II 

Calendar No. 257 

112TH CONGRESS 

1ST SESSION H. R. 3630 

IN THE SENATE OF THE UNITED STATES 

DECEMBER 13, 2011 

Ordered read the first time 

DECEMBER 14, 2011 

Received; read the second time and placed on the calendar 

AN ACT 

To provide incentives for the creation of jobs, and for other 

purposes. 

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 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Middle Class Tax Relief and Job Creation Act of 2011’’. 

6 (b) TABLE OF CONTENTS.—The table of contents for 

7 this Act is as follows: 

Sec. 1. Short title. 

TITLE I—JOB CREATION INCENTIVES 

Subtitle A—North American Energy Access 


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Sec. 1001. Short title. 

Sec. 1002. Permit for Keystone XL Pipeline. 

Subtitle B—EPA Regulatory Relief 

Sec. 1101. Short title. 

Sec. 1102. Legislative stay. 

Sec. 1103. Compliance dates. 

Sec. 1104. Energy recovery and conservation. 

Sec. 1105. Other provisions. 

Subtitle C—Extension of 100 Percent Expensing 

Sec. 1201. Extension of allowance for bonus depreciation for certain business 

assets. 

TITLE II—EXTENSION OF CERTAIN EXPIRING PROVISIONS AND 

RELATED MEASURES 

Subtitle A—Extension of Payroll Tax Reduction 

Sec. 2001. Extension of temporary employee payroll tax reduction through end 

of 2012. 

Subtitle B—Unemployment Compensation 

Sec. 2101. Short title. 

PART 1—REFORMS OF UNEMPLOYMENT COMPENSATION TO PROMOTE WORK

AND JOB CREATION

Sec. 2121. Consistent job search requirements. 

Sec. 2122. Participation in reemployment services made a condition of benefit 

receipt. 

Sec. 2123. State flexibility to promote the reemployment of unemployed workers. 

Sec. 2124. Assistance and guidance in implementing self-employment assistance 

programs. 

Sec. 2125. Improving program integrity by better recovery of overpayments. 

Sec. 2126. Data standardization for improved data matching. 

Sec. 2127. Drug testing of applicants. 

PART 2—PROVISIONS RELATING TO EXTENDED BENEFITS

Sec. 2141. Short title. 

Sec. 2142. Extension and modification of emergency unemployment compensation program. 

Sec. 2143. Temporary extension of extended benefit provisions. 

Sec. 2144. Additional extended unemployment benefits under the Railroad Unemployment Insurance Act. 

PART 3—IMPROVING REEMPLOYMENT STRATEGIES UNDER THE EMERGENCY

UNEMPLOYMENT COMPENSATION PROGRAM

Sec. 2161. Improved work search for the long-term unemployed. 

Sec. 2162. Reemployment services and reemployment and eligibility assessment 

activities. 

Sec. 2163. State flexibility to support long-term unemployed workers with improved reemployment services. 


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Sec. 2164. Promoting program integrity through better recovery of overpayments. 

Sec. 2165. Restore State flexibility to improve unemployment program solvency. 

Subtitle C—Medicare Extensions; Other Health Provisions 

PART 1—MEDICARE EXTENSIONS

Sec. 2201. Physician payment update. 

Sec. 2202. Ambulance add-ons. 

Sec. 2203. Medicare payment for outpatient therapy services. 

Sec. 2204. Work geographic adjustment. 

PART 2—OTHER HEALTH PROVISIONS

Sec. 2211. Qualifying individual (QI) program. 

Sec. 2212. Extension of Transitional Medical Assistance (TMA). 

Sec. 2213. Modification to requirements for qualifying for exception to Medicare prohibition on certain physician referrals for hospitals. 

PART 3—OFFSETS

Sec. 2221. Adjustments to maximum thresholds for recapturing overpayments 

resulting from certain Federally-subsidized health insurance. 

Sec. 2222. Prevention and Public Health Fund. 

Sec. 2223. Parity in Medicare payments for hospital outpatient department 

evaluation and management office visit services. 

Sec. 2224. Reduction of bad debt treated as an allowable cost. 

Sec. 2225. Rebasing of State DSH allotments for fiscal year 2021. 

Subtitle D—TANF Extension 

Sec. 2301. Short title. 

Sec. 2302. Extension of program. 

Sec. 2303. Data standardization. 

Sec. 2304. Spending policies for assistance under State TANF programs. 

Sec. 2305. Technical corrections. 

TITLE III—FLOOD INSURANCE REFORM 

Sec. 3001. Short title. 

Sec. 3002. Extensions. 

Sec. 3003. Mandatory purchase. 

Sec. 3004. Reforms of coverage terms. 

Sec. 3005. Reforms of premium rates. 

Sec. 3006. Technical Mapping Advisory Council. 

Sec. 3007. FEMA incorporation of new mapping protocols. 

Sec. 3008. Treatment of levees. 

Sec. 3009. Privatization initiatives. 

Sec. 3010. FEMA annual report on insurance program. 

Sec. 3011. Mitigation assistance. 

Sec. 3012. Notification to homeowners regarding mandatory purchase requirement applicability and rate phase-ins. 

Sec. 3013. Notification to members of congress of flood map revisions and updates. 

Sec. 3014. Notification and appeal of map changes; notification to communities 

of establishment of flood elevations. 

Sec. 3015. Notification to tenants of availability of contents insurance. 


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Sec. 3016. Notification to policy holders regarding direct management of policy 

by FEMA. 

Sec. 3017. Notice of availability of flood insurance and escrow in RESPA good 

faith estimate. 

Sec. 3018. Reimbursement for costs incurred by homeowners and communities 

obtaining letters of map amendment or revision. 

Sec. 3019. Enhanced communication with certain communities during map updating process. 

Sec. 3020. Notification to residents newly included in flood hazard areas. 

Sec. 3021. Treatment of swimming pool enclosures outside of hurricane season. 

Sec. 3022. Information regarding multiple perils claims. 

Sec. 3023. FEMA authority to reject transfer of policies. 

Sec. 3024. Appeals. 

Sec. 3025. Reserve fund. 

Sec. 3026. CDBG eligibility for flood insurance outreach activities and community building code administration grants. 

Sec. 3027. Technical corrections. 

Sec. 3028. Requiring competition for national flood insurance program policies. 

Sec. 3029. Studies of voluntary community-based flood insurance options. 

Sec. 3030. Report on inclusion of building codes in floodplain management criteria. 

Sec. 3031. Study on graduated risk. 

Sec. 3032. Report on flood-in-progress determination. 

Sec. 3033. Study on repaying flood insurance debt. 

Sec. 3034. No cause of action. 

Sec. 3035. Authority for the corps of engineers to provide specialized or technical services. 

TITLE IV—JUMPSTARTING OPPORTUNITY WITH BROADBAND 

SPECTRUM ACT OF 2011 

Sec. 4001. Short title. 

Sec. 4002. Definitions. 

Sec. 4003. Rule of construction. 

Sec. 4004. Enforcement. 

Sec. 4005. National security restrictions on use of funds and auction participation. 

Subtitle A—Spectrum Auction Authority 

Sec. 4101. Deadlines for auction of certain spectrum. 

Sec. 4102. 700 MHz public safety narrowband spectrum and guard band spectrum. 

Sec. 4103. General authority for incentive auctions. 

Sec. 4104. Special requirements for incentive auction of broadcast TV spectrum. 

Sec. 4105. Administration of auctions by Commission. 

Sec. 4106. Extension of auction authority. 

Sec. 4107. Unlicensed use in the 5 GHz band. 

Subtitle B—Advanced Public Safety Communications 

PART 1—NATIONAL IMPLEMENTATION

Sec. 4201. Licensing of spectrum to Administrator. 

Sec. 4202. National Public Safety Communications Plan. 

Sec. 4203. Plan administration. 


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Sec. 4204. Initial funding for Administrator. 

Sec. 4205. Study on emergency communications by amateur radio and impediments to amateur radio communications. 

PART 2—STATE IMPLEMENTATION

Sec. 4221. Negotiation and approval of contracts. 

Sec. 4222. State implementation grant program. 

Sec. 4223. State Implementation Fund. 

Sec. 4224. Grants to States for network buildout. 

Sec. 4225. Wireless facilities deployment. 

PART 3—PUBLIC SAFETY TRUST FUND

Sec. 4241. Public Safety Trust Fund. 

PART 4—NEXT GENERATION 9–1–1 ADVANCEMENT ACT OF 2011 

Sec. 4261. Short title. 

Sec. 4262. Findings. 

Sec. 4263. Purposes. 

Sec. 4264. Definitions. 

Sec. 4265. Coordination of 9–1–1 implementation. 

Sec. 4266. Requirements for multi-line telephone systems. 

Sec. 4267. GAO study of State and local use of 9–1–1 service charges. 

Sec. 4268. Parity of protection for provision or use of Next Generation 9–1– 

1 services. 

Sec. 4269. Commission proceeding on autodialing. 

Sec. 4270. NHTSA report on costs for requirements and specifications of Next 

Generation 9–1–1 services. 

Sec. 4271. FCC recommendations for legal and statutory framework for Next 

Generation 9–1–1 services. 

Subtitle C—Federal Spectrum Relocation 

Sec. 4301. Relocation of and spectrum sharing by Federal Government stations. 

Sec. 4302. Spectrum Relocation Fund. 

Sec. 4303. National security and other sensitive information. 

Subtitle D—Telecommunications Development Fund 

Sec. 4401. No additional Federal funds. 

Sec. 4402. Independence of the Fund. 

TITLE V—OFFSETS 

Subtitle A—Guarantee Fees 

Sec. 5001. Guarantee Fees. 

Subtitle B—Social Security Provisions 

Sec. 5101. Information for administration of Social Security provisions related 

to noncovered employment. 

Subtitle C—Child Tax Credit 


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Sec. 5201. Social Security number required to claim the refundable portion of 

the child tax credit. 

Subtitle D—Eliminating Taxpayer Benefits for Millionaires 

Sec. 5301. Ending unemployment and supplemental nutrition assistance program benefits for millionaires. 

Subtitle E—Federal Civilian Employees 

PART 1—RETIREMENT ANNUITIES

Sec. 5401. Short title. 

Sec. 5402. Retirement contributions. 

Sec. 5403. Amendments relating to secure annuity employees. 

Sec. 5404. Annuity supplement. 

PART 2—FEDERAL WORKFORCE

Sec. 5421. Extension of pay limitation for Federal employees. 

Sec. 5422. Reduction of discretionary spending limits to achieve savings from 

Federal employee provisions. 

Sec. 5423. Reduction of revised discretionary spending limits to achieve savings 

from Federal employee provisions. 

Subtitle F—Health Care Provisions 

Sec. 5501. Increase in applicable percentage used to calculate Medicare part B 

and part D premiums for high-income beneficiaries. 

Sec. 5502. Temporary adjustment to the calculation of Medicare part B and 

part D premiums. 

TITLE VI—MISCELLANEOUS PROVISIONS 

Sec. 6001. Repeal of certain shifts in the timing of corporate estimated tax 

payments. 

Sec. 6002. Repeal of requirement relating to time for remitting certain merchandise processing fees. 

Sec. 6003. Points of order in the Senate. 

Sec. 6004. PAYGO scorecard estimates. 

1 TITLE I—JOB CREATION 

2 INCENTIVES 

3 Subtitle A—North American 

4 Energy Access 

5 SEC. 1001. SHORT TITLE. 

6 This subtitle may be cited as the ‘‘North American 

7 Energy Security Act’’. 


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1 SEC. 1002. PERMIT FOR KEYSTONE XL PIPELINE. 

2 (a) IN GENERAL.—Except as provided in subsection 

3 (b), not later than 60 days after the date of enactment 

4 of this Act, the President, acting through the Secretary 

5 of State, shall grant a permit under Executive Order 

6 13337 (3 U.S.C. 301 note; relating to issuance of permits 

7 with respect to certain energy-related facilities and land 

8 transportation crossings on the international boundaries 

9 of the United States) for the Keystone XL pipeline project 

10 application filed on September 19, 2008 (including amend11 ments). 

12 (b) EXCEPTION.— 

13 (1) IN GENERAL.—The President shall not be 

14 required to grant the permit under subsection (a) if 

15 the President determines that the Keystone XL 

16 pipeline would not serve the national interest. 

17 (2) REPORT.—If the President determines that 

18 the Keystone XL pipeline is not in the national in19 terest under paragraph (1), the President shall, not 

20 later than 15 days after the date of the determina21 tion, submit to the Committee on Foreign Relations 

22 of the Senate, the Committee on Foreign Affairs of 

23 the House of Representatives, the majority leader of 

24 the Senate, the minority leader of the Senate, the 

25 Speaker of the House of Representatives, and the 

26 minority leader of the House of Representatives a 


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1 report that provides a justification for determina2 tion, including consideration of economic, employ3 ment, energy security, foreign policy, trade, and en4 vironmental factors. 

5 (3) EFFECT OF NO FINDING OR ACTION.—If a 

6 determination is not made under paragraph (1) and 

7 no action is taken by the President under subsection 

8 (a) not later than 60 days after the date of enact9 ment of this Act, the permit for the Keystone XL 

10 pipeline described in subsection (a) that meets the 

11 requirements of subsections (c) and (d) shall be in 

12 effect by operation of law. 

13 (c) REQUIREMENTS.—The permit granted under sub14 section (a) shall require the following: 

15 (1) The permittee shall comply with all applica16 ble Federal and State laws (including regulations) 

17 and all applicable industrial codes regarding the con18 struction, connection, operation, and maintenance of 

19 the United States facilities. 

20 (2) The permittee shall obtain all requisite per21 mits from Canadian authorities and relevant Fed22 eral, State, and local governmental agencies. 

23 (3) The permittee shall take all appropriate 

24 measures to prevent or mitigate any adverse envi25 ronmental impact or disruption of historic properties 


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1 in connection with the construction, operation, and 

2 maintenance of the United States facilities. 

3 (4) For the purpose of the permit issued under 

4 subsection (a) (regardless of any modifications under 

5 subsection (d))— 

6 (A) the final environmental impact state7 ment issued by the Secretary of State on Au8 gust 26, 2011, satisfies all requirements of the 

9 National Environmental Policy Act of 1969 (42 

10 U.S.C. 4321 et seq.) and section 106 of the Na11 tional Historic Preservation Act (16 U.S.C. 

12 470f); 

13 (B) any modification required by the Sec14 retary of State to the Plan described in para15 graph (5)(A) shall not require supplementation 

16 of the final environmental impact statement de17 scribed in that paragraph; and 

18 (C) no further Federal environmental re19 view shall be required. 

20 (5) The construction, operation, and mainte21 nance of the facilities shall be in all material re22 spects similar to that described in the application 

23 described in subsection (a) and in accordance with— 

24 (A) the construction, mitigation, and rec25 lamation measures agreed to by the permittee 


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1 in the Construction Mitigation and Reclamation 

2 Plan found in appendix B of the final environ3 mental impact statement issued by the Sec4 retary of State on August 26, 2011, subject to 

5 the modification described in subsection (d); 

6 (B) the special conditions agreed to be7 tween the permittee and the Administrator of 

8 the Pipeline Hazardous Materials Safety Ad9 ministration of the Department of Transpor10 tation found in appendix U of the final environ11 mental impact statement described in subpara12 graph (A); 

13 (C) if the modified route submitted by the 

14 Governor of Nebraska under subsection 

15 (d)(3)(B) crosses the Sand Hills region, the 

16 measures agreed to by the permittee for the 

17 Sand Hills region found in appendix H of the 

18 final environmental impact statement described 

19 in subparagraph (A); and 

20 (D) the stipulations identified in appendix 

21 S of the final environmental impact statement 

22 described in subparagraph (A). 

23 (6) Other requirements that are standard in24 dustry practice or commonly included in Federal 


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1 permits that are similar to a permit issued under 

2 subsection (a). 

3 (d) MODIFICATION.—The permit issued under sub4 section (a) shall require— 

5 (1) the reconsideration of routing of the Key6 stone XL pipeline within the State of Nebraska; 

7 (2) a review period during which routing within 

8 the State of Nebraska may be reconsidered and the 

9 route of the Keystone XL pipeline through the State 

10 altered with any accompanying modification to the 

11 Plan described in subsection (c)(5)(A); and 

12 (3) the President— 

13 (A) to coordinate review with the State of 

14 Nebraska and provide any necessary data and 

15 reasonable technical assistance material to the 

16 review process required under this subsection; 

17 and 

18 (B) to approve the route within the State 

19 of Nebraska that has been submitted to the 

20 Secretary of State by the Governor of Ne21 braska. 

22 (e) EFFECT OF NO APPROVAL.—If the President 

23 does not approve the route within the State of Nebraska 

24 submitted by the Governor of Nebraska under subsection 

25 (d)(3)(B) not later than 10 days after the date of submisVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 sion, the route submitted by the Governor of Nebraska 

2 under subsection (d)(3)(B) shall be considered approved, 

3 pursuant to the terms of the permit described in sub4 section (a) that meets the requirements of subsection (c) 

5 and this subsection, by operation of law. 

6 Subtitle B—EPA Regulatory Relief 

7 SEC. 1101. SHORT TITLE. 

8 This subtitle may be cited as the ‘‘EPA Regulatory 

9 Relief Act of 2011’’. 

10 SEC. 1102. LEGISLATIVE STAY. 

11 (a) ESTABLISHMENT OF STANDARDS.—In place of 

12 the rules specified in subsection (b), and notwithstanding 

13 the date by which such rules would otherwise be required 

14 to be promulgated, the Administrator of the Environ15 mental Protection Agency (in this subtitle referred to as 

16 the ‘‘Administrator’’) shall— 

17 (1) propose regulations for industrial, commer18 cial, and institutional boilers and process heaters, 

19 and commercial and industrial solid waste inciner20 ator units, subject to any of the rules specified in 

21 subsection (b)— 

22 (A) establishing maximum achievable con23 trol technology standards, performance stand24 ards, and other requirements under sections 


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1 112 and 129, as applicable, of the Clean Air 

2 Act (42 U.S.C. 7412, 7429); and 

3 (B) identifying non-hazardous secondary 

4 materials that, when used as fuels or ingredi5 ents in combustion units of such boilers, proc6 ess heaters, or incinerator units are solid waste 

7 under the Solid Waste Disposal Act (42 U.S.C. 

8 6901 et seq.; commonly referred to as the ‘‘Re9 source Conservation and Recovery Act’’) for 

10 purposes of determining the extent to which 

11 such combustion units are required to meet the 

12 emissions standards under section 112 of the 

13 Clean Air Act (42 U.S.C. 7412) or the emission 

14 standards under section 129 of such Act (42 

15 U.S.C. 7429); and 

16 (2) finalize the regulations on the date that is 

17 15 months after the date of the enactment of this 

18 Act. 

19 (b) STAY OF EARLIER RULES.—The following rules 

20 are of no force or effect, shall be treated as though such 

21 rules had never taken effect, and shall be replaced as de22 scribed in subsection (a): 

23 (1) ‘‘National Emission Standards for Haz24 ardous Air Pollutants for Major Sources: Industrial, 

25 Commercial, and Institutional Boilers and Process 


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1 Heaters’’, published at 76 Fed. Reg. 15608 (March 

2 21, 2011). 

3 (2) ‘‘National Emission Standards for Haz4 ardous Air Pollutants for Area Sources: Industrial, 

5 Commercial, and Institutional Boilers’’, published at 

6 76 Fed. Reg. 15554 (March 21, 2011). 

7 (3) ‘‘Standards of Performance for New Sta8 tionary Sources and Emission Guidelines for Exist9 ing Sources: Commercial and Industrial Solid Waste 

10 Incineration Units’’, published at 76 Fed. Reg. 

11 15704 (March 21, 2011). 

12 (4) ‘‘Identification of Non-Hazardous Sec13 ondary Materials That Are Solid Waste’’, published 

14 at 76 Fed. Reg. 15456 (March 21, 2011). 

15 (c) INAPPLICABILITY OF CERTAIN PROVISIONS.— 

16 With respect to any standard required by subsection (a) 

17 to be promulgated in regulations under section 112 of the 

18 Clean Air Act (42 U.S.C. 7412), the provisions of sub19 sections (g)(2) and (j) of such section 112 shall not apply 

20 prior to the effective date of the standard specified in such 

21 regulations. 

22 SEC. 1103. COMPLIANCE DATES. 

23 (a) ESTABLISHMENT OF COMPLIANCE DATES.—For 

24 each regulation promulgated pursuant to section 1012, the 

25 Administrator— 


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1 (1) shall establish a date for compliance with 

2 standards and requirements under such regulation 

3 that is, notwithstanding any other provision of law, 

4 not earlier than 5 years after the effective date of 

5 the regulation; and 

6 (2) in proposing a date for such compliance, 

7 shall take into consideration— 

8 (A) the costs of achieving emissions reduc9 tions; 

10 (B) any non-air quality health and environ11 mental impact and energy requirements of the 

12 standards and requirements; 

13 (C) the feasibility of implementing the 

14 standards and requirements, including the time 

15 needed to— 

16 (i) obtain necessary permit approvals; 

17 and 

18 (ii) procure, install, and test control 

19 equipment; 

20 (D) the availability of equipment, sup21 pliers, and labor, given the requirements of the 

22 regulation and other proposed or finalized regu23 lations of the Environmental Protection Agency; 

24 and 

25 (E) potential net employment impacts. 


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1 (b) NEW SOURCES.—The date on which the Adminis2 trator proposes a regulation pursuant to section 

3 1012(a)(1) establishing an emission standard under sec4 tion 112 or 129 of the Clean Air Act (42 U.S.C. 7412, 

5 7429) shall be treated as the date on which the Adminis6 trator first proposes such a regulation for purposes of ap7 plying the definition of a new source under section 

8 112(a)(4) of such Act (42 U.S.C. 7412(a)(4)) or the defi9 nition of a new solid waste incineration unit under section 

10 129(g)(2) of such Act (42 U.S.C. 7429(g)(2)). 

11 (c) RULE OF CONSTRUCTION.—Nothing in this sub12 title shall be construed to restrict or otherwise affect the 

13 provisions of paragraphs (3)(B) and (4) of section 112(i) 

14 of the Clean Air Act (42 U.S.C. 7412(i)). 

15 SEC. 1104. ENERGY RECOVERY AND CONSERVATION. 

16 Notwithstanding any other provision of law, and to 

17 ensure the recovery and conservation of energy consistent 

18 with the Solid Waste Disposal Act (42 U.S.C. 6901 et 

19 seq.; commonly referred to as the ‘‘Resource Conservation 

20 and Recovery Act’’), in promulgating rules under section 

21 1012(a) addressing the subject matter of the rules speci22 fied in paragraphs (3) and (4) of section 1012(b), the Ad23 ministrator— 

24 (1) shall adopt the definitions of the terms 

25 ‘‘commercial and industrial solid waste incineration 


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1 unit’’, ‘‘commercial and industrial waste’’, and ‘‘con2 tained gaseous material’’ in the rule entitled ‘‘Stand3 ards of Performance for New Stationary Sources 

4 and Emission Guidelines for Existing Sources: Com5 mercial and Industrial Solid Waste Incineration 

6 Units’’, published at 65 Fed. Reg. 75338 (December 

7 1, 2000); and 

8 (2) shall identify non-hazardous secondary ma9 terial to be solid waste only if— 

10 (A) the material meets such definition of 

11 commercial and industrial waste; or 

12 (B) if the material is a gas, it meets such 

13 definition of contained gaseous material. 

14 SEC. 1105. OTHER PROVISIONS. 

15 (a) ESTABLISHMENT OF STANDARDS ACHIEVABLE IN

16 PRACTICE.—In promulgating rules under section 1012(a), 

17 the Administrator shall ensure that emissions standards 

18 for existing and new sources established under section 112 

19 or 129 of the Clean Air Act (42 U.S.C. 7412, 7429), as 

20 applicable, can be met under actual operating conditions 

21 consistently and concurrently with emission standards for 

22 all other air pollutants regulated by the rule for the source 

23 category, taking into account variability in actual source 

24 performance, source design, fuels, inputs, controls, ability 


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1 to measure the pollutant emissions, and operating condi2 tions. 

3 (b) REGULATORY ALTERNATIVES.—For each regula4 tion promulgated pursuant to section 1012(a), from 

5 among the range of regulatory alternatives authorized 

6 under the Clean Air Act (42 U.S.C. 7401 et seq.) includ7 ing work practice standards under section 112(h) of such 

8 Act (42 U.S.C. 7412(h)), the Administrator shall impose 

9 the least burdensome, consistent with the purposes of such 

10 Act and Executive Order No. 13563 published at 76 Fed. 

11 Reg. 3821 (January 21, 2011). 

12 Subtitle C—Extension of 100 

13 Percent Expensing 

14 SEC. 1201. EXTENSION OF ALLOWANCE FOR BONUS DEPRE15 CIATION FOR CERTAIN BUSINESS ASSETS. 

16 (a) EXTENSION OF 100 PERCENT BONUS DEPRECIA17 TION.— 

18 (1) IN GENERAL.—Paragraph (5) of section 

19 168(k) of the Internal Revenue Code of 1986 is 

20 amended— 

21 (A) by striking ‘‘January 1, 2012’’ each 

22 place it appears and inserting ‘‘January 1, 

23 2013’’, and 

24 (B) by striking ‘‘January 1, 2013’’ and in25 serting ‘‘January 1, 2014’’. 


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1 (2) CONFORMING AMENDMENTS.— 

2 (A) The heading for paragraph (5) of sec3 tion 168(k) of such Code is amended by strik4 ing ‘‘PRE-2012 PERIODS’’ and inserting ‘‘PRE5 2013 PERIODS’’. 

6 (B) Clause (ii) of section 460(c)(6)(B) of 

7 such Code is amended to read as follows: 

8 ‘‘(ii) is placed in service— 

9 ‘‘(I) after December 31, 2009, 

10 and before January 1, 2011 (January 

11 1, 2012, in the case of property de12 scribed in section 168(k)(2)(B)), or 

13 ‘‘(II) after December 31, 2011, 

14 and before January 1, 2013 (January 

15 1, 2014, in the case of property de16 scribed in section 168(k)(2)(B)).’’. 

17 (3) EFFECTIVE DATE.—The amendments made 

18 by this subsection shall apply to property placed in 

19 service after December 31, 2011. 

20 (b) EXPANSION OF ELECTION TO ACCELERATE AMT 

21 CREDITS IN LIEU OF BONUS DEPRECIATION.— 

22 (1) IN GENERAL.—Paragraph (4) of section 

23 168(k) of such Code is amended to read as follows: 

24 ‘‘(4) ELECTION TO ACCELERATE AMT CREDITS

25 IN LIEU OF BONUS DEPRECIATION.— 


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1 ‘‘(A) IN GENERAL.—If a corporation elects 

2 to have this paragraph apply for any taxable 

3 year— 

4 ‘‘(i) paragraph (1) shall not apply to 

5 any eligible qualified property placed in 

6 service by the taxpayer in such taxable 

7 year, 

8 ‘‘(ii) the applicable depreciation meth9 od used under this section with respect to 

10 such property shall be the straight line 

11 method, and 

12 ‘‘(iii) the limitation imposed by section 

13 53(c) for such taxable year shall be in14 creased by the bonus depreciation amount 

15 which is determined for such taxable year 

16 under subparagraph (B). 

17 ‘‘(B) BONUS DEPRECIATION AMOUNT.— 

18 For purposes of this paragraph— 

19 ‘‘(i) IN GENERAL.—The bonus depre20 ciation amount for any taxable year is an 

21 amount equal to 20 percent of the excess 

22 (if any) of— 

23 ‘‘(I) the aggregate amount of de24 preciation which would be allowed 

25 under this section for eligible qualified 


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1 property placed in service by the tax2 payer during such taxable year if 

3 paragraph (1) applied to all such 

4 property, over 

5 ‘‘(II) the aggregate amount of 

6 depreciation which would be allowed 

7 under this section for eligible qualified 

8 property placed in service by the tax9 payer during such taxable year if 

10 paragraph (1) did not apply to any 

11 such property. 

12 The aggregate amounts determined under 

13 subclauses (I) and (II) shall be determined 

14 without regard to any election made under 

15 subsection (b)(2)(D), (b)(3)(D), or (g)(7) 

16 and without regard to subparagraph 

17 (A)(ii). 

18 ‘‘(ii) LIMITATION.—The bonus depre19 ciation amount for any taxable year shall 

20 not exceed the lesser of— 

21 ‘‘(I) the minimum tax credit 

22 under section 53(b) for such taxable 

23 year determined by taking into ac24 count only the adjusted minimum tax 

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1 ary 1, 2012 (determined by treating 

2 credits as allowed on a first-in, first3 out basis), or 

4 ‘‘(II) 50 percent of the minimum 

5 tax credit under section 53(b) for the 

6 first taxable year ending after Decem7 ber 31, 2011. 

8 ‘‘(iii) AGGREGATION RULE.—All cor9 porations which are treated as a single em10 ployer under section 52(a) shall be treat11 ed— 

12 ‘‘(I) as 1 taxpayer for purposes 

13 of this paragraph, and 

14 ‘‘(II) as having elected the appli15 cation of this paragraph if any such 

16 corporation so elects. 

17 ‘‘(C) ELIGIBLE QUALIFIED PROPERTY.— 

18 For purposes of this paragraph, the term ‘eligi19 ble qualified property’ means qualified property 

20 under paragraph (2), except that in applying 

21 paragraph (2) for purposes of this paragraph— 

22 ‘‘(i) ‘March 31, 2008’ shall be sub23 stituted for ‘December 31, 2007’ each 

24 place it appears in subparagraph (A) and 


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1 clauses (i) and (ii) of subparagraph (E) 

2 thereof, 

3 ‘‘(ii) ‘April 1, 2008’ shall be sub4 stituted for ‘January 1, 2008’ in subpara5 graph (A)(iii)(I) thereof, and 

6 ‘‘(iii) only adjusted basis attributable 

7 to manufacture, construction, or produc8 tion— 

9 ‘‘(I) after March 31, 2008, and 

10 before January 1, 2010, and 

11 ‘‘(II) after December 31, 2010, 

12 and before January 1, 2013, shall be 

13 taken into account under subpara14 graph (B)(ii) thereof. 

15 ‘‘(D) CREDIT REFUNDABLE.—For pur16 poses of section 6401(b), the aggregate increase 

17 in the credits allowable under part IV of sub18 chapter A for any taxable year resulting from 

19 the application of this paragraph shall be treat20 ed as allowed under subpart C of such part 

21 (and not any other subpart). 

22 ‘‘(E) OTHER RULES.— 

23 ‘‘(i) ELECTION.—Any election under 

24 this paragraph may be revoked only with 

25 the consent of the Secretary. 


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1 ‘‘(ii) PARTNERSHIPS WITH ELECTING

2 PARTNERS.—In the case of a corporation 

3 making an election under subparagraph 

4 (A) and which is a partner in a partner5 ship, for purposes of determining such cor6 poration’s distributive share of partnership 

7 items under section 702— 

8 ‘‘(I) paragraph (1) shall not 

9 apply to any eligible qualified prop10 erty, and 

11 ‘‘(II) the applicable depreciation 

12 method used under this section with 

13 respect to such property shall be the 

14 straight line method. 

15 ‘‘(iii) CERTAIN PARTNERSHIPS.—In 

16 the case of a partnership in which more 

17 than 50 percent of the capital and profits 

18 interests are owned (directly or indirectly) 

19 at all times during the taxable year by one 

20 corporation (or by corporations treated as 

21 1 taxpayer under subparagraph (B)(iii)), 

22 each partner shall be treated as having an 

23 amount equal to such partner’s allocable 

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1 able year (as determined under regulations 

2 prescribed by the Secretary). 

3 ‘‘(iv) SPECIAL RULE FOR PASSENGER

4 AIRCRAFT.—In the case of any passenger 

5 aircraft, the written binding contract limi6 tation under paragraph (2)(A)(iii)(I) shall 

7 not apply for purposes of subparagraphs 

8 (B)(i)(I) and (C).’’. 

9 (2) EFFECTIVE DATE.—The amendment made 

10 by this subsection shall apply to taxable years end11 ing after December 31, 2011. 

12 (3) TRANSITIONAL RULE.—In the case of a tax13 able year beginning before January 1, 2012, and 

14 ending after December 31, 2011, the bonus depre15 ciation amount determined under paragraph (4) of 

16 section 168(k) of Internal Revenue Code of 1986 for 

17 such year shall be the sum of— 

18 (A) such amount determined under such 

19 paragraph as in effect on the date before the 

20 date of enactment of this Act taking into ac21 count only property placed in service before 

22 January 1, 2012, and 

23 (B) such amount determined under such 

24 paragraph as amended by this Act taking into 


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1 account only property placed in service after 

2 December 31, 2011. 

3 TITLE II—EXTENSION OF CER4 TAIN EXPIRING PROVISIONS 

5 AND RELATED MEASURES 

6 Subtitle A—Extension of Payroll 

7 Tax Reduction 

8 SEC. 2001. EXTENSION OF TEMPORARY EMPLOYEE PAY9 ROLL TAX REDUCTION THROUGH END OF 

10 2012. 

11 Subsection (c) of section 601 of the Tax Relief, Un12 employment Insurance Reauthorization, and Job Creation 

13 Act of 2010 is amended by striking ‘‘calendar year 2011’’ 

14 and inserting ‘‘calendar years 2011 and 2012’’. 

15 Subtitle B—Unemployment 

16 Compensation 

17 SEC. 2101. SHORT TITLE. 

18 This subtitle may be cited as the ‘‘Extended Benefits, 

19 Reemployment, and Program Integrity Improvement 

20 Act’’. 


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1 PART 1—REFORMS OF UNEMPLOYMENT COM2 PENSATION TO PROMOTE WORK AND JOB 

3 CREATION 

4 SEC. 2121. CONSISTENT JOB SEARCH REQUIREMENTS. 

5 (a) IN GENERAL.—Section 303(a) of the Social Secu6 rity Act is amended by adding at the end the following: 

7 ‘‘(11)(A) A requirement that, as a condition of 

8 eligibility for regular compensation for any week, a 

9 claimant must be able to work, available to work, 

10 and actively seeking work. 

11 ‘‘(B) For purposes of this paragraph, the term 

12 ‘actively seeking work’ means, with respect to an in13 dividual, that such individual is actively engaged in 

14 a systematic and sustained effort to obtain work, as 

15 determined based on evidence (whether in electronic 

16 format or otherwise) satisfactory to the State agency 

17 charged with the administration of the State law. 

18 ‘‘(C) The specific requirements that must be 

19 met in order to satisfy this paragraph shall be estab20 lished by the State agency, and shall include at least 

21 the following: 

22 ‘‘(i) Registration for employment services 

23 within 10 days after making initial application 

24 for regular compensation. 


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1 ‘‘(ii) Posting a resume, record, or other ap2 plication for employment on such database as 

3 the State agency may require. 

4 ‘‘(iii) Applying for work in such manner as 

5 the State agency may require.’’. 

6 (b) EFFECTIVE DATE.—The amendment made by 

7 subsection (a) shall apply to weeks beginning after the end 

8 of the first session of the State legislature which begins 

9 after the date of enactment of this Act. 

10 SEC. 2122. PARTICIPATION IN REEMPLOYMENT SERVICES 

11 MADE A CONDITION OF BENEFIT RECEIPT. 

12 (a) SOCIAL SECURITY ACT.—Paragraph (10) of sec13 tion 303(a) of the Social Security Act is amended to read 

14 as follows: 

15 ‘‘(10)(A) A requirement that, as a condition of 

16 eligibility for regular compensation for any week and 

17 in addition to State work search requirements— 

18 ‘‘(i) a claimant shall meet the minimum 

19 educational requirements set forth in subpara20 graph (B); and 

21 ‘‘(ii) any claimant who has been referred to 

22 reemployment services shall participate in such 

23 services. 

24 ‘‘(B) For purposes of this paragraph, an indi25 vidual shall not be considered to have met the minVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00028 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 imum educational requirements of this subparagraph 

2 unless such individual— 

3 ‘‘(i) has earned a high school diploma; 

4 ‘‘(ii) has earned the General Educational 

5 Development (GED) credential or other State6 recognized equivalent (including by meeting rec7 ognized alternative standards for individuals 

8 with disabilities); or 

9 ‘‘(iii) is enrolled and making satisfactory 

10 progress in classes leading to satisfaction of 

11 clause (i) or (ii). 

12 ‘‘(C) The requirements of subparagraph (B) 

13 may be waived for an individual to the extent that 

14 the State agency charged with the administration of 

15 the State law deems such requirements to be unduly 

16 burdensome.’’. 

17 (b) INTERNAL REVENUE CODE OF 1986.—Para18 graph (8) of section 3304(a) of the Internal Revenue Code 

19 of 1986 is amended to read as follows: 

20 ‘‘(8) compensation shall not be denied to an in21 dividual for any week in which the individual is en22 rolled and making satisfactory progress in education 

23 or training which has been previously approved by 

24 the State agency;’’. 


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1 (c) EFFECTIVE DATE.—The amendments made by 

2 this section shall apply to weeks beginning after the end 

3 of the first session of the State legislature which begins 

4 after the date of enactment of this Act. 

5 SEC. 2123. STATE FLEXIBILITY TO PROMOTE THE REEM6 PLOYMENT OF UNEMPLOYED WORKERS. 

7 Title III of the Social Security Act (42 U.S.C. 501 

8 and following) is amended by adding at the end the fol9 lowing: 

10 ‘‘DEMONSTRATION PROJECTS

11 ‘‘SEC. 305. (a) The Secretary of Labor may enter 

12 into agreements, with up to 10 States per year that submit 

13 an application described in subsection (b), for the purpose 

14 of allowing such States to conduct demonstration projects 

15 to test and evaluate measures designed— 

16 ‘‘(1) to expedite the reemployment of individ17 uals who have established a benefit year and are 

18 otherwise eligible to claim unemployment compensa19 tion under the State law of such State; or 

20 ‘‘(2) to improve the effectiveness of a State in 

21 carrying out its State law with respect to reemploy22 ment. 

23 ‘‘(b) The Governor of any State desiring to conduct 

24 a demonstration project under this section shall submit 

25 an application to the Secretary of Labor. Any such appli26 cation shall include— 


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1 ‘‘(1) a general description of the proposed dem2 onstration project, including the authority (under 

3 the laws of the State) for the measures to be tested, 

4 as well as the period of time during which such dem5 onstration project would be conducted; 

6 ‘‘(2) if a waiver under subsection (c) is re7 quested, a statement describing the specific aspects 

8 of the project to which the waiver would apply and 

9 the reasons why such waiver is needed; 

10 ‘‘(3) a description of the goals and the expected 

11 programmatic outcomes of the demonstration 

12 project, including how the project would contribute 

13 to the objective described in subsection (a)(1), sub14 section (a)(2), or both; 

15 ‘‘(4) assurances (accompanied by supporting 

16 analysis) that the demonstration project would oper17 ate for a period of at least 1 calendar year and not 

18 result in any increased net costs to the State’s ac19 count in the Unemployment Trust Fund; 

20 ‘‘(5) a description of the manner in which the 

21 State— 

22 ‘‘(A) will conduct an impact evaluation, 

23 using a methodology appropriate to determine 

24 the effects of the demonstration project; and 


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1 ‘‘(B) will determine the extent to which the 

2 goals and outcomes described in paragraph (3) 

3 were achieved; and 

4 ‘‘(6) assurances that the State will provide any 

5 reports relating to the demonstration project, after 

6 its approval, as the Secretary of Labor may require. 

7 ‘‘(c) The Secretary of Labor may waive any of the 

8 requirements of section 3304(a)(4) of the Internal Rev9 enue Code of 1986 or of paragraph (1) or (5) of section 

10 303(a), to the extent and for the period the Secretary of 

11 Labor considers necessary to enable the State to carry out 

12 a demonstration project under this section. 

13 ‘‘(d) A demonstration project under this section— 

14 ‘‘(1) may be commenced any time after the date 

15 of enactment of this section; 

16 ‘‘(2) may not be approved for a period of time 

17 greater than 3 years, subject to extension upon re18 quest of the Governor of the State involved for such 

19 additional period as the Secretary of Labor may 

20 agree to, except that in no event may a demonstra21 tion project under this section be conducted after 

22 the end of the 5-year period beginning on the date 

23 of enactment of this section; and 

24 ‘‘(3) may not be extended without sufficient 

25 data to show that the project— 


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1 ‘‘(A) did not increase the net cost to the 

2 State’s account in the Unemployment Trust 

3 Fund during the initial demonstration period; 

4 and 

5 ‘‘(B) may be reasonably projected not to 

6 increase the net cost to the State’s account in 

7 the Unemployment Trust Fund during the ex8 tended period requested. 

9 ‘‘(e) The Secretary of Labor shall, in the case of any 

10 State for which an application is submitted under sub11 section (b)— 

12 ‘‘(1) notify the State as to whether such appli13 cation has been approved or denied within 30 days 

14 after receipt of a complete application; and 

15 ‘‘(2) provide public notice of the decision within 

16 10 days after providing notification to the State in 

17 accordance with paragraph (1). 

18 Public notice under paragraph (2) may be provided 

19 through the Internet or other appropriate means. Any ap20 plication under this section that has not been denied with21 in the 30-day period described in paragraph (1) shall be 

22 deemed approved, and public notice of any approval under 

23 this sentence shall be provided within 10 days thereafter. 

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1 termines that the State has violated the substantive terms 

2 or conditions of the project. 

3 ‘‘(g) Funding certified under section 302(a) may be 

4 used for an approved demonstration project.’’. 

5 SEC. 2124. ASSISTANCE AND GUIDANCE IN IMPLEMENTING 

6 SELF-EMPLOYMENT ASSISTANCE PROGRAMS. 

7 (a) IN GENERAL.—For purposes of assisting States 

8 in establishing, improving, and administering self-employ9 ment assistance programs, the Secretary shall— 

10 (1) develop model language that may be used 

11 by States in enacting such programs, as well as peri12 odically review and revise such model language; 

13 (2) provide technical assistance and guidance in 

14 establishing, improving, and administering such pro15 grams; and 

16 (3) establish reporting requirements for States 

17 in regard to such programs, including reporting 

18 on— 

19 (A) the number of businesses and jobs cre20 ated, both directly and indirectly, by self-em21 ployment assistance programs; and 

22 (B) the estimated Federal and State tax 

23 revenues collected from such businesses and 

24 their employees. 


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1 (b) MODEL LANGUAGE AND GUIDANCE.—The model 

2 language, guidance, and reporting requirements developed 

3 by the Secretary pursuant to subsection (a) shall— 

4 (1) allow sufficient flexibility for States and 

5 participating individuals; and 

6 (2) ensure accountability and program integ7 rity. 

8 (c) CONSULTATION.—In developing the model lan9 guage, guidance, and reporting requirements pursuant to 

10 subsection (a), the Secretary shall consult with employers, 

11 labor organizations, State agencies, and other relevant 

12 program experts. 

13 (d) ENTREPRENEURIAL TRAINING PROGRAMS.—The 

14 Secretary shall coordinate with the Administrator of the 

15 Small Business Administration to ensure that adequate 

16 funding is reserved and made available for the provision 

17 of entrepreneurial training to individuals participating in 

18 self-employment assistance programs. 

19 SEC. 2125. IMPROVING PROGRAM INTEGRITY BY BETTER 

20 RECOVERY OF OVERPAYMENTS. 

21 (a) USE OF UNEMPLOYMENT COMPENSATION TO

22 REPAY OVERPAYMENTS.—Section 3304(a)(4)(D) of the 

23 Internal Revenue Code of 1986 and section 303(g)(1) of 

24 the Social Security Act are amended by striking ‘‘may’’ 

25 and inserting ‘‘shall’’. 


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1 (b) USE OF UNEMPLOYMENT COMPENSATION TO

2 REPAY FEDERAL ADDITIONAL COMPENSATION OVERPAY3 MENTS.—Section 303(g)(3) of the Social Security Act is 

4 amended by inserting ‘‘Federal additional compensation,’’ 

5 after ‘‘trade adjustment allowances,’’. 

6 (c) EFFECTIVE DATE.—The amendments made by 

7 this section shall apply to weeks beginning after the end 

8 of the first session of the State legislature which begins 

9 after the date of enactment of this Act. 

10 SEC. 2126. DATA STANDARDIZATION FOR IMPROVED DATA 

11 MATCHING. 

12 (a) IN GENERAL.—Title IX of the Social Security Act 

13 is amended by adding at the end the following: 

14 ‘‘DATA STANDARDIZATION FOR IMPROVED DATA

15 MATCHING

16 ‘‘Standard Data Elements 

17 ‘‘SEC. 911. (a)(1) The Secretary of Labor, in con18 sultation with an interagency work group which shall be 

19 established by the Office of Management and Budget, and 

20 considering State and employer perspectives, shall, by 

21 rule, designate standard data elements for any category 

22 of information required under title III or this title. 

23 ‘‘(2) The standard data elements designated under 

24 paragraph (1) shall, to the extent practicable, be non25 proprietary and interoperable. 


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1 ‘‘(3) In designating standard data elements under 

2 this subsection, the Secretary of Labor shall, to the extent 

3 practicable, incorporate— 

4 ‘‘(A) interoperable standards developed and 

5 maintained by an international voluntary consensus 

6 standards body, as defined by the Office of Manage7 ment and Budget, such as the International Organi8 zation for Standardization; 

9 ‘‘(B) interoperable standards developed and 

10 maintained by intergovernmental partnerships, such 

11 as the National Information Exchange Model; and 

12 ‘‘(C) interoperable standards developed and 

13 maintained by Federal entities with authority over 

14 contracting and financial assistance, such as the 

15 Federal Acquisition Regulations Council. 

16 ‘‘Data Standards for Reporting 

17 ‘‘(b)(1) The Secretary of Labor, in consultation with 

18 an interagency work group established by the Office of 

19 Management and Budget, and considering State and em20 ployer perspectives, shall, by rule, designate data reporting 

21 standards to govern the reporting required under title III 

22 or this title. 

23 ‘‘(2) The data reporting standards required by para24 graph (1) shall, to the extent practicable— 


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1 ‘‘(A) incorporate a widely-accepted, nonpropri2 etary, searchable, computer-readable format; 

3 ‘‘(B) be consistent with and implement applica4 ble accounting principles; and 

5 ‘‘(C) be capable of being continually upgraded 

6 as necessary. 

7 ‘‘(3) In designating reporting standards under this 

8 subsection, the Secretary of Labor shall, to the extent 

9 practicable, incorporate existing nonproprietary standards, 

10 such as the eXtensible Business Reporting Language.’’. 

11 (b) EFFECTIVE DATE.—The amendment made by 

12 this section shall apply after September 30, 2012. 

13 SEC. 2127. DRUG TESTING OF APPLICANTS. 

14 Section 303 of the Social Security Act is amended 

15 by adding at the end the following: 

16 ‘‘(k)(1) Nothing in this Act or any other provision 

17 of Federal law shall be considered to prevent a State 

18 from— 

19 ‘‘(A) testing an applicant for unemployment 

20 compensation for the unlawful use of controlled sub21 stances as a condition for receiving such compensa22 tion; or 

23 ‘‘(B) denying such compensation to such appli24 cant on the basis of the result of such testing. 

25 ‘‘(2) For purposes of this subsection— 


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1 ‘‘(A) the term ‘unemployment compensation’ 

2 has the meaning given such term in subsection 

3 (d)(2)(A); and 

4 ‘‘(B) the term ‘controlled substance’ has the 

5 meaning given such term in section 102 of the Con6 trolled Substances Act (21 U.S.C. 802).’’. 

7 PART 2—PROVISIONS RELATING TO EXTENDED 

8 BENEFITS 

9 SEC. 2141. SHORT TITLE. 

10 This part may be cited as the ‘‘Unemployment Bene11 fits Extension Act of 2011’’. 

12 SEC. 2142. EXTENSION AND MODIFICATION OF EMERGENCY 

13 UNEMPLOYMENT COMPENSATION PROGRAM. 

14 (a) EXTENSION.—Section 4007 of the Supplemental 

15 Appropriations Act, 2008 (Public Law 110–252; 26 

16 U.S.C. 3304 note) is amended— 

17 (1) in subsection (a)— 

18 (A) by striking ‘‘Except as provided in 

19 subsection (b), an’’ and inserting ‘‘An’’; and 

20 (B) by striking ‘‘January 3, 2012’’ and in21 serting ‘‘January 31, 2013’’; and 

22 (2) by amending subsection (b) to read as fol23 lows: 


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1 ‘‘(b) TERMINATION.—No compensation under this 

2 title shall be payable for any week subsequent to the last 

3 week described in subsection (a).’’. 

4 (b) MODIFIED TIERS OF EMERGENCY UNEMPLOY5 MENT COMPENSATION.— 

6 (1) IN GENERAL.—Section 4002 of the Supple7 mental Appropriations Act, 2008 (Public Law 110– 

8 252; 26 U.S.C. 3304 note) is amended by striking 

9 subsections (b) through (e) and inserting the fol10 lowing: 

11 ‘‘(b) FIRST-TIER EMERGENCY UNEMPLOYMENT

12 COMPENSATION.— 

13 ‘‘(1) IN GENERAL.—The amount established in 

14 an account under subsection (a) shall be an amount 

15 (in this title referred to as ‘first-tier emergency un16 employment compensation’) equal to the lesser of— 

17 ‘‘(A) 80 percent of the total amount of 

18 regular compensation (including dependents’ al19 lowances) payable to the individual during the 

20 individual’s benefit year under the State law; or 

21 ‘‘(B) 20 times the individual’s average 

22 weekly benefit amount for the benefit year. 

23 ‘‘(2) WEEKLY BENEFIT AMOUNT.—For pur24 poses of this subsection, an individual’s weekly ben25 efit amount for any week is the amount of regular 


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1 compensation (including dependents’ allowances) 

2 under the State law payable to such individual for 

3 such week for total unemployment. 

4 ‘‘(c) SECOND-TIER EMERGENCY UNEMPLOYMENT

5 COMPENSATION.— 

6 ‘‘(1) IN GENERAL.—If, at the time that the 

7 amount established in an individual’s account under 

8 subsection (b)(1) is exhausted or at any time there9 after, such individual’s State is in an extended ben10 efit period (as determined under paragraph (2)), 

11 such account shall be augmented by an amount (in 

12 this title referred to as ‘second-tier emergency unem13 ployment compensation’) equal to the lesser of— 

14 ‘‘(A) 50 percent of the total amount of 

15 regular compensation (including dependents’ al16 lowances) payable to the individual during the 

17 individual’s benefit year under the State law; or 

18 ‘‘(B) 13 times the individual’s average 

19 weekly benefit amount (as determined under 

20 subsection (b)(2)) for the benefit year. 

21 ‘‘(2) EXTENDED BENEFIT PERIOD.—For pur22 poses of paragraph (1), a State shall be considered 

23 to be in an extended benefit period, as of any given 

24 time, if— 


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1 ‘‘(A) such a period would then be in effect 

2 for such State, under the Federal-State Ex3 tended Unemployment Compensation Act of 

4 1970, if section 203(d) of such Act— 

5 ‘‘(i) were applied by substituting ‘4’ 

6 for ‘5’ each place it appears; and 

7 ‘‘(ii) did not include the requirement 

8 under paragraph (1)(A) thereof; or 

9 ‘‘(B) such a period would then be in effect 

10 for such State, under the Federal-State Ex11 tended Unemployment Compensation Act of 

12 1970, if— 

13 ‘‘(i) section 203(f) of such Act were 

14 applied to such State (regardless of wheth15 er or not the State by law had provided for 

16 such application); and 

17 ‘‘(ii) such section 203(f)— 

18 ‘‘(I) were applied by substituting 

19 ‘6.0’ for ‘6.5’ in paragraph (1)(A)(i) 

20 thereof; and 

21 ‘‘(II) did not include the require22 ment under paragraph (1)(A)(ii) 

23 thereof. 


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1 ‘‘(3) LIMITATION.—The account of an indi2 vidual may be augmented not more than once under 

3 this subsection.’’. 

4 (2) TECHNICAL AND CONFORMING AMEND5 MENTS.—Section 4002 of the Supplemental Appro6 priations Act, 2008 (Public Law 110–252; 26 

7 U.S.C. 3304 note), as amended by paragraph (1), is 

8 further amended— 

9 (A) by striking subsection (f); and 

10 (B) by redesignating subsection (g) as sub11 section (d). 

12 (c) ORDER OF PAYMENTS REQUIREMENT.— 

13 (1) IN GENERAL.—Section 4001(e) of the Sup14 plemental Appropriations Act, 2008 (Public Law 

15 110–252; 26 U.S.C. 3304 note) is amended to read 

16 as follows: 

17 ‘‘(e) COORDINATION RULE.—An agreement under 

18 this section shall not apply (or shall cease to apply) with 

19 respect to a State upon a determination by the Secretary 

20 that, under the State law or other applicable rules of such 

21 State, the payment of extended compensation for which 

22 an individual is otherwise eligible may or must be deferred 

23 until after the payment of any emergency unemployment 

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1 employment Benefits Extension Act of 2011, for which the 

2 individual is concurrently eligible.’’. 

