January 6, 2009 CONGRESSIONAL RECORD — SENATE S63 

of 2004, Public Law 108–357, Subchapter 

R, a ‘‘tonnage tax’’ that is based on the 

tonnage of a vessel, rather than taxing 

international income at a 35 percent 

corporate income tax rate. However, 

during the House and Senate conference, language was included, which 

states that a United States vessel cannot use the tonnage tax on international income if that vessel also operates in United States domestic commerce for more than 30 days per year. 

This 30-day limitation dramatically 

limits the availability of the tonnage 

tax for those United States ships that 

operate in both domestic and international trade and, accordingly, severely hinders their competitiveness in 

foreign commerce. It is important to 

recognize that ships operating in 

United States domestic trade already 

have significant cost disadvantages. 

Specifically, (1) they are built in higher priced United States shipyards; (2) 

do not receive Maritime Security Payments, even when operated in international trade; and (3) are owned by 

United States-based American corporations. The inability of these domestic 

operators to use the tonnage tax for 

their international service is a further, 

unnecessary burden on their competitive position in foreign commerce. 

When windows of opportunity present 

themselves in international trade, 

American tax policy and maritime policy should facilitate the participation 

of these American-built ships. Instead, 

the 30-day limit makes them ineligible 

to use the tonnage tax, and further 

handicaps American vessels when competing for international cargo. Denying 

the tonnage tax to coastwise qualified 

ships further stymies the operation of 

American built ships in international 

commerce, and further exacerbates 

America’s 97 percent reliance on foreign ships to carry its international 

cargo. 

These concerns were of sufficient importance that in December 2006 Congress repealed the 30-day limit on domestic trading but only for approximately 50 ships operating in the Great 

Lakes. These ships primarily operate 

in domestic trade on the Great Lakes, 

but also carry cargo between the 

United States and Canada in international trade (Section 415 of P.L. 109– 

432, the Tax Relief and Health Care Act 

of 2006.) 

The identifiable universe of remaining ships other than the Great Lakes 

ships that operate in domestic trade, 

but that may also operate temporarily 

in international trade, totals 13 United 

States flag vessels. These 13 ships normally operate in domestic trades that 

involve Washington, Oregon, California, Hawaii, Alaska, Florida, Mississippi, and Louisiana. In the interest 

of providing equity to the United 

States corporations that own and operate these 13 vessels, my bill would repeal the tonnage tax 30-day limit on 

domestic operations and enable these 

vessels to utilize the tonnage tax on 

their international income—so they receive the same treatment as other 

United States flag international operators. I stress that, under my bill, these 

ships will continue to pay the normal 

35 percent United States corporate tax 

rate on their domestic income. 

Repeal of the tonnage tax’s 30-day 

limit on domestic operations is a necessary step toward providing tax equity between United States flag and 

foreign flag vessels. I strongly urge the 

tax committees of the Congress to give 

this legislation their expedited consideration and approval. 

Mr. President, I ask unanimous consent that the text of the bill be printed 

in the RECORD. 

There being no objection, the text of 

the bill was ordered to be printed in 

the RECORD, as follows: 

S. 58 

Be it enacted by the Senate and House of Representatives of the United States of America in 

Congress assembled, 

SECTION 1. MODIFICATION OF THE APPLICATION 

OF THE TONNAGE TAX ON VESSELS 

OPERATING IN THE DUAL UNITED 

STATES DOMESTIC AND FOREIGN 

TRADES. 

(a) IN GENERAL.—Subsection (f) of section 

1355 of the Internal Revenue Code of 1986 (relating to definitions and special rules) is 

amended to read as follows: 

‘‘(f) EFFECT OF OPERATING A QUALIFYING

VESSEL IN THE DUAL UNITED STATES DOMESTIC AND FOREIGN TRADES.—For purposes of 

this subchapter— 

‘‘(1) an electing corporation shall be treated as continuing to use a qualifying vessel in 

the United States foreign trade during any 

period of use in the United States domestic 

trade, and 

‘‘(2) gross income from such United States 

domestic trade shall not be excluded under 

section 1357(a), but shall not be taken into 

account for purposes of section 1353(b)(1)(B) 

or for purposes of section 1356 in connection 

with the application of section 1357 or 1358.’’. 

