II

104TH CONGRESS

1ST SESSION S. 1470

To amend title II of the Social Security Act to provide for increases in

the amounts of allowable earnings under the social security earnings

limit for individuals who have attained retirement age, and for other

purposes.

IN THE SENATE OF THE UNITED STATES

DECEMBER 12, 1995

Mr. MCCAIN (for himself, Mr. ROTH, and Mr. DOLE) introduced the following

bill; which was read twice and referred to the Committee on Finance

A BILL

To amend title II of the Social Security Act to provide

for increases in the amounts of allowable earnings under

the social security earnings limit for individuals who

have attained retirement age, 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 This Act may be cited as the ‘‘Senior Citizens’ Free5 dom to Work Act of 1995’’.
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1 SEC. 2. INCREASES IN MONTHLY EXEMPT AMOUNT FOR

2 PURPOSES OF THE SOCIAL SECURITY EARN3 INGS LIMIT.

4 (a) INCREASE IN MONTHLY EXEMPT AMOUNT FOR

5 INDIVIDUALS WHO HAVE ATTAINED RETIREMENT

6 AGE.—Section 203(f)(8)(D) of the Social Security Act (42

7 U.S.C. 403(f)(8)(D)) is amended to read as follows:

8 ‘‘(D) Notwithstanding any other provision of

9 this subsection, the exempt amount which is applica10 ble to an individual who has attained retirement age

11 (as defined in section 216(l)) before the close of the

12 taxable year involved shall be—

13 ‘‘(i) for each month of any taxable year

14 ending after 1995 and before 1997,

$1,166.662 15 ⁄3,

16 ‘‘(ii) for each month of any taxable year

17 ending after 1996 and before 1998, $1,250.00,

18 ‘‘(iii) for each month of any taxable year

19 ending after 1997 and before 1999,

$1,333.331 20 ⁄3,

21 ‘‘(iv) for each month of any taxable year

22 ending after 1998 and before 2000,

$1,416.662 23 ⁄3,

24 ‘‘(v) for each month of any taxable year

25 ending after 1999 and before 2001, $1,500.00,
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1 ‘‘(vi) for each month of any taxable year

2 ending after 2000 and before 2002,

$2,083.331 3 ⁄3, and

4 ‘‘(vii) for each month of any taxable year

5 ending after 2001 and before 2003,

6 $2,500.00.’’.

7 (b) CONFORMING AMENDMENTS.—

8 (1) Section 203(f)(8)(B)(ii) of such Act (42

9 U.S.C. 403(f)(8)(B)(ii)) is amended—

10 (A) by striking ‘‘the taxable year ending

11 after 1993 and before 1995’’ and inserting ‘‘the

12 taxable year ending after 2001 and before 2003

13 (with respect to individuals described in sub14 paragraph (D)) or the taxable year ending after

15 1993 and before 1995 (with respect to other in16 dividuals)’’; and

17 (B) in subclause (II), by striking ‘‘for

18 1992’’ and inserting ‘‘for 2000 (with respect to

19 individuals described in subparagraph (D)) or

20 1992 (with respect to other individuals)’’.

21 (2) The second sentence of section 223(d)(4)(A)

22 of such Act (42 U.S.C. 423(d)(4)(A)) is amended by

23 striking ‘‘the exempt amount under section 203(f)(8)

24 which is applicable to individuals described in sub25 paragraph (D) thereof’’ and inserting the following:
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1 ‘‘an amount equal to the exempt amount which

2 would be applicable under section 203(f)(8), to indi3 viduals described in subparagraph (D) thereof, if

4 section 2 of the Senior Citizens’ Right to Work Act

5 of 1995 had not been enacted’’.

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

7 this section shall apply with respect to taxable years end8 ing after 1995.