3 (2) TECHNICAL AND CONFORMING AMEND4 MENTS.—Section 4001(b)(2) of such Act is amend5 ed— 

6 (A) by striking ‘‘or extended compensa7 tion’’; and 

8 (B) by striking ‘‘(except as provided under 

9 subsection (e))’’. 

10 (d) FUNDING.—Section 4004(e)(1) of the Supple11 mental Appropriations Act, 2008 (Public Law 110–252; 

12 26 U.S.C. 3304 note) is amended— 

13 (1) in subparagraph (F), by striking ‘‘and’’ at 

14 the end; and 

15 (2) by inserting after subparagraph (G) the fol16 lowing: 

17 ‘‘(H) the amendments made by section 

18 2302 of the Unemployment Benefits Extension 

19 Act of 2011; and’’. 

20 (e) EFFECTIVE DATES; TRANSITION RULES RELAT21 ING TO SUBSECTION (b).— 

22 (1) IN GENERAL.—The amendments made by— 

23 (A) subsection (a) shall take effect as if in24 cluded in the enactment of the Tax Relief, Un25 employment Insurance Reauthorization, and 


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1 Job Creation Act of 2010 (Public Law 111– 

2 312); 

3 (B) subsections (b) and (c) shall take ef4 fect on December 28, 2011, and shall apply 

5 with respect to weeks of unemployment begin6 ning after that date; and 

7 (C) subsection (d) shall take effect on the 

8 date of enactment of this Act. 

9 (2) TRANSITION RULES FOR THE APPLICATION

10 OF THE AMENDMENTS MADE BY SUBSECTION (b) IN

11 THE CASE OF INDIVIDUALS HAVING RESIDUAL

12 AMOUNTS IN THEIR ACCOUNT.— 

13 (A) EXHAUSTION OF RESIDUAL

14 AMOUNTS.—In the case of an individual who, as 

15 of any time during the last week ending before 

16 January 3, 2012, has amounts remaining in an 

17 account established under section 4002 of the 

18 Supplemental Appropriations Act, 2008, emer19 gency unemployment compensation shall con20 tinue to be payable to such individual from the 

21 amounts so remaining, subject to section 

22 4007(b) of such Act, as amended by this sub23 title. 

24 (B) NON-AUGMENTATION RULE.— 


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1 (i) IN GENERAL.—Except as provided 

2 in clause (ii), after exhausting the amounts 

3 remaining in the individual’s account 

4 under subparagraph (A), no augmentation 

5 (or further augmentation) to such account 

6 may be made. 

7 (ii) EXCEPTION.—In the case of an 

8 individual whose residual amounts (as de9 scribed in subparagraph (A)) represent 

10 amounts that were established in such in11 dividual’s account under section 4002(b) of 

12 the Supplemental Appropriations Act, 

13 2008, as in effect before the date of enact14 ment of this Act, no augmentation to such 

15 account may be made except in accordance 

16 with section 4002(c) of such Act, as 

17 amended by this subtitle. 

18 (3) TRANSITION RULES FOR THE APPLICATION

19 OF THE AMENDMENTS MADE BY SUBSECTION (b) IN

20 THE CASE OF INDIVIDUALS BETWEEN TIERS.— 

21 (A) IN GENERAL.—In the case of an indi22 vidual for whom an emergency unemployment 

23 compensation account has been established 

24 under section 4002 of the Supplemental Appro25 priations Act, 2008, as in effect before the date 


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1 of enactment of this Act, but who is not covered 

2 by paragraph (2), no augmentation (or further 

3 augmentation) to such account shall be allow4 able, except as provided in subparagraph (B). 

5 (B) EXCEPTION.— 

6 (i) RULE.—In the case of a first-tier 

7 exhaustee, augmentation shall be allowable 

8 in a manner similar to that described in 

9 paragraph (2)(B)(ii). 

10 (ii) DEFINITION.—For purposes of 

11 this subparagraph, the term ‘‘first-tier 

12 exhaustee’’ means an individual— 

13 (I) who is described in subpara14 graph (A); and 

15 (II) whose emergency unemploy16 ment compensation account— 

17 (aa) has been exhausted of 

18 amounts described in section 

19 4002(b) of the Supplemental Ap20 propriations Act, 2008, as in ef21 fect before the enactment of this 

22 Act; but 

23 (bb) has never been aug24 mented. 


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1 (4) WEEK DEFINED.—For purposes of this sub2 section, the term ‘‘week’’ has the meaning given 

3 such term under section 4006 of the Supplemental 

4 Appropriations Act, 2008. 

5 SEC. 2143. TEMPORARY EXTENSION OF EXTENDED BENEFIT 

6 PROVISIONS. 

7 (a) IN GENERAL.—Section 2005 of the Assistance for 

8 Unemployed Workers and Struggling Families Act, as 

9 contained in Public Law 111–5 (26 U.S.C. 3304 note), 

10 is amended— 

11 (1) by striking ‘‘January 4, 2012’’ each place 

12 it appears and inserting ‘‘January 31, 2013’’; and 

13 (2) in subsection (c), by striking ‘‘June 11, 

14 2012’’ and inserting ‘‘January 31, 2013’’. 

15 (b) EXTENSION OF MATCHING FOR STATES WITH

16 NO WAITING WEEK.—Section 5 of the Unemployment 

17 Compensation Extension Act of 2008 (Public Law 110– 

18 449; 26 U.S.C. 3304 note) is amended by striking ‘‘June 

19 10, 2012’’ and inserting ‘‘January 31, 2013’’. 

20 (c) EXTENSION OF MODIFICATION OF INDICATORS

21 UNDER THE EXTENDED BENEFIT PROGRAM.—Section 

22 203 of the Federal-State Extended Unemployment Com23 pensation Act of 1970 (26 U.S.C. 3304 note) is amend24 ed— 


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1 (1) in subsection (d), by striking ‘‘December 

2 31, 2011’’ and inserting ‘‘January 31, 2013’’; and 

3 (2) in subsection (f)(2), by striking ‘‘December 

4 31, 2011’’ and inserting ‘‘January 31, 2013’’. 

5 (d) EFFECTIVE DATE.—The amendments made by 

6 this section shall take effect as if included in the enact7 ment of the Tax Relief, Unemployment Insurance Reau8 thorization, and Job Creation Act of 2010 (Public Law 

9 111–312; 26 U.S.C. 3304 note). 

10 SEC. 2144. ADDITIONAL EXTENDED UNEMPLOYMENT BENE11 FITS UNDER THE RAILROAD UNEMPLOY12 MENT INSURANCE ACT. 

13 (a) EXTENSION.—Section 2(c)(2)(D)(iii) of the Rail14 road Unemployment Insurance Act, as added by section 

15 2006 of the American Recovery and Reinvestment Act of 

16 2009 (Public Law 96 111–5) and as amended by section 

17 9 of the Worker, Homeownership, and Business Assist18 ance Act of 2009 (Public Law 111–92) and section 505 

19 of the Tax Relief, Unemployment Insurance Reauthoriza20 tion, and Job Creation Act of 2010 (Public Law 111– 

21 312), is amended— 

22 (1) by striking ‘‘June 30, 2011’’ and inserting 

23 ‘‘June 30, 2012’’; and 

24 (2) by striking ‘‘December 31, 2011’’ and in25 serting ‘‘January 31, 2013’’. 


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1 (b) CLARIFICATION ON AUTHORITY TO USE

2 FUNDS.—Funds appropriated under either the first or 

3 second sentence of clause (iv) of section 2(c)(2)(D) of the 

4 Railroad Unemployment Insurance Act shall be available 

5 to cover the cost of additional extended unemployment 

6 benefits provided under such section 2(c)(2)(D) by reason 

7 of the amendments made by subsection (a) as well as to 

8 cover the cost of such benefits provided under such section 

9 2(c)(2)(D), as in effect on the day before the date of en10 actment of this Act. 

11 PART 3—IMPROVING REEMPLOYMENT STRATE12 GIES UNDER THE EMERGENCY UNEMPLOY13 MENT COMPENSATION PROGRAM 

14 SEC. 2161. IMPROVED WORK SEARCH FOR THE LONG-TERM 

15 UNEMPLOYED. 

16 (a) IN GENERAL.—Section 4001(b) of the Supple17 mental Appropriations Act, 2008 (Public Law 110–252; 

18 26 U.S.C. 3304 note) is amended— 

19 (1) by striking ‘‘and’’ at the end of paragraph 

20 (2); 

21 (2) by striking the period at the end of para22 graph (3) and inserting ‘‘; and’’; and 

23 (3) by adding at the end the following: 

24 ‘‘(4) are able to work, available to work, and 

25 actively seeking work.’’. 


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1 (b) ACTIVELY SEEKING WORK.—Section 4001 of 

2 such Act is amended by adding at the end the following: 

3 ‘‘(h) ACTIVELY SEEKING WORK.— 

4 ‘‘(1) IN GENERAL.—For purposes of subsection 

5 (b)(4), the term ‘actively seeking work’ means, with 

6 respect to any individual, that such individual is ac7 tively engaged in a systematic and sustained effort 

8 to obtain work, as determined based on evidence 

9 (whether in electronic format or otherwise) satisfac10 tory to the State agency charged with the adminis11 tration of the State law. 

12 ‘‘(2) SPECIFIC REQUIREMENTS.—The specific 

13 requirements that must be met in order to satisfy 

14 subsection (b)(4), to the extent that it relates to ac15 tively seeking work, shall be established by the State 

16 agency, and shall include the following: 

17 ‘‘(A) Registration for employment services 

18 within 30 days after the date on which occurs 

19 whichever of the following events occurs first, in 

20 the case of the individual referred to in para21 graph (1): 

22 ‘‘(i) The submission of the claim on 

23 the basis of which amounts described in 

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1 ployment Benefits Extension Act of 2011) 

2 first become payable to such individual. 

3 ‘‘(ii) The submission of the claim on 

4 the basis of which amounts described in 

5 section 4002(c) (as amended by the Unem6 ployment Benefits Extension Act of 2011) 

7 first become payable to such individual. 

8 ‘‘(B) Posting a resume, record, or other 

9 application for employment on such database as 

10 the State agency may require. 

11 ‘‘(C) Applying, in such manner as the 

12 State agency may require, for work.’’. 

13 SEC. 2162. REEMPLOYMENT SERVICES AND REEMPLOY14 MENT AND ELIGIBILITY ASSESSMENT ACTIVI15 TIES. 

16 (a) IN GENERAL.— 

17 (1) PROVISION OF SERVICES AND ACTIVITIES.— 

18 Section 4001 of the Supplemental Appropriations 

19 Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 

20 note) is amended by inserting after subsection (h) 

21 (as added by section 2161) the following: 

22 ‘‘(i) PROVISION OF SERVICES AND ACTIVITIES.— 

23 ‘‘(1) IN GENERAL.—An agreement under this 

24 section shall require the following: 


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1 ‘‘(A) The State which is party to such 

2 agreement shall provide reemployment services 

3 and reemployment and eligibility assessment ac4 tivities to each individual— 

5 ‘‘(i) who, on or after the 30th day 

6 after the date of enactment of the Ex7 tended Benefits, Reemployment, and Pro8 gram Integrity Improvement Act, begins 

9 receiving amounts described in subsection 

10 (b) and (c) of 4002 of the Supplemental 

11 Appropriations Act of 2008, as amended 

12 by the Extended Benefits, Reemployment, 

13 and Program Integrity Improvement Act; 

14 and 

15 ‘‘(ii) while such individual continues 

16 to receive emergency unemployment com17 pensation under this title. 

18 ‘‘(B) As a condition of eligibility for emer19 gency unemployment compensation for any 

20 week— 

21 ‘‘(i) a claimant shall meet the min22 imum educational requirements set forth in 

23 section 303(a)(10)(B) of the Social Secu24 rity Act; 


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1 ‘‘(ii) a claimant who has been duly re2 ferred to reemployment services shall par3 ticipate in such services; and 

4 ‘‘(iii) a claimant shall be actively seek5 ing work (determined applying subsection 

6 (h)). 

7 ‘‘(2) DESCRIPTION OF SERVICES AND ACTIVI8 TIES.—The reemployment services and in-person re9 employment and eligibility assessment activities pro10 vided to individuals receiving emergency unemploy11 ment compensation described in paragraph (1)— 

12 ‘‘(A) shall include— 

13 ‘‘(i) the provision of labor market and 

14 career information; 

15 ‘‘(ii) an assessment of the skills of the 

16 individual; 

17 ‘‘(iii) orientation to the services avail18 able through the one-stop centers estab19 lished under title I of the Workforce In20 vestment Act of 1998; and 

21 ‘‘(iv) review of the eligibility of the in22 dividual for emergency unemployment com23 pensation relating to the job search activi24 ties of the individual; and 

25 ‘‘(B) may include the provision of— 


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1 ‘‘(i) comprehensive and specialized as2 sessments; 

3 ‘‘(ii) individual and group career 

4 counseling; 

5 ‘‘(iii) training services; 

6 ‘‘(iv) additional reemployment serv7 ices; and 

8 ‘‘(v) job search counseling and the de9 velopment or review of an individual reem10 ployment plan that includes participation 

11 in job search activities and appropriate 

12 workshops. 

13 ‘‘(3) PARTICIPATION REQUIREMENT.—As a con14 dition of continuing eligibility for emergency unem15 ployment compensation for any week, an individual 

16 who has been referred to reemployment services or 

17 reemployment and eligibility assessment activities 

18 under this subsection shall participate in such serv19 ices or activities, unless the State agency responsible 

20 for the administration of State unemployment com21 pensation law determines that— 

22 ‘‘(A) such individual has completed partici23 pating in such services or activities; or 

24 ‘‘(B) there is justifiable cause for failure to 

25 participate or to complete participating in such 


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1 services or activities, as determined in accord2 ance with guidance to be issued by the Sec3 retary.’’. 

4 (2) ISSUANCE OF GUIDANCE.—Not later than 

5 30 days after the date of enactment of this Act, the 

6 Secretary shall issue guidance on the implementation 

7 of the reemployment services and reemployment and 

8 eligibility assessment activities required to be pro9 vided under the amendment made by paragraph (1). 

10 (b) FUNDING.—Section 4002 of the Supplemental 

11 Appropriations Act, 2008 (Public Law 110–252; 26 

12 U.S.C. 3304 note), as amended by section 2142(b), is fur13 ther amended by adding at the end the following: 

14 ‘‘(e) OPTIONAL FUNDING FOR REEMPLOYMENT

15 SERVICES AND REEMPLOYMENT AND ELIGIBILITY AS16 SESSMENT ACTIVITIES.—In order to carry out section 

17 4001(i)(2), a State may withhold up to $5 from any 

18 amount otherwise payable to an individual under this title 

19 for any week.’’. 

20 SEC. 2163. STATE FLEXIBILITY TO SUPPORT LONG-TERM 

21 UNEMPLOYED WORKERS WITH IMPROVED 

22 REEMPLOYMENT SERVICES. 

23 Title IV of the Supplemental Appropriations Act, 

24 2008 (Public Law 110–252; 26 U.S.C. 3304 note) is 

25 amended by adding at the end the following: 


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1 ‘‘DEMONSTRATION PROJECTS

2 ‘‘SEC. 4008. (a) The Secretary may enter into an 

3 agreement under this section, with any State which has 

4 an agreement with the Secretary under section 4001 and 

5 which submits an application under subsection (b), for the 

6 purpose of allowing such State to divert, in any month, 

7 a number of emergency unemployment compensation 

8 beneficiaries not to exceed 20 percent of the total number 

9 of beneficiaries, attributable to such State and receiving 

10 emergency unemployment compensation for the first week 

11 of such month, to conduct demonstration projects to test 

12 and evaluate measures designed— 

13 ‘‘(1) to expedite the reemployment of individ14 uals who establish initial eligibility for unemploy15 ment compensation under the State law of such 

16 State; or 

17 ‘‘(2) to improve the effectiveness of a State in 

18 carrying out its State law with respect to reemploy19 ment. 

20 ‘‘(b) The Governor of any State desiring to conduct 

21 a demonstration project under this section shall submit 

22 an application to the Secretary. Any such application shall 

23 include— 

24 ‘‘(1) a description of the activities to be carried 

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1 gible individuals to be served in accordance with this 

2 part, including activities the State intends to carry 

3 out and an estimate of the amounts the State in4 tends to allocate to those respective activities; 

5 ‘‘(2) a description of the performance outcomes 

6 to be achieved by the State through the activities 

7 carried out under this part, including the employ8 ment outcomes to be achieved by participants and 

9 the processes the State will use to track perform10 ance, consistent with guidance provided by the Sec11 retary regarding such outcomes and processes; 

12 ‘‘(3) the timelines for implementation of the ac13 tivities described in the application and the number 

14 of emergency unemployment compensation claimants 

15 expected to be enrolled in such activities for each 

16 quarter; 

17 ‘‘(4) assurances that the State will participate 

18 in the evaluation activities carried out by the Sec19 retary under this section; 

20 ‘‘(5) assurances that the State will provide ap21 propriate reemployment services to individuals par22 ticipating in the demonstration project; 

23 ‘‘(6) assurances that the State will report such 

24 information as the Secretary may require relating to 


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1 fiscal, performance and other matters, including em2 ployment outcomes. 

3 ‘‘(7) the specific aspects of the project to which 

4 the waiver would apply and the reasons why such 

5 waiver is needed; 

6 ‘‘(8) a description of the goals and the expected 

7 programmatic outcomes of the demonstration 

8 project, including how the project would contribute 

9 to the objective described in subsection (a)(1), sub10 section (a)(2), or both; 

11 ‘‘(9) assurances (accompanied by supporting 

12 analysis) that the demonstration project would not 

13 result in any increased net costs to the emergency 

14 unemployment compensation program; 

15 ‘‘(10) a description of the manner in which the 

16 State— 

17 ‘‘(A) will conduct an impact evaluation, 

18 using a control or comparison group or other 

19 valid methodology, of the demonstration project; 

20 and 

21 ‘‘(B) will determine the extent to which the 

22 goals and outcomes described in paragraph (8) 

23 were achieved; and 


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1 ‘‘(11) assurances that the State will provide any 

2 reports relating to the demonstration project, after 

3 its approval, as the Secretary may require. 

4 ‘‘(c) Activities that may be pursued under a dem5 onstration project under this section, including— 

6 ‘‘(1) subsidies for employer-provided training, 

7 such as wage subsidies; 

8 ‘‘(2) work sharing or short-time compensation; 

9 and 

10 ‘‘(3) enhanced employment strategies, which 

11 may include services such as— 

12 ‘‘(A) assessments, counseling, and other 

13 intensive services that are provided by staff on 

14 a one-to-one basis and may be customized to 

15 meet the reemployment needs of emergency un16 employment compensation claimants and indi17 viduals; 

18 ‘‘(B) comprehensive assessments designed 

19 to identify alternative career paths; 

20 ‘‘(C) case management; 

21 ‘‘(D) reemployment services that are pro22 vided more frequently and more intensively 

23 than such reemployment services have pre24 viously been provided by the State; 

25 ‘‘(E) self-employment assistance programs; 


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1 ‘‘(F) services that are designed to enhance 

2 communication skills, interviewing skills, and 

3 other skills that would assist in obtaining reem4 ployment; 

5 ‘‘(G) direct disbursements to employers 

6 who hire individuals receiving emergency unem7 ployment compensation to cover part of the cost 

8 of wages that exceed the unemployed individ9 ual’s prior benefit level; and 

10 ‘‘(H) other innovative activities which use 

11 a strategy that is different from the reemploy12 ment strategies described above and which are 

13 designed to facilitate the reemployment of indi14 viduals receiving emergency unemployment 

15 compensation. 

16 ‘‘(d) The Secretary shall, in the case of any State 

17 for which an application is submitted under subsection 

18 (b)— 

19 ‘‘(1) notify the State as to whether such appli20 cation has been approved or denied within 30 days 

21 after receipt of a complete application; and 

22 ‘‘(2) provide public notice of the decision within 

23 10 days after providing notification to the State in 

24 accordance with paragraph (1). 


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1 Public notice under paragraph (2) may be provided 

2 through the Internet or other appropriate means. Any ap3 plication under this section that has not been denied with4 in such 30 days shall be deemed approved, and public no5 tice of any approval under this sentence shall be provided 

6 within 10 days thereafter. 

7 ‘‘(e) The Secretary may terminate a demonstration 

8 project under this section if the Secretary determines that 

9 the State has violated the substantive terms or conditions 

10 of the project. 

11 ‘‘(f) Authority to carry out a demonstration project 

12 under this section shall terminate with respect to any 

13 State after compensation under this title ceases to be pay14 able with respect to such State.’’. 

15 SEC. 2164. PROMOTING PROGRAM INTEGRITY THROUGH 

16 BETTER RECOVERY OF OVERPAYMENTS. 

17 Section 4005(c)(1) of the Supplemental Appropria18 tions Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 

19 note) is amended— 

20 (1) by striking ‘‘may’’ and inserting ‘‘shall’’; 

21 (2) by striking ‘‘exceed’’ and inserting ‘‘be less 

22 than’’; and 

23 (3) by striking ‘‘made.’’ and inserting ‘‘made, 

24 unless the amount to be repaid is less than 50 per25 cent of the weekly benefit amount.’’. 


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1 SEC. 2165. RESTORE STATE FLEXIBILITY TO IMPROVE UN2 EMPLOYMENT PROGRAM SOLVENCY. 

3 Subsection (g) of section 4001 of the Supplemental 

4 Appropriations Act, 2008 (Public Law 110–252; 26 

5 U.S.C. 3304 note) is repealed. 

6 Subtitle C—Medicare Extensions; 

7 Other Health Provisions 

8 PART 1—MEDICARE EXTENSIONS 

9 SEC. 2201. PHYSICIAN PAYMENT UPDATE. 

10 (a) IN GENERAL.—Section 1848(d) of the Social Se11 curity Act (42 U.S.C. 1395w–4(d)) is amended by adding 

12 at the end the following new paragraph: 

13 ‘‘(13) UPDATE FOR 2012 AND 2013.— 

14 ‘‘(A) IN GENERAL.—Subject to paragraphs 

15 (7)(B), (8)(B), (9)(B), (10)(B), (11)(B), and 

16 (12)(B), in lieu of the update to the single con17 version factor established in paragraph (1)(C) 

18 that would otherwise apply for 2012 and for 

19 2013, the update to the single conversion factor 

20 shall be 1.0 percent for the year. 

21 ‘‘(B) NO EFFECT ON COMPUTATION OF

22 CONVERSION FACTOR FOR 2014 AND SUBSE23 QUENT YEARS.—The conversion factor under 

24 this subsection shall be computed under para25 graph (1)(A) for 2014 and subsequent years as 

26 if subparagraph (A) had never applied.’’. 


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1 (b) MANDATED STUDIES ON PHYSICIAN PAYMENT

2 REFORM.— 

3 (1) STUDY BY SECRETARY ON OPTIONS FOR

4 BUNDLED OR EPISODE-BASED PAYMENT.— 

5 (A) IN GENERAL.—The Secretary of 

6 Health and Human Services shall conduct a 

7 study that examines options for bundled or epi8 sode-based payments, to cover physicians’ serv9 ices currently paid under the physician fee 

10 schedule under section 1848 of the Social Secu11 rity Act (42 U.S.C. 1395w–4), for one or more 

12 prevalent chronic conditions (such as cancer, di13 abetes, and congestive heart failure) or episodes 

14 of care for one or more major procedures (such 

15 as medical device implantation). In conducting 

16 the study the Secretary shall consult with med17 ical professional societies and other relevant 

18 stakeholders. The study shall include an exam19 ination of related private payer payment initia20 tives. 

21 (B) REPORT.—Not later than January 1, 

22 2013, the Secretary shall submit to the Com23 mittees on Ways and Means and Energy and 

24 Commerce of the House of Representatives and 

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1 port on the study conducted under this para2 graph. The Secretary shall include in the report 

3 recommendations on suitable alternative pay4 ment options for services paid under such fee 

5 schedule and on associated implementation re6 quirements (such as timelines, operational 

7 issues, and interactions with other payment re8 form initiatives). 

9 (2) GAO STUDY OF PRIVATE PAYER INITIA10 TIVES.— 

11 (A) IN GENERAL.—The Comptroller Gen12 eral of the United States shall conduct a study 

13 that examines initiatives of private entities of14 fering or administering health insurance cov15 erage, group health plans, or other private 

16 health benefit plans to base or adjust physician 

17 payment rates under such coverage or plans for 

18 performance on quality and efficiency as well as 

19 demonstration of care delivery improvement ac20 tivities (such as adherence to evidence based 

21 guidelines and patient shared decision making 

22 programs). In conducting such study, the 

23 Comptroller General shall consult, to the extent 

24 appropriate, with medical professional societies 

25 and other relevant stakeholders. 


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1 (B) REPORT.—Not later than January 1, 

2 2013, the Comptroller General shall submit to 

3 the Committees on Ways and Means and En4 ergy and Commerce of the House of Represent5 atives and the Committee on Finance in the 

6 Senate a report on the study conducted under 

7 this paragraph. Such report shall include an as8 sessment of applicability of the payer initiatives 

9 described in subparagraph (A) to the Medicare 

10 program and recommendations on modifications 

11 to existing Medicare performance-based pay12 ment initiatives. 

13 (3) MEDPAC STUDY OF ALIGNING PAYMENT

14 INCENTIVES.—Not later than March 1, 2013, the 

15 Medicare Payment Advisory Commission shall con16 duct a study, and submit to the Committees on 

17 Ways and Means and Energy and Commerce of the 

18 House of Representatives and the Committee on Fi19 nance in the Senate a report, that examines the fea20 sibility of aligning private payer quality and effi21 ciency programs with those in the Medicare pro22 gram. In conducting such study, the Medicare Pay23 ment Advisory Commission shall consult with med24 ical professional societies and other relevant stakeVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00066 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 holders. Such report shall include recommendations 

2 on how to achieve such alignment. 

3 (4) COLLABORATION.—The Secretary, Comp4 troller General, and Commission may collaborate to 

5 the extent beneficial in conducting their respective 

6 studies and submitting their respective reports under 

7 this subsection. 

8 (c) STUDY AND REVIEW OF MEASURES TO IMPROVE

9 PHYSICIAN PAYMENTS, HEALTH OUTCOMES, AND EFFI10 CIENCY.—During the 112th Congress, the Committees on 

11 Energy and Commerce and Ways and Means of the House 

12 of Representatives and the Committee on Finance in the 

13 Senate shall each study and review value-based measures 

14 and practice arrangements which may improve health out15 comes and efficiency in the Medicare program to the end 

16 of replacing the Medicare sustainable growth rate in a fis17 cally responsible manner and establishing a sustainable 

18 payment system. In conducting such study and review, the 

19 committees shall solicit comments from stakeholder physi20 cian groups, including State medical associations. 

21 SEC. 2202. AMBULANCE ADD-ONS. 

22 (a) GROUND AMBULANCE.—Section 1834(l)(13)(A) 

23 of the Social Security Act (42 U.S.C. 1395m(l)(13)(A)), 

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1 icaid Extenders Act of 2010 (Public Law 111–309), is 

2 amended— 

3 (1) in the matter preceding clause (i), by strik4 ing ‘‘2012’’ and inserting ‘‘2013’’; and 

5 (2) in each of clauses (i) and (ii), by striking 

6 ‘‘2012’’ and inserting ‘‘2013’’ each place it appears. 

7 (b) SUPER RURAL AMBULANCE.—Section 

8 1834(l)(12)(A) of the Social Security Act (42 U.S.C. 

9 1395m(l)(12)(A)), as amended by section 106(c) of the 

10 Medicare and Medicaid Extenders Act of 2010 (Public 

11 Law 111–309), is amended in the first sentence by strik12 ing ‘‘2012’’ and inserting ‘‘2013’’. 

13 (c) GAO REPORT UPDATE.—Not later than October 

14 1, 2012, the Comptroller General of the United States 

15 shall update the GAO report GAO–07–383 (relating to 

16 Ambulance Providers: Costs and Expected Medicare Mar17 gins Vary Greatly) to reflect current costs for ambulance 

18 providers. 

19 (d) MEDPAC REPORT.—The Medicare Payment Ad20 visory Commission shall conduct a study of— 

21 (1) the appropriateness of the add-on payments 

22 for ambulance providers under paragraphs (12)(A) 

23 and (13)(A) of section 1834(l) of the Social Security 

24 Act (42 U.S.C. 1395m(l)); 


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1 (2) the effect these additional payments have on 

2 the Medicare margins of ambulance providers; and 

3 (3) whether there is a need to reform the Medi4 care ambulance fee schedule under such section and, 

5 if so, what should such reforms be, including rolling 

6 the add-on payments into the base rate. 

7 Not later than July 1, 2012, the Commission shall submit 

8 to the Committees on Ways and Means and Energy and 

9 Commerce of the House of Representatives and the Com10 mittee on Finance of the Senate a report on such study 

11 and shall include in the report such recommendations as 

12 the Commission deems appropriate. 

13 (e) EFFECTIVE DATE.—The amendments made by 

14 subsections (a) and (b) shall apply to ambulance services 

15 furnished on or after January 1, 2012. 

16 SEC. 2203. MEDICARE PAYMENT FOR OUTPATIENT THER17 APY SERVICES. 

18 (a) APPLICATION OF ADDITIONAL REQUIRE19 MENTS.—Section 1833(g)(5) of the Social Security Act 

20 (42 U.S.C. 1395l(g)(5)) is amended— 

21 (1) by inserting ‘‘(A)’’ after ‘‘(5)’’; 

22 (2) by striking ‘‘December 31, 2011’’ and in23 serting ‘‘December 31, 2013’’; 


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1 (3) in the first sentence, by inserting ‘‘and if 

2 the requirement of subparagraph (B) is met’’ after 

3 ‘‘medically necessary’’; 

4 (4) in the second sentence, by inserting ‘‘made 

5 in accordance with such requirement’’ after ‘‘receipt 

6 of the request’’; and 

7 (5) by adding at the end the following new sub8 paragraphs: 

9 ‘‘(B) In the case of outpatient therapy services for 

10 which an exception is requested under the first sentence 

11 of subparagraph (A), the claim for such services contains 

12 an appropriate modifier (such as the KX modifier used 

13 as of the date of the enactment of this subparagraph) indi14 cating that such services are medically necessary as justi15 fied by appropriate documentation in the medical record 

16 involved. 

17 ‘‘(C)(i) In applying this paragraph with respect to a 

18 request for an exception with respect to expenses that 

19 would be incurred for outpatient therapy services (includ20 ing services described in subsection (a)(8)(B)) that would 

21 exceed the threshold described in clause (ii) for a year, 

22 the request for such an exception, for services furnished 

23 on or after July 1, 2012, shall be subject to a manual 

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1 ical review process used for certain exceptions under this 

2 paragraph in 2006. 

3 ‘‘(ii) The threshold under this clause for a year is 

4 $3,700. Such threshold shall be applied separately— 

5 ‘‘(I) for physical therapy services and speech6 language pathology services; and 

7 ‘‘(II) for occupational therapy services.’’. 

8 (b) APPLICATION OF THERAPY CAP TO THERAPY

9 FURNISHED AS PART OF HOSPITAL OUTPATIENT SERV10 ICES.—Paragraphs (1) and (3) of section 1833(g) of such 

11 Act are each amended by striking ‘‘but not described in 

12 section 1833(a)(8)(B)’’ and inserting ‘‘but (with respect 

13 to services furnished before July 1, 2012) not described 

14 in subsection (a)(8)(B)’’. 

15 (c) REQUIREMENT FOR INCLUSION ON CLAIMS OF

16 NPI OF PHYSICIAN WHO REVIEWS THERAPY PLAN.— 

17 Section 1842(t) of such Act (42 U.S.C. 1395u(t)) is 

18 amended— 

19 (1) by inserting ‘‘(1)’’ after ‘‘(t)’’; and 

20 (2) by adding at the end the following new 

21 paragraph: 

22 ‘‘(2) Each request for payment, or bill submitted, for 

23 therapy services described in paragraph (1) or (3) of sec24 tion 1833(g) furnished on or after July 1, 2012, for which 

25 payment may be made under this part shall include the 


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1 national provider identifier of the physician who periodi2 cally reviews the plan for such services under section 

3 1861(p)(2).’’. 

4 (d) IMPLEMENTATION.—The Secretary of Health and 

5 Human Services shall implement such claims processing 

6 edits and issue such guidance as may be necessary to im7 plement the amendments made by this section in a timely 

8 manner. Notwithstanding any other provision of law, the 

9 Secretary may implement the amendments made by this 

10 section by program instruction. Of the amount of funds 

11 made available to the Secretary for fiscal year 2012 for 

12 program management for the Centers for Medicare & 

13 Medicaid Services, not to exceed $7,500,000 shall be avail14 able for such fiscal year to carry out section 1833(g)(5)(C) 

15 of the Social Security Act (relating to manual medical re16 view), as added by subsection (a). Of the amount of funds 

17 made available to the Secretary for fiscal year 2013 for 

18 such program management, not to exceed $7,500,000 

19 shall be available for such fiscal year to carry out such 

20 section. 

21 (e) EFFECTIVE DATE.—The amendments made by 

22 subsection (a) shall apply to services furnished on or after 

23 January 1, 2012. 

24 (f) MEDPAC REPORT ON IMPROVED MEDICARE

25 THERAPY BENEFITS.—Not later than March 1, 2013, the 


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1 Medicare Payment Advisory Commission shall submit to 

2 the Committees on Energy and Commerce and Ways and 

3 Means of the House of Representatives and to the Com4 mittee on Finance of the Senate a report making rec5 ommendations on how to improve the outpatient therapy 

6 benefit under part B of title XVIII of the Social Security 

7 Act. The report shall include recommendations on how to 

8 reform the payment system for such outpatient therapy 

9 services under such part so that the benefit is better de10 signed to reflect individual acuity, condition, and therapy 

11 needs of the patient. Such report shall include an examina12 tion of private sector initiatives relating to outpatient ther13 apy benefits. 

14 (g) COLLECTION OF ADDITIONAL DATA.— 

15 (1) STRATEGY.—The Secretary of Health and 

16 Human Services shall implement, beginning on Jan17 uary 1, 2013, a claims-based data collection strategy 

18 that is designed to assist in reforming the Medicare 

19 payment system for outpatient therapy services sub20 ject to the limitations of section 1833(g) of the So21 cial Security Act. Such strategy shall be designed to 

22 provide for the collection of data on patient function 

23 during the course of therapy services in order to bet24 ter understand patient condition and outcomes. 


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1 (2) CONSULTATION.—In proposing and imple2 menting such strategy, the Secretary shall consult 

3 with relevant stakeholders. 

4 (h) GAO REPORT ON MANUAL MEDICAL REVIEW

5 PROCESS IMPLEMENTATION.—Not later than May 1, 

6 2013, the Comptroller General of the United States shall 

7 submit to the Committees on Energy and Commerce and 

8 Ways and Means of the House of Representatives and to 

9 the Committee on Finance of the Senate a report on the 

10 implementation of the manual medical review process re11 ferred to in section 1833(g)(5)(C) of the Social Security 

12 Act. Such report shall include aggregate data on the num13 ber of individuals and claims subject to such process, the 

14 number of reviews conducted under such process, and the 

15 outcome of such reviews. 

16 SEC. 2204. WORK GEOGRAPHIC ADJUSTMENT. 

17 (a) IN GENERAL.—Section 1848(e)(1)(E) of the So18 cial Security Act (42 U.S.C. 1395w–4(e)(1)(E)) is amend19 ed by striking ‘‘January 1, 2012’’ and inserting ‘‘January 

20 1, 2013’’. 

21 (b) REPORT.—Not later than June 1, 2012, the 

22 Medicare Payment Advisory Commission shall submit to 

23 the Committees on Ways and Means and Energy and 

24 Commerce of the House of Representatives and the Com25 mittee on Finance of the Senate a report that assesses 


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1 whether any geographic adjustment is needed under sec2 tion 1848 of the Social Security Act (42 U.S.C. 1395w– 

3 4) to distinguish the difference in work effort by geo4 graphic area and, if so, what that level should be and 

5 where it should be applied. The report shall also assess 

6 the impact of the work geographic adjustment under such 

7 section, including the extent to which the floor impacts 

8 access to care. 

9 PART 2—OTHER HEALTH PROVISIONS 

10 SEC. 2211. QUALIFYING INDIVIDUAL (QI) PROGRAM. 

11 (a) EXTENSION.—Section 1902(a)(10)(E)(iv) of the 

12 Social Security Act (42 U.S.C. 1396a(a)(10)(E)(iv)) is 

13 amended by striking ‘‘December 2011’’ and inserting ‘‘De14 cember 2012’’. 

15 (b) EXTENDING TOTAL AMOUNT AVAILABLE FOR

16 ALLOCATION.—Section 1933(g) of such Act (42 U.S.C. 

17 1396u–3(g)) is amended— 

18 (1) in paragraph (2)— 

19 (A) by striking ‘‘and’’ at the end of sub20 paragraph (O); 

21 (B) in subparagraph (P), by striking the 

22 period at the end and inserting a semicolon; 

23 and 

24 (C) by adding at the end the following new 

25 subparagraphs: 


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1 ‘‘(Q) for the period that begins on January 

2 1, 2012, and ends on September 30, 2012, the 

3 total allocation amount is $450,000,000; and 

4 ‘‘(R) for the period that begins on October 

5 1, 2012, and ends on December 31, 2012, the 

6 total allocation amount is $280,000,000.’’; and 

7 (2) in paragraph (3), in the matter preceding 

8 subparagraph (A), by striking ‘‘or (P)’’ and insert9 ing ‘‘(P), or (R)’’. 

10 SEC. 2212. EXTENSION OF TRANSITIONAL MEDICAL ASSIST11 ANCE (TMA). 

12 (a) EXTENSION.—Sections 1902(e)(1)(B) and 

13 1925(f) of the Social Security Act (42 U.S.C. 

14 1396a(e)(1)(B), 1396r–6(f)) are each amended by strik15 ing ‘‘December 31, 2011’’ and inserting ‘‘December 31, 

16 2012’’. 

17 (b) EXTENDING APPLICATION OF TERMINATION OF

18 ELIGIBILITY BASED ON INCOME TO INITIAL EXTENSION

19 PERIOD.— 

20 (1) INCOME REPORTING REQUIREMENTS.—Sub21 section (b)(2)(B)(i) of section 1925 of such Act (42 

22 U.S.C. 1396r–6) is amended— 

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1 tinued extended assistance under subsection 

2 (a)’’; and 

3 (B) by inserting ‘‘(and, in the case of a 

4 State that makes an election under subsection 

5 (a)(5), the 7th month and the 11th month)’’ 

6 after ‘‘4th month’’. 

7 (2) TERMINATION.—Subsection (a)(3) of such 

8 section is amended— 

9 (A) in subparagraph (B)— 

10 (i) by inserting ‘‘or (D)’’ after ‘‘sub11 paragraph (A)’’; and 

12 (ii) by striking the period at the end 

13 and inserting the following: ‘‘, which notice 

14 shall include (in the case of termination 

15 under subparagraph (D)(ii), relating to no 

16 continued earnings) a description of how 

17 the family may reestablish eligibility for 

18 medical assistance under the State plan. 

19 No termination shall be effective under 

20 subparagraph (D) earlier than 10 days 

21 after the date of mailing of such notice.’’; 

22 (B) in subparagraph (C)— 

23 (i) by designating the matter begin24 ning with ‘‘With respect to’’ as a clause (i) 

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1 DREN.—’’ and appropriate indentation; 

2 and 

3 (ii) by adding at the end the following 

4 new clause: 

5 ‘‘(ii) MEDICALLY NEEDY.—With re6 spect to an individual who would cease to 

7 receive medical assistance because of sub8 paragraph (D) but who may be eligible for 

9 assistance under the State plan because 

10 the individual is within a category of per11 son for which medical assistance under the 

12 State plan is available under section 

13 1902(a)(10)(C) (relating to medically 

14 needy individuals), the State may not dis15 continue such assistance under such sub16 paragraph until the State has determined 

17 that the individual is not eligible for assist18 ance under the plan.’’; and 

19 (C) by adding at the end the following new 

20 subparagraph: 

21 ‘‘(D) QUARTERLY INCOME REPORTING AND

22 TEST.—Subject to subparagraphs (B) and (C), 

23 extension of assistance during the 6-month pe24 riod described in paragraph (1) to a family 

25 shall terminate (during the period) at the close 


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1 of the 4th month of the 6-month period (or 4th, 

2 7th, or 11th month in case of a State that 

3 makes an election under paragraph (5)) if— 

4 ‘‘(i) the family fails to report to the 

5 State, by the 21st day of such month, the 

6 information required under subsection 

7 (b)(2)(B)(i), unless the family has estab8 lished, to the satisfaction of the State, 

9 good cause for the failure to report on a 

10 timely basis; 

11 ‘‘(ii) the caretaker relative had no 

12 earnings in one or more of the previous 3 

13 months, unless such lack of any earnings 

14 was due to an involuntary loss of employ15 ment, illness, or other good cause, estab16 lished to the satisfaction of the State; or 

17 ‘‘(iii) the State determines that the 

18 family’s average gross monthly earnings 

19 (less such costs for such child care as is 

20 necessary for the employment of the care21 taker relative) during the immediately pre22 ceding 3-month period exceed 185 percent 

23 of the official poverty line (as defined by 

24 the Office of Management and Budget, 

25 and revised annually in accordance with 


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1 section 673(2) of the Omnibus Budget 

2 Reconciliation Act of 1981) applicable to a 

3 family of the size involved. 

4 Information described in clause (i) shall be sub5 ject to the restrictions on use and disclosure of 

6 information provided under section 402(a)(9). 

7 Instead of terminating a family’s extension 

8 under clause (i), a State, at its option, may pro9 vide for suspension of the extension until the 

10 month after the month in which the family re11 ports information required under subsection 

12 (b)(2)(B)(i), but only if the family’s extension 

13 has not otherwise been terminated under clause 

14 (ii) or (iii). The State shall make determina15 tions under clause (iii) for a family each time 

16 a report under subsection (b)(2)(B)(i) for the 

17 family is received.’’. 

18 (3) EFFECTIVE DATE.— 

19 (A) IN GENERAL.—The amendments made 

20 by this subsection shall, subject to subpara21 graph (B), apply to assistance furnished for 

22 months beginning with January 2012. 

23 (B) TRANSITION FOR CURRENT BENE24 FICIARIES.— 


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1 (i) IN GENERAL.—Subject to clause 

2 (ii), such amendments shall not apply to 

3 any individual who is receiving extended 

4 assistance under subsection (a) of section 

5 1925 of the Social Security Act for Decem6 ber 2011 during the period of assistance 

7 that includes such month. 

8 (ii) SPECIAL RULE FOR INDIVIDUALS

9 ELIGIBLE FOR 12 MONTHS EXTENDED AS10 SISTANCE.—In the case of a State that 

11 makes an election under paragraph (5) of 

12 such section, such amendments shall apply 

13 to an individual who is receiving such ex14 tended assistance for such month if such 

15 month is within the first 6 months of the 

16 12-month period referred to in such para17 graph but only with respect to the second 

18 6 months of such 12-month period. 

19 SEC. 2213. MODIFICATION TO REQUIREMENTS FOR QUALI20 FYING FOR EXCEPTION TO MEDICARE PROHI21 BITION ON CERTAIN PHYSICIAN REFERRALS 

22 FOR HOSPITALS. 

23 (a) IN GENERAL.—Section 1877(i) of the Social Se24 curity Act (42 U.S.C. 1395nn(i)) is amended— 

25 (1) in paragraph (1)(A)— 


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1 (A) in the matter preceding clause (i), by 

2 striking ‘‘had’’; 

3 (B) in clause (i), by inserting ‘‘had’’ before 

4 ‘‘physician ownership’’; and 

5 (C) by amending clause (ii) to read as fol6 lows: 

7 ‘‘(ii) either— 

8 ‘‘(I) had a provider agreement 

9 under section 1866 in effect on such 

10 date; or 

11 ‘‘(II) was under construction on 

12 such date.’’; and 

13 (2) in paragraph (3)— 

14 (A) by amending subparagraph (E) to read 

15 as follows: 

16 ‘‘(E) APPLICABLE HOSPITAL.—In this 

17 paragraph, the term ‘applicable hospital’ means 

18 a hospital that does not discriminate against 

19 beneficiaries of Federal health care programs 

20 and does not permit physicians practicing at 

21 the hospital to discriminate against such bene22 ficiaries.’’; and 

23 (B) in subparagraph (F)(iii), by striking 

24 ‘‘subparagraph (E)(iii)’’ and inserting ‘‘sub25 paragraph (E)’’. 


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1 (b) EFFECTIVE DATE.—The amendments made by 

2 subsection (a) shall be effective as if as if included in the 

3 enactment of subsection (i) of section 1877 of the Social 

4 Security Act (42 U.S.C. 1395nn). 

5 PART 3—OFFSETS 

6 SEC. 2221. ADJUSTMENTS TO MAXIMUM THRESHOLDS FOR 

7 RECAPTURING OVERPAYMENTS RESULTING 

8 FROM CERTAIN FEDERALLY-SUBSIDIZED 

9 HEALTH INSURANCE. 

10 The table specified in clause (i) of section 

11 36B(f)(2)(B) of the Internal Revenue Code of 1986 is 

12 amended to read as follows: 

‘‘If the household income (expressed as 

a percent of poverty line) is: The applicable dollar amount is: 

Less than 100 percent $600 

At least 100 percent and less than 150 

percent 

$800 

At least 150 percent but less than 200 

percent 

$1,000 

At least 200 percent but less than 250 

percent 

$1,500 

At least 250 percent but less than 300 

percent 

$2,200 

At least 300 percent but less than 350 

percent 

$2,500 

At least 350 percent but less than 400 

percent 

$3,200.’’. 

13 SEC. 2222. PREVENTION AND PUBLIC HEALTH FUND. 

14 Section 4002(b) of the Patient Protection and Af15 fordable Care Act (42 U.S.C. 300u–11(b)) is amended— 

16 (1) in paragraph (3), by adding at the end 

17 ‘‘and’’; and 


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1 (2) by striking each of paragraphs (4) through 

2 (6) and inserting the following: 

3 ‘‘(4) for fiscal year 2013 and each subsequent 

4 fiscal year, $640,000,000.’’. 

5 SEC. 2223. PARITY IN MEDICARE PAYMENTS FOR HOSPITAL 

6 OUTPATIENT DEPARTMENT EVALUATION 

7 AND MANAGEMENT OFFICE VISIT SERVICES. 

8 Section 1833(t) of the Social Security Act (42 U.S.C. 

9 1395l(t)) is amended— 

10 (1) in paragraph (3)— 

11 (A) in subparagraph (D), by striking ‘‘The 

12 Secretary’’ and inserting ‘‘Subject to subpara13 graph (H), the Secretary’’; and 

14 (B) by adding at the end the following new 

15 subparagraph: 

16 ‘‘(H) PARITY IN FEE SCHEDULE AMOUNT

17 FOR SPECIFIED EVALUATION AND MANAGE18 MENT SERVICES.— 

19 ‘‘(i) IN GENERAL.—In the case of cov20 ered OPD services that are specified eval21 uation and management services furnished 

22 during 2012 or a subsequent year, there 

23 shall be substituted for the medicare OPD 

24 fee schedule amount established under sub25 paragraph (D) for such services and year, 


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1 before application of any geographic or 

2 other adjustment, an amount equal to the 

3 product of the conversion factor estab4 lished under section 1848(d) for such year 

5 and the amount by which— 

6 ‘‘(I) the non-facility practice ex7 pense relative value units under the 

8 fee schedule under section 1848 for 

9 such year for physicians’ services that 

10 are such specified evaluation and 

11 management services; exceeds 

12 ‘‘(II) the facility practice expense 

13 relative value unit under such fee 

14 schedule for such year and services. 

15 ‘‘(ii) BUDGET NEUTRALITY.—In de16 termining the adjustments under para17 graph (9)(B) for 2012 or a subsequent 

18 year, the Secretary shall not take into ac19 count under such paragraph or paragraph 

20 (2)(E) any changes in expenditures that 

21 result from the application of this subpara22 graph. 

23 ‘‘(iii) SPECIFIED EVALUATION AND

24 MANAGEMENT SERVICES DEFINED.—For 

25 the purposes of this subparagraph, the 


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1 term ‘specified evaluation and management 

2 services’ means the HCPCS codes in the 

3 range 99201 through 99215 as of January 

4 1, 2011 (and such codes as subsequently 

5 modified by the Secretary).’’; and 

6 (2) in paragraph (9)(B), by striking ‘‘If the 

7 Secretary’’ and inserting ‘‘Subject to paragraph 

8 (3)(H)(ii), if the Secretary’’. 

9 SEC. 2224. REDUCTION OF BAD DEBT TREATED AS AN AL10 LOWABLE COST. 

11 (a) HOSPITALS.—Section 1861(v)(1)(T) of the Social 

12 Security Act (42 U.S.C. 1395x(v)(1)(T)) is amended— 

13 (1) in clause (iii), by striking ‘‘and’’ at the end; 

14 (2) in clause (iv)— 

15 (A) by striking ‘‘a subsequent fiscal year’’ 

16 and inserting ‘‘fiscal years 2001 through 

17 2012’’; and 

18 (B) by striking the period at the end and 

19 inserting ‘‘, and’’; and 

20 (3) by adding at the end the following: 

21 ‘‘(v) for cost reporting periods begin22 ning during fiscal year 2013, by 35 per23 cent of such amount otherwise allowable, 

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1 cent of such amount otherwise allowable, 

2 and 

3 ‘‘(vii) for cost reporting periods begin4 ning during a subsequent fiscal year, by 45 

5 percent of such amount otherwise allow6 able.’’. 

7 (b) SKILLED NURSING FACILITIES.—Section 

8 1861(v)(1)(V) of such Act (42 U.S.C. 1395x(v)(1)(V)) is 

9 amended— 

10 (1) in the matter preceding clause (i), by strik11 ing ‘‘with respect to cost reporting periods beginning 

12 on or after October 1, 2005’’ and inserting ‘‘and 

13 (beginning with respect to cost reporting periods be14 ginning during fiscal year 2013) for covered skilled 

15 nursing services described in section 1888(e)(2)(A) 

16 furnished by hospital providers of extended care 

17 services (as described in section 1883)’’; 

18 (2) in clause (i), by striking ‘‘reduced by’’ and 

19 all that follows through ‘‘allowable; and’’ and insert20 ing the following: ‘‘reduced by— 

21 ‘‘(I) for cost reporting periods be22 ginning on or after October 1, 2005, 

23 but before fiscal year 2013, 30 per24 cent of such amount otherwise allow25 able; 


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1 ‘‘(II) for cost reporting periods 

2 beginning during fiscal year 2013, by 

3 35 percent of such amount otherwise 

4 allowable; 

5 ‘‘(III) for cost reporting periods 

6 beginning during fiscal year 2014, by 

7 40 percent of such amount otherwise 

8 allowable; and 

9 ‘‘(IV) for cost reporting periods 

10 beginning during a subsequent fiscal 

11 year, by 45 percent of such amount 

12 otherwise allowable; and’’; and 

13 (3) in clause (ii), by striking ‘‘such section shall 

14 not be reduced.’’ and inserting ‘‘such section— 

15 ‘‘(I) for cost reporting periods be16 ginning on or after October 1, 2005, 

17 but before fiscal year 2013, shall not 

18 be reduced; 

19 ‘‘(II) for cost reporting periods 

20 beginning during fiscal year 2013, 

21 shall be reduced by 15 percent of such 

22 amount otherwise allowable; 

23 ‘‘(III) for cost reporting periods 

24 beginning during fiscal year 2014, 


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1 shall be reduced by 30 percent of such 

2 amount otherwise allowable; and 

3 ‘‘(IV) for cost reporting periods 

4 beginning during a subsequent fiscal 

5 year, shall be reduced by 45 percent 

6 of such amount otherwise allowable.’’. 

