(2) CONFORMING REPEAL.—Section 11A of the
Rural Electrification Act of 1936 (7 U.S.C. 911a) is
hereby repealed.
(e) REGULATIONS.—Not later than January 1, 1994,
the Administrator of the Rural Development Administra-
tion shall issue interim final rules to implement the
amendments made by this section.
Subtitle C—Food Stamp Program
SEC. 1301. SHORT TITLE.
This subtitle may be cited as the ‘‘Mickey Leland
Childhood Hunger Relief Act’’.
SEC. 1302. REFERENCES TO THE ACT.
Except as otherwise provided in this subtitle, ref-
erences in this subtitle to ‘‘the Act’’ and sections of the
Act shall be deemed to be references to the Food Stamp
Act of 1977 (7 U.S.C. 2011 et seq.) and the sections of
such Act.
CHAPTER 1—ENSURING ADEQUATE FOOD
ASSISTANCE
SEC. 1311. MAXIMUM BENEFIT LEVEL.
Section 3(o) of the Act (7 U.S.C. 2012(o)) is amend-
ed by striking ‘‘(4) through’’ and all that follows through
the end of the subsection, and inserting the following:
‘‘and (4) on October 1, 1993, and each October 1 there-
after, adjust the cost of such diet to reflect 104 percent
of the cost of the thrifty food plan in the preceding June
(without regard to adjustments made to such costs in any
previous year), as determined by the Secretary, and round
the result to the nearest lower dollar increment for each
household size.’’.
SEC. 1312. HELPING LOW-INCOME HIGH SCHOOL STU-
DENTS.
Section 5(d)(7) of the Act (7 U.S.C. 2014(d)(7)) is
amended by striking ‘‘who is a student, and who has not
attained his eighteenth birthday’’ and inserting ‘‘who is
an elementary or secondary school student, and who is 21
years of age or younger’’.
SEC. 1313. FAMILIES WITH HIGH SHELTER EXPENSES.
(a) COMPUTATION.—Section 5(e) of the Act (7
U.S.C. 2014(e)) is amended—
(1) in the fourth sentence by striking ‘‘: Pro-
vided, That the amount’’ and all that follows
through ‘‘June 30’’; and
(2) in the fifth sentence by striking ‘‘under
clause (2) of the preceding sentence’’.
(b) LIMITATIONS.—
(1) FISCAL YEAR 1994.—Effective on the date
of enactment of this Act, section 5(e) of the Act (7
U.S.C. 2014(e)) is amended by inserting after the
fourth sentence the following:
‘‘In the 12-month period ending September 30, 1994, such
excess shelter expense deduction shall not exceed $214 a
month in the 48 contiguous States and the District of Co-
lumbia, and shall not exceed, in Alaska, Hawaii, Guam,
and the Virgin Islands of the United States, $372, $305,
$259, and $158 a month, respectively.’’.
(2) REMOVAL
OF
CAP.—Effective October 1,
1994, section 5(e) of the Act (7 U.S.C. 2014(e)), as
amended by paragraph (1), is amended by striking
the fifth sentence.
SEC. 1314. RESOURCE EXCLUSION FOR EARNED INCOME
TAX CREDITS.
Section 5(g)(3) of the Act (7 U.S.C. 2014(g)(3)) is
amended by adding at the end the following:
‘‘The Secretary shall also exclude from financial resources
any earned income tax credits received by any member of
the household for a period of 12 months from receipt if
such member was participating in the food stamp program
at the time the credits were received and participated in
such program continuously during the twelve-month
period.’’.
SEC. 1315. HOMELESS FAMILIES IN TRANSITIONAL HOUS-
ING.
Section 
5(k)(2)(F) 
of 
the 
Act 
(7 
U.S.C.
2014(k)(2)(F)) is amended to read as follows:
‘‘(F) housing assistance payments made to a
third party on behalf of the household residing in
transitional housing for the homeless;’’.
SEC. 1316. HOUSEHOLDS BENEFITING FROM GENERAL AS-
SISTANCE VENDOR PAYMENTS.
Section 
5(k)(1)(B) 
of 
the 
Act 
(7 
U.S.C.
2014(k)(1)(B)) is amended by striking ‘‘living expenses’’
and inserting ‘‘housing expenses, not including energy or
utility-cost assistance,’’.
SEC. 1317. CONTINUING BENEFITS TO ELIGIBLE HOUSE-
HOLDS.
Section 
8(c)(2)(B) 
of 
the 
Act 
(7 
U.S.C.
2017(c)(2)(B)) is amended by inserting ‘‘of more than one
month in’’ after ‘‘following any period’’.
SEC. 1318. IMPROVING THE NUTRITIONAL STATUS OF CHIL-
DREN IN PUERTO RICO.
Section 
19(a)(1)(A) 
of 
the 
Act 
(7 
U.S.C.
2028(a)(1)(A)) is amended by—
(1) striking ‘‘$1,091,000,000’’ and inserting
‘‘$1,111,000,000’’; and
(2) striking ‘‘$1,133,000,000’’ and inserting
‘‘$1,158,000,000’’.
CHAPTER 2—PROMOTING SELF
SUFFICIENCY
SEC. 1321. INCOME EXCLUSION FOR EDUCATION ASSIST-
ANCE.
Section 5 of the Act (7 U.S.C. 2014) is amended
by—
(1) amending subsection (d)(3) to read as
follows:
‘‘(3) all educational loans on which payment is
deferred (including any loan origination fees or in-
surance premiums associated with such loans),
grants, scholarships, fellowships, veterans’ edu-
cational benefits, and the like awarded to a house-
hold member enrolled at a recognized institution of
post-secondary education, at a school for the handi-
capped, in a vocational education program, or in a
program that provides for completion of a secondary
school diploma or obtaining the equivalent thereof,’’;
(2) striking ‘‘, and no portion’’ and all that fol-
lows through ‘‘for living expenses,’’ in subsection
(d)(5); and
(3) striking subsection (k)(3).
SEC. 1322. CHILD SUPPORT PAYMENTS TO NON-HOUSE-
HOLD MEMBERS.
