January 6, 2009 CONGRESSIONAL RECORD — SENATE S123 

TITLE II—ABANDONED MINE CLEANUP 

FUND 

SEC. 201. ESTABLISHMENT OF FUND. 

(a) ESTABLISHMENT.—There is established 

on the books of the Treasury of the United 

States a separate account to be known as the 

Abandoned Mine Cleanup Fund (hereinafter 

in this title referred to as the ‘‘Fund’’). 

(b) INVESTMENT.—The Secretary shall notify the Secretary of the Treasury as to what 

portion of the Fund is not, in the Secretary’s 

judgment, required to meet current withdrawals. The Secretary of the Treasury shall 

invest such portion of the Fund in public 

debt securities with maturities suitable for 

the needs of such Fund and bearing interest 

at rates determined by the Secretary of the 

Treasury, taking into consideration current 

market yields on outstanding marketplace 

obligations of the United States of comparable maturities. 

SEC. 202. CONTENTS OF FUND. 

The following amounts shall be credited to 

the Fund: 

(1) All donations by persons, corporations, 

associations, and foundations for the purposes of this title. 

(2) All amounts deposited in the Fund 

under section 101 (relating to royalties and 

penalties for underreporting). 

(3) All amounts received by the United 

States pursuant to section 102 as claim 

maintenance, location, and transfer fees 

minus the moneys allocated for administration of the mining laws by the Department 

of the Interior. 

(4) All amounts received by the Secretary 

in accordance with section 103(a). 

(5) All income on investments under section 201(b). 

SEC. 203. USE AND OBJECTIVES OF THE FUND. 

(a) IN GENERAL.—The Secretary is authorized, without further appropriation, to use 

moneys in the Fund for the reclamation and 

restoration of land and water resources adversely affected by past mineral activities on 

lands the legal and beneficial title to which 

resides in the United States, land within the 

exterior boundary of any national forest system unit, or other lands described in subsection (d), including any of the following: 

(1) Protecting public health and safety. 

(2) Preventing, abating, treating, and controlling water pollution created by abandoned mine drainage, including in river watershed areas. 

(3) Reclaiming and restoring abandoned 

surface and underground mined areas. 

(4) Reclaiming and restoring abandoned 

milling and processing areas. 

(5) Backfilling, sealing, or otherwise controlling, abandoned underground mine entries. 

(6) Revegetating land adversely affected by 

past mineral activities in order to prevent 

erosion and sedimentation, to enhance wildlife habitat, and for any other reclamation 

purpose. 

(7) Controlling of surface subsidence due to 

abandoned underground mines. 

(b) ALLOCATION.—Expenditures of moneys 

from the Fund shall reflect the following priorities in the order stated: 

(1) The protection of public health and 

safety, from extreme danger from the adverse effects of past mineral activities, especially as relates to surface water and groundwater contaminants. 

(2) The protection of public health and 

safety, from the adverse effects of past mineral activities. 

(3) The restoration of land, water, and fish 

and wildlife resources previously degraded 

by the adverse effects of past mineral activities, which may include restoration activities in river watershed areas. 

(c) HABITAT.—Reclamation and restoration 

activities under this title, particularly those 

identified under subsection (a)(4), shall include appropriate mitigation measures to 

provide for the continuation of any established habitat for wildlife in existence prior 

to the commencement of such activities. 

(d) OTHER AFFECTED LANDS.—Where mineral exploration, mining, beneficiation, processing, or reclamation activities have been 

carried out with respect to any mineral 

which would be a locatable mineral if the 

legal and beneficial title to the mineral were 

in the United States, if such activities directly affect lands managed by the Bureau of 

Land Management as well as other lands and 

if the legal and beneficial title to more than 

50 percent of the affected lands resides in the 

United States, the Secretary is authorized, 

subject to appropriations, to use moneys in 

the Fund for reclamation and restoration 

under subsection (a) for all directly affected 

lands. 

(e) RESPONSE OR REMOVAL ACTIONS.—Reclamation and restoration activities under 

this title which constitute a removal or remedial action under section 101 of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 

U.S.C. 9601), shall be conducted with the concurrence of the Administrator of the Environmental Protection Agency. The Secretary 

and the Administrator shall enter into a 

Memorandum of Understanding to establish 

procedures for consultation, concurrence, 

training, exchange of technical expertise and 

joint activities under the appropriate circumstances, that provide assurances that 

reclamation or restoration activities under 

this title shall not be conducted in a manner 

that increases the costs or likelihood of removal or remedial actions under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 

U.S.C. 9601 et seq.), and that avoid oversight 

by multiple agencies to the maximum extent 

practicable. 

SEC. 204. ELIGIBLE LANDS AND WATERS. 

(a) ELIGIBILITY.—Reclamation expenditures 

under this title may be made with respect to 

Federal, State, local, tribal, and private land 

or water resources that traverse or are contiguous to Federal, State, local, tribal, or 

private land where such lands or water resources have been affected by past mineral 

activities, including any of the following: 

(1) Lands and water resources which were 

used for, or affected by, mineral activities 

and abandoned or left in an inadequate reclamation status before the effective date of 

this Act. 

(2) Lands for which the Secretary makes a 

determination that there is no continuing 

reclamation responsibility of a claim holder, 

operator, or other person who abandoned the 

site prior to completion of required reclamation under State or other Federal laws. 

(b) SPECIFIC SITES AND AREAS NOT ELIGIBLE.—The provisions of section 411(d) of the 

Surface Mining Control and Reclamation 

Act of 1977 (30 U.S.C. 1240a(d)) shall apply to 

expenditures made from the Fund. 

(c) INVENTORY.— 

(1) IN GENERAL.—The Secretary shall prepare and maintain a publicly available inventory of abandoned locatable minerals 

mines on public lands and any abandoned 

mine on Indian lands that may be eligible for 

expenditures under this title, and shall deliver a yearly report to the Congress on the 

progress in cleanup of such sites. 

(2) PRIORITY.—In preparing and maintaining the inventory described in paragraph (1), 

the Secretary shall give priority to abandoned locatable minerals mines in accordance with section 203(b). 

(3) PERIODIC UPDATES.—Not later than 5 

years after the date of enactment of this 

Act, and every 5 years thereafter, the Secretary shall update the inventory described 

in paragraph (1). 

SEC. 205. EXPENDITURES. 

Moneys available from the Fund may be 

expended for the purposes specified in section 203 directly by the Director of the Office 

of Surface Mining Reclamation and Enforcement. The Director may also make such 

money available for such purposes to the Director of the Bureau of Land Management, 

the Chief of the United States Forest Service, the Director of the National Park Service, or Director of the United States Fish 

and Wildlife Service, to any other agency of 

the United States, to an Indian tribe, or to 

any public entity that volunteers to develop 

and implement, and that has the ability to 

carry out, all or a significant portion of a 

reclamation program under this title. 

