H. R. 2029—761 
‘‘(iv) DEFINITION
OF
FINAL
AWARD
DETERMINA-
TION.—For purposes of this subparagraph, the term 
‘final award determination’ means a letter from the 
Special Master indicating the total amount of com-
pensation to which a claimant is entitled for a claim 
under this title without regard to the limitation under 
the second sentence of section 406(d)(1), as such section 
was in effect on the day before the date of enactment 
of the James Zadroga 9/11 Victim Compensation Fund 
Reauthorization Act.’’; 
(2) in subsection (b)— 
(A) in paragraph (1)(B)(ii), by inserting ‘‘subject to 
paragraph (7),’’ before ‘‘the amount’’; 
(B) in paragraph (6)— 
(i) by striking ‘‘The Special Master’’ and inserting 
the following: 
‘‘(A) IN GENERAL.—The Special Master’’; and 
(ii) by adding at the end the following: 
‘‘(B) GROUP
B
CLAIMS.—Notwithstanding any other 
provision of this title, in the case of a claim in Group 
B as described in subsection (a)(3)(C)(iii), a claimant filing 
such claim shall receive an amount of compensation under 
this title for such claim that is not greater than the amount 
determined under paragraph (1)(B)(ii) less the amount of 
any collateral source compensation that such claimant has 
received or is entitled to receive for such claim as a result 
of the terrorist-related aircraft crashes of September 11, 
2001.’’; and 
(C) by adding at the end the following: 
‘‘(7) LIMITATIONS FOR GROUP B CLAIMS.— 
‘‘(A) NONECONOMIC LOSSES.—With respect to a claim 
in Group B as described in subsection (a)(3)(C)(iii), the 
total amount of compensation to which a claimant filing 
such claim is entitled to receive for such claim under this 
title on account of any noneconomic loss— 
‘‘(i) that results from any type of cancer shall not 
exceed $250,000; and 
‘‘(ii) that does not result from any type of cancer 
shall not exceed $90,000. 
‘‘(B) DETERMINATION OF ECONOMIC LOSS.— 
‘‘(i) 
IN
GENERAL.—Subject 
to 
the 
limitation 
described in clause (ii) and with respect to a claim 
in Group B as described in subsection (a)(3)(C)(iii), 
the Special Master shall, for purposes of calculating 
the amount of compensation to which a claimant is 
entitled under this title for such claim on account 
of any economic loss, determine the loss of earnings 
or other benefits related to employment by using the 
applicable methodology described in section 104.43 or 
104.45 of title 28, Code of Federal Regulations, as 
such Code was in effect on the day before the date 
of enactment of the James Zadroga 9/11 Victim Com-
pensation Fund Reauthorization Act. 
‘‘(ii) ANNUAL GROSS INCOME LIMITATION.—In con-
sidering annual gross income under clause (i) for the 
purposes described in such clause, the Special Master 
shall, for each year of any loss of earnings or other
H. R. 2029—762 
benefits related to employment, limit the annual gross 
income of the claimant (or decedent in the case of 
a personal representative) for each such year to an 
amount that is not greater than $200,000. 
‘‘(C) GROSS
INCOME
DEFINED.—For purposes of this 
paragraph, the term ‘gross income’ has the meaning given 
such term in section 61 of the Internal Revenue Code 
of 1986.’’; and 
(3) in subsection (c)(3)— 
(A) in subparagraph (A)— 
(i) in clause (ii), in the matter preceding subclause 
(I), by striking ‘‘An individual’’ and inserting ‘‘Except 
with respect to claims in Group B as described in 
subsection (a)(3)(C)(iii), an individual’’; 
(ii) in clause (iii), by striking ‘‘section 407(a)’’ and 
inserting ‘‘section 407(b)(1)’’; and 
(iii) by adding at the end the following: 
‘‘(iv) GROUP B CLAIMS.— 
‘‘(I) IN
GENERAL.—Subject to subclause (II), 
an individual filing a claim in Group B as described 
in subsection (a)(3)(C)(iii) may be eligible for com-
pensation under this title only if the Special 
Master, with assistance from the WTC Program 
Administrator as necessary, determines based on 
the evidence presented that the individual has a 
WTC-related physical health condition, as defined 
by section 402 of this Act. 
‘‘(II) PERSONAL
REPRESENTATIVES.—An indi-
vidual filing a claim in Group B, as described 
in subsection (a)(3)(C)(iii), who is a personal rep-
resentative described in paragraph (2)(C) may be 
eligible for compensation under this title only if 
the Special Master, with assistance from the WTC 
Program Administrator as necessary, determines 
based 
on 
the 
evidence 
presented 
that 
the 
applicable decedent suffered from a condition that 
was, or would have been determined to be, a WTC- 
related physical health condition, as defined by 
section 402 of this Act.’’; and 
(B) in subparagraph (C)(ii)(II), by striking ‘‘section 
407(b)’’ and inserting ‘‘section 407(b)(1)’’. 
(d) PAYMENTS TO ELIGIBLE INDIVIDUALS.—Section 406 of the 
Air Transportation Safety and System Stabilization Act (49 U.S.C. 
40101 note) is amended— 
(1) in subsection (b), by striking ‘‘This title’’ and inserting 
‘‘For the purpose of providing compensation for claims in Group 
A as described in section 405(a)(3)(C)(ii), this title’’; and 
(2) by amending subsection (d) to read as follows: 
‘‘(d) LIMITATIONS.— 
‘‘(1) GROUP A CLAIMS.— 
‘‘(A) IN GENERAL.—The total amount of Federal funds 
paid for compensation under this title, with respect to 
claims in Group A as described in section 405(a)(3)(C)(ii), 
shall not exceed $2,775,000,000. 
‘‘(B) REMAINDER OF CLAIM AMOUNTS.—In the case of 
a claim in Group A as described in section 405(a)(3)(C)(ii) 
and for which the Special Master has ratably reduced
H. R. 2029—763 
the amount of compensation for such claim pursuant to 
paragraph (2) of this subsection, as this subsection was 
in effect on the day before the date of enactment of the 
James Zadroga 9/11 Victim Compensation Fund Reauthor-
ization Act, the Special Master shall, as soon as practicable 
after the date of enactment of such Act, authorize payment 
of the amount of compensation that is equal to the dif-
ference between— 
‘‘(i) the amount of compensation that the claimant 
would have been paid under this title for such claim 
without regard to the limitation under the second sen-
tence of paragraph (1) of this subsection, as this sub-
section was in effect on the day before the date of 
enactment of the James Zadroga 9/11 Victim Com-
pensation Fund Reauthorization Act; and 
‘‘(ii) the amount of compensation the claimant was 
paid under this title for such claim prior to the date 
of enactment of such Act. 
‘‘(2) GROUP B CLAIMS.— 
‘‘(A) IN GENERAL.—The total amount of Federal funds 
paid for compensation under this title, with respect to 
claims in Group B as described in section 405(a)(3)(C)(iii), 
shall not exceed the amount of funds deposited into the 
Victims Compensation Fund under section 410. 
‘‘(B) PAYMENT
SYSTEM.—The Special Master shall 
establish a system for providing compensation for claims 
in Group B as described in section 405(a)(3)(C)(iii) in 
accordance with this subsection and section 405(b)(7). 
‘‘(C) DEVELOPMENT OF AGENCY POLICIES AND PROCE-
DURES.— 
‘‘(i) DEVELOPMENT.— 
‘‘(I) IN GENERAL.—Not later than 30 days after 
the date of enactment of the James Zadroga 
9/11 Victim Compensation Fund Reauthorization 
Act, the Special Master shall develop agency poli-
cies and procedures that meet the requirements 
under subclauses (II) and (III) for providing com-
pensation for claims in Group B as described in 
section 405(a)(3)(C)(iii), including policies and 
procedures for presumptive award schedules, 
administrative expenses, and related internal 
memoranda. 
‘‘(II) LIMITATION.—The policies and procedures 
developed under subclause (I) shall ensure that 
total 
expenditures, 
including 
administrative 
expenses, in providing compensation for claims in 
Group B, as described in section 405(a)(3)(C)(iii), 
do not exceed the amount of funds deposited into 
the Victims Compensation Fund under section 410. 
‘‘(III) PRIORITIZATION.—The policies and proce-
dures developed under subclause (I) shall prioritize 
claims for claimants who are determined by the 
Special Master as suffering from the most debili-
tating physical conditions to ensure, for purposes 
of equity, that such claimants are not unduly bur-
dened by such policies or procedures.
H. R. 2029—764 
‘‘(ii) REASSESSMENT.—Beginning 1 year after the 
date of enactment of the James Zadroga 9/11 Victim 
Compensation Fund Reauthorization Act, and each 
year thereafter until the Victims Compensation Fund 
is permanently closed under section 410(e), the Special 
Master shall conduct a reassessment of the agency 
policies and procedures developed under clause (i) to 
ensure that such policies and procedures continue to 
satisfy the requirements under subclauses (II) and (III) 
of such clause. If the Special Master determines, upon 
reassessment, that such agency policies or procedures 
do not achieve the requirements of such subclauses, 
the Special Master shall take additional actions or 
make such modifications as necessary to achieve such 
requirements.’’. 
(e) REGULATIONS.—Section 407(b) of the Air Transportation 
Safety and System Stabilization Act (49 U.S.C. 40101 note) is 
amended— 
(1) by striking ‘‘Not later than’’ and inserting the following: 
‘‘(1) JAMES ZADROGA 9/11 HEALTH AND COMPENSATION ACT 
OF 2010.—Not later than’’; and 
(2) by adding at the end the following: 
‘‘(2) JAMES
ZADROGA
9/11
VICTIM
COMPENSATION
FUND 
REAUTHORIZATION ACT.—Not later than 180 days after the date 
of enactment of the James Zadroga 9/11 Victim Compensation 
Fund Reauthorization Act, the Special Master shall update 
the regulations promulgated under subsection (a), and updated 
under paragraph (1), to the extent necessary to comply with 
the amendments made by such Act.’’. 
(f) VICTIMS COMPENSATION FUND.—Title IV of the Air Transpor-
tation Safety and System Stabilization Act (49 U.S.C. 40101 note) 
is amended by adding at the end the following: 
‘‘SEC. 410. VICTIMS COMPENSATION FUND. 
‘‘(a) IN GENERAL.—There is established in the Treasury of the 
United States a fund to be known as the ‘Victims Compensation 
Fund’, consisting of amounts deposited into such fund under sub-
section (b). 
‘‘(b) DEPOSITS INTO FUND.—There shall be deposited into the 
Victims Compensation Fund each of the following: 
‘‘(1) Effective on the day after the date on which all claim-
ants who file a claim in Group A, as described in section 
405(a)(3)(C)(ii), have received the full compensation due such 
claimants under this title for such claim, any amounts 
remaining from the total amount made available under section 
406 to compensate claims in Group A as described in section 
405(a)(3)(C)(ii). 
‘‘(2) The amount appropriated under subsection (c). 
‘‘(c) APPROPRIATIONS.—There is appropriated, out of any money 
in the Treasury not otherwise appropriated, $4,600,000,000 for fiscal 
year 2017, to remain available until expended, to provide compensa-
tion for claims in Group B as described in section 405(a)(3)(C)(iii). 
‘‘(d) AVAILABILITY OF FUNDS.—Amounts deposited into the Vic-
tims Compensation Fund shall be available, without further appro-
priation, to the Special Master to provide compensation for claims 
in Group B as described in section 405(a)(3)(C)(iii).
H. R. 2029—765 
‘‘(e) TERMINATION.—Upon completion of all payments under 
this title, the Victims Compensation Fund shall be permanently 
closed.’’. 
(g) 9-11 RESPONSE AND BIOMETRIC ENTRY-EXIT FEE.—Title IV 
of the Air Transportation Safety and System Stabilization Act (49 
U.S.C. 40101 note), as amended by subsection (f), is further 
amended by adding at the end the following: 
‘‘SEC. 411. 9-11 RESPONSE AND BIOMETRIC ENTRY-EXIT FEE. 
