I

104TH CONGRESS

2D SESSION H. R. 3479

To carry out a comprehensive program dealing with alcohol and alcohol

abuse.

IN THE HOUSE OF REPRESENTATIVES

MAY 16, 1996

Mr. KENNEDY of Massachusetts (for himself, Mr. HINCHEY, Mr.

FALEOMAVAEGA, and Mr. FATTAH) introduced the following bill; which

was referred to the Committee on Commerce, and in addition to the Committees on Ways and Means, Economic and Educational Opportunities,

and Agriculture, for a period to be subsequently determined by the

Speaker, in each case for consideration of such provisions as fall within

the jurisdiction of the committee concerned

A BILL

To carry out a comprehensive program dealing with alcohol

and alcohol abuse.

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Comprehensive Alcohol

5 Abuse Prevention Act of 1996’’.
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1 TITLE I—HIGHER EDUCATION

2 AND ALCOHOL ABUSE PRE3 VENTION

4 SEC. 101. SHORT TITLE.

5 This title may be cited as the ‘‘College Campus Alco6 hol Abuse Prevention and Education Act’’.

7 SEC. 102. HIGHER EDUCATION AND DRUG AND ALCOHOL

8 ABUSE PREVENTION.

9 (a) SPECIFIC PROGRAMS.—Section 1213 of the High10 er Education Act of 1965 (20 U.S.C. 1145g) is amend11 ed—

12 (1) in subsection (a), by striking ‘‘and’’ at the

13 end of paragraph (1)(D), by redesignating para14 graph (1)(E) as paragraph (1)(I), and by inserting

15 after paragraph (1)(D) the following:

16 ‘‘(E) a prohibition on the distribution of

17 any promotional material that encourages the

18 consumption of alcoholic beverages on campus;

19 ‘‘(F) a prohibition of the distribution of

20 free alcoholic beverages for promotional pur21 poses on the campus;

22 ‘‘(G) a prohibition on sponsorship or public

23 support of any on-campus athletic, musical, cul24 tural, or social program, event, or competition
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1 by any alcoholic beverage company or by any

2 group of such companies;

3 ‘‘(H) limiting alcoholic beverage advertise4 ments in the institution of higher education’s

5 newspapers and other publications to price and

6 product identification; and’’;

7 (2) in subsection (a), by inserting after and

8 below paragraph (2)(B) the following: ‘‘Identifica9 tion, referral, or treatment of students and employ10 ees shall not jeopardize the matriculation status of

11 the students or the employment of the employees.’’;

12 and

13 (3) in subsection (c)(2), by striking ‘‘(a)(1)(E)’’

14 and inserting ‘‘(a)(1)(I)’’.

15 (b) STUDENT AND EMPLOYEE INVOLVEMENT.—Sec16 tion 1213(b) of the Higher Education Act of 1965 (20

17 U.S.C. 1145g(b) is amended by adding at the end the fol18 lowing: ‘‘Such items shall be developed and adopted with

19 student and employee participation.’’.

20 (c) WAIVER OF SANCTIONS.—Section 1213(c) of the

21 Higher Education Act of 1965 (20 U.S.C. 1145g(c) is

22 amended by adding at the end the following:

23 ‘‘(3) Upon application by an institution of higher edu24 cation, the Secretary shall grant a waiver of sanctions au25 thorized by subsection (a)(1)(I) to any institution of high-
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1 er education which demonstrates that it is in the process

2 of developing and implementing a plan required by sub3 section (a) for up to one year from the date of the enact4 ment of this paragraph.’’.

5 SEC. 103. GRANTS AND CONTRACTS.

6 (a) GRANT AND CONTRACT AUTHORITY.—Section

7 1213 of the Higher Education Act of 1965 (2) U.S.C.

8 1145g) is amended by adding at the end the following:

9 ‘‘(e)(1) The Secretary may make grants to institu10 tions of higher education or consortia of such institutions

11 and contracts with such institutions and other organiza12 tions to develop, implement, operate, improve, and dis13 seminate programs of prevention, and education (includ14 ing treatment-referral) to reduce and eliminate the illegal

15 use of drugs and alcohol and their associated violence.

16 Such contracts may also be used for the support of a high17 er education center for alcohol and drug abuse prevention

18 which will provide training, technical assistance, evalua19 tion, dissemination and associated services and assistance

20 to the higher education community as defined by the Sec21 retary and the institutions of higher education.

22 ‘‘(2) Grants and contracts shall be made available

23 under paragraph (1) on a competitive basis. An institution

24 of higher education, a consortium of such institutions, or

25 other organizations which desire to receive a grant or con-
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1 tract under paragraph (1) shall submit an application to

2 the Secretary at such time, in such manner, and contain3 ing or accompanied by such information as the Secretary

4 may reasonably require by regulation.

