49–006 

109TH CONGRESS REPT. 109–437 " ! HOUSE OF REPRESENTATIVES 1st Session Part 1 

GUAM WORLD WAR II LOYALTY RECOGNITION ACT 

APRIL 25, 2006.—Ordered to be printed 

Mr. POMBO, from the Committee on Resources, 

submitted the following 

R E P O R T 

[To accompany H.R. 1595] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Resources, to whom was referred the bill 

(H.R. 1595) to implement the recommendations of the Guam War 

Claims Review Commission, having considered the same, report favorably thereon with an amendment and recommend that the bill 

as amended do pass. 

The amendment is as follows: 

Strike all after the enacting clause and insert the following: 

SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

(a) SHORT TITLE.—This Act may be cited as the ‘‘Guam World War II Loyalty Recognition Act’’. 

(b) TABLE OF CONTENTS.—The table of contents of this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Recognition of the suffering and loyalty of the residents of Guam. 

Sec. 3. Payments for Guam World War II claims. 

Sec. 4. Adjudication. 

Sec. 5. Grants program to memorialize the occupation of Guam during World War II. 

SEC. 2. RECOGNITION OF THE SUFFERING AND LOYALTY OF THE RESIDENTS OF GUAM. 

(a) RECOGNITION OF THE SUFFERING OF THE RESIDENTS OF GUAM.—The United 

States recognizes that, as described by the Guam War Claims Review Commission, 

the residents of Guam, on account of their United States nationality, suffered unspeakable harm as a result of the occupation of Guam by Imperial Japanese military forces during World War II, by being subjected to death, rape, severe personal 

injury, personal injury, forced labor, forced march, or internment. 

(b) RECOGNITION OF THE LOYALTY OF THE RESIDENTS OF GUAM.—The United 

States forever will be grateful to the residents of Guam for their steadfast loyalty 

to the United States of America, as demonstrated by the countless acts of courage 

they performed despite the threat of death or great bodily harm they faced at the 

hands of the Imperial Japanese military forces that occupied Guam during World 

War II. 

SEC. 3. PAYMENTS FOR GUAM WORLD WAR II CLAIMS. 

(a) PAYMENTS FOR DEATH, PERSONAL INJURY, FORCED LABOR, FORCED MARCH, AND INTERNMENT.—After receipt of certification pursuant to section 4(b)(8) and in 


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accordance with this section, the Secretary of the Treasury shall make the following 

payments: 

(1) SURVIVORS OF RESIDENTS WHO DIED IN WAR.—In the case of a compensable 

Guam decedent (as defined in subsection (c)(1)), the Secretary shall pay $25,000 

for distribution to eligible survivors of the decedent as specified in subsection 

(b). 

(2) RESIDENTS INJURED.—In the case of a compensable Guam victim who is 

not deceased, the Secretary shall pay such victim the following: 

(A) If the victim has suffered an injury described in subsection (c)(2)(A), 

$15,000. 

(B) If the victim is not described in subparagraph (A) but has suffered 

an injury described in subsection (c)(2)(B), $12,000. 

(C) If the victim is not described in subparagraph (A) or (B) but has suffered an injury described in subsection (c)(2)(C), $10,000. 

(3) SURVIVORS OF DECEASED INJURED RESIDENTS.—In the case of a compensable Guam victim who is deceased, the Secretary shall pay $7,000 for distribution to eligible survivors of the victim as specified in subsection (b). 

Payments under this section shall be treated for purposes of section 1304(a) of title 

31, United States Code, as an award otherwise authorized as law. 

(b) DISTRIBUTION OF SURVIVOR PAYMENTS.—Payments under paragraph (1) or (3) 

of subsection (a) to eligible survivors of an individual who is a compensable Guam 

decedent or a compensable Guam victim who is deceased shall be made as follows: 

(1) If there is living a spouse of the individual, but no child of the individual, 

all of the payment shall be made to such spouse. 

(2) If there is living a spouse of the individual and one or more children of 

the individual, one-half of the payment shall be made to the spouse and the 

other half to the child (or to the children in equal shares). 

(3) If there is no living spouse of the individual, but there are one or more 

children of the individual alive, all of the payment shall be made to such child 

(or to such children in equal shares). 

