I
106TH CONGRESS
2D SESSION
H. R. 5317
To increase accountability for Government spending and to reduce wasteful
Government spending.
IN THE HOUSE OF REPRESENTATIVES
SEPTEMBER 27, 2000
Mr. DEFAZIO introduced the following bill; which was referred to the Com-
mittee on Ways and Means, and in addition to the Committees on Com-
merce, Armed Services, Science, Resources, Banking and Financial Serv-
ices, International Relations, Veterans’ Affairs, and Intelligence (Perma-
nent Select), for a period to be subsequently determined by the Speaker,
in each case for consideration of such provisions as fall within the juris-
diction of the committee concerned
A BILL
To increase accountability for Government spending and to
reduce wasteful Government spending.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Comprehensive Fiscal Responsibility and Accountability
Act of 2000’’.
(b) TABLE OF CONTENTS.—The table of contents of
this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I—INCREASED ACCOUNTABILITY AND REDUCTION IN
MEDICARE WASTE AND FRAUD
Sec. 101. Increased medical reviews and antifraud activities.
Sec. 102. Expansion of medicare senior waste patrol nationwide.
Sec. 103. Application of inherent reasonableness to all Part B services other
than physicians’ services.
Sec. 104. Implementation of commercial claims auditing systems.
TITLE II—INCREASED ACCOUNTABILITY AND REDUCTION OF
WASTEFUL DEFENSE SPENDING
Sec. 201. Cancellation of F–22 aircraft program.
Sec. 202. Cancellation of Comanche helicopter program.
Sec. 203. Cancellation of Crusader artillery program.
Sec. 204. Limitation on procurement of Virginia class attack submarines.
Sec. 205. Termination of production of Trident D5 missiles.
Sec. 206. Reduction in nuclear delivery systems within overall limits of START
II.
Sec. 207. Creation of common NATO airlift capability and reduction of United
States costs for C–17 aircraft.
Sec. 208. Deferral of procurement of additional C–130 tactical airlift planes.
Sec. 209. Reduction in requirements for Air Force and Navy pilots in nonflying
positions.
Sec. 210. Reduction in number of officers so as to return to enlisted-to-officer
ratio in existence in 1989.
Sec. 211. Placement of Selective Service System in ‘‘deep standby’’ status.
Sec. 212. End of taxpayer support for defense industry mergers.
Sec. 213. Reduction of United States support for weapons sales abroad by
eliminating future assistance under the Foreign Military Fi-
nancing program.
Sec. 214. Limitation on proposed increases for National Missile Defense to fis-
cal year 2000 levels.
Sec. 215. Reduction of Central Intelligence Agency budget by 10 percent.
TITLE III—REDUCTION AND REFORM OF ANTIENVIRONMENTAL
SPENDING
Subtitle A—Program Terminations and Fees
Sec. 301. Nuclear Energy Research Initiative.
Sec. 302. National Ignition Facility.
Sec. 303. Tokamak Fusion Reactors.
Sec. 304. Diesel engine research.
Sec. 305. Nuclear waste fund fee.
Subtitle B—Mining Provisions
Sec. 311. Definitions.
Sec. 312. Royalties.
Sec. 313. Limitation on patent issuance.
Sec. 314. Mining claim maintenance requirements.
Sec. 315. Savings clause.
TITLE IV—AMENDMENTS OF INTERNAL REVENUE CODE OF 1986
Sec. 401. Repeal of exclusion of certain income of foreign sales corporations.
Sec. 402. Denial of deduction for payments of excessive compensation.
Sec. 403. Disallowance of deductions for advertising and promotional expenses
relating to tobacco product use.
Sec. 404. Source of income from certain sales of inventory property.
TITLE V—MISCELLANEOUS PROVISIONS TO REDUCE WASTEFUL
AND INEFFICIENT SPENDING
Sec. 501. International space station.
Sec. 502. Overseas Private Investment Corporation.
Sec. 503. Prohibition on provision of new credit by the Export-Import Bank of
the United States.
Sec. 504. Trade and Development Agency.
Sec. 505. United States international broadcasting.
Sec. 506. Joint procurement of pharmaceuticals by the Department of Defense
and the Department of Veterans Affairs.
TITLE I—INCREASED ACCOUNT-
ABILITY AND REDUCTION IN
MEDICARE 
WASTE 
AND
FRAUD
SEC. 101. INCREASED MEDICAL REVIEWS AND ANTIFRAUD
ACTIVITIES.
Section 1893(d) of the Social Security Act (42 U.S.C.