‘‘(a) TEMPORARY L-1 VISA FEE INCREASE.—Notwithstanding sec-
tion 281 of the Immigration and Nationality Act (8 U.S.C. 1351) 
or any other provision of law, during the period beginning on 
the date of the enactment of this section and ending on September 
30, 2025, the combined filing fee and fraud prevention and detection 
fee required to be submitted with an application for admission 
as a nonimmigrant under section 101(a)(15)(L) of the Immigration 
and Nationality Act (8 U.S.C. 1101(a)(15)(L)), including an applica-
tion for an extension of such status, shall be increased by $4,500 
for applicants that employ 50 or more employees in the United 
States if more than 50 percent of the applicant’s employees are 
nonimmigrants admitted pursuant to subparagraph (H)(i)(b) or (L) 
of section 101(a)(15) of such Act. 
‘‘(b) TEMPORARY H-1B VISA FEE INCREASE.—Notwithstanding 
section 281 of the Immigration and Nationality Act (8 U.S.C. 1351) 
or any other provision of law, during the period beginning on 
the date of the enactment of this section and ending on September 
30, 2025, the combined filing fee and fraud prevention and detection 
fee required to be submitted with an application for admission 
as a nonimmigrant under section 101(a)(15)(H)(i)(b) of the Immigra-
tion and Nationality Act (8 U.S.C. 1101(a)(15)(H)(i)(b)), including 
an application for an extension of such status, shall be increased 
by $4,000 for applicants that employ 50 or more employees in 
the United States if more than 50 percent of the applicant’s 
employees are such nonimmigrants or nonimmigrants described 
in section 101(a)(15)(L) of such Act. 
‘‘(c) 9-11 RESPONSE AND BIOMETRIC EXIT ACCOUNT.— 
‘‘(1) ESTABLISHMENT.—There is established in the general 
fund of the Treasury a separate account, which shall be known 
as the ‘9–11 Response and Biometric Exit Account’. 
‘‘(2) DEPOSITS.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), of the 
amounts collected pursuant to the fee increases authorized 
under subsections (a) and (b)— 
‘‘(i) 50 percent shall be deposited in the general 
fund of the Treasury; and 
‘‘(ii) 50 percent shall be deposited as offsetting 
receipts into the 9–11 Response and Biometric Exit 
Account, and shall remain available until expended. 
‘‘(B) TERMINATION OF DEPOSITS IN ACCOUNT.—After a 
total of $1,000,000,000 is deposited into the 9–11 Response 
and Biometric Exit Account under subparagraph (A)(ii), 
all amounts collected pursuant to the fee increases author-
ized under subsections (a) and (b) shall be deposited in 
the general fund of the Treasury. 
‘‘(3) USE OF FUNDS.—For fiscal year 2017, and each fiscal 
year thereafter, amounts in the 9–11 Response and Biometric 
Exit Account shall be available to the Secretary of Homeland
H. R. 2029—766 
Security without further appropriation for implementing the 
biometric entry and exit data system described in section 7208 
of the Intelligence Reform and Terrorism Prevention Act of 
2004 (8 U.S.C. 1365b).’’. 
(h) ADMINISTRATIVE COSTS.—Section 1347 of the Full-Year Con-
tinuing Appropriations Act, 2011 (49 U.S.C. 40101 note) is 
amended— 
(1) by inserting ‘‘and (2)’’ after ‘‘(d)(1)’’; and 
(2) by adding at the end the following: ‘‘Costs for payments 
for compensation for claims in Group A, as described in section 
405(a)(3)(C)(ii) of such Act, shall be paid from amounts made 
available under section 406 of such Act. Costs for payments 
for compensation for claims in Group B, as described in section 
405(a)(3)(C)(iii) of such Act, shall be paid from amounts in 
the Victims Compensation Fund established under section 410 
of such Act.’’. 
SEC. 403. AMENDMENT TO EXEMPT PROGRAMS. 
(a) IN GENERAL.—Section 255(g)(1)(B) of the Balanced Budget 
and Emergency Deficit Control Act of 1985 (2 U.S.C. 905(g)(1)(B)) 
is amended by— 
(1) inserting after the item relating to Retirement Pay 
and Medical Benefits for Commissioned Officers, Public Health 
Service the following: 
‘‘September 11th Victim Compensation Fund (15–0340–0– 
1–754).’’; 
(2) inserting after the item relating to United States Secret 
Service, DC Annuity the following: 
‘‘Victims Compensation Fund established under section 410 
of the Air Transportation Safety and System Stabilization Act 
(49 U.S.C. 40101 note). 
‘‘United States Victims of State Sponsored Terrorism 
Fund.’’; and 
(3) inserting after the item relating to the Voluntary Sepa-
ration Incentive Fund the following: 
‘‘World Trade Center Health Program Fund (75–0946–0– 
1–551).’’. 
(b) APPLICABILITY.—The amendments made by this section shall 
apply to any sequestration order issued under the Balanced Budget 
and Emergency Deficit Control Act of 1985 (2 U.S.C. 900 et seq.) 
on or after the date of enactment of this Act. 
SEC. 404. COMPENSATION FOR UNITED STATES VICTIMS OF STATE 
SPONSORED TERRORISM ACT. 
(a) SHORT TITLE.—This section may be cited as the ‘‘Justice 
for United States Victims of State Sponsored Terrorism Act’’. 
(b) ADMINISTRATION OF THE UNITED STATES VICTIMS OF STATE 
SPONSORED TERRORISM FUND.— 
(1) ADMINISTRATION OF THE FUND.— 
(A) APPOINTMENT AND TERMS OF SPECIAL MASTER.— 
(i) INITIAL APPOINTMENT.—Not later than 60 days 
after the date of the enactment of this Act, the Attorney 
General shall appoint a Special Master. The initial 
term for the Special Master shall be 18 months. 
(ii) ADDITIONAL
TERMS.—Thereafter, each time 
there exists funds in excess of $100,000,000 in the 
Fund, the Attorney General shall appoint or reappoint 
a Special Master for such period as is appropriate,
H. R. 2029—767 
not to exceed 1 year. In addition, if there exists in 
the Fund funds that are less than $100,000,000, the 
Attorney General may appoint or reappoint a Special 
Master each time the Attorney General determines 
there are sufficient funds available in the Fund to 
compensate eligible claimants, for such period as is 
appropriate, not to exceed 1 year. 
(iii) SPECIAL
MASTER
TO
ADMINISTER
COMPENSA-
TION
FROM
THE
FUND.—The Special Master shall 
administer the compensation program described in this 
section for United States persons who are victims of 
state sponsored terrorism. 
(B) ADMINISTRATIVE COSTS AND USE OF DEPARTMENT 
OF JUSTICE PERSONNEL.—The Special Master may utilize, 
as necessary, no more than 5 full-time equivalent Depart-
ment of Justice personnel to assist in carrying out the 
duties of the Special Master under this section. Any costs 
associated with the use of such personnel, and any other 
administrative costs of carrying out this section, shall be 
paid from the Fund. 
(C) COMPENSATION OF SPECIAL MASTER.—The Special 
Master shall be compensated from the Fund at a rate 
not to exceed the annual rate of basic pay for level IV 
of the Executive Schedule, as prescribed by section 5315 
of title 5, United States Code. 
(2) PUBLICATION OF REGULATIONS AND PROCEDURES.— 
(A) IN GENERAL.—Not later than 60 days after the 
date of the initial appointment of the Special Master, the 
Special Master shall publish in the Federal Register and 
on a website maintained by the Department of Justice 
a notice specifying the procedures necessary for United 
States persons to apply and establish eligibility for pay-
ment, including procedures by which eligible United States 
persons may apply by and through their attorney. Such 
notice is not subject to the requirements of section 553 
of title 5, United States Code. 
(B) INFORMATION REGARDING OTHER SOURCES OF COM-
PENSATION.—As part of the procedures for United States 
persons to apply and establish eligibility for payment, the 
Special Master shall require applicants to provide the Spe-
cial Master with information regarding compensation from 
any source other than this Fund that the claimant (or, 
in the case of a personal representative, the victim’s bene-
ficiaries) has received or is entitled or scheduled to receive 
as a result of the act of international terrorism that gave 
rise to a claimant’s final judgment, including information 
identifying the amount, nature, and source of such com-
pensation. 
(3) DECISIONS OF THE SPECIAL MASTER.—All decisions made 
by the Special Master with regard to compensation from the 
Fund shall be— 
(A) in writing and provided to the Attorney General, 
each claimant and, if applicable, the attorney for each 
claimant; and 
(B) final and, except as provided in paragraph (4), 
not subject to administrative or judicial review. 
(4) REVIEW HEARING.—
H. R. 2029—768 
(A) Not later than 30 days after receipt of a written 
decision by the Special Master, a claimant whose claim 
is denied in whole or in part by the Special Master may 
request a hearing before the Special Master pursuant to 
procedures established by the Special Master. 
(B) Not later than 90 days after any such hearing, 
the Special Master shall issue a final written decision 
affirming or amending the original decision. The written 
decision is final and nonreviewable. 
(c) ELIGIBLE CLAIMS.— 
(1) IN GENERAL.—For the purposes of this section, a claim 
is an eligible claim if the Special Master determines that— 
(A) the judgment holder, or claimant, is a United States 
person; 
(B) the claim is described in paragraph (2); and 
(C) the requirements of paragraph (3) are met. 
(2) CERTAIN CLAIMS.—The claims referred to in paragraph 
(1) are claims for— 
(A) compensatory damages awarded to a United States 
person in a final judgment— 
(i) issued by a United States district court under 
State or Federal law against a state sponsor of ter-
rorism; and 
(ii) arising from acts of international terrorism, 
for which the foreign state was determined not to 
be immune from the jurisdiction of the courts of the 
United States under section 1605A, or section 
1605(a)(7) (as such section was in effect on January 
27, 2008), of title 28, United States Code; 
(B) the sum total of $10,000 per day for each day 
that a United States person was taken and held hostage 
from the United States embassy in Tehran, Iran, during 
the period beginning November 4, 1979, and ending 
January 20, 1981, if such person is identified as a member 
of the proposed class in case number 1:00-CV-03110 (EGS) 
of the United States District Court for the District of 
Columbia; or 
(C) damages for the spouses and children of the former 
hostages described in subparagraph (B), if such spouse 
or child is identified as a member of the proposed class 
in case number 1:00-CV-03110 (EGS) of the United States 
Court for the District of Columbia, in the following 
amounts: 
(i) For each spouse of a former hostage identified 
as a member of the proposed class described in this 
subparagraph, a $600,000 lump sum. 
(ii) For each child of a former hostage identified 
as a member of the proposed class described in this 
subparagraph, a $600,000 lump sum. 
(3) DEADLINE FOR APPLICATION SUBMISSION.— 
(A) IN
GENERAL.—The deadline for submitting an 
application for a payment under this subsection is as fol-
lows: 
(i) Not later than 90 days after the date of the 
publication required under subsection (b)(2)(A), with 
regard to an application based on—
H. R. 2029—769 
(I) a final judgment described in paragraph 
(2)(A) obtained before that date of publication; or 
(II) a claim described in paragraph (2)(B) or 
(2)(C). 
(ii) Not later than 90 days after the date of 
obtaining a final judgment, with regard to a final judg-
ment obtained on or after the date of that publication. 
(B) GOOD CAUSE.—For good cause shown, the Special 
Master may grant a claimant a reasonable extension of 
a deadline under this paragraph. 
(d) PAYMENTS.— 
(1) TO WHOM MADE.—The Special Master shall order pay-
ment from the Fund for each eligible claim of a United States 
person to that person or, if that person is deceased, to the 
personal representative of the estate of that person. 
