Based on Need.--'' and 
        inserting the following:
    ``(b) Annual Limits.--
            ``(1) Limitation based on need.--'';
            (2) by inserting before the last sentence thereof the 
        following:
            ``(3) Limitation computed on basis of actual payments.--''; 
        and
            (3) by inserting before paragraph (3) (as designated by the 
        amendment made by paragraph (2) of this subsection) the 
        following new paragraph:
            ``(2) Dollar limitation.--Subject to paragraph (1), the 
        maximum amount parents may borrow for one student in any 
        academic year or its equivalent (as defined by regulations of 
        the Secretary) is $15,000.''.
    (b) Interest Rebate.--Section 428B of such Act is further amended 
by adding at the end the following new subsection:
    ``(f) Interest Rebate.--
            ``(1) Rebate required.--Each holder of a loan under this 
        section made on or after the date of enactment of this 
        subsection, shall pay, on June 30 and December 31 of each year, 
        to the Secretary a rebate of subsidies in an amount equal to 
        0.8 percent of the outstanding principal balance of loans held 
        on such date. Payment of such rebate shall be made not later 
        than 60 days after each such date.
            ``(2) Deposit of rebates.--The Secretary shall deposit all 
        fees collected pursuant to paragraph (1) into the insurance 
        fund established in section 431.''.
    (c) Plus Loans Interest Rates.--Section 427A(c)(4) of such Act (20 
U.S.C. 1077a(c)(4)) is amended by adding at the end the following new 
subparagraph:
            ``(F) Notwithstanding subparagraphs (A), (D), and (E), for 
        any loan made pursuant to section 428B for which the first 
        disbursement is made on or after January 1, 1996--
                    ``(i) subparagraph (B) shall be applied by 
                substituting `4.0' for `3.25'; and
                    ``(ii) the interest rate shall not exceed 11 
                percent.''.
    (d) Conforming Amendment.--Section 427A(h) of such Act (20 U.S.C. 
1077a(h)) is amended--
            (1) by striking paragraph (2); and
            (2) by redesignating paragraph (3) as paragraph (2).

SEC. 4005. LOAN TRANSFER FEE.

    Section 428(b)(2) of the Higher Education Act of 1965 (20 U.S.C. 
1078(b)(2)) is amended--
            (1) by striking ``and'' at the end of subparagraph (E);
            (2) by striking the period at the end of subparagraph (F) 
        and inserting ``; and''; and
            (3) by adding at the end thereof the following new 
        subparagraph:
                    ``(G) provide that, if a lender or holder, on or 
                after January 1, 1996, sells, transfers, or assigns a 
                loan under this part, then the transferee shall pay to 
                the Secretary a transfer fee in an amount equal to 0.20 
                percent of the principal of the loan, which transfer 
                fee shall be deposited into the insurance fund 
                established in section 431, except that the provisions 
                of this subparagraph shall not apply to any such sale, 
                transfer, or assignment by a lender or holder to such 
                lender's or holder's affiliate or pursuant to a merger 
                or other consolidation transaction.''.

SEC. 4006. LENDER FEES TO GUARANTY AGENCIES.

    Subsection (f) of section 428 of the Higher Education Act of 1965 
(20 U.S.C. 1078(f)) is amended to read as follows:
    ``(f) Payments of Certain Costs.--
            ``(1) Payments from lenders.--With respect to any loan 
        under this part for which the first disbursement is made on or 
        after January 1, 1996, the originating lender shall remit to 
        the guaranty agency which guarantees the loan, a fee equal to 
        0.70 percent of the principal amount of the loan.
            ``(2) Use of payments.--Payments made pursuant to paragraph 
        (1) shall be used for the purposes of--
                    ``(A) the administrative costs of collections of 
                loans;
                    ``(B) the administrative costs of preclaim 
                assistance and other predefault activities;
                    ``(C) the administrative costs of monitoring the 
                enrollment and repayment status of students; and
                    ``(D) other such costs related to the student loan 
                insurance program.
            ``(3) Timing of payments.--Payments made pursuant to 
        paragraph (1) shall be made at the time insurance premiums on 
        such loans are paid to the guaranty agency.
            ``(4) Prohibition on pass-through.--No part of any payments 
        required by this section shall be assessed or collected, 
        directly or indirectly, from any borrower under this part.''.

SEC. 4007. ADDITIONAL LOAN PROGRAM CHANGES.

    (a) Reserve Funds.--
            (1) Amendments to section 422.--Section 422 of the Higher 
        Education Act of 1965 (20 U.S.C. 1072) is amended--
                    (A) in the last sentence of subsection (a)(2), by 
                striking ``Except as provided in section 428(c)(10)(E) 
                or (F), such unencumbered'' and inserting ``Such'';
                    (B) in subsection (g)(1), by striking ``or the 
                program authorized by part D of this title'' each place 
                it appears;
                    (C) in subsection (g)(1)(D), by striking ``(A) or 
                (B)'' and inserting ``(A), (B), or (C)''; and
                    (D) in subsection (g), by striking paragraph (4) 
                and inserting the following:
            ``(4) Disposition of funds returned to or recovered by the 
        secretary.--Any funds that are returned to or otherwise 
        recovered by the Secretary pursuant to this subsection shall be 
        returned to the Treasury of the United States for purposes of 
        reducing the Federal debt and shall be deposited into the 
        special account under section 3113(d) of title 31, United 
        States Code.''.
            (2) Amendments to section 428.--Section 428(c)(9)(A) of 
        such Act (20 U.S.C. 1078(c)(9)(A)) is amended--
                    (A) by inserting ``and'' after the semicolon at the 
                end of clause (i);
                    (B) by striking ``; and'' at the end of clause (ii) 
                and inserting a period; and
                    (C) by striking clause (iii).
    (b) Application for Part B Loans Using Free Federal Application.--
            (1) Single form required.--Section 483(a) of such Act (20 
        U.S.C. 1090(a)) is amended--
                    (A) in paragraph (1)--
                            (i) by inserting ``B,'' after ``assistance 
                        under parts A,'';
                            (ii) by striking ``and to determine the 
                        need of a student for the purpose of part B of 
                        this title''; and
                            (iii) by striking the last sentence and 
                        inserting the following: ``Such form may be in 
                        an electronic or any other format (subject to 
                        section 485B) in order to facilitate use by 
                        borrowers and institutions.''; and
                    (B) in paragraph (3), by striking ``and States 
                shall receive,'' and inserting ``, any guaranty agency 
                authorized by any such institution, and States shall 
                receive, at their request and''.
            (2) Use of electronic forms.--Section 483(a) of such Act is 
        further amended by adding the following new paragraph after 
        paragraph (4):
            ``(5) Electronic forms.--(A) The Secretary, in cooperation 
        with representatives of institutions of higher education, 
        eligible lenders, and guaranty agencies, shall prescribe an 
        electronic version of the form described in subsection (a)(1). 
        Such electronic form shall not require signatures to be 
        collected at the time such form is submitted if the data 
        contained in the electronic form is certified in one or more 
        separate writings. The Secretary shall prescribe the initial 
        electronic form not later than 90 days after the date of 
        enactment of this paragraph.
            ``(B) Nothing in this Act shall preclude the use of the 
        electronic form prescribed under subparagraph (A) through 
        software developed, produced, distributed (including by 
        diskette, modem or network communication, or otherwise) or 
        collected by eligible lenders, guaranty agencies, eligible 
        institutions, or consortia thereof. Such organization or 
        consortium shall submit such electronic form to the Secretary 
        for review prior to its use. If such electronic form is 
inconsistent with the provisions of this part, the Secretary shall 
notify the submitting organization or consortium of his objection 
within 30 days of such submission, and shall specifically identify the 
necessary changes. In the absence of such an objection the organization 
or consortium may use the electronic form as submitted. No fee may be 
charged in connection with use of the electronic form, or of any other 
electronic forms used in conjunction with such form in applying for 
Federal or State student financial assistance.''.
    (c) Amendments to Eligible Lender Definition.--Section 435(d)(1) of 
such Act (20 U.S.C. 1085) is amended--
            (1) by inserting before the semicolon at the end of 
        subparagraph (A) the following: ``; and in determining whether 
        the making or holding of loans to students and parents under 
        this part is the primary consumer credit function of the 
        eligible lender, loans made or held as trustee or in a trust 
        capacity for the benefit of a third party shall not be 
        considered'';
            (2) by striking ``and'' at the end of subparagraph (I);
            (3) in subparagraph (J), by striking the period and 
        inserting ``; and''; and
            (4) by adding at the end the following new subparagraph:
                    ``(K) a wholly owned subsidiary of a publicly-held 
                holding company which, as of the date of enactment of 
                this subparagraph, through one or more subsidiaries (i) 
                acts as a finance company, and (ii) participates in the 
                program authorized by this part pursuant to 
                subparagraph (C).''.
    (d) Additional Amendments to Section 428.--
            (1) Amendments.--Section 428 of such Act is further 
        amended--
                    (A) in subsection (b)(1)(G), by striking ``98 
                percent'' and inserting ``95 percent'';
                    (B) in subsection (b)(1)(X), by striking ``section 
                428(c)(10)'' and inserting ``section 428(c)(9)'';
                    (C) in subsection (c)(1)(A), by striking ``98 
                percent'' and inserting ``96 percent'';
                    (D) in subsection (c)(1)(B)(i), by striking ``88 
                percent'' and inserting ``86 percent'';
                    (E) in subsection (c)(1)(B)(ii), by striking ``78 
                percent'' and inserting ``76 percent'';
                    (F) in subsection (c)(9)(C)(ii), by striking ``80 
                percent'' and inserting ``76 percent'';
                    (G) in subsection (c)(9)(I) by inserting ``on the 
                record'' after ``for a hearing'';
                    (H) in subsection (j)(2)(A), by striking ``60'' and 
                inserting ``15'';
                    (I) in subsection (j)(2)(B), by striking ``two 
                rejections'' and inserting ``one rejection''; and
                    (J) in subsection (l)--
                            (i) by striking paragraph (2); and
                            (ii) by striking ``(1) Assistance 
                        required.--''.
            (2) Effective date.--The amendments made by subparagraphs 
        (A) and (C) through (F) of paragraph (1) of this subsection 
        shall apply to loans on which the first disbursement of 
        principal is made on or after January 1, 1996.
    (e) Reinsurance Percentage Under Section 428I.--Section 428I of 
such Act (20 U.S.C. 1078-9) is amended in subsection (b)(1)--
            (1) by striking ``100 percent'' in the heading and 
        inserting ``95 percent''; and
            (2) by striking ``100 percent'' and inserting ``95 
        percent''.
    (f) Loan Fees From Lenders.--Section 438(d)(2) of such Act (20 
U.S.C. 1087-1(d)(2)) is amended to read as follows:
            ``(2) Amount of loan fees.--The amount of the loan fee 
        which shall be deducted under paragraph (1) shall be--
                    ``(A) 0.50 percent of the principal amount of the 
                loan, for any loan under this part for which the first 
                disbursement was made on or after October 1, 1993, and 
                before January 1, 1996; or
                    ``(B) 0.30 percent of the principal amount of the 
                loan, for any loan under this part for which the first 
                disbursement was made on or after January 1, 1996.''.
    (g) Small Lender Audit Exemption.--Section 428(b)(1)(U)(iii) of 
such Act (20 U.S.C. 1078(b)(1)(U)(iii)) is amended--
            (1) by inserting ``in the case of any lender that 
        originates or holds more than $5,000,000 in principal on loans 
        made under this title in any fiscal year,'' before ``for (I)'';
            (2) by inserting ``such'' before ``lender at least once'';
            (3) by inserting ``such'' before ``a lender that is 
        audited''; and
            (4) by striking ``if the lender'' and inserting ``if such 
        lender''.

SEC. 4008. USE OF RESERVE FUNDS TO PURCHASE DEFAULTED LOANS.

    Section 422 of the Higher Education Act of 1965 (20 U.S.C. 1072) is 
amended by adding at the end the following new subsection:
    ``(h) Use of Reserve Funds to Purchase Defaulted Loans.--
            ``(1) In general.--Except as provided in paragraph (2), a 
        guaranty agency shall use not less than 50 percent of such 
        agency's reserve funds to purchase and hold defaulted loans 
        that are guaranteed by such agency and for which a claim for 
        insurance is filed with such agency by an eligible lender after 
        the date of enactment of this subsection. The amount of such 
        purchases shall be considered as reserve funds under this 
        section and used in the calculation of the minimum reserve 
        level under section 428(c)(9).
            ``(2) Special rule.--A guaranty agency shall not be 
        required to use its reserve funds to purchase and hold 
defaulted loans in accordance with paragraph (1) to the extent that--
                    ``(A) the dollar volume of insurance claims filed 
                with such agency does not amount to 50 percent of such 
                agency's available reserve funds; or
                    ``(B) such use is prohibited by State law; or
                    ``(C) such use will compromise the ability of the 
                guaranty agency to pay program expenses.''.

SEC. 4009. EXTENSION OF PERIOD A GUARANTY AGENCY MUST HOLD A DEFAULTED 
              LOAN.

    (a) Exemption for Extended Holding Period.--The last sentence of 
section 428(c)(1)(A) of the Higher Education Act of 1965 (20 U.S.C. 
1078(c)(1)(A)) is amended by striking out ``A guaranty agency'' and 
inserting ``Except as provided in section 428K, a guaranty agency''.
    (b) New Extended Holding Period Program.--Part B of title IV of 
such Act (20 U.S.C. 1071 et seq.) is amended by inserting after section 
428J the following new section:

``SEC. 428K. GUARANTOR PURCHASE OF CLAIMS WITH RESERVE FUNDS.

    ``(a) Loans Subject to Extended Holding Period.--Except as provided 
in subsection (b), a guaranty agency shall file a claim for 
reimbursement with respect to losses (resulting from the default of a 
student borrower) subject to reimbursement by the Secretary pursuant to 
section 428(c)(1) not less than 180 days nor more than 225 days after 
the guaranty agency discharges such agency's insurance obligation on a 
loan insured under this part. Such claim shall include losses on the 
unpaid principal and accrued interest of any such loan, including 
interest accrued from the date of such discharge to the date such 
agency files the claim for reimbursement from the Secretary.
    ``(b) Loans Excluded From Extended Holding.--A guaranty agency may 
file a claim with respect to losses subject to reimbursement by the 
Secretary pursuant to section 428(c)(1) prior to 180 days after the 
date the guaranty agency discharges such agency's insurance obligation 
on a loan insured under this part, if--
            ``(1) such agency used 50 percent or more of such agency's 
        reserve funds to purchase or hold loans in accordance with 
        section 422(h);
            ``(2) such claim is based on an inability to locate the 
        borrower and the guaranty agency certifies to the Secretary 
        that--
                    ``(A) diligent attempts were made to locate the 
                borrower through the use of reasonable skip-tracing 
                techniques in accordance with section 428(c)(2)(G); and
                    ``(B) such skip-tracing attempts to locate the 
                borrower were unsuccessful; or
            ``(3) the guaranty agency determines that the borrower is 
        unlikely to possess the financial resources to begin repaying 
        the loan prior to 180 days after default by the borrower.
    ``(c) Guaranty Agency Efforts During Extended Holding Period.--A 
guaranty agency shall attempt to bring a loan described in subsection 
(a) into repayment status prior to 180 days after the date the guaranty 
agency discharges its insurance obligation on the loan, so that no 
claim for reimbursement by the Secretary is necessary. Upon securing 
payment satisfactory to the guaranty agency during the 180-day period, 
such agency shall, if practicable, sell such loan to an eligible 
lender. Such loan shall not be sold to an eligible lender that the 
guaranty agency determines has substantially failed to exercise the due 
diligence required of lenders under this part.
    ``(d) Regulation Prohibited.--The Secretary shall not regulate the 
collection activities of a guaranty agency with respect to a loan 
described in subsection (a) for which reinsurance has not been paid 
under section 428(c)(1).''.

SEC. 4010. PRIVATIZATION OF COLLEGE CONSTRUCTION LOAN INSURANCE 
              ASSOCIATION.

    (a) Repeal of Statutory Restrictions.--Part D of title VII of the 
Higher Education Act of 1965 (20 U.S.C. 1132f et seq.) is repealed.
    (b) Status of the Corporation.--
            (1) Status of the corporation.--The Corporation shall not 
        be an agency, instrumentality, or establishment of the United 
        States Government and shall not be a ``Government corporation'' 
        nor a ``Government controlled corporation'' as defined in 
        section 103 of title 5, United States Code. No action under 
        section 1491 of title 28, United States Code (commonly known as 
        the Tucker Act), shall be allowable against the United States 
        based on the actions of the Corporation.
            (2) Corporate powers.--The Corporation shall have the power 
        to engage in any business or other activities for which 
        corporations may be organized under the laws of any State of 
        the United States or the District of Columbia. The Corporation 
        shall have the power to enter into contracts, to execute 
        instruments, to incur liabilities, to provide products and 
        services, and to do all things as are necessary or incidental 
        to the proper management of its affairs and the efficient 
        operation of a private, for-profit business.
            (3) Limitation on ownership of stock.--Except as provided 
        in subsection (d)(2) of this section, no stock of the 
        Corporation may be sold or issued to an agency, 
        instrumentality, or establishment of the United States 
        Government, to a Government corporation or a Government 
        controlled corporation (as such terms are defined in section 
        103 of title 5, United States Code), or to a Government 
        sponsored enterprise (as such term is defined in section 622 of 
        title 2, United States Code). The Student Loan Marketing 
        Association shall not own any stock of the Corporation, except 
        that it may retain the stock it owns on the date of enactment. 
        The Student Loan Marketing Association shall not control the 
        operation of the Corporation, except that the Student Loan 
        Marketing Association may participate in the election of 
        directors as a shareholder, and may continue to exercise its 
        right to appoint directors under section 754 of the Higher 
        Education Act of 1965 as long as that section is in effect. The 
        Student Loan Marketing Association shall not provide financial 
        support or guarantees to the Corporation. Notwithstanding the 
        prohibitions in this subsection, the United States may pursue 
        any remedy against a holder of the Corporation's stock to which 
        it would otherwise be entitled.
    (c) Related Privatization Requirements.--
            (1) Notice requirements.--During the 5-year period 
        following the date of the enactment of this Act, the 
        Corporation shall include in any document offering the 
        Corporation's securities, in any contracts for insurance, 
        guarantee, or reinsurance of obligations, and in any 
        advertisement or promotional material, a statement that--
                    (A) the Corporation is not a Government-sponsored 
                enterprise or instrumentality of the United States; and
                    (B) the Corporation's obligations are not 
                guaranteed by the full faith and credit of the United 
                States.
            (2) Corporate charter.--The Corporation's charter shall be 
        amended as necessary and without delay to conform the 
        requirements of this Act.
            (3) Corporate name.--The name of the Corporation, or of any 
        direct or indirect subsidiary thereof, may not contain the term 
        ``College Construction Loan Insurance Association''.
            (4) Articles of incorporation.--The Corporation shall amend 
        its articles of incorporation without delay to reflect that one 
        of the purposes of the Corporation shall be to guarantee, 
        insure and reinsure bonds, leases, and other evidences of debt 
        of educational institutions, including Historically Black 
        Colleges and Universities and other academic institutions which 
        are ranked in the lower investment grade category using a 
        nationally recognized credit rating system.
            (5) Transition requirements.--
                    (A) Requirements until stock sale.--Notwithstanding 
                subsection (a), the requirements of section 754 of the 
                Higher Education Act of 1965 (20 U.S.C. 1132f-3), as in 
                existence as of the day before enactment of this Act, 
                shall continue to be effective until the day 
                immediately following the date of closing of the 
                purchase of the Secretary's stock (or the date of 
                closing of the final purchase, in the case of multiple 
                transactions) pursuant to subsection (d) of this 
                section.
                    (B) Reports after stock sale.--The Corporation 
                shall, not later than March 30 of the first full 
                calendar year immediately following the sale pursuant 
                to subsection (d), and each of the 2 succeeding years, 
                submit to the Secretary of Education a report 
                describing the Corporation's efforts to assist in the 
                financing of education facilities projects, including 
                projects for elementary, secondary, and postsecondary 
                educational institution infrastructure, and detailing, 
                on a project-by-project basis, the Corporation's 
                business dealings with educational institutions that 
                are rated by a nationally recognized statistical rating 
                organization at or below the organization's third 
                highest ratings.
    (d) Sale of Federally Owned Stock.--
            (1) Sale of stock required.--The Secretary of the Treasury 
        shall make every effort to sell, pursuant to section 324 of 
        title 31, United States Code, the stock of the Corporation 
        owned by the Secretary of Education not later than 6 months 
        after the date of the enactment of this Act.
            (2) Purchase by the corporation.--In the event that the 
        Secretary of the Treasury is unable to sell the stock, or any 
        portion thereof, at a price acceptable to the Secretary of 
        Education and the Secretary of the Treasury, the Corporation 
        shall purchase, within the period specified in paragraph (1), 
        such stock at a price determined by the Secretary of the 
        Treasury and acceptable to the Corporation based on independent 
        appraisal by one or more nationally recognized financial firms, 
        except that such price shall not exceed the value of the 
        Secretary's stock as determined by the Congressional Budget 
        Office in House Report 104-153, dated June 22, 1995. Such firms 
        shall be selected by the Secretary of the Treasury in 
        consultation with the Secretary of Education and the 
        Corporation.
    (e) Assistance by the Corporation.--The Corporation shall provide 
such assistance as the Secretary of the Treasury and the Secretary of 
Education may require to facilitate the sale of the stock under this 
section.
    (f) Definition.--As used in this section, the term ``Corporation'' 
means the Corporation established pursuant to the provision of law 
repealed by subsection (a).

SEC. 4011. ELIGIBLE INSTITUTION.

    (a) Amendments.--Section 481(b) of the Higher Education Act of 1965 
(20 U.S.C. 1088(b)) is amended--
            (1) by inserting before the period at the end of the first 
        sentence the following: ``on the basis of a review by the 
        institution's independent auditor using generally accepted 
        accounting principles''; and
            (2) by inserting after the end of such first sentence the 
        following new sentences: ``For the purposes of clause (6), 
        revenues from sources that are not derived from funds provided 
        under this title include revenues from programs of education or 
        training that do not meet the definition of an eligible program 
        in subsection (e), but are provided on a contractual basis 
        under Federal, State, or local training programs, or to 
        business and industry. For the purposes of determining whether 
        an institution meets the requirements of clause (6), the 
        Secretary shall not consider the financial information of any 
        institution for a fiscal year began on or before April 30, 
        1994.''.
    (b) Effective Date.--Notwithstanding section 713 of this Act, the 
amendments made by subsection (a) shall apply to any determination made 
on or after July 1, 1994, by the Secretary of Education pursuant to 
section 481(b)(6) of the Higher Education Act of 1965.

SEC. 4012. EXTENSION OF PROGRAM DURATION.

    Part B of title IV of the Higher Education Act of 1965 is amended--
            (1) in section 424(a) (20 U.S.C. 1074(a)), by striking 
        ``1998'' and inserting ``2002'';
            (2) in section 428(a)(5) (20 U.S.C. 1078(a)(5))--
                    (A) by striking ``2002'' and inserting ``2006''; 
                and
                    (B) by striking ``1998'' and inserting ``2002''; 
                and
            (3) in section 428C(e) (20 U.S.C. 1078-3(e)), by striking 
        the first sentence and inserting ``The authority to make loans 
        under this section expires at the close of September 30, 
        2002.''.

                  Subtitle B--Service Contract Repeal

SEC. 4101. SERVICE CONTRACT ACT OF 1965.

    (a) Repeal.--The Service Contract Act of 1965 (41 U.S.C. 351 et 
seq.) is repealed.
    (b) Application.--The amendment made by subsection (a) shall not 
apply to a contract which was entered into before the 45th day after 
the date of the enactment of this Act and to which the Service Contract 
Act of 1965 applied.

   Subtitle C--Provisions Relating to the Employee Retirement Income 
                          Security Act of 1974

SEC. 4201. WAIVER OF MINIMUM PERIOD FOR JOINT AND SURVIVOR ANNUITY 
              EXPLANATION BEFORE ANNUITY STARTING DATE.

    (a) General Rule.--For purposes of section 205(c)(3)(A) of the 
Employee Retirement Income Security Act of 1974 (29 U.S.C. 
1055(c)(3)(A)), the minimum period prescribed by the Secretary of the 
Treasury between the date that the explanation referred to in such 
section is provided and the annuity starting date shall not apply if 
waived by the participant and, if applicable, the participant's spouse.
    (b) Effective Date.--Subsection (a) shall apply to plan years 
beginning after December 31, 1995.

         TITLE V--COMMITTEE ON GOVERNMENT REFORM AND OVERSIGHT

SEC. 5001. EXTENSION OF DELAY IN COST-OF-LIVING ADJUSTMENTS IN FEDERAL 
              EMPLOYEE RETIREMENT BENEFITS THROUGH FISCAL YEAR 2002.

    Section 11001(a) of the Omnibus Budget Reconciliation Act of 1993 
(Public Law 103-66; 107 Stat. 408) is amended in the matter preceding 
paragraph (1) by striking out ``or 1996,'' and inserting in lieu 
thereof ``1996, 1997, 1998, 1999, 2000, 2001, or 2002,''.

SEC. 5002. INCREASED CONTRIBUTIONS TO FEDERAL CIVILIAN RETIREMENT 
              SYSTEMS.

    (a) Civil Service Retirement System.--
            (1) Deductions.--The first sentence of section 8334(a)(1) 
        of title 5, United States Code, is amended to read as follows: 
        ``The employing agency shall deduct and withhold from the basic 
        pay of an employee, Member, Congressional employee, law 
        enforcement officer, firefighter, bankruptcy judge, judge of 
        the United States Court of Appeals for the Armed Forces, United 
        States magistrate, Claims Court judge, or member of the Capitol 
        Police, as the case may be, the percentage of basic pay 
        applicable under subsection (c).''.
            (2) Agency contributions.--
                    (A) Increase in agency contributions during 
                calendar years 1996 through 2002.--Section 8334(a)(1) 
                of title 5, United States Code (as amended by this 
                section) is further amended--
                            (i) by inserting ``(A)'' after ``(1)''; and
                            (ii) by adding at the end thereof the 
                        following new subparagraph:
                    ``(B)(i) Notwithstanding subparagraph (A), the 
                agency contribution under the second sentence of such 
                subparagraph, during the period beginning on January 1, 
                1996, through December 31, 2002--
                            ``(I) for each employing agency (other than 
                        the United States Postal Service) shall be 8.5 
                        percent of the basic pay of an employee, 
                        Congressional employee, and a Member of 
                        Congress, 9 percent of the basic pay of a law 
                        enforcement officer, a member of the Capitol 
                        Police, and a firefighter, and 9.5 percent of 
                        the basic pay of a Claims Court judge, a United 
                        States magistrate, a judge of the United States 
                        Court of Appeals for the Armed Services, and a 
                        bankruptcy judge, as the case may be; and
                            ``(II) for the United States Postal Service 
                        shall be 7 percent of the basic pay of an 
                        employee and 9 percent of the basic pay of a 
                        law enforcement officer.''.
                    (B) No reduction in agency contributions by the 
                postal service.--Agency contributions by the United 
                States Postal Service under section 8348(h) of title 5, 
                United States Code--
                            (i) shall not be reduced as a result of the 
                        amendments made under paragraph (3) of this 
                        subsection; and
                            (ii) shall be computed as though such 
                        amendments had not been enacted.
            (3) Individual deductions, withholdings, and deposits.--The 
        table under section 8334(c) of title 5, United States Code, is 
        amended--
                    (A) in the matter relating to an employee by 
                striking out


                                          ``7....................  After December 31, 1969.''                   
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``7....................  January 1, 1970, to December 31, 1995.       
                                           7.25..................  January 1, 1996, to December 31, 1996.       
                                           7.4...................  January 1, 1997, to December 31, 1997.       
                                           7.5...................  January 1, 1998, to December 31, 2002.       
                                           7.....................  After December 31, 2002.'';                  
                                                                                                                

                    (B) in the matter relating to a Member or employee 
                for Congressional employee service by striking out


                                          ``7\1/2\...............  After December 31, 1969.''                   
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``7.5..................  January 1, 1970, to December 31, 1995.       
                                           7.25..................  January 1, 1996, to December 31, 1996.       
                                           7.4...................  January 1, 1997, to December 31, 1997.       
                                           7.5...................  January 1, 1998, to December 31, 2002.       
                                           7.....................  After December 31, 2002.'';                  
                                                                                                                

                    (C) in the matter relating to a Member for Member 
                service by striking out


                                          ``8....................  After December 31, 1969.''                   
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``8....................  January 1, 1970, to December 31, 1995.       
                                           7.25..................   January 1, 1996, to December 31, 1996.      
                                           7.4...................  January 1, 1997, to December 31, 1997.       
                                           7.5...................  January 1, 1998, to December 31, 2002.       
                                           7.....................  After December 31, 2002.'';                  
                                                                                                                

                    (D) in the matter relating to a law enforcement 
                officer for law enforcement service and firefighter for 
                firefighter service by striking out


                                          ``7\1/2\...............  After December 31, 1974.''                   
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``7.5..................  January 1, 1975, to December 31, 1995.       
                                           7.75..................  January 1, 1996, to December 31, 1996.       
                                           7.9...................  January 1, 1997, to December 31, 1997.       
                                           8.....................  January 1, 1998, to December 31, 2002.       
                                           7.5...................  After December 31, 2002.'';                  
                                                                                                                

                    (E) in the matter relating to a bankruptcy judge by 
                striking out


                                          ``8....................  After December 31, 1983.''                   
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``8....................  January 1, 1984, to December 31, 1995.       
                                           8.25..................  January 1, 1996, to December 31, 1996.       
                                           8.4...................  January 1, 1997, to December 31, 1997.       
                                           8.5...................  January 1, 1998, to December 31, 2002.       
                                           8.....................  After December 31, 2002.'';                  
                                                                                                                

                    (F) in the matter relating to a judge of the United 
                States Court of Appeals for the Armed Forces for 
                service as a judge of that court by striking out


                                          ``8....................  On and after the date of the enactment of the
                                                                    Department of Defense Authorization Act,    
                                                                    1984.''                                     
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``8....................  The date of the enactment of the Department  
                                                                    of Defense Authorization Act, 1984, to      
                                                                    December 31, 1995.                          
                                           8.25..................  January 1, 1996, to December 31, 1996.       
                                           8.4...................  January 1, 1997, to December 31, 1997.       
                                           8.5...................  January 1, 1998, to December 31, 2002.       
                                           8.....................  After December 31, 2002.'';                  
                                                                                                                

                    (G) in the matter relating to a United States 
                magistrate by striking out


                                          ``8....................  After September 30, 1987.''                  
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``8....................  October 1, 1987, to December 31, 1995.       
                                           8.25..................  January 1, 1996, to December 31, 1996.       
                                           8.4...................  January 1, 1997, to December 31, 1997.       
                                           8.5...................  January 1, 1998, to December 31, 2002.       
                                                                                                                


                                           8.....................  After December 31, 2002.'';                  
                                                                                                                

                    (H) in the matter relating to a Claims Court judge 
                by striking out


                                          ``8....................  After September 30, 1988.''                  
                                                                                                                

                and inserting in lieu thereof the following:


                                          ``8....................  October 1, 1988, to December 31, 1995.       
                                           8.25..................  January 1, 1996, to December 31, 1996.       
                                           8.4...................  January 1, 1997, to December 31, 1997.       
                                           8.5...................  January 1, 1998, to December 31, 2002.       
                                           8.....................  After December 31, 2002.'';                  
                                                                                                                

                and
                    (I) by inserting after the matter relating to a 
                Claims Court judge the following:

                                                                                                                
                                                                                                                
                                                                                                                
``Member of the Capitol Police..........  2.5....................  August 1, 1920, to June 30, 1926.            
                                          ``3.5..................  July 1, 1926, to June 30, 1942.              
                                          ``5....................  July 1, 1942, to June 30, 1948.              
                                          ``6....................  July 1, 1948, to October 31, 1956.           
                                          ``6.5..................  November 1, 1956, to December 31, 1969.      
                                          ``7.5..................  January 1, 1970, to December 31, 1995.       
                                          ``7.75.................  January 1, 1996, to December 31, 1996.       
                                          ``7.9..................  January 1, 1997, to December 31, 1997.       
                                          ``8....................  January 1, 1998, to December 31, 2002.       
                                          ``7.5..................  After December 31, 2002.''.                  
                                                                                                                

            (4) Other service.--
                    (A) Military service.--Section 8334(j) of title 5, 
                United States Code, is amended--
                            (i) in paragraph (1)(A) by inserting ``and 
                        subject to paragraph (5),'' after ``Except as 
                        provided in subparagraph (B),''; and
                            (ii) by adding at the end thereof the 
                        following new paragraph:
    ``(5) Effective with respect to any period of military service 
after December 31, 1995, the percentage of basic pay under section 204 
of title 37 payable under paragraph (1) shall be equal to the same 
percentage as would be applicable under section 8334(c) for that same 
period for service as an employee, subject to paragraph (1)(B).''.
                    (B) Volunteer service.--Section 8334(l) of title 5, 
                United States Code, is amended--
                            (i) in paragraph (1) by adding at the end 
                        thereof the following: ``This paragraph shall 
                        be subject to paragraph (4).''; and
                            (ii) by adding at the end thereof the 
                        following new paragraph:
    ``(4) Effective with respect to any period of service after 
December 31, 1995, the percentage of the readjustment allowance or 
stipend (as the case may be) payable under paragraph (1) shall be equal 
to the same percentage as would be applicable under section 8334(c) for 
that same period for service as an employee.''.
    (b) Federal Employees Retirement System.--
            (1) Individual deductions and withholdings.--
                    (A) In general.--Section 8422(a) of title 5, United 
                States Code, is amended by striking out paragraph (2) 
                and inserting in lieu thereof the following:
    ``(2) The percentage to be deducted and withheld from basic pay for 
any pay period shall be equal to--
            ``(A) the applicable percentage under paragraph (3), minus
            ``(B) the percentage then in effect under section 3101(a) 
        of the Internal Revenue Code of 1986 (relating to rate of tax 
        for old-age, survivors, and disability insurance).
    ``(3) The applicable percentage under this paragraph, for civilian 
service shall be as follows:

                                                                                                                
                                           ``Percentage of basic                                                
                                                   pay                             Service period               
                                                                                                                
Employee................................  7......................  Before January 1, 1996.                      
                                          7.25...................  January 1, 1996, to December 31, 1996.       
                                          7.4....................  January 1, 1997, to December 31, 1997.       
                                          7.5....................  January 1, 1998, to December 31, 2002.       
                                          7......................  After December 31, 2002.                     
 Congressional employee.................  7.5....................  Before January 1, 1996.                      
                                          7.25...................  January 1, 1996, to December 31, 1996.       
                                          7.4....................  January 1, 1997, to December 31, 1997.       
                                          7.5....................  January 1, 1998, to December 31, 2002.       
                                          7......................  After December 31, 2002.                     
 Member.................................  7.5....................  Before January 1, 1996.                      
                                          7.25...................  January 1, 1996, to December 31, 1996.       
                                          7.4....................  January 1, 1997, to December 31, 1997.       
                                          7.5....................  January 1, 1998, to December 31, 2002.       
                                          7......................  After December 31, 2002.                     
 Law enforcement officer, firefighter,    7.5....................  Before January 1, 1996.                      
 member of the Capitol Police, or air                                                                           
 traffic controller.                                                                                            
                                          7.75...................  January 1, 1996, to December 31, 1996.       
                                          7.9....................  January 1, 1997, to December 31, 1997.       
                                          8......................  January 1, 1998, to December 31, 2002.       
                                          7.5....................  After December 31, 2002.''                   
                                                                                                                

                    (B) Military service.--Section 8422(e) of title 5, 
                United States Code, is amended--
                            (i) in paragraph (1)(A) by inserting ``and 
                        subject to paragraph (6),'' after ``Except as 
                        provided in subparagraph (B),''; and
                            (ii) by adding at the end thereof the 
                        following:
            ``(6) The percentage of basic pay under section 204 of 
        title 37 payable under paragraph (1), with respect to any 
        period of military service performed during--
                    ``(A) January 1, 1996, through December 31, 1996, 
                shall be 3.25 percent;
                    ``(B) January 1, 1997, through December 31, 1997, 
                shall be 3.4 percent; and
                    ``(C) January 1, 1998, through December 31, 2002, 
                shall be 3.5 percent.''.
                    (C) Volunteer service.--Section 8422(f) of title 5, 
                United States Code, is amended--
                            (i) in paragraph (1) by adding at the end 
                        thereof the following: ``This paragraph shall 
                        be subject to paragraph (4).''; and
                            (ii) by adding at the end the following:
            ``(4) The percentage of the readjustment allowance or 
        stipend (as the case may be) payable under paragraph (1), with 
        respect to any period of volunteer service performed during--
                    ``(A) January 1, 1996, through December 31, 1996, 
                shall be 3.25 percent;
                    ``(B) January 1, 1997, through December 31, 1997, 
                shall be 3.4 percent; and
                    ``(C) January 1, 1998, through December 31, 2002, 
                shall be 3.5 percent.''.
            (2) No reduction in agency contributions.--Agency 
        contributions under section 8423 (a) and (b) of title 5, United 
        States Code, shall not be reduced as a result of the amendments 
        made under paragraph (1) of this subsection.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the first day of the first applicable pay period beginning on 
or after January 1, 1996.

SEC. 5003. FEDERAL RETIREMENT PROVISIONS RELATING TO MEMBERS OF 
              CONGRESS AND CONGRESSIONAL EMPLOYEES.

    (a) Relating to the Years of Service as a Member of Congress and 
Congressional Employees for Purposes of Computing an Annuity.--
            (1) CSRS.--Section 8339 of title 5, United States Code, is 
        amended--
                    (A) in subsection (a) by inserting ``or Member'' 
                after ``employee''; and
                    (B) by striking out subsections (b) and (c).
            (2) FERS.--Section 8415 of title 5, United States Code, is 
        amended--
                    (A) by striking out subsections (b) and (c);
                    (B) in subsections (a) and (g) by inserting ``or 
                Member'' after ``employee'' each place it appears; and
                    (C) in subsection (g)(2) by striking out 
                ``Congressional employee''.
            (3) Capitol police.--Section 8339(q) of title 5, United 
        States Code, is amended--
                    (A) by striking ``subsection (b),'' and inserting 
                ``subsection (b) (as last in effect),''; and
                    (B) by striking ``subsection (b)(2),'' and 
                inserting ``subsection (b)(2) (as last in effect),''.
    (b) Administrative Regulations.--The Secretary of the Senate and 
the Clerk of the House of Representatives, in consultation with the 
Office of Personnel Management, may prescribe regulations to carry out 
the provisions of this section and the amendments made by this section 
for applicable employees and Members of Congress.
    (c) Effective Dates.--
            (1) Years of service; annuity computation.--(A) The 
        amendments made by subsection (a) shall take effect on the date 
        of the enactment of this Act and shall apply only with respect 
        to the computation of an annuity relating to--
                    (i) the service of a Member of Congress as a Member 
                or as a Congressional employee performed on or after 
                January 1, 1996; and
                    (ii) the service of a Congressional employee as a 
                Congressional employee performed on or after January 1, 
                1996.
            (B) An annuity shall be computed as though the amendments 
        made under subsection (a) had not been enacted with respect 
        to--
                    (i) the service of a Member of Congress as a Member 
                or a Congressional employee or military service 
                performed before January 1, 1996; and
                    (ii) the service of a Congressional employee as a 
                Congressional employee or military service performed 
                before January 1, 1996.
            (2) Regulations.--The provisions of subsection (b) shall 
        take effect on the date of the enactment of this Act.

SEC. 5004. FEDERAL EMPLOYEES RETIREMENT SECURITY COMMISSION.

    (a) Establishment.--There shall be established in the legislative 
branch a commission to be known as the ``Federal Employees Retirement 
Security Commission'' (hereinafter in this section referred to as the 
``Commission'').
    (b) Members.--
            (1) Appointment.--The Commission shall be composed of 7 
        members, to be appointed within 30 days after the date of the 
        enactment of this Act, as follows:
                    (A) 2 members appointed by the Speaker of the House 
                of Representatives.
                    (B) 2 members appointed by the majority leader of 
                the Senate.
                    (C) 1 member appointed by the minority leader of 
                the House of Representatives.
                    (D) 1 member appointed by the minority leader of 
                the Senate.
                    (E) 1 member appointed by the President.
            (2) Chairman; vice chairman.--The members of the Commission 
        shall select 1 of the members to be the Chairman and another to 
        be the Vice Chairman of the Commission.
            (3) Terms.--Each member shall be appointed for the life of 
        the Commission.
            (4) Pay and travel expenses.--
                    (A) Pay generally.--Each member, other than the 
                Chairman, shall be paid at a rate not to exceed the 
                daily equivalent of the annual rate of basic pay 
                payable for level IV of the Executive Schedule under 
                section 5315 of title 5, United States Code, for each 
                day (including travel time) during which such member is 
                engaged in the actual performance of duties vested in 
                the Commission.
                    (B) Pay for the chairman.--The Chairman shall be 
                paid, for each day referred to in subparagraph (A), at 
                a rate not to exceed the daily equivalent of the annual 
                rate of basic pay payable for level III of the 
                Executive Schedule under section 5314 of title 5, 
                United States Code.
                    (C) Travel expenses.--Each member of the Commission 
                shall, subject to the availability of appropriations 
                and in such amounts as may be provided by such Act, be 
                allowed travel expenses in the same manner as any 
                individual employed intermittently by the Government is 
                allowed travel expenses under section 5703 of title 5, 
                United States Code.
                    (D) Government employees and members of congress.--
                Notwithstanding any other provision of this paragraph, 
                members of the Commission who are full-time officers or 
                employees of the United States or Members of Congress 
                may not receive additional pay, allowances, or benefits 
                by reason of their service on the Commission, except 
                for travel expenses under subparagraph (C).
            (5) Vacancies.--A vacancy in the Commission shall be filled 
        in the manner in which the original appointment was made.
    (c) Meetings.--
            (1) Open meetings.--Each meeting of the Commission, other 
        than meetings in which classified information is to be 
        discussed, shall be open to the public.
            (2) Access by request.--
                    (A) In general.--All the proceedings, information, 
                and deliberations of the Commission shall be open, upon 
                request, to the Chairman and the ranking minority party 
                member of the respective committees under subparagraph 
                (B) or such chairmen or ranking minority party members 
                of subcommittees of any such committee as may be 
                designated by the Chairman or ranking minority party 
                member, respectively, of such committee.
                    (B) Identification of committees.--The committees 
                under this subparagraph are as follows:
                            (i) The Committee on Government Reform and 
                        Oversight of the House of Representatives.
                            (ii) The Committee on National Security of 
                        the House of Representatives.
                            (iii) The Committee on Governmental Affairs 
                        of the Senate.
                            (iv) The Committee on Armed Services of the 
                        Senate.
            (3) First meeting.--The Commission shall hold its first 
        meeting within 60 days after the date of the enactment of this 
        Act.
    (d) Director; Staff.--
            (1) Director.--The Commission shall have a Director, who--
                    (A) shall be appointed by the Commission; and
                    (B) shall be paid at a rate not to exceed the rate 
                of basic pay payable for level IV of the Executive 
                Schedule under section 5315 of title 5, United States 
                Code.
            (2) Staff.--
                    (A) Appointments; pay.--The Director, with the 
                approval of the Commission, may appoint and fix the pay 
                of additional personnel, except that no individual so 
                appointed may receive pay at a rate in excess of the 
                maximum rate of basic pay payable under section 5376 of 
                title 5, United States Code, for positions classified 
                above GS-15 of the General Schedule.
                    (B) Details from congressional committees and 
                offices.--Upon the request of the Director, the 
                chairman of any standing committee or other committee 
                of either House or both Houses of the Congress, or the 
                head of any other congressional office, may detail any 
                of the personnel of that committee or office to the 
                Commission to assist the Commission in carrying out its 
                duties under this Act.
                    (C) Assistance from gao.--The Comptroller General 
                of the United States shall provide assistance, 
                including the detailing of employees, to the Commission 
                in accordance with an agreement entered into with the 
                Commission.
    (e) Duties.--
            (1) In general.--The Commission shall study and, within 7 
        months after the date of the enactment of this Act, submit to 
        the Congress a written report on--
                    (A) the financial soundness of the retirement 
                systems for Government employees (including employees 
                of nonappropriated fund instrumentalities) and members 
                of the uniformed services;
                    (B) the cost and level of benefits provided by the 
                Civil Service Retirement System, the Federal Employees' 
                Retirement System, and the other retirement systems 
                under subparagraph (A), as compared with the cost and 
                level of benefits of retirement systems prevalent in 
                the private sector;
                    (C) the appropriate level and design of benefits of 
                an alternative retirement system and modifications of 
                existing systems to achieve the objectives described in 
                paragraph (2); and
                    (D) the cost and suitability of benefits provided 
                by the military retirement system, and their 
appropriateness in light of current and projected military readiness 
requirements.
            (2) Considerations.--The considerations described in this 
        paragraph are as follows:
                    (A) Portability of benefits, consistent with the 
                greater mobility anticipated with respect to the 
                workforce of the 21st century.
                    (B) Financial soundness, consistent with the 
                requirements of the Employee Retirement Income Security 
                Act of 1974 and the requirements that must be met in 
                order to qualify to be insured by the Pension Benefit 
                Guarantee Corporation.
                    (C) The Government's presence in a wide range of 
                occupations and local labor markets, and the need for 
                retirement benefits to be representative of the level 
                of benefits received by most Americans in the private 
                sector in order to allow the Government to recruit and 
                retain a qualified workforce.
                    (D) Total compensation trends in the private 
                sector, including the use of cafeteria plans.
            (3) Contents.--The Commission's report shall contain a 
        detailed statement of the findings and conclusions of the 
        Commission, together with its recommendations for any 
        legislation that the Commission considers appropriate.
    (f) Other Authority.--
            (1) Experts and consultants.--The Commission may procure by 
        contract, to the extent funds are available, the temporary or 
        intermittent services of experts or consultants subject to the 
        same terms and conditions as would apply under section 3109 of 
        title 5, United States Code, in the case of an Executive 
        agency.
            (2) Leases.--The Commission may lease space and acquire 
        personal property to the extent funds are available.
    (g) Funding.--There are authorized to be appropriated to the 
Commission such funds as are necessary to carry out its duties under 
this Act. Such funds shall remain available until expended.
    (h) Termination.--The Commission shall cease to exist 30 days after 
submitting its report to the Congress under subsection (e).

