H. R. 1—231 
‘‘(II) a facility which is functionally related 
and subordinate to a manufacturing facility (deter-
mined without regard to this subclause) if such 
facility is located on the same site as the manufac-
turing facility.’’. 
(b) EFFECTIVE DATE.—The amendments made by this section 
shall apply to obligations issued after the date of the enactment 
of this Act. 
SEC. 1302. CREDIT FOR INVESTMENT IN ADVANCED ENERGY FACILI-
TIES. 
(a) IN GENERAL.—Section 46 (relating to amount of credit) 
is amended by striking ‘‘and’’ at the end of paragraph (3), by 
striking the period at the end of paragraph (4), and by adding 
at the end the following new paragraph: 
‘‘(5) the qualifying advanced energy project credit.’’. 
(b) AMOUNT OF CREDIT.—Subpart E of part IV of subchapter 
A of chapter 1 (relating to rules for computing investment credit) 
is amended by inserting after section 48B the following new section: 
‘‘SEC. 48C. QUALIFYING ADVANCED ENERGY PROJECT CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 46, the qualifying 
advanced energy project credit for any taxable year is an amount 
equal to 30 percent of the qualified investment for such taxable 
year with respect to any qualifying advanced energy project of 
the taxpayer. 
‘‘(b) QUALIFIED INVESTMENT.— 
‘‘(1) IN GENERAL.—For purposes of subsection (a), the quali-
fied investment for any taxable year is the basis of eligible 
property placed in service by the taxpayer during such taxable 
year which is part of a qualifying advanced energy project. 
‘‘(2) CERTAIN
QUALIFIED
PROGRESS
EXPENDITURES
RULES 
MADE APPLICABLE.—Rules similar to the rules of subsections 
(c)(4) and (d) of section 46 (as in effect on the day before 
the enactment of the Revenue Reconciliation Act of 1990) shall 
apply for purposes of this section. 
‘‘(3) LIMITATION.—The amount which is treated for all tax-
able years with respect to any qualifying advanced energy 
project shall not exceed the amount designated by the Secretary 
as eligible for the credit under this section. 
‘‘(c) DEFINITIONS.— 
‘‘(1) QUALIFYING ADVANCED ENERGY PROJECT.— 
‘‘(A) IN
GENERAL.—The term ‘qualifying advanced 
energy project’ means a project— 
‘‘(i) which re-equips, expands, or establishes a 
manufacturing facility for the production of— 
‘‘(I) property designed to be used to produce 
energy from the sun, wind, geothermal deposits 
(within the meaning of section 613(e)(2)), or other 
renewable resources, 
‘‘(II) fuel cells, microturbines, or an energy 
storage system for use with electric or hybrid- 
electric motor vehicles, 
‘‘(III) electric grids to support the transmission 
of intermittent sources of renewable energy, 
including storage of such energy, 
‘‘(IV) 
property 
designed 
to 
capture 
and 
sequester carbon dioxide emissions,
H. R. 1—232 
‘‘(V) property designed to refine or blend 
renewable fuels or to produce energy conservation 
technologies (including energy-conserving lighting 
technologies and smart grid technologies), 
‘‘(VI) new qualified plug-in electric drive motor 
vehicles (as defined by section 30D), qualified plug- 
in electric vehicles (as defined by section 30(d)), 
or components which are designed specifically for 
use with such vehicles, including electric motors, 
generators, and power control units, or 
‘‘(VII) 
other 
advanced 
energy 
property 
designed to reduce greenhouse gas emissions as 
may be determined by the Secretary, and 
‘‘(ii) any portion of the qualified investment of 
which is certified by the Secretary under subsection 
(d) as eligible for a credit under this section. 
‘‘(B) EXCEPTION.—Such term shall not include any por-
tion of a project for the production of any property which 
is used in the refining or blending of any transportation 
fuel (other than renewable fuels). 
‘‘(2) ELIGIBLE
PROPERTY.—The term ‘eligible property’ 
means any property— 
‘‘(A) which is necessary for the production of property 
described in paragraph (1)(A)(i), 
‘‘(B) which is— 
‘‘(i) tangible personal property, or 
‘‘(ii) other tangible property (not including a 
building or its structural components), but only if such 
property is used as an integral part of the qualified 
investment credit facility, and 
‘‘(C) with respect to which depreciation (or amortization 
in lieu of depreciation) is allowable. 
‘‘(d) QUALIFYING ADVANCED ENERGY PROJECT PROGRAM.— 
‘‘(1) ESTABLISHMENT.— 
‘‘(A) IN GENERAL.—Not later than 180 days after the 
date of enactment of this section, the Secretary, in consulta-
tion with the Secretary of Energy, shall establish a quali-
fying advanced energy project program to consider and 
award certifications for qualified investments eligible for 
credits under this section to qualifying advanced energy 
project sponsors. 
‘‘(B) LIMITATION.—The total amount of credits that may 
be 
allocated 
under 
the 
program 
shall 
not 
exceed 
$2,300,000,000. 
‘‘(2) CERTIFICATION.— 
‘‘(A) APPLICATION PERIOD.—Each applicant for certifi-
cation under this paragraph shall submit an application 
containing such information as the Secretary may require 
during the 2-year period beginning on the date the Sec-
retary establishes the program under paragraph (1). 
‘‘(B) TIME TO MEET CRITERIA FOR CERTIFICATION.—Each 
applicant for certification shall have 1 year from the date 
of acceptance by the Secretary of the application during 
which to provide to the Secretary evidence that the require-
ments of the certification have been met. 
‘‘(C) PERIOD OF ISSUANCE.—An applicant which receives 
a certification shall have 3 years from the date of issuance
H. R. 1—233 
of the certification in order to place the project in service 
and if such project is not placed in service by that time 
period, then the certification shall no longer be valid. 
‘‘(3) SELECTION CRITERIA.—In determining which qualifying 
advanced energy projects to certify under this section, the Sec-
retary— 
‘‘(A) shall take into consideration only those projects 
where there is a reasonable expectation of commercial 
viability, and 
‘‘(B) shall take into consideration which projects— 
‘‘(i) will provide the greatest domestic job creation 
(both direct and indirect) during the credit period, 
‘‘(ii) will provide the greatest net impact in 
avoiding or reducing air pollutants or anthropogenic 
emissions of greenhouse gases, 
‘‘(iii) have the greatest potential for technological 
innovation and commercial deployment, 
‘‘(iv) have the lowest levelized cost of generated 
or stored energy, or of measured reduction in energy 
consumption or greenhouse gas emission (based on 
costs of the full supply chain), and 
‘‘(v) have the shortest project time from certifi-
cation to completion. 
‘‘(4) REVIEW AND REDISTRIBUTION.— 
‘‘(A) REVIEW.—Not later than 4 years after the date 
of enactment of this section, the Secretary shall review 
the credits allocated under this section as of such date. 
‘‘(B) REDISTRIBUTION.—The Secretary may reallocate 
credits awarded under this section if the Secretary deter-
mines that— 
‘‘(i) there is an insufficient quantity of qualifying 
applications for certification pending at the time of 
the review, or 
‘‘(ii) any certification made pursuant to paragraph 
(2) has been revoked pursuant to paragraph (2)(B) 
because the project subject to the certification has been 
delayed as a result of third party opposition or litiga-
tion to the proposed project. 
‘‘(C) REALLOCATION.—If the Secretary determines that 
credits under this section are available for reallocation 
pursuant to the requirements set forth in paragraph (2), 
the Secretary is authorized to conduct an additional pro-
gram for applications for certification. 
‘‘(5) DISCLOSURE
OF
ALLOCATIONS.—The Secretary shall, 
upon making a certification under this subsection, publicly 
disclose the identity of the applicant and the amount of the 
credit with respect to such applicant. 
‘‘(e) DENIAL OF DOUBLE BENEFIT.—A credit shall not be allowed 
under this section for any qualified investment for which a credit 
is allowed under section 48, 48A, or 48B.’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 49(a)(1)(C) is amended by striking ‘‘and’’ at 
the end of clause (iii), by striking the period at the end of 
clause (iv) and inserting ‘‘, and’’, and by adding after clause 
(iv) the following new clause:
H. R. 1—234 
‘‘(v) the basis of any property which is part of 
a qualifying advanced energy project under section 
48C.’’. 
(2) The table of sections for subpart E of part IV of sub-
chapter A of chapter 1 is amended by inserting after the item 
relating to section 48B the following new item: 
‘‘48C. Qualifying advanced energy project credit.’’. 
(d) EFFECTIVE DATE.—The amendments made by this section 
shall apply to periods after the date of the enactment of this 
Act, under rules similar to the rules of section 48(m) of the Internal 
Revenue Code of 1986 (as in effect on the day before the date 
of the enactment of the Revenue Reconciliation Act of 1990). 
Subtitle E—Economic Recovery Tools 
SEC. 1401. RECOVERY ZONE BONDS. 
(a) IN GENERAL.—Subchapter Y of chapter 1 is amended by 
adding at the end the following new part: 
‘‘PART III—RECOVERY ZONE BONDS 
‘‘Sec. 1400U–1. Allocation of recovery zone bonds. 
‘‘Sec. 1400U–2. Recovery zone economic development bonds. 
‘‘Sec. 1400U–3. Recovery zone facility bonds. 
‘‘SEC. 1400U–1. ALLOCATION OF RECOVERY ZONE BONDS. 
‘‘(a) ALLOCATIONS.— 
‘‘(1) IN GENERAL.— 
‘‘(A) GENERAL ALLOCATION.—The Secretary shall allo-
cate the national recovery zone economic development bond 
limitation and the national recovery zone facility bond 
limitation among the States in the proportion that each 
such State’s 2008 State employment decline bears to the 
aggregate of the 2008 State employment declines for all 
of the States. 
‘‘(B) MINIMUM ALLOCATION.—The Secretary shall adjust 
the allocations under subparagraph (A) for any calendar 
year for each State to the extent necessary to ensure that 
no State receives less than 0.9 percent of the national 
recovery zone economic development bond limitation and 
0.9 percent of the national recovery zone facility bond 
limitation. 
‘‘(2) 2008 STATE EMPLOYMENT DECLINE.—For purposes of 
this subsection, the term ‘2008 State employment decline’ 
means, with respect to any State, the excess (if any) of— 
‘‘(A) the number of individuals employed in such State 
determined for December 2007, over 
‘‘(B) the number of individuals employed in such State 
determined for December 2008. 
‘‘(3) ALLOCATIONS BY STATES.— 
‘‘(A) IN GENERAL.—Each State with respect to which 
an allocation is made under paragraph (1) shall reallocate 
such allocation among the counties and large municipalities 
in such State in the proportion to each such county’s or 
municipality’s 2008 employment decline bears to the aggre-
gate of the 2008 employment declines for all the counties 
and municipalities in such State. A county or municipality
H. R. 1—235 
may waive any portion of an allocation made under this 
subparagraph. 
‘‘(B) LARGE MUNICIPALITIES.—For purposes of subpara-
graph (A), the term ‘large municipality’ means a munici-
pality with a population of more than 100,000. 
‘‘(C) 
DETERMINATION
OF
LOCAL
EMPLOYMENT 
DECLINES.—For purposes of this paragraph, the employ-
ment decline of any municipality or county shall be deter-
mined in the same manner as determining the State 
employment decline under paragraph (2), except that in 
the case of a municipality any portion of which is in a 
county, such portion shall be treated as part of such munici-
pality and not part of such county. 
‘‘(4) NATIONAL LIMITATIONS.— 
‘‘(A) 
RECOVERY
ZONE
ECONOMIC
DEVELOPMENT 
BONDS.—There is a national recovery zone economic 
development bond limitation of $10,000,000,000. 
‘‘(B) RECOVERY
ZONE
FACILITY
BONDS.—There is a 
national 
recovery 
zone 
facility 
bond 
limitation 
of 
$15,000,000,000. 
‘‘(b) RECOVERY ZONE.—For purposes of this part, the term 
‘recovery zone’ means— 
‘‘(1) any area designated by the issuer as having significant 
poverty, unemployment, rate of home foreclosures, or general 
distress, 
‘‘(2) any area designated by the issuer as economically 
distressed by reason of the closure or realignment of a military 
installation pursuant to the Defense Base Closure and Realign-
ment Act of 1990, and 
‘‘(3) any area for which a designation as an empowerment 
zone or renewal community is in effect. 
‘‘SEC. 1400U–2. RECOVERY ZONE ECONOMIC DEVELOPMENT BONDS. 
‘‘(a) IN GENERAL.—In the case of a recovery zone economic 
development bond— 
‘‘(1) such bond shall be treated as a qualified bond for 
purposes of section 6431, and 
‘‘(2) subsection (b) of such section shall be applied by sub-
stituting ‘45 percent’ for ‘35 percent’. 
‘‘(b) RECOVERY ZONE ECONOMIC DEVELOPMENT BOND.— 
‘‘(1) IN GENERAL.—For purposes of this section, the term 
‘recovery zone economic development bond’ means any build 
America bond (as defined in section 54AA(d)) issued before 
January 1, 2011, as part of issue if— 
‘‘(A) 100 percent of the excess of— 
‘‘(i) the available project proceeds (as defined in 
section 54A) of such issue, over 
‘‘(ii) the amounts in a reasonably required reserve 
(within the meaning of section 150(a)(3)) with respect 
to such issue, 
are to be used for one or more qualified economic develop-
ment purposes, and 
‘‘(B) the issuer designates such bond for purposes of 
this section. 
‘‘(2) LIMITATION ON AMOUNT OF BONDS DESIGNATED.—The 
maximum aggregate face amount of bonds which may be des-
ignated by any issuer under paragraph (1) shall not exceed
H. R. 1—236 
the amount of the recovery zone economic development bond 
limitation allocated to such issuer under section 1400U–1. 