1395ddd(d)) is amended by inserting after paragraph (3)
the following:
‘‘(4) In the case of the year 2001 and each sub-
sequent year, procedures to ensure that—
‘‘(A) the number of medical reviews, utili-
zation reviews, and fraud reviews in a fiscal
year of providers of services and other individ-
uals and entities furnishing items and services
for which payment may be made under this title
(as a percentage of total claims paid) is equal
to at least twice the number of such reviews
that were conducted in fiscal year 1999;
‘‘(B) the number of provider cost reports
audited in a fiscal year is equal to at least—
‘‘(i) 15 percent of those submitted by
a home health agency or a skilled nursing
facility; and
‘‘(ii) twice the number of such reports
that were audited in fiscal year 1999 for
those submitted by any other provider of
services or any other individual or entity
furnishing items and services for which
payment may be made under this title; and
‘‘(C) in determining which providers of
services, individuals, entities, or cost reports to
review or audit, priority is placed on providers,
individuals, entities, and areas that the Sec-
retary determines are subject to abuse and
most likely to result in mispayment or overpay-
ment recoveries.’’.
SEC. 102. EXPANSION OF MEDICARE SENIOR WASTE PA-
TROL NATIONWIDE.
There are authorized to be appropriated $25,000,000
in fiscal year 2002, and such sums as are necessary for
fiscal years 2003 through 2005, for the purpose of car-
rying out, and expanding nationwide, the Health Care
Anti-Fraud, Waste and Abuse Community Volunteer
Demonstration Projects conducted by the Administration
on Aging pursuant to the Omnibus Consolidated Appro-
priations Act, 1997 (Public Law 104–208).
SEC. 103. APPLICATION OF INHERENT REASONABLENESS
TO ALL PART B SERVICES OTHER THAN PHY-
SICIANS’ SERVICES.
(a) REPEAL OF CERTAIN PROVISIONS OF THE BAL-
ANCED BUDGET ACT OF 1997.—
(1) REPEAL.—Section 4316 of the Balanced
Budget Act of 1997 (Public Law 105–33; 111 Stat.
390), and the amendments made by such section,
are repealed effective August 5, 1997.
(2) APPLICABILITY.—Effective August 5, 1997,
the Social Security Act shall be applied and adminis-
tered as if section 4316 of the Balanced Budget Act
of 1997 (Public Law 105–33; 111 Stat. 390), and
the amendments made by such section, had not been
enacted.
(b) APPLICATION OF INHERENT REASONABLENESS
TO ALL PART B SERVICES OTHER THAN PHYSICIANS’
SERVICES.—
(1) IN GENERAL.—Section 1842(b)(8) of the
Social Security Act (42 U.S.C. 1395u(b)(8)) is
amended to read as follows:
‘‘(8) The Secretary shall describe by regulation the
factors to be used in determining the cases (of particular
items or services) in which the application of this part
(other than to physicians’ services paid under section
1848) results in the determination of an amount that, be-
cause of its being grossly excessive or grossly deficient,
is not inherently reasonable, and provide in those cases
for the factors to be considered in establishing an amount
that is realistic and equitable.’’.
(2) EFFECTIVE DATE.—The amendment made
by this subsection shall take effect August 5, 1997.
SEC. 104. IMPLEMENTATION OF COMMERCIAL CLAIMS AU-
DITING SYSTEMS.
(a) COMMERCIAL CLAIMS AUDITING SYSTEMS.—
(1) IN GENERAL.—Not later than 90 days after
the date of enactment of this Act, the Secretary
shall require medicare carriers to use commercial
claims auditing systems in the processing of claims
under part B of the medicare program under title
XVIII of the Social Security Act (42 U.S.C. 1395j
et seq.) for the purpose of identifying billing errors
and abuses.
(2) SUPPLEMENT TO OTHER TECHNOLOGY.—
Commercial claims auditing systems required under
paragraph (1) shall be used as a supplement to any
other information technology used by medicare car-
riers in processing claims under the medicare pro-
gram.
(3) UNIFORMITY.—In order to ensure uni-
formity in processing claims under the medicare pro-
gram, the Secretary may require that medicare car-
riers utilize 1 or more common commercial claims
auditing systems, provided that the selection of such
system or systems by the Secretary shall be—
(A) after due consideration of competing
alternative systems; but
(B) without regard to any provision of law
that requires the use of competitive procedures
(as defined in section 4 of the Office of Federal
Procurement Policy Act (41 U.S.C. 403)) or
the publication of notice of proposed procure-
ments.
(4) IMPLEMENTATION.—Commercial claims au-
diting systems required under paragraph (1) shall be
implemented by all medicare carriers by not later
than 180 days after the date of enactment of this
Act.