SEC. 5005. REPEAL OF AUTHORIZATION OF TRANSITIONAL APPROPRIATIONS FOR 
              THE UNITED STATES POSTAL SERVICE.

    (a) Repeal.--
            (1) In general.--Section 2004 of title 39, United States 
        Code, is repealed.
            (2) Technical and conforming amendments.--
                    (A) The table of sections for chapter 20 of such 
                title is amended by repealing the item relating to 
                section 2004.
                    (B) Section 2003(e)(2) of such title is amended by 
                striking ``sections 2401 and 2004'' each place it 
                appears and inserting ``section 2401''.
    (b) Clarification That Liabilities Formerly Paid Pursuant to 
Section 2004 Remain Liabilities Payable by the Postal Service.--Section 
2003 of title 39, United States Code, is amended by adding at the end 
the following:
    ``(h) Liabilities of the former Post Office Department to the 
Employees' Compensation Fund (appropriations for which were authorized 
by former section 2004, as in effect before the effective date of this 
subsection) shall be liabilities of the Postal Service payable out of 
the Fund.''.
    (c) Effective Date.--
            (1) In general.--This section and the amendments made by 
        this section shall be effective as of October 1, 1995.
            (2) Provisions relating to payments for fiscal year 1996.--
                    (A) Amounts not yet paid.--No payment may be made 
                to the Postal Service Fund, on or after the date of the 
                enactment of this Act, pursuant to any appropriation 
                for fiscal year 1996 authorized by section 2004 of 
                title 39, United States Code (as in effect before the 
                effective date of this section).
                    (B) Amounts paid.--If any payment to the Postal 
                Service Fund is or has been made pursuant to an 
                appropriation for fiscal year 1996 authorized by such 
                section 2004, then an amount equal to the amount of 
                such payment shall be paid from such Fund into the 
                Treasury as miscellaneous receipts.

SEC. 5006. AVAILABILITY OF SURPLUS PROPERTY FOR HOMELESS ASSISTANCE.

    (a) Repeal.--(1) Title V of the Stewart B. McKinney Homeless 
Assistance Act (42 U.S.C. 11411 et seq.) is repealed.
    (2) The table of contents in section 101(b) of that Act is amended 
by striking the items relating to title V.
    (3) This subsection shall be effective October 1, 1995.
    (b) Authority To Transfer Surplus Real Property for Housing Use.--
Section 203 of the Federal Property and Administrative Services Act of 
1949 (40 U.S.C. 484) is amended by adding at the end the following:
    ``(r) Under such regulations as the Administrator may prescribe, 
and in consultation with appropriate local governmental authorities, 
the Administrator may transfer to any nonprofit organization which 
exists for the primary purpose of providing housing or housing 
assistance for homeless individuals or families, such surplus real 
property, including buildings, fixtures, and equipment situated 
thereon, as is needed for housing use.
    ``(s)(1) Under such regulations as the Administrator may prescribe, 
and in consultation with appropriate local governmental authorities, 
the Administrator may transfer to any non-profit organization which 
exists for the primary purpose of providing housing or housing 
assistance for low-income individuals or families such surplus real 
property, including buildings, fixtures, and equipment situated 
thereon, as is needed for housing use.
    ``(2) In making transfers under this subsection, the Administrator 
shall take such actions, which may include grant agreements with an 
organization receiving a grant, as may be necessary to ensure that--
            ``(A) assistance provided under this subsection is used to 
        facilitate and encourage homeownership opportunities through 
        the construction of self-help housing, under terms which 
        require that the person receiving the assistance contribute a 
        significant amount of labor toward the construction; and
            ``(B) the dwellings constructed with property transferred 
        under this subsection shall be quality dwellings that comply 
        with local building and safety codes and standards and shall be 
        available at prices below the prevailing market prices.''.

             TITLE VI--COMMITTEE ON INTERNATIONAL RELATIONS

     Subtitle A--Recovery Of Costs Of Certain Health Care Services

SEC. 6001. RECOVERY OF COSTS OF HEALTH CARE SERVICES FOR PERSONNEL OF 
              THE FOREIGN SERVICE OF THE UNITED STATES AND OTHER 
              ELIGIBLE INDIVIDUALS.

    (a) Authorities.--Section 904 of the Foreign Service Act of 1980 
(22 U.S.C. 4084) is amended--
            (1) in subsection (a) by--
                    (A) striking ``and'' before ``members of the 
                families of such members and employees''; and
                    (B) by inserting immediately before the period ``, 
                and for care provided abroad) such other persons as are 
                designated by the Secretary of State, except that such 
                persons shall be considered persons other than covered 
                beneficiaries for purposes of subsections (g) and 
                (h)'';
            (2) in subsection (d) by inserting ``, subject to the 
        provisions of subsections (g) and (h)'' after ``treatment''; 
        and
            (3) by adding the following new subsections:
    ``(g)(1) In the case of a person who is a covered beneficiary, the 
Secretary of State is authorized to collect from a third-party payer 
the reasonable costs incurred by the Department of State on behalf of 
such person for health care services to the same extent that the 
covered beneficiary would be eligible to receive reimbursement or 
indemnification from the third-party payer for such costs.
    ``(2) If the insurance policy, plan, contract, or similar agreement 
of that third-party payer includes a requirement for a deductible or 
copayment by the beneficiary of the plan, then the Secretary of State 
may collect from the third-party payer only the reasonable costs of the 
care provided less the deductible or copayment amount.
    ``(3) A covered beneficiary shall not be required to pay any 
deductible or copayment for health care services under this subsection.
    ``(4) No provision of any insurance, medical service, or health 
plan contract or agreement having the effect of excluding from coverage 
or limiting payment of charges for care in the following circumstances 
shall operate to prevent collection by the Secretary of State under 
paragraph (1)--
            ``(A) care provided directly or indirectly by a 
        governmental entity;
            ``(B) care provided to an individual who has not paid a 
        required deductible or copayment; or
            ``(C) care provided by a provider with which the third-
        party payer has no participation agreement.
    ``(5) No law of any State, or of any political subdivision of a 
State, and no provision of any contract or agreement shall operate to 
prevent or hinder recovery or collection by the United States under 
this section.
    ``(6) As to the authority provided in paragraph (1) of this 
subsection--
            ``(A) the United States shall be subrogated to any right or 
        claim that the covered beneficiary may have against a third-
        party payer;
            ``(B) the United States may institute and prosecute legal 
        proceedings against a third-party payer to enforce a right of 
        the United States under this subsection; and
            ``(C) the Secretary may compromise, settle, or waive a 
        claim of the United States under this subsection.
    ``(7) The Secretary shall prescribe regulations for the 
administration of this subsection and subsection (h). Such regulations 
shall provide for computation of the reasonable cost of health care 
services.
    ``(8) Regulations prescribed under this subsection shall provide 
that medical records of a covered beneficiary receiving health care 
under this subsection shall be made available for inspection and review 
by representatives of the payer from which collection by the United 
States is sought for the sole purpose of permitting the third party to 
verify--
            ``(A) that the care or services for which recovery or 
        collection is sought were furnished to the covered beneficiary; 
        and
            ``(B) that the provisions of such care or services to the 
        covered beneficiary meets criteria generally applicable under 
        the health plan contract involved, except that this paragraph 
        shall be subject to the provisions of paragraphs (2) and (4).
    ``(9) Amounts collected under this subsection or under subsection 
(h) from a third party payer or from any other payer shall be deposited 
in the Treasury as a miscellaneous offsetting receipt.
    ``(10) For purposes of this section--
            ``(A) the term `covered beneficiary' means an individual 
        eligible to receive health care under this section whose health 
        care costs are to be paid by a third-party payer under a 
        contractual agreement with such payer;
            ``(B) the term `services', as used in `health care 
        services' includes products; and
            ``(C) the term `third-party payer' means an entity that 
        provides a fee-for-service insurance policy, contract, or 
        similar agreement through the Federal Employees Health Benefit 
        program, under which the expenses of health care services for 
        individuals are paid.
    ``(h) In the case of a person, other than a covered beneficiary, 
who receives health care services pursuant to this section, the 
Secretary of State is authorized to collect from such person the 
reasonable costs of health care services incurred by the Department of 
State on behalf of such person. The United States shall have the same 
rights against persons subject to the provisions of this subsection as 
against third-party payers covered by subsection (g).''.
    (b) Effective Date.--The authorities of this section shall be 
effective beginning on the date of the enactment of this Act.

       Subtitle B--Enactment Into Law of Division A of H.R. 1561

SEC. 6101. ENACTMENT INTO LAW OF DIVISION A OF H.R. 1561.

    Division A of H.R. 1561, as passed the House of Representatives on 
June 8, 1995 (relating to consolidation of foreign affairs agencies), 
is hereby enacted into law.

Subtitle C--Cuban Liberty and Democratic Solidarity (LIBER- TAD) Act of 
                                  1995

SEC. 6201. SHORT TITLE.

    This subtitle may be cited as the ``Cuban Liberty and Democratic 
Solidarity (LIBERTAD) Act of 1995''.

SEC. 6202. FINDINGS.

    The Congress makes the following findings:
            (1) The economy of Cuba has experienced a decline of at 
        least 60 percent in the last 5 years as a result of--
                    (A) the end of its subsidization by the former 
                Soviet Union of between 5 billion and 6 billion dollars 
                annually;
                    (B) 36 years of Communist tyranny and economic 
                mismanagement by the Castro government;
                    (C) the extreme decline in trade between Cuba and 
                the countries of the former Soviet bloc; and
                    (D) the stated policy of the Russian Government and 
                the countries of the former Soviet bloc to conduct 
                economic relations with Cuba on strictly commercial 
                terms.
            (2) At the same time, the welfare and health of the Cuban 
        people have substantially deteriorated as a result of this 
        economic decline and the refusal of the Castro regime to permit 
        free and fair democratic elections in Cuba.
            (3) The Castro regime has made it abundantly clear that it 
        will not engage in any substantive political reforms that would 
        lead to democracy, a market economy, or an economic recovery.
            (4) The repression of the Cuban people, including a ban on 
        free and fair democratic elections, and continuing violations 
        of fundamental human rights have isolated the Cuban regime as 
        the only completely nondemocratic government in the Western 
        Hemisphere.
            (5) As long as free elections are not held in Cuba, the 
        economic condition of the country and the welfare of the Cuban 
        people will not improve in any significant way.
            (6) The totalitarian nature of the Castro regime has 
        deprived the Cuban people of any peaceful means to improve 
        their condition and has led thousands of Cuban citizens to risk 
        or lose their lives in dangerous attempts to escape from Cuba 
        to freedom.
            (7) Radio Marti and Television Marti have both been 
        effective vehicles for providing the people of Cuba with news 
        and information and have helped to bolster the morale of the 
        people of Cuba living under tyranny.
            (8) The consistent policy of the United States towards Cuba 
        since the beginning of the Castro regime, carried out by both 
        Democratic and Republican administrations, has sought to keep 
        faith with the people of Cuba, and has been effective in 
        sanctioning the totalitarian Castro regime.
            (9) The United States has shown a deep commitment, and 
        considers it a moral obligation, to promote and protect human 
        rights and fundamental freedoms as expressed in the Charter of 
        the United Nations and in the Universal Declaration of Human 
        Rights.
            (10) The Congress has historically and consistently 
        manifested its solidarity and the solidarity of the American 
        people with the democratic aspirations of the Cuban people.
            (11) The Cuban Democracy Act of 1992 calls upon the 
        President to encourage the governments of countries that 
        conduct trade with Cuba to restrict their trade and credit 
        relations with Cuba in a manner consistent with the purposes of 
        that Act.
            (12) The 1992 FREEDOM Support Act requires that the 
        President, in providing economic assistance to Russia and the 
        emerging Eurasian democracies, take into account the extent to 
        which they are acting to ``terminate support for the communist 
        regime in Cuba, including removal of troops, closing military 
        facilities, and ceasing trade subsidies and economic, nuclear, 
        and other assistance''.
            (13) The Cuban Government engages in the illegal 
        international narcotics trade and harbors fugitives from 
        justice in the United States.
            (14) The Castro government threatens international peace 
        and security by engaging in acts of armed subversion and 
        terrorism such as the training and supplying of groups 
        dedicated to international violence.
            (15) The Castro government has utilized from its inception 
        and continues to utilize torture in various forms (including by 
        psychiatry), as well as execution, exile, confiscation, 
        political imprisonment, and other forms of terror and 
        repression, as means of retaining power.
            (16) Fidel Castro has defined democratic pluralism as 
        ``pluralistic garbage'' and continues to make clear that he has 
        no intention of tolerating the democratization of Cuban 
        society.
            (17) The Castro government holds innocent Cubans hostage in 
        Cuba by no fault of the hostages themselves solely because 
        relatives have escaped the country.
            (18) Although a signatory state to the 1928 Inter-American 
        Convention on Asylum and the International Covenant on Civil 
        and Political Rights (which protects the right to leave one's 
        own country), Cuba nevertheless surrounds embassies in its 
        capital by armed forces to thwart the right of its citizens to 
        seek asylum and systematically denies that right to the Cuban 
        people, punishing them by imprisonment for seeking to leave the 
        country and killing them for attempting to do so (as 
        demonstrated in the case of the confirmed murder of over 40 
        men, women, and children who were seeking to leave Cuba on July 
        13, 1994).
            (19) The Castro government continues to utilize blackmail, 
        such as the immigration crisis with which it threatened the 
        United States in the summer of 1994, and other unacceptable and 
        illegal forms of conduct to influence the actions of sovereign 
        states in the Western Hemisphere in violation of the Charter of 
        the Organization of American States and other international 
        agreements and international law.
            (20) The United Nations Commission on Human Rights has 
        repeatedly reported on the unacceptable human rights situation 
        in Cuba and has taken the extraordinary step of appointing a 
        Special Rapporteur.
            (21) The Cuban Government has consistently refused access 
        to the Special Rapporteur and formally expressed its decision 
        not to ``implement so much as one comma'' of the United Nations 
        Resolutions appointing the Rapporteur.
            (22) The United Nations General Assembly passed Resolution 
        1992/70 on December 4, 1992, Resolution 1993/48/142 on December 
        20, 1993, and Resolution 1994/49/544 on October 19, 1994, 
        referencing the Special Rapporteur's reports to the United 
        Nations and condemning ``violations of human rights and 
        fundamental freedoms'' in Cuba.
            (23) Article 39 of Chapter VII of the United Nations 
        Charter provides that the United Nations Security Council 
        ``shall determine the existence of any threat to the peace, 
        breach of the peace, or act of aggression and shall make 
        recommendations, or decide what measures shall be taken . . ., 
        to maintain or restore international peace and security.''.
            (24) The United Nations has determined that massive and 
        systematic violations of human rights may constitute a ``threat 
        to peace'' under Article 39 and has imposed sanctions due to 
        such violations of human rights in the cases of Rhodesia, South 
        Africa, Iraq, and the former Yugoslavia.
            (25) In the case of Haiti, a neighbor of Cuba not as close 
        to the United States as Cuba, the United States led an effort 
        to obtain and did obtain a United Nations Security Council 
        embargo and blockade against that country due to the existence 
        of a military dictatorship in power less than 3 years.
            (26) United Nations Security Council Resolution 940 of July 
        31, 1994, subsequently authorized the use of ``all necessary 
        means'' to restore the ``democratically elected government of 
        Haiti'', and the democratically elected government of Haiti was 
        restored to power on October 15, 1994.
            (27) The Cuban people deserve to be assisted in a decisive 
        manner to end the tyranny that has oppressed them for 36 years 
        and the continued failure to do so constitutes ethically 
        improper conduct by the international community.
            (28) For the past 36 years, the Cuban Government has posed 
        and continues to pose a national security threat to the United 
        States.

SEC. 6203. PURPOSES.

    The purposes of this subtitle are as follows:
            (1) To assist the Cuban people in regaining their freedom 
        and prosperity, as well as in joining the community of 
        democracies that are flourishing in the Western Hemisphere.
            (2) To seek international sanctions against the Castro 
        government in Cuba.
            (3) To encourage the holding of free and fair democratic 
        elections in Cuba, conducted under the supervision of 
        internationally recognized observers.
            (4) To develop a plan for furnishing assistance to a 
        transition government and, subsequently, to a democratically 
        elected government when such governments meet the eligibility 
        requirements of this subtitle.
            (5) To protect property rights abroad of United States 
        nationals.
            (6) To provide for the continued national security of the 
        United States in the face of continuing threats from the Castro 
        government of terrorism, theft of property from United States 
        nationals, and domestic repression from which refugees flee to 
        United States shores.

SEC. 6204. DEFINITIONS.

    As used in this subtitle, the following terms have the following 
meanings:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the Committee on 
        International Relations, the Committee on Ways and Means, and 
        the Committee on Appropriations of the House of Representatives 
        and the Committee on Foreign Relations, the Committee on 
        Finance, and the Committee on Appropriations of the Senate.
            (2) Commercial activity.--The term ``commercial activity'' 
        has the meaning given that term in section 1603(d) of title 28, 
        United States Code.
            (3) Confiscated.--As used in parts 1 and 3, the term 
        ``confiscated'' refers to--
                    (A) the nationalization, expropriation, or other 
                seizure by the Cuban Government of ownership or control 
                of property, on or after January 1, 1959--
                            (i) without the property having been 
                        returned or adequate and effective compensation 
                        provided; or
                            (ii) without the claim to the property 
                        having been settled pursuant to an 
                        international claims settlement agreement or 
                        other mutually accepted settlement procedure; 
                        and
                    (B) the repudiation by the Cuban Government of, the 
                default by the Cuban Government on, or the failure by 
the Cuban Government to pay, on or after January 1, 1959--
                            (i) a debt of any enterprise which has been 
                        nationalized, expropriated, or otherwise taken 
                        by the Cuban Government;
                            (ii) a debt which is a charge on property 
                        nationalized, expropriated, or otherwise taken 
                        by the Cuban Government; or
                            (iii) a debt which was incurred by the 
                        Cuban Government in satisfaction or settlement 
                        of a confiscated property claim.
            (4) Cuban government.--(A) The term ``Cuban Government'' 
        includes the government of any political subdivision of Cuba, 
        and any agency or instrumentality of the Government of Cuba.
            (B) For purposes of subparagraph (A), the term ``agency or 
        instrumentality of the Government of Cuba'' means an agency or 
        instrumentality of a foreign state as defined in section 
        1603(b) of title 28, United States Code, with ``Cuba'' 
        substituted for ``a foreign state'' each place it appears in 
        such section.
            (5) Democratically elected government in cuba.--The term 
        ``democratically elected government in Cuba'' means a 
        government determined by the President to have met the 
        requirements of section 206.
            (6) Economic embargo of cuba.--The term ``economic embargo 
        of Cuba'' refers to the economic embargo imposed against Cuba 
        pursuant to section 620(a) of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2370(a)), section 5(b) of the Trading With the 
        Enemy Act (50 U.S.C. App. 5(b)), the International Emergency 
        Economic Powers Act (50 U.S.C. 1701 and following), and the 
        Export Administration Act of 1979 (50 U.S.C. App. 2401 and 
        following), as modified by the Cuban Democracy Act of 1992 (22 
        U.S.C. 6001 and following).
            (7) Foreign national.--The term ``foreign national'' 
        means--
                    (A) an alien; or
                    (B) any corporation, trust, partnership, or other 
                juridical entity not organized under the laws of the 
                United States, or of any State, the District of 
                Columbia, the Commonwealth of Puerto Rico, or any other 
                territory or possession of the United States.
            (8) Knowingly.--The term ``knowingly'' means with knowledge 
        or having reason to know.
            (9) Property.--(A) The term ``property'' means any property 
        (including patents, copyrights, trademarks, and any other form 
        of intellectual property), whether real, personal, or mixed, 
        and any present, future, or contingent right, security, or 
        other interest therein, including any leasehold interest.
            (B) For purposes of part 3 of this subtitle, the term 
        ``property'' shall not include real property used for 
        residential purposes unless, as of the date of the enactment of 
        this Act--
                    (i) the claim to the property is owned by a United 
                States national and the claim has been certified under 
                title V of the International Claims Settlement Act of 
                1949; or
                    (ii) the property is occupied by a member or 
                official of the Cuban Government or the ruling 
                political party in Cuba.
            (10) Traffics.--(A) As used in part 3, a person or entity 
        ``traffics'' in property if that person or entity knowingly and 
        intentionally--
                    (i) sells, transfers, distributes, dispenses, 
                brokers, manages, or otherwise disposes of confiscated 
                property, or purchases, leases, receives, possesses, 
                obtains control of, manages, uses, or otherwise 
                acquires or holds an interest in confiscated property,
                    (ii) engages in a commercial activity using or 
                otherwise benefiting from confiscated property, or
                    (iii) causes, directs, participates in, or profits 
                from, trafficking (as described in clauses (i) and 
                (ii)) by another person, or otherwise engages in 
                trafficking (as described in clauses (i) and (ii)) 
                through another person,
        without the authorization of the United States national who 
        holds a claim to the property.
            (B) The term ``traffics'' does not include--
                    (i) the delivery of international telecommunication 
                signals to Cuba that are authorized by section 1705(e) 
                of the Cuban Democracy Act of 1992 (22 U.S.C. 6004(e)); 
                or
                    (ii) the trading or holding of securities publicly 
                traded or held, unless the trading is with or by a 
                person determined by the Secretary of the Treasury to 
                be a specially designated national.
            (11) Transition government in cuba.--The term ``transition 
        government in Cuba'' means a government determined by the 
        President to have met the requirements of section 6235.
            (12) United states national.--The term ``United States 
        national'' means--
                    (A) any United States citizen; or
                    (B) any other legal entity which is organized under 
                the laws of the United States, or of any State, the 
                District of Columbia, the Commonwealth of Puerto Rico, 
                or any other territory or possession of the United 
States, and which has its principal place of business in the United 
States.

        PART 1--SEEKING SANCTIONS AGAINST THE CASTRO GOVERNMENT

SEC. 6211. STATEMENT OF POLICY.

    It is the sense of the Congress that--
            (1) the acts of the Castro government, including its 
        massive, systematic, and extraordinary violations of human 
        rights, are a threat to international peace;
            (2) the President should advocate, and should instruct the 
        United States Permanent Representative to the United Nations to 
        propose and seek, within the Security Council, a mandatory 
        international embargo against the totalitarian Cuban Government 
        pursuant to chapter VII of the Charter of the United Nations, 
        which is similar to measures taken by United States 
        representatives with respect to Haiti; and
            (3) any resumption or commencement of efforts by any state 
        to make operational the nuclear facility at Cienfuegos, Cuba, 
        will have a detrimental impact on United States assistance to 
        and relations with that state.

SEC. 6212. ENFORCEMENT OF THE ECONOMIC EMBARGO OF CUBA.

    (a) Policy.--(1) The Congress hereby reaffirms section 1704(a) of 
the Cuban Democracy Act of 1992 that states the President should 
encourage foreign countries to restrict trade and credit relations with 
Cuba.
    (2) The Congress further urges the President to take immediate 
steps to apply the sanctions described in section 1704(b) of that Act 
against countries assisting Cuba.
    (b) Diplomatic Efforts.--The Secretary of State shall ensure that 
United States diplomatic personnel abroad understand and, in their 
contacts with foreign officials, are communicating the reasons for the 
United States economic embargo of Cuba, and are urging foreign 
governments to cooperate more effectively with the embargo.
    (c) Existing Regulations.--The President should instruct the 
Secretary of the Treasury and the Attorney General to enforce fully the 
Cuban Assets Control Regulations set forth in part 515 of title 31, 
Code of Federal Regulations.
    (d) Trading With the Enemy Act.--
            (1) Civil penalties.--Subsection (b) of section 16 of the 
        Trading With the Enemy Act (50 U.S.C. App. 16(b)) is amended to 
        read as follows:
    ``(b)(1) A civil penalty of not to exceed $50,000 may be imposed by 
the Secretary of the Treasury on any person who violates any license, 
order, rule, or regulation issued in compliance with the provisions of 
this Act.
    ``(2) Any property, funds, securities, papers, or other articles or 
documents, or any vessel, together with its tackle, apparel, furniture, 
and equipment, that is the subject of a violation under paragraph (1) 
shall, at the discretion of the Secretary of the Treasury, be forfeited 
to the United States Government.
    ``(3) The penalties provided under this subsection may not be 
imposed for--
            ``(A) news gathering, research, or the export or import of, 
        or transmission of, information or informational materials; or
            ``(B) clearly defined educational or religious activities, 
        or activities of recognized human rights organizations, that 
        are reasonably limited in frequency, duration, and number of 
        participants.
    ``(4) The penalties provided under this subsection may be imposed 
only on the record after opportunity for an agency hearing in 
accordance with sections 554 through 557 of title 5, United States 
Code, with the right to prehearing discovery.
    ``(5) Judicial review of any penalty imposed under this subsection 
may be had to the extent provided in section 702 of title 5, United 
States Code.''.
            (2) Forfeiture of property used in violation.--Section 16 
        of the Trading With the Enemy Act is further amended by 
        striking subsection (c).
            (3) Clerical amendment.--Section 16 of the Trading With the 
        Enemy Act is further amended by inserting ``Sec. 16.'' before 
        ``(a)''.
    (e) Coverage of Debt-for-Equity Swaps by Economic Embargo of 
Cuba.--Section 1704(b)(2) of the Cuban Democracy Act of 1992 (22 U.S.C. 
6003(b)(2)) is amended--
            (1) by striking ``and'' at the end of subparagraph (A);
            (2) by redesignating subparagraph (B) as subparagraph (C); 
        and
            (3) by inserting after subparagraph (A) the following new 
        subparagraph:
                    ``(B) includes an exchange, reduction, or 
                forgiveness of Cuban debt owed to a foreign country in 
                return for a grant of an equity interest in a property, 
                investment, or operation of the Government of Cuba 
                (including the government of any political subdivision 
                of Cuba, and any agency or instrumentality of the 
                Government of Cuba) or of a Cuban national; and''; and
            (4) by adding at the end the following flush sentence:
        ``As used in this paragraph, the term `agency or 
        instrumentality of the Government of Cuba' means an agency or 
        instrumentality of a foreign state as defined in section 
        1603(b) of title 28, United States Code, with `Cuba' 
        substituted for `a foreign state' each place it appears in such 
        section.''.

SEC. 6213. PROHIBITION AGAINST INDIRECT FINANCING OF THE CASTRO 
              DICTATORSHIP.

    (a) Prohibition.--Notwithstanding any other provision of law, no 
loan, credit, or other financing may be extended knowingly by a United 
States national, permanent resident alien, or United States agency, to 
a foreign national, United States national, or permanent resident 
alien, in order to finance transactions involving any confiscated 
property the claim to which is owned by a United States national as of 
the date of the enactment of this Act.
    (b) Termination of Prohibition.--The prohibition of subsection (a) 
shall cease to apply on the date on which the economic embargo of Cuba 
terminates under section 6235.
    (c) Penalties.--Violations of subsection (a) shall be punishable by 
the same penalties as are applicable to violations of the Cuban Assets 
Control Regulations set forth in part 515 of title 31, Code of Federal 
Regulations.
    (d) Definitions.--As used in this section--
            (1) the term ``permanent resident alien'' means an alien 
        admitted for permanent residence into the United States; and
            (2) the term ``United States agency'' has the meaning given 
        the term ``agency'' in section 551(1) of title 5, United States 
        Code.

SEC. 6214. UNITED STATES OPPOSITION TO CUBAN MEMBERSHIP IN 
              INTERNATIONAL FINANCIAL INSTITUTIONS.

    (a) Opposition to Cuban Membership in International Financial 
Institutions.--(1) Until such time as the President determines that a 
transition government in Cuba is in power, the Secretary of the 
Treasury should instruct the United States executive director to each 
international financial institution to use the voice and vote of the 
United States to oppose the admission of Cuba as a member of such 
institution.
    (2) Once a transition government in Cuba is in power, the President 
is encouraged to take steps to support the processing of Cuba's 
application for membership in any financial institution subject to the 
membership taking effect at such time as the President deems most 
likely to facilitate the transition to a democratically elected 
government in Cuba.
    (b) Reduction in United States Payments to International Financial 
Institutions.--If any international financial institution approves a 
loan or other assistance to the Cuban Government over the opposition of 
the United States, then the Secretary of the Treasury shall withhold 
from payment to that institution an amount equal to the amount of the 
loan or other assistance to the Cuban Government, with respect to each 
of the following types of payment:
            (1) The paid-in portion of the increase in capital stock of 
        the institution.
            (2) The callable portion of the increase in capital stock 
        of the institution.
    (c) Definition.--For purposes of this section, the term 
``international financial institution'' means the International 
Monetary Fund, the International Bank for Reconstruction and 
Development, the International Development Association, the 
International Finance Corporation, the Multilateral Investment Guaranty 
Agency, and the Inter-American Development Bank.

SEC. 6215. UNITED STATES OPPOSITION TO ENDING THE SUSPENSION OF THE 
              GOVERNMENT OF CUBA FROM THE ORGANIZATION OF AMERICAN 
              STATES.

    The President should instruct the United States Permanent 
Representative to the Organization of American States to use the voice 
and vote of the United States to oppose ending the suspension of the 
Government of Cuba from the Organization until the President determines 
under section 6233(c)(3) that a democratically elected government in 
Cuba is in power.

SEC. 6216. ASSISTANCE BY THE INDEPENDENT STATES OF THE FORMER SOVIET 
              UNION FOR THE CUBAN GOVERNMENT.

    (a) Reporting Requirement.--Not later than 90 days after the date 
of the enactment of this Act, the President shall submit to the 
appropriate congressional committees a report detailing progress 
towards the withdrawal of personnel of any independent state of the 
former Soviet Union (within the meaning of section 3 of the FREEDOM 
Support Act (22 U.S.C. 5801)), including advisers, technicians, and 
military personnel, from the Cienfuegos nuclear facility in Cuba.
    (b) Criteria for Assistance.--Section 498A(a)(11) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2295a(a)(11)) is amended by striking 
``of military facilities'' and inserting ``military and intelligence 
facilities, including the military and intelligence facilities at 
Lourdes and Cienfuegos''.
    (c) Ineligibility for Assistance.--(1) Section 498A(b) of that Act 
(22 U.S.C. 2295a(b)) is amended--
            (A) by striking ``or'' at the end of paragraph (4);
            (B) by redesignating paragraph (5) as paragraph (6); and
            (C) by inserting after paragraph (4) the following:
            ``(5) for the government of any independent state effective 
        30 days after the President has determined and certified to the 
        appropriate congressional committees (and Congress has not 
        enacted legislation disapproving the determination within that 
        30-day period) that such government is providing assistance 
        for, or engaging in nonmarket based trade (as defined in 
        section 498B(k)(3)) with, the Cuban Government; or''.
    (2) Subsection (k) of section 498B of that Act (22 U.S.C. 
2295b(k)), is amended by adding at the end the following:
            ``(3) Nonmarket based trade.--As used in section 
        498A(b)(5), the term `nonmarket based trade' includes exports, 
imports, exchanges, or other arrangements that are provided for goods 
and services (including oil and other petroleum products) on terms more 
favorable than those generally available in applicable markets or for 
comparable commodities, including--
                    ``(A) exports to the Cuban Government on terms that 
                involve a grant, concessional price, guaranty, 
                insurance, or subsidy;
                    ``(B) imports from the Cuban Government at 
                preferential tariff rates;
                    ``(C) exchange arrangements that include advance 
                delivery of commodities, arrangements in which the 
                Cuban Government is not held accountable for 
                unfulfilled exchange contracts, and arrangements under 
                which Cuba does not pay appropriate transportation, 
                insurance, or finance costs; and
                    ``(D) the exchange, reduction, or forgiveness of 
                Cuban debt in return for a grant by the Cuban 
                Government of an equity interest in a property, 
                investment, or operation of the Cuban Government or of 
                a Cuban national.
            ``(4) Cuban government.--(A) The term `Cuban Government' 
        includes the government of any political subdivision of Cuba, 
        and any agency or instrumentality of the Government of Cuba.
            ``(B) For purposes of subparagraph (A), the term `agency or 
        instrumentality of the Government of Cuba' means an agency or 
        instrumentality of a foreign state as defined in section 
        1603(b) of title 28, United States Code, with `Cuba' 
        substituted for `a foreign state' each place it appears in such 
        section.''.
    (d) Facilities at Lourdes, Cuba.--(1) The Congress expresses its 
strong disapproval of the extension by Russia of credits equivalent to 
approximately $200,000,000 in support of the intelligence facility at 
Lourdes, Cuba, in November 1994.
    (2) Section 498A of the Foreign Assistance Act of 1961 (22 U.S.C. 
2295a) is amended by adding at the end the following new subsection:
    ``(d) Reduction in Assistance for Support of Intelligence 
Facilities in Cuba.--(1) Notwithstanding any other provision of law, 
the President shall withhold from assistance provided, on or after the 
date of the enactment of this subsection, for an independent state of 
the former Soviet Union under this chapter an amount equal to the sum 
of assistance and credits, if any, provided on or after such date by 
such state in support of intelligence facilities in Cuba, including the 
intelligence facility at Lourdes, Cuba.
    ``(2)(A) The President may waive the requirement of paragraph (1) 
to withhold assistance if the President certifies to the appropriate 
congressional committees that the provision of such assistance is 
important to the national security of the United States, and, in the 
case of such a certification made with respect to Russia, if the 
President certifies that the Russian Government has assured the United 
States Government that the Russian Government is not sharing 
intelligence data collected at the Lourdes facility with officials or 
agents of the Cuban Government.
    ``(B) At the time of a certification made with respect to Russia 
pursuant to subparagraph (A), the President shall also submit to the 
appropriate congressional committees a report describing the 
intelligence activities of Russia in Cuba, including the purposes for 
which the Lourdes facility is used by the Russian Government and the 
extent to which the Russian Government provides payment or government 
credits to the Cuban Government for the continued use of the Lourdes 
facility.
    ``(C) The report required by subparagraph (B) may be submitted in 
classified form.
    ``(D) For purposes of this paragraph, the term `appropriate 
congressional committees' includes the Permanent Select Committee on 
Intelligence of the House of Representatives and the Select Committee 
on Intelligence of the Senate.
    ``(3) The requirement of paragraph (1) to withhold assistance shall 
not apply with respect to--
            ``(A) assistance to meet urgent humanitarian needs, 
        including disaster and refugee relief;
            ``(B) democratic political reform and rule of law 
        activities;
            ``(C) technical assistance for safety upgrades of civilian 
        nuclear power plants;
            ``(D) the creation of private sector and nongovernmental 
        organizations that are independent of government control;
            ``(E) the development of a free market economic system; and
            ``(F) assistance for the purposes described in the 
        Cooperative Threat Reduction Act of 1993 (title XII of Public 
        Law 103-160).''.

SEC. 6217. TELEVISION BROADCASTING TO CUBA.

    (a) Conversion to UHF.--The Director of the United States 
Information Agency shall implement a conversion of television 
broadcasting to Cuba under the Television Marti Service to ultra high 
frequency (UHF) broadcasting.
    (b) Periodic Reports.--Not later than 45 days after the date of the 
enactment of this Act, and every three months thereafter until the 
conversion described in subsection (a) is fully implemented, the 
Director of the United States Information Agency shall submit a report 
to the appropriate congressional committees on the progress made in 
carrying out subsection (a).
    (c) Termination of Broadcasting Authorities.--Upon transmittal of a 
determination under section 6233(c)(3), the Television Broadcasting to 
Cuba Act (22 U.S.C. 1465aa and following) and the Radio Broadcasting to 
Cuba Act (22 U.S.C. 1465 and following) are repealed.

SEC. 6218. REPORTS ON ASSISTANCE AND COMMERCE RECEIVED BY CUBA FROM 
              OTHER FOREIGN COUNTRIES.

    (a) Reports Required.--Not later than 90 days after the date of the 
enactment of this Act, and every year thereafter, the President shall 
submit a report to the appropriate congressional committees on 
assistance and commerce received by Cuba from other foreign countries 
during the preceding 12-month period.
    (b) Contents of Reports.--Each report required by subsection (a) 
shall, for the period covered by the report, contain the following, to 
the extent such information is known:
            (1) A description of all bilateral assistance provided to 
        Cuba by other foreign countries, including humanitarian 
        assistance.
            (2) A description of Cuba's commerce with foreign 
        countries, including an identification of Cuba's trading 
        partners and the extent of such trade.
            (3) A description of the joint ventures completed, or under 
        consideration, by foreign nationals involving facilities in 
        Cuba, including an identification of the location of the 
        facilities involved and a description of the terms of agreement 
        of the joint ventures and the names of the parties that are 
        involved.
            (4) A determination whether or not any of the facilities 
        described in paragraph (3) is the subject of a claim by a 
        United States national.
            (5) A determination of the amount of Cuban debt owed to 
        each foreign country, including--
                    (A) the amount of debt exchanged, forgiven, or 
                reduced under the terms of each investment or operation 
                in Cuba involving foreign nationals; and
                    (B) the amount of debt owed to the foreign country 
                that has been exchanged, reduced, or forgiven in return 
                for a grant by the Cuban Government of an equity 
                interest in a property, investment, or operation of the 
                Cuban Government or of a Cuban national.
            (6) A description of the steps taken to ensure that raw 
        materials and semifinished or finished goods produced by 
        facilities in Cuba involving foreign nationals do not enter the 
        United States market, either directly or through third 
        countries or parties.
            (7) An identification of countries that purchase, or have 
        purchased, arms or military supplies from the Cuban Government 
        or that otherwise have entered into agreements with the Cuban 
        Government that have a military application, including--
                    (A) a description of the military supplies, 
                equipment, or other materiel sold, bartered, or 
                exchanged between the Cuban Government and such 
                countries;
                    (B) a listing of the goods, services, credits, or 
                other consideration received by the Cuban Government in 
                exchange for military supplies, equipment, or materiel; 
                and
                    (C) the terms or conditions of any such agreement.

SEC. 6219. AUTHORIZATION OF SUPPORT FOR DEMOCRATIC AND HUMAN RIGHTS 
              GROUPS AND INTERNATIONAL OBSERVERS.

    (a) Authorization.--Notwithstanding any other provision of law, 
except for section 634A of the Foreign Assistance Act of 1961 (22 
U.S.C. 2394-1) and comparable notification requirements contained in 
any Act making appropriations for foreign operations, export financing, 
and related programs, the President is authorized to furnish assistance 
and provide other support for individuals and independent 
nongovernmental organizations to support democracy-building efforts for 
Cuba, including the following:
            (1) Published and informational matter, such as books, 
        videos, and cassettes, on transitions to democracy, human 
        rights, and market economies, to be made available to 
        independent democratic groups in Cuba.
            (2) Humanitarian assistance to victims of political 
        repression, and their families.
            (3) Support for democratic and human rights groups in Cuba.
            (4) Support for visits and permanent deployment of 
        independent international human rights monitors in Cuba.
    (b) OAS Emergency Fund.--(1) The President shall take the necessary 
steps to encourage the Organization of American States to create a 
special emergency fund for the explicit purpose of deploying human 
rights observers, election support, and election observation in Cuba.
    (2) The President should instruct the United States Permanent 
Representative to the Organization of American States to encourage 
other member states of the Organization to join in calling for the 
Cuban Government to allow the immediate deployment of independent human 
rights monitors of the Organization throughout Cuba and on-site visits 
to Cuba by the Inter-American Commission on Human Rights.
    (3) Notwithstanding section 307 of the Foreign Assistance Act of 
1961 (22 U.S.C. 2227) or any other provision of law limiting the United 
States proportionate share of assistance to Cuba by any international 
organization, the President should provide not less than $5,000,000 of 
the voluntary contributions of the United States to the Organization of 
American States as of the date of the enactment of this Act solely for 
the purposes of the special fund referred to in paragraph (1).

SEC. 6220. WITHHOLDING OF FOREIGN ASSISTANCE FROM COUNTRIES SUPPORTING 
              NUCLEAR PLANT IN CUBA.

    (a) Findings.--The Congress makes the following findings:
            (1) President Clinton stated in April 1993 that ``the 
        United States opposes the construction of the Juragua nuclear 
        power plant because of our concerns about Cuba's ability to 
        ensure the safe operation of the facility and because of Cuba's 
        refusal to sign the Nuclear Non-Proliferation Treaty or ratify 
        the Treaty of Tlatelolco.''.
            (2) Cuba has not signed the Treaty on the Non-Proliferation 
        of Nuclear Weapons or ratified the Treaty of Tlatelolco, the 
        latter of which establishes Latin America and the Caribbean as 
        a nuclear weapons-free zone.
            (3) The State Department, the Nuclear Regulatory 
        Commission, and the Department of Energy have expressed 
        concerns about the construction and operation of Cuba's nuclear 
        reactors.
            (4) In a September 1992 report to Congress, the General 
        Accounting Office outlined concerns among nuclear energy 
        experts about deficiencies in the nuclear plant project in 
        Juragua, near Cienfuegos, Cuba, including--
                    (A) a lack in Cuba of a nuclear regulatory 
                structure;
                    (B) the absence in Cuba of an adequate 
                infrastructure to ensure the plant's safe operation and 
                requisite maintenance;
                    (C) the inadequacy of training of plant operators;
                    (D) reports by a former technician from Cuba who, 
                by examining with x-rays weld sites believed to be part 
                of the auxiliary plumbing system for the plant, found 
                that 10 to 15 percent of those sites were defective;
                    (E) since September 5, 1992, when construction on 
                the plant was halted, the prolonged exposure to the 
                elements, including corrosive salt water vapor, of the 
                primary reactor components; and
                    (F) the possible inadequacy of the upper portion of 
                the reactors' dome retention capability to withstand 
                only 7 pounds of pressure per square inch, given that 
                normal atmospheric pressure is 32 pounds per square 
                inch and United States reactors are designed to 
                accommodate pressures of 50 pounds per square inch.
            (5) The United States Geological Survey claims that it had 
        difficulty determining answers to specific questions regarding 
        earthquake activity in the area near Cienfuegos because the 
        Cuban Government was not forthcoming with information.
            (6) The Geological Survey has indicated that the Caribbean 
        plate, a geological formation near the south coast of Cuba, may 
        pose seismic risks to Cuba and the site of the power plant, and 
        may produce large to moderate earthquakes.
            (7) On May 25, 1992, the Caribbean plate produced an 
        earthquake numbering 7.0 on the Richter scale.
            (8) According to a study by the National Oceanic and 
        Atmospheric Administration, summer winds could carry 
        radioactive pollutants from a nuclear accident at the power 
        plant throughout all of Florida and parts of the States on the 
        gulf coast as far as Texas, and northern winds could carry the 
        pollutants as far northeast as Virginia and Washington, D.C.
            (9) The Cuban Government, under dictator Fidel Castro, in 
        1962 advocated the Soviets' launching of nuclear missiles to 
        the United States, which represented a direct and dangerous 
        provocation of the United States and brought the world to the 
        brink of a nuclear conflict.
            (10) Fidel Castro over the years has consistently issued 
        threats against the United States Government, most recently 
        that he would unleash another perilous mass migration from Cuba 
        upon the enactment of this Act.
            (11) Despite the various concerns about the plant's safety 
        and operational problems, a feasibility study is being 
        conducted that would establish a support group to include 
        Russia, Cuba, and third countries with the objective of 
        completing and operating the plant.
    (b) Withholding of Foreign Assistance.--
            (1) In general.--Notwithstanding any other provision of 
        law, the President shall withhold from assistance allocated, on 
        or after the date of the enactment of this Act, for any country 
        an amount equal to the sum of assistance and credits, if any, 
        provided on or after such date of enactment by that country or 
        any entity in that country in support of the completion of the 
        Cuban nuclear facility at Juragua, near Cienfuegos, Cuba.
            (2) Exceptions.--The requirement of paragraph (1) to 
        withhold assistance shall not apply with respect to--
                    (A) assistance to meet urgent humanitarian needs, 
                including disaster and refugee relief;
                    (B) democratic political reform and rule of law 
                activities;
                    (C) the creation of private sector and 
                nongovernmental organizations that are independent of 
                government control;
                    (D) the development of a free market economic 
                system; and
                    (E) assistance for the purposes described in the 
                Cooperative Threat Reduction Act of 1993 (title XII of 
                Public Law 103-160).
            (3) Definition.--As used in paragraph (1), the term 
        ``assistance'' means assistance under the Foreign Assistance 
        Act of 1961, credits, sales, and guarantees of extensions of 
        credit under the Arms Export Control Act, assistance under 
        titles I and III of the Agricultural Trade Development and 
        Assistance Act of 1954, assistance under the FREEDOM Support 
        Act of 1992, and any other program of assistance or credits 
        provided by the United States to other countries under other 
        provisions of law, except that the term ``assistance'' does not 
        include humanitarian assistance, including disaster relief 
        assistance.

SEC. 6221. EXPULSION OF CRIMINALS FROM CUBA.

    The President shall instruct all United States Government officials 
who engage in official conduct with the Cuban Government to raise on a 
regular basis the extradition of or rendering to the United States all 
persons residing in Cuba who are sought by the United States Department 
of Justice for crimes committed in the United States.

           PART 2--ASSISTANCE TO A FREE AND INDEPENDENT CUBA

SEC. 6231. POLICY TOWARD A TRANSITION GOVERNMENT AND A DEMOCRATICALLY 
              ELECTED GOVERNMENT IN CUBA.