5 ‘‘(3) The Secretary shall make every effort to en6 sure—

7 ‘‘(A) the equitable participation of private and

8 public institutions of higher education (including

9 community and junior colleges), and

10 ‘‘(B) the equitable geographic participation of

11 such institutions,

12 in grants and contracts under paragraph (1). In the award

13 of such grants and contracts, the Secretary shall give ap14 propriate consideration to institutions of higher education

15 with limited enrollment.’’.

16 (b) REPEAL.—Section 4122 of the Elementary and

17 Secondary Education Act of 1965 (20 U.S.C. 7132) is re18 pealed.

19 SEC. 104. NATIONAL RECOGNITION AWARDS.

20 (a) AWARDS.—For the purpose of providing models

21 of alcohol and drug abuse prevention and education (in22 cluding treatment-referral) programs in higher education

23 and to focus national attention on exemplary alcohol and

24 drug abuse prevention efforts, the Secretary of Education

25 shall, on an annual basis, make 10 National Recognition
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1 Awards to institutions of higher education that have devel2 oped and implemented effective alcohol and drug abuse

3 prevention and education programs. Such awards shall be

4 made at a ceremony in Washington, D.C. and a document

5 describing the programs of those who receive the awards

6 shall be distributed nationally.

7 (b) APPLICATION.—

8 (1) IN GENERAL.—A national recognition

9 award shall be made under subsection (a) to institu10 tions of higher education which have applied for

11 such award. Such an application shall contain—

12 (A) a clear description of the goals and ob13 jectives of the alcohol and drug abuse programs

14 of the institution applying,

15 (B) a description of program activities that

16 focus on alcohol and other drug policy issues,

17 policy development, modification, or refinement,

18 policy dissemination and implementation, and

19 policy enforcement;

20 (C) a description of activities that encour21 age student and employee participation and in22 volvement in both activity development and im23 plementation;

24 (D) the objective criteria used to determine

25 the effectiveness of the methods used in such
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1 programs and the means used to evaluate and

2 improve the program efforts,

3 (E) a description of special initiatives used

4 to reduce high-risk behavior or increase low risk

5 behavior, or both, and

6 (F) a description of coordination and

7 networking efforts that exist in the community

8 in which the institution is located for purposes

9 of such programs.

10 (2) ELIGIBILITY CRITERIA.—All institutions of

11 higher education which are two- and four-year col12 leges and universities that have established a drug

13 and alcohol prevention and education program are

14 eligible to apply for a National Recognition Award.

15 To receive such an Award an institution of higher

16 education must be nominated to receive it. An insti17 tution of higher education may nominate itself or be

18 nominated by others such as professional associa19 tions or student organizations.

20 (3) APPLICATION REVIEW.—The Secretary of

21 Education shall appoint a committee to review appli22 cations submitted under paragraph (1). The commit23 tee may include representatives of Federal depart24 ments or agencies whose programs include alcohol

25 and drug abuse prevention and education efforts, di-
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1 rectors or heads (or their representatives) of profes2 sional associations that focus on prevention efforts,

3 and non-Federal scientists who have backgrounds in

4 social science evaluation and research methodology

5 and in education. Decisions of the committee shall

6 be made directly to the Secretary without review by

7 any other entity in the Department of Education.

8 (4) REVIEW CRITERIA.—Specific review criteria

9 shall be developed by the Secretary in conjunction

10 with the appropriate experts. In reviewing applica11 tions under paragraph (3) the committee shall con12 sider—

13 (A) measures of effectiveness of the pro14 gram of the applicant that should include

15 changes in the campus alcohol and other drug

16 environment or climate and changes in alcohol

17 and other drug use before and after the initi18 ation of the program; and

19 (B) measures of program institutionaliza20 tion, including an assessment of needs of the

21 institution, the institution’s alcohol and drug

22 policies, staff and faculty development activities,

23 drug prevention criteria, student, faculty, and

24 campus community involvement, and a continu-
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1 ation of the program after the cessation of ex2 ternal funding.

3 (c) AUTHORIZATION.—For the implementation of the

4 awards program under this section, there are authorized

5 to be appropriated $25,000 for fiscal year 1996, $66,000

6 for each of the fiscal years 1997 and 1998, and $72,000

7 for each of the fiscal years 1999, 2000, 2001, and 2002.

8 TITLE II—DEDUCTIONS FOR AL9 COHOL ADVERTISING OR

10 PROMOTION

11 SEC. 201. SHORT TITLE.

12 This title may be cited as the ‘‘The Alcohol Pro13 motion and Advertising Tax Fairness Act’’.

14 SEC. 202. DISALLOWANCE OF DEDUCTION FOR ADVERTIS15 ING AND GOODWILL EXPENSES RELATING TO

16 ALCOHOLIC BEVERAGES.

17 (a) IN GENERAL.—Part IX of subchapter B of chap18 ter 1 of the Internal Revenue Code of 1986 (relating to

19 items not deductible) is amended by adding at the end

20 the following new section:

21 ‘‘SEC. 280I. ADVERTISING AND GOODWILL EXPENDITURES

22 RELATING TO ALCOHOLIC BEVERAGES.

23 ‘‘(a) IN GENERAL.—No deduction otherwise allow24 able under this chapter shall be allowed for any amount

25 paid or incurred to advertise (by means of television,
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1 radio, other electronic means, newspaper or other periodi2 cal, billboard, or any other means), or promote goodwill

3 regarding, any alcoholic beverage.

