251
entity seeks to determine whether a particular parcel
of real property is subject to recognized environ-
mental conditions. These conditions indicate the
presence or likely presence of a hazardous substance
or pollutant or contaminant on a property under
conditions that indicate the existence of a release or
threatened release at the facility into structures on
the property or into the ground, ground water or
surface water of the property.
(2) CERTIFIED PHASE I ENVIRONMENTAL PRO-
FESSIONAL.—The term ‘‘Certified Phase I Environ-
mental Professional’’ means any person receiving
certification to perform Phase I Environmental Site
Assessments from an approved environmental train-
ing and certification organization in accordance with
this section.
(3) APPROVED
PHASE
I
ENVIRONMENTAL
TRAINING AND CERTIFICATION ORGANIZATION.—The
term ‘‘Approved Phase I Environmental Training
and Certification Organization’’ means Phase I En-
vironmental Training and Certification Organization
whose curriculum, program, facilities, training, and
testing methods comply with the regulations adopted
by a State under this section.
252
SEC. 614. SAVINGS CLAUSE.
Nothing in this Act or any amendment made by this
Act shall affect the application of the Atomic Energy Act
of 1954 to any facility licensed by the Nuclear Regulatory
Commission.
SEC. 615. FEDERAL ENTITIES AND FACILITIES.
Section 120 (42 U.S.C. 9620) is amended as follows:
(1) By amending the heading to read as follows:
‘‘SEC. 120. FEDERAL ENTITIES AND FACILITIES.’’.
(2) By amending paragraph (1) of subsection
(a) to read as follows:
‘‘(1)(A) Each department, agency, and instru-
mentality of the executive, legislative, and judicial
branches of the United States shall be subject to,
and comply with, all Federal, State, interstate and
local requirements, both substantive and procedural
(including any requirements for permits, reporting,
or any provisions for injunctive relief and such sanc-
tions as may be imposed by a court to enforce such
relief), regarding response actions related to, or
management of, hazardous substances, pollutants, or
contaminants in the same manner, and to the same
extent, as any nongovernmental entity is subject to
such requirements, including enforcement and liabil-
ity under sections 106 and 107 of this title and the
payment of reasonable service charges.
253
‘‘(B) The Federal, State, interstate, and local
substantive and procedural requirements referred to
in subparagraph (A) include, but are not limited to,
all administrative orders and all civil and adminis-
trative penalties and fines, regardless of whether
such penalties and fines are punitive or coercive in
nature or are imposed for isolated, intermittent, or
continuing violations. The United States hereby ex-
pressly waives any immunity otherwise applicable to
the United States with respect to any such sub-
stantive or procedural requirement (including, but
not limited to, any injunctive relief, administrative
order or civil or administrative penalty or fine re-
ferred to in the preceding sentence, or reasonable
service charge).
‘‘(C) The reasonable service charges referred to
in this paragraph include, but are not limited to,
fees or charges assessed in connection with the proc-
essing and issuance of permits, renewal of permits,
amendments to permits, review of plans, studies,
and other documents, and inspection and monitoring
of facilities, as well as any other nondiscriminatory
charges that are assessed in connection with a State,
interstate, or local response program.
254
‘‘(D) Neither the United States, nor any agent,
employee, or officer thereof, shall be immune or ex-
empt from any process or sanction of any State or
Federal court with respect to the enforcement of any
injunctive relief.
‘‘(E) No agent, employee, or officer of the Unit-
ed States shall be personally liable for any civil pen-
alty under any Federal or State response law with
respect to any act or omission within the scope of
their official duties. An agent, employee, or officer of
the United States shall be subject to any criminal
sanction (including, but not limited to, any fine or
imprisonment) under any Federal or State response
law, but no department, agency, or instrumentality
of the executive, legislative, or judicial branch of the
United States shall be subject to any such sanctions.
‘‘(F) The waiver of sovereign immunity pro-
vided in this paragraph shall not apply to the extent
a State law would apply any standard or require-
ment to such Federal department, agency, or instru-
mentality in a manner which is more stringent than
such standard or requirement would be applied to
any other person.
‘‘(G) Nothing in this section shall be construed
to affect the liability of any person or entity other
255
than a department, agency, or instrumentality of the
United States under sections 106 and 107 of this
Act.
‘‘(H)(i) The Administrator may issue an order
under section 106 of this Act to any department,
agency, or instrumentality of the executive, legisla-
tive, or judicial branch of the United States. The
Administrator shall initiate an administrative en-
forcement action against such a department, agency,
or instrumentality in the same manner and under
the same circumstances as action would be initiated
against any other person.
‘‘(ii) No administrative order issued to such de-
partment, agency, or instrumentality shall become
final until such department, agency, or instrumental-
ity has had the opportunity to confer with the Ad-
ministrator.
‘‘(iii) Unless a State law in effect on the effec-
tive date of the Superfund Reform Act of 1994, or
a State Constitution, requires the funds to be used
in a different manner, all funds collected by a State
from the Federal Government from penalties and
fines imposed for violation of any substantive or pro-
cedural requirement referred to in subsection (a) of
this section shall be used by the State only for
256
projects designed to improve or protect the environ-
ment or to defray the costs of environmental protec-
tion or enforcement.
‘‘(I) Each such department, agency, and instru-
mentality shall have the right to contribution protec-
tion set forth in section 113, when such department,
agency, or instrumentality resolves its liability under
this Act.’’.
(3) By striking paragraph (4) of subsection (a).
(4) By inserting ‘‘(other than the indemnifica-
tion requirements of section 119)’’ after ‘‘respon-
sibility’’ in subsection (a)(3).
SEC. 616. WORKER TRAINING AND EDUCATION GRANTS.
Section 111(c)(12) (42 U.S.C. 9611(c)(12)) is
amended—
(1) by striking ‘‘$10,000,000’’ and inserting
‘‘$20,000,000’’; and
(2) by inserting before the period at the end
‘‘and $30,000,000 for each of fiscal years 1995,
1996, 1997, 1998, and 1999’’.
SEC. 617. REPORT AND OVERSIGHT REQUIREMENTS.
(a) SUBMISSION
TO STATE GOVERNORS.—Section
301(h)(1) (42 U.S.C. 9651(h)(1)) is amended in the mat-
ter preceding subparagraph (A) by striking ‘‘to Congress
257
of such Agency’’ and inserting ‘‘of such Agency to Con-
gress and the Governor of each State’’.
(b) PROGRESS REPORT.—Section 301(h)(1)(A) is
amended to read as follows:
‘‘(A) A progress report of accomplishments
and expenditures on a State-by-State basis, in-
cluding—
‘‘(i) a statement of the number of
completed record of decisions, removal ac-
tions, remedial actions, and enforcement
actions; and
‘‘(ii) a statement of—
‘‘(I) the aggregate amount ex-
pended in each State;
‘‘(II) the amount expended in
each State for site investigation and
cleanup activities;
‘‘(III) the amount expended in
each State for non site-specific costs;
and
‘‘(IV) the amount expended for
enforcement actions and cost recovery
activities.’’.
(c) OTHER REPORT CONTENTS.—Section 301(h)(1)
is amended—
258
(1) in subparagraph (B) by striking the period
at the end and inserting ‘‘and removal or remedial
action.’’; and
(2) in subparagraph (C) by inserting ‘‘, removal
action, and remedial action’’ after ‘‘study’’.
(d) RESPONSE TO STATE COMMENTS BY EPA.—Sec-
tion 301(h) is amended by adding at the end the following:
‘‘(4) RESPONSE
TO
STATE
COMMENTS
BY
EPA.—The Administrator of the Environmental Pro-
tection Agency shall respond in writing to any com-
ments submitted to the Administrator by a State re-
garding reports developed under this subsection.’’.
SEC. 618. REMEDIAL TECHNOLOGIES.
Section 311 (42 U.S.C. 9660) is amended by adding
at the end the following:
‘‘(h) REMEDIAL TECHNOLOGIES.—
‘‘(1) REPORT.—Not later than 18 months after
the date of the enactment of this subsection, the Ad-
ministrator shall publish a report which—
‘‘(A) identifies existing remedial technology
demonstration and development programs con-
ducted by the Administrator, the States, and
Federal agencies;
259
‘‘(B) identifies and prioritizes remedial
technology needs at National Priorities List fa-
cilities; and
‘‘(C) to the extent information is available
to the Administrator, identifies and prioritizes
remedial technology needs identified through
the performance of removal actions at facilities
not on the National Priorities List.
‘‘(2) STATE INVOLVEMENT.—In preparing the
report pursuant to paragraph (1), the Administrator
shall solicit State involvement.’’.