(b) REGULATORY AUTHORITY FOR ALLOCATION OF CREDITS, INCOME, AND DEDUCTIONS.— 

Section 1358 of the Internal Revenue Code of 

1986 (relating to allocation of credits, income, and deductions) is amended— 

(1) by striking ‘‘in accordance with this 

subsection’’ in subsection (c) and inserting 

‘‘to the extent provided in such regulations 

as may be prescribed by the Secretary’’, and 

(2) by adding at the end the following new 

subsection: 

‘‘(d) REGULATIONS.—The Secretary shall 

prescribe regulations consistent with the 

provisions of this subchapter for the purpose 

of allocating gross income, deductions, and 

credits between or among qualifying shipping activities and other activities of a taxpayer.’’. 

(c) CONFORMING AMENDMENTS.— 

(1) Section 1355(a)(4) of the Internal Revenue Code of 1986 is amended by striking ‘‘exclusively’’. 

(2) Section 1355(b)(1)(B) of such Code is 

amended by striking ‘‘as a qualifying vessel’’ 

and inserting ‘‘in the transportation of goods 

or passengers’’. 

(d) EFFECTIVE DATE.—The amendments 

made by this section shall apply to taxable 

years beginning after the date of the enactment of this Act. 

By Mr. INOUYE: 

S. 59. A bill to amend title VII of the 

Public Health Service Act to make certain graduate programs in professional 

psychology eligible to participate in 

various health professions loan programs; to the Committee on Health, 

Education, Labor, and Pensions. 

Mr. INOUYE. Mr. President, I rise 

again today to reintroduce legislation 

to modify Title VII of the U.S. Public 

Health Service Act in order to provide 

students enrolled in graduate psychology programs with the opportunity 

to participate in various health professions loan programs. 

Providing students enrolled in graduate psychology programs with eligibility for financial assistance in the 

form of loans, loan guarantees, and 

scholarships will facilitate a muchneeded infusion of behavioral science 

expertise into our community of public 

health providers. There is a growing 

recognition of the valuable contribution being made by psychologists toward solving some of our Nation’s most 

distressing problems. 

The participation of students from 

all backgrounds and clinical disciplines 

is vital to the success of health care 

training. The Title VII programs plays 

a significant role in providing financial 

support for the recruitment of minorities, women, and individuals from economically disadvantaged backgrounds. 

Minority therapists have an advantage 

in the provision of critical services to 

minority populations because often 

they can communicate with clients in 

their own language and cultural framework. Minority therapists are more 

likely to work in community settings 

where ethnic minority and economically disadvantaged individuals are 

most likely to seek care. It is critical 

that continued support be provided for 

the training of individuals who provide 

health care services to underserved 

communities. 

Mr. President, I ask unanimous consent that the text of the bill be printed 

in the RECORD. 

There being no objection, the text of 

the bill was ordered to be printed in 

the RECORD, as follows: 

S. 59 

Be it enacted by the Senate and House of Representatives of the United States of America in 

Congress assembled, 

SECTION 1. SHORT TITLE. 

This Act may be cited as the ‘‘Strengthen 

the Public Health Service Act’’. 

SEC. 2. PARTICIPATION IN VARIOUS HEALTH 

PROFESSIONS LOAN PROGRAMS. 

(a) LOAN AGREEMENTS.—Section 721 of the 

Public Health Service Act (42 U.S.C. 292q) is 

amended— 

(1) in subsection (a), by inserting ‘‘, or any 

public or nonprofit school that offers a graduate program in professional psychology’’ 

after ‘‘veterinary medicine’’; 

(2) in subsection (b)(4), by inserting ‘‘, or to 

a graduate degree in professional psychology’’ after ‘‘or doctor of veterinary medicine or an equivalent degree’’; and 

(3) in subsection (c)(1), by inserting ‘‘, or 

schools that offer graduate programs in professional psychology’’ after ‘‘veterinary medicine’’. 

