II

106TH CONGRESS

2D SESSION S. 2960

To provide for qualified withdrawals from the Capital Construction Fund

(CCF) for fishermen leaving the industry and for the rollover of Capital

Construction Funds to individual retirement plans.

IN THE SENATE OF THE UNITED STATES

JULY 27, 2000

Mr. WYDEN introduced the following bill; which was read twice and referred

to the Committee on Finance

A BILL

To provide for qualified withdrawals from the Capital Construction Fund (CCF) for fishermen leaving the industry

and for the rollover of Capital Construction Funds to

individual retirement plans.

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 Capital Construction

5 Fund (CCF) Qualified Withdrawal Act of 2000’’.
2

S 2960 IS

1 SEC. 2. EXPANSION OF PURPOSES OF THE CAPITAL CON2 STRUCTION FUND BY AMENDING THE MER3 CHANT MARINE ACT OF 1936.

4 Section 607(a) of the Merchant Marine Act, 1936 (46

5 U.S.C. App. 1177(a)) is amended by striking ‘‘of this sec6 tion.’’ and inserting ‘‘of this section. Any agreement en7 tered into under this section may be modified for the pur8 pose of encouraging the sustainability of the fisheries of

9 the United States by making the termination and with10 drawal of a capital construction fund a qualified with11 drawal if done in exchange for the retirement of the re12 lated commercial fishing vessels and related commercial

13 fishing permits.’’.

14 SEC. 3. NEW QUALIFIED WITHDRAWALS.

15 (a) AMENDMENTS TO MERCHANT MARINE ACT OF

16 1936.—Section 607(f)(1) of the Merchant Marine Act of

17 1936 (46 U.S.C. App. 1177(f)(1)) is amended—

18 (1) in subparagraph (B) by striking ‘‘vessel, or’’

19 and inserting ‘‘vessel,’’;

20 (2) in subparagraph (C) by striking ‘‘vessel.’’

21 and inserting ‘‘vessel,’’; and

22 (3) by inserting after subparagraph (C) the fol23 lowing new subparagraphs:

24 ‘‘(D) the payment of an industry fee au25 thorized by the fishing capacity reduction pro26 gram, 16 U.S.C. 1861,
3

S 2960 IS

1 ‘‘(E) in the case of any such person or

2 shareholder for whose benefit such fund was es3 tablished, a rollover contribution (within the

4 meaning of section 408(d)(3) of the Internal

5 Revenue Code of 1986) to such person’s indi6 vidual retirement plan (as defined in section

7 7701(a)(37) of such Code), or

8 ‘‘(F)(i) for the payment of a corporation or

9 person terminating a capital construction fund

10 and retiring related commercial fishing vessels

11 and permits.

12 ‘‘(ii) The Secretary by regulation shall es13 tablish procedures to ensure that any person

14 making a qualified withdrawal authorized by

15 (F)(i) retires the related commercial use of fish16 ing vessels and commercial fishery permits.’’.

17 (b) AMENDMENTS TO INTERNAL REVENUE CODE OF

18 1986.—Section 7518(e)(1) of the Internal Revenue Code

19 of 1986 (relating to purposes of qualified withdrawals) is

20 amended by inserting after subparagraph (C) the fol21 lowing new subparagraphs:

22 ‘‘(D) the payment of an industry fee au23 thorized by the fishing capacity reduction pro24 gram, 16 U.S.C. 1861,
4

S 2960 IS

1 ‘‘(E) in the case of any such person or

2 shareholder for whose benefit such fund was es3 tablished, a rollover contribution (within the

4 meaning of section 408(d)(3) of the Internal

5 Revenue Code of 1986) to such person’s indi6 vidual retirement plan (as defined in section

7 7701(a)(37) of such Code), or

8 ‘‘(F)(i) for the payment of a corporation or

9 person terminating a capital construction fund

10 and retiring related commercial fishing vessels

11 and permits.

12 ‘‘(ii) The Secretary by regulation shall es13 tablish procedures to ensure that any person

14 making a qualified withdrawal authorized by

15 (F)(i) retires the related commercial use of fish16 ing vessels and commercial fishery permits.’’.

Æ