‘‘(c) QUALIFIED ECONOMIC DEVELOPMENT PURPOSE.—For pur-
poses of this section, the term ‘qualified economic development 
purpose’ means expenditures for purposes of promoting development 
or other economic activity in a recovery zone, including— 
‘‘(1) capital expenditures paid or incurred with respect to 
property located in such zone, 
‘‘(2) expenditures for public infrastructure and construction 
of public facilities, and 
‘‘(3) expenditures for job training and educational programs. 
‘‘SEC. 1400U–3. RECOVERY ZONE FACILITY BONDS. 
‘‘(a) IN GENERAL.—For purposes of part IV of subchapter B 
(relating to tax exemption requirements for State and local bonds), 
the term ‘exempt facility bond’ includes any recovery zone facility 
bond. 
‘‘(b) RECOVERY ZONE FACILITY BOND.— 
‘‘(1) IN GENERAL.—For purposes of this section, the term 
‘recovery zone facility bond’ means any bond issued as part 
of an issue if— 
‘‘(A) 95 percent or more of the net proceeds (as defined 
in section 150(a)(3)) of such issue are to be used for recovery 
zone property, 
‘‘(B) such bond is issued before January 1, 2011, and 
‘‘(C) the issuer designates such bond for purposes of 
this section. 
‘‘(2) LIMITATION ON AMOUNT OF BONDS DESIGNATED.—The 
maximum aggregate face amount of bonds which may be des-
ignated by any issuer under paragraph (1) shall not exceed 
the amount of recovery zone facility bond limitation allocated 
to such issuer under section 1400U–1. 
‘‘(c) RECOVERY ZONE PROPERTY.—For purposes of this section— 
‘‘(1) IN GENERAL.—The term ‘recovery zone property’ means 
any property to which section 168 applies (or would apply 
but for section 179) if— 
‘‘(A) such property was constructed, reconstructed, ren-
ovated, or acquired by purchase (as defined in section 
179(d)(2)) by the taxpayer after the date on which the 
designation of the recovery zone took effect, 
‘‘(B) the original use of which in the recovery zone 
commences with the taxpayer, and 
‘‘(C) substantially all of the use of which is in the 
recovery zone and is in the active conduct of a qualified 
business by the taxpayer in such zone. 
‘‘(2) QUALIFIED
BUSINESS.—The term ‘qualified business’ 
means any trade or business except that— 
‘‘(A) the rental to others of real property located in 
a recovery zone shall be treated as a qualified business 
only if the property is not residential rental property (as 
defined in section 168(e)(2)), and 
‘‘(B) such term shall not include any trade or business 
consisting of the operation of any facility described in sec-
tion 144(c)(6)(B). 
‘‘(3) SPECIAL
RULES
FOR
SUBSTANTIAL
RENOVATIONS
AND 
SALE-LEASEBACK.—Rules similar to the rules of subsections
H. R. 1—237 
(a)(2) and (b) of section 1397D shall apply for purposes of 
this subsection. 
‘‘(d) NONAPPLICATION
OF
CERTAIN
RULES.—Sections 146 
(relating to volume cap) and 147(d) (relating to acquisition of 
existing property not permitted) shall not apply to any recovery 
zone facility bond.’’. 
(b) CLERICAL AMENDMENT.—The table of parts for subchapter 
Y of chapter 1 of such Code is amended by adding at the end 
the following new item: 
‘‘PART III. RECOVERY ZONE BONDS.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to obligations issued after the date of the enactment 
of this Act. 
SEC. 1402. TRIBAL ECONOMIC DEVELOPMENT BONDS. 
(a) IN GENERAL.—Section 7871 is amended by adding at the 
end the following new subsection: 
‘‘(f) TRIBAL ECONOMIC DEVELOPMENT BONDS.— 
‘‘(1) ALLOCATION OF LIMITATION.— 
‘‘(A) IN
GENERAL.—The Secretary shall allocate the 
national tribal economic development bond limitation 
among the Indian tribal governments in such manner as 
the Secretary, in consultation with the Secretary of the 
Interior, determines appropriate. 
‘‘(B) NATIONAL LIMITATION.—There is a national tribal 
economic development bond limitation of $2,000,000,000. 
‘‘(2) BONDS TREATED AS EXEMPT FROM TAX.—In the case 
of a tribal economic development bond— 
‘‘(A) notwithstanding subsection (c), such bond shall 
be treated for purposes of this title in the same manner 
as if such bond were issued by a State, 
‘‘(B) the Indian tribal government issuing such bond 
and any instrumentality of such Indian tribal government 
shall be treated as a State for purposes of section 141, 
and 
‘‘(C) section 146 shall not apply. 
‘‘(3) TRIBAL ECONOMIC DEVELOPMENT BOND.— 
‘‘(A) IN GENERAL.—For purposes of this section, the 
term ‘tribal economic development bond’ means any bond 
issued by an Indian tribal government— 
‘‘(i) the interest on which would be exempt from 
tax under section 103 if issued by a State or local 
government, and 
‘‘(ii) which is designated by the Indian tribal 
government as a tribal economic development bond 
for purposes of this subsection. 
‘‘(B) EXCEPTIONS.—Such term shall not include any 
bond issued as part of an issue if any portion of the proceeds 
of such issue are used to finance— 
‘‘(i) any portion of a building in which class II 
or class III gaming (as defined in section 4 of the 
Indian Gaming Regulatory Act) is conducted or housed 
or any other property actually used in the conduct 
of such gaming, or 
‘‘(ii) any facility located outside the Indian reserva-
tion (as defined in section 168(j)(6)).
H. R. 1—238 
‘‘(C) LIMITATION ON AMOUNT OF BONDS DESIGNATED.— 
The maximum aggregate face amount of bonds which may 
be designated by any Indian tribal government under 
subparagraph (A) shall not exceed the amount of national 
tribal economic development bond limitation allocated to 
such government under paragraph (1).’’. 
(b) STUDY.—The Secretary of the Treasury, or the Secretary’s 
delegate, shall conduct a study of the effects of the amendment 
made by subsection (a). Not later than 1 year after the date of 
the enactment of this Act, the Secretary of the Treasury, or the 
Secretary’s delegate, shall report to Congress on the results of 
the study conducted under this paragraph, including the Secretary’s 
recommendations regarding such amendment. 
(c) EFFECTIVE DATE.—The amendment made by subsection (a) 
shall apply to obligations issued after the date of the enactment 
of this Act. 
SEC. 1403. INCREASE IN NEW MARKETS TAX CREDIT. 
(a) IN GENERAL.—Section 45D(f)(1) is amended— 
(1) by striking ‘‘and’’ at the end of subparagraph (C), 
(2) by striking ‘‘, 2007, 2008, and 2009.’’ in subparagraph 
(D), and inserting ‘‘and 2007,’’, and 
(3) by adding at the end the following new subparagraphs: 
‘‘(E) $5,000,000,000 for 2008, and 
‘‘(F) $5,000,000,000 for 2009.’’. 
(b) SPECIAL RULE FOR ALLOCATION OF INCREASED 2008 LIMITA-
TION.—The amount of the increase in the new markets tax credit 
limitation for calendar year 2008 by reason of the amendments 
made by subsection (a) shall be allocated in accordance with section 
45D(f)(2) of the Internal Revenue Code of 1986 to qualified commu-
nity development entities (as defined in section 45D(c) of such 
Code) which— 
(1) submitted an allocation application with respect to cal-
endar year 2008, and 
(2)(A) did not receive an allocation for such calendar year, 
or 
(B) received an allocation for such calendar year in an 
amount less than the amount requested in the allocation 
application. 
SEC. 1404. COORDINATION OF LOW-INCOME HOUSING CREDIT AND 
LOW-INCOME HOUSING GRANTS. 
Subsection (i) of section 42 is amended by adding at the end 
the following new paragraph: 
‘‘(9) COORDINATION WITH LOW-INCOME HOUSING GRANTS.— 
‘‘(A) REDUCTION IN STATE HOUSING CREDIT CEILING FOR 
LOW-INCOME HOUSING GRANTS RECEIVED IN 2009.—For pur-
poses of this section, the amounts described in clauses 
(i) through (iv) of subsection (h)(3)(C) with respect to any 
State for 2009 shall each be reduced by so much of such 
amount as is taken into account in determining the amount 
of any grant to such State under section 1602 of the Amer-
ican Recovery and Reinvestment Tax Act of 2009. 
‘‘(B) SPECIAL
RULE
FOR
BASIS.—Basis of a qualified 
low-income building shall not be reduced by the amount 
of any grant described in subparagraph (A).’’.
H. R. 1—239 
Subtitle F—Infrastructure Financing Tools 
PART I—IMPROVED MARKETABILITY FOR TAX- 
EXEMPT BONDS 
SEC. 1501. DE MINIMIS SAFE HARBOR EXCEPTION FOR TAX-EXEMPT 
INTEREST EXPENSE OF FINANCIAL INSTITUTIONS. 
(a) IN GENERAL.—Subsection (b) of section 265 is amended 
by adding at the end the following new paragraph: 
‘‘(7) DE MINIMIS EXCEPTION FOR BONDS ISSUED DURING 2009 
OR 2010.— 
‘‘(A) IN GENERAL.—In applying paragraph (2)(A), there 
shall not be taken into account tax-exempt obligations 
issued during 2009 or 2010. 
‘‘(B) LIMITATION.—The amount of tax-exempt obliga-
tions not taken into account by reason of subparagraph 
(A) shall not exceed 2 percent of the amount determined 
under paragraph (2)(B). 
‘‘(C) REFUNDINGS.—For purposes of this paragraph, a 
refunding bond (whether a current or advance refunding) 
shall be treated as issued on the date of the issuance 
of the refunded bond (or in the case of a series of 
refundings, the original bond).’’. 
(b) TREATMENT AS FINANCIAL INSTITUTION PREFERENCE ITEM.— 
Clause (iv) of section 291(e)(1)(B) is amended by adding at the 
end the following: ‘‘That portion of any obligation not taken into 
account under paragraph (2)(A) of section 265(b) by reason of para-
graph (7) of such section shall be treated for purposes of this 
section as having been acquired on August 7, 1986.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to obligations issued after December 31, 2008. 
SEC. 1502. MODIFICATION OF SMALL ISSUER EXCEPTION TO TAX- 
EXEMPT INTEREST EXPENSE ALLOCATION RULES FOR 
FINANCIAL INSTITUTIONS. 
(a) IN GENERAL.—Paragraph (3) of section 265(b) (relating to 
exception for certain tax-exempt obligations) is amended by adding 
at the end the following new subparagraph: 
‘‘(G) SPECIAL RULES FOR OBLIGATIONS ISSUED DURING 
2009 AND 2010.— 
‘‘(i) INCREASE IN LIMITATION.—In the case of obliga-
tions issued during 2009 or 2010, subparagraphs (C)(i), 
(D)(i), and (D)(iii)(II) shall each be applied by sub-
stituting ‘$30,000,000’ for ‘$10,000,000’. 
‘‘(ii) QUALIFIED 501(C)(3) BONDS TREATED AS ISSUED 
BY EXEMPT ORGANIZATION.—In the case of a qualified 
501(c)(3) bond (as defined in section 145) issued during 
2009 or 2010, this paragraph shall be applied by 
treating the 501(c)(3) organization for whose benefit 
such bond was issued as the issuer. 
‘‘(iii) SPECIAL RULE FOR QUALIFIED FINANCINGS.— 
In the case of a qualified financing issue issued during 
2009 or 2010— 
‘‘(I) subparagraph (F) shall not apply, and 
‘‘(II) any obligation issued as a part of such 
issue shall be treated as a qualified tax-exempt
H. R. 1—240 
obligation if the requirements of this paragraph 
are met with respect to each qualified portion of 
the issue (determined by treating each qualified 
portion as a separate issue which is issued by 
the qualified borrower with respect to which such 
portion relates). 
‘‘(iv) QUALIFIED FINANCING ISSUE.—For purposes 
of this subparagraph, the term ‘qualified financing 
issue’ means any composite, pooled, or other conduit 
financing issue the proceeds of which are used directly 
or indirectly to make or finance loans to 1 or more 
ultimate borrowers each of whom is a qualified bor-
rower. 
‘‘(v) QUALIFIED
PORTION.—For purposes of this 
subparagraph, the term ‘qualified portion’ means that 
portion of the proceeds which are used with respect 
to each qualified borrower under the issue. 
‘‘(vi) QUALIFIED BORROWER.—For purposes of this 
subparagraph, the term ‘qualified borrower’ means a 
borrower which is a State or political subdivision 
thereof or an organization described in section 501(c)(3) 
and exempt from taxation under section 501(a).’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to obligations issued after December 31, 2008. 
SEC. 1503. TEMPORARY MODIFICATION OF ALTERNATIVE MINIMUM 
TAX LIMITATIONS ON TAX-EXEMPT BONDS. 
(a) INTEREST ON PRIVATE ACTIVITY BONDS ISSUED DURING 2009 
AND 2010 NOT TREATED AS TAX PREFERENCE ITEM.—Subparagraph 
(C) of section 57(a)(5) is amended by adding at the end a new 
clause: 
‘‘(vi) EXCEPTION FOR BONDS ISSUED IN 2009 AND 
2010.— 
‘‘(I) IN GENERAL.—For purposes of clause (i), 
the term ‘private activity bond’ shall not include 
any bond issued after December 31, 2008, and 
before January 1, 2011. 
‘‘(II) TREATMENT OF REFUNDING BONDS.—For 
purposes of subclause (I), a refunding bond 
(whether a current or advance refunding) shall 
be treated as issued on the date of the issuance 
of the refunded bond (or in the case of a series 
of refundings, the original bond). 