4 ‘‘(b) ALCOHOLIC BEVERAGE.—For purposes of this

5 section, the term ‘alcoholic beverage’ means any item

6 which is subject to tax under subpart A, C, or D of part

7 I of subchapter A of chapter 51 (relating to taxes on dis8 tilled spirits, wines, and beer).’’.

9 (b) CLERICAL AMENDMENT.—The table of sections

10 for part IX of subchapter B of chapter 1 of such Code

11 is amended by adding at the end the following new item:

‘‘Sec. 280I. Advertising and goodwill expenditures relating to alcoholic beverages.’’.

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

13 this section shall apply to amounts paid or incurred after

14 the date of the enactment of this Act.

15 TITLE III—PROMOTION OF

16 ALCOHOLIC BEVERAGES

17 SEC. 301. SHORT TITLE.

18 This title may be cited as the ‘End Taxpayer Pro19 motion of Alcohol Overseas Act’’.

20 SEC. 302. PROHIBITION ON PROMOTION OF ALCOHOLIC

21 BEVERAGES.

22 Section 203 of the Agricultural Trade Act of 1978

23 (7 U.S.C. 5623) is amended by adding at the end the fol24 lowing:
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1 ‘‘(h) PROHIBITION ON PROMOTION OF ALCOHOLIC

2 BEVERAGES.—None of the funds appropriated or other3 wise made available to carry out this section may be used

4 to promote the sale or export of alcohol or alcoholic bev5 erages.’’.

6 TITLE IV—CHILDREN AND

7 ALCOHOL ADVERTISING

8 SEC. 401. SHORT TITLE.

9 This title may be cited as the ‘‘Children’s Protection

10 from Alcohol Advertising Act of 1996’’.

11 SEC. 402. FINDINGS.

12 The Congress makes the following findings:

13 (1) In 1995, the Department of Health and

14 Human Services found that there is a significant un15 derage drinking problem and estimated that there

16 are 11 million drinkers of alcoholic beverages who

17 are under the age of 21. Of that number, 2 million

18 are heavy drinkers of such beverages.

19 (2) In 1995, the proportion of students having

20 5 or more drinks in a row during the 2 week period

21 preceding the Monitoring the Future Survey were 15

22 percent for 8th graders, 24 percent for 10th grad23 ers, and 30 percent for 12th graders.

24 (3) The median age at which children begin

25 drinking alcoholic beverages is just over 13 years. 67
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1 percent of students in the 8th grade have tried an

2 alcoholic beverage.

3 (4) A 1995 survey found that 50 percent of the

4 teenagers who were asked said that alcohol is a more

5 serious problem among today’s youth than illicit

6 drugs.

7 (5) In 1993, nearly 10 percent (over 110,000)

8 of the clients admitted to State-funded alcohol treat9 ment programs were under the age of 21.

10 (6) Alcoholic beverage companies spent $2 bil11 lion to advertise and promote their products in

12 1995. The budget of the National Institute on Alco13 hol Abuse and Alcoholism for the same year was

14 $176 million.

15 (7) According to a study published in the Amer16 ican Journal of Public Health, viewing beer ads on

17 television may predispose young people to drinking

18 beer. Children who are more aware of beer advertise19 ments hold more favorable beliefs about drinking

20 beer and intend to drink beer more frequently as

21 adults.

22 (8) Almost half of all adults think that alcohol

23 industry advertising greatly influences underage

24 youth to drink alcoholic beverages, another one-third

25 think industry advertising has some influence.
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1 SEC. 403. ADVERTISING REQUIREMENTS.

2 (a) PROHIBITIONS.—

3 (1) GENERAL RULE.—Except as provided in

4 paragraph (2), no alcoholic beverage may be adver5 tised or promoted on any audio tape, audio disc, vid6 eotape, video arcade game, computer game or in

7 film. No outdoor advertising of alcoholic beverages

8 may be located within 1000 feet of any school, play9 ground, or other public facility where individuals

10 under the age of 21 are reasonably expected to con11 vene.

12 (2) EXCEPTION.—Paragraph (1) does not apply

13 to any videotape prepared by a person engaged in

14 the business of manufacturing or selling alcohol bev15 erages if such videotape is to be viewed only by other

16 persons engaged in such business.

17 (b) PRINT ADVERTISING.—In publications with an

18 under the age of 21 readership of 15 percent or more than

19 2 million, whichever is less, alcohol advertising shall be

20 restricted to text only advertising in black and white print.