    The policy of the United States is as follows:
            (1) To support the self-determination of the Cuban people.
            (2) To recognize that the self-determination of the Cuban 
        people is a sovereign and national right of the citizens of 
        Cuba which must be exercised free of interference by the 
        government of any other country.
            (3) To encourage the Cuban people to empower themselves 
        with a government which reflects the self-determination of the 
        Cuban people.
            (4) To recognize the potential for a difficult transition 
        from the current regime in Cuba that may result from the 
        initiatives taken by the Cuban people for self-determination in 
        response to the intransigence of the Castro regime in not 
        allowing any substantive political or economic reforms, and to 
        be prepared to provide the Cuban people with humanitarian, 
        developmental, and other economic assistance.
            (5) In solidarity with the Cuban people, to provide 
        appropriate forms of assistance--
                    (A) to a transition government in Cuba;
                    (B) to facilitate the rapid movement from such a 
                transition government to a democratically elected 
                government in Cuba that results from an expression of 
                the self-determination of the Cuban people; and
                    (C) to support such a democratically elected 
                government.
            (6) Through such assistance, to facilitate a peaceful 
        transition to representative democracy and a market economy in 
Cuba and to consolidate democracy in Cuba.
            (7) To deliver such assistance to the Cuban people only 
        through a transition government in Cuba, through a 
        democratically elected government in Cuba, through United 
        States Government organizations, or through United States, 
        international, or indigenous nongovernmental organizations.
            (8) To encourage other countries and multilateral 
        organizations to provide similar assistance, and to work 
        cooperatively with such countries and organizations to 
        coordinate such assistance.
            (9) To ensure that appropriate assistance is rapidly 
        provided and distributed to the people of Cuba upon the 
        institution of a transition government in Cuba.
            (10) Not to provide favorable treatment or influence on 
        behalf of any individual or entity in the selection by the 
        Cuban people of their future government.
            (11) To assist a transition government in Cuba and a 
        democratically elected government in Cuba to prepare the Cuban 
        military forces for an appropriate role in a democracy.
            (12) To be prepared to enter into negotiations with a 
        democratically elected government in Cuba either to return the 
        United States Naval Base at Guantanamo to Cuba or to 
        renegotiate the present agreement under mutually agreeable 
        terms.
            (13) To consider the restoration of diplomatic recognition 
        and support the reintegration of the Cuban Government into 
        Inter-American organizations when the President determines that 
        there exists a democratically elected government in Cuba.
            (14) To take steps to remove the economic embargo of Cuba 
        when the President determines that a transition to a 
        democratically elected government in Cuba has begun.
            (15) To assist a democratically elected government in Cuba 
        to strengthen and stabilize its national currency.
            (16) To pursue trade relations with a free, democratic, and 
        independent Cuba.

SEC. 6232. ASSISTANCE FOR THE CUBAN PEOPLE.

    (a) Authorization.--
            (1) In general.--The President shall develop a plan for 
        providing economic assistance to Cuba at such time as the 
        President determines that a transition government or a 
        democratically elected government in Cuba (as determined under 
        section 6233(c)) is in power.
            (2) Effect on other laws.--Assistance may be provided under 
        this section subject to an authorization of appropriations and 
        subject to the availability of appropriations.
    (b) Plan for Assistance.--
            (1) Development of plan.--The President shall develop a 
        plan for providing assistance under this section--
                    (A) to Cuba when a transition government in Cuba is 
                in power; and
                    (B) to Cuba when a democratically elected 
                government in Cuba is in power.
            (2) Types of assistance.--Assistance under the plan 
        developed under paragraph (1) may, subject to an authorization 
        of appropriations and subject to the availability of 
        appropriations, include the following:
                    (A) Transition government.--(i) Except as provided 
                in clause (ii), assistance to Cuba under a transition 
                government shall, subject to an authorization of 
                appropriations and subject to the availability of 
                appropriations, be limited to--
                            (I) such food, medicine, medical supplies 
                        and equipment, and assistance to meet emergency 
                        energy needs, as is necessary to meet the basic 
                        human needs of the Cuban people; and
                            (II) assistance described in subparagraph 
                        (C).
                    (ii) Assistance provided only after the President 
                certifies to the appropriate congressional committees, 
                in accordance with procedures applicable to 
                reprogramming notifications under section 634A of the 
                Foreign Assistance Act of 1961, that such assistance is 
                essential to the successful completion of the 
                transition to democracy.
                    (iii) Only after a transition government in Cuba is 
                in power, remittances by individuals to their relatives 
                of cash or goods, as well as freedom to travel to visit 
                them without any restrictions, shall be permitted.
                    (B) Democratically elected government.--Assistance 
                to a democratically elected government in Cuba may, 
                subject to an authorization of appropriations and 
                subject to the availability of appropriations, consist 
                of additional economic assistance, together with 
                assistance described in subparagraph (C). Such economic 
                assistance may include--
                            (i) assistance under chapter 1 of part I 
                        (relating to development assistance), and 
                        chapter 4 of part II (relating to the economic 
                        support fund), of the Foreign Assistance Act of 
                        1961;
                            (ii) assistance under the Agricultural 
                        Trade Development and Assistance Act of 1954;
                            (iii) financing, guarantees, and other 
                        forms of assistance provided by the Export-
                        Import Bank of the United States;
                            (iv) financial support provided by the 
                        Overseas Private Investment Corporation for 
                        investment projects in Cuba;
                            (v) assistance provided by the Trade and 
                        Development Agency;
                            (vi) Peace Corps programs; and
                            (vii) other appropriate assistance to carry 
                        out the policy of section 6231.
                    (C) Military adjustment assistance.--Assistance to 
                a transition government in Cuba and to a democratically 
elected government in Cuba shall also include assistance in preparing 
the Cuban military forces to adjust to an appropriate role in a 
democracy.
    (c) Strategy for Distribution.--The plan developed under subsection 
(b) shall include a strategy for distributing assistance under the 
plan.
    (d) Distribution.--Assistance under the plan developed under 
subsection (b) shall be provided through United States Government 
organizations and nongovernmental organizations and private and 
voluntary organizations, whether within or outside the United States, 
including humanitarian, educational, labor, and private sector 
organizations.
    (e) International Efforts.--The President shall take the necessary 
steps--
            (1) to seek to obtain the agreement of other countries and 
        of international financial institutions and multilateral 
        organizations to provide to a transition government in Cuba, 
        and to a democratically elected government in Cuba, assistance 
        comparable to that provided by the United States under this 
        subtitle; and
            (2) to work with such countries, institutions, and 
        organizations to coordinate all such assistance programs.
    (f) Communication With the Cuban People.--The President shall take 
the necessary steps to communicate to the Cuban people the plan for 
assistance developed under this section.
    (g) Report to Congress.--Not later than 180 days after the date of 
the enactment of this Act, the President shall transmit to the 
appropriate congressional committees a report describing in detail the 
plan developed under this section.
    (h) Trade and Investment Relations.--
            (1) Report to congress.--The President, following the 
        transmittal to the Congress of a determination under section 
        6233(c)(3) that a democratically elected government in Cuba is 
        in power, shall submit to the appropriate congressional 
        committees a report that describes--
                    (A) acts, policies, and practices that constitute 
                significant barriers to, or distortions of, United 
                States trade in goods or services or foreign direct 
                investment with respect to Cuba;
                    (B) policy objectives of the United States 
                regarding trade relations with a democratically elected 
                government in Cuba, and the reasons therefor, including 
                possible--
                            (i) reciprocal extension of 
                        nondiscriminatory trade treatment (most-
                        favored- nation treatment);
                            (ii) designation of Cuba as a beneficiary 
                        developing country under title V of the Trade 
                        Act of 1974 (relating to the Generalized System 
                        of Preferences) or as a beneficiary country 
                        under the Caribbean Basin Economic Recovery 
                        Act, and the implications of such designation 
                        with respect to trade with any other country 
                        that is such a beneficiary developing country 
or beneficiary country or is a party to the North American Free Trade 
Agreement; and
                            (iii) negotiations regarding free trade, 
                        including the accession of Cuba to the North 
                        American Free Trade Agreement;
                    (C) specific trade negotiating objectives of the 
                United States with respect to Cuba, including the 
                objectives described in section 108(b)(5) of the North 
                American Free Trade Agreement Implementation Act (19 
                U.S.C. 3317(b)(5)); and
                    (D) actions proposed or anticipated to be 
                undertaken, and any proposed legislation necessary or 
                appropriate, to achieve any of such policy and 
                negotiating objectives.
            (2) Consultations.--The President shall consult with the 
        appropriate congressional committees and shall seek advice from 
        the appropriate advisory committees established under section 
        135 of the Trade Act of 1974 regarding the policy and 
        negotiating objectives and the legislative proposals described 
        in paragraph (1).

SEC. 6233. COORDINATION OF ASSISTANCE PROGRAM; IMPLEMENTATION AND 
              REPORTS TO CONGRESS; REPROGRAMMING.

    (a) Coordinating Official.--The President shall designate a 
coordinating official who shall be responsible for--
            (1) implementing the strategy for distributing assistance 
        described in section 6232(b);
            (2) ensuring the speedy and efficient distribution of such 
        assistance; and
            (3) ensuring coordination among, and appropriate oversight 
        by, the agencies of the United States that provide assistance 
        described in section 6232(b), including resolving any disputes 
        among such agencies.
    (b) United States-Cuba Council.--Upon making a determination under 
subsection (c)(3) that a democratically elected government in Cuba is 
in power, the President, after consultation with the coordinating 
official, is authorized to designate a United States-Cuba council--
            (1) to ensure coordination between the United States 
        Government and the private sector in responding to change in 
        Cuba, and in promoting market-based development in Cuba; and
            (2) to establish periodic meetings between representatives 
        of the United States and Cuban private sectors for the purpose 
        of facilitating bilateral trade.
    (c) Implementation of Plan; Reports to Congress.--
            (1) Implementation with respect to transition government.--
        Upon making a determination that a transition government in 
        Cuba is in power, the President shall transmit that 
        determination to the appropriate congressional committees and 
        shall, subject to an authorization of appropriations and 
        subject to the availability of appropriations, commence the 
        delivery and distribution of assistance to such transition 
government under the plan developed under section 6232(b).
            (2) Reports to congress.--(A) The President shall transmit 
        to the appropriate congressional committees a report setting 
        forth the strategy for providing assistance described in 
        section 6232(b)(2) (A) and (C) to the transition government in 
        Cuba under the plan of assistance developed under section 
        6232(b), the types of such assistance, and the extent to which 
        such assistance has been distributed in accordance with the 
        plan.
            (B) The President shall transmit the report not later than 
        90 days after making the determination referred to in paragraph 
        (1), except that the President shall transmit the report in 
        preliminary form not later than 15 days after making that 
        determination.
            (3) Implementation with respect to democratically elected 
        government.--The President shall, upon determining that a 
        democratically elected government in Cuba is in power, submit 
        that determination to the appropriate congressional committees 
        and shall, subject to an authorization of appropriations and 
        subject to the availability of appropriations, commence the 
        delivery and distribution of assistance to such democratically 
        elected government under the plan developed under section 
        6232(b).
            (4) Annual reports to congress.--Not later than 60 days 
        after the end of each fiscal year, the President shall transmit 
        to the appropriate congressional committees a report on the 
        assistance provided under the plan developed under section 
        6232(b), including a description of each type of assistance, 
        the amounts expended for such assistance, and a description of 
        the assistance to be provided under the plan in the current 
        fiscal year.
    (d) Reprogramming.--Any changes in the assistance to be provided 
under the plan developed under section 6232(b) may not be made unless 
the President notifies the appropriate congressional committees at 
least 15 days in advance in accordance with the procedures applicable 
to reprogramming notifications under section 634A of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2394-1).

SEC. 6234. TERMINATION OF THE ECONOMIC EMBARGO OF CUBA.

    (a) Presidential Actions.--Upon submitting a determination to the 
appropriate congressional committees under section 6233(c)(1) that a 
transition government in Cuba is in power, the President, after 
consulting with the Congress, is authorized to take steps to suspend 
the economic embargo of Cuba to the extent that such action contributes 
to a stable foundation for a democratically elected government in Cuba.
    (b) Suspension of Certain Provisions of Law.--In carrying out 
subsection (a), the President may suspend the enforcement of--
            (1) section 620(a) of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2370(a));
            (2) section 620(f) of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2370(f)) with regard to the ``Republic of Cuba'';
            (3) sections 1704, 1705(d), and 1706 of the Cuban Democracy 
        Act (22 U.S.C. 6003, 6004(d), 6005);
            (4) section 902(c) of the Food Security Act of 1985; and
            (5) the prohibitions on transactions described in part 515 
        of title 31, Code of Federal Regulations.
    (c) Additional Presidential Actions.--Upon submitting a 
determination to the appropriate congressional committees under section 
6233(c)(3) that a democratically elected government in Cuba is in 
power, the President shall take steps to terminate the economic embargo 
of Cuba.
    (d) Conforming Amendments.--On the date on which the President 
submits a determination under section 6233(c)(3)--
            (1) section 620(a) of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2370(a)) is repealed;
            (2) section 620(f) of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2370(f)) is amended by striking ``Republic of 
        Cuba'';
            (3) sections 1704, 1705(d), and 1706 of the Cuban Democracy 
        Act of 1992 (22 U.S.C. 6003, 6004(d), and 6005) are repealed; 
        and
            (4) section 902(c) of the Food Security Act of 1985 is 
        repealed.
    (e) Review of Suspension of Economic Embargo.--
            (1) Review.--If the President takes action under subsection 
        (a) to suspend the economic embargo of Cuba, the President 
        shall immediately so notify the Congress. The President shall 
        report to the Congress no less frequently than every 6 months 
        thereafter, until he submits a determination under section 
        6233(c)(3) that a democratically elected government in Cuba is 
        in power, on the progress being made by Cuba toward the 
        establishment of such a democratically elected government. The 
        action of the President under subsection (a) shall cease to be 
        effective upon the enactment of a joint resolution described in 
        paragraph (2).
            (2) Joint resolutions.--For purposes of this subsection, 
        the term ``joint resolution'' means only a joint resolution of 
        the 2 Houses of Congress, the matter after the resolving clause 
        of which is as follows: ``That the Congress disapproves the 
        action of the President under section 6234(a) of the Cuban 
        Liberty and Democratic Solidarity (LIBERTAD) Act of 1995 to 
        suspend the economic embargo of Cuba, notice of which was 
        submitted to the Congress on ____.'', with the blank space 
        being filled with the appropriate date.
            (3) Referral to committees.--Joint resolutions introduced 
        in the House of Representatives shall be referred to the 
        Committee on International Relations and joint resolutions 
        introduced in the Senate shall be referred to the Committee on 
        Foreign Relations.
            (4) Procedures.--(A) Any joint resolution shall be 
        considered in the Senate in accordance with the provisions of 
        section 601(b) of the International Security Assistance and 
Arms Export Control Act of 1976.
            (B) For the purpose of expediting the consideration and 
        enactment of joint resolutions, a motion to proceed to the 
        consideration of any joint resolution after it has been 
        reported by the appropriate committee shall be treated as 
        highly privileged in the House of Representatives.
            (C) Not more than 1 joint resolution may be considered in 
        the House of Representatives and the Senate in the 6-month 
        period beginning on the date on which the President notifies 
        the Congress under paragraph (1) of the action taken under 
        subsection (a), and in each 6-month period thereafter.

SEC. 6235. REQUIREMENTS FOR A TRANSITION GOVERNMENT.

    For purposes of this subtitle, a transition government in Cuba is a 
government in Cuba which--
            (1) is demonstrably in transition from communist 
        totalitarian dictatorship to representative democracy;
            (2) has recognized the right to independent political 
        activity and association;
            (3) has released all political prisoners and allowed for 
        investigations of Cuban prisons by appropriate international 
        human rights organizations;
            (4) has ceased any interference with Radio or Television 
        Marti broadcasts;
            (5) makes public commitments to and is making demonstrable 
        progress in--
                    (A) establishing an independent judiciary;
                    (B) dissolving the present Department of State 
                Security in the Cuban Ministry of the Interior, 
                including the Committees for the Defense of the 
                Revolution and the Rapid Response Brigades;
                    (C) respecting internationally recognized human 
                rights and basic freedoms as set forth in the Universal 
                Declaration of Human Rights, to which Cuba is a 
                signatory nation;
                    (D) effectively guaranteeing the rights of free 
                speech and freedom of the press;
                    (E) organizing free and fair elections for a new 
                government--
                            (i) to be held in a timely manner within a 
                        period not to exceed 1 year after the 
                        transition government assumes power;
                            (ii) with the participation of multiple 
                        independent political parties that have full 
                        access to the media on an equal basis, 
                        including (in the case of radio, television, or 
                        other telecommunications media) in terms of 
                        allotments of time for such access and the 
                        times of day such allotments are given; and
                            (iii) to be conducted under the supervision 
                        of internationally recognized observers, such 
                        as the Organization of American States, the 
United Nations, and other elections monitors;
                    (F) assuring the right to private property;
                    (G) taking appropriate steps to return to United 
                States citizens (and entities which are 50 percent or 
                more beneficially owned by United States citizens) 
                property taken by the Cuban Government from such 
                citizens and entities on or after January 1, 1959, or 
                to provide equitable compensation to such citizens and 
                entities for such property;
                    (H) granting permits to privately owned 
                telecommunications and media companies to operate in 
                Cuba; and
                    (I) allowing the establishment of independent trade 
                unions as set forth in conventions 87 and 98 of the 
                International Labor Organization, and allowing the 
                establishment of independent social, economic, and 
                political associations;
            (6) does not include Fidel Castro or Raul Castro;
            (7) has given adequate assurances that it will allow the 
        speedy and efficient distribution of assistance to the Cuban 
        people;
            (8) permits the deployment throughout Cuba of independent 
        and unfettered international human rights monitors; and
            (9) has extradited or otherwise rendered to the United 
        States all persons sought by the United States Department of 
        Justice for crimes committed in the United States.

SEC. 6236. REQUIREMENTS FOR A DEMOCRATICALLY ELECTED GOVERNMENT.

    For purposes of this subtitle, a democratically elected government 
in Cuba, in addition to continuing to comply with the requirements of 
section 6235, is a government in Cuba which--
            (1) results from free and fair elections conducted under 
        the supervision of internationally recognized observers;
            (2) has permitted opposition parties ample time to organize 
        and campaign for such elections, and has permitted full access 
        to the media to all candidates in the elections;
            (3) is showing respect for the basic civil liberties and 
        human rights of the citizens of Cuba;
            (4) has made demonstrable progress in establishing an 
        independent judiciary;
            (5) is substantially moving toward a market-oriented 
        economic system;
            (6) is committed to making constitutional changes that 
        would ensure regular free and fair elections that meet the 
        requirements of paragraph (2); and
            (7) has made demonstrable progress in returning to United 
        States citizens (and entities which are 50 percent or more 
        beneficially owned by United States citizens) property taken by 
        the Cuban Government from such citizens and entities on or 
        after January 1, 1959, or providing full compensation for such 
        property in accordance with international law standards and 
        practice.

   PART 3--PROTECTION OF PROPERTY RIGHTS OF UNITED STATES NATIONALS 
           AGAINST CONFISCATORY TAKINGS BY THE CASTRO REGIME

SEC. 6251. STATEMENT OF POLICY.

    The Congress makes the following findings:
            (1) The right of individuals to hold and enjoy property is 
        a fundamental right recognized by the United States 
        Constitution and international human rights law, including the 
        Universal Declaration of Human Rights.
            (2) The illegal confiscation or taking of property by 
        governments, and the acquiescence of governments in the 
        confiscation of property by their citizens, undermines the 
        comity among nations, the free flow of commerce, and economic 
        development.
            (3) It is in the interest of all nations to respect equally 
        the property rights of their citizens and nationals of other 
        countries.
            (4) Nations that provide an effective mechanism for prompt, 
        adequate, and fair compensation for the confiscation of private 
        property will continue to have the support of the United 
        States.
            (5) The United States Government has an obligation to its 
        citizens to provide protection against illegal confiscation by 
        foreign nations and their citizens, including the provision of 
        private remedies.
            (6) Nations that illegally confiscate private property 
        should not be immune to another nation's laws whose purpose is 
        to protect against the confiscation of lawfully acquired 
        property by its citizens.
            (7) Trafficking in illegally acquired property is a crime 
        under the laws of the United States and other nations, yet this 
        same activity is allowed under international law.
            (8) International law, by not providing effective remedies, 
        condones the illegal confiscation of property and allows for 
        the unjust enrichment from the use of confiscated property by 
        governments and private entities at the expense of those who 
        hold legal claim to the property.
            (9) The development of an international mechanism 
        sanctioning those governments and private entities that 
        confiscate and unjustly use private property so confiscated 
        should be a priority objective of United States foreign policy.

SEC. 6252. LIABILITY FOR TRAFFICKING IN PROPERTY CONFISCATED FROM 
              UNITED STATES NATIONALS.

    (a) Civil Remedy.--
            (1) Liability for trafficking.--(A) Except as provided in 
        paragraphs (3) and (4), any person, including any agency or 
        instrumentality of a foreign state in the conduct of a 
        commercial activity, that, after the end of the 6-month period 
        beginning on the date of the enactment of this Act, traffics in 
        confiscated property shall be liable to any United States 
        national who owns the claim to such property for money damages 
        in an amount equal to the sum of--
                    (i) the amount which is the greater of--
                            (I) the amount, if any, certified to the 
                        claimant by the Foreign Claims Settlement 
                        Commission under the International Claims 
                        Settlement Act of 1949, plus interest;
                            (II) the amount determined under section 
                        6253(a)(2), plus interest; or
                            (III) the fair market value of that 
                        property, calculated as being the then current 
                        value of the property, or the value of the 
                        property when confiscated plus interest, 
                        whichever is greater; and
                    (ii) reasonable costs and attorneys' fees.
            (B) Interest under subparagraph (A)(i) shall be at the rate 
        set forth in section 1961 of title 28, United States Code, 
        computed by the court from the date of the confiscation of the 
        property involved to the date on which the action is brought 
        under this subsection.
            (2) Presumption in favor of certified claims.--There shall 
        be a presumption that the amount for which a person, including 
        any agency or instrumentality of a foreign state in the conduct 
        of a commercial activity, is liable under clause (i) of 
        paragraph (1)(A) is the amount that is certified under 
        subclause (I) of that clause. The presumption shall be 
        rebuttable by clear and convincing evidence that the amount 
        described in subclause (II) or (III) of that clause is the 
        appropriate amount of liability under that clause.
            (3) Increased liability for prior notice.--Except as 
        provided in paragraph (4), any person, including any agency or 
        instrumentality of a foreign state in the conduct of a 
        commercial activity, that traffics in confiscated property 
        after having received--
                    (A) notice of a claim to ownership of the property 
                by a United States national who owns a claim to the 
                confiscated property, and
                    (B) notice of the provisions of this section,
        shall be liable to that United States national for money 
        damages in an amount which is the sum of the amount equal to 
        the amount determined under paragraph (1)(A)(ii) plus triple 
        the amount determined applicable under subclause (I), (II), or 
        (III) of paragraph (1)(A)(i).
            (4) Applicability.--(A) Except as otherwise provided in 
        this paragraph, actions may be brought under paragraph (1) with 
        respect to property confiscated before, on, or after the date 
        of the enactment of this Act.
            (B) In the case of property confiscated before the date of 
        the enactment of this Act, no United States national may bring 
        an action under this section unless such national acquired 
        ownership of the claim to the confiscated property before such 
        date.
            (C) In the case of property confiscated on or after the 
        date of the enactment of this Act, no United States national 
        who acquired ownership of a claim to confiscated property by 
        assignment for value after such date of enactment may bring an 
action on the claim under this section.
            (5) Treatment of certain actions.--(A) In the case of any 
        action brought under this section by a United States national 
        who was eligible to file the underlying claim in the action 
        with the Foreign Claims Settlement Commission under title V of 
        the International Claims Settlement Act of 1949 but did not so 
        file the claim, the court may hear the case only if the court 
        determines that the United States national had good cause for 
        not filing the claim.
            (B) In the case of any action brought under this section by 
        a United States national whose claim in the action was timely 
        filed with the Foreign Claims Settlement Commission under title 
        V of the International Claims Settlement Act of 1949 but was 
        denied by the Commission, the court may assess the basis for 
        the denial and may accept the findings of the Commission on the 
        claim as conclusive in the action under this section unless 
        good cause justifies another result.
            (6) Inapplicability of act of state doctrine.--No court of 
        the United States shall decline, based upon the act of state 
        doctrine, to make a determination on the merits in an action 
        brought under paragraph (1).
    (b) Definition.--As used in this subsection, the term ``agency or 
instrumentality of a foreign state'' has the meaning given that term in 
section 1603(b) of title 28, United States Code.
    (c) Jurisdiction.--
            (1) In general.--Chapter 85 of title 28, United States 
        Code, is amended by inserting after section 1331 the following 
        new section:
``Sec. 1331a. Civil actions involving confiscated property
    ``The district courts shall have exclusive jurisdiction of any 
action brought under section 6252 of the Cuban Liberty and Democratic 
Solidarity (LIBERTAD) Act of 1995, regardless of the amount in 
controversy.''.
            (2) Conforming amendment.--The table of sections for 
        chapter 85 of title 28, United States Code, is amended by 
        inserting after the item relating to section 1331 the 
        following:

``1331a. Civil actions involving confiscated property.''.
    (d) Certain Property Immune From Execution.--Section 1611 of title 
28, United States Code, is amended by adding at the end the following:
    ``(c) Notwithstanding the provisions of section 1610 of this 
chapter, the property of a foreign state shall be immune from 
attachment and from execution in an action brought under section 6252 
of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1995 
to the extent the property is a facility or installation used by an 
accredited diplomatic mission for official purposes.''.
    (e) Election of Remedies.--
            (1) Election.--Subject to paragraph (2)--
                    (A) any United States national that brings an 
                action under this section may not bring any other civil 
                action or proceeding under the common law, Federal law, 
                or the law of any of the several States, the District 
                of Columbia, or any territory or possession of the 
                United States, that seeks monetary or nonmonetary 
                compensation by reason of the same subject matter; and
                    (B) any person who brings, under the common law or 
                any provision of law other than this section, a civil 
                action or proceeding for monetary or nonmonetary 
                compensation arising out of a claim for which an action 
                would otherwise be cognizable under this section may 
                not bring an action under this section on that claim.
            (2) Treatment of certified claimants.--In the case of any 
        United States national that brings an action under this section 
        based on a claim certified under title V of the International 
        Claims Settlement Act of 1949--
                    (A) if the recovery in the action is equal to or 
                greater than the amount of the certified claim, the 
                United States national may not receive payment on the 
                claim under any agreement entered into between the 
                United States and Cuba settling claims covered by such 
                title, and such national shall be deemed to have 
                discharged the United States from any further 
                responsibility to represent the United States national 
                with respect to that claim;
                    (B) if the recovery in the action is less than the 
                amount of the certified claim, the United States 
                national may receive payment under a claims agreement 
                described in subparagraph (A) but only to the extent of 
                the difference between the amount of the recovery and 
                the amount of the certified claim; and
                    (C) if there is no recovery in the action, the 
                United States national may receive payment on the 
                certified claim under a claims agreement described in 
                subparagraph (A) to the same extent as any certified 
                claimant who does not bring an action under this 
                section.
    (f) Deposit of Excess Payments by Cuba Under Claims Agreement.--Any 
amounts paid by Cuba under any agreement entered into between the 
United States and Cuba settling certified claims under title V of the 
International Claims Settlement Act of 1949 that are in excess of the 
payments made on such certified claims after the application of 
subsection (e) shall be deposited into the United States Treasury.
    (g) Termination of Rights.--
            (1) In general.--All rights created under this section to 
        bring an action for money damages with respect to property 
        confiscated before the date of the enactment of this Act shall 
        cease upon the transmittal to the Congress of a determination 
        of the President under section 6233(c)(3).
            (2) Pending suits.--The termination of rights under 
        paragraph (1) shall not affect suits commenced before the date 
        of such termination, and in all such suits, proceedings shall 
        be had, appeals taken, and judgments rendered in the same 
        manner and with the same effect as if this subsection had not 
        been enacted.

SEC. 6253. DETERMINATION OF CLAIMS TO CONFISCATED PROPERTY.

    (a) Evidence of Ownership.--
            (1) Conclusiveness of certified claims.--In any action 
        brought under this part, the courts shall accept as conclusive 
        proof of ownership a certification of a claim to ownership that 
        has been made by the Foreign Claims Settlement Commission 
        pursuant to title V of the International Claims Settlement Act 
of 1949 (22 U.S.C. 1643 and following).
            (2) Claims not certified.--In the case of a claim that has 
        not been certified by the Foreign Claims Settlement Commission 
        before the enactment of this Act, a court may appoint a special 
        master, including the Foreign Claims Settlement Commission, to 
        make determinations regarding the amount and validity of claims 
        to ownership of confiscated property. Such determinations are 
        only for evidentiary purposes in civil actions brought under 
        this part and do not constitute certifications pursuant to 
        title V of the International Claims Settlement Act of 1949.
            (3) Effect of determinations of foreign entities.--In 
        determining ownership, courts shall not accept as conclusive 
        evidence of ownership any findings, orders, judgments, or 
        decrees from administrative agencies or courts of foreign 
        countries or international organizations that invalidate the 
        claim held by a United States national, unless the invalidation 
        was found pursuant to binding international arbitration to 
        which United States national submitted the claim.
    (b) Amendment of the International Claims Settlement Act of 1949.--
Title V of the International Claims Settlement Act of 1949 (22 U.S.C. 
1643 and following) is amended by adding at the end the following new 
section:

  ``evaluation of ownership claims referred by district courts of the 
                             united states

    ``Sec. 514. Notwithstanding any other provision of this title and 
only for purposes of section 6252 the Cuban Liberty and Solidarity 
(LIBERTAD) Act, a United States district court, for fact-finding 
purposes, may refer to the Commission, and the Commission may 
determine, questions of the amount and ownership of a claim by a United 
States national (as defined in section 6204 of the Cuban Liberty and 
Solidarity (LIBERTAD) Act) resulting from the confiscation of property 
by the Government of Cuba described in section 503(a), whether or not 
the United States national qualified as a national of the United States 
(as defined in section 502(1)) at the time of the action by the 
Government of Cuba.''.
    (c) Rule of Construction.--Nothing in this subtitle or section 514 
of the International Claims Settlement Act of 1949, as added by 
subsection (b), shall be construed--
            (1) to require or otherwise authorize the claims of Cuban 
        nationals who became United States citizens after their 
        property was confiscated to be included in the claims certified 
        to the Secretary of State by the Foreign Claims Settlement 
        Commission for purposes of future negotiation and espousal of 
        claims with a friendly government in Cuba when diplomatic 
        relations are restored; or
            (2) as superseding, amending, or otherwise altering 
        certifications that have been made pursuant to title V of the 
        International Claims Settlement Act of 1949 before the 
        enactment of this Act.

SEC. 6254. EXCLUSIVITY OF FOREIGN CLAIMS SETTLEMENT COMMISSION 
              CERTIFICATION PROCEDURE.

    Title V of the International Claims Settlement Act of 1949 (22 
U.S.C. 1643 and following), as amended by section 6253, is further 
amended by adding at the end the following new section:

  ``exclusivity of foreign claims settlement commission certification 
                               procedure

    ``Sec. 515. (a) Subject to subsection (b), neither any national of 
the United States who was eligible to file a claim under section 503 
but did not timely file such claim under that section, nor any national 
of the United States (on the date of the enactment of this section) who 
was not eligible to file a claim under that section, nor any national 
of Cuba, including any agency, instrumentality, subdivision, or 
enterprise of the Government of Cuba or any local government of Cuba in 
place on the date of the enactment of this section, nor any successor 
thereto, whether or not recognized by the United States, shall have a 
claim to, participate in, or otherwise have an interest in, the 
compensation proceeds or other nonmonetary compensation paid or 
allocated to a national of the United States by virtue of a claim 
certified by the Commission under section 507, nor shall any court of 
the United States or any State court have jurisdiction to adjudicate 
any such claim.
    ``(b) Nothing in subsection (a) shall be construed to detract from 
or otherwise affect any rights in the shares of the capital stock of 
nationals of the United States owning claims certified by the 
Commission under section 507.''.

                  PART 4--EXCLUSION OF CERTAIN ALIENS

SEC. 6271. EXCLUSION FROM THE UNITED STATES OF ALIENS WHO HAVE 
              CONFISCATED PROPERTY OF UNITED STATES NATIONALS OR WHO 
              TRAFFIC IN SUCH PROPERTY.

    (a) Grounds for Exclusion.--The Secretary of State, in consultation 
with the Attorney General, shall exclude from the United States any 
alien who the Secretary of State determines is a person who--
            (1) has confiscated, or has directed or overseen the 
        confiscation of, property a claim to which is owned by a United 
        States national, or converts or has converted for personal gain 
        confiscated property, a claim to which is owned by a United 
        States national;
            (2) traffics in confiscated property, a claim to which is 
        owned by a United States national;
            (3) is a corporate officer, principal, or shareholder with 
        a controlling interest of an entity which has been involved in 
        the confiscation of property or trafficking in confiscated 
        property, a claim to which is owned by a United States 
        national; or
            (4) is a spouse, minor child, or agent of a person 
        excludable under paragraph (1), (2), or (3).
    (b) Definitions.--As used in this section, the following terms have 
the following meanings:
            (1) Confiscated; confiscation.--The terms ``confiscated'' 
        and ``confiscation'' refer to--
                    (A) the nationalization, expropriation, or other 
                seizure by foreign governmental authority of ownership 
                or control of property on or after January 1, 1959--
                            (i) without the property having been 
                        returned or adequate and effective compensation 
                        provided; or
                            (ii) without the claim to the property 
                        having been settled pursuant to an 
                        international claims settlement agreement or 
                        other mutually accepted settlement procedure; 
                        and
                    (B) the repudiation by foreign governmental 
                authority of, the default by foreign governmental 
                authority on, or the failure by foreign governmental 
                authority to pay, on or after January 1, 1959--
                            (i) a debt of any enterprise which has been 
                        nationalized, expropriated, or otherwise taken 
                        by foreign governmental authority;
                            (ii) a debt which is a charge on property 
                        nationalized, expropriated, or otherwise taken 
                        by foreign governmental authority; or
                            (iii) a debt which was incurred by foreign 
                        governmental authority in satisfaction or 
                        settlement of a confiscated property claim.
            (2) Property.--The term ``property'' does not include 
        claims arising from a territory in dispute as a result of war 
        between United Nations member states in which the ultimate 
        resolution of the disputed territory has not been resolved.
            (3) Traffics.--(A) A person or entity ``traffics'' in 
        property if that person or entity knowingly and intentionally--
                    (i) sells, transfers, distributes, dispenses, 
                brokers, manages, or otherwise disposes of confiscated 
                property, or purchases, leases, receives, possesses, 
                obtains control of, manages, uses, or otherwise 
                acquires or holds an interest in confiscated property,
                    (ii) engages in a commercial activity using or 
                otherwise benefiting from confiscated property, or
                    (iii) causes, directs, participates in, or profits 
                from, trafficking (as described in clauses (i) and 
                (ii)) by another person, or otherwise engages in 
                trafficking (as described in clauses (i) and (ii)) 
                through another person,
        without the authorization of the United States national who 
        holds a claim to the property.
            (B) The term ``traffics'' does not include--
                    (i) the delivery of international telecommunication 
                signals to Cuba that are authorized by section 1705(e) 
                of the Cuban Democracy Act of 1992 (22 U.S.C. 6004(e)); 
                or
                    (ii) the trading or holding of securities publicly 
                traded or held, unless the trading is with or by a 
                person determined by the Secretary of the Treasury to 
                be a specially designated national.
    (c) National Interest Exemption.--This section shall not apply 
where the Secretary of State finds, on a case-by-case basis, that 
making a determination under subsection (a) would be contrary to the 
national interest of the United States.
    (d) Effective Date.--
            (1) In general.--This section applies to aliens seeking to 
        enter the United States on or after the date of the enactment 
        of this Act.
            (2) Trafficking.--This section applies only with respect to 
        acts within the meaning of ``traffics'' that occur on or after 
        the date of the enactment of this Act.

                 TITLE VII--COMMITTEE ON THE JUDICIARY

SEC. 7001. PATENT AND TRADEMARK FEES.

    Section 10101 of the Omnibus Budget Reconciliation Act of 1990 (35 
U.S.C. 41 note) is amended--
            (1) in subsection (a) by striking ``1998'' and inserting 
        ``2002'';
            (2) in subsection (b)(2) by striking ``1998'' and inserting 
        ``2002''; and
            (3) in subsection (c)--
                    (A) by striking ``through 1998'' and inserting 
                ``through 2002''; and
                    (B) by adding at the end the following:
            ``(9) $119,000,000 in fiscal year 1999.
            ``(10) $119,000,000 in fiscal year 2000.
            ``(11) $119,000,000 in fiscal year 2001.
            ``(12) $119,000,000 in fiscal year 2002.''.

SEC. 7002. CIVIL MONETARY PENALTY SURCHARGE AND TELECOMMUNICATIONS 
              CARRIER COMPLIANCE PAYMENTS.

    Public Law 103-414 is amended by adding at the end the following:

  ``TITLE IV--CIVIL MONETARY PENALTY SURCHARGE AND TELECOMMUNICATIONS 
                      CARRIER COMPLIANCE PAYMENTS

``SEC. 401. CIVIL MONETARY PENALTY SURCHARGE.

    ``(a) Imposition.--Notwithstanding any other provision of law, and 
subject to section 402(c) of this title, a surcharge of 40 percent of 
the principal amount of a civil monetary penalty shall be added to each 
civil monetary penalty at the time it is assessed by the United States 
or an agency thereof.
    ``(b) Application of Payments.--Payments relating to a civil 
monetary penalty shall be applied in the following order: (1) to costs; 
(2) to principal; (3) to surcharges required by subsection (a) of this 
section; and (4) to interest.
    ``(c) Effective Dates.--(1) A surcharge under subsection (a) of 
this section shall be added to all civil monetary penalties assessed on 
or after October 1, 1995, or the date of enactment of this title, 
whichever is later.
    ``(2) The authority to add a surcharge under this section shall 
terminate on October 1, 1998.
    ``(d) Limitation.--The provisions of this section shall not apply 
to any civil monetary penalty assessed under title 26, United States 
Code.

``SEC. 402. DEPARTMENT OF JUSTICE TELECOMMUNICATIONS CARRIER COMPLIANCE 
              FUND.

    ``(a) Establishment of Fund.--There is hereby established in the 
United States Treasury a fund to be known as the Department of Justice 
Telecommunications Carrier Compliance Fund (hereinafter referred to as 
`the Fund'), which shall be available to the Attorney General to the 
extent and in the amounts authorized by subsection (c) of this section 
to make payments to telecommunications carriers, as authorized by 
section 109 of the Communications Assistance for Law Enforcement Act.
    ``(b) Offsetting Collections.--Notwithstanding section 3302 of 
title 31, United States Code, the Attorney General may credit 
surcharges added pursuant to section 401 of this title to the Fund as 
offsetting collections.
    ``(c) Requirements for Appropriations Offset.--(1) Surcharges added 
pursuant to section 401 of this title are authorized only to the extent 
and in the amounts provided for in advance in appropriations acts.
    ``(2)(A)(i) Subject to the requirements of this subparagraph, 
collections credited to the Fund are authorized to be appropriated in 
amounts of $56,000,000 for fiscal year 1996, and $112,000,000 for each 
of fiscal years 1997 and 1998.
    ``(ii) Notwithstanding clause (i), the maximum amount authorized to 
be appropriated for any such fiscal year shall equal the amount that 
the Office of Management and Budget estimates will be credited to the 
Fund during that year.
    ``(B) Amounts described in subparagraph (A) of this paragraph are 
authorized to be appropriated without fiscal year limitation.
    ``(d) Termination.--(1) The Attorney General may terminate the Fund 
at such time as the Attorney General determines that the Fund is no 
longer necessary.
    ``(2) Any balance in the Fund at the time of its termination shall 
be deposited in the general fund of the Treasury.
    ``(3) A decision of the Attorney General to terminate the Fund 
shall not be subject to judicial review.

``SEC. 403. DEFINITIONS.

    ``For purposes of this title, the terms `agency' and `civil 
monetary penalty' have the meanings given to them by section 3 of the 
Federal Civil Penalties Inflation Adjustment Act of 1990, Public Law 
101-410, October 5, 1990, 104 Stat. 890 (28 U.S.C. 2461 note).''.

               TITLE VIII--COMMITTEE ON NATIONAL SECURITY

                    Subtitle A--Military Retired Pay

SEC. 8001. ELIMINATION OF DISPARITY BETWEEN EFFECTIVE DATES FOR 
              MILITARY AND CIVILIAN RETIREE COST-OF-LIVING ADJUSTMENTS 
              FOR FISCAL YEARS 1996, 1997, AND 1998.

    (a) Conformance With Schedule for Civil Service COLAs.--
Subparagraph (B) of section 1401a(b)(2) of title 10, United States 
Code, is amended--
            (1) by striking out ``through 1998'' the first place it 
        appears and all that follows through ``In the case of'' the 
        second place it appears and inserting in lieu thereof ``through 
        1996.--In the case of'';
            (2) by striking ``of 1994, 1995, 1996, or 1997'' and 
        inserting in lieu thereof ``of 1993, 1994, or 1995''; and
            (3) by striking out ``September'' and inserting in lieu 
        thereof ``March''.
    (b) Repeal of Prior Conditional Enactment.--Section 8114A(b) of 
Public Law 103-335 (108 Stat. 2648) is repealed.

                  Subtitle B--Naval Petroleum Reserves

SEC. 8011. SALE OF NAVAL PETROLEUM RESERVES.

    (a) Sale of Reserves Required.--Chapter 641 of title 10, United 
States Code, is amended by inserting after section 7421 the following 
new section:
``Sec. 7421a. Sale of naval petroleum reserves
    ``(a) Sale Required.--(1) Notwithstanding any other provision of 
this chapter, the Secretary shall sell all right, title, and interest 
of the United States in and to the lands owned or controlled by the 
United States inside the naval petroleum and oil shale reserves 
established by this chapter. In the case of Naval Petroleum Reserve 
Numbered 1, the lands to be sold shall include sections 16 and 36 of 
township 30 south, range 23 east, Mount Diablo Principal Meridian, 
California.
    ``(2) Not later than September 30, 1996, the Secretary shall enter 
into one or more contracts for the sale of all of the interest of the 
United States in the naval petroleum reserves.
    ``(b) Timing and Administration of Sale.--(1) Not later than 
January 1, 1996, the Secretary shall retain the services of five 
independent experts in the valuation of oil and gas fields to conduct 
separate assessments, in a manner consistent with commercial practices, 
of the fair market value of the interest of the United States in each 
naval petroleum reserve. In making their assessments for each naval 
petroleum reserve, the independent experts shall consider (among other 
factors) all equipment and facilities to be included in the sale, the 
net present value of the reserve, and the net present value of the 
anticipated revenue stream that the Secretary determines the Treasury 
would receive from the reserve if it were not sold, adjusted for any 
anticipated increases in tax revenues that would result if it were 
sold. The independent experts shall complete their assessments not 
later than June 1, 1996. In setting the minimum acceptable price for 
each naval petroleum reserve, the Secretary shall consider the average 
of the five assessments regarding the reserve or, if more advantageous 
to the Government, the average of three assessments after excluding the 
high and low assessments.
    ``(2) Not later than March 1, 1996, the Secretary shall retain the 
services of an investment banker to independently administer, in a 
manner consistent with commercial practices and in a manner that 
maximizes sale proceeds to the Government, the sale of the naval 
petroleum reserves under this section. The Secretary may enter into the 
contracts required under this paragraph and paragraph (1) on a 
noncompetitive basis.
    ``(3) Not later than June 1, 1996, the sales administrator selected 
under paragraph (2) shall complete a draft contract for the sale of 
each naval petroleum reserve, which shall accompany the invitation for 
bids and describe the terms and provisions of the sale of the interest 
of the United States in the reserve. Each draft contract shall identify 
all equipment and facilities to be included in the sales. Each draft 
contract, including the terms and provisions of the sale of the 
interest of the United States in the naval petroleum reserves, shall be 
subject to review and approval by the Secretary, the Secretary of the 
Treasury, and the Director of the Office of Management and Budget.
    ``(4) Not later than July 1, 1996, the Secretary shall publish an 
invitation for bids for the purchase of the naval petroleum reserves.
    ``(5) Not later than September 1, 1996, the Secretary shall accept 
the highest responsible offer for purchase of the interest of the 
United States in the naval petroleum reserves, or a particular reserve, 
that meets or exceeds the minimum acceptable price determined under 
paragraph (1). The Secretary may accept an offer for only a portion of 
a reserve so long as the entire reserve is still sold under this 
section at a price that meets or exceeds the minimum acceptable price.
    ``(c) Future Liabilities.--To effectuate the sale of the interest 
of the United States in a naval petroleum reserve, the Secretary may 
extend such indemnities and warranties as the Secretary considers 
reasonable and necessary to protect the purchaser from claims arising 
from the ownership in the reserve by the United States.
    ``(d) Special Rules Preparatory to Sale of Naval Petroleum Reserve 
Numbered 1.--(1) Not later than June 1, 1996, the Secretary shall 
finalize equity interests of the known oil and gas zones in Naval 
Petroleum Reserve Numbered 1 in the manner provided by this subsection.
    ``(2) The Secretary shall retain the services of an independent 
petroleum engineer, mutually acceptable to the equity owners, who shall 
prepare a recommendation on final equity figures. The Secretary may 
accept the recommendation of the independent petroleum engineer for 
final equity in each known oil and gas zone and establish final equity 
interest in the Naval Petroleum Reserve Numbered 1 in accordance with 
such recommendation, or the Secretary may use such other method to 
establish final equity interest in that reserve as the Secretary 
considers appropriate. The Secretary may enter into the contract 
required under this paragraph on a noncompetitive basis.
    ``(3) If, on the effective date of this section, there is an 
ongoing equity redetermination dispute between the equity owners under 
section 9(b) of the unit plan contract, such dispute shall be resolved 
in the manner provided in the unit plan contract not later than June 1, 
1996. Such resolution shall be considered final for all purposes under 
this section.
    ``(4) In this section, the term `unit plan contract' means the unit 
plan contract between equity owners of the lands within the boundaries 
of Naval Petroleum Reserve Numbered 1 (Elk Hills) entered into on June 
19, 1944.
    ``(e) Production Allocation Regarding Naval Petroleum Reserve 
Numbered 1.--(1) As part of the contract for purchase of Naval 
Petroleum Reserve Numbered 1, the purchaser of the interest of the 
United States in that reserve shall agree to make up to 25 percent of 
the purchaser's share of annual petroleum production from the purchased 
lands available for sale to small refiners, which do not have their own 
adequate sources of supply of petroleum, for processing or use only in 
their own refineries. None of the reserved production sold to small 
refiners may be resold in kind. The purchaser of that reserve may 
reduce the quantity of petroleum reserved under this subsection in the 
event of an insufficient number of qualified bids. The seller of this 
petroleum production has the right to refuse bids that are less than 
the prevailing market price of comparable oil.
    ``(2) The purchaser of Naval Petroleum Reserve Numbered 1 shall 
also agree to ensure that the terms of every sale of the purchaser's 
share of annual petroleum production from the purchased lands shall be 
so structured as to give full and equal opportunity for the acquisition 
of petroleum by all interested persons, including major and independent 
oil producers and refiners alike.
    ``(f) Maintaining Production Pending Sale of Naval Petroleum 
Reserve Numbered 1.--Until the sale of Naval Petroleum Reserve Numbered 
1 is completed under this section, the Secretary shall continue to 
produce that reserve at the maximum daily oil or gas rate from a 
reservoir, which will permit maximum economic development of the 
reservoir consistent with sound oil field engineering practices in 
accordance with section 3 of the unit plan contract. The definition of 
maximum efficient rate in section 7420(6) of this title shall not apply 
to Naval Petroleum Reserve Numbered 1.
    ``(g) Effect on Existing Contracts.--(1) In the case of any 
contract, in effect on the effective date of this section, for the 
purchase of production from any part of the United States' share of the 
naval petroleum reserves, the sale of the interest of the United States 
in the reserves shall be subject to the contract for a period of three 
months after the closing date of the sale or until termination of the 
contract, whichever occurs first. The term of any contract entered into 
after the effective date of this section for the purchase of such 
production shall not exceed the anticipated closing date for the sale 
of the reserve.
    ``(2) In the case of Naval Petroleum Reserve Numbered 1, the 
Secretary shall exercise the termination procedures provided in the 
contract between the United States and Bechtel Petroleum Operation, 
Inc., Contract Number DE-ACO1-85FE60520 so that the contract terminates 
not later than the date of closing of the sale of that reserve.
    ``(3) In the case of Naval Petroleum Reserve Numbered 1, the 
Secretary shall exercise the termination procedures provided in the 
unit plan contract so that the unit plan contract terminates not later 
than the date of closing of the sale of that reserve.
    ``(h) Offer of Settlement of State of California Claims Regarding 
Naval Petroleum Reserve Numbered 1.--(1) In connection with the sale of 
Naval Petroleum Reserve Numbered 1, the Secretary shall offer to settle 
all claims against the United States by the State of California and the 
Teachers' Retirement Fund of the State of California with respect to 
lands within that reserve, including sections 16 and 36 of township 30 
south, range 23 east, Mount Diablo Principal Meridian, California, or 
production or proceeds of sale from that reserve. Subject to paragraph 
(2), the Secretary shall offer in settlement of such claims--
            ``(A) a payment from funds provided for this purpose in 
        advance in appropriation Acts;
            ``(B) a grant of land pursuant to sections 2275 and 2276 of 
        the Revised Statutes of the United States (43 U.S.C. 851 and 
        852) so long as such land is not generating revenue for the 
        United States;
            ``(C) any other option that would not be inconsistent with 
        the Congressional Budget Act of 1974 (2 U.S.C. 621 et seq.); or
            ``(D) any combination of subparagraphs (A), (B), and (C).
    ``(2) The value of any payment, grant, or option (or combination 
thereof) offered as settlement under paragraph (1) may not exceed an 
amount equal to seven percent of the proceeds from the sale of Naval 
Petroleum Reserve Numbered 1, after deducting the costs incurred to 
conduct the sale of that reserve.
    ``(3) Acceptance of the settlement offered under paragraph (1) 
shall be subject to the condition that all claims against the United 
States by the State of California or the Teachers' Retirement Fund of 
the State of California are released with respect to lands within the 
Naval Petroleum Reserve Numbered 1, including sections 16 and 36 of 
township 30 south, range 23 east, Mount Diablo Principal Meridian, 
California, or production or proceeds of sale from that reserve. The 
Secretary may specify the manner in which the release of such claims 
shall be evidenced.
    ``(i) Effect on Antitrust Laws.--Nothing in this section shall be 
construed to alter the application of the antitrust laws of the United 
States to the purchaser of a naval petroleum reserve or to the lands in 
the naval petroleum reserves subject to sale under this section upon 
the completion of the sale.
    ``(j) Preservation of Private Right, Title, and Interest.--Nothing 
in this section shall be construed to adversely affect the ownership 
interest of any other entity having any right, title, and interest in 
and to lands within the boundaries of the naval petroleum reserves.
    ``(k) Congressional Notification.--Section 7431 of this title shall 
not apply to the sale of the naval petroleum reserves under this 
section. However, the Secretary may not enter into a contract for the 
sale of a naval petroleum reserve until the end of the 15-day period 
beginning on the date on which the Secretary notifies the Committee on 
Armed Services of the Senate and the Committee on National Security and 
the Committee on Commerce of the House of Representatives that the 
Secretary has accepted an offer under subsection (b)(5) for the sale of 
that reserve.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
7421 the following new item:

``7421a. Sale of naval petroleum reserves.''.