7 (c) CERTAIN OTHER PROVIDERS.—Section 

8 1861(v)(1) of such Act (42 U.S.C. 1395x(v)(1)) is amend9 ed by adding at the end the following new subparagraph: 

10 ‘‘(W)(i) In determining such reasonable costs for pro11 viders described in clause (ii), the amount of bad debts 

12 otherwise treated as allowable costs which are attributable 

13 to deductibles and coinsurance amounts under this title 

14 shall be reduced— 

15 ‘‘(I) for cost reporting periods beginning during 

16 fiscal year 2013, by 15 percent of such amount oth17 erwise allowable; 

18 ‘‘(II) for cost reporting periods beginning dur19 ing fiscal year 2014, by 30 percent of such amount 

20 otherwise allowable; and 

21 ‘‘(III) for cost reporting periods beginning dur22 ing a subsequent fiscal year, by 45 percent of such 

23 amount otherwise allowable. 

24 ‘‘(ii) A provider described in this clause is a provider 

25 of services not described in subparagraph (T) or (V), a 


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1 supplier, or any other type of entity that receives payment 

2 for bad debts under the authority under subparagraph 

3 (A).’’. 

4 (d) CONFORMING AMENDMENT FOR HOSPITAL SERV5 ICES.—Section 4008(c) of the Omnibus Budget Reconcili6 ation Act of 1987, as amended by section 8402 of the 

7 Technical and Miscellaneous Revenue Act of 1988 and 

8 section 6023 of the Omnibus Budget Reconciliation Act 

9 of 1989, is amended by adding at the end the following 

10 new sentence: ‘‘Effective for cost reporting periods begin11 ning on or after October 1, 2012, the provisions of the 

12 previous two sentences shall not apply.’’. 

13 SEC. 2225. REBASING OF STATE DSH ALLOTMENTS FOR FIS14 CAL YEAR 2021. 

15 Section 1923(f) of the Social Security Act (42 U.S.C. 

16 1396r–4(f)) is amended— 

17 (1) by redesignating paragraph (8) as para18 graph (9); 

19 (2) in paragraph (3)(A) by striking ‘‘para20 graphs (6) and (7)’’ and inserting ‘‘paragraphs (6), 

21 (7), and (8)’’; and 

22 (3) by inserting after paragraph (7) the fol23 lowing new paragraph: 

24 ‘‘(8) REBASING OF STATE DSH ALLOTMENTS

25 FOR FISCAL YEAR 2021.—With respect to fiscal 2021 


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1 and each subsequent fiscal year, for purposes of ap2 plying paragraph (3)(A) to determine the DSH al3 lotment for a State, the amount of the DSH allot4 ment for the State under paragraph (3) for fiscal 

5 year 2020 shall be treated as if it were such amount 

6 as reduced under paragraph (7).’’. 

7 Subtitle D—TANF Extension 

8 SEC. 2301. SHORT TITLE. 

9 This subtitle may be cited as the ‘‘Welfare Integrity 

10 and Data Improvement Act’’. 

11 SEC. 2302. EXTENSION OF PROGRAM. 

12 (a) FAMILY ASSISTANCE GRANTS.—Section 

13 403(a)(1) of the Social Security Act (42 U.S.C. 603(a)(1)) 

14 is amended— 

15 (1) in subparagraph (A), by striking ‘‘each of 

16 fiscal years 1996’’ and all that follows through 

17 ‘‘2003’’ and inserting ‘‘fiscal year 2012’’; 

18 (2) in subparagraph (B)— 

19 (A) by inserting ‘‘(as in effect just before 

20 the enactment of the Welfare Integrity and 

21 Data Improvement Act)’’ after ‘‘this para22 graph’’ the 1st place it appears; and 

23 (B) by inserting ‘‘(as so in effect)’’ after 

24 ‘‘this paragraph’’ the 2nd place it appears; and 


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1 (3) in subparagraph (C), by striking ‘‘2003’’ 

2 and inserting ‘‘2012’’. 

3 (b) HEALTHY MARRIAGE PROMOTION AND RESPON4 SIBLE FATHERHOOD GRANTS.—Section 403(a)(2)(D) of 

5 such Act (42 U.S.C. 603(a)(2)(D)) is amended by striking 

6 ‘‘2011’’ and inserting ‘‘2012’’. 

7 (c) MAINTENANCE OF EFFORT REQUIREMENT.— 

8 Section 409(a)(7) of such Act (42 U.S.C. 609(a)(7)) is 

9 amended— 

10 (1) in subparagraph (A), by striking ‘‘fiscal 

11 year’’ and all that follows through ‘‘2012’’ and in12 serting ‘‘a fiscal year’’; and 

13 (2) in subparagraph (B)(ii)— 

14 (A) by striking ‘‘for fiscal years 1997 

15 through 2011,’’; and 

16 (B) by striking ‘‘407(a) for the fiscal 

17 year,’’ and inserting ‘‘407(a),’’. 

18 (d) TRIBAL GRANTS.—Section 412(a) of such Act 

19 (42 U.S.C. 612(a)) is amended in each of paragraphs 

20 (1)(A) and (2)(A) by striking ‘‘each of fiscal years 1997’’ 

21 and all that follows through ‘‘2003’’ and inserting ‘‘fiscal 

22 year 2012’’. 

23 (e) STUDIES AND DEMONSTRATIONS.—Section 

24 413(h)(1) of such Act (42 U.S.C. 613(h)(1)) is amended 


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1 by striking ‘‘each of fiscal years 1997 through 2002’’ and 

2 inserting ‘‘fiscal year 2012’’. 

3 (f) CENSUS BUREAU STUDY.—Section 414(b) of 

4 such Act (42 U.S.C. 614(b)) is amended by striking ‘‘each 

5 of fiscal years 1996’’ and all that follows through ‘‘2003’’ 

6 and inserting ‘‘fiscal year 2012’’. 

7 (g) CHILD CARE ENTITLEMENT.—Section 418(a)(3) 

8 of such Act (42 U.S.C. 618(a)(3)) is amended by striking 

9 ‘‘appropriated’’ and all that follows and inserting ‘‘appro10 priated $2,917,000,000 for fiscal year 2012.’’. 

11 (h) GRANTS TO TERRITORIES.—Section 1108(b)(2) 

12 of such Act (42 U.S.C. 1308(b)(2)) is amended by striking 

13 ‘‘for fiscal years 1997 through 2003’’ and inserting ‘‘fiscal 

14 year 2012’’. 

15 (i) PREVENTION OF DUPLICATE APPROPRIATIONS

16 FOR FISCAL YEAR 2012.—Expenditures made pursuant 

17 to the Short-Term TANF Extension Act (Public Law 

18 112–35) or section 403(b) of the Social Security Act for 

19 fiscal year 2012 shall be charged to the applicable appro20 priation or authorization provided by the amendments 

21 made by this section for such fiscal year. 

22 (j) EFFECTIVE DATE.—This section and the amend23 ments made by this section shall take effect on the date 

24 of the enactment of this Act. 


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1 SEC. 2303. DATA STANDARDIZATION. 

2 (a) IN GENERAL.—Section 411 of the Social Security 

3 Act (42 U.S.C. 611) is amended by adding at the end the 

4 following: 

5 ‘‘(d) DATA STANDARDIZATION.— 

6 ‘‘(1) STANDARD DATA ELEMENTS.— 

7 ‘‘(A) DESIGNATION.—The Secretary, in 

8 consultation with an interagency work group 

9 which shall be established by the Office of Man10 agement and Budget, and considering State 

11 and tribal perspectives, shall, by rule, designate 

12 standard data elements for any category of in13 formation required to be reported under this 

14 part. 

15 ‘‘(B) REQUIREMENTS.—In designating the 

16 standard data elements, the Secretary shall, to 

17 the extent practicable— 

18 ‘‘(i) ensure that the data elements are 

19 nonproprietary and interoperable; 

20 ‘‘(ii) incorporate interoperable stand21 ards developed and maintained by an inter22 national voluntary consensus standards 

23 body, as defined by the Office of Manage24 ment and Budget, such as the Inter25 national Organization for Standardization; 


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1 ‘‘(iii) incorporate interoperable stand2 ards developed and maintained by inter3 governmental partnerships, such as the 

4 National Information Exchange Model; 

5 and 

6 ‘‘(iv) incorporate interoperable stand7 ards developed and maintained by Federal 

8 entities with authority over contracting 

9 and financial assistance, such as the Fed10 eral Acquisition Regulatory Council. 

11 ‘‘(2) DATA REPORTING STANDARDS.— 

12 ‘‘(A) DESIGNATION.—The Secretary, in 

13 consultation with an interagency work group es14 tablished by the Office of Management and 

15 Budget, and considering State and tribal per16 spectives, shall, by rule, designate standards to 

17 govern the data reporting required under this 

18 part. 

19 ‘‘(B) REQUIREMENTS.—In designating the 

20 data reporting standards, the Secretary shall, to 

21 the extent practicable, incorporate existing non22 proprietary standards, such as the eXtensible 

23 Business Reporting Language. Such standards 

24 shall, to the extent practicable— 


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1 ‘‘(i) incorporate a widely-accepted, 

2 nonproprietary, searchable, computer-read3 able format; 

4 ‘‘(ii) be consistent with and implement 

5 applicable accounting principles; and 

6 ‘‘(iii) be capable of being continually 

7 upgraded as necessary.’’. 

8 (b) APPLICABILITY.—The amendments made by this 

9 subsection shall apply with respect to information required 

10 to be reported on or after October 1, 2012. 

11 SEC. 2304. SPENDING POLICIES FOR ASSISTANCE UNDER 

12 STATE TANF PROGRAMS. 

13 (a) STATE REQUIREMENT.—Section 408(a) of the 

14 Social Security Act (42 U.S.C. 608(a)) is amended by add15 ing at the end the following: 

16 ‘‘(12) STATE REQUIREMENT TO PREVENT UN17 AUTHORIZED SPENDING OF BENEFITS.— 

18 ‘‘(A) IN GENERAL.—A State to which a 

19 grant is made under section 403 shall maintain 

20 policies and practices as necessary to prevent 

21 assistance provided under the State program 

22 funded under this part from being used in any 

23 transaction in— 

24 ‘‘(i) any liquor store; 


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1 ‘‘(ii) any casino, gambling casino, or 

2 gaming establishment; or 

3 ‘‘(iii) any retail establishment which 

4 provides adult-oriented entertainment in 

5 which performers disrobe or perform in an 

6 unclothed state for entertainment. 

7 ‘‘(B) DEFINITIONS.—For purposes of sub8 paragraph (A)— 

9 ‘‘(i) LIQUOR STORE.—The term ‘liq10 uor store’ means any retail establishment 

11 which sells exclusively or primarily intoxi12 cating liquor. Such term does not include 

13 a grocery store which sells both intoxi14 cating liquor and groceries including staple 

15 foods (within the meaning of section 3(r) 

16 of the Food and Nutrition Act of 2008 (7 

17 U.S.C. 2012(r))). 

18 ‘‘(ii) CASINO, GAMBLING CASINO, OR

19 GAMING ESTABLISHMENT.—The terms ‘ca20 sino’, ‘gambling casino’, and ‘gaming es21 tablishment’ do not include a grocery store 

22 which sells groceries including such staple 

23 foods and which also offers, or is located 

24 within the same building or complex as, ca25 sino, gambling, or gaming activities.’’. 


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1 (b) PENALTY.—Section 409(a) of such Act (42 

2 U.S.C. 609(a)) is amended by adding at the end the fol3 lowing: 

4 ‘‘(16) PENALTY FOR FAILURE TO ENFORCE

5 SPENDING POLICIES.— 

6 ‘‘(A) IN GENERAL.—If, within 2 years 

7 after the date of the enactment of this para8 graph, any State has not reported to the Sec9 retary on such State’s implementation of the 

10 policies and practices required by section 

11 408(a)(12), or the Secretary determines that 

12 any State has not implemented and maintained 

13 such policies and practices, the Secretary shall 

14 reduce, by an amount equal to 5 percent of the 

15 State family assistance grant, the grant payable 

16 to such State under section 403(a)(1) for— 

17 ‘‘(i) the fiscal year immediately suc18 ceeding the year in which such 2-year pe19 riod ends; and 

20 ‘‘(ii) each succeeding fiscal year in 

21 which the State does not demonstrate that 

22 such State has implemented and main23 tained such policies and practices. 

24 ‘‘(B) REDUCTION OF APPLICABLE PEN25 ALTY.—The Secretary may reduce the amount 


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1 of the reduction required under subparagraph 

2 (A) based on the degree of noncompliance of 

3 the State. 

4 ‘‘(C) STATE NOT RESPONSIBLE FOR INDI5 VIDUAL VIOLATIONS.—Fraudulent activity by 

6 any individual in an attempt to circumvent the 

7 policies and practices required by section 

8 408(a)(12) shall not trigger a State penalty 

9 under subparagraph (A).’’. 

10 (c) CONFORMING AMENDMENT.—Section 409(c)(4) 

11 of such Act (42 U.S.C. 609(c)(4)) is amended by striking 

12 ‘‘or (13)’’ and inserting ‘‘(13), or (16)’’. 

13 SEC. 2305. TECHNICAL CORRECTIONS. 

14 (a) Section 404(d)(1)(A) of the Social Security Act 

15 (42 U.S.C. 604(d)(1)(A)) is amended by striking ‘‘subtitle 

16 1 of Title’’ and inserting ‘‘Subtitle A of title’’. 

17 (b) Sections 407(c)(2)(A)(i) and 409(a)(3)(C) of 

18 such Act (42 U.S.C. 607(c)(2)(A)(i) and 609(a)(3)(C)) 

19 are each amended by striking ‘‘403(b)(6)’’ and inserting 

20 ‘‘403(b)(5)’’. 

21 (c) Section 409(a)(2)(A) of such Act (42 U.S.C. 

22 609(a)(2)(A)) is amended by moving clauses (i) and (ii) 

23 2 ems to the right. 


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1 (d) Section 409(c)(2) of such Act (42 U.S.C. 

2 609(c)(2)) is amended by inserting a comma after ‘‘appro3 priate’’. 

4 (e) Section 411(a)(1)(A)(ii)(III) of such Act (42 

5 U.S.C. 611(a)(1)(A)(ii)(III)) is amended by striking the 

6 last close parenthesis. 

7 TITLE III—FLOOD INSURANCE 

8 REFORM 

9 SEC. 3001. SHORT TITLE. 

10 This title may be cited as the ‘‘Flood Insurance Re11 form Act of 2011’’. 

12 SEC. 3002. EXTENSIONS. 

13 (a) EXTENSION OF PROGRAM.—Section 1319 of the 

14 National Flood Insurance Act of 1968 (42 U.S.C. 4026) 

15 is amended by striking ‘‘September 30, 2011’’ and insert16 ing ‘‘September 30, 2016’’. 

17 (b) EXTENSION OF FINANCING.—Section 1309(a) of 

18 such Act (42 U.S.C. 4016(a)) is amended by striking 

19 ‘‘September 30, 2011’’ and inserting ‘‘September 30, 

20 2016’’. 

21 SEC. 3003. MANDATORY PURCHASE. 

22 (a) AUTHORITY TO TEMPORARILY SUSPEND MANDA23 TORY PURCHASE REQUIREMENT.— 

24 (1) IN GENERAL.—Section 102 of the Flood 

25 Disaster Protection Act of 1973 (42 U.S.C. 4012a) 


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1 is amended by adding at the end the following new 

2 subsection: 

3 ‘‘(i) AUTHORITY TO TEMPORARILY SUSPEND MAN4 DATORY PURCHASE REQUIREMENT.— 

5 ‘‘(1) FINDING BY ADMINISTRATOR THAT AREA

6 IS AN ELIGIBLE AREA.—For any area, upon a re7 quest submitted to the Administrator by a local gov8 ernment authority having jurisdiction over any por9 tion of the area, the Administrator shall make a 

10 finding of whether the area is an eligible area under 

11 paragraph (3). If the Administrator finds that such 

12 area is an eligible area, the Administrator shall, in 

13 the discretion of the Administrator, designate a pe14 riod during which such finding shall be effective, 

15 which shall not be longer in duration than 12 

16 months. 

17 ‘‘(2) SUSPENSION OF MANDATORY PURCHASE

18 REQUIREMENT.—If the Administrator makes a find19 ing under paragraph (1) that an area is an eligible 

20 area under paragraph (3), during the period speci21 fied in the finding, the designation of such eligible 

22 area as an area having special flood hazards shall 

23 not be effective for purposes of subsections (a), (b), 

24 and (e) of this section, and section 202(a) of this 

25 Act. Nothing in this paragraph may be construed to 


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1 prevent any lender, servicer, regulated lending insti2 tution, Federal agency lender, the Federal National 

3 Mortgage Association, or the Federal Home Loan 

4 Mortgage Corporation, at the discretion of such enti5 ty, from requiring the purchase of flood insurance 

6 coverage in connection with the making, increasing, 

7 extending, or renewing of a loan secured by im8 proved real estate or a mobile home located or to be 

9 located in such eligible area during such period or 

10 a lender or servicer from purchasing coverage on be11 half of a borrower pursuant to subsection (e). 

12 ‘‘(3) ELIGIBLE AREAS.—An eligible area under 

13 this paragraph is an area that is designated or will, 

14 pursuant to any issuance, revision, updating, or 

15 other change in flood insurance maps that takes ef16 fect on or after the date of the enactment of the 

17 Flood Insurance Reform Act of 2011, become des18 ignated as an area having special flood hazards and 

19 that meets any one of the following 3 requirements: 

20 ‘‘(A) AREAS WITH NO HISTORY OF SPE21 CIAL FLOOD HAZARDS.—The area does not in22 clude any area that has ever previously been 

23 designated as an area having special flood haz24 ards. 


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1 ‘‘(B) AREAS WITH FLOOD PROTECTION

2 SYSTEMS UNDER IMPROVEMENTS.—The area 

3 was intended to be protected by a flood protec4 tion system— 

5 ‘‘(i) that has been decertified, or is re6 quired to be certified, as providing protec7 tion for the 100-year frequency flood 

8 standard; 

9 ‘‘(ii) that is being improved, con10 structed, or reconstructed; and 

11 ‘‘(iii) for which the Administrator has 

12 determined measurable progress toward 

13 completion of such improvement, construc14 tion, reconstruction is being made and to15 ward securing financial commitments suffi16 cient to fund such completion. 

17 ‘‘(C) AREAS FOR WHICH APPEAL HAS

18 BEEN FILED.—An area for which a community 

19 has appealed designation of the area as having 

20 special flood hazards in a timely manner under 

21 section 1363. 

22 ‘‘(4) EXTENSION OF DELAY.—Upon a request 

23 submitted by a local government authority having 

24 jurisdiction over any portion of the eligible area, the 

25 Administrator may extend the period during which a 


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1 finding under paragraph (1) shall be effective, ex2 cept that— 

3 ‘‘(A) each such extension under this para4 graph shall not be for a period exceeding 12 

5 months; and 

6 ‘‘(B) for any area, the cumulative number 

7 of such extensions may not exceed 2. 

8 ‘‘(5) ADDITIONAL EXTENSION FOR COMMU9 NITIES MAKING MORE THAN ADEQUATE PROGRESS

10 ON FLOOD PROTECTION SYSTEM.— 

11 ‘‘(A) EXTENSION.— 

12 ‘‘(i) AUTHORITY.—Except as provided 

13 in subparagraph (B), in the case of an eli14 gible area for which the Administrator has, 

15 pursuant to paragraph (4), extended the 

16 period of effectiveness of the finding under 

17 paragraph (1) for the area, upon a request 

18 submitted by a local government authority 

19 having jurisdiction over any portion of the 

20 eligible area, if the Administrator finds 

21 that more than adequate progress has been 

22 made on the construction of a flood protec23 tion system for such area, as determined in 

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1 ance Act of 1968 (42 U.S.C. 4014(e)), the 

2 Administrator may, in the discretion of the 

3 Administrator, further extend the period 

4 during which the finding under paragraph 

5 (1) shall be effective for such area for an 

6 additional 12 months. 

7 ‘‘(ii) LIMIT.—For any eligible area, 

8 the cumulative number of extensions under 

9 this subparagraph may not exceed 2. 

10 ‘‘(B) EXCLUSION FOR NEW MORTGAGES.— 

11 ‘‘(i) EXCLUSION.—Any extension 

12 under subparagraph (A) of this paragraph 

13 of a finding under paragraph (1) shall not 

14 be effective with respect to any excluded 

15 property after the origination, increase, ex16 tension, or renewal of the loan referred to 

17 in clause (ii)(II) for the property. 

18 ‘‘(ii) EXCLUDED PROPERTIES.—For 

19 purposes of this subparagraph, the term 

20 ‘excluded property’ means any improved 

21 real estate or mobile home— 

22 ‘‘(I) that is located in an eligible 

23 area; and 

24 ‘‘(II) for which, during the period 

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1 graph (A) of this paragraph of a find2 ing under paragraph (1) is otherwise 

3 in effect for the eligible area in which 

4 such property is located— 

5 ‘‘(aa) a loan that is secured 

6 by the property is originated; or 

7 ‘‘(bb) any existing loan that 

8 is secured by the property is in9 creased, extended, or renewed. 

10 ‘‘(6) RULE OF CONSTRUCTION.—Nothing in 

11 this subsection may be construed to affect the appli12 cability of a designation of any area as an area hav13 ing special flood hazards for purposes of the avail14 ability of flood insurance coverage, criteria for land 

15 management and use, notification of flood hazards, 

16 eligibility for mitigation assistance, or any other pur17 pose or provision not specifically referred to in para18 graph (2). 

19 ‘‘(7) REPORTS.—The Administrator shall, in 

20 each annual report submitted pursuant to section 

21 1320, include information identifying each finding 

22 under paragraph (1) by the Administrator during 

23 the preceding year that an area is an area having 

24 special flood hazards, the basis for each such find25 ing, any extensions pursuant to paragraph (4) of the 


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1 periods of effectiveness of such findings, and the 

2 reasons for such extensions.’’. 

3 (2) NO REFUNDS.—Nothing in this subsection 

4 or the amendments made by this subsection may be 

5 construed to authorize or require any payment or re6 fund for flood insurance coverage purchased for any 

7 property that covered any period during which such 

8 coverage is not required for the property pursuant to 

9 the applicability of the amendment made by para10 graph (1). 

11 (b) TERMINATION OF FORCE-PLACED INSURANCE.— 

12 Section 102(e) of the Flood Disaster Protection Act of 

13 1973 (42 U.S.C. 4012a(e)) is amended— 

14 (1) in paragraph (2), by striking ‘‘insurance.’’ 

15 and inserting ‘‘insurance, including premiums or 

16 fees incurred for coverage beginning on the date on 

17 which flood insurance coverage lapsed or did not 

18 provide a sufficient coverage amount.’’; 

19 (2) by redesignating paragraphs (3) and (4) as 

20 paragraphs (5) and 6), respectively; and 

21 (3) by inserting after paragraph (2) the fol22 lowing new paragraphs: 

23 ‘‘(3) TERMINATION OF FORCE-PLACED INSUR24 ANCE.—Within 30 days of receipt by the lender or 

25 servicer of a confirmation of a borrower’s existing 


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1 flood insurance coverage, the lender or servicer 

2 shall— 

3 ‘‘(A) terminate the force-placed insurance; 

4 and 

5 ‘‘(B) refund to the borrower all force6 placed insurance premiums paid by the bor7 rower during any period during which the bor8 rower’s flood insurance coverage and the force9 placed flood insurance coverage were each in ef10 fect, and any related fees charged to the bor11 rower with respect to the force-placed insurance 

12 during such period. 

13 ‘‘(4) SUFFICIENCY OF DEMONSTRATION.—For 

14 purposes of confirming a borrower’s existing flood 

15 insurance coverage, a lender or servicer for a loan 

16 shall accept from the borrower an insurance policy 

17 declarations page that includes the existing flood in18 surance policy number and the identity of, and con19 tact information for, the insurance company or 

20 agent.’’. 

21 (c) USE OF PRIVATE INSURANCE TO SATISFY MAN22 DATORY PURCHASE REQUIREMENT.—Section 102(b) of 

23 the Flood Disaster Protection Act of 1973 (42 U.S.C. 

24 4012a(b)) is amended— 

25 (1) in paragraph (1)— 


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1 (A) by striking ‘‘lending institutions not to 

2 make’’ and inserting ‘‘lending institutions— 

3 ‘‘(A) not to make’’; 

4 (B) in subparagraph (A), as designated by 

5 subparagraph (A) of this paragraph, by striking 

6 ‘‘less.’’ and inserting ‘‘less; and’’; and 

7 (C) by adding at the end the following new 

8 subparagraph: 

9 ‘‘(B) to accept private flood insurance as 

10 satisfaction of the flood insurance coverage re11 quirement under subparagraph (A) if the cov12 erage provided by such private flood insurance 

13 meets the requirements for coverage under such 

14 subparagraph.’’; 

15 (2) in paragraph (2), by inserting after ‘‘pro16 vided in paragraph (1).’’ the following new sentence: 

17 ‘‘Each Federal agency lender shall accept private 

18 flood insurance as satisfaction of the flood insurance 

19 coverage requirement under the preceding sentence 

20 if the flood insurance coverage provided by such pri21 vate flood insurance meets the requirements for cov22 erage under such sentence.’’; 

23 (3) in paragraph (3), in the matter following 

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1 gage Association and the Federal Home Loan Mort2 gage Corporation shall accept private flood insurance 

3 as satisfaction of the flood insurance coverage re4 quirement under the preceding sentence if the flood 

5 insurance coverage provided by such private flood in6 surance meets the requirements for coverage under 

7 such sentence.’’; and 

8 (4) by adding at the end the following new 

9 paragraph: 

10 ‘‘(5) PRIVATE FLOOD INSURANCE DEFINED.— 

11 In this subsection, the term ‘private flood insurance’ 

12 means a contract for flood insurance coverage al13 lowed for sale under the laws of any State.’’. 

14 SEC. 3004. REFORMS OF COVERAGE TERMS. 

15 (a) MINIMUM DEDUCTIBLES FOR CLAIMS.—Section 

16 1312 of the National Flood Insurance Act of 1968 (42 

17 U.S.C. 4019) is amended— 

18 (1) by striking ‘‘The Director is’’ and inserting 

19 the following: ‘‘(a) IN GENERAL.—The Adminis20 trator is’’; and 

21 (2) by adding at the end the following: 

22 ‘‘(b) MINIMUM ANNUAL DEDUCTIBLES.— 

23 ‘‘(1) SUBSIDIZED RATE PROPERTIES.—For any 

24 structure that is covered by flood insurance under 

25 this title, and for which the chargeable rate for such 


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1 coverage is less than the applicable estimated risk 

2 premium rate under section 1307(a)(1) for the area 

3 (or subdivision thereof) in which such structure is 

4 located, the minimum annual deductible for damage 

5 to or loss of such structure shall be $2,000. 

6 ‘‘(2) ACTUARIAL RATE PROPERTIES.—For any 

7 structure that is covered by flood insurance under 

8 this title, for which the chargeable rate for such cov9 erage is not less than the applicable estimated risk 

10 premium rate under section 1307(a)(1) for the area 

11 (or subdivision thereof) in which such structure is 

12 located, the minimum annual deductible for damage 

13 to or loss of such structure shall be $1,000.’’. 

14 (b) CLARIFICATION OF RESIDENTIAL AND COMMER15 CIAL COVERAGE LIMITS.—Section 1306(b) of the Na16 tional Flood Insurance Act of 1968 (42 U.S.C. 4013(b)) 

17 is amended— 

18 (1) in paragraph (2)— 

19 (A) by striking ‘‘in the case of any residen20 tial property’’ and inserting ‘‘in the case of any 

21 residential building designed for the occupancy 

22 of from one to four families’’; and 

23 (B) by striking ‘‘shall be made available to 

24 every insured upon renewal and every applicant 

25 for insurance so as to enable such insured or 


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1 applicant to receive coverage up to a total 

2 amount (including such limits specified in para3 graph (1)(A)(i)) of $250,000’’ and inserting 

4 ‘‘shall be made available, with respect to any 

5 single such building, up to an aggregate liability 

6 (including such limits specified in paragraph 

7 (1)(A)(i)) of $250,000’’; and 

8 (2) in paragraph (4)— 

9 (A) by striking ‘‘in the case of any nonresi10 dential property, including churches,’’ and in11 serting ‘‘in the case of any nonresidential build12 ing, including a church,’’; and 

13 (B) by striking ‘‘shall be made available to 

14 every insured upon renewal and every applicant 

15 for insurance, in respect to any single structure, 

16 up to a total amount (including such limit spec17 ified in subparagraph (B) or (C) of paragraph 

18 (1), as applicable) of $500,000 for each struc19 ture and $500,000 for any contents related to 

20 each structure’’ and inserting ‘‘shall be made 

21 available with respect to any single such build22 ing, up to an aggregate liability (including such 

23 limits specified in subparagraph (B) or (C) of 

24 paragraph (1), as applicable) of $500,000, and 

25 coverage shall be made available up to a total 


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1 of $500,000 aggregate liability for contents 

2 owned by the building owner and $500,000 ag3 gregate liability for each unit within the build4 ing for contents owned by the tenant’’. 

5 (c) INDEXING OF MAXIMUM COVERAGE LIMITS.— 

6 Subsection (b) of section 1306 of the National Flood In7 surance Act of 1968 (42 U.S.C. 4013(b)) is amended— 

8 (1) in paragraph (4), by striking ‘‘and’’ at the 

9 end; 

10 (2) in paragraph (5), by striking the period at 

11 the end and inserting ‘‘; and’’; 

12 (3) by redesignating paragraph (5) as para13 graph (7); and 

14 (4) by adding at the end the following new 

15 paragraph: 

16 ‘‘(8) each of the dollar amount limitations 

17 under paragraphs (2), (3), (4), (5), and (6) shall be 

18 adjusted effective on the date of the enactment of 

19 the Flood Insurance Reform Act of 2011, such ad20 justments shall be calculated using the percentage 

21 change, over the period beginning on September 30, 

22 1994, and ending on such date of enactment, in 

23 such inflationary index as the Administrator shall, 

24 by regulation, specify, and the dollar amount of such 

25 adjustment shall be rounded to the next lower dollar; 


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1 and the Administrator shall cause to be published in 

2 the Federal Register the adjustments under this 

3 paragraph to such dollar amount limitations; except 

4 that in the case of coverage for a property that is 

5 made available, pursuant to this paragraph, in an 

6 amount that exceeds the limitation otherwise appli7 cable to such coverage as specified in paragraph (2), 

8 (3), (4), (5), or (6), the total of such coverage shall 

9 be made available only at chargeable rates that are 

10 not less than the estimated premium rates for such 

11 coverage determined in accordance with section 

12 1307(a)(1).’’. 

13 (d) OPTIONAL COVERAGE FOR LOSS OF USE OF PER14 SONAL RESIDENCE AND BUSINESS INTERRUPTION.—Sub15 section (b) of section 1306 of the National Flood Insur16 ance Act of 1968 (42 U.S.C. 4013(b)), as amended by 

17 the preceding provisions of this section, is further amend18 ed by inserting after paragraph (4) the following new 

19 paragraphs: 

20 ‘‘(5) the Administrator may provide that, in the 

21 case of any residential property, each renewal or new 

22 contract for flood insurance coverage may provide 

23 not more than $5,000 aggregate liability per dwell24 ing unit for any necessary increases in living ex25 penses incurred by the insured when losses from a 


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1 flood make the residence unfit to live in, except 

2 that— 

3 ‘‘(A) purchase of such coverage shall be at 

4 the option of the insured; 

5 ‘‘(B) any such coverage shall be made 

6 available only at chargeable rates that are not 

7 less than the estimated premium rates for such 

8 coverage determined in accordance with section 

9 1307(a)(1); and 

10 ‘‘(C) the Administrator may make such 

11 coverage available only if the Administrator 

12 makes a determination and causes notice of 

13 such determination to be published in the Fed14 eral Register that— 

15 ‘‘(i) a competitive private insurance 

16 market for such coverage does not exist; 

17 and 

18 ‘‘(ii) the national flood insurance pro19 gram has the capacity to make such cov20 erage available without borrowing funds 

21 from the Secretary of the Treasury under 

22 section 1309 or otherwise; 

23 ‘‘(6) the Administrator may provide that, in the 

24 case of any commercial property or other residential 

25 property, including multifamily rental property, covVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00115 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 erage for losses resulting from any partial or total 

2 interruption of the insured’s business caused by 

3 damage to, or loss of, such property from a flood 

4 may be made available to every insured upon re5 newal and every applicant, up to a total amount of 

6 $20,000 per property, except that— 

7 ‘‘(A) purchase of such coverage shall be at 

8 the option of the insured; 

9 ‘‘(B) any such coverage shall be made 

10 available only at chargeable rates that are not 

11 less than the estimated premium rates for such 

12 coverage determined in accordance with section 

13 1307(a)(1); and 

14 ‘‘(C) the Administrator may make such 

15 coverage available only if the Administrator 

16 makes a determination and causes notice of 

17 such determination to be published in the Fed18 eral Register that— 

19 ‘‘(i) a competitive private insurance 

20 market for such coverage does not exist; 

21 and 

22 ‘‘(ii) the national flood insurance pro23 gram has the capacity to make such cov24 erage available without borrowing funds 


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1 from the Secretary of the Treasury under 

2 section 1309 or otherwise;’’. 

3 (e) PAYMENT OF PREMIUMS IN INSTALLMENTS FOR

4 RESIDENTIAL PROPERTIES.—Section 1306 of the Na5 tional Flood Insurance Act of 1968 (42 U.S.C. 4013) is 

6 amended by adding at the end the following new sub7 section: 

8 ‘‘(d) PAYMENT OF PREMIUMS IN INSTALLMENTS FOR

9 RESIDENTIAL PROPERTIES.— 

10 ‘‘(1) AUTHORITY.—In addition to any other 

11 terms and conditions under subsection (a), such reg12 ulations shall provide that, in the case of any resi13 dential property, premiums for flood insurance cov14 erage made available under this title for such prop15 erty may be paid in installments. 

16 ‘‘(2) LIMITATIONS.—In implementing the au17 thority under paragraph (1), the Administrator may 

18 establish increased chargeable premium rates and 

19 surcharges, and deny coverage and establish such 

20 other sanctions, as the Administrator considers nec21 essary to ensure that insureds purchase, pay for, 

22 and maintain coverage for the full term of a contract 

23 for flood insurance coverage or to prevent insureds 

24 from purchasing coverage only for periods during a 

25 year when risk of flooding is comparatively higher or 


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1 canceling coverage for periods when such risk is 

2 comparatively lower.’’. 

3 (f) EFFECTIVE DATE OF POLICIES COVERING PROP4 ERTIES AFFECTED BY FLOODS IN PROGRESS.—Para5 graph (1) of section 1306(c) of the National Flood Insur6 ance Act of 1968 (42 U.S.C. 4013(c)) is amended by add7 ing after the period at the end the following: ‘‘With respect 

8 to any flood that has commenced or is in progress before 

9 the expiration of such 30-day period, such flood insurance 

10 coverage for a property shall take effect upon the expira11 tion of such 30-day period and shall cover damage to such 

12 property occurring after the expiration of such period that 

13 results from such flood, but only if the property has not 

14 suffered damage or loss as a result of such flood before 

15 the expiration of such 30-day period.’’. 

16 SEC. 3005. REFORMS OF PREMIUM RATES. 

17 (a) INCREASE IN ANNUAL LIMITATION ON PREMIUM

18 INCREASES.—Section 1308(e) of the National Flood In19 surance Act of 1968 (42 U.S.C. 4015(e)) is amended by 

20 striking ‘‘10 percent’’ and inserting ‘‘20 percent’’. 

21 (b) PHASE-IN OF RATES FOR CERTAIN PROPERTIES

22 IN NEWLY MAPPED AREAS.— 

23 (1) IN GENERAL.—Section 1308 of the Na24 tional Flood Insurance Act of 1968 (42 U.S.C. 

25 4015) is amended— 


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1 (A) in subsection (a), in the matter pre2 ceding paragraph (1), by inserting ‘‘or notice’’ 

3 after ‘‘prescribe by regulation’’; 

4 (B) in subsection (c), by inserting ‘‘and 

5 subsection (g)’’ before the first comma; and 

6 (C) by adding at the end the following new 

7 subsection: 

8 ‘‘(g) 5-YEAR PHASE-IN OF FLOOD INSURANCE

9 RATES FOR CERTAIN PROPERTIES IN NEWLY MAPPED

10 AREAS.— 

11 ‘‘(1) 5-YEAR PHASE-IN PERIOD.—Notwith12 standing subsection (c) or any other provision of law 

13 relating to chargeable risk premium rates for flood 

14 insurance coverage under this title, in the case of 

15 any area that was not previously designated as an 

16 area having special flood hazards and that, pursuant 

17 to any issuance, revision, updating, or other change 

18 in flood insurance maps, becomes designated as such 

19 an area, during the 5-year period that begins, except 

20 as provided in paragraph (2), upon the date that 

21 such maps, as issued, revised, updated, or otherwise 

22 changed, become effective, the chargeable premium 

23 rate for flood insurance under this title with respect 

24 to any covered property that is located within such 

25 area shall be the rate described in paragraph (3). 


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1 ‘‘(2) APPLICABILITY TO PREFERRED RISK RATE

2 AREAS.—In the case of any area described in para3 graph (1) that consists of or includes an area that, 

4 as of date of the effectiveness of the flood insurance 

5 maps for such area referred to in paragraph (1) as 

6 so issued, revised, updated, or changed, is eligible 

7 for any reason for preferred risk rate method pre8 miums for flood insurance coverage and was eligible 

9 for such premiums as of the enactment of the Flood 

10 Insurance Reform Act of 2011, the 5-year period re11 ferred to in paragraph (1) for such area eligible for 

12 preferred risk rate method premiums shall begin 

13 upon the expiration of the period during which such 

14 area is eligible for such preferred risk rate method 

15 premiums. 

16 ‘‘(3) PHASE-IN OF FULL ACTUARIAL RATES.— 

17 With respect to any area described in paragraph (1), 

18 the chargeable risk premium rate for flood insurance 

19 under this title for a covered property that is located 

20 in such area shall be— 

21 ‘‘(A) for the first year of the 5-year period 

22 referred to in paragraph (1), the greater of— 

23 ‘‘(i) 20 percent of the chargeable risk 

24 premium rate otherwise applicable under 

25 this title to the property; and 


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1 ‘‘(ii) in the case of any property that, 

2 as of the beginning of such first year, is el3 igible for preferred risk rate method pre4 miums for flood insurance coverage, such 

5 preferred risk rate method premium for 

6 the property; 

7 ‘‘(B) for the second year of such 5-year pe8 riod, 40 percent of the chargeable risk premium 

9 rate otherwise applicable under this title to the 

10 property; 

11 ‘‘(C) for the third year of such 5-year pe12 riod, 60 percent of the chargeable risk premium 

13 rate otherwise applicable under this title to the 

14 property; 

15 ‘‘(D) for the fourth year of such 5-year pe16 riod, 80 percent of the chargeable risk premium 

17 rate otherwise applicable under this title to the 

18 property; and 

19 ‘‘(E) for the fifth year of such 5-year pe20 riod, 100 percent of the chargeable risk pre21 mium rate otherwise applicable under this title 

22 to the property. 

23 ‘‘(4) COVERED PROPERTIES.—For purposes of 

24 the subsection, the term ‘covered property’ means 


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1 any residential property occupied by its owner or a 

2 bona fide tenant as a primary residence.’’. 

3 (2) REGULATION OR NOTICE.—The Adminis4 trator of the Federal Emergency Management Agen5 cy shall issue an interim final rule or notice to im6 plement this subsection and the amendments made 

7 by this subsection as soon as practicable after the 

8 date of the enactment of this Act. 

9 (c) PHASE-IN OF ACTUARIAL RATES FOR CERTAIN

10 PROPERTIES.— 

11 (1) IN GENERAL.—Section 1308(c) of the Na12 tional Flood Insurance Act of 1968 (42 U.S.C. 

13 4015(c)) is amended— 

14 (A) by redesignating paragraph (2) as 

15 paragraph (7); and 

16 (B) by inserting after paragraph (1) the 

17 following new paragraphs: 

18 ‘‘(2) COMMERCIAL PROPERTIES.—Any nonresi19 dential property. 

20 ‘‘(3) SECOND HOMES AND VACATION HOMES.— 

21 Any residential property that is not the primary res22 idence of any individual. 

23 ‘‘(4) HOMES SOLD TO NEW OWNERS.—Any sin24 gle family property that— 


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1 ‘‘(A) has been constructed or substantially 

2 improved and for which such construction or 

3 improvement was started, as determined by the 

4 Administrator, before December 31, 1974, or 

5 before the effective date of the initial rate map 

6 published by the Administrator under para7 graph (2) of section 1360(a) for the area in 

8 which such property is located, whichever is 

9 later; and 

10 ‘‘(B) is purchased after the effective date 

11 of this paragraph, pursuant to section 

12 3005(c)(3)(A) of the Flood Insurance Reform 

13 Act of 2011. 

14 ‘‘(5) HOMES DAMAGED OR IMPROVED.—Any 

15 property that, on or after the date of the enactment 

16 of the Flood Insurance Reform Act of 2011, has ex17 perienced or sustained— 

18 ‘‘(A) substantial flood damage exceeding 

19 50 percent of the fair market value of such 

20 property; or 

21 ‘‘(B) substantial improvement exceeding 

22 30 percent of the fair market value of such 

23 property. 


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1 ‘‘(6) HOMES WITH MULTIPLE CLAIMS.—Any se2 vere repetitive loss property (as such term is defined 

3 in section 1366(j)).’’. 

4 (2) TECHNICAL AMENDMENTS.—Section 1308 

5 of the National Flood Insurance Act of 1968 (42 

6 U.S.C. 4015) is amended— 

7 (A) in subsection (c)— 

8 (i) in the matter preceding paragraph 

9 (1), by striking ‘‘the limitations provided 

10 under paragraphs (1) and (2)’’ and insert11 ing ‘‘subsection (e)’’; and 

12 (ii) in paragraph (1), by striking ‘‘, 

13 except’’ and all that follows through ‘‘sub14 section (e)’’; and 

15 (B) in subsection (e), by striking ‘‘para16 graph (2) or (3)’’ and inserting ‘‘paragraph 

17 (7)’’. 

18 (3) EFFECTIVE DATE AND TRANSITION.— 

19 (A) EFFECTIVE DATE.—The amendments 

20 made by paragraphs (1) and (2) shall apply be21 ginning upon the expiration of the 12-month 

22 period that begins on the date of the enactment 

23 of this Act, except as provided in subparagraph 

24 (B) of this paragraph. 


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1 (B) TRANSITION FOR PROPERTIES COV2 ERED BY FLOOD INSURANCE UPON EFFECTIVE

3 DATE.— 

4 (i) INCREASE OF RATES OVER TIME.— 

5 In the case of any property described in 

6 paragraph (2), (3), (4), (5), or (6) of sec7 tion 1308(c) of the National Flood Insur8 ance Act of 1968, as amended by para9 graph (1) of this subsection, that, as of the 

10 effective date under subparagraph (A) of 

11 this paragraph, is covered under a policy 

12 for flood insurance made available under 

13 the national flood insurance program for 

14 which the chargeable premium rates are 

15 less than the applicable estimated risk pre16 mium rate under section 1307(a)(1) of 

17 such Act for the area in which the prop18 erty is located, the Administrator of the 

19 Federal Emergency Management Agency 

20 shall increase the chargeable premium 

21 rates for such property over time to such 

22 applicable estimated risk premium rate 

23 under section 1307(a)(1). 

24 (ii) AMOUNT OF ANNUAL INCREASE.— 

25 Such increase shall be made by increasing 


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1 the chargeable premium rates for the prop2 erty (after application of any increase in 

3 the premium rates otherwise applicable to 

4 such property), once during the 12-month 

5 period that begins upon the effective date 

6 under subparagraph (A) of this paragraph 

7 and once every 12 months thereafter until 

8 such increase is accomplished, by 20 per9 cent (or such lesser amount as may be nec10 essary so that the chargeable rate does not 

11 exceed such applicable estimated risk pre12 mium rate or to comply with clause (iii)). 

13 (iii) PROPERTIES SUBJECT TO PHASE14 IN AND ANNUAL INCREASES.—In the case 

15 of any pre-FIRM property (as such term is 

16 defined in section 578(b) of the National 

17 Flood Insurance Reform Act of 1974), the 

18 aggregate increase, during any 12-month 

19 period, in the chargeable premium rate for 

20 the property that is attributable to this 

21 subparagraph or to an increase described 

22 in section 1308(e) of the National Flood 

23 Insurance Act of 1968 may not exceed 20 

24 percent. 


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1 (iv) FULL ACTUARIAL RATES.—The 

2 provisions of paragraphs (2), (3), (4), (5), 

3 and (6) of such section 1308(c) shall apply 

4 to such a property upon the accomplish5 ment of the increase under this subpara6 graph and thereafter. 

7 (d) PROHIBITION OF EXTENSION OF SUBSIDIZED

8 RATES TO LAPSED POLICIES.—Section 1308 of the Na9 tional Flood Insurance Act of 1968 (42 U.S.C. 4015), as 

10 amended by the preceding provisions of this title, is fur11 ther amended— 

12 (1) in subsection (e), by inserting ‘‘or sub13 section (h)’’ after ‘‘subsection (c)’’; and 

14 (2) by adding at the end the following new sub15 section: 

16 ‘‘(h) PROHIBITION OF EXTENSION OF SUBSIDIZED

17 RATES TO LAPSED POLICIES.—Notwithstanding any 

18 other provision of law relating to chargeable risk premium 

19 rates for flood insurance coverage under this title, the Ad20 ministrator shall not provide flood insurance coverage 

21 under this title for any property for which a policy for 

22 such coverage for the property has previously lapsed in 

23 coverage as a result of the deliberate choice of the holder 

24 of such policy, at a rate less than the applicable estimated 


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1 risk premium rates for the area (or subdivision thereof) 

2 in which such property is located.’’. 

3 (e) RECOGNITION OF STATE AND LOCAL FUNDING

4 FOR CONSTRUCTION, RECONSTRUCTION, AND IMPROVE5 MENT OF FLOOD PROTECTION SYSTEMS IN DETERMINA6 TION OF RATES.— 

7 (1) IN GENERAL.—Section 1307 of the Na8 tional Flood Insurance Act of 1968 (42 U.S.C. 

9 4014) is amended— 

10 (A) in subsection (e)— 

11 (i) in the first sentence, by striking 

12 ‘‘construction of a flood protection system’’ 

13 and inserting ‘‘construction, reconstruc14 tion, or improvement of a flood protection 

15 system (without respect to the level of Fed16 eral investment or participation)’’; and 

17 (ii) in the second sentence— 

18 (I) by striking ‘‘construction of a 

19 flood protection system’’ and inserting 

20 ‘‘construction, reconstruction, or im21 provement of a flood protection sys22 tem’’; and 

23 (II) by inserting ‘‘based on the 

24 present value of the completed sys25 tem’’ after ‘‘has been expended’’; and 


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1 (B) in subsection (f)— 

2 (i) in the first sentence in the matter 

3 preceding paragraph (1), by inserting 

4 ‘‘(without respect to the level of Federal 

5 investment or participation)’’ before the 

6 period at the end; 

7 (ii) in the third sentence in the matter 

8 preceding paragraph (1), by inserting ‘‘, 

9 whether coastal or riverine,’’ after ‘‘special 

10 flood hazard’’; and 

11 (iii) in paragraph (1), by striking ‘‘a 

12 Federal agency in consultation with the 

13 local project sponsor’’ and inserting ‘‘the 

14 entity or entities that own, operate, main15 tain, or repair such system’’. 

16 (2) REGULATIONS.—The Administrator of the 

17 Federal Emergency Management Agency shall pro18 mulgate regulations to implement this subsection 

19 and the amendments made by this subsection as 

20 soon as practicable, but not more than 18 months 

21 after the date of the enactment of this Act. Para22 graph (3) may not be construed to annul, alter, af23 fect, authorize any waiver of, or establish any excep24 tion to, the requirement under the preceding sen25 tence. 


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1 SEC. 3006. TECHNICAL MAPPING ADVISORY COUNCIL. 

2 (a) ESTABLISHMENT.—There is established a council 

3 to be known as the Technical Mapping Advisory Council 

4 (in this section referred to as the ‘‘Council’’). 

5 (b) MEMBERSHIP.— 

6 (1) IN GENERAL.—The Council shall consist 

7 of— 

8 (A) the Administrator of the Federal 

9 Emergency Management Agency (in this section 

10 referred to as the ‘‘Administrator’’), or the des11 ignee thereof; 

12 (B) the Director of the United States Geo13 logical Survey of the Department of the Inte14 rior, or the designee thereof; 

15 (C) the Under Secretary of Commerce for 

16 Oceans and Atmosphere, or the designee there17 of; 

18 (D) the commanding officer of the United 

19 States Army Corps of Engineers, or the des20 ignee thereof; 

21 (E) the chief of the Natural Resources 

22 Conservation Service of the Department of Ag23 riculture, or the designee thereof; 

24 (F) the Director of the United States Fish 

25 and Wildlife Service of the Department of the 

26 Interior, or the designee thereof; 


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1 (G) the Assistant Administrator for Fish2 eries of the National Oceanic and Atmospheric 

3 Administration of the Department of Com4 merce, or the designee thereof; and 

5 (H) 14 additional members to be appointed 

6 by the Administrator of the Federal Emergency 

7 Management Agency, who shall be— 

8 (i) an expert in data management; 

9 (ii) an expert in real estate; 

10 (iii) an expert in insurance; 

11 (iv) a member of a recognized regional 

12 flood and storm water management organi13 zation; 

14 (v) a representative of a State emer15 gency management agency or association 

16 or organization for such agencies; 

17 (vi) a member of a recognized profes18 sional surveying association or organiza19 tion; 

20 (vii) a member of a recognized profes21 sional mapping association or organization; 

22 (viii) a member of a recognized pro23 fessional engineering association or organi24 zation; 


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1 (ix) a member of a recognized profes2 sional association or organization rep3 resenting flood hazard determination firms; 

4 (x) a representative of State national 

5 flood insurance coordination offices; 

6 (xi) representatives of two local gov7 ernments, at least one of whom is a local 

8 levee flood manager or executive, des9 ignated by the Federal Emergency Man10 agement Agency as Cooperating Technical 

11 Partners; and 

12 (xii) representatives of two State gov13 ernments designated by the Federal Emer14 gency Management Agency as Cooperating 

15 Technical States. 

16 (2) QUALIFICATIONS.—Members of the Council 

17 shall be appointed based on their demonstrated 

18 knowledge and competence regarding surveying, car19 tography, remote sensing, geographic information 

20 systems, or the technical aspects of preparing and 

21 using flood insurance rate maps. In appointing 

22 members under paragraph (1)(H), the Administrator 

23 shall ensure that the membership of the Council has 

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1 atives from the States with coastline on the Gulf of 

2 Mexico and other States containing areas identified 

3 by the Administrator of the Federal Emergency 

4 Management Agency as at high-risk for flooding or 

5 special flood hazard areas. 

6 (c) DUTIES.— 

7 (1) NEW MAPPING STANDARDS.—Not later than 

8 the expiration of the 12-month period beginning 

9 upon the date of the enactment of this Act, the 

10 Council shall develop and submit to the Adminis11 trator and the Congress proposed new mapping 

12 standards for 100-year flood insurance rate maps 

13 used under the national flood insurance program 

14 under the National Flood Insurance Act of 1968. In 

15 developing such proposed standards the Council 

16 shall— 

17 (A) ensure that the flood insurance rate 

18 maps reflect true risk, including graduated risk 

19 that better reflects the financial risk to each 

20 property; such reflection of risk should be at 

21 the smallest geographic level possible (but not 

22 necessarily property-by-property) to ensure that 

23 communities are mapped in a manner that 

24 takes into consideration different risk levels 

25 within the community; 


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1 (B) ensure the most efficient generation, 

2 display, and distribution of flood risk data, 

3 models, and maps where practicable through 

4 dynamic digital environments using spatial 

5 database technology and the Internet; 

6 (C) ensure that flood insurance rate maps 

7 reflect current hydrologic and hydraulic data, 

8 current land use, and topography, incorporating 

9 the most current and accurate ground and 

10 bathymetric elevation data; 

11 (D) determine the best ways to include in 

12 such flood insurance rate maps levees, decerti13 fied levees, and areas located below dams, in14 cluding determining a methodology for ensuring 

15 that decertified levees and other protections are 

16 included in flood insurance rate maps and their 

17 corresponding flood zones reflect the level of 

18 protection conferred; 

19 (E) consider how to incorporate restored 

20 wetlands and other natural buffers into flood 

21 insurance rate maps, which may include wet22 lands, groundwater recharge areas, erosion 

23 zones, meander belts, endangered species habi24 tat, barrier islands and shoreline buffer fea25 tures, riparian forests, and other features; 


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1 (F) consider whether to use vertical posi2 tioning (as defined by the Administrator) for 

3 flood insurance rate maps; 

4 (G) ensure that flood insurance rate maps 

5 differentiate between a property that is located 

6 in a flood zone and a structure located on such 

7 property that is not at the same risk level for 

8 flooding as such property due to the elevation 

9 of the structure; 

10 (H) ensure that flood insurance rate maps 

11 take into consideration the best scientific data 

12 and potential future conditions (including pro13 jections for sea level rise); and 

14 (I) consider how to incorporate the new 

15 standards proposed pursuant to this paragraph 

16 in existing mapping efforts. 

