In the Senate of the United States,
May 23, 2002.
Resolved, That the bill from the House of Representa-
tives (H.R. 3009) entitled ‘‘An Act to extend the Andean
Trade Preference Act, to grant additional trade benefits
under that Act, and for other purposes.’’, do pass with the
following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Trade Act of 2002’’.
HR 3009 EAS
SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF
CONTENTS.
(a) DIVISIONS.—This Act is organized into 4 divisions
as follows:
(1) DIVISION A.—Trade Adjustment Assistance.
(2) DIVISION B.—Bipartisan Trade Promotion
Authority.
(3) DIVISION C.—Andean Trade Preference Act.
(4) DIVISION
D.—Extension of Certain Pref-
erential Trade Treatment and Other Provisions.
(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title.
Sec. 2. Organization of Act into divisions; table of contents.
DIVISION A—TRADE ADJUSTMENT ASSISTANCE
Sec. 101. Short title.
TITLE I—TRADE ADJUSTMENT ASSISTANCE FOR WORKERS
Sec. 111. Adjustment assistance for workers.
Sec. 112. Displaced worker self-employment training pilot program.
TITLE II—TRADE ADJUSTMENT ASSISTANCE FOR FIRMS
Sec. 201. Reauthorization of program.
TITLE III—TRADE ADJUSTMENT ASSISTANCE FOR COMMUNITIES
Sec. 301. Purpose.
Sec. 302. Trade adjustment assistance for communities.
TITLE IV—TRADE ADJUSTMENT ASSISTANCE FOR FARMERS
Sec. 401. Trade adjustment assistance for farmers.
TITLE V—TRADE ADJUSTMENT ASSISTANCE FOR FISHERMEN
Sec. 501. Trade adjustment assistance for fishermen.
TITLE VI—HEALTH CARE COVERAGE OPTIONS FOR WORKERS
ELIGIBLE FOR TRADE ADJUSTMENT ASSISTANCE
Sec. 601. Trade adjustment assistance health insurance credit.
HR 3009 EAS
Sec. 602. Advance payment of trade adjustment assistance health insurance cred-
it.
Sec. 603. Health insurance coverage for eligible individuals.
TITLE VII—CONFORMING AMENDMENTS AND EFFECTIVE DATE
Sec. 701. Conforming amendments.
TITLE VIII—SAVINGS PROVISIONS AND EFFECTIVE DATE
Sec. 801. Savings provisions.
Sec. 802. Effective date.
TITLE IX—REVENUE PROVISIONS
Sec. 901. Custom user fees.
TITLE X—MISCELLANEOUS PROVISIONS
Sec. 1001. Country of origin labeling of fish and shellfish products.
Sec. 1002. Sugar policy.
TITLE XI—CUSTOMS REAUTHORIZATION
Sec. 1101. Short title.
Subtitle A—United States Customs Service
CHAPTER 1—DRUG ENFORCEMENT AND OTHER NONCOMMERCIAL AND
COMMERCIAL OPERATIONS
Sec. 1111. Authorization of appropriations for noncommercial operations, com-
mercial operations, and air and marine interdiction.
Sec. 1112. Antiterrorist and illicit narcotics detection equipment for the United
States-Mexico border, United States-Canada border, and Florida
and the Gulf Coast seaports.
Sec. 1113. Compliance with performance plan requirements.
CHAPTER 2—CHILD CYBER-SMUGGLING CENTER OF THE CUSTOMS SERVICE
Sec. 1121. Authorization of appropriations for program to prevent child pornog-
raphy/child sexual exploitation.
CHAPTER 3—MISCELLANEOUS PROVISIONS
Sec. 1131. Additional Customs Service officers for United States-Canada border.
Sec. 1132. Study and report relating to personnel practices of the Customs Serv-
ice.
Sec. 1133. Study and report relating to accounting and auditing procedures of
the Customs Service.
Sec. 1134. Establishment and implementation of cost accounting system; reports.
Sec. 1135. Study and report relating to timeliness of prospective rulings.
Sec. 1136. Study and report relating to customs user fees.
Sec. 1137. Authorization of appropriations for Customs staffing.
CHAPTER 4—ANTITERRORISM PROVISIONS
Sec. 1141. Emergency adjustments to offices, ports of entry, or staffing of the Cus-
toms Service.
Sec. 1142. Mandatory advanced electronic information for cargo and passengers.
HR 3009 EAS
Sec. 1143. Border search authority for certain contraband in outbound mail.
Sec. 1144. Authorization of appropriations for reestablishment of Customs oper-
ations in New York City.
CHAPTER 5—TEXTILE TRANSSHIPMENT PROVISIONS
Sec. 1151. GAO audit of textile transshipment monitoring by Customs Service.
Sec. 1152. Authorization of appropriations for textile transshipment enforcement
operations.
Sec. 1153. Implementation of the African Growth and Opportunity Act.
Subtitle B—Office of the United States Trade Representative
Sec. 1161. Authorization of appropriations.
Subtitle C—United States International Trade Commission
Sec. 1171. Authorization of appropriations.
Subtitle D—Other Trade Provisions
Sec. 1181. Increase in aggregate value of articles exempt from duty acquired
abroad by United States residents.
Sec. 1182. Regulatory audit procedures.
Subtitle E—Sense of Senate
Sec. 1191. Sense of Senate.
DIVISION B—BIPARTISAN TRADE PROMOTION AUTHORITY
TITLE XXI—TRADE PROMOTION AUTHORITY
Sec. 2101. Short title; findings.
Sec. 2102. Trade negotiating objectives.
Sec. 2103. Trade agreements authority.
Sec. 2104. Consultations and assessment.
Sec. 2105. Implementation of trade agreements.
Sec. 2106. Treatment of certain trade agreements for which negotiations have al-
ready begun.
Sec. 2107. Congressional Oversight Group.
Sec. 2108. Additional implementation and enforcement requirements.
Sec. 2109. Committee staff.
Sec. 2110. Conforming amendments.
Sec. 2111. Report on impact of trade promotion authority.
Sec. 2112. Identification of small business advocate at WTO.
Sec. 2113. Definitions.
DIVISION C—ANDEAN TRADE PREFERENCE ACT
TITLE XXXI—ANDEAN TRADE PREFERENCE
Sec. 3101. Short title; findings.
Sec. 3102. Temporary provisions.
Sec. 3103. Termination.
TITLE XXXII—MISCELLANEOUS TRADE BENEFITS
Sec. 3201. Wool provisions.
HR 3009 EAS
Sec. 3202. Duty suspension on wool.
Sec. 3203. Ceiling fans.
Sec. 3204. Certain steam or other vapor generating boilers used in nuclear facili-
ties.
DIVISION D—EXTENSION OF CERTAIN PREFERENTIAL TRADE
TREATMENT AND OTHER PROVISIONS
TITLE XLI—EXTENSION OF GENERALIZED SYSTEM OF
PREFERENCES
Sec. 4101. Generalized system of preferences.
Sec. 4102. Amendments to generalized system of preferences.
TITLE XLII—OTHER PROVISIONS
Sec. 4201. Transparency in NAFTA tribunals.
Sec. 4202. Expression of solidarity with Israel in its fight against terrorism.
Sec. 4203. Limitation on use of certain revenue.
Sec. 4204. Sense of the Senate regarding the United States-Russian Federation
summit meeting, May 2002.
Sec. 4205. No appropriations.
DIVISION A—TRADE
ADJUSTMENT ASSISTANCE
SEC. 101. SHORT TITLE.
This division may be cited as the ‘‘Trade Adjustment
Assistance Reform Act of 2002’’.
TITLE I—TRADE ADJUSTMENT
ASSISTANCE FOR WORKERS
SEC. 111. ADJUSTMENT ASSISTANCE FOR WORKERS.
Chapter 2 of title II of the Trade Act of 1974 (19
U.S.C. 2271 et seq.) is amended to read as follows:
‘‘CHAPTER 2—ADJUSTMENT ASSISTANCE
FOR WORKERS
‘‘Subchapter A—General Provisions
‘‘SEC. 221. DEFINITIONS.
‘‘In this chapter:
HR 3009 EAS
‘‘(1) ADDITIONAL
COMPENSATION.—The term
‘additional compensation’ has the meaning given that
term in section 205(3) of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C.
3304 note).
‘‘(2) ADVERSELY AFFECTED EMPLOYMENT.—The
term ‘adversely affected employment’ means employ-
ment in a firm or appropriate subdivision of a firm,
if workers of that firm or subdivision are eligible to
apply for adjustment assistance under this chapter.
‘‘(3) ADVERSELY AFFECTED WORKER.—
‘‘(A) IN GENERAL.—The term ‘adversely af-
fected worker’ means a worker who is a member
of a group of workers certified by the Secretary
under section 231(a)(1) as eligible for trade ad-
justment assistance.
‘‘(B) ADVERSELY
AFFECTED
SECONDARY
WORKER.—The term ‘adversely affected worker’
includes an adversely affected secondary worker
who is a member of a group of workers employed
at a downstream producer or a supplier, that is
certified by the Secretary under section 231(a)(2)
as eligible for trade adjustment assistance.
‘‘(4) AVERAGE WEEKLY HOURS.—The term ‘aver-
age weekly hours’ means the average hours worked by
HR 3009 EAS
a worker (excluding overtime) in the employment
from which the worker has been or claims to have
been separated in the 52 weeks (excluding weeks dur-
ing which the worker was on leave for purposes of va-
cation, sickness, maternity, military service, or any
other employer-authorized leave) preceding the week
specified in paragraph (5)(B)(ii).
‘‘(5) AVERAGE WEEKLY WAGE.—
‘‘(A) IN
GENERAL.—The term ‘average
weekly wage’ means 1⁄13 of the total wages paid
to an individual in the high quarter.
‘‘(B) DEFINITIONS.—For purposes of com-
puting the average weekly wage—
‘‘(i) the term ‘high quarter’ means the
quarter in which the individual’s total
wages were highest among the first 4 of the
last 5 completed calendar quarters imme-
diately preceding the quarter in which oc-
curs the week with respect to which the com-
putation is made; and
‘‘(ii) the term ‘week’ means the week in
which total separation occurred, or, in cases
where partial separation is claimed, an ap-
propriate week, as defined in regulations
prescribed by the Secretary.
HR 3009 EAS
‘‘(6) BENEFIT PERIOD.—The term ‘benefit pe-
riod’ means, with respect to an individual, the fol-
lowing:
‘‘(A) STATE
LAW.—The benefit year and
any ensuing period, as determined under appli-
cable State law, during which the individual is
eligible for regular compensation, additional
compensation, or extended compensation.
‘‘(B) FEDERAL LAW.—The equivalent to the
benefit year or ensuing period provided for
under the applicable Federal unemployment in-
surance law.
‘‘(7) BENEFIT
YEAR.—The term ‘benefit year’
has the same meaning given that term in the Federal-
State Extended Unemployment Compensation Act of
1970 (26 U.S.C. 3304 note).
‘‘(8) CONTRIBUTED
IMPORTANTLY.—The term
‘contributed importantly’ means a cause that is im-
portant but not necessarily more important than any
other cause.
‘‘(9) COOPERATING
STATE.—The term ‘cooper-
ating State’ means any State that has entered into an
agreement with the Secretary under section 222.
‘‘(10) CUSTOMIZED TRAINING.—The term ‘cus-
tomized training’ means training that is designed to
HR 3009 EAS
meet the special requirements of an employer (includ-
ing a group of employers) and that is conducted with
a commitment by the employer to employ an indi-
vidual on successful completion of the training.
‘‘(11) 
DOWNSTREAM
PRODUCER.—The 
term
‘downstream producer’ means a firm that performs
additional, value-added production processes for a
firm or subdivision, including a firm that performs
final assembly or finishing, directly for another firm
(or subdivision), for articles that were the basis for a
certification of eligibility under section 231(a)(1) of a
group of workers employed by such other firm, if the
certification of eligibility under section 231(a)(1) is
based on an increase in imports from, or a shift in
production to, Canada or Mexico.
‘‘(12) EXTENDED COMPENSATION.—The term ‘ex-
tended compensation’ has the meaning given that
term in section 205(4) of the Federal-State Extended
Unemployment Compensation Act of 1970 (26 U.S.C.
3304 note).
‘‘(13) JOB FINDING CLUB.—The term ‘job finding
club’ means a job search workshop which includes a
period of structured, supervised activity in which
participants attempt to obtain jobs.
HR 3009 EAS
‘‘(14) JOB
SEARCH
PROGRAM.—The term ‘job
search program’ means a job search workshop or job
finding club.
‘‘(15) JOB SEARCH WORKSHOP.—The term ‘job
search workshop’ means a short (1- to 3-day) sem-
inar, covering subjects such as labor market informa-
tion, re´sume´ writing, interviewing techniques, and
techniques for finding job openings, that is designed
to provide participants with knowledge that will en-
able the participants to find jobs.
‘‘(16) ON-THE-JOB TRAINING.—The term ‘on-the-
job training’ has the same meaning as that term has
in section 101(31) of the Workforce Investment Act.
‘‘(17) PARTIAL SEPARATION.—A partial separa-
tion shall be considered to exist with respect to an in-
dividual if—
‘‘(A) the individual has had a 20-percent or
greater reduction in the average weekly hours
worked by that individual in adversely affected
employment; and
‘‘(B) the individual has had a 20-percent or
greater reduction in the average weekly wage of
the individual with respect to adversely affected
employment.
HR 3009 EAS
‘‘(18) REGULAR COMPENSATION.—The term ‘reg-
ular compensation’ has the meaning given that term
in section 205(2) of the Federal-State Extended Un-
employment Compensation Act of 1970 (26 U.S.C.
3304 note).
‘‘(19) REGULAR
STATE
UNEMPLOYMENT.—The
term ‘regular State unemployment’ means unemploy-
ment insurance benefits other than an extension of
unemployment insurance by a State using its own
funds beyond either the 26-week period mandated by
Federal law or any additional period provided for
under the Federal-State Extended Unemployment
Compensation Act of 1970 (26 U.S.C. 3304 note).
‘‘(20) SECRETARY.—The term ‘Secretary’ means
the Secretary of Labor.
‘‘(21) STATE.—The term ‘State’ includes each
State of the United States, the District of Columbia,
and the Commonwealth of Puerto Rico.
‘‘(22) STATE AGENCY.—The term ‘State agency’
means the agency of the State that administers the
State law.
‘‘(23) STATE LAW.—The term ‘State law’ means
the unemployment insurance law of the State ap-
proved by the Secretary under section 3304 of the In-
ternal Revenue Code of 1986.
HR 3009 EAS
‘‘(24) SUPPLIER.—The term ‘supplier’ means a
firm that produces and supplies directly to another
firm (or subdivision) component parts for articles
that were the basis for a certification of eligibility
under section 231(a)(1) of a group of workers em-
ployed by such other firm.
‘‘(25) TOTAL SEPARATION.—The term ‘total sep-
aration’ means the layoff or severance of an indi-
vidual from employment with a firm in which or in
a subdivision of which, adversely affected employment
exists.
‘‘(26) UNEMPLOYMENT
INSURANCE.—The term
‘unemployment insurance’ means the unemployment
compensation payable to an individual under any
State law or Federal unemployment compensation
law, including chapter 85 of title 5, United States
Code, and the Railroad Unemployment Insurance Act
(45 U.S.C. 351 et seq.).
‘‘(27) WEEK.—Except as provided in paragraph
5(B)(ii), the term ‘week’ means a week as defined in
the applicable State law.
‘‘(28) WEEK
OF
UNEMPLOYMENT.—The term
‘week of unemployment’ means a week of total, part-
total, or partial unemployment as determined under
HR 3009 EAS
the applicable State law or Federal unemployment
insurance law.
‘‘SEC. 222. AGREEMENTS WITH STATES.
‘‘(a) IN GENERAL.—The Secretary is authorized on be-
half of the United States to enter into an agreement with
any State or with any State agency (referred to in this
chapter as ‘cooperating State’ and ‘cooperating State agen-
cy’, respectively) to facilitate the provision of services under
this chapter.
‘‘(b) PROVISIONS OF AGREEMENTS.—Under an agree-
ment entered into under subsection (a)—
‘‘(1) the cooperating State agency as an agent of
the United States shall—
‘‘(A) facilitate the early filing of petitions
under section 231(b) for any group of workers
that the State considers is likely to be eligible for
benefits under this chapter;
‘‘(B) assist the Secretary in the review of
any petition submitted from that State by
verifying the information and providing other
assistance as the Secretary may request;
‘‘(C) advise each worker who applies for un-
employment insurance of the available benefits
under this chapter and the procedures and dead-
lines for applying for those benefits and of the
HR 3009 EAS
worker’s potential eligibility for assistance with
health care coverage through the trade adjust-
ment assistance health insurance credit under
section 6429 of the Internal Revenue Code of
1986 or under funds made available to the State
to carry out section 173(f) of the Workforce In-
vestment Act of 1998;
‘‘(D) receive applications for services under
this chapter;
‘‘(E) provide payments on the basis pro-
vided for in this chapter;
‘‘(F) advise each adversely affected worker
to apply for training under section 240, and of
the deadlines for benefits related to enrollment in
training under this chapter;
‘‘(G) ensure that the State employees with
responsibility for carrying out an agreement en-
tered into under subsection (a)—
‘‘(i) inform adversely affected workers
covered by a certification issued under sec-
tion 231(c) of the workers’ (and individual
member’s of the worker’s family) potential
eligibility for—
‘‘(I) medical assistance under the
medicaid program established under
HR 3009 EAS
title XIX of the Social Security Act (42
U.S.C. 1396a et seq.);
‘‘(II) child health assistance under
the State children’s health insurance
program established under title XXI of
that Act (42 U.S.C. 1397aa et seq.);
‘‘(III) child care services for
which assistance is provided under the
Child Care and Development Block
Grant Act of 1990 (42 U.S.C. 9858 et
seq.);
‘‘(IV) the trade adjustment assist-
ance health insurance credit under sec-
tion 6429 of the Internal Revenue Code
of 1986 and health care coverage assist-
ance under funds made available to the
State to carry out section 173(f) of the
Workforce Investment Act of 1998; and
‘‘(V) other Federal- and State-
funded health care, child care, trans-
portation, and assistance programs for
which the workers may be eligible; and
‘‘(ii) provide such workers with infor-
mation regarding how to apply for such as-
sistance, services, and programs, including
HR 3009 EAS
notification that the election period for
COBRA continuation may be extended for
certain workers under section 603 of the
Trade Adjustment Assistance Reform Act of
2002;
‘‘(H) provide adversely affected workers re-
ferral to training services approved under title I
of the Workforce Investment Act of 1998 (29
U.S.C. 2801 et seq.), and any other appropriate
Federal or State program designed to assist dis-
located workers or unemployed individuals, con-
sistent with the requirements of subsection (b)(2);
‘‘(I) collect and transmit to the Secretary
any data as the Secretary shall reasonably re-
quire to assist the Secretary in assuring the ef-
fective and efficient performance of the programs
carried out under this chapter; and
‘‘(J) otherwise actively cooperate with the
Secretary and with other Federal and State
agencies in providing payments and services
under this chapter, including participation in
the performance measurement system established
by the Secretary under section 224.
‘‘(2) the cooperating State shall—
HR 3009 EAS
‘‘(A) arrange for the provision of services
under this chapter through the one-stop delivery
system established in section 134(c) of the Work-
force Investment Act of 1998 (29 U.S.C. 2864(c))
where available;
‘‘(B) provide to adversely affected workers
statewide rapid response activities under section
134(a)(2)(A) of the Workforce Investment Act of
1998 (29 U.S.C. 2864(a)(2)(A)) in the same
manner and to the same extent as any other
worker eligible for those activities;
‘‘(C) afford adversely affected workers the
services provided under section 134(d) of the
Workforce Investment Act of 1998 (29 U.S.C.
92864(d)) in the same manner and to the same
extent as any other worker eligible for those serv-
ices; and
‘‘(D) provide training services under this
chapter using training providers approved under
title I of the Workforce Investment Act of 1998
(29 U.S.C. 2801 et seq.) which may include com-
munity colleges, and other effective providers of
training services.
‘‘(c) OTHER PROVISIONS.—
HR 3009 EAS
‘‘(1) APPROVAL OF TRAINING PROVIDERS.—The
Secretary shall ensure that the training services pro-
vided by cooperating States are provided by organiza-
tions approved by the Secretary to effectively assist
workers eligible for assistance under this chapter.
‘‘(2) AMENDMENT, 
SUSPENSION, 
OR
TERMI-
NATION OF AGREEMENTS.—Each agreement entered
into under this section shall provide the terms and
conditions upon which the agreement may be amend-
ed, suspended, or terminated.
‘‘(3) EFFECT ON UNEMPLOYMENT INSURANCE.—
Each agreement entered into under this section shall
provide that unemployment insurance otherwise pay-
able to any adversely affected worker will not be de-
nied or reduced for any week by reason of any right
to payments under this chapter.
‘‘(4) COORDINATION OF WORKFORCE INVESTMENT
ACTIVITIES.—In order to promote the coordination of
Workforce Investment Act activities in each State
with activities carried out under this chapter, each
agreement entered into under this section shall pro-
vide that the State shall submit to the Secretary, in
such form as the Secretary may require, the descrip-
tion and information described in paragraphs (8)
HR 3009 EAS
and (14) of section 112(b) of the Workforce Invest-
ment Act of 1998 (29 U.S.C. 2822(b) (8) and (14)).
‘‘(d) REVIEW OF STATE DETERMINATIONS.—
‘‘(1) IN GENERAL.—A determination by a co-
operating State regarding entitlement to program
benefits under this chapter is subject to review in the
same manner and to the same extent as determina-
tions under the applicable State law.
‘‘(2) APPEAL.—A review undertaken by a cooper-
ating State under paragraph (1) may be appealed to
the Secretary pursuant to such regulations as the Sec-
retary may prescribe.
‘‘SEC. 223. ADMINISTRATION ABSENT STATE AGREEMENT.
‘‘(a) IN GENERAL.—In any State in which there is no
agreement in force under section 222, the Secretary shall
arrange, under regulations prescribed by the Secretary, for
the performance of all necessary functions under this chap-
ter, including providing a hearing for any worker whose
application for payment is denied.
‘‘(b) FINALITY OF DETERMINATION.—A final deter-
mination under subsection (a) regarding entitlement to pro-
gram benefits under this chapter is subject to review by the
courts in the same manner and to the same extent as is
provided by section 205(g) of the Social Security Act (42
U.S.C. 405(g)).
HR 3009 EAS
‘‘SEC. 224. DATA COLLECTION; EVALUATIONS; REPORTS.
‘‘(a) DATA COLLECTION.—The Secretary shall, pursu-
ant to regulations prescribed by the Secretary, collect any
data necessary to meet the requirements of this chapter.
‘‘(b) PERFORMANCE EVALUATIONS.—The Secretary
shall establish an effective performance measuring system
to evaluate the following:
‘‘(1) PROGRAM PERFORMANCE.—
‘‘(A) speed of petition processing;
‘‘(B) quality of petition processing;
‘‘(C) cost of training programs;
‘‘(D) coordination of programs under this
title with programs under the Workforce Invest-
ment Act (29 U.S.C. 2801 et seq.);
‘‘(E) length of time participants take to
enter and complete training programs;
‘‘(F) the effectiveness of individual contrac-
tors in providing appropriate retraining infor-
mation;
‘‘(G) the effectiveness of individual approved
training programs in helping workers obtain em-
ployment;
‘‘(H) best practices related to the provision
of benefits and retraining; and
HR 3009 EAS
‘‘(I) other data to evaluate how individual
States are implementing the requirements of this
title.
‘‘(2) PARTICIPANT OUTCOMES.—
‘‘(A) reemployment rates;
‘‘(B) types of jobs in which displaced work-
ers have been placed;
‘‘(C) wage and benefit maintenance results;
‘‘(D) training completion rates; and
‘‘(E) other data to evaluate how effective
programs under this chapter are for partici-
pants, taking into consideration current eco-
nomic conditions in the State.
‘‘(3) PROGRAM PARTICIPATION DATA.—
‘‘(A) the number of workers receiving bene-
fits and the type of benefits being received;
‘‘(B) the number of workers enrolled in, and
the duration of, training by major types of
training;
‘‘(C) earnings history of workers that re-
flects wages before separation and wages in any
job obtained after receiving benefits under this
Act;
‘‘(D) the cause of dislocation identified in
each certified petition;
HR 3009 EAS
‘‘(E) the number of petitions filed and
workers certified in each United States congres-
sional district; and
‘‘(F) the number of workers who received
waivers under each category identified in section
235(c)(1) and the average duration of such waiv-
ers.