                 Subtitle C--National Defense Stockpile

SEC. 8021. DISPOSAL OF CERTAIN MATERIALS IN NATIONAL DEFENSE STOCKPILE 
              FOR DEFICIT REDUCTION.

    (a) Disposals Required.--(1) During fiscal year 1996, the President 
shall dispose of all cobalt contained in the National Defense Stockpile 
that, as of the date of the enactment of this Act, is authorized for 
disposal under any law (other than this Act).
    (2) In addition to the disposal of cobalt under paragraph (1), the 
President shall dispose of additional quantities of cobalt and 
quantities of aluminum, ferro columbium, germanium, palladium, 
platinum, and rubber contained in the National Defense Stockpile so as 
to result in receipts to the United States in amounts equal to--
            (A) $21,000,000 during the fiscal year ending September 30, 
        1996;
            (B) $338,000,000 during the five-fiscal year period ending 
        on September 30, 2000; and
            (C) $649,000,000 during the seven-fiscal year period ending 
        on September 30, 2002.
    (3) The President is not required to include the disposal of the 
materials identified in paragraph (2) in an annual materials plan for 
the National Defense Stockpile. Disposals made under this section may 
be made without consideration of the requirements of an annual 
materials plan.
    (b) Limitation on Disposal Quantity.--The total quantities of 
materials authorized for disposal by the President under subsection 
(a)(2) may not exceed the amounts set forth in the following table:



                     Authorized Stockpile Disposals                     
------------------------------------------------------------------------
   Material for disposal                              Quantity          
------------------------------------------------------------------------
Aluminum..................................  62,881 short tons           
Cobalt....................................  42,482,323 pounds contained 
Ferro Columbium...........................  930,911 pounds contained    
Germanium.................................  68,207 kilograms            
Palladium.................................  1,264,601 troy ounces       
Platinum..................................  452,641 troy ounces         
Rubber....................................  125,138 long tons           
------------------------------------------------------------------------

    (c) Deposit of Receipts.--Notwithstanding section 9 of the 
Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h), 
funds received as a result of the disposal of materials under 
subsection (a)(2) shall be deposited into the general fund of the 
Treasury for the purpose of deficit reduction.
    (d) Relationship to Other Disposal Authority.--The disposal 
authority provided in subsection (a)(2) is new disposal authority and 
is in addition to, and shall not affect, any other disposal authority 
provided by law regarding the materials specified in such subsection.
    (e) Termination of Disposal Authority.--The President may not use 
the disposal authority provided in subsection (a)(2) after the date on 
which the total amount of receipts specified in subparagraph (C) of 
such subsection is achieved.
    (f) Definition.--The term ``National Defense Stockpile'' means the 
National Defense Stockpile provided for in section 4 of the Strategic 
and Critical Materials Stock Piling Act (50 U.S.C. 98c).

                    TITLE IX--COMMITTEE ON RESOURCES

SEC. 9000. TABLE OF CONTENTS.

    The table of contents for this title is as follows:

                    TITLE IX--COMMITTEE ON RESOURCES

Sec. 9000. Table of contents.
              Subtitle A--Alaska and Helium Privatization

                             Part 1--Alaska

Sec. 9001. Exports of Alaskan North Slope oil.
Sec. 9002. Arctic Coastal Plain leasing and revenue.
Sec. 9003. Alaska Power Administration sale.
                      Part 2--Helium Privatization

Sec. 9011. Short title.
Sec. 9012. Amendment of Helium Act.
Sec. 9013. Authority of Secretary.
Sec. 9014. Sale of crude helium.
Sec. 9015. Elimination of stockpile.
Sec. 9016. Repeal of authority to borrow.
Sec. 9017. Reports.
Sec. 9018. Land conveyance in Potter County, Texas.
                      Subtitle B--Water and Power

                Part 1--Power Marketing Administrations

Sec. 9201. Short title.
Sec. 9202. Evaluation of sales of Southeastern, Southwestern, and 
                            Western Area Power Administration 
                            facilities.
Sec. 9203. Bonneville Power Administration appropriations refinancing.
                          Part 2--Reclamation

Sec. 9211. Prepayment of certain repayment contracts between the United 
                            States and the Central Utah Water 
                            Conservancy District.
Sec. 9212. Treatment of city of Folsom as a Central Valley Project 
                            contractor.
Sec. 9213. Sly Park.
Sec. 9214. Hetch Hetchy Dam.
         Subtitle C--National Parks, Forests, and Public Lands

                       Part 1--Concession Reform

Sec. 9301. Short title.
Sec. 9302. Purpose.
Sec. 9303. Definitions.
Sec. 9304. Nature and types of concession authorizations.
Sec. 9305. Competitive selection process for concession service 
                            agreements.
Sec. 9306. Concessioner evaluations.
Sec. 9307. Capital improvements.
Sec. 9308. Duration of concession authorization.
Sec. 9309. Rates and charges to the public.
Sec. 9310. Transferability of concession authorizations.
Sec. 9311. Fees charged by the United States for concession 
                            authorizations.
Sec. 9312. Disposition of fees.
Sec. 9313. Dispute resolution.
Sec. 9314. Recordkeeping.
Sec. 9315. Application of general governmental acquisition 
                            requirements.
Sec. 9316. Rules of construction.
Sec. 9317. Regulations.
Sec. 9318. Relationship to other existing laws.
                   Part 2--National Forest Ski Areas

Sec. 9321. Privatization of Forest Service ski areas.
Sec. 9322. Ski area permit fees and withdrawal of ski areas from 
                            operation of mining laws.
                   Part 3--Domestic Livestock Grazing

Sec. 9331. Applicable regulations.
Sec. 9332. Fees and charges.
Sec. 9333. Animal unit month.
Sec. 9334. Term of grazing permits or grazing leases.
Sec. 9335. Conformance with land use plan.
Sec. 9336. Effective date.
     Part 4--Regional Disposal Facility of Southwestern Low Level 
                   Radioactive Waste Disposal Compact

Sec. 9341. Conveyance of property.
Sec. 9342. Conveyance of easements.
                        Subtitle D--Territories

          Part 1--Commonwealth of the Northern Mariana Islands

Sec. 9401. Termination of annual direct grant assistance.
            Part 2--Territorial Administrative Cessation Act

Sec. 9421. Short title.
Sec. 9422. Congressional findings.
Sec. 9423. Elimination of Office of Territorial and International 
                            Affairs.
Sec. 9424. Certain activities not funded.
                          Subtitle E--Minerals

                        Part 1--Hardrock Mining

Sec. 9501. Findings and purpose.
Sec. 9502. Patents under the general mining law.
Sec. 9503. Royalty under the general mining law.
Sec. 9504. Mineral materials.
Sec. 9505. Claim maintenance requirements.
                 Part 2--Federal Oil and Gas Royalties

Sec. 9511. Short title.
Sec. 9512. Definitions.
Sec. 9513. Limitation periods.
Sec. 9514. Adjustment and refunds.
Sec. 9515. Required recordkeeping.
Sec. 9516. Royalty interest, penalties, and payments.
Sec. 9517. Limitation on assessments.
Sec. 9518. Alternatives for marginal properties.
Sec. 9519. Royalty in kind.
Sec. 9520. Royalty simplification and cost-effective audit and 
                            collection requirements.
Sec. 9521. Repeals.
Sec. 9522. Delegation to States.
Sec. 9523. Performance standard.
Sec. 9524. Indian lands.
Sec. 9525. Private lands.
Sec. 9526. Effective date.
                       Subtitle F--Indian Gaming

Sec. 9601. Indian gaming.
                        Subtitle G--Consultation

Sec. 9701. Consultation.
                          Subtitle H--Mapping

Sec. 9801. Short title.
Sec. 9802. Surveying and mapping contracting program.
Sec. 9803. Inventory of activities.
Sec. 9804. Plan to increase use of contracts.
Sec. 9805. Reports.
Sec. 9806. Definitions.

              Subtitle A--Alaska and Helium Privatization

                             PART 1--ALASKA

SEC. 9001. EXPORTS OF ALASKAN NORTH SLOPE OIL.

    (a) Amendment of Mineral Leasing Act.--Section 28(s) of the Mineral 
Leasing Act (30 U.S.C. 185(s)) is amended to read as follows:

                  ``exports of alaskan north slope oil

    ``(s)(1) Subject to paragraphs (2) through (6) of this subsection 
and notwithstanding any other provision of this Act or any other 
provision of law (including any regulation) applicable to the export of 
oil transported by pipeline over right-of-way granted pursuant to 
section 203 of the Trans-Alaska Pipeline Authorization Act (43 U.S.C. 
1652), such oil may be exported unless the President finds that 
exportation of this oil is not in the national interest. The President 
shall make his national interest determination within 5 months after 
the date of enactment of this subsection. In evaluating whether exports 
of this oil are in the national interest, the President shall at a 
minimum consider--
            ``(A) whether exports of this oil would diminish the total 
        quantity or quality of petroleum available to the United 
        States;
            ``(B) the results of an appropriate environmental review, 
        including consideration of appropriate measures to mitigate any 
        potential adverse effects of exports of this oil on the 
        environment, which shall be completed within four months of the 
        date of the enactment of this subsection; and
            ``(C) whether exports of this oil are likely to cause 
        sustained material oil supply shortages or sustained oil prices 
        significantly above world market levels that would cause 
        sustained material adverse employment effects in the United 
        States or that would cause substantial harm to consumers, 
        including in noncontiguous States and Pacific territories.
If the President determines that exports of this oil are in the 
national interest, he may impose such terms and conditions (other than 
a volume limitation) as are necessary or appropriate to ensure that 
such exports are consistent with the national interest.
    ``(2) Except in the case of oil exported to a country with which 
the United States entered into a bilateral international oil supply 
agreement before November 26, 1979, or to a country pursuant to the 
International Emergency Oil Sharing Plan of the International Energy 
Agency, any oil transported by pipeline over right-of-way granted 
pursuant to section 203 of the Trans-Alaska Pipeline Authorization Act 
(43 U.S.C. 1652) shall, when exported, be transported by a vessel 
documented under the laws of the United States and owned by a citizen 
of the United States (as determined in accordance with section 2 of the 
Shipping Act, 1916 (46 U.S.C. App. 802)).
    ``(3) Nothing in this subsection shall restrict the authority of 
the President under the Constitution, the International Emergency 
Economic Powers Act (50 U.S.C. 1701 et seq.), or the National 
Emergencies Act (50 U.S.C. 1601 et seq.) to prohibit exports of this 
oil or under Part B of title II of the Energy Policy and Conservation 
Act (42 U.S.C. 6271-76).
    ``(4) The Secretary of Commerce shall issue any rules necessary for 
implementation of the President's national interest determination, 
including any licensing requirements and conditions, within 30 days of 
the date of such determination by the President. The Secretary of 
Commerce shall consult with the Secretary of Energy in administering 
the provisions of this subsection.
    ``(5) If the Secretary of Commerce finds that exporting oil under 
authority of this subsection has caused sustained material oil supply 
shortages or sustained oil prices significantly above world market 
levels and further finds that these supply shortages or price increases 
have caused or are likely to cause sustained material adverse 
employment effects in the United States, the Secretary of Commerce, in 
consultation with the Secretary of Energy, shall recommend, and the 
President may take, appropriate action concerning exports of this oil, 
which may include modifying or revoking authority to export such oil.
    ``(6) Administrative action under this subsection is not subject to 
sections 551 and 553 through 559 of title 5, United States Code.''.
    (b) GAO Report.--
            (1) Review.--The Comptroller General of the United States 
        shall conduct a review of energy production in California and 
        Alaska and the effects of Alaskan North Slope oil exports, if 
        any, on consumers, independent refiners, and shipbuilding and 
        ship repair yards on the West Coast and in Hawaii. The 
        Comptroller General shall commence this review 2 years after 
        the date of enactment of this Act and, within 6 months after 
        commencing the review, shall provide a report to the Committee 
        on Resources and the Committee on Commerce of the House of 
        Representatives and the Committee on Energy and Natural 
        Resources of the Senate.
            (2) Contents of report.--The report shall contain a 
        statement of the principal findings of the review and 
        recommendations for Congress and the President to address job 
        loss in the shipbuilding and ship repair industry on the West 
        Coast, as well as adverse impacts on consumers and refiners on 
        the West Coast and in Hawaii, that the Comptroller General 
        attributes to Alaska North Slope oil exports.

SEC. 9002. ARCTIC COASTAL PLAIN LEASING AND REVENUE.

    (a) Purpose.--It is the purpose of this section to reduce the 
Federal deficit by an estimated $1,300,000,000 over the next 5 years. 
This revenue will be derived from competitive bonus bids for oil and 
gas leases in the Coastal Plain area of Alaska's North Slope.
    (b) Definitions.--For the purposes of this section:
            (1) The term ``Secretary'' means the Secretary of the 
        Interior.
            (2) The term ``Coastal Plain'' means that portion of the 
        Arctic National Wildlife Refuge identified in section 
        1002(b)(1) of the Alaska National Interest Lands Conservation 
        Act of 1980 (Public Law 96-487; 16 U.S.C. 3142(b)(1)) 
        consisting of approximately 1,549,000 acres.
    (c) Compatibility.--Congress hereby determines that the oil and gas 
leasing program and activities authorized by this section in the 
Coastal Plain are compatible with the purposes for which the Arctic 
National Wildlife Refuge was established, and that no further findings 
or decisions are required to implement this determination.
    (d) Authorization.--(1) Congress hereby authorizes and directs the 
Secretary to establish and promptly implement a program to assure the 
expeditious competitive leasing exploration, development, production, 
and transportation of the oil and gas resources of the Coastal Plain. 
Regulations to implement this program and to govern oil and gas 
leasing, exploration, development and production shall be promulgated 
by the Secretary within 6 months of the date of enactment of this 
section.
    (2) The Coastal Plain leasing program required by paragraph (1) 
shall include the following:
            (A) The first lease sale of not less than 200,000 acres 
        shall be conducted within 12 months of the date of enactment of 
        this section.
            (B) The lease sales shall be based upon an industry 
        nomination process.
            (C) The Secretary is directed to grant to the highest 
        responsible qualified bidder or bidders by competitive bidding, 
        under regulations promulgated in advance, any oil and gas lease 
        on unleased Federal lands within the Coastal Plain. These 
        regulations may provide for the deposit of cash bids in an 
        interest-bearing account until the Secretary accepts the bids, 
        with interest earned paid to the General Treasury for bids that 
        are accepted, and to the unsuccessful bidders for bids that are 
        rejected.
            (D) Royalty payments shall not be less than 12\1/2\ 
        percent, and rental payments shall be prescribed by the 
        Secretary.
            (E) The Attorney General of the United States and the 
        Federal Trade Commission may conduct such review of lease terms 
        and lease sale activities as are necessary to ensure compliance 
        with the antitrust laws.
            (F) The size of lease tracts may be up to 11,520 acres but 
        not less than 2,560 acres, as determined by the Secretary, 
        except that the Secretary may lease smaller tracts if he 
        determines smaller tracts are necessary to promote a more 
        competitive leasing program or are necessary in certain 
        locations to mitigate reasonably foreseeable impacts on the 
        environment.
            (G) Each lease shall be issued for an initial period of up 
        to 10 years and shall be extended as long as oil or gas is 
        produced in paying quantities from the lease or unit area to 
        which the lease is committed or as drilling or reworking 
        operations as approved by the Secretary are conducted thereon.
            (H) The Secretary is authorized and directed to promulgate 
        regulations and to include terms in leases to ensure that--
                    (i) activities are conducted pursuant to an 
                approved exploration or development plan;
                    (ii) lessees secure an appropriate performance bond 
                to cover activities;
                    (iii) provision is made for the suspension, 
                cancellation, assignment, relinquishment and 
                unitization of leases; and
                    (iv) the Secretary has access to lease information 
                and that confidential, privileged or proprietary 
                information furnished by lessees is adequately 
                protected.
    (e) Judicial Review.--Any complaint filed seeking judicial review 
of an action of the Secretary in promulgating any regulation under this 
section may be filed only in the United States Court of Appeals for the 
District of Columbia, and such complaint shall be filed within 90 days 
from the date of such promulgation, or after such date if such 
complaint is based solely on grounds arising after such 90th day, in 
which case the complaint must be filed within 90 days after the 
complainant knew or reasonably should have known of the grounds for the 
complaint. Any complaint seeking judicial review of any other actions 
of the Secretary under this section may be filed in any appropriate 
district court of the United States, and such complaint must be filed 
within 90 days from the date of the action being challenged, or after 
such date if such complaint is based solely on grounds arising after 
such 90th day, in which case the complaint must be filed within 90 days 
after the complainant knew or reasonably should have known of the 
grounds for the complaint.
    (f) Administration.--(1) Section 1003 of the Alaska National 
Interest Lands Conservation Act of 1980 (94 Stat. 2452; 16 U.S.C. 3143) 
is repealed.
    (2) This section shall be considered the primary land management 
authorization for all activities associated with exploration, 
development, and production from the Coastal Plain. No land management 
review, determination, or other action shall be required except as 
specifically authorized by this section.
    (g) Protection of Fish and Wildlife Resources and Other 
Environmental Values.--(1) Before conducting a competitive oil and gas 
lease sale under this section, the Secretary shall promulgate, within 6 
months, as provided in subsection (d)(1), such rules and regulations as 
are necessary to ensure that oil and gas exploration, development, 
production, and transportation activities undertaken in the Coastal 
Plain achieve the reasonable protection of the fish and wildlife 
resources, environment and subsistence uses of the Coastal Plain.
    (2) The Secretary shall administer the provisions of this section 
through regulations and lease terms that the Secretary determines to be 
necessary to mitigate reasonably foreseeable and significantly adverse 
effects on the fish and wildlife, surface resources and subsistence 
resources of the Coastal Plain.
    (3)(A) The Secretary, after consultation with the State of Alaska, 
the city of Kaktovik, Alaska, and the North Slope Borough, is 
authorized to close to leasing and designate up to 30,000 acres of the 
Coastal Plain as Special Areas if the Secretary determines that these 
lands are of such unique character and interest so as to require 
special management and regulatory protection. The Secretary shall 
notify the Committee on Energy and Natural Resources of the Senate and 
the Committee on Resources of the House of Representatives 90 days in 
advance of making such designations. The Secretary may permit leasing 
of all or portions of any lands within the Coastal Plain designated as 
Special Areas by setting lease terms that limit or condition surface 
use and occupancy by lessees of such lands but permit the use of 
horizontal drilling technology from sites on leases located outside the 
designated Special Areas.
    (B) Notwithstanding any other provision of law or any international 
agreement to which the United States is a party, the Secretary's sole 
authority to close lands within the Coastal Plain to oil and gas 
leasing and to exploration, development, and production as provided for 
in this part is set forth in subparagraph (A).
    (4) The Secretary shall, in consultation with the State of Alaska, 
the city of Kaktovik, Alaska, and the North Slope Borough, develop 
guidelines to encourage the siting of facilities having common use 
characteristics (service bases, ports and docks, airports, major 
pipelines and roads) in a manner which leads to facility consolidation, 
avoids unnecessary duplication, utilizes existing facilities, minimizes 
impacts on fish, wildlife, habitat and the subsistence activities of 
residents of Native communities, and avoids disruption of the lives of 
the residents of the Village of Kaktovik and other communities.
    (5) Notwithstanding title XI of the Alaska National Interest Lands 
Conservation Act of 1980 (94 Stat. 2457; 16 U.S.C. 3161 et seq.), the 
Secretary is authorized and directed to grant, under sections 28(a) 
through (t) and (v) through (y) of the Mineral Leasing Act (30 U.S.C. 
185), rights-of-way and easements across the Coastal Plain for the 
purposes of this section, for pipeline construction, and the 
transportation of oil and gas and related purposes.
    (6) The Secretary is authorized to close, on a seasonal basis, 
portions of the Coastal Plain to exploratory drilling activities as 
necessary to protect caribou calving areas and other species of fish 
and wildlife.
    (h) Application of Environmental Laws.--The ``Final Legislative 
Environmental Impact Statement'' (April 1987) prepared pursuant to 
section 1002 of the Alaska National Interest Lands Conservation Act of 
1980 (94 Stat. 2449; 16 U.S.C. 3142) and section 102(2)(C) of the 
National Environmental Policy Act of 1969 (89 Stat. 424; 42 U.S.C. 
4332(2)(C)) is hereby determined to be adequate and legally sufficient 
for all actions authorized pursuant to this section, including all 
phases of oil and gas leasing, exploration, development, production, 
transportation and related activities, including the granting of 
rights-of-way, use permits and other authorizations.
    (i) New Revenues.--(1) Notwithstanding any other provision of law, 
all revenues received from competitive bids, sales, bonuses, royalties, 
rents, fees, interest or other income derived from the leasing of oil 
and gas resources within the Coastal Plain shall be deposited into the 
Treasury of the United States: Provided, That 50 percent of all such 
Coastal Plain revenues shall be paid by the Secretary of the Treasury 
semiannually, on March 30th and on September 30th of each year, to the 
State of Alaska.
    (2) On March 1st of each year following the date of enactment of 
this section, the Secretary shall prepare and submit to the Congress an 
annual report on the revenues derived and on the leasing program 
authorized by this section.
    (j) Conveyance.--Notwithstanding the provisions of section 
1302(h)(2) of the Alaska National Interest Lands Conservation Act (16 
U.S.C. 3192(h)(2)), the Secretary is authorized and directed to convey 
(1) to the Kaktovik Inupiat Corporation the surface estate of the lands 
described in paragraph 2 of Public Land Order 6959, to the extent 
necessary to fulfill the corporation's entitlement under section 12 of 
the Alaska Native Claims Settlement Act (43 U.S.C. 1611), and (2) to 
the Arctic Slope Regional Corporation the subsurface estate beneath 
such surface estate pursuant to the August 9, 1983, agreement between 
the Arctic Slope Regional Corporation and the United States of America.
    (k) Penalty.--Any person, including any Federal official, who fails 
to comply with any provision or mandate of this section, a lease term, 
or a regulation promulgated under this section, after notice of such 
failure and expiration of a reasonable period for corrective action, 
shall be liable, after hearing, for a civil penalty of not more than 
$10,000 for each day of the continuance of such failure.
    (l) Community Assistance.--There is hereby established a Community 
Assistance Fund in the Treasury which shall be maintained at a level of 
$5,000,000 annually from the Federal share of Coastal Plain revenues 
and shall be available to the Secretary for the purposes of this 
section. Organized boroughs, other municipal subdivisions of the State 
of Alaska, and recognized Indian Reorganization Act entities which are 
impacted by activities authorized under this section shall be eligible, 
on application to the Secretary, for local assistance from the 
Community Assistance Fund for needed social services and to provide 
public services and facilities required in connection with supporting 
exploration and development of the Coastal Plain.
    (m) Employment and Contracting.--As a condition of any leases, 
permits, or other Federal authorizations granted or issued pursuant to 
this section, a recipient of those leases, permits, or authorizations 
shall be required to use its best efforts to assure that the lessee and 
its agents and contractors provide a fair share of employment and 
contracting for Alaska Natives and Alaska Native Corporations from 
throughout the State.
    (n) Use of ANWR Revenues.--
            (1) Establishment of endowment.--There is hereby 
        established in the general fund of the Treasury a separate 
        account which shall be known as the National Endowment for Fish 
        and Wildlife.
            (2) Contents.--(A) Except as provided in subparagraph (B), 
        the Endowment shall consist of revenues received from the 
        following sources:
                    (i) Gifts, devises, and bequests to the Endowment.
                    (ii) Amounts appropriated by the Congress to the 
                Endowment.
                    (iii) Any revenues deposited into the Treasury of 
                the United States under subsection (i), from the 
                Federal share of revenues derived from oil and gas 
                leasing within the Coastal Plain, that exceed 
                $1,300,000,000.
            (B) After the Endowment has reached a level of $250,000,000 
        in principal, further payments to the Endowment shall consist 
        only of the following:
                    (i) Gifts, devises, and bequests to the Endowment.
                    (ii) Amounts appropriated by the Congress to the 
                Endowment.
                    (iii) 5 percent of the Federal royalties derived 
                from commercial production of oil and gas on Federal 
                leases on the Coastal Plain.
            (3) Establishment of fish and wildlife conservation 
        commission.--(A) To carry out the purposes of this subsection, 
        there is hereby established a commission to be known as the 
        Fish and Wildlife Conservation Commission.
            (B) The Commission shall consist of--
                    (i) the Secretary of the Interior, who shall be the 
                chairman,
                    (ii) 3 Members of the Senate selected by the 
                President of the Senate, and
                    (iii) 3 Members of the House of Representatives 
                selected by the Speaker.
            (C) At least 1 member of the Commission selected from each 
        House of Congress shall be a member of the minority party in 
        that House.
            (D) Any Member of the House of Representatives who is a 
        member of the Commission, if reelected to the succeeding 
        Congress, may serve on the Commission notwithstanding the 
        expiration of a Congress.
            (E) Any vacancy on the Commission shall be filled in the 
        same manner as the original appointment.
            (4) Expenditures by commission.--(A) The Fish and Wildlife 
        Commission may make expenditures from the Endowment for the 
        following fish and wildlife conservation purposes:
                    (i) Acquisition of important habitat lands for 
                endangered species or threatened species from owners of 
                private property. Such lands may be acquired solely on 
                a willing seller basis and shall be managed by the 
                Secretary of the Interior for the conservation of such 
                species pursuant to the terms of section 5 of the 
                Endangered Species Act of 1973 (16 U.S.C. 1534).
                    (ii) Provision of funding for purposes authorized 
                under the Endangered Species Act of 1973.
                    (iii) Provision of funds to the North American 
                Wetlands Conservation Fund pursuant to the North 
                American Wetlands Conservation Act (16 U.S.C. 4401 et 
                seq.).
            (B) The amount expended under subparagraph (A)(iii) each 
        fiscal year shall equal or exceed 25 percent of the total 
        expenditures from the Endowment in that fiscal year.
            (C) The Secretary of the Interior may not recommend any 
        lands or interest in lands for purchase or other forms of 
        acquisition using funds made available under the terms of this 
        section unless the Secretary of the Interior--
                    (i) has determined that such lands are necessary 
                for the conservation of endangered species or other 
                fish and wildlife; and
                    (ii) has consulted with the county or other unit of 
                local government in which such lands are located and 
                with the Governor of the State concerned.
            (D) Land or an interest in land may not be acquired with 
        moneys from the Endowment unless--
                    (i) the acquisition thereof has been approved by 
                the Governor of the State in which the land is located; 
                and
                    (ii) the owner of the land or interest has offered 
                the land or interest for acquisition under this 
                subsection and consented to the acquisition.
            (5) Annual report.--The Commission shall, through its 
        chairman, annually report in detail to the Congress, by not 
        later than the first Monday in December, regarding the 
        operations of the Commission during the preceding fiscal year.
            (6) State law.--The jurisdiction of any State, both civil 
        and criminal, over persons upon areas acquired under this 
        subsection shall not be changed or otherwise affected by reason 
        of the acquisition and administration of the areas by the 
United States as endangered species habitat. Nothing in this subsection 
is intended to interfere with the operation of the game laws of the 
States.
            (7) Administration of areas acquired.--Areas of lands, 
        waters, or interest therein acquired or reserved pursuant to 
        this subsection shall, unless otherwise provided by law, be 
        administered by the Secretary of the Interior under rules and 
        regulations prescribed by the Secretary to conserve and protect 
        endangered species in accordance with the Endangered Species 
        Act of 1973, or to restore or develop adequate wildlife 
        habitat.
            (8) Definitions.--In this subsection:
                    (A) The term ``Commission'' means the Fish and 
                Wildlife Conservation Commission established by this 
                subsection.
                    (B) The term ``Endowment'' means the National 
                Endowment for Fish and Wildlife established by this 
                subsection.
            (9) Conforming amendment.--Section 7 of the North American 
        Wetlands Conservation Act of 1989 (16 U.S.C. 4406) is amended 
        by adding at the end the following:
    ``(e) Fish and Wildlife Commission Funding.--In addition to the 
amounts made available under subsections (a), (b), and (c) of this 
section, the Council may receive funds from the Fish and Wildlife 
Commission to carry out the purposes of this Act. Use of such funds 
shall not be subject to the cost allocation requirements of section 8 
of this Act.''.

SEC. 9003. ALASKA POWER ADMINISTRATION SALE.

    (a) Definitions.--For purposes of this section:
            (1) The term ``Eklutna assets'' means the Eklutna 
        Hydroelectric Project and related assets as described in 
        section 4 and Exhibit A of the Eklutna Purchase Agreement.
            (2) The term ``Eklutna Purchase Agreement'' means the 
        August 2, 1989, Eklutna Purchase Agreement between the Alaska 
        Power Administration of the Department of Energy and the 
        Eklutna Purchasers, together with any amendments thereto which 
        were adopted before the enactment of this section.
            (3) The term ``Eklutna Purchasers'' means the Municipality 
        of Anchorage doing business as Municipal Light and Power, the 
        Chugach Electric Association, Inc. and the Matanuska Electric 
        Association, Inc.
            (4) The term ``Secretary'' means the Secretary of Energy 
        except where otherwise specified.
            (5) The term ``Snettishan assets'' means the Snettisham 
        Hydroelectric Project and related assets as described in 
        section 4 and Exhibit A of the Snettisham Purchase Agreement.
            (6) The term ``Snettisham Purchase Agreement'' means the 
        February 10, 1989, Snettisham Purchase Agreement between the 
        Alaska Power Administration of the Department of Energy and the 
        Alaska Power Authority and its successors in interest, together 
        with any amendments thereto which were adopted before the 
        enactment of this section.
    (b) Sale of Snettisham and Eklunta Assets.--
            (1) Snettisham.--The Secretary is authorized and directed 
        to sell and transfer the Snettisham assets to the State of 
        Alaska in accordance with the terms of this section and the 
        Snettisham Purchase Agreement.
            (2) Eklutna.--The Secretary is authorized and directed to 
        sell and transfer the Eklutna assets to the Eklutna Purchasers 
        in accordance with the terms of this section and the Eklutna 
        Purchase Agreement.
            (3) Cooperation of other agencies.--Other departments, 
        agencies, and instrumentalities of the United States shall 
        cooperate with the Secretary in implementing the sales and 
        transfers under this section.
            (4) Authorization of appropriations; contributed funds.--
        (A) There are authorized to be appropriated such sums as may be 
        necessary to prepare, survey, or acquire Snettisham and Eklutna 
        assets for sale and transfer under this section. Such 
        preparations and acquisitions shall provide sufficient title in 
        the assets to ensure beneficial use, enjoyment, and occupancy 
        thereof to the purchasers.
            (B) Notwithstanding any other provision of law, the Alaska 
        Power Administration is authorized to receive, administer, and 
        expend such contributed funds as may be provided by the Eklutna 
        Purchasers or customers or the Snettisham Purchasers or 
        customers for the purposes of upgrading, improving, 
        maintaining, or administering Eklutna or Snettisham. Upon the 
        termination of the Alaska Power Administration required under 
        subsection (d), the Secretary of Energy shall administer and 
        expend any remaining balances of such contributed funds for the 
        purposes intended by the contributors.
            (C) The Secretary is directed to use up to $5,000,000 from 
        unobligated balances available to the Department of Energy to 
        fund any sale preparation costs for the sales under this 
        section, and shall provide an accounting of all sale 
        preparation costs to the Committee on Resources of the House of 
        Representatives and to the Committee on Energy and Natural 
        Resources of the Senate within 60 days after completion of the 
        sale.
    (c) General Provisions.--
            (1) Rights-of-way and other lands for the eklutna 
        project.--With respect to Eklutna lands described in Exhibit A 
        of the Eklutna Purchase Agreement:
                    (A) The Secretary of the Interior shall issue 
                rights-of-way to the Alaska Power Administration for 
                subsequent reassignment to the Eklutna Purchasers at no 
                cost to the Eklutna Purchasers.
                    (B) Such rights-of-way shall remain effective for a 
                period equal to the life of the Eklutna hydroelectric 
                project as extended by improvements, repairs, renewals, 
                or replacements.
                    (C) Such rights-of-way shall be sufficient for the 
                operation, maintenance, repair, and replacement of, and 
                access to, the facilities of the Eklutna hydroelectric 
                project located on military lands and lands managed by 
                the Bureau of Land Management, including land selected 
                by, but not yet conveyed to, the State of Alaska.
                    (D) If the Eklutna Purchasers subsequently sell or 
                transfer the Eklutna hydroelectric project to private 
                ownership, the Bureau of Land Management may assess 
                reasonable and customary fees for continued use of the 
                rights-of-way on lands managed by the Bureau of Land 
                Management and military lands in accordance with 
                applicable law.
                    (E) The Secretary shall transfer fee title to lands 
                at Anchorage Substation to the Eklutna Purchasers at no 
                additional cost if the Secretary of the Interior 
                determines that pending claims to and selections of 
                those lands are invalid or relinquished.
                    (F) With respect only to the Eklutna lands 
                identified in Exhibit A of the Eklutna Purchase 
                Agreement, the State of Alaska may select, and the 
                Secretary of the Interior shall convey, to the State, 
                improved lands under the selection entitlements in 
                section 6 of the Alaska Statehood Act (Public Law 85-
                508; 72 Stat. 339) and the North Anchorage Land 
                Agreement of January 31, 1983. The conveyance of such 
                lands is subject to the rights-of-way provided to the 
                Eklutna Purchasers under subparagraph (A).
            (2) Lands for the snettisham project.--With respect to the 
        Snettisham lands identified in Exhibit A of the Snettisham 
        Purchase Agreement, the State of Alaska may select, and the 
        Secretary of the Interior shall convey to the State, improved 
        lands under the selection entitlement in section 6 of the 
        Alaska Statehood Act (Public Law 85-508; 72 Stat. 339).
            (3) Effect on state selections.--Notwithstanding the 
        expiration of the right of the State of Alaska to make 
        selections under section 6 of the Alaska Statehood Act (Public 
        Law 85-508; 72 Stat. 339), the State of Alaska may select lands 
        authorized for selection under this section or any Purchase 
        Agreement incorporated into or ratified by this section. The 
        State shall complete such selections within one year after the 
        date of the enactment of this section. The Secretary of the 
        Interior shall convey lands selected by the State under this 
        section notwithstanding the limitation contained in section 
        6(b) of the Alaska Statehood Act (Public Law 85-508; 72 Stat. 
        339) regarding the occupancy, appropriation, or reservation of 
        selected lands. Nothing in this subsection shall be construed 
        to authorize the Secretary of the Interior to convey to the 
        State of Alaska a total acreage of selected lands in excess of 
        the total acreage which could be transferred to the State of 
        Alaska pursuant to the Alaska Statehood Act (Public Law 85-508; 
        72 Stat. 339), and other applicable law.
            (4) Repeal of act of august 9, 1955.--The Act of August 9, 
        1955 (69 Stat. 618), concerning water resources investigations 
        in Alaska, is repealed.
            (5) Treatment of asset sale.--The sales of assets under 
        this section shall not be considered a disposal of Federal 
        surplus property under the Federal Property and Administrative 
        Services Act of 1949 (40 U.S.C. 484) or the Surplus Property 
        Act of 1944 (50 U.S.C. App. 1622).
            (6) Application of certain laws.--(A) The Act of July 31, 
        1950 (64 Stat. 382), shall cease to apply on the date, as 
        determined by the Secretary, when all Eklutna assets have been 
        conveyed to the Eklutna Purchasers.
            (B) Section 204 of the Flood Control Act of 1962 (Public 
        Law 87-874; 76 Stat. 1193) shall cease to apply effective on 
        the date, as determined by the Secretary, when all Snettisham 
        assets have been conveyed to the State of Alaska.
    (d) Termination of Alaska Power Administration.--
            (1) Termination of alaska power administation.--Not later 
        than one year after both of the sales authorized in this 
        section have occurred, as measured by the Transaction Dates 
        stipulated in the Purchase Agreements, the Secretary shall--
                    (A) complete the business of, and close out, the 
                Alaska Power Administration;
                    (B) prepare and submit to Congress a report 
                documenting the sales; and
                    (C) return unobligated balances of funds 
                appropriated for the Alaska Power Administration to the 
                Treasury of the United States.
            (2) DOE organization act.--Section 302(a) of the Department 
        of Energy Organization Act (42 U.S.C. 7152(a)) is amended as 
        follows:
                    (A) In paragraph (1)--
                            (i) by striking out subparagraph (C); and
                            (ii) by redesignating subparagraphs (D), 
                        (E), and (F) as subparagraphs (C), (D), and (E) 
                        respectively.
                    (B) In paragraph (2), by striking out ``the 
                Bonneville Power Administration, and the Alaska Power 
                Administration'' and inserting in lieu thereof ``and 
                the Bonneville Power Administration''.
        The amendments made by this paragraph shall take effect on the 
        date on which the Secretary submits the report referred to in 
        subparagraph (B) of paragraph (1).
    (e) Proceeds.--The proceeds from the sale of Snettisham and Eklutna 
assets under this section shall be credited to miscellaneous receipts 
in the Treasury.
    (f) Section 147(d) of Internal Revenue Code.--For purposes of 
section 147(d) of the Internal Revenue Code of 1986, the ``first use'' 
of Snettisham shall be considered to occur pursuant to acquistion of 
the property by or on behalf of the State of Alaska.

                      PART 2--HELIUM PRIVATIZATION

SEC. 9011. SHORT TITLE.

    This part may be cited as the ``Helium Privatization Act of 1995''.

SEC. 9012. AMENDMENT OF HELIUM ACT.

    Except as otherwise expressly provided, whenever in this part 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 Helium Act (50 U.S.C. 
167 to 167n).

SEC. 9013. AUTHORITY OF SECRETARY.

    Sections 3, 4, and 5 are amended to read as follows:

``SEC. 3. AUTHORITY OF SECRETARY.

    ``(a) Extraction and Disposal of Helium on Federal Lands.--(1) The 
Secretary may enter into agreements with private parties for the 
recovery and disposal of helium on Federal lands upon such terms and 
conditions as he deems fair, reasonable and necessary. The Secretary 
may grant leasehold rights to any such helium. The Secretary may not 
enter into any agreement by which the Secretary sells such helium other 
than to a private party with whom the Secretary has an agreement for 
recovery and disposal of helium. Such agreements may be subject to such 
rules and regulations as may be prescribed by the Secretary.
    ``(2) Any agreement under this subsection shall be subject to the 
existing rights of any affected Federal oil and gas lessee. Each such 
agreement (and any extension or renewal thereof) shall contain such 
terms and conditions as deemed appropriate by the Secretary.
    ``(3) This subsection shall not in any manner affect or diminish 
the rights and obligations of the Secretary and private parties under 
agreements to dispose of helium produced from Federal lands in 
existence at the enactment of the Helium Privatization Act of 1995 
except to the extent that such agreements are renewed or extended after 
such date.
    ``(b) Storage, Transportation, and Sale.--The Secretary is 
authorized to store, transport, and sell helium only in accordance with 
this Act.
    ``(c) Monitoring and Reporting.--The Secretary is authorized to 
monitor helium production and helium reserves in the United States and 
to periodically prepare reports regarding the amounts of helium 
produced and the quantity of crude helium in storage in the United 
States.

``SEC. 4. STORAGE, TRANSPORTATION, AND WITHDRAWAL OF CRUDE HELIUM.

    ``(a) Storage, Transportation, and Withdrawal.--The Secretary is 
authorized to store and transport crude helium and to maintain and 
operate existing crude helium storage at the Bureau of Mines Cliffside 
Field, together with related helium transportation and withdrawal 
facilities.
    ``(b) Cessation of Production, Refining, and Marketing.--Effective 
18 months after the date of enactment of the Helium Privatization Act 
of 1995, the Secretary shall cease producing, refining and marketing 
refined helium and shall cease carrying out all other activities 
relating to helium which the Secretary was authorized to carry out 
under this Act before the date of enactment of the Helium Privatization 
Act of 1995, except those activities described in subsection (a). The 
amount of helium reserves owned by the United States and stored in the 
Bureau of Mines Cliffside Field at such date of cessation, less 
600,000,000 cubic feet, shall be the helium reserves owned by the 
United States required to be sold pursuant to section 8(b) hereof.
    ``(c) Disposal of Facilities.--(1) Within two years after the date 
on which the Secretary ceases producing, refining and marketing refined 
helium and ceases all other activities relating to helium in accordance 
with subsection (b), the Secretary shall dispose of all facilities, 
equipment, and other real and personal property, together with all 
interests therein, held by the United States for the purpose of 
producing, refining and marketing refined helium. The disposal of such 
property shall be in accordance with the provisions of law governing 
the disposal of excess or surplus properties of the United States.
    ``(2) All proceeds accruing to the United States by reason of the 
sale or other disposal of such property shall be treated as moneys 
received under this chapter for purposes of section 6(f). All costs 
associated with such sale and disposal (including costs associated with 
termination of personnel) and with the cessation of activities under 
subsection (b) shall be paid from amounts available in the helium 
production fund established under section 6(f).
    ``(3) Paragraph (1) shall not apply to any facilities, equipment, 
or other real or personal property, or any interest therein, necessary 
for the storage and transportation of crude helium or any equipment 
needed to maintain the purity, quality control, and quality assurance 
of helium in the reserve.
    ``(d) Existing Contracts.--All contracts which were entered into by 
any person with the Secretary for the purchase by such person from the 
Secretary of refined helium and which are in effect on the date of the 
enactment of the Helium Privatization Act of 1995 shall remain in force 
and effect until the date on which the facilities referred to in 
subsection (c) are disposed of. Any costs associated with the 
termination of such contracts shall be paid from the helium production 
fund established under section 6(f).