(2) TIMING OF INITIAL PAYMENTS.—The Special Master shall 
authorize all initial payments to satisfy eligible claims under 
this section not later than 1 year after the date of the enactment 
of this Act. 
(3) PAYMENTS TO BE MADE PRO RATA.— 
(A) IN GENERAL.— 
(i) PRO
RATA
BASIS.—Except as provided in 
subparagraph (B) and subject to the limitations 
described in clause (ii), the Special Master shall carry 
out paragraph (1), by dividing all available funds on 
a pro rata basis, based on the amounts outstanding 
and unpaid on eligible claims, until all such amounts 
have been paid in full. 
(ii) LIMITATIONS.—The limitations described in this 
clause are as follows: 
(I) In the event that a United States person 
has an eligible claim that exceeds $20,000,000, 
the Special Master shall treat that claim as if 
it were for $20,000,000 for purposes of this section. 
(II) In the event that a United States person 
and the immediate family members of such person, 
have claims that if aggregated would exceed 
$35,000,000, the Special Master shall, for purposes 
of this section, reduce such claims on a pro rata 
basis such that in the aggregate such claims do 
not exceed $35,000,000. 
(III) In the event that a United States person, 
or the immediate family member of such person, 
has an eligible claim under this section and has 
received an award or an award determination 
under section 405 of the Air Transportation Safety 
and System Stabilization Act (49 U.S.C. 40101 
note), the amount of compensation to which such 
person, or the immediate family member of such 
person, was determined to be entitled under sec-
tion 405 of the Air Transportation Safety and 
System Stabilization Act (49 U.S.C. 40101 note) 
shall be considered controlling for the purposes 
of this section, notwithstanding any compensatory 
damages amounts such person, or immediate 
family member of such person, is deemed eligible
H. R. 2029—770 
for or entitled to pursuant to a final judgment 
described in subsection (c)(2)(A). 
(B) MINIMUM PAYMENTS.— 
(i) Any applicant with an eligible claim described 
in subsection (c)(2) who has received, or is entitled 
or scheduled to receive, any payment that is equal 
to, or in excess of, 30 percent of the total compensatory 
damages owed to such applicant on the applicant’s 
claim from any source other than this Fund shall not 
receive any payment from the Fund until such time 
as all other eligible applicants have received from the 
Fund an amount equal to 30 percent of the compen-
satory damages awarded to those applicants pursuant 
to their final judgments or to claims under subsection 
(c)(2)(B) or (c)(2)(C). For purposes of calculating the 
pro rata amounts for these payments, the Special 
Master shall not include the total compensatory dam-
ages for applicants excluded from payment by this 
subparagraph. 
(ii) To the extent that an applicant with an eligible 
claim has received less than 30 percent of the compen-
satory damages owed that applicant under a final judg-
ment or claim described in subsection (c)(2) from any 
source other than this Fund, such applicant may apply 
to the Special Master for the difference between the 
percentage of compensatory damages the applicant has 
received from other sources and the percentage of 
compensatory damages to be awarded other eligible 
applicants from the Fund. 
(4) ADDITIONAL PAYMENTS.—On January 1 of the second 
calendar year that begins after the date of the initial payments 
described in paragraph (1) if funds are available in the Fund, 
the Special Master shall authorize additional payments on a 
pro rata basis to those claimants with eligible claims under 
subsection (c)(2) and shall authorize additional payments for 
eligible claims annually thereafter if funds are available in 
the Fund. 
(5) SUBROGATION AND RETENTION OF RIGHTS.— 
(A) UNITED STATES SUBROGATED TO CREDITOR RIGHTS 
TO THE EXTENT OF PAYMENT.—The United States shall be 
subrogated to the rights of any person who applies for 
and receives payments under this section, but only to the 
extent and in the amount of such payments made under 
this section. The President shall pursue these subrogated 
rights as claims or offsets of the United States in appro-
priate ways, including any negotiation process that pre-
cedes the normalization of relations between the foreign 
state designated as a state sponsor of terrorism and the 
United States or the lifting of sanctions against such for-
eign state. 
(B) RIGHTS RETAINED.—To the extent amounts of dam-
ages remain unpaid and outstanding following any pay-
ments made under this subsection, each applicant shall 
retain that applicant’s creditor rights in any unpaid and 
outstanding amounts of the judgment, including any
H. R. 2029—771 
prejudgment or post-judgment interest, or punitive dam-
ages, awarded by the United States district court pursuant 
to a judgment. 
(e) UNITED STATES VICTIMS OF STATE SPONSORED TERRORISM 
FUND.— 
(1) ESTABLISHMENT OF UNITED STATES VICTIMS OF STATE 
SPONSORED
TERRORISM
FUND.—There is established in the 
Treasury a fund, to be designated as the United States Victims 
of State Sponsored Terrorism Fund. 
(2) DEPOSIT AND TRANSFER.—Beginning on the date of the 
enactment of this Act, the following shall be deposited or trans-
ferred into the Fund for distribution under this section: 
(A) FORFEITED FUNDS AND PROPERTY.— 
(i) CRIMINAL FUNDS AND PROPERTY.—All funds, and 
the net proceeds from the sale of property, forfeited 
or paid to the United States after the date of enactment 
of this Act as a criminal penalty or fine arising from 
a violation of any license, order, regulation, or prohibi-
tion issued under the International Emergency Eco-
nomic Powers Act (50 U.S.C. 1701 et seq.) or the 
Trading with the Enemy Act (50 U.S.C. App. 1 et 
seq.), or any related criminal conspiracy, scheme, or 
other Federal offense arising from the actions of, or 
doing business with or acting on behalf of, a state 
sponsor of terrorism. 
(ii) CIVIL FUNDS AND PROPERTY.—One-half of all 
funds, and one-half of the net proceeds from the sale 
of property, forfeited or paid to the United States after 
the date of enactment of this Act as a civil penalty 
or fine arising from a violation of any license, order, 
regulation, or prohibition issued under the Inter-
national Emergency Economic Powers Act (50 U.S.C. 
1701 et seq.) or the Trading with the Enemy Act (50 
U.S.C. App. 1 et seq.), or any related conspiracy, 
scheme, or other Federal offense arising from the 
actions of, or doing business with or acting on behalf 
of, a state sponsor of terrorism. 
(B) TRANSFER INTO FUND OF CERTAIN ASSIGNED ASSETS 
OF IRAN AND ELECTION TO PARTICIPATE IN FUND.— 
(i) DEPOSIT
INTO
FUND
OF
ASSIGNED
PROCEEDS 
FROM SALE OF PROPERTIES AND RELATED ASSETS IDENTI-
FIED
IN
IN
RE
650
FIFTH
AVENUE
&
RELATED
PROP-
ERTIES.— 
(I) IN GENERAL.—Except as provided in sub-
clause (II), if the United States receives a final 
judgment forfeiting the properties and related 
assets identified in the proceedings captioned as 
In Re 650 Fifth Avenue & Related Properties, No. 
08 Civ. 10934 (S.D.N.Y. filed Dec. 17, 2008), the 
net proceeds (not including the litigation expenses 
and sales costs incurred by the United States) 
resulting from the sale of such properties and 
related assets by the United States shall be depos-
ited into the Fund. 
(II) 
LIMITATION.—The 
following 
proceeds 
resulting from any sale of the properties and
H. R. 2029—772 
related assets identified in subclause (I) shall not 
be transferred into the Fund: 
(aa) The percentage of proceeds attrib-
utable to any party identified as a Settling 
Judgment Creditor in the order dated April 
16, 2014, in such proceedings, who does not 
make an election (described in clause (iii)) to 
participate in the Fund. 
(bb) The percentage of proceeds attrib-
utable to the parties identified as the Hegna 
Judgment Creditors in such proceedings, 
unless and until a final judgment is entered 
denying the claims of such creditors. 
(ii) DEPOSIT INTO FUND OF ASSIGNED ASSETS IDENTI-
FIED IN PETERSON V. ISLAMIC REPUBLIC OF IRAN.—If 
a final judgment is entered in Peterson v. Islamic 
Republic of Iran, No. 10 Civ. 4518 (S.D.N.Y.), awarding 
the assets at issue in that case to the judgment credi-
tors identified in the order dated July 9, 2013, those 
assets shall be deposited into the Fund, but only to 
the extent, and in such percentage, that the rights, 
title, and interest to such assets were assigned through 
elections made pursuant to clause (iii). 
(iii) ELECTION TO PARTICIPATE IN THE FUND.—Upon 
written notice to the Attorney General, the Special 
Master, and the chief judge of the United States Dis-
trict Court for the Southern District of New York 
within 60 days after the date of the publication 
required under subsection (b)(2)(A) a United States 
person, who is a judgment creditor in the proceedings 
captioned Peterson v. Islamic Republic of Iran, No. 
10 Civ. 4518 (S.D.N.Y.), or a Settling Judgment Cred-
itor as identified in the order dated May 27, 2014, 
in the proceedings captioned In Re 650 Fifth Avenue 
& Related Properties, No. 08 Civ. 10934 (S.D.N.Y. filed 
Dec. 17, 2008), shall have the right to elect to partici-
pate in the Fund and, to the extent any such person 
exercises such right, shall irrevocably assign to the 
Fund all rights, title, and interest to such person’s 
claims to the assets at issue in such proceedings. To 
the extent that a United States person is both a judg-
ment creditor in the proceedings captioned Peterson 
v. Islamic Republic of Iran, No. 10 Civ. 4518 (S.D.N.Y.) 
and a Settling Judgment Creditor in In Re 650 Fifth 
Avenue & Related Properties, No. 08 Civ. 10934 
(S.D.N.Y. filed Dec. 17, 2008), any election by such 
person to participate in the Fund pursuant to this 
paragraph shall operate as an election to assign any 
and all rights, title, and interest in the assets in both 
actions for the purposes of participating in the Fund. 
The Attorney General is authorized to pursue any such 
assigned rights, title, and interest in those claims for 
the benefit of the Fund. 
(iv) APPLICATION FOR CONDITIONAL PAYMENT.—A 
United States person who is a judgment creditor or 
a Settling Judgment Creditor in the proceedings identi-
fied in clause (iii) and who does not elect to participate
H. R. 2029—773 
in the Fund may, notwithstanding such failure to elect, 
submit an application for conditional payment from 
the Fund, subject to the following limitations: 
(I) IN
GENERAL.—Notwithstanding any such 
claimant’s eligibility for payment and the initial 
deadline for initial payments set forth in sub-
section (d)(2), the Special Master shall allocate 
but withhold payment to an eligible claimant who 
applies for a conditional payment under this para-
graph until such time as an adverse final judgment 
is entered in both of the proceedings identified 
in clause (iii). 
(II) EXCEPTION.— 
(aa) In the event that an adverse final 
judgment is entered in the proceedings cap-
tioned Peterson v. Islamic Republic of Iran, 
No. 10 Civ. 4518 (S.D.N.Y), prior to a final 
judgment being entered in the proceedings 
captioned In Re 650 Fifth Avenue & Related 
Properties, No. 08 Civ. 10934 (S.D.N.Y. filed 
Dec. 17, 2008), the Special Master shall 
release a portion of an eligible claimant’s 
conditional payment to such eligible claimant 
if the Special Master anticipates that such 
claimant will receive less than the amount 
of the conditional payment from any proceeds 
from a final judgment that is entered in favor 
of the plaintiffs in In Re 650 Fifth Avenue 
& Related Properties. Such portion shall not 
exceed the difference between the amount of 
the conditional payment and the amount the 
Special Master anticipates such claimant will 
receive from the proceeds of In Re 650 Fifth 
Avenue & Related Properties. 
(bb) In the event that a final judgment 
is entered in favor of the plaintiffs in the 
proceedings captioned Peterson v. Islamic 
Republic of Iran, No. 10 Civ. 4518 (S.D.N.Y) 
and funds are distributed, the payments allo-
cated to claimants who applied for a condi-
tional payment under this subparagraph shall 
be considered void, and any funds previously 
allocated to such conditional payments shall 
be made available and distributed to all other 
eligible claimants pursuant to subsection (d). 