(b) MINIMUM
SOFTWARE
REQUIREMENTS.—Any
commercial claims auditing system required to be imple-
mented pursuant to subsection (a) shall, at a minimum—
(1) be a commercial item;
(2) surpass the capability of systems currently
used in the processing of claims under part B of the
medicare program; and
(3) be modifiable to—
(A) satisfy pertinent statutory require-
ments of the medicare program; and
(B) conform to policies of the Secretary re-
garding claims processing under such program.
(c) DISCLOSURE.—
(1) IN GENERAL.—Except as provided in para-
graph (2), notwithstanding any other provision of
law, any information technology (or data related
thereto) utilized by medicare carriers in establishing
a commercial claims auditing system pursuant to
subsection (a) shall not be subject to public disclo-
sure.
(2) AUTHORIZED DISCLOSURE.—The Secretary
may authorize the public disclosure of the informa-
tion described in paragraph (1) if the Secretary de-
termines that—
(A) release of such information is in the
public interest; and
(B) the information to be released is not
protected from disclosure under section 552(b)
of title 5, United States Code.
(d) DEFINITIONS.—In this section—
(1) COMMERCIAL CLAIMS AUDITING SYSTEM.—
The term ‘‘commercial claims auditing system’’
means a commercial specialized auditing system that
includes edits which identify inappropriately coded
health care claims.
(2) COMMERCIAL ITEM.—The term ‘‘commer-
cial item’’ has the meaning given such term in sec-
tion 4 of the Office of Federal Procurement Policy
Act (41 U.S.C. 403).
(3) INFORMATION
TECHNOLOGY.—The term
‘‘information technology’’ has the meaning given
such term in subparagraphs (A) and (B) of section
5002(3) of the Information Technology Management
Reform Act of 1996 (40 U.S.C. 1401(3)), were such
information technology to be acquired by an execu-
tive agency.
(4) MEDICARE CARRIER.—The term ‘‘medicare
carrier’’ means an entity that has a contract with
the Secretary pursuant to section 1842(a) of the So-
cial Security Act (42 U.S.C. 1395u(a)).
(5) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Health and Human Services.
TITLE II—INCREASED ACCOUNT-
ABILITY AND REDUCTION OF
WASTEFUL DEFENSE SPEND-
ING
SEC. 201. CANCELLATION OF F–22 AIRCRAFT PROGRAM.
The Secretary of the Air Force shall cancel the F–
22 aircraft program. No funds may be obligated for that
program after the date of the enactment of this Act.
SEC. 202. CANCELLATION OF COMANCHE HELICOPTER
PROGRAM.
The Secretary of the Army shall cancel the Comanche
helicopter program. No funds may be obligated for that
program after the date of the enactment of this Act.
SEC. 203. CANCELLATION OF CRUSADER ARTILLERY PRO-
GRAM.
The Secretary of the Army shall cancel the Crusader
artillery program. No funds may be obligated for that pro-
gram after the date of the enactment of this Act.
SEC. 204. LIMITATION ON PROCUREMENT OF VIRGINIA
CLASS ATTACK SUBMARINES.
Through fiscal year 2009, the Secretary of the Navy
may enter into contracts for the procurement of no more
than eight Virginia class submarines (including contracts
entered into before the date of the enactment of this Act).
SEC. 205. TERMINATION OF PRODUCTION OF TRIDENT D5
MISSILES.
No funds may be obligated after the date of the en-
actment of this Act for production of Trident D5 missiles.
SEC. 206. REDUCTION IN NUCLEAR DELIVERY SYSTEMS
WITHIN OVERALL LIMITS OF START II.
The President shall take such steps as necessary to
reduce the nuclear delivery systems of the United States
so as to bring the number of such systems within the over-
all START II limits. For purposes of this section, the term
‘‘overall START II limits’’ means the limitations on nu-
clear delivery systems that would be in effect under the
START II Treaty, if ratified.
SEC. 207. CREATION OF COMMON NATO AIRLIFT CAPA-
BILITY AND REDUCTION OF UNITED STATES
COSTS FOR C–17 AIRCRAFT.
The Secretary of Defense shall seek to reach an
agreement with the other member nations of the North
Atlantic Treaty Organization to establish a common
NATO airlift capability consisting of 20 C–17 aircraft
with a cost-sharing arrangement similar to that for the
common NATO AWACS fleet. The 20 C–17 aircraft pro-
grammed by the Air Force for procurement in fiscal years
2002 and 2003 shall be transferred to NATO for that
common NATO airlift capability upon such an agreement
being entered into.
