129 
period beginning on the date of the enactment of this Act 
and shall apply to proceedings commenced on or after that 
effective date. 
SEC. 21. TRAVEL EXPENSES AND PAYMENT OF ADMINISTRA-
TIVE JUDGES. 
(a) AUTHORITY TO COVER CERTAIN TRAVEL RELATED 
EXPENSES.—Section 2(b)(11) of title 35, United States 
Code, is amended by inserting ‘‘, and the Office is author-
ized to expend funds to cover the subsistence expenses and 
travel-related expenses, including per diem, lodging costs, 
and transportation costs, of persons attending such pro-
grams who are not Federal employees’’ after ‘‘world’’. 
(b) PAYMENT OF ADMINISTRATIVE JUDGES.—Section 
3(b) of title 35, United States Code, is amended by adding 
at the end the following: 
‘‘(6) ADMINISTRATIVE PATENT JUDGES AND AD-
MINISTRATIVE
TRADEMARK
JUDGES.—The Director 
may fix the rate of basic pay for the administrative 
patent judges appointed pursuant to section 6 and the 
administrative trademark judges appointed pursuant 
to section 17 of the Trademark Act of 1946 (15 U.S.C. 
1067) at not greater than the rate of basic pay pay-
able for level III of the Executive Schedule under sec-
tion 5314 of title 5. The payment of a rate of basic 
pay under this paragraph shall not be subject to the 
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pay limitation under section 5306(e) or 5373 of title 
5.’’. 
SEC. 22. PATENT AND TRADEMARK OFFICE FUNDING. 
(a) DEFINITION.—In this section, the term ‘‘Fund’’ 
means the United States Patent and Trademark Office Pub-
lic Enterprise Fund established under subsection (c). 
(b) FUNDING.— 
(1) IN GENERAL.—Section 42 of title 35, United 
States Code, is amended— 
(A) in subsection (b), by striking ‘‘Patent 
and Trademark Office Appropriation Account’’ 
and inserting ‘‘United States Patent and Trade-
mark Office Public Enterprise Fund’’; and 
(B) in subsection (c), in the first sentence— 
(i) by striking ‘‘To the extent’’ and all 
that follows through ‘‘fees’’ and inserting 
‘‘Fees’’; and 
(ii) by striking ‘‘shall be collected by 
and shall be available to the Director’’ and 
inserting ‘‘shall be collected by the Director 
and shall be available until expended’’. 
(2) EFFECTIVE DATE.—The amendments made 
by paragraph (1) shall take effect on the later of— 
(A) October 1, 2011; or 
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(B) the first day of the first fiscal year that 
begins after the date of the enactment of this Act. 
(c) USPTO REVOLVING FUND.— 
(1) ESTABLISHMENT.—There is established in 
the Treasury of the United States a revolving fund to 
be known as the ‘‘United States Patent and Trade-
mark Office Public Enterprise Fund’’. Any amounts 
in the Fund shall be available for use by the Director 
without fiscal year limitation. 
(2) DERIVATION OF RESOURCES.—There shall be 
deposited into the Fund and recorded as offsetting re-
ceipts, on and after the effective date set forth in sub-
section (b)(2)— 
(A) any fees collected under sections 41, 42, 
and 376 of title 35, United States Code, except 
that— 
(i) notwithstanding any other provi-
sion of law, if such fees are collected by, and 
payable to, the Director, the Director shall 
transfer such amounts to the Fund; and 
(ii) no funds collected pursuant to sec-
tion 10(h) of this Act or section 1(a)(2) of 
Public Law 111–45 shall be deposited in the 
Fund; and 
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(B) any fees collected under section 31 of 
the Trademark Act of 1946 (15 U.S.C. 1113). 
(3) EXPENSES.—Amounts deposited into the 
Fund under paragraph (2) shall be available, without 
fiscal year limitation, to cover— 
(A) all expenses to the extent consistent with 
the limitation on the use of fees set forth in sec-
tion 42(c) of title 35, United States Code, includ-
ing all administrative and operating expenses, 
determined in the discretion of the Director to be 
ordinary and reasonable, incurred by the Direc-
tor for the continued operation of all services, 
programs, activities, and duties of the Office re-
lating to patents and trademarks, as such serv-
ices, programs, activities, and duties are de-
scribed under— 
(i) title 35, United States Code; and 
(ii) the Trademark Act of 1946; and 
(B) all expenses incurred pursuant to any 
obligation, representation, or other commitment 
of the Office. 
(d) ANNUAL REPORT.—Not later than 60 days after 
the end of each fiscal year, the Director shall submit a re-
port to Congress which shall— 
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(1) summarize the operations of the Office for the 
preceding fiscal year, including financial details and 
staff levels broken down by each major activity of the 
Office; 
(2) detail the operating plan of the Office, in-
cluding specific expense and staff needs for the up-
coming fiscal year; 
(3) describe the long-term modernization plans of 
the Office; 
(4) set forth details of any progress towards such 
modernization plans made in the previous fiscal year; 
and 
(5) include the results of the most recent audit 
carried out under subsection (f). 
(e) ANNUAL SPENDING PLAN.— 
(1) IN GENERAL.—Not later than 30 days after 
the beginning of each fiscal year, the Director shall 
notify the Committees on Appropriations of both 
Houses of Congress of the plan for the obligation and 
expenditure of the total amount of the funds for that 
fiscal year in accordance with section 605 of the 
Science, State, Justice, Commerce, and Related Agen-
cies Appropriations Act, 2006 (Public Law 109–108; 
119 Stat. 2334). 
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