‘‘(III) EXCEPTION
FOR
CERTAIN
REFUNDING 
BONDS.—Subclause (II) shall not apply to any 
refunding bond which is issued to refund any bond 
which was issued after December 31, 2003, and 
before January 1, 2009.’’. 
(b) NO ADJUSTMENT
TO ADJUSTED CURRENT EARNINGS
FOR 
INTEREST ON TAX-EXEMPT BONDS ISSUED DURING 2009 AND 2010.— 
Subparagraph (B) of section 56(g)(4) is amended by adding at the 
end the following new clause: 
‘‘(iv) TAX EXEMPT INTEREST ON BONDS ISSUED IN 
2009 AND 2010.— 
‘‘(I) IN GENERAL.—Clause (i) shall not apply 
in the case of any interest on a bond issued after 
December 31, 2008, and before January 1, 2011.
H. R. 1—241 
‘‘(II) TREATMENT OF REFUNDING BONDS.—For 
purposes of subclause (I), a refunding bond 
(whether a current or advance refunding) shall 
be treated as issued on the date of the issuance 
of the refunded bond (or in the case of a series 
of refundings, the original bond). 
‘‘(III) EXCEPTION
FOR
CERTAIN
REFUNDING 
BONDS.—Subclause (II) shall not apply to any 
refunding bond which is issued to refund any bond 
which was issued after December 31, 2003, and 
before January 1, 2009.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to obligations issued after December 31, 2008. 
SEC. 1504. MODIFICATION TO HIGH SPEED INTERCITY RAIL FACILITY 
BONDS. 
(a) IN GENERAL.—Paragraph (1) of section 142(i) is amended 
by striking ‘‘operate at speeds in excess of’’ and inserting ‘‘be capable 
of attaining a maximum speed in excess of’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to obligations issued after the date of the enactment 
of this Act. 
PART II—DELAY IN APPLICATION OF WITH-
HOLDING TAX ON GOVERNMENT CONTRAC-
TORS 
SEC. 1511. DELAY IN APPLICATION OF WITHHOLDING TAX ON GOVERN-
MENT CONTRACTORS. 
Subsection (b) of section 511 of the Tax Increase Prevention 
and Reconciliation Act of 2005 is amended by striking ‘‘December 
31, 2010’’ and inserting ‘‘December 31, 2011’’. 
PART III—TAX CREDIT BONDS FOR SCHOOLS 
SEC. 1521. QUALIFIED SCHOOL CONSTRUCTION BONDS. 
(a) IN GENERAL.—Subpart I of part IV of subchapter A of 
chapter 1 is amended by adding at the end the following new 
section: 
‘‘SEC. 54F. QUALIFIED SCHOOL CONSTRUCTION BONDS. 
‘‘(a) QUALIFIED SCHOOL CONSTRUCTION BOND.—For purposes 
of this subchapter, the term ‘qualified school construction bond’ 
means any bond issued as part of an issue if— 
‘‘(1) 100 percent of the available project proceeds of such 
issue are to be used for the construction, rehabilitation, or 
repair of a public school facility or for the acquisition of land 
on which such a facility is to be constructed with part of 
the proceeds of such issue, 
‘‘(2) the bond is issued by a State or local government 
within the jurisdiction of which such school is located, and 
‘‘(3) the issuer designates such bond for purposes of this 
section. 
‘‘(b) LIMITATION ON AMOUNT OF BONDS DESIGNATED.—The max-
imum aggregate face amount of bonds issued during any calendar 
year which may be designated under subsection (a) by any issuer
H. R. 1—242 
shall not exceed the limitation amount allocated under subsection 
(d) for such calendar year to such issuer. 
‘‘(c) NATIONAL
LIMITATION
ON
AMOUNT
OF
BONDS
DES-
IGNATED.—There is a national qualified school construction bond 
limitation for each calendar year. Such limitation is— 
‘‘(1) $11,000,000,000 for 2009, 
‘‘(2) $11,000,000,000 for 2010, and 
‘‘(3) except as provided in subsection (e), zero after 2010. 
‘‘(d) ALLOCATION OF LIMITATION.— 
‘‘(1) ALLOCATION AMONG STATES.—Except as provided in 
paragraph (2)(C), the limitation applicable under subsection 
(c) for any calendar year shall be allocated by the Secretary 
among the States in proportion to the respective amounts each 
such State is eligible to receive under section 1124 of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 
6333) for the most recent fiscal year ending before such calendar 
year. The limitation amount allocated to a State under the 
preceding sentence shall be allocated by the State to issuers 
within such State. 
‘‘(2) 40 PERCENT OF LIMITATION ALLOCATED AMONG LARGEST 
SCHOOL DISTRICTS.— 
‘‘(A) IN
GENERAL.—40 percent of the limitation 
applicable under subsection (c) for any calendar year shall 
be allocated under subparagraph (B) by the Secretary 
among local educational agencies which are large local 
educational agencies for such year. 
‘‘(B) ALLOCATION FORMULA.—The amount to be allo-
cated under subparagraph (A) for any calendar year shall 
be allocated among large local educational agencies in 
proportion to the respective amounts each such agency 
received under section 1124 of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 6333) for the 
most recent fiscal year ending before such calendar year. 
‘‘(C) REDUCTION IN STATE ALLOCATION.—The allocation 
to any State under paragraph (1) shall be reduced by 
the aggregate amount of the allocations under this para-
graph to large local educational agencies within such State. 
‘‘(D) ALLOCATION OF UNUSED LIMITATION TO STATE.— 
The amount allocated under this paragraph to a large 
local educational agency for any calendar year may be 
reallocated by such agency to the State in which such 
agency is located for such calendar year. Any amount 
reallocated to a State under the preceding sentence may 
be allocated as provided in paragraph (1). 
‘‘(E) LARGE
LOCAL
EDUCATIONAL
AGENCY.—For pur-
poses of this paragraph, the term ‘large local educational 
agency’ means, with respect to a calendar year, any local 
educational agency if such agency is— 
‘‘(i) among the 100 local educational agencies with 
the largest numbers of children aged 5 through 17 
from families living below the poverty level, as deter-
mined by the Secretary using the most recent data 
available from the Department of Commerce that are 
satisfactory to the Secretary, or 
‘‘(ii) 1 of not more than 25 local educational agen-
cies (other than those described in clause (i)) that 
the Secretary of Education determines (based on the
H. R. 1—243 
most recent data available satisfactory to the Sec-
retary) are in particular need of assistance, based on 
a low level of resources for school construction, a high 
level of enrollment growth, or such other factors as 
the Secretary deems appropriate. 
‘‘(3) ALLOCATIONS TO CERTAIN POSSESSIONS.—The amount 
to be allocated under paragraph (1) to any possession of the 
United States other than Puerto Rico shall be the amount 
which would have been allocated if all allocations under para-
graph (1) were made on the basis of respective populations 
of individuals below the poverty line (as defined by the Office 
of Management and Budget). In making other allocations, the 
amount to be allocated under paragraph (1) shall be reduced 
by the aggregate amount allocated under this paragraph to 
possessions of the United States. 
‘‘(4) ALLOCATIONS FOR INDIAN SCHOOLS.—In addition to the 
amounts 
otherwise 
allocated 
under 
this 
subsection, 
$200,000,000 for calendar year 2009, and $200,000,000 for cal-
endar year 2010, shall be allocated by the Secretary of the 
Interior for purposes of the construction, rehabilitation, and 
repair of schools funded by the Bureau of Indian Affairs. In 
the case of amounts allocated under the preceding sentence, 
Indian tribal governments (as defined in section 7701(a)(40)) 
shall be treated as qualified issuers for purposes of this sub-
chapter. 
‘‘(e) CARRYOVER OF UNUSED LIMITATION.—If for any calendar 
year— 
‘‘(1) the amount allocated under subsection (d) to any State, 
exceeds 
‘‘(2) the amount of bonds issued during such year which 
are designated under subsection (a) pursuant to such allocation, 
the limitation amount under such subsection for such State for 
the following calendar year shall be increased by the amount of 
such excess. A similar rule shall apply to the amounts allocated 
under subsection (d)(4).’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Paragraph (1) of section 54A(d) is amended by striking 
‘‘or’’ at the end of subparagraph (C), by inserting ‘‘or’’ at the 
end of subparagraph (D), and by inserting after subparagraph 
(D) the following new subparagraph: 
‘‘(E) a qualified school construction bond,’’. 
(2) Subparagraph (C) of section 54A(d)(2) is amended by 
striking ‘‘and’’ at the end of clause (iii), by striking the period 
at the end of clause (iv) and inserting ‘‘, and’’, and by adding 
at the end the following new clause: 
‘‘(v) in the case of a qualified school construction 
bond, a purpose specified in section 54F(a)(1).’’. 
(3) The table of sections for subpart I of part IV of sub-
chapter A of chapter 1 is amended by adding at the end the 
following new item: 
‘‘Sec. 54F. Qualified school construction bonds.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to obligations issued after the date of the enactment 
of this Act.
H. R. 1—244 
SEC. 1522. EXTENSION AND EXPANSION OF QUALIFIED ZONE ACADEMY 
BONDS. 
(a) IN GENERAL.—Section 54E(c)(1) is amended by striking ‘‘and 
2009’’ and inserting ‘‘and $1,400,000,000 for 2009 and 2010’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to obligations issued after December 31, 2008. 
PART IV—BUILD AMERICA BONDS 
SEC. 1531. BUILD AMERICA BONDS. 
(a) IN GENERAL.—Part IV of subchapter A of chapter 1 is 
amended by adding at the end the following new subpart: 
‘‘Subpart J—Build America Bonds 
‘‘Sec. 54AA. Build America bonds. 
‘‘SEC. 54AA. BUILD AMERICA BONDS. 
‘‘(a) IN GENERAL.—If a taxpayer holds a build America bond 
on one or more interest payment dates of the bond during any 
taxable year, there shall be allowed as a credit against the tax 
imposed by this chapter for the taxable year an amount equal 
to the sum of the credits determined under subsection (b) with 
respect to such dates. 
‘‘(b) AMOUNT OF CREDIT.—The amount of the credit determined 
under this subsection with respect to any interest payment date 
for a build America bond is 35 percent of the amount of interest 
payable by the issuer with respect to such date . 
‘‘(c) LIMITATION BASED ON AMOUNT OF TAX.— 
‘‘(1) IN GENERAL.—The credit allowed under subsection (a) 
for any taxable year shall not exceed the excess of— 
‘‘(A) the sum of the regular tax liability (as defined 
in section 26(b)) plus the tax imposed by section 55, over 
‘‘(B) the sum of the credits allowable under this part 
(other than subpart C and this subpart). 
‘‘(2) CARRYOVER OF UNUSED CREDIT.—If the credit allowable 
under subsection (a) exceeds the limitation imposed by para-
graph (1) for such taxable year, such excess shall be carried 
to the succeeding taxable year and added to the credit allowable 
under subsection (a) for such taxable year (determined before 
the application of paragraph (1) for such succeeding taxable 
year). 
‘‘(d) BUILD AMERICA BOND.— 
‘‘(1) IN GENERAL.—For purposes of this section, the term 
‘build America bond’ means any obligation (other than a private 
activity bond) if— 
‘‘(A) the interest on such obligation would (but for 
this section) be excludable from gross income under section 
103, 
‘‘(B) such obligation is issued before January 1, 2011, 
and 
‘‘(C) the issuer makes an irrevocable election to have 
this section apply. 
‘‘(2) APPLICABLE RULES.—For purposes of applying para-
graph (1)—
H. R. 1—245 
‘‘(A) for purposes of section 149(b), a build America 
bond shall not be treated as federally guaranteed by reason 
of the credit allowed under subsection (a) or section 6431, 
‘‘(B) for purposes of section 148, the yield on a build 
America bond shall be determined without regard to the 
credit allowed under subsection (a), and 
‘‘(C) a bond shall not be treated as a build America 
bond if the issue price has more than a de minimis amount 
(determined under rules similar to the rules of section 
1273(a)(3)) of premium over the stated principal amount 
of the bond. 
‘‘(e) INTEREST PAYMENT DATE.—For purposes of this section, 
the term ‘interest payment date’ means any date on which the 
holder of record of the build America bond is entitled to a payment 
of interest under such bond. 
‘‘(f) SPECIAL RULES.— 
‘‘(1) INTEREST
ON
BUILD
AMERICA
BONDS
INCLUDIBLE
IN 
GROSS INCOME FOR FEDERAL INCOME TAX PURPOSES.—For pur-
poses of this title, interest on any build America bond shall 
be includible in gross income. 
‘‘(2) APPLICATION OF CERTAIN RULES.—Rules similar to the 
rules of subsections (f), (g), (h), and (i) of section 54A shall 
apply for purposes of the credit allowed under subsection (a). 
‘‘(g) SPECIAL RULE
FOR QUALIFIED BONDS ISSUED BEFORE 
2011.—In the case of a qualified bond issued before January 1, 
2011— 
‘‘(1) ISSUER ALLOWED REFUNDABLE CREDIT.—In lieu of any 
credit allowed under this section with respect to such bond, 
the issuer of such bond shall be allowed a credit as provided 
in section 6431. 
‘‘(2) QUALIFIED BOND.—For purposes of this subsection, the 
term ‘qualified bond’ means any build America bond issued 
as part of an issue if— 
‘‘(A) 100 percent of the excess of— 
‘‘(i) the available project proceeds (as defined in 
section 54A) of such issue, over 
‘‘(ii) the amounts in a reasonably required reserve 
(within the meaning of section 150(a)(3)) with respect 
to such issue, 
are to be used for capital expenditures, and 
‘‘(B) the issuer makes an irrevocable election to have 
this subsection apply. 
