I 

108TH CONGRESS 

1ST SESSION H. R. 1593

To improve homeland security, prevent tax increases, support education and 

health care, and strengthen the economy. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 3, 2003

Mr. BOSWELL (for himself, Mr. CROWLEY, Mr. HASTINGS of Florida, Mr. 

REYES, Mr. ETHERIDGE, and Mr. TIERNEY) introduced the following bill; 

which was referred to the Committee on Transportation and Infrastructure, and in addition to the Committees on Energy and Commerce, the 

Judiciary, and Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions 

as fall within the jurisdiction of the committee concerned 

A BILL

To improve homeland security, prevent tax increases, support 

education and health care, and strengthen the economy.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Homeland Protection 

5 and Tax Hike Prevention Act of 2003’’. 

6 SEC. 2. PURPOSES. 

7 The purposes of this Act are—
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1 (1) to ameliorate the hardships faced by mil2 lions of Americans as a result of State and local 

3 budget crises, including tax increases and cuts to 

4 education, health care, and other vital State and 

5 local programs; 

6 (2) to avoid the economic damage that would be 

7 caused by tens of billions of dollars in State and 

8 local tax increases and spending cuts that would fur9 ther weaken the Nation’s economic growth and job 

10 creation; and 

11 (3) to improve the Nation’s readiness for a ter12 rorist attack by providing financial assistance to as13 sist States and cities to—

14 (A) prepare first responders and emer15 gency personnel; 

16 (B) implement anti-counterfeiting protec17 tions; 

18 (C) strengthen security at vulnerable tar19 gets, such as nuclear power plants and public 

20 transportation systems; and 

21 (D) address other homeland security prior22 ities. 

23 SEC. 3. DEFINITIONS. 

24 As used in this Act, the following definitions shall 

25 apply: 
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1 (1) STATE.—Except as used in section 6, the 

2 term ‘‘State’’ means each of the several States of 

3 the United States, the District of Columbia, and the 

4 Commonwealth of Puerto Rico. 

5 (2) METROPOLITAN STATISTICAL AREA.—The 

6 term ‘‘metropolitan statistical area’’ means a statis7 tical geographic entity associated with at least 1 ur8 banized area that has a population of not less than 

9 50,000, as identified by the Office of Management 

10 and Budget. 

11 (3) METROPOLITAN CITY.—The term ‘‘metro12 politan city’’ means—

13 (A) a central city within a metropolitan 

14 statistical area; and 

15 (B) any other city within a metropolitan 

16 statistical area that has a population of not less 

17 than 50,000. 

18 (4) UNIT OF GENERAL LOCAL GOVERNMENT.—

19 (A) IN GENERAL.—The term ‘‘unit of gen20 eral local government’’ means—

21 (i) a county, parish, township, city, or 

22 political subdivision of a county, parish, 

23 township, or city, that is a unit of general 

24 local government as determined by the Sec-
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1 retary of Commerce for general statistical 

2 purposes; and 

3 (ii) the District of Columbia, the 

4 Commonwealth of Puerto Rico, and the 

5 recognized governing body of an Indian 

6 tribe or Alaskan native village that carries 

7 out substantial governmental duties and 

8 powers. 

9 (B) TREATMENT OF SUBSUMED AREAS.—

10 For purposes of determining a unit of general 

11 local government under this section, the rules 

12 under section 6720(c) of title 31, United States 

13 Code, shall apply. 

14 SEC. 4. HOMELAND SECURITY GRANTS. 

15 (a) GRANTS AUTHORIZED.—

16 (1) IN GENERAL.—From the amount appro17 priated under subsection (d), the Secretary of 

18 Homeland Security (referred to in this section as the 

19 ‘‘Secretary’’) shall, as soon as practicable after the 

20 date of enactment of this Act, award grants to 

21 States and metropolitan cities, which have submitted 

22 an application in accordance with subsection (c) to 

23 accomplish the objectives described under subsection 

24 (b). 

25 (2) ALLOCATIONS TO STATES.—
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1 (A) POPULATION-BASED ALLOCATIONS.—

2 The Secretary shall allocate $2,500,000,000 for 

3 grants to the States based on the relative popu4 lation of each State. 