17 (2) ONGOING DUTIES.—The Council shall, on 

18 an ongoing basis, review the mapping protocols de19 veloped pursuant to paragraph (1), and make rec20 ommendations to the Administrator when the Coun21 cil determines that mapping protocols should be al22 tered. 

23 (3) MEETINGS.—In carrying out its duties 

24 under this section, the Council shall consult with 

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1 nually, and shall seek input of all stakeholder inter2 ests including State and local representatives, envi3 ronmental and conservation organizations, insurance 

4 industry representatives, advocacy groups, planning 

5 organizations, and mapping organizations. 

6 (d) PROHIBITION ON COMPENSATION.—Members of 

7 the Council shall receive no additional compensation by 

8 reason of their service on the Council. 

9 (e) CHAIRPERSON.—The Administrator shall serve as 

10 the Chairperson of the Council. 

11 (f) STAFF.— 

12 (1) FEMA.—Upon the request of the Council, 

13 the Administrator may detail, on a nonreimbursable 

14 basis, personnel of the Federal Emergency Manage15 ment Agency to assist the Council in carrying out its 

16 duties. 

17 (2) OTHER FEDERAL AGENCIES.—Upon request 

18 of the Council, any other Federal agency that is a 

19 member of the Council may detail, on a non-reim20 bursable basis, personnel to assist the Council in 

21 carrying out its duties. 

22 (g) POWERS.—In carrying out this section, the Coun23 cil may hold hearings, receive evidence and assistance, pro24 vide information, and conduct research, as the Council 

25 considers appropriate. 


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1 (h) TERMINATION.—The Council shall terminate 

2 upon the expiration of the 5-year period beginning on the 

3 date of the enactment of this Act. 

4 (i) MORATORIUM ON FLOOD MAP CHANGES.— 

5 (1) MORATORIUM.—Except as provided in para6 graph (2) and notwithstanding any other provision 

7 of this title, the National Flood Insurance Act of 

8 1968, or the Flood Disaster Protection Act of 1973, 

9 during the period beginning upon the date of the en10 actment of this Act and ending upon the submission 

11 by the Council to the Administrator and the Con12 gress of the proposed new mapping standards re13 quired under subsection (c)(1), the Administrator 

14 may not make effective any new or updated rate 

15 maps for flood insurance coverage under the na16 tional flood insurance program that were not in ef17 fect for such program as of such date of enactment, 

18 or otherwise revise, update, or change the flood in19 surance rate maps in effect for such program as of 

20 such date. 

21 (2) LETTERS OF MAP CHANGE.—During the pe22 riod described in paragraph (1), the Administrator 

23 may revise, update, and change the flood insurance 

24 rate maps in effect for the national flood insurance 

25 program only pursuant to a letter of map change 


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1 (including a letter of map amendment, letter of map 

2 revision, and letter of map revision based on fill). 

3 SEC. 3007. FEMA INCORPORATION OF NEW MAPPING PRO4 TOCOLS. 

5 (a) NEW RATE MAPPING STANDARDS.—Not later 

6 than the expiration of the 6-month period beginning upon 

7 submission by the Technical Mapping Advisory Council 

8 under section 3006 of the proposed new mapping stand9 ards for flood insurance rate maps used under the national 

10 flood insurance program developed by the Council pursu11 ant to section 3006(c), the Administrator of the Federal 

12 Emergency Management Agency (in this section referred 

13 to as the ‘‘Administrator’’) shall establish new standards 

14 for such rate maps based on such proposed new standards 

15 and the recommendations of the Council. 

16 (b) REQUIREMENTS.—The new standards for flood 

17 insurance rate maps established by the Administrator pur18 suant to subsection (a) shall— 

19 (1) delineate and include in any such rate 

20 maps— 

21 (A) all areas located within the 100-year 

22 flood plain; and 

23 (B) areas subject to graduated and other 

24 risk levels, to the maximum extent possible; 

25 (2) ensure that any such rate maps— 


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1 (A) include levees, including decertified lev2 ees, and the level of protection they confer; 

3 (B) reflect current land use and topog4 raphy and incorporate the most current and ac5 curate ground level data; 

6 (C) take into consideration the impacts 

7 and use of fill and the flood risks associated 

8 with altered hydrology; 

9 (D) differentiate between a property that 

10 is located in a flood zone and a structure lo11 cated on such property that is not at the same 

12 risk level for flooding as such property due to 

13 the elevation of the structure; 

14 (E) identify and incorporate natural fea15 tures and their associated flood protection bene16 fits into mapping and rates; and 

17 (F) identify, analyze, and incorporate the 

18 impact of significant changes to building and 

19 development throughout any river or costal 

20 water system, including all tributaries, which 

21 may impact flooding in areas downstream; and 

22 (3) provide that such rate maps are developed 

23 on a watershed basis. 

24 (c) REPORT.—If, in establishing new standards for 

25 flood insurance rate maps pursuant to subsection (a) of 


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1 this section, the Administrator does not implement all of 

2 the recommendations of the Council made under the pro3 posed new mapping standards developed by the Council 

4 pursuant to section 3006(c), upon establishment of the 

5 new standards the Administrator shall submit a report to 

6 the Committee on Financial Services of the House of Rep7 resentatives and the Committee on Banking, Housing, and 

8 Urban Affairs of the Senate specifying which such rec9 ommendations were not adopted and explaining the rea10 sons such recommendations were not adopted. 

11 (d) IMPLEMENTATION.—The Administrator shall, not 

12 later than the expiration of the 6-month period beginning 

13 upon establishment of the new standards for flood insur14 ance rate maps pursuant to subsection (a) of this section, 

15 commence use of the new standards and updating of flood 

16 insurance rate maps in accordance with the new stand17 ards. Not later than the expiration of the 10-year period 

18 beginning upon the establishment of such new standards, 

19 the Administrator shall complete updating of all flood in20 surance rate maps in accordance with the new standards, 

21 subject to the availability of sufficient amounts for such 

22 activities provided in appropriation Acts. 

23 (e) TEMPORARY SUSPENSION OF MANDATORY PUR24 CHASE REQUIREMENT FOR CERTAIN PROPERTIES.— 


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1 (1) SUBMISSION OF ELEVATION CERTIFI2 CATE.—Subject to paragraphs (2) and (3) of this 

3 subsection, subsections (a), (b), and (e) of section 

4 102 of the Flood Disaster Protection Act of 1973 

5 (42 U.S.C. 4012a), and section 202(a) of such Act, 

6 shall not apply to a property located in an area des7 ignated as having a special flood hazard if the owner 

8 of such property submits to the Administrator an 

9 elevation certificate for such property showing that 

10 the lowest level of the primary residence on such 

11 property is at an elevation that is at least three feet 

12 higher than the elevation of the 100-year flood plain. 

13 (2) REVIEW OF CERTIFICATE.—The Adminis14 trator shall accept as conclusive each elevation cer15 tificate submitted under paragraph (1) unless the 

16 Administrator conducts a subsequent elevation sur17 vey and determines that the lowest level of the pri18 mary residence on the property in question is not at 

19 an elevation that is at least three feet higher than 

20 the elevation of the 100-year flood plain. The Ad21 ministrator shall provide any such subsequent ele22 vation survey to the owner of such property. 

23 (3) DETERMINATIONS FOR PROPERTIES ON

24 BORDERS OF SPECIAL FLOOD HAZARD AREAS.— 


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1 (A) EXPEDITED DETERMINATION.—In the 

2 case of any survey for a property submitted to 

3 the Administrator pursuant to paragraph (1) 

4 showing that a portion of the property is lo5 cated within an area having special flood haz6 ards and that a structure located on the prop7 erty is not located within such area having spe8 cial flood hazards, the Administrator shall expe9 ditiously process any request made by an owner 

10 of the property for a determination pursuant to 

11 paragraph (2) or a determination of whether 

12 the structure is located within the area having 

13 special flood hazards. 

14 (B) PROHIBITION OF FEE.—If the Admin15 istrator determines pursuant to subparagraph 

16 (A) that the structure on the property is not lo17 cated within the area having special flood haz18 ards, the Administrator shall not charge a fee 

19 for reviewing the flood hazard data and shall 

20 not require the owner to provide any additional 

21 elevation data. 

22 (C) SIMPLIFICATION OF REVIEW PROC23 ESS.—The Administrator shall collaborate with 

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1 paragraph (A) and to ensure that the review 

2 process provides for accurate determinations. 

3 (4) TERMINATION OF AUTHORITY.—This sub4 section shall cease to apply to a property on the date 

5 on which the Administrator updates the flood insur6 ance rate map that applies to such property in ac7 cordance with the requirements of subsection (d). 

8 SEC. 3008. TREATMENT OF LEVEES. 

9 Section 1360 of the National Flood Insurance Act of 

10 1968 (42 U.S.C. 4101) is amended by adding at the end 

11 the following new subsection: 

12 ‘‘(k) TREATMENT OF LEVEES.—The Administrator 

13 may not issue flood insurance maps, or make effective up14 dated flood insurance maps, that omit or disregard the 

15 actual protection afforded by an existing levee, floodwall, 

16 pump or other flood protection feature, regardless of the 

17 accreditation status of such feature.’’. 

18 SEC. 3009. PRIVATIZATION INITIATIVES. 

19 (a) FEMA AND GAO REPORTS.—Not later than the 

20 expiration of the 18-month period beginning on the date 

21 of the enactment of this Act, the Administrator of the 

22 Federal Emergency Management Agency and the Comp23 troller General of the United States shall each conduct a 

24 separate study to assess a broad range of options, meth25 ods, and strategies for privatizing the national flood insurVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00143 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 ance program and shall each submit a report to the Com2 mittee on Financial Services of the House of Representa3 tives and the Committee on Banking, Housing, and Urban 

4 Affairs of the Senate with recommendations for the best 

5 manner to accomplish such privatization. 

6 (b) PRIVATE RISK-MANAGEMENT INITIATIVES.— 

7 (1) AUTHORITY.—The Administrator of the 

8 Federal Emergency Management Agency may carry 

9 out such private risk-management initiatives under 

10 the national flood insurance program as the Admin11 istrator considers appropriate to determine the ca12 pacity of private insurers, reinsurers, and financial 

13 markets to assist communities, on a voluntary basis 

14 only, in managing the full range of financial risks 

15 associated with flooding. 

16 (2) ASSESSMENT.—Not later than the expira17 tion of the 12-month period beginning on the date 

18 of the enactment of this Act, the Administrator shall 

19 assess the capacity of the private reinsurance, cap20 ital, and financial markets by seeking proposals to 

21 assume a portion of the program’s insurance risk 

22 and submit to the Congress a report describing the 

23 response to such request for proposals and the re24 sults of such assessment. 


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1 (3) PROTOCOL FOR RELEASE OF DATA.—The 

2 Administrator shall develop a protocol to provide for 

3 the release of data sufficient to conduct the assess4 ment required under paragraph (2). 

5 (c) REINSURANCE.—The National Flood Insurance 

6 Act of 1968 is amended— 

7 (1) in section 1331(a)(2) (42 U.S.C. 

8 4051(a)(2)), by inserting ‘‘, including as reinsurance 

9 of insurance coverage provided by the flood insur10 ance program’’ before ‘‘, on such terms’’; 

11 (2) in section 1332(c)(2) (42 U.S.C. 

12 4052(c)(2)), by inserting ‘‘or reinsurance’’ after 

13 ‘‘flood insurance coverage’’; 

14 (3) in section 1335(a) (42 U.S.C. 4055(a))— 

15 (A) by inserting ‘‘(1)’’ after ‘‘(a)’’; and 

16 (B) by adding at the end the following new 

17 paragraph: 

18 ‘‘(2) The Administrator is authorized to secure rein19 surance coverage of coverage provided by the flood insur20 ance program from private market insurance, reinsurance, 

21 and capital market sources at rates and on terms deter22 mined by the Administrator to be reasonable and appro23 priate in an amount sufficient to maintain the ability of 

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1 hood that the program will utilize the borrowing authority 

2 provided under section 1309.’’; 

3 (4) in section 1346(a) (12 U.S.C. 4082(a))— 

4 (A) in the matter preceding paragraph (1), 

5 by inserting ‘‘, or for purposes of securing rein6 surance of insurance coverage provided by the 

7 program,’’ before ‘‘of any or all of’’; 

8 (B) in paragraph (1)— 

9 (i) by striking ‘‘estimating’’ and in10 serting ‘‘Estimating’’; and 

11 (ii) by striking the semicolon at the 

12 end and inserting a period; 

13 (C) in paragraph (2)— 

14 (i) by striking ‘‘receiving’’ and insert15 ing ‘‘Receiving’’; and 

16 (ii) by striking the semicolon at the 

17 end and inserting a period; 

18 (D) in paragraph (3)— 

19 (i) by striking ‘‘making’’ and inserting 

20 ‘‘Making’’; and 

21 (ii) by striking ‘‘; and’’ and inserting 

22 a period; 

23 (E) in paragraph (4)— 

24 (i) by striking ‘‘otherwise’’ and insert25 ing ‘‘Otherwise’’; and 


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1 (ii) by redesignating such paragraph 

2 as paragraph (5); and 

3 (F) by inserting after paragraph (3) the 

4 following new paragraph: 

5 ‘‘(4) Placing reinsurance coverage on insurance 

6 provided by such program.’’; and 

7 (5) in section 1370(a)(3) (42 U.S.C. 

8 4121(a)(3)), by inserting before the semicolon at the 

9 end the following: ‘‘, is subject to the reporting re10 quirements of the Securities Exchange Act of 1934, 

11 pursuant to section 13(a) or 15(d) of such Act (15 

12 U.S.C. 78m(a), 78o(d)), or is authorized by the Ad13 ministrator to assume reinsurance on risks insured 

14 by the flood insurance program’’. 

15 (d) ASSESSMENT OF CLAIMS-PAYING ABILITY.— 

16 (1) ASSESSMENT.—Not later than September 

17 30 of each year, the Administrator of the Federal 

18 Emergency Management Agency shall conduct an 

19 assessment of the claims-paying ability of the na20 tional flood insurance program, including the pro21 gram’s utilization of private sector reinsurance and 

22 reinsurance equivalents, with and without reliance 

23 on borrowing authority under section 1309 of the 

24 National Flood Insurance Act of 1968 (42 U.S.C. 

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1 trator shall take into consideration regional con2 centrations of coverage written by the program, peak 

3 flood zones, and relevant mitigation measures. 

4 (2) REPORT.—The Administrator shall submit 

5 a report to the Congress of the results of each such 

6 assessment, and make such report available to the 

7 public, not later than 30 days after completion of 

8 the assessment. 

9 SEC. 3010. FEMA ANNUAL REPORT ON INSURANCE PRO10 GRAM. 

11 Section 1320 of the National Flood Insurance Act of 

12 1968 (42 U.S.C. 4027) is amended— 

13 (1) in the section heading, by striking ‘‘REPORT

14 TO THE PRESIDENT’’ and inserting ‘‘ANNUAL RE15 PORT TO CONGRESS’’; 

16 (2) in subsection (a)— 

17 (A) by striking ‘‘biennially’’; 

18 (B) by striking ‘‘the President for submis19 sion to’’; and 

20 (C) by inserting ‘‘not later than June 30 

21 of each year’’ before the period at the end; 

22 (3) in subsection (b), by striking ‘‘biennial’’ and 

23 inserting ‘‘annual’’; and 

24 (4) by adding at the end the following new sub25 section: 


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1 ‘‘(c) FINANCIAL STATUS OF PROGRAM.—The report 

2 under this section for each year shall include information 

3 regarding the financial status of the national flood insur4 ance program under this title, including a description of 

5 the financial status of the National Flood Insurance Fund 

6 and current and projected levels of claims, premium re7 ceipts, expenses, and borrowing under the program.’’. 

8 SEC. 3011. MITIGATION ASSISTANCE. 

9 (a) MITIGATION ASSISTANCE GRANTS.—Section 

10 1366 of the National Flood Insurance Act of 1968 (42 

11 U.S.C. 4104c) is amended— 

12 (1) in subsection (a), by striking the last sen13 tence and inserting the following: ‘‘Such financial 

14 assistance shall be made available— 

15 ‘‘(1) to States and communities in the form of 

16 grants under this section for carrying out mitigation 

17 activities; 

18 ‘‘(2) to States and communities in the form of 

19 grants under this section for carrying out mitigation 

20 activities that reduce flood damage to severe repet21 itive loss structures; and 

22 ‘‘(3) to property owners in the form of direct 

23 grants under this section for carrying out mitigation 

24 activities that reduce flood damage to individual 

25 structures for which 2 or more claim payments for 


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1 losses have been made under flood insurance cov2 erage under this title if the Administrator, after con3 sultation with the State and community, determines 

4 that neither the State nor community in which such 

5 a structure is located has the capacity to manage 

6 such grants.’’; 

7 (2) by striking subsection (b); 

8 (3) in subsection (c)— 

9 (A) by striking ‘‘flood risk’’ and inserting 

10 ‘‘multi-hazard’’; 

11 (B) by striking ‘‘provides protection 

12 against’’ and inserting ‘‘examines reduction of’’; 

13 and 

14 (C) by redesignating such subsection as 

15 subsection (b); 

16 (4) by striking subsection (d); 

17 (5) in subsection (e)— 

18 (A) in paragraph (1), by striking the para19 graph designation and all that follows through 

20 the end of the first sentence and inserting the 

21 following: 

22 ‘‘(1) REQUIREMENT OF CONSISTENCY WITH AP23 PROVED MITIGATION PLAN.—Amounts provided 

24 under this section may be used only for mitigation 

25 activities that are consistent with mitigation plans 


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1 that are approved by the Administrator and identi2 fied under subparagraph (4).’’; 

3 (B) by striking paragraphs (2), (3), and 

4 (4) and inserting the following new paragraphs: 

5 ‘‘(2) REQUIREMENTS OF TECHNICAL FEASI6 BILITY, COST EFFECTIVENESS, AND INTEREST OF

7 NFIF.—The Administrator may approve only mitiga8 tion activities that the Administrator determines are 

9 technically feasible and cost-effective and in the in10 terest of, and represent savings to, the National 

11 Flood Insurance Fund. In making such determina12 tions, the Administrator shall take into consideration 

13 recognized benefits that are difficult to quantify. 

14 ‘‘(3) PRIORITY FOR MITIGATION ASSISTANCE.— 

15 In providing grants under this section for mitigation 

16 activities, the Administrator shall give priority for 

17 funding to activities that the Administrator deter18 mines will result in the greatest savings to the Na19 tional Flood Insurance Fund, including activities 

20 for— 

21 ‘‘(A) severe repetitive loss structures; 

22 ‘‘(B) repetitive loss structures; and 

23 ‘‘(C) other subsets of structures as the Ad24 ministrator may establish.’’; 

25 (C) in paragraph (5)— 


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1 (i) by striking all of the matter that 

2 precedes subparagraph (A) and inserting 

3 the following: 

4 ‘‘(4) ELIGIBLE ACTIVITIES.—Eligible ac5 tivities may include—’’; 

6 (ii) by striking subparagraphs (E) and 

7 (H); 

8 (iii) by redesignating subparagraphs 

9 (D), (F), and (G) as subparagraphs (E), 

10 (G), and (H); 

11 (iv) by inserting after subparagraph 

12 (C) the following new subparagraph: 

13 ‘‘(D) elevation, relocation, and 

14 floodproofing of utilities (including equipment 

15 that serve structures);’’; 

16 (v) by inserting after subparagraph 

17 (E), as so redesignated by clause (iii) of 

18 this subparagraph, the following new sub19 paragraph: 

20 ‘‘(F) the development or update of State, 

21 local, or Indian tribal mitigation plans which 

22 meet the planning criteria established by the 

23 Administrator, except that the amount from 

24 grants under this section that may be used 

25 under this subparagraph may not exceed 


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1 $50,000 for any mitigation plan of a State or 

2 $25,000 for any mitigation plan of a local gov3 ernment or Indian tribe;’’; 

4 (vi) in subparagraph (H); as so redes5 ignated by clause (iii) of this subpara6 graph, by striking ‘‘and’’ at the end; and 

7 (vii) by adding at the end the fol8 lowing new subparagraphs: 

9 ‘‘(I) other mitigation activities not de10 scribed in subparagraphs (A) through (G) or 

11 the regulations issued under subparagraph (H), 

12 that are described in the mitigation plan of a 

13 State, community, or Indian tribe; and 

14 ‘‘(J) personnel costs for State staff that 

15 provide technical assistance to communities to 

16 identify eligible activities, to develop grant ap17 plications, and to implement grants awarded 

18 under this section, not to exceed $50,000 per 

19 State in any Federal fiscal year, so long as the 

20 State applied for and was awarded at least 

21 $1,000,000 in grants available under this sec22 tion in the prior Federal fiscal year; the re23 quirements of subsections (d)(1) and (d)(2) 

24 shall not apply to the activity under this sub25 paragraph.’’; 


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1 (D) by adding at the end the following new 

2 paragraph: 

3 ‘‘(6) ELIGIBILITY OF DEMOLITION AND RE4 BUILDING OF PROPERTIES.—The Administrator 

5 shall consider as an eligible activity the demolition 

6 and rebuilding of properties to at least base flood 

7 elevation or greater, if required by the Administrator 

8 or if required by any State regulation or local ordi9 nance, and in accordance with criteria established by 

10 the Administrator.’’; and 

11 (E) by redesignating such subsection as 

12 subsection (c); 

13 (6) by striking subsections (f), (g), and (h) and 

14 inserting the following new subsection: 

15 ‘‘(d) MATCHING REQUIREMENT.—The Administrator 

16 may provide grants for eligible mitigation activities as fol17 lows: 

18 ‘‘(1) SEVERE REPETITIVE LOSS STRUCTURES.— 

19 In the case of mitigation activities to severe repet20 itive loss structures, in an amount up to 100 percent 

21 of all eligible costs. 

22 ‘‘(2) REPETITIVE LOSS STRUCTURES.—In the 

23 case of mitigation activities to repetitive loss struc24 tures, in an amount up to 90 percent of all eligible 

25 costs. 


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1 ‘‘(3) OTHER MITIGATION ACTIVITIES.—In the 

2 case of all other mitigation activities, in an amount 

3 up to 75 percent of all eligible costs.’’; 

4 (7) in subsection (i)— 

5 (A) in paragraph (2)— 

6 (i) by striking ‘‘certified under sub7 section (g)’’ and inserting ‘‘required under 

8 subsection (d)’’; and 

9 (ii) by striking ‘‘3 times the amount’’ 

10 and inserting ‘‘the amount’’; and 

11 (B) by redesignating such subsection as 

12 subsection (e); 

13 (8) in subsection (j)— 

14 (A) in paragraph (1), by striking ‘‘Riegle 

15 Community Development and Regulatory Im16 provement Act of 1994’’ and inserting ‘‘Flood 

17 Insurance Reform Act of 2011’’; 

18 (B) by redesignating such subsection as 

19 subsection (f); and 

20 (9) by striking subsections (k) and (m) and in21 serting the following new subsections: 

22 ‘‘(g) FAILURE TO MAKE GRANT AWARD WITHIN 5 

23 YEARS.—For any application for a grant under this sec24 tion for which the Administrator fails to make a grant 

25 award within 5 years of the date of application, the grant 


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1 application shall be considered to be denied and any fund2 ing amounts allocated for such grant applications shall re3 main in the National Flood Mitigation Fund under section 

4 1367 of this title and shall be made available for grants 

5 under this section. 

6 ‘‘(h) LIMITATION ON FUNDING FOR MITIGATION AC7 TIVITIES FOR SEVERE REPETITIVE LOSS STRUCTURES.— 

8 The amount used pursuant to section 1310(a)(8) in any 

9 fiscal year may not exceed $40,000,000 and shall remain 

10 available until expended. 

11 ‘‘(i) DEFINITIONS.—For purposes of this section, the 

12 following definitions shall apply: 

13 ‘‘(1) COMMUNITY.—The term ‘community’ 

14 means— 

15 ‘‘(A) a political subdivision that— 

16 ‘‘(i) has zoning and building code ju17 risdiction over a particular area having 

18 special flood hazards, and 

19 ‘‘(ii) is participating in the national 

20 flood insurance program; or 

21 ‘‘(B) a political subdivision of a State, or 

22 other authority, that is designated by political 

23 subdivisions, all of which meet the requirements 

24 of subparagraph (A), to administer grants for 


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1 mitigation activities for such political subdivi2 sions. 

3 ‘‘(2) REPETITIVE LOSS STRUCTURE.—The term 

4 ‘repetitive loss structure’ has the meaning given 

5 such term in section 1370. 

6 ‘‘(3) SEVERE REPETITIVE LOSS STRUCTURE.— 

7 The term ‘severe repetitive loss structure’ means a 

8 structure that— 

9 ‘‘(A) is covered under a contract for flood 

10 insurance made available under this title; and 

11 ‘‘(B) has incurred flood-related damage— 

12 ‘‘(i) for which 4 or more separate 

13 claims payments have been made under 

14 flood insurance coverage under this title, 

15 with the amount of each such claim ex16 ceeding $15,000, and with the cumulative 

17 amount of such claims payments exceeding 

18 $60,000; or 

19 ‘‘(ii) for which at least 2 separate 

20 claims payments have been made under 

21 such coverage, with the cumulative amount 

22 of such claims exceeding the value of the 

23 insured structure.’’. 

24 (b) ELIMINATION OF GRANTS PROGRAM FOR REPET25 ITIVE INSURANCE CLAIMS PROPERTIES.—Chapter I of 


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1 the National Flood Insurance Act of 1968 is amended by 

2 striking section 1323 (42 U.S.C. 4030). 

3 (c) ELIMINATION OF PILOT PROGRAM FOR MITIGA4 TION OF SEVERE REPETITIVE LOSS PROPERTIES.—Chap5 ter III of the National Flood Insurance Act of 1968 is 

6 amended by striking section 1361A (42 U.S.C. 4102a). 

7 (d) NATIONAL FLOOD INSURANCE FUND.—Section 

8 1310(a) of the National Flood Insurance Act of 1968 (42 

9 U.S.C. 4017(a)) is amended— 

10 (1) in paragraph (6), by inserting ‘‘and’’ after 

11 the semicolon; 

12 (2) in paragraph (7), by striking the semicolon 

13 and inserting a period; and 

14 (3) by striking paragraphs (8) and (9). 

15 (e) NATIONAL FLOOD MITIGATION FUND.—Section 

16 1367 of the National Flood Insurance Act of 1968 (42 

17 U.S.C. 4104d) is amended— 

18 (1) in subsection (b)— 

19 (A) by striking paragraph (1) and insert20 ing the following new paragraph: 

21 ‘‘(1) in each fiscal year, from the National 

22 Flood Insurance Fund in amounts not exceeding 

23 $90,000,000 to remain available until expended, of 

24 which— 


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1 ‘‘(A) not more than $40,000,000 shall be 

2 available pursuant to subsection (a) of this sec3 tion only for assistance described in section 

4 1366(a)(1); 

5 ‘‘(B) not more than $40,000,000 shall be 

6 available pursuant to subsection (a) of this sec7 tion only for assistance described in section 

8 1366(a)(2); and 

9 ‘‘(C) not more than $10,000,000 shall be 

10 available pursuant to subsection (a) of this sec11 tion only for assistance described in section 

12 1366(a)(3).’’; 

13 (B) in paragraph (3), by striking ‘‘section 

14 1366(i)’’ and inserting ‘‘section 1366(e)’’; 

15 (2) in subsection (c), by striking ‘‘sections 1366 

16 and 1323’’ and inserting ‘‘section 1366’’; 

17 (3) by redesignating subsections (d) and (e) as 

18 subsections (f) and (g), respectively; and 

19 (4) by inserting after subsection (c) the fol20 lowing new subsections: 

21 ‘‘(d) PROHIBITION ON OFFSETTING COLLECTIONS.— 

22 Notwithstanding any other provision of this title, amounts 

23 made available pursuant to this section shall not be sub24 ject to offsetting collections through premium rates for 

25 flood insurance coverage under this title. 


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1 ‘‘(e) CONTINUED AVAILABILITY AND REALLOCA2 TION.—Any amounts made available pursuant to subpara3 graph (A), (B), or (C) of subsection (b)(1) that are not 

4 used in any fiscal year shall continue to be available for 

5 the purposes specified in such subparagraph of subsection 

6 (b)(1) pursuant to which such amounts were made avail7 able, unless the Administrator determines that realloca8 tion of such unused amounts to meet demonstrated need 

9 for other mitigation activities under section 1366 is in the 

10 best interest of the National Flood Insurance Fund.’’. 

11 (f) INCREASED COST OF COMPLIANCE COVERAGE.— 

12 Section 1304(b)(4) of the National Flood Insurance Act 

13 of 1968 (42 U.S.C. 4011(b)(4)) is amended— 

14 (1) by striking subparagraph (B); and 

15 (2) by redesignating subparagraphs (C), (D), 

16 and (E) as subparagraphs (B), (C), and (D), respec17 tively. 

18 SEC. 3012. NOTIFICATION TO HOMEOWNERS REGARDING 

19 MANDATORY PURCHASE REQUIREMENT AP20 PLICABILITY AND RATE PHASE-INS. 

21 Section 201 of the Flood Disaster Protection Act of 

22 1973 (42 U.S.C. 4105) is amended by adding at the end 

23 the following new subsection: 

24 ‘‘(f) ANNUAL NOTIFICATION.—The Administrator, in 

25 consultation with affected communities, shall establish and 


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1 carry out a plan to notify residents of areas having special 

2 flood hazards, on an annual basis— 

3 ‘‘(1) that they reside in such an area; 

4 ‘‘(2) of the geographical boundaries of such 

5 area; 

6 ‘‘(3) of whether section 1308(g) of the National 

7 Flood Insurance Act of 1968 applies to properties 

8 within such area; 

9 ‘‘(4) of the provisions of section 102 requiring 

10 purchase of flood insurance coverage for properties 

11 located in such an area, including the date on which 

12 such provisions apply with respect to such area, tak13 ing into consideration section 102(i); and 

14 ‘‘(5) of a general estimate of what similar 

15 homeowners in similar areas typically pay for flood 

16 insurance coverage, taking into consideration section 

17 1308(g) of the National Flood Insurance Act of 

18 1968.’’. 

19 SEC. 3013. NOTIFICATION TO MEMBERS OF CONGRESS OF 

20 FLOOD MAP REVISIONS AND UPDATES. 

21 Section 1360 of the National Flood Insurance Act of 

22 1968 (42 U.S.C. 4101), as amended by the preceding pro23 visions of this title, is further amended by adding at the 

24 end the following new subsection: 


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1 ‘‘(l) NOTIFICATION TO MEMBERS OF CONGRESS OF

2 MAP MODERNIZATION.—Upon any revision or update of 

3 any floodplain area or flood-risk zone pursuant to sub4 section (f), any decision pursuant to subsection (f)(1) that 

5 such revision or update is necessary, any issuance of pre6 liminary maps for such revision or updating, or any other 

7 significant action relating to any such revision or update, 

8 the Administrator shall notify the Senators for each State 

9 affected, and each Member of the House of Representa10 tives for each congressional district affected, by such revi11 sion or update in writing of the action taken.’’. 

12 SEC. 3014. NOTIFICATION AND APPEAL OF MAP CHANGES; 

13 NOTIFICATION TO COMMUNITIES OF ESTAB14 LISHMENT OF FLOOD ELEVATIONS. 

15 Section 1363 of the National Flood Insurance Act of 

16 1968 (42 U.S.C. 4104) is amended by striking the section 

17 designation and all that follows through the end of sub18 section (a) and inserting the following: 

19 ‘‘SEC. 1363. (a) In establishing projected flood ele20 vations for land use purposes with respect to any commu21 nity pursuant to section 1361, the Director shall first pro22 pose such determinations— 

23 ‘‘(1) by providing the chief executive officer of 

24 each community affected by the proposed elevations, 

25 by certified mail, with a return receipt requested, 


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1 notice of the elevations, including a copy of the maps 

2 for the elevations for such community and a state3 ment explaining the process under this section to ap4 peal for changes in such elevations; 

5 ‘‘(2) by causing notice of such elevations to be 

6 published in the Federal Register, which notice shall 

7 include information sufficient to identify the ele8 vation determinations and the communities affected, 

9 information explaining how to obtain copies of the 

10 elevations, and a statement explaining the process 

11 under this section to appeal for changes in the ele12 vations; 

13 ‘‘(3) by publishing in a prominent local news14 paper the elevations, a description of the appeals 

15 process for flood determinations, and the mailing ad16 dress and telephone number of a person the owner 

17 may contact for more information or to initiate an 

18 appeal; and 

19 ‘‘(4) by providing written notification, by first 

20 class mail, to each owner of real property affected by 

21 the proposed elevations of— 

22 ‘‘(A) the status of such property, both 

23 prior to and after the effective date of the pro24 posed determination, with respect to flood zone 

25 and flood insurance requirements under this 


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1 Act and the Flood Disaster Protection Act of 

2 1973; 

3 ‘‘(B) the process under this section to ap4 peal a flood elevation determination; and 

5 ‘‘(C) the mailing address and phone num6 ber of a person the owner may contact for more 

7 information or to initiate an appeal.’’. 

8 SEC. 3015. NOTIFICATION TO TENANTS OF AVAILABILITY 

9 OF CONTENTS INSURANCE. 

10 The National Flood Insurance Act of 1968 is amend11 ed by inserting after section 1308 (42 U.S.C. 4015) the 

12 following new section: 

13 ‘‘SEC. 1308A. NOTIFICATION TO TENANTS OF AVAILABILITY 

14 OF CONTENTS INSURANCE. 

15 ‘‘(a) IN GENERAL.—The Administrator shall, upon 

16 entering into a contract for flood insurance coverage under 

17 this title for any property— 

18 ‘‘(1) provide to the insured sufficient copies of 

19 the notice developed pursuant to subsection (b); and 

20 ‘‘(2) require the insured to provide a copy of 

21 the notice, or otherwise provide notification of the 

22 information under subsection (b) in the manner that 

23 the manager or landlord deems most appropriate, to 

24 each such tenant and to each new tenant upon com25 mencement of such a tenancy. 


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1 ‘‘(b) NOTICE.—Notice to a tenant of a property in 

2 accordance with this subsection is written notice that 

3 clearly informs a tenant— 

4 ‘‘(1) whether the property is located in an area 

5 having special flood hazards; 

6 ‘‘(2) that flood insurance coverage is available 

7 under the national flood insurance program under 

8 this title for contents of the unit or structure leased 

9 by the tenant; 

10 ‘‘(3) of the maximum amount of such coverage 

11 for contents available under this title at that time; 

12 and 

13 ‘‘(4) of where to obtain information regarding 

14 how to obtain such coverage, including a telephone 

15 number, mailing address, and Internet site of the 

16 Administrator where such information is available.’’. 

17 SEC. 3016. NOTIFICATION TO POLICY HOLDERS REGARD18 ING DIRECT MANAGEMENT OF POLICY BY 

19 FEMA. 

20 Part C of chapter II of the National Flood Insurance 

21 Act of 1968 (42 U.S.C. 4081 et seq.) is amended by add22 ing at the end the following new section: 


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1 ‘‘SEC. 1349. NOTIFICATION TO POLICY HOLDERS REGARD2 ING DIRECT MANAGEMENT OF POLICY BY 

3 FEMA. 

4 ‘‘(a) NOTIFICATION.—Not later than 60 days before 

5 the date on which a transferred flood insurance policy ex6 pires, and annually thereafter until such time as the Fed7 eral Emergency Management Agency is no longer directly 

8 administering such policy, the Administrator shall notify 

9 the holder of such policy that— 

10 ‘‘(1) the Federal Emergency Management 

11 Agency is directly administering the policy; 

12 ‘‘(2) such holder may purchase flood insurance 

13 that is directly administered by an insurance com14 pany; and 

15 ‘‘(3) purchasing flood insurance offered under 

16 the National Flood Insurance Program that is di17 rectly administered by an insurance company will 

18 not alter the coverage provided or the premiums 

19 charged to such holder that otherwise would be pro20 vided or charged if the policy was directly adminis21 tered by the Federal Emergency Management Agen22 cy. 

23 ‘‘(b) DEFINITION.—In this section, the term ‘trans24 ferred flood insurance policy’ means a flood insurance pol25 icy that— 


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1 ‘‘(1) was directly administered by an insurance 

2 company at the time the policy was originally pur3 chased by the policy holder; and 

4 ‘‘(2) at the time of renewal of the policy, direct 

5 administration of the policy was or will be trans6 ferred to the Federal Emergency Management Agen7 cy.’’. 

8 SEC. 3017. NOTICE OF AVAILABILITY OF FLOOD INSURANCE 

9 AND ESCROW IN RESPA GOOD FAITH ESTI10 MATE. 

11 Subsection (c) of section 5 of the Real Estate Settle12 ment Procedures Act of 1974 (12 U.S.C. 2604(c)) is 

13 amended by adding at the end the following new sentence: 

14 ‘‘Each such good faith estimate shall include the following 

15 conspicuous statements and information: (1) that flood in16 surance coverage for residential real estate is generally 

17 available under the national flood insurance program 

18 whether or not the real estate is located in an area having 

19 special flood hazards and that, to obtain such coverage, 

20 a home owner or purchaser should contact the national 

21 flood insurance program; (2) a telephone number and a 

22 location on the Internet by which a home owner or pur23 chaser can contact the national flood insurance program; 

24 and (3) that the escrowing of flood insurance payments 

25 is required for many loans under section 102(d) of the 


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1 Flood Disaster Protection Act of 1973, and may be a con2 venient and available option with respect to other loans.’’. 

3 SEC. 3018. REIMBURSEMENT FOR COSTS INCURRED BY 

4 HOMEOWNERS AND COMMUNITIES OBTAIN5 ING LETTERS OF MAP AMENDMENT OR REVI6 SION. 

7 (a) IN GENERAL.—Section 1360 of the National 

8 Flood Insurance Act of 1968 (42 U.S.C. 4101), as amend9 ed by the preceding provisions of this title, is further 

10 amended by adding at the end the following new sub11 section: 

12 ‘‘(m) REIMBURSEMENT.— 

13 ‘‘(1) REQUIREMENT UPON BONA FIDE

14 ERROR.—If an owner of any property located in an 

15 area described in section 102(i)(3) of the Flood Dis16 aster Protection Act of 1973, or a community in 

17 which such a property is located, obtains a letter of 

18 map amendment, or a letter of map revision, due to 

19 a bona fide error on the part of the Administrator 

20 of the Federal Emergency Management Agency, the 

21 Administrator shall reimburse such owner, or such 

22 entity or jurisdiction acting on such owner’s behalf, 

23 or such community, as applicable, for any reasonable 

24 costs incurred in obtaining such letter. 


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1 ‘‘(2) REASONABLE COSTS.—The Administrator 

2 shall, by regulation or notice, determine a reasonable 

3 amount of costs to be reimbursed under paragraph 

4 (1), except that such costs shall not include legal or 

5 attorneys fees. In determining the reasonableness of 

6 costs, the Administrator shall only consider the ac7 tual costs to the owner or community, as applicable, 

8 of utilizing the services of an engineer, surveyor, or 

9 similar services.’’. 

10 (b) REGULATIONS.—Not later than 90 days after the 

11 date of the enactment of this Act, the Administrator of 

12 the Federal Emergency Management Agency shall issue 

13 the regulations or notice required under section 

14 1360(m)(2) of the National Flood Insurance Act of 1968, 

15 as added by the amendment made by subsection (a) of 

16 this section. 

17 SEC. 3019. ENHANCED COMMUNICATION WITH CERTAIN 

18 COMMUNITIES DURING MAP UPDATING 

19 PROCESS. 

20 Section 1360 of the National Flood Insurance Act of 

21 1968 (42 U.S.C. 4101), as amended by the preceding pro22 visions of this title, is further amended by adding at the 

23 end the following new subsection: 

24 ‘‘(n) ENHANCED COMMUNICATION WITH CERTAIN

25 COMMUNITIES DURING MAP UPDATING PROCESS.—In 


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1 updating flood insurance maps under this section, the Ad2 ministrator shall communicate with communities located 

3 in areas where flood insurance rate maps have not been 

4 updated in 20 years or more and the appropriate State 

5 emergency agencies to resolve outstanding issues, provide 

6 technical assistance, and disseminate all necessary infor7 mation to reduce the prevalence of outdated maps in flood8 prone areas.’’. 

9 SEC. 3020. NOTIFICATION TO RESIDENTS NEWLY INCLUDED 

10 IN FLOOD HAZARD AREAS. 

11 Section 1360 of the National Flood Insurance Act of 

12 1968 (42 U.S.C. 4101), as amended by the preceding pro13 visions of this title, is further amended by adding at the 

14 end the following new subsection: 

15 ‘‘(o) NOTIFICATION TO RESIDENTS NEWLY IN16 CLUDED IN FLOOD HAZARD AREA.—In revising or updat17 ing any areas having special flood hazards, the Adminis18 trator shall provide to each owner of a property to be 

19 newly included in such a special flood hazard area, at the 

20 time of issuance of such proposed revised or updated flood 

21 insurance maps, a copy of the proposed revised or updated 

22 flood insurance maps together with information regarding 

23 the appeals process under section 1363 of the National 

24 Flood Insurance Act of 1968 (42 U.S.C. 4104).’’. 


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1 SEC. 3021. TREATMENT OF SWIMMING POOL ENCLOSURES 

2 OUTSIDE OF HURRICANE SEASON. 

3 Chapter I of the National Flood Insurance Act of 

4 1968 (42 U.S.C. 4001 et seq.) is amended by adding at 

5 the end the following new section: 

6 ‘‘SEC. 1325. TREATMENT OF SWIMMING POOL ENCLOSURES 

7 OUTSIDE OF HURRICANE SEASON. 

8 ‘‘In the case of any property that is otherwise in com9 pliance with the coverage and building requirements of the 

10 national flood insurance program, the presence of an en11 closed swimming pool located at ground level or in the 

12 space below the lowest floor of a building after November 

13 30 and before June 1 of any year shall have no effect on 

14 the terms of coverage or the ability to receive coverage 

15 for such building under the national flood insurance pro16 gram established pursuant to this title, if the pool is en17 closed with non-supporting breakaway walls.’’. 

18 SEC. 3022. INFORMATION REGARDING MULTIPLE PERILS 

19 CLAIMS. 

20 Section 1345 of the National Flood Insurance Act of 

21 1968 (42 U.S.C. 4081) is amended by adding at the end 

22 the following new subsection: 

23 ‘‘(d) INFORMATION REGARDING MULTIPLE PERILS

24 CLAIMS.— 

25 ‘‘(1) IN GENERAL.—Subject to paragraph (2), 

26 if an insured having flood insurance coverage under 


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1 a policy issued under the program under this title by 

2 the Administrator or a company, insurer, or entity 

3 offering flood insurance coverage under such pro4 gram (in this subsection referred to as a ‘partici5 pating company’) has wind or other homeowners 

6 coverage from any company, insurer, or other entity 

7 covering property covered by such flood insurance, in 

8 the case of damage to such property that may have 

9 been caused by flood or by wind, the Administrator 

10 and the participating company, upon the request of 

11 the insured, shall provide to the insured, within 30 

12 days of such request— 

13 ‘‘(A) a copy of the estimate of structure 

14 damage; 

15 ‘‘(B) proofs of loss; 

16 ‘‘(C) any expert or engineering reports or 

17 documents commissioned by or relied upon by 

18 the Administrator or participating company in 

19 determining whether the damage was caused by 

20 flood or any other peril; and 

21 ‘‘(D) the Administrator’s or the partici22 pating company’s final determination on the 

23 claim. 

24 ‘‘(2) TIMING.—Paragraph (1) shall apply only 

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1 graph made by an insured after the Administrator 

2 or the participating company, or both, as applicable, 

3 have issued a final decision on the flood claim in4 volved and resolution of all appeals with respect to 

5 such claim.’’. 

6 SEC. 3023. FEMA AUTHORITY TO REJECT TRANSFER OF 

7 POLICIES. 

8 Section 1345 of the National Flood Insurance Act of 

9 1968 (42 U.S.C. 4081) is amended by adding at the end 

10 the following new subsection: 

11 ‘‘(e) FEMA AUTHORITY TO REJECT TRANSFER OF

12 POLICIES.—Notwithstanding any other provision of this 

13 Act, the Administrator may, at the discretion of the Ad14 ministrator, refuse to accept the transfer of the adminis15 tration of policies for coverage under the flood insurance 

16 program under this title that are written and administered 

17 by any insurance company or other insurer, or any insur18 ance agent or broker.’’. 

19 SEC. 3024. APPEALS. 

20 (a) TELEVISION AND RADIO ANNOUNCEMENT.—Sec21 tion 1363 of the National Flood Insurance Act of 1968 

22 (42 U.S.C. 4104) is amended— 

23 (1) in subsection (a), by inserting after ‘‘deter24 minations’’ by inserting the following: ‘‘by notifying 

25 a local television and radio station,’’; and 


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1 (2) in the first sentence of subsection (b), by in2 serting before the period at the end the following: 

3 ‘‘and shall notify a local television and radio station 

4 at least once during the same 10-day period’’. 

5 (b) EXTENSION OF APPEALS PERIOD.—Subsection 

6 (b) of section 1363 of the National Flood Insurance Act 

7 of 1968 (42 U.S.C. 4104(b)) is amended— 

8 (1) by striking ‘‘(b) The Director’’ and insert9 ing ‘‘(b)(1) The Administrator’’; and 

10 (2) by adding at the end the following new 

11 paragraph: 

12 ‘‘(2) The Administrator shall grant an extension of 

13 the 90-day period for appeals referred to in paragraph (1) 

14 for 90 additional days if an affected community certifies 

15 to the Administrator, after the expiration of at least 60 

16 days of such period, that the community— 

17 ‘‘(A) believes there are property owners or les18 sees in the community who are unaware of such pe19 riod for appeals; and 

20 ‘‘(B) will utilize the extension under this para21 graph to notify property owners or lessees who are 

22 affected by the proposed flood elevation determina23 tions of the period for appeals and the opportunity 

24 to appeal the determinations proposed by the Ad25 ministrator.’’. 


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1 (c) APPLICABILITY.—The amendments made by sub2 sections (a) and (b) shall apply with respect to any flood 

3 elevation determination for any area in a community that 

4 has not, as of the date of the enactment of this Act, been 

5 issued a Letter of Final Determination for such deter6 mination under the flood insurance map modernization 

7 process. 

8 SEC. 3025. RESERVE FUND. 

9 (a) ESTABLISHMENT.—Chapter I of the National 

10 Flood Insurance Act of 1968 is amended by inserting after 

11 section 1310 (42 U.S.C. 4017) the following new section: 

12 ‘‘SEC. 1310A. RESERVE FUND. 

13 ‘‘(a) ESTABLISHMENT OF RESERVE FUND.—In car14 rying out the flood insurance program authorized by this 

15 title, the Administrator shall establish in the Treasury of 

16 the United States a National Flood Insurance Reserve 

17 Fund (in this section referred to as the ‘Reserve Fund’) 

18 which shall— 

19 ‘‘(1) be an account separate from any other ac20 counts or funds available to the Administrator; and 

21 ‘‘(2) be available for meeting the expected fu22 ture obligations of the flood insurance program. 

23 ‘‘(b) RESERVE RATIO.—Subject to the phase-in re24 quirements under subsection (d), the Reserve Fund shall 

25 maintain a balance equal to— 


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1 ‘‘(1) 1 percent of the sum of the total potential 

2 loss exposure of all outstanding flood insurance poli3 cies in force in the prior fiscal year; or 

4 ‘‘(2) such higher percentage as the Adminis5 trator determines to be appropriate, taking into con6 sideration any circumstance that may raise a signifi7 cant risk of substantial future losses to the Reserve 

8 Fund. 

9 ‘‘(c) MAINTENANCE OF RESERVE RATIO.— 

10 ‘‘(1) IN GENERAL.—The Administrator shall 

11 have the authority to establish, increase, or decrease 

12 the amount of aggregate annual insurance premiums 

13 to be collected for any fiscal year necessary— 

14 ‘‘(A) to maintain the reserve ratio required 

15 under subsection (b); and 

16 ‘‘(B) to achieve such reserve ratio, if the 

17 actual balance of such reserve is below the 

18 amount required under subsection (b). 

19 ‘‘(2) CONSIDERATIONS.—In exercising the au20 thority under paragraph (1), the Administrator shall 

21 consider— 

22 ‘‘(A) the expected operating expenses of 

23 the Reserve Fund; 

24 ‘‘(B) the insurance loss expenditures under 

25 the flood insurance program; 


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1 ‘‘(C) any investment income generated 

2 under the flood insurance program; and 

3 ‘‘(D) any other factor that the Adminis4 trator determines appropriate. 

5 ‘‘(3) LIMITATIONS.—In exercising the authority 

6 under paragraph (1), the Administrator shall be 

7 subject to all other provisions of this Act, including 

8 any provisions relating to chargeable premium rates 

9 and annual increases of such rates. 

10 ‘‘(d) PHASE-IN REQUIREMENTS.—The phase-in re11 quirements under this subsection are as follows: 

12 ‘‘(1) IN GENERAL.—Beginning in fiscal year 

13 2012 and not ending until the fiscal year in which 

14 the ratio required under subsection (b) is achieved, 

15 in each such fiscal year the Administrator shall 

16 place in the Reserve Fund an amount equal to not 

17 less than 7.5 percent of the reserve ratio required 

18 under subsection (b). 

19 ‘‘(2) AMOUNT SATISFIED.—As soon as the ratio 

20 required under subsection (b) is achieved, and except 

21 as provided in paragraph (3), the Administrator 

22 shall not be required to set aside any amounts for 

23 the Reserve Fund. 

24 ‘‘(3) EXCEPTION.—If at any time after the 

25 ratio required under subsection (b) is achieved, the 


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1 Reserve Fund falls below the required ratio under 

2 subsection (b), the Administrator shall place in the 

3 Reserve Fund for that fiscal year an amount equal 

4 to not less than 7.5 percent of the reserve ratio re5 quired under subsection (b). 

6 ‘‘(e) LIMITATION ON RESERVE RATIO.—In any given 

7 fiscal year, if the Administrator determines that the re8 serve ratio required under subsection (b) cannot be 

9 achieved, the Administrator shall submit a report to the 

10 Congress that— 

11 ‘‘(1) describes and details the specific concerns 

12 of the Administrator regarding such consequences; 

13 ‘‘(2) demonstrates how such consequences 

14 would harm the long-term financial soundness of the 

15 flood insurance program; and 

16 ‘‘(3) indicates the maximum attainable reserve 

17 ratio for that particular fiscal year. 

18 ‘‘(f) AVAILABILITY OF AMOUNTS.—The reserve ratio 

19 requirements under subsection (b) and the phase-in re20 quirements under subsection (d) shall be subject to the 

21 availability of amounts in the National Flood Insurance 

22 Fund for transfer under section 1310(a)(10), as provided 

23 in section 1310(f).’’. 


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1 (b) FUNDING.—Subsection (a) of section 1310 of the 

2 National Flood Insurance Act of 1968 (42 U.S.C. 

3 4017(a)) is amended— 

4 (1) in paragraph (8), by striking ‘‘and’’ at the 

5 end; 

6 (2) in paragraph (9), by striking the period at 

7 the end and inserting ‘‘; and’’; and 

8 (3) by adding at the end the following new 

9 paragraph: 

10 ‘‘(10) for transfers to the National Flood Insur11 ance Reserve Fund under section 1310A, in accord12 ance with such section.’’. 

13 SEC. 3026. CDBG ELIGIBILITY FOR FLOOD INSURANCE OUT14 REACH ACTIVITIES AND COMMUNITY BUILD15 ING CODE ADMINISTRATION GRANTS. 