(4) If there is no living spouse or child of the individual but there is a living 

parent (or parents) of the individual, all of the payment shall be made to the 

parents (or to the parents in equal shares). 

(5) If there is no such living spouse, child, or parent, no payment shall be 

made. 

(c) DEFINITIONS.—For purposes of this Act: 

(1) COMPENSABLE GUAM DECEDENT.—The term ‘‘compensable Guam decedent’’

means an individual determined under section 4(a)(1) to have been a resident 

of Guam who died or was killed as a result of the attack and occupation of 

Guam by Imperial Japanese military forces during World War II, or incident 

to the liberation of Guam by United States military forces, and whose death 

would have been compensable under the Guam Meritorious Claims Act of 1945 

(Public Law 79–224) if a timely claim had been filed under the terms of such 

Act. 

(2) COMPENSABLE GUAM VICTIM.—The term ‘‘compensable Guam victim’’

means an individual determined under section 4(a)(1) to have suffered, as a result of the attack and occupation of Guam by Imperial Japanese military forces 

during World War II, or incident to the liberation of Guam by United States 

military forces, any of the following: 

(A) Rape or severe personal injury (such as loss of a limb, dismemberment, or paralysis). 

(B) Forced labor or a personal injury not under subparagraph (A) (such 

as disfigurement, scarring, or burns). 

(C) Forced march, internment, or hiding to evade internment. 

(3) DEFINITIONS OF SEVERE PERSONAL INJURIES AND PERSONAL INJURIES.—The 

Foreign Claims Settlement Commission shall promulgate regulations to specify 

injuries that constitute a severe personal injury or a personal injury for purposes of subparagraphs (A) and (B), respectively, of paragraph (2). 

SEC. 4. ADJUDICATION. 

(a) AUTHORITY OF FOREIGN CLAIMS SETTLEMENT COMMISSION.—

(1) IN GENERAL.—The Foreign Claims Settlement Commission is authorized 

to adjudicate claims and determine eligibility for payments under section 3. 

(2) RULES AND REGULATIONS.—The chairman of the Foreign Claims Settlement Commission shall prescribe such rules and regulations as may be necessary to enable it to carry out its functions under this Act. Such rules and regulations shall be published in the Federal Register. 

(b) CLAIMS SUBMITTED FOR PAYMENTS.—


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(1) SUBMITTAL OF CLAIM.—For purposes of subsection (a)(1) and subject to 

paragraph (2), the Foreign Claims Settlement Commission may not determine 

an individual is eligible for a payment under section 3 unless the individual 

submits to the Commission a claim in such manner and form and containing 

such information as the Commission specifies. 

(2) FILING PERIOD FOR CLAIMS AND NOTICE.—All claims for a payment under 

section 3 shall be filed within one year after the Foreign Claims Settlement 

Commission publishes public notice of the filing period in the Federal Register. 

In addition, the Commission shall cause to be publicized the public notice of the 

deadline for filing claims in newspaper, radio, and television media on Guam. 

(3) ADJUDICATORY DECISIONS.—The decision of the Foreign Claims Settlement 

Commission on each claim shall be by majority vote, shall be in writing, and 

shall state the reasons for the approval or denial of the claim. If approved, the 

decision shall also state the amount of the payment awarded and the distribution, if any, to be made of the payment. 

(4) DEDUCTIONS IN PAYMENT.—The Foreign Claims Settlement Commission 

shall deduct, from potential payments, amounts previously paid under the 

Guam Meritorious Claims Act of 1945 (Public Law 79–224). 

(5) INTEREST.—No interest shall be paid on payments awarded by the Foreign 

Claims Settlement Commission. 

(6) REMUNERATION PROHIBITED.—No remuneration on account of representational services rendered on behalf of any claimant in connection with any claim 

filed with the Foreign Claims Settlement Commission under this Act shall exceed one percent of the total amount paid pursuant to any payment certified 

under the provisions of this Act on account of such claim. Any agreement to the 

contrary shall be unlawful and void. Whoever demands or receives, on account 

of services so rendered, any remuneration in excess of the maximum permitted 

by this section shall be fined not more than $5,000 or imprisoned not more than 

12 months, or both. 