5 (B) RISK-BASED ALLOCATIONS.—Subject 

6 to paragraph (4), the Secretary shall allocate 

7 $2,500,000,000 for grants to the States based 

8 on—

9 (i) the potential risk, as it pertains to 

10 chemical security, of each State; 

11 (ii) the proximity of each State to the 

12 nearest operating nuclear power plant; 

13 (iii) the proximity of each State to the 

14 nearest United States land or water port; 

15 (iv) the proximity of each State to the 

16 nearest international border; and 

17 (v) the proximity of each State to the 

18 nearest Disaster Medical Assistance Team. 

19 (3) ALLOCATIONS TO METROPOLITAN CITIES.—

20 (A) POPULATION-BASED ALLOCATIONS.—

21 The Secretary shall allocate $2,500,000,000 for 

22 grants to units of general local government 

23 within metropolitan cities based on the relative 

24 population of each metropolitan statistical area. 
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1 (B) RISK-BASED ALLOCATIONS.—The Sec2 retary shall allocate $2,500,000,000 for grants 

3 to metropolitan cities within metropolitan sta4 tistical areas based on—

5 (i) the potential risk, as it pertains to 

6 chemical security, of each metropolitan sta7 tistical area; 

8 (ii) the proximity of each metropolitan 

9 statistical area to the nearest operating 

10 nuclear power plant; 

11 (iii) the proximity of each metropoli12 tan statistical area to the nearest United 

13 States land or water port; 

14 (iv) the proximity of each metropoli15 tan statistical area to the nearest inter16 national border; and 

17 (v) the proximity of each metropolitan 

18 statistical area to the nearest Disaster 

19 Medical Assistance Team. 

20 (C) METROPOLITAN CITIES.—The Sec21 retary shall distribute the allocations under sub22 paragraphs (A) and (B) to metropolitan cities 

23 based on the relative population of each such 

24 city. 
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1 (4) CLARIFICATION OF RISK FACTORS.—In allo2 cating funds to States and metropolitan statistical 

3 areas under paragraphs (2)(B) and (3)(B), the Sec4 retary shall equally weigh each of the following risk 

5 factors: 

6 (A) POTENTIAL RISK AS IT PERTAINS TO

7 CHEMICAL SECURITY.—If a State or metropoli8 tan statistical area is within the vulnerable zone 

9 of a worst-case chemical release, as specified in 

10 the most recent risk management plans filed 

11 with the Environmental Protection Agency or 

12 another instrument developed by the Environ13 mental Protection Agency or the Homeland Se14 curity Department that captures the same in15 formation for the same facilities, the ratio 

16 under paragraphs (2)(B)(i) and (3)(B)(i) shall 

17 be 1 divided by the total number of States or 

18 metropolitan statistical areas that are within 

19 such a zone. 

20 (B) PROXIMITY AS IT PERTAINS TO NU21 CLEAR SECURITY.—If a State or metropolitan 

22 statistical area is located within 50 miles of an 

23 operating nuclear power plant, as identified by 

24 the Nuclear Regulatory Commission, the ratio 

25 under paragraphs (2)(B)(ii) and (3)(B)(ii) shall 
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1 be 1 divided by the total number of States or 

2 metropolitan statistical areas that are located

3 within 50 miles of an operating nuclear power 

4 plant. 

5 (C) PROXIMITY AS IT PERTAINS TO PORT

6 SECURITY.—If a State or metropolitan statis7 tical area is located within 50 miles of 1 of the 

8 100 largest United States ports, as stated by 

9 the Department of Transportation, Bureau of 

10 Transportation Statistics, United States Port 

11 Report by All Land Modes, or within 50 miles 

12 of one of the 30 largest United States water 

13 ports by metric tons and value, as stated by the 

14 Department of Transportation, Maritime Ad15 ministration, United States Foreign Waterborne 

16 Transportation Statistics, the ratio under para17 graphs (2)(B)(iii) and (3)(B)(iii) shall be 1 di18 vided by the total number of States or metro19 politan statistical areas that are located within 

20 50 miles of a United States land or water port. 