‘‘(c) STATE PARTICIPATION.—The Secretary shall en-
sure, to the extent practicable, through oversight and effec-
tive internal control measures the following:
‘‘(1) STATE
PARTICIPATION.—Participation by
each State in the performance measurement system
established under subsection (b).
‘‘(2) MONITORING.—Monitoring by each State of
internal control measures with respect to performance
measurement data collected by each State.
‘‘(3) RESPONSE.—The quality and speed of the
rapid response provided by each State under section
134(a)(2)(A) of the Workforce Investment Act of 1998
(29 U.S.C. 2864(a)(2)(A)).
‘‘(d) REPORTS.—
‘‘(1) REPORTS BY THE SECRETARY.—
‘‘(A) INITIAL
REPORT.—Not later than 6
months after the date of enactment of the Trade
Adjustment Assistance Reform Act of 2002, the
HR 3009 EAS
Secretary shall submit to the Committee on Fi-
nance of the Senate and the Committee on Ways
and Means of the House of Representatives a re-
port that—
‘‘(i) describes the performance measure-
ment system established under subsection
(b);
‘‘(ii) includes analysis of data collected
through the system established under sub-
section (b);
‘‘(iii) includes information identifying
the number of workers who received waivers
under section 235(c) and the average dura-
tion of those during the preceding year;
‘‘(iv) describes and analyzes State par-
ticipation in the system;
‘‘(v) analyzes the quality and speed of
the rapid response provided by each State
under section 134(a)(2)(A) of the Workforce
Investment 
Act 
of 
1998 
(29 
U.S.C.
2864(a)(2)(A)); and
‘‘(vi) provides recommendations for
program improvements.
‘‘(B) ANNUAL REPORT.—Not later than 1
year after the date the report is submitted under
HR 3009 EAS
subparagraph (A), and annually thereafter, the
Secretary shall submit to the Committee on Fi-
nance of the Senate and the Committee on Ways
and Means of the House of Representatives a re-
port that includes the information collected
under clauses (ii) through (v) of subparagraph
(A).
‘‘(2) STATE REPORTS.—Pursuant to regulations
prescribed by the Secretary, each State shall submit
to the Secretary a report that details its participation
in the programs established under this chapter, and
that contains the data necessary to allow the Sec-
retary to submit the report required under paragraph
(1).
‘‘(3) PUBLICATION.—The Secretary shall make
available to each State, and other public and private
organizations as determined by the Secretary, the
data gathered and evaluated through the performance
measurement system established under paragraph (1).
‘‘SEC. 225. STUDY BY SECRETARY OF LABOR WHEN INTER-
NATIONAL TRADE COMMISSION BEGINS IN-
VESTIGATION.
‘‘(a) NOTIFICATION OF INVESTIGATION.—Whenever the
International Trade Commission begins an investigation
under section 202 with respect to an industry, the Commis-
HR 3009 EAS
sion shall immediately notify the Secretary of that inves-
tigation, and the Secretary shall immediately begin a study
of—
‘‘(1) the number of workers in the domestic in-
dustry producing the like or directly competitive arti-
cle who have been or are likely to be certified as eligi-
ble for adjustment assistance under this chapter; and
‘‘(2) the extent to which the adjustment of those
workers to the import competition may be facilitated
through the use of existing programs.
‘‘(b) REPORT.—
‘‘(1) IN GENERAL.—The Secretary shall provide
a report based on the study conducted under sub-
section (a) to the President not later than 15 days
after the day on which the Commission makes its re-
port under section 202(f).
‘‘(2) 
PUBLICATION.—The 
Secretary 
shall
promptly make public the report provided to the
President under paragraph (1) (with the exception of
information which the Secretary determines to be con-
fidential) and shall have a summary of the report
published in the Federal Register.
HR 3009 EAS
‘‘SEC. 226. REPORT BY SECRETARY OF LABOR ON LIKELY IM-
PACT OF TRADE AGREEMENTS.
‘‘(a) IN GENERAL.—At least 90 calendar days before
the day on which the President enters into a trade agree-
ment under section 2103(b) of the Bipartisan Trade Pro-
motion Authority Act of 2002, the President shall provide
the Secretary with details of the agreement as it exists at
that time and direct the Secretary to prepare and submit
the assessment described in subsection (b). Between the time
the President instructs the Secretary to prepare the assess-
ment under this section and the time the Secretary submits
the assessment to Congress, the President shall keep the Sec-
retary current with respect to the details of the agreement.
‘‘(b) ASSESSMENT.—Not later than 90 calendar days
after the President enters into the agreement, the Secretary
shall submit to the President, the Committee on Finance
of the Senate, the Committee on Ways and Means of the
House of Representatives, and the Committees on Appro-
priations of the Senate and the House of Representatives,
a report assessing the likely impact of the agreement on em-
ployment in the United States economy as a whole and in
specific industrial sectors, including the extent of worker
dislocations likely to result from implementation of the
agreement. The report shall include an estimate of the fi-
nancial and administrative resources necessary to provide
HR 3009 EAS
trade adjustment assistance to all potentially adversely af-
fected workers.
‘‘Subchapter B—Certifications
‘‘SEC. 
231. 
CERTIFICATION 
AS 
ADVERSELY 
AFFECTED
WORKERS.
‘‘(a) ELIGIBILITY FOR CERTIFICATION.—
‘‘(1) GENERAL RULE.—A group of workers (in-
cluding workers in any agricultural firm or subdivi-
sion of an agricultural firm) shall be certified by the
Secretary as adversely affected workers and eligible
for trade adjustment assistance benefits under this
chapter pursuant to a petition filed under subsection
(b) if the Secretary determines that a significant
number or proportion of the workers in the workers’
firm or an appropriate subdivision of the firm have
become totally or partially separated, or are threat-
ened to become totally or partially separated, and
that either—
‘‘(A)(i) the sales or production, or both, of
such firm or subdivision have decreased abso-
lutely;
‘‘(ii) the value or volume of imports of arti-
cles like or directly competitive with articles pro-
duced by that firm or subdivision have increased;
and
HR 3009 EAS
‘‘(iii) the increase in the value or volume of
imports described in clause (ii) contributed im-
portantly to the workers’ separation or threat of
separation and to the decline in the sales or pro-
duction of such firm or subdivision; or
‘‘(B) there has been a shift in production by
the workers’ firm or subdivision to a foreign
country of articles like or directly competitive
with articles which are produced by that firm or
subdivision and the shift in production contrib-
uted importantly to the workers’ separation or
threat of separation.
‘‘(2) ADVERSELY AFFECTED SECONDARY WORK-
ER.—A group of workers (including workers in any
agricultural firm or subdivision of an agricultural
firm) shall be certified by the Secretary as adversely
affected and eligible for trade adjustment assistance
benefits under this chapter pursuant to a petition
filed under subsection (b) if the Secretary determines
that—
‘‘(A) a significant number or proportion of
the workers in the workers’ firm or an appro-
priate subdivision of the firm have become to-
tally or partially separated, or are threatened to
become totally or partially separated;
HR 3009 EAS
‘‘(B) the workers’ firm (or subdivision) is a
supplier or downstream producer to a firm (or
subdivision) that employed a group of workers
who received a certification of eligibility under
paragraph (1), and such supply or production is
related to the article that was the basis for such
certification (as defined in section 221 (11) and
(24)); and
‘‘(C) a loss of business by the workers’ firm
with the firm (or subdivision) described in sub-
paragraph (B) contributed importantly to the
workers’ separation or threat of separation deter-
mined under subparagraph (A).
‘‘(3) SPECIAL
RULE
FOR
SECONDARY
WORK-
ERS.—Notwithstanding paragraph (2), the Secretary
may, pursuant to standards established by the Sec-
retary and for good cause shown, certify as eligible for
trade adjustment assistance under this chapter a
group of workers who meet the requirements for cer-
tification as adversely affected secondary workers in
paragraph (2), except that the Secretary has not re-
ceived a petition under paragraph (1) on behalf of
workers at a firm to which the petitioning workers’
firm is a supplier or downstream producer as defined
in section 221 (11) and (24).
HR 3009 EAS
‘‘(4) SPECIAL PROVISIONS.—
‘‘(A) OIL AND NATURAL GAS PRODUCERS.—
For purposes of this section, any firm, or appro-
priate subdivision of a firm, that engages in ex-
ploration or drilling for oil or natural gas shall
be considered to be a firm producing oil or nat-
ural gas.
‘‘(B) OIL AND NATURAL GAS IMPORTS.—For
purposes of this section, any firm, or appro-
priate subdivision of a firm, that engages in ex-
ploration or drilling for oil or natural gas, or
otherwise produces oil or natural gas, shall be
considered to be producing articles directly com-
petitive with imports of oil and with imports of
natural gas.
‘‘(C) TACONITE.—For purposes of this sec-
tion, taconite pellets produced in the United
States shall be considered to be an article that is
like or directly competitive with imports of semi-
finished steel slab.
‘‘(b) PETITIONS.—
‘‘(1) IN GENERAL.—A petition for certification of
eligibility for trade adjustment assistance under this
chapter for a group of adversely affected workers shall
be filed simultaneously with the Secretary and with
HR 3009 EAS
the Governor of the State in which the firm or sub-
division of the firm employing the workers is located.
‘‘(2) PERSONS WHO MAY FILE A PETITION.—A
petition under paragraph (1) may be filed by any of
the following:
‘‘(A) WORKERS.—A group of workers (in-
cluding workers in an agricultural firm or sub-
division of any agricultural firm).
‘‘(B) 
WORKER
REPRESENTATIVES.—The
certified or recognized union or other duly ap-
pointed representative of the workers.
‘‘(C) WORKER ADJUSTMENT AND RETRAIN-
ING NOTIFICATION.—Any entity to which notice
of a plant closing or mass layoff must be given
under section 3 of the Worker Adjustment and
Retraining Notification Act (29 U.S.C. 2102).
‘‘(D) OTHER.—Employers of workers de-
scribed in subparagraph (A), one-stop operators
or one-stop partners (as defined in section 101 of
the Workforce Investment Act of 1998 (29 U.S.C.
2801)), or State employment agencies, on behalf
of the workers.
‘‘(E) 
REQUEST
TO
INITIATE
CERTIFI-
CATION.—The President, or the Committee on
Finance of the Senate or the Committee on Ways
HR 3009 EAS
and Means of the House of Representatives (by
resolution), may petition the Secretary to ini-
tiate a certification process under this chapter to
determine the eligibility for trade adjustment as-
sistance of a group of workers.
‘‘(3) ACTIONS BY GOVERNOR.—
‘‘(A) COOPERATING
STATE.—Upon receipt
of a petition, the Governor of a cooperating State
shall ensure that the requirements of the agree-
ment entered into under section 222 are met.
‘‘(B) OTHER STATES.—Upon receipt of a
petition, the Governor of a State that has not en-
tered into an agreement under section 222 shall
coordinate closely with the Secretary to ensure
that workers covered by a petition are—
‘‘(i) provided with all available serv-
ices, including rapid response activities
under section 134 of the Workforce Invest-
ment Act (29 U.S.C. 2864);
‘‘(ii) informed of the workers’ (and in-
dividual member’s of the worker’s family)
potential eligibility for—
‘‘(I) medical assistance under the
medicaid program established under
HR 3009 EAS
title XIX of the Social Security Act (42
U.S.C. 1396a et seq.);
‘‘(II) child health assistance under
the State children’s health insurance
program established under title XXI of
that Act (42 U.S.C. 1397aa et seq.);
‘‘(III) child care services for
which assistance is provided under the
Child Care and Development Block
Grant Act of 1990 (42 U.S.C. 9858 et
seq.);
‘‘(IV) the trade adjustment assist-
ance health insurance credit under sec-
tion 6429 of the Internal Revenue Code
of 1986 and health care coverage assist-
ance under funds made available to the
State to carry out section 173(f) of the
Workforce Investment Act of 1998; and
‘‘(V) other Federal and State
funded health care, child care, trans-
portation, and assistance programs
that the workers may be eligible for;
and
‘‘(iii) provided with information re-
garding how to apply for the assistance,
HR 3009 EAS
services, and programs described in clause
(ii).
‘‘(c) ACTIONS BY SECRETARY.—
‘‘(1) IN GENERAL.—As soon as possible after the
date on which a petition is filed under subsection (b),
but not later than 40 days after that date, the Sec-
retary shall determine whether the petitioning group
meets the requirements of subsection (a), and if war-
ranted, shall issue a certification of eligibility for
trade adjustment assistance pursuant to this sub-
chapter. In making the determination, the Secretary
shall consult with all petitioning entities.
‘‘(2) PUBLICATION OF DETERMINATION.—Upon
making a determination under paragraph (1), the
Secretary shall promptly publish a summary of the
determination in the Federal Register together with
the reasons for making that determination.
‘‘(3) DATE SPECIFIED IN CERTIFICATION.—Each
certification made under this subsection shall specify
the date on which the total or partial separation
began or threatened to begin with respect to a group
of certified workers.
‘‘(4) PROJECTED
TRAINING
NEEDS.—The Sec-
retary shall inform the State Workforce Investment
Board or equivalent agency, and other public or pri-
HR 3009 EAS
vate agencies, institutions, employers, and labor orga-
nizations, as appropriate, of each certification issued
under section 231 and of projections, if available, of
the need for training under section 240 as a result of
that certification.
‘‘(d) SCOPE OF CERTIFICATION.—
‘‘(1) IN GENERAL.—A certification issued under
subsection (c) shall cover adversely affected workers in
any group that meets the requirements of subsection
(a), whose total or partial separation occurred on or
after the date on which the petition was filed under
subsection (b).
‘‘(2) WORKERS SEPARATED PRIOR TO CERTIFI-
CATION.—A certification issued under subsection (c)
shall cover adversely affected workers whose total or
partial separation occurred not more than 1 year
prior to the date on which the petition was filed
under subsection (b).
‘‘(e) TERMINATION OF CERTIFICATION.—
‘‘(1) IN GENERAL.—If the Secretary determines,
with respect to any certification of eligibility, that
workers separated from a firm or subdivision covered
by a certification of eligibility are no longer adversely
affected workers, the Secretary shall terminate the cer-
tification.
HR 3009 EAS
‘‘(2) PUBLICATION OF TERMINATION.—The Sec-
retary shall promptly publish notice of any termi-
nation made under paragraph (1) in the Federal Reg-
ister together with the reasons for making that deter-
mination.
‘‘(3) APPLICATION.—Any determination made
under paragraph (1) shall apply only to total or par-
tial separations occurring after the termination date
specified by the Secretary.
‘‘SEC. 232. BENEFIT INFORMATION TO WORKERS.
‘‘(a) IN GENERAL.—The Secretary shall, in accordance
with the provisions of section 222 or 223, as appropriate,
provide prompt and full information to adversely affected
workers covered by a certification issued under section
231(c), including information regarding—
‘‘(1) benefit allowances, training, and other em-
ployment services available under this chapter;
‘‘(2) petition and application procedures under
this chapter;
‘‘(3) appropriate filing dates for the allowances,
training, and services available under this chapter;
and
‘‘(4) procedures for applying for and receiving
all other Federal benefits and services available to
separated workers during a period of unemployment.
HR 3009 EAS
‘‘(b) ASSISTANCE TO GROUPS OF WORKERS.—
‘‘(1) IN GENERAL.—The Secretary shall provide
any necessary assistance to enable groups of workers
to prepare petitions or applications for program bene-
fits.
‘‘(2) ASSISTANCE FROM STATES.—The Secretary
shall ensure that cooperating States fully comply with
the agreements entered into under section 222 and
shall periodically review that compliance.
‘‘(c) NOTICE.—
‘‘(1) IN GENERAL.—Not later that 15 days after
a certification is issued under section 231 (or as soon
as practicable after separation), the Secretary shall
provide written notice of the benefits available under
this chapter to each worker whom the Secretary has
reason to believe is covered by the certification.
‘‘(2) PUBLICATION OF NOTICE.—The Secretary
shall publish notice of the benefits available under
this chapter to workers covered by each certification
made under section 231 in newspapers of general cir-
culation in the areas in which those workers reside.
‘‘(3) NOTICE TO OTHER PARTIES AFFECTED BY
THESE
PROVISIONS
REGARDING
HEALTH
ASSIST-
ANCE.—The Secretary shall notify each provider of
health insurance within the meaning of section 7527
HR 3009 EAS
of the Internal Revenue Code of 1986 of the avail-
ability of health care coverage assistance under title
VI of the Trade Adjustment Assistance Reform Act of
2002 and of the temporary extension of the election
period for COBRA continuation coverage for certain
workers under section 603 of that Act.
‘‘Subchapter C—Program Benefits
‘‘PART I—GENERAL PROVISIONS
‘‘SEC. 234. COMPREHENSIVE ASSISTANCE.
‘‘Workers covered by a certification issued by the Sec-
retary under section 231 shall be eligible for the following:
‘‘(1) Trade adjustment allowances as described
in sections 235 through 238.
‘‘(2) Employment services as described in section
239.
‘‘(3) Training as described in section 240.
‘‘(4) Job search allowances as described in sec-
tion 241.
‘‘(5) Relocation allowances as described in sec-
tion 242.
‘‘(6) Supportive services and wage insurance as
described in section 243.
‘‘(7) Health care coverage assistance under title
VI of the Trade Adjustment Assistance Reform Act of
2002.
HR 3009 EAS
‘‘PART II—TRADE ADJUSTMENT ALLOWANCES
‘‘SEC. 235. QUALIFYING REQUIREMENTS FOR WORKERS.
‘‘(a) IN GENERAL.—Payment of a trade adjustment al-
lowance shall be made to an adversely affected worker cov-
ered by a certification under section 231 who files an appli-
cation for the allowance for any week of unemployment that
begins more than 60 days after the date on which the peti-
tion that resulted in the certification was filed under section
231, if the following conditions are met:
‘‘(1) TIME OF TOTAL OR PARTIAL SEPARATION
FROM EMPLOYMENT.—The adversely affected worker’s
total or partial separation before the worker’s appli-
cation under this chapter occurred—
‘‘(A) within the period specified in either
section 231 (d) (1) or (2);
‘‘(B) before the expiration of the 2-year pe-
riod beginning on the date on which the certifi-
cation under section 231 was issued; and
‘‘(C) before the termination date (if any)
determined pursuant to section 231(e).
‘‘(2) EMPLOYMENT REQUIRED.—
‘‘(A) IN GENERAL.—The adversely affected
worker had, in the 52-week period ending with
the week in which the total or partial separation
occurred, at least 26 weeks of employment at
HR 3009 EAS
wages of $30 or more a week with a single firm
or subdivision of a firm.
‘‘(B) UNAVAILABILITY
OF
DATA.—If data
with respect to weeks of employment with a firm
are not available, the worker had equivalent
amounts of employment computed under regula-
tions prescribed by the Secretary.
‘‘(C) WEEK OF EMPLOYMENT.—For the pur-
poses of this paragraph any week shall be treated
as a week of employment at wages of $30 or
more, if an adversely affected worker—
‘‘(i) is on employer-authorized leave for
purposes of vacation, sickness, injury, or
maternity, or inactive duty training or ac-
tive duty for training in the Armed Forces
of the United States;
‘‘(ii) does not work because of a dis-
ability that is compensable under a work-
men’s compensation law or plan of a State
or the United States;
‘‘(iii) had employment interrupted in
order to serve as a full-time representative
of a labor organization in that firm or sub-
division; or
HR 3009 EAS
‘‘(iv) is on call-up for purposes of ac-
tive duty in a reserve status in the Armed
Forces of the United States, provided that
active duty is ‘Federal service’ as defined in
section 8521(a)(1) of title 5, United States
Code.
‘‘(D) EXCEPTIONS.—
‘‘(i) In the case of weeks described in
clause (i) or (iii) of subparagraph (C), or
both, not more than 7 weeks may be treated
as weeks of employment under subpara-
graph (C).
‘‘(ii) In the case of weeks described in
clause (ii) or (iv) of subparagraph (C), not
more than 26 weeks may be treated as weeks
of employment under subparagraph (C).
‘‘(3) UNEMPLOYMENT COMPENSATION.—The ad-
versely affected worker meets all of the following re-
quirements:
‘‘(A) ENTITLEMENT TO UNEMPLOYMENT IN-
SURANCE.—The worker was entitled to (or would
be entitled to if the worker applied for) unem-
ployment insurance for a week within the benefit
period—
HR 3009 EAS
‘‘(i) in which total or partial separa-
tion took place; or
‘‘(ii) which began (or would have
begun) by reason of the filing of a claim for
unemployment insurance by the worker
after total or partial separation.
‘‘(B) EXHAUSTION OF UNEMPLOYMENT IN-
SURANCE.—The worker has exhausted all rights
to any regular State unemployment insurance to
which the worker was entitled (or would be enti-
tled if the worker had applied for any regular
State unemployment insurance).
‘‘(C) NO
UNEXPIRED
WAITING
PERIOD.—
The worker does not have an unexpired waiting
period applicable to the worker for any unem-
ployment insurance.
‘‘(4) EXTENDED
UNEMPLOYMENT
COMPENSA-
TION.—The adversely affected worker, with respect to
a week of unemployment, would not be disqualified
for extended compensation payable under the Federal-
State Extended Unemployment Compensation Act of
1970 (26 U.S.C. 3304 note) by reason of the work ac-
ceptance and job search requirements in section
202(a)(3) of that Act.
HR 3009 EAS
‘‘(5) TRAINING.—The adversely affected worker is
enrolled in a training program approved by the Sec-
retary under section 240(a), and the enrollment oc-
curred not later than the latest of the periods de-
scribed in subparagraph (A), (B), or (C).
‘‘(A) 16 WEEKS.—The worker enrolled not
later than the last day of the 16th week after the
worker’s most recent total separation that meets
the requirements of paragraphs (1) and (2).
‘‘(B) 8 WEEKS.—The worker enrolled not
later than the last day of the 8th week after the
week in which the Secretary issues a certification
covering the worker.
‘‘(C) EXTENUATING CIRCUMSTANCES.—Not-
withstanding subparagraphs (A) and (B), the
adversely affected worker is eligible for trade ad-
justment assistance if the worker enrolled not
later than 45 days after the later of the dates
specified in subparagraph (A) or (B), and the
Secretary determines there are extenuating cir-
cumstances that justify an extension in the en-
rollment period.
‘‘(b) FAILURE TO PARTICIPATE IN TRAINING.—
‘‘(1) IN GENERAL.—Until the adversely affected
worker begins or resumes participation in a training
HR 3009 EAS
program approved under section 240(a), no trade ad-
justment allowance may be paid under subsection (a)
to an adversely affected worker for any week or any
succeeding week in which—
‘‘(A) the Secretary determines that—
‘‘(i) the adversely affected worker—
‘‘(I) has failed to begin participa-
tion in a training program the enroll-
ment in which meets the requirement
of subsection (a)(5); or
‘‘(II) has ceased to participate in
such a training program before com-
pleting the training program; and
‘‘(ii) there is no justifiable cause for
the failure or cessation; or
‘‘(B) the waiver issued to that worker under
subsection (c)(1) is revoked under subsection
(c)(2).
‘‘(2) EXCEPTION.—The provisions of subsection
(a)(5) and paragraph (1) shall not apply with respect
to any week of unemployment that begins before the
first week following the week in which the certifi-
cation is issued under section 231.
‘‘(c) WAIVERS OF TRAINING REQUIREMENTS.—
HR 3009 EAS
‘‘(1) ISSUANCE
OF
WAIVERS.—The Secretary
may issue a written statement to an adversely af-
fected worker waiving the requirement to be enrolled
in training described in subsection (a) if the Sec-
retary determines that the training requirement is
not feasible or appropriate for the worker, because of
1 or more of the following reasons:
‘‘(A) RECALL.—The worker has been noti-
fied that the worker will be recalled by the firm
from which the separation occurred.
‘‘(B) MARKETABLE
SKILLS.—The worker
possesses marketable skills for suitable employ-
ment (as determined pursuant to an assessment
of the worker, which may include the profiling
system under section 303(j) of the Social Secu-
rity Act (42 U.S.C. 503(j)), carried out in ac-
cordance with guidelines issued by the Secretary)
and there is a reasonable expectation of employ-
ment at equivalent wages in the foreseeable fu-
ture.
