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                                                 Union Calendar No. 607
110th Congress 
 2d Session             HOUSE OF REPRESENTATIVES                 Report
                                                                110-934
_______________________________________________________________________

                                     

           REPORT ON THE LEGISLATIVE AND OVERSIGHT ACTIVITIES

                                 OF THE

                       COMMITTEE ON WAYS AND MEANS

                               DURING THE

                             110TH CONGRESS




January 2, 2009.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed
                      COMMITTEE ON WAYS AND MEANS

                 CHARLES B. RANGEL, New York, Chairman
FORTNEY PETE STARK, California       JIM McCRERY, Louisiana
SANDER M. LEVIN, Michigan            WALLY HERGER, California
JIM McDERMOTT, Washington            DAVE CAMP, Michigan
JOHN LEWIS, Georgia                  JIM RAMSTAD, Minnesota
RICHARD E. NEAL, Massachusetts       SAM JOHNSON, Texas
MICHAEL R. McNULTY, New York         PHIL ENGLISH, Pennsylvania
JOHN S. TANNER, Tennessee            JERRY WELLER, Illinois
XAVIER BECERRA, California           KENNY C. HULSHOF, Missouri
LLOYD DOGGETT, Texas                 RON LEWIS, Kentucky
EARL POMEROY, North Dakota           KEVIN BRADY, Texas
STEPHANIE TUBBS JONES, Ohio          THOMAS M. REYNOLDS, New York
MIKE THOMPSON, California            PAUL RYAN, Wisconsin
JOHN B. LARSON, Connecticut          ERIC CANTOR, Virginia
RAHM EMANUEL, Illinois               JOHN LINDER, Georgia
EARL BLUMENAUER, Oregon              DEVIN NUNES, California
RON KIND, Wisconsin                  PAT TIBERI, Ohio
BILL PASCRELL, Jr., New Jersey       JON PORTER, Nevada
SHELLY BERKLEY, Nevada
JOSEPH CROWLEY, New York
CHRIS VAN HOLLEN, Maryland
KENDRICK MEEK, Florida
ALLYSON Y. SCHWARTZ, Pennsylvania
ARTUR DAVIS, Alabama
                         LETTER OF TRANSMITTAL

                              ----------                              

                     U.S. House of Representatives,
                               Committee on Ways and Means,
                                   Washington, DC, January 2, 2009.
 Hon. Lorraine C. Miller,
Office of the Clerk, House of Representatives,
The Capitol, Washington, DC.
    Dear Ms. Miller: I am herewith transmitting, pursuant to 
House Rule XI, clause 1(d), the report of the Committee on Ways 
and Means on its legislative and oversight activities during 
the 110th Congress.
            Sincerely,
                                         Charles B. Rangel,
                                                          Chairman.


                            C O N T E N T S

                              ----------                              
                                                                   Page
Transmittal Letter...............................................   III
Foreword.........................................................   VII
 I. Legislative Activity Review.......................................1
        A. Legislative Review of Tax, Trust Fund, and Pension 
          Issues.................................................     1
        B. Legislative Review of Trade Issues....................    22
        C. Legislative Review of Health Issues...................    50
        D. Legislative Review of Social Security Issues..........    58
        E. Legislative Review of Income Security and Family 
          Support Issues.........................................    60
        F. Legislative Review of Debt Issues.....................    65
II. Oversight Activity Review........................................66
        A. Oversight Agenda......................................    66
        B. Actions Taken and Recommendations Made With Respect to 
          Oversight Plan.........................................    73
Appendix I. Jurisdiction of the Committee on Ways and Means......   106
Appendix II. Historical Note.....................................   127
Appendix III. Statistical Review of the Activities of the 
  Committee on Ways and Means....................................   133
Appendix IV. Chairmen of the Committee on Ways and Means and 
  Membership of the Committee from the 1st through the 110th 
  Congresses.....................................................   138
                                FOREWORD

    Clause 1(d) of Rule XI of the Rules of the House, regarding 
the rules of procedure for committees, contains a requirement 
that each committee prepare a report at the conclusion of each 
Congress summarizing its activities. The 104th Congress added 
subsections on legislative and oversight activities, including 
a summary comparison of oversight plans and eventual 
recommendations and actions. The full text of the Rule follows:

    (d)(1) Each committee shall submit to the House not later 
than January 2 of each odd-numbered year a report on the 
activities of that committee under this rule and rule X during 
the Congress ending at noon on January 3 of such year.
    (2) Such report shall include separate sections summarizing 
the legislative and oversight activities of that committee 
during that Congress.
    (3) The oversight section of such report shall include a 
summary of the oversight plans submitted by the committee under 
clause 2(d) of rule X, a summary of the actions taken and 
recommendations made with respect to each such plan, a summary 
of any additional oversight activities undertaken by that 
committee, and any recommendations made or actions taken 
thereon.
    (4) After an adjournment sine die of the last regular 
session of a Congress, the chairman of a committee may file an 
activities report under subparagraph (1) with the Clerk at any 
time and without approval of the committee, provided that
          (A) a copy of the report has been available to each 
        member of the committee for at least seven calendar 
        days; and
          (B) the report includes any supplemental, minority, 
        or additional view submitted by a member of the 
        committee.

    The jurisdiction of the Committee on Ways and Means during 
the 110th Congress is provided in Rule X, clause 1(t), as 
follows:

    (t) Committee on Ways and Means.
          (1) Customs revenue, collection districts, and ports 
        of entry and delivery.
          (2) Reciprocal trade agreements.
          (3) Revenue measures generally.
          (4) Revenue measures relating to insular possessions.
          (5) Bonded debt of the United States, subject to the 
        last sentence of clause 4(f).
          (6) Deposit of public monies.
          (7) Transportation of dutiable goods.
          (8) Tax exempt foundations and charitable trusts.
          (9) National social security (except health care and 
        facilities programs that are supported from general 
        revenues as opposed to payroll deductions and except 
        work incentive programs).

    The general oversight responsibilities of committees are 
set forth in clause 2 of Rule X. The 104th Congress also added 
the requirement in clause 2 of Rule X that each standing 
committee submit its oversight plans for each Congress. The 
text of the Rule, in pertinent part, follows:

    2. (a) The various standing committees shall have general 
oversight responsibilities as provided in paragraph (b) in 
order to assist the House in
          (1) its analysis, appraisal, and evaluation of
                  (A) the application, administration, 
                execution, and effectiveness of Federal laws; 
                and
                  (B) conditions and circumstances that may 
                indicate the necessity or desirability of 
                enacting new or additional legislation; and
          (2) its formulation, consideration, and enactment of 
        changes in Federal laws, and of such additional 
        legislation as may be necessary or appropriate.
    (b)(1) In order to determine whether laws and programs 
addressing subjects within the jurisdiction of a committee are 
being implemented and carried out in accordance with the intent 
of Congress and whether they should be continued, curtailed, or 
eliminated, each standing committee (other than the Committee 
on Appropriations) shall review and study on a continuing basis
          (A) the application, administration, execution, and 
        effectiveness of laws and programs addressing subjects 
        within its jurisdiction;
          (B) the organization and operation of Federal 
        agencies and entities having responsibilities for the 
        administration and execution of laws and programs 
        addressing subjects within its jurisdiction;
          (C) any conditions or circumstances that may indicate 
        the necessity or desirability of enacting new or 
        additional legislation addressing subjects within its 
        jurisdiction (whether or not a bill or resolution has 
        been introduced with respect thereto); and
          (D) future research and forecasting on subjects 
        within its jurisdiction.
    (2) Each committee to which subparagraph (1) applies having 
more than 20 members shall establish an oversight subcommittee, 
or require its subcommittees to conduct oversight in their 
respective jurisdictions, to assist in carrying out its 
responsibilities under this clause. The establishment of an 
oversight subcommittee does not limit the responsibility of a 
subcommittee with legislative jurisdiction in carrying out its 
oversight responsibilities.
    (c) Each standing committee shall review and study on a 
continuing basis the impact or probable impact of tax policies 
affecting subjects within its jurisdiction as described in 
clauses 1 and 3.
    (d)(1) Not later than February 15 of the first session of a 
Congress, each standing committee shall, in a meeting that is 
open to the public and with a quorum present, adopt its 
oversight plan for that Congress. Such plan shall be submitted 
simultaneously to the Committee on Oversight and Government 
Reform and to the Committee on House Administration. In 
developing its plan each committee shall, to the maximum extent 
feasible--
          (A) consult with other committees that have 
        jurisdiction over the same or related laws, programs, 
        or agencies within its jurisdiction with the objective 
        of ensuring maximum coordination and cooperation among 
        committees when conducting reviews of such laws, 
        programs, or agencies and include in its plan an 
        explanation of steps that have been or will be taken to 
        ensure such coordination and cooperation;
          (B) review specific problems with Federal rules, 
        regulations, statutes, and court decisions that are 
        ambiguous, arbitrary, or nonsensical, or that impose 
        severe financial burdens on individuals;
          (C) give priority consideration to including in its 
        plan the review of those laws, programs, or agencies 
        operating under permanent budget authority or permanent 
        statutory authority; and
          (D) have a view toward ensuring that all significant 
        laws, programs, or agencies within its jurisdiction are 
        subject to review every 10 years; and
          (E) have a view toward insuring against duplication 
        of Federal programs.

    To carry out its work during the 110th Congress, the 
Committee on Ways and Means had six standing Subcommittees, as 
follows:
          Subcommittee on Trade;
          Subcommittee on Oversight;
          Subcommittee on Health;
          Subcommittee on Social Security;
          Subcommittee on Income Security and Family Support; 
        and
          Subcommittee on Select Revenue Measures.
    The membership of the six Subcommittees of the Committee on 
Ways and Means in the 110th Congress is as follows:

                         Subcommittee on Trade

                  SANDER M. LEVIN, Michigan, Chairman
JOHN S. TANNER, Tennessee            WALLY HERGER, California
JOHN B. LARSON, Connecticut          JERRY WELLER, Illinois
EARL BLUMENAUER, Oregon              RON LEWIS, Kentucky
BILL PASCRELL, Jr., New Jersey       KEVIN BRADY, Texas
SHELLEY BERKLEY, Nevada              THOMAS M. REYNOLDS, New York
JOSEPH CROWLEY, New York             KENNY C. HULSHOF, Missouri
CHRIS VAN HOLLEN, Maryland
KENDRICK MEEK, Florida

                       Subcommittee on Oversight

                     JOHN LEWIS, Georgia, Chairman
JOHN S. TANNER, Tennessee            JIM RAMSTAD, Minnesota
RICHARD E. NEAL, Massachusetts       ERIC CANTOR, Virginia
XAVIER BECERRA, California           JOHN LINDER, Georgia
STEPHANIE TUBBS JONES, Ohio          DEVIN NUNES, California
RON KIND, Wisconsin                  PAT TIBERI, Ohio
BILL PASCRELL, Jr., New Jersey
JOSEPH CROWLEY, New York

                         Subcommittee on Health

                FORTNEY PETE STARK, California, Chairman
LLOYD DOGGETT, Texas                 DAVE CAMP, Michigan
MIKE THOMPSON, California            SAM JOHNSON, Texas
RAHM EMANUEL, Illinois               JIM RAMSTAD, Minnesota
XAVIER BECERRA, California           PHIL ENGLISH, Pennsylvania
EARL POMEROY, North Dakota           KENNY C. HULSHOF, Missouri
STEPHANIE TUBBS JONES, Ohio
RON KIND, Wisconsin

                    Subcommittee on Social Security

                 MICHAEL R. McNULTY, New York, Chairman
SANDER M. LEVIN, Michigan            SAM JOHNSON, Texas
EARL POMEROY, North Dakota           RON LEWIS, Kentucky
ALLYSON Y. SCHWARTZ, Pennsylvania    KEVIN BRADY, Texas
ARTUR DAVIS, Alabama                 PAUL RYAN, Wisconsin
XAVIER BECERRA, California           DEVIN NUNES, California
LLOYD DOGGETT, Texas
STEPHANIE TUBBS JONES, Ohio

           Subcommittee on Income Security and Family Support

                  JIM McDERMOTT, Washington, Chairman
FORTNEY PETE STARK, California       JERRY WELLER, Illinois
ARTUR DAVIS, Alabama                 WALLY HERGER, California
JOHN LEWIS, Georgia                  DAVE CAMP, Michigan
MICHAEL R. McNULTY, New York         JON PORTER, Nevada
SHELLEY BERKLEY, Nevada              PHIL ENGLISH, Pennsylvania
CHRIS VAN HOLLEN, Maryland
KENDRICK MEEK, Florida

                Subcommittee on Select Revenue Measures

                RICHARD E. NEAL, Massachusetts, Chairman
LLOYD DOGGETT, Texas                 PHIL ENGLISH, Pennsylvania
MIKE THOMPSON, California            THOMAS M. REYNOLDS, New York
JOHN B. LARSON, Connecticut          ERIC CANTOR, Virginia
ALLYSON Y. SCHWARTZ, Pennsylvania    JOHN LINDER, Georgia
JIM McDERMOTT, Washington            PAUL RYAN, Wisconsin
RAHM EMANUEL, Illinois
EARL BLUMENAUER, Oregon

    The Committee on Ways and Means submits its report on its 
legislative and oversight activities for the 110th Congress 
pursuant to the above stated provisions of the Rules of the 
House. Section I of the report describes the Committee's 
legislative activities, divided into six sections as follows: 
Legislative Review of Tax, Trust Fund, and Pension Issues; 
Legislative Review of Trade Issues; Legislative Review of 
Health Issues; Legislative Review of Social Security Issues; 
Legislative Review of Income Security and Family Support 
Issues; and Legislative Review of Debt Issues.
    Section II of the report describes the Committee's 
oversight activities. It includes a copy of the Committee's 
Oversight Agenda, adopted in open session on January 17, 2007, 
along with a description of actions taken and recommendations 
made with respect to the oversight plan. The report then 
discusses additional Committee oversight activities, and any 
recommendations or actions taken as a result. Finally, the 
report includes four appendices with Committee information. 
Appendix I is an expanded discussion of the Jurisdiction of the 
Committee on Ways and Means along with a revised listing and 
explanation of blue slip resolutions and points of order under 
House Rule XXI 5(a). Appendix II is a brief Historical Note on 
the origins of the Committee; Appendix III is a Statistical 
Review of the Activities of the Committee on Ways and Means; 
and Appendix IV is a listing of the Chairmen and Membership of 
the Committee from the 1st-110th Congresses.
110th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     110-934

======================================================================



 
REPORT ON THE LEGISLATIVE AND OVERSIGHT ACTIVITIES OF THE COMMITTEE ON 
          WAYS AND MEANS DURING THE ONE HUNDRED TENTH CONGRESS

                                _______
                                

January 2, 2009.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

    Mr. Rangel, from the Committee on Ways and Means, submitted the 
                               following

                              R E P O R T

                     I. LEGISLATIVE ACTIVITY REVIEW


      A. Legislative Review of Tax, Trust Fund, and Pension Issues


          1. BILLS ENACTED INTO LAW DURING THE 110TH CONGRESS

a. U.S. Troop Readiness Veterans' Care, Katrina Recovery, and Iraq 
        Accountability, 2007 (P.L. 110-28)

    On February 9, 2007, Chairman Rangel introduced H.R. 976. 
The House Committee on Ways and Means reported H.R. 976 on 
February 15, 2007 (H. Rept. 110-14). The Senate Committee on 
Finance reported S. 349 on January 22, 2007 (S. Rept. 110-1). 
The text of H.R. 976 was added to H.R. 1591 as chapter 2 of 
Title VII. The House passed H.R. 1591 (a supplemental 
appropriations bill) on March 23, 2007. The Senate passed H.R. 
1591 with an amendment on March 29, 2007. The conference report 
was filed on April 24, 2007 (H. Rept. 110-107) and was passed 
by the House on April 25, 2007, and the Senate on April 26, 
2007. The President vetoed the bill on May 1, 2007, and the 
House failed to override the veto on May 2, 2007. H.R. 2206, 
which contained the tax provisions of H.R. 1591, was passed by 
the House on May 10, 2007, and was passed by the Senate on May 
17, 2007. On May 24, the House agreed to the Senate amendment 
with an amendment, and on May 24, 2007, the Senate agreed to 
the House amendment. The President signed the bill into law on 
May 25, 2007.
    This Act extended and expanded the work opportunity tax 
credit, increased and extended the section 179 expensing 
limitations for small businesses, froze the minimum wage level 
at which the tip credit is based on the May 2007 minimum wage 
levels ($5.15), waived the individual and corporate alternative 
minimum tax limits on the work opportunity tax credit and 
credit for taxes paid with respect to employee cash tips, 
allowed an unincorporated business owned jointly by a married 
couple to file as a sole proprietorship instead of a 
partnership, extended the increased expensing for qualified 
section 179 Gulf Opportunity (GO) Zone property, extended and 
expanded the low-income housing credit rules for buildings in 
the GO Zones, extended certain special tax-exempt bond 
financing rule for repairs and reconstructions of residences in 
the GO Zones, instructed the Government Accountability Office 
to provide a study of practices employed by State and local 
governments in allocating and utilizing tax incentives provided 
pursuant to the Gulf Opportunity Zone Tax Act of 2005, modified 
the subchapter S rules (including provisions relating to the 
exclusion of Capital Gains from Passive Investment Income, the 
treatment of qualifying director's shares, the recapture of bad 
debt reserves, the treatment of sale of Interest in a qualified 
subchapter S subsidiary, the elimination of earnings and profit 
attributable to pre-1983 years, and the permanent interest 
deduction for electing a small business trust to acquire S 
corporation stock). The Act also included provisions that 
denied the lower capital gains rate for certain dependents 
under age 24, modified interest suspension rules (extending 
from 18 months to 36 months) with respect to tax deficiencies, 
eliminated the requirement that the IRS hold more than one 
collection due process hearing before issuing a levy on 
delinquent employment taxes, permanently extended IRS user 
fees, increased the threshold penalty and fees associated with 
writing bad checks, expanded and increased preparer penalties 
to all types of tax returns, and created a new penalty on 
claims for refund that are filed without any reasonable basis.

b. Energy Independence and Security Act of 2007 (P.L. 110-140)

    On January 12, 2007, Representative Nick Joe Rahall 
introduced H.R. 6. H.R. 6 passed the House on January 18, 2007, 
and passed the Senate on June 21, 2007. On December 6, 2007, 
the House agreed to the Senate amendment with an amendment, and 
on December 13, 2007, the Senate agreed to the House amendment 
with an amendment. On December 18, 2007, the House agreed to 
the Senate amendment. The President signed the bill into law on 
December 19, 2007.
    The Act extended through calendar year 2008 the 0.2 percent 
Federal Unemployment Tax Act (FUTA) surtax payable by employers 
and extended from five to seven years the amortization period 
for geological and geophysical expenditures by certain major 
integrated oil companies.

c. Hokie Spirit Memorial Fund (P.L. 110-141)

    On November 8, 2007, Representative Rick Boucher introduced 
H.R. 4118. The bill was passed in the House under suspension of 
the rules on December 6, 2007. The Senate passed the bill, 
without amendment, by unanimous consent on December 6, 2007 and 
the President signed the bill into law on December 19, 2007.
    This Act excludes from gross income any payments to victims 
of the April 16, 2007 shooting tragedy at the Virginia 
Polytechnic Institute & State University (Virginia Tech), out 
of amounts transferred from the Hokie Spirit Memorial Fund, 
established by the Virginia Tech Foundation. It also increased, 
by $1, the penalty for failure to file a partnership income tax 
return.

d. Mortgage Forgiveness Debt Relief Act of 2007 (P.L. 110-142)

    On September 25, 2007, Chairman Rangel introduced H.R. 
3648. It was reported by the Committee on Ways and Means on 
October 1, 2007 (H. Rept. 110-356) and was passed in the House 
on October 4, 2007. The bill was discharged by the Senate 
Committee on Finance by unanimous consent. The bill passed in 
the Senate with an amendment, by unanimous consent on December 
14, 2007. The House agreed to the Senate amendment and passed 
the bill under suspension of the rules on December 18, 2007. 
The President signed the bill into law on December 20, 2007.
    This Act excludes discharged qualified residential debt 
from gross income. Qualified indebtedness is defined as debt, 
limited to $2 million ($1 million if married filing 
separately), incurred in acquiring, constructing, or 
substantially improving the taxpayer's principal residence. It 
also includes refinancing of this debt, to the extent that the 
refinancing does not exceed the principal amount of 
indebtedness. The provision applies to debt discharges made on 
or after January 1, 2007 and before January 1, 2010. On October 
3, 2008, a provision included in the Emergency Economic 
Stabilization Act of 2008 (P.L. 110-343) extended the exclusion 
through the end of 2012.

e. Airport and Airway Trust Fund Extensions (P.L. 110-92, 110-161, 110-
        190, 110-253, and 110-330)

    Before passage of the bills outlined below extending 
certain excise taxes to fund the Airport and Airway Trust Fund 
and the expenditure authority for the Trust Fund, Congress 
passed several short-term extensions of the taxes and 
expenditure authority in various appropriations bills. The 
extensions are listed below.
    H.J. Res. 52 passed the House on September 26, 2007 on a 
404-14 vote. It passed the Senate on September 27, 2007 by a 
94-1 vote and was signed into law by the President on September 
29, 2007 (P.L. 110-92). Section 149 of that legislation 
extended the provisions from September 30, 2007 to November 16, 
2007.
    The Conference Report to H.R. 3222 passed the House on 
November 8, 2007 on a 400-15 vote. It passed the Senate that 
same day by voice vote, and was signed into law by the 
President on November 13, 2007 (P.L. 110-116). Division B of 
that legislation extended the provisions until December 14, 
2007.
    H.J. Res. 69 passed the House on December 13, 2007 on a 
385-27 vote. It passed the Senate that same day by unanimous 
consent and was signed into law by the President on December 
14, 2007 (P.L. 110-137). That legislation extended the 
provisions until December 21, 2007.
    H.J. Res. 72 passed the House on December 19, 2007 on a 
voice vote. It passed the Senate that same day by unanimous 
consent and was signed into law by the President on December 
21, 2007 (P.L. 110-149). That legislation extended the 
provisions until December 31, 2007.
    The Senate agreed to House amendment number 1 to the Senate 
amendment to H.R. 2764 on December 18, 2007 by vote of 76-17. 
That same day, the Senate agreed to House amendment number 2 to 
H.R. 2764, with an additional amendment by a vote of 70-25. On 
December 19, 2007, the House agreed to the Senate amendment by 
a vote of 272-142. H.R. 2764 was signed into law by the 
President on December 26, 2007 (P.L. 110-161). Section 116 of 
Division K of that legislation extended the provisions until 
February 29, 2008.

f. Tax Increase Prevention Act of 2007 (P.L. 110-166)

    On October 30, 2007, Chairman Rangel introduced H.R. 3996. 
The bill was reported by the Committee on Ways and Means on 
November 6, 2007 and it passed the House on November 9, 2008. 
The Senate passed the bill with an amendment on December 6, 
2008. The House agreed to the Senate amendment, and passed the 
bill under suspension of the rules on December 19, 2007. The 
President signed the bill into law on December 26, 2007.
    This Act amended the Internal Revenue Code and extended, 
through 2007, the increased alternative minimum tax (AMT) 
exemption amounts for joint filers ($66,250) and single filers 
($44,350). It also offset nonrefundable personal tax credits 
against regular and AMT liability.

g. Tax Technical Corrections Act of 2007 (P.L. 110-172)

    On December 19, 2007, Chairman Rangel introduced H.R. 4839. 
The bill passed the House and the Senate without amendment, by 
unanimous consent on December 19, 2007. The President signed 
the bill into law on December 29, 2007.
    This Act made technical amendments and clerical corrections 
to the Internal Revenue Code, including corrections to 
provisions enacted by the Tax Relief and Health Care Act of 
2006, the Pension Protection Act of 2006, the Tax Increase 
Prevention and Reconciliation Act of 2005, the Safe, 
Accountable, Flexible, Efficient Transportation Equity Act: A 
Legacy for Users, the Energy Policy Act of 2005, the American 
Jobs Creation Act of 2004, the Economic Growth and Tax Relief 
Reconciliation Act of 2001, the Tax Relief Extension Act of 
1999, and the Internal Revenue Service Restructuring and Reform 
Act of 1998.

h. Term of IRS Commissioner (P.L. 110-176)

    On December 19, 2007, by unanimous consent, the Senate 
passed S. 2436, a bill to clarify that the term of the 
Commissioner of Internal Revenue is a five-year term, beginning 
with a term to commence on November 13, 1997. Under the bill, 
each subsequent term shall begin on the day after the date on 
which the previous term expires. The House passed the bill on 
December 19, 2007, without objection, and was signed by the 
President on January 4, 2008.

i. Economic Stimulus Act of 2008 (P.L. 110-185)

    On January 28, 2008, House Speaker Pelosi introduced H.R. 
5140. The bill passed the House under suspension of the rules 
on January 29, 2008. The bill passed the Senate with an 
amendment and the House agreed to the Senate amendment on 
February 7, 2008. It was signed into law by the President on 
February 13, 2008.
    The Act amends the Internal Revenue Code to grant tax 
rebates of the lesser of net income tax liability or $600 to 
individual taxpayers ($1,200 for married taxpayers filing joint 
returns) and allows additional rebates of $300 for each child 
of an eligible taxpayer. The Act provides for a minimum tax 
rebate of $300 ($600 for married taxpayers filing joint 
returns) for taxpayers with earned income of at least $3,000 
and includes social security retirement benefits and 
compensation and pension benefits paid to disabled veterans for 
purposes of determining income eligibility for rebates. The new 
law reduces the amount of such rebates by 5 percent of the 
amount that exceeds an adjusted gross income of $75,000 
($150,000 for married taxpayers filing joint returns).
    The Act also allowed, for 2008, 50 percent of eligible 
investment, generally equipment, to be expensed (bonus 
depreciation). It also extended the maximum amount of expensing 
of eligible investment, generally equipment, from $128,000 to 
$250,000, and began the phase out of the expensing provision at 
a higher amount.

j. Genetic Information Nondiscrimination Act of 2008 (P.L. 110-233)

    On January 16, 2007, Representative Louise Slaughter 
introduced H.R. 493 which passed the House under suspension of 
the rules on April 25, 2007. The Senate amended the bill and 
passed it on April 24, 2008. The House agreed to the Senate 
amendment on May 1, 2008. The President signed the bill into 
law on May 21, 2008.
    The Act modifies the current law excise tax on group health 
plans which fail to comply with certain rules of plan 
eligibility requirements by including an expanded description 
of discrimination on the basis of genetic information to the 
rules.

k. Food, Conservation, and Energy Act of 2008 (P.L. 110-234 and 110-
        246)

    On May 22, 2007, Representative Collin Peterson introduced 
H.R. 2419. H.R. 2419 passed the House on July 27, 2007. The 
Senate Committee on Finance reported S. 2242 on October 25, 
2007 (S. Rept. 110-206). The Senate passed H.R. 2419 on 
December 14, 2007, with an amendment. The conference report to 
H.R. 2419 was filed on May 13, 2008 (H. Rept. 110-627), was 
passed by the House on May 14, 2008, and passed by the Senate 
on May 15, 2008. The bill was vetoed by the President on May 
21, 2008. The veto was overridden by the House on May 21, 2008, 
and by the Senate on May 22, 2008, becoming P.L. 110-234. To 
correct an enrolling error in P.L. 110-234, Representative 
Peterson introduced H.R. 6124 on May 22, 2008, which passed the 
House under suspension of the rules the same day. The Senate 
passed H.R. 6124 on June 5, 2008 without amendment. The bill 
was vetoed by the president on June 18, 2008. On June 18, 2008, 
the House and Senate voted to override that veto. P.L. 110-246, 
which contains the identical revenue provisions to those 
contained in the conference agreement H. Rept. 110-627, was 
enacted into law on June 18, 2008. Section 4 of P.L. 110-246 
provides that the amendments made by P.L. 110-234 are repealed 
and that the amendments made by P.L. 110-246 generally take 
effect on the date of enactment of the earlier of the two bills 
to be enacted (May 22, 2008). Provisions in P.L. 110-246 
relating to the Committee's jurisdiction over trade measures 
are described in the trade section of this report.
    The Internal Revenue Code amendments in the Act excluded 
Conservation Reserve Program Payments from SECA tax for 
individuals receiving Social Security retirement or disability 
benefits, extended the special rule for qualified conservation 
contributions, provided a deduction for endangered species 
recovery expenditures, included certain timber provisions (15 
percent tax rate for gain on timber harvested by a C 
corporation, 15 year holding period, and certain timber REIT 
rule modifications), provided $500 million in qualified 
forestry conservation bonds, provided a credit for production 
of cellulosic biofuel (maximum credit of $1.01 per gallon and a 
revised definition of biofuels), included a comprehensive study 
of biofuels, modified the qualified small issue bonds for 
farming (increased loan limit from $250,000 to $450,000, 
indexed that limit, and eliminated the dollar limitation in the 
definition of substantial farmland), allowed section 1031 
treatment for certain exchanges (exchanges involving certain 
mutual ditch, reservoir, or irrigation company stock), provided 
an agricultural chemicals security tax credit, changed the 
depreciation classification for race horses that are two years 
old or younger from 7 year property to 3 year property, 
provided temporary relief for Kiowa County, KS and surrounding 
areas (suspension of certain personal casualty loss 
limitations, extension of replacement period for nonrecognition 
of gain, employee retention credit for employers affected by 
May 4 storms and tornadoes, special temporary allowance for 
certain property acquired on or after May 5, 2007, increase in 
expensing under section 179, expensing for certain demolition 
and clean-up costs, modification of treatment of public utility 
property disaster losses, modified treatment of net operating 
losses attributable to storm losses, modification of treatment 
of representations regarding income eligibility for purposes of 
qualified rental project requirements, and special rules for 
use of retirement funds), modified the advance coal project 
credit and the gasification project credit, modified 
information reporting for Commodity Credit Corporation 
transactions, and included provisions related to the protection 
of the Social Security program. The Internal Revenue Code 
amendments in the Act also modified the incentives relating to 
alcohol fuels (VEETC), modified the calculation of volume of 
alcohol for fuel credits (limiting denaturants to 2 percent), 
limited excess farming losses of certain taxpayers, and 
increased and indexed the dollar threshold for farm optional 
method and nonfarm optional method for computing net earnings 
from self-employment. The Act also included amendments to 19 
U.S.C. 2101 et seq. that provided for the creation of and 
funding of a Supplemental Agricultural Disaster Assistance 
program from the Agricultural Disaster Relief Trust Fund, and 
amendments to 19 U.S.C. 58c that extended Custom User Fees and 
other fees.

l. Heroes Earnings Assistance and Relief Tax Act of 2008 (P.L. 110-245)

    On May 16, 2008, Chairman Rangel introduced H.R. 6081 which 
passed the House under suspension of the rules on May 20, 2008. 
The Senate passed the bill, without amendment, by unanimous 
consent on May 22, 2008 and the President signed the bill into 
law on June 17, 2008.
    This Act includes four titles. Title I provided tax 
benefits for members of the military, including some for 
enlisted members on Active duty, national reserve members on 
Active duty, their family members or survivors, and veterans. 
Certain temporary provisions were made permanent. There are 
exceptions to the length-of-residence rules governing tax-free 
capital gains on a principal residence for members of the Peace 
Corps and for certain employees of the intelligence community. 
Title II excluded certain types of payments, likely to go to 
low-income people, from reducing supplemental security income 
(SSI) benefits. Title III included provisions to impose mark-
to-market regime on individuals who expatriate, impose 
employment tax for wages paid for service performed by 
employees of foreign subsidiaries of U.S. parent companies 
under U.S. government contract, and increase penalties for 
failure to file returns. Title IV extended through 2008 parity 
requirements for mental health benefits offered by group health 
plans.

m. Housing and Economic Recovery Act of 2008 (P.L. 110-289)

    On April 8, 2008, Chairman Rangel introduced H.R. 5720. The 
House Committee on Ways and Means reported H.R. 5720 on April 
24, 2008 (H. Rept. 110-606). The Senate passed H.R. 3221 (a 
bill unrelated to housing as passed by the House) on April 10, 
2008 with an amendment. The House passed H.R. 3221 on May 8, 
2008 with amendments (containing provisions similar to those 
included in H.R. 5720) to the Senate amendment. The Senate 
passed H.R. 3221 on July 11, 2008, with an amendment to the 
House amendments. The House passed H.R. 3221 on July 23, 2008 
with an amendment to the Senate amendment. The Senate agreed to 
the House amendment on July 26, 2008. The President signed the 
bill into law on July 30, 2008.
    The Act provided a number of benefits for multi-family low-
income housing (including temporarily increasing the volume cap 
for the low-income housing tax credit, modifying the 
determination of the credit rate and the definition of eligible 
basis, modifying the treatment of basic housing allowances for 
purposes of income eligibility rules, providing refunding 
treatment for certain housing bonds, coordinating certain rules 
applicable to the low-income housing credit and certain 
qualified residential rental project exempt facility bonds, 
providing hold harmless treatment for reductions in area median 
gross income, excepting from annual recertification 
requirements projects that are entirely low-income use, and 
providing the simplification and reform of other low-income 
housing incentives), provided a refundable $7,500 credit for 
certain first-time homebuyers (to be ratably repaid), provided 
an additional standard deduction for State and local property 
taxes, modified certain private Activity bond rules for 
housing, repealed AMT limitations on certain housing bonds and 
housing credits, provided that bonds guaranteed by federal home 
loan banks are eligible for treatment as tax-exempt bonds, 
modified rules pertaining to FIRPTA non-foreign affidavits, 
modified provisions of the rehabilitation credit, relaxed 
mortgage revenue bond limitations for Presidentially declared 
disaster areas, included certain reforms related to real estate 
investment trusts (including provisions relating to foreign 
currency and other qualified activities, the taxable REIT 
subsidiary asset test, the holding period under safe harbor, 
the value of sales under safe harbor, and conformity for health 
care facilities), provided an election to accelerate AMT and 
R&D credits in lieu of bonus depreciation, and extended and 
expanded certain GO Zone incentives. The Act also provided 
provisions to require information reporting on payment card and 
third party payment transactions, modify the exclusion of gain 
on the sale of principal residence to not apply to nonqualified 
use, and delay for two years the implementation of worldwide 
interest allocation and apply a 70 percent limitation on the 
first year of worldwide interest allocation.

n. Hubbard Act (Funeral Trusts) (P.L. 110-317)

    On July 23, 2008, Representative Ron Kind introduced H.R. 
6580. The bill was passed in the House under suspension of the 
rules on July 29, 2008. On August 1, 2008, the Senate passed 
the bill without amendment by unanimous consent. It was signed 
into law by the President on August 29, 2008.
    The Act repealed the dollar limit on contributions to 
qualified funeral trusts.

o. Highway Trust Fund Restoration (P.L. 110-318)

    On July 17, 2008, Chairman Rangel introduced H.R. 6532. The 
bill was passed in the House under suspension of the rules on 
July 23, 2008. On September 10, 2008, the bill was discharged 
by the Senate Committee on Finance by unanimous consent and it 
passed the Senate with an amendment. The House passed the bill 
as amended, on September 11, 2008 and the President signed the 
bill into law on September 15, 2008.
    This bill allowed the transfer of $8.017 billion from the 
Treasury to the Highway Trust Fund. The funding was necessary 
to ensure the solvency of the Trust Fund. The amount 
transferred to the Trust Fund is the same as the amount 
transferred, pursuant to Section 9004 of the Surface 
Transportation Revenue Act of 1998, from the Trust Fund to the 
General Fund.

p. SSI Extension for Elderly and Disabled Refugees Act (P.L. 110-328)

    On June 7, 2007, Representative Jim McDermott introduced 
H.R. 2608. The bill was passed in the House under suspension of 
the rules on July 11, 2007. The Senate amended and passed the 
bill August 1, 2008, with an amendment. The House agreed to the 
Senate amendment on September 17, 2008. The President signed 
the bill into law on September 30, 2008.
    The Act allowed the Secretary of the Treasury to offset 
overpayments of Federal taxes by any amount owed to a state for 
a covered unemployment compensation debt (past-due debt, 
including penalties and interest, for erroneous payment of 
state unemployment compensation due to fraud which has become 
final under state law and remains uncollected for not more than 
10 years) for ten years following the date of enactment, and 
allowed the Secretary of the Treasury to permit the IRS to 
disclose information about the covered unemployment 
compensation debts and related offsets to the Department of 
Labor.

q. Emergency Economic Stabilization Act of 2008 (P.L. 110-343)

    H.R. 1424 was introduced by Representative Patrick Kennedy 
on March 9, 2007, and contained provisions relating to mental 
health parity and associated revenue provisions. H.R. 1424 was 
amended by the Committees of jurisdiction and passed the House 
under suspension of the rules on March 5, 2008 by a vote of 
268-148. H.R. 1424 was amended in the Senate on October 1, 2008 
and passed by a vote of 74-25. The House agreed to the Senate 
amendment on October 3, 2008. H.R. 1424 was signed into law by 
the President on October 3, 2008. There are revenue related 
provisions in all three divisions of the Act.
    Division A: Division A of H.R. 1424 is the Troubled Asset 
Relief Program (TARP) addressing emergency economic 
stabilization. Provisions in that division relate to permitting 
the Secretary of the Treasury to apply ordinary gain or loss 
treatment to certain sales of preferred stock in Fannie Mae or 
Freddie Mac (with respect to stock that was sold or exchanged 
on or after January 1, 2008 and before September 7, 2008 by a 
banking, financial, or investment institution or a depository 
institution holding company), denial of a tax deduction for 
compensation or other benefits in excess of $500,000 made to 
certain executives of employers who participate in the TARP 
(including certain tax penalties for excess parachute 
payments), and an extension through 2012 of the exclusion of 
income attributable to a discharge of indebtedness on a 
principal residence from gross income.
    Division B: Division B of H.R. 1424 is the Energy 
Improvement and Extension Act of 2008. Division B of the Act 
was preceded in the House by Action on H.R. 2776, H.R. 3221, 
H.R. 6, H.R. 5351, H.R. 6049, and H.R. 7060. Chairman Charles 
Rangel introduced H.R. 2776, the ``Renewable Energy and Energy 
Conservation Tax Act of 2007,'' on June 19, 2007 to provide tax 
incentives for the production of renewable energy and energy 
conservation. The bill was ordered favorably reported, as 
amended, out of the Committee on June 27, 2007 (H. Rept. 110-
214) by a vote of 24 to 16. H.R. 2776 passed the House of 
Representatives on August 4, 2007 by a vote of 221 to 189. 
Pursuant to the provisions of H. Res. 615, H.R. 2776 was laid 
on the table and the provisions of the bill were incorporated 
into H.R. 3221, the ``New Direction for Energy Independence, 
National Security, and Consumer Protection Act of 2007.'' H.R. 
3221 passed the House of Representatives by a vote of 241 to 
172. For further discussion, see P.L. 110-289 above.
    On December 6, 2007, the House of Representatives agreed 
with amendments to the Senate amendments to H.R. 6. Title XV of 
the House amendments, the ``Clean Renewable Energy and 
Conservation Tax Act of 2007,'' contained tax incentives for 
the production of renewable energy and energy conservation. The 
House amendment to the Senate amendment to H.R. 6 passed the 
House of Representatives by a vote of 235 to 181. The Senate 
amendment to the House amendment to the Senate amendment 
eliminated Title XV of the bill. For further discussion, see 
P.L. 110-140 above.
    Chairman Charles Rangel introduced H.R. 5351, the 
``Renewable Energy and Energy Conservation Tax Act of 2008,'' 
on February 12, 2008 to provide tax incentives for the 
production of renewable energy and energy conservation. The 
House of Representatives passed the bill on February 27, 2008 
by a vote of 236-182. The bill was referred to the Senate 
Committee on Finance. No further Action was taken.
    Chairman Rangel introduced H.R. 6049, the ``Renewable 
Energy and Job Creation Act of 2008,'' on May 14, 2008, and the 
bill was reported out of Committee on May 20, 2008 (H. Rept. 
110-658). H. R. 6049 passed the House on May 21, 2008. The 
Senate passed H.R. 6049 with an amendment on September 23, 
2008. The Senate passed H.R. 1424 with an amendment including 
the text of the Senate amendment to H.R. 6049 on October 1, 
2008. The House agreed to the Senate amendment on October 3, 
2008. H.R. 1424 was signed into law by the President on October 
3, 2008 (P.L. 110-343).
    Chairman Charles Rangel introduced H.R. 7060, the 
``Renewable Energy and Job Creation Tax Act of 2008,'' on 
September 25, 2008. The next day, the House passed the bill by 
a vote of 257 to 166. The bill was received by the Senate, and 
no further Action was taken.
    Division B included an extension and expansion of 
provisions relating to the production of electricity from 
renewable resources, an extension and expansion of the credit 
for residential energy efficient property, an extension and 
modification of clean renewable energy bonds (CREBs), special 
rules relating to the implementation of FERC and State electric 
restructuring policy, an expansion and modification of the 
advanced coal project investment credit, an expansion and 
modification of the coal gasification investment credit, a 
temporary increase in the coal excise tax to fund the Black 
Lung Disability Trust Fund, special rules for the refund of 
coal excise taxes paid by certain coal producers and exporters, 
a credit for industrial carbon dioxide capture and 
sequestration, a modification of rules related to income and 
gains from industrial source carbon dioxide with respect to 
qualifying income for publicly traded partnerships, a carbon 
audit of the tax code, an expansion of special depreciation 
allowances for cellulosic biofuel plan property, an extension 
and modification of credits for biodiesel and renewable diesel, 
a clarification that credits for fuel are designed to provide 
incentives for fuels with sufficient nexus to the United 
States, an extension and modification of alternative fuels 
excise tax credits, a credit for new qualified plug-in electric 
drive motor vehicles, an exclusion from the heavy vehicles 
excise tax for idling reduction units and advanced insulation, 
an extension of the alternative fuel vehicle refueling property 
credit, an inclusion of income and gains from storage of 
transportation of alcohol fuels, biodiesel fuels, and 
alternative fuels (and all related mixtures) as qualifying 
income for publicly traded partnerships, an extension of 
modification of the election to expense certain refineries, an 
extension of the suspension of the 100 percent-of-net-income 
limitation on percentage depletion for oil and natural gas from 
marginal properties, an extension of the transportation fringe 
benefit to bicycle commuters, the provision of a qualified 
energy conservation bond program, an extension and modification 
of the credit for energy efficiency improvements to existing 
homes, an extension of the energy efficient commercial 
buildings deduction, an extension of the credit for energy 
efficient new homes, an extension and modification of the 
energy efficient appliance credit, provisions relating to a 10-
year applicable recovery period for qualified smart electric 
distribution property with the 150 declining balance method, an 
extension of the qualified green building and sustainable 
design project bond program, and a special depreciation 
allowance for certain reuse and recycling property. The 
division also included a freeze at 6 percent of the section 199 
deduction for income attributable to the domestic production of 
oil, gas or primary products thereof, an elimination of the 
distinction between FOGEI and FORI and application of present-
law FOGEI rules to all foreign income from the production and 
sale of oil and gas products, provisions related to broker 
reporting of a customer's basis in securities transactions, an 
extension of the FUTA surtax, and an extension and increase of 
the excise tax rate for the Oil Spill Liability Trust Fund 
(including an elimination of the suspension of that extension 
and increase in the excise tax rate when the trust fund 
unobligated balance exceeds $2.7 billion).
    Division C: Division C of the Act is the Tax Extenders and 
Alternative Minimum Tax Relief of 2008. On October 30, 2007, 
Chairman Rangel introduced H.R. 3996, the Temporary Tax Relief 
Act of 2007. The bill was reported favorably out of Committee, 
with amendment, on November 6, 2007 (H. Rept. 110-431). H.R. 
3996 passed the House on November 9, 2007 by a vote of 216-193. 
The Senate passed the bill with an amendment on December 6, 
2007. The House agreed to the Senate amendment, and passed the 
bill under suspension of the rules on December 19, 2007. The 
President signed the bill into law on December 26, 2007. See 
discussion above of P.L. 110-166.
    On May 14, 2008, Chairman Rangel introduced H.R. 6049, the 
Renewable Energy and Job Creation Act of 2008, and the bill was 
reported out of Committee on May 20, 2008 (H. Rept. 110-658). 
H.R. 6049 passed the House on May 21, 2008. The Senate passed 
H.R. 6049 with an amendment on September 23, 2008. The Senate 
passed H.R. 1424 with an amendment including the text of the 
Senate amendment to H.R. 6049, on October 1, 2008. The House 
agreed to the Senate amendment on October 3, 2008. H.R. 1424 
was signed into law by the President on October 3, 2008.
    Chairman Charles Rangel introduced H.R. 7060, the 
``Renewable Energy and Job Creation Tax Act of 2008,'' on 
September 25, 2008. The next day, the House passed the bill by 
a vote of 257 to 166. The bill was received by the Senate, and 
no further action was taken.
    The division contains provisions to extend through 2008 
provisions allowing an increased alternative minimum tax (AMT) 
exemption and offset of nonrefundable tax credits against the 
AMT, extend through 2009 certain expiring individual income tax 
provisions (deduction for State and local general sales taxes, 
deduction for qualified tuition and related expenses, above-
the-line deduction for teacher classroom expenses, additional 
standard deduction for real property tax, tax-free 
distributions from IRAs to certain public charities, treatment 
of certain dividends of regulated investment companies, estate 
tax look-through treatment for certain RIC stock held by 
nonresidents, and treatment of RICs as ``qualified investment 
entities'' under FIRPTA), extend and modify through 2009 
certain expiring business tax provisions (R&D credit, new 
markets tax credit, exception under subpart F for active 
financing income, look-through treatment of payments between 
related CFCs under foreign personal holding company income 
rules, 15-year straight line cost recovery for qualified 
leasehold, restaurant, and retail improvements and new 
restaurants, modification of tax treatment of certain payments 
under existing arrangements to controlling exempt 
organizations, basis adjustment to stock of S corporations 
making charitable contributions of property, increase in limit 
on cover over of rum excise tax revenues, economic development 
credit for American Samoa, mine rescue team training credit, 
election to expense advanced mine safety equipment, deduction 
with respect to income attributable to domestic production 
Activities in Puerto Rico, credit to holders of qualified zone 
academy bonds, Indian employment tax credit, accelerated 
depreciation for business property on Indian reservations, tax 
credit for certain expenditures for maintaining railroad 
tracks, 7-year recovery period for certain motorsports racing 
track facilities, expensing of ``Brownfields'' environmental 
remediation costs, work opportunity tax credit for Hurricane 
Katrina employees, increased rehabilitation credit for 
structures in the GO Zone, charitable deduction for qualified 
computer contributions, tax incentives for investment in the 
District of Columbia, enhanced charitable deduction for 
contributions of food inventory, enhanced charitable deduction 
for contributions of book inventory, and duty suspension on 
wool products), make permanent the authority of the Internal 
Revenue Service to conduct undercover operations and disclose 
tax return information related to terrorist activities, lower 
for 2008 the earned income threshold for determining refundable 
child tax credits, expand the benefits for domestic film and 
television production, exempt certain bows and arrows from 
excise tax, allow benefits relating to income averaging and 
contributions to retirement plans for payments to plaintiffs in 
the Exxon Valdez case, allow accelerated depreciation for 
certain farming equipment, modify penalties and rules for tax 
return preparers, and provide tax benefits for disaster relief. 
The division also includes provisions to extend the secure 
rural schools and community self-determination program and 
permit the transfer of interest earned by the abandoned mine 
reclamation fund. The division also requires the inclusion in 
gross income of certain nonqualified deferred compensation of 
certain foreign corporations and partnerships.

r. Fostering Connections to Success and Increasing Adoptions Act of 
        2008 (P.L. 110-351)

    On September 15, 2008, Representative Jim McDermott 
introduced H.R. 6893. The bill was passed in the House under 
suspension of the rules on September 17, 2008. The Senate 
passed the bill, without amendment, by unanimous consent on 
September 22, 2008 and the President signed the bill into law 
on October 7, 2008.
    This bill authorizes new federal support for States that 
provide kinship guardianship assistance to eligible children 
leaving foster care and extends its funding authorizations for 
five years (FY2009-FY2013). It requires the state plan for 
foster care and adoption assistance to provide information to 
individuals, adopting or considering adopting, on the potential 
eligibility for a federal tax credit. H.R. 6893 amends the 
Internal Revenue Code, with respect to the tax exemption for 
dependents, to require that an individual be younger than the 
taxpayer claiming the individual as a qualifying child and not 
have filed a joint return with the individual's spouse for the 
taxable year in question.

s. Michelle's Law (P.L. 110-381)

    On June 25, 2007, Representative Paul Hodes introduced H.R. 
2851. H.R. 2851 passed the House under suspension of the rules 
on July 30, 2008, and passed the Senate without amendment by 
unanimous consent on September 25, 2008. The President signed 
the bill into law on October 9, 2008.
    The Act imposed an excise tax on group health plans that 
fails to satisfy the COBRA coverage rules with respect to 
certain medically necessary leave requirements specific to a 
dependent child of a plan participant who is enrolled in a 
postsecondary educational institution.

t. Inmate Tax Fraud Prevention Act of 2008 (P.L. 110-428)

    On September 25, 2008, Representative Jim Ramstad and 
Representative John Lewis introduced H.R. 7082 to permit 
disclosure of return information with respect to certain 
prisoners to the Federal Bureau of Prisons.
    Under the bill, disclosure is allowed, if necessary for 
effective tax administration, with respect to prisoners whom 
the Secretary has determined may have filed or facilitated the 
filing of a false or fraudulent return. The bill requires the 
Internal Revenue Service to report to the Congress statistics 
on these disclosures and asks the Treasury Inspector General 
for Tax Administration to report to the Congress on 
implementation of the provision by December 31, 2008. The bill 
is effective for disclosures made after December 31, 2008, and 
the reporting requirements are effective on the date of 
enactment. The bill passed the House on September 27, 2008, 
under suspension of the rules by voice vote. The bill passed 
the Senate without amendment on October 2, 2008, by unanimous 
consent, and was signed by the President on October 15, 2008.

u. The Worker, Retiree, and Employer Recovery Act of 2008 (P.L. 110-
        458)

    On December 10, 2008, Chairman Rangel introduced H.R. 7327. 
The bill was passed without objection by the House of 
Representatives on the same day. H.R. 7327 passed the Senate by 
unanimous consent on December 11, 2008. The President signed 
the bill into law on December 23, 2008.
    Action on H.R. 7327 was preceded in the House by two bills 
(H.R. 3361, the ``Pension Protection Technical Corrections Act 
of 2007'' and H.R. 6382, the ``Pension Protection Technical 
Corrections Act of 2008''). H.R. 3361 was introduced by 
Chairman Rangel on August 3, 2007, and passed in the House 
under suspension of the rules on March 12, 2008 by voice vote. 
No further action was taken on this bill. H.R. 6382 was 
introduced by Chairman Rangel on June 26, 2008, and passed in 
the House under suspension of the rules on July 9, 2008 by 
voice vote. No further action was taken on this bill.
    H.R. 7327 included a one year suspension of the IRA 
required minimum distribution for 2009 applicable for taxpayers 
who are age 70\1/2\, substituted the 2008 adjusted funding 
target attainment percentage for 2009 (if the 2008 percentage 
is higher) for single employer defined benefit pension plans 
for purposes of the limitation on accrual of benefits rule, 
allowed single employer defined benefit pension plans the use 
of projected earnings for smoothing in the valuation of plan 
assets, extended the transition rule for determining the 
funding target for single employer defined benefit pension 
plans to plan years beginning after 2007 regardless of the 
plan's funding level, allowed the sponsor of a multiemployer 
defined benefit pension plan for an applicable plan year (the 
first plan year beginning during the period from October 1, 
2008 through September 30, 2009) to treat the plan's status for 
purposes of section 432 the same as the plan's states for the 
preceding plan year, allowed the plan sponsor of a 
multiemployer defined benefit pension plan for a plan year 
beginning in 2008 or 2009 to extend the plan's otherwise 
applicable funding improvement or rehabilitation period by 
three years, and included certain technical corrections to the 
Pension Protection Act of 2006.