SEC. 619. REIMBURSEMENT TO STATE AND LOCAL GOVERN-
MENTS.
(a) AMENDMENT OF SECTION 123.—Section 123 (42
U.S.C. 9623) is amended to read as follows:
‘‘SEC. 123. REIMBURSEMENT TO STATE AND LOCAL GOV-
ERNMENTS.
‘‘(a) APPLICATION.—Any State or general purpose
unit of local government for a political subdivision of a
State that is affected by a release or threatened release
at any facility may apply to the President for reimburse-
ment under this section.
‘‘(b) REIMBURSEMENT.—
‘‘(1) EMERGENCY
RESPONSE
ACTIONS.—The
President is authorized to reimburse States and local
260
community authorities for expenses incurred (before
or after the enactment of the Superfund Reform Act
of 1994) in carrying out emergency response actions
necessary to prevent or mitigate injury to human
health or the environment associated with the re-
lease or threatened release of any hazardous sub-
stance or pollutant or contaminant. Such actions
may include, where appropriate, security fencing to
limit access, cleanup of illicit drug laboratories, re-
sponse to fires and explosions, and other measures
that require immediate response at the State or local
level.
‘‘(2) STATE
OR
LOCAL
FUNDS
NOT
SUP-
PLANTED.—Reimbursement under this section shall
not supplant State or local funds normally provided
for response.
‘‘(c) AMOUNT.—(1) The amount of any reimburse-
ment to a local authority under subsection (b)(1) may not
exceed $25,000 for a single response. The reimbursement
under this section with respect to a single facility shall
be limited to the units of local government having jurisdic-
tion over the political subdivision in which the facility is
located.
‘‘(2) The amount of any reimbursement to a State
under subsection (b)(1) may not exceed $50,000 for a sin-
261
gle response. The reimbursement under this section with
respect to a single facility shall be limited to the State
in which the facility is located.
‘‘(3) The total amount made available to State and
local governments under subsection (b)(1) may not exceed
$50,000 for a single response.
‘‘(d) PROCEDURE.—Reimbursements authorized pur-
suant to this section shall be in accordance with rules pro-
mulgated by the Administrator.’’.
(b) AMENDMENT OF SECTION 111.—Paragraph (11)
of section 111(c) of such Act is amended—
(1) by striking out ‘‘LOCAL GOVERNMENT RE-
IMBURSEMENT.—’’ and inserting in lieu thereof
‘‘STATE
AND
LOCAL
GOVERNMENT
REIMBURSE-
MENT.—(A)’’; and
(2) by adding at the end the following new sub-
paragraph:
‘‘(B) Reimbursements to States under section
123, except that no State may receive more than
$2,000,000 in any one fiscal year.’’.
(c) DEADLINE FOR REGULATIONS.—The Adminis-
trator of Environmental Protection Agency shall promul-
gate any regulations necessary to implement section 123
of the Comprehensive Environmental Response, Com-
pensation, and Liability Act of 1980 (42 U.S.C. 9623),
262
as amended by subsection (a), not later than 24 months
after the date of the enactment of this Act.
SEC. 620. STUDY OF SMALL DISADVANTAGED BUSINESS
GOALS.
The Administrator of the Environmental Protection
Agency shall study the advisability and feasibility of insti-
tuting a small disadvantaged business goal program for
all contracts entered into by the Federal Government
under the Comprehensive Environmental Response, Com-
pensation, and Liability Act of 1980 and shall report the
Administrator’s recommendations to Congress within 1
year after the date of the enactment of this Act. In carry-
ing out the study, the Administrator shall give due consid-
eration to the small disadvantaged business goals estab-
lished under section 2323 of title 10, United States Code,
for the Department of Defense and to the implementation
of such goals by a State in any case in which a State is
authorized to carry out such Act.
SEC. 621. CONFORMING AMENDMENT.
Section 104(g)(1) (42 U.S.C. 9604(g)(1)) is amended
by striking ‘‘section’’ and inserting in lieu thereof ‘‘Act’’.
TITLE VII—FUNDING
SEC. 701. AUTHORIZATION OF APPROPRIATIONS.
Section 
111(a) 
is 
amended 
by 
striking
‘‘$8,500,000,000 for the 5-year period beginning on the
263
date of enactment of the Superfund Amendments and Re-
authorization Act of 1986, and not more than
$5,100,000,000 for the period commencing October 1,
1991, and ending September 30, 1994’’ and inserting
‘‘$9,600,000,000 for the period commencing October 1,
1994, and ending September 30, 1999’’.
SEC. 702. ORPHAN SHARE FUNDING.
Section 111(a) is amended by adding after paragraph
(7) (as added by this Act) the following new paragraph:
‘‘(8) ORPHAN
SHARE
FUNDING.—Payment of
orphan shares pursuant to section 130(e) of this
Act.’’.
SEC. 703. AGENCY FOR TOXIC SUBSTANCES AND DISEASE
REGISTRY.
Section 111(m) (relating to ATSDR) is amended to
read as follows:
‘‘(m) AGENCY FOR TOXIC SUBSTANCES AND DIS-
EASE REGISTRY.—There shall be directly available to the
Agency for Toxic Substances and Disease Registry to be
used for the purpose of carrying out activities described
in subsection (c)(4) of this section and section 104(i) of
this Act not less than $100,000,000 per fiscal year for
each of fiscal years 1995, 1996, 1997, 1998, and 1999
of which $20,000,000 per fiscal year shall be available for
the purposes of section 104(i)(15)(C). Any funds so made
264
available which are not obligated by the end of the fiscal
year in which made available shall be turned back to the
Fund.’’.
SEC. 704. LIMITATIONS ON RESEARCH, DEVELOPMENT,
AND DEMONSTRATION PROGRAMS.
Section 111(n) is amended to read as follows:
‘‘(n) LIMITATIONS ON RESEARCH, DEVELOPMENT,
AND DEMONSTRATION PROGRAM.—
‘‘(1) SECTION
311(a).—From the amounts
available in the Fund, not more than the following
amounts may be used for the purposes of section
311(a) of this title (relating to hazardous substance
research, demonstration, and training activities):
‘‘(A) For fiscal year 1995 $40,000,000.
‘‘(B) For fiscal year 1996 $50,000,000.
‘‘(C) For fiscal year 1997 $55,000,000.
‘‘(D) For fiscal year 1998 $55,000,000.
‘‘(E) For fiscal year 1999 $55,000,000.
No more than 10 percent of such amounts shall be
used for training under section 311(a) of this title
for any fiscal year.
‘‘(2) SECTION 311(d).—For each of the fiscal
years 1995, 1996, 1997, 1998, and 1999, not more
than $5,000,000 of the amounts available in the
Fund may be used for the purposes of section
265
311(d) of this title (relating to university hazardous
substance research centers).’’.
SEC. 705. AUTHORIZATION OF APPROPRIATIONS FROM
GENERAL REVENUES.
Section 111(p)(1) is amended to read as follows:
‘‘(1) IN GENERAL.—The following sums are au-
thorized to be appropriated, out of any money in the
Treasury not otherwise appropriated, to the Hazard-
ous Substance Superfund:
‘‘(A) For fiscal year 1995, $250,000,000.
‘‘(B) For fiscal year 1996, $250,000,000.
‘‘(C) For fiscal year 1997, $250,000,000.
‘‘(D) For fiscal year 1998, $250,000,000.
‘‘(E) For fiscal year 1999, $250,000,000.
In addition there is authorized to be appropriated to
the Hazardous Substance Superfund for each fiscal
year an amount equal to so much of the aggregate
amount authorized to be appropriated under this
subsection (and paragraph (2) of section 131(b) of
this title) as has not been appropriated before the
beginning of the fiscal year involved.’’.
SEC. 706. ADDITIONAL LIMITATIONS.
Section 111 is amended by adding after subsection
(p) the following new subsections:
266
‘‘(q) CITIZEN
INFORMATION
AND
ACCESS
OF-
FICES.—For each of the fiscal years 1995, 1996, 1997,
1998, and 1999, not more than $50,000,000 of the
amounts available in the Fund may be used for the pur-
poses of section 117(h) of this Act (relating to citizen in-
formation and access offices).
‘‘(r) VOLUNTARY RESPONSE PROGRAMS.—For each
of the fiscal years 1995 through 1999, not more than
$20,000,000 of the amounts available in the Fund may
be used for the purposes of section 128 of this Act (relat-
ing to State voluntary cleanup programs).’’.
SEC. 707. USES OF THE FUND.