‘‘(C) RETIREMENT.—The worker is within 2
years of meeting all requirements for entitlement
to either—
‘‘(i) old-age insurance benefits under
title II of the Social Security Act (42
HR 3009 EAS
U.S.C. 401 et seq.) (except for application
therefore); or
‘‘(ii) a private pension sponsored by
an employer or labor organization.
‘‘(D) HEALTH.—The worker is unable to
participate in training due to the health of the
worker, except that a waiver under this subpara-
graph shall not be construed to exempt a worker
from requirements relating to the availability for
work, active search for work, or refusal to accept
work under Federal or State unemployment com-
pensation laws.
‘‘(E) 
ENROLLMENT
UNAVAILABLE.—The
first available enrollment date for the approved
training of the worker is within 60 days after
the date of the determination made under this
paragraph, or, if later, there are extenuating cir-
cumstances for the delay in enrollment, as deter-
mined pursuant to guidelines issued by the Sec-
retary.
‘‘(F) TRAINING NOT AVAILABLE.—Training
approved by the Secretary is not reasonably
available to the worker from either governmental
agencies or private sources (which may include
area vocational education schools, as defined in
HR 3009 EAS
section 3 of the Carl D. Perkins Vocational and
Technical Education Act of 1998 (20 U.S.C.
2302), and employers), no training that is suit-
able for the worker is available at a reasonable
cost, or no training funds are available.
‘‘(G) OTHER.—The Secretary may, at his
discretion, issue a waiver if the Secretary deter-
mines that a worker has set forth in writing rea-
sons other than those provided for in subpara-
graphs (A) through (F) justifying the grant of
such waiver.
‘‘(2) DURATION OF WAIVERS.—
‘‘(A) IN GENERAL.—A waiver issued under
paragraph (1) shall be effective for not more
than 6 months after the date on which the waiv-
er is issued, unless the Secretary determines oth-
erwise.
‘‘(B) REVOCATION.—The Secretary shall re-
voke a waiver issued under paragraph (1) if the
Secretary determines that the basis of a waiver
is no longer applicable to the worker.
‘‘(3) AMENDMENTS UNDER SECTION 222.—
‘‘(A) ISSUANCE BY COOPERATING STATES.—
Pursuant to an agreement under section 222, the
HR 3009 EAS
Secretary may authorize a cooperating State to
issue waivers as described in paragraph (1).
‘‘(B) SUBMISSION
OF
STATEMENTS.—An
agreement under section 222 shall include a re-
quirement that the cooperating State submit to
the Secretary the written statements provided
under paragraph (1) and a statement of the rea-
sons for the waiver.
‘‘SEC. 236. WEEKLY AMOUNTS.
‘‘(a) IN GENERAL.—Subject to subsections (b) and (c),
the trade adjustment allowance payable to an adversely af-
fected worker for a week of total unemployment shall be an
amount equal to the most recent weekly benefit amount of
the unemployment insurance payable to the worker for a
week of total unemployment preceding the worker’s first ex-
haustion of unemployment insurance (as determined for
purposes of section 235(a)(3)(B)) reduced (but not below
zero) by—
‘‘(1) any training allowance deductible under
subsection (c); and
‘‘(2) any income that is deductible from unem-
ployment insurance under the disqualifying income
provisions of the applicable State law or Federal un-
employment insurance law.
HR 3009 EAS
‘‘(b) ADJUSTMENT FOR WORKERS RECEIVING TRAIN-
ING.—
‘‘(1) IN GENERAL.—Any adversely affected work-
er who is entitled to a trade adjustment allowance
and who is receiving training approved by the Sec-
retary, shall receive for each week in which the worker
is undergoing that training, a trade adjustment al-
lowance in an amount (computed for such week)
equal to the greater of—
‘‘(A) the amount computed under subsection
(a); or
‘‘(B) the amount of any weekly allowance
for that training to which the worker would be
entitled under any other Federal law for the
training of workers, if the worker applied for
that allowance.
‘‘(2) ALLOWANCE PAID IN LIEU OF.—Any trade
adjustment allowance calculated under paragraph (1)
shall be paid in lieu of any training allowance to
which the worker would be entitled under any other
Federal law.
‘‘(3) COORDINATION
WITH
UNEMPLOYMENT
IN-
SURANCE.—Any week in which a worker undergoing
training approved by the Secretary receives payments
from unemployment insurance shall be subtracted
HR 3009 EAS
from the total number of weeks for which a worker
may receive trade adjustment allowance under this
chapter.
‘‘(c) ADJUSTMENT FOR WORKERS RECEIVING ALLOW-
ANCES UNDER OTHER FEDERAL LAW.—
‘‘(1) REDUCTION IN WEEKS FOR WHICH ALLOW-
ANCE WILL BE PAID.—If a training allowance under
any Federal law (other than this Act) is paid to an
adversely affected worker for any week of unemploy-
ment with respect to which the worker would be enti-
tled (determined without regard to any disqualifica-
tion under section 235(b)) to a trade adjustment al-
lowance if the worker applied for that allowance, each
week of unemployment shall be deducted from the
total number of weeks of trade adjustment allowance
otherwise payable to that worker under section 235(a)
when the worker applies for a trade adjustment allow-
ance and is determined to be entitled to the allowance.
‘‘(2) PAYMENT OF DIFFERENCE.—If the training
allowance paid to a worker for any week of unem-
ployment is less than the amount of the trade adjust-
ment allowance to which the worker would be entitled
if the worker applied for the trade adjustment allow-
ance, the worker shall receive, when the worker ap-
plies for a trade adjustment allowance and is deter-
HR 3009 EAS
mined to be entitled to the allowance, a trade adjust-
ment allowance for that week equal to the difference
between the training allowance and the trade adjust-
ment allowance computed under subsection (b).
‘‘SEC. 237. LIMITATIONS ON TRADE ADJUSTMENT ALLOW-
ANCES.
‘‘(a) AMOUNT PAYABLE.—The maximum amount of
trade adjustment allowance payable to an adversely affected
worker, with respect to the period covered by any certifi-
cation, shall be the amount that is the product of 104 multi-
plied by the trade adjustment allowance payable to the
worker for a week of total unemployment (as determined
under section 236) reduced by the total sum of the regular
State unemployment insurance to which the worker was en-
titled (or would have been entitled if the worker had applied
for unemployment insurance) in the worker’s first benefit
period described in section 235(a)(3)(A).
‘‘(b) DURATION OF PAYMENTS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), a trade adjustment allowance shall not be
paid for any week occurring after the close of the 104-
week period that begins with the first week following
the week in which the adversely affected worker was
most recently totally separated—
HR 3009 EAS
‘‘(A) within the period that is described in
section 235(a)(1); and
‘‘(B) with respect to which the worker meets
the requirements of section 235(a)(2).
‘‘(2) SPECIAL RULES.—
‘‘(A) BREAK IN TRAINING.—For purposes of
this chapter, a worker shall be treated as partici-
pating in a training program approved by the
Secretary under section 240(a) during any week
that is part of a break in a training that does
not exceed 30 days if—
‘‘(i) the worker was participating in a
training program approved under section
240(a) before the beginning of the break in
training; and
‘‘(ii) the break is provided under the
training program.
‘‘(B) ON-THE-JOB TRAINING.—No trade ad-
justment allowance shall be paid to a worker
under this chapter for any week during which
the worker is receiving on-the-job training, ex-
cept that a trade adjustment allowance shall be
paid if a worker is enrolled in a non-paid cus-
tomized training program.
HR 3009 EAS
‘‘(C) SMALL
BUSINESS
ADMINISTRATION
PILOT PROGRAM.—An adversely affected worker
who is participating in a self-employment train-
ing program established by the Director of the
Small Business Administration pursuant to sec-
tion 102 of the Trade Adjustment Assistance Re-
form Act of 2002, shall not be ineligible to re-
ceive benefits under this chapter.
‘‘(D) ADDITIONAL
WEEKS
FOR
REMEDIAL
EDUCATION.—Notwithstanding any other provi-
sion of this section, in order to assist an ad-
versely affected worker to complete training ap-
proved for the worker under section 240, if the
program is a program of remedial education in
accordance with regulations prescribed by the
Secretary, payments may be made as trade ad-
justment allowances for up to 26 additional
weeks in the 26-week period that follows the last
week of entitlement to trade adjustment allow-
ances otherwise payable under this chapter.
‘‘(c) ADJUSTMENT OF AMOUNTS PAYABLE.—Amounts
payable to an adversely affected worker under this chapter
shall be subject to adjustment on a week-to-week basis as
may be required by section 236.
‘‘(d) YEAR-END ADJUSTMENT.—
HR 3009 EAS
‘‘(1) IN GENERAL.—Notwithstanding any other
provision of this Act or any other provision of law,
if the benefit year of a worker ends within an ex-
tended benefit period, the number of weeks of extended
benefits that the worker would, but for this subsection,
be entitled to in that extended benefit period shall not
be reduced by the number of weeks for which the
worker was entitled, during that benefit year, to trade
adjustment allowances under this part.
‘‘(2) EXTENDED
BENEFITS
PERIOD.—For the
purpose of this section the term ‘extended benefit pe-
riod’ has the same meaning given that term in the
Federal-State Extended Unemployment Compensation
Act of 1970 (26 U.S.C. 3304 note).
‘‘SEC. 238. APPLICATION OF STATE LAWS.
‘‘(a) IN GENERAL.—Except where inconsistent with
the provisions of this chapter and subject to such regulations
as the Secretary may prescribe, the availability and dis-
qualification provisions of the State law under which an
adversely affected worker is entitled to unemployment in-
surance (whether or not the worker has filed a claim for
such insurance), or, if the worker is not so entitled to unem-
ployment insurance, of the State in which the worker was
totally or partially separated, shall apply to a worker that
files an application for trade adjustment assistance.
HR 3009 EAS
‘‘(b) DURATION OF APPLICABILITY.—The State law de-
termined to be applicable with respect to a separation of
an adversely affected worker shall remain applicable for
purposes of subsection (a), with respect to a separation
until the worker becomes entitled to unemployment insur-
ance under another State law (whether or not the worker
has filed a claim for that insurance).
‘‘PART III—EMPLOYMENT SERVICES, TRAINING,
AND OTHER ALLOWANCES
‘‘SEC. 239. EMPLOYMENT SERVICES.
‘‘The Secretary shall, in accordance with section 222
or 223, as applicable, make every reasonable effort to secure
for adversely affected workers covered by a certification
under section 231, counseling, testing, placement, and other
services provided for under any other Federal law.
‘‘SEC. 240. TRAINING.
‘‘(a) APPROVED TRAINING PROGRAMS.—
‘‘(1) IN GENERAL.—The Secretary shall approve
training programs that include—
‘‘(A) on-the-job training or customized
training;
‘‘(B) any employment or training activity
provided through a one-stop delivery system
under chapter 5 of subtitle B of title I of the
HR 3009 EAS
Workforce Investment Act of 1998 (29 U.S.C.
2861 et seq.);
‘‘(C) any program of adult education;
‘‘(D) any training program (other than a
training program described in paragraph (3))
for which all, or any portion, of the costs of
training the worker are paid—
‘‘(i) under any Federal or State pro-
gram other than this chapter; or
‘‘(ii) from any source other than this
section; and
‘‘(E) any other training program that the
Secretary determines is acceptable to meet the
needs of an adversely affected worker.
In making the determination under subparagraph
(E), the Secretary shall consult with interested par-
ties.
‘‘(2) TRAINING AGREEMENTS.—Before approving
any training to which subsection (f)(1)(C) may
apply, the Secretary may require that the adversely
affected worker enter into an agreement with the Sec-
retary under which the Secretary will not be required
to pay under subsection (b) the portion of the costs of
the training that the worker has reason to believe will
HR 3009 EAS
be paid under the program, or by the source, de-
scribed in clause (i) or (ii) of subsection (f)(1)(C).
‘‘(3) LIMITATION ON APPROVALS.—The Secretary
shall not approve a training program if all of the fol-
lowing apply:
‘‘(A) PAYMENT BY PLAN.—Any portion of
the costs of the training program are paid under
any nongovernmental plan or program.
‘‘(B) RIGHT TO OBTAIN.—The adversely af-
fected worker has a right to obtain training or
funds for training under that plan or program.
‘‘(C) REIMBURSEMENT.—The plan or pro-
gram requires the worker to reimburse the plan
or program from funds provided under this
chapter, or from wages paid under the training
program, for any portion of the costs of that
training program paid under the plan or pro-
gram.
‘‘(b) PAYMENT OF TRAINING COSTS.—
‘‘(1) IN GENERAL.—Upon approval of a training
program under subsection (a), and subject to the limi-
tations imposed by this section, an adversely affected
worker covered by a certification issued under section
231 may be eligible to have payment of the costs of
that training, including any costs of an approved
HR 3009 EAS
training program incurred by a worker before a cer-
tification was issued under section 231, made on be-
half of the worker by the Secretary directly or through
a voucher system.
‘‘(2) ON-THE-JOB
TRAINING
AND
CUSTOMIZED
TRAINING.—
‘‘(A) PROVISION OF TRAINING ON THE JOB
OR CUSTOMIZED TRAINING.—If the Secretary ap-
proves training under subsection (a), the Sec-
retary shall, insofar as possible, provide or as-
sure the provision of that training on the job or
customized training, and any training on the job
or customized training that is approved by the
Secretary under subsection (a) shall include re-
lated education necessary for the acquisition of
skills needed for a position within a particular
occupation.
‘‘(B) MONTHLY INSTALLMENTS.—If the Sec-
retary approves payment of any on-the-job train-
ing or customized training under subsection (a),
the Secretary shall pay the costs of that training
in equal monthly installments.
‘‘(C) LIMITATIONS.—The Secretary may
pay the costs of on-the-job training or customized
training only if—
HR 3009 EAS
‘‘(i) no employed worker is displaced
by the adversely affected worker (including
partial displacement such as a reduction in
the hours of nonovertime work, wages, or
employment benefits);
‘‘(ii) the training does not impair con-
tracts for services or collective bargaining
agreements;
‘‘(iii) in the case of training that
would affect a collective bargaining agree-
ment, the written concurrence of the labor
organization concerned has been obtained;
‘‘(iv) no other individual is on layoff
from the same, or any substantially equiva-
lent, job for which the adversely affected
worker is being trained;
‘‘(v) the employer has not terminated
the employment of any regular employee or
otherwise reduced the workforce of the em-
ployer with the intention of filling the va-
cancy so created by hiring the adversely af-
fected worker;
‘‘(vi) the job for which the adversely af-
fected worker is being trained is not being
created in a promotional line that will in-
HR 3009 EAS
fringe in any way upon the promotional
opportunities of employed individuals;
‘‘(vii) the training is not for the same
occupation from which the worker was sepa-
rated and with respect to which the worker’s
group was certified pursuant to section 231;
‘‘(viii) the employer is provided reim-
bursement of not more than 50 percent of
the wage rate of the participant, for the cost
of providing the training and additional
supervision related to the training;
‘‘(ix) the employer has not received
payment under subsection (b)(1) with re-
spect to any other on-the-job training pro-
vided by the employer or customized train-
ing that failed to meet the requirements of
clauses (i) through (vi); and
‘‘(x) the employer has not taken, at
any time, any action that violated the terms
of any certification described in clause
(viii) made by that employer with respect to
any other on-the-job training provided by
the employer or customized training for
which the Secretary has made a payment
under paragraph (1).
HR 3009 EAS
‘‘(c) CERTAIN WORKERS ELIGIBLE
FOR TRAINING
BENEFITS.—An adversely affected worker covered by a cer-
tification issued under section 231, who is not qualified to
receive a trade adjustment allowance under section 235,
may be eligible to have payment of the costs of training
made under this section, if the worker enters a training pro-
gram approved by the Secretary not later than 6 months
after the date on which the certification that covers the
worker is issued or the Secretary determines that one of the
following applied:
‘‘(1) Funding was not available at the time at
which the adversely affected worker was required to
enter training under paragraph (1).
‘‘(2) The adversely affected worker was covered
by a waiver issued under section 235(c).
‘‘(d) EXHAUSTION
OF UNEMPLOYMENT INSURANCE
NOT REQUIRED.—The Secretary may approve training,
and pay the costs thereof, for any adversely affected worker
who is a member of a group certified under section 231
at any time after the date on which the group is certified,
without regard to whether the worker has exhausted all
rights to any unemployment insurance to which the worker
is entitled.
‘‘(e) SUPPLEMENTAL ASSISTANCE.—
HR 3009 EAS
‘‘(1) IN GENERAL.—Subject to paragraphs (2)
and (3), when training is provided under a training
program approved by the Secretary under subsection
(a) in facilities that are not within commuting dis-
tance of a worker’s regular place of residence, the Sec-
retary may authorize supplemental assistance to de-
fray reasonable transportation and subsistence ex-
penses for separate maintenance.
‘‘(2) TRANSPORTATION
EXPENSES.—The Sec-
retary may not authorize payments for travel ex-
penses exceeding the prevailing mileage rate author-
ized under the Federal travel regulations.
‘‘(3) SUBSISTENCE
EXPENSES.—The Secretary
may not authorize payments for subsistence that ex-
ceed the lesser of—
‘‘(A) the actual per diem expenses for sub-
sistence of the worker; or
‘‘(B) an amount equal to 50 percent of the
prevailing per diem allowance rate authorized
under Federal travel regulations.
‘‘(f) SPECIAL PROVISIONS; LIMITATIONS.—
‘‘(1) LIMITATION ON MAKING PAYMENTS.—
‘‘(A) 
DISALLOWANCE
OF
OTHER
PAY-
MENT.—If the costs of training an adversely af-
fected worker are paid by the Secretary under
HR 3009 EAS
subsection (b), no other payment for those train-
ing costs may be made under any other provi-
sion of Federal law.
‘‘(B) NO
PAYMENT
OF
REIMBURSABLE
COSTS.—No payment for the costs of approved
training may be made under subsection (b) if
those costs—
‘‘(i) have already been paid under any
other provision of Federal law; or
‘‘(ii) are reimbursable under any other
provision of Federal law and a portion of
those costs has already been paid under that
other provision of Federal law.
‘‘(C) NO PAYMENT OF COSTS PAID ELSE-
WHERE.—The Secretary is not required to pay
the costs of any training approved under sub-
section (a) to the extent that those costs are paid
under any Federal or State program other than
this chapter.
‘‘(D) EXCEPTION.—The provisions of this
paragraph shall not apply to, or take into ac-
count, any funds provided under any other pro-
vision of Federal law that are used for any pur-
pose other than the direct payment of the costs
incurred in training a particular adversely af-
HR 3009 EAS
fected worker, even if the use of those funds has
the effect of indirectly paying for or reducing
any portion of the costs involved in training the
adversely affected worker.
‘‘(2) UNEMPLOYMENT
ELIGIBILITY.—A worker
may not be determined to be ineligible or disqualified
for unemployment insurance or program benefits
under this subchapter because the individual is in
training approved under subsection (a), because of
leaving work which is not suitable employment to
enter the training, or because of the application to
any week in training of provisions of State law or
Federal unemployment insurance law relating to
availability for work, active search for work, or re-
fusal to accept work.
‘‘(3) DEFINITION.—For purposes of this section
the term ‘suitable employment’ means, with respect to
a worker, work of a substantially equal or higher skill
level than the worker’s past adversely affected employ-
ment, and wages for such work at not less than 80
percent of the worker’s average weekly wage.
‘‘(4) PAYMENTS AFTER REEMPLOYMENT.—
‘‘(A) IN GENERAL.—In the case of an ad-
versely affected worker who secures reemploy-
ment, the Secretary may approve and pay the
HR 3009 EAS
costs of training (or shall continue to pay the
costs of training previously approved) for that
adversely affected worker, for the completion of
the training program or up to 26 weeks, which-
ever is less, after the date the adversely affected
worker becomes reemployed.
‘‘(B) TRADE
ADJUSTMENT
ALLOWANCE.—
An adversely affected worker who is reemployed
and is undergoing training approved by the Sec-
retary pursuant to subparagraph (A) may con-
tinue to receive a trade adjustment allowance,
subject to the income offsets provided for in the
worker’s State unemployment compensation law
in accordance with the provisions of section 237.
‘‘(5) FUNDING.—The total amount of payments
that may be made under this section for any fiscal
year shall not exceed $300,000,000.
‘‘SEC. 240A. JOB TRAINING PROGRAMS.
‘‘(a) GRANT PROGRAM AUTHORIZED.—The Secretary
is authorized to award grants to community colleges (as
defined in section 202 of the Tech-Prep Education Act (20
U.S.C. 2371)) on a competitive basis to establish job train-
ing programs for adversely affected workers.
‘‘(b) APPLICATION.—
HR 3009 EAS
‘‘(1) SUBMISSION.—To receive a grant under
this section, a community college shall submit an ap-
plication to the Secretary at such time and in such
manner as the Secretary shall require.
‘‘(2) CONTENTS.—The application submitted
under paragraph (1) shall provide a description of—
‘‘(A) the population to be served with grant
funds received under this section;
‘‘(B) how grant funds received under this
section will be expended; and
‘‘(C) the job training programs that will be
established with grant funds received under this
section, including a description of how such pro-
grams relate to workforce needs in the area
where the community college is located.
‘‘(c) ELIGIBILITY.—To be eligible to receive a grant
under this section, a community college shall be located in
an eligible community (as defined in section 271).
‘‘(d) DECISION ON APPLICATIONS.—Not later than 30
days after submission of an application under subsection
(b), the Secretary shall approve or disapprove the applica-
tion.
‘‘(e) USE OF FUNDS.—A community college that re-
ceives a grant under this section shall use the grant funds
HR 3009 EAS
to establish job training programs for adversely affected
workers.
‘‘SEC. 241. JOB SEARCH ALLOWANCES.
‘‘(a) JOB SEARCH ALLOWANCE AUTHORIZED.—
‘‘(1) IN GENERAL.—An adversely affected worker
covered by a certification issued under section 231
may file an application with the Secretary for pay-
ment of a job search allowance.
‘‘(2) APPROVAL
OF
APPLICATIONS.—The Sec-
retary may grant an allowance pursuant to an appli-
cation filed under paragraph (1) when all of the fol-
lowing apply:
‘‘(A) ASSIST ADVERSELY AFFECTED WORK-
ER.—The allowance is paid to assist an ad-
versely affected worker who has been totally sepa-
rated in securing a job within the United States.
‘‘(B) LOCAL
EMPLOYMENT
NOT
AVAIL-
ABLE.—The Secretary determines that the work-
er cannot reasonably be expected to secure suit-
able employment in the commuting area in
which the worker resides.
‘‘(C) APPLICATION.—The worker has filed
an application for the allowance with the Sec-
retary before—
‘‘(i) the later of—
HR 3009 EAS
‘‘(I) the 365th day after the date
of the certification under which the
worker is certified as eligible; or
‘‘(II) the 365th day after the date
of the worker’s last total separation; or
‘‘(ii) the date that is the 182d day
after the date on which the worker con-
cluded training, unless the worker received
a waiver under section 235(c).
‘‘(b) AMOUNT OF ALLOWANCE.—
‘‘(1) IN GENERAL.—An allowance granted under
subsection (a) shall provide reimbursement to the
worker of 90 percent of the cost of necessary job search
expenses as prescribed by the Secretary in regulations.
‘‘(2) 
MAXIMUM
ALLOWANCE.—Reimbursement
under this subsection may not exceed $1,250 for any
worker.
‘‘(3) ALLOWANCE FOR SUBSISTENCE AND TRANS-
PORTATION.—Reimbursement under this subsection
may not be made for subsistence and transportation
expenses at levels exceeding those allowable under sec-
tion 240(e).
‘‘(c) EXCEPTION.—Notwithstanding subsection (b), the
Secretary shall reimburse any adversely affected worker for
HR 3009 EAS
necessary expenses incurred by the worker in participating
in a job search program approved by the Secretary.
‘‘SEC. 242. RELOCATION ALLOWANCES.
‘‘(a) RELOCATION ALLOWANCE AUTHORIZED.—
‘‘(1) IN GENERAL.—Any adversely affected work-
er covered by a certification issued under section 231
may file an application for a relocation allowance
with the Secretary, and the Secretary may grant the
relocation allowance, subject to the terms and condi-
tions of this section.
‘‘(2) CONDITIONS FOR GRANTING ALLOWANCE.—
A relocation allowance may be granted if all of the
following terms and conditions are met:
‘‘(A) ASSIST
AN
ADVERSELY
AFFECTED
WORKER.—The relocation allowance will assist
an adversely affected worker in relocating within
the United States.