9 SEC. 3. DENIAL OF DISABILITY BENEFITS TO DRUG AD10 DICTS AND ALCOHOLICS.

11 (a) AMENDMENTS RELATING TO TITLE II DISABIL12 ITY BENEFITS.—

13 (1) IN GENERAL.—Section 223(d)(2) of the So14 cial Security Act (42 U.S.C. 423(d)(2)) is amended

15 by adding at the end the following:

16 ‘‘(C) An individual shall not be considered to be

17 disabled for purposes of this title if alcoholism or

18 drug addiction would (but for this subparagraph) be

19 a contributing factor material to the Commissioner’s

20 determination that the individual is disabled.’’.

21 (2) REPRESENTATIVE PAYEE REQUIRE22 MENTS.—

23 (A) Section 205(j)(1)(B) of such Act (42

24 U.S.C. 405(j)(1)(B)) is amended to read as fol25 lows:
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1 ‘‘(B) In the case of an individual entitled to benefits

2 based on disability, the payment of such benefits shall be

3 made to a representative payee if the Commissioner of So4 cial Security determines that such payment would serve

5 the interest of the individual because the individual also

6 has an alcoholism or drug addiction condition (as deter7 mined by the Commissioner) that prevents the individual

8 from managing such benefits.’’.

9 (B) Section 205(j)(2)(C)(v) of such Act

10 (42 U.S.C. 405(j)(2)(C)(v)) is amended by

11 striking ‘‘entitled to benefits’’ and all that fol12 lows through ‘‘under a disability’’ and inserting

13 ‘‘described in paragraph (1)(B)’’.

14 (C) Section 205(j)(2)(D)(ii)(II) of such

15 Act (42 U.S.C. 405(j)(2)(D)(ii)(II)) is amended

16 by striking all that follows ‘‘15 years, or’’ and

17 inserting ‘‘described in paragraph (1)(B).’’.

18 (D) Section 205(j)(4)(A)(i)(II) (42 U.S.C.

19 405(j)(4)(A)(ii)(II)) is amended by striking

20 ‘‘entitled to benefits’’ and all that follows

21 through ‘‘under a disability’’ and inserting ‘‘de22 scribed in paragraph (1)(B)’’.

23 (3) TREATMENT REFERRALS FOR INDIVIDUALS

24 WITH AN ALCOHOLISM OR DRUG ADDICTION CONDI25 TION.—Section 222 of such Act (42 U.S.C. 422) is
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1 amended by adding at the end the following new

2 subsection:

3 ‘‘Treatment Referrals for Individuals with an Alcoholism

4 or Drug Addiction Condition

5 ‘‘(e) In the case of any individual whose benefits

6 under this title are paid to a representative payee pursu7 ant to section 205(j)(1)(B), the Commissioner of Social

8 Security shall refer such individual to the appropriate

9 State agency administering the State plan for substance

10 abuse treatment services approved under subpart II of

11 part B of title XIX of the Public Health Service Act (42

12 U.S.C. 300x–21 et seq.).’’.

13 (4) CONFORMING AMENDMENT.—Subsection (c)

14 of section 225 of such Act (42 U.S.C. 425(c)) is re15 pealed.

16 (5) EFFECTIVE DATES.—

17 (A) The amendments made by paragraphs

18 (1) and (4) shall apply to any individual who

19 applies for, or whose claim is adjudicated with

20 respect to, benefits under title II of the Social

21 Security Act based on disability on or after the

22 date of the enactment of this Act, and, in the

23 case of any individual who has applied for, and

24 whose claim has been adjudicated with respect

25 to, such benefits before such date of enactment,
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1 such amendments shall apply only with respect

2 to such benefits for months beginning on or

3 after January 1, 1997.

4 (B) The amendments made by paragraphs

5 (2) and (3) shall apply with respect to benefits

6 for which applications are filed on or after the

7 date of the enactment of this Act.