Section 5(d)(6) of the Act (7 U.S.C. 2014(d)6)) is
amended by striking the comma at the end and inserting
the following—
‘‘: Provided, That child support payments made by a
household member to or for a person who is not a member
of the household shall be excluded from the income of the
household of the person making such payments if such
household member was legally obligated to make such pay-
ments: Provided further, That the Secretary is authorized
to prescribe by regulation the method(s), which may in-
clude calculation on a retrospective basis, that State agen-
cies may use to determine the amount of child support
excluded,’’.
SEC. 1323. CHILD SUPPORT EXCLUSION.
Section 5 of the Act (7 U.S.C. 2014) is amended—
(1) in subsection (d)(13)—
(A) by striking ‘‘at the option’’ and all
that follows through ‘‘subsection (m),’’ and in-
serting ‘‘(A)’’; and
(B) by adding at the end ‘‘or (B) the first
$50 of any child support payment in the month
received if such payment was made by the ab-
sent parent in the month when due,’’; and
(2) by striking subsection (m).
SEC. 1324. IMPROVING ACCESS TO EMPLOYMENT AND
TRAINING ACTIVITIES.
(a) DEPENDENT CARE DEDUCTION.—Section 5(e) of
the Act (7 U.S.C. 2014(e)) is amended in clause (1) of
the fourth sentence by—
(1) striking ‘‘$160 a month for each depend-
ent’’ and inserting ‘‘$200 a month for a dependent
child under 2 years of age and $175 a month for
any other dependent’’; and
(2) striking ‘‘, regardless of the dependent’s
age,’’.
(b) REIMBURSEMENTS
TO PARTICIPANTS
IN EM-
PLOYMENT AND TRAINING PROGRAMS.—
(1) COSTS OTHER THAN COSTS OF DEPENDENT
CARE.—Section 6(d)(4)(I)(i)(I) of the Act (7 U.S.C.
2015(d)(4)(I)(i)(I)) is amended by striking ‘‘, except
that’’ and all that follows through ‘‘per month’’ and
inserting the following—
‘‘(which may include reimbursements for costs of
any supportive services of the kinds provided or re-
imbursed under the State’s plan under part F of
title IV of the Social Security Act (42 U.S.C. 681
et seq.)), except that State agencies may establish
limits on reimbursements to participants for such
costs, which limits may not be less than $25 per
month’’.
(2) COSTS
OF
DEPENDENT
CARE.—Section
6(d)(4)(I)(i)(II) 
of 
the 
Act 
(7 
U.S.C.
2015(d)(4)(I)(i)(II)) is amended to read as follows—
‘‘(II) the actual costs of such dependent care
expenses that are determined by the State agency to
be necessary for the participation of an individual in
the program (other than an individual who is the
caretaker relative of a dependent in a family receiv-
ing benefits under part A of title IV of the Social
Security Act (42 U.S.C. 601 et seq.) in a local area
where an employment, training, or education pro-
gram under title IV of such Act is in operation, or
was in operation, on the date of enactment of the
Hunger Prevention Act of 1988) up to any limit set
by the State agency (which limit shall not be less
than the limit for the dependent care deduction
under section 5(e)), but in no event shall such pay-
ment or reimbursements exceed the applicable local
market rate as determined by procedures consistent
with any such determination under the Social Secu-
rity Act. Individuals subject to the program under
this paragraph may not be required to participate if
dependent costs exceed the limit established by the
State agency under this subclause or other actual
costs exceed any limit established under subclause
(I).’’.
(c) CONFORMING AMENDMENTS.—Section 16(h)(3)
of the Act (7 U.S.C. 2025(h)(3)) is amended by—
(1) striking ‘‘$25’’ and all that follows through
‘‘dependent care costs)’’, and inserting ‘‘the payment
made under section 6(d)(4)(I)(i)(I) and subject to
any limits the State has established under such sec-
tion’’; and
(2) striking ‘‘representing $160 per month per
dependent’’ and inserting ‘‘equal to the payment
made under section 6(d)(4)(I)(i)(II) but not more
than the applicable local market rate,’’.
SEC. 1325. VEHICLES NEEDED TO SEEK AND CONTINUE EM-
PLOYMENT AND FOR HOUSEHOLD TRANS-
PORTATION.
Section 5(g)(2) of the Act (7 U.S.C. 2014(g)(2)) is
amended by striking ‘‘$4,500’’ and inserting the following:
‘‘a level set by the Secretary, which shall be $5,500
through September 30, 1994, and which shall be adjusted
on each October 1 thereafter to reflect changes in the new
car component of the Consumer Price Index for All Urban
Consumers published by the Bureau of Labor Statistics
for the 12-month period ending on June 30 preceding the
date of such adjustment and rounded to the nearest $50’’.
SEC. 1326. VEHICLES NECESSARY TO CARRY FUEL OR
WATER.
Section 5(g)(2) of the Act (7 U.S.C. 2014(g)(2)) is
amended by adding at the end the following:
‘‘The Secretary shall exclude from financial resources the
value of a vehicle that a household depends upon to carry
fuel for heating or water for home use when such trans-
ported fuel or water is the primary source of fuel or water
for the household.’’.
SEC. 
1327. 
DEMONSTRATION 
PROJECTS 
TESTING 
RE-
SOURCE ACCUMULATION.
Section 17 of the Act (7 U.S.C. 2026) is amended
by adding at the end the following:
‘‘(k) The Secretary may conduct, under such terms
and conditions as the Secretary may prescribe, for a pe-
riod not to exceed 4 years, demonstration projects to test
allowing eligible households to accumulate resources up to
$10,000 for later expenditure for a purpose directly relat-
ed to improving the education, training, or employability
(including self employment) of household members, for the
purchase of a home for the household, for a change of
the household’s residence, or for making major repairs to
the household’s home. The Secretary is authorized to pay
up to $100,000,000 in food stamp benefits to households
participating in such demonstration projects during the
period in which such projects are in operation.’’.
CHAPTER 3—SIMPLIFYING THE
PROVISION OF FOOD ASSISTANCE
SEC. 1331. SIMPLIFYING THE HOUSEHOLD DEFINITION FOR
HOUSEHOLDS WITH CHILDREN AND OTHERS.