(3) EXPENDITURES FROM FUND.—Amounts in the Fund shall 
be available, without further appropriation, for the payment 
of eligible claims and compensation of the Special Master in 
accordance with this section. 
(4) MANAGEMENT OF FUND.—The Fund shall be managed 
and invested in the same manner as a trust fund is managed 
and invested under section 9602 of the Internal Revenue Code 
of 1986. 
(5) FUNDING.—There is appropriated to the Fund, out of 
any money in the Treasury not otherwise appropriated, 
$1,025,000,000 for fiscal year 2017, to remain available until 
expended.
H. R. 2029—774 
(6) TERMINATION.— 
(A) IN GENERAL.—Amounts in the Fund may not be 
obligated on or after January 2, 2026. 
(B) CLOSING OF FUND.—Effective on the day after all 
amounts authorized to be paid from the Fund under this 
section that were obligated before January 2, 2026 are 
expended, any unobligated balances in the Fund shall be 
transferred, as appropriate, to either the Department of 
the Treasury Forfeiture Fund established under section 
9705 of title 31, United States Code, or to the Department 
of Justice Assets Forfeiture Fund established under section 
524(c)(1) of title 28, United States Code. 
(f) ATTORNEYS’ FEES AND COSTS.— 
(1) IN GENERAL.—No attorney shall charge, receive, or col-
lect, and the Special Master shall not approve, any payment 
of fees and costs that in the aggregate exceeds 25 percent 
of any payment made under this section. 
(2) PENALTY.—Any attorney who violates paragraph (1) 
shall be fined under title 18, United States Code, imprisoned 
for not more than 1 year, or both. 
(g) AWARD OF COMPENSATION TO INFORMERS.— 
(1) IN GENERAL.—Any United States person who holds a 
final judgment described in subsection (c)(2)(A) or a claim under 
subsection (c)(2)(B) or (c)(2)(C) and who meets the requirements 
set forth in paragraph (2) is entitled to receive an award 
of 10 percent of the funds deposited in the Fund under sub-
section (e)(2) attributable to information such person furnished 
to the Attorney General that leads to a forfeiture described 
in subsection (e)(2)(A), which is made after the date of enact-
ment of this Act pursuant to a proceeding resulting in forfeiture 
that was initiated after the date of enactment of this Act. 
(2) PERSON DESCRIBED.—A person meets the requirements 
of this paragraph if— 
(A) the person identifies and notifies the Attorney Gen-
eral of funds or property— 
(i) of a state sponsor of terrorism, or held by a 
third party on behalf of or subject to the control of 
that state sponsor of terrorism; 
(ii) that were not previously identified or known 
by the United States Government; and 
(iii) that are subsequently forfeited directly or in 
the form of substitute assets to the United States; 
and 
(B) the Attorney General finds that the identification 
and notification under subparagraph (A) by that person 
substantially contributed to the forfeiture to the United 
States. 
(h) SPECIAL EXCLUSION FROM COMPENSATION.—In no event 
shall an individual who is criminally culpable for an act of inter-
national terrorism receive any compensation under this section, 
either directly or on behalf of a victim. 
(i) REPORT TO CONGRESS.—Within 30 days after authorizing 
the payment of compensation of eligible claims pursuant to sub-
section (d), the Special Master shall submit to the chairman and 
ranking minority member of the Committee on the Judiciary of 
the House of Representatives and the chairman and ranking
H. R. 2029—775 
minority member of the Committee on the Judiciary of the Senate 
a report on the payment of eligible claims, which shall include— 
(1) an explanation of the procedures for filing and proc-
essing of applications for compensation; and 
(2) an analysis of the payments made to United States 
persons from the Fund and the amount of outstanding eligible 
claims, including— 
(A) the number of applications for compensation sub-
mitted; 
(B) the number of applications approved and the 
amount of each award; 
(C) the number of applications denied and the reasons 
for the denial; 
(D) the number of applications for compensation that 
are pending for which compensatory damages have not 
been paid in full; and 
(E) the total amount of compensatory damages from 
eligible claims that have been paid and that remain unpaid. 
(j) DEFINITIONS.—In this section the following definitions apply: 
(1) ACT OF INTERNATIONAL TERRORISM.—The term ‘‘act of 
international terrorism’’ includes— 
(A) an act of torture, extrajudicial killing, aircraft sabo-
tage, or hostage taking as those terms are defined in section 
1605A(h) of title 28, United States Code; and 
(B) providing material support or resources, as defined 
in section 2339A of title 18, United States Code, for an 
act described in subparagraph (A). 
(2) ADVERSE FINAL JUDGMENT.—The term ‘‘adverse final 
judgment’’ means a final judgment in favor of the defendant, 
or defendants, in the proceedings identified in subsection 
(e)(2)(B)(iii), or which does not order any payment from, or 
award any interest in, the assets at issue in such proceedings 
to the plaintiffs, judgment creditors, or Settling Judgment 
Creditors in such proceedings. 
(3) COMPENSATORY
DAMAGES.—The term ‘‘compensatory 
damages’’ does not include pre-judgment or post-judgment 
interest or punitive damages. 
(4) FINAL JUDGMENT.—The term ‘‘final judgment’’ means 
an enforceable final judgment, decree or order on liability and 
damages entered by a United States district court that is not 
subject to further appellate review, but does not include a 
judgment, decree, or order that has been waived, relinquished, 
satisfied, espoused by the United States, or subject to a bilateral 
claims settlement agreement between the United States and 
a foreign state. In the case of a default judgment, such judgment 
shall not be considered a final judgment until such time as 
service of process has been completed pursuant to section 
1608(e) of title 28, United States Code. 
(5) FUND.—The term ‘‘Fund’’ means the United States Vic-
tims of State Sponsored Terrorism Fund established by this 
section. 
(6) SOURCE
OTHER
THAN
THIS
FUND.—The term ‘‘source 
other than this Fund’’ means all collateral sources, including 
life insurance, pension funds, death benefit programs, payments 
by Federal, State, or local governments (including payments 
from the September 11th Victim Compensation Fund (49 U.S.C. 
40101 note)), and court awarded compensation related to the
H. R. 2029—776 
act of international terrorism that gave rise to a claimant’s 
final judgment. The term ‘‘entitled or scheduled to receive’’ 
in subsection (d)(3)(B)(i) includes any potential recovery where 
that person or their representative is a party to any civil 
or administrative action pending in any court or agency of 
competent jurisdiction in which the party seeks to enforce the 
judgment giving rise to the application to the Fund. 
(7) STATE SPONSOR OF TERRORISM.—The term ‘‘state sponsor 
of terrorism’’ means a country the government of which the 
Secretary of State has determined, for purposes of section 6(j) 
of the Export Administration Act of 1979 (50 U.S.C. 4605(j)), 
section 620A of the Foreign Assistance Act of 1961 (22 U.S.C. 
2371), section 40 of the Arms Export Control Act (22 U.S.C. 
2780), or any other provision of law, is a government that 
has repeatedly provided support for acts of international ter-
rorism. 
(8) UNITED STATES PERSON.—The term ‘‘United States per-
son’’ means a natural person who has suffered an injury arising 
from the actions of a foreign state for which the foreign state 
has been determined not to be immune from the jurisdiction 
of the courts of the United States under section 1605A or 
section 1605(a)(7) (as such section was in effect on January 
27, 2008) of title 28, United States Code, or is eligible to 
make a claim under subsection (c)(2)(B) or subsection (c)(2)(C). 
(k) SEVERABILITY.—The provisions of this section are severable. 
If any provision of this section, or any application thereof, is found 
unconstitutional, that finding shall not affect any provision or 
application of this section not so adjudicated. 
SEC. 405. BUDGETARY PROVISIONS. 
(a) LIMITATION.—Notwithstanding any other provision of law, 
including section 982 of title 18, United States Code, and section 
413 of the Controlled Substances Act (21 U.S.C. 853), none of 
the funds paid to the United States Government by BNP Paribas 
S.A. as part of, or related to, a plea agreement dated June 27, 
2014, entered into between the Department of Justice and BNP 
Paribas S.A., and subject to a consent order entered by the United 
States District Court for the Southern District of New York on 
May 1, 2015, in United States v. BNPP, No. 14 Cr. 460 (S.D.N.Y.) 
to settle charges against BNP Paribas S.A. for conspiracy to commit 
an offense against the United States in violation of section 371 
of title 18, United States Code, by conspiring to violate the Inter-
national Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), 
and the Trading with the Enemy Act (50 U.S.C. 4301 et seq.), 
may be used by the United States Government— 
(1) in any manner in furtherance of the proposed use 
of such funds by the Department of Justice to compensate 
individuals as announced by the Department of Justice on 
May 1, 2015; or 
(2) in any other manner whatsoever, including in further-
ance of any program to compensate victims of international 
or state sponsored terrorism, except as such funds are directed 
by Congress pursuant to this title and the amendments made 
by this title. 
(b) RESCISSION
OF FUNDS FROM BNP SETTLEMENT.—Of the 
amounts in the Department of the Treasury Forfeiture Fund estab-
lished under section 9705 of title 31, United States Code,
H. R. 2029—777 
$3,800,000,000 from funds paid to the United States Government 
by BNP Paribas S.A. as part of, or related to, a plea agreement 
dated June 27, 2014, entered into between the Department of 
Justice and BNP Paribas S.A., and subject to a consent order 
entered by the United States District Court for the Southern District 
of New York on May 1, 2015, in United States v. BNPP, No. 
14 Cr. 460 (S.D.N.Y.), shall be deobligated, if necessary, and shall 
be permanently rescinded. 
TITLE V—MEDICARE AND MEDICAID 
PROVISIONS 
SEC. 501. MEDICARE IMPROVEMENT FUND. 
Section 1898(b)(1) of the Social Security Act (42 U.S.C. 
1395iii(b)(1)) is amended by striking ‘‘$205,000,000’’ and inserting 
‘‘$5,000,000’’. 
SEC. 502. MEDICARE PAYMENT INCENTIVE FOR THE TRANSITION 
FROM TRADITIONAL X-RAY IMAGING TO DIGITAL RADIOG-
RAPHY AND OTHER MEDICARE IMAGING PAYMENT PROVI-
SION. 
(a) PHYSICIAN FEE SCHEDULE.— 
(1) PAYMENT INCENTIVE FOR TRANSITION.— 
(A) IN GENERAL.—Section 1848(b) of the Social Security 
Act (42 U.S.C. 1395w–4(b)) is amended by adding at the 
end the following new paragraph: 
‘‘(9) SPECIAL RULE TO INCENTIVIZE TRANSITION FROM TRADI-
TIONAL X-RAY IMAGING TO DIGITAL RADIOGRAPHY.— 
‘‘(A) LIMITATION ON PAYMENT FOR FILM X-RAY IMAGING 
SERVICES.—In the case of an imaging service (including 
the imaging portion of a service) that is an X-ray taken 
using film and that is furnished during 2017 or a subse-
quent year, the payment amount for the technical compo-
nent (including the technical component portion of a global 
service) of such service that would otherwise be determined 
under this section (without application of this paragraph 
and before application of any other adjustment under this 
section) for such year shall be reduced by 20 percent. 
‘‘(B) PHASED-IN LIMITATION ON PAYMENT FOR COMPUTED 
RADIOGRAPHY
IMAGING
SERVICES.—In the case of an 
imaging service (including the imaging portion of a service) 
that is an X-ray taken using computed radiography tech-
nology— 
‘‘(i) in the case of such a service furnished during 
2018, 2019, 2020, 2021, or 2022, the payment amount 
for the technical component (including the technical 
component portion of a global service) of such service 
that would otherwise be determined under this section 
(without application of this paragraph and before 
application of any other adjustment under this section) 
for such year shall be reduced by 7 percent; and 
‘‘(ii) in the case of such a service furnished during 
2023 or a subsequent year, the payment amount for 
the technical component (including the technical 
component portion of a global service) of such service 
that would otherwise be determined under this section
H. R. 2029—778 
(without application of this paragraph and before 
application of any other adjustment under this section) 
for such year shall be reduced by 10 percent. 