Section 111(a) is amended by adding after paragraph
(8) the following new paragraph:
‘‘(9) REIMBURSEMENT
OF
POTENTIALLY
RE-
SPONSIBLE PARTY COSTS.—If a potentially respon-
sible party and the Administrator enter into a settle-
ment under this Act in which the Administrator is
reimbursed for its response costs, and if the Admin-
istrator determines, through a Federal audit of re-
sponse the costs, that costs for which the Adminis-
trator was reimbursed:
‘‘(A) are unallowable due to contractor
fraud, or
267
‘‘(B) are unallowable under the Federal
Acquisition Regulations, or
‘‘(C) should be adjusted due to routine
contract and Environmental Protection Agency
response cost audit procedures,
then the Administrator is authorized to use the fund
to reimburse a potentially responsible party for any
costs identified under subparagraph (A), (B), or (C)
of this paragraph.’’.
TITLE VIII—ENVIRONMENTAL
INSURANCE RESOLUTION FUND
SEC. 801. SHORT TITLE.
This title may be cited as the ‘‘Environmental Insur-
ance Resolution and Equity Act of 1994’’.
SEC. 802. DEFINITIONS.
For purposes of this title:
(1) APPLICABLE COSTS.—The term ‘‘applicable
costs’’ means applicable National Priorities List
(NPL) facility costs or applicable non-NPL facility
costs. Costs of removal shall be treated as applicable
costs only if the removal is conducted in accordance
with section 104, 106 or 122 of CERCLA or under
the regulations of the Administrator governing re-
moval actions (40 CFR 300.415 or any successor
regulations).
268
(2) APPLICABLE
NPL
FACILITY
COSTS.—The
term ‘‘applicable NPL facility costs’’ means the
costs for an eligible NPL facility—
(A) of response (as defined in section
101(25) of CERCLA);
(B) for natural resources damages under
section 107 of CERCLA; or
(C) to defend potential liability for the
costs described in subparagraph (A) or (B) or
both, including, but not limited to, attorney’s
fees, costs of suit, consultant and expert fees
and costs, and expenses for testing and mon-
itoring.
(3) APPLICABLE NON-NPL FACILITY COSTS.—
The term ‘‘applicable non-NPL facility costs’’ means
the costs for a non-NPL facility—
(A) of removal (as defined in section
101(23) of CERCLA); and
(B) to defend potential liability for such
costs of removal, including, but not limited to,
attorney’s fees, costs of suit, consultant and ex-
pert fees and costs, and expenses for testing
and monitoring.
(4) BOARD.—The term ‘‘Board’’ means the
Board of Trustees of the Fund.
269
(5) CERCLA.—The term ‘‘CERCLA’’ means
the Comprehensive Environmental Response, Com-
pensation and Liability Act of 1980 (42 U.S.C.
9601 et seq.).
(6) ELIGIBLE
COSTS.—The term ‘‘eligible
costs’’ means the applicable costs incurred with re-
spect to a hazardous substance disposed of at an eli-
gible facility for which an eligible person either (A)
has not been reimbursed or (B) has been reimbursed
and that are the subject of a dispute between the eli-
gible person and an insurer. The term eligible costs
shall not include any costs paid by the United
States.
(7) ELIGIBLE FACILITY.—The term ‘‘eligible fa-
cility’’ means an eligible NPL facility or an eligible
non-NPL facility.
(8) ELIGIBLE NPL FACILITY.—The term ‘‘eligi-
ble NPL facility’’ means any facility placed on the
National Priority List at any time, at which a haz-
ardous substance was disposed of on or before De-
cember 31, 1985.
(9) ELIGIBLE NON-NPL FACILITY.—The term
‘‘eligible non-NPL facility’’ means any site or facility
where a removal (as defined in section 101(23) of
CERCLA) was conducted pursuant to governmental
270
direction or oversight under CERCLA and the Na-
tional Contingency Plan at any time, at which a haz-
ardous substance was disposed of on or before De-
cember 31, 1985.
(10) ELIGIBLE
PERSON.—The term ‘‘eligible
person’’ means any person that demonstrates, to the
satisfaction of the Resolution Fund, that such per-
son either—
(A) has received a notice at any time that
it may be a potentially responsible party pursu-
ant to CERCLA with respect to an eligible
NPL facility, which notice requests or demands
that such party perform response actions or pay
response costs or natural resource damages for
such facility; or
(B) is or was liable, or alleged to be liable,
at any time for a removal (as defined in section
101(23) of CERCLA) at any eligible facility,
and had entered into a valid insurance contract for
qualified insurance.
(11) FACILITY.—The term ‘‘facility’’ has the
same meaning as provided in section 101(9) of
CERCLA.
(12) FUND.—The term ‘‘Fund’’ means the En-
vironmental Insurance Resolution Fund.
271
(13) NPL.—The term ‘‘NPL’’ means the Na-
tional Priorities List.
(14) PERSON.—The term person means an in-
dividual, firm, corporation, association, partnership,
consortium, joint venture, commercial entity or gov-
ernmental unit (including any predecessor in interest
or any subsidiary thereof).
(15) 
QUALIFIED
INSURANCE.—The 
term
‘‘qualified insurance’’ means insurance for com-
prehensive general liability or commercial multi-peril
insurance coverage for any period prior to January
1, 1986. For purposes of this paragraph, com-
prehensive general liability insurance includes broad
form liability, general liability, commercial general li-
ability, and excess or umbrella coverage; and com-
mercial multi-peril insurance includes broad form
property, commercial package, special multi-peril,
and excess or umbrella coverage. Such term shall
not include any other insurance, such as environ-
mental impairment liability insurance, whether
found in primary, excess, or umbrella coverage.
(16) VALID INSURANCE CONTRACT.—The term
‘‘valid insurance contract’’ means a contract for
qualified insurance other than any of the following:
272
(A) An insurance contract with respect to
which a person has entered into a settlement
with an insurer providing, or where a final
judgment has provided, that the contract has
been satisfied and that such person has no
right to make any further claims under such
contract.
(B) An insurance contract which covers
only a time period prior to the earliest date of
the action or status of the insured person which
resulted in liability or potential liability under
section 107 of CERCLA.
(C) An insurance contract with an insur-
ance company which is insolvent or in insol-
vency proceedings.
(D) An insurance contract which is the
subject of a settlement between the insurance
company and the insured pursuant to which the
policy has been reformed to include an absolute
exclusion for pollution liability (‘‘absolute pollu-
tion exclusion’’).
(17) STATE.—The term ‘‘State’’ has the same
meaning 
as 
provided 
in 
section 
101(27) 
of
CERCLA.
273
SEC. 
803. 
ENVIRONMENTAL 
INSURANCE 
RESOLUTION
FUND.
(a) 
ENVIRONMENTAL
INSURANCE
RESOLUTION
FUND ESTABLISHED.—There is hereby established the
Environmental Insurance Resolution Fund.
(b) OFFICES.—The principal office of the Fund shall
be in the District of Columbia or at such other place as
the Fund may from time to time prescribe.
(c) STATUS OF RESOLUTION FUND.—Except as ex-
pressly provided in this title, the Fund shall not be consid-
ered an agency or establishment of the United States. The
members of the Board of Trustees shall not, by reason
of such membership, be deemed to be officers or employees
of the United States.
(d) BOARD OF TRUSTEES.—
(1) IN GENERAL.—The Fund shall be adminis-
tered by a Board of Trustees.
(2) MEMBERSHIP.—The Board shall consist of
the following:
(A) GOVERNMENTAL MEMBERS.—
(i) The Administrator of the Environ-
mental Protection Agency or the Adminis-
trator’s designee.
(ii) The Attorney General of the Unit-
ed States or the Attorney General’s des-
ignee.
274
(B) PUBLIC MEMBERS.—Five public mem-
bers appointed by the President not later than
60 days after the date of enactment of this
title, not less than two of whom shall represent
insurers subject to section ll of the Internal
Revenue Code of 1986, and not less than two
of whom shall represent eligible persons as de-
fined in section 802(10). The public members
shall be citizens of the United States.
(C) EX-OFFICIO MEMBER.—The Secretary
of the Treasury shall serve as an ex officio
member of the Board.
(3) CHAIR.—The Chair of the Board shall be
designated by the President from time to time from
among the members described in paragraph (2)(A).
No expenditure may be made, or other action taken,
by the Fund without the concurrence of the Chair
of the Board.
(4) COMPENSATION.—Governmental members
of the Board shall serve without additional com-
pensation. Public members of the Board shall, while
attending meetings of the Board or while engaged in
duties related to such meetings or other activities of
the Board pursuant to this title, be entitled to re-
ceive compensation at the rate of $200 per day, in-
275
cluding travel time. While away from their homes or
regular places of business, members of the Board
shall be allowed travel and actual, reasonable and
necessary expenses to the same extent as officers of
the United States.
