(5) by striking ‘‘paragraph (3)’’ and inserting
‘‘subparagraph (C)’’; and
(6) by adding at the end the following new
paragraph:
‘‘(2) A regulated person that manufactures a
listed chemical shall report annually to the Attorney
General, in such form and manner and containing
such specific data as the Attorney General shall pre-
scribe by regulation, information concerning listed
chemicals manufactured by the person. The require-
ment of the preceding sentence shall not apply to the
manufacture of a drug product that is exempted
under section 102(39)(A)(iv).’’.
SEC. 5. REPORTS BY BROKERS AND TRADERS; CRIMINAL
PENALTIES.
(a) NOTIFICATION, SUSPENSION OF SHIPMENT, AND
PENALTIES WITH RESPECT TO IMPORTATION AND EX-
PORTATION OF LISTED CHEMICALS.—Section 1018 of the
Controlled Substances Import and Export Act (21 U.S.C.
971) is amended by adding at the end the following new
subsection:
‘‘(d) A person located in the United States who is
a broker or trader for an international transaction in a
listed chemical that is a regulated transaction solely be-
cause of that person’s involvement as a broker or trader
shall, with respect to that transaction, be subject to all
of the notification, reporting, recordkeeping, and other re-
quirements placed upon exporters of listed chemicals by
this title and title II.’’.
(b) PROHIBITED ACTS A.—Section 1010(d) of the
Controlled Substances Import and Export Act (21 U.S.C.
960(d)) is amended to read as follows:
‘‘(d) A person who knowingly or intentionally—
‘‘(1) imports or exports a listed chemical with
intent to manufacture a controlled substance in vio-
lation of this title or title II;
‘‘(2) exports a listed chemical in violation of the
laws of the country to which the chemical is ex-
ported or serves as a broker or trader for an inter-
national transaction involving a listed chemical, if
the transaction is in violation of the laws of the
country to which the chemical is exported;
‘‘(3) imports or exports a listed chemical know-
ing, or having reasonable cause to believe, that the
chemical will be used to manufacture a controlled
substance in violation of this title or title II; or
‘‘(4) exports a listed chemical, or serves as a
broker or trader for an international transaction in-
volving a listed chemical, knowing, or having reason-
able cause to believe, that the chemical will be used
to manufacture a controlled substance in violation of
the laws of the country to which the chemical is ex-
ported,
shall be fined in accordance with title 18, imprisoned not
more than 10 years, or both.’’.
SEC. 6. EXEMPTION AUTHORITY; ADDITIONAL PENALTIES.
(a) NOTIFICATION REQUIREMENT.—Section 1018 of
the Controlled Substances Import and Export Act (21
U.S.C. 971), as amended by section 5(a), is amended by
adding at the end the following new subsection:
‘‘(e)(1) The Attorney General may by regulation re-
quire that the 15-day notification requirement of sub-
section (a) apply to all exports of a listed chemical to a
specified country, regardless of the status of certain cus-
tomers in such country as regular customers, if the Attor-
ney General finds that such notification is necessary to
support effective chemical diversion control programs or
is required by treaty or other international agreement to
which the United States is a party.
‘‘(2) The Attorney General may by regulation waive
the 15-day notification requirement for exports of a listed
chemical to a specified country if the Attorney General
determines that such notification is not required for effec-
tive chemical diversion control. If the notification require-
ment is waived, exporters of the listed chemical shall be
required to submit to the Attorney General reports of indi-
vidual exportations or periodic reports of such exportation
of the listed chemical, at such time or times and contain-
ing such information as the Attorney General shall estab-
lish by regulation.
‘‘(3) The Attorney General may by regulation waive
the 15-day notification requirement for the importation of
a listed chemical if the Attorney General determines that
such notification is not necessary for effective chemical di-
version control. If the notification requirement is waived,
importers of the listed chemical shall be required to submit
to the Attorney General reports of individual importations
or periodic reports of the importation of the listed chemi-
cal, at such time or times and containing such information
as the Attorney General shall establish by regulation.’’.
(b) PROHIBITED ACTS A.—Section 1010(d) of the
Controlled Substances Import and Export Act (21 U.S.C.
