To establish a program to stimulate the United States economy.

Summary: Amends the Public Works and Economic Development Act of 1965 to authorize appropriations to carry out certain economic development programs for FY 1993. 
Amends the Small Business Act to increase the program levels of the Small Business Administration for FY 1993. 
Amends the Internal Revenue Code to allow the targeted jobs credit for every individual hired within one year after the date of enactment of this Act.  Increases the amount of such credit. 
Excludes from gross income distributions from individual retirement accounts used to purchase or refinance a principal residence.   Exempts such distributions from the penalty tax on early distributions from retirement plans. 
Provides for the delay or suspension of obligations for certain defense, foreign assistance, space, and energy research programs.

SECTION 1. AUTHORIZATION OF APPROPRIATIONS FOR ECONOMIC DEVELOPMENT 
              ADMINISTRATION PROGRAMS.

    The Public Works and Economic Development Act of 1965 (42 U.S.C. 
3121 et seq.) is amended by adding at the end the following new title:

              ``TITLE XI--AUTHORIZATION OF APPROPRIATIONS

``SEC. 1101. FISCAL YEAR 1993.

    ``There is authorized to be appropriated to carry out titles I, II, 
III, VII, IX, and X $200,000,000 for fiscal year 1993.''.

SEC. 2. INCREASE IN SMALL BUSINESS ADMINISTRATION 1993 PROGRAM LEVELS.

    Section 20(g) of the Small Business Act (15 U.S.C. 631 note) is 
amended by adding at the end the following new paragraph:
            ``(5) Effective beginning on the date of the enactment of 
        this paragraph, each program level authorized by this 
        subsection is increased by 50 percent.''.

SEC. 3. TAX CREDIT TO EMPLOYERS FOR WAGES PAID TO INDIVIDUALS HIRED 
              WITHIN 1 YEAR AFTER ENACTMENT.

    (a) In General.--Section 51 of the Internal Revenue Code of 1986 
(relating to targeted jobs credit) is amended by adding at the end 
thereof the following new subsection:
    ``(l) Economic Recovery Hiring Incentives.--
            ``(1) In general.--Every individual hired within 1 year 
        after the date of the enactment of this subsection shall be 
        treated as a member of a targeted group.
            ``(2) Increased credit.--In the case of individuals hired 
        within 1 year after the date of the enactment of this 
        subsection--
                    ``(A) subsection (a) shall be applied by 
                substituting `50 percent' for `40 percent',
                    ``(B) subsections (b)(3) and (h)(1)(A) shall be 
                applied by substituting `$10,000' for `$6,000', and
                    ``(C) subsection (h)(1)(B) shall be applied by 
                substituting `$833.33' for `$500'.''
    (b) Effective Date.--The amendments made by this section shall 
apply to individuals who begin work for the employer after the date of 
the enactment of this Act.

SEC. 4. TAX-FREE WITHDRAWALS FROM INDIVIDUAL RETIREMENT ACCOUNTS TO 
              PURCHASE OR REFINANCE A HOME.

    (a) In General.--Subsection (d) of section 408 of the Internal 
Revenue Code of 1986 (relating to tax treatment of distributions from 
individual retirement accounts and annuities) is amended by adding at 
the end thereof the following new paragraph:
            ``(8) Distributions to purchase or refinance a home.--
                    ``(A) In general.--In the case of a qualified 
                residence distribution--
                            ``(i) the amount of such distribution shall 
                        not be includible in gross income, and
                            ``(ii) section 72(t) shall not apply.
                    ``(B) Qualified residence distribution.--For 
                purposes of this paragraph--
                            ``(i) In general.--The term `qualified 
                        residence distribution' means any payment or 
                        distribution during the 1-year period beginning 
                        on the date of the enactment of this paragraph 
                        from an individual retirement plan to an 
                        individual to the extent that the amount 
                        thereof is used within a reasonable period to 
                        pay qualified acquisition or refinancing costs 
                        with respect to a principal residence for such 
                        individual.
                            ``(ii) Qualified acquisition or refinancing 
                        costs.--The term `qualified acquisition costs' 
                        means the costs of acquiring, constructing, or 
                        reconstructing a residence. Such term includes 
                        any usual or reasonable settlement, financing 
                        or refinancing, or other closing costs.
                            ``(iii) Principal residence.--The term 
                        `principal residence' has the same meaning as 
                        when used in section 1034.''
    (c) Effective Date.--The amendments made by this section shall 
apply to payments and distributions made after the date of the 
enactment of this Act.

SEC. 5. DELAY IN OBLIGATIONS OF CERTAIN DEFENSE, FOREIGN ASSISTANCE, 
              SPACE, AND ENERGY RESEARCH PROGRAMS.

    Notwithstanding any other provision of law, no funds may be 
obligated--
            (1) during fiscal year 1993--
                    (A) in excess of $100,000,000 for any contract to 
                carry out the M1 Abrams Tank program;
                    (B) in excess of $4,157,075,000 to carry out the 
                space flight, spacecraft control, and communications 
                activities of the National Aeronautics and Space 
                Administration;
                    (C) in excess of $988,789,000 to carry out the 
                general science and research activities of the 
                Department of Energy in accordance with the Department 
                of Energy Organization Act; and
                    (D) in excess of $900,000,000 to carry out the 
                provisions of chapter 10 of part I of the Foreign 
                Assistance Act of 1961; and
            (2) during the period beginning on the date of the 
        enactment of this Act and ending on September 30, 1993--
                    (A) for any contract to carry out the V-22 aircraft 
                Osprey program; and
                    (B) to carry out the functions of the Inter-
                American Foundation in accordance with section 401 of 
                the Foreign Assistance Act of 1969 and section 9104 of 
                title 31, United States Code.