                         2. OTHER TAX PROPOSALS

a. The Taxpayer Protection Act of 2007 (H.R. 1677)

    H.R. 1677 was introduced by Chairman Rangel and 
Representative John Lewis on March 26, 2007. The bill resulted 
from hearings conducted by the Subcommittee on Oversight.
    H.R. 1677 would allow both spouses in a family-owned 
business to pay Social Security and Medicare taxes as a sole 
proprietorship (rather than as a partnership). The bill would 
require the IRS (in the course of a tax fraud investigation) to 
notify a taxpayer that there may have been an unauthorized use 
of the taxpayer's (or dependent's) identity. The bill would 
provide an individual with a longer period of time to seek 
return of property (money or proceeds from the sale of 
property) resulting from a wrongful IRS levy, as well as for 
bringing a civil action. The bill also would allow a taxpayer 
to contribute amounts received to an individual retirement fund 
as if the wrongful levy had never occurred.
    H.R. 1677 would allow the IRS to notify taxpayers on the 
Internet about unclaimed tax refunds, rather than only in the 
media. The bill would prohibit the Secretary of the Treasury 
(i.e., IRS) from providing debt indicators to any person if 
their business practices involve refund anticipation loans 
(plus related charges and fees) that are predatory. The bill 
would clarify that current rules prohibiting the misleading use 
of Department of the Treasury names and symbols apply to 
internet domain names (e.g., IRS.com, IRS.net, IRS.org) and 
``phishing'' and are subject to the higher-level civil and 
criminal penalties. The bill would require, to the extent 
possible, that the IRS conduct additional EITC outreach. The 
bill would provide Federal Bureau of Prisons officials with 
certain information to prevent tax fraud schemes. The bill also 
would modify rules related to the dispositions of U.S. real 
property interests for non-foreign affidavits to better protect 
the social security numbers of U.S. transferors by allowing 
attorneys and title companies to collect the non-foreign 
affidavit. Finally, it would increase the minimum penalty for 
writing a bad check to the IRS from $15 to $25.
    H.R. 1677 was reported to the House by the Committee on 
Ways and Means on April 16, 2007 (H. Rept. 110-84). H.R. 1677 
passed the House on April 17, 2007, on suspension of the rules 
by a 407-7 vote. The bill has not been considered by the 
Senate. Many of the provisions in H.R. 1677 were included in 
H.R. 5719 and other legislation considered by the Committee.

b. The Tax Collection Responsibility Act of 2007 (H.R. 3056)

    H.R. 3056 was introduced by Chairman Rangel and 
Representative Lewis on July 17, 2007. The bill resulted from 
hearings held by the Committee on Ways and Means. The bill 
would repeal the authority of the Secretary of the Treasury 
(i.e., IRS) to enter into contracts with private collection 
agencies to collect delinquent Federal income taxes. H.R. 3056 
also would delay for one year the three-percent withholding 
requirement on government payments for goods and services (to 
payments made after December 31, 2011).
    The bill generally would treat the statute of limitations 
for an income tax return filed with the U.S. Virgin Islands 
(``USVI'') by an individual claiming to be a bona fide USVI 
resident during the entire taxable year in the same manner as 
the statute of limitations for an income tax return filed with 
the United States for that year. The bill also would subject 
certain U.S. citizens who relinquish their U.S. citizenship and 
certain long-term U.S. residents who terminate their U.S. 
residence to tax. The bill would eliminate interest suspension 
for liabilities which may be assessed more than three years 
after the filing of a tax return. The bill would increase the 
penalties for failing to file correct information returns, 
failing to furnish correct payee statements, and for failing to 
comply with other information reporting requirements. The bill 
also would increase, in the case of a corporation with assets 
of at least $1 billion, the payments due in July, August, and 
September, 2012, to 114.50 percent of the payment otherwise 
due.
    On July 18, 2007, the Committee on Ways and Means ordered 
reported H.R. 3056 by a 23-18 vote. H.R. 3056 passed the House 
by a 232-173 vote. The bill has not been considered by the 
Senate. Some of the provisions in H.R. 3056 were included in 
H.R. 5719 and other legislation considered by the Committee.

c. The Children's Health and Medicare Protection (``CHAMP'') Act of 
        2007 (H.R. 3162)

    On July 24, 2007, H.R. 3162 was introduced in the House by 
Energy and Commerce Representative John Dingell, Ways and Means 
Chairman Charles Rangel, Ways and Means Representative Pete 
Stark, and Energy and Commerce Health Subcommittee 
Representative Frank Pallone. The bill would have reauthorized 
and increase funding levels and state grant distributions for 
the State Children's Health Insurance Program (``SCHIP'') and 
make changes to the Medicare and Medicaid programs. The bill 
also would increase the excise tax on tobacco products. The 
excise tax on cigarettes would increase from $0.39 a pack to 
$0.84 a pack, and the excise taxes on other tobacco products 
(except small cigars and roll-your-own tobacco) generally would 
increase by a proportionate amount. The excise tax on large 
cigars would be increased to 44.63 percent of the 
manufacturer's or importer's sales price up to a cap of $1.00 
per cigar. The tax on small cigars would increase from $0.04 a 
pack to the same excise tax rate imposed on a pack of small 
cigarettes ($0.84). The bill would provide an exemption from 
Federal tax for fuel used in an ambulance providing emergency 
medical services.
    On July 26, 2007, the Committee ordered reported H.R. 3162 
by a 24-17 vote. On August 1, 2007, the House passed H.R. 3162 
by a vote of 225-204. Under the House-passed bill, the excise 
tax on large cigars would be increased to 33 percent of the 
manufacturer's or importer's sales price through September 
2013, and increased to 40 percent of the manufacturer's or 
importer's sales price thereafter, up to a cap of $1.00 per 
cigar.
    This bill has not been considered by the Senate. However, 
it was the basis for H.R. 976, the ``Children's Health 
Insurance Program Reauthorization Act of 2007'', H.R. 3963, the 
``Children's Health Insurance Program Reauthorization Act of 
2007'' and the ``Medicare Improvements for Patients and 
Providers Act of 2008'' (P.L. 110-275).

d. The Taxpayer Assistance and Simplification Act of 2008 (H.R. 5719)

    H.R. 5719 was introduced by Chairman Rangel and 
Representative John Lewis on April 8, 2008. The bill resulted 
from hearings of the Subcommittee on Oversight. H.R. 5719 would 
conform the penalty standards for return preparers with the 
standards for taxpayers. The bill would eliminate the special 
requirements for individuals to keep detailed records of calls 
made on employer-provided cell phones to substantiate business 
use of such devices. The bill would delay for one year the 
imposition of a three-percent withholding requirement on 
government payments for goods and services made after December 
31, 2010. The bill would make administrators of state and local 
government programs liable for paying the employment taxes on 
amounts paid by government programs to in-home care workers 
provided to elderly and disabled persons.
    H.R. 5719 also would: allow IRS employees to refer 
taxpayers needing assistance with tax cases to qualified low-
income taxpayer clinics; authorize an annual $10 million grant 
for Volunteer Income Tax Assistance (``VITA'') programs; and 
increase the annual aggregate limitation authorized on grants 
to qualified low-income taxpayer clinics to $10 million. The 
bill would require the IRS, to the extent possible, to notify 
taxpayers of potential eligibility for the Earned Income Tax 
Credit for all open tax years and to assist those who have not 
filed a return but may be eligible for the credit based on 
other return or return information. The bill would prohibit the 
Secretary of Treasury (i.e., IRS) from providing debt 
indicators to private parties if it is determined that the 
resulting refund anticipation loan plus related fees are 
predatory. It also would require a one-year study by the 
Department of Treasury of the feasibility of providing tax 
refunds on debit cards.
    H.R. 5719 would increase the time for returning property 
that has been wrongfully levied and the period for bringing 
Action for wrongful levy. It also would allow an individual to 
contribute back to an IRA amounts that were levied and returned 
by the IRS without the normal limitations on IRA contributions. 
The bill would require the Secretary of Treasury (i.e., the 
IRS), to the extent permitted by law, to notify taxpayers if it 
determines that there may have been an unauthorized use of the 
identity of a taxpayer or the taxpayer's dependent. The bill 
would repeal the IRS's statutory authority to use private debt 
collection companies to locate and contact taxpayers owing 
federal taxes and to arrange payment of such taxes. The bill 
would provide that the IRS may disclose taxpayer identity 
information, for unclaimed refund notification purposes, by any 
``means of mass communication.'' The bill would clarify that 
Internet domain names using the Department of Treasury and 
associated agencies (e.g., IRS.com, IRS.net, IRS.org) are 
misleading within the meaning of law, and clarify that mass 
Internet e-mail communications (``phishing'') that mislead the 
public into believing the sender is the IRS are subject to the 
higher civil/criminal penalties available under current law.
    H.R. 5719 would provide that distributions from a health 
savings account for qualified medical expenses would be 
excluded from gross income only to the extent substantiated and 
would require trustees to report expenses not substantiated. 
The bill would increase the penalties on failures to provide 
information returns, partnership returns, and S corporation 
returns. The bill would temporarily increase, for three months 
in 2013, required estimated tax payments for certain large 
corporations.
    H.R. 5719 was reported to the House by the Committee on 
Ways and Means on April 14, 2008 (H. Rept. 110-584). H.R. 5719 
passed the House on April 17, 2007, by a recorded vote of 238-
179. The bill has not been considered by the Senate.

e. Charity Enhancement Act of 2008 (H.R. 7083)

    On September 25, 2008, Representative John Lewis and 
Representative Jim Ramstad introduced H.R. 7083 to enhance 
charitable giving and improve disclosure and tax 
administration. The bill would increase the standard mileage 
rate for the charitable deduction from 14 cents a mile to an 
amount not less than the rate used for medical expense 
deductions (currently, 27 cents a mile). The bill would exempt 
funds advised by public charities and governmental entities 
from the definition of ``donor advised funds.''
    The bill also would relax certain donor advised fund 
scholarship distribution rules where the fund is advised solely 
by a tax-exempt organization. The bill would repeal the special 
written acknowledgment requirements for charitable 
contributions to donor advised funds. The bill would allow 
supporting organizations to pay substantial contributors 
reasonable compensation for services. The bill would exempt 
certain longstanding, fully-funded Type III supporting 
organizations from certain Pension Protection Act requirements. 
The bill also would treat contributions by Indian tribal 
governments the same as contributions by States for charitable 
purposes. The bill would lower the threshold filing 
requirements for electronic filings of Form 990 (exempt 
organization annual return) from 250 returns to five returns. 
The bill also would expand the bad check penalty to include 
electronic payments.
    The bill passed the House on September 27, 2008, under 
suspension of the rules by voice vote. The bill has not been 
considered by the Senate.

                          3. OTHER TAX MATTERS

a. Budget Hearings (Full Committee)

    On February 6, 2007, the full Committee held a hearing to 
receive testimony from Secretary of the Treasury Henry Paulson 
concerning programs within the President's FY 2008 budget 
within the jurisdiction of the Committee.
    On February 7, 2007, the full Committee held a hearing to 
receive testimony from Rob Portman, Director of the Office of 
Management and Budget, concerning programs within the 
President's FY 2008 budget within the jurisdiction of the 
Committee.
    On February 8, 2007, the full Committee held a hearing to 
receive testimony from Secretary of Health and Human Services 
Michael O. Leavitt concerning programs within the President's 
FY 2008 budget within the jurisdiction of the Committee.
    On February 7, 2008, the full Committee held a hearing to 
receive testimony from Secretary of the Treasury Henry Paulson 
concerning programs within the President's FY 2009 budget 
within the jurisdiction of the Committee.
    On February 13, 2008, the full Committee held a hearing to 
receive testimony from Jim Nussle, Director of the Office of 
Management and Budget, concerning programs within the 
President's FY 2009 budget within the jurisdiction of the 
Committee.
    On February 13, 2008, the full Committee held a hearing to 
receive testimony from Secretary of Health and Human Services 
Michael O. Leavitt concerning programs within the President's 
FY 2009 budget within the jurisdiction of the Committee.

b. Tax Hearings (Full Committee)

    On February 28, 2007, the Full Committee received testimony 
on energy and tax policy from (i) Ronald G. Prinn, Sc.D., 
Professor, Department of Earth, Atmospheric, and Planetary 
Sciences, Massachusetts Institute of Technology, (ii) Stephen 
Schneider, Ph.D., Professor, Department of Biological Sciences, 
Stanford University, (iii) The Honorable Eileen Claussen, 
President, Pew Center on Global Climate Change, and (iv) W. 
David Montgomery, Ph.D., Vice President, Environmental 
Practice, CRA International.
    On March 14, 2007, the Full Committee received testimony on 
the revenue increasing measures in the ``Small Business and 
Work Opportunity Act of 2007'' from (i) The Honorable Kenneth 
E. Bentsen, Jr., President, Equipment Leasing and Finance 
Association, (ii) Greg Heaslip, Vice President--Benefits, 
PepsiCo., Inc., (iii) Kenneth R. Petrini, Vice President--
Taxes, Air Products and Chemicals, Inc. (on behalf of the 
National Association of Manufacturers), and (iv) Edward D. 
Kleinbard, Partner, Cleary Gottlieb Steen & Hamilton LLP (on 
behalf of the Securities Industry and Financial Markets 
Association).
    On September 6, 2007, the Full Committee received testimony 
on fair and equitable tax policy for America's working families 
from the following witnesses: Panel 1--(i) Leonard E. Burman, 
Ph.D., Director, Urban-Brookings Tax Policy Center, Jason 
Furman, Director, The Hamilton Project, Brookings Institution, 
Douglas Holtz-Eakin, Senior Fellow, The Peterson Institute, and 
Former Director, Congressional Budget Office; Panel 2--(i) 
Stephen E. Shay, Partner, Ropes & Gray LLP, (ii) Leon M. 
Metzger, Former Vice Chairman and Chief Administration Officer 
of Paloma Partners Management Company, (iii) Janne G. 
Gallagher, Vice President and General Counsel, Council on 
Foundations, (iv) Suzanne Ross McDowell, Partner, Steptoe & 
Johnson LLP, and (v) Daniel J. Shapiro, Partner, Schulte Roth & 
Zabel LLP; Panel 3--(i) Peter R. Orszag, Director, 
Congressional Budget Office, (ii) C. Eugene Steuerle, Ph.D., 
Co-Director, Urban Brookings Tax Policy Center and Former 
Deputy Assistant Secretary of the Treasury for Tax Analysis, 
Reagan Administration, (iii) Darryll K. Jones, Professor of 
Law, Stetson University College of Law, (iv) Victor Fleischer, 
Associate Professor of Law, University of Illinois College of 
Law, (v) Mark P. Gergen, Professor of Law, The University of 
Texas School of Law, and (vi) Jack S. Levin, Partner, Kirkland 
& Ellis LLP; and Panel 4--(i) Leo Hindery, Jr., Managing 
Director, InterMedia Partners, (ii) William D. Stanfill, 
Founding Partner, TrailHead Ventures, (iii) Orin S. Kramer, 
Chairman, New Jersey State Investment Council, (iv) Jonathan 
Silver, Managing Director, Core Capital Partners, (v) Adam 
Ifshin, President, DLC Management Corp., and (vi) Bruce 
Rosenblum, Managing Director, The Carlyle Group, and Chairman 
of the Board, Private Equity Council.
    On September 18, 2008, the Full Committee received 
testimony on policy options to prevent climate change from the 
following witnesses: Panel 1--(i) The Honorable Michael 
Bloomberg, Mayor, City of New York, New York, (ii) Peter 
Orszag, Ph.D., Director, Congressional Budget Office, (iii) The 
Honorable Carol Browner, Principal, The Albright Group LLC, and 
Former Administrator, Environmental Protection Agency, (iv) 
Dallas Burtraw, Ph.D., Senior Fellow, Resources for the Future, 
(v) Robert Lighthizer, Partner & Head of the International 
Trade Department, Skadden Arps Slate Meagher & Flom LLP, (vi) 
Timothy J. Regan, Senior Vice President, Corning Inc., and 
(vii) Gary Clyde Hufbauer, Reginald Jones Senior Fellow, 
Peterson Institute for International Economics; and Panel 2--
(i) Frank Ackerman, Ph.D., Global Development and Environment 
Institute and Stockholm Environment Institute--US Center, Tufts 
University, (ii) Daniel Abbasi, Director, MissionPoint Capital 
Partners, (iii) Jerome Ringo, President, Apollo Alliance, (iv) 
Peter Barnes, Senior Fellow, Tomales Bay Institute, (v) Bill 
Millar, President, American Public Transportation Association, 
and (vi) David Kreutzer, Ph.D., Senior Policy Analyst, The 
Heritage Foundation.
    On October 29, 2008, the Full Committee received testimony 
on economic recovery, job creation and investment in America 
from the following witnesses: Panel 1--(i) The Honorable David 
Paterson, Governor, State of New York, (ii) The Honorable Mark 
Sanford, Governor, State of South Carolina, (iii) The Honorable 
Douglas Palmer, Mayor, City of Trenton, New Jersey, (iv) 
Timothy Firestine, Chief Operating Officer, Montgomery County 
Executive, Maryland, (v) David Mongan, President, American 
Society of Civil Engineers, (vi) Dennis Van Roekel, President, 
National Education Association, and (vii) Randi Weingarten, 
President, American Federation of Teachers; and Panel 2--(i) 
Jared Bernstein, Ph.D., Director, Living Standards Program, 
Economic Policy Institute, (ii) Robert Greenstein, Executive 
Director, Center on Budget and Policy Priorities, (iii) 
Christine Owens, Executive Director, National Employment Law 
Project, (iv) Jeanne Lambrew, Ph.D., Associate Professor, LBJ 
School of Public Affairs, University of Texas at Austin, and 
Senior Fellow, Center for American Progress, (v) Martella A. 
Turner-Joseph, Vice President, Joseph & Turner Consulting 
Actuaries, LLC, and (vi) Alan Viard, Ph.D., Resident Scholar, 
American Enterprise Institute.

c. Select Revenue Measures

            i. First Hearing on the Alternative Minimum Tax
    The Subcommittee held two hearings on this issue. The first 
hearing was held on March 7, 2007. The focus of the hearing was 
the growing scope of the Alternative Minimum Tax (AMT) and its 
interaction with individual-based tax provisions. The 
Subcommittee heard testimony from the Department of the 
Treasury, the National Taxpayer Advocate, and other outside 
experts. The testimony highlighted the problems caused by the 
AMT to taxpayers, tax administrators, and the Federal budget.
            ii. Second Hearing on the Alternative Minimum Tax
    The second hearing was held on March 22, 2007, with a focus 
on the impact of the AMT on American families. The Subcommittee 
received additional testimony on the AMT from individual 
taxpayers, and practitioners who deal with the AMT in their 
work with individual taxpayers.
            iii. Hearing on Energy and Tax Policy
    The hearing was held on April 19, 2007, as one of a series 
that were held by the full Committee. The focus of the hearing 
was the current framework of tax incentives encouraging the 
development of alternative sources of energy. The Subcommittee 
received testimony from various witnesses that focused on 
solar, wind, geothermal, other renewable fuel sources, and 
clean coal technology. Many of the tax provisions discussed at 
the hearing were eventually enacted as part of the Emergency 
Economic Stabilization Act of 2008, P.L. 110-343 (H.R. 1424).
            iv. Hearing on Member Proposals Regarding Energy Tax 
                    Incentives
    The hearing was held on April 24, 2007. The scope of the 
hearing was specific Member proposals on tax incentives for 
alternative energy sources that were introduced in the 109th or 
110th Congress. The Subcommittee received testimony from 
Members of Congress regarding their proposals.
            v. The Effects of Misclassifying Workers as Independent 
                    Contractors
    The hearing was held jointly with the Subcommittee on 
Income Security and Family Support on May 8, 2007. The focus of 
the hearing was the effects of the misclassification of workers 
as independent contractors, and the complexities of the law 
regarding worker classification. The hearing also included the 
effects of worker misclassification on Federal tax revenues. 
The Subcommittees received testimony from the Government 
Accountability Office (GAO), small business owners, and other 
experts.
            vi. Hearing on Tax Incentives for Affordable Housing
    The hearing was held on May 24, 2007. The hearing examined 
ways to ensure greater and better efficiency through improved 
coordination of Federal housing programs. This was done by 
examining options intended to simplify and modify certain low-
income housing programs established under the Internal Revenue 
Code, and programs that are administered by HUD. The 
Subcommittee received testimony from the Department of the 
Treasury, HUD, State and local officials who handle housing 
issues, outside housing experts, and representatives from the 
housing industry. The witnesses appealed for certain 
improvements and modifications to the Low-Income Housing Tax 
Credit, private activity tax-exempt bonds, and the historic 
rehabilitation tax credit. Many of these modifications and 
improvements were enacted as part of the Housing and Economic 
Recovery Act, P.L. 110-289 (H.R. 3221).
            vii. Hearing on Aviation Taxes
    The hearing was held on August 1, 2007. The focus of the 
hearing was the expiring tax provision related to the Airport 
and Airway Trust Fund, including the need to extend and 
possibly modify the provisions. The Subcommittee received 
testimony from the Chairman of the Committee on Transportation 
and Infrastructure, the Honorable James Oberstar (MN), and the 
Ranking Member of that Committee, the Honorable John Mica (FL). 
Other witnesses were representatives from the Federal Aviation 
Administration, the Government Accountability Office (GAO), the 
Congressional Budget Office (CBO), the airlines industry, 
pilots of private jets, cargo carriers, and airport 
authorities. The testimony addressed proposals designed to 
restructure aviation taxes.
            viii. Hearing on the ``Heroes Earnings Assistance and 
                    Relief Tax Act of 2007''
    The hearing was held on October 17, 2007, jointly with the 
Subcommittee on Income Security and Family Support. The hearing 
focused on legislative proposals designed to help members of 
our armed forces and their families, as well as others who 
volunteer in service to America. The Subcommittee heard 
testimony from Members of Congress, the Social Security 
Administration, representatives from veterans groups and 
associations, volunteer firefighters, and members of military 
personnel. These proposals were later enacted as the Heroes 
Earnings Assistance and Relief Tax Act of 2008, P.L. 110-245 
(H.R. 6081).
            ix. Hearing on Tax Treatment of Derivatives
    The hearing was held on March 5, 2008. The focus of the 
hearing was the various forms of derivatives and the tax 
treatment of these products. The Subcommittee received 
testimony from the Department of the Treasury, university 
professors, and experts from the financial industry who 
testified regarding the complex nature of these products, the 
current challenges facing accurate tax treatment, and options 
for reform.
            x. Hearing on Education Tax Incentives
    The hearing was held on May 1, 2008. The focus of the 
hearing was the interaction of various tax benefits designed to 
assist individuals and families for postsecondary education. 
The Subcommittee received testimony from the Department of the 
Treasury, the Government Accountability Office (GAO), 
representatives from colleges, State Administrators, and other 
education experts. The witnesses testified regarding the 
complexities associated with the various education tax benefits 
and appealed for simplification of these provisions to produce 
greater efficiency and effectiveness.
            xi. Hearing on Individual Retirement Accounts (IRAs) and 
                    Their Role in Our Retirement System
    The hearing was held on June 26, 2008. The hearing focused 
on (1) a report that was issued by the Government 
Accountability Office (GAO) in June 2008, entitled Individuals 
Retirement Accounts: Government Actions Could Encourage More 
Employers to Offer IRAs to Employees (GAO-08-590); (2) the role 
of IRAs in our retirement system; and (3) legislative proposals 
for automatic IRAs. The Subcommittee received testimony from 
two Members of Congress, the U.S. Department of the Treasury, 
the Department of Labor (DOL), GAO, the American Association of 
Retired Persons (AARP), the Employee Benefit Research Institute 
(EBRI) and experts from other retirement focused groups. The 
testimony addressed options for employers to provide their 
workers with retirement saving options outside the traditional 
employer-sponsored plans.

                 B. Legislative Review of Trade Issues


                          1. U.S. TRADE AGENDA

a. Hearings

    i. On January 30, 2007, the Committee held a hearing on 
trade and globalization. The hearing explored the integration 
of markets brought about by globalization. It also examined how 
U.S. trade policy can be used as a tool to shape globalization 
and to ensure that the forces of the global economy are 
harnessed most effectively and efficiently to generate the 
maximum amount of broadly based economic growth. Witnesses at 
the hearing included former officials from the Clinton and Bush 
administrations and representatives from the business community 
and other non-governmental organizations.
    ii. On February 14, 2007, the Committee held a hearing on 
the direction and content of U.S. trade policy, including: (1) 
the status of the WTO Doha Round negotiations; (2) the status 
of U.S. free trade agreements; (3) policy responses to the U.S. 
trade deficit and debt; (4) the operations of the WTO Dispute 
Settlement Body; (5) the status of WTO accession negotiations; 
(6) the effectiveness of U.S. preference programs; and (7) 
presidential trade negotiating authority. U.S. Trade 
Representative Susan C. Schwab was the sole witness at the 
hearing.

b. Agreement of May 10, 2007

    On May 10, 2007, Congressional leaders on a bipartisan 
basis reached an historic agreement with the Administration to 
revise the free trade agreements (FTAs) that had been concluded 
but had not yet been submitted to Congress at that time (with 
Colombia, Korea, Panama and Peru). As a result of the ``May 10 
Agreement,'' these FTAs became the first U.S. FTAs to include 
fully-enforceable basic international labor standards, as 
stated in the 1998 ILO Declaration on Fundamental Principles 
and Rights at Work. They were also the first FTAs to require 
the parties to implement and enforce their obligations under 
certain common multilateral environmental agreements and, in 
the case of the U.S.-Peru Trade Promotion Agreement, to require 
Peru to take major, specific steps to address illegal logging.
    The May 10 Agreement also required other important changes 
to the texts of these FTAs, including: (1) modifications of the 
intellectual property chapter to balance promoting access to 
medicines and protecting pharmaceutical innovation (in 
particular, in the agreements with Colombia, Panama and Peru); 
(2) clarification that the government procurement chapters 
allow conditioning of contracts on adherence to basic and 
minimum labor standards; (3) clarification that, where there 
are national security concerns, the United States can prevent 
foreign companies from operating U.S. ports; and (d) 
clarification that the FTAs do not accord foreign investors in 
the United States with greater substantive rights with respect 
to investment protections than U.S. investors in the United 
States.
    The May 10 Agreement included all of the changes to the 
texts of the Peru and Panama FTAs that Committee Chairman 
Rangel and Trade Subcommittee Chairman Levin considered 
necessary for Committee consideration of those agreements. The 
Chairmen also considered these changes necessary--but not 
sufficient--for Committee consideration of the Colombia and 
Korea FTAs. On May 10, documents issued by Chairmen Rangel and 
Levin noted that, in the case of Colombia, the persistent 
violence against trade unionists (and the related problem of 
impunity) creates special problems and considerations not 
presented in the context of the Peru and Panama FTAs. 
Similarly, the Chairmen noted that the problem of Korea's 
systemic barriers in the automotive, manufactured, 
agricultural, and services markets would have to be addressed.

                      2. WORLD TRADE ORGANIZATION

a. Hearings and Executive Sessions

    As described above, the Committee held a hearing on January 
30, 2007, concerning trade and globalization. In that hearing, 
Members and witnesses discussed a range of issues, including 
the status of the WTO Doha Round of trade negotiations and the 
need to enforce existing WTO rules through the WTO dispute 
settlement mechanism.
    In the hearing held on February 14, 2007, described above, 
U.S. Trade Representative Schwab and the Members of the 
Committee discussed a range of issues, including the status of 
the WTO Doha Round of trade negotiations and the need to 
enforce existing WTO rules through the WTO dispute settlement 
mechanism.
    On April 24, 2007, the Committee held an executive session 
with WTO Director General Pascal Lamy to discuss the status of 
the Doha Round of multilateral trade negotiations.
    On November 8, 2007, the Committee held an executive 
session with the European Union Commissioner for Trade, Peter 
Mandelson. The Commission and the Committee Members discussed 
the status of the Doha Round of negotiations, among other trade 
issues.
    On July 17, 2008, the Committee held an executive session 
with U.S. Trade Representative Schwab to discuss the status of 
the Doha round of trade negotiations and, more specifically, 
the WTO ministerial meeting which was scheduled (and took 
place) at the end of that month (July 21-30).

b. Staff Delegations

    Committee staff for the Majority and Minority traveled to 
Geneva, Switzerland, for meetings at the World Trade 
Organization from December 9-12, 2007. The purpose of the trip 
was to gather information on the status of the Doha Round 
negotiations and to share the Committee's views with WTO 
Members. While in Geneva, staff met individually with the WTO 
Director General Lamy, his deputy, Rufus Yerxa, the 
Agriculture, Rules, and Services chairs of the negotiations 
(WTO representatives of New Zealand, Uruguay and Mexico, 
respectively), and representatives of Brazil, China, Costa 
Rica, the European Communities, and India. Staff also held 
three larger meetings, one with WTO Members from the African 
nations, one with Members from the Caribbean nations, and one 
with representatives from Australia, Chile, Japan, and 
Malaysia. Two staff members, one from the Majority and one from 
the Minority, remained in Geneva for an additional day to 
observe the first day of consideration of a proposed Rules text 
(in particular, those portions related to trade remedy laws, 
such as antidumping and countervailing duty laws).
    In March 2008, Committee staff for the Majority and 
Minority traveled to Geneva, Switzerland, to attend the 
Appellate Body hearing in United States--Final Anti-Dumping 
Measures on Stainless Steel from Mexico, a dispute involving 
the controversial methodology known as ``zeroing.'' The hearing 
was held from March 6-7, 2008. In addition to attending the 
hearing, Committee staff met with U.S. and WTO officials, 
including the head of the WTO Rules Division, to discuss the 
status of the Doha Round negotiations.
    Committee staff for the Majority and Minority traveled to 
Geneva, Switzerland, for meetings at the WTO from June 30 
through July 1, 2008. The purpose of the trip was to assess the 
progress that had been made since the December meetings and to 
monitor further the negotiations. While in Geneva, staff met 
with WTO Director General Lamy's Chief of Staff, Arancha 
Gonzalez, as well as with the chairs of the Agriculture, 
Industrial Goods, Rules, and Services negotiations. Staff also 
met with the head of the WTO Rules Division. While there, Staff 
conducted bilateral meetings with representatives of Brazil, 
China, and the European Communities. Staff also held three 
larger meetings, one with WTO Members from African nations 
(Benin, Kenya, Rwanda, South Africa, and Uganda), one with 
Members from the Caribbean nations, and one with 
representatives from Japan, Norway, and Singapore to discuss 
perspectives on the Rules negotiations.
    In July 2008, three Members of the Ways and Means staff 
traveled to Geneva, Switzerland, to observe and consult with 
the Bush Administration on a critical moment in the WTO ``Doha 
Development Agenda'' round of negotiations. Minority staff 
Member Evan Alexander traveled from July 22 to July 27, 
Subcommittee Staff Director Tim Reif traveled from July 23 to 
July 26, and Subcommittee Deputy Staff Director Viji Rangaswami 
traveled from July 23 to July 27. The purpose of the trip was 
to meet with U.S. government representatives, U.S. private 
sector representatives, foreign government representatives, and 
WTO officials in regard to the ongoing negotiations, to hear 
their reports on the status of the negotiations, and their 
perspectives, and offer the perspectives of the Members of the 
Committee.

c. GAO Report

    In March 2007, the Committee received a report from the GAO 
entitled World Trade Organization: Congress Faces Key Decisions 
as Efforts to Reach Doha Agreement Intensify. Publication GAO-
07-379. Washington, D.C.: March 5, 2007.

 3. BILLS CONSIDERED UNDER THE TRADE AGREEMENT APPROVAL PROCEDURES OF 
                         THE TRADE ACT OF 2002

    The Trade Act of 2002 (P.L. 107-210) included provisions to 
renew trade agreement approval procedures (known as ``fast 
track'' or ``trade promotion authority'') that were first 
enacted in 1974. Under those procedures, Congress grants the 
President the authority to enter into certain reciprocal trade 
agreements, and to have implementing bills considered under 
expedited legislative procedures and without the opportunity 
for amendment, provided the President observes certain 
statutory obligations in negotiating them.

a. Legislation

            i. United States-Peru Trade Promotion Agreement
    On September 25, 2007, the Committee informally approved 
draft legislation to implement the United States-Peru Trade 
Promotion Agreement, by voice vote. The Committee conducted 
this informal markup to provide advice to the Administration on 
the implementing bill and Statement of Administrative Action. 
On September 27, 2007, Majority Leader Hoyer and Minority 
Leader Boehner introduced (by request) H.R. 3688, the ``United 
States-Peru Trade Promotion Agreement Implementation Act,'' to 
be considered under the trade agreement approval procedures of 
the Trade Act of 2002.
    On October 31, 2007, the Committee held a formal markup 
session to consider H.R. 3688. The Committee approved the bill 
and favorably reported H.R. 3688 by a roll call vote of 39-0. 
Under the trade agreement approval procedures of the Trade Act 
of 2002, amendments are not permitted to the bill once it has 
been introduced. On November 8, 2007, the House passed the bill 
by a recorded vote of 285 to 132. On December 4, 2007, the 
Senate passed H.R. 3688, without amendment, by a recorded vote 
of 77-18. The President signed the bill into law on December 
14, 2007 (P.L. 110-138).
            ii. United States-Colombia Trade Promotion Agreement
    On April 8, 2008, the President submitted the ``United 
States-Colombia Trade Promotion Agreement Implementation Act'' 
to the House of Representatives and the Senate, over the 
objections of the Speaker of the House and the Majority Leaders 
of the House and Senate. In accordance with the trade agreement 
approval procedures of the Trade Act of 2002, Majority Leader 
Hoyer and Minority Leader Boehner introduced the bill, H.R. 
5724, by request. The Committee did not informally mark up or 
approve the draft legislation prior to its introduction. The 
bill was introduced over the objections of House and Senate 
leaders and without close collaboration or cooperation between 
the executive branch and the Committee.
    On April 10, 2008, the House considered H. Res. 1092. H. 
Res. 1092 rendered inapplicable certain trade agreement 
approval procedures of the Trade Act of 2002 (relating to the 
period for Committee and Floor consideration and the procedures 
for Floor consideration) in the case of H.R. 5724. H. Res. 1092 
left intact other trade agreement approval procedures, such as 
the rule that an implementing bill may not be amended once it 
has been introduced. The House passed H. Res. 1092 by a vote of 
224-195 on April 10, 2008. The 110th Congress ended without 
further action on H.R. 5724.

b. Hearings

    As described above, the Committee held a hearing on January 
30, 2007, concerning trade and globalization. In that hearing, 
Members and witnesses discussed a range of issues, including 
the status of FTA negotiations with Colombia, Korea, Panama and 
Peru, and other countries.
    In the hearing held on February 14, 2007, described above, 
U.S. Trade Representative Schwab and the Members of the 
Committee discussed a range of issues, including the status of 
FTA negotiations with Colombia, Korea, Panama and Peru, and 
other countries.

c. Congressional and Staff Delegations

            i. Congressional Delegation to Peru
    From August 5 to 7, 2007, the Chairman, Subcommittee 
Chairman Sander Levin and Committee Member Allyson Schwartz 
traveled to Lima, Peru on a Codel. The purpose of the Codel was 
to meet with the President of Peru, other Peruvian officials 
and private sector representatives, including representatives 
of labor and business groups and other non-governmental 
organizations, in regard to congressional consideration of the 
U.S.-Peru Trade Promotion Agreement, implementation of the 
agreement, and implementation in particular of the elements of 
the agreement arising out of the agreement of May 10, 2007.
    On August 6, the Codel met with the U.S. Charge D'Affairs 
and U.S. embassy staff, the President of Peru's Congress and 
other Peruvian congressional leaders, Peruvian President Garcia 
and Members of his Cabinet, held a press conference with 
President Garcia, and met with Peruvian labor leaders and 
business leaders. Chairmen Rangel and Levin returned to 
Washington on the morning of August 7. That day, Congresswoman 
Schwartz, joined by Congressman Greg Meeks, met with local 
agri-business leaders, Afro-Peruvian Community Leaders and 
others.
            ii. Staff Delegation to Peru, June 8-14, 2008
    Committee staff for the Majority and Minority traveled to 
Peru for meetings from June 8-14, 2008. The purpose of the 
delegation's trip was to get a better understanding of the 
challenges that Peru faces, and the progress it has made to 
date, to come into compliance with the United States-Peru Trade 
Promotion Agreement's Annex on Forest Sector Governance, a key 
component of the May 10 Agreement described above. For a 
portion of the trip, staff traveled to the department of Madre 
de Dios in the Peruvian Amazon with members of the United 
States inter-agency team responsible for the implementation of 
the Annex and their Peruvian counterparts. On the trip, 
Committee staff met with current and former federal and 
regional government officials, timber exporters, timber 
concessionaires, timber mill operators, representatives of 
Peruvian non-governmental organizations and other stakeholders.

                    4. BILATERAL AND REGIONAL ISSUES

a. Free Trade Agreements

            i. Completed Agreements

Peru

    On November 18, 2003, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Colombia, 
Ecuador and Peru. Negotiations with those countries began in 
May 2004, with Bolivia participating as an observer. On 
December 7, 2005, the United States and Peru announced that 
they had concluded FTA negotiations. On January 6, 2006, 
President Bush officially notified Congress of his intention to 
sign the U.S.-Peru Trade Promotion Agreement. The agreement was 
signed on April 12, 2006. The President, however, did not 
submit an implementing bill in the remaining months of the 
109th Congress.
    On May 10, 2007, House and Senate leaders on a bipartisan 
basis reached an agreement with the Administration regarding 
the need to make several substantial changes to the text of the 
trade agreement with Peru, as described in more detail above. 
The United States renegotiated the text with Peru, and U.S. 
Trade Representative Schwab announced on June 25, 2007, that an 
agreement was reached with Peru. As noted above, the President 
signed the implementing legislation into law on December 14, 
2007 (P.L. 110-138).

Colombia

    On November 18, 2003, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Colombia, 
Ecuador and Peru, as noted above. On February 27, 2006, the 
United States and Colombia announced that they had concluded 
FTA negotiations. On August 24, 2006, President Bush officially 
notified Congress of his intention to sign the U.S.-Colombia 
Trade Promotion Agreement. The agreement was signed on November 
22, 2006. An implementing bill was not introduced in the 109th 
Congress.
    On May 10, 2007, House and Senate leaders reached an 
agreement with the Administration regarding the need to make 
several substantial changes to the text of the trade agreement 
with Colombia, as described in more detail above. The United 
States renegotiated the text with Colombia, and U.S. Trade 
Representative Schwab announced on June 28, 2007, that an 
agreement was reached with Colombia. As noted above, the 
President submitted an implementing bill (H.R. 5724) to 
Congress on April 8, 2008. The Committee did not informally 
mark up or approve the draft legislation prior to its 
introduction. The bill was introduced over the objections of 
the Speaker of the House and the Majority Leaders of the House 
and Senate, and without close collaboration or cooperation 
between the executive branch and the Committee. On April 10, 
2008, the House approved H. Res. 1092, which modified the trade 
agreement approval procedures as they applied to H.R. 5724. The 
110th Congress ended without further action on H.R. 5724.

Panama

    On November 18, 2003, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Panama. 
Negotiations were launched on April 26, 2004. On December 19, 
2006, the United States and Panama announced that they had 
completed negotiations, but with the understanding that further 
discussions were necessary. On March 30, 2007, President Bush 
officially notified Congress of his intention to sign the U.S.-
Panama Trade Promotion Agreement. After the May 10 changes, 
discussed above, were incorporated into the text of the 
agreement with Panama, the parties signed the agreement on June 
28, 2007.
    On May 15, 2007, the Committee held an executive session 
with the Vice President of Panama, H.E. Samuel Lewis Navarro. 
The session focused on the May 10 Agreement and its impact on 
Congressional consideration of the U.S.-Panama Free Trade 
Agreement.
    In September 2007, the Committee received from the U.S. 
International Trade Commission a report entitled U.S.-Panama 
Trade Promotion Agreement: Potential Economy-wide and Selected 
Sectoral Effects. Publication 3948, Washington, D.C.: September 
2007.

Korea

    On February 2, 2006, U.S. Trade Representative Portman 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with the 
Republic of Korea. Negotiations began in June 2006. U.S. Trade 
Representative Schwab announced that the negotiations reached 
their conclusion on April 1, 2007. Simultaneously, President 
Bush officially notified Congress of his intention to sign the 
Free Trade Agreement between the United States and Korea. The 
agreement was signed on June 30, 2007.
    The Trade Subcommittee held a hearing on the Korea FTA on 
March 20, 2007, while negotiations were still ongoing. The 
hearing focused on the major outstanding issues in the 
negotiations (in particular, the need to open Korea's 
automotive market) and on the possible agricultural benefits of 
an FTA (including the need to open Korea's closed rice and beef 
markets). Witnesses at the hearing included Deputy U.S. Trade 
Representative Karan Bhatia and representatives from the 
business and agricultural communities and a labor union 
representative.
    In September 2007, the Committee received a report from the 
ITC entitled U.S.-Korea Free Trade Agreement: Potential 
Economy-wide and Selected Sectoral Effects. Publication 3949. 
Washington, D.C.: September 2007.
            ii. Ongoing and Suspended Negotiations

Southern African Customs Union (SACU)

    Pursuant to Sense of Congress language in the Africa Growth 
and Opportunities Act of 2000 (P.L. 106-200), on November 4, 
2002, U.S. Trade Representative Zoellick formally notified 
Congress of the Administration's intention to initiate 
negotiations for a free trade agreement with the countries that 
comprise the Southern African Customs Union (Botswana, Lesotho, 
Namibia, South Africa, and Swaziland). Negotiations between the 
United States and the SACU countries were launched on June 2, 
2003, but were suspended in 2006, due to lack of progress. On 
July 16, 2008, U.S. Trade Representative Schwab signed a 
``Trade, Investment and Development Cooperation Agreement'' 
(TIDCA) with SACU.

Malaysia

    On March 8, 2006, U.S. Trade Representative Portman 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Malaysia. 
Negotiations were launched in June 2006, and the talks are 
ongoing.

Ecuador

    As noted above, on November 18, 2003, U.S. Trade 
Representative Zoellick formally notified Congress of the 
Administration's intention to initiate negotiations for a free 
trade agreement with Colombia, Ecuador and Peru. Negotiations 
began in May 2004 with all three countries. See discussion 
above concerning the conclusion of negotiations with Peru and 
Colombia. The United States and Ecuador suspended negotiations 
in May 2006.

Thailand

    On February 12, 2004, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Thailand. 
Negotiations began in June 2004. However, talks were suspended 
after a political crisis developed in Thailand in April 2006.

United Arab Emirates

    On November 15, 2004, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with the UAE, 
part of the goal announced by President Bush to form a Middle 
East Free Trade Area by 2013. Negotiations began in March 2005. 
In early 2007, the United States and the United Arab Emirates 
decided that the timing was not conducive to concluding the FTA 
negotiations, and the parties have decided to pursue progress 
on select trade and investment issues through a ``Trade and 
Investment Framework Plus'' process. The first formal meeting 
was held in June 2007. In October 2008, U.S. Trade 
Representative Schwab and her counterpart committed to giving 
new impetus to the ``TIFA-Plus'' discussions.

Trans-Pacific Strategic Economic Partnership

    On September 22, 2008, U.S. Trade Representative Schwab 
announced the launch of negotiations for the United States to 
join the Trans-Pacific Strategic Economic Partnership 
Agreement. The four original members of the Trans-Pacific 
Economic Partnership (Brunei Darussalam, Chile, New Zealand, 
and Singapore) signed the agreement in 2005. The United States 
is the first additional country to seek to join the agreement. 
Negotiations over a revised agreement are scheduled to begin in 
early 2009. However, the United States began participating in 
negotiations related to financial services and investment with 
the Trans-Pacific countries in February 2008.

b. Trade Preference Programs

            i. Legislation
    On March 29, 2007, the Chairman introduced H.R. 1830, a 
bill to extend to September 30, 2009, the Andean Trade 
Preference Act and the Andean Trade Preferences and Drug 
Eradication Act (hereinafter ``the Andean Preference 
Programs''). On June 27, 2007, the House took up the bill, as 
amended, under suspension and passed it by a recorded vote of 
365-59. As amended, H.R. 1830 extended the Andean Preference 
Programs until February 29, 2008. On June 28, 2007, the bill 
was received in the Senate and passed by unanimous consent. On 
June 30, 2007, H.R. 1830 was signed by the President and became 
Public Law No. 110-42.
    H.R. 5264, the Andean Trade Preference Extension Act of 
2008, was introduced by Committee on Ways and Means Chairman 
Charles B. Rangel on February 7, 2008. H.R. 5264: (1) extended 
until September 30, 2010 the Andean Preference Programs, the 
Caribbean Basin Initiative (CBI) preferences and the 
Generalized System of Preferences (GSP); (2) repealed an 
``abundant supply'' provision that required the use of fabric 
from least-developed beneficiary countries in an attempt to 
leverage vertical integration, thereby restricting the ability 
of those countries to use the African Growth and Opportunity 
Act's (AGOA) flexible ``third-country fabric'' rule; (3) 
reinstated Mauritius' eligibility to use AGOA's ``third-country 
fabric'' provisions; and (4) repealed the GSP's competitive 
need limitation (CNL) waiver provisions. On February 14, 2008, 
the Committee on Ways and Means met to consider H.R. 5264. At 
that time, Chairman Rangel offered an amendment in the nature 
of a substitute, which was adopted by voice vote. The amendment 
was limited to a 10-month extension of the Andean Preference 
Programs; none of the CBI, GSP or AGOA provisions included in 
the bill as introduced was retained. On February 25, 2008, the 
bill was reported by the Committee. On February 27, 2008, the 
House took up H.R. 5264 and passed it by voice vote. On 
February 28, 2008, the bill was passed by the Senate by 
unanimous consent. On February 29, 2009, it was signed by the 
President and became Public Law No. 110-191.
    H.R. 2419, the Food, Conservation and Energy Act of 2008, 
was introduced on May 22, 2007. It was reported, as amended, by 
the Committee on Agriculture on July 23, 2007. On July 27, 
2007, the House took up H.R. 2419 and passed the bill by 
recorded vote of 231-191.
    On December 14, 2007, the Senate passed H.R. 2419 with an 
amendment by a recorded vote of 79-14. During the conference, 
at the request of members of the Committee, additional 
preference provisions were added to modify the Haitian 
Hemispheric Opportunity through Partnership Encouragement 
(HOPE) Act. The ``HOPE II'' provisions included in H.R. 2419 
provide additional, simplified ways for Haitian apparel to 
qualify for duty-free treatment and enhanced incentives to use 
U.S. inputs. HOPE II also required that Haiti establish a 
comprehensive labor monitoring program in its apparel sector at 
the enterprise level with assistance from the International 
Labor Organization. The preference provisions added in the Farm 
Bill conference also extended the expiring provisions of the 
Caribbean Basin Initiative for two years.
    The conference report was filed on May 13, 2008. The 
conference report was agreed to in the House by a recorded vote 
of 318-106 on May 14, 2008. The Senate agreed to the conference 
report by a recorded vote of 81-15 on May 15, 2008. On May 21, 
2008, the legislation was vetoed by the President. The House 
passed the bill over the President's veto by a recorded vote of 
316-108 on May 22, 2008. The Senate passed the bill over the 
President's veto by a recorded vote of 82-13 on May 22, 2008, 
and it became Public Law No: 110-234.
    Due to a technical error, only 14 of the 15 chapters of the 
conference report were presented to the President, vetoed and 
passed by Congress over the veto. As such, all 15 chapters of 
the conference report were introduced as H.R. 6124, the Food, 
Conservation and Energy Act of 2008, on May 22, 2008. On that 
same day, the House took up H.R. 6124 and passed the bill under 
suspension by a recorded vote of 306-110. On June 5, 2008, the 
Senate passed H.R. 6124 without amendment by a vote of 77-15. 
On June 18, 2008, the President vetoed the legislation. The 
House passed the bill over the President's veto by a recorded 
vote of 317-109 on June 18, 2008. The Senate passed the bill 
over the President's veto by a recorded vote of 80-14 on June 
18, 2008, and it became Public Law No. 110-246.
    On July 22, 2008, Chairman Rangel and Ranking Member Jim 
McCrery introduced H.R. 6560, a bill to establish an earned 
import allowance program under Public Law 109-53, and for other 
purposes. H.R. 6560: (1) established a ``2 for 1'' textile and 
apparel allowance program to be developed and administered by 
the Secretary of Commerce under which Dominican apparel 
producers could ``earn'' the right to export duty free certain 
apparel made with non-U.S. non-regional fabric, if they have 
purchased certain quantities of U.S. fabric for use in apparel 
production; (2) extended the GSP program for one year to 
December 31, 2009; (3) repealed the AGOA ``abundant supply'' 
requirement (see description above); (4) made several non-
controversial, technical corrections to AGOA and the Haitian 
Hemispheric Opportunity through Partnership Encouragement Act 
of 2008 (HOPE II); and (5) repealed prepayment requirements 
contained in Public Law 110-246. On July 29, 2008, the House 
took up H.R. 6560 and passed the bill by voice vote. On July 
30, 2008, it was received in the Senate and referred to the 
Committee on Finance. No further action was taken in the 
Senate.
    On September 29, 2008, Chairman Rangel, Trade Subcommittee 
Chairman Levin, Committee Ranking Member McCrery and Trade 
Subcommittee Ranking Member Herger introduced H.R. 7222, a bill 
to extend the Andean Trade Preference Act, and for other 
purposes. H.R. 7222: (1) extended the GSP program for one year 
to December 31, 2009 (2) extended the Andean Preference 
Programs for (a) one year for Colombia and Peru (until December 
31, 2009), (b) six months for Ecuador plus an additional six 
months unless the Administration determines that Ecuador does 
not satisfy the Andean Preference Program criteria and (c) six 
months for Bolivia plus an additional six months only if the 
Administration determines that Bolivia satisfies the Andean 
Preference Program criteria; (3) repealed the AGOA ``abundant 
supply'' requirement (see description above); (4) reinstated 
Mauritius' eligibility to use the AGOA ``third-country fabric'' 
provisions; (5) required the U.S. International Trade 
Commission to identify inputs that can be produced 
competitively in beneficiary sub-Saharan African countries and 
required the Comptroller General to recommend changes to U.S. 
trade preference programs, including AGOA, to provide 
incentives to increase investment and other measures necessary 
to improve the competitiveness of beneficiary sub-Saharan 
African countries in the production of the inputs identified by 
the ITC; (6) established a ``2 for 1'' textile and apparel 
allowance program to be developed and administered by the 
Secretary of Commerce (see description above); (7) made several 
of non-controversial, technical corrections to AGOA and the 
Haitian Hemispheric Opportunity through Partnership 
Encouragement Act of 2008; and (8) repealed prepayment 
requirements contained in Public Law 110-246. On September 29, 
2007, the Committee on Ways and Means discharged H.R. 7222 and 
the House passed it without objection on that same day. On 
October 2, 2008, H.R 7222 passed with an amendment in the 
Senate by unanimous consent. On October 3, 2008, the House 
agreed to the Senate amendment without objection. On October 
16, 2008, H.R. 7222 was signed by the President and became 
Public Law No. 110-436.
            ii. Hearings and Executive Sessions
    On June 19, 2007, the Committee held an executive session 
with the Heads of State of nine Member countries of the 
Caribbean Community and Common Market (CARICOM) to discuss ways 
to strengthen trade and economic ties between the Caribbean and 
the United States.
    On July 16, 2008, the Committee held an executive session 
with trade ministers (or their designates) from 35 sub-Saharan 
African countries, who were in Washington D.C. for the 7th 
Annual Africa Growth and Opportunity Act (AGOA) Forum. The 
meeting yielded a productive exchange of views on how AGOA has 
worked and on priorities for next steps.
            iii. Reports

General

    In September 2007, the Committee received a report from the 
GAO entitled U.S. Trade Preference Programs: An Overview of Use 
by Beneficiaries and U.S. Administrative Reviews. Publication 
GAO-07-1209. Washington, D.C.: September 2007.
    In March 2008, the Committee received a report from the GAO 
entitled U.S. Trade Preference Programs Provide Important 
Benefits, but a More Integrated Approach Would Better Ensure 
Programs Meet Shared Goals. Publication GAO-08-443. Washington, 
D.C.: March 2008.

AGOA Countries

    In September 2007, the Committee received a report from the 
ITC entitled Commercial Availability of Fabric & Yarns in AGOA 
Countries: Certain Denim. Publication 3950, Washington, D.C.: 
September 2007.
    In July 2008, the Committee received a report from the ITC 
entitled Denim Fabric: Use in AGOA Countries During Fiscal Year 
2007. Publication 4021. Washington, D.C.: July 2008.
    In August 2008, the Committee received a report from the 
ITC entitled Denim Fabric: Commercial Availability in AGOA 
Countries During Fiscal Year 2009. Publication 4027. 
Washington, D.C.: August 2008.

Andean Countries

    In September 2008, the Committee received a report from the 
ITC entitled Andean Trade Preference Act: Impact on U.S. 
Industries and Consumers and on Drug Crop Eradication and Crop 
Substitution, 2007. Thirteenth Report. Publication 4037. 
Washington, D.C.: September 2008.

Caribbean Countries

    In June 2007, the Committee received a report from the GAO 
entitled Information on Port Security in the Caribbean Basin. 
Publication GAO-07-804R. Washington, D.C.: June 29, 2007.
    In September 2007, the Committee received a report from the 
ITC entitled The Impact of the Caribbean Basin Economic 
Recovery Act, Eighteenth Report 2005-2006. Publication 3954. 
Washington, D.C.: September 2007
    In May 2008, the Committee received a report from the ITC 
entitled Caribbean Region: Review of Economic Growth and 
Development. Publication 4000. Washington, D.C.: May 2008.
    In June 2008, the Committee received a report from the ITC 
entitled Textiles and Apparel: Effects of Special Rules for 
Haiti on Trade Markets and Industries. Publication 4016. 
Washington, D.C.: June 2008.

c. Burma

            i. Legislation

Annual Renewal

    On July 28, 2003, President George W. Bush signed the 
Burmese Freedom and Democracy Act of 2003 (P.L. 108-61, 
hereinafter ``BFDA'') to sanction the ruling Burmese military 
junta, strengthen Burma's democratic forces, and support and 
recognize the National League of Democracy as the legitimate 
representative of the Burmese people. Among other things, the 
BFDA prohibits the importation into the United States of any 
article that is the product of Burma (Myanmar) until the 
President certifies to Congress that Burma has met certain 
conditions, including that: (1) Burma's ruling military junta 
has made substantial improvements to end violation of human 
rights; (2) the junta has made substantial progress towards 
implementing a democratic government; and (3) the junta has 
taken effective counter-narcotics measures. The import 
restrictions must be renewed on an annual basis by Congress. In 
addition, the BFDA included a mandatory three year sunset on 
the import ban. Since 2004, Congress has annually renewed the 
import ban, and in 2006, extended the mandatory sunset date for 
the import ban for an additional three years.
    On May 24, 2007, Chairman of the House Foreign Affairs 
Committee Lantos introduced H.J. Res 44 to authorize the 
renewal of import restrictions imposed under the BFDA. The bill 
was referred solely to the Ways and Means Committee. The House 
passed H.J. Res. 44 under a suspension of the rules by voice 
vote on July 23, 2007, and the Senate passed it without 
amendment by a vote of 93-1 on July 24, 2007. President Bush 
signed the bill into law on August 1, 2007 (Public Law No. 110-
52).
    On June 5, 2008, Congressman Joseph Crowley introduced H.J. 
Res. 93 to authorize the renewal of import restrictions imposed 
under the BFDA. The bill was referred solely to the Ways and 
Means Committee. On July 9, 2008, Chairman Rangel and Chairman 
of the House Foreign Affairs Committee Berman exchanged 
letters, acknowledging the jurisdiction of the Ways and Means 
Committee and its agreement to forgo consideration of H.J. Res. 
93. The House passed H.J. Res. 93 under a suspension of the 
rules by voice vote on July 23, 2008. The Senate passed the 
bill without amendment by unanimous consent on July 24, 2008. 
President Bush signed the bill into law on July 29, 2008 
(Public Law No. 110-287).