‘‘(B) LOCAL
EMPLOYMENT
NOT
AVAIL-
ABLE.—The Secretary determines that the work-
er cannot reasonably be expected to secure suit-
able employment in the commuting area in
which the worker resides.
‘‘(C) TOTAL
SEPARATION.—The worker is
totally separated from employment at the time
relocation commences.
HR 3009 EAS
‘‘(D) SUITABLE EMPLOYMENT OBTAINED.—
The worker—
‘‘(i) has obtained suitable employment
affording a reasonable expectation of long-
term duration in the area in which the
worker wishes to relocate; or
‘‘(ii) has obtained a bona fide offer of
such employment.
‘‘(E) APPLICATION.—The worker filed an
application with the Secretary before—
‘‘(i) the later of—
‘‘(I) the 425th day after the date
of the certification under section 231;
or
‘‘(II) the 425th day after the date
of the worker’s last total separation; or
‘‘(ii) the date that is the 182d day
after the date on which the worker con-
cluded training, unless the worker received
a waiver under section 235(c).
‘‘(b) AMOUNT OF ALLOWANCE.—The relocation allow-
ance granted to a worker under subsection (a) includes—
‘‘(1) 90 percent of the reasonable and necessary
expenses (including, but not limited to, subsistence
and transportation expenses at levels not exceeding
HR 3009 EAS
those allowable under section 240(e)) specified in reg-
ulations prescribed by the Secretary, incurred in
transporting the worker, the worker’s family, and
household effects; and
‘‘(2) a lump sum equivalent to 3 times the work-
er’s average weekly wage, up to a maximum payment
of $1,250.
‘‘(c) LIMITATIONS.—A relocation allowance may not
be granted to a worker unless—
‘‘(1) the relocation occurs within 182 days after
the filing of the application for relocation assistance;
or
‘‘(2) the relocation occurs within 182 days after
the conclusion of training, if the worker entered a
training program approved by the Secretary under
section 240(a).
‘‘SEC. 243. SUPPORTIVE SERVICES; WAGE INSURANCE.
‘‘(a) SUPPORTIVE SERVICES.—
‘‘(1) APPLICATION.—
‘‘(A) IN GENERAL.—The State may, on be-
half of any adversely affected worker or group of
workers covered by a certification issued under
section 231—
‘‘(i) file an application with the Sec-
retary for services under section 173 of the
HR 3009 EAS
Workforce Investment Act of 1998 (relating
to National Emergency Grants); and
‘‘(ii) provide other services under title
I of the Workforce Investment Act of 1998.
‘‘(B) SERVICES.—The services available
under this paragraph include transportation,
child care, and dependent care that are necessary
to enable a worker to participate in activities
authorized under this chapter.
‘‘(2) CONDITIONS.—The Secretary may approve
an application filed under paragraph (1)(A)(i) and
provide supportive services to an adversely affected
worker only if the Secretary determines that all of the
following apply:
‘‘(A) NECESSITY.—Providing services is
necessary to enable the worker to participate in
or complete training.
‘‘(B) CONSISTENT
WITH
WORKFORCE
IN-
VESTMENT ACT.—The services are consistent with
the supportive services provided to participants
under the provisions relating to dislocated work-
er employment and training activities set forth
in chapter 5 of subtitle B of title I of the Work-
force Investment Act of 1998 (29 U.S.C. 2861 et
seq.).
HR 3009 EAS
‘‘(b) WAGE INSURANCE PROGRAM.—
‘‘(1) IN GENERAL.—Not later than 1 year after
the date of enactment of the Trade Adjustment Assist-
ance Reform Act of 2002, the Secretary shall estab-
lish, and the States shall implement, a Wage Insur-
ance Program under which a State shall use the funds
provided to the State for trade adjustment allowances
to pay to an adversely affected worker certified under
section 231 a wage subsidy of up to 50 percent of the
difference between the wages received by the adversely
affected worker from reemployment and the wages re-
ceived by the adversely affected worker at the time of
separation for a period not to exceed 2 years.
‘‘(2) AMOUNT OF PAYMENT.—
‘‘(A) WAGES UNDER $40,000.—If the wages
the worker receives from reemployment are less
than $40,000 a year, the wage subsidy shall be
50 percent of the difference between the amount
of the wages received by the worker from reem-
ployment and the amount of the wages received
by the worker at the time of separation.
‘‘(B) 
WAGES
BETWEEN
$40,000
AND
$50,000.—If the wages received by the worker
from reemployment are greater than $40,000 a
year but less than $50,000 a year, the wage sub-
HR 3009 EAS
sidy shall be 25 percent of the difference between
the amount of the wages received by the worker
from reemployment and the amount of the wages
received by the worker at the time of separation.
‘‘(3) ELIGIBILITY.—An adversely affected worker
may be eligible to receive a wage subsidy under this
subsection if the worker—
‘‘(A) enrolls in the Wage Insurance Pro-
gram;
‘‘(B) obtains reemployment not more than
26 weeks after the date of separation from the
adversely affected employment;
‘‘(C) is at least 50 years of age;
‘‘(D) earns not more than $50,000 a year in
wages from reemployment;
‘‘(E) is employed on a full-time basis as de-
fined by State law in the State in which the
worker is employed; and
‘‘(F) does not return to the employment
from which the worker was separated.
‘‘(4) AMOUNT
OF
PAYMENTS.—The payments
made under paragraph (1) to an adversely affected
worker may not exceed $5,000 a year for each year
of the 2-year period.
HR 3009 EAS
‘‘(5) LIMITATION ON OTHER BENEFITS.—At the
time a worker begins to receive a wage subsidy under
this subsection the worker shall not be eligible to re-
ceive any benefits under this Act other than the wage
subsidy unless the Secretary determines, pursuant to
standards established by the Secretary, that the work-
er has shown circumstances that warrant eligibility
for training benefits under section 240.
‘‘(6) FUNDING.—The total amount of payments
that may be made under this subsection for any fiscal
year shall not exceed $50,000,000.
‘‘(7) TERMINATION.—
‘‘(A) IN GENERAL.—Except as provided in
subparagraph (B), no payments may be made
under this subsection after the date that is 2
years after the date on which the program under
this subsection is implemented in the State
under paragraph (1).
‘‘(B) EXCEPTION.—Notwithstanding sub-
paragraph (A), a worker receiving payments
under this subsection on the date described in
subparagraph (A) shall continue to receive such
payments for as long as the worker meets the eli-
gibility requirements of this subsection.
HR 3009 EAS
‘‘(c) STUDIES OF ASSISTANCE AVAILABLE TO ECO-
NOMICALLY DISTRESSED WORKERS.—
‘‘(1) STUDY BY THE GENERAL ACCOUNTING OF-
FICE.—
‘‘(A) IN GENERAL.—The Comptroller Gen-
eral of the United States shall conduct a study
of all assistance provided by the Federal Govern-
ment for workers facing job loss and economic
distress.
‘‘(B) REPORT.—Not later than 1 year after
the date of enactment of the Trade Adjustment
Assistance Reform Act of 2002, the Comptroller
General shall submit to the Committee on Fi-
nance of the Senate and the Committee on Ways
and Means of the House of Representatives a re-
port on the study conducted under subparagraph
(A). The report shall include a description of—
‘‘(i) all Federal programs designed to
assist workers facing job loss and economic
distress, including all benefits and services;
‘‘(ii) eligibility requirements for each
of the programs; and
‘‘(iii) procedures for applying for and
receiving benefits and services under each of
the programs.
HR 3009 EAS
‘‘(C) DISTRIBUTION OF GAO REPORT.—The
report described in subparagraph (B) shall be
distributed to all one-stop partners authorized
under the Workforce Investment Act of 1998.
‘‘(2) STUDIES BY THE STATES.—
‘‘(A) IN GENERAL.—Each State may con-
duct a study of its assistance programs for work-
ers facing job loss and economic distress.
‘‘(B) GRANTS.—The Secretary may award
to each State a grant, not to exceed $50,000, to
enable the State to conduct the study described
in subparagraph (A). Each study shall be under-
taken in consultation with affected parties.
‘‘(C) REPORT.—Not later than 1 year after
the date of the grant, each State that receives a
grant under subparagraph (B) shall submit to
the Committee on Finance of the Senate and the
Committee on Ways and Means of the House of
Representatives the report described in subpara-
graph (A).
‘‘(D) DISTRIBUTION OF STATE REPORTS.—
A report prepared by a State under this para-
graph shall be distributed to all the one-stop
partners in the State.
HR 3009 EAS
‘‘Subchapter D—Payment and Enforcement
Provisions
‘‘SEC. 244. PAYMENTS TO STATES.
‘‘(a) IN GENERAL.—The Secretary, from time to time,
shall certify to the Secretary of the Treasury for payment
to each cooperating State, the sums necessary to enable that
State as agent of the United States to make payments pro-
vided for by this chapter.
‘‘(b) LIMITATION ON USE OF FUNDS.—
‘‘(1) IN GENERAL.—All money paid to a cooper-
ating State under this section shall be used solely for
the purposes for which it is paid.
‘‘(2) RETURN OF FUNDS NOT SO USED.—Money
paid that is not used for the purpose for which it is
paid under subsection (a) shall be returned to the Sec-
retary of the Treasury at the time specified in the
agreement entered into under section 222.
‘‘(c) SURETY BOND.—Any agreement under section
222 may require any officer or employee of the cooperating
State certifying payments or disbursing funds under the
agreement or otherwise participating in the performance of
the agreement, to give a surety bond to the United States
in an amount the Secretary deems necessary, and may pro-
vide for the payment of the cost of that bond from funds
for carrying out the purposes of this chapter.
HR 3009 EAS
‘‘SEC. 245. LIABILITIES OF CERTIFYING AND DISBURSING
OFFICERS.
‘‘(a) LIABILITY OF CERTIFYING OFFICIALS.—No per-
son designated by the Secretary, or designated pursuant to
an agreement entered into under section 222, as a certifying
officer, in the absence of gross negligence or intent to de-
fraud the United States, shall be liable with respect to any
payment certified by that person under this chapter.
‘‘(b) LIABILITY OF DISBURSING OFFICERS.—No dis-
bursing officer, in the absence of gross negligence or intent
to defraud the United States, shall be liable with respect
to any payment by that officer under this chapter if the
payment was based on a voucher signed by a certifying offi-
cer designated according to subsection (a).
‘‘SEC. 246. FRAUD AND RECOVERY OF OVERPAYMENTS.
‘‘(a) IN GENERAL.—
‘‘(1) OVERPAYMENT.—If a cooperating State, the
Secretary, or a court of competent jurisdiction deter-
mines that any person has received any payment
under this chapter to which the person was not enti-
tled, including a payment referred to in subsection
(b), that person shall be liable to repay that amount
to the cooperating State or the Secretary, as the case
may be.
‘‘(2) EXCEPTION.—The cooperating State or the
Secretary may waive repayment if the cooperating
HR 3009 EAS
State or the Secretary determines, in accordance with
guidelines prescribed by the Secretary, that all of the
following apply:
‘‘(A) NO FAULT.—The payment was made
without fault on the part of the person.
‘‘(B) REPAYMENT CONTRARY TO EQUITY.—
Requiring repayment would be contrary to eq-
uity and good conscience.
‘‘(3) PROCEDURE FOR RECOVERY.—
‘‘(A) RECOVERY FROM OTHER ALLOWANCES
AUTHORIZED.—Unless an overpayment is other-
wise recovered or waived under paragraph (2),
the cooperating State or the Secretary shall re-
cover the overpayment by deductions from any
sums payable to that person under this chapter,
under any Federal unemployment compensation
law administered by the cooperating State or the
Secretary, or under any other Federal law ad-
ministered by the cooperating State or the Sec-
retary that provides for the payment of assist-
ance or an allowance with respect to unemploy-
ment.
‘‘(B) RECOVERY FROM STATE ALLOWANCES
AUTHORIZED.—Notwithstanding any other pro-
vision of Federal or State law, the Secretary
HR 3009 EAS
may require a cooperating State to recover any
overpayment under this chapter by deduction
from any unemployment insurance payable to
that person under State law, except that no sin-
gle deduction under this paragraph shall exceed
50 percent of the amount otherwise payable.
‘‘(b) INELIGIBILITY FOR FURTHER PAYMENTS.—Any
person, in addition to any other penalty provided by law,
shall be ineligible for any further payments under this
chapter if a cooperating State, the Secretary, or a court
of competent jurisdiction determines that one of the fol-
lowing applies:
‘‘(1) FALSE STATEMENT.—The person knowingly
made, or caused another to make, a false statement or
representation of a material fact, and as a result of
the false statement or representation, the person re-
ceived any payment under this chapter to which the
person was not entitled.
‘‘(2) FAILURE TO DISCLOSE.—The person know-
ingly failed, or caused another to fail, to disclose a
material fact, and as a result of the nondisclosure, the
person received any payment under this chapter to
which the person was not entitled.
‘‘(c) HEARING.—Except for overpayments determined
by a court of competent jurisdiction, no repayment may
HR 3009 EAS
be required, and no deduction may be made, under this sec-
tion until a determination under subsection (a) by the co-
operating State or the Secretary, as the case may be, has
been made, notice of the determination and an opportunity
for a fair hearing has been given to the person concerned,
and the determination has become final.
‘‘(d) RECOVERED FUNDS.—Any amount recovered
under this section shall be returned to the Treasury of the
United States.
‘‘SEC. 247. CRIMINAL PENALTIES.
‘‘Whoever makes a false statement of a material fact
knowing it to be false, or knowingly fails to disclose a mate-
rial fact, for the purpose of obtaining or increasing for that
person or for any other person any payment authorized to
be furnished under this chapter or pursuant to an agree-
ment under section 222 shall be fined not more than
$10,000, imprisoned for not more than 1 year, or both.
‘‘SEC. 248. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated to the De-
partment of Labor, for the period beginning October 1,
2001, and ending September 30, 2007, such sums as may
be necessary to carry out the purposes of this chapter, in-
cluding such additional sums for administrative expenses
as may be necessary for the department to meet the in-
creased workload created by the Trade Adjustment Assist-
HR 3009 EAS
ance Reform Act of 2002, provided that funding provided
for training services shall not be used for expenses of admin-
istering the trade adjustment assistance for workers pro-
gram. Amounts appropriated under this section shall re-
main available until expended.
‘‘SEC. 249. REGULATIONS.
‘‘The Secretary shall prescribe such regulations as may
be necessary to carry out the provisions of this chapter.
‘‘SEC. 250. SUBPOENA POWER.
‘‘(a) IN GENERAL.—The Secretary may require by
subpoena the attendance of witnesses and the production of
evidence necessary to make a determination under the pro-
visions of this chapter.
‘‘(b) COURT ORDER.—If a person refuses to obey a sub-
poena issued under subsection (a), a competent United
States district court, upon petition by the Secretary, may
issue an order requiring compliance with such subpoena.’’.
SEC. 112. DISPLACED WORKER SELF-EMPLOYMENT TRAIN-
ING PILOT PROGRAM.
(a) ESTABLISHMENT.—Not later than 6 months after
the date of enactment of this Act, the Administrator of the
Small Business Administration (in this section referred to
as the ‘‘Administrator’’) shall establish a self-employment
training program (in this section referred to as the ‘‘Pro-
gram’’) for adversely affected workers (as defined in chapter
HR 3009 EAS
2 of title II of the Trade Act of 1974), to be administered
by the Small Business Administration.
(b) ELIGIBILITY FOR ASSISTANCE.—If an adversely af-
fected worker seeks or receives assistance through the Pro-
gram, such action shall not affect the eligibility of that
worker to receive benefits under chapter 2 of title II of the
Trade Act of 1974.
(c) TRAINING ASSISTANCE.—The Program shall in-
clude, at a minimum, training in—
(1) pre-business startup planning;
(2) awareness of basic credit practices and credit
requirements; and
(3) developing business plans, financial pack-
ages, and credit applications.
(d) OUTREACH.—The Program should include out-
reach to adversely affected workers and counseling and lend-
ing partners of the Small Business Administration.
(e) REPORTS
TO CONGRESS.—Beginning not later
than 180 days after the date of enactment of this Act, the
Administrator shall submit quarterly reports to the Com-
mittee on Finance and the Committee on Small Business
and Entrepreneurship of the Senate and the Committee on
Ways and Means and the Committee on Small Business of
the House of Representatives regarding the implementation
HR 3009 EAS
of the Program, including Program delivery, staffing, and
administrative expenses related to such implementation.
(f) GUIDELINES.—Not later than 180 days after the
date of enactment of this Act, the Administrator shall issue
such guidelines as the Administrator determines to be nec-
essary to carry out the Program.
(g) EFFECTIVE DATE.—The Program shall terminate
3 years after the date of final publication of guidelines
under subsection (f).
TITLE II—TRADE ADJUSTMENT
ASSISTANCE FOR FIRMS
SEC. 201. REAUTHORIZATION OF PROGRAM.
(a) IN GENERAL.—Section 256(b) of chapter 3 of title
II of the Trade Act of 1974 (19 U.S.C. 2346(b)) is amended
to read as follows:
‘‘(b) There are authorized to be appropriated to the
Secretary $16,000,000 for each of fiscal years 2002 through
2007, to carry out the Secretary’s functions under this
chapter in connection with furnishing adjustment assist-
ance to firms. Amounts appropriated under this subsection
shall remain available until expended.’’.
(b) ELIGIBILITY CRITERIA.—Section 251(c) of chapter
3 of title II of the Trade Act of 1974 (19 U.S.C. 2341(c))
is amended—
HR 3009 EAS
(1) by amending paragraph (1) to read as fol-
lows:
‘‘(1) The Secretary shall certify a firm (includ-
ing any agricultural firm) as eligible to apply for ad-
justment assistance under this chapter if the Sec-
retary determines that a significant number or pro-
portion of the workers in such firm have become to-
tally or partially separated, or are threatened to be-
come totally or partially separated, and that either—
‘‘(A)(i)(I) sales or production, or both, of
the firm have decreased absolutely, or
‘‘(II) sales or production, or both, of an ar-
ticle that accounted for not less than 25 percent
of the total production or sales of the firm dur-
ing the 12-month period for which data are
available have decreased absolutely; and
‘‘(ii) increases in the value or volume of im-
ports of articles like or directly competitive with
articles which are produced by such firm contrib-
uted importantly to such total or partial separa-
tion, or threat thereof, and to such decline in
sales or production; or
‘‘(B) a shift in production by the workers’
firm or subdivision to a foreign country of arti-
cles like or directly competitive with articles
HR 3009 EAS
which are produced by that firm or subdivision
contributed importantly to the workers’ separa-
tion or threat of separation.’’; and
(2) in paragraph (2), by striking ‘‘paragraph
(1)(C)’’ and inserting ‘‘paragraph (1)’’.
TITLE III—TRADE ADJUSTMENT
ASSISTANCE FOR COMMUNITIES
SEC. 301. PURPOSE.
The purpose of this title is to assist communities with
economic adjustment through the integration of political
and economic organizations, the coordination of Federal,
State, and local resources, the creation of community-based
development strategies, and the provision of economic tran-
sition assistance.
SEC. 302. TRADE ADJUSTMENT ASSISTANCE FOR COMMU-
NITIES.
Chapter 4 of title II of the Trade Act of 1974 (19
U.S.C. 2371 et seq.) is amended to read as follows:
‘‘CHAPTER 4—COMMUNITY ECONOMIC
ADJUSTMENT
‘‘SEC. 271. DEFINITIONS.
‘‘In this chapter:
‘‘(1) CIVILIAN LABOR FORCE.—The term ‘civilian
labor force’ has the meaning given that term in regu-
lations prescribed by the Secretary of Labor.
HR 3009 EAS
‘‘(2) COMMUNITY.—The term ‘community’ means
a county or equivalent political subdivision of a
State.
‘‘(A) RURAL COMMUNITY.—The term ‘rural
community’ means a community that has a
rural-urban continuum code of 4 through 9.
‘‘(B) URBAN COMMUNITY.—The term ‘urban
community’ means a community that has a
rural-urban continuum code of 0 through 3.
‘‘(3) COMMUNITY ECONOMIC DEVELOPMENT CO-
ORDINATING
COMMITTEE.—The term ‘Community
Economic 
Development 
Coordinating 
Committee’
means a community group established under section
274 that consists of major groups significantly af-
fected by an increase in imports or a shift in produc-
tion, including local, regional, tribal, and State gov-
ernments, regional councils of governments and eco-
nomic development, and business, labor, education,
health, religious, and other community-based organi-
zations.
‘‘(4) DIRECTOR.—The term ‘Director’ means the
Director of the Office of Community Trade Adjust-
ment.
HR 3009 EAS
‘‘(5) ELIGIBLE COMMUNITY.—The term ‘eligible
community’ means a community certified under sec-
tion 273 as eligible for assistance under this chapter.
‘‘(6) JOB LOSS.—The term ‘job loss’ means the
total or partial separation of an individual, as those
terms are defined in section 221.
‘‘(7) OFFICE.—The term ‘Office’ means the Office
of Community Trade Adjustment established under
section 272.
‘‘(8) RURAL-URBAN
CONTINUUM
CODE.—The
term ‘rural-urban continuum code’ means a code as-
signed to a community according to the rural-urban
continuum code system, as defined by the Economic
Research Service of the Department of Agriculture.
‘‘(9) SECRETARY.—The term ‘Secretary’ means
the Secretary of Commerce.
‘‘SEC. 272. OFFICE OF COMMUNITY TRADE ADJUSTMENT.
‘‘(a) ESTABLISHMENT.—Within 6 months of the date
of enactment of the Trade Adjustment Assistance Reform
Act of 2002, there shall be established in the Office of Eco-
nomic Adjustment of the Economic Development Adminis-
tration of the Department of Commerce an Office of Com-
munity Trade Adjustment.
HR 3009 EAS
‘‘(b) PERSONNEL.—The Office shall be headed by a Di-
rector, and shall have such staff as may be necessary to
carry out the responsibilities described in this chapter.
‘‘(c) COORDINATION
OF FEDERAL RESPONSE.—The
Office shall—
‘‘(1) provide leadership, support, and coordina-
tion for a comprehensive management program to ad-
dress economic dislocation in eligible communities;
‘‘(2) establish an easily accessible, one-stop clear-
inghouse for States and eligible communities to obtain
information regarding economic development assist-
ance available under Federal law;
‘‘(3) coordinate the Federal response to an eligi-
ble community—
‘‘(A) by identifying all Federal, State, and
local resources that are available to assist the eli-
gible community in recovering from economic
distress;
‘‘(B) by ensuring that all Federal agencies
offering assistance to an eligible community do
so in a targeted, integrated manner that ensures
that an eligible community has access to all
available Federal assistance;
‘‘(C) by assuring timely consultation and
cooperation between Federal, State, and regional
HR 3009 EAS
officials concerning community economic adjust-
ment;
‘‘(D) by identifying and strengthening exist-
ing agency mechanisms designed to assist com-
munities in economic adjustment and workforce
reemployment;
‘‘(E) by applying consistent policies, prac-
tices, and procedures in the administration of
Federal programs that are used to assist commu-
nities adversely impacted by an increase in im-
ports or a shift in production;
‘‘(F) by creating, maintaining, and using a
uniform economic database to analyze commu-
nity adjustment activities; and
‘‘(G) by assigning a community economic
adjustment advisor to work with each eligible
community;
‘‘(4) provide comprehensive technical assistance
to any eligible community in the efforts of that com-
munity to—
‘‘(A) identify serious economic problems in
the community that result from an increase in
imports or shift in production;
HR 3009 EAS
‘‘(B) integrate the major groups and orga-
nizations significantly affected by the economic
adjustment;
‘‘(C) organize a Community Economic De-
velopment Coordinating Committee;
‘‘(D) access Federal, State, and local re-
sources designed to assist in economic develop-
ment and trade adjustment assistance;
‘‘(E) diversify and strengthen the commu-
nity economy; and
‘‘(F) develop a community-based strategic
plan to address workforce dislocation and eco-
nomic development;
‘‘(5) establish specific criteria for submission and
evaluation of a strategic plan submitted under section
276(d);
‘‘(6) administer the grant programs established
under sections 276 and 277; and
‘‘(7) establish an interagency Trade Adjustment
Assistance Working Group, consisting of the rep-
resentatives of any Federal department or agency
with responsibility for economic adjustment assist-
ance, including the Department of Agriculture, the
Department of Defense, the Department of Education,
the Department of Labor, the Department of Housing
HR 3009 EAS
and Urban Development, the Department of Health
and Human Services, the Small Business Adminis-
tration, the Department of the Treasury, the Depart-
ment of Commerce, the Office of the United States
Trade Representative, and the National Economic
Council.