21 (c) BROADCAST ADVERTISING.—Any advertising of

22 an alcoholic beverage in a television broadcast shall during

23 the hours between 7 A.M. and 10 P.M. be limited to only

24 a picture of the beverage with factual, objective audion

25 information about the beverage.
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1 (d) SPONSORSHIP.—An event may be sponsored by

2 an alcohol manufacturer in the corporate name only and

3 not in the brand name of the alcoholic beverage.

4 (e) PROMOTIONAL ITEMS.—

5 (1) GENERAL RULE.—No person may manufac6 ture or distribute a product which is a non-beverage

7 product with an identifiable brand of an alcoholic

8 beverage manufacturer. Such a product shall bear

9 the corporate name of the alcoholic beverage manu10 facturer.

11 (2) EXCEPTION.—Paragraph (1) does not apply

12 to any product prepared by a person engaged in the

13 business of manufacturing or selling alcohol bev14 erages if such product is to be made available only

15 to other persons engaged in such business.

16 (f) ENFORCEMENT.—

17 (1) CRIMINAL PENALTY.—Any person who vio18 lates the restrictions prescribed by subsection (a),

19 (b), or (c) shall be guilty of a misdemeanor and shall

20 on conviction thereof be subject to a fine of not more

21 than $10,000.

22 (2) INJUNCTION.—The district courts of the

23 United States shall have jurisdiction, for cause

24 shown, to prevent and restrain violation of restric25 tions prescribed by subsection (a), (b), or (c) upon
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1 application of the Attorney General of the United

2 States acting through the United States attorneys in

3 their districts.

4 TITLE V—ALCOHOL

5 ADVERTISING

6 SEC. 501. SHORT TITLE.

7 This title may be cited as the ‘‘Alcohol Advertising

8 Accountability Act of 1996’’.

9 SEC. 502. REPORT OF SECRETARY ON ALCOHOL ADVERTIS10 ING.

11 (a) ACTION BY THE SECRETARY.—The Secretary of

12 Health and Human Services shall report annually to the

13 Congress on alcohol advertising, its profile and its effects.

14 To assist the Secretary in gathering information for such

15 report, the Secretary shall establish a panel made up of

16 such individuals as the Secretary, in the Secretary’s dis17 cretion, may select from individuals in the Department of

18 Health and Human Services or any other Federal agency.

19 (b) PANEL FUNCTION.—The panel established by the

20 Secretary of Health and Human Services under subsection

21 (a) shall review alcohol advertising in all media, including

22 broadcast and cable television, other electronic means, and

23 print and outdoor advertising and review promotional ac24 tivities undertaken to promote the sale of alcoholic bev25 erages. The Secretary shall convene at least 2 public hear-
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1 ings before the panel established under subsection (a) each

2 year and shall have the panel conduct a hearing in each

3 of the regional offices of the Department of Health and

4 Human Services over the 5-year period beginning on the

5 date of the enactment of this Act.

6 (c) REPORT CONTENT.—The report of the Secretary

7 of Health and Human Services under subsection (a) shall

8 be developed on the basis of the work conducted by the

9 panel established under subsection (a) and shall include—

10 (1) an identification of—

11 (A) the media used by alcohol advertising

12 to reach children,

13 (B) the total expenditures for alcoholic

14 beverage advertising in each media and in pro15 motions,

16 (C) the extent to which media program au17 diences are under the age of 21,

18 (D) an identification of the types and

19 themes of alcohol advertising in all media (espe20 cially in broadcast) and other electronic means,

21 (E) any graphics, slogans, children’s char22 acters, and techniques that are used and that

23 appeal to youth, and

24 (F) the extent to which other promotional

25 efforts used to market alcoholic beverages which
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1 appear in clothing, sporting events, contests,

2 and concerts appeal to individuals under the

3 age of 21;

4 (2) a determination of the extent to which

5 young people are exposed to alcohol advertising and

6 promotions of alcoholic beverages;

7 (3) an evaluation of the relationship between al8 cohol advertising practices and underage drinking,

9 drunk driving, and related public health problems;

10 and

11 (4) an evaluation of alcohol industry sponsored

12 campaigns addressing public service and prevention

13 messages for underage drinking, drunk driving, and

14 other alcohol-related topics.

15 (d) RECOMMENDATIONS.—The report of the Sec16 retary of Health and Human Services under subsection

17 (a) shall also include such recommendations for legislation

18 as the Secretary determines are appropriate.

19 TITLE VI—HEALTH WARNINGS

20 SEC. 601. SHORT TITLE.

21 This title may be cited as the ‘‘Sensible Advertising

22 and Family Education Act’’.

23 SEC. 602. FINDINGS.

24 Congress makes the following findings:
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1 (1) Alcohol is by far the drug most widely used

2 and abused by young people in the United States

3 today, even though it is illegal for youths under the

4 age of 21 to purchase alcohol in all 50 of the States

5 and the District of Columbia.