‘‘(C) COMPUTED RADIOGRAPHY TECHNOLOGY DEFINED.— 
For purposes of this paragraph, the term ‘computed radiog-
raphy technology’ means cassette-based imaging which uti-
lizes an imaging plate to create the image involved. 
‘‘(D) IMPLEMENTATION.—In order to implement this 
paragraph, the Secretary shall adopt appropriate mecha-
nisms which may include use of modifiers.’’. 
(B) EXEMPTION
FROM
BUDGET
NEUTRALITY.—Section 
1848(c)(2)(B)(v) of the Social Security Act (42 U.S.C. 
1395w–4(c)(2)(B)(v)) is amended by adding at the end the 
following new subclause: 
‘‘(X) REDUCED EXPENDITURES ATTRIBUTABLE TO 
INCENTIVES
TO
TRANSITION
TO
DIGITAL
RADIOG-
RAPHY.—Effective for fee schedules established 
beginning with 2017, reduced expenditures attrib-
utable to subparagraph (A) of subsection (b)(9) and 
effective for fee schedules established beginning 
with 2018, reduced expenditures attributable to 
subparagraph (B) of such subsection.’’. 
(2) REDUCTION OF DISCOUNT IN PAYMENT FOR PROFESSIONAL 
COMPONENT OF MULTIPLE IMAGING SERVICES.— 
(A) IN GENERAL.—Section 1848(b) of the Social Security 
Act (42 U.S.C. 1395w–4(b)), as amended by paragraph (1), 
is amended by adding at the end the following new para-
graph: 
‘‘(10) REDUCTION OF DISCOUNT IN PAYMENT FOR PROFES-
SIONAL COMPONENT OF MULTIPLE IMAGING SERVICES.—In the 
case of the professional component of imaging services furnished 
on or after January 1, 2017, instead of the 25 percent reduction 
for multiple procedures specified in the final rule published 
by the Secretary in the Federal Register on November 28, 
2011, as amended in the final rule published by the Secretary 
in the Federal Register on November 16, 2012, the reduction 
percentage shall be 5 percent.’’. 
(B) EXEMPTION
FROM
BUDGET
NEUTRALITY.—Section 
1848(c)(2)(B)(v) of the Social Security Act (42 U.S.C. 1395w 
4(c)(2)(B)(v)), as amended by paragraph (1), is amended 
by adding at the end by the following new subclause: 
‘‘(XI) DISCOUNT IN PAYMENT FOR PROFESSIONAL 
COMPONENT OF IMAGING SERVICES.—Effective for 
fee schedules established beginning with 2017, 
reduced expenditures attributable to subsection 
(b)(10).’’. 
(C) CONFORMING AMENDMENT.—Section 220(i) of the 
Protecting Access to Medicare Act of 2014 (42 U.S.C. 
1395w–4 note) is repealed. 
(b) PAYMENT INCENTIVE FOR TRANSITION UNDER HOSPITAL OUT-
PATIENT PROSPECTIVE PAYMENT SYSTEM.—Section 1833(t)(16) of the 
Social Security Act (42 U.S.C. 1395(t)(16)) is amended by adding 
at the end the following new subparagraph: 
‘‘(F) PAYMENT INCENTIVE FOR THE TRANSITION FROM 
TRADITIONAL
X-RAY
IMAGING
TO
DIGITAL
RADIOGRAPHY.— 
Notwithstanding the previous provisions of this subsection:
H. R. 2029—779 
‘‘(i) LIMITATION
ON
PAYMENT
FOR
FILM
X-RAY 
IMAGING SERVICES.—In the case of an imaging service 
that is an X-ray taken using film and that is furnished 
during 2017 or a subsequent year, the payment amount 
for such service (including the X-ray component of 
a packaged service) that would otherwise be deter-
mined under this section (without application of this 
paragraph and before application of any other adjust-
ment under this subsection) for such year shall be 
reduced by 20 percent. 
‘‘(ii) PHASED-IN LIMITATION ON PAYMENT FOR COM-
PUTED RADIOGRAPHY IMAGING SERVICES.—In the case 
of an imaging service that is an X-ray taken using 
computed radiography technology (as defined in section 
1848(b)(9)(C))— 
‘‘(I) in the case of such a service furnished 
during 2018, 2019, 2020, 2021, or 2022, the pay-
ment amount for such service (including the X- 
ray component of a packaged service) that would 
otherwise be determined under this section (with-
out application of this paragraph and before 
application of any other adjustment under this 
subsection) for such year shall be reduced by 7 
percent; and 
‘‘(II) in the case of such a service furnished 
during 2023 or a subsequent year, the payment 
amount for such service (including the X-ray 
component of a packaged service) that would other-
wise be determined under this section (without 
application of this paragraph and before applica-
tion of any other adjustment under this subsection) 
for such year shall be reduced by 10 percent. 
‘‘(iii) APPLICATION
WITHOUT
REGARD
TO
BUDGET 
NEUTRALITY.—The 
reductions 
made 
under 
this 
subparagraph— 
‘‘(I) shall not be considered an adjustment 
under paragraph (2)(E); and 
‘‘(II) shall not be implemented in a budget 
neutral manner. 
‘‘(iv) IMPLEMENTATION.—In order to implement this 
subparagraph, the Secretary shall adopt appropriate 
mechanisms which may include use of modifiers.’’. 
SEC. 503. LIMITING FEDERAL MEDICAID REIMBURSEMENT TO STATES 
FOR DURABLE MEDICAL EQUIPMENT (DME) TO MEDICARE 
PAYMENT RATES. 
(a) MEDICAID REIMBURSEMENT.— 
(1) IN
GENERAL.—Section 1903(i) of the Social Security 
Act (42 U.S.C. 1396b(i)) is amended— 
(A) in paragraph (25), by striking ‘‘or’’ at the end; 
(B) in paragraph (26), by striking the period at the 
end and inserting ‘‘; or’’; and 
(C) by inserting after paragraph (26) the following 
new paragraph: 
‘‘(27) with respect to any amounts expended by the State 
on the basis of a fee schedule for items described in section
H. R. 2029—780 
1861(n) and furnished on or after January 1, 2019, as deter-
mined in the aggregate with respect to each class of such 
items as defined by the Secretary, in excess of the aggregate 
amount, if any, that would be paid for such items within 
such class on a fee-for-service basis under the program under 
part B of title XVIII, including, as applicable, under a competi-
tive acquisition program under section 1847 in an area of 
the State.’’. 
(2) RULE OF CONSTRUCTION.—Nothing in the amendments 
made by paragraph (1) shall be construed to prohibit a State 
Medicaid program from providing medical assistance for 
durable medical equipment for which payment is denied or 
not available under the Medicare program under title XVIII 
of such Act. 
(b) EVALUATING APPLICATION OF DME PAYMENT LIMITS UNDER 
MEDICAID.—The Secretary of Health and Human Services shall 
evaluate the impact of applying Medicare payment rates with 
respect to payment for durable medical equipment under the Med-
icaid program under section 1903(i)(27) of the Social Security Act, 
as inserted by subsection (a)(1)(C). The Secretary shall make avail-
able to the public the results of such evaluation. 
SEC. 504. TREATMENT OF DISPOSABLE DEVICES. 
(a) IN GENERAL.—Section 1834 of the Social Security Act (42 
U.S.C. 1395m) is amended by adding at the end the following 
new subsection: 
‘‘(s) PAYMENT FOR APPLICABLE DISPOSABLE DEVICES.— 
‘‘(1) SEPARATE PAYMENT.—The Secretary shall make a pay-
ment (separate from the payments otherwise made under sec-
tion 1895) in the amount established under paragraph (3) to 
a home health agency for an applicable disposable device (as 
defined in paragraph (2)) when furnished on or after January 
1, 2017, to an individual who receives home health services 
for which payment is made under section 1895(b). 
‘‘(2) APPLICABLE DISPOSABLE DEVICE.—In this subsection, 
the term applicable disposable device means a disposable device 
that, as determined by the Secretary, is— 
‘‘(A) a disposable negative pressure wound therapy 
device that is an integrated system comprised of a non- 
manual vacuum pump, a receptacle for collecting exudate, 
and dressings for the purposes of wound therapy; and 
‘‘(B) a substitute for, and used in lieu of, a negative 
pressure wound therapy durable medical equipment item 
that is an integrated system of a negative pressure vacuum 
pump, a separate exudate collection canister, and dressings 
that would otherwise be covered for individuals for such 
wound therapy. 
‘‘(3) PAYMENT
AMOUNT.—The separate payment amount 
established under this paragraph for an applicable disposable 
device for a year shall be equal to the amount of the payment 
that would be made under section 1833(t) (relating to payment 
for covered OPD services) for the year for the Level I Healthcare 
Common Procedure Coding System (HCPCS) code for which 
the description for a professional service includes the furnishing 
of such device.’’. 
(b) CONFORMING AMENDMENTS.—
H. R. 2029—781 
(1) COINSURANCE.—Section 1833(a)(1) of the Social Security 
Act (42 U.S.C. 1395l(a)(1)) is amended— 
(A) by striking ‘‘and (Z)’’ and inserting ‘‘(Z)’’; and 
(B) by inserting before the semicolon at the end the 
following: ‘‘, and (AA) with respect to an applicable dispos-
able device (as defined in paragraph (2) of section 1834(s)) 
furnished to an individual pursuant to paragraph (1) of 
such section, the amount paid shall be equal to 80 percent 
of the lesser of the actual charge or the amount determined 
under paragraph (3) of such section’’. 
(2) HOME HEALTH.—Section 1861(m)(5) of the Social Secu-
rity Act (42 U.S.C. 1395x(m)(5)) is amended by inserting ‘‘and 
applicable disposable devices (as defined in section 1834(s)(2))’’ 
after ‘‘durable medical equipment’’. 
(c) REPORTS.— 
(1) GAO STUDY
AND
REPORT
ON
DISPOSABLE
DEVICES.— 
(A) STUDY.—The Comptroller General of the United 
States shall conduct a study on the value of disposable 
devices to the Medicare program and Medicare beneficiaries 
and the role of disposable devices as substitutes for durable 
medical equipment. Such study shall address the following: 
(i) The types of disposable devices that could poten-
tially qualify as being substitutes for durable medical 
equipment under the Medicare program, the similar-
ities and differences between such disposable devices 
and the durable medical equipment for which they 
would be a substitute, and the extent to which other 
payers, including the Medicaid program and private 
payers, cover such disposable devices. 
(ii) Views of, and information from, medical device 
manufacturers, providers of services, and suppliers on 
the incentives and disincentives under current Medi-
care coverage and payment policies for disposable 
devices that are substitutes for durable medical equip-
ment and how such policies affect manufacturers’ 
decisions to develop innovative products and providers’ 
and suppliers’ decisions to use such products. 
(iii) Implications of expanding coverage under the 
Medicare program to include additional disposable 
devices that are substitutes for durable medical equip-
ment. 
(iv) Payment methodologies that could be used 
to pay for disposable devices that are substitutes for 
durable medical equipment other than applicable 
disposable devices pursuant to the amendments made 
by subsections (a) and (b). 
(v) Other applicable areas determined appropriate 
by the Comptroller General. 
(B) REPORT.—Not later than 18 months after the date 
of the enactment of this Act, the Comptroller General of 
the United States shall submit to Congress and the Sec-
retary of Health and Human Services a report on the 
study conducted under subparagraph (A), together with 
recommendations for such legislation and administrative 
action as the Comptroller General determines to be appro-
priate.