(b) LOAN PROVISIONS.—Section 722 of the 

Public Health Service Act (42 U.S.C. 292r) is 

amended— 

(1) in subsection (b)(1), by inserting ‘‘, or to 

a graduate degree in professional psychology’’ after ‘‘or doctor of veterinary medicine or an equivalent degree’’; 


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S64 CONGRESSIONAL RECORD — SENATE January 6, 2009 

(2) in subsection (c), in the matter preceding paragraph (1), by inserting ‘‘, or at a 

school that offers a graduate program in professional psychology’’ after ‘‘veterinary medicine’’; and 

(3) in subsection (k)— 

(A) in the matter preceding paragraph (1), 

by striking ‘‘or podiatry’’ and inserting ‘‘podiatry, or professional psychology’’; and 

(B) in paragraph (4), by striking ‘‘or 

podiatric medicine’’ and inserting ‘‘podiatric 

medicine, or professional psychology’’. 

SEC. 3. GENERAL PROVISIONS. 

(a) HEALTH PROFESSIONS DATA.—Section 

792(a) of the Public Health Service Act (42 

U.S.C. 295k(a)) is amended by striking ‘‘clinical’’ and inserting ‘‘professional’’. 

(b) PROHIBITION AGAINST DISCRIMINATION ON

BASIS OF SEX.—Section 794 of the Public 

Health Service Act (42 U.S.C. 295m) is 

amended in the matter preceding paragraph 

(1) by striking ‘‘clinical’’ and inserting ‘‘professional’’. 

(c) DEFINITIONS.—Section 799B(1)(B) of the 

Public Health Service Act (42 U.S.C. 

295p(1)(B)) is amended by striking ‘‘clinical’’ 

each place the term appears and inserting 

‘‘professional’’. 

By Mrs. FEINSTEIN (for herself, 

Mr. SCHUMER, Ms. SNOWE, and 

Mrs. BOXER): 

S. 60. A bill to prohibit the sale and 

counterfeiting of Presidential inaugural tickets; to the Committee on 

Rules and Administration. 

Mrs. FEINSTEIN. Mr. President, I 

am pleased to join Senators SCHUMER, 

SNOWE, and BOXER in introducing legislation to prohibit the selling and counterfeiting of tickets to the Presidential 

inaugural ceremony. 

The inauguration of the President of 

the United States is one of the most 

important rituals of our democracy, 

and the chance to witness this solemn 

event should not be bought and sold 

similar to tickets to a sporting event. 

This is a dignified and critical moment of transition in Government, a 

moment of which Americans have always been justifiably proud. It is, in 

fact, the major symbol of the real 

strength of our democracy—the peaceful transition from one elected President to the next. 

Tickets to the official Presidential 

inaugural ceremony are supposed to be 

free for the people: for the volunteers 

who gave up their weekends, walking 

miles door to door to encourage voters 

to turn out at the polls on election 

day, for members of the African-American community to see one of their own 

take the oath of office for the highest 

office in the land, for schoolchildren to 

witness history, and for the American 

public to watch this affirmation of our 

Constitution, this peaceful transition 

from one administration to another. 

This is going to be the major civic 

event of our time. Excitement is at an 

all time high, and every one of us has 

received more phone calls for tickets 

than we could possibly ever meet. People are desperate to become part of it, 

to touch it, to be around, to feel it, to 

listen to it, and they are coming from 

all over the country. We could have 

more than 1.5 million people descend 

on the Nation’s Capital for this inauguration. 

Before I introduced a similar bill at 

the end of the last Congress, tickets to 

the Presidential inaugural were being 

offered for sale on the Internet for 

$5,000 apiece, with some going as high 

as $40,000 each. To their credit, some 

Internet websites voluntarily agreed to 

refuse to sell these tickets online. I 

want to thank and commend Craigslist, 

eBay, and StubHub for leading the way 

on this issue. 

However, it is clear that relying on 

voluntary industry compliance to prevent the sale of these tickets is simply 

not enough. Today, some Internet sites 

are still offering these tickets for sale 

at prices up to $750 per ticket. 

Let me be clear—these are free tickets that have not yet been distributed 

by congressional and Presidential transition offices. These unscrupulous 

websites who continue to offer these 

tickets for sale do not have any tickets 

to offer for sale. 

These tickets are supposed to be free 

for the people. Once more, these tickets are not yet even available. They 

will not be distributed to congressional 

offices until the end of the week before 

the inauguration. Even then the offices 

will require in-person pickup, with secure identification. But they will be 

free and they should stay that way. 