SEC. 206. AVAILABILITY OF AMOUNTS. 

Amounts credited to the Fund shall— 

(1) be available, without further appropriation, for obligation and expenditure; and 

(2) remain available until expended. 

TITLE III—EFFECTIVE DATE 

SEC. 301. EFFECTIVE DATE. 

This Act shall take effect on the date of 

enactment of this Act, except as otherwise 

provided in this Act. 

By Mrs. FEINSTEIN (for herself, 

Mr. GREGG, and Ms. SNOWE): 

S. 141. A bill to amend title 18, 

United States Code, to limit the misuse 

of Social Security numbers, to establish criminal penalties for such misuse, 

and for other purposes; to the Committee on the Judiciary. 

Mrs. FEINSTEIN. Mr. President, I 

am pleased to introduce legislation to 

protect one of Americans’ most valuable but vulnerable assets: Social Security numbers. 

The bill I am introducing today aims 

to protect individual privacy and prevent identity theft by eliminating the 

unnecessary use and display of Social 

Security numbers. 

I have been working since the 106th 

Congress to safeguard Social Security 

numbers. I believe that the widespread 

display and use of these numbers poses 

a significant, and entirely preventable 

threat to personal privacy. 

In 1935, Congress authorized the Social Security Administration to issue 

Social Security numbers as part of the 

Social Security program. Since that 

time, Social Security numbers have become the best-known and easiest way 

to identify individuals in the United 

States. 

Use of these numbers has expanded 

well beyond their original purpose. Social Security numbers are now used for 

everything from credit checks to rental 

agreements to employment 

verifications, among other purposes. 

They can be found in privately held 

databases and on public records—including marriage licenses, professional 

certifications, and countless other public documents—many of which are 

available on the Internet. 

Once accessed, the numbers act like 

keys—allowing thieves to open credit 

card and bank accounts and even begin 

applying for government benefits. 

According to the Federal Trade Commission, as many as 10 million Americans have their identities stolen by 


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such thieves each year—at a combined 

cost of billions of dollars. 

What’s worse, victims often do not 

realize that a theft has occurred until 

much later, when they learn that their 

credit has been destroyed by unpaid 

debt on fraudulently opened accounts. 

One thief stole a retired Army captain’s military identification card and 

used his Social Security number, listed 

on the card, to go on a 6-month, 

$260,000 shopping spree. By the time the 

Army captain realized what had happened, the thief had opened more than 

60 fraudulent accounts. 

A single mother of two went to file 

her taxes and learned that a fraudulent 

return had already been filed in her 

name by someone else—a thief who 

wanted her refund check. 

A former pro-football player received 

a phone call notifying him that a $1 

million home mortgage loan had been 

approved in his name even though he 

had never applied for such a loan. 

Identity theft is serious. Once an individual’s identity is stolen, people are 

often subjected to countless hours and 

costs attempting to regain their good 

name and credit. In 2004, victims spent 

an average of 300 hours recovering from 

the crime. The crime disrupts lives and 

can destroy finances. 

It also hurts business. A 2006 online 

survey by the Business Software Alliance and Harris Interactive found that 

nearly 30 percent of adults decided to 

shop online less or not at all during the 

holiday season because of fears about 

identity theft. 

When people’s identities are stolen, 

they often do not know how the thieves 

obtained their personal information. 

Social security numbers and other key 

identifying data are displayed and used 

in such a widespread manner that individuals could not successfully restrict 

access themselves. 

Comprehensive limitations on the 

display of Social Security numbers are 

critically needed. 

The U.S. Government Accountability 

Office conducted studies of this problem in 2002 and 2007. Both times—in 

studies entitled ‘‘Social Security numbers Are Widely Used by Government 

and Could Be Better Protected’’ and 

‘‘Social Security numbers: Use Is Widespread and Could Be Improved’’—the 

GAO concluded that current protections are insufficient and that serious 

vulnerabilities remain. 

The Protecting the Privacy of Social 

Security Numbers Act would require 

government agencies and businesses to 

do more to protect Americans’ Social 

Security numbers. The bill would stop 

the sale or display of a person’s Social 

Security number without his or her express consent; prevent Federal, State 

and local governments from displaying 

Social Security numbers on public 

records posted on the Internet; prohibit 

the printing of Social Security numbers on government checks; prohibit 

the employing of inmates for tasks 

that give them access to the Social Security numbers of other individuals; 

limit the circumstances in which businesses could ask a customer for his or 

her Social Security number; commission a study by the Attorney General 

regarding the current uses of Social Security numbers and the impact on privacy and data security; and institute 

criminal and civil penalties for misuse 

of Social Security numbers. 

This legislation is simple. It is also 

critical to stopping the growing epidemic of identity theft that has been 

plaguing America and its citizens. 

As the President’s Identity Theft 

Task Force reported last year, 

‘‘[i]dentity theft depends on access to 

. . . data. Reducing the opportunities 

for thieves to get the data is critical to 

fighting the crime.’’ 

Every agency to study this problem 

has agreed that the problem will continue to grow over time and that action is needed. 

I urge my colleagues to support the 

Protecting the Privacy of Social Security Numbers Act. 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. 141 

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

Congress assembled, 

SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

(a) SHORT TITLE.—This Act may be cited as 

the ‘‘Protecting the Privacy of Social Security Numbers Act’’. 

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

Sec. 1. Short title; table of contents. 

Sec. 2. Findings. 

Sec. 3. Prohibition of the display, sale, or 

purchase of Social Security 

numbers. 

Sec. 4. Application of prohibition of the display, sale, or purchase of Social 

Security numbers to public 

records. 

Sec. 5. Rulemaking authority of the Attorney General. 

Sec. 6. Treatment of Social Security numbers on government documents. 

Sec. 7. Limits on personal disclosure of a Social Security number for consumer transactions. 

Sec. 8. Extension of civil monetary penalties 

for misuse of a Social Security 

number. 

Sec. 9. Criminal penalties for the misuse of 

a Social Security number. 

Sec. 10. Civil actions and civil penalties. 

Sec. 11. Federal injunctive authority. 

SEC. 2. FINDINGS. 

Congress makes the following findings: 

(1) The inappropriate display, sale, or purchase of Social Security numbers has contributed to a growing range of illegal activities, including fraud, identity theft, and, in 

some cases, stalking and other violent 

crimes. 

(2) While financial institutions, health care 

providers, and other entities have often used 

Social Security numbers to confirm the 

identity of an individual, the general display 

to the public, sale, or purchase of these numbers has been used to commit crimes, and 

also can result in serious invasions of individual privacy. 