‘‘(d) WORKING GROUP.—The working group estab-
lished under subsection (c)(7) shall examine other options
for addressing trade impacts on communities, such as:
‘‘(1) Seeking legislative language directing the
Foreign Trade Zone (‘FTZ’) Board to expedite con-
sideration of FTZ applications from communities or
businesses that have been found eligible for trade ad-
justment assistance.
‘‘(2) Seeking legislative language to make new
markets tax credits available in communities im-
pacted by trade.
‘‘(3) Seeking legislative language to make work
opportunity tax credits available for hiring unem-
ployed workers who are certified eligible for trade ad-
justment assistance.
‘‘(4) Examining ways to assist trade impacted
rural communities and industries take advantage of
the Department of Agriculture’s rural development
program.
HR 3009 EAS
‘‘SEC. 273. NOTIFICATION AND CERTIFICATION AS AN ELIGI-
BLE COMMUNITY.
‘‘(a) NOTIFICATION.—The Secretary of Labor, not later
than 15 days after making a determination that a group
of workers is eligible for trade adjustment assistance under
section 231, shall notify the Governor of the State in which
the community in which the worker’s firm is located and
the Director, of the Secretary’s determination.
‘‘(b) CERTIFICATION.—Not later than 30 days after no-
tification by the Secretary of Labor described in subsection
(a), the Director shall certify as eligible for assistance under
this chapter a community in which both of the following
conditions applies:
‘‘(1) NUMBER
OF
JOB
LOSSES.—The Director
finds that—
‘‘(A) in an urban community, at least 500
workers have been certified for assistance under
section 231 in the most recent 36-month period
preceding the date of certification under this sec-
tion for which data are available; or
‘‘(B) in a rural community, at least 300
workers have been certified for assistance under
section 231 in the most recent 36-month period
preceding the date of certification under this sec-
tion for which data are available.
HR 3009 EAS
‘‘(2) PERCENT OF WORKFORCE UNEMPLOYED.—
The Director finds that the unemployment rate for the
community is at least 1 percent greater than the na-
tional unemployment rate for the most recent 12-
month period for which data are available.
‘‘(c) NOTIFICATION TO ELIGIBLE COMMUNITIES.—Not
later than 15 days after the Director certifies a community
as eligible under subsection (b), the Director shall notify
the community—
‘‘(1) of its determination under subsection (b);
‘‘(2) of the provisions of this chapter;
‘‘(3) how to access the clearinghouse established
under section 272(c)(2); and
‘‘(4) how to obtain technical assistance provided
under section 272(c)(4).
‘‘SEC. 274. COMMUNITY ECONOMIC DEVELOPMENT COORDI-
NATING COMMITTEE.
‘‘(a) ESTABLISHMENT.—In order to apply for and re-
ceive benefits under this chapter, an eligible community
shall establish a Community Economic Development Co-
ordinating Committee certified by the Director as meeting
the requirements of subsection (b)(1).
‘‘(b) COMPOSITION OF THE COMMITTEE.—
‘‘(1) LOCAL
PARTICIPATION.—The Community
Economic Development Coordinating Committee es-
HR 3009 EAS
tablished by an eligible community under subsection
(a) shall include representatives of those groups sig-
nificantly affected by economic dislocation, such as
local, regional, tribal, and State governments, re-
gional councils of governments and economic develop-
ment, business, labor, education, health organizations,
religious, and other community-based groups pro-
viding assistance to workers, their families, and com-
munities.
‘‘(2) FEDERAL
PARTICIPATION.—Pursuant to
section 275(b)(3), the community economic adjust-
ment advisor, assigned by the Director to assist an el-
igible community, shall serve as an ex officio member
of the Community Economic Development Coordi-
nating Committee, and shall arrange for participa-
tion by representatives of other Federal agencies on
that Committee as necessary.
‘‘(3) EXISTING ORGANIZATION.—An eligible com-
munity may designate an existing organization in
that community as the Community Economic Devel-
opment Coordinating Committee if that organization
meets the requirements of paragraph (1) for the pur-
poses of this chapter.
‘‘(c) DUTIES.—The Community Economic Develop-
ment Coordinating Committee shall—
HR 3009 EAS
‘‘(1) ascertain the severity of the community eco-
nomic adjustment required as a result of the increase
in imports or shift in production;
‘‘(2) assess the capacity of the community to re-
spond to the required economic adjustment and the
needs of the community as it undertakes economic ad-
justment, taking into consideration such factors as the
number of jobs lost, the size of the community, the di-
versity of industries, the skills of the labor force, the
condition of the current labor market, the availability
of financial resources, the quality and availability of
educational facilities, the adequacy and availability
of public services, and the existence of a basic and ad-
vanced infrastructure in the community;
‘‘(3) facilitate a dialogue between concerned in-
terests in the community, represent the impacted com-
munity, and ensure all interests in the community
work collaboratively toward collective goals without
duplication of effort or resources;
‘‘(4) oversee the development of a strategic plan
for community economic development, taking into
consideration the factors mentioned under paragraph
(2), and consistent with the criteria established by the
Secretary for the strategic plan developed under sec-
tion 276;
HR 3009 EAS
‘‘(5) create an executive council of members of
the Community Economic Development Coordinating
Committee to promote the strategic plan within the
community and ensure coordination and cooperation
among all stakeholders; and
‘‘(6) apply for any grant, loan, or loan guar-
antee available under Federal law to develop or im-
plement the strategic plan, and be an eligible recipi-
ent for funding for economic adjustment for that com-
munity.
‘‘SEC. 275. COMMUNITY ECONOMIC ADJUSTMENT ADVI-
SORS.
‘‘(a) IN GENERAL.—Pursuant to section 272(c)(3)(G),
the Director shall assign a community economic adjustment
advisor to each eligible community.
‘‘(b) DUTIES.—The community economic adjustment
advisor shall—
‘‘(1) provide technical assistance to the eligible
community, assist in the development and implemen-
tation of a strategic plan, including applying for any
grant available under this or any other Federal law
to develop or implement that plan;
‘‘(2) at the local and regional level, coordinate
the response of all Federal agencies offering assistance
to the eligible community;
101
HR 3009 EAS
maintaining a level of public services necessary to at-
tract and retain economic investment.
‘‘(6) A description and justification for the cost
and timing of proposed basic and advanced infra-
structure improvements in the eligible community.
‘‘(7) A description of the occupational and work-
force conditions in the eligible community, including
but not limited to existing levels of workforce skills
and competencies, and educational programs avail-
able for workforce training and future employment
needs.
‘‘(8) A description of how the plan will adapt to
changing markets, business cycles, and other vari-
ables.
‘‘(9) A graduation strategy through which the el-
igible community demonstrates that the community
will terminate the need for Federal assistance.
‘‘(c) GRANTS TO DEVELOP STRATEGIC PLANS.—
‘‘(1) IN GENERAL.—The Director, upon receipt of
an application from a Community Economic Devel-
opment Coordinating Committee on behalf of an eligi-
ble community, shall award a grant to that commu-
nity to be used to develop the strategic plan.
‘‘(2) AMOUNT.—The amount of a grant made
under paragraph (1) shall be determined by the Sec-
102
HR 3009 EAS
retary, but may not exceed $50,000 to each commu-
nity.
‘‘(3) LIMIT.—Each community can only receive
1 grant under this subsection for the purpose of devel-
oping a strategic plan in any 5-year period.
‘‘(d) SUBMISSION OF PLAN.—A strategic plan devel-
oped under subsection (a) shall be submitted to the Director
for evaluation and approval.
‘‘SEC. 277. GRANTS FOR ECONOMIC DEVELOPMENT.
‘‘The Director, upon receipt of an application from the
Community Economic Development Coordinating Com-
mittee on behalf of an eligible community, may award a
grant to that community to carry out any project or pro-
gram included in the strategic plan approved under section
276(d) that—
‘‘(1) will be located in, or will create or preserve
high-wage jobs, in that eligible community; and
‘‘(2) implements the strategy of that eligible com-
munity to create high-wage jobs in sectors that are ex-
pected to expand, including projects that—
‘‘(A) encourage industries to locate in that
eligible community, if such funds are not used to
encourage the relocation of any employer in a
manner that causes the dislocation of employees
103
HR 3009 EAS
of that employer at another facility in the
United States;
‘‘(B) leverage resources to create or improve
Internet or telecommunications capabilities to
make the community more attractive for busi-
ness;
‘‘(C) establish a funding pool for job cre-
ation through entrepreneurial activities;
‘‘(D) assist existing firms in that commu-
nity to restructure or retool to become more com-
petitive in world markets and prevent job loss; or
‘‘(E) assist the community in acquiring the
resources and providing the level of public serv-
ices necessary to meet the objectives set out in the
strategic plan.
‘‘SEC. 278. AUTHORIZATION OF APPROPRIATIONS.
‘‘There are authorized to be appropriated to the De-
partment of Commerce, for the period beginning October 1,
2001, and ending September 30, 2007, such sums as may
be necessary to carry out the purposes of this chapter.
‘‘SEC. 279. GENERAL PROVISIONS.
‘‘(a) REPORT BY THE DIRECTOR.—Not later than 6
months after the date of enactment of the Trade Adjustment
Assistance Reform Act of 2002, and annually thereafter, the
Director shall submit to the Committee on Finance of the
104
HR 3009 EAS
Senate and the Committee on Ways and Means of the House
of Representatives a report regarding the programs estab-
lished under this title.
‘‘(b) REGULATIONS.—The Secretary shall prescribe
such regulations as are necessary to carry out the provisions
of this chapter.
‘‘(c) SUPPLEMENT NOT SUPPLANT.—Funds appro-
priated under this chapter shall be used to supplement and
not supplant other Federal, State, and local public funds
expended to provide economic development assistance for
communities.’’.
TITLE IV—TRADE ADJUSTMENT
ASSISTANCE FOR FARMERS
SEC. 401. TRADE ADJUSTMENT ASSISTANCE FOR FARMERS.
(a) IN GENERAL.—Title II of the Trade Act of 1974
(19 U.S.C. 2251 et seq.) is amended by adding at the end
the following new chapter:
‘‘CHAPTER 6—ADJUSTMENT ASSISTANCE
FOR FARMERS
‘‘SEC. 291. DEFINITIONS.
‘‘In this chapter:
‘‘(1) AGRICULTURAL COMMODITY.—The term ‘ag-
ricultural commodity’ means any agricultural com-
modity (including livestock), except fish as defined in
section 299(1) of this Act, in its raw or natural state.
105
HR 3009 EAS
‘‘(2) AGRICULTURAL
COMMODITY
PRODUCER.—
The term ‘agricultural commodity producer’ has the
same meaning as the term ‘person’ as prescribed by
regulations promulgated under section 1001(5) of the
Food Security Act of 1985 (7 U.S.C. 1308(5)). The
term does not include any person described in section
299(2) of this Act.
‘‘(3) CONTRIBUTED IMPORTANTLY.—
‘‘(A) IN GENERAL.—The term ‘contributed
importantly’ means a cause which is important
but not necessarily more important than any
other cause.
‘‘(B) DETERMINATION OF CONTRIBUTED IM-
PORTANTLY.—The determination of whether im-
ports of articles like or directly competitive with
an agricultural commodity with respect to which
a petition under this chapter was filed contrib-
uted importantly to a decline in the price of the
agricultural commodity shall be made by the
Secretary.
‘‘(4) DULY AUTHORIZED REPRESENTATIVE.—The
term ‘duly authorized representative’ means an asso-
ciation of agricultural commodity producers.
‘‘(5) NATIONAL AVERAGE PRICE.—The term ‘na-
tional average price’ means the national average
106
HR 3009 EAS
price paid to an agricultural commodity producer for
an agricultural commodity in a marketing year as
determined by the Secretary.
‘‘(6) SECRETARY.—The term ‘Secretary’ means
the Secretary of Agriculture.
‘‘SEC. 292. PETITIONS; GROUP ELIGIBILITY.
‘‘(a) IN GENERAL.—A petition for a certification of
eligibility to apply for adjustment assistance under this
chapter may be filed with the Secretary by a group of agri-
cultural commodity producers or by their duly authorized
representative. Upon receipt of the petition, the Secretary
shall promptly publish notice in the Federal Register that
the Secretary has received the petition and initiated an in-
vestigation.
‘‘(b) HEARINGS.—If the petitioner, or any other person
found by the Secretary to have a substantial interest in the
proceedings, submits not later than 10 days after the date
of the Secretary’s publication under subsection (a) a request
for a hearing, the Secretary shall provide for a public hear-
ing and afford such interested person an opportunity to be
present, to produce evidence, and to be heard.
‘‘(c) GROUP ELIGIBILITY REQUIREMENTS.—The Sec-
retary shall certify a group of agricultural commodity pro-
ducers as eligible to apply for adjustment assistance under
this chapter if the Secretary determines—
107
HR 3009 EAS
‘‘(1) that the national average price for the agri-
cultural commodity, or a class of goods within the ag-
ricultural commodity, produced by the group for the
most recent marketing year for which the national av-
erage price is available is less than 80 percent of the
average of the national average price for such agricul-
tural commodity, or such class of goods, for the 5
marketing years preceding the most recent marketing
year; and
‘‘(2) that increases in imports of articles like or
directly competitive with the agricultural commodity,
or class of goods within the agricultural commodity,
produced by the group contributed importantly to the
decline in price described in paragraph (1).
‘‘(d) SPECIAL RULE FOR QUALIFIED SUBSEQUENT
YEARS.—A group of agricultural commodity producers cer-
tified as eligible under section 293 shall be eligible to apply
for assistance under this chapter in any qualified year after
the year the group is first certified, if the Secretary deter-
mines that—
‘‘(1) the national average price for the agricul-
tural commodity, or class of goods within the agricul-
tural commodity, produced by the group for the most
recent marketing year for which the national average
108
HR 3009 EAS
price is available is equal to or less than the price de-
termined under subsection (c)(1); and
‘‘(2) the requirements of subsection (c)(2) are
met.
‘‘(e) DETERMINATION OF QUALIFIED YEAR AND COM-
MODITY.—In this chapter:
‘‘(1) QUALIFIED
YEAR.—The term ‘qualified
year’, with respect to a group of agricultural com-
modity producers certified as eligible under section
293, means each consecutive year after the year in
which the group is certified that the Secretary makes
the determination under subsection (c) or (d), as the
case may be.
‘‘(2) CLASSES
OF
GOODS
WITHIN
A
COM-
MODITY.—In any case in which there are separate
classes of goods within an agricultural commodity,
the Secretary shall treat each class as a separate com-
modity in determining group eligibility, the national
average price, and level of imports under this section
and section 296.
‘‘SEC. 293. DETERMINATIONS BY SECRETARY OF AGRI-
CULTURE.
‘‘(a) IN GENERAL.—As soon as practicable after the
date on which a petition is filed under section 292, but in
any event not later than 40 days after that date, the Sec-
109
HR 3009 EAS
retary shall determine whether the petitioning group meets
the requirements of section 292 (c) or (d), as the case may
be, and shall, if the group meets the requirements, issue a
certification of eligibility to apply for assistance under this
chapter covering agricultural commodity producers in any
group that meets the requirements. Each certification shall
specify the date on which eligibility under this chapter be-
gins.
‘‘(b) NOTICE.—Upon making a determination on a pe-
tition, the Secretary shall promptly publish a summary of
the determination in the Federal Register, together with the
Secretary’s reasons for making the determination.
‘‘(c) TERMINATION OF CERTIFICATION.—Whenever the
Secretary determines, with respect to any certification of
eligibility under this chapter, that the decline in price for
the agricultural commodity covered by the certification is
no longer attributable to the conditions described in section
292, the Secretary shall terminate such certification and
promptly cause notice of such termination to be published
in the Federal Register, together with the Secretary’s rea-
sons for making such determination.
110
HR 3009 EAS
‘‘SEC. 294. STUDY BY SECRETARY OF AGRICULTURE WHEN
INTERNATIONAL TRADE COMMISSION BEGINS
INVESTIGATION.
‘‘(a) IN GENERAL.—Whenever the International Trade
Commission (in this chapter referred to as the ‘Commis-
sion’) begins an investigation under section 202 with re-
spect to an agricultural commodity, the Commission shall
immediately notify the Secretary of the investigation. Upon
receipt of the notification, the Secretary shall immediately
conduct a study of—
‘‘(1) the number of agricultural commodity pro-
ducers producing a like or directly competitive agri-
cultural commodity who have been or are likely to be
certified as eligible for adjustment assistance under
this chapter, and
‘‘(2) the extent to which the adjustment of such
producers to the import competition may be facili-
tated through the use of existing programs.
‘‘(b) REPORT.—Not later than 15 days after the day
on which the Commission makes its report under section
202(f), the Secretary shall submit a report to the President
setting forth the findings of the study described in sub-
section (a). Upon making the report to the President, the
Secretary shall also promptly make the report public (with
the exception of information which the Secretary determines
111
HR 3009 EAS
to be confidential) and shall have a summary of the report
published in the Federal Register.
‘‘SEC. 295. BENEFIT INFORMATION TO AGRICULTURAL COM-
MODITY PRODUCERS.
‘‘(a) IN GENERAL.—The Secretary shall provide full
information to producers about the benefit allowances,
training, and other employment services available under
this title and about the petition and application procedures,
and the appropriate filing dates, for such allowances, train-
ing, and services. The Secretary shall provide whatever as-
sistance is necessary to enable groups to prepare petitions
or applications for program benefits under this title.
‘‘(b) NOTICE OF BENEFITS.—
‘‘(1) IN
GENERAL.—The Secretary shall mail
written notice of the benefits available under this
chapter to each agricultural commodity producer that
the Secretary has reason to believe is covered by a cer-
tification made under this chapter.
‘‘(2) OTHER NOTICE.—The Secretary shall pub-
lish notice of the benefits available under this chapter
to agricultural commodity producers that are covered
by each certification made under this chapter in
newspapers of general circulation in the areas in
which such producers reside.
112
HR 3009 EAS
‘‘(3) OTHER
FEDERAL
ASSISTANCE.—The Sec-
retary shall also provide information concerning pro-
cedures for applying for and receiving all other Fed-
eral assistance and services available to workers fac-
ing economic distress.
‘‘SEC. 296. QUALIFYING REQUIREMENTS FOR AGRICUL-
TURAL COMMODITY PRODUCERS.
‘‘(a) IN GENERAL.—
‘‘(1) REQUIREMENTS.—Payment of a trade ad-
justment allowance shall be made to an adversely af-
fected agricultural commodity producer covered by a
certification under this chapter who files an applica-
tion for such allowance within 90 days after the date
on which the Secretary makes a determination and
issues a certification of eligibility under section 293,
if the following conditions are met:
‘‘(A) The producer submits to the Secretary
sufficient information to establish the amount of
agricultural commodity covered by the applica-
tion filed under subsection (a) that was produced
by the producer in the most recent year.
‘‘(B) The producer certifies that the pro-
ducer has not received cash benefits under any
provision of this title other than this chapter.
113
HR 3009 EAS
‘‘(C) The producer’s net farm income (as de-
termined by the Secretary) for the most recent
year is less than the producer’s net farm income
for the latest year in which no adjustment assist-
ance was received by the producer under this
chapter.
‘‘(D) The producer certifies that the pro-
ducer has met with an Extension Service em-
ployee or agent to obtain, at no cost to the pro-
ducer, information and technical assistance that
will assist the producer in adjusting to import
competition with respect to the adversely affected
agricultural commodity, including—
‘‘(i) information regarding the feasi-
bility and desirability of substituting 1 or
more alternative commodities for the ad-
versely affected agricultural commodity;
and
‘‘(ii) technical assistance that will im-
prove the competitiveness of the production
and marketing of the adversely affected ag-
ricultural commodity by the producer, in-
cluding yield and marketing improvements.
‘‘(2) LIMITATION.—
114
HR 3009 EAS
‘‘(A) IN
GENERAL.—Notwithstanding any
other provision of this chapter, an agricultural
commodity producer shall not be eligible for as-
sistance under this chapter in any year in which
the average adjusted gross income of the producer
exceeds $2,500,000.
‘‘(B) CERTIFICATION.—To comply with the
limitation under subparagraph (A), an indi-
vidual or entity shall provide to the Secretary—
‘‘(i) a certification by a certified public
accountant or another third party that is
acceptable to the Secretary that the average
adjusted gross income of the producer does
not exceed $2,500,000; or
‘‘(ii) information and documentation
regarding the adjusted gross income of the
producer through other procedures estab-
lished by the Secretary.
‘‘(C) DEFINITIONS.—In this subsection:
‘‘(i) ADJUSTED
GROSS
INCOME.—The
term ‘adjusted gross income’ means adjusted
gross income of an agricultural commodity
producer—
‘‘(I) as defined in section 62 of the
Internal Revenue Code of 1986 and
115
HR 3009 EAS
implemented in accordance with proce-
dures established by the Secretary; and
‘‘(II) that is earned directly or in-
directly from all agricultural and non-
agricultural sources of an individual
or entity for a fiscal or corresponding
crop year.
‘‘(ii) AVERAGE
ADJUSTED
GROSS
IN-
COME.—
‘‘(I) IN GENERAL.—The term ‘av-
erage adjusted gross income’ means the
average adjusted gross income of a pro-
ducer for each of the 3 preceding tax-
able years.
‘‘(II) 
EFFECTIVE
ADJUSTED
GROSS INCOME.—In the case of a pro-
ducer that does not have an adjusted
gross income for each of the 3 pre-
ceding taxable years, the Secretary
shall establish rules that provide the
producer with an effective adjusted
gross income for the applicable year.
‘‘(b) AMOUNT OF CASH BENEFITS.—
‘‘(1) IN GENERAL.—Subject to the provisions of
section 298, an adversely affected agricultural com-
116
HR 3009 EAS
modity producer described in subsection (a) shall be
entitled to adjustment assistance under this chapter
in an amount equal to the product of—
‘‘(A) one-half of the difference between—
‘‘(i) an amount equal to 80 percent of
the average of the national average price of
the agricultural commodity covered by the
application described in subsection (a) for
the 5 marketing years preceding the most
recent marketing year, and
‘‘(ii) the national average price of the
agricultural commodity for the most recent
marketing year, and
‘‘(B) the amount of the agricultural com-
modity produced by the agricultural commodity
producer in the most recent marketing year.
‘‘(2) SPECIAL
RULE
FOR
SUBSEQUENT
QUALI-
FIED
YEARS.—The amount of cash benefits for a
qualified year shall be determined in the same man-
ner as cash benefits are determined under paragraph
(1) except that the average national price of the agri-
cultural commodity shall be determined under para-
graph (1)(A)(i) by using the 5-marketing-year period
used to determine the amount of cash benefits for the
first certification.
117
HR 3009 EAS
‘‘(c) MAXIMUM AMOUNT OF CASH ASSISTANCE.—The
maximum amount of cash benefits an agricultural com-
modity producer may receive in any 12-month period shall
not exceed $10,000.
‘‘(d) LIMITATIONS ON OTHER ASSISTANCE.—An agri-
cultural commodity producer entitled to receive a cash ben-
efit under this chapter—
‘‘(1) shall not be eligible for any other cash ben-
efit under this title, and
‘‘(2) shall be entitled to employment services and
training benefits under part III of subchapter C of
chapter 2.
‘‘SEC. 297. FRAUD AND RECOVERY OF OVERPAYMENTS.
‘‘(a) IN GENERAL.—
‘‘(1) REPAYMENT.—If the Secretary, or a court
of competent jurisdiction, determines that any person
has received any payment under this chapter to which
the person was not entitled, such person shall be liable
to repay such amount to the Secretary, except that the
Secretary may waive such repayment if the Secretary
determines, in accordance with guidelines prescribed
by the Secretary, that—
‘‘(A) the payment was made without fault
on the part of such person; and
118
HR 3009 EAS
‘‘(B) requiring such repayment would be
contrary to equity and good conscience.
‘‘(2) RECOVERY OF OVERPAYMENT.—Unless an
overpayment is otherwise recovered, or waived under
paragraph (1), the Secretary shall recover the over-
payment by deductions from any sums payable to
such person under this chapter.