8 (C) If an individual who is entitled to

9 monthly insurance benefits under title II of the

10 Social Security Act based on disability for the

11 month in which this Act is enacted and whose

12 entitlement to such benefits would terminate by

13 reason of the amendments made by this sub14 section reapplies for benefits under title II of

15 such Act (as amended by this Act) based on

16 disability within 120 days after the date of the

17 enactment of this Act, the Commissioner of So18 cial Security shall, not later than January 1,

19 1997, complete the entitlement redetermination

20 with respect to such individual pursuant to the

21 procedures of such title.

22 (b) AMENDMENTS RELATING TO SSI BENEFITS.—

23 (1) IN GENERAL.—Section 1614(a)(3) of the

24 Social Security Act (42 U.S.C. 1382c(a)(3)) is

25 amended by adding at the end the following:
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1 ‘‘(I) Notwithstanding subparagraph (A), an individ2 ual shall not be considered to be disabled for purposes of

3 this title if alcoholism or drug addiction would (but for

4 this subparagraph) be a contributing factor material to

5 the Commissioner’s determination that the individual is

6 disabled.’’.

7 (2) REPRESENTATIVE PAYEE REQUIRE8 MENTS.—

9 (A) Section 1631(a)(2)(A)(ii)(II) of such

10 Act (42 U.S.C. 1383(a)(2)(A)(ii)(II)) is amend11 ed to read as follows:

12 ‘‘(II) In the case of an individual eligible for benefits

13 under this title by reason of disability, the payment of

14 such benefits shall be made to a representative payee if

15 the Commissioner of Social Security determines that such

16 payment would serve the interest of the individual because

17 the individual also has an alcoholism or drug addiction

18 condition (as determined by the Commissioner) that pre19 vents the individual from managing such benefits.’’.

20 (B) Section 1631(a)(2)(B)(vii) of such Act

21 (42 U.S.C. 1383(a)(2)(B)(vii)) is amended by

22 striking ‘‘eligible for benefits’’ and all that fol23 lows through ‘‘is disabled’’ and inserting ‘‘de24 scribed in subparagraph (A)(ii)(II)’’.
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1 (C) Section 1631(a)(2)(B)(ix)(II) of such

2 Act (42 U.S.C. 1383(a)(2)(B)(ix)(II)) is

3 amended by striking all that follows ‘‘15 years,

4 or’’ and inserting ‘‘described in subparagraph

5 (A)(ii)(II).’’.

6 (D) Section 1631(a)(2)(D)(i)(II) of such

7 Act (42 U.S.C. 1383(a)(2)(D)(i)(II)) is amend8 ed by striking ‘‘eligible for benefits’’ and all

9 that follows through ‘‘is disabled’’ and inserting

10 ‘‘described in subparagraph (A)(ii)(II)’’.

11 (3) TREATMENT SERVICES FOR INDIVIDUALS

12 WITH A SUBSTANCE ABUSE CONDITION.—Title XVI

13 of such Act (42 U.S.C. 1381 et seq.) is amended by

14 adding at the end the following new section:

15 ‘‘TREATMENT SERVICES FOR INDIVIDUALS WITH A

16 SUBSTANCE ABUSE CONDITION

17 ‘‘SEC. 1636. In the case of any individual whose bene18 fits under this title are paid to a representative payee pur19 suant to section 1631(a)(2)(A)(ii)(II), the Commissioner

20 of Social Security shall refer such individual to the appro21 priate State agency administering the State plan for sub22 stance abuse treatment services approved under subpart

23 II of part B of title XIX of the Public Health Service Act

24 (42 U.S.C. 300x–21 et seq.).’’.

25 (4) CONFORMING AMENDMENTS.—
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1 (A) Section 1611(e) of such Act (42

2 U.S.C. 1382(e)) is amended by striking para3 graph (3).

4 (B) Section 1634 of such Act (42 U.S.C.

5 1383c) is amended by striking subsection (e).