Section 3(i) of the Act (7 U.S.C. 2012(i)) is amend-
ed—
(1) in the first sentence—
(A) by striking ‘‘(2)’’ and inserting ‘‘or
(2)’’;
(B) by striking ‘‘, or (3) a parent of minor
children and that parent’s children’’ and all
that follows through ‘‘parents and children, or
siblings, who live together’’, and inserting the
following:
‘‘. Spouses who live together, parents and their chil-
dren 21 years of age or younger (who are not them-
selves parents living with their children or married
living with their spouses) who live together, and chil-
dren (excluding foster children) under 18 years of
age who live with and are under the parental control
of a person other than their parent together with the
person exercising parental control’’; and
(C) striking ‘‘, unless one of ’’ and all that
follows through ‘‘disabled member’’; and
resentatives and to the Committee on Agriculture, For-
estry, and Nutrition of the Senate setting forth the Sec-
retary’s best estimate of the preceding quarter’s expendi-
ture, including administrative costs, as well as the cumu-
lative totals for the fiscal year. In each quarterly report,
the Secretary shall also state whether there is reason to
believe that supplemental appropriations will be needed to
support the operation of the program through the end of
the fiscal year.’’; and
(2) striking subsections (b), (c), and (d) and re-
designating subsections (e) and (f) as subsections
(b) and (c), respectively.
CHAPTER 4—IMPROVING PROGRAM
INTEGRITY
SEC. 1341. USE AND DISCLOSURE OF INFORMATION PRO-
VIDED BY RETAIL FOOD STORES AND WHOLE-
SALE FOOD CONCERNS.
Section 9(c) of the Act (7 U.S.C. 2018(c)) is amend-
ed—
(1) in the second sentence by inserting after
‘‘disclosed to and used by’’ the following:
‘‘State and Federal law enforcement and investigative
agencies for the purposes of administering or enforcing the
provisions of this Act or any other Federal or State law
and the regulations issued under this Act or such law,
and’’;
(2) by inserting after the second sentence the
following:
‘‘An officer or employee of an agency described in the pre-
ceding sentence who publishes, divulges, discloses, or
makes known in any manner or to any extent not author-
ized by Federal law any information obtained under the
authority granted by this subsection shall be subject to
section 1905 of title 18 of the United States Code.’’; and
(3) in the last sentence by striking ‘‘Such pur-
poses shall not exclude’’ and inserting the follow-
ing—
‘‘Such regulations shall establish the criteria to be used
by the Secretary to determine that such information is
needed. Such regulations shall not prohibit’’.
SEC. 1342. ADDITIONAL MEANS OF CLAIMS COLLECTION.
(a) SAFEGUARDS.—Section 11(e)(8) of the Act (7
U.S.C. 2020(e)(8)) is amended by—
(1) striking ‘‘and (B)’’ and inserting ‘‘(B)’’;
and
(2) striking the semi-colon at the end and in-
serting the following:
‘‘, and (C) such safeguards shall not prevent the use
by, or disclosure of such information, to agencies of
the Federal Government (including the United
States Postal Service) for purposes of collecting the
amount of an overissuance of coupons, as deter-
mined under section 13(b) of this Act and excluding
claims arising from an error of the State agency,
that has not been recovered pursuant to such sec-
tion, from refunds of Federal taxes as authorized
pursuant to section 3720A of title 31 of the United
States Code, or from Federal pay (including salaries
and pensions) as authorized pursuant to section
5514 of title 5 of the United States Code;’’.
(b) RECOVERY.—Section 13 of the Act (7 U.S.C.
2022) is amended by adding the following:
‘‘(d) The amount of an overissuance of coupons (as
determined under subsection (b) and except for claims
arising from an error of the State agency) that has not
been recovered pursuant to such subsection may be recov-
ered from refunds of Federal taxes, as authorized pursu-
ant to section 3720A of title 31 of the United States Code,
or from Federal pay (including salaries and pensions) as
authorized by section 5514 of title 5 of the United States
Code.’’.
SEC. 1343. DEMONSTRATION PROJECTS TESTING ACTIVI-
TIES DIRECTED AT STREET TRAFFICKING IN
COUPONS.
Section 17 of the Act (7 U.S.C. 2026) is amended
by adding a new subsection (l) at the end thereof as fol-
lows—
‘‘(l) The Secretary may use up to $4 million of funds
provided in advance in appropriations Acts for projects au-
thorized by this section in Fiscal Year 1994 to conduct
projects in which State or local food stamp agencies test
innovative ideas for working with State or local law en-
forcement agencies to investigate and prosecute coupon
street trafficking by recipients, buyers, and authorized re-
tail stores.’’.
CHAPTER 5—IMPROVING FOOD STAMP
PROGRAM MANAGEMENT
SEC. 1351. CLARIFICATION OF CATEGORICAL ELIGIBILITY.
Effective on the date of enactment of this Act, section
5 of the Act (7 U.S.C. 2014) is amended by—
(1) striking ‘‘and the third sentence of section
3(i)’’ each place it appears in subsection (a) and in-
serting the ‘‘, the third sentence of section 3(i), and
section 20(f)’’; and
(2) striking ‘‘II,’’ in subsection (j).
SEC. 1352. TECHNICAL AMENDMENTS RELATED TO ELEC-
TRONIC BENEFIT TRANSFER.
(a) ELIGIBILITY DISQUALIFICATION
OF INDIVID-
UALS.—Section 6(b)(1)(B) of the Act (7 U.S.C.
2015(b)(1)(B)) is amended by striking ‘‘or authorization
cards’’ and inserting ‘‘, authorization cards, or access
devices’’.
(b) ELIGIBILITY
DISQUALIFICATION
OF
RETAIL
FOOD STORES AND WHOLESALE FOOD CONCERNS.—Sec-
tion 12(b)(3)(B) of the Act (7 U.S.C. 2021(b)(3)(B)) is
amended by—
(1) striking ‘‘or authorization cards’’ and in-
serting ‘‘, authorization cards, or access devices’’;
and
(2) striking ‘‘or cards’’ and inserting ‘‘, cards,
or devices’’.
SEC. 1353. DISQUALIFICATION OF RECIPIENTS FOR TRAD-
ING FIREARMS, AMMUNITION, EXPLOSIVES,
OR CONTROLLED SUBSTANCES FOR COU-
PONS.