‘‘(h) REGULATIONS.—The Secretary may prescribe such regula-
tions and other guidance as may be necessary or appropriate to 
carry out this section and section 6431.’’. 
(b) CREDIT FOR QUALIFIED BONDS ISSUED BEFORE 2011.—Sub-
chapter B of chapter 65 is amended by adding at the end the 
following new section: 
‘‘SEC. 6431. CREDIT FOR QUALIFIED BONDS ALLOWED TO ISSUER. 
‘‘(a) IN GENERAL.—In the case of a qualified bond issued before 
January 1, 2011, the issuer of such bond shall be allowed a credit 
with respect to each interest payment under such bond which 
shall be payable by the Secretary as provided in subsection (b). 
‘‘(b) PAYMENT OF CREDIT.—The Secretary shall pay (contem-
poraneously with each interest payment date under such bond) 
to the issuer of such bond (or to any person who makes such
H. R. 1—246 
interest payments on behalf of the issuer) 35 percent of the interest 
payable under such bond on such date. 
‘‘(c) APPLICATION OF ARBITRAGE RULES.—For purposes of section 
148, the yield on a qualified bond shall be reduced by the credit 
allowed under this section. 
‘‘(d) INTEREST PAYMENT DATE.—For purposes of this subsection, 
the term ‘interest payment date’ means each date on which interest 
is payable by the issuer under the terms of the bond. 
‘‘(e) QUALIFIED BOND.—For purposes of this subsection, the 
term ‘qualified bond’ has the meaning given such term in section 
54AA(g).’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 1324(b)(2) of title 31, United States Code, is 
amended by striking ‘‘or 6428’’ and inserting ‘‘6428, or 6431,’’. 
(2) Section 54A(c)(1)(B) is amended by striking ‘‘subpart 
C’’ and inserting ‘‘subparts C and J’’. 
(3) Sections 54(c)(2), 1397E(c)(2), and 1400N(l)(3)(B) are 
each amended by striking ‘‘and I’’ and inserting ‘‘, I, and J’’. 
(4) Section 6211(b)(4)(A) is amended by striking ‘‘and 6428’’ 
and inserting ‘‘6428, and 6431’’. 
(5) Section 6401(b)(1) is amended by striking ‘‘and I’’ and 
inserting ‘‘I, and J’’. 
(6) The table of subparts for part IV of subchapter A 
of chapter 1 is amended by adding at the end the following 
new item: 
‘‘SUBPART J. BUILD AMERICA BONDS.’’. 
(7) The table of section for subchapter B of chapter 65 
is amended by adding at the end the following new item: 
‘‘Sec. 6431. Credit for qualified bonds allowed to issuer.’’. 
(d) TRANSITIONAL COORDINATION WITH STATE LAW.—Except as 
otherwise provided by a State after the date of the enactment 
of this Act, the interest on any build America bond (as defined 
in section 54AA of the Internal Revenue Code of 1986, as added 
by this section) and the amount of any credit determined under 
such section with respect to such bond shall be treated for purposes 
of the income tax laws of such State as being exempt from Federal 
income tax. 
(e) EFFECTIVE DATE.—The amendments made by this section 
shall apply to obligations issued after the date of the enactment 
of this Act. 
PART V—REGULATED INVESTMENT COMPA-
NIES ALLOWED TO PASS-THRU TAX CREDIT 
BOND CREDITS 
SEC. 1541. REGULATED INVESTMENT COMPANIES ALLOWED TO PASS- 
THRU TAX CREDIT BOND CREDITS. 
(a) IN GENERAL.—Part I of subchapter M of chapter 1 is 
amended by inserting after section 853 the following new section: 
‘‘SEC. 853A. CREDITS FROM TAX CREDIT BONDS ALLOWED TO SHARE-
HOLDERS. 
‘‘(a) GENERAL RULE.—A regulated investment company— 
‘‘(1) which holds (directly or indirectly) one or more tax 
credit bonds on one or more applicable dates during the taxable 
year, and
H. R. 1—247 
‘‘(2) which meets the requirements of section 852(a) for 
the taxable year, 
may elect the application of this section with respect to credits 
allowable to the investment company during such taxable year 
with respect to such bonds. 
‘‘(b) EFFECT OF ELECTION.—If the election provided in sub-
section (a) is in effect for any taxable year— 
‘‘(1) the regulated investment company shall not be allowed 
any credits to which subsection (a) applies for such taxable 
year, 
‘‘(2) the regulated investment company shall— 
‘‘(A) include in gross income (as interest) for such tax-
able year an amount equal to the amount that such invest-
ment company would have included in gross income with 
respect to such credits if this section did not apply, and 
‘‘(B) increase the amount of the dividends paid deduc-
tion for such taxable year by the amount of such income, 
and 
‘‘(3) each shareholder of such investment company shall— 
‘‘(A) include in gross income an amount equal to such 
shareholder’s proportionate share of the interest income 
attributable to such credits, and 
‘‘(B) be allowed the shareholder’s proportionate share 
of such credits against the tax imposed by this chapter. 
‘‘(c) NOTICE
TO SHAREHOLDERS.—For purposes of subsection 
(b)(3), the shareholder’s proportionate share of— 
‘‘(1) credits described in subsection (a), and 
‘‘(2) gross income in respect of such credits, 
shall not exceed the amounts so designated by the regulated invest-
ment company in a written notice mailed to its shareholders not 
later than 60 days after the close of its taxable year. 
‘‘(d) MANNER
OF MAKING ELECTION
AND NOTIFYING SHARE-
HOLDERS.—The election provided in subsection (a) and the notice 
to shareholders required by subsection (c) shall be made in such 
manner as the Secretary may prescribe. 
‘‘(e) DEFINITIONS AND SPECIAL RULES.— 
‘‘(1) DEFINITIONS.—For purposes of this subsection— 
‘‘(A) TAX
CREDIT
BOND.—The term ‘tax credit bond’ 
means— 
‘‘(i) a qualified tax credit bond (as defined in section 
54A(d)), 
‘‘(ii) a build America bond (as defined in section 
54AA(d)), and 
‘‘(iii) any bond for which a credit is allowable under 
subpart H of part IV of subchapter A of this chapter. 
‘‘(B) APPLICABLE
DATE.—The term ‘applicable date’ 
means— 
‘‘(i) in the case of a qualified tax credit bond or 
a bond described in subparagraph (A)(iii), any credit 
allowance date (as defined in section 54A(e)(1)), and 
‘‘(ii) in the case of a build America bond (as defined 
in section 54AA(d)), any interest payment date (as 
defined in section 54AA(e)). 
‘‘(2) STRIPPED TAX CREDIT BONDS.—If the ownership of a 
tax credit bond is separated from the credit with respect to 
such bond, subsection (a) shall be applied by reference to the
H. R. 1—248 
instruments evidencing the entitlement to the credit rather 
than the tax credit bond. 
‘‘(f) REGULATIONS, ETC.—The Secretary shall prescribe such 
regulations or other guidance as may be necessary or appropriate 
to carry out the purposes of this section, including methods for 
determining a shareholder’s proportionate share of credits.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 54(l) is amended by striking paragraph (4) and 
by redesignating paragraphs (5) and (6) as paragraphs (4) and 
(5), respectively. 
(2) Section 54A(h) is amended to read as follows: 
‘‘(h) BONDS HELD BY REAL ESTATE INVESTMENT TRUSTS.—If 
any qualified tax credit bond is held by a real estate investment 
trust, the credit determined under subsection (a) shall be allowed 
to beneficiaries of such trust (and any gross income included under 
subsection (f) with respect to such credit shall be distributed to 
such beneficiaries) under procedures prescribed by the Secretary.’’. 
(3) The table of sections for part I of subchapter M of 
chapter 1 is amended by inserting after the item relating to 
section 853 the following new item: 
‘‘Sec. 853A. Credits from tax credit bonds allowed to shareholders.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to taxable years ending after the date of the enactment 
of this Act. 
Subtitle G—Other Provisions 
SEC. 
1601. 
APPLICATION 
OF 
CERTAIN 
LABOR 
STANDARDS 
TO 
PROJECTS FINANCED WITH CERTAIN TAX-FAVORED 
BONDS. 
Subchapter IV of chapter 31 of the title 40, United States 
Code, shall apply to projects financed with the proceeds of— 
(1) any new clean renewable energy bond (as defined in 
section 54C of the Internal Revenue Code of 1986) issued after 
the date of the enactment of this Act, 
(2) any qualified energy conservation bond (as defined in 
section 54D of the Internal Revenue Code of 1986) issued 
after the date of the enactment of this Act, 
(3) any qualified zone academy bond (as defined in section 
54E of the Internal Revenue Code of 1986) issued after the 
date of the enactment of this Act, 
(4) any qualified school construction bond (as defined in 
section 54F of the Internal Revenue Code of 1986), and 
(5) any recovery zone economic development bond (as 
defined in section 1400U–2 of the Internal Revenue Code of 
1986). 
SEC. 1602. GRANTS TO STATES FOR LOW-INCOME HOUSING PROJECTS 
IN LIEU OF LOW-INCOME HOUSING CREDIT ALLOCA-
TIONS FOR 2009. 
(a) IN GENERAL.—The Secretary of the Treasury shall make 
a grant to the housing credit agency of each State in an amount 
equal to such State’s low-income housing grant election amount. 
(b) LOW-INCOME HOUSING GRANT ELECTION AMOUNT.—For pur-
poses of this section, the term ‘‘low-income housing grant election 
amount’’ means, with respect to any State, such amount as the
H. R. 1—249 
State may elect which does not exceed 85 percent of the product 
of— 
(1) the sum of— 
(A) 100 percent of the State housing credit ceiling 
for 2009 which is attributable to amounts described in 
clauses (i) and (iii) of section 42(h)(3)(C) of the Internal 
Revenue Code of 1986, and 
(B) 40 percent of the State housing credit ceiling for 
2009 which is attributable to amounts described in clauses 
(ii) and (iv) of such section, multiplied by 
(2) 10. 
(c) SUBAWARDS FOR LOW-INCOME BUILDINGS.— 
(1) IN GENERAL.—A State housing credit agency receiving 
a grant under this section shall use such grant to make sub-
awards to finance the construction or acquisition and rehabilita-
tion of qualified low-income buildings. A subaward under this 
section may be made to finance a qualified low-income building 
with or without an allocation under section 42 of the Internal 
Revenue Code of 1986, except that a State housing credit agency 
may make subawards to finance qualified low-income buildings 
without an allocation only if it makes a determination that 
such use will increase the total funds available to the State 
to build and rehabilitate affordable housing. In complying with 
such determination requirement, a State housing credit agency 
shall establish a process in which applicants that are allocated 
credits are required to demonstrate good faith efforts to obtain 
investment commitments for such credits before the agency 
makes such subawards. 
(2) SUBAWARDS SUBJECT TO SAME REQUIREMENTS AS LOW- 
INCOME
HOUSING
CREDIT
ALLOCATIONS.—Any such subaward 
with respect to any qualified low-income building shall be made 
in the same manner and shall be subject to the same limitations 
(including rent, income, and use restrictions on such building) 
as an allocation of housing credit dollar amount allocated by 
such State housing credit agency under section 42 of the 
Internal Revenue Code of 1986, except that such subawards 
shall not be limited by, or otherwise affect (except as provided 
in subsection (h)(3)(J) of such section), the State housing credit 
ceiling applicable to such agency. 
(3) COMPLIANCE
AND
ASSET
MANAGEMENT.—The State 
housing credit agency shall perform asset management func-
tions to ensure compliance with section 42 of the Internal 
Revenue Code of 1986 and the long-term viability of buildings 
funded by any subaward under this section. The State housing 
credit agency may collect reasonable fees from a subaward 
recipient to cover expenses associated with the performance 
of its duties under this paragraph. The State housing credit 
agency may retain an agent or other private contractor to 
satisfy the requirements of this paragraph. 
(4) RECAPTURE.—The State housing credit agency shall 
impose conditions or restrictions, including a requirement pro-
viding for recapture, on any subaward under this section so 
as to assure that the building with respect to which such 
subaward is made remains a qualified low-income building 
during the compliance period. Any such recapture shall be 
payable to the Secretary of the Treasury for deposit in the 
general fund of the Treasury and may be enforced by means
H. R. 1—250 
of liens or such other methods as the Secretary of the Treasury 
determines appropriate. 
(d) RETURN OF UNUSED GRANT FUNDS.—Any grant funds not 
used to make subawards under this section before January 1, 2011, 
shall be returned to the Secretary of the Treasury on such date. 
Any subawards returned to the State housing credit agency on 
or after such date shall be promptly returned to the Secretary 
of the Treasury. Any amounts returned to the Secretary of the 
Treasury under this subsection shall be deposited in the general 
fund of the Treasury. 
(e) DEFINITIONS.—Any term used in this section which is also 
used in section 42 of the Internal Revenue Code of 1986 shall 
have the same meaning for purposes of this section as when used 
in such section 42. Any reference in this section to the Secretary 
of the Treasury shall be treated as including the Secretary’s dele-
gate. 
(f) APPROPRIATIONS.—There is hereby appropriated to the Sec-
retary of the Treasury such sums as may be necessary to carry 
out this section. 
SEC. 1603. GRANTS FOR SPECIFIED ENERGY PROPERTY IN LIEU OF 
TAX CREDITS. 