6 (5) EFFECTIVE DATES.—

7 (A) The amendments made by paragraphs

8 (1) and (4) shall apply to any individual who

9 applies for, or whose claim is adjudicated with

10 respect to, supplemental security income bene11 fits under title XVI of the Social Security Act

12 based on disability on or after the date of the

13 enactment of this Act, and, in the case of any

14 individual who has applied for, and whose claim

15 has been adjudicated with respect to, such ben16 efits before such date of enactment, such

17 amendments shall apply only with respect to

18 such benefits for months beginning on or after

19 January 1, 1997.

20 (B) The amendments made by paragraphs

21 (2) and (3) shall apply with respect to supple22 mental security income benefits under title XVI

23 of the Social Security Act for which applica24 tions are filed on or after the date of the enact25 ment of this Act.
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1 (C) If an individual who is eligible for sup2 plemental security income benefits under title

3 XVI of the Social Security Act for the month

4 in which this Act is enacted and whose eligi5 bility for such benefits would terminate by rea6 son of the amendments made by this subsection

7 reapplies for supplemental security income ben8 efits under title XVI of such Act (as amended

9 by this Act) within 120 days after the date of

10 the enactment of this Act, the Commissioner of

11 Social Security shall, not later than January 1,

12 1997, complete the eligibility redetermination

13 with respect to such individual pursuant to the

14 procedures of such title.

15 (D) For purposes of this paragraph, the

16 phrase ‘‘supplemental security income benefits

17 under title XVI of the Social Security Act’’ in18 cludes supplementary payments pursuant to an

19 agreement for Federal administration under

20 section 1616(a) of the Social Security Act and

21 payments pursuant to an agreement entered

22 into under section 212(b) of Public Law 93–66.

23 (c) CONFORMING AMENDMENT.—Section 201(c) of

24 the Social Security Independence and Program Improve25 ments Act of 1994 (42 U.S.C. 425 note) is repealed.
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1 (d) SUPPLEMENTAL FUNDING FOR ALCOHOL AND

2 SUBSTANCE ABUSE TREATMENT PROGRAMS.—

3 (1) IN GENERAL.—Out of any money in the

4 Treasury not otherwise appropriated, there are here5 by appropriated to supplement State and Tribal pro6 grams funded under section 1933 of the Public

7 Health Service Act (42 U.S.C. 300x–33),

8 $100,000,000 for each of the fiscal years 1997 and

9 1998.

10 (2) ADDITIONAL FUNDS.—Amounts appro11 priated under paragraph (1) shall be in addition to

12 any funds otherwise appropriated for allotments

13 under section 1933 of the Public Health Service Act

14 (42 U.S.C. 300x–33) and shall be allocated pursuant

15 to such section 1933.

16 (3) USE OF FUNDS.—A State or Tribal govern17 ment receiving an allotment under this subsection

18 shall consider as priorities, for purposes of expend19 ing funds allotted under this subsection, activities

20 relating to the treatment of the abuse of alcohol and

21 other drugs.
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1 SEC. 4. ENTITLEMENT OF STEPCHILDREN TO CHILD’S IN2 SURANCE BENEFITS BASED ON ACTUAL DE3 PENDENCY ON STEPPARENT SUPPORT.

4 (a) REQUIREMENT OF ACTUAL DEPENDENCY FOR

5 FUTURE ENTITLEMENTS.—

6 (1) IN GENERAL.—Section 202(d)(4) of the So7 cial Security Act (42 U.S.C. 402(d)(4)) is amended

8 by striking ‘‘was living with or’’.

9 (2) EFFECTIVE DATE.—The amendment made

10 by paragraph (1) shall apply with respect to benefits

11 of individuals who become entitled to such benefits

12 for months after the third month following the

13 month in which this Act is enacted.