6 (2) According to the National Institute on Alco7 hol Abuse and Alcoholism, an estimated 18,000,000

8 persons in the United States who are 18 or older

9 currently experience problems as a result of alcohol

10 use. An estimated 4,500,000 young people are de11 pendent on alcohol or are problem drinkers.

12 (3) According to the 1995 National Institute on

13 Drug Abuse survey of high school students and

14 young adults (entitled ‘‘Monitoring the Future’’), 80

15 percent of high school seniors, 71 percent of tenth

16 graders, and 56 percent of eighth graders had used

17 alcohol at least once. Twenty-eight percent of high

18 school seniors, 24 percent of tenth graders, and 15

19 percent of eighth graders had experienced a ‘‘binge’’

20 of 5 or more drinks in a row within the past 2

21 weeks. Among college students, 88 percent reported

22 having used alcohol and 40 percent reported occa23 sions of binge drinking, including 31 percent of the

24 females and 52 percent of the males.
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1 (4) The average age at which young people

2 begin drinking is 13. By age 13, approximately 30

3 percent of boys and 22 percent of girls classify

4 themselves as drinkers. According to the 1995

5 ‘‘Monitoring the Future’’ survey, 14 percent of high

6 school seniors reported having been drunk by eighth

7 grade, 30 percent by ninth grade, 43 percent by

8 tenth grade, and 60 percent by twelfth grade. Stud9 ies demonstrate that the use of alcohol before the

10 age of 15 appears to be one of the predictors of later

11 heavy alcohol and other drug use.

12 (5) According to a national survey on youth and

13 alcohol (Inspector General of the Department of

14 Health and Human Services, 1991), the average

15 binge drinker is a 16 year-old male in the tenth

16 grade who was 12 years old when he took his first

17 drink.

18 (6) Young people are not well informed about

19 the hazards of alcohol use. More than one quarter

20 of high school seniors do not view taking one or two

21 drinks nearly every day as entailing great risk. Ap22 proximately 45 percent of eighth graders, 47 percent

23 of tenth graders, and 53 percent of twelfth graders

24 do not perceive having 5 or more drinks once or

25 twice a weekend as entailing a great risk (1995
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1 ‘‘Monitoring the Future’’ survey). More than 2.6

2 million students do not know a person can die from

3 an overdose of alcohol. A projected 259,000 students

4 think that wine coolers or beer cannot get a person

5 drunk, make a person sick, or do as much harm as

6 other alcoholic beverages (Inspector General of the

7 Department of Health and Human Services, 1991).

8 (7) According to Healthy People 2000, the Na9 tional Health Promotion and Disease Prevention Ob10 jectives—

11 (A) nearly one-half of all deaths from

12 motor vehicle crashes are alcohol-related;

13 (B) alcohol is implicated in nearly one-half

14 of all fatal intentional injuries such as suicides

15 and homicides; and

16 (C) victims are intoxicated in approxi17 mately one-third of all homicides, drownings,

18 and boating deaths.

19 (8) An estimated 25 percent of all hospitalized

20 persons have alcohol-related problems.

21 (9) Alcohol in combination with other drugs is

22 the leading cause of emergency room drug abuse epi23 sodes.

24 (10) In 1995, chronic liver disease, including

25 cirrhosis, was the 11th leading cause of death in the
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1 United States. Of 41,000 deaths attributed to liver

2 disease in the United States, 46 percent diagnosti3 cally were associated with alcohol. Heavy alcohol use

4 is considered the most important risk factor for

5 chronic liver disease. Even among liver disease

6 deaths not coded as alcohol-related, approximately

7 50 percent are thought to be due to alcohol use.

8 (11) Between 5 and 24 percent of hypertension

9 cases are associated with alcohol. Many cases diag10 nosed as essential hypertension (high blood pressure

11 having no known causes) may actually have chronic

12 alcohol ingestion as their cause.

13 (12) Alcohol abuse is strongly associated with

14 increased risk of cancer, especially cancer of the

15 liver, esophagus, nasopharynx, and larynx. Alcohol is

16 also associated with dietary deficiency that may in17 crease cancer risk.

18 (13) Treatment costs for fetal alcohol syndrome

19 (referred to in this paragraph as ‘‘FAS’’) and other

20 alcohol-related birth defects in the United States are

21 estimated at nearly a third of a billion dollars. FAS

22 is one of the top 3 known causes of birth defects

23 with accompanying mental retardation and the only

24 known preventable cause among the top three.

25 Among children born to women who drink heavily,
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1 the incidence of FAS may be as high as 25 per

2 1,000 live births. Among children born to other

3 women, the FAS incidence is between 1 to 3 infants

4 with the syndrome per 1,000 live births. The inci5 dence of other alcohol-related birth defects is esti6 mated to be 3 times greater than that of FAS.

7 (14) The alcoholic-beverage industry spends ap8 proximately $2,000,000,000 each year on advertising

9 and promotions in the United States.