(5) TERM OF PUBLIC MEMBERS.—Public mem-
bers of the Board shall serve for a term of 5 years,
except that such members may be removed by the
President for any reason at any time. A public mem-
ber whose term has expired may continue to serve
on the Board until such time as the President ap-
points a successor. The President may reappoint a
public member of the Board, but no such member
may consecutively serve more than two terms.
(6) VACANCIES.—A vacancy on the Board shall
be filled in the same manner as the original appoint-
ment, except that such appointment shall be for the
balance of the unexpired term of the vacant position.
(7) QUORUM.—Four members of the Board
shall constitute a quorum for the conduct of busi-
ness.
(8) MEETINGS.—The Board shall meet not less
than quarterly at the call of the Chair. Meetings of
the Board shall be open to the public unless the
Board, by a majority vote of members present in
276
open session, determines that it is necessary or ap-
propriate to close a meeting. The Chair shall provide
at least 10 days notice of a meeting by publishing
a notice in the Federal Register and such notice
shall indicate whether it is expected that the Board
will consider closing all or a portion of the meeting.
Nothing in this paragraph shall be construed to
apply to informal discussions or meetings among
Board members.
(e) OFFICERS AND EMPLOYEES.—
(1) CHIEF EXECUTIVE OFFICER; CHIEF FINAN-
CIAL OFFICER.—(A) The Fund shall have a Chief
Executive Officer appointed by the Board who shall
exercise any authority of the Fund under such terms
and conditions as the Board may prescribe.
(B) The Fund shall have a Chief Financial Of-
ficer appointed by the Board.
(2) COMPENSATION.—No officer or employee of
the Fund may be compensated by the Fund at an
annual rate of pay which exceeds the rate of basic
pay in effect from time to time for level I of the Ex-
ecutive Schedule under section 5312 of title 5, Unit-
ed States Code. No officer or employee of the Fund,
other than a member of the Board, may receive any
salary or other compensation from any source other
277
than the Fund for services rendered during the pe-
riod of employment by the Fund.
(3) POLITICAL TEST OR QUALIFICATION.—No
political test or qualification shall be used in select-
ing, appointing, promoting, or taking other person-
nel actions with respect to officers, agents, and em-
ployees of the Fund.
(4) ASSISTANCE BY FEDERAL AGENCIES.—The
Attorney General, the Secretary of the Treasury,
and the Administrator of the Environmental Protec-
tion Agency, may to the extent practicable and fea-
sible, and in their sole discretion, make personnel
and other resources available to the Fund. Such per-
sonnel and resources may be provided on a reim-
bursable basis, and any personnel so provided shall
not be considered employees of the Fund for pur-
poses of paragraph (2).
(f) POWERS OF RESOLUTION FUND.—Notwithstand-
ing any other provision of law, except as provided in this
title or as may be hereafter enacted by the Congress ex-
pressly in limitation of the provisions of this subsection,
the Fund shall have the power—
(1) to have succession until dissolved by Act of
Congress;
278
(2) to make and enforce such bylaws, rules and
regulations as may be necessary or appropriate to
carry out the purposes of this title;
(3) to make and perform contracts, agreements,
and commitments;
(4) to settle, adjust, and compromise, and with
or without consideration or benefit to the Fund re-
lease or waive in whole or in part, in advance or
otherwise, any claim, demand, or right of, by, or
against the Fund;
(5) to sue and be sued, complain and defend, in
any State, Federal or other court;
(6) to determine its necessary expenditures and
appoint, employ, and fix and provide for the duties,
compensation and benefits of officers, employees, at-
torneys, and agents, all of whom shall serve at the
pleasure of the Board; except that all amounts with-
drawn from the Treasury of the United States by or
on behalf of the Resolution Fund shall be certified
by a federally authorized certifying officer who is an
employee of the Federal agency represented by the
chair of the Resolution Fund;
(7) to hire or accept the voluntary services of
consultants, experts, advisory boards, and panels to
279
aid the Fund in carrying out the purposes of this
title; and
(8) to take such other actions as may be nec-
essary to carry out the responsibilities of the Fund
under this title.
(g) BORROWING AUTHORITY.—Nothing in this title
shall be construed to permit the Fund to issue any evi-
dence of indebtedness or otherwise borrow money.
SEC. 804. RESOLUTION OFFERS.
(a) IN GENERAL.—The Fund shall offer one com-
prehensive resolution to each eligible person. The offer
shall be for a percentage of all the eligible costs of such
eligible person incurred in connection with all eligible fa-
cilities. The amount of the offer shall be determined pur-
suant to section 806.
(b) REQUESTS FOR RESOLUTION OFFERS.—
(1) IN GENERAL.—An eligible person may, at
any time after the promulgation of the interim final
regulations under section 812(a), file a request for
a resolution offer from the Fund.
(2) RESPONSE TO REQUEST.—Not later than
180 days after the receipt of a complete request as
determined by the Fund, the Fund shall in writ-
ing—
280
(A) make a resolution offer to each eligible
person that has filed a request for a resolution
offer; or
(B) notify a person filing such a request
that such person is not an eligible person.
(c) JOINT VENTURES AND SUBSIDIARIES.—A joint
venture shall not be aggregated with any individual joint
venturer for purposes of this section but shall be treated
as a distinct entity for such purposes. All claims by sub-
sidiaries shall be included in a single claim by the cor-
porate parent for purposes of this Act.
SEC. 805. DOCUMENTATION OF CLAIMS AND INSURANCE
COVERAGE.
(a) SCREENING OF CLAIMS.—
(1) DENIAL
BY
REASON
OF
FELONY.—The
Fund may deny a resolution offer to an otherwise el-
igible person for a specific facility if the eligible per-
son has been convicted of a felony under any Fed-
eral or State statute which has a material effect on
the response costs or natural resource damage in-
curred at the facility.
(2) FILING AND ACTIVE PURSUIT OF CLAIMS.—
The Fund may decide not to make an offer to an
eligible person unless the eligible person has filed a
claim and is actively pursuing the claim. The Fund
281
may also decide that an offer should be made to any
such person.
(b) FILING OF CLAIMS.—For the purposes of sub-
section (a), an eligible person shall be deemed to have filed
a claim if the eligible person has notified one or more of
its insurers of the existence of a claim, or has engaged
in active investigation and preparation of a claim, or has
filed a lawsuit seeking coverage for eligible costs. Failure
to have filed a claim or to have engaged in settlement dis-
cussions before January 1, 1994, shall not be deemed to
preclude an eligible person from receiving an offer from
the Fund if the eligible person had not received any notice
letter from a governmental authority or one or more po-
tentially responsible parties asserting its potential liability
under CERCLA at any eligible facility until after January
1, 1993.
(c) ACTIVE PURSUIT OF CLAIMS.—For purposes of
this section, an eligible person shall be considered to be
actively pursuing a claim if—
(1) the person has filed a lawsuit against an in-
surer, or has filed a motion or another pleading in
a lawsuit against an insurer, or has engaged in any
discovery in a lawsuit against an insurer between
January 1, 1993, and December 31, 1993 regarding
eligible costs at an eligible facility;
282
(2) the person has engaged in settlement dis-
cussions with an insurer between January 1, 1993,
and December 31, 1993 regarding eligible costs at
an eligible facility;
(3) the person has engaged in active investiga-
tion and preparation of a claim before January 1,
1994;
(4) if the person has received a letter from an
insurer rejecting coverage or reserving its rights to
reject coverage regarding eligible costs at an eligible
facility, the person has sent within 1 year thereafter
an additional status report or letter apprising an in-
surer of activities regarding an eligible facility; or
(5) the eligible person has sent a letter to an
insurer notifying an insurer of the potential exist-
ence of a claim regarding eligible costs at an eligible
facility and has received no response from the in-
surer.
(d) DOCUMENTATION OF COVERAGE.—
(1) EFFECT OF DOCUMENTATION.—Coverage of
an eligible person for policy years prior to 1986 and
the applicable deductibles and limits on coverage
shall be confirmed to the satisfaction of the Fund by
the terms of the policies or other documentary proof
283
of insurance provided by, or for, the eligible person
in accordance with this subsection.