SEC. 208. DEFERRAL OF PROCUREMENT OF ADDITIONAL C–
130 TACTICAL AIRLIFT PLANES.
The Secretary of the Air Force may not enter into
a contract for procurement of additional C–130 aircraft
for fiscal years 2001 through 2005.
SEC. 209. REDUCTION IN REQUIREMENTS FOR AIR FORCE
AND NAVY PILOTS IN NONFLYING POSITIONS.
The Secretary of the Air Force and the Secretary of
the Navy shall each evaluate nonflying positions in the Air
Force and the Navy, respectively, that are currently re-
quired to be held by pilots and, to the maximum extent
practicable, shall modify the qualifications for those posi-
tions to reduce the requirements for pilots for those posi-
tions.
SEC. 210. REDUCTION IN NUMBER OF OFFICERS SO AS TO
RETURN TO ENLISTED-TO-OFFICER RATIO IN
EXISTENCE IN 1989.
The Secretary of Defense shall implement a program
to reduce the ratio of enlisted-to-officer personnel of each
of the Army, Navy, Air Force, and Marine Corps to a ratio
of at least six-to-one by not later than January 1, 2005.
The Secretary shall carry out that program through re-
ductions in officer promotions to general and flag officer
grades and through reductions in the number of officers
in pay grades O–4, O–5, and O–6 through voluntary pro-
grams under existing provisions of law, including tem-
porary early retirement authority, voluntary separation in-
centive, and the special separation benefit.
SEC. 211. PLACEMENT OF SELECTIVE SERVICE SYSTEM IN
‘‘DEEP STANDBY’’ STATUS.
(a) RESTRICTION OF REGISTRATION REQUIREMENT
TO PERIODS OF NATIONAL EMERGENCIES.—(1) Section
3(a) of the Military Selective Service Act (50 U.S.C. App.
453(a)) is amended by inserting after ‘‘this title,’’ the fol-
lowing: ‘‘during any period in which a declaration of na-
tional emergency is in effect,’’.
(2) Section 3 of such Act (50 U.S.C. App. 453) is
further amended by adding at the end the following new
subsections:
‘‘(c) The President shall have the authority to declare
a period of national emergency during which the registra-
tion requirements of subsection (a) shall apply. Subject
to subsection (d), the President shall provide for the
prompt termination of the declaration of national emer-
gency upon the termination of the national emergency.
‘‘(d) A declaration of national emergency under sub-
section (c) shall terminate upon the expiration of a 10-
day period of continuous session of Congress after the
date of the declaration unless Congress enacts a law before
the end of that period ratifying that specific declaration.
For purposes of this subsection, the continuity of a session
of Congress is broken only by an adjournment of the Con-
gress sine die, and the days on which either House is not
in session because of an adjournment of more than three
days to a day certain are excluded in the computation of
the 10-day period.’’.
(3) Section 12 of such Act (50 U.S.C. App. 462) is
amended by adding at the end the following new sub-
section:
‘‘(h) In addition to the exception provided by sub-
section (g), a person may not be denied a right, privilege,
benefit, or employment position under Federal law on the
grounds that the person failed to present himself for and
submit to registration under section 3 before the date of
the enactment of this subsection.’’.
(b) SUSPENSION
OF
ACTIVITIES
OF
SELECTIVE
SERVICE SYSTEM BOARDS.—Section 17 of such Act (50
of the claim shall be entitled to the issuance of a patent
in the same manner and degree to which such claim holder
would have been entitled to prior to the enactment of this
section, unless and until such determinations are with-
drawn or invalidated by the Secretary or by a court of
the United States.
SEC. 314. MINING CLAIM MAINTENANCE REQUIREMENTS.
(a) IN GENERAL.—(1) The holder of each mining
claim converted under the general mining laws shall pay
to the Secretary an annual claim maintenance fee of $100
per claim.
(2) The holder of each mining claim located pursuant
to the general mining laws shall pay to the Secretary an
annual claim maintenance fee of $200 per claim.
(b) TIME OF PAYMENT.—The claim maintenance fee
payable pursuant to subsection (a) for any year shall be
paid on or before August 31 of each year, except that in
the case of claims referred to in subsection (a)(2), for the
initial calendar year in which the location is made, the
locator shall pay the initial claim maintenance fee at the
time the location notice is recorded with the Bureau of
Land Management.
(c) OIL SHALE CLAIMS SUBJECT TO CLAIM MAINTE-
NANCE FEES UNDER ENERGY POLICY ACT OF 1992.—
This section shall not apply to any oil shale claims for