H. R. 2029—782 
(2) GAO STUDY AND REPORT ON THE IMPACT OF THE PAY-
MENT OF APPLICABLE DISPOSABLE DEVICES.— 
(A) STUDY.—The Comptroller General of the United 
States shall conduct a study on the impact of the payment 
for applicable disposable devices (as defined in section 
1834(s)(2) of the Social Security Act) under the provisions 
of, and the amendments made by, subsections (a) and (b). 
Such study shall address the following: 
(i) The impact on utilization and Medicare program 
and beneficiary spending as a result of such provisions 
and amendments. 
(ii) The type of Medicare beneficiaries who, under 
the home health benefit, use the applicable disposable 
device and the period of use of the applicable disposable 
devices compared to the beneficiaries who use the sub-
stitute durable medical equipment and their period 
of use. 
(iii) How payment rates of other payers, including 
the Medicaid program and private payers, for 
applicable disposable devices compare to the payment 
rates for such devices under such provisions and 
amendments. 
(iv) Other applicable areas determined appropriate 
by the Comptroller General. 
(B) REPORT.—Not later than 4 years after the date 
of the enactment of this Act, the Comptroller General of 
the United States shall submit to Congress and the Sec-
retary of Health and Human Services a report on the 
study conducted under subparagraph (A), together with 
recommendations for such legislation and administrative 
action as the Comptroller General determines to be appro-
priate. 
(d) EFFECTIVE DATE.—The amendments made by this section 
shall apply to items furnished on or after January 1, 2017. 
TITLE VI—PUERTO RICO 
SEC. 601. MODIFICATION OF MEDICARE INPATIENT HOSPITAL PAY-
MENT RATE FOR PUERTO RICO HOSPITALS. 
Section 1886(d)(9)(E) of the Social Security Act (42 U.S.C. 
1395ww(d)(9)(E)) is amended— 
(1) by striking ‘‘and’’ at the end of clause (iii); 
(2) in clause (iv)— 
(A) by inserting ‘‘and before January 1, 2016,’’ after 
‘‘2004,’’; and 
(B) by striking the period at the end and inserting 
‘‘; and’’; and 
(3) by adding at the end the following new clause: 
‘‘(v) on or after January 1, 2016, the applicable Puerto 
Rico percentage is 0 percent and the applicable Federal percent-
age is 100 percent.’’. 
SEC. 602. APPLICATION OF MEDICARE HITECH PAYMENTS TO HOS-
PITALS IN PUERTO RICO. 
(a) IN GENERAL.—Subsection (n)(6)(B) of section 1886 of the 
Social Security Act (42 U.S.C. 1395ww) is amended by striking
H. R. 2029—783 
‘‘subsection (d) hospital’’ and inserting ‘‘hospital that is a subsection 
(d) hospital or a subsection (d) Puerto Rico hospital’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Subsection (b)(3)(B)(ix) of section 1886 of the Social 
Security Act (42 U.S.C. 1395ww) is amended— 
(A) in subclause (I), by striking ‘‘(n)(6)(A)’’ and inserting 
‘‘(n)(6)(B)’’; and 
(B) in subclause (II), by striking ‘‘a subsection (d) hos-
pital’’ and inserting ‘‘an eligible hospital’’. 
(2) Paragraphs (2) and (4)(A) of section 1853(m) of the 
Social Security Act (42 U.S.C. 1395w–23(m)) are each amended 
by striking ‘‘1886(n)(6)(A)’’ and inserting ‘‘1886(n)(6)(B)’’. 
(c) IMPLEMENTATION.—Notwithstanding any other provision of 
law, the Secretary of Health and Human Services may implement 
the amendments made by this section by program instruction or 
otherwise. 
(d) EFFECTIVE DATE.—The amendments made by this section 
shall apply as if included in the enactment of the American Recovery 
and Reinvestment Act of 2009 (Public Law 111–5), except that, 
in order to take into account delays in the implementation of 
this section, in applying subsections (b)(3)(B)(ix), (n)(2)(E)(ii), and 
(n)(2)(G)(i) of section 1886 of the Social Security Act, as amended 
by this section, any reference in such subsections to a particular 
year shall be treated with respect to a subsection (d) Puerto Rico 
hospital as a reference to the year that is 5 years after such 
particular year (or 7 years after such particular year in the case 
of applying subsection (b)(3)(B)(ix) of such section). 
TITLE VII—FINANCIAL SERVICES 
SEC. 701. TABLE OF CONTENTS. 
The table of contents for this title is as follows: 
Sec. 701. Table of contents. 
Sec. 702. Limitations on sale of preferred stock. 
Sec. 703. Confidentiality of information shared between State and Federal financial 
services regulators. 
Sec. 704. Application of FACA. 
Sec. 705. Treatment of affiliate transactions. 
Sec. 706. Ensuring the protection of insurance policyholders. 
Sec. 707. Limitation on SEC funds. 
Sec. 708. Elimination of reporting requirement. 
Sec. 709. Extension of Hardest Hit Fund; Termination of Making Home Affordable 
initiative. 
SEC. 702. LIMITATIONS ON SALE OF PREFERRED STOCK. 
(a) DEFINITIONS.—In this section: 
(1) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of the Treasury. 
(2) SENIOR PREFERRED STOCK PURCHASE AGREEMENT.—The 
term ‘‘Senior Preferred Stock Purchase Agreement’’ means— 
(A) the Amended and Restated Senior Preferred Stock 
Purchase Agreement, dated September 26, 2008, as such 
Agreement has been amended on May 6, 2009, December 
24, 2009, and August 17, 2012, respectively, and as such 
Agreement may be further amended and restated, entered 
into between the Department of the Treasury and each 
enterprise, as applicable; and
H. R. 2029—784 
(B) any provision of any certificate in connection with 
such Agreement creating or designating the terms, powers, 
preferences, privileges, limitations, or any other conditions 
of the Variable Liquidation Preference Senior Preferred 
Stock of an enterprise issued or sold pursuant to such 
Agreement. 
(b) LIMITATIONS
ON SALE
OF PREFERRED STOCK.—Notwith-
standing any other provision of law or any provision of the Senior 
Preferred Stock Purchase Agreement, until at least January 1, 
2018, the Secretary may not sell, transfer, relinquish, liquidate, 
divest, or otherwise dispose of any outstanding shares of senior 
preferred stock acquired pursuant to the Senior Preferred Stock 
Purchase Agreement, unless Congress has passed and the President 
has signed into law legislation that includes a specific instruction 
to the Secretary regarding the sale, transfer, relinquishment, liq-
uidation, divestiture, or other disposition of the senior preferred 
stock so acquired. 
(c) SENSE
OF CONGRESS.—It is the Sense of Congress that 
Congress should pass and the President should sign into law legisla-
tion determining the future of Fannie Mae and Freddie Mac, and 
that notwithstanding the expiration of subsection (b), the Secretary 
should not sell, transfer, relinquish, liquidate, divest, or otherwise 
dispose of any outstanding shares of senior preferred stock acquired 
pursuant to the Senior Preferred Stock Purchase Agreement until 
such legislation is enacted. 
SEC. 703. CONFIDENTIALITY OF INFORMATION SHARED BETWEEN 
STATE AND FEDERAL FINANCIAL SERVICES REGULATORS. 
Section 1512(a) of the S.A.F.E. Mortgage Licensing Act of 2008 
(12 U.S.C. 5111(a)) is amended by inserting ‘‘or financial services’’ 
before ‘‘industry’’. 
SEC. 704. APPLICATION OF FACA. 
Section 1013 of the Consumer Financial Protection Act of 2010 
(12 U.S.C. 5493) is amended by adding at the end the following: 
‘‘(h) APPLICATION OF FACA.—Notwithstanding any provision 
of the Federal Advisory Committee Act (5 U.S.C. App.), such Act 
shall apply to each advisory committee of the Bureau and each 
subcommittee of such an advisory committee.’’. 
SEC. 705. TREATMENT OF AFFILIATE TRANSACTIONS. 
(a) 
COMMODITY
EXCHANGE
ACT
AMENDMENTS.—Section 
2(h)(7)(D) of the Commodity Exchange Act (7 U.S.C. 2(h)(7)(D)) 
is amended— 
(1) by redesignating clause (iii) as clause (v); 
(2) by striking clauses (i) and (ii) and inserting the fol-
lowing: 
‘‘(i) IN
GENERAL.—An affiliate of a person that 
qualifies for an exception under subparagraph (A) 
(including affiliate entities predominantly engaged in 
providing financing for the purchase of the merchan-
dise or manufactured goods of the person) may qualify 
for the exception only if the affiliate— 
‘‘(I) enters into the swap to hedge or mitigate 
the commercial risk of the person or other affiliate 
of the person that is not a financial entity, and 
the commercial risk that the affiliate is hedging 
or mitigating has been transferred to the affiliate;
H. R. 2029—785 
‘‘(II) is directly and wholly-owned by another 
affiliate qualified for the exception under this 
subparagraph or an entity that is not a financial 
entity; 
‘‘(III) is not indirectly majority-owned by a 
financial entity; 
‘‘(IV) is not ultimately owned by a parent com-
pany that is a financial entity; and 
‘‘(V) does not provide any services, financial 
or otherwise, to any affiliate that is a nonbank 
financial company supervised by the Board of Gov-
ernors (as defined under section 102 of the Finan-
cial Stability Act of 2010). 
‘‘(ii) LIMITATION ON QUALIFYING AFFILIATES.—The 
exception in clause (i) shall not apply if the affiliate 
is— 
‘‘(I) a swap dealer; 
‘‘(II) a security-based swap dealer; 
‘‘(III) a major swap participant; 
‘‘(IV) a major security-based swap participant; 
‘‘(V) a commodity pool; 
‘‘(VI) a bank holding company; 
‘‘(VII) a private fund, as defined in section 
202(a) of the Investment Advisers Act of 1940 (15 
U.S.C. 80–b–2(a)); 
‘‘(VIII) an employee benefit plan or govern-
ment plan, as defined in paragraphs (3) and (32) 
of section 3 of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1002); 
‘‘(IX) an insured depository institution; 
‘‘(X) a farm credit system institution; 
‘‘(XI) a credit union; 
‘‘(XII) a nonbank financial company supervised 
by the Board of Governors (as defined under sec-
tion 102 of the Financial Stability Act of 2010); 
or 
‘‘(XIII) an entity engaged in the business of 
insurance and subject to capital requirements 
established 
by 
an 
insurance 
governmental 
authority of a State, a territory of the United 
States, the District of Columbia, a country other 
than the United States, or a political subdivision 
of a country other than the United States that 
is engaged in the supervision of insurance compa-
nies under insurance law. 
‘‘(iii) LIMITATION
ON
AFFILIATES’ 
AFFILIATES.— 
Unless the Commission determines, by order, rule, or 
regulation, that it is in the public interest, the excep-
tion in clause (i) shall not apply with respect to an 
affiliate if the affiliate is itself affiliated with— 
‘‘(I) a major security-based swap participant; 
‘‘(II) a security-based swap dealer; 
‘‘(III) a major swap participant; or 
‘‘(IV) a swap dealer. 
‘‘(iv) CONDITIONS ON TRANSACTIONS.—With respect 
to an affiliate that qualifies for the exception in clause 
(i)—
H. R. 2029—786 
‘‘(I) the affiliate may not enter into any swap 
other than for the purpose of hedging or mitigating 
commercial risk; and 
‘‘(II) neither the affiliate nor any person affili-
ated with the affiliate that is not a financial entity 
may enter into a swap with or on behalf of any 
affiliate that is a financial entity or otherwise 
assume, net, combine, or consolidate the risk of 
swaps entered into by any such financial entity, 
except one that is an affiliate that qualifies for 
the exception under clause (i).’’; and 
(3) by adding at the end the following: 
‘‘(vi) RISK
MANAGEMENT
PROGRAM.—Any swap 
entered into by an affiliate that qualifies for the excep-
tion in clause (i) shall be subject to a centralized risk 
management program of the affiliate, which is reason-
ably designed both to monitor and manage the risks 
associated with the swap and to identify each of the 
affiliates on whose behalf a swap was entered into.’’. 