(7) APPEALS AND FINALITY.—Objections and appeals of decisions of the Foreign 

Claims Settlement Commission shall be to the Commission, and upon rehearing, the decision in each claim shall be final, and not subject to further review 

by any court or agency. 

(8) CERTIFICATIONS FOR PAYMENT.—After a decision approving a claim becomes final, the chairman of the Foreign Claims Settlement Commission shall 

certify it to the Secretary of the Treasury for authorization of a payment under 

section 3. 

(9) TREATMENT OF AFFIDAVITS.—For purposes of section 3 and subject to paragraph (2), the Foreign Claims Settlement Commission shall treat a claim that 

is accompanied by an affidavit of an individual that attests to all of the material 

facts required for establishing eligibility of such individual for payment under 

such section as establishing a prima facie case of the individual’s eligibility for 

such payment without the need for further documentation, except as the Commission may otherwise require. Such material facts shall include, with respect 

to a claim under paragraph (2) or (3) of section 3(a), a detailed description of 

the injury or other circumstance supporting the claim involved, including the 

level of payment sought. 

(10) RELEASE OF RELATED CLAIMS.—Acceptance of payment under section 3 by 

an individual for a claim related to a compensable Guam decedent or a compensable Guam victim shall be in full satisfaction of all claims related to such decedent or victim, respectively, arising under the Guam Meritorious Claims Act of 

1945 (Public Law 79–224), the implementing regulations issued by the United 

States Navy pursuant thereto, or this Act. 

(11) PENALTY FOR FALSE CLAIMS.—The provisions of section 1001 of title 18 

of the United States Code (relating to criminal penalties for false statements) 

apply to claims submitted under this subsection. 

SEC. 5. GRANTS PROGRAM TO MEMORIALIZE THE OCCUPATION OF GUAM DURING WORLD 

WAR II. 

(a) ESTABLISHMENT.—Subject to subsection (c) and in accordance with this section, 

the Secretary of the Interior shall establish a grants program under which the Secretary shall award grants for research, educational, and media activities that memorialize the events surrounding the occupation of Guam during World War II, honor 

the loyalty of the people of Guam during such occupation, or both, for purposes of 

appropriately illuminating and interpreting the causes and circumstances of such 

occupation and other similar occupations during a war. 

(b) ELIGIBILITY.—The Secretary of the Interior may not award to a person a grant 

under subsection (a) unless such person submits an application to the Secretary for 

such grant, in such time, manner, and form and containing such information as the 

Secretary specifies. 


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(c) AUTHORIZATION FOR APPROPRIATIONS.—There are authorized to be appropriated $5,000,000, to remain available for obligation until September 30, 2011, to 

carry out the grant program under this section. In addition, the Secretary of the 

Interior may use unobligated funds made available to the Secretary that may be 

used for such purpose to carry out this section. 

PURPOSE OF THE BILL

The purpose of H.R. 1595 is to implement the recommendations 

of the Guam War Claims Review Commission. 

BACKGROUND AND NEED FOR LEGISLATION

December 8, 1941, brought with it the invasion and eventual occupation of Guam by the Japanese Empire. The 22,000 residents 

of Guam, who were U.S. nationals at the time, suffered personal 

injury, forced labor, forced marches, internment, rape and executions. After the U.S. regained administration over Guam, efforts to 

compensate the residents of Guam for their suffering began. In 

1945, Congress passed the Guam Meritorious Claims Act (GMCA), 

which authorized the Secretary of the Navy to appoint a claims 

commission to adjudicate as well as settle war claims not in excess 

of $5,000. Any claims in excess of this amount were to be specifically forwarded to and approved by Congress. 

Public Law 107–333, authored by former Congressman Robert 

Underwood, established the Guam War Claims Review Commission 

to issue a report regarding the extent to which the GMCA fulfilled 

its intended purpose. This was submitted to Congress and the Administration in June 2004. The Commission put forth multiple recommendations based on the general interpretation that there were 

inconsistencies in the implementation of the GMCA. In particular, 

the Commission was troubled by areas that related to other war 

claims precedent and the historical basis upon which decisions 

were made during the claims process in the GMCA. The Resources 

Committee held a July 21, 2004, oversight hearing on the report. 