Expansion of BFDA Import Ban

    On October 18, 2007, Chairman of the House Foreign Affairs 
Committee Lantos introduced H.R. 3890, the Block Burmese JADE 
(Junta's Anti-Democratic Efforts) Act of 2007 (the JADE Act), 
to expand the BFDA's import ban to include jade or rubies and 
jewelry containing such gemstones mined or extracted from 
Burma. The bill was referred to the House Foreign Affairs, and 
to the Committees on Ways and Means and the Judiciary.
    On December 10, 2007, after extensive staff discussions, 
Chairmen Rangel and Lantos exchanged letters acknowledging the 
jurisdiction of the Ways and Means Committee, and its agreement 
to forgo the consideration of the bill with certain changes 
made to the expanded import ban. The changes included 
provisions: (1) requiring as a condition of importation for 
non-Burmese jade or rubies or jewelry containing such gemstones 
that people or firms in the supply chain maintain certain 
records and take other steps to ensure that the imported 
products do not include Burmese origin gemstones; (2) allowing 
the President to waive such import conditions where the 
imported articles are from a country that has taken measures to 
prevent trade in such Burmese gemstones; (3) directing the 
President to seek a multilateral agreement on stopping global 
trade in Burmese gemstones; (4) directing the President to seek 
a waiver from the World Trade Organization for the expanded 
import ban; and (5) re-instating certain trade preferences 
under the U.S. Generalized System of Preferences (GSP) for 
certain jewelry from India and Thailand.
    On December 11, 2007, H.R. 3890 passed the House under a 
suspension of the rules by a voice vote, with the agreed upon 
changes. The Senate passed the bill with amendments under 
unanimous consent on December 19, 2007. On July 15, 2008, the 
House agreed to the Senate's amendments, with amendments. Among 
other changes, the House amendments included all of the changes 
sought by the Committee on Ways and Means with respect to the 
expanded import ban, with the exception of the GSP-related 
amendments. On July 22, 2008, the Senate agreed to the House's 
amendments. President Bush signed H.R. 3890 into law on July 
29, 2008 (Public Law No. 110-286).

d. China

            i. Hearings and Executive Session
    The Subcommittee on Trade held a series of hearings in the 
110th Congress focused on (1) the impact of U.S.-China trade on 
jobs, wages, prices, manufacturing competitiveness and other 
aspects of the U.S. economy; (2) the causes of the U.S. trade 
deficit with China; (3) China's compliance with its WTO 
commitments; and (4) China's role in the world economy.
    The first hearing, held on February 15, 2007, addressed 
China's enforcement of intellectual property rights and the 
role and effect of subsidies in the Chinese market and their 
impact on competition with U.S. products in China. The Trade 
Subcommittee heard testimony from private sector interests and 
the Administration.
    The second hearing, held on March 15, 2007, addressed the 
application of countervailing duties to unfairly subsidized and 
injurious imports from nonmarket economy countries, with a 
focus on H.R. 1229, the ``Nonmarket Economy Trade Remedy Act of 
2007,'' introduced by Representatives Artur Davis (D-AL) and 
Phil English (R-PA). The Subcommittee received testimony from a 
Member of Congress, the Administration, and private sector 
interests.
    The third hearing, held on May 9, 2007, addressed the issue 
of currency manipulation and its effects on U.S. businesses and 
workers. Three subcommittees participated in the hearing: the 
Ways and Means Subcommittee on Trade; the Financial Services 
Subcommittee on Domestic and International Monetary Policy, 
Trade, and Technology; and, the Energy and Commerce 
Subcommittee on Commerce, Trade and Consumer Protection. The 
purpose of the hearing was to consider: (1) whether, and to 
what extent, the Chinese renminbi (RMB) and the Japanese yen 
are undervalued as a result of foreign government intervention 
in the currency markets; (2) the immediate and long-term impact 
an undervalued RMB or yen has on the economies of the United 
States and other countries, and on the global economy; and (3) 
what action, if any, the United States should take to address 
exchange rate manipulation. The Subcommittees received 
testimony during the hearing from the Administration and 
private sector interests.
    In the fourth hearing, held on August 2, 2007, the Trade 
Subcommittee considered various legislative proposals relating 
to trade with China. The legislation examined included bills to 
address trade-distorting currency practices, as well as 
legislation to modify U.S. trade remedy laws. In addition, the 
hearing addressed the safety of food imports into the United 
States and issues related to the application of sanitary and 
phytosanitary measures overseas and the consistency of those 
measures with World Trade Organization (WTO) rules. During the 
hearing, the Subcommittee received testimony from eleven 
Members of Congress, the Administration, and the private 
sector.
    On October 4, 2007, the Trade Subcommittee and the 
Oversight Subcommittee held a joint hearing on import safety. 
The hearing focused on the mechanisms and legal authorities 
under current law for ensuring the safety of food and consumer 
products imported into the United States.
    In addition to the five hearings described above, the Trade 
Subcommittee and other interested Members of the Committee held 
an executive session on February 13, 2007, on exchange rate 
regimes and their effect on international trade, with a focus 
on the policies of China and Japan. The Members of the 
Committee informally discussed these issues with several 
knowledgeable economists, from the business community and other 
non-governmental organizations.
            ii. Reports
    In December 2007, the Committee received a report from the 
ITC entitled China: Description of Selected Government 
Practices and Policies Affecting Decision Making in the 
Economy. Publication 3978. Washington, D.C.: December 2007. The 
report was the first in a three-part study requested by the 
Chairman on May 23, 2007. (This request changed and superseded 
a request made in the 109th Congress by Chairman Thomas on 
September 21, 2006, following a written request from Ranking 
Member Charles B. Rangel to the Chairman, dated June 15, 2006, 
to study how China uses various forms of government 
intervention to promote investment, employment, and exports.) 
However, in a letter dated April 1, 2008, the Chairman 
recognized that it was not possible for the ITC to access and 
analyze key information within the time agreed (given the lack 
of transparency in Chinese policymaking, the absence of a clear 
demarcation between central and provincial government 
responsibilities, the pace at which laws are being written and 
rewritten, and the incomplete development of the rule of law in 
China) and terminated the requested study.
    On December 11, 2007, the Committee received from the U.S. 
Trade Representative the ``2007 Report to Congress on China's 
WTO Compliance,'' pursuant to section 421 of the U.S.-China 
Relations Act of 2000 (P.L. 106-286).
    On December 1, 2008, the Committee received from the ITC 
the first in a series of reports entitled Statistical Reports 
on Certain Textile and Apparel Imports from China, under 
investigation No. 332-501. The Chairman of the Committee 
requested this investigation, pursuant to section 332(g) of the 
Tariff Act of 1930 (19 U.S.C. 1332(g)), to monitor textile and 
apparel imports from China following the expiration on December 
31, 2008, of the Memorandum of Understanding Concerning Trade 
in Textile and Apparel Products between the United States and 
China.

e. Iran

    On February 8, 2007, Congresswoman Ileana Ros-Lehtinen 
introduced H.R. 957 to amend the Iran Sanctions Act of 1996 by 
expanding and clarifying the entities against which the United 
States may impose sanctions. Several provisions of the bill 
fell under the Ways and Means Committee's jurisdiction. On July 
27, 2007, Chairman Rangel and Chairman of the House Foreign 
Affairs Committee Lantos exchanged letters acknowledging the 
jurisdiction of the Ways and Means Committee and changes made 
to the legislation that clarify the intent and scope of the 
bill, and the agreement by the Ways and Means Committee to 
forgo consideration of the bill as long as the Committee's 
jurisdictional prerogatives are being respected. The House 
passed H.R. 957 by a vote of 415-11 on July 31, 2007, and 
referred the bill to the Senate on August 3, 2007. No further 
action was taken on this legislation in the 110th Congress.
    On March 8, 2007, Congressman Tom Lantos, Chairman of the 
House Committee on Foreign Affairs, introduced H.R. 1400, the 
``Iran Counter-Proliferation Act of 2007.'' The bill contained 
several provisions within the jurisdiction of the Committee on 
Ways and Means, including provisions related to international 
trade. On September 24, 2007, Chairman Rangel and Chairman 
Lantos exchanged letters acknowledging the jurisdiction of the 
Ways and Means Committee and changes made to the legislation 
that clarify the intent and scope of the bill, and the 
agreement by the Ways and Means Committee to forgo 
consideration of the bill as long as the Committee's 
jurisdictional prerogatives are being respected. On September 
25, 2007, the House passed the bill under a suspension of the 
rules by a vote of 397 to 16. On September 26, 2007, the bill 
was referred to the Senate Committee on Banking, Housing and 
Urban Affairs. No further action was taken on this legislation 
in the 110th Congress.
    On September 26, 2008, Chairman of the House Foreign 
Affairs Committee Berman introduced H.R. 7112, which would 
amend the Iran Sanctions Act of 1996 by expanding and 
clarifying the entities against which sanctions may be imposed. 
The bill contained trade-related provisions. On September 26, 
2008, Chairmen Rangel and Berman exchanged letters 
acknowledging the jurisdiction of the Ways and Means Committee 
and changes made to the legislation that clarify the intent and 
scope of the bill, and the agreement by the Ways and Means 
Committee to forgo consideration of the bill as long as the 
Committee's jurisdictional prerogatives are being respected. 
H.R. 7112 passed the House on September 26, 2008, under a 
suspension of the rules by a voice vote. The bill was sent to 
the Senate on September 27, 2008. No further action was taken 
on this legislation in the 110th Congress.

f. Japan

            i. Hearings and Executive Sessions
    On February 13, 2007, the Trade Subcommittee and other 
interested Members of the Committee held an executive session 
on exchange rate regimes and their effect on international 
trade, with a focus on the policies of China and Japan. The 
Committee heard from several economists with knowledge of these 
issues, from the business community and other non-governmental 
organizations.
    On May 9, 2007, three subcommittees (the Ways and Means 
Subcommittee on Trade; the Financial Services Subcommittee on 
Domestic and International Monetary Policy, Trade, and 
Technology; and the Energy and Commerce Subcommittee on 
Commerce, Trade and Consumer Protection) held a tripartite 
hearing to address the issue of currency manipulation and its 
effects on U.S. businesses and workers. The purpose of the 
hearing was to consider: (1) whether, and to what extent, the 
Chinese renminbi (RMB) and the Japanese yen are undervalued as 
a result of foreign government intervention in the currency 
markets; (2) the immediate and long-term impact an undervalued 
RMB or yen has on the economies of the United States and other 
countries, and on the global economy; and (3) what action, if 
any, the United States should take to address exchange rate 
manipulation. The Subcommittees received testimony during the 
hearing from the Administration and private sector interests.
            ii. Reports
    In March 2007, the Committee received a report from the ITC 
entitled Medical Devices and Equipment: Competitive Conditions 
Affecting U.S. Trade in Japan and Other Principal Foreign 
Markets. Publication 3909. Washington, D.C.: March 2007.

                     5. TRADE ADJUSTMENT ASSISTANCE

a. Legislation

    H.J. Res. 20, the Continuing Appropriations Resolution, 
2007, was introduced in the House on January 29, 2007. The 
joint resolution included language, at the request of members 
of the Committee, prohibiting the Department of Labor from 
using appropriated funds ``to finalize or implement any 
proposed regulation under the Workforce Investment Act of 1998, 
Wagner-Peyser Act of 1933, or the Trade Adjustment Assistance 
Reform Act of 2002 until such time as legislation reauthorizing 
the Workforce Investment Act of 1998 and the Trade Adjustment 
Assistance Reform Act of 2002 is enacted.'' H.J. Res. 20 was 
taken up and passed by a recorded vote of 286-140 on January 
31, 2007. It was taken up by the Senate and passed without 
amendment by a recorded vote of 81-15 on February 14, 2007. On 
February 15, 2007, it was signed by the President and became 
Public Law No. 110-5.
    H.R. 3375, a bill to extend for three months the trade 
adjustment assistance (``TAA'') program under the Trade Act of 
1974, was introduced by Committee on Ways and Means Trade 
Subcommittee Ranking Member Wally Herger on August 3, 2007, and 
referred to the Committee on Ways and Means. The Committee 
marked up H.R. 3375, as amended, on September 18, 2007. On 
September 24, 2007, it was reported favorably by the Committee 
by voice vote. On September 25, 2007, the House took up H.R. 
3375, as amended, and passed the bill by voice vote. It was 
received by the Senate that same day and passed by unanimous 
consent. On September 28, 2007, it was signed by the President 
and became Public Law No. 110-89.
    On October 22, 2007, Chairman Rangel introduced H.R. 3920, 
the Trade and Globalization Assistance Act of 2007, which was 
referred to the Committee on Ways and Means and, in addition, 
to the Committees on Education and Labor, and Energy and 
Commerce. H.R. 3920: (1) expands TAA coverage to more workers, 
including service workers; (2) streamlines TAA enrollment for 
workers, including creating mechanisms for industry-wide (as 
opposed to company-specific) eligibility determinations; (3) 
enhances workers' access to long term training under TAA; (4) 
reforms the TAA health coverage tax credit benefit; (5) creates 
new TAA benefits for communities adversely affected by trade; 
and (6) reforms the unemployment insurance system. On October 
24, 2007, the Committee on Ways and Means marked up H.R. 3920, 
and ordered the bill, as amended, favorably reported by a roll 
call vote of 26 to 14, with a quorum present. On October 31, 
2007, the House took up and passed H.R. 3920 under a rule by a 
recorded vote of 264-157. On November 5, 2007, it was received 
in the Senate and referred to the Committee on Finance. No 
further action was taken in the Senate.
    On December 10, 2007, Trade Subcommittee Chairman Levin 
introduced H.R. 4341, a bill to extend for three months the 
trade adjustment assistance program under the Trade Act of 
1974. On December 11, 2007, the House took up H.R. 4341 and 
passed the bill by voice vote. It was received in the Senate on 
December 11, 2007, and referred to the Committee on Finance on 
January 22, 2008. No further action was taken in the Senate. 
The authorizations of the TAA for Workers, ATAA, TAA for Firms, 
and TAA for Farmers programs all expired December 31, 2007.
    The Consolidated Appropriations Act, 2008, Public Law 110-
161, enacted on December 26, 2007, fully funded the TAA for 
Workers, ATAA, and TAA for Firms programs for fiscal year 2008. 
DOL considered the appropriations language sufficient to 
continue the operation of the TAA for Workers and ATAA programs 
throughout fiscal year 2008, including issuing new 
certifications for eligibility. See Training and Guidance 
Letter No. 15-07, December 27, 2007 (Department of Labor, 
Employment and Training Administration). The Consolidated 
Appropriations Act, 2008 continued the prohibition on using 
funds made available to finalize or implement any proposed 
regulation related to TAA for Workers until the program is 
reauthorized.
    The Consolidated Security, Disaster Assistance and 
Continuing Appropriations Act, 2009, Public Law 110-329, 
enacted on Sept. 30, 2008, fully funded the TAA for Workers, 
ATAA and TAA for Firms programs until enactment of the 
applicable regular appropriations bill or until March 6, 2009, 
whichever occurs first. The prohibition on the finalization or 
implementation of proposed TAA for Workers regulations until 
the program is reauthorized also remains in place. Again, DOL 
considered the appropriations language sufficient to continue 
the operation of the TAA for Workers and ATAA programs.

b. Hearings

    On June 14, 2007, the Committee on Ways and Means held a 
hearing entitled ``Promoting U.S. Worker Competitiveness in a 
Globalized Economy.'' The hearing focused on the operation of 
and possible reforms to the Trade Adjustment Assistance for 
Workers program. Witnesses included Congressman Adam Smith; 
Sigurd Nilsen, Director for Education, Workforce, and Income 
Security Issues, Government Accountability Office; the 
Honorable Mason M. Bishop, Deputy Assistant Secretary, 
Employment and Training Administration, Department of Labor; 
David R. Williams, Director of Electronic Tax Administration 
and Refundable Credits, Internal Revenue Service, as well as 
representatives of state government workforce entities, 
organized labor, and non-profits and think tanks.

c. Reports

    In June 2007, the Committee received a report from the GAO 
entitled Industry Certification Would Likely Make More Workers 
Eligible, but Design and Implementation Challenges Exist. 
Publication GAO-07-919. Washington, D.C.: June 2007.
    In June 2007, the Committee received a report from the GAO 
entitled Trade Adjustment Assistance: Changes Needed to Improve 
States' Ability to Provide Benefits and Services to Trade-
Affected Workers. Publication GAO-07-995T. Washington, D.C.: 
June 14, 2007.
    In November 2007, the Committee received a report from the 
GAO entitled Trade Adjustment Assistance: States Have Fewer 
Training Funds Available than Labor Estimates when Both 
Expenditures and Obligations are Considered. Publication GAO-
08-165. Washington, D.C.: November 2, 2007.

                      6. MISCELLANEOUS TARIFF BILL

    On November 1, 2007, Chairman Levin and Ranking Member 
Herger of the Ways and Means Trade Subcommittee issued an 
advisory requesting that Members who planned to introduce 
tariff and duty suspension legislation do so by December 14, 
2007. Subcommittee Chairman Levin and Ranking Member Herger 
also asked Members to submit written disclosures for bills that 
provide limited tariff benefits, as required by House Rules XXI 
and XXIII. On February 25, 2008, the Committee issued an 
advisory seeking comments from interested parties on 797 bills 
introduced by Members for consideration in the Miscellaneous 
Tariff Bill (MTB) process, due no later than April 10, 2008. On 
April 18, 2008, the Committee issued a second advisory seeking 
comments from interested parties on 11 bills that were 
inadvertently omitted from the previous advisory, but otherwise 
met the criteria for inclusion in the MTB process, due no later 
than June 2, 2008. In addition to several hundred comments from 
the public, the Committee received in September 2008 roughly 
750 Congressional Bill Reports on the tariff and duty 
suspension legislation from the U.S. International Trade 
Commission, as well as comments from the Department of 
Commerce, Customs and Border Protection and the United States 
Trade Representative by September 2008. No further action was 
taken on this legislation in the 110th Congress.

                    7. CUSTOMS AND BORDER PROTECTION

a. Legislation

            i. Implementing Recommendations of the 9/11 Commission Act 
                    of 2007--Container Scanning and Seals
    On January 5, 2007, Congressman Bennie Thompson introduced 
H.R. 1, the Implementing Recommendations of the 9/11 Commission 
Act of 2007. The bill contained a provision providing for 
strengthening the security of cargo containers entering the 
United States and was referred to the Ways and Means Committee, 
among others. In particular, section 501 of the House bill 
prohibits a container from entering the United States unless 
the container is scanned and secured with a seal that uses the 
best available technology, including technology to detect any 
breach of the container and record the time of that breach. The 
Secretary of Homeland Security (the Secretary) must establish 
standards for scanning and sealing containers, and must review 
and revise those standards at least once every two years. This 
section requires that all countries (those exporting 75,000 or 
more twenty-foot equivalent units (TEU)) scan and seal 
containers within three years. All other countries must scan 
and seal containers within five years. The Secretary may extend 
the deadline for a port by one year. The House passed H.R. 1 on 
January 9, 2007, by a recorded vote of 299-128.
    On July 9, 2007, the Senate Committee on Homeland Security 
and Governmental Affairs discharged the bill by unanimous 
consent. That same day, the Senate passed H.R. 1 with an 
amendment by unanimous consent. The Senate amendment struck all 
of the House bill after the enacting clause and inserted a 
substitute text. Section 905 of the Senate bill amends Section 
232 of the Security and Accountability for Every Port Act of 
2006 (the ``SAFE Port Act'') to require the Secretary to 
develop a plan, which includes benchmarks, for scanning 100 
percent of the containers destined for the United States using 
integrated scanning systems developed in the pilot program 
authorized in that section. Section 905 also requires that the 
plan incorporate existing programs, such as the Container 
Security Initiative and the Customs-Trade Partnership Against 
Terrorism.
    During the Conference of H.R. 1, the House conferees 
disagreed with the Senate amendment and offered an amendment in 
the nature of a substitute for the original House bill and the 
Senate amendment, which was agreed to in conference. In 
particular, the Conference substitute amends section 232 of the 
SAFE Port Act to require full-scale implementation of the 100 
percent scanning system pilot program required by that section 
no later than July 1, 2012. However, the Secretary is 
authorized to extend the deadline by two years, and may renew 
the extension in additional two-year increments, if the 
Secretary certifies to Congress that particular conditions 
cannot be met. The provision provides a waiver for U.S. and 
foreign military cargo. The conference substitute also requires 
the Secretary to consult with other appropriate Federal 
agencies to ensure that actions taken under this section do not 
violate international trade obligations.
    The Conference substitute also amends section 204(a)(4) of 
the SAFE Port Act by requiring the Secretary to issue an 
interim rule to establish minimum standards and procedures for 
securing containers in transit to the United States not later 
than April 1, 2008. If the Secretary fails to meet that 
deadline, this section requires that effective October 15, 
2008, and until such interim rule is issued, all containers in 
transit to the United States shall be required to meet the 
requirements of International Organization for Standardization 
Publicly Available Specification 17712 standard for sealing 
containers.
    The Conferees expressed an expectation that the Secretary 
work with the Secretary of State, the United States Trade 
Representative, and other appropriate Federal officials to work 
with the United States international partners and international 
organizations, such as the World Customs Organization, to 
establish an international framework for scanning and securing 
containers. The Conferees also expressed an expectation that 
where the scanning technology standards affect the Department 
of Energy's (DOE) Megavolts Second Line of Defense programs, 
that the Secretary shall invite the DOE to participate in the 
development and final review of such standards and that the 
Secretary of Homeland Security shall seek the concurrence of 
the Secretary of Energy.
    On July 25, 2007, the Conferees filed Conference Report 
110-259, which contained the conference substitute for 
container scanning and seals in section 1701. On July 26, 2007, 
the Senate agreed to the Conference Report by a recorded vote 
of 85-8. On July 27, the House agreed to the Conference Report 
by a vote of 371-40. The bill was signed by the President and 
became law on August 3, 2007 (P.L. 110-53).
            ii. Ethyl Alcohol (Ethanol) Tariff Extensions
    During the Conference of H.R. 2419, the ``Food, 
Conservation and Energy Act of 2008,'' the Conferees agreed to 
follow a Senate Amendment and included provisions extending the 
existing effective period for imports of ethyl alcohol 
classified under heading 9901.00.50 and 9901.00.52 of the 
Harmonized Tariff Schedule of the United States from before 
January 1, 2009, to before January 1, 2011. Heading 9901.00.50 
of the Harmonized Tariff Schedule of the United States imposes 
a cumulative general duty of 14.27 cents per liter to imports 
of ethyl alcohol, and any mixture containing ethyl alcohol, if 
used as a fuel or in producing a mixture to be used as fuel. 
Heading 9901.00.52 of the Harmonized Tariff Schedule of the 
United States imposes a general duty of 5.99 cents per liter to 
imports of ethyl tertiary-butyl ether, and any mixture 
containing ethyl tertiary-butyl ether.
    On May 13, 2008, the Conferees filed Conference Report 110-
627, which contained the ethanol tariff effective date 
provisions in section 15333. On May 14, 2008, the House agreed 
to the Conference Report by a recorded vote of 318-106. On May 
15, 2008, the Senate agreed to the Conference Report by a 
recorded vote of 81-15. On May 21, 2008, the President vetoed 
the bill. On May 21, 2008, the bill passed the House over the 
President's veto with two-thirds of the Members present voting 
in the affirmative by a recorded vote of 316-108. On May 22, 
2008, the bill passed the Senate over the President's veto by a 
recorded vote of 82-13 and the bill became Public Law 110-234.
    Due to a technical error, however, P.L. 110-234 enacted 
only 14 of 15 titles of the bill into law. On May 22, 2008, a 
new bill including all 15 titles was introduced as H.R. 6124, 
the ``Food, Conservation, and Energy Act of 2008.'' On that 
same day, the House passed H.R. 6124 under suspension by a vote 
of 306-110. On June 5, 2008, the Senate passed H.R. 6124 
without amendment by a vote of 77-15. On June 18, 2008, the 
President vetoed the legislation. On June 18, 2008, the House 
passed the bill over the President's veto by a recorded vote of 
317-109. The Senate passed the bill over the President's veto 
by a recorded vote of 80-14 on June 22, 2008, and the bill 
became Public Law No. 110-246.\1\
---------------------------------------------------------------------------
    \1\Provisions in Public Law No. 110-246 relating to the Committee's 
jurisdiction over tax measures are described in the tax section of this 
report.
---------------------------------------------------------------------------
            iii. Duty Drawback

Limitations on Duty Drawback on Certain Imported Ethyl Alcohol 
        (Ethanol)

    During the Conference of H.R. 2419, the ``Food, 
Conservation and Energy Act of 2008,'' the Conferees agreed to 
follow a Senate Amendment and included a provision amending 
subsection 313(p) of the Tariff Act of 1930, which permits the 
substitution on exportation for drawback eligibility of one 
motor fuel with another motor fuel.
    The provision clarifies that any duty paid under subheading 
9901.00.50 of the Harmonized Tariff Schedule of the United 
States on imports of ethyl alcohol or a mixture of ethyl 
alcohol may not be refunded if the exported article upon which 
a drawback claim is based does not contain ethyl alcohol or a 
mixture of ethyl alcohol. Specifically, the provision 
eliminates the ability to export jet fuel as a substitute for 
motor fuel made with imports of ethyl alcohol or a mixture of 
ethyl alcohol, and then receive duty drawback based upon the 
import duty paid on the ethyl alcohol or the mixture of ethyl 
alcohol under subheading 9901.00.50 of the Harmonized Tariff 
Schedule of the United States. The provision applies to imports 
of ethyl alcohol or a mixture of ethyl alcohol entered for 
consumption, or withdrawn from warehouse for consumption, on or 
after October 1, 2008. With respect to claims for substitution 
duty drawback that are based upon imports of ethyl alcohol or a 
mixture of ethyl alcohol entered for consumption, or withdrawn 
from warehouse for consumption, before October 1, 2008, such 
claims must be filed not later than September 30, 2010; 
otherwise, such claims are disallowed.
    On May 13, 2008, the House and Senate Conferees filed 
Conference Report 110-627, which contained the ethanol drawback 
provision in section 15334. The legislative process that 
followed (including the technical error that led to the passage 
of H.R. 6124, the ``Food, Conservation, and Energy Act of 
2008'') is described above, in section 7.a.ii. (regarding Ethyl 
Alcohol (Ethanol) Tariff Extensions).

Unused Merchandise Drawback

    On August 3, 2007, Congressman Thompson introduced H.R. 
3443, the ``Drawback Simplification Act of 2007,'' together 
with Representatives Herger, McDermott, Reynolds, Crowley, 
Nunes and Israel. The bill included a provision, among others, 
that defined ``substituted merchandise'' for the purposes of 
drawback as a good that is classifiable within the same 8-digit 
subheading of the Harmonized Tariff Schedule (HTS) of the 
United States. Thus, for the purposes of qualifying for unused 
merchandise drawback, imported merchandise and exported 
merchandise must be classified in the same 8-digit HTS 
subheading, rather than having to meet the commercial 
interchangeability standard used today. No further action was 
taken on this legislation in the 110th Congress.
    On October 30, 2007, Chairman Rangel introduced H.R. 3996, 
the ``Tax Increase Prevention Act of 2007,'' which included 
among others, a provision amending section 313(j)(2) of the 
Tariff Act of 1930 to provide a standard for what is considered 
to be ``commercially interchangeable'' for purposes of unused 
merchandise drawback for wine. This provision effectively 
carried forward the standard used by Customs and Border 
Protection from 2001 to May 2007 in determining commercially 
interchangeable wine. That standard permitted the: (1) 
interchangeability of white domestic and imported table wine 
with relatively valued imported white table wine; and (2) 
interchangeability of red domestic and imported table wine with 
relatively valued red table wine. Relatively valued wine was 
considered to be wine within a price range of 50 percent. The 
definition of ``substituted merchandise'' provided for in H.R. 
3443 was broader than Customs' standard of ``commercially 
interchangeable'' for unused merchandise drawback for wine 
because it did not include a requirement that the wine be 
relatively valued within a price range of 50 percent. 
Specifically, the provision in H.R. 3996 states that ``wine of 
the same color having a price variation not to exceed 50 
percent between the imported wine and the exported wine shall 
be deemed to be commercially interchangeable.'' H.R. 3996 
passed the House on November 9, 2007, by a recorded vote of 
216-193. On December 6, 2007, the Senate passed H.R. 3996 by a 
vote of 88-5 with an amendment that omitted the unused 
merchandise drawback provision, among others.
    A provision identical to the unused merchandise drawback 
provision in H.R. 3996 was added during the Conference of H.R. 
2419, the ``Food, Conservation and Energy Act of 2008.'' On May 
13, 2008, the House and Senate Conferees filed Conference 
Report 110-627, which contained the unused merchandise drawback 
provision in section 15421. The legislative process that 
followed (including the technical error that led to the passage 
of H.R. 6124, the ``Food, Conservation, and Energy Act of 
2008'') is described above, in section 7.a.ii. (regarding Ethyl 
Alcohol (Ethanol) Tariff Extensions).
            iv. Valuation
    During the Conference of H.R. 2419, the ``Food, 
Conservation and Energy Act of 2008,'' the House and Senate 
Conferees added a provision within Ways and Means Committee 
jurisdiction. Specifically, the provision provides for the 
collection of additional information about the extent to which 
importers are declaring for purposes of customs valuation a 
transaction value in a multiple sale scenario that is based on 
the price paid in the first or earlier sale occurring prior to 
introduction of the merchandise into the United States--i.e., a 
``first sale'' as opposed to a ``last sale.'' The provision 
also expresses the sense of Congress that CBP should not change 
its current interpretation before 2011, and after then, may do 
so only if certain conditions are met. The provision was added 
to assist Members of Congress to better understand the impact 
of a Federal Register notice dated January 24, 2008, issued by 
Customs and Border Protection (CBP) that would have reversed a 
long-standing judicial and administrative interpretation of the 
expression ``sold for exportation to the United States.''
    Specifically, the provision: (1) requires importers to 
declare whether the value of the imported merchandise is 
determined on the basis of the price paid in the first or 
earlier sale occurring prior to the introduction of the 
merchandise into the United States; (2) requires CBP to collect 
and provide this information to the U.S. International Trade 
Commission (ITC) on a monthly basis; (3) requires the ITC to 
submit a report to the Ways and Means Committee and Senate 
Finance Committee within ninety days of receipt of CBP's last 
monthly report; (4) expresses a sense of Congress that CBP 
should not before January 1, 2011, implement a change of 
interpretation of the expression ``sold for exportation to the 
United States'' for purposes of applying the transaction value 
in a series of sales.
    The sense of Congress also expresses that, after January 1, 
2011, CBP may propose to change or change its interpretation 
only if CBP: (1) consults with and provides notice to the 
appropriate committees not less than 180 days prior to 
proposing a change and not less than 90 days prior to 
publishing a change; (2) consults with, provides notice to, and 
takes into consideration views expressed by the Commercial 
Operations Advisory Committee not less than 120 days prior to 
proposing a change and not less than 60 days prior to 
publishing a change; and (3) receives the explicit approval of 
the Secretary of Treasury prior to publishing the change. The 
sense of Congress also expresses that CBP should take into 
consideration the ITC report before publishing any change to 
the expression ``sold for exportation to the United States.''
    On May 13, 2008, the House and Senate Conferees filed 
Conference Report 110-627, which contained the valuation 
provision in section 15422. The legislative process that 
followed (including the technical error that led to the passage 
of H.R. 6124, the ``Food, Conservation, and Energy Act of 
2008'') is described above, in section 7.a.ii. (regarding Ethyl 
Alcohol (Ethanol) Tariff Extensions). On August 25, 2008, CBP 
issued a Federal Register notice implementing the importer 
declaration requirement and stating that it was withdrawing its 
January 24, 2008, notice of proposed interpretation.

b. Hearings and Executive Sessions

    On October 4, 2007, the Trade Subcommittee and the 
Oversight Subcommittee held a joint hearing on import safety. 
The hearing focused on the mechanisms and legal authorities 
under current law for ensuring the safety of food and consumer 
products imported into the United States. Daniel Baldwin, an 
Assistant Commissioner of Customs and Border Protection, was 
among the witnesses who testified.
    On June 18, 2008, the Committee held an executive session 
with U.S. Customs and Border Protection Commissioner Ralph 
Basham. The session focused on matters of general oversight and 
specific issues of concern including a CBP Federal Register 
notice, dated January 24, 2008, proposing a new interpretation 
of the expression ``sold for exportation to the United 
States.''

c. Reports

    In April 2007, the Committee received a report from the GAO 
entitled Customs Revenue: Customs and Border Protection Needs 
to Improve Workforce Planning and Accountability. Publication 
GAO-07-529. Washington, D.C.: April 12, 2007.
    In February 2008, the Committee received a report from the 
GAO entitled Federal User Fees: Substantive Reviews Needed to 
Align Port-Related Fees with the Programs They Support. 
Publication GAO-08-321. Washington, D.C.: February 22, 2008.
    In May 2008, the Committee received a report from the GAO 
entitled Federal Users Fees: A Design Guide. Publication GAO-
08-386SP. Washington, D.C.: May 29, 2008.

                         8. OTHER TRADE ISSUES

a. Implementation of the Lacey Act Amendments--Section 8204 of the 
        Food, Conservation and Energy Act of 2008

    On October 10, 2008, Committee on Ways and Means Chairman 
Charles B. Rangel, Committee on Natural Resources Chairman Nick 
J. Rahall II, Senate Committee on Finance Chairman Max Baucus 
and Senate Committee on Agriculture Chairman Tom Harkin, 
Congressman Earl Blumenauer and Senator Ron Wyden sent a letter 
to the Animal and Plant Health Inspection Service, U.S. Customs 
and Border Protection U.S. Department of Justice, Environment 
and Natural Resources Division and the U.S. Fish and Wildlife 
Service concerning the implementation of the amendments to the 
Lacey Act (16 U.S.C. 3371) included in section 8204 of the 
Food, Conservation and Energy Act of 2008 (FCEA). The letter 
was sent to provide guidance to the agencies on how to 
implement the amendments in a way that accomplished Congress's 
intent--preventing the trade of illegally harvested plants and 
plant products without disrupting legitimate commerce.

b. Enforcement of Intellectual Property Rights

            i. Anti-Counterfeiting Trade Agreement (ACTA)
    On October 23, 2007, U.S. Trade Representative Susan C. 
Schwab announced that the United States will seek to negotiate 
an Anti-Counterfeiting Trade Agreement (ACTA). ACTA will bring 
together countries that recognize the critical importance of 
strong intellectual property rights enforcement for a 
prosperous economy. Participants in the ongoing discussion 
include Australia, Canada, the European Union, Japan, Korea, 
Mexico, Morocco, New Zealand, Singapore, Switzerland, and the 
United States.
            ii. Reports
    On April 30, 2007, the Committee received the 2007 
``Special 301'' Report from the U.S. Trade Representative on 
the adequacy and effectiveness of intellectual property rights 
protection by U.S. trading partners. Twelve countries were 
included on the ``priority watch list'' of partners who fail to 
provide an adequate level of IPR enforcement or protection: 
Argentina, Chile, China, Egypt, India, Israel, Lebanon, Russia, 
Thailand, Turkey, Ukraine, and Venezuela.
    On April 25, 2008, the Committee received the 2008 
``Special 301'' Report from the U.S. Trade Representative. Nine 
countries were included on the ``priority watch list'': 
Argentina, Chile, China, India, Israel, Pakistan, Russia, 
Thailand, and Venezuela.
            iii. Legislation
    On December 5, 2007, Congressman John Conyers, Jr. (D-MI) 
introduced H.R. 4279, the Prioritizing Resources and 
Organization for Intellectual Property Act of 2008. Several 
provisions of H.R. 4279 fell within the jurisdiction of the 
Committee. For example, section 301(e) would amend the Trade 
Act of 1974 by imposing an additional consultation requirement 
on the U.S. Trade Representative. As another example, section 
322(b)(9) would require the newly created Intellectual Property 
Enforcement Representative to report to Congress and the 
President on ``[t]he progress of the United States Trade 
Representative in taking the appropriate action under any trade 
agreement or treaty to protect intellectual property rights of 
United States persons and their licensees.''
    Prior to markup of the bill by the House Judiciary 
Committee, Ways and Means Committee staff for both the Majority 
and Minority worked with the staff of the Judiciary Committee 
to ensure that the bill would not undermine the prerogatives of 
the Committee and the various trade agencies within its 
jurisdiction (in particular, the U.S. Trade Representative and 
U.S. Customs and Border Protection). The staff of the Judiciary 
Committee addressed these and other concerns, as reflected in 
an amended bill. The Judiciary Committee reported favorably on 
the amended bill on May 5, 2008, by voice vote. That same day, 
the Chairman and Judiciary Chairman Conyers exchanged letters, 
acknowledging the jurisdiction of the Ways and Means Committee 
and its agreement to forgo consideration of the amended bill. 
On May 8, 2008, the House passed the bill by a recorded vote of 
410 to 11.
    On July 24, 2008, Senator Patrick J. Leahy (D-VT) 
introduced a companion bill, S. 3325. On September 15, 2008, 
the Senate Committee on the Judiciary reported on the bill with 
amendments, without a written report. On September 26, 2008, 
the Senate passed the bill with an amendment by Unanimous 
Consent. S. 3325 included the modifications sought by Committee 
staff in the amended H.R. 4279. On September 28, 2008, the 
House passed S. 3325 by a vote of 381 to 41. The President 
signed the bill into law on October 13, 2008 (P.L. 110-403).

c. Federal Advisory Committee Act Amendments of 2008

    On April 3, 2008, Congressman Clay (D-MO) introduced H.R. 
5687, the Federal Advisory Committee Act Amendments of 2008, to 
increase the transparency and accountability of Federal 
advisory committees. On June 24, 2008, Chairman Rangel and 
Chairman of the House Committee on Oversight and Government 
Reform Waxman exchanged letters, acknowledging the jurisdiction 
of the Ways and Means Committee and its agreement to forgo 
consideration of the bill. The House passed H.R. 5687 under a 
suspension of the rules by voice vote on June 24, 2008 and 
referred the bill to the Senate on June 25, 2008. No further 
action was taken on this legislation in the 110th Congress.

d. Insurance Information Act of 2008

    On April 17, 2008, Congressman Kanjorski introduced H.R. 
5840 to improve the development and coordination of federal 
policy on international insurance matters. The provisions of 
the bill could affect, inter alia, how U.S. obligations under 
international trade agreements are implemented. On September 
17, 2008, Chairman Rangel exchanged letters with Chairman of 
the House Financial Services Committee Frank acknowledging the 
jurisdiction of the Ways and Means Committee and its agreement 
to forgo consideration of the bill. On July 9, 2008, the 
Subcommittee on Capital Markets, Insurance and Government-
sponsored Enterprises amended and forwarded the bill to the 
Full Financial Services Committee by voice vote. No further 
action has been taken by the House.

e. Food, Conservation and Energy Act of 2008

    On September 9, 2008, Congressman Bob Etheridge introduced 
H.R. 6849 to modify certain commodity provisions of the Food, 
Conservation and Energy Act of 2008. The bill contained several 
provisions related to international trade. On September 27, 
2008, Chairman Rangel and Chairman of the House Committee on 
Agriculture Peterson exchanged letters acknowledging the 
jurisdiction of the Ways and Means Committee and its agreement 
to forgo consideration of the bill. The House passed the bill 
under a suspension of the rules by voice vote on September 24, 
2008. On September 29, 2008, the Senate passed the bill with an 
amendment by unanimous consent and the House agreed to the 
Senate amendment without objection. President Bush signed the 
bill into law on October 13, 2008 (Public Law No. 110-398).

f. The Softwood Lumber Act of 2008

    During the Conference of H.R. 2419, the ``Food, 
Conservation and Energy Act of 2008,'' the Conferees agreed to 
follow a Senate Amendment and included a provision within the 
jurisdiction of the Ways and Means Committee related to the 
Softwood Lumber Agreement with Canada. Specifically, the 
provision amends the Tariff Act of 1930 by adding a new Title 
VIII, the ``Softwood Lumber Act of 2008.'' The Act directs the 
President to establish a softwood lumber importer declaration 
program. The program requires U.S. importers of softwood lumber 
and softwood lumber products to take certain steps to help the 
United States and its trading partners ensure that trade in 
these products is consistent with the terms of any relevant 
international agreements.
    On May 13, 2008, the House and Senate Conferees filed 
Conference Report 110-627, which contained the Softwood Lumber 
Agreement provision in section 3301. The legislative process 
that followed (including the technical error that led to the 
passage of H.R. 6124, the ``Food, Conservation, and Energy Act 
of 2008'') is described above, in section 7.a.ii. (regarding 
Ethyl Alcohol (Ethanol) Tariff Extensions).

g. The Family Smoking Prevention and Tobacco Control Act

    On February 15, 2007, Congressman Henry A. Waxman 
introduced H.R. 1108, the ``Family Smoking Prevention and 
Tobacco Control Act.'' The bill contained several provisions 
within the jurisdiction of the Committee on Ways and Means, 
including provisions related to international trade. On July 24 
and 25, 2008, Chairman Rangel and Chairman John Dingell of the 
House Committee on Energy and Commerce exchanged letters 
acknowledging the jurisdiction of the Ways and Means Committee 
and its agreement to forgo consideration of the bill as long as 
the Committee's jurisdictional prerogatives are being 
respected. The House passed the bill under a suspension of the 
rules on July 30, 2008, by a vote of 326 to 102. The bill was 
referred to the Senate Committee on Health, Education, Labor, 
and Pensions on August 1, 2008. No further action was taken on 
this legislation in the 110th Congress.

h. Other Select Reports Received by the Committee

    In February 2007, the Committee received the 2007 Subsidies 
Enforcement Joint Report of the U.S. Trade Representative and 
the U.S. Department of Commerce. Section 281(f)(4) of the 
Uruguay Round Agreements Act requires these agencies to submit 
this report annually to the Congress. The report describes the 
Administration's monitoring and enforcement activities 
throughout the previous year.
    In March 2007, the Committee received the 2007 Trade Policy 
Agenda and the 2006 Annual Report of the President of the 
United States on the Trade Agreements Program. Section 163 of 
the Trade Act of 1974, as amended, and sections 122 and 124 of 
the Uruguay Round Agreements Act require USTR to submit this 
report to Congress annually.
    In March 2007, the Committee received the 2007 National 
Trade Estimate Report. This annual report from USTR to Congress 
is mandated by section 181 of the Trade Act of 1974, as amended 
by section 303 of the Trade and Tariff Act of 1984, section 
1304 of the Omnibus Trade and Competitiveness Act of 1988, 
section 311 of the Uruguay Round Trade Agreements Act, and 
section 1202 of the Internet Tax Freedom Act.
    In April 2007, the Committee received a report from the GAO 
entitled Transportation Security: DHS Efforts to Eliminate 
Redundant Background Check Investigations. Publication GAO-07-
756. Washington, D.C.: April 26, 2007.
    In May 2007, the Committee received a report from the GAO 
entitled Changes to Funding Allocation and Eligibility 
Requirements Could Enhance States' Ability to Provide Benefits 
and Services. Publication GAO-07-702. Washington, D.C.: May 
2007.
    In July 2007, the Committee received a report from the ITC 
entitled Certain Textile Articles: Performance Outerwear. 
Publication 3937. Washington, D.C.: July 2007.
    In October 2007, the Committee received a report from the 
ITC entitled Certain Textile Articles: Travel Goods of Textile 
Materials. Publication 3957. Washington, D.C.: October 2007.
    In December 2007, the Committee received a report from the 
ITC entitled Canned Peaches, Pears, and Fruit Mixtures: 
Conditions of Competition Between U.S. and Principal Foreign 
Supplier Industries. Publication 3972. Washington, D.C.: 
December 2007.
    In February 2008, the Committee received the 2008 Subsidies 
Enforcement Joint Report of the U.S. Trade Representative and 
the U.S. Department of Commerce. Section 281(f)(4) of the 
Uruguay Round Agreements Act requires these agencies to submit 
this report annually to the Congress. The report describes the 
Administration's monitoring and enforcement activities 
throughout the previous year.
    In March 2008, the Committee received the 2008 Trade Policy 
Agenda and the 2007 Annual Report of the President of the 
United States on the Trade Agreements Program. Section 163 of 
the Trade Act of 1974, as amended, and sections 122 and 124 of 
the Uruguay Round Agreements Act require USTR to submit this 
report to Congress annually.
    In March 2008, the Committee received the 2008 National 
Trade Estimate Report. This annual report from USTR to Congress 
is mandated by section 181 of the Trade Act of 1974, as amended 
by section 303 of the Trade and Tariff Act of 1984, section 
1304 of the Omnibus Trade and Competitiveness Act of 1988, 
section 311 of the Uruguay Round Trade Agreements Act, and 
section 1202 of the Internet Tax Freedom Act.
    In November 2008, the Committee received a report from the 
ITC entitled Monitoring of U.S. Imports of Tomatoes. 
Publication 4048. Washington, D.C.: November 2008.
    In November 2008, the Committee received a report from the 
ITC entitled Monitoring of U.S. Imports of Peppers. Publication 
4049. Washington, D.C.: November 2008.

                 C. Legislative Review of Health Issues


          1. BILLS ENACTED INTO LAW DURING THE 111TH CONGRESS

a. TMA, Abstinence Education, and QI Programs Extension Act of 2007 
        (P.L. 110-90)

    On September 29, 2007, the ``TMA, Abstinence Education and 
QI Programs Extension Act of 2007'' (P.L. 110-90) was signed 
into law. The bill extended authorization for several expiring 
Federal programs through December 2007, and also expanded 
application of the SSI access to financial institutions 
information initiative to Medicaid. Specifically, the act 
authorized TMA (an extension of Medicaid benefits for certain 
low-income families who would otherwise lose coverage due to 
income changes) through December 31, 2007. The Act also (1) 
extended the Abstinence Education program through December 31, 
2007; (2) extended the QI Medicare Savings Program through 
December 31, 2007, and allocated $100 million to the program; 
and (3) required the Secretary of Health and Human Services to 
use the current process that SSA uses to access to information 
held by financial institutions pilot project to be utilized for 
verification of assets for Medicaid eligibility of individuals 
not applying for Supplemental Security Income (SSI). Extension 
to Medicaid is limited to States in which the SSI pilot project 
is operating. This provision is effective for the period 
beginning October 1, 2007 and ending September 30, 2012.

b. Medicare, Medicaid, and SCHIP Extension Act of 2007 (P.L. 110-173)

    On December 29, 2007, the President signed S. 2499, the 
Medicare, Medicaid, and SCHIP Extension Act of 2007 (P.L. 110-
173). This Act was passed by the House on December 19, 2007, 
and by a voice vote in the Senate on December 18, 2007. The Act 
makes changes to the nation's three major public health 
programs, Medicare, Medicaid, and the State Children's Health 
Insurance Program (SCHIP), as well as other federally funded 
programs.
    The most prominent provisions in the Act were to (1) 
suspend the Medicare physician payment cut scheduled to take 
effect and (2) provide SCHIP funding through March 2009. P.L. 
110-173 mandates a 0.5% increase in the Medicare physician fee 
schedule for the six-month period from January 1, 2008, through 
June 30, 2008, and provides FY2008 and FY2009 SCHIP funding 
allotments through March 31, 2009. The Act also extends a 
number of expiring provisions and programs. These extensions 
affect Medicare plans and providers and Medicaid payments and 
programs. The Act also includes funding for some miscellaneous 
activities.
    The Act's Medicare provisions include incentive payments 
for certain physicians, and extensions of current law 
provisions for Medicare Special Needs Plans and cost-based 
plans. Additional extensions affect Medicare payments for other 
services and providers including certain rural providers; 
physical and occupational therapy services and speech language 
pathology services; brachytherapy services, and therapeutic 
radiopharmaceuticals. The Act also provides regulatory relief 
for inpatient rehabilitation facilities and long term care 
hospitals (LTCHs), establishes a three-year moratorium on new 
LTCHs and advances implementation of Medicare Payment Advisory 
Commission recommendations for LTCHs on facility and patient 
criteria. The Act also includes Medicaid provisions designed to 
extend certain payments and programs, such as Medicaid 
disproportionate hospital share (DSH) allotments for Tennessee 
and Hawaii, the Transitional Medical Assistance (TMA) program, 
and the Qualifying Individual (QI) program, among other 
provisions.
    Miscellaneous provisions include using Medicare funds to 
make grants to State Health Insurance Assistance Programs, Area 
Agencies on Aging, and Aging and Disability Resource Centers. 
The Act also reauthorizes and extends funding for certain 
diabetes grants made under the Public Health Service Act and 
clarifies that the Medicare Payment Advisory Commission 
(MedPAC) is a congressional support agency.
    The Act provides a number of offsets to pay for the 
spending increases, including a reduction in the Medicare 
Advantage stabilization fund in 2012 and market basket 
reductions for inpatient rehabilitation facilities and long-
term care hospitals. The Act also includes provisions affecting 
Medicare's responsibility as a secondary payer for certain 
covered services, payments for most Medicare part B drugs, and 
payments for certain diagnostic laboratory tests.

c. Genetic Information Nondiscrimination Act of 2008 (GINA) (P.L. 110-
        233)

    On January 16, 2007, Representative Louise Slaughter 
introduced H.R. 493, the Genetic Information Nondiscrimination 
Act (GINA). It passed the House under suspension of the rules 
on April 25, 2007, passed the Senate almost one year later, as 
an amendment in the nature of a substitute, on April 24, 2008. 
H.R. 493, as amended by the Senate, passed the House on May 1, 
2008, and was signed into law on May 21, 2008 (P.L. 110-233). 
GINA provides protections against discrimination in health 
insurance and employment based on genetic information.
    Title I, Genetic Nondiscrimination in Health Insurance, 
amends the Employee Income Retirement Security Act of 1974, the 
Public Health Service Act, and the Internal Revenue Code of 
1986, using the same model as the Health Insurance Portability 
and Accountability Act of 1996 to prohibit discrimination based 
on genetic information in health insurance. GINA prohibits 
insurers from engaging in three practices: (1) using genetic 
information about an individual to adjust a group plan's 
premiums, or, in the case of individual plans, to deny 
coverage, adjust premiums, or impose a preexisting exclusion 
requirement; (2) requiring or requesting genetic testing; and 
(3), requiring, requesting, or purchasing genetic information 
for purposes of underwriting.
    Title II, Prohibiting Employment Discrimination on the 
Basis of Genetic Information, prohibits employers from 
discriminating in employment decisions, including hiring, 
firing, job assignments and promotions, on the basis of genetic 
information. Additionally, GINA prohibits employers from 
requesting, requiring, or purchasing genetic information, with 
certain exceptions.

d. Medicare Improvements for Patients and Providers Act (MIPPA) (P.L. 
        110-275)

    The Medicare Improvements for Patients and Providers Act 
(MIPPA) was originally passed by the House on June 24, 2008, 
under suspension of the rules by a vote of 355 to 59. On July 
9, 2008, the Senate passed the bill without amendment by 
unanimous consent and the bill was cleared for the White House. 
On July 15, 2008, President Bush vetoed the bill. On the same 
day, the House voted 383-41 to override the veto. The Senate 
later voted 70-26 to override the veto and MIPPA became law on 
July 15, 2008 (P.L. 110-275).
    MIPPA freezes physician fees at the June 2008 level until 
January 2009. In January 2009, fees will increase by 1.1%. In 
2010, the statutory reduction will again apply, resulting in an 
estimated 21% reduction in Medicare physician fees, according 
to the Congressional Budget Office (CBO). In addition to the 
changes to Medicare physician fees, the Act also makes further 
changes to Medicare, Medicaid, and other programs under the 
Social Security Act. For example, MIPPA (1) adds ``additional 
preventive services'' to the list of Medicare-covered 
preventive services; (2) lowers the cost-sharing paid by 
beneficiaries for mental health services such that by 2014, 
beneficiary cost-sharing will be set at the same level charged 
for other Part B services; (3) increases the assets tests 
applicable under the Medicare Savings program (MSP) to those 
applicable under the low-income subsidy program under the 
Medicare Part D prescription drug program; (4) repeals the 
current law requirement for competitive bidding for clinical 
laboratory services; (5) makes changes to low-income programs 
for Medicare and Medicaid beneficiaries; (6) makes changes to 
Medicare provisions for hospitals, renal dialysis coverage, and 
Medicare prescription drug coverage, among others; (7) ensures 
accountability for healthcare accrediting organizations; (8) 
requires private fee-for-service plans in certain counties to 
develop provider networks; (9) reduces overpayments to Medicare 
Advantage plans; (10) expands a medical home demonstration 
program; and (11) provides incentives for providers who adopt 
and use electronic prescribing technology. Finally, MIPPA 
terminates all contracts under the first round of the Durable 
Medical Equipment, prosthetics, orthotics, and other medical 
supplies (DMEPOS) competitive acquisition program, set to start 
July 1, 2008. It reforms the program and requires the Secretary 
to re-bid the first round in 2009 and delays the second round 
of bidding until 2011.

e. Paul Wellstone and Pete Domenici Mental Health Parity and Addiction 
        Equity Act of 2008 (P.L. 110-343)

    On October 3, 2008, President Bush signed into law H.R. 
1424, which among other things expanded federal mental health 
parity requirements on group health insurance providers. This 
Act requires group health insurers who provide coverage for 
mental illnesses to provide that coverage on par with that for 
physical illnesses. The parity applies to financial limits 
(e.g., co-pays, annual and lifetime limits) and treatment 
limits (e.g., in- and out-of-network coverage). The provisions 
of this law go into effect for health plan years beginning 
after October 3, 2009.
    In the first session of the 110th Congress, Senator 
Domenici introduced the Mental Health Parity Act of 2007 (S. 
558). This bill would have amended the Employee Retirement 
Income Security Act (ERISA) and the Public Health Service Act 
(PHSA). Representative Patrick Kennedy introduced the Paul 
Wellstone Mental Health and Addiction Equity Act (H.R. 1424), 
which would have amended ERISA, the PHSA, and the Internal 
Revenue Code (IRC). While the bills were largely similar, they 
had some key differences. The House bill passed on March 5, 
2008 with a vote of 268-148, while the Senate bill passed by 
unanimous consent on September 18, 2007.
    In June 2008, House and Senate lawmakers reached a 
compromise on the mental health parity provisions to be 
included in the final bill. On September 23, 2008, the House 
introduced and passed the compromise provisions as H.R. 6983, 
and included deferred tax breaks on worldwide interest 
allocation as the offset. The Senate did not take any action on 
this bill. On September 29, 2008, the Senate included the text 
of H.R. 6983 in H.R. 6049, the Energy Improvement and Extension 
Act of 2008, although the specific offset for mental health 
parity was stripped. The House did not take any action on this 
bill. The legislation was ultimately enacted in H.R. 1424, 
which became the vehicle to pass the Emergency Economic 
Stabilization Act of 2008.

f. Michelle's Law (P.L. 110-381)

    On October 9, 2008, the President signed into law, 
Michelle's Law. The purpose of H.R. 2851, Michelle's Law, is to 
ensure continuity of health coverage for students, who because 
of a serious illness or injury, can no longer maintain student 
status. The bill would extend the ability of dependents to 
remain on their parents' plan for a limited period of time 
during a medical leave from student status and would apply to 
all health insurance products, whether sold to individuals or 
offered as a workplace benefit, and whether or not the employer 
plan is self-insured. More protective State laws would continue 
to remain in effect. The bill does not disturb underlying 
Federal protections relating to rights and responsibilities of 
plans, issuers, or individuals. The law amends the Employee 
Retirement Income Security Act of 1974 (ERISA), the Public 
Health Service Act (PHSA), and the Internal Revenue Code (IRC) 
to prohibit group health plans and individual insurance plans 
from terminating coverage of a dependent child due to a 
medically necessary leave of absence from a postsecondary 
education institution or any other change in enrollment at that 
institution that commences while such child is suffering from a 
severe illness or injury and causes such child to lose full-
time student status before the earlier of: (1) one year after 
the first day of the medically necessary leave of absence; or 
(2) the date on which such coverage would otherwise terminate 
under the terms of the plan.