(b) SECURITIES EXCHANGE ACT OF 1934 AMENDMENT.—Section 
3C(g)(4) of the Securities Exchange Act of 1934 (15 U.S.C. 78c– 
3(g)(4)) is amended— 
(1) by redesignating subparagraph (C) as subparagraph 
(E); 
(2) by striking subparagraphs (A) and (B) and inserting 
the following: 
‘‘(A) IN GENERAL.—An affiliate of a person that qualifies 
for an exception under this subsection (including affiliate 
entities predominantly engaged in providing financing for 
the purchase of the merchandise or manufactured goods 
of the person) may qualify for the exception only if the 
affiliate— 
‘‘(i) enters into the security-based swap to hedge 
or mitigate the commercial risk of the person or other 
affiliate of the person that is not a financial entity, 
and the commercial risk that the affiliate is hedging 
or mitigating has been transferred to the affiliate; 
‘‘(ii) is directly and wholly-owned by another affil-
iate qualified for the exception under this paragraph 
or an entity that is not a financial entity; 
‘‘(iii) is not indirectly majority-owned by a financial 
entity; 
‘‘(iv) is not ultimately owned by a parent company 
that is a financial entity; and 
‘‘(v) does not provide any services, financial or 
otherwise, to any affiliate that is a nonbank financial 
company supervised by the Board of Governors (as 
defined under section 102 of the Financial Stability 
Act of 2010). 
‘‘(B) LIMITATION
ON
QUALIFYING
AFFILIATES.—The 
exception in subparagraph (A) shall not apply if the affiliate 
is— 
‘‘(i) a swap dealer; 
‘‘(ii) a security-based swap dealer; 
‘‘(iii) a major swap participant; 
‘‘(iv) a major security-based swap participant; 
‘‘(v) a commodity pool;
H. R. 2029—787 
‘‘(vi) a bank holding company; 
‘‘(vii) a private fund, as defined in section 202(a) 
of the Investment Advisers Act of 1940 (15 U.S.C. 
80–b–2(a)); 
‘‘(viii) an employee benefit plan or government 
plan, as defined in paragraphs (3) and (32) of section 
3 of the Employee Retirement Income Security Act 
of 1974 (29 U.S.C. 1002); 
‘‘(ix) an insured depository institution; 
‘‘(x) a farm credit system institution; 
‘‘(xi) a credit union; 
‘‘(xii) a nonbank financial company supervised by 
the Board of Governors (as defined under section 102 
of the Financial Stability Act of 2010); or 
‘‘(xiii) an entity engaged in the business of insur-
ance and subject to capital requirements established 
by an insurance governmental authority of a State, 
a territory of the United States, the District of 
Columbia, a country other than the United States, 
or a political subdivision of a country other than the 
United States that is engaged in the supervision of 
insurance companies under insurance law. 
‘‘(C) LIMITATION
ON
AFFILIATES’ AFFILIATES.—Unless 
the Commission determines, by order, rule, or regulation, 
that it is in the public interest, the exception in subpara-
graph (A) shall not apply with respect to an affiliate if 
such affiliate is itself affiliated with— 
‘‘(i) a major security-based swap participant; 
‘‘(ii) a security-based swap dealer; 
‘‘(iii) a major swap participant; or 
‘‘(iv) a swap dealer. 
‘‘(D) CONDITIONS ON TRANSACTIONS.—With respect to 
an affiliate that qualifies for the exception in subparagraph 
(A)— 
‘‘(i) such affiliate may not enter into any security- 
based swap other than for the purpose of hedging 
or mitigating commercial risk; and 
‘‘(ii) neither such affiliate nor any person affiliated 
with such affiliate that is not a financial entity may 
enter into a security-based swap with or on behalf 
of any affiliate that is a financial entity or otherwise 
assume, net, combine, or consolidate the risk of secu-
rity-based swaps entered into by any such financial 
entity, except one that is an affiliate that qualifies 
for the exception under subparagraph (A).’’; and 
(3) by adding at the end the following: 
‘‘(F) RISK MANAGEMENT PROGRAM.—Any security-based 
swap entered into by an affiliate that qualifies for the 
exception in subparagraph (A) shall be subject to a central-
ized risk management program of the affiliate, which is 
reasonably designed both to monitor and manage the risks 
associated with the security-based swap and to identify 
each of the affiliates on whose behalf a security-based 
swap was entered into.’’.
H. R. 2029—788 
SEC. 706. ENSURING THE PROTECTION OF INSURANCE POLICY-
HOLDERS. 
(a) SOURCE OF STRENGTH.—Section 38A of the Federal Deposit 
Insurance Act (12 U.S.C. 1831o–1) is amended— 
(1) by redesignating subsections (c), (d), and (e) as sub-
sections (d), (e), and (f), respectively; and 
(2) by inserting after subsection (b) the following: 
‘‘(c) AUTHORITY OF STATE INSURANCE REGULATOR.— 
‘‘(1) IN
GENERAL.—The provisions of section 5(g) of the 
Bank Holding Company Act of 1956 (12 U.S.C. 1844(g)) shall 
apply to a savings and loan holding company that is an insur-
ance company, an affiliate of an insured depository institution 
that is an insurance company, and to any other company that 
is an insurance company and that directly or indirectly controls 
an insured depository institution, to the same extent as the 
provisions of that section apply to a bank holding company 
that is an insurance company. 
‘‘(2) RULE OF CONSTRUCTION.—Requiring a bank holding 
company that is an insurance company, a savings and loan 
holding company that is an insurance company, an affiliate 
of an insured depository institution that is an insurance com-
pany, or any other company that is an insurance company 
and that directly or indirectly controls an insured depository 
institution to serve as a source of financial strength under 
this section shall be deemed an action of the Board that requires 
a bank holding company to provide funds or other assets to 
a subsidiary depository institution for purposes of section 5(g) 
of the Bank Holding Company Act of 1956 (12 U.S.C. 1844(g)).’’. 
(b) LIQUIDATION AUTHORITY.—The Dodd-Frank Wall Street 
Reform and Consumer Protection Act (12 U.S.C. 5301 et seq.) 
is amended— 
(1) in section 203(e)(3) (12 U.S.C. 5383(e)(3)), by inserting 
‘‘or rehabilitation’’ after ‘‘orderly liquidation’’ each place that 
term appears; and 
(2) in section 204(d)(4) (12 U.S.C. 5384(d)(4)), by inserting 
before the semicolon at the end the following: ‘‘, except that, 
if the covered financial company or covered subsidiary is an 
insurance company or a subsidiary of an insurance company, 
the Corporation— 
‘‘(A) shall promptly notify the State insurance authority 
for the insurance company of the intention to take such 
lien; and 
‘‘(B) may only take such lien— 
‘‘(i) to secure repayment of funds made available 
to such covered financial company or covered sub-
sidiary; and 
‘‘(ii) if the Corporation determines, after consulta-
tion with the State insurance authority, that such lien 
will not unduly impede or delay the liquidation or 
rehabilitation of the insurance company, or the 
recovery by its policyholders’’. 
SEC. 707. LIMITATION ON SEC FUNDS. 
None of the funds made available by any division of this Act 
shall be used by the Securities and Exchange Commission to 
finalize, issue, or implement any rule, regulation, or order regarding
H. R. 2029—789 
the disclosure of political contributions, contributions to tax exempt 
organizations, or dues paid to trade associations. 
SEC. 708. ELIMINATION OF REPORTING REQUIREMENT. 
Paragraph (6) of section 21(h) of the Securities Exchange Act 
of 1934 (15 U.S.C. 78u(h)) is repealed. 
SEC. 709. EXTENSION OF HARDEST HIT FUND; TERMINATION OF 
MAKING HOME AFFORDABLE INITIATIVE. 
(a) EXTENSION OF HARDEST HIT FUND.—Section 120(b) of the 
Emergency Economic Stabilization Act of 2008 (12 U.S.C. 5230(b)) 
is amended by inserting after the period at the end the following: 
‘‘Notwithstanding the foregoing, the Secretary may further extend 
the authority provided under this Act to expire on December 31, 
2017, provided that (1) any such extension shall apply only with 
respect to current program participants in the Housing Finance 
Agency Innovation Fund for the Hardest Hit Housing Markets, 
and (2) funds obligated following such extension shall not exceed 
$2,000,000,000.’’. 
(b) TERMINATION.— 
(1) IN GENERAL.—The Making Home Affordable initiative 
of the Secretary of the Treasury, as authorized under the Emer-
gency Economic Stabilization Act of 2008 (12 U.S.C. 5201 et 
seq.), shall terminate on December 31, 2016. 
(2) APPLICABILITY.—Paragraph (1) shall not apply to any 
loan modification application made under the Home Affordable 
Modification Program under the Making Home Affordable ini-
tiative of the Secretary of the Treasury, as authorized under 
the Emergency Economic Stabilization Act of 2008 (12 U.S.C. 
5201 et seq.), before December 31, 2016. 
TITLE VIII—LAND AND WATER 
CONSERVATION FUND 
SEC. 801. LAND AND WATER CONSERVATION FUND. 
(a) REAUTHORIZATION.—Section 200302 of title 54, United 
States Code, is amended— 
(1) in subsection (b), in the language preceding paragraph 
(1), by striking ‘‘September 30, 2015’’ and inserting ‘‘September 
30, 2018’’; and 
(2) in subsection (c)(1), by striking ‘‘September 30, 2015’’ 
and inserting ‘‘September 30, 2018’’. 
(b) PROHIBITION
ON
USE
OF
CONDEMNATION
OR
EMINENT 
DOMAIN.—Except as provided by subsection (c), for fiscal years 
2016, 2017, and 2018, unless otherwise provided by division G 
of this Act or an Act enacted after this Act making appropriations 
for the Department of the Interior, Environment, and Related Agen-
cies, no funds appropriated by such division or Act for the acquisi-
tion of lands or interests in lands may be expended for the filing 
of declarations of taking or complaints in condemnation without 
the approval of the House and Senate Committees on Appropria-
tions. 
(c) EXCEPTION
FOR EVERGLADES.—Hereafter, subsection (b) 
shall not apply to funds appropriated to implement the Everglades 
National Park Protection and Expansion Act of 1989, or to funds
H. R. 2029—790 
appropriated for Federal assistance to the State of Florida to acquire 
lands for Everglades restoration purposes. 
TITLE IX—NATIONAL OCEANS AND 
COASTAL SECURITY 
SEC. 901. SHORT TITLE. 
This title may be cited as the ‘‘National Oceans and Coastal 
Security Act’’. 
SEC. 902. DEFINITIONS. 
In this title: 
(1) COASTAL COUNTY.—The term ‘‘coastal county’’ has the 
meaning given the term by the National Oceanic and 
Atmospheric Administration in the document entitled ‘‘NOAA’s 
List of Coastal Counties for the Bureau of the Census’’ (or 
similar successor document). 
(2) COASTAL
STATE.—The term ‘‘coastal State’’ has the 
meaning given the term ‘‘coastal state’’ in section 304 of the 
Coastal Zone Management Act of 1972 (16 U.S.C. 1453). 
(3) FOUNDATION.—The term ‘‘Foundation’’ means the 
National Fish and Wildlife Foundation established by section 
2(a) of the National Fish and Wildlife Foundation Establish-
ment Act (16 U.S.C. 3701(a)). 
(4) FUND.—The term ‘‘Fund’’ means the National Oceans 
and Coastal Security Fund established under section 904(a). 
(5) INDIAN TRIBE.—The term ‘‘Indian tribe’’ means any fed-
erally recognized Indian tribe. 