(3) The Federal Government requires virtually every individual in the United States 

to obtain and maintain a Social Security 

number in order to pay taxes, to qualify for 

Social Security benefits, or to seek employment. An unintended consequence of these 

requirements is that Social Security numbers have become one of the tools that can 

be used to facilitate crime, fraud, and invasions of the privacy of the individuals to 

whom the numbers are assigned. Because the 

Federal Government created and maintains 

this system, and because the Federal Government does not permit individuals to exempt themselves from those requirements, it 

is appropriate for the Federal Government to 

take steps to stem the abuse of Social Security numbers. 

(4) The display, sale, or purchase of Social 

Security numbers in no way facilitates uninhibited, robust, and wide-open public debate, 

and restrictions on such display, sale, or purchase would not affect public debate. 

(5) No one should seek to profit from the 

display, sale, or purchase of Social Security 

numbers in circumstances that create a substantial risk of physical, emotional, or financial harm to the individuals to whom those 

numbers are assigned. 

(6) Consequently, this Act provides each individual that has been assigned a Social Security number some degree of protection 

from the display, sale, and purchase of that 

number in any circumstance that might facilitate unlawful conduct. 

SEC. 3. PROHIBITION OF THE DISPLAY, SALE, OR 

PURCHASE OF SOCIAL SECURITY 

NUMBERS. 

(a) PROHIBITION.— 

(1) IN GENERAL.—Chapter 47 of title 18, 

United States Code, is amended by inserting 

after section 1028A the following: 

‘‘§ 1028B. Prohibition of the display, sale, or 

purchase of Social Security numbers 

‘‘(a) DEFINITIONS.—In this section: 

‘‘(1) DISPLAY.—The term ‘display’ means to 

intentionally communicate or otherwise 

make available (on the Internet or in any 

other manner) to the general public an individual’s Social Security number. 

‘‘(2) PERSON.—The term ‘person’ means any 

individual, partnership, corporation, trust, 

estate, cooperative, association, or any other 

entity. 

‘‘(3) PURCHASE.—The term ‘purchase’ 

means providing directly or indirectly, anything of value in exchange for a Social Security number. 

‘‘(4) SALE.—The term ‘sale’ means obtaining, directly or indirectly, anything of value 

in exchange for a Social Security number. 

‘‘(5) STATE.—The term ‘State’ means any 

State of the United States, the District of 

Columbia, Puerto Rico, the Northern Mariana Islands, the United States Virgin Islands, Guam, American Samoa, and any territory or possession of the United States. 

‘‘(b) LIMITATION ON DISPLAY.—Except as 

provided in section 1028C, no person may display any individual’s Social Security number to the general public without the affirmatively expressed consent of the individual. 

‘‘(c) LIMITATION ON SALE OR PURCHASE.— 

Except as otherwise provided in this section, 

no person may sell or purchase any individual’s Social Security number without the affirmatively expressed consent of the individual. 

‘‘(d) PREREQUISITES FOR CONSENT.—In order 

for consent to exist under subsection (b) or 

(c), the person displaying or seeking to display, selling or attempting to sell, or purchasing or attempting to purchase, an individual’s Social Security number shall— 

‘‘(1) inform the individual of the general 

purpose for which the number will be used, 

the types of persons to whom the number 

may be available, and the scope of transactions permitted by the consent; and 


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‘‘(2) obtain the affirmatively expressed 

consent (electronically or in writing) of the 

individual. 

‘‘(e) EXCEPTIONS.—Nothing in this section 

shall be construed to prohibit or limit the 

display, sale, or purchase of a Social Security number— 

‘‘(1) required, authorized, or excepted 

under any Federal law; 

‘‘(2) for a public health purpose, including 

the protection of the health or safety of an 

individual in an emergency situation; 

‘‘(3) for a national security purpose; 

‘‘(4) for a law enforcement purpose, including the investigation of fraud and the enforcement of a child support obligation; 

‘‘(5) if the display, sale, or purchase of the 

number is for a use occurring as a result of 

an interaction between businesses, governments, or business and government (regardless of which entity initiates the interaction), including, but not limited to— 

‘‘(A) the prevention of fraud (including 

fraud in protecting an employee’s right to 

employment benefits); 

‘‘(B) the facilitation of credit checks or the 

facilitation of background checks of employees, prospective employees, or volunteers; 

‘‘(C) the retrieval of other information 

from other businesses, commercial enterprises, government entities, or private nonprofit organizations; or 

‘‘(D) when the transmission of the number 

is incidental to, and in the course of, the 

sale, lease, franchising, or merger of all, or a 

portion of, a business; 

‘‘(6) if the transfer of such a number is part 

of a data matching program involving a Federal, State, or local agency; or 

‘‘(7) if such number is required to be submitted as part of the process for applying for 

any type of Federal, State, or local government benefit or program; 

except that, nothing in this subsection shall 

be construed as permitting a professional or 

commercial user to display or sell a Social 

Security number to the general public. 

‘‘(f) LIMITATION.—Nothing in this section 

shall prohibit or limit the display, sale, or 

purchase of Social Security numbers as permitted under title V of the Gramm-LeachBliley Act, or for the purpose of affiliate 

sharing as permitted under the Fair Credit 

Reporting Act, except that no entity regulated under such Acts may make Social Security numbers available to the general public, as may be determined by the appropriate 

regulators under such Acts. For purposes of 

this subsection, the general public shall not 

include affiliates or unaffiliated third-party 

business entities as may be defined by the 

appropriate regulators.’’. 

(2) CONFORMING AMENDMENT.—The chapter 

analysis for chapter 47 of title 18, United 

States Code, is amended by inserting after 

the item relating to section 1028 the following: 

‘‘1028B. Prohibition of the display, sale, or 

purchase of Social Security 

numbers.’’. 

(b) STUDY; REPORT.— 

(1) IN GENERAL.—The Attorney General 

shall conduct a study and prepare a report on 

all of the uses of Social Security numbers 

permitted, required, authorized, or excepted 

under any Federal law. The report shall include a detailed description of the uses allowed as of the date of enactment of this 

Act, the impact of such uses on privacy and 

data security, and shall evaluate whether 

such uses should be continued or discontinued by appropriate legislative action. 

(2) REPORT.—Not later than 1 year after 

the date of enactment of this Act, the Attorney General shall report to Congress findings 

under this subsection. The report shall include such recommendations for legislation 

based on criteria the Attorney General determines to be appropriate. 

(c) EFFECTIVE DATE.—The amendments 

made by this section shall take effect on the 

date that is 30 days after the date on which 

the final regulations promulgated under section 5 are published in the Federal Register. 

SEC. 4. APPLICATION OF PROHIBITION OF THE 

DISPLAY, SALE, OR PURCHASE OF 

SOCIAL SECURITY NUMBERS TO 

PUBLIC RECORDS. 

(a) PUBLIC RECORDS EXCEPTION.— 

(1) IN GENERAL.—Chapter 47 of title 18, 

United States Code (as amended by section 

3(a)(1)), is amended by inserting after section 

1028B the following: 

‘‘§ 1028C. Display, sale, or purchase of public 

records containing Social Security numbers 

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

‘public record’ means any governmental 

record that is made available to the general 

public. 