                   2. OTHER MAJOR LEGISLATIVE ACTIONS

a. H.R. 3162, the Children's Health and Medicare Protection (CHAMP) Act 
        of 2007

    On August 1, 2007, the House passed H.R. 3162, the 
Children's Health and Medicare Protection (CHAMP) Act of 2007. 
The bill would reauthorize and increase funding levels and 
state grant distributions for the State Children's Health 
Insurance Program (SCHIP) and make changes to the Medicare and 
Medicaid programs. The major SCHIP provisions would provide 
permanent authority for program appropriations and make changes 
to the Medicare and Medicaid programs. Other major SCHIP 
provisions would provide more options and incentives to states 
to increase the number of children covered by SCHIP and 
Medicaid, modify the citizenship verification process, and 
change minimum benefit requirements.
    The bill's Medicare provisions would implement a 0.5% 
increase in Medicare physician fees for 2008 and 2009 while 
creating six categories of physician services for which annual 
updates would be considered separately, establish bonus 
payments for physicians practicing in counties with low 
Medicare per capita expenditures, require the Secretary to 
implement a resource use feedback program for physicians to 
identify efficient providers, expand a medical home 
demonstration project, and require the Centers for Medicare and 
Medicaid Services (CMS) to modify physician payment localities, 
beginning with California. Other Medicare provisions would 
establish parity between Medicare Advantage payment rates and 
Medicare fee-for-service; eliminate Medicare cost-sharing for 
certain preventive benefits; eliminate the market basket update 
for part or all of FY2008 for Medicare payments for skilled 
nursing facilities, home health agencies, and long-term care 
hospitals; and reduce the annual update for certain hospitals. 
It would also establish a bundled payment system for Medicare 
renal dialysis services and would make a number of changes to 
the Low-Income Subsidy Program for Medicare Part D, including 
eliminating cost-sharing requirements for certain full benefit 
dual eligibles receiving Medicaid-covered long-term care 
services.
    Medicaid provisions in the bill would make changes to 
rebate payments for certain drugs, prohibit the implementation 
of the new health opportunity account demonstration authorized 
under the Deficit Reduction Act of 2005 (DRA, P.L. 109-171), 
and make other changes. Additional miscellaneous provisions 
would establish a Center for Comparative Effectiveness Research 
within the Agency for Healthcare Research and Quality (AHRQ),--
funded by public contributions from the Medicare Parts A, B, 
and D trust fund accounts and fees imposed on private health 
insurance plans, require CMS to develop a plan for the 
implementation of health information technology under Medicare, 
and establish a national entity to coordinate development of 
health care measures.
    While this legislation did not pass in the Senate, it was 
the basis for H.R. 976, the Children's Health Insurance Program 
Reauthorization Act of 2007, H.R. 3963, the Children's Health 
Insurance Program Reauthorization Act of 2007 and the Medicare 
Improvements for Patients and Providers Act of 2008 (P.L. 110-
275).

                        3. OTHER HEALTH MATTERS

a. Subcommittee Hearings

            i. President's Budget Proposals
    On February 13, 2007, and February 14, 2008, the 
Subcommittee held hearings to receive testimony from the 
Centers for Medicare and Medicaid Services regarding the 
Medicare portions of the President's Fiscal year 2008 and 2009 
Budget proposals.
            ii. MedPAC's March Reports on Medicare Payment Policies
    On March 1, 2007, and March 11, 2008, the Subcommittee held 
hearings to receive testimony from the Medicare Payment 
Advisory Commission (MedPAC) regarding their annual 
recommendations for Medicare payment policies.
            iii. Annual Reports of the Boards of Trustees of the 
                    Federal Hospital Insurance and Supplementary 
                    Medical Insurance Trust Funds
    On April 25, 2007, and April 1, 2008, the Subcommittee held 
hearings to receive testimony from the Chief Actuary of the 
Centers for Medicare and Medicaid Services on the financial 
status of the Medicare trust funds.
            iv. Oversight and Medicare Program Integrity
    On March 8, 2007, the Subcommittee on Health held a hearing 
jointly with the Subcommittee on Oversight to receive testimony 
from the Office of the Inspector General of the Department of 
Health and Human Services, the office of Financial Management 
of the Centers for Medicare and Medicaid Services and the 
Department of Justice on the prevention, detection, 
investigation and prosecution of Medicare fraud, waste and 
abuse. On May 15, 2007, the Subcommittee held a hearing to 
receive testimony from the Centers for Medicare and Medicaid 
Services, the Medicare Payment Advisory Commission and health 
care professionals on issues related to payment accuracy and 
legislative and regulatory payment refinements for the Medicare 
payment systems for inpatient hospitals, outpatient hospitals, 
long-term care hospitals, inpatient rehabilitation facilities, 
and skilled nursing facilities. On June 26, 2007, the 
Subcommittee held a hearing to receive testimony from Members 
of Congress, the Centers for Medicare and Medicaid Services, 
the Office of the Inspector General of the Department of Health 
and Human Services, the Food and Drug Administration and health 
care professionals on Safety Concerns regarding the dosing of 
erythropoiesis stimulating agents (ESAs), variations in 
utilization of ESAs across providers, and reimbursement issues. 
On November 15, 2007, the Subcommittee held a hearing to 
receive testimony from law enforcement, researchers and health 
care professionals on trends in nursing home ownership and the 
quality of, and accountability for, patient care, including the 
effect of the relatively new trend of private equity-ownership. 
On May 6, 2008, the Subcommittee held a hearing to receive 
testimony from the Centers for Medicare and Medicaid Services, 
the Government Accountability Office, researchers and 
stakeholders on the implementation and administration of 
Medicare's DMEPOS competitive bidding program.
            v. Medicare Advantage
    On March 21, 2007, the Subcommittee held a hearing to 
receive testimony from the Centers for Medicare and Medicaid 
Services, the Medicare Payment Advisory Commission and the 
Congressional Budget Office on the structure and costs of the 
Medicare Advantage Program. On May 22, 2007, the Subcommittee 
held a hearing to receive testimony from the Centers for 
Medicare and Medicaid Services, the Medicare Payment Advisory 
Commission and other stakeholders regarding Medicare Advantage 
Private Fee-For-Service Plans. On October 16, 2007, the 
Subcommittee held a hearing jointly with the Oversight 
Subcommittee to receive testimony from the Government 
Accountability Office, the Centers for Medicare and Medicaid 
Services and other stakeholders on statutorily required audits 
of Medicare Advantage plan bids. On February 28, 2008, the 
Subcommittee held a hearing to receive testimony from the 
Centers for Medicare and Medicaid Services, the Government 
Accountability Office and other stakeholders on the structure, 
costs and oversight of the Medicare Advantage program.
            vi. Medicare Improvements for Beneficiaries
    On May 3, 2007, the Subcommittee held a hearing to receive 
testimony from Members of Congress, the Centers for Medicare 
and Medicaid Services, the Social Security Administration, 
health care professionals and beneficiaries on the current 
state of the Part D Low-Income Subsidy, the Medicare Savings 
Programs, and opportunities to increase enrollment and expand 
eligibility in these programs. On June 21, 2007, the 
Subcommittee held a hearing to receive testimony from the 
Centers for Medicare and Medicaid Services, the Government 
Accountability Office and health care professionals on 
beneficiary protection issues in Medicare Part D, and possible 
statutory changes necessary to improve the program for 
beneficiaries and taxpayers.
            vii. Health Care Reform
    On April 15, 2008, the Subcommittee held a hearing to 
receive testimony from former Senator Dave Durenberger, 
researchers and stakeholders on the instability of health 
coverage in America. On May 14, 2008, the Subcommittee held a 
hearing to receive testimony from the Government Accountability 
Office, researchers and stakeholders on Health Savings Accounts 
(HSAs) and Consumer-Driven Health Care. On June 10, 2008, the 
Subcommittee held a hearing to receive testimony from Members 
of Congress, researchers and stakeholders on addressing 
disparities in health and health care. On July 15, 2008, the 
Subcommittee held a hearing to receive testimony from state 
officials, researchers and stakeholders on health care reform 
lessons learned at the state level and the need for a national 
solution to health reform. On September 24, 2008, the 
Subcommittee held a hearing to receive testimony from state 
insurance officials, researchers and stakeholders on the 
challenges of the private health insurance market.
            viii. Medicare Payments to Physicians and the Sustainable 
                    Growth Rate (SGR)
    On March 6, 2007, the Subcommittee held a hearing to 
receive Testimony from the Medicare Payment Advisory Commission 
and former administrators of the Centers for Medicare and 
Medicaid Services on a report from MedPAC on the Sustainable 
Growth Rate (SGR), the history of Medicare's reimbursement for 
physician services and the role of expenditure targets. On May 
10, 2008, the Subcommittee held a hearing to receive testimony 
from the Centers for Medicare and Medicaid Services, the 
Government Accountability Office, the Medicare Payment Advisory 
Commission and health care professionals on options to improve 
quality and efficiency among Medicare physicians. On September 
11, 2008, the Subcommittee held a hearing to receive testimony 
from former Administrators of the Centers for Medicare and 
Medicaid Services on alternative ways to reform Medicare's 
physician payment system.
            ix. Health Information Technology
    On July 24, 2008, the Subcommittee held a hearing to 
receive testimony from the Congressional Budget Office and 
health care professionals on options to encourage the adoption 
and use of health information technology.
            x. Comparative Effectiveness Research
    On June 12, 2007, the Subcommittee held a hearing to 
receive testimony from Members of Congress, the Medicare 
Payment Advisory Commission, the Agency for Healthcare Research 
and Quality, the Congressional Budget Office and health care 
professionals on strategies to increase information on clinical 
comparative effectiveness.
            xi. Mental Health Parity
    On March 27, 2007, the Subcommittee held a hearing to 
receive testimony from Members of Congress and health care 
professionals on legislation and options to provide mental 
health and substance abuse treatment parity in private health 
insurance and in Medicare.
            xii. Genetic Non-discrimination
    On March 14, 2007, the Subcommittee held a hearing to 
receive testimony from the National Institutes of Health (NIH), 
researchers and health care professionals on the need for a 
federal policy to protect genetic information and legislation 
to achieve this purpose, specifically, the Genetic Information 
Non-Discrimination Act.

            D. Legislative Review of Social Security Issues


 1. H.R. 3046, THE ``SOCIAL SECURITY NUMBER PRIVACY AND IDENTITY THEFT 
                        PREVENTION ACT OF 2007''

    On June 21, 2007 the Subcommittee on Social Security held a 
hearing to examine the large and growing problem of identity 
(ID) theft. The hearing found that (1) the Federal Trade 
Commission (FTC) reports there are as many as 10 million 
victims annually, (2) businesses lose $50 billion annually to 
ID theft-related fraud, (3) individual victims' lives and 
credit records can be devastated and it typically takes years 
to recover, (4) FTC estimates ID theft costs victims $5 billion 
a year, (5) ID thieves have easy access to Social Security 
Numbers (SSNs), (6) SSNs are used by many different companies 
and governmental entities for many non-Social Security-related 
purposes, as ID numbers, or simply as a key used conveniently 
to track individuals among multiple sources of information, (7) 
SSNs are present in many publicly-available local government 
documents, such as property deeds, and judicial records such as 
divorce proceedings, (8) while these documents have been 
publicly available for decades, they have been made available 
in electronic form to the public only recently and the Internet 
has made them globally accessible, (9) government use of SSNs 
is loosely regulated; private sector use is only regulated in 
certain industries, (10) there is no single law governing the 
use of SSNs, and (11) financial services regulations that 
protect privacy have exceptions that continue to allow SSNs to 
be easily available, and identity thieves can exploit this. 
Based on these findings, on July 16, 2007, Chairman Michael R. 
McNulty (D-NY) and Ranking Member Sam Johnson (R-TX) introduced 
H.R. 3046, the ``Social Security Number Privacy and Identity 
Theft Prevention Act of 2007,'' in order to enhance SSN privacy 
and to prevent identity theft.
    On September 24, 2007, H.R. 3046 was amended in the full 
Committee on Ways and Means and favorably reported with a roll 
call vote of 41 yeas to 0 nays (with a quorum being present). 
As amended, the ``Social Security Number Privacy and Identity 
Theft Prevention Act of 2007'' would amend title II of the 
Social Security Act to: (1) specify restrictions on the sale 
and display to the general public of Social Security account 
numbers (SSNs) by governmental entities; (2) prohibit the 
display of SSNs (or any derivatives) on checks issued for 
payment by such entities; (3) prohibit governmental entity 
display of SSNs (or any derivatives) on employee identification 
cards or tags (IDs); (4) prohibit access to the SSNs of other 
individuals by prisoners employed by governmental entities; (5) 
prohibit the selling, purchasing, or displaying of SSNs (with 
certain exceptions) to the general public, or the acquisition 
or use of any individual's SSN to locate or identify such 
individual with the intent to physically injure or harm him or 
her, or to use the individual's ID for any illegal purpose by 
any person; (6) provide for uniform standards for truncation of 
an SSN; and (7) establish new criminal penalties for the misuse 
of SSNs.
    This legislation would also enhance civil and criminal 
penalties for misuse of the SSN, increase enforcement 
authority, and require a study on misuse of SSN for 
authentication.

          2. H.R. 5140, THE ``ECONOMIC STIMULUS ACT OF 2008''

    On January 28, 2008, H.R. 5140, the ``Economic Stimulus Act 
of 2008,'' a bi-partisan bill, co-sponsored by the House 
Leadership and the Chairmen and Ranking Members of the House 
Committees on Ways and Means and Financial Services was 
introduced. On the same day, H.R. 5140 was referred to the 
House Committee on Ways and Means and the House Committee on 
Financial Services. On January 29, 2008, Chairman Charles B. 
Rangel moved to suspend the rules and pass the bill. The 
legislation was agreed to in House by the Yeas and Nays: (\2/3\ 
required): 385-35, 1 Present (Roll no. 25). On February 7, 
2008, the bill passed the Senate by Yea-Nay Vote of 81-16 with 
an amendment (Record Vote Number: 10). That same day, the House 
accepted the Senate amendment, resolving all differences, by 
the Yeas and Nays: 380-34 (Roll no. 42). On February 13, 2008, 
this legislation was signed by President George W. Bush and 
became Public Law No. 110-185.
    In Section (e) ``Appropriations To Carry Out Rebates,'' the 
law immediately provided funding for the Social Security 
Administration ($31,000,000, to remain available until 
September 30, 2008) to cover increased administrative costs of 
SSA generated by the rebate program. Financial payments 
provided by the stimulus package were payable to many Social 
Security beneficiaries who generally do not file tax returns, 
however, they would need to file forms with the IRS to be 
eligible. To encourage beneficiaries to file a tax return for 
2007, SSA developed several outreach activities; the agency 
responded to beneficiaries inquiries; and reissued forms 1099 
which report annual Social Security benefit payments.

              3. H.R. 5602, THE ``FAIR SHARE ACT OF 2008''

    On March 13, 2008, the ``Fair Share Act of 2008'' was 
introduced and on that same day it was referred to the 
Committee on Ways and Means. On April 14, 2008, the Committee 
on Ways and Means voted to report H.R. 5719, the ``Taxpayer 
Assistance and Simplification Act of 2008,'' which was 
introduced by Chairman Charles B. Rangel and included the 
entirety of H.R. 5602. The ``Fair Share Act of 2008'' would 
amend the Internal Revenue Code and title II (Old Age, 
Survivors, and Disability Insurance Benefits) of the Social 
Security Act to stop domestic federal contractors from using 
foreign subsidiaries to evade Social Security and other 
employment taxes. On April 15, 2008, H.R. 5719 was agreed to in 
the full House. The bill passed by recorded vote: 238-179 (Roll 
no. 190) and was referred to the Senate on April 16, 2008, 
where it was sent to the Committee on Finance.

   4. H.R. 6633, THE ``EMPLOYEE VERIFICATION AMENDMENT ACT OF 2008''

    On July 29, 2008, H.R. 6633, the ``Employee Verification 
Amendment Act of 2008'' was introduced. The bill was officially 
referred to the Committees on Judiciary, Education and Labor, 
and Ways and Means on that same day. On July 31, 2008, the 
House passed this legislation on motion to suspend the rules 
and pass the bill which was agreed to by the \2/3\ required (a 
vote of 407-2, 4 Present) (Roll no. 557). The bill would extend 
the basic pilot employment eligibility confirmation program, 
now known as E-Verify, for an additional five years, until 
November 30, 2013. It sought to amend the Illegal Immigration 
Reform and Immigrant Responsibility Act of 1996. On August 1, 
2008, the bill was referred to the Senate Committee on the 
Judiciary.
    This bill would direct the Commissioner of Social Security 
and the Secretary of Homeland Security to enter into agreements 
which shall: (1) provide funds to the Commissioner for the E-
Verify program's full costs to SSA in quarterly advances; and 
(2) require an annual accounting and reconciliation of costs 
incurred and funds provided. In addition, this legislation 
would provide for funding continuation in the absence of an 
agreement. Lastly, this bill would require that the Government 
Accountability Office (GAO) conduct studies regarding: (1) 
erroneous tentative nonconfirmations under the E-Verify 
program; and (2) such program's effects on small entities.

  5. EXPIRED PROVISIONS RELATED TO TITLE II OF THE SOCIAL SECURITY ACT

a. The Ticket to Work and Work Incentives Advisory Panel

    The Ticket to Work and Work Incentives Advisory Panel, a 
federal advisory panel created by P.L. 106-170, provided a 
final report to the President and Congress on December 17, 
2007. The panel was required to file its final report by 
December 17, 2007, and terminate 30 days later.

   E. Legislative Review of Income Security and Family Support Issues


                       1. UNEMPLOYMENT INSURANCE

a. Unemployment Insurance Modernization Act

    H.R. 2233, the ``Unemployment Insurance Modernization Act'' 
was introduced on May 9, 2007, by Subcommittee on Income 
Security and Family Support Chairman McDermott. The legislation 
would have distributed funds to encourage, assist and reward 
States for removing barriers that limit coverage for low-wage 
and part-time workers, as well as workers leaving work for 
compelling family reasons, and for helping dislocated workers 
increase their skills.
    H.R. 2233 would have provided up to $7 billion from the 
Federal Unemployment Account for incentive payments to be 
distributed between FY2008 through FY2012 to States meeting 
specific criteria related to their unemployment insurance 
systems. Every State's potential maximum share of this 
distribution would have been determined under the same criteria 
used to disburse current-law Reed Act distributions (amount of 
disbursement proportionate to FUTA taxes paid in that State).
    A State would have been eligible for one-third of its share 
of the UI Modernization Act incentives when State law (as 
certified by the Department of Labor) included provisions for 
counting an applicant's most recent wages (from the last 
completed quarter) when determining eligibility for UI 
benefits. At State option, this alternative base period may 
have been used only after an initial determination of 
ineligibility. A State would have been eligible for the 
remaining two-thirds of its share of the UI Modernization Act 
incentives when a State was in compliance with the alternative 
base period requirement and when State law (as certified by the 
Department of Labor) met at least two of the following three 
conditions: (1) the State does not deny UI to an individual 
solely because the person is seeking part-time work (a State 
may limit application of this provision to former part-time 
workers); (2) when determining UI eligibility, the State 
permits good cause allowance for voluntary employment 
separations that relate directly to compelling family reasons, 
including at least the following: (a) avoidance of domestic 
violence; (b) caring for an ill or disabled family member; and 
(c) following a spouse whose employment has been relocated to a 
different locality; and (3) the State provides at least 26 
weeks of training assistance benefits to claimants who: (a) 
have been dislocated from a declining occupation; (b) have 
exhausted regular UI; (c) are in a State-approved training 
program related to a high-demand occupation; and (d) are making 
satisfactory progress in such a program.
    H.R. 2233 also would have provided $100 million per year in 
special Reed Act distributions to the States in FY2008 through 
FY2012 for the purpose of administering and implementing the 
reforms under the UI Modernization Act and to make other 
improvements in the administration of the unemployment 
insurance and employment services systems. Each State would 
have automatically received its share of the $100 million 
annually based on the State's FUTA tax contributions.
    At a September 19, 2007, Subcommittee on Income Security 
and Family Support hearing, witnesses testified about the need 
to modernize the Unemployment Insurance system to reduce 
barriers for jobless workers. Witnesses included a 
representative from the Government Accountability Office, a 
State administrator and policy experts.
    Provisions from H.R. 2233 were included in Title III of the 
Committee on Ways and Means' reported version of H.R. 3920, the 
Trade and Globalization Assistance Act of 2007. The bill was 
reported out of the full Committee as amended by a recorded 
vote of 26-14 on October 24, 2007. The House adopted H.R. 3920 
on October 31, 2007 by a vote of 264-157, and it was sent to 
the Senate on November 5, 2007.

b. Extension of Unemployment Benefits

    H.R. 5749, the Emergency Extended Unemployment Compensation 
Act, introduced on April 9, 2008 by Subcommittee on Income 
Security and Family Support Chairman McDermott and 
Representative Phil English, would have extended unemployment 
benefits in every State by 13 weeks, and provided an additional 
13 weeks of benefits in States with high unemployment. The 
extended benefits program would have been in effect through 
January 2009. All benefits would have been paid out of the 
Federal unemployment trust funds.
    The Subcommittee on Income Security and Family Support held 
a hearing on April 10, 2008 that assessed the need to extend 
unemployment benefits during the economic downturn. The invited 
witnesses included policy experts from the Brookings 
Institution, the National Employment Law Project, the Economic 
Policy Institute, and the American Enterprise Institute.
    The full Committee on Ways and Means considered H.R. 5749 
on April 16, 2008, and reported it favorably with amendment by 
a recorded vote of 24-13. H.R. 5749 was passed by the House on 
June 12, 2008, 274-137.
    Provisions from H.R. 5749 were included in title IV of H.R. 
2642, the Supplemental Appropriations Act, 2008 (the war 
supplemental). Title IV of H.R. 2642 extended unemployment 
benefits for 13 additional weeks in all States. H.R. 2642 was 
adopted in the House on June 19, 2008 and was signed into law 
on June 30, 2008 (P.L. 110-252).
    H.R. 6867, the Unemployment Compensation Extension Act of 
2008, was introduced by Subcommittee on Income Security and 
Family Support Chairman McDermott on September 10, 2008. The 
measure provides seven additional weeks of Federally-funded 
extended benefits in every State, plus another 13 weeks of 
benefits for workers in States with high unemployment rates 
(defined as a three-month average of 6 percent or higher). In 
combination with P.L. 110-252, the measure provides a maximum 
of 33 weeks of extended unemployment benefits. H.R. 6867 was 
passed by the House on October 3, 2008 (368-28) and was signed 
into law on November 21, 2008 (P.L. 110-449).

c. Curbing Unemployment Insurance Fraud

    P.L. 110-328, the ``SSI Extension for Elderly and Disabled 
Refugees Act,'' amends the Internal Revenue Code to require the 
Secretary of the Treasury to offset overpayments of Federal 
taxes by any amount owed to a State for unemployment 
compensation debt due to fraud. P.L.-110-328 was passed by 
voice vote in the House on July 11, 2008 and was signed into 
law on September 30, 2008.

                            2. CHILD WELFARE

a. Child Welfare Reform

    H.R. 6307, the ``Fostering Connections to Success Act'' was 
introduced on June 19, 2008 by Subcommittee on Income Security 
and Family Support Chairman McDermott and Ranking Member 
Weller. H.R. 6307 would have extended Federal assistance to 
relatives who assume legal guardianship of eligible children 
for whom they have cared as foster parents, extended Federal 
foster care payments up to the age of 21 for foster children, 
and provided direct Federal foster care and adoption funding to 
tribal governments who run their own child welfare programs. 
The bill also would have improved the oversight of the health 
care and educational needs of foster children and increased 
access to Federal funding for training child welfare workers.
    Prior to the bill's introduction, the Subcommittee on 
Income Security and Family Support held a hearing on February 
27, 2008 that addressed several proposals aimed at improving 
the child welfare system. Witnesses included Members of 
Congress, representatives from State agencies, professional 
advocates, and a former foster care youth.
    H.R. 6307 was adopted by the House on June 24, 2008 by a 
voice vote. Following bicameral negotiations, a modified 
version of H.R. 6307, H.R. 6893, the ``Fostering Connections to 
Success and Increasing Adoptions Act of 2008,'' was introduced 
on September 15, 2008. It passed the House on September 17, 
2008 by a voice vote. The bill was approved in the Senate by 
unanimous consent and was signed into law on October 7, 2008 
(P.L. 110-351).
    P.L. 110-351 amends Part E of Title IV of the Social 
Security Act to provide Federal reimbursement to States 
choosing to provide assistance to grandparents and other 
relatives who become legal guardians of children for whom they 
have cared as foster parents. It also provides grants to 
promote kinship navigator programs and other initiatives 
designed to connect and help relative caregivers. Furthermore, 
at State option, the new law allows Federal foster care 
assistance to continue up to the age of 21 for youth engaged in 
school, work, or other constructive activities. Additionally, 
the measure provides Federal adoption assistance to all special 
needs children (phased in on the basis of age and time in 
care), rather than only those children whose birth parents were 
eligible for cash welfare under the rules in place in 1996.
    The law includes a number of other important provisions to 
improve the well-being of foster children, including: 
requirements to improve the oversight of the health care needs 
of every foster child (covering their assessment, treatment, 
medical records, and medication); a required plan for the 
educational stability of every foster child and assurance of 
their school attendance; a requirement that reasonable efforts 
be made to place siblings together in foster, adoptive or 
guardianship placements; enhanced Federal funding for training 
to cover private child welfare workers and court personnel; 
direct Federal foster care and adoption assistance to tribal 
governments for children in their care; and an extension and 
improvement of the Adoption Incentives Program.

b. Modification of Foster Care Rate for the District of Columbia

    H.R. 6307 included a modification to the foster care 
matching rate for the District of Columbia in order to conform 
that program's matching rate to the rate provided under 
Medicaid. This same provision was enacted into law as part of 
the ``Medicare Improvements for Patients and Providers Act of 
2008'', P.L. 110-275.

c. Child Welfare Resolutions

    H. Res. 299, a resolution that expressed the sense of the 
House of Representatives that Congress should increase public 
awareness of child abuse and neglect and should continue to 
work with the States to reduce the incidence of child abuse and 
neglect through such programs as the Child Welfare Services and 
the Promoting Safe and Stable Families programs, was introduced 
by Subcommittee on Income Security and Family Support Chairman 
McDermott and Ranking Member Weller on April 17, 2007 and 
passed the House on April 24, 2007 by a vote of 411-0.
    H. Res. 527, a resolution that recognized the month of 
November 2007 as ``National Homeless Youth Awareness Month'' 
was introduced in the House by Mr. McDermott on June 28, 2007 
and was agreed to in the House on July 11, 2007 by a voice 
vote.
    Mr. McDermott also introduced H. Res. 1185, which expressed 
the sense of the House of Representatives that Congress should 
recognize the important contributions of Americans who serve as 
foster parents and, in doing so, unselfishly open their homes 
and families to children in need. The resolution was introduced 
on May 8, 2008 and passed by a voice vote on May 20, 2008.
    H. Res. 1432, introduced by Rep. Jon Porter, supported the 
goals and ideals of National Adoption Day and National Adoption 
Month by promoting national awareness of adoption. The 
resolution was introduced on September 15, 2008 and passed by a 
voice vote on September 18, 2008.

                    3. SUPPLEMENTAL SECURITY INCOME

a. SSI Extension for Elderly and Disabled Refugees Act

    H.R. 2608, the ``SSI Extension for Elderly and Disabled 
Refugees Act'', was introduced by Subcommittee on Income 
Security and Family Support Chairman McDermott and Ranking 
Member Weller on June 7, 2007. The bill passed the House on 
June 11, 2007 by a voice vote and was agreed to in the Senate 
with an amendment by unanimous consent on August 1, 2008. The 
House adopted the Senate amendments by voice vote on September 
17, 2008 and H.R. 2608 was signed into law on September 30, 
2008 (P.L. 110-328).
    Prior to P.L. 110-238, refugees and other humanitarian 
immigrants lost eligibility for Supplemental Security Income 
(SSI) after residing in the United States for seven years. The 
Subcommittee on Income Security and Family Support held a 
hearing on March 22, 2007 that evaluated the limitation on 
providing SSI benefits to refugees and other humanitarian 
immigrants. Witnesses at the hearing included a disabled 
refugee from Vietnam, representatives of various charities, and 
policy experts.
    P.L. 110-328 amends the Immigration and Nationality Act, as 
amended by the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996, to extend SSI eligibility for 
humanitarian immigrants, including those whose SSI benefits 
ceased in prior fiscal years. The measure requires a sworn 
declaration from such aliens (except children under age 18) 
that they have made a good faith effort to pursue U.S. 
citizenship. The law generally extends SSI benefits for an 
additional two years through FY2011.

b. Heroes Earnings Assistance and Relief Tax Act of 2008

    Title II of H.R. 6081, the ``Heroes Earnings Assistance and 
Relief Tax Act of 2008,'' made improvements in the Supplemental 
Security Income program (SSI) for former and current members of 
the uniformed services and AmeriCorps participants. Previously, 
some military families who relied on the SSI program for 
financial support lost a portion of their benefits because of 
the treatment of certain types of military pay in determining 
eligibility and benefit amounts. Also, some blind veterans in 
certain States receive an annuity that reduced their SSI 
benefits.
    Title II of H.R. 6081 amends title XVI of the Social 
Security Act to treat cash remuneration paid to a member of the 
uniformed services as earned income and certain housing 
payments to such members as in-kind support and maintenance for 
SSI program purposes. The title also excludes State annuity 
payments to blind, disabled, or aged veterans for purposes of 
SSI benefit determinations. And finally, it excludes any cash 
or in-kind benefit paid to an AmeriCorps participant from SSI 
income eligibility and benefit determinations.
    H.R. 6081 was introduced in the House on April 16, 2008, 
and was passed on April 20, 2008, 403-0. The bill was passed by 
the Senate by unanimous consent on April 22, 2008 and signed 
into law on June 17, 2008 (P.L. 110-245).

               4. TEMPORARY ASSISTANCE FOR NEEDY FAMILIES

    Section 301 of H.R. 6331, the ``Medicare Improvements for 
Patients and Providers Act of 2008,'' amended the Deficit 
Reduction Act of 2005 to extend through FY 2009 supplemental 
grants under Title IV Part A (Temporary Assistance for Needy 
Families, or TANF) in the Social Security Act.
    The Deficit Reduction Act of 2005 (DRA, P.L. 109-171) 
extended funding for most TANF grants through FY 2010, except 
TANF supplemental grants which expired at the end of FY 2008. 
Supplemental grants go to 17 States that have had high 
population growth or have low TANF funding per poor person.
    H.R. 6331 passed the House on June 24, 2008 by a vote of 
355-59 and was approved by unanimous consent in the Senate on 
July 9, 2008. President Bush vetoed the bill on July 15, 2008, 
on which date it was overridden in both the House (383-41) and 
the Senate (70-26). It consequently became P.L. 110-275.

                  F. Legislative Review of Debt Issues

    On May 17th, 2007, the House and Senate agreed to the 
conference report on S. Con. Res. 21, the Concurrent Resolution 
on the Budget for Fiscal Year 2008. The conference report (H. 
Rept. 110-53) was agreed to by the House by a vote of 214-209, 
and by the Senate by a vote of 52-40. As a result of the 
adoption of the FY2008 budget, H.J. Res. 43, a bill to increase 
the statutory limit on the public debt, was deemed passed in 
the House pursuant to House Rule XXVII. H.J. Res. 43, which 
increased the debt limit by $850 billion to $9.815 trillion, 
was passed by the Senate on September 27, 2007 without 
amendment by a Yea-Nay vote of 53-42, and was signed into law 
by the President on September 29, 2007 (P.L. 110-153).
    On June 5, 2008, the House agreed to the conference report 
(H. Rept. 110-659) on S. Con. Res. 70, the Concurrent 
Resolution on the Budget for Fiscal Year 2009, by a vote of 
214-210. The Senate had adopted the conference on June 4 by a 
vote of 48-45. As a result of the adoption of the FY2009 
budget, H.J. Res. 92, a bill to increase the statutory limit on 
the public debt, was deemed passed in the House pursuant to 
House Rule XXVII. The Senate never considered H.J. Res. 92, 
which would have increased the debt limit by $800 billion to 
$10.615 trillion.
    On July 23, 2008, the House agreed to an amended version of 
H.R. 3221, the Housing and Economic Recovery Act of 2008, by a 
vote of 272-152. The Senate agreed to the amended legislation 
on July 26, 2008 by a Yea-Nay vote of 72-13. It was signed into 
law by the President on July 30, 2007 (P.L. 110-289). Section 
3083 of that legislation increased the debt limit by $800 
billion to $10.615 trillion.
    On October 3, 2008, the House agreed to the Senate 
amendments to H.R. 1424, the ``Emergency Economic Stabilization 
Act of 2008'', by a vote of 263-171. That legislation had 
passed the Senate on October 1, 2008 by a Yea-Nay vote of 74-
25. It was signed into law by the President on October 3, 2007 
(P.L. 110-343). Section 122 of that legislation increased the 
debt limit by $700 billion to $11.315 trillion.

                          II. OVERSIGHT REVIEW


                          A. Oversight Agenda

                                                  January 17, 2007.
Hon. Henry Waxman,
Chairman, Committee on Government Reform, Rayburn House Office 
        Building, House of Representatives, Washington, DC.
Hon. Juanita Millender-McDonald,
Chairwoman, Committee on House Administration, Longworth House Office 
        Building, House of Representatives, Washington, DC.
    Dear Chairman Waxman and Chairwoman Millender-McDonald: In 
accordance with the requirements of clause 2 of rule X of the 
Rules of the House of Representatives, the following is a list 
of hearings and oversight-related activities that the Committee 
on Ways and Means and its Subcommittees plan to conduct during 
the 110th Congress.

                             FULL COMMITTEE

    Economic Security and Federal Budget--
     Current Economy and Outlook. Oversight hearings to 
examine current economic conditions and the economic outlook. 
Specifically, examine topics such as the impact of 
globalization on U.S. workers and competitiveness, economic 
opportunities for low- and middle-income workers, the economic 
costs of poverty, and additional concerns.
     Priorities of the Office of Management and Budget. 
Oversight hearings with the Office of Management and Budget 
Director to discuss the overall state of the federal budget and 
the Administration's priorities for the 110th Congress. Also, 
discuss and consider budgetary proposals affecting the various 
programs under the Committee's jurisdiction, including tax, 
health, human resources, Social Security, pensions, and trade-
related matters.
     Additional Issues. Oversight hearings on a number 
of overall budget issues, particularly those related to federal 
finances and debt, the short- and long-term fiscal outlook, the 
growing reliance of the United States on foreign debt, and 
other matters considered by the Department of the Treasury.
    Tax Issues--
     Priorities of the Department of the Treasury. 
Oversight hearings with the Treasury Secretary to discuss 
priorities for the 110th Congress, with the goal of finding 
common ground for policies and legislation to benefit all 
Americans. Specifically, discuss and consider tax legislation 
proposed in the President's 2008 budget submitted to the 
Congress.
     Administration of the Tax Laws. Oversight hearing 
to receive information from the Internal Revenue Service (IRS) 
Commissioner concerning overall agency operations and efforts 
to collect federal taxes, ensure compliance, and provide 
taxpayer services. Specifically, discuss proposed funding and 
staffing levels for the IRS and legislation to address the tax 
gap as proposed in the President's 2008 budget submitted to the 
Congress.
     Technical Corrections. Oversight hearing to 
evaluate the need for technical corrections to previously-
enacted legislation, including the Tax Increase Prevention and 
Reconciliation Act of 2005, Gulf Opportunity Zone Act of 2005, 
Energy Policy Act of 2005, American Jobs Creation Act of 2004, 
Jobs and Growth Tax Relief Reconciliation Act of 2003, Economic 
Growth Tax Relief Reconciliation Act of 2001, and certain 
provisions of the Pension Protection Act of 2006.
     Tax Relief for Individuals and Families. Oversight 
hearings on tax relief for individual taxpayers and families, 
including alternative minimum tax relief and child-related tax 
benefits.
     Energy. Oversight hearings on energy tax issues, 
including incentives for alternative fuel production, energy 
conservation, and increasing U.S. energy independence.
     Housing. Oversight hearings on tax incentives for 
moderately-priced housing, focusing on options for increasing 
the supply of middle-income taxpayer rental housing and home 
ownership in tandem with federal and state housing spending 
programs.
     Education. Oversight hearings on current law rules 
governing the use of tax credit bonds to finance school 
construction and renovation, and options to simplify the 
current complex structure of tax benefits for higher education.
    Health and Human Services Issues--
     Priorities of the Department of Health and Human 
Services. Oversight hearing with the Health and Human Services 
Secretary to discuss priorities for the 110th Congress and 
concerns related to the delivery of health services and 
reimbursement under Medicare. Specifically, discuss and 
consider health and human services-related legislation proposed 
in the President's 2008 budget submitted to the Congress.
    Trade--
     Priorities of the Office of the United States 
Trade Representative. Oversight hearings with the United States 
Trade Representative to discuss priorities for the 110th 
Congress and concerns related to international trade. 
Specifically, discuss and consider trade proposals in the 
President's 2008 budget submitted to the Congress and other 
proposals.
    The full Committee intends to conduct additional oversight 
over the next two years, as becomes necessary to fulfill its 
oversight responsibilities to the Congress and the American 
people. The following is a list of further oversight hearings 
and activities that the six subcommittees of the Committee on 
Ways and Means (Oversight, Health, Income Security and Family 
Support, Social Security, Trade, and Select Revenue Measures) 
anticipate developing during the course of the 110th Congress.

                       SUBCOMMITTEE ON OVERSIGHT

     Programs within the Committee's Jurisdiction. 
Oversight investigations and joint subcommittee hearings on 
issues requiring periodic or timely oversight review. The 
Subcommittee on Oversight will coordinate with other 
subcommittees, as appropriate, to ensure comprehensive 
oversight of programs and laws under the Committee's 
jurisdiction.
     IRS Operations. Oversight of the major IRS 
programs, including examination, collection, taxpayer services, 
and returns processing. Consider analyses and reports provided 
to the Congress by oversight groups, such as the IRS Taxpayer 
Advocate, IRS Oversight Board, Treasury Inspector General for 
Tax Administration, and the U.S. Government Accounting Office.
     Tax Gap. Oversight of the $345 billion annual tax 
gap, the difference between taxes paid and taxes owed the 
federal government. Consider the components of the tax gap, 
causes of taxpayer non-compliance, and possible solutions.
     IRS Funding and Staffing Levels. Oversight of IRS 
funding and staffing levels needed to effectively and 
efficiently enforce the tax laws and provide taxpayer 
assistance. Consider the impact of underfunding the IRS on non-
compliance, audit rates, and uncollected taxes. Examine the 
costs and rates of return for IRS collection activities in 
comparison to those for private-sector debt collectors under 
contract with the IRS. Evaluate options for providing the IRS 
with a permanent funding authorization that, in part, supports 
additional tax enforcement efforts.
     Tax-Exempt Organizations. Oversight review of the 
advantages and disadvantages of recently-enacted tax provisions 
that affect charities and foundations, particularly how the new 
rules affect charitable efforts and the ability of these 
organizations to serve those in need. Evaluate overall IRS 
efforts to monitor tax-exempt organization activities, prevent 
abuse, and ensure timely information to the public about 
charity activities and finances.
     Tax Code and Tax Form Complexity. Oversight of tax 
code complexity, particularly for individuals and small 
businesses, with the goal of simplification. Review areas where 
taxpayers and professional return preparers make the most 
errors and consider solutions. Evaluate tax return filing 
seasons, including electronic filing, IRS and volunteer 
taxpayer assistance programs, the Internet Free File Program, 
and progress with electronic filing. Also, consider options for 
meaningful tax reform and greater fairness in the tax system.
     IRS Audit/Collection Priorities. Oversight review 
of the IRS audit/collection levels, focusing on the allocation 
of enforcement resources among low-, middle-, and high-income 
individual taxpayers. Consider IRS efforts to deal with small 
business, large corporate, and estate tax liabilities, 
particularly those known to the IRS but uncollected. Also, 
review the extent of abusive tax shelters and illegal offshore 
tax transactions.
     Earned Income Tax Credit (EITC). Oversight of IRS 
programs designed to provide tax assistance to more than 20 
million low-income working taxpayers claiming the EITC. 
Evaluate information showing that: approximately seven million 
eligible workers do not claim the EITC; only a very small 
percentage of workers obtain EITC benefits in their paychecks 
through employer-assisted ``advance refunding''; and nearly 
two-thirds of EITC taxpayers use paid professional return 
preparers to file their returns. Evaluate the results of EITC 
certification, program integrity, and efforts to provide 
educational outreach to reduce errors in claiming the EITC.
     Tax Scams. Oversight of the latest sophisticated 
tax scams and what can be done to protect taxpayers.
     Illegal Networks. Oversight of Department of the 
Treasury and IRS activities to deter money laundering, illegal 
drug, and terrorists networks.
     Pensions and Retirement Security. Oversight review 
of the Pension Benefit Guaranty Corporation (PBGC), including 
the financial status and management of pension plan funding. 
Oversight review of the increasing decline in employer-
sponsored defined-benefit plans with the corresponding 
weakening of workers' retirement security and federally-
guaranteed pension benefits. Overview of the growing disparity 
of retirement benefits for corporate executives and rank-and-
file workers.

                         SUBCOMMITTEE ON HEALTH

     Medicare Part A and Part B (Hospitals, Physicians, 
and Other Providers). Oversight of the major Medicare programs 
to ensure efficient use of resources, quality, and access for 
Medicare beneficiaries. Specific topics to include: 
relationship between payment policy and workforce issues 
(future supply); adequacy of program benefits, such as mental 
health and cost sharing; treatment of specific populations such 
as people with disabilities and low-income beneficiaries; 
quality improvement efforts; accreditation; overpayments to 
providers; IVIG; DME competitive bidding; post-acute care 
common patient assessment tool; and waste, fraud, and abuse 
activities.
     Medicare Part C (Private Plans). Oversight of 
private plan types, enrollment, and locations; value and 
payments; benefit packages and actuarial equivalence 
determinations; administrative costs; quality; consumer 
protection; and ability to manage and treat chronic illnesses 
and achieve improved health outcomes.
     Medicare Part D (Prescription Drug Plans). 
Oversight of implementation and ongoing activities related to 
the Medicare prescription drug program, including: treatment of 
dual eligibles, low-income subsidy beneficiaries, and nursing 
home residents; drug pricing; late enrollment penalties; 
benefit packages and actuarial equivalence evaluations; true 
out-of-pocket policy (TROOP); formularies for covered drugs and 
appeals; enrollment issues; plan reporting of consumer data; 
marketing, promotion, and advertising efforts of the Center for 
Medicare and Medicaid Services (CMS) and the plans; 
administrative costs; bidding process and premium setting; 
retiree drug coverage; pharmacy-plan issues; creating a 
Medicare-sponsored drug option; and negotiated price 
mechanisms.
     Medicare Entitlement. Oversight of the 45 percent 
trigger, payments to private plans, and the Part B premium.
     CMS Administration. Oversight of the CMS, 
including the adequacy of its budget and staffing, contracting 
activities, and general agency accountability.
     Health Insurance Coverage. Oversight review of 
health coverage and the uninsured, including children, early 
retirees, and small business employees; adequacy of benefits; 
mental health parity; COBRA; lack of coverage for various 
groups; and options to expand coverage.
     Health Savings Accounts (HSAs). Oversight of the 
use of health savings accounts, including the demographics and 
profile of account holders, the prevalence and use of HSAs, the 
value of accounts, and the influence on broader health care 
systems and spending.
     Executive Orders. Oversight of Administration 
activities regarding public transparency of price and quality 
initiatives, and health information technology.
     Trade Adjustment Assistance (TAA) Health 
Insurance. Oversight of implementation and ongoing activities 
related to the TAA health care tax credits, including 
administrative costs and contractual relationships.
     Emergency Care. Oversight of emergency health care 
and areas where reforms are needed.

           SUBCOMMITTEE ON INCOME SECURITY AND FAMILY SUPPORT

     Poverty. Oversight assessment of poverty in 
America. Examine the growth in the number of Americans living 
in poverty by 5.4 million Americans since 2001, review factors 
that contributed to such rise, and explore proposals for 
expanding economic opportunity and reducing the extent and 
severity of poverty.
     Welfare and Work Programs. Oversight of programs 
that help needy families and promote work, especially the 
Temporary Assistance for Needy Families (TANF) program. Review 
State efforts to implement new statutory and regulatory 
requirements under the TANF program, including present and 
potential impacts on poverty, caseloads, educational 
opportunities, impacts on disabled populations, employment 
outcomes, assistance for needy families and administrative 
burdens. Evaluate recent legislative changes in related 
programs, such as child care and child support enforcement, in 
terms of the impact on self-sufficiency and economic 
opportunity for low-income families. Review the integrity of 
related programs to ensure accurate payments and eligibility.
     Vulnerable Children. Oversight of the Nation's 
child welfare system, including foster care, adoption 
assistance, and child and family programs under Title IVB of 
the Social Security Act. Examine barriers to ensuring safety 
and permanency for the over one-half million children in foster 
care, as well as for the thousands of other children that come 
into contact with the child welfare system every year. Review 
proposals to improve the financing of child welfare programs to 
ensure better outcomes for at-risk children and families.
     Disconnected Populations. Oversight of 
``disconnected populations,'' including youth between the ages 
of 16 and 24. Review proposals to reach out to an estimated two 
to three million youth who are neither in school nor working.
     Unemployment Compensation. Oversight of the 
Nation's unemployment compensation system, with a particular 
focus on barriers between dislocated workers and unemployment 
benefits and on reforms designed to modernize the program, 
including helping dislocated workers return to work.
     Supplemental Security Income (SSI). Oversight of 
the SSI program, including reviewing proposals to better reward 
and promote employment by program recipients and to better 
serve those in need of program benefits.

                    SUBCOMMITTEE ON SOCIAL SECURITY

     General Oversight of Social Security. Oversight of 
the importance of Social Security for American workers and 
their families; the essential role it plays in assuring 
economic security for retirees, disabled workers, and 
survivors; and how best to manage the challenges and 
opportunities presented by an aging society, given the central 
role Social Security plays in income security, and the 
importance of adopting a balanced approach to address those 
challenge sand opportunities that has the support of the 
American people.
     Social Security Administration (SSA). Oversight of 
the administrative operations of the Social Security 
Administration and the agency's stewardship of Social Security 
programs.
     Disability Case Processing Backlogs. Oversight of 
SSA's processing of disability cases, including Continuing 
Disability Reviews, and its current backlog of over one million 
unprocessed initial claims and appeals requests for disability 
benefits. Examine why, after SSA has taken steps in recent 
years to address this backlog, the problem continues to grow. 
Consider the impact on claimants as they endure disabling 
health conditions for months, or even years, without income as 
they wait for their cases to be decided.
     Management of the Ticket-To-Work Program. 
Oversight of the implementation and effectiveness of the 
Ticket-to-Work program and its related work incentives. 
Consider how the program operates in conjunction with Social 
Security Act work incentives and other federal programs aimed 
at supporting work. Determine why implementation of the program 
has been criticized, regulatory reforms are delayed, and 
results have been modest.
     New Disability Adjudication Process. Oversight of 
SSA's phased-in implementation of its new disability 
adjudication process (resulting from its 2006 regulation 
modifying how it adjudicates disability claims), the impact of 
the change in agency leadership on the process, and early 
results. Examine how claimants are faring under the new 
process, and whether the process is fair and consistent, 
evidence collection is improving, claims are receiving full 
consideration, and the right decision is being made earlier in 
the process.
     Social Security Number Protection. Oversight of 
the problem of identity misuse of the Social Security number. 
Consider the role of the Social Security number, the Social 
Security card, Social Security benefits, and SSA with respect 
to immigration policy and enforcement.

                         SUBCOMMITTEE ON TRADE

     Fast Track. Oversight of Trade Promotion Authority 
(TPA), that formally expires on June 30, 2007, including review 
of agreements concluded to date, the role of the Congress, and 
labor and environmental concerns.
     Korea Free Trade Agreement (FTA). Oversight of 
Korea FTA negotiations as they reach a critical stage in early 
2007, including discussion of automobile, manufacturing, labor, 
environmental, and other issues.
     Other Free Trade Agreements (FTAs). Oversight of 
ongoing negotiations, for example involving Panama, Thailand 
and Malaysia, signed FTAs involving Peru and Colombia, and 
implementation of recently-implemented FTAs involving the 
Central American/Dominican Republic (CAFTA), Oman, Bahrain, and 
earlier FTAs with Singapore, Chile, Australia, and Morocco.
     Preference Programs. Oversight of major U.S. trade 
preference programs such as the Generalized System of 
Preferences (GSP), African Growth and Opportunity Act (AGOA), 
Caribbean Basin Initiative (CBI), Andean Trade Preference Act 
(ATPA), and Haitian Hemispheric Opportunity Through Partnership 
Encouragement Act.
     Haiti. Oversight of U.S. trade policy for Haiti, 
including impact of textile quota elimination.
     World Trade Organization (WTO) Negotiations. 
Oversight of U.S. goals in the areas of agriculture, 
manufacturing, services, fair trade laws.
     Improving U.S. Trade Laws. Oversight of proposals 
to strengthen U.S. fair trade laws and improve U.S. tools 
leverage to open foreign markets and other areas, including 
oversight of WTO decisions involving U.S. fair trade laws, 
defense of U.S. trade law challenges in the WTO, and 
administration by the Department of Commerce and U.S. 
International Trade Commission of U.S. fair trade laws.
     China. Oversight of China's rampant theft of 
massive quantities of U.S. intellectual property, including in 
the automotive, semiconductor, motion picture, and recording 
industries. Also, oversight of China's refusal to allow its 
currency to freely float, industrial subsidies, and other 
areas.
     Europe. Oversight of the second largest bilateral 
trade deficit of more than $100 billion in 2005, as well as 
sectoral issues, such as Airbus subsidies, discriminatory 
regulations in high technology transfer and sectors, attempts 
at technology transfer, discriminatory barriers to U.S. farm 
exports, European Union (EU) practices in the WTO negotiations, 
and EU practice concerning regional trade agreements.
     Trade and Developing Countries. Oversight of U.S. 
trade relations with developing countries, role of developing 
countries in the WTO and world trading system, extent to which 
developing countries have benefitted from the trading system 
over the past 20 years and, in regard particularly with respect 
to the least developed countries, why many of these countries 
have lost ground over the last 20 years and what can be done in 
the area of trade and aid to reverse this trend.
     Trade and U.S. Workers. Oversight of the ability 
of the United States to conduct an effective trade policy that 
is good for American workers, farmers, businesses, and the 
country as a whole. Examine options to improve education, on-
the-job training, trade adjustment, and portable health care/
pensions.
     Other. Oversight of the WTO dispute settlement 
system, Bush Administration labor rules in FTAs, and balance 
between protecting pharmaceutical patents and promoting access 
to essential medicines in poor countries.

                SUBCOMMITTEE ON SELECT REVENUE MEASURES

     Various tax matters. Oversight of a variety of tax issues 
and tax legislation, as directed by the Committee Chairman.
     This list is not intended to be exclusive. The Committee 
anticipates that additional oversight hearings and activities 
will be scheduled as issues arise and as time permits. Also, 
the Committee's oversight priorities and particular concerns 
may change as the 110th Congress progresses over the coming two 
years and issues arise meriting the Committee and 
subcommittees' attention.
            Sincerely,
                                         Charles B. Rangel,
                                                          Chairman.

  B. Actions Taken and Recommendations Made With Respect to Oversight 
                                  Plan


Full Committee

    1. Economic Security and the Federal Budget.
    Actions taken: The full Committee held a number of hearings 
on the state of the economy.
    On January 23, 2007, the full Committee received testimony 
on the state of the U.S. economy from Mark Zandi, Ph.D., Chief 
Economist, Moody's Economy.com, West Chester, Pennsylvania, 
Martin Regalia, Ph.D., Vice President of Economic and Tax 
Policy and Chief Economist, U. S. Chamber of Commerce, Richard 
L. Trumka, Secretary-Treasurer, American Federation of Labor-
Congress of Industrial Organizations, William E. Spriggs, 
Ph.D., Professor and Chair, Department of Economics, Howard 
University, and John W. Diamond, Ph.D., Edward A. and Hermena 
Hancock Kelly Fellow in Tax Policy Research, James A. Baker III 
Institute for Public Policy, Rice University, Houston, Texas.
    On January 24, 2007, the full Committee received testimony 
on the economic and societal costs of poverty from Sigurd R. 
Nilsen, Ph.D., Director, Education, Workforce, and Income 
Security, U.S. Government Accountability Office, Harry J. 
Holzer, Ph.D., Professor at Georgetown University and Visiting 
Fellow at the Urban Institute, Georgetown University Public 
Policy Institute, David R. Jones, President and Chief Executive 
Officer, Community Service Society of New York, New York, New 
York, Ron Haskins, Ph.D., Senior Fellow, Economic Studies and 
Co-Director, Center on Children and Families, The Brookings 
Institution, and Jane Knitzer, Ph.D., Director, National Center 
for Children in Poverty, New York, New York.
    On January 30, 2007, the full Committee received testimony 
concerning trade and globalization from Daniel Tarullo, Ph.D., 
Professor of Law, Georgetown University, The Honorable Grant 
Aldonas, William M. Scholl Chair in International Business, 
Center for Strategic and International Studies, Gene B. 
Sperling, Senior Fellow, Center for American Progress, and 
Director, Center for Universal Education, Council on Foreign 
Relations, John Meier, Chief Executive Officer, Libbey Glass, 
Inc., Toledo, Ohio, Harold McGraw III, Chairman, President, and 
CEO, The McGraw-Hill Companies, and Chairman, Business 
Roundtable, and Chairman, Emergency Committee for American 
Trade, New York, New York, and Lawrence Mishel, Ph.D., 
President, Economic Policy Institute.
    On January 31, 2007, the full Committee received testimony 
concerning the economic challenges facing middle class families 
from Peter Orszag, Director of the Congressional Budget Office, 
Jacob Hacker, Ph.D., Professor of Political Science, Yale 
University, New Haven, Connecticut, Jason Furman, Ph.D., Senior 
Fellow and Director of the Hamilton Project, Brookings 
Institute, John C. Goodman, Ph.D., President and Chief 
Executive Officer, National Center for Policy Analysis, Dallas, 
Texas, Diane Rowland, Sc.D., Executive Vice President, Kaiser 
Family Foundation, and Eugene Steuerle, Ph.D., Senior Fellow, 
Urban Institute.