Section 6(b)(1) of the Act (7 U.S.C. 2015(b)(1)) is
amended by striking subdivisions (ii) and (iii) and insert-
ing the following:
‘‘(ii) for a period of 1 year upon—
‘‘(I) the second occasion of any such deter-
mination; or
‘‘(II) the first occasion of a finding of the
trading of a controlled substance (as defined in
section 102 of the Controlled Substances Act
(21 U.S.C. 802)); and
‘‘(iii) permanently upon—
‘‘(I) the third occasion of any such deter-
mination;
‘‘(II) the second occasion of a finding of
the trading of a controlled substance (as de-
fined in section 102 of the Controlled Sub-
stances Act (21 U.S.C. 802)) for coupons; or
‘‘(III) the first occasion of a finding of the
trading of firearms, ammunition, or explosives
for coupons.’’.
SEC. 1354. UNCAPPED CIVIL MONEY PENALTY FOR TRAF-
FICKING IN COUPONS.
Effective on the date of enactment of this Act, section
12(b)(3)(B) of the Act (7 U.S.C. 2021(b)(3)(B)) is
amended by striking ‘‘(except’’ and all that follows
through ‘‘) in’’, and inserting ‘‘in’’.
SEC. 1355. UNCAPPED CIVIL MONEY PENALTY FOR SELLING
FIREARMS, AMMUNITION, EXPLOSIVES, OR
CONTROLLED SUBSTANCES FOR COUPONS.
Effective on the date of enactment of this Act, section
12(b)(3)(C) of the Act (7 U.S.C. 2021(b)(3)(C)) is
amended—
(1) by striking ‘‘substances (as the term is’’
and inserting ‘‘substance (as’’; and
(2) by striking ‘‘(except’’ and all that follows
through ‘‘) in’’, and inserting ‘‘in’’.
SEC. 1356. MODIFYING THE FOOD STAMP QUALITY CON-
TROL SYSTEM.
(a) AMENDMENTS.—Section 16(c) of the Act (7
U.S.C. 2025(c)) is amended—
(1) in paragraph (1)(C)—
(A) by striking ‘‘payment error tolerance
level’’ and inserting ‘‘national performance
measure’’; and
(B) by striking ‘‘equal to’’ and all that fol-
lows through the period at the end, and insert-
ing the following:
‘‘equal to—
‘‘(i) the product of—
‘‘(I) the value of all allotments issued
by the State agency in the fiscal year;
times
‘‘(II) the lesser of—
‘‘(aa) the ratio of—
‘‘(1) the amount by which
the State agency’s payment error
rate for the fiscal year exceeds
the national performance meas-
ure for the fiscal year, to
‘‘(2) the national perform-
ance measure for the fiscal year;
or
‘‘(bb) one; times
‘‘(III) the amount by which the State
agency’s payment error rate for the fiscal
year exceeds the national performance
measure for the fiscal year.
‘‘(ii) The amount of liability shall not be
affected by corrective action under subpara-
graph (B).’’;
(2) in paragraph (3)(A) by striking ‘‘60 days
(or 90 days at the discretion of the Secretary)’’ and
inserting ‘‘120 days’’; and
(3) in paragraph (6) by striking ‘‘shall be used’’
and all that follows through ‘‘level’’ the last place it
appears.
(b) STUDY BY THE OFFICE OF TECHNOLOGY AS-
SESSMENT.—The Office of Technology Assessment shall
undertake a study of measurement error, any bias in pen-
alty amounts, extreme value bias, regression formula, and
of geographical and temporal uniformity of measurements,
in the food stamp program quality control system, and
shall report the results and recommendations of such
study to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate not later than 12 months
after the date of enactment of this Act.
(c) STUDY BY THE SECRETARY OF AGRICULTURE.—
The Secretary of Agriculture shall conduct a study of
major causal factors which contribute to the payment
error rate. The Secretary shall also conduct controlled ex-
periments under which various reviewers review identical
cases, with the objective of determining the degree of uni-
formity in quality control error-rate measurements and
the extent to which different levels of investment of re-
sources in the review process affect measurement error.
The Secretary shall report the results and recommenda-
tions (including recommendations as to what measures
would best reduce measurement error and increase uni-
formity of quality control error-rate measurements at rea-
sonable cost) of such study to the Committee on Agri-
culture of the House of Representatives and the Commit-
tee on Agriculture, Nutrition, and Forestry of the Senate
not later than 2 years after the date of enactment of this
Act.
CHAPTER 6—UNIFORM REIMBURSEMENT
RATES
SEC. 1361. UNIFORM REIMBURSEMENT RATES.
(a) AMENDMENTS.—Section 16 of the Act (7 U.S.C.
2025) is amended—
(1) in subsection (a)—
(A) by striking ‘‘and (5)’’ and inserting
‘‘(5)’’;
(B) by inserting before the colon the fol-
lowing—
‘‘, (6) automated data processing and information
retrieval systems subject to the conditions set forth
in subsection (g), (7) food stamp program investiga-
tions and prosecutions, and (8) implementing and
operating the immigration status verification system
under section 1137(d) of the Social Security Act (42
U.S.C. 1320b–7(d))’’; and
(C) in the proviso by inserting after ‘‘75
per centum’’ the following:
‘‘through June 30, 1994, 70 percent for the 1-year
period beginning July 1, 1994, 60 percent for the 1-
year period beginning July 1, 1995, and 50 percent
for any subsequent period,’’;
(2) in subsection (g)—
(A) by inserting ‘‘through June 30, 1995,
equal to 60 percent for the 1-year period begin-
ning July 1, 1995, and 50 percent effective
July 1, 1996,’’ after ‘‘1991,’’; and
(B) by striking ‘‘automatic’’ and inserting
‘‘automated’’; and
(3) in subsection (j) by inserting after ‘‘100 per
centum’’ the following:
‘‘through June 30, 1994, 70 percent for the 1-year period
beginning July 1, 1994, 60 percent for the 1-year period
beginning July 1, 1995, and 50 percent for any subse-
quent period,’’.