‘‘(b) FALSE STATEMENT.—A person shall, in addition
to any other penalty provided by law, be ineligible for any
further payments under this chapter—
‘‘(1) if the Secretary, or a court of competent ju-
risdiction, determines that the person—
‘‘(A) knowingly has made, or caused an-
other to make, a false statement or representation
of a material fact; or
‘‘(B) knowingly has failed, or caused an-
other to fail, to disclose a material fact; and
‘‘(2) as a result of such false statement or rep-
resentation, or of such nondisclosure, such person has
received any payment under this chapter to which the
person was not entitled.
‘‘(c) NOTICE AND DETERMINATION.—Except for over-
payments determined by a court of competent jurisdiction,
no repayment may be required, and no deduction may be
made, under this section until a determination under sub-
119
HR 3009 EAS
section (a)(1) by the Secretary has been made, notice of the
determination and an opportunity for a fair hearing there-
on has been given to the person concerned, and the deter-
mination has become final.
‘‘(d) PAYMENT TO TREASURY.—Any amount recovered
under this section shall be returned to the Treasury of the
United States.
‘‘(e) PENALTIES.—Whoever makes a false statement of
a material fact knowing it to be false, or knowingly fails
to disclose a material fact, for the purpose of obtaining or
increasing for himself or for any other person any payment
authorized to be furnished under this chapter shall be fined
not more than $10,000 or imprisoned for not more than
1 year, or both.
‘‘SEC. 298. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) IN GENERAL.—There are authorized to be appro-
priated and there are appropriated to the Department of
Agriculture not to exceed $90,000,000 for each of the fiscal
years 2002 through 2007 to carry out the purposes of this
chapter.
‘‘(b) PROPORTIONATE REDUCTION.—If in any year,
the amount appropriated under this chapter is insufficient
to meet the requirements for adjustment assistance payable
under this chapter, the amount of assistance payable under
this chapter shall be reduced proportionately.’’.
120
HR 3009 EAS
(b) EFFECTIVE DATE.—The amendments made by this
title shall take effect on the date that is 180 days after the
date of enactment of this Act.
TITLE V—TRADE ADJUSTMENT
ASSISTANCE FOR FISHERMEN
SEC. 501. TRADE ADJUSTMENT ASSISTANCE FOR FISHER-
MEN.
(a) IN GENERAL.—Title II of the Trade Act of 1974
(19 U.S.C. 2251 et seq.), as amended by title IV of this
Act, is amended by adding at the end the following new
chapter:
‘‘CHAPTER 7—ADJUSTMENT ASSISTANCE
FOR FISHERMEN
‘‘SEC. 299. DEFINITIONS.
‘‘In this chapter:
‘‘(1) COMMERCIAL
FISHING, 
FISH, 
FISHERY,
FISHING, FISHING
VESSEL, PERSON, AND
UNITED
STATES
FISH
PROCESSOR.—The terms ‘commercial
fishing’, ‘fish’, ‘fishery’, ‘fishing’, ‘fishing vessel’, ‘per-
son’, and ‘United States fish processor’ have the same
meanings as such terms have in the Magnuson-Ste-
vens Fishery Conservation and Management Act (16
U.S.C. 1802).
‘‘(2) PRODUCER.—The term ‘producer’ means
any person who—
121
HR 3009 EAS
‘‘(A) is engaged in commercial fishing; or
‘‘(B) is a United States fish processor.
‘‘(3) CONTRIBUTED IMPORTANTLY.—
‘‘(A) IN GENERAL.—The term ‘contributed
importantly’ means a cause which is important
but not necessarily more important than any
other cause.
‘‘(B) DETERMINATION OF CONTRIBUTED IM-
PORTANTLY.—The determination of whether im-
ports of articles like or directly competitive with
a fish caught through commercial fishing or
processed by a United States fish processor with
respect to which a petition under this chapter
was filed contributed importantly to a decline in
the price of the fish shall be made by the Sec-
retary.
‘‘(4) DULY AUTHORIZED REPRESENTATIVE.—The
term ‘duly authorized representative’ means an asso-
ciation of producers.
‘‘(5) NATIONAL AVERAGE PRICE.—The term ‘na-
tional average price’ means the national average
price paid to a producer for fish in a marketing year
as determined by the Secretary.
‘‘(6) SECRETARY.—The term ‘Secretary’ means
the Secretary of Commerce.
122
HR 3009 EAS
‘‘(7) TRADE
ADJUSTMENT
ASSISTANCE
CEN-
TER.—The term ‘Trade Adjustment Assistance Center’
shall have the same meaning as such term has in sec-
tion 253.
‘‘SEC. 299A. PETITIONS; GROUP ELIGIBILITY.
‘‘(a) IN GENERAL.—A petition for a certification of
eligibility to apply for adjustment assistance under this
chapter may be filed with the Secretary by a group of pro-
ducers or by their duly authorized representative. Upon re-
ceipt of the petition, the Secretary shall promptly publish
notice in the Federal Register that the Secretary has re-
ceived the petition and initiated an investigation.
‘‘(b) HEARINGS.—If the petitioner, or any other person
found by the Secretary to have a substantial interest in the
proceedings, submits not later than 10 days after the date
of the Secretary’s publication under subsection (a) a request
for a hearing, the Secretary shall provide for a public hear-
ing and afford such interested person an opportunity to be
present, to produce evidence, and to be heard.
‘‘(c) GROUP ELIGIBILITY REQUIREMENTS.—The Sec-
retary shall certify a group of producers as eligible to apply
for adjustment assistance under this chapter if the Sec-
retary determines—
‘‘(1) that the national average price for the fish,
or a class of fish, produced by the group for the most
123
HR 3009 EAS
recent marketing year for which the national average
price is available is less than 80 percent of the aver-
age of the national average price for such fish, or such
class of fish, for the 5 marketing years preceding the
most recent marketing year; and
‘‘(2) that increases in imports of articles like or
directly competitive with the fish, or class of fish, pro-
duced by the group contributed importantly to the de-
cline in price described in paragraph (1).
‘‘(d) SPECIAL RULE FOR QUALIFIED SUBSEQUENT
YEARS.—A group of producers certified as eligible under
section 299B shall be eligible to apply for assistance under
this chapter in any qualified year after the year the group
is first certified, if the Secretary determines that—
‘‘(1) the national average price for the fish, or
class of fish, produced by the group for the most re-
cent marketing year for which the national average
price is available is equal to or less than the price de-
termined under subsection (c)(1); and
‘‘(2) the requirements of subsection (c)(2) are
met.
‘‘(e) DETERMINATION OF QUALIFIED YEAR AND COM-
MODITY.—In this chapter:
‘‘(1) QUALIFIED
YEAR.—The term ‘qualified
year’, with respect to a group of producers certified
124
HR 3009 EAS
as eligible under section 299B, means each consecutive
year after the year in which the group is certified
that the Secretary makes the determination under
subsection (c) or (d), as the case may be.
‘‘(2) CLASSES
OF
GOODS
WITHIN
A
COM-
MODITY.—In any case in which there are separate
classes of fish, the Secretary shall treat each class as
a separate commodity in determining group eligi-
bility, the national average price, and level of imports
under this section and section 299E.
‘‘SEC. 299B. DETERMINATIONS BY SECRETARY.
‘‘(a) IN GENERAL.—As soon as practicable after the
date on which a petition is filed under section 299A, but
in any event not later than 40 days after that date, the
Secretary shall determine whether the petitioning group
meets the requirements of section 299A (c) or (d), as the
case may be, and shall, if the group meets the requirements,
issue a certification of eligibility to apply for assistance
under this chapter covering producers in any group that
meets the requirements. Each certification shall specify the
date on which eligibility under this chapter begins.
‘‘(b) NOTICE.—Upon making a determination on a pe-
tition, the Secretary shall promptly publish a summary of
the determination in the Federal Register, together with the
Secretary’s reasons for making the determination.
125
HR 3009 EAS
‘‘(c) TERMINATION OF CERTIFICATION.—Whenever the
Secretary determines, with respect to any certification of
eligibility under this chapter, that the decline in price for
the fish covered by the certification is no longer attributable
to the conditions described in section 299A, the Secretary
shall terminate such certification and promptly cause no-
tice of such termination to be published in the Federal Reg-
ister, together with the Secretary’s reasons for making such
determination.
‘‘SEC. 299C. STUDY BY SECRETARY WHEN INTERNATIONAL
TRADE COMMISSION BEGINS INVESTIGATION.
‘‘(a) IN GENERAL.—Whenever the International Trade
Commission (in this chapter referred to as the ‘Commis-
sion’) begins an investigation under section 202 with re-
spect to a fish, the Commission shall immediately notify
the Secretary of the investigation. Upon receipt of the noti-
fication, the Secretary shall immediately conduct a study
of—
‘‘(1) the number of producers producing a like or
directly competitive agricultural commodity who have
been or are likely to be certified as eligible for adjust-
ment assistance under this chapter, and
‘‘(2) the extent to which the adjustment of such
producers to the import competition may be facili-
tated through the use of existing programs.
126
HR 3009 EAS
‘‘(b) REPORT.—Not later than 15 days after the day
on which the Commission makes its report under section
202(f), the Secretary shall submit a report to the President
setting forth the findings of the study under subsection (a).
Upon making his report to the President, the Secretary
shall also promptly make the report public (with the excep-
tion of information which the Secretary determines to be
confidential) and shall have a summary of it published in
the Federal Register.
‘‘SEC. 299D. BENEFIT INFORMATION TO PRODUCERS.
‘‘(a) IN GENERAL.—The Secretary shall provide full
information to producers about the benefit allowances,
training, and other employment services available under
this title and about the petition and application procedures,
and the appropriate filing dates, for such allowances, train-
ing, and services. The Secretary shall provide whatever as-
sistance is necessary to enable groups to prepare petitions
or applications for program benefits under this title.
‘‘(b) NOTICE OF BENEFITS.—
‘‘(1) IN
GENERAL.—The Secretary shall mail
written notice of the benefits available under this
chapter to each producer that the Secretary has rea-
son to believe is covered by a certification made under
this chapter.
127
HR 3009 EAS
‘‘(2) OTHER NOTICE.—The Secretary shall pub-
lish notice of the benefits available under this chapter
to producers that are covered by each certification
made under this chapter in newspapers of general cir-
culation in the areas in which such producers reside.
‘‘SEC. 299E. QUALIFYING REQUIREMENTS FOR PRODUCERS.
‘‘(a) IN GENERAL.—Payment of a trade adjustment al-
lowance shall be made to an adversely affected producer cov-
ered by a certification under this chapter who files an ap-
plication for such allowance within 90 days after the date
on which the Secretary makes a determination and issues
a certification of eligibility under section 299B, if the fol-
lowing conditions are met:
‘‘(1) The producer submits to the Secretary suffi-
cient information to establish the amount of fish cov-
ered by the application filed under subsection (a) that
was produced by the producer in the most recent year.
‘‘(2) The producer certifies that the producer has
not received cash benefits under any provision of this
title other than this chapter.
‘‘(3) The producer’s net fishing or processing in-
come (as determined by the Secretary) for the most
recent year is less than the producer’s net fishing or
processing income for the latest year in which no ad-
128
HR 3009 EAS
justment assistance was received by the producer
under this chapter.
‘‘(4) The producer certifies that—
‘‘(A) the producer has met with an employee
or agent from a Trade Adjustment Assistance
Center to obtain, at no cost to the producer, in-
formation and technical assistance that will as-
sist the producer in adjusting to import competi-
tion with respect to the adversely affected fish,
including—
‘‘(i) information regarding the feasi-
bility and desirability of substituting 1 or
more alternative fish for the adversely af-
fected fish; and
‘‘(ii) technical assistance that will im-
prove the competitiveness of the production
and marketing of the adversely affected fish
by the producer, including yield and mar-
keting improvements; and
‘‘(B) none of the benefits will be used to
purchase, lease, or finance any new fishing ves-
sel, add capacity to any fishery, or otherwise add
to the overcapitalization of any fishery.
‘‘(b) AMOUNT OF CASH BENEFITS.—
129
HR 3009 EAS
‘‘(1) IN GENERAL.—Subject to the provisions of
section 299G, an adversely affected producer described
in subsection (a) shall be entitled to adjustment as-
sistance under this chapter in an amount equal to the
product of—
‘‘(A) one-half of the difference between—
‘‘(i) an amount equal to 80 percent of
the average of the national average price of
the fish covered by the application described
in subsection (a) for the 5 marketing years
preceding the most recent marketing year;
and
‘‘(ii) the national average price of the
fish for the most recent marketing year; and
‘‘(B) the amount of the fish produced by the
producer in the most recent marketing year.
‘‘(2) SPECIAL
RULE
FOR
SUBSEQUENT
QUALI-
FIED
YEARS.—The amount of cash benefits for a
qualified year shall be determined in the same man-
ner as cash benefits are determined under paragraph
(1) except that the average national price of the fish
shall be determined under paragraph (1)(A)(i) by
using the 5-marketing-year period used to determine
the amount of cash benefits for the first certification.
A producer shall only be eligible for benefits for subse-
130
HR 3009 EAS
quent qualified years if the Secretary or his designee
determines that sufficient progress has been made im-
plementing 
the 
plans 
developed 
under 
section
299E(a)(4) of this title.
‘‘(c) MAXIMUM AMOUNT OF CASH ASSISTANCE.—The
maximum amount of cash benefits a producer may receive
in any 12-month period shall not exceed $10,000.
‘‘(d) LIMITATIONS ON OTHER ASSISTANCE.—A pro-
ducer entitled to receive a cash benefit under this chapter—
‘‘(1) shall not be eligible for any other cash ben-
efit under this title, and
‘‘(2) shall be entitled to employment services and
training benefits under part III of subchapter C of
chapter 2.
‘‘SEC. 299F. FRAUD AND RECOVERY OF OVERPAYMENTS.
‘‘(a) IN GENERAL.—
‘‘(1) REPAYMENT.—If the Secretary, or a court
of competent jurisdiction, determines that any person
has received any payment under this chapter to which
the person was not entitled, such person shall be liable
to repay such amount to the Secretary, except that the
Secretary may waive such repayment if the Secretary
determines, in accordance with guidelines prescribed
by the Secretary, that—
131
HR 3009 EAS
‘‘(A) the payment was made without fault
on the part of such person; and
‘‘(B) requiring such repayment would be
contrary to equity and good conscience.
‘‘(2) RECOVERY OF OVERPAYMENT.—Unless an
overpayment is otherwise recovered, or waived under
paragraph (1), the Secretary shall recover the over-
payment by deductions from any sums payable to
such person under this chapter.
‘‘(b) FALSE STATEMENT.—A person shall, in addition
to any other penalty provided by law, be ineligible for any
further payments under this chapter—
‘‘(1) if the Secretary, or a court of competent ju-
risdiction, determines that the person—
‘‘(A) knowingly has made, or caused an-
other to make, a false statement or representation
of a material fact; or
‘‘(B) knowingly has failed, or caused an-
other to fail, to disclose a material fact; and
‘‘(2) as a result of such false statement or rep-
resentation, or of such nondisclosure, such person has
received any payment under this chapter to which the
person was not entitled.
‘‘(c) NOTICE AND DETERMINATION.—Except for over-
payments determined by a court of competent jurisdiction,
132
HR 3009 EAS
no repayment may be required, and no deduction may be
made, under this section until a determination under sub-
section (a)(1) by the Secretary has been made, notice of the
determination and an opportunity for a fair hearing there-
on has been given to the person concerned, and the deter-
mination has become final.
‘‘(d) PAYMENT TO TREASURY.—Any amount recovered
under this section shall be returned to the Treasury of the
United States.
‘‘(e) PENALTIES.—Whoever makes a false statement of
a material fact knowing it to be false, or knowingly fails
to disclose a material fact, for the purpose of obtaining or
increasing for himself or for any other person any payment
authorized to be furnished under this chapter shall be fined
not more than $10,000 or imprisoned for not more than
1 year, or both.
‘‘SEC. 299G. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) IN GENERAL.—There are authorized to be appro-
priated and there are appropriated to the Department of
Commerce not to exceed $10,000,000 for each of the fiscal
years 2002 through 2007 to carry out the purposes of this
chapter.
‘‘(b) PROPORTIONATE REDUCTION.—If in any year,
the amount appropriated under this chapter is insufficient
to meet the requirements for adjustment assistance payable
133
HR 3009 EAS
under this chapter, the amount of assistance payable under
this chapter shall be reduced proportionately.’’.
(b) EFFECTIVE DATE.—The amendments made by this
title shall take effect on the date that is 180 days after the
date of enactment of this Act.
TITLE VI—HEALTH CARE COV-
ERAGE OPTIONS FOR WORK-
ERS ELIGIBLE FOR TRADE AD-
JUSTMENT ASSISTANCE
SEC. 601. TRADE ADJUSTMENT ASSISTANCE HEALTH IN-
SURANCE CREDIT.
(a) IN GENERAL.—Subchapter B of chapter 65 of the
Internal Revenue Code of 1986 (relating to abatements,
credits, and refunds) is amended by inserting after section
6428 the following new section:
‘‘SEC. 6429. TRADE ADJUSTMENT ASSISTANCE HEALTH IN-
SURANCE CREDIT.
‘‘(a) IN GENERAL.—In the case of an individual, there
shall be allowed as a credit against the tax imposed by sub-
title A an amount equal to 70 percent of the amount paid
during the taxable year for coverage for the taxpayer, the
taxpayer’s spouse, and dependents of the taxpayer under
qualified health insurance during eligible coverage months.
‘‘(b) ELIGIBLE COVERAGE MONTH.—For purposes of
this section—
134
HR 3009 EAS
‘‘(1) IN GENERAL.—The term ‘eligible coverage
month’ means any month if, as of the first day of
such month—
‘‘(A) the taxpayer is an eligible individual,
‘‘(B) the taxpayer is covered by qualified
health insurance,
‘‘(C) the premium for coverage under such
insurance for such month is paid by the tax-
payer, and
‘‘(D) the taxpayer does not have other speci-
fied coverage.
‘‘(2) SPECIAL RULES.—
‘‘(A) JOINT
RETURNS.—In the case of a
joint return, the requirements of paragraph (1)
shall be treated as met if at least 1 spouse satis-
fies such requirements.
‘‘(B) EXCLUSION OF MONTHS IN WHICH IN-
DIVIDUAL IS IMPRISONED.—Such term shall not
include any month with respect to an individual
if, as of the first day of such month, such indi-
vidual is imprisoned under Federal, State, or
local authority.
‘‘(3) OTHER
SPECIFIED
COVERAGE.—For pur-
poses of this subsection, an individual has other speci-
135
HR 3009 EAS
fied coverage for any month if, as of the first day of
such month—
‘‘(A) SUBSIDIZED COVERAGE.—
‘‘(i) IN GENERAL.—Such individual is
covered under any qualified health insur-
ance under which at least 50 percent of the
cost of coverage (determined under section
4980B) is paid or incurred by an employer
(or former employer) of the taxpayer or the
taxpayer’s spouse.
‘‘(ii) 
TREATMENT
OF
CAFETERIA
PLANS
AND
FLEXIBLE
SPENDING
AC-
COUNTS.—For purposes of clause (i), the
cost of benefits—
‘‘(I) which are chosen under a caf-
eteria plan (as defined in section
125(d)), or provided under a flexible
spending or similar arrangement, of
such an employer, and
‘‘(II) which are not includible in
gross income under section 106,
shall be treated as borne by such employer.
‘‘(B) COVERAGE
UNDER
MEDICARE, MED-
ICAID, OR SCHIP.—Such individual—
136
HR 3009 EAS
‘‘(i) is entitled to benefits under part A
of title XVIII of the Social Security Act or
is enrolled under part B of such title, or
‘‘(ii) is enrolled in the program under
title XIX or XXI of such Act (other than
under section 1928).
‘‘(C) CERTAIN
OTHER
COVERAGE.—Such
individual—
‘‘(i) is enrolled in a health benefits
plan under chapter 89 of title 5, United
States Code,
‘‘(ii) is entitled to receive benefits
under chapter 55 of title 10, United States
Code,
‘‘(iii) is entitled to receive benefits
under chapter 17 of title 38, United States
Code, or
‘‘(iv) is eligible for benefits under the
Indian Health Care Improvement Act.
‘‘(4) SPECIAL RULE.—For purposes of this sub-
section, an individual does not have other specified
coverage for any month if such coverage is under a
qualified long-term care insurance contract (as de-
fined in section 7702B(b)(1)).
137
HR 3009 EAS
‘‘(c) ELIGIBLE INDIVIDUAL.—For purposes of this sec-
tion, the term ‘eligible individual’ means an individual who
is qualified to receive payment of a trade adjustment allow-
ance under section 235 of the Trade Act of 1974, as amend-
ed by section 111 of the Trade Adjustment Assistance Re-
form Act of 2002.
‘‘(d) QUALIFIED HEALTH INSURANCE.—For purposes
of this section, the term ‘qualified health insurance’ means
health insurance coverage described under section 173(f) of
the Workforce Investment Act of 1998 (29 U.S.C. 2918(f)).
‘‘(e) COORDINATION WITH ADVANCE PAYMENTS OF
CREDIT.—
‘‘(1) RECAPTURE
OF
EXCESS
ADVANCE
PAY-
MENTS.—If any payment is made by the Secretary
under section 7527 during any calendar year to a
provider of qualified health insurance for an indi-
vidual, then the tax imposed by this chapter for the
individual’s last taxable year beginning in such cal-
endar year shall be increased by the aggregate
amount of such payments.
‘‘(2) RECONCILIATION OF PAYMENTS ADVANCED
AND CREDIT ALLOWED.—Any increase in tax under
paragraph (1) shall not be treated as tax imposed by
this chapter for purposes of determining the amount
of any credit (other than the credit allowed by sub-
138
HR 3009 EAS
section (a)) allowable under part IV of subchapter A
of chapter 1.
‘‘(f) SPECIAL RULES.—
‘‘(1) 
COORDINATION
WITH
OTHER
DEDUC-
TIONS.—Amounts taken into account under subsection
(a) shall not be taken into account in determining
any deduction allowed under section 162(l) or 213.
‘‘(2) MSA DISTRIBUTIONS.—Amounts distributed
from an Archer MSA (as defined in section 220(d))
shall not be taken into account under subsection (a).
‘‘(3) DENIAL OF CREDIT TO DEPENDENTS.—No
credit shall be allowed under this section to any indi-
vidual with respect to whom a deduction under sec-
tion 151 is allowable to another taxpayer for a tax-
able year beginning in the calendar year in which
such individual’s taxable year begins.
‘‘(4) CREDIT TREATED AS REFUNDABLE CRED-
IT.—For purposes of this title, the credit allowed
under this section shall be treated as a credit allow-
able under subpart C of part IV of subchapter A of
chapter 1.
‘‘(5) EXPENSES MUST BE SUBSTANTIATED.—A
payment for qualified health insurance to which sub-
section (a) applies may be taken into account under
139
HR 3009 EAS
this section only if the taxpayer substantiates such
payment in such form as the Secretary may prescribe.
‘‘(6) REGULATIONS.—The Secretary may pre-
scribe such regulations and other guidance as may be
necessary or appropriate to carry out this section and
section 7527.’’.
(b) INFORMATION REPORTING.—
(1) IN GENERAL.—Subpart B of part III of sub-
chapter A of chapter 61 of the Internal Revenue Code
of 1986 (relating to information concerning trans-
actions with other persons) is amended by inserting
after section 6050S the following new section:
‘‘SEC. 6050T. RETURNS RELATING TO TRADE ADJUSTMENT
ASSISTANCE HEALTH INSURANCE CREDIT.
‘‘(a) REQUIREMENT OF REPORTING.—Every person—
‘‘(1) who, in connection with a trade or business
conducted by such person, receives payments during
any calendar year from any individual for coverage
of such individual or any other individual under
qualified health insurance (as defined in section
6429(d)), and
‘‘(2) who claims a reimbursement for an advance
credit amount,
shall, at such time as the Secretary may prescribe, make
the return described in subsection (b) with respect to each
140
HR 3009 EAS
individual from whom such payments were received or for
whom such a reimbursement is claimed.
‘‘(b) FORM AND MANNER OF RETURNS.—A return is
described in this subsection if such return—
‘‘(1) is in such form as the Secretary may pre-
scribe, and
‘‘(2) contains—
‘‘(A) the name, address, and TIN of each
individual referred to in subsection (a),
‘‘(B) the aggregate of the advance credit
amounts provided to such individual and for
which reimbursement is claimed,
‘‘(C) the number of months for which such
advance credit amounts are so provided, and
‘‘(D) such other information as the Sec-
retary may prescribe.