Subcommittee on Oversight

            A. Subcommittee Hearings for 110th Congress
    1. Earned Income Tax Credit (EITC) Outreach.
    Actions taken: The Oversight Subcommittee conducted a 
hearing to review earned income tax credit (EITC) outreach. The 
Subcommittee discussed why an estimated 7 million working-poor 
individuals and families (20% of those eligible) are not 
claiming the EITC and not benefitting from about $12 billion in 
federal assistance. Testimony was heard from the Internal 
Revenue Service, policy experts from the Center on Budget and 
Policy Priorities and trade associations, and representatives 
from local organizations conducting EITC outreach. The 
Subcommittee learned that the Congress, the IRS, and employers 
need to improve outreach efforts to EITC-eligible individuals. 
Witnesses at the hearing had prepared corporate employer 
toolkits to assist with outreach, including posters in English 
and Spanish, education materials, and paycheck stuffers for 
low-income employees. Chairman Charles Rangel, Oversight 
Subcommittee Chairman John Lewis, and Oversight Ranking Member 
Jim Ramstad issued a Dear Colleague to explain ways that 
Members could provide EITC outreach in their districts. The 
Taxpayer Protection Act, H.R. 1677, passed by the House, and 
the Taxpayer Assistance and Simplification Act of 2008, H.R. 
5719, included a provision to require the IRS to notify certain 
individuals who may be eligible for the credit that they 
possibly can claim a credit for the three prior years.
    2. Medicare Program Integrity (Joint Hearing with the 
Health Subcommittee).
    Actions taken: On March 8, 2007, the Health and Oversight 
Subcommittees held a hearing to examine Medicare program 
integrity. The Medicare program will spend over $425 billion 
dollars providing health care services to over 44 million 
seniors and people with disabilities in 2007. Testimony was 
heard from the U.S. Department of Health and Human Services, 
the Centers for Medicare and Medicaid Services, and the U.S. 
Attorney for the Southern District of Florida. The Subcommittee 
learned that Medicare beneficiaries have been subject to 
fraudulent practices. In some instances, federal money is used 
to support unethical, immoral, and illegal behavior. In one 
unbelievable case, a hospital performed painful, medically 
unnecessary procedures on elderly residents of assisted living 
facilities simply because those procedures had high rates of 
government reimbursement. The Subcommittees expressed the need 
to ensure that wrongdoers are held accountable and that the 
Federal government only makes correct and proper payments to a 
legitimate provider for reasonable and medically necessary 
services. Provisions to address Medicare program integrity were 
included in CHAMP (H.R. 3162), which passed the House on August 
1, 2007.
    3. Katrina Redevelopment Tax Issues.
    Actions taken: On March 6, 2007, the Oversight Subcommittee 
held a hearing on housing tax issues related to the 
redevelopment of the communities affected by the Katrina, Rita, 
and Wilma hurricanes of 2005. Testimony was heard from the 
Louisiana Housing Finance Agency and the Mississippi Home 
Corporation. The Subcommittee learned that there needs to be an 
extension of the ``placed in service'' requirement for the low-
income housing tax credit. Many developers will not be able to 
meet this deadline due to events outside of their control, such 
as unexpected insurance costs, lengthy site cleanups, and 
additional financing costs. The Subcommittee also learned that 
homeowners have not been able to use mortgage revenue bonds to 
rebuild their homes. Witnesses argued that mortgage revenue 
bonds should be available for substantial renovations and to 
refinance existing residential mortgage loans. The Committee 
passed H.R. 1562, The Katrina Housing Tax Relief Act of 2007, 
on March 21, 2007. The bill passed the House on March 27, 2007. 
The bill extended the placed in service date in the GO Zones 
for purposes of the low-income housing tax credit and provided 
tax-exempt mortgage bond financing for rehabilitation and 
reconstruction of residences in the GO Zones. This extension 
was included in Public Law No. 110-28, the Small Business and 
Work Opportunity Tax Act of 2007.
    4. Internal Revenue Service Operations and the Tax Gap.
    Actions taken: On March 20, 2007, the Oversight 
Subcommittee conducted a hearing to review: the IRS fiscal year 
2008 budget request of $11 billion; IRS examination, 
collection, and taxpayer service operations; the current tax 
return filing season, including the large number of unclaimed 
telephone tax refunds; and tax fraud schemes and tax scams that 
the IRS has identified this year. Testimony was heard from the 
Commissioner of the Internal Revenue Service. The Subcommittee 
learned that taxpayers have been subject to a number of 
``phishing'' scams that attempt to steal their identities and 
confidential taxpayer information (such as their social 
security numbers, bank accounts, and credit card information). 
The Subcommittee also learned that the tax gap is growing, 
collections and audits are decreasing, and, during the filing 
season, free- file electronic filing was down. This hearing 
resulted in the introduction of H.R. 1677, the Taxpayer 
Protection Act of 2007, which passed the House on April 17, 
2007. It also resulted in the introduction of H.R. 7083, which 
passed the House on September 27, 2008 and was enacted into law 
on October 15, 2008 (Public Law No. 110-428).
    5. Hearing on Internal Revenue Service's Use of Private 
Debt Collection Companies to Collect Federal Income Taxes
    Actions taken: On May 23, 2007, the Full Committee held a 
hearing to review the Internal Revenue Service's use of private 
debt collection companies. The Committee reviewed whether: (1) 
federal tax collection is governmental function that can be 
contracted to the private sector; (2) the IRS can collect 
federal income taxes more efficiently and effectively than 
private collection companies; (3) taxpayers are subject to 
harassment and abuse by private collectors; (4) the IRS has 
adequate options to address uncollected taxes; and (5) the 
program should be expanded or repealed. The Committee received 
testimony from the IRS Acting Commissioner, National Taxpayer 
Advocate, the General Accountability Office's Managing Director 
of Forensic Audits and Special Investigations, and 
representatives of Treasury employees and private collection 
companies. The National Taxpayer Advocate reported that tax 
collection is an inherent government function that can not be 
privatized and that, if the $71 million spent on the program 
had been spent on IRS employees, the IRS would bring in $1.4 
billion compared to the $19.5 million brought in by the private 
collectors. GAO reported that the private debt collectors had 
placed nearly one million telephone calls attempting to reach 
35,000 taxpayers. The Committee included a provision to repeal 
the private debt collection program in H.R. 3056, The Tax 
Collection Responsibility Act of 2007, as passed by the House 
on October 10, 2007; H.R. 3996, the Tax Increase Prevention Act 
of 2007, as passed by the House on November 9, 2007; and H.R. 
5719, the Taxpayer Assistance and Simplification Act of 2008, 
as passed by the House on April 15, 2008.
    6. Request for Written Comments on Provisions Relating to 
Tax-Exempt Organizations in the Pension Protection Act.
    Actions taken: On June 12, 2007, the Subcommittee on 
Oversight released an advisory requesting written comments from 
the public on the charitable provisions in the Pension 
Protection Act. The Act contains over thirty provisions 
relating to tax-exempt organizations, including charitable 
giving incentives and exempt organization reforms. Certain 
provisions were intended to improve accountability among donor 
advised funds and supporting organizations. Most of the 
provisions were never discussed on a bipartisan basis, nor the 
subject of Committee hearings, during the 109th Congress. The 
Subcommittee has received about 55 letters or submissions in 
response to the notice. The Committee included provisions 
responding to the comments in H.R. 7083, which passed the House 
on September 27, 2008.
    7. Overview of Tax-Exempt Organizations.
    Actions taken: On July 24, 2007, the Oversight Subcommittee 
undertook a broad overview of section 501(c)(3) charitable 
organizations. The hearing reviewed: (1) the current state 
(important role and size) of this sector; (2) broad concerns 
and needs of the charitable community, including those related 
to the Pension Protection Act of 2006; and (3) IRS operations 
related to charitable organizations, including budget and 
staffing levels. Testimony was heard from the Internal Revenue 
Service, the U.S. Government Accountability Office, and 
representatives of tax-exempt organization trade associations. 
The Subcommittee learned that there are approximately one 
million tax-exempt organizations described in Internal Revenue 
Code section 501(c)(3) and that the assets of these 
organizations exceed $2.5 trillion. They have annual revenues 
of nearly $1.2 trillion and spend approximately $900 billion on 
program services. The Subcommittee learned that these 
organizations play a large and important role in the U.S. 
economy. The Federal government is increasingly partnering with 
these organizations to deliver Federal services into local 
communities, particularly to low-income or needy individuals or 
families. The Committee included provisions to assist 
charitable organizations and improve public accountability in 
H.R. 7083, which passed the House on September 27, 2008.
    8. Tax-Exempt Organizations: Hearing on Whether They Serve 
the Needs of Diverse Communities.
    Actions taken: On September 25, 2007, the Oversight 
Subcommittee held a hearing on whether charitable organizations 
are serving diverse populations and communities. (The U.S. 
population--nearly 300 million--is becoming increasingly 
diverse.) Testimony was heard from representatives of and 
policy experts on tax-exempt organizations. The Subcommittee 
learned that charity (and volunteerism) in the United States is 
largely confined within social, ethnic, racial, religious, and 
localized communities with little leakage to the ``stranger'' 
except for short intervals at times of crises. The needs of 
diverse urban and rural, majority and minority communities are 
largely invisible to donors, unless highly publicized in the 
aftermath of major tragedies, like Hurricane Katrina. A recent 
study conducted by the Indiana University Center on 
Philanthropy found that less than one-third of the money 
donated by individuals to charity in 2005 went to causes that 
served the needs of the poor. The Committee included provisions 
to help charitable organizations serve the needs of diverse 
communities in H.R. 7083, which passed the House on September 
27, 2008.
    9. Import Safety (Joint Hearing with the Trade 
Subcommittee.
    Actions taken: On October 4, 2007, the Oversight 
Subcommittee and Trade Subcommittee conducted a joint hearing 
on import safety. Testimony was heard from the Office of the 
U.S. Trade Representative, the U.S. Customs and Border 
Protection Department of Homeland Security, the Department of 
Agriculture, the Department of Health and Human Services, the 
U.S. Consumer Product Safety Commission, and outside experts 
representing various industries. The Subcommittees found that 
nearly $2 trillion in imported food and products entered the 
United States in 2006. In January 2007, the Government 
Accountability Office designated the federal oversight of food 
as a high risk area for the first time. In August and 
September, companies and the Consumer Product Safety Commission 
issued over 50 recalls covering millions of imported products. 
There is no one central agency that coordinates all agencies 
involved in import safety. Customs and Border Protection 
interacts with almost all of these agencies.
    10. Accountability and Oversight of the Medicare Advantage 
Program (Joint Hearing with the Health Subcommittee).
    Actions taken: On October 16, 2007, the Oversight and 
Health Subcommittees conducted a joint hearing to examine the 
value and accuracy of payments to Medicare Advantage plans, 
specifically the report by the Government Accountability Office 
entitled, ``Medicare Advantage: Required Audits of Limited 
Value'' (GAO-07-945). Testimony was heard from the U.S. 
Government Accountability Office, the Centers for Medicare and 
Medicaid Services, and representatives of medical insurance 
companies and advocacy groups. The Subcommittees learned that 
CMS did not meet the statutory requirement to audit, each year, 
the financial records of at least one-third of the 
organizations participating in the Medicare Advantage program 
for 2001-2005. They also learned that seniors have been 
victimized by abusive marketing schemes by private insurers 
offering Medicare Advantage plans. This hearing provided a 
basis for possible Medicare legislation in 2009.
    11. Hearing on the Tax Return Filing Season, Internal 
Revenue Service Operations, Fiscal Year 2009 Budget Proposals, 
and the IRS National Taxpayer Advocate's Annual Report.
    Actions taken: On March 13, 2008, the Subcommittee on 
Oversight conducted a hearing on the 2008 tax return filing 
season, Internal Revenue Service (IRS) operations, the fiscal 
year 2009 budget proposals, and the National Taxpayer 
Advocate's Annual Report. The Subcommittee reviewed the 2008 
tax filing season with a focus on taxpayer service and 
assistance, earned income tax credit outreach, and the status 
of the economic stimulus payments. Testimony was received from 
the IRS Acting Commissioner and the National Taxpayer Advocate. 
The Subcommittee learned from the IRS Acting Commissioner that 
the filing season and the processing of nearly 140 million 
individual tax returns were proceeding smoothly. IRS's plans 
were underway for issuance of economic stimulus payments. The 
Subcommittee looked at examination rates, collection 
activities, the tax gap, electronic filing, and the protection 
of taxpayer information. The Acting Commissioner reported that 
individual audit rates have increased, large corporate audits 
are down, and IRS has continued efforts to review partnership 
and S Corporation returns. The Subcommittee considered the 
Administration's fiscal year 2009 proposed budget for the IRS 
of $11.4 billion, including the funding priorities, compliance 
initiatives and proposals to address the tax gap, and learned 
that the overall budget for Business Systems Modernization is 
below the level needed to address the tax gap. Finally, the 
Subcommittee received a report from the National Taxpayer 
Advocate on the key issues and recommendations from her 
December 2007 Report to Congress. The report noted the need 
for: enactment of a Taxpayer Bill of Rights; elimination of 
private debt collection of tax delinquencies; and additional 
actions to assist taxpayers. On April 15, 2009, the House 
passed H.R. 5719, the Taxpayer Assistance and Simplification 
Act of 2008, that included provisions to help taxpayers 
(including those receiving in-home health care), to improve 
low-income taxpayer assistance programs, to repeal private debt 
collection contracts, and to ensure payment of employment taxes 
by certain government contractors.
    12. Hearing on the Department of the Treasury Alcohol and 
Tobacco Tax and Trade Bureau.
    Actions taken: On May 20, 2008, the Subcommittee on 
Oversight held a hearing on the Department of Treasury's 
Alcohol and Tobacco Tax and Trade Bureau (TTB). The hearing 
reviewed TTB's overall operations on the five-year anniversary 
of its establishment. The Subcommittee examined: TTB's budget 
and workload; enforcement programs and compliance issues 
related to the collection of alcohol, tobacco, firearms, and 
ammunition taxes; the immediate and long term impact of the 
division of resources between TTB and the Bureau of Alcohol, 
Tobacco, Firearms, and Explosives. Further, the Subcommittee 
reviewed administrative and other proposals related to TTB's 
operations. The Subcommittee learned from the Director of TTB 
that the agency divided its resources evenly between its 
responsibility to collect the revenue (nearly $15 billion each 
year) and protect the public. TTB made significant progress 
since its establishment; however, the Subcommittee learned TTB 
operations would be improved with law enforcement personnel and 
the statutory changes contained in H.R. 976, the Children's 
Health Insurance Program Reauthorization Act of 2007, as passed 
by the House on September 25, 2007.
    13. Hearing on Economic Stimulus Payments.
    Actions taken: On June 19, 2008, the Subcommittees on 
Oversight and Social Security held a hearing on the status of 
the economic stimulus payments. The Subcommittees examined the 
number of tax returns received and processed, the number of 
rebate checks issued (direct deposit and paper), the amount of 
the rebate checks issued, the overall payment schedule of 
rebate checks, and outreach activities conducted by the 
Internal Revenue Service (IRS) and the Social Security 
Administration (SSA) to locate individuals eligible for rebate 
checks. Further, the Subcommittees examined problems 
experienced by individuals eligible for rebate checks and what 
can be done to address these problems. Finally, the 
Subcommittee reviewed identity theft schemes identified to 
date, the actions taken to respond to these schemes, and what 
agencies are doing to protect individuals from identity theft 
schemes that use the rebate checks as a lure. The Subcommittee 
heard testimony from the IRS Commissioner, the SSA Deputy 
Commissioner for Operations, and the National Taxpayer 
Advocate. The Subcommittee learned that the economic stimulus 
payments are on schedule but that the IRS has had to move 
workers from other functions to handle the dramatic increase in 
economic-stimulus related telephone calls. The Subcommittee 
learned that the shift had resulted in 2 million pieces of 
correspondence pending in inventory. On June 19, 2008, 
Oversight Chairman John Lewis, Social Security Chairman Michael 
McNulty, Ranking Member Jim Ramstad, and Ranking Member Sam 
Johnson, issued a Dear Colleague to explain ways Members could 
engage in economic stimulus outreach in their districts. 
Further, H.R. 3221, the American Housing Rescue and Foreclosure 
Act, signed into law on July 30, 2008, included a provision to 
allow the IRS to transfer additional funds to taxpayer service 
to address some of the funding issues associated with the 
economic stimulus payment program.
    14. Hearing on Pension Benefit Guaranty Corporation.
    Actions taken: On September 24, 2008, the Subcommittee on 
Oversight held a hearing on the financial condition, 
operations, and governance of the Pension Benefit Guaranty 
Corporation (``PBGC''). The hearing focused on PBGC's exposure 
in the single-employer pension insurance program, the change in 
its investment policy, and governance weaknesses identified by 
the General Accountability Office (``GAO''). The Subcommittee 
also examined the overall status and financial condition of the 
defined-benefit pension system, including the status of defined 
benefit plans sponsored by employers struggling with the 
financial downtown and the rise in the number of frozen or 
voluntarily terminated plans. The Subcommittee heard testimony 
from GAO and the Director of PBGC. The Subcommittee learned 
that the single-employer program insures the pensions of 
approximately 34 million workers. The Subcommittee also learned 
that, at the end of fiscal year 2007, the single-employer 
insurance program had a deficit of $13.1 billion. A GAO study 
found that, from 1990 to 2006, plan sponsors voluntarily 
terminated over 61,000 sufficiently funded single-employer 
defined benefit plans and about 3.3 million active pension plan 
participants in the study, who represent about 21 percent of 
all active participants in the defined benefit system, are 
affected by a plan freeze. The Subcommittee also learned that 
PBGC needs legislative authority to require employers 
sponsoring defined-benefit pension plans to provide timely and 
more detailed information regarding the financial status of 
their pension plans.

Subcommittee on Health

    1. Medicare Part A and Part B.
    Actions taken: On May 15, 2007, the Subcommittee held a 
hearing to receive testimony on Medicare payment issues 
pertaining to certain fee-for-service providers, including 
hospitals, skilled nursing facilities, and home health 
agencies. On March 1, 2007, and March 11, 2008, the 
Subcommittee held hearings on MedPAC's Annual March Report, for 
2007 and 2008 respectively. On July 10, 2007, the Subcommittee 
requested written comments on Medicare therapy caps and refined 
and alternative payment methodologies. The information was used 
in developing Medicare fee-for-service payment policies for 
H.R. 3162, the Children's Health and Medicare Protection 
(CHAMP) Act; S. 2499, the Medicare, Medicaid and SCHIP 
Extension Act of 2007 (P.L. 110-173); and H.R. 6331, the 
Medicare Improvements for Patients and Providers Act of 2008 
(P.L. 110-275).
    On June 26, 2007, the Subcommittee held a hearing on 
ensuring safe and appropriate anemia management care for kidney 
patients. The Subcommittee heard testimony from federal 
agencies, providers and patient advocates. The information was 
used in developing a modernized Medicare payment system for End 
Stage Renal Disease set forth in H.R. 3162, the Children's 
Health and Medicare Protection Act, and enacted into law in the 
Medicare Improvements for Patients and Providers Act of 2008 ( 
P.L. 110-275).
    On November 15, 2007, the Subcommittee held a hearing on 
nursing home ownership and transparency. Information gathered 
at the hearing was used to develop H.R. 7128, the Nursing Home 
Transparency and Quality of Care Improvement Act of 2008.
    On March 6, 2007, the Subcommittee held a hearing to 
receive a report from the Medicare Payment Advisory Commission 
(MedPAC) on the Sustainable Growth Rate (SGR) formula for 
updating physician fee schedule payment rates. On May 10, 2007, 
the Subcommittee held a hearing to receive testimony from CMS, 
the Government Accountability Office, and MedPAC on ways to 
improve quality and efficiency among physicians reimbursed by 
Medicare. Information gathered at these two hearings was used 
to develop the physician policies contained in the CHAMP Act. 
On September 11, 2008, the Subcommittee held a hearing on 
reforming Medicare's physician payment system.
    On June 12, 2007 the Subcommittee held a hearing to receive 
testimony from the Agency for Healthcare Research and Quality, 
the Congressional Budget Office, and MedPAC on increasing 
clinical comparative effectiveness research. Information from 
this hearing was used to develop the comparative effectiveness 
research policy contained in the CHAMP Act. That policy would 
stimulate additional research to improve quality by using a 
combination of funds from the Medicare Trust Funds and a fee 
paid by private health insurers.
    On May 6, 2008, the Subcommittee held a hearing to receive 
testimony from CMS and other stakeholders on Medicare's Durable 
Medical Equipment competitive acquisition program. Information 
from this hearing was used to develop the policy in H.R. 6331, 
the Medicare Improvements for Patients and Providers Act (P.L. 
110-275) that reformed and delayed implementation of that 
program.
    On July 24, 2008 the Subcommittee held a hearing on the 
adoption and use of health information technology. Testimony 
from that hearing was used to develop H.R. 6898, the Health-e 
Information Technology Act. That legislation would use 
incentives provided through the Medicare program to spur 
adoption of health information technology systems by providers.
    On March 27, 2007, the Subcommittee held a hearing on 
mental health and substance abuse parity in Medicare and the 
commercial market. Information gathered was used to develop 
policies to provide Medicare mental health parity in H.R. 3162, 
the Children's Health and Medicare Protection (CHAMP) Act and 
H.R. 6331, the Medicare Improvements for Patients and Providers 
Act of 2008 (P.L. 110-275). It was also used to lay the 
groundwork for enactment of the Paul Wellstone and Pete 
Domenici Mental Health Parity and Addiction Equity Act of 2008 
(P.L. 110-343), which ensure that mental health and substance 
abuse benefits are treated the same as those provided for 
physical aliments.
    2. Medicare Part C (Private Plans).
    Actions taken: On March 21, 2007, the Subcommittee held a 
hearing to receive testimony on structure and costs of Medicare 
Advantage (MA) program. On May 22, 2007, the Subcommittee held 
a hearing on Medicare Advantage Private Fee-For-Service plans 
Information gathered from these hearings was used to guide MA 
reforms, including provisions that would establish beneficiary 
protections against excessive cost sharing, eliminate 
overpayments to Medicare Advantage plans and prohibit abusive 
marketing in H.R. 3162, the Children's Health and Medicare 
Protection (CHAMP) Act.
    On October 16, 2007, the Subcommittee held a joint hearing 
with the Oversight Subcommittee, on CMS' audits of Medicare 
Advantage plan bids. On February 28, 2008, the Subcommittee 
held a hearing to receive testimony on Medicare Advantage plans 
on cost-sharing in MA plans, plan profits and administrative 
costs, and overpayments to MA plans. GAO testified about their 
study jointly commissioned by the Committee along with the 
Energy & Commerce and Oversight and Government Reform 
Committees, Medicare Advantage: Increased Spending Relative to 
Medicare FFS Costs May Not Always Reduce Out-of-Pocket Costs. 
These hearings, as well as the CHAMP Act, which passed the 
House, informed policies to improve marketing guidelines, 
reduce overpayments and reform the private fee-for-service plan 
option in H.R. 6331, the Medicare Improvements for Patients and 
Providers Act of 2008 (P.L. 110-275). These changes reduced 
Medicare payments to plans, which will make Medicare more 
affordable for beneficiaries. This law also established greater 
protections for beneficiaries enrolled in private fee-for-
service plans, and protected all beneficiaries from aggressive 
marketing. The Subcommittee intends to consider legislation to 
completely eliminate overpayments to Medicare Advantage plans.
    3. Medicare Part D (Prescription Drug Plans).
    Actions taken: On Thursday, June 21, 2007, the Subcommittee 
held a hearing to receive testimony on beneficiary protections 
under Part D. On June 27, 2008, GAO released a report on Part D 
entitled, ``MEDICARE PART D: Complaint Rates are Declining, but 
Operational and Oversight Challenges Remain''. This report was 
jointly commissioned by the Committee along with the Committees 
on Energy & Commerce and Oversight & Government Reform. This 
information was used to develop policies to reduce certain cost 
sharing and improve beneficiary protections under Part D, 
particularly for low-income beneficiaries in H.R. 3162, the 
Children's Health and Medicare Protection (CHAMP) Act and the 
Medicare Improvements for Patients and Providers Act of 2008 
(P.L. 110-275). It was also used to develop the policy to 
codify the six protected classes of drugs and increase the 
number of beneficiaries eligible for low-income assistance in 
H.R. 6331, the Medicare Improvements for Patients and Providers 
Act of 2008 (P.L. 110-275). The Subcommittee will continue to 
monitor Part D and intends to consider legislation to make 
improvements to the Part D program.
    4. Protecting Medicare.
    Actions taken: On April 25, 2007 and April 1, 2008, the 
Subcommittee held hearings on the Annual Medicare Trustees 
Reports for 2007 and 2008, respectively. The Subcommittee heard 
testimony on the solvency of the Medicare Trust Funds, 
increases in premium levels under the President's budget, and 
other issues relating to Medicare's fiscal strength and 
outlook.
    5. CMS Administration.
    On February 13, 2007, the Subcommittee held a hearing on 
the Medicare Portions of the President's Fiscal Year 2008 
Budget. The Subcommittee heard testimony from the Acting 
Administrator of Centers for Medicare and Medicaid Services. On 
February 14, 2008, the Subcommittee held a hearing on the 
Medicare Portions of the President's Fiscal Year 2009 Budget. 
The Subcommittee heard testimony from the Acting Administrator 
of Centers for Medicare and Medicaid Services. Information 
gathered in these hearings was used to develop policies 
included in H.R. 3162, the Children's Health and Medicare 
Protection (CHAMP) Act and H.R. 6331, the Medicare Improvements 
for Patients and Providers Act of 2008 (P.L. 110-275).
    Actions taken: On March 8, 2007, the Subcommittee held a 
hearing on Medicare Program Integrity. The Subcommittee heard 
testimony from the Department of Health and Human Services 
Office of the Inspector General, the Centers for Medicare and 
Medicaid Services, and the Department of Justice.
    6. Health Insurance Coverage/Health Reform.
    Actions taken: The Subcommittee held a series of hearings 
on insurance coverage and issues related to health reform. On 
April 15, 2008, the Subcommittee held a hearing on the 
instability of health care coverage in America, which focused 
on both those with and without health insurance coverage. On 
June 10, 2008, the Subcommittee held a hearing on addressing 
disparities in health and healthcare. On July 15, 2008, the 
Subcommittee held a hearing to receive testimony on state 
coverage initiatives. On September 23, 2008, the Subcommittee 
held a hearing on issues in the private health insurance 
market. The Subcommittee will continue to conduct hearings on 
health care reform and intends to consider health care reform 
legislation.
    On March 14, 2007, the Subcommittee held a hearing on 
genetic non-discrimination. The Subcommittee heard testimony 
from the National Institutes of Health, researchers, health 
plans and consumers. The information was used to favorably 
report H.R. 493, the Genetic Information Nondiscrimination Act, 
which was enacted into law on May 21, 2008 (P.L. 110-233).
    On March 27, 2007, the Subcommittee held a hearing on 
mental health and substance abuse parity in Medicare and the 
commercial market. Information gathered was used to develop the 
Paul Wellstone and Pete Domenici Mental Health Parity and 
Addiction Equity Act of 2008 (P.L. 110-343).
    7. Health Savings Accounts (HSAs).
    Actions taken: On May 14, 2008, the Subcommittee held a 
hearing to receive testimony from the Government Accountability 
Office (GAO), researchers, patient advocates, and health care 
professionals on Health Savings Accounts (HSAs) and high 
deductible health plans (HDHPs). Specifically, the hearing 
addressed concerns that HSAs and HDHPs disproportionately 
benefit wealthy individuals and disadvantage those with high 
medical costs and/or modest incomes. This information was used 
to favorably report H.R. 5719, the Taxpayer Assistance and 
Simplification Act of 2008, which was passed by the House on 
April 16, 2008, and contained a provision to require 
documentation for HSA claims.
    8. Trade Adjustment Assistance (TAA) Health Insurance.
    Actions taken: On January 23, 2007, the full committee held 
a hearing to receive testimony from industry experts, 
researchers, and advocates on trade and globalization. The 
information was used to favorably report H.R. 3920: Trade and 
Globalization Assistance Act of 2007, which was passed by the 
House on October 31, 2007.

Subcommittee on Income Security and Family Support

    1. Poverty.
    Actions taken: The Subcommittee held a series of hearings 
that explored the nature and scope of poverty in the United 
States. On February 13, 2007 the Subcommittee held a hearing on 
economic opportunity and poverty in America. The hearing began 
with a panel of individuals who are currently living below or 
near the official poverty threshold who shared their personal 
experiences. The second panel of witnesses consisted of 
academic experts who assessed the nature and extent of poverty 
in the nation. Witnesses discussed the obstacles they faced in 
attempting to move up the economic ladder. Others discussed the 
pervasive nature of poverty in America, particularly among 
children, and how the suburban poor now outnumber the inner-
city poor by over one million people.
    On April 26, 2007 the Subcommittee held a hearing to 
review, discuss and evaluate proposals to reduce poverty. A 
panel of six experts outlined their recommendations to reduce 
the U.S. poverty rate. Experts included the Deputy Mayor of New 
York City, the President of Catholic Charities, representatives 
from think tanks, and an academic.
    The Subcommittee held a hearing on August 1, 2007 to 
evaluate the definitions and standards used to measure the 
number of Americans living in poverty. Witnesses at the hearing 
included a representative for the National Academy of Sciences, 
practitioners, policy experts and academics. The witnesses 
testified on the need to update the current poverty measure 
which was developed more than 40 years ago.
    On November 14, 2007 the Subcommittee held a hearing to 
examine how gaps in health coverage affect the income security 
of Americans. Hearing witnesses included a former foster youth 
who emancipated from the foster care system at age 18 with no 
health insurance, researchers, and policy experts. Witnesses at 
the hearing testified that Americans who lack health care 
coverage have less opportunity to increase their educational 
attainment and raise their earnings potential.
    The Subcommittee held a hearing on July 17, 2008 to 
consider legislative proposals to improve and update the 
current poverty measure. Testimony from the hearing highlighted 
a broad consensus that the current poverty measure is 
critically important, but it needs to be significantly updated. 
A modern poverty measure is necessary to accurately depict how 
widely shared economic prosperity is in America, to 
appropriately target resources to the most disadvantaged, and 
fully assess the impact of programs and policies designed to 
reduce poverty.
    2. Welfare and Work Programs.
    Actions taken: The Subcommittee held a hearing on March 6, 
2007 to evaluate recent changes made by the Deficit Reduction 
Act of 2005 to certain programs serving needy families, with 
particular focus on the Temporary Assistance for Needy Families 
(TANF) and child support enforcement programs. The hearing 
included testimony from a representative of the Department of 
Health and Human Services, as well as State officials 
responsible for administering the TANF, child care assistance, 
and child support enforcement programs. Several of the 
witnesses testified that the changes made by the Deficit 
Reduction Act reduced their ability to meet the needs of TANF 
families, particularly those with disabilities and those who 
have barriers to employment. The witnesses also noted that the 
reduction in federal funding for child support enforcement 
would limit their ability to enforce child support orders.
    On June 24, 2008, the House passed the Medicare 
Improvements for Patients and Providers Act of 2008 (H.R. 6331) 
by a vote of 355-59. The legislation included a provision that 
modified the Deficit Reduction Act of 2005 to extend through FY 
2009 supplemental grants under Title IV Part A (Temporary 
Assistance for Needy Families, or TANF) in the Social Security 
Act. Supplemental grants are provided to 17 States that have 
had high population growth or have low TANF funding per poor 
person.
    Following passage in the House, H.R. 6331 was approved by 
unanimous consent in the Senate on July 9, 2008. President Bush 
vetoed the bill on July 15, 2008, but that veto was overridden 
in both the House (383-41) and the Senate (70-26) later that 
day. The legislation became P.L. 110-275.
    3. Vulnerable Children.
    Actions taken: The Subcommittee held six hearings related 
to the well-being of children and families served by our 
nation's child welfare system. The first hearing reviewed the 
overall challenges that State child welfare agencies face in 
serving children under their supervision. Witnesses included 
The Honorable Anne Holton, the First Lady of the Commonwealth 
of Virginia, a representative from the U.S. Government 
Accountability Office, a State child welfare administrator, and 
service providers. The hearing highlighted a number of 
obstacles States face in providing services to vulnerable 
children and families including the current Federal financing 
structure, limited assistance to children living with 
relatives, an overextended child welfare workforce, limited 
assistance to youth who ``age out'' of the foster care system, 
and the lack of coordination with other systems that serve 
these children and families.
    On July 12, 2007 the Subcommittee held a hearing to explore 
issues facing youth who emancipate from (``age out'' of) the 
foster care system before finding a permanent home. Witnesses 
at the hearing included a panel of former foster youth who aged 
out of the system before they found a permanent family, a 
representative from the Government Accountability Office, and 
service providers who cater to older foster youth. The 
Subcommittee held a hearing on July 19, 2007 to assess the 
provision of health care services for children who are in the 
foster care system. The hearing featured a number of physicians 
and a State child welfare director, each of whom testified to 
the need for greater oversight of health care services to 
foster children.
    On February 27, 2008 the Subcommittee held a hearing to 
review legislative proposals designed to improve the child 
welfare system. At that hearing, Subcommittee Chairman Jim 
McDermott (D-WA) asked witnesses to evaluate the comprehensive 
reform bill that he introduced earlier that month, the Invest 
in KIDS Act (H.R. 5466), which was cosponsored by many 
Subcommittee Members. Witnesses at the hearing included Members 
of Congress, a former foster youth, a State child welfare 
director, a non-profit service provider, a representative for 
tribal child welfare associations, and policy experts.
    On June 19, 2008 Subcommittee Chairman Jim McDermott and 
Ranking Member Jerry Weller (R-IL) introduced bipartisan 
legislation to reform the nation's child welfare system. The 
legislation, the Fostering Connections to Success Act (H.R. 
6307), included several proposals that were based on the 
feedback received during the Subcommittee's series of child 
welfare hearings. H.R. 6307 would have extended Federal 
assistance to relatives who assume legal guardianship of 
eligible children for whom they have cared as foster parents, 
extended Federal foster care payments up to the age of 21 for 
foster children, and provided direct Federal foster care and 
adoption funding to tribal governments who run their own child 
welfare programs. The bill also would have improved the 
oversight of the health care and educational needs of foster 
children and increased access to Federal funding for training 
child welfare workers. On June 24, 2008, the legislation was 
adopted by the House by a voice vote.
    Following bicameral negotiations, a modified version of 
H.R. 6307, the Fostering Connections to Success and Increasing 
Adoptions Act of 2008 (H.R. 6893) was introduced on September 
15, 2008. The legislation passed the House on September 17, 
2008 by a voice vote, and was approved in the Senate by 
unanimous consent on September 22, 2008. The legislation was 
signed into law on October 7, 2008 and became P.L. 110-351.
    The Fostering Connections to Success and Increasing 
Adoptions Act amends Part E of Title IV of the Social Security 
Act to provide Federal reimbursement to States choosing to 
provide assistance to grandparents and other relatives who 
become legal guardians of children for whom they have cared as 
foster parents. It also provides grants to promote kinship 
navigator programs and other initiatives designed to connect 
and help relative caregivers. Furthermore, at State option, the 
new law allows Federal foster care assistance to continue up to 
the age of 21 for youth engaged in school, work, or other 
constructive activities. Additionally, the measure provides 
Federal adoption assistance to all special needs children 
(phased in on the basis of age and time in care), rather than 
only those children whose birth parents were eligible for cash 
welfare under the rules in place in 1996.
    The Fostering Connections to Success and Increasing 
Adoptions Act also includes a number of other important 
provisions to improve the well-being of foster children, 
including: requirements to improve the oversight of the health 
care needs of every foster child (covering their assessment, 
treatment, medical records, and medication); a required plan 
for the educational stability of every foster child and 
assurance of their school attendance; a requirement that 
reasonable efforts be made to place siblings together in 
foster, adoptive or guardianship placements; enhanced Federal 
funding for training to cover private child welfare workers and 
court personnel; direct Federal foster care and adoption 
assistance to tribal governments for children in their care; 
and an extension and improvement of the Adoption Incentives 
Program.
    In addition to H.R. 6307, other legislative changes that 
were made to the child welfare system include the Medicare 
Improvements for Patients and Providers Act of 2008 (H.R. 6331) 
which included a provision that modified the foster care 
matching rate for the District of Columbia in order to conform 
that program's matching rate to the rate provided under 
Medicaid. The Medicare Improvements for Patients and Providers 
Act of 2008 was enacted into law on July 15, 2008 following the 
House and the Senate overriding a Presidential veto of the 
legislation. The bill became P.L. 110-275.
    The Subcommittee held a hearing on May 8, 2008 on the use 
of psychotropic medications among children in foster care. 
Hearing witnesses included physicians, a professor of pharmacy 
and psychiatry, and a director of a residential treatment 
center. On July 31, 2008 the Subcommittee held a hearing to 
examine the over-representation of child of color in the foster 
care system and the primary factors that contribute to this 
problem, as well as potential remedies. Witnesses at the 
hearing included a representative for the Government 
Accountability Office, a former foster youth, representatives 
from two State taskforces examining the problem in their 
respective States, and a practitioner.
    Finally, the Subcommittee introduced several bipartisan 
resolutions commemorating the important contributions of the 
child welfare workforce, foster parents and adoptive parents. 
On April 17, 2007 Subcommittee Chairman McDermott and Ranking 
Member Weller introduced H. Res. 299, a resolution that 
expressed the sense of the House of Representatives that 
Congress should increase public awareness of child abuse and 
neglect. The legislation passed the House on April 24, 2007 by 
a vote of 411-0. On May 8, 2008 Subcommittee Chairman McDermott 
and Ranking Member Weller introduced H. Res. 1185, which 
expressed the sense of the House of Representatives that 
Congress should recognize the important contributions of 
Americans who serve as foster parents. The resolution was 
introduced on May 8, 2008 and passed by a voice vote on May 20, 
2008. And on September 15, 2008 Representative Jon Porter (R-
NV) introduced H. Res. 1432 which supported the goals and 
ideals of National Adoption Day and National Adoption Month. 
The legislation passed in the House by a voice vote on 
September 18, 2008.
    4. Disconnected Populations.
    Actions taken: The Subcommittee held a hearing on June 19, 
2007 on disconnected and disadvantaged youth. The objective of 
the hearing was to evaluate issues that lead youth to become 
disengaged from work and school or to become homeless. 
Witnesses at the hearing included Members of Congress, a 
recording artist that was a former homeless youth, a former-
incarcerated youth who is participating in a Youthbuild 
program, a service provider, and policy experts.
    On June 28, 2007 Subcommittee Chairman Jim McDermott 
introduced H. Res. 527, a resolution that recognized the month 
of November 2007 as National Homeless Youth Awareness Month. 
The legislation was passed in the House on July 11, 2007 by a 
voice vote.
    5. Unemployment Compensation.
    Actions taken: The Subcommittee held a hearing on March 15, 
2007 on increasing economic security for dislocated workers. 
The hearing reviewed proposals to improve the Unemployment 
Insurance (UI) system and to replace a portion of any lost 
wages between past and current employment for workers 
involuntarily changing jobs. Witnesses at the hearing included 
a former Secretary of the Department of Labor, policy experts 
and union representatives.
    On May 9, 2007 Subcommittee Chairman Jim McDermott 
introduced the Unemployment Insurance Modernization Act (H.R. 
2233) that would distribute funds to encourage, assist and 
reward States for removing barriers that limit coverage for 
low-wage and part-time workers, as well as workers leaving work 
for compelling family reasons, and for helping dislocated 
workers increase their skills. The legislation would have 
provided up to $7 billion from the Federal Unemployment Account 
for incentive payments to be distributed between FY 2008 
through FY 2012 to States meeting specific criteria related to 
their unemployment insurance systems.
    Provisions from the Unemployment Insurance Modernization 
Act were included in Title III of the Committee on Ways and 
Means' reported version of the Trade and Globalization 
Assistance Act of 2007 (H.R. 3920). The bill was reported out 
of the Full Committee, as amended, on October 24, 2007 by a 
recorded vote of 26-14. The House adopted H.R. 3920 on October 
31, 2007 by a vote of 264-157, and it was sent to the Senate on 
November 5, 2007.
    The Subcommittee held a joint hearing with the Subcommittee 
on Select Revenue Measures to evaluate the impacts of the 
misclassification of workers as independent contractors. 
Witnesses at the hearing included a representative from the 
Government Accountability Office, an individual who works as 
private contractors, a small business owner, and policy 
experts.
    On September 19, 2007 the Subcommittee held a hearing on 
reducing the gaps and disparities in access to unemployment 
insurance, particularly for low-wage and part-time workers. 
Hearing witnesses included a representative from the Government 
Accountability Office, State administrators, and policy 
experts. Several witnesses discussed the need to modernize the 
current Unemployment Insurance program and to reduce barriers 
to coverage for low-wage and part-time workers.
    Subcommittee Chairman McDermott and Representative Phil 
English (R-PA) introduced the Emergency Extended Unemployment 
Compensation Act (H.R. 5749) which would extend unemployment 
benefits in every State by 13 weeks and provide an additional 
13 weeks of benefits in States with high unemployment. Under 
the legislation, the extended benefits program would have been 
in effect through January 2009, and all benefits would have 
been paid out of the Federal unemployment trust funds.
    On April 10, 2008 the Subcommittee held a hearing to assess 
the need to extend unemployment benefits for displaced workers. 
The hearing featured testimony from policy experts and 
economists who spoke of the need for a federally-funded UI 
benefit extension for jobless workers.
    On April 16, 2008 the full Committee held a markup on the 
Emergency Extended Unemployment Compensation Act and reported 
it favorably with amendment by a recorded vote of 24-13. The 
legislation was passed by the House on June 12, 2008, 274-137.
    Provisions from H.R. 5749 were included in title IV of H.R. 
2642, the Supplemental Appropriations Act, 2008. Title IV of 
H.R. 2642 extended unemployment benefits for 13 additional 
weeks in all States. H.R. 2642 was adopted in the House on June 
19, 2008 and was signed into law on June 30, 2008. The 
legislation subsequently became P.L. 110-252.
    On September 10, 2008 Subcommittee Chairman McDermott 
introduced the Unemployment Compensation Extension Act of 2008 
(H.R. 6867) which would provide seven additional weeks of 
Federally-funded extended benefits in every State, plus another 
13 weeks of benefits for workers in States with high 
unemployment rates (defined as a three-month average of 6 
percent or higher). In combination with P.L. 110-252, the 
measure provides a maximum of 33 weeks of extended unemployment 
benefits.
    On September 11, 2008 the Subcommittee held a hearing on 
the challenges facing American workers in light of the changing 
workforce and globalization. Hearing witnesses included 
economists, policy experts, and researchers.
    The Unemployment Compensation Extension Act of 2008 (H.R. 
6867) passed the House on October 3, 2008 by a vote of 368-28 
and was passed in the Senate on November 20, 2008 by unanimous 
consent. The bill was signed into law on November 21, 2008 and 
became P.L. 110-449.
    The SSI Extension for Elderly and Disabled Refugees Act 
(H.R. 2608) amended the Internal Revenue Code to require the 
Secretary of the Treasury to offset overpayments of Federal 
taxes by any amount owed to a State for unemployment 
compensation debt due to fraud. The legislation was agreed to 
in the House on July 11, 2008 and was agreed to in the Senate, 
with an amendment, on September 17, 2008. The House adopted the 
Senate amendment to the bill on September 17, 2008 and the bill 
was signed into law on September 30, 2008. It became P.L. 110-
328.
    6. Supplemental Security Income.
    Actions taken: The Subcommittee held a hearing on March 22, 
2007 that evaluated the limitation on providing SSI benefits to 
refugees and other humanitarian immigrants. Witnesses at the 
hearing included a disabled refugee from Vietnam, 
representatives of various charities, and policy experts who 
testified on the need to extend the current eligibility of SSI 
benefits to refugees and other qualified humanitarian 
immigrants beyond seven years.
    On June 7, 2007 Subcommittee Chairman Jim McDermott and 
Ranking Member Jerry Weller introduced the SSI Extension for 
Elderly and Disabled Refugees Act (H.R. 2608). The legislation 
provided a two year extension of SSI benefits for refugees and 
other qualified humanitarian immigrants. The bill was passed in 
the House on June 11, 2007 by a voice vote. The legislation was 
agreed to in the Senate, with an amendment, by unanimous 
consent on August 1, 2008. The House adopted the Senate 
amendment to the legislation by voice vote on September 17, 
2008. H.R. 2608 was signed into law on September 30, 2008 and 
became P.L. 110-328.
    P.L. 110-328 amended the Immigration and Nationality Act, 
as amended by the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996, to extend SSI eligibility for 
humanitarian immigrants, including those whose SSI benefits 
were terminated in prior fiscal years. The measure required a 
sworn declaration from such aliens (except children under age 
18) that they have made a good faith effort to pursue U.S. 
citizenship. The law generally extended SSI benefits for an 
additional two years through FY2011.
    On October 17, 2007 the Subcommittee held a joint hearing 
with the Subcommittee on Select Revenue Measures to evaluate 
legislative proposals designed to help members of our armed 
forces and their families, as well as others volunteering in 
service to America. Witnesses at the hearing included Members 
of Congress, a representative for the Social Security 
Administration, a widow of a military officer killed in action, 
a director of a State veterans' affairs office, veteran affairs 
and first responder advocates. Witnesses at the hearing 
testified for the need for targeted assistance to help military 
personnel and their families while the service member is 
deployed.
    On April 16, 2008 Committee Chairman Charles Rangel, 
Subcommittee Chairman McDermott and other Members introduced 
the Heroes Earning Assistance and Relief Act of 2008 (H.R. 
6081) which included provisions that targeted the SSI program 
for former and current members of the uniformed services and 
AmeriCorps participants. Title II of the legislation amended 
title XVI of the Social Security Act to treat cash remuneration 
paid to a member of the uniformed services as earned income and 
certain housing payments to such members as in-kind support and 
maintenance for SSI program purposes. It also excluded State 
annuity payments to blind, disabled, or aged veterans for 
purposes of SSI benefit determinations. Finally, the 
legislation excluded any cash or in-kind benefit paid to an 
AmeriCorps participant from SSI income eligibility and benefit 
determinations.
    The Heroes Earning Assistance and Relief Act passed in the 
House on April 20, 2008 by a vote of 403-0. The bill was passed 
by the Senate, by unanimous consent, on April 22, 2008 and 
signed into law on June 17, 2008. It became P.L. 110-245.

Subcommittee on Social Security

            Hearings
    Full Committee.
    Actions taken: The Committee on Ways and Means held one 
oversight hearing of Social Security issues in the 110th 
Congress.
    Clearing the Disability Backlog--Giving the Social Security 
Administration the Resources It Needs to Provide the Benefits 
Workers Have Earned--On April 23, 2008, the Committee on Ways 
and Means held a hearing on the Social Security 
Administration's (SSA's) large backlog in disability claims and 
other declines in service to the public resulting from years of 
underfunding of the agency's administrative expenses. This 
hearing focused the impact of a large backlog of disability 
claims and the role of SSA resource shortages in the growth of 
the backlog, as well as other effects of these shortages, such 
as the impact on service in local field offices, telephone 
service, and SSA's ability to conduct program integrity 
activities. The hearing highlighted the need for increased 
administrative funding in FY2009 to address these critical 
issues.

Subcommittee on Social Security

    Actions taken: The Subcommittee on Social Security held 
eight oversight hearings in the 110th Congress. These hearings 
include:
    Hearing on Social Security Disability Backlogs--On February 
14, 2007, the Subcommittee held a hearing on SSA's disability 
claims backlog. The hearing focused on how the delays impact 
individuals who have applied for disability benefits; the 
effect on other critical agency workloads, including program 
integrity activities; steps SSA had taken to date to resolve 
the backlogs; and options for addressing the problem.
    Hearing on the Hiring of Administrative Law Judges at the 
Social Security Administration--On May 1, 2007, the 
Subcommittee held a hearing to examine SSA's ability to hire 
Administrative Law Judges (ALJs) to address the growing 
disability claims backlog. The hearing focused on the 
importance of having an adequate number of ALJs to address the 
growing disability claims backlog; barriers to SSA's hiring of 
ALJs; and the steps that must be taken to remove these 
barriers. In particular, the Subcommittee addressed the need to 
develop an updated register of ALJ candidates, the steps 
involved in this process, and the time frames in which it 
needed to occur. Following this hearing, on October 30, 2007 
the U.S. Office of Personnel Management (OPM) issued an updated 
register of candidates from which SSA was able to hire.
    Hearing on Employment Eligibility Verification Systems--On 
June 7, 2007 the Subcommittee held a hearing on current and 
proposed expansions of employment eligibility verification 
systems and the role of SSA in authenticating employment 
eligibility, including the potential costs and increased 
workloads that would be faced by the agency. The hearing also 
examined the potential impact of this system on workers and 
employers; how it would interact with REAL ID and other 
identification methods; and the privacy implications, 
especially in light of proposed data-sharing arrangements 
between agencies.
    Hearing on Protecting the Privacy of the Social Security 
Number from Identity Theft--On June 21, 2007 the Subcommittee 
held a hearing to examine what role the SSN plays in identity 
theft, and the steps that can be taken to increase SSN privacy 
and thereby limit its availability to identity thieves and 
other criminals. The hearing focused on how SSNs are currently 
used, what risks to individuals and businesses arise from its 
widespread use and options to restrict its use in the public 
and private sectors. Following this hearing, the Chairman and 
Ranking Member of the Subcommittee introduced legislation (see 
H.R. 3046).
    Hearing on Social Security Benefits for Economically 
Vulnerable Beneficiaries--On January 16, 2008, the Subcommittee 
held a hearing focused on the needs and concerns of low-income 
workers, people with disabilities, public servants and other 
at-risk groups, as well as proposals to improve their economic 
security, and the costs of such proposals. The hearing also 
considered the history and policy rationales for the Government 
Pension Offset (GPO), the Windfall Elimination Provision (WEP), 
and exempting some public employees from Social Security 
coverage.
    Hearing on Employment Eligibility Verification Systems and 
the Potential Impacts on SSA's Ability to Serve Retirees, 
People with Disabilities, and Workers--On May 6, 2008 the 
Subcommittee further examined the current and proposed 
expansions of the E-Verify pilot, including the impact of 
increased immigration-related workloads on SSA's ability to 
serve seniors, people with disabilities, and survivors of 
deceased workers. Also examined were the potential impact on 
businesses and employees; the technical and implementation 
challenges of expansion; and the data security implications of 
having personal information in the SSA database accessible to 
six million businesses nationwide. Findings from this hearing 
were included as provisions in E-Verify reauthorization 
legislation (H.R. 6633) to protect SSA's ability to perform its 
core mission. It also led to the successful conclusion of long-
standing negotiations between SSA and the Department of 
Homeland Security (DHS) regarding DHS reimbursement of SSA's 
costs associated with E-Verify.
    Hearing on Protecting Social Security Beneficiaries from 
Predatory Lending and Other Harmful Financial Institution 
Practices--On June 24, 2008 the Subcommittee held a hearing to 
evaluate how certain payday lending and other financial 
institution practices may harm vulnerable Social Security 
beneficiaries, and may undermine the intent of the benefit 
protections in the Social Security Act. The hearing also 
examined the response of SSA and federal agencies that regulate 
financial institution practices.
    Hearing on the Performance of Social Security 
Administration Appeals Hearing Offices--On September 16, 2008, 
the Subcommittee held a hearing on the performance of SSA's 
appeals hearing offices. The hearing focused on factors that 
affect productivity, initiatives SSA is taking to increase 
efficiency and productivity, and other approaches to improving 
productivity without compromising the quality and impartiality 
of decision- making or the due process rights of claimants.

Additional Oversight Activities

    SSA Budget and Service Delivery.
    Actions taken: Budget shortfalls at SSA directly affected 
service delivery to constituents, and it was a growing concern 
to the members of the 110th Congress. Since FY 2001, the number 
of people awaiting a hearing on their Social Security 
Disability Insurance (SSDI) claim almost doubled--from about 
392,000 to about 752,000 today and waiting times increased to 
an average of 17 months at the hearing level alone. The 
Subcommittee aggressively sought an adequate increase in 
administrative funding for SSA to directly address the 
disability backlogs and conducted a series of oversight 
hearings on causes of the service shortfalls and solutions to 
the problem. For FY 2008, Congress adopted an increase in SSA's 
administrative funding of $150 million above the President's 
request for SSA. The FY 2009 appropriations bill passed by the 
Subcommittee on Labor, Health and Human Services, Education and 
Related Agencies included an increase of $100 million above the 
President's request, however, this bill did not pass before the 
110th Congress adjourned.
    Disability Case Processing Backlogs.
    Actions taken: In addition to the hearings held, the 
Subcommittee monthly monitored the number of pending disability 
cases in each state and the average time each backlogged case 
was taking to complete. Moreover, the Subcommittee met 
frequently with representatives of SSA's Office of Disability 
Adjudication and Review, attended briefings on updates to the 
backlog and advocated for SSA's stated needs to address the 
backlog.
    Management of the Ticket To Work Program.
    Actions taken: The Subcommittee monitored SSA's progress in 
addressing problems with the Ticket to Work Program, including 
issuing revised regulations (published in May 2008) and 
renewing marketing efforts. The Subcommittee also monitored 
SSA's progress in implementing related demonstration projects, 
and provided input on their design. Finally, the Subcommittee 
attended numerous Ticket to Work and Work Incentives Advisory 
Panel meetings and briefings, engaged in ongoing communication 
with the Panel, and offered input on the final report issued to 
the President and Congress.
    New Disability Adjudication Process.
    Actions taken: The Subcommittee monitored new and proposed 
regulations issued by SSA to ensure continued service delivery 
to beneficiaries. These new procedures included proposed 
changes to medical evidence collection and review by SSA and 
the use of video hearings. After strong objections from 
Congress and stakeholders, SSA withdrew a proposed regulation 
to restrict appeals rights of disability claimants.
    Social Security Number Protection.
    Actions taken: After the Subcommittee held a hearing on the 
problem of identity theft and misuse of SSNs, the Chairman and 
Ranking Member introduced H.R. 3046, the ``Social Security 
Number Privacy and Identity Theft Prevention Act of 2007.'' The 
Full Committee held a mark-up and unanimously passed this 
legislation, however it was not considered on the floor of the 
House of Representatives.