(a) IN
GENERAL.—Upon application, the Secretary of the 
Treasury shall, subject to the requirements of this section, provide 
a grant to each person who places in service specified energy prop-
erty to reimburse such person for a portion of the expense of 
such property as provided in subsection (b). No grant shall be 
made under this section with respect to any property unless such 
property— 
(1) is placed in service during 2009 or 2010, or 
(2) is placed in service after 2010 and before the credit 
termination date with respect to such property, but only if 
the construction of such property began during 2009 or 2010. 
(b) GRANT AMOUNT.— 
(1) IN GENERAL.—The amount of the grant under subsection 
(a) with respect to any specified energy property shall be the 
applicable percentage of the basis of such property. 
(2) APPLICABLE PERCENTAGE.—For purposes of paragraph 
(1), the term ‘‘applicable percentage’’ means— 
(A) 30 percent in the case of any property described 
in paragraphs (1) through (4) of subsection (d), and 
(B) 10 percent in the case of any other property. 
(3) DOLLAR LIMITATIONS.—In the case of property described 
in paragraph (2), (6), or (7) of subsection (d), the amount 
of any grant under this section with respect to such property 
shall not exceed the limitation described in section 48(c)(1)(B), 
48(c)(2)(B), or 48(c)(3)(B) of the Internal Revenue Code of 1986, 
respectively, with respect to such property. 
(c) TIME
FOR PAYMENT
OF GRANT.—The Secretary of the 
Treasury shall make payment of any grant under subsection (a) 
during the 60-day period beginning on the later of— 
(1) the date of the application for such grant, or 
(2) the date the specified energy property for which the 
grant is being made is placed in service. 
(d) SPECIFIED ENERGY PROPERTY.—For purposes of this section, 
the term ‘‘specified energy property’’ means any of the following:
H. R. 1—252 
(4) any partnership or other pass-thru entity any partner 
(or other holder of an equity or profits interest) of which is 
described in paragraph (1), (2) or (3). 
(h) DEFINITIONS.—Terms used in this section which are also 
used in section 45 or 48 of the Internal Revenue Code of 1986 
shall have the same meaning for purposes of this section as when 
used in such section 45 or 48. Any reference in this section to 
the Secretary of the Treasury shall be treated as including the 
Secretary’s delegate. 
(i) APPROPRIATIONS.—There is hereby appropriated to the Sec-
retary of the Treasury such sums as may be necessary to carry 
out this section. 
(j) TERMINATION.—The Secretary of the Treasury shall not make 
any grant to any person under this section unless the application 
of such person for such grant is received before October 1, 2011. 
SEC. 1604. INCREASE IN PUBLIC DEBT LIMIT. 
Subsection (b) of section 3101 of title 31, United States Code, 
is amended by striking out the dollar limitation contained in such 
subsection and inserting ‘‘$12,104,000,000,000’’. 
Subtitle H—Prohibition on Collection of 
Certain Payments Made Under the Con-
tinued Dumping and Subsidy Offset Act 
of 2000 
SEC. 1701. PROHIBITION ON COLLECTION OF CERTAIN PAYMENTS 
MADE UNDER THE CONTINUED DUMPING AND SUBSIDY 
OFFSET ACT OF 2000. 
(a) IN GENERAL.—Notwithstanding any other provision of law, 
neither the Secretary of Homeland Security nor any other person 
may— 
(1) require repayment of, or attempt in any other way 
to recoup, any payments described in subsection (b); or 
(2) offset any past, current, or future distributions of anti-
dumping or countervailing duties assessed with respect to 
imports from countries that are not parties to the North Amer-
ican Free Trade Agreement in an attempt to recoup any pay-
ments described in subsection (b). 
(b) PAYMENTS DESCRIBED.—Payments described in this sub-
section are payments of antidumping or countervailing duties made 
pursuant to the Continued Dumping and Subsidy Offset Act of 
2000 (section 754 of the Tariff Act of 1930 (19 U.S.C. 1675c; repealed 
by subtitle F of title VII of the Deficit Reduction Act of 2005 
(Public Law 109–171; 120 Stat. 154))) that were— 
(1) assessed and paid on imports of goods from countries 
that are parties to the North American Free Trade Agreement; 
and 
(2) distributed on or after January 1, 2001, and before 
January 1, 2006. 
(c) PAYMENT OF FUNDS COLLECTED OR WITHHELD.—Not later 
than the date that is 60 days after the date of the enactment 
of this Act, the Secretary of Homeland Security shall— 
(1) refund any repayments, or any other recoupment, of 
payments described in subsection (b); and
H. R. 1—253 
(2) fully distribute any antidumping or countervailing 
duties that the U.S. Customs and Border Protection is with-
holding as an offset as described in subsection (a)(2). 
(d) LIMITATION.—Nothing in this section shall be construed 
to prevent the Secretary of Homeland Security, or any other person, 
from requiring repayment of, or attempting to otherwise recoup, 
any payments described in subsection (b) as a result of— 
(1) a finding of false statements or other misconduct by 
a recipient of such a payment; or 
(2) the reliquidation of an entry with respect to which 
such a payment was made. 
Subtitle I—Trade Adjustment Assistance 
SEC. 1800. SHORT TITLE. 
This subtitle may be cited as the ‘‘Trade and Globalization 
Adjustment Assistance Act of 2009’’. 
PART I—TRADE ADJUSTMENT ASSISTANCE 
FOR WORKERS 
Subpart A—Trade Adjustment Assistance for 
Service Sector Workers 
SEC. 1801. EXTENSION OF TRADE ADJUSTMENT ASSISTANCE TO 
SERVICE 
SECTOR 
AND 
PUBLIC 
AGENCY 
WORKERS; 
SHIFTS IN PRODUCTION. 
(a) DEFINITIONS.—Section 247 of the Trade Act of 1974 (19 
U.S.C. 2319) is amended— 
(1) in paragraph (1)— 
(A) by striking ‘‘or appropriate subdivision of a firm’’; 
and 
(B) by striking ‘‘or subdivision’’; 
(2) in paragraph (2), by striking ‘‘employment—’’ and all 
that follows and inserting ‘‘employment, has been totally or 
partially separated from such employment.’’; 
(3) by inserting after paragraph (2) the following: 
‘‘(3) Subject to section 222(d)(5), the term ‘firm’ means— 
‘‘(A) a firm, including an agricultural firm, service 
sector firm, or public agency; or 
‘‘(B) an appropriate subdivision thereof.’’; 
(4) by inserting after paragraph (6) the following: 
‘‘(7) The term ‘public agency’ means a department or agency 
of a State or local government or of the Federal Government, 
or a subdivision thereof.’’; 
(5) in paragraph (11), by striking ‘‘, or in a subdivision 
of which,’’; and 
(6) by adding at the end the following: 
‘‘(18) The term ‘service sector firm’ means a firm engaged 
in the business of supplying services.’’. 
(b) GROUP ELIGIBILITY REQUIREMENTS.—Section 222 of the 
Trade Act of 1974 (19 U.S.C. 2272) is amended— 
(1) in subsection (a)(2)— 
(A) by amending subparagraph (A)(ii) to read as fol-
lows:
H. R. 1—254 
‘‘(ii)(I) imports of articles or services like or directly 
competitive with articles produced or services supplied by such 
firm have increased; 
‘‘(II) imports of articles like or directly competitive with 
articles— 
‘‘(aa) into which one or more component parts produced 
by such firm are directly incorporated, or 
‘‘(bb) which are produced directly using services sup-
plied by such firm, 
have increased; or 
‘‘(III) imports of articles directly incorporating one or more 
component parts produced outside the United States that are 
like or directly competitive with imports of articles incor-
porating one or more component parts produced by such firm 
have increased; and’’; and 
(B) by amending subparagraph (B) to read as follows: 
‘‘(B)(i)(I) there has been a shift by such workers’ firm 
to a foreign country in the production of articles or the supply 
of services like or directly competitive with articles which are 
produced or services which are supplied by such firm; or 
‘‘(II) such workers’ firm has acquired from a foreign country 
articles or services that are like or directly competitive with 
articles which are produced or services which are supplied 
by such firm; and 
‘‘(ii) the shift described in clause (i)(I) or the acquisition 
of articles or services described in clause (i)(II) contributed 
importantly to such workers’ separation or threat of separa-
tion.’’; 
(2) by redesignating subsections (b) and (c) as subsections 
(c) and (d), respectively; and 
(3) by inserting after subsection (a) the following: 
‘‘(b) ADVERSELY AFFECTED WORKERS IN PUBLIC AGENCIES.— 
A group of workers in a public agency shall be certified by the 
Secretary as eligible to apply for adjustment assistance under this 
chapter pursuant to a petition filed under section 221 if the Sec-
retary determines that— 
‘‘(1) a significant number or proportion of the workers 
in the public agency have become totally or partially separated, 
or are threatened to become totally or partially separated; 
‘‘(2) the public agency has acquired from a foreign country 
services like or directly competitive with services which are 
supplied by such agency; and 
‘‘(3) the acquisition of services described in paragraph (2) 
contributed importantly to such workers’ separation or threat 
of separation.’’. 
(c) BASIS FOR SECRETARY’S DETERMINATIONS.—Section 222 of 
the Trade Act of 1974 (19 U.S.C. 2272), as amended, is further 
amended by adding at the end the following: 
‘‘(e) BASIS FOR SECRETARY’S DETERMINATIONS.— 
‘‘(1) IN
GENERAL.—The Secretary shall, in determining 
whether to certify a group of workers under section 223, obtain 
from the workers’ firm, or a customer of the workers’ firm, 
information the Secretary determines to be necessary to make 
the certification, through questionnaires and in such other 
manner as the Secretary determines appropriate.
H. R. 1—255 
‘‘(2) ADDITIONAL INFORMATION.—The Secretary may seek 
additional information to determine whether to certify a group 
of workers under subsection (a), (b), or (c)— 
‘‘(A) by contacting— 
‘‘(i) officials or employees of the workers’ firm; 
‘‘(ii) officials of customers of the workers’ firm; 
‘‘(iii) officials of certified or recognized unions or 
other duly authorized representatives of the group of 
workers; or 
‘‘(iv) one-stop operators or one-stop partners (as 
defined in section 101 of the Workforce Investment 
Act of 1998 (29 U.S.C. 2801)); or 
‘‘(B) by using other available sources of information. 
‘‘(3) VERIFICATION OF INFORMATION.— 
‘‘(A) CERTIFICATION.—The Secretary shall require a 
firm or customer to certify— 
‘‘(i) all information obtained under paragraph (1) 
from the firm or customer (as the case may be) through 
questionnaires; and 
‘‘(ii) all other information obtained under para-
graph (1) from the firm or customer (as the case may 
be) on which the Secretary relies in making a deter-
mination under section 223, unless the Secretary has 
a reasonable basis for determining that such informa-
tion is accurate and complete without being certified. 
‘‘(B) USE OF SUBPOENAS.—The Secretary shall require 
the workers’ firm or a customer of the workers’ firm to 
provide information requested by the Secretary under para-
graph (1) by subpoena pursuant to section 249 if the firm 
or customer (as the case may be) fails to provide the 
information within 20 days after the date of the Secretary’s 
request, unless the firm or customer (as the case may 
be) demonstrates to the satisfaction of the Secretary that 
the firm or customer (as the case may be) will provide 
the information within a reasonable period of time. 
‘‘(C) PROTECTION OF CONFIDENTIAL INFORMATION.—The 
Secretary may not release information obtained under para-
graph (1) that the Secretary considers to be confidential 
business information unless the firm or customer (as the 
case may be) submitting the confidential business informa-
tion had notice, at the time of submission, that the informa-
tion would be released by the Secretary, or the firm or 
customer (as the case may be) subsequently consents to 
the release of the information. Nothing in this subpara-
graph shall be construed to prohibit the Secretary from 
providing such confidential business information to a court 
in camera or to another party under a protective order 
issued by a court.’’. 
(d) PENALTIES.—Section 244 of the Trade Act of 1974 (19 U.S.C. 
2316) is amended to read as follows: 
‘‘SEC. 244. PENALTIES. 
‘‘Any person who— 
‘‘(1) makes a false statement of a material fact knowing 
it to be false, or knowingly fails to disclose a material fact, 
for the purpose of obtaining or increasing for that person or 
for any other person any payment authorized to be furnished
H. R. 1—256 
under this chapter or pursuant to an agreement under section 
239, or 
‘‘(2) makes a false statement of a material fact knowing 
it to be false, or knowingly fails to disclose a material fact, 
when providing information to the Secretary during an inves-
tigation of a petition under section 221, 
shall be imprisoned for not more than one year, or fined under 
title 18, United States Code, or both.’’. 
(e) CONFORMING AMENDMENTS.— 
(1) Section 221(a) of the Trade Act of 1974 (19 U.S.C. 
2271(a)) is amended— 
(A) in paragraph (1)— 
(i) in the matter preceding subparagraph (A)— 
(I) by striking ‘‘Secretary’’ and inserting ‘‘Sec-
retary of Labor’’; and 
(II) by striking ‘‘or subdivision’’ and inserting 
‘‘(as defined in section 247)’’; and 
(ii) in subparagraph (A), by striking ‘‘(including 
workers in an agricultural firm or subdivision of any 
agricultural firm)’’; 
(B) in paragraph (2)(A), by striking ‘‘rapid response 
assistance’’ and inserting ‘‘rapid response activities’’; and 
(C) in paragraph (3), by inserting ‘‘and on the website 
of the Department of Labor’’ after ‘‘Federal Register’’. 