``SEC. 5. FEES FOR STORAGE, TRANSPORTATION AND WITHDRAWAL.

    ``Whenever the Secretary provides helium storage, withdrawal, or 
transportation services to any person, the Secretary is authorized and 
directed to impose fees on such person to reimburse the Secretary for 
the full costs of providing such storage, transportation, and 
withdrawal. All such fees received by the Secretary shall be treated as 
moneys received under this Act for purposes of section 6(f).''.

SEC. 9014. SALE OF CRUDE HELIUM.

    Section 6 is amended as follows:
            (1) Subsection (a) is amended by striking out ``from the 
        Secretary'' and inserting ``from persons who have entered into 
        enforceable contracts to purchase an equivalent amount of crude 
        helium from the Secretary''.
            (2) Subsection (b) is amended by inserting ``crude'' before 
        ``helium'' and by adding the following at the end thereof: 
        ``Except as may be required by reason of subsection (a), the 
        Secretary shall not make sales of crude helium under this 
        section in such amounts as will disrupt the market price of 
        crude helium.''.
            (3) Subsection (c) is amended by inserting ``crude'' before 
        ``helium'' the first place it appears and by striking 
        ``together with interest as provided in subsection (d) of this 
        section'' and all that follows down through the period at the 
        end of such subsection and inserting the following:
``all funds required to be repaid to the United States as of October 1, 
1995, under this section (hereinafter referred to as `repayable 
amounts'). The price at which crude helium is sold by the Secretary 
shall not be less than the amount determined by the Secretary as 
follows:
            ``(1) Divide the outstanding amount of such repayable 
        amounts by the volume (in mcf) of crude helium owned by the 
        United States and stored in the Bureau of Mines Cliffside Field 
        at the time of the sale concerned.
            ``(2) Adjust the amount determined under paragraph (1) by 
        the Consumer Price Index for years beginning after December 31, 
        1995.''.
            (4) Subsection (d) is amended to read as follows:
    ``(d) Extraction of Helium From Deposits on Federal Lands.--All 
moneys received by the Secretary from the sale or disposition of helium 
on Federal lands shall be paid to the Treasury and credited against the 
amounts required to be repaid to the Treasury under subsection (c) of 
this section.''.
            (5) Subsection (e) is repealed.
            (6) Subsection (f) is amended by inserting ``(1)'' after 
        ``(f)'' and by adding the following at the end thereof:
    ``(2) Within 7 days after the commencement of each fiscal year 
after the disposal of the facilities referred to in section 4(c), all 
amounts in such fund in excess of $2,000,000 (or such lesser sum as the 
Secretary deems necessary to carry out this Act during such fiscal 
year) shall be paid to the Treasury and credited as provided in 
paragraph (1). Upon repayment of all amounts referred to in subsection 
(c), the fund established under this section shall be terminated and 
all moneys received under this Act shall be deposited in the Treasury 
as General Revenues.''.

SEC. 9015. ELIMINATION OF STOCKPILE.

    Section 8 is amended to read as follows:

``SEC. 8. ELIMINATION OF STOCKPILE.

    ``(a) Review of Reserves.--The Secretary shall review annually the 
known helium reserves in the United States and make a determination as 
to the expected life of the domestic helium reserves (other than 
Federally owned helium stored at the Cliffside Reservoir) at that time.
    ``(b) Stockpile Sales.--Not later than January 1, 2005, the 
Secretary shall commence offering for sale crude helium from helium 
reserves owned by the United States in such minimum annual amounts as 
would be necessary to dispose of all such helium reserves in excess of 
600,000,000 cubic feet (mcf) on a straight-line basis between such date 
and January 1, 2015: Provided, That the minimum price for all such 
sales, as determined by the Secretary in consultation with the helium 
industry, shall be such as will ensure repayment of the amounts 
required to be repaid to the Treasury under section 6(c), and provided 
further that the minimum annual sales requirement may be deferred only 
if, and to the extent that, the Secretary is unable to arrange sales at 
the minimum price. The sales shall be at such times during each year 
and in such lots as the Secretary determines, in consultation with the 
helium industry, are necessary to carry out this subsection with 
minimum market disruption.
    ``(c) Discovery of Additional Reserves.--The discovery of 
additional helium reserves shall not affect the duty of the Secretary 
to make sales of helium as provided in subsection (b), as the case may 
be.''.

SEC. 9016. REPEAL OF AUTHORITY TO BORROW.

    Sections 12 and 15 are repealed.

SEC. 9017. REPORTS.

    Section 16 is amended by redesignating existing section 16 as 
section 16(a) and inserting the following at the end thereof:
    ``(b)(1) The Inspector General of the Department of the Interior 
shall cause to be prepared, not later than March 31 following each 
fiscal year commencing with the date of enactment of the Helium 
Privatization Act of 1995, annual financial statements for the Helium 
Operations of the Bureau of Mines. The Director of the Bureau of Mines 
shall cooperate with the Inspector General in fulfilling this 
requirement, and shall provide him with such personnel and accounting 
assistance as may be necessary for that purpose. The financial 
statements shall be audited by the General Accounting Office, and a 
report on such audit shall be delivered by the General Accounting 
Office to the Secretary of the Interior and Congress, not later than 
June 30 following the end of the fiscal year for which they are 
prepared. The audit shall be prepared in accordance with generally 
accepted government auditing standards.
    ``(2) The financial statements shall be comprised of the following:
            ``(A) A balance sheet reflecting the overall financial 
        position of the Helium Operations, including assets and 
        liabilities thereof;
            ``(B) the Statement of Operations, reflecting the fiscal 
        period results of the Helium Operations;
            ``(C) a statement cash flows or changes in financial 
        position of the Helium Operations; and
            ``(D) a reconciliation of budget reports of the Helium 
        Operations.
    ``(3) The Statement of Operations shall include but not be limited 
to the revenues from, and costs of, sales of crude helium, the storage 
and transportation of crude helium, the production, refining and 
marketing of refined helium, and the maintenance and operation of 
helium storage facilities at the Bureau of Mines Cliffside Field. The 
term `revenues' for this purpose shall exclude (A) royalties paid to 
the United States for production of helium or other extraction of 
resources, except to the extent that the Helium Operations incur direct 
costs in connection therewith, and (B) proceeds from sales of assets 
other than inventory. The term `expenses' shall include, but not be 
limited to (i) all labor costs of the Bureau of Mines Helium 
Operations, and of the Department of the Interior in connection 
therewith, and (ii) for financial reporting purposes but not in 
connection with the determination of sales prices in section 6(c), all 
current-period interest on outstanding repayable amounts (as described 
in section 6(c)) calculated at the same rates as such interest was 
calculated prior to the enactment of the Helium Privatization Act of 
1995.
    ``(4) The balance sheet shall include, but not be limited to, on 
the asset side, the present discounted market value of crude helium 
reserves; and on the liability side, the accrued liability for 
principal and interest on debt to the United States. For financial 
reporting purposes but not in connection with the determination of 
sales prices in section 6(c), the balance sheet shall also include 
accrued but unpaid interest on outstanding repayable amounts (as 
described in section 6(c)) through the date of the report, calculated 
at the same rates as such interest was calculated prior to the 
enactment of the Helium Privatization Act of 1995.''.

SEC. 9018. LAND CONVEYANCE IN POTTER COUNTY, TEXAS.

    (a) In General.--The Secretary of the Interior shall transfer all 
right, title, and interest of the United States in and to the parcel of 
land described in subsection (b) to the Texas Plains Girl Scout Council 
for consideration of $1, reserving to the United States such easements 
as may be necessary for pipeline rights-of-way.
    (b) Land Description.--The parcel of land referred to in subsection 
(a) is all those certain lots, tracts or parcels of land lying and 
being situated in the County of Potter and State of Texas, and being 
the East Three Hundred Thirty-One (E331) acres out of Section Seventy-
eight (78) in Block Nine (9), B.S. & F. Survey, (sometimes known as the 
G. D. Landis pasture) Potter County, Texas, located by certificate No. 
1/39 and evidenced by letters patents Nos. 411 and 412 issued by the 
State of Texas under date of November 23, 1937, and of record in Vol. 
66A of the Patent Records of the State of Texas. The metes and bounds 
description of such lands is as follows:
            (1) First tract.--One Hundred Seventy-one (171) acres of 
        land known as the North part of the East part of said survey 
        Seventy-eight (78) aforesaid, described by metes and bounds as 
        follows:
                Beginning at a stone 20 x 12 x 3 inches marked X, set 
                by W. D. Twichell in 1905, for the Northeast corner of 
                this survey and the Northwest corner of Section 59;
                Thence, South 0 degrees 12 minutes East with the West 
                line of said Section 59, 999.4 varas to the Northeast 
                corner of the South 160 acres of East half of Section 
                78;
                Thence, North 89 degrees 47 minutes West with the North 
                line of the South 150 acres of the East half, 956.8 
                varas to a point in the East line of the West half 
                Section 78;
                Thence North 0 degrees 10 minutes West with the East 
                line of the West half 999.4 varas to a stone 18 x 14 x 
                3 inches in the middle of the South line of Section 79;
                Thence South 89 degrees 47 minutes East 965 varas to 
                the place of beginning.
            (2) Second tract.--One Hundred Sixty (160) acres of land 
        known as the South part of the East part of said survey No. 
        Seventy-eight (78) described by metes and bounds as follows:
                Beginning at the Southwest corner of Section 59, a 
                stone marked X and a pile of stones;
                Thence North 89 degrees 47 minutes West with the North 
                line of Section 77, 966.5 varas to the Southeast corner 
                of the West half of Section 78; Thence North 0 degrees 
                10 minutes West with the East line of the West half of 
                Section 78;
                Thence South 89 degrees 47 minutes East 965.8 varas to 
                a point in the East line of Section 78;
                Thence South 0 degrees 12 minutes East 934.6 varas to 
                the place of beginning.
        Containing an area of 331 acres, more or less.

                      Subtitle B--Water and Power

                PART 1--POWER MARKETING ADMINISTRATIONS

SEC. 9201. SHORT TITLE.

    This part may be cited as the ``Power Administration Act''.

SEC. 9202. EVALUATION OF SALES OF SOUTHEASTERN, SOUTHWESTERN, AND 
              WESTERN AREA POWER ADMINISTRATION FACILITIES.

    (a) Repeals.--The following provisions are repealed:
            (1) Section 505 of Public Law 102-377, the Fiscal Year 1993 
        Energy and Water Development Appropriations Act.
            (2) Section 208 of Public Law 99-349, the Urgent 
        Supplemental Appropriations Act, 1986.
            (3) Section 510 of Public Law 101-514, the Fiscal Year 1991 
        Energy and Water Development appropriations Act.
    (b) Evaluation of Issues.--(1) The Secretary of Energy, the 
Secretary of the Interior, and the Secretary of the Army shall enter 
into arrangements with an experienced private sector firm to serve as 
advisor to the Secretaries with respect to the sale of the facilities 
used to generate and transmit the electric power marketed by the 
Southeastern Power Administration, the Southwestern Power 
Administration and the Western Area Power Administration, including all 
transmission and related structures, equipment, facilities and all 
real, tangible and intangible property (including rights-of-way) which 
are used in connection with, and necessary for, the operation of such 
power generation and transmission facilities.
    (2) Prior to December 31, 1996, the advisor shall provide to the 
Secretaries and the Congress a report identifying all recipients of 
water and power from such facilities, all relevant contracts, debt 
obligations, equity interests, and other binding agreements which apply 
to the facilities concerned and to the sale of electric power from such 
facilities, all assets tangible or intangible, all applicable 
requirements relating to environmental mitigation, Indian trust 
responsibilities, land ownership or use rights relevant to the proposed 
transfers which could terminate based on a transfer out of Federal 
ownership, and navigational requirements which affect the operation of 
such facilities.
    (3) In conducting the evaluation, the Secretaries and the advisor 
should also recognize that many of the dams and reservoirs associated 
with the generation of electric power marketed by the Power Marketing 
Administrations are first and foremost water supply, flood control, or 
navigation projects. In general, power generation is incidental to 
these primary purposes. In addition, there are also secondary purposes 
such as recreation and environmental values which are served by these 
facilities as well as the power production. The evaluation should 
assume that such facilities will continue to be operated in a manner 
consistent with their current, primary purposes and the evaluation 
directed by this section shall not assume any changes in the other 
current operational objectives of the facilities.
    (4) Such evaluation shall also include an evaluation of the tax 
consequences, and the revenue impacts of such consequences for the 
United States, of possible arrangements for the sale of generation and 
transmission facilities to potential transferees identified by the 
advisor. The report shall also investigate alternative groupings of 
such generation and transmission facilities for purposes of sale in 
order to determine which groupings would be most desirable for purposes 
of effectuating such sales. Proposed transfers should be structured by 
watershed or by project unless the advisor can provide satisfactory 
information to the Secretaries that another alternative should be used. 
Asset groupings shall specifically be designed to avoid the sale of the 
most valuable assets while the Federal government would be forced to 
retain the less valuable assets.

SEC. 9203. BONNEVILLE POWER ADMINISTRATION APPROPRIATIONS REFINANCING.

    (a) Definitions.--For the purposes of this section:
            (1) The term ``Administrator'' means the Administrator of 
        the Bonneville Power Administration.
            (2) The term ``capital investment'' means a capitalized 
        cost funded by Federal appropriations that--
                    (A) is for a project, facility, or separable unit 
                or feature of a project or facility;
                    (B) is a cost for which the Administrator is 
                required by law to establish rates to repay to the 
                United States Treasury through the sale of electric 
                power, transmission, or other services;
                    (C) excludes a Federal irrigation investment; and
                    (D) excludes an investment financed by the current 
                revenues of the Administrator or by bonds issued and 
                sold, or authorized to be issued and sold, by the 
                Administrator under section 13 of the Federal Columbia 
                River Transmission System Act (16 U.S.C. 838(k)).
            (3) The term ``new capital investment'' means a capital 
        investment for a project, facility, or separable unit or 
        feature of a project or facility, placed in service after 
        September 30, 1995.
            (4) The term ``old capital investment'' means a capital 
        investment whose capitalized cost--
                    (A) was incurred, but not repaid, before October 1, 
                1995; and
                    (B) was for a project, facility, or separable unit 
                or feature of a project or facility, placed in service 
                before October 1, 1995.
            (5) The term ``repayment date'' means the end of the period 
        within which the Administrator's rates are to assure the 
        repayment of the principal amount of a capital investment.
            (6) The term ``Treasury rate'' means--
                    (A) for an old capital investment, a rate 
                determined by the Secretary of the Treasury, taking 
                into consideration prevailing market yields, during the 
                month preceding October 1, 1995, on outstanding 
                interest-bearing obligations of the United States with 
                periods to maturity comparable to the period between 
                October 1, 1995, and the repayment date for the old 
                capital investment; and
                    (B) for a new capital investment, a rate determined 
                by the Secretary of the Treasury, taking into 
                consideration prevailing market yields, during the 
                month preceding the beginning of the fiscal year in 
                which the related project, facility, or separable unit 
                or feature is placed in service, on outstanding 
interest-bearing obligations of the United States with periods to 
maturity comparable to the period between the beginning of the fiscal 
year and the repayment date for the new capital investment.
    (b) New Principal Amounts.--(1) Effective October 1, 1995, an old 
capital investment shall have a new principal amount that is the sum 
of--
            (A) the present value of the old payment amounts for the 
        old capital investment, calculated using a discount rate equal 
        to the Treasury rate for the old capital investment; and
            (B) an amount equal to $100,000,000 multiplied by a 
        fraction whose numerator is the principal amount of the old 
        payment amounts for the old capital investment and whose 
        denominator is the sum of the principal amounts of the old 
        payment amounts for all old capital investments.
    (2) With the approval of the Secretary of the Treasury based solely 
on consistency with this Act, the Administrator shall determine the new 
principal amounts under paragraph (1) and the assignment of interest 
rates to the new principal amounts under subsection (c).
    (3) For the purposes of this section, ``old payment amounts'' 
means, for an old capital investment, the annual interest and principal 
that the Administrator would have paid to the United States Treasury 
from October 1, 1995, if this section were not enacted, assuming that--
            (A) the principal were repaid--
                    (i) on the repayment date the Administrator 
                assigned before October 1, 1993, to the old capital 
                investment, or
                    (ii) with respect to an old capital investment for 
                which the Administrator has not assigned a repayment 
                date before October 1, 1993, on a repayment date the 
                Administrator shall assign to the old capital 
                investment in accordance with paragraph 10(d)(1) of the 
                version of Department of Energy Order RA 6120.2 in 
                effect on October 1, 1993; and
            (B) interest were paid--
                    (i) at the interest rate the Administrator assigned 
                before October 1, 1993, to the old capital investment, 
                or
                    (ii) with respect to an old capital investment for 
                which the Administrator has not assigned an interest 
                rate before October 1, 1993, at a rate determined by 
                the Secretary of the Treasury, taking into 
                consideration prevailing market yields, during the 
                month preceding the beginning of the fiscal year in 
                which the related project, facility, or separable unit 
                or feature is placed in service, on outstanding 
                interest-bearing obligations of the United States with 
                periods to maturity comparable to the period between 
                the beginning of the fiscal year and the repayment date 
                for the old capital investment.
    (c) Interest Rate for New Principal Amounts.--As of October 1, 
1995, the unpaid balance on the new principal amount established for an 
old capital investment under subsection (b) shall bear interest 
annually at the Treasury rate for the old capital investment until the 
earlier of the date that the new principal amount is repaid or the 
repayment date for the new principal amount.
    (d) Repayment Dates.--As of October 1, 1995, the repayment date for 
the new principal amount established for an old capital investment 
under subsection (b) shall be no earlier than the repayment date for 
the old capital investment assumed in subsection (b)(3)(A).
    (e) Prepayment Limitations.--During the period October 1, 1995, 
through September 30, 2000, the total new principal amounts of old 
capital investments, as established under subsection (b), that the 
Administrator may pay before their respective repayment dates shall not 
exceed $100,000,000.
    (f) Interest Rates for New Capital Investments During 
Construction.--(1) The principal amount of a new capital investment 
includes interest in each fiscal year of construction of the related 
project, facility, or separable unit or feature at a rate equal to the 
one-year rate for the fiscal year on the sum of--
            (A) construction expenditures that were made from the date 
        construction commenced through the end of the fiscal year, and
            (B) accrued interest during construction.
    (2) The Administrator shall not be required to pay, during 
construction of the project, facility, or separable unit or feature, 
the interest calculated, accrued, and capitalized under paragraph (1).
    (3) For the purposes of this subsection, ``one-year rate'' for a 
fiscal year means a rate determined by the Secretary of the Treasury, 
taking into consideration prevailing market yields, during the month 
preceding the beginning of the fiscal year, on outstanding interest-
bearing obligations of the United States with periods to maturity of 
approximately one year.
    (g) Interest Rates for New Capital Investments.--The unpaid balance 
on the principal amount of a new capital investment bears interest at 
the Treasury rate for the new capital investment from the date the 
related project, facility, or separable unit or feature is placed in 
service until the earlier of the date the new capital investment is 
repaid or the repayment date for the new capital investment.
    (h) Credits to Administrator's Payments to the United States 
Treasury.--The Confederated Tribe of the Colville Reservation Grand 
Coulee Dam Settlement Act (Public Law 103-436) is amended by striking 
section 6 and inserting the following:

``SEC. 6. CREDITS TO ADMINISTRATOR'S PAYMENTS TO THE UNITED STATES 
              TREASURY.

    ``(a) In General.--So long as the Adminisatrator makes annual 
payments to the tribes under the settlement agreement, the 
Administrator shall apply against amounts otherwise payable by the 
Administrator to the United States Treasury a credit that reduces the 
Administrator's payment in the amount and for each fiscal year as 
follows: $15,250,000 in fiscal year 1996; $15,860,000 in fiscal year 
1997; $16,490,000 in fiscal year 1998; $17,150,000 in fiscal year 1999; 
$17,840,000 in fiscal year 2000; and $4,100,000 in each succeeding 
fiscal year.
    ``(b) Definitions.--For the purposes of this section--
            ``(1) the term `settlement agreement' means that settlement 
        agreement between the United States of America and the 
        Confederated Tribes of the Colville Reservation signed by the 
        Tribes on April 16, 1994, and by the United States of America 
        on April 21, 1994, which settlement agreement resolves claims 
        of the Tribes in Docket 181-D of the Indian Claims Commission, 
        which docket has been transferred to the United States Court of 
        Federal Claims; and
            ``(2) the term `Tribes' means the Confederated Tribes of 
        the Colville Reservation, a Federally recognized Indian 
        Tribe.''.
    (i) Contract Provisions.--In each contract of the Administrator 
that provides for the Administrator to sell electric power, 
transmission, or related services, and that is in effect after 
September 30, 1995, the Administrator shall offer to include, or as the 
case may be, shall offer to amend to include, provisions specifying 
that after September 30, 1995--
            (1) the Administrator shall establish rates and charges on 
        the basis that--
                    (A) the principal amount of an old capital 
                investment shall be no greater than the new principal 
                amount established under subsection (b);
                    (B) the interest rate applicable to the unpaid 
                balance of the new principal amount of an old capital 
                investment shall be no greater than the interest rate 
                established under subsection (c);
                    (C) any payment of principal of an old capital 
                investment shall reduce the outstanding principal 
                balance of the old capital investment in the amount of 
                the payment at the time the payment is tendered; and
                    (D) any payment of interest on the unpaid balance 
                of the new principal amount of an old capital 
                investment shall be a credit against the appropriate 
                interest account in the amount of the payment at the 
                time the payment is tendered;
            (2) apart from charges necessary to repay the new principal 
        amount of an old capital investment as established under 
        subsection (b), and to pay the interest on the principal amount 
        under subsection (c), no amount may be charged for return to 
        the United States Treasury as repayment for or return on an old 
        capital investment, whether by way of rate, rent, lease 
        payment, assessment, user charge, or any other fee;
            (3) amounts provided under section 1304 of title 31, United 
        States Code, shall be available to pay, and shall be the sole 
        source for payment of, a judgment against or settlement by the 
        Administrator or the United States on a claim for a breach of 
        the contract provisions required by this Act; and
            (4) the contract provisions specified in this Act shall 
        not--
                    (A) preclude the Administrator from recovering, 
                through rates or other means, any tax that is generally 
                imposed on electric utilities in the United States, or
                    (B) affect the Administrator's authority under 
                applicable law, including section 7(g) of the Pacific 
                Northwest Electric Power Planning and Conservation Act 
                (16 U.S.C. 839e(g)), to--
                            (i) allocate costs and benefits, including 
                        but not limited to fish and wildlife costs, to 
                        rates or resources, or
                            (ii) design rates.
    (j) Savings Provisions.--(1) This section does not affect the 
obligation of the Administrator to repay the principal associated with 
each capital investment, and to pay interest on the principal, only 
from the ``Administrator's net proceeds,'' as defined in section 13 of 
the Federal Columbia River Transmission System Act (16 U.S.C. 838k(b)).
    (2) Except as provided in subsection (e) of this section, this 
section does not affect the authority of the Administrator to pay all 
or a portion of the principal amount associated with a capital 
investment before the repayment date for the principal amount.
    (k) DOE Study.--(1) The Administrator shall undertake a study to 
determine the effect that increases in the rates for electric power 
sales made by the Administrator may have on the customer base of the 
Bonneville Power Administration. Such study shall identify other 
sources of electric power that may be available to customers of the 
Bonneville Power Administration and shall estimate the level at which 
higher rates for power sales by the Administration may result in the 
loss of customers by the Administration.
    (2) The Administrator shall undertake a study to determine the 
total prior costs incurred by the Bonneville Power Administration for 
compliance with the provisions of the Endangered Species Act of 1973 
and the total future costs anticipated to be incurred by the 
Administration for compliance with such provisions.
    (3) The Administrator shall submit the results of the studies 
undertaken under this section to the Congress within 180 days after the 
date of the enactment of this Act.

                          PART 2--RECLAMATION

SEC. 9211. PREPAYMENT OF CERTAIN REPAYMENT CONTRACTS BETWEEN THE UNITED 
              STATES AND THE CENTRAL UTAH WATER CONSERVANCY DISTRICT.

    The second sentence of section 210 of the Central Utah Project 
Completion Act (106 Stat. 4624) is amended to read as follows: ``The 
Secretary of the Interior shall allow for prepayment of the repayment 
contract between the United States and the Central Utah Water 
Conservancy District dated December 28, 1965, and supplemented on 
November 26, 1985, providing for repayment of the municipal and 
industrial water delivery facilities for which repayment is provided 
pursuant to such contract, under such terms and conditions as the 
Secretary deems appropriate to protect the interest of the United 
States, which shall be similar to the terms and conditions contained in 
the supplemental contract that provided for the prepayment of the 
Jordan Aqueduct dated October 28, 1993. The District shall exercise its 
right to prepayment pursuant to this section by the end of fiscal year 
2002.''.

SEC. 9212. TREATMENT OF CITY OF FOLSOM AS A CENTRAL VALLEY PROJECT 
              CONTRACTOR.

    For the purposes of being considered eligible to be a transferee of 
Central Valley Project water to be used for municipal and industrial 
purposes, the city of Folsom, California, shall be treated as a Central 
Valley Project contractor as of November 1, 1990.

SEC. 9213. SLY PARK.

    (a) Short Title.--This section may be cited as the ``Sly Park Unit 
Conveyance Act''.
    (b) Definitions.--For purposes of this section:
            (1) The term ``El Dorado Irrigation District'' or 
        ``District'' means a political subdivision of the State of 
        California duly organized, existing, and acting pursuant to the 
        laws thereof with its principal place of business in the city 
        of Placerville, El Dorado County, California.
            (2) The term ``Secretary'' means the Secretary of the 
        Interior.
            (3) The term ``Sly Park Unit'' means the Sly Park Dam and 
        Reservoir, Camp Creek Diversion Dam and Tunnel and conduits and 
        canals as authorized under the American River Act of October 
        14, 1949 (63 Stat. 852), together with all other facilities 
        owned by the United States including those used to convey and 
        store water delivered from Sly Park, as well as all recreation 
        facilities associated thereto.
    (c) Sale of the Sly Park Unit.--
            (1) In general.--The Secretary shall, within one year after 
        the date of enactment of this Act, sell and convey to the El 
        Dorado Irrigation District the Sly Park Unit. Within such one-
        year period, the Secretary shall also transfer and assign the 
        water rights relating to the Sly Park Unit held in trust by the 
        Secretary for diversion and storage under California State 
        permits numbered 2631, 5645A, 10473, and 10474 to the El Dorado 
        Irrigation District.
            (2) Sale price.--The sale price shall not exceed--
                    (A) the construction costs ($30,926,230), as 
                included in the accounts of the Secretary, plus
                    (B) interest on the construction costs allocated to 
                domestic use, at the authorized rate included in 
                enactment of the Act of October 14, 1949 (63 Stat. 
                852), up to an agreed upon date, less
                    (C) all revenues to date as collected under the 
                terms of the contract between the United States and the 
                El Dorado Irrigation District, estimated at $9,146,885.
            (3) Terms of payment.--The Secretary shall provide for a 
        payment of the purchase price under paragraph (2) on terms not 
        to exceed 20 years. The interest rate to be paid by the 
        District shall be the authorized rate included in the Act of 
        October 14, 1949 (63 Stat. 852). Section 213(c) of the 
        Reclamation Reform Act of 1982 (43 U.S.C. 390mm(c)) shall not 
        apply to the purchase of the Sly Park Unit under this section.
            (4) Conveyance.--Upon signing the agreement to carry out 
        the sale required by this section, the Secretary shall convey 
        and assign to the El Dorado Irrigation District all right, 
        title, and interest of the United States in and to the Sly Park 
        Unit.
            (5) No additional environmental impact.--The Congress 
        specifically finds that (A) the sale, conveyance and assignment 
        of the Sly Park Unit and water rights under this section 
        involves the transfer of the ownership and operation of an 
        existing ongoing water project, (B) the Sly Park Unit 
        operation, facilities and water rights have been, and after the 
        sale and transfer will continue to be, committed to maximum 
        reasonable and beneficial use for existing services, and (C) 
        the sale, conveyance and assignment of the Sly Park Unit and 
        water rights does not involve any additional growth or 
        expansion of the project or other environmental impacts. 
        Consequently, the sale, conveyance and assignment of the Sly 
        Park Unit and water rights shall not be subject to 
        environmental review pursuant to the National Environmental 
        Policy Act of 1969 (42 U.S.C. 4332) or endangered species 
        review or consultation pursuant to section 7 of the Endangered 
        Species Act of 1973 (16 U.S.C. 1536).

SEC. 9214. HETCH HETCHY DAM.

    Section 7 of the Act of December 19, 1913 (38 Stat. 242), is 
amended--
            (1) by striking ``$30,000'' in the first sentence and 
        inserting ``$8,000,000'', and
            (2) by amending the second and third sentences to read as 
        follows: ``These funds shall be placed in a separate fund by 
        the United States and, notwithstanding any other provision of 
        law, shall not be available for obligation or expenditure until 
        appropriated by the Congress. The highest priority use of the 
        funds shall be for annual operation of Yosemite National Park, 
        with the remainder of any funds to be used to fund operations 
        of other national parks in the State of California.''.

         Subtitle C--National Parks, Forests, and Public Lands

                       PART 1--CONCESSION REFORM

SEC. 9301. SHORT TITLE.

    This part may be cited as the ``Visitor Facilities and Services 
Enhancement Act of 1995''.

SEC. 9302. PURPOSE.

    The purpose of this part is to ensure that quality visitor 
facilities and services are provided by the Federal land management 
agencies (Forest Service, United States Fish and Wildlife Service, 
National Park Service, Bureau of Land Management, Bureau of Reclamation 
and United States Army Corps of Engineers). Each Federal land 
management agency shall implement a program to encourage appropriate 
development and operation of services and facilities for the 
accommodation of visitors. The program implemented by each such agency 
shall consist of actions which--
            (1) recognize the importance of the private sector in 
        providing a quality visitor experience on Federal lands by 
        encouraging private sector investments for facilities and 
        services on Federal lands under a fair and competitive process;
            (2) establish the basis for an effective relationship 
        between the land management agencies and private businesses 
        operating on public lands and waters in efforts to serve the 
        public and to protect the resources of these areas;
            (3) measure quality and value of services provided by 
        concessioners and provide incentives for consistent excellence.
            (4) ensure a fair return to the Federal Government; and
            (5) are consistent among the various agencies to the extent 
        practicable in order to increase efficiency of the Federal 
        Government and simplify requirements for concessioners.

SEC. 9303. DEFINITIONS.

    For the purposes of this part:
            (1) The term ``adjusted gross receipts'' means gross 
        receipts less revenue derived from goods and services provided 
        on other than Federal lands or conveyed to units of Government 
        for hunting or fishing licenses or for entrance or recreation 
        fees, or from such other exclusions as the Secretary concerned 
        might apply.
            (2) The term ``agency head'' means the head of an agency or 
        his or her designated representative.
            (3) The term ``concessioner'' means a person or other 
        entity acting under a concession authorization which provides 
        public services, facilities, or activities on Federal lands or 
        waters pursuant to a concession services agreement or 
        concession license.
            (4) The term ``concession license'' means a written 
        contract between the agency head and the concessioner which 
        sets forth the terms and conditions under which the 
        concessioner is authorized to provide recreation services or 
        activities on a limited basis as well as the rights and 
        obligations of the Federal Government.
            (5) The term ``concession service agreement'' means a 
        written contract between the agency head and the concessioner 
        which sets forth the terms and conditions under which the 
        concessioner is authorized to provide visitor services, 
        facilities, or activities as well as the rights and obligations 
        of the Federal Government.
            (6) The term ``gross receipts'' means revenue from goods or 
        services provided by concession services, facilities, or 
        activities on Federal lands and waters.
            (7) The term ``performance incentive'' means a credit based 
        on past performance toward the score awarded by the Secretary 
        to a concessioner's proposal submitted in response to a 
        solicitation for the reissuance of such contract.
            (8) The term ``proposal'' means the complete submission for 
        a concession service agreement offered in response to the 
        solicitation for such concession service agreement.
            (9) The term ``prospectus'' means a document or documents 
        issued by the Secretary concerned and included with a 
        solicitation which sets forth the minimum requirements for the 
        award of a concession service agreement.
            (10) The term ``Secretary concerned'' means--
                    (A) the Secretary of the Interior with respect to 
                the United States Fish and Wildlife Service, National 
                Park Service, Bureau of Land Management, and Bureau of 
                Reclamation;
                    (B) the Secretary of Agriculture with respect to 
                the Forest Service; and
                    (C) the Secretary of the Army with respect to the 
                United States Army Corps of Engineers.
            (11) The term ``solicitation'' means a request by the 
        Secretary concerned for proposals in response to a prospectus.

SEC. 9304. NATURE AND TYPES OF CONCESSION AUTHORIZATIONS.

    (a) In General.--The Secretary concerned may enter into concession 
authorizations, as follows:
            (1) Concession services agreement.--A concession service 
        agreement shall be entered into for all concessions where the 
        Secretary concerned makes a finding that the provision of 
        concession services is in the interest of the Federal 
        Government and issues either a competitive offering for 
        concession services, facilities or activities or a 
        noncompetitive offering for such services, facilities, or 
        activities based on a finding that due to special circumstances 
        it is not in the public interest of the United States to award 
        a concession service agreement on a competitive basis. Where 
        the concessioner develops or uses fixed facilities on Federal 
        lands, the Secretary concerned shall issue a lease.
            (2) Concession license.--Whenever the Secretary concerned 
        makes a finding that public enjoyment of Federal lands would be 
        enhanced through the provision of concession services and that 
        there exists no need to limit the number of concessioners 
        providing such services, he shall consider entering into a 
        concession license with a qualified concessioner. Activities 
        covered under a concession license would typically be one-time, 
        intermittent, or infrequently scheduled. The Secretary 
        concerned may not limit the number of concession licenses 
        issued for the same types of activities in a particular 
        geographic area. The Secretary concerned shall monitor such 
        concession licenses to determine whether issuance of a 
        concession service agreement would be a more appropriate 
        authorization.
            (3) Lands under multiple jurisdictions.--The Secretaries of 
        the Departments concerned shall designate an agency to be the 
        lead agency concerning concessions which conduct a single 
        operation on lands or waters under the jurisdiction of more 
        than one agency. Unless otherwise agreed to by each such 
        Secretary concerned, the lead agency shall be that agency under 
        whose jurisdiction the concessioner generates the greatest 
        amount of gross receipts. The agency so designated shall issue 
        a single authorization and collect a single fee under 
        paragraphs (1) and (2) for such operation. Such authorization 
        shall provide for use in a manner consistent with the plans and 
        policies for each agency.
    (b) Leases of Areas to States and State Third Party Agreement Not 
Covered.--This part does not apply to leases or licenses of entire 
areas to States or other political subdivisions or to any third party 
agreement issued by any such State or political subdivisions with 
respect to such entire area.

SEC. 9305. COMPETITIVE SELECTION PROCESS FOR CONCESSION SERVICE 
              AGREEMENTS.

    (a) Award to Best Proposal.--The Secretary shall enter into, and 
reissue, a concession service agreement with the person whom the 
Secretary determines in accordance with this section submits the best 
proposal through a competitive process as defined in this section.
    (b) Solicitation and Prospectus.--The Secretary concerned shall 
prepare a solicitation and prospectus which describes the concession 
service opportunity and shall publish, in appropriate locations, 
announcements of the availability of the solicitation, prospectus, and 
the concession service opportunity. The solicitation shall include (but 
need not be limited to) the following:
            (1) A description of the services and facilities to be 
        provided by the concessioner.
            (2) The level of capital investment required by the 
        concessioner (if any).
            (3) Terms and conditions of the concession service 
        agreement.
            (4) Minimum facilities and services to be provided by the 
        Secretary to the concessioner and the public.
            (5) Minimum fees to the United States.
    (c) Factors and Minimum Standards in Determining Best Proposal.--
The prospectus shall assign a weight to each factor indentified therein 
related to the importance of such factor in the selection process. 
Points shall be awarded for each such factor, based on the relative 
strength of the proposal concerning that factor. In determining the 
best proposal, the Secretary concerned shall take into consideration 
(but shall not be limited to) the following, including whether the 
proposal meets the minimum requirements (if any) of the Secretary for 
each of the following:
            (1) Responsiveness to the prospectus.
            (2) Quality of visitor services taking into account the 
        nature of equipment and facilities to be provided.
            (3) Experience and performance in providing similar 
        services. This factor shall account for not less than 20 
        percent of the maximum points available under any prospectus. 
        Where the Secretary concerned determines it to be warranted to 
        provide for a high quality visitor experience, the prospectus 
        for a concession service agreement shall provide greater weight 
        to this factor based on such aspects of the concession service 
        agreement as scope or size, complexity, nature of technical 
        skills required, and site-specific knowledge of the area. The 
        similarity of the qualifying experience outlined in the 
        proposal to the nature of the services required under the 
        concession service agreement and the length of such qualifying 
        experience shall be the basis for awarding points for this 
        factor.
            (4) Record of resource protection (as appropriate for 
        services and activities with potential to impact natural or 
        cultural resources).
            (5) Financial capability.
            (6) Fees to the United States.
    (d) Selection Process.--The process for selecting the best proposal 
shall consist of the following:
            (1) First, the Secretary concerned shall identify those 
        proposals which meet the minimum standards (if any) for the 
        factors identified under subsection (c).
            (2) Second, the Secretary concerned shall evaluate all 
        proposals identified under paragraph (1), considering all 
        factors identified under subsection (c), as well as performance 
        incentives earned under section 9306(c) and renewal penalties 
        incurred under section 9306(d).
            (3) Third, the Secretary concerned shall offer the 
        concession service agreement to the best qualified applicant as 
        determined by the evaluation under paragraph (2).
    (e) Inapplicability of NEPA to Temporary Extensions and Similar 
Reissuance of Concessions Agreements.--The temporary extension of a 
concession authorization, or reissuance of a concession authorization 
to provide concession services similar in nature and amount to 
concession services provided under the previous authorization, is 
hereby determined to be a categorical exclusion as provided for under 
the National Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.).
    (f) Provision for Additional Related Services.--The Secretary 
concerned may modify the concession service agreement to allow 
concessioners to provide services closely related to such agreement, if 
the Secretary concerned determines that such changes would enhance the 
safety or enjoyment of visitors and would not unduly restrict the award 
of future concession service agreements.

SEC. 9306. CONCESSIONER EVALUATIONS.

    (a) In General.--The Secretary concerned shall develop a program of 
evaluations of the concessioners operating under a concession service 
agreement who are providing visitor services in areas under the 
jurisdiction of the Secretary. The evaluations shall be on an annual 
basis over the duration of the concession service agreement. In 
developing the evaluation program, the Secretary concerned shall seek 
broad public input from concessioners, State agencies, and other 
interested persons. The evaluation program shall--
            (1) include the four program areas of: quality of visitor 
        services provided; resource protection (as applicable); 
        financial performance; and compliance with concession service 
        agreement provisions and pertinent laws and regulations;
            (2) define three levels of performance--
                    (A) good, which shall be defined as a level of 
                performance which exceeds the requirements outlined in 
                the prospectus, but which is attainable;
                    (B) satisfactory, which shall be defined as meeting 
                the requirements as contained in the prospectus; and
                    (C) unsatisfactory, which shall be defined as not 
                meeting the requirements contained in the prospectus;
            (3) be based on criteria which--
                    (A) are objective, measurable, and attainable; and
                    (B) shall include as applicable general standards 
                for all concession operations, industry-specific 
                standards, and standards developed by the Secretary 
                concerned in consultation with the concessioner for 
                each concession service agreement;
            (4) be designed in such a manner that the annual evaluation 
        represents the overall performance of the concessioner without 
        undue weight to matters of limited importance; and
            (5) take into account factors beyond the control of the 
        concessioner, such as general market and other economic 
        fluctuations, as well as weather and other natural phenomena, 
        so that such factors may not be used as a justification for 
        denial of performance incentives.
    (b) Annual Evaluations.--
            (1) Requirements.--The Secretary concerned shall at least 
        semiannually review the performance of each concessioner and 
        shall assign an overall rating for each concessioner for each 
        year. The procedure for any performance evaluation shall be 
        provided to the concessioner prior to the beginning of any 
        evaluation period. Such procedure shall provide for adequate 
        notification of the concessioner prior to any on-site 
        evaluation and permit a representative of the concessioner to 
        observe the evaluation. The concessioner shall be entitled to a 
        complete explanation of any rating given. If the Secretary's 
        performance evaluation for any year results in an 
        unsatisfactory rating of the concessioner, the Secretary 
        concerned shall so notify the concessioner, in writing. Such 
        notification shall identify the nature of conditions which 
        require corrective action and shall provide the concessioner 
        with a list of corrective actions necessary to meet the 
        standards.
            (2) Suspension, revocation, and termination of 
        authorization.--The Secretary concerned may suspend, revoke, or 
        terminate a concession authorization if the concessioner fails 
        to correct the conditions identified by the Secretary within 
        the limitations established by the Secretary at the time notice 
        of the unsatisfactory rating is provided to the concessioner. 
        The Secretary may immediately suspend or revoke a concession 
        authorization where necessary to protect the public health or 
        welfare.
    (c) Performance incentives.--
            (1) In evaluating the performance of a concessioner, the 
        incumbent concessioner is entitled to a performance incentive 
        of--
                    (A) one percent of the maximum points available 
                under such evaluations for performance in each year in 
                which the concessioner's annual performance is rated 
                good, as specified in subsection (a)(2)(A), and
                    (B) a one-time three year merit term extension upon 
                a finding that a concessioner has been rated as good in 
                each annual performance evaluation through the term of 
                the concession service agreement.
            (2) A performance incentive awarded under paragraph (1)(A) 
        may not exceed 10 percent of the maximum points available under 
        such evaluations over the life of the concession service 
        agreement.
    (d) Renewal penalty.--In evaluating the performance of a 
concessioner, a concessioner shall be penalized one percent of the 
maximum points available under such evaluation for performance in each 
year in which the concessioner's annual performance is found to be 
unsatisfactory.

SEC. 9307. CAPITAL IMPROVEMENTS.

    (a) Private Sector Development.--It is the policy of the United 
States to encourage the private sector to develop, own, and maintain to 
the extent possible such public recreation facilities which would 
enhance public use and enjoyment of Federal lands as are contained in 
approved plans developed by the Secretary concerned. Under the terms of 
this part, concessioners may only construct or finance construction 
under terms of section 9312 such public facilities on Federal lands as 
are to be used by the concessioner under the terms of their concession 
service agreement or facilities which are necessary for the 
concessioner to administer such public facilities on Federal lands.
    (b) Investment Interest.--
            (1) In general.--A concessioner, who is required or 
        authorized under a concession service agreement pursuant to 
        this part to acquire or construct any structure, improvement, 
        or fixture pursuant to such agreement on Federal lands shall 
        have an investment interest therein, to the extent provided by 
        the agreement and this part. Such investment interest shall not 
        be extinguished by the expiration of such agreement. Such 
        investment interest may be assigned, transferred, encumbered or 
        relinquished.
            (2) Limitation.--Such investment interest shall not be 
        construed to include or imply any authority, privilege, or 
        right to operate or engage in any business or other activity, 
        and the use of any improvement in which the concessioner has an 
        investment interest shall be wholly subject to the applicable 
        provisions of the concession service agreement and of laws and 
        regulations relating to the area.
            (3) Federal property.--The agreement shall specify which 
        new improvements required under terms of the concession service 
        agreement, if any, shall become the property of the Federal 
        Government at the end of the agreement. No concession service 
        agreement shall provide for a concessioner to obtain an 
        investment interest in any building which is wholly owned by 
        the Federal Government. Title to the land on which such 
        structure, improvement, or fixture is placed shall remain in 
        the United States.
    (c) Sale of Assets.--If the existing concessioner is not selected 
as the best qualified applicant at the time of reissuance of a 
concession service agreement, the Secretary concerned shall require the 
new concessioner to buy the investment interest of the existing 
concessioner.
    (d) Closure of Concessioner Facilities.--In the event of a decision 
by the Secretary concerned, that the public interest, by reason of 
public and safety considerations or for other reasons beyond the 
control of the concessioner, requires the discontinuation or closure of 
facilities in which the concessioner has an investment interest, the 
Secretary shall compensate the concessioner in the amount equal to the 
value of the investment interest.
    (e) Determination of Value of Investment Interest.--For purposes of 
this part, the investment interest of any capital improvement at the 
end of the concession service agreement period is the actual cost of 
construction of such capital improvement adjusted from the completion 
of such construction by changes in the Consumer Price Index (selected 
in the same manner as such Index is selected under section 9311(c)(2)) 
less depreciation evidenced by the condition and prospective 
serviceability in comparison with a new unit of like kind, but not to 
exceed fair market value. Such value shall be determined by appraisal 
and included in any prospectus.

SEC. 9308. DURATION OF CONCESSION AUTHORIZATION.

    (a) Concession Service Agreement.--The standard term of a 
concession service agreement shall be ten years. The Secretary 
concerned may issue a concession service agreement for less than ten 
years if he determines (in his discretion) that the average annual 
gross receipts over the life of the concession service agreement would 
be less than $100,000. The Secretary concerned may not issue a 
concession service agreement for less than five years. The Secretary 
concerned shall issue a concession service agreement for longer than 
ten years if the Secretary determines (in his discretion) that such 
longer term is in the public interest or necessary due to the extent of 
investment and associated financing requirements and to meet the 
obligations assumed. The term for a concession service agreement may 
not exceed 30 years.
    (b) Concession License.--The term for a concession license may not 
exceed two years.
    (c) Temporary Extension.--The Secretary may agree to temporary 
extensions of concession service agreements for up to two years on a 
noncompetitive basis to avoid interruption of services to the public.

SEC. 9309. RATES AND CHARGES TO THE PUBLIC.