We are asking people to pick up their 

tickets the day before the inauguration 

in my office. Everyone will submit 

their name, their address, and their 

driver’s license. They will have to 

verify they are the actual person who 

has tickets waiting for them. I believe 

this kind of procedure deters unscrupulous people from selling these tickets 

on the Internet. No websites or other 

ticket outlets have inaugural swearingin tickets to sell, despite what some of 

them claim. 

Congress has the responsibility of 

overseeing this historic event. This bill 

will ensure that these tickets are not 

sold to the highest bidder, and that the 

inauguration has all the respect and 

dignity it deserves. 

This legislation is aimed at stopping 

those who seek to profit by selling 

these tickets. It would also target 

those who seek to dupe the public with 

fraudulent or counterfeit tickets or 

those who merely promise but can’t deliver on tickets that they do not actually have. 

Those who violate the law under this 

legislation would face a class A misdemeanor with a substantial fine, imprisonment of up to 1 year, or both. 

The bill also exempts official Presidential Inaugural Committees, and 

there is good reason for this. Presidential Inaugural Committees are used 

to organize and fund the public inaugural ceremonies. Donations made in 

return for inaugural tickets have long 

been used by both political parts to 

fund the Presidential inaugural festivities. 

Unlike unscrupulous websites and 

ticket scalpers, there is no ‘‘profit’’ 

made by Presidential Inaugural Committees in giving these tickets to people in return for inaugural donations. 

This exemption will allow both parties 

to raise the needed funds to put on 

Presidential inaugurals in the future. 

It is my hope that Congress will pass 

this legislation quickly, before President-elect Obama’s inauguration on 

January 20th. I think it is very important to establish once and for all that 

tickets to the inauguration of the next 

President of the United States are not 

issues of commerce, but rather free 

tickets to be given to the people. 

So I hope that this week this legislation can pass unanimously on a hotline 

by this body. 

Mr. President, I ask unanimous consent that the text of the bill be printed 

in the RECORD. 

There being no objection, the text of 

the bill was ordered to be printed in 

the RECORD, as follows: 

S. 60 

Be it enacted by the Senate and House of Representatives of the United States of America in 

Congress assembled, 

SECTION 1. PROHIBITION ON SALE AND COUNTERFEITING OF INAUGURAL TICKETS. 

(a) IN GENERAL.—Chapter 25 of title 18, 

United States Code, is amended by adding at 

the end the following 

‘‘§ 515. Prohibition on sale and counterfeiting 

of inaugural tickets 

‘‘(a) IN GENERAL.—It shall be unlawful for 

any person to— 

‘‘(1) except as provided in subsection (b), 

knowingly and willfully sell for money or 

property, or facilitate the sale for money or 

property of, a ticket to a Presidential inaugural ceremony; 

‘‘(2) with the intent to defraud, falsely 

make, forge, counterfeit, or falsely alter a 

ticket to a Presidential inaugural ceremony; 

or 

‘‘(3) with the intent to defraud, use, unlawfully possess, or exhibit a ticket to a Presidential inaugural ceremony, knowing the 

ticket to be falsely made, forged, counterfeited, or falsely altered. 

‘‘(b) EXCEPTION.—This section shall not 

apply to the sale for money or property, facilitation of such a sale, or attempt of such 

a sale, of a ticket to a Presidential inaugural 

ceremony— 

‘‘(1) that occurs after the date on which the 

Presidential inaugural ceremony for which 

the ticket was issued occurs; or 

‘‘(2) by an official presidential inaugural 

committee established on behalf of a President elect of the United States. 

‘‘(c) PENALTY.—Whoever violates subsection (a) shall be fined under this title, imprisoned not more than 1 year, or both. 

‘‘(d) DEFINITION.—In this section, the term 

‘Presidential inaugural ceremony’ means a 

public inaugural ceremony at which the 

President elect or the Vice President elect 

take the oath or affirmation of office for the 

office of President of the United States or 

the office of Vice President of the United 

States, respectively.’’. 

(b) AMENDMENT TO CHAPTER ANALYSIS.— 

The chapter analysis for chapter 25 of title 

18, United States Code, is amended by inserting at the end the following: 

‘‘515. Prohibition on sale and counterfeiting 

of inaugural tickets.’’. 

By Mr. DURBIN (for himself, 

Mrs. BOXER, Mrs. FEINSTEIN, 

Mr. HARKIN, Mr. SCHUMER, and 

Mr. WHITEHOUSE): 


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