16 Section 105(a) of the Housing and Community De17 velopment Act of 1974 (42 U.S.C. 5305(a)) is amended— 

18 (1) in paragraph (24), by striking ‘‘and’’ at the 

19 end; 

20 (2) in paragraph (25), by striking the period at 

21 the end and inserting a semicolon; and 

22 (3) by adding at the end the following new 

23 paragraphs: 

24 ‘‘(26) supplementing existing State or local 

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1 ment by local building code enforcement depart2 ments, including for increasing staffing, providing 

3 staff training, increasing staff competence and pro4 fessional qualifications, and supporting individual 

5 certification or departmental accreditation, and for 

6 capital expenditures specifically dedicated to the ad7 ministration of the building code enforcement de8 partment, except that, to be eligible to use amounts 

9 as provided in this paragraph— 

10 ‘‘(A) a building code enforcement depart11 ment shall provide matching, non-Federal funds 

12 to be used in conjunction with amounts used 

13 under this paragraph in an amount— 

14 ‘‘(i) in the case of a building code en15 forcement department serving an area with 

16 a population of more than 50,000, equal to 

17 not less than 50 percent of the total 

18 amount of any funds made available under 

19 this title that are used under this para20 graph; 

21 ‘‘(ii) in the case of a building code en22 forcement department serving an area with 

23 a population of between 20,001 and 

24 50,000, equal to not less than 25 percent 

25 of the total amount of any funds made 


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1 available under this title that are used 

2 under this paragraph; and 

3 ‘‘(iii) in the case of a building code 

4 enforcement department serving an area 

5 with a population of less than 20,000, 

6 equal to not less than 12.5 percent of the 

7 total amount of any funds made available 

8 under this title that are used under this 

9 paragraph, 

10 except that the Secretary may waive the match11 ing fund requirements under this subparagraph, 

12 in whole or in part, based upon the level of eco13 nomic distress of the jurisdiction in which is lo14 cated the local building code enforcement de15 partment that is using amounts for purposes 

16 under this paragraph, and shall waive such 

17 matching fund requirements in whole for any 

18 recipient jurisdiction that has dedicated all 

19 building code permitting fees to the conduct of 

20 local building code enforcement; and 

21 ‘‘(B) any building code enforcement de22 partment using funds made available under this 

23 title for purposes under this paragraph shall 

24 empanel a code administration and enforcement 

25 team consisting of at least 1 full-time building 


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1 code enforcement officer, a city planner, and a 

2 health planner or similar officer; and 

3 ‘‘(27) provision of assistance to local govern4 mental agencies responsible for floodplain manage5 ment activities (including such agencies of Indians 

6 tribes, as such term is defined in section 4 of the 

7 Native American Housing Assistance and Self-De8 termination Act of 1996 (25 U.S.C. 4103)) in com9 munities that participate in the national flood insur10 ance program under the National Flood Insurance 

11 Act of 1968 (42 U.S.C. 4001 et seq.), only for car12 rying out outreach activities to encourage and facili13 tate the purchase of flood insurance protection 

14 under such Act by owners and renters of properties 

15 in such communities and to promote educational ac16 tivities that increase awareness of flood risk reduc17 tion; except that— 

18 ‘‘(A) amounts used as provided under this 

19 paragraph shall be used only for activities de20 signed to— 

21 ‘‘(i) identify owners and renters of 

22 properties in communities that participate 

23 in the national flood insurance program, 

24 including owners of residential and com25 mercial properties; 


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1 ‘‘(ii) notify such owners and renters 

2 when their properties become included in, 

3 or when they are excluded from, an area 

4 having special flood hazards and the effect 

5 of such inclusion or exclusion on the appli6 cability of the mandatory flood insurance 

7 purchase requirement under section 102 of 

8 the Flood Disaster Protection Act of 1973 

9 (42 U.S.C. 4012a) to such properties; 

10 ‘‘(iii) educate such owners and renters 

11 regarding the flood risk and reduction of 

12 this risk in their community, including the 

13 continued flood risks to areas that are no 

14 longer subject to the flood insurance man15 datory purchase requirement; 

16 ‘‘(iv) educate such owners and renters 

17 regarding the benefits and costs of main18 taining or acquiring flood insurance, in19 cluding, where applicable, lower-cost pre20 ferred risk policies under this title for such 

21 properties and the contents of such prop22 erties; 

23 ‘‘(v) encourage such owners and rent24 ers to maintain or acquire such coverage; 


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1 ‘‘(vi) notify such owners of where to 

2 obtain information regarding how to obtain 

3 such coverage, including a telephone num4 ber, mailing address, and Internet site of 

5 the Administrator of the Federal Emer6 gency Management Agency (in this para7 graph referred to as the ‘Administrator’) 

8 where such information is available; and 

9 ‘‘(vii) educate local real estate agents 

10 in communities participating in the na11 tional flood insurance program regarding 

12 the program and the availability of cov13 erage under the program for owners and 

14 renters of properties in such communities, 

15 and establish coordination and liaisons 

16 with such real estate agents to facilitate 

17 purchase of coverage under the National 

18 Flood Insurance Act of 1968 and increase 

19 awareness of flood risk reduction; 

20 ‘‘(B) in any fiscal year, a local govern21 mental agency may not use an amount under 

22 this paragraph that exceeds 3 times the amount 

23 that the agency certifies, as the Secretary, in 

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1 Federal funds to be used with such amounts 

2 used under this paragraph only for carrying out 

3 activities described in subparagraph (A); and 

4 for purposes of this subparagraph, the term 

5 ‘non-Federal funds’ includes State or local gov6 ernment agency amounts, in-kind contributions, 

7 any salary paid to staff to carry out the eligible 

8 activities of the local governmental agency in9 volved, the value of the time and services con10 tributed by volunteers to carry out such services 

11 (at a rate determined by the Secretary), and 

12 the value of any donated material or building 

13 and the value of any lease on a building; 

14 ‘‘(C) a local governmental agency that uses 

15 amounts as provided under this paragraph may 

16 coordinate or contract with other agencies and 

17 entities having particular capacities, specialties, 

18 or experience with respect to certain popu19 lations or constituencies, including elderly or 

20 disabled families or persons, to carry out activi21 ties described in subparagraph (A) with respect 

22 to such populations or constituencies; and 

23 ‘‘(D) each local government agency that 

24 uses amounts as provided under this paragraph 

25 shall submit a report to the Secretary and the 


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1 Administrator, not later than 12 months after 

2 such amounts are first received, which shall in3 clude such information as the Secretary and the 

4 Administrator jointly consider appropriate to 

5 describe the activities conducted using such 

6 amounts and the effect of such activities on the 

7 retention or acquisition of flood insurance cov8 erage.’’. 

9 SEC. 3027. TECHNICAL CORRECTIONS. 

10 (a) FLOOD DISASTER PROTECTION ACT OF 1973.— 

11 The Flood Disaster Protection Act of 1973 (42 U.S.C. 

12 4002 et seq.) is amended— 

13 (1) by striking ‘‘Director’’ each place such term 

14 appears, except in section 102(f)(3) (42 U.S.C. 

15 4012a(f)(3)), and inserting ‘‘Administrator’’; and 

16 (2) in section 201(b) (42 U.S.C. 4105(b)), by 

17 striking ‘‘Director’s’’ and inserting ‘‘Administra18 tor’s’’. 

19 (b) NATIONAL FLOOD INSURANCE ACT OF 1968.— 

20 The National Flood Insurance Act of 1968 (42 U.S.C. 

21 4001 et seq.) is amended— 

22 (1) by striking ‘‘Director’’ each place such term 

23 appears and inserting ‘‘Administrator’’; and 


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1 (2) in section 1363 (42 U.S.C. 4104), by strik2 ing ‘‘Director’s’’ each place such term appears and 

3 inserting ‘‘Administrator’s’’. 

4 (c) FEDERAL FLOOD INSURANCE ACT OF 1956.— 

5 Section 15(e) of the Federal Flood Insurance Act of 1956 

6 (42 U.S.C. 2414(e)) is amended by striking ‘‘Director’’ 

7 each place such term appears and inserting ‘‘Adminis8 trator’’. 

9 SEC. 3028. REQUIRING COMPETITION FOR NATIONAL 

10 FLOOD INSURANCE PROGRAM POLICIES. 

11 (a) REPORT.—Not later than the expiration of the 

12 90-day period beginning upon the date of the enactment 

13 of this Act, the Administrator of the Federal Emergency 

14 Management Agency, in consultation with insurance com15 panies, insurance agents and other organizations with 

16 which the Administrator has contracted, shall submit to 

17 the Congress a report describing procedures and policies 

18 that the Administrator shall implement to limit the per19 centage of policies for flood insurance coverage under the 

20 national flood insurance program that are directly man21 aged by the Agency to not more than 10 percent of the 

22 aggregate number of flood insurance policies in force 

23 under such program. 

24 (b) IMPLEMENTATION.—Upon submission of the re25 port under subsection (a) to the Congress, the AdminisVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00187 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 trator shall implement the policies and procedures de2 scribed in the report. The Administrator shall, not later 

3 than the expiration of the 12-month period beginning 

4 upon submission of such report, reduce the number of 

5 policies for flood insurance coverage that are directly man6 aged by the Agency, or by the Agency’s direct servicing 

7 contractor that is not an insurer, to not more than 10 

8 percent of the aggregate number of flood insurance poli9 cies in force as of the expiration of such 12-month period. 

10 (c) CONTINUATION OF CURRENT AGENT RELATION11 SHIPS.—In carrying out subsection (b), the Administrator 

12 shall ensure that— 

13 (1) agents selling or servicing policies described 

14 in such subsection are not prevented from con15 tinuing to sell or service such policies; and 

16 (2) insurance companies are not prevented from 

17 waiving any limitation such companies could other18 wise enforce to limit any such activity. 

19 SEC. 3029. STUDIES OF VOLUNTARY COMMUNITY-BASED 

20 FLOOD INSURANCE OPTIONS. 

21 (a) STUDIES.—The Administrator of the Federal 

22 Emergency Management Agency and the Comptroller 

23 General of the United States shall each conduct a separate 

24 study to assess options, methods, and strategies for offer25 ing voluntary community-based flood insurance policy opVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00188 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 tions and incorporating such options into the national 

2 flood insurance program. Such studies shall take into con3 sideration and analyze how the policy options would affect 

4 communities having varying economic bases, geographic 

5 locations, flood hazard characteristics or classifications, 

6 and flood management approaches. 

7 (b) REPORTS.—Not later than the expiration of the 

8 18-month period beginning on the date of the enactment 

9 of this Act, the Administrator of the Federal Emergency 

10 Management Agency and the Comptroller General of the 

11 United States shall each submit a report to the Committee 

12 on Financial Services of the House of Representatives and 

13 the Committee on Banking, Housing, and Urban Affairs 

14 of the Senate on the results and conclusions of the study 

15 such agency conducted under subsection (a), and each 

16 such report shall include recommendations for the best 

17 manner to incorporate voluntary community-based flood 

18 insurance options into the national flood insurance pro19 gram and for a strategy to implement such options that 

20 would encourage communities to undertake flood mitiga21 tion activities. 

22 SEC. 3030. REPORT ON INCLUSION OF BUILDING CODES IN 

23 FLOODPLAIN MANAGEMENT CRITERIA. 

24 Not later than the expiration of the 6-month period 

25 beginning on the date of the enactment of this Act, the 


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1 Administrator of the Federal Emergency Management 

2 Agency shall conduct a study and submit a report to the 

3 Committee on Financial Services of the House of Rep4 resentatives and the Committee on Banking, Housing, and 

5 Urban Affairs of the Senate regarding the impact, effec6 tiveness, and feasibility of amending section 1361 of the 

7 National Flood Insurance Act of 1968 (42 U.S.C. 4102) 

8 to include widely used and nationally recognized building 

9 codes as part of the floodplain management criteria devel10 oped under such section, and shall determine— 

11 (1) the regulatory, financial, and economic im12 pacts of such a building code requirement on home13 owners, States and local communities, local land use 

14 policies, and the Federal Emergency Management 

15 Agency; 

16 (2) the resources required of State and local 

17 communities to administer and enforce such a build18 ing code requirement; 

19 (3) the effectiveness of such a building code re20 quirement in reducing flood-related damage to build21 ings and contents; 

22 (4) the impact of such a building code require23 ment on the actuarial soundness of the National 

24 Flood Insurance Program; 


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1 (5) the effectiveness of nationally recognized 

2 codes in allowing innovative materials and systems 

3 for flood-resistant construction; 

4 (6) the feasibility and effectiveness of providing 

5 an incentive in lower premium rates for flood insur6 ance coverage under such Act for structures meeting 

7 whichever of such widely used and nationally recog8 nized building code or any applicable local building 

9 code provides greater protection from flood damage; 

10 (7) the impact of such a building code require11 ment on rural communities with different building 

12 code challenges than more urban environments; and 

13 (8) the impact of such a building code require14 ment on Indian reservations. 

15 SEC. 3031. STUDY ON GRADUATED RISK. 

16 (a) STUDY.—The National Academy of Sciences shall 

17 conduct a study exploring methods for understanding 

18 graduated risk behind levees and the associated land de19 velopment, insurance, and risk communication dimensions, 

20 which shall— 

21 (1) research, review, and recommend current 

22 best practices for estimating direct annualized flood 

23 losses behind levees for residential and commercial 

24 structures; 


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1 (2) rank such practices based on their best 

2 value, balancing cost, scientific integrity, and the in3 herent uncertainties associated with all aspects of 

4 the loss estimate, including geotechnical engineering, 

5 flood frequency estimates, economic value, and direct 

6 damages; 

7 (3) research, review, and identify current best 

8 floodplain management and land use practices be9 hind levees that effectively balance social, economic, 

10 and environmental considerations as part of an over11 all flood risk management strategy; 

12 (4) identify examples where such practices have 

13 proven effective and recommend methods and proc14 esses by which they could be applied more broadly 

15 across the United States, given the variety of dif16 ferent flood risks, State and local legal frameworks, 

17 and evolving judicial opinions; 

18 (5) research, review, and identify a variety of 

19 flood insurance pricing options for flood hazards be20 hind levees which are actuarially sound and based on 

21 the flood risk data developed using the top three 

22 best value approaches identified pursuant to para23 graph (1); 

24 (6) evaluate and recommend methods to reduce 

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1 tween insureds and insurers while keeping a clear 

2 accounting of how much financial risk is being borne 

3 by various parties such that the entire risk is ac4 counted for, including establishment of explicit limits 

5 on disaster aid or other assistance in the event of a 

6 flood; and 

7 (7) taking into consideration the recommenda8 tions pursuant to paragraphs (1) through (3), rec9 ommend approaches to communicating the associ10 ated risks to community officials, homeowners, and 

11 other residents. 

12 (b) REPORT.—Not later than the expiration of the 

13 12-month period beginning on the date of the enactment 

14 of this Act, the National Academy of Sciences shall submit 

15 a report to the Committees on Financial Services and 

16 Science, Space, and Technology of the House of Rep17 resentatives and the Committees on Banking, Housing, 

18 and Urban Affairs and Commerce, Science and Transpor19 tation of the Senate on the study under subsection (a) in20 cluding the information and recommendations required 

21 under such subsection. 

22 SEC. 3032. REPORT ON FLOOD-IN-PROGRESS DETERMINA23 TION. 

24 The Administrator of the Federal Emergency Man25 agement Agency shall review the processes and procedures 


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1 for determining that a flood event has commenced or is 

2 in progress for purposes of flood insurance coverage made 

3 available under the national flood insurance program 

4 under the National Flood Insurance Act of 1968 and for 

5 providing public notification that such an event has com6 menced or is in progress. In such review, the Adminis7 trator shall take into consideration the effects and implica8 tions that weather conditions, such as rainfall, snowfall, 

9 projected snowmelt, existing water levels, and other condi10 tions have on the determination that a flood event has 

11 commenced or is in progress. Not later than the expiration 

12 of the 6-month period beginning upon the date of the en13 actment of this Act, the Administrator shall submit a re14 port to the Congress setting forth the results and conclu15 sions of the review undertaken pursuant to this section 

16 and any actions undertaken or proposed actions to be 

17 taken to provide for a more precise and technical deter18 mination that a flooding event has commenced or is in 

19 progress. 

20 SEC. 3033. STUDY ON REPAYING FLOOD INSURANCE DEBT. 

21 Not later than the expiration of the 6-month period 

22 beginning on the date of the enactment of this Act, the 

23 Administrator of the Federal Emergency Management 

24 Agency shall submit a report to the Congress setting forth 

25 a plan for repaying within 10 years all amounts, including 


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1 any amounts previously borrowed but not yet repaid, owed 

2 pursuant to clause (2) of subsection (a) of section 1309 

3 of the National Flood Insurance Act of 1968 (42 U.S.C. 

4 4016(a)(2)). 

5 SEC. 3034. NO CAUSE OF ACTION. 

6 No cause of action shall exist and no claim may be 

7 brought against the United States for violation of any no8 tification requirement imposed upon the United States by 

9 this title or any amendment made by this title. 

10 SEC. 3035. AUTHORITY FOR THE CORPS OF ENGINEERS TO 

11 PROVIDE SPECIALIZED OR TECHNICAL SERV12 ICES. 

13 (a) IN GENERAL.—Notwithstanding any other provi14 sion of law, upon the request of a State or local govern15 ment, the Secretary of the Army may evaluate a levee sys16 tem that was designed or constructed by the Secretary for 

17 the purposes of the National Flood Insurance Program es18 tablished under chapter 1 of the National Flood Insurance 

19 Act of 1968 (42 U.S.C. 4011 et seq.). 

20 (b) REQUIREMENTS.—A levee system evaluation 

21 under subsection (a) shall— 

22 (1) comply with applicable regulations related 

23 to areas protected by a levee system; 

24 (2) be carried out in accordance with such pro25 cedures as the Secretary, in consultation with the 


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1 Administrator of the Federal Emergency Manage2 ment Agency, may establish; and 

3 (3) be carried out only if the State or local gov4 ernment agrees to reimburse the Secretary for all 

5 cost associated with the performance of the activi6 ties. 

7 TITLE IV—JUMPSTARTING OP8 PORTUNITY WITH 

9 BROADBAND SPECTRUM ACT 

10 OF 2011 

11 SEC. 4001. SHORT TITLE. 

12 This title may be cited as the ‘‘Jumpstarting Oppor13 tunity with Broadband Spectrum Act of 2011’’ or the 

14 ‘‘JOBS Act of 2011’’. 

15 SEC. 4002. DEFINITIONS. 

16 In this title: 

17 (1) 700 MHZ D BLOCK SPECTRUM.—The term 

18 ‘‘700 MHz D block spectrum’’ means the portion of 

19 the electromagnetic spectrum between the fre20 quencies from 758 megahertz to 763 megahertz and 

21 between the frequencies from 788 megahertz to 793 

22 megahertz. 

23 (2) 700 MHZ PUBLIC SAFETY GUARD BAND

24 SPECTRUM.—The term ‘‘700 MHz public safety 

25 guard band spectrum’’ means the portion of the 


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1 electromagnetic spectrum between the frequencies 

2 from 768 megahertz to 769 megahertz and between 

3 the frequencies from 798 megahertz to 799 mega4 hertz. 

5 (3) 700 MHZ PUBLIC SAFETY NARROWBAND

6 SPECTRUM.—The term ‘‘700 MHz public safety 

7 narrowband spectrum’’ means the portion of the 

8 electromagnetic spectrum between the frequencies 

9 from 769 megahertz to 775 megahertz and between 

10 the frequencies from 799 megahertz to 805 mega11 hertz. 

12 (4) ADMINISTRATOR.—The term ‘‘Adminis13 trator’’ means the entity selected under section 

14 4203(a) to serve as Administrator of the National 

15 Public Safety Communications Plan. 

16 (5) ASSISTANT SECRETARY.—The term ‘‘Assist17 ant Secretary’’ means the Assistant Secretary of 

18 Commerce for Communications and Information. 

19 (6) BOARD.—The term ‘‘Board’’ means the 

20 Public Safety Communications Planning Board es21 tablished under section 4202(a)(1). 

22 (7) BROADCAST TELEVISION LICENSEE.—The 

23 term ‘‘broadcast television licensee’’ means the li24 censee of— 

25 (A) a full-power television station; or 


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1 (B) a low-power television station that has 

2 been accorded primary status as a Class A tele3 vision licensee under section 73.6001(a) of title 

4 47, Code of Federal Regulations. 

5 (8) BROADCAST TELEVISION SPECTRUM.—The 

6 term ‘‘broadcast television spectrum’’ means the por7 tions of the electromagnetic spectrum between the 

8 frequencies from 54 megahertz to 72 megahertz, 

9 from 76 megahertz to 88 megahertz, from 174 

10 megahertz to 216 megahertz, and from 470 mega11 hertz to 698 megahertz. 

12 (9) COMMERCIAL MOBILE DATA SERVICE.—The 

13 term ‘‘commercial mobile data service’’ means any 

14 mobile service (as defined in section 3 of the Com15 munications Act of 1934 (47 U.S.C. 153)) that is— 

16 (A) a data service; 

17 (B) provided for profit; and 

18 (C) available to the public or such classes 

19 of eligible users as to be effectively available to 

20 a substantial portion of the public, as specified 

21 by regulation by the Commission. 

22 (10) COMMERCIAL MOBILE SERVICE.—The 

23 term ‘‘commercial mobile service’’ has the meaning 

24 given such term in section 332 of the Communica25 tions Act of 1934 (47 U.S.C. 332). 


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1 (11) COMMERCIAL STANDARDS.—The term 

2 ‘‘commercial standards’’ means the technical stand3 ards followed by the commercial mobile service and 

4 commercial mobile data service industries for net5 work, device, and Internet Protocol connectivity. 

6 Such term includes standards developed by the 

7 Third Generation Partnership Project (3GPP), the 

8 Institute of Electrical and Electronics Engineers 

9 (IEEE), the Alliance for Telecommunications Indus10 try Solutions (ATIS), the Internet Engineering Task 

11 Force (IETF), and the International Telecommuni12 cation Union (ITU). 

13 (12) COMMISSION.—The term ‘‘Commission’’ 

14 means the Federal Communications Commission. 

15 (13) EMERGENCY CALL.—The term ‘‘emergency 

16 call’’ means any real-time communication with a 

17 public safety answering point or other emergency 

18 management or response agency, including— 

19 (A) through voice, text, or video and re20 lated data; and 

21 (B) nonhuman-initiated automatic event 

22 alerts, such as alarms, telematics, or sensor 

23 data, which may also include real-time voice, 

24 text, or video communications. 


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1 (14) FORWARD AUCTION.—The term ‘‘forward 

2 auction’’ means the portion of an incentive auction 

3 of broadcast television spectrum under section 

4 4104(c). 

5 (15) INCENTIVE AUCTION.—The term ‘‘incen6 tive auction’’ means a system of competitive bidding 

7 under subparagraph (G) of section 309(j)(8) of the 

8 Communications Act of 1934, as added by section 

9 4103. 

10 (16) MULTICHANNEL VIDEO PROGRAMMING

11 DISTRIBUTOR.—The term ‘‘multichannel video pro12 gramming distributor’’ has the meaning given such 

13 term in section 602 of the Communications Act of 

14 1934 (47 U.S.C. 522). 

15 (17) NATIONAL PUBLIC SAFETY COMMUNICA16 TIONS PLAN.—The term ‘‘National Public Safety 

17 Communications Plan’’ or ‘‘Plan’’ means the plan 

18 adopted under section 4202(c). 

19 (18) NEXT GENERATION 9–1–1 SERVICES.—The 

20 term ‘‘Next Generation 9–1–1 services’’ means an 

21 IP-based system comprised of hardware, software, 

22 data, and operational policies and procedures that— 

23 (A) provides standardized interfaces from 

24 emergency call and message services to support 

25 emergency communications; 


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1 (B) processes all types of emergency calls, 

2 including voice, text, data, and multimedia in3 formation; 

4 (C) acquires and integrates additional 

5 emergency call data useful to call routing and 

6 handling; 

7 (D) delivers the emergency calls, messages, 

8 and data to the appropriate public safety an9 swering point and other appropriate emergency 

10 entities; 

11 (E) supports data or video communications 

12 needs for coordinated incident response and 

13 management; and 

14 (F) provides broadband service to public 

15 safety answering points or other first responder 

16 entities. 

17 (19) NTIA.—The term ‘‘NTIA’’ means the Na18 tional Telecommunications and Information Admin19 istration. 

20 (20) PUBLIC SAFETY ANSWERING POINT.—The 

21 term ‘‘public safety answering point’’ has the mean22 ing given such term in section 222 of the Commu23 nications Act of 1934 (47 U.S.C. 222). 

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1 trum’’ means the portion of the electromagnetic 

2 spectrum between the frequencies from 763 mega3 hertz to 768 megahertz and between the frequencies 

4 from 793 megahertz to 798 megahertz. 

5 (22) PUBLIC SAFETY COMMUNICATIONS.—The 

6 term ‘‘public safety communications’’ means commu7 nications by providers of public safety services. 

8 (23) PUBLIC SAFETY SERVICES.—The term 

9 ‘‘public safety services’’ has the meaning given such 

10 term in section 337 of the Communications Act of 

11 1934 (47 U.S.C. 337). 

12 (24) REVERSE AUCTION.—The term ‘‘reverse 

13 auction’’ means the portion of an incentive auction 

14 of broadcast television spectrum under section 

15 4104(a), in which a broadcast television licensee may 

16 submit bids stating the amount it would accept for 

17 voluntarily relinquishing some or all of its broadcast 

18 television spectrum usage rights. 

19 (25) SPECTRUM LICENSED TO THE ADMINIS20 TRATOR.—The term ‘‘spectrum licensed to the Ad21 ministrator’’ means the portion of the electro22 magnetic spectrum that the Administrator is li23 censed to use under section 4201(a). 


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1 (26) STATE.—The term ‘‘State’’ has the mean2 ing given such term in section 3 of the Communica3 tions Act of 1934 (47 U.S.C. 153). 

4 (27) STATE PUBLIC SAFETY BROADBAND COM5 MUNICATIONS NETWORK.—The term ‘‘State public 

6 safety broadband communications network’’ means a 

7 broadband network for public safety communications 

8 established by a State Public Safety Broadband Of9 fice, in accordance with the National Public Safety 

10 Communications Plan, using the spectrum licensed 

11 to the Administrator. 

12 (28) STATE PUBLIC SAFETY BROADBAND OF13 FICE.—The term ‘‘State Public Safety Broadband 

14 Office’’ means an office established or designated 

15 under section 4221(a). 

16 (29) ULTRA HIGH FREQUENCY.—The term 

17 ‘‘ultra high frequency’’ means, with respect to a tele18 vision channel, that the channel is located in the 

19 portion of the electromagnetic spectrum between the 

20 frequencies from 470 megahertz to 698 megahertz. 

21 (30) VERY HIGH FREQUENCY.—The term ‘‘very 

22 high frequency’’ means, with respect to a television 

23 channel, that the channel is located in the portion of 

24 the electromagnetic spectrum between the fre25 quencies from 54 megahertz to 72 megahertz, from 


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1 76 megahertz to 88 megahertz, or from 174 mega2 hertz to 216 megahertz. 

3 SEC. 4003. RULE OF CONSTRUCTION. 

4 Each range of frequencies described in this title shall 

5 be construed to be inclusive of the upper and lower fre6 quencies in the range. 

7 SEC. 4004. ENFORCEMENT. 

8 (a) IN GENERAL.—The Commission shall implement 

9 and enforce this title as if this title is a part of the Com10 munications Act of 1934 (47 U.S.C. 151 et seq.). A viola11 tion of this title, or a regulation promulgated under this 

12 title, shall be considered to be a violation of the Commu13 nications Act of 1934, or a regulation promulgated under 

14 such Act, respectively. 

15 (b) EXCEPTIONS.— 

16 (1) OTHER AGENCIES.—Subsection (a) does not 

17 apply in the case of a provision of this title that is 

18 expressly required to be carried out by an agency (as 

19 defined in section 551 of title 5, United States 

20 Code) other than the Commission. 

21 (2) NTIA REGULATIONS.—The Assistant Sec22 retary may promulgate such regulations as are nec23 essary to implement and enforce any provision of 

24 this title that is expressly required to be carried out 

25 by the Assistant Secretary. 


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1 SEC. 4005. NATIONAL SECURITY RESTRICTIONS ON USE OF 

2 FUNDS AND AUCTION PARTICIPATION. 

3 (a) USE OF FUNDS.—No funds made available by 

4 section 4102 or subtitle B may be used to make payments 

5 under a contract to a person described in subsection (c). 

6 (b) AUCTION PARTICIPATION.—A person described in 

7 subsection (c) may not participate in a system of competi8 tive bidding under section 309(j) of the Communications 

9 Act of 1934 (47 U.S.C. 309(j))— 

10 (1) that is required to be conducted by this 

11 title; or 

12 (2) in which any spectrum usage rights for 

13 which licenses are being assigned were made avail14 able under clause (i) of subparagraph (G) of para15 graph (8) of such section, as added by section 4103. 

16 (c) PERSON DESCRIBED.—A person described in this 

17 subsection is a person who has been, for reasons of na18 tional security, barred by any agency of the Federal Gov19 ernment from bidding on a contract, participating in an 

20 auction, or receiving a grant. 

21 Subtitle A—Spectrum Auction 

22 Authority 

23 SEC. 4101. DEADLINES FOR AUCTION OF CERTAIN SPEC24 TRUM. 

25 (a) CLEARING CERTAIN FEDERAL SPECTRUM.— 

26 (1) IN GENERAL.—The President shall— 


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1 (A) not later than 3 years after the date 

2 of the enactment of this Act, begin the process 

3 of withdrawing or modifying the assignment to 

4 a Federal Government station of the electro5 magnetic spectrum described in paragraph (2); 

6 and 

7 (B) not later than 30 days after com8 pleting the withdrawal or modification, notify 

9 the Commission that the withdrawal or modi10 fication is complete. 

11 (2) SPECTRUM DESCRIBED.—The electro12 magnetic spectrum described in this paragraph is 

13 the following: 

14 (A) The frequencies between 1755 mega15 hertz and 1780 megahertz, except that if— 

16 (i) the Secretary of Commerce— 

17 (I) determines that such fre18 quencies cannot be reallocated for 

19 non-Federal use because incumbent 

20 Federal operations cannot be elimi21 nated, relocated to other spectrum, or 

22 accommodated through other means; 

23 (II) identifies other spectrum for 

24 reallocation for non-Federal use that 

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1 mines can reasonably be expected to 

2 produce a comparable amount of net 

3 auction proceeds; and 

4 (III) submits to the Committee 

5 on Commerce, Science, and Transpor6 tation of the Senate and the Com7 mittee on Energy and Commerce of 

8 the House of Representatives a report 

9 that identifies such spectrum and ex10 plains the determinations under sub11 clauses (I) and (II); and 

12 (ii) not later than 1 year after the 

13 date of the submission of such report, 

14 there is enacted a law approving the sub15 stitution of the spectrum identified under 

16 clause (i)(II) for the frequencies between 

17 1755 megahertz and 1780 megahertz; 

18 the spectrum described in this subparagraph 

19 shall be the spectrum identified under such 

20 clause. 

21 (B) The 15 megahertz of spectrum be22 tween 1675 megahertz and 1710 megahertz 

23 identified under paragraph (3). 

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1 graphic exclusion zones (as such zones may be 

2 amended) identified in the report of the NTIA 

3 published in October 2010 and entitled ‘‘An As4 sessment of Near-Term Viability of Accommo5 dating Wireless Broadband Systems in 1675– 

6 1710 MHz, 1755–1780 MHz, 3500–3650 MHz, 

7 and 4200–4220 MHz, 4380–4400 MHz 

8 Bands’’. 

9 (3) IDENTIFICATION BY SECRETARY OF COM10 MERCE.—Not later than 1 year after the date of the 

11 enactment of this Act, the Secretary of Commerce 

12 shall submit to the President a report identifying 15 

13 megahertz of spectrum between 1675 megahertz and 

14 1710 megahertz for reallocation from Federal use to 

15 non-Federal use. 

16 (b) REALLOCATION AND AUCTION.— 

17 (1) IN GENERAL.—Notwithstanding paragraph 

18 (15)(A) of section 309(j) of the Communications Act 

19 of 1934 (47 U.S.C. 309(j)), not later than 3 years 

20 after the date of the enactment of this Act, the 

21 Commission shall, except as provided in paragraph 

22 (4)— 

23 (A) allocate the spectrum described in 

24 paragraph (2) for commercial use; and 


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1 (B) through a system of competitive bid2 ding under such section, grant new initial li3 censes for the use of such spectrum, subject to 

4 flexible-use service rules. 

5 (2) SPECTRUM DESCRIBED.—The spectrum de6 scribed in this paragraph is the following: 

7 (A) The frequencies between 1915 mega8 hertz and 1920 megahertz, paired with the fre9 quencies between 1995 megahertz and 2000 

10 megahertz. 

11 (B) The frequencies described in sub12 section (a)(2)(A). 

13 (C) The frequencies between 2155 mega14 hertz and 2180 megahertz. 

15 (D) The 15 megahertz of spectrum identi16 fied under subsection (a)(3), paired with 15 

17 megahertz of contiguous spectrum to be identi18 fied by the Commission. 

19 (E) The frequencies described in sub20 section (a)(2)(C). 

21 (3) PROCEEDS TO COVER 110 PERCENT OF FED22 ERAL RELOCATION OR SHARING COSTS.—Nothing in 

23 paragraph (1) shall be construed to relieve the Com24 mission from the requirements of section 


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1 309(j)(16)(B) of the Communications Act of 1934 

2 (47 U.S.C. 309(j)(16)(B)). 

3 (4) DETERMINATION BY COMMISSION.—If the 

4 Commission determines that either band of fre5 quencies described in paragraph (2)(A) cannot be 

6 used without causing harmful interference to com7 mercial mobile service licensees in the frequencies 

8 between 1930 megahertz and 1995 megahertz, the 

9 Commission may not— 

10 (A) allocate for commercial use under 

11 paragraph (1)(A) either band described in para12 graph (2)(A); or 

13 (B) grant licenses under paragraph (1)(B) 

14 for the use of either band described in para15 graph (2)(A). 

16 (c) AUCTION PROCEEDS.—Section 309(j)(8) of the 

17 Communications Act of 1934 (47 U.S.C. 309(j)(8)) is 

18 amended— 

19 (1) in subparagraph (A), by striking ‘‘(D), and 

20 (E),’’ and inserting ‘‘(D), (E), (F), and (G),’’; 

21 (2) in subparagraph (C)(i), by striking ‘‘sub22 paragraph (E)(ii)’’ and inserting ‘‘subparagraphs 

23 (D)(ii), (E)(ii), (F), and (G)’’; 

24 (3) in subparagraph (D)— 


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1 (A) by striking the heading and inserting 

2 ‘‘PROCEEDS FROM REALLOCATED FEDERAL

3 SPECTRUM’’; 

4 (B) by striking ‘‘Cash’’ and inserting the 

5 following: 

6 ‘‘(i) IN GENERAL.—Except as pro7 vided in clause (ii), cash’’; and 

8 (C) by adding at the end the following: 

9 ‘‘(ii) CERTAIN OTHER PROCEEDS.— 

10 Notwithstanding subparagraph (A) and ex11 cept as provided in subparagraph (B), in 

12 the case of proceeds (including deposits 

13 and upfront payments from successful bid14 ders) attributable to the auction of eligible 

15 frequencies described in paragraph (2) of 

16 section 113(g) of the National Tele17 communications and Information Adminis18 tration Organization Act that are required 

19 to be auctioned by section 4101(b)(1)(B) 

20 of the Jumpstarting Opportunity with 

21 Broadband Spectrum Act of 2011, such 

22 portion of such proceeds as is necessary to 

23 cover the relocation or sharing costs (as 

24 defined in paragraph (3) of such section 

25 113(g)) of Federal entities relocated from 


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1 such eligible frequencies shall be deposited 

2 in the Spectrum Relocation Fund. The re3 mainder of such proceeds shall be depos4 ited in the Public Safety Trust Fund es5 tablished by section 4241(a)(1) of the 

6 Jumpstarting Opportunity with Broadband 

7 Spectrum Act of 2011.’’; and 

8 (4) by adding at the end the following: 

9 ‘‘(F) CERTAIN PROCEEDS DESIGNATED

10 FOR PUBLIC SAFETY TRUST FUND.—Notwith11 standing subparagraph (A) and except as pro12 vided in subparagraphs (B) and (D)(ii), the 

13 proceeds (including deposits and upfront pay14 ments from successful bidders) from the use of 

15 a system of competitive bidding under this sub16 section pursuant to section 4101(b)(1)(B) of 

17 the Jumpstarting Opportunity with Broadband 

18 Spectrum Act of 2011 shall be deposited in the 

19 Public Safety Trust Fund established by section 

20 4241(a)(1) of such Act.’’. 

21 SEC. 4102. 700 MHZ PUBLIC SAFETY NARROWBAND SPEC22 TRUM AND GUARD BAND SPECTRUM. 

23 (a) REALLOCATION AND AUCTION.— 

24 (1) IN GENERAL.—On the date that is 5 years 

25 after a certification by the Administrator to the 


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1 Commission of the availability of standards for pub2 lic safety voice over broadband, the Commission 

3 shall, notwithstanding paragraph (15)(A) of section 

4 309(j) of the Communications Act of 1934 (47 

5 U.S.C. 309(j))— 

6 (A) reallocate the 700 MHz public safety 

7 narrowband spectrum and the 700 MHz public 

8 safety guard band spectrum for commercial use; 

9 and 

10 (B) begin a system of competitive bidding 

11 under such section to grant new initial licenses 

12 for the use of such spectrum. 

13 (2) AUCTION PROCEEDS.—Notwithstanding 

14 subparagraphs (A) and (C)(i) of paragraph (8) of 

15 such section, not more than $1,000,000,000 of the 

16 proceeds (including deposits and upfront payments 

17 from successful bidders) from the use of a system of 

18 competitive bidding pursuant to paragraph (1)(B) 

19 shall be available to the Assistant Secretary to carry 

20 out subsection (b) and shall remain available until 

21 expended. 

22 (b) GRANTS FOR PUBLIC SAFETY RADIO EQUIP23 MENT.— 

24 (1) IN GENERAL.—From amounts made avail25 able under subsection (a)(2), the Assistant Secretary 


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1 shall make grants to States for the acquisition of 

2 public safety radio equipment. 

3 (2) APPLICATION.—The Assistant Secretary 

4 may only make a grant under this subsection to a 

5 State that submits an application at such time, in 

6 such form, and containing such information and as7 surances as the Assistant Secretary may require. 

8 (3) QUARTERLY REPORTS.— 

9 (A) FROM GRANTEES TO NTIA.—A State 

10 receiving grant funds under this subsection 

11 shall, not later than 3 months after receiving 

12 such funds and not less frequently than quar13 terly thereafter until the date that is 1 year 

14 after all such funds have been expended, submit 

15 to the Assistant Secretary a report on the use 

16 of grant funds by such State. 

17 (B) FROM NTIA TO CONGRESS.—Not later 

18 than 6 months after making the first grant 

19 under this subsection and not less frequently 

20 than quarterly thereafter until the date that is 

21 18 months after all such funds have been ex22 pended by the grantees, the Assistant Secretary 

23 shall submit to the Committee on Commerce, 

24 Science, and Transportation of the Senate and 


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1 the Committee on Energy and Commerce of the 

2 House of Representatives a report that— 

3 (i) summarizes the reports submitted 

4 by grantees under subparagraph (A); and 

5 (ii) describes and evaluates the use of 

6 grant funds disbursed under this sub7 section. 

8 (c) CONFORMING AMENDMENTS.—Section 337(a) of 

9 the Communications Act of 1934 (47 U.S.C. 337(a)) is 

10 amended— 

11 (1) in the matter preceding paragraph (1)— 

12 (A) by striking ‘‘Not later than January 1, 

13 1998, the’’ and inserting ‘‘The’’; and 

14 (B) by inserting ‘‘for either public safety 

15 services or commercial use,’’ after ‘‘inclusive,’’; 

16 (2) in paragraph (1)— 

17 (A) by striking ‘‘24 megahertz’’ and insert18 ing ‘‘Not more than 34 megahertz’’; and 

19 (B) by striking ‘‘, in consultation with the 

20 Secretary of Commerce and the Attorney Gen21 eral; and’’ and inserting a period; and 

22 (3) in paragraph (2), by striking ‘‘36 mega23 hertz’’ and inserting ‘‘Not more than 40 mega24 hertz’’. 


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1 SEC. 4103. GENERAL AUTHORITY FOR INCENTIVE AUC2 TIONS. 

3 Section 309(j)(8) of the Communications Act of 

4 1934, as amended by section 4101(c), is further amended 

5 by adding at the end the following: 

6 ‘‘(G) INCENTIVE AUCTIONS.— 

7 ‘‘(i) IN GENERAL.—Notwithstanding 

8 subparagraph (A) and except as provided 

9 in subparagraph (B), the Commission may 

10 encourage a licensee to relinquish volun11 tarily some or all of its licensed spectrum 

12 usage rights in order to permit the assign13 ment of new initial licenses subject to flexi14 ble-use service rules by sharing with such 

15 licensee a portion, based on the value of 

16 the relinquished rights as determined in 

17 the reverse auction required by clause 

18 (ii)(I), of the proceeds (including deposits 

19 and upfront payments from successful bid20 ders) from the use of a competitive bidding 

21 system under this subsection. 

22 ‘‘(ii) LIMITATIONS.—The Commission 

23 may not enter into an agreement for a li24 censee to relinquish spectrum usage rights 

25 in exchange for a share of auction proceeds 

26 under clause (i) unless— 


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1 ‘‘(I) the Commission conducts a 

2 reverse auction to determine the 

3 amount of compensation that licensees 

4 would accept in return for voluntarily 

5 relinquishing spectrum usage rights; 

6 and 

7 ‘‘(II) at least two competing li8 censees participate in the reverse auc9 tion. 

10 ‘‘(iii) TREATMENT OF REVENUES.— 

11 Notwithstanding subparagraph (A) and ex12 cept as provided in subparagraph (B), the 

13 proceeds (including deposits and upfront 

14 payments from successful bidders) from 

15 any auction, prior to the end of fiscal year 

16 2021, of spectrum usage rights made avail17 able under clause (i) that are not shared 

18 with licensees under such clause shall be 

19 deposited as follows: 

20 ‘‘(I) $3,000,000,000 of the pro21 ceeds from the incentive auction of 

22 broadcast television spectrum required 

23 by section 4104 of the Jumpstarting 

24 Opportunity with Broadband Spec25 trum Act of 2011 shall be deposited 


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1 in the TV Broadcaster Relocation 

2 Fund established by subsection (d)(1) 

3 of such section. 

4 ‘‘(II) All other proceeds shall be 

5 deposited— 

6 ‘‘(aa) prior to the end of fis7 cal year 2021, in the Public Safe8 ty Trust Fund established by sec9 tion 4241(a)(1) of such Act; and 

10 ‘‘(bb) after the end of fiscal 

11 year 2021, in the general fund of 

12 the Treasury, where such pro13 ceeds shall be dedicated for the 

14 sole purpose of deficit reduction. 

15 ‘‘(iv) CONGRESSIONAL NOTIFICA16 TION.—At least 3 months before any in17 centive auction conducted under this sub18 paragraph, the Chairman of the Commis19 sion, in consultation with the Director of 

20 the Office of Management and Budget, 

21 shall notify the appropriate committees of 

22 Congress of the methodology for calcu23 lating the amounts that will be shared with 

24 licensees under clause (i). 


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1 ‘‘(v) DEFINITION.—In this subpara2 graph, the term ‘appropriate committees of 

3 Congress’ means— 

4 ‘‘(I) the Committee on Com5 merce, Science, and Transportation of 

6 the Senate; 

7 ‘‘(II) the Committee on Appro8 priations of the Senate; 

9 ‘‘(III) the Committee on Energy 

10 and Commerce of the House of Rep11 resentatives; and 

12 ‘‘(IV) the Committee on Appro13 priations of the House of Representa14 tives.’’. 

15 SEC. 4104. SPECIAL REQUIREMENTS FOR INCENTIVE AUC16 TION OF BROADCAST TV SPECTRUM. 

17 (a) REVERSE AUCTION TO IDENTIFY INCENTIVE

18 AMOUNT.— 

19 (1) IN GENERAL.—The Commission shall con20 duct a reverse auction to determine the amount of 

21 compensation that each broadcast television licensee 

22 would accept in return for voluntarily relinquishing 

23 some or all of its broadcast television spectrum 

24 usage rights in order to make spectrum available for 

25 assignment through a system of competitive bidding 


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1 under subparagraph (G) of section 309(j)(8) of the 

2 Communications Act of 1934, as added by section 

3 4103. 

4 (2) ELIGIBLE RELINQUISHMENTS.—A relin5 quishment of usage rights for purposes of paragraph 

6 (1) shall include the following: 

7 (A) Relinquishing all usage rights with re8 spect to a particular television channel without 

9 receiving in return any usage rights with re10 spect to another television channel. 

11 (B) Relinquishing all usage rights with re12 spect to an ultra high frequency television chan13 nel in return for receiving usage rights with re14 spect to a very high frequency television chan15 nel. 

16 (C) Relinquishing usage rights in order to 

17 share a television channel with another licensee. 

18 (3) CONFIDENTIALITY.—The Commission shall 

19 take all reasonable steps necessary to protect the 

20 confidentiality of Commission-held data of a licensee 

21 participating in the reverse auction under paragraph 

22 (1), including withholding the identity of such li23 censee until the reassignments and reallocations (if 

24 any) under subsection (b)(1)(B) become effective, as 

25 described in subsection (f)(2). 


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1 (4) PROTECTION OF CARRIAGE RIGHTS OF LI2 CENSEES SHARING A CHANNEL.—A broadcast tele3 vision station that voluntarily relinquishes spectrum 

4 usage rights under this subsection in order to share 

5 a television channel and that possessed carriage 

6 rights under section 338, 614, or 615 of the Com7 munications Act of 1934 (47 U.S.C. 338; 534; 535) 

8 on November 30, 2010, shall have, at its shared lo9 cation, the carriage rights under such section that 

10 would apply to such station at such location if it 

11 were not sharing a channel. 

12 (b) REORGANIZATION OF BROADCAST TV SPEC13 TRUM.— 

14 (1) IN GENERAL.—For purposes of making 

15 available spectrum to carry out the forward auction 

16 under subsection (c)(1), the Commission— 

17 (A) shall evaluate the broadcast television 

18 spectrum (including spectrum made available 

19 through the reverse auction under subsection 

20 (a)(1)); and 

21 (B) may, subject to international coordina22 tion along the border with Mexico and Can23 ada— 


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1 (i) make such reassignments of tele2 vision channels as the Commission con3 siders appropriate; and 

4 (ii) reallocate such portions of such 

5 spectrum as the Commission determines 

6 are available for reallocation. 

7 (2) FACTORS FOR CONSIDERATION.—In making 

8 any reassignments or reallocations under paragraph 

9 (1)(B), the Commission shall make all reasonable ef10 forts to preserve, as of the date of the enactment of 

11 this Act, the coverage area and population served of 

12 each broadcast television licensee, as determined 

13 using the methodology described in OET Bulletin 69 

14 of the Office of Engineering and Technology of the 

15 Commission. 

16 (3) NO INVOLUNTARY RELOCATION FROM UHF

17 TO VHF.—In making any reassignments under para18 graph (1)(B)(i), the Commission may not involun19 tarily reassign a broadcast television licensee— 

20 (A) from an ultra high frequency television 

21 channel to a very high frequency television 

22 channel; or 

23 (B) from a television channel between the 

24 frequencies from 174 megahertz to 216 megaVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00222 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 hertz to a television channel between the fre2 quencies from 54 megahertz to 88 megahertz. 

3 (4) PAYMENT OF RELOCATION COSTS.— 

4 (A) IN GENERAL.—Except as provided in 

5 subparagraph (B), from amounts made avail6 able under subsection (d)(2), the Commission 

7 shall reimburse costs reasonably incurred by— 

8 (i) a broadcast television licensee that 

9 was reassigned under paragraph (1)(B)(i) 

10 from one ultra high frequency television 

11 channel to a different ultra high frequency 

12 television channel, from one very high fre13 quency television channel to a different 

14 very high frequency television channel, or, 

15 in accordance with subsection (g)(1)(B), 

16 from a very high frequency television chan17 nel to an ultra high frequency television 

18 channel, in order for the licensee to relo19 cate its television service from one channel 

20 to the other; or 

21 (ii) a multichannel video programming 

22 distributor in order to continue to carry 

23 the signal of a broadcast television licensee 

24 that— 

25 (I) is described in clause (i); 


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1 (II) voluntarily relinquishes spec2 trum usage rights under subsection 

3 (a) with respect to an ultra high fre4 quency television channel in return for 

5 receiving usage rights with respect to 

6 a very high frequency television chan7 nel; or 

8 (III) voluntarily relinquishes 

9 spectrum usage rights under sub10 section (a) to share a television chan11 nel with another licensee. 

12 (B) REGULATORY RELIEF.—In lieu of re13 imbursement for relocation costs under sub14 paragraph (A), a broadcast television licensee 

15 may accept, and the Commission may grant as 

16 it considers appropriate, a waiver of the service 

17 rules of the Commission to permit the licensee, 

18 subject to interference protections, to make 

19 flexible use of the spectrum assigned to the li20 censee to provide services other than broadcast 

21 television services. Such waiver shall only re22 main in effect while the licensee provides at 

23 least 1 broadcast television program stream on 

24 such spectrum at no charge to the public. 


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1 (C) LIMITATION.—The Commission may 

2 not make reimbursements under subparagraph 

3 (A) for lost revenues. 

4 (D) DEADLINE.—The Commission shall 

5 make all reimbursements required by subpara6 graph (A) not later than the date that is 3 

7 years after the completion of the forward auc8 tion under subsection (c)(1). 

9 (5) LOW-POWER TELEVISION USAGE RIGHTS.— 

10 Nothing in this subsection shall be construed to alter 

11 the spectrum usage rights of low-power television 

12 stations. 

13 (c) FORWARD AUCTION.— 

14 (1) AUCTION REQUIRED.—The Commission 

15 shall conduct a forward auction in which— 

16 (A) the Commission assigns licenses for 

17 the use of the spectrum that the Commission 

18 reallocates under subsection (b)(1)(B)(ii); and 

19 (B) the amount of the proceeds that the 

20 Commission shares under clause (i) of section 

21 309(j)(8)(G) of the Communications Act of 

22 1934 with each licensee whose bid the Commis23 sion accepts in the reverse auction under sub24 section (a)(1) is not less than the amount of 

25 such bid. 


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1 (2) MINIMUM PROCEEDS.— 

2 (A) IN GENERAL.—If the amount of the 

3 proceeds from the forward auction under para4 graph (1) is not greater than the sum described 

5 in subparagraph (B), no licenses shall be as6 signed through such forward auction, no re7 assignments or reallocations under subsection 

8 (b)(1)(B) shall become effective, and the Com9 mission may not revoke any spectrum usage 

10 rights by reason of a bid that the Commission 

11 accepts in the reverse auction under subsection 

12 (a)(1). 

13 (B) SUM DESCRIBED.—The sum described 

14 in this subparagraph is the sum of— 

15 (i) the total amount of compensation 

16 that the Commission must pay successful 

17 bidders in the reverse auction under sub18 section (a)(1); 

19 (ii) the costs of conducting such for20 ward auction that the salaries and ex21 penses account of the Commission is re22 quired to retain under section 309(j)(8)(B) 

23 of the Communications Act of 1934 (47 

24 U.S.C. 309(j)(8)(B)); and 


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1 (iii) the estimated costs for which the 

2 Commission is required to make reim3 bursements under subsection (b)(4)(A). 

4 (C) ADMINISTRATIVE COSTS.—The amount 

5 of the proceeds from the forward auction under 

6 paragraph (1) that the salaries and expenses 

7 account of the Commission is required to retain 

8 under section 309(j)(8)(B) of the Communica9 tions Act of 1934 (47 U.S.C. 309(j)(8)(B)) 

10 shall be sufficient to cover the costs incurred by 

11 the Commission in conducting the reverse auc12 tion under subsection (a)(1), conducting the 

13 evaluation of the broadcast television spectrum 

14 under subparagraph (A) of subsection (b)(1), 

15 and making any reassignments or reallocations 

16 under subparagraph (B) of such subsection, in 

17 addition to the costs incurred by the Commis18 sion in conducting such forward auction. 

19 (3) FACTOR FOR CONSIDERATION.—In con20 ducting the forward auction under paragraph (1), 

21 the Commission shall consider assigning licenses 

22 that cover geographic areas of a variety of different 

23 sizes. 

24 (d) TV BROADCASTER RELOCATION FUND.— 


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1 (1) ESTABLISHMENT.—There is established in 

2 the Treasury of the United States a fund to be 

3 known as the TV Broadcaster Relocation Fund. 

4 (2) PAYMENT OF RELOCATION COSTS.—Any 

5 amounts borrowed under paragraph (3)(A) and any 

6 amounts in the TV Broadcaster Relocation Fund 

7 that are not necessary for reimbursement of the gen8 eral fund of the Treasury for such borrowed 

9 amounts shall be available to the Commission to 

10 make the payments required by subsection (b)(4)(A). 