14 (b) TERMINATION OF CHILD’S INSURANCE BENE15 FITS BASED ON WORK RECORD OF STEPPARENT UPON

16 NATURAL PARENT’S DIVORCE FROM STEPPARENT.—

17 (1) IN GENERAL.—Section 202(d)(1) of the So18 cial Security Act (42 U.S.C. 402(d)(1)) is amend19 ed—

20 (A) by striking ‘‘or’’ at the end of subpara21 graph (F);

22 (B) by striking the period at the end of

23 subparagraph (G) and inserting ‘‘; or’’; and

24 (C) by inserting after subparagraph (G)

25 the following new subparagraph:
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1 ‘‘(H) if the benefits under this subsection are

2 based on the wages and self-employment income of

3 a stepparent who is subsequently divorced from such

4 child’s natural parent, the month after the month in

5 which such divorce becomes final.’’.

6 (2) NOTIFICATION.—Section 202(d) of such Act

7 (42 U.S.C. 402(d)) is amended by adding the follow8 ing new paragraph:

9 ‘‘(10) For purposes of paragraph (1)(H)—

10 ‘‘(A) each stepparent shall notify the Commis11 sioner of Social Security of any divorce upon such

12 divorce becoming final; and

13 ‘‘(B) the Commissioner shall annually notify

14 any stepparent of the rule for termination described

15 in paragraph (1)(H) and of the requirement de16 scribed in subparagraph (A).’’.

17 (3) EFFECTIVE DATES.—

18 (A) The amendments made by paragraph

19 (1) shall apply with respect to notifications of

20 divorces received by the Commissioner of Social

21 Security on or after the date of the enactment

22 of this Act.

23 (B) The amendment made by paragraph

24 (2) shall take effect on the date of the enact25 ment of this Act.
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1 SEC. 5. ESTABLISHMENT OF DISABILITY INSURANCE CON2 TINUING DISABILITY REVIEW ADMINISTRA3 TION REVOLVING ACCOUNT.

4 (a) CONTINUING DISABILITY REVIEW ADMINISTRA5 TION REVOLVING ACCOUNT FOR TITLE II DISABILITY

6 BENEFITS IN THE FEDERAL DISABILITY INSURANCE

7 TRUST FUND.—

8 (1) IN GENERAL.—Section 201 of the Social

9 Security Act (42 U.S.C. 401) is amended by adding

10 at the end the following new subsection:

11 ‘‘(n)(1) There is hereby created in the Federal Dis12 ability Insurance Trust Fund a Continuing Disability Re13 view Administration Revolving Account (hereinafter in

14 this subsection referred to as the ‘Account’). The Account

15 shall consist initially of $300,000,000 (which is hereby

16 transferred to the Account from amounts otherwise avail17 able in such Trust Fund) and shall also consist thereafter

18 of such other amounts as may be transferred to it under

19 this subsection. Such amounts in the Account shall be con20 sidered amounts in the Federal Disability Insurance Trust

21 Fund for purposes of subsections (d), (e), and (f), and

22 the Managing Trustee shall credit the investment proceeds

23 with respect to such amounts to the Account. The balance

24 in the Account shall be available solely for expenditures

25 certified under paragraph (2).
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1 ‘‘(2)(A) Before October 1 of each calendar year, the

2 Chief Actuary of the Social Security Administration

3 shall—

4 ‘‘(i) estimate the present value of savings to the

5 Federal Old-Age and Survivors Insurance Trust

6 Fund, the Federal Disability Insurance Trust Fund,

7 the Federal Hospital Insurance Trust Fund, and the

8 Federal Supplementary Medical Insurance Trust

9 Fund which will accrue for all years as a result of

10 cessations of benefit payments resulting from con11 tinuing disability reviews carried out pursuant to the

12 requirements of section 221(i) during the fiscal year

13 ending on September 30 of such calendar year (in14 creased or decreased as appropriate to account for

15 deviations of estimates for prior fiscal years from

16 the actual amounts for such fiscal years), and

17 ‘‘(ii) certify the amount of such estimate to the

18 Managing Trustee.

19 ‘‘(B) Upon receipt of certification by the Chief Actu20 ary under subparagraph (A), the Managing Trustee shall

21 transfer to the Account from amounts otherwise in the

22 Trust Fund an amount equal to the estimated savings so

23 certified.