At the hearing, it became clear that legislation would be necessary 

to provide any further authorization of relief or recognition for the 

suffering of the residents of Guam because the GMCA provided 

only a specific one year time limit for adjudication and settlement 

of past claims. 

The Commission not only reviewed the GMCA but also utilized 

past legislative efforts with regard to this issue as well as the Hopkins Committee Report for interpretation and comparison. This report was submitted in 1947 and gave a general overview of the 

progress and status of the governments of both Guam and American Samoa. It is also important to note that the Commission held 

multiple public hearings on Guam, at which it heard testimony 

from both survivors of the occupation as well as relatives of these 

individuals. A small portion of this testimony was also featured at 

the hearing conducted by the Committee. 

The primary function of H.R. 1595 is to implement the recommendations of the Guam War Claims Review Commission. 

After a hearing on H.R. 1595, as introduced, some Members of 

the Committee expressed concerns regarding the costs of the legislation, how the claims were handled in the bill, and the potential 

for legal precedent established by the bill. In short, Congress would 

be revisiting claims that had been previously formally adjudicated. 


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As a result of these concerns, H.R. 1595, as ordered reported, focuses on the importance of handling the claims of the residents of 

Guam within the current federal framework, while at the same 

time adhering to the general principles espoused by the Guam War 

Claims Review Commission. Of particular note, the legislation will 

set forth specific guidance to the Foreign Claims Settlement Commission on how to treat varying levels of awards that are relative 

to the experience of the survivors of the war, as well as their heirs. 

COMMITTEE ACTION

H.R. 1595 was introduced on April 13, 2005, by Congresswoman 

Madeleine Bordallo (D–GU). The bill was referred to the Committee on Resources. On April 20, 2005, the Full Committee held 

a hearing on the bill. On November 16, 2005, the Full Resources 

Committee met to consider the bill. Congresswoman Bordallo offered an amendment in the nature of a substitute to streamline the 

process for the consideration and adjudication of claims. It removed 

the Recognition Commission, the Recognition Fund, and the Trust 

Fund from the bill. Further, it delineated the various award 

amounts for varying levels of severity of experience relating to a 

claim. The amendment also created a grant program at the Department of the Interior for the remembrance of the Japanese military’s occupation of Guam. The amendment was adopted by unanimous consent. The bill, as amended, was then ordered favorably reported to the House of Representatives by unanimous consent. 

SECTION-BY-SECTION ANALYSIS

Section 1. Short title; table of contents 

Section 1 provides title of the bill and section headings of legislation. 

Section 2. Recognition of the suffering and loyalty of the residents 

of Guam 

Section 2 makes two statements recognizing the suffering and 

hardships faced by the people of Guam during Japanese occupation 

while also noting the loyalty of those who endured while facing 

such difficult odds. 

Section 3. Payments for Guam World War II claims 

Subsection (a) delineates the amounts that claimants may be 

awarded, including heirs, at levels of $25,000, $15,000, $12,000, 

$10,000, and $7,000. Payments of claims are made from the judgment fund at the Department of Treasury. 

Subsection (b) describes the order in which survivors of deceased 

residents from the Japanese occupation are entitled to payments. 

This approach to delineating the payments to survivors is based in 

existing war claims law. Successor claims have been allowed under 

the War Claims Act of 1948, Wake Island Amendment of 1962, 

War Claims Act of 1954, and the Micronesian Claims Act of 1971. 

Under these Acts, potential claimants have been limited to parents, 

a spouse, or children. 

Subsection (c) defines the various levels of payments that apply 

to varying degrees of loss or suffering, which includes rape, forced 

labor, and internment. The concept of including ‘‘internment’’ as a 


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category for awards is based on both the War Claims Act of 1948 

and the Wake Island Amendment of 1962, which authorized compensation for internment of civilians by Japanese military forces 

during World War II. 

Section 4. Adjudication 

Subsection (a) specifically sets out the authority of the Foreign 

Claims Settlement Commission at the Department of Justice to 

handle the war claims. The rules and regulations of the Settlement 

Commission relating to its work will be printed publicly. The work 

of the Settlement Commission will be crucial to properly notifying 

potential claimants as well as efficiently adjudicating the claims. 