    In general, rates and charges to the public shall be set by the 
concessioner. For concession service agreements only, a concessioner's 
rates and charges to the public shall be subject to the approval of the 
Secretary concerned in those instances where the Secretary determines 
that sufficient competition for such facilities and services does not 
exist within or in close proximity to the area in which the 
concessioner operates. In those instances, the concession service 
agreement shall state that the reasonableness of the concessioner's 
rates and charges to the public shall be reviewed and approved by the 
Secretary concerned primarily by comparison with those rates and 
charges for facilities and services of comparable character under 
similar conditions, with due consideration for length of season, 
seasonal variations, average percentage of occupancy, accessibility, 
availability and costs of labor and materials, type of patronage, and 
other factors deemed significant by the Secretary concerned. Such 
review shall be completed within 90 days of receipt of all necessary 
information, or the requirement for the Secretary's approval shall be 
waived and such rates and charges as proposed by the concessioner 
considered to be approved for immediate use.

SEC. 9310. TRANSFERABILITY OF CONCESSION AUTHORIZATIONS.

    (a) Concession Service Agreements.--
            (1) Approval required.--A concession service agreement is 
        transferable or assignable only upon the approval of the 
        Secretary concerned, which approval may not be unreasonably 
        withheld or delayed. The Secretary may not approve any such 
        transfer or assignment if the Secretary determines that the 
        prospective concessioner is or is likely to be unable to 
        completely satisfy all of the material requirements, terms, and 
        conditions of the agreement or that the terms of the transfer 
        or assignment would preclude providing appropriate facilities 
        or services to the public at reasonable rates.
            (2) Consideration period.--If the Secretary fails to 
        approve or disapprove a transfer or assignment under paragraph 
        (1) within 90 days after the date on which the Secretary 
        receives all necessary information requested by the Secretary 
        with respect to such transfer, the transfer or assignment shall 
        be deemed approved.
            (3) No modification of terms and conditions.--The terms and 
        conditions of the concessions service agreement shall not be 
        subject to modification by reason of any transfer or assignment 
        under this section.
            (4) Performance incentive.--Upon approval of the sale or 
        transfer, the prospective concessioner shall be entitled to the 
        benefit of performance incentives earned by the previous 
        concessioner.
    (b) Concession License.--A concession license may not be 
transferred.

SEC. 9311. FEES CHARGED BY THE UNITED STATES FOR CONCESSION 
              AUTHORIZATIONS.

    (a) In General.--The Secretary concerned shall charge a fee for the 
privilege of providing concession services pursuant to this part. The 
fee for any concession service agreement may include any of the 
following:
            (1) An annual cash payment for the privilege of providing 
        concession services.
            (2) The amount required for capital improvements required 
        pursuant to section 9307(a).
            (3) Fees for rental or lease of Government-owned facilities 
        or lands occupied by the concessioner.
            (4) Expenditures for maintenance of or improvements to 
        Government-owned facilities occupied by the concessioner.
    (b) Establishment of Amount.--
            (1) Minimum acceptable fee.--The Secretary concerned shall 
        establish a minimum fee for each applicable category specified 
        in paragraphs (1) through (4) of subsection (a) which is 
        acceptable to the Secretary under this section and shall 
        include the minimum fee in the prospectus under section 9305. 
        This fee shall be based on historical data, where available, as 
        well as industry-specific and other market data available to 
the Secretary concerned.
            (2) Final fee.--Except as provided by paragraph (3), the 
        final fee shall be the amount bid by the selected applicant 
        under section 9305.
            (3) Substantially similar services in a specific geographic 
        area.--Where the Secretary concerned simultaneously offers 
        authorizations for more than one river runner, outfitter, or 
        guide concession operation to provide substantially similar 
        services in a defined geographic area, the concession fee for 
        all such concessioners shall be specified by the Secretary 
        concerned in the prospectus. The Secretary concerned shall base 
        the fee on historical data, where available, as well as on 
        industry-specific and other market data available to the 
        Secretary concerned or may establish a charge per user day.
    (c) Adjustment of Fees.--
            (1) In general.--The amount of any fee for the term of the 
        concession service agreement shall be set at the beginning of 
        the concession authorization and may only be modified on the 
        basis of inflation, if the annual payment is not determined by 
        a percentage of adjusted gross receipts (as measured by changes 
        in the Consumer Price Index), to reflect substantial changes 
        from the conditions specified in the prospectus, or in the 
        event of an unforeseen disaster.
            (2) CPI.--For the purposes of adjustments for inflation 
        under paragraph (1), the Federal agencies shall select a 
        Consumer Price Index published by the Bureau of Labor 
        Statistics and shall use such index in a consistent manner.
    (d) Concession License Fee.--The fee for a concession license shall 
at least cover the program administrative costs and may not be changed 
over the term of the license.

SEC. 9312. DISPOSITION OF FEES.

    (a) Concession Improvement Account.--
            (1) In general.--The Secretary concerned shall, whenever 
        the concession service agreement requires or authorizes the 
        concessioner to make capital improvements or occupy Government-
        owned facilities, require the concessioner to establish a 
        concession improvement account. The concessioner shall deposit 
        into this account--
                    (A) all funds for capital improvements as specified 
                in the concession service agreement;
                    (B) all funds for maintenance of or improvements to 
                Government-owned facilities occupied by the 
                concessioner; and
                    (C) all amounts received from the Secretary 
                concerned pursuant to subsection (b).
            (2) Terms and conditions.--The account shall be maintained 
        by the concessioner in an interest bearing account in a 
        Federally insured financial institution. The concessioner shall 
        maintain the account separately from any other funds or 
        accounts and shall not commingle the monies in the account with 
        any other moneys. The Secretary concerned may establish such 
        other terms, conditions, or requirements as the Secretary 
        determines to be necessary to ensure the financial integrity of 
        the account.
            (3) Disbursements.--The concessioner shall make 
        disbursements from the account for improvements and other 
        activities, only as specified in the concession service 
        agreement and subsection (b)(2)(C).
            (4) Records.--The concessioner shall maintain proper 
        records for all disbursements made from the account. Such 
        records shall include (but not be limited to) invoices, bank 
        statements, canceled checks, and such other information as the 
        Secretary concerned determines to be necessary.
            (5) Annual financial statement.--The concessioner shall 
        annually submit to the Secretary concerned a statement 
        reflecting total activity in the account for the preceding 
        financial year. The statement shall reflect monthly deposits, 
        expenditures by project, interest earned, and such other 
        information as the Secretary concerned requires.
            (6) Transfer of remaining balance.--Upon the termination of 
        a concession authorization, or upon the transfer of a 
        concession service agreement, any remaining balance in the 
        account shall be transferred by the concessioner to the 
        successor concessioner, to be used solely as set forth in this 
        subsection. In the event there is no successor concessioner, 
        the account balance shall be deposited in the Treasury as 
        miscellaneous receipts.
    (b) Amounts Received Relating to Privilege of Providing Concession 
Services and Rental of Government-owned Facilities.--
            (1) Deposit into treasury.--The Secretary concerned shall 
        deposit into the Treasury of the United States as miscellaneous 
        receipts amounts received for a fiscal year for the privilege 
        of providing concession services and the rental of Government-
        owned facilities up to the amount specified in the table in 
        paragraph (3) for the National Park Service for that fiscal 
        year. For the other agencies covered under this part, the 
        Secretary concerned shall develop a schedule of anticipated 
        receipts to be deposited to the Treasury and submit such 
        schedule to the appropriate Congressional committees within 18 
        months of the date of enactment of this Act. Nothing in this 
        part shall be construed to modify any provision of law relating 
        to sharing of Federal receipts with any other level of 
        Government.
            (2) Deposit into concession improvement accounts.--(A) 
        Amounts received by the Secretary concerned for a fiscal year 
        for the privilege of providing concession services and the use 
        of Government-owned facilities which exceed the amount 
        specified in the table in paragraph (3) for that fiscal year 
        shall be available for deposit in the succeeding fiscal year 
        into concession improvement accounts.
            (B) Of the amounts available for deposit into concession 
        improvement accounts, the Secretary shall make available to 
        each concessioner a percentage of such excess amounts which 
        bears the same ratio as the amount paid by the concessioner to 
        the Secretary concerned for a fiscal year for the privilege of 
providing concession services and the use of Government-owned 
facilities bears to the total amount paid to the Secretary concerned by 
all concessioners for that fiscal year for such privilege on an agency-
wide basis.
            (C) Amounts made available to a concessioner under this 
        paragraph may be used only for expenditures on visitor services 
        and facilities at the area at which the funds were generated.
            (3) Deposit into concession improvement accounts.--The 
        table referred to in paragraph (2), expressed by fiscal year on 
        an agency basis, is as follows:

                         National Park Service

                Fiscal year:
                                                               Amount: 
                        1997.........................      $15,800,000 
                        1998.........................      $21,100,000 
                        1999.........................      $26,700,000 
                        2000.........................      $32,300,000 
                        2001.........................      $38,200,000 
                        2002.........................      $44,400,000.
    (c) Audit Requirement.--Beginning with fiscal year 1998, the 
Inspector General of the Department concerned shall conduct a biennial 
audit of concession fees generated pursuant to this part. The Inspector 
General shall make a determination as to whether concession fees are 
being collected and expended in accordance with this part and shall 
submit copies of each audit to the Committee on Resources of the House 
of Representatives and the Committee on Energy and Natural Resources of 
the Senate.

SEC. 9313. DISPUTE RESOLUTION.

    (a) Board of Contract Appeals.--The Board of Contract Appeals 
within each Department shall adjudicate disputes between the Federal 
Government and concessioners arising under this part, including 
disputes regarding the revocation, suspension, or termination of a 
concession authorization, transfers of concession service agreements, 
and performance evaluations of concessions. Such disputes shall be 
subject to the Contract Disputes Act of 1978 (41 U.S.C. 601 et seq.). 
The expiration of a concession authorization shall not be subject to 
appeal to the Board.
    (b) Administrative Review.--Appeals of decisions may be taken to 
the Board of Contract Appeals after one level of review of decisions 
made within an agency.
    (c) Expedited Procedure.--Appeals of decisions to suspend, revoke, 
or terminate a concession authorization shall be considered under an 
expedited procedure, as provided by the Secretary concerned by 
regulation.
    (d) Judicial Review.--
            (1) In general.--A person may seek judicial review of 
        decisions made by the Board. Such review shall be conducted by 
        the court with jurisdiction on a de novo basis.
            (2) Concession service agreements.--Judicial review of 
        decisions rendered by the Board regarding concession service 
        agreements shall be to the United States Court of Federal 
        Claims in accordance with section 1491 of title 28, United 
        States Code (commonly referred to as the ``Tucker Act'').
            (3) Concession licenses.--Judicial review of decisions 
        rendered by the Board regarding concession licenses shall be to 
        the appropriate Federal District Court.
    (d) Inapplicability of Certain Provisions.--Disputes arising under 
this part shall not be subject to the jurisdiction of the General 
Accounting Office to review bid protests under the Competition in 
Contracting Act of 1984.

SEC. 9314. RECORDKEEPING.

    (a) Maintenance and Access.--Each concessioner shall keep such 
records as the Secretary concerned may prescribe to enable the 
Secretary to determine that all terms of the concession authorization 
have been and are being faithfully performed, and the Secretary and his 
duly authorized representatives shall, for the purpose of audit and 
examination, have access at reasonable times and locations to such 
records and to other books, documents, and papers of the concessioner 
pertinent to the concession authorization and all the terms and 
conditions thereof.
    (b) Access by Comptroller General.--The Comptroller General of the 
United States or any of his duly authorized representatives shall, 
until the expiration of five calendar years after the close of the 
business year of each concessioner have access to and the right to 
examine any pertinent books, documents, papers, and records of the 
concessioner related to the concession authorization involved.

SEC. 9315. APPLICATION OF GENERAL GOVERNMENTAL ACQUISITION 
              REQUIREMENTS.

    The following laws and regulations shall not apply to concession 
service agreements and concession licenses under this part:
            (1) Title III of the Federal Property and Administrative 
        Services Act of 1949 (41 U.S.C. 251-266).
            (2) The Office of Federal Procurement Policy Act (41 U.S.C. 
        401 et seq.).
            (3) The Federal Acquisition Streamlining Act of 1994 
        (Public Law 103-355).
            (4) The Brooks Automatic Data Processing Act (40 U.S.C. 
        759).
            (5) Chapters 137 and 141 of title 10, United States Code.
            (6) The Federal Acquisition Regulation and any laws not 
        listed in paragraphs (1) through (5) providing authority to 
        promulgate regulations in the Federal Acquisition Regulation.
            (7) The Act of June 20, 1936 (20 U.S.C. 107; commonly 
        referred to as the ``Randolph-Sheppard Act'') and the Service 
        Contract Act of 1965 (41 U.S.C. 351 et seq.).

SEC. 9316. RULES OF CONSTRUCTION.

    Concession programs of an agency on Federal lands and waters 
subject to this part shall be fully consistent with the agency's 
mission and laws applicable to the agency. Nothing in this part shall 
be construed as limiting or restricting any right, title, or interest 
of the United States in any land or resources.

SEC. 9317. REGULATIONS.

    (a) In General.--Pursuant to enactment of this part, no new 
concession authorization may be issued, nor may any existing concession 
authorization remain in effect after two years after the date of the 
enactment of this Act, unless regulations fully implementing this part 
are in effect. During such two-year period, the Secretary may only 
extend an existing concession authorization for a period ending at the 
end of such two-year period. Such extensions shall be made in 
accordance with the applicable provisions of law specified in section 
9318, as such provisions were in effect on the day before the date of 
the enactment of this Act. The Secretary of the Interior, Secretary of 
Agriculture, and Secretary of the Army shall develop a single set of 
regulations which specify a uniform set of recordkeeping requirements 
for all concessioners with respect to implementation of this part.
    (b) Qualifications of Agency Personnel Assigned Concession 
Management Duties.--The Secretary, by regulation under subsection (a) 
and taking into account the provisions of this part, shall specify the 
minimum training and qualifications required for agency personnel 
assigned predominantly to concession management duties, including (but 
not limited to) competency in business management, public health and 
safety, and the delivery of quality customer services.

SEC. 9318. RELATIONSHIP TO OTHER EXISTING LAWS.

    (a) Repeals.--
            (1) The Act entitled ``An Act relating to the establishment 
        of concession policies in the areas administered by the 
        National Park Service and for other purposes'' (16 U.S.C. 20-
        20g) approved October 9, 1965, is repealed.
            (2) The last paragraph under the heading ``forest service'' 
        in the Act of March 4, 1915 (38 Stat. 1101), as amended by the 
        Act of July 28, 1956 (chap. 771; 70 Stat. 708) (16 U.S.C. 497), 
        is repealed.
            (3) Section 7 of the Act of April 24, 1950 (16 U.S.C. 580d) 
        is repealed.
    (b) Superseded Provisions.--The provisions of this part shall 
supersede the provisions of the following Acts as they pertain to 
concessions management:
            (1) The Federal Land Policy and Management Act of 1976 
        (Oct. 21, 1976).
            (2) Public Law 87-714 (16 U.S.C. 460k et seq.; commonly 
        known as the ``Refuge Recreation Act'').
            (3) The National Wildlife Refuge System Administration Act 
        of 1966 (16 U.S.C. 668dd).
    (c) Conforming Amendment.--The fourth sentence of section 3 of the 
Act of August 25, 1916 (16 U.S.C. 3; 39 Stat. 535), is amended by 
striking all through ``no natural'' and inserting in lieu thereof ``No 
natural''.
    (d) Modified Provisions.--The second sentence of section 4 of the 
Act entitled ``An Act authorizing the construction of certain public 
works on rivers and harbors for flood control, and for other purposes'' 
(16 U.S.C. 460d) is amended by inserting ``, except for commercial 
concessions purposes'' the first place it appears after ``public 
interest''.
    (e) Savings.--
            (1) In general.--The repeal of any provision, the 
        superseding of any provision, and the amendment of any 
        provision, of an Act referred to in subsections (a), (b), or 
        (c) shall not affect the validity of any authorizations entered 
        into under any such Act. The provisions of this part shall 
        apply to any such authorizations, except to the extent such 
        provisions are inconsistent with the express terms and 
        conditions of such authorizations.
            (2) Right of renewal.--The right of renewal explicitly 
        provided for by any concession contract under any such 
        provision shall be preserved for a single renewal of a contract 
        following the enactment of, or concession authorization under, 
        this part.
            (3) Value of capital improvements or possessory interest.--
        Nothing in this part shall be construed to change the value of 
        existing capital improvements or possessory interest as 
        identified in concession contracts entered into before the 
        enactment of this Act.
            (4) ANILCA.--Nothing in this part shall be construed to 
        amend, supersede or otherwise affect any provision of the 
        Alaska National Interest Lands Conservation Act (16 U.S.C. 3101 
        et seq.) relating to revenue-producing visitor services.
            (5) Ski area permits.--No provision of this part shall 
        apply to any ski area permittee operating on lands administered 
        by the Forest Service.
            (6) Procedures for considering existing concessioners in 
        reissuance of contracts.--In the case of any concession 
        contract which has expired prior to the date of the enactment 
        of this Act, or within five years after the date of the 
        enactment of this Act, the incumbent concessioner shall be 
        entitled to a one-time bonus of five percent of the maximum 
        points available in the reissuance of a previous concession 
        authorization. For any concession contract entered into prior 
        to the date of enactment of this Act, which is projected to 
        terminate five years or later after the enactment of this Act, 
        any concessioner shall be entitled to a performance incentive 
        as outlined in this part. The concessioner shall be entitled to 
        an evaluation for the purposes of section 9306 of good for each 
        year in which the Secretary concerned does not complete an 
        evaluation as provided for in this part.

                   PART 2--NATIONAL FOREST SKI AREAS

SEC. 9321. PRIVATIZATION OF FOREST SERVICE SKI AREAS.

    (a) Authorization To Sell.--
            (1) In general.--Not later than five years after the date 
        of enactment of this part, the Secretary of Agriculture shall 
        offer to sell not less than 40 ski areas to the qualifying ski 
        area operator. Any such sale shall provide for continuation of 
        public access for diverse recreational uses. The Secretary 
        shall offer such areas for sale only after consultation with 
        State and local governments. Any such sale shall be at fair 
        market value and, subject to valid existing rights, shall 
        transfer all right, title, and interest of the United States in 
        and to the lands. In any such sale, the Secretary shall 
        establish the minimum acceptable bid based on the appraised 
        fair market value of such lands.
            (2) Qualifying lands.--For the purposes of subsection (a), 
        lands are qualifying concession lands if such lands are--
                    (A) subject to a lease on the date of the enactment 
                of this Act for use as a ski area with improvements 
                with a fair market value greater than $2,000,000; and
                    (B) located either adjacent to the boundary of the 
                Federal lands or adjacent to other significant private 
                inholdings.
    (b) Appraisal.--
            (1) In general.--The Secretary shall provide for an 
        independent appraisal of the lands and interests therein to be 
        transferred pursuant to subsection (a). The appraiser shall--
                    (A) utilize nationally recognized appraisal 
                standards, including to the extent appropriate the 
                uniform appraisal standards for Federal land 
                acquisition; and
                    (B) not include the value of any improvement placed 
                on the lands by the concessioner.
            (2) Appraisal report.--The appraiser shall submit a 
        detailed report to the Secretary.
    (c) Additional Lands.--In addition to the national forest ski area, 
the Secretary may transfer by sale or exchange additional National 
Forest System lands for the purpose of adding such lands to and 
operating them as part of a ski area sold under subsection (a). The 
transfer of additional lands under this subsection shall be in 
accordance with this part and the laws generally applicable to the 
National Forest System.
    (d) Use of Proceeds by the Appropriate Secretary.--The Secretary 
may retain 50 percent of the funds generated through sales under this 
section to acquire other high priority lands identified for acquisition 
in any forest land and resource management plan. The remaining 50 
percent of such amount shall be deposited in the Treasury as 
miscellaneous receipts.

SEC. 9322. SKI AREA PERMIT FEES AND WITHDRAWAL OF SKI AREAS FROM 
              OPERATION OF MINING LAWS.

    The National Forest Ski Area Permit Act of 1986 (16 U.S.C. 497b) is 
amended by adding at the end the following new sections:

``SEC. 4. SKI AREA PERMIT FEES.

    ``(a) Ski Area Permit Fee.--
            ``(1) In general.--Except as provided by paragraph (2), 
        after the date of the enactment of this section, the fee for 
        all ski area permits on National Forest System lands shall be 
        calculated, charged, and paid only as set forth in subsection 
        (b).
            ``(2) Exception.--Paragraph (1) does not apply to any ski 
        area where the existing permit in effect on the date of 
        enactment of this section specifies a different method to 
        calculate the fee. In any such situation the terms of such 
        permit shall prevail, unless the permit holder notifies the 
        Forest Service that the permit holder agrees to adopt the 
        method of fee calculation specified in this section. The Forest 
        Service should encourage such permit holders to consider 
        adopting the new method of fee calculation in order to reduce 
        its administrative costs.
    ``(b) Method of Calculation.--
            ``(1) Determination of adjusted gross revenue subject to 
        fee.--The Secretary of Agriculture shall calculate the ski area 
        permit fee to be charged a ski area permittee by first 
        determining the permittee's adjusted gross revenue to be 
        subject to the permit fee. The permittee's adjusted gross 
        revenue is equal to the sum of the following:
                    ``(A) The permittee's gross revenues from alpine 
                lift ticket and alpine season pass sales plus revenue 
                from alpine ski school operations, with such total 
                multiplied by the permittee's slope transport feet 
                percentage on National Forest System lands.
                    ``(B) The permittee's gross revenues from nordic 
                ski use pass sales and nordic ski school operations, 
                with such total multiplied by the permittee's 
percentage of nordic trails on National Forest System lands.
                    ``(C) The permittee's gross revenues from ancillary 
                facilities physically located on National Forest System 
                lands, including all permittee or subpermittee lodging, 
                food service, rental shops, parking, and other 
                ancillary operations.
            ``(2) Determination of ski area permit fee.--The Secretary 
        shall determine the ski area permit fee to be charged a ski 
        area permittee by multiplying adjusted gross revenue determined 
        under paragraph (1) for the permittee by the following 
        percentages for each revenue bracket and adding the total for 
        each revenue bracket:
                    ``(A) 1.5 percent of all adjusted gross revenue 
                below $3,000,000.
                    ``(B) 2.5 percent for adjusted gross revenue 
                between $3,000,000 and $15,000,000.
                    ``(C) 2.75 percent for adjusted gross revenue 
                between $15,000,000 and $50,000,000.
                    ``(D) 4.0 percent for the amount of adjusted gross 
                revenue that exceeds $50,000,000.
            ``(3) Slope transport feet percentage.--In cases where ski 
        areas are only partially located on National Forest System 
        lands, the slope transport feet percentage on national forest 
        land referred to in paragraph (1) shall be calculated as 
        generally described in the Forest Service Manual in effect as 
        of January 1, 1992.
            ``(4) Annual adjustment of adjusted gross revenue.--In 
        order to insure that the ski area permit fee set forth in this 
        subsection remains fair and equitable to both the United States 
        and ski area permittees, the Secretary shall adjust, on an 
        annual basis, the adjusted gross revenue figures for each 
        revenue bracket in subparagraphs (A) through (D) of paragraph 
        (2) by the percent increase or decrease in the national 
        Consumer Price Index for the preceding calendar year.
    ``(c) Minimum Fee.--In cases where an area of National Forest 
System land is under a ski area permit but the permittee does not have 
revenue or sales qualifying for fee payment pursuant to subsection (a), 
the permittee shall pay an annual minimum fee of $2 for each acre of 
National Forest System land under permit. Rental fees imposed under 
this subsection shall be paid at the time specified in subsection (d).
    ``(d) Time for Payment.--The fee set forth in subsection (b) shall 
be due on June 1 of each year and shall be paid or prepaid by the 
permittee on a monthly, quarterly, annual, or other schedule as 
determined appropriate by the Secretary in consultation with the 
permittee. It is the intention of Congress that unless mutually agreed 
otherwise by the Secretary and the permittee, the payment or prepayment 
schedule shall conform to the permittee's schedule in effect prior to 
the enactment of this section. To simplify bookkeeping and fee 
calculation burdens on the permittee and the Forest Service, the 
Secretary shall each year provide the permittee with a standardized 
form and worksheets (including annual fee calculations brackets and 
rates) to be utilized for fee calculation and submitted with the fee 
payment. Information provided on such forms shall be compiled by the 
Secretary annually and kept in the Office of the Chief, United States 
Forest Service.
    ``(e) Definitions.--To simplify bookkeeping and administrative 
burdens on ski area permittees and the Forest Service, as used in this 
section, the terms `revenue' and `sales' mean actual income from sales. 
Such terms do not include sales of operating equipment, refunds, rent 
paid to the permittee by sublessees, sponsor contributions to special 
events or any amounts attributable to employee gratuities, discounts, 
complimentary lift tickets, or other goods or services (except for 
bartered goods) for which the permittee does not receive money.
    ``(f) Effective Date for Fees.--The ski area permit fees as 
provided under this section shall become effective on July 1, 1996, and 
cover receipts retroactive to July 1, 1995. If a ski area permittee has 
paid fees for the 12-month period ending on June 30, 1996, under the 
graduated rate fee system formula in effect prior to the date of the 
enactment of this section, such fees shall be credited toward the new 
ski area permit fee due for that period under this section.
    ``(g) Report on Fair Market Value.--No later than five years after 
the date of enactment of this section and every 10 years thereafter, 
the Secretary shall submit to the Committee on Energy and Natural 
Resources of the United States Senate and the Committees of Agriculture 
and Resources of the United States House of Representatives a report 
analyzing whether the ski area permit fee system legislated by this 
section is returning a fair market value rental to the United States 
together with any recommendations the Secretary may have for 
modifications in the system.
    ``(h) Transition Period.--Where the new fee provided for in this 
section results in an increase in permit fee greater than one percent 
of the permittee's adjusted gross revenue (as defined in subsection 
(b)(1)), the new fee shall be phased in over a three year period in a 
manner providing for increases of approximately equal increments.
    ``(i) Applicability of NEPA to Reissuance of Ski Area Permits.--The 
reissuance of a ski area permit to provide activities similar in nature 
and amount to the activities provided under the previous permit is 
hereby determined to be a categorical exclusion as provided for under 
the National Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.).

``SEC. 5. WITHDRAWAL OF SKI AREAS FROM OPERATION OF MINING LAWS.

    ``Subject to valid existing rights, all lands located within the 
boundaries of ski area permits issued prior to, on, or after the date 
of the enactment of this section pursuant to the authority of the Act 
of March 4, 1915 (16 U.S.C. 497), the Act of June 4, 1897 (16 U.S.C. 
473 et seq.), or section 3 of this Act are hereby and henceforth 
automatically withdrawn from all forms of appropriation under the 
mining laws and from disposition under all laws pertaining to mineral 
and geothermal leasing. Such withdrawal shall continue for the full 
term of the permit and any modification, reissuance, or renewal of the 
permit. Such withdrawal shall be canceled automatically upon expiration 
or other termination of the permit unless, at the request of the 
Secretary of Agriculture, the Secretary of the Interior determines to 
continue the withdrawal. Upon cancellation of the withdrawal, the land 
shall be automatically restored to all appropriation not otherwise 
restricted under the public land laws.''.

                   PART 3--DOMESTIC LIVESTOCK GRAZING

SEC. 9331. APPLICABLE REGULATIONS.

    (a) BLM Lands.--Except as otherwise provided by this part, grazing 
of domestic livestock on lands administered by the Bureau of Land 
Management shall be in accordance with part 1780 and part 4100 of title 
43, Code of Federal Regulations, as in effect on January 1, 1995.
    (b) Forest Service Lands.--Except as otherwise provided by this 
part, grazing of domestic livestock on lands administered by the Forest 
Service shall, to the extent possible, be in accordance with 
regulations, which the Secretary of Agriculture shall promulgate, which 
are substantially similar to the regulations referred to in subsection 
(a). Regulations promulgated under this subsection may differ from the 
regulations referred to in subsection (a) to the extent necessary to 
conform to the laws governing the National Forest System (other than 
this part).
    (c) Federal Lands.--For the purposes of this part, the term 
``Federal lands'' means lands administered by the Bureau of Land 
Management and lands administered by the Forest Service.

SEC. 9332. FEES AND CHARGES.

    (a) Basic Fee.--The basic fee for each animal unit month in a 
grazing fee year to be determined by the Bureau of Land Management and 
the Forest Service shall be equal to the 3-year average of the total 
gross value of production for beef cattle, as compiled by the Economic 
Research Service of the Department of Agriculture in accordance with 
subsection (b) on the basis of economic data published by the Service 
in the Economic Indicators of the Farm Sector: Cost of Production--
Major Field Crops & Livestock and Dairy for the 3 years preceding the 
grazing fee year, multiplied by the 10 year average of the United 
States Treasury Securities 6-month bill ``new issue'' rate and divided 
by 12.
    (b) Criteria.--The Economic Research Service of the Department of 
Agriculture shall continue to compile the gross production value of 
production of beef cattle as reported in a dollar per bred cow basis in 
the ``U.S. Cow-Calf Production Cash Costs and Returns''.
    (c) Surcharge.--
            (1) In general.--A surcharge shall be added to the grazing 
        fee billings for authorized grazing of livestock owned by 
        persons other than the permittee or lessee except where--
                    (A) such use is made by livestock owned by a 
                spouse, child, or grandchild or their respective spouse 
                of the permittee and lessee; or
                    (B) the permittee or lessee is unable to make full 
                grazing use, as authorized by a grazing permit or 
                lease, due to the infirmed condition or death of the 
                permittee or lessee.
            (2) Treatment as additional fee.--The surcharge shall be 
        over and above any other fees that may be charged for using 
        public land forage.
            (3) Prior payment required.--Surcharges shall be paid prior 
        to grazing use.
            (4) Amount.--The surcharge for authorized pasturing of 
        livestock owned by persons other than the permittee or lessee 
        shall be equal to 25 percent of the difference between the 
        current year's Federal grazing fee and the prior year's private 
        grazing land lease rate per AUM for the appropriate State as 
        compiled by the National Agricultural Statistics Service.
            (5) In general.--The Bureau of Land Management and the 
        Forest Service shall make a determination under subsection (a) 
        based on the following information gathered by the National 
        Agriculture Statistics Service of the Department of Agriculture 
        with respect to the largest single grazing lease of each 
        grazing operator (in terms of dollars):
                    (A) Whether the operator charged--
                            (i) per acre;
                            (ii) per head per month;
                            (iii) per pound of gain;
                            (iv) per hundredweight of gain; or
                            (v) by another measure, and the rate 
                        charged.
                    (B)(i) The estimated average pounds gained per 
                season for the grazing lease.
                    (ii) The total dollar amount estimated to be 
                realized from the grazing lease.
                    (iii) Grazing lease acreage.
                    (iv) The State and county where the grazing lease 
                is located.
                    (C) The classes of livestock grazed.
                    (D) The term of the grazing lease.
                    (E)(i) Whether grazing lease payments are paid if 
                no grazing occurred.
                    (ii) Whether the grazing lease contains a take or 
                pay provision.
                    (F) Additional information on whether the following 
                are provided by the landlord on a 5-year basis:
                            (i) Fencing maintenance.
                            (ii) Animal management and oversight.
                            (iii) Water maintenance.
                            (iv) Salt and minerals.
                            (v) Other service (specified).
                            (vi) No services.
                            (vii) Hunting.
                            (viii) Fishing.
                            (ix) Other (specified).
                            (x) None.
            (6) Private native rangeland.--For the purpose of 
        determining rates for grazing leases of private native 
        rangeland, rates for irrigated pasture, crop aftermath, and 
        dryland winter wheat shall be excluded.

SEC. 9333. ANIMAL UNIT MONTH.

    (a) Definition of Animal Unit Month.--The term ``animal unit 
month'' means 1 month's use and occupancy of range by--
            (1) 1 cow, bull, steer, heifer, horse, burro, or mule, 7 
        sheep, or 7 goats, each of which is 6 months of age or older on 
        the date on which the animal begins grazing on Federal land;
            (2) any such animal regardless of age if the animal is 
        weaned on the date on which the animal begins grazing on 
        Federal land; and
            (3) any such animal that will become 12 months of age 
        during the period of use authorized under a grazing permit or 
        grazing lease.
    (b) Livestock Not Counted.--There shall not be counted as an animal 
unit month the use of Federal land for grazing by an animal that is 
less than 6 months of age on the date on which the animal begins 
grazing on Federal land and is the natural progeny of an animal on 
which a grazing fee is paid if the animal is removed from the Federal 
land before becoming 12 months of age.

SEC. 9334. TERM OF GRAZING PERMITS OR GRAZING LEASES.

    A grazing permit or grazing lease shall be issued for a term of 15 
years unless--
            (1) the land is pending disposal;
            (2) the land will be devoted to a public purpose that 
        precludes grazing prior to the end of 15 years; or
            (3) the Secretary determines that it would be in the best 
        interest of sound land management to specify a shorter term, if 
        the decision to specify a shorter term is supported by 
        appropriate and accepted resource analysis and evaluation.

SEC. 9335. CONFORMANCE WITH LAND USE PLAN.

    Livestock grazing activities and management actions approved by the 
Secretary of the Interior or the Secretary of Agriculture, as the case 
may be--
            (1) may include any such activities as are not clearly 
        prohibited by a land use plan; and
            (2) shall not require any consideration under the National 
        Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) in 
        addition to the studies supporting the land use plan.

SEC. 9336. EFFECTIVE DATE.

    This part shall apply to grazing on Federal lands on and after the 
date of the enactment of this Act.

     PART 4--REGIONAL DISPOSAL FACILITY OF SOUTHWESTERN LOW LEVEL 
                   RADIOACTIVE WASTE DISPOSAL COMPACT

SEC. 9341. CONVEYANCE OF PROPERTY.

    (a) Conveyance.--Upon the tendering of $500,000 on behalf of the 
State of California and the release of the United States by the State 
of California from any liability for claims relating to the property 
described in subsection (b), all right, title and interest of the 
United States in and to said lands and improvements thereon are 
conveyed to the Department of Health Services of the State of 
California: Provided, That the property shall revert to the United 
States if the property is not used as a low-level radioactive waste 
disposal facility.
    (b) Description.--The lands conveyed are those depicted on a map 
designated USGS 7.5 minute quadrangle, west of Flattop Mtn, CA 1984, 
entitled ``Location Map for Ward Valley Site'', located in San 
Bernardino Meridian, Township 9 North, Range 19 East.
    (c) Title.--The Secretary of the Interior shall issue evidence of 
title pursuant to this Act notwithstanding any other provision of law. 
The Southwestern Low-Level Radioactive Waste Disposal Compact's Ward 
Valley regional disposal facility and transfer of the land are in 
compliance with any applicable provisions of section 7 of Endangered 
Species Act of 1973 (16 U.S.C. 1536) and the National Environmental 
Policy Act of 1969 (42 U.S.C. 4332).
    (d) Deposit of Funds.--Sums received pursuant to subsection (a) 
shall be deposited as miscellaneous receipts in the Treasury of the 
United States.
    (e) Expiration of Authority.--This authority expires October 1, 
2010.

SEC. 9342. CONVEYANCE OF EASEMENTS.

    Concurrent with the conveyance property described in section 
9341(b) to the Department of Health Services of the State of 
California, all necessary easements for utilities and ingress and 
egress to said lands described in section 9341(b) of this Act and the 
right to improve those easements, are also conveyed to the Department 
of Health Services of the State of California: Provided, That the 
Department of Health Services right-of-way easements revert to the 
United States if the lands referenced in section 9341 are not licensed 
and used as a low-level radioactive waste disposal facility.

                        Subtitle D--Territories

          PART 1--COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS

SEC. 9401. TERMINATION OF ANNUAL DIRECT GRANT ASSISTANCE.

    (a) Termination.--Pursuant to section 704(d) of the Covenant to 
Establish a Commonwealth of the Northern Mariana Islands in Political 
Union with the United States of America (48 U.S.C. 1681 note), the 
annual payments under section 702 of the Covenant shall terminate as of 
September 30, 1995.
    (b) Repeal.--Sections 3 and 4 of the Act of March 24, 1976 (Public 
Law 94-241; 48 U.S.C. 1681 note), as amended, are repealed, effective 
October 1, 1995.
    (c) Removal of Authority To Obligate Certain Funds.--Amounts 
appropriated under title VII of the Covenant to Establish a 
Commonwealth of the Northern Mariana Islands in Political Union with 
the United States of America, and under sections 3 and 4 of Public Law 
94-241 (48 U.S.C. 1681), which are not obligated as of the date of the 
enactment of this Act may not be obligated after such date.
    (d) Conforming Amendments.--Section 5 of such Act (48 U.S.C. 1681 
note) is amended--
            (1) by striking out ``agreement identified in section 3 of 
        this Act'' and inserting in lieu thereof ``Agreement of the 
        Special Representatives on Future United States Financial 
        Assistance for the Government of the Northern Mariana Islands, 
        executed July 10, 1985, between the special representative of 
        the President of the United States and the special 
        representatives of the Governor of the Northern Mariana 
        Islands''; and
            (2) by striking out ``Committee on Interior and Insular 
        Affairs'' and inserting in lieu thereof ``Committee on 
        Resources''.

            PART 2--TERRITORIAL ADMINISTRATIVE CESSATION ACT

SEC. 9421. SHORT TITLE.

    This part may be cited as the ``Territorial Administrative 
Cessation Act''.

SEC. 9422. CONGRESSIONAL FINDINGS.

    The Congress finds that--
            (1) each of the four political subdivisions of the United 
        Nations Trust Territory of the Pacific Islands, known as the 
        Japanese Mandated Islands, have successfully entered into 
        distinct self-governing entities, thereby culminating in the 
        final termination of the Trusteeship and the end of the 
        trusteeship responsibilities of the United States as 
        administering authority of the Trust Territory on October 1, 
        1994;
            (2) the United States territories have developed 
        progressively increased local self-government over the past 
        five decades;
            (3) the territories predominantly deal directly with 
        Federal agencies and departments, as a State would;
            (4) the administering responsibilities of the Department of 
        the Interior with respect to the insular areas has declined 
        substantially during the past five decades; and
            (5) Federal-territorial relations can be enhanced and 
        Federal fiscal conditions improved by the elimination of 
        unnecessary Federal bureaucracy.

SEC. 9423. ELIMINATION OF OFFICE OF TERRITORIAL AND INTERNATIONAL 
              AFFAIRS.

    (a) In General.--The Office of Territorial and International 
Affairs of the Department of the Interior, established pursuant to the 
Order of the Secretary of the Interior 3046, of February 14, 1980, as 
amended, is hereby abolished.
    (b) Termination of Position of Assistant Secretary.--Section 5315 
of title 5, United States Code, is amended by striking ``Assistant 
Secretaries of the Interior (6)'' and inserting ``Assistant Secretaries 
of the Interior (5)''.
    (c) Effective Date.--Subsection (a) and the amendment made by 
subsection (b) shall take effect on the first day of the first fiscal 
year that begins after the date of the enactment of this Act.

SEC. 9424. CERTAIN ACTIVITIES NOT FUNDED.

    Amounts may not be made available for the following program 
activities for assistance to territories for fiscal years beginning 
after September 30, 1995, as identified under the appropriations 
account numbered 14-0412-0-1-808:
            (1) technical assistance, item 00.12;
            (2) maintenance assistance, item 00.14;
            (3) disaster fund, item 00.17; and
            (4) insular management controls, item 00.19.

                          Subtitle E--Minerals

                        PART 1--HARDROCK MINING

SEC. 9501. FINDINGS AND PURPOSE.

    (a) Findings.--Congress finds and declares that--
            (1) a secure and reliable supply of locatable minerals is 
        essential to the industrial base of the United States, national 
        security, and balance of trade;
            (2) many of the deposits of locatable minerals that may be 
        commercially developed are on Federal lands as that term is 
        defined in this Act, and are difficult and expensive to 
        discover, mine, extract and process;
            (3) the national need for locatable minerals will continue 
        to expand, and without a strong mining industry the demand for 
        the minerals will exceed domestic sources of supply;
            (4) mining of locatable minerals is an extremely high-risk, 
        capital-intensive endeavor, which, to attract necessary 
        investment, requires certainty and predictability in access to 
        Federal lands in establishment of mining titles, and in the 
        rights of owners of mining claims or sites to develop minerals;
            (5) the national interest is to foster and encourage 
        private enterprise in the development of a domestic minerals 
        industry to maintain and create high-paying jobs and the 
        various Federal, State, and local taxes paid by the mining 
        industry in the United States;
            (6) changes in the general mining laws of the United States 
        to provide more direct economic return to the United States and 
        greater protection of public resources are desirable, so long 
        as these changes do not act as a disincentive to development of 
        minerals, adversely affect employment in the mining industry or 
        in industries that provide goods and services required for 
        mining activities, interfere with a secure and reliable 
        domestic supply of minerals, or adversely affect the balance of 
        trade of the United States; and
            (7) mining claims, mill sites and tunnel sites located 
        under the general mining laws are property interests, and any 
        law or regulation that substantially impairs existing property 
        rights may expose the Federal Government to takings claims 
        under the fifth amendment to the United States Constitution.
    (b) Purpose.--It is the purpose of this subtitle to--
            (1) affirm and maintain the policy established in section 2 
        of the Mining and Minerals Policy Act of 1970;
            (2) promote exploration for and the development of a secure 
        and reliable domestic source of locatable minerals;
            (3) provide for increased Federal revenue from the location 
        and production of locatable minerals from Federal lands through 
        patent payments and royalties; and
            (4) recognize that unpatented mining claims, mill sites and 
        tunnel sites are property rights in the fullest sense and 
        avoid, to the greatest extent possible, claims of takings of 
        existing property rights under the general mining laws that 
        could require compensation under the fifth amendment to the 
        United States Constitution.

SEC. 9502. PATENTS UNDER THE GENERAL MINING LAW.

    (a) In General.--Any patent issued by the United States under the 
general mining laws after the date of the enactment of this Act for any 
interest in land covered by a mining claim or site under such laws 
shall be issued only--
            (1) upon payment by the owner of the mining claim or site 
        of the fair market value for the interest in the land owned by 
        the United States exclusive of, and without regard to, the 
        mineral deposits in the land or the use of such land for 
        mineral activities unless the requirements of subsection (b) 
        are met, and
            (2) subject to a reservation by the United States of the 
        royalty provided in section 9503(a), unless the requirements in 
        subsection (b) are met.
    (b) Patent Transition.--(1) Subsection (a) shall not apply to any 
mining claim or site if--
            (A) the claimant establishes that the claim or site 
        constituted a valid mining claim as of the date of the 
        enactment of this Act; and
            (B) the claimant has filed a patent application or mineral 
        survey application prior to the date of the enactment of this 
        Act, or files such an application with the Bureau of Land 
        Management before the date 2 years after the date of the 
        enactment of this Act. A patent application or mineral survey 
        application referred to in this subparagraph shall be deemed 
        timely, notwithstanding that the application may be corrected 
        or supplemented and resubmitted thereafter.
    (2) During the 2-year period in paragraph (1)(B), or while there is 
pending a mineral survey or patent application to which this subsection 
applies, an owner of the mining claim or site may continue work on a 
mining claim or site directed toward establishment and confirmation of 
entitlement to a patent, and may amend the application as necessary.
    (3) Where access to any mining claim or site has been denied or 
impeded by the action or inaction of any Federal official, agency, or 
court during all or part of the 5-year period preceding the date of 
enactment of this Act, including any mining claim or site within the 
area described in section 106 of Public Law 103-433, and the mining 
claim or site may require further exploration or development in order 
for the claimant to file a patent application or a mineral survey 
application and otherwise meet the requirements of paragraph (1), the 
claimant may, within 1 year after the date of enactment of this Act, 
submit a certified written statement to the Secretary describing the 
access denial or impediment, and shall then have a period of 10 years 
from the date of enactment of this Act or the termination of such 
access denial or impediment, whichever occurs first, to conduct such 
mineral exploration or development activities, file a patent 
application or mineral survey application, and otherwise meet the 
requirements of paragraph (1).
    (c) Payment Plan.--(1) Any owner grossing less than $500,000 
annually shall qualify for a payment plan. Upon completion of the 
patent process, the owner of the mining claim may purchase the surface 
estate under the following conditions:
            (A) Payment to be amortized over 5 years with 5 equal 
        annual payments, including principal and interest.
            (B) Interest shall be calculated per annum at a rate of 2 
        percent over the ``Treasury Current Value of Funds Rate'' on 
        the date of execution of the payment plan agreement.
    (2) The purchaser shall be notified by certified mail after 60 days 
of delinquent payments and have 90 days from receipt of notification to 
correct the delinquency. Repossession shall be by and under the laws of 
repossession, foreclosure, and replevin of the State wherein the land 
is situated.
    (d) Repeal of Patenting Moratorium; Processing of Patent 
Applications.--Sections ____ and ____ of Public Law ____ are hereby 
repealed. The Secretary of the Interior shall diligently process all 
patent applications under the general mining laws pending on the date 
of enactment and shall make determinations for all such applications 
regarding patent issuance within 2 years.

SEC. 9503. ROYALTY UNDER THE GENERAL MINING LAW.

