I 

110TH CONGRESS 

1ST SESSION S. 863 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 5, 2007 

Referred to the Committee on the Judiciary 

AN ACT 

To amend title 18, United States Code, with respect to 

fraud in connection with major disaster or emergency funds. 

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


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Emergency and Dis3 aster Assistance Fraud Penalty Enhancement Act of 

4 2007’’. 

5 SEC. 2. FRAUD IN CONNECTION WITH MAJOR DISASTER OR 

6 EMERGENCY BENEFITS. 

7 (a) IN GENERAL.—Chapter 47 of title 18, United 

8 States Code, is amended by adding at the end the fol9 lowing: 

10 ‘‘§ 1040. Fraud in connection with major disaster or 

11 emergency benefits 

12 ‘‘(a) Whoever, in a circumstance described in sub13 section (b) of this section, knowingly— 

14 ‘‘(1) falsifies, conceals, or covers up by any 

15 trick, scheme, or device any material fact; or 

16 ‘‘(2) makes any materially false, fictitious, or 

17 fraudulent statement or representation, or makes or 

18 uses any false writing or document knowing the 

19 same to contain any materially false, fictitious, or 

20 fraudulent statement or representation, 

21 in any matter involving any benefit authorized, trans22 ported, transmitted, transferred, disbursed, or paid in con23 nection with a major disaster declaration under section 

24 401 of the Robert T. Stafford Disaster Relief and Emer25 gency Assistance Act (42 U.S.C. 5170) or an emergency 

26 declaration under section 501 of the Robert T. Stafford 


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1 Disaster Relief and Emergency Assistance Act (42 U.S.C. 

2 5191), or in connection with any procurement of property 

3 or services related to any emergency or major disaster dec4 laration as a prime contractor with the United States or 

5 as a subcontractor or supplier on a contract in which there 

6 is a prime contract with the United States, shall be fined 

7 under this title, imprisoned not more than 30 years, or 

8 both. 

9 ‘‘(b) A circumstance described in this subsection is 

10 any instance where— 

11 ‘‘(1) the authorization, transportation, trans12 mission, transfer, disbursement, or payment of the 

13 benefit is in or affects interstate or foreign com14 merce; 

15 ‘‘(2) the benefit is transported in the mail at 

16 any point in the authorization, transportation, trans17 mission, transfer, disbursement, or payment of that 

18 benefit; or 

19 ‘‘(3) the benefit is a record, voucher, payment, 

20 money, or thing of value of the United States, or of 

21 any department or agency thereof. 

22 ‘‘(c) In this section, the term ‘benefit’ means any 

23 record, voucher, payment, money or thing of value, good, 

24 service, right, or privilege provided by the United States, 

25 a State or local government, or other entity.’’. 


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

2 for chapter 47 of title 18, United States Code, is amended 

3 by adding at the end the following new item: 

‘‘1040. Fraud in connection with major disaster or emergency benefits.’’. 

4 SEC. 3. INCREASED CRIMINAL PENALTIES FOR ENGAGING 

5 IN WIRE, RADIO, AND TELEVISION FRAUD 

6 DURING AND RELATION TO A PRESI7 DENTIALLY DECLARED MAJOR DISASTER OR 

8 EMERGENCY. 

9 Section 1343 of title 18, United States Code, is 

10 amended by inserting: ‘‘occurs in relation to, or involving 

11 any benefit authorized, transported, transmitted, trans12 ferred, disbursed, or paid in connection with, a presi13 dentially declared major disaster or emergency (as those 

14 terms are defined in section 102 of the Robert T. Stafford 

15 Disaster Relief and Emergency Assistance Act (42 U.S.C. 

16 5122)), or’’ after ‘‘If the violation’’. 

17 SEC. 4. INCREASED CRIMINAL PENALTIES FOR ENGAGING 

18 IN MAIL FRAUD DURING AND RELATION TO A 

19 PRESIDENTIALLY DECLARED MAJOR DIS20 ASTER OR EMERGENCY. 

21 Section 1341 of title 18, United States Code, is 

22 amended by inserting: ‘‘occurs in relation to, or involving 

23 any benefit authorized, transported, transmitted, trans24 ferred, disbursed, or paid in connection with, a presi25 dentially declared major disaster or emergency (as those 


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1 terms are defined in section 102 of the Robert T. Stafford 

2 Disaster Relief and Emergency Assistance Act (42 U.S.C. 

3 5122)), or’’ after ‘‘If the violation’’. 

4 SEC. 5. DIRECTIVE TO SENTENCING COMMISSION. 

5 (a) IN GENERAL.—Pursuant to its authority under 

6 section 994(p) of title 28, United States Code, and in ac7 cordance with this section, the United States Sentencing 

8 Commission forthwith shall— 

9 (1) promulgate sentencing guidelines or amend 

10 existing sentencing guidelines to provide for in11 creased penalties for persons convicted of fraud or 

12 theft offenses in connection with a major disaster 

13 declaration under section 401 of the Robert T. Staf14 ford Disaster Relief and Emergency Assistance Act 

15 (42 U.S.C. 5170) or an emergency declaration under 

16 section 501 of the Robert T. Stafford Disaster Relief 

17 and Emergency Assistance Act (42 U.S.C. 5191); 

18 and 

19 (2) submit to the Committee on the Judiciary 

20 of the Senate and the Committee on the Judiciary 

21 of the House of Representatives an explanation of 

22 actions taken by the Commission pursuant to para23 graph (1) and any additional policy recommenda24 tions the Commission may have for combating of25 fenses described in that paragraph. 


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1 (b) REQUIREMENTS.—In carrying out this section, 

2 the Sentencing Commission shall— 

3 (1) ensure that the sentencing guidelines and 

4 policy statements reflect the serious nature of the of5 fenses described in subsection (a) and the need for 

6 aggressive and appropriate law enforcement action 

7 to prevent such offenses; 

8 (2) assure reasonable consistency with other 

9 relevant directives and with other guidelines; 

10 (3) account for any aggravating or mitigating 

11 circumstances that might justify exceptions, includ12 ing circumstances for which the sentencing guide13 lines currently provide sentencing enhancements; 

14 (4) make any necessary conforming changes to 

15 the sentencing guidelines; and 

16 (5) assure that the guidelines adequately meet 

17 the purposes of sentencing as set forth in section 

18 3553(a)(2) of title 18, United States Code. 

19 (c) EMERGENCY AUTHORITY AND DEADLINE FOR

20 COMMISSION ACTION.—The Commission shall promulgate 

21 the guidelines or amendments provided for under this sec22 tion as soon as practicable, and in any event not later than 

23 the 30 days after the date of enactment of this Act, in 

24 accordance with the procedures set forth in section 21(a) 


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1 of the Sentencing Reform Act of 1987, as though the au2 thority under that Act had not expired. 

Passed the Senate December 4, 2007. 

Attest: NANCY ERICKSON, 

Secretary. 


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