To this end, the Committee recommends the hiring of interpreters 

on Guam to expeditiously and accurately translate the experience 

of those who speak only Guam’s local vernacular. The Committee 

also received expressions of interest from Congresswoman Bordallo 

in having the Foreign Claims Settlement Commission actually perform many of its functions directly in Guam, including staffing and 

offices. 

The Committee recognizes through its work with the Department 

of the Interior that due to its long-standing relationship with 

Guam’s leaders and its understanding of Guam’s history, the Department may be called upon to provide assistance and expertise 

to the Settlement Commission as it carries out its duties under this 

Act. The Committee expects the Department of the Interior to provide such assistance as may be requested by the Settlement Commission. 

Subsection (b) describes various items of note relating to claims 

for payment. This includes the filing period, the deductions in payment as it relates to Public Law 79–224, the appeals process, the 

certification of payment process, and penalties for false claims submitted. 

The Committee is aware that since the end of World War II, 

many survivors of Guam’s occupation have relocated. The Committee encourages the Foreign Claims Settlement Commission, 

with the support of the Department of the Interior, to undertake 

activities to inform the greatest possible number of potential eligible survivors and heirs of the opportunity to submit a claim. These 

activities should include outreach to organizations whose primary 

membership consists of former residents of Guam. The Committee 

notes that such organizations exist in the States of California, 

Washington, Texas, Nevada, Hawaii, Arizona, and the greater 

Washington D.C. area. 

Section 5. Grants program to memorialize the occupation of Guam 

during World War II 

Section 5 establishes a grant program for research, educational 

and media activities that relate to properly interpreting the causes 

and circumstances of the Japanese military occupation of Guam. 

The Secretary of the Interior is provided the authority to award the 

grants, which are authorized to be appropriated at $5 million over 

five years. 


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COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of rule XIII 

of the Rules of the House of Representatives, the Committee on Resources’ oversight findings and recommendations are reflected in 

the body of this report. 

CONSTITUTIONAL AUTHORITY STATEMENT

Article I, section 8 of the Constitution of the United States 

grants Congress the authority to enact this bill. 

COMPLIANCE WITH HOUSE RULE XIII

1. Cost of Legislation. Clause 3(d)(2) of rule XIII of the Rules of 

the House of Representatives requires an estimate and a comparison by the Committee of the costs which would be incurred in carrying out this bill. However, clause 3(d)(3)(B) of that Rule provides 

that this requirement does not apply when the Committee has included in its report a timely submitted cost estimate of the bill prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act of 1974. 

2. Congressional Budget Act. As required by clause 3(c)(2) of rule 

XIII of the Rules of the House of Representatives and section 

308(a) of the Congressional Budget Act of 1974, this bill does not 

contain any new budget authority, credit authority, or an increase 

or decrease in revenues or tax expenditures. According to the Congressional Budget Office, enactment of this bill would increase direct spending by approximately $180 million over the 2006–2009 

time frame. 

3. General Performance Goals and Objectives. As required by 

clause 3(c)(4) of rule XIII, the general performance goal or objective 

of this bill is to implement the recommendations of the Guam War 

Claims Review Commission. 

4. Congressional Budget Office Cost Estimate. Under clause 

3(c)(3) of rule XIII of the Rules of the House of Representatives and 

section 403 of the Congressional Budget Act of 1974, the Committee has received the following cost estimate for this bill from the 

Director of the Congressional Budget Office: 

H.R. 1595—Guam World War II Loyalty Recognition Act 

Summary: H.R. 1595 would require the Federal Government to 

compensate Guam residents for their treatment during the island’s 

occupation by Japanese military forces during World War II. The 

legislation also would authorize the appropriation of $5 million for 

a grant program to memorialize the occupation of Guam during 

World War II. 

CBO estimates that enacting this legislation would increase direct spending by about $180 million over the 2006–2009 period to 

make war-claim compensation payments. In addition, we estimate 

that implementing the bill would cost $1 million in 2006 and $8 

million over the 2006–2011 period, assuming appropriation of the 

necessary amounts. 

H.R. 1595 contains no intergovernmental mandates as defined in 

the Unfunded Mandates Reform Act (UMRA) and would impose no 

costs on state, local, or tribal governments. 