‘‘(b) IN GENERAL.—Except as provided in 

subsections (c), (d), and (e), section 1028B 

shall not apply to a public record. 

‘‘(c) PUBLIC RECORDS ON THE INTERNET OR IN

AN ELECTRONIC MEDIUM.— 

‘‘(1) IN GENERAL.—Section 1028B shall apply 

to any public record first posted onto the 

Internet or provided in an electronic medium 

by, or on behalf of a government entity after 

the date of enactment of this section, except 

as limited by the Attorney General in accordance with paragraph (2). 

‘‘(2) EXCEPTION FOR GOVERNMENT ENTITIES

ALREADY PLACING PUBLIC RECORDS ON THE

INTERNET OR IN ELECTRONIC FORM.—Not later 

than 60 days after the date of enactment of 

this section, the Attorney General shall 

issue regulations regarding the applicability 

of section 1028B to any record of a category 

of public records first posted onto the Internet or provided in an electronic medium by, 

or on behalf of a government entity prior to 

the date of enactment of this section. The 

regulations will determine which individual 

records within categories of records of these 

government entities, if any, may continue to 

be posted on the Internet or in electronic 

form after the effective date of this section. 

In promulgating these regulations, the Attorney General may include in the regulations a set of procedures for implementing 

the regulations and shall consider the following: 

‘‘(A) The cost and availability of technology available to a governmental entity to 

redact Social Security numbers from public 

records first provided in electronic form 

after the effective date of this section. 

‘‘(B) The cost or burden to the general public, businesses, commercial enterprises, nonprofit organizations, and to Federal, State, 

and local governments of complying with 

section 1028B with respect to such records. 

‘‘(C) The benefit to the general public, 

businesses, commercial enterprises, nonprofit organizations, and to Federal, State, 

and local governments if the Attorney General were to determine that section 1028B 

should apply to such records. 

Nothing in the regulation shall permit a public entity to post a category of public records 

on the Internet or in electronic form after 

the effective date of this section if such category had not been placed on the Internet or 

in electronic form prior to such effective 

date. 

‘‘(d) HARVESTED SOCIAL SECURITY NUMBERS.—Section 1028B shall apply to any public record of a government entity which contains Social Security numbers extracted 

from other public records for the purpose of 

displaying or selling such numbers to the 

general public. 

‘‘(e) ATTORNEY GENERAL RULEMAKING ON

PAPER RECORDS.— 

‘‘(1) IN GENERAL.—Not later than 60 days 

after the date of enactment of this section, 

the Attorney General shall determine the 

feasibility and advisability of applying section 1028B to the records listed in paragraph 

(2) when they appear on paper or on another 

nonelectronic medium. If the Attorney General deems it appropriate, the Attorney General may issue regulations applying section 

1028B to such records. 

‘‘(2) LIST OF PAPER AND OTHER NONELECTRONIC RECORDS.—The records listed in this 

paragraph are as follows: 

‘‘(A) Professional or occupational licenses. 

‘‘(B) Marriage licenses. 

‘‘(C) Birth certificates. 

‘‘(D) Death certificates. 

‘‘(E) Other short public documents that 

display a Social Security number in a routine and consistent manner on the face of 

the document. 

‘‘(3) CRITERIA FOR ATTORNEY GENERAL REVIEW.—In determining whether section 1028B 

should apply to the records listed in paragraph (2), the Attorney General shall consider the following: 

‘‘(A) The cost or burden to the general public, businesses, commercial enterprises, nonprofit organizations, and to Federal, State, 

and local governments of complying with 

section 1028B. 

‘‘(B) The benefit to the general public, 

businesses, commercial enterprises, nonprofit organizations, and to Federal, State, 

and local governments if the Attorney General were to determine that section 1028B 

should apply to such records.’’. 

(2) CONFORMING AMENDMENT.—The chapter 

analysis for chapter 47 of title 18, United 

States Code (as amended by section 3(a)(2)), 

is amended by inserting after the item relating to section 1028B the following: 

‘‘1028C. Display, sale, or purchase of public 

records containing Social Security numbers.’’. 

(b) STUDY AND REPORT ON SOCIAL SECURITY

NUMBERS IN PUBLIC RECORDS.— 

(1) STUDY.—The Comptroller General of the 

United States shall conduct a study and prepare a report on Social Security numbers in 

public records. In developing the report, the 

Comptroller General shall consult with the 

Administrative Office of the United States 

Courts, State and local governments that 

store, maintain, or disseminate public 

records, and other stakeholders, including 

members of the private sector who routinely 

use public records that contain Social Security numbers. 

(2) REPORT.—Not later than 1 year after 

the date of enactment of this Act, the Comptroller General of the United States shall 

submit to Congress a report on the study 

conducted under paragraph (1). The report 

shall include a detailed description of the activities and results of the study and recommendations for such legislative action as 

the Comptroller General considers appropriate. The report, at a minimum, shall include— 

(A) a review of the uses of Social Security 

numbers in non-federal public records; 

(B) a review of the manner in which public 

records are stored (with separate reviews for 

both paper records and electronic records); 

(C) a review of the advantages or utility of 

public records that contain Social Security 

numbers, including the utility for law enforcement, and for the promotion of homeland security; 

(D) a review of the disadvantages or drawbacks of public records that contain Social 

Security numbers, including criminal activity, compromised personal privacy, or 

threats to homeland security; 

(E) the costs and benefits for State and 

local governments of removing Social Security numbers from public records, including 


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a review of current technologies and procedures for removing Social Security numbers 

from public records; and 

(F) an assessment of the benefits and costs 

to businesses, their customers, and the general public of prohibiting the display of Social Security numbers on public records 

(with separate assessments for both paper 

records and electronic records). 

(c) EFFECTIVE DATE.—The prohibition with 

respect to electronic versions of new classes 

of public records under section 1028C(b) of 

title 18, United States Code (as added by subsection (a)(1)) shall not take effect until the 

date that is 60 days after the date of enactment of this Act. 

SEC. 5. RULEMAKING AUTHORITY OF THE ATTORNEY GENERAL. 

(a) IN GENERAL.—Except as provided in 

subsection (b), the Attorney General may 

prescribe such rules and regulations as the 

Attorney General deems necessary to carry 

out the provisions of section 1028B(e)(5) of 

title 18, United States Code (as added by section 3(a)(1)). 