(2) Section 222 of the Trade Act of 1974 (19 U.S.C. 2272), 
as amended, is further amended— 
(A) by striking ‘‘(including workers in any agricultural 
firm or subdivision of an agricultural firm)’’ each place 
it appears; 
(B) in subsection (a)— 
(i) in paragraph (1), by striking ‘‘, or an appropriate 
subdivision of the firm,’’; and 
(ii) in paragraph (2), by striking ‘‘or subdivision’’ 
each place it appears; 
(C) in subsection (c) (as redesignated)— 
(i) in paragraph (2)— 
(I) by striking ‘‘(or subdivision)’’ each place 
it appears; 
(II) by inserting ‘‘or service’’ after ‘‘the article’’; 
and 
(III) by striking ‘‘(c) (3)’’ and inserting ‘‘(d) 
(3)’’; and 
(ii) in paragraph (3), by striking ‘‘(or subdivision)’’ 
each place it appears; and 
(D) in subsection (d) (as redesignated)— 
(i) by striking ‘‘For purposes’’ and inserting 
‘‘DEFINITIONS.—For purposes’’; 
(ii) in paragraph (2), by striking ‘‘, or appropriate 
subdivision of a firm,’’ each place it appears; 
(iii) by amending paragraph (3) to read as follows: 
‘‘(3) DOWNSTREAM PRODUCER.— 
‘‘(A) IN
GENERAL.—The term ‘downstream producer’ 
means a firm that performs additional, value-added produc-
tion processes or services directly for another firm for arti-
cles or services with respect to which a group of workers 
in such other firm has been certified under subsection 
(a).
H. R. 1—257 
‘‘(B) VALUE-ADDED PRODUCTION PROCESSES OR SERV-
ICES.—For purposes of subparagraph (A), value-added 
production processes or services include final assembly, 
finishing, testing, packaging, or maintenance or transpor-
tation services.’’; 
(iv) in paragraph (4)— 
(I) by striking ‘‘(or subdivision)’’; and 
(II) by inserting ‘‘, or services, used in the 
production of articles or in the supply of services, 
as the case may be,’’ after ‘‘for articles’’; and 
(v) by adding at the end the following: 
‘‘(5) REFERENCE TO FIRM.—For purposes of subsection (a), 
the term ‘firm’ does not include a public agency.’’. 
(3) Section 231(a)(2) of the Trade Act of 1974 (19 U.S.C. 
2291(a)(2)) is amended— 
(A) in the matter preceding subparagraph (A), by 
striking ‘‘or subdivision of a firm’’; and 
(B) in subparagraph (C), by striking ‘‘or subdivision’’. 
SEC. 1802. SEPARATE BASIS FOR CERTIFICATION. 
Section 222 of the Trade Act of 1974 (19 U.S.C. 2272), as 
amended, is further amended by adding at the end the following: 
‘‘(f) FIRMS IDENTIFIED BY THE INTERNATIONAL TRADE COMMIS-
SION.—Notwithstanding any other provision of this chapter, a group 
of workers covered by a petition filed under section 221 shall 
be certified under subsection (a) as eligible to apply for adjustment 
assistance under this chapter if— 
‘‘(1) the workers’ firm is publicly identified by name by 
the International Trade Commission as a member of a domestic 
industry in an investigation resulting in— 
‘‘(A) an affirmative determination of serious injury or 
threat thereof under section 202(b)(1); 
‘‘(B) an affirmative determination of market disruption 
or threat thereof under section 421(b)(1); or 
‘‘(C) an affirmative final determination of material 
injury or threat thereof under section 705(b)(1)(A) or 
735(b)(1)(A) of the Tariff Act of 1930 (19 U.S.C. 
1671d(b)(1)(A) and 1673d(b)(1)(A)); 
‘‘(2) the petition is filed during the one-year period begin-
ning on the date on which— 
‘‘(A) a summary of the report submitted to the Presi-
dent by the International Trade Commission under section 
202(f)(1) with respect to the affirmative determination 
described in paragraph (1)(A) is published in the Federal 
Register under section 202(f)(3); or 
‘‘(B) notice of an affirmative determination described 
in subparagraph (B) or (C) of paragraph (1) is published 
in the Federal Register; and 
‘‘(3) the workers have become totally or partially separated 
from the workers’ firm within— 
‘‘(A) the one-year period described in paragraph (2); 
or 
‘‘(B) notwithstanding section 223(b), the one-year 
period preceding the one-year period described in para-
graph (2).’’.
H. R. 1—258 
SEC. 1803. DETERMINATIONS BY SECRETARY OF LABOR. 
Section 223 of the Trade Act of 1974 (19 U.S.C. 2273) is 
amended— 
(1) in subsection (b), by striking ‘‘or appropriate subdivision 
of the firm before his application’’ and all that follows and 
inserting ‘‘before the worker’s application under section 231 
occurred more than one year before the date of the petition 
on which such certification was granted.’’; 
(2) in subsection (c), by striking ‘‘together with his reasons’’ 
and inserting ‘‘and on the website of the Department of Labor, 
together with the Secretary’s reasons’’; 
(3) in subsection (d)— 
(A) by striking ‘‘or subdivision of the firm’’ and all 
that follows through ‘‘he shall’’ and inserting ‘‘, that total 
or partial separations from such firm are no longer attrib-
utable to the conditions specified in section 222, the Sec-
retary shall’’; and 
(B) by striking ‘‘together with his reasons’’ and 
inserting ‘‘and on the website of the Department of Labor, 
together with the Secretary’s reasons’’; and 
(4) by adding at the end the following: 
‘‘(e) STANDARDS FOR INVESTIGATIONS AND DETERMINATIONS.— 
‘‘(1) IN GENERAL.—The Secretary shall establish standards, 
including data requirements, for investigations of petitions filed 
under section 221 and criteria for making determinations under 
subsection (a). 
‘‘(2) CONSULTATIONS.—Not less than 90 days before issuing 
a final rule with respect to the standards required under para-
graph (1), the Secretary shall consult with the Committee on 
Finance of the Senate and the Committee on Ways and Means 
of the House of Representatives with respect to such rule.’’. 
SEC. 1804. MONITORING AND REPORTING RELATING TO SERVICE 
SECTOR. 
(a) IN GENERAL.—Section 282 of the Trade Act of 1974 (19 
U.S.C. 2393) is amended— 
(1) in the heading, by striking ‘‘SYSTEM’’ and inserting 
‘‘AND DATA COLLECTION’’; 
(2) in the first sentence— 
(A) by striking ‘‘The Secretary’’ and inserting ‘‘(a) MON-
ITORING PROGRAMS.—The Secretary’’; 
(B) by inserting ‘‘and services’’ after ‘‘imports of arti-
cles’’; 
(C) by inserting ‘‘and domestic supply of services’’ after 
‘‘domestic production’’; 
(D) by inserting ‘‘or supplying services’’ after ‘‘pro-
ducing articles’’; and 
(E) by inserting ‘‘, or supply of services,’’ after ‘‘changes 
in production’’; and 
(3) by adding at the end the following: 
‘‘(b) COLLECTION OF DATA AND REPORTS ON SERVICE SECTOR.— 
‘‘(1) SECRETARY OF LABOR.—Not later than 90 days after 
the date of the enactment of this subsection, the Secretary 
of Labor shall implement a system to collect data on adversely 
affected workers employed in the service sector that includes 
the number of workers by State and industry, and by the
H. R. 1—259 
cause of the dislocation of each worker, as identified in the 
certification. 
‘‘(2) SECRETARY OF COMMERCE.—Not later than 1 year after 
such date of enactment, the Secretary of Commerce shall, in 
consultation with the Secretary of Labor, conduct a study and 
submit to the Committee on Finance of the Senate and the 
Committee on Ways and Means of the House of Representatives 
a report on ways to improve the timeliness and coverage of 
data on trade in services, including methods to identify 
increased imports due to the relocation of United States firms 
to foreign countries, and increased imports due to United States 
firms acquiring services from firms in foreign countries.’’. 
(b) CLERICAL AMENDMENT.—The table of contents of the Trade 
Act of 1974 is amended by striking the item relating to section 
282 and inserting the following: 
‘‘Sec. 282. Trade monitoring and data collection.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall take effect on the date of the enactment of this Act. 
Subpart B—Industry Notifications Following 
Certain Affirmative Determinations 
SEC. 
1811. 
NOTIFICATIONS 
FOLLOWING 
CERTAIN 
AFFIRMATIVE 
DETERMINATIONS. 
(a) IN GENERAL.—Section 224 of the Trade Act of 1974 (19 
U.S.C. 2274) is amended— 
(1) by amending the heading to read as follows: 
‘‘SEC. 224. STUDY AND NOTIFICATIONS REGARDING CERTAIN AFFIRMA-
TIVE DETERMINATIONS; INDUSTRY NOTIFICATION OF 
ASSISTANCE.’’; 
(2) in subsection (a), by striking ‘‘Whenever’’ and inserting 
‘‘STUDY OF DOMESTIC INDUSTRY.—Whenever’’; 
(3) in subsection (b)— 
(A) by striking ‘‘The report’’ and inserting ‘‘REPORT 
BY THE SECRETARY.—The report’’; and 
(B) by inserting ‘‘and on the website of the Department 
of Labor’’ after ‘‘Federal Register’’; and 
(4) by adding at the end the following: 
‘‘(c) NOTIFICATIONS FOLLOWING AFFIRMATIVE GLOBAL SAFE-
GUARD DETERMINATIONS.—Upon making an affirmative determina-
tion under section 202(b)(1), the Commission shall promptly notify 
the Secretary of Labor and the Secretary of Commerce and, in 
the case of a determination with respect to an agricultural com-
modity, the Secretary of Agriculture, of the determination. 
‘‘(d) NOTIFICATIONS FOLLOWING AFFIRMATIVE BILATERAL
OR 
PLURILATERAL SAFEGUARD DETERMINATIONS.— 
‘‘(1) NOTIFICATIONS OF DETERMINATIONS OF MARKET DISRUP-
TION.—Upon making an affirmative determination under sec-
tion 421(b)(1), the Commission shall promptly notify the Sec-
retary of Labor and the Secretary of Commerce and, in the 
case of a determination with respect to an agricultural com-
modity, the Secretary of Agriculture, of the determination. 
‘‘(2) NOTIFICATIONS
REGARDING
TRADE
AGREEMENT
SAFE-
GUARDS.—Upon making an affirmative determination in a pro-
ceeding initiated under an applicable safeguard provision (other 
than a provision described in paragraph (3)) that is enacted
H. R. 1—260 
to implement a trade agreement to which the United States 
is a party, the Commission shall promptly notify the Secretary 
of Labor and the Secretary of Commerce and, in the case 
of a determination with respect to an agricultural commodity, 
the Secretary of Agriculture, of the determination. 
‘‘(3) NOTIFICATIONS REGARDING TEXTILE AND APPAREL SAFE-
GUARDS.—Upon making an affirmative determination in a pro-
ceeding initiated under any safeguard provision relating to 
textile and apparel articles that is enacted to implement a 
trade agreement to which the United States is a party, the 
President shall promptly notify the Secretary of Labor and 
the Secretary of Commerce of the determination. 
‘‘(e) NOTIFICATIONS FOLLOWING CERTAIN AFFIRMATIVE DETER-
MINATIONS UNDER TITLE VII OF THE TARIFF ACT OF 1930.—Upon 
making an affirmative determination under section 705(b)(1)(A) 
or 735(b)(1)(A) of the Tariff Act of 1930 (19 U.S.C. 1671d(b)(1)(A) 
and 1673d(b)(1)(A)), the Commission shall promptly notify the Sec-
retary of Labor and the Secretary of Commerce and, in the case 
of a determination with respect to an agricultural commodity, the 
Secretary of Agriculture, of the determination. 
‘‘(f) INDUSTRY NOTIFICATION OF ASSISTANCE.—Upon receiving 
a notification of a determination under subsection (c), (d), or (e) 
with respect to a domestic industry— 
‘‘(1) the Secretary of Labor shall— 
‘‘(A) notify the representatives of the domestic industry 
affected by the determination, firms publicly identified by 
name during the course of the proceeding relating to the 
determination, and any certified or recognized union or, 
to the extent practicable, other duly authorized representa-
tive of workers employed by such representatives of the 
domestic industry, of— 
‘‘(i) the allowances, training, employment services, 
and other benefits available under this chapter; 
‘‘(ii) the manner in which to file a petition and 
apply for such benefits; and 
‘‘(iii) the availability of assistance in filing such 
petitions; 
‘‘(B) notify the Governor of each State in which one 
or more firms in the industry described in subparagraph 
(A) are located of the Commission’s determination and the 
identity of the firms; and 
‘‘(C) upon request, provide any assistance that is nec-
essary to file a petition under section 221; 
‘‘(2) the Secretary of Commerce shall— 
‘‘(A) notify the representatives of the domestic industry 
affected by the determination and any firms publicly identi-
fied by name during the course of the proceeding relating 
to the determination of— 
‘‘(i) the benefits available under chapter 3; 
‘‘(ii) the manner in which to file a petition and 
apply for such benefits; and 
‘‘(iii) the availability of assistance in filing such 
petitions; and 
‘‘(B) upon request, provide any assistance that is nec-
essary to file a petition under section 251; and
H. R. 1—261 
‘‘(3) in the case of an affirmative determination based upon 
imports of an agricultural commodity, the Secretary of Agri-
culture shall— 
‘‘(A) notify representatives of the domestic industry 
affected by the determination and any agricultural com-
modity producers publicly identified by name during the 
course of the proceeding relating to the determination of— 
‘‘(i) the benefits available under chapter 6; 
‘‘(ii) the manner in which to file a petition and 
apply for such benefits; and 
‘‘(iii) the availability of assistance in filing such 
petitions; and 
‘‘(B) upon request, provide any assistance that is nec-
essary to file a petition under section 292. 