(2) 
SUBMISSION
OF
DOCUMENTARY
EVI-
DENCE.—After promulgation of regulations govern-
ing documentation requirements, an eligible person
requesting an offer shall submit: copies of its insur-
ance policies, or other documentary evidence suffi-
cient to establish the following six terms of coverage:
insurance company, policy number, type of policy,
duration of policy, deductible or self-insured reten-
tion, and limit of coverage. Documentary evidence
may consist of any documents from an insurance
company or broker or documents of the eligible per-
son or other party which are generally contempora-
neous with the term of the policy or with subsequent
retrospective rating under the policy. Where docu-
mentary evidence (other than a policy) is relied upon
as the proof of coverage, an eligible person must cer-
tify that it has undertaken a good faith investigation
of its records, that its submission is complete and
accurate to the best of its information and belief,
and that it does not have a copy of the insurance
policy. If an eligible person submits documentary
evidence which does not establish all six terms of
coverage but which does establish the name of the
284
insurance company and one or more other terms evi-
dencing coverage, the named insurance company
shall undertake an investigation for any policy or
other relevant documents evidencing the eligible per-
son’s coverage. At the conclusion of the investiga-
tion, the named insurance company shall—
(A) produce to the Fund any policies or
other documents relevant to the eligible per-
son’s claim of coverage; or
(B) certify that it has undertaken a good
faith investigation of its records and that it has
produced any and all policies or documents
available to the insurer and relevant to the eli-
gible person’s claim of coverage.
Subsequent to the named insurance company’s pro-
duction or certification, the Fund shall decide
whether a person has provided adequate proof of in-
surance based on the evidence presented. Submission
of the six terms of coverage referred to in this para-
graph shall be treated as adequate proof of insur-
ance.
(e) PRIOR SETTLEMENTS.—
(1) DISCLOSURE.—Each eligible person shall be
required to disclose and certify the amounts and
terms of any settlement reached with an insurer for
285
eligible costs at eligible facilities. In the event that
the terms of such a settlement are subject to a pro-
tective order or are otherwise confidential, the eligi-
ble person may provide evidence of the confidential
nature of the settlement information to the Fund.
Upon receipt of such evidence, the Fund shall be ob-
ligated to preserve the confidentiality of all such set-
tlement information.
(2) EFFECT
OF
TITLE
ON
PRIOR
SETTLE-
MENTS.—This title shall have no effect on prior set-
tlements between eligible persons and an insurer.
SEC. 806. AMOUNT OF RESOLUTION OFFERS.
(a) RESOLUTION OFFERS.—The Fund shall make
resolution offers to each eligible person equal to the appli-
cable percentage (determined under this section) of the
lesser of the following:
(1) The eligible costs actually incurred by an el-
igible person.
(2) The available coverage, as determined under
this section.
(b) APPLICABLE PERCENTAGE.—
(1) IN GENERAL.—For each eligible person that
has not established a litigation venue pursuant to
subsection (d), the applicable percentage shall be
equal to the facility location percentage for that per-
286
son. For each eligible person that has established
one or more litigation venues pursuant to subsection
(d), the applicable percentage shall be comprised of
one-half of the facility location percentage for that
person plus one-half of the venue percentage for that
person.
(2) FACILITY LOCATION PERCENTAGE.—
(A) ONE OR MORE ELIGIBLE NPL FACILI-
TIES.—For each eligible person, the Fund shall
establish a facility location percentage. The per-
centage shall be equal to the weighted average
of the State percentages for each eligible NPL
facility for which such person has been identi-
fied as a potentially responsible party. In deter-
mining such weighted average, each such eligi-
ble facility shall be accorded equal value, except
as provided in paragraph (4).
(B) NO ELIGIBLE NPL FACILITIES.—For
each person not identified as a potentially re-
sponsible party at one or more eligible NPL fa-
cilities but who is, or is alleged to be, liable at
any time for removal (as defined in section
101(23) of CERCLA) at one or more eligible
non-NPL facilities, the Fund shall establish a
facility location percentage equal to the weight-
287
ed average of the State percentages for each
such eligible non-NPL facility. In determining
such weighted average, each such facility shall
be accorded equal value.
(3) LITIGATION VENUE PERCENTAGE.—
(A) ONE OR MORE ELIGIBLE NPL FACILI-
TIES.—For each eligible person that has estab-
lished one or more litigation venues pursuant to
subsection (d) with respect to one or more eligi-
ble NPL facilities, the Fund shall establish a
litigation venue percentage. The percentage
shall be equal to the weighted average of the
State percentages for each eligible NPL facility
in each State in which such eligible person has
established a litigation venue. In determining
such weighted average, each eligible NPL facil-
ity with respect to which such person has estab-
lished a litigation venue shall be accorded equal
value.
(B) NO ELIGIBLE NPL FACILITIES.—For
each eligible person that does not have one or
more eligible NPL facilities and has established
litigation venue with respect to one or more eli-
gible non-NPL facilities pursuant to subsection
(d), the Fund shall establish a litigation venue
288
percentage equal to the weighted average of the
State percentages for each eligible non-NPL fa-
cility in each State in which such eligible person
has established a litigation venue. In determin-
ing such weighted average, each eligible non-
NPL facility with respect to which litigation
venue has been established shall be accorded
equal value.
(4) EXTRA WEIGHTING OF LARGE SITES.—In
determining the facility location percentage under
paragraph (2)(A), the Fund shall count a facility
twice for weighting purposes if—
(A) the facility is located in the same State
as the State in which litigation venue has been
established;
(B) the facility is included in the eligible
person’s coverage litigation in that venue; and
(C) total response costs incurred plus esti-
mated response costs exceed $50,000,0000, as
established by governmental cost summaries or
demands, records or decision, or evidence satis-
factory to the Fund of costs actually incurred.
(c) STATE PERCENTAGE.—
(1) CONGRESSIONAL FINDINGS.—The Congress
finds that as of January 1, 1994, State law gen-
289
erally is more favorable to eligible persons that pur-
sue claims concerning eligible costs against insurers
in some States, that State law generally is more fa-
vorable to insurers with respect to such claims in
some States, and that in some States the law gen-
erally favors neither insurers nor eligible persons
with respect to such claims or that there is insuffi-
cient information to determine whether such law
generally favors insurers or eligible persons with re-
spect to such claims. The Congress further finds
that considerations of equity and fairness require
that resolution offers made by the Fund must vary
to reflect the relative state of the law among the sev-
eral States.
(2) STATE
PERCENTAGE
CATEGORIES.—The
States are hereby classified into the following per-
centage categories:
(A) 20 PERCENT.—The State percentage
shall be 20 percent for: Florida, Maine, Mary-
land, Massachusetts, Michigan, New York,
North Carolina, and Ohio.
(B) 60 PERCENT.—The State percentage
shall be 60 percent for: California, Colorado,
Georgia, Illinois, New Jersey, Washington,
West Virginia, and Wisconsin.
290
(C) 40 PERCENT.—For all other States the
State percentage shall be 40 percent.
(d) LITIGATION VENUE.—For purposes of this sec-
tion, litigation venue is considered established with respect
to an eligible person if—
(1) on or before December 31, 1993, the eligi-
ble person had pending in a court of competent ju-
risdiction a complaint against an insurer with re-
spect to eligible costs at an eligible facility; and
(2) no motion to change venue with respect to
such complaint was pending on or before January
31, 1994.
(e) AVAILABLE COVERAGE.—
(1) IN GENERAL.—The Fund shall determine
the available coverage for each eligible person by
adding the limits of liability contained in all valid in-
surance contracts of insurance (including per occur-
rence, aggregate, primary, excess or other limits)
and then by subtracting the total of all deductibles
and self-insured retentions applicable to those poli-
cies. In calculating the available coverage and the
average deductible pursuant to section 808(c), the
Fund shall exclude any deductible or self-insured re-
tention contained in a policy which has already been
paid by the eligible person.
291
(2) PER
OCCURRENCE
BASIS
POLICIES.—For
insurance policies with limits or deductibles ex-
pressed on a per occurrence basis without an aggre-
gate limit, the limit or deductible shall be an amount
equal to the limit or deductible in the policy multi-
plied by the number of eligible facilities of the eligi-
ble person and by the number of years the policy
was in effect. Per occurrence limits or deductibles
may be adjusted by the Fund whenever there is an
increase in the eligible facilities attributable to an el-
igible party.
(f) ADJUSTMENT FOR OWNED PROPERTY SITES.—
(1) ADJUSTMENT.—If an eligible person seeks
payment of eligible costs for an owned property site,
only 70 percent of such eligible costs (including eligi-
ble costs for off site contamination attributable to
the owned property) shall be taken into account in
making payments under this section.