‘‘(c) STATEMENTS TO BE FURNISHED TO INDIVIDUALS
WITH RESPECT TO WHOM INFORMATION IS REQUIRED.—
Every person required to make a return under subsection
(a) shall furnish to each individual whose name is required
to be set forth in such return a written statement showing—
‘‘(1) the name and address of the person required
to make such return and the phone number of the in-
formation contact for such person, and
141
HR 3009 EAS
‘‘(2) the information required to be shown on the
return with respect to such individual.
The written statement required under the preceding sen-
tence shall be furnished on or before January 31 of the year
following the calendar year for which the return under sub-
section (a) is required to be made.
‘‘(d) ADVANCE CREDIT AMOUNT.—For purposes of this
section, the term ‘advance credit amount’ means an amount
for which the person can claim a reimbursement pursuant
to a program established by the Secretary under section
7527.’’.
(2) ASSESSABLE PENALTIES.—
(A) Subparagraph (B) of section 6724(d)(1)
of such Code (relating to definitions) is amended
by redesignating clauses (xi) through (xvii) as
clauses (xii) through (xviii), respectively, and by
inserting after clause (x) the following new
clause:
‘‘(xi) section 6050T (relating to returns
relating to trade adjustment assistance
health insurance credit),’’.
(B) Paragraph (2) of section 6724(d) of
such Code is amended by striking ‘‘or’’ at the
end of subparagraph (Z), by striking the period
at the end of subparagraph (AA) and inserting
142
HR 3009 EAS
‘‘, or’’, and by adding after subparagraph (AA)
the following new subparagraph:
‘‘(BB) section 6050T (relating to returns re-
lating to trade adjustment assistance health in-
surance credit).’’.
(3) CLERICAL AMENDMENT.—The table of sec-
tions for subpart B of part III of subchapter A of
chapter 61 of such Code is amended by inserting after
the item relating to section 6050S the following new
item:
‘‘Sec. 6050T. Returns relating to trade adjustment assistance health
insurance credit.’’.
(c) CRIMINAL PENALTY FOR FRAUD.—
(1) IN GENERAL.—Subchapter B of chapter 75 of
the Internal Revenue Code of 1986 (relating to other
offenses) is amended by adding at the end the fol-
lowing:
‘‘SEC. 7276. PENALTIES FOR OFFENSES RELATING TO
TRADE ADJUSTMENT ASSISTANCE HEALTH
INSURANCE CREDIT.
‘‘Any person who knowingly misuses Department of
the Treasury names, symbols, titles, or initials to convey
the false impression of association with, or approval or en-
dorsement by, the Department of the Treasury of any insur-
ance products or group health coverage in connection with
the credit for trade adjustment assistance health insurance
143
HR 3009 EAS
under section 6429 shall on conviction thereof be fined not
more than $10,000, or imprisoned not more than 1 year,
or both.’’.
(2) The table of sections for subchapter B of
chapter 75 of such Code is amended by adding at the
end the following:
‘‘Sec. 7276. Penalties for offenses relating to trade adjustment as-
sistance health insurance credit.’’.
(d) CONFORMING AMENDMENTS.—
(1) Paragraph (2) of section 1324(b) of title 31,
United States Code, is amended by inserting before
the period ‘‘, or from section 6429 of such Code’’.
(2) The table of sections for subchapter B of
chapter 65 of the Internal Revenue Code of 1986 is
amended by adding at the end the following new item:
‘‘Sec. 6429. Trade adjustment assistance health insurance credit.’’.
(e) EFFECTIVE DATES.—
(1) IN GENERAL.—Except as provided in para-
graph (2), the amendments made by this section shall
apply to taxable years beginning after December 31,
2001, without regard to whether final regulations to
carry out such amendments have been promulgated by
such date.
(2) PENALTIES.—The amendments made by sub-
section (c) shall take effect on the date of the enact-
ment of this Act.
144
HR 3009 EAS
SEC. 602. ADVANCE PAYMENT OF TRADE ADJUSTMENT AS-
SISTANCE HEALTH INSURANCE CREDIT.
(a) IN GENERAL.—Chapter 77 of the Internal Revenue
Code of 1986 (relating to miscellaneous provisions) is
amended by adding at the end the following new section:
‘‘SEC. 7527. ADVANCE PAYMENT OF TRADE ADJUSTMENT AS-
SISTANCE HEALTH INSURANCE CREDIT.
‘‘(a) GENERAL RULE.—The Secretary shall establish
a program for making payments on behalf of eligible indi-
viduals (as defined in section 6429(c)) to providers of health
insurance for such individuals for whom a qualified health
insurance credit eligibility certificate is in effect.
‘‘(b) QUALIFIED HEALTH INSURANCE CREDIT ELIGI-
BILITY CERTIFICATE.—For purposes of this section, a
qualified health insurance credit eligibility certificate is a
statement certified by a designated local agency (as defined
in section 51(d)(11)) (or by any other entity designated by
the Secretary) which—
‘‘(1) certifies that the individual was an eligible
individual (as defined in section 6429(c)) as of the
first day of any month, and
‘‘(2) provides such other information as the Sec-
retary may require for purposes of this section.’’.
(b) CLERICAL AMENDMENT.—The table of sections for
chapter 77 of the Internal Revenue Code of 1986 is amended
by adding at the end the following new item:
145
HR 3009 EAS
‘‘Sec. 7527. Advance payment of trade adjustment assistance health
insurance credit.’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall take effect on the date of the enactment of this
Act, without regard to whether final regulations to carry
out such amendments have been promulgated by such date.
SEC. 603. HEALTH INSURANCE COVERAGE FOR ELIGIBLE
INDIVIDUALS.
(a) ELIGIBILITY FOR GRANTS.—Section 173(a) of the
Workforce Investment Act of 1998 (29 U.S.C. 2918(a)) is
amended—
(1) in paragraph (2), by striking ‘‘and’’ at the
end;
(2) in paragraph (3) by striking the period and
inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(4) from funds appropriated under section
174(c)—
‘‘(A) to a State to provide the assistance de-
scribed in subsection (f) to any eligible worker
(as defined in subsection (f)(4)(B)); and
‘‘(B) to a State to provide the assistance de-
scribed in subsection (g) to any eligible worker
(as defined in subsection (g)(5)).’’.
(b) USE OF FUNDS FOR HEALTH INSURANCE COV-
ERAGE.—Section 173 of the Workforce Investment Act of
146
HR 3009 EAS
1998 (29 U.S.C. 2918) is amended by adding at the end
the following:
‘‘(f) HEALTH INSURANCE COVERAGE ASSISTANCE FOR
ELIGIBLE WORKERS.—
‘‘(1) IN GENERAL.—Funds made available to a
State under paragraph (4)(A) of subsection (a) may
be used by the State for the following:
‘‘(A) HEALTH INSURANCE COVERAGE.—To
assist an eligible worker (as defined in para-
graph (4)(B)) in enrolling in health insurance
coverage through—
‘‘(i) COBRA continuation coverage;
‘‘(ii) State-based continuation coverage
provided by the State under a State law
that requires such coverage even though the
coverage would not otherwise be required
under the provisions of law referred to in
paragraph (4)(A);
‘‘(iii) the enrollment of the eligible
worker and the eligible worker’s spouse and
dependents in health insurance coverage of-
fered through a qualified State high risk
pool or other comparable State-based health
insurance coverage alternative;
147
HR 3009 EAS
‘‘(iv) the enrollment of the eligible
worker and the eligible worker’s spouse and
dependents in the health insurance program
offered for State employees;
‘‘(v) the enrollment of the eligible work-
er and the eligible worker’s spouse and de-
pendents in a State-based health insurance
program that is comparable to the health
insurance program offered for State employ-
ees;
‘‘(vi) a direct payment arrangement
entered into by the State and a group
health plan (including a multiemployer
plan as defined in section 3(37) of the Em-
ployee Retirement Income Security Act of
1974 (29 U.S.C. 1002(37))), an issuer of
health insurance coverage, an adminis-
trator, or an employer, as appropriate, on
behalf of the eligible worker and the eligible
worker’s spouse and dependents;
‘‘(vii) the enrollment of the eligible
worker and the eligible worker’s spouse and
dependents in a State-operated, State-fund-
ed health plan;
148
HR 3009 EAS
‘‘(viii) the enrollment of the eligible
worker and the eligible worker’s spouse and
dependents in health insurance coverage of-
fered through a State arrangement with a
private sector health care coverage pur-
chasing pool; or
‘‘(ix) in the case of an eligible worker
who was enrolled in individual health in-
surance coverage during the 6-month period
that ends on the date on which the worker
became unemployed, enrollment in such in-
dividual health insurance coverage.
‘‘(B) ESTABLISHMENT OF HEALTH INSUR-
ANCE COVERAGE MECHANISMS.—To establish or
administer—
‘‘(i) a qualified State high risk pool for
the purpose of providing health insurance
coverage to an eligible worker and the eligi-
ble worker’s spouse and dependents;
‘‘(ii) a State-based program for the
purpose of providing health insurance cov-
erage to an eligible worker and the eligible
worker’s spouse and dependents that is com-
parable to the State health insurance pro-
gram for State employees; or
149
HR 3009 EAS
‘‘(iii) a program under which the State
enters into arrangements described in sub-
paragraph (A)(vi).
‘‘(C) ADMINISTRATIVE EXPENSES.—To pay
the administrative expenses related to the enroll-
ment of eligible workers and the eligible workers
spouses and dependents in health insurance cov-
erage 
described 
in 
subparagraph 
(A),
including—
‘‘(i) eligibility verification activities;
‘‘(ii) the notification of eligible workers
of available health insurance coverage op-
tions;
‘‘(iii) processing qualified health insur-
ance credit eligibility certificates provided
for under section 7527 of the Internal Rev-
enue Code of 1986;
‘‘(iv) providing assistance to eligible
workers in enrolling in health insurance
coverage;
‘‘(v) the development or installation of
necessary data management systems; and
‘‘(vi) any other expenses determined
appropriate by the Secretary.
150
HR 3009 EAS
‘‘(2) REQUIREMENTS RELATING TO HEALTH IN-
SURANCE COVERAGE.—With respect to health insur-
ance coverage provided to eligible workers under any
of clauses (ii) through (viii) of paragraph (1)(A), the
State shall ensure that—
‘‘(A) enrollment is guaranteed for workers
who provide a qualified health insurance credit
eligibility certificate described in section 7527 of
the Internal Revenue Code of 1986 and who pay
the remainder of the premium for such enroll-
ment;
‘‘(B) no pre-existing condition limitations
are imposed with respect to such eligible workers;
‘‘(C) the worker is not required (as a condi-
tion of enrollment or continued enrollment under
the coverage) to pay a premium or contribution
that is greater than the premium or contribution
for a similarly situated individual who is not an
eligible worker;
‘‘(D) benefits under the coverage are the
same as (or substantially similar to) the benefits
provided to similarly situated individuals who
are not eligible workers;
‘‘(E) the standard loss ratio for the coverage
is not less than 65 percent;
151
HR 3009 EAS
‘‘(F) in the case of coverage provided under
paragraph (1)(A)(v), the premiums and benefits
are comparable to the premiums and benefits ap-
plicable to State employees; and
‘‘(G) such coverage otherwise meets require-
ments established by the Secretary.
‘‘(3) AVAILABILITY OF FUNDS.—
‘‘(A) EXPEDITED PROCEDURES.—With re-
spect to applications submitted by States for
grants under this subsection, the Secretary
shall—
‘‘(i) not later than 15 days after the
date on which the Secretary receives a com-
pleted application from a State, notify the
State of the determination of the Secretary
with respect to the approval or disapproval
of such application;
‘‘(ii) in the case of a State application
that is disapproved by the Secretary, pro-
vide technical assistance, at the request of
the State, in a timely manner to enable the
State to submit an approved application;
and
152
HR 3009 EAS
‘‘(iii) develop procedures to expedite
the provision of funds to States with ap-
proved applications.
‘‘(B) AVAILABILITY AND DISTRIBUTION OF
FUNDS.—The Secretary shall ensure that funds
made available under section 174(c)(1)(A) to
carry out subsection (a)(4)(A) are available to
States throughout the period described in section
174(c)(2)(A).
‘‘(4) DEFINITIONS.—For purposes of this sub-
section:
‘‘(A) COBRA
CONTINUATION
COVERAGE.—
The term ‘COBRA continuation coverage’ means
coverage under a group health plan provided by
an employer pursuant to title XXII of the Public
Health Service Act, section 4980B of the Internal
Revenue Code of 1986, part 6 of subtitle B of
title I of the Employee Retirement Income Secu-
rity Act of 1974, or section 8905a of title 5,
United States Code.
‘‘(B) ELIGIBLE WORKER.—The term ‘eligi-
ble worker’ means an individual who—
‘‘(i) is qualified to receive payment of
a trade adjustment allowance under section
235 of the Trade Act of 1974, as amended
153
HR 3009 EAS
by section 111 of the Trade Adjustment As-
sistance Reform Act of 2002;
‘‘(ii) does not have other specified cov-
erage; and
‘‘(iii) is not imprisoned under Federal,
State, or local authority.
‘‘(C) OTHER SPECIFIED COVERAGE.—With
respect to any individual, the term ‘other speci-
fied coverage’ means—
‘‘(i) SUBSIDIZED COVERAGE.—
‘‘(I) IN
GENERAL.—Such indi-
vidual is covered under any health in-
surance coverage under which at least
50 percent of the cost of coverage (de-
termined under section 4980B of the
Internal Revenue Code of 1986) is paid
or incurred by an employer (or former
employer) of the individual or the in-
dividual’s spouse.
‘‘(II) TREATMENT OF CAFETERIA
PLANS
AND
FLEXIBLE
SPENDING
AC-
COUNTS.—For purposes of subclause
(I), the cost of benefits which are cho-
sen under a cafeteria plan (as defined
in section 125(d) of such Code), or pro-
154
HR 3009 EAS
vided under a flexible spending or
similar arrangement, of such an em-
ployer, and which are not includible in
gross income under section 106 of such
Code, shall be treated as borne by such
employer.
‘‘(ii) COVERAGE
UNDER
MEDICARE,
MEDICAID, OR SCHIP.—Such individual—
‘‘(I) is entitled to benefits under
part A of title XVIII of the Social Se-
curity Act or is enrolled under part B
of such title, or
‘‘(II) is enrolled in the program
under title XIX or XXI of such Act
(other than under section 1928).
‘‘(iii) CERTAIN
OTHER
COVERAGE.—
Such individual—
‘‘(I) is enrolled in a health bene-
fits plan under chapter 89 of title 5,
United States Code;
‘‘(II) is entitled to receive benefits
under chapter 55 of title 10, United
States Code;
155
HR 3009 EAS
‘‘(III) is entitled to receive bene-
fits under chapter 17 of title 38,
United States Code; or
‘‘(IV) is eligible for benefits under
the Indian Health Care Improvement
Act.
Such term does not include coverage under a
qualified long-term care insurance contract (as
defined in section 7702B(b)(1) of the Internal
Revenue Code of 1986).
‘‘(D) GROUP
HEALTH
PLAN.—The term
‘group health plan’ has the meaning given that
term in section 2791(a) of the Public Health
Service Act (42 U.S.C. 300gg–91(a)), section
607(1) of the Employee Retirement Income Secu-
rity Act of 1974 (29 U.S.C. 1167(1)), and section
4980B(g)(2) of the Internal Revenue Code of
1986.
‘‘(E) HEALTH INSURANCE COVERAGE.—The
term ‘health insurance coverage’ has the meaning
given that term in section 2791(b)(1) of the Pub-
lic Health Service Act (42 U.S.C. 300gg–
91(b)(1)) (other than insurance if substantially
all of its coverage is of excepted benefits described
156
HR 3009 EAS
in section 2791(c) of such Act (42 U.S.C. 300gg–
91(c)) .
‘‘(F) INDIVIDUAL HEALTH INSURANCE COV-
ERAGE.—The term ‘individual health insurance
coverage’ means health insurance coverage offered
to individuals other than in connection with a
group health plan. Such term does not include
Federal- or State-based health insurance cov-
erage.
‘‘(G) QUALIFIED STATE HIGH RISK POOL.—
The term ‘qualified State high risk pool’ has the
meaning given that term in section 2744(c)(2) of
the Public Health Service Act.
‘‘(H) STANDARD
LOSS
RATIO.—The term
‘standard loss ratio’, with respect to the pool of
insured individuals under coverage described in
clauses (ii) through (viii) of subparagraph (A)
for a year, means—
‘‘(i) the amount of claims incurred
with respect to the pool of insured individ-
uals in each such type of coverage for such
year; divided by
‘‘(ii) the premiums paid for enrollment
in each such coverage for such year.
‘‘(g) INTERIM HEALTH AND OTHER ASSISTANCE.—
157
HR 3009 EAS
‘‘(1) IN GENERAL.—Funds made available to a
State under paragraph (4)(B) of subsection (a) may
be used by the State to provide assistance and support
services to eligible workers, including health care cov-
erage, transportation, child care, dependent care, and
income assistance.
‘‘(2) INCOME SUPPORT.—With respect to any in-
come assistance provided to an eligible worker with
such funds, such assistance shall supplement and not
supplant other income support or assistance provided
under chapter 2 of title II of the Trade Act of 1974
(19 U.S.C. 2271 et seq.) (as in effect on the day before
the effective date of the Trade Adjustment Assistance
Reform Act of 2002) or the unemployment compensa-
tion laws of the State where the eligible worker re-
sides.
‘‘(3) HEALTH CARE COVERAGE.—With respect to
any health care coverage assistance provided to an el-
igible worker with such funds, the following rules
shall apply:
‘‘(A) The State may provide assistance in
obtaining health care coverage to the eligible
worker and to the eligible worker’s spouse and
dependents.
158
HR 3009 EAS
‘‘(B) Such assistance shall supplement and
may not supplant any other State or local funds
used to provide health care coverage and may
not be included in determining the amount of
non-Federal contributions required under any
program.
‘‘(4) AVAILABILITY OF FUNDS.—
‘‘(A) EXPEDITED PROCEDURES.—With re-
spect to applications submitted by States for
grants under this subsection, the Secretary
shall—
‘‘(i) not later than 15 days after the
date on which the Secretary receives a com-
pleted application from a State, notify the
State of the determination of the Secretary
with respect to the approval or disapproval
of such application;
‘‘(ii) in the case of a State application
that is disapproved by the Secretary, pro-
vide technical assistance, at the request of
the State, in a timely manner to enable the
State to submit an approved application;
and
159
HR 3009 EAS
‘‘(iii) develop procedures to expedite
the provision of funds to States with ap-
proved applications.
‘‘(B) AVAILABILITY AND DISTRIBUTION OF
FUNDS.—The Secretary shall ensure that funds
made available under section 174(c)(1)(B) to
carry out subsection (a)(4)(B) are available to
States throughout the period described in section
174(c)(2)(B).
‘‘(5) DEFINITION OF ELIGIBLE WORKER.—In this
subsection, the term ‘eligible worker’ means an indi-
vidual who is a member of a group of workers cer-
tified after April 1, 2002 under chapter 2 of title II
of the Trade Act of 1974 (as in effect on the day be-
fore the effective date of the Trade Adjustment Assist-
ance Reform Act of 2002) and who is determined to
be qualified to receive payment of a trade adjustment
allowance under such chapter (as so in effect).’’.
(c) AUTHORIZATION
OF APPROPRIATIONS.—Section
174 of the Workforce Investment Act of 1998 (29 U.S.C.
2919) is amended by adding at the end the following:
‘‘(c) ASSISTANCE FOR ELIGIBLE WORKERS.—
‘‘(1) IN GENERAL.—There are authorized to be
appropriated—
160
HR 3009 EAS
‘‘(A) to carry out subsection (a)(4)(A) of
section 173—
‘‘(i) $10,000,000 for fiscal year 2002;
and
‘‘(ii) $60,000,000 for each of fiscal
years 2003 through 2007; and
‘‘(B) to carry out subsection (a)(4)(B) of
section 173—
‘‘(i) $50,000,000 for fiscal year 2002;
‘‘(ii) $100,000,000 for fiscal year 2003;
and
‘‘(iii) $50,000,000 for fiscal year 2004.
‘‘(2) AVAILABILITY
OF
FUNDS.—Funds appro-
priated under—
‘‘(A) paragraph (1)(A) for each fiscal year
shall, notwithstanding section 189(g), remain
available for obligation during the pendency of
any outstanding claim under the Trade Act of
1974, as amended by the Trade Adjustment As-
sistance Reform Act of 2002; and
‘‘(B) paragraph (1)(B), for each fiscal year
shall, notwithstanding section 189(g), remain
available during the period that begins on the
date of enactment of the Trade Adjustment As-
161
HR 3009 EAS
sistance Reform Act of 2002 and ends on Sep-
tember 30, 2004.’’.
(d) CONFORMING AMENDMENT.—Section 132(a)(2)(A)
of the Workforce Investment Act of 1998 (29 U.S.C.
2862(a)(2)(A)) is amended by inserting ‘‘, other than under
subsection (a)(4), (f), and (g)’’ after ‘‘grants’’.
(e) TEMPORARY EXTENSION OF COBRA ELECTION
PERIOD FOR CERTAIN INDIVIDUALS.—
(1) IN
GENERAL.—Notwithstanding any other
provision of law, the election period for COBRA con-
tinuation coverage (as defined in section 6429(d)(2)
of the Internal Revenue Code of 1986) with respect to
any eligible individual (as defined in section 6429(c)
of such Code) for whom such period has expired as of
the date of the enactment of this Act, shall not end
before the date that is 60 days after the date the indi-
vidual becomes such an eligible individual.
(2) PREEXISTING CONDITIONS.—If an individual
becomes such an eligible individual, any period before
the date of such eligibility shall be disregarded for
purposes of determining the 63-day periods referred to
in section 701(c)(2) of the Employee Retirement In-
come Security Act of 1974 (29 U.S.C. 1181(c)(2)),
section 2701(c)(2) of the Public Health Service Act
162
HR 3009 EAS
(42 U.S.C. 300gg(c)(2)), and section 9801(c)(2) of the
Internal Revenue Code of 1986.
TITLE 
VII—CONFORMING
AMENDMENTS 
AND 
EFFEC-
TIVE DATE
SEC. 701. CONFORMING AMENDMENTS.
(a) AMENDMENTS TO THE TRADE ACT OF 1974.—
(1) ASSISTANCE TO INDUSTRIES.—Section 265 of
the Trade Act of 1974 (19 U.S.C. 2355) is amended
by striking ‘‘certified as eligible to apply for adjust-
ment assistance under sections 231 or 251’’, and in-
serting ‘‘certified as eligible for trade adjustment as-
sistance benefits under section 231, or as eligible to
apply for adjustment assistance under section 251’’.
(2) GENERAL
ACCOUNTING
OFFICE
REPORT.—
Section 280 of the Trade Act of 1974 (19 U.S.C.
2391) is amended to read as follows:
‘‘SEC. 280. GENERAL ACCOUNTING OFFICE REPORT.
‘‘(a) STUDY AND REPORT.—The Comptroller General
of the United States shall conduct a study of the adjustment
assistance programs established under chapters 2, 3, 4, 6,
and 7 of this title and shall report the results of such study
to the Congress no later than January 31, 2005. Such re-
port shall include an evaluation of—
163
HR 3009 EAS
‘‘(1) the effectiveness of such programs in aiding
workers, farmers, fishermen, firms, and communities
to adjust to changed economic conditions resulting
from changes in the patterns of international trade;
and
‘‘(2) the coordination of the administration of
such programs and other Government programs which
provide unemployment compensation and relief to de-
pressed areas.
‘‘(b) ASSISTANCE
OF OTHER DEPARTMENTS
AND
AGENCIES.—In carrying out his responsibilities under this
section, the Comptroller General shall, to the extent prac-
tical, avail himself of the assistance of the Departments of
Labor, Commerce, and Agriculture and the Small Business
Administration. The Secretaries of Labor, Commerce, and
Agriculture and the Administrator of the Small Business
Administration shall make available to the Comptroller
General any assistance necessary for an effective evalua-
tion of the adjustment assistance programs established
under this title.’’.
(3) COORDINATION.—Section 281 of the Trade
Act of 1974 (19 U.S.C. 2392) is amended by striking
‘‘Departments of Labor and Commerce’’ and inserting
‘‘Departments of Labor, Commerce, and Agriculture’’.