960(d)), as amended by section 5(b), is amended—
(1) by striking ‘‘or’’ at the end of paragraph
(3);
(2) by striking the comma at the end of para-
graph (4) and inserting a semicolon; and
(3) by adding at the end the following new
paragraphs:
‘‘(5) imports or exports a listed chemical, with
the intent to evade the reporting or recordkeeping
requirements of section 1018 applicable to such im-
portation or exportation by falsely representing to
the Attorney General that the importation or expor-
tation qualifies for a waiver of the 15-day notifica-
tion requirement granted pursuant to section
1018(e) (2) or (3) by misrepresenting the actual
country of final destination of the listed chemical or
the actual listed chemical being imported or ex-
ported; or
‘‘(6) imports or exports a listed chemical in vio-
lation of section 1007 or 1018,’’.
SEC. 7. AMENDMENTS TO LIST I.
Section 102(34) of the Controlled Substances Act (21
U.S.C. 802(34)) is amended—
(1) by striking subparagraphs (O), (U), and
(W);
(2) by redesignating subparagraphs (P) through
(T) as (O) through (S), subparagraph (V) as (T),
and subparagraphs (X) and (Y) as (U) and (X), re-
spectively;
(3) in subparagraph (X), as redesignated by
paragraph (2), by striking ‘‘(X)’’ and inserting
‘‘(U)’’; and
(4) by inserting after subparagraph (U), as re-
designated by paragraph (2), the following new sub-
paragraphs:
‘‘(V) benzaldehyde.
‘‘(W) nitroethane.’’.
SEC. 8. ELIMINATION OF REGULAR SUPPLIER STATUS AND
CREATION OF REGULAR IMPORTER STATUS.
(a) DEFINITION.—Section 102(37) of the Controlled
Substances Act (21 U.S.C. 802(37)) is amended to read
as follows:
‘‘(37) The term ‘regular importer’ means, with re-
spect to a listed chemical, a person that has an established
record as an importer of that listed chemical that is re-
ported to the Attorney General.’’.
(b) NOTIFICATION.—Section 1018 of the Controlled
Substances Act (21 U.S.C. 971) is amended—
(1) in subsection (b)—
(A) in paragraph (1) by striking ‘‘regular
supplier of the regulated person’’ and inserting
‘‘to an importation by a regular importer’’; and
(B) in paragraph (2)—
(i) by striking ‘‘a customer or supplier
of a regulated person’’ and inserting ‘‘a
customer of a regulated person or to an
importer’’; and
(ii) by striking ‘‘regular supplier’’ and
inserting ‘‘the importer as a regular im-
porter’’; and
(2) in subsection (c)(1) by striking ‘‘regular
supplier’’ and inserting ‘‘regular importer’’.
SEC. 9. ADMINISTRATIVE INSPECTIONS AND AUTHORITY.
Section 510 of the Controlled Substances Act (21
U.S.C. 880) is amended—
(1) by amending subsection (a)(2) to read as
follows:
‘‘(2) places, including factories, warehouses,
and other establishments, and conveyances, where
persons registered under section 303 (or exempt
from registration under section 302(d) or by regula-
tion of the Attorney General) or regulated persons
may lawfully hold, manufacture, distribute, dispense,
administer, or otherwise dispose of controlled sub-
stances or listed chemicals or where records relating
to those activities are maintained.’’; and
(2) in subsection (b)(3)—
(A) in subparagraph (B) by inserting ‘‘,
listed chemicals,’’ after ‘‘unfinished drugs’’; and
(B) in subparagraph (C) by inserting ‘‘or
listed chemical’’ after ‘‘controlled substance’’
and inserting ‘‘or chemical’’ after ‘‘such sub-
stance’’.
SEC. 10. THRESHOLD AMOUNTS.
Section 102(39)(A) of the Controlled Substances Act
(21 U.S.C. 802(39)(A)), as amended by section 2, is
amended by inserting ‘‘of a listed chemical, or if the Attor-
ney General establishes a threshold amount for a specific
listed chemical,’’ before ‘‘a threshold amount, including a
cumulative threshold amount for multiple transactions’’.
SEC. 11. MANAGEMENT OF LISTED CHEMICALS.
(a) IN GENERAL.—Part C of the Controlled Sub-
stances Act (21 U.S.C. 821 et seq.) is amended by adding
at the end the following new section:
‘‘MANAGEMENT OF LISTED CHEMICALS
‘‘SEC. 311. (a) OFFENSE.—It is unlawful for a per-
son who possesses a listed chemical with the intent that
it be used in the illegal manufacture of a controlled sub-
stance to manage the listed chemical or waste from the
manufacture of a controlled substance otherwise than as
required by regulations issued under sections 3001, 3002,
3003, 3004, and 3005 of the Solid Waste Disposal Act
(42 U.S.C. 6921, 6922, 6923, 6924, and 6925).
