I 
110TH CONGRESS 
1ST SESSION H. R. 1603 
To amend title 5, United States Code, to establish a national health program 
administered by the Office of Personnel Management to offer Federal 
employee health benefits plans to certain individuals affected by an 
incident of national significance, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 20, 2007 
Mr. JEFFERSON introduced the following bill; which was referred to the Com-
mittee on Oversight and Government Reform, and in addition to the 
Committee on Ways and Means, for a period to be subsequently deter-
mined by the Speaker, in each case for consideration of such provisions 
as fall within the jurisdiction of the committee concerned 
A BILL 
To amend title 5, United States Code, to establish a national 
health program administered by the Office of Personnel 
Management to offer Federal employee health benefits 
plans to certain individuals affected by an incident of 
national significance, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Emergency Coverage 
During an Incident of National Significance Act of 2007’’. 
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SEC. 2. EXTENSION OF FEDERAL EMPLOYEE HEALTH IN-
SURANCE 
TO 
CERTAIN 
INDIVIDUALS 
AF-
FECTED BY AN INCIDENT OF NATIONAL SIG-
NIFICANCE. 
(a) IN GENERAL.—Subpart G of part III of title 5, 
United States Code, is amended by redesignating chapters 
89A and 89B as chapters 89B and 89C, respectively, and 
by inserting after chapter 89 the following: 
‘‘CHAPTER 89A—EMERGENCY HEALTH IN-
SURANCE FOR CERTAIN INDIVIDUALS 
AFFECTED BY AN INCIDENT OF NA-
TIONAL SIGNIFICANCE 
‘‘Sec. 
‘‘8921. Definitions. 
‘‘8922. Health insurance for eligible individuals. 
‘‘8923. Contract requirement. 
‘‘8924. Eligibility and identification of individuals. 
‘‘8925. Alternative conditions to Federal employee health benefits plans. 
‘‘§ 8921. Definitions 
‘‘In this chapter— 
‘‘(1) the terms defined under section 8901 shall 
have the meanings given such terms under that sec-
tion; 
‘‘(2) the term ‘eligible individual’ means any in-
dividual who, at the time of an incident of national 
significance, resides or is employed in the area iden-
tified under section 8924 with respect to such inci-
dent; 
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‘‘(3) the term ‘incident of national significance’ 
means a domestic catastrophic incident which is des-
ignated as an incident of national significance by the 
President pursuant to the national response plan re-
ferred to in section 502(6) of the Homeland Security 
Act of 2002; and 
‘‘(4) the term ‘Office’ means the Office of Per-
sonnel Management. 
‘‘§ 8922. Health insurance for eligible individuals 
‘‘(a) The Office of Personnel Management shall ad-
minister a health insurance program for eligible individ-
uals in accordance with this chapter. 
‘‘(b) Except as provided under this chapter, the Of-
fice shall prescribe regulations to apply the provisions of 
chapter 89 to the greatest extent practicable to eligible 
individuals covered under this chapter. 
‘‘§ 8923. Contract requirement 
‘‘(a) In each calendar year, the Office shall enter into 
a contract with 3 or more carriers to make available 5 
or more health benefits plans (subject to the provisions 
of this chapter) to eligible individuals under this chapter. 
‘‘(b) In carrying out this section, the Office may re-
quire 5 or more carriers to enter into a contract described 
in subsection (a), as a condition of entering into a contract 
under section 8902. 
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‘‘§ 8924. Eligibility and identification of individuals 
‘‘(a) Except as provided in subsection (b), any eligible 
individual may enroll in a health benefits plan under this 
chapter. 
‘‘(b) An individual may not enroll in a health benefits 
plan under this chapter, if the individual— 
‘‘(1) is 65 years of age or older; 
‘‘(2) is enrolled or eligible to enroll for coverage 
under a public health insurance program, including 
coverage under title XVIII of the Social Security 
Act, coverage under a State plan under title XIX of 
such Act, coverage under a State plan under title 
XX of such Act, or coverage under any other pro-
gram determined by the Office; 
‘‘(3) is enrolled or eligible to enroll in a plan 
under chapter 89; or 
‘‘(4) is a member of the uniformed services as 
defined under section 101(a)(5) of title 10. 