‘‘(g) REPRESENTATIVES OF THE DOMESTIC INDUSTRY.—For pur-
poses of subsection (f), the term ‘representatives of the domestic 
industry’ means the persons that petitioned for relief in connection 
with— 
‘‘(1) a proceeding under section 202 or 421 of this Act; 
‘‘(2) a proceeding under section 702(b) or 732(b) of the 
Tariff Act of 1930 (19 U.S.C. 1671d(b) and 1673d(b)); or 
‘‘(3) any safeguard investigation described in subsection 
(d)(2) or (d)(3).’’. 
(b) CLERICAL AMENDMENT.—The table of contents of the Trade 
Act of 1974 is amended by striking the item relating to section 
224 and inserting the following: 
‘‘Sec. 224. Study and notifications regarding certain affirmative determinations; in-
dustry notification of assistance.’’. 
SEC. 1812. NOTIFICATION TO SECRETARY OF COMMERCE. 
Section 225 of the Trade Act of 1974 (19 U.S.C. 2275) is 
amended by adding at the end the following: 
‘‘(c) Upon issuing a certification under section 223, the Secretary 
shall notify the Secretary of Commerce of the identity of each 
firm covered by the certification.’’. 
Subpart C—Program Benefits 
SEC. 1821. QUALIFYING REQUIREMENTS FOR WORKERS. 
(a) IN GENERAL.—Section 231(a)(5)(A)(ii) of the Trade Act of 
1974 (19 U.S.C. 2291 (a)(5)(A)(ii)) is amended— 
(1) by striking subclauses (I) and (II) and inserting the 
following: 
‘‘(I) in the case of a worker whose most recent 
total separation from adversely affected employment 
that meets the requirements of paragraphs (1) and 
(2) occurs after the date on which the Secretary issues 
a certification covering the worker, the last day of 
the 26th week after such total separation, 
‘‘(II) in the case of a worker whose most recent 
total separation from adversely affected employment 
that meets the requirements of paragraphs (1) and 
(2) occurs before the date on which the Secretary issues 
a certification covering the worker, the last day of 
the 26th week after the date of such certification,’’; 
(2) in subclause (III)—
H. R. 1—264 
(B) in the matter following subparagraph (B), by 
striking ‘‘52-week’’ and inserting ‘‘91-week’’. 
SEC. 1824. SPECIAL RULES FOR CALCULATION OF ELIGIBILITY 
PERIOD. 
Section 233 of the Trade Act of 1974 (19 U.S.C. 2293), as 
amended, is further amended by adding at the end the following: 
‘‘(g) SPECIAL RULE FOR CALCULATING SEPARATION.—Notwith-
standing any other provision of this chapter, any period during 
which a judicial or administrative appeal is pending with respect 
to the denial by the Secretary of a petition under section 223 
shall not be counted for purposes of calculating the period of separa-
tion under subsection (a)(2). 
‘‘(h) SPECIAL RULE FOR JUSTIFIABLE CAUSE.—If the Secretary 
determines that there is justifiable cause, the Secretary may extend 
the period during which trade readjustment allowances are payable 
to an adversely affected worker under paragraphs (2) and (3) of 
subsection (a) (but not the maximum amounts of such allowances 
that are payable under this section). 
‘‘(i) SPECIAL RULE WITH RESPECT TO MILITARY SERVICE.— 
‘‘(1) IN GENERAL.—Notwithstanding any other provision of 
this chapter, the Secretary may waive any requirement of this 
chapter that the Secretary determines is necessary to ensure 
that an adversely affected worker who is a member of a reserve 
component of the Armed Forces and serves a period of duty 
described in paragraph (2) is eligible to receive a trade readjust-
ment allowance, training, and other benefits under this chapter 
in the same manner and to the same extent as if the worker 
had not served the period of duty. 
‘‘(2) PERIOD OF DUTY DESCRIBED.—An adversely affected 
worker serves a period of duty described in this paragraph 
if, before completing training under section 236, the worker— 
‘‘(A) serves on active duty for a period of more than 
30 days under a call or order to active duty of more than 
30 days; or 
‘‘(B) in the case of a member of the Army National 
Guard of the United States or Air National Guard of the 
United States, performs full-time National Guard duty 
under section 502(f) of title 32, United States Code, for 
30 consecutive days or more when authorized by the Presi-
dent or the Secretary of Defense for the purpose of 
responding to a national emergency declared by the Presi-
dent and supported by Federal funds.’’. 
SEC. 1825. APPLICATION OF STATE LAWS AND REGULATIONS ON GOOD 
CAUSE FOR WAIVER OF TIME LIMITS OR LATE FILING 
OF CLAIMS. 
Section 234 of the Trade Act of 1974 (19 U.S.C. 2294) is 
amended— 
(1) by striking ‘‘Except where inconsistent’’ and inserting 
‘‘(a) IN GENERAL.—Except where inconsistent’’; and 
(2) by adding at the end the following: 
‘‘(b) SPECIAL RULE WITH RESPECT TO STATE LAWS AND REGULA-
TIONS ON GOOD CAUSE FOR WAIVER OF TIME LIMITS OR LATE FILING 
OF CLAIMS.—Any law, regulation, policy, or practice of a cooperating 
State that allows for a waiver for good cause of any time limitation 
relating to the administration of the State unemployment insurance 
law shall, in the administration of the program under this chapter
H. R. 1—265 
by the State, apply to any time limitation with respect to an 
application for a trade readjustment allowance or enrollment in 
training under this chapter.’’. 
SEC. 1826. EMPLOYMENT AND CASE MANAGEMENT SERVICES. 
(a) IN GENERAL.—Section 235 of the Trade Act of 1974 (19 
U.S.C. 2295) is amended to read as follows: 
‘‘SEC. 235. EMPLOYMENT AND CASE MANAGEMENT SERVICES. 
‘‘The Secretary shall make available, directly or through agree-
ments with States under section 239, to adversely affected workers 
and adversely affected incumbent workers covered by a certification 
under subchapter A of this chapter the following employment and 
case management services: 
‘‘(1) Comprehensive and specialized assessment of skill 
levels and service needs, including through— 
‘‘(A) diagnostic testing and use of other assessment 
tools; and 
‘‘(B) in-depth interviewing and evaluation to identify 
employment barriers and appropriate employment goals. 
‘‘(2) Development of an individual employment plan to iden-
tify employment goals and objectives, and appropriate training 
to achieve those goals and objectives. 
‘‘(3) Information on training available in local and regional 
areas, information on individual counseling to determine which 
training is suitable training, and information on how to apply 
for such training. 
‘‘(4) Information on how to apply for financial aid, including 
referring workers to educational opportunity centers described 
in section 402F of the Higher Education Act of 1965 (20 U.S.C. 
1070a–16), where applicable, and notifying workers that the 
workers may request financial aid administrators at institu-
tions of higher education (as defined in section 102 of such 
Act (20 U.S.C. 1002)) to use the administrators’ discretion under 
section 479A of such Act (20 U.S.C. 1087tt) to use current 
year income data, rather than preceding year income data, 
for determining the amount of need of the workers for Federal 
financial assistance under title IV of such Act (20 U.S.C. 1070 
et seq.). 
‘‘(5) Short-term prevocational services, including develop-
ment of learning skills, communications skills, interviewing 
skills, punctuality, personal maintenance skills, and profes-
sional conduct to prepare individuals for employment or 
training. 
‘‘(6) Individual career counseling, including job search and 
placement counseling, during the period in which the individual 
is receiving a trade adjustment allowance or training under 
this chapter, and after receiving such training for purposes 
of job placement. 
‘‘(7) Provision of employment statistics information, 
including the provision of accurate information relating to local, 
regional, and national labor market areas, including— 
‘‘(A) job vacancy listings in such labor market areas; 
‘‘(B) information on jobs skills necessary to obtain jobs 
identified in job vacancy listings described in subparagraph 
(A);
H. R. 1—266 
‘‘(C) information relating to local occupations that are 
in demand and earnings potential of such occupations; 
and 
‘‘(D) skills requirements for local occupations described 
in subparagraph (C). 
‘‘(8) Information relating to the availability of supportive 
services, including services relating to child care, transpor-
tation, dependent care, housing assistance, and need-related 
payments that are necessary to enable an individual to partici-
pate in training.’’. 
(b) CLERICAL AMENDMENT.—The table of contents of the Trade 
Act of 1974 is amended by striking the item relating to section 
235 and inserting the following: 
‘‘235. Employment and case management services.’’. 
SEC. 1827. ADMINISTRATIVE EXPENSES AND EMPLOYMENT AND CASE 
MANAGEMENT SERVICES. 
(a) IN GENERAL.—Part II of subchapter B of chapter 2 of title 
II of the Trade Act of 1974 (19 U.S.C. 2295 et seq.) is amended 
by inserting after section 235 the following: 
‘‘SEC. 235A. FUNDING FOR ADMINISTRATIVE EXPENSES AND EMPLOY-
MENT AND CASE MANAGEMENT SERVICES. 
‘‘(a) FUNDING FOR ADMINISTRATIVE EXPENSES AND EMPLOYMENT 
AND CASE MANAGEMENT SERVICES.— 
‘‘(1) IN GENERAL.—In addition to any funds made available 
to a State to carry out section 236 for a fiscal year, the State 
shall receive for the fiscal year a payment in an amount that 
is equal to 15 percent of the amount of such funds. 
‘‘(2) USE OF FUNDS.—A State that receives a payment under 
paragraph (1) shall— 
‘‘(A) use not more than 2⁄3 of such payment for the 
administration of the trade adjustment assistance for 
workers program under this chapter, including for— 
‘‘(i) processing waivers of training requirements 
under section 231; 
‘‘(ii) collecting, validating, and reporting data 
required under this chapter; and 
‘‘(iii) providing reemployment trade adjustment 
assistance under section 246; and 
‘‘(B) use not less than 1⁄3 of such payment for employ-
ment and case management services under section 235. 
‘‘(b) ADDITIONAL FUNDING FOR EMPLOYMENT AND CASE MANAGE-
MENT SERVICES.— 
‘‘(1) IN GENERAL.—In addition to any funds made available 
to a State to carry out section 236 and the payment under 
subsection (a)(1) for a fiscal year, the Secretary shall provide 
to the State for the fiscal year a payment in the amount 
of $350,000. 
‘‘(2) USE OF FUNDS.—A State that receives a payment under 
paragraph (1) shall use such payment for the purpose of pro-
viding employment and case management services under sec-
tion 235. 
‘‘(3) VOLUNTARY RETURN OF FUNDS.—A State that receives 
a payment under paragraph (1) may decline or otherwise return 
such payment to the Secretary.’’.
H. R. 1—267 
(b) CLERICAL AMENDMENT.—The table of contents of the Trade 
Act of 1974 is amended by inserting after the item relating to 
section 235 the following: 
‘‘Sec. 235A. Funding for administrative expenses and employment and case man-
agement services.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall take effect on the date of the enactment of this Act. 
SEC. 1828. TRAINING FUNDING. 
(a) IN GENERAL.—Section 236(a)(2) of the Trade Act of 1974 
(19 U.S.C. 2296(a)(2)) is amended to read as follows: 
‘‘(2)(A) The total amount of payments that may be made under 
paragraph (1) shall not exceed— 
‘‘(i) for each of the fiscal years 2009 and 2010, $575,000,000; 
and 
‘‘(ii) for the period beginning October 1, 2010, and ending 
December 31, 2010, $143,750,000. 
‘‘(B)(i) The Secretary shall, as soon as practicable after the 
beginning of each fiscal year, make an initial distribution of the 
funds made available to carry out this section, in accordance with 
the requirements of subparagraph (C). 
‘‘(ii) The Secretary shall ensure that not less than 90 percent 
of the funds made available to carry out this section for a fiscal 
year are distributed to the States by not later than July 15 of 
that fiscal year. 
‘‘(C)(i) In making the initial distribution of funds pursuant 
to subparagraph (B)(i) for a fiscal year, the Secretary shall hold 
in reserve 35 percent of the funds made available to carry out 
this section for that fiscal year for additional distributions during 
the remainder of the fiscal year. 
‘‘(ii) Subject to clause (iii), in determining how to apportion 
the initial distribution of funds pursuant to subparagraph (B)(i) 
in a fiscal year, the Secretary shall take into account, with respect 
to each State— 
‘‘(I) the trend in the number of workers covered by certifi-
cations of eligibility under this chapter during the most recent 
4 consecutive calendar quarters for which data are available; 
‘‘(II) the trend in the number of workers participating in 
training under this section during the most recent 4 consecutive 
calendar quarters for which data are available; 
‘‘(III) the number of workers estimated to be participating 
in training under this section during the fiscal year; 
‘‘(IV) the amount of funding estimated to be necessary 
to provide training approved under this section to such workers 
during the fiscal year; and 
‘‘(V) such other factors as the Secretary considers appro-
priate relating to the provision of training under this section. 
‘‘(iii) In no case may the amount of the initial distribution 
to a State pursuant to subparagraph (B)(i) in a fiscal year be 
less than 25 percent of the initial distribution to the State in 
the preceding fiscal year. 
‘‘(D) The Secretary shall establish procedures for the distribu-
tion of the funds that remain available for the fiscal year after 
the initial distribution required under subparagraph (B)(i). Such 
procedures may include the distribution of funds pursuant to 
requests submitted by States in need of such funds.
H. R. 1—268 
‘‘(E) If, during a fiscal year, the Secretary estimates that the 
amount of funds necessary to pay the costs of training approved 
under this section will exceed the dollar amount limitation specified 
in subparagraph (A), the Secretary shall decide how the amount 
of funds made available to carry out this section that have not 
been distributed at the time of the estimate will be apportioned 
among the States for the remainder of the fiscal year.’’. 