(b) DISPLAY, SALE, OR PURCHASE RULEMAKING WITH RESPECT TO INTERACTIONS BETWEEN BUSINESSES, GOVERNMENTS, OR BUSINESS AND GOVERNMENT.— 

(1) IN GENERAL.—Not later than 1 year after 

the date of enactment of this Act, the Attorney General, in consultation with the Commissioner of Social Security, the Chairman 

of the Federal Trade Commission, and such 

other heads of Federal agencies as the Attorney General determines appropriate, shall 

conduct such rulemaking procedures in accordance with subchapter II of chapter 5 of 

title 5, United States Code, as are necessary 

to promulgate regulations to implement and 

clarify the uses occurring as a result of an 

interaction between businesses, governments, or business and government (regardless of which entity initiates the interaction) 

permitted under section 1028B(e)(5) of title 

18, United States Code (as added by section 

3(a)(1)). 

(2) FACTORS TO BE CONSIDERED.—In promulgating the regulations required under paragraph (1), the Attorney General shall, at a 

minimum, consider the following: 

(A) The benefit to a particular business, to 

customers of the business, and to the general 

public of the display, sale, or purchase of an 

individual’s Social Security number. 

(B) The costs that businesses, customers of 

businesses, and the general public may incur 

as a result of prohibitions on the display, 

sale, or purchase of Social Security numbers. 

(C) The risk that a particular business 

practice will promote the use of a Social Security number to commit fraud, deception, 

or crime. 

(D) The presence of adequate safeguards, 

procedures, and technologies to prevent— 

(i) misuse of Social Security numbers by 

employees within a business; and 

(ii) misappropriation of Social Security 

numbers by the general public, while permitting internal business uses of such numbers. 

(E) The presence of procedures to prevent 

identity thieves, stalkers, and other individuals with ill intent from posing as legitimate 

businesses to obtain Social Security numbers. 

(F) The impact of such uses on privacy. 

SEC. 6. TREATMENT OF SOCIAL SECURITY NUMBERS ON GOVERNMENT DOCUMENTS. 

(a) PROHIBITION OF USE OF SOCIAL SECURITY

ACCOUNT NUMBERS ON CHECKS ISSUED FOR

PAYMENT BY GOVERNMENTAL AGENCIES.— 

(1) IN GENERAL.—Section 205(c)(2)(C) of the 

Social Security Act (42 U.S.C. 405(c)(2)(C)) is 

amended by adding at the end the following: 

‘‘(x) No Federal, State, or local agency 

may display the Social Security account 

number of any individual, or any derivative 

of such number, on any check issued for any 

payment by the Federal, State, or local 

agency.’’. 

(2) EFFECTIVE DATE.—The amendment 

made by this subsection shall apply with respect to violations of section 205(c)(2)(C)(x) 

of the Social Security Act (42 U.S.C. 

405(c)(2)(C)(x)), as added by paragraph (1), occurring after the date that is 3 years after 

the date of enactment of this Act. 

(b) PROHIBITION OF INMATE ACCESS TO SOCIAL SECURITY ACCOUNT NUMBERS.— 

(1) IN GENERAL.—Section 205(c)(2)(C) of the 

Social Security Act (42 U.S.C. 405(c)(2)(C)) 

(as amended by subsection (b)) is amended by 

adding at the end the following: 

‘‘(xi) No Federal, State, or local agency 

may employ, or enter into a contract for the 

use or employment of, prisoners in any capacity that would allow such prisoners access to the Social Security account numbers 

of other individuals. For purposes of this 

clause, the term ‘prisoner’ means an individual confined in a jail, prison, or other 

penal institution or correctional facility 

pursuant to such individual’s conviction of a 

criminal offense.’’. 

(2) EFFECTIVE DATE.—The amendment 

made by this subsection shall apply with respect to employment of prisoners, or entry 

into contract with prisoners, after the date 

that is 1 year after the date of enactment of 

this Act. 

SEC. 7. LIMITS ON PERSONAL DISCLOSURE OF A 

SOCIAL SECURITY NUMBER FOR 

CONSUMER TRANSACTIONS. 

(a) IN GENERAL.—Part A of title XI of the 

Social Security Act (42 U.S.C. 1301 et seq.) is 

amended by adding at the end the following: 

‘‘SEC. 1150A. LIMITS ON PERSONAL DISCLOSURE 

OF A SOCIAL SECURITY NUMBER 

FOR CONSUMER TRANSACTIONS. 

‘‘(a) IN GENERAL.—A commercial entity 

may not require an individual to provide the 

individual’s Social Security number when 

purchasing a commercial good or service or 

deny an individual the good or service for refusing to provide that number except— 

‘‘(1) for any purpose relating to— 

‘‘(A) obtaining a consumer report for any 

purpose permitted under the Fair Credit Reporting Act; 

‘‘(B) a background check of the individual 

conducted by a landlord, lessor, employer, 

voluntary service agency, or other entity as 

determined by the Attorney General; 

‘‘(C) law enforcement; or 

‘‘(D) a Federal, State, or local law requirement; or 

‘‘(2) if the Social Security number is necessary to verify the identity of the consumer 

to effect, administer, or enforce the specific 

transaction requested or authorized by the 

consumer, or to prevent fraud. 

‘‘(b) APPLICATION OF CIVIL MONEY PENALTIES.—A violation of this section shall be 

deemed to be a violation of section 

1129(a)(3)(F). 

‘‘(c) APPLICATION OF CRIMINAL PENALTIES.— 

A violation of this section shall be deemed to 

be a violation of section 208(a)(8). 

‘‘(d) LIMITATION ON CLASS ACTIONS.—No 

class action alleging a violation of this section shall be maintained under this section 

by an individual or any private party in Federal or State court. 

‘‘(e) STATE ATTORNEY GENERAL ENFORCEMENT.— 

‘‘(1) IN GENERAL.— 

‘‘(A) CIVIL ACTIONS.—In any case in which 

the attorney general of a State has reason to 

believe that an interest of the residents of 

that State has been or is threatened or adversely affected by the engagement of any 

person in a practice that is prohibited under 

this section, the State, as parens patriae, 

may bring a civil action on behalf of the residents of the State in a district court of the 

United States of appropriate jurisdiction 

to— 

‘‘(i) enjoin that practice; 

‘‘(ii) enforce compliance with such section; 

‘‘(iii) obtain damages, restitution, or other 

compensation on behalf of residents of the 

State; or 

‘‘(iv) obtain such other relief as the court 

may consider appropriate. 

‘‘(B) NOTICE.— 

‘‘(i) IN GENERAL.—Before filing an action 

under subparagraph (A), the attorney general of the State involved shall provide to 

the Attorney General— 

‘‘(I) written notice of the action; and 

‘‘(II) a copy of the complaint for the action. 

‘‘(ii) EXEMPTION.— 

‘‘(I) IN GENERAL.—Clause (i) shall not apply 

with respect to the filing of an action by an 

attorney general of a State under this subsection, if the State attorney general determines that it is not feasible to provide the 

notice described in such subparagraph before 

the filing of the action. 