(2) DEFINITIONS.—For purposes of this sub-
section—
(A) OWNED
PROPERTY
SITE.—A facility
shall be considered an owned property site if—
(i) an eligible person owned or leased
the facility at the time of initial disposal or
a predecessor company owned or leased the
292
facility at the time of initial disposal and
the predecessor company merged into an
eligible person or became the wholly owned
subsidiary of an eligible person;
(ii) the property owned or leased by
the eligible person or predecessor company
represents all or a portion of the facility as
specifically designated on the NPL or as
subject to a removal covered by this title;
(iii)(I) an eligible person or prede-
cessor company generated all of the haz-
ardous substances which were disposed of
during the period such person or prede-
cessor owned or leased the facility, or (II)
an eligible person or predecessor company
owned a landfill which is part of the prop-
erty on which a manufacturing or indus-
trial facility is situated, the landfill was
used for the treatment, storage, or disposal
of waste generated from the manufacturing
or industrial facility and from third par-
ties, and the landfill contains waste that is
not primarily municipal solid waste or sew-
age sludge as defined in title VI of this
Act; and
293
(iv) the hazardous substances associ-
ated with the owned property constitute
the basis for liability at the facility.
(B) PROPERTY NOT CONSIDERED OWNED
PROPERTY.—A facility shall not be considered
owned property of an eligible person for pur-
poses of this section when the eligible person
acquired the facility from, or acquired the as-
sets of, a company which engaged in initial dis-
posal of hazardous substances at the facility
and the eligible person did not engage in initial
disposal of hazardous substances at the facility
during its period of ownership. An owned prop-
erty site shall not include a public or commer-
cial landfill primarily used for disposal, storage,
or treatment of municipal solid waste or sewage
sludge as defined in title VI of this Act.
(C) INITIAL DISPOSAL.—For purposes of
this paragraph, the term initial disposal means
the 
spilling, 
pumping, 
pouring, 
emitting,
emptying, discharging, injecting, dumping, dis-
posing, placing, or leaking of hazardous sub-
stances into the environment caused by the fa-
cility owner but does not include—
294
(i) any continuing or further leaking,
escaping, or leaching of hazardous sub-
stances into the environment during subse-
quent periods of ownership which was not
caused by the acts of a subsequent owner;
or
(ii) any activities undertaken by an
owner related to response at the facility.
SEC. 807. ACCEPTANCE OF RESOLUTION OFFER.
(a) ACCEPTANCE.—
(1) ELECTION TO ACCEPT.—An eligible person
may, when submitting a request for a resolution to
the Fund, make a written irrevocable election to ac-
cept any resolution to be made by the Fund.
(2) NOTIFICATION.—An eligible person that
does not make an election pursuant to paragraph (1)
shall, within 60 days of the receipt of a resolution
offer from the Fund, notify the Fund in writing of
its irrevocable acceptance or rejection of such offer.
An eligible person who does not so accept or reject
a resolution offer within 60 days shall be deemed to
have made an irrevocable election to reject the offer.
(b) 
ACCEPTANCE
OR
REJECTION
PRIOR
TO
OFFER.—Upon expiration of the 60-day period imme-
diately following the enactment of this Act, any eligible
295
person may notify the Fund that such eligible person ac-
cepts or rejects any offer to be issued by the Fund under
this title. Any such notice shall be signed by a duly author-
ized officer of the eligible person, as certified by the sec-
retary of the eligible person or by a person with equivalent
authority.
(c) WAIVER OF INSURANCE CLAIMS.—Any eligible
person accepting a resolution offer from the Fund shall
agree in writing, subject to reinstatement described in sub-
section (d) to waive, stay, or dismiss any of its existing
and future claims against any insurer for eligible costs,
including bad faith claims pertaining to actions to recover
eligible costs.
(d) REINSTATEMENT OF INSURANCE CLAIMS.—If the
Fund fails to timely fulfill its obligations to an eligible per-
son under the terms of an accepted resolution offer, such
eligible person shall be entitled to reinstate any of its exist-
ing and future claims under a contract for insurance with
respect to eligible costs. A shortfall provided for in section
808(f) shall not be considered a failure of the Fund to
timely fulfill its obligations.
SEC. 808. RESOLUTION PAYMENTS.
(a) TIME OF PAYMENT; PRE-RESOLUTION COSTS.—
The Fund shall make equal annual payments over a period
of 10 years for the applicable percentage of eligible costs
296
incurred by an eligible person on or before the date such
person accepts a resolution offer. The Fund may, in its
sole discretion, make such payments over a shorter period
if the aggregate eligible costs do not exceed $50,000. An
eligible person shall submit to the Fund documentation
of such costs as the Fund may require. The initial pay-
ment to an eligible person under this paragraph shall be
made not later than 60 days after the receipt of docu-
mentation satisfactory to the Fund. Interest shall not ac-
crue on amounts payable pursuant to a resolution offer
during the 5-year period beginning on the date of the en-
actment of this Act. In each year thereafter, interest shall
accrue on the unpaid balance of the pre-resolution costs
in an amount equal to the rate of interest on one year
Treasury bills issued on the anniversary of such date of
enactment, or if no bills were issued on such date, on the
last date such bills were issued prior to such anniversary.
(b) TIME OF PAYMENT; POST-RESOLUTION COSTS.—
The Fund shall make payments for eligible costs incurred
by an eligible person after the date such person accepts
a resolution offer to the eligible person, or to a contractor
or other person designated by the eligible person, subject
to such documentation as the Fund may require. Pay-
ments under this title shall be made not later than 60
297
days after the receipt of documentation (satisfactory to
the Fund) with respect to such costs.
(c) ADJUSTMENT FOR DEDUCTIBLE OR SELF INSUR-
ANCE.—In the case of an eligible person that has submit-
ted to the Fund, as proof of status as an eligible person,
a valid insurance contract subject to a self-insured reten-
tion or a deductible, payment to such eligible person pur-
suant to a resolution shall be reduced once by an amount
equal to the average of the amounts of self-insured reten-
tions and deductibles in all valid insurance contracts of
insurance of the eligible person. For purposes of determin-
ing such average in the case of a per occurrence deductible
or self-insured retention, the Fund shall only count such
deductible or self-insured retention once for each policy
year.
(d) ADJUSTMENT FOR CERTAIN DUTY-TO-DEFEND
COSTS.—If an insurer has incurred and paid costs pursu-
ant to a duty-to-defend clause contained in a contract for
insurance, and such costs are the subject of a dispute be-
tween the eligible person and an insurer, the Fund shall
reduce payment of a resolution to an eligible person by
such amount and pay such amount to the insurer. If such
costs were paid by the insurer on or before the date the
eligible person accepted a resolution offer made by the
Fund, payment to an insurer under this section shall be
298
made in equal annual installments over a period of 10
years, and interest shall not accrue with respect to such
costs. The Fund may, in its sole discretion, make such
payments over a shorter period if the aggregate costs do
not exceed $50,000.
(e) EFFECT OF PAYMENTS.—(1) Payments made to
an eligible person by the Fund pursuant to a resolution
offer shall be treated as payments made by an insurer in
satisfaction of the terms and conditions of a contract of
insurance. Such payments shall be allocated pro rata to
each year in which proof of insurance has been estab-
lished. The amount allocated to each coverage year shall
be allocated 100 percent to the primary coverage until it
is exhausted and then 100 percent to each successively
higher layer of coverage until each such layer is exhausted.
(2) No insurer shall be allowed to collect recovery
pursuant to a reinsurance contract on the basis of a pay-
ment by the Fund unless such reinsurer is not subject to
the fees under section lll of the Internal Revenue
Code or has not satisfied its obligations pursuant to such
fees.
(f) SHORTFALL.—If, in any year during the first 10
years after enactment, the Fund does not have sufficient
funds available to pay all eligible costs of resolution offers
accepted by eligible persons, the Fund shall determine the
299
amount of the costs which cannot be paid in that year
(the ‘‘shortfall’’). The Fund shall allocate the shortfall to
the eligible persons in proportion to the size of their pend-
ing claims for reimbursement from the Fund. This short-
fall shall be paid to the eligible person and shall be amor-
tized over the next 5 years, and the amortized amount
shall be paid with interest at the rate specified for the
amortization of past costs. A shortfall which is being am-
ortized hereunder shall not be considered a default by the
Fund, triggering the reinstatement of claims.
(g) INTERIM ALLOCATIONS.—An eligible person ac-
cepting an offer of resolution shall be entitled to receive
payment of all eligible costs which have been incurred. If
an eligible person obtains reimbursement of such eligible
costs as a result of a final allocation, contribution action,
or otherwise, the eligible person must notify the Fund of
the amount of the reimbursement and must either (1) re-
duce its next claim to the Fund for payment of eligible
costs by the amount of the reimbursement, or (2) refund
the amount of the reimbursement.
SEC. 809. REJECTION OF RESOLUTION OFFER AND REIM-
BURSEMENT TO INSURER.