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H.R. 1595 contains a private-sector mandate, as defined in 

UMRA, on individuals seeking to represent certain claimants who 

are eligible to receive money from the Foreign Claims Settlement 

Commission. The bill would limit the amount of compensation individuals can receive to represent claimants who file for claims with 

the Foreign Claims Settlement Commission under this bill. CBO 

estimates, however, that there would be no cost to comply with the 

mandate. 

Estimated Cost to the Federal Government: The estimated budgetary impact of H.R. 1595 is shown in the following table. The costs 

of this legislation fall within budget function 800 (general government). 

By fiscal year, in millions of dollars— 

2006 2007 2008 2009 2010 2011 

CHANGES IN DIRECT SPENDING 

Guam War-Claim Compensation Payments 

Estimated Budget Authority ................................................ 20 100 60 0 0 0 

Estimated Outlays ............................................................... 16 84 68 12 0 0 

CHANGES IN SPENDING SUBJECT TO APPROPRIATION 

Foreign Claims Settlement Commission 

Estimated Authorization Level ............................................. 1 1 1 0 0 0 

Estimated Outlays ............................................................... 1 1 1 0 0 0 

Grant Program 

Authorization Level .............................................................. 0 5 0 0 0 0 

Estimated Outlays ............................................................... 0 1 1 1 1 1 

Total Changes.

Estimated Authorization Level ........................................ 1 6 1 0 0 0 

Estimated Outlays ........................................................... 1 2 2 1 1 1 

Basis of estimate: For this estimate, CBO assumes that the bill 

will be enacted before the end of fiscal year 2006, that the necessary amounts will be provided each year, and that spending will 

follow historical patterns for similar programs. 

Direct Spending, H.R. 1595 would authorize the Treasury to 

make payments to the residents of Guam for deaths and injuries 

suffered during Japanese occupation of the island in World War II. 

The Foreign Claims Settlement Commission (FCSC), an agency 

within the Department of Justice, would adjudicate such claims. 

Under the bill, claimants would have one year to file with the 

FCSC. H.R. 1595 specifies war-claim compensation payments of 

$25,000 to survivors of those who died during the war, $15,000 for 

survivors who were raped or severely injured, $12,000 for those 

who were forced into labor and suffered personal injury, and 

$10,000 for survivors of a forced march or internment. Heirs of deceased occupation survivors, including a spouse, child, or parent, 

would be entitled to a payment of $7,000. In addition, before making such payments, the FCSC would deduct amounts previously 

paid under the Guam Meritorious Claims Act of 1945 (Guam Act). 

Using information from the Guam War Claims Review Commission 

and the Foreign Claims Settlement Commission, CBO estimates 

that about $10 million was previously paid under the Guam Act. 

Guam Population During Occupation. Based on census data from 

1940, CBO estimates that approximately 22,000 Guamanians were 

living on the island when it was seized and occupied by Japanese 

forces on December 10, 1941. The Guam War Claims Review Commission reported that, during the 32-month occupation, virtually 


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the entire population was either interned, in hiding to avoid capture, or subjected to forced march at one time or another while 

under Japanese occupation during World War II. Thus, for this estimate, we assume all Guamanians enumerated in the 1940 census 

would be eligible for war-claims compensation payments under 

H.R. 1595. 

Death Benefit Payments. Using information from the Guam War 

Claims Commission, it is generally accepted that approximately 

1,000 Guamanians died during the war before the island was declared secure and liberated by U.S. forces on August 10, 1944. H.R. 

1595 would provide a $25,000 war-claim compensation death payment to survivors of those Guamanians who perished during the 

occupation. The number of possible survivors and claimants is unknown. Using information from the National Center of Health Statistics regarding survival probabilities, however, CBO estimates 

that there are approximately 700 survivors of the 1,000 Guamanians who died during the Japanese occupation. Under that assumption, war-claim compensation death payments would cost 

about $18 million. (If all Guamanians who perished during the occupation were to have survivors who claimed the $25,000 payment, 

the costs could reach $25 million.) 