164
HR 3009 EAS
(4) TRADE MONITORING SYSTEM.—Section 282 of
the Trade Act of 1974 (19 U.S.C. 2393) is amended
by striking ‘‘The Secretary of Commerce and the Sec-
retary of Labor’’ and inserting ‘‘The Secretaries of
Commerce, Labor, and Agriculture’’.
(5) JUDICIAL REVIEW.—
(A) Section 284(a) of the Trade Act of 1974
(19 U.S.C. 2395(a)) is amended by striking
‘‘under section 223 or section 250(c)’’ and all
that follows through ‘‘the Secretary of Commerce
under section 271’’ and inserting ‘‘under section
231, a firm or its representative, or any other
interested domestic party aggrieved by a final
determination of the Secretary of Commerce
under section 251, an agricultural commodity
producer (as defined in section 291(2)) aggrieved
by a determination of the Secretary of Agri-
culture under section 293, or a producer (as de-
fined in section 299(2)) aggrieved by a deter-
mination of the Secretary of Commerce under
section 299B’’.
(B) Section 284 of such Trade Act of 1974
is amended in the second sentence of subsection
(a) and in subsections (b) and (c), by inserting
165
HR 3009 EAS
‘‘or the Secretary of Agriculture’’ after ‘‘Sec-
retary of Commerce’’ each place it appears.
(6) TERMINATION.—Section 285 of the Trade Act
of 1974 is amended to read as follows:
‘‘SEC. 285. TERMINATION.
‘‘(a) ASSISTANCE FOR WORKERS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), trade adjustment assistance, vouchers, al-
lowances, and other payments or benefits may not be
provided under chapter 2 after September 30, 2007.
‘‘(2) EXCEPTION.—Notwithstanding paragraph
(1), a worker shall continue to receive trade adjust-
ment assistance benefits and other benefits under
chapter 2 for any week for which the worker meets the
eligibility requirements of that chapter, if on or before
September 30, 2007, the worker is—
‘‘(A) certified as eligible for trade adjust-
ment assistance benefits under section 231; and
‘‘(B) otherwise eligible to receive trade ad-
justment assistance benefits under chapter 2.
‘‘(b) OTHER ASSISTANCE.—
‘‘(1) ASSISTANCE FOR FIRMS.—Technical assist-
ance may not be provided under chapter 3 after Sep-
tember 30, 2007.
166
HR 3009 EAS
‘‘(2) ASSISTANCE FOR COMMUNITIES.—Technical
assistance and other payments may not be provided
under chapter 4 after September 30, 2007.
‘‘(3) ASSISTANCE
FOR
FARMERS
AND
FISHER-
MEN.—
‘‘(A) IN GENERAL.—Except as provided in
subparagraph (B), adjustment assistance, vouch-
ers, allowances, and other payments or benefits
may not be provided under chapter 6 or 7 after
September 30, 2007.
‘‘(B) EXCEPTION.—Notwithstanding sub-
paragraph (A), an agricultural commodity pro-
ducer (as defined in section 291(2)) or producer
(as defined in section 299(2)), shall continue to
receive adjustment assistance benefits and other
benefits under chapter 6 or 7, whichever applies,
for any week for which the agricultural com-
modity producer or producer meets the eligibility
requirements of chapter 6 or 7, whichever ap-
plies, if on or before September 30, 2007, the ag-
ricultural commodity producer or producer is—
‘‘(i) certified as eligible for adjustment
assistance benefits under chapter 6 or 7,
whichever applies; and
167
HR 3009 EAS
‘‘(ii) is otherwise eligible to receive ad-
justment assistance benefits under such
chapter 6 or 7.’’.
(6) TABLE OF CONTENTS.—
(A) IN GENERAL.—The table of contents for
chapters 2, 3, and 4 of title II of the Trade Act
of 1974 is amended to read as follows:
‘‘CHAPTER 2—ADJUSTMENT ASSISTANCE FOR WORKERS
‘‘SUBCHAPTER A—GENERAL PROVISIONS
‘‘Sec. 221. Definitions.
‘‘Sec. 222. Agreements with States.
‘‘Sec. 223. Administration absent State agreement.
‘‘Sec. 224. Data collection; evaluations; reports.
‘‘Sec. 225. Study by Secretary of Labor when International Trade Commis-
sion begins investigation.
‘‘Sec. 226. Report by Secretary of Labor on likely impact of trade agree-
ments.
‘‘SUBCHAPTER B—CERTIFICATIONS
‘‘Sec. 231. Certification as adversely affected workers.
‘‘Sec. 232. Benefit information to workers.
‘‘SUBCHAPTER C—PROGRAM BENEFITS
‘‘PART I—GENERAL PROVISIONS
‘‘Sec. 234. Comprehensive assistance.
‘‘PART II—TRADE ADJUSTMENT ALLOWANCES
‘‘Sec. 235. Qualifying requirements for workers.
‘‘Sec. 236. Weekly amounts.
‘‘Sec. 237. Limitations on trade adjustment allowances.
‘‘Sec. 238. Application of State laws.
‘‘PART III—EMPLOYMENT SERVICES, TRAINING, AND OTHER ALLOWANCES
‘‘Sec. 239. Employment services.
‘‘Sec. 240. Training.
‘‘Sec. 240A. Job training programs.
‘‘Sec. 241. Job search allowances.
‘‘Sec. 242. Relocation allowances.
‘‘Sec. 243. Supportive services; wage insurance.
‘‘SUBCHAPTER D—PAYMENT AND ENFORCEMENT PROVISIONS
‘‘Sec. 244. Payments to States.
‘‘Sec. 245. Liabilities of certifying and disbursing officers.
168
HR 3009 EAS
‘‘Sec. 246. Fraud and recovery of overpayments.
‘‘Sec. 247. Criminal penalties.
‘‘Sec. 248. Authorization of appropriations.
‘‘Sec. 249. Regulations.
‘‘Sec. 250. Subpoena power.
‘‘CHAPTER 3—TRADE ADJUSTMENT ASSISTANCE FOR FIRMS
‘‘Sec. 251. Petitions and determinations.
‘‘Sec. 252. Approval of adjustment proposals.
‘‘Sec. 253. Technical assistance.
‘‘Sec. 254. Financial assistance.
‘‘Sec. 255. Conditions for financial assistance.
‘‘Sec. 256. Delegation of functions to Small Business Administration; au-
thorization of appropriations.
‘‘Sec. 257. Administration of financial assistance.
‘‘Sec. 258. Protective provisions.
‘‘Sec. 259. Penalties.
‘‘Sec. 260. Suits.
‘‘Sec. 261. Definition of firm.
‘‘Sec. 262. Regulations.
‘‘Sec. 264. Study by Secretary of Commerce when International Trade Com-
mission begins investigation; action where there is affirma-
tive finding.
‘‘Sec. 265. Assistance to industries.
‘‘CHAPTER 4—COMMUNITY ECONOMIC ADJUSTMENT
‘‘Sec. 271. Definitions.
‘‘Sec. 272. Office of Community Trade Adjustment.
‘‘Sec. 273. Notification and certification as an eligible community.
‘‘Sec. 274. Community Economic Development Coordinating Committee.
‘‘Sec. 275. Community economic adjustment advisors.
‘‘Sec. 276. Strategic plans.
‘‘Sec. 277. Grants for economic development.
‘‘Sec. 278. Authorization of appropriations.
‘‘Sec. 279. General provisions.’’.
(B) CHAPTERS 6 AND 7.—The table of con-
tents for title II of the Trade Act of 1974, as
amended by subparagraph (A), is amended by
inserting after the items relating to chapter 5 the
following:
‘‘CHAPTER 6—ADJUSTMENT ASSISTANCE FOR FARMERS
‘‘Sec. 291. Definitions.
‘‘Sec. 292. Petitions; group eligibility.
‘‘Sec. 293. Determinations by Secretary of Agriculture.
‘‘Sec. 294. Study by Secretary of Agriculture when International Trade Commis-
sion begins investigation.
‘‘Sec. 295. Benefit information to agricultural commodity producers.
169
HR 3009 EAS
‘‘Sec. 296. Qualifying requirements for agricultural commodity producers.
‘‘Sec. 297. Fraud and recovery of overpayments.
‘‘Sec. 298. Authorization of appropriations.
‘‘CHAPTER 7—ADJUSTMENT ASSISTANCE FOR FISHERMEN
‘‘Sec. 299. Definitions.
‘‘Sec. 299A. Petitions; group eligibility.
‘‘Sec. 299B. Determinations by Secretary.
‘‘Sec. 299C. Study by Secretary when International Trade Commission begins in-
vestigation.
‘‘Sec. 299D. Benefit information to producers.
‘‘Sec. 299E. Qualifying requirements for producers.
‘‘Sec. 299F. Fraud and recovery of overpayments.
‘‘Sec. 299G. Authorization of appropriations.’’.
(b) INTERNAL REVENUE CODE.—
(1) 
ADJUSTED
GROSS
INCOME.—Section
62(a)(12) of the Internal Revenue Code of 1986 (relat-
ing to the definition of adjusted gross income) is
amended by striking ‘‘trade readjustment allowances
under section 231 or 232’’ and inserting ‘‘trade ad-
justment allowances under section 235 or 236’’.
(2) FEDERAL UNEMPLOYMENT.—
(A) IN GENERAL.—Section 3304(a)(8) of the
Internal Revenue Code of 1986 (relating to the
approval of State unemployment insurance laws)
is amended to read as follows:
‘‘(8) compensation shall not be denied to an in-
dividual for any week because the individual is in
training with the approval of the State agency, or in
training approved by the Secretary of Labor pursu-
ant to chapter 2 of title II of the Trade Act of 1974
(or because of the application, to any such week in
170
HR 3009 EAS
training, of State law provisions relating to avail-
ability for work, active search for work, or refusal to
accept work);’’.
(B) EFFECTIVE DATE.—
(i) IN GENERAL.—Except as provided
in clause (ii), the amendments made by this
paragraph shall apply in the case of com-
pensation paid for weeks beginning on or
after the date that is 90 days after the date
of enactment of this Act.
(ii) MEETING
OF
STATE
LEGISLA-
TURE.—
(I) IN GENERAL.—If the Secretary
of Labor identifies a State as requiring
a change to its statutes or regulations
in order to comply with the amend-
ments made by subparagraph (A), the
amendments made by subparagraph
(A) shall apply in the case of com-
pensation paid for weeks beginning
after the earlier of—
(aa) 
the 
date 
the 
State
changes its statutes or regulations
in order to comply with the
171
HR 3009 EAS
amendments made by this section;
or
(bb) the end of the first ses-
sion of the State legislature which
begins after the date of enactment
of this Act or which began prior
to such date and remained in ses-
sion for at least 25 calendar days
after such date;
except that in no case shall the amend-
ments made by this Act apply before
the date described in clause (i).
(II) SESSION DEFINED.—In this
clause, the term ‘‘session’’ means a reg-
ular, special, budget, or other session of
a State legislature.
(c) AMENDMENTS TO TITLE 28.—
(1) 
CIVIL
ACTIONS
AGAINST
THE
UNITED
STATES.—Section 1581(d) of title 28, United States
Code, is amended—
(A) in paragraph (1), by striking ‘‘section
223’’ and inserting ‘‘section 231’’;
(B) in paragraph (2), by striking ‘‘and’’;
and
172
HR 3009 EAS
(C) by striking paragraph (3), and insert-
ing the following:
‘‘(3) any final determination of the Secretary of
Agriculture under section 293 of the Trade Act of
1974 with respect to the eligibility of an agricultural
commodity producer (as defined in section 291(2)) for
adjustment assistance under such Act; and
‘‘(4) any final determination of the Secretary of
Commerce under section 299B of the Trade Act of
1974 with respect to the eligibility of a producer (as
defined in section 299(2)) for adjustment assistance
under such Act.’’.
(2) PERSONS ENTITLED TO COMMENCE A CIVIL
ACTION.—Section 2631 of title 28, United States
Code, is amended—
(A) by amending subsection (d)(1) to read
as follows:
‘‘(d)(1) A civil action to review any final determina-
tion of the Secretary of Labor under section 231 of the
Trade Act of 1974 with respect to the certification of work-
ers as adversely affected and eligible for trade adjustment
assistance under that Act may be commenced by a worker,
a group of workers, a certified or recognized union, or an
authorized representative of such worker or group, that peti-
173
HR 3009 EAS
tions for certification under that Act or is aggrieved by the
final determination.’’;
(B) by striking paragraph (3), and insert-
ing the following:
‘‘(3) A civil action to review any final deter-
mination of the Secretary of Agriculture under sec-
tion 293 of the Trade Act of 1974 with respect to the
eligibility of an agricultural commodity producer for
adjustment assistance may be commenced in the
Court of International Trade by an agricultural com-
modity producer that applies for assistance under
such Act and is aggrieved by such final determina-
tion, or by any other interested party that is ag-
grieved by such final determination.’’; and
(C) by adding at the end the following new
paragraph:
‘‘(4) A civil action to review any final deter-
mination of the Secretary of Commerce under section
299B of the Trade Act of 1974 with respect to the eli-
gibility of an producer (as defined in section 299(2))
for adjustment assistance may be commenced in the
Court of International Trade by a producer that ap-
plies for assistance under such Act and is aggrieved
by such final determination, or by any other inter-
174
HR 3009 EAS
ested party that is aggrieved by such final determina-
tion.’’.
(3) TIME FOR COMMENCEMENT OF ACTION.—Sec-
tion 2636(d) of title 28, United States Code, is
amended by striking ‘‘under section 223 of the Trade
Act of 1974 or a final determination of the Secretary
of Commerce under section 251 or section 271 of such
Act’’ and inserting ‘‘under section 231 of the Trade
Act of 1974, a final determination of the Secretary of
Commerce under section 251 of that Act, a final de-
termination of the Secretary of Agriculture under sec-
tion 293 of that Act, or a final determination of the
Secretary of Commerce under section 299B of that
Act’’.
(4) SCOPE AND STANDARD OF REVIEW.—Section
2640(c) of title 28, United States Code, is amended by
striking ‘‘under section 223 of the Trade Act of 1974
or any final determination of the Secretary of Com-
merce under section 251 or section 271 of such Act’’
and inserting ‘‘under section 231 of the Trade Act of
1974, a final determination of the Secretary of Com-
merce under section 251 of that Act, a final deter-
mination of the Secretary of Agriculture under sec-
tion 293 of that Act, or a final determination of the
175
HR 3009 EAS
Secretary of Commerce under section 299B of that
Act’’.
(5) RELIEF.—Section 2643(c)(2) of title 28,
United States Code, is amended by striking ‘‘under
section 223 of the Trade Act of 1974 or any final de-
termination of the Secretary of Commerce under sec-
tion 251 or section 271 of such Act’’ and inserting
‘‘under section 231 of the Trade Act of 1974, a final
determination of the Secretary of Commerce under
section 251 of that Act, a final determination of the
Secretary of Agriculture under section 293 of that
Act, or a final determination of the Secretary of Com-
merce under section 299B of that Act’’.
(d) AMENDMENT TO THE FOOD STAMP ACT OF 1977.—
Section 6(o)(1)(B) of the Food Stamp Act of 1977 (7 U.S.C.
2015(o)(1)(B)) is amended by striking ‘‘section 236’’ and
inserting ‘‘section 240’’.
TITLE 
VIII—SAVINGS 
PROVI-
SIONS AND EFFECTIVE DATE
SEC. 801. SAVINGS PROVISIONS.
(a) PROCEEDINGS NOT AFFECTED.—
(1) IN GENERAL.—The provisions of this division
shall not affect any petition for certification for bene-
fits under chapter 2 of title II of the Trade Act of
1974 that was in effect on September 30, 2001. Deter-
176
HR 3009 EAS
minations shall be issued, appeals shall be taken
therefrom, and payments shall be made under those
determinations, as if this division had not been en-
acted, and orders issued in any proceeding shall con-
tinue in effect until modified, terminated, superseded,
or revoked by a duly authorized official, by a court
of competent jurisdiction, or by operation of law.
(2) MODIFICATION OR DISCONTINUANCE.—Noth-
ing in this subsection shall be deemed to prohibit the
discontinuance or modification of any proceeding
under the same terms and conditions and to the same
extent that the proceeding could have been discon-
tinued or modified if this division had not been en-
acted.
(b) SUITS NOT AFFECTED.—The provisions of this di-
vision shall not affect any suit commenced before October
1, 2001, and in all those suits, proceedings shall be had,
appeals taken, and judgments rendered in the same manner
and with the same effect as if this division had not been
enacted.
(c) NONABATEMENT OF ACTIONS.—No suit, action, or
other proceeding commenced by or against the Federal Gov-
ernment, or by or against any individual in the official
capacity of that individual as an officer of the Federal Gov-
ernment, shall abate by reason of enactment of this Act.
177
HR 3009 EAS
SEC. 802. EFFECTIVE DATE.
(a) IN GENERAL.—Except as otherwise provided in
sections 401(b), 501(b), and 701(b)(2)(B), titles IX, X, and
XI, and subsections (b), (c), and (d) of this section, the
amendments made by this division shall apply to—
(1) petitions for certification filed under chapter
2 or 3 of title II of the Trade Act of 1974 on or after
the date that is 90 days after the date of enactment
of this Act; and
(2) certifications for assistance under chapter 4
of title II of the Trade Act of 1974 issued on or after
the date that is 90 days after the date of enactment
of this Act.
(b) WORKERS CERTIFIED AS ELIGIBLE BEFORE EF-
FECTIVE DATE.—Notwithstanding subsection (a), a worker
shall continue to receive (or be eligible to receive) trade ad-
justment assistance and other benefits under chapter 2 of
title II of the Trade Act of 1974, as in effect on September
30, 2001, for any week for which the worker meets the eligi-
bility requirements of such chapter 2 as in effect on such
date, if on or before such date, the worker—
(1) was certified as eligible for trade adjustment
assistance benefits under such chapter as in effect on
such date; and
178
HR 3009 EAS
(2) would otherwise be eligible to receive trade
adjustment assistance benefits under such chapter as
in effect on such date.
(c) WORKERS
WHO
BECAME
ELIGIBLE
DURING
QUALIFIED PERIOD.—
(1) IN
GENERAL.—Notwithstanding subsection
(a) or any other provision of law, including section
285 of the Trade Act of 1974, any worker who would
have been eligible to receive trade adjustment assist-
ance or other benefits under chapter 2 of title II of
the Trade Act if 1974 during the qualified period if
such chapter 2 had been in effect during such period,
shall be eligible to receive trade adjustment assistance
and other benefits under chapter 2 of title II of the
Trade Act of 1974, as in effect on September 30,
2001, for any week during the qualified period for
which the worker meets the eligibility requirements of
such chapter 2 as in effect on September 30, 2001.
(2) QUALIFIED PERIOD.—For purposes of this
subsection, the term ‘‘qualified period’’ means the pe-
riod beginning on January 11, 2002 and ending on
the date that is 90 days after the date of enactment
of this Act.
(d) ADJUSTMENT ASSISTANCE FOR FIRMS.—
179
HR 3009 EAS
(1) IN
GENERAL.—Notwithstanding subsection
(a) or any other provision of law, including section
285 of the Trade Act of 1974, and except as provided
in paragraph (2) any firm that would have been eli-
gible to receive adjustment assistance under chapter 3
of title II of the Trade Act if 1974 during the quali-
fied period if such chapter 3 had been in effect during
such period, shall be eligible to receive adjustment as-
sistance under chapter 3 of title II of the Trade Act
of 1974, as in effect on September 30, 2001, for any
week during the qualified period for which the firm
meets the eligibility requirements of such chapter 3 as
in effect on September 30, 2001.
(2) QUALIFIED PERIOD.—For purposes of this
subsection, the term ‘‘qualified period’’ means the pe-
riod beginning on October 1, 2001 and ending on the
date that is 90 days after the date of enactment of
this Act.
TITLE IX—REVENUE
PROVISIONS
SEC. 901. CUSTOM USER FEES.
Section 13031(j)(3) of the Consolidated Omnibus
Budget Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is
amended by striking ‘‘September 30, 2003’’ and inserting
‘‘December 31, 2010’’.
180
HR 3009 EAS
TITLE X—MISCELLANEOUS
PROVISIONS
SEC. 1001. COUNTRY OF ORIGIN LABELING OF FISH AND
SHELLFISH PRODUCTS.
(a) DEFINITIONS.—In this section:
(1) COVERED COMMODITY.—The term ‘‘covered
commodity’’ means—
(A) a perishable agricultural commodity;
and
(B) any fish or shellfish, and any fillet,
steak, nugget, or any other flesh from fish or
shellfish, whether fresh, chilled, frozen, canned,
smoked, or otherwise preserved.
(2) FOOD SERVICE ESTABLISHMENT.—The term
‘‘food service establishment’’ means a restaurant, cafe-
teria, lunch room, food stand, saloon, tavern, bar,
lounge, or other similar facility operated as an enter-
prise engaged in the business of selling food to the
public.
(3) PERISHABLE
AGRICULTURAL
COMMODITY;
RETAILER.—The terms ‘‘perishable agricultural com-
modity’’ and ‘‘retailer’’ have the meanings given the
terms in section 1(b) of the Perishable Agricultural
Commodities Act, 1930 (7 U.S.C. 499a(b)).
181
HR 3009 EAS
(4) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Agriculture, acting through the Agri-
cultural Marketing Service.
(b) NOTICE OF COUNTRY OF ORIGIN.—
(1) REQUIREMENT.—Except as provided in
paragraph (3), a retailer of a covered commodity
shall inform consumers, at the final point of sale of
the covered commodity to consumers, of the country of
origin of the covered commodity.
(2) UNITED STATES COUNTRY OF ORIGIN.—A re-
tailer of a covered commodity may designate the cov-
ered commodity as having a United States country of
origin only if the covered commodity is exclusively
harvested and processed in the United States, or in
the case of farm-raised fish and shellfish, is hatched,
raised, harvested, and processed in the United States.
(3) EXEMPTION FOR FOOD SERVICE ESTABLISH-
MENTS.—Paragraph (1) shall not apply to a covered
commodity if the covered commodity is prepared or
served in a food service establishment, and—
(A) offered for sale or sold at the food serv-
ice establishment in normal retail quantities; or
(B) served to consumers at the food service
establishment.
(c) METHOD OF NOTIFICATION.—
182
HR 3009 EAS
(1) IN GENERAL.—The information required by
subsection (b) may be provided to consumers by
means of a label, stamp, mark, placard, or other clear
and visible sign on the covered commodity or on the
package, display, holding unit, or bin containing the
covered commodity at the final point of sale to con-
sumers.
(2) LABELED
COMMODITIES.—If the covered
commodity is already individually labeled for retail
sale regarding country of origin, the retailer shall not
be required to provide any additional information to
comply with this section.
(d) AUDIT VERIFICATION SYSTEM.—The Secretary
may require that any person that prepares, stores, handles,
or distributes a covered commodity for retail sale maintain
a verifiable recordkeeping audit trail that will permit the
Secretary to ensure compliance with the regulations pro-
mulgated under subsection (g).
(e) INFORMATION.—Any person engaged in the busi-
ness of supplying a covered commodity to a retailer shall
provide information to the retailer indicating the country
of origin of the covered commodity.
(f) ENFORCEMENT.—
(1) IN GENERAL.—Each Federal agency having
jurisdiction over retailers of covered commodities
183
HR 3009 EAS
shall, at such time as the necessary regulations are
adopted under subsection (g), adopt measures in-
tended to ensure that the requirements of this section
are followed by affected retailers.
(2) VIOLATION.—A violation of subsection (b)
shall be treated as a violation under the Agricultural
Marketing Act of 1946 (7 U.S.C. 1621 et seq.).
(g) REGULATIONS.—
(1) IN GENERAL.—The Secretary may promul-
gate such regulations as are necessary to carry out
this section within 1 year after the date of enactment
of this Act.
(2) PARTNERSHIPS WITH STATES.—In promul-
gating the regulations, the Secretary shall, to the
maximum extent practicable, enter into partnerships
with States that have the enforcement infrastructure
necessary to carry out this section.
(h) APPLICATION.—This section shall apply to the re-
tail sale of a covered commodity beginning on the date that
is 180 days after the date of enactment of this Act.
SEC. 1002. SUGAR POLICY.
(a) FINDINGS.—Congress finds that—
(1) the tariff-rate quotas imposed on imports of
sugar, syrups and sugar-containing products under
chapters 17, 18, 19, and 21 of the Harmonized Tariff