(6) ADMINISTRATOR.—Except as otherwise specifically pro-
vided, the term ‘‘Administrator’’ means the Under Secretary 
of Commerce for Oceans and Atmosphere and Administrator 
of the National Oceanic and Atmospheric Administration. 
(7) TIDAL SHORELINE.—The term ‘‘tidal shoreline’’ has the 
meaning given that term pursuant to section 923.110(c)(2)(i) 
of title 15, Code of Federal Regulations, or a similar successor 
regulation. 
SEC. 903. PURPOSES AND AGREEMENTS. 
(a) PURPOSES.—The purposes of this title are to better under-
stand and utilize the oceans, coasts, and Great Lakes of the United 
States, and ensure present and future generations will benefit 
from the full range of ecological, economic, social, and recreational 
opportunities, security, and services these resources are capable 
of providing. 
(b) AGREEMENTS.—The Administrator and the Foundation may 
enter into such agreements as may be necessary to carry out the 
purposes of this title. 
SEC. 904. NATIONAL OCEANS AND COASTAL SECURITY FUND. 
(a) ESTABLISHMENT.—The Administrator and the Foundation 
are authorized to establish the National Oceans and Coastal Secu-
rity Fund as a tax exempt fund to further the purposes of this 
title. 
(b) DEPOSITS.—
H. R. 2029—791 
(1) IN GENERAL.—There shall be deposited into the Fund 
amounts appropriated or otherwise made available to carry 
out this title. 
(2) PROHIBITIONS ON DONATIONS FROM FOREIGN GOVERN-
MENTS.—No amounts donated by a foreign government, as 
defined in section 7342 of title 5, United States Code, may 
be deposited into the Fund. 
(c) REQUIREMENTS.—Any amounts received by the Foundation 
pursuant to this title shall be subject to the provisions of the 
National Fish and Wildlife Foundation Establishment Act (16 
U.S.C. 3701 et seq.), except the provisions of— 
(1) section 4(e)(1)(B) of that Act (16 U.S.C. 3703(e)(1)(B)); 
and 
(2) section 10(a) of that Act (16 U.S.C. 3709(a)). 
(d) EXPENDITURE.—Of the amounts deposited into the Fund 
for each fiscal year— 
(1) funds may be used by the Foundation to award grants 
to coastal States under section 906(b); 
(2) funds may be used by the Foundation to award grants 
under section 906(c); 
(3) no more than 2 percent may be used by the Adminis-
trator and the Foundation for administrative expenses to carry 
out this title, which amount shall be divided between the 
Administrator and the Foundation pursuant to an agreement 
reached and documented by both the Administrator and the 
Foundation. 
(e) RECOVERY OF PAYMENTS.—After notice and an opportunity 
for a hearing, the Administrator is authorized to recover any Fed-
eral payments under this section if the Foundation— 
(1) makes a withdrawal or expenditure from the Fund 
that is not consistent with the requirements of section 905; 
or 
(2) fails to comply with a procedure, measure, method, 
or standard established under section 906(a)(1). 
SEC. 905. ELIGIBLE USES. 
(a) IN GENERAL.—Amounts in the Fund may be allocated by 
the Foundation to support programs and activities intended to 
better understand and utilize ocean and coastal resources and 
coastal infrastructure, including baseline scientific research, ocean 
observing, and other programs and activities carried out in coordina-
tion with Federal and State departments or agencies. 
(b) PROHIBITION ON USE OF FUNDS FOR LITIGATION OR OTHER 
PURPOSES.—No funds made available under this title may be used 
to— 
(1) fund litigation against the Federal Government; or 
(2) fund the creation of national marine monuments and 
marine protected areas, marine spatial planning, or the 
National Ocean Policy. 
SEC. 906. GRANTS. 
(a) ADMINISTRATION OF GRANTS.— 
(1) IN GENERAL.—Not later than 90 days after funds are 
deposited into the Fund and made available to the Foundation 
for administrative purposes, the Foundation shall establish the 
following: 
(A) Application and review procedures for the awarding 
of grants under this section, including requirements
H. R. 2029—792 
ensuring that any amounts awarded under such sub-
sections may only be used for an eligible use described 
under section 905. 
(B) Selection procedures and criteria for the awarding 
of grants under this section that— 
(i) require consultation with the Administrator and 
the Secretary of the Interior; and 
(ii) prioritize the projects or activities where non- 
Federal partners have committed to share the cost 
of the project. 
(C) Eligibility criteria for awarding grants— 
(i) under subsection (b) to coastal States; and 
(ii) under subsection (c) to— 
(I) entities including States, local govern-
ments, and Indian tribes; and 
(II) the research and restoration work of 
associations, 
nongovernmental 
organizations, 
public-private partnerships, and academic institu-
tions. 
(D) Performance accountability and monitoring meas-
ures for programs and activities funded by a grant awarded 
under subsection (b) or (c). 
(E) Procedures and methods to ensure accurate 
accounting and appropriate administration of grants 
awarded under this section, including standards of record-
keeping. 
(F) Procedures to carry out audits of the Fund as 
necessary, but not less frequently than once every year 
if grants have been awarded in that year. 
(G) Procedures to carry out audits of the recipients 
of grants under this section. 
(H) Procedures to make publicly available on the Inter-
net a list of all projects funded by the Fund, that includes 
at a minimum the grant recipient, grant amount, project 
description, and project status. 
(2) APPROVAL.—The Foundation shall submit to the 
Administrator for approval each procedure, measure, method, 
and standard established under paragraph (1). 
(b) GRANTS TO COASTAL STATES.— 
(1) IN GENERAL.—The Administrator and the Foundation 
may award grants according to the procedures established in 
subsection (a) to coastal States and United States territories 
to support activities consistent with section 904. In determining 
distribution of grants, the Foundation may— 
(A) consider for each State— 
(i) percent of total United States shoreline miles; 
(ii) coastal population density; and 
(iii) other factors; 
(B) establish criteria for States, including the require-
ment for a State to establish a plan to distribute the 
funds; and 
(C) establish a maximum and minimum percentage 
of funding to be awarded to each State or United States 
territory. 
(2) INDIAN TRIBES.—As a condition on receipt of a grant 
under this subsection, a State that receives a grant under 
this subsection shall ensure that Indian tribes in the State
H. R. 2029—793 
are eligible to participate in any competitive grants established 
in this title. 
(c) NATIONAL
GRANTS
FOR
OCEANS, COASTS, AND
GREAT 
LAKES.— 
(1) IN GENERAL.—The Administrator and the Foundation 
may award grants according to the procedures established in 
subsection (a) to support activities consistent with section 905. 
(2) ADVISORY PANEL.— 
(A) IN GENERAL.—The Foundation may establish an 
advisory panel to conduct reviews of applications for grants 
under paragraph (1) and the Foundation may consider 
the recommendations of the advisory panel with respect 
to such applications. 
(B) MEMBERSHIP.—The advisory panel described under 
subparagraph (A) shall include persons representing— 
(i) ocean and coastal dependent industries; 
(ii) geographic regions as defined by the Founda-
tion; and 
(iii) academic institutions. 
SEC. 907. ANNUAL REPORT. 
(a) REQUIREMENT FOR ANNUAL REPORT.—Subject to subsection 
(c), beginning with fiscal year 2017, not later than 60 days after 
the end of each fiscal year, the Foundation shall submit to the 
Committee on Commerce, Science, and Transportation of the Senate 
and the Committee on Natural Resources of the House of Represent-
atives a report on the operation of the Fund during that fiscal 
year. 
(b) CONTENT.—Each annual report submitted under subsection 
(a) for a fiscal year shall include— 
(1) a full and complete statement of the receipts, including 
the source of all receipts, expenditures, and investments of 
the Fund; 
(2) a statement of the amounts deposited in the Fund 
and the balance remaining in the Fund at the end of the 
fiscal year; and 
(3) a description of the expenditures made from the Fund 
for the fiscal year, including the purpose of the expenditures. 
SEC. 908. FUNDING. 
There is authorized to be appropriated such sums as are nec-
essary for fiscal years 2017, 2018, and 2019 for this title. 
TITLE X—BUDGETARY PROVISIONS 
SEC. 1001. BUDGETARY EFFECTS. 
(a) STATUTORY PAYGO SCORECARDS.—The budgetary effects 
of division M and each succeeding division shall not be entered 
on either PAYGO scorecard maintained pursuant to section 4(d) 
of the Statutory Pay-As-You-Go Act of 2010. 
(b) SENATE PAYGO SCORECARDS.—The budgetary effects of 
division M and each succeeding division shall not be entered on 
any PAYGO scorecard maintained for purposes of section 201 of 
S. Con. Res. 21 (110th Congress). 
(c) CLASSIFICATION OF BUDGETARY EFFECTS.—Notwithstanding 
Rule 3 of the Budget Scorekeeping Guidelines set forth in the
H. R. 2029—794 
joint explanatory statement of the committee of conference accom-
panying Conference Report 105-217 and section 250(c)(8) of the 
Balanced Budget and Emergency Deficit Control Act of 1985, the 
budgetary effects of division M and each succeeding division shall 
not be estimated— 
(1) for purposes of section 251 of the such Act; and 
(2) for purposes of paragraph (4)(C) of section 3 of the 
Statutory Pay-As-You-Go Act of 2010 as being included in an 
appropriation Act. 
SEC. 1002. AUTHORITY TO MAKE ADJUSTMENT IN FY 2016 ALLOCATION. 
(a) IN GENERAL.—After the date of enactment of this Act, 
the chair of the Committee on the Budget of the House of Represent-
atives may revise appropriate allocations, aggregates, and levels 
established by Senate Concurrent Resolution 11 (114th Congress) 
to achieve consistency with the Bipartisan Budget Act of 2015. 
(b) EXERCISE OF RULEMAKING POWERS.—The House adopts the 
provisions of this section— 
(1) as an exercise of the rulemaking power of the House 
of Representatives and as such they shall be considered as 
part of the rules of the House of Representatives, and these 
rules shall supersede other rules only to the extent that they 
are inconsistent with other such rules; and 
(2) with full recognition of the constitutional right of the 
House of Representatives to change those rules at any time, 
in the same manner, and to the same extent as in the case 
of any other rule of the House of Representatives. 
SEC. 1003. ESTIMATES. 
Section 251(a)(7)(B) of the Balanced Budget and Emergency 
Deficit Control Act of 1985 (2 U.S.C. 901(a)(7)(B)) is amended 
in the first sentence by striking ‘‘the CBO estimate of that legisla-
tion, an OMB estimate of the amount of discretionary new budget 
authority and outlays’’ and inserting ‘‘both the CBO and OMB 
estimates of the amount of discretionary new budget authority’’. 
TITLE XI—IRAQ LOAN AUTHORITY 
SEC. 1101. IRAQ LOAN AUTHORITY. 
(a) AUTHORITY.—During fiscal year 2016, direct loans under 
section 23 of the Arms Export Control Act may be made available 
for Iraq, gross obligations for the principal amounts of which shall 
not exceed $2,700,000,000: Provided, That funds appropriated under 
the heading ‘‘Foreign Military Financing Program’’ in title VIII 
of the Department of State, Foreign Operations and Related Pro-
grams Appropriations Act, 2016 that are designated by the Congress 
for Overseas Contingency Operations/Global War on Terrorism 
pursuant to section 251(b)(2)(A) of the Balanced Budget and Emer-
gency Deficit Control Act of 1985, may be made available for the 
costs, as defined in section 502 of the Congressional Budget Act 
of 1974, of direct loans, except that such funds may not be derived 
from amounts specifically designated by such Acts for countries 
other than Iraq: Provided further, That such costs, including the 
cost of modifying such loans, shall be as defined in section 502 
of the Congressional Budget Act of 1974, and may include the 
costs of selling, reducing, or cancelling any amounts owed to the 
United States or any agency of the United States by Iraq: Provided