Other Benefit Payments. In addition, CBO estimates that all surviving Guamanians (around 21,000) who were located on the island 

during the occupation would be eligible for payments of $10,000 to 

$15,000 (depending upon the level of injury). Heirs of those individuals could receive a payment of $7,000. There is no information to 

determine the number of surviving Guamanians from the time of 

the Japanese occupation, their level of injury, or the number of 

heirs of such individuals. Using information from the National 

Center for Health Statistics concerning survival probabilities, CBO 

estimates that there are 7,000 survivors of the occupation and 

about 12,000 heirs that would be eligible for payment. Using an average payment of $12,500 for survivors and $7,000 for heirs, CBO 

estimates that payments to those survivors and heirs would cost 

about $170 million. (If all Guamanian survivors and heirs claimed 

an average payment of $11,000, the costs could reach $231 million.) 

Total Benefit Payments. Using CBO’s estimated claim payments 

amounts under H.R. 1595 and accounting for the nominal value of 

the previous war-claim payments of about $10 million, CBO estimates that providing additional war-claims compensation under 

H.R. 1595 would cost about $180 million. We expect that those payments would be made over the 2006–2009 period because of the 

time required to file, adjudicate, and process claims payments. 

Spending subject to appropriation: CBO estimates that implementing H.R. 1595 would cost $8 million over the 2006–2011 period, assuming appropriation of the estimated amounts. 

Foreign Claims Settlement Commission. Section 4 would require 

the FCSC to determine claim eligibility and payment amounts. In 

addition to promulgating rules and regulations, FCSC would be required to publicize the program. Based on information from FCSC, 

CBO estimates that additional staffing and administrative costs as 

well as a media campaign in Guam would cost $3 million over the 

2006–2008 period. 

Grant Program. Section 5 would authorize the appropriation of 

$5 million for the Department of the Interior to establish a grant 


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program to support activities in memory of Guam’s occupation during World War II. Assuming the appropriation of the authorized 

amount, CBO estimates that implementing this provision would 

cost $5 million over the 2006–2011 period. 

Estimated impact on state, local, and tribal government: H.R. 

1595 contains no intergovernmental mandate as defined in UMRA 

and would impose no costs on state, local, or tribal governments. 

Estimated impact on the private sector: H.R. 1595 contains a private-sector mandate as defined in UMRA. The bill would limit the 

fees payable to attorneys or other individuals seeking to represent 

claimants who are eligible to receive money from the Foreign 

Claims Settlement Commission under this bill. Specifically, section 

4(b)6 would limit fees for representational services to not more 

than 1 percent of the amount that the claimant is paid. The limitation on representational fees is a private-sector mandate as defined 

in UMRA. Because the claimants in this program would be a new 

source of business generated under the bill, representatives would 

not lose fees that they could have collected in the absence of the 

bill. CBO therefore estimates that the cost to comply with the mandate would be zero—clearly well below the annual threshold estab- lished by UMRA ($128 million in 2006, adjusted annually for inflation). 

Estimate prepared by: Federal Costs: Matthew Pickford and 

Kathy Ruffing. Impact on State, Local, and Tribal Governments: 

Marjorie Miller. Impact on the Private Sector: Fatimot Ladipo. 

Estimate approved by: Peter H. Fontaine, Deputy Assistant Director for Budget Analysis. 

COMPLIANCE WITH PUBLIC LAW 104–4

According to the Congressional Budget Office, this bill imposes a 

private sector mandate on individuals seeking to represent certain 

claimants who are eligible to receive money from the Foreign 

Claims Settlement Commission by limiting the amount of compensation received for these services. This limit is one percent of 

the amount of the paid claim. However, the Congressional Budget 

Office also estimates that there would no cost to comply with this 

mandate; rather the bill creates new business for those who chose 

to represent claimants under the bill and the income from this new 

business would be a benefit to the representatives. 

The Committee adopts the analysis of the costs and benefits of 

this mandate (including the qualitative and quantitative analysis) 

found in the Congressional Budget Office cost estimate included in 

this bill report. Furthermore, given the nature of the mandate, the 

Committee concludes the private sector mandate contained in this 

bill has no effect on health, safety, and the protection of the natural environment. 

PREEMPTION OF STATE, LOCAL OR TRIBAL LAW

This bill is not intended to preempt any State, local or tribal law. 

CHANGES IN EXISTING LAW

If enacted, this bill would make no changes in existing law. 

Æ 


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