‘‘(c) With respect to each incident of national signifi-
cance, the Secretary of Homeland Security shall, con-
sistent with the President’s designation of such incident, 
identify the area affected by such incident and shall, in 
consultation with the Office, carry out a program to iden-
tify eligible individuals with respect to such incident. 
‘‘(d) The period of an individual’s enrollment in a 
health benefits plan under this chapter shall not exceed 
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24 months with respect to any incident of national signifi-
cance. Such period may be extended by the Office if the 
Secretary of Homeland Security determines that the area 
identified under subsection (c) remains affected by the in-
cident. 
‘‘§ 8925. Alternative conditions to Federal employee 
health benefits plans 
‘‘(a) Rates charged and premiums paid for a health 
benefits plan under this chapter may differ between or 
among geographic regions. 
‘‘(b) No Government contribution shall be made for 
any individual under this chapter. 
‘‘(c) In the administration of this chapter, the Office 
shall ensure that individuals covered under this chapter 
shall be in a risk pool that is separate from the risk pool 
maintained for individuals covered under chapter 89.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
(1) CONTRACT REQUIREMENT UNDER CHAPTER 
89.—Section 8902 of title 5, United States Code, is 
amended by adding after subsection (o) the fol-
lowing: 
‘‘(p) Each contract under this chapter may include, 
at the discretion of the Office, a provision that the carrier 
shall enter into a contract to provide 1 or more health 
benefits plans as described under chapter 89A.’’. 
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(2) TABLE OF CHAPTERS.—The table of chap-
ters for part III of title 5, United States Code, is 
amended— 
(A) by redesignating the items relating to 
chapters 89A and 89B as items relating to 
chapters 89B and 89C, respectively; and 
(B) by inserting after the item relating to 
chapter 89 the following: 
‘‘CHAPTER 89A—EMERGENCY HEALTH INSURANCE FOR CERTAIN 
INDIVIDUALS AFFECTED BY AN INCIDENT OF NATIONAL SIGNIFICANCE 
‘‘89A. Emergency Health Insurance for Certain Individuals Affected by 
an Incident of National Significance ............................ 8921’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on the date of enactment of 
this Act and shall apply to contracts that take effect with 
respect to the calendar year following such date of enact-
ment. 
SEC. 3. CREDIT FOR EMERGENCY HEALTH INSURANCE 
COSTS OF CERTAIN INDIVIDUALS AFFECTED 
BY AN INCIDENT OF NATIONAL SIGNIFI-
CANCE. 
(a) IN GENERAL.—Subpart C of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 (relating to refundable credits) is amended by redes-
ignating section 36 as section 37 and inserting after sec-
tion 35 the following new section: 
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‘‘SEC. 36. EMERGENCY HEALTH INSURANCE COSTS OF CER-
TAIN INDIVIDUALS AFFECTED BY AN INCI-
DENT OF NATIONAL SIGNIFICANCE. 
‘‘(a) IN GENERAL.—In the case of an individual, 
there shall be allowed as a credit against the tax imposed 
by this subtitle for the taxable year an amount equal to 
the applicable percentage of the amount paid during such 
taxable year by the taxpayer for coverage of the taxpayer 
and family members under the health insurance plan es-
tablished under chapter 89A of title 5, United States 
Code. 
‘‘(b) APPLICABLE PERCENTAGE.— 
‘‘(1) IN GENERAL.—For purposes of subsection 
(a), the applicable percentage shall be determined in 
accordance with the following table: 
‘‘In the case of any taxpayer whose family 
income is the following percentage of the 
poverty line: 
The applicable 
percentage is:
Not more than 100 percent ....................................
100 percent
More than 100 percent, but not more than 300 
percent.