10 (15) Alcohol advertising, especially in the

11 broadcast media, represents the single greatest

12 source of alcohol education for persons in the United

13 States. According to a 1990 study of 10 to 13 year14 olds, funded by the American Automobile Associa15 tion Foundation for Traffic Safety, there is a rela16 tionship between exposure and attention by an indi17 vidual to beer advertising and expectations that the

18 individual drink as an adult.

19 (16) A major 1981 federally funded study

20 found a significant relationship between—

21 (A) exposure of individuals to alcoholic22 beverage advertising as youth; and

23 (B) drinking behaviors and attitudes of the

24 individuals that can lead to certain forms of

25 problem drinking.
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1 (17) According to the Department of Health

2 and Human Services, sponsorships and promotions

3 on college campuses by alcohol producers and the

4 use of celebrities and youth-oriented musical groups

5 in advertising create a pro-drinking environment.

6 (18) Over 80 percent of 2,000 adults surveyed

7 in 1988 for the Bureau of Alcohol, Tobacco, and

8 Firearms by the Opinion Research Corporation be9 lieve that alcohol advertising influences underage

10 youth to drink alcoholic beverages. The survey also

11 found that the general public feels that the young

12 people of the United States constitute the group that

13 is most at risk from drinking alcoholic beverages.

14 (19) The 1988 Surgeon General’s Workshop on

15 Drunk Driving has recommended—

16 (A) that the level of alcoholic-beverage ad17 vertising be matched with an equal number of

18 pro-health and pro-safety messages; and

19 (B) the inclusion of health warning mes20 sages in all alcohol advertising.

21 (20) The National Commission on Drug-Free

22 Schools’ September 1990 Final Report, ‘‘Toward a

23 Drug-Free Generation: A Nation’s Responsibility’’

24 recommends that Congress—
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1 (A) require additional health and safety

2 messages on all alcohol products and advertis3 ing for the products; and

4 (B) consider enacting a ban on advertising

5 and promotion of alcohol if alcohol advertising

6 still targets youth and glamorizes alcohol use

7 two years following the publication of the re8 port.

9 (21) Over two-thirds of persons surveyed

10 in a 1989 Wall Street Journal poll favor requir11 ing warnings about the dangers of drinking

12 both on alcoholic-beverage containers and in al13 cohol advertisements. Nearly three-fourths of

14 persons surveyed in a 1990 Gallup Poll favor

15 requiring health warning messages in alcohol

16 advertising.

17 SEC. 3. HEALTH WARNINGS.

18 (a) IN GENERAL.—On and after the expiration of the

19 6-month period following the date of enactment of this

20 Act, it shall be an unfair or deceptive act or practice under

21 section 6 of the Federal Trade Commission Act for any

22 person to—

23 (1) advertise or cause to be advertised through

24 magazines, newspapers, brochures, and promotional

25 displays within the United States any alcoholic bev-
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1 erage unless the advertising bears, in accordance

2 with requirements of section 603(a), one of the fol3 lowing health warnings:

4 SURGEON GENERAL’S WARNING: If

5 you are pregnant, don’t drink. Drinking alcohol

6 during pregnancy may cause mental retardation

7 and other birth defects. Avoid alcohol during

8 pregnancy. If you are pregnant and can’t stop

9 drinking, call [insert appropriate toll free num10 ber].

11 SURGEON GENERAL’S WARNING: Al12 cohol is a drug and may be addictive. If you

13 know someone who has an alcohol or other drug

14 problem or has trouble controlling their drink15 ing, call [insert appropriate toll free number].

16 SURGEON GENERAL’S WARNING:

17 Drive sober. If you don’t, you could lose your

18 driver’s license or even your life. Alcohol im19 pairs your ability to drive a car or operate ma20 chinery. If you or people you love drink and

21 drive, call [insert appropriate toll free number].

22 SURGEON GENERAL’S WARNING:

23 Don’t mix alcohol with over-the-counter, pre24 scription, or illicit drugs. For more information

25 call [insert appropriate toll free number].
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1 SURGEON GENERAL’S WARNING: If

2 you drink too much alcohol too fast, you can

3 die. You can be poisoned by alcohol if you drink

4 [insert number of drinks] in [insert time]. To

5 find out more about alcohol poisoning call [in6 sert appropriate toll free number].

7 SURGEON GENERAL’S WARNING:

8 Drinking increases your risks of high blood

9 pressure, liver disease, and cancer. The more

10 you drink, the more likely it is that you will

11 have such health problems. To find out how to

12 prevent getting such health problems call [in13 sert appropriate toll free number]., or

14 (2) advertise or cause to be advertised through

15 radio, television broadcasting (including cable broad16 casting and paid per view or subscription television),

17 or other electronic means any alcoholic beverage un18 less the advertising includes, in accordance with re19 quirements of section 603(b), one of the following

20 health warnings:

21 SURGEON GENERAL’S WARNING: If

22 you are pregnant, don’t drink alcohol. Alcohol

23 may cause mental retardation and other birth

24 defects.
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1 SURGEON GENERAL’S WARNING: Al2 cohol is a drug and may be addictive.