‘‘(II) NOTIFICATION.—With respect to an action described in subclause (I), the attorney 

general of a State shall provide notice and a 

copy of the complaint to the Attorney General at the same time as the State attorney 

general files the action. 

‘‘(2) INTERVENTION.— 

‘‘(A) IN GENERAL.—On receiving notice 

under paragraph (1)(B), the Attorney General 

shall have the right to intervene in the action that is the subject of the notice. 

‘‘(B) EFFECT OF INTERVENTION.—If the Attorney General intervenes in the action 

under paragraph (1), the Attorney General 

shall have the right to be heard with respect 

to any matter that arises in that action. 

‘‘(3) CONSTRUCTION.—For purposes of bringing any civil action under paragraph (1), 

nothing in this section shall be construed to 

prevent an attorney general of a State from 

exercising the powers conferred on such attorney general by the laws of that State to— 

‘‘(A) conduct investigations; 

‘‘(B) administer oaths or affirmations; or 

‘‘(C) compel the attendance of witnesses or 

the production of documentary and other 

evidence. 

‘‘(4) ACTIONS BY THE ATTORNEY GENERAL OF

THE UNITED STATES.—In any case in which an 

action is instituted by or on behalf of the Attorney General for violation of a practice 

that is prohibited under this section, no 

State may, during the pendency of that action, institute an action under paragraph (1) 

against any defendant named in the complaint in that action for violation of that 

practice. 

‘‘(5) VENUE; SERVICE OF PROCESS.— 

‘‘(A) VENUE.—Any action brought under 

paragraph (1) may be brought in the district 

court of the United States that meets applicable requirements relating to venue under 

section 1391 of title 28, United States Code. 

‘‘(B) SERVICE OF PROCESS.—In an action 

brought under paragraph (1), process may be 

served in any district in which the defendant— 

‘‘(i) is an inhabitant; or 

‘‘(ii) may be found. 

‘‘(f) SUNSET.—This section shall not apply 

on or after the date that is 6 years after the 

effective date of this section.’’. 

(b) EVALUATION AND REPORT.—Not later 

than the date that is 6 years and 6 months 

after the date of enactment of this Act, the 

Attorney General, in consultation with the 

chairman of the Federal Trade Commission, 

shall issue a report evaluating the effectiveness and efficiency of section 1150A of the 

Social Security Act (as added by subsection 

(a)) and shall make recommendations to 


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January 6, 2009 CONGRESSIONAL RECORD — SENATE S127 

Congress as to any legislative action determined to be necessary or advisable with respect to such section, including a recommendation regarding whether to reauthorize such section. 

(c) EFFECTIVE DATE.—The amendment 

made by subsection (a) shall apply to requests to provide a Social Security number 

occurring after the date that is 1 year after 

the date of enactment of this Act. 

SEC. 8. EXTENSION OF CIVIL MONETARY PENALTIES FOR MISUSE OF A SOCIAL 

SECURITY NUMBER. 

(a) TREATMENT OF WITHHOLDING OF MATERIAL FACTS.— 

(1) CIVIL PENALTIES.—The first sentence of 

section 1129(a)(1) of the Social Security Act 

(42 U.S.C. 1320a–8(a)(1)) is amended— 

(A) by striking ‘‘who’’ and inserting 

‘‘who—’’; 

(B) by striking ‘‘makes’’ and all that follows through ‘‘shall be subject to’’ and inserting the following: 

‘‘(A) makes, or causes to be made, a statement or representation of a material fact, 

for use in determining any initial or continuing right to or the amount of monthly 

insurance benefits under title II or benefits 

or payments under title VIII or XVI, that the 

person knows or should know is false or misleading; 

‘‘(B) makes such a statement or representation for such use with knowing disregard 

for the truth; or 

‘‘(C) omits from a statement or representation for such use, or otherwise withholds disclosure of, a fact which the individual knows 

or should know is material to the determination of any initial or continuing right to or 

the amount of monthly insurance benefits 

under title II or benefits or payments under 

title VIII or XVI and the individual knows, 

or should know, that the statement or representation with such omission is false or 

misleading or that the withholding of such 

disclosure is misleading, shall be subject to’’; 

(C) by inserting ‘‘or each receipt of such 

benefits while withholding disclosure of such 

fact’’ after ‘‘each such statement or representation’’; 

(D) by inserting ‘‘or because of such withholding of disclosure of a material fact’’ 

after ‘‘because of such statement or representation’’; and 

(E) by inserting ‘‘or such a withholding of 

disclosure’’ after ‘‘such a statement or representation’’. 

(2) ADMINISTRATIVE PROCEDURE FOR IMPOSING PENALTIES.—The first sentence of section 

1129A(a) of the Social Security Act (42 U.S.C. 

1320a–8a(a)) is amended— 

(A) by striking ‘‘who’’ and inserting 

‘‘who—’’; and 

(B) by striking ‘‘makes’’ and all that follows through ‘‘shall be subject to’’ and inserting the following: 

‘‘(1) makes, or causes to be made, a statement or representation of a material fact, 

for use in determining any initial or continuing right to or the amount of monthly 

insurance benefits under title II or benefits 

or payments under title VIII or XVI, that the 

person knows or should know is false or misleading; 

‘‘(2) makes such a statement or representation for such use with knowing disregard for 

the truth; or 

‘‘(3) omits from a statement or representation for such use, or otherwise withholds disclosure of, a fact which the individual knows 

or should know is material to the determination of any initial or continuing right to or 

the amount of monthly insurance benefits 

under title II or benefits or payments under 

title VIII or XVI and the individual knows, 

or should know, that the statement or representation with such omission is false or 

misleading or that the withholding of such 

disclosure is misleading, shall be subject to’’. 

(b) APPLICATION OF CIVIL MONEY PENALTIES

TO ELEMENTS OF CRIMINAL VIOLATIONS.—Section 1129(a) of the Social Security Act (42 

U.S.C. 1320a–8(a)), as amended by subsection 

(a)(1), is amended— 

(1) by redesignating paragraph (2) as paragraph (4); 

(2) by redesignating the last sentence of 

paragraph (1) as paragraph (2) and inserting 

such paragraph after paragraph (1); and 

(3) by inserting after paragraph (2) (as so 

redesignated) the following: 

‘‘(3) Any person (including an organization, 

agency, or other entity) who— 

‘‘(A) uses a Social Security account number that such person knows or should know 

has been assigned by the Commissioner of 

Social Security (in an exercise of authority 

under section 205(c)(2) to establish and maintain records) on the basis of false information furnished to the Commissioner by any 

person; 

‘‘(B) falsely represents a number to be the 

Social Security account number assigned by 

the Commissioner of Social Security to any 

individual, when such person knows or 

should know that such number is not the Social Security account number assigned by 

the Commissioner to such individual; 

‘‘(C) knowingly alters a Social Security 

card issued by the Commissioner of Social 

Security, or possesses such a card with intent to alter it; 