Subcommittee on Trade

    Priorities of the Office of the United States Trade 
Representative.
    Actions taken: On January 30, 2007, the Committee held a 
hearing on trade and globalization. The hearing explored the 
integration of markets brought about by globalization. The 
hearing also examined how U.S. trade policy can be used as a 
tool to shape globalization and to ensure that the forces of 
the global economy are harnessed most effectively and 
efficiently to generate the maximum amount of broadly based 
economic growth. Witnesses at the hearing included former 
officials from the Clinton and Bush administrations and 
representatives from the business community and other non-
governmental organizations.
    On February 14, 2007, the Committee held a hearing on the 
direction and content of U.S. trade policy, including: (1) the 
status of the WTO Doha Round negotiations; (2) the status of 
U.S. free trade agreements; (3) policy responses to the U.S. 
trade deficit and debt; (4) the operations of the WTO Dispute 
Settlement Body; (5) the status of WTO accession negotiations; 
(6) the effectiveness of U.S. preference programs; and (7) 
presidential trade negotiating authority. U.S. Trade 
Representative Susan C. Schwab was the sole witness at the 
hearing.
    In March 2007, the Committee received the 2007 Trade Policy 
Agenda and the 2006 Annual Report of the President of the 
United States on the Trade Agreements Program. Section 163 of 
the Trade Act of 1974, as amended, and sections 122 and 124 of 
the Uruguay Round Agreements Act require USTR to submit this 
report to Congress annually.
    In March 2007, the Committee received the 2007 National 
Trade Estimate Report. This annual report from USTR to Congress 
is mandated by section 181 of the Trade Act of 1974, as amended 
by section 303 of the Trade and Tariff Act of 1984, section 
1304 of the Omnibus Trade and Competitiveness Act of 1988, 
section 311 of the Uruguay Round Trade Agreements Act, and 
section 1202 of the Internet Tax Freedom Act.
    On May 10, 2007, Congressional leaders reached an historic 
agreement with the Administration to revise the free trade 
agreements (FTAs) that had been concluded but had not yet been 
submitted to Congress at that time (with Colombia, Korea, 
Panama and Peru). As a result of the ``May 10 Agreement,'' 
these FTAs became the first U.S. FTAs to include fully-
enforceable basic international labor standards, as stated in 
the 1998 ILO Declaration on Fundamental Principles and Rights 
at Work. They were also the first FTAs to require the parties 
to implement and enforce their obligations under certain common 
multilateral environmental agreements and, in the case of the 
U.S.-Peru Trade Promotion Agreement, to require Peru to take 
major, specific steps to address illegal logging.
    The May 10 Agreement also required other important changes 
to the texts of these FTAs, including: (1) modifications of the 
intellectual property chapter to balance promoting access to 
medicines and protecting pharmaceutical innovation (in 
particular, in the agreements with Colombia, Panama and Peru); 
(2) clarification that the government procurement chapters 
allow conditioning of contracts on adherence to basic and 
minimum labor standards; (3) clarification that, where there 
are national security concerns, the United States can prevent 
foreign companies from operating U.S. ports; and (d) 
clarification that the FTAs do not accord foreign investors in 
the United States with greater substantive rights with respect 
to investment protections than U.S. investors in the United 
States.
    The May 10 Agreement included all of the changes to the 
texts of the Peru and Panama FTAs that Committee Chairman 
Rangel and Trade Subcommittee Chairman Levin considered 
necessary for Committee consideration of those agreements. The 
Chairmen also considered these changes necessary--but not 
sufficient--for Committee consideration of the Colombia and 
Korea FTAs. The May 10 documents note that, in the case of 
Colombia, the persistent violence against trade unionists (and 
the related problem of impunity) creates special problems and 
considerations not presented in the context of the Peru and 
Panama FTAs. Similarly, the Chairmen noted that the problem of 
Korea's systemic barriers in the automotive, manufactured, 
agricultural, and services markets would have to be addressed.
    In March 2008, the Committee received the 2008 Trade Policy 
Agenda and the 2007 Annual Report of the President of the 
United States on the Trade Agreements Program. Section 163 of 
the Trade Act of 1974, as amended, and sections 122 and 124 of 
the Uruguay Round Agreements Act require USTR to submit this 
report to Congress annually.
    In March 2008, the Committee received the 2008 National 
Trade Estimate Report. This annual report from USTR to Congress 
is mandated by section 181 of the Trade Act of 1974, as amended 
by section 303 of the Trade and Tariff Act of 1984, section 
1304 of the Omnibus Trade and Competitiveness Act of 1988, 
section 311 of the Uruguay Round Trade Agreements Act, and 
section 1202 of the Internet Tax Freedom Act.

Subcommittee on Trade

     Fast Track.
    See discussion above under Full Committee--Oversight of 
Trade Priorities.
     Korea Free Trade Agreement (FTA).
    Actions taken: On February 2, 2006, U.S. Trade 
Representative Portman formally notified Congress of the 
Administration's intention to initiate negotiations for a free 
trade agreement with the Republic of Korea. Negotiations began 
in June 2006. On March 20, 2007, the Trade Subcommittee held a 
hearing on the Korea FTA on March 20, 2007. The hearing focused 
on the major outstanding issues in the negotiations (in 
particular, the need to open Korea's automotive market) and on 
the possible agricultural benefits of an FTA (including the 
need to open Korea's closed rice and beef markets). Witnesses 
at the hearing included Deputy U.S. Trade Representative Karan 
Bhatia and representatives from the business and agricultural 
communities and a labor union representative.
    On April 1, 2007, U.S. Trade Representative Schwab 
announced that the negotiations reached their conclusion. 
Simultaneously, President Bush officially notified Congress of 
his intention to sign the Free Trade Agreement between the 
United States and Korea. The agreement was signed on June 30, 
2007. In September 2007, the Committee received a report from 
the ITC entitled U.S.-Korea Free Trade Agreement: Potential 
Economy-wide and Selected Sectoral Effects. Publication 3949. 
Washington, D.C.: September 2007.
     Other Free Trade Agreements (FTAs).
    Actions taken. The Trade Act of 2002 (P.L. 107-210) 
included provisions to renew trade agreement approval 
procedures (known as ``fast track'' or ``trade promotion 
authority'') that were first enacted in 1974. Under those 
procedures, Congress grants the President the authority to 
enter into certain reciprocal trade agreements, and to have 
implementing bills considered under expedited legislative 
procedures and without the opportunity for amendment, provided 
the President observes certain statutory obligations in 
negotiating them.
    U.S.-Peru Trade Promotion Agreement.
    On November 18, 2003, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Colombia, 
Ecuador and Peru. Negotiations with those countries began in 
May 2004, with Bolivia participating as an observer. On 
December 7, 2005, the United States and Peru announced that 
they had concluded FTA negotiations. On January 6, 2006, 
President Bush officially notified Congress of his intention to 
sign the U.S.-Peru Trade Promotion Agreement. The agreement was 
signed on April 12, 2006. The President, however, did not 
submit an implementing bill in the remaining months of the 
109th Congress.
    On May 10, 2007, House and Senate leaders reached an 
agreement with the Administration regarding the need to make 
several substantial changes to the text of the trade agreement 
with Peru, as described in more detail above. The United States 
renegotiated the text with Peru, and U.S. Trade Representative 
Schwab announced on June 25, 2007, that an agreement was 
reached with Peru. As noted above, the President signed the 
implementing legislation into law on December 14, 2007 (P.L. 
110-138).
    From August 5 to 7, 2007, the Chairman, Subcommittee 
Chairman Sander Levin and Committee Member Allyson Schwartz 
traveled to Lima, Peru on a Codel. The purpose of the Codel was 
to meet with the President of Peru, other Peruvian officials 
and private sector representatives, including representatives 
of labor and business groups and other non-governmental 
organizations, in regard to congressional consideration of the 
U.S.-Peru Trade Promotion Agreement, implementation of the 
agreement, and implementation in particular of the elements of 
the agreement arising out of the agreement of May 10, 2007.
    On September 25, 2007, the Committee informally approved 
draft legislation to implement the United States-Peru Trade 
Promotion Agreement, by voice vote. The Committee conducted 
this informal markup to provide advice to the Administration on 
the implementing bill and Statement of Administrative Action. 
On September 27, 2007, Majority Leader Hoyer introduced (by 
request) H.R. 3688, the ``United States-Peru Trade Promotion 
Agreement Implementation Act,'' to be considered under the 
trade agreement approval procedures of the Trade Act of 2002.
    On October 31, 2007, the Committee held a formal markup 
session to consider H.R. 3688. The Committee approved the bill 
and favorably reported H.R. 3688 by a roll call vote of 39-0. 
Under the trade agreement approval procedures of the Trade Act 
of 2002, amendments are not permitted to the bill once it has 
been introduced. On November 8, 2007, the House passed the bill 
by a recorded vote of 285 to 132. On December 4, 2007, the 
Senate passed H.R. 3688, without amendment, by a recorded vote 
of 77-18. The President signed the bill into law on December 
14, 2007 (P.L. 110-138).
    Committee staff for the Majority and Minority traveled to 
Peru for meetings from June 7-14, 2008. The purpose of the 
delegation's trip was to get a better understanding of the 
challenges that Peru faces, and the progress it has made to 
date, to come into compliance with the United States-Peru Trade 
Promotion Agreement's Annex on Forest Sector Governance, a key 
component of the May 10 Agreement described above. For a 
portion of the trip, staff traveled to the department of Madre 
de Dios in the Peruvian Amazon with members of the United 
States inter-agency team responsible for the implementation of 
the Annex and their Peruvian counterparts. On the trip, 
Committee staff met with current and former federal and 
regional government officials, timber exporters, timber 
concessionaires, timber mill operators, representatives of 
Peruvian non-governmental organizations and other stakeholders.
    U.S.-Colombia Trade Promotion Agreement.
    On November 18, 2003, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Colombia, 
Ecuador and Peru, as noted above. On February 27, 2006, the 
United States and Colombia announced that they had concluded 
FTA negotiations. On August 24, 2006, President Bush officially 
notified Congress of his intention to sign the U.S.-Colombia 
Trade Promotion Agreement. The agreement was signed on November 
22, 2006. An implementing bill was not introduced in the 109th 
Congress.
    On May 10, 2007, House and Senate leaders reached an 
agreement with the Administration regarding the need to make 
several substantial changes to the text of the trade agreement 
with Colombia, as described in more detail above. The United 
States renegotiated the text with Colombia, and U.S. Trade 
Representative Schwab announced on June 28, 2007, that an 
agreement was reached with Colombia.
    On April 8, 2008, the President submitted the ``United 
States-Colombia Trade Promotion Agreement Implementation Act'' 
to the House of Representatives and the Senate. In accordance 
with the trade agreement approval procedures of the Trade Act 
of 2002, Majority Leader Hoyer introduced the bill, H.R. 5724, 
by request. The Committee did not informally mark up or approve 
the draft legislation prior to its introduction. The bill was 
introduced over the objections of House and Senate leaders and 
without close collaboration or cooperation between the 
executive branch and the Committee.
    On April 10, 2008, the House considered H. Res. 1092. H. 
Res. 1092 rendered inapplicable certain trade agreement 
approval procedures of the Trade Act of 2002 (relating to the 
period for Committee and Floor consideration and the procedures 
for Floor consideration) in the case of H.R. 5724. H. Res. 1092 
left intact other trade agreement approval procedures, such as 
the rule that an implementing bill may not be amended once it 
has been introduced. The House passed H. Res. 1092 by a vote of 
224-195 on April 10, 2008.
    As described above, on January 30, 2007, the Committee held 
a hearing concerning trade and globalization. In that hearing, 
Members and witnesses discussed a range of issues, including 
the status of FTA negotiations with Colombia, Korea, Panama and 
Peru, and other countries. In the hearing held on February 14, 
2007, described above, U.S. Trade Representative Schwab and the 
Members of the Committee discussed a range of issues, including 
the status of FTA negotiations with Colombia, Korea, Panama and 
Peru, and other countries.
    U.S.-Panama Free Trade Agreement.
    On November 18, 2003, U.S. Trade Representative Zoellick 
formally notified Congress of the Administration's intention to 
initiate negotiations for a free trade agreement with Panama. 
Negotiations were launched on April 26, 2004. On December 19, 
2006, the United States and Panama announced that they had 
completed negotiations, but with the understanding that further 
discussions were necessary. On March 30, 2007, President Bush 
officially notified Congress of his intention to sign the U.S.-
Panama Trade Promotion Agreement. After the May 10 changes, 
discussed above, were incorporated into the text of the 
agreement with Panama, the parties signed the agreement on June 
28, 2007.
    On May 15, 2007, the Committee held an executive session 
with the Vice President of Panama, H.E. Samuel Lewis Navarro. 
The session focused on the May 10 Agreement and its impact on 
Congressional consideration of the U.S.-Panama Free Trade 
Agreement.
    Preference Programs: Oversight of major U.S. trade 
preference programs such as the Generalized System of 
Preferences (GSP), African Growth and Opportunity Act (AGOA), 
Caribbean Basin Initiative (CBI), Andean Trade Preference Act 
(ATPA), and Haitian Hemispheric Opportunity Through Partnership 
Encouragement Act.
    Actions taken: On February 7, 2008, Committee on Ways and 
Means Chairman Charles B. Rangel introduced H.R. 5264, the 
Andean Trade Preference Extension Act of 2008. H.R. 5264: (1) 
extended until September 30, 2010 the Andean Preference 
Programs, the Caribbean Basin Initiative (CBI) preferences and 
the Generalized System of Preferences (GSP); (2) repealed an 
``abundant supply'' requirement that restricted least-developed 
countries' ability to use the African Growth and Opportunity 
Act's (AGOA) flexible ``third country fabric'' rule; (3) 
reinstated Mauritius' eligibility to use AGOA's ``third-country 
fabric'' provisions; and (4) repealed the GSP's competitive 
need limitation (CNL) waiver provisions. On February 14, 2008, 
the Committee on Ways and Means met to consider H.R. 5264. At 
that time, Chairman Rangel offered an amendment in the nature 
of a substitute, which was adopted by voice vote. The amendment 
was limited to a 10-month extension of the Andean Preference 
Programs; none of the CBI, GSP or AGOA provisions included in 
the bill as introduced was retained. On February 25, 2008, the 
bill was reported by the Committee. On February 27, 2008, the 
House took up H.R. 5264 and passed it by voice vote. On 
February 28, 2008, the bill was passed by the Senate by 
unanimous consent. On February 29, 2009, it was signed by the 
President and became Public Law No. 110-191.
    On March 29, 2007, the Chairman introduced H.R. 1830, a 
bill to extend to September 30, 2009, the Andean Trade 
Preference Act and the Andean Trade Preferences and Drug 
Eradication Act (hereinafter ``the Andean Preference 
Programs''). On June 27, 2007, the House took up the bill, as 
amended, under suspension and passed it by a recorded vote of 
365-59. As amended, H.R. 1830 extended the Andean Preference 
Programs until February 29, 2008. On June 28, 2007, the bill 
was received in the Senate and passed by unanimous consent. On 
June 30, 2007, H.R. 1830 was signed by the President and became 
Public Law No. 110-42.
    On May 22, 2007, H.R. 2419, the Food, Conservation and 
Energy Act of 2008, was introduced. It was reported, as 
amended, by the Committee on Agriculture on July 23, 2007. On 
July 27, 2007, the House took up H.R. 2419 and passed the bill 
by recorded vote of 231-191.
    On June 19, 2007, the Committee held an executive session 
with the Heads of State of nine Member countries of the 
Caribbean Community and Common Market (CARICOM) to discuss ways 
to strengthen trade and economic ties between the Caribbean and 
the United States.
    In June 2007, the Committee received a report from the GAO 
entitled Information on Port Security in the Caribbean Basin. 
Publication GAO-07-804R. Washington, D.C.: June 29, 2007.
    In September 2007, the Committee received a report from the 
ITC entitled The Impact of the Caribbean Basin Economic 
Recovery Act, Eighteenth Report 2005-2006. Publication 3954. 
Washington, D.C.: September 2007
    In September 2007, the Committee received a report from the 
ITC entitled Commercial Availability of Fabric & Yarns in AGOA 
Countries: Certain Denim. Publication 3950, Washington, D.C.: 
September 2007.
    In September 2007, the Committee received a report from the 
GAO entitled U.S. Trade Preference Programs: An Overview of Use 
by Beneficiaries and U.S. Administrative Reviews. Publication 
GAO-07-1209. Washington, D.C.: September 2007.
    On December 14, 2007, the Senate passed H.R. 2419 with an 
amendment by a recorded vote of 79-14. During the conference, 
at the request of members of the Committee, additional 
preference provisions were added to modify the Haitian 
Hemispheric Opportunity through Partnership Encouragement 
(HOPE) Act. The ``HOPE II'' provisions included in H.R. 2419 
provide additional, simplified ways for Haitian apparel to 
qualify for duty-free treatment and enhanced incentives to use 
U.S. inputs. HOPE II also required that Haiti establish a 
comprehensive labor monitoring program in its apparel sector 
with assistance from the International Labor Organization. The 
preference provisions added in the Farm Bill conference also 
extended the expiring provisions of the Caribbean Basin 
Initiative for two years.
    The conference report was filed on May 13, 2008. The 
conference report was agreed to in the House by a recorded vote 
of 318-106 on May 14, 2008. The Senate agreed to the conference 
report by a recorded vote of 81-15 on May 15, 2008. On May 21, 
2008, the legislation was vetoed by the President. The House 
passed the bill over the President's veto by a recorded vote of 
316-108 on May 22, 2008. The Senate passed the bill over the 
President's veto by a recorded vote of 82-13 on May 22, 2008, 
and it became Public Law No. 110-234.
    Due to a technical error, only 14 of the 15 chapters of the 
conference report were presented to the President, vetoed and 
passed by Congress over the veto. As such, all 15 chapters of 
the conference report were introduced as H.R. 6124, the Food, 
Conservation and Energy Act of 2008, on May 22, 2008. On that 
same day, the House took up H.R. 6124 and passed the bill under 
suspension by a recorded vote of 306-110. On June 5, 2008, the 
Senate passed H.R. 6124 without amendment by a vote of 77-15. 
On June 18, 2008, the President vetoed the legislation. The 
House passed the bill over the President's veto by a recorded 
vote of 317-109 on June 18, 2008. The Senate passed the bill 
over the President's veto by a recorded vote of 80-14 on June 
18, 2008, and it became Public Law No. 110-246.
    In March 2008, the Committee received a report from the GAO 
entitled U.S. Trade Preference Programs Provide Important 
Benefits, but a More Integrated Approach Would Better Ensure 
Programs Meet Shared Goals. Publication GAO-08-443. Washington, 
D.C.: March 2008.
    In May 2008, the Committee received a report from the ITC 
entitled Caribbean Region: Review of Economic Growth and 
Development. Publication 4000. Washington, D.C.: May 2008.
    In June 2008, the Committee received a report from the ITC 
entitled Textiles and Apparel: Effects of Special Rules for 
Haiti on Trade Markets and Industries. Publication 4016. 
Washington, D.C.: June 2008.
    On July 16, 2008, the Committee held an executive session 
with trade ministers (or their designates) from 35 sub-Saharan 
African countries, who were in Washington D.C. for the 7th 
Annual Africa Growth and Opportunity Act (AGOA) Forum. The 
meeting yielded a productive exchange of views on how AGOA has 
worked and on priorities for next steps.
    On July 22, 2008, Committee on Ways and Means Chairman 
Charles B. Rangel introduced H.R. 6560, a bill to establish an 
earned import allowance program under Public Law 109-53, and 
for other purposes. H.R. 6560: (1) established a ``2 for 1'' 
textile and apparel allowance program to be developed and 
administered by the Secretary of Commerce under which Dominican 
apparel producers could ``earn'' the right to export duty free 
certain apparel made with non-U.S. non-regional fabric, if they 
have purchased certain quantities of U.S. fabric for use in 
apparel production; (2) extended the GSP program for one year 
to December 31, 2009; (3) repealed the AGOA ``abundant supply'' 
requirement (see description above); and (4) made several of 
non-controversial, technical corrections to AGOA and the 
Haitian Hemispheric Opportunity through Partnership 
Encouragement Act of 2008 (HOPE II). On July 29, 2008, the 
House took up H.R. 6560 and passed the bill by voice vote. On 
July 30, 2008, it was received in the Senate and referred to 
the Committee on Finance. No further action was taken in the 
Senate.
    In August 2008, the Committee received a report from the 
ITC entitled Denim Fabric: Commercial Availability in AGOA 
Countries During Fiscal Year 2009. Publication 4027. 
Washington, D.C.: August 2008.
    On September 29, 2008, Committee on Ways and Means Chairman 
Charles B. Rangel introduced H.R. 7222, a bill to extend the 
Andean Trade Preference Act, and for other purposes. H.R. 7222: 
(1) extended the GSP program for one year to December 31, 2009 
(2) extended the Andean Preference Programs for (a) one year 
for Colombia and Peru (until December 31, 2009), (b) six months 
for Ecuador plus an additional six months unless the 
Administration determines that Ecuador does not satisfy the 
Andean Preference Program criteria and (c) six months for 
Bolivia plus an additional six months only if the 
Administration determines that Bolivia satisfies the Andean 
Preference Program criteria; (3) repealed the AGOA ``abundant 
supply'' requirement (see description above); (4) reinstated 
Mauritius' eligibility to use the AGOA ``third-country fabric'' 
provisions; and (5) established a ``2 for 1'' textile and 
apparel allowance program to be developed and administered by 
the Secretary of Commerce (see description above); and (6) made 
several of non-controversial, technical corrections to AGOA and 
the Haitian Hemispheric Opportunity through Partnership 
Encouragement Act of 2008. On September 29, 2007, the Committee 
on Ways and Means discharged H.R. 7222 and the House passed it 
without objection on that same day. On October 2, 2008, H.R 
7222 passed with an amendment in the Senate by unanimous 
consent. On October 3, 2008, the House agreed to the Senate 
amendment without objection. On October 16, 2008, H.R. 7222 was 
signed by the President and became Public Law No. 110-436.
    In September 2008, the Committee received a report from the 
ITC entitled Andean Trade Preference Act: Impact on U.S. 
Industries and Consumers and on Drug Crop Eradication and Crop 
Substitution, 2007. Thirteenth Report. Publication 4037. 
Washington, D.C.: September 2008.
     Haiti.
    See discuss in preceding section.
     World Trade Organization (WTO) Negotiations.
    Actions taken. As described above, the Committee held a 
hearing on January 30, 2007, concerning trade and 
globalization. In that hearing, Members and witnesses discussed 
a range of issues, including the status of the WTO Doha Round 
of trade negotiations and the need to enforce existing WTO 
rules through the WTO dispute settlement mechanism.
    In the hearing held on February 14, 2007, described above, 
U.S. Trade Representative Schwab and the Members of the 
Committee discussed a range of issues, including the status of 
the WTO Doha Round of trade negotiations and the need to 
enforce existing WTO rules through the WTO dispute settlement 
mechanism.
    In March 2007, the Committee received a report from the GAO 
entitled World Trade Organization: Congress Faces Key Decisions 
as Efforts to Reach Doha Agreement Intensify. Publication GAO-
07-379. Washington, D.C.: March 5, 2007.
    On April 24, 2007, the Committee held an executive session 
with WTO Director General Pascal Lamy to discuss the status of 
the Doha Round of multilateral trade negotiations.
    On November 8, 2007, the Committee held an executive 
session with the European Union Commissioner for Trade, Peter 
Mandelson. The Commission and the Committee Members discussed 
the status of the Doha Round of negotiations, among other trade 
issues.
    From December 9-12, 2007, Committee staff for the Majority 
and Minority traveled to Geneva, Switzerland, for meetings at 
the World Trade Organization. The purpose of the trip was to 
gather information on the status of the Doha Round negotiations 
and to share the Committee's views with WTO Members. While in 
Geneva, staff met individually with the WTO Director General 
Lamy, his deputy, Rufus Yerxa, the Agriculture, Rules, and 
Services chairs of the negotiations (WTO representatives of New 
Zealand, Uruguay and Mexico, respectively), and representatives 
of Brazil, China, Costa Rica, the European Communities, and 
India. Staff also held three larger meetings, one with WTO 
Members from the African nations, one with Members from the 
Caribbean nations, and one with representatives from Australia, 
Chile, Japan, and Malaysia. Two staff members, one from the 
Majority and one from the Minority, remained in Geneva for an 
additional day to observe the first day of consideration of a 
proposed Rules text (in particular, those portions related to 
trade remedy laws, such as antidumping and countervailing duty 
laws).
    From June 30, through July 1, 2008, Committee staff for the 
Majority and Minority traveled to Geneva, Switzerland, for 
meetings at the WTO. The purpose of the trip was to assess the 
progress that had been made since the December meetings and to 
monitor further the negotiations. While in Geneva, staff met 
with the Chief of Staff to WTO Director General Lamy, as well 
as with the chairs of the Agriculture, Industrial Goods, Rules, 
and Services negotiations. Staff also met with the head of the 
WTO Rules Division. While there, Staff conducted bilateral 
meetings with representatives of Brazil, China, and the 
European Communities. Staff also held three larger meetings, 
one with WTO Members from African nations (Benin, Kenya, 
Rwanda, South Africa, and Uganda), one with Members from the 
Caribbean nations, and one with representatives from Japan, 
Norway, and Singapore to discuss perspectives on the Rules 
negotiations.
    On July 17, 2008, the Committee held an executive session 
with U.S. Trade Representative Schwab to discuss the status of 
the Doha round of trade negotiations and, more specifically, 
the WTO ministerial meeting which was scheduled (and took 
place) at the end of that month (July 21-30).
    From July 28 to August 3, Committee staff for the Majority 
and Minority traveled to Geneva, Switzerland to observe and 
consult with the Bush Administration on a critical moment in 
the WTO ``Doha Development Agenda'' round of negotiations. The 
purpose of the trip was to meet with U.S. government 
representatives, U.S. private sector representatives, foreign 
government representatives, and WTO officials in regard to the 
ongoing negotiations, to hear their reports on the status of 
the negotiations, and their perspectives, and offer the 
perspectives of the Members of the Committee.
     Improving U.S. Trade Laws.
    Actions taken: In March 2008, Committee staff for the 
Majority and Minority traveled to Geneva, Switzerland, to 
attend the Appellate Body hearing in United States-Final Anti-
Dumping Measures on Stainless Steel from Mexico, a dispute 
involving the controversial methodology known as ``zeroing.'' 
The hearing was held from March 6-7, 2008. In addition to 
attending the hearing, Committee staff met with U.S. and WTO 
officials, including the head of the WTO Rules Division, to 
discuss the status of the Doha Round negotiations.
    For additional actions taken, see section relating to 
China.
     China.
    Actions taken. The Subcommittee on Trade held a series of 
hearings focused on (1) the impact of U.S.-China trade on jobs, 
wages, prices, manufacturing competitiveness and other aspects 
of the U.S. economy; (2) the causes of the U.S. trade deficit 
with China; (3) China's compliance with its WTO commitments; 
and (4) China's role in the world economy.
    The first hearing, held on February 15, 2007, addressed 
China's enforcement of intellectual property rights and the 
role and effect of subsidies in the Chinese market and their 
impact on competition with U.S. products in China. The Trade 
Subcommittee heard testimony from private sector interests and 
the Administration.
    The second hearing, held on March 15, 2007, addressed the 
application of countervailing duties to unfairly subsidized and 
injurious imports from nonmarket economy countries, with a 
focus on H.R. 1229, the ``Nonmarket Economy Trade Remedy Act of 
2007,'' introduced by Representatives Artur Davis (D-AL) and 
Phil English (R-PA). The Subcommittee received testimony from a 
Member of Congress, the Administration, and private sector 
interests.
    The third hearing, held on May 9, 2007, addressed the issue 
of currency manipulation and its effects on U.S. businesses and 
workers. Three subcommittees participated in the hearing: the 
Ways and Means Subcommittee on Trade; the Financial Services 
Subcommittee on Domestic and International Monetary Policy, 
Trade, and Technology; and, the Energy and Commerce 
Subcommittee on Commerce, Trade and Consumer Protection. The 
purpose of the hearing was to consider: (1) whether, and to 
what extent, the Chinese renminbi (RMB) and the Japanese yen 
are undervalued as a result of foreign government intervention 
in the currency markets; (2) the immediate and long-term impact 
an undervalued RMB or yen has on the economies of the United 
States and other countries, and on the global economy; and (3) 
what action, if any, the United States should take to address 
exchange rate manipulation. The Subcommittees received 
testimony during the hearing from the Administration and 
private sector interests.
    In the fourth hearing, held on August 2, 2007, the Trade 
Subcommittee considered various legislative proposals relating 
to trade with China. The legislation examined included bills to 
address trade-distorting currency practices, as well as 
legislation to modify U.S. trade remedy laws. In addition, the 
hearing addressed the safety of food imports into the United 
States and issues related to the application of sanitary and 
phytosanitary measures overseas and the consistency of those 
measures with World Trade Organization (WTO) rules. During the 
hearing, the Subcommittee received testimony from eleven 
Members of Congress, the Administration, and the private 
sector.
    On October 4, 2007, the Trade Subcommittee and the 
Oversight Subcommittee held a joint hearing on import safety. 
The hearing focused on the mechanisms and legal authorities 
under current law for ensuring the safety of food and consumer 
products imported into the United States.
    In addition to the five hearings described above, the Trade 
Subcommittee and other interested Members of the Committee held 
an executive session on February 13, 2007, on exchange rate 
regimes and their effect on international trade, with a focus 
on the policies of China and Japan. The Members of the 
Committee informally discussed these issues with several 
knowledgeable economists, from the business community and other 
non-governmental organizations.
    In December 2007, the Committee received a report from the 
ITC entitled China: Description of Selected Government 
Practices and Policies Affecting Decision Making in the 
Economy. Publication 3978. Washington, D.C.: December 2007. The 
report was the first in a three-part study requested by the 
Chairman on May 23, 2007. However, in a letter dated April 1, 
2008, the Chairman recognized that it was not possible for the 
ITC to access and analyze key information within the time 
agreed (given the lack of transparency in Chinese policymaking, 
the absence of a clear demarcation between central and 
provincial government responsibilities, the pace at which laws 
are being written and rewritten, and the incomplete development 
of the rule of law in China) and terminated the requested 
study.
    On December 11, 2007, the Committee received from the U.S. 
Trade Representative the ``2007 Report to Congress on China's 
WTO Compliance,'' pursuant to section 421 of the U.S.-China 
Relations Act of 2000 (P.L. 106-286).
    On December 1, 2008, the Committee received from the ITC 
the first in a series of reports entitled Statistical Reports 
on Certain Textile and Apparel Imports from China, under 
investigation No. 332-501. The Chairman of the Committee 
requested this investigation, pursuant to section 332(g) of the 
Tariff Act of 1930 (19 U.S.C. 1332(g)), to monitor textile and 
apparel imports from China following the expiration on December 
31, 2008, of the Memorandum of Understanding Concerning Trade 
in Textile and Apparel Products between the United States and 
China.
     Europe.
    On November 8, 2007, the Committee held an executive 
session with the European Union Commissioner for Trade, Peter 
Mandelson. The Commission and the Committee Members discussed 
the status of the Doha Round of negotiations, among other trade 
issues.
     Trade and Developing Countries.
    See discussion above regarding Preference Programs.
     Trade and U.S. Workers.
    On January 29, 2007, H.J. Res. 20, the Continuing 
Appropriations Resolution, 2007, was introduced in the House. 
The joint resolution included language, at the request of 
members of the Committee, prohibiting the Department of Labor 
from using appropriated funds ``to finalize or implement any 
proposed regulation under the Workforce Investment Act of 1998, 
Wagner-Peyser Act of 1933, or the Trade Adjustment Assistance 
Reform Act of 2002 until such time as legislation reauthorizing 
the Workforce Investment Act of 1998 and the Trade Adjustment 
Assistance Reform Act of 2002 is enacted.'' H.J. Res. was taken 
up and passed by a recorded vote of 286-140 on January 31, 
2007. It was taken up by the Senate and passed without 
amendment by a recorded vote of 81-15 on February 14, 2007. On 
February 15, 2007, it was signed by the President and became 
Public Law No. 110-5.
    In June 2007, the Committee received a report from the GAO 
entitled Industry Certification Would Likely Make More Workers 
Eligible, but Design and Implementation Challenges Exist. 
Publication GAO-07-919. Washington, D.C.: June 2007.
    In June 2007, the Committee received a report from the GAO 
entitled Trade Adjustment Assistance: Changes Needed to Improve 
States' Ability to Provide Benefits and Services to Trade-
Affected Workers. Publication GAO-07-995T. Washington, D.C.: 
June 14, 2007.
    On June 14, 2007, the Committee on Ways and Means held a 
hearing entitled ``Promoting U.S. Worker Competitiveness in a 
Globalized Economy.'' The hearing focused on the operation of 
and possible reforms to the Trade Adjustment Assistance for 
Workers program. Witnesses included Congressman Adam Smith; 
Sigurd Nilsen, Director for Education, Workforce, and Income 
Security Issues, Government Accountability Office; the 
Honorable Mason M. Bishop, Deputy Assistant Secretary, 
Employment and Training Administration, Department of Labor; 
David R. Williams, Director of Electronic Tax Administration 
and Refundable Credits, Internal Revenue Service, as well as 
representatives of state government workforce entities, 
organized labor, and non-profits and think tanks.
    On August 3, 2007, Committee on Ways and Means Trade 
Subcommittee Ranking Member Wally Herger introduced H.R. 3375, 
a bill to extend for three months the trade adjustment 
assistance (``TAA'') program under the Trade Act of 1974. The 
bill was referred to the Committee on Ways and Means, which 
marked it up on September 18, 2007. On September 24, 2007, it 
was reported favorably by the Committee by voice vote. On 
September 25, 2007, the House took up H.R. 3375, as amended, 
and passed the bill by voice vote. It was received by the 
Senate that same day and passed by unanimous consent. On 
September 28, 2007, it was signed by the President and became 
Public Law No. 110-89.
    On October 22, 2007, Chairman Rangel introduced H.R. 3920, 
the Trade and Globalization Assistance Act of 2007, which was 
referred to the Committee on Ways and Means and, in addition, 
to the Committees on Education and Labor, and Energy and 
Commerce. H.R. 3920: (1) expands TAA coverage to more workers, 
including service workers; (2) streamlines TAA enrollment for 
workers, including creating mechanisms for industry-wide (as 
opposed to company-specific) eligibility determinations; (3) 
enhances workers' access to long term training under TAA; (4) 
reforms the TAA heath care tax credit benefit; (5) creates new 
TAA benefits for communities adversely affected by trade; and 
(6) reforms the unemployment insurance system. On October 24, 
2007, the Committee on Ways and Means marked up H.R. 3920, and 
ordered the bill, as amended, favorably reported by a roll call 
vote of 26 to 14, with a quorum present. On October 31, 2007, 
the House took up and passed H.R. 3920 under a rule by a 
recorded vote of 264-157. On November 5, 2007, it was received 
in the Senate and referred to the Committee on Finance. No 
further action was taken in the Senate.
    In November 2007, the Committee received a report from the 
GAO entitled Trade Adjustment Assistance: States Have Fewer 
Training Funds Available than Labor Estimates when Both 
Expenditures and Obligations are Considered. Publication GAO-
08-165. Washington, D.C.: November 2, 2007.
    On December 10, 2007, Committee on Ways and Means Trade 
Subcommittee Chairman Sander M. Levin introduced H.R. 4341, a 
bill to extend for three months the trade adjustment assistance 
program under the Trade Act of 1974. On December 11, 2007, the 
House took up H.R. 4341 and passed the bill by voice vote. On 
January 22, 2008, it was received in the Senate and referred to 
the Committee on Finance. No further action was taken in the 
Senate.
    On December 26, 2007, the Consolidated Appropriations Act, 
2008, Public Law 110-161, was enacted, fully funding the TAA 
for Workers and ATAA programs for fiscal year 2008. DOL 
considered the appropriations language sufficient to continue 
the operation of the TAA for Workers program throughout fiscal 
year 2008, including issuing new certifications for 
eligibility. See Training and Guidance Letter No. 15-07, 
December 27, 2007 (Department of Labor, Employment and Training 
Administration). The Consolidated Appropriations Act, 2008 
continued the prohibition on using funds made available to 
finalize or implement any proposed regulation related to TAA 
for Workers until the program is re-authorized.
    The Consolidated Security, Disaster Assistance and 
Continuing Appropriations Act, 2009, Public Law 110-329, 
enacted on Sept. 30, 2008, fully funded the TAA for Workers 
program until enactment of the applicable regular 
appropriations bill or until March 6, 2009, whichever occurs 
first. The prohibition on the finalization or implementation of 
proposed TAA for Workers regulations until the program is 
reauthorized also remains in place. Again, DOL considered the 
appropriations language sufficient to continue the operation of 
the TAA for Workers program.
     Other.
    Actions taken. In March 2008, Committee staff for the 
Majority and Minority traveled to Geneva, Switzerland, to 
attend the Appellate Body hearing in United States--Final Anti-
Dumping Measures on Stainless Steel from Mexico, a dispute 
involving the controversial methodology known as ``zeroing.'' 
The hearing was held from March 6-7, 2008. In addition to 
attending the hearing, Committee staff met with U.S. and WTO 
officials, including the head of the WTO Rules Division, to 
discuss the status of the Doha Round negotiations.
    On December 5, 2007, Congressman John Conyers, Jr. (D-MI) 
introduced H.R. 4279, the Prioritizing Resources and 
Organization for Intellectual Property Act of 2008. Several 
provisions of H.R. 4279 fell within the jurisdiction of the 
Committee. For example, section 301(e) would amend the Trade 
Act of 1974 by imposing an additional consultation requirement 
on the U.S. Trade Representative. As another example, section 
322(b)(9) would require the newly created Intellectual Property 
Enforcement Representative to report to Congress and the 
President on ``[t]he progress of the United States Trade 
Representative in taking the appropriate action under any trade 
agreement or treaty to protect intellectual property rights of 
United States persons and their licensees.''
    Prior to markup of the bill by the House Judiciary 
Committee, Ways and Means Committee staff for both the Majority 
and Minority worked with the staff of the Judiciary Committee 
to ensure that the bill would not undermine the prerogatives of 
the Committee and the various trade agencies within its 
jurisdiction (in particular, the U.S. Trade Representative and 
U.S. Customs and Border Protection). The staff of the Judiciary 
Committee addressed these and other concerns, as reflected in 
an amended bill. The Judiciary Committee reported favorably on 
the amended bill on May 5, 2008, by voice vote. That same day, 
the Chairman and Judiciary Chairman Conyers exchanged letters, 
acknowledging the jurisdiction of the Ways and Means Committee 
and its agreement to forgo consideration of the amended bill. 
On May 8, 2008, the House passed the bill by a recorded vote of 
410 to 11.
    On July 24, 2008, Senator Patrick J. Leahy (D-VT) 
introduced a companion bill, S. 3325. On September 15, 2008, 
the Senate Committee on the Judiciary reported on the bill with 
amendments, without a written report. On September 26, 2008, 
the Senate passed the bill with an amendment by Unanimous 
Consent. S. 3325 included the modifications sought by Committee 
staff in the amended H.R. 4279. On September 28, 2008, the 
House passed S. 3325 by a vote of 381 to 41. The President 
signed the bill into law on October 13, 2008 (P.L. 110-403).

      Appendix I. Jurisdiction of the Committee on Ways and Means


                          A. U.S. Constitution

    Article I, Section 7, of the Constitution of the United 
States provides as follows:
    All Bills for raising Revenue shall originate in the House 
of Representatives; but the Senate may propose or concur with 
Amendments as on other Bills.
    In addition, Article I, Section 8, of the Constitution of 
the United States provides the following:

          The Congress shall have Power To lay and collect 
        Taxes, Duties, Imposts and Excises, to pay the Debts 
        and * * * To borrow Money on the credit of the United 
        States.

       B. Rule X, Clause 1, Rules of the House of Representatives

    Rule X, clause 1(t), of the Rules of the House of 
Representatives, in effect during the 110th Congress, provides 
for the jurisdiction of the Committee on Ways and Means, as 
follows:

          (t) Committee on Ways and Means.
                  (1) Customs revenue, collection districts, 
                and ports of entry and delivery.
                  (2) Reciprocal trade agreements.
                  (3) Revenue measures generally.
                  (4) Revenue measures relating to insular 
                possessions.
                  (5) Bonded debt of the United States, subject 
                to the last sentence of clause 4(f).
          Clause 4(f) requires the Committee on Ways and Means 
        to include in its annual report to the Committee on the 
        Budget a specific recommendation, made after holding 
        public hearings, as to the appropriate level of the 
        public debt that should be set forth in the concurrent 
        resolution on the budget.
                  (6) Deposit of public monies.
                  (7) Transportation of dutiable goods.
                  (8) Tax exempt foundations and charitable 
                trusts.
                  (9) National Social Security (except health 
                care and facilities programs that are supported 
                from general revenues as opposed to payroll 
                deductions and except work incentive programs).

            C. Brief Description of Committee's Jurisdiction

    The foregoing recitation of the provisions of House Rule X, 
clause 1, paragraph(t), does not convey the comprehensive 
nature of the jurisdiction of the Committee on Ways and Means. 
The following summary provides a more complete description:
    (1) Federal revenue measures generally.--The Committee on 
Ways and Means has the responsibility for raising the revenue 
required to finance the Federal Government. This includes 
individual and corporate income taxes, excise taxes, estate 
taxes, gift taxes, and other miscellaneous taxes.
    (2) The bonded debt of the United States.--The Committee on 
Ways and Means has jurisdiction over the authority of the 
Federal Government to borrow money. Title 31 of Chapter 31 of 
the U.S. Code authorizes the Secretary of the Treasury to 
conduct any necessary public borrowing subject to a maximum 
limit on the amount of borrowing outstanding at any one time. 
This statutory limit on the amount of public debt (``the debt 
ceiling'') currently is $11.315 trillion. The Committee's 
jurisdiction also includes conditions under which the U.S. 
Department of the Treasury manages the Federal debt, such as 
restrictions on the conditions under which certain debt 
instruments are sold.
    (3) National Social Security programs.--The Committee on 
Ways and Means has jurisdiction over most of the programs 
authorized by the Social Security Act, which includes not only 
those programs that are normally referred to colloquially as 
``Social Security'' but also social insurance programs and a 
whole series of grant-in-aid programs to State governments for 
a variety of purposes. The Social Security Act, as amended, 
contains 21 titles (a few of which have either expired or have 
been repealed). The principal programs established by the 
Social Security Act and under the jurisdiction of the Committee 
on Ways and Means in the 110th Congress can be outlined as 
follows:
          (a) Old-age, survivors, and disability insurance 
        (Title II)--At present, there are approximately 162 
        million workers in employment covered by the program, 
        and for calendar year 2005, $521 billion in benefits 
        were paid to 48 million individuals.
          (b) Medicare (Title XVIII)--Provides hospital 
        insurance benefits to 35.2 million persons over the age 
        of 65 and to 6.7 million disabled persons. Voluntary 
        supplementary medical insurance is provided to 33.7 
        million aged persons and 6 million disabled persons. 
        Total program outlays under these programs were $330 
        billion in 2005.
          (c) Supplemental Security Income (SSI) (Title XVI)--
        The SSI program was inaugurated in January 1974 under 
        the provisions of P.L. 92-603, as amended. It replaced 
        the former Federal-State programs for the needy aged, 
        blind, and disabled. In October 2008, 7.5 million 
        individuals received Federal SSI benefits on a monthly 
        basis. Of these 7.5 million persons, approximately 1.2 
        million received benefits on the basis of age, and 
        nearly 6.3 million on the basis of blindness or 
        disability. Federal expenditures for cash SSI payments 
        in 2007 totaled $34.2 billion, while State expenditures 
        for federally administered SSI supplements totaled $3.7 
        billion.
          (d) Temporary Assistance for Needy Families (TANF) 
        (part A of Title IV)--The TANF program is a block grant 
        of about $16.5 billion dollars awarded to States to 
        provide income assistance to poor families, to end 
        dependency on welfare benefits, and to prevent 
        nonmarital births, among other purposes. In most cases, 
        Federal TANF benefits for individuals are limited to 5 
        years and individuals must participate in federally 
        defined activities to maintain their eligibility. In 
        June 2008, about 1.7 million families and 3.9 million 
        individuals received benefits from the TANF program.
          (e) Child support enforcement (part D of Title IV)--
        In fiscal year 2007 Federal expenditures totaled nearly 
        $5.6 billion for the child support enforcement program. 
        Child support collections for that year totaled $24.9 
        billion.
          (f) Child welfare, foster care, and adoption 
        assistance (parts B and E of Title IV)--Titles IV B and 
        E provide funds to States for child welfare services 
        for abused and neglected children; foster care for 
        children who meet Aid to Families with Dependent 
        Children eligibility criteria; and adoption assistance 
        for children with special needs. In fiscal year 2007, 
        Federal expenditures for child welfare services totaled 
        $713 million. Federal expenditures for foster care and 
        adoption assistance were approximately $6.5 billion.
          (g) Unemployment compensation programs (Titles III, 
        IX, and XII)--These titles authorize the Federal-State 
        unemployment compensation program and the permanent 
        extended benefits program. Between October 1, 2007, and 
        September 30, 2008, an estimated $38.4 billion was paid 
        in regular unemployment compensation and an additional 
        $4.2 million for the State share of the extended 
        benefit program. Approximately 8.8 million workers 
        received unemployment compensation payments.
          (h) Social services (Title XX)--Title XX authorizes 
        the Federal Government to reimburse the States for 
        money spent to provide persons with various services. 
        Generally, the specific services provided are 
        determined by each State. In fiscal year 2007, $1.7 
        billion was appropriated. These funds are allocated on 
        the basis of population.
    (4) Trade and tariff legislation.--The Committee on Ways 
and Means has responsibility over legislation relating to 
tariffs, import trade, and trade negotiations. In the early 
days of the Republic, tariff and customs receipts were major 
sources of revenue for the Federal Government. As the Committee 
with jurisdiction over revenue-raising measures, the Committee 
on Ways and Means thus evolved as the primary Committee 
responsible for international trade policy.
    The Constitution vests the power to levy tariffs and to 
regulate international commerce specifically in the Congress as 
one of its enumerated powers. Any authority to regulate imports 
or to negotiate trade agreements must therefore be delegated to 
the executive branch through legislative action. Statutes 
including the Reciprocal Trade Agreements Acts beginning in 
1934, Trade Expansion Act of 1962, Trade Act of 1974, Trade 
Agreements Act of 1979, Trade and Tariff Act of 1984, Omnibus 
Trade and Competitiveness Act of 1988, North American Free 
Trade Agreement (NAFTA) Implementation Act, Uruguay Round 
Agreements Act, and Trade Act of 2002 provide the basis for 
U.S. bargaining with other countries to achieve the mutual 
reduction of tariff and nontariff trade barriers under 
reciprocal trade agreements.
    The Committee's jurisdiction includes the following 
authorities and programs:
          (a) The tariff schedules and all tariff preference 
        programs, such as the General System of Preferences and 
        the Caribbean Basin Initiative;
          (b) Laws dealing with unfair trade practices, 
        including the antidumping law, countervailing duty law, 
        section 301, and section 337;
          (c) Other laws dealing with import trade, including 
        section 201 (escape clause), section 232 national 
        security controls, section 22 agricultural 
        restrictions, international commodity agreements, 
        textile restrictions under section 204, and any other 
        restrictions or sanctions affecting imports;
          (d) General and specific trade negotiating authority, 
        as well as implementing authority for trade agreements 
        and the grant of normal-trade-relations (NTR) status;
          (e) General and NAFTA-related TAA programs for 
        workers, and TAA for firms;
          (f) Customs administration and enforcement, including 
        rules of origin and country-of-origin marking, customs 
        classification, customs valuation, customs user fees, 
        and U.S. participation in the World Customs 
        Organization (WCO);
          (g) Trade and customs revenue functions of the 
        Department of Homeland Security and the Department of 
        the Treasury.
          (h) Authorization of the budget for the International 
        Trade Commission (ITC), functions of the Department of 
        Homeland Security under the Committee's jurisdiction, 
        and the Office of the U.S. Trade Representative (USTR).

   D. Revenue Originating Prerogative of the House of Representatives

    The Constitutional Convention debated adopting the British 
model in which the House of Lords could not amend revenue 
legislation sent to it from the House of Commons. Eventually, 
however, the Convention proposed and the States later ratified 
the Constitution providing that ``All bills for raising revenue 
shall originate in the House of Representatives, but the Senate 
may propose or concur with amendments as on other bills.'' 
(Article 1, Section 7, clause 1.)
    In order to pass constitutional scrutiny under this 
``origination clause,'' a tax bill must be passed first by the 
House of Representatives. After the House has completed action 
on a bill and approved it by a majority vote, the bill is 
transmitted to the Senate for formal action. The Senate may 
have already reviewed issues raised by the bill before its 
transmission. For example, the Senate Committee on Finance 
frequently holds hearings on tax legislative proposals before 
the legislation embodying those proposals is transmitted from 
the House of Representatives. On occasion, the Senate will 
consider a revenue bill in the form of a Senate or ``S.'' bill, 
and then await passage of a revenue ``H.R.'' bill from the 
House. The Senate then will add or substitute provisions of the 
``S.'' bill as an amendment to the ``H.R.'' bill and send the 
``H.R.'' bill back to the House of Representatives for its 
concurrence or for conference on the differing provisions.

  E. The House's Exercise of Its Constitutional Prerogative: ``Blue -
                               Slipping''

    When a Senate bill or amendment to a House bill infringes 
on the constitutional prerogative of the House to originate 
revenue measures, that infringement may be raised in the House 
as a matter of privilege. That privilege has also been asserted 
on a Senate amendment to a House amendment to a Senate bill 
(see 96th Congress, 1st Session, November 8, 1979, 
Congressional Record p. H10425).

          Note that the House in its sole discretion may 
        determine that legislation passed by the Senate 
        infringes on its prerogative to originate revenue 
        legislation. In the absence of such determination by 
        the House, the Federal courts are occasionally asked to 
        rule a certain revenue measure to be unconstitutional 
        as not having originated in the House (see U.S. v. 
        Munoz-Flores, 495 U.S. 385 (1990).

    Senate bills or amendments to non-revenue bills infringe on 
the House's prerogative even if they do not raise or reduce 
revenue. Such infringements are referred to as ``revenue 
affecting.'' Thus, any import ban which could result in lost 
customs tariffs must originate in the House (100th Congress, 
1st Session, July 30, 1987 100th Congress, 2d Session, June 16, 
1988, Congressional Record p. H4356).
    Offending bills and amendments are returned to the Senate 
through the passage in the House of a House Resolution which 
states that the Senate provision: ``in the opinion of the 
House, contravenes the first clause of the seventh section of 
the first article of the Constitution of the United States and 
is an infringement of the privilege of the House and that such 
bill be respectfully returned to the Senate with a message 
communicating this resolution'' (e.g., 100th Congress, 1st 
Session, July 30, 1987, Congressional Record p. H6808). This 
practice is referred to as ``blue slipping'' because the 
resolution returning the offending bill to the Senate is 
printed on blue paper.
    In other cases, the Committee of the Whole House has passed 
a similar or identical House bill in lieu of a Senate bill or 
amendment (e.g., 91st Congress, 2d Congress, May 11, 1970, 
Congressional Record pp. H14951-14960). The Committee on Ways 
and Means has also reported bills to the House which were 
approved and sent to the Senate in lieu of Senate bills (e.g., 
93d Congress, 1st Session, November 6, 1973, Congressional 
Record pp. 36006-36008). In other cases, the Senate has 
substituted a House bill or delayed action on its own 
legislation to await a proper revenue affecting bill or 
amendment from the House (see 95th Congress, 2d Session, 
September 22, 1978, Congressional Record p. H30960; January 22, 
1980, Congressional Record p. S107).
    Any Member may offer a resolution seeking to invoke Article 
I, Section 7. However, the determination that a bill violates 
the Origination Clause has been traditionally made by Members 
of the Committee on Ways and Means, and the resolution has been 
offered by the Chairman or another Member of the Committee on 
Ways and Means. Because Article I, Section 7 involves the 
privileges of the House, a blue-slip resolution offered by the 
Chairman or other Members of the Committee on Ways and Means 
has been typically adopted by voice vote on the House Floor. 
There have been instances where the House has agreed to not 
deal directly with the issue by tabling a resolution.\1\\2\
---------------------------------------------------------------------------
    \1\In cases where the Chairman of the Committee on Ways and Means 
did not believe that the bill in question violated the Origination 
Clause or the objection had been dealt with in another manner, 
resolutions offered by other Members of the House have been tabled. 
[See adoption of motion by Representative Rostenkowski to table H. Res. 
571, 97-2, p. 22127.]
    \2\This was an instance where the Chairman of the Committee on Ways 
and Means raised a question of the privilege of the House pursuant to 
Article I, Section 7, of the U.S. Constitution on H.R. 4516, 
Legislative Branch Appropriations. The motion was laid on the table.