24 ‘‘(C) To the extent of available funds in the Account,

25 upon certification by the Chief Actuary that such funds
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1 are currently required to meet expenditures necessary to

2 provide for continuing disability reviews required under

3 section 221(i), the Managing Trustee shall make available

4 to the Commissioner of Social Security from the Account

5 the amount so certified.

6 ‘‘(D) The expenditures referred to in subparagraph

7 (C) shall include, but not be limited to, the cost of staffing,

8 training, purchase of medical and other evidence, and

9 processing related to appeals (including appeal hearings)

10 and to overpayments and related indirect costs.

11 ‘‘(E) The Commissioner shall use funds made avail12 able pursuant to this paragraph solely for the purposes

13 described in subparagraph (C).’’.

14 (2) CONFORMING AMENDMENT.—Section

15 201(g)(1)(A) of such Act (42 U.S.C. 401(g)(1)(A))

16 is amended in the last sentence by inserting ‘‘(other

17 than expenditures from available funds in the Con18 tinuing Disability Review Administration Revolving

19 Account in the Federal Disability Insurance Trust

20 Fund made pursuant to subsection (n))’’ after ‘‘is

21 responsible’’ the first place it appears.

22 (3) ANNUAL REPORT.—Section 221(i)(3) of

23 such Act (42 U.S.C. 421(i)(3)) is amended—

24 (A) by striking ‘‘and the number’’ and in25 serting ‘‘the number’’;
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1 (B) by striking the period at the end and

2 inserting a comma; and

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

4 ‘‘and a final accounting of amounts transferred

5 to the Continuing Disability Review Adminis6 tration Revolving Account in the Federal Dis7 ability Insurance Trust Fund during the year,

8 the amount made available from such Account

9 during such year pursuant to certifications

10 made by the Chief Actuary of the Social Secu11 rity Administration under section 201(n)(2)(C),

12 and expenditures made by the Commissioner of

13 Social Security for the purposes described in

14 section 201(n)(2)(C) during the year, including

15 a comparison of the number of continuing dis16 ability reviews conducted during the year with

17 the estimated number of continuing disability

18 reviews upon which the estimate of such ex19 penditures was made under section

20 201(n)(2)(A).’’.

21 (b) EFFECTIVE DATE AND SUNSET.—

22 (1) EFFECTIVE DATE.—The amendments made

23 by subsection (a) shall apply for fiscal years begin24 ning on or after October 1, 1995, and ending on or

25 before September 30, 2002.
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1 (2) SUNSET.—Effective October 1, 2002, the

2 Continuing Disability Review Administration Revolv3 ing Account in the Federal Disability Insurance

4 Trust Fund shall cease to exist, any balance in such

5 Account shall revert to funds otherwise available in

6 such Trust Fund, and sections 201 and 221 of the

7 Social Security Act shall read as if the amendments

8 made by subsection (a) had not been enacted.

9 (c) OFFICE OF CHIEF ACTUARY IN THE SOCIAL SE10 CURITY ADMINISTRATION.—

11 (1) IN GENERAL.—Section 702 of such Act (42

12 U.S.C. 902) is amended—

13 (A) by redesignating subsections (c) and

14 (d) as subsections (d) and (e), respectively; and

15 (B) by inserting after subsection (b) the

16 following new subsection:

17 ‘‘Chief Actuary

18 ‘‘(c)(1) There shall be in the Administration a Chief

19 Actuary, who shall be appointed by, and in direct line of

20 authority to, the Commissioner. The Chief Actuary shall

21 be appointed from individuals who have demonstrated, by

22 their education and experience, superior expertise in the

23 actuarial sciences. The Chief Actuary shall serve as the

24 chief actuarial officer of the Administration, and shall ex25 ercise such duties as are appropriate for the office of the
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1 Chief Actuary and in accordance with professional stand2 ards of actuarial independence. The Chief Actuary may

3 be removed only for cause.