‘‘(D) knowingly displays, sells, or purchases a card that is, or purports to be, a 

card issued by the Commissioner of Social 

Security, or possesses such a card with intent to display, purchase, or sell it; 

‘‘(E) counterfeits a Social Security card, or 

possesses a counterfeit Social Security card 

with intent to display, sell, or purchase it; 

‘‘(F) discloses, uses, compels the disclosure 

of, or knowingly displays, sells, or purchases 

the Social Security account number of any 

person in violation of the laws of the United 

States; 

‘‘(G) with intent to deceive the Commissioner of Social Security as to such person’s 

true identity (or the true identity of any 

other person) furnishes or causes to be furnished false information to the Commissioner with respect to any information required by the Commissioner in connection 

with the establishment and maintenance of 

the records provided for in section 205(c)(2); 

‘‘(H) offers, for a fee, to acquire for any individual, or to assist in acquiring for any individual, an additional Social Security account number or a number which purports to 

be a Social Security account number; or 

‘‘(I) being an officer or employee of a Federal, State, or local agency in possession of 

any individual’s Social Security account 

number, willfully acts or fails to act so as to 

cause a violation by such agency of clause 

(vi)(II) or (x) of section 205(c)(2)(C), shall be 

subject to, in addition to any other penalties 

that may be prescribed by law, a civil money 

penalty of not more than $5,000 for each violation. Such person shall also be subject to 

an assessment, in lieu of damages sustained 

by the United States resulting from such 

violation, of not more than twice the 

amount of any benefits or payments paid as 

a result of such violation.’’. 

(c) CLARIFICATION OF TREATMENT OF RECOVERED AMOUNTS.—Section 1129(e)(2)(B) of the 

Social Security Act (42 U.S.C. 1320a– 

8(e)(2)(B)) is amended by striking ‘‘In the 

case of amounts recovered arising out of a 

determination relating to title VIII or XVI,’’ 

and inserting ‘‘In the case of any other 

amounts recovered under this section,’’. 

(d) CONFORMING AMENDMENTS.— 

(1) Section 1129(b)(3)(A) of the Social Security Act (42 U.S.C. 1320a–8(b)(3)(A)) is amended by striking ‘‘charging fraud or false statements’’. 

(2) Section 1129(c)(1) of the Social Security 

Act (42 U.S.C. 1320a–8(c)(1)) is amended by 

striking ‘‘and representations’’ and inserting 

‘‘, representations, or actions’’. 

(3) Section 1129(e)(1)(A) of the Social Security Act (42 U.S.C. 1320a–8(e)(1)(A)) is amended by striking ‘‘statement or representation 

referred to in subsection (a) was made’’ and 

inserting ‘‘violation occurred’’. 

(e) EFFECTIVE DATES.— 

(1) IN GENERAL.—Except as provided in 

paragraph (2), the amendments made by this 

section shall apply with respect to violations 

of sections 1129 and 1129A of the Social Security Act (42 U.S.C. 1320–8 and 1320a–8a), as 

amended by this section, committed after 

the date of enactment of this Act. 

(2) VIOLATIONS BY GOVERNMENT AGENTS IN

POSSESSION OF SOCIAL SECURITY NUMBERS.— 

Section 1129(a)(3)(I) of the Social Security 

Act (42 U.S.C. 1320a–8(a)(3)(I)), as added by 

subsection (b), shall apply with respect to 

violations of that section occurring on or 

after the effective date described in section 

3(c). 

(f) REPEAL.—Section 201 of the Social Security Protection Act of 2004 is repealed. 

SEC. 9. CRIMINAL PENALTIES FOR THE MISUSE 

OF A SOCIAL SECURITY NUMBER. 

(a) PROHIBITION OF WRONGFUL USE AS PERSONAL IDENTIFICATION NUMBER.—No person 

may obtain any individual’s Social Security 

number for purposes of locating or identifying an individual with the intent to physically injure, harm, or use the identity of the 

individual for any illegal purpose. 

(b) CRIMINAL SANCTIONS.—Section 208(a) of 

the Social Security Act (42 U.S.C. 408(a)) is 

amended— 

(1) in paragraph (8), by inserting ‘‘or’’ after 

the semicolon; and 

(2) by inserting after paragraph (8) the following: 

‘‘(9) except as provided in subsections (e) 

and (f) of section 1028B of title 18, United 

States Code, knowingly and willfully displays, sells, or purchases (as those terms are 

defined in section 1028B(a) of title 18, United 

States Code) any individual’s Social Security account number without having met the 

prerequisites for consent under section 

1028B(d) of title 18, United States Code; or 

‘‘(10) obtains any individual’s Social Security number for the purpose of locating or 

identifying the individual with the intent to 

injure or to harm that individual, or to use 

the identity of that individual for an illegal 

purpose;’’. 

SEC. 10. CIVIL ACTIONS AND CIVIL PENALTIES. 

(a) CIVIL ACTION IN STATE COURTS.— 

(1) IN GENERAL.—Any individual aggrieved 

by an act of any person in violation of this 

Act or any amendments made by this Act 

may, if otherwise permitted by the laws or 

rules of the court of a State, bring in an appropriate court of that State— 

(A) an action to enjoin such violation; 

(B) an action to recover for actual monetary loss from such a violation, or to receive 

up to $500 in damages for each such violation, whichever is greater; or 

(C) both such actions. 

It shall be an affirmative defense in any action brought under this paragraph that the 

defendant has established and implemented, 

with due care, reasonable practices and procedures to effectively prevent violations of 

the regulations prescribed under this Act. If 

the court finds that the defendant willfully 

or knowingly violated the regulations prescribed under this subsection, the court may, 

in its discretion, increase the amount of the 

award to an amount equal to not more than 

3 times the amount available under subparagraph (B). 


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S128 CONGRESSIONAL RECORD — SENATE January 6, 2009 

(2) STATUTE OF LIMITATIONS.—An action 

may be commenced under this subsection 

not later than the earlier of— 

(A) 5 years after the date on which the alleged violation occurred; or 

(B) 3 years after the date on which the alleged violation was or should have been reasonably discovered by the aggrieved individual. 

(3) NONEXCLUSIVE REMEDY.—The remedy 

provided under this subsection shall be in addition to any other remedies available to the 

individual. 

(b) CIVIL PENALTIES.— 

(1) IN GENERAL.—Any person who the Attorney General determines has violated any 

section of this Act or of any amendments 

made by this Act shall be subject, in addition to any other penalties that may be prescribed by law— 

(A) to a civil penalty of not more than 

$5,000 for each such violation; and 

(B) to a civil penalty of not more than 

$50,000, if the violations have occurred with 

such frequency as to constitute a general 

business practice. 