       BLUE SLIP RESOLUTIONS--98TH CONGRESS THROUGH 110TH CONGRESS
                           CHRONOLOGICAL LIST
[Resolutions passed by the House returning to the Senate bills passed in
  violation of the origination clause of the United States Constitution
                   (Clause 1, Section 7 of Article 1)]
------------------------------------------------------------------------
H. Res., sponsor, and date of  Description of Senate action (and related
        House passage                    House action, if any)
------------------------------------------------------------------------
107th Congress:
    H. Res. 240, Mr. Thomas..  On September 13, 2001, the Senate passed
    September 20, 2001          H.R. 2500, ``Making appropriations for
                                the U.S. Departments of Commerce,
                                Justice, and State, the Judiciary, and
                                related agencies for the fiscal year
                                ending September 30, 2002, and for other
                                purposes'' with an amendment. Contained
                                in this legislation was a provision
                                banning the importation of diamonds not
                                certified as originating outside
                                conflict zones. The proposed change in
                                the import laws constituted a revenue
                                measure in the constitutional sense,
                                because it would have had a direct
                                impact on customs revenues.
106th Congress:
    H. Res. 645, Mr. Crane...  On October 17, 2000, the Senate passed S.
    October 24, 2000            1109, the Bear Protection Act of 1999.
                                This legislation would have conserved
                                global bear populations by prohibiting
                                the importation, exportation, and
                                interstate trade of bear viscera and
                                items, products, or substances
                                containing, or labeled or advertised as
                                containing, bear viscera. The proposed
                                change in the import laws constituted a
                                revenue measure in the constitutional
                                sense, because it would have had a
                                direct impact on customs revenues.
    H. Res. 394, Mr. Weller..  On November 3, 1999, the Senate passed S.
    November 18, 1999           1232, Federal Erroneous Retirement
                                Coverage Corrections Act. This
                                legislation would have provided that no
                                Federal retirement plan involved in the
                                corrections under the bill would fail to
                                be treated as a tax-qualified retirement
                                plan by reason of the correction, and
                                that any fund transfers or government
                                contributions resulting from the
                                corrections would have no impact on the
                                tax liability of individuals. These
                                changes constituted a revenue measure in
                                the constitutional sense because they
                                would have had a direct impact on
                                Federal revenues.
    H. Res. 393, Mr. Weller..  On February 24, 1999, the Senate passed
    November 18, 1999           S. 4, the Soldiers', Sailors', Airmen',
                                and Marines' Bill of Rights Act of 1999.
                                The legislation would have allowed
                                members of the Armed Forces to
                                participate in the Federal Thrift
                                Savings Program and to avoid the tax
                                consequences that would otherwise have
                                resulted from certain contributions in
                                excess of the limitations imposed in the
                                Internal Revenue Code. This proposed
                                exemption therefore constituted a
                                revenue measure in the constitutional
                                sense because it would have had a direct
                                impact on Federal revenues.
    H. Res. 249, Mr. Portman.  On May 20, 1999, the Senate passed S.
    July 16, 1999               254, the Violent and Repeat Juvenile
                                Offender Accountability and
                                Rehabilitation Act of 1999. The
                                legislation would have had the effect of
                                banning the import of large capacity
                                ammunition feeding devices. The proposed
                                change in the import laws constituted a
                                revenue measure in the constitutional
                                sense, because it would have had a
                                direct impact on customs revenues.
105th Congress:
    H. Res. 601, Mr. Crane...  On October 8, 1998, the Senate passed S.
    October 15, 1998            361, the Tiger and Rhinoceros
                                Conservation Act of 1998. This
                                legislation would have had the effect of
                                creating a new basis and mechanism for
                                applying import restrictions for
                                products intended for human consumption
                                or application containing (or labeled as
                                containing) any substance derived from
                                tigers or rhinoceroses. The proposed
                                change in the import laws constituted a
                                revenue measure in the constitutional
                                sense, because it would have had a
                                direct impact on customs revenues.
    H. Res. 379, Mr. Ensign..  On April 15, 1997, the Senate passed S.
    March 5, 1998               104, the Nuclear Waste Policy Act of
                                1997. This legislation would have
                                repealed a revenue provision and
                                replaced it with a user fee. The revenue
                                provision in question was a fee of 1
                                mill per kilowatt hour of electricity
                                generated by nuclear power imposed by
                                the Nuclear Waste Policy Act of 1982.
                                The proposed user fee in the legislation
                                would have been limited to the amount
                                appropriated for nuclear waste disposal.
                                The original fee was uncapped, and, in
                                fact, because the fees collected
                                exceeded the associated costs, it was
                                being used as revenue to finance the
                                Federal Government generally. Its
                                proposed repeal, therefore, constituted
                                a revenue measure in the constitutional
                                sense because it would have had a direct
                                impact on Federal revenues.
104th Congress:
    H. Res. 554, Mr. Crane...  On June 30, 1996, the Senate passed H.R.
    September 28, 1996          400, the Anaktuvuk Pass Land Exchange
                                and Wilderness Redesignation Act of
                                1995, with an amendment. Section 204(a)
                                of the Senate amendment would have
                                overridden existing tax law by expanding
                                the definition of actions not subject to
                                Federal, State, or local taxation under
                                the Alaska Native Claims Settlement Act.
                                These changes constituted a revenue
                                measure in the constitutional sense
                                because they would have had a direct
                                impact on Federal revenues.
    H. Res. 545, Mr. Archer..  On September 25, 1996, the Senate passed
    September 27, 1996          S. 1311, the National Physical Fitness
                                and Sports Foundation Establishment Act.
                                Section 2 of the bill would have waived
                                the application of certain rules
                                governing recognition of tax-exempt
                                status for the foundation established
                                under this legislation. This exemption
                                constituted a revenue measure in the
                                constitutional sense because it would
                                have had a direct impact on Federal
                                revenues.
    H. Res. 402, Mr. Shaw....  On January 26, 1996, the Senate passed S.
    April 16, 1996              1463, to amend the Trade Act of 1974.
                                The bill would have changed the
                                authority and procedure for
                                investigations by the ITC for certain
                                domestic agricultural products. Such
                                investigations are a predicate necessary
                                for achieving access to desired trade
                                remedies that the President may order,
                                such as tariff adjustments, tariff-rate
                                quotas, quantitative restrictions, or
                                negotiation of trade agreements to limit
                                imports. By creating a new basis and
                                mechanism for import restrictions under
                                authority granted to the President, the
                                bill constituted a revenue measure in
                                the constitutional sense because it
                                would have had a direct impact on
                                customs revenues.
    H. Res. 387, Mr. Crane...  On February 1, 1996, the Senate passed S.
    March 21, 1996              1518, repealing the Tea Importation Act
                                of 1897. Under existing law in 1996, it
                                was unlawful to import substandard tea,
                                except as provided in the HTS. Changing
                                import restrictions constituted a
                                revenue measure in the constitutional
                                sense because it would have had a direct
                                impact on customs revenues.
103d Congress:
    H. Res. 577, Mr. Gibbons.  On October 3, 1994, the Senate passed S.
    October 7, 1994             1216, the Crow Boundary Settlement Act
                                of 1994. The bill would have overridden
                                existing tax law by exempting certain
                                payments and benefits from taxation.
                                These exemptions constituted a revenue
                                measure in the constitutional sense
                                because they would have had a direct
                                impact on Federal revenues.
    H. Res. 518, Mr. Gibbons.  On July 20, 1994, the Senate passed H.R.
    August 12, 1994             4554, the Agriculture and Rural
                                Development Appropriation for fiscal
                                year 1995, with amendments. Senate
                                amendment 83 would have provided
                                authority for the Food and Drug
                                Administration (FDA) to collect fees to
                                cover the costs of regulation of
                                products under their jurisdiction.
                                However, these fees were not limited to
                                covering the cost of specified
                                regulatory activities, and would have
                                been charged to a broad cross-section of
                                the public (rather than been limited to
                                those who would have benefited from the
                                regulatory activities) to fund the cost
                                of the FDA's activities generally. These
                                fees constituted a revenue measure in
                                the constitutional sense because they
                                were not based on a direct relationship
                                between their level and the cost of the
                                particular government activity for which
                                they would have been assessed, and would
                                have had a direct impact on Federal
                                revenues.
    H. Res. 487, Mr. Gibbons.  On May 25, 1994, the Senate passed S.
    July 21, 1994               1030, the Veterans Health Programs
                                Improvement Act of 1994. A provision in
                                the bill would have exempted from
                                taxation certain payments made on behalf
                                of participants in the Education Debt
                                Reduction Program. This provision
                                constituted a revenue measure in the
                                constitutional sense because it would
                                have had a direct impact on Federal
                                revenues.
    H. Res. 486, Mr. Gibbons.  On May 29, 1994, the Senate passed S.
    July 21, 1994               729, to amend the Toxic Substances
                                Control Act. Title I of the bill
                                included several provisions to prohibit
                                the importation of specific categories
                                of products which contained more than
                                specified quantities of lead. By
                                establishing these import restrictions,
                                the bill constituted a revenue measure
                                in the constitutional sense because it
                                would have had a direct impact on
                                customs revenues.
    H. Res. 479, Mr. Rangel..  On June 22, 1994, the Senate passed H.R.
    July 14, 1994               4539, the Treasury, Postal Service, and
                                General Government Appropriation for
                                fiscal year 1995, with amendments.
                                Senate amendment 104 would have
                                prohibited the Treasury from using
                                appropriations to enforce the Internal
                                Revenue Code requirement for the use of
                                undyed diesel fuel in recreational
                                motorboats. This prohibition, therefore,
                                constituted a revenue measure in the
                                constitutional sense because it would
                                have had a direct impact on Federal
                                revenues.
102d Congress:
    H. Res. 373, Mr.           On August 1, 1991, the Senate passed S.
     Rostenkowski.              884 amended, the Driftnet Moratorium
    February 25, 1992           Enforcement Act of 1991; This
                                legislation would require the President
                                to impose economic sanctions against
                                countries that fail to eliminate large-
                                scale driftnet fishing. Foremost among
                                the sanction provisions are those which
                                impose a ban on certain imports into the
                                United States from countries which
                                continue to engage in driftnet fishing
                                on the high seas after a certain date.
                                These changes in our tariff laws
                                constitute a revenue measure in the
                                constitutional sense, because they would
                                have a direct effect on customs
                                revenues.
    H. Res. 267, Mr.           On February 20, 1991, the Senate passed
     Rostenkowski.              S. 320, to reauthorize the Export
    October 31, 1991            Administration Act of 1979. This
                                legislation contains several provisions
                                which impose, or authorize the
                                imposition of, a ban on imports into the
                                United States. Among the provisions
                                containing import sanctions are those
                                relating to certain practices by Iraq,
                                the proliferation and use of chemical
                                and biological weapons, and the transfer
                                of missile technology. These changes in
                                our tariff laws constitute a revenue
                                measure in the constitutional sense,
                                because they would have a direct effect
                                on customs revenues.
    H. Res. 251, Mr. Russo...  On July 11, 1991, the Senate passed S.
    October 22, 1991            1241, the Violent Crime Act of 1991.
                                This legislation contains several
                                amendments to the Internal Revenue Code.
                                Section 812(f) provides that the police
                                corps scholarships established under the
                                bill would not be included in gross
                                income for tax purposes. In addition,
                                sections 1228, 1231, and 1232 each make
                                amendments to the Tax Code with respect
                                to violations of certain firearms
                                provisions. Finally, Title VII amends
                                section 922 of Title VIII of the U.S.
                                Code, making it illegal to transfer,
                                import or possess assault weapons. These
                                changes in our tariff and tax laws
                                constitute revenue measures in the
                                constitutional sense, because they would
                                have an immediate impact on revenues
                                anticipated by U.S. Customs and the
                                Internal Revenue Services.
101st Congress:
    H. Res. 287, Mr. Cardin..  On August 4, 1989, the Senate passed S.
    Nov. 9, 1989                686, the Oil Pollution Liability and
                                Compensation Act of 1989. This
                                legislation contained a provision which
                                would have allowed a credit against the
                                oil spill liability tax for amounts
                                transferred from the Trans-Alaska
                                Pipeline Trust Fund to the Oil Spill
                                Liability Trust Fund.
    H. Res. 177, Mr.           On Apr. 19, 1989, the Senate passed S.
     Rostenkowski.              774, the Financial Institution Reform,
    June 15, 1989               Recovery and Enforcement Act of 1989.
                                This legislation would create two
                                corporations to administer the financial
                                assistance under the bill: the
                                Resolution Trust Corporation and the
                                Resolution Financing Corporation. S. 774
                                would have conferred tax-exempt status
                                to these two corporations. Without these
                                two tax provisions, these two
                                corporations would be taxable entities
                                under the Federal income tax.
100th Congress:
    H. Res. 235, Mr.           On Mar. 30, 1987, the Senate passed S.
     Rostenkowski.              829, legislation which would authorize
    July 30, 1987               appropriations for the ITC, the U.S.
                                Customs Service, and the Office of the
                                U.S. Trade Representative for fiscal
                                year 1988, and for other purposes. In
                                addition, the bill contained a provision
                                relating to imports from the Soviet
                                Union which amends provisions of the
                                Tariff Act of 1930.
    H. Res. 474, Mr.           On 0ct. 6, 1987, the Senate passed S.
     Rostenkowski.              1748, legislation which would prohibit
    June 16, 1988 (see also     the importation into the United States
     H.R. 3391)                 of all products from Iran. (The House
                                passed H.R. 3391, which included similar
                                provisions, on 0ct. 6, 1987.)
    H. Res. 479, Mr.           On May 13, 1987, the Senate passed S.
     Rostenkowski.              727, legislation which would clarify
    June 21, 1988 (see also     Indian treaties and Executive orders
     H.R. 2792 and H.R. 4333)   with respect to fishing rights. This
                                legislation dealt with the tax treatment
                                of income derived from the exercise of
                                Indian treaty fishing rights. (The House
                                passed H.R. 2792, which included similar
                                provisions, on June 20, 1988, under
                                suspension of the rules and was enacted
                                into law as part of P.L. 100-647, H.R.
                                4333.)
    H. Res. 544, Mr.           On Sept. 9, 1988, the Senate passed S.
     Rostenkowski.              2662, the Textile and Apparel Trade Act
    Sept. 23, 1988 (see also    of 1988. This legislation would impose
     H.R. 1154)                 global import quotas on textiles and
                                footwear products.
    H. Res. 552, Mr.           On Sept. 9, 1988, the Senate passed S.
     Rostenkowski.              2763, the Genocide Act of 1988. This
    Sept. 28, 1988              legislation contained a ban on the
                                importation of all oil and oil products
                                from Iraq.
    H. Res. 603, Mr.           On Mar. 30, 1988, the Senate passed S.
     Rostenkowski.              2097, the Uranium Mill Tailings Remedial
    Oct. 21, 1988               Action Amendments of 1987. This
                                legislation would establish a Federal
                                fund to assist in the financing of
                                reclamation and other remedial action at
                                currently active uranium and thorium
                                processing sites and would increase the
                                demand for domestic uranium. The fund
                                would be financed in part by what are
                                called ``mandatory fees'' which are
                                equal to $22 per kilogram for uranium
                                contained in fuel assemblies initially
                                loaded into civilian nuclear power
                                reactors during calendar years 1989-
                                1993. In addition, S. 2097 would impose
                                charges on domestic utilities that use
                                foreign-source uranium in new fuel
                                assemblies loaded in their nuclear
                                reactors.
    H. Res. 604, Mr.           On Aug. 8, 1988, the Senate passed H.R.
     Rostenkowski.              1315, legislation which would authorize
    Oct. 21, 1988               appropriations for the Nuclear
                                Regulatory Commission for fiscal years
                                1988 and 1989. Title IV of the
                                legislation would, among other things,
                                establish a Federal fund to assist in
                                the financing of reclamation and other
                                remedial action at currently active
                                uranium and thorium processing sites and
                                would assist the domestic uranium
                                industry by increasing the demand for
                                domestic uranium. The fund would be
                                financed in part by what are called
                                ``mandatory fees'' equal to $72 per
                                kilogram of uranium contained in fuel
                                assemblies initially loaded into
                                civilian nuclear power reactors on or
                                after Jan. 1, 1988. These fees would be
                                paid by licensees of civilian nuclear
                                power reactors and would be in place
                                until $1 billion had been raised.
99th Congress:
    H. Res. 283, Mr.           On Sept. 26, 1985, the Senate passed S.
     Rostenkowski.              1712, legislation which would extend the
    Oct. 1, 1985                16-cents-per-pack cigarette excise tax
                                rate for 45 days, through Nov. 14, 1985.
                                (The House passed H.R. 3452, which
                                included a similar extension, on Sept.
                                30, 1985.)
    H. Res. 562, Mr.           The Senate passed S. 638, legislation to
     Rostenkowski.              provide for the sale of Conrail to the
    Sept. 25, 1986              Norfolk Southern Railroad. The
                                legislation contained numerous
                                provisions relating to the tax treatment
                                of the sale of Conrail.
98th Congress:
    H. Res. 195, Mr.           On Apr. 21, 1983, the Senate passed S.
     Rostenkowski.              144, a bill to insure the continued
    June 17, 1983               expansion of international market
                                opportunities in trade, trade in
                                services and investment for the United
                                States, and for other purposes.
------------------------------------------------------------------------

  F. Prerogative Under the Rules of the House Over ``Revenue Measures 
                              Generally''

    In the House of Representatives, tax legislation is 
initiated by the Committee on Ways and Means. The Committee's 
exclusive prerogative to report ``revenue measures generally'' 
is provided by Rule X(1)(t) of the Rules of the House of 
Representatives. The jurisdiction of the Committee on Ways and 
Means under Rule X(1)(t) is protected through the exercise of 
Rule XXI(5)(a) which states:

          
          A bill or joint resolution carrying a tax or tariff 
        measure may not be reported by a committee not having 
        jurisdiction to report tax or tariff measures, and an 
        amendment in the House or proposed by the Senate 
        carrying a tax or tariff measure shall not be in order 
        during the consideration of a bill or joint resolution 
        reported by a committee not having that jurisdiction. A 
        point of order against a tax or tariff measure in such 
        a bill, joint resolution, or amendment thereto may be 
        raised at any time during pendency of that measure for 
        amendment.

    Based on the precedents of the House, especially those 
involving Rule XXI(5)(a), the following statements can be made 
concerning points of order made under the rule.
    1. Timeliness. The point of order can be raised at any 
point during consideration of the bill. However, that section 
of the bill in which the ``tax or tariff'' provision lies must 
either have been previously read or currently open for 
amendment. A point of order may not be raised after the 
Committee of the Whole has risen and reported the bill to the 
House. A point of order against an amendment must be made prior 
to its adoption.
    2. Effect. If a point of order is sustained, the effect is 
that the provision in the bill or amendment is automatically 
deleted.
    3. Substance over form. A provision need not involve an 
amendment to the Internal Revenue Code or the Harmonized Tariff 
Schedule in order to be determined to be a ``tax or tariff'' 
provision.
    4. Revenue decreases and increases. A provision need not 
raise revenue in order to be found to be a ``tax or tariff 
measure.'' Provisions which would have the effect of decreasing 
revenues are also covered by the rule. Similarly, provisions 
which could have a revenue effect have been determined to be 
covered by the rule.
    The following is a detailed listing of each of the 
occasions on which points of order have been sustained:

         G. Points of Order--House Rule XXI Chronological List


June 13, 2006

            H.R. 5576, Transportation, Treasury, Housing and Urban 
                    Development, the Judiciary, and Related Agencies 
                    Appropriations Act, 2007
    A point of order was raised against Section 206 of the 
bill, which would have limited funds to the IRS and prohibit 
its ability to provide and tax preparation software or online 
tools.
    The chair ruled that the provision was in violation of Rule 
XXI, clause 2. The point of order was sustained, and the 
provision was stricken from the bill. [109-2, H3849-3850]

June 14, 2006

            H.R. 5576, Transportation, Treasury, Housing and Urban 
                    Development, the Judiciary, and Related Agencies 
                    Appropriations Act, 2007
    A point of order was raised against an amendment offered by 
Representative Tiahrt, which would have limited funds to the 
IRS and prohibit its ability to provide and tax preparation 
software or online tools.
    Representative Tiahrt withdrew his amendment. [109-2, 
H3930]

May 23, 2006

            H.R. 5384, Agriculture, Rural Development, Food and Drug 
                    Administration, and Related Agencies Appropriations 
                    Act, 2007
    A point of order was raised against an amendment offered by 
Representative DeLauro, which would have increased the bill's 
appropriation for waste and water grant programs by $689 
million and paid for this increase by reducing the size of the 
tax cut for those making over one million dollars.
    The chair ruled that the provision proposes to change 
existing law and constitutes legislation on an appropriations 
bill and, therefore, violates clause 2 of Rule XXI. The point 
of order was sustained, and the amendment was not in order. 
[109-2, H3063]

May 19, 2006

            H.R. 5385, Military Construction and Veterans Affairs and 
                    Related Agencies Appropriations Act, 2007
    Points of order were raised against three amendments 
offered by Representatives Edwards, Farr, and Obey, which would 
have raised taxes to offset program funding increases.
    The chair ruled that these provisions proposed to change 
existing law and constituted legislation on an appropriations 
bill and, therefore, violated clause 2 of Rule XXI. The points 
of order were sustained, and the amendments were not in order. 
[109-2, H2922-2931]

June 30, 2005

            H.R. 3058, Transportation, Treasury, Housing and Urban 
                    Development, the Judiciary, the District of 
                    Columbia, and Independent Agencies Appropriations 
                    Act, 2006
    A point of order was raised against an amendment offered by 
Representative Simmons, which would have limited the use of 
funds to enter into, implement, or provide oversight of 
contracts between the Secretary of the Treasury, or his 
designee, and private collection agencies.
    Representative Simmons withdrew his amendment. [109-1, 
H3640]

June 29, 2005

            H.R. 3058, Transportation, Treasury, Housing and Urban 
                    Development, the Judiciary, the District of 
                    Columbia, and Independent Agencies Appropriations 
                    Act, 2006
    A point of order was raised against section 218 of the 
bill, which would direct the Secretary of the Treasury to 
submit to the Committees on Appropriations a report defining 
currency manipulation and what actions would be construed as 
another nation manipulating its currency, and describing how 
statutory provisions addressing currency manipulation by 
America's trading partners contained in, and relating to, title 
22 U.S.C. 5304, 5305, and 286y can be better clarified 
administratively to provide for improved and more predictable 
evaluation. The chair ruled that the provision was in violation 
of Rule XXI, clause 2. The point of order was sustained, and 
the provision was stricken from the bill. [109-1, H5422]

June 14, 2005

            H.R. 2862, Science, State, Justice, Commerce, and Related 
                    Agencies Appropriations Act, 2006
    A point of order was raised against an amendment offered by 
Representative Obey, which would have increased funding for the 
EDA by $53 million and paid for this increase by reducing the 
size of the tax cut for those making over one million dollars.
    The chair ruled that the provision proposes to change 
existing law and constitutes legislation on an appropriations 
bill and, therefore, violates clause 2 of Rule XXI. The point 
of order was sustained, and the amendment was not in order. 
[109-1, H4437]

May 26, 2005

            H.R. 2528, Military Quality of Life and Veterans Affairs 
                    Appropriations Act, 2006
    A point of order was raised against an amendment offered by 
Representative Obey, which would have increased the bill's 
appropriation for veterans medical care by $2.6 billion and 
paid for this increase by reducing the size of the tax cut for 
those making over one million dollars.
    The chair ruled that the provision proposes to change 
existing law and constitutes legislation on an appropriations 
bill and, therefore, violates clause 2 of Rule XXI. The point 
of order was sustained, and the amendment was not in order. 
[109-1, H4106]

May 19, 2005

            H.R. 2361, Department of the Interior, Environment, and 
                    Related Agencies Appropriations Act, 2006
    A point of order was raised against an amendment offered by 
Representative Obey, which would have increased the bill's 
appropriation for the Clean Water State Revolving Fund by 
$500,000 and paid for this increase by reducing the size of the 
tax cut for those making over one million dollars.
    The chair ruled that the provision proposes to change 
existing law and constitutes legislation on an appropriations 
bill and, therefore, violates clause 2 of Rule XXI. The point 
of order was sustained, and the amendment was not in order. 
[109-1, H3640]

May 17, 2005

            H.R. 2360, Department of Homeland Security Appropriations 
                    Act, 2006
    A point of order was raised against an amendment offered by 
Representative Obey, which would have increased the bill's 
appropriation for Customs and Border Protection and paid for 
this increase by reducing the size of the tax cut for those 
making over one million dollars.
    The chair ruled that the provision proposes to change 
existing law and constitutes legislation on an appropriations 
bill and, therefore, violates clause 2 of Rule XXI. The point 
of order was sustained, and the amendment was not in order. 
[109-1, H3398]

September 14, 2004

            H.R. 5025, Transportation, Treasury, and Independent 
                    Agencies Appropriations Act, 2005
    A point of order was raised against section 644 of the 
bill, which would have amended section 6402 of the Internal 
Revenue Code of 1986 by adding a new subsection that allows for 
the offset of federal tax refunds to collect delinquent state 
unemployment compensation overpayments. The chair ruled that 
the provision was in violation of Rule XXI, clause 2. The point 
of order was sustained, and the provision was stricken from the 
bill. [108-2, H7176]

September 14, 2004

            H.R. 5025, Transportation, Treasury, and Independent 
                    Agencies Appropriations Act, 2005
    A point of order was raised against section 643 of the 
bill, which would have amended section 453(j) of the Social 
Security Act to allow access to data in the National Directory 
of New Hires for use in collecting delinquent non-tax federal 
debt. The chair ruled that the provision was in violation of 
Rule XXI, clause 2. The point of order was sustained, and the 
provision was stricken from the bill. [108-2, H7176]

September 14, 2004

            H.R. 5025, Transportation, Treasury, and Independent 
                    Agencies Appropriations Act, 2005
    A point of order was raised against section 642 of the 
bill, which would have amended Title 31 of the U.S. Code to 
allow the Federal Government to collect debts that are more 
than 10 years old by withholding federal tax refunds or 
garnishing Social Security benefits. The chair ruled that the 
provision was in violation of Rule XXI, clause 2. The point of 
order was sustained, and the provision was stricken from the 
bill. [108-2, H7176]

September 9, 2004

            H.R. 5006, Departments of Labor, Health and Human Services, 
                    and Education, and Related Agencies Appropriations 
                    Act, 2005
    A point of order was raised against an amendment offered by 
Representative Brown (OH), which would have stopped the 
increase of Part B Medicare premiums, effectively leaving them 
at their current dollar amount. The chair ruled that the 
provision would provide new budget authority in excess of the 
suballocation provided by the Appropriations Committee, and 
therefore violated section 302(f) of the Congressional Budget 
Act of 1974. The point of order was sustained, and the 
amendment was not in order. [108-2, H6945]

September 8, 2004

            H.R. 5006, Departments of Labor, Health and Human Services, 
                    and Education, and Related Agencies Appropriations 
                    Act, 2005
    A point of order was raised against section 219(b) of the 
bill, which created a Medicare claims processing fee for 
duplicative or incorrect claims for Medicare Part A or B 
services. The chair ruled that the provision was in violation 
of Rule XXI. The point of order was conceded, sustained, and 
the provision was stricken from the bill. [108-2, H6836]

June 18, 2004

            H.R. 4567, Department of Homeland Security Appropriations 
                    Act, 2005
    A point of order was raised against an amendment offered by 
Representative Sherman, which would have limited the funds made 
available in this Act for processing the importation of any 
article which is the product of Iran. The chair ruled that the 
provision was in violation of clause 5(a) of Rule XXI. The 
point of order was sustained, and the amendment was not in 
order. [108-2, p. H4551]

July 10, 2003

            H.R. 2660, Departments of Labor, Health and Human Services, 
                    and Education, and Related Agencies Appropriations 
                    Act, 2004
    A point of order was raised against section 217(B) of the 
bill, which created a Medicare Claims Processing fee. An 
October 1, 2003, requirement assured a policy for providers to 
submit all Medicare claims electronically. Since most 
electronic billing systems eliminate inaccurate and duplicate 
claims, and because current law provided the proper small 
business exemption, the user fee was unnecessary. The chair 
ruled that the provision was in violation of Rule XXI, clause 
2(b). The point of order was conceded, sustained, and the 
provision was stricken from the bill. [108-1, p. H6560]

July 10, 2003

            H.R. 2660 Departments of Labor, Health and Human Services, 
                    and Education, and Related Agencies Appropriations 
                    Act, 2004
    A point of order was raised against an amendment offered by 
Representative Obey, which would have provided a 1-percentage 
add-on to the Federal assistance to every State for their 
Medicaid programs. This would have been paid for through a 
reduction in the size of the tax cut for persons who make more 
than $1 million a year. The chair ruled that the amendment 
constituted legislation in violation of Rule XXI, clause 2(c), 
and in addition, constituted a tax measure in violation of Rule 
XXI, clause 5(a). The point of order was conceded and 
sustained. [108-1, p. H6547]

July 23, 2003

            H.R. 2799, Departments of Commerce, Justice, and State, the 
                    Judiciary, and Related Agencies Appropriations, Act 
                    2004
    A point of order was raised against an amendment offered by 
Representative Levin, which would forbid expenditure of funds 
that would be used to negotiate free trade agreements that did 
not contain certain listed provisions, which imposed new duties 
that were not required by law and made the appropriations 
contingent upon the performance of said duties and on 
successful trade negotiations with other countries. The Chair 
ruled that the provision was in violation of Rule XXI, clause 
2. The point of order was sustained. [108-1, p. H7337-7339]

September 4, 2003

            H.R. 2989, Transportation, Treasury, and Independent 
                    Agencies Appropriations Act, 2004
    A point of order was raised against portions of section 631 
of the bill, which would have amended the Trade Agreements Act 
of 1979. The provision exempted limitations on procurement. The 
chair ruled that the provision was in violation of Rule XXI, 
clause 2(b). The point of order was conceded, sustained and the 
language was stricken from the bill. [108-1, p. H7913]

September 4, 2003

            H.R. 2989, Transportation, Treasury, and Independent 
                    Agencies Appropriations Act, 2004
    A point of order was raised against the contents of Section 
164 of the bill, which amended the Buy America requirements for 
transit capital purchases of steel, iron, manufactured goods, 
and rolling stock. The Chair ruled that these provisions were 
in violation of Rule XXI. The point of order was conceded, 
sustained, and the section was stricken from the bill. [108-1, 
p. H7912-7913]

September 8, 1999

            H.R. 2684, U.S. Departments of Veterans Affairs and Housing 
                    and Urban Development Appropriations for 2000
    A point of order was raised against an amendment offered by 
Representative Edwards, which would have offset an increase in 
funding for veterans' health care by postponing the 
implementation of a capital gains tax cut. The Chair ruled that 
the amendment constituted legislation in violation of Rule XXI, 
clause 2(c), and, in addition, constituted a tax measure in 
violation of Rule XXI, clause 5(a). The point of order was 
sustained, and the amendment ruled not in order. [106-1, p. 
H7923]

September 3, 1997

            H.R. 2159, Foreign Operations Appropriations for Fiscal 
                    Year 1998
    A point of order was raised against section 539 of the 
bill, which would have restricted the President's ability to 
issue an executive order lifting import sanctions against 
Yugoslavia (Serbia). The Chair ruled that since current law 
allowed the President to waive the application of certain 
sanctions, including import prohibitions which affect tariff 
collections, the provision in question was a tariff measure 
within the meaning of Rule XXI, clause 5(b). The point of order 
was sustained, and the provision stricken from the bill. [105-
1, p. H6731]

July 17, 1996

            H.R. 3756, Treasury, Postal Service, and General Government 
                    Appropriations Act of 1997
    A point of order was raised against an amendment which 
prohibited the use of funds by the United States Customs 
Service to take any action that allowed certain imports into 
the United States from the People's Republic of China. The 
point of order was sustained. [104-2, p. H7708]

May 9, 1995

            H.R. 1361, Coast Guard Authorization
    A point of order was raised against an amendment which 
increased certain fees for large foreign-flag cruise ships. The 
Chair ruled that by increasing the fees charged by the Coast 
Guard for inspecting large foreign-flag cruise ships by an 
unspecified amount in order to offset a decrease in fees for 
other vessels, the amendment attenuated the relationship 
between the amount of the fee and the cost of the particular 
government activity for which it was assessed. Therefore the 
increased fee qualified as a tax or tariff within the meaning 
of Rule XXI, clause 5(b). The point of order was sustained, and 
the amendment ruled out of order. [1-4-1, p. H4593]

June 15, 1994

            H.R. 4539, Treasury, Postal Service, and General Government 
                    Appropriation for Fiscal Year 1995
    A point of order was raised against section 527 of the 
bill, which would have amended the HTS to create a new tariff 
classification. The new classification would have changed the 
rate of duty on the import of certain fabrics intended for use 
in the manufacture of hot air balloons, thus having direct 
impact on customs revenues. The point of order was conceded and 
sustained, and the provision was stricken from the bill. [103-
2, p. H4531]

September 16, 1992

            H.R. 5231, The National Competitiveness Act of 1992
    A point of order was raised against an amendment offered by 
Representative Walker. The bill was reported solely from the 
Committee on Science and Technology and amended the Internal 
Revenue Code to provide, inter alia, changes in the tax 
treatment of capital gains.
    The Chair sustained the point of order without elaboration. 
[H102- p. H8621]

October 23, 1990

            H.R. 5021, Department of Commerce, Justice and State, the 
                    Judiciary and Related Agencies Appropriations Act, 
                    1991
    A point of order was raised against amendment 139 which 
increased the rate of fees paid to the Securities and Exchange 
Commission at the time of filing a registration statement. The 
Chair ruled that since the amendment provided that the 
increased level of fees would be deposited in the Treasury, the 
fee involved was in reality a tax and the revenues were to be 
used to defray general governmental costs. The point of order 
was conceded and sustained. [101-2, p. H11412]

July 13, 1990

            H.R. 5241, Treasury, Postal Service and General Government 
                    Appropriations Act of 1991
    A point of order was raised against section 528 which 
provided that ``no funds appropriated'' would be used to impose 
or assess any tax under section 4181 of the Internal Revenue 
Code relating to the excise tax on the manufacture of firearms. 
The point of order was conceded and sustained. [101-2, p. 
H4692]

July 13, 1990

            H.R. 5241, Treasury, Postal Service and General Government 
                    Appropriations Act of 1991
    A point of order was raised against section 524 which 
prohibited the Internal Revenue Service from enforcing rules 
governing the antidiscrimination rules of the exclusion for 
employer provided health-care plans (section 89 of the Internal 
Revenue Code). The point of order was conceded and sustained. 
[101-2, p. H4692]

October 5, 1989

            H.R. 3299, Omnibus Budget Reconciliation Act of 1989
    A point of order was raised against section 3201 which 
imposed fees on the filing of certain forms required to be 
filed annually in connection with maintaining pension and 
benefit plans. The point of order was sustained with the Chair 
ruling that the revenue raised funded ``general government 
activity.'' [101-1, p. H 6662]

October 4, 1989

            H.R. 3299, Omnibus Budget Reconciliation Act of 1989
    A point of order was raised against section 3156 which 
imposed a ``Termination Fee.'' Under the provision of the bill, 
an employer who terminated a pension plan in a standard 
termination was required to pay a $200-per-participant fee to 
the Pension Benefit Guaranty Corporation (PBGC), the Federal 
insurance agency established to insure defined benefit pension 
plans against insolvency. The point of order was conceded and 
sustained. [101-1, p. H 6621]

October 4, 1989

            H.R. 3299, Omnibus Budget Reconciliation Act of 1989
    A point of order was raised against section 3131(b) which 
exempted multi-employer pension plans from the full funding 
limits of the Internal Revenue Code, section 412(c)(7). This 
provision directly amended the Internal Revenue Code to allow 
the deductibility of contributions to a multi-employer pension 
plan in excess of the full funding limit. The point of order 
was conceded and sustained. [101-1, p. H 6622]

October 4, 1989

            H.R. 3299, Omnibus Budget Reconciliation Act of 1989
    A point of order was raised against section 7002 which 
imposed an annual fee of $1 per acre on the holder of Outer 
Continental Shelf leases. This fee has been designated to 
offset the costs of ocean related environmental research, 
assessment, and protection programs. The point of order was 
sustained with the Chair stating that ``a provision raising 
revenue to finance general government functions improperly 
characterized as a tax within the jurisdiction of Clause 5(b) 
of Rule XXI.'' [101-1, p. H 6610]

October 4, 1989

            H.R. 3299, Omnibus Budget Reconciliation Act of 1989
    A point of order was raised against section 7002 which 
imposed a fee of $20 per passenger on vessels engaged in U.S. 
cruise trade or which offer off-shore gambling. The proceeds of 
this fee were to be deposited in both the Harbor Maintenance 
Trust Fund and the Treasury's general fund. The point of order 
was conceded and sustained. [101-1, p. H6620]

September 30, 1988

            H.R. 4637, Conference Agreement to accompany the Foreign 
                    Operations, Export Financing and Related Programs 
                    Appropriations Act of 1989
    A point of order was raised against the motion to concur in 
the Senate amendment No. 176 which provided that S. 2848 
(Sanctions Against Iraqi Chemical Weapons Use Act), be added to 
the bill. The point of order was conceded and sustained. [100-
2, p. H9236]

June 25, 1987

            H.R. 3545, Budget Reconciliation Act of 1987
    A point of order was raised against the section of the bill 
providing that ``all earnings and distributions'' from the 
Enjebi Community Trust Fund, ``shall not be subject to any form 
of Federal, State, or local taxation.'' The point of order was 
conceded and sustained. [100-1, p. H 5539-40]

August 1, 1986

            H.R. 5294, Appropriations, Treasury, Postal Service and 
                    General Government Appropriations, 1987
    A point of order was raised against section 103 which 
denied funds to the Internal Revenue Service to impose vesting 
requirements for qualified pension funds more stringent than 4/
40. As a result, legally collectible taxes on employer 
contributions to such plans would be indefinitely deferred. The 
point of order was conceded and sustained. [99-2, p. H5311]

August 1, 1986

            H.R. 5294, Appropriations, Treasury, Postal Service and 
                    General Government Appropriations, 1987
    A point of order was raised against section 3 which 
prohibited the use of funds to implement regulations issued by 
the Department of the Treasury to implement section 274(d) of 
the Internal Revenue Code relating to the duty imposed on 
taxpayers to substantiate deductibility of certain expenses 
relating to travel, gifts, and entertainment.
    The Chair sustained the point of order stating that a 
limitation otherwise in order under Clause 2(c), of House Rule 
XXI which ``effectively and inherently either preclude[s] the 
IRS from collecting revenues otherwise due to be [owed] under 
provision of the Internal Revenue Code or require[s] the 
collection of revenue not legally due and owing constitutes a 
tax provision within the meaning of Rule XXI, Clause 5(b).''
    The Chair also noted that when the point of order was 
raised that under the rule the point of order against the 
provision could be raised at any point during the consideration 
of the bill. [99-2, p. H5310]

October 24, 1986

            H.R. 3500, Budget Reconciliation Act of 1985
    A point of order was raised against section 3113. The 
provision in the reconciliation bill reported from the Budget 
Committee contained a recommendation from the Committee on 
Education and Labor to exclude certain interest on obligations 
to Student Loan Marketing Association from Application of 
Internal Revenue Code (IRC), section 265 which denies a 
deduction for certain expenses and interest relating to the 
production of tax-exempt income. The point of order was 
sustained. [99-1, p. H5310]

October 24, 1985

            H.R. 3500, Budget Reconciliation Act of 1985
    A point of order was raised against section 6701 which had 
been reported from the Committee on the Budget containing a 
recommendation of the Committee on Merchant Marine and 
Fisheries. Section 6701 expanded tax benefits available to ship 
owners through the ``capital construction fund'' (section 7518 
of the Internal Revenue Code), by permitting repatriation of 
foreign-source income to avoid U.S. taxes and expanding the 
definition of vessels eligible to establish such tax-exempt 
funds. [99-1, p. H9189]

July 26, 1985

            H.R. 3036, Appropriations, Treasury, Postal Service, and 
                    General Government Appropriation, 1986
    A point of order was raised against section 106 which 
prohibited the use of funds to implement or enforce regulations 
imposing or collecting a tax on the interest deferral from 
entrance or accommodation fees paid by elderly residents of 
continuing care facilities (section 7872 of the Internal 
Revenue Code). The Chair sustained the point of order against 
the provision as a tax provision within the meaning of House 
Rule XXI, Clause 5(b). [99-1, p. H6418]

July 11, 1985

            H.R. 1555, International Security and Development Act of 
                    1985
    A point of order was raised against section 1208 which 
denied trade benefits to Afghanistan, provided for the denial 
of most favored nation status to Afghanistan and denied trade 
credits to Afghanistan. The point of order was conceded and 
sustained. [99-1, p. H5489]

June 4, 1985

            H.R. 1460, Anti-Apartheid Act of 1985
    A point of order was raised against an amendment to 
prohibit the entry of South African Krugerrands or gold coins 
into the customs territory of the United States unless uniform 
5 percent fee were paid. The point of order was sustained on 
the grounds that the fee was equivalent to a tariff uniform 
charge imposed at ports of entry with proceeds deposited in the 
Treasury. [99-1, p. H3762]

September 12, 1984

            H.R. 5798, conference report to accompany the 
                    Appropriations, Treasury, Postal Service, Executive 
                    Office of the President and certain independent 
                    agencies Appropriation, 1985
    A point of order was raised against a Senate amendment, No. 
92 which amended the existing customs law under the Tariff Act 
of 1930 with respect to seizures and forfeitures of property by 
the Customs Service. The point of order was conceded and 
sustained. [98-2, p. H9407]

September 12, 1984

            H.R. 5798, conference report to accompany the 
                    Appropriations, Treasury, Postal Service, Executive 
                    Office of the President and certain independent 
                    agencies Appropriation, 1985
    A point of order was raised against a Senate amendment, No. 
26 which amended the tariff schedule of the United States 
(TSUS) to provide duty-free importation of a telescope for the 
University of Arizona. The point of order was conceded and 
sustained. [98-2, p. H9396]

September 12, 1984

            H.R. 5798, conference report to accompany the 
                    Appropriations, Treasury, Postal Service, Executive 
                    Office of the President and certain independent 
                    agencies Appropriation, 1985
    A point of order was raised against a Senate amendment, No. 
24 which provided that ``none of the funds appropriated by this 
act or any other act'' shall be used to impose of assess the 
manufacturer's excise tax on sporting goods. The point of order 
specifically stated that the term ``tax'' and ``tariff'' under 
House Rule XXI, Clause 5(b), included provisions such as these 
contained in the amendment which would result less revenue 
spent than under the operation of existing law. The point of 
order was conceded and sustained. [98-2, p. H9395-9396]

October 27, 1983

            H.R. 4139, conference report to accompany the 
                    Appropriations Treasury, Postal Service, Executive 
                    Office of the President and certain independent 
                    agencies Appropriation, 1984
    The Chair sustained a point of order against section 511 
which would have prohibited the Customs Service from enforcing 
a provision of law permitting agricultural products to enter 
the United States duty-free under the CBI. The Chair ruled that 
the effect of the provision was to cause duties on certain 
imports to be imposed where none is required and to require 
collections of revenue contrary to existing tariff laws and 
that, as a result, section 511 was a tariff provision rather 
than a limitation of appropriated funds. [98-1, p. H8717]

September 21, 1983

            H.R. 1036, Community Renewal Employment Act
    The Chair sustained a point of order against a motion to 
recommit a bill to a committee without jurisdiction over 
revenue measures (the Committee on Education and Labor), and to 
report the bill back to the House with tax provisions relating 
to ``enterprise zones.'' The motion was ruled to violate House 
Rule XVI, Clause 7, and House Rule XXI Clause 5(b). [98-1, p. 
H7244]

        H. Restrictions on ``FederaL Income Tax Rate Increases''

    House Rule XXI, clause 5(b) and (c) prohibit retroactive 
Federal income tax rate increases and require a supermajority 
[3/5] vote for any bill containing a prospective Federal income 
tax rate increase. The wording of the rule and its legislative 
history make it clear that the rule applies only to increases 
in specific statutory rates in the Internal Revenue Code and 
not to provisions merely because they raise revenue or 
otherwise modify the income tax base.

                      Appendix II. Historical Note

    The Committee on Ways and Means was first established as an 
ad hoc committee in the first session of the First Congress, on 
July 24, 1789. Representative Fitzsimons, from Pennsylvania, in 
commenting on the report of a select committee concerning 
appropriations and revenues, pointed out the desirability of 
having a committee to review the expenditure needs of the 
Government and the resources available, as follows:
    The finances of America have frequently been mentioned in 
this House as being very inadequate to the demands. I have 
never been of a different opinion, and do believe that the 
funds of this country, if properly drawn into operation, will 
be equal to every claim. The estimate of supplies necessary for 
the current year appears very great from a report on your 
table, and which report has found its way into the public 
newspapers. I said, on a former occasion, and I repeat it now, 
notwithstanding what is set forth in the estimate, that a 
revenue of $3 million in specie, will enable us to provide 
every supply necessary to support the Government, and pay the 
interest and installments on the foreign and domestic debt. If 
we wish to have more particular information on these points, we 
ought to appoint a Committee on Ways and Means, to whom, among 
other things, the estimate of supplies may be referred, and 
this ought to be done speedily, if we mean to do it this 
session.
    After discussion, the motion was agreed to and a committee 
consisting of one Member from each State (North Carolina and 
Rhode Island had not yet ratified the Constitution) was 
appointed as follows: Messrs. Fitzsimons (Pennsylvania), Vining 
(Delaware), Livermore (New Hampshire), Cadwalader (New Jersey), 
Laurance (New York), Wadsworth (Connecticut), Jackson 
(Georgia), Gerry (Massachusetts), Smith (Maryland), Smith 
(South Carolina), and Madison (Virginia).
    While there does not appear to be any direct relationship, 
it is interesting to note that the appointment of this ad hoc 
committee came within a few weeks after the House, in Committee 
of the Whole, had spent a good part of the months of April, 
May, and June in wrestling with the details involved in writing 
bills ``for laying a duty on goods, wares, and merchandises 
imported into the United States'' and for imposing duties on 
tonnage. Tariffs, of course, became a prime revenue source for 
the new government.
    However, the results of this ad hoc committee are not 
clear. It existed for a period of only 8 weeks, being dissolved 
on September 17, 1789, with the following order:
    That the Committee on Ways and Means be discharged from 
further proceeding on the business referred to them, and that 
it be referred to the Secretary of the Treasury to report 
thereon.
    It has also been suggested by one student that the 
Committee was dissolved because Alexander Hamilton had become 
Secretary of the newly created U.S. Department of the Treasury, 
and thus it was presumed that the U.S. Department of the 
Treasury could provide the necessary machinery for developing 
information which would be needed. During the next 6 years 
there was no Committee on Ways and Means or any other standing 
committee for the examination of estimates. Rather, ad hoc 
committees were appointed to draw up particular pieces of 
legislation on the basis of decisions made in the Committee of 
the Whole House. On November 13, 1794, a rule was adopted 
providing that:

          All proceedings touching appropriations of money 
        shall be first moved and discussed in a Committee on 
        the Whole House.

    In the next Congress historians have suggested that the 
House was determined to curtail Secretary Hamilton's influence 
by first setting up a Committee on Ways and Means and requiring 
that Committee to submit a report on appropriations and revenue 
measures before consideration in the Committee of the Whole 
House. It was also said that this Committee on Ways and Means 
was put on a more or less standing basis since such a committee 
appeared at some point in every Congress until it was made a 
permanent committee.
    In the first session of the 7th Congress, Tuesday, December 
8, 1801, a resolution was adopted as follows:

          Resolved, That a standing Committee on Ways and Means 
        be appointed, whose duty it shall be to take into 
        consideration all such reports of the Treasury 
        Department, and all such propositions, relative to the 
        revenue as may be referred to them by the House; to 
        inquire into the state of the public debt, of the 
        revenue, and of the expenditures; and to report, from 
        time to time, their opinion thereon.

    The following Members were appointed: Messrs. Randolph 
(Virginia), Griswold (Connecticut), Smith (Vermont), Bayard 
(Delaware), Smilie (Pennsylvania), Read (Massachusetts), 
Nicholson (Maryland), Van Rensselaer (New York), Dickson 
(Tennessee).
    On Thursday, January 7, 1802, the House agreed to standing 
rules which, among other things, provided for standing 
committees, including the Committee on Ways and Means. The 
relevant part of the rules in this respect read as follows:
    A Committee on Ways and Means, to consist of seven Members;

           *       *       *       *       *       *       *

    It shall be the duty of the said Committee on Ways and 
Means to take into consideration all such reports of the U.S. 
Department of the Treasury, and all such propositions relative 
to the revenue, as may be referred to them by the House; to 
inquire into the state of the public debt, of the revenue, and 
of the expenditures, and to report, from time to time, their 
opinion thereon; to examine into the state of the several 
public departments, and particularly into the laws making 
appropriations of moneys, and to report whether the moneys have 
been disbursed conformably with such laws; and also to report, 
from time to time, such provisions and arrangements, as may be 
necessary to add to the economy of the departments, and the 
accountability of their officers.
    It has been said that the jurisdiction of the Committee was 
so broad in the early 19th century that one historian described 
it as follows:

          It seemed like an Atlas bearing upon its shoulders 
        all the business of the House.

    The jurisdiction of the Committee remained essentially the 
same until 1865 when the control over appropriations was 
transferred to a newly created Committee on Appropriations and 
another part of its jurisdiction was given to a newly created 
Committee on Banking and Currency. This action followed rather 
extended discussion in the House, too lengthy to review here.
    During the course of that discussion, however, the 
following observations are of some historical interest. 
Representative Cox, who was handling the motion to divide the 
Committee, gave a very picturesque discussion of the many 
varied and heavy duties which had fallen on the Committee over 
the years. He observed:

          And yet, sir, powerful as the Committee is 
        constituted, even their powers of endurance, physical 
        and mental, are not adequate to the great duty which 
        has been imposed by the emergencies of this historic 
        time. It is an old adage, that ``whoso wanteth rest 
        will also want of might''; and even an Olympian would 
        faint and flag if the burden of Atlas is not relieved 
        by the broad shoulders of Hercules.

    He continued:

          I might give here a detailed statement of the amount 
        of business thrown upon that Committee since the 
        commencement of the war. But I prefer to append it to 
        my remarks. Whereas before the war we scarcely expended 
        more than $70 million a year, now, during the five 
        sessions of the last two Congresses, there has been an 
        average appropriation of at least $800 million per 
        session. The statement which I hold in my hand shows 
        that during the first and extra session of the 37th 
        Congress there came appropriation bills from the 
        Committee on Ways and Means amounting to 
        $226,691,457.99. I say nothing now of the loan and 
        other fiscal bills emanating from that Committee. * * * 
        During the present session I suppose it would be a fair 
        estimate to take the appropriations of the last session 
        of the 37th Congress, say $900 million.
          These are appropriation bills alone. They are 
        stupendous, and but poorly symbolize the immense labors 
        which the internal revenue, tariff, and loan bills 
        imposed on the Committee. * * * And this business of 
        appropriations is perhaps not one-half of the labor of 
        the Committee. There are various and important matters 
        upon which they act, but upon which they never report. 
        Their duties comprehend all the varied interests of the 
        United States; every element and branch of industry, 
        and every dollar or dime of value. They are connected 
        with taxation, tariffs, banking, loan bills, and ramify 
        to every fiber of the body-politic. All the springs of 
        wealth and labor are more or less influenced by the 
        action of this Committee. Their responsibility is 
        immense, and their control almost imperial over the 
        necessities, comforts, homes, hopes, and destinies of 
        the people. All the values of the United States, which 
        in the census of 1860 (page 194) amount to nearly $17 
        billion, or, to be exact, $16,159,616,068, are affected 
        by the action of that Committee, even before their 
        action is approved by the House. Those values fluctuate 
        whenever the head of the Committee on Ways and Means 
        rises in his place and proposes a measure. The price of 
        every article we use trembles when he proposes a gold 
        bill or a loan bill, or any bill to tax directly or 
        indirectly. * * *
          * * * the interests connected with these economical 
        questions are of all questions those most momentous for 
        the future. Parties, statesmanship, union, stability, 
        all depend upon the manner in which these questions are 
        dealt with.

    Representative Morrill (who was subsequently appointed 
chairman of the Committee on Ways and Means in the succeeding 
Congress, and who still later became chairman of the Senate 
Committee on Finance after he became a Senator) observed as 
follows:

          I am entirely indifferent as to the disposition which 
        shall be made of this subject by the House. So far as I 
        am myself concerned, I have never sought any position 
        upon any committee from the present or any other 
        Speaker of the House, and probably never shall. I have 
        no disposition to press myself hereafter for any 
        position. In relation to the proposed division of the 
        Committee on Ways and Means, the only doubt that I have 
        is the one expressed by my colleague on that Committee, 
        Representative Stevens, in regard to the separation of 
        the questions of revenue from those relating to 
        appropriations. In ordinary times of peace I should 
        deem it almost indispensable and entirely within their 
        power that this Committee should have the control of 
        both subjects, in order that they might make both ends 
        meet, that is, to provide a sufficient revenue for the 
        expenditures. That reason applies now with greater 
        force; but it may be that the Committee is overworked. 
        It is true that for the last 3 or 4 years the labors of 
        the Committee on Ways and Means have been incessant, 
        they have labored not only days but nights; not only 
        weekends but Sundays. If gentlemen suppose that the 
        Committee have permitted some appropriations to be 
        reported which should not have been permitted they 
        little understand how much has been resisted.

    The influence the Committee came not only from the nature 
of its jurisdiction but also because for many years the 
chairman of the Committee was also ad hoc majority Floor leader 
of the House.
    When the revolt against Speaker Cannon took place, and the 
Speaker's powers to appoint the Members of committees were 
curtailed, the Majority Members on the Committee on Ways and 
Means became the Committee on Committees. Subsequently, this 
power was disbursed to the respective party caucuses, beginning 
in the 94th Congress.
    Throughout its history, many famous Americans have served 
on the Committee on Ways and Means. The long and distinguished 
list includes 8 Presidents of the United States, 8 Vice 
Presidents, 4 Justices of the Supreme Court, 34 Cabinet 
members, and quite interestingly, 21 Speakers of the House of 
Representatives. This latter figure represents nearly one-half 
of the 51 Speakers who have served since 1789 through the end 
of the 110th Congress. See the alphabetical list which follows 
for names.

Major positions held by former members of the Committee on Ways and 
        Means

President of the United States:
          George H. W. Bush, Texas
          Millard Fillmore, New York
          James A. Garfield, Ohio
          Andrew Jackson, Tennessee
          James Madison, Virginia
          William McKinley, Jr., Ohio
          James K. Polk, Tennessee
          John Tyler, Virginia
Vice President of the United States:
          John C. Breckinridge, Kentucky
          George H. W. Bush, Texas
          Charles Curtis, Kansas
          Millard Fillmore, New York
          John N. Garner, Texas
          Elbridge Gerry, Massachusetts
          Richard M. Johnson, Kentucky
          John Tyler, Virginia
Justice of the Supreme Court:
          Philip P. Barbour, Virginia
          Joseph McKenna, California
          John McKinley, Alabama
          Fred M. Vinson, Kentucky (Chief Justice)
Speaker of the House of Representatives:
          Nathaniel P. Banks, Massachusetts
          Philip P. Barbour, Virginia
          James G. Blaine, Maine
          John G. Carlisle, Kentucky
          Langdon Cheves, South Carolina
          James B. (Champ) Clark, Missouri
          Howell Cobb, Georgia
          Charles F. Crisp, Georgia
          John N. Garner, Texas
          John W. Jones, Virginia
          Michael C. Kerr, Indiana
          Nicholas Longworth, Ohio
          John W. McCormack, Massachusetts
          James K. Polk, Tennessee
          Henry T. Rainey, Illinois
          Samuel J. Randall, Pennsylvania
          Thomas B. Reed, Maine
          Theodore Sedgwick, Massachusetts
          Andrew Stevenson, Virginia
          John W. Taylor, New York
          Robert C. Winthrop, Massachusetts
Cabinet Member:
          Secretary of State:
                  James G. Blaine, Maine
                  William J. Bryan, Nebraska
                  Cordell Hull,Tennessee\1\
---------------------------------------------------------------------------
    \1\Recipient of Nobel Peace Prize in 1945.
---------------------------------------------------------------------------
                  Louis McLean, Delaware
                  John Sherman, Ohio
          Secretary of the Treasury:
                  George W. Campbell, Tennessee
                  John G. Carlisle, Kentucky
                  Howell Cobb, Georgia
                  Thomas Corwin, Ohio
                  Charles Foster, Ohio
                  Albert Gallatin, Pennsylvania
                  Samuel D. Ingham, Pennsylvania
                  Louis McLean, Delaware
                  Ogden L. Mills, New York
                  John Sherman, Ohio
                  Philip F. Thomas, Maryland
                  Fred M. Vinson, Kentucky
          Attorney General:
                  James P. McGranery, Pennsylvania
                  Joseph McKenna, California
                  A. Mitchell Palmer, Pennsylvania
                  Caesar A. Rodney, Delaware
          Postmaster General:
                  Samuel D. Hubbard, Connecticut
                  Cave Johnson, Tennessee
                  Horace Maynard, Tennessee
                  William L. Wilson, West Virginia
          Secretary of the Navy:
                  Thomas W. Gilder, Virginia
                  Hilary A. Herbert, Alabama
                  Victor H. Metcalf, California
                  Claude A. Swanson, Virginia
          Secretary of the Interior:
                  Rogers C. B. Morton, Maryland
                  Jacob Thompson, Mississippi
          Secretary of Commerce and Labor:
                  Victor H. Metcalf, California
          Secretary of Commerce:
                  Rogers C. B. Morton, Maryland
          Secretary of Agriculture:
                  Clinton P. Anderson, New Mexico

Appendix III. Statistical Review of the Activities of the Committee on 
                             Ways and Means


      A. Number of Bills and Resolutions Referred to the Committee

    At the close of the 110th Congress, there had been referred 
to the Committee a total of 2,386 bills, representing 25.6 
percent of all the public bills introduced in the House of 
Representatives.
    The following table gives a more complete statistical 
review since 1967.