4 ‘‘(2) The Chief Actuary shall be compensated at the

5 highest rate of basic pay for the Senior Executive Service

6 under section 5382(b) of title 5, United States Code.’’.

7 (2) EFFECTIVE DATE OF SUBSECTION.—The

8 amendments made by this subsection shall take ef9 fect on the date of the enactment of this Act.

10 SEC. 6. APPLICABILITY OF PUBLIC DEBT LIMIT TO FED11 ERAL TRUST FUNDS AND OTHER FEDERAL

12 ACCOUNTS.

13 (a) PROTECTION OF FEDERAL FUNDS.—Notwith14 standing any other provision of law—

15 (1) no officer or employee of the United States

16 may—

17 (A) delay the deposit of any amount into

18 (or delay the credit of any amount to) any Fed19 eral fund or otherwise vary from the normal

20 terms, procedures, or timing for making such

21 deposits or credits, or

22 (B) refrain from the investment in public

23 debt obligations of amounts in any Federal

24 fund,
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1 if a purpose of such action or inaction is to not in2 crease the amount of outstanding public debt obliga3 tions, and

4 (2) no officer or employee of the United States

5 may disinvest amounts in any Federal fund which

6 are invested in public debt obligations if a purpose

7 of the disinvestment is to reduce the amount of out8 standing public debt obligations.

9 (b) PROTECTION OF BENEFITS AND EXPENDITURES

10 FOR ADMINISTRATIVE EXPENSES.—

11 (1) IN GENERAL.—Notwithstanding subsection

12 (a), during any period for which cash benefits or ad13 ministrative expenses would not otherwise be payable

14 from a Federal fund by reason of an inability to

15 issue further public debt obligations because of the

16 applicable public debt limit, public debt obligations

17 held by such Federal fund shall be sold or redeemed

18 only for the purpose of making payment of such

19 benefits or administrative expenses and only to the

20 extent cash assets of the Federal fund are not avail21 able from month to month for making payment of

22 such benefits or administrative expenses.

23 (2) ISSUANCE OF CORRESPONDING DEBT.—For

24 purposes of undertaking the sale or redemption of

25 public debt obligations held by a Federal fund pur-
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1 suant to paragraph (1), the Secretary of the Treas2 ury may issue corresponding public debt obligations

3 to the public, in order to obtain the cash necessary

4 for payment of benefits or administrative expenses

5 from such Federal fund, notwithstanding the public

6 debt limit.

7 (3) ADVANCE NOTICE OF SALE OR REDEMP8 TION.—Not less than 3 days prior to the date on

9 which, by reason of the public debt limit, the Sec10 retary of the Treasury expects to undertake a sale

11 or redemption authorized under paragraph (1), the

12 Secretary of the Treasury shall report to each House

13 of the Congress and to the Comptroller General of

14 the United States regarding the expected sale or re15 demption. Upon receipt of such report, the Comp16 troller General shall review the extent of compliance

17 with subsection (a) and paragraphs (1) and (2) of

18 this subsection and shall issue such findings and rec19 ommendations to each House of the Congress as the

20 Comptroller General considers necessary and appro21 priate.

22 (c) PUBLIC DEBT OBLIGATION.—For purposes of

23 this section, the term ‘‘public debt obligation’’ means any

24 obligation subject to the public debt limit established

25 under section 3101 of title 31, United States Code.
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1 (d) FEDERAL FUND.—For purposes of this section,

2 the term ‘‘Federal fund’’ means—

3 (1) the Federal Old-Age and Survivors Insur4 ance Trust Fund;

5 (2) the Federal Disability Insurance Trust

6 Fund;

7 (3) the Federal Hospital Insurance Trust

8 Fund; and

9 (4) the Federal Supplementary Medical Insur10 ance Trust Fund.

Æ

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