65 percent
More than 300 percent, but not more than 500 
percent.
40 percent
More than 500 percent, but not more than 600 
percent.
30 percent
More than 600 percent ...........................................
0 percent. 
‘‘(2) FAMILY
INCOME.—For purposes of this 
subsection, the term ‘family income’ means the ag-
gregate adjusted gross income of the taxpayer and 
the taxpayer’s spouse and dependents. 
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‘‘(3) POVERTY
LINE.—For purposes of this 
subsection, the term ‘poverty line’ means the poverty 
line as defined in section 673(2) of the Community 
Services Block Grant Act, for a family of the size in-
volved. 
‘‘(c) SPECIAL RULES.— 
‘‘(1) COORDINATION WITH ADVANCE PAYMENTS 
OF CREDIT.—With respect to any taxable year, the 
amount which would (but for this paragraph) be al-
lowed as a credit to the taxpayer under subsection 
(a) shall be reduced (but not below zero) by the ag-
gregate amount paid on behalf of such taxpayer 
under section 7529 for such taxable year. 
‘‘(2) COORDINATION
WITH
OTHER
DEDUC-
TIONS.—Amounts taken into account under sub-
section (a) shall not be taken into account in deter-
mining any deduction allowed under section 162(l) 
or 213. 
‘‘(3) TREATMENT
OF
PAYMENTS.—For pur-
poses of this section, payments made by the Sec-
retary on behalf of any individual under section 
7529 (relating to advance payment of credit for 
emergency health insurance costs of certain individ-
uals affected by an incident of national significance) 
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shall be treated as having been made by the tax-
payer. 
‘‘(4) REGULATIONS.—The Secretary may pre-
scribe such regulations and other guidance as may 
be necessary or appropriate to carry out this section 
and section 7529.’’. 
(b) ADVANCE PAYMENT OF CREDIT.—Chapter 77 of 
the Internal Revenue Code of 1986 (relating to miscella-
neous provisions) is amended by adding at the end the 
following new section: 
‘‘SEC. 7529. ADVANCE PAYMENT OF CREDIT FOR EMER-
GENCY HEALTH INSURANCE COSTS OF CER-
TAIN INDIVIDUALS AFFECTED BY AN INCI-
DENT OF NATIONAL SIGNIFICANCE. 
‘‘Not later than øAugust 1, 2008¿, the Secretary 
shall establish a program for making payments on behalf 
of individuals described in section 36(a) to the health in-
surance plan established under chapter 89A of title 5, 
United States Code.’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Paragraph (2) of section 1324(b) of title 
31, United States Code, is amended by inserting ‘‘, 
36,’’ after ‘‘section 35’’. 
(2) The table of sections for subpart C of part 
IV of chapter 1 of the Internal Revenue Code of 
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1986 is amended by striking the item relating to 
section 36 and inserting the following new items: 
‘‘Sec. 36. Emergency health insurance costs of certain individuals affected by 
an incident of national significance. 
‘‘Sec. 37. Overpayments of tax.’’. 
(3) The table of sections for chapter 77 of such 
Code is amended by adding at the end the following 
new item: 
‘‘Sec. 7529. Advance payment of credit for emergency health insurance costs 
of certain individuals affected by an incident of national signifi-
cance.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years ending after the 
date of the enactment of this Act. 
SEC. 4. PLAN FOR EXTENSION OF FEDERAL EMPLOYEE 
HEALTH BENEFITS PROGRAM TO CERTAIN 
INDIVIDUALS AFFECTED BY AN INCIDENT OF 
NATIONAL SIGNIFICANCE. 
Not later than 3 months after the date of enactment 
of this Act and after consultation with appropriate ex-
perts, the Secretary of Homeland Security, and other Fed-
eral officers, the Director of the Office of Personnel Man-
agement shall submit a comprehensive plan to Congress 
that— 
(1) provides for the orderly implementation of 
the amendments made by this Act; and 
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(2) includes a schedule of actions to be taken 
to provide for that implementation. 
Æ 
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