(b) APPLICATION OF AMENDMENTS.—The reductions
in enhanced Federal match rates for administration re-
sulting from the amendments made by subsection (a) shall
apply to payments to States for expenditures incurred only
after—
(1) the end of the State fiscal year that ends
during 1994; or
(2) in the case of a State with a State legisla-
ture which is not scheduled to have a regular legisla-
tive session in 1994, the end of the State fiscal year
that ends during 1995;
without regard to whether or not final regulations to-
carry out such amendments have been promulgated-
by the Secretary before the end of either of such-
State fiscal years.
CHAPTER 7—IMPLEMENTATION AND
EFFECTIVE DATES
SEC. 1371. IMPLEMENTATION AND EFFECTIVE DATES.
(a) GENERAL EFFECTIVE DATE AND IMPLEMENTA-
TION.—Except as otherwise provided in this subtitle, this
subtitle and the amendments made by this subtitle shall
take effect, and shall be implemented beginning on, Octo-
ber 1, 1993.
(b) SPECIAL EFFECTIVE DATES AND IMPLEMENTA-
TION.—(1) Sections 1312, 1315, 1316, 1317, 1322, 1323,
1326, 1331, 1333, and 1353 and the amendments made
by such sections shall take effect, and shall be imple-
mented beginning on, July 1, 1994.
(2) Paragraphs (1) and (3) of section 1356(a) and
the amendments made by such paragraphs shall take ef-
fect, and shall be implemented beginning on, October 1,
1991.
(3) Paragraph (2) of section 1356(a) and the amend-
ment made by such paragraph shall take effect, and shall
be implemented beginning on, October 1, 1992.
Subtitle D—Miscellaneous
Provisions
SEC. 1401. MAXIMUM EXPENDITURES UNDER MARKET PRO-
MOTION PROGRAM FOR FISCAL YEARS 1994
THROUGH 1998.
(a) LIMITATION.—Section 211(c)(1) of the Agricul-
tural Trade Act of 1978 (7 U.S.C. 5641(c)) is amended
by striking ‘‘not less than $200,000,000 for each of the
fiscal years 1991 through 1995’’ and inserting ‘‘an
amount equal to $147,734,000 for each of the fiscal years
1991 through 1998’’.
(b) APPLICATION OF AMENDMENTS.—The amend-
ment made by this section shall apply with respect to fiscal
years beginning after September 30, 1993.
SEC. 1402. ADMISSION, ENTRANCE, AND RECREATION FEES.
(a) AUTHORITY TO IMPOSE FEES.—
(1) ENTRANCE
AND
ADMISSION
FEES.—The
Secretary of Agriculture may charge admission or
entrance fees at National Monuments, National Vol-
canic Monuments, National Scenic Areas, and areas
of concentrated public use administered by the Sec-
retary.
(2) RECREATION
USE
FEES.—The Secretary
may charge recreation use fees at lands administered
by the Secretary in connection with the use of spe-
cialized outdoor recreation sites, equipment, services,
or facilities, including visitors’ centers, picnic tables,
boat launching facilities, or campgrounds.
(b) AMOUNT OF FEES.—The amount of the admis-
sion, entrance, and recreation fees authorized to be im-
posed under this section shall be determined by the Sec-
retary.
(c) DEFINITIONS.—For purposes of this section:
(1) The term ‘‘area of concentrated public use’’
means an area administered by the Secretary that
meets each of the following criteria:
(A) The area is managed primarily for out-
door recreation purposes.
(B) Facilities and services necessary to ac-
commodate heavy public use are provided in the
area.
(C) The area contains at least one major
recreation attraction.
(D) Public access to the area is provided
in such a manner that admission fees can be ef-
ficiently collected at one or more centralized lo-
cations.
(2) The term ‘‘boat launching facility’’ includes
any boat launching facility regardless of whether
specialized facilities or services, such as mechanical
or hydraulic boat lifts or facilities, are provided.
(3) The term ‘‘campground’’ means any camp-
ground where a majority of the following amenities
are provided, as determined by the Secretary:
(A) Tent or trailer spaces.
(B) Drinking water.
(C) An access road.
(D) Refuse containers.
(E) Toilet facilities.
(F) The personal collection of recreation
use fees by an employee or agent of the Sec-
retary.
(G) Reasonable visitor protection.
(H) If campfires are permitted in the
campground, simple devices for containing the
fires.
(4) The term ‘‘Secretary’’ means the Secretary
of Agriculture.
SEC. 1403. ADDITIONAL PROGRAM CHANGES TO MEET REC-
ONCILIATION REQUIREMENTS.
The Secretary of Agriculture shall consolidate person-
nel and field, regional, and national offices of agencies
amended by striking ‘‘to place in’’ and all that
follows through ‘‘acres’’.
(2) WETLANDS RESERVE PROGRAM.—
(A) IN
GENERAL.—Section 1237(b) of
such Act (16 U.S.C. 3837(b)) is amended to
read as follows:
‘‘(b) MINIMUM ENROLLMENT.—The Secretary shall
enroll into the wetlands reserve program—
‘‘(1) a total of not less than 330,000 acres by
the end of the 1995 calendar year; and
‘‘(2) a total of not less than 975,000 acres dur-
ing the 1991 through 2000 calendar years.’’.
(B) CONFORMING
AMENDMENT.—Section
1237(c) of such Act (16 U.S.C. 3837(c)) is
amended by striking ‘‘1995’’ and inserting
‘‘2000’’.
(b) USE OF COMMODITY CREDIT CORPORATION.—
Section 1241 of such Act (16 U.S.C. 3841) is amended—
(1) in subsection (a)—
(A) by striking ‘‘(a)(1) During each of the
fiscal years ending September 30, 1986, and
September 30, 1987’’ and inserting ‘‘(a) During
each of the fiscal years 1994 through 2000’’;
and
(B) by striking paragraph (2); and
(2) in subsection (b), by striking ‘‘(A) through
(E)’’ and inserting ‘‘A through E’’.
SEC. 1405. LEVELS OF INSURANCE COVERAGE UNDER THE
FEDERAL CROP INSURANCE ACT.
(a) CONVERSION OF PROGRAM TO FOUR LEVELS OF
COVERAGE.—The Federal Crop Insurance Act is amend-
ed—
(1) in subsection (a) of section 508 (7 U.S.C.