If an eligible person rejects a resolution offer (includ-
ing a rejection pursuant to section 807(b)), litigates a
claim with respect to eligible costs against 1 or more in-
300
surers, and obtains a final judgment against, or enters
into a settlement with, any such insurer, the Fund—
(1) shall reimburse to such insurer or insurers
the lesser of the amount of the resolution offer made
to the eligible person (or, in the case of a rejection
pursuant to section 807(b), the amount which the
Fund would have offered) or the final judgment or
settlement; and
(2) may, if the resolution offer exceeded the
final judgment or settlement, reimburse the insurer
or insurers for unrecovered reasonable costs and
legal fees, except that the total reimbursement under
this subsection may not exceed the amount of the
resolution offer to the eligible person (or, in the case
of a rejection pursuant to section 807(b), the
amount which the Fund would have offered).
Reimbursements pursuant to this subsection shall be sub-
ject to such documentation as the Fund may require and
shall be made by the Fund not later than 60 days after
receipt by the Fund of a complete request for reimburse-
ment satisfactory to the Fund.
SEC. 810. FINANCIAL STATEMENTS, AUDITS, INVESTIGA-
TIONS, AND INSPECTIONS.
(a) IN GENERAL.—The financial statements of the
Fund shall be prepared in accordance with generally ac-
301
cepted accounting principles and shall be audited annually
by an independent certified public accountant in accord-
ance with the auditing standards issued by the Comptrol-
ler General. Such auditing standards shall be consistent
with the private sector’s generally accepted auditing
standards.
(b) INVESTIGATIONS AND OTHER AUDITS.—The In-
spector General of the Environmental Protection Agency
is authorized to conduct audits and investigations as the
Inspector General deems necessary or appropriate.
SEC. 811. STAY OF PENDING LITIGATION.
(a) ENACTMENT OPERATES AS STAY.—Except as
provided in this section, enactment of this title shall oper-
ate as a stay, applicable to all persons other than the Unit-
ed States, of the commencement or continuation, including
the issuance or employment of process or service of any
pleading, motion, or notice, of any judicial, administrative,
or other action with respect to claims for indemnity or
other claims arising from a valid insurance contract of
qualified insurance concerning insurance coverage for eli-
gible costs.
(b) ACTIONS NOT AFFECTED.—Nothing in this title
shall be construed to authorize a stay of any action involv-
ing claims that do not concern eligible costs or a valid
insurance contract of qualified insurance. Any such claim
302
shall be severed by operation of law from claims involving
eligible costs or valid contracts of insurance of qualified
insurance, and the insured party may proceed with the
prosecution of the severed claims not involving eligible
costs or not involving qualified insurance.
(c) TERMINATION OF STAY.—(1) The stay estab-
lished by subsection (a) shall terminate with respect to an
eligible person upon the earlier of the following:
(A) The rejection of a resolution offer (includ-
ing an early rejection) by such eligible person pursu-
ant to section 807.
(B) A determination by the Fund that an offer
will not be made to such eligible person or that such
person is not an eligible person.
(C) A determination by the Fund pursuant to
section 816(b) that the minimum participation level
has not been achieved.
(D) A failure by the Fund at any time after the
date 10 years after the enactment of this Act to
timely pay to such eligible person a resolution pay-
ment equal to the total amount of eligible costs (in-
cluding shortfalls from prior years) required to be
paid to such person under a resolution offer in any
year after such date.
303
(2) The stay established by subsection (a) shall termi-
nate on the date that is 10 years after the enactment of
this Act with respect to:
(A) A person that becomes an eligible person on
or after such date.
(B) An eligible person that has not filed a re-
quest for a resolution offer and has not rejected a
resolution offer pursuant to section 807(b) before
such date.
(d) 
AUTHORITY
OF
UNITED
STATES
UNAF-
FECTED.—Nothing in this section shall be construed to
limit or affect in any way the discretion or authority of
the United States or any party to commerce or continue
any allocation process, cost recovery, or other action pur-
suant to the authority of sections 101 through 122a of
CERCLA.
(e) STATUTE
OF LIMITATION TOLLED.—Notwith-
standing any other provision of Federal or State law, any
Federal or State statute of limitation concerning the filing
or prosecution of an action by an eligible person against
an insurer, or by an insurer against an eligible person,
with respect to eligible costs shall be tolled during the
pendency of the stay of pending litigation established by
this title.
304
SEC. 812. REGULATIONS.
(a) PROCEDURES AND DOCUMENTATION.—Not later
than 120 days after the date of enactment of this title,
the Fund shall publish in the Federal Register for public
comment of not more than 60 days interim final regula-
tions concerning procedures and documentation for the
submission of requests for resolution offers and the pay-
ment of accepted resolution offers. Not later than 60 days
after the close of the public comment period, the Fund
shall publish in the Federal Register final regulations con-
cerning such procedures and documentation, which may
be amended by the Fund from time to time. The Fund
in its discretion may require that requests for resolution
offers made before the issuance of final regulations pursu-
ant to this subsection be revised to conform to the require-
ments of such final regulations.
(b) OTHER REGULATIONS.—The Fund may prescribe
such other regulations, rules and procedures as the Fund
deems appropriate from time to time.
(c) JUDICIAL REVIEW.—No regulation, rule or proce-
dure prescribed by the Fund shall be subject to review by
any court except to the extent such regulation, rule or pro-
cedure is not consistent with a provision of this title. No
resolution offer made by the Fund shall be subject to re-
view by any court.
305
SEC. 813. COURT JURISDICTION AND PENALTIES.
(a) JURISDICTION OF FEDERAL COURTS.—Notwith-
standing section 1349 of title 28, United States Code:
(1) The Fund shall be deemed to be an agency
of the United States for purposes of sections 1345
and 1442 of title 28, United States Code.
(2) All civil actions to which the Fund is a
party shall be deemed to arise under the laws of the
United States, and the district courts of the United
States shall have original jurisdiction of all such ac-
tions, without regard to amount or value.
(3) Any civil or other action, case or con-
troversy in a court of a State, or in any court other
than a district court of the United States, to which
the Fund is a party may at any time before the trial
thereof be removed by the Fund, without the giving
of any bond or security, to the district court of the
United States for the district and division embracing
the place where the same is pending, or, if there is
no such district court, to the district court of the
United States for the district in which the principal
office of the Fund is located, by following any proce-
dure for removal of causes in effect at the time of
such removal.
306
(4) No attachment or execution shall be issued
against the Fund or any of its property before final
judgment in any State, Federal, or other court.
(b) FALSE
OR
FRAUDULENT
STATEMENTS
OR
CLAIMS.—
(1) CRIMINAL PENALTIES.—(A) For purposes
of section 287 of title 18, United States Code (relat-
ing to false claims), the Fund shall be considered an
agency of the United States and any officer or em-
ployee of the Fund shall be considered a person in
the civil service of the United States.
(B) For purposes of section 1001 of title 18,
United States Code (relating to false statements or
entries), the Fund shall be considered an agency of
the United States.
(2) CIVIL PENALTIES.—Officers and employees
of the Fund shall be considered officers and employ-
ees of the United States for purposes of section
3729 of title 31, United States Code (relating to
false claims).
SEC. 814. MISCELLANEOUS PROVISIONS.
(a) ADMISSIBILITY
OF RESOLUTION OFFER.—No
resolution offered by the Fund shall be admissible in any
legal action brought by an eligible person against an in-
surer or by an insurer against an eligible person.
307
(b) RESOLUTION PROCESS NOT ADMISSION OF LI-
ABILITY.—No provision of this title, and no action by an
eligible person undertaken in connection with any provi-
sion of this title shall in any way constitute an admission
of liability in connection with the disposal of a hazardous
substance.
(c) PRECEDENTIAL EFFECT.—No provision of this
title shall affect or be construed to establish a precedent
with respect to any insurance dispute between any person
and insurer not subject to a stay under this title.
(d) 
SOVEREIGN
IMMUNITY
OF
THE
UNITED
STATES.—No obligation or liability of the Fund shall con-
stitute an obligation or liability of the United States, or
of any department, agency, instrumentality, officer, or em-
ployee thereof. No person shall have a cause of action of
any kind against the United States, or any department
agency, instrumentality, officer, or employee thereof with
respect to any obligation, liability, or activity of the Fund.
SEC. 815. REPORTS.
(a) REPORT ON POTENTIAL FOR ESCALATION OF
EIRF LIABILITY.—Not later than the end of the 5th year
after enactment of this title, the President shall submit
a report to Congress assessing the potential liability of the
Fund over the next 5-year period. The report shall include
recommendations for amendments to address any short-
308
falls between the projected potential liability of the Fund
and the amounts authorized to be raised over such 5-year
period.
(b) REPORT ON NON-NPL FACILITIES.—The Presi-
dent shall conduct a study of the number of non-NPL fa-
cilities and the average cleanup cost per non-NPL facility
and shall report his findings not later than 3 years after
the date of enactment.