11 (3) BORROWING AUTHORITY.— 

12 (A) IN GENERAL.—Beginning on the date 

13 when any reassignments or reallocations under 

14 subsection (b)(1)(B) become effective, as pro15 vided in subsection (f)(2), and ending when 

16 $1,000,000,000 has been deposited in the TV 

17 Broadcaster Relocation Fund, the Commission 

18 may borrow from the Treasury of the United 

19 States an amount not to exceed $1,000,000,000 

20 to use toward the payments required by sub21 section (b)(4)(A). 

22 (B) REIMBURSEMENT.—The Commission 

23 shall reimburse the general fund of the Treas24 ury, without interest, for any amounts borrowed 


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1 under subparagraph (A) as funds are deposited 

2 into the TV Broadcaster Relocation Fund. 

3 (4) TRANSFER OF UNUSED FUNDS.—If any 

4 amounts remain in the TV Broadcaster Relocation 

5 Fund after the date that is 3 years after the comple6 tion of the forward auction under subsection (c)(1), 

7 the Secretary of the Treasury shall— 

8 (A) prior to the end of fiscal year 2021, 

9 transfer such amounts to the Public Safety 

10 Trust Fund established by section 4241(a)(1); 

11 and 

12 (B) after the end of fiscal year 2021, 

13 transfer such amounts to the general fund of 

14 the Treasury, where such amounts shall be 

15 dedicated for the sole purpose of deficit reduc16 tion. 

17 (e) NUMERICAL LIMITATION ON AUCTIONS AND RE18 ORGANIZATION.—The Commission may not complete more 

19 than one reverse auction under subsection (a)(1) or more 

20 than one reorganization of the broadcast television spec21 trum under subsection (b). 

22 (f) TIMING.— 

23 (1) CONTEMPORANEOUS AUCTIONS AND REOR24 GANIZATION PERMITTED.—The Commission may 

25 conduct the reverse auction under subsection (a)(1), 


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1 any reassignments or reallocations under subsection 

2 (b)(1)(B), and the forward auction under subsection 

3 (c)(1) on a contemporaneous basis. 

4 (2) EFFECTIVENESS OF REASSIGNMENTS AND

5 REALLOCATIONS.—Notwithstanding paragraph (1), 

6 no reassignments or reallocations under subsection 

7 (b)(1)(B) shall become effective until the completion 

8 of the reverse auction under subsection (a)(1) and 

9 the forward auction under subsection (c)(1), and, to 

10 the extent practicable, all such reassignments and 

11 reallocations shall become effective simultaneously. 

12 (3) DEADLINE.—The Commission may not con13 duct the reverse auction under subsection (a)(1) or 

14 the forward auction under subsection (c)(1) after the 

15 end of fiscal year 2021. 

16 (4) LIMIT ON DISCRETION REGARDING AUCTION

17 TIMING.—Section 309(j)(15)(A) of the Communica18 tions Act of 1934 (47 U.S.C. 309(j)(15)(A)) shall 

19 not apply in the case of an auction conducted under 

20 this section. 

21 (g) LIMITATION ON REORGANIZATION AUTHORITY.— 

22 (1) IN GENERAL.—During the period described 

23 in paragraph (2), the Commission may not— 

24 (A) involuntarily modify the spectrum 

25 usage rights of a broadcast television licensee or 


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1 reassign such a licensee to another television 

2 channel except— 

3 (i) in accordance with this section; or 

4 (ii) in the case of a violation by such 

5 licensee of the terms of its license or a spe6 cific provision of a statute administered by 

7 the Commission, or a regulation of the 

8 Commission promulgated under any such 

9 provision; or 

10 (B) reassign a broadcast television licensee 

11 from a very high frequency television channel to 

12 an ultra high frequency television channel, un13 less such a reassignment will not decrease the 

14 total amount of ultra high frequency spectrum 

15 made available for reallocation under this sec16 tion. 

17 (2) PERIOD DESCRIBED.—The period described 

18 in this paragraph is the period beginning on the date 

19 of the enactment of this Act and ending on the ear20 liest of— 

21 (A) the first date when the reverse auction 

22 under subsection (a)(1), the reassignments and 

23 reallocations (if any) under subsection 

24 (b)(1)(B), and the forward auction under sub25 section (c)(1) have been completed; 


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1 (B) the date of a determination by the 

2 Commission that the amount of the proceeds 

3 from the forward auction under subsection 

4 (c)(1) is not greater than the sum described in 

5 subsection (c)(2)(B); or 

6 (C) September 30, 2021. 

7 (h) PROTEST RIGHT INAPPLICABLE.—The right of a 

8 licensee to protest a proposed order of modification of its 

9 license under section 316 of the Communications Act of 

10 1934 (47 U.S.C. 316) shall not apply in the case of a 

11 modification made under this section. 

12 (i) COMMISSION AUTHORITY.—Nothing in subsection 

13 (b) shall be construed to— 

14 (1) expand or contract the authority of the 

15 Commission, except as otherwise expressly provided; 

16 or 

17 (2) prevent the implementation of the Commis18 sion’s ‘‘White Spaces’’ Second Report and Order and 

19 Memorandum Opinion and Order (FCC 08–260, 

20 adopted November 4, 2008) in the spectrum that re21 mains allocated for broadcast television use after the 

22 reorganization required by such subsection. 


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1 SEC. 4105. ADMINISTRATION OF AUCTIONS BY COMMIS2 SION. 

3 Section 309(j) of the Communications Act of 1934 

4 (47 U.S.C. 309(j)) is amended by adding at the end the 

5 following new paragraphs: 

6 ‘‘(17) CERTAIN CONDITIONS ON AUCTION PAR7 TICIPATION PROHIBITED.—Notwithstanding any 

8 other provision of law, the Commission may not pre9 vent a person from participating in a system of com10 petitive bidding under this subsection if such per11 son— 

12 ‘‘(A) meets the technical, financial, and 

13 character qualifications required by sections 

14 303(l)(1), 308(b), and 310 to hold a license; or 

15 ‘‘(B) could meet such qualifications prior 

16 to the grant of the license. 

17 ‘‘(18) CERTAIN LICENSING CONDITIONS PRO18 HIBITED.—In assigning licenses through a system of 

19 competitive bidding under this subsection, the Com20 mission may not impose any condition on the li21 censes assigned through such system that— 

22 ‘‘(A) limits the ability of a licensee to man23 age the use of its network, including manage24 ment of the use of applications, services, or de25 vices on its network, or to prioritize the traffic 

26 on its network as it chooses; or 


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1 ‘‘(B) requires a licensee to sell access to its 

2 network on a wholesale basis.’’. 

3 SEC. 4106. EXTENSION OF AUCTION AUTHORITY. 

4 Section 309(j)(11) of the Communications Act of 

5 1934 (47 U.S.C. 309(j)(11)) is amended by striking 

6 ‘‘2012’’ and inserting ‘‘2021’’. 

7 SEC. 4107. UNLICENSED USE IN THE 5 GHZ BAND. 

8 (a) MODIFICATION OF COMMISSION REGULATIONS

9 TO ALLOW CERTAIN UNLICENSED USE.— 

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

11 not later than 1 year after the date of the enactment 

12 of this Act, the Commission shall begin a proceeding 

13 to modify part 15 of title 47, Code of Federal Regu14 lations, to allow unlicensed U–NII devices to operate 

15 in the 5350–5470 MHz band. 

16 (2) REQUIRED DETERMINATIONS.—The Com17 mission may make the modification described in 

18 paragraph (1) only if the Commission determines 

19 that— 

20 (A) licensed users will be protected by 

21 technical solutions, including use of existing, 

22 modified, or new spectrum-sharing technologies 

23 and solutions, such as dynamic frequency selec24 tion; and 


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1 (B) the primary mission of Federal spec2 trum users in the 5350–5470 MHz band will 

3 not be compromised by the introduction of unli4 censed devices. 

5 (b) STUDY BY NTIA.— 

6 (1) IN GENERAL.—The Assistant Secretary, in 

7 consultation with the Commission, shall conduct a 

8 study evaluating known and proposed spectrum9 sharing technologies and the risk to Federal users if 

10 unlicensed U–NII devices were allowed to operate in 

11 the 5350–5470 MHz band. 

12 (2) SUBMISSION.—Not later than 8 months 

13 after the date of the enactment of this Act, the As14 sistant Secretary shall submit the study required by 

15 paragraph (1) to— 

16 (A) the Commission; and 

17 (B) the Committee on Energy and Com18 merce of the House of Representatives and the 

19 Committee on Commerce, Science, and Trans20 portation of the Senate. 

21 (c) 5350–5470 MHZ BAND DEFINED.—In this sec22 tion, the term ‘‘5350–5470 MHz band’’ means the portion 

23 of the electromagnetic spectrum between the frequencies 

24 from 5350 megahertz to 5470 megahertz. 


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1 Subtitle B—Advanced Public 

2 Safety Communications 

3 PART 1—NATIONAL IMPLEMENTATION 

4 SEC. 4201. LICENSING OF SPECTRUM TO ADMINISTRATOR. 

5 (a) IN GENERAL.—Not later than 60 days after the 

6 initial selection under section 4203(a) of an entity to serve 

7 as Administrator, the Commission shall assign to the Ad8 ministrator a license for the exclusive use of the public 

9 safety broadband spectrum and the 700 MHz D block 

10 spectrum. 

11 (b) TERM OF LICENSE AND LICENSE CONDITIONS.— 

12 (1) INITIAL LICENSE.—The initial license as13 signed under subsection (a) shall be for a term of 

14 10 years. 

15 (2) RENEWAL OF LICENSE.—Prior to the expi16 ration of the term of the initial license assigned 

17 under subsection (a) or the expiration of any re18 newal of such license, if the Administrator wishes to 

19 continue serving as Administrator after the license 

20 expires, the Administrator shall submit to the Com21 mission an application for the renewal of such li22 cense in accordance with the Communications Act of 

23 1934 (47 U.S.C. 151 et seq.) and any applicable 

24 Commission regulations. Such renewal application 

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1 cense that the Administrator is seeking to renew, the 

2 Administrator has fulfilled its duties and obligations 

3 under this title and the Communications Act of 

4 1934 and has complied with all applicable Commis5 sion regulations. A renewal of the initial license 

6 granted under subsection (a) or any renewal of such 

7 license shall be for a term not to exceed 10 years. 

8 (3) USE OF SPECTRUM.—Except as provided in 

9 section 4221(d), the license assigned under sub10 section (a) and any renewal of such license shall pro11 hibit the Administrator from using the public safety 

12 broadband spectrum or the 700 MHz D block spec13 trum for any purpose other than authorizing the op14 eration of State public safety broadband communica15 tions networks in accordance with the National Pub16 lic Safety Communications Plan. 

17 (4) LIMITATION ON LICENSE CONDITIONS.— 

18 The Commission may not place any conditions on 

19 the license assigned under subsection (a) or any re20 newal of such license or, with respect to the spec21 trum governed by such license, otherwise prohibit 

22 any action of the Administrator, a State Public 

23 Safety Broadband Office, or an entity with which 

24 such an Office has entered into a contract under 

25 section 4221(b)(1)(D), except as necessary to— 


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1 (A) protect other users from harmful inter2 ference; 

3 (B) ensure that such spectrum is used in 

4 accordance with the National Public Safety 

5 Communications Plan; or 

6 (C) enforce a provision of this title or the 

7 Communications Act of 1934 (47 U.S.C. 151 et 

8 seq.) that governs the use of such spectrum. 

9 (5) LICENSE CONDITIONED ON SERVICE AS AD10 MINISTRATOR.—If an entity ceases to serve as Ad11 ministrator, the Commission shall, as soon as prac12 ticable after the Assistant Secretary selects a dif13 ferent entity to serve as Administrator under section 

14 4203(a)(2), transfer to such different entity the li15 cense assigned under subsection (a) or any renewal 

16 of such license. 

17 (c) ELIMINATION OF D BLOCK AUCTION REQUIRE18 MENT.—Notwithstanding section 309(j)(15)(C)(v) of the 

19 Communications Act of 1934 (47 U.S.C. 

20 309(j)(15)(C)(v)), the Commission may not assign a li21 cense for the use of the 700 MHz D block spectrum except 

22 under subsection (a). 

23 (d) DEFINITION OF PUBLIC SAFETY SERVICES.— 

24 Section 337(f)(1) of the Communications Act of 1934 (47 

25 U.S.C. 337(f)(1)) is amended— 


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1 (1) in subparagraph (A), by striking ‘‘to protect 

2 the safety of life, health, or property’’ and inserting 

3 ‘‘to provide law enforcement, fire and rescue re4 sponse, or emergency medical assistance (including 

5 such assistance provided by ambulance services, hos6 pitals, and urgent care facilities)’’; and 

7 (2) in subparagraph (B)— 

8 (A) in clause (i), by inserting ‘‘or tribal or9 ganizations (as defined in section 4 of the In10 dian Self-Determination and Education Assist11 ance Act (25 U.S.C. 450b))’’ before the semi12 colon; and 

13 (B) in clause (ii), by inserting ‘‘or a tribal 

14 organization’’ after ‘‘a governmental entity’’. 

15 (e) CONFORMING AMENDMENTS.—Section 337(d)(3) 

16 of the Communications Act of 1934 (47 U.S.C. 337(d)(3)) 

17 is amended— 

18 (1) in the matter preceding subparagraph (A), 

19 by striking ‘‘public safety services licensees and com20 mercial licensees’’; 

21 (2) in subparagraph (A), by inserting ‘‘public 

22 safety services licensees and commercial licensees’’ 

23 before ‘‘to aggregate’’; and 

24 (3) in subparagraph (B), by inserting ‘‘commer25 cial licensees’’ before ‘‘to disaggregate’’. 


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1 SEC. 4202. NATIONAL PUBLIC SAFETY COMMUNICATIONS 

2 PLAN. 

3 (a) ESTABLISHMENT OF PUBLIC SAFETY COMMU4 NICATIONS PLANNING BOARD.— 

5 (1) IN GENERAL.—Not later than 180 days 

6 after the date of the enactment of this Act, the 

7 Commission shall establish a board to be known as 

8 the Public Safety Communications Planning Board. 

9 (2) MEMBERSHIP.—The membership of the 

10 Board shall be as follows: 

11 (A) FEDERAL MEMBERS.— 

12 (i) IN GENERAL.—Four Federal mem13 bers as follows: 

14 (I) The Chairman of the Com15 mission, or a designee. 

16 (II) The Assistant Secretary, or 

17 a designee. 

18 (III) The Director of the Office 

19 of Emergency Communications in the 

20 Department of Homeland Security, or 

21 a designee. 

22 (IV) The Director of the Na23 tional Institute of Standards and 

24 Technology, or a designee. 

25 (ii) DESIGNEES.—If a Federal official 

26 designates a designee under clause (i), 


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1 such designee shall be an officer or em2 ployee of the agency of the official who is 

3 subordinate to the official, except that the 

4 Chairman of the Commission may des5 ignate another Commissioner of the Com6 mission or an officer or employee of the 

7 Commission. 

8 (B) NON-FEDERAL MEMBERS.—Nine non9 Federal members as follows: 

10 (i) Two members who represent pro11 viders of commercial mobile data service, 

12 with one representing providers that have 

13 nationwide coverage areas and one rep14 resenting providers that have regional cov15 erage areas. 

16 (ii) Two members who represent man17 ufacturers of mobile wireless network 

18 equipment. 

19 (iii) Five members who represent the 

20 interests of State and local governments, 

21 chosen to reflect geographic and population 

22 density differences across the United 

23 States, as follows: 


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1 (I) Two members who represent 

2 the public safety interests of the 

3 States. 

4 (II) One member who represents 

5 State and local public safety employ6 ees. 

7 (III) Two members who rep8 resent other interests of State and 

9 local governments, to be determined 

10 by the Chairman of the Commission. 

11 (3) SELECTION OF NON-FEDERAL MEMBERS.— 

12 (A) NOMINATION.—For each non-Federal 

13 member of the Board, the group that is rep14 resented by such member shall, by consensus, 

15 nominate an individual to serve as such member 

16 and submit the name of the nominee to the 

17 Chairman of the Commission. 

18 (B) APPOINTMENT.—The Chairman of the 

19 Commission shall appoint the non-Federal 

20 members of the Board from the nominations 

21 submitted under subparagraph (A). If a group 

22 fails to reach consensus on a nominee or to sub23 mit a nomination for a member that represents 

24 such group, or if the nominee is not qualified 


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1 under subparagraph (C), the Chairman shall se2 lect a member to represent such group. 

3 (C) QUALIFICATIONS.—Each non-Federal 

4 member appointed under subparagraph (B) 

5 shall meet at least 1 of the following criteria: 

6 (i) PUBLIC SAFETY EXPERIENCE.— 

7 Knowledge of and experience in Federal, 

8 State, local, or tribal public safety or emer9 gency response. 

10 (ii) TECHNICAL EXPERTISE.—Tech11 nical expertise regarding broadband com12 munications, including public safety com13 munications. 

14 (iii) NETWORK EXPERTISE.—Exper15 tise in building, deploying, and operating 

16 commercial telecommunications networks. 

17 (iv) FINANCIAL EXPERTISE.—Exper18 tise in financing and funding telecommuni19 cations networks. 

20 (4) TERMS OF APPOINTMENT.— 

21 (A) LENGTH.— 

22 (i) FEDERAL MEMBERS.—The term of 

23 office of each Federal member of the 

24 Board shall be 3 years, except that such 

25 term shall end when such member no 


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1 longer holds the Federal office by reason of 

2 which such member is a member of the 

3 Board (or, in the case of a designee, the 

4 Federal official who designated such des5 ignee no longer holds the office by reason 

6 of which such designation was made or the 

7 designee is no longer an officer, employee, 

8 or Commissioner as described in paragraph 

9 (2)(A)(ii)). 

10 (ii) NON-FEDERAL MEMBERS.—The 

11 term of office of each non-Federal member 

12 of the Board shall be 3 years. 

13 (B) STAGGERED TERMS.—With respect to 

14 the initial non-Federal members of the Board— 

15 (i) three members shall serve for a 

16 term of 3 years; 

17 (ii) three members shall serve for a 

18 term of 2 years; and 

19 (iii) three members shall serve for a 

20 term of 1 year. 

21 (C) VACANCIES.— 

22 (i) EFFECT OF VACANCIES.—A va23 cancy in the membership of the Board 

24 shall not affect the Board’s powers, subject 

25 to paragraph (8), and shall be filled in the 


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1 same manner as the original member was 

2 appointed. 

3 (ii) APPOINTMENT TO FILL VA4 CANCY.—A member of the Board ap5 pointed to fill a vacancy occurring prior to 

6 the expiration of the term for which that 

7 member’s predecessor was appointed shall 

8 be appointed for the remainder of the 

9 predecessor’s term. 

10 (iii) EXPIRATION OF TERM.—A non11 Federal member of the Board whose term 

12 has expired may serve until such member’s 

13 successor has taken office, or until the end 

14 of the calendar year in which such mem15 ber’s term has expired, whichever is ear16 lier. 

17 (5) CHAIR.— 

18 (A) SELECTION.—The Chair of the Board 

19 shall be selected by the Board from among the 

20 members of the Board. 

21 (B) TERM.—The term of office of the 

22 Chair of the Board shall run from the date 

23 when the Chair is selected until the date when 

24 the term of the Chair as a member of the 

25 Board expires. 


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1 (6) REMOVAL OF CHAIR AND NON-FEDERAL

2 MEMBERS.— 

3 (A) BY BOARD.—The members of the 

4 Board may, by majority vote— 

5 (i) remove the Chair of the Board 

6 from the position of Chair for conduct de7 termined to be detrimental to the Board; 

8 or 

9 (ii) remove from the Board any non10 Federal member of the Board for conduct 

11 determined to be detrimental to the Board. 

12 (B) BY CHAIRMAN OF THE COMMISSION.— 

13 The Chairman of the Commission may, for 

14 good cause— 

15 (i) remove the Chair of the Board 

16 from the position of Chair; or 

17 (ii) remove from the Board any non18 Federal member of the Board. 

19 (7) ANNUAL MEETINGS.—In addition to any 

20 other meetings necessary to carry out the duties of 

21 the Board under this section, the Board shall 

22 meet— 

23 (A) subject to the call of the Chair; and 


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1 (B) annually to consider the most recent 

2 report submitted by the Administrator under 

3 section 4203(f)(1). 

4 (8) QUORUM.—Seven members of the Board, 

5 including not fewer than 6 non-Federal members, 

6 shall constitute a quorum. 

7 (9) RESOURCES.—The Commission shall pro8 vide the Board with the staff, administrative sup9 port, and facilities necessary to carry out the duties 

10 of the Board under this section. 

11 (10) PROHIBITION AGAINST COMPENSATION.— 

12 A member of the Board shall serve without pay but 

13 shall be allowed a per diem allowance for travel ex14 penses, at rates authorized for an employee of an 

15 agency under subchapter I of chapter 57 of title 5, 

16 United States Code, while away from the home or 

17 regular place of business of the member in the per18 formance of the duties of the Board. Compensation 

19 of a Federal member of the Board for service in the 

20 Federal office or employment by reason of which 

21 such member is a member of the Board shall not be 

22 considered compensation under this paragraph. 

23 (11) FEDERAL ADVISORY COMMITTEE ACT IN24 APPLICABLE.—The Federal Advisory Committee Act 

25 (5 U.S.C. App.) shall not apply to the Board. 


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1 (b) DEVELOPMENT OF PLAN BY BOARD.— 

2 (1) IN GENERAL.—Not later than 1 year after 

3 the date on which the Board is established under 

4 subsection (a)(1), the Board shall submit to the 

5 Commission a detailed proposal for a National Pub6 lic Safety Communications Plan to govern the use of 

7 the spectrum licensed to the Administrator in order 

8 to meet long-term public safety communications 

9 needs. 

10 (2) LIMITATION ON RECOMMENDATIONS.—The 

11 Board may not make any recommendations for re12 quirements generally applicable to providers of com13 mercial mobile service or private mobile service (as 

14 defined in section 332 of the Communications Act of 

15 1934 (47 U.S.C. 332)). 

16 (c) CONSIDERATION OF PLAN BY COMMISSION.— 

17 (1) IN GENERAL.—Not later than 90 days after 

18 the date of the submission of the proposal by the 

19 Board under subsection (b)(1), the Commission shall 

20 complete a single proceeding to— 

21 (A) adopt such proposal, without modifica22 tion, as the National Public Safety Communica23 tions Plan; or 

24 (B) reject such proposal. 


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1 (2) PROCEDURES IF PLAN REJECTED.—If the 

2 Commission rejects such proposal under paragraph 

3 (1)(B), the Board shall, not later than 90 days 

4 thereafter, submit to the Commission a revised pro5 posal. Such revised proposal shall be treated as a 

6 proposal submitted by the Board under subsection 

7 (b)(1). 

8 (3) REVISIONS TO PLAN.— 

9 (A) SUBMISSION.—The Board shall peri10 odically submit to the Commission proposals for 

11 revisions to the Plan. 

12 (B) CONSIDERATION BY COMMISSION.— 

13 Not later than 90 days after the submission of 

14 such a proposal, the Commission shall complete 

15 a single proceeding to— 

16 (i) revise the Plan in accordance with 

17 such proposal, without modification of the 

18 proposal; or 

19 (ii) reject such proposal. 

20 (d) REQUIREMENTS FOR PLAN.—The Plan shall in21 clude the following requirements: 

22 (1) DEPLOYMENT STANDARDS.—The Plan 

23 shall— 

24 (A) require each State public safety 

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1 connected and interoperable with all other such 

2 networks; 

3 (B) require each State public safety 

4 broadband communications network to be based 

5 on a network architecture that evolves with 

6 technological advancements; 

7 (C) require all State public safety 

8 broadband communications networks to be 

9 based on the same commercial standards; 

10 (D) require each State public safety 

11 broadband communications network to be de12 ployed as networks are typically deployed by 

13 providers of commercial mobile data service; 

14 (E) promote competition in the public safe15 ty equipment market by requiring equipment 

16 for use on the State public safety broadband 

17 communications networks to be— 

18 (i) built to open, nonproprietary, com19 mercial standards; 

20 (ii) capable of being used by any pro21 vider of public safety services and accessed 

22 by devices manufactured by multiple ven23 dors; and 

24 (iii) backward-compatible with prior 

25 generations of commercial mobile service 


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1 and commercial mobile data service net2 works to the extent typically deployed by 

3 providers of commercial mobile service and 

4 commercial mobile data service; and 

5 (F) require each State public safety 

6 broadband communications network to be inte7 grated with public safety answering points, or 

8 the equivalent of public safety answering points, 

9 and with networks for the provision of Next 

10 Generation 9–1–1 services. 

11 (2) STATE-SPECIFIC REQUIREMENTS.—The 

12 Plan shall require each State Public Safety 

13 Broadband Office to include in requests for pro14 posals for the construction, management, mainte15 nance, and operation of the State public safety 

16 broadband communications network of such State— 

17 (A) specifications for the construction and 

18 deployment of such network, including— 

19 (i) build timetables, which shall take 

20 into consideration the time needed to build 

21 out to rural areas; 

22 (ii) required coverage areas, including 

23 rural and nonurban areas; 

24 (iii) minimum service levels; and 

25 (iv) specific performance criteria; 


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1 (B) the technical and operational require2 ments for such network; 

3 (C) the practices, procedures, and stand4 ards for the management and operation of such 

5 network; 

6 (D) the terms of service for the use of such 

7 network; and 

8 (E) specifications for ongoing compliance 

9 review and monitoring of— 

10 (i) the construction, management, 

11 maintenance, and operation of such net12 work; 

13 (ii) the practices and procedures of 

14 the entities operating on such network; and 

15 (iii) the necessary training needs of 

16 network users. 

17 (e) DEVELOPMENT OF BASELINE REQUEST FOR

18 PROPOSALS.— 

19 (1) DEVELOPMENT BY BOARD.—Not later than 

20 1 year after the date on which the Board is estab21 lished under subsection (a)(1), the Board shall sub22 mit to the Commission a draft baseline request for 

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1 ment, maintenance, and operation of a State public 

2 safety broadband communications network. 

3 (2) CONSIDERATION BY COMMISSION.— 

4 (A) IN GENERAL.—Not later than 90 days 

5 after the date of the submission of the draft 

6 baseline request for proposals by the Board 

7 under paragraph (1), the Commission shall 

8 complete a single proceeding to— 

9 (i) adopt such draft, without modifica10 tion; or 

11 (ii) reject such draft. 

12 (B) PROCEDURES IF DRAFT REJECTED.— 

13 If the Commission rejects such draft under sub14 paragraph (A)(ii), the Board shall, not later 

15 than 60 days thereafter, submit to the Commis16 sion a revised draft baseline request for pro17 posals. Such revised draft shall be treated as a 

18 draft submitted by the Board under paragraph 

19 (1). 

20 (3) REVISIONS.— 

21 (A) SUBMISSION.—The Board shall peri22 odically submit to the Commission draft revi23 sions to the baseline request for proposals 

24 adopted under paragraph (2)(A)(i). 


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1 (B) CONSIDERATION BY COMMISSION.— 

2 Not later than 90 days after the submission of 

3 such a draft revision, the Commission shall 

4 complete a single proceeding to— 

5 (i) revise the baseline request for pro6 posals in accordance with such draft revi7 sion, without modification of such draft re8 vision; or 

9 (ii) reject such draft revision. 

10 SEC. 4203. PLAN ADMINISTRATION. 

11 (a) SELECTION OF ADMINISTRATOR.— 

12 (1) IN GENERAL.—The Assistant Secretary 

13 shall, through an open, transparent request-for-pro14 posals process, select an entity to serve as the Ad15 ministrator of the Plan. The Assistant Secretary 

16 shall commence such process not later than 120 

17 days after the date of the adoption of the Plan by 

18 the Commission under section 4202(c)(1)(A). 

19 (2) REPLACEMENT.—If an entity ceases to 

20 serve as Administrator under a contract awarded 

21 under paragraph (1) or this paragraph, the Assist22 ant Secretary shall, through an open, transparent 

23 request-for-proposals process, select another entity 

24 to serve as Administrator. 


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1 (b) POWERS AND DUTIES OF ADMINISTRATOR.—The 

2 Administrator shall— 

3 (1) review and coordinate the implementation of 

4 the Plan and the construction, management, mainte5 nance, and operation of the State public safety 

6 broadband communications networks, in accordance 

7 with the Plan, under contracts entered into by the 

8 State Public Safety Broadband Offices; 

9 (2) transmit to each State Public Safety 

10 Broadband Office the baseline request for proposals 

11 adopted by the Commission under section 

12 4202(e)(2)(A)(i) and any revisions to such baseline 

13 request for proposals adopted by the Commission 

14 under section 4202(e)(3)(B)(i); 

15 (3) review and approve or disapprove, in ac16 cordance with section 4221(c), each contract pro17 posed by a State Public Safety Broadband Office for 

18 the construction, management, maintenance, and op19 eration of a State public safety broadband commu20 nications network; 

21 (4) give public notice of each decision to ap22 prove or disapprove such a contract and of any other 

23 decision of the Administrator with respect to such a 

24 contract, a State Public Safety Broadband Office, or 


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1 a State public safety broadband communications 

2 network; 

3 (5) in consultation with State Public Safety 

4 Broadband Offices, conduct assessments for inclu5 sion in the annual report required by subsection 

6 (f)(1) of— 

7 (A) progress on construction and adoption 

8 of the State public safety broadband commu9 nications networks; and 

10 (B) the management, maintenance, and 

11 operation of such networks; and 

12 (6) conduct such audits as are necessary to en13 sure— 

14 (A) with respect to contracts described in 

15 paragraph (3), the integrity of the contracting 

16 process and the adequate performance of such 

17 contracts; and 

18 (B) that the State public safety broadband 

19 communications networks are constructed, man20 aged, maintained, and operated in accordance 

21 with the Plan. 

22 (c) LIMITATION ON POWERS OF ADMINISTRATOR.— 

23 The Administrator may not— 

24 (1) take any action unless this title expressly 

25 confers on the Administrator the power to take such 


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1 action or such action is necessary to carry out a 

2 power that this title expressly confers on the Admin3 istrator; or 

4 (2) prohibit or refuse to approve any action of 

5 a State Public Safety Broadband Office or with re6 spect to a State public safety broadband communica7 tions network unless such action would violate the 

8 Plan or the license terms of the spectrum licensed 

9 to the Administrator. 

10 (d) REVIEW OF DECISIONS OF ADMINISTRATOR.— 

11 (1) IN GENERAL.—The United States District 

12 Court for the District of Columbia shall have exclu13 sive jurisdiction to review decisions of the Adminis14 trator. 

15 (2) FILING OF PETITION.—Any party aggrieved 

16 by a decision of the Administrator may seek review 

17 of such decision by filing a petition for review with 

18 the court not later than 30 days after the date on 

19 which public notice is given of such decision. 

20 (3) CONTENTS OF PETITION.—The petition 

21 shall contain a concise statement of the following: 

22 (A) The nature of the proceedings as to 

23 which review is sought. 

24 (B) The grounds on which relief is sought. 

25 (C) The relief prayed. 


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1 (4) ATTACHMENT TO PETITION.—The peti2 tioner shall attach to the petition, as an exhibit, a 

3 copy of the decision of the Administrator on which 

4 review is sought. 

5 (5) SERVICE.—The clerk shall serve a true copy 

6 of the petition on the Administrator, the Assistant 

7 Secretary, and the Commission by registered mail, 

8 with request for a return receipt. 

9 (6) STANDARD OF REVIEW.—The court may af10 firm or vacate a decision of the Administrator on re11 view. The court may vacate a decision of the Admin12 istrator only— 

13 (A) where the decision was procured by 

14 corruption, fraud, or undue means; 

15 (B) where there was actual partiality or 

16 corruption in the Administrator; 

17 (C) where the Administrator was guilty of 

18 misconduct in refusing to hear evidence perti19 nent and material to the decision or of any 

20 other misbehavior by which the rights of any 

21 party have been prejudiced; or 

22 (D) where the Administrator exceeded the 

23 powers conferred on it by this title or otherwise 

24 did not arguably construe or apply the Plan in 

25 making its decision. 


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1 (7) REVIEW BY NTIA PROHIBITED.—The As2 sistant Secretary shall take such action as is nec3 essary to ensure that the Administrator complies 

4 with the requirements of this title, the Plan, and the 

5 terms of the contract entered into under subsection 

6 (a), but the Assistant Secretary may not vacate or 

7 otherwise modify a decision by the Administrator 

8 with respect to a third party. 

9 (e) AUDITS OF USE OF FEDERAL FUNDS BY ADMIN10 ISTRATOR.—Not later than 1 year after entering into a 

11 contract to serve as Administrator, and annually there12 after, the Administrator shall provide to the Assistant Sec13 retary a statement, audited by an independent auditor, 

14 that details the use during the preceding fiscal year of any 

15 Federal funds received by the Administrator in connection 

16 with its service as Administrator. 

17 (f) ANNUAL REPORT BY ADMINISTRATOR.— 

18 (1) IN GENERAL.—Not later than 1 year after 

19 entering into a contract to serve as Administrator, 

20 and annually thereafter, the Administrator shall sub21 mit a report covering the preceding fiscal year to— 

22 (A) the Committee on Energy and Com23 merce of the House of Representatives and the 

24 Committee on Commerce, Science, and Trans25 portation of the Senate; 


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1 (B) the Assistant Secretary; 

2 (C) the Commission; and 

3 (D) the Board. 

4 (2) REQUIRED CONTENT.—The report required 

5 by paragraph (1) shall include— 

6 (A) a comprehensive and detailed descrip7 tion of— 

8 (i) the results of assessments con9 ducted under subsection (b)(5) and audits 

10 conducted under subsection (b)(6); 

11 (ii) the activities of the Administrator 

12 in its capacity as Administrator; and 

13 (iii) the financial condition of the Ad14 ministrator; and 

15 (B) such recommendations or proposals for 

16 legislative or administrative action as the Ad17 ministrator considers appropriate. 

18 SEC. 4204. INITIAL FUNDING FOR ADMINISTRATOR. 

19 (a) BORROWING AUTHORITY.—Prior to the end of 

20 fiscal year 2021, the Assistant Secretary may borrow from 

21 the general fund of the Treasury of the United States not 

22 more than $40,000,000 to enter into a contract with an 

23 entity to serve as Administrator under section 4203(a). 

24 (b) REIMBURSEMENT.—The Assistant Secretary 

25 shall reimburse the general fund of the Treasury, without 


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1 interest, for any amounts borrowed under subsection (a) 

2 from funds made available from the Public Safety Trust 

3 Fund established by section 4241(a)(1), as such funds be4 come available. 

5 SEC. 4205. STUDY ON EMERGENCY COMMUNICATIONS BY 

6 AMATEUR RADIO AND IMPEDIMENTS TO AMA7 TEUR RADIO COMMUNICATIONS. 

8 (a) IN GENERAL.—Not later than 180 days after the 

9 date of the enactment of this Act, the Commission, in con10 sultation with the Office of Emergency Communications 

11 in the Department of Homeland Security, shall— 

12 (1) complete a study on the uses and capabili13 ties of amateur radio service communications in 

14 emergencies and disaster relief; and 

15 (2) submit to the Committee on Energy and 

16 Commerce of the House of Representatives and the 

17 Committee on Commerce, Science, and Transpor18 tation of the Senate a report on the findings of such 

19 study. 

20 (b) CONTENTS.—The study required by subsection 

21 (a) shall include— 

22 (1)(A) a review of the importance of emergency 

23 amateur radio service communications relating to 

24 disasters, severe weather, and other threats to lives 

25 and property in the United States; and 


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1 (B) recommendations for— 

2 (i) enhancements in the voluntary deploy3 ment of amateur radio operators in disaster and 

4 emergency communications and disaster relief 

5 efforts; and 

6 (ii) improved integration of amateur radio 

7 operators in the planning and furtherance of 

8 initiatives of the Federal Government; and 

9 (2)(A) an identification of impediments to en10 hanced amateur radio service communications, such 

11 as the effects of unreasonable or unnecessary private 

12 land use restrictions on residential antenna installa13 tions; and 

14 (B) recommendations regarding the removal of 

15 such impediments. 

16 (c) EXPERTISE.—In conducting the study required 

17 by subsection (a), the Commission shall use the expertise 

18 of stakeholder entities and organizations, including the 

19 amateur radio, emergency response, and disaster commu20 nications communities. 

21 PART 2—STATE IMPLEMENTATION 

22 SEC. 4221. NEGOTIATION AND APPROVAL OF CONTRACTS. 

23 (a) STATE PUBLIC SAFETY BROADBAND OFFICES.— 

24 Each State desiring to establish a State public safety 


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1 broadband communications network shall establish or des2 ignate a State Public Safety Broadband Office. 

3 (b) NEGOTIATION BY STATES.— 

4 (1) IN GENERAL.—Each State Public Safety 

5 Broadband Office shall— 

6 (A) use the baseline request for proposals 

7 transmitted under section 4203(b)(2) to develop 

8 a request for proposals for the construction, 

9 management, maintenance, and operation of a 

10 State public safety broadband communications 

11 network; 

12 (B) negotiate a contract with a private-sec13 tor entity for such construction, management, 

14 maintenance, and operation; 

15 (C) transmit such contract to the Adminis16 trator for approval; and 

17 (D) if the Administrator approves such 

18 contract, enter into such contract with such en19 tity. 

20 (2) FACTORS FOR CONSIDERATION.—In devel21 oping a request for proposals under paragraph 

22 (1)(A) and negotiating a proposed contract under 

23 paragraph (1)(B), the State Public Safety 

24 Broadband Office shall take into consideration the 

25 following: 


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1 (A) The most efficient and effective use 

2 and integration by State, local, and tribal pro3 viders of public safety services within such 

4 State of the spectrum licensed to the Adminis5 trator and the infrastructure, equipment, and 

6 other architecture associated with the State 

7 public safety broadband communications net8 work to satisfy the wireless communications 

9 and data services needs of such providers. 

10 (B) The particular assets and specialized 

11 needs of such providers. Such assets may in12 clude available towers and infrastructure. Such 

13 needs may include the projected number of 

14 users, preferred buildout timeframes, special 

15 coverage needs, special hardening, reliability, 

16 security, and resiliency needs, local user priority 

17 assignments, and integration needs of public 

18 safety answering points and emergency oper19 ations centers. 

20 (C) Whether any entities that are not pro21 viders of public safety services should have 

22 emergency access to the State public safety 

23 broadband communications network, as de24 scribed in subsection (e). 


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1 (D) Whether the State public safety 

2 broadband communications network provides 

3 for the selection on a localized basis of network 

4 options that remain consistent with the Plan. 

5 (E) How to ensure the reliability, security, 

6 and resiliency of the State public safety 

7 broadband communications network, including 

8 through measures for— 

9 (i) protecting and monitoring the cy10 bersecurity of the network; and 

11 (ii) managing supply chain risks to 

12 the network. 

13 (3) PARTNERSHIPS.— 

14 (A) IN GENERAL.—In choosing from 

15 among the entities that respond to the request 

16 for proposals developed under paragraph 

17 (1)(A), the State Public Safety Broadband Of18 fice shall— 

19 (i) select a provider of commercial mo20 bile service or commercial mobile data 

21 service; and 

22 (ii) give additional consideration to 

23 providers of commercial mobile service or 

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1 posals include a partnership with a utility 

2 provider. 

3 (B) JOINT VENTURES.—For purposes of 

4 subparagraph (A), a joint venture that includes 

5 a provider of commercial mobile service or com6 mercial mobile data service shall be considered 

7 to be such a provider. 

8 (c) REVIEW BY ADMINISTRATOR.— 

9 (1) IN GENERAL.—Upon receiving from a State 

10 Public Safety Broadband Office a contract nego11 tiated under subsection (b), the Administrator shall 

12 either approve or disapprove such contract but may 

13 not make any changes to its terms. 

14 (2) DISAPPROVAL.—In the case of disapproval 

15 under paragraph (1), the State Public Safety 

16 Broadband Office may renegotiate the contract, ne17 gotiate a contract with another entity that re18 sponded to the Office’s request for proposals, or 

19 issue a new request for proposals. 

20 (d) PUBLIC-PRIVATE PARTNERSHIPS.—Notwith21 standing any limitation in section 337 of the Communica22 tions Act of 1934 (47 U.S.C. 337), a contract entered into 

23 between a State Public Safety Broadband Office and a 

24 private entity under subsection (b)(1)(D) may permit— 


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1 (1) such entity to obtain access to the spectrum 

2 licensed to the Administrator in such State for serv3 ices that are not public safety services; or 

4 (2) the State Public Safety Broadband Office to 

5 share with such entity equipment or infrastructure 

6 of the State public safety broadband communications 

7 network, including antennas and towers. 

8 (e) EMERGENCY ACCESS BY NON-PUBLIC SAFETY

9 ENTITIES.— 

10 (1) IN GENERAL.—Notwithstanding any limita11 tion in section 337 of the Communications Act of 

12 1934 (47 U.S.C. 337), as expressly permitted by the 

13 terms of a contract entered into under subsection 

14 (b)(1)(D) for the construction, management, mainte15 nance, and operation of a State public safety 

16 broadband communications network, the Adminis17 trator may enter into agreements with entities in 

18 such State that are not providers of public safety 

19 services to permit such entities to obtain access on 

20 a secondary, preemptible basis to the State public 

21 safety broadband communications network of such 

22 State in order to facilitate interoperability between 

23 such entities and providers of public safety services 

24 in protecting the safety of life, health, and property 

25 during emergencies and during preparation for and 


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1 recovery from emergencies, including during emer2 gency drills, exercises, and tests. 

3 (2) PREEMPTION.—The Administrator shall en4 sure that, under any agreement entered into under 

5 paragraph (1), providers of public safety services 

6 may preempt use of the State public safety 

7 broadband communications network by an entity 

8 with which the Administrator has entered into such 

9 agreement. 

10 (f) MULTI-STATE NEGOTIATION.—The State Public 

11 Safety Broadband Offices of more than one State may 

12 form a consortium for purposes of developing a request 

13 for proposals and negotiating and entering into a contract 

14 for the construction, management, maintenance, and oper15 ation of a State public safety broadband communications 

16 network for such States. While such Offices remain in the 

17 consortium, such States shall be treated as a single State, 

18 such Offices shall be treated as a single Office of a single 

19 State, and such network shall be treated as the State pub20 lic safety broadband communications network of a single 

21 State. 

22 SEC. 4222. STATE IMPLEMENTATION GRANT PROGRAM. 

23 (a) IN GENERAL.—From amounts made available 

24 under section 4223(b), the Assistant Secretary shall, in 

25 consultation with the Administrator, make grants to State 


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1 Public Safety Broadband Offices to assist such Offices in 

2 carrying out the duties of such Offices under this part, 

3 except for making payments under contracts entered into 

4 under section 4221(b)(1)(D). 

5 (b) APPLICATION.—The Assistant Secretary may 

6 only make a grant under this section to a State Public 

7 Safety Broadband Office that submits an application at 

8 such time, in such form, and containing such information 

9 and assurances as the Assistant Secretary may require. 

10 (c) MATCHING REQUIREMENTS; FEDERAL SHARE.— 

11 (1) IN GENERAL.—The Federal share of the 

12 cost of any activity carried out using a grant under 

13 this section may not exceed 80 percent of the eligible 

14 costs of carrying out that activity, as determined by 

15 the Assistant Secretary. 

16 (2) WAIVER.—The Assistant Secretary may 

17 waive, in whole or in part, the requirements of para18 graph (1) if the State Public Safety Broadband Of19 fice has demonstrated financial hardship. 

20 (d) PROGRAMMATIC REQUIREMENTS.—Not later 

21 than 1 year after the date of the adoption of the Plan 

22 by the Commission under section 4202(c)(1)(A), the As23 sistant Secretary, in consultation with the Board, shall es24 tablish requirements relating to the grant program to be 

25 carried out under this section, including the following: 


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1 (1) Defining eligible costs for purposes of sub2 section (c)(1). 

3 (2) Determining the scope of eligible activities 

4 for grant funding under this section. 

5 (3) Prioritizing grants for activities that ensure 

6 coverage in rural as well as urban areas. 

7 SEC. 4223. STATE IMPLEMENTATION FUND. 

8 (a) ESTABLISHMENT.—There is established in the 

9 Treasury of the United States a fund to be known as the 

10 State Implementation Fund. 

11 (b) AMOUNTS AVAILABLE FOR STATE IMPLEMENTA12 TION GRANT PROGRAM.—Any amounts borrowed under 

13 subsection (c)(1) and any amounts in the State Implemen14 tation Fund that are not necessary to reimburse the gen15 eral fund of the Treasury for such borrowed amounts shall 

16 be available to the Assistant Secretary to implement sec17 tion 4222. 

18 (c) BORROWING AUTHORITY.— 

19 (1) IN GENERAL.—Prior to the end of fiscal 

20 year 2021, the Assistant Secretary may borrow from 

21 the general fund of the Treasury such sums as may 

22 be necessary, but not to exceed $100,000,000, to im23 plement section 4222. 

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1 ury, without interest, for any amounts borrowed 

2 under paragraph (1) as funds are deposited into the 

3 State Implementation Fund. 

4 (d) TRANSFER OF UNUSED FUNDS.—If there is a 

5 balance remaining in the State Implementation Fund on 

6 September 30, 2021, the Secretary of the Treasury shall 

7 transfer such balance to the general fund of the Treasury, 

8 where such balance shall be dedicated for the sole purpose 

9 of deficit reduction. 

10 SEC. 4224. GRANTS TO STATES FOR NETWORK BUILDOUT. 

11 (a) ESTABLISHMENT.—From amounts made avail12 able from the Public Safety Trust Fund established by 

13 section 4241(a)(1), the Assistant Secretary shall make 

14 grants to State Public Safety Broadband Offices for pay15 ments under contracts entered into under section 

16 4221(b)(1)(D). 

17 (b) APPLICATION.—The Assistant Secretary may 

18 only make a grant under this section to a State Public 

19 Safety Broadband Office that submits an application at 

20 such time, in such form, and containing such information 

21 and assurances as the Assistant Secretary may require. 

22 (c) QUARTERLY REPORTS.— 

23 (1) FROM GRANTEES TO NTIA.—Not later than 

24 3 months after receiving a grant under this section 

25 and not less frequently than quarterly thereafter 


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1 until the date that is 1 year after all such funds 

2 have been expended, a State Public Safety 

3 Broadband Office shall submit to the Assistant Sec4 retary a report on— 

5 (A) the use of grant funds by such Office; 

6 and 

7 (B) the construction, management, mainte8 nance, and operation of the State public safety 

9 broadband communications network of such 

10 State. 

11 (2) FROM NTIA TO CONGRESS.—Not later than 

12 6 months after making the first grant under this 

13 section and not less frequently than quarterly there14 after until the date that is 18 months after all such 

15 funds have been expended by the grantees, the As16 sistant Secretary shall submit to the Committee on 

17 Commerce, Science, and Transportation of the Sen18 ate and the Committee on Energy and Commerce of 

19 the House of Representatives a report that— 

20 (A) summarizes the reports submitted by 

21 grantees under paragraph (1); and 

22 (B) describes and evaluates— 

23 (i) the use of grant funds disbursed 

24 under this section; and 


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1 (ii) the construction, management, 

2 maintenance, and operation of the State 

3 public safety broadband communications 

4 networks under the contracts under which 

5 grantees make payments using grant 

6 funds. 

7 SEC. 4225. WIRELESS FACILITIES DEPLOYMENT. 

8 (a) FACILITY MODIFICATIONS.— 

9 (1) IN GENERAL.—Notwithstanding section 704 

10 of the Telecommunications Act of 1996 (Public Law 

11 104–104) or any other provision of law, a State or 

12 local government may not deny, and shall approve, 

13 any eligible facilities request for a modification of an 

14 existing wireless tower or base station that does not 

15 substantially change the physical dimensions of such 

16 tower or base station. 

17 (2) ELIGIBLE FACILITIES REQUEST.—For pur18 poses of this subsection, the term ‘‘eligible facilities 

19 request’’ means any request for modification of an 

20 existing wireless tower or base station that in21 volves— 

22 (A) collocation of new transmission equip23 ment; 

24 (B) removal of transmission equipment; or 


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1 (C) replacement of transmission equip2 ment. 

3 (b) FEDERAL EASEMENTS AND RIGHTS-OF-WAY.— 

4 (1) GRANT.—If an executive agency, a State, a 

5 political subdivision or agency of a State, or a per6 son, firm, or organization applies for the grant of an 

7 easement or right-of-way to, in, over, or on a build8 ing or other property owned by the Federal Govern9 ment for the right to install, construct, and maintain 

10 wireless service antenna structures and equipment 

11 and backhaul transmission equipment, the executive 

12 agency having control of the building or other prop13 erty may grant to the applicant, on behalf of the 

14 Federal Government, an easement or right-of-way to 

15 perform such installation, construction, and mainte16 nance. 

17 (2) APPLICATION.—The Administrator of Gen18 eral Services shall develop a common form for appli19 cations for easements and rights-of-way under para20 graph (1) for all executive agencies that shall be 

21 used by applicants with respect to the buildings or 

22 other property of each such agency. 

23 (3) FEE.— 

24 (A) IN GENERAL.—Notwithstanding any 

25 other provision of law, the Administrator of 


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1 General Services shall establish a fee for the 

2 grant of an easement or right-of-way pursuant 

3 to paragraph (1) that is based on direct cost re4 covery. 

5 (B) EXCEPTIONS.—The Administrator of 

6 General Services may establish exceptions to 

7 the fee amount required under subparagraph 

8 (A)— 

9 (i) in consideration of the public ben10 efit provided by a grant of an easement or 

11 right-of-way; and 

12 (ii) in the interest of expanding wire13 less and broadband coverage. 

14 (4) USE OF FEES COLLECTED.—Any fee 

15 amounts collected by an executive agency pursuant 

16 to paragraph (3) may be made available, as provided 

17 in appropriations Acts, to such agency to cover the 

18 costs of granting the easement or right-of-way. 

19 (c) MASTER CONTRACTS FOR WIRELESS FACILITY

20 SITINGS.— 

21 (1) IN GENERAL.—Notwithstanding section 704 

22 of the Telecommunications Act of 1996 or any other 

23 provision of law, and not later than 60 days after 

24 the date of the enactment of this Act, the Adminis25 trator of General Services shall— 


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1 (A) develop 1 or more master contracts 

2 that shall govern the placement of wireless serv3 ice antenna structures on buildings and other 

4 property owned by the Federal Government; 

5 and 

6 (B) in developing the master contract or 

7 contracts, standardize the treatment of the 

8 placement of wireless service antenna structures 

9 on building rooftops or facades, the placement 

10 of wireless service antenna equipment on roof11 tops or inside buildings, the technology used in 

12 connection with wireless service antenna struc13 tures or equipment placed on Federal buildings 

14 and other property, and any other key issues 

15 the Administrator of General Services considers 

16 appropriate. 

17 (2) APPLICABILITY.—The master contract or 

18 contracts developed by the Administrator of General 

19 Services under paragraph (1) shall apply to all pub20 licly accessible buildings and other property owned 

21 by the Federal Government, unless the Adminis22 trator of General Services decides that issues with 

23 respect to the siting of a wireless service antenna 

24 structure on a specific building or other property 


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1 warrant nonstandard treatment of such building or 

2 other property. 

3 (3) APPLICATION.—The Administrator of Gen4 eral Services shall develop a common form or set of 

5 forms for wireless service antenna structure siting 

6 applications under this subsection for all executive 

7 agencies that shall be used by applicants with re8 spect to the buildings and other property of each 

9 such agency. 

10 (d) EXECUTIVE AGENCY DEFINED.—In this section, 

11 the term ‘‘executive agency’’ has the meaning given such 

12 term in section 102 of title 40, United States Code. 

13 PART 3—PUBLIC SAFETY TRUST FUND 

14 SEC. 4241. PUBLIC SAFETY TRUST FUND. 

15 (a) ESTABLISHMENT OF PUBLIC SAFETY TRUST

16 FUND.— 

17 (1) IN GENERAL.—There is established in the 

18 Treasury of the United States a trust fund to be 

19 known as the Public Safety Trust Fund. 

20 (2) AVAILABILITY.—Amounts deposited in the 

21 Public Safety Trust Fund shall remain available 

22 through fiscal year 2021. Any amounts remaining in 

23 the Fund after the end of such fiscal year shall be 

24 deposited in the general fund of the Treasury, where 


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1 such amounts shall be dedicated for the sole purpose 

2 of deficit reduction. 