       TABLE 1.--NUMBER OF BILLS AND RESOLUTIONS REFERRED TO THE COMMITTEE, 90TH THROUGH 110TH CONGRESSES
----------------------------------------------------------------------------------------------------------------
                                                                       Referred to Committee
                                               Introduced in House       on Ways and Means         Percentage
----------------------------------------------------------------------------------------------------------------
90th Congress..............................                   24,227                    3,806               15.7
91st Congress..............................                   23,575                    3,442               14.6
92nd Congress..............................                   20,458                    3,157               15.4
93rd Congress..............................                   21,096                    3,370                 16
94th Congress..............................                   19,371                    3,747               19.3
95th Congress..............................                   17,800                    3,922                 22
96th Congress..............................                   10,196                    2,337               22.9
97th Congress..............................                    9,909                    2,377               26.4
98th Congress..............................                    8,104                    1,904               23.5
99th Congress..............................                    7,522                    1,568               20.8
100th Congress.............................                    7,043                    1,419               22.1
101st Congress.............................                    7,640                    1,737               22.7
102nd Congress.............................                    7,771                    1,972               25.4
103rd Congress.............................                    6,645                    1,496               22.5
104th Congress.............................                    5,329                    1,071               20.1
105th Congress.............................                    5,976                    1,509               25.2
106th Congress.............................                    6,942                    1,762               25.3
107th Congress.............................                    7,029                    1,941               27.6
108th Congress.............................                    6,953                    1,541               22.2
109th Congress.............................                    8,152                    2,152               26.4
110th Congress.............................                    9,319                    2,386               25.6
----------------------------------------------------------------------------------------------------------------

                           B. Public Hearings

    In the course of the 110th Congress, the Committee on Ways 
and Means along with its six subcommittees held public hearings 
on a total of 103 days. Many of these hearings dealt with broad 
subject matter including the President's fiscal year 2008 and 
2009 budget proposals, health and Social Security issues, and 
President Bush's trade agenda. The full Committee reviewed 
programs under the Committee's jurisdiction for waste, fraud, 
and abuse, and focused on such issues as tax reform, and the 
implementation of free trade agreements with Bahrain, Oman, 
Peru, and the Dominican Republic.
    The following table specifies the statistical data on the 
number of days and witnesses published on each of the subjects 
covered by public hearings in the full Committee during the 
110th Congress.

  TABLE 2.--PUBLIC HEARINGS CONDUCTED BY THE FULL COMMITTEE ON WAYS AND
                                  MEANS
------------------------------------------------------------------------
                                                      Number of--
               Subject and date               --------------------------
                                                  Days       Witnesses
------------------------------------------------------------------------
2007:
    Hearing on the Economy, January 23.......          1               5
    Hearing on the Economic and Societal               1               5
     Costs of Poverty, January 24............
    Hearing on Trade and Globalization,                1               6
     January 30..............................
    Hearing on Economic Challenges Facing              1               6
     Middle Class Families, January 31.......
    Hearing on the President's Fiscal Year             1               1
     2008 Budget with U.S. Department of the
     Treasury Secretary Henry Paulson,
     February 6..............................
    Hearing on the President's Fiscal Year             1               1
     2008 Budget with OMB Director Rob
     Portman, February 7.....................
    Hearing on the President's Fiscal Year             1               1
     2008 Budget for the U.S. Department of
     Health and Human Services, February 8...
    Hearing on the U.S. Trade Agenda,                  1               1
     February 14.............................
    First in a Series of Hearings on Energy            1               4
     and Tax Policy, February 28.............
    Hearing on the Revenue Increasing                  1               4
     Measures in the ``Small Business and
     Work Opportunity Act of 2007,'' March 14
    Hearing on Internal Revenue Service's Use          1               5
     of Private Debt Collection Companies to
     Collect Federal Income Taxes, May 23....
    Hearing on Promoting U.S. Worker                   1              14
     Competitiveness in a Globalized Economy,
     June 14.................................
    Hearing on Fair and Equitable Tax Policy           1              20
     for America's Working Families,
     September 6.............................
    Hearing on the Appropriateness of                  1              15
     Retirement Plan Fees, October 30........
                                              --------------------------
        Total for 2007.......................         14              88
                                              ==========================
2008:
    Hearing on the President's Fiscal Year             1               1
     2009 Budget with U.S. Department of the
     Treasury Secretary Henry Paulson,
     February 7..............................
    Hearing on the President's Fiscal Year             1               1
     2009 Budget with OMB Director Jim
     Nussle, February 13.....................
    Hearing on the President's Fiscal Year             1               1
     2009 Budget for the U.S. Department of
     Health and Human Services, February 13..
    Hearing on Clearing the Disability                 1               6
     Backlog--Giving the Social Security
     Administration the Resources It Needs to
     Provide the Benefits Workers Have
     Earned, April 23........................
    Hearing on Policy Options to Prevent               1              13
     Climate Change, September 18............
    Hearing on Economic Recovery, Job                  1              13
     Creation and Investment In America,
     October 29..............................
                                              --------------------------
        Total for 2008.......................          6              35
                                              ==========================
        Total for both sessions..............         20             123
------------------------------------------------------------------------

    The six Subcommittees of the Committee on Ways and Means 
were also very active in conducting public hearings during the 
110th Congress. The following table specifies in detail the 
number of days and witnesses published by each of the 
Subcommittees.

     TABLE 3.--PUBLIC HEARINGS CONDUCTED BY THE SUBCOMMITTEES OF THE
                       COMMITTEE ON WAYS AND MEANS
------------------------------------------------------------------------
                                                      Number of--
               Subject and date               --------------------------
                                                  Days       Witnesses
------------------------------------------------------------------------
            SUBCOMMITTEE ON TRADE
 
2007:
    Hearing on Trade with China, February 15.          1              10
    Hearing on the Nonmarket Economy Trade             1               7
     Remedy Act of 2007, March 13............
    Hearing on the U.S.-Korea Free Trade               1              11
     Agreement Negotiations, March 20........
    Tri-partite Hearing on Currency                    1              10
     Manipulation and Its Effect on U.S.
     Businesses and Workers, May 9...........
    Hearing on Legislation Related to Trade            1              20
     with China, August 2....................
    Joint Hearing on Import Safety, October 4          1              12
                                              --------------------------
        Total................................          6              70
                                              ==========================
          SUBCOMMITTEE ON OVERSIGHT
 
2007:
    Hearing on Earned Income Tax Credit                1               5
     Outreach, February 13...................
    SEE HEALTH, March 8
    Hearing on Katrina Redevelopment Tax               1               2
     Issues, March 13........................
    Hearing on Internal Revenue Service                1               1
     Operations and the Tax Gap, March 20....
    Hearing on Tax-Exempt Charitable                   1               5
     Organizations (The Hearing Advisory
     merged the Request for Written Comments
     into this record), July 24..............
    Hearing to Examine Whether Charitable              1               6
     Organizations Serve the Needs of Diverse
     Communities, September 25...............
    SEE TRADE, October 4
    SEE HEALTH, October 16
2008:
    Hearing on the Tax Return Filing Season,           1               2
     Internal Revenue Service Operations,
     Fiscal Year 2009 Budget Proposals, and
     the IRS National Taxpayer Advocate's
     Annual Report, March 13.................
    Hearing on the Department of the Treasury          1               2
     Alcohol and Tobacco Tax and Trade
     Bureau, May 20..........................
    Hearing on Economic Stimulus Payments,             1               3
     June 19.................................
    Hearing on the Pension Benefit Guaranty            1               2
     Corporation, September 24...............
                                              --------------------------
        Total................................          9              28
                                              ==========================
            SUBCOMMITTEE ON HEALTH
 
2007:
    Hearing on the President's Fiscal Year             1               1
     2008 Budget with Acting CMS
     Administrator Norwalk, February 13......
    Hearing on MedPAC's Annual March Report            1               1
     with MedPAC Chairman Glenn M. Hackbarth,
     March 1.................................
    Hearing on MedPAC's Report on the                  1               3
     Sustainable Growth Rate (SGR), March 6..
    Hearing on Medicare Program Integrity              1               3
     (Joint with Oversight), March 8.........
    Hearing on Genetic Non-Discrimination,             1               5
     March 14................................
    Hearing on Medicare Advantage, March 21..          1               3
    Hearing on Mental Health and Substance             1               8
     Abuse Parity, March 27..................
    Hearing on the 2007 Medicare Trustees              1               1
     Report, April 25........................
    Hearing on Medicare Programs for Low-              1               8
     Income Beneficiaries, May 3.............
    Hearing on Options to Improve Quality and          1               7
     Efficiency Among Medicare Physicians,
     May 10..................................
    Hearing on Payments to Certain Medicare            1               8
     Fee-for-Service Providers, May 15.......
    Hearing on Medicare Advantage Private Fee-         1               7
     For-Service Plans, May 22...............
    Hearing on Strategies to Increase                  1               9
     Information on Comparative Clinical
     Effectiveness, June 12..................
    Hearing on Beneficiary Protections in              1               7
     Medicare Part D, June 21................
    Hearing on Ensuring Kidney Patients                1               7
     Receive Safe and Appropriate Anemia
     Management Care, June 26................
    Joint Hearing on Statutorily Required              1               7
     Audits of Medicare Advantage Plan Bids,
     October 16..............................
    Hearing on Trends in Nursing Home                  1               4
     Ownership and Quality, November 15......
2008:
    Hearing on the Medicare Portions of the            1               1
     President's Fiscal Year 2009 Budget with
     Acting CMS Administrator Weems, February
     14......................................
    Hearing on Medicare Advantage, February            1               6
     28......................................
    Hearing on MedPAC's Annual March Report            1               1
     with MedPAC Chairman Glenn M. Hackbarth,
     March 11................................
    Hearing on the 2008 Medicare Trustees              1               1
     Report, April 1.........................
    Hearing on the Instability of Health               1               5
     Coverage in America, April 15...........
    Hearing on Medicare's Durable Medical              1               5
     Equipment, Prosthetics, Orthotics, and
     Supplies (DMEPOS) Competitive Bidding
     Program, May 6..........................
    Hearing on Health Savings Accounts (HSAs)          1               5
     and Consumer Driven Health Care: Cost
     Containment or Cost-Shift?, May 14......
    Addressing Disparities in Health and               1              10
     Healthcare: Issues for Reform, June 10..
    Hearing on State Coverage Initiatives,             1               5
     July 15.................................
    Hearing on Promoting the Adoption and Use          1               7
     of Health Information Technology, July
     24......................................
    Hearing on Reforming Medicare's Physician          1               4
     Payment System, September 11............
    Hearing on The Health of the Private               1               4
     Health Insurance Market, September 23...
                                              --------------------------
        Total................................         29             143
                                              ==========================
       SUBCOMMITTEE ON SOCIAL SECURITY
 
2007:
    Hearing on Social Security Disability              1               5
     Backlogs, April 23......................
    Hearing on the Hiring of Administrative            1               2
     Law Judges at the Social Security
     Administration, May 1...................
    Hearing on Employment Eligibility                  1               8
     Verification Systems, June 7............
    Hearing on Protecting the Privacy of the           1              12
     Social Security Number from Identity
     Theft, June 21..........................
2008:
    Hearing on Social Security Benefits for            1               9
     Economically Vulnerable Beneficiaries,
     January 16..............................
    Hearing on Employment Eligibility                  1              11
     Verification Systems and the Potential
     Impacts on SSA's Ability to Serve
     Retirees, People with Disabilities, and
     Workers, May 6..........................
    Hearing on Protecting Social Security              1               8
     Beneficiaries from Predatory Lending and
     Other Harmful Financial Institution
     Practices, June 24......................
    Hearing on the Performance of Social               1               7
     Security Administration Appeals Hearing
     Offices, September 16...................
                                              --------------------------
        Total................................          8              62
                                              ==========================
  SUBCOMMITTEE ON INCOME SECURITY AND FAMILY
                   SUPPORT
 
2007:
    Hearing on Economic Opportunity and                1               9
     Poverty in America, February 13.........
    Hearing on Recent Changes to Programs              1               6
     Assisting Low-Income Families, March 6..
    Hearing on Increasing Economic Security            1               5
     for American Workers, March 15..........
    Hearing on Assistance for Elderly and              1               4
     Disabled Refugees, March 22.............
    Hearing on Proposals for Reducing                  1               6
     Poverty, April 26.......................
    Hearing on the Effects of Misclassifying           1               6
     Workers as Independent Contractors, May
     8.......................................
    Hearing on Challenges Facing the Child             1               5
     Welfare System, May 15..................
    Hearing on Disconnected and Disadvantaged          1               6
     Youth, June 19..........................
    Hearing on Children Who ``Age Out'' of             1              10
     the Foster Care System, July 12.........
    Hearing on Health Care for Children in             1               6
     Foster Care, July 19....................
    Hearing on Measuring Poverty in America,           1               5
     August 1................................
    Hearing on Modernizing Unemployment                1               5
     Insurance to Reduce Barriers for Jobless
     Workers, September 19...................
    Hearing on Impact of Gaps in Health                1               5
     Coverage on Income Security, November 14
2008:
    Hearing on Improving the Child Welfare             1              12
     System, February 27.....................
    Hearing on Extending Unemployment                  1               4
     Insurance, April 10.....................
    Hearing on the Utilization of                      1               6
     Psychotropic Medication for Children in
     Foster Care, May 8......................
    Hearing on Establishing a Modern Poverty           1               5
     Measure, July 17........................
    Hearing on Racial Disproportionality in            1               5
     Foster Care, July 31....................
    Hearing on Challenges Facing American              1               5
     Workers, September 11...................
                                              --------------------------
        Total................................         19             116
                                              ==========================
   SUBCOMMITTEE ON SELECT REVENUE MEASURES
 
2007:
    Hearing on the Alternative Minimum Tax,            1               4
     March 7.................................
    Second in a Series of Hearings on the              1               6
     Alternative Minimum Tax, March 22.......
    Hearing on Energy and Tax Policy, April            1               7
     19......................................
    Hearing on Member Proposals on Energy Tax          1              21
     Incentives, April 24....................
    SEE INCOME SECURITY AND FAMILY SUPPORT,
     May 8
    Hearing on Tax Incentives for Affordable           1              10
     Housing, May 24.........................
    Hearing on Aviation Taxes, August 1......          1              11
    Joint Hearing on Heroes Earnings                   1               9
     Assistance and Relief Tax Act of 2007,
     October 17..............................
2008:
    Hearing on Derivatives, March 5..........          1               8
    Hearing on Education Tax Incentives, May           1               6
     1.......................................
    Hearing on Individual Retirement Accounts          1              10
     (IRAs) and their role in our retirement
     system, June 26.........................
                                              --------------------------
        Total................................         10              92
                                              ==========================
------------------------------------------------------------------------

    As the foregoing statistics indicate, during the 110th 
Congress the full Committee and its six Subcommittees held 
public hearings aggregating a grand total of 103 days, during 
which time 639 witnesses testified. There were no field 
hearings.
    In addition, written comments were received by the Full 
Committee on Proposed Modification to the U.S. Department of 
Commerce's Calculation of Weighted Average Dumping Margins in 
Investigations, the Health Subcommittee on Medicare Therapy 
Caps and Refined and Alternative Payment Methodologies, the 
Subcommittee on Oversight on Provisions Relating to Tax-Exempt 
Organizations in the ``Pension Protection Act of 2006'', the 
Full Committee on H.R. 3361, a bill to make technical 
corrections to the ``Pension Protection Act of 2006'', and the 
Full Committee on H.R. 4195, the ``Technical Corrections Act of 
2007'', the Trade Subcommittee on Miscellaneous Tariff and Duty 
Suspension Bills and Deadlines for Limited Tariff Benefit 
Disclosures.
    In addition, the Trade Subcommittee Members Levin and 
Herger requested ``Introduction of Miscellaneous Tariff and 
Duty Suspension Bills by December 14, 2007'' and ``Additional 
Bills on Technical Corrections to U.S. Trade Laws and 
Miscellaneous Duty Suspensions for Written Comments''.

                           C. Markup Sessions

    With respect to markup or business sessions during the 
110th Congress, the full Committee and its six Subcommittees 
were also very actively engaged. The full Committee held such 
sessions on 20 working days, usually both morning and afternoon 
sessions, and the Subcommittees an aggregate of 7 working days, 
making a grand total of 27 working days of markup or business 
sessions for the full Committee and its Subcommittees during 
the 110th Congress.

D. Number and Final Status of Bills Reported From the Committee on Ways 
                    and Means in the 110th Congress

    During the 110th Congress, the Committee reported to the 
House a total of 24 bills favorably. There were 88 bills 
containing provisions within the purview of the Committee that 
were passed by the House; 38 were enacted into law. This is not 
indicative of the total number of bills considered by the 
Committee.

Appendix IV. Chairmen of the Committee on Ways and Means and Membership 
       of the Committee from the 1st through the 110th Congresses


    A. Chairmen of the Committee on Ways and Means, 1789 to Present


----------------------------------------------------------------------------------------------------------------
                Name                           State                    Party               Term of service
----------------------------------------------------------------------------------------------------------------
Thomas Fitzsimons...................  Pennsylvania...........  Federalist............  1789.
William L. Smith....................  South Carolina.........  Federalist............  1794 to 1797.
Robert G. Harper....................  South Carolina.........  Federalist............  1797 to 1800.
Roger Griswold......................  Connecticut............  Federalist............  1800 to 1801.
John Randolph.......................  Virginia...............  Jeffersonian            1801 to 1805, 1827.
                                                                Republican.
Joseph Clay.........................  Pennsylvania...........  Jeffersonian            1805 to 1807.
                                                                Republican.
George W. Campbell..................  Tennessee..............  Jeffersonian            1807 to 1809.
                                                                Republican.
John W. Eppes.......................  Virginia...............  Jeffersonian            1809 to 1811.
                                                                Republican.
Ezekiel Bacon.......................  Massachusetts..........  Jeffersonian            1811 to 1812.
                                                                Republican.
Langdon Cheves......................  South Carolina.........  Jeffersonian            1812 to 1813.
                                                                Republican.
John W. Eppes.......................  Virginia...............  Jeffersonian            1813 to 1815.
                                                                Republican.
William Lowndes.....................  South Carolina.........  Jeffersonian            1815 to 1818.
                                                                Republican.
Samuel Smith........................  Maryland...............  Jeffersonian            1818 to 1822.
                                                                Republican.
Louis McLane........................  Delaware...............  Jeffersonian            1822 to 1827.
                                                                Republican.
George McDuffie.....................  South Carolina.........  Democrat..............  1827 to 1832.
Gulian C. Verplanck.................  New York...............  Democrat..............  1832 to 1833.
James K. Polk.......................  Tennessee..............  Democrat..............  1833 to 1835.
C.C. Cambreleng.....................  New York...............  Democrat..............  1835 to 1839.
John W. Jones.......................  Virginia...............  Democrat..............  1839 to 1841.
Millard Fillmore....................  New York...............  Whig..................  1841 to 1843.
James Iver McKay....................  North Carolina.........  Democrat..............  1843 to 1847.
Samuel F. Vinton....................  Ohio...................  Whig..................  1847 to 1849.
Thomas H. Bayly.....................  Virginia...............  Democrat..............  1849 to 1851.
George S. Houston...................  Alabama................  Democrat..............  1851 to 1855.
Lewis D. Campbell...................  Ohio...................  Republican............  1855 to 1857.
J. Glancy Jones.....................  Pennsylvania...........  Democrat..............  1857 to 1858.
John S. Phelps......................  Missouri...............  Democrat..............  1858 to 1859.
John Sherman........................  Ohio...................  Republican............  1859 to 1861.
Thaddeus Stevens....................  Pennsylvania...........  Republican............  1861 to 1865.
Justin S. Morrill...................  Vermont................  Republican............  1865 to 1867.
Robert C. Schenck...................  Ohio...................  Republican............  1867 to 1871.
Samuel D. Hooper....................  Massachusetts..........  Republican............  1871.
Henry L. Dawes......................  Massachusetts..........  Republican............  1871 to 1875.
William R. Morrison.................  Illinois...............  Democrat..............  1875 to 1877.
Fernando Wood.......................  New York...............  Democrat..............  1877 to 1881.
John R. Tucker......................  Virginia...............  Democrat..............  1881.
William D. Kelley...................  Pennsylvania...........  Republican............  1881 to 1883.
William R. Morrison.................  Illinois...............  Democrat..............  1883 to 1887.
Roger Q. Mills......................  Texas..................  Democrat..............  1887 to 1889.
William McKinley, Jr................  Ohio...................  Republican............  1889 to 1891.
William M. Springer.................  Illinois...............  Democrat..............  1891 to 1893.
William L. Wilson...................  West Virginia..........  Democrat..............  1893 to 1895.
Nelson Dingley, Jr..................  Maine..................  Republican............  1895 to 1899.
Sereno E. Payne.....................  New York...............  Republican............  1899 to 1911.
Oscar W. Underwood..................  Alabama................  Democrat..............  1911 to 1915.
Claude Kitchin......................  North Carolina.........  Democrat..............  1915 to 1919.
Joseph W. Fordney...................  Michigan...............  Republican............  1919 to 1923.
William R. Green....................  Iowa...................  Republican............  1923 to 1928.
Willis C. Hawley....................  Oregon.................  Republican............  1929 to 1931.
James W. Collier....................  Mississippi............  Democrat..............  1931 to 1933.
Robert L. Doughton..................  North Carolina.........  Democrat..............  1933 to 1947, 1949 to
                                                                                        1953.
Harold Knutson......................  Minnesota..............  Republican............  1947 to 1949.
Daniel A. Reed......................  New York...............  Republican............  1953 to 1955.
Jere Cooper.........................  Tennessee..............  Democrat..............  1955 to 1957.
Wilbur D. Mills.....................  Arkansas...............  Democrat..............  1957 to 1975.
Al Ullman...........................  Oregon.................  Democrat..............  1975 to 1981.
Dan Rostenkowski....................  Illinois...............  Democrat..............  1981 to 1994.
Bill Archer.........................  Texas..................  Republican............  1995 to 2001.
William M. Thomas...................  California.............  Republican............  2001 to 2007.
Charles B. Rangel...................  New York...............  Democrat..............  2007-
----------------------------------------------------------------------------------------------------------------

           B. Tables Showing Past Membership of the Committee


 1. MEMBERS OF THE COMMITTEE ON WAYS AND MEANS FROM THE 1ST THROUGH THE 
                        110TH CONGRESS, BY STATE

[Beginning with the 104th Congress, Intra-Congress Committee Membership 
                         changes are footnoted]


------------------------------------------------------------------------
                     Member                            Congress(es)
------------------------------------------------------------------------
Alabama:
    John McKinley..............................                       23
    David Hubbard..............................                       26
    Dixon H. Lewis.............................                    27-28
    George S. Houston..........................             29-30, 32-33
    James F. Dowdell...........................                       35
    Hilary A. Herbert..........................                       48
    Joseph Wheeler.............................                    53-55
    Oscar W. Underwood.........................                56, 59-63
    Ronnie G. Flippo...........................                   98-101
Arizona:
    J.D. Hayworth..............................                  105-109
Arkansas:
    James K. Jones.............................                       48
    Clifton R. Breckinridge....................                49-51, 53
    William A. Oldfield........................                    64-70
    Heartsill Ragon............................                    70-73
    William J. Driver..........................                       72
    Claude A. Fuller...........................                    73-75
    Wilbur D. Mills............................                    77-94
    Jim Guy Tucker, Jr.........................                       95
    Beryl Anthony, Jr..........................                   97-102
California:
    Joseph McKenna.............................                    51-52
    Victor H. Metcalf..........................                    57-58
    James C. Needham...........................                    58-62
    William E. Evans...........................                       73
    Frank H. Buck..............................                    74-77
    Bertrand W. Gearhart.......................                    76-80
    Cecil R. King..............................             78-79, 81-90
    James B. Utt...............................                83, 86-91
    James C. Corman............................                    90-96
    Jerry L. Pettis............................                    91-94
    William M. Ketchum.........................                    94-95
    Fortney Pete Stark.........................                      94-
    John H. Rousselot..........................                    95-97
    Robert T. Matsui...........................                \4\97-108
    William M. Thomas..........................                   98-109
    Wally Herger...............................                     103-
    Xavier Becerra.............................                     105-
    Mike Thompson..............................                     109-
    Devin Nunes................................                  \6\109-
Colorado:
    Robert W. Bonynge..........................                       60
    Charles B. Timberlake......................                    66-72
    John A. Carroll............................                       81
    Donald G. Brotzman.........................                    92-93
    George H. ``Hank'' Brown...................                  100-101
    Scott McInnis..............................                  106-108
    Bob Beauprez...............................                      109
Connecticut:
    Jeremiah Wadsworth.........................                        1
    Uriah Tracy................................                        3
    James Hillhouse............................                        4
    Nathaniel Smith............................                      4-5
    Joshua Coit................................                        5
    Roger Griswold.............................                      5-8
    John Davenport.............................                        8
    Jonathan O. Moseley........................                9, 14, 16
    Benjamin Tallmadge.........................                    10-11
    Timothy Pitkin.............................                12-13, 15
    Ralph I. Ingersoll.........................                    21-22
    Samuel D. Hubbard..........................                       30
    James Phelps...............................                    45-46
    Charles A. Russell.........................                    54-57
    Ebenezer J. Hill...........................             58-62, 64-65
    John Q. Tilson.............................                    66-68
    Antoni N. Sadlak...........................                    83-85
    William R. Cotter..........................                    94-97
    Barbara B. Kennelly........................                   98-105
    Nancy L. Johnson...........................                  101-109
    John B. Larson.............................                     109-
Delaware:
    John Vining................................                        1
    Henry Latimer..............................                        3
    John Patten................................                        4
    James A. Bayard, Sr........................                     5, 7
    Caesar A. Rodney...........................                        8
    Louis McLane...............................                    16-19
Florida:
    A. S. Herlong, Jr..........................                    84-90
    Sam M. Gibbons.............................                   91-104
    L.A. (Skip) Bafalis........................                    94-97
    E. Clay Shaw, Jr...........................                  100-109
    Karen L. Thurman...........................                  105-107
    Mark Foley.................................               \8\104-109
Georgia:
    James Jackson..............................                        1
    Abraham Baldwin............................                      3-5
    Benjamin Taliaferro........................                        6
    John Milledge..............................                        7
    David Meriwether...........................                      8-9
    William W. Bibb............................                    12-13
    Joel Abbott................................                       15
    Joel Crawford..............................                    15-16
    Wiley Thompson.............................                    17-18
    George R. Gilmer...........................                       20
    Richard H. Wilde...........................                    22-23
    George W. Owens............................                    24-25
    Charles E. Haynes..........................                       25
    Mark A. Cooper.............................                       26
    Absalom H. Chappell........................                       28
    Seaborn Jones..............................                       29
    Robert Toombs..............................                    30-31
    Alexander H. Stephens......................                30-31, 33
    Marshall J. Wellborn.......................                       31
    Howell Cobb................................                       34
    Martin J. Crawford.........................                    35-36
    Benjamin H. Hill...........................                       44
    Henry R. Harris............................                   45, 49
    William H. Felton..........................                       46
    Emory Speer................................                       47
    James H. Blount............................                       48
    Henry G. Turner............................                    50-54
    Charles F. Crisp...........................                       54
    James M. Griggs............................                    60-61
    William G. Brantley........................                    61-62
    Charles R. Crisp...........................                    64-72
    Albert S. Camp.............................                    78-83
    Phillip M. Landrum.........................                    89-94
    Ed Jenkins.................................                   95-102
    Wyche Fowler, Jr...........................                    96-99
    John Lewis.................................                     103-
    Mac Collins................................                  104-108
    John Linder................................                     109-
Hawaii:
    Cecil (Cec) Heftel.........................                    96-99
Illinois:
    Daniel P. Cook.............................                       19
    John A. McClernand.........................                       37
    John Wentworth.............................                       39
    John A. Logan..............................                       40
    Samuel S. Marshall.........................                       41
    Horatio C. Burchard........................                    42-45
    William R. Morrison........................                44, 46-49
    William M. Springer........................                       52
    Albert J. Hopkins..........................                    52-57
    Henry S. Boutell...........................                    58-61
    Henry T. Rainey............................             62-66, 68-72
    John A. Sterling...........................                       65
    Ira C. Copley..............................                    66-67
    Carl R. Chindblom..........................                    68-72
    Chester C. Thompson........................                    74-75
    Raymond S. McKeough........................                    76-77
    Charles S. Dewey...........................                       78
    Thomas J. O'Brien..........................                79, 81-88
    Noah M. Mason..............................                    80-87
    Harold R. Collier..........................                    88-93
    Dan Rostenkowski...........................                   88-103
    Abner J. Mikva.............................                    94-96
    Philip M. Crane............................                   94-108
    Marty Russo................................                   96-102
    Mel Reynolds...............................                      103
    Jerry Weller...............................                  105-110
    Rahm Emanuel...............................                  109-110
Indiana:
    David Wallace..............................                       27
    Cyrus L. Dunham............................                       32
    William E. Niblack.........................                   40, 43
    Godlove S. Orth............................                       41
    Michael C. Kerr............................                       42
    Thomas M. Browne...........................                    48-50
    William D. Bynum...........................                   50, 53
    Benjamin F. Shively........................                       52
    George W. Steele...........................                    54-57
    James E. Watson............................                    58-60
    Edgar D. Crumpacker........................                    60-61
    Lincoln Dixon..............................                    62-65
    Harry C. Canfield..........................                    71-72
    John W. Boehne, Jr.........................                    73-77
    Robert A. Grant............................                       80
    Andy Jacobs, Jr............................                   94-104
    Chris Chocola..............................                      109
Iowa:
    John A. Kasson.............................            38, 43, 47-48
    William B. Allison.........................                    39-41
    John H. Gear...............................                   51, 53
    Jonathan P. Dolliver.......................                    54-56
    William R. Green...........................                    63-70
    C. William Ramseyer........................                    70-71
    Otha D. Wearin.............................                       75
    Lloyd Thurston.............................                       75
    Thomas E. Martin...........................                    80-83
    Fred Grandy................................                  102-103
    Jim Nussle.................................                  104-109
Kansas:
    Dudley C. Haskell..........................                       47
    Chester I. Long............................                    56-57
    Charles Curtis.............................                    58-59
    William A. Calderhead......................                    60-61
    Victor Murdock.............................                       63
    Guy T. Helvering...........................                    64-65
    Frank Carlson..............................                    76-79
    Martha E. Keys.............................                    94-95
Kentucky:
    Alexander D. Orr...........................                        3
    Christopher Greenup........................                        4
    Thomas T. Davis............................                        5
    John Boyle.................................                        8
    Richard M. Johnson.........................                    11-12
    Thomas Montgomery..........................                       13
    David Trimble..............................                    15-16
    Nathan Gaither.............................                       22
    John Pope..................................                       25
    Thomas F. Marshall.........................                       27
    Garrett Davis..............................                       28
    Charles S. Morehead........................                    30-31
    John C. Breckinridge.......................                       33
    Robert Mallory.............................                       38
    James B. Beck..............................                    42-43
    Henry Watterson............................                       44
    John G. Carlisle...........................                46-47, 51
    Joseph C.S. Blackburn......................                       48
    William C.P. Breckinridge..................                    49-50
    Alexander B. Montgomery....................                    52-53
    Walter Evans...............................                    54-55
    Ollie M. James.............................                       62
    Augustus O. Stanley........................                       63
    Frederick M. Vinson........................                    72-75
    Noble J. Gregory...........................                    78-85
    John C. Watts..............................                    86-92
    Jim Bunning................................                  102-105
    Ron Lewis..................................                  106-110
Louisiana:
    Thomas B. Robertson........................                       14
    William L. Brent...........................                    19-20
    Walter H. Overton..........................                       21
    Lionel A. Sheldon..........................                       43
    Randall L. Gibson..........................                    45-46
    Charles J. Boatner.........................                       54
    Samuel M. Robertson........................                    55-59
    Robert F. Broussard........................                       61
    Whitmell P. Martin.........................                    65-70
    Paul H. Maloney............................                76, 78-79
    Thomas Hale Boggs, Sr......................                    81-91
    Joe D. Waggonner, Jr.......................                    92-95
    W. Henson Moore III........................                    96-99
    William J. Jefferson.......................          \7\103, 105-109
    Jim McCrery................................                  103-110
    Jimmy Hayes................................                   104\1\
Maine:
    Peleg Sprague..............................                    19-20
    Francis O.J. Smith.........................                       24
    George Evans...............................                       26
    Israel Washburn, Jr........................                       36
    James G. Blaine............................                       44
    William P. Frye............................                       46
    Thomas B. Reed.............................             48-50, 52-53
    Nelson Dingley, Jr.........................                51, 54-55
    Daniel J. McGillicuddy.....................                       64
Maryland:
    William Smith..............................                        1
    Gabriel Christie...........................                        3
    William Vans Murray........................                        4
    William Hindman............................                      4-5
    William Craik..............................                        5
    Joseph H. Nicholson........................                      6-9
    Nicholas R. Moore..........................                        8
    Roger Nelson...............................                        9
    John Montgomery............................                    10-11
    Alexander McKim............................                       13
    Stevenson Archer...........................                       13
    Samuel Smith...............................                    14-17
    Isaac McKim................................                18, 23-25
    Henry W. Davis.............................                    34-36
    Phillip F. Thomas..........................                       44
    David J. Lewis.............................                    72-75
    Rogers C.B. Morton.........................                    91-92
    Benjamin L. Cardin.........................                  101-109
Massachusetts:
    Elbridge Gerry.............................                        1
    Fisher Ames................................                        3
    Theodore Sedgwick..........................                        4
    Theophilus Bradbury........................                        4
    Harrison Gray Otis.........................                      5-6
    Samuel Sewall..............................                        5
    Isaac Parker...............................                        5
    Bailey Bartlett............................                        6
    Nathan Read................................                        7
    Seth Hastings..............................                        8
    Josiah Quincy..............................                        9
    Ezekiel Bacon..............................                    11-12
    Ebenezer Seaver............................                       11
    Henry Shaw.................................                       16
    Henry W. Dwight............................                    19-21
    Benjamin Gorham............................                       23
    Abbott Lawrence............................                   24, 26
    Richard Fletcher...........................                       25
    George N. Briggs...........................                       25
    Leverett Saltonstall.......................                       26
    Robert C. Winthrop.........................                       29
    Charles Hudson.............................                       30
    George Ashmun..............................                       31
    William Appleton...........................                32-33, 37
    Alexander De Witt..........................                       34
    Nathaniel P. Banks.........................                   35, 45
    Samuel Hooper..............................                    37-41
    Henry L. Dawes.............................                    42-43
    Chester W. Chapin..........................                       44
    William A. Russell.........................                    47-48
    Moses T. Stevens...........................                    52-53
    Samuel W. McCall...........................                    56-62
    Andrew J. Peters...........................                    62-63
    Augustus P. Gardner........................                    63-65
    John J. Mitchell...........................                       63
    Allen T. Treadway..........................                    65-78
    Peter F. Tague.............................                    67-68
    John W. McCormack..........................                    72-76
    Arthur D. Healey...........................                       77
    Charles L. Gifford.........................                    79-80
    Angier L. Goodwin..........................                80, 82-83
    James A. Burke.............................                    87-95
    James M. Shannon...........................                    96-98
    Brian J. Donnelly..........................                   99-102
    Richard E. Neal............................                     103-
Michigan:
    William A. Howard..........................                    34-36
    Austin Blair...............................                       41
    Henry Waldron..............................                       43
    Omar D. Conger.............................                       46
    Jay A. Hubbell.............................                       47
    William C. Maybury.........................                       49
    Julius C. Burrows..........................                    50-53
    Justin R. Whiting..........................                    52-53
    William A. Smith...........................                       59
    Joseph W. Fordney..........................                    60-67
    James C. McLaughlin........................                    68-72
    Roy O. Woodruff............................                    73-82
    John D. Dingell............................                    74-84
    Victor A. Knox.............................                83, 86-88
    Thaddeus M. Machrowicz.....................                    84-87
    Martha W. Griffiths........................                    87-93
    Charles E. Chamberlain.....................                    91-93
    Richard F. Vander Veen.....................                    93-94
    Guy Vander Jagt............................                   94-102
    William M. Brodhead........................                    95-97
    Sander M. Levin............................                     100-
    Dave Camp..................................                     103-
Minnesota:
    Mark H. Dunnell............................                    46-47
    James A. Tawney............................                    54-58
    James T. McCleary..........................                       59
    Winfield S. Hammond........................                    62-63
    Sydney Anderson............................                       63
    Harold Knutson.............................                    73-80
    Eugene J. McCarthy.........................                    84-85
    Joseph E. Karth............................                    92-94
    Bill Frenzel...............................                   94-101
    Jim Ramstad................................                  104-110
Mississippi:
    Jacob Thompson.............................                       31
    John Sharp Williams........................                    58-59
    James W. Collier...........................                    63-72
    Aaron Lane Ford............................                       77
Missouri:
    James S. Green.............................                       31
    John S. Phelps.............................                    32-37
    Henry T. Blow..............................                       38
    John Hogan.................................                       39
    Gustavus A. Finkelburg.....................                       42
    John C. Tarsney............................                    53-54
    Seth W. Cobb...............................                       54
    Champ Clark................................                    58-61
    Dorsey W. Shackleford......................                    62-63
    Clement C. Dickinson.......................      63-66, 68-70, 72-73
    Charles L. Faust...........................                    69-70
    Richard M. Duncan..........................                    74-77
    Thomas B. Curtis...........................                    83-90
    Frank M. Karsten...........................                    84-90
    Richard A. Gephardt........................                   95-101
    Mel Hancock................................                  103-104
    Kenny Hulshof..............................                  105-110
Montana:
    Lee W. Metcalf.............................                       86
    James F. Battin............................                    89-91
Nebraska:
    William J. Bryan...........................                    52-53
    Charles H. Sloan...........................                    63-65
    Ashton C. Shallenberger....................                       73
    Carl T. Curtis.............................                    79-83
    Hal Daub...................................                   99-100
    Peter Hoagland.............................                      103
    Jon Christensen............................                  104-105
Nevada:
    Francis G. Newlands........................                    56-57
    John Ensign................................                  104-105
    Jon Porter.................................                  109-110
New Hampshire:
    Samuel Livermore...........................                        1
    Nicholas Gilman............................                      3-4
    Abiel Foster...............................                        5
    Nathaniel A. Haven.........................                       11
    Henry Hubbard..............................                       23
    Charles G. Atherton........................                    25-27
    Moses Norris, Jr...........................                    28-29
    Harry Hibbard..............................                    31-33
    Judd A. Gregg..............................                   99-100
New Jersey:
    Lambert Cadwalader.........................                        1
    Elias Boudinot.............................                        3
    Isaac Smith................................                        4
    Thomas Sinnickson..........................                        5
    James H. Imlay.............................                        6
    William Coxe, Jr...........................                       13
    John L. N. Stratton........................                       37
    William Hughes.............................                       62
    Isaac Bacharach............................                    66-74
    Donald H. McLean...........................                    76-78
    Robert W. Kean.............................                    78-85
    Henry Helstoski............................                       94
    Frank J. Guarini...........................                   96-102
    Dick Zimmer................................                      104
New Mexico:
    Clinton P. Anderson........................                       79
New York:
    John Laurance..............................                        1
    John Watts.................................                        3
    Ezekiel Gilbert............................                        4
    James Cochran..............................                        5
    Hezekiah L. Hosmer.........................                        5
    Jonas Platt................................                        6
    Killian K. Van Rensselaer..................                        7
    Joshua Sands...............................                        8
    Erastus Root...............................                       11
    John W. Taylor.............................                       13
    Jonathan Fisk..............................                       13
    Thomas J. Oakley...........................                       13
    James W. Wilkin............................                       14
    James Tallmadge, Jr........................                       15
    Albert H. Tracy............................                       16
    Nathaniel Pitcher..........................                       17
    Churchill C. Cambreleng....................             17-18, 23-25
    Dudley Marvin..............................                       19
    Gulian C. Verplanck........................                    20-22
    Aaron Vanderpoel...........................                       26
    Millard Filmore............................                       27
    Daniel D. Barnard..........................                       28
    David L. Seymour...........................                       28
    George O. Rathbun..........................                       28
    Orville Hungerford.........................                       29
    Henry Nicoll...............................                       30
    James Brooks...............................         31-32, 39-40, 42
    William Duer...............................                       31
    Solomon G. Haven...........................                       33
    Russell Sage...............................                       34
    John Kelly.................................                       35
    William B. MacLay..........................                       35
    Elbridge G. Spaulding......................                    36-37
    Erastus Corning............................                       37
    Reuben E. Fenton...........................                       38
    De Witt C. Littlejohn......................                       38
    Henry G. Stebbins..........................                       38
    John V. L. Pruyn...........................                       38
    Roscoe Conkling............................                       39
    Charles H. Winfield........................                       39
    John A. Griswold...........................                       40
    Dennis McCarthy............................                       41
    Ellis H. Roberts...........................                    42-43
    Fernando Wood..............................                    43-46
    Abram S. Hewitt............................                    48-49
    Frank Hiscock..............................                    48-49
    Sereno E. Payne............................                    51-63
    Roswell P. Flower..........................                       51
    William B. Cochran.........................             52-53, 58-60
    George B. McClellan........................                    55-58
    John W. Dwight.............................                       61
    Francis B. Harrison........................                    61-63
    Michael F. Conry...........................                       64
    George W. Fairchild........................                    64-65
    John F. Carew..............................                    65-71
    Luther W. Mott.............................                    66-67
    Alanson B. Houghton........................                       67
    Ogden L. Mills.............................                    67-69
    Frank Crowther.............................                    68-77
    Thaddeus C. Sweet..........................                       70
    Frederick M. Davenport.....................                    70-71
    Thomas H. Cullen...........................                    71-78
    Christopher D. Sullivan....................                    72-76
    Daniel A. Reed.............................                    73-86
    Walter A. Lynch............................                    78-81
    Eugene J. Keogh............................                    82-89
    Albert H. Bosch............................                       86
    Steven B. Derounian........................                    87-88
    Barber B. Conable, Jr......................                    90-98
    Jacob H. Gilbert...........................                    90-91
    Hugh L. Carey..............................                    91-93
    Otis G. Pike...............................                    93-95
    Charles B. Rangel..........................                      94-
    Thomas J. Downey...........................                   96-102
    Raymond J. McGrath.........................                   99-102
    Michael R. McNulty.........................          103, \2\104-110
    Amo Houghton...............................                  103-108
    Thomas M. Reynolds.........................                  109-110
North Carolina:
    William B. Grove...........................                        3
    Thomas Blount..............................                      4-5
    Robert Williams............................                        5
    David Stone................................                        6
    James Holland..............................                        7
    Willis Alston..............................                10-11, 13
    William Gaston.............................                    13-14
    Abraham Rencher............................                   25, 27
    Henry W. Conner............................                       26
    James I. McKay.............................                    28-30
    Edward Stanly..............................                       32
    William M. Robbins.........................                       45
    Edward W. Pou..............................                    60-61
    Claude Kitchin.............................                    62-67
    Robert L. Doughton.........................                    69-82
    James G. Martin............................                    94-98
North Dakota:
    Martin N. Johnson..........................                    54-55
    George M. Young............................                    66-68
    Byron L. Dorgan............................                   98-102
    Earl Pomeroy...............................                     107-
Ohio:
    William Creighton, Jr......................                       13
    Thomas R. Ross.............................                       16
    Thomas Corwin..............................                    23-24
    Thomas L. Hamer............................                       25
    Taylor Webster.............................                       25
    Samson Mason...............................                    26-27
    John B. Weller.............................                       28
    Samuel F. Vinton...........................                    29-31
    Lewis D. Campbell..........................                    34-35
    John Sherman...............................                       36
    Valentine B. Horton........................                       37
    George H. Pendleton........................                       38
    James A. Garfield..........................                39, 44-46
    Robert C. Schenck..........................                    40-41
    Charles Foster.............................                       43
    Milton Sayler..............................                       45
    William McKinley, Jr.......................             46-47, 49-51
    Frank H. Hurd..............................                       48
    Charles H. Grosvenor.......................                    53-59
    Nicholas Longworth.........................             60-62, 64-67
    Timothy T. Ansberry........................                    62-63
    Alfred G. Allen............................                       64
    George White...............................                       65
    Charles C. Kearns..........................                    68-71
    Charles F. West............................                       73
    Thomas A. Jenkins..........................                    73-85
    Arthur P. Lamneck..........................                    74-75
    Stephen M. Young...........................                       81
    Jackson E. Betts...........................                    86-92
    Donald D. Clancy...........................                    93-94
    Charles A. Vanik...........................                    89-96
    Bill Gradison..............................                   95-103
    Don J. Pease...............................                   97-102
    Rob Portman................................               \5\104-109
    Stephanie Tubbs Jones......................               \9\108-110
Oklahoma:
    Thomas A. Chandler.........................                       67
    James V. McClintic.........................                       73
    Wesley E. Disney...........................                    74-78
    James R. Jones.............................                    94-99
    Bill K. Brewster...........................                      103
    Wes Watkins................................                  105-107
Oregon:
    William R. Ellis...........................                       61
    Willis C. Hawley...........................                    65-72
    Albert C. Ullman...........................                    87-96
    Mike Kopetski..............................                      103
Pennsylvania:
    Thomas Fitzsimons..........................                     1, 3
    Albert Gallatin............................                      4-6
    Henry Woods................................                        6
    John Smilie................................               6-7, 10-12
    Joseph Clay................................                      8-9
    John Rea...................................                       11
    Jonathan Roberts...........................                    12-13
    Samuel D. Ingham...........................                13-14, 18
    John Sergeant..............................                   15, 25
    John Tod...................................                       17
    John Gilmore...............................                    21-22
    Horace Binney..............................                       23
    Richard Biddle.............................                       26
    Joseph R. Ingersoll........................                24, 27-29
    James Pollock..............................                       30
    Moses Hampton..............................                       31
    J. Glancy Jones............................                   32, 35
    John Robbins...............................                       33
    James H. Campbell..........................                       34
    Henry M. Phillips..........................                       35
    Thaddeus Stevens...........................                    36-38
    James K. Moorhead..........................                    39-40
    William D. Kelley..........................                    41-50
    Russell Errett.............................                       47
    Samuel J. Randall..........................                       47
    William L. Scott...........................                       50
    Thomas M. Bayne............................                       51
    John Dalzell...............................                    52-62
    A. Mitchell Palmer.........................                    62-63
    J. Hampton Moore...........................                    63-66
    John J. Casey..............................                   64, 68
    Henry W. Watson............................                    66-73
    Harris J. Bixler...........................                       69
    Harry A. Estep.............................                    70-72
    Thomas C. Cochran..........................                       73
    Joshua T. Brooks...........................                       74
    Patrick J. Boland..........................                    76-77
    Benjamin Jarrett...........................                    76-77
    James P. McGranery.........................                    77-78
    Herman P. Eberharter.......................                    78-85
    Richard M. Simpson.........................                    78-86
    William J. Green, Jr.......................                    86-88
    John A. Lafore, Jr.........................                       86
    Walter M. Mumma............................                    86-87
    George M. Rhodes...........................                    88-90
    Herman T. Schneebeli.......................                    87-94
    William J. Green, III......................                    90-94
    Raymond F. Lederer.........................                    95-96
    Dick Schulze...............................                   95-102
    Donald A. Bailey...........................                       97
    William J. Coyne...........................                   99-107
    Rick Santorum..............................                      103
    Philip S. English..........................                  104-110
    Melissa A. Hart............................                      109
Rhode Island:
    Benjamin Bourne............................                      3-4
    Francis Malbone............................                        4
    Elisha R. Potter...........................                        4
    Christopher G. Champlin....................                        5
    John Brown.................................                        6
    Joseph Stanton, Jr.........................                        8
    Daniel L.D. Granger........................                    59-60
    George F. O'Shaunessy......................                       65
    Richard S. Aldrich.........................                    69-72
    Aime J. Forand.............................                    78-86
South Carolina:
    William L. Smith...........................                      3-5
    Robert Goodloe Harper......................                      5-6
    Abraham Nott...............................                        6
    David R. Williams..........................                        9
    Langdon Cheves.............................                       12
    Theodore Gourdin...........................                       13
    William Lowndes............................                    13-15
    John Taylor................................                       14
    Thomas R. Mitchell.........................                       17
    George McDuffie............................                    18-22
    R. Barnwell Rhett..........................                    25-26
    Francis W. Pickens.........................                       27
    John L. McLaurin...........................                    54-55
    Ken Holland................................                    95-97
    Carroll A. Campbell, Jr....................                    98-99
Tennessee:
    Andrew Jackson.............................                        4
    William C.C. Claiborne.....................                        5
    William Dickson............................                     7, 9
    George W. Campbell.........................                       10
    Bennett H. Henderson.......................                       14
    Francis Jones..............................                    16-17
    James K. Polk..............................                    22-23
    Cave Johnson...............................                       24
    George W. Jones............................                    31-34
    Horace Maynard.............................                37, 40-42
    Benton McMillan............................                    49-55
    James D. Richardson........................                    55-57
    Cordell Hull...............................             62-66, 68-71
    Edward E. Eslick...........................                       72
    Jere Cooper................................                    72-85
    Howard H. Baker............................                    83-88
    James B. Frazier, Jr.......................                    85-87
    Ross Bass..................................                       88
    Richard H. Fulton..........................                    89-94
    John J. Duncan.............................                   92-100
    Harold E. Ford.............................                   94-104
    Don Sundquist..............................                  101-103
    John S. Tanner.............................                     105-
Texas:
    John Hancock...............................                       44
    Roger Q. Mills.............................                46, 48-51
    Joseph W. Bailey...........................                       55
    Samuel B. Cooper...........................                    56-58
    Choice B. Randell..........................                    60-62
    John N. Garner.............................                    63-71
    Morgan G. Sanders..........................                    72-75
    Milton H. West.............................                    76-80
    Jesse M. Combs.............................                    81-82
    Frank N. Ikard.............................                    84-87
    Bruce Alger................................                    86-88
    Clark W. Thompson..........................                    87-89
    George H.W. Bush...........................                    90-91
    Omar T. Burleson...........................                    90-95
    Bill Archer................................                   93-106
    J.J. Pickle................................                   94-103
    Kent R. Hance..............................                    97-98
    Michael A. Andrews.........................                   99-103
    Sam Johnson................................                     104-
    Greg Laughlin..............................                   \3\104
    Lloyd Doggett..............................                     104-
    Kevin Brady................................                     107-
    Max Sandlin................................                      108
Utah:
    Walter K. Granger..........................                       82
Vermont:
    Daniel Buck................................                        4
    Israel Smith...............................                  3, 4, 7
    Lewis R. Morris............................                        5
    James Fisk.................................                   10, 12
    Horace Everett.............................                       25
    Justin S. Morrill..........................                    35-39
Virginia:
    James Madison..............................                  1, 3, 4
    William B. Giles...........................                        5
    Richard Brent..............................                        5
    Walter Jones...............................                        5
    Leven Powell...............................                        6
    John Nicholas..............................                        6
    John Randolph..............................                  7-9, 20
    James M. Garnett...........................                        9
    John W. Eppes..............................                10-11, 13
    William A. Burwell.........................                12, 14-16
    James Pleasants............................                    12-13
    John Tyler.................................                       16
    Andrew Stevenson...........................                    17-19
    Alexander Smyth............................                    20-21
    Philip P. Barbour..........................                       21
    Mark Alexander.............................                    21-22
    George Loyall..............................                    23-24
    John W. Jones..............................                    25-27
    John M. Botts..............................                       27
    Thomas W. Gilmer...........................                       27
    Thomas H. Bayly............................                   28, 31
    George C. Dromgoole........................                    28-29
    James McDowell.............................                       30
    John Letcher...............................                    34-35
    John S. Millson............................                       36
    John R. Tucker.............................                    44-47
    Claude A. Swanson..........................                    55-58
    A. Willis Robertson........................                    75-79
    Burr P. Harrison...........................                82, 84-87
    W. Pat Jennings............................                    88-89
    Joel T. Broyhill...........................                    88-93
    Joseph L. Fisher...........................                    94-96
    L.F. Payne.................................                  103-104
    Eric Cantor................................                     108-
Washington:
    Francis W. Cushman.........................                       61
    Lindley H. Hadley..........................                    66-72
    Samuel B. Hill.............................                    71-74
    Knute Hill.................................                       77
    Otis H. Holmes.............................                    80-85
    Rodney D. Chandler.........................                  100-102
    Jim McDermott..............................                     102-
    Jennifer Dunn..............................                  104-108
West Virginia:
    William L. Wilson..........................                50, 52-53
    Joseph H. Gaines...........................                    60-61
    George M. Bowers...........................                    66-67
    Hubert S. Ellis............................                       80
Wisconsin:
    Charles Billinghurst.......................                       34
    Robert M. La Follette......................                       51
    Joseph W. Babcock..........................                    57-59
    James A. Frear.............................             66-68, 71-73
    Thaddeus F.B. Wasielewski..................                    78-79
    John W. Byrnes.............................                    80-92
    William A. Steiger.........................                    94-95
    Jim Moody..................................                  100-102
    Gerald D. Kleczka..........................                  103-108
    Paul Ryan..................................                     107-
------------------------------------------------------------------------
\1\Appointed January 25, 1996.
\2\Appointed January 25, 1996.
\3\Appointed July 10, 1995.
\4\Reelected to the 109th Congress; died January 1, 2005.
\5\Resigned April 29, 2005.
\6\Appointed May 5, 2005.
\7\Pursuant to H. Res. 872, removed June 16, 2006.
\8\Resigned September 29, 2006.
\9\Died, August 20, 2008.

                2. COMMITTEE MEMBERSHIP, 110TH CONGRESS

                      Committee on Ways and Means
                       One Hundred Tenth Congress

   CHARLES B. RANGEL, New York, 
             Chairman

JIM McCRERY, Louisiana               FORTNEY PETE STARK, California
WALLY HERGER, California             SANDER M. LEVIN, Michigan
DAVE CAMP, Michigan                  JIM McDERMOTT, Washington
JIM RAMSTAD, Minnesota               JOHN LEWIS, Georgia
SAM JOHNSON, Texas                   RICHARD E. NEAL, Massachusetts
PHIL ENGLISH, Pennsylvania           MICHAEL R. McNULTY, New York
JERRY WELLER, Illinois               JOHN S. TANNER, Tennessee
KENNY C. HULSHOF, Missouri           XAVIER BECERRA, California
RON LEWIS, Kentucky                  LLOYD DOGGETT, Texas
KEVIN BRADY, Texas                   EARL POMEROY, North Dakota
THOMAS M. REYNOLDS, New York         STEPHANIE TUBBS JONES, Ohio
PAUL RYAN, Wisconsin                 MIKE THOMPSON, California
ERIC CANTOR, Virginia                JOHN B. LARSON, Connecticut
JOHN LINDER, Georgia                 RAHM EMANUEL, Illinois
DEVIN NUNES, California              EARL BLUMENAUER, Oregon
PAT TIBERI, Ohio                     RON KIND, Wisconsin
JON PORTER, Nevada                   BILL PASCRELL, Jr., New Jersey
                                     SHELLY BERKLEY, Nevada
                                     JOSEPH CROWLEY, New York
                                     CHRIS VAN HOLLEN, Maryland
                                     KENDRICK MEEK, Florida
                                     ALLYSON Y. SCHWARTZ, Pennsylvania
                                     ARTUR DAVIS, Alabama