1508)—
(A) in the first sentence, by striking ‘‘If
sufficient actuarial data are available, as deter-
mined by the Board,’’ and inserting ‘‘Subject to
section 508B, based on the actuarial and un-
derwriting data available to the Board,’’; and
(B) by striking the fifth, sixth, seventh,
eighth, ninth, tenth, fourteenth, fifteenth, and
sixteenth sentences; and
(2) by inserting after section 508A (7 U.S.C.
1508a) the following new section:
‘‘SEC. 508B. FOUR LEVELS OF CROP INSURANCE COV-
ERAGE.
‘‘(a) FOUR LEVELS OF COVERAGE.—In making crop
insurance available under section 508 to producers of agri-
cultural commodities grown in the United States, the Cor-
poration shall make available four levels of insurance cov-
erage against losses in yields of the insured commodity:
‘‘(1) LEVEL I.—Coverage level I shall be avail-
able only to those producers who do not purchase in-
surance at coverage levels II, III, or IV and shall
provide for the indemnification of those producers
for losses in yield to the extent that such losses ex-
ceed 65 percent of the determined yield of the com-
modity for the farm, as established under subsection
(b).
‘‘(2) LEVELS II, III, AND IV.—Coverage levels
II, III, and IV shall provide for the indemnification
of producers for those losses in yield to the extent
that such losses exceed 50, 35, and 25 percent, re-
spectively, of—
‘‘(A) the average proven yield on the farm
for a representative period based on the actual
production history of the farm, as determined
from the producer’s records; or
‘‘(B) if such records are not available or
are insufficient, the recorded or appraised aver-
age yield of the commodity on the farm for a
representative period, subject to such adjust-
ments as the Board may prescribe to ensure
that the average yield for farms in the same
area, which are subject to the same conditions,
are fair and just.
‘‘(b) DETERMINED YIELD.—For purposes of sub-
section (a)(1), the determined yield for a commodity shall
be equal to—
‘‘(1) in the case of a crop of any commodity for
which the Agricultural Stabilization and Conserva-
tion Service establishes a yield for the farm, the
yield so established; and
‘‘(2) in the case of a crop of any other commod-
ity, the recorded or appraised average yield of the
commodity on the farm for a representative period,
subject to such adjustments as the Board may pre-
scribe to ensure that the average yield for farms in
the same area, which are subject to the same condi-
tions, are fair and just.
‘‘(c) USE OF ASCS YIELD.—If the Agricultural Sta-
bilization and Conservation Service has established a yield
for a crop of a commodity for a farm and such yield is
higher than the yield determined for the farm under sub-
section (a)(2) for coverage levels II, III, or IV, the pro-
ducer may elect to use such higher yield for purpose of
coverage levels II, III, and IV. Use of such higher yield
shall be subject to an additional premium for the coverage
at such a rate as the Board determines appropriate to ac-
100
curately reflect the increased risk involved and that the
Board determines to be actuarially sufficient to cover
claims for losses on such insurance and to establish a rea-
sonable reserve against unforeseen losses. No premium
subsidy or administrative subsidy may be provided by the
Corporation in connection with any additional coverage
provided under this subsection.
‘‘(d) PRICE ELECTIONS.—The Corporation shall es-
tablish a high and low price election for each agricultural
commodity for which insurance is available under this
title. The high price shall not be less than the projected
market price of the commodity. Coverage levels II, III, and
IV shall be available to producers at any price election
that is equal to or less than the high price election and
shall be quoted in terms of dollars per acre coverage that
may be purchased. Coverage level I shall be offered only
at the low price election.
‘‘(e) COVERAGE
AND PRICE INFORMATION.—The
Corporation shall ensure that each producer is provided
accurate and adequate information at the time of applica-
tion regarding the amount of coverage available at each
level of coverage for the commodity to be insured and the
cost to the producer for such coverage.
‘‘(f) ANNUAL REPORT.—The Corporation shall report
annually to the Congress the results of its operations re-
101
garding each commodity for which insurance is available
under this title. The report shall include for each insured
commodity a description of operations under this section
at each level of coverage.’’.
(b) PREMIUM PAYMENT.—Subsection (e)(3) of sec-
tion 508 of the Federal Crop Insurance Act (7 U.S.C.
1508) is amended to read as follows:
‘‘(3) For the purpose of encouraging the broadest
possible participation in the crop insurance program, the
Corporation shall pay—
‘‘(A) with respect to each policy providing for
coverage level I, the full amount of the premium for
such coverage; and
‘‘(B) with respect to each policy providing for
coverage level II, III, or IV, the portion of the pre-
mium that is equal to the amount that would have
been paid under subparagraph (A) if the producer
had elected coverage level I.’’.
(c) REINSURANCE.—Subsection (h) of section 508 of
the Federal Crop Insurance Act (7 U.S.C. 1508) is
amended to read as follows:
‘‘(h) REINSURANCE.—The Corporation shall provide
reinsurance, to the maximum extent practicable, upon
such terms and conditions as the Board may determine
to be consistent with subsections (a) and (b) and with
102
sound reinsurance principles promulgated pursuant to the
Office of Federal Procurement Policy Act (41 U.S.C. 401,
et seq.), which the Board shall modify as necessary to con-
form to the purposes of this Act, taking into account the
expenses of the Corporation paid on its own policies of
insurance. Reinsurance shall be provided to insurers in-
cluding private insurance companies or pools of such com-
panies, reinsurers of such companies, or State or local gov-
ernmental entities, including any political subdivisions
thereof, that insure producers of any agricultural commod-
ity under a plan or plans acceptable to the Corporation.
However, in the case of the sale of coverage level I policies
only (but not for the processing and adjustment of claims
on those policies), contractors of the Corporation shall be
paid only $50 per policy, of which $25.50 shall be paid
by the policyholder at the time of application and $24.50
shall be paid by the Corporation. Whenever the Corpora-
tion provides reinsurance under this subsection to any
such insurers, the Corporation shall pay (as provided in
subsection (e)) the portion of the producer’s premium for
such insurance so reinsured. Insurers of policies on which
reinsurance is provided shall make use of licensed private
insurance agents and brokers on the same basis as pro-
vided for policies of the Corporation under section
507(c)(3) of this title, except that the provisions for com-
103
pensating agents and brokers from premiums paid by the
insured shall not apply. The Corporation shall periodically
revise its reinsurance agreement with the reinsured com-
panies to provide for the reinsured companies to bear an
increased share of any potential loss under such agree-
ment, in cases in which the financial conditions of the rein-
sured companies and the availability of private reinsurance
so permits.’’.