    (a) In General.--The production and sale of locatable minerals 
(including associated minerals) from any unpatented mining claim (other 
than those from Federal lands to which subsection 9502(b) applies) or 
any mining claim patented under section 9502(a) shall be subject to a 
royalty of 3.5 percent on the net proceeds from such production mined 
and sold from such claim.
    (b) Royalty Exclusion.--(1) The royalty payable under this section 
shall be waived for any person or corporation with annual net proceeds 
from mineral production subject to subsection (a) of less than $50,000.
    (2) Where mining operations subject to this section are conducted 
in 2 or more places by 1 person or corporation, the operations shall be 
considered a single operation the aggregate net proceeds from which 
shall be subject to the $50,000 limitation set forth in this 
subsection.
    (3) No royalty shall be payable under this section with respect to 
minerals processed at a facility by the same person or entity which 
extracted the minerals if an urban development action grant has been 
made under section 119 of the Housing and Community Development Act of 
1974 with respect to any portion of such facility.
    (4) The obligation to pay royalties under this section shall accrue 
only upon the sale of locatable minerals or mineral products produced 
from a mining claim subject to such royalty, and not upon the 
stockpiling of the same for future processing.
    (c) Definitions.--For the purposes of this subtitle:
            (1) The term ``net proceeds'' means gross yield, less the 
        sum of the following deductions for costs incurred prior to 
        sale or value determination, and none other:
                    (A) The actual cost of extracting the locatable 
                mineral.
                    (B) The actual cost of transporting the locatable 
                mineral from the claim to the place or places of 
                reduction, beneficiation, refining, and sale.
                    (C) The actual cost of crushing, processing, 
                reduction, beneficiation, refining, and sale of the 
                locatable mineral.
                    (D) The actual cost of marketing and delivering the 
                locatable mineral and the conversion of the locatable 
                mineral into money.
                    (E) The actual cost of maintenance and repairs of--
                            (i) all machinery, equipment, apparatus, 
                        and facilities used in the mine;
                            (ii) all crushing, milling, leaching, 
                        refining, smelting, and reduction works, 
                        plants, and facilities; and
                            (iii) all facilities and equipment for 
                        transportation.
                    (F) The actual cost for support personnel and 
                support services at the mine site, including without 
                limitation, accounting, assaying, drafting and mapping, 
                computer services, surveying, housing, camp, and office 
                expenses, safety, and security.
                    (G) The actual cost of engineering, sampling, and 
                assaying pertaining to development and production.
                    (H) The actual cost of permitting, reclamation, 
                environmental compliance and monitoring.
                    (I) The actual cost of fire and other insurance on 
                the machinery, equipment, apparatus, works, plants, and 
                facilities mentioned in subparagraph (E).
                    (J) Depreciation of the original capitalized cost 
                of the machinery, equipment, apparatus, works, plants, 
                and facilities listed in subparagraph (E). The annual 
                depreciation charge shall consist of amortization of 
                the original cost in the manner consistent with the 
                Internal Revenue Code of 1986, as amended from time to 
                time. The probable life of the property represented by 
                the original cost must be considered in computing the 
                depreciation charge.
                    (K) All money expended for premiums for industrial 
                insurance, and the owner paid cost of hospital and 
                medical attention and accident benefits and group 
                insurance for all employees engaged in the production 
                or processing of locatable minerals.
                    (L) All money paid as contributions or payments 
                under State unemployment compensation law, all money 
                paid as contributions under the Federal Social Security 
                Act, and all money paid to State government in real 
                property taxes and severance or other taxes measured or 
                levied on production, or Federal excise tax payments 
                and payments as fees or charges for use of the Federal 
                lands from which the locatable minerals are produced.
                    (M) The actual cost of the developmental work in or 
                about the mine or upon a group of mines when operated 
                as a unit.
            (2) The term ``gross yield'' shall having the following 
        meaning:
                    (A) In the case of sales of gold and silver ore, 
                concentrates or bullion, or the sales of other 
                locatable minerals in the form of ore or concentrates, 
                the term ``gross yield'' means the actual proceeds of 
                sale of such ore, concentrates or bullion.
                    (B) In the case of sales of beneficiated products 
                from locatable minerals other than those subject to 
                subparagraph (A) (including cathode, anode or copper 
                rod or wire, or other products fabricated from the 
                locatable minerals), the term ``gross yield'' means the 
                gross income from mining derived from the first 
                commercially marketable product determined in the same 
                manner as under section 613 of the Internal Revenue 
                Code of 1986.
                    (C) If ore, concentrates, beneficiated or 
                fabricated products, or locatable minerals are used or 
                consumed and are not sold in an arms length 
                transaction, the term ``gross yield'' means the 
                reasonable fair market value of the ore, concentrates, 
                beneficiated or fabricated products at the mine or 
                wellhead determined from the first applicable of the 
                following:
                            (i) Published or other competitive selling 
                        prices of locatable minerals of like kind and 
                        grade.
                            (ii) Any proceeds of sale.
                            (iii) Value received in exchange for any 
                        thing or service.
                            (iv) The value of any locatable minerals in 
                        kind or used or consumed in a manufacturing 
                        process or in providing a service.
                Without limiting the foregoing, the profits or losses 
                incurred in connection with forward sales, futures or 
                commodity options trading, metal loans, or any other 
                price hedging or speculative activity or arrangement 
                shall not be included in gross yield.
            (3) The term ``Secretary'' means the Secretary of the 
        Interior.
    (d) Limitations and Allocations of Net Proceeds, Gross Yield, and 
Allowable Costs.--(1) The deductions listed in subsection (c)(1) are 
intended to allow a reasonable allowance for overhead. Such deductions 
shall not include any expenditures for salaries, or any portion of 
salaries, of any person not actually engaged in--
            (A) the working of the mine;
            (B) the operating of the leach pads, ponds, plants, mills, 
        smelters, or reduction works;
            (C) the operating of the facilities or equipment for 
        transportation; or
            (D) superintending the management of any of those 
        operations described in subparagraphs (A) through (C).
    (2) Ores or solutions of locatable minerals subject to the royalty 
requirements of this section may be extracted from mines comprised of 
mining claims and lands other than mining claims and ore or solutions 
of locatable minerals subject to the royalty requirements of this 
section may be commingled with ores or solutions from lands other than 
mining claims. In any such case, for purposes of determining the amount 
of royalties payable under this section--
            (A) the operator shall first sample, weigh or measure, and 
        assay the same in accordance with accepted industry standards; 
        and
            (B) gross yield, allowable costs and net proceeds for 
        royalty purposes shall be allocated in proportion to mineral 
        products recovered from the mining claims in accordance with 
        accepted industry standards.
    (e) Liability for Royalty Payments.--The owner or co-owners of a 
mining claim subject to a royalty under this section shall be liable 
for such royalty to the extent of the interest in such claim owned. As 
used in this subsection, the terms ``owner'' and ``co-owner'' mean the 
person or persons owning the right to mine locatable minerals from such 
claim and receiving the net proceeds of such sale. No person who makes 
any royalty payment attributable to the interest of the owner or co-
owners liable therefor shall become liable to the United States for 
such royalty as a result of making such payment on behalf of such owner 
or co-owners.
    (f) Time and Manner of Payment.--(1) Royalty payments for 
production from any mining claim subject to the royalty payable under 
this section shall be due to the United States at the end of the month 
following the end of the calendar quarter in which the net proceeds 
from the sale of such production are received by the owner or co-
owners. Royalty payments may be made based upon good faith estimates of 
the gross yield, net proceeds and the quantity of ore, concentrates, or 
other beneficiated or fabricated products of locatable minerals, 
subject to adjustment when the actual annual gross yield, net proceeds 
and quantity are determined by the owner of the mining claim or site or 
co-owners.
    (2) Each royalty payment or adjustment shall be accompanied by a 
statement containing each of the following:
            (A) The name and Bureau of Land Management serial number of 
        the mining claim or claims from which ores, concentrates, 
        solutions or beneficiated products of locatable minerals 
        subject to the royalty required in this section were produced 
        and sold for the period covered by such payment or adjustment.
            (B) The estimated (or actual, if determined) quantity of 
        such ore, concentrates, solutions or beneficiated or fabricated 
        products produced and sold from such mining claim or claims for 
        such period.
            (C) The estimated (or actual, if determined) gross yield 
        from the production and sale of such ore, concentrates, 
        solutions or beneficiated products for such period.
            (D) The estimated (or actual, if determined) net proceeds 
        from the production and sale of such ores, concentrates, 
        solutions or beneficiated products for such period, including 
        an itemization of the applicable deductions described in 
        subsection (c)(1).
            (E) The estimated (or actual, if determined) royalty due to 
        the United States, or adjustment due to the United States or 
        such owner or co-owners, for such period.
    (3) In lieu of receiving a refund under subsection (h), the owner 
or co-owners may elect to apply any adjustment due to such owner or co-
owners as an offset against royalties due from such owner or co-owners 
to the United States under this Act, regardless of whether such 
royalties are due for production and sale from the same mining claim or 
claims.
    (g) Recordkeeping and Reporting Requirements.--(1) An owner, 
operator, or other person directly involved in the conduct of mineral 
activities, transportation, purchase, or sale of locatable minerals, 
concentrates, or products derived therefrom, subject to the royalty 
under this section, through the point of royalty computation, shall 
establish and maintain any records, make any reports, and provide any 
information that the Secretary may reasonably require for the purposes 
of implementing this section or determining compliance with regulations 
or orders under this section. Upon the request of the Secretary when 
conducting an audit or investigation pursuant to subsection (i), the 
appropriate records, reports, or information required by this 
subsection shall be made available for inspection and duplication by 
the Secretary.
    (2) Records required by the Secretary under this section shall be 
maintained for 3 years after the records are generated unless the 
Secretary notifies the record holder that he or she has initiated an 
audit or investigation specifically identifying and involving such 
records and that such records must be maintained for a longer period. 
When an audit or investigation is under way, such records shall be 
maintained until the earlier of the date that the Secretary releases 
the record holder of the obligation to maintain such records or the 
date that the limitations period applicable to such audit or 
investigation under subsection (i) expires.
    (h) Interest Assessments.--(1) If royalty payments under this 
section are not received by the Secretary on the date that such 
payments are due, or if such payments are less than the amount due, the 
Secretary shall charge interest on such unpaid amount. Interest under 
this subsection shall be computed at the rate published by the 
Department of the Treasury as the ``Treasury Current Value of Funds 
Rate.'' In the case of an underpayment or partial payment, interest 
shall be computed and charged only on the amount of the deficiency and 
not on the total amount, and only for the number of days such payment 
is late. No other late payment or underpayment charge or penalty shall 
be charged with respect to royalties under this section.
    (2) In any case in which royalty payments are made in excess of the 
amount due, or amounts are held by the Secretary pending the outcome of 
any appeal in which the Secretary does not prevail, the Secretary shall 
promptly refund such overpayments or pay such amounts to the person or 
persons entitled thereto, together with interest thereon for the number 
of days such overpayment or amounts were held by the Secretary, with 
the addition of interest charged against the United States computed at 
the rate published by the Department of the Treasury as the ``Treasury 
Current Value of Funds Rate.''
    (i) Audits, Payment Demands and Limitations.--(1) The Secretary may 
conduct, after notice, any audit reasonably necessary and appropriate 
to verify the payments required under this section.
    (2) The Secretary shall send or issue any billing or demand letter 
for royalty due on locatable minerals produced and sold from any mining 
claim subject to royalty required by this section not later than 3 
years after the date such royalty was due and must specifically 
identify the production involved, the royalty allegedly due and the 
basis for the claim. No action, proceeding or claim for royalty due on 
locatable minerals produced and sold, or relating to such production, 
may be brought by the United States, including but not limited to any 
claim for additional royalties or claim of the right to offset the 
amount of such additional royalties against amounts owed to any person 
by the United States, unless judicial suit or administrative 
proceedings are commenced to recover specific amounts claimed to be due 
prior to the expiration of 3 years from the date such royalty is 
alleged to have been due.
    (j) Transitional Rules.--Any mining claim for which a patent is 
issued pursuant to section 9502(b) shall not be subject to the 
obligation to pay the royalty pursuant to this section. Royalty 
payments for any claim processed under section 9502(b) shall be 
suspended pending final determination of the right to patent. For any 
such claim that is determined not to qualify for the issuance of a 
patent under section 9502(b), royalties shall be payable under this 
section on production after the date of enactment of this Act, plus 
interest computed at the rate published by the Department of the 
Treasury as the ``Treasury Current Value of Funds Rate'' on production 
after such date of enactment and before the date of such determination.
    (k) Disbursement of Revenues.--The receipts from royalties 
collected under this section shall be disbursed as follows:
            (1) Two-thirds of such receipts shall be paid into the 
        Treasury of the United States and deposited as miscellaneous 
        receipts.
            (2) One-third of such receipts shall be paid by the 
        Secretary of the Treasury to the State in which the mining 
        claim from which production occurred is located.
    (l) No Implied Covenants.--The owner of a mining claim subject to 
the provisions of this title shall have no obligation, express or 
implied, to explore for, develop, produce or market locatable minerals 
as a result of the obligation to pay a royalty hereunder, and the 
timing, nature, extent and manner of exploring, developing, mining and 
marketing such locatable minerals shall be in the sole discretion of 
the claim owner.

SEC. 9504. MINERAL MATERIALS.

    (a) Determinations.--Section 3 of the Act of July 23, 1955 (30 
U.S.C. 611), is amended as follows:
            (1) Insert ``(a)'' before the first sentence.
            (2) Add the following new subsection at the end thereof:
    ``(b)(1) Subject to valid existing rights, after the date of 
enactment of this subsection, notwithstanding the reference to common 
varieties in subsection (a) and to the exception to such term relating 
to a deposit of materials with some property giving it distinct and 
special value, all deposits of mineral materials referred to in such 
subsection, including the block pumice referred to in such subsection, 
shall be subject to disposal only under the terms and conditions of the 
Materials Act of 1947.
    ``(2) For purposes of paragraph (1), the term `valid existing 
rights' means that a mining claim located for any such mineral material 
had some property giving it the distinct and special value referred to 
in subsection (a), or as the case may be, met the definition of block 
pumice referred to in such subsection, was properly located and 
maintained under the general mining laws prior to the date of the 
enactment of this subsection, and was supported by a discovery of a 
valuable mineral deposit within the meaning of the general mining laws 
as in effect immediately prior to such date of enactment and that such 
claim continues to be valid under this Act.''.
    (b) Identified Deposits.--In order to assure that the Secretary has 
the authority to provide for the development of mineral materials 
which, in order to justify the investment necessary for the development 
of the appropriate mine, quarry or other workings and related 
facilities, may require longer and more secure tenure than is provided 
by sales contracts under the Act entitled ``An Act to provide for the 
disposal of materials on the public lands of the United States'', 
approved July 31, 1947 (30 U.S.C. 602), and in order to provide 
flexibility with regard to the manner of disposition of mineral 
materials section 2 of such Act is amended by adding at the end the 
following:
    ``(b) Identified Deposits.--(1) Lands known to contain valuable 
deposits of mineral materials subject to this Act and subsequent 
amendments and not covered by any contract, permit, or lease under this 
section shall also be subject to disposition by lease under this Act by 
the Secretary of the Interior through advertisement, competitive 
bidding, or such other methods as he may by general regulations adopt, 
and in such reasonably compact areas as he shall fix.
    ``(2) All leases will be conditioned upon--
            ``(A) the payment by the lessee of such royalty as may be 
        fixed in the lease, not less than two percent of the quantity 
        or gross value of the output of mineral materials, and
            ``(B) the payment in advance of a rental of 25 cents per 
        acre for the first calendar year or fraction thereof; 50 cents 
        per acre for the second, third, fourth, and fifth years, 
        respectively; and $1 per acre per annum thereafter during the 
        continuance of the lease, such rental for that year being 
        credited against royalties accruing for that year.
    ``(3)(A) Any lease issued under this subsection shall be for a term 
of 20 years and so long thereafter as the lessee complies with the 
terms and conditions of the lease and upon the further condition that 
at the end of each 20-year period succeeding the date of the lease such 
reasonable adjustment of the terms and conditions thereof may be made 
therein as may be prescribed by the Secretary of the Interior unless 
otherwise provided by law at the expiration of such periods.
    ``(B) Leases shall be conditioned upon a minimum annual production 
or the payment of a minimum royalty in lieu thereof, except when 
production is interrupted by strikes, the elements, or casualties not 
attributable to the lessee.
    ``(C) The Secretary of the Interior may permit suspension of 
operations under any such leases when marketing conditions are such 
that the leases cannot be operated except at a loss.
    ``(D) The Secretary upon application by the lessee prior to the 
expiration of any existing lease in good standing shall amend such 
lease to provide for the same tenure and to contain the same 
conditions, including adjustment at the end of each 20-year period 
succeeding the date of said lease, as provided for in this subsection.
    ``(c) Other Lands.--(1) The Secretary of the Interior is hereby 
authorized, under such rules and regulations as he may prescribe, to 
grant to any qualified applicant a prospecting permit which shall give 
the exclusive right to prospect for mineral materials in lands 
belonging to the United States which are not subject to subsection (b), 
and are not covered by a contract, permit, or lease under this Act, 
except that a prospecting permit shall not exceed a period of 2 years 
and the area to be included in such a permit shall not exceed 2,560 
acres of land in reasonably compact form.
    ``(2) The Secretary of the Interior shall reserve and may exercise 
the authority to cancel any prospecting permit upon failure by the 
permittee to exercise due diligence in the prosecution of the 
prospecting work in accordance with the terms and conditions stated in 
the permit, and shall insert in every such permit issued under the 
provisions of this Act appropriate provisions for its cancellation by 
him.
    ``(3) Upon showing to the satisfaction of the Secretary of the 
Interior that valuable deposits of one of the mineral materials subject 
to the Materials Act of 1947 have been discovered by the permittee 
within the area covered by his permit, and that such land is valuable 
therefor, the permittee shall be entitled to a lease for any or all of 
the land embraced in the prospecting permit, at a royalty of not less 
than two percent of the quantity or gross value of the output of the 
mineral materials at the point of shipment to market, such lease to be 
taken in compact form by legal subdivisions of the public land surveys, 
or if the land be not surveyed, by survey executed at the cost of the 
permittee in accordance with regulations prescribed by the Secretary of 
the Interior.''.
    (d) Mineral Materials Disposal Clarification.--Section 4 of the Act 
of July 23, 1955 (30 U.S.C. 612), as amended as follows:
            (1) In subsection (b) insert ``and mineral material'' after 
        ``vegetative''.
            (2) In subsection (c) insert ``and mineral material'' after 
        ``vegetative''.
    (e) Conforming Amendment.--Section 1 of the Act of July 31, 1947, 
entitled ``An Act to provide for the disposal of materials on the 
public lands of the United States'' (30 U.S.C. 601 and following) is 
amended by striking ``common varieties of'' in the first sentence.
    (f) Short Titles.--
            (1) Surface resources.--The Act of July 23, 1955, is 
        amended by inserting after section 7 the following new section:
    ``Sec. 8. This Act may be cited as the `Surface Resources Act of 
1955'.''.
            (2) Mineral materials.--The Act of July 31, 1947, entitled 
        ``An Act to provide for the disposal of materials on the public 
        lands of the United States'' (30 U.S.C. 601 and following) is 
        amended by inserting after section 4 the following new section:
    ``Sec. 5. This Act may be cited as the `Materials Act of 1947'.''.
    (g) Repeals.--(1) Subject to valid existing rights, the Act of 
August 4, 1892 (27 Stat. 348, 30 U.S.C. 161), commonly known as the 
Building Stone Act, is hereby repealed.
    (2) Subject to valid existing rights, the Act of January 31, 1901 
(30 U.S.C. 162), commonly known as the Saline Placer Act, is hereby 
repealed.
    (h) Authorization for Disposal of Mineral Materials by Contract.--
Section 2(a) of the Act entitled ``An Act to provide for the disposal 
of materials on the public lands of the United States'', approved July 
31, 1947 (30 U.S.C. 602(a)), is amended--
            (1) by striking the period at the end of paragraph (3) and 
        inserting ``or, if''; and
            (2) by adding after paragraph (3) the following:
            ``(4) the material is a mineral material.''.
    (i) Sodium.--Section 24 of the Mineral Leasing Act (30 U.S.C. 181 
et seq.) is amended by inserting after ``2 per centum'' in each place 
it appears the following: ``and not greater than five and one-half per 
centum''. Any rate under section 24 of the Mineral Leasing Act (30 
U.S.C. 181) in excess of five and one-half per centum shall not be 
allowed unless the following conditions are met:
            (1) the Secretary, in consultation with the Secretary of 
        Commerce and the United States Trade Representative, finds that 
        any increase in the royalty rate for sodium will not have an 
        adverse effect on the export of domestically produced soda ash;
            (2) the Secretary reports this finding of no ``adverse 
        effect'' to Congress and recommends an additional proposed 
        royalty rate increase; and
            (3) the Congress, within 360 days, approves the Secretary's 
        recommendation.
The Secretary shall, within 90 days, offer for competitive bid all 
tracts for which there are applications pending on sodium leases.

SEC. 9505. CLAIM MAINTENANCE REQUIREMENTS.

    (a) Maintenance Fees.--
            (1) Annual maintenance fee.--After the date of enactment of 
        this Act, the owner of each unpatented mining claim or site 
        located pursuant to the general mining laws, whether located 
        before or after the enactment of this Act, shall pay to the 
        Secretary in advance on or before September 1 of each year, 
        until a patent has been issued therefor, an annual maintenance 
        fee per mining claim or site.
            (2) Initial maintenance fee.--The owner of each unpatented 
        mining claim or site located after the date of enactment of 
        this Act pursuant to the general mining laws shall pay to the 
        Secretary, at the time the copy of the notice or certificate of 
        location is filed with the Bureau of Land Management pursuant 
        to section 314(b) of the Federal Land Policy and Management Act 
        of 1976 (43 U.S.C. 1744(b)), the location fee required under 
        subsection (i) of this section, in lieu of the annual 
        maintenance fee of $100 per mining claim or site for the 
        assessment year which includes the date of location of such 
        mining claim or site.
            (3) Exemption.--The owner of any mining claim or site who 
        certifies in writing to the Secretary on or before the first 
        day of any assessment year that access to such mining claim or 
        site was denied or impeded during the prior assessment year by 
        the action or inaction of any local, State, or Federal 
        governmental officer, agency, or court, or by any Indian tribal 
        authority, shall be exempt from the annual maintenance fee 
        requirements of paragraph (1) for the assessment year following 
        the filing of the certification.
            (4) Amount of annual maintenance fee.--For each assessment 
        year the annual maintenance fee payable under paragraph (1) for 
        a claim or site referred to in paragraph (1) shall be in the 
        amount specified in Table 1.
      

                                 TABLE 1                                
------------------------------------------------------------------------
                                                  Amount of Fee Per Site
                Assessment Year                          or Claim       
------------------------------------------------------------------------
1 through 3....................................       $100 per year     
4 through 5....................................       $150 per year     
6 through 10...................................       $200 per year     
11 through 15..................................       $300 per year     
16 and thereafter..............................       $500 per year     
------------------------------------------------------------------------

For purposes of applying Table 1 in the case of claims filed before the 
enactment of this Act, the portion of the assessment year in which this 
Act is enacted shall be treated as the first assessment year.
            (5) Effect of forfeiture.--No owner or co-owner of a mining 
        claim or site which has been forfeited because the maintenance 
        fee has not been paid and no person who is a related person of 
        any such owner or co-owner may relocate a new claim on any part 
        of lands located within the forfeited claim for a period of 18 
        months after the date of forfeiture.
            (6) Deposit of fees.--The full amount of all fees paid 
        under this subsection shall be deposited in the General Fund of 
        the Treasury.
    (b) Annual Labor.--(1) Amounts expended on activities that qualify 
as annual labor under the general mining laws may be credited on a 
dollar for dollar basis towards up to 75 percent of the annual 
maintenance fee payable under this section for the following assessment 
year.
    (2) Subject to the 75 percent limit set forth in paragraph (1), the 
excess of amounts expended for annual labor performed in any one year 
over such 75 percent limit may be applied to the maintenance fee due in 
subsequent years for a period of up to three years.
    (3) In order to receive credit under this subsection for annual 
labor work or excess annual labor, the description and value of the 
work must be included in the statement required in subsection (e) and 
the statement must be timely filed.
    (4) Annual labor performed on an individual mining claim or site 
within a group of contiguous claims may be credited towards the 
aggregate amount of maintenance fees due on all of the contiguous 
claims within that group.
    (c) Work Qualifying as Annual Labor.--(1) Only work which directly 
benefits or develops a mining claim or facilitates the extraction of 
ore qualifies as annual labor. Acceptable labor and improvements 
include any of the following:
            (A) Drilling or excavating, including ore extraction.
            (B) Mining costs directly associated with the production of 
        ore.
            (C) Prospecting work which benefits the location or a 
        contiguous location.
            (D) Development work toward an actual mine, such as shafts, 
        tunnels, crosscuts and drifts, settling ponds and dams.
            (E) Bringing in water for direct mining or milling 
        purposes.
            (F) Clearing of brush, timber, debris, or overburden where 
        necessary to facilitate the extraction or processing of 
        minerals.
            (G) Construction of trails, roads, or landing strips 
        providing access to claims.
            (H) Construction costs of worker housing, mills, and 
        equipment storage buildings where reasonably necessary for the 
        development of the location.
            (I) Reasonable value of the use of equipment for 
        prospecting, mining, or development purposes on the location.
            (J) Repairs of equipment used for prospecting, sampling, or 
        production of minerals provided that such equipment has been on 
        site during the assessment year.
            (K) Cost of moving workers, materials, and equipment among 
        contiguous locations.
            (L) Watchman services of a bona fide employed watchman on 
        the property where reasonably necessary to protect mining 
        equipment of substantial value.
            (M) Activities covered under section 1 of the Act of 
        September 2, 1958 (30 U.S.C. 28-1), as amended.
            (N) Reclamation conducted pursuant to State or Federal 
        surface management regulations.
            (O) Other activities which the Secretary may determine 
        qualify as annual labor.
    (2) The following activities do not qualify as annual labor:
            (A) Work involved in maintaining the location such as 
        brushing and marking boundaries or replacing corner posts and 
        location notices.
            (B) Transportation of workers to or from the location.
            (C) Prospecting or exploration work not conducted within 
        the location or a contiguous location.
    (d) Amendments of Public Law 85-876.--The Act of September 2, 1958 
(Public Law 85-876; 30 U.S.C. 28-1), is amended as follows:
            (1) Section 1 is amended by inserting ``mineral activities, 
        environmental baseline monitoring, and'' after ``without being 
        limited to'' and before ``geological, geochemical and 
        geophysical surveys'' and by striking ``Such'' at the beginning 
        of the last sentence and inserting ``Airborne''.
            (2) Section 2(d) is amended by inserting ``environmental 
        baseline monitoring or'' after ``experience to conduct'' and 
        before ``geological, geochemical or geophysical surveys''.
            (3) Section 2 is amended by adding at the end of the 
        following new subsection at the end thereof:
    ``(e) The term `environmental baseline monitoring' means activities 
for collecting, reviewing and analyzing information concerning soil, 
vegetation, wildlife, mineral, air, water, cultural, historical, 
archaeological or other resources related to planning for or complying 
with Federal and State environmental or permitting requirements 
applicable to potential or proposed mineral activities on the 
claim(s).''.
    (e) Maintenance Fee Statement.--Each payment under subsection (a) 
of this section shall be accompanied by a statement which reasonably 
identifies the mining claim or site for which the maintenance fee is 
being paid. The statement required under this subsection shall be in 
lieu of any annual filing requirements for mining claims or sites, 
under any other Federal law, but shall not supersede any such filing 
requirement under applicable State law.
    (f) Annual Labor Report.--When the value of annual labor is 
credited towards part or all of the maintenance fee, subject to the 75-
percent limit set forth in subsection (b)(1), the following shall 
apply:
            (1) The maintenance fee statement required in subsection 
        (e) must also state the dates of performance of the labor, 
        describe the character and total value of the improvements made 
        or the labor performed, the amount of labor used as a credit 
        toward the maintenance fee for the current year, and the value 
        of excess labor performed in previous years which is to be 
        applied to the maintenance fee for the current year.
            (2) Documentation which reasonably supports the activities 
        or improvements claimed must accompany the maintenance fee 
        statement. Such documentation may include, but is not limited 
        to, copies of maps showing sample locations, drill locations, 
        or survey data; environmental baseline data; reports on 
        geology, geochemistry, or geophysics by qualified experts; 
        drill results; or engineering reports by qualified engineers.
            (3) All supporting material filed pursuant to paragraph (2) 
        shall remain confidential in accordance with section 552 of 
        title 5 of the United States Code as long as the location is 
        maintained and for a period of one year after the location is 
        abandoned, after which all data filed shall be considered 
        public information.
    (g) Effect of Compliance as Against Subsequent Locators.--(1) 
Except as provided in paragraph (2), after the date of enactment of 
this Act, compliance with the requirements of this section shall, from 
the time the location notice or certificate is posted on the land under 
applicable State law, confer upon the owner of any unpatented mining 
claim or site, whether located before or after the date of enactment of 
this Act, an exclusive right of possession, as against subsequent 
locators, of the land included in such mining claim or site under the 
general mining laws. If more than one mining claim or site owned or 
controlled by the same claim or site owner covers substantially the 
same land, by reason of the location of one or more mining claims or 
sites on such land, the amendment or relocation of any such mining 
claim or site, or otherwise, such exclusive right of possession shall 
extend to all such mining claims or sites, effective from the time the 
location notice or certificate for the initial mining claim or site was 
posted on such land under applicable State law. The order of location, 
amendment, or relocation of any such mining claims or sites on such 
land shall not affect the validity of any such mining claim or site. 
Such owner of the mining claim or site shall not be required to be in 
actual, physical occupation of such land and shall not be required to 
exclude rival locators from such land. Such exclusive right of 
possession shall be subject to applicable Federal law, including the 
Multiple Mineral Development Act of 1954 (30 U.S.C. 521-31), the 
Materials Act of 1947 (30 U.S.C. 601-604) and the Surface Resources Act 
of 1955 (30 U.S.C. 611-15) to the extent applicable, and shall neither 
enlarge nor diminish any rights of such owner of the mining claim or 
site as against the United States in such land. This paragraph shall 
supersede the common law doctrine of pedis possessio.
    (2) Conflicts over the right of exclusive possession of land 
included in any mining claim or site shall be determined in proceedings 
between owners of mining claims or sites under the provisions of 
section 910 of the Revised Statutes (30 U.S.C. 53) and other applicable 
law, including but not limited to each of the following:
            (A) Any conflict based upon circumstances existing as of 
        the date of enactment of this Act between mining claims or 
        sites located before the date of enactment of this Act, shall 
        be resolved under the law in effect on the day prior to the 
        date of enactment of this Act, including the common law 
        doctrine of pedis possessio.
            (B) Any conflict arising on or after the date of enactment 
        of this Act between mining claims or sites located before, on 
        or after the date of enactment over whether either owner of the 
        mining claim or site has complied with the requirements of this 
        section, shall be resolved under this Act.
    (h) Failure of Co-Owner To Contribute.--Upon the failure of any one 
or more of several co-owners of any mining claim or site to contribute 
such co-owner or owners' portion of any location or maintenance fee 
payable under this section, any co-owner who has paid such fee may, 
after the payment due date, serve the delinquent co-owner or owners 
with notice of such failure in writing or, if such delinquent co-owner 
or owners cannot be located after reasonable efforts, by publication in 
a general circulation newspaper published in a location nearest the 
mining claim or site at least once a week for at least 90 days. If at 
the expiration of 90 days after such notice in writing or by 
publication, any delinquent co-owner fails or refuses to contribute the 
owed portion, such co-owner or owners' interest shall become the 
property of the owner or co-owners who have paid the required fee.
    (i) Location Fee.--The owner of each unpatented mining claim or 
site located on or after the date of enactment of this Act pursuant to 
the general mining laws shall pay to the Secretary, at the time the 
notice or certificate of location is filed with the Bureau of Land 
Management pursuant to subsection 314(b) of the Federal Land Policy and 
Management Act of 1976 (43 U.S.C. 1744(b)), a location fee of $25.00 
per mining claim or site. The full amount of all fees paid under this 
subsection shall be deposited in the General Fund of the Treasury. 
Effective on the date of the enactment of this Act, section 10102 of 
the Omnibus Budget Reconciliation Act of 1993 (107 Stat. 406; 30 U.S.C. 
28g) is repealed.
    (j) Credit Against Maintenance Fee.--(1) Except as provided in 
paragraph (2), the annual maintenance fee payable for any unpatented 
mining claim or site for any assessment year shall be reduced by the 
amount of royalty paid by such claimholder for such mining claim or 
site, or for any contiguous mining claim or site, during the prior 
assessment year.
    (2) Royalties paid during any assessment year prior to the first 
full assessment year commencing after the enactment of this Act shall 
not reduce the amount of any maintenance fee.
    (k) Oil Shale Claims Subject to Claim Maintenance Fee Under Energy 
Policy Act of 1992.--This section shall not apply to any oil shale 
claims for which a fee is required to be paid under paragraph 
2511(e)(2) of the Energy Policy Act of 1992 (30 U.S.C. 242(e)(2)).
    (l) Failure To Comply.--The failure of the owner of the mining 
claim or site to pay any claim maintenance fee or location fee for a 
mining claim or site on or before the date such payment is due under 
this section shall constitute forfeiture of the mining claim or site 
and such mining claim or site shall be null and void, effective as of 
the day after the date such payment is due, except that if such 
maintenance fee or location fee is paid or tendered on or before the 
30th day after such payment was due under subsection of this section, 
such mining claim or site shall not be forfeited or null or void, and 
such maintenance fee or location fee shall be deemed timely paid.
    (m) Amendment of FLPMA Filing Requirements.--(1) Section 314(a) of 
the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1744(a)) 
is hereby repealed.
    (2) Section 314(c) of the Federal Land Policy and Management Act of 
1976 (43 U.S.C. 1744(c)) is amended to read as follows:
    ``(c) Failure To File as Constituting Forfeiture; Defective or 
Untimely Filing.--The failure to timely file the copy of the notice or 
certificate of location as required by subsection (b) shall constitute 
forfeiture of the mining claim and such claim shall be null and void by 
operation of law; except that it shall not be considered a failure to 
file if the notice or certificate of location is defective or not 
timely filed for record under other State or Federal laws permitting or 
requiring the filing or recording thereof, or if the copy of the notice 
or certificate is filed by or on behalf of some but not all of the 
owners of the claim.''.
    (n) Related Persons.--As used in this section, the term ``related 
persons'' includes--
            (1) the spouse and dependent children (as defined in 
        section 152 of the Internal Revenue Code of 1986), of the owner 
        of the mining claim or site; and
            (2) a person controlled by, controlling, or under common 
        control with the owner of the mining claim or site.
    (o) Repeal.--Section 10101 of the Omnibus Budget Reconciliation Act 
of 1993 (107 Stat. 406; 30 U.S.C. 28g) is repealed, effective with 
respect to assessment year commencing after the enactment of this Act.
    (p) Periodic Review of Fee Structure.--Beginning in the year 2005 
and at 10 year intervals thereafter, the Secretary shall review the 
costs incurred by the Secretary to administer mining claims for 
locatable minerals under the general mining laws and the structure and 
level of maintenance and location fees received by the Secretary with 
respect to such claims. The Secretary shall determine if the revenues 
from such fees is adequate to cover such costs, taking inflation and 
other appropriate factors into account. The Secretary shall submit the 
results of each such review to the Congress, together with such 
legislative recommendations as the Secretary deems appropriate.

                 PART 2--FEDERAL OIL AND GAS ROYALTIES

SEC. 9511. SHORT TITLE.

    This part may be cited as the ``Federal Oil and Gas Royalty 
Simplification and Fairness Act of 1995''.

SEC. 9512. DEFINITIONS.

    (a) In General.--Section 3 of the Federal Oil and Gas Royalty 
Management Act of 1982 (30 U.S.C. 1701 et seq.) is amended--
            (1) by amending paragraph (7) to read as follows:
            ``(7) `lessee' means any person to whom the United States, 
        an Indian tribe, or an Indian allottee issues a lease or any 
        person to whom operating rights have been assigned;''; and
            (2) by striking ``and'' at the end of paragraph (15), by 
        striking the period at the end of paragraph (16) and inserting 
        a semicolon, and by adding at the end the following:
            ``(17) `adjustment' means an amendment to a previously 
        filed report on an obligation, and any additional payment or 
        credit, if any, applicable thereto, to rectify an underpayment 
        or overpayment on a lease;
            ``(18) `administrative proceeding' means any agency process 
        in which a demand, decision or order issued by the Secretary is 
        subject to appeal or has been appealed;
            ``(19) `assessment' means any fee or charge levied or 
        imposed by the Secretary or the United States other than--
                    ``(A) the principal amount of any royalty, minimum 
                royalty, rental, bonus, net profit share or proceed of 
                sale;
                    ``(B) any interest; or
                    ``(C) any civil or criminal penalty;
            ``(20) `commence' means--
                    ``(A) with respect to a judicial proceeding, the 
                service of a complaint, petition, counterclaim, 
                crossclaim, or other pleading seeking affirmative 
                relief or seeking credit or recoupment; or
                    ``(B) with respect to a demand, the receipt by the 
                Secretary or a lessee of the demand;
            ``(21) `credit' means the application of an overpayment (in 
        whole or in part) against an obligation which has become due to 
        discharge, cancel or reduce the obligation;
            ``(22) `demand' means--
                    ``(A) an order to pay issued by the Secretary; or
                    ``(B) a separate written request by a lessee which 
                asserts an obligation due the lessee,
        but does not mean any royalty or production report, or any 
        information contained therein, required by the Secretary;
            ``(23) `obligation' means--
                    ``(A) any duty of the Secretary or the United 
                States--
                            ``(i) to take oil or gas royalty in kind; 
                        or
                            ``(ii) to pay, refund, offset, or credit 
                        monies including but not limited to--
                                    ``(I) the principal amount of any 
                                royalty, minimum royalty, rental, 
                                bonus, net profit share or proceed of 
                                sale; or
                                    ``(II) any interest;
                    ``(B) any duty of a lessee--
                            ``(i) to deliver oil or gas royalty in 
                        kind; or
                            ``(ii) to pay, offset or credit monies 
                        including but not limited to--
                                    ``(I) the principal amount of any 
                                royalty, minimum royalty, rental, 
                                bonus, net profit share or proceed of 
                                sale;
                                    ``(II) any interest;
                                    ``(III) any penalty; or
                                    ``(IV) any assessment,
        which arises from or relates to any lease administered by the 
        Secretary for, or any mineral leasing law related to, the 
        exploration, production and development of oil or gas on 
        Federal lands or the Outer Continental Shelf;
            ``(24) `order to pay' means a written order issued by the 
        Secretary or the United States which--
                    ``(A) asserts a definite and quantified obligation; 
                and
                    ``(B) specifically identifies the obligation by 
                lease, production month and amount of such obligation 
                ordered to be paid, as well as the reason or reasons 
                such obligation is claimed to be due,
        but such term does not include any other communication or 
        action by or on behalf of the Secretary or the United States;
            ``(25) `overpayment' means any payment by a lessee in 
        excess of an amount legally required to be paid on an 
        obligation and includes the portion of any estimated payment 
        for a production month that is in excess of the royalties due 
        for that month;
            ``(26) `payment' means satisfaction, in whole or in part, 
        of an obligation;
            ``(27) `penalty' means a statutorily authorized civil fine 
        levied or imposed by the Secretary or the United States for a 
        violation of this Act, any mineral leasing law, or a term or 
        provision of a lease administered by the Secretary;
            ``(28) `refund' means the return of an overpayment by the 
        Secretary or the United States by the drawing of funds from the 
        United States Treasury;
            ``(29) `State concerned' means, with respect to a lease, a 
        State which receives a portion of royalties under this Act from 
        such lease; and
            ``(30) `underpayment' means any payment or nonpayment by a 
        lessee that is less than the amount legally required to be paid 
        on an obligation.''.
    (b) Lessee Liability.--Section 102(a) of the Federal Oil and Gas 
Royalty Management Act of 1982 (30 U.S.C. 1712(a)) is amended to read 
as follows:
    ``(a) A lessee who is required to make any royalty or other payment 
under a lease or under the mineral leasing laws, shall make such 
payments in the time and manner as may be specified by the Secretary. A 
lessee may designate a person to act on the lessee's behalf and shall 
notify the Secretary in writing of such designation. The person to whom 
the United States issues a lease or the person by whom operating rights 
are currently owned, but not both, shall remain primarily liable for 
its obligations.''.

SEC. 9513. LIMITATION PERIODS.

    (a) In General.--The Federal Oil and Gas Royalty Management Act of 
1982 (30 U.S.C. 1701 et seq.) is amended by adding after section 114 
the following new section:

``SEC. 115. LIMITATION PERIODS AND AGENCY ACTIONS.

    ``(a) In General.--A judicial proceeding or demand which arises 
from, or relates to an obligation, shall be commenced within six years 
from the date on which the obligation becomes due and if not so 
commenced shall be barred, except as otherwise provided by this 
section.
    ``(b) Obligation Becomes Due.--
            ``(1) In general.--For purposes of this Act, an obligation 
        becomes due when the right to enforce the obligation is fixed.
            ``(2) Royalty obligations.--The right to enforce the 
        royalty obligation for a production month for a lease is fixed 
        for purposes of this Act on the last day of the calendar month 
        following the month in which oil or gas is produced.
    ``(c) Tolling of Limitation Period.--The running of the limitation 
period under subsection (a) shall not be suspended, tolled, extended, 
or enlarged for any obligation for any reason by any action, including 
an action by the Secretary or the United States, other than the 
following:
            ``(1) Tolling agreement.--A written agreement executed 
        during the limitation period between the Secretary and a lessee 
        which tolls the limitation period for the amount of time during 
        which the agreement is in effect.
            ``(2) Subpoena.--The issuance of a subpoena in accordance 
        with the provisions of section 107(c) shall toll the limitation 
        period with respect to the obligation which is the subject of a 
        subpoena only for the period beginning on the date the lessee 
        receives the subpoena and ending on the date on which (A) the 
        lessee has produced such subpoenaed records for the subject 
        obligation, (B) the Secretary receives written notice that the 
        subpoenaed records for the subject obligation are not in 
        existence or are not in the lessee's possession or control, or 
        (C) a court has determined in a final decision that such 
        records are not required to be produced, whichever occurs 
        first.
            ``(3) Fraud or concealment.--Any fraud or concealment by a 
        lessee in an attempt to defeat or evade an obligation in which 
        case the limitation period shall be tolled for the period of 
        such fraud or such concealment.
            ``(4) Tolling request.--A written tolling request from a 
        lessee based upon the lessee's representation that the lessee's 
        entitlement to an overpayment has not been finally determined. 
        The limitation period shall be tolled pursuant to this 
        paragraph from the date the Secretary receives the tolling 
        request until the earlier of the end of the requested period or 
        12 months after the date the Secretary receives the tolling 
        request, but is subject to successive 12-month renewals by the 
        lessee made prior to the expiration of the then applicable 12-
        month period. The tolling request shall be sufficient if it 
        identifies--
                    ``(A) the person who made the potential 
                overpayment;
                    ``(B) the leases and production months involved in 
                the potential overpayment; and
                    ``(C) the reasons the lessee believes that it may 
                later be entitled to a refund of the overpayment.
            ``(5) Order to perform a restructured accounting.--The 
        issuance of a notice under section 107(d)(4) that the lessee 
        has not adequately performed a restructured accounting shall 
        toll the limitation period with respect to the obligation which 
        is the subject of the notice only for the period beginning on 
        the date the lessee receives the notice and ending on the date 
        on which (A) the Secretary receives written notice the 
        accounting or other requirement has been performed, or (B) a 
        court has determined in a final decision that the lessee is not 
        required to perform the accounting, whichever occurs first.
    ``(d) Termination of Limitation Period.--The limitation period 
shall be terminated in the event--
            ``(1) the Secretary has notified the lessee in writing that 
        a time period is closed to further audit; or
            ``(2) the Secretary and a lessee have so agreed in writing.
    ``(e) Final Agency Action.--
            ``(1) 3-year period.--The Secretary shall issue a final 
        decision in any administrative proceeding, including any 
        administrative proceedings pending on the date of enactment of 
        the Federal Oil and Gas Royalty Simplification and Fairness Act 
        of 1995, within three years from the date such proceeding was 
        initiated or three years from the date of such enactment, 
        whichever is later. The three-year period may be extended by 
        any period of time agreed upon in writing by the Secretary and 
        the lessee.
            ``(2) Effect of failure to issue decision.--
                    ``(A) In general.--If no such decision has been 
                issued by the Secretary within the three-year period 
                referred to in paragraph (1)--
                            ``(i) the Secretary shall be deemed to have 
                        issued and granted a decision in favor of the 
                        lessee or lessees as to any nonmonetary 
                        obligation and any monetary obligation the 
                        principal amount of which is less than $2,500; 
                        and
                            ``(ii) the Secretary shall be deemed to 
                        have issued a final decision in favor of the 
                        Secretary, which decision shall be deemed to 
                        affirm those issues for which the agency 
                        rendered a decision prior to the end of such 
                        period, as to any monetary obligation the 
                        principal amount of which is $2,500 or more, 
                        and the lessee shall have a right to a de novo 
                        judicial review of such deemed final decision.
                    ``(B) No precedential effect on other 
                proceedings.--Deemed decisions under subparagraph (A) 
                shall have no precedential effect in any judicial or 
                administrative proceeding or for any other purpose.
    ``(f) Administrative Settlement.--During the pendency of any 
administrative proceeding, the parties shall hold at least one 
settlement consultation for the purpose of discussing disputed matters 
between the parties. For purposes of settlement, the Secretary may take 
such action as is appropriate to compromise and settle a disputed 
obligation, including interest and allowing offsetting of obligations 
among leases. The Secretary and the State concerned shall seek to 
resolve disputes with a lessee in as expeditious a manner as possible, 
through settlement negotiations and other alternative dispute 
resolution processes methods. If any dispute involving an obligation 
due is not resolved by the end of the six-year period beginning on the 
date the obligation became due, the amount of interest otherwise 
payable with respect to the obligation shall accrue after such six-year 
period at the rate--
            ``(1) for purposes of section 111(h), reduced each year 
        thereafter by two additional percentage points from the rate in 
        effect under this subsection for the previous year (but not 
        less than zero); and
            ``(2) for purposes of section 111(a), reduced each year 
        thereafter by one additional percentage point from the rate in 
        effect under this subsection for the previous year (but not 
        less than zero).
    ``(g) Limitation on Certain Actions.--When an action on or 
enforcement of an obligation under the mineral leasing laws is barred 
under this section--
            ``(1) no other or further action regarding that obligation, 
        including (but not limited to) the issuance of any order, 
        request, demand or other communication seeking any document, 
        accounting, determination, calculation, recalculation, payment, 
        principal, interest, assessment, or penalty or the initiation, 
        pursuit or completion of an audit with respect to that 
        obligation may be taken; and
            ``(2) no other equitable or legal remedy, whether under 
        statute or common law, with respect to an action on or an 
        enforcement of said obligation may be pursued.
    ``(h) Judicial Review.--In the event a demand subject to this 
section is timely commenced, a judicial proceeding challenging the 
final agency action with respect to such demand shall be deemed timely 
so long as such judicial proceeding is commenced within 180 days from 
receipt of notice by the lessee of the final agency action.
    ``(i) Implementation of Final Decision.--In the event a judicial 
proceeding or demand subject to this section is timely commenced and 
thereafter the limitation period in this section lapses during the 
pendency of such proceeding, any party to such proceeding shall not be 
barred from taking such action as is required or necessary to implement 
a final unappealable judicial or administrative decision, including any 
action required or necessary to implement such decision by the recovery 
or recoupment of an underpayment or overpayment by means of refund or 
credit.
    ``(j) Stay of Payment Obligation Pending Review.--Any party ordered 
by the Secretary or the United States to pay any obligation (other than 
an assessment) shall be entitled to a stay of such payment without bond 
or other surety instrument pending an administrative or judicial 
proceeding if the party periodically demonstrates to the satisfaction 
of the Secretary that such party is financially solvent or otherwise 
able to pay the obligation. In the event the party is not able to so 
demonstrate, the Secretary may require a bond or other surety 
instrument satisfactory to cover the obligation. Any party ordered by 
the Secretary to pay an assessment shall be entitled to a stay without 
bond or other surety instrument.
    ``(k) Inapplicability of the Other Statutes of Limitation.--The 
limitations set forth in sections 2401, 2415, 2416, and 2462 of title 
28, United States Code, section 42 of the Mineral Leasing Act (30 
U.S.C. 226-2) and section 3716 of title 31, United States Code, shall 
not apply to any obligation to which this Act applies.''.
    (b) Subpoena.--Section 107 of the Federal Oil and Gas Royalty 
Management Act of 1982 (30 U.S.C. 1717) is amended by adding at the end 
the following:
    ``(c) Rules Regarding Issuance of Subpoena Relating to Reporting 
and Payment of an Obligation Due.--
            ``(1) In general.--A subpoena which requires a lessee to 
        produce records necessary to determine the proper reporting and 
        payment of an obligation due the Secretary may be issued under 
        this section only by an Assistant Secretary of the Interior and 
        an acting Assistant Secretary of the Interior who is a schedule 
        C employee (as defined by section 213.3301 of title 5, Code of 
        Federal Regulations) and may not be delegated.
            ``(2) Prior written request required.--A subpoena described 
        in paragraph (1) may only be issued against a lessee during the 
        limitation period provided in section 115 and only after the 
        Secretary has in writing requested the records from the lessee 
        related to the obligation which is the subject of the subpoena 
        and has determined that--
                    ``(A) the lessee has failed to respond within a 
                reasonable period of time to the Secretary's written 
                request for such records necessary for an audit, 
                investigation or other inquiry made in accordance with 
                the Secretary's responsibilities under this Act;
                    ``(B) the lessee has in writing denied the 
                Secretary's written request to produce such records in 
                the lessee's possession or control necessary for an 
                audit, investigation or other inquiry made in 
                accordance with the Secretary's responsibilities under 
                this Act; or
                    ``(C) the lessee has unreasonably delayed in 
                producing records necessary for an audit, investigation 
                or other inquiry made in accordance with the 
                Secretary's responsibilities under this Act after the 
                Secretary's written request.
            ``(3) Reasonable period for compliance with written 
        request.--In seeking records, the Secretary shall afford the 
        lessee a reasonable period of time after a written request by 
        the Secretary in which to provide such records prior to the 
        issuance of any subpoena.''.
    (c) Restructured Accounting.--Section 107 of the Federal Oil and 
Gas Royalty Management Act of 1982 (30 U.S.C. 1717), as amended by 
subsection (b) of this section, is amended by adding at the end the 
following:
    ``(d) Restructured Accounting.--
            ``(1) In general.--The Secretary shall issue an order to 
        perform a restructured accounting when the Secretary determines 
        during an in-depth audit of a lessee that the lessee should 
        recalculate royalty due on an obligation based upon the 
        Secretary's finding that the lessee has made identified 
        underpayments or overpayments which are demonstrated by the 
        Secretary to be based upon repeated, systemic reporting errors 
        for a significant number of leases or a single lease for a 
        significant number of reporting months with the same type of 
        error which constitutes a pattern of violations and which are 
        likely to result in either significant underpayments or 
overpayments.
            ``(2) Delegation.--The power of the Secretary to issue an 
        order to perform a restructured accounting may not be delegated 
        below the most senior career professional position having 
        responsibility for the royalty management program, which 
        position is currently designated as the `Associate Director for 
        Royalty Management'. An order to perform a restructured 
        accounting shall--
                    ``(A) be issued within a reasonable period of time 
                from when the audit identifies the systemic, reporting 
                errors;
                    ``(B) specify the reasons and factual bases for 
                such order; and
                    ``(C) be specifically identified as an `order to 
                perform a restructured accounting'.
            ``(3) Order to perform.--An order to perform a restructured 
        accounting shall not include any other communication or action 
        by or on behalf of the Secretary or the United States.
            ``(4) Notice.--If a lessee fails to adequately perform a 
        restructured accounting pursuant to this subsection, a notice 
        shall be issued to the lessee that the restructured accounting 
        has not been adequately performed. Such notice may be issued 
        under this section only by an Assistant Secretary of the 
        Interior or an acting Assistant Secretary of the Interior who 
        is a schedule C employee (as defined by section 213.3301 of 
        title 5, Code of Federal Regulations) and may not be 
        delegated.''.
    (d) State Suits.--Section 204 of the Federal Oil and Gas Royalty 
Management Act of 1982 (30 U.S.C. 1751) is amended by adding at the end 
the following:
    ``(d) With respect to an obligation, a State bringing an action 
under this section shall enjoy no greater rights than the Secretary 
enjoys under this Act.''.
    (e) Clerical Amendment.--The table of contents in section 1 of such 
Act (30 U.S.C. 1701) is amended by adding after the item relating to 
section 114 the following new item:

``Sec. 115. Limitation periods and agency actions.''.