3 (b) USE OF FUND.—As amounts are deposited in the 

4 Public Safety Trust Fund, such amounts shall be used to 

5 make the following deposits or payments in the following 

6 order of priority: 

7 (1) REPAYMENT OF AMOUNT BORROWED FOR

8 ADMINISTRATION OF NATIONAL PUBLIC SAFETY

9 COMMUNICATIONS PLAN.—An amount not to exceed 

10 $40,000,000 shall be available to the Assistant Sec11 retary to reimburse the general fund of the Treasury 

12 for any amounts borrowed under section 4204(a). 

13 (2) STATE IMPLEMENTATION FUND.— 

14 $100,000,000 shall be deposited in the State Imple15 mentation Fund established by section 4223(a). 

16 (3) BUILDOUT OF STATE PUBLIC SAFETY

17 BROADBAND COMMUNICATIONS NETWORKS.— 

18 $4,960,000,000 shall be available to the Assistant 

19 Secretary to carry out section 4224. 

20 (4) DEFICIT REDUCTION.—$20,400,000,000 

21 shall be deposited in the general fund of the Treas22 ury, where such amount shall be dedicated for the 

23 sole purpose of deficit reduction. 

24 (5) 9–1–1, E9–1–1, AND NEXT GENERATION 9– 

25 1–1 IMPLEMENTATION GRANTS.—$250,000,000 shall 


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1 be available to the Assistant Secretary and the Ad2 ministrator of the National Highway Traffic Safety 

3 Administration to carry out the grant program 

4 under section 158 of the National Telecommuni5 cations and Information Administration Organiza6 tion Act, as amended by section 4265 of this title. 

7 (6) BUILDOUT OF STATE PUBLIC SAFETY

8 BROADBAND COMMUNICATIONS NETWORKS AND

9 DEFICIT REDUCTION.—Of the remaining amounts 

10 deposited in the Fund— 

11 (A) 10 percent of any such amounts, not 

12 to exceed $1,500,000,000, shall be available to 

13 the Assistant Secretary to carry out section 

14 4224; and 

15 (B) 90 percent of any such amounts (or 

16 100 percent of any such amounts after amounts 

17 made available under subparagraph (A) exceed 

18 $1,500,000,000) shall be deposited in the gen19 eral fund of the Treasury, where such amounts 

20 shall be dedicated for the sole purpose of deficit 

21 reduction. 

22 (c) INVESTMENT.—Amounts in the Public Safety 

23 Trust Fund shall be invested in accordance with section 

24 9702 of title 31, United States Code, and any interest on, 


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1 and proceeds from, any such investment shall be credited 

2 to, and become a part of, the Fund. 

3 PART 4—NEXT GENERATION 9–1–1 

4 ADVANCEMENT ACT OF 2011 

5 SEC. 4261. SHORT TITLE. 

6 This part may be cited as the ‘‘Next Generation 9– 

7 1–1 Advancement Act of 2011’’. 

8 SEC. 4262. FINDINGS. 

9 Congress finds that— 

10 (1) for the sake of the public safety of our Na11 tion, a universal emergency service number (9–1–1) 

12 that is enhanced with the most modern and state-of13 the-art telecommunications capabilities possible, in14 cluding voice, data, and video communications, 

15 should be available to all citizens wherever they live, 

16 work, and travel; 

17 (2) a successful migration to Next Generation 

18 9–1–1 service communications systems will require 

19 greater Federal, State, and local government re20 sources and coordination; 

21 (3) any funds that are collected from fees im22 posed on consumer bills for the purposes of funding 

23 9–1–1 services, enhanced 9–1–1 services, or Next 

24 Generation 9–1–1 services should only be used for 

25 the purposes for which the funds are collected; 


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1 (4) it is a national priority to foster the migra2 tion from analog, voice-centric 9–1–1 and current 

3 generation emergency communications systems to a 

4 21st century, Next Generation, IP-based emergency 

5 services model that embraces a wide range of voice, 

6 video, and data applications; 

7 (5) ensuring 9–1–1 access for all citizens in8 cludes improving access to 9–1–1 systems for the 

9 deaf, hard of hearing, deaf-blind, and individuals 

10 with speech disabilities, who increasingly commu11 nicate with non-traditional text, video, and instant12 messaging communications services, and who expect 

13 those services to be able to connect directly to 9–1– 

14 1 systems; 

15 (6) a coordinated public educational effort on 

16 current and emerging 9–1–1 system capabilities and 

17 proper use of the 9–1–1 system is essential to the 

18 operation of effective 9–1–1 systems; 

19 (7) Federal policies and funding should enable 

20 the transition to Internet Protocol-based (IP-based) 

21 Next Generation 9–1–1 systems, and Federal 9–1– 

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1 vironment based on the most advanced technology 

2 available; and 

3 (8) Federal policies and grant programs should 

4 reflect the growing convergence and integration of 

5 emergency communications technology, such that 

6 State interoperability plans and Federal funding in 

7 support of such plans are made available for all as8 pects of Next Generation 9–1–1 service and emer9 gency communications systems. 

10 SEC. 4263. PURPOSES. 

11 The purposes of this part are— 

12 (1) to focus Federal policies and funding pro13 grams to ensure a successful migration from voice14 centric 9–1–1 systems to IP-enabled, Next Genera15 tion 9–1–1 emergency response systems that use 

16 voice, data, and video services to greatly enhance the 

17 capability of 9–1–1 and emergency response services; 

18 (2) to ensure that technologically advanced 9– 

19 1–1 and emergency communications systems are 

20 universally available and adequately funded to serve 

21 all Americans; and 

22 (3) to ensure that all 9–1–1 and emergency re23 sponse organizations have access to— 

24 (A) high-speed broadband networks; 

25 (B) interconnected IP backbones; and 


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1 (C) innovative services and applications. 

2 SEC. 4264. DEFINITIONS. 

3 In this part, the following definitions shall apply: 

4 (1) 9–1–1 SERVICES AND E9–1–1 SERVICES.— 

5 The terms ‘‘9–1–1 services’’ and ‘‘E9–1–1 services’’ 

6 shall have the meaning given those terms in section 

7 158 of the National Telecommunications and Infor8 mation Administration Organization Act (47 U.S.C. 

9 942), as amended by this part. 

10 (2) MULTI-LINE TELEPHONE SYSTEM.—The 

11 term ‘‘multi-line telephone system’’ or ‘‘MLTS’’ 

12 means a system comprised of common control units, 

13 telephone sets, control hardware and software and 

14 adjunct systems, including network and premises 

15 based systems, such as Centrex and VoIP, as well as 

16 PBX, Hybrid, and Key Telephone Systems (as clas17 sified by the Commission under part 68 of title 47, 

18 Code of Federal Regulations), and includes systems 

19 owned or leased by governmental agencies and non20 profit entities, as well as for profit businesses. 

21 (3) OFFICE.—The term ‘‘Office’’ means the 9– 

22 1–1 Implementation Coordination Office established 

23 under section 158 of the National Telecommuni24 cations and Information Administration Organiza25 tion Act (47 U.S.C. 942), as amended by this part. 


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1 SEC. 4265. COORDINATION OF 9–1–1 IMPLEMENTATION. 

2 Section 158 of the National Telecommunications and 

3 Information Administration Organization Act (47 U.S.C. 

4 942) is amended to read as follows: 

5 ‘‘SEC. 158. COORDINATION OF 9–1–1, E9–1–1, AND NEXT GEN6 ERATION 9–1–1 IMPLEMENTATION. 

7 ‘‘(a) 9–1–1 IMPLEMENTATION COORDINATION OF8 FICE.— 

9 ‘‘(1) ESTABLISHMENT AND CONTINUATION.— 

10 The Assistant Secretary and the Administrator of 

11 the National Highway Traffic Safety Administration 

12 shall— 

13 ‘‘(A) establish and further a program to 

14 facilitate coordination and communication be15 tween Federal, State, and local emergency com16 munications systems, emergency personnel, 

17 public safety organizations, telecommunications 

18 carriers, and telecommunications equipment 

19 manufacturers and vendors involved in the im20 plementation of 9–1–1 services; and 

21 ‘‘(B) establish a 9–1–1 Implementation 

22 Coordination Office to implement the provisions 

23 of this section. 

24 ‘‘(2) MANAGEMENT PLAN.— 

25 ‘‘(A) DEVELOPMENT.—The Assistant Sec26 retary and the Administrator shall develop a 


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1 management plan for the grant program estab2 lished under this section, including by devel3 oping— 

4 ‘‘(i) plans related to the organiza5 tional structure of such program; and 

6 ‘‘(ii) funding profiles for each fiscal 

7 year of the duration of such program. 

8 ‘‘(B) SUBMISSION TO CONGRESS.—Not 

9 later than 90 days after the date of enactment 

10 of the Next Generation 9–1–1 Advancement Act 

11 of 2011, the Assistant Secretary and the Ad12 ministrator shall submit the management plan 

13 developed under subparagraph (A) to— 

14 ‘‘(i) the Committees on Commerce, 

15 Science, and Transportation and Appro16 priations of the Senate; and 

17 ‘‘(ii) the Committees on Energy and 

18 Commerce and Appropriations of the 

19 House of Representatives. 

20 ‘‘(3) PURPOSE OF OFFICE.—The Office shall— 

21 ‘‘(A) take actions, in concert with coordi22 nators designated in accordance with subsection 

23 (b)(3)(A)(ii), to improve coordination and com24 munication with respect to the implementation 


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1 of 9–1–1 services, E9–1–1 services, and Next 

2 Generation 9–1–1 services; 

3 ‘‘(B) develop, collect, and disseminate in4 formation concerning practices, procedures, and 

5 technology used in the implementation of 9–1– 

6 1 services, E9–1–1 services, and Next Genera7 tion 9–1–1 services; 

8 ‘‘(C) advise and assist eligible entities in 

9 the preparation of implementation plans re10 quired under subsection (b)(3)(A)(iii); 

11 ‘‘(D) receive, review, and recommend the 

12 approval or disapproval of applications for 

13 grants under subsection (b); and 

14 ‘‘(E) oversee the use of funds provided by 

15 such grants in fulfilling such implementation 

16 plans. 

17 ‘‘(4) REPORTS.—The Assistant Secretary and 

18 the Administrator shall provide an annual report to 

19 Congress by the first day of October of each year on 

20 the activities of the Office to improve coordination 

21 and communication with respect to the implementa22 tion of 9–1–1 services, E9–1–1 services, and Next 

23 Generation 9–1–1 services. 

24 ‘‘(b) 9–1–1, E9–1–1, AND NEXT GENERATION 9–1– 

25 1 IMPLEMENTATION GRANTS.— 


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1 ‘‘(1) MATCHING GRANTS.—The Assistant Sec2 retary and the Administrator, acting through the Of3 fice, shall provide grants to eligible entities for— 

4 ‘‘(A) the implementation and operation of 

5 9–1–1 services, E9–1–1 services, migration to 

6 an IP-enabled emergency network, and adoption 

7 and operation of Next Generation 9–1–1 serv8 ices and applications; 

9 ‘‘(B) the implementation of IP-enabled 

10 emergency services and applications enabled by 

11 Next Generation 9–1–1 services, including the 

12 establishment of IP backbone networks and the 

13 application layer software infrastructure needed 

14 to interconnect the multitude of emergency re15 sponse organizations; and 

16 ‘‘(C) training public safety personnel, in17 cluding call-takers, first responders, and other 

18 individuals and organizations who are part of 

19 the emergency response chain in 9–1–1 serv20 ices. 

21 ‘‘(2) MATCHING REQUIREMENT.—The Federal 

22 share of the cost of a project eligible for a grant 

23 under this section shall not exceed 80 percent. The 

24 non-Federal share of the cost shall be provided from 


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1 non-Federal sources unless waived by the Assistant 

2 Secretary and the Administrator. 

3 ‘‘(3) COORDINATION REQUIRED.—In providing 

4 grants under paragraph (1), the Assistant Secretary 

5 and the Administrator shall require an eligible entity 

6 to certify in its application that— 

7 ‘‘(A) in the case of an eligible entity that 

8 is a State government, the entity— 

9 ‘‘(i) has coordinated its application 

10 with the public safety answering points lo11 cated within the jurisdiction of such entity; 

12 ‘‘(ii) has designated a single officer or 

13 governmental body of the entity to serve as 

14 the coordinator of implementation of 9–1– 

15 1 services, except that such designation 

16 need not vest such coordinator with direct 

17 legal authority to implement 9–1–1 serv18 ices, E9–1–1 services, or Next Generation 

19 9–1–1 services or to manage emergency 

20 communications operations; 

21 ‘‘(iii) has established a plan for the 

22 coordination and implementation of 9–1–1 

23 services, E9–1–1 services, and Next Gen24 eration 9–1–1 services; and 


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1 ‘‘(iv) has integrated telecommuni2 cations services involved in the implemen3 tation and delivery of 9–1–1 services, E9– 

4 1–1 services, and Next Generation 9–1–1 

5 services; or 

6 ‘‘(B) in the case of an eligible entity that 

7 is not a State, the entity has complied with 

8 clauses (i), (iii), and (iv) of subparagraph (A), 

9 and the State in which it is located has com10 plied with clause (ii) of such subparagraph. 

11 ‘‘(4) CRITERIA.—Not later than 120 days after 

12 the date of enactment of the Next Generation 9–1– 

13 1 Advancement Act of 2011, the Assistant Secretary 

14 and the Administrator shall issue regulations, after 

15 providing the public with notice and an opportunity 

16 to comment, prescribing the criteria for selection for 

17 grants under this section. The criteria shall include 

18 performance requirements and a timeline for comple19 tion of any project to be financed by a grant under 

20 this section. The Assistant Secretary and the Ad21 ministrator shall update such regulations as nec22 essary. 

23 ‘‘(c) DIVERSION OF 9–1–1 CHARGES.— 

24 ‘‘(1) DESIGNATED 9–1–1 CHARGES.—For the 

25 purposes of this subsection, the term ‘designated 9– 


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1 1–1 charges’ means any taxes, fees, or other charges 

2 imposed by a State or other taxing jurisdiction that 

3 are designated or presented as dedicated to deliver 

4 or improve 9–1–1 services, E9–1–1 services, or Next 

5 Generation 9–1–1 services. 

6 ‘‘(2) CERTIFICATION.—Each applicant for a 

7 matching grant under this section shall certify to the 

8 Assistant Secretary and the Administrator at the 

9 time of application, and each applicant that receives 

10 such a grant shall certify to the Assistant Secretary 

11 and the Administrator annually thereafter during 

12 any period of time during which the funds from the 

13 grant are available to the applicant, that no portion 

14 of any designated 9–1–1 charges imposed by a State 

15 or other taxing jurisdiction within which the appli16 cant is located are being obligated or expended for 

17 any purpose other than the purposes for which such 

18 charges are designated or presented during the pe19 riod beginning 180 days immediately preceding the 

20 date of the application and continuing through the 

21 period of time during which the funds from the 

22 grant are available to the applicant. 

23 ‘‘(3) CONDITION OF GRANT.—Each applicant 

24 for a grant under this section shall agree, as a con25 dition of receipt of the grant, that if the State or 


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1 other taxing jurisdiction within which the applicant 

2 is located, during any period of time during which 

3 the funds from the grant are available to the appli4 cant, obligates or expends designated 9–1–1 charges 

5 for any purpose other than the purposes for which 

6 such charges are designated or presented, eliminates 

7 such charges, or redesignates such charges for pur8 poses other than the implementation or operation of 

9 9–1–1 services, E9–1–1 services, or Next Generation 

10 9–1–1 services, all of the funds from such grant 

11 shall be returned to the Office. 

12 ‘‘(4) PENALTY FOR PROVIDING FALSE INFOR13 MATION.—Any applicant that provides a certification 

14 under paragraph (2) knowing that the information 

15 provided in the certification was false shall— 

16 ‘‘(A) not be eligible to receive the grant 

17 under subsection (b); 

18 ‘‘(B) return any grant awarded under sub19 section (b) during the time that the certification 

20 was not valid; and 

21 ‘‘(C) not be eligible to receive any subse22 quent grants under subsection (b). 

23 ‘‘(d) FUNDING AND TERMINATION.— 

24 ‘‘(1) IN GENERAL.—From the amounts made 

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1 istrator under section 4241(b)(5) of the 

2 Jumpstarting Opportunity with Broadband Spec3 trum Act of 2011, the Assistant Secretary and the 

4 Administrator are authorized to provide grants 

5 under this section through the end of fiscal year 

6 2021. Not more than 5 percent of such amounts 

7 may be obligated or expended to cover the adminis8 trative costs of carrying out this section. 

9 ‘‘(2) TERMINATION.—Effective on October 1, 

10 2021, the authority provided by this section termi11 nates and this section shall have no effect. 

12 ‘‘(e) DEFINITIONS.—In this section, the following 

13 definitions shall apply: 

14 ‘‘(1) 9–1–1 SERVICES.—The term ‘9–1–1 serv15 ices’ includes both E9–1–1 services and Next Gen16 eration 9–1–1 services. 

17 ‘‘(2) E9–1–1 SERVICES.—The term ‘E9–1–1 

18 services’ means both phase I and phase II enhanced 

19 9–1–1 services, as described in section 20.18 of the 

20 Commission’s regulations (47 CFR 20.18), as in ef21 fect on the date of enactment of the Next Genera22 tion 9–1–1 Advancement Act of 2011, or as subse23 quently revised by the Commission. 

24 ‘‘(3) ELIGIBLE ENTITY.— 


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1 ‘‘(A) IN GENERAL.—The term ‘eligible en2 tity’ means a State or local government or a 

3 tribal organization (as defined in section 4(l) of 

4 the Indian Self-Determination and Education 

5 Assistance Act (25 U.S.C. 450b(l))). 

6 ‘‘(B) INSTRUMENTALITIES.—The term ‘eli7 gible entity’ includes public authorities, boards, 

8 commissions, and similar bodies created by 1 or 

9 more eligible entities described in subparagraph 

10 (A) to provide 9–1–1 services, E9–1–1 services, 

11 or Next Generation 9–1–1 services. 

12 ‘‘(C) EXCEPTION.—The term ‘eligible enti13 ty’ does not include any entity that has failed 

14 to submit the most recently required certifi15 cation under subsection (c) within 30 days after 

16 the date on which such certification is due. 

17 ‘‘(4) EMERGENCY CALL.—The term ‘emergency 

18 call’ refers to any real-time communication with a 

19 public safety answering point or other emergency 

20 management or response agency, including— 

21 ‘‘(A) through voice, text, or video and re22 lated data; and 

23 ‘‘(B) nonhuman-initiated automatic event 

24 alerts, such as alarms, telematics, or sensor 


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1 data, which may also include real-time voice, 

2 text, or video communications. 

3 ‘‘(5) NEXT GENERATION 9–1–1 SERVICES.—The 

4 term ‘Next Generation 9–1–1 services’ means an IP5 based system comprised of hardware, software, data, 

6 and operational policies and procedures that— 

7 ‘‘(A) provides standardized interfaces from 

8 emergency call and message services to support 

9 emergency communications; 

10 ‘‘(B) processes all types of emergency calls, 

11 including voice, data, and multimedia informa12 tion; 

13 ‘‘(C) acquires and integrates additional 

14 emergency call data useful to call routing and 

15 handling; 

16 ‘‘(D) delivers the emergency calls, mes17 sages, and data to the appropriate public safety 

18 answering point and other appropriate emer19 gency entities; 

20 ‘‘(E) supports data or video communica21 tions needs for coordinated incident response 

22 and management; and 

23 ‘‘(F) provides broadband service to public 

24 safety answering points or other first responder 

25 entities. 


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1 ‘‘(6) OFFICE.—The term ‘Office’ means the 9– 

2 1–1 Implementation Coordination Office. 

3 ‘‘(7) PUBLIC SAFETY ANSWERING POINT.—The 

4 term ‘public safety answering point’ has the meaning 

5 given the term in section 222 of the Communica6 tions Act of 1934 (47 U.S.C. 222). 

7 ‘‘(8) STATE.—The term ‘State’ means any 

8 State of the United States, the District of Columbia, 

9 Puerto Rico, American Samoa, Guam, the United 

10 States Virgin Islands, the Northern Mariana Is11 lands, and any other territory or possession of the 

12 United States.’’. 

13 SEC. 4266. REQUIREMENTS FOR MULTI-LINE TELEPHONE 

14 SYSTEMS. 

15 (a) IN GENERAL.—Not later than 270 days after the 

16 date of the enactment of this Act, the Administrator of 

17 General Services, in conjunction with the Office, shall 

18 issue a report to Congress identifying the 9–1–1 capabili19 ties of the multi-line telephone system in use by all Fed20 eral agencies in all Federal buildings and properties. 

21 (b) COMMISSION ACTION.— 

22 (1) IN GENERAL.—Not later than 90 days after 

23 the date of the enactment of this Act, the Commis24 sion shall issue a public notice seeking comment on 

25 the feasibility of requiring MLTS manufacturers to 


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1 include within all such systems manufactured or sold 

2 after a date certain, to be determined by the Com3 mission, one or more mechanisms to provide a suffi4 ciently precise indication of a 9–1–1 caller’s location, 

5 while avoiding the imposition of undue burdens on 

6 MLTS manufacturers, providers, and operators. 

7 (2) SPECIFIC REQUIREMENT.—The public no8 tice under paragraph (1) shall seek comment on the 

9 National Emergency Number Association’s ‘‘Tech10 nical Requirements Document On Model Legislation 

11 E9–1–1 for Multi-Line Telephone Systems’’ (NENA 

12 06–750, Version 2). 

13 SEC. 4267. GAO STUDY OF STATE AND LOCAL USE OF 9–1–1 

14 SERVICE CHARGES. 

15 (a) IN GENERAL.—Not later than 60 days after the 

16 date of the enactment of this Act, the Comptroller General 

17 of the United States shall initiate a study of— 

18 (1) the imposition of taxes, fees, or other 

19 charges imposed by States or political subdivisions 

20 of States that are designated or presented as dedi21 cated to improve emergency communications serv22 ices, including 9–1–1 services or enhanced 9–1–1 

23 services, or related to emergency communications 

24 services operations or improvements; and 


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1 (2) the use of revenues derived from such taxes, 

2 fees, or charges. 

3 (b) REPORT.—Not later than 18 months after initi4 ating the study required by subsection (a), the Comp5 troller General shall prepare and submit a report on the 

6 results of the study to the Committee on Commerce, 

7 Science, and Transportation of the Senate and the Com8 mittee on Energy and Commerce of the House of Rep9 resentatives setting forth the findings, conclusions, and 

10 recommendations, if any, of the study, including— 

11 (1) the identity of each State or political sub12 division that imposes such taxes, fees, or other 

13 charges; and 

14 (2) the amount of revenues obligated or ex15 pended by that State or political subdivision for any 

16 purpose other than the purposes for which such 

17 taxes, fees, or charges were designated or presented. 

18 SEC. 4268. PARITY OF PROTECTION FOR PROVISION OR 

19 USE OF NEXT GENERATION 9–1–1 SERVICES. 

20 (a) IMMUNITY.—A provider or user of Next Genera21 tion 9–1–1 services, a public safety answering point, and 

22 the officers, directors, employees, vendors, agents, and au23 thorizing government entity (if any) of such provider, user, 

24 or public safety answering point, shall have immunity and 


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1 protection from liability under Federal and State law to 

2 the extent provided in subsection (b) with respect to— 

3 (1) the release of subscriber information related 

4 to emergency calls or emergency services; 

5 (2) the use or provision of 9–1–1 services, E9– 

6 1–1 services, or Next Generation 9–1–1 services; 

7 and 

8 (3) other matters related to 9–1–1 services, 

9 E9–1–1 services, or Next Generation 9–1–1 services. 

10 (b) SCOPE OF IMMUNITY AND PROTECTION FROM LI11 ABILITY.—The scope and extent of the immunity and pro12 tection from liability afforded under subsection (a) shall 

13 be the same as that provided under section 4 of the Wire14 less Communications and Public Safety Act of 1999 (47 

15 U.S.C. 615a) to wireless carriers, public safety answering 

16 points, and users of wireless 9–1–1 service (as defined in 

17 paragraphs (4), (3), and (6), respectively, of section 6 of 

18 that Act (47 U.S.C. 615b)) with respect to such release, 

19 use, and other matters. 

20 SEC. 4269. COMMISSION PROCEEDING ON AUTODIALING. 

21 (a) IN GENERAL.—Not later than 90 days after the 

22 date of the enactment of this Act, the Commission shall 

23 initiate a proceeding to create a specialized Do-Not-Call 

24 registry for public safety answering points. 


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1 (b) FEATURES OF THE REGISTRY.—The Commission 

2 shall issue regulations, after providing the public with no3 tice and an opportunity to comment, that— 

4 (1) permit verified public safety answering 

5 point administrators or managers to register the 

6 telephone numbers of all 9–1–1 trunks and other 

7 lines used for the provision of emergency services to 

8 the public or for communications between public 

9 safety agencies; 

10 (2) provide a process for verifying, no less fre11 quently than once every 7 years, that registered 

12 numbers should continue to appear upon the reg13 istry; 

14 (3) provide a process for granting and tracking 

15 access to the registry by the operators of automatic 

16 dialing equipment; 

17 (4) protect the list of registered numbers from 

18 disclosure or dissemination by parties granted access 

19 to the registry; and 

20 (5) prohibit the use of automatic dialing or 

21 ‘‘robocall’’ equipment to establish contact with reg22 istered numbers. 

23 (c) ENFORCEMENT.—The Commission shall— 

24 (1) establish monetary penalties for violations 

25 of the protective regulations established pursuant to 


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1 subsection (b)(4) of not less than $100,000 per inci2 dent nor more than $1,000,000 per incident; 

3 (2) establish monetary penalties for violations 

4 of the prohibition on automatically dialing registered 

5 numbers established pursuant to subsection (b)(5) of 

6 not less than $10,000 per call nor more than 

7 $100,000 per call; and 

8 (3) provide for the imposition of fines under 

9 paragraphs (1) or (2) that vary depending upon 

10 whether the conduct leading to the violation was 

11 negligent, grossly negligent, reckless, or willful, and 

12 depending on whether the violation was a first or 

13 subsequent offence. 

14 SEC. 4270. NHTSA REPORT ON COSTS FOR REQUIREMENTS 

15 AND SPECIFICATIONS OF NEXT GENERATION 

16 9–1–1 SERVICES. 

17 (a) IN GENERAL.—Not later than 1 year after the 

18 date of the enactment of this Act, the Administrator of 

19 the National Highway Traffic Safety Administration, in 

20 consultation with the Commission, the Secretary of Home21 land Security, and the Office, shall prepare and submit 

22 a report to Congress that analyzes and determines detailed 

23 costs for specific Next Generation 9–1–1 service require24 ments and specifications. 


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1 (b) PURPOSE OF REPORT.—The purpose of the re2 port required under subsection (a) is to serve as a resource 

3 for Congress as it considers creating a coordinated, long4 term funding mechanism for the deployment and oper5 ation, accessibility, application development, equipment 

6 procurement, and training of personnel for Next Genera7 tion 9–1–1 services. 

8 (c) REQUIRED INCLUSIONS.—The report required 

9 under subsection (a) shall include the following: 

10 (1) How costs would be broken out geographi11 cally and/or allocated among public safety answering 

12 points, broadband service providers, and third-party 

13 providers of Next Generation 9–1–1 services. 

14 (2) An assessment of the current state of Next 

15 Generation 9–1–1 service readiness among public 

16 safety answering points. 

17 (3) How differences in public safety answering 

18 points’ access to broadband across the country may 

19 affect costs. 

20 (4) A technical analysis and cost study of dif21 ferent delivery platforms, such as wireline, wireless, 

22 and satellite. 

23 (5) An assessment of the architectural charac24 teristics, feasibility, and limitations of Next Genera25 tion 9–1–1 service delivery. 


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1 (6) An analysis of the needs for Next Genera2 tion 9–1–1 services of persons with disabilities. 

3 (7) Standards and protocols for Next Genera4 tion 9–1–1 services and for incorporating Voice over 

5 Internet Protocol and ‘‘Real-Time Text’’ standards. 

6 SEC. 4271. FCC RECOMMENDATIONS FOR LEGAL AND STAT7 UTORY FRAMEWORK FOR NEXT GENERATION 

8 9–1–1 SERVICES. 

9 Not later than 1 year after the date of the enactment 

10 of this Act, the Commission, in coordination with the Sec11 retary of Homeland Security, the Administrator of the Na12 tional Highway Traffic Safety Administration, and the Of13 fice, shall prepare and submit a report to Congress that 

14 contains recommendations for the legal and statutory 

15 framework for Next Generation 9–1–1 services, consistent 

16 with recommendations in the National Broadband Plan 

17 developed by the Commission pursuant to the American 

18 Recovery and Reinvestment Act of 2009, including the fol19 lowing: 

20 (1) A legal and regulatory framework for the 

21 development of Next Generation 9–1–1 services and 

22 the transition from legacy 9–1–1 to Next Generation 

23 9–1–1 networks. 


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1 (2) Legal mechanisms to ensure efficient and 

2 accurate transmission of 9–1–1 caller information to 

3 emergency response agencies. 

4 (3) Recommendations for removing jurisdic5 tional barriers and inconsistent legacy regulations 

6 including— 

7 (A) proposals that would require States to 

8 remove regulatory roadblocks to Next Genera9 tion 9–1–1 services development, while recog10 nizing existing State authority over 9–1–1 serv11 ices; 

12 (B) eliminating outdated 9–1–1 regula13 tions at the Federal level; and 

14 (C) preempting inconsistent State regula15 tions. 

16 Subtitle C—Federal Spectrum 

17 Relocation 

18 SEC. 4301. RELOCATION OF AND SPECTRUM SHARING BY 

19 FEDERAL GOVERNMENT STATIONS. 

20 (a) IN GENERAL.—Section 113 of the National Tele21 communications and Information Administration Organi22 zation Act (47 U.S.C. 923) is amended— 

23 (1) in subsection (g)— 


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1 (A) by striking the heading and inserting 

2 ‘‘RELOCATION OF AND SPECTRUM SHARING BY

3 FEDERAL GOVERNMENT STATIONS’’; 

4 (B) by amending paragraph (1) to read as 

5 follows: 

6 ‘‘(1) ELIGIBLE FEDERAL ENTITIES.—Any Fed7 eral entity that operates a Federal Government sta8 tion authorized to use a band of eligible frequencies 

9 described in paragraph (2) and that incurs reloca10 tion or sharing costs because of planning for an auc11 tion of spectrum frequencies or the reallocation of 

12 spectrum frequencies from Federal use to exclusive 

13 non-Federal use or to shared use shall receive pay14 ment for such relocation or sharing costs from the 

15 Spectrum Relocation Fund, in accordance with this 

16 section and section 118. For purposes of this para17 graph, Federal power agencies exempted under sub18 section (c)(4) that choose to relocate from the fre19 quencies identified for reallocation pursuant to sub20 section (a) are eligible to receive payment under this 

21 paragraph.’’; 

22 (C) by amending paragraph (2)(B) to read 

23 as follows: 

24 ‘‘(B) any other band of frequencies reallo25 cated from Federal use to exclusive non-Federal 


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1 use or to shared use after January 1, 2003, 

2 that is assigned by competitive bidding pursu3 ant to section 309(j) of the Communications 

4 Act of 1934 (47 U.S.C. 309(j)).’’; 

5 (D) by amending paragraph (3) to read as 

6 follows: 

7 ‘‘(3) RELOCATION OR SHARING COSTS DE8 FINED.— 

9 ‘‘(A) IN GENERAL.—For purposes of this 

10 section and section 118, the term ‘relocation or 

11 sharing costs’ means the costs incurred by a 

12 Federal entity in connection with the auction of 

13 spectrum frequencies previously assigned to 

14 such entity or the sharing of spectrum fre15 quencies assigned to such entity (including the 

16 auction or a planned auction of the rights to 

17 use spectrum frequencies on a shared basis with 

18 such entity) in order to achieve comparable ca19 pability of systems as before the relocation or 

20 sharing arrangement. Such term includes, with 

21 respect to relocation or sharing, as the case 

22 may be— 

23 ‘‘(i) the costs of any modification or 

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1 ties, operating manuals, training, or com2 pliance with regulations that are attrib3 utable to relocation or sharing; 

4 ‘‘(ii) the costs of all engineering, 

5 equipment, software, site acquisition, and 

6 construction, as well as any legitimate and 

7 prudent transaction expense, including 

8 term-limited Federal civil servant and con9 tractor staff necessary to carry out the re10 location or sharing activities of a Federal 

11 entity, and reasonable additional costs in12 curred by the Federal entity that are at13 tributable to relocation or sharing, includ14 ing increased recurring costs associated 

15 with the replacement of facilities; 

16 ‘‘(iii) the costs of research, engineer17 ing studies, economic analyses, or other ex18 penses reasonably incurred in connection 

19 with— 

20 ‘‘(I) calculating the estimated re21 location or sharing costs that are pro22 vided to the Commission pursuant to 

23 paragraph (4)(A); 

24 ‘‘(II) determining the technical or 

25 operational feasibility of relocation to 


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1 1 or more potential relocation bands; 

2 or 

3 ‘‘(III) planning for or managing 

4 a relocation or sharing arrangement 

5 (including spectrum coordination with 

6 auction winners); 

7 ‘‘(iv) the one-time costs of any modi8 fication of equipment reasonably nec9 essary— 

10 ‘‘(I) to accommodate non-Federal 

11 use of shared frequencies; or 

12 ‘‘(II) in the case of eligible fre13 quencies reallocated for exclusive non14 Federal use and assigned through a 

15 system of competitive bidding under 

16 section 309(j) of the Communications 

17 Act of 1934 (47 U.S.C. 309(j)) but 

18 with respect to which a Federal entity 

19 retains primary allocation or protected 

20 status for a period of time after the 

21 completion of the competitive bidding 

22 process, to accommodate shared Fed23 eral and non-Federal use of such fre24 quencies for such period; and 


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1 ‘‘(v) the costs associated with the ac2 celerated replacement of systems and 

3 equipment if the acceleration is necessary 

4 to ensure the timely relocation of systems 

5 to a new frequency assignment or the time6 ly accommodation of sharing of Federal 

7 frequencies. 

8 ‘‘(B) COMPARABLE CAPABILITY OF SYS9 TEMS.—For purposes of subparagraph (A), 

10 comparable capability of systems— 

11 ‘‘(i) may be achieved by relocating a 

12 Federal Government station to a new fre13 quency assignment, by relocating a Federal 

14 Government station to a different geo15 graphic location, by modifying Federal 

16 Government equipment to mitigate inter17 ference or use less spectrum, in terms of 

18 bandwidth, geography, or time, and there19 by permitting spectrum sharing (including 

20 sharing among relocated Federal entities 

21 and incumbents to make spectrum avail22 able for non-Federal use) or relocation, or 

23 by utilizing an alternative technology; and 

24 ‘‘(ii) includes the acquisition of state25 of-the-art replacement systems intended to 


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1 meet comparable operational scope, which 

2 may include incidental increases in 

3 functionality.’’; 

4 (E) in paragraph (4)— 

5 (i) in the heading, by striking ‘‘RELO6 CATIONS COSTS’’ and inserting ‘‘RELOCA7 TION OR SHARING COSTS’’; 

8 (ii) by striking ‘‘relocation costs’’ each 

9 place it appears and inserting ‘‘relocation 

10 or sharing costs’’; and 

11 (iii) in subparagraph (A), by inserting 

12 ‘‘or sharing’’ after ‘‘such relocation’’; 

13 (F) in paragraph (5)— 

14 (i) by striking ‘‘relocation costs’’ and 

15 inserting ‘‘relocation or sharing costs’’; and 

16 (ii) by inserting ‘‘or sharing’’ after 

17 ‘‘for relocation’’; and 

18 (G) by amending paragraph (6) to read as 

19 follows: 

20 ‘‘(6) IMPLEMENTATION OF PROCEDURES.—The 

21 NTIA shall take such actions as necessary to ensure 

22 the timely relocation of Federal entities’ spectrum23 related operations from frequencies described in 

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1 mentation of arrangements for the sharing of fre2 quencies described in such paragraph. Upon a find3 ing by the NTIA that a Federal entity has achieved 

4 comparable capability of systems, the NTIA shall 

5 terminate or limit the entity’s authorization and no6 tify the Commission that the entity’s relocation has 

7 been completed or sharing arrangement has been im8 plemented. The NTIA shall also terminate such enti9 ty’s authorization if the NTIA determines that the 

10 entity has unreasonably failed to comply with the 

11 timeline for relocation or sharing submitted by the 

12 Director of the Office of Management and Budget 

13 under section 118(d)(2)(C).’’; 

14 (2) by redesignating subsections (h) and (i) as 

15 subsections (k) and (l), respectively; and 

16 (3) by inserting after subsection (g) the fol17 lowing: 

18 ‘‘(h) DEVELOPMENT AND PUBLICATION OF RELOCA19 TION OR SHARING TRANSITION PLANS.— 

20 ‘‘(1) DEVELOPMENT OF TRANSITION PLAN BY

21 FEDERAL ENTITY.—Not later than 240 days before 

22 the commencement of any auction of eligible fre23 quencies described in subsection (g)(2), a Federal 

24 entity authorized to use any such frequency shall 

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1 tablished by paragraph (3) a transition plan for the 

2 implementation by such entity of the relocation or 

3 sharing arrangement. The NTIA shall specify, after 

4 public input, a common format for all Federal enti5 ties to follow in preparing transition plans under 

6 this paragraph. 

7 ‘‘(2) CONTENTS OF TRANSITION PLAN.—The 

8 transition plan required by paragraph (1) shall in9 clude the following information: 

10 ‘‘(A) The use by the Federal entity of the 

11 eligible frequencies to be auctioned, current as 

12 of the date of the submission of the plan. 

13 ‘‘(B) The geographic location of the facili14 ties or systems of the Federal entity that use 

15 such frequencies. 

16 ‘‘(C) The frequency bands used by such fa17 cilities or systems, described by geographic loca18 tion. 

19 ‘‘(D) The steps to be taken by the Federal 

20 entity to relocate its spectrum use from such 

21 frequencies or to share such frequencies, includ22 ing timelines for specific geographic locations in 

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1 tinued by the Federal entity or shared between 

2 the Federal entity and non-Federal users. 

3 ‘‘(E) The specific interactions between the 

4 eligible Federal entity and the NTIA needed to 

5 implement the transition plan. 

6 ‘‘(F) The name of the officer or employee 

7 of the Federal entity who is responsible for the 

8 relocation or sharing efforts of the entity and 

9 who is authorized to meet and negotiate with 

10 non-Federal users regarding the transition. 

11 ‘‘(G) The plans and timelines of the Fed12 eral entity for— 

13 ‘‘(i) using funds received from the 

14 Spectrum Relocation Fund established by 

15 section 118; 

16 ‘‘(ii) procuring new equipment and 

17 additional personnel needed for relocation 

18 or sharing; 

19 ‘‘(iii) field-testing and deploying new 

20 equipment needed for relocation or shar21 ing; and 

22 ‘‘(iv) hiring and relying on contract 

23 personnel, if any, needed for relocation or 

24 sharing. 


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1 ‘‘(H) Factors that could hinder fulfillment 

2 of the transition plan by the Federal entity. 

3 ‘‘(3) TECHNICAL PANEL.— 

4 ‘‘(A) ESTABLISHMENT.—There is estab5 lished within the NTIA a panel to be known as 

6 the Technical Panel. 

7 ‘‘(B) MEMBERSHIP.— 

8 ‘‘(i) NUMBER AND APPOINTMENT.— 

9 The Technical Panel shall be composed of 

10 3 members, to be appointed as follows: 

11 ‘‘(I) One member to be appointed 

12 by the Director of the Office of Man13 agement and Budget (in this sub14 section referred to as ‘OMB’). 

15 ‘‘(II) One member to be ap16 pointed by the Assistant Secretary. 

17 ‘‘(III) One member to be ap18 pointed by the Chairman of the Com19 mission. 

20 ‘‘(ii) QUALIFICATIONS.—Each mem21 ber of the Technical Panel shall be a radio 

22 engineer or a technical expert. 

23 ‘‘(iii) INITIAL APPOINTMENT.—The 

24 initial members of the Technical Panel 

25 shall be appointed not later than 180 days 


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1 after the date of the enactment of the 

2 Jumpstarting Opportunity with Broadband 

3 Spectrum Act of 2011. 

4 ‘‘(iv) TERMS.—The term of a member 

5 of the Technical Panel shall be 18 months, 

6 and no individual may serve more than 1 

7 consecutive term. 

8 ‘‘(v) VACANCIES.—Any member ap9 pointed to fill a vacancy occurring before 

10 the expiration of the term for which the 

11 member’s predecessor was appointed shall 

12 be appointed only for the remainder of that 

13 term. A member may serve after the expi14 ration of that member’s term until a suc15 cessor has taken office. A vacancy shall be 

16 filled in the manner in which the original 

17 appointment was made. 

18 ‘‘(vi) NO COMPENSATION.—The mem19 bers of the Technical Panel shall not re20 ceive any compensation for service on the 

21 Technical Panel. If any such member is an 

22 employee of the agency of the official that 

23 appointed such member to the Technical 

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1 pacity as such an employee shall not be 

2 considered compensation under this clause. 

3 ‘‘(C) ADMINISTRATIVE SUPPORT.—The 

4 NTIA shall provide the Technical Panel with 

5 the administrative support services necessary to 

6 carry out its duties under this subsection and 

7 subsection (i). 

8 ‘‘(D) REGULATIONS.—Not later than 180 

9 days after the date of the enactment of the 

10 Jumpstarting Opportunity with Broadband 

11 Spectrum Act of 2011, the NTIA shall, after 

12 public notice and comment and subject to ap13 proval by the Director of OMB, adopt regula14 tions to govern the workings of the Technical 

15 Panel. 

16 ‘‘(E) CERTAIN REQUIREMENTS INAPPLI17 CABLE.—The Federal Advisory Committee Act 

18 (5 U.S.C. App.) and sections 552 and 552b of 

19 title 5, United States Code, shall not apply to 

20 the Technical Panel. 

21 ‘‘(4) REVIEW OF PLAN BY TECHNICAL

22 PANEL.— 

23 ‘‘(A) IN GENERAL.—Not later than 30 

24 days after the submission of the plan under 

25 paragraph (1), the Technical Panel shall submit 


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1 to the NTIA and to the Federal entity a report 

2 on the sufficiency of the plan, including whether 

3 the plan includes the information required by 

4 paragraph (2) and an assessment of the reason5 ableness of the proposed timelines and esti6 mated relocation or sharing costs, including the 

7 costs of any proposed expansion of the capabili8 ties of a Federal system in connection with relo9 cation or sharing. 

10 ‘‘(B) INSUFFICIENCY OF PLAN.—If the 

11 Technical Panel finds the plan insufficient, the 

12 Federal entity shall, not later than 90 days 

13 after the submission of the report by the Tech14 nical panel under subparagraph (A), submit to 

15 the Technical Panel a revised plan. Such re16 vised plan shall be treated as a plan submitted 

17 under paragraph (1). 

18 ‘‘(5) PUBLICATION OF TRANSITION PLAN.—Not 

19 later than 120 days before the commencement of the 

20 auction described in paragraph (1), the NTIA shall 

21 make the transition plan publicly available on its 

22 website. 

23 ‘‘(6) UPDATES OF TRANSITION PLAN.—As the 

24 Federal entity implements the transition plan, it 

25 shall periodically update the plan to reflect any 


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1 changed circumstances, including changes in esti2 mated relocation or sharing costs or the timeline for 

3 relocation or sharing. The NTIA shall make the up4 dates available on its website. 

5 ‘‘(7) CLASSIFIED AND OTHER SENSITIVE IN6 FORMATION.— 

7 ‘‘(A) CLASSIFIED INFORMATION.—If any 

8 of the information required to be included in 

9 the transition plan of a Federal entity is classi10 fied information (as defined in section 798(b) of 

11 title 18, United States Code), the entity shall— 

12 ‘‘(i) include in the plan— 

13 ‘‘(I) an explanation of the exclu14 sion of any such information, which 

15 shall be as specific as possible; and 

16 ‘‘(II) all relevant non-classified 

17 information that is available; and 

18 ‘‘(ii) discuss as a factor under para19 graph (2)(H) the extent of the classified 

20 information and the effect of such informa21 tion on the implementation of the reloca22 tion or sharing arrangement. 

23 ‘‘(B) REGULATIONS.—Not later than 180 

24 days after the date of the enactment of the 

25 Jumpstarting Opportunity with Broadband 


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1 Spectrum Act of 2011, the NTIA, in consulta2 tion with the Director of OMB and the Sec3 retary of Defense, shall adopt regulations to en4 sure that the information publicly released 

5 under paragraph (5) or (6) does not contain 

6 classified information or other sensitive infor7 mation. 

8 ‘‘(i) DISPUTE RESOLUTION PROCESS.— 

9 ‘‘(1) IN GENERAL.—If a dispute arises between 

10 a Federal entity and a non-Federal user regarding 

11 the execution, timing, or cost of the transition plan 

12 submitted by the Federal entity under subsection 

13 (h)(1), the Federal entity or the non-Federal user 

14 may request that the NTIA establish a dispute reso15 lution board to resolve the dispute. 

16 ‘‘(2) ESTABLISHMENT OF BOARD.— 

17 ‘‘(A) IN GENERAL.—If the NTIA receives 

18 a request under paragraph (1), it shall establish 

19 a dispute resolution board. 

20 ‘‘(B) MEMBERSHIP AND APPOINTMENT.— 

21 The dispute resolution board shall be composed 

22 of 3 members, as follows: 

23 ‘‘(i) A representative of the Office of 

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1 section referred to as ‘OMB’), to be ap2 pointed by the Director of OMB. 

3 ‘‘(ii) A representative of the NTIA, to 

4 be appointed by the Assistant Secretary. 

5 ‘‘(iii) A representative of the Commis6 sion, to be appointed by the Chairman of 

7 the Commission. 

8 ‘‘(C) CHAIR.—The representative of OMB 

9 shall be the Chair of the dispute resolution 

10 board. 

11 ‘‘(D) VACANCIES.—Any vacancy in the dis12 pute resolution board shall be filled in the man13 ner in which the original appointment was 

14 made. 

15 ‘‘(E) NO COMPENSATION.—The members 

16 of the dispute resolution board shall not receive 

17 any compensation for service on the board. If 

18 any such member is an employee of the agency 

19 of the official that appointed such member to 

20 the board, compensation in the member’s capac21 ity as such an employee shall not be considered 

22 compensation under this subparagraph. 

23 ‘‘(F) TERMINATION OF BOARD.—The dis24 pute resolution board shall be terminated after 

25 it rules on the dispute that it was established 


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1 to resolve and the time for appeal of its decision 

2 under paragraph (7) has expired, unless an ap3 peal has been taken under such paragraph. If 

4 such an appeal has been taken, the board shall 

5 continue to exist until the appeal process has 

6 been exhausted and the board has completed 

7 any action required by a court hearing the ap8 peal. 

9 ‘‘(3) PROCEDURES.—The dispute resolution 

10 board shall meet simultaneously with representatives 

11 of the Federal entity and the non-Federal user to 

12 discuss the dispute. The dispute resolution board 

13 may require the parties to make written submissions 

14 to it. 

15 ‘‘(4) DEADLINE FOR DECISION.—The dispute 

16 resolution board shall rule on the dispute not later 

17 than 30 days after the request was made to the 

18 NTIA under paragraph (1). 

19 ‘‘(5) ASSISTANCE FROM TECHNICAL PANEL.— 

20 The Technical Panel established under subsection 

21 (h)(3) shall provide the dispute resolution board 

22 with such technical assistance as the board requests. 

23 ‘‘(6) ADMINISTRATIVE SUPPORT.—The NTIA 

24 shall provide the dispute resolution board with the 


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1 administrative support services necessary to carry 

2 out its duties under this subsection. 

3 ‘‘(7) APPEALS.—A decision of the dispute reso4 lution board may be appealed to the United States 

5 Court of Appeals for the District of Columbia Cir6 cuit by filing a notice of appeal with that court not 

7 later than 30 days after the date of such decision. 

8 Each party shall bear its own costs and expenses, in9 cluding attorneys’ fees, for any appeal under this 

10 paragraph. 

11 ‘‘(8) REGULATIONS.—Not later than 180 days 

12 after the date of the enactment of the Jumpstarting 

13 Opportunity with Broadband Spectrum Act of 2011, 

14 the NTIA shall, after public notice and comment 

15 and subject to approval by OMB, adopt regulations 

16 to govern the working of any dispute resolution 

17 boards established under paragraph (2)(A) and the 

18 role of the Technical Panel in assisting any such 

19 board. 

20 ‘‘(9) CERTAIN REQUIREMENTS INAPPLI21 CABLE.—The Federal Advisory Committee Act (5 

22 U.S.C. App.) and sections 552 and 552b of title 5, 

23 United States Code, shall not apply to a dispute res24 olution board established under paragraph (2)(A). 

25 ‘‘(j) RELOCATION PRIORITIZED OVER SHARING.— 


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1 ‘‘(1) IN GENERAL.—In evaluating a band of 

2 frequencies for possible reallocation for exclusive 

3 non-Federal use or shared use, the NTIA shall give 

4 priority to options involving reallocation of the band 

5 for exclusive non-Federal use and shall choose op6 tions involving shared use only when it determines, 

7 in consultation with the Director of the Office of 

8 Management and Budget, that relocation of a Fed9 eral entity from the band is not feasible because of 

10 technical or cost constraints. 

11 ‘‘(2) NOTIFICATION OF CONGRESS WHEN SHAR12 ING CHOSEN.—If the NTIA determines under para13 graph (1) that relocation of a Federal entity from 

14 the band is not feasible, the NTIA shall notify the 

15 Committee on Commerce, Science, and Transpor16 tation of the Senate and the Committee on Energy 

17 and Commerce of the House of Representatives of 

18 the determination, including the specific technical or 

19 cost constraints on which the determination is 

20 based.’’. 

21 (b) CONFORMING AMENDMENT.—Section 309(j) of 

22 the Communications Act of 1934, as amended by section 

23 4105, is further amended by striking ‘‘relocation costs’’ 

24 each place it appears and inserting ‘‘relocation or sharing 

25 costs’’. 


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1 SEC. 4302. SPECTRUM RELOCATION FUND. 

2 Section 118 of the National Telecommunications and 

3 Information Administration Organization Act (47 U.S.C. 

4 928) is amended— 

5 (1) by striking ‘‘relocation costs’’ each place it 

6 appears and inserting ‘‘relocation or sharing costs’’; 

7 (2) by amending subsection (c) to read as fol8 lows: 

9 ‘‘(c) USE OF FUNDS.—The amounts in the Fund 

10 from auctions of eligible frequencies are authorized to be 

11 used to pay relocation or sharing costs of an eligible Fed12 eral entity incurring such costs with respect to relocation 

13 from or sharing of those frequencies.’’; 

14 (3) in subsection (d)— 

15 (A) in paragraph (2)— 

16 (i) in subparagraph (A), by inserting 

17 ‘‘or sharing’’ before the semicolon; 

18 (ii) in subparagraph (B), by inserting 

19 ‘‘or sharing’’ before the period at the end; 

20 (iii) by redesignating subparagraphs 

21 (A) and (B) as subparagraphs (B) and 

22 (C), respectively; and 

23 (iv) by inserting before subparagraph 

24 (B), as so redesignated, the following: 

25 ‘‘(A) unless the eligible Federal entity has 

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1 quired by paragraph (1) of section 113(h), the 

2 Technical Panel has found such plan sufficient 

3 under paragraph (4) of such section, and the 

4 NTIA has made available such plan on its 

5 website as required by paragraph (5) of such 

6 section;’’; 

7 (B) by striking paragraph (3); and 

8 (C) by adding at the end the following: 

9 ‘‘(3) TRANSFERS FOR PRE-AUCTION COSTS.— 

10 ‘‘(A) IN GENERAL.—Subject to subpara11 graph (B), the Director of OMB may transfer 

12 to an eligible Federal entity, at any time (in13 cluding prior to a scheduled auction), such 

14 sums as may be available in the Fund to pay 

15 relocation or sharing costs related to pre-auc16 tion estimates or research, as such costs are de17 scribed in section 113(g)(3)(A)(iii). 