(b) DETERMINATIONS REGARDING TRAINING.—Section 236(a)(9) 
of the Trade Act of 1974 (19 U.S.C. 2296(a)(9)) is amended— 
(1) by striking ‘‘The Secretary’’ and inserting ‘‘(A) Subject 
to subparagraph (B), the Secretary’’; and 
(2) by adding at the end the following: 
‘‘(B)(i) In determining under paragraph (1)(E) whether a worker 
is qualified to undertake and complete training, the Secretary may 
approve training for a period longer than the worker’s period of 
eligibility for trade readjustment allowances under part I if the 
worker demonstrates a financial ability to complete the training 
after the expiration of the worker’s period of eligibility for such 
trade readjustment allowances. 
‘‘(ii) In determining the reasonable cost of training under para-
graph (1)(F) with respect to a worker, the Secretary may consider 
whether other public or private funds are reasonably available 
to the worker, except that the Secretary may not require a worker 
to obtain such funds as a condition of approval of training under 
paragraph (1).’’. 
(c) REGULATIONS.—Section 236 of the Trade Act of 1974 (19 
U.S.C. 2296) is amended by adding at the end the following: 
‘‘(g) REGULATIONS
WITH
RESPECT
TO
APPORTIONMENT
OF 
TRAINING FUNDS TO STATES.— 
‘‘(1) IN GENERAL.—Not later than 1 year after the date 
of the enactment of this subsection, the Secretary shall issue 
such regulations as may be necessary to carry out the provisions 
of subsection (a)(2). 
‘‘(2) CONSULTATIONS.—The Secretary shall consult with the 
Committee on Finance of the Senate and the Committee on 
Ways and Means of the House of Representatives not less 
than 90 days before issuing any regulation pursuant to para-
graph (1).’’. 
(d) EFFECTIVE DATE.—This section and the amendments made 
by this section shall take effect upon the expiration of the 90- 
day period beginning on the date of the enactment of this Act, 
except that— 
(1) subparagraph (A) of section 236(a)(2) of the Trade Act 
of 1974, as amended by subsection (a) of this section, shall 
take effect on the date of the enactment of this Act; and 
(2) subparagraphs (B), (C), and (D) of such section 236(a)(2) 
shall take effect on October 1, 2009. 
SEC. 1829. PREREQUISITE EDUCATION; APPROVED TRAINING PRO-
GRAMS. 
(a) IN GENERAL.—Section 236(a)(5) of the Trade Act of 1974 
(19 U.S.C. 2296(a)(5)) is amended— 
(1) in subparagraph (A)— 
(A) by striking ‘‘and’’ at the end of clause (i); 
(B) by adding ‘‘and’’ at the end of clause (ii); and 
(C) by inserting after clause (ii) the following:
H. R. 1—275 
‘‘(I) the number of weekly hours of employment 
of 
the 
worker 
referred 
to 
in 
paragraph 
(3)(B)(iii)(II), to 
‘‘(II) the number of weekly hours of employ-
ment of the worker at the time of separation, 
but 
‘‘(ii) in no case more than 50 percent. 
‘‘(7) LIMITATION ON OTHER BENEFITS.—A worker described 
in paragraph (3)(B) may not receive a trade readjustment allow-
ance under part I of subchapter B pursuant to the certification 
described in paragraph (3)(A) during any week for which the 
worker receives a payment described in paragraph (2)(A).’’; 
and 
(3) in subsection (b)(2), by striking ‘‘subsection (a)(3)(B)’’ 
and inserting ‘‘subsection (a)(3)’’. 
(b) EXTENSION OF PROGRAM.—Section 246(b)(1) of the Trade 
Act of 1974 (19 U.S.C. 2318(b)(1)) is amended by striking ‘‘the 
date that is 5 years’’ and all that follows through the end period 
and inserting ‘‘December 31, 2010.’’. 
(c) CLERICAL AMENDMENT.—The table of contents of the Trade 
Act of 1974 is amended by striking the item relating to section 
246 and inserting the following: 
‘‘Sec. 246. Reemployment trade adjustment assistance program.’’. 
Subpart E—Other Matters 
SEC. 1851. OFFICE OF TRADE ADJUSTMENT ASSISTANCE. 
(a) IN GENERAL.—Subchapter C of chapter 2 of title II of the 
Trade Act of 1974 (19 U.S.C. 2311 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 249A. OFFICE OF TRADE ADJUSTMENT ASSISTANCE. 
‘‘(a) ESTABLISHMENT.—There is established in the Department 
of Labor an office to be known as the Office of Trade Adjustment 
Assistance (in this section referred to as the ‘Office’). 
‘‘(b) HEAD
OF OFFICE.—The head of the Office shall be an 
administrator, who shall report directly to the Deputy Assistant 
Secretary for Employment and Training. 
‘‘(c) PRINCIPAL FUNCTIONS.—The principal functions of the 
administrator of the Office shall be— 
‘‘(1) to oversee and implement the administration of trade 
adjustment assistance program under this chapter; and 
‘‘(2) to carry out functions delegated to the Secretary of 
Labor under this chapter, including— 
‘‘(A) making determinations under section 223; 
‘‘(B) providing information under section 225 about 
trade adjustment assistance to workers and assisting such 
workers to prepare petitions or applications for program 
benefits; 
‘‘(C) providing assistance to employers of groups of 
workers that have filed petitions under section 221 in 
submitting information required by the Secretary relating 
to the petitions; 
‘‘(D) ensuring workers covered by a certification of 
eligibility under subchapter A receive the employment and 
case management services described in section 235;
H. R. 1—276 
‘‘(E) ensuring that States fully comply with agreements 
entered into under section 239; 
‘‘(F) advocating for workers applying for benefits avail-
able under this chapter; 
‘‘(G) establishing and overseeing a hotline that workers, 
employers, and other entities may call to obtain information 
regarding eligibility criteria, procedural requirements, and 
benefits available under this chapter; and 
‘‘(H) carrying out such other duties with respect to 
this chapter as the Secretary specifies for purposes of this 
section. 
‘‘(d) ADMINISTRATION.— 
‘‘(1) DESIGNATION.—The administrator shall designate an 
employee of the Department of Labor with appropriate experi-
ence and expertise to carry out the duties described in para-
graph (2). 
‘‘(2) DUTIES.—The employee designated under paragraph 
(1) shall— 
‘‘(A) receive complaints and requests for assistance 
related to the trade adjustment assistance program under 
this chapter; 
‘‘(B) resolve such complaints and requests for assist-
ance, in coordination with other employees of the Office; 
‘‘(C) compile basic information concerning such com-
plaints and requests for assistance; and 
‘‘(D) carry out such other duties with respect to this 
chapter as the Secretary specifies for purposes of this sec-
tion.’’. 
(b) CLERICAL AMENDMENT.—The table of contents of the Trade 
Act of 1974 is amended by inserting after the item relating to 
section 249 the following: 
‘‘Sec. 249A. Office of Trade Adjustment Assistance.’’. 
SEC. 1852. ACCOUNTABILITY OF STATE AGENCIES; COLLECTION AND 
PUBLICATION OF PROGRAM DATA; AGREEMENTS WITH 
STATES. 
(a) IN GENERAL.—Section 239(a) of the Trade Act of 1974 (19 
U.S.C. 2311(a)) is amended— 
(1) by amending clause (2) to read as follows: ‘‘(2) in accord-
ance with subsection (f), shall make available to adversely 
affected workers and adversely affected incumbent workers cov-
ered by a certification under subchapter A the employment 
and case management services described in section 235,’’; and 
(2) by striking ‘‘will’’ each place it appears and inserting 
‘‘shall’’. 
(b) FORM AND MANNER OF DATA.—Section 239 of the Trade 
Act of 1974 (19 U.S.C. 2311) is amended— 
(1) by redesignating subsections (c) through (g) as sub-
sections (d) through (h), respectively; and 
(2) by inserting after subsection (b) the following: 
‘‘(c) FORM AND MANNER OF DATA.—Each agreement under this 
subchapter shall— 
‘‘(1) provide the Secretary with the authority to collect 
any data the Secretary determines necessary to meet the 
requirements of this chapter; and 
‘‘(2) specify the form and manner in which any such data 
requested by the Secretary shall be reported.’’.
H. R. 1—277 
(c) STATE ACTIVITIES.—Section 239(g) of the Trade Act of 1974 
(as redesignated) is amended— 
(1) in paragraph (3), by striking ‘‘and’’ at the end; 
(2) by amending paragraph (4) to read as follows: 
‘‘(4) perform outreach to, intake of, and orientation for 
adversely affected workers and adversely affected incumbent 
workers covered by a certification under subchapter A with 
respect to assistance and benefits available under this chapter, 
and’’; and 
(3) by adding at the end the following: 
‘‘(5) make employment and case management services 
described in section 235 available to adversely affected workers 
and adversely affected incumbent workers covered by a certifi-
cation under subchapter A and, if funds provided to carry 
out this chapter are insufficient to make such services available, 
make arrangements to make such services available through 
other Federal programs.’’. 
(d) REPORTING REQUIREMENT.—Section 239(h) of the Trade Act 
of 1974 (as redesignated) is amended by striking ‘‘1998.’’ and 
inserting ‘‘1998 (29 U.S.C. 2822(b)) and a description of the State’s 
rapid response activities under section 221(a)(2)(A).’’. 
(e) CONTROL MEASURES.—Section 239 of the Trade Act of 1974 
(19 U.S.C. 2311), as amended, is further amended by adding at 
the end the following: 
‘‘(i) CONTROL MEASURES.— 
‘‘(1) IN GENERAL.—The Secretary shall require each cooper-
ating State and cooperating State agency to implement effective 
control measures and to effectively oversee the operation and 
administration of the trade adjustment assistance program 
under this chapter, including by means of monitoring the oper-
ation of control measures to improve the accuracy and timeli-
ness of the data being collected and reported. 
‘‘(2) DEFINITION.—For purposes of paragraph (1), the term 
‘control measures’ means measures that— 
‘‘(A) are internal to a system used by a State to collect 
data; and 
‘‘(B) are designed to ensure the accuracy and 
verifiability of such data. 
‘‘(j) DATA REPORTING.— 
‘‘(1) IN GENERAL.—Any agreement entered into under this 
section shall require the cooperating State or cooperating State 
agency to report to the Secretary on a quarterly basis com-
prehensive performance accountability data, to consist of— 
‘‘(A) the core indicators of performance described in 
paragraph (2)(A); 
‘‘(B) the additional indicators of performance described 
in paragraph (2)(B), if any; and 
‘‘(C) a description of efforts made to improve outcomes 
for workers under the trade adjustment assistance pro-
gram. 
‘‘(2) CORE INDICATORS DESCRIBED.— 
‘‘(A) IN GENERAL.—The core indicators of performance 
described in this paragraph are— 
‘‘(i) the percentage of workers receiving benefits 
under this chapter who are employed during the second 
calendar quarter following the calendar quarter in 
which the workers cease receiving such benefits;
H. R. 1—278 
‘‘(ii) the percentage of such workers who are 
employed in each of the third and fourth calendar 
quarters following the calendar quarter in which the 
workers cease receiving such benefits; and 
‘‘(iii) the earnings of such workers in each of the 
third and fourth calendar quarters following the cal-
endar quarter in which the workers cease receiving 
such benefits. 
‘‘(B) ADDITIONAL
INDICATORS.—The Secretary and a 
cooperating State or cooperating State agency may agree 
upon additional indicators of performance for the trade 
adjustment assistance program under this chapter, as 
appropriate. 
‘‘(3) STANDARDS WITH RESPECT TO RELIABILITY OF DATA.— 
In preparing the quarterly report required by paragraph (1), 
each cooperating State or cooperating State agency shall estab-
lish procedures that are consistent with guidelines to be issued 
by the Secretary to ensure that the data reported are valid 
and reliable.’’. 
SEC. 1853. VERIFICATION OF ELIGIBILITY FOR PROGRAM BENEFITS. 
Section 239 of the Trade Act of 1974 (19 U.S.C. 2311), as 
amended, is further amended by adding at the end the following: 
‘‘(k) VERIFICATION OF ELIGIBILITY FOR PROGRAM BENEFITS.— 
‘‘(1) IN
GENERAL.—An agreement under this subchapter 
shall provide that the State shall periodically redetermine that 
a worker receiving benefits under this subchapter who is not 
a citizen or national of the United States remains in a satisfac-
tory immigration status. Once satisfactory immigration status 
has been initially verified through the immigration status 
verification system described in section 1137(d) of the Social 
Security Act (42 U.S.C. 1320b-7(d)) for purposes of establishing 
a worker’s eligibility for unemployment compensation, the State 
shall reverify the worker’s immigration status if the documenta-
tion provided during initial verification will expire during the 
period in which that worker is potentially eligible to receive 
benefits under this subchapter. The State shall conduct such 
redetermination in a timely manner, utilizing the immigration 
status verification system described in section 1137(d) of the 
Social Security Act (42 U.S.C. 1320b-7(d)). 
‘‘(2) PROCEDURES.—The Secretary shall establish proce-
dures to ensure the uniform application by the States of the 
requirements of this subsection.’’. 
SEC. 1854. COLLECTION OF DATA AND REPORTS; INFORMATION TO 
WORKERS. 
(a) IN GENERAL.—Subchapter C of chapter 2 of title II of the 
Trade Act of 1974 (19 U.S.C. 2311 et seq.), as amended, is further 
amended by adding at the end the following: 
‘‘SEC. 249B. COLLECTION AND PUBLICATION OF DATA AND REPORTS; 
INFORMATION TO WORKERS. 
‘‘(a) IN GENERAL.—Not later than 180 days after the date of 
the enactment of this section, the Secretary shall implement a 
system to collect and report the data described in subsection (b), 
as well as any other information that the Secretary considers appro-
priate to effectively carry out this chapter.