21 (D) PROXIMITY TO INTERNATIONAL BOR22 DERS.—If a State or metropolitan statistical 

23 area is located within 50 miles of an inter24 national border, the ratio under paragraph 

25 (2)(B)(iv) and (3)(B)(iv) shall be 1 divided by 
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1 the total number of States or metropolitan sta2 tistical areas that are located within 50 miles of 

3 an international border. 

4 (E) PROXIMITY TO DISASTER MEDICAL AS5 SISTANCE TEAMS.—If a State or metropolitan 

6 statistical area is located within 50 miles of a 

7 Disaster Medical Assistance Team, as organized 

8 by the National Disaster Medical System 

9 through the Department of Public Health, the 

10 ratio under paragraphs (2)(B)(v) and (3)(B)(v) 

11 shall be 1 divided by the total number of States 

12 or metropolitan statistical areas that are lo13 cated within 50 miles of a Disaster Medical As14 sistance Team. 

15 (b) USE OF FUNDS.—Grants awarded pursuant to 

16 subsection (a) may be used to—

17 (1) support police, fire, health, and other emer18 gency personnel by—

19 (A) purchasing or upgrading communica20 tions systems, protective gear, or hazardous 

21 materials detection equipment; 

22 (B) providing training for emergency re23 sponses; and 

24 (C) providing for expenses related to reten25 tion of personnel and overtime;
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1 (2) improve safeguards against the counter2 feiting of official State documents, including—

3 (A) the improvement of procedures to ob4 tain proof of identity before issuance of official 

5 identification cards; and 

6 (B) the implementation of biometric identi7 fiers and holograms; 

8 (3) improve security at chemical plants by—

9 (A) strengthening requirements for perim10 eter security and assisting in meeting such re11 quirements; and 

12 (B) strengthening requirements for the use 

13 and handling of hazardous materials and assist14 ing in meeting such requirements; 

15 (4) improve security in train and subway cars 

16 and stations, on bridges, in tunnels, and in arenas 

17 by installing and improving—

18 (A) fire and blast protections; 

19 (B) ventilation systems; 

20 (C) entrance security; 

21 (D) sensors to detect chemical and biologi22 cal weapons; and 

23 (E) emergency evacuation systems; 

24 (5) improve security at and around skyscrapers, 

25 public monuments, and other major buildings; 
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1 (6) secure food and water supplies, reservoirs, 

2 water treatment plants, and distribution systems; 

3 (7) strengthen protections of other critical net4 works, including—

5 (A) telecommunications; 

6 (B) electrical power plants and grids; and 

7 (C) computer networks and databases; 

8 (8) plan and prepare for a response for chem9 ical or biological attacks, including—

10 (A) purchasing, distributing, and storing 

11 treatments and preventive measures; 

12 (B) providing emergency training for 

13 health officials; and 

14 (C) developing public health surveillance 

15 systems to identify the disease outbreaks by 

16 monitoring ambulance calls, hospital admit17 tance, and other measures; 

18 (9) establish systems to notify members of the 

19 public and appropriate agencies when a threat has 

20 emerged and any precautions the public should take; 

21 (10) establish programs that offer opportunities 

22 for members of the community to participate in ter23 rorism preparation and prevention, including neigh24 borhood watch groups; and 
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1 (11) design, review, and improve disaster re2 sponse systems, enhancing communities’ ability to 

3 coordinate efforts and share information, and devise 

4 and implement a homeland security plan. 

5 (c) APPLICATION.—

6 (1) IN GENERAL.—Each eligible entity desiring 

7 a grant under this section shall submit an applica8 tion to the Secretary at such time, in such manner, 

9 and accompanied by such information as the Sec10 retary may reasonably require. 

11 (2) CONTENTS.—Each application submitted 

12 pursuant to paragraph (1) shall—

13 (A) describe the activities for which assist14 ance under this section is sought; and 

15 (B) provide such additional assurances as 

16 the Secretary determines to be necessary to en17 sure that the grantee will use the proceeds of 

18 the grant in compliance with subsection (b). 