3 SURGEON GENERAL’S WARNING:

4 Drive sober. If you don’t, you could lose your

5 driver’s license or even your life.

6 SURGEON GENERAL’S WARNING:

7 Don’t mix alcohol with over-the-counter, pre8 scription, or illicit drugs.

9 SURGEON GENERAL’S WARNING: If

10 you drink too much alcohol too fast, you can die

11 of alcohol poisoning.

12 SURGEON GENERAL’S WARNING:

13 Drinking too much alcohol increases your risk

14 of high blood pressure, liver disease, and can15 cer.

16 (b) TOLL FREE NUMBERS.— The Secretary of

17 Health and Human Services shall be responsible for estab18 lishing and maintaining the toll free numbers referred to

19 in the health warnings required by subsection (a)(1). The

20 Secretary shall report to Congress annually on the number

21 of calls received using those numbers.

22 SEC. 604. REQUIREMENTS.

23 (a) IN GENERAL.—The health warnings required for

24 alcoholic beverage advertisements by section 603(a)(1)

25 shall—
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1 (1) be located in a conspicuous and prominent

2 place on each such advertisement, as determined by

3 the Secretary of Health and Human Services in reg4 ulations to take effect no later than 6 months after

5 the date of the enactment of this Act,

6 (2) shall require that all the regulations issued

7 by the Secretary under paragraph (1) shall require

8 that all letters in such health warnings appear in

9 conspicuous and legible type that is not script or

10 italic and that such health warnings be in contrast

11 by typography, layout, and color with all other print12 ed material in the advertisement, be surrounded by

13 typographic lines that form a box, and, on an appro14 priate visual medium, appear on the front of an ad15 vertisement as indicated by labeling of the manufac16 turer or importer, and

17 (3) be rotated in an alternating sequence on

18 each advertisement of a brand style in accordance

19 with a plan submitted by such manufacturer or im20 porter to the Secretary.

21 The Secretary shall approve a plan submitted under para22 graph (3) by a manufacturer or importer that assures that

23 each sequence of the same or substantially similar adver24 tisement for a brand style has displayed upon it an equal

25 distribution of each health warning at the same time. If
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1 an application is approved by the Secretary, the rotation

2 shall apply with respect to the applicant during the one3 year period beginning on the date of the application ap4 proval.

5 (b) RADIO AND TELEVISION.—

6 (1) WARNINGS.—The health warnings required

7 for alcoholic beverage advertisements placed on radio

8 or television broadcasting by section 602(a)(2)

9 shall—

10 (A) be included in a conspicuous and

11 prominent manner in such advertisement, as

12 determined by the Secretary of Health and

13 Human Services in regulations to take effect

14 not later than 6 months after the date of the

15 enactment of this Act, and

16 (B) be rotated in an alternating sequence

17 on each such advertisement of a brand style in

18 accordance with a plan submitted by such man19 ufacturer or importer to the Secretary.

20 The Secretary shall approve a plan submitted under

21 subparagraph (B) by a manufacturer or importer

22 that assures that an equal distribution of each of the

23 health warnings is displayed on each sequence of the

24 same or substantially similar advertisement for a

25 brand style at the same time. If an application is ap-
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1 proved by the Secretary, the rotation shall apply

2 with respect to the applicant during the one-year pe3 riod beginning on the date of the application ap4 proval.

5 (2) REGULATIONS.—The regulations issued by

6 the Secretary under paragraph (1) shall require—

7 (A) that such health warnings be read as

8 part of an alcoholic beverage advertisement in

9 an audible and deliberate manner and in a

10 length of time that allows for a clear under11 standing of the health warning message by the

12 intended audience, and

13 (B) that for television a graphic represen14 tation of such health warning be included after

15 each advertisement, that all letters in such

16 health warning appear in conspicuous and leg17 ible type that is not script or italic, that such

18 health warning be surrounded by typographic

19 lines that form a box, and that such health

20 warning appear in the same length of time si21 multaneously with the reading of the message

22 required by subparagraph (A).

23 SEC. 605. DEFINITIONS.

24 As used in this title—
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1 (1) the term ‘‘alcoholic beverage’’ includes any

2 beverage in liquid form which contains not less than

3 one-half of one percent of alcohol by volume and is

4 intended for human consumption,

5 (2) the term ‘‘person’’ includes a State, a State

6 agency, or an officer or employee of a State or State

7 agency, and

8 (3) the term ‘‘State’’ includes—

9 (A) any political subdivision of a State,

10 (B) the District of Columbia,

11 (C) the Commonwealth of Puerto Rico,

12 (D) the Commonwealth of the Northern

13 Mariana Islands,

14 (E) Guam,

15 (F) the Virgin Islands,

16 (G) American Samoa,

17 (H) Wake Island,

18 (I) the Midway Islands,

19 (J) Kingman Reef, and

20 (K) Johnston Island.