‘‘(b) ENHANCED PENALTY.—(1) In addition to a
penalty that may be imposed for the illegal manufacture,
possession, or distribution of a listed chemical or toxic res-
idue of a clandestine laboratory, a person who violates sub-
section (a) shall be assessed the costs described in para-
graph (2) and shall be imprisoned as described in para-
graph (3).
‘‘(2) Pursuant to paragraph (1) a defendant shall be
assessed the following costs to the United States, a State,
or another authority or person that undertakes to correct
the results of the improper management of a listed chemi-
cal:
‘‘(A) The cost of initial cleanup and disposal of
the listed chemical and contaminated property.
‘‘(B) The cost of restoring property that is
damaged by exposure to a listed chemical for reha-
bilitation under Federal, State, and local standards.
‘‘(3)(A) A violation of subsection (a) shall be pun-
ished as a class D felony, or in the case of a willful viola-
tion, as a class C felony.
‘‘(B) It is the sense of the Congress that guidelines
issued by the Sentencing Commission regarding sentenc-
ing under this paragraph should recommend that the term
of imprisonment for a violation of subsection (a) should
not be less than 5 years, nor less than 10 years in the
case of a willful violation.
‘‘(4) A court may order that all or a portion of the
earnings from work performed by a defendant in prison
be withheld for payment of costs assessed under para-
graph (2).
‘‘(c) USE OF FORFEITED ASSETS.—The Attorney
General may direct that assets forfeited under section 511
in connection with a prosecution under this section be
shared with State agencies that participated in the seizure
or cleaning up of a contaminated site.’’.
(b) EXCEPTION TO DISCHARGE IN BANKRUPTCY.—
Section 523(a) of title 11, United States Code, is amend-
ed—
(1) by striking ‘‘or’’ at the end of paragraph
(11);
(2) by striking the period at the end of para-
graph (12) and inserting ‘‘; or’’; and
(3) by adding at the end the following new
paragraph:
‘‘(13) for costs assessed under section 311(b) of
the Controlled Substances Act.’’.
SEC. 12. FORFEITURE EXPANSION.
Section 511(a) of the Controlled Substances Act (21
U.S.C. 881(a)) is amended—
(1) in paragraph (6) by inserting ‘‘or listed
chemical’’ after ‘‘controlled substance’’; and
(2) in paragraph (9) by striking ‘‘a felony pro-
vision of’’.
SEC. 13. ATTORNEY GENERAL ACCESS TO THE NATIONAL
PRACTITIONER DATA BANK.
Part B of the Health Care Quality Improvement Act
of 1986 (42 U.S.C. 11131 et seq.) is amended by adding
at the end the following new section:
‘‘SEC. 428. DISCLOSURE OF INFORMATION TO THE ATTOR-
NEY GENERAL.
‘‘Information respecting physicians or other licensed
health care practitioners reported to the Secretary (or to
the agency designated under section 424(b)) under this
part or section 1921 of the Social Security Act (42 U.S.C.
1396r–2) shall be provided to the Attorney General. The
Secretary shall—
‘‘(1) transmit to the Attorney General such in-
formation as the Attorney General may designate or
request to assist the Drug Enforcement Administra-
tion in the enforcement of the Controlled Substances
Act (21 U.S.C. 801 et seq.) and other laws enforced
by the Drug Enforcement Administration; and
‘‘(2) transmit such information related to
health care providers as the Attorney General may
designate or request to assist the Federal Bureau of
Investigation in the enforcement of title 18, the Act
entitled ‘An Act to regulate the practice of pharmacy
and the sale of poison in the consular districts of the
United States in China’, approved March 3, 1915
(21 U.S.C. 201 et seq.), and chapter V of the Fed-
eral Food, Drug, and Cosmetic Act (21 U.S.C. 351
et seq.).’’.
SEC. 14. REGULATIONS AND EFFECTIVE DATE.
(a) REGULATIONS.—The Attorney General shall, not
later than 90 days after the date of enactment of this Act,
issue regulations necessary to carry out this Act.
(b) EFFECTIVE DATE.—This Act and the amend-
ments made by this Act shall become effective on the date
that is 120 days after the date of enactment of this Act.
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HR 1331 IH——2