19 (d) AUTHORIZATION AND APPROPRIATION.—There 

20 are authorized to be appropriated, and are appropriated, 

21 $10,000,000,000 for fiscal year 2003 to carry out this sec22 tion, which shall remain available through September 30, 

23 2004.
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1 SEC. 5. BUDGET CRISIS RELIEF GRANTS. 

2 (a) GRANTS AUTHORIZED.—From the amount appro3 priated under subsection (c) for fiscal year 2003, the Sec4 retary of the Treasury (referred to in this section as the 

5 ‘‘Secretary’’) shall, as soon as practicable after the date 

6 of enactment of this Act, allocate financial assistance to 

7 each of the States as follows: 

8 (1) GRANTS TO STATES.—

9 (A) ALLOCATIONS BASED ON POPU10 LATION.—The Secretary shall allocate 

11 $7,500,000,000 among the States on the basis 

12 of the relative population of each State, as de13 termined by the Secretary on the basis of the 

14 most recent satisfactory data. 

15 (B) ALLOCATIONS BASED ON UNEMPLOY16 MENT.—The Secretary shall allocate 

17 $7,500,000,000 among the States on the basis 

18 of the relative number of unemployed individ19 uals for calendar year 2002 in each State, as 

20 determined by the Secretary on the basis of the 

21 most recent satisfactory data. 

22 (2) GRANTS TO LOCAL GOVERNMENT.—

23 (A) ALLOCATIONS BASED ON POPU24 LATION.—The Secretary shall allocate an addi25 tional $7,500,000,000 among units of general 

26 local government within each State on the basis 
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1 of the relative population of each State and of 

2 each such unit within each State, as determined 

3 by the Secretary on the basis of the most recent 

4 satisfactory data. 

5 (B) ALLOCATIONS BASED ON UNEMPLOY6 MENT.—The Secretary shall allocate an addi7 tional $7,500,000,000 among units of general 

8 local government within each State on the basis 

9 of the relative number of unemployed individ10 uals for calendar year 2002 in each State and 

11 in each such unit within each State, as deter12 mined by the Secretary on the basis of the most 

13 recent satisfactory data. 

14 (b) MAINTENANCE OF EFFORT.—A State or unit of 

15 general local government, before receiving the proceeds of 

16 a grant under this section, shall certify that such State 

17 or unit of general local government—

18 (1) will maintain its expenditures for elemen19 tary, secondary, and higher education at a level 

20 equal to not less than the level of such expenditures 

21 maintained by the State or unit of general local gov22 ernment for the fiscal year immediately preceding 

23 the fiscal year for which the grant is received; and
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1 (2) will not raise the net tuition, after scholar2 ships and tuition waivers, at public colleges and uni3 versities by more than the inflation rate. 

4 (c) AUTHORIZATION AND APPROPRIATION.—There 

5 are authorized to be appropriated, and are appropriated, 

6 $30,000,000,000 for fiscal year 2003 to carry out this sec7 tion.

8 SEC 6. TEMPORARY STATE FISCAL RELIEF THROUGH IN9 CREASE IN MEDICAID FMAP. 

10 (a) DEFINITIONS.—In this section, the following defi11 nitions shall apply: 

12 (1) FMAP.—The term ‘‘FMAP’’ means the 

13 Federal medical assistance percentage, as defined in 

14 section 1905(b) of the Social Security Act (42 

15 U.S.C. 1396d(b)). 

16 (2) STATE.—The term ‘‘State’’ has the mean17 ing given such term for purposes of title XIX of the 

18 Social Security Act (42 U.S.C. 1396 et seq.). 

19 (b) PERMITTING MAINTENANCE OF FISCAL YEAR

20 2002 FMAP FOR LAST 2 CALENDAR QUARTERS OF FIS21 CAL YEAR 2003.—Notwithstanding any other provision of 

22 law, but subject to subsection (f), if the FMAP determined 

23 without regard to this section for a State for fiscal year 

24 2003 is less than the FMAP as so determined for fiscal 

25 year 2002, the FMAP for the State for fiscal year 2002 
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1 shall be substituted for the State’s FMAP for the third 

2 and fourth calendar quarters of fiscal year 2003, before 

3 the application of this section. 