(c) ANNUAL REPORTS.—The Fund shall report annu-
ally to the President and the Congress not later than Jan-
uary 15 of each year on its activities for the prior fiscal
year. The report shall include—
(1) a financial statement audited by an inde-
pendent auditor; and
(2) a determination of whether the fees and as-
sessments imposed by section ll of the Internal
Revenue Code of 1986 will be sufficient to meet the
anticipated obligations of the Fund.
(d) SPECIAL REPORTS.—The Fund shall promptly
report to the President and the Congress at any time the
Fund determines that the fees and assessments imposed
by section ll of the Internal Revenue Code of 1986 will
be insufficient to meet the anticipated obligations of the
Fund.
309
SEC. 816. EFFECTIVE DATE.
(a) IN GENERAL.—This title shall take effect on the
date of enactment of this Act.
(b) MINIMUM PARTICIPATION LEVEL BY ELIGIBLE
PERSONS.—
(1) IDENTIFICATION OF LITIGATING ELIGIBLE
PERSONS.—Each insurance company providing in-
surance coverage to eligible persons shall submit to
the Fund, within 30 days after the enactment of this
Act, a list of all eligible persons which filed suit
against that company for eligible costs prior to the
enactment of this Act and shall notify each eligible
person which is on the list.
(2) REQUESTS
FOR
APPLICABLE
PERCENT-
AGE.—Each eligible person identified on a list under
paragraph (1) shall file a request for its applicable
percentage (as determined under section 806(b))
with the Fund within 60 days after the enactment
of this Act. The Fund shall determine the applicable
percentage of the eligible person and notify the eligi-
ble person of such percentage within 90 days of en-
actment. Each eligible person receiving such notifi-
cation shall decide whether to accept or reject the
applicable percentage determination within 135 days
of enactment. An eligible person which has made an
early acceptance or rejection pursuant to section
310
807(b) shall be deemed to have accepted or rejected
its applicable percentage, as the case may be. Any
eligible person which does not file such a request
within such period, and any eligible person which
files such a request and does not reject the applica-
ble percentage determination within 135 days after
the enactment of this Act, shall be deemed to have
accepted the determination solely for the purposes of
this section.
(3) MINIMUM PARTICIPATION LEVEL.—Within
150 days after enactment, the Fund shall deter-
mine—
(A) the number of eligible persons on the
list under paragraph (1), and
(B) the weighted average (as determined
under paragraph (4)) of such eligible persons,
which have accepted or rejected applicable percent-
age determinations under this subsection. If more
than 15 percent of the eligible persons on such list
or more than a weighted average of 15 percent of
such eligible persons have rejected such determina-
tions, the provisions of this title and the insurance
fee provisions of title IX shall cease to have any
force and effect, and any fees paid by insurance
companies which have not been utilized for adminis-
311
tration of the Fund shall be refunded to those com-
panies.
(4) WEIGHTED AVERAGE.—The weighted aver-
age of eligible persons accepting or rejecting applica-
ble percentage determinations shall be determined by
multiplying the acceptances or rejections by eligible
persons listed under paragraph (1) times the num-
ber of each such person’s eligible facilities (without
regard to whether or not any such is the subject of
any lawsuit).
SEC. 817. TERMINATION OF AUTHORITY TO OFFER AND AC-
CEPT RESOLUTION.
(a) AUTHORITY TO ACCEPT REQUEST FOR RESOLU-
TION.—The authority of the Fund to accept requests for
resolution shall terminate on the date 10 years after the
enactment of this Act.
(b) AUTHORITY TO OFFER RESOLUTIONS.—The au-
thority of the Fund to offer resolutions to eligible persons
shall terminate after the date 10 years and 180 days after
the date of the enactment of this Act.
(c) CONTINUING OBLIGATIONS.—Until termination
of the Fund, the Fund shall continue to—
(1) make payments pursuant to resolution of-
fers for any eligible facility which is identified at the
312
time of acceptance of the resolution offer or within
10 years after the enactment of this Act; or
(2) reimburse insurers with respect to litigation
commenced or continued in connection with a resolu-
tion offer made on or before the date 10 years after
the date of the enactment of this Act, where the res-
olution offer was rejected by an eligible person or
not acted upon by an eligible person.
SEC. 818. TERMINATION OF FUND.
If, during any two-year calendar period commencing
after the date 10 years after the date of the enactment
of this Act, no eligible person makes a claim to the Fund
for payment of eligible costs, the Fund shall terminate,
and all amounts remaining in the Fund shall be deposited
in the General Fund of the Treasury.
TITLE IX—TAXES
SEC. 901. AMENDMENTS TO THE INTERNAL REVENUE CODE
OF 1986.
(a) Section 59A(e)(1) of the Internal Revenue Code
of 1986 (26 U.S.C. 59A(e)(1)) is amended by striking
‘‘January 1, 1996’’ and inserting instead ‘‘January 1,
2001’’.
(b) Section 4611(e) of the Internal Revenue Code of
1986 (26 U.S.C. 4611(e)) is amended—
313
(1) in paragraph (1), by striking ‘‘December
31, 1986’’ and inserting instead ‘‘December 31,
1995’’;
(2) in paragraph (2)—
(A) by striking ‘‘December 31, 1993 or
December 31, 1994’’ and inserting instead
‘‘December 31, 1998 or December 31, 1999’’;
(B) by striking ‘‘December 31, of 1994 or
1995, respectively’’ and inserting instead ‘‘De-
cember 31 of 1999 or 2000, respectively’’; and
(C) by striking ‘‘1994 or 1995’’ the last
place it appears and inserting instead ‘‘1999 or
2000’’;
(3) in paragraph (3)(A), by striking ‘‘January
1, 1987, and ending December 31, 1995’’ and in-
serting instead ‘‘January 1, 1996, and ending De-
cember 31, 2000’’; and
(4) in paragraph (3)(B)—
(A) in the title thereof, by striking ‘‘Janu-
ary 1, 1996’’ and inserting ‘‘January 1, 2001’’;
and
(B) by striking ‘‘Fund before January 1,
1996’’ and inserting instead ‘‘Fund before Jan-
uary 1, 2001’’.
314
SEC. 902. ENVIRONMENTAL FEES AND ASSESSMENTS ON IN-
SURANCE COMPANIES.
(a) IN GENERAL.—The Internal Revenue Code of
1986 is amended by inserting after section ll the fol-
lowing new section:
‘‘SEC. 
. ENVIRONMENTAL FEES AND ASSESSMENTS ON
INSURANCE COMPANIES.
‘‘[RESERVED]’’.
(b) CLERICAL AMENDMENTS.—The table of sections
for chapter ll of the Internal Revenue Code of 1986
is amended by inserting after the item relating to section
ll the following:
‘‘Sec. 
. Environmental fees and assessments on insurance
companies.’’.
SEC. 903. FUNDING PROVISIONS FOR ENVIRONMENTAL IN-
SURANCE RESOLUTION FUND.
(a) IN GENERAL.—
(1) Except as provided in section 802(f)(7) of
this Act, all expenditures of the Resolution Fund
shall be paid out of the fees and assessments im-
posed by section ll of the Internal Revenue Code.
(2) Except as may be expressly authorized by
the Secretary of the Treasury, all funds of the Reso-
lution Fund shall be maintained in the Treasury of
the United States. The Secretary may provide for
the disbursement of such funds to the Resolution
315
Fund or on behalf of the Resolution Fund under
such procedures, terms and conditions as the Sec-
retary may prescribe.
(b) TRANSFER TO RESOLUTION FUND.—The Sec-
retary of the Treasury shall transfer to the Resolution
Fund on October 1 of fiscal year 1995, 1996, 1997, 1998
and 1999, an amount equal to the fees and assessments
anticipated to be collected pursuant to section ll of the
Internal Revenue Code of 1986 during the then current
fiscal year.
(c) ADJUSTMENTS.—In each succeeding fiscal year
the Secretary of the Treasury shall adjust the amounts
transferred pursuant to paragraph (2) to reflect actual
collections of fees and assessments during the prior fiscal
year, except that with respect to the transfer made on Oc-
tober 1, 1999, the Resolution Fund shall reimburse the
Secretary the amount of such transfer subsequently deter-
mined by the Secretary to have exceeded actual collections
of fees and assessments during such fiscal year.
SEC. 904. RESOLUTION FUND NOT SUBJECT TO TAX.
The Resolution Fund, including its capital, reserves,
surplus, security holdings, and income shall be exempt
from all taxation now or hereafter imposed by the United
States (including any territory, dependency or possession
316
thereof) or any State, county, municipality or local taxing
authority.
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