18 ‘‘(B) NOTIFICATION.—No funds may be 

19 transferred pursuant to subparagraph (A) un20 less— 

21 ‘‘(i) the notification provided under 

22 paragraph (2)(C) includes a certification 

23 from the Director of OMB that— 

24 ‘‘(I) funds transferred before an 

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1 plementation of relocation or sharing, 

2 thereby increasing net expected auc3 tion proceeds by an amount not less 

4 than the time value of the amount of 

5 funds transferred; and 

6 ‘‘(II) the auction is intended to 

7 occur not later than 5 years after 

8 transfer of funds; and 

9 ‘‘(ii) the transition plan submitted by 

10 the eligible Federal entity under section 

11 113(h)(1) provides— 

12 ‘‘(I) to the fullest extent possible, 

13 for sharing and coordination of eligi14 ble frequencies with non-Federal 

15 users, including reasonable accommo16 dation by the eligible Federal entity 

17 for the use of eligible frequencies by 

18 non-Federal users during the period 

19 that the entity is relocating its spec20 trum uses (in this clause referred to 

21 as the ‘transition period’); 

22 ‘‘(II) for non-Federal users to be 

23 able to use eligible frequencies during 

24 the transition period in geographic 


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1 areas where the eligible Federal entity 

2 does not use such frequencies; 

3 ‘‘(III) that the eligible Federal 

4 entity will, during the transition pe5 riod, make itself available for negotia6 tion and discussion with non-Federal 

7 users not later than 30 days after a 

8 written request therefor; and 

9 ‘‘(IV) that the eligible Federal 

10 entity will, during the transition pe11 riod, make available to a non-Federal 

12 user with appropriate security clear13 ances any classified information (as 

14 defined in section 798(b) of title 18, 

15 United States Code) regarding the re16 location process, on a need-to-know 

17 basis, to assist the non-Federal user 

18 in the relocation process with such eli19 gible Federal entity or other eligible 

20 Federal entities. 

21 ‘‘(C) APPLICABILITY TO CERTAIN COSTS.— 

22 ‘‘(i) IN GENERAL.—The Director of 

23 OMB may transfer under subparagraph 

24 (A) not more than $10,000,000 for costs 

25 incurred after June 28, 2010, but before 


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1 the date of the enactment of the 

2 Jumpstarting Opportunity with Broadband 

3 Spectrum Act of 2011. 

4 ‘‘(ii) SUPPLEMENT NOT SUPPLANT.— 

5 Any amounts transferred by the Director 

6 of OMB pursuant to clause (i) shall be in 

7 addition to any amounts that the Director 

8 of OMB may transfer for costs incurred on 

9 or after the date of the enactment of the 

10 Jumpstarting Opportunity with Broadband 

11 Spectrum Act of 2011. 

12 ‘‘(4) REVERSION OF UNUSED FUNDS.—Any 

13 amounts in the Fund that are remaining after the 

14 payment of the relocation or sharing costs that are 

15 payable from the Fund shall revert to and be depos16 ited in the general fund of the Treasury, for the sole 

17 purpose of deficit reduction, not later than 8 years 

18 after the date of the deposit of such proceeds to the 

19 Fund, unless within 60 days in advance of the rever20 sion of such funds, the Director of OMB, in con21 sultation with the NTIA, notifies the congressional 

22 committees described in paragraph (2)(C) that such 

23 funds are needed to complete or to implement cur24 rent or future relocation or sharing arrangements.’’; 

25 (4) in subsection (e)— 


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1 (A) in paragraph (1)(B)— 

2 (i) in clause (i), by striking ‘‘sub3 section (d)(2)(A)’’ and inserting ‘‘sub4 section (d)(2)(B)’’; and 

5 (ii) in clause (ii), by striking ‘‘sub6 section (d)(2)(B)’’ and inserting ‘‘sub7 section (d)(2)(C)’’; and 

8 (B) in paragraph (2)— 

9 (i) by striking ‘‘entity’s relocation’’ 

10 and inserting ‘‘relocation of the entity or 

11 implementation of the sharing arrange12 ment by the entity’’; 

13 (ii) by inserting ‘‘or the implementa14 tion of such arrangement’’ after ‘‘such re15 location’’; and 

16 (iii) by striking ‘‘subsection 

17 (d)(2)(A)’’ and inserting ‘‘subsection 

18 (d)(2)(B)’’; and 

19 (5) by adding at the end the following: 

20 ‘‘(f) ADDITIONAL PAYMENTS FROM FUND.— 

21 ‘‘(1) AMOUNTS AVAILABLE.—Notwithstanding 

22 subsections (c) through (e), after the date of the en23 actment of the Jumpstarting Opportunity with 

24 Broadband Spectrum Act of 2011, there are appro25 priated from the Fund and available to the Director 


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1 of OMB for use in accordance with paragraph (2) 

2 not more than 10 percent of the amounts deposited 

3 in the Fund from auctions occurring after such date 

4 of enactment of licenses for the use of spectrum va5 cated by eligible Federal entities. 

6 ‘‘(2) USE OF AMOUNTS.— 

7 ‘‘(A) IN GENERAL.—The Director of OMB, 

8 in consultation with the NTIA, may use 

9 amounts made available under paragraph (1) to 

10 make payments to eligible Federal entities that 

11 are implementing a transition plan submitted 

12 under section 113(h)(1) in order to encourage 

13 such entities to complete the implementation 

14 more quickly, thereby encouraging timely access 

15 to the eligible frequencies that are being reallo16 cated for exclusive non-Federal use or shared 

17 use. 

18 ‘‘(B) CONDITIONS.—In the case of any 

19 payment by the Director of OMB under sub20 paragraph (A)— 

21 ‘‘(i) such payment shall be based on 

22 the market value of the eligible fre23 quencies, the timeliness with which the eli24 gible Federal entity clears its use of such 

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1 quencies in order for the entity to conduct 

2 its essential missions; 

3 ‘‘(ii) the eligible Federal entity shall 

4 use such payment for the purposes speci5 fied in clauses (i) through (v) of section 

6 113(g)(3)(A) to achieve comparable capa7 bility of systems affected by the realloca8 tion of eligible frequencies from Federal 

9 use to exclusive non-Federal use or to 

10 shared use; 

11 ‘‘(iii) such payment may not be made 

12 if the amount remaining in the Fund after 

13 such payment will be less than 10 percent 

14 of the winning bids in the auction of the 

15 spectrum with respect to which the Federal 

16 entity is incurring relocation or sharing 

17 costs; and 

18 ‘‘(iv) such payment may not be made 

19 until 30 days after the Director of OMB 

20 has notified the congressional committees 

21 described in subsection (d)(2)(C).’’. 

22 SEC. 4303. NATIONAL SECURITY AND OTHER SENSITIVE IN23 FORMATION. 

24 Part B of title I of the National Telecommunications 

25 and Information Administration Organization Act (47 


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1 U.S.C. 921 et seq.) is amended by adding at the end the 

2 following: 

3 ‘‘SEC. 119. NATIONAL SECURITY AND OTHER SENSITIVE IN4 FORMATION. 

5 ‘‘(a) DETERMINATION.—If the head of an Executive 

6 agency (as defined in section 105 of title 5, United States 

7 Code) determines that public disclosure of any information 

8 contained in a notification or report required by section 

9 113 or 118 would reveal classified national security infor10 mation, or other information for which there is a legal 

11 basis for nondisclosure and the public disclosure of which 

12 would be detrimental to national security, homeland secu13 rity, or public safety or would jeopardize a law enforce14 ment investigation, the head of the Executive agency shall 

15 notify the Assistant Secretary of that determination prior 

16 to the release of such information. 

17 ‘‘(b) INCLUSION IN ANNEX.—The head of the Execu18 tive agency shall place the information with respect to 

19 which a determination was made under subsection (a) in 

20 a separate annex to the notification or report required by 

21 section 113 or 118. The annex shall be provided to the 

22 subcommittee of primary jurisdiction of the congressional 

23 committee of primary jurisdiction in accordance with ap24 propriate national security stipulations but shall not be 


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1 disclosed to the public or provided to any unauthorized 

2 person through any means.’’. 

3 Subtitle D—Telecommunications 

4 Development Fund 

5 SEC. 4401. NO ADDITIONAL FEDERAL FUNDS. 

6 Section 309(j)(8)(C)(iii) of the Communications Act 

7 of 1934 (47 U.S.C. 309(j)(8)(C)(iii)) is amended to read 

8 as follows: 

9 ‘‘(iii) the interest accrued to the ac10 count shall be deposited in the general 

11 fund of the Treasury, where such amount 

12 shall be dedicated for the sole purpose of 

13 deficit reduction.’’. 

14 SEC. 4402. INDEPENDENCE OF THE FUND. 

15 Section 714 of the Communications Act of 1934 (47 

16 U.S.C. 614) is amended— 

17 (1) by striking subsection (c) and inserting the 

18 following: 

19 ‘‘(c) INDEPENDENT BOARD OF DIRECTORS.—The 

20 Fund shall have a Board of Directors consisting of 5 peo21 ple with experience in areas including finance, investment 

22 banking, government banking, communications law and 

23 administrative practice, and public policy. The Board of 

24 Directors shall select annually a Chair from among the 

25 directors. A nominating committee, comprised of the Chair 


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1 and 2 other directors selected by the Chair, shall appoint 

2 additional directors. The Fund’s bylaws shall regulate the 

3 other aspects of the Board of Directors, including provi4 sions relating to meetings, quorums, committees, and 

5 other matters, all as typically contained in the bylaws of 

6 a similar private investment fund.’’; 

7 (2) in subsection (d)— 

8 (A) by striking ‘‘(after consultation with 

9 the Commission and the Secretary of the Treas10 ury)’’; 

11 (B) by striking paragraph (1); and 

12 (C) by redesignating paragraphs (2) 

13 through (4) as paragraphs (1) through (3), re14 spectively; and 

15 (3) in subsection (g), by striking ‘‘subsection 

16 (d)(2)’’ and inserting ‘‘subsection (d)(1)’’. 

17 TITLE V—OFFSETS 

18 Subtitle A—Guarantee Fees 

19 SEC. 5001. GUARANTEE FEES. 

20 Subpart A of part 2 of subtitle A of title XIII of the 

21 Housing and Community Development Act of 1992 is 

22 amended by adding after section 1326 (12 U.S.C. 4546) 

23 the following new section: 


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1 ‘‘SEC. 1327. ENTERPRISE GUARANTEE FEES. 

2 ‘‘(a) DEFINITIONS.—For purposes of this section, the 

3 following definitions shall apply: 

4 ‘‘(1) GUARANTEE FEE.—The term ‘guarantee 

5 fee’— 

6 ‘‘(A) means a fee described in subsection 

7 (b); and 

8 ‘‘(B) includes— 

9 ‘‘(i) the guaranty fee charged by the 

10 Federal National Mortgage Association 

11 with respect to mortgage-backed securities; 

12 and 

13 ‘‘(ii) the management and guarantee 

14 fee charged by the Federal Home Loan 

15 Mortgage Corporation with respect to par16 ticipation certificates. 

17 ‘‘(2) AVERAGE FEES.—The term ‘average fees’ 

18 means the average contractual fee rate of single19 family guaranty arrangements by an enterprise en20 tered into during 2011, plus the recognition of any 

21 up-front cash payments over an estimated average 

22 life, expressed in terms of basis points. Such defini23 tion shall be interpreted in a manner consistent with 

24 the annual report on guarantee fees by the Federal 

25 Housing Finance Agency. 

26 ‘‘(b) INCREASE.— 


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1 ‘‘(1) IN GENERAL.— 

2 ‘‘(A) PHASED INCREASE REQUIRED.—Sub3 ject to subsection (c), the Director shall require 

4 each enterprise to charge a guarantee fee in 

5 connection with any guarantee of the timely 

6 payment of principal and interest on securities, 

7 notes, and other obligations based on or backed 

8 by mortgages on residential real properties de9 signed principally for occupancy of from 1 to 4 

10 families, consummated after the date of enact11 ment of this section. 

12 ‘‘(B) AMOUNT.—The amount of the in13 crease required under this section shall be de14 termined by the Director to appropriately re15 flect the risk of loss, as well the cost of capital 

16 allocated to similar assets held by other fully 

17 private regulated financial institutions, but such 

18 amount shall be not less than an average in19 crease of 10 basis points for each origination 

20 year or book year above the average fees im21 posed in 2011 for such guarantees. The Direc22 tor shall prohibit an enterprise from offsetting 

23 the cost of the fee to mortgage originators, bor24 rowers, and investors by decreasing other 


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1 charges, fees, or premiums, or in any other 

2 manner. 

3 ‘‘(2) AUTHORITY TO LIMIT OFFER OF GUAR4 ANTEE.—The Director shall prohibit an enterprise 

5 from consummating any offer for a guarantee to a 

6 lender for mortgage-backed securities, if— 

7 ‘‘(A) the guarantee is inconsistent with the 

8 requirements of this section; or 

9 ‘‘(B) the risk of loss is allowed to increase, 

10 through lowering of the underwriting standards 

11 or other means, for the primary purpose of 

12 meeting the requirements of this section. 

13 ‘‘(3) DEPOSIT IN TREASURY.—To the extent 

14 that amounts are received from fee increases im15 posed under this section that are necessary to com16 ply with the minimum increase required by this sub17 section, such amounts shall be deposited directly into 

18 the United States Treasury, and shall be available 

19 only to the extent provided in subsequent appropria20 tions Acts. Such fees shall not be considered a reim21 bursement to the Federal Government for the costs 

22 or subsidy provided to an enterprise. 

23 ‘‘(c) PHASE-IN.— 

24 ‘‘(1) IN GENERAL.—The Director may provide 

25 for compliance with subsection (b) by allowing each 


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1 enterprise to increase the guarantee fee charged by 

2 the enterprise gradually over the 2-year period be3 ginning on the date of enactment of this section, in 

4 a manner sufficient to comply with this section. In 

5 determining a schedule for such increases, the Direc6 tor shall— 

7 ‘‘(A) provide for uniform pricing among 

8 lenders; 

9 ‘‘(B) provide for adjustments in pricing 

10 based on risk levels; and 

11 ‘‘(C) take into consideration conditions in 

12 financial markets. 

13 ‘‘(2) RULE OF CONSTRUCTION.—Nothing in 

14 this subsection shall be interpreted to undermine the 

15 minimum increase required by subsection (b). 

16 ‘‘(d) INFORMATION COLLECTION AND ANNUAL

17 ANALYSIS.—The Director shall require each enterprise to 

18 provide to the Director, as part of its annual report sub19 mitted to Congress— 

20 ‘‘(1) a description of— 

21 ‘‘(A) changes made to up-front fees and 

22 annual fees as part of the guarantee fees nego23 tiated with lenders; and 


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1 ‘‘(B) changes to the riskiness of the new 

2 borrowers compared to previous origination 

3 years or book years; and 

4 ‘‘(2) an assessment of how the changes in the 

5 guarantee fees described in paragraph (1) met the 

6 requirements of subsection (b). 

7 ‘‘(e) ENFORCEMENT.— 

8 ‘‘(1) REQUIRED ADJUSTMENTS.—Based on the 

9 information from subsection (d) and any other infor10 mation the Director deems necessary, the Director 

11 shall require an enterprise to make adjustments in 

12 its guarantee fee in order to be in compliance with 

13 subsection (b). 

14 ‘‘(2) NONCOMPLIANCE PENALTY.—An enter15 prise that has been found to be out of compliance 

16 with subsection (b) for any 2 consecutive years shall 

17 be precluded from providing any guarantee for a pe18 riod, determined by rule of the Director, but in no 

19 case less than 1 year. 

20 ‘‘(3) RULE OF CONSTRUCTION.—Nothing in 

21 this subsection shall be interpreted as preventing the 

22 Director from initiating and implementing an en23 forcement action against an enterprise, at a time the 

24 Director deems necessary, under other existing en25 forcement authority. 


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1 ‘‘(f) AUTHORITY FOR OTHER INCREASES.—Nothing 

2 in this section may be construed to prohibiting, restricting, 

3 or limiting increases, other than pursuant to this section, 

4 in the guarantee fees charged by an enterprise. 

5 ‘‘(g) EXPIRATION.—The provisions of this section 

6 shall expire on October 1, 2021.’’. 

7 Subtitle B—Social Security 

8 Provisions 

9 SEC. 5101. INFORMATION FOR ADMINISTRATION OF SOCIAL 

10 SECURITY PROVISIONS RELATED TO NON11 COVERED EMPLOYMENT. 

12 (a) COLLECTION.—Subsection (d) of section 6047 of 

13 the Internal Revenue Code of 1986 is amended by redesig14 nating paragraph (2) as paragraph (3) and by inserting 

15 after paragraph (1) the following new paragraph: 

16 ‘‘(2) DEFERRED COMPENSATION PLANS OF A

17 STATE.— 

18 ‘‘(A) IN GENERAL.—In the case of any em19 ployer deferred compensation plan (as defined 

20 in section 3405(e)(5)) of a State, a political 

21 subdivision thereof, or any agency or instru22 mentality of any of the foregoing, the Secretary 

23 shall in such forms or regulations require, to 

24 the extent such information is known or should 

25 be known, the identification of any designated 


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1 distribution (as defined in section 3405(e)(1)) if 

2 paid to any participant or beneficiary of such 

3 plan based in whole or in part upon an individ4 ual’s earnings for service in the employ of any 

5 such governmental entity. 

6 ‘‘(B) STATE.—For purposes of subpara7 graph (A), the term ‘State’ includes the District 

8 of Columbia, the Commonwealth or Puerto 

9 Rico, the Virgin Island, Guam, and American 

10 Samoa.’’. 

11 (b) DISCLOSURE.—Paragraph (1) of section 6103(l) 

12 of such Code is amended by striking ‘‘and’’ at the end 

13 of subparagraph (B), by striking the period at the end 

14 of subparagraph (C) and inserting ‘‘; and’’, and by adding 

15 at the end the following: 

16 ‘‘(D) any designated distribution described 

17 in section 6047(d)(2) to the Social Security Ad18 ministration for purposes of its administration 

19 of the Social Security Act.’’. 

20 (c) EFFECTIVE DATES.— 

21 (1) SUBSECTION (a).—The amendments made 

22 by subsection (a) shall apply to distributions made 

23 after December 31, 2012. 


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1 (2) SUBSECTION (b).—The amendment made 

2 by subsection (b) shall apply to disclosures made 

3 after December 31, 2012. 

4 Subtitle C—Child Tax Credit 

5 SEC. 5201. SOCIAL SECURITY NUMBER REQUIRED TO 

6 CLAIM THE REFUNDABLE PORTION OF THE 

7 CHILD TAX CREDIT. 

8 (a) IN GENERAL.—Subsection (d) of section 24 of the 

9 Internal Revenue Code of 1986 is amended by adding at 

10 the end the following new paragraph: 

11 ‘‘(5) IDENTIFICATION REQUIREMENT WITH RE12 SPECT TO TAXPAYER.— 

13 ‘‘(A) IN GENERAL.—Paragraph (1) shall 

14 not apply to any taxpayer for any taxable year 

15 unless the taxpayer includes the taxpayer’s So16 cial Security number on the return of tax for 

17 such taxable year. 

18 ‘‘(B) JOINT RETURNS.—In the case of a 

19 joint return, the requirement of subparagraph 

20 (A) shall be treated as met if the Social Secu21 rity number of either spouse is included on such 

22 return.’’. 

23 (b) OMISSION TREATED AS MATHEMATICAL OR

24 CLERICAL ERROR.—Subparagraph (I) of section 

25 6213(g)(2) of such Code is amended to read as follows: 


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1 ‘‘(I) an omission of a correct Social Secu2 rity number required under section 24(d)(5) 

3 (relating to refundable portion of child tax cred4 it), or a correct TIN under section 24(e) (relat5 ing to child tax credit), to be included on a re6 turn,’’. 

7 (c) CONFORMING AMENDMENT.—Subsection (e) of 

8 section 24 of such Code is amended by inserting ‘‘WITH

9 RESPECT TO QUALIFYING CHILDREN’’ after ‘‘IDENTI10 FICATION REQUIREMENT’’ in the heading thereof. 

11 (d) EFFECTIVE DATE.—The amendments made by 

12 this section shall apply to taxable years beginning after 

13 the date of the enactment of this Act. 

14 Subtitle D—Eliminating Taxpayer 

15 Benefits for Millionaires 

16 SEC. 5301. ENDING UNEMPLOYMENT AND SUPPLEMENTAL 

17 NUTRITION ASSISTANCE PROGRAM BENEFITS 

18 FOR MILLIONAIRES. 

19 (a) ENDING UNEMPLOYMENT BENEFITS FOR MIL20 LIONAIRES.— 

21 (1) IN GENERAL.—Subtitle E of the Internal 

22 Revenue Code of 1986 is amended by adding at the 

23 end the following new chapter: 


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1 ‘‘CHAPTER 56—EXCESS UNEMPLOYMENT 

2 COMPENSATION 

‘‘Sec. 5895. Excess unemployment compensation. 

3 ‘‘SEC. 5895. EXCESS UNEMPLOYMENT COMPENSATION. 

4 ‘‘(a) IMPOSITION OF TAX.—There is hereby imposed 

5 a tax equal to 100 percent of the excess unemployment 

6 compensation received by a taxpayer in any taxable year. 

7 ‘‘(b) EXCESS UNEMPLOYMENT COMPENSATION.— 

8 For purposes of this section, the term ‘excess unemploy9 ment compensation’ means, with respect to any State, the 

10 amount which bears the same ratio (not to exceed 1) to 

11 the amount of unemployment compensation received by 

12 the taxpayer from such State in the taxable year as— 

13 ‘‘(1) the excess of— 

14 ‘‘(A) the taxpayer’s adjusted gross income 

15 for such taxable year, over 

16 ‘‘(B) $750,000 ($1,500,000 in the case of 

17 a joint return), bears to 

18 ‘‘(2) $250,000 ($500,000 in the case of a joint 

19 return). 

20 ‘‘(c) ADDITIONAL DEFINITIONS.—For purposes of 

21 this section— 

22 ‘‘(1) ADJUSTED GROSS INCOME.—The term ‘ad23 justed gross income’ has the meaning given such 

24 term by section 62. 


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1 ‘‘(2) UNEMPLOYMENT COMPENSATION.—The 

2 term ‘unemployment compensation’ has the meaning 

3 given such term by section 85(b). 

4 ‘‘(d) ADMINISTRATIVE PROVISIONS.—For purposes 

5 of the deficiency procedures of subtitle F, any tax imposed 

6 by this section shall be treated as a tax imposed by subtitle 

7 A. 

8 ‘‘(e) TRANSFER OF TAX RECEIPTS.—With respect to 

9 excess unemployment compensation received by any tax10 payer from a State, there is hereby appropriated to the 

11 unemployment fund (as defined in section 3306(f)) of such 

12 State, an amount equal to the amount of the tax imposed 

13 under subsection (a) on such excess unemployment com14 pensation received in the Treasury.’’. 

15 (2) TAX NOT DEDUCTIBLE.—Section 275(a) of 

16 the Internal Revenue Code of 1986 is amended by 

17 inserting after paragraph (6) the following new 

18 paragraph: 

19 ‘‘(7) Tax imposed by section 5895.’’. 

20 (3) CLERICAL AMENDMENT.—The table of 

21 chapters for subtitle E of the Internal Revenue Code 

22 of 1986 is amended by adding at the end the fol23 lowing new item: 

‘‘CHAPTER 56—EXCESS UNEMPLOYMENT COMPENSATION’’. 

24 (4) EFFECTIVE DATE.—The amendments made 

25 by this subsection shall apply to unemployment comVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00344 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 pensation received in taxable years beginning after 

2 December 31, 2011. 

3 (b) ENDING SUPPLEMENTAL NUTRITION ASSIST4 ANCE PROGRAM BENEFITS FOR MILLIONAIRES.— 

5 (1) IN GENERAL.—Section 6 of the Food and 

6 Nutrition Act of 2008 (7 U.S.C. 2015) is amended 

7 by adding at the end the following: 

8 ‘‘(r) DISQUALIFICATION FOR RECEIPT OF ASSETS OF

9 AT LEAST $1,000,000.—Any household in which a mem10 ber receives income or assets with a fair market value of 

11 at least $1,000,000 shall, immediately on the receipt of 

12 the assets, become ineligible for further participation in 

13 the program until the date on which the household meets 

14 the income eligibility and allowable financial resources 

15 standards under section 5.’’. 

16 (2) CONFORMING AMENDMENTS.—Section 5(a) 

17 of the Food and Nutrition Act of 2008 (7 U.S.C. 

18 2014(a)) is amended in the second sentence by strik19 ing ‘‘sections 6(b), 6(d)(2), and 6(g)’’ and inserting 

20 ‘‘subsections (b), (d)(2), (g), and (r) of section 6’’. 


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1 Subtitle E—Federal Civilian 

2 Employees 

3 PART 1—RETIREMENT ANNUITIES 

4 SEC. 5401. SHORT TITLE. 

5 This part may be cited as the ‘‘Securing Annuities 

6 for Federal Employees Act of 2011’’. 

7 SEC. 5402. RETIREMENT CONTRIBUTIONS. 

8 (a) CIVIL SERVICE RETIREMENT SYSTEM.— 

9 (1) INDIVIDUAL CONTRIBUTIONS.—Section 

10 8334(a)(1)(A) of title 5, United States Code, is 

11 amended— 

12 (A) by striking ‘‘(a)(1)(A) The’’ and in13 serting ‘‘(a)(1)(A)(i) Except as provided in 

14 clause (ii), the’’; and 

15 (B) by adding at the end the following: 

16 ‘‘(ii) The percentage of basic pay to be deducted and 

17 withheld under clause (i) shall— 

18 ‘‘(I) for each of calendar years 2013, 2014, and 

19 2015, be equal to the percentage that applied in the 

20 preceding calendar year (as increased under this 

21 subclause, if applicable), plus an additional 0.5 per22 centage point; and 

23 ‘‘(II) for each calendar year after 2015, be 

24 equal to the applicable percentage for calendar year 

25 2015 (as determined under subclause (I)).’’. 


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1 (2) GOVERNMENT CONTRIBUTIONS.—Section 

2 8334(a)(1)(B) of title 5, United States Code, is 

3 amended— 

4 (A) in clause (i), by striking ‘‘Except as 

5 provided in clause (ii),’’ and inserting ‘‘Except 

6 as provided in clause (ii) or (iii),’’; and 

7 (B) by adding at the end the following: 

8 ‘‘(iii) The amount to be contributed under clause (i) 

9 shall, with respect to a period in any calendar year speci10 fied in subparagraph (A)(ii), be equal to— 

11 ‘‘(I) the amount that would otherwise apply 

12 under clause (i), reduced by 

13 ‘‘(II) the amount by which the withholding 

14 under subparagraph (A) exceeds the amount which 

15 would (but for clause (ii) of such subparagraph) oth16 erwise have been withheld under such subparagraph 

17 from the basic pay of the employee or elected official 

18 involved with respect to such period.’’. 

19 (3) OFFSET RULE.—Section 8334(k) of title 5, 

20 United States Code, is amended by adding at the 

21 end the following: 

22 ‘‘(5) This subsection shall be applied in a manner 

23 consistent with subsections (a)(1)(A)(ii) and (a)(1)(B)(iii) 

24 of section 8334.’’. 


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1 (b) FEDERAL EMPLOYEES’ RETIREMENT SYSTEM.— 

2 Section 8422(a) of title 5, United States Code, is amend3 ed— 

4 (1) in paragraph (1), by striking ‘‘paragraph 

5 (2).’’ and inserting ‘‘this subsection.’’; and 

6 (2) by adding at the end the following: 

7 ‘‘(4) Notwithstanding any other provision of this sub8 section, the percentage to be deducted and withheld under 

9 this subsection shall— 

10 ‘‘(A) for each of calendar years 2013, 2014, 

11 and 2015, be equal to the percentage that applied in 

12 the preceding calendar year under this subsection 

13 (including this subparagraph, if applicable), plus an 

14 additional 0.5 percentage point; and 

15 ‘‘(B) for each calendar year after 2015, be 

16 equal to the applicable percentage for calendar year 

17 2015 (as determined under subparagraph (A)).’’. 

18 (c) FOREIGN SERVICE.—For provisions of law requir19 ing maintenance of existing conformity— 

20 (1) between the Civil Service Retirement Sys21 tem and the Foreign Service Retirement System, 

22 and 

23 (2) between the Federal Employees’ Retirement 

24 System and the Foreign Service Pension System, 


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1 see section 827 of the Foreign Service Act of 1980 (22 

2 U.S.C. 4067). 

3 (d) CIARDS.— 

4 (1) COMPATIBILITY WITH CSRS.—In order to 

5 carry out the purposes of this section with respect 

6 to the Central Intelligence Agency Retirement and 

7 Disability System, the authority under section 292 

8 of the Central Intelligence Agency Retirement Act 

9 (50 U.S.C. 2141) shall be applied. 

10 (2) APPLICABILITY OF FERS.—For provisions 

11 of law providing for the application of the Federal 

12 Employees’ Retirement System with respect to em13 ployees of the Central Intelligence Agency, see title 

14 III of the Central Intelligence Agency Retirement 

15 Act (50 U.S.C. 2151 and following). 

16 (e) TVA.—Section 3 of the Tennessee Valley Author17 ity Act of 1933 (16 U.S.C. 831b) is amended by adding 

18 at the end the following: 

19 ‘‘(c) The chief executive officer shall prescribe any 

20 regulations which may be necessary in order to carry out 

21 the purposes of the Securing Annuities for Federal Em22 ployees Act of 2011 with respect to any defined benefit 

23 plan covering employees of the Tennessee Valley Author24 ity.’’. 


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1 SEC. 5403. AMENDMENTS RELATING TO SECURE ANNUITY 

2 EMPLOYEES. 

3 (a) DEFINITION OF SECURE ANNUITY EMPLOYEE.— 

4 Section 8401 of title 5, United States Code, is amended— 

5 (1) in paragraph (35), by striking ‘‘and’’ at the 

6 end; 

7 (2) in paragraph (36), by striking the period 

8 and inserting ‘‘; and’’; and 

9 (3) by adding at the end the following: 

10 ‘‘(37) the term ‘secure annuity employee’ means 

11 an employee or Member who— 

12 ‘‘(A) first becomes subject to this chapter 

13 after December 31, 2012; and 

14 ‘‘(B) at the time of first becoming subject 

15 to this chapter, does not have at least 5 years 

16 of civilian service creditable under the Civil 

17 Service Retirement System or any other retire18 ment system for Government employees.’’. 

19 (b) INDIVIDUAL CONTRIBUTIONS.—Section 8422(a) 

20 of title 5, United States Code (as amended by section 

21 2(b)) is further amended— 

22 (1) in paragraph (4) (as added by section 2(b)), 

23 in the matter before subparagraph (A), by inserting 

24 ‘‘and except in the case of a secure annuity em25 ployee,’’ after ‘‘this subsection’’; and 


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1 (2) by adding after paragraph (4) (as so added) 

2 the following: 

3 ‘‘(5) Notwithstanding any other provision of this sub4 section, in the case of a secure annuity employee, the per5 centage to be deducted and withheld shall be computed 

6 under paragraphs (1) through (3), except that the applica7 ble percentage under paragraph (3) for civilian service 

8 shall— 

9 ‘‘(A) in the case of a secure annuity employee 

10 who is an employee, be equal to 10.2 percent; and 

11 ‘‘(B) in the case of a secure annuity employee 

12 who is not subject to subparagraph (A), 10.7 per13 cent.’’. 

14 (c) AVERAGE PAY.—Section 8401(3) of title 5, 

15 United States Code, is amended— 

16 (1) by striking ‘‘(3)’’ and inserting ‘‘(3)(A)’’; 

17 and 

18 (2) by adding ‘‘except that’’ after the semicolon; 

19 and 

20 (3) by adding at the end the following: 

21 ‘‘(B) in the case of a secure annuity employee, 

22 the term ‘average pay’ has the meaning determined 

23 applying subparagraph (A)— 

24 ‘‘(i) by substituting ‘5 consecutive years’ 

25 for ‘3 consecutive years’; and 


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1 ‘‘(ii) by substituting ‘5 years’ for ‘3 

2 years’.’’. 

3 (d) COMPUTATION OF BASIC ANNUITY.—Section 

4 8415 of title 5, United States Code, is amended— 

5 (1) by striking subsections (a) through (e) and 

6 inserting the following: 

7 ‘‘(a) Except as otherwise provided in this section, the 

8 annuity of an employee retiring under this subchapter is— 

9 ‘‘(1) except as provided under paragraph (2), 1 

10 percent of that individual’s average pay multiplied 

11 by such individual’s total service; or 

12 ‘‘(2) in the case of a secure annuity employee, 

13 0.7 percent of that individual’s average pay multi14 plied by such individual’s total service. 

15 ‘‘(b) The annuity of a Member, or former Member 

16 with title to a Member annuity, retiring under this sub17 chapter is computed under subsection (a), except that if 

18 the individual has had at least 5 years of service as a 

19 Member or Congressional employee, or any combination 

20 thereof, so much of the annuity as is computed with re21 spect to either such type of service (or a combination 

22 thereof), not exceeding a total of 20 years, shall be com23 puted— 


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1 ‘‘(1) except as provided under paragraph (2), 

2 by multiplying 1.7 percent of the individual’s aver3 age pay by the years of such service; or 

4 ‘‘(2) in the case of an individual who is a secure 

5 annuity employee, by multiplying 1.4 percent of the 

6 individual’s average pay by the years of such service. 

7 ‘‘(c) The annuity of a Congressional employee, or 

8 former Congressional employee, retiring under this sub9 chapter is computed under subsection (a), except that if 

10 the individual has had at least 5 years of service as a Con11 gressional employee or Member, or any combination there12 of, so much of the annuity as is computed with respect 

13 to either such type of service (or a combination thereof), 

14 not exceeding a total of 20 years, shall be computed— 

15 ‘‘(1) except as provided under paragraph (2), 

16 by multiplying 1.7 percent of the individual’s aver17 age pay by the years of such service; or 

18 ‘‘(2) in the case of an individual who is a secure 

19 annuity employee, by multiplying 1.4 percent of the 

20 individual’s average pay by the years of such service. 

21 ‘‘(d) The annuity of an employee retiring under sub22 section (d) or (e) of section 8412 or under subsection (a), 

23 (b), or (c) of section 8425 is— 

24 ‘‘(1) except as provided under paragraph (2)— 


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1 ‘‘(A) 1.7 percent of that individual’s aver2 age pay multiplied by so much of such individ3 ual’s total service as does not exceed 20 years; 

4 plus 

5 ‘‘(B) 1 percent of that individual’s average 

6 pay multiplied by so much of such individual’s 

7 total service as exceeds 20 years; or 

8 ‘‘(2) in the case of an individual who is a secure 

9 annuity employee— 

10 ‘‘(A) 1.4 percent of that individual’s aver11 age pay multiplied by so much of such individ12 ual’s total service as does not exceed 20 years; 

13 plus 

14 ‘‘(B) 0.7 percent of that individual’s aver15 age pay multiplied by so much of such individ16 ual’s total service as exceeds 20 years. 

17 ‘‘(e) The annuity of an air traffic controller or former 

18 air traffic controller retiring under section 8412(a) is com19 puted under subsection (a), except that if the individual 

20 has had at least 5 years of service as an air traffic con21 troller as defined by section 2109(1)(A)(i), so much of the 

22 annuity as is computed with respect to such type of service 

23 shall be computed— 


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1 ‘‘(1) except as provided under paragraph (2), 

2 by multiplying 1.7 percent of the individual’s aver3 age pay by the years of such service; or 

4 ‘‘(2) in the case of an individual who is a secure 

5 annuity employee, by multiplying 1.4 percent of the 

6 individual’s average pay by the years of such serv7 ice.’’; and 

8 (2) in subsection (h)— 

9 (A) in paragraph (1), by striking ‘‘sub10 section (a)’’ and inserting ‘‘subsection (a)(1)’’; 

11 and 

12 (B) in paragraph (2), in the matter fol13 lowing subparagraph (B), by striking ‘‘or cus14 toms and border protection officer’’ and insert15 ing ‘‘customs and border protection officer, or 

16 secure annuity employee.’’. 

17 SEC. 5404. ANNUITY SUPPLEMENT. 

18 Section 8421(a) of title 5, United States Code, is 

19 amended— 

20 (1) in paragraph (1), by striking ‘‘paragraph 

21 (3)’’ and inserting ‘‘paragraphs (3) and (4)’’; 

22 (2) in paragraph (2), by striking ‘‘paragraph 

23 (3)’’ and inserting ‘‘paragraphs (3) and (4)’’; and 

24 (3) by adding at the end the following: 


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1 ‘‘(4)(A) Except as provided in subparagraph (B), no 

2 annuity supplement under this section shall be payable in 

3 the case of an individual whose entitlement to annuity is 

4 based on such individual’s separation from service after 

5 December 31, 2012. 

6 ‘‘(B) Nothing in this paragraph applies in the case 

7 of an individual separating under subsection (d) or (e) of 

8 section 8412.’’. 

9 PART 2—FEDERAL WORKFORCE 

10 SEC. 5421. EXTENSION OF PAY LIMITATION FOR FEDERAL 

11 EMPLOYEES. 

12 (a) IN GENERAL.—Section 147 of the Continuing 

13 Appropriations Act, 2011 (Public Law 111–242), as 

14 amended by section 1(a) of the Continuing Appropriations 

15 and Surface Transportation Extensions Act, 2011 (Public 

16 Law 111–322; 124 Stat. 3518), is further amended— 

17 (1) in subsection (b)(1), by striking ‘‘December 

18 31, 2012’’ and inserting ‘‘December 31, 2013’’; and 

19 (2) in subsection (c), by striking ‘‘December 31, 

20 2012’’ and inserting ‘‘December 31, 2013’’. 

21 (b) APPLICATION TO LEGISLATIVE BRANCH.— 

22 (1) MEMBERS OF CONGRESS.—The extension of 

23 the pay limit for Federal employees through Decem24 ber 31, 2013, as established pursuant to the amend25 ments made by subsection (a), shall apply to MemVerDate Mar 15 2010 22:55 Dec 14, 2011 Jkt 019200 PO 00000 Frm 00356 Fmt 6652 Sfmt 6201 E:\BILLS\H3630.PCS H3630

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1 bers of Congress in accordance with section 601(a) 

2 of the Legislative Reorganization Act of 1946 (2 

3 U.S.C. 31). 

4 (2) OTHER LEGISLATIVE BRANCH EMPLOY5 EES.— 

6 (A) LIMIT IN PAY.—Notwithstanding any 

7 other provision of law, no cost of living adjust8 ment required by statute with respect to a legis9 lative branch employee which (but for this sub10 paragraph) would otherwise take effect during 

11 the period beginning on the date of enactment 

12 of this Act and ending on December 31, 2013, 

13 shall be made. 

14 (B) DEFINITION.—In this paragraph, the 

15 term ‘‘legislative branch employee’’ means— 

16 (i) an employee of the Federal Gov17 ernment whose pay is disbursed by the 

18 Secretary of the Senate or the Chief Ad19 ministrative Officer of the House of Rep20 resentatives; and 

21 (ii) an employee of any office of the 

22 legislative branch who is not described in 

23 clause (i). 


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1 SEC. 5422. REDUCTION OF DISCRETIONARY SPENDING LIM2 ITS TO ACHIEVE SAVINGS FROM FEDERAL 

3 EMPLOYEE PROVISIONS. 

4 Section 251(c) of the Balanced Budget and Emer5 gency Deficit Control Act of 1985 is amended to read as 

6 follows: 

7 ‘‘(c) DISCRETIONARY SPENDING LIMIT.—As used in 

8 this part, the term ‘discretionary spending limit’ means— 

9 ‘‘(1) with respect to fiscal year 2013— 

10 ‘‘(A) for the security category, 

11 $685,000,000,000 in new budget authority; and 

12 ‘‘(B) for the nonsecurity category, 

13 $359,000,000,000 in new budget authority; 

14 ‘‘(2) with respect to fiscal year 2014, for the 

15 discretionary category, $1,063,000,000,000 in new 

16 budget authority; 

17 ‘‘(3) with respect to fiscal year 2015, for the 

18 discretionary category, $1,083,000,000,000 in new 

19 budget authority; 

20 ‘‘(4) with respect to fiscal year 2016, for the 

21 discretionary category, $1,104,000,000,000 in new 

22 budget authority; 

23 ‘‘(5) with respect to fiscal year 2017, for the 

24 discretionary category, $1,128,000,000,000 in new 

25 budget authority; 


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1 ‘‘(6) with respect to fiscal year 2018, for the 

2 discretionary category, $1,153,000,000,000 in new 

3 budget authority; 

4 ‘‘(7) with respect to fiscal year 2019, for the 

5 discretionary category, $1,178,000,000,000 in new 

6 budget authority; 

7 ‘‘(8) with respect to fiscal year 2020, for the 

8 discretionary category, $1,204,000,000,000 in new 

9 budget authority; and 

10 ‘‘(9) with respect to fiscal year 2021, for the 

11 discretionary category, $1,230,000,000,000 in new 

12 budget authority; 

13 as adjusted in strict conformance with subsection (b).’’. 

14 SEC. 5423. REDUCTION OF REVISED DISCRETIONARY 

15 SPENDING LIMITS TO ACHIEVE SAVINGS 

16 FROM FEDERAL EMPLOYEE PROVISIONS. 

17 Paragraph (2) of section 251A of the Balanced Budg18 et and Emergency Deficit Control Act of 1985 is amended 

19 to read as follows: 

20 ‘‘(2) REVISED DISCRETIONARY SPENDING LIM21 ITS.—The discretionary spending limits for fiscal 

22 years 2013 through 2021 under section 251(c) shall 

23 be replaced with the following: 

24 ‘‘(A) For fiscal year 2013— 


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1 ‘‘(i) for the security category, 

2 $546,000,000,000 in budget authority; and 

3 ‘‘(ii) for the nonsecurity category, 

4 $499,000,000,000 in budget authority. 

5 ‘‘(B) For fiscal year 2014— 

6 ‘‘(i) for the security category, 

7 $556,000,000,000 in budget authority; and 

8 ‘‘(ii) for the nonsecurity category, 

9 $507,000,000,000 in budget authority. 

10 ‘‘(C) For fiscal year 2015— 

11 ‘‘(i) for the security category, 

12 $566,000,000,000 in budget authority; and 

13 ‘‘(ii) for the nonsecurity category, 

14 $517,000,000,000 in budget authority. 

15 ‘‘(D) For fiscal year 2016— 

16 ‘‘(i) for the security category, 

17 $577,000,000,000 in budget authority; and 

18 ‘‘(ii) for the nonsecurity category, 

19 $527,000,000,000 in budget authority. 

20 ‘‘(E) For fiscal year 2017— 

21 ‘‘(i) for the security category, 

22 $590,000,000,000 in budget authority; and 

23 ‘‘(ii) for the nonsecurity category, 

24 $538,000,000,000 in budget authority. 

25 ‘‘(F) For fiscal year 2018— 


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1 ‘‘(i) for the security category, 

2 $603,000,000,000 in budget authority; and 

3 ‘‘(ii) for the nonsecurity category, 

4 $550,000,000,000 in budget authority. 

5 ‘‘(G) For fiscal year 2019— 

6 ‘‘(i) for the security category, 

7 $616,000,000,000 in budget authority; and 

8 ‘‘(ii) for the nonsecurity category, 

9 $562,000,000,000 in budget authority. 

10 ‘‘(H) For fiscal year 2020— 

11 ‘‘(i) for the security category, 

12 $630,000,000,000 in budget authority; and 

13 ‘‘(ii) for the nonsecurity category, 

14 $574,000,000,000 in budget authority. 

15 ‘‘(I) For fiscal year 2021— 

16 ‘‘(i) for the security category, 

17 $644,000,000,000 in budget authority; and 

18 ‘‘(ii) for the nonsecurity category, 

19 $586,000,000,000 in budget authority.’’. 


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1 Subtitle F—Health Care Provisions 

2 SEC. 5501. INCREASE IN APPLICABLE PERCENTAGE USED 

3 TO CALCULATE MEDICARE PART B AND PART 

4 D PREMIUMS FOR HIGH-INCOME BENE5 FICIARIES. 

6 (a) IN GENERAL.—Section 1839(i)(3)(C)(i) of the 

7 Social Security Act (42 U.S.C. 1395r(i)(3)(C)(i)) is 

8 amended— 

9 (1) by striking ‘‘IN GENERAL.—’’ and inserting 

10 ‘‘IN GENERAL.—(I) For calendar years prior to 

11 2017:’’; and 

12 (2) by adding at the end the following new sub13 clause: 

14 ‘‘(II) For calendar year 2017 and 

15 each subsequent calendar year: 

‘‘If the modified adjusted gross is: The applicable percentage 

is: 

More than $80,000 but not more than 

$100,000.

40.25 percent 

More than $100,000 but not more than 

$150,000.

57.5 percent 

More than $150,000 but not more than 

$200,000.

74.75 percent 

More than $200,000 ................................... 90 percent.’’. 

16 (b) CONFORMING AMENDMENT.—Section 

17 1839(i)(3)(A)(i) of the Social Security Act (42 U.S.C. 

18 1395r(i)(3)(A)(i)) is amended, by inserting ‘‘and year’’ 

19 after ‘‘individual’’. 


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1 SEC. 5502. TEMPORARY ADJUSTMENT TO THE CALCULA2 TION OF MEDICARE PART B AND PART D PRE3 MIUMS. 

4 (a) IN GENERAL.—Section 1839(i)(6) of the Social 

5 Security Act (42 U.S.C. 1395r(i)(6)) is amended in the 

6 matter preceding subparagraph (A) by striking ‘‘Decem7 ber 31, 2019’’ and inserting ‘‘December 31 of the first 

8 year after the year in which at least 25 percent of individ9 uals enrolled under this part are subject to a reduction 

10 under this subsection to the monthly amount of the pre11 mium subsidy applicable to the premium under this sec12 tion.’’. 

13 (b) APPLICATION OF INFLATION ADJUSTMENT.— 

14 Section 1839(i)(5) of the Social Security Act (42 U.S.C. 

15 1395r(i)(5)) is amended— 

16 (1) in subparagraph (A), by striking ‘‘In the 

17 case’’ and inserting ‘‘Subject to subparagraph (C), 

18 in the case’’; and 

19 (2) by adding at the end the following new sub20 paragraph: 

21 ‘‘(C) TREATMENT OF YEARS AFTER TEM22 PORARY ADJUSTMENT PERIOD.—In applying 

23 subparagraph (A) for the first year beginning 

24 after the period described in paragraph (6) and 

25 for each subsequent year, the 12-month period 

26 ending with August 2006 described in clause 


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1 (ii) of such subparagraph shall be deemed to be 

2 the 12-month period ending with August of the 

3 last year of such period described in paragraph 

4 (6).’’. 

5 TITLE VI—MISCELLANEOUS 

6 PROVISIONS 

7 SEC. 6001. REPEAL OF CERTAIN SHIFTS IN THE TIMING OF 

8 CORPORATE ESTIMATED TAX PAYMENTS. 

9 The following provisions of law (and any modification 

10 of any such provision which is contained in any other pro11 vision of law) shall not apply with respect to any install12 ment of corporate estimated tax: 

13 (1) Section 201(b) of the Corporate Estimated 

14 Tax Shift Act of 2009. 

15 (2) Section 561 of the Hiring Incentives to Re16 store Employment Act. 

17 (3) Section 505 of the United States-Korea 

18 Free Trade Agreement Implementation Act. 

19 (4) Section 603 of the United States-Colombia 

20 Trade Promotion Agreement Implementation Act. 

21 (5) Section 502 of the United State-Panama 

22 Trade Promotion Agreement Implementation Act. 


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1 SEC. 6002. REPEAL OF REQUIREMENT RELATING TO TIME 

2 FOR REMITTING CERTAIN MERCHANDISE 

3 PROCESSING FEES. 

4 (a) REPEAL.—The Trade Adjustment Assistance Ex5 tension Act of 2011 (title II of Public Law 112–40; 125 

6 Stat. 402) is amended by striking section 263. 

7 (b) CLERICAL AMENDMENT.—The table of contents 

8 for such Act is amended by striking the item relating to 

9 section 263. 

10 SEC. 6003. POINTS OF ORDER IN THE SENATE. 

11 (a) POINT OF ORDER TO PROTECT THE SOCIAL SE12 CURITY TRUST FUND.— 

13 (1) Notwithstanding any other provision of law, 

14 it shall not be in order in the Senate to consider any 

15 measure that extends the dates referenced in section 

16 601(c) of the Tax Relief, Unemployment Insurance 

17 Reauthorization, and Job Creation Act of 2010 (26 

18 U.S.C. 1401 note). 

19 (2) The provisions of this subsection may be 

20 waived in the Senate only by the affirmative vote of 

21 two-thirds of the Members, duly chosen and sworn. 

22 (b) POINT OF ORDER AGAINST AN EMERGENCY DES23 IGNATION.—Section 314 of the Congressional Budget Act 

24 of 1974 is amended by— 

25 (1) redesignating subsection (e) as subsection 

26 (f); and 


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1 (2) inserting after subsection (d) the following: 

2 ‘‘(e) SENATE POINT OF ORDER AGAINST AN EMER3 GENCY DESIGNATION.— 

4 ‘‘(1) IN GENERAL.—When the Senate is consid5 ering a bill, resolution, amendment, motion, amend6 ment between the Houses, or conference report, if a 

7 point of order is made by a Senator against an 

8 emergency designation in that measure, that provi9 sion making such a designation shall be stricken 

10 from the measure and may not be offered as an 

11 amendment from the floor. 

12 ‘‘(2) SUPERMAJORITY WAIVER AND APPEALS.— 

13 ‘‘(A) WAIVER.—Paragraph (1) may be 

14 waived or suspended in the Senate only by an 

15 affirmative vote of three-fifths of the Members, 

16 duly chosen and sworn. 

17 ‘‘(B) APPEALS.—Appeals in the Senate 

18 from the decisions of the Chair relating to any 

19 provision of this subsection shall be limited to 

20 1 hour, to be equally divided between, and con21 trolled by, the appellant and the manager of the 

22 bill or joint resolution, as the case may be. An 

23 affirmative vote of three-fifths of the Members 

24 of the Senate, duly chosen and sworn, shall be 

25 required to sustain an appeal of the ruling of 


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1 the Chair on a point of order raised under this 

2 subsection. 

3 ‘‘(3) DEFINITION OF AN EMERGENCY DESIGNA4 TION.—For purposes of paragraph (1), a provision 

5 shall be considered an emergency designation if it 

6 designates any item pursuant to section 

7 251(b)(2)(A)(i) of the Balanced Budget and Emer8 gency Deficit Control Act of 1985. 

9 ‘‘(4) FORM OF THE POINT OF ORDER.—A point 

10 of order under paragraph (1) may be raised by a 

11 Senator as provided in section 313(e) of the Con12 gressional Budget Act of 1974. 

13 ‘‘(5) CONFERENCE REPORTS.—When the Sen14 ate is considering a conference report on, or an 

15 amendment between the Houses in relation to, a bill, 

16 upon a point of order being made by any Senator 

17 pursuant to this section, and such point of order 

18 being sustained, such material contained in such 

19 conference report shall be deemed stricken, and the 

20 Senate shall proceed to consider the question of 

21 whether the Senate shall recede from its amendment 

22 and concur with a further amendment, or concur in 

23 the House amendment with a further amendment, 

24 as the case may be, which further amendment shall 

25 consist of only that portion of the conference report 


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1 or House amendment, as the case may be, not so 

2 stricken. Any such motion in the Senate shall be de3 batable. In any case in which such point of order is 

4 sustained against a conference report (or Senate 

5 amendment derived from such conference report by 

6 operation of this subsection), no further amendment 

7 shall be in order.’’. 

8 SEC. 6004. PAYGO SCORECARD ESTIMATES. 

9 (a) BUDGETARY EFFECTS.—Neither scorecard main10 tained by the Office of Management and Budget pursuant 

11 to section 4(d) of the Statutory Pay-As-You-Go Act of 

12 2010 (2 U.S.C. 933) shall include the budgetary effects 

13 of this Act if such budgetary effects do not increase the 

14 deficit for the period of fiscal years 2012 through 2021 

15 as determined by the estimate submitted for printing in 

16 the Congressional Record pursuant to section 4(d) of such 

17 Act. 

18 (b) DEFICIT.—The increase or decrease in the deficit 

19 in the estimate submitted for printing referred to in sub20 section (a) shall be determined on the basis of— 

21 (1) the change in total outlays and total rev22 enue of the Federal Government, including off-budg23 et effects, that would result from this Act; 

24 (2) the estimate of the effects of the changes to 

25 the discretionary spending limits set forth in section 


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1 251 of the Balanced Budget and Emergency Deficit 

2 Control Act of 1985 in this Act; and 

3 (3) the estimate of the change in net income to 

4 the National Flood Insurance Program by this Act. 

Passed the House of Representatives December 13, 

2011. 

Attest: KAREN L. HAAS, 

Clerk. 


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Calendar No. 257 

112TH CONGRESS 

1ST SESSION H. R. 3630 

AN ACT 

To provide incentives for the creation of jobs, and 

D

for other purposes. 

ECEMBER 14, 2011 

Received; read the second time and placed on the 

calendar 


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