21 SEC. 606. REPORT TO CONGRESS.

22 (a) INVESTIGATION.—Not earlier than 2 years after

23 the date of the enactment of this Act, the Secretary of

24 Health and Human Services shall conduct an appropriate

25 investigation and consult with the Surgeon General to de-
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1 termine whether available scientific information would jus2 tify a change in, an addition to, or deletion of, a health

3 warning set forth in section 603.

4 (b) REPORT.—If the Secretary of Health and Human

5 Services finds that available scientific information would

6 justify the change, addition, or deletion described in sub7 section (a), the Secretary shall promptly submit a report

8 to the appropriate committees of Congress containing—

9 (1) the information; and

10 (2) specific recommendations for such amend11 ments to this title as the Secretary determines to be

12 appropriate and in the public interest.

13 TITLE VII—INGREDIENT LABEL14 ING FOR MALT BEVERAGES,

15 WINE, AND DISTILLED SPIR16 ITS

17 SEC. 701. LABELING.

18 Section 403 of the Federal Food, Drug, and Cosmetic

19 Act (21 U.S.C. 343) is amended by adding at the end the

20 following:

21 ‘‘(t)(1) If it is a malt beverage (including malt liquor

22 or malt cooler), wine (including wine cooler or fortified

23 wine), or distilled spirit (including distilled spirit cooler)

24 unless it bears a label which—
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1 ‘‘(A) discloses in a non promotional manner the

2 alcoholic content by volume,

3 ‘‘(B) discloses the number of drinks it contains

4 rounded to the nearest quarter drink,

5 ‘‘(C) discloses its ingredients and calories per

6 container and per drink,

7 ‘‘(D) discloses the common or usual name of

8 each ingredient (including additives), and

9 ‘‘(E) bears the following statement: ‘If you or

10 someone you know has a drinking problem, a call

11 may be made to (reference to a toll-free number es12 tablished and operated by the Secretary) for help’.

13 ‘‘(2) For purposes of paragraph (1):

14 ‘‘(A) The term ‘malt beverage’ means a bev15 erage made by the alcoholic fermentation of an infu16 sion or decoction, or combination of both, in potable

17 brewing water of malted barley with hops, or their

18 parts or products, with or without other malted cere19 als, with or without the addition of unmalted or pre20 pared cereals, other carbohydrates, or materials pre21 pared, with or without the addition of carbon diox22 ide, and with or without other wholesome products

23 suitable for human food consumption.

24 ‘‘(B) The term ‘wine’ means wine as defined in

25 sections 610 and 617 of the Revenue Act of 1918
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1 and other alcoholic beverages made in the manner of

2 wine, including sparkling and carbonated wine, wine

3 made from condensed grape must, wine made from

4 other agricultural products than the juice of sound,

5 ripe grapes, imitation wine, wine compounds sold as

6 wine, vermouth, cider, perry, and sake if it contains

7 not less than 7 percent and not more than 24 per8 cent of alcohol by volume and if for nonindustrial

9 use.

10 ‘‘(C) The term ‘distilled spirit’ means ethyl al11 cohol, hydrated oxide of ethyl, spirits of wine, whis12 ky, rum, brandy, gin, and other distilled spirits, in13 cluding all dilutions and mixtures thereof for non14 industrial use. Such term does not include mixtures

15 containing wine, bottled at 48 degrees of proof or

16 less if the mixture contains more than 50 percent

17 wine on a proof gallon basis.

18 ‘‘(D) The term ‘drink’ is a serving of a malt

19 beverage, wine, or distilled spirit which contains .6

20 ounces of alcohol by volume.

21 ‘‘(3) The Secretary shall by regulation require that

22 the information required on a container of a malt bev23 erage, wine, or distilled spirit label by subparagraph (1)—

24 ‘‘(A) be located in a conspicuous place on such

25 label,
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1 ‘‘(B) appear in conspicuous and legible type

2 which is in contrast by typography, layout, and color

3 with other printed matter and which is of a size no

4 less than one-sixteenth of an inch in height,

5 ‘‘(C) be displayed horizontally,

6 ‘‘(D) be easily legible when the container is held

7 in the usual way, and

8 ‘‘(E) be offset by borders.’’.

9 SEC. 702. AUTHORIZATION.

10 There is authorized to be appropriated to the Sec11 retary $500,000 for fiscal year 1996 and each succeeding

12 fiscal year to establish and operate the toll-free number

13 referred to in section 403(t)(1)(E) of the Federal Food,

14 Drug, and Cosmetic Act (as added by section 701).

15 SEC. 703. REPORT.

16 The report required by section 206 of the Alcoholic

17 Beverage Labeling Act of 1988 shall be filed within 3

18 months of the date of the enactment of this Act.

Æ