(d) APPLICATION OF AMENDMENTS.—The amend-
ments made by this section shall apply beginning with
crops to be harvested in 1995.
TITLE II—COMMITTEE ON
ARMED SERVICES
SEC. 2001. LIMITATION ON COST-OF-LIVING ADJUSTMENTS
FOR MILITARY RETIREES.
Paragraph (2) of section 1401a(b) of title 10, United
States Code, is amended to read as follows:
‘‘(2) PRE-AUGUST 1, 1986 MEMBERS.—
‘‘(A) GENERAL
RULE.—The Secretary
shall increase the retired pay of each member
and former member who first became a member
of a uniformed service before August 1, 1986,
by the percent (adjusted to the nearest one-
tenth of 1 percent) by which—
104
‘‘(i) the price index for the base quar-
ter of that year, exceeds
‘‘(ii) the base index.
‘‘(B) SPECIAL
RULE
FOR
FISCAL
YEARS
1994 THROUGH 1998.—In the case of the in-
creases in retired pay that, pursuant to para-
graph (1), become effective on December 1 of
each of fiscal years 1994, 1995, 1996, 1997,
and 1998, the initial month for which each such
increase is payable as part of such retired pay
shall (notwithstanding such December 1 effec-
tive date) be as set forth in the following table:
First month for which
‘‘Fiscal year:
increase is payable:
1994 ...................................................................
April 1994.
1995 ...................................................................
July 1995.
1996 ...................................................................
October 1996.
1997 ...................................................................
January 1998.
1998 ...................................................................
April 1999.
‘‘(C) EXCLUSION OF DISABILITY RETIREES
FROM ROLLING COLA.—Subparagraph (B) does
not apply with respect to the retired pay of a
member retired under chapter 61 of this title.’’.
SEC. 2002. ELIMINATION OF MILITARY PAY RAISE FOR FIS-
CAL YEAR 1994 AND REDUCTION IN THE
AMOUNT OF THE RAISE FOR FISCAL YEARS
1995 THROUGH 1998.
(a) FISCAL YEAR 1994.—During fiscal year 1994, no
increase in the rates of basic pay, basic allowance for quar-
105
ters, or basic allowance for subsistence of members of the
uniformed services shall be made or take effect pursuant
to section 1009 of title 37, United States Code.
(b) ONE PERCENT REDUCTION IN SUBSEQUENT FIS-
CAL YEARS.—If the General Schedule of compensation for
Federal classified employees is increased under section
5303 of title 5, United States Code, as amended by title
X of this Act, during fiscal year 1995, 1996, 1997, or
1998, the elements of compensation of members of the
uniformed services shall likewise be increased during that
fiscal year in the manner provided in section 1009 of title
37, United States Code, based on the corresponding in-
crease under section 5303 of title 5, United States Code
(as so amended).
TITLE 
III—COMMITTEE 
ON
BANKING, 
FINANCE 
AND
URBAN AFFAIRS
SEC. 3001. NATIONAL DEPOSITOR PREFERENCE.
(a) IN GENERAL.—Section 11(d)(11) of the Federal
Deposit Insurance Act (12 U.S.C. 1821(d)(11)) is amend-
ed to read as follows:
‘‘(11) DEPOSITOR PREFERENCE.—
‘‘(A) IN
GENERAL.—Subject to section
5(e)(2)(C), amounts realized from the liquida-
tion or other resolution of any insured deposi-
106
tory institution by any receiver appointed for
such institution shall be distributed to pay
claims (other than secured claims to the extent
of any such security) in the following order of
priority:
‘‘(i) Administrative expenses of the re-
ceiver.
‘‘(ii) Any deposit liability of the insti-
tution.
‘‘(iii) Any claim of an employee of the
institution, other than a senior executive
officer (as defined by the Corporation pur-
suant to section 32(f)), for pay accrued
but unpaid as of the date the receiver was
appointed for the institution.
‘‘(iv) Any other general or senior li-
ability of the institution (which is not a li-
ability described in clause (v) or (vi)).
‘‘(v) Any obligation subordinated to
depositors 
or 
other 
general 
creditors
(which is not an obligation described in
clause (vi)).
‘‘(vi) Any obligation to shareholders
arising as a result of their status as share-
holders (including any depository institu-
107
tion holding company or any shareholder
or creditor of such company).
‘‘(B) EFFECT ON STATE LAW.—
‘‘(i) IN GENERAL.—The provisions of
subparagraph (A) shall not supersede the
law of any State except to the extent such
law is inconsistent with the provisions of
such subparagraph, and then only to the
extent of the inconsistency.
‘‘(ii) PROCEDURE
FOR
DETERMINA-
TION OF INCONSISTENCY.—Upon the Cor-
poration’s own motion or upon the request
of any person with a claim described in
subparagraph (A)(i) or any State which is
submitted to the Corporation in accordance
with procedures which the Corporation
shall prescribe, the Corporation shall deter-
mine whether any provision of the law of
any State is inconsistent with any provi-
sion of subparagraph (A) and the extent of
any such inconsistency.
‘‘(iii) JUDICIAL
REVIEW.—The final
determination of the Corporation under
clause (ii) shall be subject to judicial re-
108
view under chapter 7 of title 5, United
States Code.
‘‘(C) ACCOUNTING REPORT.—Any distribu-
tion by the Corporation in connection with any
claim described in subparagraph (A)(vi) shall be
accompanied by the accounting report required
under paragraph (15)(B).’’.
(b) TECHNICAL AND CONFORMING AMENDMENTS.—
(1) Section 11(c)(13) of the Federal Deposit
Insurance Act (12 U.S.C. 1821(c)(13)) is amend-
ed—
(A) in subparagraph (A), by striking ‘‘sub-
ject to subparagraph (B),’’;
(B) in inserting ‘‘and’’ after the semicolon
at the end of subparagraph (A);
(C) by striking subparagraph (B); and
(D) by redesignating subparagraph (C) as
subparagraph (B).