SEC. 9514. ADJUSTMENT AND REFUNDS.

    (a) In General.--The Federal Oil and Gas Royalty Management Act of 
1982 (30 U.S.C. 1701 et seq.) is amended by adding after section 111 
the following new section:

``SEC. 111A. ADJUSTMENTS AND REFUNDS.

    ``(a) Adjustments.--
            ``(1) If, during the adjustment period, a lessee determines 
        that an adjustment or refund request is necessary to correct an 
        underpayment or overpayment of an obligation, the lessee shall 
        make such adjustment or request a refund within a reasonable 
        period of time and only during the adjustment period. The 
        filing of a royalty report which reflects the underpayment or 
        overpayment of an obligation shall constitute prior written 
        notice to the Secretary of an adjustment.
            ``(2)(A) For any adjustment, the lessee shall calculate and 
        report the interest due attributable to such adjustment at the 
        same time the lessee adjusts the principal amount of the 
        subject obligation, except as provided by subparagraph (B).
            ``(B) In the case of a lessee on whom the Secretary 
        determines that subparagraph (A) would impose a hardship, the 
        Secretary shall calculate the interest due and notify the 
        lessee within a reasonable time of the amount of interest due, 
        unless such lessee elects to calculate and report interest in 
        accordance with subparagraph (A).
            ``(3) An adjustment or a request for a refund for an 
        obligation may be made after the adjustment period only upon 
        written notice to and approval by the Secretary during an audit 
        of the period which includes the production month for which the 
        adjustment is being made. If an overpayment is identified 
        during an audit, then the Secretary shall allow a credit or 
        refund in the amount of the overpayment.
            ``(4) For purposes of this section, the adjustment period 
        for any obligation shall be the five-year period following the 
        date on which an obligation became due. The adjustment period 
        shall be suspended, tolled, extended, enlarged, or terminated 
        by the same actions as the limitation period in section 115.
    ``(b) Refunds.--
            ``(1) In general.--A request for refund is sufficient if 
        it--
                    ``(A) is made in writing to the Secretary and, for 
                purposes of section 115, is specifically identified as 
                a demand;
                    ``(B) identifies the person entitled to such 
                refund;
                    ``(C) provides the Secretary information that 
                reasonably enables the Secretary to identify the 
                overpayment for which such refund is sought; and
                    ``(D) provides the reasons why the payment was an 
                overpayment.
            ``(2) Payment by secretary of the treasury.--The Secretary 
        shall certify the amount of the refund to be paid under 
        paragraph (1) to the Secretary of the Treasury who shall make 
        such refund. Such refund shall be paid from amounts received as 
        current receipts from sales, bonuses, royalties (including 
        interest charges collected under this section) and rentals of 
        the public lands and the Outer Continental Shelf under the 
        provisions of the Mineral Leasing Act and the Outer Continental 
        Shelf Lands Act, which are not payable to a State or the 
        Reclamation Fund. The portion of any such refund attributable 
        to any amounts previously disbursed to a State, the Reclamation 
        Fund, or any recipient prescribed by law shall be deducted from 
        the next disbursements to that recipient made under the 
        applicable law. Such amounts deducted from subsequent 
        disbursements shall be credited to miscellaneous receipts in 
        the Treasury.
            ``(3) Payment period.--A refund under this subsection shall 
        be paid or denied (with an explanation of the reasons for the 
        denial) within 120 days of the date on which the request for 
        refund is received by the Secretary. Such refund shall be 
        subject to later audit by the Secretary and subject to the 
        provisions of this Act.
            ``(4) Prohibition against reduction of refunds or 
        credits.--In no event shall the Secretary directly or 
        indirectly claim any amount or amounts against, or reduce any 
        refund or credit (or interest accrued thereon) by the amount of 
        any obligation the enforcement of which is barred by section 
        115.''.
    (b) Clerical Amendment.--The table of contents in section 1 of such 
Act (30 U.S.C. 1701) is amended by adding after the item relating to 
section 111 the following new item:

``Sec. 111A. Adjustments and refunds.''.

SEC. 9515. REQUIRED RECORDKEEPING.

    Section 103 of the Federal Oil and Gas Royalty Management Act of 
1982 (30 U.S.C. 1713(b)) is amended by adding at the end the following:
    ``(c) Records required by the Secretary for the purpose of 
determining compliance with any applicable mineral leasing law, lease 
provision, regulation or order with respect to oil and gas leases from 
Federal lands or the Outer Continental Shelf shall be maintained for 
the same period of time during which a judicial proceeding or demand 
may be commenced under section 115(a). If a judicial proceeding or 
demand is timely commenced, the record holder shall maintain such 
records until the final nonappealable decision in such judicial 
proceeding is made, or with respect to that demand is rendered, unless 
the Secretary authorizes in writing an earlier release of the 
requirement to maintain such records. Notwithstanding anything herein 
to the contrary, under no circumstance shall a record holder be 
required to maintain or produce any record relating to an obligation 
for any time period which is barred by the applicable limitation in 
section 115.''.

SEC. 9516. ROYALTY INTEREST, PENALTIES, AND PAYMENTS.

    (a) Period.--Section 111(f) of the Federal Oil and Gas Royalty 
Management Act of 1982 (30 U.S.C. 1721(f)) is amended to read as 
follows:
    ``(f) Upon a determination that it will further the effective and 
efficient performance of his duties and responsibilities, the Secretary 
may waive or forego such interest in whole or in part. Interest shall 
be charged under this section only for the number of days a payment is 
late.''.
    (b) Lessee Interest.--Section 111 of the Federal Oil and Gas 
Royalty Management Act of 1982 (30 U.S.C. 1721) is amended by adding 
after subsection (g) the following:
    ``(h) Interest shall be allowed and the Secretary shall pay or 
credit such interest on any overpayment, with such interest to accrue 
from the date such overpayment was made, at the rate obtained by 
applying the provisions of subparagraphs (A) and (B) of section 
6621(a)(1) of the Internal Revenue Code of 1986. Interest which has 
accrued on any overpayment may be applied to reduce an underpayment. 
This subsection applies to overpayments made later than six months 
after the date of enactment of this subsection or September 1, 1996, 
whichever is later. Such interest shall be paid from amounts received 
as current receipts from sales, bonuses, royalties (including interest 
charges collected under this section) and rentals of the public lands 
and the Outer Continental Shelf under the provisions of the Mineral 
Leasing Act, and the Outer Continental Shelf Lands Act, which are not 
payable to a State or the Reclamation Fund. The portion of any such 
interest payment attributable to any amounts previously disbursed to a 
State, the Reclamation Fund, or any other recipient designated by law 
shall be deducted from the next disbursements to that recipient made 
under the applicable law. Such amounts deducted from subsequent 
disbursements shall be credited to miscellaneous receipts in the 
Treasury.''.
    (c) Limitation on Interest.--Section 111 of such Act, as amended by 
subsection (b) of this Act, is further amended by adding at the end the 
following:
    ``(i) Upon a determination by the Secretary that an excessive 
overpayment (based upon all obligations of a lessee for a given 
reporting month) was made for the sole purpose of receiving interest, 
interest shall not be paid on the excessive amount of such overpayment. 
For purposes of this Act, an `excessive overpayment' shall be the 
amount that any overpayment a lessee pays for a given reporting month 
(excluding payments for demands for obligations as a result of judicial 
or administrative proceedings for settlement agreements and for other 
similar payments) for the aggregate of all of its Federal leases 
exceeds 25 percent of the total royalties paid that month for those 
leases.''.
    (d) Estimated Payment.--Section 111 of such Act, as amended by 
subsections (b) and (c) of this Act, is further amended by adding at 
the end the following:
    ``(j) A lessee may make a payment for the approximate amount of 
royalties (hereinafter in this subsection `estimated payment') that 
would otherwise be due to the Secretary for such lease to avoid 
underpayment or nonpayment interest charges. When an estimated payment 
is made, actual royalties become due at the end of the month following 
the period covered by the estimated payment. If the lessee makes a 
payment for such actual royalties, the lessee may apply the estimated 
payment to future royalties. Any estimated payment may be adjusted, 
recouped, or reinstated at any time by the lessee.''.
    (e) Volume Allocation of Oil and Gas Production.--Section 111 of 
such Act (30 U.S.C. 1721), as amended by subsections (b) through (d) of 
this Act, is amended by adding at the end the following:
    ``(k)(1) Except as otherwise provided by this subsection--
            ``(A) a lessee of a lease in a unit or communitization 
        agreement which contains only Federal leases with the same 
        royalty rate and funds distribution must report and pay 
        royalties on oil and gas production for each production month 
        based on the actual volume of production sold by or on behalf 
        of that lessee;
            ``(B) a lessee of a lease in any other unit or 
        communitization agreement must report and pay royalties on oil 
        and gas production for each production month based on the 
        volume of oil and gas produced from such agreement and 
        allocated to the lease in accordance with the terms of the 
        agreement; and
            ``(C) a lessee of a lease that is not contained in a unit 
        or communitization agreement must report and pay royalties on 
        oil and gas production for each production month based on the 
        actual volume of production sold by or on behalf of that 
        lessee.
    ``(2) This subsection applies only to requirements for reporting 
and paying royalties. Nothing in this subsection is intended to alter a 
lessee's liability for royalties on oil or gas production based on the 
share of production allocated to the lease in accordance with the terms 
of the lease, a unit or communitization agreement, or any other 
agreement.
    ``(3) For any unit or communitization agreement, if all lessees 
contractually agree to an alternative method of royalty reporting and 
payment, the lessees may submit such alternative method to the 
Secretary for approval and make payments in accordance with such 
approved alternative method so long as such alternative method does not 
reduce the amount of the royalty obligation.
    ``(4) The Secretary shall grant an exception from the reporting and 
payment requirements for marginal properties by allowing for any 
calendar year or portion thereof royalties to be paid each month based 
on the volume of production sold. Interest shall not accrue on the 
difference for the entire calendar year or portion thereof between the 
amount of oil and gas actually sold and the share of production 
allocated to the lease until the beginning of the month following 
calendar year or portion thereof. Any additional royalties due or 
overpaid royalties and associated interest shall be paid, refunded, or 
credited within six months after the end of each calendar year in which 
royalties are paid based on volumes of production sold. For the purpose 
of this subsection, the term `marginal property' means a lease that 
produces on average the combined equivalent of less than 15 barrels of 
oil per day or 90 thousand cubic feet of gas per day, or a combination 
thereof, determined by dividing the average daily production of 
domestic crude oil and domestic natural gas from producing wells on 
such lease by the number of such wells, unless the Secretary, together 
with the State concerned, determines that a different production is 
more appropriate.
    ``(5) Not later than two years after the date of the enactment of 
this subsection, the Secretary shall issue any appropriate demand for 
all outstanding royalty payment disputes regarding who is required to 
report and pay royalties on production from units and communitization 
agreements outstanding on the date of the enactment of this subsection, 
and collect royalty amounts owed on such production.''.
    (f) Production Allocation.--Section 111 of such Act (30 U.S.C. 
1721), as amended by subsections (b) through (e) of this Act, is 
amended by adding at the end the following:
    ``(l) The Secretary shall issue all determinations of allocations 
of production for units and communitization agreements within 120 days 
of a request for determination. If the Secretary fails to issue a 
determination within such 120-day period, the Secretary shall waive 
interest due on obligations subject to the determination until the end 
of the month following the month in which the determination is made.''.

SEC. 9517. LIMITATION ON ASSESSMENTS.

    Section 111 of the Federal Oil and Gas Royalty Management Act of 
1982 (30 U.S.C. 1721), as amended by section 9516, is further amended 
by adding at the end the following:
    ``(m)(1) After the date of enactment of this subsection, the 
Secretary shall not impose any assessment for any late payment or 
underpayment. After the date of enactment of this subsection, the 
Secretary may impose an assessment only for erroneous reports submitted 
by lessees subject to the limitations of paragraph (2). Nothing in this 
section shall prohibit the Secretary from imposing penalties or 
interest under other sections of this Act for late payments or 
underpayments.
    ``(2) No assessment for erroneous reports shall be imposed for 18 
months following the date of enactment of this subsection, or until the 
Secretary issues a final rule which provides for imposition of an 
assessment only on a lessee who chronically submits erroneous reports 
and which establishes what constitutes chronic errors for a lessee, 
whichever is later. However, if the Secretary determines during that 
18-month period that the reporting error rate for all reporters for all 
Federal leases has increased by one-third for three consecutive report 
months for either production reporting or royalty reporting over the 12 
months preceding the date of enactment of this subsection, the 
Secretary may impose an assessment for erroneous reports only for the 
increased category of report under regulations in effect on the date of 
enactment of this subsection.''.

SEC. 9518. ALTERNATIVES FOR MARGINAL PROPERTIES.

    (a) In General.--The Federal Oil and Gas Royalty Management Act of 
1982 (30 U.S.C. 1701 et seq.), as amended by section 9513 of this Act, 
is further amended by adding at the end the following:

``SEC. 116. ALTERNATIVES FOR MARGINAL PROPERTIES.

    ``(a) Selling the Revenue Stream.--
            ``(1) In general.--Notwithstanding the provisions of any 
        lease to the contrary, upon request of the lessee or a State 
        under section 205(g), the Secretary shall authorize a lessee 
        for a marginal property and for a lease, the administration of 
        which is not cost-effective for the Secretary to administer, to 
        make a prepayment in lieu of royalty payments under the lease 
        for the remainder of the lease term. For the purposes of this 
        section, the term `marginal property' has the same meaning 
        given such term in section 111(k)(4), unless the Secretary, 
        together with each State in which such marginal production 
        occurs, determines that a different definition of marginal 
        property better achieves the purpose of this section.
            ``(2) Marginal properties.--For marginal properties, 
        prepayments under paragraph (1) shall begin--
                    ``(A) in the case of those properties producing on 
                average $500 or less per month in total royalties to 
                the United States, two years after the date of the 
                enactment of this section;
                    ``(B) in the case of those properties producing on 
                average more than $500 but $1,000 or less per month in 
                total royalties to the United States, three years after 
                the date of the enactment of this section;
                    ``(C) in the case of those properties producing on 
                average more than $1,000 but $1,500 or less per month 
                in total royalties to the United States, four years 
                after the date of the enactment of this section; and
                    ``(D) in the case of those properties not described 
                in subparagraphs (A) through (C), five years after the 
                date of the enactment of this section.
            ``(3) Administration not cost-effective.--For a lease, the 
        administration of which is not cost-effective for the Secretary 
        to administer, prepayments under paragraph (1) shall begin on 
        the date of the enactment of this section.
            ``(4) Satisfaction of royalty obligation.--A lessee who 
        makes a prepayment under this section shall have satisfied in 
        full its obligation to pay royalty on production from the lease 
        or a portion of a lease and shall not be required to submit any 
        royalty reports to the Secretary. The prepayment shall be 
        shared by the Secretary with any State or other recipient to 
        the same extent as any royalty payment for such lease.
            ``(5) Valuation.--The prepayment authorized under this 
        section shall only occur if the Secretary, the State concerned, 
        and the lessee determine that such prepayment is based on the 
        present value of the projected remaining royalties from the 
        production from the lease, based on appropriate nominal 
        discount rate for a comparable term. Prior to accepting such 
        prepayment, the Secretary and State concerned shall agree that 
        such prepayment is in the best interest of the United States 
        and the State concerned.
    ``(b) Alternative Accounting and Auditing Requirements.--
            ``(1) In general.--Within one year after the date of the 
        enactment of this section, for the marginal properties 
        referenced in subsection (a)(1), the Secretary shall provide 
        accounting, reporting, and auditing relief that will encourage 
        lessees to continue to produce and develop such properties: 
        Provided, That such relief will only be available to lessees in 
        a State that concurs. Prior to granting such relief, the 
        Secretary and the State concerned shall agree that the type of 
        marginal wells and relief provided under this paragraph is in 
        the best interest of the United States and the State concerned.
            ``(2) Payment date.--For leases subject to this section, 
        the Secretary may allow royalties to be paid later than the 
        time specified in the lease.''.
    (b) Clerical Amendment.--The table of contents in section 1 of such 
Act (30 U.S.C. 1701) is amended by adding after the item relating to 
section 115 the following new item:

``Sec. 116. Alternatives for marginal properties.''.

SEC. 9519. ROYALTY IN KIND.

    (a) In General.--
            (1) OCS.--Section 27(a)(1) of the Outer Continental Shelf 
        Lands Act (43 U.S.C. 1353(a)(1)) is amended by adding at the 
        end the following:
``Any royalty or net profit share of oil or gas accruing to the United 
States under any such lease, at the Secretary's option, may be taken in 
kind at or near the lease (unless the lease expressly provides for 
delivery at a different location) upon prior written notice given 
reasonably in advance by the Secretary to the lessee. Once the United 
States has commenced taking royalty in kind, it shall continue to do so 
until a reasonable time after the Secretary has provided written notice 
reasonably in advance to the lessee that it will resume taking royalty 
in value. Delivery of royalty in kind by the lessee shall satisfy in 
full the lessee's royalty obligation. Once the oil or gas is delivered, 
the lessee shall not be subject to the reporting and recordkeeping 
requirements under section 103 for its share of oil and gas production 
other than records necessary to verify the quantity of oil or gas 
delivered.''.
            (2) Onshore.--Section 36 of the Mineral Leasing Act (30 
        U.S.C. 192) is amended by adding at the end the following 
        undesignated paragraph:
    ``Notwithstanding the provisions of the previous paragraph, any 
royalty or net profit share of oil or gas accruing to the United States 
under any lease issued or maintained by the Secretary for the 
exploration, production and development of oil and gas on Federal 
lands, at the Secretary's option, may be taken in kind at or near the 
lease (unless the lease expressly provides for delivery at a different 
location) after prior written notice given reasonably in advance by the 
Secretary to the lessee. Once the United States has commenced taking 
royalty in kind, it shall continue to do so until a reasonable time 
after the Secretary has provided written notice reasonably in advance 
to the lessee that it will resume taking royalty in value. Delivery of 
royalty in kind by the lessee shall satisfy in full the lessee's 
royalty obligation. Once the oil or gas is delivered, the lessee shall 
not be subject to the reporting and recordkeeping requirements under 
section 103 for its share of oil and gas production other than records 
necessary to verify the quantity of oil or gas delivered.''.
    (b) Sale.--Sections 27(b)(1) and (c)(1) of the Outer Continental 
Shelf Lands Act (43 U.S.C. 1353(c)(1)) are each amended by striking 
``competitive bidding for not more than its regulated price, or, if no 
regulated price applies, not less than its fair market value'' and 
inserting ``competitive bidding or private sale''.

SEC. 9520. ROYALTY SIMPLIFICATION AND COST-EFFECTIVE AUDIT AND 
              COLLECTION REQUIREMENTS.

    (a) In General.--Section 101 of the Federal Oil and Gas Royalty 
Management Act of 1982 (30 U.S.C. 1711) is amended by adding at the end 
the following:
    ``(d)(1) For the purpose of reducing costs and increasing net 
royalties to the United States and the States, the Secretary, in 
consultation with States concerned, shall, within one year after the 
date of the enactment of this subsection, streamline and simplify 
current royalty management requirements and practices, including 
royalty reporting, instructions, audits and collections. This 
streamlining and simplification shall specifically include--
            ``(A) elimination of all unnecessary royalty and production 
        reports;
            ``(B) modification and simplification of remaining reports 
        and associated instructions to eliminate redundant or 
        unnecessary reports and information that are provided or can be 
        obtained from other required reports, forms, computer databases 
        or government agencies;
            ``(C) elimination or modifications of accounting, 
        reporting, audit and collection requirements that are not cost-
        effective, particularly those associated with de minimis 
        monetary amounts;
            ``(D) implementation of specific recommendations and 
        comments contained in Secretarial sponsored teams, rulemakings, 
        and studies or those participated in by the Secretary to the 
        extent these recommendations simplify and streamline royalty 
        management requirements without adversely affecting the 
        Secretary's ability to meet obligations under this Act or other 
        mineral leasing statutes;
            ``(E) recommendations and comments submitted by interested 
        parties to the extent these recommendations and comments 
        simplify and streamline royalty management requirements without 
        adversely affecting the Secretary's ability to meet obligations 
        under this Act or other mineral leasing statutes.
    ``(2) The Secretary shall submit to the Congress a progress report 
on the implementation of this section within six months from date of 
enactment of this Act, and a final report within 12 months from date of 
enactment of this Act. These reports shall include--
            ``(A) a description of the extent to which the Secretary 
        has implemented the requirements in paragraph (1), including a 
        list of specific initiatives implemented;
            ``(B) a list and description of additional initiatives 
        identified by the Secretary to simplify and streamline royalty 
        management requirements and practices; and
            ``(C) cost savings of implemented initiatives including 
        impact on net-receipts sharing for States.
    ``(3) If the Secretary and the State concerned determines that the 
cost of accounting and auditing for and collecting of any obligation 
due for any oil and gas production exceeds the amount of the obligation 
to be collected, the Secretary shall waive such obligation.
    ``(4) The Secretary and the State concerned shall not perform 
accounting, reporting, or audit activities if the Secretary and the 
State concerned determines that the cost of conducting the activity 
exceeds the expected amount to be collected by the activity.
    ``(5) The Secretary and the State concerned shall develop a 
reporting and audit strategy which eliminates multiple or redundant 
reporting of information.''.
    (b) Paperwork Reduction.--Section 107 of the Federal Oil and Gas 
Royalty Management Act of 1982 (30 U.S.C. 1717), as amended by section 
9513(b) and (c), is amended by adding at the end the following:
    ``(e) Paperwork Reduction.--Administrative actions and 
investigations (including, but not limited to, accounting collection 
and audits) under this Act involving obligations shall be subject to 
section 3518(c)(1)(B) of title 44, United States Code.''.

SEC. 9521. REPEALS.

    (a) FOGRMA.--Section 307 of the Federal Oil and Gas Royalty 
Management Act of 1982 (30 U.S.C. 1755), is repealed. Section 1 of such 
Act (relating to the table of contents) is amended by striking out the 
item relating to section 307.
    (b) OCSLA.--Effective on the date of the enactment of this Act, 
section 10 of the Outer Continental Shelf Lands Act (43 U.S.C. 1339) is 
repealed.

SEC. 9522. DELEGATION TO STATES.

    (a) General Authority.--Section 205(a) of the Federal Oil and Gas 
Royalty Management Act of 1982 (30 U.S.C. 1735(a)) is amended to read 
as follows:
    ``(a) Upon written request of any State, the Secretary is 
authorized to delegate, in accordance with the provisions of this 
section, all or part of the authorities and responsibilities of the 
Secretary under this Act to conduct inspections, such production and 
royalty accounting duties and responsibilities as the Secretary 
determines are legally delegable, all audit coverage, and 
investigations to any State with respect to all Federal lands within 
the State.''.
    (b) Standardized Reporting.--Section 205(b) of such Act (30 U.S.C. 
1735(b)) is amended--
            (1) by striking ``and'' at the end of paragraph (2);
            (2) by striking the comma at the end of paragraph (3) and 
        inserting ``; and''; and
            (3) by inserting after paragraph (3) the following:
            ``(4) the State agrees to adopt Federal standardized 
        reporting for Federal royalty accounting and collection 
        purposes,''.
    (c) Cost Effective Collection of De Minimis Royalty Amounts.--
Section 205 of such Act (30 U.S.C. 1735) is amended by adding at the 
end the following:
    ``(g) Upon written request of any State, the Secretary is 
authorized to delegate for any year the responsibility to collect 
royalties from all Federal leases within the State if the average 
amount per year of mineral revenues received by the State on all such 
leases under all Federal mineral leasing laws for the previous five 
years is less than $100,000. The State may also request that the 
Secretary sell the revenue stream from all or part of the Federal 
leases within the State in accordance with section 116 of the Federal 
Oil and Gas Royalty Management Act of 1982, as added by section 9518 of 
the Federal Oil and Gas Royalty Simplification and Fairness Act of 
1995.''.

SEC. 9523. PERFORMANCE STANDARD.

    Section 109 of the Federal Oil and Gas Royalty Management Act of 
1982 (30 U.S.C. 1719) is amended in subsections (c) and (d), by 
striking ``knowingly or willfully'' and inserting ``by willful 
misconduct or gross negligence'' each place it appears.

SEC. 9524. INDIAN LANDS.

    The amendments made by this part shall not apply with respect to 
Indian lands, and the provisions of the Federal Oil and Gas Royalty 
Management Act of 1982 as in effect on the day before the date of 
enactment of this Act shall continue to apply after such date with 
respect to Indian lands.

SEC. 9525. PRIVATE LANDS.

    This part shall not apply to any privately owned minerals.

SEC. 9526. EFFECTIVE DATE.

    Except as provided by section 115(e), section 111(h), section 
111(k)(5), and section 116 of the Federal Oil and Gas Royalty 
Management Act of 1982 (as added by this part), this part, and the 
amendments made by this part, shall apply with respect to the 
production of oil and gas after the first day of the month following 
the date of the enactment of this Act.

                       Subtitle F--Indian Gaming

SEC. 9601. INDIAN GAMING.

    (a) Commission Funding.--Section 18(a) of the Indian Gaming 
Regulatory Act (25 U.S.C. 2717(a)) is amended by striking out 
``$1,500,000'' each place it appears and inserting in lieu thereof 
``$2,500,000''.
    (b) Authorization of Appropriations.--Section 19(a) of the Indian 
Gaming Regulatory Act (25 U.S.C. 2718(a)) is amended by striking out 
all after ``(a)'' and inserting in lieu thereof the following: 
``Notwithstanding the provisions of section 18, no funds may be 
authorized to be appropriated for the operation of the Commission.''.

                        Subtitle G--Consultation

SEC. 9701. CONSULTATION.

    Section 7(d) of the Endangered Species Act of 1973 (16 U.S.C. 
1536(d)) is amended to read as follows:
    ``(d) Limitation on Commitment of Resources.--After initiation of 
consultation required under subsection (a)(2) of this section, the 
Federal agency and the permit or license applicant shall not make any 
irreversible or irretrievable commitment of resources with respect to 
the agency action which has the effect of foreclosing the formulation 
or implementation of any reasonable and prudent alternative measures 
which would not violate subsection (a)(2) of this section. This 
limitation on the commitment of resources is only applicable to 
consultations regarding site-specific projects and activities, and 
shall not apply to any consultation regarding an agency's periodic or 
long-term planning activities, mission or policy statements, 
programmatic documents, or general policies, regulations, or 
activities, whether or not such consultation has previously been 
initiated pursuant to a court order, and regardless of the date on 
which consultation was ordered or initiated.''.

                          Subtitle H--Mapping

SEC. 9801. SHORT TITLE.

    This subtitle may be cited as the ``Department of the Interior 
Surveying and Mapping Efficiency and Economic Opportunity Act of 
1995''.

SEC. 9802. SURVEYING AND MAPPING CONTRACTING PROGRAM.

    In order to provide private firms, including small and small 
disadvantaged businesses, ample opportunities to provide quality 
services to the Department of the Interior (hereinafter referred to as 
the ``Department''), the Secretary of the Interior (hereinafter 
referred to as the ``Secretary'') shall conduct a surveying and mapping 
contracting program.

SEC. 9803. INVENTORY OF ACTIVITIES.

    (a) Publication of Inventory.--Not later than 90 days after the 
date of enactment of this Act, the Secretary, in consultation with the 
Administrator of the Office of Federal Procurement Policy, the 
Administrator of the Small Business Administration and the trade 
association of private surveying and mapping firms, shall publish an 
inventory of surveying and mapping activities in the Department of the 
Interior for the last fiscal year completed prior to the date of 
enactment of this Act.
    (b) Items Included.--The inventory shall include each of the 
following:
            (1) The total dollar value of surveying and mapping 
        activities in each agency of the Department.
            (2) The total dollar value of surveying and mapping 
        activities in each agency of the Department performed by 
        contract with private sector firms.
            (3) The total dollar value of surveying and mapping 
        activities in each agency of the Department performed by 
        personnel of the Department.
            (4) The total dollar value of surveying and mapping 
        activities in each agency of the Department performed for any 
        other department or agency of the Federal Government.
            (5) The total dollar value of surveying and mapping 
        activities in each agency of the Department performed for any 
        State or political subdivision thereof, or for any foreign 
        government.
            (6) The total number of personnel involved in surveying and 
        mapping activities in each agency of the Department.

SEC. 9804. PLAN TO INCREASE USE OF CONTRACTS.

    (a) Establishment.--Based on the inventory conducted pursuant to 
section 9803 of this Act, not later than 180 days after the date of 
enactment of this Act, the Secretary, in consultation with the 
Administrator of the Office of Federal Procurement Policy, the 
Administrator of the Small Business Administration and the trade 
association of private surveying and mapping firms, shall develop and 
implement a plan to increase the use of contracts with private firms 
for surveying and mapping services.
    (b) Items Included in Plan.--The plan established pursuant to 
subsection (a) of this section shall include, but not be limited to 
each of the following:
            (1) A reduction of surveying and mapping activities by 
        personnel in the Department that duplicate capabilities 
        available by contract from the private sector.
            (2) A reduction of acquisition and maintenance of surveying 
        and mapping equipment that duplicate capabilities and capital 
        investment already made by the private sector.
            (3) The elimination of unfair Government competition in 
        activities in which the Department uses its personnel to 
        perform surveying and mapping for which it shares the cost 
        with, is reimbursed for, or makes a grant to any other agency 
        of the Federal Government, a State or political subdivision 
        thereof, or a foreign government, for such activities, when 
        such activities can be obtained by contract from the private 
        sector.
            (4) The use of contracts to perform surveying and mapping 
        requirements of the Department created through attrition.
            (5) The enhancement of the leadership role of the 
        Department of the Interior in--
                    (A) the preparation of standards and 
                specifications;
                    (B) research in surveying and mapping 
                instrumentation and procedures, and the prompt transfer 
                of technology to the private sector;
                    (C) providing technical guidance, coordination, 
                cost sharing, cooperative efforts and administration in 
                the use of Federal funds for surveying and mapping 
                activities, and the development of geographic 
                information systems, that are performed by the private 
                sector by the contract to Federal, State, and local 
                government agencies;
                    (D) establishing a schedule with quantifiable goals 
                for increasing the use of contracts with private sector 
                for current and future surveying and mapping 
                activities; and
                    (E) using Department personnel to perform only 
                those surveying and mapping activities that are 
                inherently governmental in nature, necessary to keep 
                current the skills of such personnel for evaluating 
                contractor performance and administering contracts, and 
                to perform basic research.

SEC. 9805. REPORTS.

    The Secretary shall transmit to the Committee on Resources of the 
House of Representatives and the Committee on Energy and Natural 
Resources of the Senate a report on implementation of the program not 
later than January 15 of each year.

SEC. 9806. DEFINITIONS.

    As used in this subtitle:
            (1) The term ``surveying and mapping'' means collecting, 
        storing, retrieving, or disseminating graphical or digital data 
        depicting natural or man-made physical features, phenomena and 
        boundaries of the earth and any information related thereto, 
        including but not limited to data shown on or in relation to 
        surveys, maps, and charts.
            (2) The ``contract'' means an instrument to retain private 
        firms with licensed, certified, or otherwise qualified 
        professionals in such fields as surveying, photogrammetry, 
        cartography, and geodesy, which shall be awarded in accordance 
        with the selection procedures in title IX of the Federal 
        Property and Administrative Services Act of 1949 (40 U.S.C. 541 
        and following).

        TITLE X--COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE

                      Subtitle A--Water Resources

SEC. 10001. COMMERCIAL CONCESSIONS AT CORPS OF ENGINEERS PROJECTS.

    Notwithstanding part 1 of subtitle C of title IX of this Act, the 
Secretary of the Army shall not modify any concession service 
agreement, concession license, or similar instrument (or any policy or 
procedure relating to such agreement, license, or agreement) except to 
the extent that such modification is permitted under laws in effect on 
the day before the date of the enactment of this Act.

SEC. 10002. FEMA RADIOLOGICAL EMERGENCY PREPAREDNESS FEES.

    (a) In General.--The Director of the Federal Emergency Management 
Agency may assess and collect fees applicable to persons subject to 
radiological emergency preparedness regulations issued by the Director.
    (b) Requirements.--The assessment and collection of fees by the 
Director under subsection (a) shall be fair and equitable and shall 
reflect the full amount of costs to the Agency of providing 
radiological emergency planning, preparedness, response, and associated 
services. Such fees shall be assessed by the Director in a manner which 
reflects the use of resources of the Agency for classes of regulated 
persons and the administrative costs of collecting such fees.
    (c) Amount of Fees.--The aggregate amount of fees assessed under 
subsection (a) in a fiscal year shall approximate, but not be less 
than, 100 percent of the amounts anticipated by the Director to be 
obligated for the radiological emergency preparedness program of the 
Agency for such fiscal year.
    (d) Deposit of Fees in Treasury.--Fees received pursuant to 
subsection (a) shall be deposited in the general fund of the Treasury 
as offsetting receipts.
    (e) Expiration of Authority.--The authority of the Director to 
assess and collect fees under subsection (a) shall expire on September 
30, 2002.

                   Subtitle B--Ocean Shipping Reform

SEC. 10201. SHORT TITLE.

    This subtitle may be cited as the ``Ocean Shipping Reform Act of 
1995''.

                    CHAPTER 1--OCEAN SHIPPING REFORM

SEC. 10211. PURPOSES.

    Section 2 of the Shipping Act of 1984 (46 U.S.C. App. 1701) is 
amended--
            (1) by striking ``and'' at the end of paragraph (2);
            (2) by striking the period at the end of paragraph (3) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(4) to permit carriers and shippers to develop 
        transportation arrangements to meet their specific needs.''.

SEC. 10212. DEFINITIONS.

    Section 3 of the Shipping Act of 1984 (46 U.S.C. App. 1702) is 
amended--
            (1) effective January 1, 1997--
                    (A) by striking paragraph (9); and
                    (B) by redesignating paragraphs (10) through (19) 
                as paragraphs (9) through (18), respectively; and
            (2) effective June 1, 1997--
                    (A) by striking paragraph (4);
                    (B) in paragraph (7) by striking ``a common 
                tariff;'' and inserting ``a common schedule of 
                transportation rates, charges, classifications, rules, 
                and practices;'';
                    (C) by striking paragraph (10) (as redesignated by 
                paragraph (1) of this section);
                    (D) by striking paragraph (13) (as redesignated by 
                paragraph (1) of this section);
                    (E) by striking paragraph (16) (as redesignated by 
                paragraph (1) of this section);
                    (F) by striking paragraph (18) (as redesignated by 
                paragraph (1) of this section) and inserting the 
                following:
            ``(18) `ocean freight forwarder' means a person that--
                    ``(A)(i) in the United States, dispatches shipments 
                from the United States via a common carrier and books 
                or otherwise arranges space for those shipments on 
                behalf of shippers; or
                    ``(ii) processes the documentation or performs 
                related activities incident to those shipments; or
                    ``(B) acts as a common carrier that does not 
                operate the vessels by which the ocean transportation 
                is provided, and is a shipper in its relationship with 
                an ocean common carrier.'';
                    (G) by striking paragraph (21);
                    (H) in paragraph (23)--
                            (i) by striking ``or'' the second place it 
                        appears and inserting a comma; and
                            (ii) by striking the period and inserting 
                        ``, a shippers' association, or an ocean 
                        freight forwarder that accepts responsibility 
                        for payment of the ocean freight.'';
                    (I) by striking paragraph (24) and inserting the 
                following:
            ``(24) `shippers' association' means a group of shippers 
        that consolidates or distributes freight, on a nonprofit basis 
        for the members of the group in order to secure carload, 
        truckload, or other volume rates or ocean transportation 
        contracts.''; and
                    (J) by inserting after paragraph (18) (as 
                redesignated by paragraph (1) of this section) the 
                following:
            ``(19) `ocean transportation contract' means a contract in 
        writing separate from the bill of lading or receipt between 1 
        or more common carriers or a conference and 1 or more shippers 
        to provide specified services under specified rates and 
        conditions.''.

SEC. 10213. AGREEMENTS WITHIN THE SCOPE OF THE ACT.

    Effective June 1, 1997, section 4(a) of the Shipping Act of 1984 
(46 U.S.C. App. 1703(a)) is amended--
            (1) in paragraph (5) by striking ``non-vessel-operating 
        common carriers'' and inserting ``ocean freight forwarders''; 
        and
            (2) by striking paragraph (7) and inserting the following:
            ``(7) discuss any matter related to ocean transportation 
        contracts, and enter ocean transportation contracts and 
        agreements related to those contracts.''.

SEC. 10214. AGREEMENTS.

    Section 5 of the Shipping Act of 1984 (46 U.S.C. App. 1704) is 
amended--
            (1) effective January 1, 1997--
                    (A) in subsection (b)(4) by striking ``at the 
                request of any member, require an independent neutral 
                body to police fully'' and inserting ``state the 
                provisions, if any, for the policing of'';
                    (B) in subsection (b)(7) by striking ``and'' at the 
                end;
                    (C) in subsection (b)(8) by striking the period and 
                inserting ``; and''; and
                    (D) by adding at the end of subsection (b) the 
                following:
            ``(9) provide that a member of the conference may enter 
        individual and independent negotiations and may conclude 
        individual and independent service contracts under section 8 of 
        this Act.'';
            (2) effective June 1, 1997--
                    (A) by striking subsection (b)(8) and inserting the 
                following:
            ``(8) provide that any member of the conference may take 
        independent action on any rate or service item agreed upon by 
        the conference for transportation provided under section 8(a) 
        of this Act upon not more than 3 business days' notice to the 
        conference, and that the conference will provide the new rate 
        or service item for use by that member, effective no later than 
        3 business days after receipt of that notice, and by any other 
        member that notifies the conference that it elects to adopt the 
        independent rate or service item on or after its effective 
        date, in lieu of the existing conference provision for that 
        rate or service item;'';
                    (B) in subsection (b)(9) by striking ``service'' 
                and inserting ``ocean transportation'' and by striking 
                the period at the end and inserting ``; and'';
                    (C) by adding at the end of subsection (b) the 
                following:
            ``(10) prohibit the conference from--
                    ``(A) prohibiting or restricting the members of the 
                conference from engaging in individual negotiations for 
                ocean transportation contracts under section 8(b) with 
                1 or more shippers; and
                    ``(B) issuing mandatory rules or requirements 
                affecting ocean transportation contracts that may be 
                entered by 1 or more members of the conference, except 
                that a conference may require that a member of the 
                conference disclose the existence of an existing 
                individual ocean transportation contract or 
                negotiations on an ocean transportation contract, when 
                the conference enters negotiations on an ocean 
                transportation contract with the same shipper.''; and
                    (D) in subsection (e) by striking ``carrier that 
                are required to be set forth in a tariff,'' and 
                inserting ``carrier,''.

SEC. 10215. EXEMPTION FROM ANTITRUST LAWS.

    Section 7 of the Shipping Act of 1984 (46 U.S.C. App. 1706) is 
amended--
            (1) by striking subsection (a)(6) and inserting the 
        following:
            ``(6) subject to section 20(e)(2) of this Act, any 
        agreement, modification, or cancellation, in effect before the 
        effective date of this Act and any tariff, rate, fare, charge, 
        classification, rule, or regulation explanatory thereof 
        implementing that agreement, modification, or cancellation.''; 
        and
            (2) in subsection (c)(1) by striking ``agency'' and 
        inserting ``agency, department,''.

SEC. 10216. COMMON AND CONTRACT CARRIAGE.

    (a) In General.--Effective June 1, 1997--
            (1) section 502 of the High Seas Driftnet Fisheries 
        Enforcement Act (46 U.S.C. App. 1707a) is repealed; and
            (2) section 8 of the Shipping Act of 1984 (46 U.S.C. App. 
        1707) is amended to read as follows:

``SEC. 8. COMMON AND CONTRACT CARRIAGE.

    ``(a) Common Carriage.--
            ``(1) A common carrier and a conference shall make 
        available a schedule of transportation rates which shall 
        include the rates, terms, and conditions for transportation 
        services not governed by an ocean transportation contract, and 
        shall provide the schedule of transportation rates, in writing, 
        upon the request of any person. A common carrier and a 
        conference may assess a reasonable charge for complying with a 
        request for a rate, term, and condition, except that the charge 
        may not exceed the cost of providing the information requested.
            ``(2) A dispute between a common carrier or conference and 
        a person as to the applicability of the rates, terms, and 
        conditions for ocean transportation services shall be decided 
        in an appropriate State or Federal court of competent 
        jurisdiction, unless the parties otherwise agree.
            ``(3) A claim concerning a rate for ocean transportation 
        s