4 (c) PERMITTING MAINTENANCE OF FISCAL YEAR

5 2003 FMAP FOR FISCAL YEAR 2004.—Notwithstanding 

6 any other provision of law, but subject to subsection (f), 

7 if the FMAP determined without regard to this section 

8 for a State for fiscal year 2004 is less than the FMAP 

9 as so determined for fiscal year 2003, the FMAP for the 

10 State for fiscal year 2003 shall be substituted for the 

11 State’s FMAP for each calendar quarter of fiscal year 

12 2004, before the application of this section. 

13 (d) GENERAL 2.45 PERCENTAGE POINTS INCREASE

14 FOR LAST 2 CALENDAR QUARTERS OF FISCAL YEAR 2003 

15 AND FISCAL YEAR 2004.—Notwithstanding any other 

16 provision of law, but subject to subsections (f) and (g), 

17 for each State for the third and fourth calendar quarters 

18 of fiscal year 2003 and each calendar quarter of fiscal year 

19 2004, the FMAP (taking into account the application of 

20 subsections (b) and (c)) shall be increased by 2.45 per21 centage points. 

22 (e) INCREASE IN CAP ON MEDICAID PAYMENTS TO

23 TERRITORIES.—Notwithstanding any other provision of 

24 law, but subject to subsection (g), with respect to the third 

25 and fourth calendar quarters of fiscal year 2003 and each 
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1 calendar quarter of fiscal year 2004, the amounts other2 wise determined for Puerto Rico, the Virgin Islands, 

3 Guam, the Northern Mariana Islands, and American 

4 Samoa under subsections (f) and (g) of section 1108 of 

5 the Social Security Act (42 U.S.C. 1308) shall each be 

6 increased by an amount equal to 4.90 percent of such 

7 amounts. 

8 (f) SCOPE OF APPLICATION.—The increases in the 

9 FMAP for a State under this section shall apply only for 

10 purposes of title XIX of the Social Security Act and shall 

11 not apply with respect to—

12 (1) disproportionate share hospital payments 

13 described in section 1923 of such Act (42 U.S.C. 

14 1396r–4); or 

15 (2) payments under title IV or XXI of such Act 

16 (42 U.S.C. 601 et seq. and 1397aa et seq.). 

17 (g) STATE ELIGIBILITY.—

18 (1) IN GENERAL.—Subject to paragraph (2), a 

19 State is eligible for an increase in its FMAP under 

20 subsection (d) or an increase in a cap amount under 

21 subsection (e) only if the eligibility under its State 

22 plan under title XIX of the Social Security Act (in23 cluding any waiver under such title or under section 

24 1115 of such Act (42 U.S.C. 1315)) is no more re-
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1 strictive than the eligibility under such plan (or 

2 waiver) as in effect on September 2, 2003. 

3 (2) STATE REINSTATEMENT OF ELIGIBILITY

4 PERMITTED.—A State that has restricted eligibility 

5 under its State plan under title XIX of the Social 

6 Security Act (including any waiver under such title 

7 or under section 1115 of such Act (42 U.S.C. 

8 1315)) after September 2, 2003, but prior to the 

9 date of enactment of this Act is eligible for an in10 crease in its FMAP under subsection (d) or an in11 crease in a cap amount under subsection (e) in the 

12 first calendar quarter (and subsequent calendar 

13 quarters) in which the State has reinstated eligibility 

14 that is no more restrictive than the eligibility under 

15 such plan (or waiver) as in effect on September 2, 

16 2003. 

17 (3) RULE OF CONSTRUCTION.—Nothing in 

18 paragraph (1) or (2) shall be construed as affecting 

19 a State’s flexibility with respect to benefits offered 

20 under the State medicaid program under title XIX 

21 of the Social Security Act (42 U.S.C. 1396 et seq.) 

22 (including any waiver under such title or under sec23 tion 1115 of such Act (42 U.S.C. 1315)). 
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1 (h) SUNSET DATE.—This section is repealed, effec2 tive October 1, 2004.

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