(2) Section 11(g)(4) of the Federal Deposit In-
surance Act (12 U.S.C. 1921(g)(4)) is amended by
striking ‘‘If the Corporation’’ and inserting ‘‘Subject
to subsection (d)(11), if the Corporation’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply with respect to insured depository
109
institutions for which a receiver is appointed after the date
of the enactment of this Act.
SEC. 3002. TRANSFER OF FEDERAL RESERVE SURPLUSES.
(a) IN GENERAL.—The 1st undesignated paragraph
of section 7 of the Federal Reserve Act (12 U.S.C. 289)
is amended to read as follows:
‘‘(a) DIVIDENDS AND SURPLUS FUNDS OF RESERVE
BANKS.—
‘‘(1) STOCKHOLDER DIVIDENDS.—
‘‘(A) IN GENERAL.—After all necessary ex-
penses of a Federal reserve bank have been
paid or provided for, the stockholders of the
bank shall be entitled to receive an annual divi-
dend of 6 percent on paid-in capital stock.
‘‘(B) DIVIDEND CUMULATIVE.—The enti-
tlement to dividends under subparagraph shall
be cumulative.
‘‘(2) DEPOSIT OF NET EARNINGS IN SURPLUS
FUND.—That portion of net earnings of each Fed-
eral reserve bank which remains after dividend
claims under subparagraph (A) have been fully met
shall be deposited in the surplus fund of the bank.
‘‘(3) PAYMENT
TO
TREASURY.—During fiscal
years 1994 through 1998, any amount in the sur-
plus fund of any Federal reserve bank in the excess
110
of the amount equal to 3 percent of the total paid-
in capital and surplus of the member banks of such
bank shall be transferred to the Board for transfer
to the Secretary of the Treasury for deposit in the
general fund of the Treasury.’’.
(b) ADDITIONAL TRANSFERS
FOR FISCAL YEARS
1997 AND 1998.—
(1) IN GENERAL.—In addition to the amounts
required to be transferred from the surplus funds of
the Federal reserve banks pursuant to section
7(a)(3) of the Federal Reserve Act, the Federal re-
serve banks shall transfer from such surplus funds
to the Board of Governors of the Federal Reserve
System for transfer to the Secretary of the Treasury
for deposit in the general fund of the Treasury, a
total amount of $106,000,000 in fiscal year 1997
and a total amount of $107,000,000 in fiscal year
1998.
(2) ALLOCATION BY FED.—Of the total amount
required to be paid by the Federal reserve banks
under paragraph (1) for fiscal year 1997 or 1998,
the Board of Governors of the Federal Reserve Sys-
tem shall determine the amount each such bank
shall pay in such fiscal year.
111
(3) REPLENISHMENT OF SURPLUS FUND PRO-
HIBITED.—No Federal reserve bank may replenish
such bank’s surplus fund by the amount of any
transfer by such bank under paragraph (1) during
the fiscal year for which such transfer is made.
(c) TECHNICAL AND CONFORMING AMENDMENTS.—
(1) The penultimate undesignated paragraph of
section 7 of the Federal Reserve Act (12 U.S.C.
290) is amended by striking ‘‘The net earnings de-
rived’’ and inserting ‘‘(b) USE OF EARNINGS TRANS-
FERRED TO THE TREASURY.—The net earnings de-
rived’’.
(2) The last undesignated paragraph of section
7 of the Federal Reserve Act (12 U.S.C. 531) is
amended by striking ‘‘Federal reserve banks’’ and
inserting ‘‘(c) EXEMPTION FROM TAXATION.—Fed-
eral reserve banks’’.
SEC. 3003. USE OF RETURN DATA FOR INCOME VERIFICA-
TION UNDER CERTAIN HOUSING ASSISTANCE
PROGRAMS.
Section 904 of the Stewart B. McKinney Homeless
Assistance Amendments Act of 1988 (42 U.S.C. 3544) is
amended as follows:
(1) CONSENT FORMS.—In subsection (b)—
112
(A) in the matter preceding paragraph (1),
by inserting ‘‘(including the Indian housing pro-
gram under title II of the United States Hous-
ing Act of 1937)’’ before the 1st comma;
(B) in paragraph (1), by striking ‘‘and’’ at
the end;
(C) in paragraph (2), by striking the pe-
riod at the end and inserting ‘‘; and’’;
(D) by inserting after paragraph (2) the
following new paragraph:
‘‘(3) sign a consent from approved by the Sec-
retary authorizing the Secretary to request the Com-
missioner of Social Security and the Secretary of the
Treasury to release information pursuant to section
6103(l)(7)(D)(ix) of the Internal Revenue Code of
1986 with respect to such applicant or participant
for the sole purpose of the Secretary verifying in-
come information pertinent to the applicant’s or par-
ticipant’s eligibility or level of benefits.’’; and
(E) in the last sentence, by striking ‘‘This’’
and inserting the following: ‘‘Except as pro-
vided in this subsection, this’’.
(2) APPLICANT
AND
PARTICIPANT
PROTEC-
TIONS.—In subsection (c)(2)—
(A) in subparagraph (A)—
113
(i) in the matter preceding clause
(i)—
(I) by inserting after ‘‘compensa-
tion law’’ the following: ‘‘or pursuant
to section 6103(i)(7)(D)(ix) of the In-
ternal Revenue Code of 1986 from the
Commissioner of Social Security or
the Secretary of the Treasury’’; and
(II) by inserting ‘‘(in the case of
information obtained pursuant to such
section 303(i))’’ before ‘‘representa-
tives’’; and
(ii) in clause (ii), by inserting ‘‘or
public housing agency’’ after ‘‘owner’’ each
place it appears;
(B) in subparagraph (B), by inserting
after ‘‘wages’’ each place it appears the follow-
ing: ‘‘, other earnings or income,’’; and
(C) in subparagraph (C), by inserting be-
fore the second comma the following: ‘‘at a
hearing that provides the basic elements of due
process’’.
(3) PENALTY.—In subsection (c)(3)—
(A) in subparagraph (A), by inserting ‘‘or
section 6103(l)(7)(D)(ix) of the Internal Reve-