(2) DETERMINATION OF VIOLATIONS.—Any 

willful violation committed contemporaneously with respect to the Social Security 

numbers of 2 or more individuals by means of 

mail, telecommunication, or otherwise, shall 

be treated as a separate violation with respect to each such individual. 

(3) ENFORCEMENT PROCEDURES.—The provisions of section 1128A of the Social Security 

Act (42 U.S.C. 1320a–7a), other than subsections (a), (b), (f), (h), (i), (j), (m), and (n) 

and the first sentence of subsection (c) of 

such section, and the provisions of subsections (d) and (e) of section 205 of such Act 

(42 U.S.C. 405) shall apply to a civil penalty 

action under this subsection in the same 

manner as such provisions apply to a penalty 

or proceeding under section 1128A(a) of such 

Act (42 U.S.C. 1320a–7a(a)), except that, for 

purposes of this paragraph, any reference in 

section 1128A of such Act (42 U.S.C. 1320a–7a) 

to the Secretary shall be deemed to be a reference to the Attorney General. 

SEC. 11. FEDERAL INJUNCTIVE AUTHORITY. 

In addition to any other enforcement authority conferred under this Act or the 

amendments made by this Act, the Federal 

Government shall have injunctive authority 

with respect to any violation by a public entity of any provision of this Act or of any 

amendments made by this Act. 

By Mr. KERRY: 

S. 142. A bill to amend titles XIX and 

XXI of the Social Security Act to ensure that every uninsured child in 

America has health insurance coverage, and for other purposes; to the 

Committee on Finance. 

MR. KERRY. Mr. President, today I 

am introducing the Kids Come First 

Act, legislation to ensure every child 

in America has access to health care 

coverage. The Kids Come First Act is 

the first bill I am introducing in the 

111th Congress because I believe that 

insuring all children must be at the top 

of the agenda this Congress. 

Long-term health care reform is 

vital, but we must also do all that we 

can now to make sure our children 

have access to health care. That is why 

I have incorporated the Small Business 

Children’s Health Education Act as 

part of Kids First this Congress. 

The 111th Congress faces many challenges, from the economic situation at 

home to the continuing conflicts in the 

Middle East. But perhaps no issue 

bears more directly on the lives of 

more Americans than health care reform. Today, nearly 46 million Americans are uninsured, including 11 million children. Health care has become a 

slow-motion disaster that is ruining 

lives and bankrupting families all over 

the country. We cannot stand by as the 

ranks of the uninsured rise and American families find themselves in peril. 

Children from low income households 

are three times as likely to be uninsured and more than 60 percent of uninsured children have at least one parent 

working full time. As we continue to 

face uncertain economic times we must 

do more for the children of this country who lack health coverage. Too 

many families are struggling with how 

to make ends meet. This is the time to 

take one worry off their plate and 

make health insurance available for all 

children. 

The Kids Come First Act calls for a 

Federal-State partnership to mandate 

health coverage to every child in 

America. The proposal makes states an 

offer they can’t refuse. The Federal 

Government will pay for the most expensive part: enrolling all low-income 

children in Medicaid, automatically. In 

return, the States will pay to expand 

coverage to higher income children. 

Under this legislation, States will save 

more than $6 billion a year, and every 

child will have access to healthcare. 

I think it is unacceptable that in the 

greatest country in the world, millions 

of children are denied access to the 

health care they need. The Kids Come 

First Act expands health care coverage 

for children up to the age of 21. 

Through expanding the programs that 

work, such as Medicaid and SCHIP, we 

can cover every uninsured child. 

Insuring children improves their 

health and helps families cover the spiraling costs of medical care. Covering 

all kids will help reduce avoidable hospitalizations by 22 percent and replace 

expensive critical care with inexpensive preventative care. Also, when children get the medical attention they 

need, they do better in school. 

To pay for the expansion of health insurance for children, the Kids Come 

First Act includes a provision that provides the Secretary of Treasury with 

the authority to raise the highest income tax rate of 35 percent to a rate 

not higher than 39.6 percent in order to 

offset the costs. Prior to the enactment 

of the Economic Growth and Tax Relief 

Reconciliation Act of 2001, the top marginal rate was 39.6 percent. Less than 

one percent of taxpayers pay the top 

rate and for 2009, this rate only affects 

individuals with income above $372,950. 

In addition to expanding access to 

health insurance, we need to improve 

enrollment of eligible children. In February 2007, the Urban Institute reported that among those eligible for 

the State Children’s Health Insurance 

Program, children whose families are 

self-employed or who work for small 

business concerns are far less likely to 

be enrolled. Specifically, one out of 

every four eligible children with parents working for a small business or 

are self-employed are not currently enrolled. This compares with just 1 out of 

every 10 eligible children whose parents 

work for a large firm. 

We need to do a better job of informing and educating America’s small 

business owners and employees of the 

options that may be available for covering uninsured children. To that effect, the Kids Come First Act includes 

a provision that creates an intergovernmental task force, consisting of the 

Administrator of the Small Business 

Administration, the Secretary of 

Health and Human Services, the Secretary of Labor and the Secretary of 

Treasury, to conduct a campaign to enroll kids of small business employees 

who are eligible for SCHIP and Medicaid but are not currently enrolled. To 

educate America’s small businesses on 

the availability of SCHIP and Medicaid, the task force will make use of 

the Small Business Administration’s 

business partners, including the Service Corps of Retired Executives, the 

Small Business Development Centers, 

Certified Development Companies, and 

Women’s Business Centers, and with 

chambers of commerce across the 

country. 

Additionally, the Small Business Administration is directed to post SCHIP 

and Medicaid eligibility criteria and 

enrollment information on its website, 

and to report back to the Senate and 

House Committees on Small Business 

regarding the status and successes of 

the task force’s efforts to enroll eligible kids. 

Health care for our children is a top 

priority that we must address. I believe 

it can be done in a fiscally responsible 

manner. We must invest our resources 

in our future by improving health care 

for children. 

Since I first introduced the Kids 

Come First Act in the 109th Congress, 

more than 500,000 people have shown 

their support for the bill by becoming 

Citizen Cosponsors and another 20,000 

Americans called into our ‘‘Give Voices 

to Our Values’’ hotline to share their 

personal stories. 

It is clear that providing health care 

coverage for our uninsured children is 

a priority for our nation’s workers, 

businesses, and health care community. They know, as I do, that further 

delay only results in graver health 

problems for America’s children. Their 

future, and ours, depends on us doing 

better. I urge my colleagues to support 

and help enact the Kids Come First Act 

during this Congress. 

By Mr. KERRY: 

S. 143. A bill to amend the Internal 

Revenue Code of 1986 to provide for a 

college opportunity tax credit; to the 

Committee on Finance. 

Mr. KERRY. Mr. President, today I 

am introducing the College Opportunity Tax Credit Act of 2009. This legislation creates a new tax credit that 


wwoods2 on PRODPC68 with SENATE